BIOGRAPHY OF TAN SRI SYED MOKHTAR AL-BUKHARY

BIOGRAPHY OF TAN SRI SYED MOKHTAR AL-BUKHARY

          The objective of this assignment is to provide an understanding and importance of the enhancement of entrepreneurial skills and personal qualities with supportive evidence to successful entrepreneurs in Malaysia and the world. Therefore, the study has selected Bumiputera entrepreneurs who have made their mark on the global stage, Tan Sri Syed Mokhtar Al- Bukhary. He was born in Alor Setar, in 1951. His family originated from Hadharamaut in Yemen. His father was a merchant who often travelled to Central Asia before stay in Kampung Hutan Keriang, Kedah in 1940. Syed Mokhtar the third of seven siblings. He began his school in Alor Setar, but when Syed Mokhtar was 9 years old, he lives in Johor Baru with his uncle, Syed Omar where he studied until Form 2. Then, he returned to hometown in AlorSetar and continued his schooling until Form 5 in Sekolah Saint Michael.
          He was born into a lower middle class family. A lot of knowledge and experience were gained through his own entrepreneurship experience during his youth time. Although deprived of life, his determination to study hard indeed to repay their parents and want to see his become a successful. Next, the researchers will explore the characteristics of entrepreneurs held by Tan Sri Syed Mokhtar thus making him a successful bumiputera entrepreneurs and made a name in the list of richest billionaires in Malaysia and the world.
         First of entrepreneurial traits is failure is an option. Failure of a preferred phrase was introduced by Adam Savage of MythBusters is a new ideology that we must believe. However, it is not possible to motivate the common people. The old notion of “failure is not an option” is irrelevant for the entrepreneur in now. If you are an entrepreneur who choose an option failure, you will be an advantage over competitors who are more concerned about the many benefits it's easy and fast. Entrepreneurs are always using a new approach, indirectly exposing them to other opportunities. The entrepreneur holds the words of “failure makes us more successful”. “Failure”, if the entrepreneur to deal promptly and effectively, it will bring positive things to the business.
         In this study, Tan Sri Mokhtar Al- Bukhary involved in the shipping business and establish Bukhari Shipping as a broker vessel under the Cabotage policy. Cabotage refers to the transport of passengers and goods. But it can also be used for airlines, trucking and rail. Many of countries uses the cabotage law and should comply with the conditions when carrying passengers or goods, such as the border between them as was done by Tan Sri Mokhtar. He's bought a German-made ship which was 28 years at a price USD 1000,000 and the name is “Angsa Mas”. The ship was used to transport rice from Thailand to Sabah and Sarawak. However, the business failure forced him to sell the ship at a price US600, 000 dollars. Worse, he lost of RM2 billion during the economic crisis of 1998 to protect the interests of the indigenous people in the country. At the same time, he was active in residential projects under Bukhary Company. He is not dependent on one business only, but use other alternatives to replace a failed planning. He sold the ship to get another business capital, although not in the same amount when purchased. He was not easily deterred, even trying to get involved in housing projects. Before that, he founded “Susu Mas Sdn. Bhd” gold in 1979 and entered into a joint venture with New Zealand Milk Products to market products under the brand Fernleaf and Anchor. With this, it is clear that Tan Sri Syed Mokhtar is a failure as a way to achieve more success in the future
          The second traits are Visionary. A visionary entrepreneur who is successful in business. Entrepreneurs who have a clear vision showed they also have dreams and high ideals to be achieved in the future. Therefore, entrepreneurs should set a goal and the ability to think critically. They also need to be aware of her ability in terms of both internal and external to the planning successfully implemented.
          Tan Sri was born in a modest family. Caused his family life of deprivation, he is determined to change the fate of his family to a more perfect. He steps into the working world as early as the age of the young. When teens her age are studying at the school, he helped his mother to grow and sell vegetables in the market at JalanTelokWanjah. In addition, he helped his father tending his cattle. He took over his father's business after losses due to the outbreak of foot and mouth disease that killed many cattle. This is the starting point of Tan Sri Mokhtar Al- Bukhary open a business. He was determined to find capital to restore his father’s business. Thus, he bought the meat in town and repack in small quantities for sale. Apparently his efforts successful and expanding business to another sector. He managed from one point to another as early as the teenage years as a school until grade five only, in fact, do not have higher education. But has a strong passion for the sake of their families. He held the philosophy that “education does not guarantee success in life, but hard work”. What he does, not for its own sake, but the benefit of all, helps the human, especially Muslims. For example, he gives some allowances (RM750.00) firstly as a director of the business rice to the poor neighbors. In addition, he also sent a kerosene lamp to illuminate the Muslim place of worship for the whole night of Ramadan. Therefore, he called welfare-loving entrepreneurs.
          Next traits are team-oriented. The traits is focused on teamwork and cooperation every individual in the organization. This helps entrepreneurs find out the strengths and weaknesses of employees and workers in the organization. A good entrepreneur can create an atmosphere of harmony between his staff and employees to facilitate the process of achieving the goal. Employees feel more comfortable and not pressured to do the work, and can increase business productivity. Entrepreneurs will contribute ideas, sources of capital, seminar or training for employees to improve their skills and knowledge, especially in the use of technology.
          Tan Sri Mokhtar Al- Bukhary established a charity foundation that plays a role in helping the poor, support the development of Islamic art and culture as well as promoting understanding between civilizations in March 1996. The main objective of the Al-Bukhary Foundation is encouraging the Islamic brotherhood. The foundation consists of two parts. One part of doing charitable work, while one part of managing the funds of any companies in which Tan Sri Syed Mokhtar have interest in it. Until now, Al-Bukhary Fondation spent more than RM300 million for religious activities, culture and education. In addition, Yayasan Al-Bukhary only finance poor students. Among the initiatives undertaken to finance the poor Muslim students from around the ASEAN to study in Malaysia. RM 400 million from the fund was used to build the complex Al-Bukhary in AlorSetar, Kedah in 2004. The Complex it houses a mosque, medical center, community center, orphanages, special academy for the elderly and Al-Bukhary International University. He provides scholarships to poor students from 47 countries that Muslims are a minority.
          The main projects are completed, the Islamic Arts Museum Malaysia in Kuala Lumpur worth RM100 million. The museum is the first in the Asia Pacific region to display Islamic art. Yayasan Al-Bukhary also build 12 mosques around the country, including cities in Negeri Sembilan, Airport Senai, Johore and also in JalanPudu. In addition, he is also responsible for the renovation of Masjid Negara and sponsoring people who are unable to perform their pilgrimage. The Foundation contributed RM775 million to the Oxford Centre for Islamic Studies, which is a renowned center of Islamic learning in the world. Yayasan Al-Bukhary also help the Institute of Educational Development (IED) in the project to establish the Institute of Medicine, Science and Technology of Asia (AIMST) in Sungai Petani, Kedah. Yayasan Al-Bukhary also often a dialogue of civilizations to promote tolerance and understanding between people of various religions and beliefs. Resolute that, Tan Sri Mokhtar is entrepreneur to create success-team oriented.
          Apart from that, Tan Sri Mokhtar Al-Bukhary have networked features. The entrepreneur has a range of business areas do not focus on one area of business, in other words have a wider range of businesses. Various business networks allow entrepreneurs to benefit a lot faster. Any profit derived from the business network is a source of revenue for organizations and entrepreneurs. Normally, the entrepreneurs have these characteristics are entrepreneurs who have a critical thinking, foresight and brave to take risks.
         Based on the characteristics, Tan Sri established the “Syarikat Shah” to apply for a trading license from the “Lembaga Padi Negara” which is now known as BERNAS. He managed to get a contract for the supply of rice to the FELDA, MARA, Pernas Edar and Sergam Sdn.Bhd, a subsidiary of the Johor State Economic Development Corporation. He received a loan of RM110, 000 from the MARA, he used to buy two lorries Mercedes 911LS. In 1972, he succeeded in getting permits for the four trucks of Class A. There, he established the Motor Sentosa (Sentosa Motor Company). Now has more than 40 lorries. Tan Sri Syed Mokhtar then uses a truck-lorry for rice business.
          After that, he set up a joint venture with two Chinese businessmen, Ng Ghiak Gee and Tan Chua Chong. In joint venture company, Tan Sri Syed Mokhtar holds an interest of 52 percent, while Ghiak Gee and Chong Tan respectively 32 percent and 16 percent. Bukhary Sdn. Bhd. it commenced operations on July 15, 1976, in his office at JalanTelokWanJah. In 1977, he established Bukhary (KL), Sdn, Bhd. and awarded the contract to supply rice, tea, chocolate powder, milk powder and ghee to the government. When he got a contract to supply it, Tan Sri Syed Mokhtar set up Susu Mas Sdn Bhd. in 1979. The company also is a joint venture between itself, which holds 51 percent of the New Zealand Milk Products, which holds the remaining shares. “Susu Mas Sdn. Bhd.” marketed under the brand Fernleaf and Anchor.
         Next, he steps into the manufacturing sector. After the success of the contract making military uniforms for the Ministry of Defense to provide the Army with 120,000 pairs of shoes and 330,000 pairs of uniforms, he decided to set up two companies, Amtek Holdings for manufacture shoes and Oriental Garments Uniform Division for the manufacture of clothing. In 1998, Amtek Holdings is listed on the Second Board of the Kuala Lumpur Stock Exchange, he used the money earned to buy Spark Manshop listings and the rights to manufacture and market branded clothing Crocodile. Now, a subsidiary of Amtek Holdings issued a military footwear (Amtek Shoes) and costume designer Lee Coopers and Lois (Amtek Garments Sdn. Bhd.) for the export market.
         Around the 80s, Tan Sri began to get involved in the management and development of the port and made his name as the richest Bumiputera entrepreneurs in Malaysia. He responsible for making the Port of TanjungPelepas Johor became known in the world. He has an interest of 90% on the Seaport Terminal (Johor) Sdn. Ltd. in 1993 has proven its success. Indirectly, he got a Mega Project when given submission of Seaport for 30 years to build the Port of TanjungPelepas (PTP). He was involved in the privatization of Johor Port Sdn Bhd. and Johor Tenggara Oil Palm Bhd. He bought the Johor Port via tender at a price of RM330 million and Johor Tenggara Oil Palm Sdn. Bhd. was bought for RM 135 million. He has been praised by the government for its success in controlling the Port of Tanjung Pelepas (PTP) where he successfully managed the release into the Port of Tanjung Pelepas active in the southern part of Peninsular Malaysia. The Port of Tanjung Pelepas progressed until they succeeded to convince the international shipping company, Maersk Sealand of Denmark and Evergreen Marine of Taiwan moved from Singapore to Port of Tanjung Pelepas. It is a project that will stimulate the Malaysian government's plan to develop the country as advanced shipping rights in the region. Hence, it is clear that, Tan Sri an entrepreneur who put the concept of "network" in achieving its goals.
          Besides, Tan Sri an open risk taker. The entrepreneur will make an assessment and consideration of the risk, because the risk is calculated from the start will ensure huge returns. Entrepreneurs are willing to take risks because they think the risk is high, bring greater returns. If entrepreneurs become complacent, they may incur losses in the future of the higher stressed the principle of a risk, the greater the returns. If the entrepreneur be complacent, they will likely lose money in the future. Generally, an entrepreneur must be willing to take risks because risks cannot be expected. Therefore, the entrepreneur needs to plan more carefully.
         Tan Sri has been involved in Islamic banking, which took over the ownership of Bank Muamalat Malaysia Berhad, after considering the risks faced by him. As we all know, Islamic banking and Finance sector very risky and requires entrepreneurs who can tackle these risks in order to avoid any loss in the transaction banking and Islamic finance. The opportunity to expand its business abroad in the field of Islamic banking and finance has been limited because it focuses on the Muslim-majority country. Therefore, the risk of failure should be calculated in advance. Bank Muamalat operations in October 1999 and was born from the merger between Bank Bumiputra Malaysia Bhd and Bank of Commerce (M) Bhd. DRB-HICOM has emerged as a major shareholder since October 2008.
           Bank Muamalat Malaysia Berhad provides financial services in Malaysia and Islamic banking. It operates through three segments, Business Banking, Consumer Banking and Treasury and Investment Banking. Bank Muamalat has implemented a five-year business plan, which was held in December 2008 and came into force in 2009. The plan has three phases to restructure the operations of the organization, including the balance sheet, achieving a benchmark and be the best. According to the Chief Executive Officer, Datuk Mohd. Redza Shah Abdul Wahid, the bank is not so prominent earlier than other competitors because we adhere to the principle ‘do the first and talk”, we are in the process of transition”. “To be honest, I have to say it was a very painful process and it will continue until we reach the final phase of our business plan, '' he added. Asked whether, the bank would explore overseas markets, he said, “If we want to grow abroad, the Southeast Asia region will be selected because we found existing financial infrastructure in the Middle East, not as strong as in Asia”. The article quoted from Utusan, 11 April 2010. This case proves that it's not easy for entrepreneurs engaged in banking and Islamic finance. Therefore, it is clear that, tan sri an entrepreneur willing to take calculated risks in order to avoid the probability of loss in the business.
         In addition to his success in various fields, he also has interests in several large companies such as MMC Corporation, an engineering company. He bought it for RM3 per share of Saham Nasional Berhad (PNB). Tan Sri Syed Mokhtar also has a 22.7 percent stake in Malakoff Berhad, the electricity supply company and a 20 percent stake in IJM Corporation Berhad whose main business is manufacturing. After that, he has an 18 percent stake in Bernas involved in trading rice and 32 per cent stake in Pernas International Holdings Limited, a conglomerate involved in many business sectors. While 18.7 per cent stake in Fiamma Holdings Berhad, the marketing and distribution of electronic products and 100 per cent interest in MPH, the company's retail and distribution of books.
         In conclusion, Tan Sri Syed Mokhtar Al-Bukhary was the richest Bumiputera entrepreneurs in Malaysia. In 2014, she was ranked no. 6 with a fortune of RM11.7 billion in the list of most successful entrepreneurs. However, his position dropped to no. 8 in 2015, with a fortune of RM10.5 billion. He is also listed in the charts in 1000 with the world's richest entrepreneurs ranked 617 in the world. This proves Bumiputera entrepreneurs to compete on par with the richest entrepreneurs in Malaysia and the world.