Professional Documents
Culture Documents
Ltd
By
Ihsan Ullah
Roll No.
BBL-16-62
1
Noor Fatima Fabrics Pvt. Ltd
ACKNOWLEDGEMENT
Countless thanks to Almighty Allah, the lord of the whole universe and the greatest force behind
my success in my life. I also pay my heartily to Hazrat Muhammad (P.B.U.H) whose whole life
is marvel and model of any person belonging to any walk of life. I also grateful to B.Z.U
Bahadur Sub Campus Layyah which provides me a chance to explore my skills, qualities,
through internship program.
At Noor Fatima Fabrics Mills, I would like to thank Mr. Ajmal Farooq (Exec. Dir) who provides
me full opportunity to start internship and accumulate first hand comprehensive information
during my internship. I am also obliged to different persons like Mr. Muhammad Akram, Mr.
Ghulam Yaseen who provide ever information I need the course of my internship.
2
Noor Fatima Fabrics Pvt. Ltd
DEDICATION
We are dedicating this effort to our Parents and Teacher because they enthusiasm,
encouragement and faith in us throughout have been extremely helpful. They always available
for our questions and they were positive and gave generously of him time and vast knowledge
3
Noor Fatima Fabrics Pvt. Ltd
PREFACE
The purpose of this is to fill full the requirement of the internship program of the postgraduate
studies offered by the BZU Bahadur Sub Campus Layyah.
To me it was an opportunity not only to study the industry from Textile point of view, but also
from industrial management point of view. This report contains the study material of Noor
Fatima Fabrics from the angel of human resource management the effort has been made to
arrange metrical in such a manner that the administration arrangement of the sill is very clear.
First, a brief history of over view of Noor Fatima Fabrics has been given which puts clear picture
in the mind of the reader about the management environment is followed by the functioning of
the head office Faisalabad, Noor Fatima FabricsFaisalabad. Than all the factories working has
been highlighted stage wise in the last personnel management has been thoroughly studies.
4
Noor Fatima Fabrics Pvt. Ltd
EXCUTIVE SUMMARY
This report consists of eightweeks’ internship at Noor Fatima Fabrics. This branch is situated in
4 K.M. Jaranwala Road, Khurrianwala, Faisalabad. Internship is compulsory for 4 years BBA
program. Pakistan is one of the largest textile exporters in the world. The share of Noor Fatima
Fabrics industry in the economy makes it single largest manufacturing sector of Pakistan. The
variety of textile products ranges from cotton yarn to knitwear. Textile products are exported
mostly to USA, EU countries, UAE, China and Saudi Arabia etc. Textile industry has made an
investment of almost 6 billion dollars during last eight years in textile machinery. Government of
Pakistan is also providing support for the local production of textile machinery. There are almost
1221 textile ginning units, 445 spinning units, 565 weaving units, 731 finishing units, and 1700
garments units. These include both large and small scale organizations.
5
Noor Fatima Fabrics Pvt. Ltd
Table of Content
1 Acknowledgement 2
2 Dedication 3
3 Preface 4
4 Executive Summary 5
7 Nature of Business 8
8 Organizational Structure 9
9 Major Departments 10
10 Marketing Strategy 12
12 PESTEL Analysis 20
13 SWOT Analysis 23
19 Recommendation 28
20 Conclusion 29
21 Reference 30
6
Noor Fatima Fabrics Pvt. Ltd
COMPANY INTRODUCTION
The Noor Fatima Fabrics Ltd (NFFL) is one of the largest and well reputed organizations in
Textile industry and is working under the supervision of Mr. Haji Muhammad Saleem. Noor
Fatima Fabrics (Pvt.) Limited was nationalized in 1972 but with the great effort of Muhammad
Shahid Iqbal it was repurchased from the Govt. and incorporated in 13 Nov, 1976, as a public
limited company. Fatima Fabrics Ltd has tokenized 9001 in 1998 as a first step towards total
quality management and its implementation has been executed in all plants. Currently the
spinning unit has been installed the capacity of 60,000 spindles. At initial stage, when the
company was taken over, it was very small company, having authorized capital of 700000 shares
@ Rs. 10 each in 1977 with issued capital of 50000 shares @ Rs 10 each. But now, it has gotten
progress and reached atop level. At present, Fatima Fabrics Ltd. is well known enterprise, having
authorized capital of 25000000 shares @ Rs 10 each and issued and subscribed capital of
14231052 shares @ Rs. 10 each. Since well before the1950s, Fatima Fabrics has graduated from
raw cotton ginning to spinning and finally into weaving. They now operate 3 ginning factories, 2
Spinning Units and 1 weaving Unit. Fatima Fabrics has built a reputation of excellence in quality
and commitment to leadership since its establishment. The mills came into commercial
production in August 1991 and producing a finest quality of yarn with 53000 Tons annual
production capacity. The variety of products ranges from cotton yarn to knitwear. Garment
made-ups and bed wear are the most important export products with an export value of about
$1.35 billion each. In just a matter of a few years they have established their selves as one of the
leading manufacturers and exporters of superior quality cotton yarns in Pakistan. As
manufacturers of ‘A’ grade knitting/weaving cotton yarn, Fatima weather it is a dream to be the
best or commitment of company with textile sector Fatima did achieve its deserving status where
it stood up as one of the major exporter of Pakistan.
VISION STATEMET:
To be a Company recognized for its art of Textile and best business practices.
7
Noor Fatima Fabrics Pvt. Ltd
MISSION STATEMENT:
The mission of the Company is to operate state of the art textile plants capable of producing yarn
and fabrics. The Company will conduct its operations prudently while assuring customer
satisfaction and profits and growth to its stakeholder.
CORE VALUES:
Manufacturing of yarn and fabrics as per the customers' requirements and market
demand.
Exploring the global market with special emphasis on Europe, USA and Fareast.
Keeping pace with the rapidly changing technology by continuously balancing,
modernization and replacement (BMR) of plant and machinery.
Enhancing the profitability by improved efficiency and cost controls.
Recruiting, developing, motivating and retaining the personnel having exceptional ability
and dedication by providing them good working conditions, performance based
compensation, attractive benefit program and opportunity for growth.
Protecting the environment and contributing towards the economic strength of the
country and function as a good corporate citizen.
8
Noor Fatima Fabrics Pvt. Ltd
ORGANIZATION STRUCTURE
Board of Directors:
Company Secretary:
Auditors:
Charted Accountant
Audit Committee:
9
Noor Fatima Fabrics Pvt. Ltd
MAJOR DEPARTMENTS
There are following four departments working in Noor Fatima Fabrics (Pvt.) Limited.
Different other sections are directly related to this department. The data from all these sections
come here and is stored as well as maintained here. The sections of concern are mentioned here;
Keeping Records
Cash Management
Payment of Bills and Charges
Cash Receipts
Reporting to top Management
Preparation of Bank Reconciliation Statement
Depositing Income tax through Challan
Preparation of Final Account
Purchase Department:
Every organization has the need to purchase the raw material, heavy machinery, daily used
products etc. so has Noor Fatima Fabrics Mills. At Noor Fatima Fabrics, there is a separate
department for purchase known as “Purchase Department”. At Noor Fatima Fabrics, the
purchase falls in two categories.
1. Import
2. Cotton Purchase
10
Noor Fatima Fabrics Pvt. Ltd
Production Department:
Spinning:
The procedure for making “Yarn” is called Spinning. Spinning is a delicate process because the
yarn produced in this process should be exactly of the same quality and count as specified by the
buyer. There are many technical aspects involved in this process.
Production Process:
After the blow of Catton, the fob of carding department starts. Basically, in this department three
different major activities are performed. They are “Carding, Drawing and Simpering”.
Carding:
In Carding “Slivers” are made. These are long, soft and thick ropes of cotton. These slivers are
placed in during called “Cans”. The cotton passed to the “Carding Section” is clean to produce a
high-quality yarn. Here cleaning the cotton gets different kinds of wastage. These are
Drawing:
In the drawing section, a process is there where the lengths of the slivers are increased. This
process is called “Drafting”. Twelve (12) canes of slivers are placed in sequence and after that
slivers from these canes are combined to form a single sliver of larger length. Here, thus, the
slivers are combined to form a single sliver of a larger length.
Packing:
Here at the Packing dept, the cones are packed. The packing is of two types. One is the Export
Packing and the other is the Local packing. Export packing is finer than the Local packing. At
this department, a certain amount of moisture is maintained to add a certain amount of weight to
the yarn.
11
Noor Fatima Fabrics Pvt. Ltd
Export Department:
Export is the most distinctive recognition of Noor Fatima Fabrics (Pvt.) Limited. It is the most
powerful weapon that Noor Fatima Fabrics has got in the field of Textile. It is due to the export
that today Noor Fatima Fabrics has got a distinction in the production in the production of textile
products. Noor Fatima Fabrics exports yarn but major export is in the field of yarn. Hence yarn is
the major contribution to the earnings from the export.
At Noor Fatima Fabrics Mills, the export procedure begins by the Sales Contract. After the
contract, the buyer opens Letter of Credit. The concerned person of Noor Fatima Fabrics studies
the Letter of Credit on receipt and makes sure that are per the sales contract. If there is any
discrepancy between the sales contract and LC, it is removed.
MARKETING STRATEGY
In order to reduce their dependence on a few markets especially Europe, USA, and Asian
new markets were developed for finish product of yarn.. This diversification not only
reduced their dependence on Hong Kong but also gave those better profit margins at times
when Hong Kong market was very depressed. Under this market diversification, they started
business with South Africa, Australia etc.
Contacting Old Customers:
The business with some of the old buyers in Europe was also revived during this period after
intensive efforts. This revival gave good volumes and better profit margins.
New and Innovative Product Development:
They have developed fancy and special verities of finish fabric such as comber and lycra
yarn which are being sold at premium prices. They keep on modernizing their equipment
in order to maintain the high quality of their products.
More Quality Conscious:
With the increase of competition, they have become more quality conscious. In order to
achieve their quality standards, they maintaining better quality by getting yarn from pre-
approved sources, tighter fabrics inspection in folding and providing service to their
customers.
Marketing strategies includes,
Meeting with buyers.
12
Noor Fatima Fabrics Pvt. Ltd
Company profile.
Buyer Visits.
Free Sample.
Contacts with agents.
Meeting With Buyers:
Marketing manager meets with buyer, introducing SSM products to prospective buyer. This
strategy helps manager to understand the needs and requirements of buyers as well as
marketing people are aware of current trends of market. Through negotiation you win the
sympathy of buyers and business for company.
Company Profile:
Noor Fatima Fabrics has also published it profile introducing its key products to
customers. This booklet is send to various agencies dealing in purchase of cotton, fabrics and
made-ups. This strategy helps to introduce the company in outside world. Various broachers
are also published.
Buyer’s Visit:
Sometimes buyers visit are arranged to familiarize them with products, SSM is offering
for their valuable customers. These visits are crucial for the growth of the company
because they help in introducing products to others and also win a lot of business for
the company. The Marketing department frequently invites buyer to show them excellent
production process and quality productions.
Free Samples:
This strategy is widely too used to boost up exports. Free samples are delivered to
customers. When new product is made, free samples are sent to loyal customer show
firms concern for them. Customer satisfaction is a important aspect because customer is
a person who gives meaning to company.
Contacts with Agents:
Noor Fatima Fabrics is an export oriented organization. More than 70% of its sales constitute
exports. So to capitalize foreign market, SSM has long list of agents working in
foreign market. This strategy is useful when company is not able to communicate with
buyers; it can hire services of agents who for commission introduce their products in
13
Noor Fatima Fabrics Pvt. Ltd
Fabrication:
100% Cotton and Polyster/Cotton (All Blends) Yarn Dyed Printed/Dyed/White Fabric, Sateen up
to 1000 Threads, Percale up to 250 Threads, Jacquard up to 350 Threads, Dobbies, Poly Viscose,
Lycra Printed/Dyed Fabrics, 100% Cotton Fannel up to 180 gms, Twill, Drill, Duck, Slub,
Jacquard, Panama, Half panama.
Bed Linen
Curtains
Kitchen Accessories
Woven Garments
Knitting Garments
Towels
Through Internet:
Noor Fatima Fabrics has recognized the importance of information technology in business
field and very quick to capitalize this opportunity. It has launched its website which tells
buyers about Noor Fatima Fabrics products.
14
Noor Fatima Fabrics Pvt. Ltd
PRICING STRATEGY
Pricing is the most important strategy in the overall strategy adopted by SSM because it is
directly related to incentives offered and price fixation. The most common factors that affect
prices are.
Yarn prices of Noor Fatima Fabrics also effects by the rules and regulation of Govt. of Pakistan
and due to International Govt. in case of increase in taxes or due to new duty or tariff.
Competition:
SSM has to facing domestic as well as international competition. There are so many domestic
and international spinning groups that are providing yarn product from all over the Pakistan. So
competitive analyses is also carried out before fixing fares.
Price Adjustment:
Before setting prices of products various elements are kept into mind such as total
manufacturing cost, commission of the agent and L/C terms includes shipment terms and
transportation cost etc.
15
Noor Fatima Fabrics Pvt. Ltd
PLACE STRATEGY
Noor Fatima Fabrics export more than 80% its product. So they are using two types of the
distribution channels in export.
Direct Channel
Indirect Channel
Direct Channel:
Noor Fatima Fabrics is also dealing directly with the customers. As in the local market and the
foreign, the buyers direct contact with the Noor Fatima Fabrics. So the export department fulfills
their orders by the transformers. The transporter helps in delivering the products. The transporter
is helping a lot in progressing the textile industry. The comely delivery to the buyer is the
greatest service to the customer, timely delivery is important for the success and development of
the organization.
Indirect Channel:
Noor Fatima Fabrics to agent & to customer. In the export of textile products, the agents are the
back bone of textile industry. They receive order on the behalf of buyer, give to the seller. They
receive their commission from the buyer and the seller.
The agents also purchase the products; sell them directly to other buyers. So in this
trading they earn enough profit.
There have been a large number of agents which are working for their organization in
foreign countries as well as in this country.
PROMOTION STRATEGY
Noor Fatima Fabrics spinning run adverting and promotion campaign on large
scale. The promotion of product can be classified in two ways.
Direct Marketing.
Indirect Marketing
16
Noor Fatima Fabrics Pvt. Ltd
Direct Marketing:
Presentations:
These are given to customer in Perl continental Hotel and other different places etc.
Agents:
Direct marketing is done through agents. In each country a display center has been
established names as CMD Company ( concept marketing design).
Sales Promotion Manager Tour is also arranged. These tours are arranged to find new
buyers in foreign market.
Indirect Marketing:
Indirect marketing is done through agents. Noor Fatima Fabrics has direct contact with
agents who deal with customers on behalf of Noor Fatima Fabrics. The agents make
arrangement between both the parties’ buyers and sellers. The agents received commission for
their services.
Advertising:
Sign Board.
Print Media.
Magazines.
17
Noor Fatima Fabrics Pvt. Ltd
I spent six week at Noor Fatima Fabrics (Pvt.) Limited. During my stay, there I worked in many
departments like Accounts & Finance Department, Export/Marketing Department, Local sale
Department, Yarn & Cotton Bales Purchase Department, General Purchase Department and
Income Tax Sales Department. As my specialization areas are Marketing & Finance, I spent
most of the time in Marketing and Finance Department. Working in a big organization like Noor
Fatima Fabrics (Pvt.) Limited was very beneficial as I got chance to implement those things
which I have learnt in my BBA program. Now I will describe my experience in different
department in detail and in order of occurrence.
FIRST WEEK
Sales Tax Return:
After that he sent me to MR. AMJAD FAROOQ, who is Senior Accountant in this department.
Under his supervision I learnt how to make Sales Tax Return and how Sales Tax in calculated.
SECOND WEEK
18
Noor Fatima Fabrics Pvt. Ltd
THIRD WEEK
FOURTH WEEK
Export/Marketing Department:
MR. ASIF HUSSAIN is the Manager in this department. He is very nice person and during my
stay in this department he often used to inquire about my performance. In this department, I
worked in supervision of MR. ABDUL QADIR (Assistant Marketing Manager). He helped me
in understanding different export marketing concepts. Everything which is done in this
department was computerized. Contracts were prepared using computer software. Orders were
received mostly via e-mail.
MR. ABDUL QADIR told me that they are exporting their yarn to USA, Italy, France, Portugal,
Spain, Germany, Turkey, India, Bangladesh, Japan, Korea, Vietnam and Srilanka. Normally an
agent is involved in the process of export. Agent is paid some commission on his services. His
commission varies from 1% to 4% of total sale amount. There are many agents which are doing
business with Noor Fatima Fabrics (Pvt.) Limited.
FIVTH WEEK
My overall experience at Noor Fatima Fabrics was very good. I learnt not only about marketing,
purchasing and sale techniques; I also learnt how to behave with my supervisors. My supervisors
used to send me to other departments for official purposes. There I learnt how to behave and
19
Noor Fatima Fabrics Pvt. Ltd
communicate with people of other departments. Furthermore, behavior of all supervisors was
very good. If I was unable to understand anything, they encouraged and motivated me. I
appreciate their behavior and the knowledge & skills which they tried to transfer to me.
SIXTH WEEK
Local Sale Department:
After working in Export/Marketing department, I was transferred to local Sales Department. I
almost one week worked in that department. I worked under supervision of MR. GHULAM
YASEEN who is Accountant there. He is a person with dynamic personality with clear vision.
Cotton yarn is sold locally to many textiles mills including Nishat Mills Limited, Silver Strings
Textiles Limited and Crystal Spinning Mills Limited etc.
PESTEL ANALYSIS
It is very important that an organization considers its environment before beginning the
marketing process. In fact, environmental analysis should be continuous and feed all aspects of
planning. The organization's marketing environment is made up from:
The internal environment e.g. Staff (or internal customers), office technology, wages and
finance, etc.
The micro-environment e.g. our external customers, agents and distributors, suppliers, our
competitors, etc.
The macro-environment e.g. Political (and legal) forces, Economic forces, Socio cultural
forces, and Technological forces. These are known as PEST factors.
Political Factors:
The political arena has a huge influence upon the regulation of businesses, and the spending
power of consumers and other businesses. You must consider issues such as:
20
Noor Fatima Fabrics Pvt. Ltd
The political situation of Pakistan is not satisfactory and unstable. Rapid change in the Govt. and
the change of the policies of the previous govt. by the new govt. abruptly effect the Pakistan’s
political situation. Due to these entire factors the foreign investor hesitates to invest in Pakistan.
Govt. should device such policies that are beneficial for the local exporter as well as for the
investors.
Economic Factors:
Marketers need to consider the state of a trading economy in the short and long-terms. This is
especially true when planning for international marketing. You need to look at:
Interest rates
The level of inflation Employment level per capita
Long-term prospects for the economy Gross Domestic Product (GDP) per capita, and so on.
Social Factors:
The social and cultural influences on business vary from country to country. It is very important
that such factors are considered. Factors include:
Technological Factors:
Technology is vital for competitive advantage, and is a major driver of globalization. Consider
the following points:
Does technology allow for products and services to be made more cheaply and to a better
standard of quality?
21
Noor Fatima Fabrics Pvt. Ltd
Do the technologies offer consumers and businesses more innovative products and services
such as Internet banking, new generation mobile telephones, etc?
How is distribution changed by new technologies e.g. Books via the Internet, flight tickets,
auctions, etc?
Environmental Factor:
The location influences business trades. Changes in climatic changes can affect the trade. The
consumer reactions to offering can also be an issue.
Geographical location
Legal Factor:
Legislative changes take place from time to time. Many of these changes affect the business
environment. If a regulatory body sets up a regulation for industries, for example, that law would
impact industries and business in that economy. So, businesses should also analyze the legal
developments in respective environments.
Employment regulations
Competitive regulations
Patent infringements
22
Noor Fatima Fabrics Pvt. Ltd
SWOT ANALYSIS
To determine the overall picture of Noor Fatima Fabrics Mills, I have done the following SWOT
analysis, based on my own observation during my internship program and on the comments and
views of my supervisors.
STRENGTH
Following are the organization’s main strengths.
The owners of this organization lead the organization by good governance. They provide proper
guidance to each member of the organization. There is no communication gap between the
workers and the owners.
Team Work:
Teams are now replacing the traditional organizational hierarchy due to their many advantages.
They are not threatened to change, encourage innovative ideas, foster social relationship and
solve problems rapidly. In Noor Fatima Fabrics Cotton Mills, teamwork appreciated. People
work closely with one another, solve problems collectively and offer new innovative ideas to the
management.
Product Quality:
Quality is major strength of the organization. Due to latest plants and equipment installed,
organization can offer the local and foreign customers, tremendous quality. The level of quality
can be judged form the fact that among all the textile mills working in Lahore, Noor Fatima
Fabrics (Pvt.) Limited has high prices of its product yarn due to superior quality as compared to
other textiles mills. This quality has not only been developed through installing latest or modern
equipment but this has occurred through organizations. Strong culture in which workers and the
23
Noor Fatima Fabrics Pvt. Ltd
managers are fully committed to quality. They put their best efforts to enhance the quality of
their products.
WEAKNESS
Low Salaries to Middle-Level and Low Employees:
Organization is unable to offer its middle managers a good salary. Middle managers in every unit
complain about their salary. There is a hell of difference between salary of the mill manager or
general manager and the office manager or senior accountant for chief accountant. Benefits
offered to the general are good but the benefits offered to middle managers are not at all
satisfactory. It seems that the middle managers are only working in the organization due to the
prevalent rate of unemployment and poor economic conditions in our country.
I have observed that low-level staff at Noor Fatima Fabrics is not so much motivated. This is so
because salary level is very low and not good benefits are given to these employees.
Centralized Control:
Noor Fatima Fabrics is controlled by its directors which are major shareholder of the company. It
is more like a family business rather than a true corporate corporation. Control is highly
centralized. This control is good to some extent but it hinders the productivity of the workers and
the organization. Directors watch the overall activities of the company and control them. They do
not empower the manager to make sensitive decisions.
There is almost no any research and development going on to make new designs and innovative
product. Government is also not supporting this industry in R&D. China and India is spending at
lot in R&D. I think this is a great weakness of the company. They should rely on continuous
improvement efforts.
24
Noor Fatima Fabrics Pvt. Ltd
OPPORTUNITIES
Towards Value Added Products:
Noor Fatima Fabrics is producing Yarn. There is an opportunity for this company to move
forward and produce some value-added products. As we know that in Pakistan there are very
small numbers of companies which are producing value added products. So, it is a great
opportunity for Noor Fatima Fabrics to capture market by producing value added products like
yarn and knitwear.
Current Markets:
Currently, majority of the organization exports are in Japan, Korea, and Hong Kong. There is an
opportunity to expand further in these markets. This opportunity has been given to the
organization by its products quality and on-time delivery. Japanese are especially quality
conscious people and may don’t tolerate any loophole in the quality. Moreover, they also value
on time delivery of the product. Noor Fatima Fabrics (Pvt.) Limited can offer superior quality
and quick delivery and this ability offers the organization opportunity to expand in the foreign
market. In addition to these countries, great opportunity lies in the Middle East countries. These
countries have markets with great potential and ability to pay quality premium. Organization has
currently started to exploit these opportunities.
THREATS
Nowadays, overall textile industry is suffering very much. Almost 150 small and large textile
units are closed. They are closed due to decrease in demand and many other problems. Now
China, India and Bangladesh are producing good quality Yarn at lower price than Pakistani
Textile Industries. So, international buyers have started purchases from these countries.
Furthermore, Quota Regime has come to an end; this also has increased competition among
different countries. Assistant Marketing Manager was saying that they are selling their Yarn
mostly at Breakeven or at Loss. They are doing so because they don’t want to lose their existing
customers due to price issues because China and India are offering same products at lower
25
Noor Fatima Fabrics Pvt. Ltd
prices. So, this is a very big threat for Noor Fatima Fabrics and overall textile industry of
Pakistan.
No sector in our country is satisfied with the government policies and rules and regulations.
Textile sector is also unsatisfied with the government policies and restrictions. Every year,
government officials make policies and impose such rules and regulations that tend to hinder the
performance of textile industry. So, government policies are a major threat to the organization.
Prices of raw materials are increasing day by day. So, cost of production is increased.
Government is also not giving favorable subsidies on electricity and other utilities. On the other
hand, Chinese and Indian government is giving them favorable subsidies. So, in our country cost
of population is very high. That’s why it has become very difficult to compete with neighbor
countries.
Economic Instability:
The economy of Pakistan has never been favorable for any business to run successfully. There is
always a threat for all businesses. Furthermore, government policies keep changing with time to
time. For example: export duty has increased from 1% to 2% in this summer.
Tough Competition:
Competition has been increased as there are many new entrants in the market like China, India
and Bangladesh. They are providing low price and value added products. They are capturing the
market and existing customers of Noor Fatima Fabrics. This is a large for Noor Fatima Fabrics.
Class room learning is always important for the student. First, the discipline which we
learned in the class is very essential I feel no difficulty about discipline in the
organization.
26
Noor Fatima Fabrics Pvt. Ltd
We study many subject in the class room about accounting, behavior and ethics these all
subject is perfectly applicable in the organization.
In class room, we build team work and coordination with each other team work has keen
importance in the organization.
In class room teacher play a vital role and supervise the students and in the organization
boss plays this role.
In class room, focus is on behavior and attitude of the students this gives me great
assistance in the organization.
We take confidence in the class by performing different activities like presentation and
demo this is greatly applicable in the organization
27
Noor Fatima Fabrics Pvt. Ltd
Liquidity of the firm is weak due to the availability of cash to the firm to pay back its
short-term obligation which should be improved.
Account Receivable are not received on time which mean average collection period
should be improved.
Fatima Enterprises Limited is unable to generate enough profit from its fixed assets
which means either the fixed assets are out dated or the workers are not skilled to use
these assets.
Inventory turnover of the firm is very low which shows its sales are not good which
should be improved.
Fatima Enterprises Limited is using high debts on which it must pay high amount of
interest and it is also discouraging for the new investors.
Fatima Enterprises Limited should use optimal capital structure it means they should be
balance between debts and equity finances.
Gross profit of the firm can be improved by reducing the cost of goods sold.
Fatima Enterprises Limited should do its operation efficiently to increase its operating
profit.
Net profit of the firm can be increasing by reducing the interest expenses, Cost of goods
sold and Tax.
There is strictly needed a strategic focus to face the present intense competitive situation.
The market for textile products is becoming more competitive every year. The customer
28
Noor Fatima Fabrics Pvt. Ltd
is emphasizing on quality over all other things and easily searches for the most cost-
effective supplier anywhere in the world. Keeping this in mind, Noor Fatima Fabrics
focus should be on meeting its customers demand and requirements, improving its
competitiveness, increasing productivity, and enhancing its existing quality control
systems. The company should control its production cost effectively. Per an estimate cost
of goods manufactured is normally more than 80% of the value of sales. So, the company
should develop ways to reduce its cost of production. And it should minimize its other
expense including administrative & selling expenses.
The worker of the company should be motivated to increase production using effective
incentives scheme. More over proper training should be given to workers so that the
production can be increased and then wastage can be reduced.
29
Noor Fatima Fabrics Pvt. Ltd
CONCLUSION
The Noor Fatima Fabrics (Pvt.) Limited is one of the largest and well reputed organizations
in Textile industry. Noor Fatima Fabrice exports its products in the following countries,
Bahrain, Dubai, Hong Kong, United States of America, Turkey, Spain, Korea, Italy and
Singapore etc. They export the Cotton Yarn, PC Yarn and Woolen Yarn to the above-
mentioned countries. One of the leading manufacturers and exporters of superior quality
cotton yarns in Pakistan. Strict Quality Management has helped them in making their final
products superior and competitive granting them the edge needed to compete in global
markets over the years they have built a reputation of being one of the leading manufacturers
and exporters of ‘A’ grade knitting/weaving cotton yarn. The overall performance of Fatima
Enterprises Limited is not good from previous five years.
30
Noor Fatima Fabrics Pvt. Ltd
REFERENCES
Web Sources:
1. www.wikipedia.com
2. www.google.com
3. www.pakistan.gov.pk
4. www.pakboi.gov.pk
5. www.aptam.org.pk
6. www.noorfatimafabrics.com
31