(Luận văn thạc sĩ) solutions to improve business performance in hoang long mechanics technology joint stock company

ĐẠI HỌC QUỐC GIA HÀ NỘI KHOA QUẢN TRỊ VÀ KINH DOANH - PHAN TIẾN THÀNH SOLUTIONS TO IMPROVE BUSINESS PERFORMANCE IN HOANG LONG MECHANICS TECHNOLOGY JOINT STOCK COMPANY GIẢI PHÁP NÂNG CAO HIỆU QUẢ HOẠT ĐỘNG KINH DOANH TẠI CƠNG TY CỔ PHẦN CƠ KHÍ CƠNG NGHỆ HỒNG LONG LUẬN VĂN THẠC SĨ QUẢN TRỊ KINH DOANH HÀ NỘI - 2020 ĐẠI HỌC QUỐC GIA HÀ NỘI KHOA QUẢN TRỊ VÀ KINH DOANH - PHAN TIẾN THÀNH SOLUTIONS TO IMPROVE BUSINESS PERFORMANCE IN HOANG LONG MECHANICS TECHNOLOGY JOINT STOCK COMPANY GIẢI PHÁP NÂNG CAO HIỆU QUẢ HOẠT ĐỘNG KINH DOANH TẠI CƠNG TY CỔ PHẦN CƠ KHÍ CƠNG NGHỆ HOÀNG LONG Chuyên ngành: Quản trị kinh doanh Mã số: 60 34 01 02 LUẬN VĂN THẠC SĨ QUẢN TRỊ KINH DOANH NGƯỜI HƯỚNG DẪN KHOA HỌC: TS NGUYỄN XUÂN HUYNH HÀ NỘI - 2020 DECLARATION I confirm that the research in the thesis is the result of my independent work during study and research period and it is not published in other’s research and article The other’s research result and documentation (extraction, table, figure, formula, and other document) used in the thesis are cited properly and have the permission of the authors I assure in front of the Thesis defense council, Hanoi School of Business and Management, and the laws for above-mentioned declaration Date………………………… Author Phan Tien Thanh ACKNOWLEDGEMENT I would like to express my sincere thanks to the teachers and Faculty of Business Administration who have devotedly taught and imparted valuable knowledge to me during the course of studying at the school In particular, I would like to sincerely thank PhD Nguyen Xuan Huynh has kindly instructed me to complete this thesis Research results are my best effort in learning and research However, I would like to receive suggestions to continue adding and perfecting the Thesis Hanoi, ……………………… 2019 Phan Tien Thanh TABLE OF CONTENTS LIST OF FIGURES i LIST OF TABLES ii OPENING 1 The urgency of the topic Overview Research objectives Research subjects .3 Scopes of research .3 Research method Contents of the thesis CHAPTER 1: THEORETICAL AND OVERVIEW OF THE BUSINESS PERFORMANCE OF THE ENTERPRISE 1.1 Definition and importance of business performance analysis 1.1.1 Concept of analyzing business performance 1.1.2 Classification of business performance 1.1.3 The require to improve business performance 1.2 Criterias to evaluation Business performance 1.2.1 Solvency ratio 1.2.2 Effective in using assets 10 1.2.3 Effective in using capital .13 1.2.4 Effective in using cost 14 1.3 Factors affecting business performance 15 1.3.1 Objective factors 15 1.3.2 Subjective factors 17 CHAPTER 2: SITUATION OF BUSINESS PERFORMANCE AT HOANG LONG MECHANICICS TECHNOLOGY JOINT STOCK COMPANY 19 2.1 Overview of Hoang Long Mechanics Technology Joint Stock Company Joint Stock Company .19 2.1.1 History of establishment and development of Hoang Long Mechanics Technology Joint Stock Company Joint Stock Company 19 2.1.2 Functions and duties of Hoang Long Mechanics Technology Joint Stock Company 21 2.1.3 Organizational structure of the company 22 2.2 Overview of business performance in the period of 2016-2018 .23 2.2.1 Overview of business performance in the period 2016-2018 .23 2.2.2 Analysis of revenue situation .26 2.2.3 Analysis of cost situation 31 2.2.3 Analysis of profit situation 40 2.3 Analysis of business performance at Hoang Long Mechanics Technology Joint Stock Company Joint Stock Company 51 2.3.1 Analyze the performance of using labor 51 2.3.2 Analyze the performance of account receivable management 53 2.3.4 Analyze the performance of using assets 58 2.3.5 Analyze the performance in using capital 60 2.4 Assess the situation of business performance of Hoang Long Mechanics Technology Joint Stock Company 63 2.4.1 Achievements .63 2.4.2 CHAPTER Limitations, weaknesses and causes 64 3: SOLUTIONS TO IMPROVE THE BUSINESS PERFORMANCE OF HOANG LONG MECHANICS TECHNOLOGY JOINT STOCK COMPANY 67 3.1 Business direction and strategy of Hoang Long Mechanics Technology Joint Stock Company in 2019-2020 67 3.2 Solutions to improve the business operation of Hoang Long Mechanics Technology Joint Stock Company in 2019-2020 68 3.2.1 Solutions to increase revenue .68 3.2.2 Solutions to reduce cost 69 3.2.3 Solutions to exploitation the capital 69 3.2.4 Solutions to improve marketing performance 70 3.2.5 Solutions to improve the quality of human resources and retain talents 71 3.2.6 Solutions to improve data analysis methods of Accounting Department 72 CONCLUSION 73 REFERENCES 75 LIST OF FIGURES Figure Company management diagram 22 Figure 2: Business performance phase 2016 – 2018 25 Figure 3: Business performance phase 2016 – 2018 25 Figure 4: Total revenue 2016 28 Figure 5: Total revenue 2017 28 Figure 6: Total revenue 2018 29 Figure 7: Total revenue and cost from 2016 to 2018 32 Figure 8: Cost of goods sold 2016 - 2018 34 Figure 9: Cost of consulting, design 2016 - 2018 34 Figure 10: Cost of construction activities 2016 - 2018 36 Figure 11: Cost of processing activities 2016 - 2018 37 Figure 12: Cost of other business activities 2016 - 2018 38 Figure 13: Cost of sales 2016 - 2018 38 Figure 14: Enterprise Managing cost 2016 - 2018 39 Figure 15: Financial operation expenses 2016 - 2018 40 Figure 16: Profit situation 2016 - 2018 41 Figure 17: Profit before and after corporate income tax from 2016 - 2018 46 Figure 18: Summary of factors that increase and decrease profit before tax in 2017 compared to 2016 of the company 49 Figure 19: Summary of factors that increased the profit before tax in 2018 compared to 2017 of the company 51 Figure 20: Labor structure in the Company 52 i LIST OF TABLES Table 1: Business performance phase 2016 – 2018 24 Table 2: Revenue over years from 2016 - 2018 27 Table 3: Cost situation in years from 2016 - 2018 33 Table 4: Profit situation in years from 2016 - 2018 42 Table 5: Analyze of factors affecting profit over 03 yearsm 2016 - 2018 47 Table 6: Analyze of debt situation over 03 years 2016 - 2018 54 Table 7: Analyze the performance of solvency over 03 years 2016 - 2018 56 Table 8: Profitability analysis over 03 years 2016 - 2018 58 Table 9: Analyze the business performance of the company over 03 years 2016 2018 61 ii OPENING The urgency of the topic Today, our country is in an open and competitive economy, which is also a good opportunity for Vietnamese enterprises to develop internationally, in order to survive and develop in an open environment Fierce competition requires businesses to find a foothold in the trade One of the factors to determine that position is the business performance of the business Analyzing business performance is very important and necessary for every business Through the analysis of business performance, it will help businesses assess their business situation, identify the causes and sources of problems arising, detect and exploit problems potential resources of the enterprise, at the same time take measures to overcome difficulties encountered by the enterprise From there, it is possible to propose appropriate business strategies for the next period to help businesses improve business performance Based on the actual situation of the enterprise, Hoang Long Mechanics Technology Joint Stock Company, the total revenue of the Company increased by more than 10%, it was not as planned but the cost of goods sold also increased with the same number Therefore, I desire to learn more about business performance and find the right direction for the Company, I chose the topic "Solutions to improve business performance at Hoang Long Mechanics Technology Joint Stock Company” for my graduation thesis Overview Solutions to improve business performance are very important and there have been many studies in this field such as: Analysis of business performance of Vietnam Airlines Petroleum Company, Topical analyze business performance of trading and service companies, Solutions to improve business performance according to the accounting value of small and medium-sized enterprises in Thai Binh province, and many research works other However, small and medium-sized enterprises in Hanoi are still limited in research projects and in particular, there is no specific research project on production and business performance of Hoang Long Mechanics Technology Joint Stock Company Therefore, I chose the topic "Solutions to improve business performance at Hoang Long Mechanics Technology Joint Stock Company” The thesis is based on the combined knowledge from subjects such as: Business development management, Financial and accounting management, Management economics, Human resource management and talent to complete the thesis The topic also focuses on analyzing business performance of Hoang Long Mechanics Technology Joint Stock Company through 03 years from 2016 to 2018 based on financial statements, internal reports of enterprises and observing operational situation Actual production activities of the author Through the analysis of business performance, it will help businesses check and evaluate business results, detect potential capabilities as well as recognize the strengths and limitations of the joint-stock mechanical engineering company Hoang Long Mechanics Technology Joint Stock Company That is an important basis for the Company to make business decisions, prevent risks and improve business performance Research objectives After the research, the author will achieve: - The author have a system of theoretical, updated knowledge, and research methods for management - Assess the status of Hoang Long Jsc Company On the basis of analyzing and evaluating the business results that Hoang Long Mechanical Engineering Joint Stock Company has achieved through the years 2016-2018, the author accurately investigates the business performance and the situation of the company capital using, asset using situation, solvency of the company, find out the limitations that exist in the company - Proposing solutions and business orientation for the next period, helping to improve the remaining limitations and promoting the company's potentials, contributing to improving business performance Table 9: Analyze the business performance of the company over 03 years 2016 - 2018 Unit: VND 2016 / 2017 Targets 2016 2017 2017 / 2018 2018 Difference 2017/2016 Difference ratio Difference 2018/2017 Difference ratio Total revenue 67.585.275.300 77.049.993.860 86.474.447.413 9.464.718.560 12,28 9.424.453.553 10,90 Total cost Profit before coporate income tax 61.378.396.670 69.802.117.405 78.153.740.855 8.423.720.735 12,07 8.351.623.450 10,69 6.213.366.998 7.254.505.456 8.329.522.214 1.041.138.458 14,35 1.075.016.758 12,91 Total production capital 19.666.233.326 33.750.107.392 36.388.264.698 14.083.874.066 41,73 2.638.157.306 7,25 Working capital 19.039.569.943 33.076.640.756 34.478.198.031 14.037.070.813 42,44 1.401.557.275 4,07 Aggregate business 1,101 1,104 1,106 0,00271 0,25 performance Efficient use of production 0,31594 0,21495 0,22891 - 0,10099 - 46,99 capital Efficient use of working 0,32634 0,21932 0,24159 - 0,10702 - 48,79 capital Number of times of working capital turnover 3,55 2,33 2,51 - 1,22 - 52,39 (times) Working capital turnover 101,42 154,54 143,54 53,13 34,38 (day) ( Source: Financial reports of Hoang Long Mechanics Technology Joint Stock Company from 2016 to 2018) 61 0,00 0,24 0,01 6,10 0,02 9,22 0,18 7,12 - 11,01 - 7,67 The ratio of combined business performance over years is greater than 1, indicating that the company's revenue situation is greater than the total expenditure, and this coefficient tends to increase gradually over years Specifically, in 2017 reached 1,104 times, an increase of 0,25% compared to 2016, in 2018 reached 1,106 times, an increase of 0,24% compared to 2017 However, compared to the current average value of business performance coefficient This sales is relatively low Obviously, the issue of cost cutting is an urgent problem that needs to be overcome early by Hoang Long Mechanics Technology Joint Stock Company as well as almost all other businesses in the period of market opening and this fierce competition The performance of using capital for production is an indicator reflecting the results of the use of capital types in the company Because the proportion of working capital accounts for most of manufacturing capital, the author will analyze these two ratios in general Over years, the performance of capital use in 2017 had the lowest results, it can be said that this is the general situation of small and medium enterprises at that time The performance of working capital of the Company in 2017 reached 0,21495 times, down 46,99% compared to 2016 In 2018, with the support of policies from the State, the business environment and the With the company's efforts, the performance of working capital has increased by 0,222891 times, an increase of 6,10% compared to 2017 However, as well as the overall business performance factor, the performance of use The company's capital is still very low In order to improve this situation, Cong needs to have a plan to improve the situation in all factors involved in the production process such as production, business, human resources, costs, raw materials, science and technology Working capital turnover cycles show us the effect of using working capital in bringing in revenue Through the data analysis table, we see that in 2017, the working capital turnover reached 2,33 times, down 52,38% compared to 2016 In 2016, the Company only spent 101,42 days to return working capital but in 2017 this number increased to 154,56 days The situation did not improve much in 2018, the number of working capital turnover reached 2,51 times, equivalent to an increase of only 7,12% compared to 2017 It can be said that an enterprise has both production, trade and Services such as Hoang Long Mechanics Technology Joint Stock Company, such working capital turnover is relatively good However, the Company needs to improve the use of costs for production and business activities Only in this way can the Total Revenue and Profit after Tax increase 62 2.4 Assess the situation of business performance of Hoang Long Mechanics Technology Joint Stock Company Through an overview of the Company's business performance, financial indicators of business results and through the performance analysis of the Company in the 2016-2018 period, we can see the situation operations and business performance of the Company, from which draws the achievements and limitations as follows: 2.4.1 Achievements In the past time, despite the difficulties and challenges from the domestic market and foreign competitors, the increase in the number of companies distributing the same items or doing business with the same services, but the Company Significant results are still achieved by offering reasonable business plans For three consecutive years, the Company has always been profitable The company has built trust with customers and gradually asserted a foothold in its business field In addition, the Company has grasped the advantages to obtain the desired business performance Specifically as below:  The company has a relatively stable customer system, has a long-term cooperation, business cooperation contracts come regularly throughout the year, almost in the business period, the Company does not meet the status of workers and equipment to wait for work The company has a reputation for product quality With a long tradition of more than 20 years of operation, winning outstanding awards for sound system and pile driving technology, Hoang Long Mechanics Technology Joint Stock Company is always the destination of customers with love demanded, very demanding about product quality  The company has a wide production and processing space including production facilities with a total ground area of 2483 m2, a system of machinery and equipment including more than 130 equipment which are well-equipped compared to requirements demand of mechanical engineering industry  Regarding solvency, through the financial ratios analyzed above, we can see that the situation and solvency of the company are quite good, enough assets to ensure payment for public debts The company mainly relies on short-term debts  Improving and upgrading the highly appreciated quality management system, with Safety certificates in the third group mechanical engineering industry, sending staff for training and being granted extended mechanical and expanded construction licenses , design engineering techniques, construction engineering techniques 63  Meeting the Company's development requirements both in width and depth, the Board of Directors and the professional departments build and complete the hierarchical regulations and professional management vertical and management regulations and performance evaluation  The company always fulfills its budget obligations to the State Amounts payable to the State budget shall be fully and always performed on time and in accordance with regulations, annually contributing to the State budget billions of dong of import and export tax, value added tax, corporate income tax , The Company is fully capable of further development, the Company's development not only contributes to the increase of the state budget but also contributes to creating jobs for workers in Hanoi and throughout the country love across the country  In recent years, the company has gathered a large number of scientific and technical staff, invested in renovating modern equipment for production and business, is a very active enterprise in the province Application of science and technology to the field of production and business Scientific and technical staff and managerial staff are strengthened in quantity and quality The staff has accumulated a wealth of experience and capabilities in the areas of transport design consultancy, irrigation, civil, industrial, operating and bidding  With the aim to be "Enterprise for workers", the life of the Company's staff is increasingly improved, the average salary of the next year is higher than the previous year Continue with the Company's Board of Directors to launch the campaign of raising charitable funds to the disadvantaged areas, supporting poor families, policy households inside and outside the Company 2.4.2 Limitations, weaknesses and causes Although the use of corporate capital in recent years has achieved certain results, but the business performance is not high, showing many limitations These limitations have a negative impact on the development of the business These restrictions include:  The quality of some products is not high, the progress is slow, some projects not ensure delivery time, not keep up with customer requirements, contributing to the company does not comply with the contract , increases the cost of contract violations, 64 affecting the company's profits Passive in participating in competition, seeking to expand new markets, not performing well management solutions to lower production costs, partners are still mostly traditional customers, new contracts through referrals Import and export activities still rely heavily on intermediaries causing cost losses  Cost management is ineffective although the Company has built a system of standards, norms for materials use, consumption norms for each type of materials, procedures for allocation and use but in the past The process of implementing this system has some limitations, which are not suitable with the actual situation of enterprises, leading to unsuitable norms and norms, redundancy and redundancy  The management of receivables has not been paid due attention and has not been strictly implemented, bad debts and overdue debts still arise over the years Although the Company has categorized debtors and debt groups to monitor and urge, it has not yet found an optimal plan, leading to some cases that may require an economic plan to cause loss of time , effort of money That has led to a large amount of corporate capital in receivables  The management of inventory is also not really close, causing many negative impacts on the Company, namely confined marketing forecast, leading to too much inventory and capital Mobile stasis has decreased directly the performance of capital use In addition, the Company has not been able to fully handle the stagnant materials, which are ineligible for production and business, in order to recover the capital even more, this amount of materials accounts for a significant volume in photo storage affect the import and storage of raw materials and materials when the price is good  Advertising and promotion activities, preferential policies for customers who consume products of enterprises have not been paid much attention Especially, in the time of fierce competition in the market today, reasonable trade policies such as reducing sales prices will attract more customers, reduce inventories, increase inventory turnover and improve performance use capital There is no specialized marketing department, the work of forecasting and analyzing marketing information is still weak, it has not been effective as a decisive basis in business, sometimes it misses opportunities or goes slowly compared to competitors Not timely and timely reporting information regime  Qualifications and competencies of some employees are still weak, not on par with the scale and operational requirements of the Company, especially the ability to communicate in English, drafting skills, document transactions, computer software There 65 is no good remuneration policy to retain talented people, especially for managers such as heads and deputy heads of Divisions  The company operates in the field of consultancy but rarely organizes seminars, workshops on the works to broaden the vision, enhance understanding as well as create opportunities for mutual learning labor, especially scientific and technical officials  The analysis of accounting data has not been considered seriously, only reconstructed in the State Report, the analysis of data and techniques for management and devised an almost open strategy makes the Company losing an effective management tool 66 CHAPTER 3: SOLUTIONS TO IMPROVE THE BUSINESS PERFORMANCE OF HOANG LONG MECHANICS TECHNOLOGY JOINT STOCK COMPANY 3.1 Business direction and strategy of Hoang Long Mechanics Technology Joint Stock Company in 2019-2020 The market is becoming more and more open, and the competitors are appearing more and more, along with the increasingly difficult and demanding demands of customers 2019 is considered a challenging year but also many opportunities for businesses Facing these opportunities and challenges, the company plans to build the business and production directions in 2019 as follows:  About business goals - Consulting and design revenue will strive to increase by 8% compared to 2018, reaching VND billion - Construction revenue is over VND 80 billion, up 53% compared to 2016, due to the revenue of the infrastructure of CocoBay Da Nang project and the laboratory system of the Military Military Academy Naitional defense - Processing revenue is expected to reach VND 4.1 billion, up 12% compared to the previous year, outsourcing activities will be paid much attention in 2019 because this is a business with a low investment cost but a profit pretty good - Profit before tax is over 10 billion - Profit after tax is over billion - Total equity of over 10 billion - Expanding the market, area and scope of activities outside the province, enlisting to sign contracts or participate in bidding for projects of capital sources both inside and outside the State budget and thoroughly exploit the provinces and cities currently quickly changing infrastructure such as Hai Phong, Lang Son, Da Nang, Vung Tau and many other provinces  Regarding the request for renewal - Capture quickly and promptly with the development of science and technology to avoid being left behind and backward compared to competitors - Upgrading, repairing and well exploiting all existing equipment, ensuring high performance, running out of capacity and increasing labor productivity - 67  Regarding improving the quality of resources and building corporate culture - Training and fostering professional and technical knowledge for laborers - Making good environmental sanitation, no noise, safety of life and health of workers  About social responsibility - Continue to uphold the spirit of activities that respect the law and contribute to the country's budget and development - Products must ensure high quality, beautiful appearance, diverse designs, delivery time in accordance with the contract, ensure credibility and attract more and more customers 3.2 Solutions to improve the business operation of Hoang Long Mechanics Technology Joint Stock Company in 2019-2020 After analyzing the business performance of Hoang Long Mechanics Technology Joint Stock Company, we realize that the business situation of the company is developing not really well, accompanied by a number of limitations Therefore, in order to improve the business performance of the unit, it is necessary to carry out positive, effective and appropriate solutions to the situation at the unit After analyzing in detail each indicator, the author presents some specific solutions as follows: 3.2.1 Solutions to increase revenue The quality of construction works confirms the value and ability of the company In a time when there is so much competition and challenge, the best way for a business to survive is to bring the best quality product possible Firstly, the design engineers of the company and the company must fulfill their responsibilities in the design project as well as in structural calculations and construction cost estimates Secondly, during the construction process, it is required to strictly control and avoid errors which affect the quality of the project and the time of contract performance Thirdly, the Company has to constantly renovate its designs, constantly improve product quality, apply scientific and technical advances to its production, thus increasing its competitiveness 68 Fourth, continue to maintain strengths in traditional businesses and expand to other business areas Traditional areas of the company are consultancy, design and construction The field of consultancy is a field that does not need much capital investment but gains high profits, the level of competition is also increasing Processing revenue and other revenue groups are still open, not yet paid attention 3.2.2 Solutions to reduce cost The inadequate control of expenses has significantly affected the process of increasing profits The cost control in the Company has many holes and losses Firstly, the Company needs to make a revenue and expenditure plan at the beginning of each financial year and review the results at the end of the year to draw experience Secondly, the Company needs to be more proactive in importing raw materials and materials, using raw materials at the works to avoid escapes, which increases the cost of goods sold Thirdly, to set cost norms for each department, each business time, it is necessary to have restrictive measures and sanctions imposed on the departments so that the implementation of cost control is optimal Fourthly, strict control of inventories by predicting and thoroughly understanding the market of raw materials and fuels, to choose the most appropriate time to choose the import and export of raw materials and materials, especially those times points needing large reserves and large price fluctuations Arranging the warehouse on the yards in a reasonable way, in case of lack of a warehouse, the rental cost must be increased Establish a strict warehousing and ex-warehousing process with full certification of the relevant departments, collusion collusion to withdraw core assets There should be other strict sanctions for the times in warehouse management Streamlining supplies that are no longer eligible for production and take liquidation measures if necessary 3.2.3 Solutions to exploitation the capital In the case that enterprises mainly operate by capital mobilized from the outside, to minimize the cost of capital usage The company should be flexible in finding sources of funding with appropriate interest rates by choosing an effective capital raising plan Loans 69 in the Company account for a high proportion, every year the Company has to pay interest expenses are not small, high loans lead to imbalances and loss of initiative in capital Firstly, mobilize and use resources appropriately for the company's investment projects, enhance the flow of capital flows, increase capital performance, and limit capital stagnation Make the most of equity, combined with credit and other sources, recover idle capital to reinvest Secondly, continue to contribute capital, invest and promote cooperation and liaison activities with other potential companies in order to increase investment performance and actively support activities to increase revenue and cost control Thirdly, strict control of accounts receivable The higher the Company's receivables means that the company is being appropriated capital, the stronger the recovery of receivables, the faster the company can recover the capital and circulate back process of importing raw materials into production The company needs to filter from the beginning with all customers entering into contracts, take measures to restrain with customers with bad debt history, need to take into account the worst case need to spend again from this customer list It is necessary to separate debt groups and debt ages so that accountants can have grounds to collect debts in each separate case During the process before and after construction, it is necessary to closely follow the activities of the partner company for timely handling Fourthly, the Company has not taken full advantage of available resources, leading to idle time from the time of workers, machines, factories creating continuous jobs, taking into account the necessity of having Non-profit process, avoiding idle labor Increasing activities of leasing machinery, avoiding state of machinery and equipment so as not to take advantage of the depreciation period Increasing warehousing activities, avoiding empty warehouses and wasting land assets 3.2.4 Solutions to improve marketing performance Introducing the company's image to customers is extremely necessary, especially in the era of digital technology and fierce competition today Marketing in the Company has not yet focused on exploitation Firstly, effective marketing activities will help speed up the consumption of products, improve business performance such as: advertising on newspapers, radio, 70 television, distributing leaflets, advertising banners, projects Design, write articles about the company and its design products in specialized magazines Secondly, the Company can also apply promotion measures, after-sales service, appropriate preferential policies, display and introduce products at specialized mechanical engineering fairs Third, the company can get acquainted with other businesses, contributing to improving the reputation 3.2.5 Solutions to improve the quality of human resources and retain talents The quality of human resources in the business is the key to success Moreover, the Company suffered the most serious brain drain in the field of consulting labor design, and the situation of losing talent to finance competitors and large corporations Firstly, regularly organize training sessions to improve knowledge inside and outside the Company Training dynamic and creative staff, working autonomy, and actively contacting and signing contracts with customers to expand the operation area to other provinces Especially in the field of construction materials and mechanical engineering, the company should actively seek customers, must actively introduce products, attract customers' attention, help the process of product consumption The product takes place faster Secondly, equip managers with knowledge through paid training programs to improve the quality of work Thirdly, Pre-screening at the beginning from the basic skills of foreign language, professional competence and office informatics Fourthly, the Board of Directors needs to build a healthy, friendly working environment, creating the atmosphere of the Company like a big family to connect members together Building a system of payroll scales, consistent with the capacity and professional qualifications of each individual, especially the talented factors Make good use of trade union funds, create a friendly business culture Fifthly, promptly encourage and reward individuals with outstanding achievements and creative ideas with high practicality 71 3.2.6 Solutions to improve data analysis methods of Accounting Department Finance - Accounting Department of the Company is operating only with the specialized accounting function, not paying attention to financial work and data analysis Today, as the management tools evolve, so as not to miss opportunities and always make the right decisions The board of directors should base on the basis of analyzing the detailed data Firstly, improve the qualifications of the staff of the Accounting Department with training sessions, training programs Secondly, develop a periodic reporting system that includes detailed data analysis Third, Hold regular meetings to analyze and dissect these data together with other departments 72 CONCLUSION Over two decades of construction and development of Hoang Long Mechanics Technology Joint Stock Company, it is impossible not to mention the difficulties that businesses have experienced and also the successes that have been recorded so that the Company can be acquired Shares of experienced Hoang Long mechanical engineering today The factors that have helped Hoang Long Mechanics Technology Joint Stock Company firmly in the market are focusing on building and developing the strength fields, which are the Company's tradition and also the flexibility with market innovation , have a breakthrough ability to create different projects and products, and also try to have a strong sales and distribution system For society, the company has contributed to building material facilities for society through the design, construction and construction of public works as well as residential houses, which has been an important contribution to the process industrialization - modernize the country On the side of the company, it has been constantly promoting its operational performance, expanding its business scale and diversifying its business lines, contributing to improving the company's competitive position in trade Business revenue of the company has been greatly increased due to the increasing demand for construction of social facilities to meet the economic growth rate, in addition to the demand for civil construction increased due to the increase of people's income in recent years Although the company has not been successful because the cost of products is still high, the profit earned is not achieved as expected but not discouraged the company has studied thoroughly and produced the right product for the demand Using, adjusting the Company's development strategy has strengthened the Company's position in the market The company also encountered a number of difficulties, in the course of business due to lack of capital, the company had to borrow short-term bank, so it incurs an interest expense incurred which affects profit of the company Mechanisms, policies and prices of mechanical and construction material sectors are constantly changing and fluctuating, affecting design, verification and appraisal according to progress Therefore, the Company needs to be more proactive in ensuring capital sources for production and business, limiting interest expenses to create an increase in profits for each project Strong financial potential is also a tool for the company to increase its reputation and attract investment from outside Besides, through the research paper, the study of production and business performance is a necessary job It helps the company better understand its position in the 73 market as well as better understanding of market trends and needs The result of the thesis is a basis for helping the company to make current and future decisions Through practical research, we know how customers evaluate their product quality, price, promotions, advertising are attractive, and the distribution system can meet the needs consumer demand or not From there we can compare the company's products with competitors in all aspects And understand our competitors can give us reasonable solutions In general, Hoang Long Mechanics Technology Joint Stock Company has achieved proud results in the process of building a foothold in the market Products of the Company are valued by customers more than competitors in all aspects But there are still some unsatisfied consumers, but through this research thesis, the company will find the optimal solutions to meet the increasing and ever-changing demands and tastes of customers The philosophy of community life and continuous contribution to the country is reflected in the strategic vision that has brought the company significant success and more solid steadiness 74 REFERENCES Dr Nguyen Nang Phuc (2003), "Economic analysis of theory and practice", Finance Publishing House, Hanoi Assoc TS Ngo Kim Thanh - Assoc.Prof.Dr Lê Văn Tâm, “Corporate Governance Curriculum :, National Economics University Press, Hanoi [twelfth] Nguyen Huu Lam, Dinh Thai Hoang, Pham Xuan Lan (1998), "Strategic management to develop competitive advantages", Education Publishing House, Hanoi HVTC (2018), "Methods of economic analysis", Journal of Academy of Finance [3] Dang Ngoc Hung (2016), "Analyzing business 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Hoang Long Mechanics Technology Joint Stock Company Joint Stock Company Hoang Long Mechanics Technology Joint Stock Company was established in 1998, with the main business of manufacturing high-tech... HOANG LONG MECHANICICS TECHNOLOGY JOINT STOCK COMPANY 2.1 Overview of Hoang Long Mechanics Technology Joint Stock Company Joint Stock Company 2.1.1 History of establishment and development of Hoang. .. TECHNOLOGY JOINT STOCK COMPANY 67 3.1 Business direction and strategy of Hoang Long Mechanics Technology Joint Stock Company in 2019-2020 67 3.2 Solutions to improve the business