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The strategic international human resource management issues that the branch of the Vietnamese Pha Lai glass company has to face through human resource process.

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Executive summary: In order to explore the role of strategic international Human Resource management in making multi-national organisations competitive, this assignment reflects the strategic international human resource management issues that the branch of the Vietnamese Pha Lai glass company has to face through human resource process: (Polycentric approach). - Some introduction about Pha Lai glass manufactory - Some introduction about Laos and PEST analysis - Issues relating to Human resource process in Laos: + Forecasting labour demand and supply + Recruitment + Selection and placement + Training + Appraisal performance + Remuneration and benefit + Compensation + Occupational health and safety - Issues relating to Vietnam expatriate managers : + Cross-culture suitability (Geert Hofstede (1984) in cross culture study) + Family requirement + Language + Host environment in Laos - Some best examples for other Vietnamese organisations have success in operations in Vientiane, the capital of Laos. Introduction: In the new background, as Vietnam became an official member of international organisations such as Asean, Apec, Afta and along with the integration trend of Vietnamese economy into the Asean economy and the world economy, the business environment will be opened up with a lot of new factors, more opportunities accompany by more challenges. Therefore, competition becomes fiercer and fiercer. This situation requires Vietnamese enterprises have to a more long-term prospect as well as more effectiveness about their development. Engaging in international operations is one of the most suitable strategies that many Vietnamese organisations choose for their existence and development. The Pha Lai Glass company is one of the typical examples for that. The company has successful performed in the domestic market over the past five years, and now it is in the early stages of a feasibility study for expanding its manufacturing capacity, and as part of the strategic plan is considering establishing a plant in a foreign country, Laos, which is the neighbour country of Vietnam. ...read more.


in cross cultural study, there are four kinds of culture as follows: - Power distance (PD) is the extent to which an unequal distribution of power is accepted by members of a society. - Uncertainty avoidance (UA) is how much members of a society are threatened by uncertain and ambiguous situations. - Individualism - collectivism (I) is the tendency to take care of oneself and ones family versus the tendency to work together for the collective good. - Masculinity-femininity (M) is the extent to which highly assertive masculine values predominate (acquisition of money at the expense of others) versus showing sensitivity and concern for others' welfare. (source: Geert Hofstede (1984) - cross cultural study) The cultural environment in which Vietnamese managers operate is an important factor in determining successful performance. Laos has some features of the uncertainty-avoidance culture that will be convenient for Vietnamese managers in Laos. Because Laos has a good traditional culture for long-time ago, and up to now, it is still kept and developed more brilliantly. A good cultural environment will assist Vietnamese managers avoid the culture sock as well as stress at work. Family Requirements The contribution that the family, particular the spouse, makes to the success of the international assignment is now well-documented. However, there are other issues that the planners needs to concern due to a spouse or partner's difficulties with adapting to life in Laos as well as covering all of the Vietnamese expatriate family's living cost. Language The ability to speak a second language is an aspect often linked with crosscultural ability (Dowling, Welch and Schuler, 1999). Language skills may be regarded as of critical importance for managerial positions. Tung (1986) suggested knowledge of the host-country's language is an important aspect of expatriate performance, regardless of the level of position. Differences in language are recognised as a major barrier to effective crosscultural communication. Thus, Vietnamese expatriate managers must be good speaking Laos's language people in order to perform operations of the branch effectively. ...read more.


Line directors must have a large responsibility in ensuring that program intervention is implemented, demonstrated to Laos's workers that occupational health and safety objectives are supported at all levels. Conclusion The ability to manage Human resources on an international basis is one of the first important issues that any manufactory must assess before expanding its operations abroad. With fully detailed analysis about the opportunities as well as the challenges that the branch will have to face in Laos, I, as a role of the Human resource manager in the factory, believe that applying International human resource management strategy above can help the branch of Pha Lai glass factory have many prospects for further sustainable development in Laos as well as in other countries in the future. Current examples of best practices suitable to the company There are many Vietnamese enterprise have operations successfully in Laos, some examples below are the most obviously detailed evidences that are realistic and feasible to illustrate. - Dien Quang Lamp Company had already set up a distributorship and agency in Vientiane. Now it was looking to expand. "Dien Quang products are exported to 18 countries all over the world, including in Asia and the Middle East. In 2002, we aimed at breaking into the Lao market and this year, we had an advertising plan to take our trade name to Lao consumers" Mr Phan Ngoc Huy, Assistant General Director of Dien Quang Lamp Company said. - Mr Dam Van Hong, from the Sales and Marketing Department of Saigon Plastic Company said the company was planning to build a factory in Laos. "Our factory will be located at Km 7 and will be 4,000 sq m in Area. - The Vietnam trade representative office in Laos said almost all the Vietnamese business that joined the That Luang Trade Fair on this occasion met their targets to penetrate the local market, to find partners to establish agencies or become distributors and to introduce high quality products to the Laos consumer. (Source: http://www.mot.gov.vn/Laowebsite/News. ...read more.

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