February 25th, 2021

Overcoming the crisis in Sun World and Phung Vinh Hung Paper

The Leader of Sun World emphasized that if you cannot lead the market, go with the market, do not stay behind the market and the prerequisite is to grasp the trend.

Vượt khủng hoảng ở Sun World và Giấy Phùng Vĩnh Hưng
Sun World đã phải chủ động thay đổi rất nhanh trong mùa dịch

"During the last Covid-19 pandemic, Sun World was the most affected unit", said Duong Phu Nam, General Director of Sun World at an event on flexible adaptive capacity in the digital age organized by Dale Carnegie Entrepreneur School. According to Mr. Nam, the tourism industry is changing quite quickly, most customers organize themselves and use technology equipment to assist, instead of contacting through travel companies.

Therefore, if travel companies or entertainment companies do not predict or change according to the market, they will certainly be slower than their competitors, not active enough and not adapt to the change. This can lead to inaccessibility of customers as well as loss of control. 

The Leader of Sun World emphasized that if you cannot lead the market, go with the market, do not stay behind the market and the prerequisite is to grasp the trend.

Talking about this strategy, Mr. Nam shared that instead of spending 70% of the budget on television and the press like before, Sun World has spent 80% on social media channels based on the changing of consumer behavior, the remaining 10% for television and 10% for press. These changes have revolutionized market access.

Thích ứng linh hoạt mùa dịch ở Sun World và Giấy Phùng Vĩnh Hưng
Mr. Duong Phu Nam - CEO of Sun World

“When running a campaign to the market, to advertise on television, the press usually takes two weeks to a month but that time is not flexible enough to meet the trend. After the change, Sun World only needs three days to cover the market quite well,” said Mr. Nam.

Another attractive trend pointed out by the representative of Sun World is music marketing with influencers (KOLs) such as Chi Pu, Bich Phuong, Quang Dang, ... typically the dance "Ghen Covid" by Quang Dang. This is a trend that Mr. Nam thinks must look continuously, creating a high-pressure orientation for employees to keep up with the trend.

Notably, the enterprises need to keep up with the trend of technology, otherwise, they will miss a right opportunity to promote products and services. The enterprises must let employees expose their employees to a lot of technology, so that they are ready and not overwhelmed in the battle related to technology. Being ready always helps businesses to have a more mastery position before the coming of all changes.

Urgent strategies

Flexible adaptive capacity as shown in the way Sun World leadership is doing is gradually becoming particularly important in today's volatile, complex, vague and uncertain VUCA world.

The profound impact of the Covid-19 pandemic is a clear evidence for sudden changes, especially in the context of digital transformation dominating many fields, directly affecting the business of many companies.

Notably, the small businesses and big ones as well are facing some major problems such as the sudden transition to remote online work; Leaders must make difficult decisions about existence, development orientation and personnel; fluctuations in supply and demand; technology and process do not meet job requirements; risks about culture, company, brand.

Objectively, customer behavior changes in the direction of increasing "expectations", big data also makes the implicit facts become clearer. The business environment is changing day by day due to the impact of market mutants, changing laws, investor expectations, talent competition, new technology, pandemic and natural ear.

In that context, changing people's thinking, working and consuming habits and above all, that is the agility began to be revisited and become an urgent strategy. This concept is quite new in Vietnam and is often confused or assimilated with flexibility - ability, improvisation or adaptive skills (in a passive position) before events, incidents, an existing change or has occurred..

Flexible adaptive capacity helps businesses better grasp, even predict the possibilities, take steps to build the most appropriate business plan and save the most time and cost in the whole present time and future. Thanks to that, the sustainable development is also guaranteed and more solid.

Thích ứng linh hoạt mùa dịch ở Sun World và Giấy Phùng Vĩnh Hưng 1
Mrs. To My Chau - CEO of CP Paper Corporation & Phung Vinh Hung Paper JSC

Some businesses did not have a clear business model in the past, but problems stemming from the effects of the pandemic drove them out of the comfort zone of their previous core competencies, building new capabilities promise to create sustainable development for businesses. Or some other companies have more opportunities and conditions, inspired directed by surrounding relationships and opened up for themselves a new core competency.

Despite having more than 20 years of experience in the paper trading business, Phung Vinh Hung Paper Joint Stock Company has recently switched to providing environmentally friendly products, food safety and related products in food and beverage field.

“During the Covid-19 period, people often ordered food and drink products, and went shopping online. That makes our company team feel we should get out of the safe area, try harder for the future direction”, said Ms. To My Chau, General Director of Phung Vinh Hung Paper Joint Stock Company.

According to Mrs. Chau, the biggest challenge lies in herself and the team. In the early days, when switching to the F&B application paper model (paper cups, food containers ...), the team was still quite confused and wanted to step back. Therefore, she has determined that she needs to correctly see the upcoming trend, put herself in that position to go up day by day.

Recognizing the case of Phung Vinh Hung, Ms. Nguyen Trinh Khanh Linh, Chairman of Dale Carnegie Vietnam, said that the internal problem that leaders must solve before the ability to adapt flexibly takes place across the team is to instill confidence in the team.

Thích ứng linh hoạt mùa dịch ở Sun World và Giấy Phùng Vĩnh Hưng 2
Mrs. Nguyen Trinh Khanh Linh - President of Dale Carnegie Vietnam

As for Dale Carnegie, Mrs. Linh said, the flexible adaptive capacity is the ability to help organizations and companies gather and act based on information, make quick decisions, implement necessary changes to adapt to the requirements of customers and the business environment. 

Even there are many companies that want to adapt flexibly because opportunities come from customers and business environment but also encounter barriers from internal and the system side.

Beside the "trendy" nature, flexible adaptive capacity is also considered as a useful tool and method to help businesses follow the proposed development direction without having to change too much even though they encounter must fluctuate.

Specifically, thanks to the analysis and prediction of the future, flexible adaptive capacity gives leaders the ability to position the end goal instead of the relative short-term goals in the past.

On the other hand, because of the requirement of "mutual progress", "consensus" in the team, flexible adaptive capacity also helps businesses empower the team to become a representative to promote exchange when they are who have their own right to propose, comment and adjust according to the professional scope and their responsible departments. This activity also allows individuals to see value in what they do.

"This will help create the consistency between the organizational structure and the specificity of each department", said Ms. Linh.

Ultimately, the change means sacrificial and eliminated considerations, the ability to adapt - with the ability to evaluate and predict imminent results, will provide and suggest the best models, available for all the necessary organizational trade-offs.

Source: TheLEADER