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Strategic Management
Dr. Tariq
─

Tahseen Arshad
Karachi University Business School
EB-20542079
BBA- VI
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Pak Elektron Limited (PEL)

Organinzation History:
PEL was founded in 1956 through a technical collaboration with AEG. In 1978, PEL was
acquired by Saigol Group and was taken public a decade later. Over the years, PEL has formed
alliances with several international giants, including General Electric, Fujitsu, and Hitachi.
The company also became the sole distributor of LG Corporation's home appliances in 2009.
PEL group has two divisions: 1. appliances division 2. power division
PEL has been operating keeping in view the philosophy of innovation and advancement. It has
consistently contributed in the development of the engineering sector in Pakistan, keeping in
mind the National interest and consumer welfare. It has introduced a range of quality electrical
equipment and home appliances by producing hundreds of engineers, skilled workers, and
technicians through its apprenticeship schemes and training programs. Until the acquisition by
Saigol Group, PEL was solely catering to the power equipment market but in 1981 the company
ventured into the home appliances market in 1981 as a part of the Group’s long-term strategy of
diversification. In 1997 it acquired technology from Carrier, USA to manufacture window A/C. In
2004 it acquired the technology Ganz, Hungary to produce power transformers. In 2005 PEL
signed a technical Assistant Agreement with Pauwels, Belgium to produce distribution
transformers. In 2009 Distribution Agreement was signed with LG for the sole distribution of
LG’s home appliances. In 2010 acquired Licensing agreement from General Electric (GE), USA
to manufacture LV Switchgear. PEL in 2013 signed a Power contract with Govt. Division's
highest ever sales were recorded of the organization.

1. Refrigerators.
2. Air Conditioners.
3. Deep Freezers.
4. Water Dispensers.
5. Microwave Ovens.
6. Washing Machines.
7. LED TV.
8. Air Purifier.
9.

Industry history:
The home appliance industry of Pakistan was established in 1980s based on fiscal parameters
offered by the Government of Pakistan. It comes under the terrority of Tertiary industry. . Home
appliances have been categorised into three types as white goods, black goods and gray
market of small appliances. White goods consists of heavy consumer durables like air
conditioners, refrigerators, washing machines, sewing machines, vacuum cleaners, dish
washers, deep freezers, microwave ovens, kitchen stoves, trash compacts, drying cabinets,
cookers, electric and gas ovens switch gears, energy meters, transformers, clothes dryers,
geysers, water heaters, electric kettles etc.
The country observed a significant rise in production of domestic appliances such as
Refrigerators, Air conditioners, smart phones, TVs, watches, and other small electronic
appliances over the past few years. Moreover, the home appliances sector occupies around 95
percent of the domestic market. Middle East, South Asia and Africa are major export potentials
of Pakistan. Haier Pakistan is one of the leading brands of Pakistan which contributes as the top
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global brand in connected air conditioners Haier air-conditioners are exported to 32 countries
and regions, including the United States, Italy, France, Russia and India. Other major
competitors are Dawlance, PEL and Orient. They are also contributing their shares in Pakistan’s
export market
Extremely diversified products range of Home Appliances is being manufactured in Pakistan.
• Air Conditioners.
• Refrigerators, Freezers.
• Kitchen Appliances (Microwave Ovens, Cooking Ranges, Water Dispensers etc).
• Domestic Appliances (Sewing Machines, Washing Machines etc).
Major Local Players
• Haier (Pvt).
• Pak Elektron Limited (PEL).
• Dawlance (Pvt).
• Orient Electronics (Pvt).
• Waves- Singer (Pvt).
• Super Asia Pakistan

Vision: “To excel in providing engineering goods and services through continuous
improvement.”
Mission: “ To provide quality products and services to the complete satisfaction of our
customers and maximize returns for all stakeholders through optimal use of resources. To
promote good governance, corporate values, and a safe working environment with a strong
sense of social responsibility.”

B) List down 3 multinational corporations (MNCs) and write down their mission and vision
statements and also check the concept. Also write down example of goal and objective/

1. Nestle
Vision: “To be a leading, competitive, Nutrition, Health, and Wellness Company delivering
improved shareholder value by being a preferred corporate citizen, preferred employer,
preferred supplier selling preferred products.”
Concept: This statement have multiple long-term plans like :

Mission: “Nestle is the world's leading nutrition, health and wellness company. Our mission of
"Good Food, Good Life" is to provide consumers with the best tasting, most nutritious choices in
a wide range of food and beverage categories and eating occasions, from morning to night.”
Concept: In this statement their ability is provide good food. Their resources are their wide
range of categories and they have food for every occasion that is their achievement.

Goals: Conservation of natural resources and minimization of waste. To establish the

benchmark for good business practice. Employing new technologies and processing. Measuring
the cost and benefits to the business of its activities.

Objectives:
FOR INDIVIDUALS & FAMILIES
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Help 50 million children live healthier lives

FOR COMMUNITIES
Help to improve 30 million livelihoods in communities directly connected to business activities
FOR THE PLANET
Strive for Zero environmental impact in our operations

2. IBM

Vision: “To be the world’s most successful and important information technology company.
Successful in helping out customers apply technology to solve their problems. Successful in
introducing this extraordinary technology to new customers. Important, because we will continue
to be the basic resource of much of what is invested in this industry.
Concept: Long term plan of becoming the most successdul and important technological
comapny

Mission: “To lead in the creation, development, and manufacture of the industry’s most
advanced information technologies, including computer systems, software, networking systems,
storage devices, and microelectronics. And our worldwide network of IBM solutions and
services professionals translates these advanced technologies into business value for our
customers. We translate these advanced technologies into value for our customers through our
professional solutions, services, and consulting businesses worldwide.”
Concept: To lead in the creation, development, and manufacture ahows their ability. worldwide
network of IBM solutions and services professionals shows us their resources. We translate
these advanced technologies into value tells us their achievements.

Goals: To develop new information technologies, storage software, and microelectronics. To

provide the best service and solutions to the customers
Objectives: Source the raw material required to make the storing devices, bring in10 new
suppliers for the year. Hiring the right and talented employees for the testing and manufacturing
department through an intensive hiring process that include interview and written and technical
tests.

3. DELOITTE

Vision: “We aspire to be the Standard of Excellence, the first choice of the most sought-after
clients and talent.”
Concept: “ the first choice of the client” this statement clearly shows the long-term future plan of
the organization

Mission: “Our mission is to help our clients and our people excel. We are one of the world’s
leading business advisory organizations. Our size, strength, and resources will help us carry out
our mission now and in the future.”
Concept: mentioning the company's ability and resources as well as the achievement that the
organization is already a world-leading advisory organization

Goals: To provide excellent services to our clients, and deliver value and innovative ideas.
Objectives: Hire the best employees, and conduct training sessions on how to be more
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efficient and effective in work. How to deal with clients and how to make them feel important.