JavaScript is off. Please enable to view full site.

Number of Vietnamese Samsung suppliers increases 10-fold

Number of Vietnamese Samsung suppliers increases 10-fold

Saturday, March 04, 2023, 09:47 GMT+7
Number of Vietnamese Samsung suppliers increases 10-fold
Samsung factory in Ho Chi Minh City. Photo: Ngoc Hien / Tuoi Tre

The number of Vietnamese first- and second-tier suppliers in South Korea-based Samsung Group’s global supply chain increased by nearly 1,000 percent, from 25 in 2014 to 257 at the end of last year, according to Samsung Vietnam Complex general director Choi Joo Ho.

Choi told Tuoi Tre (Youth) newspaper that Vietnam has created several policies which encourage the development of supporting industries, thereby allowing local enterprises to join global supply chains.

In response to these policies, Samsung Vietnam has sought out new Vietnamese suppliers and entered into cooperative agreements with the Vietnamese government in order to develop supporting industries.

In particular, Samsung’s experts from South Korea have supported nearly 400 Vietnamese companies since 2015 in improving their competitiveness and product quality.

As a result, the productivity of Vietnamese companies has surged 40 percent, while faulty products have halved.

In addition, 33 Vietnamese companies are currently prioritized to become suppliers of Samsung Vietnam.

Choi Joo Ho, general director of Samsung Vietnam Complex. Photo: Samsung
Choi Joo Ho, general director of Samsung Vietnam Complex. Photo: Samsung

According to Choi, Samsung has also provided supported to Vietnamese firms in order to train high-quality human resources since 2018, including more than 400 local innovation consultants.

In 2019, Samsung Vietnam signed a memorandum of understanding with the Vietnamese Ministry of Industry and Trade on the training of Vietnamese molding technicians.

Under the four-year program, Samsung has so far helped Vietnam train 200 molding technicians. To date, more than 100 technicians have been beneficiaries of the program.

Samsung Vietnam also inked a separate memorandum of understanding with the Ministry of Industry and Trade last year to develop a smart factory project, Choi shared.

In particular, Samsung has shared its smart manufacturing knowledge with 50 local enterprises under a two-year roadmap. As of the end of 2022, 26 local companies had received Samsung’s consultancy over the smart factory model.

Choi said that participating enterprises have been trained and instructed on how to map out their strategies and build a roadmap to develop smart factories.

In addition, their management systems have been re-designed to optimize and ensure smooth and continuous information flows.

Digital and automated platform management solutions transferred directly by Samsung’s experts have helped change both management and production systems.

“These changes are the foundation for enterprises to improve their competitiveness to meet global standards, thus joining not only Samsung’s supply chain but also the global supply chain network, Choi Joo Ho said.

Like us on Facebook or  follow us on Twitter to get the latest news about Vietnam!

Thanh Ha - Ngoc Hien / Tuoi Tre News

More

Read more

;

Photos

VIDEOS

‘Taste of Australia’ gala dinner held in Ho Chi Minh City after 2-year hiatus

Taste of Australia Gala Reception has returned to the Park Hyatt Hotel in Ho Chi Minh City's District 1 after a two-year hiatus due to the COVID-19 pandemic

Vietnamese woman gives unconditional love to hundreds of adopted children

Despite her own immense hardship, she has taken in and cared for hundreds of orphans over the past three decades.

Vietnam’s Mekong Delta celebrates spring with ‘hat boi’ performances

The art form is so popular that it attracts people from all ages in the Mekong Delta

Latest news