CHAIRMAN OF SAI GON 3 GARMENT JOINT STOCK COMPANY PHAM XUAN HONG: WE MUST CHANGE!

In the midst of his constant coughing due to a bad flu, the "soul" of Sai Gon 3 Garment JSC, Mr. Pham Xuan Hong - Chairman of the Board of Directors - still tried to share with us his concerns about the Company's fortunes: they must keep developing and improving the life quality of workers. In order to do that, they need to change everything, and even the Chairman himself, who has been attached to SG3 Company for nearly half of his life, must be ready to change, too.

Sitting in a beautiful, modern-looking room on the first floor, in the midst of a green campus, the senior leader, who has a pleasant face and snow-white hair, recounted how this place has changed drastically over the years. He was especially proud of the community here: a close-knit and effective community, all for the goal of sustainable development.

Revitalizing SG3 in its darkest days

In May 1990, while working in the HCMC Department of Industry, he was appointed as director and Communist Party general secretary of the SG3 Garment Factory, the worst in all garment factories at the time.

When he came to the place, there were only some small sewing workshops full of outdated or secondhand machineries and materials. Workers were strongly dissatisfied due to lack of work and salary. From initially 1,100 workers, at the time he joined the company, more than half of them had asked to quit their job. This was particularly unusual, because workers could be easy to find but nobody wanted to stay in for a long time.

At that time, the newly-appointed director - who confessed that he did not know much about the professional expertise in textile and garment industries, apart from some remotely relevant experience of social activities when he participated in wartime youth movements in the South and when he worked for the Youth Union of the city - pulled off some amazing feats. He personally borrowed VND 10 million - a significant amount at that time - to pay for the workers. The people who lent him money, still, "mocked" him a bit as to why he had to get himself in debt of such a big sum. He didn't care; he just laughed it off and brought the money back for his workers.

In addition, he "ordered" his subordinates to sell whatever was useless in the warehouse to get some money to pay for the workers. If the workers wanted anything, just give it away to them. In addition to addressing their financial needs, he also tried to get to know the workers and listened to their stories.

At that time, there was no electricity during the day so the workers had to work overnight. To motivate the workers, he went down to the workshop in the evening with a bucket of water. He shouted: "Who needs water, just tell me, I serve you!". Another day, two containers of cotton arrived late when all loaders had gone home. The director rolled up his sleeves and said, "Hey, anyone free now, please help me to move the cotton in!" In response, all team leaders lent their hands and very soon, all the materials were loaded in just 30 minutes.

As time passes by, the Company has gradually overcome its difficulties, the workers have enjoyed greater quality of life, the number of orders has increased and the customer base has steadily expanded. There are customers from the Soviet Union, Western European countries, Japan, etc. existing customers recommend to potential customers to do business with the Company. The director himself went from understanding nothing about garment to solving complex problems effectively just by analyzing reports from workers.

Several years later, from a small garment factory, SG3 Garment has built many more factories, attracted thousands of new workers and gradually affirmed its position on the map of Vietnam textile and garment industries, receiving the first, second and third-class Medals of Honor.

In 2008, the government intended to award the title of Hero of Labor to the Company and offered to give the title to the director, but he refused. According to him, "the root of the garment industry is the workers." Without their collective strength and solidarity, there will be no success. This honor is for the community of workers, and I am already part of the community. He proposed to award the title to the Company first. Two years later, that title was awarded to him.

Being extremely attentive to workers, the director sometimes forgets his personal life. At one point, when his son received a partial scholarship from a reputable school in England, he and his wife had to reconsider and finally asked their child to defer this opportunity because... they couldn't afford his living expenses. His most valuable asset, up to now, is not money or status, but an album containing pictures of the Company over the years and the emotion-filled writings that workers in SG3 labor union dedicated to him in those hard times.

Thankful for restructuring, yet thoughtful about the workers

When asked about what kept him in this Company despite all the difficulties he had to endure over the past 27 years working in the garment industry, the director smiled and said: "The biggest motivation is the community, the workers. I came here because of that, and I am now here because of that, too."

In 2000, SG3 Garment Company was equitized, as expected of a large corporation in top 10 of the textile and garment industries. However, in 2017, the Company continued to restructure. There have been major changes in the Board of Directors and the Board of Managers, in which he is the only one to remain.

Why SG3 Garment needed to change and restructure when it was still doing very profitable business? "The new era requires us to change," he answered. "There are new, fiercer competitions and more difficult challenges. When you are afraid to change, you will be left behind. The market is changing rapidly. Everything is happening so fast. So SG3 Garment definitely has to change. The old model is very good, but in fact there are things that are no longer suitable for the era."

In the current flow of changes in social policies, work environment and operational/managerial methods to improve productivity, to reach out to new customers and new markets, to expand business activities and to recruit young, quality human resources, the director went from being rather anxious to glowing with happiness. Yes, of course he'd be so happy!

He is happy because what he wants will soon be realized. "The new Board of Managers says that there are concrete solutions to help the workers, and they are no false promises. There are also innovative ideas suiting the business trends, meeting the requirements of the worker community and the market and being supportive of the development of the garment industry.

"The most remarkable thing is that they still keep the community spirit, taking great care of the employees, thus creating motivation for the managers and paving a new path of development for SG3," he concluded.

Changes start from you yourself

Restructuring is transforming the Company inside out, with the younger generations being more open and decisive managers. He acknowledged that there are things the young leaders have done much better than him, though sharing the original intentions. "In the past, I did something similar but not as professionally as they do now."

But the man himself did not stand still. The burning energy of a former Youth Union officer never ceased to motivate him at work, even though he is already at the age of limited health and learning capabilities. Every day, he spends time updating information and exchanging experiences with fellows in the textile and garment industries, as well as using his expertise in domestic and international business to consult with the managers.

He also goes to factories to meet the workers, to listen to their opinions about the changes, then answers their questions and soothes their worries. He has told them: "At present, the renovation, the new policies and regulations may seem not very suitable, but their target is actually very good, so we should try to adapt ourselves to the changes to for the sake of the community and for our own benefits, etc. ".

To many people's surprise, the person who previously only listened to direct reports from workers now gets himself updated through technological platforms such as Gmail, Viber, Facebook, etc. just like the young generation. This is a typical example of his "transformation".

"Besides working and hanging out with friends, what do you often do?" I asked. "I go to see the workers," he said. "I miss them so much. Whenever I come back from a business trip, I have to see them and have a chat with them." Then, he gave me the brightest smile of the day, just like the gentle sunshine of Saigon waiting for the new year to start.