The "key" to development aspirations

Tuyết Lan |

In the context of increasingly “fierce” competition in the world economy, innovation is considered an important “key” to promote Vietnam’s development. In fact, Vietnam’s innovation process has achieved achievements but still faces many difficulties and challenges.

Taking innovation as the driving force for the new era

Recalling the time when the company was operating 3-4 years ago, Mr. Doan Viet Dung - CEO of Hesman - said that the company encountered many difficulties in consulting customers, requiring many complicated records with repetitive work.

“The company sells technology products on many platforms and in chains of systems nationwide, so the number of consulting customers is very large. Consulting staff often have to use a lot of sticky notes all over the desk to remember which customer they are consulting, when the customer has free time to continue consulting... This has caused a large number of the company's consulting staff to do repetitive work, waste time remembering, and even miss customers.

In addition, Hesman has thousands of product codes, so every day we need to make decisions about which items to import and how many to import to optimize the indicators. Realizing the above shortcomings, I think it is time for my business to catch up with the trend of innovation, applying AI technology to business operations to save maximum time, costs and bring good efficiency" - CEO Hesman said.

Sharing with Lao Dong, Mr. Doan Viet Dung said that after applying AI and technology in human resource management, simple tasks such as answering repetitive customer questions have been automated, helping employees focus on more complex issues. Appointment management and customer information recording are also automated, helping to minimize errors and increase efficiency. Thanks to technology, businesses can accurately track customer origins and costs to attract customers from different channels. Businesses can measure the effectiveness of each marketing campaign, thereby adjusting strategies in a timely manner.

“Innovation and technology application are key factors for businesses to have a competitive advantage. If businesses do not proactively innovate, they will be surpassed by competitors,” Mr. Doan Viet Dung affirmed.

Ong Tran Dang Hoa - Chu tich FPT Semiconductor. Anh: FPT
Mr. Tran Dang Hoa - Chairman of FPT Semiconductor. Photo: FPT

In fact, innovation and application of technology in production and business activities are not only the story of any enterprise but also increasingly demonstrate their important role, becoming a breakthrough driving force, indispensable in the development of science and technology in particular and the sustainable development strategy of the country.

Faced with great opportunities for innovation, Vietnamese enterprises have also quickly caught up and tested new models to meet market demand, such as Petrolimex, Viettel, Sovico Group, T&T Group, FPT Semiconductor, VinBrain, Thaco... This demonstrates the commitment of enterprises to accompany the Government in building a sustainable and prosperous future based on science, technology and innovation.

According to Mr. Tran Dang Hoa - Chairman of FPT Semiconductor, in addition to difficulties in institutions, policies, infrastructure systems... one of the challenges that most enterprises face is the quality of human resources. Vietnam has the advantage of abundant human resources; however, the number of highly qualified engineers in the fields of high technology, semiconductors, AI is still limited; training programs of educational institutions have not kept up with the development speed of modern technology; there is a lack of highly qualified lecturers with a lot of practical experience... Therefore, Vietnam still has a lot to do to shorten and fill the gap with other competitors in the region.

"Incubating" creative startups

By 2024, Vietnam will have about 4,000 innovative startups, 208 investment funds, 84 incubators, 35 business promotion organizations, and 20 innovative startup centers; Vietnam's innovative startup ecosystem is currently ranked 56/100 countries; Hanoi and Ho Chi Minh City are among the top 200 innovative startup cities globally.

Of these, 11 startups are valued at over 100 million USD. The most notable are 2 companies that have reached unicorn status (valued at over 1 billion USD), including MoMo and Sky Mavis. However, since 2021, Vietnam has not had any new unicorns.

Although highly appreciated by experts and international organizations, Vietnam's creative startup ecosystem is still in its initial stages of development, not commensurate with the potential and capabilities of Vietnamese people and intelligence, and has not yet reached sustainable development.

Therefore, many new and breakthrough policies have been gradually issued, creating favorable conditions and supporting the creative startup ecosystem. Typically, the establishment of the National Innovation Center (NIC) under the Ministry of Planning and Investment and Decree No. 94/2020/ND-CP stipulating preferential mechanisms and policies for the National Innovation Center.

Speaking to Lao Dong Newspaper, Mr. Vu Quoc Huy - Director of the National Innovation Center (NIC) - said that in recent times, NIC has not only provided working space but also created a favorable environment for startups to operate. For example, training and organizing events to connect startups with major partners such as Google, Beta, etc. Although no startup has become a "unicorn", the programs have also brought good results in helping startups access resources, knowledge and cooperation opportunities.

In addition, the center also organizes cooperation programs with international universities, such as sending startup groups abroad to attend training courses, which helps startups access international experience and knowledge.

Vietnam has 3 world-leading indexes on innovation

The World Intellectual Property Organization (WIPO) has released the Global Innovation Index 2024 (GII) Report in 2024. Accordingly, Vietnam is ranked 44/133 countries and economies, up 2 places compared to 2023.

Vietnam continues to improve its innovation input ranking by 4 places compared to 2023, from 57th to 53rd (innovation input includes 5 pillars: Institutions, Human resources and research, Infrastructure, Market development level, Enterprise development level). Innovation output increases by 4 places compared to 2023, from 40th to 36th (output includes 2 pillars: Knowledge and technology products, Creative products).

Vietnam maintains its 2nd position in the group of lower-middle-income countries. The lower-middle-income country ranked above Vietnam is India at 39th. In addition, there are 5 upper-middle-income countries ranked above Vietnam: China (ranked 11th), Malaysia (ranked 33rd), Turkey (ranked 37th), Bulgaria (ranked 38th), and Thailand (ranked 41st). The remaining countries ranked above Vietnam are all industrialized countries in the high-income group. In the ASEAN region, Vietnam ranks 4th, after Singapore, Malaysia, and Thailand.

In 2024, Vietnam will have 3 leading indicators in the world: High-tech Import, High-tech Export and Creative Goods Export (based on total trade). This is the first time the Creative Goods Export Index has reached the top position in the world. There are 3 indicators in the top 10 countries in the world that are also assessed by WIPO as Vietnam's strengths, including: Labor productivity growth rate (ranked 3rd); Number of smartphone applications created (ranked 7th) and R&D expenditure covered by enterprises/total R&D expenditure (ranked 9th).

The increase in the innovation index affirms Vietnam's position in the international arena, demonstrating its increasingly strong competitiveness. This is a positive signal in the context of Vietnam moving towards sustainable development goals and global integration. Bich Ha

(Posted on the special edition of Lao Dong Xuan At Ty)

Tuyết Lan
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