Professional Documents
Culture Documents
Viettel 'S Oporation Management
Viettel 'S Oporation Management
Viettel 'S Oporation Management
Reference List 25
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
By 2000, Viettel had tested and successfully provided a long distance telephone
service using VoIP technology on the Hanoi - Ho Chi Minh route.In 2003,
Viettel began to popularize and expand its fixed-line telephone service business
across all regions of Vietnam and began to invest in basic telecommunications
services.
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
development step, a new phase that is "The mainstay, pioneer in creating digital
society in Vietnam". Vietnam"
These are the core values and corporate culture that have helped Viettel always
be in the top five enterprises with the best working environment in Vietnam and
promote the creativity and spirit of giving of the team. staff to bring the
company remarkable achievements in the post and telecommunications industry
in Vietnam. Thanks to persistently pursuing these core values, Viettel has
always kept its own unique identity, created many values for society and won
the trust of customers.
2. Environmental Analysis
2.1. External environment
2.1.1.Politics
Vietnam is one of the countries that is highly appreciated for the stability of the
political situation. Vietnam has a single, systematic political apparatus to ensure
that all the country's problems are resolved in a consistent manner. Regarding
foreign affairs, Vietnam always maintains a neutral status on disputed issues in
the world and does not participate in any conflicts.
In addition, Vietnam has always maintained and developed friendly and bilateral
relations with other countries to maintain the national security situation. The
stable political situation has helped the company to develop sustainably and feel
safe when investing in expanding the market.
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
Besides the domestic situation, the fact that Vietnam is a member of prestigious
world organizations such as the World Economic Organization (WTO), the
United Nations, ... also creates a premise and opens the door for Viettel to
access to foreign markets.
2.1.2. Economics
Vietnam's constantly opening and integrating market economy has created many
opportunities for Viettel to expand its scale and rapidly develop.
Graph of GDP growth rate of Vietnam in the period 2011-2021 (Source: Viet
Times News & Analysis)
Based on the two graphs above, we can see that over the past decade, despite
many fluctuations, in general, Vietnam's economic situation still has stable
growth, except for a decline in economic growth. serious in 2020 due to the
impact of the Covid-19 epidemic. A stable economy is an opportunity as well as
a solid foundation for Viettel to constantly develop and expand its market share.
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
over the same period last year. Mobile subscribers and internet access
subscribers also grew strongly.
However, the year 2022 is turbulent with the volatility of gasoline and oil prices
due to the impact of the conflict between Russia and Ukraine and the serious
instability of the stock and financial markets. There are many pressures and
challenges for companies in Vietnam in general and Viettel in particular.
2.1.3. Social - Culture
The business activities of an enterprise are not only affected and affected by the
target market but can be influenced by all factors related to society and the
general culture of the host country.
With a culture that has both unique national imprints and a spirit of international
integration like Vietnam, it is a fertile land for Viettel to exploit customers.
Currently, translating, exchanging and updating information through
telecommunications networks is gradually becoming one of the essential needs
of the people.
People of all ages, genders and occupations need a mobile network, especially
in the current era of information explosion and social networking. This
contributes significantly to stimulating demand for Viettel and helping the
company's services reach many new customers.
Besides, the Vietnamese people have an advantage that they grasp new trends
very quickly and are very sensitive to new things. This is also a factor that helps
the company to breathe energy to develop new services without having to worry
about the ability to access the market.
Besides, the intellectual level in our country is increasingly improving, there are
many excellent and outstanding individuals that will help businesses save a
large amount of money when they do not need to hire many foreign experts. In
particular, compared with some countries in the region and the world, the
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
standard of living and average income in Vietnam is not too high, which is also
an opportunity for Viettel to get a source of labor at a low cost.
2.1.4. Technology
Technological factors for the telecommunications industry can be considered as
a key factor leading to the success of an enterprise. In this industry, a company
with technological acumen will gain a competitive advantage because
technology will directly affect two factors in the business that are the quality
and the individual cost of products and services. service.
The era of technology boom with the strong development of wireless networks
such as 4G, 5G, .... has created not many opportunities for Viettel to constantly
improve, upgrade or create services. new service. However, the explosion and
diffusion of technology also brings many challenges as more and more
companies enter the industry and old competitors are constantly changing.
2..1.5. Environment
Natural and environmental factors including climate, weather, geographical
location, natural conditions also cause Viettel some obstacles in market
expansion because today there are still areas in Vietnam. Areas with
undeveloped infrastructure are difficult to access and build stores.
2..1.6. Legal
In terms of law, Vietnam's Economic Code also has many beneficial provisions,
to encourage businesses to develop, especially the telecommunications service
industry, an industry that helps the country integrate with the world. quick way.
2.2. Internal environment
2.2.1. Strengths
● Stable financial resources
Viettel is an economic - defense company
owned by the state, so 100% of the capital belongs to the state. Viettel's charter
capital is up to VND 50,000 billion, of which Viettel's total debt so far is only
about VND 6,000 billion due to delayed payment of equipment purchases. As
the leading large telecommunications group in Vietnam, Viettel's financial
resources have been accumulated over decades, plus the mechanism to support
businesses in using the science and technology development fund, so Viettel is
completely proactive in the field of communication. investment and
development of telecommunications and information technology networks.
Almost all Viettel's business or investment activities do not have to borrow
money from banks but come from self-financed capital.
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
That change is most clearly shown through the development and change of the
core values that the company has established. Previously, Viettel's core values
were only encapsulated in three words: caring, innovation, passionate, but up to
now, these values have been developed and expressed through 8 words which
are practice – Challenge – Adaptation - Creation - System - East - West -
Soldier - Viettel common house.
Thus, the old values have not been lost but have been improved, resonating with
the elements of the times to form a more dynamic, "trendy" Viettel. It is the
timeliness and efforts to change that culture that by 2021, Viettel has been
honored by Anphabe for the 5th time in a row as a company with the best
working environment is the best in the information technology -
telecommunications industry in Vietnam and is ranked 3rd in the list of
enterprises with the best working environment in Vietnam.
Since 2003, Viettel has repositioned its brand twice with different missions.
However, there is one thing that has always been maintained by the company
from the early days until now, which is the business philosophy.
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
Viettel's business philosophy is "Put customers first - Put yourself later". The
company always listens, learns the needs and desires of customers to constantly
improve and upgrade its products.
The company has had many pioneering products in the industry, which have
been positively received by consumers and become a formidable competitor to
other companies. Viettel is the first company to provide 4G network services in
Vietnam and the first operator in the world to have 4G coverage nationwide
right after opening the service. And it is also Viettel that provides 5G network
services - the strongest type of network today for subscribers in Vietnam and
when roaming internationally.
To evaluate the quality of a company's products, the most objective tool is the
customer. On September 6, 2021, a global media and market research company
conducted a survey with 1000 people (of which 510 are using Viettel's
telecommunications services and 490 are using Viettel's telecommunications
services). services of other carriers) on service quality of carriers.
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
To create a stepping stone for Viettel to develop more strongly, the Government
has revised and supplemented the business registration regulations of the
telecommunications industry and restricted the establishment of mobile
telecommunications companies in the domestic market. water.
● The strong development of information technology
In this industry, in the 4.0 era, the demand for using the internet and
telecommunications network services is increasing, creating conditions for the
information technology industry to develop dramatically.
During the three years of the Covid-19 epidemic, most industries were stalled
due to lack of supply and interrupted stages, but the telecommunications and
information technology industries remained active. continuously thanks to the
great need to grasp information of the people. It can be said that in that difficult
period, this is the only industry that has not been interrupted and has become a
bright spot for the country's economy.
2.2.4. Threats
Despite being a large corporation and having a solid foundation, Viettel also
faces a few challenges from the environment.
● Competitors
Although always trying to maintain its position, Viettel always has to face fierce
competition from two other large corporations, namely Mobifone and
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
Up to now, Viettel has remained loyal to its low-cost service orientation and has
constantly upgraded promotions. Still the same discounting and discounting
policies, but they are modified in many different forms such as discount
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
The price leadership policy has brought Viettel huge profits and outperformed
its competitors.
More and more, Viettel shows more and more timeliness and superiority
compared to its competitors. While Mobifone and VNPT still only focus on
telecommunications network services, Viettel has continuously expanded its
business segments, encroaching on both IT solutions and digital services,
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
e-commerce and Logistics. The special thing is that all these businesses are
linked together and customers can easily use all the company's services.
3.2. Operations Strategy
In order to make the company become a leading corporation in the industry,
Viettel has implemented many strategies as well as restructured internal
management activities.
● Viettel's business philosophy
Viettel has declared its business philosophy as "Each customer is a person - a
separate individual who needs to be respected, cared for and listened to,
understood and served separately. Constantly changing. new, together with
customers to create more and more perfect products and services".
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
For human resource management activities, the company always has policies to
promote as well as promote the full capacity of the leadership team and
employees in the enterprise. At Viettel, qualifications are not everything, but
skills are the top priority.
At Viettel, employee screening takes place very often with the aim of both
eliminating those who do not fit the company's culture and letting employees
see their weaknesses in order to progress and be more creative. Besides
screening low-level employees, staff rotation is also common here. This is how
Viettel seeks and trains the company's key staff as well as finds suitable
personnel for important positions in the management and above all helps them
to develop their full potential. .
4. Productivity Improvement
Looking at Viettel's development and growth, it can be seen that labor efficiency
has been improved over time by correctly identifying the direction for the
company and effectively applying it. modern technologies.
In order to save costs, Viettel has chosen not to outsource but master the core
technology itself. Viettel always actively approaches high technology, new
technology and has built close relationships with many foreign partners, so it is
always ready to carry out technology transfer to serve the research and
development of products. Products.
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
self-optimizing the quality of each call, analyzing the cause of errors, and
providing solutions. for 70% of bad calls/sessions with 85-90% accuracy to
increase the quality of calls and reduce the number of dropped calls and bad
calls by 10 times. Technology applications also help 95% of customers to take
care and manage their calls without the need for staff support or going directly
to transaction points.
5. Forecasting services demand
To forecast customers' demand for services, Viettel has used both quantitative
forecasting methods based on data obtained through market research activities
and qualitative methods based on predictions about trends. the general
development of the domestic and international technology industry.
Viettel has seen the reality that the means of communication such as SMS and
voice are gradually declining and being replaced by OTT communication
applications released by digital technology companies such as Zalo, Facebook,
Twitter, ... Since then, the company's management has made predictions about
the trend of using new services of customers, which is the need to use
high-speed data on smartphones.
From this prediction, Viettel has quickly entered the rebirth, repositioning the
brand to match the 4.0 era, and at the same time offering appropriate services to
satisfy customers such as the ST package (abbreviated of the word "sieu toc"
means very fast in Vietnamese) with data capacity 30 times higher than previous
packages.
Not only changes in internet services, other transaction activities were also
quickly put into digital transformation when Viettel realized that customer
behavior was aimed at speed, convenience and time saving. My Viettel and
Viettel Money applications allow users to make most of the necessary
transactions in life, from paying phone bills to shopping, eating,....
6. Resource Utilization
Knowing how to utilize resources and optimize resources is one of the
important keys to success. Viettel has made smart investments as well as put its
resources in the right places to bring breakthrough developments to businesses.
Below is an analysis of how Viettel has utilized its financial resources,
infrastructure and human resources in its business.
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
With the advantage of capital, Viettel has constantly invested in technology and
modern machinery to research and develop products, upgrade infrastructure and
invest in expanding its network in foreign markets. Every year, Viettel spends
about 4,500 billion VND on research and development of products and services.
Thanks to this "strong" investment, only in the first half of 2022, Viettel has
launched 36 new technology products for the digital transformation of
businesses.
In addition, in 2022, Viettel also surpassed many initial targets such as: building
more than 7000 new broadcasting towers (1000 more than compared to the
previous year).
target), completed more than 12 thousand km of fiber optic cable (nearly 1000
km more than the target),....
b. Utilize human resources
Viettel is one of the companies that knows how to promote and fully exploit its
human strengths. Thanks to a progressive and civilized corporate culture and a
young and dynamic working environment, Viettel attracts a lot of young talents.
According to reports and statistics, currently 40% of employees, leaders and
managers at Viettel are under the age of 35. This is one of the strengths and
resources to help Viettel continuously develop and keep up with the trend of the
times.
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
In order to promote the full potential of employees, Viettel has boldly delegated
authority and appointed young people to senior management positions to seek
new directions in management, change the management environment, and
change the management environment. promote innovation and creativity within
the company.
Designers need to understand the demand for the service, determine the
capabilities of the business, estimate the quality of the product, and evaluate the
economic impact of changing product design.
There are many factors that can affect service design such as: human factor,
legal and ethical consideration, cultural factor, environmental factor, etc. One of
the most important factors when designing a product is the life cycle of the
product.
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
The lifecycle of a service is closely tied to the lifecycle of related products and
human needs. For telecommunications or technology services, it will depend on
technology products such as smartphones, tablets, computers, etc. As
technological devices are increasingly improved, Software and technology must
also be redesigned to meet its performance.
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
However, from 2010 to 2018, Viettel changed its product design strategy to
match the company's new business orientation and integrate into the information
technology era. On September 8, 2011, Viettel opened the Natcom network to
provide telecommunications services in Haiti. After that, Viettel has provided a
series of high-tech services such as express delivery service, money transfer
service at home, ...
One of the biggest changes in Viettel's service design is customer service. From
focusing on direct communication under the slogan "Speak your way", Viettel
has changed to remote customer care activities through digital platforms and
changed the slogan to "Your way. ".
8. Quality Management
According to ISO 9001, quality management is defined as the activities of the
management function that define the quality policy and objectives and
implement them by means such as planning, quality control, quality control and
quality improvement in the quality management system.
For a service company like Viettel, the assessment of service quality will largely
depend on the customer. Therefore, the company's service quality management
process is closely linked with the task of improving products to meet the needs
as well as satisfy customers.
When launching any service, Viettel will also have test programs to probe
customer reactions. During the testing program, the company will monitor the
behavior of service users, record comments, evaluate through the use process to
fix and improve the service immediately.
However, before putting the services to the test, Viettel services have also been
tested internally to check whether the service has met the initially set quality
criteria.
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
For customers who are businesses and agents, discounts or policies, professional
software support are always recommended. In addition, this group of customers
was also created by Viettel to create a separate information channel to exchange
and resolve complaints as quickly as possible.
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
For individual customers, remote support and advice is always the most
effective solution because when buying in small quantities, customers will be
very afraid to move to buy goods directly at the store. Therefore, Viettel has
built a website system and online sales channels as easy and fast as possible
with an online customer care team that is always ready to work 24/7.
c. After-sales customer care
After-sales customer care is always closely associated with customer care
during sales. The important information of customers and purchased products
will be noted in the most detail possible in the system so that when there are
complaints and questions, customers will receive immediate support.
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
At this stage, after the project's plan is approved, the management takes it into
the project appraisal phase. At the appraisal stage, management levels will
consider the feasibility of the project, estimate and propose financial,
technological and technical solutions to ensure the effectiveness of the
implementation.
All Viettel projects are closely monitored and monitored by the company's
technicians, relevant management boards with the participation of industry
experts to promptly recognize errors. , quickly adjust so that the project can be
conducted in the most convenient way.
In the period 2016 - 2020, Viettel has implemented about 200 projects in the
country, of which about fifty projects were implemented from the previous
phase. With an annual investment volume of tens of thousands of billion dong,
in most of which is organizing bidding in the form of open bidding. The bidding
process complies with the current regulations of the State.
● Project end stage
Quality inspection is the final stage of Viettel's project management process.
Once the implementation phase is completed, the project implementers will
bring it to the test phase. Before officially launching, Viettel's projects have
gone through two testing phases: internal testing and public testing.
Internal testing is the process by which experts, who implement the project,
self-check, evaluate and fix errors after testing the product. After passing this
small-scale test, the project will be put to large-scale testing. The company will
test run the project in a small area. At this stage, the customer will be the one to
evaluate the quality of the project and report the inadequacies so that the
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
company can promptly overcome them. After this trial period, the project will
be officially publicized and put into operation.
However, such an overly systematic and cumbersome apparatus will also have
certain limitations:
● When the leadership "secrets ideas"
What happens when the leadership is "out of ideas"? The board of directors is
like the brains of the corporation because these are the people who make the
most important decisions. However, it is also because of this that when this
department has problems, the entire remaining 95% can fall into a state of crisis,
confusion and disorientation.
● Adapt to change
The business market is constantly changing and new trends will emerge every
day. However, Viettel's top leaders come from soldiers, the management board
has to be busy handling the work of 100% of employees and is too far from the
market, so it is difficult to grasp the changes. move as quickly as possible. The
delay in the OTT market is a typical example when Viettel failed to respond to
changes in the external business environment.
2. Solutions to improve the management status of Viettel
● Decentralization of management strategy
To reduce pressure on the leadership, Viettel should divide the organization into
smaller SBUs (Strategic Business Units). In each SBU, there will be people who
decide the operation of the SUB. This will help the board to share the
management burden. Moreover, the managers at these SBUs will be the ones
who know their department best, so they can come up with ideas and
suggestions to contribute to the overall development.
● Transforming management to a flat model
The top 5 % will change to a flat 5 % at the center of the circle. Employees will
interact equally with the 5% at heart and with each other. Interaction,
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
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peer-to-peer and openness are the elements that are determined to sustain
creativity and innovation. This new company will be in charge of developing
new business segments of Viettel.
Reference List
1. https://stc.thuathienhue.gov.vn/?gd=2&cn=109&tc=586
2. https://vietnambiz.vn/viettel-mobifone-va-vnpt-kinh-doanh-ra-sao-nua-da
u-nam-2022911174020684.htm
3. https://vienthongviettel.com.vn/m/tam-nhin-chien-luoc-viettel.html
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Management Consultancy Report For Viettel Diêm Thị Hải Vân
ID: 2105002296
4. https://nld.com.vn/cong-nghe/viettel-day-manh-chuyen-doi-so-trong-quan
-tri-doanh-nghiep-va-ung-dung-nhieu-cong-nghe-phong-chong-dich-covi
d-19-20210730103048772.htm
5. https://baochinhphu.vn/6-thang-dau-nam-2022-viettel-dat-muc-tang-truon
g-cao-nhat-trong-vong-4-nam-102220809185530093.htm
6. https://www.qdnd.vn/cung-ban-luan/viettel-chi-co-the-xuat-sac-neu-co-nh
ung-nguoi-xuat-sac-674124
7. William J. Stevevenson, Operations Management. Thirteenth edition,
McGraw-Hill Education, 2018
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