Family Business Plan Essay

Besides that, Ming Yi Feeds is operated in the category of control and management of family member. All the important thing and decision is making by themselves but not the outsider. The business is the first generation and established for 8 years. The founder of Ming Yi Feeds Sdn Bhd is not currently planning his retirement and is not deciding to pass the ownership of the company to anyone since he is still young and is able to run the business. The succession factor of the company is the father of the CEO is highly support for the business. And one of the biggest customers of the company is the BM Lean Huat Chan a chicken farming company own by the CEO’s father. The supportive family members of the CEO is participating themselves in the business and the support from their father made the company successful. The business is kept private and confidential to the public as well as their family. The only persons able to access the business information are the CEO and his father. This is because all the business information is crucial to the company like their supplier and customers. The founder does not have any interested to sell their family business, because the owner dreams to remain the business in their family. However, in order to expand their business, shareholder may be required to gain some capital, but the family will still holding the majority share compare to other shareholders. The company is implementing a basic compensation method which is base salary and allowances. However, there is a bonus to every employee every year and the amount is based on the performance in the particular year. Background Information Company address: Plot 31, Jalan Perindustrian Bukit Minyak 9, Taman Perindustrian Bukit Minyak, 14100 Simpang Empat. Telephone No: 04-5078488 Fax No: 04-5086488 Types of Business Entity: Sendirian Berhad Work Force: Presently 20 Staff Member Building Particular: offices 24 X 98 feet Turnover per year: RM 100 million Profit Margin: 0 ~ 1 % Quality Policy Mr. Seah said that they are committed to consistently provide the quality product and services to satisfy or exceed customer’s expectations through continuous process improvement, adequately trained and developed work force and on time delivery. Vision Ming Yi wants to be a competitive manufacturer in agriculture product in Malaysia. Mission Ming Yi Feeds is committed to bringing the best and safe agriculture product to Malaysia agriculture industry through its innovative R&D department, facilities and services offering. Objective Ming Yi Feeds wants to further boost its sale by 10% in the next two years. Organization Chart Role of Family Members Chief Executive Officer – Seah Yeok Chee the CEO is responsible in making decision and ensures the smoothness of the business operation as well as the sale of the company. He is the eldest son in the family. General Manager – Kuo Yee Mei the GM is assisting the CEO in daily operation. She is responsible in maintaining stock level. She is the wife of the CEO Mr. Seah. Financial & Human Resources Manager – Seah Ai Ling the financial and human resources manager is responsible in the financial division in the company as well as recruitment and selection of new employees. She is the sister of the CEO. Operation Manager – Seah Yeok Chew the operation manager is responsible in the feed production process and ensures the quality of the product to meet the standard. He is the younger brother to the CEO. Conflict * Connectivity There is lack of connection between the company and the entire market, because most of materials are come from family member (other business entity in the same family). So, the cost is slightly higher. * Management problem The hierarchy level and the authority are unclear. Which are the difference / gap between first generation (father) and second generation (son). * Concept The company is implementing a conservative approach. The company is not actively sought for new customer and do not take risk in new investment. Solution * The company communicates to the market and gets other suppliers in order to minimize the cost. By this the company found different supplier and compare the price. * The authority among father and son are differentiated clearly. So, the decision made by the son is not affected by the father. In order to achieve the company vision and mission, they do some investment in marketing their product to new customer. Business Activity * Selling feeds * Selling Raw Material to others supplier especially Maize and Soya bean * Others services Raw Material The main raw materials are Maize, Soya bean meal, Corn gluten meal, Broken Rice, Feed Wheat, Salt, Meat and Bone, DCP, Feed Oil / Cooking Oil and Vaccine all the ingredients of grain are l ocally available at low prices but some vitamins other ingredients will need to be imported. Product Manufacturing Process The compound feed preparation process requires 1. High accuracy and precision of weighing 2. Feed ingredient handling and processing 3. Mixing 4. Packing 5. Labeling Process Flow Diagram Compound Feed Process flow of UBM Formula of Feeds R1 – 12 – 10 ( 8107C ) Group| Name| Amount| Big Scale| Corn| 1058| | SBM Hipro| 478| Liquid| Olien / Cooking Oil| 48| Bin| C. G. M | 70| | Feed Wheat| 100| | DDGS ( Low-Pro )| 100| | MBM| 70| Hand-add| D. C. P 18%| 14| | Limestone Powder| 9| | Salt| 0. 50| | Sodium Humate| 10| Premix | Premix Merah| 1 X| | Premix 8107| 1 X| L-Lysine| 9. 84| | DL-Methionine| 6. 58| | Choline Chloride 60%| 2. 40| | Toxisorb| 3. 00| | Natuphos ( 5000G )| 0. 30| | | 1979. 62| Types of Feeds * 8107 Crumbles * 8207 Crumbles * 8207 Pellet * 8307 Pellet * 8107 c is for the chicken ( 1-8 days old ) * 8207c is for the chicken ( 9-14 days old) * 8207p is for the chicken ( 15- 21 days old ) * 8307p is for the chicken ( 22days – selling ) Location Tanker for storage raw material Packaging process Photo of the storage exist Loading process Working condition Weight the feeds and truck before send to the farm