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TECHNOLOGY BASED BUSINESS IDEA BLUEPRINTFACULTY: FACULTY OF COMPUTER SCIENCE AND MATHEMATICAL (FSKM)PROGRAMME CODE: CSCOURSE CODE / GROUP: ENT 600 / CS2305AGROUP MEMBERS:1. NURFARHANUM BINTI JURI (2018653928)2. ALIF MUQRI BIN HAZMI (2018413956)3. MOHAMMAD AMIRUL LUQMAN BIN SHAMSHI (2018298154)4. SYA...

Description

TECHNOLOGY BASED BUSINESS IDEA BLUEPRINT

FACULTY:

FACULTY OF COMPUTER SCIENCE AND MATHEMATICAL (FSKM)

PROGRAMME CODE: CS230 COURSE CODE / GROUP: ENT 600 / CS2305A

GROUP MEMBERS: 1. NURFARHANUM BINTI JURI (2018653928) 2. ALIF MUQRI BIN HAZMI (2018413956) 3. MOHAMMAD AMIRUL LUQMAN BIN SHAMSHI (2018298154) 4. SYAKIR ZUFAYRI BIN AZHAR (2018223954) SUBMITTED TO: SIR HARDI EMRIE BIN ROSLY

ACKNOWLEDGEMENT

The completion of this undertaking could not have been possible without the participation and assistance of so many people whose names may not all be enumerated. All of contributions toward this research and development are sincerely appreciated and gratefully acknowledged.

In completing this task, we have received a lot of help and guidance from Mr Hardi Emrie Bin Rosly, our lecturer for Technology Entrepreneurship (ENT600). Here I would like to express my gratitude towards him for giving lots of helpful guidelines and guidance. I would also like to give my gratitude towards my classmates who also helped in completing this. We cannot express enough how thankful we are for those who give guidance and support throughout the process. The completion of this piece could not be accomplished without their support.

Above all, we thank the almighty, the author of knowledge and wisdom, for His countless blessing.

1.0 EXECUTIVE SUMMARY

5

2.0 Product Description 2.1 Describes the product. 2.2 Application and the description of primary end and secondary applications of the product. 2.3 Unique features on the product. 2.4 Expansion opportunity for the product

6 6 6 6 7

3.0 Technology Description

8

4.0 Market Analysis and Strategies 4.1 Customers 4.2 Market Size and Trends 4.3 Competition and Competitive Edges 4.4 Estimated Market Share and Sales 4.5 Marketing Strategy 4.5.1 Overall Marketing Strategies 4.5.2 Pricing 4.5.3 Sales Tactic 4.5.4 Services and Warranty 4.5.5 Advertising and Promotion 4.5.6 Distribution

10 10 10 13 14 14 14 15 15 15 16 16

5.0 Management Team 5.1 Organisation 5.2 Key Management Personnel 5.3 Management Compensation and Ownership 5.3 Management Compensation and Ownership

17 17 18 21 21

6. FINANCIAL PLAN 6.1 Start-up Cost 6.2 Working Capital 6.3 Estimated Start-Up Capital 6.4 Source of Financing 6.5 Cash Flow Statement 6.6 Income Statement 6.7 Balance Sheet

23 23 24 25 25 26 28 29

7.0 Project Milestones

31

Conclusions

32

1.0 EXECUTIVE SUMMARY Test La Sdn Bhd is a pharmaceutical company that focuses on manufacturing drugs that relates to healthcare. As the world is hit by a pandemic, the company now focuses on producing hand sanitizer which is PiciTech-On. PiciTech-On is a micro hand sanitizer that is packed in a capsule. This version of hand sanitizer is aimed to improve the features that the current hand sanitizers are lacking. The capsule-shaped are proven to ease the usage of hand sanitizer. We came up with two versions of our product which is for public use and commercial use. Hand sanitizers for the commercial use version are stored in a vending machine which requires the user to scan the QR code in order to get the capsule. The target market for the product is the public, especially the locals which is malaysians. The commercial version of the product caters for vendors, business owners and companies as it is useful to be placed at the doorstep of their business. The public may be attracted with the features that comes with the PiciTech-On. As for the commercial version, it is useful to regulate that the customers sanitize before entering the premise and to prevent wasting. The main selling point for PiciTech-On is that it is easy to carry and it is sufficient for a single use for one person per capsule. It also can avoid from excessive usage and spillings when compared to existing products in the market. In the first year, we predict that PiciTech-On will be able to sell a whopping number of 826000 units for online and offline selling methods. For the commercial version, we aim to sell 2600 units for the first year. Test La Sdn Bhd is a company owned by Alif Muqri which holds the Chief Executive Officer position. The next in line is Muhammad Amirul, the project manager and Nurfarhannum the financial manager. The man in charge on the ground is Syakir Zufayri as Machine Head Operator. Each and everyone in the company plays an important role in making the company successful and operating smoothly.

2.0 Product Description 2.1

Describes the product.

Test La Sdn Bhd is a pharmaceutical company that focuses on manufacturing drugs that relates to healthcare. As the world is hit by a pandemic, the company now focuses on producing hand sanitizer which is PiciTech-On. PiciTech-On is a micro hand sanitizer that is packed in a capsule designed to serve a simple environment for consumers who prioritize hygiene in their daily routine. This is an improvised version of the current hand sanitizer that is available on the market where it provides some additional functionality and features that will deliver an enormous value to customers. Hand sanitizer capsule provides ideal solutions to one of the daily tasks faced by the community for the provision of personal hygiene free of bacteria in accordance with the new norms established by the government.

2.2

Application and the description of primary end and

secondary applications of the product.

A micro hand sanitizer capsule is intended for all those who strive for innovation on the existing hand sanitizer. The breakthrough that has been made is in the form of type and features of a hand sanitizer. The customer just has to pitch the hand sanitizer capsule in order to use it, and then the sanitizer fluid will flow out on the palm. This kind of innovation is designed to make it easier for people to apply and bring anywhere.

2.3

Unique features on the product. The unique feature of this product is it has different features of hand

sanitizer. There is a variety of hand sanitizers designed with several different

textures to suit different types of hygiene technologies, such as a hand sanitizer capsule. It is very useful and compatible with any community and even environmentally friendly. This PichiTech-on hand sanitizer capsule would significantly aid with a concept that is very simple and productive to carry and use anywhere. Furthermore, it also comes with the compatible size where you can easily carry it anywhere and anytime you want. On top of that, the size of the product makes it very convenient for any kind of space, such as a bottle type container, etc. On the other hand, Test La Sdn Bhd also had other features of hand sanitizer capsules for commercial use. For commercial use, the features come with QR code of MySejahtera. Each of these functions provide considerable value to the consumer and encourage them to buy them because they provide good and different functionality from the current hand sanitizer.

2.4

Expansion opportunity for the product

Nowadays, we can see that the industry and the government in Malaysia have begun to take care of the dangerous virus epidemic. A certain example showing the ongoing contribution of the industry to humanity and more involved in taking care of hygiene problems have begun to provide a hand sanitizer. For companies that produce hygiene products, they maintain consistently high quality standards for products and assimilate new research to improve product development. According to the survey, there are opportunities to broaden the product, since this product would be a necessary thing for the society, since it will make their everyday life easier and many segments of the industry would be involved in entering the innovation as the product gets further exposure from the different categories of consumers and customers. Therefore, Our company would seize the opportunity by growing advertising campaigns and marketing to an online channel such as e-Commerce applications and also through social media.

3.0 Technology Description For a time being, Technology is an important element in the invention and improvement of the product. The intention of every technology innovation is to benefit living creatures and thus to reinforce the meaning of technology. As a young entrepreneur, we can see that the visionary in technology that involves creativity is developing new goods and approaches. We know that, in order to remain in this competitive marketplace, we have to stay alert in developing creativity that encourages more consumers to use our technology. In our business, we are introducing a technology that is portable and easily applied that can help people. With respect to technology and people's reliance on it, we have decided to create a commodity that is technologically related but can be used by all ages. We aspire to create a product that is easy to use and practice. In this pandemic, beside mask, hand sanitizer is a must to bring wherever you go, especially outside our house. Problem we face with liquid hand sanitizer is that it is prone to spill if not handled carefully, resulting in waste. According to our observations, hand sanitizer is good to maintain hygiene for the premise but consumers or customers might overuse the hand sanitizer since most businesses do not supervise their entrance. Therefore, we realized that putting this hand sanitizer in the entrance of premises could be a waste of money. Design is an essential part of innovation that is frequently ignored. It helps to decide how we engage with, and appreciate, goods and services. Our product is designed based on the philosophy of a new product. Pichitech-On is designed to minimize inconvenience that may cause consumer spillage by accident, avoid waste, etc. this product has the safety aspects while developing, which are the capsule is made of seaweed which is not harmful to

users also biodegradable and environmentally friendly compared to plastic. It is also safe to be popped by kids. Next, the design of Pichitech-on packaging is only to allow or fit for one capsule at one time. The packaging is in the bottle shape. The bottle cap has a hole that only fits one capsule per time. For bottle material, it is made from platinum silicone. By replacing the plastic which is not good for the environment, platinum silicone is much better since it is durable and flexible. Durability of Pichitech-On can keep the capsule from breaking. Lastly, the Pichitech-On for commercial use is design suitable for a market place such as a shop, stalls, etc. This type of design is made by the MySejahtera QR code on the machine. The machine allows one capsule per scan after the consumer or customer scans the QR code on the machine. This machine has a basket to hold the hand sanitizer that is produced by the machine. It is for a precautionary step, in case the user forgot to place their hands right after scanning the QR code.

4.0 Market Analysis and Strategies 4.1 Customers After further research and discussion,the target customer for this product has been identified. It has been classified into two categories which is for personal use, and for business use. For personal use, it is targeted for individuals that are bad at handling current common liquid hand sanitizer in the market. It is also targeted for parents that have young children since it is not easily spilled like common liquid bottled sanitizer. The next target user is for business owners or public premises such as government building. It is suitable for business owners that want to keep their premises hygiene by providing hand sanitizer in the entrance. The capability of the product to only provide one capsule of sanitizer to each customer after scanning mySejahtera QRcode will benefit the business owner as they are low percentage of overuse hand sanitizer by the customers.

The major purchases will be for individuals and premises that care about their current hygiene and want some aesthetic for their hand sanitizer when brought outside their house or in their premises. To extend the availability of this product to the whole nation, an online shop has been established. Individuals can buy this product by visiting nearby pharmacies or through our online shop while businesses or premises can buy it online or through the factory.

4.2 Market Size and Trends Our market size is calculated based on the total population of Malaysia. Out of 32.7 million, 16.53 millions are selected based on the number of people that frequently use online shopping since access to pharmacy might be hard to achieve for some individuals. We estimated that 5% of the online shoppers interested in our product within one year. Each of the products will be sold for RM15.

Estimated unit sold for one year (individual): = 16,530,000 * 0.05 = 826,000 unit Total sales (RM) in one year: = 826,000 * RM15 year

2020

2021

2022

Market size(%)

0.05

0.051

0.052

Total sales (unit)

826,000

843,030

859,560

Total sales (RM)

12,397,500

12,645,450

12,893,400

We target a low increase in sales over the three years since it depends on the current situation of the pandemic and the regulation from the government. We try to give the most affordable price that we can give even though it might be slightly expensive from the mainstream hand sanitizer. We still increase the growth of the market share since we insist that malaydian awareness for keep their hygiene will be increased even after the pandemic is over with the help of social media. Meanwhile for our next market, we take the popular supermarket or convenience store chain in Malaysia such as 99speedmart, 7eleven and Familymart. We predict that 50% of the supermarkets will be interested in this product. The product for this market share will be sold at RM500 each. Estimated unit sold for one year (premises): = 1750(99speedmart) + 2225(7eleven) + 200(familymart) = 4175 * 0.5 = 2088 units Total sales (RM) in one year: = 2088 * RM 500 = 1,044,000

year

2020

2021

2022

Market size(%)

0.5

0.6

0.7

Total sales (unit)

2088

2505

2923

Total sales (RM)

1,044,000

1,252,500

1,461,500

As for premises target market, we estimate a high increase in potential profitability. We estimate that the supermarket chain across Malaysia will see the benefit of the product as it eases the management of SOP. Also we expect that small convenience stores and healthcare premises will take an interest in this product. The major factor that affects the market's growth for our product is listed in the table below.

Factor

Description

Government policy

Our product currently depends on the policy that is being made by the government for coping with the current pandemic and policy after the pandemic ends. We hoping that even after the pandemic ends, the healthcare premises such as hospital and clinic will convince to use our product after it being used widely by supermarket and convenience store

Social media effect

Social media can affect the trend in the market. If awareness of using hand sanitizer after pandemic ends our product can increase its sales steadily. Influencer in social media also can affect our product as it also depends on its design and aesthetic to attract customer to buy it

4.3 Competition and Competitive Edges competitors

strengths

Dettol Antibacterial Wipes

● Compact ● Easy to carry ● Do not have to worry about spilling the sanitizer (compared to standard hand sanitizer)

● Sometime a single wipe is not enough ● Easily dried out ● The cover not tight

Automatic hand sanitizer sensor gel dispenser 1000ml

● Prone to spill if hand not positioned correctly ● Easy to use

● A single person can scan for many time ● Sometime hand not detected by the scanner

● Spray is more efficient in term of single use compared to standard hand sanitizer ● Secured sealing and harder to spill

● A single spray may not applied to the hand and evaporate to surrounding ● If spray not work, need to open the lid and use it like standard hand sanitizer

Antabax hand sanitizer spray

weakness

Our PiciTech-on is inspired from a common pill with liquid hand sanitizer included inside of it. With capsule design a single use of it is sufficient for a person and a possibility of waste in use of hand sanitizer is low since the capsule is tough enough to not burst out when falling from the user's hand. This will benefit customers in terms of economic benefit since no hand sanitizer is wasted.

4.4 Estimated Market Share and Sales Product/Service Market Share and Sales Year 2020

2021

2022

Market Share(%)

0.05

0.051

0.052

Total Sales in Unit(s)

826,000

843,030

859,560

Total Sales in RM

12,397,500

12,645,450

12,893,400

4.5 Marketing Strategy 4.5.1 Overall Marketing Strategies In the early phases of selling the product, the product will mostly be distributed in klang valley since its population is quite high and the resident in it is coming from various states in Malaysia. The distribution of the product will mostly be through courier and from the manufacturing factory itself. The customer can order the product through our own website or through popular ecommerce websites such as shopee and lazada. To convince customers to buy our product, a selection of individual and premises owners will be given the product for free in a limited amount of time. Premises that have a high amount of visitors such as convenience stores and supermarkets will be considered the most to see the effectiveness of the product and at the same time promoting the product to the regular customer.

4.5.2 Pricing After considering the cost of manufacturing and competitor price, we have decided that the price of our product, PiciTech-on will be Rm15 for individual use or bottled package and RM500 for business or premises uses. We try to minimize the price difference compared to mainstream hand sanitizer so that the customer will not hesitate too much when considering to buy our product.The price might be cheaper in the upcoming year if the cost of the raw material and manufacturing of the product can be reduced.

4.5.3 Sales Tactic Premises

owner

can

directly

access

the

product

through

our

manufacturing factory. Our company will approach popular pharmacy chains such as Guardian especially in Klang valley to consider putting PiciTech-on on their shelves. We also will establish a website, email and hotline for customers to give their complaints and suggestions for our product. We also distribute a survey online to customers to improve the quality of the product. Online forum will be developed in the website as the centre of communication between the company and product owner.

4.5.4 Services and Warranty For packaged PiciTich-on, customers can claim a new product if their purchase has defects in it within one week after purchase. The warranty can be claimed through online in our website and email or walkin to the nearest kiosk. The product will be shipped through courier straight to their home if they claim it through we...