BLUEPRINT

(CHICKEN CHIPS)

TECHNOLOGY ENTREPRENEURSHIP (ENT600): BLUEPRINT

FACULTY: FACULTY OF COMPUTER AND MATHEMATICAL SCIENCE

PROGRAMME: CSC253(MULTIMEDIA)
SEMESTER: 5
GROUP MEMBERS:
1. FATINI SAADIAH BINTI HALIM SA’ADI (2019583759)
2. NUR FATIN FATIHAH BINTI MOHAMAD RAZHUAN (2019530273)
3. KHADIJAH BT FAIRUZ (2019554637)
4. NUR NAZIFA ELISA BINTI ABD HAMID (2019796409)
5. ALIA NUR ANIS BINTI NOR SALLEH (2019353195)

LECTURER: PN NOR AZMAWATI HUSAIN

 TABLE OF CONTENTS

CONTENTS PAGE

1. EXECUTIVE SUMMARY 2

2. PRODUCT/SERVICE DESCRIPTION 20

3. TECHNOLOGY DESCRIPTION 27

4. MARKET ANALYSIS AND STRATEGIES 40

5. MANAGEMENT TEAM 55

6. FINANCIAL ESTIMATES 68

7. PROJECT MILESTONES 74

8. CONCLUSIONS 87

9. APPENDICES 88

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1. EXECUTIVE SUMMARY

As the new entrepreneurs, we are highly motivated and planning to open and operate the
business of snack food as one of our generating revenue and without the help, concerns,
ideas and support from each member, we might not be able to complete this business plan.
We also particularly blessed and thankful to Puan Nor Azmawati Husain as being the major
source for us in making sure that all element needed and been listed in this business plan
are done accurately according to the needs and guidelines.

Generally, the nature of our business is producing and selling the snack food which is
chicken chips. We choose this kind of business is because we see the potential and the
growing in food and beverage industrial. We also take advantage from what people eat
everyday as their snack. Our product is totally different from other product because our
product mainly made from chicken meanwhile other product are made from potato or fish
as their main ingredient. This make our product is rare if we want to compare to other
product.

1.1 Name of Company

The business is called “ChickChips” and the main product is Chicken Chips. The name
ChickChips was created because the word itself is trending now. The name ChickChips
could attract people to come and purchase our product because they are attracted to the
name.

1.2 Nature of business

The main activities are producing and selling chicken chip, as the core product, to the
people. This business is established by five partners: Alia Nur Anis binti Nor Salleh as the
Manager, Fatini Saadiah binti Halim as the Marketing Executive, Khadijah binti Fairuz as
the Administration Executive, Nur Fatin Fatihah binti Mohamad Razhuan as the Financial
Executive and Nur Nazifa Elisa binti Abd Hamid as the Operational Executive. Besides
that, we would like to test our market in order to make our product become popular and get
high demand for our product. As a newcomer in the market, we want our customer to feel

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satisfied with our product and also will make sure that our product is the best and will exist
in the future.

1.3 Objectives, vision and mission of organization

Vision
Our vision is to be one of the brands well-known that produce chips and be a trusted
brand in domestic area.

Mission
Make every moment pop with a taste of the unexpected. Our mission is to make sure
that our product will be expend the market to the entire Johor and then all over
Malaysia. Besides that, we hope we will be supplying product to the entire world soon.
Lastly, to achieve customer satisfaction by putting Customer's Priority First and build
their trust.

Objective
i. To grow our shareholder value
ii. To grow our business earnings per share
iii. To produce reliable products/services
iv. To give the best service to our customer
v. Maintain alignment across the organization

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1.4 Background of organization

NAME OF BUSINESS ChickChips

NATURE OF BUSINESS Food Industry
BUSINESS ADDRESS Lot 16, Bandar Hilir,
Bandar Melaka,
75000 Melaka
EMAIL ChickChipsBusiness@gmail.com
TELEPHONE 06-76512642
FAX NUMBER 06-18090396
FORM OF BUSINESS PARTNERSHIP
MAIN ACTIVITY Producing and Selling Snack
DATE OF REGISTRATION 01 JANUARY 2021
DATE OF COMMENCEMENT 01 JUNE 2021
NUMBER OF BUSINESS CR0857121-R
REGISTRATION
NAME OF BANK MAYBANK
BANK ACCOUNT NUMBER 122323457967

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1.5 partnership agreement

PARTNERSHIP AGREEMENT

DATED: 1st JANUARY 2019

BETWEEN
ALIA NUR ANIS BINTI NOR SALLEH
AND
NUR FATIN FATIHAH BINTI MOHAMAD RAZHUAN
AND
KHADIJAH BINTI FAIRUZ
AND
FATINI SAADIAH BINTI HALIM SA’ADI
AND
AND NUR NAZIFA ELISA BINTI ABD HAMID

PARTNERSHIP AGREEMENT

THIS PARTNERSHIP AGREEMENT is made on 1st day of December 2020

BETWEEN

ALIA NUR ANIS BINTI NOR SALLEH (I/C NO: 981224-01-7372)

No. 331 Blok 20, Felda Air Tawar Satu, 81920 Kota Tinggi, Johor
(here in after called “Anis”) of the one part;

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AND

NUR FATIN FATIHAH BINTI MOHAMAD RAZHUAN (I/C NO: 971114-38-

5474)
Lot 112 Jalan Anggerik, Kampung Tersusun Simpang Tiga, 32800 Parit Perak
(here in after called “Fatin”) of the second part;

AND

KHADIJAH BINTI FAIRUZ (I/C NO: 980818-01-6292)

38, Jalan Padi Mahsuri 11, Bandar Baru Uda, 81200 Johor Bahru, Johor
(here in after called “Khadijah”) of the third part;

AND

FATINI SAADIAH BINTI HALIM SA’ADI (I/C NO: 980517-10-5574)

No 2, Jalan 48, Taman Chepor Indah, 31200 Chemor, Perak
(here in after called “Fatini”) of the fourth part;

AND

NUR NAZIFA ELISA BINTI ABD HAMID (I/C NO: 981223-10-6368)

Lot 8294 B, Kampung Geliong, 33600 Enggor, Perak
(here in after called “Nazifa”) of the third part;

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WHEREAS: -
The parties here to are currently the partners to a business entity known as
“ChickChips” a partnership business registered under the Business Registration Act
1956 and having its address at Lot 16, Bandar Hilir, Bandar Melaka, 75000 Melaka.
The partnership is now carrying on the business of making, selling chicken chips which
is a snack. The initial capital of the Partnership Business is Ringgit Malaysia Thirty
Thousand (RM30,000.00).

The parties here to here by agree to set out and regulate the terms and conditions
governing the relationship among them as partners to the Partnership subject to the
terms and conditions herein contained.

NOW IT IS HEREBY AGREED as follows: -

1.0 PLACE OF BUSINESS

The Partnership Business shall be carried out at Lot 16, Bandar Hilir, Bandar Melaka,
75000 Melaka or at such other place or place as the partners from time to time may
approve (here in after referred to as the” Demised Property”)

2.0 DURATION OF PARTNERSHIP

This Partnership Agreement shall have full force from the date of this Agreement and
shall continue to bind on the Partners until it is determined as here in after specified.

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3.0 CAPITAL AND ACCOUNT

3.1. The Partners shall immediately after the signing of this Agreement pay into
an account to be opened in the name of the Partnership Business (hereinafter
referred to as “the Partnership Account”) a sum of Ringgit Malaysia Forty
Thousand (RM40,000.00) only or any other sum as may be agreed upon by
the Partners herein (hereinafter referred to as “Initial Capital”).
The details of the Initial Capital are as follows:

No. NAME EQUITY EQUITY EQUITY

CONTRIBUTION CONTRIBUTION CONTRIBUTION (RM)
(%)
1. ALIA NUR ANIS BINTI 33.32 10,000
NOR SALLEH
2. NUR FATIN FATIHAH 16.67 5,000
BINTI MOHAMAD
RAZHUAN
3. KHADIJAH BINTI 16.67 5,000
FAIRUZ
4. FATINI SAADIAH BINTI 16.67 5,000
HALIM SA’ADI
5. NUR NAZIFA ELISA 16.67 5,000
BINTI ABD HAMID
TOTAL 100 30,000

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 3.2. Any payment out of the partnership account shall have been first approved by
all the parties to this agreement.

3.3. The partners shall appoint an independent accountant (here in after called “the
Accountant”) to manage the yearly account of the Partnership Business.

4.0 PROFIT AND LOSS

4.1. Each of the Partners shall be entitled to the Partnership Business profit in
accordance with the percentage of their respective equity contribution as
specified in Clause 3.1 herein and shall also bear all losses in the same
proportions.

4.2. The Partners shall direct the accountant in pursuant to Clause 3.3 herein to
calculate all assets and liabilities of the Partnership Business and prepare a
yearly balance sheet and profit and loss account and share of profits.

4.3. All the balance sheet and profit and loss account and share of profits as
stipulated in Clause 4.2 herein shall upon its completion be signed by the
Partners and thereafter the Partners shall be bound thereby unless manifest
error shall be found therein within one (1) month in which case such error
shall be rectified.

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5.0 PARTNERS’ SALARY AND PARTNERSHIP MONIES

5.1. As compensation for partners‟ services in and to the Partnership business,

each partner shall be entitled to a salary of RM1, 100 for the manager only
and RM1, 000 for administration executive, marketing executive, operation
executive and financial executive each month, which shall be deducted by the
Partnership as an ordinary and necessary business expense before
determination of net profits. The salary of any Partner may, however, be
increased or reduced at any time by mutual agreement of all the Partners.

5.2. The partners shall be entitled to draw out of the Partnership Account on a
monthly basis or as the case may be on account of their respective shares of
profits as specified in Clause 4.1 herein.

5.3. In the event the account taken by the accountant appears that any partner or
Partners has drawn any sum in excess of their share of profits as specified in
Clause IV. Herein he shall forthwith repay such excess into the Partnership
Account or to be deducted from his monthly salary or next profit account.

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6.0 DUTY AND LIABILITY

6.1. Each partner shall be just and faithful to the other Partners and shall diligently
attend to the Partnership Business and devote their whole time and attention
thereto.

6.2. No partner shall without the consent of the other partners enter into any
contract, engage in any business other than that of the Partnership Business or
engage or dismiss any employee of the Partnership Business or become bail
or surety for any person or lend any partnership property release any debt due
to the Partnership Business except in the ordinary cause of business draw
accept or endorse any bill of exchange.

6.3. In the event of any partner shall engage in any other contract or business
transaction or any acts other than as stipulated in Recital B herein without the
consent of the other, the partner who unilaterally enter into such contract or
business transaction or acts shall be solely liable for such contract or acts and
fully indemnify the other partners in the event the other partners is held to be
liable for such contract or acts.

6.4. In the event the partners intend to engage employees, agents or any other
person for the purposes of the Partnership Business, such employees, agents
or any other person shall only be engaged upon mutual consent and
agreement of the partners.

6.5. The partners shall be jointly responsible and liable for the rental of the
Demised Premises as specified in the Tenancy Agreement entered into
between the partnership and the landlords of the Demised Premised as
attached herewith.

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6.6. Each of the partners hereto, subject to that is herein otherwise provided, shall:

a) Participate and attend to the business to the greatest common advantage of the
Partnership Business.

b) Be just and faithful to each other.

c) Render true accounts and full information of all moneys affecting the Partnership
Business to the other.

d) Indemnify the Partnership Business for any loss caused to it by willful negligence
or fraud in the conduct of the Partnership Business.

e) Attend to the Partnership Business diligently and actively.

f) Not to withdraw any amount for his own benefit or use as remuneration or
otherwise without the consent of the others, except to the extent hereinbefore
provided.

g) Every party shall account for the profit earned from any transaction of the
Partnership Business or from the use of the Property in any business transaction
of the Partnership Business.

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7.0 DISSOLUTION AND RETIREMENT

7.1. This Partnership Agreement may be determined by giving to the other

Partners not less than three (3) months’ notice in writing and agreed upon by
all the Partners of the Partnership Business.

7.2. If this Partnership Agreement shall be determined by notice pursuant to

Clause 7.1 herein or dissolved by the death or bankruptcy of any partner or by
order of the Court, the partner whom notice was given or the surviving or
solvent Partner or the Partner on whose application such order was made as
the case may be, may within fourteen (14) days from the giving of such notice
or within fourteen (14) days from such death or bankruptcy or the making us
such order as the case may be, by notice in writing to the other partners or
their personal representatives trustee in bankruptcy or receiver, elect either to
have the Partnership Business wound up pursuant to the provisions of the
Partnership Act 1961 or to purchase the share of the other partner at the net
value thereof as agreed between the partner giving notice (hereinafter called
“the Purchaser”) and the other Partner or his personal representatives, trustee
in bankruptcy or receiver as the case may be (hereinafter called “the Vendor”)
or in default of such agreement as assessed by a value to be nominated by the
Purchaser and the Vendor jointly in writing and in agreeing or assessing the
net value of such share the goodwill of the Partnership shall be taken into
account.

7.3. Any value so nominated or appointed as specified in Clause 7.2 herein shall
act as an expert and not as an arbitrator and his professional charges shall be
borne by the Vendor and the Purchaser in equal shares.

7.4. On the purchase by a partner of the share of the other partner pursuant to
Clause 7.2 herein the purchase money shall be paid by the partner who
purchases the share of the other on a date to be agreed upon by the partners or
their personal representatives.

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 7.5. If a partner desire to retire from the Partnership Business, he shall give to the
other partners at least one month’s written notice to that effect and shall on
the expiration of the said notice period be deemed to have retired from the
Partnership Business.

7.6. If a partner retires from the Partnership Business the retired partner shall not
be entitled to carry on the same or similar business in the same name as that
of the Partnership Business.

7.7. The dissolution of the Partnership Business or the purchase of the other
partner’s share by the remaining partners and the retirement of the partners
shall not affect the continuation of the Partnership Business under the trade
name O’hana, unless all the partners mutually agreed to dissolve the
Partnership Business.

8.0 CONTROVERSY OR CLAIM

Any controversy or claim arising out of or relating to this Agreement, or the breach
hereof, shall be referred to any court having jurisdiction thereof.

9.0 ILLEGALITY
Each provision of this Agreement shall be construed separately and in the event any
provision of this Agreement shall prove to be illegal or unenforceable, the remaining
provision shall remain in full force and effect.

9.1 ASSIGNMENT
This agreement nor any rights granted hereunder may be assigned extended or
otherwise transferred by either of the partner to any third parties without the written
consent of the other partner.

10.0 TIME
Time wherever mentioned in this Agreement shall be of the essence of this Agreement.

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11.0 NOTICE
Any notice required to be given by either of the partners hereunder shall be in writing
and shall be served by either of the partners hereto on the other partner and shall be
deemed to be sufficiently served on the other partner if left at or sent by prepared
registered post to the partner respective addresses as herein contained and if sent by
post shall be deemed to be served three days after the date of posting and shall take
effect thereon.

12.0 BINDING EFFECT

This Agreement shall be binding on the respective permitted assigns and heirs, personal
representatives and successors-in-title of the partners herein.

13.0 INTERPRETATION
In this Agreement unless the context states otherwise the following interpretation shall
be adopted:
a) Words importing the singular number shall include the plural and vice versa.
b) The headings to the Clause are for ease of reference only and shall not affect
the interpretation or construction of this Agreement.
c) Words importing the masculine gender shall include the feminine and neuter
gender and vice versa.

14.0 LEGAL FEES AND DISBURSEMENT

All legal fees and disbursement incurred, or to be incurred for the preparation and
execution of this Agreement shall be shared equally by the partners herein.

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 IN WITNESS WHERE OF the parties hereto have here unto set their hands the day and
year first above written.

SIGNED AND DELIVERED by )

ALIA NUR ANIS BINTI NOR ) .………………………………………

SALLEH

in the presence of:- ) ALIA NUR ANIS BINTI NOR

SALLEH

SIGNED AND DELIVERED by )

NUR FATIN FATIHAH BINTI ) ………………………………………

MOHAMAD RAZHUAN
in the presence of:- ) NUR FATIN FATIHAH BINTI
MOHAMAD RAZHUAN

SIGNED AND DELIVERED by )

KHADIJAH BINTI FAIRUZ ) ………………………………………

in the presence of:- ) KHADIJAH BINTI FAIRUZ

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SIGNED AND DELIVERED by )

FATINI SAADIAH BINTI HALIM ) ………………………………………

SA’ADI

in the presence of:- ) FATINI SAADIAH BINTI HALIM

SA’ADI

SIGNED AND DELIVERED by )

NUR NAZIFA ELISA BINTI ABD ) ………………………………………

HAMID

in the presence of:- ) NUR NAZIFA ELISA BINTI ABD

HAMID

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1.6 Business logo

1.7 Interpretation logo

Name and ChickChips ChickChps literally from the chicken chips itself.
Image The word in the box shows the bonding of the
members like a families. The concept emphasizes
that families are bound together and members
must cooperate and remember one another so is
compatible with our business
Motto Taste - Taste stand for the mouth-watering taste of
Share the snack.
- Share stand for the snack should be share
to their family and friends.

1.8 Location of business

Location of business gives significant impact in the business and cost structure. The
failure to decide the right and strategic place can lead to the failure of the business itself
in long terms. In establish company, problem connected with location a can arise in
many ways. We choose this location based on a few aspects that has been consider
which are the infrastructure, the system of transportation and the environment.

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ChickChips is rented at a location of Lot 16, Bandar Hilir, Bandar Melaka, 75000
Melaka.

This location also located at good and strategic area because this area situated near and
accessible to the customer. The selection is depending upon a few factors such as
strategic area and suitable to operate the business. The opportunity for us to attract more
customers will be higher compared to other places such as in the rural area.

a) Building

b) Basic amenities
a) Water
b) Electricity

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2. PRODUCT OR SERVICE DESCRIPTIONS

2.1 Product’s Details

ChickChips is the first company that produce this innovated product. This idea was
developed after we visited Oriental Food Industries Sdn Bhd. This company’s
management and operations are leaded by OFIH Group under the supervision of and
leadership of Datuk Seri Son Chen Chuan, Group Managing Director and Datuk Son
Tong Leong, Group Chief Executive Officer. The main business of Oriental Food
Industries Sdn Bhd are snack food, wafer, potato snack and bakery products. The
company has other various brands including ZESS, Delio, Fudo, Funtos, Rota, Mini,
and Super Ring that are well-known in Malaysia. Most of the brand are commercially
strong and generating the required sales and profit. After interviewing the marketing
manager, the only problem of the company is to make variety of chips-based product
or snacks.

We did some research and studies then, found out that the best solution of the problem
is to create a new chips product. The idea regarding of the new product have been
proposed to the marketing manager and he was excited about the idea to be produced.

ChickenChips is a snack product which is chips that are being made from real chicken
meat. It is incorporating a few ingredients such as eggs, flour and oil to create a paste
and it will be fried. This is a different product from what we can usually get from the
market nowadays which is chips that are being made from artificial flavourings and
other artificial ingredients.

The packaging of the product also being upgraded. The traditional packaging cannot be
resealed once we open the package. The chips will go soft and will make a mess if we
put in the bag carelessly. ChickenChips packaging can be resealed, so that the chips
will stay fresh and easy to keep and bring everywhere. The packaging also saves space
as it can be folded. It is made from waterproof material so that the chips will stay crisps
without getting soaked by any water from outside. The packaging also semi-transparent
so that customer can check the content of the packaging to ensure that the chipst that
they want to buy is still good.
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ChickenChips has been made by using several types of materials. The first material is
high quality chicken. This is to ensure that the chips stay fresh for a long time and
produce high-quality chips with great taste.

Figure 2.1: Chicken with breast part.

The next material used is packaging that can be resealed. This is to ensure that the chips
will not go soft easily, easy to grab-and-go and waterproof. Figure blabla shows the
packaging for ChickenChips.

Figure 2.2: Packaging for ChickenChips

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2.2 Applications, Primary End Use and Secondary Applications of The Products

The main application for this product is to give alternatives to the consumer to eat
snacks with healthier option. The product also designed to help busy people to eat
snacks easily anytime and anywhere.

Primary end use

ChickChips want to create chips that are made from real chicken meat and not just using
artificial flavouring. This is to ensure that people can enjoy snacks without all the junks
in it. So, people with any age can enjoy this snack without worrying about the bad
effects that they might get from eating snacks.

Secondary application of the products

The packaging of the product is created better than the traditional packaging that we
usually see in the market such as the packaging cannot be resealed once being opened.
ChickChips develop a packaging than can be resealed to make sure that the chips stay
fresh

2.3 Unique Feature of This Product

The special characteristics of Chicken Chips are:

Secured packaging

The packaging is designed to protect the product during the process of transportation,
storage, display and sales until the product is ready for use. Protection is one of the
important things to handle our product. So, we choose a packaging that has a zip seal
that work as a security seal. Zip seal able to help the customer to keep the product after
they open it. So, the product won’t get spoil after it has been open. We also choose a
bit transparent packaging as our packager. This is because transparent packaging helps
the future buyer to see our product and buy it. Transparent packaging also able to satisfy
future buyer because they able to see the amount and the condition of our product.

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Simple design

Chicken Chips use a simple design where the packaging is not too crowded with many
colors. We use yellow as the theme color as it represents bright and cheerful theme. The
shape of the packaging is rectangle as it is a neat shape.

Designated for busy life

Chicken Chips is specially designed for people who have a busy life. Chicken Chips
packaging is waterproof as it made from high quality waterproof material so it will
not get soggy. The packaging also can be sealed and easy to keep in the bag as we
want to want to make sure that customer can eat the chips freshly every time such as
during lunch time or after working hours without it going soft.

2.4 State of Development of the Product.

Product development have several steps to be followed in order to ensure its success. It
includes a few procedures that must be conducted according to sequence. The failure
in following the given step will affect the product development process. In developing
Chicken Chips, we must do research and development (R&D) or case study, product
design, concept testing, build prototype and test marketing.

The first step is case study. This is where the data will be collected in order to know the
current scenario in the market. It also helps us to study the consumer demand which
will be used during idea generation. The collected information later will be used to
develop a product that fit with consumer’s preference. If this step is taken lightly, the
product will have high chance to fail. This is because the new product is not fit with
current market and cannot survive if the market trend changes.

We have been doing research on the Oriental Food Sdn. Bhd. based on the SWOT
analysis and Consumer Trend Canvas (CTC). From the study, we have identified the
weakness of the company production which Oriental Food Sdn Bhd has been produced
variety type of chips product related to chicken chips production such as Jacker Potato
Chips with variety flavors, Cheese Balls, Chicken Ring an Rice Crackers.
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Based on our case study, we have identified some problems regarding to the utilization
of the product varieties from this company. The ‘chips’ product only consist of potato
chips and what differentiate the chips is only their flavor. After the interview session,
we gathered all the information about current product in market. The information is
collected through problem reversal, reading and survey on internet. Next is product
design. This can be described as the translation of idea to the physical product. All the
collected information from previous step which is research and development (R&D) or
case study will be interpreted into idea and concept for the product. The idea translation
must cover various factor, functionality of the product, aesthetical value, consumer’s
satisfaction and fulfil the consumer’s needs during developing the product design.
There are also several criteria that must be followed during developing product design
which are:

i. Product reliability
ii. Product safety
iii. Product durability
iv. Special feature of product

ChickenChips is a reliable product since it is a high-quality product and can be trusted.

ChickenChips is also a safe product to be used. Product labelling allowing customer to
know about the product and give necessary messages including ingredients, instruction
and use. As for our product label, we put ingredients that we use in the chicken chips
so that the customer will knows the ingredients before they bought our product. Other
than that, we also provide the amount calories for each serving. It helps the customer to
familiarize and calculate their calories intake. We also label the expiry date, so the
customer will be aware with the product condition. Lastly, we will provide QR code so
that the customer will be able to find our product information easier. ChickenChips also
is a durable product as it has a strong, waterproof and resealable packaging so consumer
can eat it freshly even after opening the packaging for days ago.

After product design, there will be concept testing. This concept testing also has its
importance which is defining the purpose of the test, choosing survey population,
choosing survey format, communicate the concept, and measure customer’s response.
This must be done with correct sequences in order to ensure data accuracy during
24
gathering of all information. Commonly, the method used are interview session and
survey by using questionnaires. Later, the result will be interpreted, and the company
will discuss in order to decide the product’s development.

For the concept testing we chose sketching to visualize how the product will be
presented to the customer before it will be designed using software to create more
realistic image of ChickenChips. Other than that, we use questionnaire for survey. This
survey will give us feedback about our product from consumer. This feedback will help
in improving our product.

Figure 2.3: Sketching of packaging

Lastly, test marketing. questionnaire has been used in order to get feedback from the
customer. From here, we can know and understand the consumer’s response about our
product. It is also one of the methods that we use to promote our product. This helps us

25
to expose our product in market. All the feedback received will be used to improve our
product. This helps us to forecast the possible profit and target sales that can be achieved
after production of ChickenChips.

The first question is gender. Second question is age of the respondent. Third question
is about the brand of potato chips that customer love the most. Forth question is about
how often the respondents ate potato chips. Fifth question is about the flavor that the
respondent prefers. The sixth question is about the respondent concern when buying
potato chips such as price and quantity. The seventh question is does the respondent
ever found chips that are made from pure chicken or not. The eight question is about
does the respondent interested with our product and the last question is about if the
product being promoted, it will be a success or not based on the respondent thought.
ChickChips had passed all the phase above. We had produced our product and test it at
market, so we know the consumer’s acceptance of our products. We are currently
preparing a proposal. This proposal will be used to convince bank for loan to expand
our business.

2.5 Product Expansion Opportunities

People nowadays are looking for a product that they consider a snack but with a
healthier option. ChickChips take this opportunity to improve current product that has
been available in market. We can penetrate market in order to expand our business.
Restaurants, hypermarket and supermarkets can help us to increase the sales of Chicken
Chips which will be our opportunities to enter global market.

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3. TECHNOLOGY DESCRIPTION

1. Food processor

Figure 3.1 Bear QSJ-B03F1 2L Stainless Steel Food Processor Multipurpose Food Chopper, Blender
and Mincer

Product Description

Physical • Brand model : Bear QSJ-B03F1

description • Machine size : 25.3 X 17.8 cm
• Rated power : 300W
• Shape : cylinder
• Colour : silver
• Price: RM150
Special features • Push button design enables to control the degree of crushing,
safe and practical.
• Dual blade shape allows the upper and lower blades to evenly
cut food from every angle
• 300W power of pure copper motor makes it possible to grind
ingredients in a blink
• Large capacity of steel bowl makes it easier to grind materials
in a large quantity.
Materials • Stainless steel body
• AS top cover
• Cutter kit
• 304 stainless steel mixing cup
• Non- slip pad
• Smooth shaft non-stick
• Sharp curved knife
• Speed button

Benefits • Good hardness

• Thicken inside layer
• Rust resistance
• Removable cutter kit

27
 2. Mixer (shred the chicken) shred- torn or cut into shreds

Figure 3.2 CHEFTRONIC SM986-Black Stand Tilt-head Kitchen Electric Dough Mixer for Household Aids

Product Description

Physical • Brand model : CHEFTRONIC SM986

description • Item dimensions: 16.50 X 6.00 X 14.00 inches
• Rated power : 650W
• Colour : black
• Price: RM150
Special features • Powerful motor and variable spped control
• Stainless steel bowl
• Versatile attachment set
• Tilt-head and anti-slip design
Materials • Wire whip
• C-dough hook
• Y- shape flat beater
• Flex edge beater
• Pouring shield offering mixing versatility to blend beat, whip,
knead, mix eggs or cream.
• Bowl
• shield

Benefits • Powerful enough for making quick work of the ingredients

• Safety protection as when it is overheated, it will stop
automatically
• Light weight, easier to move around
• Easy to operate and clean

28
 3. Freezer

Figure 3.3 Meck Chest Freezer 80L/100L MFZ-80R6

Product Description

Physical • Brand model : MECK MFZ-80R6

description • Product dimensions:530 X 440 X 830 mm
• 80L capacity
• Colour : silver
• Price: RM250
Special features • Concealed high efficiency compressor
• Water drainage hole for interior cleaning convenience
• Corrosion free
• Equipped with basket for efficient storage
Materials • Fiber
• Built- in lock
• Rollers

Benefits • Easy to be carried anywhere

• Has 7 level temperature control
• Deep and quick freezing

29
 4. Electronic weighing

Figure 3.4 Slim LCD Digital Electronic Weighing scale

Product Description

Physical • Brand model : Slim

description • Pan size: approx.. 10.5 X 10.5cm
• Size: 12.5 X 10.5 X 1.7cm
• Power supply 2X AAA batteries
• Capacity: 3000g
• Colour : silver
• Price : RM30
Special features • The backlit LCD display makes the numbers visible and
readable
• Offered several Wgemodi (g, oz, ozt, dwt, gn, ct), accurate and
reliable
Materials • ABS
Benefits • The size is small and compact
• Sensitive and accurate sensors of weighing

30
 5. Kitchen Appliances

Figure 3.5 8 in 1 Stainless Steel Knife Set

Product Description

Physical • Brand model : China OEM SSKS3Cr13

description • Pan size: approx.. 10.5 X 10.5cm
• Size: 12.5 X 10.5 X 1.7cm
• Number of pieces in set : 8
• Price : RM30
Special features • The high carbon stainless blades provided with polymer
handles.
Materials • 3Cr13 Stainless Steel
Benefits • Triple compression stainless steel rivets secure the handles to
the blade for increased safety and stability
• Wooden design ABS storage block protects knives when not in
use
• Dishwasher safe

31
 6. Stove

Figure 3.6 Pensonic PGC-26N Double Burner Gas Cooker

Product Description

Physical • Brand model : Pensonic PGC-26N

description • Pan size: approx.. 10.5 X 10.5cm
• Size: 12.5 X 10.5 X 1.7cm
• Cooktop surface : Gas
• Wattage : 1000W
• Price : RM70
Special features • Expoxy coated body
• Durable trivet

Benefits • saves gas and cooking time by reducing the energy used and
heat loss

32
 7. Operating working table

Figure 3.7 LINNMON / ADILS Table

Product Description

Physical • Brand: LINNMON / ADILS

description • Product size: 100 X 60 X 74cm
• Maximum load: 50kg
• Price : RM30
Special features • Ready made combination
• Strong and light weight
• Uses less raw materials
Materials • table top: fibreboard, acrylic paint
• frame: particleboard, plastic edging
• honeycomb structure paper filling
• bottom: fibreboard
• basematerial : steel, epoxy
• foot: polypropylene plastic

33
 8. Cashier counter table

Figure 3.8 Cash register desk

Product Description

Physical • Brand model: OUJIA OJ-SY-001

description • Colour: white or customized
• Stle: American Style
• Packaging: standard export carton
• Price: RM100
Special features • Streamlining and compound design

Materials • MDF & Glass

Benefits • Save storage space
• Easy to use

34
 9. Cash Register Machine

Figure 3.9 Sharp XE-A147 Cash Register (Secondhand)

Product Description

Physical • Brand model: Sharp XE-A147

description • Secondhand version
• Small compact design
• Interface: One SD card slot
• Price : RM150
Features • The name of item could be set manually
• Running on thermal paper, no ink require
Materials • Raw materials of electronic product (metal printer, metal cash
drawer and a liquid crystal display panel)

35
 10. Rack

Figure 3.10 Boltless Rack (100~300kgs/Shelve)

Product Description

Physical • Brand Model: OEM L3xW1xH5-4L

description • Tool storage cabinets type
• Colour: blue, yellow and beige
• Price: RM50
Features • Loading capacity 100kg – 300kg
• Medium duty rack storage system
• Easy and fast to install without need to have tooling, bolt and
nut.
Materials • Decking material 8mm HDF board

36
 11. Gas

Figure 3.11 Flogas leisure propane gas 6kg refill

Product Description

Physical • Brand: Flogas

description • Height: 495mm
• Diameter: 256mm
• Fitting: 27mm (clip-on)
• Weight: 13-14kg
• Price : RM40

37
4. MARKET ANALYSIS AND MARKET STRATEGIES

4.1 INTRODUCTION FOR MARKETING PLAN

A marketing plan is a complete document that outlines a company’s overall

marketing effort. It is a rough plan on how a company strategize their marketing
and implements the marketing to achieve the company’s main goal and
objective by using combination of resources such as sales target and customer
acquisition. Firstly, first step in marketing is detect our customers. We should
know our customers preferences and we should use suitable medium to ensure
we can gain their attention based on their interest towards our product.

Marketing analysis and marketing strategies is the main course of marketing

plan. In marketing analysis there is marketing segmentation which is the process
of dividing a broad consumer or business in the market that usually consisting
of the existing customers and potential customers. While, in marketing
segmentation, there are four main parts which are geographical, demographical,
behavioral and psychographic. Then, we need to estimate the market size,
market share, sale forecast and purchase forecast.

Lastly, marketing strategies that will be used to gain customers’ interests

towards our innovation is by introducing the product to public, explaining about
the special ingredient in the product and the differences between the product
and other brand’s product. There are 7P1C in the marketing strategies which
are product, price, place, promotion, process, people, physical evidence and
customer services.

38
4.1.1 Marketing Objective

Marketing objectives are known as goals by a business which

promoting its products or services to potential consumers that should
be achieved within a given period of time. In other meaning, the
marketing goals were set to ensure our company can achieve it
within time given and we can use it as a guideline to achieve
excellent sale. These are our main objectives that we want to
achieve:

i) To introduce new products

ii) Estimate market acceptance and sales
iii) To gain profit and customers’ trust
iv) To enhance customers relation
v) To grab market share with competitors
vi) To compete with competitors in a healthy way
vii) To ensure the product maintain in the market

4.1.2 Customers

Customers are defined as the person which a company wanted to sell

its product or services to, while the target market is defined as a set
of buyers who have share common need or characteristics that
company decides to serve. By choosing suitable market places, the
product can be marketed efficiently and effectively. So, we have
decided to choose Malacca as our main market place. This is
because, Malacca is a strategic market place which is near to Johor,
Negeri Sembilan, Pahang and Selangor.

39
4.2 MARKET SHARE AND MARKET TREND

4.2.1 Target Market

Our company named ChickChips Enterprise which is a producer of

the chicken chips and our company located at Malacca. This
business offered new product of chips which is a chicken-based
chips and different from other normal chips products.

The target market involves breaking a market into segment and then
concentrating marketing efforst on one or few key segments consist
of the customers whose needs and desires most closely match our
product or service offered. This can be key to attracting new
business, increasing sales and business success. The best thing of
target marketing is that by aiming marketing efforts at specific
groups of consumers at the same time promoting, pricing and
distributing products and services with ease and more cost-effective.

4.2.2 Market Segmentation

Market segmentation is a process of dividing the market of potential

customers into different groups and segment on the basis of certain
characteristics. The members of these groups have same
characteristics and usually have one or more than one aspect among
them. Market segmentation was divided into four segments. Firstly,
geographic segmentation, it divides the market on the basis of
geography. This type of market segmentation is important for
marketers as people belongs to different regions may have different
requirement. For instance, in some region banana might not be
enough but at the same time it might be abundance on other region
where demand of it is less.
Secondly, demographic segmentation divides the market on the
basis of demographic variables like age, gender, marital status,
family size, religion, race and occupation. Third and last is
40
 behavioural segmentation in which the market is segmented based
on audience`s behaviour, usage, preference, choice and decision
making.

4.2.3 Geographic Segmentation

The reason we choose Malacca because Malacca has a lot of

opportunities such as it has good market development, future value
and market sales. Malacca is a small state that is located near to
Johor, Negeri Sembilan, Selangor and Pahang, so, this is a good
opportunity for us to increase our sales and increase people
knowledge about our company’s existence in the market. Plus,
Malacca has many visitors from other places because Malacca has
many historical places that have unique building.

4.2.4 Demographic Segmentation

Demographic segmentation is market segmentation according to

age, race, religion, gender, family size, ethnicity, income and
education. Demographics can be segmented into several markets to
help an organization target its consumers more accurately. With this
type of segmentation, an organization can categorise the needs of
consumers.

We choose based on a family lifecycle and income in Malacca City,

Malacca. Family lifecycle in Malacca City most of them are working
people, family, teenagers and student. These are the reason we
choose it as our target.

41
 4.2.5 Market Size

Market size is the number of individuals in a certain market who are

potential buyers or sellers of a product or service. Companies are
interested in knowing the market size before launching a new
product or service in an area.

Table 4.1 Population table

Area Total Population
Malacca 3.497 million
Malacca City 1,183,347

Table 4.2 Total market size

Total Market Size 1,183,347
Total market 20% * 1,183,347 236,669
potential
Potential customer 10% * 236,669 23,666
Total sales per month 23,666 * 1 unit * RM6 RM141,996
Total sales per day 118,330 / 30 RM4,732.20

4.2.6 Market Share

Market share represents the percentage of an industry or market’s total

sales that is earned by a particular company over a specified time period.
Market share is calculated by taking company’s sale over the period and
dividing it by the total sales of the industry over the same period. This
metric is used to give a general idea of the size of a company in relation
to its market and its competitors.

42
 4.2.7 Competition and Competitive Edge

Competitors are any person or entity which is a rival or enemy

against another. In business, a company in the same industry or
similar industry which offers similar products or services. The
presence of one or more competitors can reduce the prices of goods
and services as the companies attempt to gain a larger market share.

From the research that had been done, there are few companies that
make the same or similar products. The products including Mister
Potato, Twisties and Jacker.

Table 4.3 Competitor Edge table

No Product Strength Weakness
Name
1 Mister Potato Highly successful in market Days inventory is high compare to the
strategies competitors – making the company
raise more capital to invest in the
Highly skilled workforce through channel.
successful training and learning
program The company has not being able to
tackle the challenges present by the
Strong dealer community – It has new entrants in the segment and has
built a culture among distributor & lost small market share in the niche
dealers where the dealers not only categories.
promote company’s products but
also invest in training the sales
team.

2 Twisties Improve The Nutrition Profile Of Less promotion and advertising to

Current Portfolio, By Setting promote the product and will take
Global Targets. time to establish brand credibility.

43
 Increase portion control Strong competitor in the market
offerings individually wrapped because more than or less than
products that are 200 calories or hundreds of competitors some are
less. much large and more established.

Products that provide a better Limited product mix compared to the

choice compared to existing width of product mix of other major
alternatives. competitors.

Organization structure is only

compatible with present business
model thus limiting expansion in
adjacent product segments.

3 Jacker Jacker is a local product that one of Plain packaging while the other brand
the leading local snack food has better eye catching packaging.
manufacturer with proven track
record. Do not have variety flavour, so it does
not have more option than the other
Jacker as good on quality as others brand to choose.
international potato chips brands
because of experienced
management.

Jacker is a trusted Halal issue.

They have obtained several
certifications in line with their
quest for optimum quality control
procedures.

44
 4.2.8 Market Share before Entrance

Market share represents the percentage of an industry or market’s

total sales that is earned by a particular company over a specified
time period. Market share is calculated by taking company’s sale
over the period and dividing it by the total sales of the industry over
the same period. This metric is used to give a general idea of the size
of a company in relation to its market and its competitors.

Table 4.4 Market share before the entry of our company

Competitor Before entrance (%) Amount (RM)
Jacker 30% 42,598.80
Mister Potato 28% 39,758.88
Twisties 25% 35,499.00
Others 17% 24,139.32
Total 100% 141,996

Figure 4.1 Market share before the entry of our company

Monthly

Others
17%
Jacker
30%

Twisties
25%

Mister Potato
28%

Jacker Mister Potato Twisties Others

45
 4.2.9 Market Share after Entrance

Table 4.5 Market share after the entry of your company

Competitor Before entrance Amount (RM) Percentage of
(%) loss (%)
Jacker 29% 41,178.84 1%
Mister 26% 36,918.96 2%
Potato
Twisties 21% 29,819.16 4%
Others 14% 19,879.44 3%
O’hana 10% 14,199.60 -
Total 100% 141,996

Figure 4.2 Market share after the entry of our company

Monthly
10%

29%
14%

21%

26%

Jacker Mister Potato Twisties Others O'hana

46
 4.2.10 Sale Forecast

Sales forecasting is the process of estimating future sales. Accurate sales

forecasts enable companies to make informed business decisions and
predict short-term and long-term performance. Companies can base
their forecasts on past sales data, industry-wide comparisons and
economic trends. It is easier for established companies to predict future
sales based on years of past business data. Newly founded companies
have to base their forecasts on less-verified information such as market
research and competitive intelligence to forecasts their future business.

Table 4.6 Sales forecast

Sales Projection RM Profit Reason
Increase/Decrease
January 2020 14,199.60 - -
February 2020 15,193.57 Increase 7% Many people will buy to bring back to
their hometown during Chinese New
Year Holiday.
March 2020 14,737.76 Decrease 3% There is no public holiday for people to
buy in large quantity.
April 2020 14,737.76 - The people will order for iftar event at
school, university or mosque.
Mei 2020 15,474.65 Increase 5% There is school holiday and Hari Raya
Aidilfitri Holiday so many people will
order for wedding and open house.
June 2020 17,022.12 Increase 10% There is no public holiday for people to
buy in large quantity.
July 2020 16,341.24 Decrease 4% There is no public holiday for people to
buy in large quantity.
August 2020 16,341.24 - There is no public holiday so the sales
will maintain.
September 2020 16,504.65 Increase 1% There is Malaysia Day so many people
will order on that day.

47
October 2020 17,329.88 Increase 5% Many people will order to bring back
to their hometown during Deepavali
Holiday.
November 2020 17,503.18 Increase 1% People will order during Maulidur
Rasul event.
December 2020 19,253.50 Increase 10% There is school holiday so many
people will order for wedding and
others.
Total 2020 RM194,638.15
Total 2021 (5%) RM204,370.06
Total 2022 (10%) RM224,807.07

Average sales per month = RM194,638.15 / 12

= RM16,219.85

4.3 MARKETING STRATEGIES

The marketing mix comprises four main pieces that create the picture of a
successful business. Product, price, place and promotion known as the 7P1C,
make the foundation of what your company is all about. After all, selling the
right product at the right price is how the business gets done.

4.3.1 Product

• Design
Product design is the means by which customer demand for
new and varied products can be met, a key focus of business
strategy. Our company product is chicken chips. We serve it
for various kinds of people such as working people, family,
teenagers and students. These people can buy our product

48
 based on their taste. We make it essential to use only
‘HALAL’ and fresh ingredients.

• Quality
We provide chicken chips with high quality because use
fresh ingredients to make it. It is important to make sure that
our customer will satisfy with our product.

• Brand
A brand name informs the customer about a company’s
reputation, enabling them to trust the quality of the product
or service that business offers. ChickChips name itself
meaning family that show that the product is suitable for the
whole family.

• Packaging

The primary function of packaging is to protect the product

during the process of transportation, storage, display and
sales until the product is ready for use. Protection is one of
the important things to handle our product. So, we choose a
bit transparent paper bag as our packager. In addition, it is
the easiest way for the customer to see and satisfy when they
wanted to buy our products.

As we know in market, each product has their own identities

and specialties to attract customers including of their
packaging. Same goes with our product. Since our product is
chicken chips, we know that all can accept our products
because all kinds of people can eat it but what we concerned
is the quality of our products. For the packaging, we have
our own stickers that contain our company details such as
address, contact number, e-mail and logo.

49
 • Labelling
Product labelling is a key feature in marketing. It helps to
market the product allowing customer to know about the
item and give necessary messages including ingredients,
instruction and uses. As for our product label, we put
ingredients that we use in the chicken chips so that the
customers know what kinds of ingredients in the product. We
put the time when the product is made.

4.3.2 Price

Pricing strategy is important for companies who wish to achieve

success by finding the price point where they can maximize and
profit. Chicken chips provides a reasonable and affordable price for
our customer.

Table 4.7 Price

Product Price per unit
Chicken Chips RM 6

4.3.3 Place

ChickChips was located at Lot 16, Bandar Hilir, Bandar Melaka,

75000 Melaka.. This location is more strategic compare to other
places because as we know Malacca City is a capital of Malacca.
Other than that, the location is near with the material purchase center
which is easy for us to purchase material that we need to make
chicken chips. Our location is also near to the residential and
business areas, it is suitable for us to promote our product.

50
4.3.4 Promotion

Banners is the way we introduce and promote our business to the

public especially for our premises. It is because we will put the
banners directly in front of our building so that when people pass by,
they will know where we are and what services and products we are
producing.

We will design and locate our bunting at the main locations where
people always come or pass by for example, at junctions of the roads,
terminal bus, universities or colleges, and so on. The total bunting is
around four depends on how much place will locate them.

Other alternative that we will use is the company’s website that has
information about our company and products. In spite of that, we
will also use social networking sites such as Facebook, Twitter and
others to promote our products. Online selling is important as it is
the easiest way to buy the products so consumer can make orders by
only access to the internet.

Figure 4.3 Facebook

51
Figure 4.4 Banner and flyers

Figure 4.5 Business card

52
 4.3.5 People

the staffs that work in ChickChips Enterprise is the person that have
the largest share in this company. They will be assigned to the
different position in this company based on their experience and
education. Their experience in different field can help this company
to go further and maintain it stability in the market.

Table 4.8 People in company

No Name Position
1 Alia Nur Anis bt Nor Salleh General Manager
2 Nur Nazifa Elisa bt Abd Hamid Operation Manager
3 Fatini Saadiah bt Halim Sa’adi Marketing Manager
4 Khadijah bt Fairuz Administration Manager
5 Nur Fatin Fatihah bt Mohamad Razhuan Financial Manager

4.3.6 Physical Evidence

The premise located at Lot 16, Bandar Hilir, Bandar Melaka, 75000
Melaka. This location is strategic because our customer can easily
access to our place and the environment is really suitable for our
company operation.

4.3.7 Customers Services

Customers are the most importance entity in a business so in order

to maintain our stability in this industry, we provide a good customer
service such as information counter services.

53
 4.3.8 Marketing Budget

Marketing budget is an estimated projection of costs required to

promote a business’ products or services. A marketing budget will
typically include all promotional costs, including marketing
communications like website development, advertising and public
relations, as well as the costs of employing marketing staff and
utilizing office space.

Table 4.9 Marketing budget

Item Fixed Assets Monthly Other Total (RM)
(RM) Expenses (RM) Expenses
(RM)
Signboard 1,000 500.00
Grand 1,000 1,000.00
opening
Signboard 500 500.00
license,
member card
and uniform
Banner 200 200.00
Business card 50 50.00
Flyers 50 50.00
Showcase 500 500.00
cabinet
Promotion 300 300.00
Total 4,500.00

54
 5. MANAGEMENT TEAM

5.1 Organization Structure

General Manager

Administration
Marketing Manager Operation Manager Financial Manager
Manager

5.1.1 List of Manpower

Table 4.10 Manpower

No Position Number of Manpower
1 General Manager 1
2 Marketing Manager 1
3 Operation Manager 1
4 Administration Manager 1
5 Financial Manager 1
Total 5

55
 5.2 Key Management Personal

Table 4.11 Management Personal

Position Name Information
General Alia Nur Anis bt Nor Salleh Academic:
Manager Diploma in Business Management
Bachelor’s Degree in public Relation
Working experience:
Branch manager at Mydin Jasin for 2 years
Achievement:
Experienced in public relation services

Operational Nur Nazifa Elisa bt Abd Academic:

Manager Hamid Diploma in Business Management
Bachelor’s Degree in chemical Industry
Working experience:
Junior operation manager at Kicap Jalen
company for 2 years
Achievement:
Experienced in assembling machine

Marketing Fatini Saadiah bt Halim Academic:

Manager Sa’adi Diploma in Banking and Business
Management
Bachelor’s Degree in business management
and Marketing
Working experience:
Senior marketing manager at Speedmart for
2 years
Achievement:
Experienced in public relation services
Excellent skill in establishing social media
platform

56
Administration Khadijah bt Fairuz Academic :
Manager Diploma in Business Management
Bachelor’s Degree in Office Administration
Working experience:
office manager at Family Mart for 3 years
Achievement:
Good communicator and able to give orders
to employee

Financial Nur Fatin Fatihah bt Academic:

Manager Mohamad Razhuan Diploma in accounting
Bachelor’s Degree in financial and
Accounting
Working experience:
accountant at Balqis Boutique for a year
Achievement:
Skillful in using software and managing
company’s account.

57
Management Team Profile

General Manager

Name : Alia Nur Anis bt Nor Salleh

Age : 32 years old

Email : alianis@gmail.com

Phone Number : 012 45467777

Marital Status : married

Address : No 331, blok 20, felda air tawar satu, 81920 kota tinggi, johor

58
Operation Manager

Name : Nur Nazifa Elisa bt Abd Hamid

Age : 30 years old

Email : elisa@gmail.com

Phone Number : 017 56572333

Marital Status : Single

Address : LOT 8294 B, Kampung Geliong, 33600 Enggor, Perak.

59
Marketing Manager

Name : Fatini Saadiah bt Halim Sa’adi

Age : 28 years old

Email : halfiechanie@gmail.com

Phone Number : 019 2220222

Marital Status : married

Address : No 2, Jalan 48, Taman Chepor Indah, 31200 Chemor, Perak

60
Administration Manager

Name : Khadijah bt Fairuz

Age : 29 years old

Email : khadijahfairuz@gmail.com

Phone Number : 019 56664333

Marital Status : Single

Address : 38, Jalan Padi Mahsuri 11, Bandar Baru Uda, 81200 Johor

Bahru, Johor

61
Financial Manager

Name : Nur Fatin Fatihah bt Mohamad Razhuan

Age : 30 years old

Email : fatinfatihah@gmail.com

Phone Number : 010 5678898

Marital Status : Married

Address : Lot 112 Jalan Anggerik Kampung Tersusun Simpang Tiga,

32800 Parit Perak.

62
 5.3 Duties and Responsibility

Table 4.11 Duties and responsibility

POSITION MAIN TASK AND RESPONSIBILITIES
• To plan, implement and control the overall
General Executive management of the business.
• Responsibility in all company business and manage
with efficiency.
• Plans company policy and procedure to achieve the
company objective.
• Have an ability to make decision because all the
decision will affect the company business
• Ability and have an idea to plan other company
activities in long term.
• To be accountable for the overall performance of the
business.
• Always seeks opportunity to get new market.
Marketing Executive • Make non – stop promotion until achieve the
company objective.
• Can determine the competitor’s strength, the
weakness in efforts to enlarge the market size of the
company.
• Research and measure current market, after those
analyses and make the strategies promotion to attract
the customer attention.
• Maintain the market and make sure the stock of
market is enough.
• Manage in purchasing raw materials.
Operational • Make sure the operation of the company is
Executive efficiently and systematic.
• Ensure whole of machine in safe and clean.
• Control the quality of good to achieve customer is
satisfied.
• Service the machine to make sure each production is
smoothly
• Responsibility with management and general
Administration administration of the company.
Executive • Organize all the administration expenses in good
manner.
• Make sure all the workers get their right such as
bonus scheme, insurance, KWSP and PERKESO.
• Make organization structure and distribute the job
description following the department.
• Make sure the company operates effectively.

63
 5.4 Management Compensation

Table 4.12 Compensation

POSITION NO. OF MONTHLY EPF SOCSO TOTAL

WORKERS SALARY (RM) (RM) (RM)
(RM) 12% 2%

Manager 1 1100.00 132.00 22.00 1254.00

Marketing Executive 1 1000.00 120.00 20.00 1140.00

Operational Executive 1 1000.00 120.00 20.00 1140.00

Administration Executive 1 1000.00 120.00 20.00 1140.00

Financial Executive 1 1000.00 120.00 20.00 1140.00

TOTAL 5814.00

64
 5.5 List of Office Equipment, Furniture and Fitting

Table 4.13 Office equipment, furniture and fitting

TYPE NO. OF COST PER TOTAL (RM)

UNITS UNIT (RM)
Office Equipment
Computer 1 1200.00 1200.00
Photocopy Machine and 1 500.00 500.00
Printer
Telephone 1 30.00 30.00
Total Per Types 1,730.00
Furniture
Worker table 1 80.00 80.00
Office chair 3 15.00 45.00
Cupboard 1 30.00 30.00
Total Per Types 155.00
Stationeries
Fire extinguishers 1 75.00 75.00
File 4 5.00 20.00
Total per Types 95.00
TOTAL 1,980.00

65
 5.6 Administration Budget

PARTICULARS FIXED MONTHLY OTHERS TOTAL

ASSETS EXPENSES

Fixed Assets

Land and Building - -

Office Equipment 1,980 1,980

- -

- -

Working Capital

Salaries, EPF and SOCSO 5,814 5,814

Utilities (telephone, electric and 1,000 1,000

water)

Rental (Building) 1,000 1,000

- -

Pre-Operations and Other

Expenditure

Other Expenditure:

Stationary 50 - 50

Deposit (rent, utilities, etc) 3,000 3,000

Business registration & Licenses 200 200

Insurance & Road Tax Motor - -

Vehicle

Other Pre-Operation - -
Expenditure

Total 1,980 7,934 3,200 13,044

66
5.7 Supporting Financial and Services

Table 4.14 Supporting financial

Bank Services
Bank Islam Berhad Provides financial advice and
assistance
Provide loan for business
development
Provides advice for business decision
(grant and scheme)

67
6. FINANCIAL ESTIMATES

6.1 Introductions

The financial is the last step in the preparation of the business plan. It is the most
crucial aspect of the business plan and involve the calculation of the total project
cost, the choices of financial source and the preparation of financial projection
in term of pro forma statement which include the cash flow, income statement
and balance sheet.

In addition, the financial statement should be supported by depreciation

schedule for every fixed asset owned as well as amortization schedule loan for
repayment. The financial plan is prepared after all budgets pertaining to
marketing, operation and administrative aspects are completed. The important
of financial plan :

 To determine the size of investment

 To ensure the initial capital is sufficient
 To identify the relevant cost of finance
 To be used as a guideline in running the business

6.2 Objectives

PURPOSE OF FINANCIAL PLAN

 To control and ensure the flow of money is in the right position
 To make a budget for the next accounting period
 To provide a bonus if generate income higher than previous

THE SOURCES OF DATA USED IN FINANCIAL BUDGET

 Administration expenses
 Operation expenses
 Marketing expenses

68
6.3 Project Implementation Cost

69
6.4 Working Capital

70
6.5 Pro-Forma Cash Flow Statement

71
6.6 Pro-Forma Income Statement

72
6.7 Pro-Forma Balance Sheet

73
7. PROJECT MILESTONE

Even project milestones can be referred to as project management which plays a major
role in setting clear time for the life cycle of the project. It is often used to mark the
beginning, end or deadline of the phase of work in a project. Project milestone offers
consistent plan occurrence and time-limit for significant event and accomplishment.
Project milestone plans our timeline from start to finish, each event series has a specific
goal to achieve during the process before proceeding to the next phase.

Project milestones serve as guides for the project and during the process it marks the
main event to ensure that the project will run smoothly, and we can reach our goal
according to our schedule. It shows the project's rapid progress from beginning until
project end. To have project milestone in our company is important because our
company deals with machine to make the product. Proper timeline and schedule
planning can reduce operating costs and we can also keep our production per month to
our fixed date.

The company is using the project milestones to monitor and monitor progress before
we can achieve our goal. Completion of the event is dependent on the schedule that we
make, if the event completes halfway through the schedule then we agree that we have
half the job completed. It also help the company to maintain financial status. Delays
and failure to follow the schedule can affect our financial performance, such as failure
to purchase raw materials on time and delay in selling our product due to delayed raw
materials delivery. We'll be able to maintain our financial status by strictly following
the start, end or schedule of the work.

Project milestone is also important to make sure that management use the limited
resources efficiently and effectively which will help to reduce the risk if possible and
prepare contingency plan when necessary. Besides, operation of business has to plan,
prepare and control all the transaction the business. We will make sure that our business
is operated with a good and proper strategies for the business to continue run in the
industry for a long time.

74
7.2 Operation plan

Operation plan is essential before starting a company. We get our revenue mostly from
operating activities thus, to get a strong and competitive company in the industry, we
need to make sure that our business operation is running smoothly. Operational plan
can be described as physical necessities in our business operation such as physical
location facilities and equipment.

In this section, we divided into two parts which is one will cover the development of
our product and the second is all about the production process. In development section,
it will be described about our product and how we control the quality of the product.
Moreover, in production process we mention on how we operate our business day to
day which consist of physical plan, equipment asset, special requirement and materials.
In the ChickChips, the business had been planned and structured to ensure that the
quality of the product can meets the needs of customers. As a result, operational
planning needed to be conducted so that the business can achieve the goals of
organization and to ensure what business is trying to produce

7.3 Objective of operation

The objectives of operational plans are:

a) To ensure all the operations of the business runs smoothly
b) To sustain a good relationship with the customers and suppliers
c) To keep maintain the profitability of the products
d) To be more creative and innovative in order to attract the customers with our product

75
7.4 Operation schedule

The company’s target is to complete business venture and to start deliver the product to
customer within seven-month period. To achieve goals, schedule was arranged for every
activity.

Month March April May Jun July August September

Activities
Registration
Product
research
and design
Incorporate
with
suppliers
Purchasing
machine
Purchasing
raw
material
Start
production
Obtain
feedback
Evaluate
and
improve
Deliver
product to
customer

76
7.5 Operation process

SYMBOL ACTIVITY DESCRIPTION

Activity that modify, transform or give
added value to the input.
Operation

Movement of materials or goods from one

place to another.
Transportation

Activity that measure the standard or

quality.
Inspection

Process is delayed because in process

materials are waiting for next activities.
Delay

Finished product or goods are stored in the

storage area or warehouse.
Storage

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7.6 Process planning production

NO SYMBOL DESCRIPTION
1. Prepare all the raw materials needed before start the production
of chicken chips.

2. Measure the ingredients such as chicken breast, flour, salt, sugar,

baking powder and MSG.

3. Wash the chicken with running water, drain off the chicken
completely from washed chicken

4. Mix the eggs, sugar, salt and MSG into the container then the
mixer will expand to approximately 5 minutes

5. Add MSG, garlic and chicken breast, stir until smooth

6. Stir all the ingredients evenly and mix the flour little by little
until smooth

7. Spread evenly the dough at tray as thin as possible and cut into
piece

78
8. s Put in the cooking oil in 5 minutes

9. Then turn on in small fire and cook until dry and float

10. Lift the envelope crackers that you have fried before and drain
them dry and no oil left

11. It is ready to be served or packaged

79
7.7 Operation plan layout

80
7.8 Product planning

Average sales forecast per month RM194,638.15

12 months

= RM16,219.85
Price per unit RM 6
Number of output per month RM16,219.85
RM 6

= 2, 703 unit per months

Number of output per day RM 16,219.85
25 days

= 648 unit per days

Number of unit per hour 648 pack

8 hours

= 81 unit per hours

7.9 Materials planning

ITEMS SPECIFICATION Total unit per chicken chip

Chicken 1 kg 300 gram
Flour 500 gram (per packet) 200 gram
Garlic 1 kg ( per unit) 1.21g
Egg 300 eggs (per tray) 1 eggs
Salt 350 gram (per packet) 0.57 gram
Cooking oil 1 kg ( per packet) 20 gram
Paper bag 50 pieces 1 piece

81
 7.9.1 Price of raw material

NO. MATERIAL Quantity Total PRICE / TOTAL

Material UNIT (RM)
Required OR KG
(RM)
1. 1. Chicken 2703 unit x 810.9 kg 6.00 4,865.40
(0.3 kg ÷ 1 kg) (1kg)
= 810.9 kg

2. 2. Flour 2703 unit x 541 packet 3.80 2,055.80

(0.2 kg ÷ 1 kg) (1kg)
= 540.6 packet
≈ 541 packet
3. 3. Garlic 2703 unit x 3.27 kg 4.00 13.08
(1.21 g ÷ 1 kg) (1kg per
= 3.27 kg 1 unit)

4. 4. Egg 2703 unit x 90 eggs 10.00 30.00

(1 egg ÷ 30 egg) (30 eggs
= 90.1 eggs per 1
≈ 90 eggs unit)
5. Salt 2703 unit x 4 packet 0.50 2.00
(0.57 g ÷ 350 g) (350g per
= 3.37 packet 1 unit)
≈ 4 packet
6. Cooking Oil 2703 unit x 54 packet 2.00 108.00
(20 g ÷ 1kg) (1kg per
= 54.06 packet unit)
≈ 54 packet
7. Ziploc bag 2703 unit x 54 packets 15.00 810.00
( 1 pieces ÷ 50 pieces ) (50
= 54.06 packets pieces
≈ 54 packets /packet)
TOTAL 7,884.28

82
7.9.2 Machinery and equipment

NO. MACHINE / QUANTITY PRICE PER TOTAL(RM)

EQUIPMENT UNIT (RM)
1. Food processor 1 150.00 150.00

2. Mixer 1 150.00 150.00

3. Freezer 1 250.00 250.00

4. Electronic Weighing 1 30.00 30.00

5. Kitchen Appliances 1 Set 30.00 30.00
6. Stove 1 70.00 70.00

7. Operating Working 1 30.00 30.00

Table
8. Cashier Counter Table 1 100.00 100.00

9. Cash Register Machine 1 150.00 150.00

10. Rack 1 50.00 50.00

11. Gas Cylinder 2 40.00 80.00

Total 1,090.00

83
7.9.3 General expenses

NO. ITEMS QUANTITY PRICE TOTAL

( RM ) ( RM )
1. Dustbin 1 8.00 8.00
2. Kitchen Tissue 6 ( 1 Set ) 9.00 9.00
3. Set of Broom 1 10.00 10.00
4. Apron 2 5.00 10.00
5. Set of Mop 1 20.00 20.00
6. Kitchen Cloth 5 2.00 10.00

7. Fire Extinguisher 1 Set 75.00 75.00

8. First aid Kit 1 Set 40.00 40.00
9. Liquid Detergent 1 5.00 5.00
10. Dish washing Liquid 3 6.50 19.50

TOTAL 238.50

7.10 manpower planning

Total number of chicken chips = 648 units per day

Standard time = 2 minutes
Productive time = 480 minutes
Number of Workers Required
= Total number of chicken chips per day × Worker standard production time per unit
Worker productive time per day
= 648 units per day × 2 minutes per unit
480 units per day
= 2.7 worker
≈ 2 worker

84
7.11 Operation cost

Total Operation Cost = Direct Material Cost + Direct Labour Cost + Others
= 7,884.28 + 2,200.00 + 238.50
= RM 10,322.78

Cost per Unit = Total Operation Cost

Total Number of Output per Month

= RM 10,322.78
2703 unit

=
RM 3.82

7.12 Business operation hours

7.12.1 Business hours

Day Hours
Tuesday – Sunday 10.00 am – 12.00 pm
2.00 pm – 6.30 pm
Rest Hour 12.00 pm – 2.00 pm
Monday and Public Holiday Close

7.12.2 Operation hours

Day Hours
Tuesday – Sunday 9.00 am – 12.00 pm
2.00 pm – 7.30 pm
Rest Hour 12.00 pm – 2.00 pm
Monday and Public Holiday Close

85
 7.13 Operation budget

ITEMS FIXED ASSET MONTHLY OTHER

(RM) EXPENSES EXPENSES
(RM) (RM)
FIXED ASSET:
Machine and Equipment 1,090.00

Raw Materials 7,884.28

General Expenses 230.37
Other
HALAL certificate 100.00
Typhoid Injection (RM40.00 40.00
per person)
TOTAL 1,090.00 8,114.65 140.00

86
8. CONCLUSION

We hope that the vision of our company which is ChickChips to become the leading
snack products seller can be achieved within 5 years. As a company that produced
snack, we do hope that we will be able to satisfy the customer’s desire.

We also believe that ChickChips will meet the demand among snacks lover and become
one of the competitive advantage company compared to other competitors. At the same
time, we will also be trying to improve the quality of our products by following our
customer’s demand and implement available technology from time to time. Besides,
we also hope that we can create and produce more quality various flavor for our product.

We hope that ChickChips will be established in the whole Malaysia’s part and
internationally as well in the future. In addition, we also hope that our product which is
ChickenChips would fulfil the customer’s need and at the same time we would be able
to promote it outside from Malaysia.

87
APPENDICES

88