Haleeb Internship Report

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Acknowledgement

First of all, I would like to say Alhamdulillah, for giving me the strength and health to do this internship report work until it done. Not forgotten to my family for providing everything, such as money, to buy anything that are related to this report work and their advise, which is the most needed for this report. They also supported me and encouraged me to complete this task so that I will not procrastinate in doing it. Then I would like to thank my teachers & Seniors for providing

guideline and special thanks to Mr. Sharjeel (Brand Manger), Mr. Yasir (Brand Activation Executive), Mr. Asad (National Sales Coordinatoer) and Mr. Salman Azam (Sales Coordinator) that helped me out in completion of this internship report which has helped me to explore knowledge. The process for working on this report was very interesting. I gathered useful and important information about organization. I am also thankful to those who provide me their precious time and help me in conducting this internship report.

B.Z.U Sub Campus D.G Khan

DEDICATED
TO

My Sweet Parents, Nice Teachers, sisters and brothers Who instilled in me the importance of Education and hard work, Who sacrifice their sweet wishes to fulfill my wants. And whose prayers helped me in every field.

My Friends
Who encouraged me in the course of life. .

B.Z.U Sub Campus D.G Khan

DECLARATION
I hereby declare that this internship report and it is neither as a whole or as part have developed report entirely on the basis of my personal effort, made under the guidance of my internship supervisor. No portion of this work presented in this dissertation has been submitted in support of any application for any other course of any other degree program or qualification of this or any other university or institute of learning. It is further stated that whole document is as the partial fulfillment for the BBA Program. I understand and transfer the copyright for this material to the Institute of management sciences, BZU (D.G Khan campus) Multan.

Table of Contents
DEDICATED.............................................................................................................................2 B.Z.U Sub Campus D.G Khan 3

Executive Summary...................................................................................................................6 Introduction................................................................................................................................8 Introduction to HFL...............................................................................................................9 History..................................................................................................................................11 Business Volume..................................................................................................................13 Unique Features of Company...............................................................................................14 Haleebs Products Unique Features.................................................................................14 Nature of the Organization...................................................................................................15 Haleeb Foods Product Portfolio.......................................................................................15 Haleeb Foods Functional Organization Structure................................................................25 Organization Chart...........................................................................................................26 Introduction of departments.....................................................................................................27 Marketing Department.........................................................................................................28 Sales Department.................................................................................................................29 Application of Marketing Objectives...................................................................................30 Marketing mix......................................................................................................................31 Marketing Operations...........................................................................................................32 Market segmentation strategies............................................................................................32 Target marketing strategies..................................................................................................33 Product planning and development......................................................................................34 Packaging.............................................................................................................................34 Brand positioning.................................................................................................................34 Pricing strategies..................................................................................................................35 Promotional strategies..........................................................................................................35 Distribution strategies..........................................................................................................36 Action programs...................................................................................................................36 Competitor Analysis.............................................................................................................36 Budgeting strategy...............................................................................................................37 Application of Media plan...................................................................................................38 What I Learnt in the Organization...........................................................................................40 Types of packing......................................................................................................................41 TBA..........................................................................................................................................41 TFA..........................................................................................................................................41 CLT..........................................................................................................................................41 Haleeb drinking results with Olpers & Milkpak................................................................41 Strategies for Promotion of Products...................................................................................42 B.Z.U Sub Campus D.G Khan 4

Availability Audit.....................................................................................................................43 Posters Comparison..................................................................................................................44 Off-Take Study.........................................................................................................................45 Tea Max Cardamom Intercept.................................................................................................46 Develop an Urdu Questionnaire for Tele Marketing...............................................................47 Interpretation of Data Telemarketing of Haleeb..................................................................48 Guide the Students...................................................................................................................49 Develop a Questionnaire for Consumer and Retailer..............................................................49 DMS.........................................................................................................................................55 Market Survey of Haleeb.........................................................................................................55 Daizy Intercept.........................................................................................................................56 Results..................................................................................................................................57 Graphical Representation.....................................................................................................57 Financial Analysis....................................................................................................................59 Profit & Loss Account.........................................................................................................60 Balance Sheet.......................................................................................................................62 Vertical Analysis..................................................................................................................65 Horizontal Analysis..............................................................................................................69 Ratio Analysis......................................................................................................................73 SWOT/PEST Analysis.............................................................................................................77 PEST Analysis.....................................................................................................................78 SWOT Analysis...................................................................................................................80 Suggestions for HFL................................................................................................................85 Conclusion................................................................................................................................87 Appendix..................................................................................................................................89 Joining Letter.......................................................................................................................90 Letter of Internship Completion...........................................................................................91 All Other Valueable Documents..........................................................................................92 All Other Valueable Documents

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Executive Summary

Executive Summary
This report covers the activities and responsibilities that I performed during my internship at Haleeb Foods Limited. HFL is the National Company with a burning passion to take on the international market. In the clutter of multinational companies HFL has a distinguished place. The report starts with the introduction of the company, then the mission and the vision of the organization, introduction of departments and its structure, Financial B.Z.U Sub Campus D.G Khan 6

Analyses HFL products portfolio, SWOT Analysis. The last part includes my duties, responsibilities, assignments and projects that they give me through that I found limitations and give them recommendations. I worked there as an internee for 6 weeks in the Marketing and Sales Department. In the marketing department of HFL I learned a lot of things related to marketing as well as sales and sales. My boss gave me many assignments which were related to marketing and sales and also many other things that will help me a lot when I will start my professional career. My contributions in that department were valuable, because of my contributions many of their pending work has been solved, and I also success in taking the load of work of my boss.

B.Z.U Sub Campus D.G Khan

Introduction

Introduction to HFL
This report provides a cavernous insight of the departments and products of the company. HFL is now one of the fastest growing packaged food companies in Pakistan with an annual Turnover/ Loss of Rs.9.3 Billion (F2010). It is a private limited company. It started commercial production in July 1987. Due to consistently superior performance, it had achieved undisputed leadership in the liquid packaged milk category with a market share of over 52%. HFL has a very strong brand portfolio consisting of dairy as well as non-dairy products. B.Z.U Sub Campus D.G Khan 8

Haleeb Foods has segmented its product portfolio in 3 leading brands including Haleeb, Yogurt and Good Day. Haleeb is the flagship brand of the company. Haleeb UHT Milk is available in 3 Skus of Tetrapak packaging. Due to its strong positioning of the thickest milk for best tea, it has the highest top of mind awareness and penetration in the dairy industry of Pakistan. In order to increase consumer and trade penetration of the brand, it is also available in Tetra Fino Packaging under the brand extension of Haleeb Dairy Queen. Haleeb has also progressively diversified from UHT Milk to other product categories as well. These product line extensions include Haleeb Butter, Haleeb Yogurt ( Daizy), Haleeb Teamax Haleeb Cream, Haleeb Asli Desi ghee (Butter Oil), Haleeb Skimz (skimmed milk), Haleeb N'Rish Full Cream Milk Powder & Haleeb Good day Pure Juices. Haleeb Good day is the only range of 100% pure juices in the country with a variety of 6 pure juice flavors. HFL has one of the largest nation-wide distribution networks delivering high quality products, even in the remote areas of Pakistan. With a network of +1100 distributors the company ensures that the product range is available in all the urban and semi urban areas of Pakistan. Furthermore, concerted efforts are being made to develop the rural market as well. In order to provide best quality products to its consumers, HFL has a well-developed supply chain infrastructure. It has heavily invested in a vast network of company operated milk collection centers across the country. HFL has a strict and stringent quality policy regarding intake of raw milk. It is the only company that conducts 21 rigorous quality tests to ensure that only fresh milk of the highest quality is accepted at the plant premises. Further, Haleeb Foods is the only food company in Pakistan that has the following international certifications of quality and prestige:

HACCP (in process controls for safer products) ISO 9001 2000 (better quality for greater customer satisfaction) ISO 14001 (environment-friendly operations) HFL believes in using cutting edge processing and packaging technologies to meet

consumer expectations of hygienic and high quality food products. It has more than 30 Tetra machines for its UHT milk brands and 5 UHT units with a capacity of producing more than 1 Million Liters of Milk every day. Keeping in view the volume potential and increasing growth trend of the market, the company has recently inaugurated a second independent UHT plant at Rahim Yar Khan. B.Z.U Sub Campus D.G Khan 9

Companys Mission

Its mission is to provide nutritious and hygienically processed food product to customers. Enhance reputation for quality in all our operations. Promoting mutual trust with customers, suppliers, employees and shareholders and providing a healthy and safe environment to our community. Mission Statement Build Branded Food Business to improve quality of life by offering tasty, affordable and highly nutritional products to our consumers while maximizing stakeholder value.

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Companys Vision Most innovative and fastest growing food company offering products enjoyed in Every home every day

History

Haleeb Foods Ltd. was incorporated on July 1st, 1984 with a capital of Rs. 46 Million

under the name of Chaudhry Dairies Limited which was renamed as CDL Foods Limited and now it is known to be as Haleeb Foods Limited. At that time it had the capacity of producing 80,000 liters of milk per day having total area of 32 acres. Initially 150 people were employed at the plant. The production process started with UHT liquid milk. The liquid milk was the first product launched in the market, it started its operation in 1987 at that time 20 other dairy plants were also coming in, and all those including MILKPAK were using obsolete technology that was used in EUROPE. Haleeb Plant was the only plant based on the latest technology and the basic idea behind that were particularly dairy foods products. Haleeb is one brand that is toady known everywhere. From November 1989 till December 1991 Haleeb had a joint venture with fries land Frico Domo of Netherlands. As an ISO 9002 certified company, Haleeb has been the dominant market leader of UHT milk in Pakistan by capturing 52 % share. In 2002 the company contributed 54% to the country's packed milk market.

Products Launch History


1986 1997 1998 1999 2000 2001 2002 2003 2004 Haleeb Milk Haleeb Asli Desi Ghee Haleeb Cream, Candia Skimz Milk Powder Candia Milk, Candia Skimz Liquid Milk Tropico Juice Drink, Haleeb Dairy Queen Haleeb N'Rish Instant Full Cream Milk Powder Haleeb N'Rish Fortified Instant Full Cream Milk Powder Candia Tea Max Dairy Whitener, Haleeb Butter, Haleeb Plain Yogurt, Haleeb Lassi Drink Haleeb Good Day Pure Juice, Haleeb Fun Day Juice Drink, Candia Candy' Up Flavored Milk 11

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2005 2006 2007 2008 2009 2010

Haleeb Cream With Honey, Haleeb Tea Max with Cardamom, Haleeb Labban, Haleeb Good Day(Mix Fruit, Red Grapes, Mango Pineapple) Haleeb Reshmi Pack, Candia Classic, Skimz Pouch, Tropico Nectar Haleeb Cheddar Cheese, Haleeb Bottle, Haleeb Good Day Re-Launch Haleeb Xtra Lite Milk, Haleeb Jelly, Haleeb Custard, Kheer Mix. Firni Mix, Haleeb Ice Cream Powder, Haleeb Crystal Water, Haleeb Tea Max Poder, Haleeb Xtra Energy Milk Daizy Yogurt, Friesian Milk Re-Launch Good Day, Tea Max Cardamom. Daizy Raita

Present Status
HFL has been the leader of dairy products and had the 52% market share of UHT products. At that time Haleeb had very strong competitors like Nestle and Engro. Currently Haleeb Foods is in the decline stage of business cycle n trying to rebuild its identity. Haleeb Foods has the annual turnover of 15% share of the market. This phase has been started with start of 2006. Due to high growth and continuously increasing market share the confidence of the management on their customers increased gradually. HFL now moved from dairy to food industry and introduced food items like juices, powdered custard and ice cream, kheer, firni and jelly. With the start of 2007 there was a massive downsizing and firing. The reason behind this decline was the bad quality of UHT milk. That bad quality was caused by mismanagement of Quality Assurance Department. HFL re-launched Haleeb UHT Milk with new packaging and improved quality and it worked as expected. Next target was Tea Max tea whitener with new packaging beat Tarang. In 2008 Haleeb take huge finance but cant proper utilization and came to decline. Haleeb launch lot of products in 2008 but in vain. In 2009 Haleeb launch Daizy Yogurt to over come the Umbrella Branding. This is the effective way and towards the 2010 the company face less loss than last year.

Business Volume

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The Business volume of any company can be determined by the company assets and sales. If I see the haleeb foods financial statement it shows that the company is suffering the losses and decline in the sales in 2010 the sales volume are 5,268,803 which is less than the previous years sales. So if I see the assets of the company which also decrease according to the assets in 2009 in 2010 the total assets amounted to 5,695,982. So I can say as the company is suffering the losses the company business volume also decreasing.

Unique Features of Company


Haleeb is giving to their customer Thickest Milk as compare to his competitors. Haleeb prices are low than his competitors. Huge Consumer promotion. 21 Rigorous Test

Haleeb Foods is the only food company in Pakistan that has the following international certifications of quality and prestige HACCP (in process controls for safer products) ISO 9001 2000 (better quality for greater customer satisfaction) ISO 14001 (environment-friendly operations)

Haleebs Products Unique Features


Haleeb Milk
Thickest Milk Trustworthy Modern Full of health Full of life Nurturing Caring progressive

DQ Milk Caring B.Z.U Sub Campus D.G Khan 13

Reliable Friendly Low Price Daizy Yogurt


Lively Contemporary Caring Real and fresh

Good Day Juice


Young Confident Active Bankable Optimist

Nature of the Organization


Haleeb produced Dairy Products, like milk, Yogurt so its nature of the Haleeb is Dairy. Haleeb produced following products. Haleeb Foods Product Portfolio

1. UHT
1.1. Haleeb Milk in Tetra Pack Keeping in line with modern and changing times, Haleeb Foods is proud to bring you the same legacy that has become a household name thanks to its superior taste, unique quality & timeless belief: New Haleeb Nutritious Thick Milk, has shown tremendous potential in the very first month of its launch. Haleeb Foods has rejuvenated the image of Haleeb Milk, in keeping with the same promise of quality that has remained with consumers for over two decades and has won many hearts due to its unparalleled quality, be it in cup of tea or the

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desserts enjoy, with the ability to protect maximum nutrients of fresh milk, Haleeb is also the best milk for growing children! Consumers everywhere know that only Haleeb Milk makes the best tea ever because of its thickness. Haleeb is pasteurized, homogenized, and standardized pure UHT milk of the highest standard with 3.5% fats and 8.9% solid non-fats. It is Haleeb Foods premier brand, and the choice of quality-conscious consumers who only go for the best. Packed in easy to open, 6-layered Tetra Pak Brick Aseptic packaging, it comes with a 3 months shelf life.

SKU's 1500 ml: 8 Packs / carton 1000 ml: 12 packs/carton 500 ml: 12 packs/shrink-wrapped tray 250 ml: 27 packs/shrink-wrapped tray 1.1. Dairy Queen Dairy Queen is Haleeb another standardized and homogenized pure UHT Milk with 3.5% fat and 8.9% solid non fats. At an affordable price it has won the hearts of consumers everywhere. It is available in 6-layered Tetra Pak Fino Packaging, introduced for the first time in Pakistan and has 3 months shelf life. SKU's 250 ml: 24 pouches per carton 500 ml: 16 pouches per carton 1000 ml: 9 pouches per carton 1.1. Candia Milk Candia is Europe's Number One selling milk. Haleeb Foods Limited and Candia of France have joined hands to bring the highest quality milk. Candia is pasteurized, homogenized, standardized, double sterilized milk. This not only ensures the highest quality, but also the best taste ever. For the first time in Pakistan, Haleeb Foods Limited has introduced milk packed in B.Z.U Sub Campus D.G Khan 15

food grade plastic bottles. These bottles are manufactured from imported materials at Haleeb Foods latest plant and guarantee longer shelf life, highest quality and storage with ease of use. SKU's: 250 ml Bottle: 12 bottles/carton 1000 ml Bottle: 12 bottles/carton 1.1. Candia, Candy Up With the backup of Candia, Candy Up has been launched especially for flavored milk drinkers, in chocolate & strawberry flavors to the sheer delight of children. The fact that it comes in a bottle makes up for convenient usage as well. SKU's: 500 ml: 12 bottles per carton * Note: This product is inactive now 1.1. Skimz Candia Skimz is the only completely fat-free milk with the richness of pure milk. Minus fats, it is an ideal choice for weight-watchers and heart patients. It is also high in calcium content, which prevents osteoporosis. Packed in a 6-layered Tetra Pack Brick Aseptic packaging, it comes with a 3 months shelf life. SKU's 250 ml: 27 packs/shrink-wrapped tray 1.2. Haleeb Reshmi Haleeb Reshmi pack is long life-packaged milk and offers consumers premium quality milk at an attractive price. Due to its multi-layered packaging material, Reshmi pack not only retains the natural thickness of milk for a longer time, but also protects the milk from light, heat and bacteria. SKU's 125 ml: 1.25 liters 16

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250ml: 5 liters 1000ml: 6 liters

* Note: This product is inactive now

1.1. Haleeb Bottle The good thing about the Haleeb Bottle is that it is made out of material that is 100 percent recyclable. Feel free to have your own pick according to your need. , Haleeb Milk is all about making your life simpler and easier. The Milk Bottle's convenient screw cap makes it easy to use in our day-to-day life. The aluminum that covers the mouth of the bottle ensures that the milk that reaches you remain fresh. Approved by CCTPA the Haleeb Milk Bottle has multi protected layers that keep it safe from bacteria and sunlight. SKU's 1000 ml / 8 pieces per cartoon 250 ml / 24 pieces per cartoon * Note: This product is inactive now 1.1. Bulk Products Available Instant Full Cream milk powder (IFCMP) Full Cream Milk Powder Skimmed Milk Powder Instant Skimmed Milk Powder (ISMP) Cream Ghee Butter * Note: This product is inactive now 1.1. Nrish N'rish, instant full cream milk powder, gives you the complete nourishment of fresh milk without the water. N'rish contains more fat, loads of calcium for stronger bones, teeth and vitamins A, B and D, which are essential for the physical B.Z.U Sub Campus D.G Khan 17

and mental growth of your child. With Haleeb's high quality manufacturing facility, the hygiene concerns related to fresh milk cease to exit. We make sure that the milk you get is 100% hygienic. With all this and more, N'rish is available for a little less than even fresh milk. * Note: This product is inactive now

2. Juices
2.1. Haleeb Good Day Haleeb Good Day offers consumers a range of 100% pure juices with the essence of four fruits in each glass, without any added sugar, flavors or preservatives. For consumption absolutely anywhere and anytime, Good Days six premium juices (apple, pineapple, red grape, mango, orange, and mixed fruit) give you the absolute delight in taste, and revitalizes you at the same time. It is packed in a 6-layered Tetra Pack Brick Aseptic packaging. SKU's 250 ml Pack: 27 Packs/Cartons 1000 ml Pack: 12 Packs/Carton 1.1. Tropico Juice Drink With the quality assurance of Haleeb Foods, Tropico is the premium juice drink, superior in taste and pulp contents, for that invigorating fruity refreshment. Tropico is available in three flavors: apple, mango, and mix fruit, packed in a 6-layered Tetra Pack Brick Aseptic packaging. SKU's 1000ml Pack: 12 Packs/Carton 250 ml pack: 36 packs/carton 250ml Pack: 27 Packs/Cartons

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1.1. Tropico Nectar Juices play an important role in the functioning of our body, have many benefits associated with them, and help you achieve the desired healthy way of life. Tropico nectar is another product from the house of Haleeb Foods Limited, which is 100% pure nectar, available in four sumptuous flavors including Red Blood Orange & Kinoo, Mango, Apple and Kinoo. Haleeb Tropico is also the only brand that is offering Red Blood Orange & Kinoo Juice - that is so deliciously different that you will want to have it in your house, all year long! SKU's 250ml: 27 Packs/Carton 1 Ltr: 12 Packs/Carton 1.1. Haleeb Funday Haleeb Funday is a delicious juice drink especially for kids, enriched with calcium, and vitamins A, C & D. An exciting treat, packed with health and a great taste, Funday juices will surely be an instant success with kids with their unique and am using names, Aamonka (mango) and Arrochee (peach and lychee). They are packed in a 6-layered Tetra Pack Brick Aseptic packaging. SKU's: 200ml Pack: 36 Packs /Carton Shrink wrap units 200ml Pack: 27 Packs/Carton

* Note: This product is inactive now

1. Dairy Products
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1.1. Haleeb Tea max Tea Max is a specialized tea whitener that ensures nothing less than the best tea drinking experience, with its superior quality, taste, aroma and best value for money, you will be yearning for more! Tea Max has been re-launched in May 09 and it has clearly left its predecessor in the dust! Tea Max has redefined the industry growth standard through making inroads in hearts of 20 million consumers in first 75 days of its re-launch. With its new and unique tea colored packaging which has been immensely appreciated by the target market it is a sure shot winner! In tune with the Haleeb Foods tradition of providing consumers high quality and value added products, Haleeb Tea Max is the ideal choice for all tea and coffee lovers. Tea Max is special milk that provides a rich taste in your beverage. It is also available in the unique and delicious cardamom flavor, packed in a 6-layered Tetra Pack Brick Aseptic packaging. SKU's 200 ml (plain) pack: 27 packs/carton 200 ml (cardamom) pack: 27 packs/carton 1.1. Haleeb Tea Max Cardamom Tea Max Cardamom is a specialized tea whitener that ensures nothing less than the best tea drinking experience, with its superior quality, taste, aroma and best value for money, you will be yearning for more! SKU's 200 ml (plain) pack: 27 packs/carton 200 ml (cardamom) pack: 27 packs/carton

1.1. Haleeb Cream

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Haleeb Nutritious Thick Cream offers a premium quality product which is processed hygienically from pure fresh milk. Haleeb Cream is luxuriously rich in its thickness and nutritional value. It promises plentiful assortments of tempting toppings, delicious desserts and creamiest coffee with its unique taste, also great for eating with bread and snacks etc. It is packed in 6-layered Tetra Pack Brick Aseptic packaging. The premium cream processed hygienically from pure fresh milk, Haleeb Cream is luxuriously rich in its thickness and nutritional value. It promises the richest assortment of tempting toppings, delicious desserts and creamiest coffee with its unique taste, also great for eating with bread etc. SKU's 250 ml: 27 packs/shrink-wrapped tray 65 ml mini pack: 24 packs/dispenser, 6 dispensers/carton 1.1. Haleeb Yogurt Daizy Real Yogurt is the best packaged yogurt your money can buy. It is made from the freshest milk so that you can get the real taste of our traditional yogurt! Tastes so great with our local cuisine youll want nothing else. Having it plain as well will be an experience thatll make your taste buds tingling in delight! SKU's 450gm cup: 12cups/carton 200gm cup: 24cups/carton 100gm cup: 24cups/carton

1.1. Haleeb Daizy Raita All we will say is, just try it and you will love it! Discover the great taste, premium quality of Daizy Raita, available in Zeera and Mint. Unlike the rest Daizy Raita is added with nothing else than truly pure and real B.Z.U Sub Campus D.G Khan 22

ingredients of Zeera and Mint, making your food eating experience delightful. It makes your meals tastier and is healthier for you and your family. The product is sealed and packed in air-tight packaging, which keeps the product fresh and tasty. SKU's 250gm cup: 24cups/carton 1.1. Haleeb Cream with Honey Haleeb Cream with Honey is an exclusive treat: delicious thick cream fortified with the goodness of pure honey, making a tempting spread on bread. Enjoy it anytime and exude energy and freshness whole day long. It is packed in a 6-layered Tetra Pak Brick Aseptic packaging. SKU's 65 ml mini pack: 24 packs/dispenser 200 ml: 24 packs/tray

* Note: This product is inactive now 1.1. Haleeb Butter Daizy Real Butter is the tastiest source of Vitamins A & D for everyone to enjoy, while having your wholesome breakfast or cooking and baking your familys favorite dishes! It is rich in flavor and high in health! Butter never tasted this good! It is rich in its taste and revitalizes your energy for a long tiresome day.

SKU's 20g pack: 300 packs/carton 50g pack: 120 packs/carton 100g pack: 60 packs/carton 200g pack: 30 packs/carton 1000g pack: 1 pack/carton 23

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1.1. Haleeb Asli Desi Ghee Haleeb Asli Desi Ghee is obtained from pure milk through the traditional procedure of heating butter slowly. Haleeb Asli Desi Ghee is free from all artificial ingredients; it has pure and natural taste and is nutritionally preserved. SKU's 0.5 kg pouch: 10 packs/carton 1 kg pouch: 5 packs/carton 1 kg tin: 6 tins/carton 5 kg tin: 2 tins/carton 16 kg tin: 1 tin/carton

* Note: This product is inactive now 1.1. Haleeb Labban Lassi is an age-old traditional beverage in the South Asian continent. Haleeb Labban aims to give its consumers the same satisfying traditional taste of thick Lassi, along with hygiene, convenience and accessibility. Haleeb Labban is the only ready to drink packaged Lassi available in Pakistan. It is available in salty and sweetened variants, packed in a 6-layered Tetra Pack Brick Aseptic packaging. SKU's 250 ml pack: 27 packs/carton 1000 ml pack: 12 packs/carton product is inactive now * Note: This

Haleeb Foods Functional Organization Structure


Haleeb is a Private limited company managed by a board of directors who control company operations as Managing Director (MD). Haleeb run by a team of professionals. There are 17 departments successfully running Haleeb operations. B.Z.U Sub Campus D.G Khan 24

The Functional Organization Structure has the following details: Chairman / Board of Directors Managing Director Human Resources (HRD) Accounts & Finance (A&F) Marketing (MKT) Sales (SAL) Supply Chain (SC) Operations (OPR) Quality Assurance (QAD) Research & Development (R&D) Finance Department Information System Technical Department

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Organization Chart

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Introduction of departments

Marketing Department

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I worked 3 weeks in marketing department of Haleeb Foods Limited as an internee. This is very good experience I have to learn many things that will improve my skills and knowledge. The hierarchy of this department is as follow. Marketing department has 8 employees working very passionately and with devotion. These people are responsible to make their products sustainable and attract customers to them. The general marketing manager is responsible for the outdoor marketing activities. His job is related to advertisement. He plans and get approval from the directors how, where and which medium to be selected for the marketing and launching of new products. The Brand Manager is responsible for the products shoots; hiring the suitable models, getting hoardings for rent, deal with print and electronic media. Haleeb bears a handsome amount of money on media campaigns. Though it is not its strong point but media related things are very sensitive in nature. The Brand Manager gets approval for his working form the top management of Haleeb. After the research the top management of marketing department formulates policies and set objective. To meet these objectives strategies are then defined. The policies are almost daily revised and new policies and strategies are formulated. They set their objectives on daily basis keeping in view the market situation and requirement.

Sales Department
I worked 3 weeks in the Sales Department. The activities of this department are taking orders and dispatch the products to the distributors as well as retailers. The hierarchy of this department is as follow.

Slaes department keep and eye on all trasanctions, check sales varicance, check all expenses of dirstributors and after matching send to the account departments. Sales department play vital role in determineing prices. Sales departement handel the sales oreders nation wide and dispath deliveries. This depratment also chek the PDR (Performance Development Report) of all regions country wide. B.Z.U Sub Campus D.G Khan 28

There are ten region that perform the sales activities in all over the Pakistan. RSO (Regional Sales Officer) control the each region. 1. Peshawar 2. Rawalpindi 3. Gujranwala 4. Failsalabad 5. Lahore A 6. Lahore B 7. Multan 8. Sukkhar 9. Karachi 10. Food Services

Application of Marketing Objectives


HFL is ensuring the consistency in making the good quality product, then the implementation of the defined parameters of the quality products. The distribution network is very wide and has a very professional and trained staff for that. Good services have been provided to the retailers and the distributors on regular and swift basis. The return of the products and complaints handled intelligently. Short Term To aggressively enter the market, penetrate the market by making the product available. To improve the quality of the products and related services

Mid term To establish brand equity through customer satisfaction Maintain the good relation with the customer (CRM).

Long Term To make chilled business a profitable proposition for HFL through continuous improvement in cold chain distribution and expanding consumer base.

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To expand the market by opening up new cities and after reaching a certain level establishing distribution network.

Marketing mix
The marketing mix of Haleeb Foods is up to the mark. It is designed to achieve the overall marketing objective of Haleeb Foods. Product The management of Haleeb wants to sell products which are good in quality, according to the customers requirement and have all the standards of consumers. Haleeb product is good in quality. They procure better quality raw milk and others ingredients from the local manufacturers. They also purchase machinery and parts from UAE, Sweden and Germany. Plant hygienically standard should be maintained by the staff. The products are purchased in different volumes with different packing, size & colors. Price Haleeb wants to offer product prices which are affordable to all its customers. Haleeb follow the price strategy set after Compare with competitors, little bit plus minus will be acceptable during setting of price. Same rule also follow by the competitors during setting of price strategy. Place Haleeb wants to have their presence in all the major markets of Pakistan. They have a plan to cover more market during next years. Haleeb also offer fair price shops in Lahore. Promotion The promotional strategy of Haleeb foods is to be known every where in Pakistan. They want to mould their promotional strategy in a way that it will increase the brand awareness as well as helpful for the brand positioning of Haleeb. Haleeb spends a reasonable amount on the promotional activities. It may be said that they spend the highest budget on promotions. Most of their ads appear in magazines and on radio channels. But it is not sufficient to retain the position of market leader. So by analyzing B.Z.U Sub Campus D.G Khan 30

Haleeb promotional activities it can be said that promotions can be improved and it should be more powerful that ever before.

Marketing Operations
Marketing Operation is a vision of end to end marketing optimization, from planning and budgeting, through marketing content management, to analysis recently new induction has been add in sales and marketing department more sales and operation staff is hires for exploring new destination and top market for Haleeb. The marketing operations manager is responsible for: Sales targets Administration of sales staff Product display Stock keeping and stock audits The marketing staff of Haleeb Foods has the responsibility to search new markets where products can be a market leader and the organizational investment can be the best return to the management. His responsibilities are: Explore new markets Gather feedback about the competitors business Suggest the ideas after searching the markets.

Market segmentation strategies


Customer Profile Haleeb Foods The customers that Haleeb is targeting living in cities, urban and semi urban areas HFL has an efficient and resourceful Export department which has successfully tapped opportunities in foreign markets including Korea, Hong Kong, USA, UK, China, Afghanistan, Bangladesh and the Middle East. Customer Demographics B.Z.U Sub Campus D.G Khan 31

The house holds females and school childrens targeted market as they play a vital role in sales figures. Recently Haleeb management contact with different school and invite the childrens at Bhai pheru plant. At plant Haleeb management arrange a documentary film for children and visited the whole plant sites and answer the question of schools boys, also offer a gift for childrens, ultimately this promotional schemes increase our customers. Psychographic Segmentation The psychographics gives an insight of the activities, interests and opinions of our target audience. The target audience is quite trendy and seeking quality taste. They want to keep pace with on going changing. Behavioral Segmentation The major benefits that customers seek are good quality and taste. The target market is females who are prone to frequent shopping. A survey on consumer behavior of the targeted audience towards milk shopping showed that females tend to buy milk very frequently. Important changes taking place in Segment If we review the past practices regarding the buying behavior of milks, limited choices were available in the market and even females were unaware of the fact that they will respond positively towards variety of milks that match with their requirements. But with the passage of time this need was realized and firms started providing variety of choices which was appreciated.

Target marketing strategies


The target marketing strategies of Haleeb Foods are designed to fulfill the customer needs in the real sense of the term and satisfy the customer in a way that it is retained for a long time or even forever. They also consider marketing strategies very important because the overall corporate strategies base on it. Selective specialization Haleeb is following selective specialization strategy to its target market. It does not deal in other foods items like baby milk, cereals and sweets so its not a full market Coverage. Haleeb researches the market in detail and tailor its marketing mix according to it demand. Haleeb milk packaging for tea are available in all ranges so it does not appear difficult for the management that how to design the profile. B.Z.U Sub Campus D.G Khan 32

Product planning and development


The designing and quality is the most important elements of milk packaging business. Haleeb is no exception. Product planning and new product development goes side by side in the industry. Planning and development is always done according to the up coming seasons. The previous data and qualitative forecasting plays an important role in planning and development of new products. The process of development starts which is influenced by the future trends. After finalizing the approved targets the planning of requirement starts. Maintain packaging paper, spares and raw material reserves according to the targets and make sure that there is no shortfall raised on any stage. The planning process is in very detailed which revolves around the budget finalized by the management of Haleeb Foods.

Packaging
The management of Haleeb Foods wants to be unique and exclusive in terms of packaging. To achieve this objective Haleeb Foods give importance to the packaging of their products. The packets are kept in trays, boxes made of high quality hard board. The finished product is available in various sizes for the conveyance of end customers. The trays and boxes are of very good quality. Packaging for Haleeb Foods ensures that products are kept in a secure box at the same time look contemporary. It is to focus that Haleeb packaging have a definite identity in the market in terms of shape and color.

Brand positioning
Haleebs Foods is a Pakistani brand that aims to provide a one stop shopping facility regarding quality and taste. Haleeb is not just about selling quality milks; it wants to be identified with providing the ultimate shopping experience to the customers.

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The management of Haleeb Foods wants to create an image in their customers mind that Haleeb Foods is the only milk tea brands which are available is various sizes and volumes. Haleeb has also the aim to provide the best value for money and customer should also be satisfied with product as well as with the image associated with the brand.

Pricing strategies
Pricing strategy at Haleeb Foods is considered as one of the four major elements of the marketing mix. Pricing has always been an important strategic issue because it is related to product positioning. Furthermore, Haleeb pricing affects other marketing mix elements such as product features, channel decisions, and promotion.

Promotional strategies
The promotional activities will be conducted to create awareness in such a way that people believe that Haleeb has the ultimate solution to their highly taste needs and to match their day to day requirements. The promotional campaigns are mostly related to sales campaigns like to create more and more attraction for the customers. These promotional campaigns sometimes are seasonal. And sometime offer some discounts to its regular customers. The promotional strategies are decided at the top level along with the marketing manager and media manager. No doubt Haleeb has earned a tremendous popularity in the country. The management of Haleeb has always keen to get at the top of market so it designs promotional strategies to retain maximum number of customers. Medium Use for Promotional Activities Billboards at attractive locations in the major cities of Pakistan. TVC on channels that are mostly watched by target market like Indus Hum Geo entertainment ARY TV one The music AAG B.Z.U Sub Campus D.G Khan 34

Mtv

Radio Ad 106.2 Hum FM FM 101 FM 103 FM 91 FM 89 FM 100

Distribution strategies
The purpose of this strategy is to describe the distribution process and to ensure the smooth running of all distribution operations and timely delivery of orders and adjustment of payments & claims, For effective distribution planning to ensure maximum market coverage, sufficient stocks keeping in view of the orders received in the same period over last year and expected market growth for the coming years inside and outside Pakistan. It also ensures consistent availability of HFL products to the consumers through effective redistribution and to monitor Distributors and their staff activities through Sales Team of Haleeb Foods Limited.

Action programs
The management of Haleeb Foods periodically checks the targets either they are met or not. Maximizing of their profit is their ultimate goal. Most of the actions programs have been designed targeting the sales increase. In this way management takes serious actions. The management is eager to consistently increase their sales in a way that they will get the maximum share of the market. Some action programs have been devised to improve marketing and promotional activities. The management also wants to capture best locations in all the major cities of Pakistan. These all efforts are only for making the best foods brand in Pakistan.

Competitor Analysis
Nestle which is one of the most reputed enterprises in Pakistan with more than 30 years of diversified business operations in the areas of fertilizer and chemicals. Nestle successful launch of Milk Pak, yogurt, nectar, it has established itself as a major player in the B.Z.U Sub Campus D.G Khan 35

foods business. Nestle has processing plants at Sheikhupura, Kabirwala, Faisalabad and Mirpur. With the ever expanding milk collection network and processing facilities, the Supply Chain has geared for the growing sales of products. They believe that recent successes will take to Achieve goal: To be one of the biggest players in the food business. Their aim is to dominate the food business, and to achieve this we will settle for nothing less than the cream.

Budgeting strategy
Haleeb determines its yearly budget by the Sales volume Profitability Target volume Sales Volume Haleeb determines its yearly budget through the sales volume. They first concentrate on the thing is what is the condition of their sales? if the condition is good of their sales then they definitely increase their production and sales volume. Otherwise they concentrate on their old strategies. Profitability The second thing through which they determines budget is the profit .if they are getting profits with the high margin, then they definitely want to increase their profits in the next coming year. Every organization runs on the basis of getting high profits. No organization wants to face Loss in their business. To get profit is the first priority of the Haleeb. Target Volume To run the business every industry has some targets, which they want to achieve in a specific time period. If industry achieves those goals in that period then for the coming year it increases the volume of the target. So Haleeb Follow the same thing it has also some goals and targets to achieve in the given time period. When they succeed to achieve that target then they increase their target volume in the next year.
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Budget allocation
The strategy for budget allocation is also a serious matter for the management so the following tentative percentage has been provided for the budget allocation plan Haleeb Budget Allocation % Allocation Payments of raw milk supplier Payments on store spares Media Training and Planning 10% 2% % 46% 42%

Application of Media plan


Deciding on Reach, Frequency, and Impact The Haleeb Brand Manager is responsible for all the media related activities. He reports to General Manager Marketing for all the activities he done on behalf on the company. So he also decides the reach, frequency and impact the advertisement on the customers. Choosing among major media types Haleeb uses the print media most frequently than electronic media like radio or television. In most of the regional and local magazines they give the photos of their best and upcoming new variety. The brand has also contracted with some of the famous media agencies.

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Deciding on geographical allocation Haleeb wants to be the number one Foods brand. It wants to be popular among all the social classes. Geographically Haleeb has also most captured all the major cities of Pakistan. So they have an understanding in new markets they want to allocate more media budget that those where they have already recognized and have good reputation. Evaluating advertising effectiveness The effect of advertisement campaign remains positive when implemented with the right courage. Haleeb is no exception. Haleeb evaluates its advertisement effectiveness with the variation in sales volumes. Sales effect research After implementing a media plan the management evaluates its impact in the form of increase in sales. It is totally an internal analysis of the management. The sales effect is always positive and the management is always eager to find some other more effective and economical ways through which maximum number of people can be aware about the brand.

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What I Learnt in the Organization

Types of packing
TBA

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TBA stands for Tetra Brick Aseptic, its mean the packing in which Haleeb preserve its products 100% safe from germs. It has many layers that prevent the harmful rays and germs to enter in the product. TFA TFA stands for tetra fino aseptic, it also preserves the products but it is less costly than TBA. It is in pouch form.

CLT
Central located testing; in CLT I do comparison of Haleeb milk with Olper and Milkpak. Make conclusion which product is best. It is internal test of products. Procedure of CLT In CLT I take 3 milk Haleeb, Olpers and Milkpak put into jug and give it to respondent for taste and ask them for rating according to scale mention. At the end through average and graphical representation conclude which milk is best. Total Result of CLT Haleeb drinking results with Olpers & Milkpak
Products

Color
4.1 3.1 3.3

Aroma
3.4 2.8 3.4

Taste
3.9 2.7 3.4

Mouth Feel
3.7 2.4 3.3

After Taste
3.6 2.7 3.2

Over All Ranking


3.7 2.7 3.3

Haleeb Olpers Milkpak

Sensory Evaluation Resultsfor Haleeb versus Olpers & Milkpak


4.5 4.0 3.5 3.0 2.5 2.0 1.5 1.0 0.5 0.0
4.1 3.13.3 3.4 2.8 3.4 3.9 2.7 3.4 3.7 3.3 2.4 3.6 3.2 2.7

AVG RATING

3.7 3.3 2.7

Haleeb Olpers Milk pak

Ra ting crite ria : Ex ce lle nt Good Fa ir Acce pta ble Re je cte d

5 4 3 2 1

Color

Aroma

Taste

Mouth Feel After Taste

Over All Ranking

TeaMax new versus TeaMax old & Tarang


Products

Color

Arom a

Taste

Mouth Feel

After Taste

Over All Ranking 40

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Tarang TeaMax Old TeaMax New

3.9 2.9 3.3

3.5 2.7 3.0

3.2 2.4 2.4

3.1 2.0 2.6

2.9 2.1 2.3

3.3 2.4 2.7

Sensory Evaluation Results TeaMax new versus TeaMax old & Tarang
4.0 3.5 AVG RATING 3.0 2.5 2.0 1.5 Rating criteria: Excellent Good Fair Acceptable Rejected 1.0 5 4 3 2 1 0.5 0.0
Color Aroma Taste Mouth Feel After Taste Over All Ranking 3.9 3.3 2.9 2.7 3.5 3.0 3.2 2.4 2.4 2.0 3.1 2.6 2.9 2.1 2.3 2.4 3.3 2.7

Tarang Teamax Old Teamax New

Strategies for Promotion of Products


There are three strategies Haleeb using for the promotion of their products 1. ABL 2. BTL 3. TTL ABL: It stands for Above the Line. Its means promotion through print media, electronic media, magazine etc. Haleeb no of posters, ads and leaflet to promotion of products. BTL: It stands for Below the Line. It means promotion through direct retailers by product display on front, direct promotion activities, stall by Haleeb at different malls, areas, to promote the products. TTL: It stands for Through the Line. It is mix of both ABL and BTL.

Product Strategies
Push Strategy:

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In this strategy products are sold through the distributor or retailers. Retailers sold companys products to the customer by offering it to the customers. Pull Strategy: In this strategy customers demand for the products such as he ask for Haleeb. Every company has a both of strategy Push and Pull at the same time but there is variation sometime one strategy may higher than other.

Availability Audit
This is the procedure shows that how many shop keepers have company industrys products as compare to competitors products that. I checked the availability of UHT, whitener, Beverages, Skimmed, Flavored Milk, Cold Chain and Butter of Haleeb and Nestle, Good Milk, Olpers, Trang, Shezan, NurPur in the area of Ichhra, Shama, Ravi Road, Bilal Ganj, Ameer Road, malik Park. If a shop keeper has any product of any industry I mark it 1 and in case of no product I mark 0 in other word Available = 1, Not available = 0. After checking availability total all available and not available and find out the averages of all categories and give them graphical form. Availability of UHT as Compare to Competitors

Posters Comparison
Haleeb Foods make three types of posters for Haleeb milk one with black and white background, 2nd with smiley and 3rd is without smiley. To choose the best poster I did market survey and take the suggestion and opinion of 20 Respondent. The scale that I choose liking = 1 and disliking = 0.

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Q: which poster is best among these posters?


No. of Respondent 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Total Average Black & White 1 1 0 1 1 0 0 1 0 0 0 0 0 1 1 1 0 1 1 0 10 50 With Smiley 0 0 1 0 0 1 0 0 0 1 1 0 1 0 0 0 1 0 0 1 7 35 Without Smiley 0 0 0 0 0 0 1 0 1 0 0 1 0 0 0 0 0 0 0 0 3 15

Graphical Representation of Poster Comparison

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Average of Poster Comparison


50 40 30 20 10 0 Black & White 50 Without Smiley 15

With Smiley

Average

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Off-Take Study
The purpose of Off-Take study to calculate the daily sales of industrys products as compare to the competitors products. My Off-Take Study is on Cold Chain of Haleeb and Nestle. It consists minimum 3 days. In Off-Take we check the opening Stock, Purchases and closing Stock and find out the sales unit or Off-Take by this Formula OS+Purchses-Closting Stock = Sales in units I did the Off-Take of 10 Gourmet outlets (Litton Road, Temple Road, Shaad Maan, Shama Chowk, Saman Abad, Punch Road, Rustam Pur, Gulshan Ravi, Shaam Nagar, and Riwaz Garden). 1st I noted the OS of all outlets, 2nd I asked the purchases and CS then apply the Formula and calculate the Off-Take of that day. The CS of 2 nd day becomes the OS of 3rd day. 3rd day again Average Off-Take ofand CS and by applying Formula calculate the OffI asked for Purchases All Gourmet
Haleeb Nestle Take. I also calculate the total Off-Take of each outlet and Average of outlets combine and

give them graphical form to easily understand.


100

No. of SKU

50

250ml

450ml Day 2

250ml

450ml Day 3

Haleeb Nestle

20 80

29 71

25 75

46 54

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Tea Max Cardamom Intercept


I did the BTL (Below the Line) activity for TeaMax Cardamom in Ichhra and Auriga Center. The purpose of this BTL activity to aware the people about TeaMax Cardamom and take the views of people about this brand.

For this purpose I went to Ichhra and Auriga and give the tea for tasting and take their views of 313 respondents of which 69% are females and 31% males.

Averages of TeaMax Intercept of Ichhra and Auriga


For The Date of 14th-15th June, 2010 Averages Females 69 Males 31 Excellent 21 Good 51 Average 27 Rejected 1

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Average Result of TeaMax Intercept of Ichhra and Auriga

60 40 20 0 21 Excelent Good 51 27 1 Average Rejected

Develop an Urdu Questionnaire for Tele Marketing


I make an Urdu questionnaire for Tele Marketing of Haleeb Milk, Dairy Queen and Beverages. To give the awareness of these brands and to assure to the people that now Haleeb is providing best quality of their products. I choose the All Areas of Pakistan for Haleeb, and Defence and Ichhra for Dairy Queen and Beverages. This Questionnaire helps marketing dept to know the consumer insight. This questionnaire is conduct by me and marketing coordinator Nagina. I also interpret the data that is collected through Tele Marketing.

Interpretation of Data Telemarketing of Haleeb


June 16th, 2010

Sr.#
1 2 3

UHT Haleeb Milkpak Olpers


1

Good Milk

Packed Milk Consumption


1

Non Users
1 1

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4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Total

1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 9 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 16

Interpretation of Avg Result of Tele Marketing for Haleeb Haleeb


Averages 45

Milkpa k
25

Olpers
10

Good milk
0

Packed Milk Consumption


80

Non Users
20

Interpretation of Avg Result of Tele Marketing for Haleeb

20

45

80 0 10 Haleeb Milkpak Olpers Good milk

25

Packed Milk Consumption

Non Users

Guide the Students


I also guide the student who comes for there report. Its my duty to give the information about the company and their required information.

Develop a Questionnaire for Consumer and Retailer


I make a questionnaire for consumer as well as retailer to achieve the specific objective for the Haleeb. This questionnaire will help to know the views of people about the products.

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COSTUMER & CONSUMER BASED QUESTIONS

Objectives
Purpose of this questionnaire is to collect maximum information from the people on needs and demands of customers.

1. Identify consumers needs 2. Brand awareness and recognition 3. Increase efficiency of our brand
4.

Availability of brand

5. Milk consumption 6. Check Familiarity of the brand

CUSTOMER & CONSUMER BASED QUESTIONS


Purpose of this questionnaire is to collect maximum information from the consumers to know their needs and demands. 1. Which milk do you consume daily?
Packaged milk Loose milk

1. What comes in your mind when you think of the word Packaged Milk?
Totally safe

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Premium quality Healthy Other Specify________________

1. Which one of these brands do you prefer the most?


Olpers Haleeb Nestle Good milk

1. How would u like to consume the packed milk?


Tea making Making Sweets Drinking

1. What are the reasons behind using packaged milk?


Creaminess Nutrition & thickness Richness Health concern

1. What matters the most when purchasing packaged milk?


information availability Packaging Price Taste Convenience Flavor Advertising Ingredients Others........

7. If I ask about packaged milk then which brand first comes in your mind?

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Olpers Haleeb Nestle Good milk Yes No

8. Are you able to identify Haleeb on shelves in large stores?

Retailer based Questionnaires


Purpose of this questionnaire is to collect maximum information from the retailers to know their needs and demands.

Supply problem Interest level in company schemes Expiry problem Delivery problem Word of mouth about Haleeb Foods Limited
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Sale scale of brand Relation between retailer and distributor

Retailer based Questionnaires


Purpose of this questionnaire is to collect maximum information from the retailers to know their needs and demands. 1. Do you face the supply problem from Haleeb Foods Limited? Yes No (If yes then specify your problem)

________________________________________________________________
___________________________________________________________________________ 1. Did you ever face any problem in order booking & delivery? B.Z.U Sub Campus D.G Khan 51

Yes No

1. Did you face problem in stock return? Yes No

1. If yes then what is your problem?

________________________________________________________________ ________________________________________________________________
2. What do you think about Haleeb Foods Limited products? Excellent Good Average Bad

1. Which brand got maximum sale? Olpers Haleeb Nestle Good milk

1. Which brand is most demanded by the customer? Olpers Haleeb Nestle Good milk

1. Which company gives you the maximum schemes? Olpers Haleeb Nestle Good milk 52

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1. Are you happy with Haleeb Foods Limited distributors? Yes No

DMS
I learn how to work in DMS. Its mean Distribution Management System. The basic objective of DMS is Monitor the Distribution Secondary Sales record & sale man activity like sale, replace return and target. To enter the Data in DMS there are different code for each product to avoid the mistakes. This is online web application system. http://dms.haleebfoods.com ACTIVITIES FOR DEO AT DISTRIBUTOR DEO(Data Entry Officer) perform the following tasks. I also perform these tasks in DMS. Day Opening Dispatch Receive Stock Issue Stock Return Replacement Detail Sale Invoice Salesman Settlement Warehouse Damages Day Closing Reports 1 time activity when stock receive on daily basis on daily basis on daily basis on daily basis on daily basis on daily basis (not necessary) 1 time activity on daily basis

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Market Survey of Haleeb


I make a Questionnaire for Haleeb that based on consumer and retailer, with the help of that questionnaire I make survey and give suggestion and useful data that is beneficent for Haleeb. Conclusions are shown below

Daizy Intercept
Intercept mean convince the people to purchase our products by telling them the USP(Unique Selling Proposition) of products. I went to three places, PIA, Wapda Town and Iqbal town for Intercept purpose in Cakes & Bakes Bakers and Sweet and Salt. In intercept format there are two things to understand 1 st is Pitch its mean how many people came there for purchase yogurt 2nd is Productive its mean how many people convince to purchase Daizy yogurt.

Results
LHR Consolidated Intercept Report For Daizy Intercept conducted from 28th-30th June 2010 Daiz Nestle Purchase of y Intercept Competition/Packs Yogur Daizy Packs Total t sales Total Total Productiv Pitch 450g 200g 450g 200g Pack Pack e Sales Sales Cakes & Bakes PIA 25 12 10 2 9 4 12 13 Cakes & Bakes Wapda Town 25 13 9 4 7 2 13 9 Sweet & Salt Iqbal Town Total 25 75 16 41 13 32 3 9 8 24 1 7 16 41 9 31 Daizy Conversion Rate

48% 52% 64% 55%

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Graphical Representation
C a k e s & B a k e s PC a k e s & B a k e s W a p d a To wen t & S a lt Iq b al To w n IA Sw e

25 20 15 10 5 0
P itc h P r o d u c tive4 5 0 g In te r c e p t 200g 450g 2 0 0 g T o ta l P aT o ta l P a c k ck S a le s S a le s N e s tle D a iz y Yo g u r tC o n ve r s io n R a te

P u r c h a s e o f D aC o m p e titio n /P a c kDsa iz y iz y Packs T o ta l s a le s

Order Booking and Reports


I worked on Oracle software that is used for order booking to dispatch the orders. Order booking start from the payments. All payments received in 100% advance. Banks are responsible for payment because banks receive payments and inform to the dept. Each distributor has a code that is allotted by Haleeb for identity. Payments vouchers are also issued to distributor from Haleeb.

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Financial Analysis

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Profit & Loss Account

PROFIT AND LOSS


Note Raw Milk LPD Sales LPD

Rs.000' 2010 166,253 275,478

2009 262,900 288,654

2008 579,186 526,639

2007 654,451 617,517

2006 702,723 682,947

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Sale - Gross Less Direct Selling Expenses SALES - Net COST OF SALES GROSS PROFIT/(LOSS) ADMINISTRATIVE EXPENSES SELLING EXPENSES

5,268,80 3 74,690 5,194,11 2 5,178,51 7 15,596

5,654,942 162,141 5,492,801 5,733,883 (241,082)

9,321,44 2 312,192 9,009,25 0 8,015,23 7 994,013

9,568,56 6 251,344 9,317,22 2 8,129,49 5 1,187,72 7

9,201,50 4 243,291 8,958,21 3 7,816,52 0 1,141,69 3

169,021 457,053 626,074

200,755 1,040,213 1,240,968 (1,482,050 ) 21,585 (1,460,465 ) 345,420 199,222 0 0 544,642 (2,005,107 ) (2,005,107 ) 6,568 (678,702) (672,134) (1,332,973 )

191,813 883,685 1,075,49 8 (81,485) 12,639 (68,846) 144,308 6,434 0 147 150,889 (219,735 ) (219,735 ) 44,106 (131,728 ) (87,622) (132,113 )

170,866 607,184 778,050 409,677 6,261 415,938 79,928 4,780 16,562 6,501 107,771 308,167

174,464 390,982 565,446 576,247 10,441 586,688 27,378 9,964 27,467 5,273 70,082 516,606

OPERATING PROFIT/(LOSS) OTHER INCOME

(610,478) 27,854 (582,624)

OTHER CHARGES Financial - net Miscellaneous WPPF Workers' welfare Fund

297,279 22,705 0 0 319,984 (902,609)

NET PROFIT/(LOSS)

PROFIT/(LOSS) BEFORE TAXATION PROVISION FOR TAXATION - Current - Deferred

(902,609) 30,152 0 30,152 (932,761)

308,167 62,298 47,595 109,893 198,274

516,606 99,779 148,168 247,947 268,659

PROFIT/(LOSS) AFTER TAXATION

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Balance Sheet

BALANCE SHEET
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LIABILITIES EQUITY AND LIABILITIES SHARE CAPITAL AND RESERVES Authorised capital 25,000,000 ordinary shares of Rs.10 each Issued, subscribed and paid-up capital General reserve Accumulated (loss) / unappropriated profit Shareholders' equity SURPLUS ON REVALUATION OF OPERATING FIXED ASSETS NON-CURRENT LIABILITIES Long term finances Liabilities against assets subject to finance lease Suppliers Credit Advance against Ijarah Loan from Mega and IMC Deferred Staff Grauity Deferred taxation Total Non-Current Liabilities

Rs.000' 2010

2009

2008

2007

2006

250,000

250,000

250,000

250,000

250,000

137,280 275,000

137,280 275,000

137,280 275,000

137,280 275,000

137,280 275,000

(1,091,71 5) (679,435)

(359,540 ) 52,740

865,985 1,278,26 5

1,025,55 4 1,437,83 4

854,736 1,267,01 6

1,376,672

1,577,25 9

2,030,820

515,658

498,100

147,500

398,652 0 0 250,000 0 344,489 3,023,961

340,786 0 0 0 0 344,489 1,200,93 3

269,548 0 44,249 0 0 199,458 1,011,35 5

257,030 0 0 0 0 331,186 735,716

154,787 0 0 0 0 283,591 438,378

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CURRENT LIABILITIES Trade and other payables Accrued profit Short term borrowings Taxation workers walfare fund Current portion of long term liabilities Total Current Liabilities 1,708,653 87,325 178,806 0 0 1,300,52 9 76,819 1,367,82 4 0 0 809,140 19,478 1,129,26 2 0 0 696,778 4,914 100,000 0 0 698,074 1,086 0 0 5,134

0 1,974,784 5,695,982

339,116 3,084,28 8 5,915,22 0

337,230 2,295,11 0 4,584,73 0

324,822 1,126,51 4 3,300,06 4

168,264 872,558 2,577,95 2

ASSETS NON-CURRENT ASSETS Property, plant and equipment Long term deposits Long term loan Loans to employees Total Non Current Assets CURRENT ASSETS Stores, spares and tools Stock-in-trade Trade debts Loans and advances Trade deposits and short term prepayments Other receivables Tax refunds due from the Government 4,488,657 0 53,712 0 4,542,369 156,790 381,381 155,527 0 0 412,153 0 4,831,04 2 4,053 49,659 10 4,884,76 4 138,812 448,444 155,068 33,615 29,442 5,319 179,067 2,200,24 5 4,159 49,659 1,199 2,255,26 2 133,231 826,479 953,503 50,826 48,819 6,484 173,455 2,017,42 9 0 3,622 3,374 2,024,42 5 102,594 526,787 196,708 0 0 291,688 0 1,797,55 6 0 7,830 0 1,805,38 6 107,070 388,807 43,634 0 0 153,706 0

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Cash and bank balances Total Current Assets

47,762 1,153,614 5,695,982

Total

40,689 1,030,45 6 5,915,22 0

136,671 2,329,46 8 4,584,73 0

157,862 1,275,63 9 3,300,06 4

79,349 772,566 2,577,95 2

Vertical Analysis

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Vertical Analysis P & L Account


2010 100% 100% 0% 2009 100% 104% -4% 2008 2007 100% 100% 89% 87% 11% 13% 2006 100% 87% 13%

SALES - Net COST OF SALES GROSS PROFIT/ (LOSS)

ADMINISTRATIVE EXPENSES SELLING EXPENSES OPERATING PROFIT/(LOSS)

3% 9%

4% 19%

2% 10%

2% 7%

2% 4%

-12%

-27%

-1%

4%

6%

OTHER INCOME

0.5% -11.2%

0.4% 26.6% 6.3% 3.6% 0.0% 0.0% 10% -37%

0.1% -0.8% 1.6% 0.1% 0.0% 0.0% 2% -2%

0.1% 4.5% 0.9% 0.1% 0.2% 0.1% 1% 3%

0.1% 6.5% 0.3% 0.1% 0.3% 0.1% 1% 6%

OTHER CHARGES Financial - net Miscellaneous WPPF Workers' welfare Fund NET PROFIT/(LOSS)

5.7% 0.4% 0.0% 0.0% 6% -17%

PROFIT/(LOSS) BEFORE TAXATION PROVISION FOR TAXATION

-17% 1% 0% 1% -18%

-37% 0% -12% -12% -24%

-2% 0% -1% -1% -1%

3% 1% 1% 1% 2%

6% 1% 2% 3% 3%

- Current - Deferred
PROFIT/(LOSS) AFTER TAXATION

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Vertical Analsys of Balance Sheet


2010 LIABILITIES EQUITY AND LIABILITIES SHARE CAPITAL AND RESERVES Authorised capital
25,000,000 Ordinary Shares of Rs.10each

2009

2008

2007

2006

4%

4%

5%

8%

10%

Issued, subscribed and Paid-Up Capital General reserve Accumulated (loss) / Unapproproated Profit Shareholders' equity SURPLUS ON REVALUATION OF OPERATONG FIXED ASSETS NON-CURRENT LIABILITIES Long term finances Liabilities against assets subject to finance lease Suppliers Credit Advance against Ijarah Loan from Mega and IMC Deferred staff grauity Deferred taxation
Total Non-Current Liabilities

2% 5%

2% 5%

3% 6%

4% 8%

5% 11%

-19% -12%

-6% 1%

19% 28%

31% 44%

33% 49%

24%

27%

0%

0%

0%

36%

9%

11%

4%

0%

7% 0% 0% 4% 0% 6% 53%

6% 0% 0% 0% 0% 6% 20%

6% 0% 1% 0% 0% 4% 22%

8% 0% 0% 0% 0% 10% 22%

6% 0% 0% 0% 0% 11% 17% 66

B.Z.U Sub Campus D.G Khan

CURRENT LIABILITIES Trade and other payables Accrued profit Short term borrowings Taxation Workers Welfare Fund Current portion of long term liabilities Total Current Liabilities Total ASSETS NON-CURRENT ASSETS Property, Plant and Equipment Long term deposits Long term loan Loans to employees Total Non-Current Assets CURRENT ASSETS Stores, spares and tools Stock-in-trade Trade debts Loans and advances Trade deposits and short term prepayments Other receivables Tax refunds due from the Govt. Cash and bank balances Total Current Assets Total

30% 2% 3% 0% 0%

22% 1% 23% 0% 0%

18% 0% 25% 0% 0%

21% 0% 3% 0% 0%

27% 0% 0% 0% 0.2%

0% 35% 100%

6% 52% 100 %

7% 50% 100%

10% 34% 100%

7% 34% 100 %

79% 0.0% 1% 0% 80%

82% 0.1% 1% 0% 83%

48% 0.1% 1% 0.03 % 49%

61% 0.0% 0% 0.10 % 61%

70% 0.0% 0% 0% 70%

3% 7% 3% 0% 0% 0.1 0% 1% 20% 100%

2% 8% 3% 1% 0.5% 0.0 3% 1% 17% 100 %

3% 18% 21% 1% 1.1% 0.0 4% 3% 51% 100%

3% 16% 6% 0% 0% 0.1 0% 5% 39% 100%

4% 15% 2% 0% 0% 0.1 0% 3% 30% 100 %

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Horizontal Analysis

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Horizontal Analysis P & L Account


2010 58% 66% 1% 97% 117% 111% -106% 267% -99% 2009 2008 2007 2006 61% 101% 104% 100% 73% 103% 104% 100% 104 100 -21% 87% % % 115% 110% 98% 100% 266% 226% 155% 100% 219% 190% 138% 100% 100 257% -14% 71% % 207% -249% 121% -12% 60% 71% 100% 100%

SALES - Net COST OF SALES GROSS PROFIT/ (LOSS) ADMINISTRATIVE EXPENSES SELLING EXPENSES OPERATING PROFIT/(LOSS) OTHER INCOME OTHER CHARGES
Financial - net Miscellaneous WPPF Workers' welfare Fund

1086% 228% 0% 0% 457% -175% -175% 30% 0% 12%

NET PROFIT/(LOSS) PROFIT/(LOSS) BEFORE TAXATION PROVISION FOR TAXATION


- Current - Deferred

1262 % 527% 292% 1999 % 65% 48% 0% 0% 60% 0% 3% 123% 777% 215% 154% 388% -43% 60% 388% -43% 44% -89% -35% -49% 60% 62% 32% 44%

100% 100% 100% 100% 100% 100 % 100 %

PROFIT/(LOSS) AFTER TAXATION

7% -458% -271% -347% 496%

100% 100% 100% 100 74% %

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Horizontal Analysis of Balance Sheet


LIABILITIES EQUITY AND LIABILITIES SHARE CAPITAL AND RESERVES
Authorised capital
25,000,000 Ordinary Shares of Rs.10each

2010

2009

2008

2007

2006

100%

100%

100%

100 %

100 %

Issued, subscribed and Paid-Up Capital

100% 100%

100% 100%

100% 100%

100 100 % % 100 % 100 %

General reserve Accumulated (loss) / Unapproproated Profit

-128%

-42%

101%

120 % 113 %

100 % 100 %

Shareholders' equity SURPLUS ON REVALUATION OF OPERATONG FIXED ASSETS NON-CURRENT LIABILITIES Long term finances Liabilities against assets subject to finance lease Advance against Ijarah Loan from Mega and IMC Deferred taxation B.Z.U Sub Campus D.G Khan

-54%

4%

101%

87%

100%

1377%

350%

338%

100 %

258%

220%

174% 100%

166 %

100 %

100% 121% 121% 70% 117 70 100

690%

274%

231%

% 168 %

% 100 %

CURRENT LIABILITIES Trade and other payables Accrued profit Short term borrowings Workers Walfare Fund Current portion of long term liabilities 245% 8041% 179% 0% 186% 7074% 1368% 0% 116% 1794% 1129% 0% 100 % 452 % 100 % 0% 100 % 100 % 100 %

0% 226%

202% 353% 229%

200% 263% 178%

193 % 129 % 128 %

100 % 100 % 100 %

Total

221%

ASSETS
NON-CURRENT ASSETS Property, Plant and Equipment 250% Long term deposits Long term loan Loans to employees 252% CURRENT ASSETS Stores, spares and tools B.Z.U Sub Campus D.G Khan 146% 130% 124% 96% 71 100 % 686% 269% 97% 634% 0% 271% 122% 100% 634% 36% 125% 112 % 100 %

46% 100 % 112 %

100 %

100 %

Stock-in-trade Trade debts Loans and advances Trade deposits and short term prepayments Other receivables Tax refunds due from the Govt. Cash and bank balances Total

98% 356%

115% 355% 66%

213% 2185% 100%

135 % 451 %

100 % 100 %

60% 268% 3% 103% 60% 149% 51% 133%

100% 4% 100% 172% 302% 199 % 165 % 100 % 100 % 190 % 100 %

Ratio Analysis

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Ratio Analysis P & L Account

Gross Profit Ratio Operating Profit / (Loss) Ratio Net Profit Ratio- before tax Interest Coverage Ratio

2010 0.30% 11.75% 17.38% 0

2009 -4.39% -26.98% -36.50% 0

2008 11.03% -0.90% -2.44% 0 6

2007 12.75% 4.40% 3.31% 4.8 7

2006 12.74% 6.43% 5.77% 19.8

Ratio Analysis Balance Sheet


2010 2009 2008 2007 2006

Current Ratio Debt Equity Sales Debtors Turnover days Inventory Turnover in days B.Z.U Sub Campus D.G Khan

0.58 (3.84) 10.91 29.24

0.33 48.60 36.83 40.58

1.01 1.75 2 3.30 3 0.81

1.13 0.58 4.71 2 0.55 73

0. 89 0. 25 1. 63 20. 11

Sales Debtors Turnover Inventory Turnover

33.45 12.48

9.91 8.99

1 5.67 1 1.85

7 7.53 1 7.76

224. 51 18. 15

Graphical Representation of Ratio Analysis

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SWOT/PEST Analysis

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PEST Analysis
Political Environment The political arena affects the industries of any country. If the political environment is stable then it is beneficial for any industry because stable political environment follows the regularity of the policies for any industry. Unfortunately in Pakistan, political environment was not sustainable which causes a bad effect on almost all the industries. As Haleeb is Pakistani national brand and it belongs to Pakistan so it can not be saved from the political changes in the external environment. Political changes are directly linked with the national level strategies which directly affect the business sector seriously. Currently Pakistan suffers from considerable political uncertainty as the tenuous governance structure put in place by President Zardari has come under strain. Moreover, among ordinary Pakistanis, criticism of the army typically among the most respected institutions in the country and its role in governance has become much more common.. The current political situation is not in a normal mode. Any thing can be happened any time. The government is totally disturbed from the SWAT operation. This has almost disturbed the northern side of the country. This has direct impact on the business. The terrorists are the biggest issues with Pakistani existence and survival. Impact of Political Environment on HFL Tetra Pak is the main supplier of the milk packaging machines. These machines used for product refilling after batch preparation. Tetra Pak deliver the machines on its own term and condition for example packaging paper used on these machine supplied by Tetra pak and in case of any damage spare parts of machines no local parts used except Tetra pak B.Z.U Sub Campus D.G Khan 76

replacement, secondly Tetra charge own rates for machines maintenance or breakdown of machines. In other words Tetra Pak exerts undue power over these foods industries. The reason behind that Tetra have strong links with our Government and when any other outsider wants to enter in Pakistani market they create various types of hurdle and mostly companies wind up the same type of business in last years. Political Environment is also play an important role on foods business. Sometime a small foods unit obtains the loan from banks or other financial institute due to own resources and on the other hand large foods business not avail same facility due to less politically relations. Economical Environment Most considerable point for any industry is the economic condition of the country. If a country is economically strong then there are chances of growth in each sector. Pakistan is a developing country and progressing continuously. The economic condition is much better now as compare to the previous years. In the past foreign companies were afraid to invest in Pakistan but now the situation is totally change. Many countries are investing in different sectors and playing good role in our economy. The GDP of the Pakistan has increased and rising up with the time. Impact of Economic Environment on HFL The inflation is very high. It directly disturbs the customer purchasing power. The packaging milk as a human necessity is getting expensive and customers always look for low rate available in loose shape on shops. In this situation Haleeb Foods has to work on the best marketing mix. Due to this reason, there is great change and development in HFL. Foods industry is much more efficient now days as many firms are entering into this business. New companies like gourmet, Engro and shakarganj milk are the example of this growth which will raise our GDP more. Social Environment Social trends and the demographics are the key elements that are taken in consideration to do business in any country. Each country has different culture and trend basing on their norms and values. Haleeb is well aware of the cultural trends as well as of the international market. This awareness makes the management to be vigilant in presenting the best product to the B.Z.U Sub Campus D.G Khan 77

customers. The management of Haleeb Foods better understand and at that time they have become the tend setters of consumer milk industry. In milk packaging industry taste & quality parameters are changing day by day rapidly and if you dont keep up your pace with this rapid transition you will lag behind. Now a days people are becoming more status conscious so they prefer and demand for good taste and quality which fulfill their daily requirements. People today want good quality products which are best vale for money. Technological Environments The modern technology has changed the way people think as well as the way people live. One may say that technology has a direct impact on our lifestyle. Haleeb has employed the best state of the art technology in their marketing network. This is because of the dedication to satisfy the end customer. This is happened keeping in view the other competitors of Haleeb. The management think that they should be always be ahead in all field even they are using technology better than their competitors. Technology is the best weapon to win the war of competition in these days. Those who have outdated technology are out of the competition. In packaging milk industry majority of companies not adopt the quality standards and formulate the products with scrapped machines. In Pakistani Foods industry usage of new technology is very low because people prefer to buy cheap packet milk. The budget allocation for research and development in Foods business of Pakistan is maximum 5%. Due to low usage of technology in this industry technological change rate is 0%.

SWOT Analysis
To derive the situational analysis of Haleeb Foods the SWOT analysis is being employed. This situational analysis model is most reliable among the scholars of management. It simple shows the competitive advantages which the organization has on its rivals as well as the areas in which the organization lacks. SWOT Analysis is a strategic planning method used to evaluate the Strengths, Weaknesses, Opportunities, and Threats involved in a business venture. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieving that objective.

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SWOT GRID

Strength

Weakness

Opportunity

Threats

Strength:

No 1 dairy company. Growing Sales and profits. Major shareholder in the food industry of Pakistan. Efficient Distribution networks through out the country. Quality Products Environment Friendly. Socially Responsible Company Haleeb Food's products enjoy strong brand image and market pull. Innovative and constantly growing product line. Sales force is the major resource strength in terms of physical resources of the company.

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Marketing strategies established by the company are innovative. Financial, marketing and sales strategies are formulated by gauging the customer demands.

Periodic research carried out to judge market trends. Highly sophisticated plant and equipment. Qualified work force. Focus on research and development. First and the only dairy company in Pakistan to get ISO 9002 certification

WEAKNESSES: Relatively a small and local company in comparison to its rivals. Dependence on 3rd party for supply of milk. No credit sales. Low sales margins due to highly value added products. They cannot launch many of its expensive international brands due to the lower income groups. Selective investment due to uncertain economic and political conditions. Feasibility of new products needs to be analyzed, e.g. Candia Drinking Yogurt was launched some years back but it failed because no customer demand exists. The packing line installed for N'Rish has a higher capacity than the actual demand of the product, resulting in higher overhead costs for the product. OPPORTUNITIES: B.Z.U Sub Campus D.G Khan 80 Inadequate marketing. Low promotional activities. Comparatively weak distribution system.

Pakistan is the seventh largest producer of milk in the world with annual output of over 22 billion liters.

There are substantial growth opportunities considering the average yield of Pakistani animals at only 1,100 liters/annum as compared to 6,000 liters/annum for animals in Europe and USA. There are nearly 20 million milk producing animals in the country, mostly in Punjab (80%).

The overall milk market in Pakistan is 20 billion liters, out of which processed milk contributes only 3 million liters. Haleeb Foods along with other processed milk business contribute only 2% to this large market.

Haleeb Foods' has expanded its product range by launching milk in Tetra Fino Packaging.

Credit policy can be adopted to increase sales. HFL can export to others countries. CDL has been changed to HFL, so this change in name can help them to attract foreign customers.

HFL can go for related diversifications by producing pure juices and flavored yogurt. HFL can go for joint venture with other companies to attract the market share. Entering in to the market of baby cereals, which will help them in increasing their revenue.

THREATS: Competition with Nestle, Engro Foods. Effect of Seasonality upon sales. Dependency on contractors for supply of milk. Price fluctuations due to rupee devaluation as raw material are imported.

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The uncertainty of economic conditions poses a great threat. The present economic crisis in the world, led to the withdrawal of foreign management from the company and the investment has come to a halt.

Price sensitive people. Milk man (Gawalas) providing non branded milk in homes.

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Suggestions for HFL

Suggestions
Haleeb Foods Limited should also allocate a healthy budget for the advertising of its products.

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HR Department of HFL should introduce HRIS to increase the efficiency of the company.

The co-operation among the different departments of HFL should also improve it will lessen the bureaucratic cost and increase the efficiency of the company.

The activities like customer satisfaction day should be performed on regular basis so the company should know about the feedback of the customers regarding the products and image of the company.

The shopkeeper complains that HFL dont provide replacement to the expired products so they should provide proper replacements to the shopkeepers to enhance the image of the company.

Haleeb Foods Limited should improve its distribution system specially the retailers are not happy with distribution of Haleeb Milk.

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Conclusion

Conclusion

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This internship proved to be very helpful for me. I got a lot of knowledge and also the practical aspect of life. It was my first experience, which was obviously very tough, but it will be very beneficial for in my coming future. As a whole HFL is a good organization to work in but there are certain departments that need improvements. It is surviving in the FMCGs sector with some strengths and weaknesses. I am of the view that if the management of HFL wants to show the same results in the future that it should have to take some decisions before time, because in the 21st century only those organizations can survive who are utilizing all their resources efficiently and effectively.

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Appendix

Joining Letter

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Letter of Internship Completion

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All Other Valueable Documents

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