“Four factors are essential for sustainable business development: leadership vision, human resource management, financial management, and marketing management,” said Mr. Nguyen Quang Huan. 

Currently, Halcom Vietnam Joint Stock Company is one of the leading enterprises in Vietnam, with various areas of investment in and development of sustainable infrastructure. To date, the company has implemented dozens of projects in the fields of water supply and drainage, transportation, and particularly renewable energy (RE).
To achieve the success it has today, the company has made tireless efforts, especially thanks to the dedication of Mr. Nguyen Quang Huan. Business Forum Magazine spoke with Mr. Nguyen Quang Huan, National Assembly Member and Chairman of the Board of Directors of Halcom Vietnam Joint Stock Company.
– Why has Halcom Vietnam chosen renewable energy (RE) as one of its key areas for investment and development, Mr. Huan?
Since its establishment, Halcom Vietnam has focused on infrastructure development, including water supply and drainage, transportation, and renewable energy. Throughout its development, Halcom Vietnam has implemented numerous renewable energy projects in line with its original strategic direction. The reason we have invested heavily in renewable energy is that Vietnam has significant advantages in this sector. At the same time, it enables economic development while ensuring social development, environmental safety, and reducing the risk of pollution-related diseases for local communities. Compared with other energy sectors such as thermal power and hydropower, renewable energy meets the requirements we have set. Therefore, renewable energy is one of the areas that Halcom Vietnam has chosen to invest in and develop.

– Sir, what difficulties and shortcomings is the renewable energy (RE) sector in Vietnam currently facing? How should policies be changed to address these difficulties?

It can be said that the RE sector is very environmentally friendly because it does not cause greenhouse gas emissions, discharge waste into the environment, and has only limited environmental impacts.

However, businesses investing in and developing RE are currently facing many difficulties because Vietnam’s RE sector is still in its infancy. From a policy perspective, it is still at a stage of implementing policies while making adjustments along the way. From a business perspective, there are still many pressing concerns. For example, policies lack a long-term vision, with incentives being offered but frequently changed; plans are introduced but not followed or are disrupted, as seen with the solar power development plan. In particular, investment in the power sector requires enormous capital, but the State has not yet introduced appropriate policies to attract private participation, resulting in wasted resources. Such instability makes businesses uncertain and confused.

To attract investment and create favorable conditions for RE development, I believe that our policies must be long-term. If businesses are required to have a 10-year vision, government policies should have a 20–30-year horizon. Of course, during implementation, the State can still adjust policies to suit actual circumstances. However, the State must establish policies that enable all economic sectors and social resources to see a clear direction so that they can prepare for a more sustainable future.

Looking back at the adjustment of Power Development Plan VIII, instead of studying solutions to encourage RE, policy is turning back toward traditional coal-fired power, with significant environmental consequences and many other shortcomings in the future. One typical example is that from Power Development Plan VII to the current Power Development Plan VIII, coal prices have increased many times over. So, who can guarantee that coal-fired power will be cheaper than wind and solar power 10 years from now, while RE sources allow us to be proactive about domestic energy resources?

At Halcom Vietnam, regarding the development of RE or waste-to-energy, as Party members and a Party cell that have been introduced to Resolution No. 55/NQ-CP (Resolution 55), we will closely follow the resolution’s principles and spirit in our implementation. The policies introduced by the Ministry of Industry and Trade recently may be moving slowly and may not fully meet practical requirements. However, we must believe that Resolution 55 will be implemented. Therefore, businesses must develop plans to anticipate and prepare for the practical implementation of Resolution 55.

4 FACTORS FOR SUSTAINABLE BUSINESS DEVELOPMENT

– In your opinion, what factors are needed for a business to develop sustainably?

There are many factors needed for a business to develop sustainably. Personally, I believe there are four main factors. The most important is the company’s leadership. They must establish a vision and, based on that, develop long-term strategies. From that strategic vision, plans must be developed and implementation must be monitored to ensure that the set objectives are being properly carried out.

In terms of high-level corporate management, if leaders do not have a certain level of knowledge about scientific management, they will become overwhelmed. Corporate leaders must also equip themselves with knowledge of scientific management. Otherwise, shortcomings will arise right from the initial stages of determining strategy and developing long-term plans, creating potential risks for the business from the outset.

Another issue is human resource management. A business must always follow a coordinated development plan. Wherever the locomotive goes, the carriages must follow in the same direction; otherwise, the chain will break.

Next is financial management. In reality, it is already difficult for businesses to gain access to capital, but managing and utilizing it is even more challenging. If a business does not have a capable financial manager, it will be unable to effectively manage cash flows and maximize the efficiency of its capital.

Another equally important issue is Marketing management. Vietnamese businesses today pay little attention to this aspect, but in reality, it is a very important factor. Within a company, if internal PR is not effective, employees will not understand the leadership’s vision and approach. As a result, they will simply work like machines, without creativity. Externally, if marketing is appropriate, partners, customers, the community, and authorities will understand and have access to clear information, which will encourage their support and cooperation and help enhance the company’s image.

– So, how do you assess the impact of corporate culture on a company’s development?

As analyzed above, if we arrange the four issues mentioned above (including leadership, human resource management, financial management, and marketing management) horizontally as the hardware, then the vertical dimension is corporate culture, which is the software.

Corporate culture runs throughout all areas, from strategic vision to human resource management, financial management, and marketing management. Corporate culture has an impact on every stage and serves as the link connecting each element within the organization. If the corporate culture is strong, employees can participate in strategy development, providing constructive feedback and promoting democracy by listening to the contributions of each member of the organization. This, in turn, helps drive the company’s development.

The hardware and software must go hand in hand to create a sustainably developing business.

PARTY ORGANIZATIONS IN PRIVATE ENTERPRISES ARE VERY BENEFICIAL

– As a Party member, how do you assess the role of Party organizations in private enterprises?

Joining the Party is the aspiration and desire of many segments of the population. Upon admission to the Party, a Party member must take an oath, meaning that they must live with ideals, serve the country, remain loyal to the nation, and act in the interests of the people. If these values can be embraced in business, it is very humane and earns the respect of society and the community. It is also one of the factors contributing to sustainable business development.

I believe that if a Party organization exists within a business, it will have a profound impact, preventing situations where the strong prey on the weak, internal divisions, or people setting traps for one another. In reality, I believe that building and developing Party organizations in private enterprises is a very good and beneficial approach, but it depends on the mindset of the person at the helm.

Halcom is one of the enterprises that was once commended by the Hanoi Party Committee for having developed one of the largest numbers of Party members. However, my view is that we should not develop Party organizations hastily as part of a movement. More importantly, it must come from awareness and belief in the Party, with Party activities carried out in the most proper manner. Members must genuinely strive throughout the process and, once admitted, set an example for others.

TAXES SHOULD NOT BE EXEMPTED; DEBT AND TAX PAYMENTS SHOULD ONLY BE DEFERRED

– Businesses are currently facing difficulties due to Covid-19. In your opinion, what solutions are needed to help businesses resume production after the pandemic?

Due to the impact of the Covid-19 pandemic, businesses are currently experiencing disruptions in supply chains and production, which directly affect their revenues and the livelihoods of workers.

To support businesses, some localities have taken their own measures. However, what businesses need most is for policies to have a sufficiently long-term vision to ensure stable and sustainable development.

Personally, I believe that the government should introduce policies to defer debt and tax payments for businesses rather than grant tax exemptions. If taxes are exempted, the government will lose budget revenue. While this would benefit businesses, the government would have less money to fund other activities. If payments are deferred, the government will still have future revenue, while businesses will also have an incentive to strive and recover.

Moreover, local authorities cannot use the pandemic as a reason to block travel and disrupt trade, leaving people without jobs and workers returning to their hometowns. This has a huge impact on businesses. For example, when workers return to their hometowns to avoid the pandemic, it is very difficult to persuade them to come back to work. If businesses have to recruit new workers, they must provide training and development, which represents an enormous waste for businesses. Not to mention the costs related to suppliers and business partners, which companies have to rebuild from scratch in order to restructure their operations after Covid.

In addition, I believe that when the government develops macro-level policies, it should assess them from every perspective and l

isten to businesses’ opinions. Instead of having the government formulate policies, sign and stamp them, and only then ask businesses for feedback, businesses should be given an opportunity to provide input before the policies are issued. This will ensure that the policies are suited to practical realities while safeguarding the rights and interests of all relevant stakeholders.

– Thank you very much!

Source: Vietnam Business Forum Newspaper