Even though, VSP was named is a joint-venture company but it has been subsidized and controlled by the government, therefore the organizational structure is bulky and quite complicated with many unnecessary management level. Although, VSP has ever got plan to cut out waste in organization but finally the plan has never been implemented properly. Thus, the management board is getting bigger and bigger, the quantity of worker is continuously increasing whilst the oil production rate is declining every year. Besides that, the payment and incentive system is following equality type which does not aim to appreciate the talent or effective worker, the appraisal, nominate and upgrade system is not explicit enough that is day by day fading the motivation to enhance the effectiveness of work among the employee. Meanwhile, facing with the assimilation and globalization, VSP must not be continuously subsidized by government, beside the self-standing VSP is considering as a major government company which contribute a significant percentage to GDP of country. To achieve that VSP must be optimizing the organization that include the streamlining the organizational structure and rebuild payment and incentive policy. It helps VSP not only deal with the situation of oil prices decline in the future but also to enhance the viability, growth and competition with other companies in the same field.
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