8/18/14

Storytelling: From Facebook to FPT and culture management in software outsourcing company

From Facebook’s storytelling…

Early 2014, I was amazed with new feature of FB: Never before can I easily look back to history of my own. Want to see what happened today last year, or 10 years before? Well, just go to http://facebook.com/todayinhistory and choose the date you want.  As soon as you do, new feeds of that particular day will be displayed and will make you feel nostalgic and complicated. Yes, it is a mixed feeling when you look back at your difficult moments and compare them with your current happy moments, or vice versa.

Same things happened with me when I looked at my friends’ “2013 video” at the end of 2013. As its name suggests, this video was basically a story combined of most-like photos and status that I had posted throughout 2013, ingeniously played in the theme of harmonious background song. Again, I felt nostalgic and complicated. It happened with many of my friends and many people around the world too. I bet if you experienced this, you would have felt the same. However, whatever you feel, you could not deny that was is so tempting and appealing to watch again and again the stories, except this time they were not only about yourself, but also about your friends. I was so engaged with the stories, and facebook is the charismatic teller who told stories of myself and my friends. At that moment, I realized that I like hearing stories, my friends like hearing stories and many people around the world like hearing stories. Maybe we all like hearing stories.


So what should we do about it? As a manager of a firm, how should you exploit this fact to better manage your human resources and engage your customers? A lot of research has been done on storytelling in organizations. For example, Barbara’s paper presented a chronological timeline of development of storytelling and then discussed its applications in management, communication and marketing. Two aforementioned facebook’s features are just two examples of real-life storytelling in marketing that I will discuss later. In this article, I would like to link storytelling to a broader area: Storytelling for culture management. I will use the case of FPT – the biggest software company in Vietnam – for analysis. In fact, I am not trying to make an analysis. What I want to do is to tell a story about storytelling and culture management, because I know that you like hearing stories.

To FPT’s

Let FPT speak first. This is a very funny and interesting video about the current CEO – Mr. Bui Quang Ngoc – and the establishment of FPT. If you are not a Vietnamese, you would probably need English sub to understand and I hope to find time do make it. However, for now you can just have a glance at the video and read my description.

Description: This video begins with a tale about how Mr. Ngoc was born: When his mother was pregnant, she dreamed receiving a white pearl from God – A motif mimicking Vietnamese fairy tale. We know that it is not true, but it reminds us of Vietnamese fairy stories and this makes the tale funny. The story continues with Mr. Ngoc’s childhood and his friendship with a close friend Truong Gia Binh who later became the founder and chairman of FPT Corporation. Having trust from Mr. Binh, Mr. Ngoc, who in his 30s a lecturer, was invited to become the CEO of FPT. The story then tells a little bit about Mr. Ngoc’s personality – presumably representing FPT’s personality and ends with a conclusion: “Here comes the ending of an extolment” – supposedly a joke to make viewers laugh.

How storytelling in FPT is different from Facebook

“If you are not paying, you are product”. Ever wonder why Facebook works so hard for you to connect with your friends and family? The answer may be as simple as it seems:  They gain money by advertising. In other words, they sell views (by users) to advertisers. But looking in another way, they are selling you to the advertisers. They know many things about you from your age, nationality, gender.. to what you recently read, watched and liked. As such, you are their product – a special kind of product that will continuously produce profit for a very long time until you stop using their service.

One question arises: If you are their product, how could they sell you better? Of course, they cannot make you better, but they can make your digital self a better product with storytelling. People like hearing story, why not telling peole story about you? Hence the introduction of timeline and other additional features such as todayinhistory and yearinreview.

In FPT’s case, the purpose of their video is similar to that of facebook, except one thing which I will discuss later. They are similar in the sense that they all serve marketing purpose: While facebook’s timeline advertises their products – the users, FPT’s video advertises the company itself.

We should know that there are 3 common types of stories: Biography, anecdotes and behind-the-scene stories. FPT’s video is a combination of biography and anecdotes, although it is more of a biography. Introducing Mr. Ngoc’s life to audience, it should be considered a biography. And because it borrows a motif in Vietnamese fairy tale, it is partly an anecdote. The first and foremost purpose of this video is to tell about the establishment of FPT. If more and more people share the video, more and people know about FPT and its establishment, and the marketing purpose is fulfilled.

But the goal of this video does not stop at marketing. We may wonder if it contains some politics when it tells in detail about the friendship between Mr. Ngoc and the chairman Truong Gia Binh. One may interpret the unsaid message as follow: “They are childhood friends. Every people should listen to and follow Mr. Ngoc since he has absolute trust and support from Mr.Binh.”

And what could we see in the part about Mr. Ngoc’s management style? He was described as a firm, ambitious and decisive man. Did these characteristics represent FPT – a software giant in Vietnam, but still a new gamer in global software market (and hence need to be firm, ambitious and decisive)?  

May opinion is that besides marketing purpose, this video is also for management purpose, as analyzed above. The story was told to strengthen the consensus to support Mr. Ngoc. It also delivered a message to FPTer: “FPT is firm, ambitious and decisive. You do whatever you deem suitable with this culture”. Even the ending of the video told us something about FPT’s culture. “Here comes the ending of an extolment” – It was a hilarious self-deterioration which contained a message that: “Our culture is so open that we can touch and make fun of people at any level, even the CEO. There is not barrier.”

To give more substance to the conclusion that FPT used storytelling for management purpose, I would like to introduce you to their news website: http://chungta.com. In 2013 FPT raised a campaign, asking current and former FPT’s staff to tell their own stories. So besides news, know-how and entertainment, chungta.com today has some content created by its staff, telling their own memorable stories with FPT. All the stories together form what they called “FPT History book”. Below is a story of a former assistant telling about her tough but exciting days working under Mr. “Hairy Hung”, being shouted many times by him: 
http://chungta.vn/tin-tuc/doi-song/2013/06/su-ky-fpt-anh-hung-rau-than-tuong-cua-toi/. Again, I will find my time to translate this article to English, but for now, let’s see what we could take from the story. One obvious lesson here is that: Junior staff listens and adapts to FPT’s culture and their boss. You can argue, but think twice, and learn from Mrs. Hanh (the assistant in the story) to know how to argue with bosses in FPT.

A new task arise – Culture management

FPT has over 13.000 employees. It is not an easy task to manage, encourage and motivate so many people to work whole-heartedly for the company. So far I think they have done a very good job. Company’s website, FPT festivals of all kinds, entertaining activities and so on all contribute to their success. But as FPT is turning on a new chapter of its life – a chapter of GLOBALIZATION – are these activities sufficient for the future?

My answer is NO. These aforementioned activities are for accessible only to current Vietnamese employees. Where are the tools and channels to manage newly recruited employees, especially if they are foreigner? Where are the tools and channels to manage FPT culture in newly opened offices and affiliates of FPT in other countries?

Recently we read from the news that FPT bought Slovakia’s RWE IT. It was such great news to Vietnam, Vietnamese software industry and FPT. Finally one Vietnamese company has ability to join “the ocean”, playing and competing equally to all players in the world. But we all know that difficulty is waiting ahead.
The first and foremost difficulty is to retain RWE IT’s employee. What FPT bought is a kind of intelligence good, where most of knowledge and intelligence reside on its employee. If they lose them, RWE IT is nothing but a bunch of devices and equipments. So what are they going to do to keep their RWE IT’s staff, especially when Vietnam is not yet a famous software country so that RWE IT’s staff can be proud to work for?

The best thing an employee in RWE IT Slovakia knows about FPT is likely to be: FPT is the largest software company in Vietnam. But what do they know about Vietnam? Based on my experience when talking with international friends, in most case, the only impression about Vietnam is that it is a war-torn country which once defeated France and then US. It has nothing to do to support Vietnam’s new image as a fast growing, high-tech country. It has nothing to do to support Vietnamese software companies as potential outsourcing vendors.

In this situation, any Vietnamese software company who wants to pursuit “globalization” must build their images by themselves. It will be a long time for them to build their image that can distinguish themselves from other tens of thousands of competitors in India, China, Vietnam, etc. One answer for the problem could be: To create a distinguishing culture and foster it.

It reminds me about the blurb of the book “Storytelling: An effective marketing concept” by Emma Dennisdotter and Emma Axenbrant:  “By using storytelling, a company can be unique, even though its products and services are not. The company uses a story that is simple to remember, that enables an understanding of the company’s values, and that can easily be passed on.” By using storytelling as a culture management tool, organizations can build and cultivate their culture, not only in their headquarter, but also in their oversea offices and affiliates.

What to do next

To achieve it, FPT would need to do different things from the videos (about Mr. Ngoc) and “FPT History Book” that they have created. They need to clearly define their culture (for this I think they have done a very good job), but more importantly, they need to choose the right method and channel to spread it to other oversea offices. I would like to recommend storytelling as the tool that they should use, since FPT is applying it very well locally and is receiving very encouraging result.

The question now comes to the content to be delivered and the people who deliver it. They must create stories not only in Vietnamese, but also in English to approach broader audience. They must choose stories that truly reflect the vision of the company itself and avoid details that may lead audience to question the politics in FPT. They must choose the right people to deliver it – The people who can tell stories. FPT should send Vietnamese staff to its oversea, recently acquired company, and they should choose people not only based on their technical expertise, but also their communication skills and knowledge about FPT’s culture. They should act not only as ordinary employees, but also as ambassadors of FPT and Vietnam’s culture.  This extraction from a Forbes’ article seems to support my point, although in FPT’s case, RWE IT is not a competitor:
Once you’ve acquired your biggest competitor, and you need the 5,000 people that work there to stay, and not quit, now you need a good story

I would like to end this article with an emphasis (again) on the importance of stories’ content that FPT should think about. Try to have stories that REFLECT THE VISION of the company and do not tell stories just for fun. The following story - one of my favorite about HP’s “open door policy” - is an example:
 …The founder of the company [HP], Bill Hewlett, found a locked door when he during a weekend went to pick up a microscope in the company lab. He broke the lock and left a note for his employees. It was found Monday morning and read: "Don't ever lock this door again. Thanks, Bill.”
The story supports and communicates the company's desire for an open-door policy, but it can also be seen as a signal to the employees that weekend work is appreciated. It is an example of how the story is open to interpretation, and of how you can use a story to tell say something without stating it explicitly.

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Dublin, Ireland
I am a Master student in UCD Michael Smurfit School. With broad experience in start-up, research, software industry and sale, I am actively seeking employment in consulting industry.