MINISTRY OF EDUCATION & TRAINING

UEH UNIVERSITY
COLLEGE OF BUSINESS
SCHOOL OF MANAGEMENT

FINAL EXAM
Course: Principle of Management

Instructor : Nguyễn Thị Diễm Em, PhD.

Students : Đoàn Bảo Duy - 31231027371

Ho Chi Minh City, November 2nd, 2024

 Table of Contents
Question I (35 %): Why is communication important in an organization? Indicate one situation of a
misunderstanding between people which leads to a severe outcome. Please present the advantages
and disadvantages of high and low channel richness................................................................................2
Why is communication important in an organization? (10%)................................................................2
Indicate one situation of a misunderstanding between people which leads to a severe outcome
(10%).......................................................................................................................................................2
Please present the advantages and disadvantages of high and low channel richness. (15%)..............2
Question II (35 %): What are the main factors that work-team effectiveness is based on, explain in
detail. Give one example in which a conflict might occur when people work in a team, and if you were
the manager, how can you deal with the problem mentioned (at least three solutions)?.......................3
What are the main factors that work-team effectiveness is based on, explain in detail? (15%)..........3
Give one example in which a conflict might occur when people work in a team, and if you were the
manager, how can you deal with the problem mentioned (at least three solutions)? (20%)...............4
Question III (30 %): Present three main themes that strategic human resource management covers
(30%)...........................................................................................................................................................5
REFERENCES..........................................................................................................................................8

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Question I (35 %): Why is communication important in an organization? Indicate one
situation of a misunderstanding between people which leads to a severe outcome. Please
present the advantages and disadvantages of high and low channel richness.

Why is communication important in an organization? (10%)

Firstly, communication is the process by which information is exchanged and understood

by two or more people, usually with the intent to influence or motivate behavior. In other words,
communication is defined as the way people communicate with each other, including verbal or
nonverbal communication, spoken or written language. Communication is considered as one of
the most important levers of management that a firm can implement for the formation of teams
and achieving valuable performance as it helps the company operate properly and smoothly by
making people understand each other correctly and increase the working efficiency. Moreover,
successful organizations are the ones whose managers prioritize effective communication as a
crucial part of their job. They have the confidence to talk about what employees want to hear and
explain difficult decisions, even during recession times. Managers’ communication tends to drive
attention toward the vision, values and prioritize objectives of the organization and influences
people in a positive way to achieve goals. On the other hand, when everyone in the company is
free to share their opinions and ideas, it helps building a friendly and comfortable workplace as
well as improving and innovating the company. Secondly, communication creates mutual
understanding and trust among the members of the organization. When interacting with each
other, people can get to know more about their colleagues and promote their co-operation during
work. This also helps avoiding misunderstanding and conflicts in the workplace due to the
cultural and religious differences. Furthermore, people with good communication skills such as
listening or expressing their thinking have broader networking and greater influence in the
organization and get more accomplished. For example, Khanh Vy, a famous and beloved MC
with her exceptional ability to speak 7 different languages and communication style in her viral
videos and vlogs. Her success illustrates how effective communication can expand networks,
personal branding and career opportunities in the digital age.

Indicate one situation of a misunderstanding between people which leads to a severe

outcome (10%)

Frenkie just bought a fish sauce from a convenient store. While using the fish sauce for
cooking, a fly accidently fell into the bottle but he didn’t know about this. Realizing about the
insect, Frenkie was so disgusted and after that, he posted the image of the fish sauce on the social
media. The post went viral immediately and many people showed their disappointment and
boycotted the convenient store for the food safe and hygiene. After the incident, the owner of the
convenient store received many negative feedbacks and suffered financial losses and boycotts.

Please present the advantages and disadvantages of high and low channel richness. (15%)

Channel richness is the amount of information that can be transmitted during a

communication episode. High channel richness is the most suitable communication approach
with people who have anxiety, fear or defensiveness. This also applied for whom require direct

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experience, immediate replies and personal focus in interacting with each other. Managers can
also take advantage of rich channels in communication. For example, during an important
acquisition, one firm decided to send top executives to all major work sites of the acquired
company, where workers are allowed to met the managers in person discussing about the future
plans for the company. The decision to communicate directly with the acquired workforce
showed to employees that managers care about them as individuals. However, we cannot interact
with many people at the same time using these channels and we cannot record or keep the
communicating history forever. Besides, as high channel richness requires directly interactions,
we may not have enough time to consider and think about our actions and sayings when
communicating with other people. Therefore, high channel richness can be spontaneous for some
people.

In contrast, low channel richness covers all the disadvantages of the high channel
richness and turn into their own strong points. For example, we can connect and communicate
via emails, messages and save the history into the storage without worrying that the conversation
will be forgotten or disappeared. Moreover, we are able to send messages and information to
multiple people at once using text message, email or flyers. This also allows us to reconsider and
double check carefully messages and information before sending to the receivers. Despite those
benefits, these channels still have their own drawbacks. When sending messages to many people
at the same time, we have to wait for their response and cannot focus on a single receiver and
limited information cues in the message.

Question II (35 %): What are the main factors that work-team effectiveness is based on,
explain in detail. Give one example in which a conflict might occur when people work in a
team, and if you were the manager, how can you deal with the problem mentioned (at least
three solutions)?

What are the main factors that work-team effectiveness is based on, explain in detail?
(15%)

The effectiveness of work-team is based on three main factors, including productive

output, personal satisfaction, and the capacity to adapt and learn. The first factor productive
output relates to performance and the quality and quantity of task outputs as defined by team
goals. This requires the efficiency of the process, was the production meet the finishing time and
target objectives or not. And if the progress does not operate as planned, the final result would
not be productive and satisfied the demand needs. For instance, a productive result of a group
assignment is based on many factors such as finishing on time, every group’s members working
equally together and the slides and presentation are satisfied the given requirements.

The next factor is personal satisfaction, which pertains to the organization’s ability to
meet the most basic to personal demands such as salary, rewards, promotions or workplace
conditions. These factors hence maintain the membership and commitment during work as they
motivate employees and boost their working efficiency. A small example of personal satisfaction
is that when a junior developer contributes significantly to an important project and was
recognized during a team meeting, this member will feel appreciated and have more motivation

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to continue his work. Moreover, the promising promotions and opportunities also encourage to
stay engaged and committed to the future projects.

Last but not least, the capacity to adapt and learn is a crucial part in the digital age
nowadays. As everything around us is always changing and innovating through time, we must
also improve ourselves and adapt by using knowledge and experience through observing and
learning. This capacity refers to the ability to apply greater knowledge and skills into practice
and enhance the potential of the organizations in order to respond to challenges or opportunities
in different situations. When considering the effectiveness of the team work, managers should
also consider how their employees adapt to the situations and what did they learn and achieve
from their tasks. This factor plays a vital role in evaluating a firm’s ability to survive and achieve
successful in the market compare to other opponents nowadays. For example, each member in a
group will have different skills and backgrounds that when they collaborate, they will have
opportunities to share their experience and knowledge with each other, as well as switching roles
to understand more about their work. This method can help teams and organizations achieve
effectiveness in learning and adapting.

Give one example in which a conflict might occur when people work in a team, and if you
were the manager, how can you deal with the problem mentioned (at least three solutions)?
(20%)

Example: Our group is working on a scientific research project. During our discussion
about selecting the research methodology, 2 members Leo and Cristiano was argued over which
data analysis application should be use. While Leo suggested SPSS because of the convenience
the in-depth results it brings, Cristiano advocated for SmartPLS, which provides faster data
analysis and fewer steps required in the analyzing procedure. This problem is classified as the
task conflict, which can be beneficial because it leads to better decision making and problem
solving.

As a manager of the project, I have some suggested solutions for this case. The first
solution would be facilitating open communication and compromise. Bring two members
together for a further and constructive discussion would encourage them to share their opinions
and decide which application should be used. Leo and Cristiano can analyze the pros and cons of
their analyzing method and then persuade the other to follow their perspective. This allows team
members to understand each other and eventually results in a better solution that satisfied team’s
goals and all the members.

My second approach to this problem is implementing clear-decision making criteria by

establishing objective criteria in order to evaluate tool that aligns with the project’s goals. These
criteria might include analysis depth, time efficiency and ease of use. Leo and Cristiano can
conduct small pilot tests with their preferred tools to evaluate precisely each criterion and then
report back to the group, ensuring that the final decision is based on measurable scale rather than
personal preferences. Moreover, by focusing on the main objectives of the project to evaluate the
final decision, this method emphasizes logical and critical decision, reducing potential conflict
between Leo and Cristiano and provide the most suitable approach for the team.

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 Lastly, defining project priorities and expectations is suggested. If the debate continued, I
would set clear expectations for the project’s goals regarding in-depth quality and time. For
instance, if the deadline of the project is not prioritized, SmartPLS could be favored with faster
processing times. On the other hand, SPSS could be utilized with its deep and thorough analysis,
allows team to reach a more comprehensive conclusion about the data analysis. Define what
aspects are priority for the organization help prevent conflicts between members as it provides a
shared understanding of the objective goals. This helps team members to make informed
decisions aligned with the priorities and reducing potential disagreements and arguments with
each other. By implementing this approach, it not only resolves conflicts but also builds a
collaborative working environment that can boost productivity and help team members to adapt
and succeed under any conditions.

Question III (30 %): Present three main themes that strategic human resource
management covers (30%).

Strategic human resource management (HRM) includes 3 main factors Finding the right
people, Managing talent and Maintaining an effective workforce.

Finding the right people starts with human resource planning, which refers to the
forecasting of human resource needs and the projected matching of individuals with expected job
vacancies. This first step begins with a number of questions, which vary from the whole picture
to the details in order to pick the suitable targeting employees. By anticipating future needs, the
organization can also prepare more effectively to face with challenges compared to other
opponents.
Following the planning step is recruiting. This process is defined as activities or practices
that classify the desired characteristics of specific applicants. Recruiting progress usually
operated via online recruiting, advertising, headhunters, job fairs to recruit potential and suitable
individuals. The fundamental building blocks of HRM include job analysis, job description and
job specification. Job analysis is a systematic process of collecting and interpreting information
about the requirement tasks and responsibilities of a job. The manager then prepares written job
description, that is clear and summarize the specifics information, and job specification
emphasizes the knowledge, skills, education, abilities that are required to perform the job well.
Furthermore, HR also enhance recruiting effectiveness by providing candidates realistic job
reviews. This allows applicants to reach all the relevant and necessary information, both positive
and negative about the job and the company. Nowadays, much recruiting is done through the
Internet and social media sites such as LinkedIn, Facebook, YBox, and candidates can collect
valuable and needed description about the job on those websites. Another application of social
media is finding individuals, mainly students who want to gain more experience to become the
internships for the enterprise. Companies are increasingly considering internships as a valuable
recruiting method because it helps finding potential employee as well as provides opportunities
for young candidates to experience the workplace.
After the recruiting process is the selecting program, in which employers assess
applicants to determine the “fit” between the job and candidate characteristics using a variety of
tools. The application form is used to collect all necessary information about the applicants in
order to validly predict future job success. However, one pitfall should be avoided in this stage is

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the irrelevant questions or those with negative impact due to the equal employment opportunity
guidelines (EEO). Another noticeable technique is interview, which is quite similar to the
application form, HR managers shouldn’t violate the EEO guidelines. There are three main types
of interview, namely structured interviews, nondirective interviews and panel interviews.
Structured interviews use a set of standardized questions that can compare every applicant.
Meanwhile, nondirective interview provides a broad and open-ended questions that permit the
candidates to talk freely and reveal their personality while answering without noticing. Other
firms preferred the panel interviews, in which candidates face a number of interviewers and take
turns asking questions. In addition, some firms use offbeat approaches, also known as extreme
interviewing to test the ability to handle problems, adapt with changes and work independently.
Another method using by employers is employment tests, which include cognitive, physical
ability tests, personality inventories and other assessments. Candidates may also experience the
assessment centers in order to be evaluated correctly through sample jobs. The last tool can be
used is online checks, which search candidate’s past information such as criminal record,
personal background, posts on social media, profiles in order to decide whether they are suitable
or not. After all the tests and interviews, the candidate is finally welcomed to the workplace.
The next goal of HRM is to develop employees into an effective workforce, also known
as training and development program. Development is sometimes distinguished from the general
term training. Training is typically used to refer to training people how to perform their relevant
job tasks, while development means teaching broader and higher-level skills that are useful for
both present and future jobs. The most common used type of training is on-the-job training
(OJT). When conducting in the right way, OJT will be the most effective means of training of
facilitating learning in the workplace. Another appreciated technique is social learning, which is
learning from social networking, blogs, virtual games and so on. Corporate universities such as
FPT University by FPT group is also a popular approach to training and development that
provide a wide range of learning and working opportunities for everyone. Another way of
development is through promotion from within, which allows employees to work with different
jobs, hence improve their personal skills. Performance appraisal also contributes to the program
by assessing performance, recording and providing valuable feedbacks to the employees. This
includes assessing performance accurately and performance evaluation errors. A recent trend in
assessing performance accurately is 360-degree feedback, a process that raise awareness of
strengths and weaknesses and guide employee development. In performance evaluation errors
process, researchers have identified several rating problems such as stereotyping or the halo
effect, which may cause bias problem during the evaluation progress.
The last area that strategic HRM cover is maintaining an effective workforce, which
involves 4 main factors, namely compensation, wage and salary systems and benefits
termination. The term compensation refers to all monetary payments and all goods or
commodities for employees that don’t relate to money. Developing an effective compensation
system is a crucial part of HRM as it helps to attract and retain talented workers.
The most common approach to staff compensation is job-based pay, which means
connecting compensation to a specific type and number of tasks. On the other hand, the skill-
based pay system is based on the level of employee’s skills, which encourages workers to
enhance their productivity and improve themselves after they leave the job for a new one.
However, whether the organization choose to use job-based pay or skill-based pay, compensation
equity is an essential factor because managers are striving to maintain a sense of fairness and

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equity within the pay structure. Therefore, job evaluation is the necessary process that kept the
equity by assessing the job value of employees and staffs. Another widely-applied standards by
organizations is pay-for-performance, which rapidly increase the competitive level in the
workplace but also improve productivity and minimize cost at the same time.
Although salary structure is an important component, benefits are equally important in
keeping a workforce worthy. Organizations such as social security, unemployment compensation
are required by law in order to maintain the workforce. Other types of benefits, namely health
insurance, vacations also being added in the job description in order to attract and retain
employees and remain the efficiency for the company. Companies that required skilled
employees tend to offer extremely generous benefit packages as they find it hard to find
alternative replacements. For example, SAS Institute provides free health care, unlimited sick
days, annual vacation among other benefits for their employees. However, during the recent
recession, benefits are being cut off to minimize cost.
In some situations, firms have more people than they intended and have to let some
employees go. This process is called rightsizing the organization, which refers to the reduction in
the workforce, the main purpose is to minimize their cost and focus on the main objective of
firms. Although this may be beneficial for some cases, massive cut downs may cause
organization to fail and suffer loss at first.
Last but not least, termination is a crucial part of maintaining an effective workforce.
Some will retire, others will voluntarily change their jobs, and others will be cutback. In some
circumstances, companies will have the exit interviews to gather information about the reason
why they leave and suggestions for improvement.

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 REFERENCES
1. New Era of Management – 17th edition – by Richard L. Draft
2. Schoeneborn, D. (2011). Organization as Communication: A Luhmannian Perspective.
Management Communication Quarterly, 25(4), 663-689.
https://doi.org/10.1177/0893318911405622
3. John B. Bush, Alan L. Frohman, Communication in a “network” organization,
https://doi.org/10.1016/0090-2616(91)90069-L
4. Kozlowski, S. W. J., & Ilgen, D. R. (2006). Enhancing the Effectiveness of Work Groups
and Teams. Psychological Science in the Public Interest, 7(3), 77-124.
https://doi.org/10.1111/j.1529-1006.2006.00030.x
5. Harry J. Van Buren, Michelle Greenwood, Cathy Sheehan, Strategic human resource
management and the decline of employee focus,
https://doi.org/10.1016/j.hrmr.2011.02.004