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You have recently been made the CEO of a medium-sized Vietnamese

company. Performance has been declining over the past few years

under family management. The business was successfully built by a

Vietnamese entrepreneur. It was successful. He developed a strong

business in Vietnam & then expanded operations by exporting to the

European Union. Since his son took over the business, performance

declined as the son enjoyed an extroverted lifestyle & did not focus on

the business. A Western Multinational has now bought the family

business and has appointed you as the first professional CEO with a

task to reinvigorate the company. Evaluate the steps that you will need

to take in the first few weeks of your role.

(Word count: 500, 2 pages)

I will use the ADKAR model Awareness, Desire, Knowledge, Ability,

Reinforcement with customisation. Any business enabler must understand the

Vietnamese employee character. On the one hand, they dont compromise

and easily frustrate if they do not believe in the changes; on the other hand,

they learn quickly and live emotionally. Therefore, an effective communication

may be the most important thing for your successful and low-cost transitions

1. Talk to the employees to re-energise and convince them about the brighter

future working in a multinational modern company.

2. Listen to the companys employees and suppliers to understand their issues

and what they need. Ask the employees: what they are tolerated, where they

waste the most of their time. Conduct an internal customer satisfaction

survey

3. Bring in new faces in Management and Human resources department but

make sure those people have experiences on the companys types of

business

4. Analyse what went wrong and right in the recent years. Learn the company

culture and decide what to keep and what need to be changed. Think

carefully but implement rapidly (Toyotas management principles). The

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company was successful in the past so there must be a lot of good values

need inheriting and updating

5. Build supports for an effective change both in organisational & personal

areas. Make sure the middle managers and shift leaders understand and

believe in the new ways.

6. Pay attention to cost control. Negotiate with suppliers about unreasonable

pricing, returns and shipping

7. Implement a KPI driven strategy and a bonus system based on company

profit. The staffs need to know about the current financial status,

opportunities and threats

8. Health insurance for employees especially specialists. At the moment

(January 2011) in Vietnam, health insurance is cheap, just 75 dollars per

year for all surgery and hospital charges (3000 USD maximum), as well as

health check & tooth problems (200 USD limited)

9. HR department need to make a clear job responsibility and description for

each position.

10. New strategy for the market with new company image: stronger, better and

cheaper.

11. Strengthen the quality control systems and get more international

certifications. Consider increasing product quality and quantity, bigger shift,

more machines or more employees

12. Improve the company reputation by international marketing and social

activities. Market and brand the new company images to all employees.

Create the company pride based on a mixture of old and new values

13. For furniture or porcelain business, the designers should come from the

country you want to export products to. Hire a British/European designer for

UK market and hire a Vietnamese designer for domestic products

14. Consider outsourcing some stages of the work. Some parts of the products

may be much cheaper to buy than to make

15. Consider automating the process

16. Encourage innovations and new ideas of effective working ways. Rewards &

recognition for effective and hard workers.

17. Make performance review every six month and lay off or change theunsuitable workers