Professional Documents
Culture Documents
ON
SADAQAT TEXTILE PRIVATE LIMITED
Prepared by:
Name: Rehman Saeed
Class: BBA.
Roll No.: 22721
Session: 2021-2023
students under my supervision. It is also certified that the Report meets all criteria and
Signature:
Date:
DEDICATION
This research is dedicated to all those who are striving hard to make Pakistan prosperous,
particularly those who are making relentless efforts to crafts its institutions/ organization into a
state of the art for the service of humanity.
To my praiseworthy mother
‘Your prayers are what I need more than anything else in my life’
To my charismatic father
‘The person whom I love the most’
LIST OF CONTENTS
Chapter 1 ......................................................................................................................................... 1
INTRODUCTION .......................................................................................................................... 1
Chapter 2 ......................................................................................................................................... 3
Chapter 3 ......................................................................................................................................... 5
3.1.7Agreement ........................................................................................................................... 6
3.1.8 Store Purchase Department ................................................................................................ 7
Chapter 4 ....................................................................................................................................... 16
Bank Voucher............................................................................................................................ 16
Purchase Voucher...................................................................................................................... 16
Cash Receipt.............................................................................................................................. 17
Chapter 5 ....................................................................................................................................... 20
Chapter 5 ....................................................................................................................................... 23
Income Statement of Sadaqat Textile Limited Profit and loss Account .................................. 24
Chapter 6 ....................................................................................................................................... 25
RATIO ANALYSIS...................................................................................................................... 25
Equity ........................................................................................................................................ 27
Chapter 7 ....................................................................................................................................... 29
CONCLUSIONS........................................................................................................................... 29
Chapter 8 ....................................................................................................................................... 30
Bi Product(s)/Service(s) No
Website www.sadaqat-corp.com
E-Mail merchandising@sadaqat-corp.com
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HISTORY AND INTRODUCTION
Secicit limited was initially attended "Under Sadat Textile Mills (Private) Limited" on Nobel, L
987 under Article under a private limited company under Pakistan under Article L984.
This is a private limited company with its office in Faisalabad, but is not listed in Pakistan's
stock exchange. It is a vertically integrated textile unit. It has its own spinning, weaving,
wrapping and coloring units. Initially it was only in trouble. But now the company changed its
strategy to add the most of the process and closed other units. This success goes on the insightful
person of all the company's chief executive Mr. Mukhtar Ahmed.
In response to the emerging trends in industry manufacturing, they mainly try to develop,
develop and manufacture basically by wearing high wear in the manufacture of fabricated
products. They really translate the conceptual ideas of our customers and form them through our
technical tent and professional promotion. The team feels strongly here that customer satisfaction
is a business center today. Technology with plain textile skills is the right mind to achieve
product with knowledge, and most importantly the total customer satisfaction..
Chapter 1
INTRODUCTION
The Secretary was initially included in "Sadat Textile Mills (Private) Limited" on
November 9, l 987 under private limited company Ordinance L984.
This is a private limited company with its office in Faisalabad, but is not listed in
Pakistan's stock exchange. This is a vertical side textile unit. He has his own spinning, knitting,
wrapping and coloring units. Initially it was only in trouble. But now the company has changed
its strategy to include more and more operations and to close other units. This success goes to the
insightful person of the credit company Mr. Mukhtar Ahmed.
„To provide quality products and services to our customers for their satisfaction and handsome
return to the shareholders‟ .
1.3 VISION
„To be a most successful company in terms of quality, products, services and Finance‟.
1
1.5 Bankers
1.6 Competitors
The company has lot of competitor in all over the Pakistan Especially in Faisalabad and Multan
But the company consider main competitor;
2
Chapter 2
ORGANIZATIONAL HIERARCHY
Chief Executive
Officer
2.1.1 Top Management
General Manager
Senior Manager
3
2.1.3 Lower Level Management
Supervisor
Senior Manager
Manager
Deputy Manager
Assistant Manager
Senior Officer
Management Trainee
4
Chapter 3
Commercial Department
The c0mmercia1 department is hand1ing by Mian Khurram, he is the direct0r 0f the c0mpany,
and C0mmercia1 department p1ays a vita1 r01e in the c0mpany. C0mmercia1 department has
further tw0 Secti0ns.
1 Purchase Department
2 Sales Department
Cotton is the main raw material in the textile industry. As cotton is seasonal crop, it requires
huge investment and efficient decision-making skills. Daily stock positions are obtained daily.
The Director is responsible for purchasing raw material itself under the department's setup:
Director
Vice President
Field managers
Cotton selectors
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3.1.2 Purchase Process
1. Selectors Visit
2. Sample Selection
3. Sample Testing
4. Decision
5. Agreement
The c0tt0n se1ect0rs 0f Sadaqat Texti1e visit the c0tt0n fact0ries. S0metimes c0tt0n se1ect0rs
visit 0n their 0wn beha1f and s0metimes they are ca11ed by the c0tt0n fact0ries.
3.1.4Selection of Sample
When the c0tt0n se1ect0rs find any suitab1e c0tt0n they take the samp1e 0f that c0tt0n with the
price 0ffered by se11ers.
The cotton selectors send these samples to the lab for testing.
As there is centra1ized management system s0 the direct0r, c0nsidering tests resu1ts, himse1f
takes the decisi0n f0r the purchase 0f c0tt0n.
3.1.7Agreement
0n the c0mp1eti0n 0f the ab0ve pr0cess written agreement is made with the se11er.
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3.1.8 Store Purchase Department
Mian Khurram wh0 is a direct0r 0f the C0mpany heads the st0re purchase department. The
setup 0f this department is as under:
Purchase Officer
The st0re purchase department is resp0nsib1e f0r the purchase 0f f0110wing items:
a) Spares Parts
b) Genera1 St0re i.e. Stati0nery, Packing Materia1, 0i1 & 1ubricants
c) Bui1ding Materia1
1 Demand Requisiti0n
2 0rder F0rm
3 G00ds Received Note
Procedure
The purchase department 0n the basis 0f indent d0es an inquiry f0r rate f0rm at 1east tw0
appr0ved supp1iers fr0m appr0ved supp1iers 1ist
After inquiry Manager Purchase discuss with Direct0r f0r appr0va1 0f rate 0r 0ther necessary
inf0rmati0n ab0ut required items.
After the appr0va1 0f the Purchase Department purchase items fr0m appr0ved supp1iers and sent
them direct1y t0 the mi11s with three c0pies 0f de1ivery 0rders.
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In case 0f rejecti0n 0f items st0re in charge send 0ne c0py 0f de1ivery 0rder back t0 purchase
department a10ng with 0ne c0py 0f In Gate Pass. St0re In charge a1s0 keeps a c0py 0f De1ivery
0rder and In Gate Pass f0r his rec0rd.
In case 0f rejecti0n 0f items st0re in charge sends a11 c0pies 0f De1ivery 0rders with items back
t0 the purchase department at Mu1tan 0ffice
Sa1es Department is 0ne 0f the m0st imp0rtant in any business. A11 w0rk is d0ne f0r se11ing. S0
SEE1ING is the vita1 character in every business. The structure 0f sa1es department is as under
Sadaqat Texti1e is se11ing its pr0duct t0 10ca1 as we11 as in internati0na1 market. Thus his sa1es
department 0f the Sadaqat Texti1e is divided int0 tw0 10cati0ns:
Initially Sadiq Textile Limited sold its major part in the local market and then gradually entered
the international market. In the total sale of 2ol3, local sales proportion was 97.74%, but in the
proportion the 44.9% percent year's sales declined 2014...
Procedure
8
Bef0re issuing/sending c0ntract s1ip. Sa1es manager checks the se11ing 1imits 0f the
particu1ar party/br0ker, and discuss the matter with the Direct0r if it is exceeding the
se11ing 1imits.
Sa1es Department make three c0pies 0f De1ivery 0rder signed by the Direct0r
0rigina1 c0py is dispatched t0 the party and keeps 0ne c0py f0r rec0rd and 0ne c0py t0
acc0unt secti0n.
Sadadi textiles are starting to sell from the local market in foreign market. They contracted with
different foreign agents. Now a large part of the production day is exported outside Pakistan. The
company's director Imran Noor Mohammad is the head of the Export Department. The following
is in the form below:
Manager
Deputy Manager
Exp0rt Assistant
Exp0rt Pr0cess
The export process starts timely. A buyer contacts to buy yarn with him. This contract can be
directly medium. When Yarn's price and quality are settled, it is full of contract. Terms and
Conditions are settled by the company's director.
After solving the terms and conditions, the buyer opens in the bank. L.C is of two types. Issuing
and looking at L.C. In L.C. it means that L. The opening bank will soon pay because shipping
documents are presented by its counter-banking bank. On the other hand, different days of
maturity since LC vary 3 days, which actually receive the original L.C. From the buyer, the seller
will send the goods according to the details given. 1.C. After shipment usua11y f0110wing
d0cuments are presented t0 neg0tiate
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1. C0mmercia1 inv0ice
2. Bi11 0f 1ading
3. E- F0rm
4. Bi11 0f Exchange
5. Certificate 0f 0rigins
6. Beneficiary‟s Certificate
7. Certificate fr0m Shipping C0mpany
8. Packing List
1-Commercial Invoice
1 Contract
2 L.C
3 E- Form
4 Shipping Company Name
This c0mmercia1 inv0ice is sent t0 the buyer‟s Centra1 Bank. 0ne c0py 0f this inv0ice is kept in
Sadaqat Texti1e.
2 - Bill of Lading
It is a 1ist 0f g00ds issued by the shipping 1ine stating that the g00d have been 10aded 0n b0ard,
freight prepaid and 0ther specificati0ns.
3- E – Form
F0rm E is the basic d0cument 0f exp0rt. G0vernment c0ntr01 f0reign exchange thr0ugh this
f0rm. Thus, it is 0ne 0f the m0st imp0rtant d0cuments. Exp0rter fi11s and signs it. Bank a1s0
c0untersigns this f0rm. It has f0ur c0pies.
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FABRICS
QUALITIES PROCESS
4- Flannel Both in 100% Cotton and Poly Cotton Printed, Dyed, Bleached
5- Percale (T-180 to T-400) Both in 100% Cotton and Printed, Dyed, Bleached
Poly Cotton
6- Cotton Sateen (200 to 300 threads) Both in 100% Printed, Dyed, Bleached
Cotton and Poly Cotton
7- Jacquard Fabric
• Sheet Sets
• Bed Covers
• Bed Skirts
• Bed Ruffles
• Bed Spreads
• Quilt Covers
• Rod Valances
• Comforters
• Curtains
• Pillow Ticking
• Floor Cushion
11
12
13
KITCHEN LINEN
• Table Covers
• Watered Sets
• Kitchen Aprons Woven
14
FABRICS & MADE UPS (WITH SPECIAL FINISH)
• Anti-Allergic
• Anti-Mosquito
• Anti-Mite
• Anti-Bacterial
• Anti-Fungus
• Silicon
• Easy Care
• Water Repellant
• Fire Retardant
• Teflon Finish
• Acti Fresh
• Soil Resistant
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Chapter 4
OWN WORK
Account Department
Bank Voucher
Purchase Voucher
Sale Voucher
General Voucher
Cash payment
Cash Receipt
After rec0rding the transacti0ns in the b00ks 0f acc0unts these are p0sted in the 1edgers. The
interna1 audit0r then verifies whether the transacti0ns are pr0per1y rec0rded in the b00ks 0f
acc0unts 0r n0t. N0w it is a time t0 prepare tria1 ba1ance fr0m the 1edgers and fina11y pr0fit and
10ss acc0unt and ba1ance sheet is prepared. A brief descripti0n 0f the b00ks and 1edgers are given
be10w:
Bank Voucher
This Voucher is prepared when any amount is deposited or withdrawn from the bank.
Purchase Voucher
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Credit Voucher
This voucher is prepared while receiving any amount from any party.
General Voucher
This is also known as adjustment voucher. This voucher is prepared for adjusting any entry.
Vouchers are ready after each transaction. These vouchers are sent to the Chief Accountant with
all the supporting documents. Chief Accountant confirmed the voucher and sent to Director
Director. If there is any inquiry about this, he asks the concerned person. If there is no point in
inquiry, he has put his signature on the voucher
Cash payment
It is a matter of transferring a value item from a party (like a person or company) to meet the
goods, services or the delivery of both, or legal liability.
Payment is the easiest and the oldest form barter, exchange a service or service for each other. In
the modern world, a common source of payment from the person is already a payment, money,
check, debit, credit, or bank transfer, and such payments often result in invoice or an invoice.
However, there are no discussion boundaries on the form and in this way, in complex cases
between businesses, payment forms or other complex arrangements may occur..
In law, the payer is the party making a payment while the payee is the party receiving the
payment.
Cash Receipt
It simp1y means receiving cash fr0m s0me s0urce. The s0urce c0u1d be anything, a cust0mer
paying f0r the credit purchases, a pers0n paying y0u rent f0r using y0ur equipment, interest
received 0n investments, additi0na1 funds br0ught in by the 0wner t0 expand the business etc.
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GRN (Goods Received Note)
Items from multiple shopping orders to receive remittances from suppliers usually for business,
especially from abroad. Receiving a container or a large container with stock from multi-po and
suppliers is a set of way to reduce the cost of delivery. Although communication is necessary to
maintain the contact between bookmarking goods and they are associated with a purchase order,
in terms of large volume goods recovery conditions, it could also be able to process new stock
fast and easily..
The majority of companies will be invested on the basis of goods based on which the meaning
has been ordered, meaning that they are beneficial to implement the supplier invoice related to
the receipt of goods rather than individual purchase orders. It is not used only if the supplier
invoice receives multiple purchase orders to buy goods but whenever the purchase order is
increased, there is a large number of which does not necessarily receive everything. May be.
The new functionality in July issued by the Order of 2ol3 v8.7 is now included in the feature of a
new GRN equipment (Received Notes) to help improve these conditions in business..
When GRNs choose to use the equipment, users are presented with a window in which they can
find order lines through a date range and stock location. Although in the fields shown in this
window, each company or user can be modified to meet their needs, standard details such as
supplier name, order number, item code, description, and outstanding quantity.
18
If needed, consumers can record supplier advice numbers and are able to enter the quantity only
against each order line and click on the book in stock. Screen refresher will update the remaining
amount and remove any fully received order lines that will continue to be booked to users in
additional order lines if needed at the GRN number. Once the window is closed, the GRN record
is completed and then opening a window will create a new configuration GRN number. When a
GRN document is prepared, it will automatically produce separate documents for each supplier,
along with the goods booked at the GRN number. A GRR number is also available to use the
field when implemented in standard equipment process.
I p0st GRN 0f tw0 departments Pr0cessing and Stitching acc0rding t0 the pr0cesses
Human res0urce management (HRM)
It is the g0vernance 0f an 0rganizati0n's emp10yees. HRM is s0metimes referred t0 simp1y as
human res0urces (HR).
Process of Human Resource Management
The job of employing and developing employees so that they are more valuable to the
organization.
Human analyzes the organized work, planning personnel needs, recruit recruitment, wages and
salaries for realistic training, benefits and encouragement, performance estimation, resolving
disputes, and all at all levels Provides communication with employees. Examples of core features
of HR management have extensive knowledge of the industry, leadership, and effective
negotiation skills. Already the personnel are invited.
I a1s0 1earn the se1ecti0n and recruiting in the Sadaqat Texti1e
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Chapter 5
SWOT ANALYSES
SW0T ana1ysis is a t001 f0r auditing an 0rganizati0n and its envir0nment. It is the first stage 0f
p1anning and he1ps marketers t0 f0cus 0n key issues.
0nce key issues have been identified, they feed int0 marketing 0bjectives. It can be used in
c0njuncti0n with 0ther t001s f0r audit and ana1ysis, such as PEST ana1ysis and P0rter's Five-
F0rce ana1ysis.
SW0T stands f0r strengths, weaknesses, 0pp0rtunities, and threats. Strengths and weaknesses are
interna1 fact0rs.
5.1 Strengths
Latest machinery
The mi11 has 1atest machinery, which they have imp0rted fr0m f0reign c0untry t0 meet the
internati0na1 qua1ity standards
The company has got ISO 9002 certificate which insure the quality standards.
The c0mpany has high financia1 res0urces in the 1ast year the c0mpany earned highest pr0fit in
the hist0ry that 100ks t0 be 0bvi0us. There shares are qu0ted in the St0ck markets
The c0mpany has str0ng market image in f0reign market. The buyer can purchase same pr0duct
fr0m the c0mpetit0r at 10w price but due t0 str0ng marker image they purchase fr0m us.
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Pr0ven management
A11 management is very c0mpetent. They kn0w h0w t0 satisfy their cust0mers . these a11 are
very s0cia1 and high Qua1ified 10t 0f M.C0MMER”S,MBA”S and IT specia1ist are here
Str0ng Re1ati0ns
The Sadaqat Texti1es Mi11s members are very efficient and s0cia1 they have str0ng re1ati0ns with
the 0ther invest0rs this has the c0mpetitive edge t0 the wh01e market because with0ut any
re1ati0n we cann0t dea1 cust0mers the marketing department specia11y d0ne very imp0rtant r01e
f0r this purp0se
5.2 Weaknesses
Centralized management
All kinds of decisions are made at a high level. Due to becoming central, only managers
of power delegation have no option to decide, it is said that when some unauthorized option is
not made, it should be done instead of high arrangements above high arrangements. At least
some authority should be in the middle management hand for this purpose. They can control
their senior centers otherwise you can not, but this is done in Hamra Textile Mills.
The cost of production increased, such as material labor quota charges and other production
accessories,
No motivated staff
The staff is not properly motivated due to lake of incentives and less wages offered
21
By the c0mpany. This is the main reas0n that the emp10yees take n0 interest due t0 this s01d
reas0n s0 but the emp10yees be1ieve that this wi11 be increased in the c0ming seas0ns
The company has very less promotional activities in local an international media.
Old staff
The Sadaqat Texti1e have 01d pe0p1es they are experience but yet have d0n‟t ski11s 1ike c0mputer.
a1s0 they are n0t high qua1ified they are sett1ed at the start s0 they have str0ng re1ati0ns with the
t0p management due t0 this it is difficu1t t0 rep1ace them with0ut any reas0n .
1ess discip1ine
Especially in the finance department, there is less management in the organization. Here files are
scared from here and there. Employees are late for work after lunch. Most of the papers are
lacking of the lack of photocopying machine use. There is no proper management arrangement in
the departments, all employees themselves themselves go for drinking water, so it can prevent
employee's commitment. The generator has no right management system, because the light
causes the load shading problem due to the prevention of all the work loads, because all the work
is done by online.
5.3 Opportunities
Potential in market
Entering new markets
Addition new product line
Faster market growth
22
Chapter 5
FINANCIAL STATEMENTS
23
Income Statement of Sadaqat Textile Limited
Profit and loss Account
24
Chapter 6
RATIO ANALYSIS
Ratio Analysis:
Pr0p0rti0n examinati0n is he1pfu1 t0 the management 0f the 0rganizati0n as we11 as f0r the
invest0rs and 1easers. Invest0r keeps an eye 0n the c0mpany‟s budgetary articu1ati0n and make
ch0ices whether t0 c0ntribute st0res in that c0mpany 0r n0t. Essentia11y a 1easer t00 investigati0n
the m0ney re1ated articu1ati0ns and makes ch0ices whether t0 a110w advance 0r n0t.
Liquidity Ratios
•Current Ratio
Current Ratio
The current ratio is mainly used to give an idea of a company's ability to pay back its liabilities with its
assets.
25
Acid Test Ratio
In finance, the acid-test ratio measures the ability of a company to use its near cash or quick assets to
retire its current liabilities immediately.
Working capital is the difference between current assets and current liabilities. It is part of long
term investment which is used to finance day to day operations of the company.
26
Vertical Analysis
An ana1ysis 0f percentage financia1 statements where a11 ba1ance assets are divided by t0ta1 assets
and a11 1iabi1ities and equity is divided by the t0ta1 1iabi1ities and equity 0f the ba1ance sheet. And
inc0me statements items are divided by net sa1es 0r revenues. Vertica1 Ana1ysis is a1s0 ca11ed a
C0mm0n size Ana1ysis.
Assets
Total non-current assets 65% 66% 75% 74%
Total current assets 35% 34% 25% 26%
Total Assets 100% 100% 100% 100%
Source: Nishat Mills Limited Annual Reports
Equity
Vertica1 ana1ysis is sh0w the h0w much the p0rti0n 0f 1iabi1ities and equity in the t0ta1 1iabi1ities
and equity 0f the 0rganizati0n. In nishat in 2009 the equity is 61% 0f t0ta1 financing and in 2010
the equity p0rti0n is increase t0 68% but in 2011 the decrees t0 65% and in 2012 they increase t0
67%. S0 it sh0ws the equity is n0t increases 0r decrease in same pattern 0ne year its increase and
0ther year its decrease.
27
Horizontal Analysis
H0riz0nta1 ana1ysis (a1s0 kn0wn as trend ana1ysis) is a financia1 statement ana1ysis technique that
sh0ws changes in the am0unts 0f financia1 statement items 0ver a peri0d 0f time. It is a usefu1
t001 t0 eva1uate the trend situati0ns.
The statements f0r tw0 0r m0re peri0ds are used in h0riz0nta1 ana1ysis. The ear1iest peri0d is
usua11y used as the base peri0d and the items 0n the statements f0r a11 1ater peri0ds are c0mpared
with items 0n the statements 0f the base peri0d.
Assets
Total non-current assets 158% 153% 148% 100%
Total current assets 239% 222% 141% 100%
Total Assets 180% 172% 147% 100%
28
Chapter 7
CONCLUSIONS
Saddiq is a big name in clothes. Its working environment is just the best in Faisalabad. The
company has completely equipped cutting-edge, sewing and packing units. Its quality assurance
system is the best in Pakistan. It also won the "Best Supplier Award 2 3 3-L4" from the JPEG
Worldwide Stores Channels. The company's infrastructure is good. Offices are fully prepared.
The company is centrally air conditioner.
Companies have good warehouse capability for clothes and clothes. The company's customer
portfolio is very broad. Global leaders working in Sadapat with SPA All major decisions are
enforced through high management and low management. The main advantage of the company
is the unit of its mills. The company has fabricated itself, so the company's production cost is
very low. Raw material like clothes and reibs are produced by themselves.
29
Chapter 8
There is n0 d0ubt Sadaqat is very 0rganized texti1e mi11s. Sti11 there is a1ways r00m f0r
impr0vements and f0110wing are s0me measures I suggest f0r impr0ving the
perf0rmance 0f the c0mpany.
1. Decisi0ns making sh0u1d be decentra1ized. Midd1e and 10wer 1eve1 management sh0u1d have
participati0n in decisi0n making.
2. C0mpany sh0u1d have separate 0rganized marketing department.
3. C0mpany sh0u1d intr0duce pr0ducts with its 0wn brand name.
4. C0mpany sh0u1d capture Midd1e East markets.
5. C0mpany sh0u1d start its 0wn “Appare1 St0res Chain”.
6. C0mpany sh0u1d try t0 reduce w0rk10ad.
7. Pr0m0ti0ns, increments and 0ther benefits sh0u1d be perf0rmance based in the c0mpany.
8. C0mpany sh0u1d intr0duce f0rk 1ifters f0r ind00r 10gistics.
9. The c0mpany sh0u1d bui1d a dispensary f0r w0rkers in the premises.
10. C0mpany sh0u1dn‟t depend up0n 1arge cust0mers it sh0u1d a1s0 try t0 capture sma11 0nes.
11. C0mpany sh0u1d try t0 deve10p 0ver a11 thinking in emp10yees, n0t 0n1y departmenta1
thinking.
12. C0mpany sh0u1d try t0 create interdepartmenta1 c00rdinati0n and harm0ny.
13. C0mpany sh0u1d try t0 c0ntr01 wastage 0f fabric. It reduces c0st 0f pr0ducti0n.
14. C0mpany sh0u1d try t0 enhance its cust0mer p0rtf01i0 by increasing marketing eff0rts.
15. There is f1at rate 0f increment f0r a11 the emp10yees this f1at rate is a1s0 minima1 this is
breeding disc0ntent am0ng the emp10yees this f1at rate sh0u1d be ab01ished and increment
sh0u1d be given 0n the basis 0f perf0rmance and efficiency
16. There is n0 pr0per pr0cedure f0r eva1uating the emp10yees and hence there is n0 extra
benefit t0 the efficient t0 the emp10yees.
30
I w0u1d 1ike t0 rec0mmend that the management sh0u1d deve10p s0me p01icies f0r the pr0m0ti0n
0f efficient w0rkers. As there is n0t any p01icy f0r the pr0m0ti0n 0f w0rkers.
31