Several sectors, including telecommunications, retail and financial-banking, have been greatly affected by digital transformation, according to a technology conference held in HCMC on September 20.
Speaking at the conference on digital transformation in Vietnam in the Industry 4.0 era, Dao Trung Thanh, chief technology officer at Media Ventures Vietnam Group, said five sectors—communications, telecommunications, financial-banking, retail and technology—are being brought under the influence of digital transformation. In fact, telecom and financial-banking enterprises are strongly investing in their digital transformation to prepare for the fourth industrial revolution.
Director of AVSE Global Vu Ngoc Anh said the fourth industrial revolution will create a suitable environment and open opportunities for small and medium firms in Vietnam to develop and expand their presence in the future.
Preparations for the fourth industrial revolution have encouraged large enterprises to join the journey of digital transformation to catch up with firms that had previously applied new technology to develop products and launch product marketing programs. This is considered not only an opportunity for startups to further boost their business operations but also a challenge for large traditional firms.
Some technology experts noted digital technology has become enterprises’ competitive strategic tool and fostered the country’s economic growth.
The fourth industrial revolution is Vietnam’s last chance to pursue development and catch up with the developed countries of the world.
However, most of the small and medium firms in Vietnam expressed little interest in the fourth industrial revolution. In fact, enterprises operating in education and running traditional schools have had a difficult time competing with online education platforms. Another example is that traditional transportation will soon be replaced with ride-hailing service.
Le Hoang Nhat, founder and general director of BMG Ami, said thanks to fresh tech solutions in the Industry 4.0 era, the company’s rented house management application has helped owners of houses enjoy a threefold to fourfold efficiency increase. The owners can now easily manage 150 houses through Ami’s app instead of preparing books, taking notes and managing lessees in the traditional manner.
The number of small and medium firms accounts for up to 97% of enterprises in Vietnam. They also contribute 40% to the country’s gross domestic product. The figures, however, remain low as few firms have applied technology to their business operations. Even so, these firms are regarded as the motivation for reform and development.
The conference was a sideline event of Vietnam Digital Economy Forum 2018, which was co-organized by the Association of Vietnamese Scientists and Experts and Quang Trung Software City.