5 Notes

5 NOTES FOR DEVELOPING ENTERPRISES IN THE INDUSTRIAL NETWORK PERIOD 4.0

Revolution 4.0 and digital conversion are the most mentioned keywords recently. The Open Source Software Development Conference, held on December 5, 2017, also brought out many views and pointed out the State’s policies in the process of supporting enterprises to successfully apply the 4.0 revolution, digital conversion & open source software applications. We will help businesses summarize five key considerations in the direction of developing enterprise based on open source software in the era of industrial revolution 4.0.

1. Make the most of the State’s support policies in the process of digital transformation

  • The state pays special attention to the digital transformation process, especially in the trend of the 4.0 revolution. Specifically, many policies have been issued by the State to support businesses in the process of digital transformation and application of open source software into corporate governance, including:
  • Decision No. 235/2004 of the Prime Minister on the overall project of Application and development of open source software in Vietnam in the period of 04-08.
  • Decisions 169 and 223 of the Prime Minister on the procurement of information technology products by agencies and organizations funded with the state budget.
  • The Prime Minister’s Decision 50 in 2009 promulgating the Regulation on the management of the software industry and NDS has made a big change for open source software and businesses using open source software in digital transformation.
  • The policy of using open source has also been affirmed in documents such as Resolution 36 of the MOIT, Resolution 26 of the Government.
  • Revise the 2006 IT Law to embrace the new development trend of the 4.0 technology revolution and the digital economy, correct inadequacies in IT application activities and IT industry development, aiming at development goals strengthen IT industry, enhance IT application in organizations and enterprises, increase the competitiveness of Vietnamese enterprises in the trend of digital transformation.
  • Develop a set of open source software implementation standards: is expected to be completed in 2017 and issued in 2018. This set of norms includes the deployment norms of nearly 20 types of open source software products. Issued in accordance with Circular 20/2014 / TT-BTTTT.
  • Study international regulations on open source software, open standards, and open data to incorporate the legal documents on IT in the amendment of the IT Law.

Enterprises should learn about the State’s preferential policies and make good use of their advantages, creating a spectacular transformation in the 4.0 revolution.

2. Adhere to digital conversion roadmap

Mr. Tran Kiem Dung – Director of FDS Company affirmed that in order to convert numbers successfully, businesses cannot take shortcuts but must follow the roadmap. Accordingly, the digital transformation roadmap in enterprises includes the following basic steps:

  • Restructuring the business
  • Standardized technology
  • Optimize the core
  • Business entities (specific applications, enterprise systems, data, technology infrastructure)

(Source: Havard Business School Press – Enterprise Architect as Strategy)

In which operating procedures and technology are two important steps and need to be analyzed methodically and seriously.

3. Innovating business methods, improving operating models

According to Mr. Nguyen Hong Son, Director of IZISolution Co., Ltd., in order to conduct a successful digital transformation, businesses need to improve their operating model to suit each different development stage. At the same time, the business method should also be expanded, gradually replacing the traditional business methods such as markets, traditional stores into online business methods, bringing more utilities to users, bringing benefits. More profits for production and distribution units.

4. ERP – the starting point for digital transformation & 4.0

For a successful digital conversion, where should the business start? According to Mr. Nguyen Hong Son, ERP is one of the perfect starting points in digital transformation.

In fact, many businesses are still managing their organizations in the traditional way through excel, books, and not applying IT well in the corporate governance process. Even businesses that are using accounting management software, CRM, warehousing, etc. have not yet achieved a homogeneity, the software is operated discrete, making the use process becomes inefficient, and ineffective. spend a lot of time in exchanging information and unifying data.

The management system helps businesses manage more effectively through the use of a unified management system, integrating all aspects such as purchasing, warehousing, production, sales, customer care (CRM). , accounting, human resources, projects, … help businesses more effectively manage the business process in the organization.

5. Act immediately

Facing the dramatic transformation of the 4.0 revolution and the digital transformation in the world, Vietnamese enterprises cannot continue to delay but need immediate action to be able to seize the best opportunities. Big businesses should not be subjective, small businesses should be considered as a springboard to break forward.

We are always with you in the process of digital transformation.

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