The result analysis will be based and structured on the five main aims of the

questionnaire: computers and business success,

1.1 Computers and business success

In order to identify the impact of computer on business, questions 2.5, 2.7, 2.6, 2.8 were
asked in the survey.

The author found that only 37.7 per cent of interviewed companies have business plan,
while 61.9 per cent do not have. Joint venture companies (foreign owned) with business
plan have highest percentage (81%), followed by private (62), and government
companies with business plan only 28 per cent (appendix 3).

Most of companies do not have computers installation (73%). Only very small of
respondents have computer installed (25.6%)(appendix 1). The joint venture companies
have highest percentage of computer installation (56%) followed by private companies
(32%) while the government companies are only 21% (appendix 2).

The percentage of company with computer installation (32%) in Hanoi is more than that
in Ho Chi Minh city (21%). On the contrary, the companies with business plan in Ho
Chi Minh (43%) are higher than those in Hanoi (32%)(appendix 5).

This indicates that the joint venture companies have highest percentage of computer
installation as well as business plan, followed by private and the lowest is government
companies.

74.5% of companies with computer installation are considered successful in business. It

is more than three times higher than those without computer installation
(21%)(appendix 4).

Conclusions:
- The companies with computer installation as well as with business plan have
higher opportunity to be successful
 - Computer installation found highest in Join venture (foreign owned), followed
by private and government owned.
- Companies in Ho Chi Minh city have higher level of computer installations
comparing with Hanoi city.

1.2 Utilisation of information technology and business

In order to find out the utilisation of information technology and business, the question
3.1, 3.2, 3.3, 3.6, 3.7 and 3.9 had been developed in the questionnaire.

In respond to the use of information technology in business, we found that almost all of
the companies interviewed are using fax (99.5%), personal computers (95.8%) and
printers (98.6%). 69% of the respondents have modem, only 19.5% and 8.4% of
companies with computer networked and network servers respectively (appendix 6). It
can be concluded that fax and personal computers are used very popular in companies
both in Hanoi and Ho Chi Minh city while there are very few companies used computer
networked.

Regarding to the activities done on computer, the author found that 96%, 70% and 67%
used personal computer for the purpose of word processing, payroll and personnel
respectively. The percentage of companies used computer for other purposes like
general ledger, inventory, scheduling, database, communication is not high and varies
from 21% to 58% (appendix 7). Very few companies used computer in budgeting
(19%), forecasting (13.5%), sale analysis (13%), production control (9%) and training
(4%). In general the computer are used in these companies for very general purposes.

Responding to the question “the computer system provide us with accurate information
of the company’s financial position” 40% of respondents are agree and strongly agree
with the statement make up highest percentage, followed by neutral (36%) and few
disagree and strongly disagree (24%)(appendix 8). The younger respondents the more
they agree with this point. There is only 23% of respondents older than 50 years agree
versus 60% and 66% of respondents with age from 31-40 and less than 30 respectively
(appendix 10). The thinking is different if the respondents come from different type of
companies. 75% of respondents from joint venture/foreign companies agree or strongly
agree that computer system provide them with accurate information while these figures
decrease to 62% and 32% in private and government company type (appendix 11).

The findings for the opinions on “the computer system makes no difference to how we
do business” are similar to the accurate information in financial position of the
companies. 37% of respondents though that the computer system makes no difference to
how we do business, on the contrary, 22% of them believed in computer system makes
difference and 40% are neither agree nor disagree (appendix 8). The older people the
higher percentage of respondents agree that computer system makes no difference to
how we do business (appendix 10). Similarly to the above point, 63% of respondents
from joint venture/foreign believe that the computer system will make difference to how
we do business while only 41% and 32% in state owned and private respectively.

There are 33% of the interviewed companies are Internet connected. 46% of
respondents though the reason that computer system is not connected to the Internet
because of the company’s information security concern, while 60% of them think
Internet is too expensive and shows little return for the investment and 83% claim the
reasons would be there are not enough technical staff to operate the system. Most of the
respondents believe that computer system has changed the way we operate
(83%)(appendix 9). The older respondents the higher percentage they agree with the
reasons explaining why computer system is not connected listed in the questionnaire.
These percentages drop from 75%, 72% and 91% of agreed respondents with age more
than 50 to 44% 34% and 28% those with age below 30 with the reasons: too expensive,
not enough technical staff and little return for investment respectively (appendix 10).

Regarding to the need to change company’s operational structure to take advantage of

the computer capabilities, the researcher found that 71% of respondents agree or
strongly agree with the need to change company’s operational structure, while only 4%
are not agree or strongly disagree (appendix 9).

Only 18% of valid respondents agree with “my company uses the computer system to
improve profits” and 32% disagree, the left (48%) are neither agree nor disagree. 39%
of respondents believed that their directors do not understand the benefits of computer
networks and 37% are neutral (appendix 9).
In respond to answering to the CEO thinking on IT, the author found that only 26% of
interviewees agree that CEO of their companies consider IT as a vital part of the
company’s competitive advantage and 18% thought that CEO consider IT to be a way to
cut costs. The percentage of neutral opinion is up to 40% and 42% respectively. The
percentage of respondents believe that their CEO do not think that IT is a vital and a
way to cut cost is as high as 37% and 41% respectively (appendix 9).

The respondents agreed and strongly agreed with “the CEO is knowledgeable about IT”
make up low percentage (only 26%), while disagree and strongly disagree is 46%
(appendix 10).

Conclusions:
- Even computer are widely used in Vietnamese organization, but there is
obviously different thinking on the effectiveness of computer’s using in
organizations.
- Computers are used mostly for the purpose of word processing, payroll and
personnel.
- Attitude on computer using depends on the age, position in the company,
background and type of the company.
- The younger people the more they believe in computer system that would help
to improve effectiveness in business.
- Few respondents think that their CEO are knowledgeable about IT

1.3 Communication methods

Regarding to the communication with the domestic customers, mail, telephone, fax,
direct negotiation are mainly used. 98% of the respondents said that their companies
had used mail, telephone, fax and direct negotiation to receive the request from
domestic customers. 58% of the respondents also used email as another channel to
receive the request from customers. Communication through World Wide Web is least
used (5.6%) when the companies want to contact with domestic customers (appendix
12).
The main communications with abroad customers are similar to the domestic customers:
mail, phone, fax, direct negotiation (98%). Despite of the distance, only 5.6% used
World Wide Web to receive the request from the abroad customers (appendix 13).

98% of respondents ranked phone, fax, mail, meeting as the first preference of
communication method when they work with their customers. 55.3% ranked Internet as
the second preference of communication channel (appendix 13). Similarly, the
communications with government office are mainly done through phone, fax, mail and
meeting. 84% of interviewed people had ranked it as the first preference of
communication method while only 0.5% ranked Internet as the first preference when
they need to contact with government (appendix 13). 18% of respondent prefer email as
second communication method when they need to communicate with government.

For the first preference of communication with foreign companies, 55% prefer to use
Internet while lower percentage (43%) prefer to employ phone, fax, meeting or mail
(appendix 13).

In general telephone, fax mail or even meeting are the main methods when the
companies do the communication with customers, government or foreign companies.
Internet is not popular and preferred communication method.

In order to find out the reasons why companies do not want to install computer system,
the likert scale questions had been asked (4.4).

53% of the respondents and 21% of president/director believe that the a computer
system involves with large capital investment that does not have a return while only
15% of respondents do not agree with that (appendix 14, 15).

51% of the respondents and 21% of president/director do not understand how a

computer network can benefit the company. Only 22% of respondents and 47% of
president/director understand the benefit that computer network would bring to the
company (appendix 14, 15).
27% of respondents and 24% of president/director claim that their companies do not
have the financial resources to install a computer system. 22% of respondents and 56%
of responded directors believe that they have enough financial resource to install a
computer system. 46% of respondents and 74% of president/director agree that
computer system will make more profit by saving time and costs. 50% of respondents
and 32% of responded directors believe that computer network would make job easier
and more efficient. Even though 34% of the respondents and 21% of president/director
said that their company’ managers do not want a computer system (appendix 14, 15).

Conclusions:

- Telephone, fax, meeting or mail are very popular, first preference and main
communication methods between companies and their customer, government
and foreign companies.
- Internet is rarely used in the companies when they receive request from
customers, contact with government or even with foreign companies.
- More than half of respondents do not understand the benefit of computer system
as well as they believe that computer system involves with large capital
investment that does not have return.
- Most of the respondent as well as the directors think that they do not have
problem with financial resources to install a computer system.
- Half of respondents agree with the benefit of computer system in term of time
saving and cost as well as creating job easier and more efficient.
- Majority of respondents and director would like to install the computer system
in their companies.
- The percentage of respondents with neutral opinion in almost all questions is
relatively high (vary from 25% to 48%).

1.4 Attitude on IT implementation

The question used likert scale had been employed to find out the attitude on IT
implementation of the companies.
Only 1% of the valid respondents think that their companies are an IT industry leader in
IT implementation and 84% are strongly believed not. 42% of responds think that the
department which company reports to has no plan to implement the electronic networks
at all, while only 21% disagree with this ideas. The percentage of responses from joint
venture companies think that there is plan to implement electronic network in the
department which company report to is 44% while private companies is 24%, only 19%
to state owned companies and 35% of director (appendix 16)

24% of respondents and 35% of president/director believe that the department which
their company report to intend to implement electronic networks within three years and
25% disagree (appendix 16).

35% of respondents and 47% of president/director think that they understand the
importance of electronic trading versus with only 18% of responses do not understand.
Responses from joint venture companies have highest percentage of 50% while 35% for
state owned and 32% for private (appendix 16).

One fourth of responses agree that their company’ policy encourage the use of IT and
but majority of respondents (78%) thinks that the main problem for implementing the IT
in their department is high cost of equipment. 50% of interviewees gave the neutral
opinion on company policy and only 29% of director agree on that (appendix 16).

70% of valid responses think that their companies do not use IT for trading because
there are not many other companies do. 67% of responses and 53% of director believe
that IT will have higher priority if their company will be privatised (appendix 16).

Respond to the cost of government IT services, 43% of respondents think the cost are
too expensive (compared to private firms)(appendix 16).

There is only 25% of responses said that their companies will use electronic networks
for trading within 3 years, and 59% are neither agree or disagree. Private companies
have the highest percentage (32%) of responses agreed that their companies will use
electronic networks for trading within three years, followed by joint venture (25%) and
state owned (24%). The percentage with neutral opinions is as high as 47%, 30% and
65% in joint venture, private and state owned respectively (appendix 16).

Conclusion
- Most of the interviewed companies are not industry leader in IT implementation
- The majority of responses think that the main problem for IT implementation is
high cost of equipment.
- There is not clear answer in responding to the issue of the company policy
toward the use of IT as too many neutral responses.
- Majority of responses think that the reason why company does not use IT for
trading as there are not many other companies do.
- There are strong believe among responses as well as director that IT will have
higher priority if company is privatized
- There is not clear view regarding to the use of electronic networks for trading
within next three year as too many neutral responses.

1.5 General attitude

To determine the attitude on IT implementation in Vietnam, questions 6.1, 6.2, 6.3, 6.4
and 6.5 had been developed in questionnaire.

Most of respondents (93%) believe that their companies plan to have Internet
connection within 3 years, but 64% agree that they do not have human resources for the
electronic network. Therefore 88% does intend to train their staff in electronic system
(appendix 17).

75% of respondents are agreed and strongly agreed that the government understands the
importance of IT implementation so that companies can compete in the global
marketplace. It does matter what level they are on. The rest about 21% is neutral -
neither agreed nor disagree (appendix 17). Even though the Government recognised the
importance of IT, but more than 80% of respondents still believe that the present
telecommunication infrastructure is not adequate for high-speed data transmission.
There is slightly different attitude on this point between president/director and other
levels. Presidents/directors who find that it is agree and strongly agree to the above
statement make up at 67% lower than other levels (84%)(appendix 17).

Responding to “the schools and universities are up to date with IT training & courses”,
among the valid answer, the percentage of presidents/directors who claim agreed and
strongly agreed with this is higher than that of other levels (67% versus 38%)(appendix
17).

Answering to question “there are not sufficient regulations to control traffic on the
Internet” the percentage of level 1 who comment that it is agree with the statement
make up 94% while the percentage of presidents/director as high as 71% (appendix 17).

Majority of respondents (87%) agree that because of managers are incapable of

handling IT implementation so they tend not to undertake it. The percentage of
interviewed people and directors with thinking that there is lack of IT professional in the
country makes up very high (86% versus 76%)(appendix 17).

Conclusions:
- Most of the companies plan to have Internet connection within next three years
as well as plan to train staff in electronic network.
- Obviously there is lack of IT professional in Vietnam.
- Managers are not capable of handling IT implementation