1 UNIVERSITY OF ECONOMICS HO CHI MINH CITY International School of Business ------------------------- Tran Ngoc Quynh Anh MILLENNIALS TURNOVER & RETENTION OF COMMERCIAL FUNCTION IN NIELSEN VIETNAM MASTER OF BUSINESS (Honours) Ho Chi Minh City – 2016 TIEU LUAN MOI download : skknchat@gmail.com 2 UNIVERSITY OF ECONOMICS HO CHI MINH CITY International School of Business ------------------------- Tran Ngoc Quynh Anh MILLENNIALS TURNOVER & RETENTION OF COMMERCIAL FUNCTION IN NIELSEN VIETNAM ID: 22140002 MASTER OF BUSINESS ADMINISTRATION SUPERVISOR: Nguyen Thi Mai Trang Ho Chi Minh City – 2016 TIEU LUAN MOI download : skknchat@gmail.com 3 Executive Summary Employee’s turnover & retention has been a big concern for employer, which may impact very much on the business performance time by time. While employer continues their search for good talents in Generation X to fill the job openings that Baby Boomers leave vacant when retiring from the workforce, it is the time for Millennials to enter the workforce, which value different things from other generations. Therefore, this is the required action for employers to understand and appreciate the qualities and values of this cohort in order to for them to be loyalty with the company and for employee to retain them. This is also the biggest concern of Nielsen Vietnam in general and Human Resources department of Nielsen Vietnam in specific, when the Young Millennials is the big focus, the big investment in Nielsen – the leading market research company in Vietnam.
This research will identify and outline the reasons why Millennials in Commercial Function of Nielsen Vietnam decided to leave the company and what are the considerable reasons that they decided to stay. Also, some of the proposed solutions and strategies have been build and developed in order to retain Generation Y. The methodology used in the thesis is the qualitative research design, which we use in depth interview with 8 respondents from 4 main groups. Moreover, The secondary data of leavers, Millennials turnover analysis and insights about the reasons of Millennials leaving, which were implemented by Human Resources in Nielsen Vietnam will help to provide the overall picture of Millennials turnover commercial function in Nielsen Vietnam and the solutions to solve the issue.
TIEU LUAN MOI download : skknchat@gmail.com 4 Acknowledgments Without the encouragement, guidance and support of Professor Nguyen Thi Mai Trang and Professor Nguyen Dinh Tho, the entire master-level project would not be possible. I would like to send my appreciation to my advisors. It has been a pleasure working with you on this project. I would like to thank my friends and family for greatly supporting me while I was working on my research.
Your patience, understanding and respect were greatly appreciated. TIEU LUAN MOI download : skknchat@gmail.com 5 TABLE OF CONTENTS Executive Summary. Error! Bookmark not defined. 4 LIST OF TABLES.
The Nielsen Company and Nielsen Vietnam. Nielsen Vietnam structure. The Millennials status in the workforce. The Millennials turnover status in the market research service industry.
The Millennials status of the Commercial function in Nielsen Vietnam .19 Factor of Work-life balance: .23 Factor of Compensation & Benefits: .26 Factor of Engagement: .27 Factor of Reaching career goal quickly:.29 Factor of Leadership style: .29 Cause-and-effect tree. CAUSES OF THE PROBLEM. The first alternative solution: Human Resources team to speed up the current recruitment process. The second alternative solution: The line managers assign or allocate the appropriate workload to members in the team.
The third alternative solution: Improve the Onboarding Program .4 The fourth alternative solution: Reorganize the time & task management training sessions. ORGANIZATION OF ACTIONS AND SUCCESS MEASUREMENT. Actions from the organization:. Success measurement after taking actions:.86 TIEU LUAN MOI download : skknchat@gmail.com 6 LIST OF TABLES Table 1.
Talent Acquisition Report updated in June 2016. Recruitment - Referral from Existing employees & universities. Analytics of Commercial function’s turnover rate. Analytics of tenure of existing millennials.
Analytics of tenure of Millennials leavers. Exit Survey Report in 2015 – Commercial team. Exit Survey Report in 2015 – Commercial team. Recruitment Tracking Report.
Recruitment cost per new hire. Training cost for line manager on obtaining the negotiation & allocation skills. Tenure of existing millennials. Tenure of Millennials leavers.
Training cost per new hire. Training Participation rate report. Training cost for time & task management per Commercial associate. Recruitment Expectation and Operation in Nielsen Vietnam.
54 LIST OF FIRGURES Figure 1. Nielsen Vietnam structure .S Labor Force by generation from 1995 to 2015. Millennials Believe in life at work. What Work-Life Balance means to Millennials.
Nielsen Vietnam workforce by age & generation. Nielsen Vietnam workforce by age & generation – Commercial Function. Exit Interview Report in 2015 – Commercial Function. Exit Interview Report in Q1&Q2, 2016 – Commercial Function.
21 Figure 9: Cause and effect Tree. 31 TIEU LUAN MOI download : skknchat@gmail. The Nielsen Company and Nielsen Vietnam The Nielsen Company, operates as a market research agency, has more than 41,000 associates and operates in more than 100 countries spread across Africa, Asia, Australia, Europe, Middle East, North America, South America and Russia. It is known as 93 years of non-stop innovation company, with the first marketing research and performance survey was produced in 1923 to the leading market research company in the world was announced nowadays.
In particular, Nielsen is the world’s leading provider of marketing information, audience measurement and business media products and services, named number 1 of top 50 largest market research films in the world.1 Nielsen’s passion and the very heart of the business are once clients are eyeing in the next town or across countries; they understands the importance of knowing what consumer watch and buy, in order to deliver critical media and marketing information, analytics and industry expertise to clients. From that, they help clients maintain and strengthen their market positions and identify opportunities for profitable growth. The mission of Nielsen are to provide clients with the most complete understanding of consumers and markets worldwide, never stops developing better solutions to help clients meet the need of today’s consumers and find out where they are headed next. Nielsen people lives for the values of the company, including: Open, Simple and Integrated.
In details, be open, in term of speaking candidly and authentically, sharing information freely, being receptive to change and easily adapt, accepting and acting upon feedback without being defensive. Be simple, in term of removing obstacles to complex problems, communicating in plain and simple to understand language, resisting over analyzing information, simplifying and taking work out of processes. Be Integrated, in term of building collaborative relationships within own team and across businesses or geographies, challenging operating in a “siloed” or insular manner and willingly developing, promoting, “export and import” talent from other parts of Nielsen. Established in 1993, Nielsen Vietnam has become the country’s leading provider of marketing and consumer information, offering strong capabilities and local knowledge across qualitative, TIEU LUAN MOI download : skknchat@gmail.com 2 quantitative, media and retail measurement led by teams covering Fast Moving Consumer Goods, Consumer Products, Automotive, Finance, Pharmaceuticals, Real Estate and Tourism, Telecommunications, Industry and Manufacturing.
Nielsen Vietnam has over 2,400 employees and contractors in all 64 provinces; Ho Chi Minh City is the place where headquarter located. Moreover, Nielsen Vietnam has 5 other representative offices, such as: Ha Noi, Hai Phong, Da Nang, Nha Trang, Can Tho. Nielsen Vietnam has the in-house operations with around 1000 employees that help to deliver the operation excellence for the company’s business. People at Nielsen Vietnam mentioned a lot about the Nielsen experience, including: “I can be myself”, “I can make differences” and “I can grow with Nielsen”, which encourage them to work and continue contributing to the company.
Nielsen Vietnam structure Figure 1. Nielsen Vietnam structure (Source: Nielsen Vietnam Human Resources) In Nielsen Vietnam, there are 3 main functions, such as: Commercial, Operations and Core Functions. In Core Functions, there are some different teams like: Finance, Information technology, Human Resources and Marketing & Communication, which indirectly support for TIEU LUAN MOI download : skknchat@gmail.com 3 the demand of the business. Each department goes with different operation methods, but aligns with the main objectives and strategies of the company.
In Commercial and Operations, the structure is divided based on the services that Nielsen is offering, including: Retail Measurement Service and Consumer Insights. And the Operation team (Production) supports for Commercial team (Sales) to bring the valuable contracts to the company. This thesis focuses on the research of the Commercial function, which has the responsibility to bring the revenue directly to the company. In the Commercial role at Nielsen Vietnam, they are the ones who make the selling, marketing, researching and consulting job when working with clients.
Therefore, it is easy to say that they are valuable assets and play key roles in the company and their contributions are extremely important in Nielsen business’ growth. So what is the meaning behind their work to make them so valuable and important to the company? The consumer’s world today is vast and interconnected. Every time consumers glance at the TV, computer, mobile phone or tablet, every time they enter stores, they are generating thousands of data points. Over time, these data points tell a story, which is about what influences consumers to make a purchase or consume content, and it is enough to create a market of potentially loyal consumers of the products or content.
And Nielsen people’s main role is to make something of that data, such as to organize it in a way that is usable, practical and meaningful for our clients. And information is the number one input to decision making and it is the fuel for growth, the leading ingredient needed to uncover unmet need and deliver against it. Therefore, those who are able to pass the recruitment round and join in Commercial team of Nielsen Vietnam need to have some specific skillsets and requirements, which are so rare in the market, in order to deliver the best insightful information to the clients. They influence the marketing and sales decision of the clients, they are involved in planning period, launching period, and execution period of the clients to make sure that the provided information or consulting works well and bring the revenue back to the clients.
Moreover, the market research major is not popular in Vietnam and this subject is not well educated in Universities Vietnam, so it is very hard to recruit the right people to Nielsen in general, to the Commercial team in particular. Therefore, it is even harder to retain them in Nielsen as they understand clearly and get into the business of the clients, they have the unique knowledge TIEU LUAN MOI download : skknchat@gmail.com 4 about the Vietnamese market, and they own the awesome skillset that not many people in Vietnam workforce luckily have, that’s why Nielsen Vietnam needs to focus on people retention strategy in order to keep the talents staying and developing at Nielsen Vietnam. They are such incredible assets of Nielsen in general and Nielsen Vietnam in specific. The Millennials status in the workforce The Millennials generally refers to the generation of people born during 1980s to arowund 2000; they are also known as the generation Y, as they come after the Generation X (born from the early 1960s to mid 1970).2 Millennials have been entering the employment in vast numbers and have become the key group of employee in the workplace.
The Bureau of Labor Statistics stated that Millennials will be the largest generation in the workforce by the end of 2015.3 In particular, when the clock clicks 2015, three of four workers across the globe will be from the generation Y.4 Moreover, the Pew Research Center3 showed the U.