Image source: ST4SD

Human Resource Quality – The Key to Enhancing the Competitiveness of Vietnam’s Tourism SMEs

04/07/2025

According to the Vietnam National Authority of Tourism, 2024 saw a recovery for the tourism sector after many difficult years due to the COVID-19 pandemic. International arrivals to Vietnam reached an estimated 17.5 million, an increase of nearly 40% compared to the same period in 2023; domestic tourists also grew by 1.6% to 110 million trips. Revenue from tourism increased by an estimated 23.8% (compared to 2023), equivalent to 840 trillion VND. This positive development continues to contribute to the broader socio-economic landscape of the country, in which small and medium-sized enterprises (SMEs) play a vital role in building a vibrant, non-polluting industry. However, the sector’s potential is being held back by a “gap” in human resources.

A “Gap” in High-Quality Sector-Specific Human Resources

Global and Vietnamese tourism is becoming increasingly vibrant with strong transformations in the types of travel experiences offered. These are not only becoming more diverse but are also growing in depth and quality, with increasing demands for sustainability—from self-guided tours, all-inclusive packages, beach holidays to long- and short-term trips. According to the Authority of Tourism, in 2025 Vietnam will require 800,000 workers at tourism destinations, while the total annual training output from universities, colleges, and vocational schools in the tourism sector is only about 20,000 students. This number is vastly insufficient for actual market demand.

The shortage of highly qualified tourism professionals is a significant obstacle to the development of the Vietnamese tourism industry, as noted by Mr. Pham Van Thuy, Deputy Director General of the Vietnam National Authority of Tourism. He pointed out that the current tourism workforce is mostly made up of “non-specialists” with degrees in foreign languages or informal laborers. Most have not undergone professional training like formally enrolled tourism students.

Statistics show that Vietnam currently has about 800,000 people working directly in tourism. However, only 45% of them have formal training in tourism, 35% come from other fields, and 20% have received no formal training. Of those trained, only 1 in 10 hold a university or postgraduate degree.

Amid a critical shortage of both quantity and quality, many large corporations have had to invest in their own internal training programs, which require significant resources. For instance, large hotel chains like Accor and IHG typically spend 6 to 12 months retraining employees to ensure they can operate within company systems. With limited resources, SMEs face the greatest struggle in attracting talent and keeping up with new development opportunities. So, what is the solution to support tourism SMEs in preparing for Vietnam’s next growth wave?


Swiss-Standard, Sustainable and Flexible Human Resource Training for SMEs

Recognizing this challenge, the Swiss Tourism for Sustainable Development Project in Vietnam (ST4SD) has launched a key initiative: the Swiss Executive Hospitality Training (Swiss EHT). This program is part of the broader component on developing Vietnam’s tourism workforce, in collaboration with the EHL Hospitality Business School, the world’s leading hospitality education institution based in Switzerland.

With the vision of building a sustainable and internationally qualified workforce, the Swiss EHT program focuses on training executive-level managers—the backbone of the tourism and hospitality industry. These individuals possess rich experience and are well-positioned to undergo advanced, international-standard training. Furthermore, they play a crucial role in mentoring new staff and spreading best practices and international standards within their businesses and across the broader sector.

This is a key strategy in developing a sustainable tourism and hospitality industry in Vietnam: building a diverse, high-skilled workforce that is adaptable to a rapidly evolving global market.

The sustainable approach of the program lies in capacity-building for local training institutions through curriculum development and transfer. As a result, the private sector and Vietnamese partner organizations play a leading role in improving training quality and eventually commercializing the EHT-based programs. This ensures the program can be maintained and scaled beyond the life of the project. Additionally, a network of alumni is being developed to facilitate knowledge sharing, industry connections, and the promotion of sustainable tourism development in Vietnam.

Moreover, the tourism sector and SMEs in particular cannot rely solely on formal education pathways, which produce a limited number of graduates each year, often lacking real-world experience. In reality, we need to retrain and upgrade the skills of the existing workforce. Former tourism workers who left the industry during the pandemic remain a valuable resource with strong practical experience. Additionally, many professionals from other service sectors hold strong potential to transition into hospitality and tourism.

However, training time and cost are key barriers for SMEs, especially those still in recovery mode with constrained resources. To address this, the Swiss EHT program is designed with flexibility in mind to suit SME needs. Each training cycle (Basic, Intermediate, Advanced) lasts just one month. Approximately 70–80% of training is delivered online, with 20–30% delivered in person via workshops, networking, and case study sessions. This hybrid structure is ideal for busy professionals with limited time, allowing them to balance learning with work. The program, funded by the Swiss Government, is also offered at an affordable tuition fee. Graduates receive a prestigious certificate from EHL, enhancing their competitiveness in the job market.


Swiss Vision for Vietnamese Enterprises

The Swiss Executive Hospitality Training program is designed with the vision to embed sustainability and management skills as core elements in Vietnam’s tourism and hospitality sectors. Instead of chasing rapid growth, the program promotes a model of “slow, responsible, and sustainable tourism”, in which people—especially managers and human resources—are empowered to lead transformation in times of global uncertainty.

With a focus on short-term, impactful training for Vietnamese businesses, the Swiss EHT program targets mid- and senior-level managers, rather than basic vocational training (which is the domain of national long-term planning). Building capacity at the managerial level is highly practical, as these individuals directly influence team performance and help upskill staff within their own organizations.

This vision is realized through a mission to develop a comprehensive, innovative training program that integrates academic knowledge, practical skills, and social values. The EHT program trains professionals who are not only competent in hospitality, food & beverage, and lodging services, but also aware of their role in environmental protection, diversity, and community contribution. The curriculum is regularly updated to reflect global trends, best practices, and techniques, through close collaboration with experts, businesses, and reputable institutions.

The program’s teaching philosophy emphasizes critical thinking, creativity, and personal development. Trainers and experts are certified through EHL’s Train the Trainer methodology, ensuring world-class instructional quality. The course modules use active learning methods, blending theory with practice via real-life scenarios, case studies, and group assignments. Learners not only gain knowledge but also build soft skills such as teamwork, communication, and long-term thinking—essential for sustainable career development in the highly competitive service industry.