TABLE OF CONTENTS

INTRODUCTION
MAJOR FINDINGS

A. The different theories of leadership and theoties of managemant in connection

to management operations.

I. Leader and leadership

a. The definition of leader/ leadership

b. Leadership theories

 Traits leadership - Old approach

 Behavior leadership - New approach

II. Management theory

1. The definition of management

2. Management theories

 Classical approach - Old approach

 Behavior approach - New approach

B. The impact of various leadership and management styles on organizational

culture

I. Leadership style

II. Factors influence culture

CONCLUSION

INTRODUCTION
Leaders and management play critical roles in the success and growth of any business.
Their key responsibilities include leading, directing, and inspiring personnel to achieve
company goals. This report has helped me grasp the many parts of leadership and
management, as well as the theories used at Vietcombank. Furthermore, the contrasts
in the company's culture are discussed and thoroughly examined in this activity.
Analyzing theories allows me to obtain a better grasp of the effects of various
approaches to leadership and management.

MAJOR FINDINGS
A. The different theories of leadership and theoties of managemant in connection
to management operations.

I. Leader and leadership

a. The definition of leader/ leadership:

According to Northouse, P. (2018), Leadership is the process of persuading people to

work freely toward goals, to the best of their ability, and sometimes in a manner that
they would not have chosen otherwise. Leadership is viewed as a social process in
which an individual affects the behaviors of others without using or threatening
violence. A leader is someone who has power over others (Silva, A., 2016).

b. Leadership theories

Traits leadership - Old approach

The leadership trait model is based on the traits of many successful and failed leaders
and is used to predict leadership effectiveness. The resulting lists of attributes are then
compared to those of potential leaders in order to determine their chances of success or
failure (Northouse, P., 2018).

Mr. Vu Viet Ngoan, General Director of VCB, was the only person in Vietnam to
obtain the accolade "Typical Asian Bank Leader" prior to the equitization. 2005
because, during his leadership, VCB has grown significantly and established a
distinguished corporate culture.

The leadership of VCB is discussion-based leadership. Leaders make choices after

receiving consent from their workforce. As a consequence, the majority of VCB's
strategic goals have been agreed upon and supported by all workers. Encourage
employee creativity and efficiency.

Behavior leadership - New approach

What leaders do in connection to completing tasks and sustaining the efforts of those
executing the tasks can be used to define leadership behavior. The behavioral approach
is only concerned with what leaders do and how they act (Burke, C. S., Stagl, K. C.,
Klein, C., Goodwin, G. F., Salas, E., & Halpin, S. M., 2006).
The effectiveness of a leader is determined by satisfying three areas of need within a
work group (Northouse, P., 2018). Along with the process of equitization and
restructuring, Vietcombank has undertaken certain leadership changes:

 Common task requirements include attaining work group objectives,

identifying group tasks, planning work, allocating resources, organizing roles
and responsibilities, managing quality and verifying performance, and
assessing progress. In terms of Vietcombank's overall management, Mr. Dung
believes that managers must regard all operations inside the firm as
interrelated. Vietcombank has evolved from a specialized bank serving the
foreign economy to a multi-purpose bank, operating in many fields such as
international trade; traditional activities such as capital trading, capital
mobilization, credit, project financing...as well as modern banking services
such as foreign currency trading and derivatives, card services, banking
electronic... Vietcombank has several advantages in using new technology to
autonomous service processing since it has a modern banking technological
infrastructure and has successfully transformed the core banking system (Core
Banking) in early 2020. banking, development of high-tech e-banking goods
and services Individual and business users can use multi-utility digital banking
services such as VCB Digibank, VCB Pay, VCB - iB@nking, and VCB
CashUp in the digital transaction area. Vietcombank conducted a study to
assess employee satisfaction and engagement (EES), as well as internal
customer satisfaction (ICS). The initiative is regarded as a significant
instrument for providing bank leaders with a foundation for developing human
resource management policies (Anh Minh, 2019).
 Team maintenance requirements include: maintaining morale and team spirit,
group cohesion as a working unit, establishing standards and enforcing
discipline, communication methods within the group, training the group, and
appointing sub-leaders. The working group is the most important component of
an organization's human capital. As a result, authorities must be provided with
teamwork knowledge and abilities. Each individual has unique qualities and
capabilities that, when combined, will complement one another, boost
innovation, and save time and money. The Training Center of the Joint Stock
 Commercial Bank for Foreign Trade of Vietnam (Vietcombank) organized the
courses "Teamwork skills and risk management" operational risk on two days
in July 2015, as part of the 2015 training plan. The courses are highly valued
for their practicality, as they assist personnel achieve greater efficiency in their
job and contribute to Vietcombank's long-term development (Vietcombank
news, 2015).
 Individual needs: fulfilling the needs of individual members, dealing with
personal difficulties, bestowing praise and prestige, resolving conflicts between
group needs and individual needs, and teaching individuals. Many activities
have been implemented by Vietcombank's leaders to promote the creative
movement and renew the working style of officials and employees, such as the
Vietcombank Culture Contest, the contest "Innovation - Creativity for
Development and Integration," and the contest "Youth think and act before
Vietcombank's innovation, development, and integration." In addition,
Vietcombank has implemented numerous extensive training programs for
leaders and professional staff, including: training in leadership skills for
managers and planning staff; training to raise the level of political theory for
middle and senior leaders; training on professional topics in auditing, credit
risk, and operational risk for support staff; and training soft skills for staff
directly dealing with customers, such as customer care skills, communication
skills, and telephone skills (Phuoc Thanh Nguyen, 2011). In 2018, by smart
leadership and constantly concerned about employees, Vietcombank was
named one of the top four greatest places to work in Vietnam by Anphabe
(Anh Minh, 2019).

II. Management theory

1. The definition of management

Management theories are put into practice to increase corporate efficiency, service
quality, and employee engagement. As a result, few firms utilize a single strategy or
concept when implementing workplace strategies: Depending on the nature of the
workplace, purpose, and personnel, they frequently employ a combination of many
ideas.
II. Management theories

Classical approach - Old approach

The classical management philosophy is a management style that stresses hierarchy,

specialized positions, and single leadership for maximum workplace efficiency
(Parker, L. D., & Lewis, N. R., 1995). From start, Vietcombank had always focused on
traditional management.

Directors of transaction offices and branches have extensive decision-making authority

over the units they oversee, although they are rarely subject to vertical supervision in
particular business and operational tasks. The Board of Directors of Vietcombank is
where day-to-day business decisions are made. Meanwhile, the board of directors'
primary responsibilities include strategic planning, policy formation, and action
control. The board of directors' supervisory board oversees the actions of the board of
directors and the general manager, who report to the state owner. Furthermore, the
model of the information management system is established at all levels and via
decentralization. Despite the fact that many domestic joint stock commercial banks
have fundamentally modified their management apparatus's organizational structure,
Vietcombank's management apparatus has remained intact for many years. The
management team's or leadership team's self-reliance in thinking, thinking, habits, and
working style leads to restricted innovation and creativity in the staff and employees
(Tuan Anh Pham, 2008).

 Behavior approach - New approach

Certain managerial changes occurred following Vietcombank's equitization. Although

certain aspects of traditional management remain, Vietcombank has made several
adjustments such as human approach. The Hawthorne Experiments began in the 1920s
and continued until the early 1930s. Prof. Elton Mayo was one of the researchers that
took part in the study (Bruce, K., & Nyland, C., 2011). According to Mayo, E., here
were three major findings reached on employee behavior in the workplace:

 Employee attitudes are connected to productivity.

  The workplace is a social structure that increases the need for social connection,
and informal group influence may have a significant impact on individual
behavior.
 The technique of supervision is critical in increasing worker job satisfaction and
allowing them to perform better.

Mr. Dung believes that the previous method is excessively sluggish and difficult. He
and Vietcombank's personnel achieved great progress in the digitization of banking
activities and organizational restructuring with the assistance of the consultant
company.

Mr. Dung may be seen strolling the corridors of Vietcombank, speaking with staff at
all levels and in all divisions. Above all, he listened to what staff had to say about what
needed to be done. The leaders of Vietcombank are consistently listening and caring
about their staff. In addition, Vietcombank provides a number of staff incentives as
well as sound financial rules.

Mr. Dao Minh Tuan, Deputy General Director and Chairman of Vietcombank's Trade
Union, stated at a recent meeting of Vietcombank workers in 2020 that Vietcombank
has created a system of financial and non-financial incentive systems. key concern for
workers; the payment structure in terms of salary, insurance, and employee income is
the most generous among Vietnamese credit institutions and is constantly being
enhanced (Nhung Kim Dau Thi, 2021). Notably, the wage and actual income of
Vietcombank workers climbed by approximately 200 percent in 2019 compared to
2015, reaching 105 percent in 2018. With the best employee support and treatment
policies. Since 2015, Vietcombank has consistently ranked among the Top 10 firms in
Vietnam with the greatest working environment (Van Cam, 2020).

In general, the shift in leadership and management has aided Vietcombank in

increasing staff cohesiveness across divisions. Improve effective leadership; technical
line managers recognize the need of soft skills, listening, and alignment as components
of high performance. Employees' essential social requirements have been steadily met
through compensation systems. Employee recognition programs, bonuses, and
monetary incentives are all focused at increasing employee familiarity.
B. The impact of various leadership and management styles on organizational
culture

I. Leadership style

While there is a substantial corpus of study addressing distinct leadership styles, there
is a surprising lack of research analyzing the concept of a leadership "style" (Gandolfi
& Stone, 2016). It is virtually a given that there is universal awareness and agreement
on what a leadership style is, which is incorrect and does not serve the larger
conversation on leadership effectively. Such ambiguity may contribute to the
significantly diverse perspectives on leadership (Gandolfi et al., 2017). In the views of
followers, leadership effectiveness is intimately related to the leader being focused,
able to inspire, and prioritize needs, which provides a sense of safety and serenity for
followers (McDermott, Kidney, & Flood, 2011).

From before privatization to present Vietcombank's leadership style is democratic:

Decision-making is decentralized and shared by subordinates in participatory group
action, but managers should not be led astray by a predilection for democratic social
systems into favoring democratic management approaches (Khan, M. S., Khan, I.,
Qureshi, Q. A., Ismail, H. M., Rauf, H., Latif, A., & Tahir, M., 2015).

The leader splits his management power, solicits subordinates' perspectives, and
includes them in decision making. As a result, all workers agree on and support
Vietcombank's strategic goals. The leaders of Vietcombank follow three norms of
conduct:

- Promote and uphold the values of impartiality, fairness, and openness.

- Respect, intentionally create settings for subordinates to express themselves, foster

subordinate trust

- The organization's climate is amicable, team-oriented, and task-oriented.

The leadership of Vietcombank is both excellent and professional. Each member of the
leadership team exhibits extensive knowledge and the capacity to make solid
professional judgments. Furthermore, the Board of Directors is exceptional in terms of
following the law and acting in accordance with Vietcombank's culture and internal
laws. Furthermore, do not act in a prejudiced mood or connection. Implement the use
of the same salary and working conditions for all employees.

Employee morale, productivity, decision-making speed, and KPIs are all affected by
leadership style. Successful leaders thoroughly examine problems, assess subordinates'
skill levels, explore alternatives, and make educated decisions. An effective leader
leaves a lasting impression by using the most appropriate leadership style for the
occasion (Bolden, R., 2004). When leaders utilize the democratic leadership style, they
welcome feedback from their subordinates before making important choices. They
welcome input and recommendations from employees at all levels of the organization.
This process takes time, so while employees may feel more empowered, choices might
take a long time. Leaders that utilize the laissez-faire leadership style cede all authority
to their subordinates. When a team has a lot of expertise, its members can make their
own judgments swiftly, which works out nicely. When a team lacks the necessary
skills and information to make sound judgments, pandemonium typically ensues.

II. Factors influence culture

Vietcombank has a strong corporate culture, a diverse cultural environment, and

several Vietcombank identities, values, and so on, which help to link individuals inside
the firm.

According to Vietcombank website, the vision/mission that Vietcombank has

established exemplifies the bank's strong culture. Vietcombank not only preserves but
also expands its key concepts; despite the shift in Vietcombank's position, all exhibit
the development direction in the model of a multi-functional financial company.

According to Vietcombank culture handbook and Tinh Thi Nguyen (2014), the
cultural character of Vietcombank may be summed up in five main values:

 Trust - Maintain the Prestige and Skill

Credit is always the foundation for creating, sustaining, and strengthening all
relationships, particularly in the banking sector, hence Vietcombank employees must
constantly place a premium on credit preservation. Building trust takes time and effort,
but "one time distrust" is "ten thousand distrust." The lesson on credibility is not just a
manifestation of a long-term business strategy, but also of a person's inner nature. As a
result, Vietcombank employees must adhere to the idea of "Speaking is Doing" at all
times and in all situations.

The business culture of Vietcombank is evident on the surface. These are the things
that people on the outside, clients, and visitors can see through the logo, slogan,
brochure, card visit, cover, costumes, decorating, and employee communication style.
Vietcombank is well-known for its staff's friendly and professional demeanor when it
comes to serving clients and providing them with the greatest level of comfort.

 Standards - Adhere to the principles and act in accordance with them.

Vietcombank's brand value is not only reinforced by the bank's reputation and the
quality of its products and services, but it is also an important aspect of its professional
working style. To do this, Vietcombank employees must adhere to values and behavior
standards in all of their actions. That is:

- Image and appearance standards: Because banking is a high-class service industry,

each individual's image and look always plays a significant role in the quality of
services offered to clients and partners. As a result, Vietcombank employees must take
care to keep their words and exterior appearance in line with the value of the
Vietcombank image and brand that they represent.

- Workplace standards: Because Ngan Banking is a dangerous industry, Vietcombank

employees must closely adhere to applicable legal rules as well as internal bank
policies. To behave appropriately at work, each employee must be aware of his or her
job and place within the Vietcombank machinery.

- Behaviour standards: Respecting the goal of communication, being kind and

courteous are concepts that Vietcombank employees must adopt and execute in order
to obtain the best possible working results.

 Eager to innovate - Always strive for what is fresh, modern, and civilized.
Life is always in motion, and new and more advanced things emerge. As a result,
Vietcombank employees must always be actively striving to learn new things, and
when they realize that it is a more contemporary and civilized new item, they must
find a method to incorporate it into their everyday job to achieve efficiency and
quality. the greatest sum However, in order to achieve the new, it is frequently
essential to eliminate the old and backward, therefore Vietcombank employees must
be equipped with progressive thoughts, be willing to embrace innovation, and work
together to support and commit themselves to the bank's innovation. The bank was
successful.

 Long-term advantages require sustainability.

Sustainable development is a cross-cutting aim of Vietcombank, and in order to

achieve that goal, Vietcombank constantly adheres to the principles of safety, equality,
and harmonization of the interests of the parties involved in the operation process.
Vietcombank employees must consider establishing circumstances for customers and
partners to achieve together in order to build long-term partnerships, which are the
cornerstone for successful company development. Vietcombank does not conduct
business in a way that both helps and damages people, not for short-term and short-
term gain, but to harm long-term interests. People at Vietcombank have a long and
broad vision. Working not just for today's benefit, but also for the benefit of future
generations of Vietcombank customers.

 Humanity entails a reverence for morality, as well as intimacy and

affection for one another.

Human values that Vietcombank's workers uphold include always placing a premium
on strong interpersonal relationships, adhering to corporate ethics, being completely
committed to solidarity work, and assisting colleagues. produced throughout the last
five years It is because of these essential qualities that Vietcombank has distinguished
itself in the market, conquered all obstacles, and attained the enormous success that it
enjoys today.

Some factors that influence the development of the culture of Vietcombank:

 Mission:
 - First in terms of profit size and non-credit income
- First in customer experience
- First in retail and investment banking
- First in human resource quality
- Market leader in digital banking
- Superior risk management
 Vision: No. 1 bank in Vietnam, one of Asia's 100 largest banks, one of the
world's 300 largest banking and finance firms, and one of the world's 1000
largest listed enterprises that have contributed to Vietnam's growth
(Vietcombank website).
 History: The old Vietnam Bank for Foreign Trade, currently known as the
Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank),
was founded and officially launched on April 1, 1963, with its predecessor, the
Foreign Exchange Department (under the Bank). Vietnamese state-owned
property). Over the past 58 years of construction and growth, Vietcombank has
made significant contributions to the country's economic stability and
development, promoting its role as a key external bank, effectively serving the
country's economic development, and creating significant influences on the
regional and global financial community. Vietcombank is presently one of
Vietnam's major commercial banks after more than a half-century in business.
Currently, Vietcombank has almost 600 local and foreign branches/transaction
offices/representative offices/members. Vietcombank has always been the first
option of businesses, major enterprises, and international investors, with a long
history of operations and a team of skilled and attentive personnel in a
contemporary and highly connected business environment. Each customer
island is unique. Always striving for international standards in its operations,
Vietcombank has been named "the greatest bank in Vietnam" by major
international organizations. Vietcombank is also the first and only bank in
Vietnam to be in the Top 500 World Banks, according to voting results
announced by The Banker Magazine; the only Vietnamese bank in the Top 30
strongest banks in the Asia-Pacific region, according to The Asian Banker;
According to The Asian Banker, the only Vietnamese bank in the Top 30
 strongest banks in the Asia-Pacific region; is the sole representation of Vietnam
in the Top 1,000 largest listed corporations in the world, rated 937th by Forbes
Magazine (Vietcombank website).
 Logo: In addition to the logo, there is a stylised V sign in the shape of a heart
with important meanings. The letter V is the initial letter in the name
Vietcombank. V represents Vietnam's patriotic spirit, as well as Victory. A
letter V with a plethora of significant meanings. The heart emblem in the
Vietcombank logo design represents unity and agreement. It reflects the
heartfelt hope for a successful future, exactly as the entire name of
Vietcombank (Vietcombank website).
 Slogan: The tagline of Vietcombank, Together for the Future, approximately
translates as "Common conviction in the future." The bank's motto functions as
a brand promise to consumers. Vietcombank aspires to evolve in order to
accompany clients on all future paths. "Sustainable future" is Vietcombank's
pledge as well as its ambition (Vietcombank website).
 Uniform: Employee uniform is an essential component in generating company
image and culture, in addition to building fundamental values in business,
brand, and trust in the eyes of customers. Because uniforms are part of the
"surface layer" culture, which is a "brand name" aspect that allows businesses
to easily market, develop their own identity, and generate traditions and brand
images. Obviously, investing in employee uniforms is a beneficial investment
since staff uniforms are the most powerful and convincing brand marketing
instruments. Not only that, but uniforms bring the collective staff closer
together; by wearing the same shirt, the same outfit, the staff will no longer be
separated; everyone will be more friendly and unified, which will increase work
efficiency. Vietcombank officers' conventional uniforms are stylized, with male
workers wearing a shirt and casual slacks and female employees wearing a
black vest, shirt, skirt, or pants. According to a human resources representative,
bank personnel can typically modify their attire to fit the situation, but they
must maintain secrecy and civility (Vietcombank website).
 Image and brand:
- A Vietcombank that is Green and Strong
 - A Prestigious and Modern Vietcombank
- A Vietcombank that is connected to its customers and understands how to
share

With intangible values, corporate culture is generated by the enterprise's employees'

devotion, effort, and innovation, as well as their manners and interactions with
superiors and subordinates like a huge family. To promote high human values, VCB
employees always put themselves in the shoes of contacts such as customers and
colleagues to properly comprehend and propose fair answers.

The Vietcombank Cultural Handbook completely documents the bank's basic cultural
values, ethics, and standard practices. The Vietcombank Cultural Handbook serves as
a gentle reminder for each Vietcombank employee, assisting each employee in
developing a deep and clear understanding of Vietcombank's culture. This is the
distinction between us and other firms in Vietnam.

Vietcombank has created particular programs and strategies with clear and suitable
goals in order for corporate culture to have a significant impact on Vietcombank's
members as well as develop competitiveness for companies. Avoiding common
exhortations such as: working as a "Vietcombank youth union pioneer in
implementing Vietcombank culture", organizing "Vietcombank youth culture and
creativity contest", "Vietcombank culture implementation contract signing ceremony",
"Vietcombank Culture Week" and "Vietcombank Culture Contest"; small activities
held on a regular basis such as grading, assessing the daily transaction behavior of
tellers, organizing.

With a half-century of development, Vietcombank has created a Vietcombank that is

not only a strong bank in many aspects, a prestigious and modern, close and sharing
bank; but also a culture, a way of Vietcombank with its own characteristics, a
personality, a Vietcombank culture with very valuable characteristics: Trust,
Standards, Ready to innovate I Sustainability, and Humanity. That is Vietcombank's
distinct competitive advantage, the ability of Vietcombank to remain confident in the
face of adversity and remain firmly on the road of progress.
 CONCLUSION

This study gives a fundamental grasp of both leadership theory and management
theory. Furthermore, theories are used to examine the impact on Vietcombank across
the old and new periods. Furthermore, the paper illustrates Vietcombank's various
leadership styles in various scenarios. Furthermore, the paper discusses the variables
influencing Vietcombank's corporate culture and the significance of that culture to
Vietcombank's success.
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