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SIME DARBY BERHAD

his SWOT analysis contains 59 data points.


Strengths

-high growth rate


-existing distribution and sales networks
-barriers of market entry
-reduced labor costs
-skilled workforce

Weaknesses

-tax structure

Opportunities

-new products and services


-new markets
-growth rates and profitability
-growing economy
-global markets

Threats

-financial capacity
-increase in labor costs
-government regulations
-tax changes
-rising cost of raw materials
-technological problems
-growing competition and lower profitability

Financial and Strategic SWOT Analysis provides a comprehensive insight into the company?s history, corporate
strategy, business and financial structure, management and operations. The report contains a detailed SWOT analysis,
information on the company?s products and services, key competitors, as well as detailed financial information.
Sime Darby

Parent Company Sime Darby Berhad

Category Conglomerate

Sector Distribution and Marketing

Tagline/ Slogan Developing sustainable futures

USP Operational excellence and high performance standards

STP

Motors, plantation, industrial, property, energy and utilities, and


Segment healthcare

Potential Buyers of automobiles, industry; government and


regional tourist market; consumers of edible and other fat oils,
juices and sauces; plantation, property, mining, marine, forestry,
construction, port sectors and power systems industries;
Target Group potential buyers of Caterpillar products

Company with Integrity, Respect & Responsibility,


Positioning Excellence and Enterprise

SWOT Analysis

1.Has a strong presence in over 20 countries especially in Asia


Pacific employing over 100,000 people
2. Diversified product portfolio resulting in decreased risk of
operation
3. Strong financial performance
4. Balanced revenue stream (Motor segment, Plantation,
Industry, Property, Energy and utility, Healthcare)
5. Uniformed growth rate from across all the geographical
locations
Strengths 6. One of the major business houses in all of Malaysia

1. Legal claims affecting the brand image of the company


Weaknesses 2.Fluctuating non-operating revenue due to irregular investment
and disinvestment operations, effectively affecting bottom line
3. Accused of lighting some of the fires on Indonesian
plantations that caused widespread pollution issues in Malaysia
and Singapore

1. Strong outlook for the global oil crops consumption


2. Inorganic growth strategy
Opportunities 3. Robust outlook for the Chinese automotive sector

1. Competitor aggressiveness and Intense competition


2. International Currency fluctuations is a risk
3. Unfavorable govt and political conditions can affect brand
Threats and operational efficiency

Competition

1. EmpresasCopec S.A.
2. Hutchison Whampoa
3. Kanematsu Corporation
Competitors 4. Wilmar International
Swot analysis
Strength
Sime Darby is a successful business in Malaysia and it is a company which
involveddifferent types of nature of business in its operations. In the way to become such
successfulcompany, there are some strengths that have been performed by Sime Darby.One
of the strength is Sime Darby provided a wide and comprehensive range of goodsand services
in over 300 companies which located in more than 20 countries especially in theAsia Pacific.
These business operations and activities of Sime Darby have been performed bymore than
30,000 employees (Sime Darby, n.d.). In fact, this has directly increases the
marketing position of Sime Darby in the competitive market. Sime Darby owned the strong
presences withthe huge number of existing businesses and companies all over the
world.Besides that, Sime Darby has the strength of lower risks in its operations due to
thediversification of the business. Sime Darby is diversified into few categories which named
asSime Darby Plantation, Sime Darby Motors, Sime Darby Industrial, Sime Darby Property
andSime Darby Energy and Utilities (The Sime Darby Group, n.d.). This diversification
actuallyleads to the reduction of risks in the company. When there is uncertainty in one sector
and lossesmight be happened, the diversification is able to decreases the amount of losses in
the companysince it is not only focused in one sector.
Moreover, other strength of Sime Darby is the strong financial performances. In
therecent year, Sime Darby obtained a strong and all round financial performance which it
hasrecords a pre-tax profit of RM 3.1 billion and a net profit of RM 2.2 billion (Sime Darby,
n.d.). Itshowed that Sime Darby increase the profit by almost 40 percent and this indicated
that SimeDarby has an efficient and effective financial management in its
operations.Furthermore, Sime Darby has a strong governance structure which considered as
one ofthe strength to improve their growth. The governance framework of Sime Darby is
two-
tier board structure which is headed by the main board and followed by the Flagship Subsidia
ryBoards (FSBs) (Corporate Governance Report, n.d.).It’s a strong governance
framework fo
NBPOL

Strengths

-reduced labor costs


-monetary assistance provided
-high growth rate
-domestic market
-experienced business units
-high profitability and revenue
-existing distribution and sales networks

Weaknesses

-cost structure
-future debt rating
-tax structure
-competitive market

Opportunities

-venture capital
-growing demand
-income level is at a constant increase
-growing economy
-new acquisitions

Threats

-government regulations
-increasing costs
-increase in labor costs

http://www.swotanalysis24.com/swot-n/75879-swot-analysis-new-britain-palm-oil-
limited.html
After MERGE and ACQUISITION

1) The firm's two refineries in the United Kingdom and Papua New Guinea
a. total refining capacity by 300,000 tonnes to 4.05 million tonnes
2) NBPOL shares opened up 79 pct in low volume trading in London, while
Sime Darby shares rose only slightly.
3) "The offer will provide an opportunity for all shareholders to realize their
investment in NBPOL at an attractive valuation and we also believe it
represents a positive outcome for our employees, our customers and
other stakeholders," said Antonio Monteiro de Castro, chairman of
NBPOL.
a. http://www.reuters.com/article/us-sime-darby-bhd-new-britain-
idUSKCN0HY05820141009