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Innovasi Usahawan Kecil




                 Mohd. Murray Hunter
                 University Malaysia Perlis (UniMAP)



Seminar Peluang dan Potensi Industri Biotechnologi dan Produk Berasakan Herba
                               August 1st 2010
Innovation is a key word in management today……..




  BUT RARELY ARE WE SHOWED HOW TO APPLY THIS IN AGRICULTURE
Innovation

The introduction of new
things, ideas or ways of
     doing things
               Oxford Dictionary
Tools of Agro-innovation
                                                                     Commodity        Specialised
                    Traditional          Inputs
                                                                                                     The Spectrum
                    Biodynamic                                                                        of marketing
                                                                                                        channels


                      Organic                                        Traditional       Alternative


       Low
     Pesticide

                                                                                                Channels

   Conventional

       High Input
                 Methods                                    Diversity
Inefficient                  efficient
                                          Mono                                        Multi
              Compatible?

         Marketable/Regulated?
 Non-sustainable            sustainable           See both in National & Farm Scale
Innovation is closely
linked with opportunity
Source                                  Explanation                                             Examples


  The unexpected
 success, failure or
                               Opportunity is a Construct of Proton’s market share
                                                     Apple computer
                        Success of a revolutionary product or the application of
                                                     Rapid decline
                        technology from one industry to another, sudden or
external occurrence     unnoticed demographic changes caused by wars,
          Vision        insurgencies, migration, etc.
                                                          Resources
         Platform
   An incongruity       A change that is already occurring or can be made to occur       Sugar free products and sugar
between reality as it   within an industry. It may be visible to those inside the       replacements due to concern for health
actually is and what    industry, often overlooked or taken for granted.                 Increasing demand for travel and
   it ought to be                                                                       holidays due to increasing incomes and
                                                                                        leisure time Networks
                                         Dream, ego, aspiration, greed,
     Having the right Skills
                                                 survival, education
 Inadequacy of an       An improvement in process that makes consumers more Caffeine free products
existing technology                                   Experience
                        satisfied based on an improvement or change in      Microwave ovens
or business process     technology.           Reference & Benchmark Mobile phones
Changes in industry     New ways and means of undertaking business based on              Health care industry
or market structure                                            Product/Market
                        identified opportunities or gradual shifting of the nature of    Education industry – private education
                        the industry.                                Strategy

Perceptual changes      Changes in peoples awareness founded on new knowledge            Leisure and exercisea source
                                                                                               Anchoring industry aerobics &
   Ability to make linkages values or growing affluence leading to new fashions
                      and/or                                                            gyms
                                                      Cognitive, hemispherial &                    of innovation
                        and tastes
                                                          field Perception
   Demographic          Gradual shift of demographics in population by age, income       Establishment of more retirement homes
     changes            groups or ethnic groups, etc

  New knowledge         New knowledge or application of existing theoretical             Video and VCD industry
                        knowledge into an existing industry that can create new          Robotics
                        products not previously in existence                             Biotechnology
Where does Malaysia
      Rank?
Supply Chain Management
Consumer Driven                                    Is a key




                  Sustainability (spectrum)


 Channels
            Profitability (social & economic)          Methods


                                                    Diversity
                                                           Personal
            Productivity (short & Long Term)                Goals &
Inputs                                                     Ambitions
The Major Blocks to
     Development
 • The current “psych” of farmers
   • Growing rural unemployment

• Unbalanced affluence (town-rural)




          The Probable
            Causes
Lack of Ideas
  Lack of education and skills
       Narrow mindset
Feeling of powerlessness – lack
     of access to markets
      Lack of resources

        Lack of will
Media Reports                     The Continuum from media
                                                          reports to wisdom in relation
                                    Ideas                 to availability and usefulness
Availability Increases



                                         Data

                                            Information


                                                   Knowledge


                                                             Wisdom




                               Usefulness Increases
The Unexpected Success
          or Failure, or External
               Occurrence




  Success of a revolutionary product or the application of
         technology from one industry to another,
sudden or unnoticed demographic changes caused by wars,
               insurgencies, migration, etc.
Tissue Culture
Retail Concentration
  Outlet Type    Malaysia    Thailand     Hong Kong   Australia
Hyper &           20%          68%           91%        85%
Supermarkets
(Chain Owned)
Independent        20%          2%           2%         10%
Hyper &
Supermarkets
Wholesale          57%         10%           2%         3%
Trade – Sundry
& convenience
Stores
Other              3%          20%           5%         2%
                            Convenience
                              Chains
An incongruity between reality as
it actually is and what it ought to be




         A change that is already occurring or can
           be made to occur within an industry.
      It may be visible to those inside the industry,
           often overlooked or taken for granted.
Toyyibaan & Halal
• This day are (all) things good and pure made
  lawful unto you. The food of the people of the
  Book is lawful unto you and yours is lawful
  unto them. … If anyone rejects Faith,
  fruitless is his work, and in the Hereafter he
  will be in the ranks of those who have lost
  (all spiritual good).
                               Al-Ma’idah5:5
• O you people! Eat of what is on earth,
  lawful and good; and do not follow the
  footsteps of the evil one, for he is to
  you an avowed enemy.
                      Al-Baqarah 2:168
• From the land that is clean and good,
  by the Will of its Cherisher, springs up
  produce, (rich) after its kind; but from
  the land that is bad, springs up nothing
  but that which is niggardly: thus do we
  explain the Signs by various (symbols)
  to those who are grateful.
                              Al-A’raf 7:58
• O ye who believe! Eat of the good
  things that We have provided for you,
  and be grateful to God, if it is Him ye
  worship.
                        Al-Baqarah 2:172
“He hath subjected to you all
 that there is in the heavens
  and all that there is in the
    earth: All is from Him.
  Verily, herein are signs for
      those who reflect.”
                     Al-Jathiyah
             45:12
The Muslim living as a minority in a
   non-Islamic society will have a
  number of problems identifying
  what items are halal and haram
    (forbidden in Islam), without
product certification. For example,
  gelatine, lard and tallow can be
    either in a halal or non-halal,
 depending upon their source and
    method of processing. Cross
 contamination is a major problem
      in stores and particularly
  restaurants, where pork is also
                served.
Halal, but is it Toyyibaan?
Haram
            (Those things prohibited by                              Traceable
               Allah in the Al Qu’ran)

    Sustainable                           HACCP
environment, community
      & business

                                                    Supply             GMP
                                                    Chain

   Community
     Benefit
                                                              Toyyibaan


Non-exploitive
                                          Ethical                       Healthy
                                                             Clean
Toyyibaan would also mean that
agriculture must be undertaken
  within sustainable practices,
 and in business, where things
   should be done with good
           intentions.
Overseas Halal Food Product
Muslim share of population and GDP in major economies
                                         Muslim %
rank           Country      GDP      pop      GDP
           1   US             12,360      1.0    123.6
           2   China           8,859      1.5    132.9
           3   Japan           4,018      0.0      1.6
           4   India           3,611     13.4    483.9
           5   Germany         2,504      3.7     92.6
           6   UK              1,830      2.7     49.4
           7   France          1,816      7.5    136.2
           8   Italy           1,698      1.5     25.5
           9   Russia          1,589     12.5    198.6
          10   Brazil          1,556      0.1      1.6
          11   Canada          1,114      1.9     21.2
          12   Mexico          1,067      0.1      1.1
          13   Spain           1,029      1.5     15.4
          14   Korea, South      965      0.2      1.9
          15   Indonesia         866     88.0    761.7
          16   Australia         640      1.5      9.6
The top Islamic economies
                       GDP           Muslim       % share of GDP
rank      country      country pop %     GDP      World     Islam
        1 Indonesia          866    88.0    761.7       1.3       13.9
        2 Turkey             572    99.8    570.9       0.9       10.4
        3 Iran               562    98.0    550.4       0.9       10.1
        4 India            3,611    13.4    483.9       0.8        8.9
        5 Pakistan           393    97.0    381.6       0.6        7.0
        6 Saudi Arabia       338   100.0    338.0       0.6        6.2
        7 Egypt              304    90.0    273.2       0.4        5.0
        8 Bangladesh         304    83.0    252.6       0.4        4.6
        9 Algeria            233    99.0    230.9       0.4        4.2
       10 Russia           1,589    12.5    198.6       0.3        3.6
       11 Malaysia           290    55.0    159.6       0.3        2.9
       12 Morocco            138    98.7    136.5       0.2        2.5
       13 France           1,816     7.5    136.2       0.2        2.5
       14 China            8,859     1.5    132.9       0.2        2.4
       15 US              12,360     1.0    123.6       0.2        2.3
       16 UAE                111    96.0    106.8       0.2        2.0
Farmers’                          Home Delivery
         markets
                             COOP Market


                                            Gerai Delivery


 Many small
suppliers that
are customer
 orientated                                Restaurant & Hotel
                                                Delivery




                 Diversified Halal Farms
Organic Farming
Infrastructure      Government
                                                                                                Regulation
                                                                        Positive Inputs          Taxes &
                                             Conducive weather                Water             subsidies
                                                                                                                            Negative Outputs
                    Climate                          Or                     Sunshine              Trade
                                            Floods, droughts, etc            Nitrogen                                             Runoffs, wastes,
                                                                                               environment
                                                                        Agricultural inputs                                          carbon
                                                                                                Research
                Weather                                                   Fertilizers etc
                Rainfall                                                   Knowledge
                 Wind                                                        Labour
               Sunshine
              UV radiation
              Temperature                                                                              Some
                Humidity      Resource inputs,                       Production Processes
                              fertilizers, herbicides,
                                                                                                     recycling
                              insecticides, machinery,                                                back to
   Human                      research capabilities                   Farm size & layout              system
 Habitisation
                                                                    Organisation & methods
       Knowledge               Suitability of conditions
Suppliers & contractors      Pollution (air, land & water)               Propagation
        Pollution                  Labour sources
Attitudes and concerns            Water resources                         Cultivation                          Positive Outputs
                              (create hinterland where                                                            Products
                                     farm part of)
                                                                         Processing
        Physical
      Environment                  Customers
                                   Financing &                            Marketing
                                                                                                                  Revenue flow
                                 various kinds of                                                                   back to
             Soil                     capital
         Topography                                                                                                 system
         Atmosphere
        Natural flora &                                                Negative Inputs
        fauna habitat          Business
         Urbanisation                                                    Adverse physical
                              Environment             Competition           conditions
                                                       Low prices        Pests & diseases
                                    Markets         Changing demand          Pollution
                                    Finance             patterns          Heavy metals
                               Trade environment
                                                                                                     An Agricultural Enterprise as a
                                                                                                                System
Wild Harvest                                          Linear/Industrial/Chemical
   Traditional Farming
       Biological Farming
         Biodynamic Farming
                  Natural Farming
                     Organic Farming
                            Chemical Free
                                Reduced Pesticide
                                                Low Input
                                       Sustainable Minimum Till
Green/Biological/Natural                                 Conventional
Minimum interventionalist
                                                High Input Chemical Intensive
THE OPERATION OF ORGANIC PHILOSOPHY
                            (Fundamental Principals and Practices)



Objectives   Soil Health &   Pest & Disease        Weed          Eco-system       Sustainability
               Fertility      Management        Management       Biodiversity

Practices
             Crop Rotation     Crop Rotation     Crop Rotation   Crop Rotation     Crop Rotation

             Green Manure      Green Manure      Cover Crops     Green Manure      Green Manure

               Animal          Cover Crops       Intercropping      Animal            Animal
               Manure                                               Manure            Manure
                                Composting         Mulching
             Cover Crops                                          Cover Crops       Cover Crops
                               Intercropping    Flame Control
               Mineral                                           Intercropping     Intercropping
             supplements       Crop Diversity       Natural
                                                   Herbicide      Bio-control       Farmscape
               Natural          Bio-control
              Fertilizers                                         Farmscape         Composting
                                  Natural        Integrity
               Mulching          Pesticides                         Buffers          Mulching
                                                    Buffers
             Composting         Sanitation                                            Buffers
                                                   Records       Foundations
                Tillage           Tillage
                                                 Certification   Site Selection
             Intercropping      Farmscape
                                                 Improvement      Conversion
              Bio-control           Fire

              Farmscape           Buffers                           Habitat
                                                                    Creation
                Buffers
                                                                    Planning
Approximate Size of the World Organic Market
                    2008 (USD Billion)           Fruit &
        Cosmetics,                            Vegetables,
         6.5, 18%                              12.9, 35%
Processed
Foods, 3.9,
   11%


                                                  Meat and
   Beverages,                                    Poultry, 1.5,
    3.6, 10%      Bread &
                                   Dairy, 3.6,      4%
                 Grains, 4.5,
                    12%              10%
Existing Thai Organic Products
Pest & Diseases
New Foreign Products


        Essential Oil Based
        Fungicides/Insecticides
Control                      Nimgard
                             + Kocide


Timorex
  0.5 %                    Timorex 1 %
Organic Herbicides



                                            Before
Product              Reported Results*

Control              O

Round Up             10
Pro[i]
All-Down             Range 0.5 – 3.8
Organic[ii]
 [i]    Registered Trademark of Monsanto.
 [ii]   http://alldownherbicide.com/        After
Inadequacy of an existing
    technology or business process




  An improvement in process that makes consumers more
satisfied based on an improvement or change in technology.
Perlis
   Malaysia
A Rapid Growth Industry
Rural Birdhouses
A relatively new “birdtown”
Big capital
investment




               Bird Cities
Basic Pattani Bird House Layout
    Top View
                                                     36 Feet
8 Feet




                                           10 Feet
                           12 Feet
                           18 Feet
Swiftlet Farming
          End View




                   3 Ft            6 Feet
           3 Ft
                                                     5 Feet


                                                              9 Feet



                                                                       23 Feet




            1 Ft          8 Feet
                                                                                 Side View
                                            9 Feet
23 Feet




                                                                                         14 Feet
                                                                                             Top View (Reinforcements)




                                                                                                                          By developing novel applications of technology
Essential Oil
A volatile oil obtained from a
wide variety of plant, scrub,
and tree species and from
various parts of the plant
anatomy, such as the roots,
rhizomes, wood bark, leaves,
stems, fruit, flowers and seeds.
Usually extracted by hydro or
steam distillation, expression
or effleurage - Hunter 1996
Wild Collection & Distillation




                           Tea Tree
                           Australia
Small Holder (Patchouli Indonesia)
Cambodia (Lemongrass, Cajuput)
Medium Size Plantation
Bridgestow Tasmania
Large Scale Production
Large Scale Plantation Tea Tree
Processed Food
Beverages
Fine Fragrance
Aromatherapy
Cosmetics & Personal Care
Household Products
Solvents
Pharmaceuticals
Herbs & Spices
Organic Agro-Chemicals
Ginger Oil (Zingiber officinale)



             citral, beta-sesquiphellandrene, zingeberene,
                          and gingerols/shogaols
            The fresh ginger rhizome is a versatile ingredient of the
            far eastern cuisine, and is now commonly used in mos
            of the world. Its flavour is lemony-balsamic and its tast
            is medium hot.The lemony character of fresh ginger is
            due to citral. Major components of the essential oil are
            the sesquiterpenes beta-sesquiphellandrene and
            zingiberene. The 'sharp' constituents, causing the
            burning sensation on the mucous membranes, are
            substituted phenols (gingerols/shogaols)
           Extraction Method: Steam Distillation
           Origin: Indonesia, India, Sri Lanka, China
Massoia Bark Oil (Cryptocarya massoy)


           C-10 massoia lactone                         C-12 massoia lactone
           Massoia bark has a sweet, coconut-like aroma and is
           steam distilled to yield massoia bark oil. The bark is
           obtained by cutting the tree at the base, making circular
           incisions at one meter intervals, lifting the bark off and
           allowing it to dry. Each tree yields on average 65 kg of
           air dried bark.
            Extraction: hydro-distillation of the bark, heartwood
            and fruits of the massoia tree afford pale yellow-
            coloured oils in 0.7, 1.2 and 1.0 yields, respectively
           Constituents: C-10 massoia lactone, or 5,6-dihydro-6-pentyl-2H-pyran-2-
           one, (65-68 %), and the C-12 massoia lactone, or 5,6-dihydro-6-heptyl-2H-
           pyran-2-one, (17-28 %), while the major fruit oil constituent is benzyl benzoate
           (68%)


           Origin: New Guinea and Irian Jaya Highlands
Patchouli Oil (Pogostemon cablin)
                                      There are no synthetic
                                        equivalents of the
                                         patchouli scent.


                                  Main Constituents: (-)-patchoulol
                                  (30-40 %). However, it is maintained
                                  that norpatchoulenol, present in only
                                   0.3-0.4 %, is playing a principal part
             (-)-patchoulol and    in the overall odour picture.
             norpatchoulenol
                                    Obtained by steam
                                    distillation under
                                    pressure or CO2-
                                    extraction of the
                                    dried leaves

                                    Patchouli is mostly
                                    grown in Indonesia
Pepper Oil (Piper nigrum)


                                              (+)-3-carene   piperine




       Main Constituents: The pepper seeds
       contain avolatile oil and the non-volatile
       compound piperine, the latter being
       responsible for the burning effect
       on the mucous membranes.Also,
       cyclic monoterpenes with
        -carene as the major component
       (around     %). Moreover, a number of
       hitherto unidentifiedsesquiterpenes probably
       contribute to its character.
                  Extraction: Steam Distillation of the
                            crushed seeds

         Main producer: Sarawak, Malaysia
Backhousia citriodora (Lemon
          Myrtle)
                 High Investment to
                 Expand Industry in
                 Australia

                 Strong Demand as an
                 Ingredient for tea

                 Good Crop to Grow in Most
                 Parts of Thailand

                        CHO

                                        CHO




                  Citral (geranial 51.43 %
                    and neral 42.12 % )
Eucalyptus citriodora
               Good Monsoon Crop

                Easy to Cultivate

                 Oil is a bi-product

                 Excellent & High
                 Valued Hard Wood
                 One year for oil
                10 years for timber
                Percentage of oil yields
                is 0.9 %.
                citronellal (88.62%), β-pinena (0.16%),
                1, 8-cineol (0.32%), 5-hepten (0.14%),
                linalool (0.12%), citronellol (0.52%),
                isopulegol (0.33%), 3- cyclohexanol
                (3.66%)and β-citronellol (0.52%).
Lengkuas (Alpinia galanga)
          kampheride, alpinin, galangin, methyl cinnamate , cincole,
          1‟-acetoxychavicol acetate, 1‟-hydroxychavicol acetate,
           galantin-3-methyl ether, a-terpineol, 4-hydroxybenzaldehyde,
          trans-coniferyl diacetate,trans-p-courmaryl diacetate,
          a-bergamotene, b-bisabolene, borneol, borneol acetate,
          butanol acetate, campene, carveol I, carveol II,
          chavicol acetate, citronellol acetate, a-copaene,
          curcumene, p-cymene, p-cymenol, eugenol methyl ether,
          1‟-acetoxyeugenol acetate, trans-b-farnescene, geraniol acetate,
           a-humulene, limonene, myrcene, nerol acetate, pentadecane,
          linalool, propanol acetate, 2-methyl sabinene, santalene,
          b-sesquiphellandrene (Malaysian Herbal Monograph) ,
           g-terpinene, terpinolene, tridecane, caryophyllene oxide,
          1‟hydroxycineol acetate, p-hydroxycinnamaldehyde,
          di-(p-hydroxy-cis-styryl)-methane, a-pinene, b-pinene,
          quercetin, kaempferol, quercetin-3-methyl ether, isorhamnetin
          and derivative of 4-allylphenol

                             Flavour Ingredient
                             UV Properties
                             Easy to cultivate
                             Niche Oil –specialised
                             market
Geranium (pelargonium species)


                  Citronellol, andgeraniol, which occur in different
                  proportions according to the origin of the oil. Both
                  Bourbon and North African-types contain unusual
                  high quantities of (-)-citronellol, isomenthone and
                  monoterpene formates. However they can be
                  distinguished by the presence of different
                  constituents such as guaia-6,9-diene in Bourbon
                  oil and 10-epi-[gamma]-eudesmol in the African-type
                  The Chinese oil is similar to Bourbon-type,
                  having higher content of citronellol (+40%) and
                  lower content of Iinalool and geraniol (1,3).
         Distillation or       Potential High Value
             solvent           Boutique Crop
        extraction of the      Good for Hilly Terrain
          dried leaves
Plai oil (Zingiber cassumunar)

              Sabinene and terpinen-4-ol

                                                                   a-terpinene

                              g-terpinene



                                  Major Constituents: terpinen-4-ol,
                                  a-terpinene, sabinene, g-terpinene,
                                  cis-3-(2',4',5'-trimethoxyphenyl
                                  -4-[(E)-2''',4''',5'''-trimethoxy-styryl]cyclohex-
                                  1-ene, cis-3-(3',4'-dimethoxyphenyl)-4-[(E)-3''',4'''-
                                  dimethoxystyryl]cyclohex-1-ene, cis-3-
                                  (3',4'-dimethoxyphenyl)-4-[(E)-2''',4''',5'''-
                                  trimethoxystyryl]cyclohex-1-ene (3),(E)-4-
                                  (3',4'-dimethoxypheny1)but-3-en-1-ol, E)-4-
                                  (3',4'-dimethoxypheny1)but-3-en-1-yl acetate,
                                  8-(3',4'-dimethoxyphenyl)-2-methoxynaphtho-
                                  1,4- quinone




                                       Extraction Method: Steam
                                       distillation of the rhizomes
Cajuput (Gelam) Melaleuca
         cajuputi
           Local Tree
           Number potential Markets
           Can Basically Set Price
           Easy to Cultivate
Persicaria odoratum (Kesum)
                 New Material
                 Good Highland Crop
                 Small Scale High Value
                 Pests Easily Controlled
                 Doesn’t need
                 Registration as an
                 Aromatic Chemical
Changes in industry or market structure




   New ways and means of undertaking business based on identified
     opportunities or gradual shifting of the nature of the industry.
Farming in Fiji




Farming is primarily subsistence agriculture
Taro   Yam   Cassava     Ginger




                       Chillis
Monday Morning




Sunday

    Monday Afternoon at the
   Melbourne Wholesale Market
Integrated Agriculture with Tourism
Perceptual changes




    Changes in peoples awareness founded on new knowledge
and/or values or growing affluence leading to new fashions and tastes
OTOP Thailand
Business Carbon
   Footprint
Aveda         The Body Shop       Thursday          Sureco       Hain Celestial
                                                              Plantation                        Group

Est. Sales              USD120million      USD1.5Billion     USD85Million     USD40Mil[iv]    USD738Mil[v]
                           (1996)[i]         (2006)[ii]        (2006)[iii]                      (2006)
                       USD619mil (2006)
Location                    USA                 UK             Australia       Malaysia            USA
Established                 1978               1976              1976          1999                1926
Products                Personal Care      Personal Care     Personal Care       Herbs        Organic food
                                                                                             and cosmetics
Basic Philosophy        To sustain the          Social         Natural tea     Halal &       Free of artificial
                       environment and    humanitarianism         tree        Toyyibaan        ingredients,
                         give back to     activism on many   products/natur                   Kosher foods
                         communities            issues        al medicines
Ethics                                          Yes
Green                        Yes                Yes               Yes
Natural                      Yes                Yes               Yes                              Yes
Organic                      Yes                Yes                                                Yes
Community                    Yes                Yes               Yes
Cultural
Religious/Spiritual                                                               Yes              Yes
Mode of Distribution       Direct           Retail and e-     Direct and        Direct          General
                       Marketing/Salon       Commerce           through        Marketing       distribution
                                                              distributors
Owner                    Estée Lauder          Loreal        Chris Dean &      Private       Listed company
                        Companies Inc.                          Family        Ownership
Actualisation      Fulfillment: (dreams)

                    (The Artist)
                                                                          Study after retirement
                   Self-fulfillment
                                                                          Fresh vegetables (Organic)
                                                                      Books
Fine Dining & Processed Foods                                                            Aromatherapy products
                                                                                              Luxury cars
                                                       Esteem                            Nutraceuticals & herbs
  Travel & Vacations                                (The Executive)
                                                      Achievement,              Fine Fragrances
                                                   prestige,fulfillment
Car Air Fresheners                           Responsibility: (hope)
                                                                                           Fashion Clothes (e.g.
                                                  Social (Worker)                                Jeans)
  Chewing Gum                                   Family, relationships,
                                                    workgroups
                                             Community: (acceptance)
                                                                                                          Most
        Water                                                                                          Household
                                            Safety (The Farmer)
       Purifiers                                                                                        Cleaning
                                          Home, Security and stability
                               Necessities: based on what is good (existence)                           Products
                                                                                                            Fresh
Soap                                                                                                      Vegetables
                                         Physiological (The Hunter)                                          Rice
                                      Basic Biological Needs – Food, water, air
                                        Staples: based on survival (fear)
Demographic changes




Gradual shift of demographics in population
by age, income groups or ethnic groups, etc
Coronary artery obstruction.
       Nearly 90%.




     Caused by fat
       Accumulate
    on artery walls.
      Until the tube
      constricted
        blood.
         Hard and
        narrow.
New knowledge




         New knowledge or application of existing theoretical knowledge
into an existing industry that can create new products not previously in existence
Introduction
Surfactant Evolution
Natural Enzyme Based Products
Natural Based Enzyme Products
Colostrum
   To Achieve Excellence in Passive Immunity Transfer:
      By providing an all natural premier milk extract
           with a guaranteed minimum level of
40% Immunoglobulin and antibody level derived from bovine
                       & goat milk.
Colostrum or Mother‟s Milk
   is the original and ultimate nutritional
supplement. It is a unique natural secretion
   produced at the beginning of lactation
designed by Nature to promote strength and
                good health.
Colostrum has been called life‟s first food.
 Each drop of Colostrum contains the promise
      of life: immunoglobulins, antibodies,
 growth factors, vitamins, minerals, enzymes,
 amino acids, and other substances designed
     to „prime‟ the body to face a lifetime of
    invasion by various microorganisms and
environmental toxins. (Colostrum is considered
  to be nature‟s most perfect disease fighter).



                          Shape of Antibody
Inside the intestinal tract the antibodies from
Premier Milk prevent the toxins from attaching to
   the intestinal wall and multiplying. In effect
         shielding the body from toxins.
Premier Milk Extract – Photographic Evidence
             Ordinarily                                       With Premier Milk




 The „control‟ cells. The hundreds of                        At normal Premier Milk doses
 little black dots are E. coli bacteria                      there are practically no E. coli
       attaching to the cell walls.                            attaching to the cell walls.
ETEC strain H10407 adhering to differentiated Caco-2      Inhibition of adherence of H10407 to Caco-2 cell line
             cell line (colon carcinoma).                      in the presence of 500μg/ml hyperimmune
                                                                               colostrum.
(Photos from approx. 40x magnification, Phase-contrast, Giemsa stain)
PROCESS OF PRODUCTION
Cold Sublimation Process during processing.
This helps to maintain the shape and the bio-activity of
                 the antibodies (IgG).
Conclusions about innovation in agriculture
Farming is less about cost advantage as it is about product




 What is the Halal hub about?
What is the organic market about?
 What is the herb market about?
Paradigm adoption is more powerful than subsidy adoption




                                       Making the wrong decisions
                                    can bring potential market isolation
New Business Models
Maximises benefits of large local
         biodiversity
                                         Competitive Advantage Through
                                                 Differentiation
   Local culture is utilised as
           branding
                                         Maximises Benefit from Location
                                            as a marketing advantage

                                         Relatively low competitive market
                Southern Thailand                     segment


                              Malaysia
                                    Brunei




           Indonesia
Location Perak Malaysia, Sales RM100 Million Plus
Location Perlis Malaysia
    and Indonesia
Sales RM 170 million P.A.
         Plus
New Product Development
       Approach
Ideas        Opportunities        Solutions          Realisation            Performance




                                                                           Management
                                                                            Capability

 Spots          Evaluates            Selects            Targets




Creativity      Innovation          Strategic
                                    Thinking                             Differentiation




                                                                            Competitive
               Capabilities Governing Competitive                            Advantage
                             Scope
                                                                    Costs: to customers
                                                                    Knowledge:
                                                                    Industry/market/technical/p
                          Competencies                              rocess
                 Entrepreneurial, Opportunity                       Relationships:
              Identification, Network, Conceptual,                  Customers/suppliers/distri
             Organisational, Strategic, Commitment,                 butors/relative power
                            Resources                               Structure: Ability
$ Cost                               Conceptual Value Added Processing
                                                                            Options with Revenue and Cost
                                                                                     Implications
                       Final Product

                         Product
                       Development

                        Harvesting &
Degree of Processing



                         Extraction

                         Planting,
                       Maintenance &
                         Irrigation

                       Propagation

                           Land
                        Preparation


                           Trials


                         Selection of
                            Crop


     Crop &
                                              Compost & Mulch




                                                                                         Crude Essential Oil

                                                                                                                                                                               $ Return
                                                                Biofuel


                                                                           Animal Feed




                                                                                                                                                              Pharmaceutical
     Project




                                                                                                                                              Nutriceutical
                                                                                                                               Aromatherapy
                                                                                                               Organic Agro-



                                                                                                                                Cosmetic &
     Failure                                                                                                      product
       No
     Return




                                                                                                                          Final Product Form
Technology
  Input
Eucalyptus citriodora




           1 year




10 years
Certification and Value




Organic Products have 3 times the value
        as conventional crops
A Roadmap from today


                                     Skills (how to make), place to
     Look for Resources                       make, finance



                                  Determine whether there is a market
                                  and how much competition there is.
Screen the Idea for opportunity     Determine if the product can be
                                                 made.

                                  Decide on what product each group
                                   would want to be involved in and
                                  match this with an expert person and
       Create Ideas                          some students.
K-OTOP Model
                                   Network        University Training
                                                      • Students
     R&D                                               Funding Through
    Cluster            Initial Grant                   • Farmers
                                                          Prospectus
                       • UNDP
              Umbrella Brand (Direct Marketing Company)
                    •Prospectus
                         • Zakat                                   Entrepre-
                           • VC                                    neurship
      Application of
      University R&D
       Health                        Graduates Under
    Beverages                      University Nutraceuticals
                                              Supervision
                             Herbs &
                                    •
                            CosmeticsDrive Marketing           Others
                                   • Product Development
                                         Organic Farming
   Govt.                           • Business Operations
  Support                                Integrated Farming
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Innovasi usahawan kecil (Micro-entrepreneurship innovation)

  • 1. Innovasi Usahawan Kecil Mohd. Murray Hunter University Malaysia Perlis (UniMAP) Seminar Peluang dan Potensi Industri Biotechnologi dan Produk Berasakan Herba August 1st 2010
  • 2. Innovation is a key word in management today…….. BUT RARELY ARE WE SHOWED HOW TO APPLY THIS IN AGRICULTURE
  • 3.
  • 4. Innovation The introduction of new things, ideas or ways of doing things Oxford Dictionary
  • 5. Tools of Agro-innovation Commodity Specialised Traditional Inputs The Spectrum Biodynamic of marketing channels Organic Traditional Alternative Low Pesticide Channels Conventional High Input Methods Diversity Inefficient efficient Mono Multi Compatible? Marketable/Regulated? Non-sustainable sustainable See both in National & Farm Scale
  • 6. Innovation is closely linked with opportunity
  • 7. Source Explanation Examples The unexpected success, failure or Opportunity is a Construct of Proton’s market share Apple computer Success of a revolutionary product or the application of Rapid decline technology from one industry to another, sudden or external occurrence unnoticed demographic changes caused by wars, Vision insurgencies, migration, etc. Resources Platform An incongruity A change that is already occurring or can be made to occur Sugar free products and sugar between reality as it within an industry. It may be visible to those inside the replacements due to concern for health actually is and what industry, often overlooked or taken for granted. Increasing demand for travel and it ought to be holidays due to increasing incomes and leisure time Networks Dream, ego, aspiration, greed, Having the right Skills survival, education Inadequacy of an An improvement in process that makes consumers more Caffeine free products existing technology Experience satisfied based on an improvement or change in Microwave ovens or business process technology. Reference & Benchmark Mobile phones Changes in industry New ways and means of undertaking business based on Health care industry or market structure Product/Market identified opportunities or gradual shifting of the nature of Education industry – private education the industry. Strategy Perceptual changes Changes in peoples awareness founded on new knowledge Leisure and exercisea source Anchoring industry aerobics & Ability to make linkages values or growing affluence leading to new fashions and/or gyms Cognitive, hemispherial & of innovation and tastes field Perception Demographic Gradual shift of demographics in population by age, income Establishment of more retirement homes changes groups or ethnic groups, etc New knowledge New knowledge or application of existing theoretical Video and VCD industry knowledge into an existing industry that can create new Robotics products not previously in existence Biotechnology
  • 9. Supply Chain Management Consumer Driven Is a key Sustainability (spectrum) Channels Profitability (social & economic) Methods Diversity Personal Productivity (short & Long Term) Goals & Inputs Ambitions
  • 10.
  • 11.
  • 12.
  • 13.
  • 14.
  • 15.
  • 16.
  • 17.
  • 18.
  • 19.
  • 20.
  • 21.
  • 22.
  • 23. The Major Blocks to Development • The current “psych” of farmers • Growing rural unemployment • Unbalanced affluence (town-rural) The Probable Causes
  • 24. Lack of Ideas Lack of education and skills Narrow mindset Feeling of powerlessness – lack of access to markets Lack of resources Lack of will
  • 25. Media Reports The Continuum from media reports to wisdom in relation Ideas to availability and usefulness Availability Increases Data Information Knowledge Wisdom Usefulness Increases
  • 26.
  • 27. The Unexpected Success or Failure, or External Occurrence Success of a revolutionary product or the application of technology from one industry to another, sudden or unnoticed demographic changes caused by wars, insurgencies, migration, etc.
  • 29.
  • 30. Retail Concentration Outlet Type Malaysia Thailand Hong Kong Australia Hyper & 20% 68% 91% 85% Supermarkets (Chain Owned) Independent 20% 2% 2% 10% Hyper & Supermarkets Wholesale 57% 10% 2% 3% Trade – Sundry & convenience Stores Other 3% 20% 5% 2% Convenience Chains
  • 31. An incongruity between reality as it actually is and what it ought to be A change that is already occurring or can be made to occur within an industry. It may be visible to those inside the industry, often overlooked or taken for granted.
  • 32. Toyyibaan & Halal • This day are (all) things good and pure made lawful unto you. The food of the people of the Book is lawful unto you and yours is lawful unto them. … If anyone rejects Faith, fruitless is his work, and in the Hereafter he will be in the ranks of those who have lost (all spiritual good). Al-Ma’idah5:5
  • 33. • O you people! Eat of what is on earth, lawful and good; and do not follow the footsteps of the evil one, for he is to you an avowed enemy. Al-Baqarah 2:168
  • 34. • From the land that is clean and good, by the Will of its Cherisher, springs up produce, (rich) after its kind; but from the land that is bad, springs up nothing but that which is niggardly: thus do we explain the Signs by various (symbols) to those who are grateful. Al-A’raf 7:58
  • 35. • O ye who believe! Eat of the good things that We have provided for you, and be grateful to God, if it is Him ye worship. Al-Baqarah 2:172
  • 36. “He hath subjected to you all that there is in the heavens and all that there is in the earth: All is from Him. Verily, herein are signs for those who reflect.” Al-Jathiyah 45:12
  • 37. The Muslim living as a minority in a non-Islamic society will have a number of problems identifying what items are halal and haram (forbidden in Islam), without product certification. For example, gelatine, lard and tallow can be either in a halal or non-halal, depending upon their source and method of processing. Cross contamination is a major problem in stores and particularly restaurants, where pork is also served.
  • 38.
  • 39.
  • 40.
  • 41.
  • 42. Halal, but is it Toyyibaan?
  • 43. Haram (Those things prohibited by Traceable Allah in the Al Qu’ran) Sustainable HACCP environment, community & business Supply GMP Chain Community Benefit Toyyibaan Non-exploitive Ethical Healthy Clean
  • 44. Toyyibaan would also mean that agriculture must be undertaken within sustainable practices, and in business, where things should be done with good intentions.
  • 46. Muslim share of population and GDP in major economies Muslim % rank Country GDP pop GDP 1 US 12,360 1.0 123.6 2 China 8,859 1.5 132.9 3 Japan 4,018 0.0 1.6 4 India 3,611 13.4 483.9 5 Germany 2,504 3.7 92.6 6 UK 1,830 2.7 49.4 7 France 1,816 7.5 136.2 8 Italy 1,698 1.5 25.5 9 Russia 1,589 12.5 198.6 10 Brazil 1,556 0.1 1.6 11 Canada 1,114 1.9 21.2 12 Mexico 1,067 0.1 1.1 13 Spain 1,029 1.5 15.4 14 Korea, South 965 0.2 1.9 15 Indonesia 866 88.0 761.7 16 Australia 640 1.5 9.6
  • 47. The top Islamic economies GDP Muslim % share of GDP rank country country pop % GDP World Islam 1 Indonesia 866 88.0 761.7 1.3 13.9 2 Turkey 572 99.8 570.9 0.9 10.4 3 Iran 562 98.0 550.4 0.9 10.1 4 India 3,611 13.4 483.9 0.8 8.9 5 Pakistan 393 97.0 381.6 0.6 7.0 6 Saudi Arabia 338 100.0 338.0 0.6 6.2 7 Egypt 304 90.0 273.2 0.4 5.0 8 Bangladesh 304 83.0 252.6 0.4 4.6 9 Algeria 233 99.0 230.9 0.4 4.2 10 Russia 1,589 12.5 198.6 0.3 3.6 11 Malaysia 290 55.0 159.6 0.3 2.9 12 Morocco 138 98.7 136.5 0.2 2.5 13 France 1,816 7.5 136.2 0.2 2.5 14 China 8,859 1.5 132.9 0.2 2.4 15 US 12,360 1.0 123.6 0.2 2.3 16 UAE 111 96.0 106.8 0.2 2.0
  • 48.
  • 49. Farmers’ Home Delivery markets COOP Market Gerai Delivery Many small suppliers that are customer orientated Restaurant & Hotel Delivery Diversified Halal Farms
  • 51. Infrastructure Government Regulation Positive Inputs Taxes & Conducive weather Water subsidies Negative Outputs Climate Or Sunshine Trade Floods, droughts, etc Nitrogen Runoffs, wastes, environment Agricultural inputs carbon Research Weather Fertilizers etc Rainfall Knowledge Wind Labour Sunshine UV radiation Temperature Some Humidity Resource inputs, Production Processes fertilizers, herbicides, recycling insecticides, machinery, back to Human research capabilities Farm size & layout system Habitisation Organisation & methods Knowledge Suitability of conditions Suppliers & contractors Pollution (air, land & water) Propagation Pollution Labour sources Attitudes and concerns Water resources Cultivation Positive Outputs (create hinterland where Products farm part of) Processing Physical Environment Customers Financing & Marketing Revenue flow various kinds of back to Soil capital Topography system Atmosphere Natural flora & Negative Inputs fauna habitat Business Urbanisation Adverse physical Environment Competition conditions Low prices Pests & diseases Markets Changing demand Pollution Finance patterns Heavy metals Trade environment An Agricultural Enterprise as a System
  • 52. Wild Harvest Linear/Industrial/Chemical Traditional Farming Biological Farming Biodynamic Farming Natural Farming Organic Farming Chemical Free Reduced Pesticide Low Input Sustainable Minimum Till Green/Biological/Natural Conventional Minimum interventionalist High Input Chemical Intensive
  • 53. THE OPERATION OF ORGANIC PHILOSOPHY (Fundamental Principals and Practices) Objectives Soil Health & Pest & Disease Weed Eco-system Sustainability Fertility Management Management Biodiversity Practices Crop Rotation Crop Rotation Crop Rotation Crop Rotation Crop Rotation Green Manure Green Manure Cover Crops Green Manure Green Manure Animal Cover Crops Intercropping Animal Animal Manure Manure Manure Composting Mulching Cover Crops Cover Crops Cover Crops Intercropping Flame Control Mineral Intercropping Intercropping supplements Crop Diversity Natural Herbicide Bio-control Farmscape Natural Bio-control Fertilizers Farmscape Composting Natural Integrity Mulching Pesticides Buffers Mulching Buffers Composting Sanitation Buffers Records Foundations Tillage Tillage Certification Site Selection Intercropping Farmscape Improvement Conversion Bio-control Fire Farmscape Buffers Habitat Creation Buffers Planning
  • 54. Approximate Size of the World Organic Market 2008 (USD Billion) Fruit & Cosmetics, Vegetables, 6.5, 18% 12.9, 35% Processed Foods, 3.9, 11% Meat and Beverages, Poultry, 1.5, 3.6, 10% Bread & Dairy, 3.6, 4% Grains, 4.5, 12% 10%
  • 55.
  • 58. New Foreign Products Essential Oil Based Fungicides/Insecticides Control Nimgard + Kocide Timorex 0.5 % Timorex 1 %
  • 59. Organic Herbicides Before Product Reported Results* Control O Round Up 10 Pro[i] All-Down Range 0.5 – 3.8 Organic[ii] [i] Registered Trademark of Monsanto. [ii] http://alldownherbicide.com/ After
  • 60. Inadequacy of an existing technology or business process An improvement in process that makes consumers more satisfied based on an improvement or change in technology.
  • 61.
  • 62. Perlis Malaysia A Rapid Growth Industry
  • 64. A relatively new “birdtown”
  • 65.
  • 66. Big capital investment Bird Cities
  • 67. Basic Pattani Bird House Layout Top View 36 Feet 8 Feet 10 Feet 12 Feet 18 Feet
  • 68. Swiftlet Farming End View 3 Ft 6 Feet 3 Ft 5 Feet 9 Feet 23 Feet 1 Ft 8 Feet Side View 9 Feet 23 Feet 14 Feet Top View (Reinforcements) By developing novel applications of technology
  • 69. Essential Oil A volatile oil obtained from a wide variety of plant, scrub, and tree species and from various parts of the plant anatomy, such as the roots, rhizomes, wood bark, leaves, stems, fruit, flowers and seeds. Usually extracted by hydro or steam distillation, expression or effleurage - Hunter 1996
  • 70. Wild Collection & Distillation Tea Tree Australia
  • 87. Ginger Oil (Zingiber officinale) citral, beta-sesquiphellandrene, zingeberene, and gingerols/shogaols The fresh ginger rhizome is a versatile ingredient of the far eastern cuisine, and is now commonly used in mos of the world. Its flavour is lemony-balsamic and its tast is medium hot.The lemony character of fresh ginger is due to citral. Major components of the essential oil are the sesquiterpenes beta-sesquiphellandrene and zingiberene. The 'sharp' constituents, causing the burning sensation on the mucous membranes, are substituted phenols (gingerols/shogaols) Extraction Method: Steam Distillation Origin: Indonesia, India, Sri Lanka, China
  • 88. Massoia Bark Oil (Cryptocarya massoy) C-10 massoia lactone C-12 massoia lactone Massoia bark has a sweet, coconut-like aroma and is steam distilled to yield massoia bark oil. The bark is obtained by cutting the tree at the base, making circular incisions at one meter intervals, lifting the bark off and allowing it to dry. Each tree yields on average 65 kg of air dried bark. Extraction: hydro-distillation of the bark, heartwood and fruits of the massoia tree afford pale yellow- coloured oils in 0.7, 1.2 and 1.0 yields, respectively Constituents: C-10 massoia lactone, or 5,6-dihydro-6-pentyl-2H-pyran-2- one, (65-68 %), and the C-12 massoia lactone, or 5,6-dihydro-6-heptyl-2H- pyran-2-one, (17-28 %), while the major fruit oil constituent is benzyl benzoate (68%) Origin: New Guinea and Irian Jaya Highlands
  • 89. Patchouli Oil (Pogostemon cablin) There are no synthetic equivalents of the patchouli scent. Main Constituents: (-)-patchoulol (30-40 %). However, it is maintained that norpatchoulenol, present in only 0.3-0.4 %, is playing a principal part (-)-patchoulol and in the overall odour picture. norpatchoulenol Obtained by steam distillation under pressure or CO2- extraction of the dried leaves Patchouli is mostly grown in Indonesia
  • 90. Pepper Oil (Piper nigrum) (+)-3-carene piperine Main Constituents: The pepper seeds contain avolatile oil and the non-volatile compound piperine, the latter being responsible for the burning effect on the mucous membranes.Also, cyclic monoterpenes with -carene as the major component (around %). Moreover, a number of hitherto unidentifiedsesquiterpenes probably contribute to its character. Extraction: Steam Distillation of the crushed seeds Main producer: Sarawak, Malaysia
  • 91. Backhousia citriodora (Lemon Myrtle) High Investment to Expand Industry in Australia Strong Demand as an Ingredient for tea Good Crop to Grow in Most Parts of Thailand CHO CHO Citral (geranial 51.43 % and neral 42.12 % )
  • 92. Eucalyptus citriodora Good Monsoon Crop Easy to Cultivate Oil is a bi-product Excellent & High Valued Hard Wood One year for oil 10 years for timber Percentage of oil yields is 0.9 %. citronellal (88.62%), β-pinena (0.16%), 1, 8-cineol (0.32%), 5-hepten (0.14%), linalool (0.12%), citronellol (0.52%), isopulegol (0.33%), 3- cyclohexanol (3.66%)and β-citronellol (0.52%).
  • 93. Lengkuas (Alpinia galanga) kampheride, alpinin, galangin, methyl cinnamate , cincole, 1‟-acetoxychavicol acetate, 1‟-hydroxychavicol acetate, galantin-3-methyl ether, a-terpineol, 4-hydroxybenzaldehyde, trans-coniferyl diacetate,trans-p-courmaryl diacetate, a-bergamotene, b-bisabolene, borneol, borneol acetate, butanol acetate, campene, carveol I, carveol II, chavicol acetate, citronellol acetate, a-copaene, curcumene, p-cymene, p-cymenol, eugenol methyl ether, 1‟-acetoxyeugenol acetate, trans-b-farnescene, geraniol acetate, a-humulene, limonene, myrcene, nerol acetate, pentadecane, linalool, propanol acetate, 2-methyl sabinene, santalene, b-sesquiphellandrene (Malaysian Herbal Monograph) , g-terpinene, terpinolene, tridecane, caryophyllene oxide, 1‟hydroxycineol acetate, p-hydroxycinnamaldehyde, di-(p-hydroxy-cis-styryl)-methane, a-pinene, b-pinene, quercetin, kaempferol, quercetin-3-methyl ether, isorhamnetin and derivative of 4-allylphenol Flavour Ingredient UV Properties Easy to cultivate Niche Oil –specialised market
  • 94. Geranium (pelargonium species) Citronellol, andgeraniol, which occur in different proportions according to the origin of the oil. Both Bourbon and North African-types contain unusual high quantities of (-)-citronellol, isomenthone and monoterpene formates. However they can be distinguished by the presence of different constituents such as guaia-6,9-diene in Bourbon oil and 10-epi-[gamma]-eudesmol in the African-type The Chinese oil is similar to Bourbon-type, having higher content of citronellol (+40%) and lower content of Iinalool and geraniol (1,3). Distillation or Potential High Value solvent Boutique Crop extraction of the Good for Hilly Terrain dried leaves
  • 95. Plai oil (Zingiber cassumunar) Sabinene and terpinen-4-ol a-terpinene g-terpinene Major Constituents: terpinen-4-ol, a-terpinene, sabinene, g-terpinene, cis-3-(2',4',5'-trimethoxyphenyl -4-[(E)-2''',4''',5'''-trimethoxy-styryl]cyclohex- 1-ene, cis-3-(3',4'-dimethoxyphenyl)-4-[(E)-3''',4'''- dimethoxystyryl]cyclohex-1-ene, cis-3- (3',4'-dimethoxyphenyl)-4-[(E)-2''',4''',5'''- trimethoxystyryl]cyclohex-1-ene (3),(E)-4- (3',4'-dimethoxypheny1)but-3-en-1-ol, E)-4- (3',4'-dimethoxypheny1)but-3-en-1-yl acetate, 8-(3',4'-dimethoxyphenyl)-2-methoxynaphtho- 1,4- quinone Extraction Method: Steam distillation of the rhizomes
  • 96. Cajuput (Gelam) Melaleuca cajuputi Local Tree Number potential Markets Can Basically Set Price Easy to Cultivate
  • 97. Persicaria odoratum (Kesum) New Material Good Highland Crop Small Scale High Value Pests Easily Controlled Doesn’t need Registration as an Aromatic Chemical
  • 98. Changes in industry or market structure New ways and means of undertaking business based on identified opportunities or gradual shifting of the nature of the industry.
  • 99. Farming in Fiji Farming is primarily subsistence agriculture
  • 100. Taro Yam Cassava Ginger Chillis
  • 101. Monday Morning Sunday Monday Afternoon at the Melbourne Wholesale Market
  • 103.
  • 104.
  • 105.
  • 106.
  • 107.
  • 108.
  • 109. Perceptual changes Changes in peoples awareness founded on new knowledge and/or values or growing affluence leading to new fashions and tastes
  • 111.
  • 112.
  • 113.
  • 114.
  • 115.
  • 116. Business Carbon Footprint
  • 117.
  • 118.
  • 119.
  • 120. Aveda The Body Shop Thursday Sureco Hain Celestial Plantation Group Est. Sales USD120million USD1.5Billion USD85Million USD40Mil[iv] USD738Mil[v] (1996)[i] (2006)[ii] (2006)[iii] (2006) USD619mil (2006) Location USA UK Australia Malaysia USA Established 1978 1976 1976 1999 1926 Products Personal Care Personal Care Personal Care Herbs Organic food and cosmetics Basic Philosophy To sustain the Social Natural tea Halal & Free of artificial environment and humanitarianism tree Toyyibaan ingredients, give back to activism on many products/natur Kosher foods communities issues al medicines Ethics Yes Green Yes Yes Yes Natural Yes Yes Yes Yes Organic Yes Yes Yes Community Yes Yes Yes Cultural Religious/Spiritual Yes Yes Mode of Distribution Direct Retail and e- Direct and Direct General Marketing/Salon Commerce through Marketing distribution distributors Owner Estée Lauder Loreal Chris Dean & Private Listed company Companies Inc. Family Ownership
  • 121. Actualisation Fulfillment: (dreams) (The Artist) Study after retirement Self-fulfillment Fresh vegetables (Organic) Books Fine Dining & Processed Foods Aromatherapy products Luxury cars Esteem Nutraceuticals & herbs Travel & Vacations (The Executive) Achievement, Fine Fragrances prestige,fulfillment Car Air Fresheners Responsibility: (hope) Fashion Clothes (e.g. Social (Worker) Jeans) Chewing Gum Family, relationships, workgroups Community: (acceptance) Most Water Household Safety (The Farmer) Purifiers Cleaning Home, Security and stability Necessities: based on what is good (existence) Products Fresh Soap Vegetables Physiological (The Hunter) Rice Basic Biological Needs – Food, water, air Staples: based on survival (fear)
  • 122.
  • 123.
  • 124.
  • 125.
  • 126.
  • 127.
  • 128.
  • 129. Demographic changes Gradual shift of demographics in population by age, income groups or ethnic groups, etc
  • 130.
  • 131.
  • 132. Coronary artery obstruction. Nearly 90%. Caused by fat Accumulate on artery walls. Until the tube constricted blood. Hard and narrow.
  • 133.
  • 134.
  • 135. New knowledge New knowledge or application of existing theoretical knowledge into an existing industry that can create new products not previously in existence
  • 136.
  • 139.
  • 140.
  • 141.
  • 142.
  • 143.
  • 144.
  • 145.
  • 146. Natural Enzyme Based Products
  • 147. Natural Based Enzyme Products
  • 148.
  • 149. Colostrum To Achieve Excellence in Passive Immunity Transfer: By providing an all natural premier milk extract with a guaranteed minimum level of 40% Immunoglobulin and antibody level derived from bovine & goat milk.
  • 150. Colostrum or Mother‟s Milk is the original and ultimate nutritional supplement. It is a unique natural secretion produced at the beginning of lactation designed by Nature to promote strength and good health.
  • 151. Colostrum has been called life‟s first food. Each drop of Colostrum contains the promise of life: immunoglobulins, antibodies, growth factors, vitamins, minerals, enzymes, amino acids, and other substances designed to „prime‟ the body to face a lifetime of invasion by various microorganisms and environmental toxins. (Colostrum is considered to be nature‟s most perfect disease fighter). Shape of Antibody
  • 152. Inside the intestinal tract the antibodies from Premier Milk prevent the toxins from attaching to the intestinal wall and multiplying. In effect shielding the body from toxins.
  • 153. Premier Milk Extract – Photographic Evidence Ordinarily With Premier Milk The „control‟ cells. The hundreds of At normal Premier Milk doses little black dots are E. coli bacteria there are practically no E. coli attaching to the cell walls. attaching to the cell walls. ETEC strain H10407 adhering to differentiated Caco-2 Inhibition of adherence of H10407 to Caco-2 cell line cell line (colon carcinoma). in the presence of 500μg/ml hyperimmune colostrum. (Photos from approx. 40x magnification, Phase-contrast, Giemsa stain)
  • 155. Cold Sublimation Process during processing. This helps to maintain the shape and the bio-activity of the antibodies (IgG).
  • 156.
  • 157. Conclusions about innovation in agriculture
  • 158. Farming is less about cost advantage as it is about product What is the Halal hub about? What is the organic market about? What is the herb market about?
  • 159. Paradigm adoption is more powerful than subsidy adoption Making the wrong decisions can bring potential market isolation
  • 161.
  • 162. Maximises benefits of large local biodiversity Competitive Advantage Through Differentiation Local culture is utilised as branding Maximises Benefit from Location as a marketing advantage Relatively low competitive market Southern Thailand segment Malaysia Brunei Indonesia
  • 163. Location Perak Malaysia, Sales RM100 Million Plus
  • 164. Location Perlis Malaysia and Indonesia Sales RM 170 million P.A. Plus
  • 166. Ideas Opportunities Solutions Realisation Performance Management Capability Spots Evaluates Selects Targets Creativity Innovation Strategic Thinking Differentiation Competitive Capabilities Governing Competitive Advantage Scope Costs: to customers Knowledge: Industry/market/technical/p Competencies rocess Entrepreneurial, Opportunity Relationships: Identification, Network, Conceptual, Customers/suppliers/distri Organisational, Strategic, Commitment, butors/relative power Resources Structure: Ability
  • 167. $ Cost Conceptual Value Added Processing Options with Revenue and Cost Implications Final Product Product Development Harvesting & Degree of Processing Extraction Planting, Maintenance & Irrigation Propagation Land Preparation Trials Selection of Crop Crop & Compost & Mulch Crude Essential Oil $ Return Biofuel Animal Feed Pharmaceutical Project Nutriceutical Aromatherapy Organic Agro- Cosmetic & Failure product No Return Final Product Form
  • 168.
  • 169.
  • 171.
  • 172. Eucalyptus citriodora 1 year 10 years
  • 173.
  • 174.
  • 175.
  • 176.
  • 177.
  • 178.
  • 179.
  • 180.
  • 181.
  • 182.
  • 183.
  • 184.
  • 185.
  • 186. Certification and Value Organic Products have 3 times the value as conventional crops
  • 187.
  • 188. A Roadmap from today Skills (how to make), place to Look for Resources make, finance Determine whether there is a market and how much competition there is. Screen the Idea for opportunity Determine if the product can be made. Decide on what product each group would want to be involved in and match this with an expert person and Create Ideas some students.
  • 189. K-OTOP Model Network University Training • Students R&D Funding Through Cluster Initial Grant • Farmers Prospectus • UNDP Umbrella Brand (Direct Marketing Company) •Prospectus • Zakat Entrepre- • VC neurship Application of University R&D Health Graduates Under Beverages University Nutraceuticals Supervision Herbs & • CosmeticsDrive Marketing Others • Product Development Organic Farming Govt. • Business Operations Support Integrated Farming