DKSH growing sustainably in Vietnam

May 23, 2023 | 09:30
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Market expansion services are more important to investors to make success in the local market. Kim Le Huy, vice president of Business Unit Consumer Goods at DKSH Vietnam, talked to VIR’s Bich Thuy about its development journey and future plans to contribute more to sustainable development.
DKSH growing sustainably in Vietnam

How does DKSH support companies to grow their businesses in Vietnam?

As a market expansion service provider across 37 markets, we continuously make efforts to not only improve our world-class services, but also contribute to the sustainable development of industries as well as communities.

With more than 30 years of experience in Vietnam, we are proud of being trusted partners of hundreds of companies across healthcare, consumer goods, performance materials, and technology.

We leverage that global experience combined with in-depth local market knowledge to help businesses succeed. This combination is our competitive advantage, which enable us to offer comprehensive solutions that meet the demand for growth of our clients’ and customers. We have also invested in high-quality facilities and infrastructure at 21 locations nationwide. Additionally, people are one of our key assets, contributing to company development. We consistently improve our workplace and policies to create the best place to work for everybody.

The stability of the supply chain is always a critical factor. How does DKSH learn from various global uncertainties?

Firstly, we need to make sure that we care for all the staff so that they will always contribute to the company’s stability and development.

The second lesson is to develop leadership, especially local leadership, who have thorough knowledge about the market. During difficult times, they are the ones that make important decisions. They are also the connector among sources, not only those within DKSH, but also among partners and local authorities.

The third is to pay due attention to our operation mechanism to ensure that it is continuously improved and ready to make timely responses to any event, even unexpected ones.

What are the plans of DKSH in Vietnam to contribute to the country’s effort in the digital and green transition?

DKSH has continuously strengthened and expanded its service offerings to deliver growth for existing as well as new companies in Vietnam, Asia, and beyond. Besides offering our business partners best-in-class services, we also leverage our market position to contribute to the sustainable development of the communities where we operate, including Vietnam.

Being environmentally conscious, DKSH is committed to playing its part in preventing climate change. Our commitment to sustainability is further strengthened by our joining the UN Global Compact in May 2022 globally, as well as announcing a new target for gas emission reduction of 65 per cent by 2025 against our 2020 baseline.

We are going to replace halogen lightbulbs with LED bulbs to optimise utility consumption at all of our warehouses, distribution centres, and cross docks by the end of 2023. We also conduct a feasibility study with the owners of the buildings/distribution centres where we lease to consider the installation of solar panels. Moreover, when planning for any new distribution centre, we make a conscious decision to prioritise sustainable features.

As part of our daily operations, we are transforming our transportation to be more sustainable with specific solutions. We optimise vehicles, schedules, and delivery routes by reviewing the volume and delivery frequency of delivery points.

Throughout the distribution partner selection process, we favour those who also take environmental responsibilities seriously. We also strongly encourage partners to use renewable energy or green vehicles and/or consider more environmentally friendly alternatives when it comes to energy consumption.

Besides gas emissions, the bulk of our waste comprises packaging materials from our logistics. Our supply chain management team has recently reused carton cardboard to replace bubble wrap and styrofoam in packing goods for delivery.

Over the past few years, DKSH has continuously embraced digital technologies to adapt to ever-changing market environments and ensure sustainable growth. In partnership with HSBC and Payoo, we have implemented mPay, a cashless payment solution that supports businesses by providing multiple options on one single platform.

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With the combination of global experience and in-depth local market understanding, DKSH Vietnam is consistently improving its world-class service portfolio to help businesses succeed across Asia and beyond, especially in the consumer goods segment.

By Bich Thuy

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