SETTING UP NEW PRODUCT TO IMPLEMENT PROJECT:
LUXURY SPORT SHOES
THUONG DINH FOOTWEAR ONE MEMBER COMPANY LIMITED I.
About the company:
1. Company information:
THUONG DINH FOOTWEAR COMPANY LIMITED
Address: No 277 Nguyen Trai str, Thanh Xuan, Hanoi
Tel: (04) 8586628 – 8544312 Fax: (04) 8582063
Email :
Web site : thuongdinhfootwear.com.vn
Certificate of business registration: 0104000224, date: 01/09/2005, place of issue:
Hanoi Planning and Investment Department.
Business Type: One member Co., Ltd.
Legal Representative: Mr. Pham Tuan Hung
Business Registration Capital: 50 billion dong
Scope of business: Production and sales of imported and exported footwear types.
2. The development process
Established in 1957, formerly known as the Department of X30 ordnance factory General Logistics Department - Vietnam People's Army. With nearly 200 employees
with the task of producing hard hat, rubber sandal for mainly technology is handwork
and half - mechanical.
In 1961: X30 Enterprise was transferred to the Department of Industrial Hanoi Hanoi People's Committee
In 1967 X30 Enterprise was received several other units and renamed Thuy Khue
Rubber Factory.
In 1970, merged with Hanoi canvas shoe factory and the main functions were:
Production of hats, shoes and other rubber products for the military, exports to the
Soviet Union, the countries of Eastern European and domestic markets.
In 1978, merged with fabrics Thuong Dinh Shoe factory and shoe factory named
Thuong Dinh fabric.
In 1993, officially named Thuong Dinh Shoe Company.
In July 2004, the Company established more Thuong Dinh Shoe factory in Ha Nam
leather shoes export in Dong Van Industrial Zone.
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From August 2005, the Company converted into Thuong Dinh footwear one member
Company Limited, under Hanoi People's Committee. The company currently has over
2000 employees and 7 production lines of modern footwear.
3. Company capacity
a. Product market:
Market and market share in Vietnam: The Company's products serve the needs of:
Sport, hiking, picnic, work wear, footwear, fashion shoes... accounted for 20% of
domestic market share which is distributed by 01 branch in HCMC, 03 general agents
in the North, the Central, and the South and 45 stores and introduced the company's
products in the provinces and cities.
Market and foreign market share: Since 1961 canvas shoes products of the company
have been exported to markets in Eastern Europe (old), from 1985's main export
market casual shoes are exported to EU, Australia, America (Canada, Brazil, USA ...)
domestic market, and some Asian countries like Japan, Korea ...
b. Resource
Human resource
- The level of management staff, technical staff force: The company has a team of
managers, qualified technical expertise to meet the business requirements of the
Company (Masters Degree, bachelor, engineer: over 130 people; College, Intermediate:
100 people).
- The company has always focused attention on training to improve staff capacity and
qualified workers. Annually regular training classes with teachers invited from outside to
teach awareness for staff expertise. Since 2002, the company has formed the basis for
regular training classes organized vocational training for workers; improve skill levels for
workers to meet the business requirements of company.
Equipment and technology
- Equipment: Investment expands production capacity from 7 to 10 production lines.
Increase production capacity of 5-6 million pairs in 2007 and 8 million pairs in 2010.
2
- The company always attaches importance to the continuous improvement and
investment in improving the efficiency of machinery, harmonized application of available
technology and new technology, product diversification.
- Currently, companies are adopting technology in the shoe manufacturing production
line modern of Japan, Taiwan, and South Korea.
4. Achievements
a. The achievement awarded by the state:
Third Class Medal (1960, 2001)
Labor Third Class Medal (1981, 2001)
Merit of the President (1976)
Certificate of Merit from the Prime Minister (1978, 2006)
Labor Order, Second Class (1987)
First Class Labor Medal (1997)
Independence Second Class Medal (2007)
b. The achievement by the consumer’s vote:
The Company's products are always voted on Top-Ten by consumers, continually
recognized as high-quality Vietnamese product from 1996 to 2008 (voted by
consumers - Sai Gon marketing held). Gain more gold and silver medals, at the
country and international Expo.
Thuong Dinh footwear brand has always been voted national famous brands in the
years 2006, 2007, 2008.
In 2004, the company awarded the Bach Thai Buoi portrait Cup, Hanoi Golden Cup,
for the typical enterprise.
In 2005, the company won the award for Hanoi gold sneakers, 03 gold medals for the
3 products at the gold fair towards Hanoi 1000 years.
.Thuong Dinh Footwear brand is recognized as one of the strongest brands in 2004,
2005 and 2006 by the Chamber of Commerce and Industry of Vietnam.
5. Products
a. Cloth Shoes:
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b. Sport Shoes
c. Kid Shoes
d. Sandal slipper
II. Strategic planning:
1. Preliminary evaluation of the current situation:
Thuong Dinh Footwear Company has 66 years of development; current brand name
has a large welcome from home and foreign customers. Always in the top brands of
Vietnam for footwear product, however, the products are for mass customers with the
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average and cheap price, not for customers at the middle and high class. This is an
issue that should be directed to the Company in this research project.
Sport shoes product on Vietnamese market today has a lot of companies and brand.
The competitiveness in the market is quite large. However, according to a preliminary
assessment, the biggest sale of the company remains the leading sports is Nike and
Adidas. Next is Puma, Lining and several others. There is not any high-end shoe
company’s product launches high-class sport shoes in Vietnam.
2. Project Objective:
2.1 Do the market research and provide criteria for the luxury sports shoes that company
can produce. Focusing on customers participating in sports: Tennis, table tennis and
badminton.
2.2 Production and testing for the product life form.
3. Target product
No
1
2
3
Shoes type
Tennis shoes
Badminton shoes
Table tennis shoes
Number of sample
01 sample
01 sample
01 sample
4. Scope and applied research:
4.1 Project is applied to internal Thuong Dinh Footwear Company
4.2 Scope of applied research for market research throughout the country, focusing on
markets in the plains.
III. Planning the project:
1. The process of project implementation:
5
6
2. The implementation plan:
2.1 Table of the general structure (WBS):
2.2 List of work and estimated time:
No
Work
Detail
1
Market
Market
research
Domestic
market
investigation
Competitor
investigation
Online
investigation
table
Direct
investigation
table
Investigation
Organization
2
3
4
5
6
research
Working
day
34 days
Start
15/11/13
1/1/14
Marketing
1 day
15/11/13
15/11/13
Marketing
1 day
15/11/13
15/11/13
Marketing
3 days
15/11/13
19/11/13
Marketing
3 days
15/11/13
19/11/13
Marketing
20 days
20/11/13
17/12/13
7
Finish
Previous
work
5
Department
Marketing
7
8
9
10
11
Product
Design
12
13
14
15
16
17
Production
18
19
20
21
22
23
24
25
Quality
assessment
Synthesis
report
Analysis
report
5 days
18/12/13
24/12/13
6
Marketing
3 days
25/12/13
27/12/13
7
Marketing
Making new
product
description
Product
Design
Analyze
product
description
Specify
design
Technical
description
preparation
Design
3 days
30/12/13
1/1/14
8
Marketing
26 days
2/1/14
5/2/14
9
Design
2 days
2/1/14
3/1/14
1 day
6/1/14
6/1/14
11
Design
5 days
7/1/14
13/1/14
12
Design
10 days
14/1/14
27/1/14
13
Design
Design
Review
Design
approval
Sample
Product
Analysis of
the
production
requirements
Material
preparation
HR
preparation
Conduct
production
Product
Rating
Acceptance
and transfer
Quality
assessment
2 days
28/1/14
29/1/14
14
Design
1 day
30/1/14
30/1/14
15
Design
20 days
31/1/14
26/2/14
16
Design
2 days
31/1/14
1/2/14
5 days
3/2/14
7/2/14
5 days
3/2/14
7/2/14
15 days
10/2/14
28/2/14
20
Design
2 days
3/3/14
4/3/14
21
Design
1 day
5/3/14
5/3/14
22
Design
30 days
6/3/14
16/4/14
23
Quality
control
Rating
durability
3 days
6/3/14
10/3/14
8
Design
Design
18
Design
Design
Quality
control
26
Aesthetic
appreciation
3 days
6/3/14
10/3/14
Quality
control
27
Technical
evaluation
criteria
Athletes trial
3 days
6/3/14
10/3/14
Quality
control
30 days
6/3/14
16/4/14
Quality
control
5 days
17/4/14
23/4/14
28
Quality
control
3 days
24/4/14
28/4/14
29
BOD
3 days
24/4/14
28/4/14
28
29
30
Synthesis
and
conclusion
Completion Approval
meeting
31
Launching
new product
Marketing
2.3 Market Research Plan:
a. Deployment time: 34 days (not including holidays) from 11/15/2013 to 31/12/2013
b. The chart of work:
c. Domestic market investigation
List and the number of shoe manufacturers for sports competitions in the country and
foreign firms
Prepare a comparison of market share
Assess the client's favorite categories of products available in the country.
Price comparison
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Compare maps of the distribution of brands.
d. Competitor researching
Report synthetic of direct competitors
General report directly competitive products
Report synthetic replacement products
Study strengths and weaknesses of each competitor.
Integrated assessment niche.
e. Consumer trend research
Prepare questionnaire
Online survey via the internet
Direct consumers investigation: 1000 samples
o 200 samples are for professional athletes and students in the school/ sports training
center.
o 800 samples are for amateur customers in the place of professional practice such
as tennis, table tennis and badminton.
f. Report assessment and conclusions:
Market assessment report
Assessment competitors report
Consumer trend report
New product description
2.4 Product design planning:
a. Deployment time: 26 working days from 02/01/2014 to 30/01/2014
b. The chart of work:
10
c. Design analysis
Analyze requirements from Marketing: A description of the new product.
Assign the appropriate designer: The design group has 03 people:
o Graphic Design Specialist: Requires skills in design aesthetic, young, not older
than 35 years old.
o
Sport Design Specialist: Has the knowledge of sports equipment design.
Understanding of the movement design.
o Design Specialist technical description, production design requirements for
manufacturing parts.
Tools and supplies preparation: The tools and supplies needed by the design
requirements.
d. Design
The overall design template: 03 images
The detailed engineering design: 03 template
Describing documentation for production department
e. Design sample
Compliance marketing requirements
Suitable technical requirements
Consistent with the company capacity
3. Planning and production:
a. Deployment time: 20 working days from 30/12/2014 to 05/03/14
b. The chart of work:
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c. Product
To meet technical requirements required by the design department
Number of products: 30 products (10 products for each sample)
Request Workshop A produces sample product, each stage consists 01 skilled workers
rank 5/5. Workers include:
o A production techniques
o A person from sole shoes group
o A person from cutting group
o A person from sewing group
o A person from accessories group
o A person from completion group
4. Plan product reviews
a. Deployment time: 30 working days from 06/03/2014 to 16/04/2014.
b. The chart of work:
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c. Detailed assessment:
Review the product description of marketing requirement.
Review product design and technical requirement.
Review aesthetics of the product based on the opinion evidence from 1,000 corporate
employees.
Contact athlete trial. The number of 20 people. Get feedback after 30 trial days.
Try durability through product and adverse impact force
Test product durability when exposed to corrosive chemicals naturally.
General information, product grading and reporting product reviews.
5. Monitoring activities management:
a. Working progress monitoring: See Appendix 01
b. Monitoring plan, project testing:
No
1.
Work
Complement date
Content
12/11/2013
Implementation
Product
Department
All departments
implementation
plan
proposal
2.
meeting
Market
research 05/12/2013
meeting
Research
Progress Project management
3.
report
Meeting
market 01/01/2013
Report
Presentation
research test
4.
Meeting
product
5.
1
product
specify design ...
design 18/01/2014
Report
meeting report
6.
nd
2
product
design
requirements
Top design options, Project management
product 02/01/2014
design deployment
st
Marketing
of All departments
on
design
Marketing
Design department
the Project management
Design department
implementation
Report
on
the Project management
design 23/01/2014
meeting report
design
implementation
13
Design department
7.
Browse
product 30/01/2014
Presentation design, All department
design
technical
8.
Sample
description
Top
9.
meeting
Browse
production 31/01/2014
model Project management
production plans
Workshop A
BOD
production 01/02/2014
plan
10. 1st production report 18/02/2014
Progress
Project management
report Project management
meeting
11. 2nd production report 25/02/2014
production
Progress
Workshop A
report Project management
meeting
12. Sample acceptant
production
Product Acceptance
13. Product
05/03/2013
review 06/03/2013
meeting
Workshop A
Project management
Planning
Workshop A
and Project management
organizing
the Quality control
inspection,
14. Product
assessment
Presentation
quality 24/04/2014
evaluation meeting
15. New product approval 24/04/2014
16. Launching
of All departments
evaluation reports
Project manager
new 28/04/2014
All departments
product
c. Estimated cost: (Unit: VND)
No
1
Work
Market research
Expense
Estimated risk (10%)
100,000,000
14
10,000,000
Note
Including the cost of
outsourcing
2
Product design
20,000,000
2,000,000
3
Sample product
45,000,000
4
Quality assessment
40,000,000
4,500,000 Including material and
production costs
Including the cost of
4,000,000 outsourcing
5
Launching
Total
10,000,000
215,000,000
1,000,000
21,500,000
Celebrated debut cost
236,500,000
References:
1. Curriculum: Project Management - Paris Graduate School of Management
2. Project Management Curriculum - National Economy University, Dr. Tu Quang
Phuong - Labor Publishing, 2005.
3. Project Management Software by Microsoft Project 2007.
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Appendix 01:
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