ENTREPRENEURSHIP

INTERM ASSIGNMENT MBA(5) GP- 1 (Evening)

CALIDAD Engineering

SUBMITTED TO: SIR HUMAYUN SHUJAH

SUBMITTED BY: FAHIM AFRIDI 1432-310504

1

Rs. Product Development and Reverse Engineering. 2 . 10 – 60 Million): Machines and Equipment Cost: 8 Million Workshop and Office Building Cost: 5 Million Inventory Cost: 3 Million Tooling and Hardware: 1 Million Running Capital: 2 Million Office equipment: 1 Million Statement of confidentiality of report: The information and data in this business plan are strictly confidential and are supplied on the understanding that they will be held confidentially and not disclosed to third parties without the prior written consent.Nature of business: Fabrication. Manufacturing. Statement of financing needed (Pk.

largely because of lower oil prices and record remittances from workers abroad.but growth slowed in 2008-09 and unemployment rose. Inflation remains the top concern among the public. and reducing dependence on foreign donors. an impoverished and underdeveloped country. Textiles account for most of Pakistan's export earnings. but during 2009 its current account strengthened and foreign exchange reserves stabilized . In addition. however.2% in 2009. Between 2004-07. GDP growth in the 5-8% range was spurred by gains in the industrial and service sectors despite severe electricity shortfalls . Since every walk of life is dependent of different engineering products. Sector. Although the economy of Pakistan is facing tough conditions but the sector growth is optimistic.8% in 2008. Although the cost of raw materials and overheads has increased immensely. the increasing demand of manufacturing the spare parts of Gensets and the accessories. the military product development process is never ending and innovations always are in the high end of demand. jumping from 7. has suffered from decades of internal political disputes and low levels of foreign investment.7% in 2007 to 20. poverty levels decreased by 10%. The demand of the Manufacturing the Engineering products are always there both in Private and Govt. Other long term challenges include expanding investment in education. the Pakistani rupee has depreciated since 2007 as a result of political and economic instability. but Pakistan's failure to expand a viable export base for other manufactures have left the country vulnerable to shifts in world demand. healthcare. 3 . The government agreed to an International Monetary Fund Standby Arrangement in November 2008 in response to a balance of payments crisis.Industry Analysis Macro Environment (Economy. it creates opportunities for engineering manufacturing related products. and although the power shortfall is being witnessed throughout the country. Between 2001-07. For instance. so the activity may flow. and electricity production. as Islamabad steadily raised development spending. and 14. Technology and Legal): Economy: Pakistan. Culture.

especially where indigenous pre-Islamic customs differ from Islamic practices. Increasing globalization has increased the influence of Western culture in Pakistan. The final Product of Industrial manufacturing itself becomes the inputs for other products of Technologies.Culture: Pakistan's culture is very diverse. and this has manifested itself in a return to more traditional roots. including new equipments according to the need and the most important the expertise for such Machines and equipment. television. Many Western food chains have established themselves in Pakistan. The availability of such machines and its substitute parts is easy and expertise for Industrial Technology is easy to access here in Pakistan. and food. At the same time. Technology: The Manufacturing business involves the technological aspect quite a large. often conflated with Islam. media. food. This stems from the fact that what is now Pakistan has in the past been invaded and occupied by many different peoples. Accessories are easily available in local market for the production machinery and equipment. we require Industrial Technology which means Hi-tech Machines. Persians. Mongols and various Eurasian groups. Turks. Engineering manufacturing heavily depends on the technology available to utilization. and religion. There are differences in culture among the different ethnic groups in matters such as dress. there is also a reactionary movement within Pakistan that wants to turn away from Western influences. When we talk about this Sector. 4 . Arabs. especially among the affluent. updating of existing machines. and are found in the major cities. including White Huns. who have easy access to Western products.

Govt. Military Production. Later manufacturing of spare parts also possesses great importance. Growth Rate. there are thousands of components from assemblies and parts. Trends of industry: The trend of the industry moves up wards in recent years. for instance Construction Industry. Trends of industry. treasures as well. The product development is one of the major requirements of Govt. Cement Plants. Pharmaceuticals Plants. Stone Crushing units and Power houses extensions. Registrations of Trade Mark: NTN Registration: GST Registration ESSI and EOBI registrations: Mandatory for Copy rights Mandatory Mandatory Mandatory for employees Specific Industry Environment (Future outlook. The establishing manufacturing industries bring good revenues to govt. Policies and Competitor Analysis) Direct and Indirect: Future Outlook: The prospect of the Industry is enormous and growing.Legal: The Govt. if we talk about the manufacturing of AL-Khalid Tanks which is completed manufacture in Pakistan. One fine example is of Military Manufacturing Facilities. Cement Plants. to keep the operations ongoing. The normal rate of taxes is applied to these industries. Both Fabrication and products are desired by the industries. Some other mega 5 . encourages manufacturing industry since they are one of the main consumers of such products. Pharmaceuticals Plants need to have such products to accomplish their Projects and production. When we talk about other sectors of the country. all the fields require Engineering Products. Currently many activities are taking place in other sectors like construction industry.

wherever required. Thus. Separate policy measures are proposed for small and for medium enterprise growth. Dams and Hospitals. trade rules. Policies • • • • • • • • The recommendations proposed in the SME Policy may be implemented /supported through an SME Act 2006 The SME Policy covers measures for promotion of ‘Entrepreneurship Culture’ and support for growth of existing enterprises The SME Policy realizes the different approaches required for supporting Small Enterprises as opposed to Medium Enterprises.projects are also underway like Airport. SME development offers most viable option for private sector led growth that reduces poverty and creates a large number of jobs all across Pakistan SME development must be at the center stage of all economic growth policies of Pakistan SME development in Pakistan will require decisive and concurrent measures in a number of policy areas such as business regulations. New Innovation and Product development is the main focus of the growth. Marketing. Growth Rate: The growth of industry in anticipated and the rate of growth is 5 % per year. Women and other marginalized groups are proposed to receive special focus within the SME Policy. incentives and support (Human Resource Development. etc.) leading to an ‘SME Space’ in these domains • • SMEs face inherent disadvantages (because of their size) vis-à-vis large firms. which need to be offset by government support mechanisms and incentives Effective implementation of the Policy framework will require ownership. fiscal. Technology. Some entities are going for global operation as well. Govt. commitment and monitoring at highest level of the Government 6 . labour.

• Financial support to enterprises will be. Sometimes customers go for the customization of the products or alterations in ongoing product development. wherever possible. The manufacturing is a complex process and every one can not involve in such business unless one has good Knowledge and committed team. The basic factor for the completion is the expertise you have to furnish your product to the customers. World has turned into a Global Village and everyone has access to available information around the globe. The Indirect competition is also there in terms of foreign manufacturer/supplier. There are many factors involved in to keep one most competitive in the Industry. they have cheap raw material and good expertise along with Hi-Tech Equipment. and will essentially require resource commitment on behalf of the beneficiaries Competitor Analysis (Direct and Indirect): The Engineering Product manufacturing is highly Competitive. so this can be our area of competitiveness. We can ensure our customers the best products according to the world standards with competitive prices. Highly skilled labor and Machinist give the edge on others in market.• SME development requires provision of level playing field for smaller firms vis-à-vis large enterprises • Private sector will be encouraged to play a key role in implementation of the SME Policy including mobilization of capital and operational responsibility for implementing policy measures. the equipment and Machinery also play equal role for the competitiveness of the business. We can provide our products with complete back up support (after Sales Services) and the need of the customer will be satisfied at the earliest. the Potential Market here also access these suppliers/Manufacturers. By implementing such strategies. 7 . All the world tends to buy products from China. The only tool can be used for such competition would be “Time”. this creates more competition. When talking about Expertise it means that how much skilled labor is available for your equipment and their approach towards the problem solution. Chinese manufacturers have many facilities to be competitive. at a collective level. the business can be much compatible and can surely compete in the market.

Market Segmentation Basis and Identification of Target Market: The characteristics and need of customer is the basis for the particular segmentation. Military establishments. 8 . There are many industries which are engaged in manufacturing the consumer products. We will target Manufacturer. The location of Customers is the basic segmentation for the business. These industries also need some engineered products for the input of their final finished product. they consistently require the engineering products to keep their operation on going. Entities engaged in product development and regular production.

Fabrication of sound Proof Generator Canopies g. Islamabad and it’s a small medium size business (SME). Tarnol.Description of Venture Mission Statement: Providing quality Products and Services to Customer at the optimum cost. Fabrication Of CNG Dispenser d. Manufacturing and Fabrication of Steel Railings 9 . Fabrication of CNG CASCAD e. Main Peshawar Road. Precision machining parts (all Metal) b. History of venture: The four Entrepreneurs having different expertise in the respective field has decided to form a business of Manufacturing. Product/Service Details: a. Fabrication of Industrial Racks f. Location and size of business: Our business address is Plot 72-B. The capital available was gathered for the formulation on larger entity and to capture the most of the market share. Automation of the new/existing machine c.

Helper 03 10 . Installation of Steel Structure e. Sales and Marketing 04: (sales & Marketing) d. Installation of Aluminum Glass Glazing Office equipment and personnel: a. Skilled Machinists 05 i. Electrical Technicians 01 h. Skilled Welders/Fabricators 4 j. On site Fabrication services includes: b. Software Engineer 01 (Programming) e. Installation of Glass Glazing d. Diploma Holders (Supervisor) 05 g. BE Engineer 04 (production) c. HR/Admin 04: (HR/Admin) f. MSC Engineers 02 (Operation) b.Service (s): a. Installation of Railing systems c.

Fahim Ullah Afridi has done BBA(hons) in HRM from Sarhad University and now doing his MBA in Marketing from Preston University Islamabad. He has experience of dealing with clients and in HRM. Marketing & Management. He has experience in marketing products. Mr.Background of entrepreneurs: Mr. Mr. Raja Danish Nadeem has done BSc from Ajk University and now doing his MBA in Marketing from Preston University Islamabad. Usman Tahir has done BBA(hons) in HRM from Bahria University Islamabad and now doing his MBA in Marketing from Preston University Islamabad. He has experience in HRM . 11 . Awais Kiani has done BBA(hons) in marketing from intercollege larnaca Cyprus and now doing his MBA in project management from Preston University. Mr. Islamabad. He has vast experience in dealing with engineering firms and suppliers.

Plastic Molding: 8. Shearing Machine e. Shearing g. Sheet Metal Pressing: 10. Heavy Duty Milling Machine (CNC) c.Production Plan Complete Manufacturing process (self or subcontracted): 1. Dies Casting: 9. yards and is located in main Peshawar road. Shearing: 6. Bending: 7. Drilling Machine h. Forging: 5. model. Forging Machine d. Tarnol. Rubber Forming: 11. High Precision Machining: Physical plant layout: The production area is 4000 sq. pictures: a. Islamabad. Welding: 3. Spot Welding machine f. origin (local/imported). Machining: 2. Heavy Duty Turning Lathe (CNC) b. TIG Welding Machine 12 Self/Subcontracted Self Self Self/Subcontracting Self/Subcontracting Subcontracting Subcontracting Subcontracting Subcontracting Subcontracting Self/Subcontracting . Machinery and equipment (make. Fabrication: 4.

Electric Arc Welding Machine j. Tool Grinding Machine PNC 1100: Milling Machine 13 .i.

TL-4 Haas Lathe Machine TL-1 Haas Turning Lathe 14 .

Milacron arrow 1000 15 .

Herbert Hunt drill Grinder Millermatic Welding Equipment 16 .

Miller TIG Welding Diversion Miller Dynasty 350 17 .

Miller X SSW 90382 Details of suppliers of raw materials (names. location and brief information): a. Amin Brother (Saddar. Rawalpindi): Tooling and Hardware Shaheen Pipe (Gawalmandi. Rawalpindi): MS Sheets Sohail Brothers (Rawalpindi): MS Rod and thick Plates Sardar Metal (Jinnah Road. SS Sheet. 18 . Rawalpindi): SS Pipe . b.. Malik Steel (Jinnah Road. e. Rawalpindi) MS Pipe Round and Square Ittefaq Steel (Jinnah Road. c. d. Rawalpindi) MS angle and channels Copper Etc. f. Brass sheet. Brass Rods.

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