Entrepreneur Insight 2018

JANUARY 2018

www.entrepreneurinsight.com.my

BITCOIN AND THE BLOCKCHAIN: Revamping Current Business Models

ENTREPRENEUR OF THE MONTH:

Paul Yung Sets the Stage for Success with FitLine Landmarc Founder

MARCUS LIP ENTREPRENEUR WITH THE MIDAS TOUCH JANUARY 2018 RM7.50(WM) RM9.00(EM) KDN PP 18181/04/2013 (033492)

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ASIA HALAL BRAND

AWARDS

Special thanks to YB DATUK WIRA DR. ABU BAKAR MOHAMAD DIAH Timbalan Menteri Sains, Teknologi dan Inovasi

for officiating the event

Congratulations to the winners of

ASIA HALAL BRAND AWARDS 2017 HERITAGE BRANDS Best Best Best Best

Chocolate Bar Water Filtration System Low Fat Milk Hypermarket

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Cadbury Confectionery Malaysia Sdn Bhd Coway (M) Sdn Bhd Malaysia Milk Sdn Bhd Mydin Mohamed Holdings Berhad

Best Regional Corporation Best Biscuit Best Spices Serbuk Kunyit

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Perfect Food Manufacturing (M) Sdn Bhd Hwa Tai Industries Berhad Adabi Consumer Industries Sdn Bhd

Best Best Best Best Best Best Best

Frozen Seafood Supplier Massage Chair Innovative Seafood Product Grains-Based Product Animal Nutrition Feed Product Frozen R.T.E Meals Frozen Fish-Based Product

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CYL Food Sdn Bhd Gintell (M) Sdn Bhd Golden Fresh Sdn Bhd GoodMorning Global Sdn Bhd Osmosis Nutrition Sdn Bhd Kinabalu Food Industries Sdn Bhd QL Foods Sdn Bhd

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Unique Fire Industry Sdn Bhd

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Richworks International Sdn Bhd De First Food Manufacturing (M) Sdn Bhd Vanity Cosmeceutical Sdn Bhd Berjaya Starbucks Coffee Company Sdn Bhd PT Sari Sihat (M) Sdn Bhd

Best Specialty Coffee Chain

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Berjaya Starbucks Coffee Company Sdn Bhd

Best Food Caterer Best CSR Horse Riding Club

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Big Onion Food Caterer Sdn Bhd Denai Alam Recreational and Riding Club (DARC)

Best Central Kitchen

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Best Chinese-Muslim Restaurant Largest Heavy Equipment Freight Best Muslim-Friendly Hotel Best Healthcare Supplements Best Oriental Bun Best Islamic TV Station

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Little Taiwan (CK) Sdn Bhd / Golden Food Manufacturing Sdn Bhd Mohd Chan Group Pembinaan Tetap Teguh Sdn Bhd The Pearl Kuala Lumpur FitLine (M) Sdn Bhd TSL Bestmas Manufacturing Sdn Bhd Alhijrah Media Corporation

Best Best Best Best

Premium Gourmet Canned Coffee Dim Sum Fresh Milk Curtain Supplier

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Etika Beverages Sdn Bhd TSL Bestmas Manufacturing Sdn Bhd Farm Fresh Milk Sdn Bhd MK Curtain Group

Best Best Best Best Best Best Best Best

Frozen Western Food Japanese Kitchen Japanese Snack Logistics Services Provider Mee Goreng Poultry (Chicken) Warehouse Service Provider Cooking Spices

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Delicious Western Sdn Bhd Japan Halal Kitchen Co. Ltd Fairuz Fai Global Marketing Integrated Cold Chain Logistics Sdn Bhd Gentle Supreme Sdn Bhd Ladangku Maju Sdn Bhd Integrated Cold Chain Logistics Sdn Bhd Maxwell Food Sdn Bhd

Best Innovative Screening Blood-Based Approach Best 4-Star Hotel Best Fusion Restaurant Best Milk Powder Product Best Indonesian Restaurant

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Osel Diagnostics Sdn Bhd

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PKB Hotel Management & Services Sdn Bhd Sakura Kristal Group of Companies Wildan Niaga Sdn Bhd De'Dapoer Sanur Bali

Best OEM Services for Innovative Product Best Boutique Hotel in Asia -

Superrich Miracle Biotech (M) Sdn Bhd Rhadana Kuta Bali

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MS-3 Agri-Ventures Bloomers Travel & Tours

Philippines Best Poultry Feeds Producer Best Established Corporation

EMACC RHB Islamic Bank

REGIONAL BRANDS Most Preferred Fire Protection Equipment Manufacturer Best Business Mentorship Provider Best Premium Frozen Fish Balls with Fillings Best Skincare Solution Best Premium Roasted Coffee Best Supplement Products (Madu Rasa)

ESTABLISHED BRANDS

PROMISING BRANDS

Philippines Best Cacao Tablet Producer Philippines Best Halal Promoting Travel Agency Official Sponsor Partners:

Official Media Partners:

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Presented by:

Any Inquiries:

012-378 8683

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CONTENT

22 8

Malaysian Zachary Haris Ong who was appointed The International Council of Design (ico-D) President last October is the first ASEAN Candidate to hold the President post in the international design body’s history

08 | Designing A Life Less Ordinary

Everything he touches – from asset management to retrofitting interiors have turned into gold for this savvy globetrotting Entrepreneur with a penchant for manufacturing niche opportunities

ENTREPRISE OF THE MONTH 26 | Tanamera – A Thriving Exquisite Brand

ENTREPRENEUR OF THE MONTH 14 | Yung Continues To Shine

His commitment to provide quality healthcare supplements has cemented the brand in the market

CELEBRITY ENTREPRENEUR CORNER

Tanamera Malaysia Co-founder Mohamad Faisal Ahmad Fadzil inspires his entrepreneurial journey championing healthconscious beauty products for a healthier lifestyle

MAIN FEATURE

18 | New Year In New York

Who better a celebrity than Datuk Zang Toi to feature for Entrepreneur Insight’s Celebrity Corner to kickstart 2018 in style? Here’s an exclusive peek into this Entrepreneur’s swanky bachelor pad in the Big Apple

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22 | Designing Dreams

COVER STORY

2

PERSONALITY OF THE MONTH

29 | Bitcoin And The Blockchain: Revamping Current Business Models Bitcoin is the first to introduce blockchain which is slowly changing traditional businesses

CORPORATE INSIGHT 32 | Riding A Higher Level With Electric Vehicles (EV)

Cervello Tres Executive Director Mohd Azreen Zainudin shares on his company’s take on electric vehicles in Malaysia and further

STRATEGY 36 | Why Does Everyone Need Financial Planning?

38 | What Entrepreneurs And Leaders Can Learn From Steve Wozniak FINANCE 40 | Make Compound Interest A Friend

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EDITORIAL Editor-in-Chief Dato’ KK Chua kkchua@propertyinsight.com.my Editor Yvonne Yoong yvonneyoong@propertyinsight.com.my

Velocity of Sweat, Passion and Tenacity Happy New Year! It’s almost as if 2018 has caught us unawares as 2017 made a quick exit almost in the blink of an eye. Now, with the dust having settled after the festivities ended the year on a high note, we are faced with the gift called the present. That’s right - 365 days packaged into a series of 12-month possibilities and opportunities waiting to be unwrapped on a daily basis.

In this issue, we usher in the brand new year with an insider peek into Datuk Zang Toi’s abode in the Big Apple. Aptly titled “New Year in New York” under this month’s Entrepreneur Insight - Celebrity Corner, his is indeed no ordinary bachelor’s pad as the swanky unit in the Big Apple has even played host to Hollywood’s A-list celebrities including recent guests - Kristie Alley, Patti Labelle, Kimberly Guilfoyle and Carol Atl. Considered one of Malaysia’s most famous exports, his irrepressible winning smile and signature kilt makes him one of the most celebrated fashion designers to the stars.

Malaysia is also making its presence felt in the design scene with Zachary Ong Haris assuming the role of President of the International Council of Design (ico-D) for the 2017 – 2019 term. Read all about how he intends to bring Malaysian design to a different level to meet global standards.

So it’s true that not all Entrepreneurs are created equally. Some are enterprising and tenacious while others are fearless in the face of challenges. In this January 2018 issue, we also meet Landmark International Properties Founder Marcus K. Lip, the globe-trotting Entrepreneur extraordinaire who has taken the art of manufacturing opportunities several notches higher. From developing niche properties in Perth, Australia to overseeing his asset management business there and being involved in retrofitting and transforming interiors into five-star hotel standard beauties her, he also recently bought over a restaurant in Perth and launched his Nadi @ Bangsar Art Gallery in Kuala Lumpur.

Unfazed by the current slump in the economy, the eternal optimist sees a wealth of opportunities in serving up value added propositions when it comes to transforming even dilapidated properties into masterpieces that command upscale pricing. His Midas touch knows no bounds as he applies his magical touches to the properties he undertakes. This titan of an entrepreneur credits an influential Malaysian developer for introducing him to the concept of “armchair investment” whereby a pool of select investors gather their funds and invest in properties in Australia – leaving their investments with a turnkey firm Down Under to manage everything – from buying land to building properties and thereafter dividing the profits between them.

The innovative maestro has upped his game plan with his infectious maverick entrepreneurial style by emulating and reinventing this “armchair investment” model and making it his own.

This innovative streak is prevalent among other Entrepreneurs and innovators – as also seen reflected in the case of Apple Computers Co-Founder Steve Wozniak who gave some insights into how Apple has upped the level of its game plan with its innovative offerings. In this month’s exclusive interview, he shares what Entrepreneurs and leaders can learn from him.

This month, Entrepreneur Insight also kickstarts its maiden launch of its Kuala Lumpur International Halal Expo at Mid Valley in Kuala Lumpur on 13 and 14 January following its successful Asia Halal Brand Awards (AHBA) 2017 that honoured winners in their respective categories for excellence.

On this note, we look forward to an exciting 2018.

Writer Mages PV Lingam Felicia Soon

BUSINESS DEVELOPMENT Sales & marketing enquiries support@propertyinsight.com.my +6012 3788 683

Armani Media Sdn Bhd (1032085-H) No. 32-3, Jalan Pekaka 8/4 Seksyen 8, Kota Damansara 47810 Petaling Jaya, Selangor Tel: +603 6156 3366 Fax: +603 6156 3399

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ENQUIRIES enquiries@propertyinsight.com.my Tel: 017 601 9938

Dato’ KK Chua Editor-In-Chief Entrepreneur Insight

On The Cover www.propertyinsight.com.my

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Property Insight Malaysia

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PropertyInsight JANUARY 2018

Although every reasonable care has been taken to ensure the accuracy of the information contained in this publication, neither the publisher, editors, writers nor employees or agents can be held liable for any errors, inaccuracies and/or omissions. The contents of this publication do not constitute investment advice. It is intended only to inform and illustrate. No reader should act on any information contained in this publication without first seeking appropriate professional advice that takes into account their personal circumstances. We shall not be responsible for any loss or damage, whether directly or indirectly, incidentally or consequently arising from or in connection with the contents of this publication and shall not accept any liability in relation thereto. The views by our contributors expressed here are their personal opinions and do not necessarily reflect Property Insight’s views. The publisher does not endorse any company, organisation, person, investment strategy or technique mentioned in this publication unless expressedly stated otherwise. The publisher does not endorse any advertisements or special advertising features in this publication, nor does the publisher endorse any advertiser(s) or their products/services unless expressedly stated to the contrary. All rights reserved. No part of this publication may be reproduced in any form or by any means, including photocopying and imaging without the prior written permission of the publisher.

www.entrepreneurinsight.com.my

Marcus Lip

Group Managing Director, Landmarc International Properties

BITCOIN AND THE BLOCKCHAIN: Revamping Current Business Models

ENTREPRENEUR OF THE MONTH:

Paul Yung Sets the Stage for Success with FitLine Landmarc Founder

MARCUS LIP ENTREPRENEUR WITH THE MIDAS TOUCH JANUARY 2018 RM7.50(WM) RM9.00(EM) KDN PP 18181/04/2013 (033492)

Jan 2018

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NEWS & EVENTS

CELEBRATING THE AFFLUENT ASIA HALAL BRAND AWARDS (AHBA) 2017 Armani Media Sdn Bhd recently hosted its premier Asia Halal Brand Awards (AHBA) 2017 at the Shangri-La Hotel Kuala Lumpur. The creation of AHBA is to signify the importance of the halal brand in a global market. The awards night saw various halal industries being represented in the following sectors:- Food and Beverage (F&B), F&B outlets, hotel and tourism, beauty and cosmetics, healthcare and medical, toiletries, fashion, banking and financial services. Selected players were being honoured as the aim of AHBA is to be the leading regional awards to promote recognition for top halal brands.

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NEWS & EVENTS

ASIA YOUNG DESIGNER AWARD WINNERS TO COMPETE REGIONALLY

SOMETHING FRESH TO SMILE ABOUT WITH COLGATE NATURALS

Winners of the Asia Young Designer Award (AYDA) 2017 - Shahmeena Labeeb from Taylor’s University and Ng Wai How from University Malaya will be representing Malaysia to compete against other young designers countries from 14 countries in Asia for the coveted title. Shahmeena and Ng were recently crowned the Gold Award winners for the Interior Design and Architecture Category respectively in the tenth instalment of the AYDA - one of Asia’s premier design competition platforms that reaches out to 15 countries.

“Nurturing young designers with the right skillsets and exposure as well as preparing them for the real world beyond the four walls of the classroom has always been a priority for us at Nippon Paint,” says Nippon Paint Malaysia Group General Manager Gladys Goh. “We believe that the young designers hold the key to the betterment of the future. We have received entries that cover a wide range of areas such as the regeneration of old spaces in order to create better value, disruptive innovation for the betterment of tomorrow and redefining spaces for the future as well as preserving culture and traditions for future generations,” she enthuses.

Colgate has introduced Colgate Naturals - its new range of toothpaste inspired by nature that is designed to meet consumers’ gravitation towards a more wellness-focused lifestyle. Imbued with natural extracts such as lemon, tea tree oil, aloe vera, seaweed salt and crystalline salt, Colgate Naturals comes in three variants: Pure Fresh, Real White and Gum Comfort.

“Over the years, we have seen an emerging trend of increased advocacy towards health and wellness across Asia, particularly Malaysia as well. These concepts are slowly but surely becoming the new lifestyle symbol for Millennial Asians, with Malaysians included into the fold,” says Colgate-Palmolive Malaysia General Manager Peter Torrington.

REVOLUTIONISING MALAYSIA’S PRINTING INDUSTRY

ASCEND MONEY REACHES 50,000 AGENT NETWORKS ACROSS SOUTHEAST ASIA Ascend Money, a Southeast Asian Financial Technology (Fintech) business under Thailand’s Ascend Group has reached 50,000 agents comprising local franchises and networks such as convenience stores, pharmacies, street vendors and cafes in conducting financial services for customers across Thailand, Indonesia, Vietnam, Myanmar, Cambodia and the Philippines.

Ascend Money has essentially strengthened its foothold in the region through major partnerships with the latest cooperation being formed with Bank Negara Indonesia (BNI) to extend its financial services to rural communities.

“Having reached 50,000 agents in Southeast Asia, we are expanding to become the region’s leading financial services provider. Southeast Asia’s unbanked population faces several barriers to financial inclusion such as the predominant use of cash, lack of trust in internet banking and not enough access to urban centres or bank branches,” says Ascend Money Chief Executive Officer Punnamas Vichitkulwongsa.

He adds that agent networks are crucial for bridging these gaps by providing the unbanked with cash-in and cash-out services, reliability and trust through an established local presence and convenience of access beyond urban areas.

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Gogoprint, Southeast Asia’s leading online printing company aims to solve one of the printing industry’s biggest pain points - high fixed costs and requisite order volumes which particularly affect budget-conscious small and mediumsized enterprises (SMEs) and start-ups. Gogoprint achieves this with its proprietary algorithmic software which manages and pools together multiple orders as well as distributes the cost of printing.

“We recognise that SMEs and start-ups in Malaysia require a great deal of reliability, consistency and transparency to facilitate their operations. This knowledge has enabled us to adapt our business strategies to a market where consumers operate on a fine line between managing operational cost and ensuring business profitability,” says Gogoprint Managing Director and CoFounder Laurent De Candido.

“Amidst the great competition present in the market, we recognise the need for constant innovation. Hence, the innovative solutions that we offer have allowed us to experience a considerable amount of success since our launch in Malaysia in November 2016.

“Growth has exceeded our most ambitious expectations with an 800% customer increase as well as a 600% increase in headcount between November 2016 and November 2017. Also active in Thailand and Singapore, Gogoprint’s success in Malaysia is a testament to how regional expansion success can be derived from a comprehensive market understanding and strategic product positioning.”

START RIGHT, CHARGE AHEAD WITH RED BULL AND WIN RM 250, 000 Red Bull, an energy drink often associated with dynamism and ardour, introduced its ‘Start Right, Charge Ahead’ campaign and announced a corresponding consumer contest, with cash prizes of up to RM250, 000 for grabs. Through the campaign, Red Bull hopes to redefine the consumption method of its history-rich energy drink; at the same time, empower consumers to realise their full potential for any task they undertake.

Allexcel Trading Sdn. Bhd Director of Strategy Jate Samathivathanachai says, “When Red Bull began in Thailand in 1975, the brand’s motivation was to create a beverage for those who worked long hours to help revitalise their bodies and mind. Over the years, we’ve continued to drive Red Bull as the energy drink of choice for those who need a burst of energy for both work and play. With 2018 dawning, we wanted to elucidate that while Red Bull can be/is consumed for energy replenishment, consumption can also and should occur pre-activity.

What better way to communicate this point than through our new campaign – ‘Start Right, Charge Ahead’!”

DESIGNING THE FUTURE OF ECONOMIES

ASEAN RICE BOWL STARTUP AWARDS

The two-day Global Entrepreneurship Summit (GECommunity Summit) 2017 concluded on a new high with almost 15,000 participants from 80 countries representing aspiring and experienced entrepreneurs, more in-depth discussions on the drivers of future economies, and richer ecosystem involvement to positively shape our future economy.

“In a year, we have turned the GECommunity Summit into a must-attend for both aspiring and experienced entrepreneurs as well as corporates. The Summit is a crucial spark that continues to ignite the global movement and, more importantly, lead the way to unlock exponential economic growth and true value to our society,” said Ministry of Finance Secretary General of Treasury Tan Sri Dr. Mohd Irwan Serigar Abdullah.

The ASEAN Rice Bowl Awards unveils 14 regional winners to represent Southeast Asia at the Global Startup Awards 2018.

Malaysian startup, Zoom won Startup of the Year award at the 3rd ASEAN Rice Bowl Startup Awards (the’ Rice Bowl’) ceremony, along with 13 other regional winners in various categories picked to represent Southeast Asia at the Global Startup Awards in China next year.

“The ASEAN Rice Bowl Startup Awards is a regional platform for innovative, local-grown entrepreneurs to break out into the global market,” says New Entrepreneurs Foundation (myNEF) Chief Executive Officer and ASEAN Rice Bowl Startup Awards Chairman Lilyana Latif.

VERITAS UNITY PROJECT The UNITY project has been a unique CSR initiative undertaken by the VERITAS Fund for Excellence (VFE) in collaboration with the Shalini Ganendra Fine Art (SGFA) and also in conjunction with Malaysia’s 60th Merdeka anniversary this year. The project seeks to remind all Malaysians of the importance of our Rukunegara and to celebrate the unifying power of this national philosophy through the curation and exhibition of a collection of 5 special works of sculpture by students of design from Malaysia’s premier School of Architecture, Taylor’s University.

President of the VERITAS Design Group David Mizan Hashim had this to say about the collaboration; “Patriotism and national unity expressed through the Rukunegara were the inspiration for this project. The purpose of the Unity Project was to explore the deeper meaning of the country’s Rukunegara principles through expressed symbolism in the form of 5 pillars. This was achieved through the creative work of student groups from Taylors University, mentored in a competitive environment by professional designers from VERITAS. The winning team will be offered lucrative internships with VERITAS.”

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DESIGNING A LIFE LESS ORDINARY Everything he touches – from asset management to retrofitting interiors have turned into gold for this savvy globe-trotting Entrepreneur with a penchant for manufacturing niche opportunities

BY YVONNE YOONG

L

andmarc International Properties Group Managing Director Marcus K. Lip is no stranger when it comes to the fine art of manufacturing opportunities for businesses be it on home shores via his company Landmarc International Properties Sdn Bhd or overseas where his business is headquartered in Perth, Australia and fronted by Landmarc International Properties Pty Ltd. Having gone where others have feared to tread, his entrepreneurial journey has been laced with adventure and enveloped in opportunities. From having recently opened the Galleria @ Nadi Art Gallery in Kuala Lumpur followed by his decision of buying over a restaurant in Perth, Australia, Marcus is gifted with a knack for seizing opportunities and turning them into lucrative and upscale businesses.

Consolidating his experience in the finance and asset management industry coupled with his passion for properties and interior design, his talent and knack for turning around ordinary business ventures into viable investments has earned him a sterling reputation as the maverick with the Midas touch.

Indeed, juggling diverse business operations are merely counted all in a day’s work for the enterprising Entrepreneur.

Wearing different hats come easy for him just as his company is founded upon various different pillars of innovative businesses. Landmarc’s three main divisions – asset management, property management and property enhancement all operate based on the concept of adding value to the delivery chain.

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As Founder of Landmarc, he oversees his private investment company with a property asset portfolio spanning Asia, Australia and the UK. The private fund has achieved extraordinary results by coupling astute investment strategies with a unique value added process.

Besides its main operations in private investment, Landmarc also adopts multidisciplinary services including property consultancy, property management, property enhancement and design services.

“Our business model is unique in such a way that we don’t act as property agents or brokers. Instead, we look into every stage of the property process or purchasing cycle. For example, we seek unique properties at the right price points that we can add additional value to. This value is translated into profit at a later stage. It is fundamental to park this factor in at an early stage to be effective,” says Marcus.

This business process is based on buying, refurbishing and renovating properties, and then selecting the right clientele to partake in the investment - be it on a sale or lease basis. This unique approach demands high quality tailor-made bespoke interior design solutions similar to that of five-star hotel standards.

“We research and acquire selected properties with potential such as those in up and coming areas where growth has yet to reach its fullest potential.

This foresight allows us to capitalise on our investments two steps ahead before market realisation,” he says basing his rationale upon his previous stockbroking

career.

Another area of business is asset management which forms the core of the Landmarc business model.

“We act as a conduit for Malaysian investors. We’ve got clients from the UK, Asia and Australia whom we encourage and facilitate them to invest in Malaysian properties and assets. Likewise, we also try to get Malaysian investors to invest in properties in Australia and the UK,” he adds.

ADAPTABILITY AND AGILITY Marcus explains that Landmarc’s core business in asset management is successful because the group is highly adaptable and hence, able to undertake various projects in different countries.

“As an international asset consultant, our core principle is to maintain a global clientele portfolio spanning Europe, Southeast Asia and the Asia Pacific region,” he says.

Interestingly, Landmarc also plays the role of a property developer in Australia concentrating on its niche projects with value-added offerings tailored to the local context. This unique principle stands out from other Asian developers who may not have a distinctive grasp of the local context.

“My property development venture in Perth started with a group of investors which includes a prominent Malaysian property titan whom I consider my mentor who introduced me to the concept of ‘armchair development’,” shares Marcus.

“This concept revolves around entrusting their funds to acquire land

and selecting an Australian turnkey building and development company to manage the entire development process which entails everything from the acquisition of the land to getting the council’s approval right down to the selling of the properties. At the end of this exercise, the profit is disbursed among the investors,” he explains.

Revisiting this model, Marcus felt that he could devise a better strategy of maximising profit efficiency by introducing a hybrid model whereby he would create a talent pool similar to the investment strategy above. In turn, this exercise entails him being able to entirely manage every stage of the process – from acquiring his own land and appointing his own preferred builders as well as hosting tenders. At the end of the day, this equates to higher profits.

NECESSITY, THE MOTHER OF INVENTION In Malaysia, Landmarc adapts a different model of operations whereby it is not a developer but an asset management firm.

According to Marcus, one of the key strategies of the firm is to acquire undervalued assets. Often, these are dilapidated or run down properties requiring complete makeovers.

As finding reliable designers and contractors in Malaysia are considerably more challenging as compared to the case in Australia, Landmarc is able to fulfil this niche in the market to a tee.

“I started the interior design arm because I couldn’t find the quality and workmanship that I or my clients expect.

The Australian model of workmanship is different from Malaysia which I am familiar with. Everybody said I was too fussy so I bought into carpentry firms to control our quality to what we are today,” he enthuses.

To supplement this business model, the process requires well-thought out interior designs and fit-outs designed to international standards. In keeping to the cost-efficiency principle, Marcus rationalised that it is only wise to start an in-house interior design and fit-out arm

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View of the living area of a showroom unit at the recently completed luxurious Nadi Bangsar development where Landmarc fitted out some 200 units

to control quality covering every aspect.

“This has also slowly evolved into minor architectural services that involve the regeneration of small dwellings in upscale neighbourhoods around Kuala Lumpur for a select upmarket clientele.

This venture is jointly partaken with local architectural firms,” he adds.

Indeed, just as his business model is unique, spanning diverse niche projects and ventures, Marcus is unfazed by the slowing economy as he feels that there is an abundance of opportunities out there.

Counted among Landmarc’s interior projects in Malaysia are pioneer luxurious KLCC developments and private residences across the Klang Valley.

Ending on a parting note with advice to young Entrepreneurs, Marcus says that one has to be very passionate about one’s job to start off with.

“First of all, you have to be very passionate. I’ve gone through so many careers – stockbroking, telecommunications and even went into the fruits and vegetable business - exporting these produce from Perth to Singapore. My advice is one has to be passionate about the business and secondly, have integrity. Thirdly, maintain a competitive edge against

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one’s competitors as exemplified in what we do in the area of design by offering competitive prices and rates.

“We don’t simply take on clients as we are very selective in maintaining a small and exclusive pool of clients,” he says revealing part of the secret of his successful model of operations, namely in maintaining exclusivity.

Not satisfied to rest on his laurels, Marcus discloses that his vision is to

list Landmarc on the Growth Enterprise Market (GEM) second board listing in Hong Kong which the company is working full force ahead to achieve in 2018. Well-spoken indeed from the maestro adept at the fine art of creating opportunities – sealing his reputation as one of the titans of the entrepreneurial industry. of the entrepreneurial industry.

Bedroom view of one of the show units designed and fitted by Landmarc

MARCUS, THE ENTREPRENEUR WITH THE MIDAS TOUCH

Not one to be labelled as faint-hearted in any sense of the word, Marcus K. Lip is the savvy Entrepreneur armed with an optimistic outlook and business acumen, not to mention the Midas touch in literally transforming existing properties into golden investments with a penchant for capital appreciation.

Commencing his career as an Investment Analyst in Singapore in 1991 and subsequently moving into the stock broking and corporate finance arena in Malaysia, Singapore, Hong Kong, Indonesia and the Philippines, his can-do attitude sees him globe-trotting around the world in search for opportunities.

Not surprisingly, counted among his list of clients are Asia’s Fortune Top 50 tycoons and titan of industries.

Armed with a Bachelor of Economics Degree from the University of Western Australia and a Bachelor of Business

degree from Cowan University in Australia, Marcus is also an Associate Member of the Australian Society of Certified Chartered Accountant (CPA).

Relating how his career started, he joined a small accounting firm working as an Accountant. Later finding himself immersed in boredom, he made the decision to leave to work in the Lion City for a stockbroking firm which he deemed more interesting as a career path.

After a short stint in Singapore as an Investment Research Analyst, Marcus, armed with research background as an Investment Research Analyst came back to Malaysia in 1990s at a time when the stock market was very active. He took on employment as an Institutional Dealer with OSK Securities and soon after headed an institutional dealing team at a now defunct broking house, Capitalcorp Securities.

“Before the downturn, I realised that the Malaysia stock market was too speculative so I decided to leave Malaysia. At this stage, I was 30 years old and worked in Indonesia as there was a job offer as an Institutional Dealer to handle stockbroking for a major bank backed by a broking house,” he relates. Unfortunately soon after, the Asian Financial Crisis hit Indonesia hard, culminating into riots particularly against foreigners.

“The currency collapsed and the whole economy crashed. My client back then, a Malaysian State entity, commissioned me to commence a stockbroking firm in Hong Kong which I established in the midst of the 1997 Financial Crisis.”

“That lasted only over one year as Capital Controls in Malaysia came in and one couldn’t just send money in and out of the country. Without the

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capital backing of the parent company in Malaysia, it caused the closure of the broking house. Closing a business is considerably more difficult to deal with than setting it up and the toughest part is to lay off good and loyal employees.

I was totally disillusioned with the stockbroking industry and was looking for something else to do,” he laments.

As a result of encouragement from a close friend in Perth who was in the Information Technology (IT) business, Marcus then took an interest in VoIP (Voice Over Internet Protocol) and ended up working as a country manager for a Singapore public listed VoIP company.

“Before I realised it, seven years had passed doing something I was not interested in and one day in 2009, my CEO called from Singapore to tell me we are out of a job as the company was being bought over but we were handsomely paid for our shares,” says the Taurus born in the year of the Snake.

Throughout his career, he says he has always traded on properties and renovating them on the side but somehow never considered it as a career until 2010 when he established Landmarc in Malaysia.

“There was no Real Property Gains Tax (RPGT) at that time so I was buying apartments, sprucing and renovating

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them to make them fully furnished,” relates Marcus who can now look back on the past with a smile.

The climb to the top was not without its share of challenges, reveals Marcus whose late father – Dr. John Lip – who was a famous doctor in Ipoh, Perak.

The family migrated to Australia in 1975 when he was nine, so Perth was where his formative growing up years took shape.

“I recently bought a restaurant in Perth. To my surprise, the owner asked if I was related to Dr. Lip when he noticed my surname and remembered a doctor who attended to him and saved his life.

When I mentioned he is my dad, he immediately shook my hands and sold the restaurant to me at his cost since he owed a debt of gratitude to my late dad,” relates Lip with a smile.

Relating how his dad was a strict disciplinarian, summer school holidays revealed yet another unique entrepreneurial side to his father whom he remembers as being a handyman, who had a hobby for buying properties and renovating them.

“My dad would buy rundown houses and made us work on them - be it to paint the timber walls, lay the carpet and render the cement pavement. On one occasion, after finishing a renovation

job, I was feeling proud with myself as my dad informed me the house was sold. However, the next day after working on the refurbishment of the house, it was sold and the whole house was demolished,” he recalls with a chuckle.

This hobby was in later years, destined to become a legacy of sorts in becoming a money-spinning hobby for Marcus as evident in this now becoming a cash cow for both his businesses here and abroad.

“I started my first property development when I was 17 years old. I ‘borrowed property’ from my father – he had land and a house which he owned opposite his practice. So I asked him to let me have this to work on. He handed me the titles and I spoke to the builders to build three standard specification homes that cost me AUD 19,000 (RM60,000) each to build in exchange for me getting 1.5 house in return at that approximate ratio,” he relates.

According to Marcus, each house was sold for about AUD 70,000 so his oneand-a-half house was worth over AUD 110,000.

“My dad was going to sell the house for AUD 70,000,” he recalls adding that the decision to tear down and build the houses in actual fact, turned out to be his first development venture.

“The builders spoke to my father as an intermediary,” he reminisces further with a laugh.

With the money he made from this clever initiative, Marcus started buying one-bedroom flats in the city centre of Perth for AUD19,000 –AUD 20,000.

“By the time I was 19, I already owned five to six units. I was buying them one at a time. Buying and painting these units and putting in refurbished furniture which I later sold for around AUD 28,000,” Lip adds.

Although his interest was in architecture, he says his parents did not encourage him to pursue this as he rationalised to Marcus that in Australia, there is a lack of opportunities for architects as one does not need to be an architect to design a house! In actual fact relates Marcus, his dad had wanted all of his sons to become Doctors, but only one followed his path.

However, this love for transforming interiors and selling them off lingered on with Marcus who says that Landmarc continues to undertake revamped projects such as designing and fitting out some of the most luxurious apartments in the city and show units for developers with a passion.

Today, the sophisticated nature of his business sees Marcus being not only hands on – but savvy enough in having

the foresight to own interest in and control the delivery process ranging from carpentry to furniture manufacturing.

This is so he would be guaranteed quality delivery and cost assurance as ownership will not leave him in a vulnerable situation for the projects he undertakes.

“I buy into carpentry and furniture manufacturer firms as well as mural and glass suppliers as a shareholder.

STERLING OPPORTUNITIES DEVELOPING IN PERTH Perth in Australia may have taken a slight downturn at the moment as the mining and gas industry has undergone a slump as the state’s economy there is based very much on mining.

Although Landmarc’s Marcus K. Lip rationalises that this has affected Perth, he believes the state will soon be experiencing a turnaround and that it is just a matter of timing before this capital of Western Australia will take off which will augur well for his business there as a niche developer.

Hints of this is already evident in the building of many international hotels that will boost tourism there.

“They’ve never looked at Western Australia before (as a tourism destination). In March 2018, Qantas will launch a direct flight from Perth to London on their new long range 787 aircraft making it the world’s longest flight,” says Marcus.

“This will make Perth Australia’s gateway to UK and Europe as well as a gateway for Europeans visiting Australia. The tourism opportunities can be tremendous as Perth has been off the beaten track for tourist due to its isolation. Hoteliers have taken note of this potential and numerous hotels are being constructed in Perth including the Ritz Carlton, Westin and several Hilton hotels. This progress – including the development of tourist areas such as Elizabeth Quay -mare stimulus for the economy,” he analyses predicting the trickling down effect that would lead to a boom in the property market.

“For over 26 years, the property market in the Eastern States, particularly Sydney and Melbourne, has not been corrected.

However, in Western Australia, the property market experienced a significant decline several years ago resulting from a slump in the mining industry. With renewed buying interest from Eastern States as well as internationally – particularly coming from Chinese buyers who have until now focussed their interest in Sydney, Melbourne and the Gold Coast, we feel that the market will start to experience a growth in demand which augurs well for our business model concentrating on developing, refurbishing and renovating properties,” he explains further.

As such, he opines that the property market in Perth will benefit from the boost in tourism that is about to take off on a huge scale as witnessed from the growing interest coming from the China and Hong Kong market, with buyers eager to snap

The reason I invest in these sectors is so I get to control the end quality and costs of these products for my end business.

“It’s a visible part of the business. But my core business is asset management as in investing people’s resources in private equity asset management and I do a lot of interior design projects ad hoc for buildings as well,” says the eternal optimist.

Landmarc International Properties has invested in the following niche projects in Perth:-

Distinctive’s forthcoming project - Mathesons on Kearns, a mixed development comprising 48 units at Ardross, Western Australia

The Avion apartments in Melville, WA slated for completion in the third quarter of 2018

The recently completed “Laneway” at Mt Lawley, named by Lonely Planet as “one of the coolest neighborhoods” in Australia

up properties in this thriving capital State of Western Australia.

All this augurs well for Marcus who says the secret of his success lies in putting customers first coupled with sterling after sales services when it comes to offering properties with that added competitive edge.

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ENTREPRENEUR OF THE MONTH

YUNG CONTINUES TO SHINE His commitment to provide quality healthcare supplements has cemented the brand in the market

BY FELICIA SOON

P

aul Yung got the chance to venture into entrepreneurship when he was given the opportunity to open the Philippines market for Fitline. At the time, there was no office, licenses, products and just one staff part time. He bought a one-way ticket to Makati with no friends or family in the Philippines and basically learnt as he went.

“Even though we are ASEAN neighbors, the culture, work ethic and food were really different. I didn’t understand how big the Philippines really was until I got there and flew between cities to meet contacts and pitch our business opportunity. That was a really steep learning curve. 10 months later, we managed to successfully open the market with all the appropriate licenses.

Along the way I made many friends and contacts and learnt a lot about doing business there,” says Yung.

Growing up in a family of entrepreneurs, Yung got to watch both my parents operate their businesses from an unfiltered standpoint.

“They are both very successful entrepreneurs in their own right, one in property, one in direct selling. This fine-tuned my business acumen from very young as I got to follow them for site visits, meetings, and learn how they handled the ups and downs of business. I had big shoes to fill from early on!”

He adds, “What really attracted me to be an entrepreneur in direct sales is the ability to provide equal opportunity and performance based rewards. I loved this idea of absolutely anybody regardless of background to be able to make just as much as someone else who has been in the business for a while because of their performance. It doesn’t work like that in a corporate setting, where years

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of experience weighs in heavily. In our industry, as long as you put in the time and effort and play by the rules, you can make a decent income for yourself.”

ADVENTURER AT HEART

Yung love the freedom to explore and try new crazy things.

He shares that technology and innovation is at a fever pitch right now.

Applying these to their team and working methodology is very exciting.

“I was very lucky as my dad passed me the business. However, before doing so, both my parents were very strict with me in ensuring that I understood every aspect of the business, and appreciate what it really takes to run it. I started sweeping the floor and working the warehouse from when I was 13 years old. Every weeknight after school, I’d finish my homework to the office and got to work. I was there for 3 years before I got to try my hand in customer service, then admin, finance, IT and finally management. Whilst studying, I did my internship at the European Head Quarters for PM International (the parent company for FitLine) in Speyer, Germany and also helped to open PM Spain and PM Asia Pacific,” says Yung.

This learning experience has really guided Yung in many of his decisions.

He has a constant need to improve processes and make it simpler, efficient and user friendly which in turn drives sales growth.

“With the direct sales model we are support an additional passive income stream for our partners. The power of multiplication and network is incredible, and you reap the rewards of your hard work for many years to come. Whilst in most jobs where the income stops when

you stop working, this passive income stream doesn’t stop, especially when you have a good product which encourages constant repeat sales,” says Yung.

LIFE’S INSPIRATION

“My dad was my inspiration from the start. He has been in direct sales business more than 30 years. He was a pioneer for Direct Sales in Malaysia, bringing in Shaklee in the 80’s and building it successfully. I got to witness many success stories via direct selling and many of the successful leaders are still on very good terms with my father,” Yung enthuses.

He add, “Another very important man who inspired me to continue in Direct Sales is PM International Founder and Group CEO, Rolf Sorg. He is really oneof-a-kind, and has been a mentor to me in this industry. A real visionary and inspiring figure, I consider myself very fortunate to be able to work with him.”

DRIVING FACTOR FOR SUCCESS

His best friend used to say that “Paul knows no chill” which Yung believes is half true. “My entire team has gotten quite used to me texting them on Saturday evening expecting a reply, because I haven’t stopped on a weekend evening, and I expect them not to either.

We work very hard together, and we play hard as well. The team gets rewarded very well, with bonuses, overseas travel and staff incentives; We are slowly exploring the Club Med’s in Asia and they get our supplements for free as well.

This has become part of our company culture,” says Yung.

“I firmly believe that you get out what you put in. There really are no shortcuts to success. There may be smarter, faster

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ENTREPRENEUR OF THE MONTH

“

I firmly believe that you get out what you put in. There really are no shortcuts to success.

There may be smarter, faster ways to get something done, but it still needs to be done” - Paul Yung

ways to get something done, but it still needs to be done. Personally, I am used to working every day of the week and have learnt to schedule in “me” time and rest days.”

Yung quotes Elon Musk, who is known for his 100-hour work weeks for setting the benchmark in the business industry.

“To paraphrase him, “If everyone is putting in 40-50 hours a week, and you are putting in 100, you will get done in 6 months what it takes someone else a year to complete”. This inspires me,” says Yung.

FACING THE CHALLENGES AHEAD

One of the biggest challenges is definitely the stigma of direct selling. Many people have a very bad perception of direct selling. Yung can understand that, because there are a lot of scams and unlicensed companies. That’s because this distribution and compensation model works! Albeit not always in an ethical way.

Some companies set very unrealistic expectations and give delusion of grandeur. The reality is that direct sales is a business for entrepreneurs. This means, just like any other business, time and effort is required. “There is no substitute for hard work. You can’t expect to put in ten hours a week and reap in the riches. We have created our fair share of millionaires but just like any other business, our very successful

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partners have put in time, effort and sacrifice,” says Yung.

Most people who do not make it in direct sales fail because they do not know how to do direct selling. Just like riding a bicycle, there are things you have to learn to start and continue cruising.

He adds, “From these challenges I have learnt to set realistic expectations for our partners’ right from day one. If you are looking to build a side income of RM3,000 to RM4,000 per month and are ready to put in 10 hours a week, that’s possible. This has to be followed up with proper guidance for our new partners. Having been in this industry for a while day-in day-out, we tend to take a lot of things for granted, for example, expecting someone to know how to do our business. I have learnt to provide the proper training and mentorship in this case.”

It is also important to have a reliable business partner who constantly reengineers the product that definitely helps. Fitline products are always getting better, thanks to their business partners in Germany.

“Locally, we stay relevant by continuously increasing our brand awareness and empowering our partners and teams. We take advantage of social media platforms and various other available technology to make things easier for team and our partners,” says Yung. He believes that staying relevant is a constant process of improvement.

Looking at what we do every day and figuring out how we can make it better.

MANAGEMENT STYLE

Yung’s main responsibility is to constantly empower his team and bring in the best people to support them. “Our customers deserve the best service and support we can deliver, that includes logistics, finance and sales support. I can’t do it all, so I’m constantly on the lookout for the very best people I can add to the team and empower them to shine.

I believe that having an awesome team and culture is key to amazing results, and keeping the morale high and team focused is my responsibility,” says Yung.

He adds, “It is my responsibility to

ensure that the cash flow is strong and growing and that the business is sustainable. Keeping the team focused and setting a clear vision to ensure a common goal is part of the job too. To sum it up, I believe in treating the team and our partners like family. Having a strong support system, and nurturing the team as best I can is the excellence that I strive for.”

ADVICE FOR UPCOMING ENTREPRENEURS

Being an entrepreneur is hard work.

Sure, from the outside it looks good and feels good to be categorized as a business owner or entrepreneur.

However, behind the scenes there’s hard work and personal sacrifice involved.

“Missing birthdays and celebrations will become the new normal as it takes time to build something meaningful. If you do decide to venture on your own, stay focused on what you’re good at and what you believe in. There will always be the next big thing and money-making venture, each looking better than the next. Stay true to what you do and give

it your best every day and your time will come,” says Yung.

Many entrepreneurs say that being an entrepreneur is lonely business but Yung don’t think it has to be. “Maybe sometime we are so caught up with us not being enough that we do not have the courage to share our value with other entrepreneurs or friends. You are enough, so share your value proposition, reach out and you never know what opportunities could be right around the corner,” says Yung.

FUTURE PLANS

Yung shares that they plan to increase our sales significantly, last year we enjoyed a growth of almost 50%.

“Recently we were awarded of the best halal healthcare supplement, so we will be looking to venture into this huge market segment and are looking for Bumiputera entrepreneurs and partners to expand our business and really make a huge impact from there. Finally, we are looking to open up the east coast market which is still a virgin market for us,” Yung concludes.

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CELEBRITY ENTREPRENEUR CORNER

Who better a celebrity than Datuk Zang Toi to feature for Entrepreneur Insight’s Celebrity Corner to kickstart 2018 in style? Here’s an exclusive peek into this Entrepreneur’s swanky bachelor pad in the Big Apple.

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Jan 2018

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CELEBRITY ENTREPRENEUR CORNER

OPEN FOR BUSINESS: FIRST STORE ON LEXINGTON AVENUE

In the last quarter of last year, the savvy Entrepreneur achieved a milestone of sorts for himself as he unveiled what he terms as “a jewel box of a Zang Toi Boutique on 1046 Lexington Avenue.”

Likening his maiden store on Lexington Avenue to a priceless gem, the historic event marked the first time he will operate from his own store after 28 years of being in the fashion industry in New York.

No mean feat, his maiden first store here that was unveiled on Sept 13, 2017 also pays homage to his impeccable taste.

The precious 800 sq ft unit decked with

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marble floors, floor-to-ceiling mirrors is complemented by crystal chandeliers and an oversized French mahogany table that has been refinished with pristine white lacquer.

“My office and atelier is on 18 East 48 Street across from the famed Rockefeller Center, and 1046 Lexington Avenue. The boutique is decorated in all white with silver trims, and House of Toi mirrors and crystal chandeliers and white marble floors,” he says in his characteristic glamorous style, living the life that he has tailored for himself right to the last perfect tee.

Dispensing advice to budding

Entrepreneurs, he urges them to work hard as he himself slogged and worked till the wee hours of the morning while his peers partied on.

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PERSONALITY OF THE MONTH

DESIGNING DREAMS Malaysian Zachary Haris Ong who was appointed The International Council of Design (ico-D) President last October is the first ASEAN candidate to hold the President post in the international design body’s history

BY YVONNE YOONG

M

aking history as the first Malaysian to become President of the International Council of Design (ico-D) for the 2017 – 2019 term, Zachary Haris Ong is certainly not your regular guy next door. Already, he has trail-blazed a string of design achievements that others can only look upon with envy. After all, Zachary – who was formerly President of the Graphic Design Association of Malaysia (wREGA) – is the first Association of Southeast Asian Nations (ASEAN) candidate to be elevated to the Council’s highest post in the body’s five-decade history.

In his current position as President, Zachary works alongside 10 ico-D Board Members from around the world. As an organisation dedicated to promoting the design agenda on a global scale, ico-D sees the culmination of a complex showcase of diverse expertise in the world of design spanning professional, educational and promotional organisations coming together for a common design goal.

The design agenda is huge explains Zachary, as design encompasses a multitude of industries and affects everyone on a macro as well as micro scale.

“I was President of the Graphic Design Association of Malaysia (wREGA) for four years - from 2012 to 2016. Incidentally, wREGA is a member of ico-D since 2001 and I had the privilege of working closely with ico-D for an international design week in Sarawak in 2012,” he relates.

“I managed to get in this position thanks to recommendations from my peers, namely former ico-D Vice President William Harald-Wong and former ico-D President Russell Kennedy.

I met William at wREGA and spoke to Russell during the ico-D Design Week in

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“

We believe the power of visual communication design has a direct impact on the bottom line of your corporation” - Zachary Haris Ong

Sarawak,” adds Zachary.

Having been appointed as President, he has dreams of taking design to the next level not only here on homeground but also internationally.

“As an organisation, ico-D is positioned to empower its members to have a singular design voice to act and behave in ways that would benefit designers, the design industry, Governments countries and the world,” explains this successful Entrepreneur and Principal Designer who graduated with a Bachelor of Arts in Design from Curtin University of Technology Australia.

In fact, Zachary believes that his role as President will assist Malaysia in not only elevating its design standards here but international exposure he believes will serve to open opportunities for fresh and exciting new collaborations.

Already, ico-D, belonging to a steering committee that is responsible for the signing of the historic Montreal Design Declaration, is committed to the design cause.

He explains that this declaration comprises a set of suggested projects to be mooted that would propel the betterment of design.

MONTRÉAL DESIGN DECLARATION

The Montréal Design Declaration issued at the 2017 Montréal World Design Summit on 24 October marked the first Design Summit Meeting (DSM) which highlighted the first international convening of the design community across a broad range of design disciplines culminating in a strong array of international organisations, with cultural, economic, environmental and social perspectives.

In short, Zachary says the design

organisation which represents designers globally is also linked to international bodies such as Governmental, private and civil sectors as well as NonGovernmental Organisations (NGO) worldwide. All these stakeholders he adds have a shared view of the crucial role design plays hence, the great responsibility held by designers to affirm and promote the fundamental role of design in creating and shaping the world we live in for now and in the future.

The international representatives constitute but are not confined to professional designers, architects, urban planners, landscape architects and other design-related disciplines and cover diverse areas including the public, private and civil sectors of society which are impacted by design.

“Rounding up a from a period of improved connectedness between Members and wider spheres, the recent signing of the Montréal Design Declaration marks a special era of empowerment for design. The value of design and its calls to action have been put down in words for everyone to read, digest and respond to, and this is a potent step forward,” he affirms.

“Hence, ico-D will continue to play a role in reporting on outcomes from the Declaration, ultimately calling on the leadership of Members to assist in the concrete actions and projects it has proposed, with the aim to focus on capacity and effort,” adds Zachary.

Commenting on a more immediate level with regards to the Council, he proposes objectives that include amplifying efforts that generate value to its Members through regional platforms and special meetings worldwide while expanding resources through partnerships and sponsorships.

Zachary adds that he also wants to expand ico-D’s role as a voice for the international design community across different disciplines by speaking more clearly to outside stakeholders while strengthening membership expansion in all regions worldwide.

“While the goal is to expand reach and invite new voices to participate through membership, the Council will also

focus on research and topics generated in the past term namely; the Chengdu Education Project, Lifelong Learning initiatives, Start Young – an initiative of World Design Day, National Design Policy and Indigenous Design research and support, while also generating ample resources for future projects,” he concludes.

Zachary reckons these are exciting times – with design setting the stage for a time of exciting dialogue and connection among Members with “many new voices joining in” even as ico-D is being repositioned as a multidisciplinary organisation.

“Giving a voice to Members through the Regional and Platform meetings has become increasingly successful over the past years, with our next regional meeting scheduled for Malaysia in February and the next Platform Meeting and Annual General Meeting to be held in Beijing in September.”

He adds that while the Beijing meeting will bring people together to discuss current realities and issues in design and will incorporate an ico-D Special Meeting, the first of which was recently held in Montreal, this will extend the Council’s outreach to include Design Weeks, Cities and Museums.

“By widening the network for more regular, in-person sessions, we now hear from lesser-known regions, gain insight into the relationships between many design disciplines, and open the conversation to include all new stakeholders from a range of non-design fields and sectors.

“Finally, finding better ways to communicate to Members and beyond – to the industry, government and the general public is essential. This will help to strengthen ico-D’s role as a Design Ambassador speaking on behalf of designers worldwide,” he sums.

POWERED BY DESIGN

Adding to his bucket list of achievements, Zachary also runs his own design firm – Zachary Haris Ong & Associates (ZHOA), of which he is the Principal.

A quick snapshot of the projects he has undertaken under his firm include

Zachary Haris Ong giving a walkthrough to Prime Minister Datuk Seri Najib Tun Razak at the Malaysia Design Archive “As We See It” design exhibition for “Reka Negaraku”

having worked with the Prime Minister’s Office and with blue-chip clients such as Sime Darby and its related Corporate Social Responsibility arm in Yayasan Sime Darby.

Then, there are illustrious projects that his firm can count as among its achievements including Khazanah’s collaboration with Think City and the Northern Corridor Implementation Authority, to name a few.

“We’ve won a slew of accolades and awards for our work that includes the design and development of Malaysia’s website – www.malaysia.my with the Prime Minister’s Office,” says Zachary who was also a recipient of the 100 Most Influential Young Entrepreneurs (MIYE) award 2017 organised by Entrepreneur Insight.

And no wonder. Zachary has been practising in the industry for 14 years and has been working on his own since 2008 – which is exactly a decade long to successful effect.

The secret to the firm’s fruitful success could perhaps be attributed to the power of visual communication design which his firm emphasises on which he says has a direct impact on the bottom line of one’s corporation. After all, he rationalises that today, design has become one of the main agendas for businesses, enterprises and Governments. Hence, Zachary stresses on the importance of empowering corporations to meet objectives with sound research, strategy and design.

“Our decades of work with our clients begin with clarity of intent and

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PERSONALITY OF THE MONTH

objectives ranging from the simple to the most complex assignments,” he shares elaborating on how the firm arrives at its fine-tuned tailormade solutions that are entirely unique for each client. This covers its design strategy be it for its print or identity design platform that utilises a Future-Based Design Methodology© to ensure inspiring and effective outcomes.

“In essence, our work with clients are essentially an exercise of pure collaboration, co-developing and codesigning first-class work. We commit ourselves to only producing work that we deem phenomenal,” he enthuses.

His cutting edge also lies with the fact that he is passionate and committed in transforming the design industry to impact Malaysia’s Gross Domestic Product (GDP). The firm advises and collaborates with Government agencies to chart and spearhead the national design directive and is also familiar with co-creating multiple design conferences, workshops and seminars to empower design students, businesses and professionals with new and cutting-edge domains of design knowledge.

Zachary was also instrumental in assembling the first coalition of all design-related associations united under the Malaysia Design Council with the purpose of creating what he terms “a new future for the design industry of Malaysia”.

This encompasses major design fields in Malaysia namely encompassing architecture, interior design, graphic design, industrial design, fashion design, advertising and invention design.

And yet at 36, Zachary is unfazed by his achievements although some may see his selection as President of ico-D as paving the way for the recognition of Malaysian talent by the international design community.

Perhaps the fruits of his efforts are beginning to pay off. As far back as six years ago, Zachary also led the Rediscovery: ico-D Design Week in Sarawak 2012.

He was awarded with the Young Achiever Award for Prestige Magazine’s Top 40 Movers and Shakers of Malaysia Under 40 for his work in transforming the design industry in Malaysia. He

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On October 16, 2017, candidates of the 2017-2019 Executive Board presented their vision to 49 Members from 18 countries as well as to attendees at the 27th General Election in Montréal, Canada

was also nominated for the 7 Bintang Lifetime Achievement Award 2011 which represents Malaysia’s Independent Creative Excellence Awards that was initiated to recognise, reward and acknowledge young Malaysian creative individuals. This is the first ever awards designed to be independent – and at liberty to be adopted by associations, companies or organisations with the objective of providing recognition towards deserving creative works and ideas.

Having pursued design at LimKokWing University locally and thereafter, his further education in Curtin University, Australia, Zachary, whose presidency has just begun, is looking forward to the ico-D Board Meeting in February.

He fervently believes in the power of design in elevating people’s lives.

“Design is everywhere, Look around us. Every object we see, every magazine we flip and even the cup we use have all been designed. Even our experience in visiting a hospital revolves around design.

Imagine, if every object or service we encounter in our lives are well-designed, this increases the well-being of our lives,” he mentions.

A far and not so far cry indeed from his initial childhood years where his love for pencilling comics from reading and collecting Marvel comics hinted at what was to become his career. He remains grateful to his parents for supporting his interest and recommending him to take up graphic design as a career.

Having been practising in the industry for some 14 years now and venturing out on his own since 2008, the sky’s indeed the limit for this soft-spoken Entrepreneur on a design mission to change the world.

CANDID TAKES WITH ZACHARY HARIS ONG, PRESIDENT OF THE INTERNATIONAL COUNCIL OF DESIGN (ICO-D)

With position, comes responsibility.

Entrepreneur Insight captures special insights from current President of the International Council of Design (ico-D) Zachary Haris Ong on his future plans for the association and for elevating the status of design in Malaysia.

Share with us about ico-D and its objectives Formerly known as the International Council of Communication Design (Icograda), it was formerly an initialism for the International Council of Graphic Design Associations. The body is a nonprofit, non-partisan organisation and member-based network of independent organisations and stakeholders working within the multidisciplinary scope of the world’s design industry. Covering five international regions – Asia, ASEAN, Europe, Latin America and North America, its members include professional design organisations, design-promotion bodies, design media, design education institutions and individuals with a vested interest in professional design.

Was it difficult for you to settle in your role as ico-D President for the term spanning 2017 – 2019?

To be chosen as a representative for such a prodigious regional body is a tremendous responsibility, and it is a task that I know can be tackled effectively, thanks to the passion and vigour of the Council’s Board and Members. Being on

the Board in the past two years under the leadership of outgoing President David Grossman permitted me to learn and familiarise myself with the organisation, so there was no issue for me to lead with confidence.

Since this is the first time ever a President from Malaysia has taken over the helm of ico-D, what do you intend to set in place that will help to elevate the level of design here and overseas?

Hailing from Malaysia which is a developing country provides me with a unique outlook which I look forward to sharing at the next Board meeting.

This elevation is for me, a great honour, both personally and as a Malaysian.

ASEAN has a population of 622 million people, or roughly 8.8% of the world’s population. Its combined nominal Gross Domestic Product (GDP) is estimated to be USD2.57 trillion (RM10.87 trillion), and the ASEAN + 3 bloc which includes China, Japan and the Republic of Korea makes up 24.8% of world trade - totalling some USD9.44 trillion (RM39.93 trillion).

Share with us how you have contributed to ico-D initiatives since your involvement with them The 12 cities worldwide that I had the privilege to visit in 2016 are by and large ico-D responsibilities. These included attending Board Meetings with fellow ico-D Board Members, giving keynote talks as well as providing support and endorsements to our Members worldwide. For example, in the last two years, I had the privilege of being a juror for the world’s largest design competition known as the Taiwan International Student Design Competition that boasts almost 18,000 entries worldwide. This is a glimpse of the power of design and its rising importance in Asia.

Is Malaysia lagging behind in terms of design? How do we improve this situation and elevate design to the next level?

A real, concerted effort by the government needs to take place amongst professionals, educators and the industry.

The World Design Summit held in Montréal in October 2017 witnessed 18 international organisations including UNESCO, UN Environment and UN Habitat among others, signing the historic Montréal Design Declaration

How does ico-D intend to empower its Members in order t o form a unified voice to elevate the standards of design higher globally?

As an association, ico-D is positioned to empower its Members to have a singular voice of design to act and behave in ways that would benefit the designers, the design industries, Governments, countries and the world. ico-D is in a steering committee which is responsible for the signing of the historic Montreal Design Declaration. This Declaration consists of a set of suggested projects that would move towards the betterment of design.

Who is your role model?

I admire Dato’ Johan Ariff’s body of work since he started design in Malaysia since the 1970s. His first original work for Petronas and Malaysia Airlines are quintessential good design prior to computer and internet days. I also admire William Harald-Wong’s work in infusing culture and design. Both are very good at their respective perspectives, and what I intend to bring is a betterment of design for the industry for all.

What in your opinion constitutes good design?

This depends largely on the context.

Should it be design for businesses, good design fundamentally impact business profits whereas good design for Government, relies on the aspect of the ease of consumption of information to its citizens. To put it simply, good design is simple in its solution but addresses and maximises benefits for its users.

Your memorable moment in your design journey?

I had the honour to represent Malaysia Design Archive in giving a curated walk through for Prime Minister Datuk Seri Najib Tun Razak at Balai Seni Negara for Reka Negaraku which is a national campaign aimed at instilling national pride from our already existing strength in design. Also present at the exhibition organised by the Malaysia Design Archive were Minister of Tourism and Culture Dato’ Seri Mohamed Nazri Abdul Aziz, Education Minister Dato’ Seri Mahdzir Khalid, Minister of Communications and Multimedia Dato’ Seri Salleh Said Keruak, National Art Gallery Chairman Dato’ Sri Farid Ridzuan and its DirectorGeneral Dato Dr.. Mohamed Najib Ahmad Dawa. Reka Negaraku “As We See It” was an exhibition of Malaysian visual heritage during the periods of colonialism, Japanese occupation, emergency and independence.

How did news of you being elected escape publicity all this while?

I assume that the appreciation of design is much to be desired at the moment. We will see that the work that we do at ico-D and wREGA shall continue to highlight the importance of design for the country.

Your advice to budding Entrepreneurs especially those who intend to set up their design firms?

My advice is to begin honing your skills as a designer – from thinking, strategising and execution. To give yourself an edge above other designers, imbue your work with your passion. This will certainly lift yourself to greater heights.

Jan 2018

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ENTERPRISE OF THE MONTH

TANAMERA - A THRIVING EXQUISITE BRAND Tanamera Malaysia Co-founder Mohamad Faisal Ahmad Fadzil inspires his entrepreneurial journey championing health-conscious beauty products for a healthier lifestyle

BY MAGES PV LINGAM

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Jan 2018

T

anamera, literally meaning Red Earth, proudly carries the Malaysian trademark and,is a much sought-after and desired brand abroad.

Now being embraced by the locals for its natural cum eco-friendly quality that draws inspiration from traditional Asian treatments complemented by tropical herbs and essences.

Tanamera Malaysia co-founder Mohamad Faisal Ahmad Fadzil, together with two of his siblings Faridah who was in the United States and Fauziah who was in Indonesia, collaborated in 1995 to help their highly-enterprising mother to develop a traditional and tropical beauty-line. Faisal dreamt of becoming a chef but he fell in love with herbal formulations, roots, flowers, natural ingredients, essences and mixtures instead to produce near-perfect headto-toe beauty and health products.

“My father was in the army when I was young. Hence, we travelled extensively and my siblings and I didn’t have the opportunity to live at one place long enough. Despite the uncommon upbringing, I have to say that my positive views and thoughts were solidly shaped while I was studying at St Michael’s Institution in Ipoh, Perak, thanks to the wonderful educators there,” said Faisal.

Now, Faisal gives talks in varsities and health centres focusing on products people use every day and the importance of continuously using the best healthy and nature-based ingredients which are harmless. One of his popular workshops, “Dangerous Beauty” at the Kuala Lumpur Eco Film Festival (KLEFF), has drawn attention from the public on the extreme chemical exposures like mercury and petroleum.

“If the user stops using mercurybased products suddenly, the skin would experience horrible breakouts.

Continuous usage for a prolonged period of time for the sake of beauty can cause

the internal DNA structure to be harmed and eventually be destroyed,” explained Faisal.

BUSINESS MODEL

Tanamera has over 20 retail outlets, lifestyle boutiques, and spas. It has also won accolades and received international recognition from organisations like the Good Design Award by Japan Industrial Design Promotion Organisation (JIDPO).

The traditional Malay spa treatment

techniques were introduced to countries such as Germany, Denmark, Spain, United States of America, Russia, Poland and many more.

“Our primary focus has always been on our product development and the details. We customise the products according to the clients’ preferences for instance Amway or Cosway, with a comparatively price difference,” shared Faisal. Tanamera’s speciality has always been the practice of using natural

Jan 2018

27

ENTERPRISE OF THE MONTH

remedies, eco-friendly products and packaging, focused on traditional Asian treatments and the healing power of tropical herbs and essences.

Though the ‘jamu’ or traditional herb business started at their mother’s backyard in 1995, they have now moved to a bigger factory located in Kuala Selangor in 1998 to fulfil the local Good Manufacturing Practice (GMP) practice standards. It can now accommodate more than 50 workers at the factory with 40 staff manning the marketing team locally and abroad. Being a pioneer in Malaysia, Tanamera has adopted the eco and animal-friendly concept throughout the years encompassing a premium quality using 100% plantbased products.

Products like Black Rice Face Mask, Sengkuang Facial Scrub, Basil Massage Oil, and Green Coffee Massage Oil are some of Tanamera’s popular items.

The products have natural colourings from natural ingredients. According to Faisal, it is common for products to be slightly different as the colour of the same product varies always according to the natural ingredients too. Tanamera’s postnatal care sets, designed according to traditional Malay after-birth therapies,

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Jan 2018

are in popular demand from Japan and Vietnam now.

CHALLENGES REVIVED

Tanamera is now thriving in 14 countries with its maiden outlet recently opened in Germany.. However, the products were not recognisable or accepted by the locals. “So, initially, our problem was to convince fellow Malaysians on the product viability. The locals assumed that if it is locally made therefore it lacks quality. Essentially, as time passes, more people began to accept and recognise Tanamera,” asserts Faisal.

The level of confidence slowly increased with focus on the premium quality rather than the price tag, being a full plant-based product. “We refused to compromise on our natural ingredients, our philosophy is to remain original and loyal in our delivery,” adds Faisal.

Faisal added that the SME Corporation Malaysia and Malaysia External Trade Development Corporation (MATRADE) has been the company’s supporting arm and the company occasionally received grants for expansion exercises over the years. “Now, with investments from some funders we managed to expand in

“

We refuse to compromise on our natural ingredients, our philosophy is to remain original and loyal in our delivery” - Mohamad Faisal Ahmad Fadzil

our outlets too. The recent launching of our flagship store, Tanamera Beauty and Wellness at the Starling Mall in Petaling Jaya have seen the height of success in the beauty industry,” shared Faisal.

Faisal gets even more motivated and is filled with passion for the business.

Through monetary investments and hard work, it has finally paid off as he shares that more good things could be accomplished. For instance, Tanamera is able to share the Made in Malaysia legacy on home ground and on international platform too to encourage a wider acceptance of a locally-produced brand everywhere.

Feature

BITCOIN AND THE BLOCKCHAIN:

REVAMPING CURRENT BUSINESS MODELS

Bitcoin is the first to introduce blockchain which is slowly changing traditional businesses

BY FELICIA SOON

Jan 2018

29

Feature

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Jan 2018

Jan 2018

31

CORPORATE INSIGHT

RIDING A HIGHER LEVEL WITH ELECTRIC VEHICLES (EV) Cervello Tres Executive Director Mohd Azreen Zainudin shares on his company’s take on electric vehicles in Malaysia and further.

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Jan 2018

Entrepreneur Insight had an inspiring conversation with Cervello Tres Business Development and Risk Management Executive Director Mohd Azreen Zainudin at his corporate office in Shah Alam. Azreen was attached with Syarikat Takaful Malaysia Berhad before he decided to give it a quit and be an entrepreneur.

Azreen has never looked back since as he was driven by the independence that is associated with entrepreneurship and began initiating the business as he found that issues in the oil and gas industry have created a situation for them to capitalise.

The idea to capitalise on it was also spurred towards end of 2015 by his two other partners, Chief Executive Officer Azrul Helmy Hafiz and Chief Financial Officer Mohamed Hazreen Johari. Significantly, the name Cervello Tres derives from Spanish and Italian meaning Three Minds.

These men are passionate in noncliché ideas or common everyday products or services and they to dwell in something that would help to solve issues at hand and this has proven to be beneficial, recently winning the Entrepreneur Insight’s The 100 Most Influential Entrepreneur award. Azreen who was attached to Syarikat Takaful Malaysia Berhad left the company in 2015 and began initiating Cervello Tres.

ABOUT CERVELLO TRES

“We spent long hours together after our day jobs, toying with the decision to start a company where entrepreneurs are their own bosses, and no one dictates how and when they carry out their

activities. Another driving force that motivated us to become an entrepreneur is the monetary benefits that come along with being entrepreneurship to let our plans materialise faster,” says Azreen.

Azreen and partners continuously did market and product feasibility studies to strengthen their goals and niche market that is to introduce the service to its customers. There was a need for customers to develop a sense of trust towards a service that they had never sampled. The other goal was to leverage emotions and to boost consumer confidence.

Now, Cervello Tres is the leading distributor and producer of the Personal Electric Vehicle (PEV) name Velocifero (Italy), operating in Malaysia, Singapore, Brunei and Saudi Arabia. Seen as a purveyor of hobbies for adults, this PEV is exclusively designed by Alessandro Tartarini who also designed the powerful Formula and Dragster sports scooters and Mobility Adventure Design (MAD), the latest the high-tech vehicles.

THE STRATEGIES AHEAD

The Malaysian Investment Development Authority (MIDA), being the government’s principal agency to oversee and drive investment into the manufacturing and services sectors in Malaysia, has taken these powered by electric energy PEV as a case study and has set up a committee on road regulations as well as Scientific and Industrial Research Institute of Malaysia (SIRIM) and the Road Transport Department Malaysia(JPJ).

“We are waiting to move forward and to be recognised as pioneers, while trying to establish the sales and marketing

Jan 2018

33

CORPORATE INSIGHT

“

We are waiting to move forward and to be recognised as pioneers, while trying to establish our sales and marketing plans, producing spare parts and seeing as a future transportation choice, essentially penetrating a zeroemission vehicle to the masses” - Mohd Azreen Zainudin

plans, producing spare parts and to be seen as a future transportation choice essentially penetrating a zero-emission vehicle to the masses,” adds Azreen.

TRACK ON CHALLENGES

Like many other new ventures, Cervello Tres has its fair share of challenges too.

Being a newbie, upholding to their motto ‘Family-Heart-Trust’, the company has neither existing information nor modules on the product, designs, engineering, even sales or marketing. Therefore, it was self-education and due diligence to spread the word on the products until it reaches the height of success not only in the local but international business arena too.

Singapore is very matured with PEV’s and had gone a mile ahead with their marketing strategies and has widely accepted off-road transportation besides global brands like Mahindra (India), Honda (Japan) or Tesla (USA). It is considered a premium lifestyle hobby, so we waited for six months to see if the PEV is stable in our market and is not predicted as seasonal instead,” says

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Azreen.

One of their marketing strategies is to maintain their price even during the sales period. Due to quality control, Cervello Tres has also decided to have local partners who are able to assemble the major parts for the products too.

Due to this, the company is also keen to establish themselves in the international market via the Malaysia External Trade Development Corporation (MATRADE).

SOARING HIGHER

“I have no particular mentor, but I owe my gratitude to my parents. My dad has insisted on practising integrity in life and my mother to apply emphatic and listening abilities. Though, my ex-boss has given encouragement and motivated me to push myself to attain success,” asserts Azreen.

“We do not only sell the bike, but we sell the lifestyle too. Our target is to let the millennials to get motivated with the business ecosystem ie the sales and marketing pitch. We also would like the buyers to see and feel the products. We encourage potential buyers to try our

products, for instance the handy MAD series which could go up to 45km/h with the distance of 40km range despite its small design.

Cervello Tres has its five-year business plan drawn out. It started with branding and licensing programmes in 2016.

Moving on, it launched its e-Circuit and the Cervello Tres Motors Manufacturing and Assembly Plant. In the next three years, the company has plans to open CT Moto Green Technology Institute and to further diversify business such as going into the property industry and more.

“We have also worked with local varsities like Technical University of Malaysia Malacca (UTEM) for their knowledge and we are establishing connections with Universiti Utara Malaysia (UUM) and Universiti Teknologi MARA (UiTM) for the design and more,” says Azreen.

With all these in line with their plans, Cervello Tres would be confidently riding on a higher ground for success and innovation in the electric-powered vehicle industry.

13-14 JAN 2018 /MVEC 10am -7pm

For booth & sponsorships enquiries:

marketing@entrepreneurinsight.com.my 012 378 8683 / www.klihe.my

Presented by

Strategy

WHY DOES EVERYONE NEED FINANCIAL PLANNING? ABOUT PERSONAL FINANCIAL PLANNING

WHAT DO YOU DO WHEN YOU WANT TO GO SOMEWHERE? You would probably ask yourself the following questions: • • •

What is the best way to go there?

Will there be traffic jams?

Is it better to take the Light Rail Transit (LRT) or bus?

• Should someone drive me there instead?

Evaluate the options available to you.

Ask yourself questions about what you need to do and then make your decision.

These are the steps involved in the planning process. Planning can be for the short, medium or long-term.

It is the same in personal financial planning, except that the time frame is over a longer period. Ideally, you should be looking as far ahead as your retirement years. Personal financial planning involves asking questions about your future, dreams and goals. It is thinking about what you want to do in your life such as getting married, buying a car or a house, having children and planning for their education.

To achieve your life’s dreams and goals, you need to plan from the financial aspect. In personal financial planning, you need to look at how you will be budgeting, saving and spending your money over time.

STEPS IN PERSONAL FINANCIAL PLANNING

THERE ARE FIVE STEPS IN FINANCIAL PLANNING: 1. Assessing where you are now in financial terms 2. Setting goals 3. Creating a financial plan 4. Implementing the plan 5. Monitoring and reassessing

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BENEFITS OF PERSONAL FINANCIAL PLANNING

Many people think that financial planning is a hassle and that it stops them from doing fun things. If you consistently live on a budget, surely you would have to sacrifice some fun activities now, wouldn’t you? Think about it. If you have to save, you can always budget your spare cash in such a way that you will have some money to go out with friends and have a good time.

If you set a good financial planning habit, you can always have more fun in the future!

With a personal financial plan, you will: • Have more control over your financial affairs and be able to avoid excessive spending, unmanageable debts, bankruptcy or dependence on others.

• Have better personal relationships with people around you such as your family, friends and colleagues because you are happy with your life and not borrowing any money to make ends meet or expecting handouts from others.

• Have a sense of freedom from financial worries because you have planned for the future, anticipated your expenses and achieved your personal goals in life.

• Be more effective in obtaining, using and protecting your financial resources throughout your lifetime, not only for yourself but also for the people you love.

With a good personal financial plan, you will be more informed about your future needs and the resources that you have. You will also have peace of mind knowing that your financial situation is in control.

LIFE STAGES AND FINANCIAL GOALS

In your adult life, you will go through various stages - from starting a career to retiring, from being single to getting married, having children and sometimes, being single again.

At various phases in your life, you will have different priorities, responsibilities and financial goals.

Each stage of your life presents different investment opportunities and challenges. Discipline and perseverance play key roles in maintaining a reliable

financial strategy. As your life changes, so will your needs and goals. Sound financial planning can prepare you to meet them successfully.

When you are in your 20s, you will be looking at money and spending it differently from when you get into your 50s. For example, when you are single, you would probably want to have enough money to make a down payment for a car or go on a holiday with your friends. After you get married, you may want to buy a house. Later, when you have children, you would want to plan for their education and maybe even start a retirement fund.

You have to adjust your financial priorities to meet various needs at different points of your life. Therefore, how you spend your money as you go through your adult life depends on your financial goals. We will be looking at how you can achieve your financial goals in the following chapters of this book.

Nevertheless, it is worthwhile to point out here that in order to achieve your financial goals, you need to save enough money!

UNDERSTANDING THE VALUE OF MONEY

TIME VALUE OF MONEY Imagine that you are offered a sum of money and asked to choose whether you want the money now or one year later. It is reflect on whatRM1 could buy in the 1990s, what it can buy today and what it would be able to buy in the future. Then, you can decide whether to spend the money now or later.

You can easily see that it would surely be better to have the money now. Instinctively, you would know that the money you have now, i.e. at the present time, is worth more than the same amount in the future. This is a key principle of economics which states that as long as money can earn interest, any amount of money is worth more the sooner it is received. This concept illustrates the time value of money, also known as present discounted value.

Now, let us understand this idea. If you were to deposit money into an interest bearing savings account at a 5% interest rate, RM1,000 saved today will be worth RM1,050 in one year (RM1,000 x 1.05).

Here, multiplication is used when the ringgit amount is deposited in an interest

bearing account. This is because from now to a given time in the future, this amount would continually yield interest.

On the other hand, RM1,000 received one year from now is only worth RM952.38 today (RM1,000 divided by 1.05). Division is used to represent the losses that arise during the period that the amount of RM1 is not in an interest bearing account. It is that simple! From this illustration you can observe that money has a time value. All things being equal, the present value of money is greater than the value of the same amount of money at any given time in the future.

About The Contributor

THE POWER OF COMPOUND INTEREST

How important is it to begin putting aside money for savings right now, instead of sometime later?

To quote an example: Ahmad, Siti and Zainal consistently invest the same amount of money, i.e. RM3,000 per year for 10 years, which earn the same interest return of 5% per annum. Moreover they start investing at different ages - Ahmad at 18, Siti at 28 and Zainal at 38.

When all three retire at 60, Ahmad will have more money than Siti and Zainal. He will have RM198,228.14, whereas Siti will have RM121,694.88 and Zainal will have RM74,710.10 as shown in the table below: Ahmad will have more money at age 60 compared to Siti and Zainal although each of them invested RM30,000.

IMPORTANT NOTES: • Investment return will fluctuate over the years due to economic and stock market conditions. Some years may be lower than 5% per year and other years may be higher than 5% per year. Therefore, the total investment value may be more or less than the original investment amount.

• The total investment that Ahmad, Siti and Zainal will get at the age of 60 will be as stated above only if the annual investment return is consistently at 5% per year.

• The outcome in the example above is due to the effect of compound interest. It is the additional interest earned on top of the original savings amount plus the interest received.

• The power of compound interest revolves around the concept that, the earlier you start saving, the greater the interest accumulated on your original investment will be. This simply means that the more money you keep aside now, the faster you can fulfil your dreams. When is the best time to start saving? Well NOW of course!

HOW COMPOUND INTEREST WORKS – ANNUALLY AND MONTHLY

If you put RM10,000 in the bank that draws 5% interest per annum, you will have RM10,500 at the end of the year. If you leave the entire amount in the bank for another year, you will then have RM11,025. In the second year, not only will you get interest on the original investment, you will also receive interest on the interest you earned the prior year. This is called compounded interest, i.e. interest applied to interest.

Compound interest is important

​Dr D ​ esmond Chong Kok Fei ​ is a Trainer & Head of the Financial Education Department, Agensi Kaunseling & Pengurusan Kredit (AKPK). With over 25 years experience in marketing and management

to Investors who are able to leave their investments to grow over long periods.

The RM10,000 investment mentioned above, when invested for 10 years at 5% per annum, will be worth RM16,289! Can you believe that?

If the interest rate of 5% is compounded on a monthly basis, the monthly interest rate is 0.42% (5% per year divided by 12 months). If the same amount of RM10,000 is invested based on 0.42% per month and invested for 10 years, it will be worth RM16,401, which is RM112 more than if invested at a yearly rate of 5%. Therefore, you will gain more if you invest in an investment that pays interest on a monthly instead of yearly compounded basis.

Compound interest can be a doubleedged sword. It can work both to your advantage and disadvantage. It can help give you more returns on your investment as the benefit of compounded interest means you will earn more interest income the longer you keep your money invested.

In contrast, if you have a loan or credit card debt, you can end up paying more interest if these debts are calculated on a compounded interest rate. If you delay your loan or credit card repayment for a longer time, you will be charged more interest, eventually making it increasingly difficult for you to settle your loan or credit card debt.

Jan 2018

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Strategy

WHAT ENTREPRENEURS AND LEADERS CAN LEARN FROM STEVE WOZNIAK

let money or fame dilute your dream of achieving your true joy in life. So, a key question for us to ask ourselves is this:Are you building “cool stuff” and are you doing it because of the joy it brings you?

Or, are you building for fame or fortune?

A

month ago, I spoke at the World Islamic Economic Forum (WIEF).

Also speaking at the same forum was the Co-Founder of Apple Computers, Steve Wozniak. Nicknamed “Woz” or the “original geek”, he not only was Steve Job’s partner in establishing Apple, Wozniak is also the Inventor of the Apple II computer (last human being to invent a full computer), which helped propel Apple to greatness. Not only did he help shape the entire early computing industry, Wozniak is also a philanthropist who has given away a huge part of his fortune to others.

Wozniak is a “true geek” in every sense of the word. He has never created or invented “stuff” to become rich and famous but has simply wanted to “make cool stuff” which is his motivation.

Much can be learned from the simple joy he obtains toiling day and night just to create “cool stuff”.

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Many Inventors and business leaders today work tirelessly so that they can become rich and famous. They aspire to get some awesome products or services out the door and exit within three years, making billions in the process. Wozniak, on the other hand, is a true engineer and geek – he just loves building.

As I listened to Wozniak, a realisation dawned on me that success is not about money or fame, but about doing things you love to do. Wozniak, who is estimated to be worth about USD100 million (RM406 million), could have been much richer had he wanted to pursue riches.

But, his joy was in seeing products being created.

In fact, he gave away much of his fortune because he felt that it is the right thing to do. I think that is the starting point of leadership – to be clear about what your mission or purpose is and to keep working tirelessly at it. Never

THE ‘H’ EQUATION Wozniak shared his ‘H’ equation or his happiness quotient. To him, money is not the key to happiness. It is much more than that. According to Wozniak, “Being happy is better than being accomplished.

And, being happy means feeling good.”

To him, happiness is simple. His formula is: H = S – F (Happiness = Smiles – Frowns) So, find ways to smile more and frown less. Another H equation he occasionally quotes is that H = F3 (Happiness = Food, Friends + Fun).

As Entrepreneurs, many of us get stressed about many things including how to keep our organisations afloat besides numerous operational challenges and issues. Wozniak’s advice is to simply find more occasions to smile to negate the frowns. Food, friends and fun help in this regard, he opines.

As one grows one’s business, don’t forget to take time to eat well as well as spend time fellowshipping with close friends and family besides always have fun, whatever you do.

Keep the smiles going to negate the frowns that are part and parcel of life as business Entrepreneurs and leaders.

FINISH WHAT YOU START One piece of advice Wozniak strutted was to “always finish what you start”.

Wozniak launched Apple, having not

finished college. Only ten years later did he manage to go back to the University of Berkeley, the US to finish his final year of studies and graduate.

The same piece of advice is what he offers to Entrepreneurs.

“Whenever you start something - big or small - keep working at it until it is finished. If it doesn’t work, move on. But, never leave it as an unfinished product and wonder ‘What if’ later,” he shares.

As I reflected on my own life, I realised that the key to my various successes were about completing the final 10 per cent. Many times, we take on projects and assignments and we get excited initially. We rush to finish 60 per cent to 70 per cent - sometimes even up to 90 per cent of the work. But, the final 10 per cent is always the hardest.

And because it is the toughest, we focus on other easier “side” projects that offer us the joy of progress. And again, we hit the 90 per cent mark and struggle. Finishing that final 10 per cent is the key to success and achievement. It is tough to do, but always finishing what you started holds the key to many of our successes. If not, we will be saddled with many projects and no success to show for it.

FOCUS ON WHAT YOU LOVE AND DO IT Wozniak loves being an Engineer. To him, he didn’t want to be the Chief Exeutive Officer or be rich or at the forefront.

Instead, he just wanted to “build stuff”.

Many times, we see highly talented technical employees and assume they want to be promoted into bigger roles and managerial positions. If someone loves what they do and thrive in it, try to figure out how to keep them doing what they love and are good at.

According to Wozniak, Engineers are the heartbeat of every company. Yet, he is practical enough to know that businesses also need thinkers, builders, marketers and makers. While Engineers think in binary and work similarly, the rest of the world doesn’t.

Therefore, it is key for each function and level of the organisation to learn to “talk” to each other so that everyone has clarity on what each should contribute.

As an Entrepreneur, one needs to always have an Engineer or a Builder in one’s founding team. One should also work hard to help everyone communicate with each other (and not in binary!).

That’s the hardest part of leadership –enabling and ensuring clarity for the organisation. Wozniak goes on to add that the best way to enable people to remain in their roles (which they love) and yet be able to grow and learn is for the CEO to constantly have “side projects for their employees.” These side projects enable employees to keep working at their own jobs where they thrive while getting the exposure needed to keep on growing and learning.

BE DISRUPTIVE One piece of advice he advocates for all business leaders is to hire someone as the Chief Disruptive Officer but to have this person report to the board (and not the CEO). This person’s role is to figure out ways to disrupt current products and services with non-traditional ones and to keep the board posted on the future. This is to ensure that the board can constantly challenge the CEO and management’s perspective and provide an alternate view of where to focus on for the future.

To him, technology is unpredictable.

No one can predict the disruption ahead. For example, Apple II was a huge disruption. And yet, the Apple of today is rather predictable.

Any boy or girl today can be a disruptive force in any industry. This was not possible a few decades ago. For disruption to happen, sometimes you need the tools to be available that are affordablly priced, and today they are so.

As such, Entrepreneurs and leaders need to always remember that as they have “disrupted” and succeeded in the past, someone else is looking to disrupt and succeed against their offerings today. Therefore, there is a need to be vigilant and be “disruptive” first.

THE POWER OF SIMPLICITY Wozniak became a designer because he loves making “cool things”. A key part of his success was in designing “stuff” with very few parts at the lowest costs.

About The Contributor

​Roshan Thiran ​ The Founder & CEO of the Leaderonomics Group is constantly learning new insights from the many people he meets.

He feels that many people today have forgotten the power of simplicity which beats complications hands down.

Thus, the best products are simple and effective. He advocates Entrepreneurs to relook their offerings to ensure they are simple and easy to use.

He says that the best products oftentimes were designed for one person. Although many companies try to design products and services for the market, the most disruptive products were designed for one person.

Elon Musk for example designed the Tesla to be a big car because he had a big family. Steve Jobs made the iPhone for himself. Ratan Tata designed the TataNano for a poor family he encountered. Products that work for you generally tend to work for others.

FINAL THOUGHTS Wozniak cautions about the upcoming future whereby Blockchain, virtual reality and augmented reality would be useful applications in the near future so one should learn how to use them. “Get to know the future today,” he advices.

A successful Entrepreneur he says has to always be aware and know what is happening in his or her surroundings.

He urges Entrepreneurs and leaders “keep disrupting” and “refreshing themselves”. “Always finish what you start and never forget to keep growing and learning. And, always remember to frown less, smile more and be happy!”

Spoken like a true champion!

Jan 2018

39

Finance

MAKE COMPOUND INTEREST A FRIEND!

W

hen it comes to wealth accumulation, there is simply an “advantage” for those who start early.

Investor A invests RM15,979 annually from ages 30 to 40 years old, while Investor B decides to wait until he’s 40 to start investing RM15,597 annually until the age of 60. Investor A would have invested a total of RM159,790 as compared to Investor B with a total of RM319,580.

Assuming an 8% annual return on investment, Investor A, who begun investing when he was 30 years old and stop investing at 40 years old, would have RM250,000 at age 40 while Investor B

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would still have zero in his investment.

When both Investor A and Investor B turn 60 years old, Investor A would have a projected fund value of about RM1,165,239; whereas Investor B would only have about RM789,729.

Both Investor A and Investor B were at the same age of 30 years old back then. Having set aside the same amount of money on a yearly basis, they invested their money into an investment instrument that provides them with the same rate of return and yet, they ended up being at a different “finishing line” when they turned 60.

Although they are fictional characters, with fictional assumption and plot, this

however, does not take away the very truth that by just delaying the starting point and procrastinating that little bit, by embracing the “I Only Live Once, Let’s Enjoy Life First” mentality, Investor B would later have to face the music and pay the price in the form of double the effort and investment capital, and collecting much lesser returns.

This means that by delaying 10 years, Investor B has actually invested two times more than Investor A but still have a substantially lower projected investment balance.

Hence, the cost of delay for Investor B is about RM535,300, or RM53,530 a year.

This is what “time” can do for us when

About The Contributor

Kevin K.M. Neoh is a licensed Financial Planner by the Securities Commissions Malaysia and Bank Negara Malaysia

we “befriend” it, and what it can do to us when we choose not to “befriend” it.

I once met up with a young guy who had just started his career a couple of years ago. When we discussed about the life goals or aspirations that he envisioned himself achieving in the not-so-distantfuture, this young chap took a long time to ponder hard about this, then looked at me and told me that he could not think of any goal that he had in mind.

Simply put, he had never thought about what he wants for himself but has been living his life with a carefree attitude, without having any idea about what kind of future he hopes to have.

Since our encounter was constrained by the limit of time, and via the simple yet effective conversation that we had, I suggested to this person that if he had not thought about any possibilities that he would aspire to accomplish in the future, perhaps he could pay some attention to what would appear to be inevitable to most of us, i.e. the day we have to retire from work.

It is better to be prepared earlier than to be sorry later, especially if a person has not thought about any life goals or things that are important and make preparation for those things.

Chances are, the surplus to cash flow or discretionary spending will tend to be out of control, since every Ringgit earned and taken home looks the same when they have not been earmarked for any purpose. It would be like everyone in an

organiation having no title or role. Then, everyone would appear to be dispensable but surely, in any organisation or team, there are key people who are critical to the overall success of the organisational goal. The same could be true for the income that we bring home.

By illustrating to the young man that there is a huge benefit for one to start saving for a long-term goal such as accumulation of retirement fund as early as possible versus the alternative potential outcome, he would be better off if he can opt to start early.

Furthermore, do you think that it is easier to start setting aside some money for the future when we are young and with minimal commitment, or when we are older and have more commitment and responsibilities (for example, family, children, and those never-ending loan repayments?)

If a person can see the clear benefits of starting early and be determined enough to implement it early, living a lifestyle that is 10% lesser (just a rhetoric for example as one should strive to save at least 10%) than the original take home income today is actually not a bad idea as over time, we will tend to get used to not having this 10% of take home pay. As a consequences to this, we tend not to have a bad habit that requires this money to support it.

Eventually, the more we save, those unnecessary or emotionally-triggered spending would tend to be lower.

Think about it. We tend to take home about 89% of our salary (deducted for contribution made to Employees Provident Fund (EPF) at 11%), and if you want to include the deduction for MTD (monthly tax deduction or PCB).

So, if you take home a net pay of about 85% of salary, and is challenging to live on this 85% of take home pay today, what are the odds that we will be fine when we are much older, with a health condition that is perhaps less ideal than we were young, and possibly with no more income from employment?

Including the employer contribution to our EPF today, we are effectively putting aside 23% to 24% of our gross salary to prepare for retirement. If we find that 85% of the take home pay today is insufficient, how will the older-self deal with this issue later?

This is why we have to start early and leverage on the effect of time and compound interest that is, interest earning interest. Then, we will perhaps have better odds, especially in terms of cost of living and prices that we need to pay for seeming having only a one-way direction.

So, wait no more, for time waits for no one. Start taking action for your retirement because you only live once and will want your golden years to be a phase where you can live with dignity, and a sense of security, and pursue your interest, and live life to the fullest.

Jan 2018

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KON PEL VEN HAR AB SY TANURA EN AH N

Konvensyen Pelaburan Hartanah

10 – 11 M

AR 201

8 10 PG P – 7 TG

Dianjurkan oleh

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Nomination by 31 MARCH 2018

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Special Thanks to YB Datuk Ahmad Maslan, Deputy Minister of International Trade and Industry (MITI) & YB Dato’ Sri Jailani Johari, Deputy Minister of Communications & Multimedia

DATO’ KK CHUA Organising Chairman

for officiating the event

CONGRATULATIONS TO THE RECIPIENTS OF

THE 100 MOST INFLUENTIAL YOUNG ENTREPRENEURS 2017 DATO’ SERI JAMES WONG TW

CHRIS TAN

KEEGAN SOH

TENG BOON, ONG

CYNTHIA TONG

KEITH LOH

TERRY LEE JUN HUI

DANIAL MA

KEN CHEONG SZE KEN

VERY ONG BENG NONG

DARREN HEADLEY

KENNIE CHONG

VINCENT HO

DEREK SOH

KK GOH

VINCENT NEE

DR. EDMOND HENG

KY LIM

VINESH SINHA

DR. KRIS SEE KS

LAWRENCE CHOONG

WEI QING, LEE

DR. WENDY LIEW

LAY SEONG, TAN

YENKAI CHONG

ELVIS THOO

LEON LEE

YIEWIN KANG

ENOCH KHOO

LIN YIK, TEE

ZACHARY HARIS ONG

ERIC YONG

MADELINE TEH

ZAFFUAN ZIN

FAIRUZ FAUZY

MARCUS K.L. LIEW

FAIZUL RIDZUAN

MASTER CHRIS LEONG

FARHASH WAFA SALVADOR

MICHAEL TAN ENG JOO

FOO KHUN, LIANG

MICHAEL TAN KOK KUAN

FRANK NG

NICK LOH

DATO’ AC MIZAL

GAIK CHEONG, TEH

NICOLE LOW FEEI FEEI

DATO’ AFDLIN SHAUKI

GARY CHUA

OWEN HNG

ELFIRA LOY

HARVARD CHOO

PAUL YUNG

FARAH ANN ABDUL HADI

IRENE FAN FEI FEN

PRASANNA SAILANATHAN

GERALDINE GAN

IVON LAI

RAIKK CHAN

JANNA NICK

JACQUELINE FONG

REZAL CHAN

MICHAEL ANG

JAMES YEOH

RINA TEOH

NABIL AHMAD

JASON TAY

RITA DATO’ SOSILAWATI

NAJIB ASADDOK

JEFF CHIN

RON ONG KIT WEE

PANDELELA RINONG

JEFFREY YANG

RUBEN EMIR GNANALINGAM

ROZITA CHE WAN

JEN YONG

SEAN LAW

WAK DOYOK

JESSICA PUA

STEPHENIE LEE

WINNIE K

JOO KIM, TIAH

SUNNY YAW

YANA SAMSUDIN

KEDA Z. FENG

SWEE LEE, THIONG

ZIZAN RAZAK

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DATO’ SRI M. ANDY DATO’ SRI NELSON KEE DATO’ ANTHONY CHENG DATO’ AZRAF AZMAN DATO’ AZRIL MOHD. RADZI DATO’ BILLY GOH DATO’ COLIN TAN DATO’ DR. NICHOLAS HO DATO’ DR. JAY HO DATO’ EDMUND YAP DATO’ KIAN LIM DATO’ KK SEE DATO’ LAWRE NCE LOW DATO’ TIONG SU SWAN DATO’ VINCE KEK DATIN SRI JESSIE WONG DATIN SHIREEN TAN DATIN SOFIA LAU AARON SIOW AI PENG, LEE ALLAN TAN ALLEN TAN KEE LENG ALVIN POH ANCO GOH AZIZAN OSMAN AZRI ZAHIER AZMI AZRUL HELMY HAFIZ CATHERINE TEE CHARLES THUNG VOON EE

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SPECIAL COMMENDATION: ARTS & CULTURE

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