- 2018-11-12
Indonesia Sanlin Group: The miracle of Lin Fengsheng
In Indonesia, everyone has heard of and bought the fast-food noodle brand Indomie. Behind this popular brand is Anthony Salim, who owns two popular food companies in Indonesia-Indomie. PT Indofood Sukses Makmur and PT Bogasari Flour Mills.
Lin Fengsheng, 68, is now a world-class businessman and entrepreneur. Its main group is First Pacific Company Ltd (First Pacific Company Ltd), which deals in food and investment.
He is going to play an important role in the e-commerce portal in 2017. The 11,000 Indomarkets owned by Salim Group in Indonesia will become an important part of the e-shop.
According to information, Lin Fengsheng has obtained a major shareholding of CAB Cakaran Corporation Bhd, a listed company in Malaysia. This is a poultry producer and also owns the patent right to operate the Kyros Kabab restaurant chain.
In Indonesia, Sanlin Group operates palm plantations and palm oil factories, sugar factories, flour mills, and produces the famous instant noodles-Indo Noodles. Now it has entered the African and Middle East markets.
The products of his company have become the staple food of many families and institutions, and are exported to many countries. He could have been content to inherit his father's company, but his talent for expanding products eventually made him one of the richest people in Indonesia.
Lin Fengsheng’s father, Lin Shaoliang, owned the well-known Sanlin Group during his lifetime. The group is well-known for other well-known companies such as Indomobil and Bulgaria, such as PT Indomobil Sukses International and Bank of Central Asia (PT BCA). , And PT Indocement Tunggal Perkasa, etc.
In 1984, Lin Fengsheng began to assume the position of executive president and presided over the overall work of the group. In addition to serving as the director of Sanlin Group's listed companies in Indonesia, Hongkong, Singapore, and the Philippines, he also serves as the director of international companies such as Allianz Group and other companies. Vice Chairman of Shanghai COSCO Sanlin Real Estate Group Co., Ltd.
After Lin Fengsheng took power, the Sanlin Group rose again
After the economic crisis in 1998, Sanlin Group suffered setbacks. Before the economic crisis, Sanlin Group was the richest group in Indonesia with assets of US$10 billion. Forbes magazine once listed Lin Shaoliang as the richest entrepreneur in South East Asia. When handed over to his son Lin Fengsheng, the Sanlin Group rose again.
The emergence of this economic crisis has weakened several companies under the Sanlin Group, such as Central Asia Bank, the largest bank in Indonesia. At that time, the people feared that the government would close dozens of banks and withdraw their savings funds. There is a long queue at each ATM waiting for a run. At that time, Bank of Central Asia was stagnated due to loans from major customers.
In order to save the funds of the Central Asian Bank, the government issued 52 trillion rupiah in circulating funds from the central bank. As a condition of exchange, Sanlin Group submitted 108 companies under its umbrella to the government representative agency IBRA.
Since then, the business empire of Sanlin Group began to weaken, and it was no longer the owner of dozens of companies at that time. In addition to PT. Indocement Tunggal Perkasa and Indocement Tunggal Perkasa, the group’s most regrettable loss is the Central Asian Bank. The bank is currently owned by the Djarum Group and the Farallon Capital Group of the United States.
Despite this, Lin Fengsheng insisted on keeping Indofor and Paul Gasari at that time.
It took only three months for Lin Fengsheng to take over Indofortune from Eva Riyanti Hutapea. At that time, he published many big plans in front of the media and shareholders to improve the work performance of the world's largest instant noodle consumer, including expanding the palm oil and cooking oil of his Singapore subsidiary to foreign markets.
However, the crisis and financial catastrophe did not stop Lin Fengsheng. He began to meticulously grow these two companies to become giants among Indonesian consumer goods companies, especially in the food and beverage sector. Indofor has created a famous brand of fast-food noodles and other products such as cup noodles, soy sauce, cooking oil, milk, tomato sauce and margarine, while Bougasari produces various cooking flours.
Indofor has achieved more success after Lin Fengsheng took over, and its products are less susceptible to crisis. Earlier, Indofor acquired Pepsi Indonesia (Pepsi Indonesia) to produce HEDY and Pepsi in Indonesia; later, Indofor even began to acquire bottled mineral water brand PT Tirta Bahagia, and introduced two well-known beverage brands in Malaysia (Malaysia) Cafela Latte and Ichi Ocha entered the beverage industry.
In addition, India’s popularity has made India the second largest consumer of fast food noodles after China. Indo fast food noodles are also exported to Australia, the United States, countries in the Americas, the Middle East, Asia, Europe, and Africa, and become fast food noodles. The common name of the brand is so popular that people remember that this fast-food noodle brand comes from Indonesia.
In order to promote the increase in sales of Indofor products, Lin Fengsheng cooperated with Nestle, and both parties agreed to expand the Indofortune and Nestle markets. The transaction cooperation between the two food and beverage product groups is the establishment of PT. Nestle Indofood Citarasa Indonesia. The enterprise is a foreign investment with an amount of 50 billion dong, each accounting for 50% of the shares.
Focus on food industry and consumer product operations
Lin Fengsheng believes that the two companies with reputation promote the added value of the people and shareholders. The company is engaged in manufacturing, sales, marketing, and distribution of cooking products.
Subsequently, Indofood's subsidiary named PT Indofood CBP Sukses Makmur Tbk., combined with four companies under the Sanlin Group. These 4 companies are PT. Indosentra Pelangi, PT. Gizindo Primanusantara, PT. Indobiskuit Mandiri Makmur and PT. Ciptakemas Abadi. The four companies started planning in September 2009 and were formally established on March 17, 2010.
In addition, Sanlin Group re-established a sugar company, the sugar industry group in Lampung was transferred to Makindo Group, and three sugar factories were built in Ogan Komering UlU, Muara Enim and Musi Banyuasin districts in South Sumatra. .
After the economic crisis, Sanlin Group refocused on the operation of the food industry and consumer products. These are the core businesses among the three businesses.
Overseas, Sanlin Group has expanded to the Philippines, Thailand, Hongkong and China markets through First Pacific. Subsequently, Lin Fengsheng also expanded his business to India and invested US$10 billion with the intention of turning West Bangladesh into a progressive industrial zone.
After completing a series of big steps, Sanlin Group has become a magnet for Asian entrepreneurs, and Forbes magazine has listed Lin Fengsheng as one of the richest people in Indonesia.
But Lin Fengsheng was not proud. He believes that the company he leads is a big ship with 50,000 employees, and there should be good communication so that the company's performance can be concentrated in the business market. He said: "my country (Indonesia) still has a promising consumer market."
Conquer the Indonesian food market with Indofor
Indofor is Lin Fengsheng's "weapon" to conquer the Indonesian food market. The company owns multiple brands, from instant noodles to milk products. However, since 1994, Indox has become one of the company's main products (before 1994, Indox was a product of another food company, PT Sanmaru Food Manufacturing, and Indof purchased this brand in 1994).
In spite of many competitors using a large number of promotions and marketing programs to compete with it, Yin Duan Mian is still one of the most popular fast food noodle brands; it is so popular that it has almost become synonymous with fast food noodles. What is Lin Fengsheng's secret to promoting the multi-faceted printing of India?
Keeping the taste unchanged is the key to Lin Fengsheng's maintenance of customer loyalty to India. In spite of the launch of various derivative products of Indo Mian and the packaging changes several times, the taste of Indo Mian has always been known to customers for many years (the popular Indo Mian derivatives ("Curry Chicken" or chicken curry flavor and fried noodles)) The taste has not changed for many years).
Today, 30-year-old customers can still remember the flavor of Indian multi-faceted food when they were 10 years old. This kind of consistency enables Indoface to maintain a loyal customer base while developing new products.
Lin Fengsheng has never stopped developing new brand derivative products. In addition to the main flavors, Indofore's flavor research and development department is also constantly innovating, always maintaining the consistency of flavors and eliminating flavors that have not been recognized by customers.
Today, Indo Noodles has seven series of products, and its derivative products are countless, such as broth noodles, fried noodles, chunky noodles and Taste of Asia. At the same time, according to the traditional dishes of different provinces, Indo-Fu has also developed a variety of special flavors of Indo-Foun.