ENT 300 individual ( speed mart case study) PDF

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Mandatory individual assigment for A1 case study where we need to researh about a big and small company or your own company for subject ent 300...

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FUNDAMENTALS OF ENTREPRENEURSHIP (ENT 300) FACULTY IN BUSINESS AND MANAGEMENT DIPLOMA IN BANKING (BA119)

NAME OF BUSINESS: 99 SPEEDMART MINI MARKET

PREPARED BY : NOR AZZA ATHIRAH BINTI MUIN CLASS: ENT300 G11

PREPARED FOR: MR SUALI @ SUHAILI BIN BAKRIN

TABLE OF CONTENT

SUBJECT

PAGES

1) EXECUTIVE SUMMARY

1

2) BUSINESS DESCRIPTION

2-3

3) ENTREPRENEUR COMPETENCIES

4-9

4) APPENDICES

10

5) REFERENCES

11

EXECUTIVE SUMMARY

The purpose why I choose to study the founder of 99 Speedmart Mini market, Mr lee Thiam Wah is because I want to inspire myself to became a successful entrepreneur without think that your disability become your obstacle to success in life. According to the research I study about Mr lee, he discover as a disability person, diagnose

poliomyelitis, a disorder of the central nervous system, and at the age of

eight months. Hence,for the rest of his life he need to use a wheelchair to helped for him to move. Mr Lee started open his first store( Pasar Raya Hiap Hoe in 1987)

after selling

with snack on the sidewalk. He managed to raise a saving of Rm 17 000 when he was just 23 years old. After that, Lee sold his business (Hiap Hoe Supermarket) for RM38,000. He later set up the 99 mini market in Klang Utama. This establishment is the first step he took in realizing his vision and dream to build an integrated supermarket chain. In 2000, Lee rename his mini market to 99 Speedmart. Moving on about Mr Lee history life research, I also study what is the another

key

for Mr Lee success. According to my research, I found that Mr lee use to choose a strategic location to build his Market which is he choose to build his branch at housing area. He choose to grab this opportunities because all we know the at the housing area many people living such as married couple, working people and kids. Mr lee know that people like them especially the housewife don’t want to go far market to buy their groceries. Other than that, Mr Lee also use the entrepreneur competencies as their guideline such as he choose a good brand supplier to supply his groceries product, he also manage to fulfill his customer need with reasonable price product. Next, he also opened his another branch market at another state in Malaysia and he also started to open his international branch at Singapore.

1

1.COMPANY BACKGROUND The stores called 99 Speedmart is a Malaysian convenience store chain that was the country's largest micro market chain until KK Super Mart take a lead .

Locals

refer to it colloquially as 99. Lee Thiam Wah established it in 1987 as a typical sundry business in Klang, Selangor. Following the rebranding of 99 Market to 99 Speedmart in 2000, the firm expanded with the establishment of a second store in Batu Belah, Klang. Since its start, 99 Speedmart has grown from a small market to Malaysia's largest mini market retail network. To further expand their business, the founder Mr Lee, established their first international stores in Singapore on 14 December 2019 at 110 Avenue Sims. VISION To provide customers an ‘ideal shopping environment’ that incorporates with the elements of time and money saving. MISSION To fulfill customers need by supplying various types of daily to use product with reasonable price.

SLOGAN ‘ NEAR n SAVE’ GOALS 

To create a new application called e grocery that aids in capitalizing on existing robust supply chains and strategically situated outlets closer to customers



To create an interactive campaign using social media sites such as Facebook and Instagram



To help improve consumer retention strategies, such as through apps



To become Malaysia's finest distributing food company in a short period of time

2

REASONS TO STARTED BUSINESS

Mr Lee is born from a poor family. His parents could only afford to cover expenses up to 6th grade for himself. His father only work as a construction worker, while his mother was a street food hawker, both of his parents salary could only can cover their expenses for food and other expenses. In fact, lee also have a another 10 siblings. Another fact about Mr lee is, Lee was born with poliomyelitis, a disorder of the central nervous system, and at the age of eight months, he was confined to a wheelchair for the rest of his life. Due to the busyness of his parents to find money, Lee developed a close relationship with his grandmother, who nurtured him and encouraged the then-teenager to forge his own path. She assured Lee that he was just physically impaired, not cognitively; he was intelligent, and he could still accomplish a lot with his hands. According to the some interview( The Star 2017) , lee said he was jealous with his normal sibling because

they can went to school, played sports

and hung out with their friend while he only watched them while sit down on the wheelchair. However, such shortcomings and constraints did not deter him, even his self -disability did not affect his spirit and desire to succeed in life. With the high spirit and his grandmother words, he was started his business with selling snack on the sidewalk until he managed to raise a saving of Rm 17 000 when he was just 23 years old. His effort did not stop immediately , in fact

he started to open his own mini

market called Pasar Raya Hiap Hoe in 1987 at Tepi Sungai, Klang. This business became the starting point of his career in retail industry. In 1992, Lee sold his business (Hiap Hoe Supermarket) for RM38,000. He later set up the 99 mini market in Klang Utama. This establishment is the first step he took in realizing his vision and dream to build an integrated supermarket chain. In 2000, Lee rename his mini market to 99 Speedmart. According to The Star interview, he choose 99 number because it resembles even though they are not perfect, but they still can aim to offer their customer the best service and product they have at a reasonable and acceptable price.

PRODUCT AND SERVICES OFFERED 

Provide all product for basic needs such as rice, cooking oil, sugar



They also provide services such as reload bills( digi, celcom,maxis), electricity bill,Astro bills and many more. 3

2.SWOT ANYLISIS SWOT analysis (strengths, weaknesses, opportunities, and threats) is a framework for evaluating a company's competitive position and developing strategic plans. SWOT analysis evaluates internal and external elements, as well as present and possible future opportunities.

1) Strengths 

Place

99 speedmart have a strategic location in each of them retail chain branch because they concentrated on the demands of their customers, and their business is located near a residential neighbourhood with many housewives. They also focused on customer needs in and fast when customers wanted an item that they needed to acquire quickly and without having to wait in a lengthy line.



MANAGEMENT & STAFF DEVELOPMENT

99 Speedmart does a superb job of promoting its employees to supervisor, manager, and upper-level positions. They will not take long to raise salaries and upgrade their diligent employees. If they do well, they have a bright future to enhance their wage and be nominated to become part of management due to their daily employment and multitasking. They provide their employees a lot of encouragement, which makes them want to work at 99 Speedmart even more.

2) Weakness 

Staffing rationing

During busy hours, there aren't enough employees to serve consumers and refill merchandise. Every outlet has only two counters, resulting in a lengthy line of consumers. 

Poor product organization and labeling

99 Speedmart's lack of product organization, as well as unappealing suitable labels for its lanes, making it difficult for consumers to discover the things they want.

3) Opportunities 

Expand the premises and diversify the product: 4

More items may be brought in without taking up valuable space, allowing for a wider choice of products to be introduced. 

Collaborations with major mall owners:

Ascertain that 99 Speedmart locations are in the same strategic location as their competitors. 

Expansion to other countries

Starting with adjacent nations, expand the retail network internationally.

4) Threats The bigger you company, more competitor you must face. For 99 speedmart, other market such as kk supermarket, mydin and any other market, they will often give a promotional discount and selling a wider range of products to attract more customer to shopping at their market.

5

3. BUSINESS MODAL CANVAS

KEY PARTNERS -

Supplier

brand

form

another -All

their

market groceries,toiletries,Junk

for

groceries,such nestle,

KEY ACTIVITIES

kit

as

product

for

VALUE PROPOSITION home -

mineral

all

types

of

groceries for basic need s

brand food,frozen food and alcohol.

kat,

produce

including sanitary napkins, ointment

water( spritzer)

KEY RESOURCES

CUSTOMER

CHANNEL

- Strategic location

RELATIONSHIP

- Physical store( face to face

- diversity product

- manage to fulfill all customer store) wishes to shopping affordable price.

with - social media : official website,online

purchase

store(Lazada) Facebook,Instagram

CUSTOMER SEGMENT

COST STRUCTURE

- For all people at every - production branch

in

REVENUE STREAM -Product sales

Malaysia -cost rental( electricity and - franchises

especially at housing area.

water bills)

income from

another different branch.

- workers salary

6

4.0 ASSERTIVENESS AND PROBLEMS SOLVING Based on the research

4.1 ISSUE

A) Space Utilization 

Because space is the most expensive capital asset, its usage should be maximize. 99Speedmart is overstocking its warehouse, causing it to overflow. They placed their merchandise between the racks, causing the area to become disorganize. The attitude of the storekeeper might also play a role. There may still be room at the rack, but they put items away on the floor to get things done quickly. They should be able to make use of the area without obstructing people or material handling equipment pathways.

B) Lack of IT capabilities 

99 Sppedmart lacks IT skills or Logistics Information Systems (LIS) such as Warehouse Management Systems (WMS), Material Requirement Planning (MRP), and Enterprise Resource Planning (ERP), all of which are critical tools for warehouse management and inventory planning. 99 Speedmart uses WMS, although only to a limited extent; they only use the system's fundamental functions. A warehouse management system governs the reception, storage, and transportation of items within a warehouse, involving procedures such as transactions, shipping, receiving, picking, loading, and unloading, among others (MontansMeka 2006).

C) Incapable staff 

99 Speedmart is likewise having problems with their employees' abilities. The pool of exempt employees isn't quite ready yet. Their outlet managers, for example, are largely recent grads or rank-and-file employees. Their DC management team lacks the necessary experience to handle an FMCG warehouse. As a result of the IT staff's lack of expertise, WMS was not completely exploited and investigated as previously indicated. The employees of 99 Speedmart are capable of running the business as planned, but they are unable to come up with new ideas or innovations to improve the business and overcome the challenges 7

described above. Their supply chain management is not being managed due to a lack of capabilities among their employees.

4.2 SOLUTIONS A) space utilization 

They can calculate the quantity of inventory that should be carried and compare it to the actual amount of inventory on hand to reduce surplus inventory. After the comparison, the quantity of surplus inventory may be deleted. As a result, 99Speedmart may get rid of the extra inventory and make room for the correct high-volume products. Next, The term "cubing out the warehouse" refers to the usage of vertical space. This implies that the pallet racks are hung on the walls and are as high as the ceiling. It permits things to be stacked on top of one other without inflicting harm. They were able to use the area without affecting the ground level in this way. As a result, the 99Speedmart shop may optimize the warehouse's clear height.

B ) Lack of IT capabilities 

To handle their WMS and other inventory systems, 99 Speedmart needs hire a very qualified and informed IT specialist. They would be able to fully exploit the WMS to its full capacity, therefore improving their operation and simplifying operations, if they had a very skilled IT specialist on staff. Hence,99 Speedmart has the ability to go from a labor-intensive to a system-intensive business. Manual operations such as manual data input, manual put away, manual cycle count, and so on will be reduced when WMS is used in conjunction with a wireless scanner. They would be able to cut staff and boost production by streamlining the operations. They may also use WMS' reporting features if they use it to its full potential. They would be able to create the appropriate reports as well as personalise them utilising WMS.

C ) incapable staff 

99 Speedmart's human resources department should play a critical role in discovering and hiring the best personnel for the company. They should also reconsider their salary plan and working hours in order to entice industry specialists to work for them. As a corporation without supply chain management 8

skills, employing industrial professionals is critical to moving the organization ahead. They would be able to solve most of their supply chain issues and improve even more as a result of this.

9

5 ) APPENDICES

MR LEE THIAM WAH ( FOUNDER OF 99 SPEEDMART)

( 1ST STORE 1987)

( 99 SPEEDMART MINI MARKET)

10

REFERENCES 1) https://en.wikipedia.org/wiki/99_Speedmart 2) https://vulcanpost.com/744309/99-speedmart-history-founder-lee-thiam-wah/ 3)https://www.slideshare.net/ALASHRAFZARIFALBAKRI/strategic-marketing-plan -99-speedmart 4) https://essaygroom.com/the-99-speedmart-enterprise/

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