The interview of Mr Bui Duy Duc, General Director of VISSAN Company, an outstanding businessman in Ho Chi Minh City in 2006.
Would you mind briefly introducing the notable business operations of your company in 2006?
Although we encountered numerous difficulties in 2006, such as complicated widespread epidemics and severe competitions for survival, VISSAN, in general, accomplished its objectives. In the year, the company turned out 44,728 tonnes of pork, or 124 tonnes a day, fulfilling 118 per cent of the preset yearly target and representing an on-year increase of 24 per cent. VISSAN also processed 3,102 tonnes of beef, up 9 per cent on year. The company saw high growth in the processed food segment with sales of 10,817 tonnes, representing a year-on-year rise of 13 per cent. Especially, sales of hot dogs rose 36 per cent to 16 tonnes a day. The vegetable and fruit sales reached 7,588 tonnes.
In revenues, the company fulfilled the preset turnover target of VND1,950 billion (US$121.87 million) ahead of schedule by 10 days. In 2006, the company bagged VND2,006 billion (US$125.37 million) revenues, fulfilling 103 per cent of the yearly target and representing an increase of 15 per cent on year. In the year, the company opened six new showrooms, 31 sales agents and 32 points of sale. VISSAN reaped a pre-tax profit of VND36 billion (US$2.25 million) in 2006, fulfilling 109 per cent of the annual target and increasing 15 per cent on year. It paid VND70 billion to the state budget, exceeding the goal by 35 per cent. The average salary of VISSAN employees is VND3.7 million (US$230) a month. In the year, the company raised VND1 billion for community development activities. Last year was the 11th year in a row various VISSAN products won prestigious prizes like “Vietnam High Quality Products” Award, “Enterprises with Hygiene and Food Safety Satisfaction,” and “Strong Trademark.” However, the company encountered numerous difficulties in export.
Could you reveal VISSAN’s concrete plans and objectives in 2007 and in the following years?
In the development strategy for 2007-2015, we determined to upgrade our existing convenience food shop chain under the new brand name of “VISSAN food shop chain,” take part in poultry and waterfowl slaughtering activities, export products to several countries like Russia, China and Australia, and diversify capital mobilisation channels. Concretely, our revenues in 2007 will be VND2,200 billion, up 10 per cent on year. Hence, VISSAN must accelerate growth for both short-term and long-term objectives. The company’s revenues and profits must annually increase 15 per cent and 16-18 per cent on average. Therefore, leaders and employees of VISSAN must successfully carry out several major solutions as following: restructuring the company into a joint stock company form to actively resolve issues related to technological and equipment renovations, diversifying products and creating new products. VISSAN will also focus on training and retraining workers, and employing managerial officials and senior experts. It also actively hands business autonomy to its affiliated units to encourage creativity of their employees.
In 2007, the holding company, affiliated companies and associated companies will drastically and urgently resolve various tasks like continuing business reform, speeding up investment in infrastructure development for sales and service expansion, determining strategic markets and products; and accelerating staff organisation and training to better grasp new business opportunities, push back challenges and steadily proceed in the integration process. Among member companies of Saigon Trading Group, VISSAN must be the advancer. In the coming time, the company will continue promoting and upholding its reputation and trademark, maximally exerting its internal forces and strengths to become a region-level food group, associating with material providers and distributors to create a stable consumption market. The company also improves relations with farmers to have the best access to its material sources.
Especially this year, the information technology application project will be completely carried out throughout the company, aiming to put its electronic office model into use. At the same time, VISSAN will apply policies to develop its trademarks, launch attractive sales promotions, and provide the best customer care services (issuing VISSAN family membership cards and lucky draws). It will also take part in trade fairs, organise ceremonies for customers to taste its new products, cooking tests, healthcare and nutrition consultancy and online consultancy. Regularly, the company will give recommendations to units and individuals with applicable initiatives to launch emulation campaigns, and issue new salary and welfare policies to encourage and attract capable and experienced staff to the company.
As a leading organic food processor and provider in Vietnam, what do you think about hygiene and food safety now?
Unsanitary and unsafe food has been an urgent matter in Vietnam. To resolve this situation, we must have synchronous and resolute measures related to investigation, examination and settlement of violations in hygiene and food safety. This requires the effort of the entire community, including from relevant bodies, all families and individuals. VISSAN is a vanguard unit in manufacturing and processing organic food and is very successful in persuading the people to use safe food. However, to call the response of the entire community, the State should have policies to manage slaughtering more strictly. Especially, it should rezone State-run abattoirs. The State will spend more than VND30 billion to serve the hygiene and food safety activities in 2007. We hope that this fund and practical social contributions will help bring in better results in this field.
Van Luong
Vietnamese
