HUTECH INSTITUTE OF INTERNATIONAL EDUCATION

STRATEGIC MANAGEMENT
BBPS4103

NAME: To Le Nha Lam

CLASS: 20BOBA01

STUDENT ID: 201401052

EMAIL: nhalam.4321@gmail.com

Lecturer: Tran Duc Tuan

Ho Chi Minh City,

June 2023

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Contents
Task 1: .......................................................................................................................................................... 3
1. Introduction:.......................................................................................................................................... 3
2. Critical success factors of each organization: ....................................................................................... 4
2.1. Define the success factors of an organization: .............................................................................. 4
2.2. Critical success factors of Open University Malaysia: ................................................................. 4
2.3. Critical success factors of Wawasan Open University: ................................................................ 6
2.4. Critical success factors of Asia e-University: .............................................................................. 7
3. Presentation and explanation of the competitive profile matrix: .......................................................... 8
4. Summary: ............................................................................................................................................ 11
Task 2: ........................................................................................................................................................ 12
1. Introduction of KPJ Healthcare Berhad: ............................................................................................. 12
2. KPJ Group's SWOT analysis, internal and external factors assessment and Competitive Profile
Matrix: ........................................................................................................................................................ 12
2.1. KPJ Group’s SWOT analysis: ..................................................................................................... 12
2.1.1. Strength: .............................................................................................................................. 12
2.1.2. Weaknesses: ........................................................................................................................ 13
2.1.3. Opportunities: ..................................................................................................................... 13
2.1.4. Threats: ............................................................................................................................... 14
2.2. Internal and external factors evaluation: ..................................................................................... 14
2.2.1. Internal Factor Evaluation:.................................................................................................. 14
2.2.2. External Factor Evaluation: ................................................................................................ 15
2.3. Competitive Profile Matrix: ........................................................................................................ 15
3. Analysis of financial situation of KPJ Company: ............................................................................... 16
4. Summary: ............................................................................................................................................ 19
References ................................................................................................................................................... 21

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Task 1:
1. Introduction:

Despite the fact that Malaysia is one of the few nations in ASEAN and Asia with a high level of
education. However, in the context of fierce competition and international integration brought
about by globalization, as well as the shortcomings of Malaysian education in recent years, the
Malaysian Government has focused all of its efforts on innovating education with the philosophy
of developing individuals' potential in a holistic and integrated way to create citizens with a mind,
spirit, emotional balance, and harmonious physical development. The Malaysian education
system's aims, which include access to education, quality, equality, unity, and efficiency, may be
viewed as a cross-cutting, synchronous goal of educational innovation in this nation. Invest in
upgrading facilities to meet instructional demands, bringing the most sophisticated information
and technology to Malaysian students while universities in Malaysia are always enhancing the
quality of their training. The Open University of Malaysia, the Open University of Wawasan, and
the Asian Electronic University are among the most prominent.

Open University Malaysia (OUM) is Malaysia's eighth private institution. Since its inception as a
private university under the Private Higher Education Institutions Act of 1996, the university has
consistently emphasized the quality, prestige, and competency of its strategic partner - an
institution comprised of 11 public institutions. The mission of OUM is to deliver flexible, high-
quality, lifelong learning programs while also using contemporary facilities and a comfortable
learning atmosphere.

Wawasan Open University (WOU) is a Malaysian private university founded in 2006 for students
who are currently working and desire to obtain a higher degree, change jobs, or start their own
business. Minor degrees to undergraduate programs in Business, Technology, Education, and Self-
Sufficient Research are available, as are all three fully recognized MBA programs from the
Malaysian Ministry of Higher Education (Mohe) and professional organisations in Malaysia.
WOU assures that many Malaysians may now pursue an inexpensive degree by opening the door
to higher education.

Asia e-University (AeU) is an international institution founded by 34 Asian cooperative dialogue

countries. AeU, as a dual-mode institution, operates similarly to any other traditional university by
providing academic programs for full-time study on the university campus. AeU, founded in 2007,

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pioneered a novel approach to higher education that allows for greater study freedom. This idea is
founded on the belief that, regardless of demographics, great education should be made available,
accessible, and inexpensive to all.

2. Critical success factors of each organization:

2.1. Define the success factors of an organization:

A vital success factor is a specific aspect or action that is thought to be required for an organization
to accomplish its purpose or goals. Critical success factors in product management are the
important steps that the product team takes to generate successful solutions that solve customer
problems. Key success criteria and key performance indicators are not the same as critical success
elements. Critical success criteria are actionable statements that owners can be allocated.

Critical success criteria are entrenched in the product development process in product-centric
businesses, often without the product manager's knowledge. As previously said, the crucial success
component is what must be done to develop a successful product. It makes little sense, however,
to take action without first comprehending the foundation of success. The primary success aspect
of companies for colleges is the quality of instruction and other variables to achieve success.

2.2. Critical success factors of Open University Malaysia:

International growth and collaboration are becoming increasingly vital for higher education
institutions as global competition intensifies and the desire to differentiate themselves from rivals
grows. This growth allows for greater access to higher education in nations where local educational
institutions are unable to satisfy demand or when new information and skills are not accessible.
OUM has formed the foreign Executive Office with the strategic aim of coordinating the delivery
of programs to foreign students through collaboration with international partners in order to extend
its activities abroad. The office is responsible for ensuring that three major areas run smoothly: the
registration process, operations advisors, and contact with overseas partners. To begin with, the
registration process consists of entrance, registration, testing, and graduation. Second, the office
serves as an active counselor on academic concerns particular to programs, as well as on non-
academic subjects such as political books, royalties, and contracts. Finally, the office serves as a
connection between overseas partners and OUM, as well as divisions inside OUM such as finance,
testing, tutoring, and faculty. OUM's first international partnership was with the Arab Open

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University in 2007, and its most recent collaboration was in August 2017 with the International
College of Law, Business Administration, and Technology from the United Arab Emirates. All
collaboration began with the signing of a five-year Memorandum of Understanding (MoA). The
agreement will be extended for a period of three years after it expires, based on the performance
of the partner (Hazalina, 2017). In addition to overseeing program delivery with overseas partners,
the office is in charge of ensuring the partnership's long-term viability.

OUM's reputation and brand identity as a domestic pioneer in offering education to working people
via the use of cutting-edge technology compatible with e-learning and e-teaching highlights the
university's weak important success element. The foundation of OUM with the slogan "Education
for All" as the first university to follow ODL in Malaysia signified a new beginning for the
democratization of education in Malaysia. This has resulted in a paradigm shift in the country's
higher education environment, allowing a greater proportion of working adults to pursue higher
knowledge and certifications inside the OUM (Chiam, Lim, Phang, 2012).

Furthermore, OUM University provides a blended learning mode that blends printed study
materials as a major learning resource with face-to-face interactions at regional centers and
electronic learning via a Learning Management System (LMS). ICT is utilized in e-learning to
connect remote pupils and instructors during face-to-face sessions. OUM has also created a one-
of-a-kind system for online teaching and learning. This method enables learners and tutors to
communicate online. Courses are offered electronically, and conversations are held online. My
VirtualLearning Environment (MyVLE) is the name of this e-learning management system. This
method has given digital education credibility. Students may now learn outside of the classroom
while still interacting with their peers online. This asynchronous capability is critical to OUM's
MyVLE strategy to include both learners and tutors in an environment that facilitates the
transmission and exchange of course content among people in different places.

Another important aspect in OUM's success is that students from all throughout Malaysia may
easily attend the university. Currently, more than thirty learning centers have been created
throughout Malaysia, with the exception of Perlis, to provide study facilities for OUM students.
These learning centers include classrooms, computer laboratories, conference spaces, and reading
areas. This hierarchical method provides strategic convenience and academic assistance for
students by allowing them to address problems about both academic and non-academic matters

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directly to employees administering the facility's local learning center. Because of the huge number
of established learning centers, OUM students may simply travel to these learning centers to attend
classes and seek assistance without having to travel across the state.

2.3. Critical success factors of Wawasan Open University:

Education is a customer-focused sector. Student happiness has been found to be strongly correlated
with service quality. Recognizing the significance of service delivery quality, WOU has made it
one of its particular competences in order to separate itself from rivals. This is exemplified through
the creation of the WOU Customer Service Charter. The Charter symbolizes WOU's assurance
that, by signing the Charter, WOU would provide exceptional service to its clients in all aspects of
their commitment to WOU. The charter also emphasizes WOU's dedication to providing prompt,
accurate, and polite service to its consumers (Liew & Teoh, 2012). WOU is dedicated to delivering
timely feedback, updates, and ideas with correct information and solutions, as evidenced by respect
for students in all interactions and service delivery. The charter will distinguish WOU not just as
a source of high-quality course software, but also as a provider of exceptional customer service.
Quality is the cornerstone and premise for all of WOU's efforts. In order to generate well-rounded,
informed, and competent professionals, WOU assesses its academic programs, courses, course
materials, and the overall learning experience against worldwide best practices. WOU has also
implemented a variety of quality assurance methods to assure the quality of its service delivery.
One method is to create an overarching policy document called Standard Operating Procedures
(SOP), which compels all schools/faculties to record their unique processes and procedures in
accordance with the format standards. This guarantees that critical information is delivered and
communicated to all stakeholders on a regular basis. Electronic versions of all SOPs are provided
on the internet portal to foster shared accountability for a quality assurance culture and promote
better openness across all levels of the WOU workers' intranet.

The function of the lecture is replaced in the WOU ODL model by giving students with a set of
course materials (print or CD, complemented by textbooks if necessary) geared for self-study. The
course material is created in a collaborative environment. A Course Development Team (CDT)
typically includes of School scholars, ETPU Instructional Designers, external academic content
specialists (authors), and, when applicable, designers/programmers, webmasters, and language

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editors. Workflow procedures adhere to a set of protocols. External peer evaluation is available
through the External Course Assessor (ECA).

As a private charity, the conception and implementation of each WOU program is heavily
influenced by market and societal demands. The School's Marketing Departments and
Departments undertake market surveys on a regular basis and collect input through various
methods. Feedback from WOU Board members, feedback from APG school members, feedback
from WOU Regional Offices, feedback from the public via market surveys and programs
conducted on a regular basis by the Marketing Unit, dialogue with industry representatives, and
dialogue with professional organizations are examples of these. WOU also has official discourse
sessions with students and tutors each semester. Although the major purpose of such dialogues is
to discuss the services and assistance offered to these stakeholders, it is also possible to gather
recommendations for new programs that they or their workplace are interested in (Singh &
Abeywardena, 2010). WOU is devoted to ensure that no section of the workforce is left behind via
constant and creative curriculum creation, training, and retraining. WOU has taken on the
challenge of transforming and repositioning itself as an industrial-age university in order to address
rising job demands in a fast changing, technology-driven work environment. To do this, WOU has
engaged and worked with the commercial sector in order to stay up with ever-changing technology
and the associated demand for new knowledge and skill sets.

2.4. Critical success factors of Asia e-University:

The school was founded as a government project and is a pioneering champion in E-Education, as
acknowledged in the ACD Ministerial Conferences in Islamabad, 2005 and Doha, 2006 and
sponsored by the 34 ACD member nations. It collaborates with ACD member nations' Institutions
of Higher Learning (IHL) and Training Centers to provide high-quality, low-cost professional
training and academic degrees. The AeU acts as a facilitator and supporter of IHLs in Asia in
recognizing and supporting one another in academic degrees and professional programs, while
utilizing common resources and facilities. The AeU has been acknowledged by ACD member
nations as a vehicle for deeper collaboration throughout Asia and a driver for closing the digital
divide between ACD countries. AeU has the distinction of being displayed to students from 34
countries as a result of ACD certification. This is a benefit as a high-quality ODL supplier in the
region. AeU has international collaborative research centers in Kenya, Somalia, Nigeria, Bahrain,

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Bangladesh, Cambodia, China, Denmark, Dubai, Hong Kong, India, Indonesia, Maldives,
Mauritius, Myanmar, Namibia, Nepal, New Zealand, Pakistan, Sri Lanka, Thailand, the United
Kingdom, Vietnam, and Yemen.

AeU has received considerable government backing in its activities since its establishment, since
the university is a government-backed endeavor to allow institutions in the nation to provide
degrees through their increasing online offering to a larger audience. As a result, the government
has actively backed AeU in its efforts to enhance e-Education options for Malaysians. The Ministry
of Higher Education designated AeU as the 'gateway university' for international education in
remote and online learning, with an estimated GNP of RM100 million under the Economic
Transformation Program (ETP) in 2010. Furthermore, AeU has engaged in the Ministry of
Education's elementary school teacher enhancement initiative. Since 2011, almost 3000 in-service
teachers have enrolled in AeU's Bachelor of Education program to pursue specific concentrations.
In 2015, 500 teachers graduated with a Bachelor of Education degree and a record number of 200
teachers graduated with a Master of Education degree through the program.

3. Presentation and explanation of the competitive profile matrix:

The competitive profile matrix enables a company or organization's owner to compare their firm
to important rivals using key success characteristics. The competitive profile matrix reveals a
firm's primary rivals as well as its individual strengths and weaknesses in relation to the strategic
position of the example company. Based on the generated matrix, an analysis of each organization's
competitiveness versus the other two will be undertaken, which will be simplified into several big
categories based on the essential success elements utilized in the competence profile matrix
competition.

Present the competitiveness matrix of three organizations: Open University Malaysia, Wawasan
Open University and Asia e-University

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Success factors inside Weight OUM WOU AeU
Rating Weighted Rating Weighted Rating Weighted
Score Score Score
Brand reputation & identity 0.20 3 0.6 2 0.4 2 0.4
Student’s accessibility & 0.08 4 0.32 3 0.24 2 0.16
reachability
Service delivery quality 0.47 3 1.41 4 1.88 3 1.41
Manager level 0.05 2 0.1 2 0.1 4 0.2
Facilities and equipment 0.20 2 0.4 3 0.6 2 0.4
Total 1 2.83 3.22 2.57
Table 1: Matrix of internal factors of three organizations

Internal success determinants include the reputation and brand identity portfolio, student
accessibility, service delivery quality, management level of each institution, and school amenities.
Wawasan Open University scored a total score of 3.22 for the things stated in the matrix, whereas
Open University Malaysia and Asia e-University obtained scores of 2.83 and 2.57, respectively,
according to the matrix table above. OUM outperformed WOU and AeU in terms of reputation
and brand identity. This is because OUM's reputation as a local pioneer in offering education to
working people utilizing the newest technology compatible with e-learning and online teaching
represents the institution's weakness and was the first university in Malaysia to conduct ODL.
Furthermore, OUM students from all throughout Malaysia may readily attend the university.
Currently, more than thirty learning centers have been created throughout Malaysia, with the
exception of Perlis, to provide study facilities for OUM students. However, when it comes to
service delivery quality, both OUM and AeU are lower than WOU since each WOU program is
primarily motivated by market and societal demands. The School's Marketing Departments and
Departments perform market surveys on a regular basis and gather input from various sources, and
WOU also has formal dialogue sessions with students and instructors every semester while
simultaneously committing to quality assurance. Furthermore, WOU performs well in terms of
facilities and equipment since higher education institutions must ensure that their products are
industry-appropriate and backed up by exceptional service standards. Because the country has over
600 higher education institutions, all of which provide approximately the same programs, their
identity distinguishes them. What distinguishes these firms is how they provide their products and

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 services to their clients. It can be noted that the institutions each have their unique strengths. AeU
also has higher management rankings than the other two institutions because it was founded as a
government effort in Malaysia and is backed by 34 ACD member nations. As a result, this
organization's management system will be tighter and greater in scope than the other two.

External success factors Weight OUM WOU AeU

Rating Weighted Rating Weighted Rating Weighted
Score Score Score
International partnership & 0.45 4 1.8 2 0.9 3 1.35
collaboration
Market and societal 0.20 3 0.6 4 0.8 4 0.8
considerations
Global recognition and 0.08 2 0.16 2 0.16 3 0.24
presence
Government support 0.20 3 0.6 2 0.4 4 0.8
The potential of the big 0.07 1 0.07 3 0.21 2 0.14
market
Total 1 3.23 2.47 3.33
Table 2: Matrix of external factors of three organizations

In addition to internal elements, external factors like as international collaboration, commercial

and social concerns, worldwide presence and recognition, government assistance, and the
possibility of a large market all play a role in assisting firms in competing with one another. First,
in terms of international cooperation, OUM outperforms the other two organizations due to the
establishment of the International Executive Office, which has the strategic task of managing the
provision of international service programs for international students through collaboration with
international partners. The office is responsible for ensuring that three major areas run smoothly:
the registration process, operations advisors, and contact with overseas partners. As can be seen,
OUM places a high value on collaboration with partners, but in terms of market share and social
concerns, both WOU and AeU are dominating. Both WOU and AeU thoroughly analyze and
evaluate social concerns in order to provide standard curricula that are nonetheless relevant to all
segments of society. It is even more notable for the AeU because of its worldwide presence and

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recognition, as well as official backing, since ACD member nations have identified the AeU as a
vehicle for greater collaboration in the globe across Asia and a catalyst in bridging the digital
divide between ACD countries. The AeU has received considerable government backing in its
operations since its start, since the university is a government-backed attempt to allow local
universities to give degrees through their increasing online offering to a larger audience. As a
result, the government has actively backed AeU in its efforts to enhance e-Education options for
Malaysians.

4. Summary:

Malaysia is one of the few ASEAN and Asian countries with a high level of education. However,
in light of the severe competition and worldwide integration brought about by globalization, as
well as the weaknesses of Malaysian education over the years, the Malaysian Government has
concentrated all of its efforts on revolutionizing the education system. The Open University of
Malaysia, the Open University of Wawasan, and the Asian Electronic University are among the
most prominent. Each of the three institutions has unique assets and skills that compete with one
another to recruit students. Critical success elements are inherent in the product development
process in product-centric businesses. What has to be done to produce a successful product is the
crucial success component. The primary success aspect of companies for colleges is the quality of
instruction and other variables to achieve success. Internal success determinants include the
reputation and brand identity portfolio, student accessibility, service delivery quality, management
level of each institution, and school amenities. In addition to internal elements, external factors
like as international collaboration, commercial and social concerns, worldwide presence and
recognition, government assistance, and the possibility of a large market all play a role in assisting
firms in competing with one another. By analyzing the success factors of three educational
institutions and presenting the matrix of internal and external factors, it is clear that each institution
has its own strengths and weaknesses, and each organization has a different way of operating, but
when compared, all three organizations have very strong competitive advantages.

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Task 2:
1. Introduction of KPJ Healthcare Berhad:

KPJ Healthcare Berhad (abbreviated 'KPJ' or 'the Group') is Malaysia's largest private healthcare
provider. KPJ Healthcare Berhad's business is based on the objective of becoming the region's
preferred healthcare provider. The Group has been at the forefront of the healthcare business since
the founding of the first private specialty hospital in Johor in 1981. KPJ's integrated network
encompasses more than 28 specialty hospitals around the country and is guided by the fundamental
principles of Safety, Courtesy, Integrity, Professionalism, and Continuous Improvement. As a
result of its international development, the business now operates two hospitals in Indonesia, one
in Bangkok and one in Bangladesh. Furthermore, KPJ has invested in a retirement and seniority
resort in Australia, as well as retirement and seniority resorts in Sibu, Sarawak, and Kuantan, as
well as its own Senior Living Care (SLC) facility at Tawakkal Medical facility in Kuala Lumpur.

Vision of KPJ is to be the chosen healthcare provider. Use a dynamic relationship, a common
desire to develop healthier communities, and an unrelenting commitment to "Caring for Life" to
achieve your goals. In keeping with its vision, KPJ provides a variety of sought-after specialized
medical solutions that continue to transcend borders and cultures while covering the entire patient
lifecycle, from prenatal care to geriatrics, as it aspires to be a lifelong companion with patients
throughout their healthcare journey. The mission of the KPJ Group is to provide high-quality
healthcare. In keeping with KPJ's Mission, the organization is dedicated to providing world-class
patient care while maintaining professionalism and compassion for the numerous communities it
serves. KPJ's strategic objectives till 2020 are as follows: Aim to improve the revenue contribution
rate in the medical tourism category to 25% by 2020, up from less than 10% currently. KPJ's
internal objective is to open at least two new hospitals each year by 2020, in order to achieve its
long-term goal of owning at least 40 hospitals.

2. KPJ Group's SWOT analysis, internal and external factors assessment and Competitive
Profile Matrix:
2.1. KPJ Group’s SWOT analysis:
2.1.1. Strength:

KPJ has a strong market position since it controls Malaysia's biggest private hospital network, with
23 facilities and over 2,600 licensed beds. KPJ is expected to have a 20% market share of private

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hospital beds and a 25% market share of private inpatient admissions in Malaysia. KPJ is a well-
known name in the Malaysian private healthcare market as one of the major branded private
hospital operators. KPJ Healthcare also has a tight relationship with physicians, as there are 750
medical consultants, which is comparable to 7% of Malaysia's private doctors. KPJ has a respected
system for centralized billing and invoicing, which assists the organization in recruiting doctors
(Standard Charted Analyst, 2012). KPJ helps to raise health awareness among the general public.
KPJ's operation includes free medical camps in rural regions, a children's wellness program and a
healthy living campaign, and the establishment of a group outreach program support. The
corporation also owns private nursing colleges, which allows them to easily provide nurses from
the company's institution.

2.1.2. Weaknesses:

Expired Medicines: Medicines cannot be utilized after their expiry date. Managing medical
product inventory presents unique issues, as medical stocks are extremely sensitive to heat
preservation, humidity, etc.

Liquidity concerns: KPJ is experiencing cash liquidity issues, which will slow down hospital
operations and necessitate the use of cash in all transactions.

Information technology: All KPJ hospitals lack the KPJ Clinical Information System (KCIS),
which might slow down hospital operations.

2.1.3. Opportunities:

Malaysia's healthcare need is steadily increasing. There are currently more individuals in Malaysia
and across the world who care about their health than ever before, therefore boosting those who
care about their health would help the hospital expand its business and raise its income from
hospital admission. Furthermore, the Malaysian government intends to foster the expansion of the
medical tourism business. Although this initiative is still in its early stages and is not yet seeing
rapid development, if it is effective, it will be a big step forward (Morgan JP, 2012).

Most of Malaysia's neighbors are not as advanced as Malaysia in terms of medical level and
progress, but these nations are rapidly rising, which will assist KPJ build additional branches.
Malaysia's economy is performing well, and the country's income level is rising in tandem with its

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development. Better education, a longer life expectancy, and a desire for a better lifestyle all
encourage people to spend more money on health care.

2.1.4. Threats:

Other rivals, such as Pantai and Columbia, have been aggressively expanding throughout Malaysia
in an effort to capture a greater share of the Malaysian healthcare industry (Morgan JP, 2012).

Limited availability of competent medical staff: There is a shortage of qualified physicians and
nurses to fulfill Malaysia's expanding demand for healthcare services, which may result in the
postponement of KPJ's healthcare growth plans (Standard Charted Analyst, 2012).

Availability of low-cost medical devices: Currently, many companies are producing medical
products that assist patients at home and without going to the hospital, which will have a negative
impact on the hospital because some customers may not only go to the hospital if they are in a
critical condition.

2.2. Internal and external factors evaluation:

2.2.1. Internal Factor Evaluation:

Internal Factors Weight Rating Weighted

score
Strong market position 0.02 3 0.06
Reputation for quality 0.20 3 0.6
Strong relationship with doctor 0.04 4 0.16
Extensive national network 0.08 3 0.24
Information and communication process 0.20 2 0.4
Major specialist services 0.46 3 1.38
Total 1 2.84
Table 3: KPJ Healthcare Berhad's internal success factors evaluation matrix

The Internal Factors Assessment Matrix is a strategic management tool for examining or evaluating
important strengths and weaknesses in corporate functional areas. The core speciality service has
the highest score on KPJ Healthcare Berhad's internal criteria, with a score weight of 1.38. KPJ
Healthcare Berhad is dedicated to offering the most advanced and cutting-edge specialist medical

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facilities and services. Furthermore, KPJ Healthcare Berhad offers complete illness prevention,
diagnosis, and treatment services. This service is backed up by a team of highly qualified medical
experts, nurses, and support workers, as well as cutting-edge technology and facilities.
Furthermore, KPJ has a strong market position since it owns Malaysia's biggest private hospital
network, which includes 23 institutions and over 2,600 licensed hospital beds. KPJ's market
position as one of the top branded private hospital operators contributes to the quality reputation
aspect. For example, an organization's reputation is determined by how customers, workers,
suppliers, and the general public perceive it. The information and communication process has the
lowest weighted score in KPJ Healthcare Berhad.

2.2.2. External Factor Evaluation:

External Factors Weight Rating Weighted

score
Internet advertising 0.4 3 1.2
Hospital location in dense residential area 0.15 1 0.15
Tendency of patients to use modern 0.4 3 1.2
equipment for diagnosis and treatment
KPJ achieving international standards 0.05 2 0.1
Total 1 2.65
Table 4: KPJ Healthcare Berhad's external success factors evaluation matrix

According to the evaluation of external variables, online advertising and patients' proclivity to
adopt new technology and therapy are the most successful. KPJ Healthcare Berhad has always
prioritized online advertising since it allows manufacturers or businesses to learn about their rivals
and prepare accordingly to match the level of competition. Furthermore, the hospital's dense
residential setting makes it simple for anybody to locate KPJ Healthcare Berhad.

2.3. Competitive Profile Matrix:

Competitive factor Weight Rating Weighted

score
Location 0.10 2 0.2
Customer loyalty 0.20 2 0.4

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 Finance 0.12 3 0.36
Organizational Structure 0.08 3 0.24
Advertising 0.20 1 0.20
Technological Competence 0.30 4 1.2
Total 1 2.6
Table 5: Matrix of competitive profile of KPJ Company

A company's total competitiveness may be determined by assessing its entire strength. According
to the competitive profile matrix, KPJ Healthcare Berhad is in a moderately competitive position.
Financial resources and organizational structure are two characteristics that make KPJ very
competitive. Furthermore, geographic location not only aids in offering efficient service to
consumers, but it also aids in managing competitive problems in the healthcare facility market.
KPJ Company also invests in and enhances technical capabilities that increase industrial efficiency,
allowing suppliers to manufacture a wide range of products and services. This might allow KPJ
Healthcare to make major investments in complementary items. The vast reach and presence of
KPJ in the highly competitive private healthcare business gives them a competitive edge.
Furthermore, with hospitals positioned throughout the country, the group's hospitals are
conveniently accessible and offer a wide range of specialist medical treatments, many of which
are firsts in the country's healthcare market. To compete successfully in an era of marketing warfare
in the healthcare business, hospitals must employ an innovative strategy. A brand strategy that
distinguishes the firm, drives its target audience, expands the business, and fosters strong
connections; committed consumers are essential. Based on the aforementioned variables, it is clear
that KPJ's competitive profile matrix is extremely competitive when compared to competitors in
the same sector.

3. Analysis of financial situation of KPJ Company:

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17
 Source: https://kpj.listedcompany.com/misc/ar2018/financial_report.pdf
Current payment quota (CR):

𝑇𝑜𝑡𝑎𝑙 𝑐𝑢𝑟𝑟𝑒𝑛𝑡 𝑎𝑠𝑠𝑒𝑡𝑠 1,078,909

CR (2017)= 𝑇𝑜𝑡𝑎𝑙 𝑐𝑢𝑟𝑟𝑒𝑛𝑡 𝑙𝑖𝑎𝑏𝑖𝑙𝑖𝑡𝑖𝑒𝑠 = 1,060,140 = 1,01

𝑇𝑜𝑡𝑎𝑙 𝑐𝑢𝑟𝑟𝑒𝑛𝑡 𝑎𝑠𝑠𝑒𝑡𝑠 1,318,974

CR (2018)= 𝑇𝑜𝑡𝑎𝑙 𝑐𝑢𝑟𝑟𝑒𝑛𝑡 𝑙𝑖𝑎𝑏𝑖𝑙𝑖𝑡𝑖𝑒𝑠 = 1,067,380 = 1,24

Debts ratio:

𝐷𝑒𝑏𝑡𝑠 2,760,000
D/A (2017)= 𝐴𝑠𝑠𝑒𝑡𝑠 = 8,270,000 = 0,33

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 𝐷𝑒𝑏𝑡𝑠 3,148,000
D/A (2018)= 𝐴𝑠𝑠𝑒𝑡𝑠 = 4,793,000 = 0,65

Quick ratio (QR):

𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝐴𝑠𝑠𝑒𝑡𝑠−𝐼𝑛𝑣𝑒𝑛𝑡𝑜𝑟𝑦 905,092−51,084
QR (2017)= = = 0,94
𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝐿𝑖𝑎𝑏𝑖𝑙𝑖𝑡𝑖𝑒𝑠 905,092

𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝐴𝑠𝑠𝑒𝑡𝑠−𝐼𝑛𝑣𝑒𝑛𝑡𝑜𝑟𝑦 1,142,446−50,170

QR (2018)= = = 0,95
𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝐿𝑖𝑎𝑏𝑖𝑙𝑖𝑡𝑖𝑒𝑠 1,142,446

Working capital:
Working capital (2017)= 𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝐴𝑠𝑠𝑒𝑡𝑠 − 𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝐿𝑖𝑎𝑏𝑖𝑙𝑖𝑡𝑖𝑒𝑠 = 905,092 − 878,576 =
26,506
Working capital (2018)= 𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝐴𝑠𝑠𝑒𝑡𝑠 − 𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝐿𝑖𝑎𝑏𝑖𝑙𝑖𝑡𝑖𝑒𝑠 = 1,142,446 − 887,385 =
255,061
The current ratio is a financial statistic that indicates a company's ability to satisfy its short-term
financial obligations. A lower ratio implies that the firm may struggle to satisfy its commitments,
but a very high current ratio is not always a positive indicator because it reveals the company's
assets. Enterprises are overly reliant on "current assets," and as a result, corporate asset utilization
is inefficient. As can be seen, KPJ Group consistently works to increase their current ratio, giving
investors trust.

Higher liquidity is measured by the quick ratio. The estimate includes just highly liquid assets.
Inventories and other short-term assets are excluded because their liquidity is very low when
money is needed to pay off debt.

Working capital is a financial metric that displays the firm's available resources to satisfy everyday
business activities such as: paying employee wages, payments to suppliers, payment of cash costs
balance, energy, water, and so on. Working capital management include inventory management,
accounts receivable and payable, and cash management. KPJ Group has a tremendous financial
potential based on financial statement ratios, expanding substantially within a year from just
26,506 in 2017 to 255,061 in 2018.

4. Summary:

KPJ Healthcare Berhad (KPJ) is the region's largest private healthcare provider, operating 22
private speciality hospitals in Malaysia. Hospital administration, healthcare engineering services,
hospital construction and operations, nursing, health sciences and continuing professional

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healthcare education, service medical services, central shopping, and retail pharmacy are all part
of KPJ's portfolio. The competitive situation of KPJ may be observed through the SWOT analysis
and the matrix of competitive profiling. KPJ's financial resources and organizational structure
make it very competitive; they also have a tight relationship with doctors, assuring their human
resources when investing in schools to develop human resources. Strategic sites for KPJ
Healthcare Berhad include: Hospital services: KPJ Healthcare Berhad owns and administers a
chain of hospitals around the country with the purpose of providing consumers with the highest
quality and most complete healthcare services. KPJ Healthcare Berhad provides medical goods
and services such as digestive devices, medical equipment, and healthcare items. Training and
education services: In addition to medical professional training courses and career development
courses, the organization offers training and education services to the healthcare business. KPJ
Healthcare Berhad has developed medical tourism packages aimed at foreign clients, combining
vacation and medical planning so that tourists may rest and enjoy their lives in their own health
care. KPJ Healthcare Berhad has become one of Malaysia's leading medical service providers,
recognized for their exceptional quality and bravery in investing in innovative systems and services
that produce genuine value for your clients.

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