National WorkshopNational Workshopon on

“SME cluster Development and “SME cluster Development and Export Consortia Formation”Export Consortia Formation”

in Viet namin Viet nam

Nguyen Minh Hien-VCCINguyen Minh Hien-VCCI

General InformationGeneral Information

VCCI has organized the national workshop on VCCI has organized the national workshop on “SME cluster development and Export “SME cluster development and Export Consortia Formation” Consortia Formation” in Bat Trang Ceramics in Bat Trang Ceramics Village, Hanoi, Vietnam on 4 and 5 October 2012.Village, Hanoi, Vietnam on 4 and 5 October 2012.

This workshop is a coherence of VCCI’s project on This workshop is a coherence of VCCI’s project on “Support to the Development and Management of “Support to the Development and Management of industrial clusters” and a part of the three-year industrial clusters” and a part of the three-year project on “project on “Capacity Building for the Integration of Capacity Building for the Integration of CLMV Economies into ASEAN Economic CLMV Economies into ASEAN Economic CommunityCommunity” implemented by Mekong Institute ” implemented by Mekong Institute being funded under the New Zealand Aid being funded under the New Zealand Aid Programme.Programme.

Workshop ObjectivesWorkshop Objectives

SMEs that are exporting or having plan to join global market with the necessary SMEs that are exporting or having plan to join global market with the necessary knowledge and skills to develop SME cluster and promote export via export knowledge and skills to develop SME cluster and promote export via export consortia formation. consortia formation.

To assess the challenges of AEC;To assess the challenges of AEC; To realise the importance of integration of SMEs in the context of AEC 2015;To realise the importance of integration of SMEs in the context of AEC 2015; To gain knowledge on concepts and principles of SME cluster;To gain knowledge on concepts and principles of SME cluster; To develop skills in diagnosing cluster and its key features, cluster actors and To develop skills in diagnosing cluster and its key features, cluster actors and

their roles;their roles; To recognize opportunities and prioritizing key sectors for cluster developmentTo recognize opportunities and prioritizing key sectors for cluster development To understand steps of cluster development and cluster functions;To understand steps of cluster development and cluster functions; To gain knowledge about formation of export consortia;To gain knowledge about formation of export consortia; To understand the process of the registration for an export consortium;To understand the process of the registration for an export consortium; To be able to develop an action plan to form and operate 2 export consortia.To be able to develop an action plan to form and operate 2 export consortia.

Participants of workshopParticipants of workshop

There were 32 participants from Bat Trang There were 32 participants from Bat Trang traditional porcelain and ceramics traditional porcelain and ceramics production and trading companies and production and trading companies and households. households.

Bat Trang VillageBat Trang Village

Bat Trang is a village in North Vietnam Bat Trang is a village in North Vietnam about 13 kilometers south east of hanoi, on about 13 kilometers south east of hanoi, on the Red river. It has been famous for its the Red river. It has been famous for its ceramics for a thousand year, particularly ceramics for a thousand year, particularly dinnerware and ornamental ware. The Bat dinnerware and ornamental ware. The Bat Trang producers export ceramic goods Trang producers export ceramic goods annually to the value of over $40 million.annually to the value of over $40 million.

Contents of workshopContents of workshop

The workshop was conducted over two The workshop was conducted over two days( 04-05 October 2012), and included days( 04-05 October 2012), and included lectures, Q & A, and group discussions, lectures, Q & A, and group discussions, which were divided into three modules. which were divided into three modules.

Module I: SMEs and Cluster Module I: SMEs and Cluster developmentdevelopment

AEC challenges on SME developmentAEC challenges on SME development AEC framework and its implicationAEC framework and its implication AEC challenges on SME development in CLMV countriesAEC challenges on SME development in CLMV countries Integration of regional SME Development in the AEC frameworkIntegration of regional SME Development in the AEC framework National case studyNational case study

Developing SME ClusterDeveloping SME Cluster Concepts and principles of SMEs clusterConcepts and principles of SMEs cluster Tools and approaches for developing SME clusterTools and approaches for developing SME cluster Importance of SME cluster developmentImportance of SME cluster development Value chain analysis to identify key value chain actorsValue chain analysis to identify key value chain actors Case study of cluster development and its operation on SME Case study of cluster development and its operation on SME

clusters in Asia, with the case of cluster development in clusters in Asia, with the case of cluster development in VietnamVietnam

Module 2: Export Consortia Module 2: Export Consortia formationformation

Principles of export consortiaPrinciples of export consortia What is an export consortium?What is an export consortium? Overview to different types of export consortiaOverview to different types of export consortia Framework of export consortiaFramework of export consortia Benefits of export consortiaBenefits of export consortia

Creating an export consortiumCreating an export consortium Steps involved in consortium creation processSteps involved in consortium creation process Services provided by export consortiaServices provided by export consortia Examples of SME/Export consortiaExamples of SME/Export consortia Steps for registration as export companySteps for registration as export company Documentation required for registering an export companyDocumentation required for registering an export company

Module 3: Coaching to form Module 3: Coaching to form export consortiaexport consortia

All participants were guided to prepare their All participants were guided to prepare their action plans to form an export consortium.action plans to form an export consortium.

Introduction partIntroduction part

Overview of the project “Overview of the project “Capacity Building for the Capacity Building for the Integration of CLMV Economies into ASEAN Economic Integration of CLMV Economies into ASEAN Economic CommunityCommunity”, the objectives, expected outcome, agenda ”, the objectives, expected outcome, agenda and resource persons of the workshop. and resource persons of the workshop.

Participants introduced themselves and their expectations.Participants introduced themselves and their expectations. The pre-training questionnaires that include questions on The pre-training questionnaires that include questions on

understanding the knowledge of participants on the topics understanding the knowledge of participants on the topics of the workshop have been distributed to all participants. of the workshop have been distributed to all participants.

Take a photo for memory.Take a photo for memory.

Coaching participants to develop action planCoaching participants to develop action plan

Instructed the participants how to develop Instructed the participants how to develop action plans to form consortia.action plans to form consortia.

All participants were divided into 2 groups to All participants were divided into 2 groups to discuss and develop their action plans. discuss and develop their action plans.

Presented action plans. Presented action plans. Discussing these action plans have revised Discussing these action plans have revised

by both groups after taking consideration of by both groups after taking consideration of all contributed comments. all contributed comments.

Workshop EvaluationWorkshop Evaluation

Pre- and post-assessment sheets have Pre- and post-assessment sheets have been distributed to each participant at the been distributed to each participant at the beginning of the workshop to learn the level beginning of the workshop to learn the level of participants’ awareness, knowledge of participants’ awareness, knowledge and/or skill on each of the modules of the and/or skill on each of the modules of the workshop before and after participating in workshop before and after participating in this national workshop.this national workshop.

All 32 participants have filled in the pre- and All 32 participants have filled in the pre- and post- assessment sheets. post- assessment sheets.

Workshop Evaluation(cont’)Workshop Evaluation(cont’)

In pre and post assessment sheets, at the end of the In pre and post assessment sheets, at the end of the workshop, the participants filled in a simple multiple workshop, the participants filled in a simple multiple choice evaluation form. This consisted of the choice evaluation form. This consisted of the following 10 following questions:following 10 following questions:

How was the knowledge provided by this workshop?How was the knowledge provided by this workshop? How useful was the workshop?How useful was the workshop? How practical was the workshop?How practical was the workshop? How do you rate the chances for raising questions?How do you rate the chances for raising questions? How interesting were the sessions?How interesting were the sessions?

Workshop Evaluation(cont’)Workshop Evaluation(cont’)

How do you rate the exercise of developing action planHow do you rate the exercise of developing action plan How were the hand-outs?How were the hand-outs? How would you rate the whole program on a scale from 1 How would you rate the whole program on a scale from 1

(worst) to 10 (best)?(worst) to 10 (best)? Have you ever participated in VCCI’s training Have you ever participated in VCCI’s training

programmes?programmes? Other commentsOther comments In general, it shows clearly that the national workshop In general, it shows clearly that the national workshop

has provided useful knowledge to the participants and has provided useful knowledge to the participants and most of them appreciate this workshop. It is also most of them appreciate this workshop. It is also consistent to the results of above pre-and post-consistent to the results of above pre-and post-assessment analysis.assessment analysis.

Action PlanAction Plan

All participants showed their interest in All participants showed their interest in taking action to form an export consortium. taking action to form an export consortium.

2 Export consortia have been formed after 2 Export consortia have been formed after the workshop.That is : Hai Nguyet and the workshop.That is : Hai Nguyet and Quang Vinh company.Quang Vinh company.

ConclusionConclusion

The workshop focused on keys topics such as SME cluster The workshop focused on keys topics such as SME cluster development, export consortia formation etc. These topics development, export consortia formation etc. These topics were delivered with the clear explanation on the benefits were delivered with the clear explanation on the benefits and steps of working together so as to maintain SMEs’ and steps of working together so as to maintain SMEs’ competitiveness and to increase their productivities as well competitiveness and to increase their productivities as well as market penetration, especially in the context of custom as market penetration, especially in the context of custom and non-custom barriers are removed and countries in the and non-custom barriers are removed and countries in the region get connected. region get connected.

The workshop had drawn the attention and interests from The workshop had drawn the attention and interests from the participants to further joint the next stage of the the participants to further joint the next stage of the program. The participants committed to develop action program. The participants committed to develop action plans to form SME cluster and export consortia as well as plans to form SME cluster and export consortia as well as attend the upcoming forum for buyers and investors attend the upcoming forum for buyers and investors organized by Mekong institute in early 2013. organized by Mekong institute in early 2013.

RecommendationRecommendation

Recommendations toward the end of the Recommendations toward the end of the workshop were formulated for the workshop were formulated for the improvement of future activities as follows:improvement of future activities as follows:

More similar workshop should be organized More similar workshop should be organized for other sectors;for other sectors;

More activities of networking Vietnam’s More activities of networking Vietnam’s clusters and other ASEAN clusters;clusters and other ASEAN clusters;

More activities that aim to promote export More activities that aim to promote export should be organized.should be organized.

THANK YOU FOR YOUR ATTENTION !THANK YOU FOR YOUR ATTENTION !