Dual transition to help firms of all sizes

To Quoc Hung, country manager, ACCA Vietnam

In our interactions with business leaders, ACCA has found that they possess a deep understanding of their organisations. What they seek, however, is an approach that is both comprehensive and practical. To meet this need, we focus on delivering solutions that combine these elements seamlessly.

ACCA is conducting scientific research on the adoption of sustainable strategies and their impact on long-term business outcomes. By analysing around 10 years of data from various companies, we aim to provide insights that help business leaders see the bigger picture. Based on these findings, we will offer practical advisory solutions to support the integration of international standards into sustainability reporting.

Additionally, ACCA plans to introduce advisory approaches to help businesses quickly adopt international standards for sustainability reporting. This will also enable them to access green finance opportunities and meet trade requirements with countries prioritising green finance.

I am confident that these two approaches will help business leaders quickly grasp the key elements of the green transition in the near future.

Craig Richard Bradshaw, CEO, Masan High-Tech Materials

Transitioning to a circular economy presents both opportunities and challenges as we support the global shift towards sustainable technologies. Materials such as tungsten, fluoride, and copper are essential for green technologies, powering electric vehicle batteries, wind turbines, solar panels, and semiconductors.

However, intense competition from China, where companies benefit from substantial government support, poses significant challenges to global competitiveness. Despite this, our Vietnamese-made products are often favoured by customers seeking alternatives to Chinese sources.

A major challenge is scaling up recycling capabilities. While we have developed advanced technology to recycle scrap into valuable products domestically, delays in government approvals have slowed our progress in building recycling facilities. Although Vietnamese regulators have shown greater engagement recently, faster decision-making is crucial to prevent recycling initiatives from relocating to neighbouring countries such as Cambodia, Laos, or Malaysia.

Vietnam has ambitious circular economy goals, but current legislation does not fully support foreign investment in recycling infrastructure. With recent improvements in government stability, we are optimistic about accelerated regulatory processes that will enable effective circular solutions.

However, to fully realise Vietnam’s green economy vision, it is essential to address policy gaps at both national and local levels. Clear and actionable policies are critical for us and other businesses to confidently invest, expand infrastructure, and contribute meaningfully to the country’s sustainable development goals.

Chaturon Thipphiansak, deputy general director SCG Vietnam

We have developed cooperation and sustainable culture by incubating environmental, social, and governance (ESG) principles in all aspects of our operation.

We actively develop our human resources with a focus on three areas. Firstly, we regularly organise the training and build awareness for our employees, improve the community.

Secondly, we focus on the employee-driven initiatives. We encourage our employees to come up with their initiatives, such as designing the products based on ESG principles. Thirdly, we focus on the measurement and the reporting because it helps maintain the principles in our organisation.

Thus, we keep monitoring and reporting the results for our initiatives. Other companies may consider applying these initiatives to make their businesses sustainable.

SCG signed an MoU with the Ministry of Natural Resources and Environment to establish a circular economy forum in Vietnam. This forum will discuss sustainable development in the country. We also look at the industrial partnership because we cannot build all the supply chain by ourselves.

The key is about the industrial partnership, including our stakeholders, suppliers, vendors, service providers, and then our customers as well. We also collaborate with all the stakeholders in our industry to build the green supply chain in the market.

On top of all that, we focus on green technology applied to our processes and products. This can sustain the long-term development in terms of the product.

One challenge is the mindsets of people and relevant stakeholders. We should build a green mindset for our staff, the community, and customers in our industry. The next step is to develop the process to produce green products. For example, SCG has produced low-carbon cement, which can reduce the carbon emissions by 20 per cent.. We will focus on green products that can be recycled, and be environmentally friendly.

Le Hoai Thuong, senior corporate affairs manager Nestlé Vietnam

Dual transition is not a passing trend, but a long-term commitment embedded in the strategic priorities of leading companies. Nestlé Vietnam stands out as a pioneer in green and digital transformation, proving that a sustainable approach is not only essential for overcoming challenges, but also for thriving in an increasingly demanding international market

Nestlé Vietnam began laying the groundwork for its sustainability efforts in 2010-2011 when it committed to responsible sourcing coffee from local farmers. At that time, the concept of green transformation was not as widely recognised, but we saw the potential and importance of sustainable sourcing.

For a major food company like Nestlé, sourcing raw materials, particularly agricultural products, is a cornerstone of its operations. This is true not only for domestic production but also for meeting the demands of global markets, such as Europe. By establishing sustainable sourcing standards early on, we have mitigated risks arising from increasingly stringent international regulations on emissions and traceability.

This foresight helps ensure the company’s ongoing success and strengthens its supply chain.

Recognising the critical role farmers play, Nestlé has also partnered with them to transition towards more sustainable and environmentally friendly farming practices. The group has embraced digital tools to support farmers in managing their finances more efficiently. Nestlé has introduced a ‘farm diary’ app, enabling farmers to record income and expenses, optimise their profits, and increase transparency in operations.

By focusing on sustainable sourcing, supporting farmers, and collaborating with suppliers, the company has built a solid foundation for sustainable growth and success in the international market. This initiative encourages farmers to adopt sustainable practices that benefit both the environment and their livelihoods. These efforts not only help Nestlé meet its sustainable development goals but also position the company as a leader in environmental responsibility, ready to meet the growing demands of the global market.

Le Minh Trang, associate director, Retail Measurement Services, NielsenIQ

Green consumption in Vietnam is advancing positively as sustainability becomes a growing concern among consumers focused on the future. This shift is visible not only in shopping behaviours but also in long-term priorities surrounding the environment.

According to our Consumer Outlook and Expectation 2024 report, 16 per cent of Vietnamese consumers have made future sustainability as a key factor in their lifestyle and consumption choices, and 24 per cent are prioritising sustainable living in their short-term plans, underscoring the rising influence of eco-consciousness.

Beyond environmental issues, 82 per cent of Vietnamese consumers are focused on enhancing physical health and wellbeing, indicating an increasing preference for products and services that support personal wellness and positively impact the environment.

Consumers are now moving beyond individual concerns to address community-wide issues, recognising the value of sustainability and social responsibility. This evolution creates a significant opportunity for businesses to meet rising demands for eco-friendly products. To retain consumer loyalty, companies not only need to ensure quality but also actively demonstrate their commitment to environmental protection.

Many major brands are shifting their business models towards sustainability, adopting measures such as recycled packaging, reducing carbon emissions, and conserving water. These strategies have provided significant benefits for companies, especially as consumers increasingly prioritise sustainable consumption.

Additionally, transitioning to green production enables companies to reduce long-term costs by optimising energy and material use and minimising waste, thereby improving profit margins. Furthermore, companies benefit from enhanced brand image and a competitive advantage in the market. Lastly, adhering to international and national environmental standards opens up new export and business collaboration opportunities for companies.

Nguyen Thi Ngoc Hue, gneral manager Corporate Communications AEON Vietnam

According to a statistical analysis, the number of transactions on major e-commerce platforms is high, but the actual value of purchases remains modest. For high-value products such as electronics or health and beauty care items, AEON Vietnam has a competitive advantage due to its extensive offline stores, customer support system, and excellent after-sales policies.

We are also aiming to support customers in purchasing fresh and convenient products with the best quality through the development of online shopping applications such as websites and apps. AEON is also enhancing the integration of payments through an app where customers earn reward points when shopping at AEON Vietnam supermarkets and stores. These points can be used at all stores within the AEON ecosystem and our partners, creating additional opportunities and strengthening AEON’s competitiveness against other retailers and e-commerce platforms.

As a service-oriented enterprise with around 6,000 employees, including full-time and part-time staff, AEON Vietnam places special emphasis on enhancing awareness and training for its employees. We have implemented a policy to support over 50 per cent of tuition fees for all employees and encourage them to propose innovative ideas to contribute to community and social activities. The talent development policy and training programmes are considered the greatest benefits of working at AEON.

The company has been implementing various forms of coaching activities to help all employees easily access and understand the coaching culture, enabling them to apply it to their daily work in an effective manner.

We also offer a policy to sponsor half of tuition fees for external training courses for employees and focus on enhancing the quality of specialised training courses for the retail industry, not only through domestic programmes but also through study and work programmes in Japan.

To provide opportunities for employees to contribute to the sustainable development of the community, AEON has encouraged employees to participate in activities promoting sustainability.

Chung Dieu Tuan, CEO CME Solar Investment

With a skilled technical team, we ensure the stability and reliability of its systems, consistently advancing technology to maximise efficiency and quality. This approach enables businesses to significantly reduce energy costs while meeting sustainable development goals and carbon reduction commitments.

We collaborate with both foreign-invested enterprises and Vietnamese companies to install solar power systems on factory and business facility rooftops. By managing the investment, installation, and operation, we enable swift project deployment that meets renewable energy needs. These solutions deliver substantial energy savings while advancing the sustainability objectives of our clients.

Adhering to international standards and Vietnam’s technical and environmental, social, and governance requirements, we have partnered with global corporations such as Saint-Gobain, CJ Foods, LG Innotek, Song Hong Garment, AEON Mall, and Foxconn.