Truong Gia Binh is an unusual businessman in the eyes of many people. What makes him even more special is the way this tech tycoon talks about his failures and how he rose up as a "Vietnamese who doesn't know how to bow his head".
Sheremetyevo International Airport (Soviet Union) in 1985, Truong Gia Binh - 29 years old waiting for the flight back to Vietnam after 12 years of studying. The journey back of the young scientist , besides his cherished dreams and ambitions, was a jumble of belongings, heating wires, pressure cookers, irons... He, like many Vietnamese workers at that time, was forced to go through a separate door because of the long line of luggage they brought back to the country to earn money to support their families.
Holding his little daughter in his arms, stepping off the plane, setting foot on his homeland, looking at the herd of cows leisurely grazing on the vast, deserted runway of Noi Bai International Airport, Mr. Binh silently shed tears...
"Our generation was born and grew up when the country was still at war. We carried great national pride in our hearts because we were surrounded by many loyal heroes. During wartime, "everywhere you go, you meet heroes". And when I went abroad to study, I had the mindset of representing an indomitable nation that had defeated French colonialism and American imperialism.
However, after traveling far and wide, I realized that many Vietnamese people living abroad are discriminated against. I still remember the time I went to the airport to see my friend who was a graduate student at the Soviet Academy of Sciences off to Vietnam, and witnessed the brutal treatment of a local police officer with a Vietnamese passport.
It was painful.
Those memories are deeply engraved in my mind, making me even more determined to help Vietnam escape poverty.
That is why, right from the time of founding the company, we have built a manifesto that FPT must "contribute to the prosperity of the nation" . When writing those words, deep in our hearts and minds, we sincerely wished for the country to be rich and strong. That is also the oath of an entire generation that must grow up in hardship and fierceness", Mr. Truong Gia Binh shared.
When did he start keeping that "oath"?
In the early 1970s, I was one of 100 students from the whole North carefully selected by the Military Technical University (now the Military Technical Academy), equipped with knowledge, trained in foreign languages in the country for a year, then sent to the Soviet Union to study specialized knowledge.
The country is still facing difficulties, we are still very young but have been well-educated. The country has given us great benefits, with enough food to eat and warm clothes to wear.
Associate Professor Dang Quoc Bao, former Head of the Central Science and Education Committee, then Principal and Political Commissar of the Military Technical University, often told us: "After school, you have the task of accelerating the country's economy."
He invited leading Vietnamese scientists such as Professor Nguyen Van Hieu, Professor of Physics Vu Dinh Cu, Professor of Mathematics Hoang Xuan Sinh, etc. to talk to us about science. We had the opportunity to communicate and exchange with the greatest "brains" of the country.
At that time, I did not fully understand what he meant, but when I grew up, I understood that it was also the way he taught us about love and responsibility for the Fatherland. His teachings about the aspiration to revive the country are still relevant today, even as I sit here and answer your interview.
When I went to study in the Soviet Union, I learned from the world's leading teachers and scientists, people with outstanding vision and knowledge. Being close to these people, we were nurtured with great aspirations and ambitions to bring the country to the highest level.
What made you decide to start a food company in 1988?
After returning from school, my friends and I worked as scientists at the Institute of Mechanics under the Vietnam Academy of Science (now the Vietnam Academy of Science). At that time, inflation was at three digits, and my salary (about 5 USD-NVCC) was only enough to eat for a week. A friend told me: "Binh, please save me. I don't have enough money to support my wife and two children." That made me think.
After much thought, I went to see Mr. Vu Dinh Cu (Professor Vu Dinh Cu - PV), who was then the Director of the Vietnam Academy of Science. "Sir, I want to establish a company," I said. Mr. Cu said: "Whatever you want to do, the company name must still carry the name of the product such as: light bulb, thermos, match." I replied: "We only want to do high technology."
Mr. Cu suggested: "So establish a food processing technology company, in food processing technology there are all the most advanced technologies".
We received the decision of the National Institute of Technology Research and the seal. On September 13, 1988, we, including 13 Vietnamese scientists, established FPT Food Technology Company, the predecessor of today's FPT Joint Stock Company.
Starting a business requires capital. So what assets did you and your team have at that time?
The greatest asset of my teammates and I is the "heart", "mind" and character that the nation has passed on: A nation that does not know how to bow its head. That is the most valuable capital.
And the first steps of starting a business are…?
When I returned from abroad, I brought with me a few things like a stew pot, an iron... I saved them up, sold them, and bought gold. When the company was founded, I sold the gold to get money to pay everyone's monthly salary. At that time, we decided to make a living. All the people working in the company were poor, most of them walked to work, only a few had bicycles...
That is why, until now, some members of FPT's founding board still recall the difficult days at 30 Hoang Dieu as an unforgettable memory?
In the early days, every day, we gathered at house number 30 Hoang Dieu to discuss ideas. General Vo Nguyen Giap gave us a small room here, with a computer for work.
During those days at 30 Hoang Dieu, the members tried every way to survive.
The company was established but the operating capital was almost zero, there was no headquarters, and little business experience. At that time, our greatest determination was to bring computers to Vietnam and develop information technology.
We invited Mr. Nguyen Chi Cong from the Institute of Computing and Control to FPT. He was one of the members of the research group that designed and manufactured the first computer in Vietnam. He was also the first teacher who taught our group about computers.
We just learned and thought, then taught each other and decided that once we thought, we had to start doing, not just thinking, not just talking.
Why did you choose to pursue a career in computers at that time, instead of the science field you were trained in?
Science is research and computers are technology. Only when there are products and services can we sell them and make money. Computers were just starting to enter Vietnam at that time, so this field certainly had a lot of potential.
How long did it take for you and your team to get your first big contract?
Not long after. After a year of struggling to make money to maintain operations, FPT got its first contract - to build an air conditioning system for Thanh Hoa Tobacco Factory. The contract was worth 10.5 million VND, while our salary at that time was only about 100 thousand/month.
The second contract was to supply computers to the Soviet Academy of Sciences. Before returning home, I had worked at the Soviet Academy of Sciences. I noticed that they did not have personal computers, so we sent them an offer.
I drafted a letter for Mr. Nguyen Van Dao to send to the Vice President of the Academy of Sciences of the Soviet Union. They immediately invited us to come over to work. It was a record-breaking contract in terms of revenue at that time, worth 10.5 million rubles (equivalent to 16 million USD at that time).
Thanks to this contract, FPT established a relationship with Olivetti Computer Company and focused on developing the IT model. In 1990, the Company changed its name to Financing and Promoting Technology Company and has kept the abbreviation FPT until now.
Many people believe that one of the factors that makes FPT successful is the "fearless" spirit of those with big dreams. What do you think about this statement?
I think the most important thing is "team spirit". In difficult times, everyone has to save themselves. They do all kinds of jobs, all kinds of professions, but often do it as individuals.
We are friends who become teammates, companions, sharing love, working for each other and doing great things together. Saving ourselves is possible, but deep in our hearts, we earnestly wish to contribute to the prosperity of the nation.
The second is "learning". In the early difficult times, we often bought books to read and lecture to each other. Once when I visited Harvard University (USA), I found a very good book called Mini MBA, I read it and decided that this would be the first textbook for all FPT employees. In the beginning, anyone who wanted to join FPT had to go through all departments (accounting, sales, administration, engineering, etc.). Then, if they could pass the exam, they would be accepted.
In 1995, with the support of education experts, state leaders and realizing the importance of business training, I contributed to the establishment of the Faculty of Business Administration at Hanoi National University.
The department collaborates with the Amos Tuck School of Business Administration at Dartmouth College to send many first-generation entrepreneurs abroad to study the best programs. It is this learning process that instills in us the dream that "if they have it, we must have it, if they can do it, we must do it."
The aspiration to master technology and bring Vietnam to the world has accompanied FPT for decades. During that process, what do you remember most?
In 1998, FPT became the leader in the national information technology industry. We developed most of the major domestic information technology systems, such as: Vietnam Airlines' ticket reservation system and software for a series of banks.
We have even completed projects that required urgent progress (a national value-added tax system) in just 6 months, while international projects of this type usually take 2-3 years to complete.
However, in 1998, IBM - the world's largest information technology company at that time - fell into crisis. A "giant" in the information technology field fell into crisis, because it fell asleep on its laurels and lost nearly ten billion USD each year.
I thought and realized that when people stay at the top for a long time, they are very susceptible to decline. At that time, FPT was already the top in Vietnam, I decided to bring FPT to the world.
The early days of "bringing bells to strike foreign lands" must have been very difficult. So what door helped FPT step out into the world?
Before that, I had the opportunity to go to Bangalore (India) and realized a very bright path: Making software. I was very surprised when on the street there were chaos of vehicles, people, pigs and cows but inside the technology companies it was magnificent. I thought to myself, their products must not be very good.
I asked them a very silly question: "Is the technology you make for America equal to America's?". They replied: "Whatever we make must of course be equal to America's or better."
Since then, I dreamed of going out into the world with software. Although I had access to the theory from Bill Gates' memoirs, my practical experience was completely zero. I knew that India made software for the US, but no one knew exactly how.
We tried to learn again. Learned in an absolutely naive way. Luckily, our learning ability was very fast. We immediately realized the key point was that they all followed the world standard process: ISO. Immediately after that, we hired a consultant to build the process for FPT.
FPT is gradually approaching international standards. When we have achieved the standards, we will send them to the Ministry of Science and Technology so that the Ministry can share them with any units that need them. I want to join Vietnamese IT companies in putting Vietnam on the world digital map.
When he entered the software export business, he persisted for 10 years without making any profit. What motivated him and his teammates to be so patient?
Before entering the software export business, FPT had been persistent in developing its programming team despite not making a profit. After 10 years of development, we only had 34 programmers. I told everyone: I want the meeting to have thousands of programmers. To do that, we opened a company in Silicon Valley (USA).
The result was failure, a year without a single contract, millions of dollars lost. I continued to "take" the company to India because I naively thought that this was the world's technology market, I had a stall, customers would come and see that I had a stall there and give me work. But I was wrong and failed miserably again. The capital gradually ran out.
What is the big lesson here, sir?
It is to understand yourself, believe in your inner potential and have nothing to be afraid of.
When the Vietnamese could not sell the products, we hired an American sales expert, but he still could not bring in contracts despite promising a lot. To pave the way during the difficult period, I personally went to sell to partners.
The first destination was IBM because at that time we were a customer who bought a lot of IBM machines. I asked myself: We buy a lot of IBM products, why doesn’t IBM buy from FPT? I asked IBM Vietnam to arrange for me to go to IBM America.
I went to America alone. Entering the meeting room, I was surprised to see 20 IBM directors from different countries sitting there. They said: "Why Vietnam?" - as a polite refusal.
They looked at me anxiously, waiting to hear what he would say. I slowly walked to the board, picked up a pen and wrote - a habit I often used to explain the problem. I continued to apply my mathematical knowledge, drawing a "waterfall" chart.
They listened attentively to my explanation: There are many Vietnamese people, like water. To create energy, hydroelectricity, we need a lot of water and a deep gap in per capita income. Vietnam is the best place, we need to give jobs to Vietnamese people. A product is made, no matter where it is, the output is the same. But if you pay an American or Japanese person, you have to pay 3-5 times more than a Vietnamese person.
That is why partners should choose Vietnam. Partners listened as if they felt an "electric shock" and realized that this was the most important key point. Immediately after that, they sent people to Vietnam to implement the next steps.
In 2000, my colleagues and I went to look for software markets around the world. During this time, I met Mr. Nishida, former CEO of Sumitomo Corporation, Japan.
Mr. Nishida sympathized with me about the idea of Digital Waterfall - Overpass and this was considered a "lucky encounter of fate". Mr. Nishida advised us to go to Japan and wholeheartedly helped and arranged meetings with many Japanese partners.
Finally, there was a customer, NTT-IT, who sensed our enthusiasm and emailed FPT to ask if they wanted to try it. The Japanese will choose you if they see that you are really determined.
What do you think when up to this point, many people still think that FPT is simply a successful unit in software outsourcing?
Outsourcing is also good, isn't it? World-famous companies like IBM, NTT, KPMG... all do outsourcing. Maybe this is a language problem, translating "outsourcing" into "machining" causes misunderstanding that the job is simple. If I had to choose again, I would translate it as "outsourcing".
To evaluate a company, we must first consider its revenue, number of employees, ability to execute projects and high-tech experience.
FPT currently has nearly 70,000 employees, working in many countries. A company with nearly 70,000 people worldwide is very good. We are even larger in scale than many of our major customers and partners.
Research, invest, develop high technologies such as IoT, AI, Blockchain... and have a position globally, FPT has it all. That is class. Regarding partners, we have hundreds of customer companies in the world's top 500 on all continents. There are software and solutions in the world's top 6 such as akaBot.
We have prepared resources for 35 years and now we start to do the best things in the world. If in the past, FPT always had to proactively seek partners and customers, now many large customers and partners proactively seek us out.
We are filled with hope that the day of national prosperity is approaching.
| "Vietnam is becoming a new destination for the world's leading technology and semiconductor industry enterprises. Recently, US President Joe Biden visited Vietnam and the US now considers Vietnam an "important partner in the region". Vietnam is emerging as a destination for many of the world's leading semiconductor manufacturers such as Intel and Samsung; with a series of projects ranging from hundreds of millions to billions of dollars in investment in building factories, expanding production, assembling... Some Japanese enterprises - our customers also want to invest more heavily in Vietnam. Vietnam's competitive point is its global nature. Vietnam learns from other countries, recognizes effective models in the world and then applies them in its own way. FPT is also ready to welcome this opportunity. It is time for the world to come to Vietnam", said Mr. Truong Gia Binh. | You are devoting a lot of effort to education and training talents. Is that your way of nurturing a new generation, to continue the aspiration for a strong Vietnam, just like the way people like you were cared for by the government in the past? For 35 years, my teammates and I have never forgotten the aspiration for "national prosperity". We are very grateful to those who sowed the aspiration for a strong country in the hearts of the country's excellent students at that time. On one occasion, I went to talk to Associate Professor Dang Quoc Bao that I wanted to repay the country by nurturing talented people. In 1999, I founded the FPT Young Talents Center, each year recruiting talented students to nurture, awarding scholarships, and giving them in-depth study of technology... We also invited experts and great politicians to speak. |
There are many of you who have grown up, worked in big companies, become professors, doctors and are continuing to write about the aspiration for a prosperous nation and people, reaching out to the world.
The motivation that helps the generation of entrepreneurs like you to rise up is to "wash away the shame of poverty and backwardness". For the current generation of young entrepreneurs, what do you think is their motivation?
The 13th Party Congress set the goal of Vietnam becoming a developed country with modern industry and high income by 2045. This means that GDP per capita must reach somewhere above 12,000 USD. The current figure is 4,110 USD.
By 2030, it is forecasted that the private economy will account for about 60% of GDP in the economic proportion. This figure means that the private economy has a very important mission in the goal of bringing Vietnam on par with the world powers and this is a great opportunity for the private business community.
Thank you very much!
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