VNU- UNIVERSITY OE ECONOMICS AND BUSINESS SCHOOL OF BUSINESS ADMINISTRATION APPLYING LEAN MANAGEMENT IN HUMAN RESOURCE MANAGEMENT AT TOPICA ENGLISH EDUCATION CORPORATION (TPE) BY NGUYEN THI HOAI A THESIS SUBMITTED IN PARTIAL FULFILMENT OF THE REQUIREMENTS FOR THE DEGREE OF BACHELOR OF BUSINESS ADMINISTRATION (INTERNATIONAL STANDARD PROGRAM) Hanoi - May, 2017 VNU- UNIVERSITY OF ECONOMICS AND BUSINESS SCHOOL OF BUSINESS ADMINISTRATION APPLYING LEAN MANAGEMENT IN HUMAN RESOURCE MANAGEMENT AT TOPICA ENGLISH EDUCATION CORPORATION (TPE) Supervisor's name: Dr.Nguyen Thi Phuong Dung Student’s name: Nguyen Thi Hoai Student ID: 13050366 Intake: QH2013-E Program: International standard Hanoi — May, 2017 TABLE OF CONTENTS ACKNOWLEDGEMENT i LIST OF ABBREVIATION ii LIST OF FIGURES iii LIST OF TABLES iv ABSTRACT V INTRODUCTION 2 1. The significance of the research 2 2. Research purposes and research questions 3 3. Research objects and scope 4 4.
The contribution of the research 4 5. The structure of the research 4 CHAPTER 1: LITERATURE REVIEW 6 1.1 The theory of lean management 6 1.1 Lean management definition 6 1.2 The history of lean management 7 1.3 The development of lean management 9 1.4 The main concepts of Lean management 10 1.5 The Lean management tools 10 1.2 Lean management in Human Resource Management.1 The overview of HRM 16 1.2 Applying lean management philosophy to HRM 19 CHAPTER 2: RESEARCH METHODOLOGY 24 2.1 Direct observation 2) to tN Wo Ww oO 5.4 Data Collection 28 CHAPTER 3: THE CURRENT SITUATION OF HUMAN RESOURCE MANAGEMENT AT TOPICA ENGLISH CORPORATION EDUCATION 29 3.1 Introduction of TOPICA English Corporation Education.1 An overview of TPE 29 3.3 Main activities and products 32 3.5 TPE four main stages of HRM 34 3.2 Identifying and analyzing wastes, causes of wastes and the results in HRM process at TPE 40 3. Identification of wastes 40 3.2 The causes of Tangible wastes 43 3.3 The cause of Intangible wastes 46 CHAPTER 4: SOLUTIONS AND RECOMMENDATIONS FOR APPLYING LEAN MANAGEMENT ON HUMAN RESOURCE MANAGEMENT AT TOPICA ENGLISH EDUCATION CORPORATION. Directions of improving HRM by lean management 53 4.
Solutions and recommendations 53 4.3 Applying Lean Management in Human Resource Management at Topica English Education Corporation 55 4.1 “Tam the” recommendation 55 4.3 “Kaizen” recommendation 58 CONCLUSION 61 REFERENCES 62 APPENDICES 64 ACKNOWLEDGEMENT On preparing and completing my thesis, I was very lucky to receive numerous support and encouragement from many people. And this is hereby to express my sincere gratitude to them. Initially, I would like to send my special thanks to Topica edtech group for their acceptance to let me be an apprentice here. This gives an active and professional working environment.
I can learn a lot from Topica’s organizational culture and working styles of the staffs. Secondly, I would like to express my gratitude to Ms. Hao - my supervisor at Topica and to the staffs here. Special thanks go to all people who work at Teacher management department.
All of them did help me a lot by providing necessary information, sharing their working experiences here and their techniques of management. Moreover, I would like to express my deep appreciation to my supervisor Dr. Nguyen Thi Phuong Dung, lecturer of Business Development Faculty — University of Economics and Business, for her consistent availability, guidance and encouragement. Without her help, I could not build up a good outline and find me the right way to complete the study.
Besides, it would be an unforgivable mistake if I forgot to convey my gratefulness to all professors who have taught me during the time I studied at University of Economics and Business, under their teaching, I improved a lot both my knowledge and soft skills that help me to overcome the internship time. Finally, 1 wish to thank all my alumnus and friends to for their sharing, support and encouragement needed during my implementation of this paper. il LIST OF ABBREVIATION Human resource management Kaizen suggestion system PDCA Plan — do — check — act Key performance indicator ill LIST OF FIGURES Figure 1.1 The 5s process to organize the workplace Figure 1.2 PDCA Cycle Figure 2.1 The process of conducting the paper Figure 3.1; The mission of TPE Figure 3.2 TPE `s organizational structure Figure 3.3 Conditions to be evaluated of teachers Figure 3.4 Evaluation process at TPE Figure 3.5 Compensation and benefits detail Figure 3.6: Schedule registration on week 11 at TPE IV LIST OF TABLES Table 1.1 Types of wastes in HRM 19 Table 2.1 Questionnaire design 25 Table 3.1 The process of recruitment and selection at TPE 33 Table 3.2: The training and development at Topica 35 Table 3.3: Some kinds of wastes, the causes and the results 4] Table 3.4: The target and the regular ratio of the drop-out teachers 44 Table 3.5 The number of total teachers at Topica 45 Table 4.1 Solutions and recommendations of the author 33 ABSTRACT Lean management philosophy has been widely applied in the manufacturing sector but studies involve in applying lean philosophy in the human resource management field is less common. This research will show the wastes and its causes in managing human resource at Topica English Education Education Corporation - an English leading online education provider in South East Asia and then provide some recommendations for these wastes basing on Lean management philosophy.
The author will use two main research methodologies including direct observation and semi-structured interview to perform the study. One special point is that the “human resource” the author wants to analyze is not the staffs working at Topica .but the objects that the author mentions during the thesis is the “teachers” who were teaching online and comes from all over the world. They are the core value of the products of Topica and now reach to the number of 1600 people but the process of managing them at Topica is not really good that leads to many wastes. Those are the reasons why the author wants them to be the objects in this research.
After the long observation and research period, the author decide to use some well- known lean management tools to solve the existing problems in managing “teachers” at Topica. Specifically I am going to use “5S”, “Kaizen” and “Tam the” tools. Keywords: human resource management, lean management, wastes INTRODUCTION 1. The significance of the research Nowadays, human resource can be defined as the most important resource to affect organizational performance.
Hence, the study of how to manage employees efficiently is extremely important for organizations to develop their competitive advantage in today’s business environment. Thus, HRM plays a significant role in influencing employees’ behavior within organization (Cowham,2008) To improve the quality of human resources management, the concerning target for TPE that is reducing and cutting wastes in processes such as recruitment, labor selection, training and development, performance management, reward to optimize resources and increase quality. Thus, application lean management philosophy in HRM is essential. The success of lean management philosophy has been proven in many countries around the world, especially in Japan.
This concept is not only applicable in manufacturing sector, but also in office environment and hospitals (Chaneski, 2005; Balle & Regnier ,2007). In Vietnam, lean management is applied almost in manufacturing companies through some popular lean tools such as 5S, Kaizen, visual management. One of the most common research about lean management in Viet nam is “Made in Vietnam” lean management philosophy that focuses on attitude of people while working. This research was introduced by Dr.
Nguyen Dang Minh -Dean of School of Business Administration - University of Economics and Business The application of lean management philosophy in HRMis still a new concept in the world in general and in Vietnam in specific. During the time working at Teacher management department of TPE, the author had many opportunities to discuss with many workers, staffs, the Head of the department about the recruitments, training and development, timekeeping and several teacher related problems. During that time, the author recognized existing waste in HRM process at TPE. Consequently, the author had a strong desire to choose the topic: “Applying lean management in Human Resource Management at Topica English Education Corporation” 2.
Research purposes and research questions The main objective of the research is to find the solutions to apply lean management philosophy to enhance to HRM at TPE From this, companies can take it as a reference of applying lean management in HRM. Therefore, the author hope that t can improve the human resource management by eliminating the existing wastes and furthermore, increasing the competitive advantage in the market. Through the research, the author also wants to bring a different sight in the author’s point of view in applying lean management in HRM, specifically in four main contents which are recruitment and selection, training and development, performance appraisal, compensation and benefits at TPE In the later content of the research, the author will answer the 2 main questions: e Thefirst research question: What are the wastes in four contents of HRM at TPE? (recruitment and selection, training and development, performance appraisal, compensation and benefits) e The second research question: How to apply lean management philosophy in HRM at TPE? 3. Research objects and scope - Research objects: four contents of HRM including recruitment and selection, training and development, performance appraisal, compensation and benefits applying in 1600 teachers - Research scope: + Content scope: Figuring out wastes and applying some lean tools to four content in HRM + Space scope: Topica English Education Corporation + Time scope: From December 2016 to April 2017 4.
The contribution of the research This study contributes to both the theoretical and practical dimensions of applying lean management philosophy to four main contents of HRM that are recruitment and selection, training and development, performance appraisal, compensation and benefits. From this, practitioners and researchers may have a background of how to apply lean management philosophy in HRM. Through this research, it may help the enterprise to actively implement and improve their current HRM process. The structure of the research Apart from the acknowledgement and the introduction, this study is carried out in four main chapters including: ® Chapter 1: Literature review: This chapter will provide theoretical framework the research.
It includes fundamental concepts about lean management and HRM including four main contents that are recruitment and selection, training and development, performance appraisal, compensation and benefits. ® Chapter 2: Research methodology: This chapter will describe the context where the research is conducted. In addition, it will also provide detail research method from preparing for collecting data to analyzing data Chapter 3: The current situation of TOPICA English Corporation Education: this chapter will give a description of data collected, and then showing analysis results about the wastes and problems in four contents in HRM at TPE, which are recruitment and selection, training and development, performance appraisal, compensation and benefits Chapter 4: Solution and recommendations for applying Lean Management on Human Resource Management at TOPICA English Education Corporation: This chapter is to give the solutions and recommendations from the author’s opinion on the wastes at TPE CHAPTER 1: LITERATURE REVIEW 1.1 The theory of lean management 1.1 Lean management definition There are several definitions of lean management. The core idea of lean management is to maximize customer value while minimizing wastes.
Simply, lean means creating more value for customers with fewer resources. A lean organization understands customer value and focuses on its key processes to continuously increase their efficiency. The ultimate goal is to provide perfect value to the customer through a perfect value creation process that has zero waste. To accomplish this, lean thinking changes the focus of management from optimizing separate technologies, assets, and vertical departments to optimizing the flow of products and services through entire value streams that flow horizontally across technologies, assets, and departments to customers.