Solutions improving cost control at Thien Su Company Limited

Abstract

Besides increasing revenue from production and business activities, cost control is also an issue that deserves attention to increase profits. A review of Thien Su company - a company specializing in the production of granulated milk - shows that the company has shortcomings in cost control. Evidence that in 4 years of operation, the company has expanded its market and achieved consistently high sales in 2018 and 2019. When the market had an incident (Covid-19), the company revealed flaws in cost control and was very slow in making financial decisions. This research aimed to reevaluate the company's situation, identify these causes and propose solutions to improve the company's condition. The company's main problem identified as poor cost control due to the four main reasons analyzed is imprecise planning and forecasting, no internal control, poor team cooperation, and unqualified employee. The methodology in this article is through historical data, literature reviews, and in-depth interview (both individual and group) assessments to assess the impact of problems, identify causes and choose solutions. The article has achieved specific results in concretizing the operating process, building solutions, and proposing an action plan for the company.