Heavy workload at herbalife’s member service department

Abstract

Direct selling in Vietnam is a very exclusive industry that mostly bases on the trust among stake holders. Besides the well-known companies with reliable products, some companies use this model to swindle. Hence, Vietnam government has strictly tightened the operation of the enterprise using direct selling model. Overcome these obstacles, Herbalife is one of successful company and grows stability. Since 2009, after 10 years, it achieves a lot of success and becomes the leader in this industry with more than one hundred thousand distributors nationwide. However, accompany with these achievements, Herbalife also faces the serious issues related to high turnover rate in 2019 & 2020. Human resource always plays a key factor in any organizations, especially in an exclusive industry like direct selling. Based on the employee survey in 2019, heavy workload is the main reason for high turnover rate at Herbalife. The purpose of this thesis is to find the main problem of high turnover rate of Herbalife in recent years which impacts on business not only in short term, but also in long term. Some possible problems have been come up with including heavy workload, unfair salary and bad reputation of MLM in Vietnam. Indeed, heavy workload is pointed out to be the main problem of high turnover rate at Herbalife. From that, two solutions are suggested to Herbalife management team and recruiting temporary staffs is selected to solve this problem.