Phu Tho: Assisting companies with technological innovation

DNHN - Businesses are seen as the hub of socioeconomic development, so it is crucial to assist them in becoming more innovative. This is especially true for small and medium-sized industrial businesses, which are known for their innovative capabilities.

The 4.0 industrial revolution is having a significant impact on all facets of life, but businesses are thought to have the most potential because of the way that contemporary technology is being applied to support not only the development of new products and services in management and strategic planning, but also the reduction of transaction and management costs and an increase in labour productivity.

Phu Tho province has always paid attention to and concentrated on business development, realising that technological innovation plays a significant role for every business in the modern era. The Provincial People's Council issued Resolution No. 15/2020/NQ-HDND (Resolution 15), dated December 9, 2020, regulations to support industrial manufacturing enterprises, concretizing the Party's and the State's policies and orientations. In the province of Phu Tho, small and medium-sized businesses prioritise development by making investments, introducing new ideas, and updating technology.

Viet Nhat Industrial Production and Trading Joint Stock Company (Viet Nhat Company) has always made proactive investments in additional machinery and production lines since constructing the factory in Thuy Van Industrial Park (IZ), Viet Tri city. expanded to take the lead in the market, diversified plastic product groups, and used modern, upgraded technology.

"Recently, we decided to invest more than six billion VND in real money, combined with the support of 500 million VND from the province," stated Mr. Dinh Doan Loi, General Director and Chairman of the Board of Directors of Viet Nhat Company. The current project is "Technology line for producing polycarbonate plastic sheets: innovation and modernization." Modifying production technology has a positive impact on reducing noise, emissions, and waste heat from the manufacturing process as well as the environmental impact of solid production waste. It also improves product quality and boosts market competitiveness."

"In particular, new technology contributes to product colour and thickness diversification when compared to old technology. Businesses have seen an increase in revenue from 3,082 billion VND per month to 7,302 billion VND thanks to the efficiency of their innovation activities. The average monthly income of workers rose from 6 million VND to 8 million VND, and their monthly payments to the state budget increased from 140 million VND to 350 million VND, according to Mr. Loi.

The Province People's Committee reports that as of right now, there are over 10,000 businesses in the province, with small and medium-sized businesses (SMEs) making up roughly 96% of them. The majority of SMEs are small-scale businesses with few employees; workers' leadership and management abilities are still limited; and they use antiquated machinery and equipment for business and production.

Two years after Resolution 15 was put into effect (2021–2022), more than 50 registrations and proposals for support of technology innovation projects of businesses in different fields have been received. Support for 19 businesses has a total cost of 8.55 billion VND, or 7.9% of the total cost of businesses investing in the project.

The province will still provide 4,050 billion VND in 2023 to support roughly ten companies that completely abide by the rules. The technology used in supported projects is brand-new, cutting edge, contemporary, highly automated, and appropriate for the size, productivity, capacity, and resources of businesses. This helps businesses raise the calibre of their products. increased output, better-quality products, and lower production costs.

The Department of Science and Technology's Deputy Director, Ms. Chu Thi Bich Thuy, stated: "Investment projects supported by enterprises, as well as innovation and modernization of technology, machinery, and equipment, have brought clear production and business efficiency." Notably, in the two years 2021–2022, the revenue of 19 businesses supported by technological innovation increased from 94.96 billion VND/month to 144.997 billion VND/month, reaching an average growth rate of 92%. These businesses produced high-quality and productive products that gave workers stable incomes.

P.V