Asset management Indochina Valuation Company

management Indochina Valuation Asset management Indochina Valuation Company

TABLE OF CONTENTS

1 Necessity of topic

“The property is a key factor in generating business for all organizations Aneffort, less attention to the business, create items, it usually needs the property to meetyour needs Especially for a specific organization in the field of value assessment isthe evaluation of Indochina, this benefit is a basic factor in addition to arranging andputting the Organization on the generation and trading With that, the advantage inorganization management is very necessary due to good resource management;effectiveness high and new resources promote everything during the operation of theorganization.”

“Enhancing the productivity of resources is needed more in generation costs,transportation costs and reduce costs Similarly, strengthen management and enhancethe productivity benefits of using more encouraging organizations to dependably levelgeneration, business progress, equipment and systems to move forward The use ofadvanced creativity, innovation now will create a vast possibility to enhance workefficiency, improving the quality of items, causing excitement in the market.Especially while the abuse of resources, using the great resources and the possibility ofprogress and business assignments that will reduce costs and in this way by relievingthe sense of concern for progress and also help reduce costs intrigue.”

“From the above reasons, it is important to enhance the effective use of theadvantages in the base It is one of the factors that determine the presence, progressand achievements of a business The company valuation of Indochina was founded in

2003 and has developed a solid position in the field of evaluation and assessment,counseling and resettlement for development projects The Organization has marked

so many great activities, many agreed, expands business to many different fields, forexample the construction of the building materials, advice on strengthening businessmanagement, but the Organization did not look carefully on the computer usefulness

of the advantage to use The use of the advantage still incomplete, leading to lower

carefully to the examination and assessment of the effectiveness of the use of benefits,

so the construction of a technical use of resources is not practical From that fact, "thecompany valuation of Indochina" was chosen to explore.”

“Moreover, The treatment of assets management is small, fragmented by manysubjects together This reduces the professionalism, costly manpower, time, cost butthe effect is not high, difficult to control.”

“The sale or liquidation of assets in the form of auction, the units have to hirecenters or enterprises to implement but there is no regulation on supervisionobligations of the units have the right to sell assets, also the control of the authorities

is not tight.”

“In General, the management of interests in the company to be used legally andsuccessfully control in General, is reflected through the evaluation criteria on themanagement company's advantage is very steady and stable Even so, companiesshould consider carefully managing liquid resources to the special circulationresources and additional resources in a way that really brought the desired effect.”

2 Objectives of the study

-“Clarify the matter theory as a reason for the theory of management interest inthe effort.”

-“Analysis of the management of the benefit; clear advantage in managementorganization.”

-“Suggest the answer to improving the proficiency of the survey aimed atimproving productivity advantage in organization management.”

3 Subjects and scope of study

“Research subjects: management changes are effective at the companyvaluation of Indochina.”

-The scope of the study:

+ About research space: Organization reviews the value of Indochina

+ Duration: From year to year 2015 2017

4 Research Methods

“To complete the reason to ask about, the application of the techniques to thetest, combined strategies, practical strategies, compare, Practical strategies to gather

information in order to investigate The same strategy to help think about the resultsachieved, in this way to the most objective evaluation of the performance of businessactivities is feasible or not feasible Source of information: The information is mainlyused as auxiliary information, especially the monetary statement of your business.Moreover, there are more data about the business situation, the choice of venture.”

5 Structure of the subject

- Chapter 1: Theoretical framework of Assets Management and theEffectiveness of Asset Management

- Chapter 2: The Current Situation of Asset Management in Indochina ValuationCompany

- Chapter 3: Recommendations to enhance asset management efficiency atIndochina Valuation Company in the future

CHAPTER 1: THEORETICAL FRAMEWORK OF ASSET MANAGEMENT IN

COMPANIES 1.1 Outline of the benefits of the business

1.1.1 Property idea

“Asset management is the direction of a client's cash and securities by afinancial services company, usually an investment bank The institution offersinvestment services along with a wide range of traditional and alternative productofferings that might not be available to the average investor The account is held by afinancial institution and includes checking writing privileges, credit cards, debitcards, margin loans, the automatic sweep of cash balances into a money market fundand brokerage services.”

“Asset management requires investment minimums, which means this servicegenerally restrict accounts to high net-worth individuals, government entities,corporations and financial intermediaries This includes such products as equity, fixedincome, real estate, commodities and international investments.The asset of the company divided into two kind that are working capital and fixedassets.”

- “Working capital management refers to a company's managerial accountingstrategy designed to monitor and utilize the two components of working capital,current assets and current liabilities, to ensure the most financially efficient operation

of the company The primary purpose of working capital management is to make surethe company always maintains sufficient cash flow to meet its short-term operatingcosts and short-term debt obligations.”

- “Current assets: In accounting, a current asset is any asset which canreasonably be expected to be sold, consumed, or exhausted through the normaloperations of a business within the current fiscal year or operating cycle (whicheverperiod is longer) Typical current assets include cash, cash equivalents, short-terminvestments (marketable securities), accounts receivable, stock inventory, supplies,and the portion of prepaid liabilities, sometimes referred to as prepaid expenses, whichwill be paid within a year In simple words Assets which are held for a short period are

known as current assets Such assets are expected to be realised in cash or consumedduring the normal operating cycle of the business.”

“On a balance sheet, assets will typically be classified into current assetsand long-term assets.”

“The current ratio is calculated by dividing total current assets by total currentliabilities It is frequently used as an indicator of a company's liquidity, its ability tomeet short-term obligations.”

“The quick ratio, or acid-test, measures the ability of a company to use its nearcash or quick assets to extinguish or retire its current liabilities immediately Quickassets are those that can be quickly turned into cash if necessary.”

1.1.2 The part of advantages in business tasks

“Being a business owner can be extremely rewarding Having the courage totake a risk and start a venture is part of the American dream Success brings with itmany advantages:”

“Independence As a business owner, you’re your own boss You can’t get fired.More importantly, you have the freedom to make the decisions that are crucial to yourown business success.”

“Owning a small business gives you certain lifestyle advantages Becauseyou’re in charge, you decide when and where you want to work If you want to spendmore time on work activities or with your family, you don’t have to ask for the timeoff If it’s important that you be with your family all day, you might decide to run yourbusiness from your home Given today’s technology, it’s relatively easy to do.Moreover, it eliminates commuting time.”

“Financial rewards In spite of high financial risk, running your own businessgives you a chance to make more money than if you were employed by someone else.You benefit from your own hard work.”

“Learning opportunities as a business owner, you’ll be involved in all aspects ofyour business This situation creates numerous opportunities to gain a thoroughunderstanding of the various business functions.”

“Creative freedom and personal satisfaction As a business owner, you’ll beable to work in a field that you really enjoy You’ll be able to put your skills andknowledge to use, and you’ll gain personal satisfaction from implementing your ideas,working directly with customers, and watching your business succeed.”

1.1.3 Resource order

1.1.3.1 Current resources (here and now resources)

“The Company's assets are divided into short-term assets and long-term assets.”

“Each group of assets has the following contents:”

* “For short-term assets, the specific contents in this section include:”

• “Cash and cash equivalents:”

+ “Cash on hand: cash in VND; Cash in foreign currencies + Bank deposits:VND deposits; Deposits in foreign currencies.”

+ Receivables from dividends and profit distributed

+ Must collect workers

+ Other receivables

• Inventory

+ Buy goods are on the road

+ Raw materials and materials

+ Tools, tools

+ Expenditures on production and business

+ Finished products

+ Goods

+ Goods for sale

• Other current assets

* For long-term assets, including:

• Long-term receivables”

• “Fixed assets:

- Tangible fixed assets:

+ Houses, architectural objects

+ Machinery and equipment

+ Means of transport

+ Equipment, management tools

+ Other fixed assets

- Intangible fixed assets:

+ Land use right + Land use right value received

+ Computer software

+ Exploitation permit, permit for production of new product

+ Other intangible fixed assets

- Financial lease fixed assets

- Expenditures on construction in progress

• Real estate investment

• Long-term financial investments

• Other long-term assets”

1.1.3.2 Settled resources (long haul resources)

“Long haul resources is measured by the fixed asset use index as it generallyassesses the asset management process.”

“Performance of using fixed assets = Revenue” Fixed assets

“This indicator shows how much revenue is earned for each investment in fixedassets The fixed asset utilization rate looks at the firm's investment in fixed assets(land, buildings, equipment) and this is extremely important for companies that requirelarge capital as a fixed asset Manufacturers with investments in long-term assets.”

“In the above formula, if we take the total revenue from production andbusiness activities, revenue from financial activities and revenue from other activitieswill have total.”

“Turnover to calculate fixed asset use Fixed assets are stated at cost less

1.1.4 The substance of the advantage class

1.1.4.1 Substance of portable resources

“In the enterprise, the current assets are formed from different sources ofcapital, so each type of capital will have different characteristics, characteristics andcost of use The problem is that businesses have to consider the optimal structure ofcapital and reduce the cost of capital while ensuring the safety of the financial situation

of the business Based on the different classification criteria, the enterprise's currentassets are formed from various types of capital sources such as:”

* “Shareholder formed in capital ownership including:”

- “Owner's equity means the capital amount owned by an enterprise Depending

on each type of enterprise, the owner's capital has specific contents such as investmentcapital from the state budget, capital spent by the enterprise owner, share contributedcapital, joint-venture capital, self-funded capital Extra income from the return Equityrepresents the financial autonomy of the business The greater the equity capital, thegreater the financial independence of the business.”

- “Debts: These are loans made by commercial banks or financial institutions,loans through bond issuance, unpaid customer debts.”

* “The current formulation is based on the time of mobilization and use ofcapital: The capital of the enterprise is divided into two types:”

- “Regular capital sources: It is a stable and long-term source of capital,including owners' equity and long-term loans to finance the company's regularbusiness needs.”

“Regular capital = Total capital - Short-term debt.”

- “Temporary capital: A short-term source of capital, including short-term loansfrom banks and other credit institutions, and short-term loans, which are used to meetthe needs of a temporary nature , abnormalities arising in the business process of thebusiness.”

“Temporary funds = Short-term loans + Legal capital.”

* “The current formulation is based on the scope of capital mobilization: Thestock is formed from two sources.”

- “Capital within the enterprise: It is a source of capital that can be mobilizedfrom the enterprise itself Including: capital from the profits left in the course ofbusiness, the funds of enterprises, the proceeds from the sale, liquidation of assets Thorough use of capital inside enterprises, Promoting the initiative in managing andusing the current assets.”

- “Outside capital sources: Enterprises may mobilize capital from outsidesources, including capital of joint-venture parties, loans to commercial banks, creditinstitutions and loans through the issuance of bonds debt financing, debt owed tocustomers and other debts, etc., by borrowing capital from outside to create anenterprise with a flexible financial structure, on the other hand can increase theowner's equity Fast if the total return is higher than the cost of capital.”

1.2.1 Resource administration in the business

1.2.1.1 The need to oversee resources in the business

“In order to be able to carry out production and business operations, businessesneed to have a certain amount of assets and corresponding funds, no assets will nothave any business activities But the use of assets for high efficiency is the decisivefactor for the growth and development of enterprises With that sense, themanagement, use and improve the efficiency of use of resources in general and thebalance sheet in particular is a very important content of corporate financemanagement The concept of effectiveness of using a current work must be understood

“These two aspects are the objectives to be achieved in the organization ofmanagement and use of assets in general and labor in particular.”

“Previously, when the economy of our country was still in the subsidy period,all capital and assets needs for business production of enterprises are allocated by the

effectively Even now, when our economy has been transformed into a marketeconomy, businesses have to find their own capital to operate, the efficiency of usingcapital, assets in general and current assets in particular low This is becauseenterprises have not caught up with the market mechanism so there are manyshortcomings in the management and use of assets.”

“Business benefits require businesses to reasonably and efficiently use each oftheir assets to make the current assets available to them after each production cycle.Increasing the speed of rotation of the labor force allows shortening of the flow ofcapital so that the capital recovered faster can reduce the number of laborers neededbut still achieve the volume of commodities by or bigger than before Improving theefficiency of using current assets is also important in reducing production costs,transportation costs and lower production costs.”

“Moreover, the business purpose of the business is to collect profits and socialbenefits in general, but besides, an important issue that should be minimized forenterprises is the need to preserve their current assets.” Due to the fact that the currentassets are fully transferred into the cost of production and the form of the fixed assets

is constantly changing, the issue of current assets is considered only on the value side.Inventory of current assets is to ensure that the capital at the end of the period issufficient to buy a quantity of supplies and goods equivalent to the beginning of theperiod when the commodity price rises, reflecting the possibility of purchasingsupplies for the reserve stage and Fixed assets in general, maintaining solvency of theenterprise In addition, increasing the management capacity and improving theefficiency of using the labor force also helps the business always have the level ofbusiness development, equipment and techniques have been improved.”Theapplication of advanced technology and modern technology will create a large capacity

to improve labor productivity, improve product quality and create competitiveproducts in the market.” Especially when exploiting assets, good use of liquid assets,especially the use of savings in current assets in production and business activities toreduce the demand for loans as well as the reduction of interest expenses borrow.”

“For these reasons, it is necessary to improve the efficiency of the managementand use of liquid assets in enterprises.”That is one of the decisive factors for thesuccess of a business, further the growth and development of the economy.”

- “A number of indicators assessing the efficiency of the use of liquid assets.”

* Round robin property

“The use of liquid assets is high or does not manifest first of all in the speed ofcapital flow of business fast or slow The faster moving assets move, the higher theefficiency of using the moving assets of the business and vice versa.”

Net revenue

Revolutions = Current assets in the period

“Rolling stock turnover criteria reflect how many rounds of business turnover

of a business rotation or a copper.”

1.2.1.2 Content administration resources in the undertaking

“Enterprise asset management is the business of processing and enablinginformation systems that support management of an organization's assets, bothphysical assets, called "tangible", and non-physical, "intangible" assets.”

“Physical asset management: the practice of managing the entire lifecycle(design, construction, commissioning, operating, maintaining, repairing, modifying,replacing and decommissioning/disposal) of physical and infrastructure assets such asstructures, production and service plant, power, water and waste treatment facilities,distribution networks, transport systems, buildings and other physical assets.” “Theincreasing availability of data from asset systems is allowing the principles of TotalCost of Ownership to be applied to facility management of an individual system, abuilding, or across a campus Physical asset management is related to asset healthmanagement.”

“Infrastructure asset management expands on this theme in relation primarily topublic sector, utilities, property and transport systems.” “Additionally, AssetManagement can refer to shaping the future interfaces amongst the human, built, andnatural environments through collaborative and evidence-based decision processes.”

“Fixed assets management: an accounting process that seeks to track fixed

“IT asset management: the set of business practices that join financial,contractual and inventory functions to support life cycle management and strategicdecision making for the IT environment.” “This is also one of the processes definedwithin IT service management.”

“Digital asset management: a form of electronic media content managementthat includes digital assets.”

1.1.4.1 Content of movable assets

a Classification of liquid assets

* “According to the rotation, current assets consist of three types:

Working capital assets include: reserve assets for production (raw materials,fuels, materials, tools being stocked) and assets in production (prices unfinishedproducts).”

“Circulating liquid assets include reserve assets for circulation (finishedproducts, goods stored in stock or being sold), assets in circulation (capital in cash).”

“Financial liquid assets are short-term financial investments for the purpose ofmaking a profit (joint venture investment, securities investment ).”

* “According to the level of conversion potential, liquid assets are divided intothe following categories:

Monetary assets are assets of units directly under the form of value It includesmoney in the fund, bank deposits (or Treasury) and money in transit (both local andforeign).”

“Jewelry, gems and precious metals: This is a special group of assets, mainlyused for stockpiling purposes.” “However, in some industries such as banking, finance,insurance the value of diamonds, gems, gold and silver can be very large.”

“Cash equivalents: This group includes financial assets that are convertible intocash: securities, valuable papers ” “ However; not all types of securities are covered

by this class, highly liquid securities are considered as liquid assets of this class.”

“Short-term financial investments are capital investments for the purpose ofearning profits within a year or a business cycle Short-term financial investmentsinclude equity investment, investment contributing money, short-term loans.”

“Accounts receivable: It is the property of the unit but is being appropriated byorganizations, collectives or other individuals that the unit has the responsibility torecover.” “The receivables include receivables from buyers, advance payment tosellers, overpayments to the budget, internal receipts.”

“Inventories are movable assets that exist under the form of material that can beweighed, measured, counted.” “Inventory can be produced by the unit itself orpurchased outside.” “Inventory includes: materials, tools, goods are on the go, finishedgoods, goods, unfinished products.”

“Other current assets: These are liquid assets other than those mentioned above,such as advances to employees, prepaid expenses, deposits, short-term deposits.”

* Based on the purpose of using the assets in the enterprise, the division ofliquid assets into two types is the liquid assets in business and liquid assetsoutside the business

b Asset management

* Inventory management

There are two common methods used to manage stockpiling:

• Classical stock management or the most efficient ordering model - EOQ(Economic Ordering Quantity)

The EOQ assumes that the deliveries are equal When a business carries outinventory, there are two main costs:

Storage costs: These are the costs associated with the storage of goods,including:

- Operating costs, such as freight handling costs, cargo insurance costs, losscosts, preservation costs

- Financial expenses, including the cost of capital, such as loan interest, taxexpense, depreciation

Ordering costs (contract costs): Include transaction and freight managementcosts The cost of ordering per order is usually stable and does not depend onthe quantity of goods purchased

* Manage cash and high liquidity securities

Cash is understood to be cash balance, cash on the bank's payment account,used to pay salaries, purchase raw materials, buy assets, pay taxes and paydebts The enterprise holds cash for two main reasons:

• Maintain a cash balance, ensuring daily business transactions Thesetransactions usually pay customers and collect money from customers, thuscreating a transaction balance

• Maintain the required margin as required by the bank when providing loans orservices The cash balance of this type is the offset balance

There are also two secondary reasons for holding cash in the business:

• Maintain reserve balance, meet demand in case of unforeseen fluctuations ofcash inflows and outflows

• Maintain a balance for speculative purposes to allow businesses to takeadvantage of their purchases and take advantage of business opportunities

* Manage receipts

Receipts arise from commercial credit, which creates both direct and indirectcosts but also benefits the business because commercial credit policy will increasesales Enterprises may take the following measures in managing receivables:

* Commercial credit policy

In a market economy, there is an indispensable form of buying and selling.Commercial credit can make a business stand out in the market and become rich butcan also bring risks to the business of the business That is reflected in the followingbasic features:

• Commercial credits affect sales Due to being paid late, more people willcome to buy the goods of the business, thus increasing sales When grantingcommercial credit to customers, businesses are delayed in paying and because themoney is valuable over time, the company will set a higher price

• Commercial credits reduce inventory costs of goods

• Commercial credits make fixed assets more efficient and reduce some of theinvisible wear and tear

• The cost of operating a business may increase when granting commercialcredit to the customer

• Commercial credit increases the cost of debt collection, the cost of paying forfunding to offset the budget deficit The longer the credit term, the greater thecost.

These effects force managers to compare between revenue and cost increases,thereby deciding whether to grant commercial credit to customers and how theterms fit in Reality shows that sales tend to increase as credit standards arerelaxed

* Trade credit analysis

• Analyze the creditworthiness of customers

Analyzing the creditworthiness of customers is an important issue for managers

to make credit for customers This work must start with the business building areasonable credit standard, then the credit quality verification of the prospect.Commercial credit will be provided if the customer's credit ability meets theminimum standards that the business offers

• Tracking receivables:

+ Arrange the age of the receivables In this method, the manager arranges thereceivables for the length of time to track and takes measures to resolve the debtwhen it is due

+ Determining the balance of accounts receivable In this method, the seasonalvariation of sales will not affect the receivables Using this method, enterprisescan see the outstanding debt that customers owe business Along with the otherway of monitoring, managers can see the impact of financial policies in generaland commercial credit policies in particular on the operation of the business

1.1.4.2 Content of fixed assets

a Classification of fixed assets

* According to utility and usage situation, fixed assets are divided into:

Fixed assets used for production and business purposes: These are fixed assetsbeing used in the production and business activities of enterprises

These fixed assets are required to be depreciated and charged to production andbusiness expenses

Non-business administrative fixed assets are fixed assets of administrative andnon-business units such as mass organizations, medical and cultural organizations.

Fixed assets are fixed assets of the unit used for public welfare such askindergartens, clubs

Fixed assets for maintenance, keeping and storage State-owned fixed assets areassets which enterprises keep them for other units or store them for the State according

to the regulations of the State

Fixed assets waiting processing include fixed assets are not used because ofsurplus compared to demand or because they are not suitable for technological processinnovation, damaged waiting liquidation These fixed assets need to be processedquickly to recover capital for investment in fixed asset renewal

* According to the form of expression, fixed assets are divided into twocategories:

• Tangible fixed assets are tangible fixed assets of specific material forminclude:

+ Houses and architectural objects: They are fixed assets of enterprises formedafter the process of construction and construction such as working offices, workshops,warehouses and yards; Infrastructure such as roads, bridges, bridges, docks

+ Machinery and equipment: Including machinery and equipment used inproduction and business of enterprises such as specialized machinery, workingequipment, technology lines, individual machines

+ Means of transport, transmission equipment: means of transport by railways,waterways, roads, airways, pipelines and transmission equipment such as informationsystems, electricity systems, water pipelines

+ Equipment, tools for management: Including equipment for businessmanagement of business such as measuring equipment, computers, copiers, printers,vacuum dust

+ Other tangible fixed assets: Including unspecified fixed assets, reflected in theabove types

• Intangible fixed assets are tangible fixed assets which are not material butdetermined by value and held by enterprises and used in production and business.Those belonging to intangible fixed assets include:

+ Land use right: Including all actual expenses paid by the enterprise directlyrelated to the land used, such as: money spent to obtain legal land use right,compensation for face clearance leveling, registration fee (if any) ; or the value ofthe land use right contributed capital

+ Copyright and patent: It is the actual cost that the enterprise has spent toacquire the copyright, patents

+ Trademarks are actual costs directly related to the purchase of trademarks.+ Computer software: The total cost actually spent by the enterprise to obtaincomputer software

+ Other intangible fixed assets: Including other intangible fixed assets whichare not reflected in the above types such as concession rights, tenancy rights, rights touse the contract, intangible fixed assets in progress

* Classified by ownership, fixed assets are divided into fixed assets andoutsourced

• Fixed assets: These are fixed assets constructed, procured or financed by thecapital of an enterprise granted by the state budget, borrowed by the bank, by self-financed capital, business

• Fixed Assets for Rent

+ Financial leased asset is the leased asset which the lessor transfers themajority of the risks and benefits associated with the ownership of the property to thelessee Property ownership may be transferred at the end of the lease term

+ Operating leases: Leased assets do not carry the majority of the risks andrewards associated with the ownership of the assets The term of the lease is only apart of the useful life of the asset and will be returned to the lessor at the end of thelease term

Sort by source:

• Fixed assets purchased and constructed by the allocated capital

Fixed assets purchased and constructed by self-supplemented capital sources(development investment fund, welfare fund ).

• Fixed assets procured from borrowed funds

• Fixed assets received from joint ventures in kind

b Depreciation of fixed assets and management of depreciation funds

• Concept

In the course of use, fixed assets wear out in value and in kind The value ofwear and tear of fixed assets used for business activities is transferred to thevalue of products made (with the manufacturing enterprises providing services)

or the costs of dealing in goods (with commercial business enterprises) in theform of depreciation Thus, depreciation of fixed assets is the expression ofmoney of the value of fixed assets have worn out The purpose of depreciation

of fixed assets is a subjective measure to recover investment capital to restorefixed assets when it is damaged or has expired useful life

• Classification

Visible wear is the physical wear and tear during use due to friction, corrosion,damage to parts Visible wear of tangible fixed assets can occur in two forms:

+ Technical wear occurs during use

+ The impact of nature (moisture, steam, air ) does not depend on the use ofthem

Due to tangible wear and tear, fixed assets lose value and use value at thebeginning, eventually replacing it with another asset

Invisible wear and tear: a decrease in the value of tangible fixed assets due totechnological progress Invisible wear and tear is caused by obsolete or defectivetangible assets technically, also known as economic wear and tear of each fixed asset,the user of the fixed asset must estimate its nature and The intangible fixed assets aredepreciated so that appropriate depreciation rules are in place to recover the fullamount of capital before the liquidation of the fixed assets

c Asset management

* Fixed asset management about artifacts

Fixed asset tracking system: Enterprises should improve their fixed assettracking and control system The simplest is to set up the general and detailed trackingbook The General Ledger reflects the general situation of management of fixed assetgroups and types of equipment, but only the most basic information is recorded Thedetailed book is used to store information about each small group or each device.However, the best approach is to apply the computer to monitor the notebooks.Databases in the computer will constantly update the information about fixed assets,when needed know just a simple command to call the screen or print the paper.

Fixed Asset Management: Each group or individual will be assigned to managegroups of machinery or equipment line assemblies; It must be based on technology,arrangement of shifts and how to organize the workshop to clear responsibilities There

is no common model for all businesses but only the decentralization or management ofoperations should be applied to suit the operation of the business

*Fixed asset management about technology

Businessmen who want to exploit the most effective fixed assets should payattention first to technical management, technical norms and operation status ofmachinery Besides, rationalizing machines in the factory is also an important step.Although it has been designed and planned in advance, it does not always have theright equipment, sometimes wasting time and increasing the operating costs of theequipment For loose machines and equipment, attention should also be paid toarranging to reduce transportation costs and interruptions between work processes

1.2.2 Viable resource administration of the business

Property management is the operation, control, and oversight of real estate asused in its most broad terms Management indicates a need to be cared for, monitoredand accountability given for its useful life and condition This is much akin to the role

of management in any business

Property management is also the management of personal property, equipment,tooling, and physical capital assets that are acquired and used to build, repair, andmaintain end item deliverables Property management involves the processes, systems,and manpower required to manage the life cycle of all acquired property as defined

above including acquisition, control, accountability, responsibility, maintenance,utilization, and disposition.

In order to achieve the target of asset efficiency, enterprises must determine themodel of rules and types of assets required for the production and business process.This is the first baseline issue, requiring the business to carefully consider the firstbaseline decision on the principle of the project and the first project analysis If youbuy a lot of fixed assets that are not used up, it will cause the capital romance, thesong And if the media is not enough with the workforce, productivity will fall

On the basis of a fixed assets procurement, a business must use the maximumcomputer and real time, full implementation, save in the server, try to speed up therenovation and apply the process of the science process process, modern This willcreate the premise for enterprises to be innovated according to the guidance, modern,provide products and services suitable to the market demand, high competition

1.2.2.1 Effective administration of here and now resources

“Indochina Evaluation Company is a company operating in the field of shippingand real estate, with two main activities are business of leasing and multi-servicetransportation method.” “In the early years of its founding, the company facedfinancial difficulties as well as management experience.” “However, with the support

of the Indochina Valuation company and the efforts of the Board of Directors and allemployees, the company has grown and improved its position in the market.”

“Compared with other companies in the same industry, the Company is one of theleading companies in the transportation market.”

“In recent years, in the face of complicated developments in the political andeconomic situation in the world, the consequence is the petrol price, the gold price, theprice of raw materials, and unexpected changes.” “Domestic transportation in generaland Indochina Evaluation Company in particular are more or less influenced andfacing common difficulties.” “However, with the increase in cost of goods sold, thecost of such materials, Indochina Evaluation Company has made great efforts toexpand the scale of services, find new directions to increase sales and profits leverage,thereby increasing the competitiveness and quality of services in the field ofmultimodal transport.”

1.2.2.2 Effective long haul resource administration

“Long-term asset performance is measured by the fixed assets performanceindex as it generally evaluates the fixed asset management process of an enterprise.”

“This indicator shows how much revenue is earned for each investment in fixedassets.” “The fixed asset utilization rate looks at the firm's investment in fixed assets(land, buildings, equipment) and this is extremely important for companies that requirelarge capital as a producer with long- term investments into fixed assets.”

“In the above formula, if the total revenue from the production and businessactivities, the revenue from financial activities and the turnover from other activitieswill get the total turnover to calculate the fixed asset use.” “Fixed assets are stated atcost less depreciation and amortization of fixed assets depending on the specificenterprise.”

1.2.2.3 Effective management of total assets

Total asset management efficiency is measured by the performance of totalasset utilization by assessing the asset's utilization efficiency, which will help us seeeffective asset management processes

This ratio shows how much revenue is earned per 100 properties The turnovertarget is determined by the sum of turnover from production and business activities,revenue from financial activities and turnover from other activities (also known asabnormal activity) The total asset value is determined by subtracting the total value ofthe current assets and the residual value of the fixed assets in the enterprise's balancesheet

Total Asset Use Efficiency considers the effectiveness of managing all assets of

a company In general, the higher the ratio, the lower the investment to generate salesand therefore the greater the profit for the company If the asset performance isrelatively low relative to the industry level or lower than the company's previous level,

it means that the company has invested too much in its assets or its sales pace is tooslow

1.3 Variables influencing the proficiency of big business resource administration

1.3.1 Inside components (subjective elements)

In the most general sense, a business cycle is defined as the movement of term economic activity in a given period, in which the periods of growth and periods

short-of decline always interact each other The business cycle is one short-of the subjectivefactors that affect the efficiency of enterprise asset management For a business, if thebusiness cycle is short, it will recover capital quickly, the capital flow rate increases,especially working capital, consumption increase, so effective Property managementwill be high Thanks to the short business cycle, enterprises have more advantages inusing capital to re-invest in assets, expand production and business, upgradeequipment, machinery, workshops, improve the quality of the staff This is quite theopposite for a business with long production cycle, turnover rate will slow, causingcapital stagnation, costly cost, yoke in the production process; products made for slowconsumption; the investment capital in factories and machinery and equipment hasbeen reduced sharply It can be said that the business cycle is a very important factoraffecting the performance in general and the efficiency of asset management inparticular

1.3.1.2 The ability to use capital of enterprises

In the most general way, the capital is understood as the source of funding forbusiness activities of enterprises This money is formed at different times and indifferent ways The capital is an indispensable condition for establishing enterprisesand carrying out production and business activities When setting up an enterprise, thelaw stipulates the level of legal capital for some types of enterprises, so if the legalcapital requirements are not met, the enterprise can not be established However, evenfor those types of enterprises that do not require legal capital, enterprises will not beable to operate without capital What will be the financing for the construction offactories, purchase of machinery and equipment, materials? Or, in other words, wherewill the funding be for the assets of the business?

We know that if there is no asset, the business will not be able to operateand produce, so indirect capital plays an important role in the formation of assets.Once there has already been the asset, the capital is the factor that affects the

efficiency of asset management of the business The efficiency of asset managementwill be significantly improved if enterprises know how to use capital to invest in newmachines, lines, equipment, improve product quality and access to scientific level.modern technology This reduces the amount of raw materials, minimizes theunfinished products in the production process, the business cycle is shortened, theconsumption increased, As such, asset management efficiency will be improved.

1.3.1.3 Product features

For different businesses, the product characteristics are different in each periodand in each period of the economy The product characteristics are researched by thebusiness groups based on different groups of customers, from which to producedifferent types of products to meet the needs of customers Because of the differentgroups of customers, the proportion of receivables is different For patrons who havegood financial strength, long-term relationships and prestige in the market, businessescan apply trade policies with receipt age which is longer than other customers As forpotential customers, new customers and businesses need to conduct a thoroughanalysis and evaluation of creditworthiness before making a decision to grantcommercial credits to this group of customers, and the level of receivables should besmaller than the length of receivables of the prestigious customer group mentionedabove

The proportion of receivables vary between different businesses will lead todifferent asset management efficiency in these businesses Since receivables areinvolved in the calculation of total asset management, each firm should determine itsreasonable receivables structure based on different product groups and differentcustomer groups Total asset management is the best

1.3.2 Factors outside the undertaking (target factors)

1.3.2.1 The fluctuation of the economy

For any country, the social and political environment always has a certainimpact on the performance of the economy in general and the performance ofbusinesses in particular in that country, possibly even Affecting the operation ofanother country's economy or the global economy Events such as war, political

environment, adding to the instability of the economy The above factors can cause theeconomy to degrade, leading to the impact on the operation of enterprises: the price ofraw materials inputs increase, the product causes slow sales, revenue decline, Long-term business cycles, stagnant capital, workers are cut salary or unemployed Theissues mentioned above have a great impact on all aspects of the business process inthe enterprise, They do not have much capital to invest in renovating their properties,which results in reduced asset management.

1.3.2.2 Macro policies of the State

Macroeconomic conditions, including fiscal policy and monetary policy, affectthe entire economy of a country The economic conditions impacted by these policieswill affect all sectors and businesses in the economy

Fiscal policy, such as tax exemption and reduction, may encourageconsumption, make products more consuming and faster, thereby reducing inventories,fast and stable flow of capital, Make your asset management more efficient

Monetary policy also creates similar economic changes A tighter monetarypolicy with reduced money supply will reduce the supply of working capital and willlimit the expansion of business production for all businesses, thereby reducing theefficiency of financial management In addition, it can increase the market interest rateand thus the cost of borrowing from enterprises will increase, enterprises will limitinvestment in renovation and asset purchase Asset management is also affected

1.3.2.3 The development of the stock market

The development of the stock market is also one of the objective factorsaffecting the operation of enterprises Normally, when the economy develops well, thestock market will go up, which makes the stock price of the business tend to increase.Investors will be more interested in the stock of the business and the business willhave more opportunities to issue shares to attract capital to expand production,business and investment in assets, thereby the asset management efficiency isenhanced Conversely, when the economy is down, the most obvious manifestation is

in economic crises, the stock market goes down This means the situation is bleak forthe shares of enterprises, enterprises will face restrictions on attracting capital ofinvestors for business purposes

1.3.2.4 The development of science and technology

Science plays an important role in making investment decisions to buymachinery or tangible and intangible assets of an enterprise Business executives willalways want to avoid invisible wear and tear due to technical backwardness, thusresearching, proposing, making plans and projects investing in property to catch up thedevelopment of science and technology They will consider the cost of replacing theasset and the benefit of the asset compared to the old asset is outdated and lessfunctional Technological advances will help businesses produce products thatconsume less raw materials, save on fuel, and time to produce faster, therebyincreasing production and speed rotation, As a result, asset management efficiency isalso increased

Conclusion Chapter 1

Public asset management by public administrations is an important part ofpublic financial management In this chapter, the difference between administrativeagencies and non-business units is clearly defined for making appropriate policies inasset management of each agency Public property is a large asset of the state withdifferent usage and management characteristics than that of other economic sectors It

is the state that owns this property but harnesses direct management as the level

The public property of an administrative agency is not directly involved in theproduction of the product and the assessment of its effectiveness must be carried outthrough standard norms, which are associated with different management models forthe purpose of effective on the top Each management model, performance evaluationcontains advantages and disadvantages, but the model is applied by each country.Contents of asset management models is conducted through stages such as the process

of formation, the process of exploitation and use, the process of ending the property.Each process is specific be institutionally written, legal End chapter one by studyingthe management experience of the countries is significant in building the model forVietnam France and China are historically influential countries with similarities toVietnam, Canada and Australia, which have effective public administration models and