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"The situation report and IT application planin management and business at MinhDuc Comercial and Transport Company Limited " The general introduction about MinhDuc Commercial and Transport Co., Ltd 1.1 The preliminary introduction  Company Name in Vietnamese: MinhDuc Commercial and Transport Co., Ltd  Company name written in a foreign language: Minh Duc Comercial and Transport Company Limited  The abbreviated company name: MINHDUC C & T CO., LTD  Company Headquarters: 10A2, Vuon Chay, Bac Son Ward, Kien An, Hai Phong  Telephone: 0313.676.019  Email: Minhducco2003@gmail.com 1.2 The process of formation and development MINHDUC C & T CO., LTD is the company organized and activated under the Enterprise Law The members of the company have the capital contribution, share the profits, losses corresponding to their contribution and be responsible only to the extent of their capital contributions The company has legal personality, independent economic accounting and economic autonomy in terms of finance, be responsible for business operations, has own seal and is opened bank accounts in accordance with law As established,a company based in 282, Lach Tray, Hai Phong The company had 17 employees In that, Mr Bui Minh Duc was the director -he is responsible under the law of the Company Initially, the Company is a medium enterprise, the business is always difficult, but so far the company has expanded and participate in many different fields, raising strongly Because of having members’s efforts of the company and the support of longtimecustomers, the company has been continuously developing and expanding the scope of business, having efficiency and high profitability compared with others in the same field On December 15th,2009 ,to meet business needs as convenient trading, company headquarters had been moved to No 10A2, Vuon Chay, Bac Son Ward, Kien An, Hai Phong 1.3 The business field The company’s establishment aims to carry out the objectives of production and business activities, creates jobs for workers, meet the market needs in the following areas:  Sales of supplies, equipments, metal parts, ordinary chemicals ,means of transport by sea, construction’s machineries  The import and export service and the entrusting one  Transport and freight services, passenger of waterway and roadway  Mechanical repair,the business of manufacturing and reparing casks becoming trailers, container pulling and means of transport The situation of analyzing IT application in MINHDUC C & T CO., LTD 2.1 The situation The quick application brings IT application into automatic process of production that is always a concerned matter because IT has a huge role in the economic activity, production ,business, sales, trade promotion, business management However, there are still many important questions around the above application Currently, MINHDUC C & T CO., LTD just invests a small cost- 0.05 to 0.08% revenue for IT, while in the U.S the average is 1, 5% Investment policy for IT business is still insufficient Most businesses just invest once for information systems and applications upgrade, so it not only is low investment but also its efficiency is lower The survey also showed that up to this time, in spite of having intinial awareness about the importance of IT, the exploitation of IT capacity deeply stops at small numbers It's no surprise that the most important programs, the most widely used in the enterprise is the financial management and accounting However, the IT application just meets only 80% of their requirements in work related to this field 2.2 Cause 2.2.1 The subjective reasons In fact ,the survey shows that it not really see the great benefits of IT, not familiar with business forms in e-commerce environment, there is no knowledge of IT with a strategic vision,so it does not have the needed attention Other issues related to the business is that they lack the knowledge and time to acquire knowledge, lack of management skills, fear of preferred growth and interested in short-term prospects, little outwardly , it means that they not see the signs of environment, until they can, it is too late; the weak financial capacity leads to low- investment,and there are no means of training workers in the company 2.2.2 The objective reasons IT environment is not conducive to the application of business, the technical infrastructure for the IT development is limited The legal system still does not insure the requirements of e-commerce So Vietnam Internet exists the problem such as: protection of property rights, the confidentiality of transaction information on the Internet, the sanctions for fraud, breach of contract, and method of calculating tax with e-commerce transactions have not been specified in the relevant legislation 3 The SWOFT analysis of MINHDUC C & T CO., LTD 3.1 The analysis of strengths o The company has revenues of the largest transport sector compared to the competitors o The geographical location of the company located in the city center that is favourable for the transaction, the providing services,and convenient transportation o The brand and reputation have been confirmed through nearly 10 years of operation o The enterprise management division has the creative ,effective and scienctific activities o The wide-network distribution in Haiphong o Lists of products, goods and services are diversified and strong o The team of marketing offer expert enthusiatically, richs of experienments 3.2 The weaknesses analysis  It mainly operates and focuses the products in the domestic market  The transport system has not innovation,and investment for shopping Many vehicles are old, inefficient for operations, but they have not been liquidated  Because of difficulties in business, the company is forced to downsize its business in the field of repairing vehicles  The advanced of scientific and technical progress in the company has not been updated and improved 3.3 The analysis of opportunities  The preferential policies of the State about the trading and transportation  When entering WTO: the expansion of market, of business, learning experiences, improving the competitiveness  The transportation system is being invested, modified serving for the needs of life, convenient for transportation services, providing means of transportation  The demand for transportation services is increasing 3.4 The analysis of challenges  The imported-prices of vehicles increasing makes the speed of consuming in market significantly reduced, the fake ones appear more  The unstable economy: recession, inflation are at the high level,  When entering WTO: appear more competitors  The political situation in the world is more unstable Individual Assignment – Management Information System Compared to competitors in the commercial transportation field Competitors The MINHDUC C & T CO., LTD comparison DUYENHAI MULTI-MODAL AND TRANSPORTATION COMPANY HAIPHONG C&T CO., LTD criterias The level of known About 65% Hp’s consumers Almost consumers in products, know the products and market know products services services of company (80%) products provided The quality os products and The quality os products and services is company The quality os products and services is good ,it meets good of services is good ,it meets the the demand of consumers The distribution systems, consumers The distribution systems, dealers, demand of consumers The distribution systems, dealers, businesses, businesses, branches of company are dealers, businesses, branches branches of company are located in the wide-area of Haiphong of company are maily located businesses, branches mainly Its scale is very large in the ports of HP, DoSon, The staffs Haiphong’urban Enthusiastic, dynamic Strong professional, enthusiatic KienAn Enthusiatic, responsibilities Facilities Meet the job’s requirements goods and customer service The quality of products and services 3.The systems, distribution dealers, which located are in ,it meets the the Haiphong demand and Be modern ,always be invested and innovated About 70% consumers in Haiphong market know the and services of having Meet the job’s requirements Individual Assignment – Management Information System The analysis of the experience and the lessons of IT application of other businesses in and out the country 5.1 For domestic enterprises According to Ms.Tran Thi Thai - vice president of Dong Thap province, has shared valuable experiences as follows: "to apply IT effectively, it must to know what need to provide, who used objects, in others words, it must be based on the needs of the consumer to provide services Then, it needs to prepare a telecommunication infrastructure connecting computer’s networks together, and popularize IT knowledge to people, so they can use the services that the state,province provide for them" According to Ms,Thai, an important factor contributing to the success of the provinces and remote areas such as Dong Thap province is the way of conducting by way of one by one That is, what province can invest, which gives the effectiveness immediately or resource capabilities, provincial officials can be willing to provide what they would first, what is invested to spread without high-effectiveness, it will be invested later According to Director of Traditional Medicine Hospital Central -Tran Quoc Binh, the most important of the IT application is determined by the leader Because the head of the agency will resolve the issues of investment, human resource training, as well as the issues of promoting the application and development of IT to be ready, to create a financial environment as well as work more transparent "In the near future, the hospital will conduct the plan of remote training for the hospital under the province from Lang Son Province to Ca Mau If the project of IT connection has good result, we want to connect the 10 ASEAN countries on traditional medicine, with the aim of exchanging experiences between the countries together, "Binh said 5.2 For foreign enterprises Mr.Hek Oktavian Erison, CIO of PT Sierad Produce Tbk (Indonesia) argued that the most important strategy for IT applications is the human strategy With the good personnel or human resources, it can have a ability to implement IT effectively He said: Individual Assignment – Management Information System In our unit, we not hesitate to use personnel matter at any age, that is, any age group may also be promoted to management positions as long as they are people who understand IT and have IT capabilities Learn the IT application solutions in the transportation firm 6.1 Investment for the IT This solution refers to the initial business’s investment of IT basic equipments including: hardware, software and manpower The level of equipment "basic" can be not homogeneous, however, it needs to achieve the required number of technological infrastructure (hardware & software) with fully equipped to deploy some business’s routine applications such as computer equipment, set up the LAN, WAN, Internet connection settings, environmental communications among offices or partners; Individual Assignment – Management Information System 6.2 Enhance the application of management and operations The goal of this solution is that IT investment aims to improve the performance, support for functional parts of the business, specific for the activities of functional departments or work groups as assigned This is a natural development solution for most businesses, because the volume of informations be handled increase, and having the necessary skills for IT application in the previous periods 6.3 The overall application to improve the production capacity The IT infrastructure needs the wide-area network covering business,it makes sure the information flows smoothly flowing among the parts, the intergrated software and database providing for all company are the leading tool supporting to the management and operation; it implements the comprehensive solutions to help companies changing the internal quality management, to improve management capacity and efficiency and increase the competitiveness 6.4 Investment in IT to transform business, international competition IT investment for products and services creates the cost advantages to make up the difference, and other products are suitable with the competitive strategy of the business Currently, the business issues in the Internet age, more specific is the use of technology and the Internet service business, have a decisive role: building an Internet to share information within the enterprise, to connect and share with the source of informationselection with partners, suppliers, customers, Use the Internet forms the e-commercial relationships as B2B, B2C and B2G Strategic IT applications and e-commerce company from now to 2020 In general, the IT application in the company over time is just spontaneous, purely is based on sentiment, it has no system and lacks of the long-term strategy It aims to promote the high-effectiveness of IT application in production and business activities, helps business to develop more comprehensive in the future, managers need to build for Individual Assignment – Management Information System yourself a long-term strategy of the IT use in the unit In addition, there should be a reasonable investment ratio between hardware infrastructure, software , network ones and IT human resources, it increases the use of software to fully exploit the hardware infrastructure and the systems of computer network invested by business The action plan and specific targets Step 1: Exploiting the huge change It means the person in charge of IT applications has to get rid of personal pride, to share the benefits of IT to other departments in the company.It must know to catch and exploit the growth speed of IT Step 2: Moving from oneself to the economy-linking This means that business needs to find partners for the development of IT, it aims to give more, quantity and quality of the engineering team Establishing the international coalition develops the standard for products and services Step 3: From the single approach to the holistic approach The transnational economy creats more intense competitive Previously, the competition largely based on the price factor, because the competitors basically are domestic and quality of their products is only equivalent Nowadays, the competition, apart from the price factor, it needs the speed, quality and functionality 10 Individual Assignment – Management Information System TABLE OF CONTENTS The general introduction about MinhDuc Commercial and Transport Co., Ltd 1.1 The preliminary introduction 1.2 The process of formation and development 1.3 The business field 2 The situation of analyzing IT application in MINHDUC C & T CO., LTD 2.1 The situation 2.2 Cause 2.2.1 The subjective reasons 2.2.2 The objective reasons 3.The SWOFT analysis of MINHDUC C & T CO., LTD 3.1 The analysis of strengths 3.2 The weaknesses analysis 3.3 The analysis of opportunities 3.4 The analysis of challenges 11 Individual Assignment – Management Information System Compared to competitors in the commercial transportation field .6 The analysis of the experience and the lessons of IT application of other businesses in and out the country .7 5.1 For domestic enterprises 5.2 For foreign enterprises Learn the IT application solutions in the transportation firm 6.1 Investment for the IT 6.2 Enhance the application of management and operations 6.3 The overall application to improve the production capacity 6.4 Investment in IT to transform business, international competition Strategic IT applications and e-commerce company from now to 2020 The action plan and specific targets 10 TABLE OF CONTENTS 11 REFERENCES [1] Lesson: Doctor of Philosophy Nguyen Van Thoan 12 Individual Assignment – Management Information System [2] The benefits of IT applications in the enterprise - Youth Publishing House - Author Huynh Bich Ngoc in 2011 [3] The secret of success in business – Statistics Publishing House - Author Trinh Duc Binh, Nguyen Xuan Khoa, 2010 [4] E-Commerce Curriculum - National Publishing House, 2011 [5] www.tinhoctre.com.vn [6] www.tailieu.vn [7] Others related references 13 ... provide services Then, it needs to prepare a telecommunication infrastructure connecting computer’s networks together, and popularize IT knowledge to people, so they can use the services that the... is determined by the leader Because the head of the agency will resolve the issues of investment, human resource training, as well as the issues of promoting the application and development of... the business Currently, the business issues in the Internet age, more specific is the use of technology and the Internet service business, have a decisive role: building an Internet to share