PB301 BUSINESS MANAGEMENTPROJECT

NAME MATRIC NUMBER

HALIMATUN NAZIAH BT NAZRI 18DPM12F1010

SITI NURJANNAH BT AZAN 18DPM12F1012

NURUL HIDAYAH BT IDERIS 18DPM12F1022

NORALIZA BT KAMARUDDIN 18DPM12F1024

NORFAZLIAYANA BT ROSNAN 18DPM12F1036

NURUL AZWA AZRINA BT MOHD NAZARI 18DPM12F1038

LOGO OF OLDTOWN

WHITE COFFEE

INTRODUCTION

• The OldTown White Coffee, OTWC is the largest kopitiam restaurant chain in malaysia.Its main headquaters is in ipoh ,perak ,malaysia.

• Established in 1999 : manufactures instant beverage mixes and products, in addition to operating over 180 café outlets throughout Malaysia and the region.

• with the intention to provide quality white coffee to Malaysian households and the food services industry, the co-founders and Executive Directors, Mr Goh Ching Mun and Mr Tan Say Yap formulated their own blend of 3-in-1 instant white coffee and commenced manufacturing in 1999

• In 2000, we commenced our first export of the ‘OLDTOWN’ brand of 3-in-1 instant coffee mix to Singapore and have also expanded our export markets to Hong Kong for our instant coffee mix.

• In year 2002, White Cafe obtained a HALAL certification from the Islamic Religious Department of Perak for the Group’s beverages with intention to produce our beverages in accordance with the Islamic law.

• In 2003, we also successfully commercialised our own formulated blend of 3-in-1 instant milk tea for the retail market under the ‘OLDTOWN’ brand name

• In 2004, we further penetrated the export markets for our 3-in-1 instant coffee to cover the United States, Canada and United Kingdom and subsequently in 2005, Taiwan and Indonesia.

• In 2005, we expanded vertically into the food services sector by opening a chain of cafe outlets based on the traditional Ipoh coffee shop setting and ambience under the ‘OLDTOWN WHITE COFFEE’ brand name.

• In 2005 and 2006, we established our subsidiaries namely Old Town Kopitiam, Old Town Kopitiam Butterworth, Old Town Kopitiam Kuala Lumpur, Old Town Kopitiam Cheras, Conneczone to focus on operating cafe outlets in different areas and states within Malaysia.

• In 2009, Gongga Food obtained a HACCP certification from BM TRADA Certification Ltd for the production of roasted coffee powder.

MANAGEMENTOldtown Group will provide

support and training to new outlet before start operation.

If new item or food launch, franchisor will also offer a course for staff training.

to secure new premises for outlet expansion are usually required to prepay their rents 3-12 month in

advance

Oldtown White Coffee Company expanded

vertically into the food service industry by

opening a chain of cafes

Number of outlets is 207.

focus on OUR PEOPLE, COMMUNITY,

OUR PEOPLE, MOTHER EARTH and

INVESTORS.

OUR PEOPLE:We Believe That Our People Are Our Assets

COMMUNITY:We Nurture The Community

OUR CONSUMERS:We Delight Our Consumers With Our Products

MOTHER EARTH:We Do Our Part in Saving Mother Earth

. INVESTORS:We Focus on Prospering Our Investors

OPERATIONAL• International Licensing 1.We are aggressively seeking international

partners who are keen to take up the Master License for their respective country to expand our licensing business .

2.The countries which we have earmarked for expansion are China, Hong Kong, Taiwan, Thailand, Australia, Vietnam, Philippines, India, New Zealand, Saudi Arabia and

Sumatra.

• Criteria for International Licensee 1. Potential Licensee must be from a current

chain Food and Beverage operator with more than ten (10) shops in current operations.

2. Potential Licensee must be committed to being the owner, and operator of the licensed outlets, and not just an investor.

• Halal Certificates 1. We have received word of false allegations

circulating online that claim Oldtown White Coffee’s food and beverage is non halal

2. All Oldtown White Coffee Central Kitchens, beverage manufacturing facilities and distribution centers have been certified halal by JAKIM.

MARKETING• the strategies marketing of Franchisor 1. Continue to place emphasis on branding by

strengthening and promoting the “OLDTOWN” brand name which is key in building brand equity and customer loyalty;

2. Continue to provide high standards of quality of food and beverages at our “OLDTOWN WHITE COFEE” café outlets as well as our in-house manufactured coffee and tea beverages; and

3. Continue to expand on our network of “OLTOWN WHITE COFEE” café outlets through our franchise program locally as well as overseas.

HUMAN RESOURCE

Responsibilities• Responsible for the full spectrum of Human

Resources initiatives, including developing HR policies and procedure, Recruitment, Payroll Management, Compensation & Benefits, Employee Relations, Industrial Relations, Manpower Planning, Foreign Workers,

• To formulate, develop, implement, review, evaluate and recommend HR strategic plan in line with the company’s directions and objectives

• To identify legal requirements and government reporting regulations affecting human resources functions and ensures policies, procedures, and reporting are in compliance

• Work closely and coordinate with other departments in order to meet the goal and objective of organization

• Oversee the overall management of employee related issues such as grievance handling, employees discipline and termination

• Responds to inquiries regarding policies, procedures, and programs

FINANCIAL• Oldtown company current financial status is

stable.• Oldtown's financial year ending Dec 31, 2012

(FY12) and FY13 net profit of RM43.9mil and RM51.7mil respectively.

• This will see earnings growing at 9.3% and 17.7% respectively. We believe our estimate is achievable at this point in time, as key drivers are going strong.

• The main drivers are the strong double-digit growth rate in the fast-moving consumer goods (FMCG) segment coupled with a moderate growth in the company's caf chains

• It will also be boosted by penetration into new markets such as South Korea and Vietnam.

total cost to open

• The minimum financial requirements and application procedures are as follow: -

1. Minimum net worth of assets of RM1 million.

2. Minimum liquidity of RM600, 000 (in cash or cash equivalents)

3.Accept individual applications from qualified prospective Franchisees.

4.Individual applications must be submitted for each person who will have an ownership interest in the franchise.

5.Individual applications are also required of corporate applications for each owner with an interest of 10% or more. Additional supporting for creditworthiness, annual reports, etc. is required.

6.Franchisees may be invited to attend a Franchise Seminar for a more detailed understanding of the OldTown White Coffee Business Model.