Professional Documents
Culture Documents
Human Resources Plan of Vinamilk
Human Resources Plan of Vinamilk
1. Introduction to Vinamilk................................................................................................................. 2
1.1. The Vinamilk brand story: ...................................................................................................... 2
1.2. Major brands: ......................................................................................................................... 2
1.3. Product: .................................................................................................................................. 2
1.4. Titles and rewards................................................................................................................... 3
1.5. Organizational structure: ....................................................................................................... 3
1.6. Organization chart and managerment structure of Vietnam Dairy Products Joint Stock
Company ............................................................................................................................................. 3
2. Current human resources ................................................................................................................ 3
3. Actual human resource policy of Vinamilk ........................................................................................ 6
3.1. Recruitment policy ....................................................................................................................... 6
3.2 Training and developing policy .................................................................................................... 9
3.3 Vinamilk Co JSC wage policy .................................................................................................... 10
3.4 Remuneration, welfare regimes for employees........................................................................... 12
4. Human Resources plan of Vinamilk ................................................................................................. 14
4.1. Building additional personnel plans: ......................................................................................... 14
4.2. Other human resource plans of the company: ........................................................................... 16
5. Comments ......................................................................................................................................... 17
5.1 Advantages .................................................................................................................................. 17
5.2 Disadvantages ............................................................................................................................. 18
6. Solutions and suggestions ................................................................................................................. 18
6.1 Developing suitable and efficient human resources policy and planning .................................. 18
6.2 Human resources policy and planning are based on agreement with executives and support
from employees ................................................................................................................................. 18
6.3 Focusing on training and developing internal personnel in order to improve administration and
implementation of the policy and planning....................................................................................... 19
6.4 Setting up a fair and suitable system on rewards, fines, insurances and bonus ......................... 19
7. Conclusion ........................................................................................................................................ 19
Reference .............................................................................................................................................. 20
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1. Introduction to Vinamilk
Vinamilk is the largest dairy company in Vietnam. Based on the UNDP 2007 Top 200 largest firms in
Vietnam report, it is also the 15th largest company in Vietnam. In 2010, it is the first company in
Vietnam to be included in the Forbes Asia's 200 Best Under A Billion list that highlights 200 top-
performing small- and mid-sized companies with annual revenue under US$1 billion.
The company was established in 1976 as the state-owned Southern Coffee-Dairy Company, to
nationalize and take over the operations of three previously private dairy factories in South Vietnam:
Thống Nhất (belonging to a Chinese company), Trường Thọ (formerly owned by Friesland Foods, best
known for its production of condensed milk that was widely distributed across the South) and Dielac
(Nestlé). It was renamed United Enterprises of Milk Coffee Cookies and Candies in 1978. It became
the Vietnam Dairy Company, formally established in 1993. In 2003, following its IPO to the Ho Chi
Minh Stock Exchange, the company legally changed its name to Vietnam Dairy Products Joint Stock
Company (Vinamilk). The principal activities of the Vinamilk are to produce and distribute condensed
milk, powdered milk, fresh milk, soya milk, yogurts, ice-cream, cheese, fruit juice, coffee and other
Vinamilk products such as powdered milk and condensed milk are also exported to the Middle East,
Cambodia, the Philippines and Australia. Exports accounted for $180m in 2012. Vinamilk's main
competitors are Dutch LadyVietnam (a division of Friesland Foods), Nestlé Vietnam, Abbott, Mead
Johnson, Friso and Nutifood. In September 2016 Vinamilk signed a strategic cooperation agreement
1.3. Product:
Vinamilk offers more than 250 product categories with the main categories: fresh milk, yoghurt,
condensed milk, powdered milk, nutritious powder, ice-cream and cheese, soy milk, soft drinks.
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1.4. Titles and rewards
- Top 200 small and medium enterprises in asia by Forbes asia (2010)
The organizational chart of Vinamilk is professionally presented and the disrtribution of the deparment
is scientific and rational, decentralizing the responsibilities of each member and department. The
organizational chart helps the business operate in the most efficient way, helping the departments work
1.6. Organization chart and managerment structure of Vietnam Dairy Products Joint Stock
Company
- The total labor of Vinamilk in 2015 is 5,738 people with diverse professions, age, professional
level. Vinamilk always hold the views of respecting and treating equally to employees, not
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discrimination on gender, region, religion. Every person, whether in the field or the level would have
been facilitated to express their values and are part of the general success of the organization.
- Rate by gender:
- Rate by age:
- Education level:
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The University 2.694 46,95%
- Through the data table above, we see the number of male workers account for more than 70%
of the total labor of Vinamilk. Moreover the number of workers under 40 years of age accounted for
more than 50%. This allows us to see the human resources of Vinamilk is a strong human resources,
- This is pretty high quality resources, more than 50% of the total number of workers have from
college. A majority of the workforce by the University account for 46.95%, this is an advantage of the
- Vinamilk has the experienced and enthusiastic commitment management team to the company.
Chairman Mai Kieu Lien has 30 years of experience in the dairy sector and key role in the development
process of our company until today. Other members have an average of 25 years of experience and
ambition.
- The industry’s main product survey at Vinamilk shows that the average annual product value
of Vinamilk employee is about 173 million dong, equivalent to the labor of one software engineer.
- Vinamilk has a team of engineers who have been trained aboard and both promote and apply
- Human resources is one of the important sources always Vinamilk focus and development.
Reasonable personnel policies, engaging in the areas of recruitment, training and development,
continuous improvement. In 2015, Vinamilk continues to pursue the goal of talent pool by continuing
to implement the legacy human resource planning program (SP) and the program administrator trainee.
- Vinamilk is honored to receive the best 100 jobs in Viet Nam with the second position in the
overall and the most attractive employer brand in term of salary, bonus and welfare; Quality of work
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3. Actual human resource policy of Vinamilk
- Based on the plan of labor demand and the situation of production and business activities of
enterprises. On that basis, determine the human resource needs of enterprises: how many people,
- Analyze the labor supply in the labor market on the basis of that analysis to determine the
sources of recruitment and potential recruitment. In order to recruit the most qualified and qualified
laborers,
- Comparing forecasts of current and future human resource needs of existing human resources
with the supply of recruiting labor force in the market to make the most reasonable recruitment plans.
- The selection of human resources from outside the organization depends on the complexity of
- When designing the steps in the recruiting process, we need to design to obtain the most specific
b. Object
- All applicants who have butt in their place wanting to apply for positions in which the company
Recruitment is considered based on views regardless of race, religion, sex, and age
c. Scope of application
Encourage applicants to come from inside and outside sources of the business
d. The goal of the selection process is to select the qualified person to work, the quality of work through
e. Performance content
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- Vinamilk is aiming to diversify the source of its candidates for leadership, management and
staff, regardless of race, religion, sex and age. The objective of the recruiting process is to find the
qualification to work, the quality of work through the fair selection process.
- Content of the process: This process is to guide and allocate responsibilities in labor
recruitment, ensure the supply of resources in accordance with the company's planning and policies.
- The unit needs to recruit the report to the Human Resources Department to submit to the
- Once the Human Resources Department has been approved, it will start recruiting
• Step 2: Recruiting
- Planning recruitment
- Select profile
- Selection
- Integration: In order for the new staff to understand the working environment and culture of the
company, the Human Resources Department will implement the integration work including:
introduction of new staff and related departments through Forms of exchange meet, email introduction
..., disseminate to the staff policies, content and regulations of the company.
- Trial and Appraisal: Depending on the position of the recruiter, the qualifications and
experience of the new employee, the recruiting unit will coordinate with the Human Resources
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Department to apply appropriate assessment methods. in probationary period. Qualified employees will
Therefore, the recruitment policy is geared towards diversifying the sources of candidates for
energetic, ready-to-work and enthusiastic students. The program is a great opportunity for young
potential candidates to join and grow with the professional and strong team of Vinamilk. Students will
programs at major universities nationwide. This is not only a great opportunity for students to participate
in the application but also the opportunity for you to learn, exchange experience.
- For managers: Priority will be given to children of staff who have graduated and are directly
- For key staff will be promoted, promoted from the staff in the company. Prioritizing the
recruitment of your child's employees has several benefits, including: Reduced enrollment costs.
Employees can take advantage of the experience of their employees and thus reduce their training costs,
as well as reduce the cost of training. Integrating new employees with work, creating motivation,
- Some limitations: Vinamilk has established a reasonable and reasonable recruitment process.
Process steps are often not fully implemented, especially in the recruitment planning process. It is
forecasted that the demand for human resources and the analysis of the current situation of human
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resources, which are required to be continuous and of a permanent nature, shall be carried out only
Reduce and eliminate important stages of recruiting new employees, paying attention to the costs of
recruiting and employing employees, but forget that each step of the process is of equal importance.
- The process is reduced to the maximum "select and use", lost the training period to guide
employees, new workers while the training level of Vietnam is not close to the reality of each enterprise
- Human resources tend to be taken from the bottom to the top, rarely transverse or cross, leading
to inability to utilize labor appropriate to that position should not use the optimal source of labor.
When promoting people who are working in the organization, the formation of a group of "unsuccessful
candidates", factional sabotage, internal conflicts that affect management and quality of work, can not
change the quality of labor, not create new life in the business
The policy are developing based on work requirements, department/division demands, company
operational situations, business plan and technological applications, etc. All employees who need to
improve their abilities and skills to qualify for work, are subjective to this policy. The objectives are
maximizing the company workforce efficiency and preparing for the development of the company. It
included specialized skills and knowledges, policies, communication and cooperation, compulsory
- Step 1: Determining the needs. Training and developing plan have to update and establish
- Step 2: Planning for each departments. The departments register according to the following
information: List of courses, type of training (internal, external), number and staff list of the course,
needs from employees, duration, expected cost, ect. The board of directors review and approve for each
departments.
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- Step 3: The company training and developing plan. Human resource department reviews all the
plans in term of suitability, needs, budgets, etc. After approved by the director, all the departments have
a. Construction base.
for building an appropriate wage policy in accordance with company factual situation and legislation.
- Company financial situation: This is a significant base to define wage fund, its formation
sources for wage policy to comply with company practical finance along with assuring the stimulation
- Working condition and the structure of labour: base on these to determine salary grade and
coefficient for each subject of labour apply to each working condition, position and titles.
b. Applicable entities
- Entire employees, staff and managers working for company have great performance and effort
on working progress.
c. Application field
- Senior managers in board of directors, executive committee, entire staff and employess are
working in company
d. Building purpose
- Wage policy of Vinamilk company builded is high competive, aims to attract, held and
encourage employees to join in and dedicate in long – term for the development of the company.
- To every individual receives their equitable, appropriate when recognize and reward individual,
staff, employee achieves standard, ability and degree of readiness toward assignment.
- To create motivation and encouragement for company employees to pay more effort on
working and make a long – term attachment to the stable development of company.
e. Content implement
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- The level of remuneration, wages need to attract, retain and motivate members of the Board of
management (BOM), the leadership to run your business successfully. Part of salary based on the results
of operations of the company and of each individual. When proposing the salary, the salary and
compensation Subcommittee of the company have looked to the factors on wages and jobs in the
industry, compared with the equivalent company, Vinamilk's activity results in General, as well as the
individual. Reward program every year in this business is applicable to all employees in the company.
- When proposing salary, the salary and compensation Subcommittee of the company consider
elements of wages and employment in the sector, compared with the equivalent companies operating
results of Vinamilk in general and also as individual members of the Board the Board of management
(BOM) and staff home the PIN, reward programs also apply to entire employees in the company.
- Be the enterprise with abundant financial resources, so the remuneration for each meeting of
board of Vinamilk is dreaming with other businesses. In the year 2015, gross benefits, salary fund of
the members of the Management Board and the Executive Board of Vinamilk reached 67.3 billion. In
particular, the remuneration for the Board is nearly 4.9 billion. Not only leaders get good remuneration
- The salary of all the members of management and the Executive Board are published annually.
The content of this publication to help investors understand the relation between the salaries of key
positions with their city. Starting wages for the workers in the production line is from 1.8 million, and
- Vinamilk-believe that human beings are the most precious assets of Vinamilk should we see
wages is also the most efficient investment money. Thus, working at Vinamilk, you will get salary with
- Recognizing your contributions also Vinamilk special interest. The program reviews the
working efficiency of employees and the annual bonus levels attractive expressed respectfully
Vinamilk's for your success and reflect equity among employees. In addition, the health insurance
program, support vehicles is also one of the featured benefits Vinamilk brought up.
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3.4 Remuneration, welfare regimes for employees
a. Construction base
- Regulation of the State welfare system with workers: it is important to base the company built
the suitable remuneration policy with the real situation of the company and with the provisions of the
law.
- Financial situation of the enterprise: it is important to determine the base wage for welfare
policy is to match the financial reality of the company at the same time ensure the irritation with the
workers.
- Working conditions of employees: based on this to identify the types of allowances as toxic
- The labor situation in the enterprise: to determine the number of pregnant women workers
upcoming vacation, maternity, labor’s upcoming retirement, the position titles within the company to
b. Applicable entities
c. Application field
d. Building purpose
e. Content implement
- Vinamilk aware its influence to the communities and the sustainable development of society.
Vinamilk also comprehend the success of a business will not simply be the numbers of the sales on the
annual report but also the remarkable and enduring values that businesses that build and bring to be for
hotel guests and both the human resources in the company. Vinamilk has identified the human factor is
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the key factor leading to the sustainable development of the company. Vinamilk has spread, the policy
• Full job guarantees for workers, the income of workers increasingly improved. In addition to
income from wages, workers also have more income from the profits are divided according to
their ownership percentage in the company if the company has several business interest. For
example, in the year 2015, the company reached revenues of 40,222, up 14.3% compared to the
year 2014. Profit after tax increased 28% to 7,769 billion when the costs of employees
• Vinamilk make effort to create professional working environment and not least friendly, open
differences. The efforts of the employees are the company recognized and rewarded promptly.
That's motivation to help people interested in working and willing to embrace new challenges.
• The full realization of the rights, the obligation for workers in accordance with the provisions
of the law. Vinamilk is committed to ensure the laborers work in conditions of safety and health
care.
• Vinamilk always fulfill the activities to ensure the health and safety for workers such as training
on occupational safety for 100% of the employees are working in factories, farms, factory;
training, fire fighting rehearsals for 100% of the workers. And fulfill the work to take care
workers health such as construction of the Medical Division at all location activity of Vinamilk,
periodic health examinations every year for employees under the collective labor agreement :
South labour once a year, the female labor: 2 times/year or use the package of health care
insurance and accidents for workers outside the insurance program under the provisions of the
law to provide a better health care for workers Member of Vinamilk. In 2014, the program is
• Support and created all conditions for workers to participate in training courses on knowledge,
skills as well as the expertise of the experts from home and abroad to enhance professionalism.
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And the company always create every opportunity for the workers always try and want to
• Sports activities, arts, picnics, dancing, ... be hold by the company regularly also helps
employees have fun moments, therefore people have the opportunity to know each other and
In order to develop an additional personnel plan, the company must base on the following factors:
• Sales revenue
In this step, personnel officers calculate the number of current employees in the company according to
each department and position in order to determine which departments, divisions, sections
missed. According to that, personnel officers consider to transfer employees to missed department or
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➢ Analysis of human resources structure:
Human Resource department determine the demand of workforce in each major by the comparison
between the demand and the number of existing human, they can see deficiency and redundancy of
labors.
Expanding factory to increase capacity to meet the long-term development needs of the market:
Maximize and optimize the capacity of existing plants, invest in building new plants with the newest
advanced technology in the world to maintain the quality of products up to international standards. That
ensures the equipment and technology used in Vinamilk is always modern and advanced technology.
➢ Long-term labor demand is determined by the company based on the following factors:
Continuing to consolidate and expand the distribution system such as opening more points of sale and
increasing distribution coverage. Vinamilk will continue to promote the development of modern
distribution channels and convenience stores to build image and reach out to young customers with high
income. At the same time, they remain to invest and develop rural markets.
With the objective of supplying sufficient raw milk for the production of pasteurized milk and fresh
milk, the company will develop and expand the existing farm size and invest in building new farms.
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➢ Identification of additional labor force needs: complementary replacement and
complementary development.
➢ Identification of additional labor force resources: from the enterprise itself; universities,
According to the balance sheet, the company will know the number of surplus or missing staffs in each
division. After that, they make decision to transfer people from surplus to missing or recruited to
- Based on business situation and the financial situation of the company to determine the
- The number of employees and labor structure of the company to determine the exact object for
For instance, Vinamilk aims to "Invest in equipment innovation, technology to improve productivity
- Impulsing the application of scientific and technological advances in production to raise the
categories and the quality of products; Improving the designs and packages, selecting appropriate
technologies for new product; raising the level of competition for the same products on the market;
The company has a reward policy for employees who contribute technical innovations to increase the
efficiency of business.
- In the past 5 years, the Company has invested more than 6,500 billion dongs from its own
capital to invest in building many factories with high level of automation. Currently, Vinamilk has 13
factories nationwide. This is the key to improving labor productivity and efficiency of Vietnamese
dairy.
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In order to encourage employees to strive and dedicate themselves in every position, Vinamilk build a
lot of policy emulation. Collectives and individuals achieve excellent performance will be evaluated
and rewarded worthy, timely according to the agreed rules, fairness and openness.
Every year, the company will organize the year-end summation of business:
- At the year-end summation, Vinamilk's board of directors together reviewed the main activities
in production and business and mass movements last year, information on the achievements, overcome
5. Comments
5.1 Advantages
- Recruitment and selection: The company applied the method of recruiting, selecting equally
and objectively, therefore, the quality of employees is qualified and suitable for the jobs. The company
recruiting and selecting policy often aims to diversify the source of candidates for managers and staffs.
Performance appraisals are done quarterly and annually by managers and staffs.
- Training and developing: The company focuses on implementing policies that ensure
reliability, stability and comfortable for all employees. The employees have chance to promote their
abilities. In addition, the rights and obligation of health insurance, social insurance and reward system
- Creating favorable conditions for employees to work loyalty: send employees and their children
to study oversea on dairy and dairy products, automate the technological process and production,
machinery and equipment for food production, management in the dairy industry.
- Highly experienced and ambitious leadership team, proven by business performance: Engineers
who have been trained overseas, have developed and applied their knowledge effectively. Many
youngers have become core employees in the company's factories and the sense of building for the
company's success is very good. The industry's main product survey at Vinamilk shows that the average
of total annual product value of an employee is about 173 million VND, equivalent to the labor of one
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software engineer. The experienced sales teams supported distributors, retailers and consumers well
- Compensation policy: Ensuring adequate work for the laborers, income of the employees is
improved. Rewarding and disciplining policies are implemented equally and immediately.
5.2 Disadvantages
- Employees are recruited mainly from nearby factories, thus some still need to train to qualify
- Training and developing policy is not implemented completely due to the large number of
employees and applying new technology into production line. Employees are required to adapt, develop
- The company implements many actions into motivating and maximizing employees’ abilities.
However, these actions are sometimes not effectively and completely. It is required management team
6.1 Developing suitable and efficient human resources policy and planning
This is very important for any company. If the policy and planning are not based on the actual situation
of the company in terms of: financial situation, business operation situation, human resources status of
the company (in terms of both quantity and quality), it will cause misleading in the implementation,
6.2 Human resources policy and planning are based on agreement with executives and support from
employees
Any human resource planning policy that does not have the support of the executives and employees,
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6.3 Focusing on training and developing internal personnel in order to improve administration and
To achieve the objectives, the company needs to step up the training and development of human
resources. However, massive trainings are considered. To improve the quality of staff training at
- Arranging study time properly to facilitate learning, while ensuring the working performance.
- Encouraging training by providing employees with time and wages, and at the same time
- Foreign languages, office skills, behavior and communication for work need to be provided.
6.4 Setting up a fair and suitable system on rewards, fines, insurances and bonus
Rewards, fines, bonus, insurance are one of the basic motivational measures for employees in the
company. These systems motivate employees to work, promote creativity, and encourage
implementation. Bonus is an additional wage, it motivates employees to try their best in maximizing
efficiency at work. Fines: Employees must complete the work properly on time and follow the rules,
therefore, in order to ensure fair compensation, the company should take actions.
7. Conclusion
Human resources policy and planning is one of the most important factors to any company and business.
It affects directly on the existence and development of the company. Vinamilk has a qualified and young
workforce. To maximizing workforce and achieving company’s development goals and strategies, the
company needs to establish suitable and efficient policy and planning. In addition, attracting talents,
training and developing high-qualified personnel, and motivating employees are extremely important.
Human resources policy and planning have to be established and updated based on current financial
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Reference
1. http://tailieu.vn/doc/tieu-luan-thuc-trang-qui-trinh-tuyen-dung-va-dao-tao-tai-cong-ty-co-
phan-sua-viet-nam-vinamilk-1645193.html
1. http://www.luanvan.co/luan-van/tieu-luan-phan-tich-thuc-trang-hoat-dong-quan-tri-nguon-
nhan-luc-cua-cong-ty-co-phan-sua-viet-nam-55099/
2. http://kinhdoanh.vnexpress.net/tin-tuc/doanh-nghiep/luong-lanh-dao-vinamilk-moi-thang-
hang-tram-trieu-dong-3373679.html
3. https://www.vinamilk.com.vn/vi/chi-tiet-tuyen-dung/125/128/che-do-luong-bong-va-dai-ngo-
xung-dang
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