With a tremendous effort to develop coal, mining and electricity businesses and promote suitable supporting services, the Vietnam National Coal, Mineral Industries Holding Corporation Limited (Vinacomin) continues perfecting its organisational structure and governance model, cutting costs, enhancing productivity, quality and business performance, and increasing income for employees.
Efforts in 2012
Deputy General Director Nguyen Van Bien said, "In 2012, the group’s revenue grossed VND95.5 trillion (US$4.2 billion), equal 105 per cent of the adjusted full-year plan and 88 per cent of the 2011 result, including US$1.1 billion from coal export. The profit reached VND2.8 trillion, equal to 33 per cent of the 2011 result."
Last year, Vinacomin divested from two companies, BIDV Expressway Company and SVIC Insurance Company, with respective value of VND9.5 billion and VND50 billion. In addition, the group plans to divest from Vietnam National Aviation Insurance Company (VNI). At present, Vinacomin holds stake at Saigon Hanoi Bank (SHB), Saigon Hanoi Securities Company (SHS) and an infrastructure company. Wholly-owned subsidiary, Vinacomin Finance Company will be transformed into one-member limited liability entity in line with the group’s divestiture policy, although it is effectively operating and guaranteeing safety ratios.
The average salary of an employee was VND7.4 million a month, down 10 per cent from a year earlier, the staff was reduced by 15 per cent but gross working time of coalminers was kept unchanged.
Solutions for 2013
Vinacomin expects revenue at VND105 trillion (US$5.2 billion) in 2013, up 15 per cent from 2012, profit at VND2.5 trillion, and construction investment at VND20 trillion.
Deputy General Director Bien said Vinacomin would continue to focus on cost management - a vital element in its production and business plans in 2013 - in order to ensure capital adequacy security and payment capability for projects, increase funds for debt repayment, and stabilise incomes for employees.
While the group perfects basic construction management mechanism, its primary goals are progress in pace, capacity, quality and efficiency, he added. In 2013, Vinacomin will review financial balance for the periods from 2012 to 2015, and after 2015, to raise capital and consider effective solutions concerning share and bond issue for projects.
In addition, its subsidiary units must comply with indirect salary regulations. In particular, Vinacomin will continue coordinating with the E-commerce Department under the Ministry of Trade and Industry to deploy the “e-business network for enterprises" project, studying the deployment of enterprise resource planning (ERP) solutions and other IT-powered solutions to save costs.
Huong Giang
Vietnamese
