TOPIC: “BUILDING DEVELOPMENT STRATEGIES FOR ELECTRIC POWER UNIVERSITY IN THE PERIOD 2010-2015” 1 TABLE OF CONTENTS ABBREVIATIONS INTRODUCTION CHAPTER I: THEORETICAL BASES ON STRATEGIES AND BUSINESS STRATEGIC BUILDING 1.1 Fundamentals of strategies and strategic management 1.1 The concept of strategy 1.2 The concept of strategic management and tasks 1.3 Competitive advantage analysis and SWOT analysis 1.1 Competitive advantage analysis 1.6 Monitoring of strategic implementation 1.7 Theoretical models of business strategy 1.8 Theory of management functions of the business 1.3 Financial and accounting CHAPTER II: STATUS OF STRATEGIC IMPLEMENTATION AT EPU 2.1 Introduction about Electric Power University (EPU) and Electricity of Vietnam (EVN) 2.1 Electric Power University 2.2 Electricity of Vietnam 2.2 Analysis of situation and results of business activities at Electric Power University 2.1 Financial plan implementation 2.3 Analysis of strategic issues and management at Electric Power University 2.1 Current situation at EPU 2.2 External environment analysis CHAPTER III: BUILDING STRATEGIES FOR EPU IN THE PERIOD 2010-2015 3.1 Mission and objectives 3.1 Summary of analysis results in Chapter II 2 3.3 Proposal for development strategies of EPU in the period 2010-2015 3.1 Development strategy on training 3.2 Development strategy on scientific-technological research 3.3 Development strategy on international cooperation 3.4 Strategy on quality improvement 3.5 Development strategy on human resources 3.6 Development strategy on material-technical facilities 3.7 Development strategy on financial resource 3.4 Deployment and control of development strategies at EPU 3.1 Action plans for strategic implementation 3.2 Implementation, control, and evaluation of plans and achieved results CONCLUSION REFERENCES 3 ABBREVIATIONS AIT Asian Institute of Technology AUQNA ASEAN University Quality Network Assurance MoET Ministry of Education and Training C Cost JSC Joint Stock Company EPU Electric Power University EU European Union EVN Electricity of Vietnam ISO International Standards Organization JICA Japan International Cooperation Agency NTU Nanyang Technological University NUS National University of Singapore P Price R&D Research and Development RMIT Royal Melbourne Institute of Technology SWOT Strengths, Weaknesses, Opportunities, and Threats UNDP United Nations Development Programme V Value WTO World Trade Organization 4 INTRODUCTION Due to the current international, regional and national socio-economy at present as well as the development of science, Electric Power University (EPU) needs to become a modern, advanced university to take the responsibility to supply high quality human resources and meet the requirements of both the electricity industry and the society. Development Strategies of EPU in the period 2010-2015 will change the university to a leading university in Vietnam in the area of electrical engineering technology, economics and management. The regional education has reached a high level, therefore Vietnam is rapidly implementing educational renovation to achieve a similar level in terms of both growth and quality. The main objective for the next five years is to focus on the expansion of EPU.
In addition, by 2015, the university will strive to establish a subsidiary university in the field of economics and management. Besides, EPU also aims to focus on upgrading facilities to meet the demand and quality of learning; to develop teaching staff; to enhance scientific research; in parallel, to mobilize financial resources to ensure the development process. The basis to build development strategies is to analyze the domestic and international context, experience of development process and forecast of development demand in future. All education-related documents about the institution, regulations of the Vietnamese Government are as follows: The Education Law approved by the 11th National Assembly of Vietnam, 7th session on June 14, 2005.75/2006/ND-CP dated 02/8/2006 of the Prime Minister on detailed regulations and guidelines to implement some certain provisions of the Education Law.14/2005/NQ-CP on November 2, 2005 of the Government on fundamental and comprehensive renovation for Vietnam’s education in the period 2006-2020.
University regulations issued in pursuance of Decision No.153/2003/QD-TTg on July 30, 2003 of the Prime Minister and Circular No.18/2004/TT-BGD&DT on June 21, 2004 of the Ministry of Education and Training provide the implementation guidelines on university regulations.201/2001/QD-TTg on December 28, 2001 by the Prime Minister on approving development strategies of education from 2001 to 2010.47/2001/QD-TTg on April 4, 2001 by the Prime Minister on network planning of universities and colleges in Vietnam in the period 2001-2010.176/2004/QD-TTg of the Prime Minister: o Electricity industry must be one step ahead, Electricity of Vietnam (EVN) must be a powerful economic group and an “iron fist” of Vietnam’s economy to serve the development of the country. o Fully meet the demand of electricity for socio-economic development (by 2010: 93 billion KWh; by 2020: ~200 billion KWh). o Focus on scientific research, advanced technologies for electricity production, transmission and distribution. 5 Background and significance of research Integration to the world economy is an inevitable trend and an objective requirement for any country in the development process.
This trend is increasingly clearly shaped, especially when the market economy is becoming a common playing field for all countries, the financial market is expanding its range of activities to the state of almost no border, creating both favorable conditions to strengthen cooperation as well as more competition. In the field of education and training, international integration can be understood as the country’s openness of educational activities to the world knowledge community through cooperation and linkage of training, exchange of teachers and students, overseas study, and other educational activities as well as to remove obstacles that prevent connections to the rest of the world. In the integration process, universities and training institutions have to compete directly one another to survive and develop; If they want to maintain profitability and competitiveness, they need to frequently renovate and develop in all aspects: infrastructure, quality of teaching staff, training programs, teaching methods, services, organizational structure, management skills, quality of the quality control system as well as to continuously build up their reputation and brands. In the present context, when the Vietnam’s economy integrates into the world economy, there are a lot of both opportunities and challenges.
Especially, the globalization trend requires Vietnam to meet the demand of human resources in conformity with the development of science and technology. It requires universities, colleges, and training institutions to have qualified personnel to meet the needs of providing high quality human resources training for the society. Both the trend of socialization of education and integration of international education, as well as the increasing competition in education force schools to develop strategies to increase their competitiveness. Therefore, units in the electricity industry, especially EPU, must have suitable development strategies of their own.
After more than four years of operation, EPU has achieved the following results: the number of students increased both in quantity and quality (number of graduated students: 492 students in 2006; 1048 students in 2007; 1243 students in 2008), entry exam grades (19.5 in the school year 2005-2006; 19.5 for the first choice, 22.5 for the second choice in the school year 2006-2007; 17.0 for the first choice, 21.5 for the second choice in the school year 2007-2008), the number of graduates compared with the number of students admitted was 61% in 2008), teaching staff keeps increasing (with 353 staff and teaching staff in 2008), the average number of students per teacher is 27.5 (2008), facilities (total area of classrooms is 3.699m 2, classroom area per student is 0.76m2, the number of computer for a regular student is 0.76, dormitory area for a regular student is 0.45m2), reputation is established in the market (graduated students are accepted in subsidiaries of Electricity of Vietnam, joint ventures with foreign partners, and non-state and state enterprises), international linkage training programs (Vietnam-Australia, Vietnam-China, Vietnam-Japan) have contribution to the development of the university, supplying education and training services to meet the demand for high quality human resources of the society. In terms of integration, EPU will have to face with an increasingly fierce competition which could threaten its existence and development. Therefore, the university must build strategies for the next 5 years and for the following years - an extremely difficult period for all universities in Vietnam. As management staff of EPU and of subsidiaries of EVN, our group is very keen on the above problems and therefore, we decide to choose the topic of “Building Development Strategies for Electric Power University in the period 2010 -2015”.
6 Purpose of research Research and systematize the theoretical bases of strategies to formulate strategies for Electric Power University. Analyze and assess the operational situation and competitive environment of EPU, from which analyze and select appropriate strategic plans for the development of EPU in the next 5 years. Construct solutions for implementing strategies. The research is to study the actual situation of electricity industry and EPU, from which suggest appropriate strategies for the university in the period 2010-2015.
The proposed strategies are to help EPU reach the regional level and develop multi-disciplinary training programs to meet the needs of high quality human resources of the industry and the society. Research Methodology The data for this thesis is collected from primary sources, extracted and synthesized from periodical reports of EPU, from the websites of the Ministry of Education and Training, the Ministry of Labor, Invalid and Social Affairs, universities and colleges, and professional secondary schools. In addition, the thesis also refers to some reference books, magazines, and specialized training materials. Methods applied in this research are: Document research (Desk research); Case study; Comparative approach; Expert method; SWOT analysis.
In the process of analysis, the authors use the method of comparison and synthesis of data from EPU in the past and at present, as well as the method of comparing EPU’s data and operational indicators with those of some other universities. At the same time, the authors consult with the board of management, experts, and departmental managers at EPU on the scores of evaluation. Introduction of topic structure Apart from the introduction, conclusion, appendices and references, the thesis includes three chapters as follows: Chapter 1: Theoretical bases on strategies and business strategic building Chapter 2: Status of strategic implementation at Electric Power University Chapter 3: Building development strategies for Electric Power University in the period 2010-2015 7 CHAPTER I: THEORETICAL BASES ON STRATEGIES AND BUSINESS STRATEGIC BUILDING 1.1 Fundamentals of strategies and strategic management 1.1 The concept of strategy According to Chandler: “Strategy is the determination of goals and long-term purposes of the business, and the approval on series of actions and allocation of resources needed to implement these goals”. The definition of strategy can be summarized under five Ps: Plan: A series of consciously intended actions.
Pattern: The consistence of behavior through time, whether intended or not intended. Position: The match between the organization and its environment. Perspective: The way to deeply and fully understand the world. Ploy: Specific methods to overcome competitors.
There are three strategic levels in the organization, including: Strategy for the company: we discuss common purposes and scope of the organization. Strategy at business unit level: Mainly interested in competition method in a specific market. Functional strategy: strategy helps strategies for the company and for business unit level efficient.2 The concept of strategic management and tasks Strategic management is a set of management decisions and actions determining the long-term productivity of a company. Strategic management includes continuous actions: review the environment (both internal and external); build strategies, implement strategies; control and evaluate strategies.
Therefore, strategic research focuses on monitoring and evaluating external opportunities and threats in the context of internal strengths and weaknesses. Environmental Strategic Analysis Implementation Strategic Building Strategic Control and Evaluation Figure 1. Process of strategic management Strategic management tasks Developing Setting goals Building Implementing Developing strategic strategies to and operating strategic perspective achieve goals chosen perspective and mission strategies and mission Figure 1. Tasks of strategic management process 8 Developing a strategic perspective: Specify future image of the company, specify where the company wants to go and what kind of company it wants to be? Setting goals: Change the strategic perspective into specific implementation results that the company must achieve.
Building strategies: To achieve desired objectives.