Final Project Report

Presented to
Prof Umer Niaz
Presented By
Ramzan Idrees
M.Com 4
th

Roll No 007

Name
Shawal Developer Hotel Limited
Industry
Hotel Industry
Supervisor
Prof. Bilal Ahmed
Introduction
The hotel has a grand faade, which leads into an elegantly decorated lobby presenting an eye
catching blend of National and International dcor. The multi lingual staff at the front desk
ensures that all guests' needs are met instantly. The hotel has 500 luxurious and well appointed
guests' rooms, which cater to all the needs of the business and holiday travelers. These rooms
include Presidential Suites, Executive Suites and Business Suites beside Standard Rooms,
Deluxe Rooms, Executive Rooms and Executive Deluxe Rooms.
History
The hotel business has been present in Pakistan since its independence in 1947. In Pakistan this
industry contributes a large proportion to the countrys economy. The hotel industry contributes
to a large percentage of the countrys revenue. At first there were not many hotels to begin with
but as time passes, the country saw the gradual establishment of local and international hotels.
The greatest growth in the hotel industry was seen in the late 80s and then some in early 90s. The
number of hotels in the country increased from 845 in 1991 to 1150 in 1996, showing a growth
of more than 26% with the fastest growth in the number of hotels seen in 1993 which tapered off
to 2.4% in 1995 before picking up again in 1996.
However, the industry began to experience a downfall with time, mostly due to government
instability and terrorism. In August 2008, hotel occupancy rates fell, an alarming sign given to
Pakistani Hotels. By the beginning of fourth quarter 2008, the Pakistan THL sector (Tourism,
Hospitality and leisure) was starting to see major consequences of the economic crisis in the
form of negative indicators in the hotel industry, a slowdown in the gaming sector and increased
preference to quick service restaurants as opposed to dining ones.



Goal
it is our cherished goal to be the industry leader in hotel business by establishing a complete,
unique, distinctive and truly a five star deluxe hotel complex.


Development Constraints and Competition
The four major hotels have not changed much in terms of new ventures since their establishment.
The only major highlight in this regard was the takeover of Holiday Inn by Marriott. Another
constraint with regards to hotel development are the terrorist attacks that have plagues the
country for some time now. This has led to a huge drop in foreign visitors to the country.
Changes in government have also created problems as each has its own rules and priorities.
Economic downfall also means that citizens are in not a position to use these hotels.
Fast food chains like Mc Donalds, KFC and Hardees are providing significant competition to
these hotels, which have comparatively higher prices than the fast food chains. The restrictions
on dinner menus of weddings are also an important problem. Visitors to Pakistan prefer staying
with family and friends due to the constant threat by suicide bombers.
Factors Affecting the Tourism and Hotel industry in Pakistan:
As the hotel and Tourism industry are very much inter related as the factors that influence the
one industry also effects the other industry regarding the hotel and tourism industry. As Pakistan
is the country with the rich variety of tourism destinations like high mountains, rivers, oceans,
forest, lakes, ancient monuments fertile plains and valleys but its tourism industry is not growing
as it should be, since the year 2006 which had the record revenue generation from the industry no
such revenue is generated till now. The factors that cause this decline in the industry and which
pretend the industry from growing are discussed below.
Unfavorable and unstable Political Conditions:
Pakistan political condition are unstable since the establishment of the country, till now no
political party has completed its five years tenure in the government, political condition remains
unstable as each political party keeps on generating blames and civil out bust moments against
the ruling government, due to the instability the country situation are always in the instability,
strikes, march and other political tools are used on the daily basis which affects the economy and
the industry. Due to this political condition no such action have yet been taken for the
development of the tourism industry since the year 2006 when the year was acclaimed as the
year of tourism industry of Pakistan.


Lack of Proper Infrastructure:
Pakistan lacks in the industry due the improper infrastructure, roads are inadequate while the
railway is near to destruction while the air ports are only located in the three major cities. Many
tourists find it difficult to travel in the northern and eastern side of the country due to in
appropriate infrastructure.
Inability to reinstate the Natural Disasters:
Since the earthquake and floods in the area of tourism like Bala kot and other northern areas still
the government havent reinstate the condition of those infected area from the past 7 years. This
is the inability of the government that could not cope with the natural disasters and cannot
reinstate the tourist destination to be available for the tourism.
Terrorism
One of the major factors that affect the tourism industry is the terrorism in the country, Since
Pakistan have taken part in the war against terrorism since 9/11, many terrorism activities and
incidents have been faced by the country which repels the tourist to visit these destination. Swat
valley which was considered as the jewel for tourism was destroyed during the operations against
the terrorist who were operating through that area. Many other areas such as Gilgit, Abbotabad
and other valleys are infected through terrorism.
Rising Inflation
The rising prices and inflation in the country due to the economy of Pakistan had also created an
impact in the tourism industry. As the prices of transportation, food , hotels stay and
accommodation have been increased many national tourist now lost the charm in travelling to the
northern and other tourist destinations.
Swot Analysis of Hotel Industry
The strengths of the industry include having several quality hotels in the country that are able to
meet the demands of tourists.
1. You can also find international players in the industry and heres good news for you
2. The manpower costs are the lowest.
3. The country has many tourist destinations that offer potential growth for hotel owners.
Weakness
The industry also has weaknesses and this includes the following
1. land is expensive in Pakistan
2. Most hotels are staffed heavily! The tax structure in the country is also higher as
compared to other countries
3. The hotel rooms in the country are far lesser as well.
4. The services offered by hotels are limited and will not meet with the world standards.
Opportunities
The opportunities are also promising in this country.
1. You see, the demand for tourists is also easily managed. The peak season in the
country is from September to March. Over the long term, the hotel industry has
growth potential. When it comes to diverse topography,. The heritage hotels are great
and can provide tourists with a unique experience. Having an online presence like a
website or the option of online hotel booking can be beneficial.

Threats
1. The manpower is not trained well and so the industry is easily affected by the countrys
economic conditions.
STRATEGIC PLANNING:
The process of developing and maintaining a strategic fit between the organization's goals and
capabilities and its changing marketing opportunities. It relies on developing a clear mission
supporting objectives, a sound business portfolio, and coordinated functional strategies. As we
know that Pearl Continental has a strong image among five star hotels and has an established
name in the hotel industry. Shawal developer Hotel limited has an effective strategic planning
at its centralized and decentralized levels. It has defined its goals and objectives at every level
and tries to compete with the changing marketing opportunities The strategic planning of the
hotel is turned into detailed supporting objectives that guide the whole hotel. Each separate
division of the hotel decides what portfolio of businesses and services is best for the hotel and
how much support to give each separate division. Each separate division and service rate must
develop detailed marketing and other departmental plans that support the wide plan of
the hotel.
The effective strategic planning originates:
Customer Satisfaction
Innovation,
Variation of Services
Provision of Peaceful & Attractive Environment
Due to this strong strategic planning Shawal developer Hotel has achieved a great name &
image in the hotel industry. The planning and control officer of the hotel involves in all type of
strategic planning and looking at what has happened in the past and forecasting what is likely to
happen in the future:
To the Hotel
To its Competitors
To the Market
The hotel has best strategic planning which involves the
Hotels performance and of conditions in the market place. Among all these conditions involves
the needs and wants of consumers and the activities of competitors to satisfy them. Forecasting
phase is the important aspect of the strategic planning process in this hotel. Forecasting of the
hotel depends on all the future conditions provided by the hotel. Goals are very important for
every organization. The next step of strategic planning process is the goal setting. This is no
easy task. The manager of the hotel must select from a large number of alternatives and
conflicting goals those will most effectively guide the hotel's effort. The marketing concept
suggests that the overall goal of a hotel should be to satisfy consumer needs at a profit. The hotel
involves issues of organization and scheduling for the implementation of the strategic planning.
All the managers in the hotel are decision makers. They must implemental all the steps of
planning.
FUNCTIONAL DEPARTMENTS
Shawal Developer Hotel limited is one of the best hotel of Pakistan.
All credit goes to the functional dept. of hotel, whose dedication and dexterity has been the one
vital source of success of this venture. Some major departments and their function are
discussed, namely
Personnel department
Front office department
Public relations department
Marketing department
Purchasing department
Cost / Inventory controller department
Account department
House keeping department
Security department
Engineering department



PEST Analysis
Political
Political instability in Pakistan can lead to changes in laws and policies which can be in favor or
against the hotel industry sector.
Economic
Economy of Pakistan is facing issues about employment, inflation, illiteracy, which hinders
business growth.
Social
Cultural issues can be there but still as there are a number of multinational companies there,
therefore, cultural issues are not prominent.
Technology
People are highly skilled and Shawal Delve per Hotel Limited can introduce new technology to
increase competencies.
SWOT ANALYSIS
STRENGTHS
Internal pros or plus points of an organization.
Quality Product
Shawal Delve per Hotel Limited is the symbol of quality with respect to its offering i.e.;
restaurants
Excellent Services
Shawal Delve per Hotel Limited aims at providing excellent services to all type of customers .
Competitive Advantage
Shawal Delve per Hotel Limited has an edge over its competitors i.e.; it provides executive club
services.
Financial Strength
Shawal Delve per Hotel Limited is financially strong hotel because in the current economic
conditions it is maintaining its position because of financial strength.
Favorable Reputation/Image
Shawal Delve per Hotel Limited has captured the favorable image in the mind of the Customers

Organized Management
Shawal Delve per Hotel Limiteds management is highly qualified, competent and organized.
Market Research
Shawal Delve per Hotel Limited has its own research department, which scans the customers
need and their responses to the different
products/services
Services with Latest Technology
Shawal Delve per Hotel Limited has its control room in which the rooms and halls temperature
is controlled and maintained according to the environment and customers requirement.
WEAKNESSES
Internal cons or negative points of an organization.
High Prices
Shawal Delve per Hotel Limited charges very high prices for all of its services especially room
facility and most of the people in Pakistan cant afford it.
Lack of co-ordination
There is much lack of co-ordination among its workers
OPPORTUNITIES
External pros or plus points of an organization.
Expand Product Line
Shawal Delve per Hotel Limited can expand their product line by offering other facilities like
home delivery of food etc;
Enter the New Market
Shawal Delve per Hotel Limited can enter the new market by opening its branches in cities like
Multan, Faisalabad etc;
Attract the Tourists
Shawal Delve per Hotel Limited can attract a large number of tourists by advertising in
international magazines and journals.
Diversify to Broad Risk
Shawal Delve per Hotel Limited should diversify their product, production and services as were
because you must not rely heavily and put your resources on one product.

Improve Customer Relationship
Shawal Delve per Hotel Limited can improve its relationship with its customers by providing
different incentive plans.
THREATS
External cons or negative points of an organization.
Worst Economic Conditions
Present economic conditions are not favorable for the growth and flourishment of hotel industry.
Increased Sales Tax
Sales tax has increased which results in the increased customer prices and reduced sales level.
Restrict Government Policy
Restriction imposed by the government regarding tax
Decrease in Customers Purchasing Power
Increase in overall prices has decreased the customers purchasing power for all the products.
Reasons Why You Must Conduct Feasibility Study Before Starting a business
1. A feasibility study will help you to determine the profitability of the business
2. A feasibility study will help prove to the entrepreneur, venture capitalists, lenders and
investors the existence of the market, the liquidity of the business venture and the expected
return on investment.
3. A feasibility study will help you identify the flaws, business challenges, strengths,
weaknesses, opportunities, threats and unforeseen circumstances that might affect the
success and sustainability of the business venture
4. Before starting a business, a feasibility study will enable you estimate the financial, human
and technological resources that will be needed to ensure the successful launching of the
business.
5. Feasibility study will help you to determine the amount of capital required to start the
business. It will also help you in establishing the budget plan, working capital and cash flow
projections of the business.
Scope of the Feasibility report:
Develop consistently, alternative scopes and options for the project before determining the
Best Value solution to proceed with.

Have only committed a relatively small amount of money to understand the project and its
chances of success, before committing larger sums of money associated with project
implementation.
Identify the most significant risks facing the project, should it proceed to implementation.
Test the identified project scope and definition against the reasons for undertaking the project.
Be the time of the project where most value can be added, through the creativity and
experience of those involved, where ideas can be considered and tested in a safe environment.
Test the sponsor's level of commitment and enthusiasm to see the project through, when the
resulting conclusions and recommendations are presented.
Memorandum of association
1. The name of the Association shall be Shawal Hotel Developer Limited.
2. The Head Office of the Association will be situated in Islambad.
3. The objects for which the Association is established, are as follows:
(a) To establish Zonal and/or Regional Office at such place of places as may be considered
expedient by the Association or as may be required by Government from time to time and
to manage and control such office and to delegate such powers to them as may seem
conductive for attaining all or any of the objects of the Association.
(b)
To Advance, Protect, Safeguard and Promote the rights, interests, and privileges of person,
Firms, Companies or Corporations Owning or Managing Hotels, Restaurants or Clubs in
Pakistan (hereinafter referred to as Hotels) and to represent to Government and other
Authorities concerned their grievances and seek redress thereof.
(c)
To diffuse among its members information on all matters affecting hotels and to collect,
print, publish, issue and circulate such papers, periodicals, books, circulars, statistics and
other literary undertakings as may seen conductive to any of these objects.
(d)
To create unity and sympathy among the members of the Association and to encourage
them to work on co-operative lines in order to safeguard their own interests and to convene,
held conferences and conventions for the deliberations and study of subjects connected with
the development of hotels in Pakistan.
(e)
To file, prosecute or defend or concur join or aid in filing prosecuting or defending any
such actions, suits, applications, appeals or proceedings as the Association may think
proper or conductive to the objects of the Association.
(f)
To enter into any arrangements with the Central, Provincial or Local Government or
Authorities (Municipal, Port Trust, Railway, Local or otherwise ) that may seem conductive
to the objects of the Association or any of them, and to obtain from any such Government
or authorities any rights, privileges and concessions which the Association may think
desirable to obtain and to carry out, exercise and to comply with such arrangements, rights,
privileges and concessions and to ensure equality of treatment by Government and other
public authorities and to nominate delegates and advisers, etc., to represent the Association
on such government and Public Bodies.
(g)
To take all necessary steps for promoting, supporting or opposing legislation or other
actions either by Government or and department thereof or by any local body or bodies or
by any individuals affecting the interests of the members of the Association and in general
to take initiative to secure and promote development of hotels on modern lines.
(h)
To make representations to the local, central or other authorities concerned on any matter
affecting the commercial, economic and other interests of the members of the Association.
(i)
To ensure that the demands of the customers are attended to within reasonable limits set
down by the Association.
(j)
To adjudicate as a body any dispute in which one or more members of the Association may
become in the ordinary course of business.
(k)
To take measures for the eradication of unethical business practices from the field of trade,
commerce and industry.
(l)
To subscribe to, and become a member of, the Federation of Pakistan Chamber of
Commerce & Industry and co-operate with any other international organization whether
incorporated or not, whose objects are altogether or in part, similar to those of this
Association and to procure from and communicate to any such organization such
information as may be or likely to forward the objects of this Association. Provided that the
Association shall not be affiliated with any foreign or international organization without the
prior permission of Government.
(m)
To purchase, take on lease, hire or otherwise acquire land, building and any other movable
or immovable properties or any rights or privileges necessary or convenient and to
constructs, alter and maintain the building required for the use and purposes of the
Association.
(n)
To issue appeals and collect funds for the national, educational, social and humanitarian
purposes and to subscribe to any local and other charities and to grant donations for any
public purposes and to provide Provident Fund or Superannuation Fund or Funds for the
employees, their widows or dependents and grant scholarships to deserving students for
foreign studies in the field of management and administration of hotels.
(o)
To sign, seal, execute and deliver all instruments, deeds, documents and writing whatsoever
that may be found to be necessary or expedient in relation to the aforesaid objects or the
affairs or the interests of the Association.
(p)
To admit new members to the Association upon such terms and conditions as may from
time to time be determined.
(q)
To borrow money or raise or secure the payment of money in such a manner as the
Association may think fit, and in particular by the issue of debentures, charged upon all or
any property (present and future) of the Association and to purchase, redeem or pay off any
such securities.
(r)
To appoint Arbitrators for settling disputes and differences between members.
(s)
To promote harmonious relations between the members of Association and their employees
and to concede such benefits and concessions to the latter as are found to be reasonable and
legitimate.
(t)
To organize, establish technical schools, colleges and institutions to impart practical
knowledge for the efficient control and management of hotels.
(u)
To do all such other things as are incidental or conductive to the above objects or any of
them.
4. The Association shall not be an association for profit and the income and property
of the Association shall be applied solely towards the promotion of the objects of
the Association as set forth in the Memorandum of Association; and no portion
thereof shall be paid by way of profit to the members of the Association. Provided
that to thing herein shall prevent the payment, in good faith, of remuneration to any
officer or servant of the Association or to any members thereof or other persons in
lieu of any services actually rendered to the Association.
5. The liability of the member shall be limited, but if any member pays or receives
any dividend, bonus or other profit in contravention of paragraph-4 hereinbefore,
his liability shall become unlimited.
6. Every member of the Association undertakes to contribute to the assets of the
Association in the event of the same being wound up during the time that he is a
member or within one year afterwards for payment of the debts and liabilities of the
Association contracted before the time at which he ceases to be member and of
costs, charges and expenses of winding up the same and for adjustments of the
rights of the contributories amongst themselves such amount as may be required
not exceeding Rs. 100.00.
7. If upon the winding up or dissolution of the Association there remains after
satisfaction of all its debts and liabilities any property whatsoever, the same shall
not be paid to or distributed among the members of the Association but shall be
given or transferred to any other institution or institutions having objects similar to
the objects of the Association as may be determined by the members of the
Association, at or before the time of dissolution, and in default thereof, by such
courts as may have jurisdiction in the matter.
8. For the purposes or registration the number of members of the Association shall be
unlimited.
9. True accounts shall be kept of the sums of money received and expended by the
Association and the matter in respect of which such receipts and expenditure takes
place, and of the property, assets and liabilities of the Association, and subject to
any reasonable restrictions as to the time and manner of inspecting the same that
may be imposed in accordance with the regulations for the time being of the
Association shall be open to the inspection of the members. Once at least in every
year, the accounts of the Association shall be examined and the correctness of the
Income and Expenditure and of the Balance Sheet ascertained by a qualified
auditor or auditors.
10. Amendments to this Memorandum of Association shall be subject to the approval
of the government and shall also be made when required by the Government in
public interest.

We, the several persons whose names and addresses are subscribed hereunder are
desirous of being formed into an Association in pursuance of this Memorandum of
Association:


1. n these Articles unless there is anything repugnant or inconsistent in the context:-

ACT means the Companies Act, 1913, as amended and now in force in Pakistan
and any reference to any provision thereof shall be read as a reference to such
provision as amended or re-enacted by any statute for the time being in force.
Association means the PAKISTAN HOTELS ASSOCIATION.
HOTELS means and includes Hotels, Restaurants and/or Clubs.
Articles means these Articles of Association as originally framed or as altered
from time to time by Special Resolution.
Extraordinary Resolution and Special Resolution have the meanings assigned
to them respectively by the Act.
Committee means the Executive Committee which shall be responsible for the
Management and Administration of the Association.
Office Bearers means and includes the Chairman, the Vice Chairman and
Members of the Executive Committee of the Association.
Seal means the Common Seal for the time being of the Association.
Month means a calendar month.
Year means the year beginning from 1st January and ending on 31st December.
In Writing and Written include printing, lithography and other modes
representing or reproducing words in a visible form.
Words importing the singular number include the plural number and vice-versa.
Words important the masculine gender only include the feminine gender.
Words importing person include bodies corporate or not incorporated.

2. The subscribers to the Memorandum of Association and such other persons as may
be admitted to membership hereafter in accordance with these Articles shall be
members of the Association and their names shall be entered in the Register of
Members.
3. Any person, firm, company or corporation owning or managing a hotel in Pakistan
shall be eligible for membership of the Association.
4. Any person, firm, company or corporation desirous of becoming a member, shall
sign and deliver an application in the prescribed form of the Association which shall
be:
Rates of Subscription as revised w.e.f._____________________________
4 & 5 Star Hotels: Subscription: Rs.
Admission Fee: Rs.

1, 2 & 3 Star Hotels: Subscription: Rs.
Admission Fee: Rs.
5. The Executive Committee of the Association shall have full right to accept or reject
any application of membership without assigning any reason. In case of rejection,
the admission fee and annual subscription paid by the applicant shall be refunded to
him and no further application shall be entertained from him for a period of one year
from the date of rejection of his last application.
6. The annual membership subscription shall become due to payment on the 1st January
each year and shall be for the period ending 31st December of that year. A notice
for payment shall be sent to all members at least 30 days in advance of the due date.
If any member fails to pay the subscription, another notice shall be served on him
not later than the 10th January with a clear warning that if he still failed o pay the
subscription at the latest by the 31st January, he shall cease to be a member of the
Association and his name shall be removed from the Register of Member with effect
from 1st February of that year. The member shall nevertheless remain liable for
payment of all the dues to the Association. He shall not be readmitted as a member,
unless he has paid the admission fee afresh and cleared all the dues outstanding
against him.

7. (a) Any member may resign from the Association by giving thirty days notice in
writing to the Committee and upon the expiration of the notice, he shall cease to be
member. The member who has resigned or whose name has been removed from the
Register for non-payment of subscription or expelled from the Association, shall
remain liable to pay all dues to the Association up to the date of resignation,
removal or expulsion from the Association.

(b) Any member, who has resigned or whose name has been removed from the
Register or has been expelled from the Association, shall not be entitled to refund
of any money paid to the Association
8. (a) A member shall be liable to be fined or expelled or his rights and privileges being
withdrawn for any of the following reasons by a resolution of the committee passed
in a meeting specially convened for the purposes by two third majority of the
members present:

(i) Neglecting or refusing to submit to, abide by, or carry out any decision of the
Committee.

(ii) Indulging in any unethical business practices in the field or trade, commerce or
industry.

(iii) International violation of the rules and regulations and bye-laws of the Association.
Failure to pay arbitration fee or find or any other due demand of the Association.

Provided that a member shall not expelled by the Committee unless he has been given an
opportunity of explaining his position in writing and/or in person. Provided further that the
member so expelled shall have the right to appeal within 30 days from the date of expulsion
of the General Body of the Association. Provided further that when such an appeal is made
by the member, the Committee shall arrange to convene a meeting of the General Body
within 30 days from the date of receipt of that appeal and the decision of the General Body
in the matter shall be final.

(b) A member shall cease to be a member of the Associations:-

(i) if he is found to be a unsound mind by a court of competent jurisdiction; or

(ii) if he is adjudged insolvent; or

(iii) if he is punished with imprisonment for any offence involving moral turpitude;

(iv) if he changes the name and style of the firm, company or corporation without
the consent of the Committee.

(v) if he is found to be a unsound mind by a court of competent jurisdiction; or

9. The member whose name has been removed from the register due to expulsion,
resignation or non-payment of subscription shall be eligible for re-enrolment on
payment of admission fee afresh and all arrears outstanding against him. Provided
that a member who is expelled from the Association, shall not be re-admitted before
the expiry of one year from the date of expulsion.

10. Subject to the provision of these Articles or any bye-laws and/or rules of the
Association for the time being in force, a member shall, among other, have the
following rights and privileges:

(a) To take part in the management of the affairs of the Association.

(b) To take advantage of all funds and property in the possession of the Association for
the attainment of aims and objects of the Association.

(c) To take advantage of all the information and records available with the Association.

(d) To obtain a copy of the Annual Report and audited Statement of Accounts of the
Association.

(e) To obtain a copy each of all the publications of the Association either free of cost or
at such price, as the Committee may decide from time to time.

(f) To convene ordinary or extra-ordinary General Meetings in conjunction with other
members of the Association in accordance with the provision made in this Articles.

(g) To stand for election as representative of the Association on any non-political public
or private body.

(h) To seek assistance of the Association for securing all reasonable facilities for the
development of his business.

(i) To inspect books of accounts and other documents of the Association.

11. Every member shall have the following responsibilities and obligations:

(a) To make every effort to carry out the aims and objects of the Association as set forth
in the Memorandum of Association.

(b) To carry out and abide by the rules and regulations of the Association as laid down in
these Articles or in the bye-laws that may from time to time, be framed.

(c) To submit as far as possible all complaints, appeals, etc., in writing to the
Association.

(d) To pay the annual subscription of the Association regularly.

(e) To bring to the notice of the Committee any matter likely to cause any loss or harm
to the interests of the Association in whatsoever manner.

(f) To accept and abide by all the decisions of the Committee in all matters. Provided
that an appeal against the decision of the Committee can be made to the General
Body of the Association and that the decision of the General Body shall be final.

(g) To report to the Committee all the information considered necessary for promoting
the aims and objects of the Association.

(h) To take part in the deliberations at the meetings of the Association which a member
is entitled to attend and to abide by the rules framed for the conduct of business of
the meetings from time to time.

(i) (i) To assist and cooperate with the Committee n eradicating unethical business
practices from the field of trade, commerce and industry.

12. (a) A register of Members shall be maintained at the registered office by the Association in
which, shall be set forth the names, addresses and other particulars of all members
together with those of their representatives for the time being and in which, all changes
taking place from time to time shall be recorded. There shall also be an entry in the
Register indicating the nature of business carried on by each member.

(b) Every member shall have the right of inspection of the Register and, if he is not
satisfied with the entry or entries made therein, he may request for necessary
corrections to be made in them.

13. The member whose name has been removed from the register due to expulsion,
resignation or non-payment of subscription shall be eligible for re-enrolment on
payment of admission fee afresh and all arrears outstanding against him. Provided
that a member who is expelled from the Association, shall not be re-admitted
before the expiry of one year from the date of expulsion.
Chairman: 1
Vice Chairman: 2
Members: 9
Total: 12
14. Besides the Central Office, the Association shall have two Zonal Offices one each
in East Pakistan and West Pakistan at such places as may be determined by the
Committee. Provided that if the total number of members enrolled in any zone of
Pakistan is less than six, no Zonal Office shall be set up in the Zone.
15. The affairs of the Zonal Office shall be vested in a body called the Zonal
Committee, which shall consist of:-
Vice Chairman: 2
Members: 9
Total: 12
16. The Zonal Committee will correspond with the provincial or local Governments or
Administration and various authorities or the Central Government in the provinces
on matters which concern the provinces, provided that:-
(i) On any matter having an all Pakistan bearing if the Executive Committee of the
Association differs with the Zonal Committee, the opinion expressed or
recommendations or nominations made by the latter shall also be forwarded to the
government along with the views of the Zonal Committee.
(ii) They shall not directly correspond with the Ministries of the Central Government and
that where a matter concerns the Central Government, it shall be progressed by or
through the Executive Committee.
17. The Zonal Committee will correspond with the provincial or local Governments or
Administration and various authorities or the Central Government in the provinces
on matters which concern the provinces, provided that:-
(i) Zonal Committee shall function under the over-all authority of the Executive
Committee and shall carry out pertains functions given to them by the latter from
time to time.
(ii) The Zonal Office may set up Regional Office, with the permission of the Executive
Committee of the Association, at such place or places within their jurisdiction as
may be considered necessary from time to time. If and when such offices are set up,
their powers and scope of functions, composition of Branch Committees, etc., shall
be laid down by the Zonal Office concerned in consultation with the Executive
Committee.
18. The Zonal Committee will correspond with the provincial or local Governments or
Administration and various authorities or the Central Government in the provinces
on matters which concern the provinces, provided that:-

19. (i) Out of the 12 office bearers of the Executive Committee as provided in Article 13, 6
each shall be elected from among the members of the Association belonging to East
and West Pakistan. Provided that if sufficient number of members has not been
enrolled in any Zone, the number of seats reserved for the Zone on the Committee,
shall stand reduced accordingly

(ii) The election shall be held by secret ballot including postal ballot. The election of
office-bearers shall be completed before, and announced at, the Annual General
Meeting of the Association.

(iii) The top office-bearers shall be deemed to have been automatically retired from their
respective offices on completion of their annual terms of office, but for the purposes of
continued representation of the Committee, they shall be treated at par with the other
Members of the Committee.

(iv) One-third of the representative of members from each Zone shall retire every year and
shall be those, who have completed three consecutive terms of office on the committee.
Provided that those to retire on the completion of the first and second yearly terms
immediately after coming into force of these Articles, shall be determined as follows:-

(a) On completion of the
first term
The name of one-third representative to retire shall be
drawn by ballot by the Committee.

(b) On completion of the
second term
The names of one-third representative to retire shall be
drawn by ballot by from out of the two-third
representative who continued in office on completion of
the first term.

(v) The members shall elect the number of representatives required to fill the vacancies
caused by retirement of their representatives except that at the time of the first election
to be held under these Articles they shall elect the total number of representatives as
laid down in Articles 13 read with Clause ( i ) above.

(vi) The representative so elected under Clause ( v ) above, together with those already
continuing on the committee shall then elect from among their own number the top
office-bearers, the remaining representatives being called Members of the Committee,
the top office-bearers shall be elected by and from amongst the total strength of the
representative elected on the Committee under these Articles. Provided further that out
of the two Vice-Chairman of the Committee one each shall belong to East and West
Zone.

(vii) Casual vacancies of Members shall be filled by the Committee from Amongst the
members of the Zone to which to outgoing Member belonged. Those of the top office-
bearers shall be filled by the Committee from amongst its existing Members and the
resultant vacancy of the Members shall be filled by co-option. Provided that no such
vacancy shall be filled under this clause during the first 90 days as well as 270 days
after the holding of the annual election.


The term Casual Vacancy shall include all vacancies occurring, for any reason,
after announcement of the result of the annual election.

(viii) The top office-bearers shall be eligible to be re-elected for three consecutive terms
subject to the restriction laid down in Clause (vi).

(ix) On retirement from the Committee, the retiring representative or his firm acting
through any other representative shall not be eligible to stand for election to the
Committee for the next two annual terms. Provided that:-

(a) If the number of members eligible to stand for election is less than the number
of representative to be elected, the retired Member shall be entitled to put up
candidate (s) other than his/their retiring representative (s) to stand for re-
election before the expiry of two terms specified in this clause.

(b) If a retiring representative has interest in more than one firm or concern, his
firm other than the one as whose representative he held office on the
Committee, shall be eligible to contest the election through a candidate other
than the retiring representative.

(c) No firm of concern shall be entitled to be represented at the time of elections
through a person other than the one, who is a Proprietor, Partner, Director,
Managing Agent, an elected office-bearer, Secretary or a responsible officer of
such firm or concern

(x) A candidate who desires to stand for election must be proposed by one member and
seconded by another.

(xi) No member shall vote for more than the number of vacancies available on the
Committee, provided that on the occasion of the first election, votes shall be given in
favor of as many candidates as there are seats on the Committee. Provided further
that, if the required number of members from any Zone has not been enrolled, the
seats reserved for them shall remain unfilled for the whole term

(xii) The names of the office-bearers of the Committee shall be announced at the Annual
General Meeting of the Association. The office-bearers for the preceding year shall
retire, and the newly elected ones shall take over their respective offices, at the
Annual General Meeting.
(xiii) (xiii) Accidental error or omission to send any notice, nomination papers, etc., to any
member shall not invalidate the ballot or election.

(ix) On retirement from the Committee, the retiring representative or his firm acting
through any other representative shall not be eligible to stand for election to the
Committee for the next two annual terms. Provided that:-

(xiv) The candidates, who receive the largest number of votes, shall be deemed to have
been elected.

(xv) In the event of equality of votes between two or more members, the case shall be
decided by drawing a lot. The member in whose favor the lot is drawn shall be
declared to have been elected.

(xvi) Two representative of any one member shall not be eligible to stand for election.

(xvii) No Member, who has not paid his subscription before the election takes place, shall
be eligible to stand for election or to exercise his right of vote.

(xviii) No Member, who has not been enrolled three months before the date of election, shall
be entitled to vote or stand for election or nominate a candidate for election. Provided
that this clause shall not apply to the preliminary meetings and the first election of the
Association to be held immediately after its incorporation.

(xix) Every Member of the Association shall be entitled to one vote only. Provided that at
the time of election, he shall be entitled to sue his vote in favor of as many candidates
as there may be vacancies for his favor of as many candidates as there may be
vacancies for his favor of as many candidates as there may be vacancies for his class
of members.

(xx) The Committee for the time being in office shall prepare program for the annual
election of the required number of Members to the new Committee and shall cause
notice about the election to be issued to all the members of the Association.

20. (a) The first General Meeting of the Association shall be held within 90 days from the date
of incorporation of the Association and thereafter once at least in every calendar year at
such time, date and place as may be determined by the Committee, but in any case not
more than 15 months shall elapse between any two General Meetings, such meetings
shall be called Annual General Meeting.

(b) The following business shall be transacted at the Annual General Meeting:

(i) Confirmation of the Minutes of the last General Meeting.

(ii) Consideration of the Annual Report of the retiring Committee.

(iii) Adoption of the audited statements of the Accounts of the Association.

(iv) Appointment of Auditors.

(v) Announcement of the names of the office-bearers of the new Committee.

(vi) Transaction of any business as may be on the Agenda, or any other business with
the permission of the Chair

(c) The meeting of the Association, other than the Annual General Meeting, shall be called
Extra-Ordinary or Special General Meetings and shall be held at any time and at such
places as the Committee may deem convenient for the disposal of the business of the
Association.

(d) An Extra-ordinary or Special General Meeting may be held on a requisition signed by
at least 5 Members of the Association specifying clearly the business desired to be
transacted.

(e) The Secretary upon requisition made in writing by at least 5 members of the
Association shall convene an Extra-ordinary General Meeting and such meeting shall
be called within 21 days from the date of receipt of such requisition, and a notice of
such meeting under the signature of the Secretary shall be circulated among all the
members of the Association for their information at least 14 days before the time
appointed.

(f) If the Secretary does not proceed within 21 days from the date of the requisition so
made to cause a meeting to be called, the requisitionists or a majority of them may
themselves call the meeting, but in either case any meeting so called shall be held
within 3 months from the date of requisition. Every meeting so called by the
requisitionists shall be called in the same manner or as nearly as possible in which
meetings are to be called by the Secretary.

(g) Any requisition for an Extra-ordinary or Special General Meeting shall express the
object of the meeting and must be signed by the requisitionists and should be sent to the
Secretary at the Head Office by registered post acknowledgement due.

(h) At least 6 members of the Association present in person or by proxy, qualified for the
time being, will form a quorum for the Annual General or Extra-ordinary or Special
General Meeting and no business shall be transacted at such meetings unless there is a
quorum. No quorum shall, however, be required for any adjourned meeting.
(i) If within half-an-hour from the time appointed for the Extra-ordinary or Special
General Meeting, the quorum is not formed, the meeting, if convened upon requisition
shall be dissolved, but in any case it shall stand adjourned to the next day at the same
time and place.

(j) At least 14 days notice for Annual General Meetings intended to pass an ordinary
resolution and at least 21 days notice for an Extra-ordinary or Special Meeting
intended to pass special resolution specifying the place, date and hour of the meeting,
shall be circulated to all the members of the Association along with the notice of
meeting. Non receipt of such notice by any member shall not invalidate the proceedings
at such meetings.

(k) The Chairman may, upon the consent of members, adjourn any meeting from time to
time and place to place, but no business shall be transacted at any adjourned meeting
other than the business left unfinished at the meeting from which adjournment took
place.

(l) Every resolution submitted to a General Meeting, whether Ordinary or Special shall be
decided by ballot or by show of hands as the member present may decided. Unless
there by anything contrary to these Articles such resolution shall be passed by a simple
majority vote. In the case of equality of votes, the Chairman or whosoever presiding
shall have a casting someone from among themselves to preside over the meeting.

(m) The Chairman or in his absence any of the two Vice Chairman or in the absence of all
of them, the members present may choose someone from among themselves to preside
over the meeting.

(n) At any General Meeting unless a poll is demanded by at least one third of members
present at the meeting, a declaration by the Chairman or whosoever by presiding that a
resolution has been carried or lost an entry to that effect in the Minutes Book shall be
conclusive evidence of the fact without proof of the number or proportion of the votes
recorded in favor of or against the resolution.

(o) Minutes of the proceedings of all meetings of the Association shall be recorded by the
Secretary in a Minute Book to be kept by him for this purpose and shall be
countersigned by the person, who presided over the meeting. The Book shall be open to
inspection by Members of the Association at any reasonable time..

(p) (p) Every resolution duly passed at any General Meeting shall be binding upon all
members.

21. Every Member shall have one vote and no more, subject to the provision made in
Clause ( xix ) of Article 19.
22. No Member shall be entitled to vote at any meeting unless all moneys due from
him to the Association have been paid or if he has resigned or ceased to be a
member or has been expelled from the Association
23. On a poll votes may be given either personally or by proxy. Provided that no
Member shall vote by proxy so long as a resolution of its Directors in accordance
with the provisions of Section 80 of the Companies Act, 1913 is in force, A proxy
shall be appointed in writing under the hand of the appointer or of such an
appointer is a Corporation, under its Common Seal.
24. No person shall act as a proxy unless he is a member of unless be is appointed to
act at the meeting as proxy of representative for a Corporation. The instrument
appointing a proxy shall be deposited at the Registered Office of the Association
not less than forty eight hours before the time of holding of the meeting at which he
proposes to vote.
25. A proxy shall exercise the right to cast only one vote for any one member in
addition to his own.
26. Any instrument appointing a proxy shall be in the following forms:-

I ______________________________ of ________________________________ being a
member of the Shawal HOTELS ASSOCIATION hereby appoint ____________________
of ______________________ as my proxy to vote for me at the ( Annual or Extra-ordinary
as the case may be ) / General Meeting of the Association to be held on the ___________
day of _____________, 201 and at any adjournment thereof.


Signed this __________ day of _____________ 200 .

27. (a) The Committee shall meet at least once every three months at such Places as may be
considered necessary.

(b) Emergent meetings of the Committee may be convened by the Chairman or the
Secretary in consultation with the Chairman. Notice of six days for the emergent
meeting and 14 days for ordinary meeting of the Committee shall be necessary. Notice
of emergent meetings so outside members shall be served by telegram.

(c) On the signed requisition by at least 4 members of the Committee, specifying the
purposes a special meeting of the Committee shall be convened by the Secretary within
fifteen days of the receipt of such requisition.

(d) One third of the total number of Members of the Committee shall form the quorum. If
30 minutes after the scheduled time of the meeting, the requisite quorum is not formed,
the Chairman in consultation with the Members present may adjourn the meeting. No
quorum shall be necessary at the adjourned meeting and the Member.

(e) All resolution before the Committee shall be decided by the simple majority vote.

(f) The Committee shall cause the proceedings of its meeting to be duly recorded in the
Minute Book.

(g) The Chairman or in his absence, any of the two Vice Chairman or in the absence of all
of them, Member may be elected from amongst those present to preside at the meeting
of the Committee.

28.

The Executive Committee of the Association shall have the following powers and
functions:-

(i) To carry out all the rules, aims and objects of the Association;

(ii) To make arrangements for the Annual Elections of the Committee before retiring;

(iii) To continue and to manage all the affairs of the Association until the next properly
constituted Committee takes over the charge in accordance with these Articles;

(iv) To look after and manage all the property, movable and immovable held by the
Association;

(v) To appoint Sub-Committee for any special purposes with such rules and regulations
as it may think fit;

(vi) To delegate any of its powers to a Sub-Committee;

(vii) To appoint Secretary and such other staffs, as may be considered necessary for the
efficient functioning of the Association and to regulate their terms and conditions of
service;

(viii) To keep or cause to be kept by any one or more persons be entered true and complete
accounts of the monetary affairs and transactions of the Association;

(ix) To frame and put into effect rules, regulations and bye-laws for the office
administration, elections, trade practices, arbitration, compensation allowance and
remuneration of the members of office-bearers for their services to the Association
and for all such purposes as are conductive to the promotion of the objects of the
Association and in a like manner rescind, add or alter such rules, regulations and bye-
laws for the time being in force;

(x) To secure for the Association Membership of the Federation of Pakistan Chambers of
Commerce and Industry with a view to promoting its objects;

(xi) To present the vies of the Association on any matter relating to the objects of the
Association;

(xii) To convene Ordinary or Extra-Ordinary General Meetings of the Association;

(xiii) To nominate members to represent the Association on non-political public bodies;

(xiv) To defray expenses of the delegates selected and deputed by the Association to
represent the Association at Conferences and Meetings of Trade and Industrial
Organizations of other Public Bodies held in any place, in or outside Pakistan;
provided that no invitations shall be extended to any foreign organizations or
individuals, or shall be accepted from the later for participation in any Conference as
Meetings to be held in Pakistan or abroad without the prior permission of
Government;

(xv) To remove or expel any member from the Association or re-admit such expelled
members;

(xvi) To fill any vacancy caused by resignation or expulsion of any Member of the
Committee;

(xvii) To commence, institute, prosecute and defend all such actions and/or suits as the
Committee may deem necessary or expedient on behalf of the Association and to
compromise or submit to arbitration any action, suit or dispute or difference as the
Committee in its discretion may think fit;

(xviii) To deal with matters affecting all the members of the Association or the trade as a
whole; provided that in the event of difference of opinion with the Zonal Committee
which shall deal with all local problems, the views of the latter shall not be shut out
while corresponding particularly with the Government; and

(xix) Generally to adopt and to carry out such measures, not inconsistent with the
Memorandum and Articles of Association, as may be considered necessary from time
to time in order to achieve the aims and objects of the Association.

29.
(a)


(i) He shall be the Chief Executive of the Association. He shall whenever possible
preside over all the meetings of the Committee and lead all deputations and
delegations.

(ii) He shall have the power to sanction any amount not exceeding Rs. 500/- at the time
prior to consultation or assent of the committee and that amount shall be paid from
the funds of the Association. The approval of the Committee shall, however, be
obtained at its subsequent meeting.

(iii) He shall summon all meetings of the Committee and the General Body of the
Association.

(iv) He shall take votes of the members and declare the results of such counting of votes
and in the members and declare the results of such counting of votes and in the case
of equality of votes, he shall have his casting or second vote.
(b)


In the absence of the Chairman, any of the two Vice Chairman, who may be
nominated by the Chairman or the Committee shall perform all or any of the
functions an duties of the Chairman.
(c)


30.

Subject to the supervision, control and orders of the Chairman, the Secretary, who
shall be the whole-time paid employees of the Association, shall perform the
following duties:

(i) To carry on and have charge of all correspondence of the Association;

(ii) To have charge of all papers and documents of the general Body properties, Movable
and Immovable, belonging to the Association;

(iii) To issue and give notice of all the meetings of the General Body, Executive
Committee and various Sub-Committees of the Association;

(iv) To keep and maintain accurate minutes of all meetings of the Association, Executive
Committee and its various Sub-Committees, and to get the signature of the Chairman
or of the person, who presided over the meeting on such minutes;

(v) To prepare the Annual Report of the Association in consultation with the Committee
as well as the reports of all Sub-Committees of the Association;

(vi) To circulate among the members of the Central Committee the minutes of its
meetings and proceedings of the various Sub-Committees and among the members of
the Association the Annual Report Notices and other information intended for
circulation;
(vii) To circulate removal, expulsion or resignation of any person, firm company or
corporation as a member of the Association;

(viii) To notify all members of the Association of the impending annual election and the
results thereof;

(ix) To collect all dues of the Association of the impending annual election and the
results thereof;

(x) To keep and maintain accurate accounts of the Association and of the funds
connected with or in any way controlled by it;

(xi) To ensure all payments on behalf of the Association in conformity with the decision
of the Committee and keep and imp-rest account of an amount of Rs. 500/-;

(xii) To countersign all cheques issued on behalf of the Association which shall be signed
by the Chairman and/or a Member of the Committee duly authorized in this behalf;

(xiii) To represent the Association for all purposes whenever action arises before Court of
Justice in any suit or proceeding instituted by or against the Association provided
that he shall not be competent to compromise any suit of proceeding without the
sanction of the Committee;

(xiv) To delegate any or all his/her functions to any of the staff of the Association
provided that he / she shall remain responsible to the Committee for all acts done in
his/her behalf by such staff;

(xv) To maintain administrative and disciplinary control over all staff of the Association
in accordance with the rules and regulations framed in this behalf by the Committee;

(xvi) To do and perform all acts and deeds that he/she may expressly be required to do by
the Committee and generally all such other deeds as are incidental to his office.

(d)

31. (a) He shall be the Chief Executive of the Association. He shall whenever possible
preside over all the meetings of the Committee and lead all deputations and
delegations.

(b) The income of the Association derived from admission fee and annual subscription
of members enrolled in each Zone, shall be distributed between the Central Office
and the Zonal Office concerned in the ratio of 60:40 or in such other proportion as
may be considered conductive for the efficient functioning of the Central and Zonal
Office


(e)

32.

The account books and other documents of the Committee shall be kept at the
headquarters of the Central Office of the Association and shall always be open to the
inspection of the members of the Association at such time or times during the office
hours and to such extent as the Committee may, from time to time, determine. The
Committee or the Chairman of the Association may refuse inspection of the any
document, which may in its or his opinion be likely to prejudice the interests of the
Association.

(f)

33. (i) The Executive Committee shall provide a Common Seal for the Association. The
Seal shall be deposited with the Secretary and shall never be affixed to any document
except by the prior authority of the Committee or the Chairman for the time being
and at least one other Member or the Committee shall sign every such instrument to
which the Seal is affixed and all such instruments shall be countersigned by the
Secretary, provided any instrument bearing the Seal of the Association and issued for
a valuable consideration shall nevertheless be binding on the Association
notwithstanding any irregularity touching the authority of the Committee to issue the
same.

(ii) Deeds, Bonds and other contracts under the Seal made on behalf of the Association
and signed by the Chairman and Secretary of the person acting as the Chairman and
Secretary and one Member of the Committee shall be deemed to have been duly
executed.

(g)


34.

The Committee shall appoint a panel of Arbitrators and all disputes and differences
between members pertaining to, arising out of or relating to their business shall be
resolved by reference to sole arbitration of a person names in the Panel of Arbitrators
Panel, one to be appointed by each party to the reference. The provisions of
Arbitration Act, 1940 and any statutory modifications or amendments thereof shall
apply to such arbitration under this Article.


35.

A notice may be given by the Association to any member either personally or by
sending it by post to his registered address.
36.

When a notice is sent by post, service of the notice shall be deemed to be effected by
properly addressing, prepaying and posting a letter containing the notice and unless
contrary is proved shall be deemed to have been effected at the time at which the
letter would be delivered in the ordinary course of post.


37.

All provisions relating to the election of office-bearers of the Executive Committee,
its meetings and posers, General Meeting of the Association, etc., shall apply,
mutatis mutandis, to Zonal Committee, Zonal General Meetings, etc.
38.

Amendments in these Articles of Association shall be affected by a resolution passed
by two-third majority of the members present at a Special or Extra-ordinary General
Meeting of the Association convened specially for this purpose in accordance with
these Articles. Provided that all amendments shall be subject to the approval of
Government and shall also be made when required by Government in public interest.
39.

Any dispute or difference of opinion in regard to the interpretation or scope of
application of these Articles of Association, which can not be resolved by the
Association itself, shall be referred to the Director of Trade Organization under the
Trade Organization Ordinance, 1961 (XLV of 1961) and the ruling given by the
Director, shall be binding on the Association, its office-bearers and members.
40.

The signatories to the Memorandum and Articles of Association shall form and
Adhoc Committee, which will for all practical purposes, be treated as the Executive
Committee of the Association shall be elected in terms of the Articles.

(h)

41.

Every Chairman / Vice Chairman / Secretary and Members and other Officers and
Servants of the Association shall be indemnified by the Association against, and it
shall be the duty of the Committee to pay out of the funds of the Association all cost,
losses, penalties and expenses, which any such person may incur or become liable to
by reason of any contract entered into or act of deed done by, or committed by him as
such officer or servant or in any way in the discharge of his duties and no member or
other officers of the Association shall be liable for the act receipts, neglects or
defaults of any other or officer or for joining any receptor other act or conformity or
for any loss or expense happening to the Association through the insufficiency or
deficiency of title to any property acquired by order of the Committee for or on
behalf of the Association or for the insufficiency or deficiency of depreciation of any
security in or upon which any of the moneys of the Association shall be invested or
for any loss occasioned by any error of judgment, default or oversight on his part or
for any loss, damage or misfortune whatever, which shall happen in the execution of
the duties of his office or in relation thereto unless the same happen through his own
dishonesty or willful neglect.We, the several persons whose names and addresses are
subscribed hereto are desirous of being formed into an Association in pursuance of
these Articles of Association.