Entreprise management

Enterprise Management

Table of Contents Work Breakdown Structure .......................................................................................................................... 3 Workload Matrix ........................................................................................................................................... 6 1.0 Introduction ............................................................................................................................................ 7 1.1 Executive summary ............................................................................................................................. 7 1.2 Company Background ......................................................................................................................... 7 2.0 External Environment Analysis ............................................................................................................... 8 2.1.0 Pest Analysis..................................................................................................................................... 8 2.1.1 Political ......................................................................................................................................... 8 2.1.2 Economic ...................................................................................................................................... 8 2.1.3 Social ............................................................................................................................................ 9 2.1.4 Technological ............................................................................................................................... 9 2.2.0 Porter’s five forces ........................................................................................................................... 9 2.2.1 Barriers to Entry ........................................................................................................................... 9 2.2.2 Competitive Rivalry .................................................................................................................... 10 2.2.3 Supplier Power ........................................................................................................................... 10 2.2.4 Buyer Power ............................................................................................................................... 10 2.2.5 Threat of Substitutes.................................................................................................................. 10 3.0 Internal Environment Analysis .............................................................................................................. 11 3.1 Marketing .......................................................................................................................................... 11 3.2 Finance .............................................................................................................................................. 11 3.3 Research &Development .................................................................................................................. 11 3.4 Operations& Logistics ....................................................................................................................... 12 3.5Human Resource Management ......................................................................................................... 12 3.6 Information Systems ......................................................................................................................... 12 4.0 SWOT..................................................................................................................................................... 13 4.1

Strength....................................................................................................................................... 13

4.2

Weakness .................................................................................................................................... 14

4.3

Opportunity................................................................................................................................. 14

4.1

Threat .......................................................................................................................................... 15

5.0 Market................................................................................................................................................... 18 5.1 Industry analysis................................................................................................................................ 18 5.2 Market targeting ............................................................................................................................... 18 Asia Pacific University

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Enterprise Management 5.3 Marketing strategies ......................................................................................................................... 19 5.4 Marketing expenditure ..................................................................................................................... 20 5.5 Sales forecast .................................................................................................................................... 21 6.0 Competitors .......................................................................................................................................... 22 6.1.0 Competitor 1: OldTown White Coffee ........................................................................................... 22 6.1.1 Strength...................................................................................................................................... 22 6.1.2 Weaknesses................................................................................................................................ 23 6.2 Competitor 2 : Kluang Station ........................................................................................................... 24 6.2.1 Strength...................................................................................................................................... 24 6.2.2 Weaknesses................................................................................................................................ 24 7.0 Operational Plan ................................................................................................................................... 25 7.1 Production process ........................................................................................................................... 25 7.2 Purchase Forecast ............................................................................................................................. 26 7.3 Machine and Equipment ................................................................................................................... 28 7.4 Furniture and fitting .......................................................................................................................... 29 7.5 Operational Layout Plan.................................................................................................................... 29 7.6 Operation Budget.............................................................................................................................. 31 8.0 Human Resource Plan ........................................................................................................................... 32 8.1 Organisation chart ............................................................................................................................ 32 8.2 Manpower planning .......................................................................................................................... 32 8.3 Schedule of tasks and responsibilities .............................................................................................. 33 8.4 Schedule of remuneration ................................................................................................................ 34 8.5 Administrative budget ...................................................................................................................... 34 9.0 Risk & Contingencies ............................................................................................................................. 35 10.0 Financial Plan ...................................................................................................................................... 37 10.1 Source of finance ........................................................................................................................ 37 10.2 Project Implementation Cost........................................................................................................... 37 10.2 Pro forma income statement for year 1 ..................................................................................... 39 10.3 pro forma balance sheet ............................................................................................................. 40 12.0 Conclusion: Personal Reflection......................................................................................................... 42 12.1 Personal Reflection (Oloutoyin Salomon Laleye TP025214)........................................................... 42 12.2 Personal Reflection (Chan Soo Yee TP022602) ............................................................................... 43 12.3 Individual Journal Reflection – Muhammad Septian Nugraha TP025065 ...................................... 45 12.4 Personal Reflections (Lim Ee Syen TP025415) ................................................................................ 47 Asia Pacific University

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Enterprise Management References .................................................................................................................................................. 49

Work Breakdown Structure

Name Task

OLOUTOYIN SALOMON LALEYE TP025214

MUHAMMAD CHAN SOO SEPTIAN YEE NUGRAHA TP022602 TP025265

LIM EE SYEN TP025415

1.0 INTRODUCTION

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1.1 Executive Summary

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1.2 Company Background

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2.0 External Environment Analysis

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2.1.0 Pest Analysis

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2.2.0 Porter‟s Five Forces

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3.0 Internal Environment Analysis

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3.1 Marketing

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3.2. Finance

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3.3. Research &Development

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3.4. Operation& Logistics

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3.5. Human Resource Management

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3.6. Information Systems 4.0 SWOT

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4.1. Strengths

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4.2.Weaknesses

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4.3. Opportunities

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4.4. Threats

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5.0 Market

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Enterprise Management 

5.1.Industry Analysis

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5.2 Market Targeting

Name Task

OLOUTOYIN SALOMON LALEYE TP025214

MUHAMMAD CHAN SOO SEPTIAN YEE NUGRAHA TP022602 TP025265

LIM EE SYEN TP025415

5.3 Marketing Strategy

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5.4 Marketing expenditure

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5.5 Sales Forecast

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6.0 Competitors

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6.1. Competitor 1

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6.2 Competitor 2

 

7.0 Operational Plan 8.0 Human Resource Plan

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8.1 Organization chart

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8.2 Manpower Planning

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8.3 Schedule of Task and responsibilities

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8.4 Schedule of remuneration

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8.5 Administrative budget

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9.0 Risk and Contingencies

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10.0 Financial Plan

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10.1. Source of Finance

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10.2 Pro forma Income Statement

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10.3 Pro forma Balance sheet

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11.0 Conclusion

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12.0 Supporting Documents

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References

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Enterprise Management

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Enterprise Management Workload Matrix Group members Content

MUHAMMAD SEPTIAN NUGRAHA TP025265

OLOUTOYIN SALOMON LALEYE TP025214

CHAN SOO YEE TP022602

LIM EE SYEN TP025415

Executive Summary

25 %

25 %

25 %

25 %

Company Background

25 %

25 %

25 %

25 % 100 %

External Environment Analysis 100% Internal Environment Analysis 100% SWOT 100% Market 100% Competitors 100% Operational Plan 100% Human Resource Plan 100% Risks & Contingencies Conclusion Personal Reflection

25%

25%

25%

25%

Signature

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Enterprise Management 1.0 Introduction 1.1 Executive summary

Many years ago, to enjoy a classic 'kopitiam' meal in Malaysia, such as half-boiled eggs, toasted bread with kaya and butter, and a cup of coffee, one will have to travel many miles back to their hometown. Kopitiam is a traditional breakfast and coffee shop found in South East Asia. Since the establishment of PappaRich in 2006, one need not go the distance. This is one big accomplishment for the Malaysian as for the PappaRich itself, remembering it has all started in 2006 as one modern „kopitiam‟ in Selayang mall in Malaysia before it went viral and has multiplied to 41 shops around Malaysia by 2010.

1.2 Company Background

PappaRich is local food and beverage chain. The business was started in 2005. With its first outlet in Selayang Mall, the company has been expending its outlets nationwide with 50 outlets all over Malaysia. The company has been popular for its high quality food made up of Malaysian traditional meals. To attract customer, PappaRich provides high quality meals at affordable prices with the particular signature that the meal has fresh ingredients. The company also offers a nicely environmental friendly decorated outlet for its customer to retain them and get them accustomed to the place. The company expects to grow its core business and expand its activities with the help of strategic opportunities. Such investment could be a mean of uninterrupted resources and money to improve PappaRich‟s human capital, production process and the product quality. Its main goal is to become the largest and most renowned Franchise locally as well as on an international plan. (PappaRich, 2011)

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Enterprise Management

2.0 External Environment Analysis The external environment analysis in this business plan consists of two tools to analyze the PappaRich restaurant business external environment which are PEST analysis and Porter‟s Five Forces.

2.1.0 Pest Analysis 2.1.1 Political

Due to Malaysia is a multi-ethnic country and majority are Muslim people. In order to comply with condition of the people, Paparich only consume foods and drinks which are certified halal, and through this kind serving food and services, PappaRich has been officially assurance of HALAL certificate by JAKIM (Jabatan Kemajuan Islam Malaysia). Thus, these will not be a problem for those Muslim customers to having meal in PappaRich. Besides, a stable political condition in Malaysia allows PappaRich run their business without any political pressures.

2.1.2 Economic

According to current economic situation, PappaRich have to do a survey to gather information from the interview customers and give the important data to study the associated cost in developing a new franchise for different city in Malaysia. In addition, the gathering of information used to be identifying the needs of the local communities and consumption view. Therefore, the company could determine the best price compared to their competitors in same field.

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Enterprise Management

2.1.3 Social

PappaRich has come out with a slogan “Malaysian Delight”, it is meant that combination of different culture and foods to create a special and comfortable environment for customers by emerging as a formidable player in the local food and beverage chain. In order to conform to social customs, PappaRich has provided trainning for their worker which could communicate in different language and provide good service with good attitude when serving customers. 2.1.4 Technological

Nowadays, ttechnology plays an important role to run the business, and plays huge part in the market. PappaRich have implementing new technology which is real- time meal ordering system which is the chef from kitchen can get the order list directly when customers ordered it. This technology brings a lot of convenience for the customers that can have the meal in very short period and it would make a good impression for customer with good services.

2.2.0 Porter’s five forces 2.2.1 Barriers to Entry

As the market for food and beverage business, PappaRich is attributed largely to the providing high quality food, but due to many uprising companies such as “Chilli‟s Grill Bar” and Station One are grown extensity. PappaRich has to continuously growing and expanding their business and provide product with affordable prices and all prepared with the best fresh ingredients to retain PappaRich original taste and flavour. Besides, with the PappaRich open concept, customers are able to see the foods or beverage being prepared on the spot, thus it will providing a special eating experience that becomes a reason for customers to continuously return for more. This fact is tackled hard because most new entrants do not have big capitals to support and provide new experience and comfortable environment for customers yet.

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Enterprise Management

2.2.2 Competitive Rivalry

PappaRich is a food and beverage company that has a lot of competitors in its particular industry. The few examples among of this industry are Station One, OldTown and In-house cafe that are equally famous and popularity in the industry. Due to the fierce competition in Malaysia, PappaRich has come out with different category of meal menu to attracting customers such as breakfast set, lunch set and others. Besides, PappaRich keep improving the diversity and quality of the products to satisfy different customers‟ tastes and stay competitive. However, customers may switch their interest to competitors.

2.2.3 Supplier Power

Raw materials or ingredients used by PappaRich to produce good quality foods and beverage are not scarce and it can have many different substitutes other than having good quality raw materials such as PappaRich has produce their own brand coffee bean. Therefore, the company will not affected by the power of suppliers. 2.2.4 Buyer Power

Buyers powers which is the right of customers are able to clamp down the company‟s business profit reduce. . The threats that exist for food and beverage industry is that there are a lot of firms supplying the same products. Besides, customers have opportunities to survey and compare the products within the different competitors. Due to the cost of switching suppliers is low price, hence customers could find it easily with low price to switch to another suppliers. 2.2.5 Threat of Substitutes

A product for product substitute can be said as something that meets the same need. The extent of this threat depends upon the price and performance of the substitute and willingness of customer to switch. Therefore, price of products should be constantly revised in the market to ensure affordability. In addition, the beverage itself must be proved worthy to continue its attraction towards coffee lover.

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Enterprise Management 3.0 Internal Environment Analysis 3.1 Marketing 

Strengths

PappaRich restaurant is providing the popularity of food and beverage based on Malaysian delights. Promotions of wholesome express value are available for the set breakfast. The restaurant has been provided the Wi-Fi service to the customers whoever need the Internet access for personal leisure and business field by using the smartphone, laptop, tablet and so forth. Food and beverage is served in nice appearance with the cleanliness and comfortable of dining environment.

3.2 Finance 

Weaknesses

It is needed to pre-spend on more capitals for franchises opening. Loan is getting increased and increased by growing up more franchises. Finance issues for startup franchises are such as renovation, business registration, advertisement, rental fee and so forth. Therefore, the more finance issues, the more liability issues.

3.3 Research &Development 

Strengths For satisfying the ever-changing of customers‟ taste, new menu has been conducted such as Nasi Rich series, Hainan Toast series, cool refreshing beverage, steaming meals and desserts. (PappaRich, 2011) Development of the business continuity is through expanding the franchises in locally and internationally.

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Enterprise Management

3.4 Operations& Logistics



Weaknesses

Unprofessional attitude and manner of the employees are caused to the customers dissatisfied and displeasure. For instance, waiters are behaving as rude and impatient tone when customers pay the bill. In logistic, customers are facing the food and beverages in the menu are not available after ordered. Suppliers that provide the raw materials are not able to deliver on time or inadequate replenish.

3.5Human Resource Management 

Weaknesses

Most of the positions in the PappaRich human resource management are only need to meet the minimum requirements and qualifications. It is difficult for employee retention due to less benefit, incentive, reward and others. Additionally, the less hiring announcement is lead to the insufficient people for recruitment

3.6 Information Systems 

Strengths

Information system that used in the PappaRich is food ordering system. It is faster and timesaving due to real-time sending the orders into the kitchen and without the labor move in move out the kitchen frequently. Yet, it is also able to auto-generate the calculation of revenues in daily, weekly, monthly and yearly.

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Enterprise Management 4.0 SWOT As the businesses of restaurants are growing so fast nowadays, there are some factors that need to be analyzed in order to keep up with the competitors. It consists of Strengths, Weaknesses, Opportunities and Threats followed by the strategies that will be done in the future. By using the SWOT analysis, the PappaRich serves the community with Malaysian‟s kopitiam delicacies with affordable prices with a classic coffee shop ambience in the terms of Strengths, in the terms of opportunities the GDP and inflation rate has been steadily increasing in recent years. Meanwhile two negative aspects in SWOT analysis there are weaknesses emerge for PappaRich to go into international market which is the food that PappaRich is serving might not be accepted by the locals. Besides that, the threats to the company are the political instability due to street protests. As for the PappaRich‟s success as of today is due to its successful differentiation business level strategy to set them apart from similar companies that are running food and beverages industry. PappaRich focuses on the quality of their product and consistently applying its best standards throughout all their outlets. Even furthermore, the ambience is immensely making the consumers held captive.

4.1

Strength

As was mentioned in the introduction, PappaRich‟s philosophy is to serve authentic, classic and timeless Kopitiam meals, the traditional Malaysian style where the locals can mix and mingle in the ambience of a relaxing atmosphere with a sense of belonging. In the sense of raw materials PappaRich does not play around with their ingredients. Only selected meats and vegetables are used in PappaRich, not to mention that they have to be incredibly fresh in order to fulfill their dedication in serving high quality foods. In recent years, Malaysia has been adapting to technology and applying the changes in every part of its businesses, including Food and Beverages industry. Technology itself brings more good than harm. Take simple example, people no longer require raising their hand just to make the waiter to pay attention to their table, as there is now a small adorable button placed in every table waiting to be pressed. Another major strength of the company is its emphasis on clientele service. In the F&B industry, it is important to note that service is one of the main priorities in differentiating a good restaurant and a bad one. Thus, PappaRich places much emphasis on its clientele service to not only lure firsttime or one-time customers but reoccurring customers, over and over again.

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Enterprise Management 4.2

Weakness

A major setback that hinders the PappaRich‟s kopitiam business to enlarge its wings into the international markets is due to the consumers‟ reception entirely. Take a good example, it is hard to widen the business to Europe as the Europeans may have the different taste buds comparing to Malaysians. Only the adventurous ones may venture out of their comfort zone into eating Malaysian kopitiam cuisine. Furthermore, big, fascinating, classy restaurants are more preferred in Europeans thus will cut out the PappaRich chances in opening the branches there. Also, the management style used in Malaysia may not be applicable to the culture of the locals and furthermore, new management style may have to be devised to suit the employees in there.

4.3

Opportunity

Malaysia is well known for its quality of education, as a matter of fact plentiful of foreign students are spread around Malaysia, as the numbers keep increasing remembering many more is coming each year. This proves that Malaysia produces high quality of graduates regularly. When a country is powered by intelligent and creative generations it is not hard to find qualified candidates. A tempting opportunity like this is what PappaRich has to consider, by pulling in talented workers the chances of dominating Food and Beverages industry is amazingly high. Talking about another opportunity it is good for PappaRich currently to expand and open some branches in Indonesia. Why? The exchange rate of Ringgit to US Dollar is significantly better than Rupiah to US Dollar. This leads PappaRich a golden opportunity to build up some branches there. Aside from the economical aspect, the taste buds of Malaysian and Indonesian are pretty much the same. Absolutely there will be some minor adaptive actions need to be taken, but those are nullified by the good results PappaRich can achieve by doing so.

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Enterprise Management

4.1

Threat

As food and beverages going rampant in any part of the world, the competitors are the main threat for PappaRich, take Old Town White Coffee for example, this company has been running for years and more or less has the same experience as the PappaRich possess. Their offers in variety of foods also vary and they may have special promotions that PappaRich never think of. The threat needs to be eliminated by studying customers‟ current desire in filling the satisfaction of their primary needs. Changes in government also may occur in the terms of standards and taxes. While these threats need to be analyzed as thoroughly as possible PappaRich shall take the opportunities that the others cannot find to continue the triumph.

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Enterprise Management

Positive (to business achieving its objective)

Negative (to business achieving its objective) Weaknesses

Strengths 



franchises opening due to loan is getting increased and increased by

value, Wi-Fi service and cleanliness

growing up more franchises. 

Unprofessional attitude and

environment.

manner of the employees are

New menu has been conducted such as

caused to the customers

Nasi Rich series for satisfying the

dissatisfied and displeasure.

ever-changing of customers‟ taste. 

Pre-spend on more capitals for

Promotions of wholesome express

and comfortable of dining Internal (attributes of organization)





Food and beverages in the menu

Food ordering system is faster and

are not available after ordered due

time-saving due to real-time sending

to suppliers are not able to deliver

the orders into the kitchen and without

on time or inadequate replenish.

the labor move in move out the kitchen frequently.



Positions in the PappaRich human resource management are only need to meet the minimum requirements and qualifications.

Opportunities

 Officially assurance of HALAL certificate for those Muslim customers to having meal in PappaRich. External (attributes of the environment)

 Combination of different culture and

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foods with a slogan “Malaysian

Threats

 Associated cost in developing a new franchise according to current economic situation.

 Many similar or fierce competitor restaurants are grown extensible.

Delight”.

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Enterprise Management Opportunities Threats

 Real time meal ordering system which is the chef from kitchen can get the

 Customers are able to clamp

order list directly when customers

down the company‟s business

ordered it.

profit reduce due to there are a lot

 Foods or beverages being prepared on

of firms supplying the same products.

the spot, thus it will provide a special eating experience that becomes a





A product for product substitute

reason for customers to continuously

can be said as something that

return for more.

meets the same need.

different category of meal menu to attracting customers such as breakfast set, lunch set and others

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Enterprise Management

5.0 Market 5.1 Industry analysis Food and beverage industry has grown extensively significantly in recent year; The field of restaurant segment is growing increasingly at a healthy pace every year. The needs of low price with food and coffee drinks relatively modest investment capital requirements, and low overhead, lead to high profit margins in the food and beverage industry to fulfill customer‟s requirements.

5.2 Market targeting Segmentation

Categories

Country

Description

Malaysia

Explanation PappaRich

has

many

franchises

located in Malaysia. One of it is at Sri City

Kuala Lumpur

Petaling, Kuala Lumpur Malaysia. This location is in the business zone

Geographic

No. 25&27, Specific Location

Jalan Radin,Bagus

which has the potential to attract customers having food during lunch or dinner times.

Sri Petaling Demographic

Age

13 - 60

Gender

Male, Female

Sri Petaling is a place that has a lot of food and beverage restaurant, where visited by many customers with the

Local Target Market

customers, Tourist

average age of 13-60 years old. PappaRich

has

suitable

leisure

environment for the young teenager and adult to having foods,

with

friend and family. Also, tourist can Generation

Teenage, Adult

have a break and enjoy the variety of unique

coffee

that

available

in

PappaRich.

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Enterprise Management PappaRich‟s staffs are sociable where

Psychographic

they can interact with customers Personality

Socialize

comfortably. This makes PappaRich to become a nice restaurant and environment to stay with. Besides that, for the customers who like to relax, they can having a coffee and

Attitude

Relaxing

Lifestyle

Outing

have a break

5.3 Marketing strategies Product Product which is an important element that needs to focus on for PappaRich because with a high quality product can attract customers to buy and increase the company profit. PappaRich has produces several types of good quality food and beverage such as offer the best choice of excellent gourmet coffees to their customers. Besides that, PappaRich also focus their strategies by providing good packaging and services such as creating a clean and comfortable environment that fills a niche that satisfies their customers who are looking for a quick bite.

Price

Price is one of the factors can affect PappaRich in market positioning. PappaRich pricing strategy will focus on providing high quality, healthy food that is quick and has a unique flair. With cost-based pricing and sold at a reasonable price with wide variety of choices within competitor in same industry. This allow PappaRich become customer's first choice to having foods

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Enterprise Management

Place

PappaRich has choose a strategy place which is business district to set up their franchise business where have higher potential for customers to step in and it can provide convenience direct to customer to having foods. For example, in Sri Petaling is a place located nearby uptown and downtown.

Promotion

PappaRich has done a lot of promotions to attract more customers to consume in their restaurant such as used the advertising sales promotion through use flyers to local business, bunting and internet by creating a customer feedback pages on social networks to interacting with customers which can make a good effect for them. Thus, it could increase their profit by completes the propaganda work.

5.4 Marketing expenditure The following table has shown the marketing expenditure of PappaRich during year 2009 to 2012:

Item

Monthly Expenses (RM)

Signboard

Other Expenses (RM) 3,500

Promotion Flyers

70

Internet Advertisement

130

Bunting

150

Business Card

80

Box

300

Grand Opening

3,000 Total 730

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6,500

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Enterprise Management

5.5 Sales forecast The following table illustrates the sale forecast of PappaRich.

Month

Sales

January

50,000

February

50,500

March

51,000

April

51,500

May

52,000

June

52,500

July

53,000

August

53,500

September

54,000

October

54,500

November

55,000

December

55,500 Total 633,000

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Enterprise Management

6.0 Competitors

A competitor is a company that provides services in the same industry or similar industry that provides the same product or service. Having many competitors can reduce the prices of services as the different companies will fight for the largest market share. It also forces the companies to become more efficient in order to remain competitive on the market. (Business Dictionary, 2013) The food industry has many competitions in Malaysia. The main competitors of Papparich are OldTown White Coffee, Kluang Station.

6.1.0 Competitor 1: OldTown White Coffee Old Town is a group that is engaged into the chain of café outlets. The company has more than 100 café outlets located in Malaysia. The group is also engaged into the manufacturing and sales of coffee and other beverages. OldTown co-founders Mr. Goh Ching Mun and mr Tan Say Yap made their first coffee blend 3 in 1 in 1999. Throughout the year the company has grown into the food business. Additionally the company exported to different market such as Japan and China. (OldTown, 2013) 6.1.1 Strength



International Market : OldTown White Coffee expanded their export market to Singapore Japan, Taiwan , United States of America, Canada, Indonesia, Thailand , United Kingdom, Australia and China



Broad Activity: the group manufactures and export coffee mix, instant milk tea , instant chocolate and roasted coffee powder.



Strategic Location: The Company has outlet in all states of Malaysia and at places where the customers will easily reach such as Malls, close to workplaces and residential areas.



Experience on the Food Industry: OldTown has more than 10 years of experience , which gives the company an advantage on other competitors.

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Enterprise Management 

Laureate: The Company has won many awards such as the Malaysia Franchise Awards 2012, the Asia Excellence Brand Award 2012 and the Malaysia most valuable brand. OldTown has many other certifications such as the Halal and ISO 9001 certifications.(OldTown 2013)

6.1.2 Weaknesses



Low Barrier to Entry: OldTown is vulnerable to new companies that keep emerging from all over Malaysia. To be a competition for OldTown the company just has to be selling food.



Expensive Price: Compared to other food chain, OldTown White Coffee has slightly higher meal costs. That makes most of the customer who cannot afford purchasing their meals at OldTown into other competitors.

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Enterprise Management

6.2 Competitor 2 : Kluang Station

Kluang Station is the second main competitor of Papparich. The company serves Hainanese food and local dishes. It also offers coffee. It has a very wide range of food to reach different customers. The First outlet started in October 2005 at One Utama Shopping Centre. With seven outlets in Malaysia, the company has still to grow in the food chain industry. The aim of the company is to provide the old time food taste so that customer can experience their nostalgic food ambiance again. (Kluang Station 2011) 6.2.1 Strength



Original dishes: Kluang Station serves authentic meals cooked with recipes handed down through generation to generations. It offers a unique taste that customer can only find in Kluang Station.



Place to Growth: the company has started in the food chain business only recently, which gives it an advantage to expand more and gain more market share.

6.2.2 Weaknesses



Limited Number of Outlets: The Company has only 8 outlets for Malaysia.



Little Experience: Kluang Stations first outlet started in 2005, which gives little place for competitiveness on the market.



Limited Market: the company operates in Malaysia only and has is centered only on the production of food to consumers.

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Enterprise Management

7.0 Operational Plan

PappaRich restaurant is offering Malaysian delights food, beverages, desserts, snacks, meals steaming with high quality and optimum ingredients for keeping the standard taste of the meals. For instance of the famous meals are bread toasts or baked, chicken meals, curry laksa, prawn noodles, ice kacang, white coffee and others. These meals are severed as on the spot, coffee are blended using the coffee-maker machine on the front drinks section scene, breads are baked with tasty smell on the front breads section scene. They also keep open up the new menu for the ever-changing of customers‟ taste. Additionally, customers are having meals with the leisure environment.

7.1 Production process

In-behind production process (kitchen operation):

Take Order for the raw materials

Manager checking quantity consistency with the orders

Store the raw materials for supplying

Making preparation for the raw materials

Ready for raw materials

Before starting the day of business operations, it is necessary to handle the supplementary of raw materials by taking order for the raw materials. Next, restaurant manager is needed to check and Asia Pacific University

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Enterprise Management ensure the quantities are consistency with the orders. Lack of quantity of the orders will be reported and reordered. Then, raw materials are being placed in the containers or refrigerator to keep fresh. After that, cookers, drink-makers and waiters are needed to make prior preparation for the raw materials for the ease-of-use cooking. Finally, the raw materials are ready to be used.

In-front production process (customer operation):

Waiter presents the restaurant menu

Take customer orders

Customers wait at the table

Serve meals

Customer pay bills

When customers entered the restaurant, waiters will present the restaurant menu as well as the menu in the promotion time. Next, filling up the meal order lists by the customers and waiter will come to take the meal order lists immediately for sending it to the kitchen. Then, customers are waiting at the table within the short possible time. After that, customers are served with the meals that ordered. Finally, customers are required to pay the bills on the counter.

7.2 Purchase Forecast

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Enterprise Management Month

Purchases

forecast Purchases

forecast Purchases

forecast

for year 1 (RM)

for year 2 (RM)

for year 3 (RM)

January

5,000

6,000

7,000

February

5,000

6,000

7,000

March

5,000

6,000

7,000

April

5,000

6,000

7,000

May

5,000

6,000

7,000

June

5,000

6,000

7,000

July

5,000

6,000

7,000

August

5,000

6,000

7,000

September

5,000

6,000

7,000

November

5,000

6,000

7,000

December

5,000

6,000

7,000

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Enterprise Management 7.3 Machine and Equipment Item

Quantity (s)

Price per unit (RM)

Total Cost (RM)

Ice-blended machine

1

1,000

1,000

Coffee-maker machine

1

2,000

2,000

Microwave

1

1,500

1,500

Oven

1

3,000

3,000

Grill machine

1

1,500

1,500

Water cooler

1

500

500

Water heater

1

500

500

Computer (Touch-screen)

2

1,500

3,000

Receipt Printer

2

200

400

LCD TV

2

1,300

2,600

Toyota Hiace Van

1

30,000

30,000

Total

46,000

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Enterprise Management

7.4 Furniture and fitting Item

Quantity (s)

Price per unit (RM)

Total Cost (RM)

Large table

7

300

2,100

Small table

16

100

1,600

Chair

122

60

7,320

Air-conditioner

6

1,500

9,000

Plant

5

30

150

Total

20,170

7.5 Operational Layout Plan Breads & meals steaming section

Washrooms

Kitchen

e

Drinks & Desserts Section

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e e

e

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Enterprise Management Remarks:

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Enterprise Management

7.6 Operation Budget Item

Fixed Assets (RM)

Machine and Equipment

46,000

Furniture and fitting

20,170

Monthly Expenses (RM)

5,000

Material Requirement (purchases forecast)

3,000

Utilities Total

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66,170

8,000

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Enterprise Management 8.0 Human Resource Plan There is always a human resource plan in a good business plan. To achieve the best result possible. Where technologies, raw materials, suppliers are all in good state, it is still not enough to build a bridge to the glory yet. Employees, workers are gathered and selected for the business to suffice. There are plenty of people demanding to work in PappaRich due to its reliability, well-known, infamous restaurant in the Malaysia. That is a reason why filtering the applicants CVs is absolutely necessary. One business is considered as successful if the performances of the employees are good. Preparing the human resource plan will make sure that the employees are acquired with the competencies, resources and skills which are required in order to achieve the restaurant‟s goals.

8.1 Organisation chart

General Manager Chef

Drink Maker

Cashier

Waiter

8.2 Manpower planning Position

Number of Staff

General Manager

1

Chef

3

Drink Maker

2

Waiter

5

Cashier

1

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Enterprise Management 8.3 Schedule of tasks and responsibilities Position General Manager

Main Task 

To recruit and retention of employees as well as supervise employees working.



To assign the task for all the employees.



Monitors the overall performance of the business and management.



Maintain a good relationship with customers.



Overcome the problem of customers‟ feedbacks or complaints.



Ensure the amounts of the material preparations (food and beverages) are consistent with the pre-order.

Chef



Well-prepared with the ingredients before start-of business operations.



Cooking with tasty and come out with nice appearance of food.



Come out with the new food and beverages series as well as promotion set.

Drink Maker



Maintain the sanitary practices in the restaurant.



Able to use the ice-blended and coffee maker machine with proficient and quickly.

Waiter

Cashier



Brew the tea, coffee, milo and other type of beverages



Provides the cold-beverages or desserts with refreshing.



Provides steaming meals, toast, boiling eggs.



Present the menu and promotions to the customers.



Clean up the tables for serving the next customers.



Ensure the customers‟ orders are being sent to the behind kitchen.



Assists with the chefs to prepare food materials.



Works on the cash register with proficient and quickly.



Collects customer cash or credit card payment.



Prints the receipts with the change (money) if possible.



Daily checks the money in the cash register are accurate and sufficient for the change before start business operations.



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Ensure the checkout clear and accurate.

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8.4 Schedule of remuneration Position

No

Monthly salary

EPF contribution 13%

(RM)

(RM)

SOCSO 2% (RM)

General Manager

1

5,000

650

100

Chef

3

9,000

1,170

180

Drink Maker

2

5,000

650

100

Waiter

5

7,500

975

150

Cashier

1

1,500

195

30

Total

12

28,000

3,640

560

8.5 Administrative budget Details

Renovation

Fixed assets expenses Monthly expenses

Other expenses

(RM)

(RM)

(RM)

35,000

Salary

28,000

EPF

3,640

SOCSO

560

Stationeries

100

License Registration

150

Business Registration

50

Monthly Rental

5,000

Rental Deposit

8,000

Utilities Deposit

2,000

Total

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35,000

37,300

10,200

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9.0 Risk & Contingencies Risk 1) Economic downturn

Action Plan 

More cash are required to stand by or backup. It can be conducted through regular money savings on monthly.



More promotions and attractive advertising can be released. For instance, promotions can be provided by set value meals with drink and small dessert.

2) Number of competitors increase



Provides the gifts, discount, and membership card for the customers who are loyalty.



Offers caring, attentive and truthful services in order to let the customers feel happy and satisfaction. For instance, it can offer a free dessert or slice of cake when customer‟s birthday, father day, mother day and so on.

3) Run out of cash



Formulate a strategic business plan and concurrently apply the business loan from the commercial bank. It is the business grant through commercial banks for any business expansion.

4) Key employees quit



Rewards the key employees with the benefits, incentives, salary increases.



In addition, it can provide the free travel by twice per year. The purpose is let the employees able to get relax and enjoyable time from the busy working time.

5) Employees get hurt on the job



Employees are required to be guided often for ensuring the working procedures and environment are in safety way.

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Enterprise Management 

If any employees get serious hurt on the job, he/she must be sent to the hospital to get remedy. Additionally, manager needs to recruit the temporary worker to take place of the employee who get hurt.

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Enterprise Management

10.0 Financial Plan 10.1 Source of finance

RM Equity - Cash

50,000

Loan From Bank

700,000

Total Source of Finance

750,000

10.2 Project Implementation Cost RM

RM

Fixed Assets Expenditure Machine and Equipment

46,000

Furniture and Fitting

20,170

Renovation

35,000

101,170

Administrative expenditure Salaries

28,000

EPF

3,640

SOCSO

560

Stationeries

100

Rental

5,000

37,300

Marketing Expenditure Flyers

70

Internet Advertisement

130

Bunting

150

Business Card

80

Box

300

730

Operation Expenditure Material Requirement

5,000

Utilities

3,000

8,000

Other Expenses Asia Pacific University

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Enterprise Management License Registration

150

Business Registration

50

Rental Deposit

8,000

Utilities Deposit

2,000

Signboard

3,500

Grand Opening

3,000

16,700 163,900

Add Contingency Cost

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586,100

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Enterprise Management

10.2 Pro forma income statement for year 1

RM Income

RM 633,000

Operation Expenditure Material Requirement

60,000

Utilities

36,000

96,000

Marketing Expenditure Flyers

350

Internet Advertisement

650

Bunting

450

Business Card

240

Box

300

1,990

Administrative Expenditure Salaries

336,000

EPF

43,680

SOCSO

6,720

Stationeries

1,200

Rental

60,000

447,600

Other Expenses License Registration

150

Business Registration

50

Signboard

3,500

Grand Opening

3,000

Interest on the loan

14,000

20,700

Assets Renovation Depreciation

7,000

Machine and Equipment Depreciation

9,200

Furniture and Fitting Depreciation

4,034

Total Expenses

586,524

Net Profit

46,476

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20,234

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Enterprise Management 10.3 pro forma balance sheet

RM

RM

Equity (RM) Capital Net Profit

Fixed Asset

Renovation (-) Accumulated Depreciation

35,000 7,000

Machine & Equipment (-) Accumulated Depreciation

46,000

Furniture & Fitting (-) Accumulated Depreciation

20,170

Current Asset Cash Rental Deposit Utilities Deposit Total

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RM 50,000 46,476 96,476

9,200

4,034

42,000 Liabilities Loan from bank monthly 55,200 installment

700,000 60,000 640,000

24,204

605,072 8,000 2,000 131,404

736,476

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Enterprise Management

12.0 Conclusion: Personal Reflection 12.1 Personal Reflection Personal Development

Throughout the whole report assignment, the researcher has learned new and has acquired a greater awareness on writing a business plan. The researcher has followed formal steps into developing the company background of PappaRich. During which, the company history and how the company started until its current states. The researcher finds that Papparich is a good example of food chain in Malaysia for maintaining a quality of service that most companies will lose after couple of years in theirs business life. Business Development

The external Environment has also been studied by the researchers. Throughout this phase the PEST analysis with PappaRich as Object has been conducted. In PEST, the fours factors that define a company have been elaborated and analysis has been made on the founding. Additionally, the researcher has learned about Porter's five forces, of which the researcher finds to be a great business tool to know your company. In fact, the porter's five forces directly tackle the company 5 main driving forces. Upon completion of the External Analysis, the internal environment analysis was conducted by one of the researchers. What has been learned during this phase was how a company had as strengths and weaknesses. The researcher also made several plans to better understand how the company really operates on operational, human resource and financial plan.

On the operational level, the researcher has learned how PappaRich provides its services and how it operates. The researcher studied the functioning of the company from opening to closure. Each and every action and processes undertaken by the employees and manager at a PappaRich outlet have been scrutinized by the researchers. The deliverable from the study was represented as flow charts and design of the outlet itself.

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Enterprise Management PappaRich foods chains are as strong as their staff; the human resource plan elaborated the manpower needed to meet the business plan requirements. An organization chart was drawn from this investigation. Also the schedule of PappaRich Tasks and responsibilities were elaborated according to the new business plan.

Academic Development This permitted the researcher to learn new terms and methodology applied into real life business. Working in a group was also an advantage for the researcher for having to share the knowledge and different opinions. Having to working in synergy with the group members was an innovative way to compile and conduct this report for the enterprise module course. During the assignment the assistance and guidance was provided by the module lecturer to ensure that the researcher knowledge was applied according to the assignment requirements.

12.2 Personal Reflection Enterprising Management is helps to build up a business area in different views and assessments. In this assignment, it had been conducted with the business plan which was providing a consultation service to improve the performance of PappaRich restaurant. The business plan is being analysis and evaluation for growing up their business.

Personal Development

For individually, the new knowledge and skills for the business plan are acquired to study and learning. For instance, the financial plan is able to analysis and evaluate in order to prudently doing business. The amount of the current liability needed to be same as the current assets. Internal and external environment analysis are to be further apply in the SWOT analysis which is to define the strengths, weaknesses, opportunities and threats for the business future references.

Next, time management is significant important for doing the individual task. Each of the sequences in the business content must be completed in the proper order way. It is due to each sequences of the business plan contents are related to each other.

In group, I had been conducted a collaboration of the teamwork through well communications in each other‟s. We were helped each other during the assignment progress. Each of the group Asia Pacific University

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Enterprise Management members has its own ability and strengths to help the weaknesses of other group members. I would brainstorm together if any group members encountered problems. Hence, it was a motivation for pushing a good quality of business plan.

Business Development

Business development involves the systematic understanding and critical evaluation in developing innovative business. For instance, thinking of the potential risk in different aspects with the critical evaluations of contingencies solutions to minimize the chances of risks. Next, it helps us to develop the coherent lines of statement to provide the rationale of business idea in the operations. For instance, the human resources which are the manpower needed to be organized in optimal production process. It is included in the behind PappaRich kitchen operations and in-front PappaRich kitchen operations. Furthermore, it is using appropriate information and data to justify the business plan such as the fact of external and internal environment analysis.

On the other hand, business development involves the understanding of requirements in business activities. For instance, administrative budget, marketing expenditure, material requirement, machine and equipment, furniture and fitting are needed to be evaluated for the understanding of PappaRich restaurant needed.

Academic Development

New wisdoms, resources, skills are obtained during the business plan progress. For instance, it should avoid the miscalculations and errors in the costs of operating in business by using the skills of financial plan. Financial plan is skills of managing the cash flow through the analysis, evaluation, study and assessment. Yet, it can be used for the assessment of potential profit sales.

New resources such as the marketing targeting and marketing strategies are evaluated for keep the business in competitive and innovative. Hence, the attention of the customers will not easily get faded out. Entrepreneurship of the business also can apply the resources to drive the business forward and increase the sales up. Asia Pacific University

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On the other hand, my enterprising management lecturer, Mr.Teh Koon Ching has been guided and taught us to mature my business understanding through providing the new wisdoms, skills that are not included in the study slides area as well as sharing the experiences of the business model. By the way, these wisdoms and skills will guide me in the future.

In conclusion, this assignment has been educated me in different understanding of business area. I am appreciate to learn it and will apply it as in any business area.

12.3 Individual Journal Reflection – Personal Development Work in a team is not as easy as people may think. Shout out like “Relax, the rest of your teammates will make it up for you” or “Just give them reasons whenever they ask you to do the tasks” often come out from those who are the ones that burden the team. Well even the author sometimes thinks about those exact statements frankly speaking. Anyway without further ado the author would like to illustrate what are the benefits that were gained during the assignment period. The author is lazy. This laziness is somehow out of control and hard to maintain. This is what actually helps me in finishing this assignment. Some people are like to work under pressure, by any means he or she has difficulty to solve the problems if the deadline is still afar. When it is like one week or even 3 days to go before the submission then all the inspirations, motivations, come all of a sudden. During this assignment period, it is not the first time that the author being yelled at for being a lazy guy. This occasion happens over and over again in every group that author comes in to. In fact now the author has been trying to eliminate this habit at the lowest rate possible. From the good support of the teammates author surely will convert this awful habit into something much more useful. Business Development Business development carries many aspects to elevate the business skill that the author currently is not having. As being assigned to take responsible in SWOT analysis has brought various advantages. We all know this SWOT concept and how big its impact in the business plan. For Asia Pacific University

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Enterprise Management instance analyzing your strength is very important in order to compensate of something you have in your weaknesses. While these two points come from the inside of the company, there are two other aspects that come from the outside as well. Threats that brought by the competitors should be taken positively, somehow if we can manage, we can convert the threat into our opportunity. Of course there are some risks, some dos and don‟ts. In the end it‟s worth trying for big company like PappaRich. As a matter of fact, author found that business development is pretty interactive; trying new things is always interesting. It is sharpen the author mind. No one wants to study stagnant subjects over and over again. That will make the guy a dull person. Academic Development When level 3 starts author has had a little bit of surprise. “Oh we have a subject that has BM code next to its name.” The author underestimated the assignment that Enterprise Management had to offer. He thought it was just like another level one assignment, simple and easy. The author was wrong. The content of the assignment question was simple but finding the solutions are not. After a good brainstorming on the early days the author had decided to take the SWOT analysis and Human Resource Plan. It was not easy as the author is currently pursuing IT title, which by any means doing a Business assignment is not as easy as it sounds. Fortunately living in the 21st century brings a lot of goodness. Resources are available everywhere. Authors started by doing researches, read some articles, consulted to the teammates as well as to the lecturer. Mr. Teh Koon Ching has been an inspiring lecturer that was willing to share his knowledge to guide us to the fullest. After all the efforts paid back the skills that were gained. I concluded that it is very important to be savvy on business aspects even though you are an IT person. Conclusion Journal reflection or rather called as personal reflection elaborates how the assignment impacts the process of author in learning activities. According to author perspective the assignment has brought eloquent corollary in understanding what is happening in the business plan. In which by any means a work that requires team‟s effort in order to succeed. Communication is the key, we shall not hesitate to ask any questions. Problems are shared among the whole group. One problem for one member means a problem for everyone. By backing each other up, the author now understand to tolerate each other weaknesses and help them up with the strengths we have. Managing time skill is very much compulsory as everyone is handling quite a lot of assignments

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Enterprise Management at the moment. In the end the author would like to thank everyone in this group as well as the lecturer for the greatest teamwork and solidarity that the author has experienced

12.4 Personal Reflections In this enterprising assignment, we have chosen the food and beverage industry as the research area and we had carry out a business plan which need provide the consultation service for Papparich restaurant to expand their business.

Personal development In individually, I found out that communication and teamwork within the group member is very important to achieve the objectives of this enterprising management assignment. Because this is a project that need to do a lot of research and analysis in suggest field deeply and assigned work with difference phase which need to associated with each other, so every group member have to work together and communicate all the time to solve the problem and ensure that the flow of completing this project can run smoothly. In addition, personal time managing skill is very important for every group members and others student because researchers have to handle few assignments during this period. Lastly, I was very appreciating about the understanding and tolerance of the entire members that have put a lot of effort for completion of the assignment. Business development Business development a subset of the area of business and commerce which need to consist of several task and processes for implementing growth opportunities of business purpose. Through business development of this assignment, it increases my knowledge about business capabilities and insight towards business understanding. Through the tasks divided, I was in charge few part of this assignment which is external environment analysis and market section. In external environment analysis, PEST factor and Porter‟s five forces methods to analysis the business environment of Papparich restaurant. Moreover, market analysis is very important section in this business plan because it analyses the current market situation to come out the more detailed market targeting, strategies, expenditure and sale forecast information that can influence business sales result. Lastly, through the research and analysis of this business development, it allow me to understand that a deeply analysis is required and needed to run a business, in order to reduce the risk of run the business. Asia Pacific University

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Enterprise Management Academic Development For the academic development, through this enterprise management module, knowledge were gained and I have learnt that is how to prepare a good business and more clearly about the importance of business plan for a company in order to maintain the competitiveness of industry. Meanwhile, enterprising management has taught and advised me to study in the field of business especially managing a business is not easy, a lot of factors must consider and make the further research and analysis to make the decision where can affect the key to success of a company. Thus, in the process of prepare business plan, a contingency plan must prepared to overcome the company likely to encounter risks. Furthermore, I am much appreciated and thanks to our enterprising management lecturer, Mr. Teh Koon Ching, who has been guided and taught me to increase my business knowledge and provided new wisdoms by shared a lot of his enterprising, entrepreneurship knowledge and experienced which won‟t be study in academic area. In conclusion, this assignment has been educated me the knowledge of business area deeply, and I will apply these knowledge and skills in the future of business industry.

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References

Papparich. 2005. About us. [online] Available at: http://www.papparich.com.my/aboutus.html [Accessed: 10th May 2013]. BusinessDictionary.com. 2000. What is competitor? definition and meaning. [online] Available at: http://www.businessdictionary.com/definition/competitor.html [Accessed: 22nd May 2013]. Elaine L 2012 . New age Kopitiams scenes from a kopitiams part 2 . [Online] Available at: http://www.theedgemalaysia.com/features/214466-new-age-kopitiams-scenes-from-a-kopitiam-part2.html [Accessed: 25th May 2013] OldTown. 2013 . Our Life. [online] Available at: http://www.oldtown.com.my/v1/ourlife.html [Accessed: 1st June 2013] Kluang Station. 2011.About us [online] Available at: http://kluangstation.com.my/aboutUs.htm [Accessed: 4th June 2013] Elaine, R., 2012. Market Segmentation and Positioning. [Online] Available at: http://www.oup.com/uk/orc/bin/9780199290437/baines_ch06.pdf [Accessed 3rd June 2013] Hala Gov., 2011. Standar Malaysia. [Online] Available at: http://www.halal.gov.my/v3/index.php/ms/garis-panduan/standard-malaysia [Accessed 3rd June 2013] Elaine, R., 2012. Market Segmentation and Positioning. [Online] Available at: http://www.oup.com/uk/orc/bin/9780199290437/baines_ch06.pdf [Accessed 5th June 2013]

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