A Comprehensive study on Sales Operation Management of SINGER Bangladesh Ltd.

Masters Of Business Administration

A Comprehensive study on Sales Operation Management of SINGER

Bangladesh Ltd.

Submitted To:
Dr. Khandker Md. Nahin Mahmud
Assistant Professor
Department of Marketing and International Business
North South University

Submitted By:
Shahriar Mujtahid Hossain
ID: 1735065060
School of Business and Economics
North South University

Date of Submission: 18-05-2020

 Letter of transmittal

May 18, 2020

Dr. Khandker Md. Nahin Mahmud
Assistant Professor
Department of Marketing and International Business
North South University.

Subject: Submission of Field Study Report.

Dear Sir,

It gives me great pleasure to submit my case study report that I have completed as part of
fulfilling the requirement for the Case study, which is BUS698, a course from North South
University.

The organization that I have done my case study program is Singer Bangladesh Limited. This
report contains a case study on “A Comprehensive study on Sales Operation Management
of SINGER Bangladesh Ltd.”. It was a great enjoyment for me to have a chance to work on
this specific subject and in this organization as well.

I would like to wrap up with the fact that, without your expert advice and cooperation it
would not have been possible to complete this report. I will be grateful to you if you accept
the report.

Thanking You,

Shahriar Mujtahid Hossain

ID: 1735065060

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 Acknowledgement

I would like to express my gratitude to the almighty ALLAH at first, for being able to
perform my responsibilities and complete the report within the specific time. I am grateful to
my supervisor, Mr. Dr. Khandker Md. Nahin Mahmud, Assistant Professor, North South
University.

I am thankful to Mr.Vajira Tennakoon, Marketing Director for accepting me as a potential

intern at Singer Bangladesh Ltd. I would like to thank my on-site supervisor Mr. Farhan
Azhar, Product Manager of Marketing, Singer Bangladesh Ltd. and Mr. Abubakar Rahil,
Assistant Manager of Financial Service, Singer Bangladesh Ltd for helping me to write my
report and for explaining all the details with patience and guiding for it in a supportive
manner.

Moreover, I am grateful to my Singer Bangladesh Ltd. fellows, seniors and colleagues who
gave me good advice, suggestions, encouragement, their valuable time, support and provided
me the most relevant information based on which I have been able to prepare this report. The
wonderful working environment and group commitment of this organization has enabled me
to deal with many things. I have learned many things from the people of this organization, as
it was the very first corporate engagement of mine.

Finally, Thanks to my parents and friends without whose support, it would not have been
possible for me to be this determined and committed towards my responsibilities. Their
support has enlightened my student life and career.

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 EXECUTIVE SUMMARY

Singer Bangladesh Ltd is one of the oldest multinational companies of our country. The
presence of the company dates back to the British colonial era when the country was a part of
the Indian sub-continent. The first operation of Singer Bangladesh Ltd began in 1905. At the
beginning, sewing machine was the core product of the company. After that Singer has
introduced, Refrigerators, LCD/LED TV, Televisions, Air Conditioners, Fans, Washing
Machines, Irons, Microwave Ovens, Rice Cookers, Motor Cycles, Room heaters, Air coolers,
Singer Furniture and Kitchen Appliances as a part of its diversification program, ventured
into manufacturing and marketing of Furniture in 2013. With these wide ranges of product
diversification Singer, have established 379 retail outlets and 417 dealers located in different
areas of our country to ensure countrywide business. Along with this, the company has their
own three factories where they manufacture and assemble different models of Televisions,
Air Conditioner, Furniture etc. And a Joint venture with International Appliances Ltd which
has one factory as well. Singer Bangladesh opened a new refrigerator plant at Savar in
Dhaka, The factory is part of International Appliances Ltd, in which majority is owned by
Singer, in a joint venture with a large international home appliance manufacturer based in
China.

The company operates their sales mainly by sourcing, production and warehousing. This
sourcing is done from the sales department, which includes three channels called Retail,
Wholesale and Corporate. All three channels give their yearly demand based on previous
year’s sales record.

Basically the forecasts are done from this sourcing. From product sourcing to warehousing,
the whole process where product sourcing, production, warehousing and distribution is
operated successfully is the main Sales operation management process. And also the E-
Commerce operation process that Singer has started back in 2016, the process, how it runs
from ordering online to delivering the product to the customers hand, I have tried to bring out
in my report within my scope.

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 Table of Content

CHAPTER 1: COMPANY OVERVIEW.......................................................................................1

1.1 SINGER HISTORY.................................................................................................................................................1

1.2 Background of SINGER Bangladesh....................................................................................................................2
1.3 Corporate Philosophy:........................................................................................................................................4
1.3.1 SINGER Vision...........................................................................................................................................4
1.3.2 SINGER Mission.........................................................................................................................................4
1.3.3 SINGER Values..........................................................................................................................................4
1.3.3.1 Consumers.....................................................................................................................................................4
1.3.3.2 Employees.....................................................................................................................................................4
1.3.3.3 Shareholders.................................................................................................................................................4
1.3.3.4 Suppliers........................................................................................................................................................4
1.3.3.5 Competitors...................................................................................................................................................4
1.3.3.6 Community....................................................................................................................................................4
1.3.3.7 SINGER Objectives.........................................................................................................................................5
1.3.4 Board Composition...................................................................................................................................6
1.3.5 Responsibilities of the Board....................................................................................................................6
1.3.6 Management Committee.........................................................................................................................7
1.4 Brands & Products..............................................................................................................................................8
1.4.1.1 PRODUCT.......................................................................................................................................................8
1.4.1.2 Furnitures......................................................................................................................................................8
1.4.1.3 Fridge............................................................................................................................................................. 8
1.4.1.4 TV.................................................................................................................................................................. 9
1.4.1.5 Air Conditioner..............................................................................................................................................9
1.4.1.6 Washing Machine..........................................................................................................................................9
1.4.1.7 Microwave Oven...........................................................................................................................................9
1.4.1.8 Kitchen Appliance..........................................................................................................................................9
1.4.1.9 Sewing Machine............................................................................................................................................9
1.4.1.10 Computer......................................................................................................................................................9
1.4.1.11 Product Diversification................................................................................................................................11
1.4.2 New Role of Singer Bangladesh..............................................................................................................11
1.4.2.1 Retailer........................................................................................................................................................ 11
1.4.2.2 Dealer..........................................................................................................................................................12
1.4.3 Sales Network.........................................................................................................................................12
1.4.3.1 Singer Mega.................................................................................................................................................12
1.4.3.2 Singer Plus...................................................................................................................................................12
1.4.3.3 Singer Pro....................................................................................................................................................13
1.4.3.4 Corporate Sales...........................................................................................................................................13
1.4.3.5 Shop Category.............................................................................................................................................13

1.5 Corporate social responsibility (CSR)...............................................................................................................15

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 Table of Content
CHAPTER 2: INTRODUCTION...............................................................................................17

2.1 Background of the study:.................................................................................................................................17

2.2 Objectives of the study:....................................................................................................................................17
2.3 Limitations of the study:...................................................................................................................................17

CHAPTER 3: LITERATURE REVIEW........................................................................................18

CHAPTER 4: SALES OPERATION MANAGEMENT OF THE ORGANIZATION.............................21

4.1 The Sales Operation Management Analysis.....................................................................................................21

4.1.1 Complete Business Unit (CBU)................................................................................................................22
4.2 Semi Knock Down (SKD)...................................................................................................................................22
4.3 4.Complete Break Down (CKD).........................................................................................................................22
4.3.1 Sourcing..................................................................................................................................................23
4.3.2 Production..............................................................................................................................................24
4.3.2.1 International Appliances Limited (IAL) factory.............................................................................................25
4.3.2.2 Singer Bangladesh Factory...........................................................................................................................25
4.3.3 Warehousing..........................................................................................................................................25
4.4 E-Commerce Management of Singer Bangladesh Ltd......................................................................................26
4.4.1 E-Commerce Operation Management of the Organization...................................................................26

CHAPTER 5: JOB RESPONSIBILITIES AS AN INTERN...............................................................28

5.1.1 Market Research.....................................................................................................................................28

5.1.2 Market Visits...........................................................................................................................................28
5.1.3 Online Market analysis...........................................................................................................................28
5.1.4 E-commerce development......................................................................................................................28

CHAPTER 6: CONCLUSION AND RECOMMENDATION...........................................................30

6.1 Conclusion........................................................................................................................................................30
6.2 Recommendation.............................................................................................................................................31

REFERENCES............................................................................................................................33

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A Comprehensive study on Sales Operation Management of SINGER Bangladesh Ltd.

Chapter 1: Company overview

1.1 SINGER HISTORY

Born in 1811, Isaac Merritt SINGER set up a company in 1851, with a borrowed capital of only
$40, to manufacture and sell a revolutionary product – a machine to automate and assist in the
making of clothing. Little did he realize that the newly formed I. M. SINGER and Company was
destined to become the world leader in the manufacturing and distribution of sewing related
products and that the SINGER brand name would one day become famous around the globe. Four
years later, with a first prize at the World’s Fair in Paris, SINGER began overseas expansion
there, making it the world’s first international and largest sewing machine company. By 1961, the
newly incorporated SINGER Manufacturing Company held 22 patents, with annual sales of
20,000 machines.

Sir Isaac Merritt Singer

By 1961, the newly incorporated SINGER Manufacturing Company held 22 patents, with annual
sales of 20,000 machines. In 1867, SINGER opened its first sewing machine factory outside of
United States in Glasgow, Scotland. Additional factories were established in the United States and
within no time, one of the best-known emblems – the Red “S” Girl trademark – became familiar
worldwide. In 1885, SINGER introduced the first electric sewing machine.

Singer first introduced the electronic machine in the year of 1889 and in one year the annual sales
raised to US$ 1.35 million. For the handling the sales & distribution in the western hemisphere a
separate subsidiary was established naming, the SINGER Sewing Machine Company

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A Comprehensive study on Sales Operation Management of SINGER Bangladesh Ltd.

By 1890, the company claimed an 80 percent worldwide market share, with sales heading towards
1,350,000 machines. In 1908, the SINGER Building at 149 Broadway in New York was
inaugurated. The 47 stories building, which were the tallest in the world at the time, remained
SINGER’s corporate headquarters for the next 54 years. By 1913, worldwide sales of SINGER
machines exceeded 3,000,000. In 1963, the SINGER Manufacturing Company changed its name
to “The SINGER Company.” SINGER celebrated its 150th anniversary in 2001.

1.2 Background of SINGER Bangladesh

SINGER came in Bangladesh back in the British colonial era when the country was the part of the
Indian sub-continent. SNGER first started operating in Bangladesh in 1905, and then in 1920, 02
shops were setup in Dhaka and Chittagong.

After 1947 after the partition of the sub-continent 2 separate states emerged. Bangladeshbecame a
part of Pakistan and formed its eastern wing in the East Pakistan SINGER was being operated as a
branch of SINGER Pakistan and Western Pakistan were used to bring the products. There were
only 10 shops for marketing operation in the initial stage. Later on, it increased to 43 by the late
1960s.

In December 16, 1971, Bangladesh emerged as an independent state, and the East Pakistan branch
office was elevated to a Country Office. Sewing Machines were made available from different
foreign countries. There were only 23 shops because of low volume of business.
In 1983 SINGER Bangladesh listed itself with Dhaka Stock Exchange (DSE) by offering 20% of
its total capitalization – 2,565 ordinary shares of Taka 100 each. It was also listed with the
Chittagong Stock Exchange in 2001.

SINGER Bangladesh established a sewing machine factory in Chittagong with production

capacity of 10,000 units per year in the year of 1980, which was raised to 25,000 units in 1984.
Since its beginning in Bangladesh, the name SINGER has been synonymous with the sewing
machine. Although SINGER Corporation started diversifying its product range in the early sixties,
till 1985, SINGER Bangladesh Limited was known as a company with a single product – the
sewing machine.

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In 1983 SINGER Bangladesh listed itself with Dhaka Stock Exchange (DSE) by offering 20% of
its total capitalization – 2,565 ordinary shares of Taka 100 each. It was also listed with the
Chittagong Stock Exchange in 2001.

In 1980 SINGER Bangladesh established a sewing machine factory in Chittagong with production
capacity of 10,000 units per year, which was raised to 25,000 units in 1984.

Since its inception in Bangladesh, the name SINGER has been synonymous with the sewing
machine. Although SINGER Corporation started diversifying its product range in the early sixties,
SINGER Bangladesh Limited was a company with a single product – the sewing machine — till
1985 when the Management realized that this product alone could not substantiate growth for
longer periods and increased its product range.

By its famous brand name, hire-purchase plan and its vast network of retail outlets and other
distribution points around the world, Singer introduced electronics, home appliances, and other
consumer durables especially in the Asia Pacific Rim, Latin America and the Caribbean. Today
Singer is a household name throughout the world for a wide range of products for the home.

Registered Office Audit and Wholesale Office

39 Dilkusha Commercial Area H.S. Bhaban
Dhaka-1000 Cha-75/A, Bir Uttam Rafiqul Islam Avenue
Pragati Sarani, Dhaka – 1212
Corporate Office Singer Manufacturing Complex (SMC)
5B, Road No. -126 Rajfulbaria, Jhamur, Savar, Dhaka-1347
Gulshan-1, Dhaka-1212
1.3 Corporate Philosophy:

1.3.1 SINGER Vision

To be the most accepted and appreciated family company in the country.

1.3.2 SINGER Mission

To improve the quality of life of the people by providing comforts and services at reasonable
prices.

1.3.3 SINGER Values

1.3.3.1 Consumers
Live up to the expectations of a responsible organization by contributing to the
improvement in the quality of life of our customers through outstanding product & services.
1.3.3.2 Employees
To respect each other as individuals and encourage cross functional team work while
providing opportunities for career development.

1.3.3.3 Shareholders
To provide a reasonable return to shareholders while safeguarding their investment.
1.3.3.4 Suppliers
To develop suppliers to be partners in progress and share our growth with them.
1.3.3.5 Competitors
To respect competitors and recognize their contribution to market value.
1.3.3.6 Community
To conduct business by conforming to the ethics of our country and share the social
responsibility of the less fortunate
1.3.3.7 SINGER Objectives
 To be the market leader in their product range and market segment.
 To provide consumers with the best service & shopping experience in the country.
 To provide consumers with products of latest technology.
 To develop employees to achieve their real potential.
 To provide shareholders with steady asset growth and return on investment above the
industry norm.
 To grow revenue and profits at a rate above the industry norm.
1.3.4 Board Composition

The Board comprises of nine members, a good blend of executives and non-executives and
independent Directors having diverse and professional skills and experiences. The non-
executives and independent Directors are from varied businesses and other background and their
experience enables them to execute independent judgments on the Board where their views carry
substantial weight in the decision making. They contribute to the Company's strategy and policy
formulation in addition to maintaining its performance as well as its executive management.

1.3.5 Responsibilities of the Board

The Board is collectively responsible to the Company’s shareholders as laid down in its Articles
of Association and the relevant laws and Regulations. The Board directions are taken at its
meetings held as per the Articles of Association. The Company Secretary calls the meetings of the
Board and Board Committees, prepares the agenda in consultation with the Chairman of the
Board of Directors, the Chairman of various Committees and the Managing Director. The Agenda
for the meetings of the Board and its Committees, together with the appropriate supporting
documents, are circulated well in advance of the Meetings. All Board members are entitled to
raise other issues. The Company Secretary is basically accountable to the Board for ensuring that
the Board procedures are followed and that applicable rules and regulations are complied with
Directors and Key Person.
 Gavin J. Walker
Chairman
Mohamed Haniffa Mohamed
Fairoz
Managing Director & CEO
Akram Uddin Ahmed Mohammad Sanaullah
Director & Chief Financial Director, Corporate Affair &
Officer Company Secretary
1.3.6 Management Committee

Vajira Tennakoon Mokbulla Huda

Marketing Director Chowdhury
Sales Director
Kazi Rafiqul Islam M. M. Ferdous
Director - Wholesale Ex- Head of Human Resources
Operations
1.4 Brands & Products

1.4.1.1 PRODUCT-
Air Conditioners ( Haier, Singer, Panasonic)
Air Coolers (Videocon, Symphony)
Computers (Singtech, Dell, Toshiba, HP)
Deep Freezers (Singer)
Electric Oven (Singer)
Furniture (Singer)
Fan (Singer)
Gas Burners (Singer)
IPS (Singer)
Irons (Singer)
Kitchen Appliances (Singer, Preethi)
Microwave Ovens (Singer, Galanz)
Water Heater (Singer)
Refrigerators (Singer, Beko)
Sewing Machines (Singer)
Televisions (Singer, Skyworth, Samsung)
Voltage Stabilizers (Singer)
Washing Machines(Singer)
Water Purifiers (Singer, Uniliver)

1.4.1.2 Furnitures-
Sofa Set, Cupboard, Chest of drawer, Bed, Dressing Table, Dining Table, Restaurant Table,
Display Unit, Bookshelf, Bedside Cabinet, Centre Table, Iron Stand, Shoe Rack, Reading table,
Computer Table.

1.4.1.3 Fridge-
Side by side No-frost, Top mounted No-frost, Bottom mounted No-frost, Direct cool Top
mounted, Direct cool Bottom mounted, Direct cool
1.4.1.4 TV
Ultra slim HD LED TV, HD LED TV, Smart 3D TV, FHD LED TV, FHD Smart LED TV.

1.4.1.5 Air Conditioner

Split Type Air Conditioner

1.4.1.6 Washing Machine-

Fully Automatic Front loading, Semi-Automatic Top loading, Fully Automatic Top
loading, Semi- Automatic Top loading

1.4.1.7 Microwave Oven-

Convection oven, Combi-grill oven, Solo oven

1.4.1.8 Kitchen Appliance-

Professional Multi-Chopper, Stainless Steel Toaster, Coffee Maker, Electric Kettle, Rice cooker,
Sandwich maker, Heavy Duty Mixer Grinder (Singer, Preethi), Pressure Cooker, Singer Ruti
Tawa(Non Stick), Singer Fry Pan(Non Stick), Singer Korai (Non Stick), Toaster, Singer Blender,
Singer Hand Mixer, Preethi Nitro, Preethi Eco Twin, Preethi Eco Chef, Preethi Spice, Preethi
Steele, Preethi Trio, Food Processor.

1.4.1.9 Sewing Machine-

Electric Sewing Machine, Mechanical Sewing Machine, Industrial Sewing Machine

1.4.1.10 Computer-
SINGTECH Desktop PC, DELL notebook, Toshiba notebook.
1.4.1.11 Product Diversification
Since its inception in Bangladesh, the name Singer has been synonymous with sewing machine.
Although sewing machines are Singer’s core business but the Management realized that this
product alone could not substantiate growth for longer periods. This realization led to
diversification into numerous product ranges. Thus, the transformation of Singer from a single
product sewing machine company into a multi-product consumer durable company began in 1985
for further growth and expansion.

This diversification into consumer durables has continued unabated. At different times Singer has
introduced Refrigerators, LCD/LED TV, Color Televisions, Furniture, Air Conditioners, Fans,
Washing Machines, Irons, Microwave Ovens, Rice Cookers, Instant Power supply, DVD Players,
Room Heaters, Air Coolers, Kitchen Appliances, Netbook, Laptop, Desktop Computers,
Generators, Blue Ray DVD Players. SINGER, as part of its diversification program, ventured into
the manufacturing and marketing of Furniture in 2013.

1.4.2 New Role of Singer Bangladesh

1.4.2.1 Retailer
Gradual transformation of SINGER Shops into 'Singer Mega' and 'SingerPlus' started back in
2006 as part of its multi-branding strategy. The main focus of this strategy is to make available
varied world-famous brands under the same product category for providing customers a variety of
choice under the same roof. As such SINGER Mega and SINGER Plus Shops now offer world
famous brands like BEKO, Grundig, Apple, Samsung, Siemens, Skyworth, Videocon, Preethi,
Singtech, Dell, Toshiba, Prestige, Lifestraw and many more alongside with SINGER.
1.4.2.2 Dealer
Despite offering the largest retail chain for Consumer Electronics and Home Appliance industry
in the country, around 300 dealers are located across the country to make Consumer Electronics &
Home Appliances of SINGER and other brands, SINGER Cables and Sewing Machines available
to more consumers.

1.4.3 Sales Network

Singers sales network are divided in four media –

1.4.3.1 Singer Mega
These specific types are shops are located in high-class areas to grab the attention of premium
customers. It is a retail network, which offers wide variety of product of all capacity and units.
Till now there are 22 shops available all over the country of this type. Generally, the shops are
located core business areas.

1.4.3.2 Singer Plus

These forms of retail network are available for all sorts of customers. These are generally
category shops, existing in all the districts of Bangladesh. Currently, the total number of Singer
Pro shops is 357.
A Comprehensive study on Sales Operation Management of SINGER Bangladesh Ltd.

1.4.3.3 Singer Pro

The wholesale network of SINGER is called SINGER Pro and this network is managed by
authorized dealers. Dealers buy product from company with a certain amount of discount initially
and then resale to consumers. Currently, Singer Bangladesh has 400 dealers all over the country.

1.4.3.4 Corporate Sales

For the Bulk orders and the corporate clients, SINGER uses the Corporate Sales network. The
Assistant Manager of Corporate Sale is the all in all in charge of this network.

1.4.3.5 Shop Category

Singer has seven categories of shops, which are categorized based on their generated revenue per
year. The categories are –
 Super
 A
 B
 C
 D
 E
 F

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This categorization varies from year to year. At beginning of a year unique revenue targets are
decided for all categories of shops. If the shops are able to fulfill those targets they fall under their
predetermined categories. If not, they are allocated a category based on their revenue target.

For example – For shop category B the revenue target is 3.5-4.4 million, for shop category A the
revenue target is 4.5-5.5 million and for super shop lower limit is 5.6 million. The revenue of
COX shop, a mega shop in Cox’s Bazar district was 7 million in 2017. So, it will remain a Super
category shop in 2018. If its revenue was 5 million, it would have been a A category shop.
A Comprehensive study on Sales Operation Management of SINGER Bangladesh Ltd.

1.5 Corporate social responsibility (CSR)

SINGER Bangladesh is working with a moral obligation for uplifting the overall wellbeing of the
country. As a member of the community, SINGER takes its roles very seriously and as per its
ability to make the lives of peoples more comfortable. This spirit of the company is reflected in its
flexible payment schemes, which help the citizen of the country to buy comfort, and convenience
products at an affordable price. To suit the needs of the customers the company offers a wide
variety of products.

Singer being a compassionate and benevolent company receives many requests for assistance
from philanthropic institutions, which, after being evaluated by individuals, are passed on, to the
Management Committee for their consideration. In selecting a project, the company not only
believes in taking a long term view for maximizing its effectiveness but also believes that Singer
will be an integral part of the Bangladesh picture for generation to come.
Some of the ongoing CSR projects undertaken by the company are-

 SINGER SEWING ACADEMY

The Sewing Academy is a personification of Singer’s social commitment, and it resolves to bring
the company closer to the people and community. The Academy:
 extends its services to the women of the society for generation of income
 keeps the art of machine sewing alive and well
 helps the teachers of Franchise Schools to make a reasonable income from the fees
while they give hands on training on sewing, embroidery, stitching, and cutting to the
students.
 Creates an opportunity for students who pass out successfully to open their own Franchise
Schools in their community, thereby keeping the cycle of sewing - learning - income
generation.
Training program for the destitute women including the students in school and colleges and
different non-governmental organizations and institutions is an on-going process and at the end of
training session, they are normally provided Singer Sewing Machine absolutely free of cost.

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  PROJECT ABOLOMBON
Singer Bangladesh Ltd and BRAC have signed a joint project to provide free tailoring
training to the underpriviliged women in bangladesh. Around 5000 underpriviliged
women will receive free tailoring training at 20 different BRAC locations of the
country.Participants will be given all learning equipment’s as well as accessories needed
for tailoring free of cost. The aim of the program is to facilitate beneficiaries to earn using
their newly acquired tailoring skills and thus bring a positive change to their livelihood.
Chapter 2: Introduction

2.1 Background of the study:

An internship is an opportunity that is obtainable by an employer to potential employees, called

interns, to work at a firm for a fixed, limited period of time. Interns are usually undergraduates or
students, and most internships last for any length of time between one week and 12 months.

Internships are usually part-time if offered during a university semester and full-time if offered
during the summer, winter or holidays, when they typically last 4-12 weeks. These programs are
usually full-time and take place irrespective of term time or holiday time.

In these phase, students get the taste of all their theoretical knowledge in a professional and
practical manner. They get the opportunity to make a bridge between theoretical and practical
learning and thus prepare themselves for professional challenges.

I have studied Marketing and E-Commerce as my concentrations in undergraduate level. Hence, I

have chosen Singer Bangladesh Limited, a leading home appliance manufacturer of Bangladesh to
complete my internship period; as Marketing and E-commerce are merged here. I got a 360-
degree view of Singer Bangladesh’s operation management process during my tenure and
prepared this report to complete my internship.

2.2 Objectives of the study:

 Preparing as detailed as possible analysis of Singer Bangladesh’s Sales Operation

Management and E-Commerce operation process.
 Finding out the betterment of the processes.
 Coming up with recommendations for the processes.

2.3 Limitations of the study:

 Not being able to discuss all the exact facts and figures due to confidentiality issues.
 Lack of time.
 Lack of experience.
Chapter 3: Literature review

Businesses, markets and above all technologies in accelerated and constant evolution for many
decades have come to create an environment of which dynamics, challenges and opportunities are
unprecedented in history. According to the literature (although each reference in the literature is
usually biased toward its own focus of study) Also supporting literature review, information for
this research will be drawn from various publications and academic journals such as Academy of
Management Review and Journal of Operations Management.

Operations management has a very important role in the modern firms, and is an important area
for academic research as well, due to its centrality in a firm’s success (Niall, 2012). Some
researchers highlighted that operations management has a different nature compared with other
areas in management research, as it states both physical and human elements of the firm (Jiménez.
And Lorente, 2001). In practice, operations management is vigorous and demanding, with
immediate actions required to ensure that the everyday production of goods or delivery of
services can occur in a timely manner and quickly adapt to changed conditions (Slack et al.,
2004). In large firms, operations management occupies the largest portion of employees and
assets, reflecting the significant impact that operations have on quality of product or services,
customer service, product delivery and customer interaction effectiveness. Most firms believe that
if they want to compete, they must continuously improve their operations efficiency in line with
enhancing their goods or services quality, thereby mandating effective operation management
approaches (Raouf, 1998). Operations management history, in both theory and practice, has been
rooted in the manufacturing field, being primarily concerned with the act of production. The
model can be traced from the prefatory era (concerned with planning and control of operations,
the scheduling of resources and the control of quality) through factory operations management
until the mid-1970s (Allio, 1994; Slack et al., 2004). The early 1980s saw a renaissance of
operations management, and by the mid-1990s this discipline was firmly cemented in academia
and practice (Slack et al., 2004). The very first published paper in operations management for the
service sector appeared in the Harvard Business Review in 1972, when Levitt explored how old
operations management concepts applied to McDonalds, but his study focused on back office
activities, high volume, standardized operation and an assembly line operation approach (Rana et
al., 20016; Allio, 1994). Service companies is still detached to the operations, and it is also
difficult to understand because of service operations, as it is influenced by a degree variety of
offering and variability of delivery. Belvedere (2014) found that operations management scope in
service firms is mainly exaggerated by three factors; the firm culture, the existence of industry-
specific regulations and the availability of facilities.

While surveying four periodicals namely: Management Science, Decision Sciences, International
Journal of Production Research and AIIE Transactions; Chase (1980) developed a framework
with two dimensions, research orientation and research emphasis, to classify operation
management research. He observed that most research in operational management (OM) was not
integrative and focused on micro problems. His survey of published articles on OM showed that
among the most popular areas for research were work measurement and inventory control.
Research in service systems dealt exclusively with micro issues of staff scheduling.

Operations management plays a significant role in the development of entrepreneurship theory,

focusing on how operations management deals with management under ambiguity. There is a
particular focus on the efficiency and effectiveness of operations, which has a great impact on
how operations can support the firm’s strategic goals.

Service strategy is specific to service firms, describing the processes by which post-sales services
are optimized, and is therefore key to operational excellence (Van, 2011). Importantly, service
strategy involves synchronizing the various processes involved in service (Figure 2). Service
strategy "is about ensuring that organizations are in a position to handle the costs and risks
associated with their Service Portfolios, and are setup not just for operational effectiveness but
also for distinctive performance. Decisions made with respect to Service Strategy have far-
reaching consequences, including those with delayed effect "(Service Strategy, 2014).

The service industry occupies the majority of employment in many countries and concedes as an
important industry, as well as the bulk of national output (Johnstone et al., 2008). While many of
recent service quality literatures are deeply influenced by developments of manufacturing domain,
it is important that all concepts developed in manufacturing are not rashly applied to the service
industry, due to key differences between the two sectors(Silvestro, 2001; Van, 2011).
Many researchers tried to conceptualize the service operations performance according to two
dimensions, first relating to financial/monetary gain such as profit and market share enhancement
and/or cost reduction while the second relating to non- financial value gain like product/service
quality enhancement, delivery performance, customer and employee satisfaction, and community
impact.

Service quality defined by Edvardsson as “the firm’s effort that is given in order to meet and
satisfy the expectations and requirements which customers anticipate “(Pandelis et al., 2009;
Tsaur et al., 2004). Improving on quality provides firms with the opportunity to bridge the gap
between what they are capable of offering and what customers demand. This could be achieved
by improving the process and outcome at the same time as researchers advised (Tsaur et al.,
2004).

Service quality has been defined as the effort exerted by a firm to satisfy customers’ expectations
(Pandelis et al., 2009; Tsaur et al., 2004). Quality improvement provides firms with the
opportunity to bridge the gap between what they are capable of offering and what customers
demand ( Lytle and Timmerman, 2006). This could be achieved by improving the process and
outcome at the same time as researchers advised (Tsaur et al., 2004). Superior operations
capabilities increase the efficiency in the delivery system as well as reducing the operations cost
to achieve competitive advantage (Day, 1994; Prithwiraj et al., 2008).

The variability in service firms degrades the performance of service delivery systems, and also
results in operational inefficiencies (Van, 2011; Kimand Oh, 2008). Variability can arise from a
number of sources, including times for delivery; different transactions demanded by customers;
variation in skills of consumers, who will need different levels of guidance; effort exerted by
customers in interacting with the firm; and differing customer opinion on what constitutes fair and
reasonable treatment (Frei, 2006).
Chapter 4: Sales Operation Management of the Organization

4.1 The Sales Operation Management Analysis

Sales Operation management of Singer Bangladesh is divided in three main traditional activities –
 Sourcing
 Production
 Warehousing

Depending on the product’s imported state, these activities might fluctuate. Singer Bangladesh
sources their products in three states –
 Complete Business Unit (CBU),
 Semi Knock Down (SKD),
 Complete Knock Down (CKD).
4.1.1 Complete Business Unit (CBU)

Product is imported as completed unit and does not have to be transported to factory. Once arrived
in port, these products are directly sent to designated warehouses. CBUs are both imported from
local and international suppliers. In case of international suppliers, generally 70% duty has to be
paid on these types of import in port. Nevertheless, they are imported with a view to fulfilling the
demand as the facilities to complete these range of products are not available in Singer
Bangladesh’s factories.

Example – All Singer branded televisions of 55 inches, All Samsung branded televisions.

4.2 Semi Knock Down (SKD)

These types of products arrive at port as semi-finished goods. They are sent directly to factory for
being converted to CBU’s and after that they are transported to designated inventories. Generally,
50% duty has to be paid on these types of import in port as SKD is outsourced from international
suppliers. But it is the least preferred form of import as duty charge is high and the all the
facilities to produce an SKD is available in Bangladesh. However, SKDs are imported only on
special cases, which are discussed later in the Production Activity part.
Example – All Singer branded televisions except for 55 inches ones in case of special cases.

4.3 4.Complete Break Down (CKD)

Units imported as CKD are generally received in three or more separate pieces. From port they
are directly sent to factory to compile them into SKDs. Later the SKDs are compiled into CBU’s.
Generally, 30% duty has to be paid on these types of import in port and CKD is outsourced from
international suppliers too. This is the most preferred form of import for all the products of
Singer.
Example – All Singer branded televisions except for 55 inches ones in general.

Television is one the pioneer products of Singer Bangladesh and follows all the processes of
operation management and sourcing units. So, the analysis of operation management has been
focused solely on television.
4.3.1 Sourcing

Sourcing is a critical activity used at both tactical and strategic levels. It is concerned with what
needs to be purchased, why, when and where. The concept is created to help managers and
practitioners to improve, develop and implement strategic sourcing strategies. It is the initial stage
of entire operation management process. At the beginning of every year, this activity takes place.
Depending on the decision of this activity the latter two – Production and Warehousing goes on.
The activity starts from Sales Department. It has three different channels –
 Retail
 Wholesale
 Corporate

All three channels give their yearly demand based on previous year’s sales record. After receiving
it the Management adjust it with their yearly target and conveys it to Product Department. Product
Department has their own forecast for each year’s sales. They adjust the target with forecast and
hence the yearly demand of materials to be imported is fixed.

Product Department then coveys the final forecast both to Concerned Suppliers and
Commercial Department. Supplier at first sends the Pro Forma Invoice. It is an abridged or
estimated invoice sent by a seller to a buyer in advance of a shipment or delivery of goods. It
notes the kind and
quantity of goods, their value, and other important information such as weight and transportation
charges. Product Department approves it and then Commercial Department opens the Letter of
Credit. It is a written commitment to pay, by a buyer's or importer's bank (called the issuing bank)
to the seller's or exporter's bank (called the accepting bank, negotiating bank, or paying bank).
Suppliers then ship the items to port. Once shipped, the responsibility of materials shifts to
Singer’s Commercial Department. It should be mentioned that from Commercial Department the
forecast is divided month wise. So, the activity between Commercial Department and Suppliers
takes place twelve-fold per year, Rest take place only at the inception of a year.

However, some times the forecast does not match with the sales volume. For example – The sales
forecast for television for July 2017 of Central A Area was 700 and Central B Area was 800.
Sales volumes were 500 and 900 respectively for Central A and Central B area. The reasons
behind these fluctuations are –

 Economic condition
 Purchasing power
 Market shifting
 Political situation
 Availability of products

In order to tackle these fluctuations, the Product Department then adjusts the forecast with
following months target as these reasons are mostly uncontrollable from Singer’s side.
So, this is the basic sourcing process for all the CBU’s, SKD’s and CKD’s.

4.3.2 Production

It is the processes and methods used to transform tangible inputs (raw materials, semi-finished
goods, subassemblies) and intangible inputs (ideas, information, knowledge) into goods or
services. Resources are used in this process to create an output that is suitable for use or has
exchange value.
Singer Bangladesh has four factories in this country all of them are located in Savar. They are –
 International Appliances Limited (IAL) factory
 Singer Bangladesh Factory

4.3.2.1 International Appliances Limited (IAL) factory

Singer Bangladesh owns majority part of this factory with two other companies. Only
the refrigerator is manufactured and assembled here.

4.3.2.2 Singer Bangladesh Factory

There are 3 factories of Singer Bangladesh Ltd. Singer Bangladesh is the sole owner of these
factories. Television, Washing Machine, Fan, Sewing Machine, Air Conditioner and all the other
appliances are manufactured here. For Television, CBU are directly sent to warehouses so they do
not have any involvement with the factory. But all the SKD and CKD arrives here first. Factory
has two units. First one converts CKD to SKD and Second one compiles SKD to CBU. These two
units have specific capacity. So, at one moment only a certain amount of CKDs can be compiled.
For these reason, to meet bulk demand sometimes SKDs are imported on large volume in spite of
heavy duty on import.
Example – During the time of Football World Cup and Cricket World Cup.

After the compilation is done CBUs are sent to designated warehouses.

4.3.3 Warehousing
Warehousing is the act of storing goods that will be sold or distributed later. While a small, home-
based business might be warehousing products in a spare room, basement, or garage, larger
businesses typically own or rent space in a building that is specifically designed for storage.

Singer Bangladesh has total 12 warehouses all over the country. Each warehouse is assigned to an
area. Products are transported from their designated area’s warehouse to each shop. Generally,
this allocation of products is related to a particulars area’s consumers’ buying behavior.

Example – 55 Inch, 3D, Smart all these televisions offer unique features. So, they are stored in
warehouse assigned for mega shops, which are generally located in big cities like Dhaka,
Chittagong etc.
CBUs directly are sent to warehouses. SKD and CKD have to go through production activity to
be converted to CBU and afterwards transported to designated warehouses.

4.4 E-Commerce Management of Singer Bangladesh Ltd.

E-Commerce is a stage for the buyers and sellers, which is a software solution that allows
businesses to create online stores. E- Commerce industry is increasing day by day. The amount of
the online stores is very significant now days. There are possibilities that it will take the market
share of the Brick & Motor shops as well. Because now, people of different sectors are interested
to buy products online rather than going to the shops physically. Due to the rapid growth in
ecommerce sector of Bangladesh and market need, Singer Bangladesh Ltd has started their E-
Commerce business on the year of 2016 by developing an online shopping website for their own
named SINGER, Click & Pick. The website was created on the ecommerce platform Magento 1.9.
Singer Bangladesh ltd lunched their website within one month. Keeping the vision in mind
Singer Bangladesh ltd started the initiation of developing the website. They contact website
developer “Nano IT Ltd”. They worked for Custom functionality implementation and Payment
Gateway development for EBL & City Bank. On the website, customers can buy Singers and
other brands product, which Singer Bangladesh sells, online. Customers do not need to visit
outlets to buy anything. The product will be directly delivered to customer’s premises.

4.4.1 E-Commerce Operation Management of the Organization

E-Commerce is a dedicated part of Finance department in Singer Bangladesh ltd. This

department synergizes all other departments to post products, launch promotions, online
marketing, take orders and execute the order smoothly to ensure product delivery.

At first, the customer visit https://singerbd.com through computers or Smartphone app or mobile
site to order product by adding to the cart. When customer places an order and confirm online, the
Magento backend notify one of the executives of Singer Bangladesh ltd. E-Commerce department
that a new order has been placed, along with customer’s information and product information in
detail. The Executives immediately calls the customer’s mobile number, which s/he has provided
to verify and confirm the order. In addition, to confirm the shipping location. If the customer
confirms the order on phone, the executive proceed the order to processing stage by checking the
Singers integrated inventory system known as “SIS Database” where inventory information of all
the 373 outlets and ware houses are integrated. They check, whether the product is available in
stock or not and if it is available, which outlet will be the most optimum location to deliver in the
shipping point. After finding the product the officer, communicate with branch manager of the
outlet to proceed the order to packing and shipping stage. The outlet manager of Singer shop then
ship the product to the shipping point by their delivery team. If the payment system is COD the
delivery team collects the payment and returns to outlet. And thus the online ordering process is
completed in singer Bangladesh ltd and successfully delivered to the customers door. The biggest
advantage that Singer Bangladesh Ltd has is, the warehouses and the shops they have countrywide
and distributing system of their own. They are also facilitating the customers by providing them
free delivery system anywhere of the country.
Chapter 5: Job Responsibilities as an Intern

During my internship program, I was assigned to the Product department(Marketing) of the

company. As I had the double major on Marketing and E-Commerce, I have done few works in
both sectors of the marketing department. Works that I have done there includes-

5.1.1 Market Research-

Basically I worked for the marketing department. I was assigned to do some market research of
the competitors online, according to the products that my supervisor needed the update on.

5.1.2 Market Visits-

In order to know the update of the current market, the supervisor sent me to the market visit to
different places, like- Gulistan Stadium Market. From there, I brought the details of the products,
for example- the available products of the competitors, which product is on demand most, which
product has the most of the promotions and how do the customers compare the products of the
different brands. On the basis of that, I had to make an excel sheet and submit the details to the
supervisor by 5 days.

5.1.3 Online Market analysis-

After a certain time period, as I was very much interested to work in the E-Commerce department,
I was assigned to the E-commerce department to work and understand their working procedure of
the online business of the company. I was told to do an online market analysis of the competitor
brands in order to compete on the platform where third party is involved to promote our products.

5.1.4 E-commerce development-

I did a few analysis on the promotional activities on how to promote our website and how to
convince the customer to buy our products online. For that, we have to promote our brand online
efficiently at first. Singer is already a very trusted brand that has been known for years but singer
has started their online business few years ago. The generations who are used to this online
purchasing strategy are not aware enough to buy the products like refrigerator or air conditioner
online. So, in order to make them aware and make them feel interested and trusted enough to buy
these products online we have to establish our online brand successfully.
Chapter 6: Conclusion and Recommendation

6.1 Conclusion

Singer Bangladesh is currently a large, diversified company and it remains a member of the
society of the worldwide franchise of SINGER. It is one of the most successful companies of
Bangladesh. With uncompromised focus on service excellence and the countrywide existence,
SINGER established itself as successful company over the years.

While having my Internship Program at Singer Bangladesh Limited, one thing I have realized that
I did make a right choice to had my tenor of Internship over there. This is because I found that
Organization does have a Unique identity and Characteristics of being the oldest one of its' kind
nature upholding the tradition of the decades on one end and at the same time , engages all of its'
commitment to the customer and mechanism to compete with the competitors of recent time, who
are considered to be "Giant "and it has been found that Singer is running at a pace' required to
ensure' both maintaining the prevailing solid foundation as well as attaining more of the Market
Share through Aggressive Marketing Drive.

Singer Bangladesh ltd has become a large, diversified company with unmatched presence
throughout Bangladesh. Beginning with the sewing machine, Singer’s product portfolio has
diversified to encompass a highly successful multi-brand strategy combining products of top
world marquees with the company’s own product across a range of electrical home appliances.
Hire purchase system is one of the basic factors for the success of the company. The system is
innovative and appropriate for Bangladesh considering the socio-economic conditions of the
county. Because of easy hire purchase facility, quality product, specified home appliance product,
trusted after sales service, the company has achieved their customer’s trust and the company is
moving forward successfully following its current operation management.
6.2 Recommendation

Singer Bangladesh Ltd’s sales operation has been proven as a successful operation management
over years. Overall Singer Asia sales operation runs in almost same way and company is moving
forward successfully with appropriate controlling. Beside this successful sales operation, I would
like to mention few recommendations with my short experience, which may help the company
better.

 I have figured out that there are retail shops of Singer all over the world, although we have
12 warehouses around the whole country, so that distributed products can be deliver at the
shop level in quicker time, because of the unavailability of product in the retail shops as
per demand , the customer satisfaction is low.
 I think the forecasting should be more specific and accurate, so that they can increase the
availability of the products in the shops as per customer demand in the market according
to the area of the customers and nearby warehouses to that.
 The offline marketing should be increased by sponsorships, digital signage, digital
billboard and speaking engagements. Through these, they can easily reach out to the
students of universities who are not well aware of the brand.
 The Website should be more developed. The website introduces the brand to the young
generation, so the standard website would encourage that age group. The website should
be more informative and the products details should be more specific along with the
brands.
 The E-Commerce site should be promoted by the social medias, ad wards, Google
analytics, paid ads, SEO, pay per click and pop-up advertisements.
 Social media marketing does not mean Facebook only. YouTube, Instagram and Snapchat
everything is included as social media marketing.
 CSR activities are the most prominent way to reach out to the people of different ages. It
not only helps the people but also increases the market value and it is a branding by itself
of a particular company.
 Lastly, the internship process of the company is not that much established here. There is
no specific program fixed for the interns here. As a result, the fresh graduates are not very
much interested to work here as they do not have any specific job to do. Singer is a well-
established brand from a very long time but this young generation has different point of
view of their own. In order to reach to the fresh graduates and young generation, they
need to establish a program detail for the Interns and it should include every detail in an
organized way, so that the interns get enough motivation and inspiration to work harder
and to join to this company and bring out the positive changes for the new generation.
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