Internship report topic thai tuan purchasing process evaluation and solution proposition

| am deeply grateful to Thai Tuan Group Joint Stock Company for providing me with the opportunity to learn and grow in the position | aspired to.. LIST OF FIGURES Figure 1: Thai Tuan Gr

VIETNAM NATIONAL UNIVERSITY HO CHI MINH CITY

HO CHI MINH UNIVERSITY OF TECHNOLOGY SCHOOL OF INDUSTRIAL MANAGEMENT

Rog

AND SOLUTION PROPOSITION

Instructor: Dr Duong Vo Hung

Student's name: Nguyen Quoc Bao

Student's ID: 2152422

Ho Chỉ Minh City - 2024

ACKNOWLEDGEMENT After two months of internship, | have come to a profound realization about the difference between what | learned in university and the realities of working life The time | spent as a purchasing intern at the company has taught me invaluable lessons,

both about applying the theories | learned in school and about the unwritten rules and nuances that only become apparent through hands-on experience

My heartfelt thanks go to Dr Duong Vo Hung, despite his busy schedule,

devoted significant time and effort to help me complete this report | extend my

gratitude to the Faculty of Industrial Management and the professors who have

passionately supported students in connecting with businesses and imparted their

invaluable knowledge

| am deeply grateful to Thai Tuan Group Joint Stock Company for providing me

with the opportunity to learn and grow in the position | aspired to A special thanks to

Mr Hiep, the General Administrative Director, for facilitating my entry into the company, and to Mr Sang, the Director of the Supply Department, who guided me in

my early days | am particularly grateful to Mr Vinh, my direct guideman, for his gentle

guidance and for correcting my mistakes during these brief two months The stories and

lessons he shared with me have left a lasting impact | also want to express my gratitude

to all my colleagues for their warm meals, cups of milk tea, and snacks Their kindness

made me feel like a member of a family

Given the limited time for this research, it is bound to be prohibited | appreciate

any feedback from my professor to improve this research and enhance my knowledge

and skills for the future

Ho Chi Minh City, August 202¢

Nguyen Quoc Bao

TABLE OF CONTENTS CHAPTER 1: INTRODUCTION .ceeceeeseeeeeeeeeeeaeeeeeeeaaesaeeeeeeeeaeesaeeeneeseaeeseeeneteeaes 4

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CHAPTER 2: THAI TUAN JOINT GROUP COMPANY INTRODUCTION .8

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V Distribution sysS†em - HH HH Họ ki 13 VI Vision, mission, and obj©CÏÏV@S LH TH nếp 13 VII Personnel of Thai Tuan Group Joint Stock Compary - cà cà eeeằ 14 CHAPTER 3: ANALYZE THE COMPANY'S PURCHASING PROCESS AND SOLUTION PROPOSITIONS SH HH TH HH HH kiệt 15 | Purchasing process of Thai Tuan Joint Stock Company ĂĂ.Ă 15 II Evaluate the purchasing process of Thai Tuan Joint Stock Company 20

III Find reasons for those bottlerieckS - - - + nhe 22 IV Propose solutions for those r@aSOnS Q HH HH HH» TH nhe 25 CHAPTER 4: CONCLUSION AND RECOMMENDATIONS 31

LIST OF FIGURES Figure 1: Thai Tuan Group Joint Stock Company << cành 8 Figure 2: Logo of Thai Tuan Group Joint Stock Compary .Ăằììiằ 9 Figure 3: Quality management certificaf@ - nhe 12 Figure 4: Distribution system in Viefnam - - cn nh 13 Figure 5: Personnel chart of Thai Tuan Group Joint Stock Company 14 Figure 6: Flow chart for purchasing goods and purchasing services of Thai Tuan

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Figure 7: Fishbone diagram for Qualify iSSUe Sàn» 22 Figure 8: Fishbone diagram for Schedule iSSUE - nhiệt 23 Figure 9: Fishbone diagram for Cos† ÏSSU@ - - nh nh kết 24

Figure 10: Purchase instruction sheet for Thai Tuan the Thai Tuan Supply Chain

CHAPTER 1: INTRODUCTION

| Rationale

The educational methodology of the Faculty of Industrial Management at Ho Chi Minh City University of Technology provides each student with a solid theoretical

foundation in their chosen field These skills enable us to understand the specialized

concepts and statistics relevant to our sector However, theoretical knowledge alone is

insufficient to meet the demands of the real world In today's advanced society, it is

crucial for students to gain practical experience alongside their theoretical education

This combination helps us better understand how to perform actual work and prepare for future careers

In a business setting, there is a clear distinction between theoretical knowledge

and practical application Recognizing this, universities have begun to implement practical survey programs, commonly known as "internships," to create optimal

conditions for students to quickly understand and integrate their knowledge, enhancing their learning and performance

Internship programs offer students a fresh perspective on the realities of the workplace and their chosen field, preventing future surprises and equipping them to handle new challenges at work These activities give students the opportunity to work

in large organizations, opening up promising career opportunities In the age of globalization, the use of technological devices is increasingly prevalent To meet consumer demands, it i s essential to continuously refine these technologies and ensure

their quality

In a manufacturing company like Thai Tuan Group Joint Stock Company, the purchasing position plays a critical role in ensuring smooth operations and maintaining product quality Effective purchasing helps secure high-quality raw materials practices

at competitive prices, which directly influences the production process and the final product Poor purchasing decisions can lead to delays, increased costs, and subpar products, ultimately affecting the company's reputation and profitability Therefore,

gaining practical experience in the purchasing department is invaluable for understanding how to optimize procurement strategies, manage supplier relationships, and contribute to the overall success of the company

Il Objectives

The objective of this internship is to provide students with exposure to a real working environment, allowing them to ob serve and understand the professional requirements of their field This experience helps students recognize their strengths and weaknesses, enabling them to improve and prepare for future employment

Additionally, students can apply the knowledge and experience gained during the internship to identify areas for improvement within the host company and propose practical solutions in their subsequent projects and Capstone Project

| chose the topic "Thai Tuan Purchasing Process Evaluation and Solution

Propositions" for this internship because it is an effective means of ensuring the quality and efficiency of procurement processes In this report, | aim to achieve the following

three goals:

e Describe the step-by-step process in the purchasing department

e Analyze the problems encountered in the process

e Propose recommendations to improve the process

department: from the beginning of Requestin department to

transferring goods into the warehouse

Apply knowledge learned at university and knowledge contained at the

company to complete

assigned tasks

Directly experience the

purchasing process at th company to find out

problems, causes and

work in the internship position to be done and be ab Understand the tasks

to apply what has

been taught to work, thereby being able to

evaluate the level of

training effectiveness

as well as the attitud¢

of the students finding the causes of In the process of workin

bottlenecks and resolvin

them is the ultimate goa

of the learning process

This measures the effectiveness of universi teaching, and determine whether students are qualified to graduate

Supply Department (Domestic purchasing position) at Thai Tuan Gro

Joint Stock Company

Read and understand t

company's process |Complete assigned

Understand company |tasks Actively rules and regulations |Support colleagues ir How |Receive guidance fromtheir work Do not

the company cause any mistakes q

Communicate with the |inconvenience to the

direct supervisor at the|company

internship location

Table 1: Internship plan

Conduct theoretical research and evaluate practical work at the

workplace Ensure the

applicability of the research Consult with

Chapter 2: Thai Tuan Group Joint Stock Company introduction

Chapter 3: Analyze the company's purchasing process and solutions proposition Chapter 4: Recommendations and conclusion

CHAPTER 2: THAI TUAN JOINT GROUP COMPANY INTRODUCTION

I Introducing the business

am lăn Figure 1: Thai Tuan Group Joint Stock Company

Company name: Thai Tuan Group Joint Stock Company

Chairman of the Board of Directors and General Director: Mr Thai Tuan Chi Trading name: THATEXCO

Main industry: Production and business of Textile and Garment industry

Trade name: Thai Tuan fabric

Head office: 1/148 Nguyen Van Qua, Dong Hung Thuan ward, District 12, City Ho Chi Minh

Tel: (028) 38591904

Website : http://aodai.thaituanfashion.com/ ; http://aodai.thaituanfashion.com/

Facebook: https:/Avww.facebook.com/ thaituangroup /

Company logo:

Figure 2: Logo of Thai Tuan Group Joint Stock Company History of formation

Established in late December 1993 operating in the commercial field Since

1993, the founder of the company realized that the demand for Vietnamese traders was huge, including the need for imported fabric and yarn production every year in the difficult economic conditions of our country From there, the founder decided to

establish a company and officially plunge into the market

As the company begins operations, it becomes clearer that Vietnam can also

produce high-quality products such as imported products, as well as quality products to serve Vietnamese consumers

Some development milestones of Thai Tuan Group Joint Stock Company:

December 22, 1993: Established company

1996: Investment in workshop 1 of Textile Factory 1

1997: Investment in Dyeing Factory

1998: Developed showroom system in Ho Chi Minh City

1999: Investment in workshop 2 of Textile Factory 1 Opened a Thai Tuan

branch in Hanoi

2000: Opened Thai Tuan branch in Da Nang

2001: Investment in Textile Factory 2

2003: Opened Thai Tuan branch in Can Tho

2004: Established fashion center Investing in a Garment Factory

2006 - 2007: develop more showrooms

Thai Tuan Showroom system

419 Hai Ba Trung, District 3, Ho Chi Minh City

Currently, the product is widely consumed throughout the market and

nationwide Products are distributed in Ho Chi Minh City, the East, the West, the Central region, in which Ho Chi Minh City has high consumption capacity

Ill Business field

Thai Tuan Group Joint Stock Company, operating in the field of fabric and fashion clothing production, is known as one of the textile and garment enterprises providing fashion products and services Top in Vietnam

Established at the end of 1993, Thai Tuan constantly strives in its production and

business activities from investing and building textile factories, workshops, and dyeing

factories to establishing and developing branches, showroom system, time center and sewing workshop Up to now, Thai Tuan has 3 branches, 8 showrooms, more than 300 agents and over 3,500 distribution factories spread evenly across the country

Along with the investment in expanding production and business activities is the

strong development of facilities, machinery and equipment and especially the increase

in human resources Besides enhancing the transfer of advanced technology from Japan

and Europe Thai Tuan focuses on developing human resources significantly, as shown

by the number of officers and employees of the company to date of about 1,300 people compared to the initial time of only 30 people

Recognized as one of the leading enterprises in Vietnam in the field of textiles

and garments, Thai Tuan Company has contributed to making the market more diverse and rich with many designs and product types

Some product brands of the company:

LENCII: high-end fashion brand exclusively for female students

MENTNT'S: high-end fashion brand exclusively for boys

Thatexco: Thatexco chiffon collection combines modernity and tradition

ROSSHI: a fashion brand with a gentle style for women

The products are known and trusted by many customers, especially high-end product lines such as Digital Printing, embroidery and silk In addition, Thai Tuan has

also just launched the high-end ready-to-wear fashion brand SILKI with family and streetwear designs for young and middle-aged girls

Thai Tuan Group Joint Stock Company is one of the leading textile and garment enterprises providing fashion products and services in Vietnam, specializing in

producing Jacquard woven fabric, cotton printed silk fabric on digital technology, monochrome silk, polyester, spandex, and viscose fibers With advanced technology

transferred from Japan and Europe

State commendation:

Third class Labor Medal

03 certificates of merit from the Prime Minister

02 certificates of merit from the Ministry of Finance

01 certificate of merit from the Ministry of Trade

04 certificates of merit from Ho Chi Minh City People's Committee

05 certificates of merit from the Director of Ho Chi Minh City Department of Industry

Many certificates of merit and certificates of merit from agencies: District 12

People's Committee, Ho Chi Minh City Labor Federation,

Social insurance

Social honors recognize:

"Vietnam Gold Star" awarded by the Council of Young Entrepreneurs

High quality Vietnamese goods for 8 consecutive years (1999- 2006), one of the

leading units in Vietnam's textile and garment industry

@ 06 gold medals for Brocade fabric quality

“Unit with high quality products” voted by readers of Dai Doan Ket newspaper

11

e "Unit with the most popular products" voted continuously by readers of Muc

Tim newspaper for 3 years 1998- 1999- 2000

Thai Tuan Textile and Garment Company and major awards in October 2007

On October 4, 2007, Thai Tuan Textile and Garment Company was honored to

receive the award "Top 10 Typical Enterprises in the Textile and Garment Industry in 2007" organized by the Vietnam Textile and Apparel Association VITAS in

conjunction with the Saigon Economic Times position The award is voted based on

very strict and prestigious criteria in Vietnam, and has been highly appreciated by foreign business travelers in recent times Consecutively in the early days of October, Thai Tuan was honored to receive two more awards

Systems Certification

Giấy chứng nhận

Công (y 'FNHH Đệt May Thái Tuấn

1/145 Nguyễn Văn Quả |'huờng Đóng lưng Thuận, Quận (2, Thánh phú HỦ Chí YIIsh, V liệt Nam

| bia K› Am“: sa vác sưng vỗ 2x (Ìnn Seon Soe wate xẾY vn co Bé =c se

"1 "sẽ

1SO 9001:2009

P Sex + te ng c n Bà hông sướn: lý chân «ng

Son A+tá1 và cứng cấp vải thành phiêu tay mặc (rên thấy đột kiếm, máv địt thọi, mấy đùi

khíyk máy độc nước, sét đụng cơ củu đệt lacqssrd hay Êobâyy

V Distribution system

Chi nhánh Đà Nẵng Bhat es PA, TU

Trung tâm KD Thương mại (TP.HCM)

Chỉ nhánh Cấn Thơ

ssm=ễsnm

7

Figure 4: Distribution system in Vietnam

VI Vision, mission, and objectives

Vision: Become a leading group providing fabric products and fashion services

in Asia

Mission: Committed to providing products and services that satisfy customer

needs, constantly improving and being creative in production to maintain the brand

"High quality Vietnamese goods"

Objectives:

In production: Take quality as the criterion

In business: Mutually beneficial cooperation

Regarding foreign affairs: Put trust first

Customer: Is the existence of the Company

Vil Personnel of Thai Tuan Group Joint Stock Company

Deputy General Deputy Genera Deputy Ganeral | stand ne Deputy Genera Deputy General

Department Denadmant ne Phuoc Long) en Department Deparment Sik Business Cenval Region & Garment Export Infermeter Accounting Produc: ASD

1 spervscry Boerd na Southeast Retail Business Tedrieoy Deperrmai Canter

Indusirisl Fabric International Business Deparment

Department

Sales Department

Evaluation

Committee

F— Er®rg/ Corrnitee

B

Figure 5: Personnel chart of Thai Tuan Group Joint Stock Company

Thai Tuan operates under a streamlined organizational structure to ensure

efficient management and operation The company is divided into several departments,

including production, sales, marketing, human resources, and purchasing Each department is responsible for specific functions that contribute to the overall success of the company

14

CHAPTER 3: ANALYZE THE COMPANY'S PURCHASING PROCESS AND

SOLUTION PROPOSITIONS Purchasing process of Thai Tuan Joint Stock Company

8 Assigned personnels Requests) ' Other Goods: 6 days

8 Board of Directors <q Approve è ' 2 days

= | Board of Directors of authorized purchasing Disagree Noid, ! ose supplies ae

“ Board of Control , %2 eck and SS eke Cor Proposal { ' 0nLO) Approving: | days DOẠYG CHỢCKS, ý CA

° Board of Directors of Supply Department , Domestic goods availabl: 3 days

a ard of Directors of authorized purchasing Ba : Imported goods: 60 days

' ' ' Purchasing staff Peto | nex parm '

oO s W arehouse keeper rarel se keene: : ' :

8 Purchasing staff has} yy File irformetions ) ‘

Figure 6: Flow chart for purchasing goods and purchasi

company

Step 1: Make a request to purchase goods/services:

a) Make a request to buy goods:

Make purchase requests according to plan:

ng services of Thai Tuan

e Stationery and necessities: periodically on the 20th of every month, the HCMC Department assigns personnel to open proposal forms for stationery and necessities on the software program

e Other types of goods: periodically 1 month /1 time, from the 22nd to the 28th of each month

Make unexpected purchase requests (unplanned)