Samsung Sourcing Fair 2017: more opportunities for local firms

15 of the 26 participating enterprises were newcomers with great potential, nominated by the ministries and business associations.

Speaking at the event, Samsung Vietnam Complex president Shim Won Hwan said this kind of exhibitions on supporting industries is considered the first official connection between Samsung and Vietnamese enterprises, in a series of activities supporting Vietnamese suppliers.

“Enthusiastic participation along with the great determination of potential businesses in this 4^th event gave us the impetus to continue implementing practical activities to help them improve their production and enhance their competitiveness. They will play a very important role as the core agents to turn individual gains into the general development of the Vietnamese supporting industries,” said Hwan.

After the event, Samsung plans to provide consultancy services to help these enterprises improve their production processes and reach Samsung’s standards to supply products and components for Samsung Vietnam’s plants.

Beside these 15 new enterprises, the event is expected to connect five outstanding Tier 2 enterprises with more Tier 1 enterprises and Samsung factories in Vietnam directly, as well as create opportunities for six enterprises to showcase their best performance after finishing the three-month consultation programme with Samsung’s Korean experts to reform their production procedures and reach all standards required by Samsung’s factories in Vietnam.

In Samsung’s continuous efforts to connect Vietnamese enterprises to its global supply chain, besides Samsung Sourcing Fair, the consultancy programme with Korean experts also helps enterprises in their production improvement process and finalizes standards in supplying products and components for Samsung factories.

Actual results of enterprises reducing average error ratio by 25% and increasing production capacity by 30% prove the effectiveness and practicality of Samsung’s business consultancy programmes.

Since 2015, 26 Vietnamese businesses have received consultancy and starting from 2017, Samsung will expand the field of consultation to hi-tech industries to help Vietnamese enterprises produce sophisticated electronic parts in Samsung’s global supply chain.

After all the efforts to seek out and connect with Vietnamese vendors, the number of Vietnamese enterprises joining Samsung’s supply chain has increased dramatically to a total of 215 enterprises (25 Tier-1 vendors and 190 Tier-2 vendors).

It is expected that the number of Samsung’s Tier-1 vendors will increase to 29 in 2017. In addition, Samsung Vietnam has also recorded a significant breakthrough in raising the localisation rate of products from 35% in 2014 to 57% at present.