3. OBJECTIVES
Increase net profit by reducing operating and
manufacturing costs.
Broaden the market for Dyson’s products.
Maintain product quality standard.
Start production in the new plant in schedule.
4. SWOT
Strengths
• Lower expenses on suppliers.
• Ease and Increase in
distribution.
• Malaysia is the third largest
economy in Southeast Asia.
• Best selling vacuum cleaner
in Australia and New Zealand.
Opportunities
• Reductions in up to 10% in
manufacturing cost.
• Low cost and essay access to
neighboring developing
markets.
• Increase the amount spent on
R&D
Weaknesses
• High employee layoff
• Low people expertise
Threats
• Ability to adapt
• Difficulty with licenses due to
government bureaucracy.
• Competition
• Copying of the design
7. FINANCIAL
• The project will be financed with 40% by own resources
and 60% loan, granted by Bank Negara Malaysia.
The rates are fixed from 1.70% to 3.35% dependent on the loan
type. The term of the loan is 5 to 15 years.
• To purchase the new plant
Using own funds
• To make the whole building
Financing, in the form of low-interest loans, for up to 80% of total
eligible project costs
• To purchase the new machinery or equipment
Loans up to £750,000; loan guarantees up to £1.5 million.
Tax-exempt bond financing, starting at £750,000.
8. FINANCIAL
• Services with relocation
The expenses will be funded by own resources
• Recruitment and Training
Training Incentive granted by Malaysian Government - Training
expenses incurred by companies prior to the commencement
of business are eligible for a single deduction.
• Contracts terminations
Agreement between company and trade union
10. RESOURCES
• Acquisition of the new site
For the new plant is necessary 13,000m2 and it will be set to
grow a further 45% in the next 6 years.
• Build the new plant
Local companies will be required during the process.
• New machinery
Bidding to acquire the equipment
• Relocation from UK to Malaysia
Air freight and ocean shipping will be used, always checking
time and cost.
11. RESOURCES
• Recruitment
The jobs remaining are in research and development
total
employees UK
employees
transferred
employees
dismissed
employees
remained
employees
contracted
1150 25 565 560 450
15. RISKS
CROSS CULTURAL RISKS
- May interfere with business
associates way of work and
communication breakdown.
- Training of corporate personnel
creating awareness of this
differences in culture.
- Finding new approaches and
combining both cultural perspectives.
LANGUAGE
- Language barrier could cause
conflict in doing business
- Contract services of excellent
translators to avoid language failures
causing business transaction failures.
POLITICAL
- Government corruption is quite
common in emerging economies
- Changes in taxation
-Involve creative and ingenious
personnel to get the company around
the legalities of the act.
- Include flexibility in the financial
plan
ECONOMICAL
-Rises in project costs
- Exchange rates
- Careful planning, risk fund
- Contingency funding
16. Technical Team
Leader
Steering
committee
-Process
Owners
-Project
Sponsors
Project
Director
Project
Manager
Project
Office
Change
Facilitators
Operations Team
Leader
Human Resource
Team Leader
Technical team
-Testing and standardizing
the product.
-Production deployment
phases.
-Technical training/coaching
-Technical procedures
-Documentation
Operations Team
-Provide right set of tools
& services for high
quality product
deliverance.
-Ensure smooth and
seamless integration and
a continued relationship
between teams
Human Resource Team
-Recruitment of new employees,
coaching and training
-Building strong relationships at all
levels of business
-Reinforce insights unique culture
-Attract, motivate and reward best
people for the organisation
