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THE UNIVERSITY OF LAHORE

DEPARTMENT OF MANAGEMENT SCIENCES

PROJECT REPORT

SUBMITTED TO:

Mr Naveed A.Bhutta

SUBMITTED BY:
M. Waseem Asif
Sami Azhar
COURSE:

MBA (Morning)

SEMESTER:

4th

SUBJECT:
PRESENTATION:

DATE:

MI 108-044
MI 108-046

Strategic Management
Vision And Mission
International Ltd.

of

Shezan

LETTER OF ACKNOWLEDGEMENT
All praises are for the Almighty Allah who is the entire source of knowledge
and skills. Thanks to the Holy Prophet (PBUH) from whom the knowledge has
been communicated.
Our special gratitude goes to affectionate leadership of Mr. Naveed
A.Bhutta whose inspiring attitude helped us to keep our moral at the top.
Moreover, the guidelines provided by him about how to develop this project
helped us a lot.
I would like to especially thank to the following persons who cooperated
with us in getting the information for this project.
Mr. Bashir-ud-Din Tahir, the Assistant Sales Manager of Shezan International Ltd.
Mr Najaf Munir, the Sales Officer of Shezan International Ltd.
Mr Shakeel Ahmad, the Assistant Sales Manager of Shezan International Ltd.

LETTER OF TRANSMITTAL
May 30, 2008
Mr Naveed A.Bhutta
Department of Management Sciences
The University of Lahore
Respected Sir
Firstly, I would like to say that it was our pleasure to do this job.
This job was the requirement of our degree program at the University of Lahore.
This job is done as per the instructions of kind teacher Sir Naveed A.Bhutta.
I have been assigned a project on the Vision and Mission of
Shezan International Ltd. In this project, I will tell you about concepts of Vision
and Mission of Shezan International Ltd and know how Vision and Mission is
being conducted over there.
This project is done to the best of my knowledge and skills. I am
surely hoped that this will come to your expectations.

Yours Sincerely
M. Waseem Asif
Sami Azhar

Executive Summary
This report is upon the Vision and Mission statement of Shezan International
Ltd. In this project I will be discussing about the Vision and Mission and its
components like products offered, customers, Technology, Markets and steps
taken in order to create long term relations with its customers who help to
capture value from its customers by Vision and Mission.
My report commences with the introduction and history of Shezan International
Ltd. followed by the application of all relevant concepts of our Study Text. The
Analysis of Strategies, Vision and Mission, Components of Mission, have been
conducted in this report.
The experience at Shezan International Ltd. has helped me conclude that
Shezan International Ltd. has the potential to capture the market in a better way
if there must not a frequent change in the tax policies by the government.

HISTORY
The company was incorporated on May 30, 1964 as a Private Limited Company,
with the main objective to set up an industrial undertaking for manufacturing of
juices, squashes, sherbets, jams, pickles and preserves from fruits and
vegetables. Shezan International Limited was conceived as a joint venture by the
Shah Nawaz Group of Pakistan and Alliance Industrial Development
Corporation of U.S.A. in 1964. In 1971 Shah Nawaz Group purchased all the
shares of Alliance Industries Development Corporation, with the permission of
Government of Pakistan. Shah Nawaz Group Comprises of:

Shah Nawaz Ltd.


Shah Taj Sugar Mills Ltd.
Orient Ltd.
Khalid Hai (PVT) Ltd.
Shezan International Ltd.

Shahtaj Textile Mills


Hattar Fruit Products
The agricultural background of the Pakistani sponsors induced them to establish
this agro-based industry. Taking advantage of abundance of fruits available in
Pakistan and the advanced technology provided by the American partners,
Shezan became a pioneer in the field of converting fruits into pulps, concentrates
and juices. Today Shezan is the largest food processing unit having developed
and installed the capacity to meet the country's local as well as export needs.
The company has shown sustained growth in both domestic and export fields.
The company has been steadily expanding its production capacity over the
years.
In 1980-1981 a separate unit was installed in Karachi which now caters for
Karachi, Sindh and export demand. A new bottle filling plant was set in 1983 in
the Lahore unit, increasing the capacity five fold. An independent Tetra Brick
plant was commissioned in 1987 making the unit leading manufacturers with the
comprehensive range of production in the fruit processing field in Pakistan. In the
year 1990 it was decided to install a juice factory at the Hattar industrial estate in
North West Frontier Province of Pakistan. In order to take advantage of the
government incentive the company had to make a separate company and for this
purpose a new wholly owned subsidiary of Shezan International Limited was
incorporated as Hattar Fruit Products Limited. Complete bottling plant locally
manufactured along with four lines of Tetra Pak was installed, three are filling 250
ml juices and one line is for 1000 ml packs. In all respects the subsidiary is now a
complete unit and is manufacturing the complete range of Shezan products
except for pickles and canned products.

COMPANY MISSION STATEMENT


Our mission is to provide the highest quality fruit and vegetable related juices
and products to retail and food service customers. We want to be the recognize
industry leader in quality and service providing more than expected for our
customer, employees and stockholders. We will accomplish this by maintaining
a tradition of pride in our products growth through innovation, integrity in the
management of our business, and commitment to team management and the
quality improvement process.

COMPANY VISION

To be known as leader of quality products in the region. Dedication of quality is a


way of life at our company, so much so that it goes far beyond rhetorical slogans.
It is the objective of SHEZAN International Limited to produce and provide
products and services of the highest quality. In its activities the company will
pursue goals aimed at the achievement of quality excellence and succeed as a
profitable business. These results will be derived from the dedicated effort of
each employee in conjunction with supportive participation from management at
all levels of the company.
As we all know that vision of a company suggest the direction of the company it
tell us that where the company will be in future, similarly the vision of Shezan
tells that this want to be a market leader in future by providing high quality of
products and with high degree of employee involvement.
Whereas the mission statement of Shezan shows that they want to give high
quality of products with the maximum integration among all the stakeholders that
is suppliers, employees and customers.
So all of that shows us that the first most priority of Shezan is to assure the
quality of its products and also want to assure that there is proper and strong
integration among all of its departments which starts from suppliers includes its
employees and ends up on customers.

Quality Assurance
At the gate of each department there are some people of quality assurance
department who take a close eye on each and every product that enters in a
department and exit from the department for the next department. However there
are total four steps from which all the products must be passed and the quality
has been assured at every stage and for that purpose they use sample testing
technique. Following are the four basic steps from which a product must have
been passed:

Incoming Raw Material

Syrup preparation

Container preparation

Final product

a). Incoming raw material

When the raw material finish the production department makes the order for the
raw material and there will be total four copies of that order one sent to the
finance department second one send to the quality assurance department third
one will send to the suppliers and the fourth copy will remain kept by the
production department. So when the raw material comes in to the factory there is
a person of quality assurance department at the gate who will check that either
the required order is according to that standards which is given by the production
department or not. If the raw material is according to the standards then it will
allow coming in and sending to required department otherwise it will send back to
the supplier.
b). Syrup preparation
c). Reserve in container
After preparing the syrup it will be stored in containers these containers are made
up of special materials that has the ability to store the product for long hours.
d). Final product
When the product is fully prepared then before sending to the customer or
distributor it will send to the quality assurance department that will make it sure
that the final product is fully according to the standards after that it will send out
from the factory to the customer or distributor.
After that the second thing is that how the Shezan keeps the employee motivated
because the employee of any organization is the backbone of that organization.
The failure and success of an organization is totally depending on only one thing
that is how the employees of that organization are working. So for that purpose
one thing is very compulsory for the owners that they must have to learn very
quickly that what thing will keep their employees motivated. Similarly in Shezan
they are working hard to keep the employees motivated so they work properly
and one thing which is unique there that is they are always trying to create such
an image in the mind of their customers that this organization is must be the first
priority for these employees.

Production Slip

Date:

Movement type:

Shift:

Time:

Article No.

Product

No. of pallets

License No:
Production

Total production

Loss

Mango

175ml

Lychee

175ml

Mango

NR 250ml

Lychee

NR 250ml

Pickle

500

grams
Ketchup

500

grams

Pickle

1 kg

Ketcup

1 kg

Total
Production Supervisor

Production Manager

Excise Supervisor

_________________________

Quality Control Manager

Motivational techniques used to increase productivity


Individuals will be motivated to exhibit the modeled behaviors. Organization
motivates their employees for their intensity, direction and persistence of effort
towards attaining a goal. Thus there are incentives and ways to keep efforts and
strong motivation given by the company.
1. There are some cash prize given to the employees on the basis of
achieving the target sale per year or for per month but that motivational
technique is only used for the sales persons.
2. There are some certificates also given to the employees such as
employee of the month and employee of the year. This thing motivates the
employee a lot because this will not only help in the growth of the
organization but also help the employees to build its personal repo not
only within the organization but also all over the industry.
3. Shezan Ltd also give annual increments on the salary of their employees
as we all know that the inflation is increasing day by day in economies like
Pakistan so in that condition every one striking hard to feed himself and
his family members. So under this scenario if Shezan Ltd will not increase
the salaries of its employees then they will have to find some other ways
but the employees are an asset of an organization it is very necessary to
keep the valuable employees in the organization so for that purpose they
are trying their level best and almost every year increasing some amount
in the salaries of its employees by reducing the cost of its product or some
time by reducing their own profit margins.
4. Shezan Ltd also give some bonuses to the individuals on the basis of their
performances this will motivate the employees lot more because this is a
psyche of a man that he always work hard for earn more and more money
or to get other things. They also give bonuses to their employees on
different occasions such as EID.
5. They also provide some entertainment activities to their employees such
as; they give free tickets to its corporate employees for Europe with family,
giving free tickets for different seminars and make arrangements for HAJJ
& UMRA every year for its employees.

Production process
The production of juice is done in three phases. There are three Bottling Plants
that performs different functions in producing the finished good from the raw
material. These are as follows.

Bottling plant 1
In this phase there are different functions performed which are as follows:

Procurement

Sorting

Washing

Crushing

Pulping

Reservoir

Pasteurization

Cold Storage

Procurement
Shezan Ltd has its separate procurement department where the raw material is
send after purchasing. There is also some people of quality assurance
department who take an eye on each and every product and make it sure that all
the products are according to the standard.

Sorting
Here they sort out the raw material from which they waste the useless material
and kept the rest material and send it for further processing. All of these functions
are performed with in one department and the quality will be insured at the end
when the final product of this department will be sending out for the next
department.

Washing
After sorting there is only the useful material is remaining in the department and
now that material will be washed before sending to the next step so it can be
used according to the best standard of quality. As it is our first priority to give the
best quality to our customers so for that purpose we are trying our best to make it
sure that we are giving the superior quality.

Crushing
After washing the material will be crushed in to pieces with the help of grinders.
The material will be crushed in to different sizes according to the different
requirement for the different products. After crushing the fruits, the fruits will send
for pulping.

Pulping
After crushing the material into different pieces, the material is ready for pulping.
At this step the crushed material will be mix with syrup that was prepared earlier
with the help of different additives such as: ??????????

Reservoir
When the crushed pieces of fruits mix in the syrup it will transformed in liquid
shape and at this stage the liquid will be stored in reservoir tanks which is made
up of special material that has the ability to reserve the liquid in fresh form for
many of days. But before putting the liquid in these tanks, these tanks will be
washed which once again make it sure that we are working to give the superior
quality of product to our customers.

Pasteurization
After the storage the syrup is pasteurized above 90 degree Centigrade. Due to
pasteurization the germs are removed. The syrup is then stored at a cold place.
After that the cold syrup is packaged. The packaged syrup is then stored for the
further process packing increase the quality of the product.

Cold storage

After pasteurizing the liquid will be stored at a cold place so it may remain free
from germs.

SOP
Machine

Machine

Labor

Labor

ry

ry

Requir

Availabl d

Required Available ed

Standar
Operatin
g
Procedu
re
SOPs

28

30

90%

Bottling Plant 2
In the second phase multi tasks are performed that are described below:

Empty Bottle
Bottle Washing
Dip Washing
Jet Washing
Filling

Empty Bottle
The empty bottle was received by the company and stored for the further
process. These bottles are collected by companys own hired people who collect
these bottles from different shop owners who sell the product of Shezan. The
team of people who collect the bottles will go only thrice in a week to collect the
bottles.

Bottle Washing
After collecting the bottles are washed for the purpose of refilling. The bottle is
washed for the 21 times in order that there are no germs and bacteria left in any
of the bottle. This is a simple way of washing the bottles after this the bottles are
send for dip washing and jet washing.

Dip Washing
Here the bottles are washed by dipping in a hot water tub. It also finishes the
bottle.

Jet Washing
The bottle is then washed by the caustic soda. The percentage of caustic soda is
3.5%-4% at the temperature of 50-70 degree centigrade for the first time. The
bottle is then washed again and this time the percentage of caustic soda is same,
i.e. 3.5%-4% but at a high temperature of 70-80 degree centigrade.

Filling
In the end the bottle was ready for the filling and the liquid is filled in bottles at
the time of filling 2 to 4 employees check the quality of the product like if the
bottle is less then 250ml, broken bottle or any spot on the bottle if any kind of
problem is faced the bottle is rejected. So after this checking there is not even a
single bottle that will remain unchecked each and every bottle is checked at this
stage by the people of quality assurance department

SOP
Machine

Machine

Labor

Labor

ry

ry

Requir

Availabl d

Required Available ed

Standar
Operatin
g

Procedu
re
SOPs
5

15

18

85%

Bottling Plant 3
This is the last phase in which the finished goods are formed, it includes five
steps which are as follow:

Blending

Filling

Capping

Packaging

Sorting

Blending
In this process the cold pulp is diluted with hot water to produce the juice. This is
the step where juice is fully prepared now we can drink it.

Filling
After converting the pulp into juicy form, it is now ready to be filled in the bottles.

Capping

After filling the juice in the bottle, the bottle is then passed to the next phase
where the capping is done. Capping provides the safe and hygienic product.

Packaging
In this process the bottle is then placed in crates for the safety and easy carriage.

Sorting
This is the last and final process in which the crates are placed in the
warehouses.

SOP
Machine

Machine

Labor

Labor

ry

ry

Requir

Availabl d

Required Available ed

Standar
Operatin
g
Procedu
re
SOPs

13

13

92%

Work Instructions
Work Instructions are available in both form that is in the form of written
instructions and there are also some verbal instructions for the employees to
achieve the high quality at each step.

Components of Mission
Following are the main components of Mission statement of Shezan Company
Ltd.

Customers
General Public, Whole seller, Retailer are the main customers of Shezan
Company Ltd. Because of increasing literacy rate and role of media for the
promotion of the product, people now become more quality conscious. Now
people like to use goods those are beneficial for health. Price of a product should
be affordable. Because of increasing the role of these above discussed points,
Shezan maintain its quality and price which is affordable to the customers and
give the product which is good for health.
The overall trend of the market regarding juices is that the people became more
health conscious for the last few years. They want to use hygienic juices which
are beneficial for health. The natural juices give the energy and taste also.

Customer Satisfaction Analysis


Shezan is analyzing the customer satisfaction through focus groups, surveys and
questionnaires. Shezan Company has also performed the free sampling of its
products on the roads of Pakistan they also get the information from there about
the customers and their needs. Shezan is ready to compromise regarding the
price but not ready to compromise on the quality of its product, and providing the
best quality to its customer is the main aim of the Shezan Company which fulfills
the Mission of Shezan Company.

Customer

Sales
Representative

Quality
Assurance

Production

Quality
Assurance

Explanation
In the above diagram the input received by the Sales Department is shown and
the output is sent to the concerned department after being processed.

Customer
The input to the Sales Department is the needs and wants of the customer that
what is required by the customer.

Sale representative
In the above diagram the sale department or sale representative take the views
and expectations of the customers and after that send it to the quality
department.

Quality assurance department


Quality assurance department itself take it in to account that where the customer
find the problem after that this department send the product to production with
instruction manual in which it is clearly written that what the problem in the
product and from where this particular problem generated. After that this
instruction manual will send to the relative department so this type of mistake will
never happen again.
If the nature of problem is such a type that the product can be sold again such as
the problem in bottle the juice in it is safe then the production department will
change the bottle send again to the quality assurance department who will check
it and after that send it for distribution.

How the production department gives order

Quotation

Fax

E-mail

Telephone

Order Size

Time Required

Accounts
Department

Customer Care
Shezan revolve around the customer because customer is the key to any
business. Any customer is treated like a friend, responses to customer
complaints immediately which is more than the customer expectations .They
treated them with respect it will help Shezan in that sense that customers forgive
error and positively promote the Shezan.
One thing is clearly communicated to employees that they should always keep in
mind and understand that employer is not going to pay their wages it is the
customer who pays it so if the customer is happy then everything is fine.

Keep promises to customer.


Return calls to customer in an expedient manner.
Treat their customer with respect, courtesy and professionalism at all time.
Continually search for customer related improvement.
Treat every customer just as they would want to be treated their self.

Product of Shezan Company Ltd


Shezan Mango Bottle is the product of Shezan Company Ltd their vision and

mission is to provide the highest quality fruit and vegetable related juices
and products to customers. They want to be recognize industry leader in
quality and service providing more than expected for their customer, so
keeping in the mind they introduce the L ychee flavor in bottles . We will
accomplish this by maintaining a tradition of pride in our products growth
through innovation, integrity in the management of our business, and
commitment to team management and the quality improvement process.

This company has been working on this strategy since two years because
beyond this period they lie on stability. In last two years they launch many
products in the market according to the new trends of the market. Recently
this company has been launched (Salt, Ispaghol, Twist juice) and within one
month in future they are launching instant drinks and soy sauce and after this
they launched ketchup of 1000 gm pouch pack and mineral water. According
to the tetra pack survey Shezan has been broken all previous records of
sales as compared to other companies.
Shezan is offering the best quality amongst the competitor in the market which
creates a distinct image in the mind of the customer. Shezan is ready to
compromise regarding the price but not ready to compromise on the quality of its
product, and providing the quality is also the main aim of the Shezan Company .
Shezan product has following features:

Natural taste
Good for health
Quality product

TECHNOLOGY
Shezan Company Ltd is using the advanced technology according to the
requirement for the production of the Bottles and for the information sharing
among the different departments to achieve high quality for the customer
satisfaction and to be market leader in the quality. They import the machinery
from Germany for the production of Bottles and all the machines have to perform
different kind of task and this machinery as follows.

Crushing Machine
In this machine the raw material is crushed into pieces.

Pulping Machine
In this machine the crushed raw material is treated with the syrup and they make
the liquid form.

Pasteurization Machine
After the storage the syrup is pasteurized above 90 degree Centigrade. Due to
pasteurization the germs are removed.

Blending Machine
In this machine the cold pulp is diluted with hot water to produce the juice.

Filling Machine
After converting the pulp into juicy form, it is now ready to be filled in the bottles.

Capping
After filling the juice in the bottle, the bottle is then passed to the next phase
where the capping is done. Capping provides the safe and hygienic product.

Software
Shezan company ltd also develop software which connects the different
department for sharing the information to gain the quality of their work for
production.

Software Name
The name of the software that Shezan International is using is Shezan Business
Solution (latest version).
Shezans Information
themselves.

Technology

department

has

made

this

software

Shezans IT department is responsible for the maintenance of the software.

Implementation of the Software


Shezan has implemented this software about One and a half years ago.

Advantages of Software

The main advantage of this software is that the departments are interlinked
through this software.
Everyone in the organization at every level except the technical level can share
and see the information through this software.

Disadvantage of the Software


The main loop whole is that this software is still unable to connect the different
branches of Shezan International with each other. But they hope that they will be
successful in integrating the branches soon.

Hardware Requirements
The hardware requirement for using this software is minimum Pentium III
computers. But they are using the latest Pentium IV machines to operate this
software and getting the most output as the speed of processing has been
increased.

Competitive Advantage
1)
2)
3)
4)
5)
6)

Large Network for sale in Pakistan almost 90% area are covered
Established relations with the suppliers.
Quality products
The image of the company is well positioned
Very fast and on time production.
This is an organization of over 300 employees and departments, which
are well organized.
7) The company has a well established brand name
8) Incentives given by government to farmers can result in low cost of fruits
and vegetables

Recommendations
Overall the company is following the procedures as given in their policy manual
but I would like to tell my observations to the company, as it might help them in
future.

Most of the outlets complain about the lid of regular size bottle as there
has been the problem of rust on it so it is recommended to the company to
get regular feedback from the market about the quality and distribution of
product.
The job description should be revised.
Quality Assurance department should have a proper office and all the
equipment to perform their tasks.
The company should provide the Non Refundable plastic bottle for the
easy carriage and convenience for the customers.
Incentives must be given to the employees based on their performances.

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