Study On Profit-oriented Human Resource Management In Software Outsourcing Company A

With deepening international competition, the Chinese software outsourcingindustry is faced with dual pressures of increased labor cost and local currencyappreciation, a situation also faced by rivals from other countries. Human resourcesare a major source or profit for the software outsourcing industry. The key factor forsoftware outsourcing companies to achieve success lies in whether those companiesare able to effectively and efficiently manage their human resource capital andwhether this management strategy can play a strategic role in implementing acorresponding structural adjustment.This thesis analyzes a large software outsourcing company (hereinafter referringto as company A), which is representative of the current status of the Chinesesoftware outsourcing industry. By using principles of human resourcemanagement and analytical methods including questionnaires and inductionsummarization, this thesis carries out an in-depth analysis and study on issues foundwithin recruitment, salary management, employee turnover and training developmentthat exist within company A, as well as an analysis of their root causes. This analysissupports the conclusion of this thesis that the Chinese software resourcing industrywhose main profit comes from human resources, must regard profit management asthe central focus of human resource management, which enables companies to takeaction from a strategic point of view, make long-term development investments, andeventually maximizing profits.This thesis introduces the realities and issues arising from challenges inrecruitment, workforce attrition, dissatisfaction with salary and high cost in employeetraining in company A, and then analyzes each issue by taking the maximization ofprofit into consideration. The problems and issues covered are widespread in andrepresentative of the Chinese software outsourcing industry and this thesis alsoprovides a series of practical solutions to address the issues covered. It is the author’shope that this thesis will serve as a reference and provide practical examples forChinese software outsourcing companies to explore effective and efficient humanresourcing management methods, thus helping them develop strategies and methodssuiting their own company development.