For business. For growth. For life. Vol.

9/2017

SME Bank
Sehati Sejiwa for
the Growth of the
Nations SMEs
 EDITORIAL
TEAM CONTENTS

ADVISOR

3
Dato Razman Mohd Noor

EXECUTIVE EDITOR
Khairil Anuar Mohammad Anuar From
Desk of
EDITOR COO
Abdul Latiff Puteh

CONTRIBUTORS
Norhisham Hamzah
Haslin Othman 04 SME Bank Excels at 08 Warga SME Bank
Sarah Hanis Abdullah Sani ADFIAP Awards 2017 Menyelamat Nyawa
05 BID-it: the Secrets to corporate 09 Lets Get Fit!
Hayati Abu Seman

Digital Excellence
06 Ihya Ramadan SME Bank
PHOTOGRAPHER
07 Salam Syawal bersama
Wan Badaru Sukry Wan Abdullah SME Bank
4
Happenings 12 Going Back to Nature
17 I Scream for Ice Cream
SME Bank bantu Rakyat Syria

PUBLISHED BY

10 Accelerate Your enterprise 11 Mini Xcess 2017

10
Business Through
SME Bank Xcess 2017
Trails

Small Medium Enterprise Development

Bank Malaysia Berhad (49572-H)
Menara SME Bank, Jalan Sultan Ismail
Tel: +603 2615 2020 Fax: +603 2698 1748
Call Centre : 1800 88 3131 13 Embracing
issues of

13
Industry 4.0
www.smebank.com.my Interest

16 How to Network
CEDAR

16
Effectively

Assalamualaikum warahmatullah hiwabarakatuh and Salam Sejahtera
Dear Readers,
W
e have come to the third quarter of 2017
and we are now into an overdrive mode to
achieve our business goals after a month of
Ramadan and a month of Syawal activities. The Bank
is now ready to once again engage with the customers
through our dedicated Meet Your Customer Day at 12
identified locations scheduled to be held throughout
the month of August 2017. In addition, the second leg
of the Mini XCESS 2017 will also begin in August 2017.
The first leg has proven to be a success when the
overall turn-up for the XCESS and Mini XCESS 2017
was more than 1,200 entrepreneurs with financing
approval totalling more than RM230 million.
In conjunction with the upcoming National Day, I
would like to urge the staff of SME Bank to come
together and strengthen the teamwork which is
in line with this years theme, Negaraku, Sehati
Sejiwa. Lets embrace the spirit of Nationalism in our
everyday life including when performing our daily
duties.The contribution that SME Bank has made in
delivering the mandate of nurturing and developing
the SMEs since its inception in 2005 is strong looking
at the statistics.
From the
Desk of
COO
Hence, in celebrating the spirit of Merdeka we will
keep the momentum going and aims for greater
goals. We will not hold back despite the challenges
or changes that the Bank is facing. As portrayed by
Michael Korda, a writer, One way to keep momentum
going is to have constantly greater goals. That
means, in order to continue delivering the expectation
to develop SMEs to be the Nations engine of growth,
we must constantly be on the move to be able to
achieve higher goals, higher expectations and
improving ourselves and the Bank. Once again, I
would like to take this opportunity to wish everyone
Selamat Menyambut Hari Kemerdekaan ke-60 and
lets embrace the spirit of Negaraku, Sehati Sejiwa.
Thank you.
DATO RAZMAN MOHD NOOR
Chief Operating Officer,
Operations & Group Corporate Management
 corporate
happenings

SME BANK Excels at

ADFIAP Awards 2017
S
ME Bank continues to receive
international accolades for
the work done in nurturing
and developing the SMEs in the
country when it received 3 awards
during the ADFIAPs (Association
of Development Financing
Institutions in Asia and the Pacific)
Development Awards 2017 held in
Macau from 10 to 12 May 2017.

SME Bank received the Trade Operations & Group Corporate

Development Award for its Best
Exporters Programme, Merit Award
for the Human Capital Development
Category for SME Banks Employee
Capacity Building Programme and
ADFIAP Best Website Award.
Receiving the awards for SME Bank
was YBhg. Dato Razman Mohd
Noor, Chief Operating Officer,
Management. With these new
awards, SME Bank has received a
total of 23 awards locally as well as
internationally.
These awards speak volume of the
work SME Bank has done and the
contributions it made to achieve
the goal of 41% contributions by
the SME sector to the GDP.
 corporate
happenings

BID-it: the Secrets

to Digital Excellence
I
nnovative and creative
entrepreneurs who aspire to
expand their businesses using
digital technology can now
turn their creative ideas into
successful e-business with SME
Banks Business in Digital Startup
Programme or known as BID-
it. Launched on 24 May 2017 by
Deputy Minister of International
Trade and Industry, YB. Datuk
Haji Ahmad Maslan, BID-it is
aimed at propagating new and
innovative business ventures that
incorporates Digitalization and
Cross Border Transaction through
technology and e-Commerce as
business enablers.

BID-it started with an awareness

campaign held at 11 locations
nationwide in March and April
where the participants were
given an insight on current trend
of doing e-business and various
opportunities available for them
to expand the business. At the
end of the session, participants
were invited to submit their ideas
for the Banks evaluation. A total
of 163 business ideas from 137
participants were submitted and
out of this, 72 business ideas from 68
participants passed the first round
screening. The 68 participants
then presented their ideas during
the elevator pitch session on 23
May 2017 and 20 finalists were
chosen and announced during
the launching ceremony. The 20
finalists are currently undergoing
a comprehensive development
programme with possible funding
solutions upon completing the
BID-it programme.
 corporate
happenings
Ihya Ramadan SME Bank
S
atu majlis berbuka puasa SME
Bank telah diadakan pada 16 Jun
2017 di Menara SME Bank. Majlis
yang diadakan pada setiap tahun ini
adalah untuk mengukuhkan ukhwah
di antara pihak pengurusan dan staf
Bank. SME Bank juga turut meraikan
dan menyalurkan sumbangan Duit
Raya kepada 20 orang pelajar tahfiz
dari Pusat Tahfiz Khalifa, Kampung
Sungai Merab, Kajang serta anak-anak
yatim dari kalangan staf SME Bank.
Majlis Ihya Ramadan SME Bank
dimulakan dengan sesi perkongsian
ilmu oleh penceramah jemputan, Ustaz
Ahmad Alyamani bertajuk Kelebihan
Seorang Muslim di Bulan Ramadan.
Ustaz Khairul dari Pusat Tahfiz
telah mengimamkan solat Magrib
dan Isyak manakala Ustaz Jumadi,
Ketua Jabatan Pembangunan dan
Pengurusan Shariah mengimamkan
solat Sunat Tarawikh.
 corporate
happenings

Salam Syawal Majlis Rumah Terbuka Hari Raya SME Bank pada tahun ini disambut
meriah dengan kehadiran lebih 600 orang tetamu kehormat, rakan-

bersama
rakan strategik, para pelanggan dan staf Bank. Diadakan pada 24 Julai
2017, rumah terbuka SME Bank dimeriahkan lagi dengan dendangan
lagu oleh Lah Ahmad dan kumpulan busker Chantique Skully. Acara

SME Bank
rumah terbuka ini telah dapat mengeratkan tali silaturrahim antara
kakitangan Bank dengan tetamu yang lain.
 corporate
happenings

Warga SME Bank

Menyelamat Nyawa
S
eramai 73 orang warga SME Bank
telah menderma 73 pint darah
yang dapat menyelamatkan
sekurang-kurangnya 200 nyawa
semasa kempen derma darah yang
diadakan pada 11 April 2017 di
Menara SME Bank dengan kerjasama
Pusat Darah Negara (PDN). Program
yang diadakan pada setiap tahun ini
bertujuan untuk menggalakkan orang
ramai terutamanya warga SME
Bank untuk menjadikan
aktiviti menderma darah
sebagai rutin tahunan di
samping membantu menambah
bekalan darah di PDN.
 corporate
happenings

Lets Get Fit!

Coming to the office is more fun and
healthier with the launching of SME
Banks Recreation Centre located
at Level 15, Menara SME Bank. The
main objective is to promote
a healthy and balanced
work-life culture amongst
the staff.

The Recreational Centre

is equipped with complete
facilities which include Male
and Female Gymnasiums,
Squash Court, Playstation 4,
Snooker Pool, Foosball, Karaoke
Room and Dart game. Other
facilities include laundry room, locker
and shower rooms. The Recreational
Centre was officiated
by YBhg. Datuk Mohd
Radzif Mohd Yunus,
accompanied by Encik
Mohammad H u ssain
Mohammad Dawood,
Pres ident of Ke lab
Sukan dan Rekreasi and
Encik Wan Zainuddin,
Covering Director of
Group Human Capital
Management.
enterprise
trails

10

ACCELERATE
YOUR BUSINESS
THROUGH
SME Bank continues to deliver its
beyond financing promise to the
Malaysian SMEs through the Banks
signature outreach programme, The
SME Bank XCESS 2017. Coming into
the second year of organising the
event, XCESS 2017 saw SME Bank
becoming more aggressive in resolving
the issue of access to financing faced
by SME entrepreneurs. Launched by
YB Datuk Haji Ahmad Haji Maslan,
Deputy Minister of International Trade
and Industry on 29 March 2017, nearly
600 aspiring entrepreneurs and future
entrepreneurs attended the SME
Bank XCESS 2017. The Bank has up
to date approved RM19 million worth
of financing from the one day event
and in the process of approving more
applications.

There was also a special knowledge

sharing session with the Banks very
own successful clients to inspire the
uprising entrepreneurs on how to
sustain and accelerate their business
in this challenging environment.
Participants of XCESS 2017 were also
given the opportunities to attend
specific pocket talks with SME Banks
partners such as MITI, MATRADE,
MIDA, Celcom Axiata and Orizon.

DYNAMIC FINANCING
FOR BUSINESS EXPANSION
Get your financing facility and other
assistance for your business expansion.
 enterprise
trails

11

R
eaching a wide group of SME entrepreneurs
continues with SME Bank Mini XCESS Programme.
Started on 19 January 2017, this outreach
programme was held at 6 different locations nation wide.

The first leg of the Mini XCESS 2017 was held from January
to May 2017. The second series will be continued in August
2017 and we are confident of reaching more entrepreneurs.

Stay in touch with the updated schedule and locations via

facebook.com/smebank and www.smebank.com.my

MINI
 corporate
happenings

12

Going Back to Nature

20
Volunteers from various
departments had the
opportunity to get close
to nature and animals at Zoo Negara
after participating in the SME Banks
Green CSR Programme held on 20
May 2017. Led by Mr. Christopher
Caine Xavier from Zoo Negara, the
20 volunteers were divided into three
groups with each being given a special
task to complete. The teams were
required to build food containers for
three types of monkeys namely the
Marmoset, Siamang and Gibbon. The
teams were given the opportunity to
enter the cages to witness how the
animals responded to the animal
enrichment tools that
the 20 volunteers
built.
 issues of
interest

13

Embracing Industry 4.0

4rd Industrial
Key technologies
revolution

3rd Industrial
revolution
Advanced Additive
2nd Industrial robotics manufacturing
Based on
revolution
cyber-physical
systems (CPS)
1st Industrial
Use of and dynamic
revolution Augmented
electronics data processing Simulation
Complexity

and IT to reality

Introduction of further
work-division automate
mass production production
Horizontal/
using electrical Industrial
Introduction of vertical
energy internet
mechanical integration
production
plants using
steam power
Late 18th Early 20th Early 1970s Today/in the near Big data
Cloud
century century future and analytics

Timeline
Source: Boston Consulting Group

History and development of Industry 4.0

The first Industrial Revolution,
beginning in Great Britain at the tail
end of the 18th century and ending
in the mid-19th century, represented
a radical shift away from agriculture-
based economy to the introduction
of mechanical production methods
through the use of steam and first
machines. Next was focusing on the
use of electricity, the important use
of effective assembly line and the
birth of mass production. The third
era of industry is the beginning era
of automation, when robots and
machines began to replace human
workers on those assembly lines.
The latest development in technology
brings along computers and
automation working together in
an entirely new way and the term
Industry 4.0 came out. The term
Industry 4.0 refers to the combination
of several major innovations in digital
technology, all coming to maturity
right now, all poised to transform the
energy and manufacturing sectors.
These technologies include advanced
robotics and artificial intelligence;
sophisticated sensors; cloud
computing; the Internet of Things;
data capture and analytics; digital
fabrication (including 3D printing);
software-as-a-service and other new
marketing models; smartphones
and other mobile devices; platforms
that use algorithms to direct motor
vehicles; and the embedding of all
these elements in an interoperable
global value chain, shared by many
companies from many countries.
A German government memo
released way back in 2013 was one of
the first times that Industrie 4.0 was
mentioned. The high-tech strategy
document outlined a plan to almost
fully computerise the manufacturing
industry without the need for human
involvement.
Angela Merkel, German chancellor,
spoke glowingly of the concept as
recently as January 2015 at the World
Economic Forum in Davos, and called
Industrie 4.0 the way that we deal
quickly with the fusion of the online
world and the world of industrial
production.
issues of
interest

14
Mobile devices
Cloud computing IoT platforms

sa
alytic s core
An ca
& pa
a n and b
at isat
io inte
g
Augmented git cal and ho ra
Di erti lue chai rizon ti

D
Location detection

ili
reality/wearables

ty
v va ns t technologies

on l
f

1.
o

a
p ro 2 . D i

m e r a cce ss
duct and s

Industry

e ss
Multilevel customer 4.0

cu usin
g iti er v

interaction and Advanced human-machine

sto
d al b
customer profiling interfaces
s a ic
ti o

n g

it
e o
o ff f Di n
3. a
erin els

y
mod
D

ta g s
bi

li t
a

& a
Big data analytics An
alyt c ap
and advanced i c s a s co re
algorithms
Authentication &
fraud detection

Smart sensors 3D printing

Source: Boston Consulting Group

In Malaysia, the Ministry of International talks with the relevant agencies and formulate the National Industry 4.0
Trade and Industry (MITI) is taking conducting seminar with the industry Blueprint by the end of the year.
the lead by conducting study, having players and government officials to

Benefits of Industry 4.0:

Additional revenue from: Lower cost and greater efficiency from:

Digitising products and services aithin the existing Real-time inline quality control based on Big Data Analytics
portfolio
New digital products, services and solutions Modular, flexible and customer-tailored production concepts

Offering big data and analytics as a service
Personalised products and mass customisation
Real-time visibility into process and product varience,
augmented reality and optimisation by data analytics
Predictive maintenance on key assets using predictive
algorithms to optimise repair and maintenance schedules
and improve asset uptime

Capturing high-margin business through improved Vertical integration from sensors through MES to real-time
customer insight from data analytics production planning for better machine utilisation and faster
throughput times

Increasing market share of core products Horizontal integration, as well as track-and-trace of products
for better inventory performance and reduced logistics
Digitisation and automation of processes for a smarter use
of human resources and higher operations speed

System based, real-time end-to-end planning and horizontal

collaboration using cloud based planning platforms for
execution optimisation

Increased scale from increased market share of core products

 issues of
interest

15
Bernard Marr, What Everyone Must Know about Industry 4.0:
Challenges of adopting Industry 4.0

Data security issues are greatly
increased by integrating new
systems and more access to those
systems. Additionally, proprietary
production knowledge becomes
an IT security problem as well.
A high degree of reliability and
stability are needed for successful
cyber-physical communication
that can be difficult to achieve and
maintain.
Maintaining the integrity of the
production process with less
human oversight could become a
barrier.
Loss of high-paying human jobs
is always a concern when new
automations are introduced.
And avoiding technical problems
that could cause expensive
production outages is always a
concern.
Additionally, there is a systemic lack of
experience and manpower to create
and implement these systems plus a
general reluctance from stakeholders
and investors to invest heavily in new
technologies.
But the benefits of an Industry 4.0
model could outweigh the concerns
for many production facilities. In very
dangerous working environments, the
health and safety of human workers
could be improved dramatically.
Supply chains could be more readily
controlled when there are data at
every level of the manufacturing and
delivery process. Computer control
could produce much more reliable and
consistent productivity and output
resulting in many businesses able to
increase revenues, market share, and
profits.

BENEFITS TO SMEs BENEFITS IN PARTNERSHIP WITH

DIRECTLY LARGER COMPANIES/ADVISORS

Product range can be SMEs can fill any their own

made smarter. Smart Access to expertise/tech. gaps and
Digitised products can increase differentiate, by partnering
expertise/
products the proportion of value as and when needed (e.g.,
technology
added from product sales on making decisions on
to doenstream services investments, on access to
specific non-rival technology)

New business models can

emerge from 14.0 such as SMEs can use partner
Digitised ships/align with specific
Software as a Service Access to
products platforms so as to prevent
(SaaS) that can afford platforms
higher margins to SMEs lock-outs and ensure
demand pipeline

Access to 14.0 architecture SMEs can leverage

Lower enables lower costs of Access to partnerships to raise
costs production and hence funding funding/share required
higher margins investments

Source: Boston Consulting Group : MITI Workshop on Industry 4.0

CEDAR

16

How to Network
Effectively
Networking is the art of making
and utilizing contacts. The goal of
networking is to create a pool
NETWORK
of people and information that EFFECTIVELY
can directly increase the quality
of your product or service,
decrease customer attrition,
and, most importantly, leave your
competition wondering how you
won a job they never knew was GIVE AND GET
available. INFORMATION
MAINTENANCE
Many small business owners dont
want to network because they think
its about shoving your business card in
someones hand and boasting about what
you do. In fact, networking is actually
about getting to know people whom you
can help and who can help you.

Most business people dont know how to

make networking an effective business FORM EVALUATE THE
tool. If the result of your networking is A STRATEGIC VALUE OF
a stack of business cards in your top ALLIANCE THE CONTACT
right hand desk drawer and not a lot of
additional business, then it may be time
for you to re-evaluate your methods.

Small business owners should approach

meeting people using two goals: get to
know as many people as possible, and
get them to know you. Then adopt and
adapt the following four steps to make
your networking work:
Give and get information
Networking is a two-way street. When
you meet someone, you want to ask
them about their business and tell them
about yours. Start with the basics - name,
company, affiliation, position, nature of
business, etc. You next want to find out if
you can benefit each other. Try covering
these topics:
What does your company do?
What types of clients do you serve?
Who makes the buying decision within
a firm for each of your services and/or
products?
What sets you apart from your
competition?
Evaluate the value of the contact
You cant network thoroughly with
everyone. Once you have the preliminary
information, you need to decide if this
person is worth meeting again and
creating a relationship with. Can you help
them and can they help you? The answer
should be yes to both.
Another criterion is to look for people
who are truly interested in helping others
solve a problem, no strings attached. In
other words, dont think of yourself as a
networker but as a problem solver, and
look for those same characteristics in
someone you will consider adding to your
personal network.
Form a strategic alliance
A network is not a collection of business
cards, but of people. Take the time to
understand the business of those in
your network. If youve chosen members
wisely, this should be a pleasure. And
make sure that you educate them
completely about what you do and
whom you do it with. Give each other
updates and encouragement. In effect,
you become each others sales people.
Remember that the purpose of
networking is not to get your contacts
business; instead, youre trying to get
business from everyone this person
knows.
You should also be able to turn to
those in your network for management
ideas, advice, leads, even vendor
recommendations. You will learn from
each other and contribute to each others
growth, both in terms of profit and
performance.
Maintenance
As your contact base grows, you
have to re-evaluate the people in your
information loop. Practice effective time
management skills and prioritize your
contacts. You will want to get in touch
most often with those that can be most
useful to you. They will become your
inner circle.
Be careful never to burn bridges; you
never know when someone will be able
to help you, or when you will be able to
help them. If you feel as though someone
is not useful to you right now, you still
will want to check in with them now
and again, because they may become
important down the road. In other words,
be nice to everybody because you never
know where theyll show up.
 corporate
happenings

17

I Scream for Ice Cream!

T
heres nothing that melts our
heart seeing the smile of the
kids from Taska Pintar enjoying
their free ice cream.
In conjunction with the celebration of
Labor Day, SME Bank distributed ice
cream to all the staff including their to strive to become competent,
children at Taska Pintar SME Bank as a innovative and creative employees
gesture to appreciate their hard work. who will drive the growth of the Bank.
In line with this years motto, Creative
Workers Spur Innovation, the Bank
hopes that the staff will continue

SME Bank
Bantu
Rakyat
Syria
P
ada 4 April 2017, SME Bank telah
menyalurkan bantuan dalam bentuk
wang tunai berjumlah RM30,460.00 hasil
kutipan wang sumbangan staf serta sumbangan
korporat SME Bank kepada Syria Care.

Syria Care merupakan sebuah Badan Bukan

Kerajaan yang membantu menyalurkan wang
sumbangan, bekalan makanan dan perubatan
kepada rakyat Syria yang tertindas akibat
peperangan. YBhg. Tan Sri Faizah Mohd Tahir,
Pengerusi SME Bank telah menyampaikan cek
kepada Ustaz Rizal Ali, wakil Syria Care.
 corporate
happenings

18