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1.1 RATIONALE FOR CHOOSING THE TOPIC

For Vietnam, electricity industry is one of the key industries. It plays a very crucial role in promoting the socio-economic development, considerably contributes to the process of poverty reduction and strengthensthe industrialization and modernization, ensuring the security and national defense of the country. The products of the electricity industry are considered as the lifeline of the modern economy.

On June 22, 2006, Vietnam’s electricity industry officially entered into a new development period with the approval of the Pilot project on the establishment of the Vietnam Electricity. The project aims at becoming a corporation with modern technology and management level, diversified business lines, in which construction, production and trading of electricity, public telecommunications, finance, banking, electrical engineering are key business branches, not only being operative domestically but also abroad, gradually forming the electricity market. In regards to production and trading of electricity, the National Power Transmission Corporation was organized into three main stages includingelectricity generation, electricity transmission and electricity distribution. The Power Transmission Company No. 4 is an accounting member, which is dependent on the Vietnam Electricity, with the main function and duty of transmitting power together with other four Power transmission companies (including: Power Transmission Company No. 1, Power Transmission Company No. 2, and Power Transmission Company No. 3). Allof them are responsible for the power transmission of the whole country. In the near future, the National Power Transmission Corporation on the ground of reorganization of the four existing Power transmission companies and project management units of the electricity industry shall be established for power transmission.

Therefore, the electricity industry in general is facing major changes and the Power Transmission Company No. 4, which is a unit in the industry, is demanded to change. These changes aim to satisfy the following issues. Firstly, it is needful to ensure the adequate supply for electricity consumption demand (forecasted to be raised) of the country, carry out the engagement in the multi-sector production and trading, and increase the company’s value. A question that has been raised here is how the resource must be prepared for such changes.

Among the resources that need preparing, human resource is considered extremely crucial.

For the case of the Power Transmission Company No. 4, the improvement of human resource management is currently more significant than ever because of the following reasons:

- The current human resource management in the Power Transmission Company No. 4 has been actually involved in personnel management with heavy administrative nature.

- In order to meet the requirements of economic integration in the new situation, it is necessary to have fundamental changes and approachmodern human resource management

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methods.

- The establishment of the National Power Transmission Corporation includes the merger of the Power transmission companies, including the Power Transmission Company No. 4.

Therefore, the human resource management should be improved and reorganized.

Stemming from the above issues, I chose the topic “A number of solutions to improve human resource management at the Power Transmission Company No. 4”as my Graduation thesis.

1.2 RESEARCH OBJECTIVES

The research objective is to explain the scientific and practical foundation to outline a number of solutions to improve human resource management at the Power Transmission Company No. 4:

- Presenting the general theoretical issues of human resource management; Outlining the experience of advanced countries on human resource management

- Analyzing and assessing the status of human resource management in the Power Transmission Company No. 4; clarifying the unsolved issues and the necessity to change them

- Orienting the development of the Power Transmission Company No. 4 and proposing solutions to improve human resource management

1.3 SUBJECT AND SCOPE OF RESEARCH

The subject of this Thesis is the Power Transmission Company No. 4, an affiliation of the Vietnam Electricity. The research scope of the Thesis is the issues related to the theoretical foundation and the status of human resource management in the Power Transmission Company No. 4, thereby outlining a number of solutions to improve human resource management. The research was conducted from February, 2015 to December, 2015.

1.4 RESEARCH METHOD

The dialectical materialist method and historical materialist method constitute the general research methodology.Based on these, the Thesis employs various specific methods such as Analytical method, statistical method, forecasting method,practical surveying method, and comparative method, etc.

1.5 SCIENTIFIC AND PRACTICAL SIGNIFICANCES OF THE RESEARCH TOPIC

Vietnam is in a process of far-reaching integration with the world, requiring domestic enterprises to operate more efficiently.The electricity industry is gradually changing toward a

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competitive electricity market. Electricity transmission operation is the main function and duty of the Power transmission companies as regulated by the State. In addition, these companies are also participating in many other types of business production and trading to increase corporate value. With the current method of human resource management in the Power Transmission Company No.4, it not only provesthe inadequate in the present time but also even nonconformities in the development orientations for production and trading in the future. The content of the Thesis is to offer a number of solutions to improve human resource management for the Power Transmission Company No.4 to meet the orientations of multi-sector business, in which electricity transmission operation is the main function and task. In addition, the leaders of the Power Transmission Company No.4 paid attention to this hot topic of current events.

1.6 HIGHLIGHTS OF THE THESIS

This Thesis has been researched in a particular enterprise, which features the specific characteristics of the electricity industry. In the period when the electricity industry is undergoing very extensive transformation and electricity transmission operation is performing significant reforms, the research results of the Thesis shall solve the most topical issues, which are indeed being set for the managers of the Power Transmission Company No.4.

Therefore, the Thesis may be considered as one of the most practical research for the Power Transmission Company No. 4 in particular and for the Vietnam Electricity in general.

1.7 STRUCTURE OF THE THESIS

The Thesis consists of five chapters:

Chapter 1: Purpose of the research Chapter 2: Theoretical foundation Chapter 3: Research methods Chapter 4: Analytical results

Chapter 5: Conclusions & Recommendations

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