The words you are searching are inside this book. To get more targeted content, please make full-text search by clicking here.
Discover the best professional documents and content resources in AnyFlip Document Base.
Published by azizulhazmi23, 2022-07-06 10:12:14

Report on Top Glove's POLC (MGT400)



Prepared for:



Prepared by:



AMMAR BIN AZIZAN (2021627958)



Submission date:

24 JUNE 2022


Content Page

Acknowledgement ii

1.0 Introduction 1

2.0 POLC of Top Glove 3 – 9

• 2.1 Planning

• 2.2 Organizing
• 2.3 Leading
• 2.4 Controlling

3.0 Conclusion 10

References 12



First of all, we would like to thank Allah SWT because he eases our journey to

complete this assignment and also we would like to show our gratitude to Madam Norsaniah
Binti Md Noh who is always being so kind and providing clear explanations and guidelines

for us to fulfil this assignment. Thanks to all our group members for all your cooperation.
Last but not least, also thank you to our parents and families that are always our loyal

supporters that are one of the main spirits in our studies. We also would like to express our
gratitude to our classmates and team members themselves and also people that were

directly or indirectly involved in helping to finish this assignment.



Tan Sri Dr Lim Wee Chai established The Top Glove Corporation Bhd. in Malaysia in

1991, with one production line and 100 employees. The proprietors and traders of Wee
Chai's parents' rubber plantations. Since then, Top Glove has grown to become the largest

glove producer in the world, with a 26% market share. In August 2001, Top Glove was
floated on the Kuala Lumpur Stock Exchange, today known as Bursa Malaysia. On May 16,

2002, the listing for Top Glove Corporation Bhd. was moved from the Second Board to the
Main Board after a year. Top Glove was also listed on the Main Board of the Singapore

Exchange on June 28, 2016, at position number. Top Glove declared in 2017 that they
would invest RM30 million (about $7 million) to start a new contraceptive company in 2018.

Top Glove had a shareholder fund of RM6.95 billion as of February 28, 2022, and the group
generated sales revenue of RM1.45 billion during the second quarter of fiscal year 2022

(Bursa Malaysia, 2022). Top Glove had 2,000 customers, 50 facilities, 195 exporting nations,
and 812 production lines as of November 2021.

Top Glove Corporation Bhd. is known as the largest producer of nitrite gloves,
natural rubber gloves, and surgical gloves. It was founded in Malaysia in 1991 and initially

operated as a small local firm with just one facility and one glove production line. The
company now has manufacturing facilities not only in Malaysia but also in Thailand, China,

and Vietnam. Since that time, sales have surpassed output. Additionally, the corporation
employs over 21,000 people and has marketing offices in all of the aforementioned nations

in addition to the USA, Germany, and Brazil. According to records, Top Glove Corporation
Bhd. exports rubber gloves to 195 different nations, accounting for 26% of global


An increased movement control order has been put in place in the neighborhood as

a result of many COVID-19 instances being discovered in one of the Top Glove dormitories
in Klang in the middle of November 2020. More than 4,000 cases had been connected to
the Top Glove dormitory cluster by November 27, 2020. The EMCO at Top Glove dormitories

in Malaysia was extended on November 30 through December 14. A total of 28 plants in

the region had to be temporarily closed by the corporation in stages (Beech, H. ,2020). In
December 13, 2020 several South Asian migrant laborers contacted the Agency France-


Press about "appalling" living circumstances, including crowded dorms accommodating 25

people, according to a (Malay Mail, 2020).

In 28 of Top Glove's 41 facilities, the COVID-19 virus had spread because to the

overcrowding. Top Glove made plans to develop "mega-hostels" with modern amenities and
the capacity to house 7,300 people in response to criticism and media attention. They also

announced plans to purchase more worker housing. The same day, it was revealed that
Yubaraj Khadka, a whistleblowing Nepalese migrant worker, had been sacked by Top Glove

for posting images of the cramped working conditions, which Reuters later picked up. (Malay
Mail, 2020) Top Glove said in April 2021 that it would invest up to RM300 million to provide

hospitable workers' accommodations that adhere to the Workers' Minimum Standards of
Housing and Amenities Act 1990 during a media tour of its workers' accommodations in

Klang and Setia Taipan (Act 446). As part of its efforts to enhance living and working
conditions at its plants, glove manufacturer Top Glove Corp Bhd is collaborating with

independent worker rights expert Andy Hall. COVID-19 pandemic clearly affect the Top
Glove but there some advantage this company gains such as demand from the health sector

from various country around the world.




Planning function is setting objectives and choosing a course of action to achieve
those objectives in management. Managers must be aware of the current state of their

organization's environment and foresee future situations in order to plan. According to
Koontz and o’ Donnell, they say, “Planning is deciding in advance what to do, how to do it,

where to do it and who is to do it. Planning bridges the gap from where we want to go. It
makes possible for things to occur while would not otherwise happen”. It also necessitates

that managers make sound decisions. The process of planning is made up of various steps.
Environmental scanning is the first step in the process, which essentially implies that

planners must be aware of the major contingencies that their firm faces in terms of
economic conditions, competitors and customers. After that, planners must try to predict

future conditions. These projections serve as the foundation for planning. Planners must set
goals, which are assertions of what must be accomplished and when. After then, planners

must come up with alternative strategies for reaching goals. After weighing the many
options, planners must decide on the best course of action for accomplishing their goals.

They must then devise the appropriate measures and guarantee that the plans are carried
out effectively. Finally, planners must regularly assess the success of their plans and, if

necessary, take remedial action.

There are three basic types of planning in management which known as strategic,

tactical, and operational planning. All of this planning was done by various management
levels, starting with top management and working down to lower management. The first is

Strategic Planning, which is the process by which an organization's executives establish its
future vision and set goals and objectives. Part of the process is determining the order in

which those goals should be fulfilled so that the organisation can attain its stated vision.
The second type of plan is tactical planning, which is used to support strategic plans by
converting them into specific plans that are applicable to a specific region of the company.

Tactical plans deal with the accountability and functionality of lower-level departments in

carrying out their responsibilities under the strategic plan. The last one is operational


planning, which is a highly comprehensive plan that shows how a team or department will

contribute to the achievement of the organization's objectives.

The vision of Top Glove is " to be your world-class partner in gloves and healthcare

goods." while their mission is to "provide safe human protection globally,". In line with their
vision, Top Glove aspires to compete favourably with other well-known manufacturers such

as the Volkswagen Group, Samsung Electronics, Cardinal Health, and Hon Hai Precision
Industry. This also can be proof with Top Glove aim to become Fortune Global 500 company

in 2030. The durability of their Top Glove brand and reputation is the cornerstone of Top
Glove's aspiration to rank among the Fortune Global 500 by 2030. The foundation of our

long-term business relationships with our clients and suppliers, as well as all of our
stakeholders, is Top Glove's dedication to environmental, social, and governance compliance

to the highest standards.

The Top Glove released their Sustainability Policy (Policy) on June 15,2022, outlining

its responsibilities in the areas of governance, traceability, and the environment. The Policy
directs the supply chain of the Company as well as all Top Glove subsidiaries and joint

ventures in terms of ethical and responsible sourcing and procurement. In addition to
adhering to the United Nations Sustainable Development Goals, it was designed in

conjunction with a range of stakeholders, including investors, nongovernmental groups, and
experts. Top Glove is aware of the effects their operations have on the environment, its

staff, and the communities they support. They are dedicated to leading the health care
manufacturing industry in sustainability and fostering a brighter future for all parties

involved. ‘Being a People-Centric Corporate Citizen’; and ‘Creating Long Term Value Through
Ethical Business Practices and Continuous Stakeholder Engagement’ are the three strategic

topics that are mentioned in the Policy. Top Glove recognizes and supports international
human rights values and keeps high ethical standards in addition to supporting "No

Deforestation" and "Protection of Peatlands." The Group has made a commitment to
establishing a Net Zero Carbon target year by FY 2025 and aspires to achieve natural rubber
sourcing traceability of 70% to plantations. Identification of important regions with

significant conservation value and carbon stocks, as well as societal problems and conflicts,

is made possible by traceability.


Top Glove gives students the opportunity to participate in a structured Industrial

Trainee Training Program in order to generate well-trained employees. Students will get a
chance to learn what it's like to work for the biggest glove manufacturer in the world. As a

result, students will experience a true workplace setting alongside our Top Managers. Top
Glove Trainees receive a competitive stipend in addition to exposure to a variety of facets

of corporate culture and good production processes. Following the end of their
undergraduate education, Industrial Trainees may be offered full-time careers at Top Glove.

Industrial Trainees will be evaluated based on their perseverance during the training period.


Organizing is the second element in management after planning which is managing
human interactions, organize resources and combines both in a way in the achievement of

goals. This includes determining the ways and methods by which the plans can be carried
out. Organizing means a process that enables plan implementation by identifying jobs,

working relationships and effectively utilizing resources to achieve targeted and desired
results or goals. As a result, it is a process that includes human activities, gather resources

and merge both into a single whole to be used to achieve certain goals. It is a managerial
function and this function also known as the organizational process.

The concept of organizing is integral to management as it facilitates smooth
functioning of the company. Organizing is not a single function that can be accomplished in

a single stroke, but rather a series of functions. It includes gathering information about
objectives, deciding on and grouping diverse activities, selecting significant activities,

delegating authority and responsibility and so on. Organizing is about people and their
habits that heavily influenced by their working conditions, their competency and capability
and changes in the organization's internal and external environments. The organizational

process must also be improved in response to these developments. As a result, organizing

as a process can also be defined as a dynamic element.

In our research on Top Glove website, the company follows good organizing concept

that help the company to reach their vision and mission, establishing excellent division of


labor, grouping of activities and coordination of departments. Top Glove are a very

determined company that wanted to reach its vision and mission to become reality. The
chairman of the company, Tan Sri Dr Lim Wee Chai shares his business rules in his years

with Top Glove. The rules are ‘Do not lose our shareholders’ money’, ‘Do not lose our health’,
‘Do not lose our temper’ and ‘Do not lose our customer’. I believe this is his recipe to ensure

he is always be reminded of these rules along with his departmental directors, executive
committee, senior management and also the staffs. It helps the working environment

always in check following these rules and the first step to have the work or task done by
every staff in the company.

Top Glove apply good division of labor which is the amount of work are divided in
various department with its own responsibility for the success of the company. The total of

work that are divided into many parts give large effectiveness in the performance of work.
The work is classified into different manageable activities to avoid redundancy. Each part

of work is performed by one person or a group of persons. In this way, the division of work
results in the creation of specialized persons. The special persons consist of directors,

executive committees and senior management team that leads the staffs at each of different

The departments with their own specific responsibilities of tasks are grouping of
activities that is a grouping process called departmentation. The tasks are needed to be

grouped based on its function, product, customer, process and territory. It helps a company
in achieving the benefits of specialization and administrative control. Top Glove consists of

departments with many expertise needed to bring the company to higher level such as in
marketing, research and development (R&D), information technology, health and medical

and also engineering, etc. These field of expertise is exposed for job seekers to fill in their
dreams, experience or their willingness to work and the needs for the Top Glove stay in

their business activities.

Coordination of departments are needed to unified equally with other departments

in reaching the company’s true main goal. When people perform tasks assigned to them at
different levels in different departments, it is important to ensure that the tasks are related
to each other and aim at unified goals. It requires coordination among the tasks of all the

organizational staffs. Coordination is the act of organizing, making different people or things


work together for a goal or effort to fulfil desired goals in organizations. It is a managerial

function that aims to adjust and connecting activities of the business. For example, the
research and development (R&D) department have their own objective to achieved. At the

same time, their objective is in unification with company’s vision and mission that relates to
giving best quality of their products involving gloves and non-gloves products such as

medical face masks.


Leading entails motivating and encouraging people to take action. Effective leaders
motivate their teams to work enthusiastically toward achieving the aims and objectives of

the company. Understanding the attitudes, values, and personalities of their staff members
will help managers become more effective leaders. Managers may learn how to motivate

employees to put in a productive effort, for instance, by studying motivation and
motivational theory. Studies on communication point managers in the direction of effective

and convincing communication. Managers must make extra decisions on the hiring of local
workers versus moving people from the home country when an organization's activities

transcend borders.

A company's leadership gives guidance for its employees. Employees must

understand the company's direction and who to follow in order to get at their objective.
Leadership entails demonstrating to staff members the proper way to carry out their duties

and periodically checking on their progress. Setting a good example for your team to follow
by being enthusiastic about your job, driven to learn new things, and willing to pitch in

when required in both individual and group activities is another important aspect of

The success of Top Glove has been attributed to the unique employee-centric culture
that Tan Sri Dr. Lim Wee Chai, Executive Chairman of Top Glove, has fostered. This culture
places a high value on discipline, good health, and preserving the core values of honesty,

integrity, and transparency. With increased size comes complacency.


As businesses become more established, complacency comes in, and the efficiency

of their decision-making is crucial to their long-term viability. Big businesses need to be
aware of market trends, comprehend how clients are changing, and get ready for this in

their operations. To establish brand credibility, they must consistently encourage their
customers to leave reviews for their goods. Markets and consumers are perpetually

unsatisfied. They must gauge their success based on how well they are doing in the eyes
of the clients in order to adapt to shifting market conditions. In order for the product to

improve with each run, they must push themselves to do better with each sale.

This is why factory spot inspections are so important to Top Glove's work culture

since they guarantee that everyone in the office takes responsibility for the quality of their
goods in addition to putting the responsibility of quality on the manufacturing and

production teams. In the end, the business is made up of its goods. High standards are the
foundation of great businesses. They must preach and uphold high standards in all areas

and functions if they want to remain competitive. In order to encourage high standards
across all parts of their organizations, they must cultivate and enlist leaders and talent. The

outcomes, like as customer loyalty and financial success, will take care of themselves if they
concentrate on the inputs, they have control over, such as product quality and customer

experience. The responsibilities held by the leader can lead to the success of the company
when their subordinates are successfully led.


Control means the function of building certainty that the actions of the employees

of a corporation are heading towards the achievement of standard goals and the work is
carried out as planned by the administration and management. The main parties to the area
of control are the management as they need to ensure that the organization's goals are

achieved as planned and need to be on time. Controlling is a vital function in an organization

Top Glove monitors the employee’s performance and can make sure they find criteria and
ways to improve progress for the organization. The management needs to ensure that the
materials used by the organization are correct and not as tough as it is a pointless thing.


When there is control over management then resource management will also be more

effective and efficient.

Top Glove needs to be more committed to ensuring that the risk management and

control system is more stable and sounder, effective, and always efficient to deliver and
protect shareholders' investments and the group's assets. Therefore, the risk management

and control system is the most important part as it helps in detecting and managing the
group's risks rather than eliminating the entire opportunity of failure to achieve the objective

of the group's strategy. It can provide reasonable and not entirely absolute assurance
against loss and fraud.

Top Glove considers risk management to be half of all business activities. Thus, the
Board directly assumes the responsibility of identifying risks and problems. They also ensure

that the implementation of a dynamic system against risk exposure is at an appropriate
level. The Board as a whole or through the Risk Management Committee (RMC) reviews the

group's risk management system which includes risk identification, monitoring, reduction of
reporting, and evaluation.

In addition, the Risk Working Committee (RWC) was established in 2013 to assist in
facilitating the risks of the management initiative group at the Management level. This RWC

serves as the driving force behind the routine risk of management activities. Their main
function is to provide feedback on the status of risk factors that can facilitate decision-

making management. It can also help in terms of the implementation of appropriate risk
mitigation measures.



Top Glove is a company that really show Malaysia and the whole world that they are

stick to their vision which is to be a world class partner in production of high-quality gloves
and healthcare products at an efficient low cost. The company today is known to be the

world’s largest manufacturer of gloves holding 26% of the world’s market share for rubber
gloves production and their factories are not only based in Malaysia spread but also in

foreign countries such as Thailand, Vietnam, China, Germany, United States of America and
Brazil. The company can achieve this great achievement because in our opinion and

findings, Top Glove have followed good management skills based on the four elements that
are planning, organizing, leading and controlling. They can achieve this greater height

because of their planning ahead attitude and a leader with great qualities.

From the ‘The Star’ newspaper dated on 18 June 2015, there was an article about

Top Glove company plans to boost its nitrile gloves production capacity as the outlook for
the segment looks promising. They expect that the demand for nitrile gloves to increase in

the upcoming years with their continuous expanded plans. The company targeting that the
demand for nitrile and rubber gloves will set the ratio to be 50:50 in the next three to five

years globally. Top Glove chairman, Tan Sri Dr. Lim Wee Chai also adds that there is a
progress for expansion plans for factories catering for nitrile gloves in Port Dickson, Klang

and in Thailand that is scheduled for its completion in 2016. The article really shows their
planning strategy is always ahead when they have the chance to make sure their business

in rubber glove production still getting the attention to customers worldwide.

Other than that, the chairman of Top Glove company Tan Sri Dr. Lim Wee Chai

shows great leadership in making sure the company’s rubber glove business is ongoing and
relevant in the market. He states that in avoiding complacency, customers are the focus

and always to be alert on the market trends. Moreover, a company needs to understands
the evolve of customers to prepare new business strategy. He also wants the company to
stay making high quality products with high velocity decisions. The statement from Top

Glove chairman showing that he is very committed to the customers satisfactions on the

company’s products and building trusts with them to improve every sale the company make.


He also shares his philosophies involving motivational quotes, business quotes and

healthy lifestyle quotes in the website with the purpose of showing to people the things that
he had learn or experience. His philosophies may reach many people who visiting the

website such as his colleagues, netizens and also ourselves too. It gave us new knowledge
that can be applied in our life, a brief about products that have success in over the years

and also the chairman’s own experience. For example, Tan Sri Dr. Lim Wee Chai initiated
his own philosophy on the importance of health which is ‘money cannot buy life and time

and all us need to have knowledge and make an effort to live healthy and longer’. He also
shares the Top Glove’s working culture that is based on meritocracy without favoritism or

discrimination in preventing corruption and bribery. The chairman really highlighted on
practicing effective value assessment and being honest and disciplined in giving constructive




Beech, H. (2020). A Company Made P.P.E. for the World. Now Its Workers Have the Virus.

The New York Times.


Bursa Malaysia. (2022). Quarterly report on consolidated results for the financial period

ended 28 Feb 2022.


Keerthi, D. (n.d.). What is Organizing in Management? Economics Discussion. Retrieved

June 20, 2022, from


K, R. (2019). Planning Definition: Definition of Planning in Management. Essays, Research

Papers and Articles on Business






Mail, M. (2020). ‘Profits over people’: Covid-19 overruns Top Glove factories as workers

speak of appalling accommodations. Malay Mail.


Malay Mail. (2020). Top Glove fired whistleblower before Covid-19 outbreak. Malaysia |

Malay Mail.



Managing the International Business with the P-O-L-C Framework. Retrieved June 21,

2022 from


Pressbooks. (2015). 1.5 Planning, Organizing, Leading, and Controlling – Principles of


planning-organizing-leading-and-controlling-2/ (2022). Types of Planning: Strategic, Tactical, Operational & Contingency



The World’s Largest Manufacturer of Glove. (2022). Top Glove.



The World’s Largest Manufacturer of Glove. (2022). Top Glove.

Top Glove Corporation Bhd. (2020) Integrated Annual Report 2020


Twin, A. (April 25, 2022). Leadership. Understanding Leadership. Retrieved 21, 2022 from

What is Organizing? definition, characteristics, process and importance. (2021, February

13). Business Jargons.


Click to View FlipBook Version