Visit report to heineken course management

During the visit, we had the opportunity to learn about the development process and production process according to modern technology of Heineken Brewery.. History of Heineken Vietnam Br

HO CHI MINH CITY UNIVERSITY OF FOREIGN LANGUAGES AND

INFORMATION TECHNOLOGY

FACULTY OF INTERNATIONAL BUSINESS ADMINISTRATION

VISIT REPORT TO HEINEKEN

COURSE: MANAGEMENT

Group members

Tran Hong An - 21DH123055 Nguyén Nhu Ngoe - 21DH123522 Nguyễn Thị Thanh Trúc - 21DH123011

Phạm Ngọc Trang Anh - 21DH483434

Trinh Thi Dung - 21DH123077

Nguyén Ngoc Bang Tam - 21DH122670

Nguyễn Ngọc Dao - 21DH123489

Lé Ngoc Bao Tran - 21DH122791 Duong Thi My Duyén - 21DH123081

HCMC, April/2022

Lecturer’s comment

VISIT PURPOSE First of all, better understand the brewing process of hetneken Besides, we were also introduced to a new position of Heineken coming to the market And this is also an opportunity for us to experience reality at the business, stick to reality and have the opportunity to apply the accumulated knowledge while sitting in school During the visit, we had the opportunity to learn about the development process and production process according to modern technology of Heineken Brewery In addition, we also have the opportunity to talk directly with company representatives about many issues related to products as well as business models, marketing activities, and market development here This field trip proved to be extremely meaningful, providing a close look at the actual working environment in the future

Introduction of Heineken 1.1 History of Heineken Vietnam Brewery Co., Ltd

HEINEKEN HEINEKEN VIETNAM BREWERY

The Heineken beer brand was officially born in 1873 in Amsterdam, the Netherlands, after the process of formation and development, became a famous global beer brand, considered the most successful beer brand and a symbol of the world in the beer industry around the world

In Vietnam, Heineken Beer with full name is Heineken Vietnam Brewery Company Limited, abbreviated as Heineken Vietnam Brewery, was officially established on December 9, 1991, is a joint venture between General Saigon Trading Company (Satra) (40%) and Asia Pacific Breweries Ltd, now Heineken Asia Pacific Pte Limited (HEINEKEN Asia Pacific) (60%)

Heineken Brewery in Vietnam has an area of 12.7 hectares located in Thoi An Ward, District 12, Ho Chi Minh City Ho Chi Minh, is one of the most modern breweries in Southeast Asia today Head office is located at Floor 18 & 19, Vietcombank Tower,

No 05, Me Linh Square, Ben Nghe Ward, District 1, HCMC

After 30 years of establishment and development, up to now, Heineken Vietnam Brewery Co., Ltd operates 6 breweries in Hanoi, Da Nang, Quang Nam, Ho Chi Minh City, Vung Tau, Tien Giang and 9 offices chambers of commerce throughout Vietnam With about 3,500 employees, the company has been creating 183,000 jobs in the entire system chain across Vietnam

1.2 Products of Heineken

a Heineken

- Heineken's Credentials campaign aims to bring the message of "Unchanged Perfect Taste Since 1873" to consumers as a milestone marking the love of customers for Heineken over the past 140 years

- Each drop of Heineken beer is made with four main ingredients: purified water, barley, hops, and Yeast A — an important ingredient in creating a rich taste and delicate aroma that only Heineken can Together with the unique technology of brewing beer

in horizontal tanks for 28 days, it has contributed to the perfectly balanced taste of Heineken

|

Heineken

a") _ }

2 “ vZ ra

\G ov⁄2

a

b Tiger

- In 1932, the first batch of Tiger beer was born to the joy of the founders with a mission to "introduce the quintessence and vitality of Asia to the world" through a flavorful beer and top quality Today, Tiger is one of the biggest beer brands in the world, and Vietnam is one of Tiger's most beloved markets

- Each bottle of Tiger beer has to go through a rigorous production process and is the quintessence obtained from the best ingredients, such as barley grown in Australia and Europe, and hops from Germany These premium ingredients are combined and brewed according to a unique recipe to create a unique flavor

c Vietnamese beer

- Heineken's product portfolio includes Vietnamese Beer

- Inspired by the colorful Vietnamese culture spread across 63 provinces, Bia Viet was created to honor each of its own cultural values as well as the spirit of cohesion among

54 ethnic groups

- With the symbol ofa bronze drum, the image of a lost bird, combining a modern, design style with the interweaving of red, gold, and silver colors, Bia Viet is proud to bear the mark of the common identity of all Vietnamese people - | beer taste for all Vietnamese people

d Larue

- Larue beer was first produced in 1909 by a French brewer named Victor Larue This

is the product of a delicate blend, bearing the typical flavor of more than 100 years of French beer tradition

-With an eye-catching dark yellow color and a refreshing aftertaste thanks to premium ingredients and European brewing know-how, Larue beer has been asserting its premium quality since 1909

» `

e Strongbow

-Strongbow: GOLD APPLE flavors, followed by RED BERRIES and DARK FRUIT -Other flavors around the world: Rosé (Red Apple), Original Dry (Dried Apple), Cucumber & Mint (Cucumber & Mint), Elderflower (Elder Flower), and Honey (Honey) Strongbow Gold Apple and Red Berries also have a 0.0% alcohol content

f Edelweiss

-Born from the Alps - Austria, Snow Beer - Edelweiss is an artifact inheriting a long tradition of brewing since 1646, premium wheat beer with natural ingredients, pure water from the snowy mountains with natural herbal ingredients from the Alps -Snow Beer-Edelweiss will awaken all your senses in the journey to experience a different delicious micro beer from the first sip to the last drop Snow Beer — Edelweiss was launched In the Vietnam market with the desire to bring consumers an extremely new and exciting experience as if you were taking a deep breath to feel the fresh air from the mountain range Alps, and also feel the purity, refreshment, and freedom to immerse yourself in the majestic nature

B

2, Our visit to Heineken in chronological order

7:00 - we gathered at Coopmart supermarket center

7:15 - Team-leader took attendance and called those who had not arrived as well as contacting the driver responsible for transporting us to the factory

7:25 — The driver came to pick us up and at this time he gave us a sheet of paper to fill

in our names The number was enough, and we set off

8:35 - We went to the factory in Vung Tau and spent 5 minutes contacting the representative for the tour guide

8:45 - we were brought into the factory and the first place was the waiting room We take a 15-minute break to drink water and go to the toilet

9:00 — we dress up the uniform and factory travel cards which staff give them We were introduced to the schedule which we would be visiting in a couple of minutes 9:05 - we lined up and were led by the sisters to tour from the distillery a fermentation department (super cold) and we were only in about 5-7 minutes listening to the sisters introduce each part a packing/packing and shipping department (under maintenance so

we can only watch from above) => The total of time for 3 department approximately

40 minutes

10

9: 45 — we were led down and toured the outside of the factory The tour guides introduce us that in a few years this will be a green and environmentally friendly factory We were walking around, and it was very cool

9:50 — we went back to the office and were introduced to the leader as well as the director during the time the Heineken factory was established and developed like today

10:00 —We went to the rest room by elevator and here we were offered snacks and drinks of Heineken products We have 30 minutes to ask questions and related questions when visiting the factory

10:35 — We just ate and listened to answers The responses were very thorough And

we also check out and say goodbye

10:42 — we returned the cards and the clothes that were given out and moved down to the gate to get on the bus to leave

10:50 — we set off back to Sai Gon

11:16 — We stopped at the rest stop to go to the toilet

11:23 — We continued to set off

12:08 — we were at our university and the leader paid for the car fee And we say goodbye to each other and end the trip well

3 Lessons learned from the visit

* The production process

HEINEKEN Vietnam applies a system of modern production lines and techniques, always having a team of human resources to check and monitor the operation of machines to ensure the quality of each product

In addition, HEINEKEN Vietnam also creates value for the community in the production process by purchasing rice husks and agricultural by-products for brewing beer and reselling them to farmers for use in animal husbandry, they not only develops

a circular economy in its value chain, but also helps many farmers get rich

¢ Distribution strategy of Heineken

In Vietnam, Heineken has established a nationwide distribution system

In both directions, traditional channels (restaurants, pubs, bar clubs .) modern channels (supermarkets, convenience stores ), from retailers to main distributors This distribution method aims to cover the market and make it easy for consumers to find, willing to pay commissions to agents to keep Heineken's distribution channel and prevent the entry of other beer brands into the area where they dominate

¢ Human Resources

HEINEKEN Vietnam creates many job opportunities for the community through the Management Trainee Program - Heineken Vietnam Graduate Program (HVGP), Asia Pacific Graduate Program (APGP) for students Besides, also have Direct recruitment with many rounds of interviews

In recruitment programs, candidates have to pass many qualifying rounds with many rival candidates, so to become a full-time employee, you must be really excellent

It is also a convenient way for HEINEKEN to attract talented people to work With rigorous selection rounds to bring a high-quality human resource, HEINEKEN Group will be more and more developed and highly appreciated compared to rival

companies

4, Recommendation for improvement

a/ Regular performance reviews

This helps businesses easily verify product quality and labor productivity to quickly identify defects that need to be addressed to improve business processes

b/ Mottvation for improving the quality of employees

Encourage, reward and create many social conditions for good employees who are worthy of the effort they have invested in the business

c/ Build smart teams for maximum talent

Choose to bring together such talented employees so they can work on a project that best leverages their skills

d/ Encourage employees to speak up

Listening to employee opinions helps companies quickly identify gaps and

inadequacies that need to be addressed quickly and helps companies improve the overall performance of the company

Heniken company has 2 structural models: functional structure model and

geographical structure model

5 The strengths and weaknesses of the organization

a Functional structure model

The strengths

- Concentrating human resources with the same expertise to solve problems Accordingly, the work will be handled more professionally, accurately and

scientifically

- Those who do the work have the opportunity to rub and learn from each other to complement and improve their expertise

- Simplify traming

- Administrators can easily monitor and evaluate employee performance The weaknesses

- High potential for conflicts of interest

- Dispersing responsibilities of each individual and department

- Weakening the dynamics of individuals

b Geographical structure model

The strengths

- Making the most of resources and the market

- The management is more direct and convenient than the management from the corporation

- Easier access to consumer tastes

The weaknesses

- Itis easy to create inconsistencies with the corporation

Staff size needs to be expanded and costs are increased

Picture after the field trip

BREWING M1 |

{|_| QUI TRINH NAU BIA

jeturotion

Whirlpool! tơmaassse ip mall Ụ

1 b

ca 7 ( a

te s

Reference

Thịnh T (2021, January 18) HEINEKEN giúp nông dân hái tiền tý từ phụ phẩm, phế

phâm Báo Điện Tứ Dân Tri

14

https://dantri.com.vn/kinh-doanh/heineken-giup-nong-dan-hai-tien-ty-tu-phu-p ham-phe-pham-20210118103819228 htm

About Us (n.d.) https://heineken-vietnam.com.vn/en/about-us/

Biz Pa T T (2022, January 26) Qua trinh hinh thanh va phat trién cua Heineken tai

Viét Nam Thi Tring Biz

https://thitruong biz vn/qua-trinh-hinh-thanh-va-phat-trien-cua-heineken-tai-viet -nam-1325 html

Shastri, A (2022, October 28) Extensive SWOT Analysis of Heineken - Updated in

2023 | IIDE 7DE https://ide.co/case-studies/swot-analysis-of-heineken/ The HEINEKEN Company - Age Gate (n.d.)

https://heineken-vietnam.com.vn/en/our-brands/