Coteccons and FPT IS sign strategic cooperation agreement to develop digital solution for construction management
On May 31, Coteccons Construction Joint Stock Company (Coteccons) and FPT Information System Co., Ltd. (FPT IS) have officially signed a strategic cooperation agreement to develop digital solutions for construction management. This is the next major step between the two companies to help Coteccons build a comprehensive in-depth digital platform for construction management, and is also an important strategy to help Coteccons complete its 5-year plan (2021-2025), aiming towards a major target of 3 billion USD in revenue and 1 billion USD in market capitalization by 2025.
Specifically, within 9 months, the two companies will cooperate, exchange experiences and resources to develop software solutions specialized for construction quality management for Coteccons. The solutions aim to digitalize and effectively manage intensive business activities such as management of revenue, cost, project life cycle, project service facilities, progress update, workload, construction quality, as well as document management system and reporting system, etc.
This is the solution to the construction industry’s particular issues which so far have been handled manually and failed to help companies achieve costs, resources, and time optimization, especially for companies which have constantly been expanding with projects of increasing complexity like Coteccons.
FPT IS and Coteccons kickstart the strategic cooperation.
Previously, in July 2021, Coteccons has cooperated with FPT IS to deploy SAP S/4HANA solution for financial data management with a record implementation duration of just over 3 months (100 days). The project has been implemented by Coteccons and FPT IS with high concentration and optimal methodology, benefiting Coteccons with higher investment efficiency.
Continuing to cooperate with FPT IS to develop digital construction management solution, Coteccons will be employed with a comprehensive digital management platform that fully responds to management requirements of the leading construction general contractor in Vietnam, thereby helping Coteccons constantly improve project quality and enhance reputation in the market. The project draws particular attention from Coteccons’ senior management and is expected to deliver an instant, continuous and accurate data management system. FPT IS, one of very few companies in the Vietnamese market with sufficient capability and experience to advise and implement digital transformation solutions for the real estate industry, is committed to putting in resources of the best quality for projects with Coteccons.
At the signing ceremony, Mr. Bolat Duisenov, Chairman of Coteccons, says: “Coteccons is determined to invest in and implement digital transformation during periods of market volatility, since we identify this as an important strategy to get Coteccons prepared for its development goals in the coming period. Developing a digital construction management solution will help transform Coteccons’ method of management which currently involves complex business processes, as well as reduce costs, time, resources, and create a push for Coteccons to develop faster and stronger”.
Mr. Nguyen Hoang Minh, CEO of FPT IS, speaks at the ceremony.
On behalf of FPT IS, CEO Nguyen Hoang Minh says: “FPT IS is proud to accompany big names in the Real Estate – Construction industry like Coteccons in the digital transformation journey. Today’s cooperation signing ceremony is not only meant to be a starting point for the implementation of a corporate governance system, but also creates a launching pad to connect and develop a digital platform specific for the construction industry. I hope today’s ceremony will allow FPT IS and Coteccons to go further together and enhance competitiveness in the market. With our highly experienced resources, advanced management solutions, and in-depth knowledge of the construction industry regarding a large general contractor model like Coteccons, the two companies will join hands to form a practical management system of the highest efficiency”.
The construction industry is a particular industry with complex issues and processes, posing difficulties in consultation, design, construction, management, supervision, and acceptance, different for each type of construction work such as high-rise buildings, hospitals, schools, factories, commercial centers, etc. The management and valuation of construction products by the investor as well as the accounting work of contractors’ construction costs are complicated, let alone unexpected incidents such as: labor safety, fluctuations in raw material costs, epidemics, etc. Therefore, the construction industry in general and Coteccons in particular need an advanced revenue and expense management system to better manage and reduce unnecessary costs and risks.
The project is expected to employ Coteccons with a practical management system of the highest efficiency.
Coteccons is currently one of the leading construction companies in Vietnam with more than 400 domestic and foreign projects and rapid growth thanks to its capability to provide customers with unique experiences via comprehensive restructuring strategies. Despite being heavily affected by the recent pandemic and continuously increasing price of construction materials, in 2021, Coteccons has completed phase 1, implementing multiple improvements in management system and organizational processes, adopting new technologies and standards in various aspects. Coteccons has also achieved initial results in the orientation of diversification as new product models have been implemented. In addition to its field of expertise which is civil construction, the Company has expanded to infrastructure works, technology and finance investment, etc. Many new products and services on Finance, Design & Build chain have earned promising feedback from the clients.
