MGT 337 Termpaper On Aci

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MGT 337 Termpaper on ACI
Production management (East West University)
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CRITICAL ANALYSIS OF PRODUCTION

OPERATION MANAGEMENT OF ACI
LIMITED
Consumers Brand

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Critical Analysis of Production Operation Management of

ACI Limited
Course Name: Production Operations Management

Course Code: MGT 337
Section: 04
Course Instructor:
Kaniz Fatima
Senior Lecturer
Department of Business Administration
East West University
Prepared by:
Serial No. Name ID Participation (%)
24 Sadika Nusrat Mim 2017-3-10-093 16.67%
29 M.Zulkarnyne Ibna Ehsan 2018-1-10-063 16.67%
34 Jubayer Rahman Himel 2018-1-10-167 16.67%
39 M. A Saif Shahariar 2018-2-10-090 16.67%
41 Abdullah - Al - Fahim 2018-2-10-117 16.67%
43 Faria Latif Rahman 2019-1-10-240 16.67%
Date of Submission: May 20, 2021
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Letter of Transmittal
May 20, 2021
Kaniz Fatima
Senior Lecturer
Department of Business Administration
East West University,
Jahurul Islam City Gate, A/2 Jahurul Islam Ave,
Dhaka 1212.
Subject: Request for acceptance of the Term Paper
Dear Ma’am,
We are pleased to submit the term paper that you asked for and gave us the authorization to
work on “Critical Analysis of Production Operation Management of ACI Limited” to deal
with the problem or issue in a real world situation. We tried our level best to work on it carefully
and sincerely to make the report informative as much as possible
Though we are in learning curve, in this term paper we have tried to make a good combination
of learning from the course. If there is any mistake and clarification required and query needed
regarding this term paper will be gratefully acknowledged.
In the circumstances stated above we sincerely hope this term paper will fulfill the requirements
advised by you for the course MGT 337. Lastly, we would be gratified if you would allocate
some of your valuable time to examine this report.
Sincerely,
Sadika Nusrat Mim
M.Zulkarnyne Ibna Ehsan
Jubayer Rahman Himel
M. A Saif Shahariar
Abdullah - Al - Fahim
Faria Latif Rahman
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Acknowledgement
First of all we would like to thank the almighty because of successful completion of this term
paper. We would like to thank our honorable faculty Senior Lecturer Kaniz Fatima ma’am for
providing us with the opportunity to work on this term paper and gain experience.
We also thank all our group members & friends who inspired us & helped us to build
confidence and put us in a deep concentration to carry on our course work and supported us at
the end with great excellence.
We lastly would like to express our appreciation to our East West University and we are
eventually grateful to the University and its excellence that works for education encourages us
and creates knowledge, as knowledge is power.
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Table of Contents
1. Executive Summary .................................................................................................................. 5
2. Chapter 1 .................................................................................................................................. 6
2.1 Introduction ....................................................................................................................... 6
2.2 Origin of the study: ............................................................................................................ 6
2.3 Objective of the study: ........................................................................................................ 6
2.4 Scope of the study: ............................................................................................................. 6
2.5 Limitation of the study:....................................................................................................... 7
2.6 Methodology: ..................................................................................................................... 7
3. Chapter 2 .................................................................................................................................. 8
3.1 Brief Introduction............................................................................................................... 8
3.2 Product Categories ............................................................................................................ 9
ACI Consumer Brands: .............................................................................................................. 9
3.3 Productivity ..................................................................................................................... 12
Capital ..................................................................................................................................... 12
Productivity by energy ............................................................................................................. 12
Raw Materials ......................................................................................................................... 12
Formulation ............................................................................................................................. 12
Labor & Staff .......................................................................................................................... 12
Product Category (Savlon) ....................................................................................................... 13
3.4 Process Strategies ............................................................................................................ 19
3.5 Facility layout .................................................................................................................. 20
3.6 Product Strategies ............................................................................................................ 20
3.7 Scheduling ....................................................................................................................... 21
3.8 Forecasting ...................................................................................................................... 21
3.9 Inventory Management ..................................................................................................... 22
3.10 MRP (Material Requirements Planning) ........................................................................... 23
3.11 ERP (Enterprise Resource Planning)................................................................................ 24
4. Chapter 3 ................................................................................................................................ 25
4.1 Findings .............................................................................................................................. 25
4.2 Conclusion ....................................................................................................................... 25
5. Works Cited ............................................................................................................................ 26
6. Appendix ................................................................................................................................. 27
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1. Executive Summary
ACI is a market leading Public Limited Company which is operating in Bangladesh. While
doing the Critical Analysis of Production of ACI Limited we came to know the in-depth
concept of production management and how it works in real life. For elaborate knowledge
gathering we seat for a virtual interview session with Mr.Rashid Bakhtiar, Territory Sales
Manager ACI Limited. From him we came to know some important and fascinating things
about ACI Limited's activities. Since we have chosen to work for the overall Consumers brand,
we found that there are numerous well known items like ACI Aerosol, Savlon, and ACI
mosquito coil, ACI Pure Spices and Flour. At the point when we needed to think about
efficiency our interviewee was frank enough to disclose to us how they increment profitability
if there should arise an occurrence of work, energy, raw material and in Covid Situation how
they deal with their efficiency. Our interviewee deliberately said that ACI follows the High
volume and Lower verity rules. They concentrates on each item that they are producing and
focuses on differentiation. They focuses on the quality not cost. With respect to the booking
ACI restricted arrangement that on week after week time premise and in the event of
determining they follow both time management and acquainted. For their stock administration
they do it by 3 different ways.
 RM-PM,
 Working progress
 Finished Goods.
ACI do their MRP physically on the grounds that they imagine that it can make issues and for
ERP they utilize distinctive programming for various divisions. Which basically helps them to
evaluate the whole advancement.
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2. Chapter 1
2.1 Introduction
This report shows an in depth critical analysis on the Production Operation Management of
ACI limited (The Consumers Brand). In this report we have tried to cover-up different aspects
such as productivity, process strategies, forecasting, scheduling, MRP and ERP of ACI
Limited.
2.2 Origin of the study:
This report was given to us as a part of the partial requirement of the “Production Operations
Management” (Mgt337) of Bachelor of Business Administration program of East West
University. Our course instructor Kazim Fatema, Senior Lecturer. Our honorable Senior
Lecturer has assigned us this report as a part of the course. Madam has authorized the task of
writing this report on a group basis.
2.3 Objective of the study:
The main purpose of this report is to know how a particular company’s production operations
management works. For better understanding and fulfill our main purpose, we have discussed
about product categories, productivity, process strategies, facility layout, scheduling,
forecasting, inventory management, MRP and ERP.
Objectives of the study are-
 How an organization does forecast.

 How to find out MRP and ERP
2.4 Scope of the study:
This study helps us to know about the Advanced Chemical Industries (ACI) Limited
elaborately and how they work for production operations management and what is its scope. It
gives us a clear idea about for which purpose we are doing this study and the purpose of this
course. This study will help future researcher if anyone wants to collect information or know
about Advanced Chemical Industries (ACI) Limited.
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2.5 Limitation of the study:
We had to do our maximum work on internet-based analysis and report study. Though we have
taken an interview from Mr.Rashid Bakhtiar; Territory sales manager of Advanced Chemical
Industries (ACI) Limited, it is not enough. It would have been better if we could have met and
took the interview. But for this COVID-19 situation we could not do that. That is why we did
not get to know more in depth about the Advanced Chemical Industries (ACI) Limited. But we
can ensure that, we tried to do our best so that we can make a proper and useful report. Unable
to collect all information about Advanced Chemical Industries (ACI) Limited.
2.6 Methodology:
We have used both primary and secondary data for this report. We have taken an interview of
a sales manager of Advanced Chemical Industries (ACI) Limited and also take the help of
different website, research paper, report etc.
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3. Chapter 2
3.1 Brief Introduction
A British multinational company named Imperial Chemical Industries established a branch in

what was then East Pakistan. Later, it was transformed after liberation. It transformed into a
company which’s name was ICI Bangladesh Manufacturers Limited. When it was renamed as
Advanced Chemical Industries (ACI) Limited, in 1992 ICI took over the investment in
Bangladesh.
There are some largest multinational heritage companies in Bangladesh. Advanced Chemical
Industries (ACI) Limited is one of them. Through its four different strategic business units it
basically operates across the country. By introducing innovative and reliable pharmaceutical
products, ACI Pharmaceuticals wants to improve the health of the people of Bangladesh.
Through toiletries, home care, hygiene, electrical, electronics, salt, flour, food, rice, tea, edible
oils, paints and international trade ACI Consumer Brands is increasing the value of consumer’s
daily lives. ACI agribusinesses are one of the largest integrators of Bangladesh in agriculture,
livestock, fisheries, farm mechanization, infrastructural development services and motorcycles.
One of the largest retail chains in the country is ACI Retail Chain. Through its 129
“SHWAPNO” outlets across the country, it touches the lives of more than 400,000 families
every day. During the fiscal year 2018 to 2019, the company has contributed Tk 3,770 million
to the national revenue by corporate tax, customs duty, and value-added tax.
The intention of ACI is that they want to enrich the quality of life of the people. They desire to
do that through responsible application of knowledge, technology, and skills. ACI is
determined to do something amazing by world-class product, innovative processes and
empowered employees so that they can provide the top-notch satisfaction to their customers.
As per recommendation of World Health Organization, ACI ensures proper adherence to
current Good Manufacturing Procedures (cGMP). It also meets all national regulatory
requirements related to its current business. ACI has been accepted as a founding member of
the community of Global Growth Company by the World Economic Forum.
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3.2 Product Categories
Advanced Chemical Industries (ACI) Limited is one of the renowned companies in

Bangladesh. It has four diverse strategic business units.
o ACI Pharmaceuticals
o ACI Consumer Brands
o ACI Agribusinesses
o Retail chain
ACI Consumer Brands:
ACI Consumer Brands was launched in 1995 with two major brands one ACI aerosol and
other savlon. Which are the most renowned products, and both are taking the leadership
position in the market.
The consumer brand segment includes-
 Household Insecticides
 SAVLON Antiseptic
 Personal Care
 Home Care
 Kitchen Care
 Fabric Care
 Commodity Foods
 ACI Electrical Division
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Household Insecticides:
 ACI Aerosol
 ACI
 ACI Mosquito Coil
SAVLON Antiseptic:
o Liquid Antiseptic
o Antiseptic Cream
o Antiseptic Bandage
Personal Care:
 Savlon Antiseptic Hand Wash

 Savlon Soap
Home Care:
 Angelic Fresh Air Freshener

 Vanish Toilet Cleaner
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Commodity Foods:
 ACI Pure Salt

 ACI Edible Oils Limited
 ACI Pure Flour
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3.3 Productivity
Capital
We ask about their capital in the interview and the Territory Sales Manager ACI Limited
consumer brands Mr.Rashid Bakhtiar said that confidential information which ACI will not
share.
Productivity by energy
 ACI use Auto cartooning process which save labor energy. In auto cartooning process,
products cartooned by machine. So no human involvement is need in this process.
 ACI rap their products by machine, without any touch of hand, which saves time and
energy. In this process also ACI do not need any human involvement in their rapping
process.
ACI use “U” shaped manufacturing and production plan which saves energy and money.
With a “U” shaped manufacturing process the employees finish their work in the same
location they start their work eliminating the waste of walking from the end of the line back
to the start.
Raw Materials
Savlon produce lots of different kinds of products and it needs different kinds of chemical as a
raw materials also. Commonly sold as a cream, the product range also includes antiseptic
sprays, sticking plasters and other antiseptic products. Savlon is a brand of antibacterial
personal care products with the active ingredients of cetrimide and chlorhexidine gluconate.
Generally ACI store their raw materials for one year.
Formulation
The active ingredients in Savlon products are two antiseptics-
1. Cetrimide and
2. Chlorhexidine gluconate.
Labor & Staff
Sample Size:
Designation No. of employees
Junior Manager 14
Senior Manager 06
Total 20
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ACI HR has a vision of developing a work atmosphere that fosters creativity, innovation, and
efficiency in order to achieve business success through diverse and committed employees.
Human Resources are the most important asset of the organization. ACI provide training to his
employee to get the best performance and improving knowledge and skills. They used to work
in team to get best output from individual worker and generate potentials. They try to give
comfortable working environment to get the best output from the employees. ACI also
priorities the cultural activities and values.
Product Category (Savlon)
Savlon Antiseptic is the industry leader of both Liquid Antiseptic and Antiseptic Cream,
establishing a clear authority in the antiseptic group. Savlon has a nearly 74 percent market
share in Liquid Antiseptics and a nearly 79 percent market share in Antiseptic Creams. Through
the pandemic of covid-19 the company led the market and keep the people of Bangladesh germ
free.
Savlon
Liquide Antiseptic Antiseptic Creams

Market share 74% Market share 79%
Savlon Antiseptic has the following products under its Umbrella:
 Savlon Liquid Antiseptic
In the antiseptic product the first reminder

product is Savlon. It is consumer trust
worth product through the long time.
Savlon guarantees a clean and protected
atmosphere for your family. Savlon
Antiseptic Liquid can be used on clothing,
but it can also be used to clean surfaces and
laundry. Savlon Antiseptic Liquid may be
used to treat cuts and grazes, insect bites
and stings, mild burns and scalds, and even personal hygiene in the bath or midwifery. Savlon
offers a large number of SKUs to ensure that everyone can find the right size for their needs.
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Liquid Antiseptic category

 Savlon has 5 general SKUs of differing pack sizes: 56 ml, 112 ml, 500 ml, 1000 ml and
5000 ml.
 In addition there is a special SKU named ‘Hospital Concentrate (HC)’ in 5000 ml pack size
available specially designed for the hospital purposes.
 Savlon has a total of 6 SKUs 56ml, 112ml, 500ml, 1Ltr, 5Ltr, HC 5Ltr
 The small packs of 56 ml and 112 ml are available in glass bottles, whereas the bulk packs
are available in plastic containers.
 Savlon Antiseptic Cream
Savlon Antiseptic Cream provides a 2-step solution

in germ protection. It cures any skin wound and
speeds up the wound healing process by speeding
up the three steps- inflammation, tissue formation
and tissue remodeling. Savlon Antiseptic Cream
integrates germ-killing strength with long-lasting
defense. Savlon developed for cuts, bruises,
blisters, grazes, insect bites, windburn, sunburn,
nappy rash, and broken or itchy skin. Skin is
soothed, and it aids in the prevention of infections.
Antiseptic Cream category

 It has 2 specific SKUs in this segment the 30g and 60g tubes. Both of which are hugely
popular among its customers.
 Savlon has 2 SKUs in 30 gm and 60 gm pack sizes.
 Savlon Antiseptic Hand Wash:
In 2010, Savlon Hand Wash start his journey, and

work nonstop. It has different types of variant
fragrance, color, and efficacy to satisfy customer.
It has an antibacterial cleansing effect as well as a
moisturizer that keeps skin smooth. One of the
most important ways to prevent disease is to wash
your hands with soap. With its three distinct
versions- Active, Aloe Vera, and Ocean Blue Hand
Wash- Savlon Hand Wash adds more excitement
and pleasure to consumers' daily hand washing
practices. Consumers' skin feels smooth, gentle,
and clean after using Savlon Hand Wash. Savlon Ocean Blue is a sparkling new scent that
leaves you feeling as energised as a swim in the sea. Savlon Aloe Vera is enriched with a light
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fragrance and Aloe Vera sensation to gently and deeply cleanse skin without stripping vital
moisture.
Hand wash category

 Savlon has 30 different SKUs with 6 different variants.
 Pack size is available in 200 ml Standy Pouch, 250 ml & 500 ml Dispensing Pump and 1
L Re-fill of each variant.
 Savlon Antiseptic Soap
Savlon launched its antiseptic bar soap line in 2003

with one variant. Currently Savlon is offering five
distinct variants- Active, Mild, Fresh, Cool & Men.
It has two anti-bacterial agents, namely Colloidal
Gold & Colloidal Platinum. Savlon soap is a
trustworthy and dependable antiseptic soap that
destroys the most germs while still caring for the
skin. The Savlon selection covers almost every aspect of a family's hygiene. In the personal
hygiene product group, ‘Savlon' has become a symbol of consistency and protection.
ACI Consumer Brands has Savlon Antiseptic Soap in three variants-

 Active- Savlon Active Antiseptic Soap is designed for leads active life style and always
prefer strong protection against germs.
 Mild -Savlon Mild Antiseptic Soap is designed for conscious about both germ protection
and moisture level of skin. Its charming fragrance allows it to stand out as a refreshing
break in hygiene practice. Savlon Mild Antiseptic soap does not allow its consumers to
compromise proper care of their skin besides germ protection.
 Fresh Antiseptic soap- Savlon Fresh Soap has been developed focusing on the key
consumer need of ‘Freshness’ during bath. This product combines Savlon's trusted
protection with a pleasant fresh fragrance. By using this soap, one not only stays protected
from germs but also feels fresh for long. Thus this soap can be treated as a complete package
of germ protection, freshness and moisturization of skin.
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 Savlon Shower Gel
Savlon Shower Gel at first introduced in Bangladesd by ACI

Consumer Brand. It get the cosumer market very fast. As the
leading personal hygiene brand, Savlon has taken the lead in
introducing these products to the market among local players
get response soon. Nowaday people getting busy and they want
to use best product and easiest way. Shower Gel is very
convenient to use than regular soap that is why consumer gives
it’s prefer more. Mixed flower extracts refresh the senses with
an elegant yet gentle scent, while mixed fruit extracts arouse the
senses with a fruity scent.
Shower gel category

It is available in 250 ml Dispensing Pump in two variants of mixed flower and mixed fruit
extracts.
 Savlon Hand Sanitizer
Savlon Hand Sanitizer has a unique 3 in 1 formula that destroys

99.9% of germs instantly and is enriched with a special
moisturizing complex that moisturizes hands without leaving them
wet. It helpful to user to keep sanitize hand.
 Savlon Hand Rub
Savlon Hand Rub makes it easy to keep your hands clean and germ-
free. Use your hands to apply the product to make sure it covers the
entire surface. There is no requirement for water, so it any use any
time anywhere.
 Savlon Disinfectant Spray
Savlon Disinfectant Spray is the pioneer brand in this category of

Bangladesh. It was created to help families avoid becoming sick by
preventing the spread of dangerous bacteria and viruses. On either
soft or hard surface, the powerful ethyl alcohol-based formula can
destroy 99.99 percent of germs and flu viruses.
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 Savlon Wet Wipes
Savlon Wet Wipes are convenient to use at any time and in any
location. Its antibacterial formula keeps you germ-free while still
making you feel refreshed. Its refreshing fragment also liked by the
consumer.
 Savlon Baby Wipes
Savlon Baby Wipes range ensures the safety of infant’s delicate

skin with alcohol-free formula. It’s 5.5 PH balanced, pre-
moisturized formula gently cleanses your baby’s soft skin without
irritation and protects from a wide range of unseen germs. the
mother gives the firsth priority to use baby wipes.
 The first aid Kit (Antiseptic Bandage)
Another most important part of the personal care and family is

First Aid Kit & Box of Savlon. As a customer we look to fulfill
your needs for personal safety and Hygiene. Savlon Antiseptic
Bandage contains Benzalkonium Chloride which has antiseptic
properties catered to give better protection to cuts and wounds.
The comfortable absorbent pad won’t stick to First Aid Kit.
In first-aid, Savlon Liquid Antiseptic is used to clean wounds and avoid infection. It contains
two antiseptics, chlorhexidine and cetrimide, which are both antiseptics and destroy germs.
Minor cuts, abrasions, stings, and insect bites may all be treated with Savlon. It disinfects,
prevents infection, and aids in the skin's natural healing process. It's also suitable for
swimming. As a result, an expected accident, you'll be prepared to deal with the immediate
danger and avoid further complications.
The first aid Kit category

 Consists of a 56 ml or 112 ml Liquid Antiseptic along with a 30g or 60g antiseptic cream
supported by Gauges, Adhesive Bandages, Thermometers, Cottons etc.
 Savlon has Antiseptic Bandages in the first-aid category with a 100 pcs and 40 pcs box
size.
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ACI Aerosol
Bangladeshi consumer first choice is ACI Aerosol. It get 90
percent share among the market and also able to satisfy and
trust of consumer. Today ACI Aerosol is become symbolic
name of Aerosol based pest control category in Bangladesh.
The chemicals are purchase from world renowned Japanese
company Sumitomo Chemical and Co. Ltd. ACI is the trust
brand in consumer mind to ensure safe and hygiene life. The
effort to ensure the highest quality has helped ACI Aerosol
become “The Most Effective Insect Killer”.
Aerosol category
ACI Aerosol is available all around the country in five different pack sizes. They are: 800 ml,
475 ml, 350 ml, 250 ml, and 125ml.
Category Available Variants Available Pack Sizes
56ml, 112ml, 500ml, 725ml, 1Liter,

Savlon Liquid Antiseptic
5Liter, 5Liter Hospital Concentrate(HC)
Savlon Antiseptic Cream 30gm, 60gm, 100gm.
Active, Aloe Vera, Ocean

170 ml, 200 ml, 250 ml, 300 ml, 500
Savlon Antiseptic Hand Wash Blue, Marigold, Lavender
ml, 1000 ml and 5 ltr
and Iris
Active, Fresh, Mild, Men
Savlon Antiseptic Soap 125gm, 100gm, 75gm & 35gm
& Sports
25ml, 50 ml, 100ml, 200ml, 1 ltr and 5
Savlon Hand Sanitizer
ltr
50ml, 50ml spray, 250 ml, 450 ml,
Savlon Hand Rub
5Liter
Savlon Disinfectant Spray 125ml and 300ml
Savlon Wet Wipes 10 Sheets and 20 Sheets
Savlon Baby Wipes 60 heets, 80 Sheets and 100 Sheets
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3.4 Process Strategies
ACI is Product focused in process strategy. They follow high volume low variety rules. They
focus on one product manufacturing at a time. They try to achieve cost minimizing
manufacturing products goal.
ACI adheres to a product-focused strategy. It refers to operations and measurements in terms
of items that are related to fabricating and firms that continuously advance items in order to
remain relevant in an industry. Consider an item cleanser when considering a procedure in
terms of item for case technique. This opportunity demonstrates nearsightedness. Any chance
is that when they focus on an item, they set everything up like how the item is advertised and
how it works. If the item works, they should consider how they set the item's target showcase
and include. Instead of attempting to be everything to everyone, they focused on the specific
target market of a product during item development.
They stick to the "high volume, low variety" regulations. ACI produces a wide range of
products, but their choice is limited. Since they place a premium on product quality rather than
variety. ACI, for example, makes its own soap, but it lacks color and versatility in its product
line. It has a single brand of high-quality soap. That is why they adhere to the defined laws.
ACI also focuses on single product production attempt at a time. When ACI creates a product,
they remain focused on that product. They don't even consider making another product at the
moment. For example, if they manufacture ACI aerosol, they only make that product. They
haven't considered any other commodity for development.
ACI Limited, in addition to all of this, believes in not only introducing new molecules, but also
in introducing new ways of doing things. ACI believes that a healthy body goes hand in hand
with a healthy mind, and that our young generation, who will lead the country in the future,
must grow up with a healthy physique and sound mind. BPL has a history of providing people
with cutting-edge medical care. The products of ACI Limited are all indestructible. ACI
Limited's product portfolio includes a variety of high-quality, effective products, some of
which are first-of-their-kind and many of which are ranked first in their therapeutic areas. Its
product feature and attribute are determined by a group of highly qualified individuals. Inside
their products, they combine art and science.
ACI limited products are designed and engineered in such a way that they stand out from the
competition in terms of overall presentation, size, shape, color, flavor, viscosity, and coating.
Among all competitive brands, ACI limited presentations, whether it is the dosage form or
packaging-blister, strip, bottle, cartons-are widely recognized for their best aesthetic look. In
this segment, the company increased its market share to around 9.89 percent.
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3.5 Facility layout
Here we took Savlon as sample from ACI group of company. In this term paper we took
interview of Rashid Bakhtiar, Territory Salas Manager of ACI limited. He gives
information about ACI, those are –
 Savlon produce 40,000 unit per 24 hour

 Savlon produce Per 6 hours 10,000 unit 500ml, 1000ml
 Normally this product goes for FIFO method
ACI first developed by Imperial Chemical Industries (ICI). Savlon is commonly sold as an
antiseptic liquid. It is used for cleansing and prevention of infection in skin lesions, including
small cuts and blisters and minor burns, and is useful in first aid kits. Other items sold in the
Savlon range include hygiene soap, antiseptic cream and healing gel. Savlon's antiseptic liquid
comes in the SKU sizes of 75 ml, 125 ml, 250 ml, 500 ml, 750 ml and 2 L.
3.6 Product Strategies
Every company's product strategy is a critical component that must be followed. ACI Limited, like
every other company, has its own product strategy for its home care services and toiletries.
Differentiation is a strategy used by ACI. For example, when it comes to toilet paper with a lime/citrus
scent, they prioritize quality over price. They test their product quality frequently.
As we know there are three types of product strategy that every company follows.
 Made-To-Order
 Assemble-To-Order
 Made-To-Stock
Made-To-Stock Product Strategy

Products that are made in advance of demand for immediate sale or delivery. That is, the entire
manufacturing process is completed before a customer order is placed. The product is
standardized, mass-produced in large quantities, the type of inventory is finished goods, and
the delivery time is immediate or short.
Vanish and other toiletries products are in high demand. Before the order is placed, the liquid
chemical is completely processed. Vanish is a standardized method of disappearing. Later on,
their chemicals cannot be customized. The packed or size of the bottle can only be customized
to a limited extent. For example, 1000ml, 1.5 liter etc. Produced in large volumes in everyday
that depends on demand. Delivery time is very short because they produce chemic cleansing
formula in demand before the customer place order. Here the inventory is finished goods and
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that is ACI Vanish. So, when we need to buy Vanish, we go to the shop ask for the desired
quantity and we get it instantly from the store warehouse.
Therefore, from above discussion we understood that the product strategy is Made-To-Stock.
3.7 Scheduling
Scheduling is defined as prescribing of when and where each operation necessary to

manufacture the product is to be performed. As establishing of times it is defined completely
every event or operation a procedure comprising. ACI limited always follow company rules
and regulation. Basically scheduling is a short-term execution plan of a production planning
model. The schedule is an assignment problem that describes in detail which activities must be
performed and how the factory’s resources should be utilized to satisfy the plan. The problem
of allocating machine detailed scheduling is important to compete for the job over time subject
to the constraints. The principle of scheduling is to plan the sequence of work so that production
can be systematically arranged towards the end of completion of all products by due date
Forecasting to the anticipated completion date for each release part proper scheduling plan can
drive and supply data for deciding what to work on next step. Questions about “Can we do it?”
and/or “How are we doing?” For optimization the existence of approaches, in general, the aim
of scheduling study is to perform the task in order to comply with a strategy which is to respond
to priority rules. The aim of short term production planning model is to attain time and saving
opportunities. In the best possible way, it tries to allocate starts from the execution order, to
facilitate the production of the different items. To manage a shop is released of job and all job
is completely optimized. Basically, a good schedule starts from planning and ending from
respecting resource conflicts.
3.8 Forecasting
Forecasting is a technique for predicting the future based on historical and current data, as well
as other factors. For forecasting, two models are used;
 Time Series Model

 Associative Model
By time series model, company forecast based on past data where in associative company
normally take other factors in a consideration while forecasting. ACI uses both associative and
time series, according to Mr.Rashid Bakhtiar; Territory sales manager, ACI consumer brands.
The majority of ACI forecasts are based on historical data. For example, they forecast using
one-year data from July to June, which is done using their own software. On the other hand,
they take into account other factors such as when they are promoting a product or offering a
trade offer or a discount, all of which have an impact on their forecasting. As a result, it can be
said that ACI limited considers both time series and associative data.
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3.9 Inventory Management
Inventory management is non-capitalized assets (inventory) and stock items. In small

businesses, inventory management is important because it helps prevent stock out, manage one
more location and confirm accurate record keeping. An inventory solution creates these
processes easier and tries to do them manually.
ACI Limited is satisfied with their own products and services which consist of the part of the
consumer's demand fulfillment.
Types of Inventory
The main inventory of ACI limited are:
1) ACI Aerosols
2) ACI Mosquito Coils.
These two products are the most important admired, that had the most demand all over the
country. ACI owns its own storage system for inventory. They consider the FIFO (First in First
Out) method for inventory management. They have their own external warehouse for the made-
to-stock items before going out for distribution. The entire unit of production is recorded and
secured. The maintenance information is confidential and sharing it out is against the company
policy. They have to follow their own management system as well which is based on the
company policy.
Those can be 3 ways:
 RM-PM (raw material, packaging material)

 Working progress
 Finished goods
The reasons that help ACI Limited achieving more efficiency in their inventory management
system are:
1. Research existing periods where inventory was uncoordinated with demand: This
is a point where the production unit experience a shortage or excess. They figure out
where it all went wrong; they could be able to fix it more easily.
2. Study demand and consumer spending trends in the marketplace: They look up
for the retail statistics of the other competitors by doing a survey which led them to
gain more efficient results.
3. Assess inventory and supply costs: In these costs include many expenses dispersed
throughout the supply chain, including freight, volume discounts, and warehousing.
4. Categorize your inventory: To create different layers among products to address
different periods of demand for specific types of merchandise. ACI Limited production
unit also categorizes inventory by type of customer, profit margin it delivers, and
overall cost of having it on hand.
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5. Prioritize changes: The production unit may find that many areas need improvement.
However, they need to continue meeting their current demand. This is the point where
they will have to decide which things can be immediately fixed.
6. Get an outside opinion: It may be that ACI Limited is too far away to see how their
inventory management system could run more effectively. They can also be a good
source of information about the latest technology that would fit the specific needs,
address the visible issues, align with their growth strategy, and work with the budget.
3.10 MRP (Material Requirements Planning)
Material Requirements Planning (MRP) is an inventory management system to calculate the

quantity of materials and components that an organization need to manufacture a product. MRP
designed to improve productivity for businesses. MRP works on three step, they are:
 When?
 How?
 Why?
ACI Company use manual system for material requirements planning (MRP). For utilizing
manual framework, ACI's business development department make each course of action by
depending on production plan. It is principally a technique for stock administration, creation
arranging, and booking to deal with the assembling cycle.
ACI generally works on which item they will create and how much stock they are going to
require for that week by week Production. They make material arrangements diversely and
physically. ACI divides their material, inventory and purchase plan in two section.
 RM= raw material

 PM= packaging material
In the raw material segment, ACI chooses the number of inventories they will require for the
following creation like scent and tones which need to blend and hydrochloric acid. In the
bundling material segment, ACI makes a buy arrangement for bottle jars, plastic coverings,
compartments, covers, and stickers to use in bundling the item. ACI handles MRP framework
physically in light of the fact that only one out of every stakeholder is technology friendly so a
completely mechanized framework can be made. Though there are some both advantage and
disadvantages of MRP.
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[This diagram shows some Advantage and Disadvantages of MRP]
3.11 ERP (Enterprise Resource Planning)
Enterprise Resource Planning (ERP) is a type of software that organizations use to manage
day-to-day business activities such as purchasing, financial resource, sales, inventory, MRP
and supply chain management. A total ERP framework is programming that helps plan, budget
plan, forecast, anticipate, and report on an association's monetary outcomes.
ACI Company utilizes distinctive programming for various divisions. They fostered a few
virtual products inside by their own IT group. As ACI fostered their own few programming,
there isn't a lot of data to take.
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4. Chapter 3
4.1 Findings
After researching about the given topics on the internet and taking a virtual interview of
Mr.Rashid Bakhtiar, Territory Sales Manager ACI Limited, we get to know;
 ACI follows High Volume and Low Variety of Products

 Use differentiations
 Plan work on weekly basis
 Follow both Associative and Time Series Model
 Manage MRP manually and ERP technically
4.2 Conclusion
To maintain and be fruitful inside the global of cutthroat business, an ideal Production
Operation Management is required. Bangladesh remains slacking toward the rear of in
numerous vital business fields essentially because of negative conveyance Chain control. To
arise as one stage ahead of time, each Bangladeshi association, fundamentally fabricating like
ACI confined should as a rule commit itself to find approaches to attempt each incredible
practice and get fully informed regarding advancements which may be broadly known and used
in Production Operation subject. It's arising as undeniable, apex priority, and endurance needs
to fit up with more maintainable too exceptional undertaking thoughts to support in a forceful
market. Prospering with qualities and going conceivable outcomes it is additionally basic to
find the methods to vanquish the shortcomings and expected dangers.
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5. Works Cited
Aci-Team, W. (2015, January 1). ACI Limited. Retrieved May 10, 2021, from Wikipedia:
https://en.wikipedia.org/wiki/ACI_Limited
Limited, A. (2000). Aci Limited Products. Retrieved from Consumer Brand Products: https://www.aci-
bd.com/consumer.php
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6. Appendix
We have gone through a virtual interview with Mr.Rashid Bakhtiar, Territory Sales
Manager ACI Limited to collect necessary information for the report. Here, we have attached
the questionnaire below, we tried to cover-up all the required topic provided by our honorable
faculty Kaniz Fatima ma’am.
Questionnaire
 What does a Consumer brand refers to?
 What type of product does ACI Consumers Brand produces?
 What process ACI follows in terms to calculate Labor Productivity?
 What does the term Productivity by energy refers to?
 Which raw materials does ACI uses for their production, Please specify for any
particular product?
 From how long ACI use to store their raw materials for their further production?
 Which process strategies do ACI follows?
 Which product strategies do ACI follows?
 What is the scheduling period of ACI?
 How ACI do calculates their forecasting?
 What is the process Inventory management for ACI?
 Which fiscal year method do ACI follow?
 What is the calculation process of MRP for ACI?
 What do ACI do for Enterprise Resource Planning?
[N.B: All the answers of these above mentioned questions are briefly explained
throughout the overall report]
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Production management (East West University)

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CRITICAL ANALYSIS OF PRODUCTION

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Critical Analysis of Production Operation Management of

Course Name: Production Operations Management

East West University

Serial No. Name ID Participation (%)

24 Sadika Nusrat Mim 2017-3-10-093 16.67%

29 M.Zulkarnyne Ibna Ehsan 2018-1-10-063 16.67%

34 Jubayer Rahman Himel 2018-1-10-167 16.67%

39 M. A Saif Shahariar 2018-2-10-090 16.67%

41 Abdullah - Al - Fahim 2018-2-10-117 16.67%

43 Faria Latif Rahman 2019-1-10-240 16.67%

Date of Submission: May 20, 2021

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May 20, 2021

Subject: Request for acceptance of the Term Paper

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2.2 Origin of the study:

2.3 Objective of the study:

 How an organization does forecast.

2.4 Scope of the study:

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2.5 Limitation of the study:

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3.1 Brief Introduction

A British multinational company named Imperial Chemical Industries established a branch in

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3.2 Product Categories

Advanced Chemical Industries (ACI) Limited is one of the renowned companies in

ACI Consumer Brands:

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 Savlon Antiseptic Hand Wash

 Angelic Fresh Air Freshener

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 ACI Pure Salt

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Labor & Staff

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Product Category (Savlon)

Liquide Antiseptic Antiseptic Creams

Savlon Antiseptic has the following products under its Umbrella:

 Savlon Liquid Antiseptic

In the antiseptic product the first reminder

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Liquid Antiseptic category

 Savlon Antiseptic Cream

Savlon Antiseptic Cream provides a 2-step solution

Antiseptic Cream category

In 2010, Savlon Hand Wash start his journey, and

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Hand wash category

 Savlon Antiseptic Soap

Savlon launched its antiseptic bar soap line in 2003

ACI Consumer Brands has Savlon Antiseptic Soap in three variants-

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 Savlon Shower Gel