SCORE
Swiss high-level delegation visits wood processing company
The delegation with representatives from the Swiss Government, employers and workers’ organizations visited Tien Hung Furniture Co., a Binh Duong-based wood processing company which has sucessfully participated in SCORE Training.
The Sustaining Competitive and Responsible Enterprises (SCORE) Programme of the International Labour Organization (ILO) improves productivity and working conditions in small and medium enterprises (SMEs). Through training and in-factory consulting, the programme demonstrates international best practice in manufacturing and helps SMEs to participate in global supply chains.
In Viet Nam, the programme is implemented by the ILO, the Viet Nam Chamber of Commerce and Industry, HCM City Branch, in cooperation with business associations including Binh Duong Furniture Association (BIFA), Handicraft and Wood processing Association of HCM City (HAWA) and the Binh Dinh Forestry Product Association (FPA).
Co-financed by the Swiss State Secretariat for Economic Affairs (SECO), more than 170 enterprises representing more than 60,000 workers have improved productivity and working conditions through SCORE Training. Among them, Tien Hung Furniture Co. joined SCORE Training in 2015 and has been a success story.
State Secretary and Head of the Labour Directorate of SECO, Boris Zürcher, highlighted that “the SCORE approach is a win-win situation for the employers as well as the workers. The programme contributes to the improvement of labour conditions in SMEs. At the same time, it enhances efficiency and productivity and increases the potential for the company to grow. I encourage enterprises to participate in this programme.”
Ambassador and Head of Economic Cooperation and Development, SECO, Raymund Furrer, said: “I am pleased to see that SECO’s support to SCORE helps improve the labour conditions and productivity of companies in the wood processing sector in Vietnam, thereby benefitting the workers and the factories. This is important, as decent working conditions are key to help businesses gain access to new markets and contribute to sustainable economic growth.”
Since participating in SCORE Training, Tien Hung has spent significant efforts to improve its productivity and working conditions. The company has engaged its workers in all improvements and empowered them to take more responsibility within their work areas. Managers and workers jointly improved inefficient processes, which has reduced the heavy workload and created a cleaner and safer working environment.
At the same time, productivity of different production stages increased from 10 per cent up to 50 per cent and the average defect rate in 2018 was 63 per cent lower compared to the previous year.
Tien Hung estimated that these improvements have saved the company VND1.3 billion (US$55,800) annually.
Nguyen Phi Hung, the company’s Director appreciated SCORE Training for its “systematic and sustainable approach”.
“The improvements implemented in SCORE Training helped us to improve labour productivity, save cost and significantly reduce our defect rate,” he said.
BIFA Chairman Dien Quang Hiep highlighted that “SCORE Training has been the most effective training programme that our association has provided to our members so far, contributing significantly to the development of the wood processing industry here in Binh Duong province”.
Until the end of 2021 the SCORE programme will continue to work closely with the local partners to provide support to more enteprises and share good business and management practices more widely in the business community.
For further details, please contact:
Phung Duc Hoang (Mr)SCORE National Programme Coordinator - ILO Viet Nam
171 Vo Thi Sau St., Ward 7, Dist.3, Ho Chi Minh City
Email: duchoang@ilo.org
www.ilo.org/score
Nguyen Le Nhat Thanh (Mr)
SCORE Program Coordinator – VCCI HCM
171 Vo Thi Sau St., Ward 7, Dist.3, Ho Chi Minh City
Email: thanh.nguyen@vcci-hcm.org.vn
www.score.com.vn