Over more than half a century of construction and development, Tien Phong Plastic Joint Stock Company has attained great achievements in production, business and socioeconomic development. The company has repeatedly won National Quality Awards (NQA) of the gold category for years and remarkably, it received the International Asia Pacific Quality Award (IAPQA) in 2012. This international trophy has raised the profile of Tien Phong Plastic to domestic and international friends as a Vietnamese brand name with world-standard high-quality products. On the occasion of the 20th NQA anniversary and the NQA - IAPQA award ceremony, Vietnam Business Forum interviewed Mr Tran Ba Phuc, Chairman of Tien Phong Plastic Joint Stock Company. Tham Nguyet reports.
Tien Phong Plastic is a winner of multiple NQA and IAPQA awards. What do you think about this and what has it meant to Tien Phong Plastic?
NQA is one of the most prestigious awards in Vietnam, as it not only specifically assesses product quality but also applies a set of strict assessment criteria. Winning NQA and IAPQA is a pride and a great responsibility of Tien Phong Plastic. And, this is a great encouragement and recognition of the Party, State and the masses for the company’s efforts.
The awards not only honour the company for excelling in quality of production, business and service, but also serve as a compass for corporate development. They also help the company conduct self-assessment for stronger growth and regenerate new motivations and inspirations to overcome new difficulties and challenges on the market. The awards also help Tien Phong Plastic orient criteria and add motivations for perfecting production processes and bringing higher-quality products to society. In addition to winning a national trophy with the signature of the incumbent Prime Minister, Tien Phong Plastic has an opportunity to build the trust of customers, partners and government authorities, as well as its enhance reputation , image and brand on the domestic market and other countries in the Asia - Pacific.
So, how has Tien Phong Plastic applied seven NQA criteria to production and business activities?
Joining NQA is an opportunity for the company to see itself in the most comprehensive way. Then, we understand more clearly about our strengths and weaknesses in order to devise the most appropriate strategies. After winning the award, we often apply seven criteria to conduct self-assessment. Through these reviews, we find out what we need to improve for the better.
Currently, Tien Phong Plastic is developing products and services based on the scientific and technological foundation, enhancing labour productivity, and integrating its development with environmental protection and community interest. Being aware of these, Tien Phong Plastic always builds and maintains a strict quality management system. All products of the company meet international standards. All mechanical, physical and chemical properties and industrial hygiene reach or exceed limits. The company invests to make moulds to supply a full range of fittings categories for PE, PPR and u.PVC pipes, meeting both ISO and BS standards, to customers. Tien Phong Plastic Joint Stock Company has built a quality management system, an energy management system and international standard laboratory. The company is applying a total quality management (TQM) system standard, satisfying ISO 9001:2008 quality management system standards, and deploying 5S quality management programme of Japan. With its continuous technological innovation and product quality improvement, the company's uPVC, HDPE and PPR pipes are widely used in civil construction, industrial construction, industry and agriculture. The company's products have quickly conquered and dominated domestic and international markets.
2016 is a pivotal year for the two periods 2011-2015 and 2016-2020. How do you assess the company's achievements in the past five years, and major targets set for the next five-year plan?
In 2011-2015, Tien Phong Plastic achieved notable results in production and business, featured by stable growth and development. The company, as the largest plastic pipe manufacturer in Vietnam, saw its revenue increase from VND1,954 billion in 2010 to VND3,552 billion in 2015, representing an average year-on-year growth of 13 per cent. Its profit before tax climbed from VND367 billion in 2010 to VND412 billion in 2015, an increase of 1.12 times.
With its ongoing efforts to expand and dominate the domestic market with five product distribution centres and nearly 500 sales outlets and thousands of retailers, Tien Phong Plastic's products have reached every corner of the country. Remarkably, in the northern market, Tien Phong Plastic holds nearly 60 per cent market share of plastic pipes. The firm has also registered for trademark protection in five countries, namely China, Laos, Thailand, Cambodia and Myanmar. Up to now, Tien Phong Plastic has two production factories in Hai Phong City, one in Binh Duong province, one in Nghe An province and one in Vientiane (Laos).
In order to better meet customer needs, Tien Phong Plastics invested to produce uPVC pipes with a diameter of 800 mm - the largest and HDPE pipes with a maximum diameter of 2,000 mm. This production line turns out the largest pipes by diameter in Vietnam and Asia, to meet water supply demands at home and abroad.
Succeeding and promoting its achievements in more than half a century of construction and development, in the next stage, Tien Phong Plastic will continue to maintain its position as the No. 1 plastic pipe manufacturer of Vietnam, aiming for 65 per cent of plastic pipe market share in northern Vietnam and 30 per cent of the country's market share in 2020.
2016 is the 20th NQA anniversary and sees Vietnam enter regional institutions like AEC and TPP. Do you have any advice or suggestions for the NQA Organising Committee, or anything to share with authorities and the business community in the country?
The goal of the National Quality Award (NQA) is to honour and reward businesses with excellent achievements in improving quality and operational efficiency and positively contributing to the community and society. Therefore, transparency, objectivity and fairness in assessing are very important.
Although NQA is the most notable quality award and is institutionalised in the law, it still fails to draw much interest of major corporations. Perhaps, this is caused by ineffective communication and advertisement.
In 2016, Vietnam will be integrating more deeply into regional institutions like AEC and TPP and the government will not be able to protect many things on the common play ground. If we do not have competition, we will find it impossible to grow. The highest competitiveness is found in the very quality of the business. And, seven NQA criteria are what a company needs to apply and strive to accomplish that status.