Quản trị chất lượng trong chuỗi cung ứng thịt gia súc, gia cầm ở việt nam tt tiếng anh

1 INTRODUCTON The urgency of the reseach topic Today, in order to achieve the target of ensuring the quality of output products and increasing the competitiveness of commodity supply chains (SCs), it is necessary to establish and organize the supply chains according to certain links and focus on deployment quality management (QM) practices in and out of the chain In that context, current studies on QM are not only focused on the scope of research of QM practices within an independent organization, but also which is tending to shift and expand the scope of research into the supply chain of the organizations In Vietnam, in recent years, although the trend of forming and developing of SCs in general and livestock and poultry meat SCs in particular under certain forms of association and structure has been inevitable, contributing to supply a certain amount of quality, hygiene and safety food to the market However, the number of SCs formed and managed in a methodical, safe, effective and successful way in our country today is not much In particular, many chains after forming are facing many limitations and difficulties of traditional consumer habits and behaviors of Vietnamese consumers On the contrary, in addition to the well-organized and associated SCs, the majority of livestock and poultry meat in Vietnam is now supplied through small business units, lack of association between stages in the product supply process and not guarantee the quality of output products Therefore, the topic "Quality management in the livestock and poultry meat supply chain in Vietnam" is a research with practical and urgent significance in the general trend of the development of commodity SCs and QM in SCs, as well as the actual context of production and business of livestock and poultry meat in Vietnam today Overview of research situation a) Overview of foreign studies * Overview of research on quality, QM in general and QM in food production and business in particular In general, in the new trends of modern QM, the objectives and practices of QM are not only about product quality and technical management activities Instead, the meet to the needs of customers in the market in general or the requirements of the organization's imprortant customers and stakeholders requires that QM change and expand of management objects from products to resources, operational processes and the management system This was reviewed of some the reseachs and the approach ways of GM by the time, representative such as: JM Juran (1951), Kaoru Ishikawa (1988), Tilman Becker (1999), Karen Brunsø cs (2002), Pieternel A Luning and Willem J Marcelis (2007) and ISO 9000 standards - versions in recent years * Overview of the research on quality management in the SC and food SC The development of commodity supply chains and supply chain management is clearly a research topic that has received a lot of attention recently In particular, a number of studies focused on the quality management in supply chain From the overview of studies, the author synthesizes two main approaches in the QM studies in supply chain as follows: The first approach, based on SC management, studies reviewing the QM as an independent functional aspect can integrate with SC management Under this approach, the term supply chain quality management (SCQM) was started in two decades with some scholarly researches on content and somponents of SCQM Some typical examples are: Gyaneshwar Singh Kushwaha and Deepak Barman (2010), Ana Cristina Fernandes et al (2014), Carol J Robinson and Manoj K Malhotra (2005) In addition to the above approach, there is another fundamental approach to QM in SC mentioned in recent studies around the world It is a direct approach to the QM of each member unit in the relationship and correlation with other members within the SC, for example: Wijnand van Plaggenhoef's research ( 2007), Brigitte Petersen et al (2014, Jon H Hanf and Agata Pieniadz (2007), Csaba Berde and Miklos Pakurar (2002), J Han et al (2006), Schulze Althoff et al (2005), Lang and Petersen (2012), Brinkmann et al (2011); In addition to the above theoretical studies, there are also a number of studies on practical aspects and practical experience in implementing QM of some specific CCUTP such as: Research by John Spriggs et al 2000), MD de Barcellos et al (2006), Jacques Viaene and Wim Verbeke (1998) It can be seen that, in general, in the industry of agriculture and food, the aspect of supply chain management as well as QM in the chain are also the topics that have been interested in research for a recent decade As Ludwig Theuvsen et al (2007) summarized: “Issues of coordination among actors in food supply chain will have a great influence on QM activities in the whole chain However, there is not really much research focusing on quality management in food supply chain While some studies focused on the technical quality aspects of the chain's QM, others focus on models related to information systems and quality communication activities in the chain the methodology on coordination between actors in the chain or studies on the effect of chain linkage mechanisms on the coordination of quality management in the chain” It can be said that this is the most general statement, showing a comprehensive review of the world's studies on quality management in food supply chain in recent years b) Overview of studies in Vietnam * Overview of research on quality, QM and food QM According to new research trends on quality and quality management in recent decades, quality and quality management of food is one of the topics that receive a great attention from researchers In particular, in addition to the research focusing on technical aspects, many other studies focus on the practice of building, applying, and implementing quality management models in food business, such as ISO 9000, ISO 22000, HACCP, VIETGAP / GAHP, GLOBAL GAP, BRC Some studies were reviewed by authors such as Tran Khac Thi et al (2013), Dang Thi Be (2013), Nguyen Van Giap (2015) * Overview of the research on quality management in the SC and food SC In Vietnam, in the situation of the food pollution has become more serious and the situation of unassurent quality and food hygiene of many food in many places, the problem of food quality management and food chain management is receiving great attention not only from researchers, business and Government In particular, the research on QM in SC in Vietnam focus mainly on a number of topics such as: Researching technical factors and internal QM on each stage of food SC such as: Vo Thi Thanh Loc (2006), Nguyen Doan Khoi (2011); Research and propose solutions, models to build and develop SCs in the direction of ensuring quality and food safety, such as: Do Thi Ngoc (2011), Truong Dinh Chien (2015), Dinh Van Oanh (2015), To Duc Hanh (2015), An Thi Thanh Nhan (2016), Le Thi Minh Hang (2017) c) Some conclusions from the overview of the studies and identifying research’s gaps From the overview of the above-mentioned research situation, it is seen that: The development of the quality management in general and the quality management in food business in particular are showing certain change trends: Firstly, quality management does not only focus on product quality and technical activities, today the organization's quality management cover functional activities to manage the factors, process and the whole system, aiming to meet the requirements of customers and stakeholders Secondly, in the new context, with the increase of links in busines, contributing to the formation and development of organized and linked supply chains Quality management must change from the scope of managing activities of individual production and business to the trend of coordination and quality control along the chain or on links of chain In Vietnam, when the development of food chain’s links is still at an early stage, there have not been many studies and research approaches to exploit this topic A number of studies that have been conducted have been approached in a number of research directions focusing on such aspects as: Researching and managing technical factors to ensure quality on each stage of SC; Studying and building chain models towards quality assurance and food safety for commodity SCs In particular, for the meat industry, through the review process, it can be seen that it has not studies have based on the QM activities of a unit in the SC context, especially is the QM coordination among members in livestock and poultry meat SC This is a research gap that the thesis aims to continue to expand the approaches in quality management in supply chain, associated with the development activities of livestock and poultry meat SCs in Vietnam Research purpose and tasks Research purpose: Proposing solutions and recommendations to enhance QM activities in the SC of members participating in the livestock and poultry meat SCs in Vietnam, orienting to phase until 2025, vision to 2030 The research tasks include: (1) systematizing theoretical foundations to establish the content of QM practices in the livestock and poultry meat SCs; Studying practical experience of QM in some successful the livestock and poultry meat SCs in the world to learn the lessons for the livestock and poultry meat SCs in Vietnam; (2) Research, analyze and assess the current status of QM in the livestock and poultry meat SCs in Vietnam based on the established theoretical research contents; (3) Proposing some solutions and recommendations to enhance QM practices in the livestock and poultry meat SCs in Vietnam in the coming time Research subject and scope Subject of research: is the theoretical and practical issues of QM in the SC of members participating in the SC of livestock and poultry meat industry in Vietnam Some scopes of research: - The scope of object and the research’s approach: (1) Focus on fresh pork and poultry products in Vietnam; (2) Focus on QM practices in SC in the micro-approach of the unit; (3) Research focused on the main actors that owning product lines and create major added value for the SC of livestock and poultry meat industry, such as breeding, slaughtering, distributing livestock and poultry meat products - The scope of space: Focusing on SCs formed and operating stages from breading to retail in the territory of Vietnam; The reseach not consider import and export products related meat - The scope of timing: The topic collected data and statistics in recent years (20142019); The solutions and recommendations for orientation to 2025, vision to 2030 Research method - Secondary data collected from: Statistical information and data on livestock and poultry meat production and consumption in Vietnam are provided and published by the General Statistics Office; State agencies and statistical databases of localities in Vietnam; The reporting on the development of livestock, slaughtering, processing and retailing of livestock and poultry meat industry from functional ministries and locals; The reports of research projects, projects and research programs of state agencies ; Legal documents expressing policies, planning, regulations of the State relating to business and management of livestock and poultry meat products; Information about production and business of livestock and poultry meat is posted on the websites of businesses and official newspapers in Vietnam Primary data are collected through two methods: - Interview method: Used to clarify the contents: (1) "Suggest the criteria for measuring the content of practices and results QM in the livestock and poultry meat SC"; (2) "Expert opinion on orientation the model and solutions of QM in the livestock and poultry meat SC in Vietnam" (3) “Gathering information on three case studies, including: Chicken Breeding Association of Soc Son Hill, Centralized slaughter system of Thinh An Joint Stock Company, VISSAN Vietnam Animal Husbandry Industry Co., Ltd " - Survey method: through 287 questionnaires processed and analyzed data Subjects of the survey are the organizations participating in various stages in the livestock and poultry meat SC in Vietnam, from breading to retail, concentrated in the localities, such as: Hanoi and Ho Chi Minh City, Ha Nam province and Dong Nai province New contributions of the thesis In theory: The thesis has contributed to forming a basic theoretical framework of quality management in food SC in general and livestock and poultry meat in particular, expanding the scope of theoretical research from quality management of independent organizations to the context of integrated quality management of members along the supply chain On the basis of systematizing important theoretical bases on quality, quality management and quality management in food SC, the thesis has determined the basic contents of QM in livestock and poultry meat SC, including: (1) Supplier Quality Management; (2) Quality management of internal factors and processes; (3) Quality management according to customer orientation;(4) Quality management links and coordination in SC From here, the thesis has synthesized and established the criteria for measuring QM activities and the results of the QM of the units in the livestock and poultry meat SC In practice: Firstly, through studying the experience of QM in livestock and poultry meat SCs of some countries in the world, the thesis has drawn six lessons that can be referenced and applied in QM in livestock and poultry meat SCs in Vietnam Secondly, through the data collected from the three case studies and the survey data of units at different stages in the livestock and poultry SCs in Vietnam, the thesis describes a situation from specific to overview of the activities and results of QM of units in livestock and poultry meat SCs in Vietnam The thesis has pointed out the advantages and disadvantages in QM in the SC of the units, and at the same time analyzed the objective and subjective causes as a basis for proposing solutions Finally, based on an overview of forecasts about consumer trends and behavior, trends in production and business activities and QM as well as the impacts of macro management strategies and policies to QM of units in livestock and poultry meat SCs in Vietnam, the period to 2025, vision to 2030, the thesis has proposed five groups of solutions and two groups of ecommendations on policies and State management Structure of the thesis In addition to the introduction and conclusion, the thesis is structured into 03 chapters: Chapter 1: Theoretical and practical background on QM in the livestock and poultry meat SC; Chapter 2: Situation of QM in the livestock and poultry meat SC in Vietnam; Chapter 3: Solutions and recommendations to enhance QM in the livestock and poultry meat SC in Vietnam CHAPTER 1: THEORETICAL AND PRACTICAL BACKGROUND ON QUALITY MANAGEMENT IN THE LIVESTOCK AND POULTRY MEAT SUPPLY CHAIN 1.1 Some basic theoretical issues of quality, quality management and supply chain 1.1.1 Overview of quality and quality management 1.1.1.1 Concept and approaches of quality In general, in the current context of business, an organization oriented towards quality will promote culture that will lead to behavior, attitudes, activities and processes that bring value through meeting demand and expectations of customers and other interested parties (according to ISO 9000: 2015) The International Organization for Standardization (ISO) has shown than: "Quality is the level of a set of inherent characteristics that meet the requirements” (ISO 9000: 2005) The nature of quality is "the fulfillment of the requirements" In particular, requirements are determined from parties, such as: customer’s requirements (including internal customers and external customers), organizational / business’s requirements, requirements of shareholders or partners in SC, requirements of State agencies, requirements of law, requirements of independent certification organizations, This is the viewpoint and concept of quality that the thesis aims to this research 1.1.1.2 Concept and approaches of quality management The history of the QM in the world has gone through many stages of development with different methods and approaches In general, in the previous stages, quality management based on activities in the organization towards goals of production and supply of product‘s quality to meet customers' needs However, up to now, following the approach of modern quality management, QM in an organization does not just stop at managing and controlling technical activities to create product’s quality but also include management activities that guide and control the whole organization about quality According to ISO 9000: 2015: “Quality management is a coordinated activities to orient and control a quality-related organization” It can be said that ISO 9000's approach of QM has created a new step in the approach of QM, moving from quality approach focused on product to quality of activities and process in the management system This approach is completely approciate to the general trend of modern QM which is oriented to a total quality management in system and process, with the participation of all members within the organization and the parties related to the organization This is the approach of QM that the thesis aims in in this study 1.1.2 Some basic theoretical issues of the supply chain 1.1.2.1 Concept of supply chain In fact, starting from an unit can form one or more different SCs In other words, each enterprise can be a member of many different SCs and play different roles and functions in each SC Therefore, based on the expanding approach in SC in general and SC of food in particular, in this study, the thesis's approach is to consider the formation of SC from a specific unit in the chain, expand to other partners/members in the chain as well as the association and coordination between units and partners/members in the chain to bring goods from production to consumer 1.1.2.2 Supply chain structure of an organization Any structure form of SC requires a combination of members to perform many different functions Because the nature of SC is the association and coordination among members, from manufacturers to retailers to bring products from production to market In structure of SC, there are main members and support members The main members will participate regularly in the process of trade and product ownership, including manufacturers, distributors, wholesalers and retailers In contrast, the support members not own the product line and not participate regularly in the operation of the SC 1.1.2.3 Mechanism of core operating the supply chain The role of a SC is to bring products from production activities to consumer markets with the participation of many member units At any stage in the entire SC, participants must operate based on three core processes, including: Purchasing manufacturing - distribution 1.1.2.4 Mechanism of relationship and linkage in the product supply chain The relationship and linkage mechanism in the SC represents the relationships and linkages between the members in a chain Whether a member is considered to be deeply involved in the SC will depend on the relationship with the other members There are many mechanisms to show the relationship between members in the SC According to Jiqin Han (2009), the relationship mechanisms in food SC are often expressed in the following three main groups of relationships: spot markets, contractual governance and relational governance According to the classification of Jon H Hanf (2009) based on criteria such as level of relationship, coordination, leadership and duration of cooperation, the mechanism of linkage between units is classified into four groups: spontaneous links, project-oriented links, self-organizing links and strategic links With the context of the existence of SCs with relationships and links formed very diverse as in Vietnam today, the thesis is based on the classification of these authors to consider the status of the relationship and links between units in the livestock and poultry meat SCs with criteria such as: relationship, cooperation, linkage tools, role of chain members (intermediaries / leaders / members) 1.2.2.5 Mechanism of coordination and support in the supply chain The coordination mechanism shows the trend of organizing collaborative and coordinated activities of members in the SC From the review of the studies on the coordination of members in SC, author Jon H Hanf and Agata Pieniadz (2007) reviewed two types of basic coordination mechanisms commonly mentioned in Chain studies are: Strategic coordination and operational coordination In addition to coordination mechanisms, support mechanisms in the SC include: Supporting activities between suppliers and customers and Support activities from chain’s leader member 1.2 Quality management in the livestock and poultry meat supply chain 1.2.1 The basic characteristics of production and business in the livestock and poultry meat supply chain In order to clarify the characteristics of quality management in the livestock and poultry meat SC, the thesis identifies the basic characteristics of production and business activities of units in the livestock and poultry meat SC, including: (1) Characteristics of Commodity: Fresh, chilled or frozen livestock and poultry meat is the common foods that is consumed daily in food demand This kind of food has a short and perishable product cycle Product’s quality are easily affected by the factors during the process of business and production; (2) Characteristics of members: The units in the livestock and poultry meat SC can undertake an independent function such as raising, slaughtering, collecting, retailing or combining multiple functions; Units have a different organizational structures and sizes; (3) Characteristics of distribution channels: In Vietnam today, there are mainly two basic distribution channels: Traditional distribution channels with short range in localities often directly deal goods from farmers to the final customers of the chain or there is participation of an intermediary distributor (trader, retailer) and modern distribution channel; (4) Characteristics of structure, mechanism of relationship and linkages: SCs are also formed with different scope and structure, with different degrees of linkage, coordination and role of the members in SCs 1.2.2 Some theoretical models of quality management in the supply chain can be applied to the livestock and poultry meat supply chain From the review of previous studies, the thesis identifies some theoretical models of basic coordination in QM in SC in general and can be applied in the livestock and poultry meat SC, including: Model of management based on the process; Model of risk-oriented inspection alliance, Model of three-level management 1.2.3 The concept and properties of quality management in the livestock and poultry meat supply chain From the review of previous studies, the thesis has pointed out the basic functional nature of QM in the aspect of SC is that: (1) Integration of relationships among chain members into QM processes Or as the interpretation of Kaynak and Hartley (2008), QM in the SC includes not only internal solutions to improve efficiency in an organization, but also includes external solutions, beyond organizational boundaries, integrated organization with it’s customers and suppliers (2) The meaning of this integration aims at specific objectives to meet the quality requirements and contribute to improving the output performance of the members when participating in the SC From the analysis of the basic contents of the QM in terms of SC and the explanations for the approach of the thesis, the concept of QM in the livestock and poultry meat SC is understood as “Integration internal QM solutions with external QM solutions of an unit participating in the livestock and poultry meat SC based on the relationships with other members in its SC to meet requirements of quality and improve the output results of the unit” 9 In this concept, some basic properties need to be clarified: Firstly, access to QM concept in SC is seen in micro management perspective, considering practical aspects of QM implemented in a unit in context of it has a relationship and linkages with other partners in the SC at different scales and levels Secondly, with that context, the contents of QM practices in the SC of the unit will go beyond the scope of the organization, it includes not only the internal QM solutions (internal management) but also includes the external QM solutions beyond the organization, based on the relationship of the units with the chain’s members such as suppliers, customers and related partners in the SC that the unit participates Thirdly, with the selected approach, the target of meeting the quality requirements and improving the performance will be measured and evaluated for that unit, not considered in overall SC or measured the final output of the overall chain 1.2.4 Research content of quality management in the livestock and poultry meat supply chain Based on the basic characteristics of business and production in the current livestock and poultry meat SC, it is shown that: In this category, it is possible to form a variety of SCs with different scope, degree and linkage Therefore, SCs can deploy QM and coordinate QM in the chain according to different models In particular, the model of management based on process is the most basic model and can be commonly applied to all of food SCs in general and livestock and poultry meat SCs in particular On the basis of this model, there will be three basic management processes of the unit in SC: input management, internal processes management and output management In addition, depending on the different levels of relationships and links among SC’s members, QM coordination between parties can take place at different levels, from simple to complex, from coordinate at the operational level to coordinate at the strategic level Therefore, the content of QM in the livestock and poultry meat SC studied in this thesis will focus on four groups of activities, corresponding to the internal QM solutions and the external QM solutions of the units in the SC, including: (1) Supplier quality managemment (2) Quality management of internal elements and processes; (3) Customer - oriented quality management; (4) Quality management of linkage and coordination relationship in the SC On that basis, the thesis also reviews and establishes measurement criteria for the performance of quality management of the units in livestock and poultry meat SC (5) The model of research content on QM in the livestock and poultry meat SC is shown in the following figure (Figure 1.9): Supplier QM (1) QM of internal elements and processes (2) (5) Customer – oriented QM QM of the linkage and coordination relationship in SC (3) (4) The performance of QM in the livestock and poultry meat SC 10 Figure 1.9: Model of research content on quality management in the livestock and poultry meat SC Source: Author's proposal 1.2.4.1 Supplier quality management Supplier QM requires organizations to view their suppliers as members created the value-added of chain Therefore, it is necessary to establish a business environment that focuses on quality requirements and develops partnerships with suppliers, especially the important supplier’s of organization The selection of suppliers must be based on the capabilities and ability of the partners in meeting the organization's quality-related requirements, as well as developing relationships based on the trust between partiers in linkage (Foster, 2010) Important contents of an organization to implement supplier QM in the livestock and poultry meat industry SC include: Selecting and evaluating suppliers; making the choice of suppliers; Developing cooperative relationships with suppliers (According to Foster (2010),Nguyen Thi Thu Hang et al (2015), Kaynak and Hartley (2008), Kaynak (2003), Tracey and Tan (2001)) 1.2.4.2 Quality management of internal elements and processes Internal QM operations of a unit in the livestock and poultry meat SC should be directed to the management of technical factors and processes according to the quality requirements set out In particular, the factors that need to be managed include: The role of leaders, managers, workers, materials, products, facilities, technical and technological facilities In addition, the implementation of technical processes in business must be done according to certain requirements or standards as well as a monitoring and evaluation mechanism to ensure the implementation of the activities following correctly seting out (Summarized from some related studies of Luning and Marcelis (2007), Saraph, J V et al (1989), Nguyen Thi Thu Hang et al (2015), Kaynak and Hartley (2008), Kaynak (2003) , Flynn and cs (1995), Vinh Thai, Ferry Jie (2018)) 1.2.4.3 Customer-oriented quality management Customer-oriented QM is one of the basic characteristics of modern QM trends Customers who are the most important subjects will evaluate the organization’s product and service quality Therefore, the organization must ensure effective management of customer relationships based on the capture of customer’s needs and concerns, the collection of market information, feedback, and and complaints of customers The products, services and operation processes need to be designed based on research and identify customer’s requirements, continuous improvement of product quality as well as operation process to meet that requirement; At the same time, organizations need to strengthen communication with customers, provide information for customers to create confidence for customers about the quality of the organization (Deming, 1986; Lai et al., 2001, Foster, 2010, Do Thi Ngoc et al, 2015, Kaynak and Hartley 11 (2008)) The important contents of an organization to implement for Customeroriented QM in the livestock and poultry meat SC include: Identify important customers, capture and design the product response the these customers’demand; Obtain feedback from customers and constantly improve quality of products and processes; Enhance communication with customers 1.2.4.4 Quality management of linkage and coordination relationship in the supply chain The QM of relationships and coordination in the SC can be understood as the harmonization and coordination between the organization and the members in the chain to implement management activities in an effective, transparent and responsive manner to meet organization’s requirements and the general requirements of the linkage (Yeung, 2008; Huo, Zhao and Lai, 2014) Coordinated activities can take place between the organization with the customers, with the suppliers, with the members in the association that the organization participates in or with the coordinating and leading unit The coordination may vary, depending on the extent to which the organization is associated with its SC members The difference is also reflected in the level of coordination and the content of specific coordination activities 1.2.4.5 Objectives and criteria for measuring the performance of quality management in the supply chain In general, the objectives of QM in the SC are that meet the quality requirements of product and operational processes as well as contribute to improving output performance Implementation results of QM in the SC of a unit can be measured through three groups of criteria: (1) Group of quality-related criteria; (2) Group of quantitative criteria related to performance; (3) Group of criteria related to market and competitive advantage 1.2.5 Summary of criteria for measuring research contents of quality management in the livestock and poultry meat supply chain Table 1.2: Summary of criteria for measuring the contents of activities and performance of QM in of units in the livestock and poultry meat supply chain Content and reference Measurement criteria sources Supplier quality The unit regularly conducts quality assessments with suppliers management The unit interested and prioritize the selection of suppliers when they meet specific requirements or quality standards Source: Foster (2010), The unit considers product quality to be the most important Nguyen Thi Thu Hang and et criterion for choosing suppliers al (2015), Kaynak and The unit often have discussions and agreements with Hartley (2008), Kaynak important suppliers on quality requirements (2003), Tracey and Tan The unit understands information about activities and (2001) production processes of suppliers The unit regularly checks the quality of input products when supplier delivers goods 12 Content and reference sources QM of internal elements and processes Source: Luning and Marcelis (2007), Saraph, J V et al (1989), Nguyen Thi Thu Hang et al (2015), Kaynak and Hartley (2008), Kaynak (2003), Flynn and cs (1995), Vinh Thai, Ferry Jie (2018) Customer-oriented quality management Source: Deming, (1986); Lai et al (2001), Foster (2010), Do Thi Ngoc et al (2015), Kaynak and Hartley (2008) Quality management of linkage and coordination relationship in SC Measurement criteria The unit regularly gives feedback to suppliers on the quality of their products and services The owner / leader interested in quality and has a clear quality orientation for the product and operation The unit establishes specific quality requirements or standards to manage internal elements and processes The requirements / quality standards of the units are established on the basis of the requirements of customers and related parties (regulations of the State, requirements of assessment and certification organizations, requirement of specific quality standards) Employer of unit meet the requirements for expertise, skills and sense of responsibility The unit has a mechanism to control and preserve the quality of input product and products during the business process The unit ensures adequate system of facilities and technical conditions to meet the requirements of the business process The unit actively applies modern technologies to the business process The unit applies control and adjustment mechanisms to ensure operational processes are implemented according to the requirements / standards set out (inspection, evaluation, measurement, information management, data, handling violations, ) The unit captures the requirements of important customers or the general needs of customers about quality of product and supply activities The unit always tries to design the product or improve the process to meet the specific requirements of the important customer or according to the general needs of market The unit listens and handles complaints of customers about quality of product and supply activities Units often share information with customers about products and activities of the unit The unit regularly communicates with the customer to create trust in quality of product and supply activities The unit actively applies a number of technical solutions to create trust with customers about the quality of products (such as: applying and obtaining quality certification, packaging design, stamps, labels, code, barcode in traceability applications, ) The unit participates in linkage and coordination with direct suppliers or customers to meet the requirements set by the parties The unit participates in linkage and coordination with both 13 Content and reference sources Source: Jon H Hanf and Agata Pieniadz (2014), Jiquin Han (2009), Flynn and cs (2010), Vinh Thai, Ferry Jie (2018) Performance of QM in SC Source: Nguyen Thi Thu Hang et al (2015), Kaynak and Hartley (2008), Kaynak (2003), Tracey and Tan (2001), Jiquin Han (2009), Ondiek Tobias Okoth and Odock Stephen Ochieng (2018, Vinh Thai , Ferry Jie (2018) Measurement criteria direct suppliers and customers to meet the requirements set by the parties The unit participates in linkage and coordination with partners to go beyond both the both direct suppliers and customers to meet the requirements of the parties The unit participating in the partnership / project has unit that coordinates the common activities of the participating members When participating in a linkage, the unit often evaluates and carefully selects the partners that meets the requirements to coordinate The unit regularly shares information related to the product and operation process for key partners in the linkages that the unit participates in Units that meet the general requirements agreed with partners in the linkages (General requirements such as quality strategy, product standards, production processes, evaluation activities, measurement, sharing information,…) The unit implements joint activities with partners in the linkages (joint activities such as communication with customer, marketing, joint product brand development, ) Units often participate in support or receive support from partners in the linkages to enhance the capacity of the parties in meeting the requirements set out (Financial support, material, technical consultancy, ) The unit is more and more responsive to customer’s requirements and the number of customers complaints about quality of product and supply activities of units are decreasing The unit has many customers who regularly buy meat products and more and more new customers The unit’s output of meat products is increasing The unit’s profit obtained from business of meat products is increasing Customers respond that they believe in the unit’s quality of meat products compared to other suppliers in the market Customers respond that they choose the unit because the unit has best meet their requirements Source: The author synthesizes and builds from review of previous studies and interview results 1.3 Factors affecting quality management in the livestock and poultry meat supply chain Based on the overview of the studíe and review of business and production characteristics of units in the livestock and poultry meat SC in particular (Section 1.2.2), the thesis identifies the factors affecting QM of units in the livestock and 14 poultry meat SC into groups of factors, including: (1) Factors related to business environment and resources of units in SC such as: Market situation; Effect of state management mechanism; The development of science and technology; Culture and habits in business and consumption; and 4M elements, including:Men;Material; Equipment and Machine and management and operating methods (Method) (2) Factors of cooperation of the unit in SC such as: Common quality strategy and policy; Common communication and information exchange mechanism; Mechanism of association and coordination with other units 1.4 Practical experience of quality management in some livestock and poultry meat supply chains in the world and lessons learned for Vietnam Through the study of practical experience of QM practices in three successful livestock an poultry meat SC in the world, including: Eichenhof pork SC in Germany; Iberian SC in Spain; Augus Beef SC in the UK and Brazil From here, the thesis has drawn some important lessons learned in QM in livestock an poultry meat SC in Vietnam as follows: (1) Form horizontal links in the chain as concentrated breeding areas and use collective brand or separate geographical indication (2) Promoting vertical linkages on the basis of selecting a coherent linkage mechanism, forming strategic linkages and coordination to create longterm and strong cooperation relationships, leading to trust and loyalty, towards increasing value, benefit sharing and risks among chain members; (3) Effective implementation of internal QM activities of each member in SC; (4) Strengthen quality assurance activities and create trust with customers outside the chain; (5) Establish an information system governance mechanism effectively and transparently; (6) Strengthen role of state agencies and related agencies in the support and macro management 15 CHAPTER 2: SITUATION OF QUALITY MANAGEMENT IN THE LIVESTOCK AND POULTRY MEAT SUPPLY CHAIN IN VIETNAM 2.1 Overview of the market and the development of livestock and poultry meat supply chains in Vietnam 2.1.1 Overview of the market for livestock and poultry meat in Vietnam From the collected data and the market situation of the supply of meat products shows: Most kinds of livestock such as cattle, pigs and poultry have an increasing number of herds in the period from 2014 to 2017 The total meat production of Vietnam from 2014 to 2016 also tends to grow next year higher than the previous year, with a rather rapid growth rate of 9.1% Regarding livestock and poultry meat consumption demand of Vietnamese consumers:According to the Department of Livestock Husbandry, in 2016, the average consumption of steamed meat of Vietnam is about 54.1 kg/person/year Consumption of meat in Vietnam also tends to increase, on average in the period of 2011-2016, the growth rate is about 2.64%/year Of which pork still accounts for the largest proportion (over 70%); Consumption of chicken and beef, although accounting for a small proportion, also has a steady growth rate Vietnamese consumers prefer fresh meat rather than frozen or cooled products and pay much attention to prices and comparisons of prices at different consumption channels Consumption channels that consumers choose the most are still through traditional markets (80%) compared to modern channel of sale such as food stores or retail stores and supermarkets (20%) 2.1.2 Overview of the development of livestock and poultry meat supply chains in Vietnam Firstly, the thesis generalizes the overall structure of the livestock and poultry meat industry in Vietnam, including: Organizations that supply input materials (breeds, feed, veterinary medicine), support services (veterinary, transportation, consulting, quality certification), the State management agencies, there are three main stages in SC, including: livestock production - slaughter - distribution (collection, wholesale, retail) In addition, the thesis has identified three popular groups of livestock and poultry meat SC structure on the market today, including: (1) Animal husbandry and supply chain on traditional distribution channels; (2) Outsourcing - supply chain on modern distribution channels; (3) Breeding chain from private animal husbandry enterprises, cooperatives / collective of husbandry - supply on modern distribution channels In particular, the thesis analyzed the structure, development situation and basic characteristics of each chain group Associated with the actual context of the situation of the livestock and poultry meat SCs in Vietnam, the thesis draws points to note of QM in the livestock and poultry meat SCs in Vietnam such as: Note about the specificity of QM activities is associated with different stages: breeding, slaughtering, distribution and retail; The notes on QM of SCs are organized on different distribution channels; The notes on QM in SCs are formed with different organizational structures, relational mechanisms, links and coordination in the chain 16 2.2 Analysis of the situation of quality management in the livestock and poultry meat supply chain in Vietnam at the present 2.2.1 Situation of quality management in the supply chain of some case studies With the research of SCs derive from three units participating in different stages of the meat industry SC, including the Chicken Association of Soc Son Hill, the centralized slaughterhouses of An Thinh joint stock copany, and VISSAN Vietnam Animal Products Joint Stock Company, the thesis draw remarkable points about the current situation of QM in SC of these units as follows: (1) The units are quite interested in selecting and establishing relationships and setting certain requirements for suppliers However, not every unit cares and sets requirements related to product quality, especially those participating in traditional distribution channels; (2) The units tend to grasp the general needs of customers in the market, try to meet the important requirements of the target customer objects that the unit aims at in the distribution channel they participate (3) The units participating in traditional distribution channels such as centralized slaughterhouses not really care nor guarantee the resources factors such as labor, facilities and equipment technology; operational processes and activities are practically empirical, not comply with specific quality processes and requirements (4) Units tend to establish relationships within direct contact with partners such as suppliers or/and customers directly, or their member units; (5) Traditional habits and culture of production and consumption together with the effectiveness of the law enforcement and supervision are the important factors affecting the QM in particular and business activities of the unit in general 2.2.2 Analysis of survey results on the situations of quality management of units in the of livestock and poultry meat supply chain in Vietnam The following content analyzes the survey data from 287 units, including livestock farms, slaughtering and livestock and poultry meat product trading in Vietnam according to the research content model of QM activities in the livestock and poultry meat SC and measurement criteria established in chapter I of the thesis Here are some key results from the survey data analysis: 2.2.2.1 Situations of Supplier quality management of survey units The survey results of 287 units show that units tend to prioritize to select and establish relationships with one or more important suppliers, meeting specific requirements (accounting for 63%) However, about 50% of units not consider product quality to be the most important criterion for choosing suppliers 77% of unit often have discussions and agreements with important suppliers on their specific requirements, 83% of unit regularly check the quality of input products at delivering and 86% of unit regularly respond information for suppliers about the quality of products and supply operations Supplier control activities are often not organized regularly and closely,45% of unit not regularly update or provided information about activities and production processes of suppliers 17 2.2.2.2 Situation of quality management of internal elements and processes of survey units In general, the result of measurment the quality management of internal factors and processes have not high on many different criteria The two criteria which are rated by the units as the best are only reached a modest average score, respectively 3.6 and 3.5 points related to the issue of human resource management in the unit In many units, the leader or owner of unit has the interest and orientation of quality for the business activities Only about 50% of units meet the demand for resources such as labor, material, and finance in the process of manufacturing and trading In particular, only 1/3 of units apply modern technologies to the business process For process management, nearly half of the units have established specific quality requirements and applied to the operational processes and management of the unit's resource However, only about 30% apply monitoring mechanisms to ensure operational processes are implemented according to the requirements/standards set out, such as inspection, evaluation, measurement and management of information and data, handling violations, etc, 2.2.2.3 Situation of customer-oriented quality management of survey units Survey results show that: 90% of units know the specific requirements of customers; 70% of units try to design products or improve the process to meet the specific requirements of the customers; 65% of unit have a sense of listening, collecting and handling complaints of customers about quality of product and supply activities However, the units have not really paid attention to and implemented activities to enhance the sharing of information and communication with customers about the products and activities of the units 2.2.2.4 Situation of quality management of linkages and coordination relationship in the supply chain of survey units According to the survey, up to 42% of units not have specific agreements in writing to show the associated activities or collaboration with partners in the chain Some units participate in closely linked SCs tend to select of more legally tools, such as: sale contracts (36%); written commitment/memorization (17%), production/processing contract (14%) and joint regulations established uniformly between parties (11%) The units also mainly link and coordinate directly with partners such as customers or suppliers in SCs; 1/3 of the units not have any specific coordination and coordination activities, 13% of the units participate in the link projects that has a unit in role of coordinater the common activities of the participants In particular, the coordination activities are mainly at the operational level, such as: sharing information related to the product and the operation process for key partners in the linkages that the unit participates in; evaluate and carefully select partners to meet the requirements for coordination (40%) The activities of strategic coordination are almost very limited 18 2.2.2.5 Situation of performance of quality management in the supply chain of survey units The units pay attention and focus on meet the needs of the market in general and the specific requirements of the customers in particular (60%) but only 40% of units better meet the requirements of customers of products quality About half of the units show that: Their sale and profitability have not increased Many units not have competitive advantage compared to other units in the market 2.3 Overall assessment of the situation of quality management in the livestock and poultry meat supply chain in Vietnam today 2.3.1 Some successes of quality management in the livestock and poultry meat supply chain in Vietnam (1) The units have a considerable interest in selecting suppliers, focusing on choosing one or several fixed supplying sources to establish relationships and form regular and important suppliers; Actively and proactively inspect product and goods in delivered from suppliers, actively feedback about product and supplier’s information; Regular discussions with the suppliers on the specific requirements of the unit (2) Some SCs are certain associated, have the interest in quality and practice of QM (3) The units tend to capture the needs of customers in the market, especially the specific requirements of their directly and important customer; Some units try to design products or improve the process to meet the specific requirements of important customers or the general needs of the market that the units are participating in according to the distribution channels; Some units consciously listen, collect and handle complaints of customers about quality of product and supply activities of the unit (4) The units tend to establish a direct relationship with their suppliers or/and direct customers In particular, some units have a deep connection with partners in SC or participate in linkages with a close coordination In some linkages, units have been formed leading role and dominate joint activities in the linkage at the strategic level 2.3.2 The limitations of quality management in the livestock and poultry meat supply chain in Vietnam (1) Supplier QM is based primarily on familiar relationships The activities of updating information on suppliers or the visits to assess supplier’s quality is very rare (2) Some units, especially the small and odd scale units participating in traditional distribution channels almost not ensure the resources, technical processes and operations The management are mainly based on experience and not establish and comply with specific requirements or quality standards; (3) The units have not been proactive and active in providing information and creating confidence for customers about their quality of product and supply activities (4) The situation of units participating in weak linkages and unclear coordination with partners in SCs is quite common, especially on traditional distribution channels Whereas, wstrategic links and coordination such as establishing common quality requirements or implementing activities in the linkage of chain is not much, (5) Results of practical activities and peformance of 19 QM of units in SCs are generally quite low The units not focus on meeting the quality requirements of products The confidence of customers about product quality is not high The competitive advantage of the unit compared to other units in the market is not really clear Many units have no growth in sale and profit from business of meat 2.3.3 Causes of limitations in quality management in the livestock and poultry meat supply chain in Vietnam The limitations of the units in QM in the livestock and poultry meat SCs meat in Vietnam come from the following main causes: (1) The shortage of resources and the low internal capacities of management and business of units are popular (2) Weak association, lack of sustainable coordination, lack of a competent leadership unit to coordinate in SCs; (3) Market demand, culture and traditional consumer habits of Vietnamese consumers; (4) Role and efficiency of State on management of quality and QM 20 CHAPTER 3: SOLUTIONS AND RECOMMENDATIONS TO IMPROVE QUALITY MANAGEMENT IN THE LIVESTOCK AND POULTRY MEAT SUPPLY CHAIN IN VIETNAM 3.1 Forecast of trends and policies affecting quality management in the livestock and poultry meat supply chain in Vietnam in period to 2025, vision 2030 3.1.1 Changing trends in demand and consumer behavior for livestock and poultry meat in Vietnam Consumers will be increasingly concerned about safety when consuming food in general and livestock and poultry meat products in particular.They carefully find out the origin and information about products before purchasing to ensure quality and safety of products Consumers tend to be willing to pay for safe and quality food at a higher price than other common food prices They will also tend to buy food at reputable and quality assuraned stores, modern distribution channels Customers also increases online buying, especially young consumer groups 3.1.2 Changing trends in business activities and supply of livestock and poultry meat in Vietnam In the next 10 years, meat production and business will be tend to move from small, odd and scattered scale to medium and large scale business; There is the formation and development of highly integrated commodity supply chains with participation of many large enterprises in the livestock, processing and retail industries; Export and import activities of meat products tend to increase, promote competition and the development of SCs 3.1.3 Trends of quality management in food production and trading (1) The Trend of QM are based on risk management approach along value-chain (2) The trend of focusing on self-improvement solutions to enhance the QM capacity of members participating in SCs 3.1.4 Policy and strategic orientation of the State management of livestock and poultry meat production and trading The general viewpoints and policies of State are now oriented to restructuring agriculture in general and animal husbandry in particular, from small, odd and scattered scale to medium and large scale business, focus on planning of Large-scale livestock, slaughter and business systems and equipping modern technologies, reducing the dependence of small and unlinking SCs Besides, the strategic orientations and synchronous solutions of the State on QM and food safety It can be said that these are important development orientations, which will have a great impact on the development trend as well as directly affect livestock and poultry meat production and business units in Vietnam in the coming time At the same time, this is also one of the important arguments for the thesis to propose solutions to strengthen the QM in the livestock and poultry meat SCs in Vietnam, the orientation of 2025, vision to 2030 3.2 Propose solutions for quality management of units in the livestock and poultry meat supply chains in Vietnam * Proposal of the thesis solution: Based on the analysis and evaluation of the current status of QM in livestock and poultry meat SCs in Vietnam, the thesis 21 propose five specific solutions based on the research content model to enhance QM activities of units in SCs In particular, the first three groups of solutions are generally oriented in order to overcome the shortcomings and limitations in QM activities such as: Supplier QM, QM of internal factors and processes and customer- orientated QM Particularly, the content of QM of linkages and coordination in the SC, from the current situation of SC development in Vietnam, there are two following levels of relationships and linkages: Firstly, SCs that are organized or linked with a leader With these units, it is necessary to promote the linkages and coordination to control and ensure the quality in retire chain Secondly, the SCs with weak linkages and not much cooperation amongs members in chain because the common situation of this members is small, odd, scattered, weak association and self-management capacity For this chain group, it is necessary to have long-term strategic directions, towards restructuring to increase scale and improve quality of self-governance based on strengthening strategic links when participating in chains Therefore, with this content, the thesis proposes specific solutions for each chain group (respectively solutions and 5) 3.2.1 Strengthen quality control and aim to build close relationships with suppliers for input suppliers This solution aims to propose specific activities to strengthen the relationships between the unit and the suppliers, strengthen the strict quality control of input material from the suppliers, focusing on specific measures such as: Units need to establish specific criterias or requirements and make careful selection with regular suppliers; Strengthen activities of inspection and control the quality of input goods and provide feedback on the quality of goods delivered by suppliers; More positive in information exchange and quality control activities from suppliers The exchanges and agreements that need to be in written to increase the legal status and accountability of suppliers in ensuring the quality of input goods 3.2.2 Enhancing quality control of internal elements and processes following specific requirements and quality standards The objective of this solution is to enhance the control of elements and processes within the units according to the specific requirements and standards established by the unit, including specific measures such as: (1) The management of the unit needs adequate and effective attention and investment in the practice of QM of internal elements and processes at the unit; (2) Focusing on developing and setting specific quality requirements or selecting and developing quality assurance aystem according to appropriate unit quality standards; (3) Invest and apply more technology solutions on business and management processes; (4) Paying attention to the investment in information technology system and seting up information exchange mechanism throughout the unit and with partners in SCs 22 3.2.3 Strengthening quality assurance measures through communication activities, connecting with customers and developing output markets for products The objective of this solution is to propose measures to enhance the information and communication activities of the unit with external customers in order to strengthen the connection and create trust with customers and develop the output market for the unit's product, including specific measures such as: (1) Strengthening the application of many synchronous, diversified and attractive solutions to create evidence and trust with customers about product quality For example: applying voluntary standards like ISO 9000, ISO 22000, HACCP, VIETGAHP or intensify participation in production, business and retail associations that collective brand certified; (2) Enhancing communication activities, marketing programs and brand development of products and units in SCs; (3) Enhancing coordinated and synchronized implementation of product brand developing and marketing strategies based on clear and consistent quality positioning in the chain linkage 3.2.4 Enhance the development of relationships and coordination of quality management at a strategic level among members of chain links The objective of this solution is to propose measures to strengthen linkages based on tighter linkages and deeper QM coordination in chain links in Vietnam, including specific measures such as: (1) The leading members should be carefully selected partners involved in linkages through basing on specific quality requirements to select supply partners that meet the requirements and quality standards set by the unit; (2) Strengthen developing relationships with partners in SC at a deeper level of coordination, such as support activities of financial, technical and service among stakeholders, sharing risk and forming strategic alliances to manage common operations and quality assurance for the final output of the chain (3) Proactively propose and coordinate with partners to select and build an appropriate linkage model to strengthen the QM capacity of units in the SCs; 3.2.5 Solution of restructuring to improve the quality management capacity of small scale units participating in weakly linked supply chains Based on the results of interviews with experts on the content of selecting QM models in the SCs approciate to units in the livestock and poultry meat SCs in Vietnam and the results of analysis and assessment of the situation of QM in meat SCs in Vietnam today, combined with the lessons learned has been shown after studying the successful models in the world in Chapter I of the thesis, the author proposes a model of inter-organization quality management system (QMS) in SC (see Figure 3.1) 23 Level Authorities inter-organization Level Level Quality StandardsCertification bodies Member Member QMS Member Nomative Strategic Memner n Operative Figure 3.1: Model of inter-organization quality management system Source: Author's Proposal The proposed model is basically based on the "three-level" model of Brinkmann et al (2011) However, in the process of applying and deploying this model for livestock and poultry meat SCs in Vietnam, it is necessary to have the improvement, adjustment and specific application directions in accordance with the context and situation in Vietnam today The goal of this solution is to apply the proposed model to provide specific application directions to create a qualitative change, upgrade and relocate units from small, odd and scattered scale with limited resources and self-management capacity to large-scale, concentrated, and increasing resources and selfmanagement capacity of units In order to implement this application solution, it is necessary to make decisions related to the following three specific contents: - Promote the formation of horizontal linkages between units in the same industry Based on the proposed model, participating units in the same industry will advance to form a linkage with inter-organiation QMS (possibly in the form of a Board of Management) to make decisions strategic issues of quality as well as general quality control in association - The inter-organiation QMS after being formed need to select the strategy of products and the general quality strategy for the system - The inter-organiation QMS will determine the coordination activities and the specific quality level for the system based on general quality strategies, standards or quality requirements for products and processes of participants in linkage, support activities, etc 24 3.3 Recommendations on policies of the State and authorities 3.3.1 Recommendations to the State on law enforcement on quality and quality management With the role and impact of State management on the awareness and QM practices of food production and business units, the thesis proposes: (1) The State should continue to improve the legal mechanism to elaborate and strictly enforce legal regulations related to food quality and safety; (2) Strictly managing and handling violations of law enforcement by officials and authorities; (3) Synchronize and closely monitor specific quality standards related to products, processes and systems to guide and encourage uniform application in the national market 3.3.2 Recommendation of policies and support of the State and authorities (1) The State needs to have mechanisms and policies to create favorable conditions to continue to encourage large enterprises to participate and form livestock and poultry meat SCs in Vietnam; (2) Continue to plan and promote solutions to restructure small business units into horizontal links and form coodinationor to manage these linkages; (3) Supporting market development and increasing awareness of consumers about quality and food safety also have a significant impact on the QM of production and business units in this industry  ... food safety, such as: Do Thi Ngoc (2011), Truong Dinh Chien (2015), Dinh Van Oanh (2015), To Duc Hanh (2015), An Thi Thanh Nhan (2016), Le Thi Minh Hang (2017) c) Some conclusions from the overview... CHAIN IN VIETNAM 2.1 Overview of the market and the development of livestock and poultry meat supply chains in Vietnam 2.1.1 Overview of the market for livestock and poultry meat in Vietnam From... Vietnamese consumers:According to the Department of Livestock Husbandry, in 2016, the average consumption of steamed meat of Vietnam is about 54.1 kg/person/year Consumption of meat in Vietnam