Tag Archives: garment

VIETNAM CHAMBER OF COMMERCE VCCI INTERVIEWING DR. OLIVER MASSMANN ON IMPACT OF INDUSTRY 4.0 ON VIETNAM’s GARMENT AND TEXTILE INDUSTRY

1. How will the Fourth Industrial Revolution affect Vietnam garment and textile industry?

Like other industries, industry 4.0 will affect Vietnam garment and textile industry in 3 aspects: productivity, scale and management structure. High technology, including software development, and big data will be used as the main growth force of the industry. By applying high technology and automation in certain stages of the production, productivity increases as well as the owner can better control the operation of the whole production/ distribution system. However, a side effect of Industry 4.0 is replacement of human force by machines, which may cause substantial exuberance in work force, especially in sector that consumes one of the most manual work force like the garment and textile industry.

2. According to you, how should enterprises do to ensure good labor force in such a fierce competition?

Enterprises should encourage innovation spirit among workers. Workers who run high tech machines must be well trained (either via short training courses or high-level education at educational establishments) so that machines are operated to their full use.

3. It is said that upgrading technology and machinery is necessary to survive in Industry 4.0, what do you comment on this?

Technology and machinery play an important role in industry 4.0. However, it is not to say that the more technology is applied in the industry and more modern machines are used, the better productivity a company may achieve. Such application must go together with the improvement of work force quality and adjustment ability to new environment.

4. In order to lessen negative impacts of Industry 4.0 as well as to turn labor force into an advantage, according to you, what should Vietnam do?

Vietnam needs to set a clear vision for Industry 4.0 and work out on how to implement and achieve that vision. It must be aware that education and training is the core condition for business development. Textile and garment industry should not be considered as the industry for low level labor force as it used to be. In addition, Vietnam must invest in research facilities and encourage innovation in the sector. Only by doing so that labor force can be an advantage of Vietnam in terms of quality and knowledge instead of low price.

If you have any question on the above, please do not hesitate to contact Dr. Oliver Massmann under omassmann@duanemorris.com. Dr. Oliver Massmann is the General Director of Duane Morris Vietnam LLC.

Thank you very much!