PART 1: INTRODUCTION

Ayam Dindings is a pioneering poultry manufacturer in Malaysia, providing chicken to

Malaysian households since 1985. It operates under the brand of Dindings Poultry Processing
Sdn Bhd (DPP) and adheres to the guidelines of the United States Department of Agriculture
(USDA) and the British Retail Consortium (BRC) in Malaysia. Managed directly by Malayan
Flour Mills Berhad (MFM), DPP is located in the Kampung Acheh industrial area in
Sitiawan, Perak. The company, a profit-oriented entity, envisions becoming a leading food
manufacturing enterprise in Malaysia. Ayam Dindings' mission includes being the preferred
provider and strategic partner in the food industry while driving operational excellence
through a culture of continuous improvement. Additionally, the mission aims to add value to
stakeholders by achieving economies of scale.

The product line of Ayam Dindings includes refrigerated and frozen whole chickens, cut
portions, skinless, and boneless meat. The company also offers customized marination
services based on customer specifications. They produce various semi-finished and finished
deep-processed products. All fresh and frozen products comply with legal and halal
requirements, food safety standards, internal company standards, and customer specifications.
The company holds certifications such as Jakim, DVS, HACCP, Food GMP, ISO 22000, and
9001 for quality assurance and halal certification to ensure product safety. Consequently,
Ayam Dindings has been designated as the primary chicken supplier for McDonald's and
Kenny Rogers Roasters in Malaysia.

Due to its excellent reputation in Malaysia, Ayam Dindings successfully established a

strategic partnership with Tyson Foods, one of the Fortune 500 companies, in 2021. Mr. Teh
Wee Chye, the overall owner of the company, stated, "Tyson Foods is one of the largest food
production companies in the world with a robust global manufacturing and distribution
network. Together with Tyson Foods, we look forward to expanding our halal poultry product
supply, especially in further processed poultry, and exporting to demand markets leveraging
Tyson Foods' global network."
PART 2: MACROENVIRONMENT ANALYSIS
Culture (Tradition):
Malaysia is a country with a diverse culture composed of various ethnicities, religions, and
cultural traditions. The major ethnic groups include Malays, Chinese, and Indians. Due to the
delicious taste of chicken and its compliance with halal food standards, you can find chicken
as a staple in the cooking of various delicious chicken dishes in Malay households and
restaurants. For the Chinese, having chicken was considered a luxury in the past, and this
ancient tradition has continued to the present day. Chicken becomes the most delectable dish
on the table during important Chinese festivals like the Lunar New Year. In the traditional
cuisine of Indians, chicken is often cooked into tasty curry dishes. Therefore, promotional
activities are launched during various ethnic festivals each year. Through these appealing
promotions, our company can gain the trust of customers who believe in the quality and
service of our products.

Nature (Weather):
In Malaysia, despite the absence of experiences with the four seasons, the weather remains
consistently hot, occasionally accompanied by sudden heavy rain. The unpredictable weather
patterns in Malaysia can disrupt the supply chain, leading to potential shortages or excess
inventory. In response to this challenge, poultry companies need to inform everyone,
including their customers, about the time required for chicks to grow. Ayam Dindings, in this
context, has implemented measures to address these issues. Ayam Dindings sources high-
quality corn, soybeans, and soybean meal globally to develop natural grain poultry feed
enriched with various vitamins for chicken rearing. Additionally, the company ensures that its
workers undergo regular training to acquire the necessary skills to observe and adjust the
temperature in chicken houses professionally. This practice guarantees that chickens can
thrive at the right temperature, minimizing chicken mortality. By adopting these measures,
chickens can more easily survive in the unpredictable weather conditions, allowing Ayam
Dindings to continue delivering high-quality and delicious chicken to the market.

Politics (Halal Market):

Malaysia is a multi-religious country, and while Islam is the official religion, other religions
can peacefully coexist (MyGov, 2016). According to the latest data, approximately 69.8% of
Malaysians adhere to Islam (DOSM, 2021) (Appendix 6). Therefore, Malaysia follows
Islamic law, including halal regulations. Companies must apply for halal certification to
indicate that their products meet halal standards and are acceptable to Muslims. As a leading
poultry manufacturer in Malaysia, our company follows halal certification procedures and
requirements rigorously before manufacturing products. This includes poultry feed
processing, specialized biosafety farming, and halal meat processing. All these measures aim
to ensure that each process has no potential hazards or illegal sources. The company also
regularly invites the Ministry of Health to assess compliance with halal standards. As a result,
our company can assure Islamic believers of the quality and safety of its products.

Technology (E-commerce):
With the continuous development of technology, our daily lives have become more
convenient. According to research, about 99.6% of Malaysians use smartphones, and 95.5%
use the internet (DOSM, 2022) (Appendix 12), indicating widespread access to phones and
computers. Due to the impact of movement control orders, most people have become more
willing to spend more time using smartphones and computers to browse the internet and
social media at home. As of 2023, Malaysians spend an average of about 8 hours online each
day, with approximately 2.47 hours spent on social media (Statista, 2021). To expand the
company's market share and online business, Ayam Dindings has established an interactive
online shopping website on platforms such as Shopee, Lazada, and others in the mobile
business sector. This allows customers to purchase and receive products online. As a result,
demand for Ayam Dindings products is expected to increase due to the online market.

Nature (Pollution):
Nowadays, due to population growth (Appendix 1), chicken production in Malaysia has
become substantial. Consequently, the slaughter of chickens during the slaughtering process
has increased, leading to various types of pollution such as wastewater, feather pollution,
ammonia pollution, and poultry waste. Additionally, packaging chicken requires a significant
amount of plastic, posing a potential plastic pollution problem. According to World Wildlife
Fund (WWF) data, Malaysia is one of the largest plastic-consuming countries in Asia. Ayam
Dindings processes up to 280,000 birds per day to meet market demand. The company has
implemented various environmentally sustainable initiatives in line with the Sustainable
Development Goals (SDG). This includes converting poultry waste into food processing raw
materials through waste processing facilities. Furthermore, wastewater undergoes treatment
before being discharged into the natural environment, meeting minimum emission standards.
Chicken feathers and bones are processed into fertilizer to avoid feather pollution.

Technology (E-wallets):
In Southeast Asia, particularly in Malaysia, the usage of e-wallets has consistently been at the
forefront of the digital revolution. As early as 2018, Touch’n Go, GrabPay, and WeChat Pay
entered the Malaysian market. With the rapid growth of Shopee among Malaysian consumers,
Shopee Pay was also introduced in 2020. It is evident that e-wallets play a crucial role in the
operational aspects of businesses, providing both tangible and intangible benefits such as
increased profits and enhanced efficiency. Recognizing the significance of e-wallets in
business operations, Ayam Dindings has implemented e-wallets in its stores. This allows
customers to utilize the application to scan the barcodes of desired products and make
payments without the need for cash. Furthermore, Ayam Dindings has seamlessly integrated
all these processes with e-wallet applications, offering convenience for consumers,
businesses, resellers, and government entities to purchase products from the company using
e-wallets.