THE SWOT ANALYSIS STUDY OF SAMUDRA SHIPYARD & ENGINEERING SDN

BHD

NIK NAJMIL HISYAM B. AB. RAHIM

56280212125

UNIVERSITY KUALA LUMPUR

JANUARY 2015
THE SWOT ANALYSIS STUDY OF SAMUDRA SHIPYARD & ENGINEERING
SDN BHD

NIK NAJMIL HISYAM B. AB. RAHIM

56280212125

Report Submitted to Fulfil the Partial Requirements

For the Bachelor of Maritime Operation
Universiti Kuala Lumpur

JANUARY 2015
 DECLARATION

I declare that this report is my original work and all references have been cited
adequately as required by the University.

Date: ……………………… Signature: …………………………………..

Full Name: ………………………………….
ID No: ……………………………………….

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 APPROVAL

We have supervised and examined this report and verify that it meets the
program and university’s requirements for the Bachelor of Maritime
Operations.

Date: ……………………… Signature: …………………………………..

Supervisor: Mdm. Fauziah Bt. Ab. Rahman
Official Stamp:

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 ACKNOWLEDGEMENT

In the name of Allah, the Most Gracious and the Most Merciful

First and foremost, I would like to thank to ALLAH SWT, whom with His
blessing gave me the strength to complete this research. I take this opportunity
to express my sincere gratitude to Mdm. Fauziah Bt. Ab. Rahman for his guide,
supervision, time and advice while working on this proposal. I also wish to
thank the Program Coordinator of Bachelor Maritime Operation Program and
lecturers because without their assistance, the research would not be
completed. I also would like to express the deepest appreciation to my family
because they were always supporting me and encouraging me with their best
wishes. Finally, I also would like to thanks to my parent, who always willing to
help and give their best support and encouragement that made me possible to
finish this study.

Thank you very much.

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 LIST OF CONTENT

DECLARATION ............................................................................................... i

APPROVAL .................................................................................................... ii

ACKNOWLEDGEMENT ................................................................................ iii

LIST OF CONTENT ....................................................................................... iv

LIST OF TABLE .......................................................................................... viii

LIST OF FIGURE .......................................................................................... ix

ABSTRACT .................................................................................................... x

Chapter 1: INTRODUCTION..........................................................................1

1.0 Introduction ........................................................................................1

1.1 Background of Study .........................................................................1

1.2 Problem Statement ............................................................................8

1.3 Research Objective ...........................................................................9

1.4 Research Questions ..........................................................................9

1.5 Scope of Study ................................................................................ 10

1.6 Significance of Studies .................................................................... 10

1.7 Limitation of Research ..................................................................... 11

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CHAPTER 2: LITERATURE REVIEW.......................................................... 13

2.0 Introduction ...................................................................................... 13

2.1 The History of SWOT analysis ......................................................... 13

2.2 Overview of The SWOT analysis ..................................................... 14

2.3 The Usage of SWOT Analysis ......................................................... 17

2.4 Decision Making Using the SWOT Analysis .................................... 19

2.5 Improvement of the SWOT analysis ................................................ 21

CHAPTER 3: METHODOLOGY ................................................................... 24

3.0 Introduction ...................................................................................... 24

3.1 Research Instruments ...................................................................... 25

3.1.1 Interview .................................................................................... 25

3.2 Data Analysis ................................................................................... 26

3.2.1 SWOT Analysis ......................................................................... 26

3.2.2 TOWS Matrix............................................................................. 27

3.3 Research Process ........................................................................... 28

3.3.1 Interview Session ...................................................................... 28

3.3.2 Analyze Data by Using Selection Methods............................... 29

3.3.3 Solving by Using Selection Methods ........................................ 29

3.3.4 Findings or result Analysis ........................................................ 29

3.3.5 Finding and outcomes .............................................................. 30

3.4 Research Planning Flow Chart ........................................................ 31

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 3.5 Research Activities Description ....................................................... 33

3.6 Project Planning............................................................................... 34

3.7 Budgeting ........................................................................................ 36

CHAPTER 4: RESULT AND DISCUSSION ................................................. 37

4.0 Introduction ...................................................................................... 37

4.1 Data Collection ................................................................................ 38

4.1.1 Part 1 ........................................................................................ 38

4.1.2 Part 2 ........................................................................................ 38

4.1.3 Part 3 ........................................................................................ 38

4.1.4 Part 4 ........................................................................................ 39

4.2 Findings ........................................................................................... 39

4.2.1 Strength..................................................................................... 39

4.2.2 Weaknesses.............................................................................. 40

4.2.3 Opportunities ............................................................................. 40

4.2.4 Threats ...................................................................................... 41

4.3 SWOT Matrix ................................................................................... 42

4.4 TOWS Matrix ................................................................................... 43

4.4.1 Strength – Opportunities Strategies (Maxi-Maxi Strategies)...... 45

4.4.2 Weaknesses – Opportunities Strategies (Mini-Maxi Strategies) 46

4.4.3 Strength – Threats Strategies (Maxi-Mini Strategies) ................ 48

4.4.4 Weaknesses – Threats Strategies (Mini-Mini Strategies) .......... 51

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CHAPTER 5: CONCLUSION AND RECOMMENDATION ........................... 54

5.0 Introduction ...................................................................................... 54

5.1 Conclusion ....................................................................................... 55

5.2 Company’s Recommendation .......................................................... 56

5.3 Research Recommendation ............................................................ 57

REFERENCES ............................................................................................. 59

APPENDIX A ................................................................................................ 63

APPENDIX B ................................................................................................ 66

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 LIST OF TABLE

Table 1.0 SWOT Analysis Strategies Table ............................................. 3

Table 1.1 Works Complete ....................................................................... 6

Table 3.1 List of Budgeting ..................................................................... 36

Table 4.1 SWOT Matrix ........................................................................... 42

Table 4.2 TOWS Matrix ........................................................................... 43

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 LIST OF FIGURE

Figure 1.0 Samudra Shipyard & Engineering SDN BHD Logo ................... 5

Figure 2.1 The Internal and External factors ............................................ 16

Figure 2.2 The TOWS Matrix .................................................................... 16

Figure 3.1 Qualitative Research ............................................................... 25

Figure 3.2 SWOT Analysis ........................................................................ 26

Figure 3.3 TOWS Matrix ........................................................................... 28

Figure 3.4 Research Flow Chart for FYP 1 ............................................... 31

Figure 3.5 Research Planning for FYP 2 .................................................. 32

Figure 3.6 FYP 1 Flow Chart .................................................................... 35

Figure 3.7 FYP 2 Flow Chart .................................................................... 35

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 ABSTRACT

This research is about to study the Strength, Weaknesses, Opportunities and

Threats (SWOT) analysis on a company. This study focuses on the Small and
Medium Enterprise (SME) company within maritime industry. For this
research, a company which located in Damar Laut, Samudra Shipyard &
Engineering SDN BHD was selected as subject of research. The main
objective of this study is to study the strength, weaknesses, opportunities and
threats of the Samudra Shipyard & Engineering SDN BHD. This study provides
an idea of how the SWOT analysis can be used as tools to create a strategic
planning for the company. In this research, SWOT matrix analysis is used to
identify the strengths and weaknesses of the Samudra Shipyard &
Engineering. The finding of the TOWS Matrix diagnoses will determine the
suitable strategic planning for the company. Several suggestions and
recommendations were made as an outcome of the research.

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 Chapter 1: INTRODUCTION

1.0 Introduction

This chapter provides the overview of the background of the research,

“The SWOT Analysis Study of Samudra Shipyard & Engineering SDN BHD”.
This chapter consist of the research problem statement, objectives of the
research, question of research, and significance of research. The limitation of
the research is also explained on this chapter.

1.1 Background of Study

A SWOT analysis is the tool or methods that were widely used in a firm,
project or business venture. The SWOT analysis is used as a basis method to
decide the strategic planning and future development of the firm, project or
business venture. The SWOT analysis helps the firm, project or business
venture to survive and then succeeded in the industry. The SWOT analysis
represent the internal factors (Strength and Weaknesses) and external factors
(Opportunity and Threats) of the firm, project or business venture.

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 In the SWOT analysis, there is four important content in deciding the
strategic planning and the firm’s future development. These four contents are
strengths, weaknesses, opportunity, and threats. Strength means that the
characteristics of the business or project that could give it an advantage
compared to others. For example, companies well-known and strong brand
name, the good reputation towards customer relationship, and cost advantage
from proprietary know-how. Weaknesses mean that the characteristics that
place the business or project at a disadvantage compared to others. The
example of weaknesses is weak brand names and poor reputation towards
customer relationship. Opportunities mean that the elements that give an
advantage to other companies in business or project. For example, a
continuous customer needs and demands on the product, the usage of the
new technology and the removal of some international trade barriers. The last
but not least is threats. Threats mean the elements in the environment that
gives disadvantages towards the company in business or project. The example
of the threats are the customer demands on the product have changed and
the increased of the international trade barriers.

There are four different kinds of strategies can be developed from based
on SWOT analysis tables. These tables are known as the SWOT matrix. Each
strategy can be used to develop short-term and long-term strategies for a
future business strategy. The strategies that use the strengths to maximize the
opportunities were developed from strength-opportunity strategies. The same
strengths can also be used to minimize any threats identified. These are
strength-threats strategies. The strategies that will minimize the weaknesses
that developed from weakness-opportunity strategies or avoid the threats that
were developed from weakness-threats strategies can also be developed from
the SWOT matrix.

All these strategies can be summarized in one simple table of SWOT

matrix. The example of SWOT matrix tables as in Table 1.

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Table 1.1 SWOT analysis strategies table
External Factors
Opportunity Threats
Strength S-O Strategies S-T Strategies
Internal Factors
Weakness W-O Strategies W-T Strategies

The history of SWOT analysis started by 2 Business School Policy Unit

professors; George Albert Smith Jr and C Roland Christiensen. In the later
1950s another HBS Policy Unit professor; Kenneth Andrews developed its
usage and application. Since then, SWOT went on to be developed by the HBS
during the 1960s until SWOT became the tool that we use today.

According to David, Fred R. (1993) and Jones, Bernie. (1990), both of

them have stated that “the SWOT method (which is sometimes called TOWS)
was originally developed for business and industry, but it is equally useful in
the work of community health and development, education, and even personal
growth”. They have also stated that “SWOT is not the only assessment
technique you can use but is one with a long track record of effectiveness.” It
means that SWOT analysis is the most useful method for determining the
strategic planning and future development of the firm, project or business
venture.

The study on SWOT analysis has been used widely in the various
company within various kind of industry. Most of the study on SWOT analysis
were mainly for a purpose of brainstorming the strategic planning and
developing the future plan of the company. The well-known companies such
as Ikea, Starbucks Corporation, and even BMW automobiles have been using
the SWOT analysis in developing their sustainable business planning. It has
been proven that SWOT analysis is a useful technique in researching the
future business planning. However, there are not many studies on SWOT
analysis have been done in the maritime industry in Malaysia. The situation

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occurs might be because the companies in Malaysia does not have knowledge
of the SWOT analysis.

The history of SWOT analysis started by 2 Business School Policy Unit

professors; George Albert Smith Jr and C Roland Christiensen. In the later
1950s another HBS Policy Unit professor; Kenneth Andrews developed its
usage and application. Since then, SWOT went on to be developed by the HBS
during the 1960s until SWOT became the tool that we use today.

SAMUDRA SHIPYARD & ENGINEERING SDN BHD

The company was founded as TULEN MARINE in 1999 to 2011. The

company begins with a small workshop, then steadily grew up by involving in
various tasks. In June 2011, the company shifted to University Kuala Lumpur,
Malaysian Institute of Marine Engineering Technology (UniKL MIMET)
slipways. The company was then upgraded to become a SDN BHD company
by the name of Samudra Shipyard & Engineering SDN BHD. The company’s
main office were based at Sitiawan; where the finance and administration
department located. The other office and yard located at UniKL MIMET,
handling various tasks and job of small ship repairs and marine engineering
service.

The company becomes more efficient as the new and larger yard was
built at Damar Laut. The company has done more critical and bigger job at the
new yard. The yard is bigger, which means more vessels can be handled there.

The Yard Manager, Mr. Adren are specialized in his line of works which
is marine engineering services and ship repair. The company also has skilled
and experienced workers to handle various tasks. Besides that, this company
has a well-equipped workshop to perform best quality of the job.

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Company’s Vision and Mission

Vision.

To be the leading Marine Construction and Maintenance Company along

Straits of Malacca with the commitment to servicing the needs of the industry,
today, tomorrow and in the future.

Missions

Samudra Shipyard Engineering Sdn. Bhd. commits and pride itself in achieving
the satisfaction of customer, employee and shareholder.

Company’s Corporate Logo

Figure 1.1 Samudra Shipyard & Engineering SDN BHD Logo

Company’s Business Focus

Samudra Shipyard & Engineering main focus in the business are the
ship repair industry. The company has done much ship repair and
maintenance work since the company shifted to the UniKL MIMET. The
business focuses of Samudra Shipyard & Engineering are listed as follow;

i. Ship Repair
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 ii. Shipbuilding
iii. Marine Engineering
iv. Onshore Structural Fabrication

Company’s Completed Works

The table below shows the work complete by the company for the year of 2013.
The bold and italic represent the vessel done in UniKL MIMET

Table 1.2 Works Complete

NO VESSEL UPPSLIP LOCATION WORK

NAME DESCRIPTION
1 Gerak Tegas 7/1/2013 UNIKL Shafting, blasting,
MIMET and painting
2 Bonia Star 16 25/1/2013 UNIKL Shafting, blasting,
MIMET and painting
3 Singa Besar 21 28/1/2013 DAMAR Shafting, blasting, and
LAUT painting
4 Dolton 7/2/2013 UNIKL Hull Miscellaneous
MIMET
5 Olympic DAMAR Hull Miscellaneous
Bengalon LAUT
6 Mcl Perwira 26/2/2013 DAMAR Hull Miscellaneous
LAUT
7 Mcl Premier 28/2/2013 DAMAR Hull Miscellaneous
LAUT
8 Haggai 1 11/3/2013 UNIKL Shafting, blasting,
MIMET and painting
9 Duta Pangkor 8/4/2013 UNIKL Shafting
3 MIMET

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10 Duta Pangkor 11/4/2013 UNIKL Shafting
6 MIMET
11 Asl Shine 17/4/2013 UNIKL Hull Miscellaneous
MIMET
12 Duta Pangkor 6/5/2013 UNIKL Shafting
1 MIMET
13 Pan Silver 6 16/5/2013 UNIKL Shafting, blasting,
MIMET and painting
14 Lch 5501 24/5/2013 DAMAR Hull Miscellaneous
LAUT
15 Brantas 1301 11/6/2013 UNIKL Shafting, blasting,
MIMET and painting
16 Lch 5501 18/6/2013 DAMAR Blasting and painting
LAUT
17 Wantas 5 17/6/2013 DAMAR Blasting and painting
LAUT
18 Tidalmarine 24/6/2013 DAMAR Blasting and painting
Putra LAUT
19 Duta Pangkor 28/6/2013 UNIKL Blasting and
3 MIMET painting
20 Duta Pangkor 3/7/2013 UNIKL Blasting and
6 MIMET painting
21 Mc Pergasus 5/7/2013 DAMAR Hull Miscellaneous
LAUT
22 Duta Pangkor 15/7/2013 UNIKL Shafting, blasting,
8 MIMET and painting
23 Duta Pangkor 21/8/2013 UNIKL Emergency propeller
8 MIMET
24 Duta Pangkor 2/9/2013 UNIKL Shafting, blasting,
2 MIMET and painting
25 Tidalmarine 12/9/2013 DAMAR Hull Miscellaneous
Purnama LAUT

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 26 Tuton 20/9/2013 UNIKL Propeller repair,
MIMET blasting, and
painting
27 Bahari 2502 DAMAR RMP Door
LAUT
28 Bina Marine 60 DAMAR Afloat Repair
LAUT
29 Fm Namthong 1/10/2013 DAMAR Hull Miscellaneous
Charisma LAUT
30 Namthong 27 5/10/2013 DAMAR Hull Miscellaneous
LAUT
31 Samace 32 18/10/201 DAMAR ETA 16/10/2013
3 LAUT
32 Brantas 28 23/10/201 UNIKL Shafting
3 MIMET
33 Asi Afride DAMAR ETA 28/10/2013
23177 LAUT
34 Wantas 3 DAMAR ETA 01/11/2013
LAUT
35 Brantas 801 UNIKL ETA 01/11/2013
MIMET
36 Wan 105 UNIKL Shafting
MIMET

1.2 Problem Statement

A SWOT analysis is the basic analysis that were used to determine the
strategic planning and firm’s future development. Since SWOT analysis is the
most fundamental analysis compared to other analysis, it is mostly considered
not important in developing the business strategy. It is usually happening to
the newly build company, where the new company was unable to compete with

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other company within the same industry, especially when encountering the
well-known company.

1.3 Research Objective

The main objective of this research is to study the SWOT analysis of

the Samudra Shipyard & Engineering SDN BHD. This goal should be closely
related to the research problem. The research objectives are as below:

i. To study the SWOT analysis of Samudra Shipyard and Engineering

SDN BHD
ii. To identify the challenges and issues of Samudra Shipyard and
Engineering SDN BHD.
iii. To proposed strategies based on SWOT analysis.

1.4 Research Questions

The research question used in this study is based on the SWOT analysis.
This questions is related to the internal factors of the company (Strength and
Weaknesses), and external factors of the company (Opportunity and Threats).
The research questions of this studies are:

i. What are the strength, weaknesses, opportunity and threats of

Samudra Shipyard and Engineering SDN BHD?
ii. What are the challenges and issues faced by Samudra Shipyard and
Engineering SDN BHD?
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 iii. What suggestions can be made for Samudra Shipyard and Engineering
SDN BHD?

1.5 Scope of Study

In every business or project, there are a future development plan or

strategies that were used to help the company to gain advantages over the
other company. It was done through various kind of methods of analysis. The
most popular method used to help develop the marketing strategies is the
SWOT analysis. It is by far the most used analysis method by various
companies in the world. This study would be mainly concentrated on the
Malaysian maritime company within the maritime industry. The analysis in this
research had attempted to lend help the company to develop the strategic plan
and future development.

1.6 Significance of Studies

The studies on SWOT analysis have a great significance towards the

company’s project or business plan. It is because the SWOT analysis helps
the company to gain an advantage when compared to other company within
the same industry. In SWOT analysis, we can identify the company’s internal
Strength and Weaknesses, as well as knowing the external Opportunity and
Threats. Thus, it helps the company to develop a future business or project
plan.

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 The study also significantly provide a deeper understanding of the
concept of SWOT analysis in the maritime industry. Therefore, based on the
findings of this research, it could help the company to create the strategies and
future development for the company to gain advantages when compared to
other company within the maritime industry.

1.7 Limitation of Research

The limitations of the research are the biggest challenge to all researchers
in completing the work, thesis or report. Limitations of research or constraints
are the only thing that cannot be tolerated. As for this research, the limitations
are as follows;

i. Time

Time was a constraint to the researcher to conduct the research as time given
were 14 weeks for Final Year Project 1 and another 14 weeks Final Year
Project 2. The research for SWOT analysis usually takes one year or more to
get a correct and more efficient data on SWOT analysis.

ii. Information

SWOT analysis usually needed an accurate data to get a complete analysis.

Without an accurate data, it is difficult to determine the proper strategies for

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the company. The company was not openly willing to give information freely to
anybody especially on the internal weaknesses towards the company since
the information were treated as private and confidential.

iii. Financial

One of the factors that contribute to a successful research is financial. The lack
of financial resources could affect the progress of the research. The given
money expenditure for this study is RM250.

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 CHAPTER 2: LITERATURE REVIEW

2.0 Introduction

This chapter covers the relevant literature, which starts with an

introduction to SWOT analysis in a general view, followed by other section
covering the main objectives of this study.

SWOT analysis is the tool or methods that were widely used in a firm,
project or business venture. The SWOT analysis is a business analysis
technique that a company or organization can used for each of its products,
services, and markets. The SWOT analysis were usually used when deciding
the best possible way to achieve the future growth of the company.

2.1 The History of SWOT analysis

The history of the SWOT analysis started when there were many
problems faced by companies during the mid-20th century. The companies
during that period were failing due to lack of planning. The research was made

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by the companies to change the failures of success in the business. The
research was made to analyze the problems that they encounter. A group of
researchers who were funded by Fortune 500 companies was made, and the
research was conducted at Stanford Research Institute. The members of the
group researchers are: Dr. Otis Benepe; Marion Dosher; Albert Humphrey;
Birger Lie and Robert Stewart. The research took ten years of research starting
from 1960 – 1970.

From the research, the companies realize that they were spending
much money paying their managers and did not see the dividends from their
investments. From the result of the research, the companies learns to not only
look at the problems, but also able to made decisions to change their strategies
depending on the situation they encounter. The research groups also found
that there are seven key findings that lead to the creation of SWOT. The seven
key findings are values, appraise, motivation, search, select, program, and act.
At first, SWOT was called as SOFT until 1964. SOFT is the acronym to
Satisfactory, Opportunity, Fault, and Threats.

A further research was conducted where SWOT was taken to the UK.
The questions regarding SWOT were asked and once the question has been
identified, a logical step to analyze what was needed. The research team then
worked and found a 17 step process for planners to follow. The trial of the
SWOT was completed in UK and then the merger company, CWS and JW
French Ltd used the SWOT analysis. The SWOT analysis was proved
successful and has been used since then.

2.2 Overview of The SWOT analysis

The SWOT analysis process involves in identifying the internal factors

of the company or organization as well as identifying the external factors that
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were present in the market environment that the company or organization
operates in the industry. The internal factors are the strength and the
weaknesses of the company or organization while the external factors are the
opportunities and threats towards the company or organization. The word
SWOT was created by combining the first of the Strength, Weaknesses,
Opportunity, and Threats.

According to team FME (2013), they have stated that the SWOT
analysis is a popular and versatile tool, but it involves a lot of subjective
decision making at each stage. It should be used as a guide rather than as a
prescription, and it is an iterative process. There is no such thing as definitive
SWOT for any particular organization because the strength, weaknesses,
opportunity, and threats depend to a large extent on the business objective
under consideration.

Before applying the SWOT analysis to the company or organization, it

is important for the company or organization to have a clear understanding of
the SWOT. SWOT is the acronym of the word strength, weaknesses,
opportunity, and threats that can be defined as:

i. Strength – The internal factors that are favorable and gives advantages
to the company or the organization.
ii. Weaknesses – The internal factors that are unfavorable and gives
disadvantages to the company or the organization
iii. Opportunity – The external factors that are favorable to achieve the
company or the organization’s objectives.
iv. Threats – The external factors that are unfavorable to achieve the
company or the organization’s objectives.

This component are grouped into two separate groups that the groupings
are done through similarity of the component of SWOT. The groups are internal
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factors which consist of the strength and weaknesses of the company, and the
external factors that consist of opportunity and threats towards the company.
According to Robert G. Dyson (2004), he stated that “the internal appraisal
examines all aspects of the organization covering, for example, personnel,
facilities, location, products, and services, in order to identify the organization’s
strengths and weaknesses”. He also stated that “the external appraisal scans
the political, economic, social, technological and competitive environment with
a view to identifying opportunities and threats.” Each group contains a helpful
element that is the strength and opportunities and the harmful element that is
the weaknesses and threats.

Helpful Harmful
Internal Factors Strength Weaknesses
External Factors Opportunities Threats
Figure 2.1 The Internal and External factors

There is a variation of SWOT, which is the TOWS matrix. TOWS matrix

indicates four different strategies from SWOT. These strategies were used as
the basis to determine and develop the strategic planning of the company. The
strategies are Strength-Opportunity (SO) strategies, Weaknesses-Opportunity
(WO) strategies, Strength-Threats (ST) strategies and Weaknesses-Threats
(WT) strategies.

Strength Weaknesses
Opportunities SO WO
Threats ST WT
Figure 2.2 The TOWS Matrix

The SWOT was proved to be a useful tool in developing the strategic

planning and future development. Robert G. Dyson (2004) stated that “the

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advantage of SWOT analysis or the TOWS matrix is its attempt to connect
internal and external factors to stimulate new strategies. Hence resource and
competency based planning can enrich SWOT analysis by developing the
internal perspective while keeping internal and external perspectives in play
simultaneously. Rather than seeing SWOT analysis as an outdated technique
therefore it is possible to see it as a firm foundation for resource and
competency based planning”.

2.3 The Usage of SWOT Analysis

SWOT was continuously used by various companies in various

industries to create a better business planning. SWOT analysis was also
proved to be useful in other sector, not only limited for business purposes.
According to H. Y. Shahir, S. Daneshpajouh, and R. Ramsin (2008) they stated
that “even though mainly used in marketing and strategic business planning,
SWOT analysis is quite useful in other applications as well, especially for
research aimed at improving processes: it helps concentrate on objectives and
strengths/weaknesses, identify potentialities for improvement, and define
strategies for achieving the desired outcome”. The statement shows that
SWOT was useful in every aspect of research. It was later proven by C.
Ravichandiran and Dr. V. Vaithiyanathan (2009) in their studies of the wireless
communication including Wi-Fi, Wireless Mesh, WiMax and Mobile WiMAX
Technologies. In their studies, they have stated that “it is necessary to
understand the integrated solution of each information technology depending
upon the business requirement. It should also be based on the necessity and
cost benefits analysis”. It means that SWOT analysis is a useful method help
the company to understand the necessary information depending on the
business requirement.

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 The SWOT was not only used by the companies and another small
scale of research; it was also used to a larger scale of research. An energy-
focused research was conducted at Ukraine. The research focus is to discuss
the issues of effectiveness, their contribution to the environmental factors,
proprietorship issues of the energy producers, and the privatization step. The
research were using not only cross-cutting construction, but also using SWOT
analysis was conducted in Ukraine.

A research of service outsourcing had also been conducted to the world

most populous country, China. The SWOT analysis has proven to be useful
and plays a significant role in every sector. “A SWOT analysis can play an
important role in the assessment of service outsourcing locations. The
promotion of service outsourcing industry in China cannot be viewed in
isolation, as it is linked with many factors that can influence outsourcing supply,
labor conditions, and a business environment specific to a region or a country”
(W. Y. Hong, 2010).

SWOT analysis were chosen in most research used in order to create

a strategic planning for a better business. SWOT analysis is the most simple
and yet useful to improve the business planning. Every company or
organization can conduct their SWOT analysis since there is no basic or
advanced training on SWOT. The only thing that a researcher need to know
before conducting SWOT analysis is to have a basic understanding of the
SWOT and the industry. The research itself does not have limitations, which
means it can be in small sample size or large sample size. The results may be
accepted as giving the general trend of the industry. (S. Tanveer, M. Asim,
2010) Moreover, SWOT analysis was not only limited to one company in the
sector, but also can be conducted in several companies at the same time.

SWOT analysis has repeatedly been used since it is frequently used to

improve the strategic planning of a company or organization in a business. It

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is because the main purpose of SWOT analysis is to maximize strengths and
opportunities, minimize external threats, transforming weaknesses into
strengths as well as to take advantage of opportunities along with minimizing
both internal weaknesses and external threats (M. R. G. Sayyed, M. S.
Mansoori, and R. G. Jaybhay, 2013). It makes the SWOT analysis as a popular
method that repeatedly used to improve the strength and overcome the
weaknesses. Not only that, SWOT also used to identify new threats towards
the company as well as grabbing the opportunities for a better business
market.

Therefore, SWOT is shown as a great theoretical and practical

significance to conduct a thorough SWOT analysis work out an integrated
model to see how SWOT can help a business to make successful strategies
(X. Chan, 2011).

2.4 Decision Making Using the SWOT Analysis

SWOT analysis are the popular methods used to determine the

strategic planning of a company or organization. SWOT analysis identifies all
data and statistics possibilities in strength, weaknesses, opportunity and
threats through interviews and questionnaires. From there, a TOWS matrix
were constructed, and strategic planning can be decided. The SWOT analysis
is suggested as a useful tool for highlighting and addressing the problem
issues, since the results can be used as improvement strategies (H. Y. Shahir,
S. Daneshpajouh, and R. Ramsin, 2008). Various kind of strategic planning
can be suggested which related to the condition and problems faced by the
company or organization in the sector. The strategic planning can later be
adopted to improve the company’s business market.

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 SWOT does not give the exact suggestion to the strategic planning, but
more to giving direction to future development. It highlights the problems issue
and gives direction to creating the most suitable strategic planning. It was
proven by A. Liu and D. Wang (2009) in their research on the Interactive
Development between Dalian and Other Coastal Cities in Liaoning Province.
They found that “it is proved that the economic linkage between coastal cities
is not powerful, so some measures should be taken to strengthen their
interactive development”. They also put forward up to six suggestion to solve
their problems. It shows that SWOT is not only used to study the current
situation and problems of the company or organization, but as well as solving
how to improve the business strategies.

Several studies have shown SWOT was useful in creating the strategic
planning. It is shown that several studies have been used the SWOT analysis
as a necessary method of deciding the strategic planning for a better business
market. From the SWOT Analysis & Strategy of Airport Logistics Studies, L.
Yang (2010) he stated that “this article considers it is necessary to carry out
SWOT analysis and make an appropriate strategy of airport logistics
development in Hangzhou through strengths, weaknesses, opportunities and
threats analysis based on the comparison with the airport logistics
development in Yangtze River Delta”. The result of the SWOT analysis applied
to the potential in the industry shows that some strategy options can be taken
to improve the development of the industry (W. Y. Hong, 2010).

Some studies also show that through the SWOT analysis, a company
could strengthen their self-constructions from scientific position, discipline
construction, the construction of resource groups, looking for the meeting point
for local economic construction, building a system of applied and innovative
personnel training (Y. Junfeng and Y. Quifeng, 2010). These are the example
of the strategic planning that could be suggested. The strategic planning has
become one of the subjects that many institutions work on to ensure the
intuitions’ appropriate management based on realistic results. Therefore, the

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planning has to be taken into account and should provide planning direction
on the bases of its results (T. Y. Yelken, F. Kilic and C. Ozdemir, 2012). It
shows that by applying the SWOT model in real business practices and to
advance can create such a concrete development strategy model based on
the study (X. Chan, 2011)

2.5 Improvement of the SWOT analysis

Although SWOT was a popular as a simple and easy method to use yet
gives an outstanding result in business planning of the company or
organization, certain research has been made to suggest a better method than
SWOT. Some research found out that SWOT analysis has shallow theoretical
roots as SWOT analysis run no deeper than the tenet that, like any living
organism, a business can prosper only if it achieves a good fit between itself
and its environment. Although this assertion is eminently plausible, SWOT
analysis also rests on the rather shaky suppositions that every strategically
significant feature of a business' internal and external context can be
categorized neatly as favorable or unfavorable and such categorizing affords
strategic insight (E. K. Valentin, 2005).

Therefore, several studies have made a new method typically by either

by suggesting a brand new method or by combining two or more the existing
method for a better results. Most researchers combine an already existing
method. The most method chosen by the researchers are Political, Economy,
Social and Technology (PEST) analysis. PEST is shown to be more rational to
look for the business development. According to (P. X, Jun, 2010), he stated
that “PEST analysis is a commonly used analytical tool. It adopts politics,
economy, society and technology these four major categories that influence
the external environment of the business enterprise and evaluates these
factors how to impact strategic target and strategic plan. By PEST, we can be
more rational to look at the prospects for the development of mobile payment.”

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 Considering the rationality of the PEST analysis, the combination of the
SWOT-PEST has been used by researchers. According to L. I. Jianbo (2012),
he stated that “considering that the SWOT-PEST analysis is of high
coordination and rational correlativity, influencing factors related to politics (P),
economy (E), society (S) and technology (T) can be put into a uniform frame
for systematic SWOT analysis, which is suitable for the understanding of
environmental conditions of organizations (industries)”. It shows that the
improvement of the SWOT-PEST can give a better understandings to the
situation and problems thus gives a better result. The result could give a better
and more detailed and systematic strategic planning suggestion. L. I. Jinbo
also stated in his research in the Three Georges Reservoir Area that “based
on the systematic conclusion of major practices and explorations on the
establishment of the ecological compensation mechanism in the Three
Georges Reservoir Area, related measures are proposed, providing the
government with necessary references and experience for scientific
decisions”.

Apart from PEST, another method such as and quantitative strategic

planning matrix (QSPM) has been used to provide a better result and better
strategic planning. This combination of the method of research has been used
by N. F. Hashemi, M. M. Mazdeh, A. Razeghi and A. Rahimian (2011) in their
research in Hamadan Glass Company. They have stated that “The results
show that this industry is in an optimum condition, and the company is in a
good competitive situation; however, its financial situation is not desirable.” It
makes the combination of other methods with SWOT analysis could give the
desirable, and exact solution to the problems occur in the industry.

However, there is research that suggest that SWOT analysis should

being replaced with other suitable methods such as Defensive/Offensive
Evaluation (DOE). According to (E. K. Valentin, 2005), he has stated that “like
SWOT analysis, DOE requires delving into a business' internal and external
contexts. However, DOE is much more focused and theory-driven than SWOT

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analysis”. This statement shows that there is a better method that can be used
to replace SWOT analysis.

Despite several objections and suggestion to improve the SWOT

analysis, the SWOT was continuously used to provide strategic planning to the
company organization. There is no need to improve the original SWOT since
it was the most fundamental and easier to understand. SWOT also compatible
with any sample size whether small or large sample size that make it easier to
be used by any company in the various sector.

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 CHAPTER 3: METHODOLOGY

3.0 Introduction

This chapter describes the procedures that were used in carrying out
this research. This chapter deals with research design, the population of study,
sampling frame, sample research instruments, data collection procedure and
pre-testing of questionnaire and data processing and analysis.

Research Methodology is a collective term for the structured process of

conducting research. Research involves formulating the problem to be
investigated, selecting a suitable research design, choosing and applying
appropriate procedures for data collection and analyzing and communicating
the process and findings through a written report. (De Beer, 1999). It is a
careful investigation or inquiry especially through a search for new facts in any
branch of knowledge (The Advanced Learner’s Dictionary of Current English,
Oxford, 1952, p. 1069).

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3.1 Research Instruments

The research instruments are the tools or methods used to measure

and obtain data for research. In this research, the research instruments used
are the qualitative research.

Qualitative Research

Exploring issue, understanding phenomena, and answering

question by analyzing and making sense of unstructured
data

Figure 3.1 Qualitative Research

3.1.1 Interview

Interviews are a most appropriate method to gather more

information and facts regarding the research plan. Interviews are done
with the authority related to the research and data required to process
and analyzed the important data. With interviews, all the data can be
gathered and allowing the interviewer deeply explored the respondent’s
feelings and perspectives about the research.

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3.2 Data Analysis

This research uses the SWOT Matrix analysis and TOWS matrix method as a
research method. By analyzing the internal factors (strength and weaknesses),
and external factors (opportunities and threats), the company can create a
strategic planning for their company. The strategic planning created can be
used either for whole organizations or just a certain department.

3.2.1 SWOT Analysis

A SWOT analysis is the tool or methods that were widely used in

a firm, project or business venture. The SWOT analysis is a business
analysis technique that a company or organization can used for each of
its products, services, and markets. It consists of four categories that
are the Strength, Weaknesses, Opportunities, and Threats.

Strength Weaknesses

SWOT

Opportunities Threats
Figure 3.2 SWOT Analysis

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3.2.2 TOWS Matrix

A TOWS analysis involves the same process of listing strengths,

weaknesses, opportunities and threats as a SWOT analysis. In TOWS
analysis, threats and opportunities are examined first and weaknesses
and strengths are examined last. After creating a list of threats,
opportunities, weaknesses and strengths, the managers can examine
ways the company can take advantage from the SWOT analsis. It can
be done by exploiting the strengths and overcoming weaknesses to
take the advantages from an opportunity, as well as minimizing the
threats.

The TOWS matrix can help to create four different strategies, based on
the internal environment and external environment. These strategies
are;

i. Strength – Opportunities Strategies – Also known as the maxi-

maxi strategies. It is the strategies that use the strength to
maximize opportunities.
ii. Strength – Threats Strategies – Also known as maxi-mini
strategies. It is the strategies that use the strength to minimize
threats.
iii. Weakness – Opportunities Strategies – Also known as the
mini-maxi strategies. It is the strategies that minimize
weaknesses by taking advantages of opportunities.
iv. Weakness – Threats Strategies – Also known as the mini-mini
strategies. It is the strategies that minimize weaknesses and
avoid threats.

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 Figure 3.3 TOWS Matrix

3.3 Research Process

This list of research process shows the process of how this research is
conducted. The process starts from the beginning of research until the final
stage of research which determines the research findings and outcomes. The
research outcomes in the final stage of research is the strategic planning.

3.3.1 Interview Session

This method will require interviews with personnel who are involved in
the marketing management and implementation of strategies of

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Samudra Shipyard & Engineering SDN BHD. With this instrument, the
researcher will get further information and the viewpoint of their
company’s strength, weaknesses, opportunities, and threats.

3.3.2 Analyze Data by Using Selection Methods

Using SWOT matrix analysis to analyze the data gain from the
respondents.

3.3.3 Solving by Using Selection Methods

Using TOWS matrix to diagnose the findings from SWOT matrix to

identify the Strength, Weaknesses, Opportunities and Threats of the
Samudra Shipyard & Engineering SDN BHD.

3.3.4 Findings or result Analysis

Using the TOWS matrix methods to get more significance result on the
Strength, Weaknesses, Opportunities and Threats of the Samudra
Shipyard & Engineering SDN BHD.

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3.3.5 Finding and outcomes

The findings are concluded from the TOWS matrix diagnose of the
Strength, Weaknesses, Opportunities and Threats to identify the
suitable strategic planning for Samudra Shipyard & Engineering SDN
BHD.

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3.4 Research Planning Flow Chart

Briefing Project
FYP 1: START
Title

Chapter 1: Consultation
Introduction With Supervisor

Chapter 2:
Journal and
Literature
Article Finding
Review

Submision of Chapter 3:
Research Research
Proposal Methodology

Presentation FYP 1: FINISH

Figure 3.4 Research Flow Chart for FYP 1

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 FYP 2: START Interview Session

Processing and
Collecting Data
Analyzing Data

Analyzing Results Presentation

Submission Final
Report

Figure 3.5 Research Planning for FYP 2

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3.5 Research Activities Description

Step 1: Start research

Proposed the project title to a supervisor. Once the title has been approved by
the supervisor, research on the information can be conducted right away which
is related to the study.

Step 2: Information findings corresponding with research title

All the information and data that relate to this issue will be collected where all
information and data are obtained from articles, journal, books, e-books, PDF
file and websites that related with SWOT analysis.

Step 3: Research proposal preparation

This step is required to prepare the research proposal and submitted to the
supervisor for further approval. If this proposal is accepted, then the research
can proceed to the next stage and present the issues of the study.

Step 4: Collecting and analyzing data

After approval from the supervisor, the research can be proceeded on

collecting data which is by undertaking surveys, interviews and questionnaires
in places that related to the studies. All data must be analyzed to measure the
effectiveness of the survey of research.

Step 5: Making the result from analysis

The results from the methods will be analyzed in determining the SWOT in the
company. It is analyzed in the form of TOWS Matrix.

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Step 6: Result

The strategic planning will be made as a result of the research to determine

whether the issues achieved the target or not.

Step 7: Conclusion

The research study will be completed at this step. This is where all the
procedures, results, and other relevant points will be stated in the thesis. It
concludes all the results that have been done.

3.6 Project Planning

The two chart below is a graphic representation of a project’s schedule

illustrates the start and finish dates of the terminal elements and summary
elements of a project. Figure 3.6 shows the chronology of task for FYP I and
Figure 3.7 shows the chronology of task for FYP 2 to be completed within the
time frame. The FYP 1 was done during semester five which in September
2014 while FYP 2 were done during semester six which in January 2015.

34 | P a g e
 Figure 3.6 FYP 1 Flow Chart

Week
Activity
1 2 3 4 5 6 7 8 9 10 11 12 13 14
Interview and Questionnaire Preparation
Collect Data
Process Data
Analyze Data
Result Analysis
Result Comparison
Report Writing
Final Presentation
Submission of Final Report
Figure 3.7 FYP 2 Flow Chart

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3.7 Budgeting

Budgeting is the details of expenses utilized to complete the final year project.

Table 3.1 List of Budgeting

Items Costing
Transportation RM 100
Documentation RM 100
Cost of Communication RM 50
Total RM 250

The table shows the budget for the Final Year Project. The amount provided
by UniKL MIMET is RM250. The cost of the transportation is about RM 100.
For the transportation purpose, the researcher need conduct an interview.
Since the company was quite far from the UniKL MIMET, it will be a
transportation cost and fuel cost when the researcher was going to the
respondents company. The cost of communication needed for this research is
about RM50. Since the researchers need to contact various companies before
conducting the research, the cost of communication will be accounted to the
budget.

Other than that, A4 paper and other stationery need to buy for the
purpose to write the report, log book and preparing questionnaires.

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 CHAPTER 4: RESULT AND DISCUSSION

4.0 Introduction

The objectives of this research are to study the SWOT analysis, the issues and
challenges of Samudra Shipyard & Engineering SDN BHD. Based on these
objectives, the data from various aspects of the company will be gathered,
reviewed and analyzed to find a conclusion. The assessment in this chapter
will answer all three research questions that were set earlier in the first chapter.

The findings of this research were a result of the SWOT Matrix data
analysis to determine the Strength, Weaknesses, Opportunities, and Threat.
TOWS Matrix analysis were also used to determine the suitable suggestion to
do strategic planning for the company.

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4.1 Data Collection

The data required for this research were collected by conducting an interview.
The interview questions were designed to collect the primary data of the
research. The interview questions consist of four parts; part 1 until part 4.

4.1.1 Part 1

Consist of eight (8) question that measure about the strength of the
company.

4.1.2 Part 2

Consist of five (5) question that measure about the weaknesses of the
company.

4.1.3 Part 3

Consist of five (5) questions that measures about the opportunities of

the company.

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 4.1.4 Part 4

Consist of six (6) questions that measure about the threats towards the
company.

4.2 Findings

The findings for this analysis were distributed into four different categories.
Each category contributes the aspects of the SWOT analysis respectively. The
categories are:

i. Strength
ii. Weaknesses
iii. Opportunities
iv. Threats

4.2.1 Strength

The Samudra Shipyard & Engineering is the well-equipped shipyard. It is

equipped with the well-equipped workshop, three (3) slipways, fabrication
area and Crane & Lifting areas. The Crane & Lifting areas consist of one
(1) unit of 40T crawler crane, two (2) unit 40T mobile crane and three (3)
unit 35T forklift.

The company also sets a low price for maintenance and ship repair
works. The company is also capable of completing jobs on time applying
just in time concept for their work. The company also have a better debt
structure than any other companies in the same industry.

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4.2.2 Weaknesses

Samudra Shipyard & Engineering SDN BHD major weaknesses is that

they have the low manpower on the business management department.
It is the major problems faced by the company. They lack the
management persons to do the job. The company also rely on the
customer, hence the cash flow only sustainable to keep the company
alive; not enough to make a huge profit from it. It could explain why the
company has been showing a slow progress. The company itself took
almost 12 years to grow from a small workshop to a big shipyard.

4.2.3 Opportunities

Samudra Shipyard & Engineering SDN BHD has identified the possible
talent that considered suitable for the company. Since the company has
to be doing all their maintenance and repairing work at the UniKL
MIMET shipyard, the have possibly identified the students from UniKL
MIMET as their suitable manpower needed for their company.

The company have a better maintenance services than other

company. Most all of the equipment at their workshop being maintained
by their own workers. This makes them unique since they won’t have to
go to the other workshop to do the maintenance on their equipment.

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4.2.4 Threats

Samudra Shipyard & Engineering SDN BHD major threats are the
bigger and well-known companies in the maritime industry. Since the
company is the small and medium company, most of the threats comes
from a bigger and more well-known company. These threats are much
more frightening since another big company has their own political
connections with the customers, especially when competing against a
Bumiputera company making their competitors have more advantages.

Furthermore, the company lacks the intellectual property. The

company’s intellectual property is not fully secured, by means it could
get copyrighted by unauthorized personnel. The company also faces an
internal threat since some workers are not really satisfied with their
works. The company could get in danger if their competitors can attract
their skilled and experienced workers. It is a common problem in any
company since all company face this kind of problems but still be a great
threats if it does not handle correctly.

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4.3 SWOT Matrix

Table 4.1 SWOT Matrix

STRENGTH WEAKNESSES
 Well-equipped  Business management
 Well-equipped workshop department – low workers &
 3 slipways manpower
 Fabrication area  Relying on customer too much
 Crane & lifting area  Have sustainable cash flow only
 1 unit 40T crawler crane for the maintaining the business;
 2 unit 40T mobile crane not enough to make huge profit
 3 unit 35T forklift  Does not have an official
 Skilled & experienced workers websites to market their business
 Low price for maintenance & ship
repair works
 Capable to complete work in
short time
 Have broad customer based
 Better debt structure.
OPPORTUNITIES THREATS
 Have identifies the possible talent  Competitors are better equipped
for the company to be fulfilled than the company.
 Better maintenance services than  Some workers are not satisfied
other company. with their work
 Intellectual property (trademarks,
copyrights, etc.) are not fully
secured
 Many competitors especially
when it comes to political issues

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4.4 TOWS Matrix

Table 4.2 TOWS Matrix

Strength Weaknesses

 (S1) Well-equipped  (W1) Business

management
 (S2) Skilled and
department – low
experienced workers
workers &
 (S3) Low price for manpower
maintenance & ship
 (W2) Relying on
repair works
customer too
 (S4) Capable to much
complete work in short
 (W3) Have
time
sustainable cash
 (S5) Have broad flow only for the
customer based maintaining the

 (S6) Better debt business; not

structure. enough to make

huge profit

 (W4) Does not

have an official
websites to
market their
business

Opportunities S-O Strategies W-O Strategies

 (O1) Have  Create maintenance  Provide or create

identifies the service other than a job opportunities

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 possible talent for services in maritime through the web or
the company to industries to provide a other Medias.
be fulfilled better income. (S1, S2, (W1, O1)
S3, S4, O2)  Create a company
 (O2) Better
websites to
maintenance
provide
services than
information and
other company.
company’s
achievement to
attract customers
– provide
testimonials from
customers. (W2,
W3, W4, O1)
Threats S-T Strategies W-T Strategies

 (T1 ) Competitors  Give a better  Give promotions

are better accommodation/salaries to attract more
equipped than the to workers; preventing customers –
company the unsatisfied workers create better
 (T2) Some from quit. (S2, S5, T2) income. (W2, W3,
workers are not  Create a better W4, T1, T4)
satisfied with their company  Build a linkage
work trademarks/signatures between the
to prevent the bigger companies
 ( T3) Intellectual
intellectual properties – to attract more
property
from being stolen. (S1, customer. (W2,
(trademarks,
S4, T3) W3, T1, T4)
copyrights, etc.)
 Create a sub-company;
are not fully
run by Bumiputera for a
secured
better company
 (T4) Many promotion. (S1, S2 S3,
competitors S4, T1, T4)

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 especially when it
comes to political
issues

From the TOWS Matrix table, the researcher can analyze the possible strategic
planning for the company of research, Samudra Shipyard & Engineering SDN
BHD. From the SWOT analysis that have been grouped into SWOT Matrix
table, four different strategies were able to be made. These four different
strategies were then used as a basis to create the suitable strategic planning
for the company. These four strategies are:

i. Strength – Opportunities Strategies (Maxi-Maxi Strategies)

ii. Weaknesses – Opportunities Strategies (Mini-Maxi Strategies)
iii. Strength – Threats Strategies (Maxi-Mini Strategies)
iv. Weaknesses – Threats Strategies (Mini-Mini Strategies)

4.4.1 Strength – Opportunities Strategies (Maxi-Maxi Strategies)

Strength – Opportunities Strategies or also known as the Maxi-Maxi

Strategies are the strategies that maximize the use strength of the
company to maximize the opportunities towards the company.

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S-O 1: Create maintenance service other than services in maritime
industries to provide a better income. (S1, S2, S3, S4, O2)

Based on the company’s internal factors which represent the strength,

the company’s major strength is having the well-equipped workshop
and yard, skilled and experienced workers, as well as giving out low
prices for maintenance and ship repair works. Samudra Shipyard &
Engineering SDN BHD also able to complete their repairing and
maintenance works in a short period. The company also have a better
services than any other company as the workers were able to do their
maintenance work for their equipment.

With these strengths and opportunities, the company should

create maintenance services other than services in maritime industries
to provide a better income. The company should offer the equipment or
machinery maintenance services. This services can help the company
gain more profit. The profit might not be as high as doing the
maintenance for the big ship but still could cover for the administration
financial uses.

4.4.2 Weaknesses – Opportunities Strategies (Mini-Maxi

Strategies)

Weaknesses – Opportunities Strategies or also known as the Mini-Maxi

Strategies are the strategies that minimize the weaknesses of the
company to maximize the opportunities towards the company.

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W-O 1: Provide or create a job opportunities through the web or
other Medias. (W1, O1)

Based on the company’s internal factors that represent the weaknesses

of the company, the company does not have enough manpower or
workers in their business management department. It might be due to
the company focuses more on a worker in the maintenance field rather
than having more worker in the business department. However, the
company has stated that they have found the possible talent needed for
their company. It is also might due to their main shipyard which
previously located in UniKL MIMET. UniKL MIMET is an institute in
which provides knowledge in the maritime sector to its students. Since
they have already do much work that involves the maritime student on
the field during internships provided by the company, they have possibly
identified a several student that they think would fit into their company.

With these opportunities were given and the weaknesses they

possess, it is best if they try to get in contact with the students at UniKL
MIMET. The students might have a chance to work at the company or
doing interns at the company, as well as they were also able to get the
manpower they need.

W-O 2: Create a company websites to provide information and

company’s achievement to attract customers – provide
testimonials from customers. (W2, W3, W4, O1)

Based on the company’s internal factors which represent the

weaknesses of the company, the company relies on the customer too
much. The company would face problems if they lacks of customers,

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and does not have a project or work to do. It was made the company
only able to make a profit that only helps them to progress slowly, as
the company takes about 12 years to lease the shipyard at UniKL
MIMET. Only after they do much maintenance work at UniKL MIMET,
they can gain more profit than before. However, still progressing slowly.
The company also does not have an official websites to promote their
business. These made their possible customers were unable to find
them. As stated before, the company have identified the potential talent
to their company to be fulfilled.

With these opportunities were given and the weaknesses they

possess, it is best for the company to create their websites, providing
the information to their possible future customers. With the creation of
the company’s own websites, their customers were able to get to know
more about the company. This is due to the company’s best
achievements and important information can be accessed by
customers. The company can also provide the testimonies from their
previous customers; making enough proof to gain the customers trust.
It would help the company to attract clients to use their services.

4.4.3 Strength – Threats Strategies (Maxi-Mini Strategies)

Strength – Threats Strategies or also known as the Maxi-Mini Strategies

are the strategies that maximize the strength of the company to
minimize the threats towards the company.

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S-T 1: Give a better accommodation/salaries to workers;
preventing the unsatisfied workers from quit. (S2, S5, T2)

Based on the company’s internal factors that represent the strength of

the company, the company have a broad customer base. It shows that
the customers have completed the maintenance and repair work of
various ships while it was located at UniKL MIMET. It is also due to the
company have the experienced and skilled workers in completing the
maintenance or ship repair. However, the company still faces the
common problem or threats that all company was unable to escape, the
workers satisfaction towards their company. The unsatisfied workers
might be an only minority of them, but still a major threats to the
company especially the unsatisfied workers are the skilled and
experienced workers.

This problem could be overcome by giving a better

accommodation to their workers, or the company could give salary or
allowance that they think fit with the work done by the workers. It will
prevent the skilled and experienced workers from going to other
company that could provide a better accommodation and salary or
allowance.

S-T 2: Create a better company trademarks/signatures to prevent

the intellectual properties from being stolen. (S1, S4, T3)

Based on the company’s internal environment that represent the

strength of the company, the company has a well-equipped shipyard
with the capability to complete the work in the short period. It can help
the company to create a powerful image in their customer’s perspective.

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However, the company’s faced an intellectual properties problems that
are their copyright and trademarks are not fully secured. It can be
proven in their company’s logo in which their company’s logo could be
copyrighted by any person or organizations.

The problems can be solved by simply creating a better

company’s trademarks, or signatures which special to them and could
represent their company’s strength. It can help them to gain their image
by their logo, but not only be recognized by their capability of doing
work. This strategy is proven by various brands such as Nike, Adidas,
etc., creating their image in the minds of the customers just by
mentioning the names of the brands.

S-T 3: Create a sub-company; run by Bumiputera for a better

company promotion. (S1, S2 S3, S4, T1, T4)

Based on the company’s internal factors which represent the strength,

the company’s major strength is having the well-equipped workshop
and yard. The company also have the skilled and experienced workers,
as well as giving out low prices for maintenance and ship repair works.
Samudra Shipyard & Engineering SDN BHD also able to complete their
repairing and maintenance works in a short period. However, the
company faced threats from other companies as well, especially when
facing the bigger and more well-known companies. The companies also
face many competitors in the same field. The treats are much more
threatening when the competitors used their political connections to the
customers to gain more projects faster than any other company. Most
of the company could not get the projects when facing this kind of
political issues. It usually happens to the non-Bumiputera companies
where most Bumiputera companies get the project via political
connections.

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 As for this kind of problems, it is best for the non-Bumiputera
companies to create a sub-company that runs by a Bumiputera. It can
help the company to gain more thrust from Bumiputera customers to let
them do the work.

4.4.4 Weaknesses – Threats Strategies (Mini-Mini Strategies)

Weaknesses – Threats Strategies or also known as the Mini-Mini

Strategies are the strategies that minimize the weaknesses and avoid
threats towards the company.

W-T 1: Give promotions to attract more customers – create better

income. (W2, W3, W4, T1, T4)

Based on the company’s internal factors which represent the

weaknesses of the company, the company relies on the customer too
much. The company would face problems if they lacks of customers,
and does not have a project or work to do. It made the company only
able to make a profit that only helps them to progress slowly, as the
company takes about 12 years to lease the shipyard at UniKL MIMET.
Only after they do much maintenance work at UniKL MIMET, they can
gain more profit than before. However, still progressing slowly. The
company also does not have an official websites to promote their
business. These made their possible customers were unable to find
them. The company also have to face threats from other companies as
well, especially when facing the bigger and more well-known
companies. The companies also face many competitors in the same

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field. The treats are much more threatening when the competitors used
their political connections to the customers to gain more projects faster
than any other company. Most of the company could not get the projects
when facing this kind of political issues. It usually happens to the non-
Bumiputera companies where most Bumiputera companies get the
project via political connections.

The company should giving out more promotions to attract more

customers. If the customers are attracted to the promotions the
company, the company can gain more income. It also helps the
company to find the customers on their own, rather than having to find
the customers by competing with Bumiputera companies and big
companies.

W-T 3: Build a linkage between the bigger companies – to attract

more customer. (W2, W3, T1, T4)

Based on the company’s internal factors which represent the

weaknesses of the company, the company relies on the customer too
much. The company would face problems if they lacks of customers,
and does not have a project or work to do. It made the company only
able to make a profit that only helps them to progress slowly, as the
company takes about 12 years to lease the shipyard at UniKL MIMET.
Only after they do much maintenance work at UniKL MIMET, they can
gain more profit than before. However, still progressing slowly. The
company also have to face threats from other companies as well,
especially when facing the bigger and more well-known companies. The
companies also face many competitors in the same field. The treats are
much more threatening when the competitors used their political
connections to the customers to gain more projects faster than any

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other company. Most of the company could not get the projects when
facing this kind of political issues. It usually happens to the non-
Bumiputera companies where most Bumiputera companies get the
project via political connections.

The company can create a linkage with other well-known or

bigger companies to attract more customers. It is also helping the
company to compete with other Bumiputera companies.

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 CHAPTER 5: CONCLUSION AND RECOMMENDATION

5.0 Introduction

This research shows the importance of the SWOT analysis in determining the
future development of the company. By using research methods such as
interviews, a set of the company’s strength, weaknesses, opportunities and
threats can be found. The SWOT analysis found in the company’s differs from
one company to another, as the internal environment, strength and
weaknesses of the company are unique to one’s company. The external
environment, the opportunities, and threats can be the same as the other
company due to the external environment exist in the surroundings industry.

The SWOT analysis were then converted into TOWS Matrix. From the
TOWS Matrix, some strategies were able to be made for the company’s future
development. The strategies were made based on four different TOWS Matrix
strategies that derived from SWOT analysis.

Nowadays, SWOT analyzes and TOWS matrices are among the most
commonly used tools for strategic planning. The methods were proved to be

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useful to provide a better change for the company. Most of the well-known
company uses the method to cover their weaknesses, strengthen their
company’s strength, grabbing any opportunities as well as avoiding incoming
threats. Ultimately, the effectiveness of the SWOT approach will be determined
by its ability to set the stage for institutional change. The approach is not just
only limited to institutional planning.

5.1 Conclusion

This research serves as the guidance for the Samudra Shipyard &
Engineering’s future development. The company can develop more strategies
to achieve market competitiveness in the industry, just simply by analyzing
their internal environment and external environment.

From the SWOT analysis, the strength, weaknesses, opportunities and

threat can be used to determine the strategic planning for any company in the
industries. The company also need to understand the current issues and
problems. The company can create an opportunity to expand their business to
a higher level by understanding the current issues and problems.

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5.2 Company’s Recommendation

As listed in chapter four, Result and Discussion, there are several

recommendations and suggestions that can be made. These
recommendations were made in analyzing the strength, weaknesses,
opportunities, and threats of the company. As for the Samudra Shipyard &
Engineering SDN BHD, the recommendation are:

i. Create maintenance service other than services in maritime industries

to provide a better income.
ii. Provide or create a job opportunities through the web or other Medias.
iii. Create a company websites to provide information and company’s
achievement to attract customers – provide testimonials from
customers.
iv. Give a better accommodation/salaries to workers; preventing the
unsatisfied workers from quit.
v. Create a better company trademarks/signatures to prevent the
intellectual properties from being stolen.
vi. Create a sub-company; run by Bumiputera for a better company
promotion.
vii. Give promotions to attract more customers – create better income.
viii. Build a linkage between the bigger companies – to attract more
customer.

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5.3 Research Recommendation

As for this research, there several recommendations can be made. These

recommendations could give a better result for the research if these
recommendations were taken to action. The recommendations are:

i. Expand more time for final year project – more time can be used for
research.

As for this kind of research, the actual time needed to complete the
research with a better and more accurate result is a year or more. Some
SWOT analysis research takes a year and half to be completed. The
time given for the Final Year Project is only twenty-eight (28) weeks
which fourteen (14) weeks for Final Year Project 1 and another 14
weeks for Final Year Project 2. The time given was clearly not enough
as the researcher himself has another schedule and classes to attend.

ii. Conduct research to more than one company with the same status for
a better result.

For SWOT analysis research, it is better to do research to more than

one company with the same status or within the same field. If the
research conducted is more than one company, the result will be more
accurate. Thus the more suitable strategies can be made.

iii. Add other research instruments such as adding questionnaires for a

better results.
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The last recommendation can be made to add another research instruments.
The result will be more accurate as all the aspects of the company will be
covered, leading the possibility to get all the information needed. The company
will not give their confidential document since it is private and confidential. Most
of the confidential information usually consist of the weaknesses or even
threats of the company. Thus, the only way to gain more information on those
aspects are to add other research instruments such as the questionnaires.

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 APPENDIX A

INTERVIEW QUESTIONS AND ANSWERS

Q What are your company assets?

A My company have a well-equipped workshop, with 3 slipways,
fabrication area and several crane and lifting units which s 1 unit of 40T
crawler crane, 2 units of 40T mobile crane, and 3 units of 35T forklift.
Q What makes your company better than your competitor?
A My company have a very skilled workers that have experienced for
more than 30 years. My company also offers low price for maintenance
and ship repair work and capable to complete the work in short period
of time.
Q What areas do you need to improve on?
A Basically on the business management department – we are currently
are lacking in manpower the business department.
Q Which assets did you consider the best for your company?
A The best assets are the slipways.
Q What necessary expertise/manpower do you currently lack?
A As I said before, management department.
Q Is there talent located elsewhere that you might be able to
acquire?
A Yes, we have currently located the talent we currently needed and that
talent are still within this industry.
Q What unique resources do you have?
A Our unique resources was the well-equipped workshop.
Q What areas do you need to improve on?
A Currently the only area that we need to improve is the management
area.
Q Is there an unmet need/want that you can fulfill?

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A Yes, there is.
Q Is there a better equipped (funding, talent, mobility, etc)
competitor in your market?
A Yes, too many competitor actually.
Q Are you relying on one customer too much?
A Unfortunately, yes.
Q Do you have a broad customer base?
A No.
Q Is a competitor failing to adequately service the market?
A No, because our competitor have their own point of strength.
Q Do you have to rely on third parties for critical steps in your
development process that could possibly derail your delivery
schedule?
A I think our have to on third parties for a certain moment.
Q Do you have immensely talented people on your staff?
A Yes, we have. Most of our staff are talented people.
Q Are your key staff satisfied in their work? Could they be poached
by a competitor?
A I think some of them are not really satisfied with their own work.
Q What trends might impact your industry?
A I am not sure.
Q Do you have adequate cash flow to sustain you?
A For this time being, yes we have.
Q Do you have adequate profit levels?
A Yes.
Q What external changes present interesting opportunities?
A Maintenance services. Our company do our own services on our
equipment.
Q Is your intellectual property properly secured (trademarks,
copyrights, firewalls, data security plans, etc.) against theft & loss
(both from internal & external sources)?
A I am not sure, but maybe our intellectual properties are not secure.

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Q Is there an entity who may not be a competitor today which could
possibly become one tomorrow?
A Yes, there are some of them. Mostly because of political issues.
Q Do you have a sustainable competitive advantage?
A Yes.
Q Is your business debt free or have a better debt structure than
your competitors?
A Yes.
Q What if your supplier runs out of product and you experience an
extended stock out or shortage?
A If that happens, we have to look for any other sources especially when
there are n going projects.

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 APPENDIX B

POSTERS

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