A Global Companys Role In Vietnam Commerce Essay

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A global company which its activities in the same as Mother Company has a global strategy. Its product could be serviced and producted based on local customer's needs with standard quantity. Mean that having business supplies system flexible to local consumer.  

The company shares objectives, values and behaviors appropriate for its entire employee with different nation, different value points decentralized organization, such as the slogan of Holcim "strong, performance, passion"; Unilever's Principles describesthat their corporate purpose states that to succeed requires "the highest standards of corporate behaviour towards everyone we work with, the communities we touch, and the environment on which we have an impact."

The difficulty which a global company has to face with

For companies with a model-driven development of globalization, understanding local culture is vital and this is the biggest challenge for management in this century. Across cultures 

Glocal (roughly translated as global localization) is a combination of two from the global (global) and local (local time). In a recent book, Leading with Cultural Intelligence (Leadership in cultural understanding), David Livermore is also a renowned expert management has to explain why multinational companies need to localize global . He also explained why they need to understand that "things really do not have uniform global culture." According to the authors, not only interested in marketing, the company must also recruit and manage staff in different areas of the world. In the book, a survey of senior professionals from 68 countries showed that about 90% understand "leadership across cultures" (Cross-Cultural Leadership) is the biggest challenge in terms of management this century. Besides, various studies show that between 16-40% of the director was sent to work abroad have pity finish work early. In most cases, the failure is due to cultural differences arise, rather than lack of work skills. 

To solve the problem, the authors gave Livermore the concept of "cultural understanding" and the criteria to evaluate it are to understand the cultural indicators CQ (Cultural-Intelligence Quotient). Livermore has defined it as "the ability to work effectively across national cultures, ethnic groups and organizations." Livermore said that the company should prioritize the development of cultural understanding. That is how some leading companies require directors to have "emotional insight" and evaluate it through only understanding feelings of EQ (Emotional Quotient-intelligence). 

Most global companies have developed management systems according to company's or functional requirements, such as SAP, which provides efficient and effective support to decision makers.

Vietnam company culture

Vietnam is a country with thousands years of culture. Through different historical periods, the people of Vietnam have built point value system, principles of behavior and sense of community identity brought Vietnam bold. The influence of Chinese culture, Indian culture and Western culture has made Vietnam's cultural diversity, variety of colors. In addition, 54 people in our country are 54 different cultures, contributing to enriching the cultural identity of Vietnam. During the industrialization and modernization of the country now, on one hand, we must actively acquire business management experience of developed countries. On the other hand, should attempt to build an advanced corporate culture, in harmony with national cultural identity, the culture of each region, different regions to promote the creativity of all members in other businesses each other.

Features of national culture is respected human thought, how the harmony, the spirit needs food, the striving of self-reliance ... this is the advantage to build corporate culture broughtidentity in modern Vietnam. However, Vietnam culture has its limitations: a reinforced Vietnam strives to "honor the body in fertility", moderate love, still happy with poverty, easily satisfied with their immediate interests, competitive problems; ideological "disregard of agriculture" rooted in the psychology of Vietnamese small not to have hampered the expansion of market economy, as food, living habits of the economy scattered small farmers do not eat Added to the modern lifestyle, habits and conservative cult of experience, not daring innovation, innovation hinder the development of the modern enterprise ...

However, in today's knowledge society, these drawbacks are gradually overcome by education level of people is increasingly raising, opinion of value also has an important change. Along with the rapid changes of the world economy, especially when Vietnam has officially become a WTO member, business enterprise management needs to be reorganized in terms of harmonization and settlement relationship: relationship with human nature, the relationship between people and people, between individuals and communities, between nations and humanity ...

Today, Vietnam enterprises are facing new opportunities. Economic globalization requires the construction of corporate culture have calculated the step wise choice. Unable to happen the internationalization of business culture, that culture must be based on Vietnam to draw from the essence of humanity, creating an advanced business culture, but in accordance with the situation and Vietnam's cultural identity.

From the macro view, can see the process of establishing and building corporate culture is constantly changing according to the development of the era and the nation. From the 90s of the XX century until now has four main development trends of corporate culture:

- Respect for people as the subject behavior, respect and positive human dynamics in business, considering the advanced nature of the human element is the first important condition of development business;

- To attach importance to development strategy and fundamental goals of the enterprise to foster the sense of corporate culture to all employees;

- Attaching importance to the environmental management of material and spirit of the enterprise, creating a nice space culture, fostering a collective sense and spirit ...

unite in order to devote energy and intelligence to the enterprise;

- Appreciate the role of management involved employees, encouraging responsibility of all members of the amazing effects business. 

The administration also is heavy bureaucracy in Vietnam, especially in the pathogenesis of papers, written quite heavy. However, please know the patient, but Vietnamese people usually say is "keep calm". If your partner is a foreign business activity in Vietnam, the language is a gap. But with the state companies should be translated. Interpreters must have knowledge of your business, even to understand the local language which varies by region in Vietnam. Vietnam very polite person, always smiling and seems to agree with you, even if, in fact, they can not understand what you just said!

In return, you should also remain open. The most important thing in negotiating with the Vietnamese is patience! Look angry, not happy being considered a manifestation of the bad domains, are sure to encounter negative attitudes and reactions in the failed negotiation. During the work, the Vietnam often said, "we will consider", "we will respond." So if you need to decide soon, the best is that you send all necessary documents before the meeting. If the text is sent to the state agency, please write it in Vietnamese!

Opening the meeting will always be stories of "white clouds of heaven" on the edges. Do not be impatient; what it called "air"! You should also hide their lawyers "backstage" as the Vietnamese do not want to see him nor negotiating interested in all aspects involved from the law.

One important thing is to remain silent. Sometimes you have to use "martial" is, effectively, as partners to make demands or requests are unreasonable. Conversely, please respond immediately connected the letter sent to do and show you are interested in this market, whether you know that the recipients often did not respond to the slowdown for much!

For instance, Mark Fazackerley, Director of Oracle Technology in Sydney, has been to Vietnam three times, share the experience: "I wake up very early, breakfast finalized before 8 hours. All the work place much earlier than in Australia, Vietnamese people have the habit of siesta, even if negotiations are not completed. During the work, often have the appearance of women. Many times, just to give ... charming! But if you are lukewarm to her lack of courtesy is true.Conversely, it is best to communicate fun, but be assertive and clear when negotiating, decision-making ".  Professor Kyle Tyron, a professor of the few children less than 40 years of Macquarie University, Sydney, the following special interest to Vietnam for the first time in 2007 that: "Beer, lots of beer. Take the road is having beer. I love the little pubs in Hanoi. Human space and comfortable, unusually is busy. My partner is the National Economics University, they often invited for lunch at the luxurious restaurant after work. But I'm still a little pleasure out pubs or pubs over! ". 

Australia not only the cultural attention to Vietnam, a longtime friend of the Swedish press agency in the country, Mats Wikman, had himself "lucky" to have up to ten times over this sweet work of SIDA project. He said: "I have two" lives "and my wife loved children. It is great as it is shared immediately with friends in Vietnam. 

Vietnamese people love to talk to families and children. Even the first meeting I showed my little boy is the father of the year, showing me pictures of them. And everything goes smoothly since then. Between us is almost no concern about how, ect.

There are also some things you must know and accept. For example, to "scapegoat" the endless speeches of "leadership." Or search for something else to do while waiting for feedback job requirements. Must be decent quality wine train to "stand firm" in the intimate party ... However, it is more important than the opportunity to experience a different culture. And the difference itself was fun then. "

  Building a corporate culture in Vietnam.

  Corporate culture is the total value of the concept of peace, ethical standards, business philosophy, behavioral norms, business ideas, management methods and rules are all regimes in member companies Industrial accept, comply. Corporate culture gets the comprehensive development of man as the ultimate objective. The core of corporate culture is the spirit of enterprise and point value of the business.

in the development process, each company will strive to build a point value system for employees to accept, create harmony within the enterprise, a cultural atmosphere to promote positive strength of the collective culture, internal resources and enhance the strength of the business. Corporate culture is a development stage of thought in modern corporate management, reflecting the shifting strategic technology development to create products that contain high levels of culture. Therefore, culture can be regarded as business critical elements of contemporary business practices

 During the period of economic integration in the world today, corporate culture Vietnam has four distinctive features as

First, the collective: The concept of ethical standards by all business members accrue long-term business together completed, taking into account the collective.

Second, calculation rules: Business Culture is the combination adjustment: the case of personal interest and business conflict, the employees must obey the rules and regulations of the culture that business was out, and businesses must also listen and try to solve harmonic to eliminate conflicts.

Third, uniqueness: The business in different countries, different businesses in the same country are trying to build a unique corporate culture based on the culture of the area where the existing business. Corporate culture to ensure consistency within each enterprise, but between different enterprises should create their own uniqueness.

Wednesday, practical: only through practice, the provisions of the new corporate culture to be tested for further improvement. Only when corporate culture is to promote its role in practice it was really meaningful.

To promote the advantages of Vietnam enterprises in the context of global economic competition, when faced with foreign companies, enterprises need to consider Vietnam and further strengthen cultural business issues industry. Corporate culture is built upon not only stimulate complete production development efforts, but also of important significance for building reputation and brand your business. 

Many companies have failed in the effort to train staff to understand the cultural issues because they just stop at the theoretical, vague on respect for cultural diversity. To overcome this obstacle, the company must identify and address the specific cultural issues. When recruiting employees to go overseas or people from other countries, the company should try to identify the employee who is high and the index should on training and wage system.

Most multinational companies are pursuing smaller and its business with foreign markets through the Internet also increasingly interested in. Livermore's approach is one way some companies apply. For example, Yum! Brands, parent company of KFC and Pizza Hut, now use the model ABR (Achieving Breakthrough Results: Achieving breakthrough results) to integrate cultural and localization company. This model is by John O'Keeffe, an expert on governance and development.

Even the government realized that Obama is also to achieve double the export value in 5 years, American business people need to rapidly improve the understanding of other cultures. U.S. Department of Commerce has combined with the Global Learning Center of Livermore to develop training programs. As described Livermore, many small and medium-sized companies trying to export development will be fail unless they met improve cultural understanding.

Livermore recognizes the situation: "Most companies are still focused primarily on trade policy and ignore legitimate needs to think through the negotiations, marketing, distribution ... the cultural perspective." Therefore, understanding culture is always vital for companies in the context of globalization today.

Why could Vietnamese be in top management rarely in a global company?

The most frequent source of trained personnel and the high quantity and quality of training not fully meet the needs of the business. Standardization is the consulting firm Advanced Human Resources Group HRchannels consideration as staff quality often must meet certain basic criteria such as: fluent in foreign languages, was educated in the school's reputation Domestic or universities, the University of foreigners, at least 5 years experience working in key positions in multinational companies or the union collective reputation in and outside the country ... Thebasic criteria reflects the high quality human resources need to be able to adapt to work environment, culture and global business at the same time be able to work under high pressure and actually thinking acumen. To achieve this criterion, the only candidate not based on the training process-oriented careers, but also to find appropriate work environment to place and confirm their capabilities.


A comprehensive solution for long-term nature of the problem of high-level personnel needs to be made to treat this incurable disease. According to defense research and development of HRchannels HR Solutions Group, for enterprises using high-quality personnel, in addition to the competition, maintain high-level staff with appropriate mechanisms need to build value core and the attractiveness of the business through intangible value is the value brand and business culture. Corporate culture is important to keep therapy personnel against high-quality invitations, unsettled the attractiveness of the consulting firm and competitor. For workers, should soon have a proper career orientation with the ability of schools, and actively developing vocational skills to be able to adapt the work environment based on international communication skills in foreign language proficiency, job skills and modern economic thinking in the era of sensitive flat world. For Consulting & Training HR senior, HRchannels realize the need to combine good job counseling orientation and training for recruitment consultants in a unified supply chain Manpower. The above factors, the factors counseling and job-oriented skills training are under the title as the leading factor for establishing a stable supply and efficiency. The advice does not stop in the recruiting process to provide solutions consulting in depth on the overall structure of the performance based on culture and every business. Having such a recruitment consultancy, human resource has development of high quality new or more effective and sustainable.

Competition is the driving force of development. Businesses which took the initiative in the competition will be dominated to lead. According to the statistics of HRchannels, the combined business consulting services HR senior recruitment consultants to restructure the system associated with the construction of enterprise culture will create greater stability in personnel also as effective personnel system that brings. HR advice-oriented work in conjunction with counseling skills improved before, during and after the recruitment process will create a competitive position and build a stable career firmly in the present context.

Integrate in time the world is flat opportunities and challenges do not own one. Any enterprise to build and maintain the team's high quality emulsion based on core values is the culture of the enterprise will create competitive advantage and sustainable development. What country are building human resource system is created where the value of humanity. A multi-dimensional perspective in the detection, training and rational use of talents and resources will create the world for business and national development.

For nearly 20 years, with new policy change, Vietnam's economy has a great progress.However, with economic growth at present is not known ever to catch up with the new economy's current neighbors like Singapore and Thailand. The causes of this weakness be due to the recognized distinction between world and Vietnam on the characteristics of science and art of management is mentioned below? 

First, most of the country manager was appointed before and during the course of doing very little management is trained, the management system so they do not know the knowledge, skills essential functions of management as well as modern tools and support they practice an intuitive management, opening stumble, depending on knowledge, experience itself is also understandable. The consequence of the "hundred flowers blooming" in the practice of management is the loss of management systems in an organization itself as well as the loss of synchronization of the management system of the organization management systemManagement of other organizations. This is probably one of the causes of the phenomenon of "under the protection not listen" - the loss of control accidentally or intentionally between the management level that we often refer to? 

Second, the majority of managers in the public sector of Vietnam often came from the professional staff as pure. These are the lines: construction, engineering, technology, engineering ... the settlement's economic, cultural, social, and Professor, Associate Professor ... either from the staff grow from a certain specific job. They are appointed leaders - mainly because managers have made outstanding achievements in professional and not necessarily because they have leadership ability. Due to the nature of the work of the executive management organization, is working with people, beyond the professional work relatively independently. The appointment of such cross-rolls may lose as a scientist, a good professional in exchange for a soft gentle management. The fact of a famous mathematician is not always a good Institute of mathematics. A construction engineer has a number of initiatives, improvements, discoveries in the bridge construction is not always a director of Construction Company well. 

In the field of investment management, the management also become much easier. With a capital of not only large, anyone can become a director of a limited liability company, an owner of private enterprises do not need to know that they have sufficient management capacity or not.Consequently, only after a period of activity, company or business is losing, bankruptcy involves many implications other socio-economic. 

A manager in any field of any level who want to become good managers, outside Iowa can not master the skills in managing a minimum, that planning and building organizations, utilization of human resources, leadership and control. To do well in the above skills, developed countries, multinational companies now with the sweeping advances such as in science and technology especially in information technology, invented tools support is very effective and modern.Unfortunately this tool is still unfamiliar to most managers in Vietnam. Recently, a newspaper reported that 90% of Professor, Associate Professor of living in Hanoi Vietnam, of which 60% do not use computers. When GS and PGS, the leading scientists of the country afraid to adapt to the progress of science and technology can hardly expect those managers will have access to routine, learning the knowledge management and modern tools to help. 

In terms of product, professional management is a particularly important compared to other professions because of product management is the product of an organization of people from several to tens of millions of participants create. Quality management will determine the quality of the organization, so if you can not apply for management because management will not do harm to many people

Following on the trend of international economic integration is going strong, Vietnam is transforming with the flow on all fields. More than ever, want to prevail in a competitive environment, we must improve the capacity, quality of products, including human resource development are important determinants. Current reality, develop and improve the quality of human resources in general and high-quality human resources in particular is always the first concern of all businesses and nations.