NAMA

: ABD RAZAK BIN MISBAN

NO PELAJAR

: 2016808904

KOD ROGRAM

: AA901

PROGRAM

: DOCTOR OF BUSINESS ADMINISTRATION

COURSE

: ORGANIZATION TEORY AND DESIGN

LECTURER

: DR ABDUL RAHMAN BIN ABDUL RAHIM

Felda Global Ventures Holdings Berhad (FGV) is a Malaysias leading global agribusiness and is
the worlds largest producer of crude palm oil (CPO). FGV have operations in more than 10
countries across Asia, North America and Europe. Incorporated in Malaysia as a private limited
company 2007, FGV progressed into a diverse agri-business company and rapidly established
itself as Malaysias leading global agri-business player.

FGV are the worlds largest producer of crude palm oil (CPO), a leader in Malaysias sugar
industry and a pioneer of cutting edge green technologies, anchored by a 19,000 strong
workforce and a global integrated supply chain able to add value to every endeavor and operates
under six main business cluster;

Palm Upstream
Palm Downstream
Rubber
Research & Development (R&D) and Agri-Services
Trading, Marketing , Logistic & Others

FGV progression towards becoming one of the worlds leading agri-business by year 2010 will
open up global possibilities and potentials through agri-business solution. FGV strongly holds to
belief that future of the Group is shaped and determined by its people thru;

Vision
To be the leading globally diversified integrated agri-business

Mission
To be a global leader by:

Creating value through our human capital

Championing our locally invested culture.

Building an integrated value chain advantage
Cultivating diversification in commodities and geography

Core Values
PRIDE (Partnership, Respect, Integrity, Dynamic and Enthusiasm)

Partnership - We believe in true partnership and recognize that we are stronger and more
effective as a team rather than as individuals the best solution comes from collaboration

with colleagues and business partners to achieve our desired result

Respect - Our sustained success and achievement can only come with respect for people
be it colleagues, peers, customers, partners, or the environment. Only with respect, can

we move faster towards achieving our goals

Integrity - We believe integrity is about being responsible and accountable for ones own
actions and behaviors. As a global leader, we value honesty, commitment and strong

ethics as part of our culture.

Dynamic - We will push ourselves to create uncharted opportunities in the best interest of
our stakeholder and communities beyond traditional boundaries. We are committed to

pursue our aspiration with humility within our sphere of influence

Enthusiasm - We strive to lead with passion and believe that every individual in our
organization makes a difference. This makes us a company that is resilient and has the
stamina and commitment to deliver our global ambitions.

In the context of FGV organizational management, it can see the adoption of Abraham Maslow
theory that suggested humans or employee, are motivated to satisfy five basic needs and are
arranged in a hierarchy in the development of vision, mission and core values. FGV concerned
on their employee satisfaction from the lowest level to the highest level of the needs. The
Hierarchy of Needs that is mentioned by Maslow is as follows:
1. Physiological Needs (basic issues of survival such as salary and stable employment)
2. Security Needs (stable physical and emotional environment issues such as benefits,
pension, safe work environment, and fair work practices)
3. Belongingness Needs (social acceptance issues such as friendship or cooperation on the
job)
4. Esteem Needs (positive self-image and respect and recognition issues such as job titles,
nice work spaces, and prestigious job assignments.)
5. Self-Actualization Needs (achievement issues such as workplace autonomy, challenging
work, and subject matter expert status on the job)

In FGV employees emphasis on the lower order needs of physiology and security makes sense.
Beginning with their career that they will be very concerned with physiological needs such as
adequate wages, stable income, good salary to meet the needs of their family besides the
security needs such as benefits, the safe and stable work environment which being prudently
managed by Human Resources Group. FGV also set a clear mission and core values to drive the
very brightest and best people to work for FGV as well as to recruit and retain their employee at
the best environment and management to encourage innovation, communication, collaboration
and commitment. Furthermore for FGV, human capital is the absolute key for their future, and
they look to create real tangible value by their our superior effort and input, always striving to go

way beyond the concept of doing the job enjoying what we do, and the benefits we achieve
from it, and committing to a long term mutually supportive relationship.

Besides that the management theory of Henri Fayol includes 14 principles of management can be
seen in FGV organizational management structure. From these principles, Fayol concluded that
management should interact with personnel in five basic ways in order to control and plan
production. The functions of Management are as follow
i.
ii.
iii.
iv.
v.

Planning
Organizing
Staffing
Directing
Co-ordinating & Controlling

Therefore FGV control the operational function through the organization chart which is used in
the sense that a manager must receive feedback about a process in order to make necessary
adjustments and must analyze the deviations. Therefore conflicting lines of command were to be
avoided and an employee should only receive direction from one manager, rather from several
sources, whether legitimate or perceived. They strictly adhered-to and well-defined hierarchical
chain of command within a centralized organizational model represented the natural order of an
effective and efficient business. Meanwhile among 14 principles, introduced by Fayol, he
expressed the need for the subordination of individual interests to the greater interests of the
organization. Fayol believed in "esprit de corps," or the nurturing of morale and a team spirit
throughout the entire organization. Fairness and equity were viewed as an important part of the
way employees were to be treated that can be seen in FGVs Core Values.