ASSIGNMENT 2 FRONT SHEET

Qualification BTEC Level 4 HND Diploma in Business

Unit number and title Unit 3 Human resource management

Submission date Date Received 1st submission

Re-submission Date Date Received 2nd submission

Student Name Le Huynh Khanh Nguyen Student ID GBD210269

Class GBD1007A Assessor name Tran Thi Hong Nhung

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Table of Contents
1. Introduction.................................................................................................................................................4

1.1 The purpose of the report .................................................................................................................4

1.2 Introduction about Samsung ............................................................................................................4

2. Samsung’s digital business transformation .........................................................................................6

3. Internal and external factor afffecting human resourses .................................................................8

3.1 Internal ...................................................................................................................................................8

3.2 External ..................................................................................................................................................9

4. The proposal of motivation plans ....................................................................................................... 10

4.1 Learning and development plan ................................................................................................... 10

4.1.1 Definition ..................................................................................................................................... 10

4.1.2 Process ......................................................................................................................................... 11

4.1.3 Employee orientation ............................................................................................................... 11

4.1.4 E-learning and blended learning ............................................................................................ 12

4.2 Rewarding........................................................................................................................................... 12

4.2.1 Definition ..................................................................................................................................... 12

4.2.3 Strategy ........................................................................................................................................ 13

4.2.4 Non-finance ................................................................................................................................ 13

4.2.5 Finance ......................................................................................................................................... 14

5. Conclusion ................................................................................................................................................ 15

6. References ................................................................................................................................................ 16

List of Figures
Figure 1. Samsung's logo ..............................................................................................................................4
Figure 2. Information about Samsung headquarters in Vietnam........................................................5
Figure 3. Samsung Pay ..................................................................................................................................6
Figure 4. Samsung KNOX ..............................................................................................................................7
1. Introduction
1.1 The purpose of the report
The purpose of this report is mainly to discuss the development plan as well as human

resource training at Samsung company as well as the reward policies. In addition, the

report further analyzes the internal and external influences and how it affects the

support for the company's digital transformation plan. Through that, we can review

how digital transformation has been done at Samsung.

1.2 Introduction about Samsung

Samsung was founded and operated as a grocery store on March 1, 1938 by Mr. Lee

Byung-Chull. After a period of war, he expanded his business model to textiles.

Throughout the 1970s, he led the company to expand its textile manufacturing process

to better compete in the textile industry. With a business model ranging from groceries

to selling textiles, Samsung first entered the electronics industry in 1969 with its first

product, a black and white television. During that time, the company began to focus on

exporting home electronic products abroad and became a major manufacturer in

Korea. Currently, Samsung is known as an electronics company specializing in the

production of household electronic products, televisions, and phones, etc. In addition,

Samsung is also a supplier of small electronic components such as batteries,

semiconductors, and chips, etc for big electronics companies like Apple, Sony, and

Nokia,...

Figure 1. Samsung's logo

After Mr. Lee Byung-Chull died, Samsung was split into 4 small corporations: Samsung,

Shinsegae, CJ and Hansol. Samsung is considered a corporation with great influence on

the economy in Korea, Samsung's annual revenue is estimated at

hundreds of billions of dollars. In addition, Samsung is also ranked 4th on the ranking

of Boston Consulting Group. Besides, Samsung is also ranked in high rankings on the

world's major electronics company rankings along with thousands of electronic device

models that are released every year. It is because of this prosperous development that

Samsung has for itself typical subsidiaries such as: Samsung Electronics, Samsung

Heavy Industries, Samsung Engineering, etc. Through that, Samsung has gained a

prestigious foothold in the electronics industry for many years.

After noticing significant developments in the economic market in Vietnam between

1986 and 1995, Samsung set its sights on this promising market and decided that the

country would be the the next market that Samsung is targeting. Therefore, in 1996

Samsung decided to enter Vietnam in the form of a joint venture and established

Samsung Vina Electronics Co., Ltd., also known as SAVINA. The purpose of making

Samsung decide to enter the Vietnamese market in the form of a joint venture, but not

independently, is because Samsung is always on the lookout for political risks or simply

to reduce unnecessary risks when entering a new market. Samsung Electronics Vietnam

Co., Ltd. (SEV) was officially granted an investment license on March 25, 2008 and

officially went into operation in April 2009. Currently, in Vietnam, there are two factories

in Bac Ninh and Thai Nguyen, which are the two largest and most modern Samsung

mobile phone assembly and components factories globally.

Figure 2. Information about Samsung headquarters in Vietnam.

2. Samsung’s digital business transformation

Samsung Pay

Better known as an electronic technology company, Samsung always launches many

models of electronic devices every year, but besides that, the company also develops

digital transformations based on the trends of the times technology as it is today. The

most typical is the project of integrating bank cards into an application called Samsung

Pay, launched in September 2017, this application allows consumers to use as a bank

card but with various features. This is Samsung's innovative idea in the cashless era.

Samsung Pay is compatible with most bank cards, and is limited to a limited number of

mobile devices suitable for this application. Samsung always puts a high level of security

on users when participating in installing this application through 3-layer security

technology including fingerprint, iris and PIN authentication; Optimize security with

Samsung KNOX and digitize card information. When it was just launched, this

technology has attracted 350 billion VND in transaction value, along with positive

feedback from users. In addition, when using Samsung Pay, users also receive

promotional offers from discount vouchers when buying products and also earn points

for redemption.

Figure 3. Samsung Pay

Samsung KNOX

Samsung is known as a manufacturer of mobile devices that are loved by consumers

for its quality products at reasonable prices. However, Samsung is also trusted by

business customers thanks to its comprehensive hardware and software solutions.

With modern technology being at the forefront today, although it will bring benefits to

businesses, there are still risks in information management as well as customer

information security. With difficult problems from corporate customers, Samsung has

launched the Samsung KNOX platform, a security software for organizations and

businesses that also helps businesses manage production activities - business of

organizations is confidential under all circumstances. This platform consists of 4 main

components: Knox Configure, Knox Manage, Knox Workspace and Knox Guard. All in

all, this is a platform that serves the diverse needs of organizations and businesses in

many fields such as government, security, services, healthcare... all integrated in just

one platform. (Nguyễn, 2022).

Figure 4. Samsung KNOX

3. Internal and external factor afffecting human resourses
3.1 Internal
Supplier 2018 is also the 10th anniversary of Samsung's entry into the economic

market in Vietnam, over those 10 years Samsung has also marked its success and grown

every day in terms of scale as well as human resources. Along with that growth, it is

impossible not to mention the great contribution of Samsung suppliers in many fields.

With the specificity of manufacturing electronic technology equipment, in the early days

when entering the Vietnamese market, Samsung mostly imported electronic

components products from abroad. Until 2014, Samsung had collected four businesses

to become suppliers of components for the production and processing of technological

equipment. Since the appearance of these enterprises, Samsung has increased the rate

of using domestically produced industrial materials and parts to more than 57%. Up to

now, the system of supply enterprises for Samsung Vietnam alone has had more than

200 enterprises supplying plastic components, molds, printing, etc., stretching from

North to South. The fact that businesses participate in providing electronic

components, as well as other services to Samsung, is also a benefit for that business,

they can have more opportunities to work and cooperate with other subsidiaries of

Samsung, and at the same time help that business improve production capacity, and

labor productivity and participate in rigorous processes but also bring quality to both

parties.

This can be seen through the cooperation of An Phu Viet Plastic Co., Ltd., which is a

company specializing in providing plastic components for phone cases, and charging

cases... for Samsung factories, participating in supplying for Samsung's factories in

2015. According to Mr. Nguyen Van Hung - General Director of An Phu Viet Plastic Co.,

Ltd., becoming a supplier of Samsung brought a big turning point for his company

because of the requirements. Samsung's strictness in production and operation

management has helped its business to change and improve production capacity and
labor productivity to manage the quality of output products as well as the completion

time of the equipment. With a starting point of fewer than ten employees and three

plastic injection machines, these numbers have now reached 200 employees, 50 plastic

injection machines, and eight corporate customers, respectively.

Not only cooperates with businesses that provide electronic components, but Samsung

also cooperates with businesses that provide canteen, security, and hygiene services to

provide the best quality for employees and customers. For the canteen service,

Samsung has cooperated with the supplier Ba Sao, specializing in providing meals at

Samsung. In just the past 5 years, the number of meals that Ba Sao company provides

to Samsung has increased 3 times compared to normal, this shows that after

cooperating with Samsung to supply, this restaurant has used up all the food. The

experience of following the strict regulations set out by Samsung is what makes the

employees at Ba Sao always active at full capacity and always work with the high

standards that Samsung requires. Although the regulations are strict, the number of

employees leaving is not much because the working conditions at Samsung are very

good, so most of those employees have a long-term attachment to this business. Not

only the suppliers mentioned above, Samsung has also been cooperating with many

other large and small businesses to contribute to economic development and social

stability by creating jobs for the unemployed. Thereby, it can be seen that Samsung is

well implementing the philosophy that the Company always pursues, which is to bring

a good life to people whom Samsung does business.

3.2 External
Social The impact of the widespread COVID-19 pandemic since 2019 has led to many

significant consequences for the business sector, not to mention the impact on the

revenue and profit of electronic businesses in general and the industry service in

particular. Experiencing the pandemic season, large and small businesses have faced

many difficulties in terms of goods supply, production lines have been delayed, causing
a deep loss in revenue. Speaking of Samsung, from April to June 2021 due to a strong

outbreak, Samsung factories in Vietnam as well as suppliers were forced to comply with

strict state regulations, so they encountered Some difficulties in the supply of spare

parts and accessories caused production to be severely affected, and the number of

employees also decreased in 2020 is considered an important year for the mobile

industry with countless technology product launches such as 5G and Samsung's folding

mobile devices, which appeal to the tastes of many people. Many consumers, but the

biggest barrier is the COVID-19 pandemic that has completely paralyzed the entire

economy, which has led to a significant decrease in the number of people buying such

devices. According to estimates by Brokerage Hanwha Investment & Securities,

Samsung's smartphone sales fell 17% in the first quarter of 2020. Last year, a sharp

decline in profits in the smartphone business made all profits Samsung's 2019 halved.

Although Samsung also had to close many factories and retail stores, maintaining the

operation of large factories in Vietnam also partly helps the company maintain the

production process so as not to disrupt its business strategies. (Samsung Việt Nam Công

Bố Kết Quả Kinh Doanh Năm 2021, 2022). (Dịch Covid-19 đã ảnh hưởng như thế nào tới

Samsung?, 2020)

4. The proposal of motivation plans

4.1 Learning and development plan
4.1.1 Definition
Learning and development are understood as a training process that ensures that

individuals and organizations in an enterprise have the knowledge, skills, and

commitment that each business needs. Besides, it also facilitates individuals and

groups to learn more knowledge and skills related to the profession. These learning

and development events will be provided by the business, guided, and coached by

senior management and professionals. (Armstrong & Taylor, 2014).

4.1.2 Process
In order to be able to set out the necessary processes for the learning and development

program at the company, it is necessary to clearly remember what the company's vision

and business goals are and the company's future direction of the company. There will

be a development team responsible for managing the creation of the entire L&D

standard process. L&D processes will be developed using a team-based approach,

these processes will be evaluated based on real experience, and a process department

of experts will conduct the assessment to ensure that those processes are capable of

meeting the objectives set for the company and its human resources. These processes

will be reviewed by stakeholders before being finalized, where a panel will take a closer

look at how the L&D process will help future operational strategies of the company or

bring economic benefits to the company in the future. To come up with a methodical

process, the company needs to consider many different aspects such as strengths and

weaknesses, how productive human resources are, how business strategies affect this

process. (Phillips & Tush, 2016).

4.1.3 Employee orientation

In Vietnam in particular and Samsung's worldwide branches in general, there are well-

organized training and orientation programs for their employees. Recently, Samsung

Vietnam organized an orientation training program for new employees. This is one of

the special training programs at Samsung to equip employees with the foundational

knowledge to help employees quickly adapt and integrate into the new working

environment. Each of these pieces of training will take place over a week with different

teaching topics. In these orientation training courses, employees will learn more about

the company's working culture, train the employees about their rights and obligations

when working as an employee at Samsung. Besides, they are also trained by the

company in soft skills as well as teamwork skills. Along with professional skills, the

company also orients its employees in future development directions, studying and

learning more about the culture and language of Korea - where Samsung was founded.
In addition, Samsung also has a policy for long-term employees such as allowing them

to study and develop abroad for a fixed time or will send employees who have worked

for more than 3 years go abroad to consolidate specialized knowledge. Not only

organizing training programs inside the company, but Samsung also organizes regular

college training programs, exclusively for production staff within 3 years, in association

with Bac Ha College and Bac Ha College-a College of Economics and Technology, Thai

Nguyen University. All the training programs implemented by Samsung, it is aimed at

employees who come to Samsung not only to work but also to have many opportunities

to learn and improve themselves to adapt to the new international environment and

professional working environment.

4.1.4 E-learning and blended learning

With the intensive human resource training programs that Samsung has been

organizing, the difficulties encountered are inevitable. For example, the recent Covid-

19 epidemic, affected the company's economy, revenue, and profit, and it also affected

the professional training program for employees, severely disrupting teaching. Seeing

the situation, Samsung has launched two online training platforms, Samsung U&CiC,

available on both computers and mobile phones. These two systems are integrated

with a variety of learning resources with more than 30,000 pieces of content in 14

different languages, allowing a personalized learning path for each employee. The

Samsung U&CiC platform has become a place to store and share internal knowledge

and also an inexhaustible treasure of knowledge for Samsung employees in their active

learning and self-development journey at Samsung. (vietnamplus.vn).

4.2 Rewarding
4.2.1 Definition
Rewards are considered an indispensable part of every business and are used to

evaluate the capacity of each employee in the company. The reward regulation means

that enterprises must develop and implement strategies and policies to reward people

fairly, and equally, following what they have contributed and brought to the business.
In addition, rewards are also considered a part of the motivation to help employees

understand that all their efforts have been recognized by everyone. The form of reward,

whether it is monetary or material value, will also demonstrate the culture and value

that the business brings to its human resources. (Armstrong et al., 2010).

4.2.3 Strategy
As Armstrong and Muris pointed out, all reward strategies are diversified, meaning that

each company will have a different reward strategy depending on its work culture in

the company and the context in which it operates. Those strategies are not a fixed

process, they will change and develop continuously. In addition, the reward strategy

also determines what the company wants to do shortly. (Armstrong & Brown, 2019).

The reward program must ensure that it will lead to future-oriented achievements for

the business. With the economic situation developing more and more after a period of

turmoil because of the Covid 19 epidemic, and then the big and small competition from

individuals or organizations will be the most prominent, so when Devising any reward

strategy requires careful consideration of whether an individual's or an organization's

capabilities are worth it, in order to avoid risk situations. In addition, reward policies are

considered a part of motivation for individuals or organizations, it is also considered a

milestone to mark their continuous efforts. In order to implement reward strategies,

the company must closely evaluate the performance of each person in the company,

from suggestions, working attitudes and innovative ideas are evaluated to consider the

strategy reward is right for them.

4.2.4 Non-finance
Non-financial rewards often focus on human needs and it must be based on varying

degrees of recognition that they are worth it. In order to consider rewards, the company

needs to focus on achievements or progress in completing work and giving people

benefits to develop their skills and careers. Non-financial rewards can be to compliment

or recognize their achievements by awarding or rewarding the individual or organizing

a field trip. (Armstrong & Taylor, 2014). For example, Samsung's welfare policy for

employees such as flexible working hours, different from other companies to ensure

human resources are healthy enough to help the company earn income. Or for female

employees, when it comes to the maternity period, Samsung will provide services such

as a medical room with a team of specialized doctors arranged at the company for

women to visit conveniently. examination without any service fees. In addition,

Samsung also arranges kitchens that are carefully considered for cooking techniques

as well as food quality, providing meals for employees at the company. With annual

activities, Samsusng also organizes many fun activities as well as sports and fitness

competitions. It is known that Samsung also organizes more training courses on

motorcycle safety to help employees be more knowledgeable and proactive when

participating in traffic, minimizing accidents to employees. In addition to physical

activities and exercise, Samsung also cooperates with famous hospitals to organize an

annual health check program for all employees in the company. Regarding

accommodation, Samsung arranges more than 30,000 accommodation with full

facilities and amenities, fully meeting the needs of other living and entertainment

activities such as: Cinema room, Gym, Canteen, Supermarket, etc. (VietnamPlus).

4.2.5 Finance
Financial rewards include the salary based on the job and the position you work at the

company, they will pay the salary based on the individual, thereby offering a reward to

recognize their contribution. Bonuses will also be considered based on their working

attitude, how they contribute to the company's strategy. Salaries may vary depending

on the nature of the job and the position held. In addition, some companies will give

additional bonuses to employees if they have good performance at the company.

(Armstrong & Taylor, 2014). For example, Samsung, the company is known for many

incentives for human resources, with the average salary for workers ranging from 6 to

8 million VND/per month. In addition, if you work hard to work overtime, you will earn

1o million VND a month with the condition that you can only work for a maximum of 3
hours per shift. In addition to the salary of the worker position, the salary of the

engineer and technician department will also be decided based on their capacity and

experience, most of the salary of the two departments. Important contributions to

Samsung's well-rounded products all start from 15 to more than 20 million a month.

Because of the nature of the job, there are many health difficulties, so Samsung has

prepared all the support and allowances for occupational health and safety. (Quang,

2022).

5. Conclusion
In summary, Samsung has planned its talent training program specifically and brought

the company a lot of human resources that are monitored and developed in the right

direction that the vision goals that Samsung proposes. Through the report we can see

how Samsung's internal and external factors have affected the company's revenue

and how Samsung has faced it to have such great success like today.
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