University of Education

Multan Campus, Lahore

Department of Business Administration

Internship Report
S.M FOODS MAKERS LTD.
,
A REPORT SUBMITTED TO THE DEPARTMENT OF BUSINESS ADMINISTRATION,
UNIVERSITY OF EDUCATION, MULTAN CAMPUS, LAHORE IN THE PARTIAL
FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF MASTER OF
BUSINESS ADMINISTRATION (HUMAN RESOURCE MANAGEMENT) HRM.

Submitted By:
BSF1703917
MUHAMMAD UMAR YASiN
2018-2022
Submission Date

University of Education
Multan Campus, Lahore
Department of Business Administration

LETTER OF UNDERTAKING

This internship report was submitted by Muhammad Umar Yasin S/o. Muhammad

Yasin Roll No. BSF1703917 for the partial fulfillment of the requirements for the degree of

BBA (Hons.)

1
 Session (2018-2022)
with specialization in
Human Resource Management (HRM)

and is hereby accepted by the evaluation committee.

Internship Supervisor ________________________

HOD / Coordinator ________________________

External Examiner ________________________

Principal ________________________

DEDICATION
I would like to dedicate this report to my most dear parents and respected teachers who guided me
through my studying carrier and still doing their best for me. To be here in this institution at this level, I
am just because of my parents, especially their training, guidance, love, affection and motivation. I pray
that I can serve my parents as best as I can.

2
3
Acknowledgement
All prays goes to Allah Almighty who has given me, courage and confidence to
complete this gigantic task. But with the noble passion of hard work, nothing remains
difficult. To write an acknowledgement, after the completion of an enormous task has
always been very enthusiastic for me because it’s the best source to thank all those
whose support enable me to complete this report. After thanking GOD, I will thank to
my parents & teachers who prayed for me and without their support I might not be
able to complete this internship.

I want to thank for all those personalities, who have been a continuous source of
guidance during the report. I want to say thanks to all the employees of S.M.Foods.
Their attitude towards me was really very positive and appreciable. I want to
acknowledge them with thanks for their help and guidance on each and every step. I
made many mistakes as I had never been confronted with the business world, but they
never minded and instead of minding they behaved like my brother. They treated me
as their younger brother and forgave all my inaccuracies. But In this regard, I
particularly want to thank those personalities who have been the continuous source of
guidance throughout my internship

Executive Summary
This reportis about internship experience at S.M Food Makers Ltd Multan plant. S.M. Food Makers Ltd
is associate with M.A. food industries Ltd and in short span of five years it is offering a number of food
products in consumer market. This internship report consists of three chapters.

4
The brief history of S.M. Food, Its brands, its core values, and its mission statement. Report elaborates
the business operations in all departments. On the basis of observation and experience at S.M Foods
Ltd, the third chapter includes SWOT analysis of the organization that highlights the factors
responsible for overall growth in consumer market. It discusses the process analysis of Sale department
and HR department and all other departments. This report also includes the competitive strategy that
strengthens the company to get the market share. It is also discussing the marketing strategy. This
report explaining duties that were assigned during internship period. Third chapter is also throwing
some lights on accomplishments of tasks assigned during internship period. It discusses those tasks in
detail in this report. During internship in S.M Food Makers Ltd it finds people in the HR very
cooperative. During this period supervisor is nominated as internship supervisor Mr. Ghulam Hussain
and he provides guidelines at very stage and helps me to learn the activities and then practically
perform all those activities. This Internship report experience helps to progress career specially while
entering in the professional life, as it boosts practical experience of working in any organization
At the end it concludes that, in S.M food Ltd the innovation is appreciated, positive and satisfying in all
aspect of the company operation. The company continues to distribute quality products but still S.M
Food Makers Ltd. Struggles to think outer the box, to make products that will help customers to
increase first choice products leading to maximum value to the customers.

5
 Table of Contents
Preface..............................................................................................................................7
Acknowledgement..............................................................................................................3
1. Introduction...............................................................................................................1
1.1 History ofS.M.Foods.................................................................................................1
1.2 Introduction of S.M.Foods:.......................................................................................2
1.3 Mission Statement:....................................................................................................3
1.4 Vision Statement:......................................................................................................3
1.5 Values of the company..............................................................................................3
1.6 Quality policy of the company..................................................................................3
2.0 Business operation.................................................................................................4
2.1 Organizational Chart.................................................................................................4
2.1 Departmentalization at S.M. Foods.........................Error! Bookmark not defined.
Marketing Department:...................................................................................................8
2.2 Marketing Strategy.................................................................................................8
2.3 Promotion Strategy.................................................................................................9
2.3.1 Pricing Strategy...................................................................................................9
2.3.2 Product Strategy..................................................................................................9
2.3.3 Target Market......................................................................................................9
2.4 Competitive Strategy:................................................................................................9
2.4.1 Marketing strategy..............................................................................................9
2.5 Business Process Analysis........................................................................................9
2.5.1 Human resource department.............................................................................10
2.5.3 Purchase department.........................................................................................11
2.5.4 Quality Control department...............................................................................12
3.0 Learning as a Student Internee .........................................................................13
3.1 Duties......................................................................................................................16
3.1.1 Filling of leaves forms......................................................................................16
3.1.2 Arranging files..................................................................................................16
3.1.3 Arrange service sheet of employees..................................................................16
3.1.4 Fill performance appraisal forms of employees................................................16
3.1.5 Formulating job description of new employees................................................16
3.1.6 Learn about HR manual....................................................................................16
3.1.7 Checking products in store................................................................................17
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 3.1.8 Compensation system........................................................................................17
Raw Material and processing........................................................................................17
3.1.10 managing staff and conducting interviews......................................................18
Learning as a student.....................................................................................................18
3.2 Accomplishments....................................................................................................18
3.1.9 Orientation to employees.........................................................................19
3.3 New knowledge acquired........................................................................................19
4.0 Analysis................................................................................................................23
4.1 SWOT Analysis of the company.............................................................................23
4.1 Strengths...............................................................................................................23
4.2 Weaknesses............................................................................................................23
4.3 Opportunities...........................................................................................................24
4.4 Threats.....................................................................................................................24
4.5 PEST Analysis.........................................................................................................24
Conclusion.....................................................................................................................26
Recommendations........................................................................................................26

7
Preface
This report is on S.M. Foods and focused on its Marketing strategies. I
have tried our best to make this report as much reliable and valid as
possible. This report is conclusion of great effort. I have worked hard with
devotion an order to present a high caliber report.
Many of our friends helped me in collecting information also in preparation
of report. Our best teacher Sir.Ghulam Mustafa, who is ever a guiding star
for me, has helped a lot in preparing this report. Our respected teachers Mr.
Imtiaz Bashir was also kind enough to provide their valuable guidance.
I hope that this is a high caliber authentic work. I also hope that this is a
simple, updated and purely focused on marketing strategies of S.M. Foods
Limited. I have tried our best to fulfill all ethical requirements an order to
present an unbiased report.
I am extremely thankful of all our friends and officials of organization who
provide me very forceful information related to their marketing strategies.
Particularly Mr. Atif (sales and marketing manager). He made me able of
doing such a high-level work in a very short time. I hope that everyone can
get benefit of the report specially organizations who are in search of
customer satisfaction.

8
 1. Introduction:
This report is about internship experience at S.M.Foods Ltd Multan plant.
S.M.Foods Pvt. Ltd is associate with M.A. food industries (Pvt) Ltd and in short span
of five years it is offering a number of food products in consumer market.
The brief history of S.M.Foods, its brands, its core values, and its mission statement.
Report elaborates the major business operations in all departments. On the basis of
observation and experience at S.M.Foods. Ltd., the third section includes SWOT
analysis of the organization that highlights the factors responsible for overall growth
in consumer market. It discusses the process analysis of Sales department and HR
department and all other departments. This report also includes the competitive
strategy that strengthens the company to get the market share. It is also discusses the
marketing strategy. This report explaining duties that were assigned during internship
period. Third chapter is also throwing some lights on accomplishments of tasks
assigned during internship period. It discusses those tasks in detail in this report.
During internship in S.M.Foods Ltd it finds people in the HR very cooperative.
During this period supervisor is nominated as internship supervisor Mr. Gulraiz and
he provides guide lines at every stage and helps me to learn the activities and then
practically perform all those activities. This internship report experience helps to
progress career specially while entering in the professional life, as it boosts practical
experience of working in any organization.
At the end it concludes that, in S.M. Foods (Pvt) Ltd the innovation is appreciated,
positive and satisfying in all aspect of the company operations. The company
continues to distribute quality products but still S. M. Foods (Pvt) Ltd struggles to
think outer the box, to make products that will help customers to increase first choice
products leading to maximum value to the customers.

Over view the organaization

1.1 History of S.M.Foods

Pakistan‘s food industry is growing at a fast pace in the few past decades. Chaudhry
ZulfiqarAnjum S.M. Foods launched a biscuit manufacturing company with the name
of S.M.Foods in 2011 in Multan,Pakistan. S.M.Foods has adapted latest technology
and trends well fitted according to the contemporary food industry of
Pakistan.S.M.Foods was the self-driven dream of Muhammad Majid the CEO of the
company. It is a biscuit manufacturing company situated at New Central Jail
RoadMultan Punjab Pakistan.
1.2 Introduction of S.M.Foods:
S.M.Foods industry (Pvt.) Ltd was established in 2011 in Pakistan. It is aimed at
producing quality bakery products of international standards and quality. The product
is sold in the market under the name of“S.M. Foods” which has become a household
name and symbol of quality. At S.M. Food industries (Pvt.) Ltd., Introduction of new
products, modernization and automation has kept pace with the ever – increasing
demands of baked products in domestic and international markets.
In 2011 S.M.Foods (Pvt) Ltd. started the manufacturing of high quality biscuits and
cookies which are sold at local level as well as exported to the neighboring
countries.S.M.Foods industries have introduced a wide variety of biscuits and wafer
products.The company has been making every possible effort to meet the requirements
and expectations of its customers. The company is offering a wide selection of
biscuits and wafers products to the market. They have engaged in the production of
biscuits, sandwich biscuits and wafer products.
The biscuits and wafers plant of S.M.Foods industries is a complete modern and
automatic unit with PLC control system. S.M.Foods (Pvt) Ltd 5-Km from Arif wala
road Multan Punjab Pakistan S.M.Foods has their main production plant and
distribution center situated in Multan.
S.M.Foods have different chambers in the in production plant like quality checking,
mixing, oven, packing and finally distribution. It has a complete chain of distribution
at different main cities of Pakistan. It is a well-established plant having separate
productions of biscuits and wafers which are controlled by the Director Operations.
They are having more than 30 employees. Turnover ratio is less as compared to the
other organization because employees are empowered. Employees are trustworthy and
do their best for the organization. In biscuit category they are offering wide range of
biscuit products, such as Royal Treat, Peanut Passion, and Chocó lay and recently
they have launched energy biscuits Toppers for kids. Through marketing campaigns,
they are motivating kids for their energy biscuit Toppers. (Company profile, 2012)
 1.3 Mission Statement:
“It is the organization of creative professional people; Mission is striving for
excellence. We are determined to change and uplift the lives of nation ‘we are
determined to change and uplift the lives of the Nation. Our company’s strategy is
based on progressing forward on the winds of ingenious ideas, new mindset and
universal standards which leads to discover new territories over new horizons”.
1.4 Vision Statement:
“S.M. foodsis like our home, a place where we wish to grow and explore our
expertise with the passion to be known and respected as a food company most
admired for its liveliness and innovation to be called the true professionals. Every
individual should be fulfilled and successful at what we do. S.M.Foods is committed
for the constant improvement and excellence in its work”.
1.5 Values of the company
S.M.Foods is focusing and trying to build a culture where we can adopt our
traditional core values such as team work and healthy caring services. These values
are cutting edge of our skilled and trained work force. To get better results there is
respect for everyone and fun for working together. We believe that every individual
should aim for constant self-improvement and gain knowledge for its relevant field.
1.6 Quality policy of the company
The policy of S.M.food Industries (Pvt) Ltd is “excellent product development”
with superior taste, purity, nutrition and satiety.
Top management and every employee of S.M. food is fully committed to continually
enhance the excellence of the product and maintain the consumers’ confidence in its
products by following regulatory and statutory requirements and implementation of
international standards right from raw material to delivery of product.
For further high-quality standards quality checks are also perform at regular interval
with clearly defined specification.
Competitors
In confectionary and bakery’s Foods is confronting extremely savage rivalry. Main
competitors of VFI are as follows;
 Hilal
 Candy land
 B.P Sweets
 May fair
 Cadbury’s
 LU
 kidco
2. Business operation
2.1 Organizational Chart

The board of directors

The CEO

General Manager

Management
Representative

Factory Manager
Manager Finance &
Administration
Production Manager
Quality Assurance
Production Officer Manager Purchase
Manager
Quality Assurance
Production Shift In charge
Executive
Manager HR
Regional Sales Manager Quality Assurance
& Admin
Assistant
Area Sales Manager

Sales Officer Figure 2.1

BUSNIESS VOLUME

S. M. Food Makers is a quality driven organization offering a wide range of Biscuits, jelly, candy, bubble gumBiscuits, candy,
jelly, other food products. Established in 1997, the firm supplies Biscuits, jelly, candy, bubble gumBiscuits, candy, jelly, other
food products within preset time limit.
 GIBS PRODUCT LINE LIST
ITEM NAME PACKING RATE ITEM NAME PACKING RATE ITEM NAME PACKING RATE

JUMBO HALF ROLL Rs.20 BRAND Rs.5 WAFER

Makhan Biscuit 24X06 Coconut 24/12 Peach Wafer 24/06
Zeera wala co 24X06 Double Crem 24/12 Bulbulay Wafer 16/24
HALF ROLL Rs .15 Khas Peanut 24/12 Crispee Banana 12/12
Khas peanut 24X06 Jim Jam 18/24 Crispee Orange 12/12
Smooper cookesi 24X06 Revo Banana 24/12 Crispee Strawbry 12/12
Revo Banana 24X06 Butter 24/12
Revo Strawbery 24X06 Mango Masti 18/24
HALF ROLL Rs .10 Zeera Khas 24/12
Butter Cookies 24X06 Short Cake 18/24
Tea time 24X06

Baby Food 24X06

Double Cream 24X06

Crispy Zeera 24X06 FAMILY PACK (SP)

Double Cream 24X06 Bakes Rs.25 1/96
Smooper Cookies 24X06 Supreme Rs.25 1/96
Glucoes 24X06 NIMKO Revo Banana 20 1/96
Patato Nimko 12/12
Crunch Nimk 24/12
KUP CAKE Rs.10 Nimoo Paray 24/12
Kup cake stra 18/12 Best Nimko 12/12
Kup cake choco 18/12 Chicken pary 24/12
CAKE RANGE Rs.10
Swiss Vanilla 18/12
Swiss Banana 18/12
Swiss Strawbery 18/12
Swiss Chocolate 18/12
Donut Coconut 18/12
Donut Chocolate 18/12
SOFT CAKE RANGE Rs.5(24-Pcs)
Cake Strawbery 18/24
Cake Bananaa 18/24
SOFT CAKE RANGE Rs.5(12-Pcs)
Cake Strawbery 24/12
Cake Bananaa 24/12
CUP CAKE RANGE Rs.5
Strawbery 24Pac 18/24
Strawbery 12Pac 24/12
 PACKIN ITEM NAME PACKING RATE ITEM NAME PACKIN RATE
ITEM NAME RATE
G G
CHOCOLATE Re 1 CANDIES COATED CHOCOLATE
Liquid Chocolate 36x70 Butter Scotch 36X70 36X70 Chunkn Chocolate Rs . 5 24X24

Malai Cup 36x70 Amrood Maza 36X70 Metro Chocolate Wafer Rs.5 24X12

Milkita Chocolate Re.1 36X70 Rose Bunch 36X70

Koko Masti Choc.Tube Rs 5 24X30 Mango Splash 36X70

Choko Shoko Heart Rs.5 18X24 Butter Plus Candy Rs.1 36X70

Kulfa Balls Rs.1 36X70 7-Soda Candy 36X70

Smart Egg Rs.5 (35-P) JAR 36X70

Koko Star Choc Rs.10 18X35 PURE CHOCOLATE
Deluxe peanut Choco Rs.5 36X12
Deluxe Coconut Choco Rs.5 36X12
Mallow Bar Coconut Rs.5 18X24
Mallow Bar Strawberry Rs.5 18X24
Lush Star Hazelnut Rs.5 18X30
Lush Heart Choc JAR Rs.5 18X30
Lush Chocolate Bar Rs.10 24X12
Coins Milk Chocolate Rs.5 24X35

LOLLY POP
Love Lollypop Rs.5 18X30
Jugnu Lollypop Rs.5 18X30
Rainbow Lollypop JAR Rs.5 12X50
Rainbow Lollypop Pouch Rs.5 12X48

TOFFEE

BUBBLE Kulfa Toffee Rs.1 36X70

Boomz Orange Rs.2 36X36 Éclair Toffee Rs.1 36X70

Boomz Mango Rs.2 36X36 Good Luck Toffee Rs.2 36X25

Boomz Banana Rs.2 36X36 Makhan Badami Rs.5 24X24

Boomz Spearmnit Rs.2 36X36 Makhan Badami Rs.10 24X12

Boomz Strawberry Rs.2 36X36

JELLY
A-Z Jelly Rs.5 18X24 BUNTY

Imli N Chilli Jelly Rs.5 18X24 Chocoz Beans Rs.5 60X12

Max Strawberry Jelly Rs.1 36X70 Chocoz Beans Rs.10 NEW 24X12
 GIBS PRODUCT LINE LIST.

2.1 Departmentalization at S.M. Foods

Following is the important departmentalization at S.M. Foods:

1. General and administration department

2. Human Resources department

3. Marketing Department.

4. Purchase department

5. Sales department

6. MIS department

7. Industrial Engineering department

8. Account department
Marketing Department:
Marketing is the process of creating something of value to customers in return of
something of value from customers.

Marketing impacts all of us in our lives as consumers, it

o Gives us choices
o Increases innovation and economic growth

In almost every basic economic systems, each seller must meet directly with each
buyer in order to exchange something of value. As needs increase, the number of
exchanges can soon become unmanageable for one person.
Marketing is the core business activity. It plays a very vital role in the success of
business. The basic objective of any business is to earn profit. To earn profit, we have
to increase the sales turnover. Marketing is involved in determining the demand of a
product. Through marketing process a business can increase the sales turnover to a
desired level.

Function of Marketing Department

These are some important function of marketing department:

Focus on the Customer

Monitor the Competition
Find & Direct Outside Vendors.
Create New Ideas.
Communicate Internally.
Manage a Budget.
Understand the ROI.
Set the Strategy, Plan the Attack, and Execute.
Customer Relationship Management
Marketing Research
Sales Forecasting
Price Analysis
2.2 Marketing Strategy
Company has no proper marketing department for promotions. Promotions are
done through sole distribution channels in Pakistan on large scale. Due to this brand
is not as much popular in the market. Sales representative are also taking great part in
promotions or in others words we can say in company’s marketing
campaigns.Company doesn’t have proper marketing department and marketing
campaigns for their products advertisement.
 2.3 Promotion Strategy
Print media are their major promotion strategy. They are investing money on t-
shirts caps key chains these all are distributed among the distributer’s sales
representatives and other team of company who are doing promotion campaigns. On t-
shirts brand logo distributers wear during there working hours.

2.3.1 Pricing Strategy

Company pricing strategy is cost based pricing .Because the company is not
very well known in the market so firstly just meet with the cost and want to penetrate
in the market.
2.3.2 Product Strategy
Company is offering different variety of products with great quality. Products
of biscuits are in different range, pack,color,taste, weight, and price. Wafers are
company’s main product which is of different flavors’ like strawberry, chocolate and
orange. All of the products which are given above are available in the market in
different sizes on different prices.
2.3.3 Target Market
S.M.Foods (Pvt) Ltd. company segregate its market according to its product
packaging such as tikky pack is for 7-15 years of age group or snack pack is for 17-25
years of age group, and geographical segment they are providing family packs in big
cities like in Multan, Bahawalpur, D.G. Khan, Muzaffargarhetc . In Sindh sales are
more than other provinces of Pakistan. Their target market is mostly urban area as
compared to rural area.
2.4 Competitive Strategy:
In competitive strategy they are focusing on activities of their competitors to
differentiate from them. Company is using price list collection to differentiate its
product from other competitor in terms of price. Then prices of the products decided
according to market price analysis.
2.4.1 Marketing strategy

S.M.Foods is following the “product strategy” the product strategy is that they
are producing the product and make available all around the country so that people
can easily buy their products. It is also call the push strategy.
2.5 Business Process Analysis
The factory operates by carrying out different operations in the following given
departments.
 Human resource department
 Finance department
 Purchase department
 Quality control department
  Electrical department
 Mechanical department
These are the main departments of company who are working together to provide their
customers the best product with the best quality and services.

2.5.1 Human resource department

The human resource department provides high quality human resource to the
company to effectively and efficiently run the various business operations in the
company. The human resource department responsible for all the HR activities that
include recruitment, training and development compensation and benefits, employee
relation and working environment of the company .The HR department which is not
directly involved in the manufacturing of the product but work as an advisor toward
all the working procedures in making of a product. As job responsibilities and duties
are assigned by the HR professionals to the other working staff with the specific
terms and conditions and by keeping in mind the right job for the right person. It is
also responsible for the data collection and keeping all the records related to working
staff their salary their basic information etc. and each and every record about the
manufacturing product on the daily basis.
Human resource department provide such human capital that will be helpful for
running the operation of the company in effective and efficient manners, and by
caring about the interests of personnel of the company so that they can become more
productive and motivated for their work.
But in the S.M.Foods the HR department is not fully developed and still there is need
to be work on this department. My supervisor told me that this is just the beginning
and they have not that much human resource that which they need the big team to
control as he said that with the passage of the time the HR department is developing
and new ways to hire the employees are introducing.
 hiring & firing

personnel training of
assesment employees

operational terms and

incharge conditions

2.5.3 Purchase Department

Purchase department working for its objective to provide raw material and
required goods be in the factory on time and successful execution of all required
orders.
Purchase department deals with different departments like raw material, Electrical
store, and Mechanical store. The purchase Department’s head was Mr. Ahtesham.
 Electrical Store

Raw Material Store Mechanical Store

Purchase
Department

Figure 2.3

2.5.4 Quality Control Department

To ensure that all the products, make by S.M.Foods are of standard quality by
controlling and testing of incoming material, in-process and outgoing products.
The quality department of the company is most important and functionalize. Before
manufacturing the products all test of maintaining the quality standards are
formulating in these departments.
Material Inspection

Material test lab for production (Taste & ingridients)

Microbiological lab
 Income Statement: 31/12/2021 31/12/2020

€ (Millions) € (Millions)

Revenue: 52,444.00 50,724.00

Operating Profit / (Loss): 8,702.00 8,303.00

Net Interest: (344.00) (496.00)

Profit Before Tax: 8,556.00 7,996.00

Profit after tax from continuing operations: 6,621.00 6,073.00

Discontinued Operations:

Profit after tax from discontinuing operations: n/a n/a

Profit for the period: 6,621.00 6,073.00

Attributable to:

Equity holders of parent company: 6,049.00 5,581.00

Minority Interests / Other Equity: 572.00 492.00

Total Dividend Paid: c n/a c n/a

Retained Profit / (Loss) for the Financial Year: c n/a c n/a

Earnings per Share:

Basic: 233.00¢ 213.00¢

Diluted: 232.00¢ 212.00¢

Adjusted: 262.00¢ 248.00¢

Dividend per Share: €1.67 €1.70

Balance Sheet: 31/12/2021 31/12/2020

 € (Millions) € (Millions)

Assets:

Non-Current Assets:

Property, Plant & Equipment: 10,347.00 10,558.00

Intangible Assets: 38,591.00 34,941.00

Investment Properties: n/a n/a

Investments: n/a n/a

Other Financial Assets: 1,198.00 876.00

Other Non-Current Assets: 7,558.00 5,127.00

57,694.00 51,502.00

Current Assets:

Inventories: 4,683.00 4,462.00

Trade and Other Receivables: 5,422.00 4,939.00

Cash at Bank & In Hand: 3,415.00 5,548.00

Current Asset Investments: n/a n/a

Other Current Assets: 3,881.00 1,208.00

17,401.00 16,157.00

Other Assets: n/a n/a

Total Assets: 75,095.00 67,659.00

Liabilities:

Current Liabilities:

Borrowings: 7,252.00 4,461.00

Other Current Liabilities: 17,526.00 16,131.00

24,778.00 20,592.00

Net Current Assets: c n/a c n/a

Non-Current Liabilities:

Borrowings: 22,881.00 22,844.00

Provisions: 5,141.00 3,749.00

Other Non-Current Liabilities: 2,549.00 2,819.00

30,571.00 29,412.00

Other Liabilities: n/a n/a

Total Liabilities: 55,349.00 50,004.00

Net Assets: 19,746.00 17,655.00

Capital & reserves:

Share Capital: 17,107.00 15,266.00

Share Premium Account: n/a n/a

Other Reserves: n/a n/a

Retained Earnings: n/a n/a

Shareholders Funds: 17,107.00 15,266.00

Minority Interests / Other Equity: 2,639.00 2,389.00

Total Equity: 19,746.00 17,655.00

Ratio Analysis
Ratio analysis enables the analyst to compare items on a single financial statement or to examine the
relationships between items on two financial statements. After calculating ratios for each year's
financial data, the analyst can then examine trends for the Bank across years. Since ratios adjust for
size, using this analytical tool facilitates interbank as well as interbank comparisons. Ratios are often
classified using the following terms: profitability ratios (also known as operating ratios), liquidity
ratios, and solvency ratios. Profitability ratios are gauges of the Bank operating success for a given
period of time. Liquidity ratios are measures of the short-term ability of the Bank to pay its debts when
they come due and to meet unexpected needs for cash. Solvency ratios indicate the ability of the Bank
to meet its long-term obligations on a continuing basis and thus to survive over a long period of time.
Financial ratios allow for comparison:
 Between companies
 Between industries
 Between different time periods for one Bank
 Between a single Bank and its industry average

Profitability Ratios
The continued viability of any SM Foods depends on its ability to earn an appropriate return on its
assets and capital. Good earnings performance enables a SM Foods to fund its operations, remain
competitive in the market and increase or decrease in market funds. Profitability ratios relate profit to
sales and investments. These ratios indicate the firm’s overall effectiveness of operations and give us
idea how well firm utilized its resources in generating profit and shareholder value.

Gross Profit Margin Ratio

Gross profit margin ratio is used to assess the profitability of a SM Foods 's core activities. Gross profit
margin indicates the relationship between gross profit and interest earned. A high gross profit margin
indicates that a SM Foods can make a reasonable profit.
Formula = Gross Profit / Interest earned (Revenue)

Gross
Year Profit
2017 Margin
2018 2019 2020 2021

60 Ratio
50 % 55.48 37.74 28.60 27.59 27.28
40
30
20
10
0
2014 Base 2015 2016 2017 2018
Year
Analysis
The Year 2014 has been an outstanding year with the SM Foods recording the highest profit in its
history i.e.., 55.48 %.The SM Foods ’s wide range of product offering, large branch network and
committed workforce are some of fundamental strengths that enabled SM FOODS to achieve
exceptional in a very competitive market. The gross profit is 27.28% in 2018. The lowest percentage
among all years.
Net Profit Margin Ratio
Net profit margin measures the percentage of revenue remaining after all cost and expenses, including
interest and taxes have been deducted.

Net/ Interest
Formula = Net Profit after Taxes Profit Margin
earned
Year 2017 2018 2019 2020 2021
40
30 Ratio
20
% 37.63 25.36 23.36 19.85 18.46
10
0
2014 Base Year 2015 2016 2017 2018

Analysis
Net profit margin shows positive trend till 2014 and was the highest in the same year as it was 37.63%,
the percentage is decreased in 2015 as it was 25.63%. The net profit margin is on its lowest level at the
end of 2018 as it indicates a percentage of 18.46%. The primary reason of this decline is current global
economic conditions and current political crisis in Pakistan.
Assets Turnover
This ratio is useful to determine the amount of revenue that is generated from each Rupee of assets. The
SM Foods s with low profit margins tend to have high asset turnover, those with high profit margins
have low asset turnover.
Formula = Revenue/ Total Assets
Year 2017 201 2019 2020 2021
8
Ratio 0.06 0.07 0.12 0.08 0.08
3.0 Learning as a Student Internee
3.1 Duties
During my internship span I have generally performed certain duties in all
departments of S.M.Foods especially in Human Resources and General Administration
department which was assigned me by Mr. Sajjad my supervisor in S.M.Foods. List is
given below
3.1.1 Filling of leaves forms
 Commodity paid leaves
 Sick leaves
 Leave without pay
 Causal leave
 Emergency leave
 Pays given to employees
 Know about their products
 Managing the staff
These are some kind of leaves that I observed in HR office. Many employees
Work seasonally in the factory and the company pays them according to their
temporary payment policy.
3.1.2 Arranging files
I arranged different files of those employees who joined the S.M.Foods
recently. This task was assigned me by my supervisor.
3.1.3 Arrange service sheet of employees
I filled these service sheets columns of every permanent employees of factory
of different sections and departments. When salaries are maintained or upgraded, then
service sheet are also revised and updated.
3.1.4 Fill performance appraisal forms of employees
I also filled the performance appraisal forms of different employees of different
departments & sections.
3.1.5 Formulating job description of new employees
I personally typed the JD’s of an employee which was hired recently in the
factory and mailed them. This task was given to me by HR supervisor to learn what
actually the job description of employees is? And how much it is important and
valuable as regarding of organization culture?
3.1.6 Learn about HR manual
HR manual of the company tells us about the overall policies, rules &
regulation inside and outside of the company and also tells us about what kind of
documents and forms are present in HR department of S.M.Foods.
3.1.7 Checking products in store
I also visit the store of S.M.Foods my supervisor gave me task to identify those
products which were ready for sale and which were defective. I completed my chart
and report to my supervisor.
3.1.8 Compensation system

How they pay their employees and as well as their managerial staff. S.M.Foods
follows the PSS (Punjab Social Security) it means that they pay their employees
according to government advises. These days an employee’s pay is around about
12700 to 14000. Then I read the employees pay slip and they thought me how to
prepare one. To prepare the pay slip of the month I had to put the employees name
into the pay register and in the online account to which hold the all records of the
employees and when the an employee asked for the pay he has to sign and then collect
the pay from the finance department. One important thing was that the taxes were
deducted from the salaries of the employees and then they were paid. When it comes
to pay S.M.Foods also gives the 30% allowance to the employees and I was being
thought that how the allowance is managed for the employees. Then I read the last
month record of the employees pays in there were all the allowance and other
payables and some of the receivable which were employees had. Sometimes
employees take the pay in advance so it has to be record as well then my supervisor
thought that not all the employees are given the advance pay. Only some of the
employees which are working for the long time in the organization.
Raw Material and processing

Everyone company wants that their products and brands run successfully in
market and generate revenue. Many companies try to copy the existing successful
brand name, advertising and marketing strategy logo, but they do slight change in
spell of name or in logo. But now a day companies are giving names of social media
web sites to make their product more famous. S.M.Foods did the same thing they
launched their new chocolate biscuits with name ‘Twitter’. Twitter is very famous
social media now a day. It is an interesting way to make our brand and product more
famous by using social media websites.
Accounts department where the head was MR. Ahteshsam he was also the head
of Raw material he ordered the raw material on the bases of the planning of the
factory that how much they need the material and what kind of the material.
According to production he places the order for the future. I went there he gave the
list of the materials and the quantity he asked me to review it. Then I attended the
meeting between the manufactures who delivers the raw materials for the factory.
S.M.Foods has the term and law for the manufactures who delivers the raw material if
they don’t follow these term then they can cancel the order for example if the raw
material is not according to their need or it lake the consistency the research and
development department cancel the order and ask them to ring the new one. The
manufacturer told me about the marketing situation in the Pakistan. He told me that to
bring the order as high quantity as this they have to be prepare for the long time.
Meeting went about 1 hour where Mr. Ahtesham gave them the orders for the nest
month also. After the raw material arrived in the factory it is examine in the research
and development department
3.1.10 managing staff and conducting interviews
I asked my HR manager that tell me how you give ad for jobs and where? He
told me that they use basic means for that like newspapers and some time on the
cable. In the S.M.Foods there are not much HR there are almost 130 to 140 HR. when
someone leaves the factory then they decide that how they can recruit for the post if
the post is the low level then it is fill very quickly and sometimes they don’t even
have to give the ad in the newspapers. But when sometime it is for the managerial
post then they have to select the best possible around and they have to give ad in the
big newspapers like “Jung” and “express”.
In S.M.Foods there are two types of employees and they are hired on the
different dates and ways
1) Managerial staff
2) Low level staff
Interview is conducted by the HR manager and the manager. When it comes to hire
the managerial staff both HR manager and the manager ask the questions to the
interviewee and the selection is done by the manager, manager makes the final call. If
the HR Manager selects one person then the manager can reject that person and hire
the person which he think is the best for the organization but it doesn’t happen often.
On the other side in the factory if they need some low level employees for the
production areas then on HE manager interview the person and select them. For the
low level jobs S.M.Foods doesn’t ask for the high education they ask the experience
and for the managerial staff S.M.Foods needs the education and it at least graduation.

Learning as a student
HR department is the one of the most important department in the any organist.
S.M.Foods is also have the HR department but it is in the developing phase. I mostly
worked in the HR department so that my job was to see how employees are working
and the relationship between the management and the employee. I also learnt that they
give pays as I mentioned above.
3.2 Accomplishments

As an internee I was able to accomplish all the tasks that were assigned to me. I
completed all my duties and responsibilities assigned by my supervisor.
I gained a lot of experience during my internship in company. I tried to complete all
of my tasks in Accounts and HR department through which I came to know about the
management structure and working units of the organization.
3.1.9 Orientation to employees
Orientation to the new employees and all about the training programs in the
factory for the new employees and as well as for the employees working in the
factory.
So I was given the orientation kit of the factory in which there where write all the
rules and the regulation of the company which the employees have to follow. And if
they don’t follow they rule they can kick him out form the factory at any time. And
they also give the one month notice to an employee which is going to be kicked form
the factory. On the job description there are written eh pay for the employees too and
the other incentives and not written they are given to him after joining of the factory.
I was also given the file which had the conducted interviews in the S.M.Foods
interview are conducted orally only. And I was also handed over the list of questions
which is asked at the time of the interview.
Then I was told about the TNA (training need assessment). In the factory the training
is not given to everyone and the production area because the factory is almost fully
automated and if the new machine comes then to operate it some employees are given
the training.
3.3 New knowledge acquired
During my 6 weeks of internship, I gathered quite a hand full of knowledge. I
came to know how the things are done professionally and how jobs are performed. I
have learned how to do work in professional life with the required behavior and
attitude. And learned to do work on Microsoft excel.
1.Product
The product of SM Food includes consumer food product like
Biscuits,Jelly,Bubble gum etc

2.Price
SM Food is fair price to its competitors ,offering finest items at a
competitive price

3.Place
They place their items in local as well as the Pak istan

Promotion
Promotion is the main part of this company.Firstly TV advertising with
radio ,magazine
4.0 Analysis
4.1 SWOT Analysis of the company
4.1 Strengths
Large distribution system
S.M.Foods has a large distribution network all over the Pakistan from Karachi
to Gilgitbaldistan. Company has around 178 distribution channels in which they have
20 sole distributors. After that the company has around 25000 to 35000 retailers and
wholesalers in different geographical locations. The company has a strong supply
chain for the delivery of its products to the distributors, retailers, and wholesalers
throughout the country.

 Growimg trade and transaction.

 Major shareholder n the food industry of Pakistan.
 Generating quality items.
 Environment friendly.
 Qualified work force.
 ISO Certified Company.
 Decentralized authority.
 Focus on research and development.
 Inovative and steady growing product line.
4.2 Weaknesses

 Small and local company in comparison with its rivals.

 For supply of raw material depend on 3rd party.
 Sales margins become low because of value added product.
 SM Food cannot introduce expensive items because to the lower income groups.
 Low promotional activities.
 Weak distribution Network
4.3 Opportunities

 Credit policy can established to grow sales.

SM Food can start the production of beverages as they mention to
their vision.
 SM Food can go for joint venture with other well established
organization to grow the market share.

4.4 Threats

 Effect of Seasonal ties upon sales

 Price sensitive person
 Suppliers can providing low quality material
 Price fluctuations because of rupee devaluation as raw material are
imported

4.5 PEST Analysis

Political analysis
Democracies are under pressure to show they can protect the health of their
population. Global society is under pressure to demonstrate it can mobilize resources
to effectively tackle global social problems. Tackling health problems requires long
term thinking, complex partnership & innovative forms of organization. Health
suffers severs consequences in wars & other complex emergencies.
Economic Analysis
Wealth creates health, & health creates wealth – virtuous & vicious spirals are
possible. However, this is an area where market failures are common & pervasive.
The value of a healthy, well educated population is increasing as the technological
sophisticated of the world economy grows. Rising prices of palm oil, many chronic
health problems (new infection disease or drug resistant strains) have the potential to
impose enormous costs in a short period of time.

Social Analysis
Health is important to people and is consistently regarded as a high priority by rich &
poor. The ability to mobilize in the face of health threat is a test of a society, while
the act of mobilizing creates social cohesion & powerful social structures. There is a
complex interaction between the rights of an individual to good health; his or her
responsibility to protect his or her own health; the rights of a community to protect
itself against health threat; & its responsibility to provide for the health of its
member. Health protection requires action across society, professions; organization
etc. public health also relies on public support for its license to operate & its ability
to change behavior.

Technological
Health problems are always dynamic & sometimes this change is unpredictable.
Health intervention can themselves lead to new health problem. Without knowledge
about health, there can be no response to health threats. Technology is poorly
distributed in areas where people are unable to create demand for it effectively. New
technologies are the result of increasingly sophisticated processes & currently seem to
be of decreasing cost effectiveness. New technologies pose poorly understood risks,
as well as offering hard to quantify benefits. Information technology has the potential
to revolutionize the dissemination of knowledge about health.
Conclusion

I tried to evaluate the internal and external factors of S. M. Foods Pvt Limited
Multan. And I observed that the S.M.Foods have make good market share in a very
short span as a starting company in Multan. They have provided a better employment
opportunity for the local labor of Multan. They are having good machinery and latest
equipment to provide the best quality to their customers and with the passage of time
they will perform better than this time. They are focusing on their better management
system and having good plans for the future. But they have to be very clear about
their strategies and goals so that they can stay in the market for longer time with the
upcoming new competitors.
Recommendations
In my opinion internship is a good learning approach for internees as well as fresh
graduates to understand the environment & system of the organization, corporate
social responsibility, corporate culture, norms, and values, traditions, working
methodology, employee’s behavior and attitude towards management, rules and
regulations towards organizations. It’s a practical work and experience for internees,
internship is basically an initial step for employees and students to know how much
we are responsible and capable to perform our tasks and fulfill our commitment with
an organization.
In brief:
 S.M.Foods should add more flavors in biscuit category.
 They need to focus on their management system.
 They should be clear about their strategic planning.
They should have innovative ideas for advertisement and promotional activities.