Professional Documents
Culture Documents
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Pakistan Tobacco Company Limited was incorporated in 1947
immediately after partition, when it took over the business of
the Imperial Tobacco Company of India, which had been
operational in the subcontinent since 1905. Tobacco has been
smoked for at least the last three thousand years. Christopher
Columbus found it when he landed in the Americas in 1492.
1st Choice
for everyone
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To transform PTC to perform
with he speed, Flexibility and
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Enterprising spirit of an
Innovative consumer focused
“Dare to be Different”
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Our Objective is to grow our brands and
the value of our business, to improve
productivity and to embed the
principles of Cooperate Social
Responsibility Group-wide PAUL
ADAMS, Chief Executive
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GOLD LEAF (JPGL)
CAPSTAIN
DUN HILL
GOLD FLAKE
WILL INTRNATIONAL
BANSON AND HEDGES
(B&H)
PALL MALL (P&M)
EMBASSY
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Number of Distribution
71
PTC Own Volume
591 min
LTC volume
537 min
Total Industry
1610 min
Total population
20.0 min
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Geographic spread
1750 sq Km
Othrs
30% Own
37%
LTC
33%
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Premier Tobacco Company
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Of high quality Products
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PROCESSING DEPARTMENT
LEAF DEPARTMENT
The tobacco is received from leaf go downs from the
various places. One type of tobacco is imported and the other comes
locally. Lamina is received in the form of cases and the stem is received
in the bags. Both are used in manufacturing of cigarettes. From the Leaf
Reception Room, this tobacco is sent to the primary manufacturing
department.
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PRIMARY MANUFACTURING DEPARTMENT
This is known as “PMD”. The bale of tobacco is
converted into blend in this department. This department
creates differ types of blend with different ratios. The stem and
lamina of the tobacco are treated into blend in this department.
The required moisture is added into tobacco and flavors are
added into this. Flavor mixing is known as “casing process”.
The ready tobacco is known as “Cut Tobacco.” This is stored
in cut tobacco store. In addition, through “Automatically
90seconds are taken to fill a machine. According to Product
Steward Policy, “we shall design our products and processes in
conformance the principles of sustainable development for the
betterment to the environment and society.”
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CIGARETTE MAKING DEPARTMENT
In this department, the cut tobacco is filled in the
cigarettes. The filter rods come from the Filter Rods
Department and they are combined to prepare the cigarettes.
There are different types of cigarette making machines high
and low machines. Tow Loga Machines, which have a capacity
of manufacturing 850 cigarettes per minute and one machine,
which have a capacity of manufacturing 8000 cigarettes per
minute and two machines, which have 7500 capacities per
minute. Eight Mark-8 machines running in this department,
which have capacity of manufacturing 2000 cigarettes per
minute. Loga machine run 24 hours.
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CBCs. From the packing department, the cigarettes are
transferred to the shipping godowns from where they are
shipped out of the factory.
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Worker Training & Promotion.
Legal obligation on behalf of Labor and
management.
Worker Welfare activity. Running Canteen & Fair
Price Shop.
QUALITY DEPARTMENT
Quality excellence is the foundation for every
management, and key for “GOAL” of CUSTOMERS
SATISFACTION.
Consistently provide product and services that meet the
quality expectations of customer.
Actively pursue ever-improving quality through
programs that enable each employee to do his or her job
right the first time.
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IT risk analysis
Backup cycle
IT system standing instruction
System development methodology
Request for system modifications
Fixed assets movement
EH&S DEPARTMENT
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environment. Comply withal applicable national laws,
regulations, and BAT (British American Tobacco) policy
pertaining to environment health and safety. Establish
procedures for regularly assessing and reviewing the EH&S
impact of its present and future activities. Adopt a pro-active
role to continually identify cost-effective measures, which it
can take to safeguard the health and safety of its employees,
non-company personnel on company premises, the neighboring
communities and the physical environment.
SECURITY DEPARTMENT
To ensure that the company property, assets,
material & information are protected from loss, criminal
activity, fire damage and other forms form of waste. Thus
ensuring that men are working under congenial environment
without any fear, terrorism and sabotage activities are the
functions of the security department. There are seven
permanent employees and 44 are on contract basis. The
contract is with the Phoenix Company.
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ENGINEERING DEPARTMENT
All goods must be checked physically by
counting/weighing/ measuring. All receipts form outside
sources other than imported spare will be inspected ensuring
that their quality is according to the specification.
All goods received from outside sources must be
detailed on Goods Receiving Register immediately on the day
of receipt. This register forms the only record of goods within
the factory an interim period until the goods are inspected and
finally G.R. sheeted. G.R. Register will therefore, always be
stored overnight in the safe in shift Manager’s Office/Main
Engineering Office along with Engineering Stores keys.
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STORE RETURNS
New or useable machine spares received from Factory
Departments should be accompanied by Store Return (R 15).
New or useable must be recorded on Store Return for new and
used spares respectively to enable correct valuation by the
system for used spares i.e. 10% of the value of stock. For new
and reconditioned items the Finance Department will report
values.
Managerial skills
Business Awareness
Performance Appraisal
Marketing department
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The consumer is at the centre of our business. Marketing in the tobacco
industry requires skills beyond the demands of other products. The
ability to differentiate our marketing initiatives, to manage productive
and profitable relationships with our key accounts, to integrate strategies
above and below-the-line and to innovate while always marketing
responsibly are the fundamentals of the marketing challenge.
Consumer Insights
Product Development
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REGIONAL MANAGER ATTACHEMENT
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TRADE MARKETING OFFICER (TMO)
ATTACHEMENT
AREAS OF TMO
Distribution management
Intelligence of market
SP management
Wholesale management
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Administration of record & stock.
M&PC is attached with Regional manager and give report to him about
any activity that he performs. Company gives promotional material in
regional office .M&P coordinator control this and after that he divides
this material in all areas according to their sale volume or their
requirement. His job is to execute plan to increase merchandising
presence in the region.
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RESPONSIBILITIES
according to brand.
2 He should control the supplier management.
3 He must fulfill the distributor claim.
4 Maintain supplier settlements.
PURCHASE ORDER
It is conduct after the approval of indent from Regional Manager. It is
permeation from Regional Manager and it conform the availability and
allocation of funds for certain activity that relates to promotion.
ONLINE ACTIVITY
Merchandising and promotion coordinator is working on two computer
programs for the purpose of payment process of claims and bills. The
first program that performs M&PC is system application product (SAP)
and next is supplier relationship management.
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Overview of Trade Marketing and distribution(TM&D)
TM&D Mission
To reach the customers in the most effective & efficient manner and to
become benchmark supplier in the market.
Resource Management
Account Management
Information Management
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ATTACHMENT WITH SP
PTC gives a Plano gram to every SP. So Mr. Tanveer is also working
according to Plano gram. He put Pall Mall light stock then Pall Mall
filter is second and at last Pall Mall menthol. HE was also decorating
the out let with merchandising material.
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OBJECTIVES OF SP
Topping Up
Availability
Visibility
Pack display
Promotion awareness
Consumer contact
Merchandising awareness
Competition awareness
Market intelligence
Out of stock
Salesmen are the key persons of the PTC company .We can say that
salesmen are the earning hand and air of PTC, so he is the only person
who faces all customers directly. So they can play a vital role in any
company. PTC takes care of their salesmen. PTC conducts lot of
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training programs for salesmen. PTC conduct training program once in
a year. Salesmen are working under the section of Trade Marketing
officer. Field sales officer is a line manager of salesmen. PTC is the
only company in which most of salesmen are educated so that’s away
they done their work in proper manners. The basic responsibility of
salesmen is to communication of product and promotion both. Work of
salesman is to get order from the outlets and to deliver the stock
requirement in accordance with TM & D instructions. A salesman
should be a best communicator. He should create a long term and good
relationship with their shopkeepers to get highest benefit from trade .A
salesman should responsible for providing after sales service in case of
any complaint means return of D+D (damage & dry) stock etc. I was
attached with Mr. Tahir. We move 50 approximately outlet and give
them stock.
Preparation
Approach
Stock check
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Presentation
Closing
Consumer contact
Evaluation
Administration
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With the help of these steps a salesman done his job in a
good manner he accomplishes his work within time. These
steps are
Preparation:
In this first step a salesman should check the stock, which is
required in market. In the morning he should be neat &
clean if he feels any deficiency he should be control this
deficiency. He should check the bike and he should have the
cash memo and ballpoint.
Approach:
Complete the passage from distributor to shop and when reach
in shop he must understand the behavior of shopkeeper.
Stock check:
Check that all brands are available in the shop and if any brand
is short then he should complete the stock and give the stock to
shopkeeper according to is sale volume.
Presentation:
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If salesman has any information about any brand of PTC, he
should give to shop keeper and if PTC offers any scheme and
promotion, the responsibility of salesman to give all these
information to shop keeper.
Closing:
Consumer contact:
This step is most important for salesmen and sales promoters as well. In
which we convert the smoker to PTC brand if he use any other brand. In
this step salesman convince the customer to use the brand of PTC.
Administration:
Administer to all activities like cash memo, D.S.R etc.
Evaluation:
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Means self-analysis during whole day and if any deficiencies
note them and control in the next tour.
A salesman cannot act on nine step of call because lack of education a
salesman faces a lot of problems. I saw shopkeepers were very angry
with salesman. They demand shirts, liters, wall clocks and other such
incentives. So salesman also faces these types of problems.
SALESMAN SALERY
PTC gives commission based salary to its salesmen. PTC gives
commission according to brand wise.
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STEPS CLAIM PROCESS OF DAMAGED &
DESTROYED STOCK
6: Signature from AM
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TMO start a game between salesmen. For this proposes they set
teams. Every team conducts 6 members or there are 6 members in
every team. After that they start a movie. This movie is about 9 step
of call. So that was very interesting program and was very effective
for salesmen at the end PTC lunch to all of candidates. Timing of
program is (9to6) am. So whole day salesmen learn maximum
knowledge about 9 steps. At the end Mr. AM give instruction to all
salesmen. Actually the basic purpose of this program was to increase
the efficiency of all salesmen.
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STOCK REGISTER
Register shows
: On hand stock
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Every TMO visits 200 outlets monthly. He visits 20 outlets every day.
So retail classification survey is called as RCS. RCS give information
about classification of outlets in connection to volume, quantity,. With
the help of RCS a TMO perform trade marketing and development
activities. RCS provide ease to develop beats of salesman & coverage
plan. With the help of RCS we can get the information of total outlets.
Total outlets in Multan area
are 500, in this database both high and low sale wise outlets are
included. TMO select 200 outlets, which are high sale volume.
PTC uses a lot of software to increase the efficiency and to improve the
performance of their employees. RORT is a software that is used for the
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purpose of analysis and report generation with the help of we can get
the information about brand analysis we can get outlet wise sales .so
RORT is very useful for a TMO.
TMO use SP and salesman for the improvement of selling .so SPs and
salesman are the resource of TMO and if he maintain them in a proper
manner he can get better results. TMO use resource like human and
financial in best way and in the interest of company to achieve the set
target. Urban coverage is usually thrice in a week a rural coverage is
mostly twice a week.
OUTLET MERCHANDISING
SELECTION PROCESS
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1 Selection by TMO
2 Relations with PTC staff
3 50-meter clause implementation
4 Good relation behavior
5 High visit frequency / percentage of ASUZO
6 Profile selection of market
7 Selection of material in store / on store
8 Retailer agreed on written contract
9 Traffic of low and view
1 Village Modular
2 Tube shade
3 In store sheets (14”*29”16”*48” )
4 Counters plastic sheet (64”*32”)
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It is responsibility to distributor is to maintain the necessary needed
stock level and its distribution in his market. In addition to meet out the
required monthly SOP as per the company instructions is also the
responsibility of distributor.
No. Of FSOs
1. Out of Stock (OOS):
Numeric OOS levels
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2. Customer Services:
After sales service through customer
call centers
3. Volume:
Volume growth over same period last year
(SPLY)
4. Merchandising:
Presence of merchandising system
5. Benchmarking:
Benchmarking of distributor.
SPV UTILIZATION
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Sales promoters are working under the instruction of TMO.Basic
responsibility of sales promoter is to carry out the fixed coverage plan
other important responsibilities are
1 New launch promotion
2 Promotion/trade offer communication
3 Pack display
4 Product communication
5 Out of stock tracking
6 Topping up
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PRODUCT LAUNCHING STRATEGY
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MARKET SEGMENTATION
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Pall Mall
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In our markets we don’t find any brand that has three different
flavors. So to get more market share and fill this gap we launch
Pall Mall.
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CAPSTAN
Other similar
price brands.
For launching we take out 313 shops out of 2,600 points where
Capstan’s sale is higher then other remaining outlets.
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Then we categories all 2,600 points according to their
Capstan’s sale
After surveying and planning, now its time to launch Pall Mall
in the markets. For launching we need more men power and
sources to regulate this launching according to plan, to control
and launching activities. For that purpose we request other
sections T.M.Os and S.Ps to join us. And we are very thankful
to Mr. MALIK AFTAB, Mr. JAVED ASHRAF, Mr. MUSHTAQ
and all S.Ps who accept our request and join us to make this
launching successful. In Multan area we have 1 Area manager,
5 T.M.Os, and 30 S.Ps
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We divide our force into two forces.
1. Task Force
2. Regular Force
Task Force
It was the right time to take care of high selling areas specially
Capstan’s high volume selling areas. From surveys and other
sources of information we take out 313 shops where Capstan
sales volume was highest. Sales of those shops were more then
.2M per day. For these 313 shops we establish an energetic,
hardworking and motivated force named TASK FORCE. We
establish Task Force because we know that we get best and
positive result from these shops and Pall Mall will click from
here. So we planned that only task force will visit 313 shops (A
category) on daily bases.
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Task Force’s Members
SP
SP
SP
SPV
I (as an internee)
T.M..O
SPV
SPV
SP
SP
SP
SP
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REGULAR FORCE
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In-store merchandising material
All merchandising that are placed inside the shop is called In-
Store Merchandising material. For Pall Mall launching we
had large number of material for In-Store Merchandising.
Out of Home
Out of home means to convey company massage through bill
board.
But now on 30th of JULY Government of Pakistan banned all
bill boards of tobacco base products. Now OOH is not in
practice.
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For Pall Mall Launching
On-Store Merchandising Material
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S h o p F a s c ia a n d C o u n t e r
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S h o p F a s c ia a n d C o u n te r
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For Pall Mall Launching
In-Store Merchandising Material
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J P G L O u t le t
O.G.D
(Organized Grocery Dispenser)
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J P GL O u t le t
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C a p s t a n / G F O u t le t
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C a p s t a n / G F O u t le t
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In-s
tores
hee
t
In-store sheet
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Wobbler
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Bunting
Mobile
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LaunchPoster
1st Two
weeks
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Price Poster
Range Poster
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• During launching for company communication and for more
awareness and to entertain the shopkeepers we gave promotions on Pall
Mall. Promotion’s mechanics was
1. Redemption
2. Pack Display Competition
3. Lucky Draw
Redemption
Our first promotion was redemption offer. That was, we gave
a 20HL Pall Mall pack with the replacement of 5 empty Pall
Mall pack. This offer was started from June 29, 2006 to July
12, 2006.
Pack Display Competition.
Objective of this competition was
• To make shops attractive for create consumer’s
attention.
• Display according to Plano gram.
• To create an image in consumer’s mind
We divide this competition into
1. Tier 1
2. Tier 2
Tier 1
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In tier 1 we select 100 “A” category shops where Capstan’s
sale was more then .800M per day. During launching T.M.O or
AREA manager visited 4 times these 100 shops.
Tier 2
Tier 2 was for remaining 213 shops of “A” category and all
shops of “B” category. In tier 2 S.Ps visited these shops and
gave them two lucky draw’s coupons in a week. And lucky
draw was held on the end of each week. Prizes of lucky draw
was
Motor Bikes
Food Factories
Mobile Phones
Color TV
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*”C” class category was not legible for Pack Display
Competition because they have not sufficient stock for display.
Like we did not gave them Pall Mall Menthol.
Supply Chain
Seed/Leaf Department
Production Department
Factory Warehouse
Area Warehouse
Distributor Warehouse
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STRENTHS
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PTC is working as doing good not only doing well.
WEAKENESSES
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Salaries of salesmen are very low due to this reason they
are not satisfied.
OPPERTUNITIES
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Promotion has been a strong basis towards building up big
brand image for all PTC
TREATS
When PTC starts any activity of coupon scheme LTC also
start such type of scheme.
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Recommendations
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5. As a big Target Market, PTC is ignoring the
Rural Areas in Multan, which should be
considered.
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