Johnson Pte Ltd. Case Study
According to the case study, en Azmi that been charge to make a research and turnaround strategy for Johnson Pte Ltd. En Azmi has implement 3 strategy. First is under production and services.
The industry of food and beverages are competing between Johnson, Unilever and Nestle. For Unilever and Nestle always take turn to win. This giving an impact to Johson Pte Ltd competes in the industry itself. The strategy that been implemented by En. Azmi is by consistently research and investigated opportunities in new markets. With this research, it can help the company to explore the market of food and beverages.
Researcher also can produce new product or new flavor according to the survey that been conducted through loyal customer. Second under Management Information System, Johnson Pte Ltd has problem in manage the proper accounting system in the company. So in order to fix that, en Azmi has taken initiative by improves the current accounting system at retailing division. With this improvement of accounting system, it can help giving better inventory and efficiency cash management in the division. Third is under Human Resources Management, En Azmi has implement 2 strategy. First is by undertaking cost reduction programed.
Under this program, senior management of Johnson Pte Ltd pay or salary needs to cut down by between 5% – 30%. This can help to reduce the expenses that are too high. In order to reduce manpower costs, En Azmi also doing replacement of employees. Once Chairman receive the sweeping power, the unproductive management staff was been trimmed. This allows all the expatriates to leave. All the expatriates then been replaced with local expertise. This help to reduce the manpower cost and unnecessary compliance cost also speed up decision making within group.