Shamim & Co.

limited Multan

Submitted By:

M.Asif Ali Khan
MB-08-57

Submitted To:

Miss. Parsa Habib
HR Manager Shamim & Co. Pepsi Cola Bottlers Multan












Acknowledgement

I am very thankful to ALLAH Almighty who gave me the opportunity, courage and
confidence to explore more knowledge to complete my internship, which will help me
greatly in my intellectual development and capitalize on skills. I express my deepest
gratitude to my parents whose prayers always supported in every task of my life and my
advisor , Madam Javeria Abbass who really guide me to enhance my learning in Shamim
& Co. (Pvt) Ltd Multan.
.
I am also very thankful to Mr. Junaid Riaz, Mr. Mansoor Ahmed, Mr. Imran Younus,
Mr. Haider Ali Abidi, Mr. Khurrrum Shahzad, Mr. Abdul Qadir, Mr. Zain ul Abideen
Mr. Asif Bukhari, Mr. Mohsin Shahzad, Mr. Mohsin Niaz, Mr. Tahir Mehmood Asad
and Mr.Muhammad Asim who gave me very valuable knowledge about the workings in
their respective department.

















Preface

Institute of Management sciences has its prime objective to develop trained managers by
offering them broad knowledge in a number of business areas and thus preparing
successful management careers. One step to achieve this objective for students is to
exercise internship program in any recognized organization. So this internship program
facilitate the students to gain some understanding of complete working of the
organization and at the same time enables the students to face challenges in their
professional life by sharpening their skills of decision making, leadership,
communication and team work.
Career Development Center in BZU Multan issued me letter for internship at ³Shamim
& Co (Pvt) Ltd Multan´. I submitted letter in HRM office of Organization. After passing
the internship test I joined the organization on Friday 23rd of July 2010. I completed my
six week internship from 23rd of July to 3rd of September 2010.











Shamim & Co. (Pepsi Cola)

INTRODUCTION:

Shamim & Co. (Pvt.) Ltd. was established in 1964, Shamim & Co. is a franchise of Pepsi
Cola International Which deals in CSD (Carbonated Soft Drinks).
Mr.Allah Nawaz Khan Tareen was the founder of the company and also
chairman Pepsi Cola International have 9 (nine) Franchises all over Pakistan. Shamim &
Co.(Pvt.)Ltd. Jail Road Multan in one of them covering 18 District&135Stations.Shamim
& Co. Multan has very committed staff and this is the reason that it captures More than
70% share of market share.
Company has now serviced new experienced & competent sales staff & increases this
share form 70% to 80 or 90%. As for as Distribution / Placement is conserved company
has a very well-establish distribution network covering whole of the franchise areas.
Depending on the potential of the town we have one and more than one distribution in
each town. Sale supervisor / Sale officer is responsible for all the activities of that
distributor. He looks after the stock availability, contingencies and all the routes covered
by the salesman of that distribution. Salesman training is also a main responsibility of
sale supervisor.
Company has invested too much money in shape of Coolers, Visi Coolers, Counters and
Cabin. Which are offered to those shops which are producing good sales to promote sales
& oblige these shops? All the services matters of coolers and maintenance and look after
of these assets are also the responsibility of our sales force.
Mission statement
Our mission is to be world premier products company focused on convince foods and
beverages. We seek to produce healthy financial rewards to investors as we provide
opportunities for growth and enrichment to our employees, our business partners and the
communities in which we operate. And in every thing we do, we strive to act with
honesty, fairness and integrity.


Objective

The company operates through well experienced, loyal and hardworking employees. The
first and the most basic plan it to train them according to the changing technology and
computerized environment, and satisfying their needs and requirements. Upgrading the
plant structure and installation of the new machinery are other plans. The company is
planning to increase its sales force and development in its infrastructure in the coming
time period.
Vlslon
The vision statement is ³we were number 1, and we will be number 1´. Their collective
success depends on their healthy balance strategies the organizations needs and the needs
of their employees and their families.
ORGANIZATION HIRARCHY



Managing
Director
General Manager
Technical
General Manager
Sales
General Manager
Finance
General Manager
Operations
Manager
Production
Manger Sales &
Marketing
Manager MIS Manager Admin
Manager Personnel Manager Finance Manager Research
& SIS
Manager Quality
Control
Manager Shipping Manager Account
Management of Shamim & CO.
It Includes:
Managing Director:
Alamgeer Khan Tareen
GM Sales& Marketing:
MR. Amir Hameed
GM Production:
MR. Sarwar
D Finance:
MR. Mansoor Bukhari
Manager 0DnDJHPHnts Accounts:
Mr. Ch. TAHIR Ameen
Manager MIS:
MR. Rizwan Zafar
Manager HR.D:
Miss. Parsa Habib
Manager Shipping:
Mr. Major Farrooq














Internship program

During my six week internship program, I was moved through following departments:
1. Accounts Co-ordination Department
2. Supply chain Department
3. Banking and Finance Department
4. Management account Department
5. Human Resource Department
6. Audit Department


Accounts coordination department
My 1st week was in the accounts coordination department.
.
Mr. Khuram Shahzad is assigned the task of payment to supplier, others department
and employees.
Function of department:
Supplier submits its Bill to respective department and that department sends it to
Account Co-Ordination department.
This department verified each bill and cross checking is made with account
department.
This department is basically a service department.
The goal of the department is to make the payment of payable to supplier and
others timely through a proper channel.

Mr. Haider Shah and Mr. Kashan are concerning with the sales budget.
This budget includes
y Publicity budget ( Banners, posters, gift, paint)
y TA ( Traveling Allowance)
y DA ( Daily Allowance )
y TOT ( Tools of Trade)
y Department expenditure
y Insurance Payment

Mr. Khurm Shazad and Mr. Abdurehman look after the production budget.
For production budget the main concern is the machinery maintenance. Because a
working machinery is very much important for production. These includes
y Daily/Routine maintenance budget
y Seasonal/Annual maintenance budget
y New machinery budget

In the beginning large budget is approved from the Managing Director Alamgeer Khan
Tareen. These payments subtracted from annual expenditure and production budget.
Purpose of department:
Make payment through cash if amount is less than 10,000 Rs and more than
payment is made through cheque.
In case of any problem and error
The issue is discussed with the GM Finance Sohail .
Bill delivery and receiving timing is noted.
Provide help to every department through one window operation in accounts.
Every department has a Co-Coordinator who looks after all the payment of that
department.

My activities in accounts coordination department
Mr. Khurram Shahzad and his team cooperated with me very much. I worked mostly with
Mr. Haider Ali Abidi. I learnt there how to give exclusive rights to their distributors. How
they do make agreements with them. I learnt how they maintain records of production
budget and sales budget etc.

Suggestions
The future programs of the department are:
Networking with depots
Internet development within organization
There should be formal web site and e-mail accounts of employees in the organization. A
small computer books library will help the staff to add their skills.


Supply chain department
My 2nd week was in Supply chain department. This department is working under the
supervision of Mr. Abdul Qadir
Assistant Manager of Supply Chain.
Function of department:
Mr.AbdulQadir looks after the procurement of raw material.
These raw material include
Labels
Plastic Bottles
Glass Bottles
Glue
Pallets and shells
Cartons
Layer Pad
Case Pad

It performs various functions that are
y Generates inventory reports
y Policy making
y Contacting with suppliers
Planning for future activities regarding inventory
This department analysis daily stock reports and generates inventory reports showing how much stock
is available.

It also performs the functions of policy making. It includes
y Policy designing
y Implementation
y Amendment
In this regard different policies about different activities
y Supply chain policy
y Driver policy
y NR Policy
y Plastic policy
y Mobile phone policy
y Cash shortage policy
y Plastic shell policy

Purpose of Supply Chain Department:
Mr. Abdul Qadir has been performing his job very efficiently.

y He himself set the target of raw material and approve it to
y CFO (Chief Finance Officer) Mr.Sohail Butt and GM Plant Mr. Sarwar.

y Mr. Abdul Qadir is very good planner.

y While looking at the current requirements he set the target for future

o Cash flow.
o Required raw material quantity.






Finance department

My 3rd week was in the finance department. This department is under the
supervision of Mr. Shoaib Tirmazi. This department looks after the insurance of
all the Assets of Organization. Leasing like direct leasing and sales and lease
back.
Letter of credit like Irrecoverable LC and Irrecoverable and Confirmed LC.
Clearance of shipment is also comes under this department. Short term and long
term financing too.
This is one of the most important departments of this organization. This
department made the financial plans of the organization, they analyze their
resources and then concise other reports and gives the whole budget the
organization can afford. Another job of this department is to make the complete
record all financial and non-financial transactions made inside as well as outside
the organization

Functions of Finance department
Insurance of 6KDPlP & Co. (Pvt) Ltd 0ultDn.

Insurance of all the assets of Shamim & Co. (Pvt) Ltd Multan.
These assets includes
o Machinery
o Building
o Stock ( Empty & Liquid )

Modes of payment:
By Sight Payment
By Acceptance
By Negotiation
By deferred payment

BY SIGHT PAYMENT:
y When shipment is delivered to buyer
y Supplier submit complete documentation to bank
y Bank inform the buyer through the letter or simply calling it
y Then buyer has to make the payment to beneficiaries

Letter of Credit:
There are many types of Letter of Credit
y Irrevocable Letter of Credit
y Revocable Letter of Credit
y Irrevocable and Confirmed Letter of Credit
y Confirmed Letter of Credit
y Un-Confirmed Letter of Credit

Leasing:

There are two type of leasing

y Direct leasing

y Sales and lease back


Sales and Lease back:
You sale your working asset to bank when you need short/long
term finance to fulfill your operating expense or any of the others. You have to make the
payment to bank in installment with mark up/interest. After the complete payment assets
again come under the organization ownership.

Direct leasing:
Suppose you want to buy a new asset (Machinery). You go to bank ask
him to purchase on the behalf of you and bank make the payment. You take that asset
from bank on lease. You make the payment to bank in Installment with mark up. At the
end asset will be your when you pay all the installment of that Machinery.

0\ DctlvltlHs ln flnDncH dHSDUtPHnt
In finance department I learnt about leasing, insuralnce procedures and shipment
clearance procedures etc.


y Planning
y Leading
y Controlling
y Marketing
y Promotion
y Hiring and selection
y Interviewing new employees
y Supply and distribution channels
y Customer relationship


0DnDJHPHnts Accounts DHSDUtPHnt
TKls dHSDUtPHnt ls woUNlnJ vHU\ HfflclHntl\ undHU tKH lHDdHUsKlS of
CH.AA6,0. HH ls D AsslstDnt PDnDJHU of tKls dHSDUtPHnt.
TKls dHSDUtPHnt ls vHU\ wHll HstDEllsKHd, KDvlnJ dHvotHd woUNHUs.
The basic function of this department is to get data from production and
MIS department to prepare report.
y Daily stock position
y Ammanat Comparison Report
y Filled Stock position
y FIFO implementation Report
y Daily raw material yield report
y Daily production Losses Report
y Daily CO
2
Production Report
y Labor Cost Tracking Report
y Shift wise record of daily transactions is maintained.
y Reconciling physical stock with MIS reports
y Posting on balance sheet register
y Maintenance of stock FIFO system
The whole company¶s function depends upon the reports generated by this department.
My activities in management accounts department
I worked with them to prepare many reports which are prepared on daily
and shift wise basis. For example these reports include daily losses reports,
daily yield reports etc. I learnt how to calculate the stock, How the measure
the quantity which is loaded out.

HUMAN RESOURCE DEVELOPMENT
My 5th week was in Human Resource Department. This department deals mainly with a
significant asset of the organization namely human resource. Miss Parsa Habib is
manager of this department. Mr. Muhammad Afzal and Mr. Muhammad Tahir are
coordinating her.
Human Resource department is one of most important part of any organization which
performs the activities for staffing the organization and sustaining high employee
performance. The Human Resource mfg. process is as follow.
Recruitment Process
After collection of CVs a test is conducted. For all four levels there are different types of
tests available. If the applicant passes the test then a realistic job preview is done. In
which the applicant is shown the job environment and responsibilities.
After the RJP further interviews are collected.
The manager of HR takes 1st interview. It is an unstructured type of interview. The
manager of respected department takes 2nd interview. This is a structured interview.
After this GM and a panel of mangers take a 3rd interview. This interview is optional.
Sometime it is taken and sometime not. It depends upon the level of job.
Final Selection:
After clearing all interviews final selection is made.
Placement:
Then employee is placed on his job.

Specifying jobs and roles:

When the new employees are hired the HR department specifies the job and the role of
the new employee in the organization, which he will play in the future. In other words job
specification and HR department does job description

Training:
Then employee is trained. For this purpose On the job training is used.

Evaluation:
Evaluation of employees is done by using software. This software helps the HR
department in evaluation of employees. Evaluation is done on monthly basis.

Feed Back:
For feed back company uses the 360 degree rule. This enables the HR department to get
feed back from every level and every side. Further feed back is provided and received by
each employee.

Career development
Career development is the important function of the HR department because all the
training programs are initiated by this department and therefore it plays a vital role in
career development.


Outsourcing:
HR department also outsource employees which are above manager level. For this
purpose this department gets services of a recruiting agency named ³Abacus Recruiting
Agency Lahore´. So Shamim and Co. acts as a client of this agency for hiring of staff
members above manager level.

Audit department
My 6th week was in the ³Audit Department´ of ³Shamim & CO (Pvt) Ltd Multan´ This
department audits the empty Glass bottles, empty shells, Pallets on daily, weekly and
monthly basis. The department also control and maintain the record of ³Khanpur Depot´.
This department is interlinked with the Management Account.
Purpose of Audit Department:
y Check the availability of empty bottles to meet the demand of production.
y Accurately verified the empty of shipping and production.
y Check whether empty is short and excess.
y Daily report are made and matched with the production and shipping department.
y Plastic shell, Pallets verification are also made regularly
y Verification of empty of different depot.


Function of Department:

y There are two types of empty in factory.
y Production empty at factory
y Shipping empty at factory
y In this department
y Audit of MIS department (Mela credit, Liquid Credit, Contingency short/excess
reports).
y Audit of empty Glass bottles, empty shells, Pallets on daily and monthly basis.
y They daily verified the empty of shipping and production department.
y Verification of empty stock and liquid filled stock is also made.
y The department also control and maintain the record of ³ Khanpur Depot´
y Daily reporting of sale, cash and expense are made.

What I learnt in the organization
During my internship program I learnt a lot. For example
y How to deal with seniors and subordinates
y How to communicate with others
y Discipline
y Punctuality
y How to lead my subordinates
y How to maintain different records

Financial Analysis

LIQUIDITY RATIO¶S:
These ratios are important in measuring the ability of a company to meet both its short
term and long term obligations.
Working Capital:
Working capital is an indication of the short ± run solvency of business
Working Capital = C.A ± C.L.

Year 2005 2006 2007 2008 2009
CA 343179640 390387892 468465470 562158564 674590277
CL 280253635 326286103 375229018 431513371 496240376
Working Capital 62926005 64101789 93236452 130645193 178349901

Current Ratios:
This ratio measures the short-term debt-paying ability of the company

Current Ratio =
L C
A C
.
.

Years 2005 2006 2007 2008 2009
CA 343179640 390387892 468465470 562158564 674590277
CL 280253635 326286103 375229018 431513371 496240376
Current Ratio
1.2 1.2 1.25 1.30 1.36


ACID- TEST RATIO:

This ratio is like the current ratio but excludes current assets such as inventories and
prepaid expenses that may be difficult to quickly convert into cash.

Quick Ratio=Quick Assets / Current Liabilities

Years 2005 2006 2007 2008 2009
CA
42218250 49449960 57856450 67692050 79876619
CL
280253635 326286103 375229018 431513371 496240376
Q Ratio
0.15064301 0.151554 0.1541897 0.15687127 0.16096356

DEBT MANAGEMENT:
This is the most common measure of the ability of a firm¶s operations to provide
protection to the long-term creditor.

TIME INTEREST EARNED:
TIE = EBIT /INTEREST EXPENSE

YEAR 2005 2006 2007 2008 2009
EBIT 13130022 15544100 18432038 21643604 25539453
Interest Exp 1644312 1061878 1536003 1812483 2138730
TIE 8 15 12 11 12

DEBT RATIO¶S:
This ratio measures what portion of a company¶s assets is contributed by creditors.
DEBT RATIO: TD / TA

YEAR 2005 2006 2007 2008 2009
TD 281275235 327307703 376403858 432864437 497794102
TA 385165619 439795604 527754820 633305785 759966942


Debt
Ratio 73% 74% 71% 68% 65%


D/E RATIO:
This ratio indicates the extent to which debt is covered by shareholders¶ funds. It reflects
the relative position of the equity holders and the lenders and indicates the company¶s
policy on the mix of capital funds.
D/E = TD / TE

YEAR 2005 2006 2007 2008 2009
TD
28127523
5
32730770
3 376403858 432864437 497794102
CE
10389038
4
11248790
1 151350962 200441348 262172840


D/E 2.71 2.9 2.5 2.2 1.9

ASSET MANAGEMETNT:

These ratios are important in measuring the efficiency of a company

1. Days sales in receivable:
Shows both the average time it takes to turn the receivables into cash and the age, in
terms of days, of a company's accounts receivable

Days sales in receivable =
365 /
Re
Sales Net
ceivables Gross

YEAR 2005 2006 2007 2008 2009
A/R 16881442 15527617 20156759 23180273 26657334
Sales 849952926 885258201 1062309841 1274771809 1529726171
DSO 7 6 7 7 6


TOTAL ASSET TURNOVER:
A company's effectiveness in generating sales revenue from investments back into the
company. The higher the Total Asset Turnover is the more effective use of the company's
investments. Total Asset Turnover can be very useful if you watch what actually makes
up the Total Assets of the company. A company with low inventory and strict credit
policies to keep Accounts Receivable low will help the Total Asset Turnover look even
better. Of course it depends on all of the company's Total Assets.

TAT = SALE / TA


YEAR 2005 2006 2007 2008 2009
Sales 849952926 885258201 1062309841 1274771809 1529726171
TA 385165619 439795604 527754820 633305785 759966942
TAT 2.21 2 2 2 2
Inventory Turnover:
This ratio measures the number of times merchandise is sold and replaced during the year
Inventory turnover: Cost of goods sold/ Average Inventory

YEAR 2005 2006 2007 2008 2009
CGS 587227740 644574970 741261215 852450397 980317957
A Inventory 300961390 340937931 388669241 443082935 505114546
ITO 2 1.9 1.9 1.92 1.94

PROFITABILITY RATIO¶S:
Profitability Ratios show how successful a company is in terms of generating returns or
profits on the Investment that it has made in the business. If a business is liquid and
efficient it should also be Profitable. Ability to provide financial rewards sufficient to
attract and retain financing.
RETURN ON EQUITY (ROE):
The Return on Equity of a company measures the ability of the management of the
company to generate adequate returns for the capital invested by the owners of a
company. Generally a return of 10% would be desirable to provide dividends to owners
and have funds for future growth of the company

ROE = N.I / C.E

YEAR 2005 2006 2007 2008 2009
NI 11485710 14482222 18102777 22628471 28285589
CE 103890384 112487901 151350962 200441348 262172840
ROE 11% 13% 12% 11% 11%

RETURN ON ASSET¶S:

The Return on Assets of a company determines its ability to utilize the Assets employed
in the company efficiently and effectively to earn a good return. The ratio measures the
percentage of profits earned per dollar of Asset and thus is a measure of efficiency of the
company in generating profits on its Assets.

ROA= N.I / TA

YEAR 2005 2006 2007 2008 2009
NI 11485710 14482222 18102777 22628471 28285589
TA 385165619 439795604 527754820 633305785 759966942
ROA 3% 3.30% 3.40% 3.60% 4%

NET PROFIT MARGIN:
The Profit Margin of a company determines its ability to withstand competition and
adverse conditions like rising costs, falling prices or declining sales in the future. The
ratio measures the percentage of profits earned per dollar of sales and thus is a measure of
efficiency of the company.

NPM = NI /SALE

YEAR 2005 2006 2007 2008 2009
NI 11485710 14482222 18102777 22628471 28285589
Sales 849952926 885258201 1062309841 1274771809 1529726171
NPM 1.35% 1.64% 1.70% 1.80% 1.85%







VERTICAL ANALYSIS (COMMON SIZE ANALYSIS





From vertical of Shamim&Co (Pvt) Ltd Multan I have concluded that the
performance of Organization is good from previous five years. In the vertical analysis I
have calculated the values of all items of Balance Sheet and income Statement in
percentage with respect to the sales and total assets. From these calculations I come to
know that the Current Assets and fixed asset are increased in every next year.

Shamim&Co (Pvt) Ltd Multan Operating Income is increasing and Net Income
increasing in the every next month as total percentage of sales. Shamim&Co (Pvt) Ltd
Multan is able to receive its receivable on time due to which it receiving cash time by
time and able to pay back to its creditors on time. It means its average collection period
as well as the average payment period of the firm are good.

On the basis of my conclusion I can say that the overall performance of Shamim&Co
(Pvt) Ltd Multan is good from previous five years


Common-size
Percent
Analysis Amount
Base Amount
100
%
=
×
Financial Statement Base Amount
Balance Sheet Total Assets
Income Statement Revenues


Horizontal Analysis

From horizontal analysis of the Shamim&Co (Pvt) Ltd Multan I have concluded that
over all performance of the firm from previous five years is very good. From the last five
years its profit is increasing. Organization focusing on expansion in the last 3years as a
result of expansion its Fixed Assets 2008 increased by 35% and in 2009 increased by
60%.
Similarly current asset were also increased 20-25% in 2007, 2008 and 2009. But relative
to this its current liabilities increased less. So, it had enough working capital to which
was enough for solvency of organization. In 2005, 2006, 2007 Common Equity increased
while purchasing Fixed Assets.
Shamim&Co (Pvt) Ltd Multan its assets efficiently as result of this generating more
profit. So, we can say the performance of fixed asset is up to standard. Profit of
Shamim&Co (Pvt) Ltd Multan is also increasing 2005,2006,2007,2008 and 2009.


PEST ANALYSIS
The PEST analysis examines changes in a marketplace caused by the following factors.
Political changes
Economic changes
Social changes
Technological changes


Political changes
From one party to another in control for example the rise in private healthcare and
privatization under conservation governments.
Non-alcoholic beverages fall with in the food category under FDA. The government
plays a role with in the operation of manufacturing these products in terms of regulations.


There are potential fines set by government on companies if they do not meet a standard
of law. The following are some standards of the factors that could cause Pepsi -cola
company¶s actual results to differ materially from the expected results described in their
underlying company¶s forward statements.

ECONOMICAL FACTORS:
The country like Pakistan whose economy is not strong enough is affected by so many
economic variables which are the following.
y Low literacy rate is a problem due to which rural customers are not able to
differentiate between PEPSI and Coke and etc.
y Employment opportunities will be higher.
y Increasing demand of PEPSI requires establishment of new production plants.
y Combined pricing decisions with mutual agreement between PEPSI and Coke.

SOCIAL FACTORS: The social factors of each society and culture are
different from each other so these also influence the industries as well.
y Now it has become a trend that soft drink should be served in almost every
gathering.
y Fast food popularity among teenagers has led to the increase in demand of PEPSI.
y Social welfare program is also active at PEPSI for example PEPSI donated 1
million Rs. For helping recent earth quake victims.
y They have been sponsoring different cricket events and Pakistan cricket team for
almost 10 to15 years.

Technological changes:
Creates opportunities for new products and product improvements and of course new
marketing techniques, the internet, E-commerce. Some factors that cause companies
actually results to differ materially from the expected results are as follows:
The effectiveness of company¶s advertising, marketing and promotional programs. The
new technology of internet and television which use special effects for advertising through
media. They make some products look attractive.

SWOT Analysis
STRENGTHS:
y They are proactive in their competitive strategies.
y They are having more than one supplier for a particular material to avoid stock
outs in case of high demand or supplier¶s inability to ship material.
y Daily revision of production schedule based on daily demand.
y They are financially very strong and require no financial help from country office
y Their plants are capable of producing round the clock.
y They offer attractive margins to the distributors, so distributors are willing to
carry PEPSI brands
y They have a recovery department which is responsible for the collection of bad
debts and identifying sales of low graded PEPSI.
y High brand image and customer loyalty
y On site training of 4 to 6 months enables plant engineers to manage plant
operations effectively so that machine downtime is reduced to minimal.
y Very huge production capacity 500,000 per day.
y Pepsi provides its own transport to distributors to cover those geographical areas
where competitors are not distributing their products because of difficulties to
reach there.
y Suppliers are bound to supply material on the terms and conditions specified by
PEPSI
Weaknesses:
y Poor feed back from employees
y Insufficient salaries
y Monopoly of distributors cause harm to company
y Loading and unloading of trucks can take place only in the night because of the
law permitting trucks to enter into urban areas only in the night.
y Factory is located in the residential areas with no proper parking arrangements for
its vehicles.
Opportunities:
y Because of high customer loyalty and brand image new brands can gain customer
preference very soon.
y There is high market growth opportunity
y Country office is responsible for national add campaigns which facilitate PEPSI
Multan to enjoy the benefits of integrated advertisements.
y New brand introduction
Threats:
y Coca- Cola is on its way to get market share
y Amrat and Makka cola also trying to get market share
y Changes in consumer purchasing power
y Increase in competition
y Inflation
y Due to blame of religious group
y No proper employee¶s orientation programs


Suggestions:
On the basis of SWOT analysis I observed that shamim & Co. Multan is working in a
very well manner. But I think they are lagging in some areas. So they need to
improvement in some aeas. I have following suggestions to cope with their weakness and
threats and take competitive advantage of theor strengths and opportunities.
y Taste
As the climate of Pakistan particularly Multan is very hot. The people were like sweet
soft drinks as that of Coca-Cola. So there is a need to have slightly sweet drinks.

y Promotional Schemes
Most o schemes introduce by the Pepsi cola are standardized for all the regions. But the
organization should recognize the differences in different regions and then launch the
schemes to get feedback.

y Rules & Regulation
Implementation of rules should be make sure in the organization at any cost. Some
policies need to be redefined.

y Islamic Activities
There is the perception that Pepsi cola is the Jewish company and it facilitates Israel. The
people who believes & don¶t like to drink. So it can be reduce by adding Islamic valued
in the promotional campaigns.

y Motivation
The employees should be motivated to be loyal with the organization. It can be in the
form of incentives and free sampling.

Conclusion:

Shamim&Co focusing on continuous expansion especially in fixed assets like
building and installing plant.
The purpose of expansion is to increase its share.
Committed staff is the main reason that it captures more than 85% share of market
share.
A very well-establish distribution network covering whole of the franchise areas.
Company has invested too much money in shape of coolers, visi coolers, counters
and cabin.
Shamim&Co showing profits since last 5years and according to it¶s annul reports
its profit is increasing.
Shamim&Co having 85%market share currently and market leader in Multan.


























Acknowledgement
I am very thankful to ALLAH Almighty who gave me the opportunity, courage and confidence to explore more knowledge to complete my internship, which will help me greatly in my intellectual development and capitalize on skills. I express my deepest

gratitude to my parents whose prayers always supported in every task of my life and my advisor , Madam Javeria Abbass who really guide me to enhance my learning in Shamim & Co. (Pvt) Ltd Multan. . I am also very thankful to Mr. Junaid Riaz, Mr. Mansoor Ahmed, Mr. Imran Younus, Mr. Haider Ali Abidi, Mr. Khurrrum Shahzad, Mr. Abdul Qadir, Mr. Zain ul Abideen Mr. Asif Bukhari, Mr. Mohsin Shahzad, Mr. Mohsin Niaz, Mr. Tahir Mehmood Asad and Mr.Muhammad Asim who gave me very valuable knowledge about the workings in their respective department.

Preface
Institute of Management sciences has its prime objective to develop trained managers by offering them broad knowledge in a number of business areas and thus preparing successful management careers. One step to achieve this objective for students is to exercise internship program in any recognized organization. So this internship program facilitate the students to gain some understanding of complete working of the organization and at the same time enables the students to face challenges in their professional life by sharpening their skills of decision making, leadership, communication and team work. Career Development Center in BZU Multan issued me letter for internship at ³Shamim & Co (Pvt) Ltd Multan´. I submitted letter in HRM office of Organization. After passing the internship test I joined the organization on Friday 23rd of July 2010. I completed my six week internship from 23rd of July to 3rd of September 2010.

contingencies and all the routes covered by the salesman of that distribution. He looks after the stock availability. Which are offered to those shops which are producing good sales to promote sales & oblige these shops? All the services matters of coolers and maintenance and look after of these assets are also the responsibility of our sales force.(Pvt. (Pvt. Shamim & Co. was established in 1964. Multan has very committed staff and this is the reason that it captures More than 70% share of market share. Company has invested too much money in shape of Coolers. Counters and Cabin.) Ltd. Sale supervisor / Sale officer is responsible for all the activities of that distributor. Visi Coolers. Depending on the potential of the town we have one and more than one distribution in each town. And in every thing we do. (Pepsi Cola) INTRODUCTION: Shamim & Co. we strive to act with honesty. Jail Road Multan in one of them covering 18 District&135Stations. Mission statement Our mission is to be world premier products company focused on convince foods and beverages.)Ltd. Salesman training is also a main responsibility of sale supervisor. our business partners and the communities in which we operate. We seek to produce healthy financial rewards to investors as we provide opportunities for growth and enrichment to our employees. As for as Distribution / Placement is conserved company has a very well-establish distribution network covering whole of the franchise areas.Shamim & Co. Company has now serviced new experienced & competent sales staff & increases this share form 70% to 80 or 90%.Allah Nawaz Khan Tareen was the founder of the company and also chairman Pepsi Cola International have 9 (nine) Franchises all over Pakistan.Shamim & Co. Mr. . fairness and integrity. is a franchise of Pepsi Cola International Which deals in CSD (Carbonated Soft Drinks). Shamim & Co.

loyal and hardworking employees. and we will be number 1´. 9LVLRQ The vision statement is ³we were number 1. The first and the most basic plan it to train them according to the changing technology and computerized environment. Upgrading the plant structure and installation of the new machinery are other plans. Their collective success depends on their healthy balance strategies the organizations needs and the needs of their employees and their families ORGANIZATION HIRARCHY Managing Director General Manager Technical General Manager Sales General Manager Finance General Manager Operations Manager Production Manger Sales & Marketing Manager MIS Manager Admin Manager Quality Control Manager Research & SIS Manager Finance Manager Personnel Manager Account Manager Shipping . and satisfying their needs and requirements. The company is planning to increase its sales force and development in its infrastructure in the coming time period.Objective The company operates through well experienced.

Mansoor Bukhari Manager 0DQDJHPHQWV$FFRXQWV: Mr. Major Farrooq . It Includes: Managing Director: Alamgeer Khan Tareen GM Sales& Marketing: MR. Rizwan Zafar Manager HR. Amir Hameed GM Production: MR.D: Miss. Sarwar D Finance: MR. Ch. Parsa Habib Manager Shipping: Mr. TAHIR Ameen Manager MIS: MR.Management of Shamim & CO.

 This department verified each bill and cross checking is made with account department. . paint) TA ( Traveling Allowance) . gift.Internship program During my six week internship program. Kashan are concerning with the sales budget. Function of department:  Supplier submits its Bill to respective department and that department sends it to Account Co-Ordination department.  The goal of the department is to make the payment of payable to supplier and others timely through a proper channel. Accounts Co-ordination Department 2. Banking and Finance Department 4. Audit Department Accounts coordination department My 1st week was in the accounts coordination department. Mr. Haider Shah and Mr. Human Resource Department 6. I was moved through following departments: 1. posters. Mr. Khuram Shahzad is assigned the task of payment to supplier. This budget includes y y Publicity budget ( Banners. Supply chain Department 3. Management account Department 5.  This department is basically a service department. others department and employees.

 Bill delivery and receiving timing is noted. Abdurehman look after the production budget. I learnt how they maintain records of production budget and sales budget etc. I learnt there how to give exclusive rights to their distributors.y y y y DA ( Daily Allowance ) TOT ( Tools of Trade) Department expenditure Insurance Payment Mr. For production budget the main concern is the machinery maintenance. Khurram Shahzad and his team cooperated with me very much.000 Rs and more than payment is made through cheque. How they do make agreements with them. I worked mostly with Mr. Because a working machinery is very much important for production. . These includes y y y Daily/Routine maintenance budget Seasonal/Annual maintenance budget New machinery budget In the beginning large budget is approved from the Managing Director Alamgeer Khan Tareen. These payments subtracted from annual expenditure and production budget. Purpose of department:  Make payment through cash if amount is less than 10. Haider Ali Abidi. Khurm Shazad and Mr.  Every department has a Co-Coordinator who looks after all the payment of that department.  Provide help to every department through one window operation in accounts.  In case of any problem and error  The issue is discussed with the GM Finance Sohail . My activities in accounts coordination department Mr.

These raw material include  Labels  Plastic Bottles  Glass Bottles  Glue  Pallets and shells  Cartons  Layer Pad  Case Pad It performs various functions that are y y y Generates inventory reports Policy making Contacting with suppliers Planning for future activities regarding inventory . This department is working under the supervision of Mr. A small computer books library will help the staff to add their skills. Supply chain department My 2nd week was in Supply chain department. Abdul Qadir Assistant Manager of Supply Chain. Function of department: Mr.AbdulQadir looks after the procurement of raw material.Suggestions The future programs of the department are:   Networking with depots Internet development within organization There should be formal web site and e-mail accounts of employees in the organization.

y y y y He himself set the target of raw material and approve it to CFO (Chief Finance Officer) Mr. Abdul Qadir is very good planner. It also performs the functions of policy making. It includes y y y Policy designing Implementation Amendment In this regard different policies about different activities y y y y y y y Supply chain policy Driver policy NR Policy Plastic policy Mobile phone policy Cash shortage policy Plastic shell policy Purpose of Supply Chain Department: Mr. Sarwar. Abdul Qadir has been performing his job very efficiently. o Required raw material quantity. Mr. . While looking at the current requirements he set the target for future o Cash flow.Sohail Butt and GM Plant Mr.This department analysis daily stock reports and generates inventory reports showing how much stock is available.

Shoaib Tirmazi.Finance department My 3rd week was in the finance department. This department looks after the insurance of all the Assets of Organization. This department is under the supervision of Mr. Clearance of shipment is also comes under this department. This department made the financial plans of the organization. Short term and long term financing too. Letter of credit like Irrecoverable LC and Irrecoverable and Confirmed LC. Another job of this department is to make the complete record all financial and non-financial transactions made inside as well as outside the organization Functions of Finance department Insurance of 6KDPLP &R 3YW. Leasing like direct leasing and sales and lease back. they analyze their resources and then concise other reports and gives the whole budget the organization can afford. This is one of the most important departments of this organization.

/WG0XOWDQ   Insurance of all the assets of Shamim & Co.  These assets includes o Machinery o Building o Stock ( Empty & Liquid ) Modes of payment:  By Sight Payment  By Acceptance  By Negotiation  By deferred payment . (Pvt) Ltd Multan.

You take that asset from bank on lease. You go to bank ask him to purchase on the behalf of you and bank make the payment. You make the payment to bank in Installment with mark up. Direct leasing: Suppose you want to buy a new asset (Machinery). At the end asset will be your when you pay all the installment of that Machinery. After the complete payment assets again come under the organization ownership. .BY SIGHT PAYMENT: y y y y When shipment is delivered to buyer Supplier submit complete documentation to bank Bank inform the buyer through the letter or simply calling it Then buyer has to make the payment to beneficiaries Letter of Credit: There are many types of Letter of Credit y y y y y Leasing: There are two type of leasing y y Direct leasing Sales and lease back Irrevocable Letter of Credit Revocable Letter of Credit Irrevocable and Confirmed Letter of Credit Confirmed Letter of Credit Un-Confirmed Letter of Credit Sales and Lease back: You sale your working asset to bank when you need short/long term finance to fulfill your operating expense or any of the others. You have to make the payment to bank in installment with mark up/interest.

y Daily stock position y Ammanat Comparison Report y Filled Stock position y FIFO implementation Report y Daily raw material yield report y Daily production Losses Report y Daily CO2 Production Report . insuralnce procedures and shipment clearance procedures etc. y y y y y y y y y Planning Leading Controlling Marketing Promotion Hiring and selection Interviewing new employees Supply and distribution channels Customer relationship 0DQDJHPHQWV$FFRXQWV'HSDUWPHQW 7KLVGHSDUWPHQWLVZRUNLQJYHU\HIILFLHQWO\XQGHUWKHOHDGHUVKLSRI &+$$6.0\DFWLYLWLHVLQILQDQFHGHSDUWPHQW In finance department I learnt about leasing.0+HLVD$VVLVWDQWPDQDJHURIWKLVGHSDUWPHQW 7KLVGHSDUWPHQWLVYHU\ZHOOHVWDEOLVKHGKDYLQJGHYRWHGZRUNHUV  The basic function of this department is to get data from production and MIS department to prepare report.

HUMAN RESOURCE DEVELOPMENT My 5th week was in Human Resource Department. Mr. . This is a structured interview. My activities in management accounts department I worked with them to prepare many reports which are prepared on daily and shift wise basis. The manager of respected department takes 2nd interview. For example these reports include daily losses reports. It is an unstructured type of interview. How the measure the quantity which is loaded out.y Labor Cost Tracking Report y Shift wise record of daily transactions is maintained. daily yield reports etc. For all four levels there are different types of tests available. Recruitment Process After collection of CVs a test is conducted. Muhammad Tahir are coordinating her. I learnt how to calculate the stock. If the applicant passes the test then a realistic job preview is done. process is as follow. The Human Resource mfg. y y Reconciling physical stock with MIS reports Posting on balance sheet register y Maintenance of stock FIFO system The whole company¶s function depends upon the reports generated by this department. This department deals mainly with a significant asset of the organization namely human resource. After the RJP further interviews are collected. Miss Parsa Habib is manager of this department. The manager of HR takes 1st interview. Human Resource department is one of most important part of any organization which performs the activities for staffing the organization and sustaining high employee performance. In which the applicant is shown the job environment and responsibilities. Muhammad Afzal and Mr.

This interview is optional.After this GM and a panel of mangers take a 3rd interview. This software helps the HR department in evaluation of employees. Feed Back: For feed back company uses the 360 degree rule. This enables the HR department to get feed back from every level and every side. . In other words job specification and HR department does job description Training: Then employee is trained. Evaluation is done on monthly basis. Career development Career development is the important function of the HR department because all the training programs are initiated by this department and therefore it plays a vital role in career development. Further feed back is provided and received by each employee. Specifying jobs and roles: When the new employees are hired the HR department specifies the job and the role of the new employee in the organization. Placement: Then employee is placed on his job. It depends upon the level of job. Evaluation: Evaluation of employees is done by using software. For this purpose On the job training is used. which he will play in the future. Sometime it is taken and sometime not. Final Selection: After clearing all interviews final selection is made.

The department also control and maintain the record of ³Khanpur Depot´. Purpose of Audit Department: y y y y y y Check the availability of empty bottles to meet the demand of production. acts as a client of this agency for hiring of staff members above manager level. y Audit of empty Glass bottles.Outsourcing: HR department also outsource employees which are above manager level. empty shells. So Shamim and Co. Accurately verified the empty of shipping and production. Production empty at factory Shipping empty at factory In this department Audit of MIS department (Mela credit. For this purpose this department gets services of a recruiting agency named ³Abacus Recruiting Agency Lahore´. Pallets verification are also made regularly Verification of empty of different depot. weekly and monthly basis. Function of Department: y y y y y There are two types of empty in factory. This department is interlinked with the Management Account. Plastic shell. Check whether empty is short and excess. empty shells. Daily report are made and matched with the production and shipping department. . Audit department My 6th week was in the ³Audit Department´ of ³Shamim & CO (Pvt) Ltd Multan´ This department audits the empty Glass bottles. Pallets on daily. Contingency short/excess reports). Pallets on daily and monthly basis. Liquid Credit.

For example y y y y y y How to deal with seniors and subordinates How to communicate with others Discipline Punctuality How to lead my subordinates How to maintain different records Financial Analysis LIQUIDITY RATIO¶S: These ratios are important in measuring the ability of a company to meet both its short term and long term obligations. What I learnt in the organization During my internship program I learnt a lot. Year CA CL Working Capital 2005 343179640 280253635 62926005 2006 390387892 326286103 64101789 2007 468465470 375229018 93236452 2008 562158564 431513371 2009 674590277 496240376 130645193 178349901 Current Ratios: This ratio measures the short-term debt-paying ability of the company . Verification of empty stock and liquid filled stock is also made. The department also control and maintain the record of ³ Khanpur Depot´ Daily reporting of sale.L. cash and expense are made. Working Capital: Working capital is an indication of the short ± run solvency of business Working Capital = C.y y y y They daily verified the empty of shipping and production department.A ± C.

2 2007 468465470 375229018 1.Current Ratio Years CA CL Current Ratio = 2005 343179640 280253635 1.1541897 2008 67692050 431513371 0.151554 2007 57856450 375229018 0. TIME INTEREST EARNED: TIE = EBIT /INTEREST EXPENSE YEAR EBIT Interest Exp TIE 2005 13130022 1644312 8 2006 15544100 1061878 15 2007 18432038 1536003 12 2008 21643604 1812483 11 2009 25539453 2138730 12 DEBT RATIO¶S: This ratio measures what portion of a company¶s assets is contributed by creditors.15064301 2006 49449960 326286103 0. A C.25 2008 562158564 431513371 1.36 ACID.16096356 CA CL Q Ratio DEBT MANAGEMENT: This is the most common measure of the ability of a firm¶s operations to provide protection to the long-term creditor.2 C.30 2009 674590277 496240376 1.TEST RATIO: This ratio is like the current ratio but excludes current assets such as inventories and prepaid expenses that may be difficult to quickly convert into cash.15687127 2009 79876619 496240376 0. DEBT RATIO: TD / TA . Quick Ratio=Quick Assets / Current Liabilities Years 2005 42218250 280253635 0. L 2006 390387892 326286103 1.

5 2008 432864437 200441348 2.9 2007 376403858 151350962 2. D/E = TD / TE YEAR TD CE D/E 2005 28127523 5 10389038 4 2. The higher the Total Asset Turnover is the more effective use of the company's . of a company's accounts receivable Gross Re ceivables Net Sales / 365 2006 15527617 885258201 6 Days sales in receivable = YEAR A/R Sales DSO 2005 16881442 849952926 7 2007 20156759 1062309841 7 2008 23180273 1274771809 7 2009 26657334 1529726171 6 TOTAL ASSET TURNOVER: A company's effectiveness in generating sales revenue from investments back into the company.2 2009 497794102 262172840 1.9 ASSET MANAGEMETNT: These ratios are important in measuring the efficiency of a company 1.YEAR TD TA Debt Ratio 2005 281275235 385165619 73% 2006 327307703 439795604 74% 2007 376403858 527754820 71% 2008 432864437 633305785 68% 2009 497794102 759966942 65% D/E RATIO: This ratio indicates the extent to which debt is covered by shareholders¶ funds. Days sales in receivable: Shows both the average time it takes to turn the receivables into cash and the age. in terms of days.71 2006 32730770 3 11248790 1 2. It reflects the relative position of the equity holders and the lenders and indicates the company¶s policy on the mix of capital funds.

If a business is liquid and efficient it should also be Profitable.I / C.92 2009 980317957 505114546 1.94 PROFITABILITY RATIO¶S: Profitability Ratios show how successful a company is in terms of generating returns or profits on the Investment that it has made in the business.investments. A company with low inventory and strict credit policies to keep Accounts Receivable low will help the Total Asset Turnover look even better. TAT = SALE / TA YEAR Sales TA TAT 2005 849952926 385165619 2. Total Asset Turnover can be very useful if you watch what actually makes up the Total Assets of the company. Of course it depends on all of the company's Total Assets.9 2008 852450397 443082935 1.9 2007 741261215 388669241 1.E . RETURN ON EQUITY (ROE): The Return on Equity of a company measures the ability of the management of the company to generate adequate returns for the capital invested by the owners of a company.21 2006 885258201 439795604 2 2007 1062309841 527754820 2 2008 1274771809 633305785 2 2009 1529726171 759966942 2 Inventory Turnover: This ratio measures the number of times merchandise is sold and replaced during the year Inventory turnover: Cost of goods sold/ Average Inventory YEAR CGS A Inventory ITO 2005 587227740 300961390 2 2006 644574970 340937931 1. Generally a return of 10% would be desirable to provide dividends to owners and have funds for future growth of the company ROE = N. Ability to provide financial rewards sufficient to attract and retain financing.

falling prices or declining sales in the future.80% 2009 28285589 1529726171 1.85% NI Sales NPM 2006 14482222 885258201 1.60% 2009 28285589 759966942 4% NET PROFIT MARGIN: The Profit Margin of a company determines its ability to withstand competition and adverse conditions like rising costs.64% . NPM YEAR 2005 11485710 849952926 1.I / TA YEAR NI TA ROA 2005 11485710 385165619 3% 2006 14482222 439795604 3. ROA= N. The ratio measures the percentage of profits earned per dollar of Asset and thus is a measure of efficiency of the company in generating profits on its Assets.70% 2008 22628471 1274771809 1.40% 2008 22628471 633305785 3.30% 2007 18102777 527754820 3.35% = NI /SALE 2007 18102777 1062309841 1.YEAR NI CE ROE 2005 11485710 103890384 11% 2006 14482222 112487901 13% 2007 18102777 151350962 12% 2008 22628471 200441348 11% 2009 28285589 262172840 11% RETURN ON ASSET¶S: The Return on Assets of a company determines its ability to utilize the Assets employed in the company efficiently and effectively to earn a good return. The ratio measures the percentage of profits earned per dollar of sales and thus is a measure of efficiency of the company.

Shamim&Co (Pvt) Ltd Multan Operating Income is increasing and Net Income increasing in the every next month as total percentage of sales. Shamim&Co (Pvt) Ltd Multan is able to receive its receivable on time due to which it receiving cash time by time and able to pay back to its creditors on time. From these calculations I come to know that the Current Assets and fixed asset are increased in every next year.VERTICAL ANALYSIS (COMMON SIZE ANALYSIS Common-size Percent Analysis Amount Base Amount = × 100 % Financial Statement Base Amount Balance Sheet Total Assets Income Statement Revenues From vertical of Shamim&Co (Pvt) Ltd Multan I have concluded that the performance of Organization is good from previous five years. It means its average collection period as well as the average payment period of the firm are good. In the vertical analysis I have calculated the values of all items of Balance Sheet and income Statement in percentage with respect to the sales and total assets. On the basis of my conclusion I can say that the overall performance of Shamim&Co (Pvt) Ltd Multan is good from previous five years .

Non-alcoholic beverages fall with in the food category under FDA. Similarly current asset were also increased 20-25% in 2007. From the last five years its profit is increasing. So. 2006. 2007 Common Equity increased while purchasing Fixed Assets. 2008 and 2009.2007. we can say the performance of fixed asset is up to standard. But relative to this its current liabilities increased less. So. In 2005. .2006. it had enough working capital to which was enough for solvency of organization. Profit of Shamim&Co (Pvt) Ltd Multan is also increasing 2005. Shamim&Co (Pvt) Ltd Multan its assets efficiently as result of this generating more profit. PEST ANALYSIS The PEST analysis examines changes in a marketplace caused by the following factors. Organization focusing on expansion in the last 3years as a result of expansion its Fixed Assets 2008 increased by 35% and in 2009 increased by 60%. The government plays a role with in the operation of manufacturing these products in terms of regulations.Horizontal Analysis From horizontal analysis of the Shamim&Co (Pvt) Ltd Multan I have concluded that over all performance of the firm from previous five years is very good.     Political changes Economic changes Social changes Technological changes Political changes From one party to another in control for example the rise in private healthcare and privatization under conservation governments.2008 and 2009.

y y y Employment opportunities will be higher. the internet. Combined pricing decisions with mutual agreement between PEPSI and Coke. E-commerce. ECONOMICAL FACTORS: The country like Pakistan whose economy is not strong enough is affected by so many economic variables which are the following. SOCIAL FACTORS: y The social factors of each society and culture are different from each other so these also influence the industries as well. For helping recent earth quake victims. Increasing demand of PEPSI requires establishment of new production plants. y Low literacy rate is a problem due to which rural customers are not able to differentiate between PEPSI and Coke and etc. y They have been sponsoring different cricket events and Pakistan cricket team for almost 10 to15 years. Some factors that cause companies actually results to differ materially from the expected results are as follows: . The following are some standards of the factors that could cause Pepsi -cola company¶s actual results to differ materially from the expected results described in their underlying company¶s forward statements. y y Fast food popularity among teenagers has led to the increase in demand of PEPSI. Social welfare program is also active at PEPSI for example PEPSI donated 1 million Rs. Technological changes: Creates opportunities for new products and product improvements and of course new marketing techniques.There are potential fines set by government on companies if they do not meet a standard of law. Now it has become a trend that soft drink should be served in almost every gathering.

Pepsi provides its own transport to distributors to cover those geographical areas where competitors are not distributing their products because of difficulties to reach there. SWOT Analysis STRENGTHS: y y They are proactive in their competitive strategies. They are having more than one supplier for a particular material to avoid stock outs in case of high demand or supplier¶s inability to ship material. They are financially very strong and require no financial help from country office Their plants are capable of producing round the clock.The effectiveness of company¶s advertising. y y y y Daily revision of production schedule based on daily demand. The new technology of internet and television which use special effects for advertising through media. so distributors are willing to carry PEPSI brands y They have a recovery department which is responsible for the collection of bad debts and identifying sales of low graded PEPSI. y Suppliers are bound to supply material on the terms and conditions specified by PEPSI Weaknesses: y y Poor feed back from employees Insufficient salaries . y y High brand image and customer loyalty On site training of 4 to 6 months enables plant engineers to manage plant operations effectively so that machine downtime is reduced to minimal. They make some products look attractive. y y Very huge production capacity 500.000 per day. marketing and promotional programs. They offer attractive margins to the distributors.

I have following suggestions to cope with their weakness and threats and take competitive advantage of theor strengths and opportunities. . y New brand introduction Threats: y y y y y y y Coca. But I think they are lagging in some areas. y y There is high market growth opportunity Country office is responsible for national add campaigns which facilitate PEPSI Multan to enjoy the benefits of integrated advertisements. y Factory is located in the residential areas with no proper parking arrangements for its vehicles.Cola is on its way to get market share Amrat and Makka cola also trying to get market share Changes in consumer purchasing power Increase in competition Inflation Due to blame of religious group No proper employee¶s orientation programs Suggestions: On the basis of SWOT analysis I observed that shamim & Co. So they need to improvement in some aeas. Opportunities: y Because of high customer loyalty and brand image new brands can gain customer preference very soon.y y Monopoly of distributors cause harm to company Loading and unloading of trucks can take place only in the night because of the law permitting trucks to enter into urban areas only in the night. Multan is working in a very well manner.

Conclusion:  Shamim&Co focusing on continuous expansion especially in fixed assets like building and installing plant. The people were like sweet soft drinks as that of Coca-Cola.  Committed staff is the main reason that it captures more than 85% share of market share. Some policies need to be redefined. It can be in the form of incentives and free sampling. y Rules & Regulation Implementation of rules should be make sure in the organization at any cost. So there is a need to have slightly sweet drinks. But the organization should recognize the differences in different regions and then launch the schemes to get feedback.  A very well-establish distribution network covering whole of the franchise areas. y Islamic Activities There is the perception that Pepsi cola is the Jewish company and it facilitates Israel.  The purpose of expansion is to increase its share. y Promotional Schemes Most o schemes introduce by the Pepsi cola are standardized for all the regions. The people who believes & don¶t like to drink.y Taste As the climate of Pakistan particularly Multan is very hot. So it can be reduce by adding Islamic valued in the promotional campaigns. y Motivation The employees should be motivated to be loyal with the organization. .

visi coolers.  Shamim&Co having 85%market share currently and market leader in Multan.  Shamim&Co showing profits since last 5years and according to it¶s annul reports its profit is increasing. Company has invested too much money in shape of coolers. counters and cabin. .

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