SAR

BACHELOR OF ENTREPRENEURSHIP (RETAILING)

(ARM10303)

RETAIL MERCHANDISING MANAGEMENT

ASSIGNMENT:

STORE DESIGN OBJECTIVE

PREPARED BY:

STUDENTS NAME STUDENTS ID

NUR ATHIRAH NAJUA BINTI SHAHARUDIN A23A1559

MUHAMMAD ALIF BIN MOHD SHARUDDIN A23A2135

NURUL AIDA SOLEHAH BINTI MOHAMMAD ADNAN A23A1954

NUR AMIRAH SYAFIQAH BINTI OTHMAN A23A2056

AISHAH SHAFAWATI BINTI SAHARUDDIN A23A2086

NUR AMIRAH BINTI MAHASAN A23A1500

FAKHRUZZAHIR BIN SUKARNO A23A2309

MUHAMMAD AMIRUL MUQMININ BIN NORHAKIM A23A1568

CLASS: L2
PREPARED FOR:
NORFAZLIRDA BINTI HAIRANI
 TABLE OF CONTENT

NO CONTENT PAGE

01) ABSTRACT 3

02) INTRODUCTION 4

03) EXPLANATION OF THE TYPES OF STAPLE GOODS 4-6

04) ELABORATION ON THE PROCESS INCURRED 6-10

05) CONCLUSION 11

06) REFFERENCES 12

06) APPENDIX 13

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 ABSTRACT

This research is about staple merchandise. Staple merchandise typically refers to essential or fundamental
products that are consistently in demand and form the core inventory of a business. These items are considered
basic necessities and are often purchased regularly by consumers. The specific type of staple merchandise can
vary depending on the industry or business, but they generally include everyday items that people need for their
daily lives. To complete this research we chose the staple merchandise item which is Cap Faiza rice. Rice is the
main source of carbohydrates for consumers. Rice is a staple item because rice is needed by consumers to meet
their daily needs. Among the rice that consumers choose is Cap Faiza rice because this rice has nutrients such as
carbohydrates, substances, and fiber that can indirectly provide good health to consumers.

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1.0 INTRODUCTION
Syarikat Faiza Sdn Bhd is a Bumiputera Muslim company that has been established since 1982. This
company is so famous for its rice products that it is referred to as Faiza Rice. Apart from rice, Syarikat
Faiza is also a producer of other food products such as vermicelli, chili sauce, spices, soy sauce, herbal
porridge and many more. During the 1990s, Syarikat Faiza began to introduce Herbal "Ponni" rice to the
whole of Malaysia. This herbal quality rice from the country of Kartanaka, South India, known as the
Taj Mahal, has its own fans. With the presence of the Taj Mahal, Faiza Company's rice such as
Basmathi, Thai Super Rice and Fragrant Rice are also in demand. The success of Syarikat Faiza today
comes from the great strength of experienced and professional group members. Each has greatness in
their respective fields. In terms of products, Syarikat Faiza ensures the quality of their products is
guaranteed, well maintained and always understands what is best for the community.

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2.0 EXPLANATION OF THE TYPES OF STAPLE GOODS

Based on the information we have obtained the term staple goods refers to those specific consumer
goods that are consumed by the people regularly and thus are bought regularly. Mostly these food items
are very commonly found in any of the grocery stores or any of the dairy products stores. These items
are consumed regularly, for example, rice, milk, sugar, bread, and paper. Besides, the types of staple
goods are divided into three types, the first is the main staples. It consists of essential goods such as
basic foodstuffs (rice, wheat, cereals) and raw materials. Secondly is the secondary staple which consists
of non-food items that are considered essential, such as clothing, basic household items, and personal
care products. Lastly is Tertiary staples which are goods that are important to certain individuals or
certain industries but are not universally needed.

To complete this study, we chose a staple item which is rice produced by the Faiza company. This
company manufactures various food items such as rice, vermicelli, flour, soy sauce, chili sauce, etc.
Therefore, we chose rice from Faiza company because it suits our research and is the choice of many
consumers. This is because Faiza rice is famous for its high-quality rice and its soft texture as well as its
100 percent Islamic and halal production. So consumers will not hesitate to buy this rice as a staple food
for Malaysians. Faiza Company has also produced other rice products in line with consumer demand:

1. Basmathi Rice
2. Fragrant Rice
3. Thai Super Special
4. Local Rice

In addition, in running a retail business of staple goods, retailers also need to carry out product
performance evaluations in stores. For example, to understand product performance in terms of
consumer behavior, retailers should recognize and evaluate customer purchasing patterns related to the
frequency of purchases made by consumers. Meanwhile, in addition to identifying consumer behavior,
retailers should also understand the performance of seasonal goods, that is, the performance of goods in
different seasons or certain times of the year. For example, during the festive season, the best-selling
item is flour because flour is used to make sweets. Meanwhile, rice is a mandatory item that must be
present in the store because rice is an item that is always bought by consumers. Therefore, Faiza's

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company ensures that the staple goods produced by their company are always sufficient. In the
meantime, to further strengthen product evaluation, Faiza's company implements inventory planning by
adjusting its product marketing strategy based on seasonal demand patterns from their customers to
identify stock that is constantly moving or not to avoid items that do not sell for too long in the store
causing the product to be at risk of damage .

Next, we learned about Faiza brand products which are famous for the Best Quality Rice Products, the
brand and the quality of the produced rice gained the attention of the public in Malaysia when Ponni rice
from India, which is good for people with diabetes, high blood pressure, and obesity, began to be
distributed. The results of Universiti Putra Malaysia's research on Taj Mahal rice were positive and
Faiza got exclusive rights from Padiberas Nasional Berhad (BERNAS). In addition, as we already know
that Syarikat Faiza is also the best company that introduces rice that is believed to be good for the health
of consumers. In addition, until today under the Taj Mahal brand, Faiza herbal Ponni rice has been
distributed throughout Malaysia.

In addition, based on the experience and purchase feedback from consumers, it shows that the purchase
of Faiza brand rice is at a satisfactory level where it is the main choice of the local community. This can
be proven through the Medsos platform, they use social media such as Facebook and Instagram to get
feedback from customers or complaints from customers whether positive or negative feedback. As a
result, we found that Faiza brand rice indeed got a lot of positive feedback from buyers about the
satisfaction and deliciousness produced by the famous Faiza brand. Therefore, customers always feel
confident and satisfied when buying rice, and this can help increase sales of this rice product. In
addition, Faiza rice is the choice because of its reasonable price and affordability for low-income
groups. At the same time, Faiza rice is easily available at nearby grocery stores. So, it is not surprising
that Faiza rice is the choice of the public.

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3.0 Elaboration on the process incurred :

The merchandise planning process involves several steps to ensure effective management and allocation
of merchandise. There are 6 product planning processes which are forecasting category sales, developing
an assortment plan, determining appropriate inventory level and product availability, developing a plan
for managing inventory, allocating merchandise to stores, and buying merchandise. Therefore, managers
need to teach the process of planning the entry of Beras Faiza to new staff so that new staff can run the
business more smoothly.

3.1 Forecast Category Sales

This move involves analyzing the historical sales data of Faiza rice, market trends according to
economic patterns and public demand for rice, and the behavior of Faiza rice buyers to predict future
sales for different product categories. Therefore, managers need to teach new staff to make sales of the
Faiza rice forecast category in order to help businesses make informed decisions about inventory
management, marketing strategies, and overall business planning.

3.2 Develop An Assortment Plan

A plan is a diagram that describes the shape of a building, such as a city plan or a house plan, including
a business plan. Therefore, the pre-arranged business plan will be implemented like a Faiza rice master
plan that includes all policies and all activity plans to be implemented in the business. For example, the
Faeza Company plan will be made at scale for the layout of the room and so on one floor of the building
to look strategic and make it easier for the buyer to find the goods in the store. 3 This is explained in
detail by the manager to the new agent on the business plan to make it easier for the new agent to
manage the business more efficiently.

3.3 Determining Appropriate Inventory Levels And Product Availability

The purpose of the inventory system is to know the location of the inventory and when it will be
managed at the correct inventory level. Not all companies or businesses choose to know their inventory
through a barcode scanner system to improve efficiency during the management process. In general,
there are four levels of inventory which are raw materials, materials in the process, finished products,
and goods. Raw materials are rice purchased by the company for processing by the production
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 department. Raw materials will go through various important processes before the company can finally
turn them into rice. Material at the process stage means goods that represent raw materials in the process
of processing into finished goods. The next stage is the finished product, that is, rice for sale that will be
distributed to wholesalers or direct consumers. Last but not least is merchandise which is a finished
product that is purchased by the company through a supplier and then sold to the final buyer. Therefore,
every business needs to provide rice according to consumer tastes and consumer demand according to
the times. For example, the Faiza company diversifies the selection of products such as flour and
vermicelli Faiza brands. Therefore, the management must train employees to select the appropriate
inventory materials to carry out business processes in order to produce Faiza products that satisfy
customers.

3.4 Develop A Plan To Manage Inventory

Inventory management is the culmination of all activities done to control inventory. With proper inventory
management planning, it can minimize the risk of overstocking and cost overruns, while ensuring the right
amount of stock. All companies with physical inventory need inventory management to ensure consistency
of cash flow. The term "inventory management system" can also refer to the techniques used by companies
when handling inventory such as rice cap rambutan, such as :

• ABC ANALYSIS

ABC analysis is an inventory management technique that determines the value of inventory items based on
their importance to the business. ABC ranks items on demand, cost and risk data, and inventory manages
and groups items into classes based on those criteria.

• ECONOMIC ORDER QUANTITY (EOQ)

Economic order quantity (EOQ) is the ideal quantity of units that a company should purchase to meet
demand while minimizing inventory costs such as holding costs, shortage costs, and ordering costs.

• SYSTEM JUST IN TIME (JIT)

The just-in-time (JIT) inventory system is a management strategy that aligns raw-material orders from
suppliers directly with production schedules. Companies employ this inventory strategy to increase
efficiency and decrease waste by receiving goods only as they need them for the production process,
which reduces inventory costs.

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3.5 Distribute Items For Merchandise Stores

Distributing goods for merchandising stores involves storing and shipping inventory from several
fulfillment centers and warehouses spread across various geographical locations. After the rice is processed into
rice using the Faiza stamp method, it is forwarded to the supplier. An inventory manufacturer or supplier stores
their products in a central warehouse under a traditional inventory model. After a customer places an order, it is
shipped to the customer after being ready for delivery at a central location. When a customer places an order in
a distributed inventory model, the warehouse or fulfillment center closest to them, with all the items in stock or
able to fulfill them at the lowest cost, will get ready to process the order.

Consumers in all industries now anticipate affordable, quick delivery. Businesses can gain a competitive
edge by meeting customer expectations at a lower cost by distributing inventory among several geographically
dispersed warehouses or fulfillment centers. Additionally, there are two categories of distribution: decentralized
distributed inventory and centralized distributed inventory.A decision-maker or team at the top, possibly at the
company headquarters, determines how much inventory is distributed among the different fulfillment centers or
warehouses in a centralized distributed inventory approach. Stated differently, choices are taken from a single
point.

Decentralized distributed inventory: Decisions about inventory are made locally, that is, at each
fulfillment center, under a decentralized distributed inventory approach. For this strategy to be effective,
individual decision-makers must have access to information about consumer and product demand.

3.6 Buy Merchandise

Merchandise refers to any type of goods, including personal or commercial products, as well as
commodities that are sold to members of the public (retail) or other businesses (wholesale). Merchandise
may also refer to ‘freebies’ – promotional items, like the custom drink bottles here, that are distributed
or sold free of charge. These items may include calendars, magnets, wall art, stationery, greeting cards,
textiles, badges, or any number of things. An example of a freebie merchandise might be a T-shirt with a
slogan or logo that a political party gives out to people during an election campaign, or a calendar with a
logo that a supplier gives its customers at the end of each year.

Merchandise buying is an important part of retail management that involves retailers management that
involves retailers finding and purchasing goods from manufacturers to sell them on behalf of their

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 business. Some companies choose to purchase their products solely from manufacturing vendors, while
others create original brands for the business, known as private labels.

Merchandise is the term used for any product that you can sell or buy. Any good for sale is merchandise,
some examples include groceries in a supermarket, clothes in a retail store, electronics on a website, or
raw materials in a manufacturing warehouse such as rambutan rice. If someone can sell the item or
purchase the item, then it's merchandise. There are four main types of merchandise in retail:

• Convenience
• Impulse
• Electronic
• Specialized

3.7 Monitor And Evaluate Performance And Make Adjustments

Performance management is more about conducting evaluations or a series of evaluations at a given

time and is an important part of the planning process for new employees. Employers should provide
support and appropriate conditions for new employees to obtain the desired performance evaluation
results.

Performance monitoring is one of the parts of the performance management process. Performance
evaluation is held once or twice a year and is in the form of an interview between the employee and the
employer. Sometimes as a result of these interviews, the employee can increase the employee's salary
and promotion. Apart from that, the results of this interview will give emphasis to training and employee
development programs.

The most important part of the performance appraisal is to make decisions about the new staff's
performance in identifying the goals that have been set. Evaluating performance is easier than making
quality decisions. In making a decision there are several principles that need to be taken into account.
Among them, performance must be evaluated depending on the overall objective, where it will be
broken down into several goals that will be affected by the overall objective and the evaluator must take
into account all aspects of the job.

Among them, providing practical support that is compatible with existing resources, providing training
and development programs to employees so that they can achieve the desired performance as well as
ensuring that employees clearly know the results of the required assessment performance, and providing
advisory services if needed. This can increase the level of production as well as the quality of rice
produced.
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4.0 CONCLUSION

In conclusion, the topics of merchandise planning, inventory management, staple goods, elaboration
process, and merchandise performance are all related to the retail business of Beras Faiza. By learning
and applying these concepts, new staff can improve their skills and knowledge in managing the products
and services offered by the company. The company can also benefit from these concepts by increasing
its efficiency, profitability, and customer satisfaction. The retail business of Beras Faiza is an example of
how a company can adapt to market demand and customer needs by providing high-quality, healthy, and
halal products that are suitable for the local community.

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5.0 REFERENCE

Puteri, (2021, May 18). Majalah labur: Kenali Syarikat Faiza dan pemiliknya, `Beras Faiza` Pilihan
Ramai. .
https://www.majalahlabur.com/inspirasi/kenali-syarikat-faiza-dan-pemiliknya-beras-faiza-pilihan-ramai/

PDFCOFFEE.COM. (2023, December 15). syarikat faiza.docx. Retrived.

https://pdfcoffee.com/syarikat-faizadocx-pdf-free.html

Grain and Field bean Merchant Wholesalers, (2023, October 16). JS JASMINE SDN.BHD.
(MALAYSIA).
https://www.emis.com/php/company-profile/MY/Syarikat_Faiza_Sdn_Bhd_en_4191464.html

Anuar, K. (2016, December 4). BIOGRAFI TOKOH DAN LIMA CIRI (Faiza Bawumi Sayed Ahmad.
Khairul Anuar bin Adnan).
https://aiiwe9traits.blogspot.com/2016/12/

Lyndsay, merchandise planning proses, (2023, April 10). Quizlet, Inc

Chapter 11: Managing the Merchandise Planning Process Flashcards | Quizlet

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APPENDIX :

Beras Faiza Emas :

Faiza Bamuwi Sayed Ahmad with her product :

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