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Report on “Pathao Ltd.

Team: SUGAR
Saiful Kabir Tonmoy
Ahsan Nasiruddin Osman
Maimuna Rahman
Shuriya Khan

Submitted To:
Tanya Ahmed

MGT 212
Section 11

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Acknowledgement:
First of all, we would like to thank the Almighty Allah for showing mercy on us to
be able to write this report successfully. Thanks to all people who helped us to
accomplish this report. We would like to show our gratitude to all the people who
gave us broad insight of the fastest growing ride sharing company in Bangladesh.

We would like to show our gratitude to our supervisor Anwarul Islam Munna for
his earnest cooperation. While completing this report, we were facing so many
difficulties, but he tries to help us despite of his very busy schedule. Again, we
would like to thank our team member for doing their best while writing this report.

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Table of Contents
Acknowledgement:......................................................................................................................................2
1. Introduction:........................................................................................................................................4
1.1 Company Profile................................................................................................................................4
2. Planning...............................................................................................................................................4
2.1 Vision & Mission of the company:.....................................................................................................4
2.2 Focus of the company:.......................................................................................................................5
2.3 Environmental Analysis:.....................................................................................................................6
Internal Environment of Pathao...........................................................................................................6
External Environment of Pathao..........................................................................................................6
2.4 SWOT Analysis...................................................................................................................................7
2.5 SWOT Matrix......................................................................................................................................9
2.6 Porter’s Five Forces:.........................................................................................................................10
3. Organizing..........................................................................................................................................11
3.1 Organizational structure of the company:.......................................................................................11
3.2 Managers by the hierarchy..............................................................................................................11
3.3 Organizational Design:.....................................................................................................................12
3.4 Human Resources and Administration:............................................................................................12
3.5 Recruitment process:.......................................................................................................................13
3.6 Training and development:..............................................................................................................13
4. Leading..............................................................................................................................................13
4.1 Motivating Employees:....................................................................................................................13
4.2 Management Issues (conflicts)........................................................................................................14
5. Controlling:........................................................................................................................................14
5.1 Company Objectives........................................................................................................................14
5.2 Benchmarking..................................................................................................................................15
5.3 ISO 9001..........................................................................................................................................15
6. Conclusion:........................................................................................................................................15
6.1 Performance results.........................................................................................................................15
6.2 Market Share Analysis......................................................................................................................15
6.3 Competitive Strategy.......................................................................................................................16
6.4 Corporate Social Responsibility........................................................................................................16
7. Reference...........................................................................................................................................17

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1. Introduction:
1.1 Company Profile

In the very first opening ‘Pathao’ has started up their business with the courier
service which is growing very fast in Bangladesh. It also has the service of ride
sharing, food delivery and online parcels. In 2015 this company was established by
three entrepreneurs and become a countrywide brand. As Pathao had started up the
business with the courier service but now they are the leading competitor in ride
sharing service. Recently Pathao was funded by Gojek, which is an Indonesian ride
sharing company. Now-a-days people use this app for their every single use. In the
end of the 2016 they were able to break the record where the technology touched
millions. It becomes everyone’s part of life by which people can share their rides to
go anywhere within a shortest time and also can take the food delivery service.

2. Planning
2.1 Vision & Mission of the company:

In our country like 2-3 years back the idea of ‘ride sharing’ service was newly
added and in Bangladesh Pathao is one of the inventors of bike ride sharing
service. There are various international investors are linked with Pathao. Primarily
‘Pathao’ has started with country’s one of the consistent goods transfer service after
that it has moved their business to transportation sharing and parceling services.
They are also designing more new features under this brand name. The founders of
Pathao are Hussain M Elius, Shifat Adnan and Fahim Saleh and their vision is:
“Revolutionize traffic congestion and logistics systems through use of

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technology”. Before introducing their selves internationally now they are rapidly
spreading their operations to Dhaka, Chottagram and Sylhet.

Like some other apps Pathao also accepted the challenge to provide all the services
under one app. All of its services will be stored under a combined smart phone
application. Till now this app has been installed more than one million time.

Pathao is continuing their business with the mission ‘Moving Bangladesh’. Pathao
is targeting to be the leader of local market developing trained, reorganized fleet of
motor bikes and cars by guaranteeing the most consistent method of transportation
on the roads of Bangladesh. Reasonable charge and accessibility of immediate
riders is becoming everyone’s first choice to travel fastly amongst the internet and
smart phone users of Bangladesh to reach their chosen destination with hassle free
services. Beside this also many small and large logistic suppliers joined with them
as a partnership to support door to door goods deliveries on a daily basis. Now-a-
days the food delivery mechanism is becoming famous among majority sectors of
major metro cities like Dhaka, Chottagram, Sylhet and they are trying to recover
more.

2.2 Focus of the company:


As Pathao has five types of services in Bangladesh, so for now they focusing on
their main competitors to make challenges with them. They are just trying to focus
on the customers need. Pathao is now working on new services to be more popular
in Bangladesh and maybe worldwide. There is some main competitors company of
Pathao-

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Food Panda Hungry Naki Shohoz

Obhai Uber Sheba Food

2.3 Environmental Analysis:

Internal Environment of Pathao


Pathao has a very adjusting environment from their internal side. Each and every
employee has a very good communication with their managers. They have an open
and free office layout as their work environment like any other technological
company of the world. Mainly ‘Pathao’ focuses on team work, by which every
single member from a team can interact with each other and also the members of
two separate teams can have some cross interactions. Any employee can move to
the oriented floors and cooperate with other team members. Their all kind of work
is simply done by ‘Email’ and they also use ‘WhatsApp’ as their extra
communicational uses.

External Environment of Pathao


The external environment of Pathao is so strong. They use dynamic ways for their
stakeholders. There are many influences that can reduce the use of Pathao. Like
Pathao was blamed for stealing personal information of the customers. For this
many users of Pathao stopped using this app for their own privacy. Also when there

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is a crisis of transportation the rating of Pathao rides becomes higher on festivals.
There are many features that can mess up the position of the company very easily.

2.4 SWOT Analysis

i. Strength

At the very first beginning


Also providing three more Currently Pathao is
Pathao started the the
services.They are- generating over a million
ride sharing service in BD
courier,food delivery and rides per month by their
for which its majority
logistics solutions 50k(approximately) riders
became higher

In BD Pathao has their


Like some other apps
ride sharing service in 3 Now days it's also
cities. They are covering our neighbour they also follows "All In
One App" service for the
Dhaka,Chattogram and country Nepal customers betterment
Sylhet

In Bangladesh Pathao is
the first ride sharing
service

ii. Weakness

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Most of the riders Riders are not
Road accident rates came from villages inspected properly
are so high and most of them are and they are not well
uneducated trained

Their response
Most of the time the
towards the
users faces GPS
customers or the
problem
users are very poor

iii. Opportunities

As it is available There is no gender


Most of the riders are
everywhere people issues and no
low cost riders
prefer Pathao more discriminations

It's demand is high Opportunities are


Pathao has a positive
for those people who available for further
support from our
wants to go places in any kind of
Government
a shortest time transformations

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iv. Threats

If the government
As Pathao is in the
rises up the tax The increasing
growth stage so it has
amout, then they will charges will reduce
a huge threat of new
also need to increase the users number
entrants
their charges

Several account calls The road conditions


up in a same time for of BD is getting worst
this sometimes this and that's why
app doesn't work accidents causes
properly more

2.5 SWOT Matrix

Strengths Weakness
1. Convenience
1. GPS Service
2. Vast Amount of Riders 2. Security Terms
3. Reasonable 3. Illiteration of the Drivers
4. First Mover
SWOT Matrix
Oppotunities Threats
1. Fast Growing Industry 1. Road Conditions
2. Strategic union with E- 2. New Entrants
commerce sites
3. Application Bugging Problem
3. Vast Demand Rising

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2.6 Porter’s Five Forces:
1. Threat of new entrants: There are many new competitors on the similar
services that Pathao is providing. So it can be a huge threat for Pathao in
several ways. But beside all the threats till now Pathao has its own fame in
‘Ride Sharing’ service.
2. Threat of substitutes: By substituting Pathao’s service other opponents
are trying to catch the attention of the customers by sending appealing
offers, discounts and various new services. Like Food panda and Hungry
Naki has more restaurant options than Pathao food service. Uber has the
‘Premium’ car ride service.
3. Bargaining power of buyers: Users has more options to select their
service as facilities are increasing. They can select each one dependable
service on their perception. The buyers cannot bargain in such kind of
services as it is based on app services. Still buyers tend to take the cheapest
one as each of the prices differs from other services.
4. Bargaining power of sellers: There are around a good number of
service providers on every single service. Each has its particular strategies
over another on various terms.
5. Competitive Rivalry: As we have already mentioned that there is a good
quantity of competitors in each service. So their quality differences are
different from one another. For example- Uber is reflected as luxury car
rides and responsive customer services. Instead of ‘Shohoz Rides’ offers
cheap bike rides. Sometimes ‘Food Panda’ provides 15% discount and free
delivery services. Each participant has its individual customers but after
introducing other brands and the recent privacy indignity of Pathao and their

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weak customer support and uninspected drivers made them loose a good
number of users.

3. Organizing
3.1 Organizational structure of the company:
 Flat organization, management team comprises 20 staff

 All reports to CEO,CFO and COO’s core team

 No limits on hierarchical organization structures

 Twenty managers at first stage through travel, food and courier. 60 second
level managers reporting to managers at the first level.

3.2 Managers by the hierarchy

Pathao was originally created by 3 entrepreneurs and the names are- Fahim Saleh,
Hussain M Elius and Shifat Adnan; they are in the highest management of Patho.
By the hierarchy the names of the managers are in the below:

Sayeda Nabila
Mahabub,
Marketing
Shifat Adnan, Manager
CTO Md. Anwar
Sadad, VP,
Hussain M Elius, Design
CEO Kishwar
Hashmee, VP,
Pradeep Riders
Grewal, COO
Ahmed Fahad,
Junior VP

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Fig: Organogram of Pathao Ltd.
3.3 Organizational Design:
1. Technical

2. User experience

3. Payment and cost

3.4 Human Resources and Administration:


HR management:
 Resourcing Department

 Talent & training development

 salary & compensation

 cultural engagement

 business partner

The total number of pathao staff is 700 and they are strong committed to taking
pathao next point. Via their bike sharing division, pathao employs thousands of
people; they currently have fleet of 50000 bikes which means they indirectly
employ 50000 people.

Administrative Management:
The company is based on management administration. The ability of the
authoritative and the administration is to deal with the company, agreement,
specific leadership and even survey related to income. This office links with
numerous offices to ensure a seamless data and operations path. The pathao brunch
organization holds every representative’s record. This separation is additionally
preserved by the teamwork bolster.

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3.5 Recruitment process:
 Initial screening: candidates apply through website and online job portals

 Selection of candidates focused on test performance and additional


curriculum

 Multiple sets of interview, both formal and unstructured

 Rider quality: separate from employee quality

3.6 Training and development:


Pathao can plan the rider’s training program on protected motor cycle cycling. This
preparation should ensure healthy riding for both the customer and the driver. This
course will also address life traffic rules and the other ethical issues to be observed
by passengers in order to make the trip healthy and clean of abuse of any kind.

4. Leading
4.1 Motivating Employees:

As Pathao deals with a lot of people working in different departments,


they try to motivate their employees in some ways. They give their
employees a freedom and a work environment which is really friendly.
They give them the freedom to share any ideas which motivates
employees more towards their work.

4.2 Management Issues (conflicts)


Pathao is already doing great in terms of management procedure. They
have open communication approach, friendly and growth oriented
environment. However, there are some steps they can take to make sure
this healthy environment continues.

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For example, they can send their employees abroad as a team to visit
giant companies like Tesla, Amazon etc. to gather new experience and
specialized training.
Secondly, Pathao even after having a help line their response to
customer complains is not so good.

5. Controlling:
5.1 Company Objectives
With a hope to accelerate the establishment of digital
Bangladesh, Pathao provides an app-based solution through ride sharing,
food delivery and e-commerce logistics services. By harnessing the
power of technology, Pathao aims to provide all services in one
platform.

5.2 Benchmarking
Pathao benchmarks themselves with the international ride sharing
service Uber to evaluate their performance.
5.3 ISO 9001
Pathao is not ISO 9001 certified.

6. Conclusion:
6.1 Performance results
Pathao’s performance over the years has been thriving. Since their
journey began, they have signed up more than 100,000 drivers, over 1
million users and also has over 50,000 bikes registered under their
platform. As of April 2018, the company is valued at $100 million and
also launched its services in Nepal on September 2018.

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6.2 Market Share Analysis
Since its launch in 2015 Pathao has managed to capture a large market
share in comparison to its competitors. With multiple services being
provided all in one app, e.g. Pathao Food, Pathao Parcel, Pathao Courier,
along with their primary ridesharing service they have managed to have
a big portion of the overall market share for themselves. An article in
The Daily Star shows that Pathao Food dominates 80% of the market
share in food delivering service.

6.3 Competitive Strategy


Over the years Pathao is seen to have a competitive edge over its
competitors. Most of it is possible solely because they are the first
company to have provided hassle-free ridesharing environment in
Bangladesh. This has given them a brand image as well as reputation
and also a commonly known name is many households. Moreover, their
brand recognition aided them in performing well in other sectors as well,
such as Pathao food has 80% market share even though there were 2

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other companies with similar services launched prior to Pathao even
forming as an organization.
6.4 Corporate Social Responsibility
Due to the recent COVID-19 outbreak Pathao has taken a few initiatives
to show that they are committed to help the community. They have re-
introduced their Pathao “Tong” service, an on-demand essentials
delivery service, in response to the coronavirus pandemic along with
Pathao “Pharma” where users can order non-prescription and OTC
medicines through Pathao. Moreover, they have provided their own
employees with over 5000 masks and gloves and trained them to stand at
least three feet away from the door of a household they are delivering at
as a preventive measure.
Other notable CSR includes partnering up with Bidyanondo Foundation
with the aim to increase public awareness and support them with
logistical service to provide food to the poverty-stricken community.
And contributing to “Mission Save Bangladesh” another initiative taken
by Sheba.xyz to fight against the economic repercussion caused by
Coronavirus outbreak.

7. Reference

Islam, M. (2020). Meals by mail getting popular. Retrieved 25 April 2020, from
https://www.thedailystar.net/business/foodpanda-bd-pathao-online-food-delivery-services-getting-
popular-1714402

Committed to Help - Pathao. (2020). Retrieved 25 April 2020, from https://pathao.com/coronavirus/

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