LETTER OF ACKNOWLEDGEMENT

First of all, we would like to express gratitude to Almighty Allah for giving us blessings to
complete this assignment.

We would like to express our appreciation to our team member Rukayea’s elder brother Mr. H.M
Omar Hasnain Real who helped us a lot throughout the process from managing the firm for us to
arranging meeting with the GM of Marketing Dept. of ABFL for this project. I would like to
thank the GM of Marketing Dept. of Aftab Bahumukhi Farm Ltd. Mr. Anisuzzaman Huda for
giving us time. Despite his designation, he co-operated with our team for preparing this project.

Lastly, I would like to give all the credit to our course instructor, Mr. Shahid Hossain, lecturer,
Department of Management, NSU. He taught us the lessons so well and guided us very precisely
for this project.

Name Signature
Mohammad Asifur Rahman
Md. Tasharof Hossain
Tawheed Hyder
Rukayea Hasnin
Md. Asif Bin Zahir
TABLE OF CONTENT

LETTER OF ACKNOWLEDGEMENT.....................................................................................1
TABLE OF CONTENT................................................................................................................2
EXECUTIVE SUMMARY...........................................................................................................3
MISSION STATEMENT..............................................................................................................5
VISION...........................................................................................................................................5
ORGANOGRAM OF THE FIRM...............................................................................................6
KEY OFFICERS OF THE FIRM................................................................................................7
SITUATION ANALYSIS..............................................................................................................8
External Factors.........................................................................................................................8
Internal Factors........................................................................................................................16
SWOT ANALYSIS......................................................................................................................22
OBJECTIVES..............................................................................................................................27
MANAGEMENT ISSUES..........................................................................................................30
CONCLUSIONS..........................................................................................................................33
BIBLIOGRAPHY........................................................................................................................34
APPENDIX...................................................................................................................................37
EXECUTIVE SUMMARY

Aftab Bahumukhi Farm Ltd. (AFBL) was established by the founding chairman of Jahurul Islam
Group, Mr. Jahurul Islam in 1992. Aftab is the present market leader in term of both processed
and further processed chicken products. To adapt changes and meet the demand of this century,
the farm has a modern poultry processing plant with the capacity to process 1000 birds per hour.
This is the first of its kind in Bangladesh. Aftab has also further processing plant which supplies
ready to cook chicken based items. AFBL has above twenty two different processed and further
processed chicken products.

ABFL was established with dual purpose of providing financial backup to educational
institutions and help the local poor people by creating job opportunities and self-employment in
general. With the aim of continuous progress of AFBL, Aftab Hatchery Ltd. was established in
2001 for parent stock rearing and producing Day Old Commercial Chicks (DOC) and the signle
largest feed mill of the country emerged as Aftab Feed Products Ltd in 2003. Moreover, Aftab
G.P. Farms Ltd. was established in 2006 for Grand Parent rearing for producing parent day old
chicks.

This report emphasizes with the analysis of the poultry farms and their further processing units,
company in focus, mission & vision, the organogram of the firm, situation analysis, objectives of
the firms and their strategies, SWOT analysis and management structure.

Aftab Bahumukhi Farm Ltd. has enough resources in terms of its competitors. The company has
already has the brand image quality producer. In this report, SWOT analysis is made to present
the firm’s strengths, opportunities as well as weakness in terms of competitors. The major
competitors of the processed chicken products of ABFL are BRAC, Whitehen and so many non-
brand farms. The main strength of the non-branded farms are low price and high availability. The
nearest competitor is BRAC. Aftab produces the highest quality product. But because of the lack
in proper marketing strategies and communication, ABFL is losing some important market
shares. Aftab occupies 16% of the total market share whereas non-branded farms have 61% of
market shares. In terms of further processed chicken products, Rich brand or Harvest Rich Group
has the largest market shares and it occupies 70% of total market share whereas Aftab occupies
only 20% of the market shares. The amount of promotional activities are performed by the
company is very poor
compared to its competitors. The Kazi Farm, Nourish Agro and Cp are the new entrants in this
industry. But their marketing efforts are quite impressive and well planned.

However, Aftab Bahumukhi Farms Ltd. (ABFL) is the only integrated and largest poultry
industry in Bangladesh that maintains the whole poultry chain from Grand Parent to further
processed Chicken. It is the pioneer of its kind.

Financial Report
Aftab Bahumukhi Farms LTD, is known as a renowned company in Bangladesh which is
achieving its success every year. Every year they are achieving profit 4% to 5%. Focus of this
company is to maximizing profit. Like in 2018 they have achieved around 20 crore taka which is
3% more than their income of 2016. This company is investing in other projects and getting more
than their investment. In 2018, they targeted to sell minimum 500 crore of their products but they
crossed more than that which extremely satisfying for a company. Every year their sells are
increasing from 10% to more.

This ltd. has almost 33 crore of total asset which is a good support for them. Even if they don’t
generate profit, it will be able to survive without facing any problem. This company has a huge
amount of liabilities. From the financial statement, we found some major changes in financial
year 2017 compare to 2016, which are:

Total assets are increased by 8% from the last year. A slight decrease in equity by .33%. Since
assets growth is more than its equity growth, the liabilities of the company has increased. Gross
profit margin has significantly changed in 2017, it has increased. The noticeable change is
observed in companies net profit after which is decreased from last year because of increase in
operating expenses which leads to a massive change in companies last year EPS to 685 from
382. (Financial report of Aftab Bahumukhi farm, 2017)
MISSION STATEMENT

Our mission is to provide healthy, nutritious and safe food to consumers through constant
innovation and operational excellence. We build value for our investors through the strength of
our customer satisfaction and superior products.

VISION

Our vision is to be a premium food and agro business in Asia. (Company’s vision)
ORGANOGRAM OF THE FIRM
Chairman

Managing Director of AFBL AGRO Divsion

Head of Finacne & Accounting

Director Marketing OD Bhagolepur OD Sales & Markting

GM Brands & DGM of Fin & Act

GM Production GM Production Further Process

Deputy Manager Asst. Manager Deputy Manager Area Manager

Area Manager
Area Manager
In-charges of Hatchery, Breder Own, Breder Contact Terrtory Officer

Terrtory Officer
Terrtory Officer
KEY OFFICERS OF THE FIRM

NAME Designation

Abu Luthfe Fazle Rahim Khan Managing Director

Engr. Md. Mahbubur Rahman Director Administration

Tariquzzaman Director Strategy and Brand Marketing

A.K.M. Shahid uz Zaman, FCA Operative Director, CFO

Mr. Anisuzzaman Huda GM, Marketing

Rezaul Karim Head of Finance & Act.

Abiduzzaman Chowdhury OD, Sales & Marketing

Chowdhury Raihan DGM, Fin & Act.

Sarwar Ahmed GM, Brands & Further Process

SITUATION ANALYSIS

A situational analysis consists of different methods used with the same goal to figure out the
company’s capacities, potential customers, and the business environment. After that, company
owners can generate an appropriate marketing strategy to apply for their business based on the
projected impacts from these above factors. (Mageplaza, 2018)

The Situation analysis helps you define where you are standing currently, and what should be
your actions to progress further. Situation analysis also means forecasting the results if a decision
is taken in any direction. The fast-changing environment and people lifestyles are demanding
regular analysis to provide you with a snapshot of where your company is placed in the business
environment, and to present you with the opportunities to develop and enhance growth.

Being based on both the internal and external environment, no matter if you are planning to
introduce a new service/product in the market, or if you are in the need of finding which are your
strengths and weaknesses regarding your own company, a micro as well as macro environmental
factor analysis can indicate the strategies which you should follow. This is the purpose of
the Situation Analysis. (Bhasin, 2017)

External Factors
Outside influences that can impact a business. Various external factors can impact the ability of a
business or investment to achieve its strategic goals and objectives. These external factors might
include competition; social, legal and technological changes, and the economic and political
environment. (Business Dictionary, 2018)

The word environment means the surrounding atmosphere and conditions for existence. It is very
important for organizational leaders to know and understand the environment before they start
doing business.

The external factors of the environment are factors that are not under the control of an
organization. These factors include social environment, political conditions, technological
environment,
government regulations and policies, resources in economy and cultural environment and
demographics of people.

The external environment comprises of all the outside factors that may have an impact on the
workings of an organization. The external environment is divided into 2 parts: directly
interactive and indirectly interactive. A directly interactive type of environment has an
immediate and firsthand impact upon an organization. An indirectly interactive type of
environment has a secondary and more distant impact on an organization.

The category of directly interactive environmental forces includes customers, suppliers,

competitors, employees (human resources).

Conversely, the category of indirectly interactive environmental forces includes social-cultural,

political and legal, technological, economic and global influences. Indirectly interactive forces
may impact one organization more than another simply because of the nature of a particular
business.

Knowledge and understanding of the environment is vital for an organization to know in order to
be successful. ( UKEssays, 2015)

Customers

Customers buy products or use services. They may be individuals, but also may be
manufacturers, wholesalers or corporate clients. To compete, a business must deeply understand
its customer's needs and desires. Analyzing this environmental component allows a business to
make sound strategic decisions that affect operations. Customer-oriented changes such as extra
services, new products, or expanded hours of operations might sharpen a ( UKEssays, 2015)

For most organizations understanding customers is the key to success while not understanding
them is a recipe for failure. It is so important that the constant drive to satisfy customers is not
only a concern for those responsible for carrying out marketing tasks; satisfying customers is a
concern of everyone in the entire organization.
Whether someone’s job involves direct contact with customers (e.g., salespeople, delivery
drivers, telephone customer service representatives) or indirect contact (e.g., production,
accounting), all members of an organization must appreciate the role customers play in helping
the organization meets its goals. To ensure everyone understands the customer’s role, many
organizations continually preach a “customer is most important” message in department
meetings. To drive home the importance of customers, the message often contains examples of
how customers impact the company. These examples include:

Source of Information and Ideas - Satisfying the needs of customers requires organizations
maintain close contact with them. Marketers can get close to customers by conducting marketing
research (e.g., surveys) and other feedback methods (e.g., website comments forms) that
encourage customers to share their thoughts and feelings.

Affects Activities Throughout Organization - For most organizations customers not only
affect decisions made by the marketing team but they are the key driver for decisions made
throughout the organization. For example, customer’s reaction to the design of a product may
affect the type of raw materials used in the product manufacturing process. With customers
impacting such a significant portion of a company.

Needed to Sustain the Organization - Finally, customers are the reason an organization is in
business. Without customers or the potential to attract customers, a company is not viable.
Consequently, customers are not only key to revenue and profits they are also key to creating and
maintaining jobs within the organization. (Knowthis?com, 2018)

Aftab Bahumukhi Farms Ltd. (ABFL) has different type of customers because Aftab
BAhumukhi Farms Ltd (ABFL) is the only largest poultry industry in Bangladesh that maintain
the whole poultry chain from grandparent to further processed chicken. (Aftab Bahumukhi Farms
Ltd., 2015)

Apart from the poultry industry they have large customers related to:

Poultry Feed,

Fish Feed,

Cattle Feed,
Crops,

Seed and

Fisheries. (Aftab Bahumukhi Farms Ltd., 2015)

Not only has the consumer ABFL also had many trusted fixed customers, who are the main
customers of the firm because they maintain their relation for many years. (Interview)

Competitors

A business occupying the same marketplace as another company that provides similar products
or services has a competitor. A rival company may vie for the same customers through some mix
of service, product features, quality, convenience, selection and price. To enhance customer
service, the competition may choose to provide delivery options, good warranties and generous
financing. To compensate for this external force, a company must keep abreast of the means the
competition uses to lure customers, and objectively analyze the competitor's strengths and
weaknesses. An existing business must also know when new competition enters their market.
(Johnson, 2013) Whatever your organization or business offers, you'll be well-positioned to
succeed, if you have a deep and broad understanding of who else provides similar offerings, or
who else has different products or services that can meet the same need. (Business Dictionary,
2018)

As Aftab Bahumukhi Farms major product is processed chicken so the major competitors of the
company are:

 BRAC
 CP
 Kazi Farms Kitchen
 Many others.
BRAC

BRAC Chicken was established to meet the growing demand for ready-to-cook chicken in urban
areas. Initially a pioneer of the packaged poultry meat market, BRAC Chicken is now one of
major players in the processed meat market. BRAC Chicken also strives to create a market for
poultry that provides farmers with a fair price. It started out as a broiler processing enterprise in
2004, with the capacity to process approximately 10,000 chickens per day and was the only
automated plant of its kind in Bangladesh. BRAC Chicken has also released a variety of
processed chicken products, including chicken nuggets and chicken wings.

Given that the demand for poultry meat and eggs in Bangladesh still exceeds the supply, BRAC's
poultry operations continue to be an important means of supporting rural farmers in their
production, while also driving sector growth by increasing the supply of high-yield variety
chicks and processed broiler meat.
With consumers increasingly demanding healthy and convenient food options, BRAC Chicken
plans to expand its chicken processing operation and introduce more variety in its product line.
As the increased demand for poultry meat has spurred an increase in demand for day-old
chicken. BRAC’s poultry rearing farms also plan to increase their capacity to serve this growing
demand. (BRAC, 2016)

CP Bangladesh

CP Bangladesh Company Limited was established since 1998 under operation in Agroindustry
and Food Business by dedication of providing high quality of animal feed mill, farming
operation and also processing tasteful, nutritional and hygienic food products under branding of
‘‘FIVE STAR CHICKEN’’ that deliver to all customers in Bangladesh. C.P. Bangladesh
Company Limited is a company of the CP Group, the largest business conglomerate in Thailand.
It’s a truly Multinational Company with registered Corporate Head Quarter in Thailand having
global presence in 25 countries involved in multidimensional Agricultural & Food Business.
With vision to be “Kitchen of the World”, the company is committed to fulfill the longing of
quality food products that are nutritious, hygienic and with food safety integrity from consumers
whose satisfaction and habit have change from time to time. (C.P.Bangladesh, 2013)
Kazi Farms Kitchen

Kazi Farms Limited was established in 1996 as a hatchery for imported eggs; the following year
it started its own parent farms. In 2004 production started in our grand-parent (GP) farms which
was responsible for Bangladesh's first exports of hatching eggs and day-old chicks in 2004. In
that year, our Managing Director, Kazi Zahedul Hasan, was named Businessperson of the Year
by the Daily Star/DHL Business Awards.

A range of frozen food products are sold under the brand name Kazi Farms Kitchen. These are
all guaranteed to not contain any antibiotic residues, as chickens are not fed any antibiotics
within 7 days of slaughter, as per international practice. The meat is also guaranteed to be
produced from chickens raised on feed not containing MBM (meat and bone meal) as per
European standards. The meat products are also guaranteed to be MSG and nitrate-free, as we do
not use any of these chemicals during food preparation. (Kazi Farms Group, 2014)

Suppliers

A party that supplies goods or services. A supplier may be distinguished from a contractor or
subcontractor, who commonly adds specialized input to deliverables. Also called vendor.
(Business Dictionary, 2018) Suppliers provide a company with needed resources. Some
companies have deep alliances with their suppliers, increasing supply reliability, but also
increasing a company's dependence. (Johnson, 2013)

Managers influence a business everyday by the decisions they make. Suppliers can decide
whether to raise prices for orders which can obviously affect a firm's profits. Also, a supplier's
reliability could affect production. If orders do not arrive on time finished goods may not be
ready for shipping to customers. The natural focus of companies is on fostering customer loyalty
but that’s not the only relationship you should be nurturing. A good relationship with your
suppliers is just as important. In fact, it is so crucial not having one can make running your
business similar to driving off road in a family car.
Supplier relationship management (SRM) is one area all businesses need to become good at
because it can have significant effects. In fact, adapting a more strategic approach with key
suppliers can have immense long-term benefits for companies. As they play a major role in your
business, it’s crucial that you do everything you can to keep them on board and happy. Look at
them more than just someone who supplies goods and/or services. They must be your allies
because the kind of relationship you have with them can influence your success.

Strategic Relationship Management (StrRM) is an advanced form of supplier relationship

management that is widely considered advantageous for both suppliers and buyers. It’s this
strategic approach that helps companies develop mutual awareness of what’s going on between
them, find effective ways to communicate, and resolve issues efficiently. (GREENLIGHT, 2018)

ABFL has fulfilled that needed with their own product. So, they have both Back Ward Vertical
Integration and For Ward Vertical Integration. It has two subsidiary companies, AGPFL and
AFPL that provide backward and forward linkages to the business. AFBL manufacturing and
supplying its product to other and also fulfill their need. (Aftab Bahumukhi Farms Ltd., 2015)

Technological

Almost every business relies on technology for day-to-day operations, from the decision of a
solo entrepreneur to purchase a new laptop to a growing company's roll out of time-management
software. Beyond the standard office laptop and smart phone, organizations implement
information systems, custom software or specialized technology equipment to keep operations
running smoothly. Advancements in technology have the potential to decrease the time needed to
complete a task, or in some cases eliminate the need for a business process or job function.
Typically, the desire for increased productivity drives upgrades to technology within an
organization, which can significantly influence company operations. The decision to purchase or
upgrade technology has the potential to put a big dent in company finances for large and small
operations. To determine the time frame and scale of adding new computers or software,
business owners must weigh the cost of improvements against the perceived added value to the
company. Concerns about costs can often lead small businesses to delay upgrades and purchases.
However,
technology that significantly improves operations can offset costs through with an increase in
profit. (Archer, 2018)

Aftab products are known for their safety and reliability. Factories and farms use only state of
the art technology to guarantee the highest international quality products for the Bangladesh
market. The organization bring the most recent machinery from Netherland. (Interview)

Economical

The global economy is one of the biggest external factors that will, at some time, affect your
business. Market fluctuations based on politics, terrorism attacks, wars and currency devaluation
eventually trickle down to most commercial enterprises. (Archer, 2018)External economic
environment determines whether people have money to spend and how willing they are to spend
it. Consumer optimism about the economy is influential in generating consumer spending, and
fear of economic instability prompts them to hang onto their money. Some products and services
may actually do better in an economic downturn. If your business offers an affordable staple
such as food or clothing, customers may be more likely to choose it over more luxurious
alternatives when times are hard. (Gartenstein, 2018)

ABFL always follow few things:

 Priced based on the condition of the overall economy.

 Promises to give best quality product. (Interview)

Political

Government actions which affects the operations of a company or business. These actions may
be on local, regional, national or international level. Business owners and managers pay close
attention to the political environment to gauge how government actions will affect their
company. (Business Dictionary, 2018). The political environment of business are the political
factors that can affect the way in which businesses operate, the businesses that are present, the
obstacles that a business may face, and the likelihood of success of different types of businesses.
According to
the Business Dictionary the political environment is the government actions which affect the
operations of a company or business. These actions can be present on several different levels
including the local, state, regional, national, and international level. Those who own businesses
often pay close attention to these factors to deduce the way in which government actions will
affect their business.

The political environment of business is often a significant issue when discussing international
businesses. The political environment of business often affects the choice of foreign market that
a company will enter. This is due to the fact that it can affect the regulations that the business
may face, the amount of government interference that a company can expect, the profitability of
the choice to enter this market and more. ( eNotes.com, 2018)

ABFL follow some political issue:

 Follow the policies of poultry processing industry.

 Run by the hierarchy of the farm. (interview)

Internal Factors
An organization's internal environment is composed of the elements within the organization,
including current employees, management, and especially corporate culture, which
defines employee behavior. Although some elements affect the organization as a whole, others
affect only the manager. Inner strengths and weaknesses that an organization exhibits. Internal
factors can strongly affect how well a company meets its objectives, and they might be seen as
strengths if they have a favorable impact on a business, but as weaknesses if they have a
deleterious effect on the business. (Business
Dictionary, 2018) The internal business environment comprises of
factors within the company which impact the success and approach of operations. Unlike the
external environment, the company has control over these factors. It is important to recognize
potential opportunities and threats outside company operations. However, managing the
strengths of internal operations is the key to business success.
The role of company leadership is an essential internal factor. Your leadership style and other
management style impact organizational culture. (PESTLE Analysis, 2015)

Strategic Level Management

Strategic management involves the formulation and implementation of the major goals and
initiatives taken by a company's top management on behalf of owners, based on consideration
of resources and an assessment of the internal and external environments in which the
organization competes. Strategy is defined as "the determination of the basic long-term goals of
an enterprise, and the adoption of courses of action and the allocation of resources necessary for
carrying out these goals." Strategies are established to set direction, focus effort, define or clarify
the organization, and provide consistency or guidance in response to the environment.

Strategic management involves the related concepts of strategic planning and strategic thinking.
Strategic planning is analytical in nature and refers to formalized procedures to produce the data
and analyses used as inputs for strategic thinking, which synthesizes the data resulting in the
strategy. Strategic planning may also refer to control mechanisms used to implement the strategy
once it is determined. In other words, strategic planning happens around the strategic thinking or
strategy making activity.

Strategic decisions are based on insight from the environmental assessment and are responses to
strategic questions about how the organization will compete, such as:

 What is the organization's business?

 Who is the target customer for the organization's products and services?

 Where are the customers and how do they buy? What is considered "value" to the
customer?

 Which businesses, products and services should be included or excluded from the
portfolio of offerings? (Wikipedia, 2018)

Now at ABFL have a strong strategic management level. There are 9 people are in the strategic
level management of the organogram. They are: Managing Director, Director of marketing
department, OD of main production firm at Bhagolpur, OD of sales & Marketing, Head of Fin &
Accounting, GM production at marketing, GM production at Bhagolpur, GM brand &Future
production, DGM at Fin & Accounting. (Interview)

Technical Level Management

Technical level managements manage the work from first line managers and can be found
between the lowest and top level of organization. Technical level management is at the center of
a hierarchical organization, subordinate to the senior management but above the lowest levels of
operational staff. Middle-managers are accountable to top management for their department's
function. They provide guidance to lower level managers and inspire them to perform better.
Middle-management functions generally revolve around enabling teams of workers to perform
effectively and efficiently and reporting these performance indicators to upper management.
(Coulter, 2014).

Main Functions of Middle Management:

1. Departmental Objectives:

It formulates short-term departmental objectives in accordance with the organizational

objectives. It interprets departmental policies framed by top management and then transmits the
policy decisions to the operational levels.

2. Assignment of Duties:

It assigns duties and responsibilities to operative and supervisory personnel for the execution of
their departmental plans.

3. Link:

It acts as a linking channel between the top-level management and operational levels.

4. Communication:

It communicates orders/decisions downwards and carries the problems/suggestions upwards.

5. Coordination:

It develops an effective support system of coordination with other departments. (R, 2017)

Senior Manager, Deputy Manager, Asst. Manager, Area Manager etc. are the technical level
managers of the ABFL. (Interview)

Operational Level Management

Bottom level of management is considered as operative management. They are first line
managers who oversee the efforts of the work force and actually carry out the operational work
in an organization. For example: Supervisors, Foremen, and Inspectors etc.

A lower level manager, being one who actually operates the schedule of actions desired from
staff, has following major functions to perform.

Main Function of Supervisory or Operational Management:

1. Link between Middle Management and Workforce:

To act as a link between workers and the middle management. They pass on the instructions of
the middle management to the workers and the workers, suggestions, complains etc. to the
middle management.

2. Maintenance of Quality:

To maintain the quality of output in the organization.

3. Act as guide to the Workers:

To minimize the wastage of materials by providing sufficient guidance and direction to the
workers.

4. Act as Supervisors:

To supervise the work of the workers.

5. Discipline:

To maintain discipline among the workers.

6. Safety:

To adopt sufficient safety measures.

7. Training:

To arrange for training at workplace. (R, 2017)

Territory Officers are the operational level management of ABFL. (Interview)

Human Resource

This is a function within an organization concentrated on recruiting, managing and directing

people who work in it. Human Resource Management deals with issues related to compensation,
performance management, organization development, safety, wellness, benefits, employee
motivation, training and others. HRM plays a strategic role in managing people and the
workplace culture and environment. If effective, it can contribute greatly to the overall company
direction and the accomplishment of its goals and objectives. (Knowthis?com, 2018)

ABFL have their specific team of HR who recruit employee every year. In this farm 70% of their
employees are loyal to their company and have long term relation with the firm. New sectors are
needed every year so they recruit new employee based on their knowledge and faithfulness but
sometime experience is required. (Interview)

Financial Status

The status of the assets, liabilities, and owners' equity (and their interrelationships) of an
organization, as reflected in its financial statements. Also called financial condition. (PESTLE
Analysis, 2015)

After the horizontal and vertical analysis of financial report of Aftab Bahumukhi Farm Ltd; we
can assume they are doing well in every sector even they are doing well each and every year.
Compare to 2016 in the year 2017 asset is increased by 8%. Every year they are achieving profit
4% to 5%. Every year their sells are increasing from 10% to more. ABFL has almost 33 crore of
total asset which is a good support for them. This company has a huge amount of liabilities. A
slight decrease in equity by .33%. Since assets growth is more than its equity growth, the
liabilities of the company has increased. Gross profit margin has significantly changed in 2017, it
has increased. (Financial report of Aftab Bahumukhi farm, 2017)

Organizational Culture

The values and behaviors that contribute to the unique social and psychological environment of
an organization.
Organizational culture includes an organization's expectations, experiences, philosophy, and
values that hold it together, and is expressed in its self-image, inner workings, interactions with
the outside world, and future expectations. It is based on shared attitudes, beliefs, customs, and
written and unwritten rules that have been developed over time and are considered valid. Also
it affects the organization's productivity and performance, and provides guidelines on customer
care and service, product quality and safety, attendance and punctuality, and concern for the
environment. (Business Dictionary, 2018)

ABFL is a very work friendly organization. They work as a unity and do their best for any
project. The company behaves in a very good way to their employees. They train their new
employees how to work and what to do. Also they give them equal opportunity to show their
talent. (Interview)
SWOT ANALYSIS

SWOT analysis is a strategic planning technique used to help a person or organization identify
the strengths, weakness, opportunities and threats related to business competition or project
planning. It is intended to specify the objectives of the business venture or project and identify
the internal and external factors that are favorable and unfavorable to achieving those objectives.
Users of a SWOT analysis often ask and answer questions to generate meaningful information
for each category to make the tool useful and identify their competitive advantage.
Strengths and weaknesses are frequently internally related, while opportunities and threats
commonly focus on environmental placement.

• Strengths: Characteristics of the businesses and project that give it an advantage over others.

• Weaknesses: Characteristics of a business that plays the business or project at a disadvantage

relative to others
• Opportunities: Elements in the environment that the business could exploit to its advantage.

• Threats: Elements in the environment that could cost trouble for the business or project.
(wikipedia, 2018)
SWOT ANALYSIS OF AFTAB BAHUMUKHI FARMS LTD:

STRENGTHS: WEAKNESSES:

• Reputation • Less promotion

• Financial strength • Distribution

• Industrial experience
• Higher demand

OPPORTUNITIES: THREATS:

• Governmental support • Governmental influence

• Fishing production shortage • New entrance

• Market growth • Competitor

STRENGTHS:

 Reputation:

Aftab Bahumukhi Farm Ltd is the only integrated and the largest poultry industry in Bangladesh
that maintains the whole poultry chain from Grand Parent to Further Processed chicken. They are
one of the most renowned brand in Bangladesh among the other brands. The name Aftab is a
very well-known brand to the most of the people. Now they have some good reputation in further
processed chicken market.

 Financial strength:

The financial strength of this company is very strong. They have almost 33 crore worth of total
assets. So it is a huge back up for them. Even if they don’t make profit for one year they won’t
face that much of a problem. Every year they are achieving profit 4% to 5%. Focus of this
company is to maximizing profit. So it is very clear that this company is financially very strong.

 Industrial experience:

Aftab Bahumukhi Farms Ltd was established in 1991 by AL-Haj Jahural Islam, the founder
chairman of Islam Group. So it is clear that they have been in the business for a very long time.
They knows the market very well. So it’s easy for them to make decisions. And as a result the
farm is doing really well and making huge profits.

 Higher demand:

As they have a very good reputation and they are the best quality provider in the market their
product has the highest demand. Mainly in the big shopping outlets their product are always in
demand. The general people have trust in this company’s product. So this company’s product is
always in high demand.
WEAKNESS:

 Less Promotion:

Promotion is one of the main problem for ABFL. They do not give much importance in this
section compared to their main competitors. They need to do more promotions for their products.
And as this business is mainly Dhaka based so they can’t use television media as well because in
most of the cities of Bangladesh processed chicken is not in business yet.

 Distribution:

They are really lacking in distribution. Only in the big shopping outlets their products are found.
So their product is not available in small outlets and it might be a big problem. Rather than this
they have only 3 refrigerated four wheeler vehicles to distribute their product in Dhaka city
which is really not enough. And one of them is always engaged for KFC. And they have only 2
three wheeler vehicles. This is not enough for Dhaka city. They need at least 4-5 vehicles to
distribute the products properly.

OPPORTUNITES:

 Governmental support:

The government has declared poultry business as a thrust sector. And the government is giving
30% cash incentive on export sales. So it is a great opportunity for AFBL to expand their
business and start exporting more products.

 Fishing production shortage:

In the recent time there is a great shortage in fishing production. So the price of fishes is always
high in the recent time. So people are buying chicken more as an alternative. So it is a great
opportunity for a farm like AFBL to increase their sale and make huge profit.
  Market Growth:

The processed chicken market is increasing very quickly. But still in most of the cities in
Bangladesh processed chicken is not in business yet. So there is a huge market outside of Dhaka
city. And AFBL has the chance to go to other big cities in Bangladesh and capture the market
there as these areas are not yet covered by the competitors rather than some outlets in Chittagong
and Sylhet.

THREATS:

 Governmental Influence:
The government of Bangladesh is not always stable. Anything can happen anytime. Any
rule can be changed overnight. The government can withdraw the cash incentive program
on export sales any time. It might bring great harm to a big Company like AFBL.

 New Entrance:

There is always a possibility that a new competitor might enter the business. The more new
competitor enters the market, the market gets smaller for AFBL. So a new entrance in the
business is always a big threat.

 Competitor:

One of the biggest threats of a company is its existing competitor. It is a big threat for any
company. And AFBL has the same as well. BRAC, CP, Kazi Farms Chicken, Rich and some
other big competitors are the main competitors of AFBL. These companies will always try their
best to retain their market share. So it’s a great threat for AFBL.
OBJECTIVES

Objectives can be anything, such like any kind of improvement or development which is
expected to reach can be called as objective. The Aftab Bahumukhi Farms Ltd is one of the well-
known firms of Bangladesh. These are the few expectations Aftab Bahumukhi Farms Ltd can set
as their objectives and by 2020 to 2025 they can achieve them with some changes in marketing
strategies and make their position way more strong than past.

 To increase market share from 16% to 25% by 2024

 To start more promotional activities by 2020.
 To raise Poverty alleviation by 2023.
 To set up their own product outlets by 2021.

 To enter into new market by 2022.

Achieving More Market Share:

We’ll increase our market share from 16% to 25% by 2024

Strategy:

Aftab Bahumukhi Farms Ltd produces the highest quality product in the market but lack of
proper marketing strategies and communication as a result they are losing important market
shares. Aftab Bahumukhi Farms Ltd only occupies 16% of the total market share whereas non-
branded farms have 61% market shares. To achieve 25% market share firm needs to focus on
innovation, strengthening, customer relationships, smart hiring practices, and acquiring
competitors. So achieving more market share by 2024 including improved marketing strategies
and communication can be an important objective for Aftab Bahumukhi Farms Ltd.
Promotional Activities:

We’ll start more promotional activities from now by 2020.

Strategy:

The amount of promotional activities are performed by Aftab Bahumukhi Farms Ltd is very poor
compared to its competitors. The other known new entrant industries like The Kazi Farm,
Nourish Agro and Cp are toughest competitors for their marketing efforts. Their marketing
efforts are quite impressive and well planned comparing to Aftab Bahumukhi Farms Ltd.
Promotional activities can be done by giving advertisements on TV, Newspapers, and billboard.
So having a better marketing policy and promotional strategies by 2020 Aftab Bahumukhi Farms
Ltd can achieve the objective. It is very important objective for Aftab Bahumukhi Farms Ltd.

Poverty Alleviation:

We’ll raise our poverty alleviation by 2023.

Strategy:

Aftab Bahumukhi Farm Ltd was entrenched with the dual purpose of providing indefinite
financial backup to the educational institutions for the Jahurul Islam Medical College and
Hospital in particular and help to the poor people of the locality along with creating job
opportunities and self- employment in general, which in turn is also helping in poverty
alleviation. It can be done by creating more jobs, raise the minimum wage and support pay
equity. Setting up an objective like this would help the unemployment problem towards to
society. This is one of the most important duty towards society for these kind big time
companies. At present Aftab Bahumukhi Farm Ltd has a huge number of workers in their
projects, firm, mills, if it goes like this by 2022 there will a change in unemployment rate in
country.

Introducing Own Stores:

We’ll be setting up our own product outlets by 2021.
Strategy:

Aftab Bahumukhi Farms Ltd is mainly depended on distributor, superstores etc. If they start
selling their products by 2021 in their own stores and outlets it will increase their sell by
communicating with consumers directly. They will be able to control the quality of product in
their hands. Decorated stores and outlets will be able attract customers and their quality product
will satisfy the needs of customers. Having stores of their own quality products is a great
objective to achieve.

Entering Into A New Market:

We’ll capture new consumer and enter into new market by 2022.

Strategy:

Existing product pricing of Aftab Bahumukhi Farm Ltd is only suitable for upper class
population. It is out of reach of middle class population due to the firm only produce larger pack
sizes. If they start production of medium pack size with suitable pricing for middle class
population by 2022 then they will get a new market to sell their products including the previous
one.
MANAGEMENT ISSUES

Structure of the Firm

Islam group follows Divisional organizational structure for their companies. Aftab Bahumukhi
Farm Ltd. (AFBL) is one of the most profitable organizations of Islam group and follows
centralized organizational structure.

Centralized organizational structures rely on one individual to make decisions and provide
direction for the company. Small businesses often use this structure since the owner is
responsible for the company’s business operations. (Vitez, 2018)

The divisional structure is a type of organizational structure that groups each organizational
function into a division. These divisions can correspond to either products or geographies. In
case of Aftab Bahumukhi Farm Ltd., their divisions are based of products. As we have already
seen in the organogram of Aftab Bahumukhi Farm Ltd. (AFBL), it’s a part of Islam groups Agro
division.

If we look at the span of control of Aftab Bahumukhi Farm Ltd. (AFBL), we’ll find that they
follow wide span of control which is ideal for the firm. The firm has separate segregation of
departments and controlled by a General Manager (GM) who reports to the department director
and Directors reports to Managing Director of the Firm. There are also a separate distribution
center controlled by a manager.

In terms of communication between managers and Managing directors of the firm,

communication happens the following way.

a. Distribution Manager reports to GM of production.

b. GM of production, Brands & Future process, DGM of Finance and Accounting
communicates directly with Director of Marketing, Bhagolepur, Sales & Marketing,
Finance & Accounting respectively.
c. Finally Directors of each department communicates with Managing Director of the
division and MD then communicates with the chairman of the group.
Departments of the Firm
This concern of Islam group, Aftab Bahumukhi Farm Ltd. (AFBL) has four main departments.
They are:

1. Marketing
2. Bhagolepur plant
3. Sales & Marketing
4. Finance & Accounting.

Marketing department is controlled by the Director of the department under who’s a GM and a
DM works and reports. Bhagolepur plant is handled by a Operation director under who’s a GM
and Asst. Manager works and reports. Operation Director of Sales & Marketing handles Sales &
marketing related operations. A GM of Brands & Further process helps the OD of Sales &
Marketing. And finally Head of Finance & Accounting handles firms business in terms of money
and budgeting. A DGM works and reports to Head of Finance & Accounting.

Other than that an additional distribution center is operated by a manager who handles Feed
mills, seed, G.P & commercial hatcher, processing plant and auditor.

Leadership Style
After interviewing Mr. Anisuzzaman Huda, we’ve learned that Aftab Bahumukhi Farm Ltd.
(AFBL) follows Bureaucratic leadership style as most of the similar types of firms operating
in Bangladesh.

Bureaucratic leadership models are most often implemented in highly regulated or administrative
environments, where adherence to the rules and a defined hierarchy are important.

These leaders ensure people follow the rules and carry out tasks by the book. Naturally, this
works well in certain roles – such as health and safety – but can stifle innovation and creativity in
more agile, fast-paced companies.

Leadership is a process of social influence, which maximizes the efforts of others, towards the
achievement of a goal. (tec.com, 2015)
Theory X and Theory Y are theories of human motivation and management. They were
created and developed by Douglas McGregor at the MIT Sloan School of Management,
initially presented at a management conference in 1957, and developed during the 1960s.
These two theories describe contrasting models of workforce motivation applied by managers
in human resource management, organizational behavior, organizational communication and
organizational development. According to the models, the two opposing sets of general
assumptions of how workers are motivated form the basis for two different managerial styles.
Theory X stresses the importance of strict supervision, external rewards, and penalties: in
contrast, Theory Y highlights the motivating role of job satisfaction and encourages workers to
approach tasks without direct supervision. (Wikipedia, 2018)

After reviewing their leadership style we have found maximum similarities with theory Y.

The trait theory of leadership is an early assumption that leaders are born and due to this belief,
those that possess the correct qualities and traits are better suited to leadership. This theory often
identifies behavioral characteristics that are common in leaders. Trait theory of leadership is one
of the first academic theories of leadership and attempts to answer why some people are good
leaders and others are not. (Educational business article, 2016)

According to this theory we have found integrity, self-confidence, intelligent and knowledge in
Aftab Bahumukhi Firms leadership.
CONCLUSIONS

The rapid growth of global demand for processed foods has opened vast export opportunities for
agricultural sources in rich developing countries. It is rarely seen in few developing countries
who have been successful in exploiting these market opportunities. Thailand is one of such
countries.

Aftab Bahumukhi Farms Limited is the only integrated and the largest poultry industry in
Bangladesh that maintains the whole poultry chain in Bangladesh. And this company has the
latest machineries and expertise to provide quality products to the country as well as can export
in the international market. In Bangladesh processed foods are getting popularity like other
country. And it’s a great opportunity for Aftab farm as its products are processed and further
processed chicken products. There exists a few key players in this industry and the whole
Bangladesh can be a very profitable market for any company.

Aftab Bahumukhi Farms Limited should develop better marketing strategies and polices to
utilize its resources and make important contribution to the economy. As poultry is one of the
most potential sectors of our economy, more contribution of private companies will boost up its
growth as well as the economy.
BIBLIOGRAPHY

1) eNotes.com, 2018. Explain political environment of business?. [Online]

Available at: https://www.enotes.com/homework-help/explain-political-environment-
business-612699
[Accessed 09 04 2018].
2) UKEssays, 2015. External factors of environment affecting organisations. [Online]
Available at: https://www.ukessays.com/essays/business/external-factors-of-
environment-affecting-organisations-business-essay.php
[Accessed 07 04 2018].
3) Aftab Bahumukhi Farms Ltd., 2015. Aftab Bahumukhi Farms Ltd.. [Online]
Available at: https://www.abflbd.com/
[Accessed 08 04 2018].
4) Archer, C., 2018. Technology's Impact on Organizational Changes. [Online]
Available at: http://smallbusiness.chron.com/technologys-impact-organizational-changes-
20377.html
[Accessed 09 04 2018].
5) Bhasin, H., 2017. Situation Analysis. [Online]
Available at: https://www.marketing91.com/situation-analysis/
[Accessed 07 04 2018].
6) BRAC, 2016. BRAC Chicken. [Online]
Available at: http://www.brac.net/brac-enterprises/item/880-brac-chicken
[Accessed 08 04 2018].
7) Business Dictionary, 2018. external factors. [Online]
Available at: http://www.businessdictionary.com/definition/external-factors.html
[Accessed 07 04 2018].
8) C.P.Bangladesh, 2013. C.P.Bangladesh. [Online]
Available at: http://www.cpbangladesh.com/
[Accessed 08 04 2018].
9) Coulter, S. p. &. M., 2014. who are managers and where do they work. twelfth ed.
england: pearson.
10) Gartenstein, D., 2018. Five Components of an Organization's External Environment.
[Online]
Available at: http://smallbusiness.chron.com/five-components-organizations-external-
environment-17634.html
[Accessed 09 04 2018].
11) GREENLIGHT, 2018. The Importance of Supplier Relationship to Your Business.
[Online]
Available at: https://www.greenlight-itc.com/importance-supplier-relationship-business/
[Accessed 08 04 2018].
12) Johnson, S., 2013. Five Components of an Organization's External Environment.
[Online]
Available at: https://yourbusiness.azcentral.com/five-components-organizations-external-
environment-8944.html
[Accessed 08 04 2018].
13) Kazi Farms Group, 2014. Kazi Farms Group. [Online]
Available at: http://www.kazifarms.com/sites/all/themes/kazi_farms/index.html
[Accessed 08 04 2018].
14) Knowthis?com, 2018. The Importance of Good Customers. [Online]
Available at: https://www.knowthis.com/managing-customers/importance-of-good-
customers
[Accessed 08 04 2018].
15) Mageplaza, 2018. A Situational Analysis of a Strategic Marketing Plan. [Online]
Available at: https://www.mageplaza.com/blog/a-situational-analysis-of-a-strategic-
marketing-plan.html
[Accessed 07 04 2018].
16) PESTLE Analysis, 2015. Internal Factors that May Affect the Business Organization.
[Online]
Available at: http://pestleanalysis.com/internal-factors-affect-business-organization/
[Accessed 09 04 2018].
17) R, k., 2017. Main Functions of Middle Management:. [Online]
Available at: http://www.businessmanagementideas.com/management/levels-of-
management-top-middle-and-operational-management/2247
[Accessed 10 04 2018].
18) Wikipedia, 2018. Strategic management. [Online]
Available at: https://en.wikipedia.org/wiki/Strategic_management
[Accessed 10 04 2018].
19) Wikipedia, 2018. SWOT analysis. [Online]
Available at: https://en.wikipedia.org/wiki/SWOT_analysis
[Accessed 13 04 2018].
20) Smallbuiness.chron.com, 2018. Centralized Vs. Decentralized Organizational Structure.
[Online]
Available at: http://smallbusiness.chron.com/centralized-vs-decentralized-organizational-
structure-2785.html [Accessed 05 03 2018].
21) tec.com.au, 2015. 9 common leadership styles. [Online]
Available at: http://tec.com.au/resource/9-common-leadership-styles-which-type-of-
leader-are-you/ [Accessed 05 04 2018].
 APPENDIX

Figure 1: Members of Team Purple Pinwheel

Figure 2: At Aftab Bahumukhi Farm Ltd. with the GM of Sales and Marketing Mr. Anisuzzaman