A Monthly Bulletin for Entrepreneurs

Issue 7

August-September 2016
Complimentary Copy

INSIDE THIS ISSUE

PP18996/04/2016(034470)

COVER STORY

Can the OPR Cut Boost

Private Consumption?
by Dr Ghaz

he
Bank
Negara
Malaysia
unexpectedly lowered the overnight
policy rate (OPR) at its Monetary
Policy Committee (MPC) meeting
on July 13th, 2016. The OPR was revised
downward by 25 bps from 3.25% to
3.00%, with the ceiling and floor rates
correspondingly reduced to 3.25% and
2.75%. The statutory reserve requirement
(SRR) meanwhile remains unchanged at
3.50% following the 50 bps reduction in
January 2016. This latest move by BNM
is significant as it was the first OPR cut
since the 2007/2009 global financial crisis.
Between November 2008 and February
2009, the OPR was slashed to a cumulative
of 150bps, over three cuts, to reach a
historical low of 2.00.
This time around, the decision by BNM
to ease its monetary policy comes amidst
the backdrop of high global economic
environment uncertainty and follows
similar fiscal moves by other central banks
in the region, i.e. Indonesia and Singapore.
The OPR is among the conventional
monetary policy tools used by central banks

to stabilise price (low inflation) and sustain

economic growth. The presumption is
that lower borrowing cost would in effect
encourage borrowing and investing, which
would eventually stimulate the economy.
Following BNMs downward revision of the
OPR, several major banks in the country
like Maybank, AmBank and CIMB had
responded by cutting their base rates by
20 basis points.
BNMs intervention to stimulate the
economy was facilitated by propitious
external and domestic factors. Principal
among them is the U.S Federal Reserves
decision against raising the U.S interest
rate at its latest policy meeting provides
the window of opportunity for emerging
economies to cut rates with less concern
about possible capital outflows. The lower
than expected inflation rate is another
factor that facilitates the OPR cut. BNM
projects Malaysia consumer price index
(CPI) to be lower at between 2.0% and
3.0%, compared to the earlier projection
of between 2.5% and 3.5% in 2016 and
is expected to remain stable in 2017.

PERSPECTIVE:
An Overview of the Private Education System
Page 2-3
ANALYSIS:
Franchising Education Page 4
PRODUCT:
Pembiayaan Kontrak Untuk PKS Page 5
BUSINESS ALERT Page 6-7
URUS BESTARI:
5 Sebab Perniagaan Perlukan Teknologi
Mudah Alih Page 8
POINT-OF-SALE:
How to Turnaround Your Sales for 2H16
Page 9
HUMAN RESOURCE MANAGEMENT:
Set Goals for Your Employees Page 10
SEMBANG USAHAWAN:
Dato Felician Teo Page 11
KNOWLEDGE SPA:
Discover the Potential of the Education
Sector Page 12
ENTREPRENEURS EVENT CALENDAR
Page 12
Since its implementation in April 2015,
the impact of the Goods and Services Tax
(GST) on consumer prices had also has
diminished. The current low global energy
and commodity prices, as well as subdued
global inflation, have further contributed to
the lower inflation rates.
WHAT ARE THE IMPACTS OF THE OPR CUT
TO THE SMEs?
Looking at the bigger picture, the more
subdued demand for Malaysias goods
and services from key trading partners
and lower sales from the oil and gas sector
means that domestic consumption is now
considered a higher priority on the nations
economic agenda. In 2015, domestic
continue on page 2

Download our mobile apps at www.smebank.com.my

2
Adviser
Datuk Mohd. Radzif Mohd. Yunus
Group Managing Director

PERSPECTIVE

An Overview of the
Private Education Sector

Editor-In-Chief
Sheikh Ghazali Abod, Ph.D
Chief Operating Officer, CEDAR
Editor
Norhisham Hamzah
Contributors
Raja Shahriman Raja Harun Al Rashid
Shahrir Amran
Hayati Abu Seman
Nik Mohd Adzlan Nik Adnan
Ahmad Azuar Zainuddin
Muhammad Zafri Ismail Khan
Rusydan Hamedy Rusli
Hanzo Ng

by Raja Shahriman Raja Harun Al Rashid

Coordinator
Akmar Kamari
Design & Layout
Haja Sharoni Shah
Rafiq Asyraf
Printed By
RV Print Enterprise (001284709-A)
No.127, Jalan Sultan Abdul Samad
50470 Kuala Lumpur
Tel: +603 2273 2421
Fax: +603 2276 1124
Published By
Small Medium Enterprise
Development Bank
Malaysia Berhad (49572-H)
Menara SME Bank
Jalan Sultan Ismail
50250 Kuala Lumpur
Wilayah Persekutuan
Tel: +603 2615 2020
Fax: +603 2698 1748
Customer Service Centre:
1-800-88-3131
www.smebank.com.my
Project Management
Centre For Entrepreneur
Development And Research
Sdn Bhd (CEDAR) (1042601-M)
Level 6, Menara SME Bank
Jalan Sultan Ismail
50250 Kuala Lumpur
Tel: +603 2615 2063
Fax: +603 2692 5916
www.cedar.my
DISCLAIMER
The views and opinions expressed
throughout this newsletter are those of the
authors and do not necessarily reflect the
official position and views of the SME Bank.
Copyright Small Medium Enterprise
Development Bank Malaysia Berhad.
All rights reserved. This publication is not to
be reproduced in part or whole without the
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the maximum extent possible under the law.

alaysian education system encompasses

education beginning from pre-school to
university. Pre-tertiary education (pre-school
to secondary education) falls under the
jurisdiction of the Ministry of Education (MOE), while
tertiary or higher education is the responsibility of the
Ministry of Higher Education (MOHE).

Generally,
Government-funded
educational
institutions offer free (or for a minimal fee) education to
the society. However, private options offering education
for a fee has been available since the 1950s.
In recent years, there is an increase in demand for
private education, primarily due to:
Increase National Education Options. In its effort to
democratise education, the Malaysian Government has
encouraged private providers to increase the education
options within the country. It also helps to contribute
towards making Malaysia a centre of educational
excellence for pre-tertiary education; and
Parents Anxiety on the Public School System. The key
concerns at national schools include rigid curriculum,
stagnant learning environment, teachers quality,
morale issues, school management, languages
and obsolete facilities (Source: Prospect Education
Consultings focus group interviews, 2012).
EDUCATION INDUSTRY OVERVIEW
As of June 2015, the MOE has approved 421 private
school licenses which comprised 58 primary schools,

Private
Pre-Tertiary
Educational
Institutions

Private Schools
(Malaysian National
Curriculum)

International Schools
(International
Curriculum: British,
American, Canadian,
Australian etc.)

Others

76 secondary schools and the remaining

consists of primary and secondary religious
schools, Chinese secondary private schools,
international schools as well as expatriate
schools.
Private primary and secondary schools
are required to use the National Curriculum for
primary and secondary education, as required
by the Education Act 1996. Hence, these
private schools are subject to the same public
common examinations such as Ujian Penilaian
Sekolah Rendah (UPSR), Pentaksiran Tingkatan
3 (replacing Penilaian Menengah Rendah),
Sijil Pelajaran Malaysia (SPM) and Sijil Tinggi
Pelajaran Malaysia (STPM).
Other types of private schools may adopt
international syllabuses. However, through
its Private Education Division, the MOE also
implements strict guidelines on the registration
and operation of all private schools to ensure
that private education providers offer quality
education.
KEY CHARACTERISTICS OF PRIVATE SCHOOLS
There are several key characteristics of Private
Schools:

Learning methodology. Private schools
normally have longer learning hours with
innovative learning methods e.g. problemsolving, inquiry-based, etc. They also
offer a wider array of elective subjects,
comprehensive co- and extra-curricular
activities. They often have low teacher to
student ratio of 1:8 which facilitates a more
personalised learning process to meet
students individual needs.

Advanced learning aids/facilities and
teaching professionals. Private schools
are typically equipped with highly qualified
and experienced teachers, state of the art
knowledge management centres, modern
laboratories, theatres, sporting facilities
and full residential facilities. These facilities
ensure conducive and effective learning
environment.

continue from page 1

Malaysia Consumer Price Index 2016

% yoy
6
5
2.5 3.5

4
3

2.0 3.0

2
1

* Forecast
BizPulse | Issue 7 : August-September 2016

**2016F

*2016F

2015

2014

2013

2012

2011

2010

2009

2008

2007

SME Bank Group of Companies

2006

** Revised Forecast

consumption contributes close

to 55% to the countrys GDP. The
OPR cut follows measures to
boost private consumption already
introduced in the Budget 2016
Recalibration in January 2016 such
as a special income tax relief for
the middle-income class group and
the voluntary cut in the Employee
Provident
Fund
employees
contribution to 8%. Malaysias
consumer sentiment index has
shown some signs of recovery in
2016, although it is still below the
100-point threshold of optimism
at 78.5 points. From the SMEs
perspective, stimulating private
consumption is crucial as 27.8%
of the entire SME establishments
in the country are involved in the

BizPulse | Issue 7 : August-September 2016

Perspective

DEVIATION ELEMENTS FOR PRIVATE SCHOOLS

In order to differentiate the credit worthiness
of private schools for assessment purposes,
there are several deviation elements that
financing institutions can look into:

Strategic location and target segments.
Established private schools are normally
located in urban areas where a lot of expatriates
as well as the high-net-worth population stay.
However, location could also vary depending
on the types of private schools. For example,
a private religious school may be located in
suburban areas. Hence, it is crucial for a private
school to conduct demand analysis on the
local market (s) it operates in.

Clear business strategy. An established
private school should develop a long-term
business plan as well as operating and capital
budget planning to estimate the income and
expenses for the next few years. This should
be a blueprint of how the school is going to
operate within the next five years, at least.

Franchises with good track record. A
successful private school may be part of a
franchise chain with established track record,
such as Tenby Schools and Real Schools.
A well-known private school is typically
chosen due to its recognised performance in
producing good talents.

Advanced learning aids/facilities and
teaching professionals. In order to attract
more customers i.e. students, a school
needs to maintain its teaching quality. This
may include hiring and re-hiring the best
educators around (in some schools, teachers

wholesale and retail businesses.

However, analysts are at odds on
whether the 25 bps OPR cut is significant
enough to have any meaningful impact
on private consumption. While the easing
may lead to lower financing costs, there
remain scepticisms on whether the move
could actually fuel loan growths. Banks
and financing institutions are expected to
remain selective in their lending activities,
in view of the high household debt to GDP
ratio at 89.1%, an elevated loan to deposit
ratio (LTD) at 87.6% and a decline in loan
approval rates.
Meanwhile, some analysts view that
while the OPR cut may not be enough to
shift demand for big-ticket purchases like
auto and property, businesses in the retail
and F&B sectors offering small-ticket
items could potentially benefit from the

are mainly sourced from Englishspeaking nations). Additionally, it

should also be equipped with the
latest technology e.g. textbook vs.
i-Pad. Obsolete learning methods
and facilities discourage effective
learning environment.
CURRENT TREND AND OUTLOOK
Demand for private school has been
increasing over the last decade. The
chart clearly demonstrates growing
preferences for private schools and
a sizable increase in enrolment into
private Chinese schools, religious
schools and international schools. It is
not just expatriates who are spoilt for
choices in Malaysia, but local students
are also allowed to attend private
schools now in greater numbers than
ever before. Although the percentage
of Malaysian students enrolled at
international schools is still low at
only 0.4% or approximately 20,000 of
the 5,250,732 total students enrolled
in 2013, this represents an increase
of almost 1% from the year before,
according to the numbers provided by
the MOE.

Enrolment in Private Schools 2008-2013

180,000

175,713
162,552

160,000
144,116

140,000
Number of Students

High entry cost. The high capital outlay is

required to construct building and facilities
of private schools. Additionally, higher fees
charged are also due to rigorous academic
preparation, first-rate facilities and welltrained faculty. A student has to undergo
an assessment and interview to gain entry
which would include parents financial
capacity.
Parental and community involvement. Private
schools normally held regular engagements
with parents via reports to promote positive
behavioural expectations, social teachings
and a sense of community among students,
faculties and parents. They also encourage
community service and awareness on social
issues and civic obligations.

120,000

144,301
43%

126,593

121,936

100,000

43%
48%

46%

14%

16%

9%

11%

45%

47%

80,000
60,000

13%

40,000

10%

11%

20,000
0

13%

2008

12%

12%

12%

11%

12%
3%
2%

11%
5%
3%

10%
4%
2%

10%
4%
2%

2009

2010

2011

20%

22%

10%

10%

10%

9%

9%
5%
3%

7%
5%
3%

2012

2013

Year
Chinese Independent School
Sekolah Menengah Persendirian Cina

Primary School
Sekolah Rendah Akademik

International School
Sekolah Antarabangsa

Secondary Religious School

Sekolah Menengah Agama

Primary Religious School

Sekolah Rendah Agama

Expatriate School
Sekolah Ekspatriat

Secondary School
Sekolah Menengah Akademik

Source: Ministry of Education,

Bahagian Pendidikan Swasta, Buku Data Asas Pendidikan Swasta 2013

SUCCESS STORY
CEMPAKA SCHOOL
In 1983, Dato Freida Pilus started Cempaka School
and expanded to form the Cempaka Group of
Schools comprising three schools and an A-Levels
College, spread over three different campuses i.e.
Damansara, Cheras and Bandar Enstek.
Being the first Apple Distinguished School in
South Asia to practise a One on One Learning
Environment.
The school has been given special approval
by the Ministry of Education under the Dual
Language Program (DLP) to teach Science and
Mathematics in English.
Latest results (2015) showed that over 50%
of Cempaka Cheras students scored 7As
and above in their SPM results. English,
Mathematics and Science remained as the top
performing subjects at Cempaka Cheras.

ALICE SMITH SCHOOL

The school was started by Mrs Alice FairfieldSmith at her house in 1946 before moving to its
current premises in Jalan Bellamy and Equine
Park (secondary school) as to accommodate the
increasing number of students.
In 2014, their gross income stood at RM84.1mil of
which mainly coming from tuition fees, application and
entrance fees, as well as enrolment fees. The major
portion of their expenditure is salary-related cost.
Teachers are generally expatriates from the UK
(121), Australia (5) and France (3). The ratio
between teacher and student is 1:11.
The number of students in 2014 is 1,582 students.
86% of their students are able to join their university
of first choice. Seven students secured places at
Oxford and Cambridge University, UK in 2013.
Tan Sri Dr. Tony Fernandes and Dato Seri Mohd Nazir
Razak are among the alumni of Alice Smith School.

Raja Shahriman Raja Harun Al Rashid is the Director of Group Compliance and Risk Management, SME Bank
Malaysia. He can be reached at shahriman@smebank.com.my.

improved cash flows among businesses

and consumers.
Although it is comforting to know that
the Government and BNM are constantly
monitoring the economic situation and
taking intervention measures to boost
private consumption, the more pertinent
question is how competitive are the
SMEs in facing these challenges? Based
upon our regular interactions with the
entrepreneur community, the gap in terms
of competitiveness is not so much in the
technical areas but more the business
acumen and mindset required to survive
in an ever-changing and demanding
business environment. The SMEs need
to bridge these gaps if they want to be
competitive amidst the current challenges
or hold any ambition to take their business
to the next level.

Dr Sheikh Ghazali Abod is the COO of the Centre for

Entrepreneur Development and Research (CEDAR),
a wholly owned subsidiary of the SME Bank
Malaysia. He can be reached at sheikh.ghazali@
smebank.com.my.

Issue 7 : August-September 2016 | BizPulse

BizPulse | Issue 7 : August-September 2016

ANALYSIS

Franchising Education

s at August 2014, Malaysian

homegrown franchising system
represents 70% of the total
number of franchise systems
in the country while foreign franchises
account for 30%. With over 700
registered franchise systems and more
than 6,000 franchising outlets in the
market, Malaysia has strength in various
franchising sectors, ranging from food
and beverage to the automotive-related
sector (car sales, service centers, and
tire services), clothing and accessories,
learning centre and nursery, retailing
and supermarket, healthcare and beauty
care, IT and telecommunication, hotels
and tourism agencies, printing, photo
shops, etc.
INDUSTRY OVERVIEW
The educational services market is
large and growing with multiple types of
opportunities available for franchisees.
The market has become one of the most
lucrative businesses along with the rapid
growth of the child care industry. Based
on 2014 data, there are 76 franchisors
in Malaysia focusing on educational
services. This represents almost 11% of
local franchise businesses in Malaysia.
However, franchise opportunities in
the educational services industry are
not limited to tutoring school age kids
in subjects like math and science opportunities abound in childcare and
early education, career education, art,
dance, adult language, test preparation
and even driving. Among local franchisor
in educational services include Cambridge
English For Life, Smart Reader Kids, Cic
Children Islamic Centre and Childhood
Development Programme (Q-dees). Smart
Reader has over 300 outlets and is one
of the largest homegrown education
franchise concept in the country.

SECTOR

The vast majority of revenue in this

industry comes from tuition or program
fees. Gross profits tend to range from 6090% depending on geographical location
and subject matter, and net profit averages
out to between 2-10%. However, the returns
on investments for educational services
franchise depends on various aspects
like operational cost, location, individual
managerial skills, expertise in the field
etc. As companies within the industry
have grown they have realised some
benefits to scale - lower fixed costs and
greater operational efficiency; however
that growth often comes with a difficulty
finding qualified instructors. The growth
in this industry is in part attributed to the
growing global competitive landscape for
higher education and quality branded preschool. Private and branded pre-school
like Smart Readers and Montessori treat
education as a business and as a good
quality product, it always comes with a
price. Consumers perceive that higher
price indicates better quality. Aside from
well-organized programs, branded preschools maintain quality teachers and
good facilities.
The franchise in educational services
constitutes different segmentation:EARLY CHILDHOOD EDUCATION
Some franchises are geared towards
younger children and provide a combination
of child care and education. Its estimated
that 11 million children under the age of 5
spend at least 35 hours/week in childcare,
and there is a growing recognition that
early childhood education is immensely
important and provides lifelong benefits.
In addition to standard child care during
the work day, these franchises often also
provide after school programs. Child care
franchises include Smart Readers, Q-dees,
and CIC Children Islamic Centre. In 2015,
FRANCHISORS (%)

Food

229 (35%)

Clothing & Accessories

75 (11%)

Services & Maintenance

77 (12%)

Learning Centre & Nursery

76 (11%)

Health & Beauty Care

67 (10%)

Convenience Shop & Supermarket

17 (10%)

ICT & Electronics

27 (4%)

Other Businesses

91 (41%)

TOTAL

BizPulse | Issue 7 : August-September 2016

659 (100%)

by Hayati Abu Seman

there are 7,086 private pre-schools in

Malaysia with 316,867 enrolments. Growth
in the private pre-school establishment is
at 3.3% compared to last year. However, the
growth in enrolment increased significantly
by 56.0% from 203,081 enrolments. This
shows that the growth in the pre-school
establishment is slow if compared to
growth of demand side i.e. enrolments.
TUTORING AND CHILD EDUCATION
Tutoring in the Malaysia is a popular
franchise option with businesses opting
for an on-site location. The on-site location
based model involves the franchisee having
a centre at which kids come to be tutored
or take classes. In addition to subjects like
math and writing, these franchises will also
often offer standardised test preparation.
Two franchises with this model are Kumon,
Huntington Learning Center, Mathnasium
and Eye Level (previously known as Enopi).
ARTISTIC EDUCATION
Some franchises instruct children in
subjects such as music or painting.
Similar to the options in tutoring, some of
these are home-based by managing the
relevant instructors and matches them
up with students eager to learn or on-site
location. An example of this type includes
Global Art which focusing on learning,
creative expression and artistic abilities
for children.
ADVANTAGES OF FRANCHISING IN
EDUCATIONAL SERVICES
The advantage of franchising in the
educational services area is that the
franchisee has access not only to the
positive reputation and brand name
enjoyed by these franchises but also to
time-tested educational systems. It allows
franchisees to have a role in education
without needing the qualifications or
skills to be a teacher him or herself. In
addition, working with a large company
offers potential marketing advantages
not available to a smaller company.
Purchasing an education franchise is a
great way to succeed financially while
also making a positive impact on the
community. On the demand side, parents
of young children go to great lengths to
ensure that their children get the best
in early childhood care, education and
development. Thus, parents opt to enrol
their children into branded and franchised
educational services.
Hayati Abu Seman is the Head of Business Intelligence
section of the SME Banks Corporate Planning. She
can be reached at hayati.seman@smebank.com.my.

BizPulse | Issue 7 : August-September 2016

PRODUCT

Pembiayaan Kontrak
untuk PKS

by Muhammad Zafri Ismail Khan

elepas pengenalan Rancangan

Malaysia Kesepuluh, RMK10
(2011-2015),
jumlah
perbelanjaan
pembangunan
oleh kerajaan telah melebihi RM271
bilion dari tahun 2011 hingga 2015 dan
melibatkan penyertaan sektor swasta
dan pelabur, terutamanya bagi projekprojek awam seperti pembinaan dan
pengurusan sekolah, hospital dan
infrastruktur masyarakat yang lain.
inisiatif kerajaan yang lain termasuk lima
koridor pembangunan Malaysia serta
pembangunan Greater Kuala Lumpur,
yang diterajui oleh unit penyampaian
kerajaan (PEMANDU).
Di bawah Rancangan Malaysia
Kesebelas (RMK-11), industri pembinaan
dijangka menyumbang sehingga 5.5
peratus daripada keluaran dalam negara

i-REACH

-REACH adalah skim pembiayaan

khas untuk membiayai kontrak
pembinaan,
sivil,
mekanikal,
kejuruteraan, landskap dan lain-lain
kontrak mudah yang berjangka pendek.
Ia adalah skim yang berpatutan dan
lengkap serta tidak memerlukan
sebarang cagaran. Ia menawarkan
pembiayaan modal dan jaminan
bank untuk menyokong kontraktor
melaksanakan dan menyempurnakan
projek dalam tempoh kontrak yang
telah ditetapkan.

kasar (KDNK) kepada ekonomi pada

tahun 2020 dan mempunyai dua kali
kesan berganda dengan lebih daripada
120 industri bergantung kepada sektor
pembinaan untuk pertumbuhan mereka.
Selain itu, MIDF Research berpendapat
bahawa kitaran sektor pembinaan
masih belum mencapai peringkat akhir
relatif kepada jadual projek roll-out
dalam RMK-11 seperti LRT3, Klang Valley
Mass Rapid Transit Line 2 (KVMRT2),
Kompleks
Pengerang
Intergrated
Petroleum (PIPC) di Johor dan High Speed
Railway (HSR) projek. Di samping itu,
objektif utama Program Transformasi
Industri Pembinaan (CITP) adalah
untuk memperkemas dan memodenkan
industri pembinaan Malaysia di tengahtengah Program Transformasi Ekonomi
(ETP), Program Transformasi Kerajaan

(GTP 3.0) serta RMK-11.

Industri bangunan dan pembinaan
merujuk kepada ekosistem pembinaan
yang merangkumi kontraktor, pengurusan
projek, pembekal teknologi, dan khidmat
nasihat, serta pembangunan projek-projek
pembinaan kediaman, perdagangan dan
perindustrian.
Sebahagian
besarnya
diterajui oleh sektor swasta, manakala
sektor awam memainkan peranan dari
segi pembangunan industri, dasar dan
penguatkuasaan, serta insentif dan
promosi.
Sebagai
agensi
kerajaan
yang
dimandatkan untuk menyokong dasar
pembangunan negara, khususnya
pembangunan PKS-PKS, SME Bank telah
memberi pelbagai jenis pembiayaan
kepada kontraktor-kontraktror PKS yang
terlibat di dalam sektor pembinaan,
termasuk pembiayaan kontrak jangka
pendek. Sehingga Ogos 2016, SME Bank
telah meluluskan sejumlah RM50 juta
bagi tujuan membiayai kontrak jangka
pendek pembinaan, awam, mekanikal,
kejuruteraan, landskap dan kontrak
mudah lain.
Dari segi saiz syarikat, sebahagian
besar 68.7% pinjaman diluluskan kepada
syarikat bersaiz kecil, 20.3% pinjaman
diluluskan kepada syarikat bersaiz mikro,
manakala 11.03% pinjaman diluluskan
kepada syarikat bersaiz sederhana.

FASILITI
Jaminan Bank Kafalah: Untuk Bon Perlaksanaan seperti yang diperlukan
dalam kontrak
Bai Murabahah: Untuk keperluan modal kerja (pembiayaan pra-perlaksanaan)
MANFAAT
Kombinasi pembiayaan modal pusingan dan jaminan bank
Tiada cagaran
Kelulusan pembiayaan segera
Tanpa yuran pemprosesan, hanya 0.10% yuran kemudahan dikenakan
Amaun pembiayaan dari RM50,000 hingga RM1 juta (termasuk jaminan bank)
Kadar keuntungan yang kompetitif iaitu 1.00% hingga 1.50% sebulan
bagi pembiayaan modal kerja dan caj perkhidmatan 0.125% sebulan atau
minimum RM100.00 bagi jaminan bank
KELAYAKAN
Pemohon mestilah syarikat/firma berstatus perusahaan kecil & sederhana
(PKS) dengan rekod kredit yang baik
Memperolehi kontrak pembinaan, sivil, mekanikal, kejuruteraan, lanskap atau
lain-lain kontrak yang mudah
Pemberi kontrak mestilah Kerajaan Persekutuan, Kerajaan Negeri, Agensi
Kerajaan, Syarikat Berkaitan Kerajaan dan anak-anak syarikatnya
Kontrak adalah berjangka pendek iaitu tidak lebih daripada 12 bulan
Mohd Zafri Ismail Khan merupakan Ketua Jabatan Pembiayaan Kontrak, SME Bank. Beliau boleh
dihubungi di muhammad.zafri@smebank.com.my
Issue 7 : August-September 2016 | BizPulse

BizPulse | Issue 7 : August-September 2016

BUSINESS ALERT

BUSINESS ALERT
by Corporate Planning , SME Bank Malaysia

OIL, GAS AND ENERGY

RECENT DEVELOPMENT

Oil prices (1st August 2016, Monday) Oil

prices have steadied after touching threemonth lows during a week-long selloff fuelled
by a persistent global supply glut, bringing
the monthly decline to nearly 15%, the
biggest monthly loss in a year for US crude.
The September Brent contract, settled at
USD42.46 a barrel, down by 0.6% on the day
and 14.5% lower on the month, the biggest
monthly drop for Brent since December 2015.
Crude prices remained up more than 55%
from 12-year lows of USD26 to USD27 hit
in the first quarter 2016. The recovery faded
after prices above USD45 enticed U.S. oil
drillers to return to the well pad. Drillers
added 44 rigs in July, the most in a month
since April 2014. Cheap crude has led refiners
to produce more fuel worldwide, adding to
the oversupplied market. Oil majors Exxon
Mobil Corp., BP Plc., Royal Dutch Shell Plc.
and Chevron Corp. each had a poor second
quarter performance due to weak refining
margins.

MIDF Research: The upstream

(exploration and production) subsegment of the oil and gas industry is still
under cost pressure despite stabilizing crude
oil prices. Industry analysts expect Malaysias

downstream sub-segment industry to remain

robust. Work and activity levels at the RM90
billion Refinery and Petrochemical Integrated
Development (RAPID) Project within the
Pengerang Integrated Petroleum Complex
(PIPC) are expected to be at its peak in 20162017.
International Energy Agency (IEA): Higherthan-forecast demand should bolster oil
prices throughout 2016, despite high stocks
continuing to exert downward pressure on
prices. Global demand for oil will grow by
1.4 million barrels per day (bpd) this year
to 96.1 million bpd, revising up last months
forecasts of a 1.3 million bpd rise. Earlier,
OPEC in its July 2016 report had forecast the
global supply glut would ease this year and
next, as producers outside OPEC, particularly
the U.S., cut production. OPEC predicted
global demand growth would pick up in 2017
to allow the market to remove excess stocks.
For 2017, the IEA forecast a 1.3-million-bpd
increase to 97.4 million bpd.

estimates that this year's export outlook for

the medical device industry is expected to
reach RM17.8 billion, a 15% growth in total
exports from 2015.
In the first quarter of 2016, approved
investments increased by 79% to RM841
million as compared to RM468 million in
the corresponding period last year. This will
create 2,380 employment opportunities.
About 76% or RM639 million of these
investments were from foreign sources,
while the balance of 24% or RM201 million
were from domestic investments.
To date, the medical device industry
in Malaysia is made of more than 190
companies dominated by small and
medium-sized companies (SMEs) and
more than 30 Multinational Corporations

(MNCs) such as B. Braun Medical

(Germany), St. Jude Medical (USA),
Haemonetics (USA) and Teleflex Medical
(USA) have made Malaysia their offshore
operations.
BMI:
The
outlook
for
Malaysia's
pharmaceutical market is very positive, with
medicine demand being driven by a growing
population and rising disease burden.
Industry analysts expect the government's
commitment to the improvement of
healthcare services and the expanding list
of zero-rated medicine to help mitigate the
negative effects of the GST implemented
last year. However, economic headwinds
and continued political instability may harm
growth prospects in the short-term.

OUTLOOK: NEGATIVE

HEALTHCARE
RECENT DEVELOPMENT

The government has set aside a special

allocation of RM253 million to upgrade the
Tawau Hospital. It was one of the major health
sector projects approved for implementation
under the 11th Malaysia Plan. The upgrading
project would involve the construction of
six operation theatres, an increase of 154
beds and 38 specialist clinics, upgrade of
emergency and trauma department as well as
support services. The project, which will begin
next year, is expected to be fully operated in
March 2020.

OUTLOOK: NEUTRAL

MIDA: The AMMI (Association of

Malaysian Medical Industries) Medical
Device Industry Outlook Report 2016

TOURISM
RECENT DEVELOPMENT

MIER: Tourism Market Index (TMI) increased by

6.5 points to settled at 99.5 points in the 2Q2016
albeit sitting below the 100 points threshold
level. The rising trends in the 1Q may have
increased both the hotelier and travel agents
sentiments in the second quarter. The recovery
in the tourist arrivals from China as well as
continuous campaign by the Tourism Malaysia
had also contributed to the recovery in the index.
Hotel Operators Index (HOI) Both the
Current Index (CI) and Expected Index (EI)
perform better in the 2Q2016. Jumping
8.0 points from the previous quarter, the
CI rose to 35.3 points while EI picked up to
66.0 points from 62.0 points in the 1Q2016.
Looking ahead hotel operators expect
increases in reservation.
Travel Agencies Index (TAI) The index
recorded a slight easing of 4.2 points to a
BizPulse | Issue 7 : August-September 2016

current reading of 95.8 points compared with

100.0 points in the preceding quarter. The
CI for travel agencies shows an increasing
trend while the EI segment, expected prices
of travel packages recorded significantly
lower by 25.0 points compared with 75.0
points in the 1Q2016.

OUTLOOK: NEUTRAL

Business Monitor International (BMI):

Malaysia is keen to promote its marine
tourism attractions and in June 2016 launched
the country's largest Marine Protected: The
Tun Mustapha Park (TMP) occupies around
1.6 million hectares of seascape, as well as
50 islands and is located by the northern tip of
Sabah in East Malaysia. It is hoped that divers
and snorkelers will be drawn by the expanse of
coral reefs while Malaysia also hopes to attract
volunteer tourists.

The Perak government plans to have two more

theme parks in Bandar Meru Raya to boost its
tourism industry. It was decided that one would
be a water-based and the other, a jungle-based
theme park. In total, Bandar Meru Raya would
have three theme parks include the Movie
Animation Park Studios (MAPS). The RM500
million MAPS is expected to be operated in
December 2016. All three theme parks were
estimated to cost about RM1.0 billion.

BizPulse | Issue 7 : August-September 2016

Business Alert

BUSINESS SERVICES
RECENT DEVELOPMENT

International Air Transport Association (IATA):

Global passenger traffic results for June 2016
showed that demand (measured in revenue
passenger kilometers, or RPKs) rose by 5.2%,
compared to the same month in 2015. This was
up slightly from the 4.8% increase recorded in
May 2016.
Demand for domestic travel climbed by
5.7% in June, outpacing international
demand growth of 5.0% compared to
preceding year.
Demand for travel continues to increase,
but at a slower pace as the fragile and
uncertain economic backdrop, political
shocks and a wave of terrorist attacks
are all contributing to a softer demand
environment.

keep pace with rising air travel as more people

take to the skies in emerging nations such as
China. Passenger traffic is expected to grow at
4.8% a year while cargo traffic is forecasted to
increase at 4.2% per year. Boeing also forecast
demand for 930 new freighters and 1,440

OUTLOOK: NEUTRAL

Boeing Co.: Airlines will order new

planes valued at USD5.9 trillion
(RM23.54 trillion) over the next two decades to

converted freighters on the back of growing

demand in cargo traffic.
MIDA is targeting to approve 100 projects
that adopt the Industrialized Building System
(IBS), with a total of RM2 billion additional
investments by 2020. As of March 2016, MIDA
has approved 56 IBS-related projects with
investment worth RM1.7 billion. The authority
encourages more companies to invest and
help drive this initiative to modernized and
make the construction industry more efficient.
CIMB Research: Total industry volume (TIV)
shrank by 18% YoY to 218,113 units in the
Jan-May 2016, the weakest growth since
2009. Both passenger vehicle and commercial
vehicles decline by 18% and 17%, respectively.
However, industry analysts predict recent and
upcoming launches should push TIV up in the
2H2016. Historically, the 2H2016 sees better
sales as carmakers ramp up promotional
campaigns for the festive season and stock
clearance towards 4Q2016.

COMMUNICATIONS CONTENT AND INFRASTRUCTURE

RECENT DEVELOPMENT

Malayan Banking Bhd (Maybank) has

launched a mobile wallet payment service,
the first in Malaysia. The payment service
is to be rolled out in August 2016 with a
target of 20,000 users within the first year.
MaybankPay will enable customers to make
cashless payments via smartphones and
other handheld devices, which will then be
charged to their Visa cards without having to
use a physical debit or credit card. Payment
is effected simply by scanning their mobile
phone at merchant card terminals which carry
the Visa PayWave capability nationwide.
Maxis Bhd projects that by 2020, about
57 million objects from coffee machines
to vehicles and closed-circuit television
(CCTV) will be connected via the Internet of
Things (IoT).
The IoT is a technology service that
allows objects to be sensed and
controlled remotely across the existing
data network, creating opportunities for

more direct integration of the physical

world into computer-based systems,
resulting in improved efficiency, accuracy
and economic benefit.

OUTLOOK: POSITIVE

CIMB Research: Industry analysts

estimate global smartphone volume
will rise only by 8% in 2016, driven by lowertier models for emerging markets.
In spite of the slowdown in smartphone
growth, local semiconductor players
should take the opportunities to involve
in the radio frequency (RF) space. Strong
demand for mobile connectivity and rising
4G network adoption would drive up RF
content per smartphone and benefiting
these players.
IoT application could be a long-term driver
for the sector, given its growth potential
beyond the communications segment.
Gartner Inc. projects 30% YoY growth in
number of connected devices worldwide

from 6.4 billion in 2016 to above 20

billion devices by 2020. The sector is to
benefit from higher sensor demand, with
rising device application in automotive,
healthcare and consumer segments.
Gartner Inc. - Gartner Worldwide IT Spending
Forecast Report: Malaysia's IT spending is
expected to grow by 6.5% to RM68 billion in
2016, while global IT spending is estimated
to be flat this year at USD3.4 trillion. The
worldwide forecast report indicates:
Data center systems spending is
projected to reach USD174 billion in 2016,
a 2% increase from 2015, while global
enterprise software spending is on pace
to total USD332 billion, a 5.8% increase.
Devices spending is projected to total
USD627 billion by the end of 2016.
Communications services spending is
projected to total USD1.38 trillion in 2016,
down 1.4% from 2015.

WHOLESALE AND RETAIL

RECENT DEVELOPMENT

Nielsen Inc. - Nielsen Global Survey of

Consumer
Confidence
and
Spending
Intentions: Malaysian consumer confidence
gained momentum in the second quarter
2016, climbing eight spots to make the
country the 28th most confident globally.
The survey found that Malaysian consumer
confidence, whose index score hovered at the
78-80 level in the preceding three quarters,
shot up eight points to 87 in 2Q2016.
The nations consumer confidence
outlook is returning, with most Malaysians
believing that the economy was more
resilient than a year ago.

While the economy (45%) and job security

(25%) remained the top two key concerns
among Malaysian consumers, over one
third of them were also positive about
the local job prospects over the next 12
months (36% versus 27% in the prior
quarter).

increased cost of living that made consumer

tend to be more cautious, as well as perception,
which influences buying behavior. However,
analysts expect the 2H2016 to be better with
retail growth around 3%-5%.

OUTLOOK: NEUTRAL

Malaysia Retail Chain Association

(MRCA): The Malaysian retail sector
saw a 2% growth compared with estimation
of 5%-10% growth in 2Q2016, reflecting weaker
sentiment. The market sentiment remained
sluggish due to various factors such as
Issue 7 : August-September 2016 | BizPulse

BizPulse | Issue 7 : August-September 2016

URUS BESTARI

5 Sebab Perniagaan
Perlukan Teknologi
Mudah Alih
oleh BizPulse

ua puluh tahun yang lalu, kita hanya

menggunakan telefon untuk membuat
panggilan atau menghantar mesej teks.
Sekarang, kita membawa seluruh dunia
kita bersama-sama di dalamnya.

Dari maklumat bank kepada kenalan
media sosial, aplikasi pejabat kepada alat
pembelajaran, jika anda perlu mengubahnya
menjadi platform digital, anda akan mendapati
kesemua ini pada telefon pintar. Bagi
perniagaan, teknologi mudah alih merupakan
ledakan komunikasi dan ia boleh merevolusikan
cara bekerja majikan dan pekerja, tidak kira di
negara maju atau membangun.

Bagi perniagaan dalam semua industri,
teknologi mudah alih telah menyediakan caracara baru dan inovatif untuk melibatkan diri
dengan pekerja, meningkatkan produktiviti
dan mengurangkan kos operasi dalam
dunia yang semakin kompetitif. Syarikat kini
kurang bimbang tentang bagaimana mereka
boleh kekal selamat apabila kakitangan
mereka menggunakan peranti mereka sendiri
dalam menjalankan tugas. Mereka akhirnya
lebih mengambil berat bagaimana untuk
memanfaatkan semua teknologi yang hebat ini
supaya ia memberi manfaat kepada kakitangan
dan pelanggan.

Dan ia bukan hanya organisasi besar yang
boleh mendapat manfaat daripada mudah alih.
Untuk perniagaan kecil, kelebihan pemotongan
kos cukup baik dan peluang untuk bekerja
lebih bijak bermakna akan wujud lebih banyak
peluang untuk berjaya dan berkembang pada
jangkamasa panjang and juga terdekat.
1. PENGLIBATAN PEKERJA YANG LEBIH BAIK
Sejak beberapa tahun yang lalu, konsep
penglibatan pekerja yang lebih baik telah
menjadi satu topik hangat. Pemahaman
yang lebih baik tentang keperluan dan proses
pemikiran mereka yang bekerja untuk anda
adalah paling utama dalam mendapatkan
pengeluaran yang terbaik daripada mereka.
Penglibatan yang berkesan juga membolehkan
perniagaan menghasilkan pelbagai strategi
yang membantu mengekalkan dan memupuk
modal insan cemerlang.

Generasi millennia hampir tidak dapat
dipisahkan dari peranti pintar mereka dan
menggunakannya untuk segala-galanya iaitu
membeli-belah sehinggalah untuk berbincang
dengan rakan-rakan mereka. Penglibatan
pekerja yang lebih dalam juga boleh dicapai
dengan mengemas kini dan berkomunikasi
dengan lebih berkesan, membolehkan individu
untuk bekerja dan berinovasi di mana sahaja
mereka berada.
2. PENINGKATAN PRODUKTIVITI
Mempunyai akses kepada maklumat di dalam
sekelip mata, apabila ia benar-benar diperlukan,
membantu untuk meningkatkan produktiviti
dan berada di hadapan. Pekerja tidak perlu
BizPulse | Issue 7 : August-September 2016

menunggu untuk panggilan atau kertas kerja

yang akan datang. Ia dihantar ke telefon
pintar atau tablet mereka dengan segera dan
ini bermakna mereka boleh bertindak balas
dengan lebih cepat.
Gabungkan
ini
dengan
majikan
yang komited untuk bekerja dengan lebih
fleksibel dalam usaha untuk mendapatkan
yang terbaik daripada kakitangan dan anda
mempunyai resipi untuk kerja yang lebih ketat
dan penglibatan yang lebih besar. Kerana
perniagaan boleh bertindak balas dengan lebih
cepat kepada pelanggan juga, ini bermakna
perkhidmatan dan jualan boleh menjadi lebih
baik secara menyeluruh.
Rangkaian dan usahasama boleh
dilaksanakan bila-bila masa, di mana sahaja.
Majikan boleh menghantar maklumat projek
kepada pekerja dan dia boleh menerimanya
semasa dalam perjalanan ke pejabat,
menghantar
komen
dan
mengadakan
perbualan dan tidak perlu menunggu untuk
pekerja log masuk atau mengadakan terlalu
banyak mesyuarat di tempat kerja.
3. APLIKASI BUILDERS MAMPU MILIK
UNTUK PERNIAGAAN KECIL
Perniagaan tidak perlu dikekang oleh keperluan
untuk penggerak besar seperti Microsoft
untuk menyediakan aplikasi yang relevan
untuk mereka. Kini syarikat perniagaan boleh
mendapatkan aplikasi yang dibina untuk
mana-mana perniagaan dan pada kos yang
rendah. Majikan boleh menyesuaikan apa yang
mereka perlukan walaupun tiada pengalaman
pengaturcaraan dan mendapatkan kelebihan
berskala yang bermaksud mereka boleh
bermula dari peringkat asas dan membina
aplikasi mereka sendiri kepada sesuatu yang
lebih kompleks pada masa akan datang.

Aplikasi jenis ini mudah dilaksanakan
kepada kakitangan yang berkaitan dan
digunakan untuk meningkatkan produktiviti
dalam pelbagai cara. Ini termasuklah apa-apa
dari push notification mengenai tarikh akhir
penting atau kalendar untuk pekerja kepada
sesuatu yang lebih kompleks seperti memesan
bekalan dan melaksanakan projek-projek.

Apps juga boleh dibina untuk menentukan
jenama perniagaan dan akan diberikan percuma
kepada pengguna. Ini berfungsi dengan
baik untuk perniagaan seperti restoran atau
mengambil pakaian yang boleh memberikan
pelanggan lebih banyak peluang dan akses
mudah untuk membeli daripada menu. Ia juga
bermakna pelanggan mempunyai peringatan
mudah berkenaan jenama syarikat pada peranti
mudah alih mereka serta akses mudah ke
perkhidmatan atau produk yang membekalkan.
4. PEMBELAJARAN SEGERA (ON-THE-SPOT)
Satu aspek di mana penglibatan pekerja sering
merosot adalah menyediakan kakitangan
dengan tahap latihan dan pembelajaran yang

bersesuaian. Aplikasi pendidikan canggih

sekarang boleh ditambah ke telefon mudah alih
yang membolehkan kakitangan untuk belajar
pada kelajuan dan masa mereka sendiri.

Modul boleh dimuat turun, kemajuan
diuji, dikesan dan disimpan. Anda juga boleh
mengemas kini pekerja dengan peraturan
pejabat dan strategi yang membolehkan anda
untuk memastikan semua pekerja dikemaskini
tanpa memerlukan mesyuarat yang kerap dan
panjang. Kajian menunjukkan bahawa syarikat
yang mempromosikan budaya pembelajaran
dalam persekitaran pejabat mereka adalah 52
peratus lebih produktif, dan boleh menghasilkan
keuntungan yang lebih tinggi kepada syarikat.
5. KERJA LUAR PEJABAT
Salah satu perubahan besar yang dibawa
oleh teknologi baru adalah pekerja tidak perlu
lagi terikat dengan meja mereka. Dengan
perkhidmatan awan dan peranti pintar seperti
telefon bimbit dan tablet, mereka boleh bekerja
di mana sahaja di dunia. Ini telah membawa
kepada banyak perubahan di dalam perniagaan,
terutamanya PKS, beralih daripada persekitaran
pejabat tradisional. Pekerja boleh bekerja dari
rumah, melalui Internet, kini pada telefon pintar
mereka, dan berkomunikasi antara satu sama
lain melalui persidangan dan video laman web.

Kesimpulan
Majikan yang menerima pakai teknologi terkini
seperti mudah alih pasti akan mempunyai satu
permulaan yang lebih baik berbanding pesaing
mereka. Cara kita bekerja akan berubah dan kita
perlu mengikuti semua perkembangan terkini
jika perniagaan mahu berkembang dan berjaya.
Revolusi mudah alih adalah ledakan teknologi
yang paling berkesan dan kekal relevan dalam
dua puluh hingga tiga puluh tahun akan datang.

Fakta Terkini Penggunaan Mudah Alih SME

Bank
SME Bank sekarang menggunakan Apps
untuk tujuan mentadbir dan memantau
liputan kemudahan perubatan setiap staf
supaya ada tanggugnjawab bersama
dalam pengurusan kos dan pihak Sumber
Manusia juga sedang mengkaji bagaimana
Pengurusan Pretasi dan maklumbalas
dari superior boleh digunakan dari aplikasi
telefon.

BizPulse | Issue 7 : August-September 2016

POINT-OF-SALE

How to
Turnaround
Your Sales
for 2H16
by Hanzo Ng

ust when we thought the global economy will recover, we were

shocked with the outcome of the Brexit referendum in which the
UK decided to exit the European Union (EU). This has brought
about uncertainties of sorts to the economies of the UK, the EU
member countries and not forgetting that of the world.

While the first half of 2016 had been tough, the rest of the year
would not be any better with lingering concerns over the spilling negative
effects from the Brexit phenomenon.
Nevertheless, we foresee there are opportunities to turn these
obstacles into strategies of toppling our competitors, breaking even
or even achieving breakthrough results depending on what state ones
business is in. Below are some prospects to ponder:
Everybody Must Sell:
This is one of the most important
thing-to-do for every business
right now. When sales are bad,
everyone must sell. Every director has to
sell. Every director has to lead by example
to see customers and clinch deals. Every
director has to visit customers to survey
opportunities.

For directors who are golf enthusiasts,
use the golf course as a networking site
not playing golf for the sake of pleasure.
More broadly, every personnel must
indulge in some form of marketing. In
light of the soft market for the real estate
sector, many property developers are
rallying their non-sales/marketing staff
to complement their revenue generating
colleagues by embarking on some form of
simple selling or marketing.

Micro Management Is Back:

When the going gets tough, its
inevitable for micro managing to
happen. However, its time to revisit the old school of micro management.
Does it work?

I was once engaged as a trainer for
a mindset issue to inspire bankers into
believing that their products can compete
against those of their gigantic rivals.
Subsequent to my training, the banks
newly-appointed senior vice president

began to micro-manage every single

activity she could possibly get her hands
on, i.e. daily monitoring on sales activities
such as the number of prospecting calls
made, meetings held, whereabouts of
sales people, deal size, etc.

The end result was sales performance
started to turnaround. Along the way, the
unit even achieved one of the highest
monthly sales record ever in the history of
the bank.

Back when I was a sales manager
for an American company, I would haul up
my sales people twice daily once in the
morning and once in the afternoon. I took
them from a No. 6 spot to No. 1 by relying
on my three main micro-management
strategies (i) Ensuring staff conduct
some basic research prior to attending

their meetings, (ii) Ensuring staff are

motivated before the day starts, and (iii)
Ensuring they are capable of delivering
what is expected of them.
Work Harder:
Prospecting in tough times
takes a new dimension from
that during good times. Unlike
in good times where one can take his/
her sweet time to execute business deals,
efforts have to double in tough times.

I was recently engaged by a global
recruitment firm whose sales staff
lack prospecting vision not enough
appointments with clients which resulted
in low sales opportunities.

After a days training, I went to their
office to drive change into the environment.
The entire sales team was pushed 100% to
their limits. It was tough and intense but
the end results were awesome.

In June, Malaysia was No. 5 in their
standing but for July, Malaysia broke their
previous record to become their new Asia
No. 1 in terms of sales target achievement.
Even the regional director from Singapore
was shocked as such an outcome was
unheard of in the past.

The moral of the story is there are
no brakes until there is breakthrough! If
sales staff are in their comfort zone, they
shouldnt be in the commission zone.

Hanzo is currently the Group CEO of The Sales Ninja Group, a regional sales solutions company. For more
information on Sales Ninjas programme or training, visit www.SalesNinja.asia.

Issue 7 : August-September 2016 | BizPulse

10

BizPulse | Issue 7 : August-September 2016

HUMAN RESOURCE MANAGEMENT

Set Goals for

Your Employees
by Shahrir Amran

Setting goals with your employees is an essential element of

effective human resources management.

here are a variety of reasons to set

employee goals. Goals can: focus
employees on the purpose of your
business; enhance your chances
of success by applying your employees
efforts to your companys long-and shortterm success; and motivate employees.
Employee goal-setting is also an
important part of an employee appraisal
or bonus program because without goals,
achievement is not easily measured.
To be effective, employee goals must
be clear and understandable. Each goal
must be concrete, attainable, and critical
to the growth of your business. The tips
below will help you set good goals:

SET GOALS WITH EMPLOYEES

Employees are often the best source

for information about what job-specific
goals will contribute to overall increased
productivity, responsiveness, or other
business goal. Involving employees in
goal-setting also eliminates the potential
for the resentment that can arise when
goals are imposed.

REEVALUATE GOALS FREQUENTLY

At a minimum, do this halfway through

the year to insure that goals still make
sense and that employees are on track.

MAKE GOALS SPECIFIC AND

MEASURABLE

Dont set goals such as Do a better

job, because a general goal does not
instruct an employee in what steps
to take. An example of a constructive
goal is Increase response time to
customer calls by 30% or Cut customer
complaints by half.

GOALS DONT HAVE TO BE TIED TO

SALES

Dont automatically assume that bonuses

should be tied to increased sales or even
profitability. For example, it may be
most important in a given year
for your business to cut costs or
raise visibility. Tie bonuses into
that critical goal rather than one
that is traditional.
Make sure employees goals are attainable
Many people have a tendency to set
goals too high. Unattainable goals lead
BizPulse | Issue 7 : August-September 2016

to employee frustration and lack of

motivation and it is your job to make sure
that employee goals are realistic.

BE CONSISTENT

Dont set different goals for employees

the same responsibilities. Not only will
this likely breed resentment, but it can
put you in legal hot water in terms of
charges of discrimination.

WATCH YOUR TIMING

Its common for businesses to set

annual employee goals at the beginning
of the year. Others may want to do it
before a busy season, or at an annual
company meeting. Be careful to set
employee goals and conduct evaluations
on a calendar year, not on employee
anniversaries. This way, it will be
easier for you to compare performance
between people with similar jobs.

AVOID RIVALRY

You want your employees to work against

your competitors, not each other. Avoid
things like contests as part of your goal
setting. Instead, have your employees
strive to meet a specified target within a
specified period, and reward those who
meet it. By doing this, you provide all of
your employees with incentive to share
information and help each other.

SET GOALS THAT TIE EMPLOYEES

INTO THE SUCCESS OF YOUR
COMPANY

You might want to base financial

incentives on the overall goals of your
company. This can be used to encourage
teamwork, and for everyone in the
company to know that they are involved
in your growth and continued prosperity.
For example, Levi Strauss has set
financial goals for the company for the
year 2001; if the company attains that
goal, it will be possible for each employee
to get a bonus equivalent to their entire
1996 salary!!!

Shahrir Amran is the Director of Group Human

Capital Management, SME Bank Malaysia. He can
be reached at shahrir.amran@smebank.com.my.

BizPulse | Issue 7 : August-September 2016

SEMBANG USAHAWAN
PRODUCT

Temubual oleh Akmar Kamari

SEMBANG USAHAWAN bersama

Dato' Felician Teo

Ketua Pegawai Eksekutif

Nama Syarikat
Eaton International School
Bidang Perniagaan
Pendidikan
(Sekolah Antarabangsa Swasta)
Alamat Perniagaan
Commerce Village
Jalan Jade Hills Utama 1/2
43000 Kajang
Telefon
+603 8741 4965
Website
www.eaton.edu.my

aton International School (Eaton) bercita-cita untuk menjadi penanda aras antarabangsa
untuk sekolah-sekolah di Asia pada masa akan datang. Ditubuhkan oleh sekumpulan pendidik
yang komited dan passionate dengan rekod prestasi individu lebih dari 20 tahun dalam bidang
pendidikan swasta dan antarabangsa, aspirasi Eaton adalah untuk menawarkan persekitaran
sekolah yang mempunyai etos yang sinonim dengan pembelajaran kreatif dan personalised, ketrampilan
akademik yang kukuh dan memberi inspirasi yang merangsang dan pengalaman pembelajaran yang
menyeronokan untuk pelajar.

Dato Felician Teo, Ketua Pegawai Eksekutif Eaton International School, telah bersama dengan
Eaton sejak penubuhannya pada 2013. Beliau yang memperolehi ijazah sarjana muda sastera dari
Alberta, Kanada dan sarjana muda undang-undang dan sarjana undang-undang dari Hull, United
Kingdom, adalah seorang pemimpin pelajar dan sangat aktif dengan aktiviti tanggungjawab sosial
semasa zaman persekolahannya di Vancouver dan di universiti. Baru-baru ini Dato Felician telah
melapangkan masa untuk bertemu dengan BizPulse bagi berkongsi pengalaman dan pendapat beliau
dalam dunia pendidikan antarabangsa dan memberi pengenalan tentang kampus terbaru Eaton yang
bakal beroperasi pada September 2016.
S: Apakah yang mendorong anda untuk
memulakan perniagaan dalam industri
pendidikan?
Sebelum membuka Eaton International School
pada 2013, saya telah berkecimpung di dalam
industri pendidikan lebih dari 15 tahun. Saya
telah menjadi Ketua Pegawai Eksekutif di
sebuah kolej swasta dan sebuah sekolah swasta
yang lain sebelum ini. Di dalam tempoh tersebut
juga saya telah terlibat dalam penubuhan
dan pengurusan beberapa sekolah swasta
dan antarabangsa daripada peringkat prasekolah sehinggalah tertiary di Malaysia, China
dan Vietnam.

Sebenarnya jika dilihat latar belakang saya
bukanlah daripada bidang pendidikan apatah
lagi sebagai pendidik tetapi sebenarnya naluri
saya memang cenderung kepada perkembangan
minda khususnya kanak-kanak. Bagi saya,
pembentukan minda di kalangan kanak-kanak
pada peringkat awal iaitu seawal pra-sekolah
dengan sistem persekolahan dan pendedahan
serta persekitaran yang dirancang dengan
kaedah-kaedah yang tertentu dapat membantu
seseorang individu menjadi lebih grounded dan
mencapai kepada potensi sepenuhnya.
S: Kenapa anda memilih pendidikan
antarabangsa dan apakah manafaatnya?
Globalisasi telah mengubah dunia yang kita
diami pada hari ini. Pendidikan antarabangsa
menyediakan kanak-kanak dengan pendidikan
yang berkualiti tinggi, yang penting dalam
persekitaran global yang semakin kompetitif.

Di dalam dunia yang bergerak maju
sekarang, generasi baru tidak melihat pendidikan
dari sudut dalam negara sahaja. Generasi
sekarang menilai pendidikan dari sudut
pelaburan jangka panjang. Mereka mahu anakanak mereka menghargai bahasa dan budaya
yang berbeza dan bercakap pelbagai bahasa
kerana bahasa adalah aset yang bernilai. Di
sekolah antarabangsa, mereka dapat berhubung
dengan kanak-kanak daripada pelbagai budaya
dan seterusnya apabila mereka menyambung
pelajaran di peringkat yang lebih tinggi,
pengalaman, pembelajaran dan skillset yang
diperolehi di sekolah antarabangsa memberikan
nilai-tambah untuk mereka berjaya di manamana universiti.

Kurikulum Kebangsaan Bahasa Inggeris
dan Cambridge International Examinations
yang digunakan oleh sekolah antarabangsa
menyediakan program pengajian dengan
pandangan global. Ini digabungkan dengan
prosedur penilaian di tanda aras di peringkat
antarabangsa menyediakan pelajar untuk
belajar di universiti mana-mana sahaja di dunia

dan melengkapkan mereka dengan pelbagai

kebolehan, daya kepimpinan, pemikiran dan
kemahiran untuk menyelesaikan permasalahan
di tempat kerja global.
S: Apakah aspirasi perniagaan anda?
Kami di Eaton mahu mewujudkan satu generasi
baru individu muda yang forward-thinking,
pencipta, pemimpin dalam bidang yang dipilih,
individu penyayang dan yang akan menentukan
dan membentuk masa hadapan yang positif
untuk diri sendiri dan orang lain dalam
masyarakat global.
Kami percaya bahawa kanak-kanak
mampu mencapai potensi di luar jangkaan
mereka sendiri dengan syarat mereka dipupuk
dalam persekitaran sekolah yang menggalakkan
pembelajaran aktif, penemuan diri, kreativiti dan
semangat untuk belajar dengan cemerlang.

Etos Eaton adalah kepercayaan bahawa
semua pelajar boleh berkembang maju dan jika
mereka menikmati pengalaman pembelajaran
yang berkesan di sekolah. Ciri-ciri pendidikan
Eatonian adalah perkongsian pelajar tentang
perspektif baru, menolak had keupayaan di dalam
mencapai cita-cita mereka, membuat perubahan
kepada diri mereka sendiri dan kepada orang lain
dan menjadi individu penyayang dan bersedia
untuk menyumbang kepada negara dan juga
dalam komuniti global.
S: Apakah pembaharuan yang ada di kampus
baru Eaton yang akan beroperasi pada
September 2016?
Apa yang membezakan kami dari sekolahsekolah lain ialah Eaton menyediakan
persekitaran pembelajaran yang positif dan
menarik yang mana ruang pembelajaran direka
dengan mengambil kira keperluan pembelajaran
para pelajar seperti di rumah sendiri. Kampus
baru Eaton dimodelkan berasaskan school of
the future dan bersedia untuk merevolusikan
landskap pembelajaran abad ke-21 di
Asia Pasifik.

Mengguna pakai Kurikulum Kebangsaan
Bahasa Inggeris dengan kesedaran tentang
konteks antarabangsa dan tempatan, Eaton
menggunakan ruang pembelajaran kreatif
dengan keperluan masa depan.
Kami
menawarkan
pendidikan
antarabangsa kelas pertama yang disampaikan
oleh guru-guru ekspatriat di sekolah gaya
Inggeris di mana keputusan akademik yang
cemerlang
diadun
dengan
pengalaman
ko-kurikulum yang unik.
Dengan perkembangan teknologi dan
innovasi masa kini, kami mengaplikasikan aspek
ini dalam persekitaran pembelajaran di Eaton
sepenuhnya seperti penggunaan papan putih
interaktif dan TV Apple yang dipasang di semua
bilik darjah. Pelajar-pelajar juga menggunakan
iPads di dalam semua bidang pengajian untuk
memudahkan pembelajaran mereka.
Kebanyakan guru juga mempunyai
pengalaman di luar negara mengajar Kurikulum
Antarabangsa Cambridge. Guru homeroom
di peringkat rendah disokong oleh guru-guru
pakar dalam drama, seni, muzik, renang dan
bahasa asing moden. Guru-guru kami berbahasa
Inggeris sebagai bahasa ibunda dan sebahagian
besar daripada mereka berasal dari United
Kingdom, berkelayakan dan berpengalaman
dalam mengajar Kurikulum United Kingdom.
Pada peringkat menengah, semua tenaga
pengajar merupakan guru pakar dan layak untuk
mengajar mata pelajaran mereka ke peringkat
IGCSE atau 'A' Level.
Issue
Issue77::August-September
August-September 2016 | BizPulse

11
11

12

BizPulse | Issue 7 : August-September 2016

KNOWLEDGE SPA
Reviewed by Ahmad Azuar Zainuddin

Discover the Potential

of the Education Sector

Project
Coordinator : Sheikh Ghazali Abod, PhD
Project Leader : Shamshubaridah Ramlee,
PhD
Hardcover : 108 pages
Publisher : Centre for Entrepreneur
Development and
Research (CEDAR)

ducation is a major contributor to

the social and economic capital
development. Hence, it should
come to no surprise that many
governments accords the sector priority
status and allocates approximately 10%
to 20% of their national budget for the
purpose of educating and developing its
people. In its effort to transform itself
into a high-income developed nation by
2020, Malaysia has given the education
sector special attention as one of the Key
National Economic Areas (NKEAs). The
sector encompasses early childcare to
the tertiary level education and beyond.
Malaysia is fast becoming a centre
of education excellence in the region

with over 450 universities, and colleges

operated by the private sector.

Recognising the importance of the
education sector to the nations economy,
the Centre for Entrepreneur Development
and Research (CEDAR), in collaboration
with the International Islamic University
Malaysia had published the Industry
Research on the Education Sector. The study
which focuses on the fast growing private
higher education sector seeks to provide
a deeper understanding of the industry,
its potential, markets, dimensions,
challenges and business prospects for
existing players as well as new entrants.
Towards this end, the research conducted
interviews with the CEOs and managers
of private higher education institutions to
gather information for SWOT (strengths,
weaknesses, opportunities and threats)
analysis of the industry and to provide
financial statement analyses.
The
research
comprises
nine
chapters which include: an overview of
the Malaysian education industry, analysis
of interview findings, issues related to
operations stage, factors determining the
success or failure of colleges, pressing
issues for private education industry,
analysis of financial statements, role of
the regulators, steps to establish a private
college and overview of the National Higher
Education Fund Corporation (PTPTN).
From the study, it is clear that
location and the programmes are
important factors for this sector. Private
education providers are concentrated in
areas where purchasing power is high,
i.e. Kuala Lumpur, Selangor and Penang.

Johor, Perak and Sarawak are also coming

up. The study also shows that business
administration, as well as computer and
information technology, are among the
more popular programmes.

The financial statement analyses
confirmed that the education industry
is a high-risk industry due to the high
fixed-cost nature of the business. It has
substantial costs to bear even before
starting to operate, i.e. while waiting for
approvals from the Ministry of Education
and the Malaysian Qualification Agency
(MQA). The profitability of the industry
is highly sensitive to student intake and
fees collected. This situation is further
accentuated by the long gestation period
for a college to start making profits.
Financing this developmental period
becomes crucial for the survival and
the ultimate success of an educational
institution. The financial statement
analyses also showed that on average,
the private education sector has adequate
liquidity and solvency, which means once
it is up and running, it is a cash generator.
To purchase the SMEs in Malaysia
research series, call 03-2615 3082,
e-mail to nanthakumaran@smebank.
com.my or log on to www.cedar.my.

Ahmad Azuar Zainuddin is a Senior Associate at the

Centre for Entrepreneur Development and Research
(CEDAR), a wholly owned subsidiary of the SME Bank
Malaysia. He can be reached at ahmad.azuar@
smebank.com.my.

ENTREPRENEURS EVENT CALENDAR

9-10
Sept
&

9-10
Sept

YOUNG
ENTREPRENEUR
PROGRAMME (YEP)

Venue:
Menara SME Bank, KL

29-30
Sept

SME SOLUTIONS EXPO

2016

5-8
Oct

INTERNATIONAL
GREENTECH & ECO
PRODUCT EXHIBITION &
CONFERENCE MALAYSIA
(IGEM 2016)

Venue:

Venue:

The YEP is a specially designed 2-day

programme
that
provides
young
entrepreneurs with essential skill-sets
for success from generating ideas to
financial projections. The programme
will also help entrepreneurs to develop
a full set of business proposal for the
Young Entrepreneur Fund (YEF) financing
application.

The SME Solutions Expo 2016 is a tradeshow established specifically for the
interest of SMEs, allowing both exhibitors
and visitors alike to forge new business
opportunities. Serving as a platform for
networking and product showcasing, the
event aims to give existing SMEs a higher
market presence in todays competitive
economy.

IGEM 2016 provides a platform for the key

drivers of the Malaysias Green Technology
sector. Conceived in the year 2010, the
IGEM series is position to lead and gather
industry players and professionals from
the public and private sectors to explore
and grasp the lucrative opportunities in the
green market.

www.cedar.my

www.smeexpo.asia

www.igem.my

BizPulse | Issue 7 : August-September

August - September2016
2016

Kuala Lumpur Convention Centre

Kuala Lumpur Convention Centre