UNIVERSITY OF ECONOMICS AND FINANCE
REPORTED ESSAY
PRINCPLE OF MANAGEMENT
Lecturer: Peter J Jung
Student’s name:
Tran Le Ngoc Nguyen
Dang Dao Thien Huong
Nguyen Bao Ngoc
Dao Ngoc Phuong Han
Class: [232.MGT1101E.B05E]
Ho Chi Minh City, 2024
Table of Content
1. IT industry........................................................................................................................2
1.1 External environment..............................................................................................4
International environ...........................................................................................................5
2. SENS VIETNAM company.............................................................................................5
2.1 Internal environmental factors.....................................................................................6
3. A brief summary of the issues.........................................................................................7
4. Employee Retention and Transformational Leadership..............................................8
5. A judgment.......................................................................................................................9
6. Recommend and different approach to resolve the issues..........................................12
6.1 “Carrots and sticks”....................................................................................................12
6.2 People-centric approach..............................................................................................12
Reference List:........................................................................................................................14
Appendix:................................................................................................................................16
1. IT industry
In the dynamic and rapidly evolving field of information technology (IT), industry-driven
research often concentrates on providing tangible solutions to pressing real-world
problems. The IT industry encompasses a diverse array of technologies and applications,
involving the development, implementation, and maintenance of computer systems,
software, and networks to meet the needs of various industries and organizations.
In contrast to the more theoretical focus characteristic of academia, corporate researchers
typically exhibit the following attributes:
Practical Solution Development: Rather than becoming entangled in abstract conceptual
debates, industry-based IT researchers leverage their expertise to create innovative
products, services, and systems that address pressing business needs. Their work is
primarily driven by market demands and customer pain points, rather than solely by
intellectual curiosity (Mohamed, A., 2024).
Cross-Disciplinary Collaboration: Successful technology industry researchers do not
operate in isolation. They closely collaborate with cross-functional teams, including
engineers, marketers, and financial analysts. This cross-pollination of skills and
perspectives is essential for transforming technical breakthroughs into commercially
viable offerings (Ratajczak, 2023).
Effective Communication: Conveying complex technical information to non-technical
stakeholders is a crucial skill for industry researchers. They must be adept at translating
technical jargon into plain language and presenting a clear, compelling vision that
resonates with executives, investors, and end-users (Ratajczak, 2023).
Agility and Adaptability: The rapid pace of technological change requires industry
researchers to be nimble and adaptable. They must be able to quickly pivot their focus,
incorporate customer feedback, and iterate on solutions in response to evolving market
dynamics (Mohamed, A., 2024).
Data-Driven Insights: Instead of relying solely on intuition, industry researchers leverage
data analytics to guide their decision-making and measure the impact of their work. This
data-driven approach helps ensure that their efforts are aligned with business priorities
and customer needs (Mohamed, A., 2024).
These skills are essential for corporate researchers to deliver practical solutions to real-
world challenges in the fast-paced world of technology.
1.1 External environment
According to the Standish Group Annual CHAOS 2020 report, a concerning 66% of
technology projects worldwide fail wholly or at least partially, often due to a lack of
thorough analysis of business requirements (Standish Group, 2020). This underscores
the critical importance of effective collaboration between business analysts,
designers, user experience (UX) designers, developers, and testers for project success.
Despite these challenges, the IT industry continues to experience significant growth.
Worldwide IT spending is projected to total $4.7 trillion in 2023, an increase of 4.3%
from 2022, as forecasted by Gartner, Inc. (Gartner, 2023). This growth has led to a
heightened demand for IT talent, with investors and companies actively seeking to invest
in and develop the skills of IT students and professionals.
For example, the FPT, a leading IT company in Vietnam, has invested in Phenikaa, a
Vietnamese startup that provides Korean language training for IT professionals (Vietnam,
2021). This strategic investment aims to enhance the IT skills of Vietnamese students and
professionals, making them more competitive in the global market. Additionally, as
Clinics in Orthopedic Surgery CIOs continue to lose the competition for IT talent, they
are shifting their spending towards technologies that enable automation and efficiency,
driving growth at scale with fewer employees.
International environ
Within the internal environment of the IT industry, the guiding principle of focusing on
value emphasizes that IT services should be designed to deliver tangible benefits to
stakeholders, rather than just providing technical solutions (Danby, 2019). The four
Managing Professional modules include six activities: Plan, Improve, Engage, Design
and Transition, Obtain/Build, and Deliver and Support (ALVAO, 2021). These activities
transform inputs into outputs, creating value for stakeholders.
2. SENS VIETNAM company
SENS Vietnam is a blockchain and software development company based in Ho Chi
Minh City, Vietnam. Established in 2008, the company operates from its offices at 16th
Floor Phuong Long Building, 16 Nguyen Truong To Street, Ward 13, District 4 (SENS
Vietnam, 2023). SENS Vietnam provides a full suite of outsourcing services, including
web and mobile application development, blockchain implementation, and user
interface/user experience (UI/UX) design (SENS Vietnam, 2023). With over 15 years of
experience in full-stack software development, the company has completed numerous
projects across a variety of industry sectors (SENS Vietnam, 2023).
The organization's vision is to be an integral part of the world's groundbreaking
technological advancements, inspiring people along the way (SENS Vietnam, 2023). To
realize this vision, SENS Vietnam is committed to core values of "Savvy," "Passion,"
"Inspiration," "Respect," "Innovation," and "Teamwork" (SENS Vietnam, 2023). These
values speak to the company's emphasis on intellectual agility, creativity, open
communication, and collaborative problem-solving (SENS Vietnam, 2023).
2.1 Internal environmental factors
An examination of SENS Vietnam's internal environment, particularly its marketing
department, reveals a culture focused on data-driven research, customer-centricity, and
innovation (SENS Vietnam, 2023). Employees adhere to strict security protocols, such as
not sharing passwords or removing sensitive data from the premises, and reporting any
information security incidents (SENS Vietnam, 2023). To foster a sense of community,
the company organizes regular social events, including weekend parties and team
dinners, in addition to an annual vacation for all staff (SENS Vietnam, 2023). This
balanced approach of "carrots and sticks" reflects SENS Vietnam's commitment to
maintaining a productive and engaged workforce (SENS Vietnam, 2023).
Within the marketing domain, there is a principal rule that guides the team in navigating
various issues, such as those related to deadlines or the timely delivery of products. This
rule is followed diligently, ensuring that the organization remains responsive to the
dynamic market demands.
3. A brief summary of the issues
The first problem centers around the issue of employee retention, particularly among
high-potential individuals. During the interview process, the managers encountered a
situation where a staff member, a potential employee, had a conflict with the CEO,
leading the individual to consider quitting their position (VTALENT, 2023). This
scenario is particularly problematic, given the significant shortage of skilled workers,
especially in high-demand sectors such as IT. According to a recent report, 83% of
companies in Vietnam reported difficulties in hiring at the professional level, while 60%
struggled to hire at the management level (VTALENT, 2023). This talent scarcity
underscores the importance of effective employee retention strategies to maintain a stable
and competent workforce.
The second problem relates to the communication and collaboration dynamics within the
organization. She has encountered situations where the leader of an external team had an
urgent task, but they were reluctant to communicate directly with the manager or seek
their input (Danby, 2019). This disconnect between organizational segments, from
directors to employees, suggests a gap in the office environment that hinders effective
information sharing and cross-functional collaboration (ALVAO, 2021). This issue can
lead to suboptimal decision-making, delayed problem-solving, and a lack of alignment
across the organization.
4. Employee Retention and Transformational
Leadership
Employee retention, particularly among high-potential individuals, is a critical concern
for organizations. This essay will examine a case study that highlights the role of
transformational leadership in addressing challenges related to employee retention.
The case study describes a situation where a potential staff member expresses a desire to
leave the company due to a conflict with the CEO. This issue is closely related to the
concept of transformational leadership. Transformational leadership is a style that
inspires and motivates team members to achieve extraordinary results (Herrity, 2019). It
involves articulating a clear vision, empowering followers, and aligning individual goals
with organizational objectives (Herrity, 2019). The manager in the report is able to
effectively communicate a unified vision, which encourages employees to exceed
expectations. This manager is also skilled at imbuing tasks with meaning, which is a key
aspect of transformational leadership.
The section on the "Pros and Cons" of transformational leadership highlights how this
approach can enhance employee engagement, performance, and job satisfaction. These
factors are crucial for retaining high-potential individuals within the organization.
Another relevant issue discussed in the case study is the communication and
collaboration dynamics within the organization. According to upper echelons theory,
organizations require effective information gathering and processing methods to ensure
that the internal environment does not unduly influence senior management's decision-
making (Hambrick & Mason, 1984). Furthermore, the transformational leadership style
has been found to inspire employees to produce unexpected results by altering their
attitudes, beliefs, and values (Nguyen et al., 2017).
In the context of the Marketing room at SENS VIETNAM, the risk-taking behavior of
employees may be viewed as either problematic or as a bold willingness to pursue high-
risk, high-reward opportunities (Vemuri, 2014; Marshall & Ojiako, 2015). Rather than
immediately punishing the staff, the transformational manager in this case sets clear
goals, monitors performance, and provides rewards and corrective actions. This
structured approach could help improve communication and collaboration across
organizational units, as emphasized in the "How/Why do managers use it?" section.
5. A judgment
The case study highlights the relevance of transformational leadership in addressing
employee retention challenges, particularly among high-potential individuals. By
inspiring and empowering employees, transformational leaders can foster an environment
that enhances engagement, performance, and job satisfaction, which are crucial for
retaining top talent. Additionally, the structured approach to managing communication
and collaboration dynamics within the organization can help bridge gaps and improve
overall organizational effectiveness.
Issue 1 - Employee Retention: The challenge of employee retention is a pressing concern
for organizations within the Vietnamese information technology (IT) industry. A case in
point is the situation described, where a high-potential employee was considering
resignation due to a conflict with the chief executive officer (CEO). This reflects the
significant talent shortage plaguing the sector, with 83% of companies in Vietnam
reporting difficulties in hiring at the professional level.
In response to this retention issue, the document suggests the manager adopted an
effective approach. Specifically, the manager appears to have provided the employee
with a rewarding career path and clear future prospects, while also highlighting the
individual's potential and the manager's expectations and willingness to offer support.
This multifaceted strategy aligns with scholarly recommendations for addressing talent
retention challenges in knowledge-intensive industries like IT.
Research has emphasized the importance of offering employees compelling career
development opportunities, including well-defined advancement trajectories and
opportunities for growth. By articulating a promising future for the high-potential
employee, the manager demonstrated a commitment to the individual's professional
aspirations, which can be a powerful motivator for retaining top talent.
Additionally, the manager's approach of acknowledging the employee's potential and
expressing a desire to provide assistance underscores the value of personalized attention
and managerial support. Studies have shown that employees are more likely to remain
with an organization when they feel their contributions are recognized and their career
progression is actively supported by leadership.
Management Strategy: The document does not go into detail about how SENS Vietnam
specifically addressed this retention issue. However, it notes the company's "balanced
approach of 'carrots and sticks'" in managing its workforce, including organizing regular
social events and an annual vacation for all staff. This suggests SENS Vietnam likely
uses a combination of incentives, professional development opportunities, and a positive
company culture to try to retain talented employees.
Issue 2 - Communication and Collaboration: The document describes a situation where
an external team leader was reluctant to communicate directly with the manager or seek
their input on an urgent task. This points to a lack of effective communication and
collaboration across organizational boundaries.
Management Strategy: Again, the document does not provide specifics on how SENS
Vietnam addressed this issue. However, it notes the company's emphasis on "cross-
functional collaboration" and "effective communication" as key attributes of successful
industry researchers. This implies SENS Vietnam likely encourages and facilitates more
open and transparent communication between teams and departments.
Overall, the report highlights the importance of effective talent management and cross-
functional collaboration in the fast-paced IT industry. While the specific strategies used
by SENS Vietnam are not detailed, the document suggests the company values employee
engagement, a positive work culture, and breaking down organizational silos - all of
which are commonly cited as best practices for addressing these types of challenges.
This report analysis aligns with perspectives from other management experts. For
example, a study by Ratajczak (2023) emphasizes the crucial role of cross-disciplinary
collaboration in transforming technical breakthroughs into commercially viable products.
Similarly, Mohamed (2024) stresses the importance of data-driven, agile decision-making
in the face of rapid technological change. SENS Vietnam's apparent approach seems to
reflect these industry-wide trends and recommendations.
6. Recommend and different approach to resolve the
issues
6.1 “Carrots and sticks”
In the contemporary business landscape, the role of leadership in driving organizational
performance and influencing employee behavior has been widely recognized (Van Wart,
2012). One approach that has garnered significant attention is the concept of "carrots and
sticks" in the office environment, which emphasizes the use of both rewards and
punishments to motivate employees (BLICKLE et al., 2011).
From the perspective of transactional leadership, this model is centered on the reward
structure between the leader and the employee (Van Wart, 2012). Leaders use a
combination of incentives, such as financial compensation and recognition programs, as
well as disciplinary measures, to encourage desired behaviors and performance. For
instance, the Peer Bonus system at Google, where employees can recognize exceptional
work of their colleagues, serves as an effective reward mechanism (Google Open Source,
2022). Similarly, the implementation of a strict and fair monitoring system can help
ensure the equitable application of these "carrots and sticks" (BLICKLE et al., 2011).
6.2 People-centric approach
However, a key consideration in this approach is the need to personalize the rewards and
punishments to align with individual employee preferences and needs. Laszlo, a
renowned businessman, emphasizes the importance of knowing one's employees and
tailoring recognition accordingly (SHRM, n.d.). This personalized approach can enhance
the effectiveness of the "carrots and sticks" strategy, as it demonstrates a genuine
understanding of the employees' interests and motivations.
The example of Henry Ford's leadership during the Great Depression further illustrates
the impact of a people-centric approach. Despite the financial challenges faced by Ford
Motor Company, Henry Ford chose to maintain employment and reduce working hours
and wages instead of laying off workers (Miller, 2023). This decision, which prioritized
the well-being of his employees, was met with understanding and commitment from the
workforce, as they recognized the importance of preserving their jobs and supporting the
company (Miller, 2023). This demonstrates the crucial role that empathy and
consideration for employees can play in fostering organizational resilience and loyalty.
In addition to the external environment, the development of an entrepreneurial mindset as
a manager can also contribute to the successful resolution of organizational challenges
(Persona, 2023). This cognitive framework emphasizes adaptability and effective
communication, which are essential skills for navigating evolving business conditions
and engaging with diverse stakeholders (Persona, 2023). By cultivating these
competencies, managers can better respond to changing circumstances, devise innovative
solutions, and communicate their vision compellingly to drive organizational success.
In conclusion, the effective implementation of the "carrots and sticks" approach, coupled
with a personalized understanding of employee needs and the cultivation of an
entrepreneurial mindset, can create a comprehensive leadership strategy for
organizational success. By aligning rewards and punishments with individual
preferences, demonstrating empathy and concern for employees, and developing
adaptability and communication skills, managers can foster a thriving work environment
that achieves desired performance outcomes.
Reference List:
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Appendix:
1. The organization, title, and scope of work:
Could you describe your role in your organization ?
Marketing manager at SENS Vietnam, work with group of 4 people
What are your objectives during your time in this organization?
Learn leadership skill,
2. your personal leadership style:
What is your leadership style ?
Could you give an example that you had faced as a leader and how your
leadership style helped you through it?
3. Company structure, why;
Can you describe the current organizational structure of the company?
How does the structure fit with the company's size, industry, and goal.?
4. Common managing tasks, such as a typical day with relationship between
their tasks to four functions of management;
How do you plan your workload and the work of your team?
How do your daily tasks help ensure projects stay on track and meet
deadlines?
5. A problem within the organization that has caused difficulties with finding a
solution the first time and how they eventually resolved that problem;
Can you describe a complex problem your team encountered within the
organization? How do you and your team solve this problem?
What were the primary factors contributing to this problem, and how were
they identified?
How has this experience changed the way you approach problem-solving
within your team?
6. Based on your knowledge from the course, providing recommendations for
better problem solving.
- what is your common approach when you have problems
- can you suggest any other way to address the problem better?
