WHEN brothers Low Cheong Kee and Low Cheong Yew took over their parents' hardware shop, they set about modernising the old family business - improving the store layout and product packaging, standardising price labels, and developing an inventory management system.
The result was Home-Fix DIY, which has grown from Singapore's first do-it-yourself store in 1993 into a network of 18 stores with an annual turnover of over $20 million. The business has won plenty of accolades, including the Singapore Promising Brand Award from The Spirit of Enterprise in 2005 and 2006.
But things were not easy at the start. Do-it-yourself was a relatively new concept in Singapore and elder brother Cheong Kee ran the first outlet at Siglap Centre by himself, working 12-hour shifts, seven days a week, until younger brother Cheong Yew started to take over on weekends, later joining full time when a second outlet opened at Tanglin Mall.
Their secret to success? The same thing that led them to revamp their parent's business in the beginning: a philosophy of constant improvement and modernisation coupled with a humble willingness to learn.
Managing director CK says: "I think what's important is that we keep an open mind and are willing to learn. This has undoubtedly been our source of competitiveness and success.
"In terms of business practices, Spring Singapore has been very supportive of Home-Fix. Through them we were able to engage various consultants to come in and help with our processes and workflow.
"Another source of learning for us was 3M Singapore, with whom we undertook a Six Sigma project that optimised inventory management for our outlet at Thomson Plaza.
"From that experience, we were eventually able to apply the lessons learned to the rest of our shops, as well as use the Six Sigma methodology for other processes."
Regular upgrading
Other methodologies - like Enterprise Resource Planning (ERP), Consumer Relationship Management (CRM) and Collaborative Procurement-Fulfilment- Replenishment (CPFR) systems as well as an online store - are some of the things Home-Fix has successfully implemented or will continue to implement.
Business procedures are not the only thing in the company that undergo regular upgrading. Home-Fix staff are regularly sent for courses on subjects ranging from leadership to visual merchandising. "Our staff are a pillar for our business," says CK. "We make an effort to upgrade all our staff, either via external courses or internal training. Of our 30 senior staff, including store managers, 18 were groomed from the front end."
So what's next? Besides plans for a new distribution centre and headquarters in Singapore, Home-Fix has started to expand outside Singapore, adding to its four outlets in Malaysia with a recently opened store in Jakarta. CK says the Jakarta venture is "different" from anything he has encountered before, including the experience in Malaysia.
"Malaysia is just a drive away, but challenges arose with the distance between Singapore and Jakarta - both physical and cultural," says CK.
"More external parties were involved, including suppliers and business partners. Therefore, there was a need to be transparent and open in terms of processes. Documentation also became more stringent."
There is no doubt the lessons learned in Jakarta will prove invaluable. Home-Fix plans to set up shop in Dubai next, which Cheong Kee sees as an "exciting new opportunity".
