FOREIGN TRADE UNIVERSITY

FACULTY OF BUSINESS ENGLISH

-------***-------

FIELD REPORT
Major: Business English
ANALYZING CUSTOMER SERVICE IN AIA VINH
PHUC LIFE INSURANCE CO., LTD

Student full name: Nguyen Thi Hong Hang

Student ID : 1817710054
Class : English 3
Intake : 57
Instructor : Vu Thi Phuong Dung, MSc.

Hanoi, August 2021

 TABLE OF CONTENT

INTRODUCTION............................................................................................................1
CHAPTER 1: COMPANY OVERVIEW OF AIA VINH PHUC LIFE
INSURANCE CO., LTD..............................................................................................3
1.1 History of development.......................................................................................3
1.2 Products................................................................................................................4
1.3 Achievements.......................................................................................................6
1.4 Organizational Structure....................................................................................6
CHAPTER 2: SITUATION OF CUSTOMER SERVICE OF AIA VINH PHUC
LIFE INSURANCE CO., LTD..................................................................................10
2.1 Situation of customer service of AIA Vinh Phuc Life Insurance Co., Ltd....10
2.1.1 Customer service in consultation phase.....................................................10
2.1.2 Customer service in purchasing phase......................................................13
2.1.3 After-sale customer service.........................................................................14
2.2 Analysis of customer service of AIA Vinh Phuc Life Insurance Co., Ltd.....15
2.2.1 Strengths......................................................................................................15
2.2.2 Weaknesses..................................................................................................17
2.2.3 Opportunities...............................................................................................17
2.2.4 Threats.........................................................................................................18
CHAPTER 3: RECOMMENDATIONS...................................................................19
3.1 Complete the organization of customer service department..........................19
3.2 Improve customer officers’ skills at the most optimal cost............................20
3.3 Completing the customer service plan.............................................................20
CONCLUSION...............................................................................................................22
 ACKNOWLEDGMENTS
The internship opportunity I had with AIA Vinh Phuc Life Insurance was a great
chance for learning and professional development. Therefore, I consider myself a very
lucky individual as I was provided with a chance to be a part of it. I’m also grateful to
meet so many wonderful people who guide me in this internship period.
First and foremost, I would like to express my highest gratitude and appreciation to my
supervisor, Ms. Vu Thi Phuong Dung, the Faculty of Business English lecturer. Her
dedicated guidance and advice played a vital role in making execution of the report. She
always gave me detailed and valuable feedbacks and comments that help to improve my
report significantly. Without her support, I could have never finished this work.
Secondly, my gratitude is also sent to Mr. Nguyen Dang An Phu of AIA who takes
time out to hear and guide me on the correct path during the training despite being
extraordinarily busy with his duties.
Besides, I also would like to thank my colleagues at AIA, friends, and especially my
family who helped and encouraged me a lot during the internship. I appreciate this
opportunity as a big milestone in my career development. I will make the best of learned
knowledge and skills to attain my desired career objectives.
 LIST OF TABLES
Table 1.1 Categories of personal products of AIA Vinh Phuc 4

LIST OF FIGURES
Figure 1.1 Organizational Structure of AIA Vinh Phuc Life Insurance Co., Ltd 6
Figure 2.1 AIA’s customer service on its website 11
Figure 2.2 Types of payment channels of AIA 16
ABBREVIATIONS
- MDRT: Million Dollars Round Table
- HR: Human Resource
- IT: Information Technology
- Co., Ltd: Limited Company
- IOIS: Financial Consultants Business Cooperation Channel
- CRA: Customer Service Agents
 1

INTRODUCTION
Vietnam’s insurance sector has developed significantly in recent years with
positive changes in government policies and an increase in insurance demand. With
only 6 to 7 percent of people participating in insurance, Vietnam’s market is at an
early stage of development so there is much more for exploitation potential.
According to the ministry’s Department of Insurance Management and Supervision,
total insurance premium revenue in 2020 is estimated at US$7.86 billion, an
increase of 15 percent compared to 2019 despite Covid 19.
AIA Vietnam is a member of the AIA Group - the world's largest listed
independent life insurance group of Asian origin. To contribute to positive changes,
helping Vietnamese people have the best financial protection and live healthier,
longer, and happier lives, AIA Vietnam is currently one of the top 5 leading life
insurance companies in Vietnam and a well-known brand trusted by customers and
the public. AIA Vietnam has more than 170 general agent offices in 50 provinces
and cities, and AIA Vinh Phuc is the only its branch in Vinh Phuc, Viet Nam.
Reason for choosing the topic
According to the curriculum of Foreign Trade University, I had a chance to
spend a five-week internship in the Customer Service Department in AIA Vinh
Phuc Life Insurance Co., Ltd to observe and practice what I have learned at the
university. During the internship, I have realized the importance of customer service
in maintaining long-term relationships and company growth. Especially in an
insurance company, satisfied customers are considered as the pillar of its
development. If their belief in the service is already on a deep level, they become
loyal customers and spread the word about their insurance to others. Therefore, I
conduct this report to analyze customer service in my intern company. Through
taking care and performing services to potential customers, which is my main duty
at the company, I will comprehend how this task helps ensure the interests of clients
and businesses in the constantly changing legal environment in Vietnam, thereby
helping to devise ways to improve the quality of customer care services
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Research method
The data and information used in this report were collected from AIA Vinh Phuc
Life Insurance Co., Ltd’s data source as well as other newspapers and websites,
under the instruction of Mr. Nguyen Dang An Phu and the Customer Service
Department’s staff.
Report Structure: Apart from the introduction and conclusion, my report contains
3 main parts:
Chapter 1: Company overview of AIA Vinh Phuc Life Insurance Co., Ltd
Chapter 2: Situation analysis of customer service of AIA Vinh Phuc Life
Insurance Co., Ltd
Chapter 3: Recommendations
 3

CHAPTER 1: COMPANY OVERVIEW OF AIA VINH PHUC LIFE

INSURANCE CO., LTD

1.1 History of development

AIA Vietnam Life Insurance Co., Ltd is the first American-owned life insurance
company in Vietnam and officially went into operation on February 2, 2000. With
strong history and proper business strategies, AIA Vietnam constantly expands its
business through a network of branches, representative offices, and general agent
offices in many provinces and cities across the country. AIA Vinh Phuc Life
Insurance Co., Ltd is the only branch of AIA Vietnam in Vinh Phuc with
approximately 700 employees. AIA Vinh Phuc was established on April 12, 2012
and is located on the 3rd floor, Minh Quan building, Nam Dam Vac urban area, Vinh
Yen district, Vinh Phuc province. Its registered business name is Duy Ha An
Insurance General Agent Co., Ltd. The legal representative is Ms. Nguyen Thi Thu
Ha with the intial registered capital of 5 billion VND.
With right strategic direction, AIA Vinh Phuc has quickly made many
outstanding achievements. In 2013 - 2014, AIA was honored with the Royal Award
for outstanding performance and business style for the second consecutive year.
AIA Vinh Phuc also pays great attention to investment and application of modern
technology, in particular, in 2012 the IVR system - the first automatic information
answering system in Vietnam's life insurance market was put into use. By the end of
October 2012, AIA Vinh Phuc had nearly 100 Premier Agents - the top quality
professional agent force of AIA Vinh Phuc as well as of the life insurance market.
In August 2014, a record of more than VND 111 billion of new annual premiums
was set, making AIA Vinh Phuc one of the three braches having the most
outstanding performance.
Up to now, after more than 9 years of operation, AIA Vinh Phuc is the leading
life insurance branch of AIA Vietnam, accounting for 5% of the life insurance
market share across the country. To protect Vietnamese people’s prosperity and
financial safety, the company has always been a pioneer in building innovative
service models to bring high-class experiences to customers. In recent years, AIA
 4

Vinh Phuc has continued its sustainable business growth with impressive financial
results. According to the business results report in 2020, despite the raging covid19
epidemic, AIA Vinh Phuc still achieved total revenue of VND 15,715 billion (up
26.9% compared to 2019), of which business revenue insurance reached more than
13,796 billion VND (up 25.6% compared to 2019).

1.2 Products

One of the factors that help AIA Vinh Phuc have a prominent position in the life
insurance market is its diversified products and services, meeting the needs of many
customers. Currently, the company divides its products into two main customer
groups: individuals and businesses, in which individuals are still the customers that
the company focuses on investing in the most. Below are details of the 6 categories
of personal products along with their highlights and key functions:

Type of product Featured product Main functions

 5

Financial security An Phuc Tron Doi Uu Ensure financial security

Viet during each important life
event (building a career,
family, or retirement plan)
Accident insurance An Tam Thuong Lo Financial protection
against accident risks
when traveling on
motorbikes

Guarantee the future of Diploma - Advanced Financial accumulation for

education for your Education Insurance the future of your child's
children education as an adult and
the risks in life
Health and critical illness Healthier 100 Financial protection
insurance against critical illness and
cancer events before age
100

Peace of mind in the An Phuc Tron Doi Uu Total and permanent death
golden age Viet or disability insurance

Investment savings Step Into The Future Increase assets from long-
term investment results,
manage risk in investment
and life

Table 1.1 Categories of personal products of AIA Vietnam

(Source: htpp://www.aia.com.vn, 2020)
The second is products for businesses. With the current trend, businesses often
have to provide insurance programs specifically for their employees to enhance
their brand image and attract talent. Therefore, AIA has launched an outstanding
product called An Nghiep Bao Nhan - one of the best solutions to increase
employee loyalty to the business, help businesses retain talent, and increase
 6

employee loyalty. That reduces recruitment costs. Moreover, medical costs are
increasing day by day, so the product is a superior solution for businesses to help
employees proactively budget, and protect employees against large and unforeseen
expenses.
With efforts to perfect products, meet all customers' needs to the fullest with
attractive incentives, AIA Vinh Phuc is increasingly asserting its brand and position.

1.3 Achievements

Over the past 9 years, AIA Vinh Phuc has made unremitting efforts, contributing
to positive changes, helping Vietnamese people to be best protected financially and
towards a healthier, longer, and happier life. With many contributions to socio-
economic development, in 2016, AIA Vinh Phuc received the Certificate of Merit
from the Prime Minister of Vietnam and the Third-class Labor Medal from the
President. In addition, AIA Vinh Phuc has been honored to receive the Golden
Dragon Award 9 times and was voted as the Top 5 leading life insurance enterprises
in Vietnam with prestigious products and services voted by customers. Many
projects and programs of humanitarian significance organized by AIA Vinh Phuc
have also been recognized through the American Business Association's corporate
community awards in Vietnam for three consecutive years 2018, 2019, and 2020.

1.4 Organizational Structure

To get such a stable position, AIA Vinh Phuc Life Insurance Co., Ltd must have
a tight, flexible, and efficient structure to be able to manage and operate the
business well. The company is currently under the management of a director, Ms.
Nguyen Thi Thu Ha who directly runs the company and is responsible for strictly
complying with regulations of the state and the company’s charter. The table below
gives a closer look at the structure of the corporation.
 7

Figure 1.1 Organizational Structure of AIA Vinh Phuc Life Insurance Co., Ltd
(Source: HR Department of AIA Vinh Phuc, 2020)
Functions and duties of each department:
Ms. Nguyen Thi Thu Ha - CEO of AIA Vinh Phuc who is in charge of the whole
company’s activities. CEO manages and leads all activities of the company, taking
responsibility in the fields of politics, production, business, and the results of the
company's operations. At the same time, the CEO is the person who is legally
responsible and is the representative of the company with other units.
Directors of departments: They are in charge of reporting directly to the CEO
and act as advisors to the CEO in the field they operate.
Business Department:
● Regional Sales Managers: They directly manage the insurance team,
responsible for promoting business targets and developing and expanding
business markets in the region.
● Agent Support Department: It is considered as an insurance consulting
service, responsible for answering questions from Insurance Agents. Besides,
there is also a research function to offer promotions to promote business
results.
● Insurance Agency Recruitment Department: This department plans to recruit,
develop and train the Insurance Agent team.
Legal Department
 8

This department interprets the various state insurance laws and helps the
company keep its policies and practices in compliance. A key role is the
department's involvement with court cases arising from claims. The legal
department is instrumental in helping determine fair indemnification for insureds
and is also involved in the company's other legal actions.
Finance Department
It acts as an advisor to the Board of Directors in the areas of financial planning
and balance, rational use of capital, ensuring compliance with regulatory regimes,
analyzing operations, and providing accurate information. Moreover, it manages
materials, assets, capital of the unit and supervises and checks the company's books
and documents, accounting for the company's books under regulations and policies
of the State.
HR Department
This department is in charge of arranging recruitment plans when the
departments need them, planning training, improving professional skills for the
company's staff, distributing salary targets and policies for employees.
IT Department
It takes responsibility for managing the information processed on computers,
computer networks, and electronic communication systems of the whole company.
In addition, technical support for all employees is also provided.
Internal Inspection Department
The main task is to instruct employees to adhere to the company's common
standards and appropriate conduct in language and communication.
Fixed Fee Department
Actuaries will research, calculate and design new insurance products that are
highly competitive and suitable for the market.
Marketing Department
Closely related to the agency department, the marketing department helps
determine the company's overall marketing strategy. It develops advertising and
sales aides or works closely with a separate advertising department to accomplish
these goals.
 9

Customer Service Department

The main functions of this department include receiving and processing customer
requests, answering questions that customers need to be explained; actively taking
care of customers during their use of products/services; recording complaints, issues
that need to be resolved by customers, and provide them to relevant departments to
handle those issues; coordinate with the marketing department to promote
promotional programs, product packages, preferential services of the business to a
large number of customers; continuously update policies on products and services
of the business from time to time to inform customers in the fastest and most timely
manner. Specifically, Mr. Nguyen Van Nam works as Head of Department with
main responsibilities including supervising the work of the staff; organizing the
recording and synthesis of customer complaints, analyzing the causes, taking
corrective and preventive actions and monitoring the implementation process;
annually evaluate the level and effectiveness of information channels for customers.
Working as a customer service representative, Mr. Nguyen Dang An Phu is a
middleman between employees and Head of Department and plays an important
role in maintaining strong relationship with customers. During the internship in the
company, I’ve learnt a lot through some basic tasks. The first thing I have to do is to
make research about the company’s insurance package, then receive customer’s call
in order to consult about company’s services, schedule appointments and invite
customers to special seminar on health or finance. In addition, I also have a chance
to learn some other paperwork that is small but very necessary.
 10

CHAPTER 2: SITUATION OF CUSTOMER SERVICE OF AIA VINH

PHUC LIFE INSURANCE CO., LTD

2.1 Situation of customer service of AIA Vinh Phuc Life Insurance Co., Ltd

As a group operating in the insurance industry for 9 years, AIA Vinh Phuc Life
Insurance Co., Ltd soon realized the importance of customers to the company's
growth. Customer service is an important competitive differentiator in the insurance
industry. When the service is good, the trust of customers will be the driving force
to help the company improve the quality of products and services as well as bring
the brand to more people. To do that, each department must work together to focus
on meeting the needs of consumers in each stage of the process of purchasing and
using products. Therefore, AIA Vinh Phuc has been doing lots of customer service
activities to better care for their customers. AIA Vinh Phuc has adapted to the
unique needs of each consumer to provide the best experience and earn loyal
customers who will serve as important ambassadors for the company in the future.

2.1.1 Customer service in consultation phase

This is the stage when customers begin to have direct and indirect contact with
the company. At this stage, customers mainly want to collect information.
Therefore, the main task of this stage is to provide information to customers about
the company's products and services. To better care for customers, AIA Vinh Phuc
tries to actively communicate during the consultation phase. Insurance is a specialty
item, and customers often seek insurance because of its necessity rather than their
desire. Most communication with customers only begins when the need is already at
an urgent level. When the customer has a need and contact, the staff will actively
advise the appropriate insurance package based on the customer’s needs and some
basic information such as gender, age, and marital status. Currently, the company
provides information to customers mainly through two forms:
 Website
 11

Figure 2.1 AIA’s customer service on its website

(Source: htpp://www.aia.com.vn, 2020)
The website plays a very important role in customer perception. A professionally
designed, eye-catching and detailed website will receive a lot of love and attention
from viewers. When customers have too little information about the company, the
website will be the first place they learn and evaluate. Website of AIA Vinh Phuc is
designed in harmony, readable and easy to find. The 6 main information categories
are arranged logically to help customers easily manipulate and select the necessary
information. Each section has annotated information below to give viewers the most
overview. Moreover, the website always has a consultant on duty regularly,
answering questions and consulting for customers online. According to the data
collected, the company's website has about 3256000 visits per month, which proves
that this information channel is working quite well. With the optimization of the
 12

website, AIA Vinh Phuc has built the trust of customers. Customers can receive all
new information about the services and benefits of insurance packages in a time-
saving way.
 Telesales
The company also applies telesales tools for brand promotion and product
introduction to customers. Telesales is the selling of products or services through
the telephone. The company uses the data provided by telemarketing representatives
to pursue promising leads with persuasion and persistence. Telesales agents inform
customers of new offers based on their preferences and needs. They also are in
charge of providing accurate information about the company, its products or
services, promotions and other details. According to the end-of-year 2020 report of
the Customer Service department, the department has completed the target of
making an average of 580 inbound calls per month. Compared to website, callers
convert 30% faster than web leads. Caller retention rate is 28% higher than web
lead retention rate. Driving calls from insurance marketing campaigns is also more
profitable in the long-term because callers are more loyal than web leads. The report
shows that phone conversion rates increased by 25% in the past 12 months. Not
only are consumers calling more due to COVID-19, they’re also calling with higher
intent to make a purchase. Both the volume and value of calls are increasing for
many businesses due to COVID-19. Inbound calls and phone conversations are a
key component of the company’s digital-first strategy. The executives plan to tap
into phone call data to better understand the customers and inform their strategies.
In addition, to avoid being passive in the relationship with customers, AIA Vinh
Phuc has strived for more control by making customers aware of the full risk and
the need to protect themselves from them through seminars, events, live streams as
well as sales volunteer programs to inspire Vietnamese people to live healthier. In
2014, AIA Vinh Phuc organized more than 95 events for the community such as
supporting pairs of lifebuoys, giving water bottles, raincoats, scholarships to many
poor children to contribute to society and raise public awareness.
 13

2.1.2 Customer service in purchasing phase

In this phase, customer care services include consulting services on the products
offered, the price of the insurance package and interest rate, the terms and benefits
of the buyer. The goal of this stage is to make customers feel secure, confident
about the quality of their services and products, and satisfy their needs. Doing this
job well will build a solid foundation of trust with customers. From there, the
customer will make a purchasing decision. The main task of the staff in this phase is
to provide the types of service packages, rates and duration of the insurance plan in
detail. AIA Vinh Phuc places great emphasis on integrating traditional
communication channels with digital technology to enhance customer support and
service requirements. In addition to traditional communication such as calling, AIA
Vinh Phuc is also actively adopting digital by launching its AIA i-Service
application in 2015 to improve its customer service including help customers query
online information about life insurance policies, give customers the experience of
other utilities on i-Service such as downloading forms, viewing premium payment
channels, and a list of AIA offices. Moreover, the company also built professional
customer service on its website to give customers the most comprehensive and
complete view of the centers, customer care programs, policies, and procedures, and
benefits of each insurance package. If customers have any questions or problems
related to insurance benefits, just spend some minutes filling out the form or contact
directly via the phone number or email of the nearest service center for advice and
support.
 For customers contacting by phone:
Customers often call the center to confirm information such as suitable insurance
packages, fees, payment methods and benefits, etc. Staff will answer the above
questions and at the same time provide provide information about related services,
incentives and then convince customers to go to the nearest branch for more specific
advice. If the customer wants to know more details, the staff will record the email
and send the information to the customer for reference. For these customers, after
being fully validated by the staff, they will be able to make purchasing decisions or
 14

else the company has also built up new customer data. If they have the right
marketing strategy, they are more likely to return when the need arises.
 For customers who want to consult more by "Leave a message" on the
company's website:
The mailbox will ask customers to fill in information such as name, email, phone
number and message. When the company receives a customer's inquiry, the
customer service department will respond by sending their email with relevant
information.

2.1.3 After-sale customer service

AIA Vinh Phuc pays more attention to the after-sale services. In the event of an
insured peril, the customs officers will talk to them with a sympathetic and
remorseful attitude and inform the related departments to solve them. The company
promptly and reasonably settles the claim for loss if necessary. After the customer
has purchased the product, the company will classify the customer for different care
measures.
For loyal customers, the company will regularly contact them and focus on
solving customer requests. Staff of Customer Service department will conduct
periodic surveys on the satisfaction of this group to build a solid relationship and
have the opportunity to expand more potential customers. In addition, AIA Vinh
Phuc also offers many promotion programs to reward customers and increase
customer retention. In the first half of 2021 alone, the company held 23 big and
outstanding customer appreciation events such as “Welcome With AIA Exchange”,
“Golden Hunting March”, “Hunting For Good Gifts Now”, “Peace of Mind - More
Gifts For A Healthy Life”,...Notably, in the face of complicated developments of
the COVID-19 pandemic in many provinces and cities across the country, AIA
Vinh Phuc decided to add support of 5 billion VND to the Special Financial Support
Program for policyholders, insured persons, agents, Financial Consultants Business
Cooperation Channel ( IOIS), Customer Service Agents (CRA and TeleCRA) of the
Company to provide timely support to many customers and consultants in the
current context.
 15

For potential customers, the company will focus on advertising propaganda

through information channels, telemarketing, sending sales letters, and organizing
conferences and introductory programs on topics such as: health care, financial
security, savings investment,...For customers who stop using the service, the staff
will regularly monitor the customer's situation, find out why the customer stops
using the service, advise and carry out care activities.
Moreover, the company also regularly sends emails to congratulate customers on
birthdays or special occasions to maintain relationships and create sympathy while
creating a friendly image of the business in the hearts of customers. With consulting
services during use, the company also sends auto cards about promotions, incentives
or information about new product packages.
Lastly, the company holds meeting every month to get new ideas from the staff to
improve the effectiveness of customer service activities. The company also
encourages customers to give honest feedback during and after using the company’s
products and services through a survey form on the website or direct survey. In this
way, the company can follow the opinions of customers about its services and
promptly respond to them.

2.2 Analysis of customer service of AIA Vinh Phuc Life Insurance Co., Ltd

2.2.1 Strengths

As one of the leading organizations in its industry, AIA has numerous strengths
that enable it to thrive in the marketplace. These strengths not only help it to protect
the market share in existing markets but also help in penetrating new markets.
The company with its dedicated customer relationship management department
has been able to achieve a high level of customer satisfaction among present
customers and good brand equity among the potential customers. Focusing on
customer service helps the company to have a high customer base which are repeat
buyers and users of the company’s products. Customer base is very important, as
they are the source of “word of mouth” advertising. Studies have shown that
customer satisfaction with a brand leads to more purchases, from both the same and
new customers. The core consumer is the main spreader of the company’s brand
 16

name, and the more they use and like what they consume, the more those that
surround them will gain interest and then potentially become customers themselves.
Moreover, over the years, AIA has built a reliable distribution network that is an
advantage to reach the majority of its potential market. AIA has carefully selected
and trained more than 170 general agent offices across the country to find potential
customers and expand market share.
Besides, AIA has strong free cash flows that provide resources in the hand of the
company to expand into new projects and flexibility in payment methods.
Customers can choose the most convenient payment channel for themselves, such
as paying directly through the website portal, paying bills at AIA's collection
partners, paying via partner banks, or paying directly at AIA offices. In addition,
AIA also provides an on-site toll collection service. AIA is currently cooperating
with the leading banking partnership in Vietnam such as Asia Commercial Joint
Stock Bank (ACB), Bank for Investment and Development of Vietnam (BIDV),
Saigon Thuong Tin Commercial Joint Stock Bank (Sacombank), etc. Allowing
customers to transfer money instead of paying cash makes it much more convenient
for both sides. This also saves customers time and effort which increases their
satisfaction with the company.

Figure 2.2 Types of payment channels of AIA Vinh Phuc

(Source: htpp://www.aia.com.vn, 2020)
AIA builds a team of professional staff and enhances agency performance to
meet customers' savings and protection needs. Instead of focusing on training part-
 17

time employees like some other insurance companies, AIA invests in highly
qualified full-time staff, namely Premier Agency, an excellent management team
trained to achieve international certifications with the ultimate goal of becoming a
member of the world-class club MDRT (Million Dollar Round Table Trade
Association for Financial Advisors and Insurance Brokers). Thus, the company has
done a good job at keeping the relationship with customers. Frequent visits and
phone calls to customers make them feel good about the company’s service and
ensure that they are not being ignored.

2.2.2 Weaknesses

In addition to the achievements that AIA Vinh Phuc Life Insurance Co., Ltd has
got, there are also some limitations that the company needs to overcome. Firstly,
employee training has not been fully utilized, training costs are high, but many
employees still lack professional working skills such as lacking of communication
skills with customers or delaying in answering customer inquiries. Secondly, the
structure of the customer service department is still incomplete, employees have to
do many functions at the same time, so it does not bring high work efficiency.
Lastly, customer care activities are not flexible, not derived from the actual situation
and passive. In general, customer care activities are still sporadic, not yet built into a
specific operational strategy.

2.2.3 Opportunities
Being aware of the importance of technology application in business, the
company has invested a vast sum of money into the online platform and the
adoption of new technology standards. This investment has opened a new sales
channel for AIA. In the next few years, the company can leverage this opportunity
by knowing its customer better and serving their needs using big data analytics. Not
just that, the new technology provides an opportunity for AIA to practices
differentiated pricing strategies in the new market. It will enable the firm to
maintain its loyal customers with great service and lure new customers through
other value-oriented propositions.
 18

Besides, the legal environment is in the process of being perfected, creating

standards for the protection of the interests of insurance buyers and can open new
opportunities for the company to increase its profitability. The low inflation rate
brings more stability to the market, enables credit at a lower interest rate to the
customers of AIA. Moreover, the government free trade agreement has opened up a
new market and provided AIA an opportunity to enter a new emerging market.

2.2.4 Threats

A big challenge AIA has to face is intense competition. Stable profitability has
increased the number of players in the industry over the last two years which has
put downward pressure on not only profitability but also on overall sales. AIA's
biggest competitors currently leading the insurance industry include Bao Viet Life,
Dai-ichi, Manulife, Prudential. More importantly, laws change frequently which
creates challenges in the long-term business strategy of the company. Lack of
transparent policies and strategies will lead to low quality of control and
management. Lastly, in Vietnam’s market, awareness and understanding of
insurance services are not high and uneven among residential areas. Low-income
households are the ones who need insurance the most, but have low savings and
cannot afford insurance.
 19

CHAPTER 3: RECOMMENDATIONS

3.1 Complete the organization of customer service department

The structure and operation of the Customer Service Department is the core
factor to improve the effectiveness of customer service activities of the company. It
should be organized in a simple but precise and effective way. In general, the
company's customer care apparatus has played its role well in terms of marketing,
answering and resolving complaints. However, many employees are still not clearly
assigned jobs, causing the work to be spread out and the quality reduced. Therefore,
in order to improve customer care, the director and the head of department should
coordinate and organize the work in a synchronous and consistent manner. Each
employee should be assigned work clearly and reasonably to avoid the situation
they have to work overtime.At the same time, the company should encourage
departments and individuals to proactively plan for customer care. Specifically, the
company needs to organize specific customer service teams so as to specialize their
work and deliver the best outcomes.
Moreover, the recruitment for the Customer Service Department should be done
carefully. Identify, select and arrange personnel working in the customer care
department who have knowledge, work experience or must be thoroughly trained. It
also focus on recruiting candidates having high communication and trouble-solving
skills and also looking for potential ones who are willing to devote their time and
effort to this company.
In addition, each employee’s performance should be assessed more frequently.
Instead of a monthly meeting, it should hold meetings weekly to point out the pros
and cons of the department’s activities. More importantly, collecting employee
feedback regularly is the best way for the manager to know what it will take to
improve employee experience and boost retention. In this way, the operational
 20

status of the department will continuously be updated and ensure the outcome of
customer service activities.

3.2 Improve customer officers’ skills at the most optimal cost

The process of completing the customer service apparatus must be done at the
same time with the process of improving the staff’s skills and qualifications at the
most optimal cost. It is essential to prioritize recruiting and training the staff
because the customer service team is often the face of the company. Not to mention
how good the company’s product is, one of the things that customers are most likely
to remember is the direct interaction they have with the company. AIA Vinh Phuc
has invested in professional quality training for senior staff. Compared to
competitors, the company has to spend more on training costs, but the efficiency is
not high, leading to reduced profits. The company also needs to raise employees'
awareness of customer care by periodically organizing refresher courses on basic
customer care knowledge for all employees of the company. During the Covid19
pandemic, the first and most cost-effective solution for high training expenses is
online training. Quality in e-learning remains high, while the costs are extremely
reduced. The company can make webinars and instructional videos or create forums
where they can communicate whenever they wish to. At the end of each course,
there must be a rigorous examination, those who are not qualified will be retrained.
This is a great tool for learning, but also for maintaining good professional
relationships, which is key to the good functioning of the organization. By doing
these, the company can remove the need for travel, catering, and venue expenses,
therefore lowering the high training costs per employee. One more solution is to
leverage internal resources. This actively demonstrates that instead of using
outsourced expertise and skills, the company can leverage its senior staff to train
those who know less. This helps the company cut down on those heavy expenses for
hiring professional trainers and other related costs.

3.3 Completing the customer service plan

The orientation and planning close to the requirements of the market as well as to
the potential of the company must be given top attention. Therefore, the customer
 21

service plan must be very specific and detailed in order to maintain relationships
with existing customers and develop more potential customers. A customer service
plan analyses customers' perceptions and expectations of the company, and helps it
through the process of aligning its customer service activities and those demands. A
good customer service plan can help AIA Vinh Phuc to continually offer a highly
competitive customer experience. With an aim to making an efficient customer
service plan, the company can carry out some following actions:
 Interview customers to gain a deep understanding of their experiences
with the company and ask customers to describe their expectations as well
as try to discover any unmet needs. The company can use a variety of
survey methods, including in-person interviews, online surveys and focus
groups.
 Create a table that lists the most important customer service factors, and
identify which areas of customer service the company already excel at,
and which areas may need improvement. Then the company needs to
generate a list of possible strategies to bring its operations into line with
customer’s expectations and unmet needs.
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CONCLUSION

Customer service is one of the most important factors determining the growth of
a business in the insurance industry. Recognizing the impact of customer service
activities, many companies have worked hard to develop and develop customer
service strategies. AIA Vietnam is no exception. After more than a month of
internship here, I have learned a lot about how customer service operations work
and how important they are to a company's performance. My internship is a
valuable chance for me to know how to work in a professional environment and
create a good relationship with other colleagues as well as broaden my network.
Especially, it brings me real experience of customer service, an activity that I’m
very interested in, and therefore, helps me realize that this activity is a good choice
for me to develop in the future.
Moreover, I have also figured out some pros and cons in the customer service
activities of this company. Although they are just small findings, they help me apply
my knowledge at university with the real work environment. As I mentioned in the
previous analysis, with the strengths of financial resources and high-quality human
resources, AIA’s customer service has maintained a good relationship with its
customers. Customer Service Department cooperates with Marketing Department to
launch appropriate promotion campaigns and update continuously to provide
customers with the most accurate and fastest information. However, AIA’s
customer service department still has some shortcomings such as a high attrition
rate. The company still makes the best advantage of internal human resources while
they are trained professionally. Moreover, the information system is still not
working effectively, leading to the shortage of customers' awareness. My report
provides some recommendations to improve the quality of customer service in AIA
Vietnam. I hope that recommendations are useful for the company. However, it is
impossible to avoid mistakes in my report because of the limitation of time and the
dangerous epidemic situation. I hope to receive more to make this report better.
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