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Objectives
Since Auto Parts Berhad has bought over by a conglomerate the main mission for the
new owner is to get Auto Parts Berhad to increase sales revenue and there will be a
huge challenge for Auto Parts Berhad as well because they will have internal
competition between their sister companies under the conglomerate. Failure to show
good sales revenue will result a bad image under the conglomerate and there is high
possibility for management change as well. As an Organizational Development (OD)
consultant we have listed 3 main objectives to meet the Auto Parts Berhad CEO , Dato
Rahayu where we tried to get her to buy our ideas which will help Auto Parts Berhad to
adopt to the new mission by the parent company.
A first objective is related to each employee (including senior management) which is self
objective. Under conglomerate most employees will be demoralized with allot of
negative understanding and thoughts such as headcount cutting, change in business
strategy i.e. like what happened to Malaysia Airlines System. So, our approach as OD is
to share our ideas with Dato Rahayu on how we can take an advantage on the
conglomerate where more training can be given to the staff to learn new things for multiskill purpose. Only by training the staff , Auto Parts Berhad will have resourceful staff
from all departments , marketing , operation , technology to boost the sales revenue.
Most people in an organization are capable to increase the work effectiveness and able
to meet the companys mission when right training is provided. This has to be drawn
from the senior management level all the way to the employee on the ground. Only by
this each employee will have a self awareness on why the company has conducted
such training for them and the direction will be clear.
The second objective is to propose a new organization structure where there will be
more rich culture will be practiced and Auto Parts Berhad will have more talent who will
have chance to come out to perform better and indirectly increase the sales revenue for
the company. In some organization we can see there is a very complex organizational
structure where some of good resourceful staff will be reporting to different functional
manager and this introduce non productive environment where the employee on the
ground will have no direction and even though they do has some good ideas to boost

the companys performance , the chances for them to come out is deem due to complex
organizational structure. As a OD consultant we will be proposing to Dato Rahayu how
they can have a effective organizational structure, where they can eliminate
performance show stopping point. It is stated that Auto Parts Berhad do not has fully
automated system and some of the staffs are overworked. This means the operation
team do not sync up with the technology team who are responsible to upgrade the
systems to fully automate. We can eliminate this easily by getting both manager of
operation and technology reporting to a single head in order to expedite the process to
automate the system in Auto Parts Berhad where operating cost can be reduced and
sales revenue can be generated higher.
The third objective is to get Dato Rahayu to buy in our idea on work force management
and introduce better compensation model. Existingly, we can see huge lack of
effectiveness in managing existing work force. Some of the staff are over worked and
we do not know whether they will be still interested to stay in Auto Parts Berhad since
there is competitor existence in Thailand. The new competitor has a huge potential to
pinch Auto Parts Berhad staff and divert all the sales even from client from German if
they able to pinch some of the most resourceful staff from Auto Parts Berhad. Better
work force management such as introducing senior experienced staff in all the shifts
can ensure the staff in different shifts can be trained as well. Currently some of the staff
are over worked because they are needed to work extra hours since the workforce in
that particular shift are not trained. Also , the senior and experienced should be
promoted and given a better compensation such as fix allowance upon attending and
pass certification will increase the employee enthusiasm to stay in Auto Parts Berhad.

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