Beruflich Dokumente
Kultur Dokumente
GROUP 2
Abdul Rehman Sohail
Syeda Rida Rizvi
Usama Mudassar
Zahra Daha
Submitted to:
Mr. Salman Ehsan
Operations Management, Section L
Lahore School of Economics
ii.
iii.
iv.
v.
Target market
Meat
Milk: The milk that we are providing is 100 % organic. The fodder that the cows will eat
is grown organically.
Eggs: Since our chicken is 100% organic, eggs are produced without feeding the chicken
with processed feed.
The approximate price list of our products is in figure 2; Appendix A. Prices are determined by
using competitors prices as the reference price.
Production
The supply chain for our company is shown in Appendix B.
Budget allocated for land and outlets:
The organic store will use a land of 200 canals (25 acres) near Raiwind Road. This land will be
used for setting up cattle sheds, cultivated farms, storage rooms, slaughterhouses and milking
sheds. In the initial phase the organic store will open its outlets in Defense Y-block and Gulberg
Main Boulevard. The costs are shown in figure 3, Appendix A; and we have acquired the price
list from two sources. Source 1: Bilal Razzaq Qureshi, Bilal and company (2013). Source 2:
Zameen.com, 2013 .The total budget allocated for land and outlets sums up to Rs. 65 million.
Budget allocated for cattle, poultry and milking sheds:
The Organic Store has plans to build an automatic poultry shed with capacity for 25,000
chickens. Initially we are going to grow only 12,000 chickens but after forecasting for future
demands it is feasible to build a shed that has at-least capacity of 25,000 chickens. For goats and
Product
Organic Milk
Eggs
Mutton:
Mutton chest
Mutton neck
Mutton chops
Back chops
Mutton shoulder
Mutton leg
Mutton paya
Mutton mince
Mutton boneless cube
Beef:
Beef with bones
Beef silver side
Beef chops
Beef leg
Back chops
Price1
100 (per liter)
150 (per dozen)
800 (1 kg)
800 (1 kg)
810 (1 kg)
800 (1 kg)
820 (1 kg)
850 (1 kg)
300 (per piece)
840 (900 gm)
810 (900 gm)
410 (1 kg)
550 (1 kg)
440 (1 kg)
440 (1 kg)
440 (1 kg)
Figure 3 Costs
Categories
Total cost(million)
Farm land
30
Outlet Rent(per annum)
24
Interior designing
6
Curved glass refrigerated racks(30 racks)4
5
Source: Bilal Razzaq Qureshi, Bilal and company. 2013. Zameen.com, 2013
Category
No. of sheds
Cost per shed(million)
Poultry
1
5
Cows(meat)
6
1.5
Cows(milking)
2
9
Goats
8
1.5
Source: Bilal Razzaq Qureshi, Bilal and company. 2013.
Total cost(million)
5
9
18
12
Total cost(million)
25
3.5
3.2
0.2
0.06
Category
Cost (million)
Building (Combined)
10
Cows:
Machinery
15
Installation
2
Goats:
Machinery
10
Installation
2
Chicken:
Machinery
10
Installation
1
Source: Bilal Razzaq Qureshi, Bilal and company. 2013.
Category
Dongfeng Meat
Unit cost(million)
2.5
Units to be purchased
6
Total cost(million)
15
2.76
Transport
Refrigerated Truck
Suzuki Bolan Euro 2
0.69
Source: Pakwheels.com, 2013
Alibaba.com, 2013
Category
to
be Total animal
kg)
consumed(kg)
Cows(milking) 22
40
Cows(meat)
22
16
Goats
22
7
Chicken
5.83
2
Source: Bilal Razzaq Qureshi, Bilal and company. 2013.
100
500
870
12,000
Total
cost(million)
2.64
5.28
4.0194
4.1976
monthly
Appendix C
Figure 6 Machinery
Appendix D