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0 INTRODUCTION

KASUT YOU is one of the company that runs a retail concept, it is also a business that emphasizes on family
needed, from infant elderly. Shoes are footwear that aims to protect and entertain human feet while wearing a
variety of activities.

Basically, during the launch of Kasut You, the material used for the shoe making process were leader, wood and
canvas, since 2010, they were upgraded their manufacturing method by using rubber, plastic. And petrochemical
which has a lot of benefits and allows durable and quality shoes. In fact, human feet have many forms, so important
is the need for safety and comfort to their users.

Actually, Kasut You was started in two store at lot along Jalan Banggol, Kuala Terengganu when it first established
in April 2002. Within 11 years they establishment, now Kasut You has 14 outlets in Malaysia and also warehouse
in Jalan Gong Badak, Kuala Terengganu.

Kasut You also has mission and vision. Their main goal is to provide stylish items and positions that give
customers shopping with the whole family. From that point on, their vision is to be the most trusted, attentive and
largest family-run grocery store in Malayisa. In addition, You Shoes also offers important brands and offers high
quality goods

The reason why we choose Kasut You Sdh.Bhd as a part of our assignment is to see how the journey of
distribution from one point to another point. Distribution is a process of movement or shipment of goods from
supplier to manufacturer. Next to wholesaler and retailer and finally past to seller to sell to the customer to generate
a point of sale. Besides that, distribution also involve various other processes especially in logistics such as
packaging, inventory, warehousing, supply chain and transportation. Distribution is an important part of the
business cycle for distributors.

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2.0 COMPANY BACKGROUND

2.1 OWNERSHIP

As a modest start in Kuala Terengganu eight years ago, Kedai Kasut You Sdn Bhd has grown into 11 branches
under the flagship of Kedai Kasut You in Terengganu and Kelantan.

Its founder and managing director, Mr. Gan Raymond has decided to open a shoe store while participating in Kuala
Terengganu's sales expo and found that the shoe market in the state has yet to be explored and has the potential
to grow. Initially their first shoe store was in Muar, Johor, and then expanded to Kuala Terengganu and Kelantan.
Kedai Kasut You Sdn.Bhd is a family business that has been cultivated by his father Mr. Gan Raymond.

Kasut U Sdn.Bhd is a family footwear company, footwear & footwear retailer that emphasizes the needs of the
family, from infants to old. A wide variety of options and a variety of foot care options that include customer's taste
and demand from any age, gender, social status and occupation can be found here. Besides, producing shoes for
men and women, they have also released fashion accessories such as women's handbags and wallets for men.
In the beginning, Kasutyou known as KasutYOU established in April 2002.

At the opening of Kedai Kasut U sdn Bhd, it has only two stores in Jalan Banggol, Kuala Terengganu. Our
distribution center and HQ office KasutYOU Sdn.Bhd in Terengganu are located at Kasut U DC (Store), Gong
Badak Industrial Park, Kuala Terengganu. All inventory stock items will be printed in this store before distribute to
branches in Terengganu and Kelantan. Mr. Zakaria is the manager of KasutYOU Sdn.Bhd warehouse at Gong
Badak that is responsible for managing the stocks of goods that are delivered and distributed to branches
throughout Malaysia.

In 18 years, it has grown rapidly and now, there are 48 branches throughout the East and South East peninsular
Malaysia in Kelantan, Terengganu, Pahang, Negeri Sembilan, Johor and Melaka. For now, KasutYOU Sdn.Bhd
has approximately 500 employees throughout Malaysia including employees in branches and warehouses. There
are several other outlets that will be open soon by the year 2020. KasutYOU Sdn.Bhd plans to further expand its
business.

Their main goal is to provide stylish items and positions that give customers shopping with the whole family. From
that point on, their vision is to be the most trusted, attentive and largest family-run grocery store in Malayisa. In
addition, You Shoes also offers important brands and offers high quality goods

Within the years of establishment and operation, KasutYOU Sdn. Bhd. has been awarded with several great gifts.
Among the awards the KasutYOU sdn.Bhd has achieved is the " Anugerah Kedai Harga Patut 2010 ". The award
was awarded by the Kementerian Perdangan Dalam Negeri, Koperasi dan Kepenggunaan. This award is achieved
by KasutYOU Sdn.Bhd as its shop has identified, evaluated and recognized the business preferences of customers
(local & overseas), offering good quality goods, reasonable prices and excellent service.

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Beside, KasutYOU Sdn.Bhd is the winner of the First Star of Excellent Star (Soba) Award and won Gold in the
Community category. It is ranked as the top spot for this category partly due to the fact that it takes a simple
corporate social responsibility (CSR) initiative where companies deliver free footwear to the poor in the areas
where they operate.

2.2 STRUCTURE OF ORGANIZATION

This organizational chart Our distribution center and HQ office KasutYOU Sdn.Bhd in Terengganu at Kasut U DC
(Store), Gong Badak Industrial Park, Kuala Terengganu.

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3.0 INTERGRATED LOGISTIC APPROACH ADAPTED

3.1 RETAILLING

Retailing is a method of selling goods originating from a fixed place and having a few small premise located in a
separate place and also acquiring raw material from the fixed places.

As depicted by the organization's name, KasutYOU manages the clearance of footwear and footwear. In
accordance with the MOTO KasutYOU, their definitive objective is to give clients the shoes required for the entire
family, from new-born children to guardians. Different choices for age and client level including cowhide, sports,
way of life, ladies, kids, school shoes, socks, etc can be found in KasutYOU

Under the KasutYou Company, that Company currently has another brand called Boutique Miss. Besides offering
smart ladies' shoes, the boutique additionally centres on the clearance of ladies' embellishments, for example,
studs, silver frill, high quality gems and purses. Among the main brands of shoe organizations are BNC, Comfort
BNC, Evelina Viviana, G-wingx, Ginna, L.A. Power, Gmax and that's only the tip of the iceberg.

In addition, the Company also plans to introduce their brand at the outdoor market in line with the vision and
mission that they have set. Therefore, based on their vision, they have set a reasonable price for their customers
to enable every customer to shop in their store. This is the price offered by the brand and the quality of the shoes.

Specifically, they centre on family business, which have more grounded family bonds and lean toward family-
situated shopping with the entire family. To suit this, they are reserving a more extensive course to guarantee our
clients have an increasingly charming and open to shopping knowledge. Also, we give a valiant effort to make an
extraordinary shopping background for our clients.

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3.2 MATERIAL HANDLING

Material Handling is a process involving basic operations in the movement, protection, storage and control of
materials and products throughout the manufacture (manufacturing), warehousing, distribution, consumption and
disposal. This Material handling is very important as all materials and products have to be handled properly so as
to achieve their goals safely and also to maintain the condition and quality of the materials being handled.

This can be seen through the production of a wide range of high-grade, high-quality products as well as attractive
packaging from the Shoes side. Successfully manufactures shoes as a shoeshine company that has become a
popular choice, especially their footwear products, has a variety of colours and is also made of high-quality
materials and packed with beautiful and attractive parcels. The interesting packaging from the factory can also
attract customers to buy a product.

Every completed item will be placed in the warehouse that has been set before being distributed to every branch
throughout Malaysia. KasutYOU Company will distribute and distribute their products to end users directly through
branches that are open throughout Malaysia and also through retailers by distributing their products to some other
premises.

For example, finished goods from the factory will be placed in KasutYOU warehouse located at Gong Badak
Industrial Park, Kuala Terengganu the before being distributed to branches in Terengganu. However, if stocks are
not sold, the goods will also be transferred to the warehouse for the storage process before auctioned at a cheaper
price and products throughout the manufacture, warehousing, distribution, consumption and disposal.

3.3 WAREHOUSING

KasutYou have been operated using the main building located in Gong Badak. The warehouse area is also located
near the main building, this will facilitate ease of transfer and dealings between top executives and other retail
outlets. The warehouse was also a building made of ordinary bricks that housed shoes that had been supplied
from the supplier and the products or shoes will moves to the warehouse for production network.

At the warehouse, company will decide the design of shoes according to the demand that market required. Every
Kasut You store in Malaysia will places the order of shoes. Next, after shoes were fully assembled at Warehouse,
the shoes will distribute to all the store and Kasut You branch in Malaysia.

The method of arranging them is according to their respective categories of women's shoes, men's shoes, baby
shoes and so on. The organization method is also important because it facilitates the employees to carry out the
new stock receipt process and for the stock clearing process.

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In addition, KasutYou often hold warehouse prices that allow customers to shop in their own warehouse, this
concept is often based on the seasons of the season such as, festive season, independence celebration and the
New Year celebration. This has increased the profitability since customers are often influenced by the attractive
marketing methods that have been launched. Without exception, the specialty provided to your Shoe Workers.
There are many privileges provided for example dining room, prayer room and rest area.

3.4 CUSTOMER SERVICES

Kasutyou has provided customer service consisting of highly trained and dedicated employees to improve the
quality of service between the customers and employees within the organization. In this case, with the presence
of highly trained employees the benefits of the cashmere company come from increased sales, customer loyalty
and the quality of footwear issued by the KasutYou Company.

At each purpose of client contact, representatives must perceive customers care as a need. Great client support
comes down to demonstrating regard for the clients and their needs and needs. Regarding them and their time
and timetables demonstrates that we care increasingly about them.

In addition, Kasutyou is very talkative about customer service especially in serving customers. This is to avoid
taking too long for the customer to be treated. The employees you provide are well-equipped and disciplined.
Besides that, kasutyou has made it easy for customers to shop online at the shoes website. KasutYou have a
customer care and information room, and there is also room for customers to provide feedback.

3.5 TRANSPORTATION

The method of transportation used by kasutyou is to use a 4-wheeled vehicle called a truck called your shoe. In
addition, kasutyou also uses third party services such as Gdex, Poslaju, airpak and others.KasutYOU is a
distributor to deliver their products from warehouse to the retailer or to the end user. The warehouse of this
company located at Gong badak, Kuala Terengganu and there are 48 outlets of KasutYOU in Peninsular Malaysia.
This company uses their own transportation to distribute their inventory to the outlets. Due to the increases in the
price of petrol and diesel, this will start to flow through to increased transport costs. Moreover, if the transportation
is damaged and it also contributes to the high cost of repairing. This issue may take a few time to repair their
transports and its effects on the process of the delivery.

The new concept that been uses by KasutYou is to maximize the vehicle turnaround. To reduce transportation
cost, KasutYOU should improving vehicle turnaround time to give better help to clients and decrease working
expenses all the while. Readiness and arranging are essential keys to improving throughput in a fix activity.
Streamlining and improving techniques to guarantee best usage of assets will bring about higher limit and in this
way lower overhead cost per vehicle. In addition, because of the increments in the cost of petroleum and diesel,
this organization must streamlining vehicle stacking to limit transportation cost. In this manner, this methodology
permits consolidating a few requests with the goal that one vehicle can convey every one of them to one area in
one ride.

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4.0 INBOUND AND OUTBOUND PROCESS

Raw material Supply components Production networks

Retailer

Cotton Petrochemicals Company place

order according
Rubber Synthetic fibers
design
Fabric
CUSTOMER

Example of downstream and upstream in Kasut You Sdn.Bhd

1) INBOUND

In Kasut You Sdh.Bhd, inbound preparations is about an activities expected to assemble all material required to
make shoes. The inbound phase of the generation procedure included searching for and separating the raw
materials. The inbound part of the generation procedure doesn't do anything with the materials itself, for example,
preparing the materials. This piece of the procedure just finds and concentrates the raw materials. To illustrate the
upstream procedure how about we see Kasut You Sdh.Bhd, since Kasut You Sdh.Bhd was delivered a shoes so
the initial step of inbound is about assets and raw material. The raw material it originates from cotton and rubber.
KasutYou will locate the raw material as indicated by the interest of shoes that required in the market. Next, after
locate a raw material they will move to the inventory segment. In this part, they will process all the raw material to
the piece of get together. For instance, they will process cotton to be a fabric and rubber to be synthetic fibers so
as to produce shoes.

2) OUTBOUND

In agreement, the outbound creation procedure includes preparing the materials gathered during the inbound stage
into a completed item. The outbound stages further incorporate the real clearance of the item to different
organizations, governments or private people. The sort of end client will shift contingent upon the completed items.
Despite the business in question, the outbound procedure has direct contact with client through the completed
item.

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Subsequent to assembling process, the items or shoes will moves to the distribution center for generation arrange
at the stockroom, organization will choose the structure of shoes as per the interest that market required. Each
KasutYou store in Malaysia will submits the request of shoes. Next, after shoes were completely gathered at
Warehouse, the shoes will circulate to all the store and KasutYou branch in Malaysia.

The outbound procedure regularly incorporates components, for example, dissemination, wholesaling and
retailing, all of which associated with guaranteeing auspicious conveyance to customers. Client care is likewise
part of the outbound procedure since it is the last scaffold between the item and the need clients. Wasteful client
care can adversely affect the clearance of the last venture.

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