[ BP Plas Company ]

http://www.bpplas.com/new/

Term Criteria

1) Authorisation
2) Objectives
3) Scope
4) Limitations
Introduction
( 1 page )

Refers to the examples given on the file.

1) History of the company
http://www.bpplas.com/new/index.php/page/content/co
mpany-profile/
http://www.bpplas.com/new/index.php/page/content/co
Background mpany-history/
to the
organisation 2) Mission & Vision
http://www.bpplas.com/new/index.php/page/content/visi
on-mission/

( 2 page )
 3.1. General environment analysis
https://www.strategicmanagementinsight.com/tools/pest-
pestel-analysis.html

Internal factor : -

1) Marketing
* Marketing and sales, to makes the profit growth with the
unlimited customers.

2) Operation
* Management on the company control on how’s the
business going.

3) Finance
* Cash inflow & outflow towards anything, raw materials &
delivery fees.
In FY2012, the Group export sales increased to 70% compared to 67% in
FY2011. The stretch films segment remains our core business which
Situation dominates 69% of sales while the other PE films products contribute the
analysis balance 31%. Japan maintain as our top export destination with 17% sales.
Korea, Australia, Asean and Europe are the other major export destinations.
Domestic sales were also lower due to the decelerating global demand which
indirectly reduced the consumption of packaging film as there were less
demand multiplier effects.
As per Bank Negara report 2012, the world economy registered a 3.2%
growth rate in FY2012 due to weak demand. Malaysia achieved a favourable
5.6% GDp growth due to strong domestic-oriented industries performance,
particularly the construction related cluster which witnessed robust
construction activities and the consumer based cluster which saw strong
performance in the transportation equipment production segment, as well as
in food and beverage manufacturing. Although Malaysia’s manufacturing
sector recorded a healthy 5.5% growth in revenue to RM622.3 billion in
FY2012 compared to RM590.1 billion in FY2011, the plastic industry however
registered a marginal contraction of 1.2% in sales revenue to RM15.9 billion
compared to RM16.1 billion achieved in 2011 due to slowing demand from
Euro zone. The plastic packaging segment recorded a 0.8% decline in export
revenue to RM7.10 billion compared to RM7.16 billion in 2011. Meanwhile, the
plastics Film and Sheet subsector was relatively worse off with 2% contraction
in export sales to RM3.63 billion in FY2012 (2011:RM3.71 billion)

4) Administration
* How’s the company taking care and maintaining the
company stay in the game.
 External factor : -

1) Political
* Employment law.
* Health and safety law.

2) Economical
* Stage of business cycle.
* Growth rates.

3) Environmental / Geographical
* Able to go worldwide, with the strategic places of
company.

4) Social / Demographic
* Attitudes toward product quality and customer service.
* Emphasis on safety.

5) Technological
* Basic infrastructure level.
* Rate of technological change.
* Spending on research & development.
* Technology incentives.

3.2. Industry conditions (Porter’s Five Forces Analysis)

https://www.strategicmanagementinsight.com/tools/porters
-five-forces.html

1) Threat of new entrants

* There’s quite a number of list of the rubber and plastic
companies around Malaysia, it’s the same meaning on it’s
actually the moderate threats from others to entering this
field.

2) Supplier power
* high supplier power towards those loyalty company.
http://www.bpplas.com/new/index.php/page/content/su
pply-chain-management/

3) Threat of substitute
 * high, due to a lots of the similar companies existed
around Malaysia.
* customers have the power to choose, so it’s the
company’s responsibility to make customers to feel
appreciated.

4) Buyer Power
* Loyalty customers would definitely repeat the order with
the same supplier company, as long as the quality is still
good enough as usual.

5) Intensity of rivalry
* due to the high rivalry within the same industry, the
company have the unique product to sell out and have the
loyalty customers to provide the materials.

3.3. SWOT analysis

https://www.strategicmanagementinsight.com/tools/swot-
analysis-how-to-do-it.html

1) Strength
* high profitability and revenue
* high growth rate
* strong Corporate Social Responsibilities
* high control over each of the staff

2) Weakness
* future profitability

3) Opportunities
* growing economy
* make it world wide

4) Threats
* financial capacity
* cash flow
* tax changes
* rising cost of raw materials
* government regulations
* technological problems
* growing competition and lower profitability
* price changes
 3.4. Value Chain Analysis
https://www.strategicmanagementinsight.com/tools/value-
chain-analysis.html

Strategic 1) Strategy Alliance – Joint Venture & Partnership

options 2) Organic Development – Go Green Style
for the 3) Diversification Development – Move into other field to
organisation generates more business growth
1) Cost – enough for the investment ? where’s come from ?
Key selection
2) Timeliness – years ?
criteria
3) Risk – daring to bare ?

Recommend Choose 1 from above.

Conclusion Conclude everything.