The 4th Golden Dragon Award with the title "Best Life InsuranceCompany and Best Business Style".. The Golden Dragon Award for 5 consecutive years 2008 - 2012 withthe title "Best Life Ins
INTRODUCTION OF THE BUSINESS
Brief introduction of the business
Date of commencement of operation: 05/2013
Old name: Dai Phat Duy Thinh LLC
Trading name: DAI-ICHI NHA TRANG 1 GENERAL AGENT
New name: Bao Phuc An Khanh Hoa LLC
Address: 36 Cuu Long, Phuoc Hoa, Nha Trang, Khanh Hoa
Website: https://dai-ichi-life.com.vn/
Email: customer.services@dai-ichi-life.com.vn
Legal representative: Director Bui Tri Dung
Main partner: Dai-ichi Life Vietnam
Operating philosophy: Customer-centric - Continuous innovation - Continuous creativity
Mission: Spreading the value of love - Bringing insurance to every home
Vision: Top 1 office in the central coastal region
Table 1 History of formation and development of Dai-ichi Life Vietnam
18/01/2007 Dai-ichi Life Insurance Company Vietnam was established with an initial investment capital of 25 million USD
In January 2008, Dai-ichi Life Vietnam increased its investment capital for the first time from 25 million USD to 72 million USD.
The first Golden Dragon Award with the title of “Enterprise with the best business style”.
2009 Received a certificate of merit from the Minister of Finance for contributions to the process of improving the operational efficiency of the Vietnamese insurance market in the period 1999-2009.
The second Golden Dragon Award with the title of “Enterprise with the best business style”.
Received the award of “Outstanding FDI Enterprise in Community
(Source: Administrative Department - Synthesis, 2023)Figure 1 Logo of Bao Phuc An Khanh Hoa Company Limited
Awarded the Sao Khue Award.
In July 2010, Dai-ichi Life introduced the product "Health Peace" This is the first insurance product for 35 critical illnesses introduced in Vietnam.
Received the award "Typical Trade and Service Enterprise 2010".
The 3rd Golden Dragon Award with the title "Enterprise with the best business services".
"Business for the Community" Award.
The 4th Golden Dragon Award with the title "Best Life Insurance Company and Best Business Style".
The "Priority Admissions to Study Abroad in the United States" program is a unique combination of life insurance and international study abroad, first implemented in Vietnam.
The Golden Dragon Award for 5 consecutive years (2008 - 2012) with the title "Best Life Insurance Service"
2013 Dai-ichi Life Vietnam is the first life insurance company in Vietnam to pioneer the introduction of voluntary retirement insurance products.
Certificate of Merit from the Prime Minister of Vietnam to honor the company's achievements in social charity work contributing to the development of the country.
Certificate of Merit from the Ministry of Finance on the occasion of the 20th anniversary of the development of the Vietnamese insurance market.
The 6th Golden Dragon Award with the title "Company with the best insurance products".
Honored to receive the "Corporate Social Responsibility Award 2013" in Asia.
Received the "Trusted Brand 2013" Award
June 2014 Dai-ichi Life Vietnam Fund Management Company was established.
21/07/2014 Dai-ichi Life reached the milestone of serving 1 million customers in Vietnam.
On July 15, 2014, the market welcomed the launch of "Health Care Insurance," the first comprehensive health insurance product designed to offer customers optimal peace of mind against medical expense risks.
In November 2014, Dai-ichi Life declared a special profit sharing of VND 21.6 billion for customers involved in its joint life insurance products, An Tam Hung Thinh and An Thinh Chu Toan.
The 7th Golden Dragon Award with the title "Best Life Insurance Company".
Received the “Trusted Brand 2014” Award
Mr Tran Dinh Quan, General Director of Dai-ichi Life Vietnam, was honored to receive the “Award of 100 Outstanding Young Vietnamese Entrepreneurs in 2014”
2015 June 2015 Introduced to the market the unit-linked insurance product
November 3th, 2015, the 2nd "Excellent Enterprise for Social
"Top 100 Golden Star Brands of Vietnam 2015" Award
Golden Dragon Award for 7 consecutive years with the title "Best Life Insurance Company"
"Trusted Brand" Award for 3 consecutive years
In January 2016, the Ministry of Finance authorized Dai-ichi Life Vietnam to raise its charter capital from 72 million USD to 87 million USD Subsequently, in March 2016, the company further increased its capital to 100 million USD, marking its third capital increase.
April 6th, 2016 Establishment of the "For a Beautiful Life" Fund This is a Social Responsibility Fund with the mission of improving the quality of life for Vietnamese people.
August 10th, 2016, Dai-ichi Life pioneered the launch of a comprehensive premium Critical Illness product with a protection list for 88 critical illnesses for Vietnamese customers.
Expanding the distribution network with partners: HD Bank, VNPost, Lien Viet Post Bank, Bac A Bank
The 9th Golden Dragon Award with the title "Best Life Insurance Company".
On January 18, 2017, Dai-ichi Life Vietnam received approval from the Ministry of Finance to raise its charter capital for the fourth time, reaching 117 million USD, coinciding with its 10th anniversary.
TOP 3 prestigious life insurance companies in 2016.
"Trusted Brand" award for 4 consecutive years.
2017 Reached the milestone of serving 2 million customers in Vietnam.
On January 18th, 2017, Dai-ichi Life Vietnam was granted a license by the Ministry of Finance to increase its charter capital for the 4th time to
117 million USD on the occasion of its 10th anniversary.
In September 2017, Dai-ichi Life was approved by the Ministry of Finance to increase its charter capital for the 5th time to 156 million USD.
In November 2017, Dai-ichi Life was approved by the Ministry of Finance to increase its charter capital for the 6th time to 256 million USD.
Signed exclusive cooperation agreements with SacomBank, SHB, Maritime Bank
In February 2017, officially launched the Priority Admissions Program for Universities in the US, Australia, Thailand through Life Insurance products.
In March 2017, launched the Dai Gia An Phuc product on the market. This is a premium protection insurance product for individual and corporate customers.
Ranked 4/18 best workplaces in the insurance industry Ranked 36/100 best workplaces in Vietnam.
International award "Asia Responsible Enterprise".
Award "Typical Trade and Service Enterprise" for the 3rd consecutive time.
Golden Dragon Award for 9 consecutive years with the title "Best LifeInsurance Company".
“Top 50 Famous Vietnamese Brands 2018” Award
Foreign life insurance companies lead the market in new premiums.
In January 2018, Dai-ichi Life was honored to receive the Third-class Labor Medal awarded by the President.
On October 3th, 2018, Dai-ichi Life was approved by the Ministry of Finance to increase its capital for the 7th time to 365 million USD, equivalent to 7,700 billion VND
Long-term cooperation with Mai Linh Taxi Group.
Dai-ichi Life paid insurance benefits, maturity benefits up to 1,032 billion VND to customers.
The 11th Golden Dragon Award with the title "Best Life Insurance Company in Vietnam".
2019 On December 18th, 2019, Dai-ichi Life Vietnam officially reached the milestone of serving 3 million customers in Vietnam.
The program "Accumulate bonus points - Long-term commitment" has awarded over 72 million bonus points to customers.
Paying over VND 1,300 billion to over 100,000 customers.
TOP 4 largest enterprises in the Vietnam Insurance industry.
The 4th Certificate of Merit from the Ministry of Finance for positive contributions to the process of building and developing the Vietnamese insurance market.
The Enterprise for the Community Award presented by the SaigonEconomic Times.
TOP 100 best products and services for families and children
Dai-ichi Life Vietnam introduced 4 new products in 2020: Cancer Treatment Support Insurance, Family Income Protection Insurance/Comprehensive, Hospital Support Insurance, Global Health Care Insurance.
Top 10 Reputable Life Insurance Companies in 2020.
Top 500 Fastest Growing Enterprises in Vietnam in the period 2015- 2019.
In 2020, Dai-ichi Life Vietnam was recognized as one of the top 69 out of 500 most profitable enterprises in Vietnam, highlighting its status as one of the leading companies in the Life Insurance industry.
Top 20 Famous Vietnamese Brands in 2020.
Top 2 Best Places to Work in Vietnam in 2020 in the Insurance Industry, and Top 33 Best Places to Work in Vietnam in 2020.
2nd time honored as "Enterprise for the Community" at the Ceremony to Honor Enterprises for the Community - "Saigon Times CSR 2020".
2021 Award "Life Insurance Company with Outstanding Information
Technology Application - Digital Transformation in 2021"
2022 Honored in the Top 4 Best Places to Work in Vietnam – Insurance
Winning two major awards in Asia - Asia Pacific Enterprise Awards
“Top 50 Sustainable Development Enterprises 2022” Award
Winning the title of Top 2 Prestigious Life Insurance Companies in
“Top Vietnam Industry 4.0 Enterprises” Award Golden Dragon Award 2022 for the 13th consecutive time
“Vietnam Golden Star Award 2021” Award
Excellently receiving two major awards in Asia - Asia Pacific Enterprise Awards 2021
Excellently rising to 70th place in the Top 500 Largest Enterprises in Vietnam in 2022
Achieve the title of “Top 10 Prestigious Life Insurance Companies” for two consecutive years (2022-2023)
Achieve the title of “Top 10 Famous Vietnamese Brands 2023”
Achieve the title of “Top 10 Leading Vietnamese Brands 2023 – Vietnam Leading Brands 2023”
Honored “Leading Enterprise in Health Care Products” at the Golden Dragon Awards 2023
(Source: History of birth and development of life insurance - Life insurance 24h)
Main functions, tasks and fields of activity
Insurance serves to safeguard participants against unforeseen risks by providing compensation for damages and financial support in the event of an incident Different types of insurance, such as car and property insurance, offer varying levels of compensation based on the value of the contract.
Property protection refers to the insurance coverage that compensates for damages to property Insurers typically cover a portion of the repair costs associated with property damage Common insurance types that offer property protection include car insurance and home insurance For specific details, it is advisable to review the terms of each product provided by life insurance companies.
Participating in insurance provides essential financial protection against unforeseen events that can lead to property damage, loss of income, or even loss of life With insurance, you receive financial support to help mitigate these challenges, particularly if the insured is the primary earner in the family and can no longer work Additionally, certain insurance policies, like life insurance, offer investment opportunities, enabling participants to accumulate wealth and benefit from their contributions.
The company strictly follows its registered business activities and complies with current management practices and economic regulations It maintains self-sustaining capital, optimizes business operations, enhances employee income, contributes significantly to the state budget, and aims to expand its enterprise scale.
The company ensures employee rights and benefits in accordance with the Enterprise Law and Labor Code, while also adhering to current financial reporting, statistical, and accounting standards that accurately reflect its operations Additionally, it complies with state regulations concerning national defense, security, social order, and environmental protection, both internally and externally.
The company is committed to meeting all tax, fee, and levy obligations to the state It optimizes labor allocation to enhance production efficiency while prioritizing the improvement of working conditions and the overall well-being of its employees Additionally, the company invests in the cultural, scientific, and technical training of its staff to foster continuous development.
Core services: Management consulting activities, head office activities, activities of centers, consulting agencies, labor and employment referral and brokerage.
Distributing insurance products of Dai-ichi Life Vietnam:
Insurance products for health care, accidents, critical illness, income protection, etc.
Overview of life insurance types:
Insurance for children: mainly products that provide both health care and savings for children's education when they enter university or graduate school
Insurance for breadwinners: mainly products with comprehensive protection, investment products, for breadwinners who want to take care of health and protect the finances of the whole family
Retirement insurance: is a product that both protects and accumulates a retirement fund when they retire, for those who need to save a retirement fund for a comfortable old age
Individual insurance is a type of coverage designed for a single insured person, allowing individuals to voluntarily engage in one or more insurance contracts This insurance option enables the primary insured individual to purchase additional products for family members under the same contract.
Group insurance: is a type of insurance in the form of collective participation with a list of individuals who are insured.
According to the level of insurance risk
- Insurance in case of death ( the most common type, including 2 types )
Term insurance, also referred to as temporary or term life insurance, is designed to provide coverage for death occurring within a specified contract period It encompasses various types, including fixed term, renewable, convertible, decreasing, and increasing term insurance.
Accordingly, if death does not occur within the specified time, the insured person will not receive any money.
If death occurs during the contract term, the insurer is responsible for paying the insurance amount to the beneficiary
Is a type of insurance in which the insurance period is not specified and the insurance amount is paid to the beneficiary when the insured person dies
Many insurance providers, including Prudential, Manulife, Bao Viet, and Dai-ichi Life, now offer policies that ensure payment to the insured individual upon reaching the age of 99.
Whole life insurance comes in various forms, including continuous premium payment plans, one-time premium payment options, and policies with a specified number of premium payments Additionally, there are non-profit whole life insurance policies that offer profit-sharing participation.
Life insurance is a financial product where the insurer agrees to pay a predetermined sum of money either for a set period or for the lifetime of the insured In the event of the insured's death before the policy matures, no benefits will be disbursed.
Mixed life insurance combines insurance coverage with savings, providing a payout upon the insured's death or at the contract's maturity, which is predetermined This type of insurance, incorporating both risk and savings components, is widely utilized globally, including in Vietnam.
Management structure, functions and tasks of each department
Figure 2 Organizational structure of Bao Phuc An Khanh Hoa Company Limited
Sales Department Business Department Customer Service Department
Training Room General Administration Department Finance and Accounting Department
Functions and duties of each department
The Director serves as the leader of the company, overseeing the review and approval of insurance and labor contracts while being accountable for all company operations This role includes the authority to manage human resources, which encompasses appointing, dismissing, rewarding, and disciplining staff members.
The Deputy Director assists the Director in managing responsibilities and is empowered to address issues as authorized by the Director, in accordance with legal provisions.
Sales Department: is responsible for researching, developing and marketing insurance products, including collecting fees, providing contracts and managing insurance contracts for customers as well as interacting with brokers.
The Business Department is tasked with managing, verifying, and approving medical records associated with health insurance contracts for both companies and individuals Additionally, it monitors and reports to management on the status and compensation rates for losses related to human insurance.
The Accounting Department plays a crucial role in advising the Director on the company's financial health and capital efficiency It ensures compliance with financial indicators and tax obligations while maintaining accurate financial reporting as mandated by law Additionally, this department is tasked with analyzing annual financial and management reports to propose effective company plans and strategies.
The General Department of Administration is tasked with synthesizing and managing information to support the Board of Directors through secretarial and clerical duties It plays a crucial role in researching and proposing the integration of information technology into the company's management and business operations Additionally, the department handles paperwork related to administrative organization, human resources, and labor, while also developing company operating regulations Furthermore, it provides advice and planning for training and human resource development.
The Customer Service Department plays a crucial role in the regional insurance sector by advising the Board of Directors and overseeing the implementation of insurance operations in compliance with regulations Its primary responsibility is to engage with customers, addressing inquiries, resolving complaints, and fulfilling requests related to the company's products and services Additionally, the department offers valuable advice to enhance customer experiences while managing customer information to ensure both accuracy and confidentiality This department is essential for fostering and sustaining long-term, trustworthy relationships with the company's clientele.
The Training Department is dedicated to enhancing the professionalism of the dealer system through comprehensive training and development It conducts regular market surveys to monitor competitors' business activities and promptly advises the company's Board of Directors on dealer and customer policies, as well as effective competitive strategies Additionally, the department is responsible for managing, overseeing, and guiding agents in fulfilling their duties and responsibilities, while also addressing competition and implementing reward systems.
After 10 years of development, the company has gradually affirmed its position in the region, and at the same time recorded many proud achievements Bao Phuc An Khanh Hoa Company Limited has been recognized as an advanced and excellent operating unit, awarded by Dai-ichi Insurance Corporation for many consecutive years In particular, in
2021, the company's revenue reached the Top 10 in the entire system, demonstrating the efforts and significant contributions of all employees.
Recently, in 2023, the company was honored to achieve the title of
The "Comprehensive Excellent Labor Collective" exemplifies success in both business and workplace culture, highlighting effective human resource management This recognition reflects the unwavering dedication and commitment of the company's staff throughout its growth and development.
Advantages, difficulties and development directions in the coming time
Figure 3 - Insurance Supervisory and Administration Department
Vietnam's insurance industry is experiencing rapid growth, driven by a stable and expanding economy The significant increase in insurance premium revenue is fostering opportunities for the development of the reinsurance market, particularly in the life reinsurance sector, which remains largely untapped.
The entry of foreign insurance companies into Vietnam fosters healthy competition and creates new opportunities for local businesses Additionally, domestic insurers can leverage reinsurance services from VINARE to enhance their operational efficiency.
Government policies, particularly Decree 100/CP, play a crucial role in fostering the development of Vietnam's insurance market by promoting diversification and enhancing competition This supportive framework not only elevates service quality but also enables the insurance industry to effectively address the growing demands of both the economy and the population.
In 2023, the life insurance market faces a significant crisis of confidence due to a decline in revenue from the bancassurance sales channel, which has experienced negative growth for the first time in ten years This downturn has eroded trust among customers and partners, complicating efforts to maintain market share and attract new clients.
The volatile global economic landscape has heightened risks for insurance companies, particularly due to a rise in compensation claims These challenges place the insurance industry in a precarious position, necessitating the development of flexible and effective adaptation strategies for businesses.
In 2023, the insurance market faced an 8.3% decline in total premium revenue, with the life insurance sector experiencing a significant drop of 12.5% This marks the first instance of negative growth in the life insurance industry in two decades, highlighting the challenges currently facing the market.
The insurance industry is experiencing heightened competition due to the growing number of domestic and international companies The integration of technology and digital services has become crucial for attracting and retaining customers, leading to an ongoing competitive race among businesses.
Building customer trust in the insurance industry is challenging due to consumers' limited understanding of insurance products and issues related to the bancassurance channel These violations have diminished customer confidence, adversely impacting the reputation and financial performance of insurance companies.
CURRENT STATUS OF BUSINESS PRODUCTION AND BUSINESS
Business environment
From 2021 to 2023, Bao Phuc An Khanh Hoa Company Limited encountered significant challenges in training and human resource development due to the COVID-19 pandemic The crisis necessitated a shift to remote and hybrid working models, compelling the company to quickly adapt to new training methods, such as online training and leveraging technology to ensure the effectiveness of the training process.
Economic-political instability poses a significant challenge, as fluctuations in financial markets and macroeconomic policies influence companies' investment decisions in training and human resource development Such volatility often compels organizations to reassess their strategies and resource allocations, which can result in the postponement or reduction of training programs.
The third challenge involves adapting to the evolving needs of customers and job requirements in a dynamic business environment Companies must continuously revise and enhance their training programs to ensure employees possess the necessary skills to meet emerging market demands.
Companies struggle to retain talent, as skilled employees often pursue opportunities elsewhere if they perceive a lack of development and investment in their growth.
To address these challenges, businesses must invest in advanced training technologies, design flexible training programs that align with market demands, and foster an appealing work environment to attract and retain top talent.
The challenge for Dai-ichi Insurance has been to reach out and change the corrosive mindset in people's perception that insurance products are unnecessary.
In recent years, heightened awareness of the advantages of insurance has transformed consumer habits and cultural values, leading to evolving trends and social lifestyles that significantly influence the demand for insurance products and services.
Daichi Insurance is adapting to new trends by leveraging opportunities to market a diverse range of products and services The company focuses on enhancing quality and highlighting the unique strengths of each service, ensuring they meet the varied needs of their customer base.
Dai-Ichi Insurance has faced a wide range of competitors in the insurance industry. These competitors include local and international insurance companies, advanced technology companies and diversified financial institutions.
Insurance companies such as Manulife, Prudential, Bao Viet, and AIA exert significant competitive pressure on Dai-Ichi in their respective markets Notably, international insurers pose a high-end competitive threat due to their robust resources and extensive industry experience.
Advanced technology firms, including fintech and insurtech, are delivering innovative digital solutions to the insurance sector, compelling Dai-ichi to improve its digital capabilities and offer more efficient online services.
In a highly competitive environment, companies encounter substantial challenges in training and developing their human resources They must enhance the technical and professional skills of their employees while rapidly adapting training processes to meet evolving market demands Additionally, organizations need to foster flexibility and innovation in human resource management to attract and retain top talent.
The company serves a wide range of clients, including individuals, families, businesses, organizations, seniors, self-employed individuals, freelancers, and small community groups with unique insurance needs These varying customer requirements can greatly influence the company's training and human resource development strategies.
To meet the varied demands of different customer groups, it is essential for employees to receive training that enables them to understand and respond flexibly Additionally, customer feedback is crucial for enhancing the quality of products and services, while also generating new requirements for employee skills and knowledge.
The rise of new markets and customer segments compels companies to invest in training and human resource development, enabling them to broaden their operational reach and capitalize on market opportunities Additionally, intense competition drives organizations to enhance the qualifications and skills of their workforce, ensuring they sustain and strengthen their market position.
Bao Phuc An Khanh Hoa Co., Ltd has formed a strategic partnership with Dai-Ichi Life Insurance, enhancing its capabilities in insurance and risk management This collaboration allows Bao Phuc An to utilize advanced technologies and solutions, while also benefiting from comprehensive training programs offered by Dai-Ichi Life, aimed at improving employee knowledge and skills.
Bao Phuc An Khanh Hoa Company Limited draws inspiration from Dai-Ichi Life's successful strategies to enhance its training and human resource development programs, ultimately aiming to elevate service quality and foster customer trust.
Business production capacity of the enterprise through main activities
Table 2 Scale of labor structure of Bao Phuc An Khanh Hoa Co Ltd
Diagram 1 Gender distribution of the company
In 2022: the number of male employees has seen a remarkable growth of 45.8% (22 employees) and there is a slight decline compared to 2022 (79%, 180 employees).
In 2023: female employees still hold a significant majority, accounting for 72.6% (189 employees), In contrast, male workers rising from 21% in 2022 (48 employees) to 26.2% in 2023 (70 employees)
Reflecting the demographic in genders:
Females continue to dominate the workforce, particularly in service and administrative sectors, although there is a noticeable increase in male representation This growth in male employees suggests shifting gender dynamics and ongoing efforts to achieve a more balanced gender distribution, despite women maintaining a significant majority.
Diagram 2 Age distribution of the company
Young Employees ( Under 30 years old ):
2022: The proportion of employees under 30 years old was 67.5% (154 employees).
2023: This group accounts for 66% (171 employees), which still represents a dominant portion of the workforce but shows a slight decrease in proportion.
Growth: The number of employees under 30 has increased by 11% (17 employees), indicating that the company continues to recruit younger employees, but at a slower rate than the previous year.
The company continues to depend on younger employees, who make up the largest segment of its workforce However, a slight decline in their numbers indicates a gradual shift in focus towards retaining and developing talent from diverse age groups This change reflects a new recruitment strategy aimed at achieving a more balanced workforce, moving away from the exclusive prioritization of young recruits.
2022: Employees in this age group made up 29.4% (67 employees) of the workforce.
2023: This proportion has increased slightly to 29% (75 employees).
Growth: There is an 11.9% growth (8 employees), indicating an effort to bring in and retain mid-aged employees with more experience.
The rise in employees aged 30-50 highlights the company's commitment to retaining experienced staff and utilizing their expertise This demographic contributes valuable skills and stability, signaling a shift towards prioritizing seasoned professionals over solely younger hires By balancing the workforce with both youthful energy and experience, the company aims to foster a more diverse and sustainable environment.
2022: Employees over 50 accounted for a very small portion of the workforce, just 5% (10 employees).
2023: The number of employees over 50 increased slightly to 5% (13 employees).
Growth: This group showed 30% growth (3 employees), which, while small, suggests some focus on retaining older employees or attracting more experienced workers who can bring deep industry knowledge.
Employees over 50 remain a very small proportion of the workforce, indicating that the company still has a relatively young demographic, with very few employees in this age range.
Structure of Direct and Indirect Labor:
Diagram 3 Structure of Direct and Indirect labor
2022: The company employed 30 direct employees, which accounted for 13.1% of the total workforce.
2023: This number increased to 35 direct employees, making up 13.5% of the workforce.
Growth: The number of direct employees rose by 5 employees, or 16.7%, indicating a notable increase in the company’s direct labor force.
The 16.7% increase in direct employees indicates the company's expansion in production and service activities, reflecting a strategic investment in frontline operations This growth highlights the company's commitment to enhancing operational efficiency in a competitive market, aiming to boost productivity, improve service delivery, and increase output to meet rising business demands.
2022: The number of indirect employees was 198 people, accounting for 86.8% of the total workforce.
2023: This increased to 224 employees, making up 86.5% of the workforce.
Growth: The number of indirect employees increased by 26 people, or 13.1%, but their proportion in the total workforce decreased slightly.
The company's growth in numbers highlights its ongoing commitment to enhancing support, management, and non-service delivery functions This includes potential expansions in key departments such as management, IT support, and administration, which are essential for enabling the core operations of the business.
2022: The number of employees with Associate degrees was 150, accounting for 66% of the workforce.
2023: This number increased to 173 employees, making up 66.7% of the workforce.
Growth: The number of employees with Associate degrees increased by 23 employees, or 15.3%.
The increasing number of employees holding Associate degrees reflects the company's commitment to valuing practical skills and technical expertise These degrees equip employees with hands-on, specialized knowledge essential for operational roles.
2022: The number of employees holding University degrees was 62, accounting for 27% of the workforce.
Associate University High school Intermediate Total
2023: This number increased to 79 employees, representing 19% of the workforce.
Growth: The number of employees with University degrees increased by 17 employees, or 27.4%.
The rise in employees holding University degrees highlights the company's commitment to hiring and retaining highly qualified professionals, which aligns with its strategic business goals and enhances its ability to tackle complex technical challenges.
Employees with High School Diplomas:
2022: There were 2 employees with High School diplomas, accounting for 0.9% of the workforce.
2023: There were no employees with High School diplomas, representing 0% of the workforce.
Decline: The company saw a reduction of 2 employees, signaling a complete elimination of employees with just a High School diploma.
The complete reduction of High School diploma holders indicates that the company is moving away from lower-skilled roles This reflects a strategy focused on hiring individuals with higher qualifications
2022: The number of employees with Intermediate qualifications was 14,accounting for 6.1% of the workforce.
2023: This number decreased to 7 employees, representing 2.7% of the workforce.
Decline: The company experienced a 50% reduction in employees with Intermediate qualifications (7 fewer employees).alifications and more specialized skill sets.
The notable reduction in employees holding Intermediate qualifications indicates that the company is optimizing its workforce by minimizing positions that lack specialized education or training This strategy likely aims to concentrate on more qualified and skilled roles, enhancing operational efficiency and productivity.
Pricing is a crucial factor for Dai-ichi Life and nearly all insurance companies, as it significantly influences revenue and profit margins Establishing a reasonable selling price is essential for maintaining market position and share, while also ensuring financial stability through reserve funds and solvency.
To have a reasonable fee, Dai-ichi Life has successfully analyzed the impacts from both sides: business and market.
Net fees and other costs are the primary components of the overall fee structure Net fees, derived from technical results, are calculated through a mechanism designed to maintain an estimated balance for managing insurance incidents In addition to net fees, other expenses include intermediary commissions, risk assessment costs, and management expenses.
Psychological cost refers to the price that customers are willing to accept for an insurance product, as determined by survey results from a representative sample of potential buyers Each participant indicates their maximum and minimum acceptable costs The insurance industry presents unique challenges, as customers often struggle to comprehend and assess pricing compared to other products and services.
Dai-ichi strategically aligns its insurance rates with those of its competitors, often opting for lower rates to implement favorable pricing strategies for insurers.
Other factors influencing premium decisions:
Internal: production and business costs, fee policy objectives, corporate reputation, loss reserve fund
External: loss value, supply and demand relationship in the market, competitive price pressure, income and payment ability of customers, taxes, customer psychology
Many life insurance companies utilize direct distribution channels, allowing consumers to purchase products directly from them This approach complements personal sales methods and often involves advertising and telephone solicitation to reach potential customers.
Indirect distribution channel: is a form of selling through its own dealer system This distribution method ensures the widespread distribution of insurance products in the market, promoting wider consumption.
A well-crafted promotion policy plays a crucial role in conveying product quality and enhancing the enterprise's image, ultimately driving product consumption Unlike typical commodities, insurance products represent a unique service where buyers do not receive immediate benefits upon payment, especially in the event of an insured occurrence Recognizing this distinction, Dai-ichi Life has effectively executed a targeted promotion strategy.
Advertising plays a crucial role in establishing a strong and enduring brand image for insurance products while also encouraging quick consumer engagement It effectively reaches customers across various locations, making it an ideal strategy for insurance business operations.
Stimulate consumption and sales: Dai-ichi Life has stimulated by promoting new products to the market such as Ichi-Care cancer insurance Introduced on August 20,
2023, the company has also stimulated customers by reducing fees, supporting the risk management program, assessing and paying insurance with an advanced, faster method
In addition, stimulating collaborators by rewarding those with the best performance.
Table 3 Assets and Equity Data Accumulation
Evaluate business performance and financial situation of the enterprise over
1.2.3.1 Analyze and evaluate business results over the years
Table 4 The Company's business performance from 2022-2023
(Source: Financial report of Bao Phuc An Khanh Hoa Company Limited )
Between 2022 and 2023, the company experienced significant revenue fluctuations, showcasing a strong growth trend In 2022, revenue reached VND 685,678,733, highlighting the company's efforts to maintain stability amid market competition By 2023, revenue surged to VND 892,901,721, marking a 30.21% increase from the previous year This growth can be attributed to strategic business expansion and enhanced market approaches, including substantial investments in marketing campaigns, improvements in service and product quality, and the exploration of new customer segments The effective exploitation of market opportunities and optimization of sales processes have played a crucial role in driving this positive growth.
The company's total expenses also changed significantly between the two years In
In 2022, the company maintained effective expense control with total expenses of VND354,104,723 However, by 2023, expenses surged to VND806,082,462, marking a 127.69% increase, likely due to expanded operations or new projects requiring greater financial resources This rise may stem from investments in infrastructure, product development, or enhanced operational capacity Nevertheless, the challenge lies in managing expenses that outpace revenue growth, necessitating tighter cost control measures and resource optimization strategies to ensure financial sustainability.
Net profit and profit after tax
In 2022, the company reported a net profit of VND 143,365,926 and a profit after tax of VND 110,926,741, demonstrating its capacity to sustain profitability despite a profit margin that fell short of expectations However, in 2023, both metrics experienced a significant decline, with net profit plummeting to -VND 170,865,546.
VND and profit after tax decreased to -181,644,812 VND, showing a serious decline in business performance.
The decline in performance can be attributed to a significant rise in costs that outpaced revenue growth This surge in expenses may stem from uncoordinated investment expansions or underperforming new projects Furthermore, the business strategies employed during this time may not have been effectively optimized, resulting in substantial pressure on profit margins.
1.2.3.2 Analyze and evaluate business performance
Table 5 Analyze and evaluate business performance
Total Asset Turnover Ratio Round 0.57 0.68
(Source: Data Calculation from Financial report 2022-2023)
ROE = Operating Profit before∨after tax shareholde r ' sequity
In 2022, the return on equity (ROE) was 10%, demonstrating the company's ability to generate profits from its equity However, this ratio rose to 19% in 2023, indicating improved equity utilization Despite a decrease in net profit in 2023, which turned negative, the positive ROE suggests that the company may have significantly reduced its equity, resulting in a higher return on equity, although this increase was insufficient to counterbalance the decline in actual profits.
ROS = Operating Profit before∨after tax
In 2022, Dai-ichi Life achieved a remarkable sales profit target of 20%, significantly higher than the insurance industry's average return on sales (ROS) of 3% to 5% This indicates the company's strong ability to convert net revenue into profit, generating 20 VND of profit for every 100 VND of net revenue However, in 2023, the company faced a drastic downturn, reporting a negative sales profit and incurring losses, which highlights inefficiencies in expense management and potential challenges in debt repayment This situation underscores the urgent need for businesses to implement effective management strategies to enhance operational efficiency.
ROA = Operating profit before∨after tax
The return on equity (ROA) also dropped sharply from 9% in 2022 to -15% in
2023 This reflects the company's inefficient use of assets in 2023, indicating an increase in asset costs without corresponding returns, posing a major challenge in optimizing asset utilization.
The average income of employees has seen a significant rise from VND 3,140,000 in 2022 to VND 5,590,000 in 2023, marking an impressive increase of approximately 77.8% This growth indicates the company's commitment to enhancing employee well-being, which is crucial for sustaining a stable workforce and boosting labor productivity.
- Debt/ Total Assets and Debt/ Equity:
Moderate leverage reflects a balanced capital structure that equally utilizes debt and equity for financing This approach ensures stability while allowing for growth through external funding Although not excessively risky, it avoids being overly conservative or highly leveraged Insurance companies typically favor lower leverage; thus, maintaining this balance may indicate a need to decrease debt to conform to industry standards.
General Assessment of Business Operations:
Dai-ichi Life exhibits notable strengths and challenges in its operations, emphasizing customer trust and satisfaction as key elements in building its reputation within the competitive insurance sector The company's dedication to providing customized financial solutions and maintaining a customer-centric approach underscores its commitment to excellence in service delivery.
The company's financial indicators show a mixed performance, with an improvement in Return on Equity (ROE) indicating better equity capital utilization However, the Return on Sales (ROS) and Return on Assets (ROA) reveal inefficiencies in cost management and asset utilization, underscoring the necessity for enhanced financial discipline and operational efficiency.
Dai-ichi Life has significantly enhanced employee welfare, reflected in the notable rise in average income for its staff This commitment to investing in human capital not only elevates employee morale but also fosters long-term productivity and strengthens operational resilience.
Dai-ichi Life needs to tackle key weaknesses, including expense management, asset optimization, and achieving profitability By capitalizing on its strong brand reputation and enhancing operational efficiency, the company can navigate its current challenges and maintain its status as a top competitor in the insurance sector.
GENERAL ASSESSMENT AND ORIENTATION OF GRADUATION TOPICS
General assessment of business operations
Bao Phuc An Khanh Hoa Co Ltd, an agency of Dai-ichi Life Corporation established in 2021, has quickly gained the trust of Vietnamese citizens by providing high-quality products and services tailored to customer preferences During my internship, I gained valuable insights into the company's production and operational processes, recognizing its strengths and areas for improvement The company has successfully leveraged its advantages while addressing challenges, maintaining a stable financial position and increasing revenue over time, thanks to the dynamic management team With a young, highly trained workforce dedicated to delivering efficient service, the company fosters customer loyalty through positive client experiences Additionally, its competitive pricing makes it an appealing option for clients seeking affordable insurance coverage, while a customer-centric approach ensures personalized services and innovative solutions that meet client needs effectively.
Lessons learned
After engaging in practical experiences, I have acquired a range of valuable skills that I am eager to share.
To maintain my health and manage my responsibilities during my internship, I focus on developing strong time management skills Prioritizing both academic and professional commitments is crucial, as neglecting either can hinder my progress A disciplined routine that incorporates self-care, balanced meals, and sufficient rest is essential for ensuring I have the energy for both studying and practical work Although I have made strides in this area, I acknowledge the need for further improvement and am dedicated to enhancing my time management abilities moving forward.
The internship was a valuable opportunity to enhance my teamwork skills in a professional setting, allowing me to effectively collaborate with others and significantly improve this essential ability.
The workplace resembles a microcosm of society, making effective communication skills crucial for success Engaging in conversations and fostering relationships creates a positive, collaborative atmosphere that enhances work efficiency These interactions provide opportunities for guidance and support from experienced colleagues, leading to valuable insights and advice that contribute to both professional and personal growth.
Active listening to feedback is crucial for personal growth Adopting sound suggestions and responding thoughtfully to differing opinions fosters mutual respect Acknowledging mistakes and being adaptable strengthens relationships and enhances personal development, laying a strong foundation for future success.
Treat all individuals within the company with kindness and respect, while being considerate in interactions with customers and partners Maintain a calm demeanor when defending the company's business perspectives, ensuring clear and confident communication Show respect to superiors without being overly submissive, balancing politeness with assertiveness For subordinates, adopt a gentle and approachable manner, demonstrating genuine interest in their well-being and being open to their feedback This approach fosters a harmonious work environment, enhancing efficiency and smoothing relationships.
Orientation of topics for Graduation Thesis
Human resources are crucial to organizational success, as effective allocation leads to numerous benefits for the company Without ongoing development, both employees and businesses risk falling behind their competitors Therefore, my thesis focuses on assessing and enhancing the training and development effectiveness of human resources at Bao Phuc An Khanh Hoa Co Ltd.