Human capital for new phase - Why Vietnam must rethink careers in the age of AI?

How Vietnam takes the next step into the future will depend precisely on this human capital, on digital education and on a stronger hands-on perspective. (Source: VNA)

How Vietnam takes the next step into the future will depend precisely on this human capital, on digital education and on a stronger hands-on perspective. People will have to move beyond traditional career paths and develop their skills across roles, technologies and sectors. Vietnam’s next development step will be decided not only by capital and technology, but also by the adaptability of its people.

Vietnam’s latest challenge

As in the past decade, Vietnam has undoubtedly made significant and impressive progress in economic development and digital transformation. The reforms of the last two years, in particular, have created favourable conditions through legislation and administrative measures to continue this positive development. The current economic figures are promising, especially when one considers that there are significant disruptions elsewhere in the global economy at present.

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Despite this solid foundation, it is not unreasonable to note that the next stage of development will be considerably more complex to manage. AI will fundamentally alter the nature of people’s skills and careers. The question will not only be how many jobs AI will create or destroy, but what sort of careers will endure. It is important to keep Vietnam’s goal in mind: to develop into an industrialised nation by 2045 – an ambitious but entirely realistic target, provided the right steps are taken in the coming years. Human capital will play a decisive role in this.

Why the old career ladder is faltering?

In the past, traditional careers were based on stable hierarchical and development pathways. Employees developed their careers along a more ‘vertical’ pattern: after completing their studies or vocational training, they would start their careers as junior specialists in a particular sector or industry. Ideally, this career path led via senior specialist status to management roles and – for the best and most ambitious employees – ultimately to middle and senior management as the career goal.

AI is fundamentally changing this logic. Hierarchies are being flattened and routine expertise automated. Many middle-management and specialist roles will be transformed or even eliminated entirely in the future. Examples include finance, risk analysis, compliance, logistics and education, but also many other areas.

It is already becoming apparent that the relative career security of the past will no longer exist. Rather than focusing on a specific position in which one develops, it will now be crucial to constantly develop and adapt. In future, careers will develop less along a single vertical line within one field of work, but will instead be characterised by shifts between roles, functions and industries. In the age of AI, job security will no longer stem from a skill once learnt or a position once attained, but from people’s ability to continue learning across roles and technologies. Careers will thus take on a more ‘lateral character’.

Career resilience as a national asset

Putting this into practice will be one of the great challenges for Vietnam. Just as the 1986 Doi Moi opened up Vietnam’s economy and brought about unprecedented development, so the forthcoming new phase will need to open up Vietnam’s talent system towards lifelong learning, digital literacy and cross-functional careers.

This lateral career development should by no means be understood as random job-hopping. Rather, it is a strategic move that transcends functions and skills. An example would be a qualified financial analyst who, as the next step in their career, moves into fintech implementation, before going on to work in risk management or compliance.

Someone who has acquired various skills in this way throughout their career is more versatile and, thanks to the broader perspective they have gained, can often be deployed more effectively than someone who possesses outstanding expertise in a single area but whose job is potentially under threat from AI.

However, career resilience is not merely a personal matter for individual employees, but a national priority for Vietnam. It is precisely this new, flexible workforce that will make Vietnam more attractive to high-quality investors. Or, to put it in a nutshell: a country with resilient careers becomes a country with resilient competitiveness.

Educational reform for new phase

To tackle this Herculean task, Vietnam must certainly strengthen its practice-oriented education and training. Universities should train students to work across disciplines. AI literacy must, above all, promote critical thinking and ethics. It is not enough to leave the thinking to AI.

Even today, there is a clear and worrying trend towards an increasing number of publications or solutions to problems being generated by AI without much human thought. Entire seminar papers and dissertations can now be AI-generated.

This applies not only to student work but also to scientific articles and calculations. Prompt-writing will not be enough in the future, as almost anyone can do that. Rather, the focus should be not merely on achieving academic qualifications, but on becoming genuine problem-solvers who use AI and combine it with human intellect. AI should under no circumstances mean outsourcing thinking. Educational reform should start precisely here.

Vietnam does not necessarily need more academics, but rather more adaptable and flexible graduates. Educational reform must therefore have a stronger practical focus. To this end, dual training programmes should be established not only in vocational training, but also in closer cooperation between universities and companies, as is the case in Germany, for example. In that country, practical vocational training has traditionally been held in very high regard. In addition, there are universities of applied sciences which, unlike traditional universities, have strong links to industry.

In Vietnam, the next wave of competitiveness will not be driven solely by factories, infrastructure or financial capital. (Hình: Pexels)

Companies and the Vietnamese Government must work together to shape the skills ecosystem

The private sector and the government are equally called upon to play their part here. Companies should generally place greater value on skills than on purely formal management rank within the organisation. The government, for its part, can create incentives for lifelong learning. The private sector should, in any case, be the driving force and partner in this endeavour.

Resolutions 57 and 68 fit well into this agenda: science, technology, innovation, digital transformation and private-sector development are not abstract political slogans, but concrete elements of Vietnam’s future competitiveness. Vietnam could also consider creating a human-capital platform that connects the government, universities, companies and professional organisations. Such a platform would not need to be bureaucratic. It should be practical, lean and focused on the skills that Vietnam will need for the economy it wants to build.

Why Vietnam can take a leading role?

The traditional career ladder is increasingly disappearing. The future belongs to those who can choose to change career paths. Workers who are able to adapt their skills to technological progress, move into different roles and continue to work productively under constantly changing conditions are best suited to the emerging AI-driven economy.

In Vietnam, the next wave of competitiveness will not be driven solely by factories, infrastructure or financial capital. Rather, it will be shaped by people who can move between disciplines, technologies and sectors without losing their professional identity. For Vietnam, this is both a challenge and an opportunity: the country can develop a talent model that is not tailored to the career paths and economy of yesterday, but to the very economy it aims to build by 2045.

Vietnam has a unique opportunity to lead this trend. By proactively developing a talent ecosystem designed to promote lateral career mobility, Vietnam can become one of Asia’s leading countries in human-capital development. This endeavour requires great foresight, coordination and sustained commitment. However, the long-term strategic benefits of building a workforce that is competitive in an AI-dominated economy clearly justify the investment.

Ultimately, there is little doubt that lateral career architecture will continue to evolve. The real question facing Vietnam is simply whether it will take a leading role in this development or lag behind those who implement this concept more quickly. The time to make these decisions is now!

* The FOM University

** An M&A, IPO, and fundraising consultant from the Hoa Sen University

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