An Examination Of The Lehman Brothers Bankruptcy Report Finance Essay - Free Essay Example

Sample details Pages: 10 Words: 3047 Downloads: 3 Date added: 2017/06/26 Category Finance Essay Type Narrative essay Did you like this example? Introduction The collapse of Lehman Brothers in 2008 sent ripples across the financial world. From the small shop in Montgomery Alabama started by Henry Lehman in 1844, that became the Lehman Corporation in 1920, its stocks began trading on the floor of the New York stock exchange in 1994 and posted record revenues in 2007 at which time Richard Fuld was CEO (reuters). On 15th of September 2008, Lehman Brothers the 4th largest investment bank in the United States of America filed for bankruptcy protection (BBC). Don’t waste time! Our writers will create an original "An Examination Of The Lehman Brothers Bankruptcy Report Finance Essay" essay for you Create order This precipitated the loss of thousands of jobs on both sides of the Atlantic. According to Mollenkamp, Whitehouse, Hilsenrath and Dugan (2009) some critics look back at the systemic crisis that ensued since the Lehman collapse and conclude that it could have been avoided if the government had stepped in, having already committed billions of taxpayers dollars to keep troubled institutions such as Fannie Mae and Freddie Mac in business. However, they are also quick to lay the bulk of the blame squarely at the feet of investment banking giant: To be sure, Lehmans downfall was largely of its own making. The firm bet heavily on investments in overheated real-estate markets, used large amounts of borrowed money to supercharge its returns, then was slower than others to recognize its losses and raise capital when its bets went wrong. The depth of the firms woes made finding a willing buyer a difficult task, leaving officials with few viable options. (Mollenkamp et al 2009) Managers m ust take decisions, that is why they are hired, to make difficult calls over and over again because they have the skills and the audacity required. In the world of high finance it is not uncommon to take bold far reaching decisions. Careers in finance are built on the decisions made at crossroads. Five months later on 19th January 2009 Anton Valukas, chairman of law Chicago Law firm Jenner Block and a former federal prosecutor was named to lead an independent investigation of the events leading to the Lehman Brothers bankruptcy (Scinta 2009). The report, released in March 2010, would cast long shadows over the management actions, individual and institutional involvement and meandering paths that leading to the downfall of the firm. This paper will draw from the bankruptcy report and other important publications to determine how the investment bank failed. In the course of performing its examination, the paper will identify the notable milestones and analyse the events that le d to them. The underpinnings The failure of Lehman Brothers cannot be examined in isolation, the context is the global financial crises, the fertile ground in which the seeds for Lehmans demise were sown (Zingales 2009). A number of causes have been advanced for the financial crises such as issues with monetary policy ( Ely 2009, Schwartz 2008) lack of transparency (Zingales 2009) a complacent market obsessed with high returns (Zingales 2009) Flawed financial innovations (Schwartz 2008) over promotion of home ownership (Ely 2009). The Lehman collapse however also triggered a shocking meltdown of global finance such was its impact (Hillman 2009) By approximation, the lowest point for the Lehman brothers debacle was the announcement by the one and a half century old bank that it would file for bankruptcy protection following its inability to secure government assistance (Shields, Ackerman, Devitt Sigo 2008). How had it come to this? The starting point could very well have been the firms decision to take on a more risky growth strategy. The Lehman Bankruptcy Report notes the sudden growth in the firms balance sheet as show in the table 1. All figures in ($billions) Q4 06 Q1 07 Q2 07 Q3 07 Q4 07 Q507 Q6 07 Reported Net Assets 268.936 300.767 337.667 357.102 372.959 396.673 327.774TABLE 1 SOURCE: REPORT OF ANTON VALUKAS EXAMINER VOL I P. 57 The bankruptcy report describes the phenomenal growth in the firms balance sheet as follows: Lehmans net assets increased by almost 128 billion or 48% in a little over a year from the 4th quarter of 2006 through the first quarter of 2008 (Valukas 2010 p 57 ) The firm had taken on a monumental amount of risk setting itself up for either breakaway success or mega failure .Some questions arise here, such as why did they adopt the riskier investment strategy? Did Lehman executives fully understand the risks accompanying such a strategy? In addition, from corporate governance perspective was everyone at home with the idea. The examiner bankruptcy report shed some light regarding the risk appetite of similar institutions to Lehman Brothers : Lehmans business model was not unique; all of the major investment banks that exi sted at the time followed some variation of a high-risk, high-leverage model that require the confidence of counterparties to sustain (Valukas 2010 p. 3). In the sophisticated world of investment banking, the faint of heart rarely find a place to roost. Perception is everything in fact it is reality, once perception shifts reality changes, moreover such financial institutions are known to attract that best people and the most daring from the best business schools. The examiners report lends ample support in, mentioning the fact that the investment banking business model puts people under a lot of pressure to take the kinds of risks that led to Lehmans fall, while government agencies on their part are cited are as having fallen short of their full oversight responsibilities (Valukas 2010) This milestone is the culmination of a series of events or more precisely, the investment decisions taken by Lehman managers to pursue a countercyclical business strategy. The promise of subst antial opportunities in the subprime housing market led to the relaxing Risk controls most notably the single transaction limit, moreover opposition was crowded out and despite obvious warning signs and candid advice from some managers about the leveraged loans and commercial real estate businesses, the firms power brokers were figuratively hands over ears. The Lehman brothers journey into the abyss can be chronicled thus; the firm makes a strategic decision to pursue aggressive growth by taking on very high risk in addition it would also increase its leverage greatly (Valukas 2010). Shortly afterwards the subÃÆ' ¢Ãƒ ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒâ€šÃ‚ prime residential mortgage crises became full blown, decimating the real estate business, at which point the firm failed to demonstrate the agility critical to its survival. Its lethargy was exemplified in its sit still attitude with the hope that things would eventually turn around and their hefty wager would pay off. The bank actively wal ked the fine line by transcending the boundaries of its own risk control mechanisms thus defeating their purpose. The growth strategy turned out to be a disastrous malignancy causing the firm to lose direction. The collapse of Bear Sterns appeared to many to be a prelude and the collapse of Lehman brothers would most certainly follow. Its managers would thereafter be preoccupied with how to keep the bank from going under. Selling the Investment Strategy to Internal Customers One of the keys to the gravitation toward this strategy was to the ability of Lehman executives to sell it to its internal audience at the highest level; a case of expert internal salesmanship. The foray into commercial real estate investments, leveraged loans and private equity, the triple foci of the new strategy, was partly the result of meticulously selling the strategy to high-level executives (Valukas 2010 p61). Apparently, most if not all of the top executives at Lehman including CEO Richard Fuld fully understood this strategy; Fuld demonstrated sufficient comprehension or at least had enough information to also give his own presentation (Valukas 2010 p 62). From the corporate governance view, the board apparently gave their blessing to the malignant growth strategy (Valukas 2010, P 76). Furthermore, some directors did not appear overly concerned about omissions from the banks stress tests, these omissions being the very same investments in the new aggressive growth strat egy. (Valukas 2010, p. 77). Inadequate liquidity can cause very serious problems for investment banks involved in huge transactions such as Lehman. The bankruptcy report the liquidity position of the firm is described as precarious, occasioned by the its astronomical leverage when weighed against its aggressive growth strategy there was inadequate liquidity; moreover the assets in its balance sheet had become noxious, its capital had been depleted and the firm had become more vulnerable. This according Valukas (2010) further highlights the riskiness of Lehmans growth strategy (p. 62- 63). The noxious assets posed an even bigger problem; it trapped the firm from almost every angle. Considering the issue of raising cash especially in a difficult period; firstly the illiquid assets were poised take beating on sale and secondly they were unsuitable as collateral for borrowing neither was it possible to hedges to protect such mammoth investment (Valukas 2010) Surge in Risk Appetite The managers of Lehman failed to monitor its risks in their traditional way, as they explored uncharted investment waters they became more exposed. However the managers were willing to back the new strategy to the fullest extent even if it meant slackening their risk controls. In doing this they fuelled the investment strategy. The report sheds more light to these actions: Historically, its stress testing had not been designed to encompass the risks posed to the firm by principal investments in real estate and private equity, because those positions previously made up a small portion of Lehmans portfolio. Lehman did not revise its stress testing to address its evolving business strategy. Because of SEC requirement to conduct regular stress testing on its portfolio to quantify the catastrophic loss it could suffer over a defined period of time. Lehman ran a series of stress tests based on 13 or14 different scenarios. Some of the scenarios were historical events (Valukas 2010, p. 66) To compound matters, Lehmans Managers needed its publics to feel confident about the quality of its stress testing, to that effect the report points out that the firm may have actively deceived the public, it remarks: Lehmans Managers represented to its external constituents that regular and comprehensive stress tests were performed to evaluate the potential PL impact on the firms portfolio of abnormal yet plausible market conditions (Valukas 2010) The paper earlier pointed out Lehmans eventual disregard for its own risk management and control infrastructure, these limits or risk measures had kept Lehman centred in its approach to risk . This sophisticated mechanism had to be very intricate and well tuned as result of which so called risk appetite usage could be computed for product/ business lines, divisions and for the whole firm, in addition such values could be obtained on a daily basis (Valukas 2010) This paper had earlier pointed out the absence in Lehmans str ess tests of aggressive growth investment in commercial real estate and private equity. In its original form of the stress test only stocks, bonds and other free trading securities were tested. The report explains why the investments in the aggressive growth strategy were excluded: Because these assets did not trade freely, they were not considered susceptible to stress testing over a short-term scenario. And since Lehman did not then have significant investments in these areas, excluding them from the stress testing did not undermine the usefulness of the results (Valukas 2010, p. 67) Problems in the subprime market Lehman Brothers decided to shut down its subprime mortgage unit BNC mortgage in August 2007 exiting a hitherto unprofitable business, it would however continue to focus on Alt- A which were closer to prime mortgages through its Aurora loan services platform standards ( White Kim 2007). The anticipated turn was yet to arrive and in January 2008, its Auroras programme was suspended (Valukas 2010, p.137) According to the Lehman bankruptcy report, the examiner came to the conclusion that under Delaware law, Lehman managers were entitled to pursue their malignant growth strategy as this was in conformity with the business judgement rule. Despite disregarding their risk limits, the examiner concluded that they did not act recklessly. Though these business decisions led to failure did not constitute an outright breach of the duty of care (Valukas 2010, p.178). These investment decisions ultimately failed but they were just that, business decisions, taken in a traditionally risky ind ustry. In taking these actions, the managers wagered and expected to win. Were they unwise? Were they greedy? Did they go into investment overdrive? Or did they make the best decisions they felt possible given the information and time available, neither of which can ever be totally appropriated by anyone. Could timing have played an important role in the outcome of the decisions? The managers made this decisions again with the conviction that they got the timing right. Plainly, they made bad decisions which led to down fall of the firm. Reengineering the Balance sheet Banks want to show a good net leverage position that is favourable when compared to industry peers. Large Financial institutions use similar instruments to raise funds for short-term financing. Like its competitors Lehmans rating was of utmost importance to its managers this was also necessary to keep stakeholders confidence high be they investors or other parties. The examiners report notes that at this point Lehman was at panic stations, nothing would work, and it would then have to announce a $2.8 Billion loss in the 2nd quarter of 2008. The result of high stakes investments gone badly (Valukas 2010). Bad news gets around very quickly and Lehman proceeded to sell the idea it had achieved a significant reduction in its net leverage ratio to less than 12.5. It also claimed to be highly liquid about which it boasted a highly formidable position, while also claiming a reduction in net assets on its balance sheet by $60 billion (Valukas 2010 ). The firm did however mention the ext reme difficulties it faced in that quarter even as they persuaded the market of its liquidity (daily telegraph 10 june 2008) Lehmans use of the Repo 105 device Leman deployed a massive growth strategy which brought the firms risk exposure levels to unprecedented proportions. The housing market went down, leaving Lehman with billions in noxious assets sitting on its balance sheet. It needed to deleverage very quickly. The examiners bankruptcy report offers details as to how the firm hid its true debt levels through the Repo 105 device, repo is known to mean repurchasing. Lehman Brothers were able to temporality take $50b from its balance sheets at key quarterly reporting dates to improve its finanacial leverage ratio. in doing this, lehman misled investors (what repo 105 really mean) . according to .. lehman exploited wealnessses in US Statement Of Financail Standards (SFAS 140) accounting for transfers and servicing of finanacial assets and extinguishing of liabilitiesallowing it to book repo 105 and 108 transactions as sal;es rather than finanacing transactions according consequently Lehmans rep 105 transactions remobed securities inv entory from oitss balance sheet fro the duration of the repo (a week to ten days) lehman receives cash at the mon ment of the transaction . by using borrowed fund from 105 transactions to reduce shoert tern laibilites lehman reduced oits total assets and by that reduced its leverage ratios. Valukas (2010) finds that the motivae behind conduction big ticket repo 105 transactions very close quarter end in late 2007 and 2008 was to momentarily re move inventories form its balance sheet in order to rep[port lower leverage figures (publiocly dieclosed leverage). According to Valukas (2010 p 762-763) despite konowig that peers were not using devices similar to repo 150 lehman mangers actually oversaw a n escalation in the use of repo 150. The report also notes that bthey were caught betwen a weakedned position unable to risk alerting the narket by raising equirt funds and a potential huge losses should they sell invemntory . (Valukas 2010 763) The examiner determined that the Repo p rogramme had another crucial dimension, one that necessitated lawyers in the UK to affirm the transactions as sales as this was not possible in the US. In doing this it is the conclusion of the xeaminser that civil suits could be brought against lejhman . as theri sole purpose was balance sheet manaipulation The way Repo 105 transactions were applied suggest that Lehman were playing fast and loose with theiur balance sheet Assets (millions) Liabilities Cash 7,500 Short term borrowings 200000 Financial Instruments 350,000 Collateralized financings 325,000 Collateralized agreements 350,000 Long Term Borrowings 150,000 Receivables 20,000 Payables 98,000 Other 72,500 Stockholders Equity 27,000 Total 800,000 800,000 Gross Leverage 30 Net Leverage 17 Assets (millions) Liabilities Cash 57,500 Short term borrowings 200000 Financial Instruments 350,000 Collateralized financings 375,000 Collateralized agreements 350,000 Long Term Borrowings 150,000 Receivables 20,000 Payables 98,000 Other 72,500 Stockholders Equity 27,000 Total 800,000 800,000 Gross Leverage 31 Net Leverage 19 Assets (millions) Liabilities Cash 57,500 Short term borrowings 200000 Financial Instruments 350,000 Collateralized financings 375,000 Collateralized agreements 350,000 Long Term Borrowings 150,000 Receivables 20,000 Payables 98,000 Other 72,500 Stockholders Equity 27,000 Total 800,000 800,000 Gross Leverage 31 Net Leverage 19 Assets (millions) Liabilities Cash 57,500 Short term borrowings 200000 Financial Instruments 350,000 Collateralized financings 375,000 Collateralized agreements 350,000 Long Term Borrowings 150,000 Receivables 20,000 Payables 98,000 Other 72,500 Stockholders Equity 27,000 Total 800,000 800,000 Gross Leverage 31 Net Leverage 19 Last ditch Attempts to save Lehman Lehaman annomved its filing for bankruptcy protection on the morning of 15th seotember 2008 . how far did the officers go to save the firm and its managers should not allow their company to sink the ought to do every thing in theri power to save it In the light of the above Lehman managers needed to mount the strongest defensive strategies they could to save their dearly beloved investment bank. Helping the institution to survive is a sacred duty. According to Philips (2008 )New york city mayor Michael Bloomberg lamented the cloure of an instoitution that that provided a piece of the American deram. In 20/20 hindsight opinions have varied as to whether Lehman could have indeed been rescued. Macdonald (2009) is quite certain that had cooler heads and some self control prevaiuled the firm might have been rescued but a combination of a CEO who didnt liasten departure of key brilliant lehman readers and sheer obstinacy cost the firm its last chane to be saved. Despite the intensity of the meetings held that fateful weekend with intention of finding a solution and avoiding the fall it became abundantly clear as the hours slipped by that a deal was not goiung top be reached .Akll attemptes to rescue the bank had failed . Lehman sid in court documents that itsn bankruptcy was brought about by problem sin the global financial markets and worldwide economic conditions (Rozens Terzo 2008). (Rozens Terzo( 2008) also point out that judgikng formits its over 100000 creditors $639Bn in assets and $613bn innliabilitires its bankruptcy has enomours implications. Conclusions How did an investment bank the size of Lehman brother fail?. it had made several reaching business deciusions thsere is every indication that not every body was on board with thses decisions though through the use of clever presentations and acute selling skills the strategy was sold to the board and otherhigh ranking executives. A radical plunge inro a new statregy menat demphsizing traditionalbusiness line which had kept lehman profitable for fpoutreem stratght yeras.

`` The Pitfalls Of Plastic Surgery `` By Camille Paglia Essay

The beauty standard is a culturally constructed notion of physical attractiveness that has become increasingly imperative for women and men. However, this standard has become extremely perilous to men and women’s self-image. Camille Paglia, a highly educated individual who earned her PhD at Yale University and became a highly acclaimed author, explicates this conception in her essay â€Å"The Pitfalls of Plastic Surgery†. Paglia suggests that the beauty standard idealizes women to look like â€Å"sex symbols with an unattainable grandeur† (776). She continues to claim that it forces her audience of higher class women to pay large sums of money in order to alter their features ultimately conforming to a very â€Å"parochial† definition of beauty (776). Although Paglia is a highly credible source, she illogically appeals to the reader’s fears in order to persuade them. Paglia fails to give any credible outside sources which affirms her preposterous be liefs. Contrary to her inconsistencies, Daniel Akst, a social journalist and graduate from New York University provides his audience with reputable sources in order to persuade his audience. Daniel Akst believes that there needs to be a â€Å"democratization of physical beauty† in which instead of attempting to alter the beauty standard, we must first change how we view ourselves. Akst provides credible sources to establish his credibility where he observes cases studies and cultural experiments from scientists and organizations including:Show MoreRelated`` Dad, Can I Please Get A Nose Job?1512 Words   |  7 PagesV. at 7:00 am, ready to go under the knife. The huge bump on my nose always bothered me when I looked at pictures of my profiled face. It seemed like every woman I was surrounded by, both celebrities who have gotten plastic surgery, and even my friends who never had plastic surgery, had a cute, smooth, feminine nose. I wanted to look like them—I wanted my nose to fit in with all the other girls’ noses. No one would even second-guess a teenager getting a nose job in Los Angeles because it has becomeRead MoreThe Media Images Of Beauty1665 Words   |  7 PagesThis norm is slowly taking away an individual’s freedom of self-expression and consequently lose sense of self-worth. Camille Paglia, an academic and social critic who earned her PhD at Yale University, uses her artistic sensibility to argue that the current trend of plastic surgery leads to ethical issues, such as narcissism, sexism, and racism in â€Å"The Pitfall of Plastic Surgery†. Meanwhile, Daniel Akst, New York born journalist, claims that the attitudes of the typical American’s carelessness aboutRead MorePhysical Features Of Cosmetic Surgery Essay1329 Words   |  6 Pagesidentifying patients for whom surgery was appropriate.† (345.) Though cosmetic surgery helps boost self-esteem and may bring a feeling of meeting the socially accepted standards of beauty, many people who pursue cosmetic su rgery have psychological disorders such as narcissism, BDD, bulimia, depression, and anxiety, that would be much better treated through psychiatric help rather than seeking to transform their body image. According to Nikolic, â€Å"A â€Å"perfect† candidate for the surgery has a healthy body image

Greatest Soldier of all time A Look into the life of Alexander the Great Free Essays

Ancient Greece became the foundation of Western Civilization. It served as the breeding ground for the development of ideas of political liberty and democratic government. Appreciation and observation of certain standards for art, science, literature and philosophy were actually rooted in ancient Greece (Cawthorne, 23). We will write a custom essay sample on Greatest Soldier of all time: A Look into the life of Alexander the Great or any similar topic only for you Order Now The backdrop of this very influential Greek civilization was not always a colourful hue. It was also beset by conflicts between Greek City-States, causing them to be at war with one another. How these Greek City States evolved into an empire is attributable to one man——–a person possessing nearly deity qualities——— Alexander the Great (Gergel 40). The Makings of a Great Warrior Indeed, the result of Alexander’s conquests was no small feat. It is one of history’s most treasured accounts of a military leader, unrivalled in military skills and brilliance. But Alexander’s seemingly innate qualities were not developed overnight. He laboured hard in becoming who he was in history (Roisman 45). Alexander the Great honed his skills and enriched his intellect through the guidance of a respected great thinker in the name of Aristotle. He thought Alexander to develop a scientific curiosity for things. He moulded him to better understand and appreciate the Greek culture, which is evident in Alexander’s love for the arts (Roisman 45). Through Aristotle’s supervision, Alexander devoted a part of his life to acquiring knowledge and skills. He nourished his mind and spirit through various works of art and literature. He inculcated the philosophy and ideas derive from the written word and he dreamed of one day matching the skills of the heroes depicted in Iliad and Odyssey. Alexander loved heroic tales, a reason enough to appreciate why he ruled historical pages during his time. Establishment of a Great Empire Alexander of Macedon was born in 356 BC. Following the assassination of his father, Philip in 336 BC, Alexander became the ruler. This, undoubtedly, was the start of the rise of one of the greatest leader in history (Howe and Harrer 79). Alexander of Macedon was only twenty years old when he acquired the responsibility of governing his father’s land and army. Unknown to many, Alexander is set to accomplish things beyond the wildest imagination of many. Ancient Greek is destined to become recognized around the world through the efforts of a man, they call ruler (Lonsdale 52). A true heir to his father’s throne, Alexander shared the same vision for Greece, as his father did. He acquired exceptional military skill, leadership ability and an unsurpassed desire to conquer the Persian Empire. Alexander the Great made his mark in history as the greatest military leader ever to live. His unrivalled popularity was always the source of, at times controversy, more often, inspiration. He possessed unparalleled brilliance, which earned him the reputation of a daring and intelligent ruler. This however, did not stop him from doing more. In 334 BC, he braved to cross Hellespont and freed the Greek colonies in Asia Minor. This resulted in a domino effect of empires falling one after another. He eyed Phoenicia, and then Egypt, where he founded Alexandria. His success came one after another. In 331 BC, he was triumphant in conquering Mesopotamia, which surrendered and submitted under his rule (Baldry 83). Alexander’s military prowess was remarkable. After defeating the king of Persia in battle, Alexander pushed on to North Western India. He continued his invasion of empires and evidently, he achieved desired results. Between 334BC and 326 BC, Alexander, together with his exceptional army, conquered the lands from Egypt to India, without ever losing a single battle (De Santis 61; Lonsdale 54). Death of Alexander the Great: An Empire Falls Apart Alexander the Great died of a fever in 323 BC. He was almost 33 years of age when he passed away. His death had a tremendous impact on his empire. The brief period of unity that brought Greece and the Near East together had ended abruptly. As a result, his general s were unable to control the vast empire that Alexander built. This resulted to the separation of Alexander’s empire into three kingdoms. Noteworthy is the fact that one of his generals, Ptolemy, ruled Egypt, while others settled in Asia and Macedonia. Alexander’s Life and Contributions: an Analysis Alexander the Great started early on a life destined for greatness. His brilliance exuded more than an extraordinary military skill. It depicted him as a historical figure, worthy of adulation. But his life was never smooth sailing. Once, his right to inherit the throne of King Philip was questioned, following King Philips’ marriage to Cleopatra of Macedonia. This however, did not bar him from fulfilling his destiny. As soon as he reconciled with his father, he assumed the role of a rightful heir to the throne of King Philip. It was proven when King Philip die and Alexander managed to rule over his father’s loyal subjects and lead them to conquests that later on brought them glory and honour. Alexander earned for them a reputation that is tantamount to priceless. Gaining recognition as a superior army, backed by a ruler whose brilliance is well-known, they conquered land, empires and expanded their power and influence. Alexander established his empire and manifested his power and influence throughout history. His desire to conquer Persia was no small feat. It enabled him to make his mark as a magnificent military leader and a brave one at that (Baldry 76). As a ruler, Alexander the Great made various decisions and policies that merited recognition, while some solicited controversy. An example would be the cultural influence of proskynensis. This is a Persian culture, where it is strongly encouraged to kiss the hands of people regarded as social superiors. The Greeks abhorred this practice, thinking that it is only meant for gods and goddesses, and by implementing it, Alexander was stepping up to the level of deities (Renault 34). Indeed, Alexander the Great has raised his status as a ruler. By attaining what his father Philip failed to achieve, Alexander the Great created an image of himself that is nothing short of spectacular. By strategically conquering one empire after another, he has expanded his sovereignty, and made both enemies and allies alike acknowledge the fact that he is a superb military leader who bows down to no one. The importance of Alexander the Great can be deeply felt long after he was gone. Although his empire broke apart, putting his efforts of unification to waste, his conquests had a lasting effect. This is attributable to the fact that Alexander the Great was an agent of change. Indeed, he has espoused ideals and beliefs that influenced the Greek’s culture whether or not it was to their liking (Renault 34). Regarded as a magnificent military leader, Alexander the great was always one step ahead, in many respects. He encouraged the Greek soldiers, merchants and even government officials to settle in the conquered lands. This became the reason for the proliferation of the Greek culture long after his death. Through settling in the conquered land, the Greeks, by having contacts between the peoples of the Near East, became agents of spreading the Greek culture. Ultimately, Greek culture influenced the conquered lands’ inhabitants and soon, the transfer and absorption of the Greek culture followed. The Greek language became widely used in the Mediterranean world. People belonging to the upper-class of the society learned and adapted the Greek literature, appreciation for the arts, ideas and customs. This can be considered one of Alexander’s finest works. To be able to spread the Greek culture and assimilate it into the daily lives of the people living in the conquered lands of Alexander the Great. This symbolizes the unending tale of his heroic acts and the legacy he so desired to leave. During his conquests, Alexander the Great acquired great deal of knowledge. His travels gave him an opportunity to learn about plants, animals, geography, astronomy and philosophy. Many of the philosophers and scientists that accompanied him saw opportunities for a learning experience. Alexander advocated educating one’s self through discovery of principles and gathering knowledge (Green 27). It is more evident when he founded Alexandria. Outstanding scientists and scholars were invited to work at the library of Alexandria. Many of the discoveries made still influence modern science. Alexander the Great looked into the future and linked it to the past. This is exactly what he did when he encouraged the spread of the Greek culture. It marked the opening of a new stage of civilization, more prominently termed the Hellenistic Age. The Hellenistic age provided for the avenue to lessen the discrimination between Greeks and Non-Greeks, evident in the Hellenic age. This is where the recognition of Greek culture in the Mediterranean world stemmed from (Mercer 60). The conquests of Alexander the Great proved fruitful and spawned a lot of changes in Greek civilization. The widespread acceptance of Greek culture by conquered lands elevated Alexander the Great as a ruler, a military leader and a brilliant king (Mercer 60). References: Baldry, H. C. Ancient Greek Literature in its living Context. Thames and Hudson Ltd. , 1968. Cawthorne, Nigel. Alexander the Great. Haus Publishers Ltd. 2004 De Santis, Marc G. â€Å"At The Crossroads of Conquest. † Military Heritage. December 2001. Volume 3, No. 3: Gergel, Tania. Alexander the Great. Penguin Group, London, 2004 Green, P. Alexander of Macedon, 356-323 B. C. Berkeley, University of California Press, 1991. Howe, George and Harrer, Gustave (editor) Greek Literature in Translation. Harper and Brothers Publisher, 1924. Lonsdale, David. Alexander the Great. New York, Routledge, 2006. Mercer, Charles, The way of Alexander the Great. I Books, October 5, 2004. Renault, Mary. The Nature of Alexander. Pantheon Books, 1975. Roisman, Joseph (ed. ) Brill’s Companion to Alexander the Great. Leiden: Brill Academic University of California Press, 1991. 46-55, 97. How to cite Greatest Soldier of all time: A Look into the life of Alexander the Great, Essays

Satire Cartoon Analysis †Myassignmenthelp.com

Question: Describe about the Satire Cartoon Analysis? Answer: Introduction The cartoon selected can be identified in various ways. The cartoon is representing three different aspects regarding political, social and organizational situation but the key point of this cartoon is the misuse of power. There are very less people in the world who have the power but they always try to misuse that power for their personal benefit. Thus, this essay describes the different meanings of the cartoon by Polyp. Details of the Cartoon The cartoon selected is a social cartoon which is representing the current situation of the society. Polyp has explained various situations of the current society in this cartoon (Das Molecular Menifest, 2014). The first situation that the artist has explained is the gap between the poor and rich people, which is increasing in the society. If we see the statistics, about 1.2 billion people are living a poor life and one out of five people is living a luxurious life in the world and this situation is enhancing every day. The other situation that the cartoon is showing is the rights of nuclear energy resources. This is a little political aspect that the artist has shared in this cartoon (syjowony, 2013). According to the recent bill passed by U.N.O., the countries which are leading the U.N.O. may only have the power of creating the nuclear weapons and resources. This is clearly indicated in the cartoon as the small bowl has more power and resources while the larger bowl has only the land (Polyp, 2014). The next situation that the cartoon is explaining is all about unfair share of wages by the organizations (gunteitb, 2015). As it is clear that most of the people in the world are working on wages while only a few people run their own business, thus through the cartoon, the artist tried to show how the owner of the company takes a large amount of profit and shares only a little amount with its employees. Thus, the cartoon is indicating the anger of the employees towards the organizations. The selected text has various key points. In the image, we are clearly seeing the two bowls, one small and one large (Miller, 2015). These bowls are representing the density of the people which means the difference in numbers of two types of groups of people. One group has a large number of people and the other group has the fewer number of people in comparison to the other group. There are actually two food pieces. One food piece is large while other is small large piece. The larger one is placed in the small bowl and the smaller piece is placed in the large bowl. This is clearly indicating that it is easier to get a large amount of fewer resources than small amount of people. The text How do you mean, Fair share also has a very deep meaning. Text is showing the unfair behaviour of the rich people who have more power than the poor people, who have very less power in the society. The rich people always criticize the poor people. They take work from the poor people but they dont share the fair profit with them. They always try to find various ways to cutting down the wages of workers. The actors used in the texture are creating a real affect about the message that the artist wants to spread (Political Humour, 2014). If we see, there is only one person standing on the side of small bowl and large food piece but there are three people standing on the side of the large bowl and small food piece. The single person is indicating the rich person, powerful country and the owner of the organization. The three people on the other side are representing the poor people, poor countries and employees of the organization (Humour times, 2015). The clothing style of the people is presenting their real situation. The text written on the food is also important to understand the real meaning of the purpose. The large food has written as earths resources and the small piece of food have written earth online and the resources are hidden in the small piece. Here the word resource is very important to consider. Resources actually indicate the real profit while earth is the base or platform of generating profit. Thus the Polyp wanted to indicate that the owner of the company used to say that they provide platform to the employees to generate profit while the reality is something else the owners use to share only a negligible amount of profit with the employees in terms of salary but they themselves use the resources more. Here the hiding of actually means the negligibility of the profit sharing with the employees. Conclusion The above essay is basically an analysis of the cartoon created by a famous cartoon artist Polyp. Polyp really has demonstrated what he wants to explain through the cartoon. The resources, art and actors used in the cartoon are really used very well in the texture. They are suiting the conditions which the artist wants to show. The cartoon is actually explaining the three different aspects of the three different fields, social, political and organizational. The first aspect is about the gap between the rich and poor people in the society and how this gap in the society is increasing day by day. Second aspect is about the nuclear act published by U.N.O. and from the organizational point of view, how the owners cut down the salary of their employees by different ways and dont share the fair profit with the employees. The clear demonstration of the facts published in terms of texture by Polyp is really appreciable. Polyp has done a great work in the cartoon to show the real problems in the society. The text written in the cartoons and the drawing of actor is creating a real influence. Polyp has shown his dedication for his art by presenting the real situation of politics and society today. References Das Molecular Manifest (2014). Planet Titanic [online]. Available From: https://molecularism.com/de/html/instantguide02_de.htm [Accessed: 16th March 2015].Syjowomy56 (2013). Satirical Cartoons [online]. Available From: https://syjowomy56.blog.com/2013/09/29/satirical-cartoons/ [Accessed: 16th March 2015].Polyp (2014). Cartoon about wealth and poverty [online]. Available From: https://www.polyp.org.uk/wealth-poverty_cartoons/cartoons_about_wealth_and_poverty.html [Accessed: 16th March 2015].Gunteitb (2015). 20091006-SS-Pp165-182-Applying Integrated Ecological Planning and ALIT [online]. Available From: https://www.scribd.com/doc/31716270/20091006-SS-Pp165-182-Applying-Integrated-Ecological-Planning-and-ALIT#scribd [Accessed: 16th March 2015].Miller, Evan (2015).Instant presentation [online].AvailableFrom: https://www.haikudeck.com/vocab-week-5-uncategorized-presentation-kE5XpUczgu [Accessed: 16th March 2015].Political Humour (2014). Jokes Satire and political Cartoons [online]. Availa ble From: https://politicalhumor.about.com/ [Accessed: 16th March 2015].Humour Times (2015). Satire Cartoons [online]. Available From: https://www.humortimes.com/topics/cartoons/ [Accessed: 16th March 2015].

Blackmores - a Strategic Analysis free essay sample

Market growth is increasing due to recent pushes towards complementary healthcare, for instance the work of the Complementary Healthcare Association lobbying the government and surveys undertaken by industry help to spread awareness of complementary healthcare among the aging baby-boomer population. The impact of regulatory bodies. E. g. f the Therapeutics Goods Administration tightens quality constraints, may erode profit margins of smaller firms, lead to push for economies of scale There are low switching costs between brands for consumers, though the Pan Pharmaceuticals debacle highlighted the importance of strong brand equity to maintain customer patronage. Also, if the healthcare products are viewed as commodities, buyers will focus upon price and service as their differentiators. One of the biggest competitors to Blackmores continues to be lower priced alternative complementary medicines.Bio-Organics and Herron are two brands that are competing directly with Blackmores and given their lower price products are sharing much of the market share with Blackmores. We will write a custom essay sample on Blackmores a Strategic Analysis or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page Additionally, there are added incentives to purchase Guardian products, such as Guardian loyalty cards. These factors help to boost Guardian owned products. Therefore, a possible improvement in the future for Blackmores is to introduce a loyalty scheme that will help retain their customers. The bargaining power of buyers: Bargaining power of buyers is moderate to weak. Many buyers mostly accounting for a small proportion of total sales.The complementary healthcare industry utilizes 3 major distribution channels Chemists, grocery stores and healthcare stores to access a wide range of consumers who generally all purchase relatively low volumes (ASMI, 2006). Blackmores has sought to differentiate its product via a quality focus and some competitors have a cost-focus. This Differentiation strategy helps to develop brand loyalty and is aimed at nullifying the impact of higher prices on consumer demand. No real threat of backward integration – given the diversity of customers.The customers are end-users, so there are no resale issues The absence of any real switching costs favorably influences buyer power, as it allows dissatisfied customers to change readily within the healthcare brands. Again, the focus on brand image and service helps to offset this lack of switching costs. The retail stores and distributors, however, have some bargaining power because they are able to influence the amount of shelf space given to Blackmores. However, Blackmores has a good working relationship with distributors and has a good share of shelf space amongst retail outlets.

Radiological Health Engineering

Nuclear & Health Physics/Radiological Health Engineering by: Monika Thompson The Texas A&M Nuclear Engineering Department consists of two branches: Nuclear Engineering, â€Å"the development and application of nuclear technologies to energy production, medicine, industry, research, etc.†, explores the possibilities of nuclear power and environment interaction. While Health Physics/Radiological Health Engineering, â€Å"a profession devoted to the protection of man and the environment from unwarranted radiation exposure.", explores the possibilities of nuclear technology, such as x-rays and its relation to medicine, which benefits mankind. Currently one-hundred undergraduates and one hundred graduates are taking the challenge of these two branches under the supervision of eighteen professors and one lecturer. This curriculum currently ranks in the top ten, nation wide. There are several fields for exploration with a major in Nuclear and Health Physics/Radiological Health Engineering. All Nuclear Engineering Department, students learn subjects relating to the Design of Space Reactors, Inherently Safe reactors, Interactions of Radiation on a Microscope Scale, Design of New Cancer Therapies, Novel Uses Radiation, and Advance in Radiation Protection. The following areas, programs, and organizations involve nuclear disciplines: the Space Program, Semiconductors, Oil and Gas Exploration, Nuclear Power Industry, National Laboratories, Education and training, Government Agencies, Medical Life Science and the Military. These organizations and companies lead to great job opportunities. In Texas, job opportunities are at Houston Power & Light Company, TU Electric Company, Medical Facilities, and Schlumberger, Halliburton and other companies to all fresh Texas A&M graduates every year. Texas A&M has outstanding facilities for it is students to work with and learn form. The Nuclear Science Center contains a TRIGA Reactor, Hot Cell, radiochemi... Radiological Health Engineering Free Essays on Nuclear & Health Physics/Radiological Health Engineering Nuclear & Health Physics/Radiological Health Engineering by: Monika Thompson The Texas A&M Nuclear Engineering Department consists of two branches: Nuclear Engineering, â€Å"the development and application of nuclear technologies to energy production, medicine, industry, research, etc.†, explores the possibilities of nuclear power and environment interaction. While Health Physics/Radiological Health Engineering, â€Å"a profession devoted to the protection of man and the environment from unwarranted radiation exposure.", explores the possibilities of nuclear technology, such as x-rays and its relation to medicine, which benefits mankind. Currently one-hundred undergraduates and one hundred graduates are taking the challenge of these two branches under the supervision of eighteen professors and one lecturer. This curriculum currently ranks in the top ten, nation wide. There are several fields for exploration with a major in Nuclear and Health Physics/Radiological Health Engineering. All Nuclear Engineering Department, students learn subjects relating to the Design of Space Reactors, Inherently Safe reactors, Interactions of Radiation on a Microscope Scale, Design of New Cancer Therapies, Novel Uses Radiation, and Advance in Radiation Protection. The following areas, programs, and organizations involve nuclear disciplines: the Space Program, Semiconductors, Oil and Gas Exploration, Nuclear Power Industry, National Laboratories, Education and training, Government Agencies, Medical Life Science and the Military. These organizations and companies lead to great job opportunities. In Texas, job opportunities are at Houston Power & Light Company, TU Electric Company, Medical Facilities, and Schlumberger, Halliburton and other companies to all fresh Texas A&M graduates every year. Texas A&M has outstanding facilities for it is students to work with and learn form. The Nuclear Science Center contains a TRIGA Reactor, Hot Cell, radiochemi...

Nissan Essay Example | Topics and Well Written Essays - 4250 words

Nissan - Essay Example The Company is also engaged in manufacture and supply of automobile parts. Its overseas market includes Europe, North America, Africa, New Zealand, and China. Nissan established an alliance with Renault SA in 1999 in order to resolve its financial difficulty. Renault SA is a French automobile manufacturer, who was looking to expand its brand into other world markets. The alliance was designed to achieve profitable and balanced growth for both the partners through the creation of a bi-national group. Nissan has been working to address global environmental issues that have caused increasing concern over recent years. Renault has been expanding its activities into other world markets by improving core competencies; it is argued that if Renault had not found a partner, it could have found survival difficult when faced with global competition (Autozine, 2002b).The RNA is an agreement concerning a global alliance aimed at "achieving profitable growth for both companies". Both companies have interest of cross shareholding, so they joined alliance for manufacturing facility. Renaults stake in Nissan is a stake in its performance, and vice versa, which immediately moves the alliance away from the likes of Rover-Honda, where no such arrangement existed. The Alliance develops and implements a strategy of profitable growth and sets itself the following three objectives: The Renault-Nissan Alliance is ranked among the worlds leading five automakers. This alliance mainly includes five brands: Nissan and Infiniti for the Nissan group and Renault, Dacia and Samsung for the Renault group. As s result of the synergies generated by the alliance, Renault and Nissan assert their ambitions for future developments. (Nissan). Q.1) In the April-to-December, 2008 period, net revenue fell 14.7% to 6.6858 trillion yen. Operating profit totalled 92.5 billion yen, down 84.0%. Operating profit margin came to

Ratio Analysis Research Paper Example | Topics and Well Written Essays - 750 words

Ratio Analysis - Research Paper Example It is interesting to see that the organization increased its profit margin from only 1.9% in 2012 to 6% in 2013 and 8.9% in 2014. As per the Morning Star (n.d.) financial reports, the company’s debt to equity ratio was nearly stable over the 2012-14 period posting 0.57%, 0.60%, and 0.59% respectively in 2012, 2013, and 2014. Comparing to the years just before the global financial crisis, Toyota is yet to achieve a stronger leverage and equity position. The company had a price-earnings (P/E) ratio of 40.46% in 2012, and this high P/E ratio indicates that investors were expecting higher earnings growth in the future because the economy had begun overcoming the recessionary pressures. Toyota’s P/E ratio declined to 15.30% in 2013 and to a further 10.30% in 2014 as the global economy regained its growth momentum, and hence investor did not expect a significant future growth in earnings. Similarly, the company’s inventory turnover ratios for the fiscal years 2012, 201 3, and 2014 were 11.20%, 11.17%, and 11.52% respectively. These ratios are low as compared to that in 2011(12.19%) and a low inventory turnover ratio indicates poor inventory management or low sales. The firm’s current ratio was almost stable over the last three years (1.05%, 1.07%, and 1.07%) (Morning Star). Referring to Allen (2011), since these ratios are greater than 1, it is clear that Toyota is â€Å"able to meet its current obligations, with a surplus of working capital† (p.202). While evaluating Toyota’s time interest earned over the 2012-14 period, it is identified that the organization is placed in a better position to meet its debt obligations effectively. Toyota recovered fast from the severe impacts of the global financial crisis 2008-09 and the organization gained notable increases in revenues in the last two fiscal years. To illustrate, Toyota’s revenue fell to  ¥18,583,653 million in 2012 due to global economic turmoil, and some major product recalls due to quality issues.

Idea book Article Example | Topics and Well Written Essays - 500 words - 1

Idea book - Article Example I am an iPhone smartphone. Im the latest brand of the latest smartphone in the smartphone world filled with technological gizmos. I am friends with the internet to whom we share a very deep bond of friendship we regularly interact and exchange information. I don’t lie to be on the computer because she is jealous of my relationship with the internet. Teamwork on the social media platforms can be illustrated in various ways, for instance liking a comment or retweeting a post by someone. This shows solidarity with an idea that someone has put forth through the post. The creative process that goes on in my mind before I post a statement, comment or picture has various levels of thought put into them. Firstly, the post has to have context and I for this instance define context to mean it has to conform to the trending topic or if Im commenting on a persons message I have to keep it on the issue we are talking about. Secondly, unless the trend is tragic, I try to make humor about it as much as I can. Third in terms of the photos I post I try to make each unique with a different subject always but always showing the best possible version of myself. The mind map shows a correlation of thoughts, attitudes and principles that are revealed through the various social media platforms. The mind map also gives perspective to all these information, thus making it more credible and fitting to the context in which they are used. Two of my friends are Ann and Julien. Ann is a perfectionist, she likes slow and soulful music, dislikes public transport, her cake is that she likes candy at night and has some before she sleeps. She believes in God and humanity and chooses to see the good in people rather than the bad, the niche id put her in is that of creative friends. Julien is hardworking, he likes hip hop music, especially Jay-Z he doesn’t like lazy people. His quirk is that he studies, best under loud music and as a

Vietnam Human Resource Enterprises and Training

Vietnam Human Resource Enterprises and Training 1.1 The importance of the study 1.2 Aim and objectives of the project 1.4 Dissertation structure Chapter 2 Literature review 2.1 Defining the terms: Human Resource and Human Resource Development, Training, Development 2.1.1 Human resource 2.1.2 Human resource development 2.1.3 Training 2.1.4 Development 2.2 Purpose of training and development 2.3 Training and development progress in an enterprise 2.3.1 Methods of Training and development 2.3.2 Process of training and development 2.4 Factors affect training and development 2.4.1 Internal factors 2.4.2 External factors Chapter 1 Introduction The background of the study Vietnam is one of the countries which have the fastest and the most impressive growing economies in recent years. It is a transitional economy and is developing more and more with an open door government policy. In 1986, Doi Moi economic reform was initiated and made a breakthrough for the economy of Vietnam. It transferred Vietnam from socialist-oriented market economy to the free-market economy. On 11 January 2007, Viet Nam became the official 150th member of World Trade Organisation (WTO). The day was considered as a historic day for the country. Joining the WTO, Vietnam seems to accept increased competition, and competition will make the economy more dynamic. Moreover, it creates a dynamic and challenging environment for local organizations to upgrade their operations both technologically and managerially, in order to unlock the immense potential of the countrys natural and human resources. (Mcneil et al, 1999). However, using the national human resource in effectiveness way seem s to be not simple. It could be a challenge for any countries. In fact, Vietnam has the population which is more than eighty million (Vietnam general statistic office, 2010). It supplies a large labor force which seems to be a competitive advantage for a developing country like Vietnam, especially in attracting FDI (T. Le, 2007). However, this advantage is passing off in current situation. When using and development of technology, machinery in enterprises becomes popular, the competitiveness depends on human resource quality. Sadly, Vietnam is losing its competitive capability. In the Global Competitiveness Report 2009-2010, Vietnam is down five positions from 70th to 75th, in which the quality of education system is one of the worst elements. In reality, the poor quality in education and training prevent the country from developing. Vietnam labor force has weaknesses and limitations. Every year, a high percentage of students graduated from universities have difficulties in finding a job because of lacking knowledge and skills. According to a re port by the HCMC Department of Labor, War Invalids, and Social Affairs, only around one third of the enterprises in the countries are satisfied with the qualifications of their new recruits (Saigon Times Weekly, 2002c). It seems that the higher education in Vietnam which is in old equipment and passive method could not satisfy the real market demand of high quality and skilled human resource in the period of development (Kamoche, 2001). Besides, proportion of employees who are trained in working is just 20% (Vietnam Ministry of Labour, Invalid and Social Affair, 2006). Duc Vuong (2008) argued that the staff training is required more caring in developing countries. As low labor cost is considered as an absolute advantage of labor-intensive economy but not high- tech or capital-intensive ones (Vietnam Ministry of Labour, Invalid and Social Affair, 2006). Hence, economies and business need to improve the training and development of employees. Similar to Malaysia, vision of becoming a developed nation by 2020 put an emphasis on HRD (). The purpose of becoming a developed country in the future absolutely raises the requirement of training and development human resource in Vietnam. In other words, there are more and more concerns about HRD activities in the country. In national level, Vietnam government considers highly qualified human resource as the important forces to encouraging the industrialization process and as the basic ground for the growth of economy (MPI, 2001). Vietnam government applied polices to encourage the HRD in the country especially in education. The government keeps push forward comprehensive reform enhancing the quality of training and education at all levels. Besides, it focuses on developing high quality human resource to meet the economic development demand (Khang, 2010). The government has also supported a program to improve HR skills in organizations through special training courses (from 2004-20 08). It helps companies and individuals in increasing their competitiveness. T. Tran and L. Le (1996) gave several experiences of the differences countries in HRD. They concentrated on the benefits of government policies of these countries in encouraging HRD and the lessons that Vietnam learnt from. However, it takes time to see what the real benefits from policies are and changes in HRD are. Moreover, applying policies depends on many elements which specific in each country. In Annual business report of VCCI (Vietnam Chamber of Commerce and Industry) in 2007 provided an analysis of key developments include human resource development in Vietnam business environment and their impacts on Vietnam enterprises. It had showed the general impacts of human resources and labor supply in some specific sectors such as tourism, banking, construction. Since then, the specific solutions in HRD for each sector could be suggested. There is another aspect in HRD discussed in Vietnam at the moment. H RD should be accompanied with national economic strategies. In fact, in Vietnam, in planning national economic strategies, the experts focus on economic issues without concerning human resource role which is the vital and essential elements to implement these strategies (D. Phung and D. Do, 2009). The problem appeared here is when these strategies are set up and the quality of human resource could not afford for them. In comparison with some neighbor countries in ASEAN, although HRD activities in Vietnam are concerned more, it is still new and weak. For instance, in the last decade, training consultants in Singapore have mushroomed. The emphasis on training is so much so that some companies have even created a standalone department on training along with the HRM department (). Hence, Singapore ranks very high in the world in its emphasis on training and development. Other example is in Malaysia, the HRD Act since 1992 forced the organizations which have more than 50 employees to support 1 percent of their monthly salaries to a fund to promote training (). Importance of the study Training and development human resource is not only the governments responsibility but the organizations responsibility as well. In recent years, the training and development human resource has been paid more attentions in Vietnam organizations (Kamoche, 2001). There is a strong willingness to learn and to be trained in organization. However, the level of attentions and willingness could be decreased by the reluctance of employees to accept the new things and innovation. Also, there is a distinctive point of views in training and developing human resource within organization. While in foreign invested companies tend to considers training as a vital tool (Saigon Times, 2002), the SOEs sees it as an expense and tend to keep budget as small as possible (Quang and Dung, 1998). The training objectives between The importance of the study SMEs in Vietnam are a dynamic force of the Vietnam economy and have been contributing a lot of successes in the development of economy. In the research of Timothy Bartram et al (2009), he argued that Vietnam is currently providing and creating many opportunities for the growth and development of entrepreneurial businesses, which provides significant opportunities as well as challenges for managers of these enterprises. In human resources aspect, SMEs created around 60% of the total job for labor force (Sakai and Takada, 2000) and until now this number has increased significantly. Besides, private sector plays a big role in increasing GDP annual. Understanding the important role of SMEs clearly, Vietnam government has been developing policies and creating conditions generally for the growth of SMEs, and particularly for the human resource development in SMEs. The private sector grows and competes openly for experienced and skilled staff, HR assume new importance. However, SMEs face particular problems in HR. Certainly, small firms do not have the HRM expertise, infrastructure and general resources commanded by larger organisations (Hill and Stewart, 2000). The requirement of development of human resource is truly necessary because the business environment change day by day and employees need improve their skills and knowledge to maintain their productivity. Enterprises which want to maintain their competitiveness and effectiveness need to consider human resource development as one of the most important parts. Following Adeniyi (1995), he observed that staff training and development is a work activity that can make a very important and remarkable contribution to the overall effectiveness and profitability of an organization. Huang (2001) proved that training program has a close relation to the performance in the enterprises and training pr ograms produce real benefits for small and medium-size enterprises (SMEs) In Vietnam, human resource especially human resource development is still a quite new area. At the moment, there are a few researches around Human Resource Development. Most of them show the essential requirement, challenges and opportunities of HRD in current situation of rapid economic development, the HRM of the nation in macro level. Some others illustrate more deeply in the situation of the HR and Human resource management in enterprises. In reality, a big question that what HRD is and how HRD plays its role in the enterprises still has not an answer. So, the research in this paper focuses on one main area of HRD which is training and developing human resource in the context of SMEs in Vietnam. It would give some contributions to the Vietnamese enterprises in referring the basic knowledge in training and developing human resource, analyzing the factors which could affect on their training and developing human resource actions in the context of Vietnam. Furthermore, the examples of experiences in HRD from some others countries and organizations will be shown as the lessons help enterprises in finding solution for their situation. Then, the view of HRD in enterprises would be cared wider and deeper. Aim and objective of the project The project focuses on the analyzing the actions of training and developing human resource in enterprises in Vietnam. The company selected in research is Deloitte Vietnam Company. It is the company of which the HRD activities will be analyzed specifically There are three principal objectives: Generalizing and developing of the principles in literature of human resources development and human resources in enterprises Using this literature to analyze and evaluate the activities in HRD in enterprises according to illustrate the advantage factors and disadvantages factors which affect in HRD in the company Suggesting solution and points of views to improve the HRD in the company selected. Methodology Dissertation structure Chapter 2 Literature review Defining the terms: Human Resource and Human Resource Development, Training, Development Development It is the growth or realization of a persons ability, through conscious or unconscious learning. Development programmes usually include elements of planned study and experience, and are frequently supported by a coaching or counseling facility (MSC, 1981:15) Development occurs when a gain in experience is effective combined with the conceptual understanding that can illuminate it, giving increased confidence both to act and to perceive how such action relates to it context. (Bolton, 1995:15) From these definitions, the development could show the movement to an improved situation that for the individual means advancing towards the physical and mental potential. There is one common theme that Nadler (1990) provided when he gathered the term of training and development is that both of training and development contain the word learning. He stated that training = learning related to present jobs and development = learning for growth of the individual but not related to a specific present or future job Human resource development About Human Resource Development, it refers to career development, training and development, and organizational development programs offered to employees to develop new or replacement knowledge and skills; improve their performances, potentials, and promotability; enhance to their general growth, and improve group and organizational effectiveness (William R. Tracey, ) There are many strands to HRD such as personal development, development for a job, a situation, or for setting a new works. It could be a development leading to a better life for individuals, organizations or even wider communities as well. (J. Matthews et al ). In Coopey et al 1993:24, it is seen as a capacity to incorporate learning into behavour Furthermore, HRD is an extension of Training and Development, with a specific orientation towards organizational learning interventions which are created to improve skills, knowledge and understanding. Follow Leonard Nadler, HRD is defined as a series of organized activities conducted within a specified time and designed to produce behavioral change of individuals in organizations. (Nadler, 1970). It includes 3 types of vocational learning activity which help individuals to be more effective at work: à ¢Ã¢â€š ¬Ã‚ ¢ Training focusing in immediate changes in jobs performance à ¢Ã¢â€š ¬Ã‚ ¢ Education, geared towards intermediate changes in individual capabilities à ¢Ã¢â€š ¬Ã‚ ¢ Development concerned with long-term improvement in the individual workers ( Nadler, 1970) In Principle of HRD, Jerry W. Gilley et al showed three fundamental component areas of human resource development. They are individual development (personal), career development (professional), and organizational development. Each component has their own importance roles which vary from organization to organization accordant with the operation complexity, the criticality of human resources to efficiency in organization, and the organizations commitment to improved human resources. However, all of three component areas have one focus which is individual performance improvement. The individual performance improvement is the heart of an HRD program, and HRD can be described as the area of congruence among the three components (Gilley, and Eggland 14) (see figure 2.1) (Figure 2.1) It is also importance to distinguish the field of human resources in organization which covers a broad spectrum of human activity. In fact, there is still a misunderstanding in HR sectors in enterprises, especially in developing countries such as Vietnam where the HR sector is still new. Based the human resource wheel (McLagan and Suhadonik, 1989) and the wheel of HRM (Harison, 1997), the human resource compass which indicates an overview of the territory and gives direction to to the various elements in the subject and their interrelationship was built. It is divided in 3 main sectors HRD, HRD and HRM, and HRM. (J. Wilson, 2005) (Figure 2.2) Human resource Human resources are described as the individuals who comprise the workforce of an organization. They are the people that staff and operate an organization- the executives, managers, supervisors, scientists and engineers, technicians and marketing and sales personnel, administrative and clerical personnel, and hourly workers- as contrasted with the financial and material resources of an organization (William R. Tracey, ) It is also the name of the function in an organization which has a responsibility for implementing strategies and policies relating to the management of individuals. In other words, it could be understood as the organizational function that deals with the people who manage, produce, market and sell the products and services of an organization (William R. Tracey, ) In a nation, the economic value of human resources resides not in numbers or physical characteristics such as height, but in the skills, knowledge and attitudes that are the result of norms and education provision. Training Training, according to the Manpower Services Commissions Glossary of training terms, is a planned process to modify attitudes, knowledge or skill behavior through learning experiences to achieve effective performance in an activity or range of activities. Its purpose, in the work situation, is to develop the abilities of individual and to satisfy the current and future needs of the organization. (MSC, 1981:62). In CEDEFOP (1996:52), training is defined as activity or program of activities designed to teach the skills and knowledge required for particular kinds of work. Training takes places, whereas education takes place at educational establishment. In reality, both of definitions illustrate about the application of training to the improve skills and competences to meet the requirement of the organization. In training, the limitation is also indicated to the specific skills and operations. In comparison with education, training normally has an immediate application and is completed in a shorter time than education. (Van Wart et al, 1993) Purposes of Training and Development Training and development (TD) was beginning to receive more attention in Vietnamese organizations (Kamoche, 2001). Training and development actually refers to a planned effort which the organization build to facilitate the learning of job-related behavior (such as knowledge and skill acquired by an employee through practice) on the part of its employees. (Wexley et al,1991). The general purpose of traning and developing involves knowledge and skill acquisition. The employee quality and their development through training are consider as the major factor in determining long-term profitability of enterprises. A good investment in the development of skill for employees will help them increase their productivity in working. In fact, there is a view that training often is considered for the new employees. It is totally incorrect because ongoing training for current employees helps them adjust to rapidly changing job requirements. (Small Business Management) Training and development creates a benefit that the communication abilities of employees can improve, which enhances their adaptability. Better-educated workers can give the flexibility needed to switch production and better accommodate innovation, retraining and relocation (Godfrey, 1997). Traning and Development progress in an enterprise Training and Development has traditionally been a functional division of the personnel or human resource department related to carrying out the identification of training and development needs, planning and designing training and evaluating it. (see figure 2.3) (Figure 2.3) the classic training cycle Winter (1995) did not using the term HRD, he talked about a system approach to developing employees with the starting point the business objectives. So the classic training cycle can be seen to be based on organizational strategy within a company. (Figure 2.4) Business objectives within a training cycle Methods of Training and development In training, there are a numerous techniques available for presenting information and transmitting skills. Each of the techniques has their own advantages and disadvantages. The application of training method depends on the specific situation. In general, training has been widely used by companies in Vietnam. But, they differed in the use of training options (Quang, 2006). On-site training methods The main advantages of on-site training are the problems of transfer of learning and training cost are minimized. The reason is the trainees learn the skills and knowledge in the same physical and social environment. Moreover, with certain of these techniques, the trainees are able to contribute their work while they are learning. This things reduce the training cost. (Wexley et al,1991). On the other hands, on-site training has some limitations. Most of the co-workers and supervisors do have motivation to provide the trainees with worthwhile learning experiences. (figure 2.5) on-site methods classified according to goals and strategies The table shows that a training effort can have one or more of the following goals. These goal boards can be achieved by directing training efforts at the trainees cognition, behavior or environment. From the table, on-site methods were classified in categories. Orientation training and the socialization of new employees It is important to help new employees to get in a right way in order to reduce their anxiety and to increase their job satisfaction and commitment. (Louis et al, 1983). The procedure of this method should begin carefully and in detail. The poor orientation programs could make damage to organization because they reduce the effectiveness for the first few time on the job and may lead to dissatisfaction and turnover. (Gomersall et al, 1966) Smith (1984) showed ten tasks accomplished in the program such as introduction the company; review of policy, benefits, services, employer expectations; benefit plan enrolment; completion of employment documents; setting employer expectations; introduction to fellow workers, to the facilities, and the job. On-the-job training In this training method, the trainees are expected to learn the job by observing the experiences employees and by working with the actual materials, personnel and machinery that will comprise the job when the formal training is completed. On the experienced employees aspect, they is expected to provide not only a favorable role model to whom the trainee can identify but the instruction and the guidance from the job duties as well. (Wexley et al,1991). Apprenticeship training Apprenticeship programs are initiated by a committee composed of representatives for management and labor. The joint of committee works together with the department of Labors Bureau of Apprenticeship and Training (BAT) in developing a set of standards that specify the features of particular program such as number of class hours, workshop instruction, curriculumà ¢Ã¢â€š ¬Ã‚ ¦ Job aids A job aid is a repository for information, processes, or perspectives that is external to the individual and that supports work and activity by directing, guiding, and enlightening performance. (Rossett et al, 1991). The goal of Job aids is to teach job skills and to accomplish this by using a behavioral strategy. Coaching/ Mentoring: Mentoring and coaching have been provocative practices in both the practical and academic organizational development and human resource development literature for almost ten years. (Bokeno, 2003) Coaching the employees through the use of periodic reviews of performance is a difference way of on-site training. Coaching serves a several important function in organization. Firstly, it lets subordinates know what their supervisors think about their work. Then, the supervisors and employees work together on the way that helps improve employees performance. Thirdly, it improves the interaction between supervisors and employees. Finally, it provides a framework for setting up short term and long term personal career goals. Related to the teaching of coaching is mentoring. Mentors are the people who have two or three higher level than trainees and they want to help less experience trainees to learn the ropes in a supportive relationship. (Wilson and Danes, 1988) Computer-based training It is a technique can be used in conjunction with coaching and mentoring. Computer-based training (CBT) refers to as interactive videos and videodisc, provides guidance and instruction by using computer terminal on an employees desks. It is now used as an efficient method to many types of job. (Wexley et al,1991). Guy Sweeten of Information Transfer said that The practical benefits of using computers to deliver training and perform assessment training have been proven. Computer-based training is highly flexible and fits with the demands of everyday work you can work on your own, at your own desk and in your own time Job rotation It relates to giving a series of jobs assignments to trainees in various parts in organization for a specific time. The key of this method is to expose individuals to the changes in working environment in other places. In each department, trainees could put on an observational role, and take responsibility for training specified results. Job rotation is considered as a perfect method for preparing high potential and specialist for future general executive responsibilities. (Farnsworth, 1975) Off-site training methods Off-site training methods are often used in organizational settings. An advantages of this method is that it allows the trainees to learn skills and knowledge away from pressures of day-to-day job. The other benefit is the use of competent outside resources people who are trained trainers such as technicians, consultants. The limitation of it is the transfer of learning from classroom to the job. (figure 2.6) off-site methods classified according to goals and strategies Lecture Lecture method has been frequently criticized as a training and development technique. (Korma, 1977). In fact, it does not bring a high benefit. Firstly, its format emphasizes one way flow communication from trainers to trainees, which make the trainees are passive in learning. Secondly, it fails in transfer job-related skills. The lecturers ignore the differences in trainees abilities, backgrounds and interests. In additionally, individualized and reinforcement of trainees are prevented. Audiovisual techniques This method can be used widely in many training and development programs. Teaching and learning with audiovisual technique has several advantages. First, it helps trainees to illustrate and see clearly the overview image of what trainers want to delivery lively. Then, it helps distance learning effectively when the trainers and trainees are in difference places. Teleconferencing It is a method for simultaneously training individuals at the multiple sites. A teleconferencing network consists of a central broadcasting facility, a satellite service whose signals is delivered and transmitted to television projectors in meeting rooms, ballrooms, or corporate headquarter. Corporate classrooms Corporate classroom aims to tech employees skills and to accomplish this by using cognitive strategy. This method is often in big corporations. They intend to build their own universities and colleges to continue the further education for their employees. Equipment simulators It is excellent way to bring realism to off-site training situation. In this method, simulators of the equipment are designed and set up away from the actual work situation. Advantages from the method are the time pressures for productivity are minimized, individualized feedback is increased and opportunities for repeated practice are provided. Computer-assisted instruction In this method, trainees interact directly with the computers. The training is combined with learners exercises manuals, equipment stimulations, job aidsà ¢Ã¢â€š ¬Ã‚ ¦ The role of computer here involves administratering and the training programs to the trainees and testing their performance after learning. (Patrick et al, 1977). It could assess the progress of trainees and provide a method to fit the trainees needs Each enterprise will use the differences training methods which are suitable to their situation within organization. In Vietnam situation, Webster and Tausig (1999) did a survey which showed that 93 percent of the surveyed SMEs provided in-house training for freshmen and off-the-job training. Most SMEs rely only on informal training due to budget constraints (Tran and Le, 1999). However, the process to have a good training and development program is not simple Process of Training and Developing Analyzing the training and development needs It is considered as the first step in the process of training and development. Boydell (1983) showed three levels of training needs within organizations which are organizational level, occupational level, and individual level. Organisation analysis looks at the organization as a whole. This relates to examining organization interface with the external environment, in which it operates, the acquisition of its state objectives, its human resources, and the inner climate. The purpose of organization analysis is to determine where the training activities should be conducted. Occupational analysis includes five steps in conducting task analysis. The five steps are (1) Obtaining a company job description; (2) Identifying the tasks for which the training is designed; (3) Identifying the knowledge (K), skills (S), and abilities (A); (4) develop course objectives; (5) design the training program. In the individual analysis, organization identifies any shortfall in individuals knowledge, skill and attitudes required to perform their jobs. (Figure 2.7) P. Nick Blanchard, James W. Thacker (1999), Effective training: systems, strategies, and practices In fact, when the results of employees performance do not satisfy and meet the requirement of job analyzed in occupational analysis. That means there are problems. In that case, organization needs to find a solution. In table below, it illustrates the way to approach how to examining performance problem of the employees (Figure 2.8) Robyn Peterson (1998), Training Needs Assessment Analyzing the training and development in this way has advantages and disadvantages. It helps the organization have an accurate overview of training and development needs within organization. Beside, it guarantees the links between the training and requirement of trainees. However, it takes time to analyze. During the process of analyzing, the thing could happen is the number of training needs is larger than can be met through current resources. So, it is necessary to prioritize the needs (J. Wilson, 2005) Training and development plan The result from the process of analyzing an organizations training needs is a training plan. This plan is constructed by the training department and is used to strategically plan what kinds of training will be conducted in the near future. (Wexley et al,1991). Moreover, during the process of analyzing, the thing could happen is the number of training needs are larger than can be met through current resources. So, it is necessary to prioritize the needs. The content of a training plan should includes objects and objectives of training, theme of the training courses, the time of training courses, trainers, and training methods, the place of training class, and the cost of trainingà ¢Ã¢â€š ¬Ã‚ ¦ (HRD in SMEs) When planning a training program, it is essential to establish an evaluating system for the result of program. The plan should be clear Vietnam Human Resource Enterprises and Training Vietnam Human Resource Enterprises and Training 1.1 The importance of the study 1.2 Aim and objectives of the project 1.4 Dissertation structure Chapter 2 Literature review 2.1 Defining the terms: Human Resource and Human Resource Development, Training, Development 2.1.1 Human resource 2.1.2 Human resource development 2.1.3 Training 2.1.4 Development 2.2 Purpose of training and development 2.3 Training and development progress in an enterprise 2.3.1 Methods of Training and development 2.3.2 Process of training and development 2.4 Factors affect training and development 2.4.1 Internal factors 2.4.2 External factors Chapter 1 Introduction The background of the study Vietnam is one of the countries which have the fastest and the most impressive growing economies in recent years. It is a transitional economy and is developing more and more with an open door government policy. In 1986, Doi Moi economic reform was initiated and made a breakthrough for the economy of Vietnam. It transferred Vietnam from socialist-oriented market economy to the free-market economy. On 11 January 2007, Viet Nam became the official 150th member of World Trade Organisation (WTO). The day was considered as a historic day for the country. Joining the WTO, Vietnam seems to accept increased competition, and competition will make the economy more dynamic. Moreover, it creates a dynamic and challenging environment for local organizations to upgrade their operations both technologically and managerially, in order to unlock the immense potential of the countrys natural and human resources. (Mcneil et al, 1999). However, using the national human resource in effectiveness way seem s to be not simple. It could be a challenge for any countries. In fact, Vietnam has the population which is more than eighty million (Vietnam general statistic office, 2010). It supplies a large labor force which seems to be a competitive advantage for a developing country like Vietnam, especially in attracting FDI (T. Le, 2007). However, this advantage is passing off in current situation. When using and development of technology, machinery in enterprises becomes popular, the competitiveness depends on human resource quality. Sadly, Vietnam is losing its competitive capability. In the Global Competitiveness Report 2009-2010, Vietnam is down five positions from 70th to 75th, in which the quality of education system is one of the worst elements. In reality, the poor quality in education and training prevent the country from developing. Vietnam labor force has weaknesses and limitations. Every year, a high percentage of students graduated from universities have difficulties in finding a job because of lacking knowledge and skills. According to a re port by the HCMC Department of Labor, War Invalids, and Social Affairs, only around one third of the enterprises in the countries are satisfied with the qualifications of their new recruits (Saigon Times Weekly, 2002c). It seems that the higher education in Vietnam which is in old equipment and passive method could not satisfy the real market demand of high quality and skilled human resource in the period of development (Kamoche, 2001). Besides, proportion of employees who are trained in working is just 20% (Vietnam Ministry of Labour, Invalid and Social Affair, 2006). Duc Vuong (2008) argued that the staff training is required more caring in developing countries. As low labor cost is considered as an absolute advantage of labor-intensive economy but not high- tech or capital-intensive ones (Vietnam Ministry of Labour, Invalid and Social Affair, 2006). Hence, economies and business need to improve the training and development of employees. Similar to Malaysia, vision of becoming a developed nation by 2020 put an emphasis on HRD (). The purpose of becoming a developed country in the future absolutely raises the requirement of training and development human resource in Vietnam. In other words, there are more and more concerns about HRD activities in the country. In national level, Vietnam government considers highly qualified human resource as the important forces to encouraging the industrialization process and as the basic ground for the growth of economy (MPI, 2001). Vietnam government applied polices to encourage the HRD in the country especially in education. The government keeps push forward comprehensive reform enhancing the quality of training and education at all levels. Besides, it focuses on developing high quality human resource to meet the economic development demand (Khang, 2010). The government has also supported a program to improve HR skills in organizations through special training courses (from 2004-20 08). It helps companies and individuals in increasing their competitiveness. T. Tran and L. Le (1996) gave several experiences of the differences countries in HRD. They concentrated on the benefits of government policies of these countries in encouraging HRD and the lessons that Vietnam learnt from. However, it takes time to see what the real benefits from policies are and changes in HRD are. Moreover, applying policies depends on many elements which specific in each country. In Annual business report of VCCI (Vietnam Chamber of Commerce and Industry) in 2007 provided an analysis of key developments include human resource development in Vietnam business environment and their impacts on Vietnam enterprises. It had showed the general impacts of human resources and labor supply in some specific sectors such as tourism, banking, construction. Since then, the specific solutions in HRD for each sector could be suggested. There is another aspect in HRD discussed in Vietnam at the moment. H RD should be accompanied with national economic strategies. In fact, in Vietnam, in planning national economic strategies, the experts focus on economic issues without concerning human resource role which is the vital and essential elements to implement these strategies (D. Phung and D. Do, 2009). The problem appeared here is when these strategies are set up and the quality of human resource could not afford for them. In comparison with some neighbor countries in ASEAN, although HRD activities in Vietnam are concerned more, it is still new and weak. For instance, in the last decade, training consultants in Singapore have mushroomed. The emphasis on training is so much so that some companies have even created a standalone department on training along with the HRM department (). Hence, Singapore ranks very high in the world in its emphasis on training and development. Other example is in Malaysia, the HRD Act since 1992 forced the organizations which have more than 50 employees to support 1 percent of their monthly salaries to a fund to promote training (). Importance of the study Training and development human resource is not only the governments responsibility but the organizations responsibility as well. In recent years, the training and development human resource has been paid more attentions in Vietnam organizations (Kamoche, 2001). There is a strong willingness to learn and to be trained in organization. However, the level of attentions and willingness could be decreased by the reluctance of employees to accept the new things and innovation. Also, there is a distinctive point of views in training and developing human resource within organization. While in foreign invested companies tend to considers training as a vital tool (Saigon Times, 2002), the SOEs sees it as an expense and tend to keep budget as small as possible (Quang and Dung, 1998). The training objectives between The importance of the study SMEs in Vietnam are a dynamic force of the Vietnam economy and have been contributing a lot of successes in the development of economy. In the research of Timothy Bartram et al (2009), he argued that Vietnam is currently providing and creating many opportunities for the growth and development of entrepreneurial businesses, which provides significant opportunities as well as challenges for managers of these enterprises. In human resources aspect, SMEs created around 60% of the total job for labor force (Sakai and Takada, 2000) and until now this number has increased significantly. Besides, private sector plays a big role in increasing GDP annual. Understanding the important role of SMEs clearly, Vietnam government has been developing policies and creating conditions generally for the growth of SMEs, and particularly for the human resource development in SMEs. The private sector grows and competes openly for experienced and skilled staff, HR assume new importance. However, SMEs face particular problems in HR. Certainly, small firms do not have the HRM expertise, infrastructure and general resources commanded by larger organisations (Hill and Stewart, 2000). The requirement of development of human resource is truly necessary because the business environment change day by day and employees need improve their skills and knowledge to maintain their productivity. Enterprises which want to maintain their competitiveness and effectiveness need to consider human resource development as one of the most important parts. Following Adeniyi (1995), he observed that staff training and development is a work activity that can make a very important and remarkable contribution to the overall effectiveness and profitability of an organization. Huang (2001) proved that training program has a close relation to the performance in the enterprises and training pr ograms produce real benefits for small and medium-size enterprises (SMEs) In Vietnam, human resource especially human resource development is still a quite new area. At the moment, there are a few researches around Human Resource Development. Most of them show the essential requirement, challenges and opportunities of HRD in current situation of rapid economic development, the HRM of the nation in macro level. Some others illustrate more deeply in the situation of the HR and Human resource management in enterprises. In reality, a big question that what HRD is and how HRD plays its role in the enterprises still has not an answer. So, the research in this paper focuses on one main area of HRD which is training and developing human resource in the context of SMEs in Vietnam. It would give some contributions to the Vietnamese enterprises in referring the basic knowledge in training and developing human resource, analyzing the factors which could affect on their training and developing human resource actions in the context of Vietnam. Furthermore, the examples of experiences in HRD from some others countries and organizations will be shown as the lessons help enterprises in finding solution for their situation. Then, the view of HRD in enterprises would be cared wider and deeper. Aim and objective of the project The project focuses on the analyzing the actions of training and developing human resource in enterprises in Vietnam. The company selected in research is Deloitte Vietnam Company. It is the company of which the HRD activities will be analyzed specifically There are three principal objectives: Generalizing and developing of the principles in literature of human resources development and human resources in enterprises Using this literature to analyze and evaluate the activities in HRD in enterprises according to illustrate the advantage factors and disadvantages factors which affect in HRD in the company Suggesting solution and points of views to improve the HRD in the company selected. Methodology Dissertation structure Chapter 2 Literature review Defining the terms: Human Resource and Human Resource Development, Training, Development Development It is the growth or realization of a persons ability, through conscious or unconscious learning. Development programmes usually include elements of planned study and experience, and are frequently supported by a coaching or counseling facility (MSC, 1981:15) Development occurs when a gain in experience is effective combined with the conceptual understanding that can illuminate it, giving increased confidence both to act and to perceive how such action relates to it context. (Bolton, 1995:15) From these definitions, the development could show the movement to an improved situation that for the individual means advancing towards the physical and mental potential. There is one common theme that Nadler (1990) provided when he gathered the term of training and development is that both of training and development contain the word learning. He stated that training = learning related to present jobs and development = learning for growth of the individual but not related to a specific present or future job Human resource development About Human Resource Development, it refers to career development, training and development, and organizational development programs offered to employees to develop new or replacement knowledge and skills; improve their performances, potentials, and promotability; enhance to their general growth, and improve group and organizational effectiveness (William R. Tracey, ) There are many strands to HRD such as personal development, development for a job, a situation, or for setting a new works. It could be a development leading to a better life for individuals, organizations or even wider communities as well. (J. Matthews et al ). In Coopey et al 1993:24, it is seen as a capacity to incorporate learning into behavour Furthermore, HRD is an extension of Training and Development, with a specific orientation towards organizational learning interventions which are created to improve skills, knowledge and understanding. Follow Leonard Nadler, HRD is defined as a series of organized activities conducted within a specified time and designed to produce behavioral change of individuals in organizations. (Nadler, 1970). It includes 3 types of vocational learning activity which help individuals to be more effective at work: à ¢Ã¢â€š ¬Ã‚ ¢ Training focusing in immediate changes in jobs performance à ¢Ã¢â€š ¬Ã‚ ¢ Education, geared towards intermediate changes in individual capabilities à ¢Ã¢â€š ¬Ã‚ ¢ Development concerned with long-term improvement in the individual workers ( Nadler, 1970) In Principle of HRD, Jerry W. Gilley et al showed three fundamental component areas of human resource development. They are individual development (personal), career development (professional), and organizational development. Each component has their own importance roles which vary from organization to organization accordant with the operation complexity, the criticality of human resources to efficiency in organization, and the organizations commitment to improved human resources. However, all of three component areas have one focus which is individual performance improvement. The individual performance improvement is the heart of an HRD program, and HRD can be described as the area of congruence among the three components (Gilley, and Eggland 14) (see figure 2.1) (Figure 2.1) It is also importance to distinguish the field of human resources in organization which covers a broad spectrum of human activity. In fact, there is still a misunderstanding in HR sectors in enterprises, especially in developing countries such as Vietnam where the HR sector is still new. Based the human resource wheel (McLagan and Suhadonik, 1989) and the wheel of HRM (Harison, 1997), the human resource compass which indicates an overview of the territory and gives direction to to the various elements in the subject and their interrelationship was built. It is divided in 3 main sectors HRD, HRD and HRM, and HRM. (J. Wilson, 2005) (Figure 2.2) Human resource Human resources are described as the individuals who comprise the workforce of an organization. They are the people that staff and operate an organization- the executives, managers, supervisors, scientists and engineers, technicians and marketing and sales personnel, administrative and clerical personnel, and hourly workers- as contrasted with the financial and material resources of an organization (William R. Tracey, ) It is also the name of the function in an organization which has a responsibility for implementing strategies and policies relating to the management of individuals. In other words, it could be understood as the organizational function that deals with the people who manage, produce, market and sell the products and services of an organization (William R. Tracey, ) In a nation, the economic value of human resources resides not in numbers or physical characteristics such as height, but in the skills, knowledge and attitudes that are the result of norms and education provision. Training Training, according to the Manpower Services Commissions Glossary of training terms, is a planned process to modify attitudes, knowledge or skill behavior through learning experiences to achieve effective performance in an activity or range of activities. Its purpose, in the work situation, is to develop the abilities of individual and to satisfy the current and future needs of the organization. (MSC, 1981:62). In CEDEFOP (1996:52), training is defined as activity or program of activities designed to teach the skills and knowledge required for particular kinds of work. Training takes places, whereas education takes place at educational establishment. In reality, both of definitions illustrate about the application of training to the improve skills and competences to meet the requirement of the organization. In training, the limitation is also indicated to the specific skills and operations. In comparison with education, training normally has an immediate application and is completed in a shorter time than education. (Van Wart et al, 1993) Purposes of Training and Development Training and development (TD) was beginning to receive more attention in Vietnamese organizations (Kamoche, 2001). Training and development actually refers to a planned effort which the organization build to facilitate the learning of job-related behavior (such as knowledge and skill acquired by an employee through practice) on the part of its employees. (Wexley et al,1991). The general purpose of traning and developing involves knowledge and skill acquisition. The employee quality and their development through training are consider as the major factor in determining long-term profitability of enterprises. A good investment in the development of skill for employees will help them increase their productivity in working. In fact, there is a view that training often is considered for the new employees. It is totally incorrect because ongoing training for current employees helps them adjust to rapidly changing job requirements. (Small Business Management) Training and development creates a benefit that the communication abilities of employees can improve, which enhances their adaptability. Better-educated workers can give the flexibility needed to switch production and better accommodate innovation, retraining and relocation (Godfrey, 1997). Traning and Development progress in an enterprise Training and Development has traditionally been a functional division of the personnel or human resource department related to carrying out the identification of training and development needs, planning and designing training and evaluating it. (see figure 2.3) (Figure 2.3) the classic training cycle Winter (1995) did not using the term HRD, he talked about a system approach to developing employees with the starting point the business objectives. So the classic training cycle can be seen to be based on organizational strategy within a company. (Figure 2.4) Business objectives within a training cycle Methods of Training and development In training, there are a numerous techniques available for presenting information and transmitting skills. Each of the techniques has their own advantages and disadvantages. The application of training method depends on the specific situation. In general, training has been widely used by companies in Vietnam. But, they differed in the use of training options (Quang, 2006). On-site training methods The main advantages of on-site training are the problems of transfer of learning and training cost are minimized. The reason is the trainees learn the skills and knowledge in the same physical and social environment. Moreover, with certain of these techniques, the trainees are able to contribute their work while they are learning. This things reduce the training cost. (Wexley et al,1991). On the other hands, on-site training has some limitations. Most of the co-workers and supervisors do have motivation to provide the trainees with worthwhile learning experiences. (figure 2.5) on-site methods classified according to goals and strategies The table shows that a training effort can have one or more of the following goals. These goal boards can be achieved by directing training efforts at the trainees cognition, behavior or environment. From the table, on-site methods were classified in categories. Orientation training and the socialization of new employees It is important to help new employees to get in a right way in order to reduce their anxiety and to increase their job satisfaction and commitment. (Louis et al, 1983). The procedure of this method should begin carefully and in detail. The poor orientation programs could make damage to organization because they reduce the effectiveness for the first few time on the job and may lead to dissatisfaction and turnover. (Gomersall et al, 1966) Smith (1984) showed ten tasks accomplished in the program such as introduction the company; review of policy, benefits, services, employer expectations; benefit plan enrolment; completion of employment documents; setting employer expectations; introduction to fellow workers, to the facilities, and the job. On-the-job training In this training method, the trainees are expected to learn the job by observing the experiences employees and by working with the actual materials, personnel and machinery that will comprise the job when the formal training is completed. On the experienced employees aspect, they is expected to provide not only a favorable role model to whom the trainee can identify but the instruction and the guidance from the job duties as well. (Wexley et al,1991). Apprenticeship training Apprenticeship programs are initiated by a committee composed of representatives for management and labor. The joint of committee works together with the department of Labors Bureau of Apprenticeship and Training (BAT) in developing a set of standards that specify the features of particular program such as number of class hours, workshop instruction, curriculumà ¢Ã¢â€š ¬Ã‚ ¦ Job aids A job aid is a repository for information, processes, or perspectives that is external to the individual and that supports work and activity by directing, guiding, and enlightening performance. (Rossett et al, 1991). The goal of Job aids is to teach job skills and to accomplish this by using a behavioral strategy. Coaching/ Mentoring: Mentoring and coaching have been provocative practices in both the practical and academic organizational development and human resource development literature for almost ten years. (Bokeno, 2003) Coaching the employees through the use of periodic reviews of performance is a difference way of on-site training. Coaching serves a several important function in organization. Firstly, it lets subordinates know what their supervisors think about their work. Then, the supervisors and employees work together on the way that helps improve employees performance. Thirdly, it improves the interaction between supervisors and employees. Finally, it provides a framework for setting up short term and long term personal career goals. Related to the teaching of coaching is mentoring. Mentors are the people who have two or three higher level than trainees and they want to help less experience trainees to learn the ropes in a supportive relationship. (Wilson and Danes, 1988) Computer-based training It is a technique can be used in conjunction with coaching and mentoring. Computer-based training (CBT) refers to as interactive videos and videodisc, provides guidance and instruction by using computer terminal on an employees desks. It is now used as an efficient method to many types of job. (Wexley et al,1991). Guy Sweeten of Information Transfer said that The practical benefits of using computers to deliver training and perform assessment training have been proven. Computer-based training is highly flexible and fits with the demands of everyday work you can work on your own, at your own desk and in your own time Job rotation It relates to giving a series of jobs assignments to trainees in various parts in organization for a specific time. The key of this method is to expose individuals to the changes in working environment in other places. In each department, trainees could put on an observational role, and take responsibility for training specified results. Job rotation is considered as a perfect method for preparing high potential and specialist for future general executive responsibilities. (Farnsworth, 1975) Off-site training methods Off-site training methods are often used in organizational settings. An advantages of this method is that it allows the trainees to learn skills and knowledge away from pressures of day-to-day job. The other benefit is the use of competent outside resources people who are trained trainers such as technicians, consultants. The limitation of it is the transfer of learning from classroom to the job. (figure 2.6) off-site methods classified according to goals and strategies Lecture Lecture method has been frequently criticized as a training and development technique. (Korma, 1977). In fact, it does not bring a high benefit. Firstly, its format emphasizes one way flow communication from trainers to trainees, which make the trainees are passive in learning. Secondly, it fails in transfer job-related skills. The lecturers ignore the differences in trainees abilities, backgrounds and interests. In additionally, individualized and reinforcement of trainees are prevented. Audiovisual techniques This method can be used widely in many training and development programs. Teaching and learning with audiovisual technique has several advantages. First, it helps trainees to illustrate and see clearly the overview image of what trainers want to delivery lively. Then, it helps distance learning effectively when the trainers and trainees are in difference places. Teleconferencing It is a method for simultaneously training individuals at the multiple sites. A teleconferencing network consists of a central broadcasting facility, a satellite service whose signals is delivered and transmitted to television projectors in meeting rooms, ballrooms, or corporate headquarter. Corporate classrooms Corporate classroom aims to tech employees skills and to accomplish this by using cognitive strategy. This method is often in big corporations. They intend to build their own universities and colleges to continue the further education for their employees. Equipment simulators It is excellent way to bring realism to off-site training situation. In this method, simulators of the equipment are designed and set up away from the actual work situation. Advantages from the method are the time pressures for productivity are minimized, individualized feedback is increased and opportunities for repeated practice are provided. Computer-assisted instruction In this method, trainees interact directly with the computers. The training is combined with learners exercises manuals, equipment stimulations, job aidsà ¢Ã¢â€š ¬Ã‚ ¦ The role of computer here involves administratering and the training programs to the trainees and testing their performance after learning. (Patrick et al, 1977). It could assess the progress of trainees and provide a method to fit the trainees needs Each enterprise will use the differences training methods which are suitable to their situation within organization. In Vietnam situation, Webster and Tausig (1999) did a survey which showed that 93 percent of the surveyed SMEs provided in-house training for freshmen and off-the-job training. Most SMEs rely only on informal training due to budget constraints (Tran and Le, 1999). However, the process to have a good training and development program is not simple Process of Training and Developing Analyzing the training and development needs It is considered as the first step in the process of training and development. Boydell (1983) showed three levels of training needs within organizations which are organizational level, occupational level, and individual level. Organisation analysis looks at the organization as a whole. This relates to examining organization interface with the external environment, in which it operates, the acquisition of its state objectives, its human resources, and the inner climate. The purpose of organization analysis is to determine where the training activities should be conducted. Occupational analysis includes five steps in conducting task analysis. The five steps are (1) Obtaining a company job description; (2) Identifying the tasks for which the training is designed; (3) Identifying the knowledge (K), skills (S), and abilities (A); (4) develop course objectives; (5) design the training program. In the individual analysis, organization identifies any shortfall in individuals knowledge, skill and attitudes required to perform their jobs. (Figure 2.7) P. Nick Blanchard, James W. Thacker (1999), Effective training: systems, strategies, and practices In fact, when the results of employees performance do not satisfy and meet the requirement of job analyzed in occupational analysis. That means there are problems. In that case, organization needs to find a solution. In table below, it illustrates the way to approach how to examining performance problem of the employees (Figure 2.8) Robyn Peterson (1998), Training Needs Assessment Analyzing the training and development in this way has advantages and disadvantages. It helps the organization have an accurate overview of training and development needs within organization. Beside, it guarantees the links between the training and requirement of trainees. However, it takes time to analyze. During the process of analyzing, the thing could happen is the number of training needs is larger than can be met through current resources. So, it is necessary to prioritize the needs (J. Wilson, 2005) Training and development plan The result from the process of analyzing an organizations training needs is a training plan. This plan is constructed by the training department and is used to strategically plan what kinds of training will be conducted in the near future. (Wexley et al,1991). Moreover, during the process of analyzing, the thing could happen is the number of training needs are larger than can be met through current resources. So, it is necessary to prioritize the needs. The content of a training plan should includes objects and objectives of training, theme of the training courses, the time of training courses, trainers, and training methods, the place of training class, and the cost of trainingà ¢Ã¢â€š ¬Ã‚ ¦ (HRD in SMEs) When planning a training program, it is essential to establish an evaluating system for the result of program. The plan should be clear