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 Internship Report On
IBRAHIM TEXTILE MILLS LIMITED
Ibrahim Group HO, Club Rd, Civil Lines, Faisalabad, Punjab

By

Name: MEHROZ RAFIQ

Father Name: Muhammad RAFIQ
Roll No: 2018-AG-3267
Class: M.com
Session: 2018-19
Registration: 2016-GCUF-S182807

Submitted to:

UNIVERSITY OF AGRECULTURE, FAISALABAD

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4
 Dedicated

To
My beloved and respected parents

Who encouraged

Me and support me to reach

At

Peak of destination.

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 Acknowledgement
I wish to praise Almighty ALLAH, the most Merciful, the Beneficent and the
HOLY PROPHET HAZRAT MUHAMMAD (saw) who gave me courage and enabled me
in the accomplishment and submission of this Internship Report.

My Respected Teachers, Parents, Classmate, Friends come next in the list of those whom I
have to thank.

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Table of Contents

Sr Subject Page No.

No.
1. Executive Summary 8
2. Mission and Vision 9
3. Values and Objectives 9-10
4. Overview of the Organization 11
I. -----------History of The Company 11
II. -----------Nature of the Organization 12
III. -----------Customers of Tayyab 13
IV. -----------Business Volume 14
V. -----------Number of Employee’s 15
VI. -----------Product Line 16-18
VII. -----------Countries of Export 19
5. Organizational Structure 20
I. -----------Main Offices 21
II. -----------Comments on Organizational Structure 22
6. Structure of Finance Department 23
I. -----------No. Of Employee’s 23
II. -----------Finance and Accounting Operations 24
7. Function of the Finance Department 25
I. -----------Accounting System 25
II. -----------Finance System 25
III. -----------Use of Electronic Data In decesion making 25
IV. -----------Mobilization of Funds 26
V. -----------Generation of Funds 26
VI. -----------Sources of Funds 26
VII. -----------Allocation of Funds 26-27
8. Critical Analysis 28
I. -----------Finincial Analysis 28-31
II. -----------Organizational Analysis 32
III. -----------Profit and loss Accounts of Tayyab Textile 33-34
IV. -----------Behaviour of the Organization 35
V. -----------Future Prospect of the organization 36
9. SWOT Analysis 37-39
10. Conclusion 40
11. Weekly Progress Report 41-48
12. Recommendation for Improvement 49
13. Reference & Source Used 50

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1. Executive Summary:

IBRHIM FIBER is a truly Vertically Integrated Textile Unit. It has in-house Yarn,
Knitting, and Fabric Dyeing, Processing, Apparel Manufacturing and Laundry
facilities. The objective to operate in this manner is that there is a close co-ordination
and link between all the divisions. Every unit operates in the most efficient manner in-
order to achieve competitive prices, timely delivery and quality products. With the passage
of time, it has improved its products to compete in the international market.

The objective of this report is that I have placed is to express what I did observed and how
I capitalize the strengths to overcome weakness and remove the threat. It will be difficult for
me to express the whole process and procedures from technical point of view are not as such
crucial.

The latest computerized Barcode system of Ibrahim fabric that assures quality in every
operation of production from spinning to packing. Barcodes are fixed on every product that
assures to be traced back to the first stage and can be used to find out the root cause of short
coming in the process.

The methodology adopted to write this report is briefly described as follows. For this study
primary data as well as secondary data have been used. Primary data is obtained by means
of personal interviews and personal observation. Secondary data is collected from Ibrahim
fiber, website, annual reports of Ibrahim fiber, policies and procedures. Data have been
analyzed in depth and interpreted in an effort to give a realistic picture of the organization.

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2. Mission and Vision:

Mission:

To Build the company on the sound financinal footing with better productivity,

excellence in quality and improve efficiency at lower operating costs by utilizing

blend of state of the art technologies.

To accomplish excellent results through increased ernings this can benefit all the stake

holders.

To be a responsible employer and to take care of the employees in their career planning

and reward them according to their abilities and performance

To fulfill general obligations towards the society, being a good cooperate citizen

Vision:

To be a sustainable, growth oriented company and achieve scale to remain competitive,

in the barrier global economy.

3. Values & Objectives of Tayyab Textile

Every organization has specific values and Objectives

Values

 Respect for Individual

 Integrity
 Speed
 Simplicity
 Self-Assuredness
 100% commitment

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Objectives

Following are the Objectives of Tayyab Textile ………..

 To provide market leadership and brand coverage

 To pursue technological innovation
 To reduce the cost of production
 To satisfy the customer
 To continue to surpass the past achievements
 To protect the environment according to ISO 14000
 To get growth through professional managers
 To partner with operators for their maximum productivity
 To provide virtuous to our customers, employees, communities, and the environment.

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4. Overview of the Organization:

Tayyab Textile Mills Ltd

21/1, Bilal Road, New Civil Lines,
Faisalabad.

I. History of the Company:

Tayyab Group of Industries is one of the leading industrial groups of Pakistan. This group is
a combination of five units operating at different locations in the field of yarn, sugar and
Information Technology. The first of which was incorporated in the year 1990 in the name &
style of "Tayyab Textile Mills Ltd".

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ii. Nature of the Organization:

Tayyab Group is a combination of five units operating at different locations for the purpose

of manufacturing wide range of yarns and sugar. The first of which was incorporated in the

year 1990. The group business develops in the areas keeping in view the demand of the

customers. The group recently started its business in the field of information technology by

offering software development and marketing services in Pakistan.

The manufacturing of a high quality product starts with raw material sourcing and needs to be

continued in the spinning process. Our top quality yarns are manufactured with the latest

technological equipment available and are continuously adapted to new developments. We

constantly search for improvements and make sure that our findings are immediately

introduced into our production process. The entire manufacturing process is computer-

monitored which allows us to detect and eliminate irregularities immediately. The winner is

our customer. Thanks to its perfect yarn structure, our yarns can be processed in exclusive

textiles without facing problems.

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Customers of Tayyab Textile:

Tayyab Textile has grasped an extensive range of customers in U.S.A. and Europe. They are
exporting quality garments to famous brands all over the world. Main customer Range of
Tayyab Textile is

     

Carhartt Dockers Fruit of the Loom Foot Locker

     

     

JCPenney Kohl's Levi's Nautica

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III Business volume

IV No of Employee

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V Product Line

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Yarn:
To produce our cotton yarns, only the best raw material is acceptable. We are exclusively
using the finest cotton fibers from the world's preferred cotton growing areas. To make sure
that every single bale meets our strict requirements, all cotton is tested and approved by our
specialists before shipment. In cotton processing, we require very stable properties of the
cotton blend, which in turn allows continuous yarn shipments to be mixed at the customers'
side without facing problems.

Fabric:
One of the largest Fabric facility in Pakistan having the capability to produce all kinds of
knitted fabrics in 100% cotton & blends.

Knitting:

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To make (a garment, fabric, etc.) by inter-lockingloops of one or more yarns either by hand w
ithknitting needles or by machine.

Types of Knitting:

 Single knit
 Single Jersey
 Pique
 Fleece
 Flat knit
 Collar & Cuffs
 Flat Knit Panels
 Strippers
 Feed Striper
 Auto Striper
 Engineered Striper
 Double knit
 1x1 Rib
 Variegated Rib
 Interlock
 Textures
 Herring Bones
 Pique Jersey
 Waffles
 Jacquards
 Mini Jacquard

Garments:

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 Tayyab Textile is a leading apparel company in Pakistan having expertise &
machinery capable of transforming customer ideas into superior quality garments, which are
taken as the most famous brands in the world.

Countries of Export:

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Tayyab Textile is making a good effort to increase the market share. Today company is
exporting its products to many countries like,

 USA.
 Hong Kong
 Japan
 Germany
 Malaysia
 Singapore
 Korea
 Thailand

5. Organizational Structure:

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I. Tayyab Textile is consisting of the following DEPARTMENTS;

1. Merchandising
2. Production Planning & Control (PPC)
3. Industrial engineering
4. Production
i. Cutting
ii. Stitching
iii. Finishing
iv. Packing
v. Shipment
5. Quality assurance
6. Quality control
7. Human Resource
8. Information Technology (IT)
9. Procurement
10. Finance
11. Forwarding
12. Stores
13. Marketing
14. Transportation
15. Compliance

II. Main Offices:

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Head Office

58/B, 2nd Floor 62-Mozang Road, Near Safanwala Chowk, Lahore.

Tel: (92-42) 6302445
(92-42) 6312485

Faisalabad Office

21/1, Bilal Road, New Civil Lines, Faisalabad.

Phn : +92 41 263 3163

Fax : +92 41 263 3162

III. Comments on the Organization Structure:

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Tayyab Textile strive to lead in creating, developing and manufacturing of knitted apparel
products right from basic to highly fashioned garments thus responding to emerging trends in
the industry. They translate conceptual ideas of our customers into reality and shape them
through its technical bent and professional acumen. The team here strongly believes that
Customer satisfaction is the essence of business today. Tayyab Textile has the technology
with expertise, products with knowledge and most importantly the right mindset to achieve
total customer satisfaction.

6. Structure of Finance Department:

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I. No of Employees:

Tayyab Textile Finance Department consists of

38 employees at different level with different job descriptions

II. Finance& Accounting Operations

1. Maintaining the data base of accounts department

2. Presentation of Financial Statements

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 3. Variance Analysis
4. Production vs. Shipment analysis
5. Analysis on Loss and Profits
6. Performance Evaluation Reports
7. Monthly Stock Reports of all Units & Stores
8. Conduct of audit
9. Order wise profit and loss account and their analysis
10. Checking of wage and salary
11. Procurement bills
12. Purchase bills
13. I.T bills
14. Machine bills
15. Dyeing
16. Allowances
17. Overtime
18. EOBI
19. Marriage and death
20. Extra payment

7. Function of Finance Department:

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 I. Accounting Systems:

Tayyab textile have the set of manual and computerized procedures and controls that provide
for identifying relevant transactions or events; preparing accurate source documents, entering
data into the accounting records accurately, processing transactions accurately, updating
master files properly, and generating accurate documents and reports.

II. Finance Systems:

Tayyab textile has a vertical unit including yarn to stitched garments. To meet the
requirement of money for its manufacturing and selling expenses Tayyab finance system help
to arrange all necessary amount in all field and all departments. Most common tool of this
organization is short term loans or finances. In detail they acquired loan or finance against
those purchase orders that came from buyers and will be shipped latter to these buyers
approximately with in three or four month. Due to this heavy volume of goods produced and
sold this kind of loan required to full fill the requirement of factory overheads.

III. Use of Electronic data in Decision Making:

Tayyab Textile Marketing and other official use electronic data in decision the examples
are as follows:-

a. PowerPoint presentation on projector

b. Product pricing with buyers on internet
c. E-Mail system info@tayyabgroup.com
d. Oracle web based information system.

The Major Kinds of Funds Mobilization are as under:

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 i. Creditors Payments Rs. 49.9 Million
ii. Salaries, wages and other benefits Rs. 5.0 Million
iii. Distribution, Selling , Administrative & General Expense Rs. 26.34
iv. Million, Direct Material Rs. 227.50 Million

IV. Generation of Funds:

Tayyab Textile Is an exporter of Apparel product all over the world. The foreign

remittance received in USD by bank and the banks pays this amount to Tayyab Textile in

Pak Rupees. The figure of per month average sale is Rupees 510.00 Million.

V. Source of Funds:

The major source of Tayyab Textile Is an export / Sales and other source of funds are
banks for the purpose of deposits, receiving of remittance, loans etc.

VI. Allocation of Funds:

The head office of Tayyab Textile provide funds to all of its sites , offices and units as per
their demand , the sites which includes Apparel Division , Mills , Lahore Office,
Faisalabad office send demand of required amount regarding expenses , then head office
have the responsibilities to arrange finance / money as per desire of its sites or offices.

The Example of per month expenses are as under:

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  Apparel Division Salaries, Wages & Factory Overhead Rupees.
140.00 Million
 Mills Rupees. 80.00 Million
 Lahore Office Rupees. 1.40 Million

8. Critical Analysis:
I. Financial Analysis:

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 Balance Sheet
Tayyab Textile Mills Limited
As on 30 June
Rupees in Thousand's
2015 2014 2013 2012 2011
EQUITY AND LIABILITIES
SHARE CAPITAL AND RESERVES

Authorized share capital @ Rs. 10 each

1,250,000 1,250,000 650,000 650,000 650,000
Preference Share @ Rs. 10 each
600,000 600,000 600,000 600,000 600,000

1,850,000 1,850,000 1,250,000 1,250,000 1,250,000

Issued, subscribed and paid-up share capital

948,333 953,333 995,000 1,008,333 1,075,000
Reserves
5,507,259 4,865,452 4,111,967 3,372,221 2,713,378
Total equity
6,455,592 5,818,785 5,106,967 4,380,554 3,788,378

Surplus of revaluation of freehold land

606,233 606,233 606,262 379,332 379,420

Non-Current Liabilities
Long term financing
949,443 1,523,918 2,182,436 2,484,997 1,254,840
Liabilities against assets subject to finance lease
93,849 87,331 115,227 108,710 110,683
Deferred liabilities for gratuity
431,923 426,889 314,360 257,072 223,885

1,475,215 2,038,138 2,612,023 2,850,779 1,589,408

Current Liabilities
Trade and other payables
2,205,160 2,445,831 2,278,636 2,111,193 2,012,273
Accrued mark-up
155,647 224,442 184,305 173,918 183,842
Short term borrowings
11,044,430 9,933,466 7,590,117 5,088,907 6,096,208
Current portion of non-current liabilities
750,675 810,797 729,873 748,767 705,285
Provision for taxation
278,037 235,845 222,712 181,762 214,978

14,433,949 13,650,381 11,005,643 8,304,547 9,212,586

Total Liabilities

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 15,909,164 15,688,519 13,617,666 11,155,326 10,801,994

TOTAL EQUITY AND LIABILITIES

22,364,756 21,507,304 18,724,633 15,535,880 14,590,372

ASSETS
Non-Current Assets
Property, plant and equipment
6,582,729 5,772,898 5,522,095 4,749,775 4,669,160
Investment in Associate
Long term advances
713 3,819 6,054 5,008 3,738
Long term security deposits
50,183 50,707 35,104 26,259 17,481

6,633,625 5,827,424 5,563,253 4,781,042 4,690,379

Current Assets
Stores, spare parts and loose tools
1,010,124 1,137,030 906,634 853,101 631,018
Stock in trade
5,275,563 7,215,963 6,501,520 4,646,583 4,895,990
Trade debts
6,911,990 5,415,608 3,832,218 3,550,116 2,964,896
Loans and advances
315,190 574,559 719,235 284,891 185,345
Short term deposits and prepayments
550,694 497,242 410,969 335,800 291,671
Other receivables
1,106,224 1,000,862 871,434 541,295 609,077
Cash and banks bank balances
1,167,579 444,849 525,632 925,384 701,416

16,337,364 16,286,113 13,767,642 11,137,170 10,279,413

TOTAL ASSETS
22,970,989 22,113,537 19,330,895 15,918,212 14,969,792

Vertical Analysis:

Balance Sheet

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 Tayyab Textile Mills Limited
As on 30 June
Rupees in Thousand's
2015 2014 2013 2012 2011
EQUITY AND LIABILITIES
SHARE CAPITAL AND RESERVES

Authorized share capital @ Rs. 10 each

1,250,000 1,250,000 650,000 650,000 650,000
Preference Share @ Rs. 10 each
600,000 600,000 600,000 600,000 600,000

1,850,000 1,850,000 1,250,000 1,250,000 1,250,000

Issued, subscribed and paid-up share capital 4.2% 4.3% 5.1% 6.3% 7.2%
Reserves 24.6% 22.0% 21.3% 21.2% 18.1%
Total equity 28.8% 26.3% 26.4% 27.5% 25.3%

Surplus of revaluation of freehold land 2.7% 2.7% 3.1% 2.4% 2.5%

Non-Current Liabilities
Long term financing 4.2% 6.9% 11.3% 15.6% 8.4%
Liabilities against assets subject to finance lease 0.4% 0.4% 0.6% 0.7% 0.7%
Deferred liabilities for gratuity 1.9% 1.9% 1.6% 1.6% 1.5%
6.5% 9.2% 13.5% 17.9% 10.6%
Current Liabilities
Trade and other payables 9.9% 11.1% 11.8% 13.3% 13.4%
Accrued mark-up 0.7% 1.0% 1.0% 1.1% 1.2%
Short term borrowings 49.4% 44.9% 39.3% 32.0% 40.7%
Current portion of non-current liabilities 3.4% 3.7% 3.8% 4.7% 4.7%
Provision for taxation 1.2% 1.1% 1.2% 1.1% 1.4%
64.6% 61.8% 57.1% 52.2% 61.4%

Total Liabilities 71.1% 71.0% 70.6% 70.1% 72.0%

TOTAL EQUITY AND LIABILITIES 100.0% 100.0% 100.0% 100.0% 100.0%

ASSETS
Non-Current Assets
Property, plant and equipment 28.7% 26.1% 28.6% 29.8% 31.2%
Investment in Associate 0.0% 0.0% 0.0% 0.0% 0.0%
Long term advances 0.0% 0.0% 0.0% 0.0% 0.0%
Long term security deposits 0.2% 0.2% 0.2% 0.2% 0.1%
28.9% 26.3% 28.8% 30.0% 31.3%
Current Assets
Stores, spare parts and loose tools 4.4% 5.1% 4.7% 5.4% 4.2%

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Stock in trade 23.0% 32.6% 33.6% 29.2% 32.7%
Trade debts 30.1% 24.5% 19.8% 22.3% 19.8%
Loans and advances 1.4% 2.6% 3.7% 1.8% 1.2%
Short term deposits and prepayments 2.4% 2.2% 2.1% 2.1% 1.9%
Other receivables 4.8% 4.5% 4.5% 3.4% 4.1%
Cash and banks bank balances 5.1% 2.0% 2.7% 5.8% 4.7%
71.2% 73.5% 71.1% 70.0% 68.6%

TOTAL ASSETS 100.0% 100.0% 100.0% 100.0% 100.0%

II. Organization Analysis:

During my study with Tayyab Textile Mills Limited I have studied whole procedure
form receiving orders to shipment. There are several departments involved in the
production process of garments.

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 1. First of all the marketing personal coordinate with customer and get PO
(Purchase orders) from buyers with settled prices , term and conditions etc. of
the products.
2. After receiving of a Purchase Order the Merchandiser (Marketing Personal)
deliver the order to PPC (Production Planning & Control) Department for
planning and execution. For execution of order.
3. PPC make a production plan and forward to Mills for yarn and Fabric
production and cutting.
4. When the process of cutting is completed, the next step is to forward these
Induction/Cut Parts to stitching units (CMT). In stitching units there are three
departments involved to complete the goods i.e. Stitching department,
Finishing Department & the last one is Packing Department.
5. After completion of products the export department of Tayyab textile Mills
Limited will have the responsibility to arrange transporter as well as shipping
lines to deliver the cargo on the desired destination of the buyers like USA,
Europe, Gulf, Far-East.

III. Profit and loss Accounts of Tayyab Textile Mills:

Profit and Loss Account

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 Tayyab Textile Mills Limited
For the year 30 June 2015
Rupees in Thousand's
2015 2014 2013 2012 2011

Sales
26,967,899 24,371,128 22,744,589 19,274,793 18,524,930

Cost of Sales (22,988,317

20,435,316 18,838,816 16,052,482 15,552,188
)
Gross Profit
3,979,582 3,935,812 3,905,773 3,222,311 2,972,742
Distribution Cost
(1,472,973) 1,159,311 1,270,852 910,442 828,796
Administration Expenses
(477,492) 443,232 385,512 310,523 283,558
Other Expenses
(54,498) 61,996 59,613 65,641 53,016

(2,004,963) 1,664,539 1,715,977 1,286,606 1,165,370

1,974,619 2,271,273 2,189,796 1,935,705 1,807,372

Other Income
60,424 45,327 45,486 62,863 60,649
Profit from operation
2,035,043 2,316,600 2,235,282 1,998,568 1,868,021
Finance Cost
(1,002,893) 1,142,456 1,105,926 999,338 923,074
Share of loss from
Associate - 160
Profit before Taxation
1,032,150 1,174,144 1,129,196 999,230 944,947
Provision for Taxation
(278,037) 235,845 222,838 163,864 214,978
Profit after Taxation
754,113 938,299 906,358 835,366 729,969

Profit and loss Accounts (%) of Tayyab Textile Mills:

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 Profit and Loss Account
Tayyab Textile Mills Limited
For the year 30 June 2015
Rupees in Thousand's
2015 2014 2013 2012 2011

Sales 100% 100% 100% 100% 100%

Cost of Sales -85% -84% -83% -83% -84%
Gross Profit 15% 16% 17% 17% 16%
Distribution Cost -5.5% -4.8% -5.6% -4.7% -4.5%
Administration Expenses -1.8% -1.8% -1.7% -1.6% -1.5%
Other Expenses -0.2% -0.3% -0.3% -0.3% -0.3%
-7.5% -6.9% -7.6% -6.6% -6.3%

7.5% 9.1% 9.4% 10.4% 9.7%

Other Income 0.2% 0.2% 0.2% 0.3% 0.3%
Profit from operation 7.7% 9.3% 9.6% 10.7% 10.0%
Finance Cost -3.7% -4.7% -4.9% -5.2% -5.0%
Share of loss from Associate 0.0% 0.0% 0.0% 0.0% 0.0%
Profit before Taxation 4.0% 4.6% 4.7% 5.5% 5.0%
Provision for Taxation -1.0% -1.0% -1.0% -0.9% -1.2%
Profit after Taxation 3.0% 3.6% 3.7% 4.6% 3.8%

IV. Behavior of the Organization

The behavior of the Tayyab Textile team is very friendly with each member of his
team and much auspicious to the all internees of different Universities of Pakistan.

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 The Human Resource Department manages the student’s training with different
department of this organization like their lectures & visit to all departments. The
official of Human Resource department make scheduling of all internees badge for
training purposes with different departments as per required experience in the specific
field of the students. The Human Resource department has arrangement of conference
room & projector and other necessary equipment of presentation to the internees.

The normal procedure of Tayyab textile recruitment is that they hire fresh MBA’s and
make preference to those MBA’s who already completed their internship with Tayyab
Textile.

V. Future Prospect of the Organization:

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The Tayyab Textile Mills Limited follows consistent policy of investing in expansion,
improvements through R & D and upgrading its existing capacities regarding new
business opportunities. It is this consistency that has kept the company on the frontline of
the knitwear Industry in Pakistan and all over the world. The company’s future plans are
to:

 Install additional Stitching Machines to increase the existing plant capacity

Approximately 1000 Machines in coming year.
 Tayyab Textile will try to increase the production of yarn & fabric for coming
targets of business.
 The normal production efficiency of Tayyab during last year is up to 70% of the
total available capacity but they will increase their efficiency 80% to 85% in coming
year.
 The average per minutes cost of last year was $.07 but they have planned to
decrease this cost up to $.05.
 Review, balance and modernize the existing fabric processing facilities and install
modern technology in color mixing, screen mixing and in the lab.
 Balance and modernize the existing dyeing and printing facilities and enhance the
finishing capacities
These plans are besides managerial, technical and financial support that the company will
continue to provides to its group sister companies whenever the need arises or called upon
to do so; within the permissible legal framework and provisions of relevant law of the
company.

9. SWOT ANALYSIS:

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 SWOT stands for

Strengths, Weaknesses, Opportunities, and Threats.

SWOT analysis is a tool for auditing an organization and its environment. It is the first
stage of planning and helps marketers to focus on key issues. Once key issues have
been identified, they feed into marketing objectives. It can be used in conjunction
with other tools for audit and analysis, such as PEST analysis and Porter's Five-Force
analysis.

Strengths and Weaknesses are internal factors.

Internal factors

Strength of Internal factor:

1. ISO 9002 Certification.

2. WRAP Certified
3. Vertically integrated.
4. High quality products.
5. Excellent market image in the local and international market.
6. Highly qualified management.
7. Adequate financial resources.
8. Competitive advantage.
9. Adopting information technology.
10. Recruitment on merit.
11. Loyal customers.
12. Skilled Labor.
13. Broad and motivational vision.
14. Back Track System

Weakness  of  Internal factor: 

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 1. De-motivated Staff.
2. Less promotional activities
3. Insufficient benefits for the employees.
4. Centralized management system.
5. Lack of proper allocation of work
6. Communicational gap among different departments.
7. Increased employee turnover.
8. Low production capacity
9. High cost of production.
10. Non-Corporative culture.
11. Stereotype machinery for processing.

External factors

Opportunities and Threats are External factors.

Opportunities of  Eternal  factor: 

1. Can expand its division such as entering in weaving sector also.

2. Can reduce the cost by proper utilization of resources.
3. Can hire well-educated and experienced staff.
4. Can capture new market segment.
5. Full potential of entertaining the local market.
6. Can introduce its own label in domestic as well in international
market

Threats  of  External  Factor :

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 1. Entry of new competitors just like China & India.
2. Buyer need and demand changes.
3. Political instability.
4. Change of government policies.
5. Low price offered by competitor.
6. Price wars with competitors.
7. A competitor has a new, innovative product or service.
8. Competitors have superior access to channels of distribution.
9. Taxation is introduced on your product or service.

10. Conclusion:

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Tayyab Textile is a big name in knitted garments. Its working environment is simply the best
in Faisalabad. The company has fully equipped cutting, stitching and packing units. Its
quality assurance system is one of the best in Pakistan. The company’s infrastructure is good,
offices are fully furnished. The company is centrally air-conditioned. The company is
working in “Papers less” environment. Computerized bar coding and back tracking
system are there. Company has good warehousing capacity for fabrics and garments.

Customer portfolio of the company is very broad. World leaders in Apparel are working
with Tayyab Textile Company is engaged in merchandising and its merchandising
department is very efficient for taking orders and fulfilling them accordingly. Company’s
decision making is centralized. All major decisions are made by higher management and
implemented by lower management. Now Company is giving preference to its personals
separate personnel department is established and a ladies wing is also incorporated.

Financially the company is performing well. Its sales are increasing and its profits are rapidly
growing. Simply we can say that Tayyab Textile Apparel Division is performing well.

Following conclusion is based on my learning during the stay period of Tayyab Textile.

1. The overall acceptable environment but needs to be improved.

2. Decentralization of authority.
3. Good image in the international market.
4. Good reputation of product in the mind of customer.
5. Well defined and systematic recruitment criteria.
6. Lack of authorities in the hands of Managers.
7. Highly Qualified Management.
8. Tayyab has one of the best Oracle data base & I.T System.
9. Tayyab is one of the best apparel producer in Pakistan, most probably number 1 in
PAKISTAN and number 3rd in ASIA.

11. Weekly Progress Report:

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Internship details and working overview:

Time period of my internship was 6 weeks. My Internship schedule is given below:

Time at Tayyab is calculated in 24 Hour Format.

Day Time IN Time OUT Break Time IN Time OUT Stay Time
Monday 09:00 13:00 1-Hour 14:00 17:00 7:00 Hours
Tuesday 09:00 13:00 1-Hour 14:00 17:00 7:00 Hours
Wednesda 09:00 13:00 1-Hour 14:00 17:00 7:00 Hours

y
Thursday 09:00 13:00 1-Hour 14:00 17:00 7:00 Hours
Friday 09:00 13:00 2-Hour 15:00 18:00 7:00 Hours
Saturday 09:00 13:00 1-Hour 14:00 17:00 7:00 Hours
Sunday Weekly Weekly rest Weekly Weekly rest Weekly rest

rest rest

Week -1:

I spent my first Week with MR. IMRAN KHAN from whom I learned about the Daily
Production Analysis, how many garments are in process in a day. I also learned about the

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WIP (Work in Progress) report that is being updated on daily basis. I also learned about how
to calculate the each and every piece that is in Production at any stage.

The Kind of Stages are

 Induction
 Sewing
 Finishing & Packing
 Packed
 Leftover

Cost Per Minute:

It is the cost that being expensed by each Unit per minute. How it is
calculated is show below in the Formula.

CPM$ = Conversion Cost / Minutes Produced / Conversion Rate

Cost Per Minute:

Daily Production Analysis:

I also learned that the Department of Finance has to keep check and balance on each
Production Unit so they could analyze their work and calculate their Work/production
Efficiency. Work/Production efficiency is calculated by the formula given below:

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Efficiency % = Minutes Produced / Available Minutes * 100

Daily Production Analysis:

Week-2:

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I spent my first Week with Mr. Muhammad Hammad from whom I learned about Salaries
& Wages Verifications. Wages of the People who work on Contract and other benefits also
like EOBI, Social Security, Gratuity, Loans and Leave Encashment.

1. Employee Salaries detail for the given period

2. Contract Wages
3. Per Piece Rate Wages
4. Other Benefits
For Example (Social Security, EOBI, Gratuity etc.)
5. Leave Encashment, loans etc.

Salary Comparison for the Month of Feb 16 & March 16.

Week-3:

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During my third week With Mr. Adnan Mahmood I learned about Policies regarding Fuel&
Maintenance, Mobile Allowance, Verification and maintaining record of Utility Bills For
Example WAPADA, Sui Northern Gas, WASA, PTCL etc.

Summary of diesel and Electricity Bills are as follow:

Week-4,5:

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My Fourth Weeks was with the Costing and budgeting department Mr. Zulfiqar Warriach
and the newly recruited Mr. Muhammad Zia Mahmood. In the time that I spent with them,
I learned and had a practical experience of Provisional / Budgeted Cost of Fresh Purchase
Orders, Costing of Accessories, yarn, fabric & other items required for purchase orders. I also
learned that they also have interaction with the marketing department for the Provision of
Budgeted cost of orders required by marketing department/ Person. They also help the
Finance department for the purpose of new customers and orders.

Summary of Budgeting Cost:

Week-6,7:

During my time while working with Mr. Zeeshan Ashraf and Mr. Faraz Hashmi. I had
another face of Finance department to see, where there was direct dealing with the employees

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and all the people working in textile. I learned that how Verification and approval of patty
cash vouchers is Done. How Verification and approval of payments like travelling,
entertainment is handled and how Verification of Other Expenses For Example Freight
charges, Advances etc. are verified and recorded.

Week-8:

During my last week at Internship, I was With Mr. Sultan Mahmood. During my there, I
learned the Closing of Purchase Orders (PO) which are shipped / dispatched to customers.

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Cut-to-Ship Analysis of Closed orders. I also learned about Maintaining and analysis of Air
Freight (Air Collect & Air Prepaid) Cost & Short Shipment Analysis and maintaining the
systematic transaction of each process / entry of purchase orders.

Cut-to-Ship Analysis:

12. Recommendations

1. Textile must focus on continuous process improvement.

2. Internal employees must be satisfied first.
3. People should be assigned jobs according to their qualification.

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 4. The organization should expand production to meet the orders in time.
5. There is a centralized structure so they must focus on team work.
6. There is a need of more intensive promotional campaigns.
7. They should be reward system and have better compensation benefits
for the employees.
8. Need to develop a culture of cooperation and teamwork.
9. The misbehavior of some responsible managers with workers.
10. Proper training at each level should be given to the employees.
11. Special incentives like bonus on Eid and on other special days should
be given to the employees.
12. Should hire well-educated, trained, and experienced young
Professionals.
13. There should be a complete follow up of ISO 9002 certification
according to desired quality standards.

13. Reference and sources Used:

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I am especially thankful to all the People in the Finance Department, who provided their great
cooperation in spite of their personal engagements and gave their valuable suggestions during
my research work.

 DGM Finance
( RAJA AMJAD ALI )
 Sr. Manager
( QASIM MAHMOOD )
 Dy. Manager
( ZAHOOR AHMAD )
( AFTAB AHMAD )

 Assistant Manager
( ASIF IMRAN )
( SAEED AHMAD )
( ZULFIQAR ALI )
( ADNAN MAHMOOD )
( ATTA UL MUSTAFA )
( MUHAMMAD IMRAN KHAN)
(MUHAMMAD HAMMAD )
MUHAMMAD IMRAN SALMAN
MUHAMMAD RASHID
MUHAMMAD HASHIM

 Accountant & Officer

( MUHAMMAD ZIA )

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 ( SULTAN MAHMOOD )
NAQASH ASGHAR
ARSLAN

 Assistant Accountant
 ( HABIB ULLAH KAHN )
( FAREED SAQIB)

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