Luận văn thạc sĩ UEH high turnover rate of petrovietnam in malaysia project

UNIVERSITY OF ECONOMICS HO CHI MINH CITY

International School of Business

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TRẦN THỊ MỸ YẾN

HIGH TURNOVER RATE OF

PETROVIETNAM IN MALAYSIA

PROJECT

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

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

TRẦN THỊ MỸ YẾN

HIGH TURNOVER RATE OF

PETROVIETNAM IN MALAYSIA

PROJECT

MASTER OF BUSINESS ADMINISTRATION

SUPERVISOR: LÊ THỊ THANH XUÂN

Ho Chi Minh City – Year 2018

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ABSTRACT

This thesis study high turnover rate in purchasing department of PVE, its reasons and its

effect on company’s performance. Turnover rate is more and more considered as an

important factor to any business. In depth interview was used to collect and analyze data

of the study. From the result of interviews, high turnover rate really exists in the company.

The three consequences of high turnover rate are productivity loss, delay of schedule, and

turnover intention. Job satisfaction in terms of pay and organizational commitment in terms

of affective commitment were found to have negative relationship with high turnover rate.

This study also provides solutions and implementation plans for PVE to reduce turnover

rate and increase its performance.

I. INTRODUCTION

1. Company Profile

Background

Petrovietnam Investment Consultancy and Design JSC (PVE) was set up from the

equalization of State-owned Petroleum Investment Consultant Company (PVICC). April

10, 1998 from the equalization of State Owned Enterprise. Vietnam Petroleum Corporation

(Petrovietnam)... In 2005, Petro Vietnam Engineering (PVE) turned into a Joint Stock

Company. Also, in 2011, hierarchical structure is exchanged to Mother - Mother

Subsidiary. The oil and gas industry are a key industry in the nation, with potential for

improvement in the coming years. PetroVietnam's technique keeps on connecting with

global markets, open doors for PVE to infiltrate remote markets through PVN's tasks. Right

now, PVE has been allotted by Petro Vietnam to do numerous significant activities in the

business. Particularly, after the consummation of the change into the parent-backup

demonstrate, PVE reinforced its situation in the non-oil fields. It working in wander and

building consultancy for oil and gas, civil and industrial projects.

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Key business activities:

 Consulting on topographic survey, geological survey, current status survey, NDT

test and technical services for offshore and offshore oil and gas, deep-water projects

and other industrial projects.

 Consultancy on management of construction investment projects, supervision of

projects belonging to the group or units of the Group, including projects on oil and

gas, biofuels and other specialized projects.

 Implementing EPC services, providing project management and supervisory

services in upstream and downstream oil and gas and other industrial projects;

Providing consulting services on geological topography and non-destructive

inspection and testing for industrial and petroleum projects’

Organization

PVE’s mission

PV Engineering's mission is to become the number one corporation in Vietnam and one of

the leading companies in the region, providing high quality services at competitive prices

to meet the needs of all customers. Inside and outside Petro Vietnam.

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2. Problem Analysis

Problem context

In 2015, PVE become sub-contractor of TECHNICAS in RAPID project in Malaysia with

contract value over 51 million USD in 4 packages: SMP, E & I, Painting, Fire Proofing,

Civil. The RAPID project is one of the largest scale refinery projects in the world. This

petrochemical refinery has a capacity of 300,000 barrels per day and supplies naphtha and

gas to petrochemical complexes and produces petrol and oil according to European

standards. Petrochemicals to increase the value of olefins from water separation towers and

the production of commercial petrochemical products including propane, polyethylene,

synthetic rubber. In the domestic market, PVE has relatively few competitors, mainly

foreign ones. Therefore, the expansion of the Malaysian market will be an opportunity for

PVE to improve its capacity as well as its position.In order to serve the project

implementation, PV Engineering has the need of recruiting 250 engineers and 500 workers

who have experience and project ad speak English fluently from difference position to

work through recruitment website and newspaper. In the first time of project, PVE try to

recruit the local worker but the salary is quite high and they did not hard working if

compare with Vietnamese worker. After that, PVE - human resource change the plan to

recruit Vietnamese engineer and worker to save money and achieve better results.

- Working condition:

+ The working time starts from 7:30 am to 10 pm, from Monday to Saturday.

+ Transportation: From the living place to job site take 40 minutes by bus.

- Compensation: The Company will pay for food, house allowance and ticket back to

Vietnam every six months working. Benefit: one-month salary for bonus every end of Year

if working above 1 year.

- Living condition:

+ Accommodation: The Company rents the staff for a 40 'ride to the site

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