Vinamilk Cost Analysis

HELP UNIVERSITY

MASTER OF PROJECT MANAGEMENT PROGRAM

SUBJECT MPM502

PROJECT COST ANALYSIS & APPRAISAL

ASSIGNMENT 2

Student Name                :         TRANG SI QUOC VU

Student ID                :         B1501884

CASE SUMMARY

1. CONTEXT

Climate change 

Climate change is a change in the statistical distribution of weather patterns when that change lasts for an extended period of time (i.e., decades to millions of years). Climate change may refer to a change in average weather conditions, or in the time variation of weather around longer-term average conditions (i.e., more or fewer extreme weather events)

(Source: Refer to https://en.wikipedia.org/wiki/Climate_change )

This is a serious issue that impact all over the world including Vietnam. In recent years, there was less rain and the temperature rose in Vietnam. So water resources was going down rapidly. Most electricity in Vietnam was made by Hydro-electric plants. The consequence is the high electricity price for production. Many companies had to find the solutions to reduce production cost because of this.

The economy 

Vietnamese economy was growing slowly, consumption was down while material resources went up. Companies in Vietnam needed to reduce production cost to balance between products price and benefits

Technologies

The development in producing energy technologies that helps saving energy cost for production.

1. COMPANY

Vietnam Dairy Products Joint Stock Company (Vinamilk) is a company with 38 years of presence in Vietnam. Generations in Vietnam have grown up with Vinamilk making them nation’s leading supplier of quality dairy nutrition products.

Vinamilk has become a familiar brand to Vietnamese and international consumers after 38 years of continuous innovation and development. Vinamilk has been proving itself of strong spirit of constantly improving, innovating, seeking new directions so that the company gets stronger and stronger.

With a workforce of strong employees, Vinamilk makes it their mission to help Vietnamese move forward in life with trusted dairy nutrition.

(Source: Refer to https://www.vinamilk.com.vn/en/lich-su-phat-trien )

1. CASE OBJECTIVE

To support Vinamilk’s commitment of being the nation’s leading dairy company with both state-of-the art technology and sustainable facilities, its senior manager is proposing the new technology to reduce the electricity and energy consumption of Vinamilk’s facilities.

This proposal is focused on the implementation of an efficient energy project called “Co-generation”