MGT162: Fundamentals of Management Report

FACULTY OF BUSINESS AND MANAGEMENT

DIPLOMA IN INVESTMENT ANALYSIS (BA114)

LECTURER: PUAN NAZIHAH BINTI OMAR

DISEDIAKAN OLEH: JBA1141C

NAMA NOMBOR MATRIKS

Muhammad Farhan Bin Faizal 2022493702

Muhammad Aiman Syahmi Bin Azli 2022603604

Muhammad Syukri bin Mohd Som 2022817446

Balqish Humaira Binti Ahmad Farid 2022605722

Noraina Nafeesa Binti Rasid 2022491896

DATE OF SUBMISSION 11TH JANUARY 2022

Page 1 of 20
 TABLE OF CONTENT

NO TITLE
1 INTRODUCTION
2 PLANNING
3 ORGANIZING
4 LEADING
5 CONTROLLING
6 REFERENCES

Page 2 of 20
 ACKNOWLEDGEMENT

We have taken lots of efforts in this group assignment and we are incredibly
grateful because that we managed to complete our Fundamentals of Management (MGT
162) group assignment within the period time given by our lecturer Madam Nazihah. The
success and outcome of this group assignment required lots of kind and support, co-
operation and the effort from our group members, Muhammad Farhan, Muhammad Aiman
Syahmi, Muhammad Syukri, Balqish Humaira and Noraina Nafeesa. To make it clear, our
task will be describe about the management of our digital textile printing named “AQ REKA
Sdn Bhd” also known as AQR.

Everything that we have done is only due to such guidance and assistance and we
would not forget to express our gratitude towards them all. We also sincerely thanks to
Madam Nazihah, our lecturer of MGT 162 for the encouragement infinishing this assignment
and willingness for teaching us in this challenging course. Lastly, we would like to express all
our gratitude to our friends and family for the support and as well, thanks and appreciation
also go to those both directly and indirectly helped us out in developing the assignment.

Page 3 of 20
 INTRODUCTION

BACKGROUND OF AQ REKA SDN BHD

AQ Reka Sdn Bhd is one of the largest printing company in Selangor. AQ Reka Sdn
Bhd is a company that provides printing service in Malaysia with the business concept of
‘Digital Printing Textile’. AQ Reka Sdn Bhd was established on 24th March 2017. This
company prints various type of product which are jersey, printed hijab, tracksuit and canvas.
This business is owned by Puan Norashikeen and managed by Encik Rosdi bin Lukman.
This company have various type of materials to be chosen by the customer. It operated well
for this 6 years. They also provide services for customer from Singapore, Brunei and
Indonesia. It found that AQ Reka is one of the cheapest factory to custom sublimation
printing in Malaysia.

The first process is printing. Design sent by designer will be arrange in Adobe Illustrator to
be printed. Usually a machine from Japan can run 24 hours nonstop with proper
maintenance by the factory. It will then be cut into it shape. This process can be done
manually by humans or with laser cutting machine.

Page 4 of 20
The parts that has been cut will then be sewed by the tailor. This part will be the longest part
because some of the collar design is complicated such as Retro Collar. So mostly job will
stuck at their queue.

Last but not least, all product will undergo packing part. During this part, product that
defected will be detected and be replaced for a new one. All item that completed will be sent
to customer.

Page 5 of 20
 THE MANAGER

Chief Rosdi bin Lukman is the Top-level Manager of AQ Reka Sdn Bhd. A manager
responsible for controlling or administering an organization or group of staff. They are also
describe as a person regarded in terms of their skill in managing resources, especially those
of a household. He maintains staff by recruiting, selection, orienting and training employees.
Ensures a safe, secure and legal work environment. He develops personal growth
opportunities and accomplishes staff results by communication job expectation; planning,
monitoring and appraising job results.
He represent the highest level of executive management. Top-level manager often
have the word “chief” in their job titles. He helps sustain the company’s growth and execute
plans over the long term. He makes major business decisions such as launching a new
product or restructuring departments with the goal of seeing the company thrive, not just in
the moment but into the future. Additional duties of top-level managers might include
facilitating strategic partnerships with other companies or deciding to take a company public.
He using the coaching style focus on developing their team members, helping them
hone the skills they need to perform at an optimal level. It’s a great approach in company
cultures that prize team building and employee development, but it requires a lot of direct
monitoring and regular feedback. The coaching approach might be the best in situations
where managers are interested in not just completing a project, but in helping individual
employees hone their skills and progress in their careers as well. He is able to to set a vision
for their employees, insipire action and hold everyone accountable.

Page 6 of 20
 PLANNING

Planning is defined as setting goals and finding the right action to achieve those
goals. Effective planning can help manager to have a better coordination, forces manager to
think ahead, manager able to identify problems and can take actions to solve the problem,
helps manager to eliminate any useless between department and enable to forecast the
future risk faced by the organization.

From the last interview session with AQ Reka Sdn Bhd, there are a few missions statement
that can be concluded. Which:
 Provide the best printing services fabric especially clothes and scarf to give best
experience to the customer.
 To become a leader in fabric manufacturer in Malaysia.
 Offered best experience with well-design clothes and good material

From the mission statement, we can conclude that this company is really concerned
about their customers and the material of the fabric that be used for them. Other than that,
this company really want to build they’re empire in order to become the leader in fabric
manufacturer in Malaysia. Through social media, we can say that most of their customers
are satisfied with the services that are provided by them.

Operational plan is a short-term focus plan and narrowly focused. This operational
plan is designed to implement the specific action steps to support tactical plan. It focuses on
day-to-day activities operation of organization. There are two types of operational plan which
are standing plan and single-use plan. AQ Reka Sdn Bhd uses both types of operational
plan. In this type of industry that company joined, there are many possibilities that can
happen especially unpredictable things such as COVID-19. Standing plan, designed to deal
with organizational issues or problems. It continuously guides managers to solve problems
and to be used again and again. Single use plans specifically designed to meet the goals are
not likely to be repeated in the future. This company is more likely to be in the standing plan.
For example, they already have a procedure that requires employees to follow the steps so
that task can be completed in a systematic way.

Decision making is important in a group of organizations. Decision making is where

the manager needs to identify problems and find a solution in order to solve the problem. In
other definitions, it is a process in which a course of action is selected as the way to deal
with a specific problem. For a successful organization, it requires time and how smart the
manager makes a final choice in order to make accurate decisions. There are two types of
decision making which are Programmed and Non-Programmed. Programmed is the decision
where it is structured and can be handled by a routine approach. In this company, there are
a few examples of programmed decisions that managers face. For example, number of
customers, number of items. Next, Non-Programmed is unstructured and usually deals with
unique, unusual, or exceptional problems. This occurs in response to unusual, unpredictable
events such as COVID-19.

Page 7 of 20
 This group decision is an activity which involves two or more individuals interacting to
decide. There are three major techniques or methods that are frequently used which are
brainstorming, nominal group technique (NGT) and Delphi technique. AQ Reka Sdn Bhd
also faced a situation where it requires them to use some method. For example, when they
received an unexpected bundle of orders from the customer and complained about their
product, that forced manager to call the employees to discuss solving the problems.
Manager and employees work together to brainstorm ideas to help the manager itself in
decision making. From the discussion, the manager can conclude all the points or ideas that
were given by the employees and choose the best idea to overcome the problem.

Page 8 of 20
 ORGANIZING

Organization is defined as a group of people committed to achieving a specific goal.

All formal interactions between people can be seen as part of a social system called human
relationships. As part of the organization, tasks are assigned to employees according to their
areas of expertise and aligned towards the company's ultimate goal. In addition, it can be
considered the second most important managerial function, which coordinates employees'
activities, procures resources, and combines both in order to achieve the company's goals.

Functional departmentalization is the sort of organization structure type that is used

by AQ Reka Sdn. Bhd. The reason for this is that functional departmentalization can make
the process of teaching and supervising subordinates more easier. Aside from that, it is
simple to coordinate operations across the departments, and because each department
adheres to the idea of occupational specialisation. This structure is very typical in
organisations and is utilised by a variety of other types of companies as well. AQ Reka Sdn.
Bhd. finds this structure to be ideal because they want employees in each department to
concentrate on making management more effective.

In the AQ Reka Sdn. Bhd. chart organization, there are three layers of important
departments that are included in this chart. The first layer in the chart is their general
manager, Encik Rosdi Bin Lukman. He is a very important person in the business, and he is
the one who started and launched AQ Reka Sdn. Bhd.

Second layer of the organization chart in AQ Reka Sdn. Bhd. consist with expert
workers who hold as the manager in the different department. In the chart given that AQ
Reka Sdn. Bhd. shown that they have multiple types of department manager which is
product , finance, marketing and R&D manager. All of these managers are responsible to

Page 9 of 20
monitor the staff under their department and make a report to the general manager if they
have any problem. Not only that, if there any problem within the department manager in the
department need to think how to solve the problem. They also need to watch the
improvement of the staff under their department. Each manager within the department can
make their own decision to the stuff under them who make mistake over and over whether to
fired the stuff or not.

Last but not least, the last layer in the organization chart is staff hired by an
organization department. Every department's personnel must obey their superior, who is
their own management. Not only that, but the job as a staff member also contributed to the
company's success because staff positions are vital in business.

In conclusion, each layer in the organization chart is very important and plays a main
role in achieving goals in the business. Other than that, role as a manager can also be the
reason for the staff and other employees to stay in the industry. Especially when the
manager has a solution to a problem in the business. We also can see that Encik Rosdi is a
good manager because if there is a problem, he will see the staff face-to-face and help solve
the problem. That's how Encik Rosdi treated his employees, because productivity in the
company comes from hardworking employees.

ADVANTAGES OF FUNCTIONAL STRUCTURE

The decision by AQ Reka Sdn. Bhd. to use functional structures was great. This is
because there are several advantages to a functional structure. The most obvious benefit of
using a functional structure is that AQ Reka Sdn. Bhd. is extremely productive. Each
employee in the organisation possesses unique abilities that enable them to work more
efficiently, which can lead to increased productivity throughout the organization. Second,
maximise individual potential. Experienced managers in the organization can pass on their
knowledge of the skills they possess to their subordinates. This has the potential to improve
the skill sets of all participants. Not only that, lowering operating costs is one of the benefits.
When employees are organized according to business function, all departments in the
organization can reduce the possibility of multiple departments completing similar work.

DISADVANTAGES OF FUNCTIONAL STRUCTURE

Though they have benefits, they also have drawbacks that may pose a problem for
AQ Reka Sdn. Bhd. First and foremost, the organization will have difficulty making a
decision. These structures may have an impact on operational efficiency for companies that
thrive because of their creativity and flexibility. Before making major decisions, people in
functional structures are usually required to meet with the department manager in a position
of authority. The departments will then compete against one another. The more employees
collaborate, the more they operate as a team while focusing on specific goals. This goal-
oriented mindset is typically positive, but it can foster competition among team members.
Finally, limit your scope. Employees in departments may have little understanding of how
their work affects the other department when the manager lacks experienced guidance and
additional information. They work when they organise employees by business function.

Page 10 of 20
 DELEGATION

Delegation entails handing over responsibility for a given task to a subordinate

employee, team member, or outside partner. This allows you to accomplish more in less
time and complements your skills with other abilities. Delegation guarantees that the
manager gives the worker sufficient authority and resources to complete the assignment
successfully. Delegation should not be utilised to delegate the manager's obligations or to
avoid doing the work.

Delegation involves five steps. The first process occurs when the manager has a
large number of tasks to complete. The manager can choose which goals or tasks to
delegate to the employee; however, the manager must exercise caution. Managers must
also list the tasks to be completed as well as the goals to be met. Encik Karim, the R&D
manager at AQ Reka Sdn. Bhd., has decided that one of his tasks, preparing the new
design, should be delegated to an employee.

Making an assignment is the second step. Once Encik Karim's list of tasks has been
completed, he should assign the task to the selected employee, Afiq Aiman, to perform the
task. The task that has been assigned as per Afiq Aiman's job role Encik Karim has to
instruct Afiq Aiman to do the task.

The next step is to delegate authority. Because he has the necessary knowledge for
the assignment, Afiq Aiman has the authority to make decisions while carrying out the task.
Encik Karim must ensure that the authority to carry out the responsibility is strictly delegated.
Encik Karim delegated decision-making authority to Afiq Aiman, such as the colour of the
jersey that must be worn for a specific activity or event.

Fourth, hold accountable or responsible. After accepting the task, Afiq Aiman was
now in charge of finishing it. Anything that happens or problems that arise as a result of the
task he assigned must be held accountable.

The final step in delegation is monitoring. Encik Karim must monitor Afiq Aiman's
performance and follow up on the task that has been delegated. Encik Karim must ensure
that the task that has been delegated is under control in order to meet the goals and
objectives.

Page 11 of 20
 Leading

Leadership is a mechanism in which a person affects other individuals' actions and

attitudes. Leading by example lets other individuals see what lies ahead and act rapidly
along the way to counter any obstacles. If a group is led by a person with weak leadership
skills, the group may encounter regular disagreements as each person tries to do things on
their way. There are three approaches to leadership such as trait theory, behavioural theory
and contingency theory. But, in AQ REKA Sdn Bhd, they used behavioural theory.

The behavioural theory means the leadership assumed that great leaders are made
and not born. This means that a person’s manners can be improved or individuals can be
determined into becoming good leaders. For example, the achievement and success of the
AQ REKA Sdn Bhd is a result of their dedication and exemplary leadership. Encik Rosdi Bin
Lukman, who is the general manager of AQ REKA Sdn Bhd, leads the operation matters
while Hafiz, Shahir, Jazlina and Karim focuses on management and administration matters.

According to this theory, through research and observation, individuals will learn to
become leaders. For instance, an individual without previous knowledge of an organization
can still learn, analyse and excel as a business leader. It is possible to see most leaders of
companies today portraying these values. In this case, a business must have ups and
downs. Same goes to the AQ REKA Sdn Bhd, they also had a failure in business. But today,
they proved that they can penetrate the market throughout Malaysia. Johann Wolfgang von
Goethe once said, “behavior is the mirror in which everyone shows their image”. The
theoretical application of the theory is that the actions of the leader influences their success
and different behaviours of leadership can be acceptable at various times. The best leaders
are those who are able to adjust their behavioural style to flex and choose the right style
appropriate for each situation.

Behavioral theory advocates the importance of types of leadership with a focus on

individual concern and teamwork. By supporting individual needs and aligning individual and
community priorities, it facilitates participative decision-making and team growth. For
example, the AQ REKA Sdn Bhd will together do work such as processing and distributing
the products. That can make employee satisfaction because what they did before was
appreciated by the leader. This theory helps managers find the best balance between
various types of leadership, and helps them determine how to act as a leader, based on
concerns for people and for productivity.

Page 12 of 20
 Leadership behavioural theory suggests leadership styles, but under all cases, a
particular leadership style might not be the best. It did not seem to validate their conclusions
when researchers really got to work on this. Although behavioural theories may help
executives improve specific leadership habits, they offer a little guidance about what
constitutes successful leadership in various circumstances. The types of leadership
behaviours according to the Ohio State Study is consideration. For example, leaders need to
ensure the inner needs of their employees are satisfied. Other than that, leaders can
motivate employees by using human relations approaches while maintaining focus on tasks
and the result. Next, initiating structure is when leaders can identify by clarifying their roles
and their subordinates’s roles. It also can be identified by focusing on organizational
structure and the operating procedures and to keep things under control all the time.

Last but not least, another important study under the behavioural theory is the study
conducted at the University of Michigan headed by Dr Rensis Likert. Leaders that stress on
developing interpersonal relationships, making an effort to take personal interest in
employees’ needs as well as acknowledging and appreciating individual differences is the
meaning of people-oriented leaders. The primary emphasis of task-oriented leaders is on
setting targets and achieving goals. In a well-structured setting, task-oriented leaders excel
and often exhibit authoritarian behaviour. Usually, they are more focused on the final
outcome of their team rather than the everyday developmental process. For a task-oriented
leader, behaviours that are common including initiating projects and clarifying instruction. For
example, the AQ REKA Sdn Bdh will be more focused on the final result which is at the end
of the year.

Page 13 of 20
 MOTIVATION

Motivation can be described as energising, guiding and maintaining the efforts of

employees. Managers want their workers to make a sustained effort so that they work hard
whether the boss is present or not. It also can define the management process of influencing
people’s behavior to behave in a way to ensure the accomplishment of some goal.

The AQ REKA Sdn Bhd has involved Maslow’s Hierarchy of Needs Theory in order
to motivate their employees or staff. In this theory, there are five types of needs such as
physiological needs, safety, social needs, self-Esteem and self-actualization.

First, physiological needs meaning that it deals with the human body's maintenance.
The most fundamental needs for water, air, heat, and sleep are included in this lowest
category. People need all of this to continue their lives. In the AQ REKA Sdn Bhd, the
manager will always ensure the employees take care of their health and will eat on time.
Next, safety and security needs. Security and safety criteria are all about keeping us safe
from damage. Such needs include shelter, job protection, wellness, and environmental
conservation. If individuals do not feel safe, they may strive to find safety before attempting
to fulfil any higher-level requirements. Such safety criteria are necessary for life, but they are
not as important as basic physiological needs. For example, the AQ REKA Sdn Bhd
provides insurance to their employees for the future.

Other than that, social needs advance our tribal nature. These are the needs for
belonging, love, affection, as well as relationships and companionship with family and
friends. These needs are fulfilled by a friendship with others that is pleasing and fulfilling. A
partnership that is pleasing and fulfilling would mean approval by others. AQ REKA Sdn Bhd
will help each other to show their love to the company. After the more basic needs have
been satisfied, esteem needs become important to an individual. The example of this needs
is, reward, prestige, nice offices, and recognition. The AQ REKA Sdn Bhd believes that
successful entrepreneurs can drive growth and prosperity as well as inspire positive change
not only to themselves but also to all communities and the economy.

Last but not least, self-actualizing is the highest level of Maslow’s hierarchy. The
company will realise one’s potential for continued growth and individual development.

Page 14 of 20
Besides, managers will let the employees participate in decision making and opportunity to
learn new things. For the AQ REKA Sdn Bhd, indirectly, employees can know their
respective talents as in the processing process.

Page 15 of 20
 CONTROLLING

Controlling is part of management functions that is important because it helps to

ensure that all the other three functions previously implemented, such as planning,
organizing and leading are carried out as planned. Controlling can be defined as a process
by which managers regulate organizational activities to align them with expectations and
help them achieve predetermined performance standards. All levels of management must
perform controlling functions to maintain control over activities in their area. Therefore, they
must perform controlling functions with great precision so that the organization can achieve
its vision, mission and goals. Therefore, controlling plays a big role within the four
management functions as it serves as a tool to find out how the actual performance deviates
from the original plan. This process helps in formulating the future and sheds light on some
of the problems we have identified.

Feed Forward Control is a type of control that focuses on preventing problems before
they occur. For example, AQ Reka company provides thermostat-controlled room by placing
a temperature sensor outside the room that warns the thermostat of a drop in the outside
temperature so that it can begin heating before it affects the inside temperature. This applied
in major office area in this company since it is effective for staff being comfortable to do their

works. The advantage of practicing this method is that it will provide a calm environment in
the office and will smoothen any work in this company.

Concurrent control is prepared to detect discrepancies in an ongoing process of the

company. This means that the ongoing activitiy in the company is monitored by managers in
real time. AQ Reka employs concurrent control when problems arise in real time from
managers. As an illustration, this company uses fleet tracking. Fleet tracking with GPS
allows managers to monitor company vehicles. Managers can determine when vehicles
reach their destinations and how quickly they move between destinations. As a company
that frequently deliver parcel, this can benefits both company and managers to always detect
the location of company vehicles and the customers parcel.

Page 16 of 20
 Post-Action Control is a control that takes place after the completion of a phase. AQ
Reka always follow up past customers and sometimes rewarding them with after sales
discount price. The advantage of this method is that the post customers will keep up-to-date
by the company for the latest products or even the up coming launching products so that a
preorder could be done.

Page 17 of 20
 CONCLUSION

As conclusion, higher skill of management in company is required in order to bulid an

outstanding marketing in the clothes industry. AQ REKA SDN BHD empowerment in
organisation and productiveness has made the company stand a stiff competition in the
clothes industry in Malaysia. With the right strategy in employee’s development, AQ REKA
SDN BHD would be able to reach the company’s target by having a clear voice in the
marketplace, building a community with cusomers in online platforms. Most importantly, AQ
REKA company constantly offers the great product and services to the customers by fulfilling
people’s desire of their fashion and design at their shirt. Despite of facing a of competitive
pressure in the local clothes industry, AQ Reka has utilized the differentiate between the
competitors as our brand has its own unique selling proposition and unique value to the
customers. On top of that, AQ Reka will continue to grow the good image of the brand and
massive market in clothes industry until it reached to the global markets.

Page 18 of 20
REFERENCES

Page 19 of 20
APPENDICES

Page 20 of 20