This document is a report on the company Farm Fresh analyzing its performance and providing recommendations. It discusses Farm Fresh's financial performance in 2020, noting that despite Covid-19, total assets increased over 40% from 2019. It justified this performance as being due to increased sales during lockdowns when demand rose. Recommendations to improve performance using the POLC framework include developing clear strategic plans, organizing resources effectively, motivating employees through leadership, and controlling finances and monitoring performance standards.

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Individual Assignment 2 - REPORT ON COMPANY POLC
Introduction of Management (Universiti Teknologi MARA)
StuDocu is not sponsored or endorsed by any college or university
Individual Assignment 2 - REPORT ON COMPANY POLC
Introduction of Management (Universiti Teknologi MARA)
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2. 1
INTRODUCTION TO MANAGEMENT
(MGT 400)
INDIVIDUAL ASSIGNMENT 2
(REPORT ON COMPANY POLC)
PREPARED FOR :
EN. MOHD KHALID BIN MOHD ABAS
PREPARED BY :
HANI NADHIRAH BINTI HASRI
(2019268718)
AS222 4M2
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3. 2
TABLE OF CONTENT
No. Title Page
1.0 Introduction 3-4
2.0 Company Performance Analysis 5-6
3.0 Justifications On Company Performance 7
4.0 Recommandation To Improve Company
Performance By Using POLC
4.1 Planning
4.2 Organizing
4.3 Leading
4.4 Controlling
8-10
5.0 Conclusions 11
6.0 References 12
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4. 3
1.0 INTRODUCTION
Farm Fresh is one of the fresh milk brands that has been taking place in the
Malaysian heart since a few years ago. This lovely fresh milk now is one of the well-
known brands in Malaysia, like Dutch Lady, Nestle and the other international brands. It
is also the first milk company that is made in Malaysia. Farm Fresh Milk SDN. BHD. is
one of the brands under The Holstein Milk Company SDN. BHD. which is an agriculture
company that is involved in producing milk for consumers which is based in Malaysia.
They have been proposing having fresh milk from farm to shelf within 48 hours.
Figure 1.0 : Farm Fresh Logo
In 2007, Farm Fresh began in the main farmer's market in the company. The
company has its headquarters in Kota Tinggi, Johor, and it also has other branches and
facilities elsewhere, located in Larkin, Johor, and Muadzam Shah, Pahang. The Farm
Fresh Milk Company was founded by Loi Tuan Ee. When he first started to be involved
in agriculture, he was urged to open the first milk processing facility in Johor despite
having no prior knowledge of this industry.
This milk at first was not even well-known, and there were only 60 cows since
the customers who had complained about the price of goat's milk and the fact that they
only produce it in small quantities began to buy goat's milk. As of 2009, the 60 cows
they had previously had had risen to 7,000 cows. The growth of the corporation was
quickened with the addition of Khazanah Nasional as an investor. To keep up with the
increasing global competition, corporations began to place their products on television,
since they needed to contend with Dutch Lady, HL, and other major worldwide brands.
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5. 4
Figure 1.1 : Farm Fresh products
Farm Fresh Milk SDN BHD focused on agriculture, forestry and fishing. In their
line of business, they breed and raise dairy goats and cows. They are involved in all
aspects of the dairy industry, from breeding and raising animals to marketing and selling
milk. As shown in Figure 1.1, there is a variety of milk. Other than that, they also
produce goat’s milk products, yogurt and yogurt drinks as well. From this variety of
milk, the Date and Chocolate milk are their bestsellers. Customers purchased a large
quantity of those two milks.
Their most recent mission is to be number one in the world for all natural dairy
products with the highest quality for their customers.Cattle raised in healthy
environments are both happier and healthier. And in keeping with the tenets of their
mission, this means that they aspire to offer a better work environment for both the
animals and competent personnel (employees). Lastly, they guaranteed that there would
be strong linkages established between the usage of high-tech facilities as well as doing
business with decency, integrity, and friendliness for the founding of long-term firms
with stable financial standing and primary revenue.
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6. 5
2.0 COMPANY PERFORMANCE ANALYSIS
Despite the Covid-19 epidemic, Farm Fresh delivered a strong financial
performance in Financial Year End 2020. The income statements for the most recent
year's financial performance are shown in Figure 2.0.
Figure 2.0 : Farm Fresh Financial Statement
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7. 6
Since the end of 2019, Covid-19 has been widely spread in Malaysia. Then,
beginning in March 2020, total lockdown will be implemented. Farm Fresh is permitted
to operate during the MCO because it is in the beverage production industry. As a result,
we can see that Farm Fresh is not hesitating to take advantage of the current opportunity
to offer sales incentives.
According to Figure 2.0, Farm Fresh's total assets increased by over 40% in 2019
from RM145,903,166.00 to RM204,377,431.00. At the same time, Farm Fresh's total
liabilities climbed by nearly 37% in 2020 compared to 2019. Apart from that, Farm Fresh
has improved in 2020 despite the Covid-19 epidemic. This is demonstrated by the fact
that their total assets of RM204,377,431.00 exceed their total liabilities of
RM99,384,534.00. If the realizable worth of a firm's assets exceeds the value of its
liabilities, the company is termed solvent.
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8. 7
3.0 JUSTIFICATIONS ON COMPANY PERFORMANCE
The Financial Year 2020 was a difficult year for Farm Fresh. Despite the Covid-
19 epidemic, they improved their performance in 2019. Even though the Covid-19
pandemic remained a major impediment, they were able to expand their distribution
network. Apart from that, they manufacture products for one of the leading hypermarket
chains, Tesco. Tesco chocolate milk is the company's best-selling product.
As illustrated in Figure 2.0, the reason Farm Fresh's performance improved in
Financial Year 2020 compared to Financial Year 2019 is due to the Movement Control
Order (MCO).Citizens were not allowed to go out freely when the MCO was
implemented, and were instead instructed to stay at home. As a result, they will want a
considerable quantity of food and drink. During this time, Farm Fresh began to actively
market their products by airing advertisements on television and social media. Farm
Fresh made more money because of its quick and aggressive marketing. Farm Fresh has
also expanded their dropshipping capabilities, allowing their items to be found
throughout Malaysia, not just in storefronts.
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9. 8
4.0 RECOMMENDATION TO IMPROVE COMPANY PERFORMANCE BY USING
POLC
4.1 Planning
The first step in business management is planning, and a lack of planning is a
critical business issue. When we consider all of these factors, it is evident that the
business should start their plan with a sound strategy, a clear sense of where the business
is heading, and the measures Farm Fresh must follow in order to ensure the plan is
successful. The goal of long-term planning is to better understand the issues that Farm
Fresh is currently facing and predict how their future business conditions will unfold, so
that they can act quickly when something unexpected happens, such as the loss of key
personnel.
When it comes to creating a great result, Farm Fresh should always ensure the
development plans they use adhere to the requirements of the S.M.A.R.T goals which are
specified, measurable, achievable, realistic, and timeline. A hypothetical example: in the
next five years, Farm Fresh will be the number one milk retailer in the business. While
developing the plan, use these suggestions to increase the likelihood of a successful
implementation. These are things to do to make sure that the plan is effectively
implemented, such as scheduling periods each day to regularly check the plan's
performance and making adjustments if needed. Farm Fresh can incorporate preventive
action and a contingency plan as part of the real plan because a disaster could happen at
any time. This will assist Farm Fresh deal with the issue promptly.
4.2 Organizing
Once the business plan has been put out, the next stage is to identify and assign
the appropriate resources to the department in order to ensure the successful distribution
of the resources. Resources can be anything depending on what the task requires, such as
raw materials, labour, and time, so it is imperative for department heads to have a wide-
ranging vision of everything that the organization needs in order to be effective. As well
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10. 9
as appointing tasks to employees and ensuring accountability has been transferred for all
required actions, managers must make sure the employees on their team are organized.
Organizing will require them to make sure their technology is being employed
responsibly. In other words, software like workflow management software should be
utilized in place of general-purpose tools, such as farm management software, since these
kinds of tools are needed to coordinate tasks within teams and to keep track of job
completion. Extra hands are also required in the event of an emergency for the
management. Having a second set of hands will help managers stay productive when
calamity strikes.
Besides, Farm Fresh could fine-tune their organizational structure to better meet
the framework of the Farm Fresh business by coordinating all available human resources
in order to meet Farm Fresh’s aims.
4.3 Leading
Leadership is required to motivate employees to come together in a group to help
their firm achieve a shared goal. To lead an organization, it is important to be the
manager who directs, influences, and motivates personnel to ensure they can carry out
the task at hand. To be great leaders, Farm Fresh managers must be able to discern the
nuances of each person and group behavior that might motivate its staff to be better
communicators to others, whether the consumer or the brand owner.
During some situations, such as when there is an outbreak of Covid-19 like we
are experiencing, countries and districts may be under Movement Control Order (MCO)
or lockdown. Many employees in the lockdown region are unable to travel to their
workplace, and this is because they can not use public transportation. The only choice is
to work from home. In this instance, Farm Fresh should make good use of technology
such as emails, direct messaging, and social media because they are the finest platforms
to keep updating and communicating with their staff regarding the new strategy that has
been made. The company's goal is to guarantee their employees no misunderstanding
issues, and to that end, they do not want their workflow to be disrupted.
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11. 10
Other than that, Farm Fresh is an on-field work process where they have to
process milk in order to manufacture their products, but they have to follow government
guidelines to avoid the spread of Covid-19 in the workplace. Effective leaders must not
just think of solutions to protect their employees, but also of ways to make their
employees' workflows as smooth as possible.
4.4 Controlling
The controlling function is vital for Farm Fresh leaders to monitor corporate
performance, and to ensure that it meets the performance criteria that have been
established by the company. As an example, the Farm Fresh performance standard is that
their researchers must come up with five different ways to improve the quality of milk
and five new flavour variations each week. If researchers were only able to choose and
include three quality and different flavor milks each week, they may have established a
minimum quality bar that they could not beyond. From that point, managers should alter
the standard that has been set too high in order to achieve balance in the standard that
measures employee performance and the standard that measures employee ability.
Controlling also means keeping Farm Fresh leaders in charge of their company
finances by efficiently and effectively utilizing every resource at their disposal.
Additionally, since we can eliminate wasted time, energy, and raw resources, there will
be no unnecessary waste of time, energy, or materials while pursuing the objectives of
the organization.
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12. 11
5.0 CONCLUSIONS
As a result, Farm Fresh has operated continuously since 2007. They have
effectively marketed their products throughout Malaysia and can be found alongside
foreign milk brands such as Dutch Lady and Nestle in practically every supermarket in
the country. Apart from that, they must enhance milk production during the MCO, as
their milk is frequently out of stock and in high demand. As a result of this, we know that
Farm Fresh has a special place in the hearts of Malaysians and is well-known throughout
the country. Additionally, their income statement and balance sheet demonstrate that
their company's financial condition is steady and in balance in terms of assets, liabilities,
and equity. Provided with recommendations on how to improve their performance
through the use of POLC in order to increase their industry performance. As a result, it is
critical for IKEA to constantly evaluate and improve their company performance in order
to ensure their company goals are realistic.
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13. 12
6.0 REFERENCES
FARM FRESH. prezi.com. (n.d.). https://prezi.com/sc6y53viaaou/farm-
fresh/?frame=8eac48fbbd436767b9a34373c4c59c60509300c7.
Sulaiman, Z. (16 December, 2019). FARM FRESH JADI FENOMENA DALAM INDUSTRI
TENUSU NEGARA. Retrieved from Bisnes Sinar:
https://www.bisnessinar.com/farm-fresh-jadi-fenomena-dalam-industri-tenusu-
negara/
Summerkid_Summergirl. (7 March, 2017). Farm Fresh MIlk: From farm to shelf in 48
hours. Retrieved from Malaysian Flavours:
http://www.malaysianflavours.com/2017/03/farm-fresh-milk-from-farm-to-shelf-in-
48-hours.html
The Farm Fresh Story. (2019). Retrieved from Farm Fresh:
http://www.farmfresh.com.my/the-farm-fresh-story/
Tutorials Point. (2020). The P-O-L-C Framework. Retrieved from
https://www.tutorialspoint.com/management_principles/management_principles_pol
c _framework.htm
University of Minnesota Libraries Publishing. (2015). 4.4 MISSION AND VISION IN THE
P-O-L-C FRAMEWORK. Retrieved from
https://granite.pressbooks.pub/principlesmanagement/chapter/4-4-mission-and-
vision- in-the-p-o-l-c-framework-2/
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