business in action - fmm.org.my (jul sept 2018).pdf · jul - sep 2018 vol 3/2018 kdn no.pp...
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jul - sep 2018 VOl 3/2018 www.fmm.org.my
KDN NO.PP 16730/08/2012 (030376)
businessin action
+Upskilling EmployeesWith skills
shortage sharpening employers should
consider retraining their workforce
PG. 10
FMM 50th Anniversary
PG. 14
Tech Talk: 3D Printers
Shape the World PG. 16
FMM – MIER Business
Conditions Survey PG. 26
Touring Tasmania’s
Golf Courses PG. 48
Growing Role of Robotics in Manufacturing
Contentsjuly - september 2018 Volume 3/2018
2 PRESIDENT’S MESSAGE
4COVER STORy: ROlEOf RObOTICS IN
MANufACTuRINGRobots, increasingly play a pivotal part in improving efficiency on the factory floor
FEATURES10 ThE GROwING
IMPORTANCE Of uPSkIllING EMPlOyEESWith skills shortage sharpening employers should consider retraining their workforce
14 fMM 50Th ANNIVERSARy
16 TECh TAlk: ShAPINGThE wORlD
3D printing technology revolutionises product design like never before
20 ThE COMMuNICATOR:IDENTIfy ThE
SOCIAl MEDIA ChANNElS bEST SuITED fOR yOuR buSINESSIt remains as one of the most cost-effective means of marketing products and services
24 bRAND buIlDER:bRANDING TIPS fOR
MANufACTuRERSHow to leverage on your company’s strengths in the marketplace
26fMM – MIERbuSINESS
CONDITIONS SuRVEy
30 NEwMEMbERS
32 fMMEAINTERVIEw
PAGE
4
36 fMM NEwS
39 bRANCh NEwS& EVENTS
48 TRAVElGolf touring in
Tasmania
51 MAlAySIAPROjECTED
TO bECOME TOP-25 ECONOMy by 2050The country needs to invest more in technology and education to improve its ranking
52 EVENTCAlENDAR
PAGE
10
PAGE
24PAGE
16
Message froM the President
Making TVET a logical choice for students “Our progress as a nation can be no swifter than our progress
in education. The human mind is our fundamental resource.”
Those words belong to the late US President John F.
Kennedy, a strong proponent on the values of education and
can be applied to our own situation here in Malaysia.
With the onset of Industry 4.0, it becomes very important
for our workforce to stay relevant with smart manufacturing
technologies.
Education remains an important channel, specifically the
role of Technical Vocational Education & Training (TVET) in
relation to smart manufacturing.
The most crucial aspect in promoting increased
digitalisation, artificial intelligence, Internet of things and
other elements of Industry 4.0 within our industrial sector lies
in having capable, technologically skilled workers.
This is where TVET needs tremendous support and
involvement from the industry itself as we must identify our
needs more accurately so as to direct proper legislation
and policies that can help the pathway for students to gain
certification and gain employment in the long run.
The Government is already setting the wheels in motion
to redress the skills gap as well as to raise the image of TVET
which until today plays a secondary role to general education.
The Asia Technical Vocational Education and Training
Experts Forum 2018 held in July concluded with Education
Minister YB Dr Maszlee Malik promising to make it the first
choice for students in Malaysia.
One of the suggestions being put forward by the
Education Ministry’s taskforce on TVET headed by YB Nurul
Izzah Anwar is by adopting international best practices as
exemplified by Penang which has initiated the implementation
of the German Dual Vocational Training.
Perhaps, we can take a feather from the cap of our
neighbours, Indonesia, who have made some breakthroughs
in enhancing the image and attractiveness of TVET, among
others, by increasing the share of vocational education and
training with a target ratio between TVET and general high
school education of 70% to 30% in 2025.
Another step for enhancing the image and attractiveness
of TVET is establishing more higher education within
vocational fields as has been done in China, or increasing the
permeability from TVET to higher education as has been done
in South Korea or India.
There will be surely a lot of proposals on the table and it
is our view that a collective effort from all stakeholders from
Government to companies will help establish TVET on a firm
footing in the not too distant future.
FMM also strongly believes that immersion into TVET
should start as early as the secondary education level. This
is one of the reasons for FMM’s on-going collaboration with
the Technical Vocational Education Division of the Ministry
of Education via the TVET Apprenticeship Programme. The
programme targets students who have completed their
Pentaksiran Tingkatan Tiga (PT3) i.e. at Form Four (aged
16). The programme structure involves six consecutive
months of theory at Vocational Colleges followed by six
consecutive months of practical training with an assigned
manufacturing company each year for two years. Students
complete the Apprenticeship Programme at age 17 or 18.
They are awarded at least Level 2 Malaysia Skill Certificate /
Sijil Kemahiran Malaysia and also the SPM(V) if they sit for their
SPM examination. Employers who have been conducting the
practical training for the two years can recruit their students as
employees.
The Apprenticeship Programme is currently on a
pilot run involving five companies and three Vocational
Colleges in the Klang Valley namely Klang, Setapak and
Sungai Buloh Vocational Colleges. FMM is already in
discussion with the Ministry of Education to expand the
collaboration to other states after completing the pilot at
the end of this year.
I encourage more members to sign up for our
Apprenticeship Programme.
Dato’ Soh Thian Lai
cover story
BIA @ fmm n jul - sep 20184
The world of robotics has come a long
way since British engineer William
Gary Walter developed Elmer and
Elsie in 1948. These were tiny robots
using simple electronics that were
programmed to find their charging
stations once power was running low.
The foundation, however for today’s
robots and the first industrial robot was
laid by American inventor George Devol
in 1954. He conceived Unimate which
was a design for a mechanical arm
patented in the same year and granted
in 1961.
Today’s robotics are breaking
ground on new technologies and
capabilities. The role of the robot is no
longer to simply provide brunt force in
manufacturing but to extend and work
with humans to create superior, usable,
and sustainable solutions and products.
The robotics industry in itself is
flourishing. Leading research groups
are reporting that the robotics industry
is growing more rapidly than expected.
BCG (Boston Consulting Group) is
conservatively projecting that the
market will reach US$87 billion by 2025.
Tractica, on the other hand is more
optimistic incorporating the robotic
and AI (artificial intelligence) elements
of the emerging self-driving industry, is
forecasting the market will reach US$237
billion by 2022.
Both research firms acknowledge
that the robots of yesteryear — which
were blind, big, dangerous and difficult
to program and maintain — are being
replaced and supplemented with newer,
more capable ones.
Today’s new and future robots will
have voice and language recognition,
access to super-fast communications,
data and libraries of algorithms, learning
capability, mobility, portability and
dexterity.
These new precision robots can sort
and fill prescriptions, pick and pack
warehouse orders, sort, inspect, process
and handle fruits and vegetables, plus
a myriad of other industrial and non-
industrial tasks, faster than humans, yet
all the while working safely alongside
them.
Essentially, industrial robots usually
consist of a jointed arm (multi-linked
manipulator) and an end effector that is
attached to a fixed surface. One of the
most common type of end effector is a
gripper assembly.
Robots, increasingly play a pivotal part in improving efficiency on the factory floor
Role of Robotics in manufactuRing
BIA @ fmm n jul - sep 2018 5
The International Organisation for
Standardisation (ISO) gives a definition
of a manipulating industrial robot in
ISO 8373-”An automatically controlled,
reprogrammable, multipurpose,
manipulator programmable in three or
more axes, which may be either fixed
in place or mobile for use in industrial
automation applications”
ApplicAtions of robotics in
mAnufActuring
Industrial robots can be found in in a
diverse range of industries including
automotive production, packaging,
electronics, automated guided vehicles,
just to name a few.
Over the last three decades,
automobile factories have become
dominated by robots. A typical factory
contains hundreds of industrial robots
working on fully automated production
lines, with one robot for every ten
workers. On an automated production
line, a vehicle chassis on a conveyor
is welded, glued, painted and finally
assembled at a sequence of robot
stations.
Industrial robots are also used
extensively for palletising and
packaging of manufactured goods,
for example for rapidly taking drink
cartons from the end of a conveyor
belt and placing them into boxes, or
for loading and unloading machining
centres.
Mass-produced printed circuit
boards (PCBs) are almost exclusively
manufactured by pick-and-place
robots, typically with SCARA
manipulators, which remove tiny
electronic components from strips or
trays, and place them on to PCBs with
great accuracy. Such robots can place
hundreds of thousands of components
per hour, far out-performing a human in
speed, accuracy, and reliability.
An intelligent AGV (automated
guided vehicle) drops-off goods
without needing lines or beacons in the
workspace.
Mobile robots, following markers
or wires in the floor, or using vision
or lasers, are used to transport
goods around large facilities, such
as warehouses, container ports, or
hospitals.
The International Federation of
Robotics IFR) remains the organisation
that connects the world of robotics
globally. Their members come from
the robotics industry, national or
international industry associations and
research and development institutes.
The federation represents over 50
members from more than 20 countries.
The IFR statistical department is the
primary global resource for data on
robotics. It was established as a non-
profit organisation in 1987.
The IFR estimates that by the end
of 2019, there will be around 2.6 million
industrial robots at work around the
world – one million more robots than
in 2015. That reflects a compounded
annual growth rate of 12%. 70% of those
robots work in the automotive, electrical
and electronics and metal/machinery
industries. In 2015, growth occurred in
the electronics industry, which boasted
an 18% rise; the metal industry posted
an increase of 16%, with the automotive
sector growing by 10%.
Worldwide sales of industrial robots
set a new record in 2015: 254,000 units
sold; 12% more than 2014. 66,700 units
were sold in China of which 20,400 were
made in China.
Asia is the strongest growth market
with 156,000 units for the region, a 16%
increase over 2014, but that figure is
cover story
BIA @ fmm n jul - sep 20186
much lower than the 27% projected. The
rate of growth of China-made robots
penetrating the market also did not
grow at the projected rate but it did
grow at a healthy 31% rate.
With three national 10-year plans,
the current one entitled “Made in China
2025,” Beijing is attempting to stimulate
the in-country robotics industry on two
levels: that manufacturers use robots to
increase their productivity and global
competitiveness and as robot and
robotic components manufacturers to
reduce the amount of foreign purchases
of robots. This national plan applies to
service robots too.
The IFR suggested that the
trends fuelling this steady increase of
robot installations will be led by the
collaboration of humans and machines,
simplified applications, and lightweight
and relatively portable robots. Two-
armed robots, mobile solutions and
the integration of robots into existing
environments will also contribute as will
an increased focus on modularity and
lower overall prices.
“Technological development
in artificial intelligence, computer
vision, navigation, MEMS sensor, and
semiconductor technologies continue
to drive innovation in the capability,
performance, autonomy, ease of use,
and cost-effectiveness of industrial and
service robots,” said Jing Bing Zhang,
research director of worldwide robotics
at International Data Corporation,
Asia/Pacific.
“Robotics will continue to accelerate
innovation, thus disrupting and
changing the paradigm of business
operations in many industries,”
Zhang said.
“IDC encourages companies to
“embrace and assess how robotics can
sharpen their company’s competitive
edge by improving quality, increasing
operational productivity and agility,
and enhancing experiences of all
stakeholders,” he added.
George Devol, inventor of first industrial robot
business feature
BIA @ fmm n jul - sep 201810
There will always be crossroads in a
company’s evolution when they will
have to make decisions on man and
machinery. While the latter is only a
question of type of upgrade, the former
is a more formidable and perplexing
challenge.
Employees who are long in the
tooth may be secure in their work site
knowledge after years of on-the-job
experience. However, the longer they
are in the job the harder it would seem
for them to adapt to new demands in
the workplace.
With technology becoming
an ingrained fact of industrial life,
many companies will eventually
find themselves left behind and less
competitive if they refuse to innovate
their operations.
While the shortage of skill continues
to sharpen, many employers will have to
engage these issues at some point. One
of the methods being used to tackle this
includes the upskilling of employees.
In an article on talent development
by Nikos Andriotis posted on
www.efrontlearning.com, the writer
states the rising cost of hiring staff
to replace ones who left, should be
With skills shortage sharpening employers should consider retraining their workforce
The growing imporTance of upskilling employees
BIA @ fmm n jul - sep 2018 11
some of the reasons for companies to
consider retraining existing employees.
“Over time, these costs can add up
and affect the corporate bottom line.
That’s where upskilling training can
come in as an alternative to bringing in
new staffers,” he said.
“Smart organisations can alleviate
some of these financial pains by
investing in tenured employees to
retain them in the organisation. Stellar
employees, the ones with great morale
and high productivity, can be hard to
come by and organisations understand
the benefits of finding ways to retain
these individuals.
“Fortunately, companies can invest
in a process known as upskilling to help
retain current employees. Upskilling
is the process of teaching current
employees new skills.
“This will allow the employees to
move into bigger and better jobs in
the organisation. Investing in upskilling
employees pays off in the long run, as
the company saves money on hiring
new associates and boosts the morale
of tenured employees at the same
time.”
Why Upskilling Training
shoUld Be The FocUs
employee retention
Employees who are challenged to
develop and grow are often the
happiest ones at an organisation. If
a company strives to retain tenured
employees, it will prove that the
company is making a solid investment
in the people, which is bound to boost
morale and productivity.
Employees who are challenged to
grow outside of their roles tend to get
excited about what might be around the
corner for them.
customer satisfaction
If a company has happy employees, it is
far more likely to have happy customers.
Content employees are typically
more invested in the company, they
promote the corporate brand within the
organisation and to customers. Typically,
happy customers tend to be loyal
customers as well.
The Bottom line
It is expensive to lose and replace
tenured associates. The company is
losing the investment it made in the
current individual, not just because
business feature
BIA @ fmm n jul - sep 201812
of any talent development it paid for,
but also because when that individual
leaves, they take all their knowledge
and experience with them.
Now the company has to pay not
only to advertise the new role, for the
recruitment process, the time it takes
to interview candidates, any hiring
bonuses that new individual may require
and also the time it will take the new
individual to catch up in terms of the
job requirements. Simply losing one
employee can be a hit on the bottom
line.
Upskilling strategies
In order to create robust upskilling
in the organisation, companies will
need to devise a strategic plan.
Having a strategy will help to convince
management within the organisation
and also gain support from the
employees themselves.
personal development plans
Encourage associates to build a
Personal Development Plan that
includes competencies that they want
to improve upon and skills they want
to gain. Empowering your employees
to come up with their own plan is key
to the success of the upskilling training
program.
Employees can identify new skills
and competencies that resonate with
them as opposed to being told what
they need to learn.
allocate Time during The Workday
Once your employees create their
individual development plan, allow
time during the workday for employees
to upskill. A possible scenario could
include an employee who wants to take
a communications course. Allow them to
leave early to attend class or provide time
and a quiet space to take the class online.
Job-specific Upskilling/credentialing
programs
Offer employees job-specific training
to enhance their current skills. For
example, the company may have
specialty software used by only a small
sector in the organisation. Consider
offering upskilling training on the
software to employees in the company
who may be interested in learning
more about it. Also consider offering
credentialing programs, meaning
training that results in a professional
certificate. For example, there may be
instructional designers on the team
who would benefit by enrolling in an
intensive eLearning certificate program.
You may be looking at the expense
of upskilling training and decide it isn’t
worth the investment. But it doesn’t
have to cause a tremendous financial
setback. Companies can upskill
employees on a shoestring budget
through creative solutions. There
are many ways to reskill corporate
learners using a classroom setting,
online learning content, or using
current employees to assist in creating
upskilling training.
Some of the methods of upskilling
training can be implemented through
a range of ways including classroom
training, virtual classroom training,
microlearning (web-based training
modules), mentors and subject master
experts.
Upskilling training has an abundance
of advantages, from improving employee
motivation to company cost savings. It
doesn’t have to cost an arm and a leg.
Following the credo – you reap what
you sow – companies should take the
time to invest in upskilling employees so
that they stay and help the organisation
to grow and thrive.
BIA @ fmm n jul - sep 2018 13
According to a report carried in The
Star on March 11, 2017, employers
were facing challenges in recruiting
suitable talent.
The report included interviews
with recruitment experts, Hays, who
concluded, among other things, that
businesses in Malaysia are concerned
that the continuing skill shortage will
severely impact their operations
The 2017 Hays Asia Salary Guide
reveals that 97% of employers in
Malaysia are still struggling to find the
skilled individuals they need.
“The ability to attract and retain
the best talents always provides
a company with a competitive
advantage, but in 2017 with skill
shortages persisting and significant
changes and challenges on the
horizon, it is more important than
ever,” said Hays Asia managing
director, Christine Wright.
The skill shortage in Malaysia
has been well documented and as
business operations are likely to be
affected throughout the year, she
said, adding that employers are
encouraged to invest in the training
and development of staff and to
become more strategic in their talent
management practices.
“Recruitment and retention of
talented employees will undoubtedly
be one of the biggest challenges
facing employers this year, and
heightens the need for a review of
recruitment policies and procedures in
the midst of a war for top talent”.
Interestingly, the survey shows
candidates are highly mobile with 79%
of respondents in Malaysia willing to
move countries to secure the right job.
Based on Hays survey, 69% of
employers in Malaysia are concerned
they don’t have the right talent to
achieve current business objectives.
It also reveals that 48% of employers
in Malaysia believe skill shortages
have the potential to hamper effective
business operations. A further 49%
expect shortages to have some impact
on business operations.
“When the efficiency of a business
is threatened, planning your business
strategy and your talent pipeline has
never been critical. The focus for many
businesses should be to build a highly
talented and productive workforce. To
do so, companies need to ensure they
have access to the right candidates
if they are to benefit from emerging
conditions,” Wright adds.
Looking back over 2016-2017,
54% of employers in Malaysia tried to
combat skill shortages by upskilling
their employees, while 40% improved
their attraction strategies. Only 6%
took no action.
In skill short areas, 48% of
employers in Malaysia would
consider sponsoring or employing a
qualified candidate from overseas.
Across all countries, 59% of employers
would consider employing or
sponsoring a qualified candidate
from overseas in areas where there
are skills shortages.
malaysia’s mounting skills gap97% of Malaysian employers in 2017 found it tough to find the right employees
50TH ANNIVERSARY
BIA @ FMM ■ JUL - SEP 201814
ANNIVERSARY50TH50TH ANNIVERSARYANNIVERSARY50TH ANNIVERSARY50TH ANNIVERSARYANNIVERSARY50TH ANNIVERSARYANNIVERSARY50TH ANNIVERSARY50TH ANNIVERSARYANNIVERSARY50TH ANNIVERSARYANNIVERSARYANNIVERSARYANNIVERSARY
It will be a night like no other, a time
when we sit back and recall not just the
glowing achievements but also, the
trials and tribulations that came along
the way.
FMM, has weathered all storms
coming out stronger and empowering
more companies to join and grow
together. It has been a journey, a
collective one that all began in 1968.
Arising from a merger of the
National Chamber of Malayan
Manufacturers and Malayan
Manufacturers Association on July 2,
1968, a unison written in stone, one
that ensures the milestone remains an
indelible part of FMM’s glorious history.
The 50th Annual Dinner of course,
remains more than just plain nostalgia,
it provides a cordial atmosphere
for networking of the highest order
between captains of industry, company
executives, government of� cials and
foreign dignitaries.
Perhaps, the greatest honour for
FMM and the manufacturing industry
as a whole is the con� rmed presence
of YAB Prime Minister Tun Dr Mahathir
Mohamed, who has since become a
much sought-after global entity.
Make it a date, join us on October 9,
2018 at the Sunway Pyramid Convention
Centre.
COME & JOIN US ON A HISTORIC
OCCASION!The Federation of Malaysian Manufacturers (FMM) stands poised
to celebrate the 50th Annual Dinner on Oct 9, 2018
50TH ANNIVERSARY
tech talk
BIA @ fmm n jul - sep 201816
Shapingthe world
3D printing technology revolutionises product design like never before
BIA @ fmm n jul - sep 2018 17
Whenever anyone mentions 3D, the immediate reaction
would point to movies and screens where this medium is best
portrayed.
Similarly, 3D printing is often mistaken as a simple desktop
EDM printer. That’s not the whole picture though. 3D printing
is a multi-dimensional process that can be used for metal,
fabrics, other uses and even for crime solving.
Also called additive manufacturing it is a process of
making three dimensional solid objects from a digital file.
The creation of a 3D printed object is achieved using
additive processes. In an additive process an object is created
by laying down successive layers of material until the object
is created. Each of these layers can be seen as a thinly sliced
horizontal cross-section of the eventual object.
Comparatively, 3D printing is the opposite of subtractive
manufacturing which is cutting out or hollowing out a piece of
metal or plastic with for instance, a milling machine.
Notably, 3D printing enables users to produce complex
(functional) shapes using less material than traditional
manufacturing
3D Printing inDustry
As in any industry, 3D printing is expected to grow rapidly. In
2013 the industry yielded US$3.07 billion in revenue and these
figures are expected to reach US$12.8 billion by this year.
Within the next two years the proceeds from the industry is
slated to exceed $21 billion.
At this juncture, the outlook for 3D printing technology
burns bright. It seems destined to transform most major
industries and even lifestyles – influencing the way we live,
work and play.
The 3D printing industry encompasses many forms of
technologies and materials. It can be divided into metal,
fabrics, and a whole host of other industries. For this reason,
it’s important to see it as a cluster of diverse industries with a
myriad of different applications.
The most used materials are plastics, which generally
means FFF / FDM are the dominant forms of 3D printing
as of 2017. Over the years though metal printing has been
increasing. This is to be expected since there is a great deal
of research and development being put into the metal side of
additive manufacturing. Companies like Google and General
Electric have been investing in various technologies over
the years, possibly having seen the future potential of metal
printing.
APPlicAtions of 3D Printing
Applications include rapid prototyping, architectural scale
models and maquettes, 3D printed prosthetics and movie
props.
Other examples of 3D printing would include
reconstructing fossils in paleontology, replicating ancient
tech talk
BIA @ fmm n jul - sep 201818
About the InventorChuck Hull, 79, is the co-founder, executive vice president and chief technology officer of 3D Systems. He is the inventor of the solid imaging process known as stereolithography (3D Printing), the first commercial rapid prototyping technology, and the STL file format.
He is named on more than 60 U.S. patents as well as other patents around the world in the fields of ion optics and rapid prototyping. Hull was inducted into the National Inventors Hall of Fame in 2014 and in 2017 was one of the first inductees into the TCT Hall of Fame.
Read: https://3dprinting.com/what-is-3d-printing/
artifacts in archaeology, reconstructing
bones and body parts in forensic
pathology and reconstructing heavily
damaged evidence acquired from crime
scene investigations.
How Does 3D Printing work?
It all starts with the creation of a 3D
model in the computer. This digital
design is for instance, a CAD (Computer
Aided Design) file. A 3D model is either
created from the ground up with 3D
modelling software or based on data
generated with a 3D scanner. With a 3D
scanner a digital copy of an object can
be created.
Currently, prices of 3D scanners
range from expensive industrial grade
3D scanners to $30 DIY scanners anyone
can make at home.
3D modelling software come in
many forms. There’s industrial grade
software which can be expensive but
also free open source software, like
Blender, for instance. Beginner video
tutorials can be found on the Blender
tutorials page.
3D modelling software are often
made to suit the functions of the user’s
industry. This has resulted in the rise of
software suited to specific niches. As a
result, there are software applications
on the market that cater to aerospace
or transportation, furniture design or
fabrics and fashion, among many others.
Once the 3D model has been
completed, the next step is to prepare it
in order to make it 3D printable.
tyPes of 3D Printing
tecHnologies AnD Processes
There are several ways to 3D print.
All these technologies are additive,
differing mainly in the way layers are
built to create an object.
Some methods use melting or
softening material to extrude layers.
Others cure a photo-reactive resin with
a UV laser (or another similar power
source) layer by layer.
BIA @ fmm n jul - sep 201820
the communicator
Social media has become one of the
best ways for businesses to reach and
engage their target audiences. Those
who are not currently using social media
for business may be missing out on a
powerful opportunity to reach new leads
and grow their business.
According to Pew Research, 70%
of consumers use social media, and for
many users, visiting their favourite social
media sites has become a part
of their daily routine. In fact, about
75% of Facebook users will visit the
site at least once a day. This presents
an excellent business opportunity for
brands to use social media for business
and increase engagement with their
target audience.
Select the BeSt Social Media
PlatforMS for Your BuSineSS
The first step of successfully using social
media for business is selecting the best
social media channels for your company.
Though it may feel like it’s best to try to
be everywhere at once, the truth is that
most businesses do not have the time
or the resources to be active on every
IdentIfy the socIal medIa channels best suIted for your busInessIt remains as one of the most cost-effective means of marketing products and services
brand builder
BIA @ fmm n jul - sep 201824
Branding has always been a big part of marketing to
consumers, but B2C companies are not the only ones who
should consider how customers perceive them. It also plays a
role in marketing companies that operate on B2B models, like
manufacturers.
So what is a brand, exactly? One expert marketer Seth
Godin describes it as “the set of expectations, memories,
stories and relationships that, taken together, account for a
consumer’s decision to choose one product or service over
another.”
In other words, the gut feeling customers have about your
company is based on its history, reputation and differentiating
characteristics, which a company can leverage to create a
powerful brand for the business.
Differentiating a company can be easier said than done,
but the following branding tips will help more effectively
to show potential customers why they should choose your
company over your competitors.
1. Emphasize your unique capabilities
In addition to cost, manufacturing companies have to
compete with one another in terms of service, logistics,
and other capabilities. So what can your company do
that others can’t? Once you know, you can develop a
unique brand position, which can lead to viable marketing
opportunities.
Look at your full range of services and capabilities and
compare them to other manufacturers. You’ll discover
some that are better delivered by your firm than by anyone
else, and even a few no one else is offering.
Highlight them in your marketing materials, and focus
your efforts on the companies looking for those kinds of
capabilities. The end result will be a more targeted brand
strategy and a more loyal clientele.
2. Build a strong visual presence
Think about some of the biggest companies in the world.
Branding tips for manufacturersHow to leverage on your company’s strengths in the marketplace
BIA @ fmm n jul - sep 2018 25
What’s the first thing that comes to mind? For many
people, it’s the logo, typeface or colour scheme.
A brand is made up of many elements – a strong visual
presence is one of them. Those firms who want to become
a preferred provider of manufacturing services, need to
beef up their visual identity.
Take time in developing your marketing tools. You want
to choose the right logo, font, colour scheme and tagline
for your type of business. You also want something that
doesn’t call to mind another company, particularly a
competitor.
If your current logo does not accurately reflect the way
you want potential customers to perceive your company,
it may be time to rebrand. This will require a substantial
investment of time and money, but will pay off in the long
run through a stronger market position.
3. Increase outreach
Building a strong brand requires being proactive. A strong
visual identity and a unique brand position will help, but
so does outreach beyond your usual circle of customers,
followers and advocates.
If you want your brand to gain traction, you need to
make sure everyone knows about it – not just potential
customers, but the public at large.
Get the word out about your company by establishing a
blog, publishing articles and information on other sites,
and sharing testimonials and case studies that emphasize
your company’s focus.
4. Focus on a niche segment
Very few companies can be all things to all people, so it
makes sense to build a brand strategy around the ability to
cater to a niche market’s specific needs.
This will also make your company a more viable choice
for the industries in need of such capabilities. Keep these
industries in mind when selecting target markets.
Start with your current client base. If you find they fall into
the same business categories, make those categories the
focus of your strategy going forward.
5. Be credible, constant and consistent
A brand strategy can fail for all kinds of reasons, but most
of them fall under one common theme: the brand isn’t
believable. Consumers and businesses don’t like it when
delivery of services do not match the brand promise or the
new strategy does not fit with the company’s core mission
or history.
A brand strategy will succeed as long as it is s carried out
credibly, constantly and consistently.
FMM – Mier business conditions survey
BIA @ fmm n jul - sep 201826
MANUFACTURING ACTIVITY SLOWS DOWN IN 1H2018, EXPECTED TO PICK UP IN 2H2018
RESULTS IN BRIEF n Business activity slower in 1H2018 than 2H2017 and 1H2017 n Lower local sales and export sales in 1H2018 n Production volume, production costs and capital investment down
in 1H2018 n Business to pick up in 2H2018 on expectations of higher sales,
production volume & capacity utilisation n New products and services to be introduced to boost
competitiveness in marketing and sales in the next 12 months n Upskilling of existing workers necessary to boost human resource
competitiveness n Competitiveness in operations to be enhanced via reduction in
operating costs n Pakatan Harapan (PH) manifesto for manufacturing sector should
focus on reducing price pressures (Pillar 1), ensuring efficient and transparent government procurement (Pillar 2), promoting investment (Pillar 3) and improving integrity and weeding out corruption(Pillar 5)
n Most respondents agree that a minimum wage of RM1,500 is an acceptable goal to be achieved in five years with 50% sharing of burden by Government. First implementation preferred in 2019
n The review of mega projects, renegotiated Belt & Road Initiatives and cancellation of High Speed Rail and Mass Rapid Transit 3 by Government have no impact on most manufacturers
BIA @ fmm n jul - sep 2018 27
The manufacturing sector slowed
down in 1H2018 as production volume
and capacity utilisation moderated in
line with lower sales, both local and
abroad. The cost of production was also
lower. Recent recruitment and capital
investment were less active than last
year.
The sector is cautiously bracing for
better times ahead on expectations
that more certainty on policy directions
from the new government will unfold
for businesses and the economy going
forward.
CURRENT BUSINESS ACTIVITY LESS
ACTIVE
After a heady 2H2017, manufacturing
activities toned down in recent months.
From a reading of 115 in 2H2017, the
current business activity index lost
eighteen points to stand at only 97
in 1H2018. 29% of the respondents
reported higher activity, down from
42% and 35% in 2H2017 and 1H2017,
respectively.
Local and Export Sales Less
Forthcoming
Notwithstanding the recent zero-rated
Goods and Services Tax (GST), local
sales did not perform as well in 1H2018
as they did in 2H2017, reflecting weak
domestic demand. This is shown in the
index for current local sales which fell
to 91 from 107 in the preceding period.
While most (42%) of the respondents
did not experience any change in their
sales locally, 34% reported selling less,
up from 28% in the prior survey. Those
who enjoyed higher sales reduced to
25% from 2H2017’s 35%.
The current export sales index was
equally lackluster. At 99, the index fell
just one point short of the optimism
threshold, indicating that export sales
have performed under par in 1H2018.
Only 29% exported more this time,
down from 43% in 2H2017. Export
performance could have been affected
by external developments such as
the trade war between Malaysia’s top
trading partners, the US and China.
Production Volume and Capacity
Utilisation Decline
Production and capacity utilisation have
shifted lower in line with the slowdown
in sales. Both the current indexes
for production volume and capacity
utilisation fell nineteen points each
from the previous period to 103 and 99
in 1H2018, respectively. 32% and 28%
reported higher production volume and
capacity in 1H2018, down from 45% and
42% in 2H2017, respectively.
2H2016 1H2017 2H2017 1H2018 1H2017 2H2017 1H2018 2H2018
Business conditions 102 101 115 97 100 110 120 124
Local sales 87 87 107 91 87 102 110 113
Export sales 109 109 113 99 111 117 117 122
Production volume 106 105 122 103 106 117 126 130
Capacity utilisation 107 103 118 99 106 111 118 127
Capital investment 110 113 116 109 116 120 122 117
Number of employees 104 109 110 107 110 114 117 116
Cost of production 167 165 164 150 165 153 157 145
FMM – MIER Business Conditions Index Values
Indicators Current(Compared to 6 months ago)
Looking Forward(Next 6 months)
toP 5 BUSInESS StRatEgIES to IMPRoVE CoMPEtItIVEnESS In nExt 12 MontHS
toP 5 PRIoRItIES FoR goVERnMEnt In nExt 12 MontHS to SUPPoRt ManUFaCtURIng
69% 68% 61% 59% 54%
Upskilling existing workers
Reduce operating costs
Introduce new products & services
Step up productivity training
Increase production & manage pricing
68% 48%49%57% 39%
Reduce pressures causing burdensome price increases
Spur investment & better policies, trade via Ftas; reduce regulatory burden, improve education
Ensure government procurement produces best value for taxpayer’s money – open tender, use It & online systems
Improve integrity & weed out corruption
Support economic growth – attract FDIs, develop SMEs, etc
* Percentages denote number of respondents
FMM – Mier business conditions survey
BIA @ fmm n jul - sep 201828
Cost of Production and Capital
Investment trend Down
Manufacturing costs were lower
recently, in line with the zero-rated
GST. Reflecting this is the latest current
cost of production index which, at 150,
has reduced by fourteen points from
2H2017. Costs in 1H2018 were higher
for 58% of the respondents, down from
70% in 2H2017 and 72% in 1H2017.
8% managed to lower costs, up from
2H2017’s 6% and 1H2017’s 7%.
The current capital investment index
shrank seven points from 2H2017 to
109 in 1H2018, inferring that capital
investment has also taken a backseat
for now. 27% increased their capital
expenditure in 1H2018, down from 31%
in 2H2017 and 29% in 1H2017. 18% cut
back on investment recently, up from
15% and 16% in 2H2017 and 1H2017,
respectively.
Employment Less active
Employment was generally stable
in 1H2018, with slightly fewer
hiring reported. At 107, the current
employment index is down three points
from 2H2017. 65% maintained their
current workforce and 21% increased
headcount, compared to 60% and 25%
in 2H2017, respectively.
POSITIVE BUT CAUTIOUS OUTLOOK
FOR 2H2018
The manufacturing sector’s six-month
business outlook is positive but with
caution, amid the balance of risks in
the global economy tilting towards the
downside. Expectations are looking
up for business conditions, sales,
production volume and cost, and
capacity utilisation. Hirings are expected
to remain stable for the rest of the
year, likely due to anticipation that the
minimum wage is set to be adjusted
higher soon.
The expected business activity
index rose to 124 from the previous two
surveys, with 4-in-10 looking forward to
an improvement in business conditions
soon. 44% foresee no change, while
16% responded negatively.
Both domestic and external
demands are expected to boost sales
in the coming months. This is shown
in the latest index for expected local
sales which rose to 113, with 33% of the
respondents forecasting an increase
in local sales soon, up from 29% in the
previous survey. The expected export
sales index strengthened to 122, with
38% projecting higher sales abroad in
2H2018, while another 46% responded
neutrally.
Production volume is set to rise in
anticipation of a pick-up in sales. The
index for expected production volume
rose to 130 from 126 previously, with
46% of manufacturers planning to
increase production in 2H2018. 38%
will not adjust their production volume
anytime soon, while 16% will likely
reduce theirs.
With business conditions and
sales expected to improve in the near
term, the expected capacity utilisation
index climbed nine points from the
former survey to 127. 42% will expand,
while another 42% will maintain their
capacities in the coming months.
Production costs are expected to
reduce further in 2H2018. The latest
index for expected cost of production
fell to 145 from the prior survey’s 157.
52% of the respondents believe that
their production costs in 2H2018 will
increase, down from 63% late last year.
The index for expected capital
investment, at 117 is lower by five points
from the preceding survey, suggesting
that a slowdown in capital investment
can be expected in the coming
months. 86% of the respondents will
likely increase or maintain their capital
investment in 2H2018. The expected
employment index, at 116, is little
changed from the past survey, with 9-in-
10 planning to expand or continue to
retain their workforce.
BUSINESS STRATEGIES TO IMPROVE
COMPETITIVENESS
In the next twelve months, respondents
will implement various strategies
to improve their competitiveness,
particularly in the areas of marketing
and sales, human resource
and operations. To boost their
competitiveness in marketing and
sales, the top three strategies that
respondents will implement are the
introduction of new products and
services (61% votes), entry into new
ASEAN markets (24%) and entry into
both new ASEAN and non-ASEAN
markets (20%).
In the area of human resource,
majority (69%) of the respondents will
upskill their existing workers, while
56% believe in productivity training
to increase their competitiveness and
39% prefer to hire more talents. To
increase the competitiveness of their
operations, most respondents (67%) are
considering reducing their operating
costs, while 54% will likely increase their
production and another 54% will look
into managing their prices.
Other strategies popularly adopted
by respondents include, among others,
investing in automation, greater use of
social media and investment in Industry
4.0 technologies in particular, robotics,
industrial internet of things, cloud
computing and vertical and horizontal
system integration.
PAKATAN HARAPAN (PH)
MANIFESTO
In line with the manifesto of the
new ruling Pakatan Harapan (PH)
government, respondents were asked
to list their priorities on what they think
the Government should focus on for the
manufacturing sector in the first twelve
months of their leadership.
To reduce the people’s burden (Pillar
1), 68% of the respondents opined
that the government should look into
reducing price pressures, while abolition
of the GST and tolls are the suggestions
of 33% and 15%, respectively. On
institutional reform (Pillar 2), ensuring
that government procurement produces
the best value for taxpayers’ money
such as via open tender, the use of IT
and online systems is the priority of
most of the respondents (49%). 39%
BIA @ fmm n jul - sep 2018 29
prioritise institutional and political
reforms (example, reforming the MACC
and strengthening anti-corruption
efforts), while 30% believe that restoring
public trust in the judicial and legal
institutions is more important.
To spur sustainable and equitable
economic growth (Pillar 3), the top
priority of most (57%) respondents is
investment promotion through better
policies, simplified processes and trade
promotion via FTAs, besides reducing
regulatory burden, improving education,
skills training and English competency.
39% voted for the support of economic
growth of Bumiputras and all citizens
by attracting foreign direct investments
and developing SMEs. The introduction
of a people and entrepreneur-friendly
tax system (review national tax system
vis-a-vis other ASEAN countries)
received the third most responses
(35%). Balancing economic growth
with environmental protection (such
as sustainability and sustainable
development, and renewable energy)
is the priority of 22% of the respondents.
In terms of creating a Malaysia
that is inclusive, moderate and
respected globally (Pillar 5), 48% listed
integrity improvement and weeding
out corruption as top priorities.
Fighting crime and social ills, including
strengthening enforcement of cross
border smuggling received 19%
responses, while 13% chose restoration
of authority and independence of public
universities and institutes of higher
learning, including widening TVET
streams.
MINIMUM WAGE (MW) REVIEW
The PH Government’s manifesto
proposes raising the MW to RM1,500
per month nationwide in their first
5-year term, with the Government and
employers each bearing 50% of the
RM500 increase. An announcement on
the scheduled review of the minimum
wage is expected to be made by
August 2018. Respondents were asked
what they think is an acceptable rate
in the August announcement and the
timeframe for its implementation.
62% of the respondents agreed that
a MW of RM1,500, at 50% burden, is
an acceptable goal to be achieved in
five years. Most of these respondents
are from the Klang Valley, Johor and
Negeri Sembilan, with annual turnovers
of RM15 mil to more than RM50 mil and
full-time employees totalling 75 to more
than 200.
84% of overall respondents preferred
that any changes to the minimum wage
rate to be implemented in 2019 instead
of 2018. Of this 84% of respondents,
the majority (44%) said that RM1,200
would be an acceptable minimum wage
rate for the first increase, while 28%
preferred RM1,100. These views are
premised on the understanding that the
Government would share 50% of the
burden of the increase.
Among those who disagreed with
the goal of “RM1,500 within 5-years”:
• 14%wasoftheviewthatthetargetof
RM1,500 can be achieved of which:
– 55.5% within 6-10 years; and
– 34.9% in less than five years.
• 20%wasoftheviewthatthegoalin
the next five year should be lower
than RM1,500. Most (83%) suggested
RM1,200-RM1,300;
• Lessthan2%suggestedagoalof
RM1,100-RM1,300 to be achieved in
2-8 years.
On the equalisation of MW, most
(48%) respondents agreed that
minimum wage should be a single
rate nationwide, while 29% was in
favour of retaining the current form
i.e. differentiated between Peninsular
Malaysia and Sabah & Sarawak. 18%
said minimum wage rates should be on
regional basis, including in Peninsular
Malaysia.
Majority of respondents in most
States were in favour of implementing
minimum wage rates according to
zones, i.e. to retain the current form or
introduce regional rates including in
Peninsular Malaysia. However, majority
of respondents the Klang Valley, Negeri
Sembilan, Malacca and Sarawak had
preferred to equalise the MW rates.
MEGA PROJECTS REVIEW BY
GOVERNMENT
The review of mega projects
(RMP), renegotiation of Belt and
Road Initiatives (example, East
Coast Railway Link, etc.) and
cancellation of the high speed rail
(HSR) and mass rapid transit 3 (MRT3)
by the Government have no impact
on most manufacturers. On the RMP,
56% of the respondents believed that
it has no impact on them, while 28%
foresee more business opportunities,
particularly those in the following
industries: chemicals and chemical
products; food, beverages and
tobacco; fabricated metal products;
plastic and plastic products; machinery
and equipment; and electrical,
machinery and apparatus. Of the
16% who are anticipating a loss in
business opportunities, most are
from the fabricated metal products
industry.
Most (63%) respondents also do
not think that renegotiation of Belt
and Road Initiatives will affect them.
26% believe that there will be more
business opportunities with most
respondents coming from industries
in food, beverages and tobacco,
fabricated metal products, plastic and
plastic products, as well as wood, paper,
furniture and printing. 11% envisaged a
loss of business, with most of the votes
from those manufacturing fabricated
metal products, plastic and plastic
products, and non-metallic mineral
products.
Cancellation of the HSR and
MRT3 are expected to have no
impact on 72% of the respondents.
Another 21% are anticipating a loss
in business opportunities, with those
from the fabricated metal products,
food, beverages and tobacco, and
plastic and plastic products industries
looking most apprehensive. 7%
responded positively, with most of
the responses from those in the food,
beverages and tobacco, as well as the
electrical, machinery and apparatus
industries.
welcome members
BIA @ fmm n jul - sep 201830
Ordinary MeMber
All Forests Product Sdn Bhd
Atlas Metal Sdn Bhd
Aureumaex Precision Plastics (M) Sdn Bhd
CAO Minerals Sdn Bhd
CDG Products Sdn Bhd
Chia Ping Food Industry Sdn Bhd
Dynavest Food Industries Sdn Bhd
Eastway Express Line Sdn Bhd
EL Aluminium Billet (M) Sdn Bhd
Erapoly Global Sdn Bhd
Foremost Cable Accessories Sdn Bhd
GN Resound (Malaysia) Sdn Bhd
GT Spice Manufacturers Sdn Bhd
Ha Li Fa Manufacturing Sdn Bhd
Hirata Fa Engineering (M) Sdn Bhd
The Federation of Malaysian Manufacturers (FMM) thrives on the active participation of its members. The involvement of our members and their staff is essential to the long-term growth of the manufacturing sector and to the primary role of the Federation.
It is with great pride and honour for FMM to welcome 74 new members, comprising 56 Ordinary Members and 18 Affiliate Members that joined the Federation from June to August 2018.
Welcome to Fmm
BIA @ fmm n jul - sep 2018 31
Lasting memories leave a lasting legacy.Building and starting a manufacturing business is an engineering feat in itself.But how did you start your factory? What were the challenges faced?Make your success an inspiration to other members of the FMM by sharing your experience with us.
HOW• EmailorWeTransferaphotoofyourfactorywhenitfirst
started production operations and a recent photo of how it looks like today.
• Pleaseincludethenameofyourcompany,thedatewhenthephotographwastaken,thephotographer’sname(ifpossible),ashorthistoricaldescriptionofthefactorylocation,whatitmanufacturedandthenumberofworkersit had.
• Sendacurrentphotoofyourproductionplanttoday.
Send your ‘Now & Then’ images to: [email protected]
Now & TheN
Hisakaworks S.E.A. Sdn Bhd
Icon Packaging Sdn Bhd
Imperia Asia Manufacturing Industries
Imperia Asia Resources Sdn Bhd
Improvage Precision Sdn Bhd
Innotech Textile (M) Sdn Bhd
J & D Supplies Sdn Bhd
JG Containers (Malaysia) Sendirian Berhad
KESM Industries Berhad
Kitapanel Wood Product Sdn Bhd
Kyodo Lanric (M) Sdn Bhd
Kyosei Seimitsu Manufacturing Sdn Bhd
L H Machine (M) Sdn Bhd
Leader Safety Glass International Sdn Bhd
Leong Hup Feedmill Malaysia Sdn Bhd
Maccaferri (Malaysia) Sdn Bhd
Master Jaya Environment Sdn Bhd
Omega Sofa (M) Sdn Bhd
Paxton Engineering Sdn Bhd
Percetakan Konta Sendirian Berhad
Professional Latex Sdn Bhd
Protection Technologies (M) Sdn Bhd
Quality Latex Products Malaysia Sdn Bhd
Richter Rubber Technology Sdn Bhd
Schott Glass (Malaysia) Sdn Bhd
Selangor Rubber Factory Sdn Bhd
Shimadzu Manufacturing Asia Sdn Bhd
Simply Packaging Sdn Bhd
Sin Choong Yan Woodwork Sdn Bhd
Strong Metal & Engineering Sdn Bhd
Supreme Asia Engineering Sdn Bhd
Tea Garden Food Supply Sdn Bhd
Totalgard Manufacturing Sdn Bhd
Totality Cosmeceutical Industry Sdn Bhd
United Imaging Healthcare (Malaysia) Sdn Bhd
UWC Automation Sdn Bhd
VK Power Automation Sdn Bhd
Wankio Industry Sdn Bhd
Winabumi Sdn Bhd
Wintage Group Sdn Bhd
Xinyi Solar (Malaysia) Sdn Bhd
affiliate MeMbers
Agensi Pekerjaan LME Management Sdn Bhd
Blinkware Technology Sdn Bhd
Commbax Sdn Bhd
ERS Energy Sdn Bhd
Evonik Malaysia Sdn Bhd
Fomnexts Sdn Bhd
Glenmarie Properties Sdn Bhd
Kayangan Mutiara Sdn Bhd
KBS Mgmt Services (M) Sdn Bhd
L & H Consultancy Sdn Bhd
Labuan IBFC Incorporated Sdn Bhd
Lofty Ambition Sdn Bhd
Oritronic Sdn Bhd
Pemandu Associates Sdn Bhd
Shearn Delamore & Co
Simitri Malaysia Sdn Bhd
Sunway City (Ipoh) Sdn Bhd
Transmarco Concepts Sdn Bhd
FMM news
BIA @ fmm n jul - sep 201832
interview petzl
PETZL Manufacturing Malaysia Sdn
Bhd was a GOLD recipient for FMM
Excellence Award (FMMEA) 2017
in Manufacturer of the Year – SMI
Category.
With the continuous support of
the Malaysia Productivity Corporation
(MPC), FMMEA Excellence Award is
considered as the industry’s crowning
glory whereby manufacturing
companies are assessed by their peers
and accorded recognition for excellence
in Leadership, People Development,
Marketing, Operations, Innovation
and Business Results. The FMMEA is
also an EXCLUSIVE award recognising
manufacturing companies.
Below we present excerpts from
the interview carried out with Eric
Vavasseur, Managing Director, PETZL
Manufacturing Malaysia Sdn Bhd (PMM).
FMM: It must have been a proud
moment for the company when it
emerged as one of the winners of
FMM’s prestigious Excellence Awards,
what have been the significant gains
in terms of recognition and status on
winning this award?
PMM: An award is the recognition of the
work which has been done. So effectively,
it made all of us very proud. However
the company continuous improvement
approach makes us to consider that this
was just a step in the company’s life.
This second FMM award (the first one
was received in 2014) proved us that our
organisation is still on a good track. More
than the award itself, we really think that
the important thing is the assessment
preparation phase, as it invites the
management team to reconsider the
company practices for improving them.
FMM: Relate on some of the key
milestones and achievements of the
company in the last five years?
PMM: The first important step was
in 2014, when the implementation
of the lean manufacturing process
was decided. It has really changed
everybody’s mind-set, leading to
a better production quality and
efficiency, as well as to the continuous
improvement concern.
Once the lean process was well in
place, and the company’s performance
became recognised at the group
level, PMM has received the mission
in 2016 to develop the complete
manufacturing of the PETZL flagship
product, the CORAX harness, which
production reaches 100,000 units a
year, the headcount had to be doubled
(from 70 to 140 persons), offering many
PETZL’s upward trajectoryClose up with PETZL Manufacturing Managing Director Eric Vavasseur
FMMea interview
BIA @ fmm n jul - sep 2018 33
job opportunities for the community
surrounding our Rawang factory.
The success of the CORAX
development and production has led
the group to decide in its 2017 midterm
plan issue to increase our factory
capacity and to saturate its production
mean.
In 2018, the company has already
increased its production surface by
50% to 2,400 sqm, and is becoming the
major sport harnesses manufacturer of
the group.
FMM: What has been the company’s
approach to modernising machinery
and the workforce in the face
of greater competition in the
marketplace?
PMM: Our main activities being made
of manual manufacturing operations,
which cannot be automated, the
company investment is oriented to the
development and training of its people.
We consider that the team spirit linked
with the communication transparency
are leading to a better quality and
continuous improvement mind-set.
FMM: As in most large enterprises
the welfare of the employee can
be paramount to productivity, how
does the company ensure their staffs
remain happy and motivated?
PMM: At PMM, we care about the
people. We have a wide range of
Human Capital Development policies
addressing team spirit and transparency.
Everybody enjoy the same benefits.
It is important to give visibility to the
people for getting their commitment,
so the regular employee meeting is the
occasion to update everybody about
the group performance, the company
production forecast, the headcount
evolution forecast, the future projects
and the company development.
FMM: In terms of business how has
the company performed in the last
few years?
PMM: The company is continuously
growing since its operations started in
2009.
FMM: Name some of the core values
that are important to the company?
PMM: Our core values are quality
and safety, transparency, continuous
improvement and team spirit.
FMM: Outline the company’s
aspirations and goals for the future?
PMM: To be the company where people
want to work in. Nothing is possible
without the employee’s satisfaction to
work for PMM.
To be the reference among the
safety harnesses manufacturers. We
have nearly reached the top, we want to
be recognised as the best.
FMM: As a member of FMM, tell us
how has your company benefitted
from joining FMM?
PMM: It is difficult to list all the
daily benefits that the company is
enjoying from FMM, but as a
recipient of the FMM Excellence
award, I can highlight how important all
the process leading to our recognition
has helped us to progress. The
application file is surely a long
journey, but the frame provided by
FMM triggers many good questions,
which are a good support for the
company improvement. I want to
salute here the quality of the
assessment team too. The
professionalism and the findings of its
members have helped us a lot.
FMM news
BIA @ fmm n jul - sep 201834
interview linaco
Linaco Manufacturing (M) Sdn Bhd was
a GOLD recipient for FMM Excellence
Award (FMMEA) 2017 in Manufacturer of
the Year – Large Category.
With the continuous support of
the Malaysia Productivity Corporation
(MPC), FMMEA is considered as the
industry’s crowning glory whereby
manufacturing companies are assessed
by their peers and accorded recognition
for excellence in Leadership,
People Development, Marketing,
Operations, Innovation and Business
Results. The FMMEA is also an
EXCLUSIVE award recognising
manufacturing companies.
Below we carry excerpts from
our interview with Joseph Ling Hwa
Ean, Managing Director, Linaco
Manufacturing (M) Sdn Bhd (LINACO).
FMM: It must have been a
proud moment for the company
when it emerged as one of the
winners of FMM’s prestigious
Excellence Awards, what have been
the significant gains in terms of
recognition and status on winning
this award?
LINACO: I like to see this as an inside
out moment. Recognition of status
from the people in the company was
the ultimate goals for us. Many have
worked in the company for years and
have no idea where the company
stands. With the award, especially
with an external party’s evaluation,
our people now acknowledge the
achievements of the company, as
well as the need for improvements in
various departments.
As much as I am proud of the
company’s achievement, my dedication
is to all the people in the company that
have made this happen. Not only are
the direct employees of the company,
but it also important that their family
members are acknowledged for their
continuous support.
FMM: Relate on some of the key
milestones and achievements of the
company in the last five years?
LINACO: Something worth celebrating
would be the exponential growth for
the company in terms of revenue and
production volumes. Over the past five
years, we had a CAGR (Compound
Annual Growth Rate) of over 30% per
year. We have also installed additional
production lines.
LINACO’s path to successClose up with LINACO Managing Director Joseph Ling Hwa Ean
FMMea interview
BIA @ fmm n jul - sep 2018 35
FMM: What has been the company’s
approach to modernising machinery
and the workforce in the face
of greater competition in the
marketplace?
LINACO: My message to the key
people in the company is this: “Any job
that can be replaced by automation,
we should look into that.” As I always
emphasize this to our people, the only
two jobs that cannot be replaced would
be decision making and emotional
sensitivity. Other than that, all jobs
should be studied for automation.
This year, we are also implementing
a full scale ERP system to improve the
efficiency and accuracy of reporting. In
the near future, we are also planning
to have more automation for our
warehouse system since the inventory
volumes have also grown.
FMM: As in most large enterprises
the welfare of the employee can be
paramount to productivity, how does
the company ensure their staff remain
happy and motivated?
LINACO: Do unto others as you would
have them do unto you. Spending
quality time with our people is vital to
hear the perspectives and understand
their needs at different life stages.
FMM: In terms of business, how has
the company performed in the last
few years?
LINACO: For the last few years, there
were challenging times especially with
raw materials and manpower supplies,
but we managed to overcome that. In
terms of growth, we have an average
growth of 30% for the past few years.
FMM: Name some of the core values
that are important to the company?
LINACO: Mr Richard Ling, my father,
and the founder of the company
practices the five D’s: discipline,
diligence, dedication, determination
and discernment.
The tagline, “He who builds himself
will himself be built” was coined by the
founder. People come first.
FMM: Name some of the challenges
faced by the company in the
marketplace today?
LINACO: Few years ago, coconuts
supply was a challenge due to its
shortage and increasing prices around
the region. Of course, today, the
scenarios have changed. Coconuts are
in abundance for the past six months
and the marketplace is now flooded
with low-priced products which comes
as a challenge for us to maintain the
quality and services for our clienteles.
Adulterated products are also a risk
in the marketplace today.
FMM: Outline the company’s
aspirations and goals for the future?
LINACO: We aspire to operate two to
three factories by year 2020. Currently,
we are expanding a factory in Indonesia
with a partner there as part of our plan
for diversification of supply and market.
As for Malaysia, we want to increase
the utility of our 80 per cent operating
plant in Batu Pahat to 100 per cent. We
also want to contribute at least 10% or
more of profits to charity.
FMM: As a member of FMM, tell us
how has your company benefitted
from joining FMM?
LINACO: FMM, with the various network
and diverse members, broadens
the perspective of any participating
members, including LINACO. The
seminars, networking sessions, updates
and gala dinners have benefitted our
people a lot in these events.
FMM news
BIA @ fmm n jul - sep 201836
head office
In conjunction with the 50th
Anniversary Year celebrations, the
Federation of Malaysian Manufacturers
(FMM) organised an En-Bloc Signing
Ceremony of the Malaysian Anti-
Corruption Commission (MACC)
Corruption Free Pledge or known as
IBR (Ikrar Bebas Rasuah), which was
held concurrently nationwide on
July 2, 2018.
The event was held to mark
the milestone celebration and
more importantly, to reinforce the
manufacturing sector, in particular,
FMM members’ commitment towards
a business environment built on the
tenets of transparency, integrity and
corruption-free practices.
The event was held at the Petaling
Jaya Hilton Hotel and was graced by
the MACC Deputy Chief Commissioner
(Prevention), Dato’ Shamshun Baharin
Mohd Jamil, who delivered the keynote
address and witnessed the signing of
the pledge by some 50 FMM members.
The En-Bloc signing ceremony were
held concurrently at FMM branches
- Penang, Perak, Negeri Sembilan,
Malacca, Johor, Pahang (Eastern),
Sarawak and Sabah.
FMM En-Bloc Signing of Malaysian Anti-Corruption Commission Corruption Free Pledge (Ikrar Bebas Rasuah)
BIA @ fmm n jul - sep 2018 37
FMM Supply Chain Conference 2018 on “Belt and Road Initiative: Capitalising on China’s Vision of Connectivity”
The conference which was held on April 19, 2018 at the Royale
Chulan Damansara Hotel in Petaling Jaya drew a good turnout
with 80 attendees.
Themed on “Belt and Road Initiative: Capitalising on
China’s Vision of Connectivity,” the conference espoused a
number of broad objectives, namely:
(i) Share updates on Belt and Road Initiative (BRI) and
its effects on Malaysian Government policies on
transportation;
(ii) Learn implications of BRI on movement of goods and
services;
(iii) Gain knowledge on how companies can transform their
supply chain business networks to adapt to BRI;
(iv) Explore financing opportunities for BRI-link projects;
(v) Networking opportunities with industry leaders and supply
chain professionals.Dato’ Soh Thian Lai, FMM President in delivering his welcome remarks
head office
FMM Industrial Waste Management Conference 2018
The conference which was held in Royale Chulan Damansara Hotel on May 15, 2018 drew a strong turnout totalling 220 participants.
The objectives of the event were to:
(i) Provide updates on Self-Regulation Programme with Environmental Mainstreaming Tools from Department of Environment
(DOE);
(ii) Provide information on techniques and skills for a highly effective certified environmental professional or competent person;
(iii) Share best practices and technologies on reducing and recycling industrial scheduled waste, air emission and effluent; and
(iv) Networking opportunities with industry leaders, invited guests and participants.
Ir A K Woo (third from left), FMM Council Member and Chairman of FMM CSR & Crisis Relief Committee moderating the session
Participants visiting one of the exhibits at the conference
FMM news
BIA @ fmm n jul - sep 201838
SMi & entrepreneur newS
Visit to German Malaysia Institute (GMI)A highly informative visit was made to the German Malaysia
Institute (GMI) on April 19, 2018 which provided insights into
the machinery and equipment being used in different forms of
manufacturing.
The delegation comprising of 58 participants from 32
companies was led by Dato’ Dr Ir Andy Seo, FMM Vice President
& Chairman, FMM SMI Working Committee as well as members
of the working committee.
Objectives included:
a) To view GMI’s labs, in particular, machinery and equipment
for fabrication and precision machining and contract
manufacturing as well as technical & consultancy services;
b) To understand GMI’s training and development programmes
and facilities.
Pocket Talk by Export-Import Bank of Malaysia Berhad (EXIM Bank) on Insurance Credit & Credit FinancingInsurance matters and credit financing were some of
the central topics covered in a talk held on May 23,
2018.
The objectives were to:
a) Provide updates to members on insurance credit
and credit financing under 2018 National Budget
allocations through the EXIM Bank;
b) Provide platform for members to network with
EXIM Bank’s persons-in-charge of insurance credit
and credit financing.
FMM was represented by Kenny Tan, Vice-Chairman,
FMM SMI Working Committee. The talk drew 22
participants from 18 companies.
FMM delegation to SIRIM QAS International Sdn Bhd, led by Dato’ Dr Ir Andy Seo, FMM Vice President & Chairman FMM SMI Working Committee
In order to get a first-hand view of
SIRIM’s test labs, a visit was arranged on
June 25, 2018 led by Dato’ Dr Ir Andy
Seo, FMM Vice President & Chairman,
FMM SMI Working Committee.
Judging from the size of the groups
there was great interest generated by
the visit. A total of 105 participants
took part, with 62 joining the morning
session and 43 in the afternoon. The
participants represented 48 companies
in total.
Visit to SIRIM QAS Testing Facilities
The purpose of visiting the eight
testing labs were as follows:
a) To receive updates on SIRIM QAS’
testing facilities;
b) To provide contacts and networking
platform for SIRIM QAS test labs
personnel and members;
c) To provide platform for members
to understand test procedures as
well as to highlight issues faced
with testing directly to SIRIM QAS
for continuous improvement,
including types of tests required by
companies.
BIA @ fmm n jul - sep 2018 39
Courtesy visit by new MIDA Kedah/Perlis Director MIDA’s directors visited FMM Kedah/Perlis Branch office
on June 12, 2018 in an effort to create rapport with FMM
Branch as well as to get feedback on any issues faced by
members. The officials were Harun Elik, Director and Anor
Ardi, Assistant Director of MIDA.
Courtesy visit by Industry Training Institute (ILP) & ADTECH The visit took place on June 26, 2018 at the FMM Kedah/
Perlis Branch office. Aside from building good rapport
with the FMM Branch, it also aimed to explore future
collaboration on joint training stints for FMM members.
Furthermore, they offered Dual National Scheme Training
(SLDN) to members.
The visiting officials were Muhamad Nasir Samat,
Director ILP Kangar, Zulkifle Omar, Director ADTECH Kulim
and Ahmad Iskandar Sulaiman, Director ILP Jitra.
Courtesy Visit by Netherland Foreign Investment Agency (NFIA)The visit by the agency on June 13, 2018 to the FMM Kedah/
Perlis Branch office was meant to brief the Branch on NFIA
functions and explore members’ interest to do business in
Netherlands, as the entry point to Europe.
The NFIA is looking for potential investors in maritime
industry, automotive, commodity, medical disposable,
chemicals, among others. Agnes Seah represented NFIA.
HR/IR ForumThe talk was held at the FMM Kedah/Perlis office on April 5,
2018. Helmed by Heng Poh Suan, FMM HR/IR advisor it was
aimed at updating and discussing with HR/IR practitioners
among industries on the latest Industrial Court awards and
other pertinent HR/IR related issues. 31 participants from 23
companies attended.
Kedah/perliS
The Penang Branch Committee
made a courtesy call to B Braun
Medical Industries Sdn Bhd on May
23, 2018 as part of their ongoing
campaign to build rapport with
member companies.
The visit was led by Geh Cheng
Hoe, FMM Penang Island Office
Chairman together with 15 Branch
Committee members.
The delegation was received by
Kellie Kuah, Senior Manager Human
Resources and Teresa Huan, Senior
Manager Corporate Communication,
B Braun Medical Industries Sdn Bhd.
FMM Penang Branch Committee visit to B Braun Medical Industries Sdn Bhd
FMM delegation group photographed with representatives from B Braun Medical Industries Sdn Bhd
penang
FMM news
BIA @ fmm n jul - sep 201840
penang
The visit to the Department of Environment Penang took
place on June 12 and was led by Kew Chii Shiang, ESH
Sub-Committee Chairman. He was joined by Tan Leng
Hock, ESH Sub Committee Deputy Chairman II and Rose
Kuan Yoke Lean, FMM Branch Committee Member.
Also present were Aziz Parmin, Acting Director DOE
Penang, Pravin Segaran, Assistant Director, DOE Penang
and Nor Juliana, Assistant Director, DOE Penang.
The objective was to further explore areas of
collaboration between DOE Penang and FMM Penang
Branch that would be beneficial for FMM Penang members.
FMM Penang Branch Environment, Safety & Health (ESH) Sub-Committee visit to Department of Environment (DOE) Penang
Group photograph of ESH Sub-Committee members with DOE officers
FMM HR/IR Forum & Clinic SessionThe forum held at the FMM Seberang Jaya office on April
6, 2018 was aimed at providing the latest updates on recent
industrial court awards. It was helmed by Heng Poh Suan,
FMM HR/IR advisor and attended by 25 participants.
Taxation on Foreign Workers & Employer ResponsibilitiesA briefing was held at the Seberang Jaya office on April 18,
2018 in collaboration with the Inland Revenue Board (IRB)
to help members understand taxation matters on foreign
workers and employer’s responsibilities. 53 participants
attended.
Employment Act 1955The seminar was held at the Sunway Hotel in Seberang
Jaya on April 24, 2018 to help members understand the
Employment Act 1955. Helmed by Ewe Kheng Hoon with 14
members in attendance.
uCustoms: National Customs Systems for Import/Export Clearance The seminar was staged at the Light Hotel on May 15, 2018
with 23 participants attending. The purpose was to enlighten
members on the latest customs procedures and systems.
Cost Accounting Techniques for Cost Monitoring and ControlThe seminar was held at the Eastern & Oriental Hotel
on May 14, 2018 to help members understand the cost
behaviour and key techniques and principles in cost
control. The speaker was Kenneth Tam Fook Cheong. Eight
members attended.
BIA @ fmm n jul - sep 2018 41
Mohamed Ali Haji Mydin, CEO of PSDC explaining the terms of their collaboration proposal
Collaboration Meeting with Penang Skills Development Centre (PSDC)The meeting was held on May 24, 2018 at the FMM Perak
Branch office to discuss on the collaboration proposal
between FMM and PSDC. It was chaired by Mohamed Ali Haji
Mydin, CEO of PSDC and Edmund Wong, Chairman of FMM
Perak SMI Sub Committee.
peraK
Luncheon Networking Session with PSMB (Human Resources Development Fund) Perak and Industries in Perak
Mohd Zulkifly Ahmad Rashidi, Manager PSMB Perak facilitated presentation on roles and functions of PSMB
The luncheon networking
session was held on June 27,
2018 at the FMM Perak Branch
office to foster closer rapport
between PSMB, Perak Branch
and industries in Perak.
The speakers included
Mohd Zulkifly Ahmad Rashidi,
Manager and Letchumidevi
Giravalu, Executive, PSMB
Perak. 31 participants from 16
companies attended.
Participants at the talk
Company’s Insurance - Know Your Rights & Its HazardsThe talk held on April 20, 2018 at the FMM Perak Branch
office was aimed at briefing participants on common errors
found in insurance policy and ways to avoid it.
The speaker was Sam Wong, Senior Consultant, who
briefed the 34 attendees from 20 companies.
Get Connected to Two Prestigious Universities, UTAR & UTP for your R&D, Special Projects & Internship TrainingA briefing was held on May
15, 2018 at the FMM Perak
Branch office in an effort
to bridge the industry to
the universities so as to
explore possible projects and
collaborations.
The featured speakers
were Prof. Ir Dr Mohd Shahir
Liew, Deputy Vice Chancellor,
R&D, University Teknologi
Petronas and Dr Lau Lin Sea, Assistant Professor/Deputy
Dean R&D, UTAR. Also present was Dato’ Gan Tack Kong,
FMM Perak Chairman. 40 participants from 22 companies
attended.
Prof. Ir Dr Mohd Shahir Liew facilitated presentation on services available from UTP
FMM news
BIA @ fmm n jul - sep 201842
Selangor
FMM Selangor ‘Nite 2018
It was a night to remember and recall as members, guests
mingled and enjoyed the camaraderie at the Setia City
Convention Centre on June 27, 2018.
The attendance totalling some 850 invitees included
Selangor State Executives, FMM President, FMM immediate
past President as well as FMM Council members. The guest
of honour was YB Dato’ Teng Chang Khim, Selangor State
Executive Councillor for Investment, Industry & Commerce,
Small & Medium Enterprises (SME).
The joyous occasion gave many the chance to
celebrate, network and enjoy some good entertainment .It
was also an excellent opportunity to entertain valued existing
clients, network with prospective customers and generate new
business contacts.
Group photograph with VVIPs Token of appreciation to YB Dato’ Teng Chang Khim
Clement Arul, Managing Director of Kaapagam Education Services Sdn Bhd sharing his expertise with FMM members
In an age when cyber theft has become commonplace the
briefing on cyber security was timely. Held at the Concorde Hotel,
Shah Alam on April 24, 2018 it was attended by 45 participants.
Speaking on the topic was Clement Arul, Managing Director
of Kaapagam Education Services Sdn Bhd. The aim of the briefing
was to increase the awareness of cyber security amongst FMM
members.
It also focussed on the risks and threats associated and
provided solutions for increased cyber security. Also some policies
were shared on how to enhance cyber security environments.
Cyber Security Awareness: Prevention, Threat Detection and Live Response by Vigilant Asia Sdn Bhd
A visit was made by seven members of
the Selangor Branch to the Department
of Occupational Safety and Health
(DOSH) Selangor on May 14, 2018 in
an effort to establish good rapport and
support between FMM Selangor and
DOSH. The visit was hosted by Mohd
Anuar Embi, Director of DOSH Selangor.
Branch Courtesy Call to DOSH Selangor Director
Mohd Anuar Embi, Director of DOSH Selangor (6th from left) receiving a souvenir from Wong Soo Kan, Chairman of Branch Industrial Safety, Health & Environment Working Committee (5th from left)
BIA @ fmm n jul - sep 2018 43
negeri SeMbilan
The programme was co-organised by the Majlis Perbandaran Nilai (MPN) & Jabatan Kemajuan Masyarakat NS (KEMAS) on April
15, 2018 at the Sekolah Kebangsaan Mendum, Kampong Sungai Bunga, Lenggeng.
FMM was led by Siti Aminah Tan, FMM NS CSR Working Committee Chairman. 13 FMM members attended.
CSR programme with community in Lenggeng - “Jalinan Mesra Bersama Masyarakat Lenggeng”
Local community having their health check provided by FMM affiliate members, Mawar Medical Centre and NSCMH Medical Centre
Group photograph with local community
Group photograph together with Zetty Hamimi Zakaria, Director of MIDA Negeri Sembilan (2nd from left)
Courtesy call cum briefing by MIDA NS The visit was made by MIDA led by Zetty Hamimi
Zakaria, Director of MIDA Negeri Sembilan on May
30, 2018 to FMM Negeri Sembilan Branch office. It
also included a short briefing on MIDA’s facilities and
incentives.
FMM was represented by Steven Aroki, Branch
Committee Chairman. 11 participants attended.
Courtesy call to YAB Tuan Aminuddin Harun, Menteri Besar Negeri SembilanThe Branch’s delegation was led by Steven Aroki, Branch
Committee Chairman to Pejabat Menteri Besar, Wisma Negeri on
June 5, 2018.
Group photograph together YAB Tuan Aminuddin Harun, Menteri Besar Negeri Sembilan (2nd from left)
FMM news
BIA @ fmm n jul - sep 201844
EPF Scheme Enhancement Initiatives: What you Need to KnowA briefing was held at the Malacca Branch office on May 14, 2018 to update members on EPF’s schemes. The speaker was Muhd
Fizry Yusuf, Head, Contribution Division, EPF Melaka. Also present was Mohd Dali Jasmin, Melaka State Director. 13 participants
from 10 companies attended.
MelaKa
Seminar on Industry 4.0This seminar held in June 24, 2018 at the Malacca Branch office was to create awareness on Industry 4.0. 24 participants from 10
companies attended.
The speakers were Chai Kim Chen, Director, CTI Resources Sdn Bhd, Chee Yih Tzuen, Group GM for IT, Top Glove Sdn Bhd,
Prof Hew Gill, Associate Provost, Sunway University and Azhar Md Nayan, Technical Advisor, PSDC.
negeri SeMbilan
Group photograph of the participants, together with DOSH Negeri Sembilan
FMM NS fishing cum networking session with DOSH NSFishing was the highlight of a networking session held on April
7, 2018 at the Hj Ismail Agropark in Seremban. The occasion
provided a good opportunity for FMM NS Safety, Health &
Environment (SHE) Committee to touch base with Department
of Occupational Safety and Health (DOSH) officers. Present was
Khairil Mohd Tahir, Deputy Director DOSH NS. 19 members and
officials from FMM and DOSH took part.
Negeri Sembilan World DOSH Day 2018 celebrationA handing over ceremony of the occupational health and
safety mandate to FMM was carried out on April 27, 2018
at the Department of Occupational Safety Health NS
office in Seremban.
Thus, the mandate of the Director General of DOSH
was passed to FMM as a representative of manufacturing
industries in Negeri Sembilan.
FMM was led by Radzi Abdul Rashid, FMM NS SHE
Committee Chairman. Also present was Tuan Hj Izani
Mohd Zain, Director of DOSH NS.
Handing over ceremony by Tuan Hj Izani Mohd Zain, Director of DOSH NS to Radzi Abdul Rashid, FMM NS SHE Committee Chairman
BIA @ fmm n jul - sep 2018 45
Business Talk with Iskandar Halal ParkThe briefing held on May 15, 2018 at the Katerina Hotel in
Batu Pahat was aimed at creating a business networking
platform for members in central and north Johor.
Co-organised with UMLand-JBiotech Park Sdn Bhd, the
briefing was helmed by Tuan Hj Rozano Yahaya, Director of
MIDA Johor and Ahmad Lokman Ibrahim, CEO of Iskandar
Halal Park. 15 members attended.
johor
The branch delegation presented the FMM plaque to YB Jimmy Puah during the courtesy call
Courtesy Call on YB Jimmy Puah Wee Tse, Johor State Executive Council (EXCO) for Investment and UtilitiesThe visit to the EXCO office in Kota Iskandar on June 4, 2018
was firstly, to build rapport with the new State EXCO in charge
of investment and utilities of Johor.
Secondly, it was aimed at sharing current issues and
problems affecting manufacturers in relation to industrial
leasehold and internet connections. Capt (R) Hj Abdullah
Shariff, Branch Committee Chairman, led the four-man
delegation.
The branch delegation presented the FMM plaque to YB Dr S Ramakrishnan during the courtesy call
Courtesy call on YB Dr S Ramakrishnan, Johor State Chairman of Consumerism, Human Resources and Unity CommitteeThe visit to the Johor EXCO office on June 11, 2018 was
firstly, to discuss on issues relating to foreign workers
management in the state. Secondly, it aimed at creating
a better relationship with the state EXCO. Capt (R) Hj
Abdullah Shariff, Branch Committee Chairman, led the
delegation.
FMM Johor Branch Committee visit to Smiths Detection Malaysia Sdn BhdThe visit on April 23, 2018 to Smiths Detection Malaysia
Sdn Bhd was to foster closer ties with member companies.
Leading the Branch Committee members was Capt (R) Hj
Abdullah Shariff, Branch Committee Chairman.
FMM news
BIA @ fmm n jul - sep 201846
In conjunction with the 50th Anniversary
of the Federation of Malaysian
Manufacturers, FMM Eastern Branch
organised its inaugural annual dinner
themed ‘Black & Gold’ on Friday, July
20, 2018 at Vistana Hotel, Kuantan.
Over 150 guests attended this
dinner, networked and celebrated
achievements of the members in
the Eastern region. YB Abdul Rahim
Muda, Chairman Local Government &
Housing Committee Pahang, graced the
occasion.
Azli Haji Norali, FMM Eastern Branch
Committee Chairman in his Welcome
Address urged the State Government
and the necessary government bodies
and agencies to review the conditions
of water supply in the State of Pahang
and work on action for improvement in
ensuring an uninterrupted water supply
in avoiding plants’ shut down and
interruptions to production.
Meanwhile, Dato’ Soh Thian Lai,
FMM President, in his speech, hoped
the State Government to ensure that
all industrial estates are well equipped
and able to operate in a modern,
easily accessible, safe and sustainable
environment with access to quality and
affordable high speed broadband. He
further said that the State Government
should also lower the cost of investment
by reducing land premium, including
conversion premium for industrial land
and hoped that the State Government
would allocate adequate funds
annually to facilitate the upgrading
of infrastructure and maintenance of
facilities in industrial parks.
The highlight of the dinner was when
the following were awarded during the
dinner:
FMM Long Serving Committee
Member
1) Soo Lik Heng
2) Ahmad Kamari Nordin
FMM Long Membership Award
FPG Oleochemicals Sdn Bhd
FMM Special Achievement Award -
International Quality and Productivity
Award For 2017
BI Technologies Sdn Bhd
Award In Recognition of Support
Towards FMM Eastern Branch Training
for Programmes 2017/2018
Kaneka (Malaysia) Sdn Bhd
FMM Eastern Branch Inaugural Annual Dinner 2018
eaStern
The six recipients after receiving their awards from YB Abdul Rahim Muda, Dato’ Soh Thian Lai and Azli Haji Norali
Dato’ Soh Thian Lai, FMM President delivering his speech at the dinner
Azli Haji Norali, FMM Eastern Branch Chairman presenting the Welcome Address
YB Abdul Rahim Muda, Guest of Honour presenting the keynote address
BIA @ fmm n jul - sep 2018 47
SarawaK
FMM Sarawak pays courtesy call to Dato’ James Chan Khay Syn, Mayor of Majlis Bandaraya Kuching Selatan (MBKS)
Tuan Haji Othman Abdul Rani (4th left), Branch Committee Chairman presenting a souvenir to Dato’ James Chan (3rd left), MBKS Mayor
A five-member delegation from FMM
Sarawak led by Tuan Haji Othman Abdul
Rani, Branch Committee Chairman, visited
YB Datuk Talib Zulpilip, Minister in the
Chief Minister’s Department (Integrity &
Ombudsman) on June 25, 2018.
The purpose was to brief the Minister
on the objectives of the En-Bloc Signing
Ceremony of the Malaysian Anti-Corruption
Commission (MACC) Corruption Free
Pledge (Ikrar Bebas Rasuah) that was
eventually held nationwide concurrently on
Monday, July 2, 2018.The minister (3rd left) listening to FMM Sarawak delegation
Sabah repreSentative office
Taxation on Foreign Workers’ IncomeA briefing was held on April 12, 2018 at the FMM Sabah Representative Office to discuss the matter. Helming the talk were
Muliadi Mohtar, Deputy Director, LHDN Kota Kinabalu, Sabah and Norliah Omar, Deputy Director, LHDN Kota Kinabalu, Sabah.
Attended by seven participants it was held with the purpose of addressing the following:
a) To brief employers about tax compliance and treatment on foreign workers income;
b) To brief employers on their responsibilities to notify IRB on new workers and cessation of employment, making monthly tax
deductions for workers with tax liability and obtaining tax clearance prior workers leaving the company and country.
A FMM five-member delegation led by Chairman, Tuan Haji Othman Abdul Rani met Dato’ James Chan Khay Syn, Mayor of
Majlis Bandaraya Kuching Selatan (MBKS) on June 11, 2018.
The purpose was to invite the Mayor as the VIP for the FMM Sarawak Run 1.0 scheduled to be held on October 28, 2018.
FMM Sarawak pays Courtesy call to YB Datuk Talib Zulpilip, Minister in the Chief Minister’s Department (Integrity & Ombudsman)
travel
BIA @ fmm n jul - sep 201848
Golf TourinG in Tasmania
By david bowden
While many visitors to Australia consider
it as a continent of just one island, the
reality is that there are many islands
surrounding the main island with
Tasmania being the best-known island
from the mainland.
Tasmania is deceptive and while it
looks small, a one-week holiday here
will barely scratch the realms of travel
possibilities. Tasmania’s colourful history
saw it settled as a penal colony and
over the years, it has attracted people
who have specifically chosen one of the
remotest parts of the civilised world as
their new home.
Golfers benefit from all of this
including the opportunity to be part of
history and play on one of the world’s
oldest golf courses. In addition, they
can play some 80 courses including two
of the world’s most acclaimed public
golf courses at Barnbougle, be part of
history in playing Ratho, and by visiting
King Island and taking up the challenge
of two new links-styled courses.
A week-long trip could include -
flying into Hobart to play Royal Hobart,
hire a car and drive to Bothwell to play
Ratho, head north to Launceston for
the Country Club Resort, to Bridport to
play the Barnbougle courses, fly to King
Island to golf on the two links courses,
and then fly direct from King Island back
to Melbourne.
In addition to the golf, Tasmania
offers some of the world’s finest
seafood, excellent wines, luxurious
lodges, and magnificent restaurants
serving the freshest local produce.
Historic Hobart
Hobart is Australia’s smallest capital
with just 220,000 residents but this
makes it easy to get around. In
addition to playing golf, dining in the
seafood restaurants around the docks
is recommended as is visiting the
Salamanca Market every Saturday and
the sensational Museum of Old and
New Art (MONA).
BIA @ fmm n jul - sep 2018 49
Seductive Seafood, operated by Pennicott Wilderness
Journeys is an indulgent day on the water. Tours head to Bruny
Island to satisfy the cravings of every seafood lover. Regular
stops are made as divers who crew the boat, dive the pristine
waters to haul up fresh marine life for a seafood indulgence of
salmon, sea urchin, oysters, abalone, and rock lobster washed
down with Tassie premium wines, craft beers, and ciders.
HigHland Fling
Tasmania’s Central Highlands are situated just north of Hobart
and the agricultural landscape and lakes look like the Scottish
Highlands. Bothwell is home to the oldest golf course in the
Southern Hemisphere (historians also consider it the oldest
remaining course outside of Scotland). Scottish settlers settled
here, brought the white ball game with them, and established
a course on Ratho Farm in the 1830s.
This rural course still has greens that are fenced off so
that sheep can graze the fairways. On-site accommodation is
available in several fully restored colonial farmhouse buildings
and meals are taken in the old homestead.
taming tHe tamar
The Country Club Resort offers full leisure facilities along with
its 18-hole championship golf course. Visitors can also stay in
the on-course accommodation and dine in the restaurant as
well as play tennis and ride horses.
Visitors to the Tamar Valley can enjoy more than the
golfing greens with the red and white wines as appealing.
A well-signposted wine route meanders northwards from
Launceston to include wines from Jansz, Bay of Fires, Josef
Chromy, Dalrylmple and Holm Oak wineries known for Pinot
Noir, Riesling, Chardonnay and Sauvignon Blanc wines.
Visitors to Launceston should also dine in the exciting
Geronimo Aperitivo Bar and Restaurant in Charles Street
with its inviting wine list plus creative dishes such as scallop
ceviche, sardines with capers, wood-fired pizza with speck and
Brie plus chocolate and beetroot torta.
The nearby town of Evandale where the airport is located
is worth visiting on Sunday morning for the market and
any time of the week for the Tasmanian Gourmet Sauce
travel
BIA @ fmm n jul - sep 201850
Company where enthusiastic owner
Tim Barbour is happy to share his all-
Tasmanian products such as raspberry
and blueberry sauce and show visitors
around the picturesque gardens.
coastal links
Bridport, located one-hour northeast
of Launceston, is the closest town to
the two Barnbougle courses of the Lost
Farm and Dunes, considered two of the
world’s best links courses.
Barnbougle Dunes Golf Links and
Barnbougle Lost Farm are next to each
other, and small aircraft fly across Bass
Strait from Melbourne for golfers to play
a round.
Malaysian golfers will enjoy relaxing
onsite after their game and staying in
the resort that adjoins Lost Farm and
dining in the restaurant perched above
the 15th fairway.
Lost Farm has 20 holes as the
designers found it too challenging to
drop two from their original layout.
While 13A and 18A are considered the
extra holes many golfers play all 20
and eliminate the two worst holes from
their card. Winds along the exposed
wilderness coastline of Anderson Bay
come into play on both courses.
king oF tHe islands
The most exciting golfing news to
come out of Tasmania (for that matter,
Australia) is the opening of two links-
styled courses on King Island. The island
is located in the wild and windy Bass
Strait that separates Tasmania from the
Australia mainland. King Island, three
times bigger than Penang but with a
population of 1,700 residents and tens
of thousands of wallabies, is the most
unlikely place for these two courses.
Hole number four on Ocean Dunes
is one of the wildest holes in golf
and while just 125m-long, golfers hit
across an open chasm of water into the
onshore breeze.
Cape Wickham in the island’s far
north, has an equally dramatic coastline
dominated by the Cape Wickham
Lighthouse.
Tasmania is deceptive in looking
small but packed full of exciting
activities, events and destinations.
Golfers are advised to head Down
Under before the word gets out and the
queues start forming.
Travel linksGetting ThereThere are no direct international flights into Tasmania with Malaysia Airlines (www.malaysiaairlines.com) offering connections via Sydney or Melbourne to Hobart in the south and Launceston in the north of the island.
Getting AboutIt is a good idea to fly into Launceston and out of Hobart or vice versa or fly direct from Melbourne to King Island and then onto Tasmania should you want to include King Island in your golfing itinerary. Virgin, Jetstar and Tiger fly from the mainland to Tasmania while Sharp Airlines (www.sharpairlines.com) flies to King Island from Essendon Airport (Melbourne) as well as Launceston and Burnie in Tasmania. Sharp Airlines can also arrange charter flights for groups of golfers. Hire a Redspot (www.redspot.com.au) rental car in Tasmania and use the services of King Island Discovery Tours (www.kingislanddiscoverytours.com.au) for transfers and tours.
ContactsBarnbougle Dunes (www.barnbougledunes.com.au), Barnbougle Lost Farm (www.barnbougle.com.au), Cape Wickham Links King Island (www.capewickham.com), Ocean Dunes King Island (www.oceandunes.com.au), Ratho Farm (www.rathofarm.com) and Tasmania Tourism (www.tourismtasmania.com).
data informer
BIA @ fmm n jul - sep 2018 51
According to a report filed by Bernama,
the national news agency, published in
the New Straits Times on April 4, 2018,
Malaysia is predicted to be among the
top-25 economies in the world in just
over three decades’ time.
Malaysia, a medium-sized economy,
is expected to improve its ranking to be
the 24th largest in the world by 2050,
stated the report.
PwC Malaysia Managing Partner,
Sridharan Nair, quoted in the report,
said Malaysia, already in the 27th
position in terms of gross domestic
product (GDP) contribution to the
global economy, needed to invest in
technology and education to further
improve its ranking.
“Malaysia has a reputation for being
pro-business and pro-investment,” he
told Bernama during the 2018 Asia-
Pacific Council of American Chambers
of Commerce (APCAC 2018) Business
Summit in Kuala Lumpur.
Malaysia’s economy would be on
a steady growth path over the next 20
years, he said, adding that it would still
do well despite some short-term ups
and downs, as would be expected from
a growing and emerging economy.
He said Malaysia has always been a
trade and investment-friendly country
with ease of doing business.
However, according to Nair, Malaysia
would need to tackle the issue of wage
increase in tandem with the higher
economic growth of the country in order
to be able to effectively benefit the man
on the street.
While Vietnam and Indonesia might
rank higher in the global economy in
terms of their contributions to the GDP
due to the size of their population, he
said, Malaysia was still doing well for a
medium-sized economy.
During his presentation on ‘The
Asian Century, but which Asia?’ at the
annual summit hosted by the American
Malaysian Chamber of Commerce
(AMCHAM) Malaysia, Nair said, the
emerging seven economies (Mexico,
Brazil, Turkey, India, Russia, China and
Indonesia) were projected to dominate
the world’s top 10 economies in 2050.
Southeast Asia, he said, currently
captured high value-added US
investments.
“Southeast Asia’s strategic
geographical location is advantageous
to serve as an economic platform for
Asia-Pacific and the rest of the world,”
he added.
Nair said by 2050, China would be
the world’s biggest economy, followed
by India with Indonesia the world’s
fourth largest economy.
AMCHAM President, Ramzi
Toubassy, said it was clear that despite
current trade tensions between China
and the United States, Asia was set to
dominate the international economy in
a matter of years.
“Asia’s share of global GDP is
expected to grow from 30 per cent in
2016 to over 50 per cent by 2050,” he
commented.
Malaysia projected to becoMe top-25 econoMy by 2050The country needs to invest more in technology and education to improve its ranking
event calendar
BIA @ fmm n jul - sep 201852
FMM TRADE FAIRS AND TRADE MISSIONS
FMM upcOMINg EvENTSDate
Oct 3
Oct 9
Oct 29 – Nov 3
Location/Venue
Royale Chulan Seremban
Sunway Pyramid Convention Centre
Tokyo, Japan
eVent
FMM Negeri Sembilan 9th Annual Dinner
FMM 50th Annual Dinner
FMM LEAN Management Study Mission
traDe fair
ASEAN Logistics &
Warehouse
Concurrent Show: ASEAN Cold Pharma Chain
Welding Korea &
TCT Korea
BuildTech Asia
Fashion World Tokyo
Kaohsiung Food Show
World Food
Kazakhstan
Secutech Thailand
Foodex Saudi
HEAL Expo
Metalex Thailand
Food Week Korea
Vietnam International
Machinery Fair
target profiLe
Cold chain, logistics and warehouse
Welding, cutting, 3D printing & additive
manufacturing
Construction
Fashion wear, bag, shoe, jewellery
Food & beverage
Food & beverage
Security products and applications for smart & safe
city, fire & safety and smart living
Food & beverage
Smart green food chain & lifestyle
Machine tool and metal working technology
Food & beverage
Machinery
Date
Oct 12 – 15
Oct 16 – 19
Oct 22 – 24
Oct 22 – 24
Oct 25 – 28
Oct 31 – Nov 2
Nov 8 – 10
Nov 12 – 15
Nov 21 – 23
Nov 22 – 24
Nov 28 – Dec 1
Dec 12 – 14
Location/Venue
Bangkok, Thailand
Changwon, South Korea
Singapore
Tokyo, Japan
Kaohsiung, Taiwan
Almaty, Kazakhstan
Bangkok, Thailand
Jeddah, Saudi Arabia
Hong Kong
Bangkok, Thailand
Seoul, South Korea
Ho Chi Minh City, Vietnam
For more information, please contact Leow Sze Yin at [email protected] or Koh Wee Leng at [email protected]
For more information, please visit www.fmm.org.my