Proceedings the four international conference on the sustainable economic development and business management in the context of globalisation(SEDBM 4) international conference 2021

PROCEEDINGS THE FOURTH INTERNATIONAL CONFERENCE ON SUSTA I N A BL E ECO N O MI C DE V ELO PME NT A N D BUSI N ESS MA N AGEMENT I N TH E CO N TEX T O F GLO BA L I SATION (SEDBM-4) ACADEMY OF FINANCE HO CHI MINH NATIONAL ACADEMY OF POLITICS UNIVERSITY OF GREENWICH PROCEEDINGS THE FOURTH INTERNATIONAL CONFERENCE ON SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION (SEDBM-4) FINANCIAL PUBLISHING HOUSE - 2021 Welcome Notes Dear Friends and Colleagues, We are pleased to welcome you to the International Conference: “Sustainable economic development and business management in the context of globalisation” (SEDBM 4), which is jointly organized by Academy of Finance (Vietnam), Institute of Economics - Ho Chi Minh National Academy of Politics and University of Greenwich (United Kingdom) As a result of Academy of Finance, Institute of Economics - Ho Chi Minh National Academy of Politics and University of Greenwich’s close collaboration with international partners, the International Conference SEDBM brings together the world- leading experts in finance, accounting, audit, economic and business administration, serving as a point of convergence for researchers, practitioners and policy-makers to meet, share and exchange their ideas The International Conference SEDBM will strive to offer not only plenty of networking opportunities, providing you with the opportunity to interact with the leading researchers from both academia and universities, but also an environment to engage in stimulating discussions about research topics and practices We are especially honoured to have: Dr John Bruce Wells - Deloitte’s Chief of Party for the US Agency for International Development (USAID) Vietnam Low Emission Energy Program II (V-LEEP II) Prof.Dr Su Dinh Thanh - Principal of University of Economics Ho Chi Minh City We are indebted to members of the Organizing Committee particularly, Professor Nguyen Trong Co (President of Academy of Finance, Vietnam), for their support to make this International Conference a great success We wish you all an intellectually stimulating and productive conference! On behalf of the Organizing Committee, National Teacher Assoc Prof Nguyen Trong Co V ACADEMY OF FINANCE The Academy of Finance (AOF) is a a public and research-oriented university, subordinated to the Ministry of Finance, Vietnam The AOF was officially established under Decision No 120/2001/ QD-TTg dated August 17th, 2001 of the Prime Minister by integrating the Hanoi University of Finance and Accounting (founded in 1963), the Finance Research Institution (founded in 1961) and the Financial Training Center (founded in 1995) The main site of the Academy of Finance is located in Hanoi The mission of Academy of Finance is to provide expertise in research and training of professional finance and accounting to the society, the mission has been defined for our 55-year history with outstanding achievements and contributions branded by our lecturers, researchers and students The AOF established self-evaluation council since 2006 according to regulations of MOET Vietnam This council significantly helped improve the academic performance, and in April 2016, AOF was accredited by Center for Education Accreditation (CEA) – Association of Vietnam Universities and Colleges (AVUC) The accreditation result was published according to the Decision 10/QD-KDCLGD dated February 20th, 2017 of AVUC ranking AOF in top best universities in Vietnam The Academy of Finance offer a high quality of training and research through14 faculties: Fundamental Sciences, Political theories, Public Finance, Tax and Customs, Corporate Finance, Banking and Insurance, International Finance, Accounting, Business administration, economic Information Languages, Economics, Master and Doctoral training, Part-time training, two centers: Center for Languages and Informatics Training, Information Technology Center, research institutes: Institute for International Finance Education (IIFE) and Institute of Economics and Finance and 13 support divisions AOF offers a rich training programs included ordinary undergraduate/graduate programs spread in 06 academic majors: Finance and Banking, Accounting and Auditing, Business Administration, Management Information, Economic and Financial English, Economics The AOF also offer to international and VII VIII SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION (SEDBM-4) Vietnamese students with different choices partially/totally taught in English such as High Advanced Program or Dual Degree Programme (DDP - a Joint Training Progamme between the Academy of Finance (Institute of International Finance Education) and the University of Greenwich (UK) Throughout its history, AOF’s qualified scientists and lecturers have been supporting more than 85,000 students including 5,000 mastersand 300 doctors and additionally 500 international students for Laosand Cambodia in the last 55 years Significantly, a large number of AOF’sgraduates are leaders of the Government, ministries, local authoritiesand businesses The academy has also been recognized for conducting thousands of valuable research projects for the policy makers in economic development of the State The rich tradition and custom makes AOFunique among the other universities and colleges in Vietnam and attractsthousands of learners to study at the academy annually The valuable contributions of AOF to the development of the State in training and doing research has been respected publicly, the academy has been recognized with national unique awards Many AOF alumni are key people in the Government and Local Administrations In the process of globalization and the advent of the Industry 4.0, the AOF Management Board sets out following major development directions: - Intensively develop training and research performance, maximize the core values to adapt to the emerging demands of the intellectual economy and the Industry 4.0 - Diversify training courses, renovate academic management measures, improve the professional capacity, and improve self-study spirit with creativity and experience - Improve the research capacity in the manner that harmonizes fundamental studies with applied studies Actively and comprehensively integrate into regionalization and globalization process regarding training, capacity building and research activities - Conduct academic management reform in close relation with financial autonomy and social accountability, create a new academic environment with high openness, creativity and internationalism, continuously attract excellent staffs and scholars to work and research at AOF UNIVERSITY OF GREENWICH The University of Greenwich is a public and research-oriented university located in London, in the United Kingdom It has three campuses in London and Kent, England These are located at Greenwich, in the grounds of the Old Royal Naval College, and in Avery Hill and Medway Previous names include Woolwich Polytechnic and Thames Polytechnic The university’s range of subjects includes architecture, business, computing, mathematics, education, engineering, humanities, maritime studies, natural sciences, pharmacy and social sciences The university dates back to November 1891, when Woolwich Polytechnic, the second-oldest polytechnic in the United Kingdom, opened inWoolwich In 1970, Woolwich Polytechnic merged with part of Hammersmith College of Art and Building to form Thames Polytechnic In the following years, Dartford College (1976), Avery Hill College (1985), Garnett College (1987) and parts of Goldsmiths College and the City ofLondon College (1988) were incorporated In 1992, Thames Polytechnic was granted university status by the UK government (together with various other polytechnics) and renamed University ofGreenwich in 1993 In 2001, the university gave up its historic main campus in the Bathway Quarter in Woolwich, relocating to its current main campus in Greenwich, a UNESCO World Heritage site on the banks of the River Thames, and close to the financial centres of the City and Canary Wharf The location isgenuinely unique combining the advantages of such a beautiful and historic setting with being 15 minutes by light rail from the centre of London The campus is home to the Business School and the Faculty of Liberal Arts and Sciences The campus also includes university’s Greenwich Maritime Institute, a specialist maritime management, policy and history teachingand research institute IX X SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION (SEDBM-4) The Business School at the University of Greenwich combines strengths in teaching and research with an emphasis on equipping our students with the practical knowledge and skills sought by employers It offers a compre-hensive range of high-quality undergraduate degrees through five departments: Accounting & Finance; International Business & Economics; Human Resources & Organisational Behaviour; Marketing, Events & Tourism; Systems Management & Strategy Many of the programmes are accredited by key UK professional bodies and course content is constantly revised to reflect cur- rent business priorities and the demands of employers The campus has a large library at Stockwell Street in the centre of Greenwich which houses an extensive collection of books and journals, language labs and a 300-PC computing facility Other facilities include specialist computer laboratories including one at Dreadnought centre, a TVstudio and editing suites The Stephen Lawrence Gallery at the StockwellStreet building, showcases the work of contemporary artists and is linkedto the Department for Creative Arts 1276 SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION (SEDBM-4) be imposed including dissolution, bankruptcy and mergers In addition, they should be closely and comprehensively supervised by the SBV in terms of management, governance, financial conditions and operation.Ensure to maintain the level of equity capital of commercial banks in accordance with the scale of assets on the basis of implementing the minimum capital adequacy ratio of 10% - Stabilize and bring down nonperforming loansand clean up the balance sheet Provide a mechanism to avoid rises in bad debts - Enhance operational and business management capacity Standardize management processes and procedures to strengthen the operational capacity of credit institutions; improve their safety and operational efficiency; improve market discipline in banking operationand consistent with international standards and to better meet the demand for financial and banking services of the national economy THE POLICY PROMOTES RESTRUCTURING OF THE OPERATING MODEL OF COMMERCIAL BANKS According to the Enterprise Law and the Law on Credit Institutions, Board of Management and the Supervisory Boardof commercial banks include the Board of Directors, Executive Board, Supervisory Board, and the establishment of a number of management organizations In fact, the operation of commercial banks still has many problems The relationship between the Board of Directors and the Executive Board as well as the separation of ownership and management is unclear Therefore, the following measures should be taken in the coming time: - Commercial banks must strengthen institutions and restructure banking professional activities, in order to diversify activities, to offer both traditional banking activities and financial services and other related services - Restructuring the organization to form the model of Parent company - Subsidiary company Headquarters of existing banks will act as parent companies, branches and affiliated units will become subsidiaries The management method between the parent company and its subsidiaries will be the same as for some current economic groups in our country - Apply modern management tools through Assets and Liabilities Management Committee, Bank management strategy and organization, management and operating information system, credit management, internal control departments Standardize these tools touniform process and operational management RENOVATING THE POLICY OF BUSINESS MANAGEMENT OF THE COMMERCIAL BANKING SYSTEM Appropriate business management policy is a factor promoting the operation and business development of commercial banks This policy needs to be developed with the following aspects: - Enhance operational and business management capacity: Standardize management processes and procedures towards synchronization, modernity, automation and conformity with international practices - Legal frameworkon retail banking services: The incomplete legal framework is a major barrier to modern banking in Vietnam Vietnam has not yet completed the legal framework for modern banking services This is a big challenge for Vietnamese banks to accelerate modern banking services A clear legal framework SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION (SEDBM-4) 1277 willcreateorientations for technology development and ensure favorable conditions for the development of modern banking services - Fight against unfair competition; with the expansion of credit autonomy and selfresponsibility of commercial banks The SBV stimulates the creativity and initiative of banks in business activities Apply the CorePrinciples for EffectiveBanking Supervision of the Basel II in performing the functions of a state management agency and supervising the market, standardize, improve and healthyize the internal control through the application of global standards CONCLUSION Renovating and perfecting the financial-monetary policies is an important driving force for sustainable development and business of Vietnam’s commercial banking system in particular and the national economy in general in the context of globalization REFERENCES: Proceedings of the Scientific Conference “Development of the financial-banking system in the context of International integration”, National Economics University, Hanoi, 2013 Proceedings of the International Scientific Conference “Sustainable development of Vietnam’s financial market in the context of international integration”, Banking Academy, Hanoi, 2016 Proceedings of the Scientific Conference “Financial solutions to promote sustainable economic development in Vietnam”, Academy of Finance, Hanoi, 2019 IMPACT OF INDUSTRIAL REVOLUTION 4.0 FOR SUSTAINABLE ECONOMIC DEVELOPMENT IN VIETNAM Dr Ngo Quang Tue1, Dr Dang Thai Binh2 Abstract: Today, humanity is witnessing extraordinary achievements of the modern industrial revolution, with the emergence of the knowledge economy, the globalization process taking place more and more deeply, these factors are affecting strongly and directly in many areas of social life Through the article, from a philosophical perspective, the author analyzes the impact of the industrial revolution 4.0 on sustainable economic development in Vietnam with a number of main contents such as: (i) concept on the industrial revolution 4.0 and sustainable economic development; (ii) achievements, limitations and causes limiting the sustainable economic development in Vietnam under the impact of the industrial revolution 4.0; (iii) thereby proposing solutions for sustainable economic development in Vietnam under the impact of the industrial revolution 4.0 Keywords: Industrial Revolution 4.0; Sustainable economy; Digital infrastructure; Vietnam INTRODUCTION Currently, Vietnam is promoting a strategy of sustainable economic development in the context of unpredictable international changes along with the onset of the industrial revolution 4.0 The 4.0 revolution with breakthroughs in artificial intelligence (AI), internet of things (IoT), big data (Big Data) and physical and biological technologies are creating productive and important forces The new production system… has been having a strong impact on sustainable economic development in Vietnam on many different levels, both in terms of achievements and limitations LITERATURE REVIEW AND PREVIOUS RESEARCH STUDIES World Economic Forum (WEF), Vietnam policy summary (2018), Industrial Revolution 4.0 in Vietnam: implications for the labor market In this Summary, a number of opportunities and challenges for Vietnam’s labor and employment sectors are mentioned in the context of the industrial revolution 4.0 Tran Mai Giang (2017), Industrial Revolution 4.0 opportunities and challenges, Quang Binh Science and Technology Information Journal, No The article has outlined the basic issues of the 4.0 revolution, pointed out the inevitability and opportunities created by the 4.0 revolution At the same time, the author also points out new challenges, especially the negative impacts of the 4.0 revolution on developing countries today Ho Que Hau (2019), Industrial Revolution 4.0 in Vietnam: potentials, barriers and the role of the state, Journal of Economics and Development, No 260 This article evaluates: potential; National Academy of Public Administration Academy of Finance 1278 SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION (SEDBM-4) 1279 barriers; The role of the State in the industrial revolution 4.0 Research results show that Vietnam has significant potential in the industrial revolution 4.0: The determination of the Party and the State; have the advantage of a latecomer; relatively large population and in the golden population structure period; abundant, low-cost, dynamic and creative workforce; The telecommunications infrastructure is relatively good However, there are also many barriers for industrial revolution 4.0: Limited awareness of industrial revolution 4.0; majority of small and medium enterprises, lack of capital and low technology level; limited quality of human resources; The state has not fully fulfilled its role in realizing its potential and overcoming the negative impacts of barriers to implementing the 4.0 industrial revolution Klaus Schwab (Translator: Dong Bich Ngoc and Tran Thi My Anh) (2018), The Fourth Industrial Revolution The book consists of three chapters, providing the basics of the fourth industrial revolution - what the fourth industrial revolution is, what it brings, how it will affect us, and what people can to utilize it for the common good The Fourth Industrial Revolution book outlines the future development trend of mankind and is determined to take advantage of the opportunities from this revolutionary change to build a better world UNDP Viet Nam Discussion Paper (2019), Inclusive Industrial Revolution 4.0 to Achieving Sustainable Development Goals in Vietnam This document lays out the concept of the inclusive industrial revolution 4.0, the pillars for creating new growth drivers and job flows to ensure that no one is left behind After a brief introduction to Vietnam’s development landscape, the document highlights the importance of the inclusivity of the industrial revolution 4.0 to ensure that Vietnam is not left behind and no one is left behind later in Vietnam Le Van Thong, Vu Trinh The Quan (2019), Vietnam’s economy in the context of industrial revolution 4.0, Journal of Science and Technology Development - Economics of Law - Management, 3(4) The article studies a number of assessments of Vietnam’s economy in the context of the industrial revolution 4.0 with the main content including an overview of the industrial revolution 4.0, considering how the industrial revolution 4.0 affects the economy Vietnam today and the opportunities and problems for the Vietnamese economy The article also proposes some recommendations to develop Vietnam’s economy in the coming time in the context of the industrial revolution 4.0 Central Institute for Economic Management, Center for Information and Documentation (2018), Vietnam’s readiness to participate in Industrial Revolution 4.0: Comparison with the case of China, Thread 3, - VNEP The article focuses on analyzing the preparation and policy moves to participate in the industrial revolution 4.0 from China, and analyzes the current status of Vietnam’s readiness to participate in the 4.0 industrial revolution and put provide some policy-oriented suggestions to promote more effective participation of Vietnam in the industrial revolution 4.0 Central Institute for Economic Management, Center for Information and Documentation (2018), Impact of the Industrial Revolution 4.0 on Vietnam’s human resource development, Topic No 10, Vietnam Economic Information Publication - VNEP The article points out that Industry 4.0 is the inevitable development trend of the times; The researchers point out the current situation of human resource development in Vietnam On the basis of analyzing the current situation, researchers have proposed a number of solutions to promote the development of high-quality human resources in Vietnam today 1280 SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION (SEDBM-4) In addition, there are many scientific works by other authors, such as: Ho Tu Bao (2020), On key issues in building digital infrastructure in Vietnam, Institute for Advanced Study in Mathematics, John Institute von Neumann, Ho Chi Minh National University; Kieu Linh (2018), In order that the labor productivity of Vietnamese people is no longer inferior to other countries, VnEconomy electronic magazine; PwC Vietnam (2021), Vietnam Digital Skills Readiness Report; PwC Vietnam (2018), Vietnam Industry 4.0 Survey;… In general, the above works have elaborated on the impact of the industrial revolution 4.0 from different angles, such as the potential, opportunities, challenges and barriers of the Industrial Revolution 4.0; Vietnam’s readiness to participate in the industrial revolution 4.0; impact of industrial revolution 4.0 on human resource development; Vietnam’s economy in the context of the industrial revolution 4.0; but there has been no research on the impact of the industrial revolution 4.0 on sustainable economic development in Vietnam However, the above works are useful sources for the author to refer to and cite in the article METHODOLOGY AND PROPOSED MODEL The article uses a synthesis of Marxist methodologies, interdisciplinary research, in which the focus is on the use of documentary research methods and specific research methods such as analysis - synthesis, induction - deduction., compare, contrast, generalize, etc RESEARCH RESULTS The results of the study are presented in the following sections: Firstly, clarify the concept of the 4.0 revolution and sustainable economic development Second, analyze the achievements, limitations and causes limiting the sustainable economic development in Vietnam under the impact of the industrial revolution 4.0 Third, propose solutions for sustainable economic development in Vietnam under the impact of the industrial revolution 4.0 DISCUSSION AND CONCLUSION Thus, the strong impact of the industrial revolution 4.0 is profoundly affecting the sustainable economic development in Vietnam Besides the achievements, this revolution is posing many problems that need to be implemented quickly such as, restructuring the economy; building and developing digital infrastructure; developing skilled and high-quality human resources, especially developing ICT human resources; invest in research and development (R&D); attracting foreign investment in the field of science and technology, etc Of course, in order to the above, it is necessary to mobilize the strength of the whole society, from the central to the grassroots levels, from taking advantage of resources internal resources to make the most of external resources, from private economic sectors to state economic sectors All must see that this is both an opportunity and a challenge to bring Vietnam’s economy to sustainable development CONCEPT OF THE 4.0 REVOLUTION AND SUSTAINABLE ECONOMIC DEVELOPMENT 6.1 Concept of industrial revolution 4.0 Research on the development of human society, C Marx oriented, checking to the end, the development of human society is to realize the level of development Yes, the development of the SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION (SEDBM-4) 1281 productive forces not only leads to a change in the mode of production, but also fundamentally changes the entire socio-economic form Thus, Marx argues, “The economic epochs differed not in what they produced, but in how they produced, with what means of labour” Accordingly, the tool of labor can determine the most developed level of the productive force By because, labor tools can show how to conquer human limits, which is the criterion for analyzing great economies Therefore, C Marx once oriented: “The hand crank brings the society with lords, the steam engine brings the society with industrial capitalists” [2] And deciding the factor that directly affects the work of improving and developing labor tools to bring about the highest efficiency is science and technology Therefore, in the consultation, C Marx once commented deeply on the unified system between science and production, “The development breakdown of the fixed consultant is an indicator for the transforming universal knowledge of society ization to any level to the volume of output direct Next”[3] Human society has so far gone through four major industrial revolutions with interconnected historical lines The first industrial revolution pointer lasted from the beginning of the eighteenth century to the 40s of the nineteenth century, with the mechanization of content The most outstanding feature is the railways and steam mechanics that marked the second great division of social labor With this revolution, people began to break with divine thinking to enter the background new civilization of science and technology The second industrial revolution, which took place from the end of the 19th century and the beginning of the 20th century, with the content of electrification and assembly wire being strongly applied to life and mass production Now the world appears many industrial powers that dominate the entire world economy The third industrial theater conversion started in the 1960s, with content automation Characterized by computers and global information systems (internet), the world officially entered the knowledge economy Revolution 4.0 was formed and developed on the basis of the legacy of previous industrial revolutions But it is clear that the content of its binding is completely different in substance from that of the receiver Because, the industrial revolution 4.0 includes sets of technologies in three areas: First, digital with content: artificial intelligence (AI), internet of things (IoT) and big data (Big Data) Hai is, the field of the robots are new system, host in 3D, new material and nano art Third, the field of biological art is applied in agriculture, fisheries, medicine, food processing, environmental protection, and renewable energy Vietnam is in the period of strongly supporting industrialization and modernization of the country, with the quality of both implementing the processes of the industrial revolution that the world has experienced and making a leap in the application of new technologies to the country develop the country to deploy Therefore, the Prime Minister’s Directive No 16/CT-TTg on strengthening access to industrial revolution 4.0, issued on October 24, 2017, the world is undergoing unprecedented changes Increasingly fast pace and increasingly extensive scale are changing the basis of production, commerce, healthcare, and education In that predecessor, Resolution No 52-NQ/TW dated September 27, 2019 of the 12th Politburo on a number of master programs and policy systems to participate in the fourth industrial revolution stated that: must Timely grasp and effectively take advantage of opportunities to improve labor productivity, efficiency and competitiveness of the economy, effectiveness and efficiency in social management, information convergence, transfer and strong application Advanced components of the fourth revolution for all fields of socio-economic life, especially a number of important, functional, and advantageous 1282 SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION (SEDBM-4) industries and fields to grow up according to the spirit of catching up, progressing and surpassing in some areas compared to other regions and the world 6.2 The concept of sustainable economic development In the face of the great transformation of the 4.0 industrial revolution, the Party and State have issued many guidelines, policies and action programs to orient the country’s development so that it is both consistent with the general trend of the world world that is consistent with the reality of the Vietnamese revolution In particular, the leading policy of inclusiveness is the sustainable development of the country in many fields, first of all, sustainable economic development Economic development is the process of progressive change of a country in the context of a growing economy However, economic growth is the increase in the number of outputs in the economic activity at a given period Economic development is an increase in the quality of indicators of the economy In which, not only includes long-term economic growth that is always high, but also shows the development of the quality of manufactured goods and services; development in technology, human resources, health, education and implementation of social justice Therefore, sustainable economic development can only be achieved when economic growth is high, but it must have quality, efficiency, low debt and create an increasingly large surplus value for the society Therefore, at the 11th National Congress, our Party advocated to renew the economic growth model in the direction, “from mainly development in width to reasonable development between width and depth, while expanding scale, while focusing on quality, efficiency and sustainability”[4] A current situation in developing countries is that high economic growth but excessive consumption of natural resources or low income of workers is not considered sustainable economic development Sustainable economic development is also synonymous with sustainable economic development A sustainable economy must meet the following requirements: First, an economy with high GDP growth and GDP per capita Developing countries in the current context need GDP growth of about 5% per year to be considered sustainable economic development Second, the structure of GDP must follow the trend, the proportion of industry and services in GDP is higher than that of agriculture Third, economic growth must be of quality and effective, not accepting growth at all costs, because that would poison and sustainably destroy the economy Thus, sustainable economic development must ensure high growth, quality and efficiency in all aspects of the economy This development process creates equality among actors operating in the economic system that have the opportunity to access the country’s economic resources such as capital, human resources and natural resources Sustainable economic development must not guarantee the interests of a few, but create prosperity for everyone, create conditions for improving the quality of life, and not infringe on basic human rights people IMPACTS OF THE 4.0 REVOLUTION ON SUSTAINABLE ECONOMIC DEVELOPMENT IN VIETNAM 7.1 Vietnam’s achievements in sustainable economic development under the influence of the industrial revolution 4.0 - Vietnam’s economic growth is high Although Vietnam implemented the process of industrialization and modernization much later than other countries in the region and the world; The application of 4.0 technology in production SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION (SEDBM-4) 1283 and business has just started, there are still many limitations, but one of the outstanding economic achievements is that the economic growth rate is maintained at a high level GDP scale is 2.4 times higher, from 116 billion USD in 2010 to 268.4 billion USD in 2020 The average period 2011 2015 reached 5.9%/year; in the 2016-2020 period, reaching 6%; For the whole period of the 20112020 Strategy, GDP growth will reach about 5.9% per year, this rate puts Vietnam in the group of 40 countries with the largest economy in the world and the fourth in the ASEAN region In 2020, the events of the Covid-19 pandemic, pushed our planet into a deep recession, GDP growth of countries around the world decreased seriously, there were countries with negative GDP growth, Vietnam’s GDP growth still reached 2.91%, ranked in the Top countries with positive growth Therefore, the XIII Congress commented: “Our country has never had the opportunity, potential, position and international prestige as it is today”[5] The above analysis shows that the reason for Vietnam’s high economic growth is the increase in capital factors and total factor productivity (TFP), which is fighting reducing the role of labor and natural resources - On economic restructuring towards modernity In the period from 2011 to 2020, “The share of agriculture, forestry and fishery in GDP will decrease from 18.9% in 2010 to 14.8% in 2020; the industrial, construction and service sectors (including product tax minus subsidies) increased respectively from 81.1% to 85.2%, exceeding the set target”[6] In which, the proportion of service and industry sectors is increasing and agriculture is decreasing This shift of Vietnam’s economic structure is going in the right direction and effectively, because only industry and services can bring great added value to Vietnam’s economy for development The reason leading to the above economic restructuring is that the State has the right economic guidelines and policies On the other hand, the State also applies the line of innovation in science and technology, especially the impact from the fourth industrial revolution, which contributes to rapid economic restructuring - On the issue of creating jobs and increasing workers’ incomes According to logical thinking, the fourth industrial will create unemployment, job loss, because all human jobs have been replaced by machines, “Robots with artificial intelligence fighting replace humans people in production 47% of jobs today will be 75% automated within 20 years.”[7] But some researchers believe that a reduction in total employment is unlikely Because hyper-automation and hyper-connectivity can enhance the productivity of existing jobs and create many other new professions In general, in 2020, Vietnamese workers aged 15 and over are working at 53.4 million Labor shift continues to follow the trend from agriculture, forestry and legal to industry and construction and service sectors with the respective proportion of labor in regions in 2020 being: 32.8%; 30.9%; 36.3% compared to 2019 respectively: 34.5%; 30.1% and 35.4% The process of shifting the labor structure above towards industry and services is due to the strong development of many new professions in the fields of information technology, analysis and R&D Regarding income of workers: Along with GDP growth, GDP per capita growth rate also increases workers to increase If in the period 2010-2014, GDP per capita increased only 4.93%/ year on average, in years (2016-2019), GDP per capita increased by an average of 5.6%, higher an increase of 4-4.5% is set for the whole period 2016-2030 As a result, per capita income in 2019 will reach 2715 USD The poverty rate dropped sharply from more than 70% to less than 6% ($3.2/day at purchasing power parity) The majority of the remaining poor in Vietnam are ethnic 1284 SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION (SEDBM-4) minorities, accounting for 86% The reason for this achievement reflects the rise in skills, services, digital businesses and the freelance economy 7.2 The limitations of Vietnam’s sustainable economic development under the impact of the 4.0 revolution Besides the achievements, Vietnam’s economic development still has many limitations before the impact of the industrial revolution 4.0 This presents several problems: - Labor productivity growth is still low Vietnam’s labor productivity in 2020, as estimated by the International Labor Organization (ILO), is times lower than that of Malaysia; times that of China; times that of Thailand, times of the Philippines and 26 times of Singapore The most important reason for the above situation is that “Most of the private enterprises use technology 2-3 generations behind the world average, up to 76% of machinery and technological lines are imported into the country from abroad of the 1960 generation, 75% of equipment has been depreciated, 50% of equipment is refurbished”[8] The backward technology level makes it difficult for Vietnam to improve labor productivity compared to other countries in the region and risks falling further and further behind when the industrial revolution 4.0 has really impacted strongly to all sectors of the economy - Science, technology and innovation in many fields have not been promoted, the national level of science and technology in general is still far from that of the leading group in the region Due to historical circumstances, Vietnam did not have the opportunity to industrialize and modernize the country soon Therefore, the industrial revolution 4.0 is a very valuable opportunity for Vietnam to make a leap into new technology fields, realize faster industrialization and modernization and narrow the development gap However, the reality shows that the government’s investment and application of the industrial revolution 4.0 in production and service provision is still slow compared to other countries in the region and the world According to the 2018 report on the level of readiness for future manufacturing published by the World Economic Forum (WEF), out of a total of 100 assessed countries, Vietnam belongs to the group of countries with the highest production level readiness for the industrial revolution 4.0 is low “Vietnam ranks only 90/100 in terms of technology and innovation, in which, 92/100 in technology platform, 77/100 in creative capacity”[9] The state budget’s investment in science and technology activities is still modest, the ratio of investment in science and technology to total state budget expenditure and to GDP tends to decrease - Science and technology human resources In general, science and technology human resources are underdeveloped, especially in R&D human resources The total number of R&D personnel in Vietnam is only 61,663 people, an average of 6.8 staff per 10,000 people, much lower than that of developing and developed countries in Asia (Malaysia 17.9; China: 11).; Singapore: 66.9) The limitation of science and technology human resources is also reflected in the shortage of skilled workers, “Although Vietnam has emphasized on Industry 4.0 policy reform, in terms of technical skills, As a result of the digitalisation of the workforce, Vietnam has dropped places to 96th place in the 2020 Global Talent Competitiveness Index (GTCI)”[10] Medium-skilled workers are near the bottom of the ranking at 128/130, and highly skilled workers are at 99/130 countries According to the trend of industrial development 4.0, in the next 10 years, Vietnam will have about 7.5 million people lose their jobs because SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION (SEDBM-4) 1285 they cannot meet the demand for skilled labor resources Therefore, Vietnam needs to change its education and training goals and strategies to match the 4.0 industrial revolution 7.3 The limited causes of Vietnam’s sustainable economic development under the impact of the 4.0 revolution Awareness of the nature and impact of the industrial revolution 4.0 on sustainable economic development is not at the level Most economic actors are not ready for the industrial revolution 4.0, they not fully understand the nature and impact of it on socio-economic development, and are not ready to approach new technologies According to PwC Vietnam’s 2018 Industry 4.0 Vietnam survey, “27% of respondents fully understand the concepts and impacts of Industry 4.0, 73% have no or little knowledge about Industry 4.0, or not clearly understand the impacts of Industry 4.0)[11] As a result, leading to the current state of enterprises are afraid to invest and apply high technology in production and business; recruitment of unskilled labor resources and fear of large investment costs but not bringing benefits to enterprises This slows down economic restructuring, increases labor productivity, and lowers middle income State budget investment in science and technology is still low and implementation is slow According to the Report of the World Economic Forum (WEF), in 2018, Vietnam achieved positive indicators for advantages to further boost readiness for Industry 4.0, such as government investment in public new technology (31/100); new technology investment company (50/100); patented (49/100); Number of mobile phone subscribers per 100 people (39/100); government determination and action (43/100)[12] However, in the 2016-2020 period, the total state budget expenditure for science and technology is VND 59,529 billion, 8.4% lower than in the 2011-2015 period Thus, Vietnam’s total investment in science and technology is still less than 1% of GDP annually, lower than the Strategy for Science and Technology Development set forth and very low compared to other countries in the region and the world Over the years, although the Party and State have had many guidelines, policies and strategies to orient and direct the active participation in the fourth industrial revolution, in general, the implementation has been slow Some ministries, sectors, fields and levels of government are not fully aware of the nature and impact of the 4.0 revolution, so the implementation under the direction of the Government is still inadequate For example, the construction of e-government, smart city development, automatic road toll collection, electronic customs procedures for network security, etc., are still conducted in a synchronous manner, lacking connectivity and interconnection lack of determination, fear of change Human resources have not met the requirements of the industrial revolution 4.0 Among the three basic factors for the sustainable economic development of each country is the application of science and technology, the development of infrastructure and the development of human resources, in which, human resources play an important role important Therefore, in the renovation period, the Party and State have always paid special attention to human resource development with programs such as, “Strategy for development of human resources in Vietnam for the period 2011 - 2020”; “Planning on human resource development in Vietnam for the period 2011-2020” Therefore, Vietnam currently has nearly 12 million trained workers with vocational training qualifications or higher, of which more than million have university and postgraduate 1286 SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION (SEDBM-4) degrees, accounting for 44% of the total number of employees trained human resources Although this is a potential human resource, it has not yet met the requirements of the industrial revolution 4.0 Because, this trained human resource is “mainly low-skilled labor, in which, the number of workers doing simple occupations accounts for the highest proportion (37-40%), the rate of labor high-level technical expertise only fluctuates in the range of 6-7%”[13] On the other hand, untrained human resources are still quite high, accounting for about 78.3% of the more than 50 million Vietnamese workforce today This limitation is a major barrier to the implementation of the 4.0 revolution and building a sustainable economy Digital infrastructure has not met the objective requirements of the industrial revolution 4.0 “Digital infrastructure is the foundation of e-Government and Digital Economy” [14] Components of digital infrastructure include: equipment, connectivity, data, application infrastructure, legal and human resources The current state of Vietnam’s digital infrastructure elements still has many limitations that not meet the objective requirements of the industrial revolution 4.0, such as slow implementation of national databases; the connection and sharing of data is very limited, mainly “information monopoly” Data security and network security are low, “it is estimated that up to 35% of Internet users in Vietnam are likely to face cyber attacks, the sixth highest in the world”[15] Vietnam has not yet built an infrastructure for identification, electronic authentication, connection and interconnection on a national scale, and there is no complete legal framework for electronic identification and authentication Lack of a legal corridor for digital economic development; sharing and opening data of government agencies, public and private enterprises; protect personal data, private information; issues of rights and ethics when applying artificial intelligence, and currently, Vietnam is not only short of ICT human resources, but also has limited skills and expertise in the field SOME SOLUTIONS FOR SUSTAINABLE ECONOMIC DEVELOPMENT IN VIETNAM UNDER THE IMPACT OF THE 4.0 REVOLUTION Firstly, the State needs to have guidelines and policies for rapid restructuring of the economy in line with the 4.0 revolution The 4.0 revolution is both an opportunity and a challenge for sustainable economic development Therefore, it is necessary to shift in the direction of increasing the proportion of service industries such as banking, real estate, insurance, tourism, new scientific and technological products, information technology, e-commerce and reduce the rate manufacturing, agriculture and mining sectors Second, build and develop digital infrastructure to serve as the foundation for the development of e-Government and Digital Economy Invest in and upgrade the network system, especially develop a high-speed server system, upgrade the internet connection to keep up with the development of the times Deploying national database centers; expanding the connection and sharing of data in the public and private systems; personal data security and network security Completing the system of identification, electronic authentication, connection and interoperability infrastructure on a national scale Building a legal system for the development of the digital economy to facilitate and handle conflicts and inadequacies arising in the operation of new business methods and the need to rapidly develop skilled ICT human resources capacity and high level to meet the requirements of the industrial revolution 4.0 Third, develop human resources sufficient in quantity and quality to carry out research and development activities of new technologies, products and services Changing the model of human SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION (SEDBM-4) 1287 resource training towards developing learners’ creativity and entrepreneurial skills Strengthen teaching in ICT as well as in the fields of new materials, new energy, digital, automation and AI, biotechnology, Build a team of qualified, qualified scientists ethical qualities to meet the requirements of industries, contributing to improving competitiveness, shortening the gap in qualifications compared to the region and the world Fourth, businesses need to soon renew their thinking and be ready to receive the industrial revolution 4.0 By applying technology and innovation to optimize resource allocation, bringing high efficiency in production and business Encourage businesses to build a model of “smart factory”, e-commerce to improve the quality of supply chain management; develop new software products and services Together with the state, businesses support professional training institutions to improve their capacity and qualifications of high-quality human resources to meet the needs of the new economic era Fifth, it is necessary to focus on mobilizing financial resources to invest effectively in research and development (R&D) activities, which is considered a prerequisite for scientific and creative innovation Accordingly, it is necessary to invest in research and development of new science and technology such as: new materials, new energy, digital, information technology, automation and AI, biotechnology, towards mastering some typical technologies of the industrial revolution 4.0 Sixth, the state needs to have appropriate policies to strongly attract foreign investment in the field of science and technology; cooperation in research and development of artificial intelligence products; invest and develop projects capable of going ahead and taking the lead in producing new scientific and technological products and services of the 4.0 industrial revolution Seventh, promoting the industrial revolution 4.0 in order to develop a sustainable economy associated with preserving and protecting the environment Although, the nature of the industrial revolution 4.0 is aimed at saving energy, resources, wasting labor, etc., mainly promoting the creative capacity of people Therefore, many scientists believe that the industrial revolution 4.0 is moving from a “brown economy” to a “green economy” However, Vietnam is a developing country, the industrial revolution 4.0 has just begun, so environmental problems such as pollution of soil, water and air sources; electronic and industrial waste from developed countries; Exploiting resources and natural resources, etc., is having a great impact on the country’s sustainable development Therefore, we not develop the economy at all costs, but sustainable economic development must always be associated with preserving and protecting the living environment of people CONCLUDE Thus, the strong impact of the industrial revolution 4.0 is profoundly affecting the sustainable economic development in Vietnam Besides the achievements, this revolution is posing many problems that need to be implemented quickly such as, restructuring the economy; building and developing digital infrastructure; developing skilled and high-quality human resources, especially developing ICT human resources; invest in research and development (R&D); attracting foreign investment in the field of science and technology, etc Of course, in order to the above, it is necessary to mobilize the strength of the whole society, from the central to the grassroots levels, from taking advantage of resources internal resources to make the most of external resources, from private economic sectors to state economic sectors All must see that this is both an opportunity and a challenge to bring Vietnam’s economy to sustainable development 1288 SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION (SEDBM-4) REFERENCES Karl Marx (1973), Capital, volume 1, Truth Publishing House, Hanoi, p.388 Karl Marx and Friedrich Engels (2004), Complete Volume, vol National Political Publishing House of Truth, Hanoi, p 187 Karl Marx and Friedrich Engels (2000), Complete Volume, volume 46, part II, Publishing House National politics, Hanoi pp.372-373 Communist Party of Vietnam (2011), Document of the 11th National Congress of Deputies, National Political Publishing House p.107,191 Communist Party of Vietnam (2021), Documents of the 13th National Congress of Deputies, Volume 1, National Political Publishing House, Hanoi, p.104 Communist Party of Vietnam (2020), Summary report on implementation of 10-year socio-economic development strategy 2011-2020, formulation of 10-year socio-economic development strategy 20212030, Newspaper VGP electronics, p.6 Tran Mai Giang (2017), Industrial Revolution 4.0 Opportunities and Challenges, Quang Binh Science and Technology Information Journal, No 5, p.47 Kieu Linh (2018), To make the labor productivity of Vietnamese people no longer inferior to other countries, VnEconomy electronic magazine, https://vneconomy.vn/de-nang-suat-lao-dong-nguoi -viet-khong-con-lose-kem-so-voi-cac-nuoc.htm, accessed June 21, 2021 Central Institute for Economic Management, Center for Information and Documentation (2018), Vietnam’s readiness to participate in the Industrial Revolution 4.0: Comparison with the case of China 3, Vietnam Economic Information Public - VNEP, p.7 10 PwC Vietnam (2021), Vietnam Digital Skills Readiness Report, p.7 11 PwC Vietnam (2018), Vietnam Industry 4.0 Survey 2018, p.4 12 Central Institute for Economic Management, Center for Information and Documentation (2018), Impact of the Industrial Revolution 4.0 on Vietnam’s human resource development, Topic 10, Economic Information Public Vietnam - VNEP, p.9 13 Central Institute for Economic Management, Center for Information and Documentation (2018), Impact of the Industrial Revolution 4.0 on Vietnam’s human resource development, Topic 10, Economic Information Public Vietnam - VNEP, p.5 14 According to Prof Ho Tu Bao (2020), On key issues in building Vietnam’s digital infrastructure, Institute for Advanced Study in Mathematics, John von Neumann Institute, Ho Chi Minh National University 15 Ministry of Information and Communications (2019), National Digital Transformation Scheme, draft 01 PROCEEDINGS THE FOURTH INTERNATIONAL CONFERENCE ON SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION (SEDBM-4) Chịu trách nhiệm xuất bản: GIÁM ĐỐC - TỔNG BIÊN TẬP Phan Ngọc Chính Chịu trách nhiệm nội dung: Học viện Tài Biên tập: Trần Thị Hải Yến Trình bày bìa: Ban quản lý Khoa học Biên tập kỹ thuật: Hồ Hoa Đơn vị liên kết: Học viện Tài chính, số 58 phố Lê Văn Hiến, Phường Đức Thắng, Quận Bắc Từ Liêm, Hà Nội In 300 cuốn, 20,5x29,5 cm In Công ty Cổ Phần sách Phát triển giáo dục Việt Nam Số nhà 73 Tổ 34, Phương Hoàng Văn Thụ, Quận Hoàng Mai, Hà Nội Số xác nhận ĐKXB: 3146-2021/CXBIPH/02-72/TC Số QĐXB: 224/QĐ-NXBTC Mã ISBN: 978-604-79-2912-2 In xong nộp lưu chiểu năm 2021 ... Banking, Accounting and Auditing, Business Administration, Management Information, Economic and Financial English, Economics The AOF also offer to international and VII VIII SUSTAINABLE ECONOMIC. .. Realizing the importance of the issue, the Academy of Finance organizes the annual international conference ? ?Sustainable economic development and business management in the context of globalization”... contributing to the glorious cause of the Party and the nation XI XII SUSTAINABLE ECONOMIC DEVELOPMENT AND BUSINESS MANAGEMENT IN THE CONTEXT OF GLOBALISATION (SEDBM -4) Institute of Economics,