COMPANIES OFFERING TECHNOLOGY IN MANAGEMENT

COMPANIES OFFERING TECHNOLOGY IN MANAGEMENT

19/09/2019|VENUS NEWS

forbesvietnam - Vietnam currently has more than 1000 real estate projects and half a million apartments. Thus, it is a big issue for operations management industry.

 

According to Savills Vietnam, there are 550 residential projects in Ho Chi Minh City and 480 projects in Hanoi. Nevertheless, nearly half a million apartments in these two essentials cities create a huge problem for operations management service.

 

There are currently about 100 companies that are permitted to manage and operate (mostly located in Hanoi). Featured companies in this industry include SD Savills, CBRE, JLL, Savista, PMC (VNPT), Venus ...

Apartment real estate market in quarter II.2019

 

Sources: Savills Việt Nam

Savills currently stays on top of foreign company's groups and manages more than 120 projects nationally. Most of the projects are rated A and B +. CBRE pursues closely with 107 projects. Savista currently leads the domestic group with 40 projects.

The market also recorded corporations that both self-developed and self-managed, but this group was not that much. Vingroup is presently a featured example by having the largest scale of self-governing projects.

 

According to Savills’ estimation, by 2021, 71 more projects will be operated in Ho Chi Minh City, while the number in Hanoi is 69.

 

There is a fact that despite the market is still redundancy, it is not easy to succeed. An example is Proman (Novaland Group's partner). In 2017, they authorized Novaland to other departments, even they were managing 17 Novaland’s projects in previous years.

 

One of the main reasons why the operations management’s departments are vacated is due to insufficient scale.

 

Mrs.Tran Minh Ai, who is the director of Savills Vietnam's Ho Chi Minh City, told Forbes Vietnam that effective management should be based on its scale: “The smaller the scale, the bigger the service charge per meter square. ”

 

She also shared, “In developed countries, technologies will help operations management industry deducting labor costs because of the workers' reduction. However, in Vietnam, technology’s habit is not yet popular, so industries still require many laborers. Therefore, the more the project, the more the worker and its cost.”

 

She also said that the company's goal is letting 80% of residents who live in Savill’s projects, can access to the company’s application called SPMS. This is the premise plan to cut Savill’s operating costs by 20% in the next 5 years.

 

At the same time, Ms. Vu Ngoc Huong (Venus’s CEO) said that technology will play an essential role in operations management industry in the future. Venus is a corporation that provides operations management services for government agencies. The company is currently managing 20 projects nationally.

 

According to Ms. Huong, domestic industries can not compare their brand to foreigners. However, local understanding will be their advantages. Ms.Huong also said that Venus's goal is doublịng the number of projects (to 40) in the next two years based on technology.