With the right orientation and professional, systematic investment, DamSan Yarntex Joint Stock Company has achieved impressive results a short time after it went into operation. In 2010 the company’s revenues reached VND500 billion, more than 5 times that of 2007, an annual growth of more than 30 percent. In 2011, DamSan is striving for its target revenue of VND1,000 billion. Reporter Trung Nguyen interviewed General Director Vu Huy Dong on the company’s development experience.
Could you briefly introduce your company’s recent production and business operations?
DamSan mainly specialises in trading imported material cotton; manufacturing and exporting OE yarns, CD yarns and SE yarns; and manufacturing and exporting cotton towels and napkin.
We have invested US$30 million in Damsan I and Damsan II plants, covering 8 hectares in Nguyen Duc Canh Industrial Park and Gia Le Industrial Park, Thai Binh province, and capable of manufacturing 15,000 tonnes of yarn and 5,000 tonnes of towels a year. To compete with peers in quality, price and reputation, we invest in modern and advanced equipment. We use spinners imported from Germany and Switzerland like Strutzchler carding machines, Rieter spinning machines, VAMATEX power looms (imported from Italy) and Sulzer textile (imported from Germany).
What are the key factors behind those results?
These achievements are the result of two main factors: Right investment and successful investment. Right investment means being in right time for right business. Investment method also plays an important role.
In addition, the company is able to recruit high-level employees, as the education level of people in Thai Binh province is relatively high.
Another important aspect is investment orientation. Since the beginning, DamSan has clearly defined the objective of fair competition with product quality. Therefore, the company has invested in modern machines from countries with advanced technologies like Germany, Japan, Czech Republic and Italy.
In addition to above factors, DamSan has numerous advantages in production and business thanks to good investment encouragement incentives from provincial authorities.
What is the most important competitive edge for DamSan?
DamSan’s competitive advantage is the combination of a lot of factors. Specifically, the company focuses on organising scientific and orderly manufacturing and business, ensuring competitive prices, maximising machinery operation, and satisfying customers’ needs.
The company very carefully selects input material suppliers to ensure a stable supply and quality inputs. It also takes heed in category, price and time of purchasing materials before it purchases.
In addition, it scientifically applies personnel mechanism to boost operation and production efficiency. With its strict internal regulations, DamSan always meets the most demanding requirements for product quality.
To date, the presence of DamSan’s products in many countries in Asia and Europe is the clearest evidence of the growth and maturity DamSan.
Thank you very much
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