Business

Monday May 4, 2009

A partnership built on trust

By LEONG HUNG YEE


Chong and Boo share similar goals and passion for their business

TRUST is vital in a business partnership. A partnership will not work well if the fit isn’t right.

In business, as in life, Xsus Engineering Sdn Bhd founder Chong Chen Keong and his partner Boo Khow Wei, believe that finding a partner you can trust is vital.

Their relationship goes back some eight years, built on mutual trust and understanding while the duo were still working at a Japanese conglomerate.

“We think we have a good partnership, like a marriage based on trust. It’s a shared vision; we have the same sort of goals and passion for the business,” Boo told StarBiz in an interview.

Balakong-based Xsus is an engineering company involved in the design and manufacture of machines mainly for the manufacturing sector.

Boo Khow Wei (left) and Chong Chen Keong. Boo says that their partnership is like the story of the rabbit and tortoise, with him the tortoise and Chong the rabbit

Boo said they complemented each other as he had strengths that Chong did not have and vice versa.

Chong describes Boo as a very meticulous, analytical person.

“He may be slow but he is a very careful person whereas, I am always rushing to get things done,” he said.

Boo reckons that their partnership is like the story of the rabbit and tortoise, with him the tortoise and Chong the rabbit.

Five years ago, Chong decided to give up his comfortable job and venture out on his own.

“I needed to challenge myself and see how far I can go. I decided to turn my interest in machine into a business venture,” he said, speaking animatedly about the machines Xsus designed and manufacture as if they were alive.

Chong, 36, who has a degree in mechanical engineering from the United States, started the company on his own and partnered Boo as the business expanded.

Boo, 30, also has a degree in engineering.

He said he had always been interested in the mechanics of a machine and was probably influenced by his father who was also into machines.

Although his job at a Japanese firm was “very comfortable”, Boo said he had no regrets leaving it.

After quitting his job, he worked for his father for a while before joining Xsus as a partner.

Boo believes Xsus has a niche appeal as it customises machines for industrial use.

“The business is growing steadily and we do not want to outgrow ourselves. However, we do have some expansion plans in mind,” he said.

Chong said Xsus was currently in the process of moving into fabricators for the oil and gas industry.

“There is a lot of knowledge needed in design and manufacturing. Hopefully, we can start producing fabricators in a year,” he said, adding that it needed to get a set of standards or accreditations before starting.

Xsus is still in the planning stage and in the midst of getting a team ready for the new venture, according to Boo.

The venture would be capital intensive with the basic equipment set-up costing about RM1mil to RM2mil, he said.

The duo are upbeat about the prospects of the business saying they are currently talking to some potential partners and looking for strategic parties who know the industry.

To a question, Chong said one needed to manage the cost efficiently in running a business especially a business like theirs which uses steel.

He said the company was worried initially when steel prices were soaring but noted that the price had since steadied.

“It is not just the dollars and cents that count. We value our relationship with our customers,” Chong said, adding that Xsus has built a customer base by existing customers’ word of mouth.

The young and energetic duo confess that they do “fight” regularly but in a healthy way, adding that their arguments are constructive.

The duo do not consider themselves successful businessmen just yet.

“We are not quite successful yet. There is still room for improvement,” Chong said.

But “we are getting closer to our target,” Boo reckoned.

  • E-mail this story
  • Print this story