VIETNAM NATIONAL UNIVERSITY, HANOI INTERNATIONAL SCHOOL GRADUATION PROJECT THE IMPACTS OF BIG DATA ANALYSIS ON THE BUSINESS MANAGEMENT OF BINH MINH PLASTICS JSC PHẠM Quang Minh Hanoi - 2024 VIETNAM NATIONAL UNIVERSITY, HANOI INTERNATIONAL SCHOOL GRADUATION PROJECT THE IMPACTS OF BIG DATA ANALYSIS ON THE BUSINESS MANAGEMENT OF BINH MINH PLASTICS JSC SUPERVISOR: Hung NGUYEN (Ph.) STUDENT: PHẠM Quang Minh STUDENT ID: 20070253 COHORT: IB2020E1 SUBJECT CODE: INS401101 MAJOR: INTERNATIONAL BUSINESS Hanoi – Year 2024 THESIS STATEMENT I solemnly declare that the research project titled: “The Impacts of Big Data Analysis on the Business Management of Binh Minh Plastics JSC” was conducted, researched, and designed by myself, based on the guidance provided by Dr. All data and results are entirely accurate to reality. To complete this project, I only used materials referenced in the bibliography and did not copy or use any other documents. If any plagiarism is detected, I take full responsibility.
Hanoi, 18/04/2024 PHẠM Quang Minh i ABSTRACT This thesis addresses how a company in general and Binh Minh Plastic in particular can use Data Analysis to improve the performance of its business and operations. The annual reports of BMP show that BMP has not had a system that constantly monitors its competitors. The prior researches and studies show that BA is a system that could help improve the performance of a company. This provides a lesson of success that BMP should analyze its comparative performance versus industry by comparing its key ratios to those of competitors in the same industry.
Such action requires building a database of its competitors from the openly published reports that capture key ratios reflecting profitability, valuation, growth, efficiency, liquidity, and capital structure. BMP can establish a benchmark value in each indicator and compare its ratios to the industry’s benchmarks to know if BMP is performing well against or falling behind its market competitors. This thesis proposes 5 measures/solutions to establish such a BA system for BMP, including (i) Improving the MIS to self-evaluate BMP performance; (ii) Establishing the mechanisms that link the manager’s and staff’s compensation to BMP comparative performance; (iii) Built the software for internal manager collect and analyze data; (iv) Applying the Big Data Quality to improve the Data- Driven Decision for the Decision-maker. These solutions have been suggested by analyzing the capability of Big Data Analysis from the prior researches and studies.
These solutions have suggested analyzing the capability of Big Data Analysis from the prior researches and studies. ii ABBREVIATIONS AI Artificial Intelligence BMP Binh Minh Plastic Joint Stock Company BM Business Management BDA Big Data Analysis BA Business Analysis DA Data Analysis IT Information Technology ICT Information & Communications Technologies MIS Management Information System iii TABLE OF CONTENTS THESIS STATEMENT .iii TABLE OF CONTENTS. iv LIST OF TABLES .vii LIST OF FIGURES .1 Rationale of the Graduate Project .4 Scopes of Thesis .5 Structure of the Thesis. 3 2 BACKGROUND OF BINH MINH PLASTIC JSC .2 History of BMP .3 Missions and Visions .4 Business lines, Product lines, Target customers, and Target markets .1 Business Management Concepts .2 The Necessity of managing the business performance of a firm .2 Application of Data Analysis (DA) in Business Management for Performance Improvement .1 Data Analytics and Big Data Concepts .2 Data Analytics Competency .1 The Process of BDA in a Firm .1 The Necessity of Big data analysis in a firm .3 Lessons of success of applying Big Data Analysis in Business Performance Management.
34 4 METHODS AND DATA .1 Stages of Thesis Study .3 Data Cleaning and Processing .4 Data analysis tools. 40 5 ANALYSIS AND FINDINGS .1 Major problems and challenges facing BMP .2 Discussions of the Ability of BA to improve the performance of BMP .2 Benchmarking industry performance levels .3 Comparative performance of BMP vs the Plastic industry. 49 6 RECOMMENDATIONS AND CONCLUSION .1 Enhance Data Utilization to self-evaluate BMP performance with Oracle Business Suite .2 Establish mechanisms that link the manager's and staff’s compensation to BMP comparative performance .3 Develop a detailed investment/ financial strategy on BDA technology requirements.2 Limitations of research. 68 vi LIST OF TABLES Table 2-1: Business and Product lines .9 Table 3-1: Measures of performance.
Conventional and big data analytics.22 Table 3-3 Example of BDA Adoptions .24 Table 5-1: The major problems and possible solutions .41 Table 5-2: Comparative ROA of BMP vs the Plastic Industry .50 Table 5-3 Comparative Gross Profit Margin of BMP vs the Plastic Industry .51 Table 5-4 Comparative Net Profit Margin of BMP vs the Plastic Industry .52 Table 5-5 Comparative Total Asset Turnover of BMP vs the Plastic Industry .52 Table 5-6 Comparative Inventory Turnover of BMP vs the Plastic Industry .53 Table 5-7 Comparative Payables Turnover of BMP vs the Plastic Industry .54 Table 5-8 Comparative Receivables Turnover of BMP vs the Plastic Industry .55 Table 5-9 Comparative Quick Ratio of BMP vs the Plastic Industry .56 Table 5-10 Comparative Interest Coverage of BMP vs the Plastic industry .56 Table 5-11 Comparative Equity to Asset of BMP vs the Plastic Industry .57 Table 5-12 Comparative Debt to Equity of BMP vs the Plastic Industry .58 Table 6-1: Summary of findings and link to the solutions .61 vii LIST OF FIGURES Figure 2-1 Binh Minh Plastic JSC Information .5 Figure 2-2: Organizational structure .12 Figure 3-1 Framework of Business Performance Management .14 Figure 3-2 Four’s V of Data. Process of Leveraging Big Data .26 Figure 3-4 BDA and Competitive advantage adopted .29 Figure 3-5 Components, types and subfields of AI .31 Figure 4-1: The stages of thesis study .36 Figure 4-2 Analytical Framework .38 Figure 4-3: Data analysis steps .39 Figure 5-1 PVC Price .1 Rationale of the Graduate Project The ability to access, analyze, and manage this century's huge volume of data while rapidly changing technology is increasingly critical to the successful operation of leading manufacturers. In today's technological age, all actions, gestures, and behaviors involving internet usage are recorded and transformed into data. If this large volume of data can be effectively analyzed and processed, companies can adjust their target customer files, improve their products, and thereby directly benefit the company.
Manufacturing companies like Binh Minh Plastic Company are no exception. Despite being a manufacturing company, Binh Minh can utilize data collected during production or customer transaction data to make informed decisions and better manage their business operations. To fulfill the requirements of the International School at Vietnam National University, I would like to propose "The Impact of Big Data Analysis on Business Management of Binh Minh Plastic JSC" as the topic for my graduation project. But after analyzing the data and also reading the literature, I would like to change the topic is: “The Likely Impacts of Big Data Analysis on the Business Management of Binh Minh Plastics JSC”, the reason for that because the data I use just based on the financial data not the overall data of BMP like the data from customers or the data from production so I decided to change the topic of this thesis.
With this topic, I aim to introduce data analysis technology into the business performance management practices of Binh Minh Plastic JSC, in order to demonstrate the significant effects of Big Data Analysis (BDA) on business management. Specifically, I intend to show how analyzing big data can assist the company in business performance management. This will enable the management board to formulate strategies and make decisions effectively. My analysis will be based on publicly available data and basic analysis methods to illustrate the direct impacts of big data analysis on the company's management activities.
1 The opportunities associated with data and analysis in different organizations have helped generate significant interest in BDA, which is often referred to as the techniques, technologies, systems, practices, methodologies, and applications that analyze great variety of critical financial data compare with the peer and the plastic industry to help a firm better understand its business and market, and make timely business decisions (Gandomi and Haider, 2015, McAfee and Brynjolfsson, 2012). However, this data will be derived from key management activities that we need to analyze, such as production management, performance management, and supply chain management. But in this field of study, I just focus on use Financial Ratios Data based on the “Essential Ratios for Financial Analysis” of Corporate Financial Institution, (Powell, McKeen, & Schmidt, 2023) to support Decision-maker to control the Business Performance Management. This enables us to generate a report of results on a dashboard for the board of directors such as operational support, decision-making processes, and overall performance.
And to have an observation of the effect of BDA, the comparison between the Binh Minh Plastic JSC and other plastic manufacturing companies in Vietnam will give specific insight into the BDA in the plastic industry in Vietnam. This is the reason that I chose “The Impacts of Big Data Analysis on the Business Management of Binh Minh Plastics JSC” as a topic of my thesis study.2 Objectives Applying the BDA to establish a comparative performance benchmarking system for BMP’s performance management operations, so that its managers can detect the performance weaknesses to enhance. Using the financial data to evaluate on the dashboard that can reflect the financial situation and the company's position.3 Research Questions The thesis will address the following question: • Which indicators or benchmarking model reflect the Business Performance of the firm? • What are the solutions for integrating BDA into Performance management operations to enhance efficiency and improve businesses? 2 1.4 Scopes of Thesis Business Performance Management (BPM) focuses on the processes, methodologies, metrics, and systems used to monitor and manage the business performance of an organization. Here are the key contents typically covered in BPM: Business Management includes 9 tasks based on the management structure of Binh Minh Plastic JSC (BMP, 2023): (i) Strategic Management; (ii) Financial Management; (iii) Marketing Management; (iv) Operations Management; (v) HR Management; (vi) Performance Management; (vii) Risk Management; (viii) Information Technology Management; (ix) Supplychain Management in BPM.
However, within the scope of this thesis study, I focused only on the use of the Financial Ratios Data to see how it can be measured, analyzed, presented, and reported in Business Performance Management to support the decision—maker to manage and improve their organization.5 Structure of the Thesis The first Chapter is the Introduction. In this chapter, I will provide a short summary of the rationale of this project, the objectives of this project, and the process of doing this study. The second Chapter is the Background of BMP which includes the profile, history, company’s products and services, etc. These will lead to the overview of BMP, and their current situation to get an understanding of the Binh Minh Plastic JSC.
The third Chapter is a Review of Theogriecal Backgrounds of Business Performance Analytics, their necessity and impacts, etc. How to transfer the data to the successful decision for the Board of Directors of the firm. The fourth Chapter explains the methods applied by the study. The collection of data, how it is processed, and so on.
The fifth Chapter is the main part of analyzing the plastic industry outlook, comparing The BMP with other competitors and the industry average by using the core financial ratios which are based on the report of CFI. 3 The sixth Chapter is the Recommendation and the Conclusion after the analysis of the data for the company. Additionally, I also include the Limitations of this project analysis. 4 2 BACKGROUND OF BINH MINH PLASTIC JSC 2.1 Profiles Binh Minh Plastics Joint Stock Company (BMP), formerly known as Binh Minh Plastics Public - Private Partnership Plant, was established in 1977.
BMP has grown into a leading manufacturer and supplier of plastic pipes and fittings in Vietnam. With a history of over four decades, BMP boasts a strong reputation for providing high-quality products and contributing to national infrastructure development projects. Name: Binh Minh Plastics Joint Stock Company Abbreviation:BM PLASCO.