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COMSATS Institute of Information

Technology
Department of
Management Sciences

OPERATIONS MANAGEMENT
Final Project Report

LASANI FEED
Poultry, Dairy and vegetable Scheme, Islamabad

Presented To:
Aziz-ur-Rehman Khan
Presented By: SHINING PATH
Ubaid ullah Jan
CIIT/FA09-MBE-021

Saleha Satti CIIT/FA09-MBE-


020

Mian Murtaza Shahid CIIT/FA09-MBE-


011

Umer Naseh CIIT/FA09-MBE-


014
LASANI FEED

Inam-ullah CIIT/FA09-MBE-
006

DATE:07\01\2011

The Exordium

“In the Name of Allah the compassionate the Merciful”


All the acclamation and admiration is for Almighty Allah
the most merciful, gracious and beneficent who is
entire source of all the knowledge and wisdom
endowed to mankind. We offer our humblest thank
from the core of our heart to Holy Prophet Muhammad
(Peace Be Upon Him), who is forever source of guidance
and knowledge for the humanity.

“Praise to Allah, Lord of the creation, the


Compassionate, the Merciful, the King of the Judgment day!
Alone.”
(AlQuran)

ACKNOWLEDGEMENT
First of all we are thankful to Almighty ALLAH for giving
us much cooperation and supporting parents who have
given us this opportunity to study in COMSATS. I would

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LASANI FEED

like to thanks Sir Aziz Khan for giving us the confidence


and opportunity to prove ourselves.

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Table of Contents
Objectives of the
project---------------------------------------------------------------------------------
4
Lasani Feed
Profile---------------------------------------------------------------------------------
--------4
Vision----------------------------------------------------------------------------------
------------------------5
Mission--------------------------------------------------------------------------------
------------------------5
Operations
Strategies----------------------------------------------------------------------------
---------6
Different
Competitors--------------------------------------------------------------------------
-----------6
Productivity of Lasani
Feed------------------------------------------------------------------------------7
Forecasting--------------------------------------------------------------------------
-------------------------7
Design/layout
Strategies----------------------------------------------------------------------------
-----8
Capacity
Planning------------------------------------------------------------------------------
------------9
Location
Strategies----------------------------------------------------------------------------
-----------10
Recommendations-----------------------------------------------------------------
-----------------------11
Executive
Summary-----------------------------------------------------------------------------
----------12
Exhibit
1-----------------------------------------------------------------------------------------
-------------13

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Exhibit
2-----------------------------------------------------------------------------------------
-------------14

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OBJECTIVES OF THE PROJECT


The basic purpose of this project is to understand the
operations of Lasani Feed and to know about their
financial as well as other operations by applying our
analytical and professional skills. This project will help
the reader to understand and analyze the Operations of
Lasani Feed.

-:Lasani Feed
(History):-
In 2000 Mr. Inam Started his business of Venda
(Cattle Feed) from a little Godown, he started his
business at low level with a small investment. At the
time he started his business few people are familiar
with that product, people are unaware about the
existence of the product as well as the benefits of using
this Venda.

First he targeted the local Dairy Farms (Local Market),


and tried to convince the people by giving some
samples, with the passage of time farmers realized the
benefit of the Venda and due to this reason the demand
for Venda increased. Since 2007 he is using the
traditional tools which required a lot of effort as well as
labor hours. In 2007 Mr. Inam made some advancement
in his machinery, he installed the machines which are
among the best machines made in Pakistan. As the new
machinery increased his production / output, so his
existing Godown was not enough to handle all the
production output, he acquired another place for the
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storage of the bags. As the demand for the poultry was


increasing day by day, the demand for chicken feed
was also increased. Mr. Inam found a great chance to
capture the market of Chicken feed by providing quality
chicken feed as he did before in Cattle Feed.
The reason for the success is not only the quality
product, but also the delivery service which Mr. Inam
provides to his customers. (Exhibit 2)

Mission Statement
We are committed to producing & marketing best
quality feed at lowest costs to customers who look for
consistent quality feed. Unlike other feed producers in
the state, we establish & maintain long term, mutually
rewarding relationships with our customers.

Vision Statement
To be a role model for feed production operations

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-:OPERATION STRATEGIES OF
LASANI FEED:-

Differentiation Strategy of Lasani Feed:-


They are involved in Mass Customerization
because each product is produced according to the
specifications of each customer. That’s why they are
different then their other competitors.

Low Cost and High Quality Strategy of


Lasani Feed:-
Lasani feed is producing Feed at low cost because
of some subsidiaries by the Government of Pakistan on
Electricity, Taxes.

Quick Response Strategy of Lasani Feed:-


Lasani Feed has an edge of quick response to their
customers because they have their factory nearby
forms.

Different Competitors of Lasani Feed in


Islamabad
• Dr. Feed

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• Shahdab Feed

• Sona Feed

• Super Feed

-:Productivity of Lasani Feed:-

Productivity of Lasani Feed Per Day:-


Units produced = 300bags of cattle feed per day
Labor hrs = 7 hr per day
Productivity = 300 bags per day / 7 labor hrs per day
Productivity = 43 Bags per labor-hours

Productivity of Lasani Feed Per Day:-


Units produced = 300 bags of cattle feed per day
Labor = 7hrs x 6 workers = 42
Daily Consumption of Material = Rs. 200,000 for
Energy = Avg. daily Consumption 15000 / 30 = Rs. 500
daily
Misc. (Workers Refreshment etc.) = Rs. 500
Productivity = 300 bags per day /
40+200,000+500+500
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Productivity = .0015 bag per rupee

Forecasting:-
Lasani feed have no forecasting technique. They
Produce Venda on Demand of their customers.

-:Design/Layout Strategies:-
-:Warehousing and Storage Layout:-

ENTRY /
EXIT

PLANT 1

PLANT 2

PLANT 3

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Warehouse

(Exhibit 1)

-:Capacity Planning:-
-:Design Capacity of Lasani Feed:-
*Machinery is designed to produce 60 bags of per hour
Input = 1 shift, 7 hrs and 7 days
Design to produce = 60 bags per hr
Design Capacity = (1 day x 1shift x 7 hrs per day) x (60
bags per hr)
Design Capacity = 7 hrs x 60 bags per hr
Design Capacity of Lasani Feed = 420 Bags per
day

-:Utilization of Lasani Feed:-


Actual output per week = 300 bags
Design Capacity = 420
Utilization = 300 / 420
Utilization = .7143 x 100 = 71.43%

-:Efficiency of Lasani Feed:-


Actual output = 300 bags per day
Effective capacity = 380 bags per day
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Efficiency = 300 / 380


Efficiency = .7895 x 100 = 78.95%

-:Location Strategies:-

Location:-
“A place where business or factory physically
exist”

-:Location of Lasani Feed:-


Lasani Feed is located in Poultry, Dairy and Vegetable
Scheme Chak Shehzad, Islamabad.

-:Main Distribution Areas Of Lasani Feed:-


Lasani Feed distributes Feed in different areas.
Following are the main distribution areas of Lasani
Feed.
1. Local Forms 3. Chakwal
2. Peshawar 4. Gujjar Khan
5. Talagang

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Recommendations :-
• Currently the machines used by Lasani Feed is no
doubt one of the best machines which are being
used in Pakistan and is producing a good quality of
products but he still can improve his production by
importing a quality machines that can have unique
features which are not available in the machines in
use. By using imported machines he can further
reduces his labor cost as well as energy and labor
hours.

• Proper training facility should be provided to labor.

• The company must keep safety measures for its


Labor Staff as well as Products.

• In order to develop business Lasani Feed, must


have well equipped business premises as well as
trained Labor.

• Company is enjoying good market reputation even


though the name of the company is not printed on
the sacks (Bags), The company can capture a
major part of market if they have proper means of
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communication and advertisement.

EXECUTIVE SUMMARY

This project is undertaken to analyze the operations of


Lasani Feed and then to measure their performance in
accordance with Operations Management Strategies and
Policies. For this purpose various aspects, techniques and
financial tools are used in this project. The tools used in this
report are as follows:

A. Operation Strategies

B. Productivity Tools

C. Layout Strategies

D. Capacity Planning

E. Location Strategies

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Exhibit 1:- Design Layout and other pictures.

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EXHIBIT 2:- Business Owner Mr. Inam Ullah

Other Pictures of Lasani Feed and Farm

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