3.

0 LOCUS OF DECISION MAKING

Decision Making in Kayuh.Co is the process through which our managers and leaders identify
and resolve problems and capitalise on opportunities. We believe that quality and time decision-
making is essential for the success of our company. Our organization’s ability is to make good
decisions is really vital in the face of increasing global competition and greater uncertainty from
exposure to greater competitors.

3.1 Programmed Decision

Kayuh.Co’s programmed decisions are structured and repetitive for which an existing set of rules
can be developed to guide the process. One of our prominent programmed decision is during the
back to school season, at the beginning of each term, we will include a free bicycle lock with a
new bike purchase. Our business will try to have a special purchase of an economy value bike for
each term to make it accessible to middle and lower class family for their children to easily
accommodate to school using our bikes.

Next, Kayuh.Co prioritise market demand for bicycle aswell. Therefore, we have a special
team to review latest trend in demand for any kind of bikes. Moreover, more individuals have
preferred bicycles for commuting to work and school with the recent fuel price rising. This has
led demand for bicycles and accessories to rise, where markups are sometimes 50% or higher.
Service sales have also grown as more individuals are tuning up and servicing their new bikes on
a daily basis. Henceforth, our marketing manager will have a clear-cut mechanical procedure to
market Kayuh.Co as the best bicycle provider for people’s needs.

3.2 Non-programmed Decision

Non-programmed decision in Kayuh.Co is often made under crisis conditions that depend on our
managers judgement and creativity. One of the biggest issue that our company has faced
throughout years in business is when the coronavirus pandemic hit Malaysia. Kayuh.Co , in
particular, has been severely affected since the government asked people to quarantine
themselves, which greatly restricted face-to-face service in our physical stores. People were
being asked to stay at home and avoid any big crowds putting our company at risk in terms of
sales and revenues. Consequently, the team at Kayuh.Co sat down and discussed solutions on
how to overcome this problem by brainstorming. Our employees generated various ideas on any
issue arise in the organization. It promoted complete creative freedom and making our company
expose to different opinions and ways to tackle a problem.

We decided to create an online website for people to purchase our bikes. Customers
have the option to pay an extra for a personal delivery or they can simply pick-up at Kayuh.Co
store. Disinfection of our materials and individual packaging of products to prevent droplet
infection have been added to our company’s everyday routines in response to customer demand
for safety. Our employees religiously followed the Standard Of Procedures (SOP) from the
government to secure trust from our clients whenever they purchase our bikes.

Due to the abrupt announcement and actions made by the government, most organizations
had to hold their ongoing business. This also affect Kayuh.Co’s bicycle production because were
were unable to receive stable supplies of products from our business partners. In that case, our
reliable officers had to come up with new operations to deal with stockout issues, such as
limiting purchases to one per customer for certain bicycle models while waiting for the
Movement Control Order (MCO) to lift up.