To what extent do recruitment and selection processes impact on the human resource at GDC (Global Digital Convergence Joint Stock Company)
Research Methods B
MNP 045 N
CHAPTER ONE – INTRODUCTION
This research is the outcome of a case study research project designed to explore a part of the human resource management, which are recruitment and selection processes, in forming manpower resource at a SME in Vietnam – GDC. This essay is complemented by resuming recent theories about recruitment and selection processes in the context of human resource management. It will be followed by a literature review (Chapter Two) highlighting concepts of recruitment and selection, realistic and problematic issues. Being aware of the importance of recruitment and selection process in creating a human resource in an organization, Chapter Three is built up for a research design of a case study research,
This chapter is an overview of the research. It starts by giving some study background to the research, follows by providing the research aim for this study. The chapter will end up with a brief theoretical framework.
2. Study background
Information technology (IT) industry is a very fast growing sector in the economy of Vietnam. There have been a lot of new companies entering the market in the recent two years, which have created a very high competitive market for all the business. In the year 2007, many leading international corporation continued investing billions USD in Vietnam, such as Intel, Foxconn, Nidec, Renesas, etc. In addition, not only the leading firms on hardware, big companies in software engineering and IT solutions like Yahoo, IBM, Vodafone, eBay… also expanded their operations and sales representative in Vietnam, giving IT industry a chance to become a very attractive investment sector of Vietnam (Hoang, 2007).
Among the domestic firms, apart from several leading firms with a long time in IT business, almost the firms are very young; many of them are under five year-old. Small firms in IT industry in Vietnam are now moving fast towards the rapid changes within the industry, taking advantages of being a small, flexible. Nevertheless, as being young and small, companies have to deal with many issues at once, both external and internal, such as competition, unpredictable various customers’ needs, finance management, facilities, and especially human resource management (HRM).
HRM is of special interest to SMEs because for these firms human resources play a vital role in developing and sustaining competitive advantage (Lado and Wilson, 1994). Hornsby and Kuratko (2003) address the significant of a well-motivated, highly skilled workforce as key for smaller firms. HRM may provide a vehicle for SME development.
In Vietnam, there are more and more small companies entering the IT market, the needs for IT skilled labors are increasing gradually. Small firms are seeking to better understand how HRM could be differed according to firms’ size. Brand and Bax (2002) agree that small and medium firms consider their HRM problems to have top priority.
Because of the new activated IT market and young entries in business operations, small firms in Vietnam now really concern about the personnel recruitment and selection, which are the very first steps in building up good intellectual resource for the company. That is one of the top priorities in HRM in Vietnam.
This research is going to be conducted in a SME in Vietnam – Global Digital Convergence Joint Stock Company (GDC). GDC is a young company with two years in operation, offering Enterprise Resource Planning System (ERP) and Web-based system for both large and small enterprises. GDC is now growing fast with high increasing monthly number of IT products solutions, stable growth, and well planned future expansion. Human resource management is one...
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