Business 
Business Model 
In manufacturing, the quality of the end product depends on the quality of the raw materials used, product formulation, and the manufacturing process. As a supplier of TCM medications and supplements, we are also duty-bound to preserve traditional recipes perfected over generations of practice while investing in R&D and technological innovation to meet the needs of modern consumers. Our business model emphasises:
Attracting and Retaining Talent
We understand a business cannot prosper without the support of a motivated and capable team. As such, we frequently enrol staff in professional training programmes to expand their skillsets and organise regular team-building exercises to strengthen their teamwork. Staff must also attend quarterly performance reviews where their strengths and weaknesses are assessed by top management; following these appraisals, they receive personalised guidance on how to excel in their respective roles.
Our talent management efforts extend to acquisition as well. At fixed intervals every year, we embark on a recruitment campaign where we identify business, pharmaceutical, and TCM experts from local and overseas (e.g. Taiwan, Singapore) research centres capable of adding significant value as either consultants or part of our R&D team. Shortlisted individuals are then presented with attractive employment offers.
Sustainability
We are eager to prove a business steeped in history can also contribute towards building a better, more sustainable future. We have taken concrete action to accelerate the achievement of multiple United Nations Sustainable Development Goals (UNSDG), including:
The Traditional Chinese medications and herbal health supplements we produce beneficial to the health and well-being of individuals of all background and nationalities.
Our business has catalysed economic growth in and around Ipoh by creating new employment opportunities for all individuals regardless of religion or ethnicity.
We have implemented various strategies to reduce energy consumption and minimise greenhouse gas emissions at our production facility.
Creating Added Value for Customers
The value we bring to customers and OEM clients, many of which are well-known publicly listed companies in Malaysia, Singapore, Taiwan, Hong Kong, and mainland China, extends beyond merely supplying them with pharmaceutical products – rather, we proactively propose value-added solutions that advance both their interests and those of the TCM industry as a whole.
In just one example of how we create added value, we recently partnered with a Singaporean research centre to develop a cloud-based business intelligence platform that aggregates sales data (e.g. sales volumes for each SKU) and generates actionable insights for our product development and marketing teams. The platform, once complete, will be open to all Wan Yeen customers and OEM clients, giving them privileged access to valuable business intelligence with the potential to significantly boost growth if applied judiciously.
Factors Supporting Growth
We are one of the few local TCM manufacturers that offer OEM clients one-stop product development, manufacturing, and sales services. Clients do not need to provide any input other than a basic product concept; upon confirmation of our engagement, we take over the whole process, consulting the client at regular intervals to ensure the product meets their specified requirements. Our one-stop services have been in high demand ever since Wan Yeen was incorporated as clients stand to save costs without sacrificing quality or efficiency by outsourcing labour and resource-intensive processes to us.
To dispel the misconception that TCM is ‘outdated’ and ‘ineffective’, we are developing a cloud-based business intelligence platform in collaboration with a Singaporean research institute that will provide us, our customers, and our OEM clients with the information required to accurately assess sales performance and identify important market trends. Adapting our business practices based on these insights will enable us to retain our competitive edge during the 4th Industrial Revolution.
‘Western’ healthcare is considered reactive – healthcare providers only intervene when patients fall ill to relieve their symptoms – while TCM focuses on proactively strengthening patients’ immune systems and restoring them to full health. Post-pandemic, demand for treatments that bolster the immune system is expected to surge, creating an excellent opportunity for us to promote TCM to the international community with the support of our business partners in Malaysia, Singapore, Taiwan, Hong Kong, and mainland China.
To date, our product development team, which consists of skilled technicians and researchers in, among others, biotechnology and agrotechnology, has successfully launched 500+ new products. We maintain high product quality standards by complying with strict SOPs throughout the manufacturing process and practising stringent quality control, both good practices that enabled us to successfully apply for GMP and HAACP certifications.
We take pride in being a reliable business partner to the customers and OEM clients who depend on us to provide effective solutions to their problems. From developing customised products tailored to OEM clients’ exact requirements to assisting customers with adhering to import and export regulations, we strive to deliver world-class products and services that consistently exceed their expectations. In addition, we steadfastly refuse to compromise on quality to lower costs as we do not want to jeopardise our customers’ reputations.
Incorporated in 2007, Land Herbs distributes traditional Chinese medications and herbal health supplements manufactured by the Wan Yeen Group to more than 800 TCM practitioners and retail chains in Malaysia and Singapore. Land Herbs recently ventured into B2C e-commerce to increase the visibility of our in-house brands and promote our products to a larger, more diverse audience. To date, their efforts to develop the e-commerce market for traditional Chinese medications and herbal health supplements have met with considerable success: online shoppers have consistently given our e-commerce store 5-star ratings for the exceptional quality of our diverse range of products.
“Companies that set an agenda for climate-resilient growth will likely be seen as more attractive prospects by investors. Institutional investors are aligning their portfolios toward better ESG performance, as the COVID-19 pandemic is demonstrating the possibility for significant carbon emission reductions and rapid behavioural change. It is clear that a focus on ESG performance could be critical to success in a post-COVID-19 world.”
– Ernst & Young
We are confident of attracting investment as we have made considerable progress towards full compliance with the environmental, social, and governance (ESG) criteria used by socially conscious investors (as well as a growing number of mainstream investors) to screen investment prospects.
Environmental (E)
We recognise manufacturing is an energy-intensive activity; as such, we have taken steps such as automating certain parts of the production process to reduce energy usage (with the additional benefit of minimising the risk of workplace injuries), which in turn decreases greenhouse gas emissions. We have also switched to using biodegradable plastics for packaging to help address plastic pollution.
Social (S)
Our products benefit society as a whole by enhancing consumers’ health and well-being. On a smaller scale, we champion racial and gender equality in the workplace: despite being a TCM business, 70% of our staff are Malay Muslims who are hired and promoted based on merit just like all other employees. Finally, we invest in employees’ professional growth via enrolling them in free upskilling courses.
Governance (G)
We have always operated in accordance with all industry rules and regulations in addition to treating business partners fairly and with respect. We also share audited performance reports with key stakeholders on a regular basis in line with our commitment to upholding information transparency.
We intend to capitalise on the multimillion-ringgit sales opportunities that have arisen as a result of increasing global demand for both TCM and halal-certified products.
Global Halal Market
Successfully applying for a JAKIM-issued halal certification, which is recognised by Islamic religious authorities worldwide, was a crucial milestone in our plan to penetrate the global halal market encompassing approximately 1.9 billion Muslim consumers. With a JAKIM halal certification, we can confidently reassure Muslims, who account for 61.3% of Malaysians and 25% of the global population, of our products’ safety, hygiene, and compliance with Islamic laws.
Chinese TCM Market
Rapid economic growth in Malaysia and China has led to soaring disposable incomes and surging demand for high-quality healthcare services and products among consumers. Other factors that are positively impacting TCM product sales include a growing middle-class population, an ageing society, the high incidence of non-communicable diseases, and increased health awareness post-pandemic. We are confident TCM uptake will continue rising as more consumers learn of and experience the benefits of TCM.
Malaysian TCM Market
The Ministry of Entrepreneur Development and Cooperative estimates the local market for herbal medications and supplements, which was valued at RM32 billion in 2020, will keep expanding at an annual rate of 8 – 15%.
“Many products may attract your attention for a short while before fading into the background once again. We, on the contrary, want to develop products that are simply so effective that consumers are convinced of their merits without the need for expensive marketing campaigns.”