Martha Tilaar : Innovative Product

Development of Botu - Like

 MARTHA TILAAR
CASE
MGMT_8090_ Operations Fundamental
Instructor: Dr. Ahmad Syamil
MM Young Professionals
Binus Business School

1. Made Mas Sujana Wirakusuma (2001918801)

2. Siska P Audi (2001847345)
3. Mutia Az-zahra (2001925611)
4. Aditya Pratama (2001848700)
5. Nona Arnimas Rizkyta (2001914601)
Questions 1
Made Mas Sujana Wirakusuma (2001918801)
 Recognizing the needs of consumers for the
use of natural ingredients and high quality in
their cosmetics, PT Martha Tilaar, which is
Summary one of the market leaders in cosmetics and
skin care nationwide, is developing new
products that can address women's needs and
problems with skin. As a local cosmetics
company, Martha Tilaar understands the right
needs for Indonesian women's skin and
develops cosmetics that are suitable for Asian
women's skin, especially Indonesia.
Martha Tilaar

• Formulation development
• Package Selection
• Stability Testing
• Safety Testing
• Consumer Testing & Claims
Sariayu

• Formulation development
• Package Selection
• Stability Testing
• Safety Testing
• Claim Testing
 BLOCKCHAIN

SISKA P AUDI (2001847345)

Question No.2
 Describe the main differences among
Industry 1.0, 2, 0, 3.0, and 4.0. Include a
picture from the Internet. Give 5 ideas
from Industry 4.0 that you can apply in
Martha Tilaar. Choose a company from
your team. Explain how you apply the 5
ideas in your company.
 BLOCKCHAIN

What’s is
Industry 4.0?
https://www.youtube.com/watch?v=zlgDkbhDIwo&t=31s

https://youtu.be/yKPrJJSv94M

Source: Bernard Marr (Enterprise Tech), Forbes.com

What’s is Industry 4.0 about?
Here's A Super Easy Explanation For Anyone

Big Data
Cyber Physical Systems
Artificial Intelligence
Interconnected Supply Chains
Internet of Things
Simulation
Autonomous Systems
Cloud Computing
Additive Manufacturing
Augmented Reality
Cyber Security

Source: Bernard Marr (Enterprise Tech), Forbes.com

 BLOCKCHAIN
Industry 1.0
During the year of 1800s, water-and steam-controlled machine equipment’s
were created to help factory workers. As production capacities are expanded,
the business or the company such as the individual cabin providers who are
dealing with their own or perhaps their neighbour’s may needs to associate
with their suppliers, administrators and workers serving clients.
Mechanization, steam power, weaving loom
Industry 2.0
In the early of 20th century, the electricity has been turned to become the primary
source of power. It was simpler to use than water and steam and empowered
organizations to think power sources to individual machines. This period
additionally observed the advancement of various administration programs that
made it conceivable to expand the productivity and viability of assembling offices.
Large scale manufacturing of products utilizing sequential construction systems
wound up ordinary.
Mass production, assembly line, electrical energy
BLOCKCHAIN

Industry 3.0
By the late of the 20th century, the development and assembling
of electronic gadgets, for example, the transistor and, later,
coordinated circuit chips, caused it conceivable to additional to
completely robotize individual machines to enhance or supplant
administrators. This period likewise generated the improvement
of programming frameworks to benefit from the electronic
equipment.

Computer and automation

Industry 4.0
In the 21st century, Industry 4.0 associates the Internet of Things
(IOT) with assembling strategies to empower frameworks to share
data, break down it and use it to control canny activities. It
additionally joins bleeding edge innovations including added
substance fabricating, apply autonomy, man-made reasoning and
other psychological advances, propelled materials, and expanded
reality,. The improvement of new innovation has been an essential
driver of the development to Industry 4.0. 

Cyber Physical Systems

 BLOCKCHAIN

Ideas from Industry 4.0 that

Martha Tilaar can implement • Operations team of Martha Tilaar can now design 3d
printing models for their products within a few hours
using the latest Industry 4.0 technology

• Operations team of Martha Tilaar also can use the

new virtual simulation system tools for drop,
transport, and endurance tests of their products

• Industry 4.0 had helped to create a mobile app to

control the packing line of Martha Tilaar products

• With Industry 4.0, it will be easier for Martha Tilaar

to automating and optimising the flow in its
distribution centers

• Industry 4.0 also helped Martha Tilaar to simplify the

order preparation for its products
Ideas from Industry 4.0
that ERHA Dermatology • Operations team of Erha can now easily design 3d printing
models for their products within a few hours using the
latest Industry 4.0 software and technology

can implement • Operations team of Erha also can now easily use the new
virtual simulation system tools from the Industry 4.0
our chosen beauty product company technology for drop, transport, and endurance tests of their
products

• Industry 4.0 had helped Erha easier to create a mobile app

based on Artificial Intelligence (AI) and DNA to determine
personal products

• With Industry 4.0, it will be easier for Erha to automating

and optimising the flow in its distribution centers by using
sophisticated software from Industry 4.0

• Industry 4.0 also helped Erha to simplify the order

preparation for its products by using sophisticated software
and technology from Industry 4.0.
 BLOCKCHAIN

Erha DNA
Mobile App

A smart skin solution that encompasses a Smart

Assistant (a mobile app that use artificial intelligence
to process data (A test kit that gets a physical
measurement of your), Smart Innovation skin) and
Smart Treatment (skincare products that fits your skin).
With a few steps to test your skin, ERHA.DNA will put
together a skin care line that is safe, effective and
beautifully suited to your skin’s needs.

Perawatan Kulit Berbasis AI

 BLOCKCHAIN

How ERHA.DNA Looks?

Mutia Az-zahra 2001925611

Question No. 3
Refer to the enclosed “L’Oréal’s Indirect
Procurement” article. What are the
differences between co-sourcing and
outsourcing? Show 5 points from the article
and how you apply the 5 points in the case
study. Pick a company from your team.
Explain how you apply the 5 points in your
company.
 differences between co-sourcing and
outsourcing
01 | In Co-sourcing, there is a dedicated team under your direct control and direction as well whereas, in
outsourcing, there is no direct team commitment to anyone. Only the vendor manages and controls the whole team
members.

02 | There is no control of resources and it's quality & predictability of project in Outsourcing as compared to co-
sourcing where there is a control over quality to ensure the resource leads to improve the predictability of work.

03 | Resources could be potentially be shared with competitors in Outsourcing. But there is the power of preserving
your business confidentially in co-sourcing.

04 | It's easy to convey and follow the standards, methodologies, and procedures in co-sourcing rather than
outsourcing where it is difficult.

05 | Team members gain a sense of ownership in co-sourcing as compared to outsourcing where there is no
ownership & nominal accountability too.
 5 Points on L’oreal
1 L’oreal still manufacturing their own product 3 L’oreal using co-sourcing method for labor
needs

2 L’oreal did Procurement of direct materials 4 The additional focus and resources are
(ingredients, packaging) enabling L'Oréal to harmonise both
specifications and policies across indirect
categories, which is leading to benefits beyond
simply lower prices.

5
The project and ongoing savings are validated
at the Board level and were mentioned in the
CEO’s last results presentation to financial
analysts – a first for indirect procurement.
Confidential Customized for Lorem Ipsum LLC Version 1.0

• Erha must outsource because Erha

still does it themself so Erha does
not focus on the business.
• Do co-outsource to the staff.
• Apply a system of "procurement" on
the procurement of goods and
5 points that can cosmetics raw materials.
• Reduce costs on costs that are not
be implemented too important in order to maintain
on Erha Clinics cash flow.
• Do the gain-share methodology also
supports a long-term, sustainable
supplier performance.
Question No.4
Aditya Pratama
2001848700
5 Ideas From the Article

1. Reach all market segment by selling products

in the major segment (p & g)
2. Selling products at retail stores to be easily
found by buyers (p & g)
3. Selling products online to make it easier for
buyers to get the product(mac & loreal)
4. Outsourcing to reduce costs (loreal)
5. To build an exclusive brand image can be
done by selling products only in certain places
(Quo)
How to Implement the Ideas to
Martha Tilaar & Erha
Martha Tilaar
1. Innovating by providing new experiences
for consumers, both product and service
innovations
2. Implementing an improvement to online
system to make it easier for consumers to
access and buy goods
3. Add new product lines so that the market
dominates and don’t have to worry with
new comer
Erha
1. Add stores and collaborate with retail stores
so that products are easy to get
2. Add new types of products that can be use
by all kind of consumers
3. Penetrating prices to the competitors
SISKA P AUDI
(2001847345)
Indonesian Market Skin Care Industry

Data from the Ministry of Industry noted that the national cosmetics industry experienced a growth of 20% or four
times the national economic growth in 2017. According to Airlangga, the cosmetics industry has been placed as a
mainstay sector as stated in the National Industrial Development Master Plan (RIPIN) in 2015-2035.
 WHY NOT HEALTHY FOOD????
• Not related with main business
• Hight cost
 (5A) Suppose Martha Tilaar Group would like to develop a
new line of cosmetic or health products and sold them
exclusively online. What kind of product do you
recommend? Men’s products? Healthy food? Why?

The men’s personal care industry is predicted to hit

South Korea is still the leading country in this industry (men’s care). The average man
in South Korea spends $40 every month on treatment.
$166 billion by 2022, according to Allied Market
Research. Just last year, men’s skin-care products
alone saw a more than 7% jump in sales and with
the category currently valued at $122 million,
according to market researcher NPD Group.
 Suppose Martha Erha
Dermatology would like to
develop a new line of cosmetic or
health products and sold them
exclusively online.
What kind of product do you
recommend?

Nona Arnimas Rizkyta -

2001914601
 Nona Arnimas Rizkyta -
2001914601
•By diversifying business into cosmetic products.
Erha will not change her identity as Clinical
Dermatology as a product and consultant.
Erha's existing skin care will not damage the market,
because cosmetics and skincare have a different
segmentation.
•On the other hand, Erha only covers big cities in
Indonesia for now. And market segmentation can
also be categorized as upper class consumers.
•Erha's new cosmetic product can compete with
other well-known domestic products, especially
Martha Tilaar. Because Marta Tilaar is famous for its
natural ingredients, while Erha's composition is
medical.
With the support of a book from F. Robert Jacobs & Richard
B. Chase, 2018 - Operations and Supply Management. Say
"An important issue when developing a new service or
changing an existing one is the query of how different the
new service is compared to the current services offered by
the firm. Here are three general factors to consider when
determining this:

1. Similarity to current services.

2. Similarity to current processes.
3. Financial justification
Nona Arnimas
Rizkyta -
2001914601
Erha Cosmetics diversification must be with a strategy of
”What competitors do not yet have"

For example Martha Tilaar has a colorful Asian identity,

which means Martha Tilaar does not have autumn colors.
So the Erha cosmetic product diversification should be in
the choice that has not been owned.
Though colors like blush, macaron, nude, burgundy, petal,
and cream, as well as other colors of autumn are these
colors that are in demand today with a range of ages 18
to 40 years
 To find out the amount of consumer interest
There should be differences
in Online and Offline
products.
To cover a wider and specific range

Introduction of new products

or launches should only be In the consumer experience, providing reviews directly
done online. through the review and comment columns so that they
can directly impact new customers who see the review
Some of this is a good provided

explanation of product
launches online
Cost efficiency of product dropping
(b) Explain Peter Thiel and PayPal Mafia. How much is his net
worth? What is PayPal? What was the name of the company that
bought PayPal? Describe how you apply Peter Thiel’s 7
questions for Martha Martha Tilaar’s new online business:

Peter Andreas Thiel

Is an American entrepreneur and venture capitalist. He is a co-founder of
PayPal, Palantir Techonolgies and Founders Fund.

PayPal Mafia paypal mafia is a group of former paypal employees and

founders who fund a number of the biggest technology companies such as
Tesla, LinkedIn, SpaceEx, Youtube, Facebook, etc.

PayPal Inc. is a company in the network that provides money transfer

services by electronic mail, replacing old methods that still use paper,
such as checks and money orders.

PayPal also provides services for e-commerce site owners, auction

companies, and other types of businesses to facilitate payments on their
transactions.
How should Martha Tilaar allocate the investment?

Martha Tilaar should allocate the investment from Peter Thiel to Technology department of the company.
Because Martha Tilaar wants to launch a new product line of men’s product and sold them exclusively online
which means Martha Tilaar has to use the e-commerce platform.
1.The Engineering Question -
2.The Timing Question - Is 3.The Monopoly Question -
Can you create breakthrough
this the right time to start Are you starting with a big
technologies instead of
your particular business? share of a small market?
incremental improvements?

5.The Durability Question - 6.The Distribution Question -

4.The People Question - Do
Will your market position be Do you have a way to not
you have the right people in
defensible 10 and 20 years in just create but deliver your
the right place?
the future? product?

7.The Secret Question - Have

you identified a unique
opportunity that others
don’t see?
If Martha Tilaar meets Peter Thiel
ROI =    (Total Penjualan-Investasi)
Investasi x 100%
Thank You