To:

Mr. Ahmad Ismail, Branch Manager of TW Frozen Food Company, No.15, Jalan Mutiara Biru, Taman Mutiara 09700 Karangan, Kedah Darul Aman. E-mail: [email protected] Tel: 06 044057185 Fax: 06 04 4056186

From:

Azmi Baharom, Store Manager of Giant Hypermarket Alor Setar, Lot 273 & Lot 3569, Jalan Langgar, Mukim Alor Malai 09770 Kota Setar, Kedah Darul Aman. E-mail: [email protected] Tel: 06 4477891 Fax: 06 4477198

Date: Subject:

12 October 2011 (Tuesday) Report of Complaint of Some Frozen Lambs Had A Peculiar Taste by Customers.

1.0 Introduction Based on complaint received, I would like to report about this matter to your company about this case. I received this complaint last week started on Monday morning from our

customers. They brought the frozen lambs and showed to us in the shop about their unsatisfactory. I felt guilty because most of them were our regular customers. They lived in this surrounding only. Now, from last Monday, 3rd October until 8th October 2011, I received 20 packets of damaged frozen lambs. It was first time I got complaint about the goods in this shop. I found that this was a serious case and it involved our image and quality of our products. We had a good image before in this frozen meat especially frozen lambs. Here, I put four possible problems that may cause of frozen lambs.

2.0 Problems Based on the complaint received, as a Store Manager, I did a survey about this problem. I asked our staffs to do the survey. They had taken all the returned frozen lambs from our customers and identified the problems. In the survey, we tried to identify the problem about the frozen lambs and solutions to the problems. In the survey, I asked the staffs to find the colour, expiry date and the prices of the frozen lambs. I put the survey in Appendix 1. Based on survey (refer Appendix 1) administered among customers on 3rd Oct 8th Oct 2011, the

complaints can be divided into three major factors such as colour, expiry date and price. From the survey, we found that 4 possible problems caused.

2.1 Problem 1- Packing Recently, when the staffs took the returned frozen lambs, they were still in packets. The packets were in well packaging. The plastics packets were not broken too. Our staffs saw those of frozen lambs could not be eat. The colour was changed from red to green. The taste of the frozen lambs also became different. They had a peculiar taste. They looked like to be mucous. They were unhealthy to eat. I also felt confuse about this incident because it was first time I received the complaint. However, I took the photos of the peculiar lambs and put them in Appendix 11. From the observation and survey, our staffs found that, the customers told that they did not open yet the plastics after bought from the shop. They only saw that when they wanted to use that.

2.2 Problem 2- Expiry Date The second possible problem is expiry date. We also looked at the expiry date at the packing frozen lambs. When the staffs looked at the expiry date, it showed that it only expired on 20 March 2012. We also checked again the expired date of the lambs a few times. We also checked all the frozen meat that your company had sent. We found that there were nothing happened with the expired date.

2.3 Problem 3-Cost The third possible problem is about the cost. From the survey also, we found that we had to pay to our customers. Furthermore, we had to pay the guarantees to our customers. The costs were about RM 400. One packet costs RM20.00 and until now we got 20 packets from our customers. We had to use our money to pay them. So, we had to increase our cost. We always sold our frozen lambs 35 packets a day. However, now we only could sell on 5 to 8 packets only a day. I put the invoice of the frozen lambs that our shop bought from your company. The invoice is No. FRL 34567 L. I put in Appendix 111. You can refer the invoice to make sure the goods and the prices are tally with the prices I had given.

2.4 Problem 4-Lack of Customers Besides, we also lost our regular customers. Most of them live in this area. They always bought their groceries here. They did not come to our shop because of this incident. They felt that all our goods were also bad. They lost confidence with our groceries here. Now, they went to another frozen shop nearby.

For your information, frozen lambs were one of favorite frozen meat in this shop. These frozen lambs became a famous meat because the meat is fresh and healthy. The customers told that the meat was easy to cook. When we started sell the lambs, the customers like to buy the meat here and always sold out. Now, our supermarket also is in bad image. Most of the customers discussed about the sold frozen lambs. They could not accept the incident even though our staffs explained about it. Actually, I also asked my staffs to check our freezers and meat here. We found that our freezers were in good condition. The temperature was cool and the freezer was clean too. I did not have any problem with the freezers here because we had schedules for our staffs to check the freezers and other equipments in the supermarket. Then, they would have a report about their duties.

3.0 Suggestions and Recommendations Based on the problems above, I had a meeting with our managers on Thursday, 9th October 2011 in Main Meeting Room. All the managers from all departments attended the meeting. They were Marketing Manager, Housekeeping Manager, Human Resource Manager and Customer Service Manager of our branch. During the meeting, I presented the surveys to them and the findings from the survey. We discussed and focused attentively the problems and solutions of the complaints. We found that this complaint caused a few problems to us especially of our customers. We faced seriously about the problem affected. We did not want to have problems with our customers again because it will increase our cost and image of our supermarket. Here are a few suggestions and solutions to the problem from us.

3.1 Suggestion 1-Observation

Firstly, I would like to suggest that your management in your company should go and observe the supermarket that you had supplied the meat. Make schedules for your staffs to do their works carefully. The schedules must be checked and verified by the manager and make sure they followed it correctly. You can send your officers to check the frozen meat those were supplied at least twice a month. Ask your staffs to give more attention and details of their works. Now, your staffs did not come and check the frozen lambs. Even though we did not have any problems with meat but your company should ask your staff to recheck the goods and do their works carefully. We found now that they did not do their works well and their performance also low. If your company can send your staffs according to the schedules, I think this problem do not happen again. So, you will know about your products well. Management also should remind the staffs that they were working in a famous and quality hypermarket. The supervisor must be aware about their workers too. We also do not mind if you want to check the condition even though we were in good condition. It will also help your company to increase the quality of your services.

3.2 Suggestion 2-Supply Quality Frozen Meat Another alternative to solve the problem is your company should supply the good and quality frozen meat. The meat imported from Australia and it was one of best and fresh frozen meat in the world. So, we do not have any problems with the meat. However, here I have a few suggestions about quality frozen meat. 1) Before you send to the shops, make sure your staffs checked the meat carefully. Lorries of the suppliers also must be in well condition too. 2) The temperature of the freezers in the lorry must cool and clean too. The temperature of cold storage must -18oC (until -30oC). Make sure they recheck the temperature and the condition before they put the things there. 3) The staffs must clean the lorry before they put the meat in the freezers. 4) The chiller in the freezer also must always be check. The technician must aware about the chiller in the freezers because it is very sensitive thing.

5) The quartering, deboning or slicing must be had table, knives and rope. All these things must always be clean and tidy. 6) The workers must put the meat in correct freezers. 7) New meat must be put in the blast freezer. 8) The frozen meat must be transfer in cold storage. 9) The frozen meat must in well condition lorry and it must had conditioner box ( temperature < -18oC) Sometimes, the staffs only take for granted about this. They do not bother about all this. If the freezers are well conditions, all the frozen meat especially frozen lambs can be used 2 or 3 months after buying from the shop. It can be long lasting meat. So, the customers can used the meat for a long time.

3.3 Suggestion 3-Training Thirdly, we also would like to suggest your company to have training for the staffs especially to the Branch Store Managers a year. It also will enhance our quality of productivity in this area. Training is very important to the staffs. Some of the staffs are lacks of experiences and knowledge. They only have certificate but no experience. New staffs need to be more training. The company can have: 1) staff course 2) motivation training 3) in house training The training can be done twice a year and you can gather the staffs from all the branches. From that, the staff can improve their knowledge and productivity. During the training, management can give a lot of knowledge and suggestions to staffs. It will increase their knowledge about the management and keeping meat healthy. The staffs are lack of knowledge after working for a long time. It also will enhance our quality of productivity in this area.

Motivation training is very important to the staffs. They need to be motivated to enhance their company productivity and quality. The management can called the well-known motivator in Malaysia or oversea. During the course or training, the management must remind the staffs about the important working in this famous hypermarket. They should be reminded about the important to take care of image and productivity of the hypermarket. Brand Management in Giant Hypermarket should take part to renew the brand of the staffs in the hypermarket. Their paradigm and attitude must be change suitable with new era and globalization. So, they will have new paradigm in their mind. The changes of the attitude and mind may be takes times but if we can start from now we will see new brand of staff in the coming days. I believe that if your management can do this course, it will increase the Giant Hypermarket image.

3.4 Suggestion 4-Customer Recommendation Box and Complaint Counter Lastly, we would like to suggest that your company should think about customer recommendation box and complaint counter to the customers. We can have the box and the counter in front of the hypermarket. The customers can give their complaints and recommendations to us when they came to our hypermarket. We can use the complaints and recommendations to improve our management quality. The customers can give their complaints about the products, staffs or quality of hypermarket. Management must always check and take the recommendations or complaints to improve the management quality. If the recommendations or complaints can be used, management must quickly take an action to the customers complaint. So, we do not have received any complaints and the problems can easy to detect. Management can also take an action early. Some of the customers have new ideas and we can use it to improve our quality of management. All the suggestions and complaints are important to our company because we can use it improve our image of hypermarket.

Conclusion I hope from the possible problems and the solutions given, your company will take quickly an action to our company. We had become a business partner about 7 years since 2004 and nothing was happened. Your company is main supplier of the frozen meat to us. Your hypermarket was became a famous hypermarket among Malaysian. Giant Hypermarket is a well-known hypermarket in Malaysia since in 1999, the first Giant Hypermarket was opened in Shah Alam, Selangor. In 2011, the company was opened 119 branches in Malaysia except Perlis. The hypermarket supplied a lot of things such as frozen food, plastic goods, clothing, tools, automobile tools and all household things that the customers really need. The hypermarket also received awards from Malaysia Government every year like: 1) Inter brand ranked Giant as Malaysias 11th Most Valuable Brand in 2007 2) 12th Most Valuable Brand 2008 3) Top Retailer in Malaysia and Best of the Best in Asia Pacific Retailers Award for consecutive years in 2007 and 2008. 4) The Best Brands in Consumer (Hypermarkets), The Brand Laureate Award 2007/2008 for Corporate Branding. 5) Excellence Service Quality Award in 7th Asia Pacific International Entrepreneur Excellence Award. All things are appreciation of your company as one of the good company in Malaysia. From that we know that Giant Hypermarket will do the best in the following years. That is why other hypermarket also respects to your company of good performance. I hope that you will think about our suggestions. We do not want to lose business partner. It is difficult to find new partnership. However, I also want your company to pay back the guarantee of the peculiar frozen lamb that I had noted before 31st December 2011. We had to suffer of the damaged of the lambs. It is up to you choices weather your company want to pay the money back or give the extra frozen meat to us. However, I hope this case can be solved as soon as possible before end this year (31 December 2011). It is important to us because we need a vote of confidence from our customers back. The customer confidence and belief are very important in business world. The slogan Customer

always right must be bear in our mind. We had to find some ideas to get back our regular customers. We also have to improve our image and brand of our company. I hope that all the problem can be solve and settle as soon as possible. All the incidents happen were not happen again next time. I hope your company will take the responsibility about this case and give cooperation to the problems. I hope to hear good news from your company as soon as possible. Thank you for attention to our company.

APPENDICES APPENDIX 1 Survey of the Frozen Lambs 3rd Oct -8th Oct 2011 No. 01 02 03 Date received 3.10.11 3.10.11 3.10.11 Color Yellow Yellow Yellow Packaging Ok Ok Ok Price Expiry date

04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20

4.10.11 4.10.11 5.10.11 5.10.11 5.10.11 5.10.11 6.10.11 6.10.11 6.10.11 6.10.11 7.10.11 7.10.11 7.10.11 7.10.11 8.10.11 8.10.11 8.10.11

Yellow Green Green Yellow Yellow Green Green Green Yellow Yellow Yellow Yellow Yellow Yellow Yellow Yellow Yellow

Ok Ok Ok Ok Ok Ok Ok Ok Ok Ok Ok Ok Ok Ok Ok Ok Ok

APPENDIX 11 PHOTOS OF PERCULIER FROZEN LAMBS

APPENDIX 111 INVOICE No. FRL 34567 L