Race for digital transformation: now or never

The rules of the game in the future will be "quick fish eats slow fish". Even “giants,” without timely performing digital transformation, may lose ground to “rookies” that are young and agile in the 4.0 technological revolution.

"With the current working method, it is very difficult for our company to effectively control the performance of sales staff," said Jung In Jeong, sales director of Miwon Vietnam. When employees quit, they take a large number of customers with them, which greatly affects the company. Miwon has had to seek a
software that helps both manage and support activities. So far, the firm has a huge distribution network, with 200 level 1 agents and tens of thousands of retail outlets across 63 provinces and cities in Vietnam.

Vo Quang Nhan, from R.E.P Biotechnology Co., Ltd., said that after two years of applying management technology, the company has had a significant change. The customer conversion rate has increased by 20%, while the problem-solving time is now only 1-2 hours. The number of points of sale doubles every day. Market staff realized that the new way of working helped them to better control their daily work and boost sales.

Thanks to digital transformation, many businesses have overcome difficulties caused by Covid-19. Fabbi, a rookie in the technology inudstry, generated US$4 million in revenue in 2020 by taking advantage of the epidemic to provide digital transformation solutions to major partners in Japan.

Digital trends

Cuộc đua chuyển đổi: Không bắt đầu ngay, sẽ rắc rối về sau

Digital transformation is an inevitable trend.

Similarly, MobiWork successfully developed the MobiWorks DMS distribution management solution, fully meeting the needs of monitoring, automation and sales activities. This is a solution to digitize the entire business process in the distribution system, helping businesses have a more intuitive and accurate view of the market, customers and their competitors. 

According to a survey by Vietnam Expo, despite the impact of the pandemic, the demand for trade is still increasing. Therefore, the fair Organizing Committee has implemented new forms of trade while calling on organizations and businesses to promote domestic trade and export. 

Chairman of the Vietnam Software and Information Technology Services Association (VINASA) Truong Gia Binh, said that digital transformation is a global trend, a vital issue for countries, organizations and enterprises. The world is witnessing a strong "transformation" in labor productivity and user experiences with many new business models that have been formed. 

The digital transformation trend is thriving but is not easy to realize because understanding the digital economy is a big challenge. 

A survey by the Ministry of Industry and Trade on the readiness to apply 4.0 technology in production and business activities in 2018 showed that 61% of enterprises "stood out" in the trend, 21% had initial preparations and 16 out of 17 fields under surveys had a low level of readiness in the digital transformation process. 

According to a survey by the Vietnam Chamber of Commerce and Industry (VCCI) and the Japan External Trade Organization (JETRO) with 400 Vietnamese enterprises in 2020, the four main barriers in digital transformation include: Lack of information about digital technology (30.4%); lack of internal manpower to apply digital technology (32.3%), fear of leaking personal and corporate data (33.9%); lack of digital technology infrastructure (38.9%), and high cost of digital technology application (55.6%). 

Le Viet Canh, CEO of Fabbi, said that many domestic companies have just heard about digital transformation and do not know how to implement this process. 

 

Taking advantage of opportunities in digital transformation

Cuộc đua chuyển đổi: Không bắt đầu ngay, sẽ rắc rối về sau

“Many businesses still think that they do not need digital transformation and all issues can be handled on paper or Excel files. However, they need to consider the future development direction and future scale. Without determining digital transformation early, they will be in trouble later,” Canh warned.

Like Japanese businesses, Canh said, Vietnamese will face some difficulties when digital transformation starts, but they will see long-term effects, and this will result in stronger motivation. Therefore, these businesses need support of tech companies that specialize in digital transformation.

According to the White Book on Vietnamese Businesses 2020, small and medium sized enterprises account for 98% of the total number of corporates in the country. They have many advantages in digital transformation thanks to their flexibility and fast change. It is important for them to understand how large enterprises operate, their business models, and transformation processes, and apply them flexibly and creatively.

Hoang The Anh, business director of Mobiwork, said that in the current digital transformation trend, local businesses can cooperate with partners in the tech field to take a short cut, to buy effective solutions to save money and time.

Digital transformation will be very convenient because there is a lot of good technology, good infrastructure, good human resources. Technologies, tools, and human resource programming languages are the same, but business leaders decide on the success of digital transformation. Digital solutions must meet business and management needs of specific businesses. Business leaders will decide appropriate technology packages and methods of technology application.

Besides, participating in trade promotion activities will also help businesses have opportunities to seek partners and find suitable solutions. With the theme "Accompanying businesses in the digital era", Vietnam Expo expects to bring resonance to the National Digital Transformation Program, creating a forum to connect the business community, and enable their approach to digital transformation solutions to increase competitiveness in production and business.

Bao Anh

ICT Minister answers key questions about digital transformation

ICT Minister answers key questions about digital transformation

Minister of Information and Communications Nguyen Manh Hung posed key questions and outlined solutions to digital transformation issues at a recent meeting with officials of the southern province of Ba Ria - Vung Tau.

Vietnam to form digital government by 2025

Vietnam to form digital government by 2025

Digital government will be formed by 2025, representing a transition from e-government. The challenge will be management of change.

 
 

Other News

.
Virtual travel one step ahead of real travel
Virtual travel one step ahead of real travel
FEATUREicon  15/04/2021 

The tourism industry is facing post-pandemic recovery challenges, but "virtual tourism" may be a new direction to open up breakthrough opportunities.

Four questions sparked Quang Ninh's awakening 10 years ago
Four questions sparked Quang Ninh's awakening 10 years ago
FEATUREicon  15/04/2021 

A decade ago, the northern province of Quang Ninh faced bottlenecks in infrastructure development. 

Female scientist with PhD in immunology pursues research on rare diseases
Female scientist with PhD in immunology pursues research on rare diseases
FEATUREicon  14/04/2021 

Tran Nguyen Kim Thi is a postdoc majoring in AI usage in medicine at the Huge Kaul Precision Medicine Institute at the University of Alabama in Birmingham (UAB) in the US.

What’s behind the 'land fever' phenomenon?
What’s behind the 'land fever' phenomenon?
FEATUREicon  14/04/2021 

The market often cools down when periods of "land fever" end, but then new higher price levels reoccur later.

Newly-elected NA Chair faces high expectations to fulfill President Ho Chi Minh's wishes
Newly-elected NA Chair faces high expectations to fulfill President Ho Chi Minh's wishes
FEATUREicon  14/04/2021 

When delivering the closing speech at the NA session, NA Chair Vuong Dinh Hue expressed his belief that newly elected deputies will uphold the spirit of dynamism and creativity, and will dare to think, dare to do, and dare to take responsibility.

Battery technology will determine race for electric cars
Battery technology will determine race for electric cars
FEATUREicon  13/04/2021 

Only when fast-charging batteries along with a nationwide system of charging stations will electric cars become popular in Vietnam.

Vietnam to raise tax on cars with high emissions
Vietnam to raise tax on cars with high emissions
FEATUREicon  13/04/2021 

Experts have suggested imposing high taxes on vehicles and encouraging the use of electric cars.

“I was moved after being appointed the first female Minister of Home Affairs”
“I was moved after being appointed the first female Minister of Home Affairs”
FEATUREicon  13/04/2021 

VietNamNet talked with Pham Thi Thanh Tra soon after she was elected Minister of Home Affairs.

Ministry proposes removing regulation on foreign-ownership ratio in petrol trading firms until PM reviews
Ministry proposes removing regulation on foreign-ownership ratio in petrol trading firms until PM reviews
FEATUREicon  13/04/2021 

The Ministry of Industry and Trade (MOIT) has proposed removing a tentative regulation in a draft decree that says foreign investors can hold up to 35 percent of shares of petroleum trading companies.

Six ultra-wealthy people have combined $17 billion
Six ultra-wealthy people have combined $17 billion
FEATUREicon  13/04/2021 

Six Vietnamese businesspeople have been named in Forbes’ list of the world’s richest billionaires.

Government of new term to pursue reform, taking action
Government of new term to pursue reform, taking action
FEATUREicon  13/04/2021 

Former Prime Minister Nguyen Xuan Phuc has left an indelible mark on the socio-economic development of the country. The newly-elected Prime Minister Pham Minh Chinh will continue that strong reform thinking.

Vietnam to become ICT powerhouse in next decade
Vietnam to become ICT powerhouse in next decade
FEATUREicon  12/04/2021 

Emphasizing ICT as the field that will lead Vietnam's digital economy, Minister of Information and Communications Nguyen Manh Hung said that we must become an ICT powerhouse not in 2045 but in the next decade (2021-2030).

Quang Ninh Province awakens
Quang Ninh Province awakens
FEATUREicon  12/04/2021 

From mainly relying on coal mining, Quang Ninh rose to become a rich province through the development of tourism and services. But the Covid-19 pandemic has helped Quang Ninh "wake up" and realize its "Asin's heel".

When will Vietnam begin to make electric cars?
When will Vietnam begin to make electric cars?
FEATUREicon  12/04/2021 

On March 24, Vinfast made headlines after releasing its statement about receiving orders for its first electric car model VF e34 for VND690 million (about $32,000), to be delivered in the third quarter of 2021. 

The issues of the new government term
The issues of the new government term
FEATUREicon  12/04/2021 

Prime Minister Pham Minh Chinh's government has inherited many legacies, but also faces many challenges, especially in institutional reform, to realize the aspirations of taking the country to new heights of development.

Hazardous waste: an increasingly serious problem in large cities
Hazardous waste: an increasingly serious problem in large cities
FEATUREicon  10/04/2021 

A report found that Vinh Phuc province discharges over 800 tons of waste every day, of which 180 tons are from urban areas and 700 tons from rural areas.

Foreign firms take over petroleum market, Ministry of Industry and Trade anticipates risk
Foreign firms take over petroleum market, Ministry of Industry and Trade anticipates risk
FEATUREicon  09/04/2021 

The Ministry of Industry and Trade (MoIT) has proposed removing the rule in a decree that says foreign investors are allowed to hold no more than 35% of shares in petroleum trading businesses.

The Prime Minister of drastic actions and breakthrough thinking
The Prime Minister of drastic actions and breakthrough thinking
FEATUREicon  09/04/2021 

Mr. Pham Minh Chinh has taken office as the new Prime Minister of Vietnam. 

Where will costly promotion e-commerce campaigns lead?
Where will costly promotion e-commerce campaigns lead?
FEATUREicon  11/04/2021 

Online sale apps are spending big money on promotion campaigns to retain consumers, but the money seems to have been spent in vain.

BOT projects incur losses, investors and banks worry about bad debts
BOT projects incur losses, investors and banks worry about bad debts
FEATUREicon  09/04/2021 

Investors are worried as their Build-Operate-Transfer (BOT) projects cannot satisfy requirements as revenue has been lower than expected.

 
 
 
Leave your comment on an article

OR QUICK LOGIN