business in action - fmm.org.my (Jul Sept 2018).pdf · jul - sep 2018 VOl 3/2018 KDN NO.PP 16730/08/2012 (030376) business in action + Upskilling Employees With skills shortage sharpening

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


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


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


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


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.


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


Shapingthe world

3D printing technology revolutionises product design like never before


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


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.


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


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


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


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


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


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%


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


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


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


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


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


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


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


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)


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


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.


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


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.


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


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)


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


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


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


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


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


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).


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


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


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


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

business in action - fmm.org.my (Jul Sept 2018).pdf · jul - sep 2018 VOl 3/2018 KDN NO.PP 16730/08/2012 (030376) business in action + Upskilling Employees With skills shortage sharpening

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