Overcoming difficulties and challenges in 2022, Quy Nhon Port achieved a spectacular result with a cargo throughput of more than 10.8 million tons and revenue of VND1,067 billion, higher than the targets it set at the beginning of the year.
Quy Nhon Port, one of the national general ports, is the most accessible major port not only for Binh Dinh province, but also for the Central Highlands provinces
In 2022, affected by the volatile global market (supply and demand, export and import prices of commodities), the cargo throughput via seaports declined.
In May 2022, in the expansion plan, Quy Nhon Port started the construction and upgrade of Wharf 1. This means that the entire 350-meter pier had to be temporarily closed, causing a sharp decline in ship arrivals at the port (down 31% from the same period in 2021). Some customers switched to neighboring ports.
Anticipating existing difficulties and challenges as well the effect of the upgrading project, the Board of Directors of Quy Nhon Port Joint Stock Company launched urgent measures like adjusting loading and unloading procedures and technology and reinforcing management in order to enhance the productivity of ship clearance (average capacity of ship clearance increased by 20-25% over 2021), adopted flexible policies for specific freight at times to release ships quickly and increase the performance of pier operations. The company prioritized wharves for high-performing vessels that carry wood chips, pellets, animal feeds, coils and equipment.
In particular, with its customer-centered working principle, Quy Nhon Port invested in building a customer service center with modern equipment, network infrastructure and software to serve customers around the clock, opened from April 2022. The center received requests and processed information, advised and guided procedures, and handled customer requests for port operation services. It also received suggestions and complaints, ensured best service delivery, and improved customer satisfaction.
To carry out the digital transformation strategy initiated by Vietnam Maritime Corporation (VIMC) for the 2021-2025 period, with a vision to 2030, in 2022, Quy Nhon Port adopted synchronous and comprehensive digital transformation in a bid to form a "Port Technology Ecosystem" that links port operations with customer files. The company upholds the customer-centric approach, improves positive experiences for customers through the e-Port electronic port application, helps customers reduce administrative cost while still being able to control remote import and export processes.
Besides, the Wharf 1 construction and upgrade illustrated its determination and efforts for better customer service and reduced congestion at the time of high demand. Given the current progress, Wharf 1 will be basically completed by the end of March 2023 and put into operation from April 2023. With a total berth length of 480m after the upgrade, the wharf can simultaneously receive two bulk vessels, 30,000 DWT container vessels at full load and 50,000DWT container vessels at full load in the later time. This endeavor will increase the designed output capacity of Quy Nhon Port to 15 million tons a year.
In addition, to realize one of six contents of VIMC's Dai Lai Action Statement “building devoted, talented and righteous personnel working with the principle of the organization for individuals and individuals for the organization, Quy Nhon Port continued to promote professional training and retraining for its front-office employees; carry out in-house training courses on management knowledge, professional expertise, skills and E-learning for back-office employees; and send some employees to learn experience in port administration and operation at partner ports. It also introduced the Code of Conduct to each employee; effectively applied the KPI system and paid 3Ps salaries to employees in order to motivate and reward high performing employees.
In 2022, Quy Nhon Port executed action programs and plans, actively applied Kaizen tools in all management, production and business activities to improve service quality. In the year, the company received 20 innovations, some of which were recognized for practical effects for the port and customers.
With its great efforts, in 2022, Quy Nhon Port achieved positive results: The cargo throughput was over 10.8 million tons (7% higher than the plan), including 137,800 TEUs of container cargo. Its consolidated revenue reached VND1,067 billion and its pre-tax profit exceeded VND120 billion. The average monthly income of an employee was VND17.2 million.
Although 2023 was forecasted to be a rough year, with the expected operation of upgraded Wharf 1 (scheduled prior to March 31, 2023) and the dredge of 3.8 ha of front water at the wharf, Quy Nhon Port targeted to handle 12.3 million tons of cargo.
Quy Nhon Port will continue to focus on improving service quality while closely following market developments to introduce customer support policies and maintain 100% of traditional customers. Furthermore, the port will focus on developing the source of container goods, especially from companies in the Central Highlands; and adopt a solution to shift from bulk handling to containerized handling for some kinds of cargo.
Last but not least, the port will continue to promote Kaizen standards in management and production; train and develop human resources and corporate culture. It will continue to construct a specific action program for "Customer-centric" approach according to the guideline of VIMC.
By Le Nam, Vietnam Business Forum
Vietnamese
October 2024
Hanoi