Professional Documents
Culture Documents
04151813023
BSBA 4TH SECTION (B)
Strengths:
1) ISO 9001-2000:
Nishat textile has the certification of ISO 9001-2000 which means its quality
standards are its major strengths and hence it also fulfils the requirement of
international standard and has a great importance in the industry internationally
as well.
2) OKTEX 100:
Nishat also has the certification of oktex100 with itself which insures that it
doesn’t use any harmful chemicals.
3) Computerized machinery:
This textile giant is using the latest technology for the production of the highly
quality products which also enhances the production capacity of employees.
4) Skilled management:
The highly skilled management from all over the country has been hired by Nishat
and especially the foreign graduate people in their management contributing a lot
in the success of the NTM.
5) Financial position:
The owner of the NTM is one of the richest people in Pakistan and has the
adequate financial resources which mean the back of the NTM is very strong.
6) MIS:
NTM is fully equipped with the management information system through which
the employees and various departments are connected with each other and share
the data with the top management. So it is a very appreciable system.
7) Power generation plant:
The electricity power is a very immense issue in Pakistan so NTM has its own
power generation plants and producing the power not for itself only but also
selling it to the WAPDA
Weaknesses:
1) High production cost:
The resources are not being used properly and due to the economic crisis the
rates are going up rapidly and hence cost of production is increasing as well.
2) Bureaucratic organization:
Another weakness is the bureaucratic environment within the organization. The
upper management takes all decision ignoring the employee’s suggestions.
3) International market:
NTM has week international market because of china that is very well known in
the cost reduction and creating a big problem in the industry for the NTM
internationally and the market share price has gone down as well.
4) Employee benefits and rewards:
Nishat is not providing any kind of benefits or rewards even the medical
allowance and transport facilities are not given to their employees and this put
the productivity down and therefore there is the lack of motivation in the NTM.
Recommends:
Product expansion:
The very important opportunity for the nishat mill is that it should expand
its products in the form of knitwear. As NTM has plants, good market
position and strong financial back so it should avail this opportunity by
dealing in knitwear.
Low cost production:
The NTM should use the resources in a good way so that the production
can be reduced to a great extent and can maximum the profit ration.
International market:
NTM should take the benefits of global recession and has a chance to
increase its market share price internationally
better understanding of internal and external factors which could impact
the industry.
Increase business/sales activities by understanding your competitors’
businesses better.
Recognize potential partnerships and suppliers
I would suggest or recommend to NML the following things, which they
should be implemented at NML.
At NML, such bonus facilities are given only to production department. In
my point of view, they should provide these such bonus facilities other
departments as well, this act will increase the loyalty of their officers and
employees towards NML and it also can be motivating factor as well for
them.
Most important in my point of view that NML has policy of not to give any
stipend to the internees. I think they should give some stipend to the
trainees, this will encourage new trainees to come here and this will also
boost up their energies and they will work with more interest.
At NML, salary packages are not so good, that’s why employee turnover
rate is slightly higher. I suggest them that they should provide good salary
packages to their officers and employees for retaining them for the longer
period.
Favoritism should be eliminated and the recruitment should be done on
purely merit basis.
Decentralization of authority should be there. With the active participation
of all the management, level employees in the decision-making will be
fruitful for NML.
Proper training at each level should be given to the employees.
Special bonuses and incentives such as on Eid days should give to the
employees.
NML should hire trained and highly qualified young professionals.
NML should try to reduce their financial expenses.
The suppliers should be encouraged to supply NML manufactured items to
consumers.
The bargaining power of the buyers or customers, their traditions, income
and living standard should examine.
The company should keep a close watch on costs in areas such as research
and development, sales and services. The company may try to have low
cost structure compared with that of its competitors.
Promotion in lower and middle level is usually based on age not on
performance. Rate of promotion is also slow. So the employees feel
dissatisfaction.
Everyone at NML should be agree to follow three fundamental principles;
respect individuals, strive for excellence, and provide the best service.
Upper management should encourage the existing employees to go for
further training and special education; in near future it will be beneficial for
the company.
APPANDIX
Information of NISHAT MILL LIMITED