Digital enterprise – on the way to Industry 4.0 discusses emerging challenges and opportunities generated by the megatrend of digitalisation. (Source:Siemens) Hanoi (VNA)— The core of the Fourth Industrial Revolution is “smart manufacturingplants”. However, Vietnamese enterprises are not fully prepared to access therevolution, Deputy Minister of Industry and Trade (MoIT) Cao QuocHung has said.
At the business conference “Digital enterprise – on the way to Industry 4.0,”held in Hanoi on July 20, Hung said together with the foundation ofrapid development and high-level integration of science achievements and moderntechnologies in sectors of digitalisation, bio-technology and physics, theFourth Industrial Revolution is expected to remarkably change the appearance ofmanufacturing of the world and Vietnam in the near future.
“Besides this, this model will help enterprises increase their productivity,flexibility and efficiency, as well as shorten production time to make productsavailable in the market, resulting in improvement of an enterprise’scompetitiveness. Consumers can also benefit from higher quality, morereasonable prices and favourable products, as expected,” he added.
He said the revolution could create both opportunities and challenges forVietnam. If Vietnam did not catch up with the world and the region’sdevelopment, it would face challenges and effects of backward technologies,decreasing production, abundant skilled labour and copyright violation.
The deputy minister also forecast an inflow of old technologies from developedto developing countries.
Active approaches to state-of-the-art technologies and new development trend ofthe Fourth Industrial Revolution have been strongly supported by the VietnameseGovernment and have been clearly stated in Directive 16/CT-TTg, which wasissued by the Prime Minister of Vietnam on May 5, 2017, with regard to theenhancement of the capacity building approach towards the Fourth IndustrialRevolution.
Involvement of authorities at all levels, in particular of the businesscommunity, is the prerequisite for Vietnam to optimise opportunities generatedby this revolution. Supporting companies in accessing information and data,technology transfer and transforming into a digital enterprise will be one ofkey priorities of the MoIT in the future under Directive 16/CT-TTg.”
Sharing ideas, Tran Viet Hoa, Deputy Director of the ministry’s Department ofScience and Technology said local firms would face challenges under the FourthIndustrial Revolution.
Vietnam has 97 percent of small-and-medium sized enterprises with registeredcapital of 4-7 billion VND (176,000-308,400 USD). The small scale of theseenterprises would make them unable to import new technologies into production.
Currently, up to 70 percent of machines and technologies were imported in the1980s and 1990s. More than 75 percent of the technologies were fullydepreciated.
A survey of the department showed that the rate of applying IT in automationand production management has been very low.
Another survey of the Hanoi Small-and-Medium Sized Enterprises Associationrevealed that businesses were not fully prepared to access the revolution. Upto 55 percent of surveyed firms believed that the revolution would have asignificant effect. However, only 12 percent said they have been preparing forthe revolution, some 55 percent have been studying about this and 79 percenthave been doing nothing, according to the survey.
Christian Berger, German Ambassador to Vietnam, said: “The FourthIndustrial Revolution has enormous potential to deliver. However, closecooperation and dialogue are needed nationally and internationally to ensurethat we receive the benefits but avoid the risks from digitalised and automatedproduction. It is essential that in our deliberations, we do not forget thatpeople are the main actors, the main resource and the one goal of anydevelopment."
“Siemens terms its path to the Fourth Industrial Revolution as the“Digital Enterprise”. With Digital Enterprise, Siemens offers solutions toaddress specific requirements of the manufacturing and processing industry.These solutions combine the world of planning and operation to create anintegral plant management concept covering the entire lifecycle of anindustrial plant. The path to Digital Enterprise is comprised of four coreelements that logically build on one another. Each of these core elementsis comprised of a unique portfolio that prepares our customers for therevolution. Vietnamese customers are not alone on the way to Industry 4.0. Theycan count on Siemens,” Siemens Vietnamese president and CEO Pham Thai Laiemphasised.
“To take advantage of the Fourth Industrial Revolution, Vietnam needs to createmotivation for enterprises, such as creating favourable conditions or legalframework so that they are confident about joining the revolution. Networking andtechnology transfer should be the optimal methods for Vietnamese companies onthe path to Industry 4.0,” Marko Walde, Chief Representative of AHK Vietnam& Chairman of GBA Vietnam, said.
The event was co-organised by MoIT, the German Embassy in Vietnam, Siemens andGerman Industry and Commerce Vietnam (GIC/AHK Vietnam). It attracted more thanhundred delegates, including senior government policy and decision-makers,business leaders and specialists, who came together to address emergingchallenges and opportunities generated by the megatrend of digitalisation witha view to support Vietnamese enterprises on the path to the Fourth IndustrialRevolution. VNA
At the business conference “Digital enterprise – on the way to Industry 4.0,”held in Hanoi on July 20, Hung said together with the foundation ofrapid development and high-level integration of science achievements and moderntechnologies in sectors of digitalisation, bio-technology and physics, theFourth Industrial Revolution is expected to remarkably change the appearance ofmanufacturing of the world and Vietnam in the near future.
“Besides this, this model will help enterprises increase their productivity,flexibility and efficiency, as well as shorten production time to make productsavailable in the market, resulting in improvement of an enterprise’scompetitiveness. Consumers can also benefit from higher quality, morereasonable prices and favourable products, as expected,” he added.
He said the revolution could create both opportunities and challenges forVietnam. If Vietnam did not catch up with the world and the region’sdevelopment, it would face challenges and effects of backward technologies,decreasing production, abundant skilled labour and copyright violation.
The deputy minister also forecast an inflow of old technologies from developedto developing countries.
Active approaches to state-of-the-art technologies and new development trend ofthe Fourth Industrial Revolution have been strongly supported by the VietnameseGovernment and have been clearly stated in Directive 16/CT-TTg, which wasissued by the Prime Minister of Vietnam on May 5, 2017, with regard to theenhancement of the capacity building approach towards the Fourth IndustrialRevolution.
Involvement of authorities at all levels, in particular of the businesscommunity, is the prerequisite for Vietnam to optimise opportunities generatedby this revolution. Supporting companies in accessing information and data,technology transfer and transforming into a digital enterprise will be one ofkey priorities of the MoIT in the future under Directive 16/CT-TTg.”
Sharing ideas, Tran Viet Hoa, Deputy Director of the ministry’s Department ofScience and Technology said local firms would face challenges under the FourthIndustrial Revolution.
Vietnam has 97 percent of small-and-medium sized enterprises with registeredcapital of 4-7 billion VND (176,000-308,400 USD). The small scale of theseenterprises would make them unable to import new technologies into production.
Currently, up to 70 percent of machines and technologies were imported in the1980s and 1990s. More than 75 percent of the technologies were fullydepreciated.
A survey of the department showed that the rate of applying IT in automationand production management has been very low.
Another survey of the Hanoi Small-and-Medium Sized Enterprises Associationrevealed that businesses were not fully prepared to access the revolution. Upto 55 percent of surveyed firms believed that the revolution would have asignificant effect. However, only 12 percent said they have been preparing forthe revolution, some 55 percent have been studying about this and 79 percenthave been doing nothing, according to the survey.
Christian Berger, German Ambassador to Vietnam, said: “The FourthIndustrial Revolution has enormous potential to deliver. However, closecooperation and dialogue are needed nationally and internationally to ensurethat we receive the benefits but avoid the risks from digitalised and automatedproduction. It is essential that in our deliberations, we do not forget thatpeople are the main actors, the main resource and the one goal of anydevelopment."
“Siemens terms its path to the Fourth Industrial Revolution as the“Digital Enterprise”. With Digital Enterprise, Siemens offers solutions toaddress specific requirements of the manufacturing and processing industry.These solutions combine the world of planning and operation to create anintegral plant management concept covering the entire lifecycle of anindustrial plant. The path to Digital Enterprise is comprised of four coreelements that logically build on one another. Each of these core elementsis comprised of a unique portfolio that prepares our customers for therevolution. Vietnamese customers are not alone on the way to Industry 4.0. Theycan count on Siemens,” Siemens Vietnamese president and CEO Pham Thai Laiemphasised.
“To take advantage of the Fourth Industrial Revolution, Vietnam needs to createmotivation for enterprises, such as creating favourable conditions or legalframework so that they are confident about joining the revolution. Networking andtechnology transfer should be the optimal methods for Vietnamese companies onthe path to Industry 4.0,” Marko Walde, Chief Representative of AHK Vietnam& Chairman of GBA Vietnam, said.
The event was co-organised by MoIT, the German Embassy in Vietnam, Siemens andGerman Industry and Commerce Vietnam (GIC/AHK Vietnam). It attracted more thanhundred delegates, including senior government policy and decision-makers,business leaders and specialists, who came together to address emergingchallenges and opportunities generated by the megatrend of digitalisation witha view to support Vietnamese enterprises on the path to the Fourth IndustrialRevolution. VNA
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