Luận văn thạc sĩ UEH high turnover rate and job stress of salesman in orient commercial bank

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UNIVERSITY OF ECONOMICS HO CHI MINH CITY

International School of Business

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Nguyen Ho Thanh An

HIGH TURNOVER RATE AND JOB

STRESS OF SALESMAN IN

ORIENT COMMERCIAL BANK

MASTER OF BUSINESS ADMINISTRATION

Ho Chi Minh City, Year 2018

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UNIVERSITY OF ECONOMICS HO CHI MINH CITY

International School of Business

----------------------------------

Nguyen Ho Thanh An

HIGH TURNOVER RATE AND JOB

STRESS OF SALESMAN IN

ORIENT COMMERCIAL BANK

MASTER OF BUSINESS ADMINISTRATION

SUPERVISOR: PROF. NGUYEN THI MAI TRANG

Ho Chi Minh City, Year 2018

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Executive Summary

Banking industry has been witnessing a lot of growth, improving on its technological and

global competition within banks. With the strategy to expand the market, OCB has a plan

to establish more than 20 branches and agencies throughout Vietnam from 2017-2020, it

create the need of a huge human resource to run this business plan. However, the turnover

rate of OCB has been continuously growing by recent years.

The objective of this research is to find out what problems are affecting OCB employee

retention and making high turnover rate over recent years.

Using secondary data from the HR department and primary data from in-depth interviews

with two groups of interviewees who are the current employees and ex-employees who quit

job at OCB, the research found out that the job stress is the central business problem that

leads to the high turnover rate.

Next, in deeper analysis about potential causes of the problem, it is found that work

overload, and work-life imbalance or work-family conflict are root causes leading to job

stress .

Forwards, the paper suggests that the alternatives which is mixed combination of the

redesign and apply the new model to put the right person into right function in sales team

are proposed to reduce the job stress of OCB salesman.

Finally, the action plan with detailed steps was presented to implement this solution.

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Acknowledgements

I would like to acknowledge all people who supported me during my studies.

First, I would like to thank my supervisor – Professor Nguyen Thi Mai Trang for all her

advice and guidance, without her help this could not have been possible.

Then, I also would like to show my gratitude to my manager, my colleagues at OCB who

gave me chance to conduct the research and spent time on interviews with me to come up

the result of this thesis.

I also send my sincere thankfulness to my parents and friends for their support and

encouragement.

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TABLE OF CONTENTS

1 PROBLEM IDENTIFICATION ............................................................................................................ 8

1.1 Company background .................................................................................................................... 8

1.1.1 Company history .................................................................................................................... 8

1.1.2 Company Vision, Mission and Core Value ............................................................................ 8

1.1.3 Company structure ................................................................................................................. 9

1.2 Problem context: ............................................................................................................................ 9

1.2.1 Problem symptoms – Turnover rate status in OCB ................................................................ 9

1.2.2 Justify the consequences of the selected symptoms that lead to further investigation ......... 10

1.3 Potential problems and justify the main problem ......................................................................... 11

1.3.1 Income dissatisfaction and high turnover rate ...................................................................... 11

1.3.2 Lack of career development opportunity and high turnover rate ......................................... 12

1.3.3 Job stress and high turnover rate .......................................................................................... 13

1.3.4 Initial Cause and Effect map: ............................................................................................... 15

1.3.5 Problem justification ............................................................................................................ 15

2 CAUSE VALIDATION: ...................................................................................................................... 16

2.1 Potential causes of problem and justification – The factors cause job stress ............................... 16

2.1.1 Work overload: ..................................................................................................................... 17

2.1.2 Work family conflict/ work-life imbalance .......................................................................... 19

2.2 Cause and Effect Map: ................................................................................................................. 20

2.3 Cause justification: ....................................................................................................................... 21

3 ALTERNATIVE SOLUTIONS: .......................................................................................................... 22

3.1 The first alternative solution: Redesign job to enhance specializations and place the employees

in appropriate job ..................................................................................................................................... 22

3.2 The second alternative solution: increase training, coaching and sharing in workplace. ............. 25

3.3 Justification and select the solution: ............................................................................................. 28

4 IMPLEMENTATION .......................................................................................................................... 29

Detailed action plan .................................................................................................................................. 30

5 CONCLUSION .................................................................................................................................... 32

6 SUPPORTING INFORMATIONS ..................................................................................................... 33

6.1 INTERVIEW GUIDE .................................................................................................................. 35

6.1.1 Group 1: Manager/ staff/ saleman who are currently working at Company OCB ............... 35

6.1.2 Group 2: Salemans who already left OCB Company ........................................................... 37

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6.2 SUMMARY OF TRANSCRIPTS ............................................................................................... 38

6.2.1 Group 1: Manager/ staff/ saleman who are currently working at Company OCB ............... 38

First session: To find the problem in OCB........................................................................................... 38

Second session: To find the solution .................................................................................................... 51

6.2.2 Group 2: Salemans who already left OCB Company ........................................................... 59

6.3 APPENDIX .................................................................................................................................. 66

REFERENCES ............................................................................................................................................. 68

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LIST OF FIGURES

Figure 1: OCB structure - From OCB Annual Report 2016 .................................................................... 9

Figure 2:Cause and Effect Map ................................................................................................................ 21

LIST OF TABLES

Table 1: Yearly turnover rate in OCB ....................................................................................................... 9

Table 3: Yearly turnover rate in OCB, break down in each group ....................................................... 10

Table 4: Change in recruitment cost and training cost .......................................................................... 11

Table 6: Budget to conduct the first solution ........................................................................................... 24

Table 7: Budget to conduct the second solution ...................................................................................... 27

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