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Table of Contents
1
History
02
03
Introduction
04
Objectives of Project
05
Industry Profile
06
Industry Analysis
09
PEST Analysis
11
Company Analysis
13
15
20
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1
Organizational Plan
21
1
1
Marketing Plan
24
2
1
31
3
1
35
4
1
36
5
1
38
6
1
41
7
1
43
8
1
Financial plan
44
9
2
Limitation of Research
45
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Atlas
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2
Appendices
Atlas
46
History
The Universal Engineering Company was established in 1980 in Gujranwala. The firm
started with the commitment to provide high quality of products to its customers. The firm
was started when two brothers Mr. Mushtaq Hussain and Mr. Manzoor Kafeel migrated
from Lahore to Gujranwala. The word "ATLAS" stands for exceptional, distinctive, one of
its kind, and "ATLAS" has stood true to its name since its establishment. ATLAS is
Pakistan leading multinational brand consisting of 3 rapidly growing companies and want
to become the world largest manufacturer of Electric and Gas home appliances. The
company first sell its product to only particular areas of Punjab but now it is selling its
products all over Pakistan and also export to other countries.
Product Development
The company developed a high quality Home appliances products like Air Coolers,
Washing Machines, Dryers, Geysers, Gas Hobs, Stoves, Kitchen Hoods, kneading flour
machine and ovens by the trade name of "ATLAS". This firm introduced different types of
models of air cooler in different years as it introduced Window Type model in 1982,
Mobile Model in 1986. Atlas was the first company who introduced moving motor in air
cooler. In 1989 Atlas was the first firm who introduced the evaporative room air cooler
with high efficiency by using new cooling pad system with the collaboration of Munters,
(Swedish Company). In 1992 Atlas was awarded by European Quality Award from France.
Atlas was also awarded for best quality in 1996 from all Pakistan Chamber of Commerce.
After that Atlas introduced different models of gas and electric geysers in 1993. Later on
the Atlas becomes the Pioneer of Exporting Quality. In 1997 Atlas first introduced Instant
Geyser all over Pakistan which was appreciated by people. In 2002 Atlas introduced new
model of air cooler named as Tower which became famous. In 2004 Atlas introduced new
products of Electric Geysers. 1n 2006 Atlas introduced two models of Washing Machine
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and one model of Dryer. In 2009 the firm introduced Kitchen hoods and Kitchen Hobs
which are well known now. In 2011 Atlas introduced new models of Instant Geysers and
in 2012 Atlas introduced 2 new models of Washing Machines, and production of these
washing machines started 2 months ago. Now Atlas is searching for different technology
and also for other Home appliance products to introduce in market.
Our foremost aim is to think big, be the pace setter and modernizer. Since 1980, being the
market leader in Air Cooler, we have concrete plans to replicate our best practices in every
of our offerings, across the region. It is the VISION that every employee of the
organization is clear about.
MISSION:
Atlas uses the best tools to win and maintain the satisfaction, trust and loyalty of its valued
customers. Quality, Delivery and Innovation are the core elements of our philosophy.
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Stake holders at every level strive to maintain the status quo of the company, to deliver the
best. Continues struggle with commitment is technique to accomplish this MISSION.
Introduction
"Atlas" is engaged in producing top order home appliances in Pakistan. Recognition of its
achievements in quality products are manifested in the form of the ISO 9002 certification.
The success tale spread well over 25 years when Atlas produced the first Air Cooler of
Pakistan. Later on Atlas started producing washing machines, gas and electric geysers.
Keeping in view the requirements and purchasing power of all the segments of the society
Atlas has introduced different Air Cooler to meet demands of its customers. Atlas has the
honour to produce complete plastic body air cooler for the first time in Pakistan. In
Pakistan Atlas has not only introduced a large range of Room Air Coolers in plastic body,
but in different sizes and volumes as well.
Atlas in order to maintain its superiority in producing public utility products has
introduced Hobs and Stoves. It was an instant success' due to its design, effectiveness and
affordable price amongst the consumers. Research based products of Atlas enjoyed a sense
of superiority over similar products in the open market. The objective is, however, to offer
consumers products of international quality at affordable price and this can be judge by the
fact that they are being exported to Saudi Arabia, Dubai, Bangla Desh, Sri Lanka and
Afghanistan from the last couple of years, and their demand is growing day by day. The
success story of Atlas is due to its chairman Mr. Manzoor Kafeel while Managing Director
Mr. Mushtaq Hussain looks after the production aspects of the factory. He has a critical
approach towards the products and their prices offered by their competitors.
Mr. Manzoor Kafeel, Chief Executive of Atlas has played a leading role to maintain the
quality of the products. He is fully aware of modern trends in the International Markets. It
will not be out of place to mention the services of Mr. Mukhtar Hussain, Mr. Nadeem
Saleem, Mr. Ali Raza and Mr. Muhammad Hannan, those who are looking after different
departments of Atlas. These four young fellows with their higher education and thriving
on the experience of their seniors have produced excellent results. Apart from looking
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after the affairs of factory, chairman Mr.Manzoor Kafeel is equally paying his attention
towards religious affairs and social work. He has constructed a Mosque; Shehroz Trust
Hospital is another example, where free medical treatment is being provided to factory
workers, and the needy of nearby localities.
To understand each and every thing about Atlas and also get knowledge that how Atlas
followed.
To check the problems occurred in managing the labour and also check the lead time.
To check the factors that effect or increase the efficiency of labour.
One of the objectives is to check the purchasing process and find out that weather this
statements.
To check the transaction entry system of Atlas and also suggest that how Atlas makes it
better and more efficient.
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Industry Profile
History and introduction of washing machine
Ancient peoples cleaned their clothes by pounding them on rocks or rubbing them with
abrasive sands; and washing the dirt away in local streams. Evidence of ancient washing
soap was found at Sapo Hill in Rome, where the ashes containing the fat of sacrificial
animals was used as soap.
The earliest washing "machine" was the scrub board invented in 1797. American, James
King patented the first washing machine to use a drum in 1851, the drum made King's
machine resemble a modern machine, however it was still hand powered.
cool
them
down.
Other
techniques
in
the
use
of cisterns and wind towers to cool buildings during the hot season. Modern air
conditioning emerged from advances in chemistry during the 19th century.
History and introduction of Geyser
An English man named Maughan invented the first water heater. Very little in known
about Maughans invention however his invention influenced mechanical engineers later,
and automatic storage water heater was invented in 1889, by Edwin Ruud. Ruud migrated
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The Chinese are credited with developing iron stoves around 220 B.C.E. The Romans
used stoves that were made of tile and clay. Kitchen stoves were not widely used in
Europe until the 1700s.
The gas stove became popular in the 1880s, as gas lines were more widespread. Utilizing
propane, natural gas, butane or propane, a gas kitchen stove will ignite through the use of a
pilot light or an electric ignition.
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washing machines, some with air coolers, some with hot and cold coolers and geysers in
Pakistan.
But when the producers observed that the foreign companies are capturing the market and
the product line of these companies is large, the local companies decided to increase their
product line. Pakistani companies started to produce the whole line of home appliances in
their companies and improve their image on the minds of the customers. There are few
cities in Pakistan like Gujranwala, Lahore, Karachi and Gujrat which are fulfilling the
demands of home appliances in Pakistan. There are large number of companies producing
the washing machines, spinners, cooking range and ovens in Gujranwala. No doubt, the
foreign companies and Chinese products are the big threat for the local industry but still
local companies are winning the customer minds by providing them quality.
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PEST ANALYSIS
A scan of the external macro environment in which the firm operates can be expressed in
the following factors;
1.
Political
2.
Economic
3.
Social
4.
Technological
PEST analysis is used to describe a framework for the analysis of these macro
environment factors. A PEST analysis fits into an overall environment scan as shown in
following diagram
Political Factors:
Government is providing opportunities to the companies to provide benefits like oldage benefits, disability benefits, pension, etc. These benefits are to be provided by every
company under the supervision of Social Security Ordinance. ATLAS is also providing its
employees the benefits of social security.
Government has allowed the Puffery statements in advertisement but there should be
truth in selling and deception statements are not allowed.
The company has a trademark and a trade name that gives the company an exclusive
right by the government policies to use it and enter into contracts and dealings through its
registered trade name.
The company is bound to follow the workers safety regulations as laid down by the
workers safety act.
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The company also publishes its annual reports as are compulsory to publish by the
government.
Economic Factors:
ATLAS plays an important role for economic growth by contributing to the economy of
the country.
The cost of production includes wages of workers, salaries to the staff, purchases, utilities,
recession stage.
The prices of products are lower than products of its competitors enabling ATLAS to have
market share.
Social Factors:
The salaries and wages of the workers and management staff are satisfactory so the
income distribution factor is functional.
ATLAS is funding many NGOs and welfare organizations in the whole country.
The company is running a hospital Sheroz Trust Hospital for the welfare of its
employees as well as the people of the near vicinities.
The company is providing various types of home appliances which are helping in
improving the life style of the people.
The company is having a computerized lath machine which helps in reducing labour
cost and time needed to produce a dye.
Due to technological improvements many items are available at lower prices from
China and ATLAS is taking full benefit from it.
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The manufacturing department also has different types of dyes for different models or
shapes of washing machine and air coolers.
A tool shop also operates within the factory premises, which manufactures its own
tools to be used in production.
The company has provided the computers to the staff members to eliminate the cost of
stationery and to save the time.
Different software was being used in every department for advertisement, employee data
base, ERP system, and payroll and for the maintenance of accounts.
COMPANY ANALYSIS
SWOT ANALYSIS:
SWOT stands for strengths, weaknesses, opportunities and threats. This is the analysis
related to the strengths which Atlas proudly have, weakness of Atlas, opportunities which
Atlas can avail to prevent from the threats faced by the company and the threats of the
company. The reason to do this analysis is to find out that, what are the strengths of the
company which can overcome the weaknesses of the company and to determine the
opportunities which can company avail to prevent the threats to the company. This SWOT
analysis is as follow:
Strengths:
The company has built up goodwill in the market of Pakistan, from a very long time.
The company has the largest market share throughout the country in the Air Cooler
industry.
Brand name of ATLAS is known to almost every person in the country and is very
famous in home appliances industry.
The company deals in all sorts of home appliances, like Washing Machine, Spinners,
Geysers, Room Air Coolers, Microwave Oven, Kitchen hood, Stoves and Hob.
ATLAS is exporting its products to various regions across the globe mainly markets
like Middle East and Asia.
The company is having a number of old employees who are committed and loyal with
the company.
ATLAS retains its employees by offering benefits like old age benefits, disability
benefits, disease benefits, medical facilities in the company hospital and advance pay etc.
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A large number of models are available in the range of every product of the company.
Weaknesses:
There is shortage of skilled labour in the company due to which the company has to
face some crisis.
The advertisement budget of ATLAS is very short comparatively other brands in the
market.
There is also a very weak point in the management which is overstaffing. There is
overstaffing in the management.
The management staff do not have direct link with their dealers.
The complaints department does not provide the proper services to the customers of
the company.
The company has not developed the proper promotional strategies for international
markets.
Dealers of the company complaints for the low profit margin in products.
Opportunities:
Due to Government policy of low export duty, ATLAS has opportunities to increase
their exports.
Due to the strong financial position of the company, the management can use the
latest technology in their products.
They can use the brand name in the international market to increase their sales of
Washing Machine like their Air Cooler.
As the company is financially very strong, so it can use electronic and print media to
increase their sales.
They should invest to introduce new products like Air Conditioner and cooking
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.Other competitors of ATLAS are offering the same products at relatively lower
prices.
A large number of new incoming companies are increasing the competition in the
market.
Other companies like Super Asia, Boss etc are investing a heavy budget in the
promotion of their products.
Current Power & Electricity crises are very big hurdle for the manufacturing unit of
the company. Due to the shortage of electricity the company may be unable to meet the
orders.
Features:
Atlas Room air
Plastic body. It can easily be pushed to the required place and can be used as a table
cooler. Due to its beautiful structure it increases the beauty of your drawing room and
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bedroom. It maintains the natural atmosphere and makes the hot air to cool comfortable
air. In this way you are safe from diseases, which are caused by artificial coolness.
Room air cooler consumes only 230 watt of electricity due to its best designed double
speed guarantee motor pumps due to its the cost of electric bill is 90% less than A.C.
This room air cooler absorbs the smoke of cigarette and other harmful elements. Its
automatic system can change the direction of air to 90.
Room air cooler is manufactured with good quality of an ABS plastic material. Its full
plastic body is very durable and it is safe from rusting and electric shock forever.
Room air cooler is equipped with automatic water supply and very easy to maintain.
Usage Method:
Pour water in the Atlas room air cooler according to the fixed water gauge there should be
an exhaust fan in the opposite direction of cooler or open the window. It will improve the
performance of cooler otherwise there will be humidity.
Precautions:
Do not use room air cooler in case of fluctuation of voltage.
Do not try to repair it if there is any fault please consults the registered office of company
or the relevant dealer.
Water tank should cleaned thoroughly after opening from the rear side so ill smell may not
be produced due to gathered dirt, cooling pads may be cleaned with nylon brush cooler
may be packed after proper cleaning at the end of the season.
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gallon to 35 gallon, it also offers gas geysers of different size which is from 25 gallon to
55 gallon. Recently Atlas introduce Pakistan first gas water heater in which they install
heat exchange technology and imported thermostat due to which you can get 450 litres hot
water in one hour. ATLAS Electric geyser due to imported thermostat Gas/Electricity
charges 50 % cheaper from others. It will also continuously give you 40 to 160 centigrade
of water. They installed imported temperature gauge which indicates about the
temperature
Washing machine and Dryer consumes only 230 watt of electricity due to its best
designed.
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Washing machine and dryers are manufactured with good quality of an ABS plastic
material. Its full plastic body is very durable and it is safe from rusting and electric shock
forever.
Outsourced Products
Atlas is not producing their products only in Pakistan, but they have outsourced few of
their core products. These products include:
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1- Gas Hob
2- Kitchen Hood
3- Instant Geyser
4- Stove
5- Microwave Oven
Gas Hob
Atlas offers different types of gas hobs. These hobs are in different articles dependent on
number of burners and size of the burners. These gas hobs are of two types:
I. Glass Gas Hob
II. Stainless Steel Gas Hob
Atlas provides 4 models of Stainless steel hobs and 3 models of glass hobs which are very
popular. These hobs are consisting of different burners some of them are of 3 burners and
some are of 5 burners.
Hood
Atlas also offer kitchen hoods to its customers.
Kitchen hood is a device containing a mechanical fan that hangs above the stove of
the kitchen. It removes airborne grease, combustion products, smoke, heat, and steam from
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Instant Geyser
Considering current Pakistani energy crisis situation where
regular supply of gas for old type of geyser is very hard. There
must be a way out for gas shortage. Filling this gap was very
important for electronic goods manufacturers. In order to solve
this problem Atlas offers an instant hot water Geyser, or "boiling
water tap," is an appliance that dispenses water at about 94
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Organization/Management Plan
ORGANIZATIONAL STRUCTURE:
Atlas is market leader in Washing Machine, Air Cooler and Geyser, till today, given the
presence of numerous local and foreign brands in Pakistani Home Appliances Market.
They stand for as top five in air cooler industry in Pakistan. Hierarchy of Atlas is as
follow:
Organization Hierarchy
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Director
Laboratory Assistant
Chairma
Director
Director
Accounts
Production
General
General
Manager
Manager
Laboratory Supervisor
General Manager
Accounts Department:
Accounts department manage the accounts of the firm and also make entries of the
transactions occurred on daily basis. Different functions of accounts department are as
follow:
Payroll entries:
It is the duty of accounts department to check the total wages and salaries earned by every
employee every pay period, which are called gross wages or gross earnings, have to be
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Cash collections:
All cash received from sales and from all other sources has to be carefully identified and
recorded, not only in the cash account but also in the appropriate account for the source of
the cash received. The accounts department makes sure that the cash is deposited in the
appropriate checking accounts of the business and that an adequate amount of currency is
kept on hand for making change for customers.
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Production Department
Production department is the functional area responsible for turning inputs into finished
outputs through a series of production processes. The Production Manager is responsible
for making sure that raw materials are provided and made into finished goods effectively.
He must make sure that work is carried out smoothly, and must supervise procedures for
making work more efficient and more reliable.
The production department will set standards and targets for each section of the production
process. The quantity and quality of products coming off a production line will be closely
monitored. In businesses focusing on lean production, quality will be monitored by all
employees at every stage of production, rather than at the end as is the case for businesses
using a quality control approach.
This department is also responsible for stocking all the necessary tools, spares, raw
materials and equipment required to service the manufacturing process. Where sourcing is
unreliable, buffer stocks will need to be kept and the use of computerised stock control
systems helps keep stocks at a minimal but necessary level for production to continue.
Laboratory
Laboratory is responsible for researching new products or modifications to existing ones,
estimating costs for producing in different quantities and by using different methods.
It is also be responsible for the design and testing of new product processes and product
types, together with the development of prototypes through to the final product.
To analyze the latest trends organizing marketing, sales, building customer focus culture,
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Marketing Plan
In marketing analysis, we examined that what marketing strategies ATLAS is using to
maximize the sales of the company. After that product analysis through product life cycle
is considered. Product life cycle shows the all stages of sales from its production to the
decline of the product. Every product when produced passes from different stages of the
sales, sometimes its sales is going to increase and sometimes its sales starts decreasing.
Sometimes its sales are at the boom position and sometimes theses are going to decline.
Different Marketing strategies adopt by ATLAS are as follow:
Marketing Strategies:
The marketing is a logic by which the business unit hopes to achieve its marketing
objectives. The strategic plans define the companys overall mission and objectives.
Marketings role and activities summarize the major activities involved in managing
marketing strategy and the marketing mix. Next comes, marketing strategy-the marketing
logic by which the company hopes to achieve these profitable relationships. Through
market segmentation, targeting and the positioning, ATLAS decides which customers it
will serve and how. It defines the total market, then divides it into smaller segments, and
focuses on serving and satisfying customers in these segments. Two things come under the
head of marketing strategies:
1-
2-
Marketing Mix
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Market Segmentation
ii.
Target Marketing
iii.
Market Positioning
i.
Market Segmentation:
Dividing a market into distinct groups of buyers who have distinct needs, characteristics,
or behaviour and who might require separate products and marketing mix. Rather than
ATLAS offers the same marketing mix to vastly different customers, market segmentation
makes it possible for ATLAS to tailor the marketing mix for specific target market, thus
better satisfying the customer needs. Not all elements of marketing mix are necessarily
changed from one segment to the next.
A market segment should be:
Measurable
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Geographically ATLAS segmented the worlds market; the company normally focuses on
the Pakistani market for all of its products. Pakistani market is the target segment of
ATLAS. They make the segments of the whole world market and then decide to focus on
one segment which is the Pakistani market.
Demographic Segmentation:
ATLAS divides the market for different products on different way. There are lot of
segments of market on the bases of demography, like; on the bases of gender, age,
education, occupation, income and family status. ATLAS has to choose the different
segments for their different products. For every product of the company there is different
segment.
Psychographic Segmentation:
On the bases of psychology the company has made the segment on the bases of lifestyle,
values and attitude. There is different level of products for different status people. This
segmentation based on the lifestyle and family status.
Behavioural Segmentation:
This segment of the company is based on the usage rate, brand loyalty, price sensitivity
and benefits of the product.
ii.
Target Marketing:
Target marketing involves breaking a market into segments and then concentrating your
marketing efforts on one or more key segments. Target marketing can be the key to a
businesss success. The beauty of target marketing is that it makes the promotion, pricing
and distribution of your products and/or services easier and more cost-effective/efficient.
Target marketing provides a focus to all of marketing activities. When ATLAS has defined
the market segments, it can enter one or more segments of a given market.
There are different market segment for the different products of ATLAS, and the company
target individually on the different segment of the different products.
Washing Machine, Spinners and Oven:
ATLAS can make the promotional strategy for whole of the market, but in the
advertisement and promotional strategies the company focuses on the housewives and
women. So in these SBUs the target market of the company is the housewives and the
women. And there are different models of these products for the different status people
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and having different lifestyles. The company makes the promotional strategy for the whole
market of Pakistan.
Geysers and Air Coolers:
In this range of the SBUs the companys target market are families of different status and
lifestyle. Here the company makes the promotional strategies for whole family because
these products are used by all family members. Mainly the promotional strategies for these
products are made for the urban areas.
iii.
Market Positioning:
Arranging a product to occupy a clear, distinctive and desirable place relative to the
competing products in the minds of the target consumers, Positioning is a perceptual
location. It's where your product or service fits into the marketplace. Effective positioning
puts companys products in the minds of potential customers. Positioning is a powerful
tool that allows you to create an image. And image is the outward representation of being
who you want to be, doing what you want to do, and having what you want to have.
That's why it's so important for ATLAS to transform their passion into a market position.
If the company doesnt define its product or service, a competitor will do it. So the
companys position in the market place evolves from the defining characteristics of
competitors product. The primary elements of positioning for ATLAS are:
Pricing: The prices of the company products are somewhat low due to which the people
are converting to buy the ATLAS products. It is necessary for getting the positioning in the
minds of the consumers to set the lower prices of the products than competitors products.
Quality: Quality of the products matters a lot. If your product is satisfying the consumer
quality wise then it is possible to get the higher sales. Some of the ATLASs products are
quality wise very well due to which they earn a lot of the revenue for the company. The
quality of Washing Machines of ATLAS is very satisfying to the customers due to which
this SBU get very large revenue for the company.
Service: ATLAS provides customer services due to which the consumers of home
appliances purchase products. The company provide after sale services which is a key
factor of the large sales of ATLAS.
Distribution: The products of the company are available all over the country because it is
important that the products should be available to all the consumers. There are more than
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50 dealers of the company all over the country providing the products of ATLASs
products to the consumers.
Packaging: The beautiful packaging of the products attracts the consumers to buy the
products. Here the company is also strong because their packaging is very well.
2- Marketing Mix:
The marketing mix is a combination of marketing tools that are used to satisfy customers
and company objectives. Consumers often call the marketing mix "the offering." ATLASs
marketing mix also depends on these procedures. Marketing mix is controlled by the
following variables often referred to as the four Ps in marketing:
Product
Price
Place
Promotion
PRODUCT
PRICE
MARKETING
MIX
PLACE
PROMOTION
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Product:
The product is physical product or service offered to the consumers. In the case of
physical product, it also refers to any services or conveniences that are part of the offering.
Product decisions include the aspects, such as function, appearances, packaging, service
and warranty etc.
All the products of ATLAS are the physical products, the company does not deal any
service, but provide the after sales service repair services and home delivery services etc.
the products decisions include the following factors:
Variety
Quality
Design
Features
Brand Name
Packaging
Services
ATLAS have included all these factors in their products, such as there is a lot of variety in
every product of the company, some of the products are quality wise very good, design
and packaging of the products are very attractive and have different feature. The brand
name of ATLAS is known to almost every person in the country and the company also
provide after sale services, free repair services and home delivery services.
Price:
Price is the amount of money consumer has to pay to obtain the product. Pricing decision
should take into account profit margins and the probable pricing responses of the
competitors. Pricing not only include the pricing list, but also discounts, financing and
other options such as leasing. In the pricing strategy ATLAS have included following
things:
List Price
Discounts
Allowances
Payment Period
Credit Terms
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ATLAS has provided a list price of all its products to all of its dealers and asked
them to provide the discounts to all the customers. The company gives different types of
the allowances to all of its dealers and consumers like, prizes, discounts schemes etc. The
company also deals with its dealers on the credit bases.
Place:
Place includes company activities that make the product available to the target consumers.
Place decisions are those associated with the channels of distribution that serve as the
means for getting the product to the target customers. The distribution system performs
transactional, logistical and facilitating functions. Distributions decisions include market
coverage, channel member selection, logistics and levels of service. Following things have
included by ATLAS in the Places strategies:
Channels
Coverage
Assortments
Locations
Inventory
Transportation
ATLAS uses its personal conveyance for the distribution of the products to place of
selling. And these points of selling are approachable to all the consumers. Like Gujranwala
there is proper electronics and home appliances market which is at the assessable place. In
other cities these points of selling are easily approachable to all the customers. And the
company provides a large inventory to all its dealers so that consumers can not face the
difficulty of un-availability.
Promotion:
Promotion means activities that communicate the merits of the product and persuade target
consumers to buy it. Promotions decisions are those related to communicating and selling
to potential consumers. Since these costs can be large in proportion to the product price, a
break-even analysis should be performed when making promotion decisions, it is useful to
know the value of consumer in order to determine whether additional customers are worth
the cost of acquiring them. ATLAS has taken the following steps for the promotional
strategies:
Advertising
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Personal Selling
Sales Promotion
Public Relation
Atlas
The budget for advertisement is low for the company products which is great threat for the
company due to which the competitors are getting the advantage. ATLAS also does the
promotion in some public welfare works. Company is funding to various NGOs and
welfare organizations.
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After purchasing the raw material it was delivered and put into the store where it was
checked and counted. There is not any store keeper who makes entry of receiving raw
material in store.
Manufacturing processes
After putting the raw material into the store it was withdrawn for manufacturing process.
This duty is assigned to the labour of the firm to take the raw material from the store and
use it according to production requirement. There is approximately 50 feet long assembly
line on which different processes are held to make finished goods. Some of the raw
material is processed through outsourcing like making of plastic body of air coolers the
firm only purchase crushed plastic bags and delivers it to other firm for processing.
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Warehouse
As the finished product is ready it was put into the warehouse and make an entry by
production manager in his records.
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Facilities
Atlas has four facilities locations in Gujranwala which are located at four different
locations.
1. Head Quarter
Head Quarter is located at G.T road besides Pace shopping Mall which is the center of the
city. Here the dealers place their orders of the products that they need.
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2. Assembling Plant 1
This assembling plant is located in the city through which raw material can easily
approachable. In this plant geysers are assembled and distributed to its dealers by using
different modes of transportation.
3. Assembling Plant 2
This is the main plant which is 5Km away from city. In this plant Air coolers, washing
machine, Flour kneading machine and other products of ATLAS are assembled.
4. Warehouse
After
assembling
products,
the
send to the warehouse which is at the back side of Assembling Plant 2. From there the
products are distributed to the dealers through different modes of transportation.
Role of facilities
Facilities play a vital role to minimize cost because the raw material is available easily and
it becomes a source for the company to provide their products efficiently to their
customers and dealers.
Components of Facilities
The firm has a rule of centralize decision making which is made by high authorities.
The firm has a capacity to manufacture approximately 150 units per day.
The firm focus on quality of the product which is efficient rather than responsive.
Inventory
Atlas is working on a make to stock strategy which shows that they focus of efficiency.
The firm has a rule to forecast its sales and make production according to that forecasting
figure.
Components
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The firm make limitation of stock minimization that if the stock is nearly to end then at
Information
In this firm there is lack of communication due to which the processes are not work in a
better way due to which sometime the firm face heavy losses and become a source of
clashes between departments.
Components
ATLAS use only telephone for exchange information there is not any other method
through which they exchange the information like through emails, written letter or any
other source.
Sourcing
Most of the products of ATLAS are made of plastic, so the firm open its own plastic
injection moulding plant name as "ATLAS Plastic Industry" through which most of the
demand is fulfilled. Some of the raw material is out sourced from other firms.
The firm is not only out sourcing raw materials but also some of its finished goods which
are out sourced from china. These products include Gas Hob, Kitchen Hood, Stove and
microwave oven.
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Component
As ATLAS is cost oriented and prefers efficiency so they budgeted the cost of these
products and found that some of the product are expensive to be outsource and some of
The product has to have the right features - for example, it must look good and work well.
The price must be right. Consumers will need to buy in large numbers to produce healthy
profits for the company.
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Atlas
The goods must be in 'the right place at the right time'. Making sure that the goods arrive
promotion. Successful promotion helps a firm to spread costs over a larger output.
Identify the key market drivers
Develop a unique value proposition for completive advantage (efficient)
Identify new underserved market gaps
Better understanding of target customer base
Reduce marketing costs without sacrificing performance
Today businesses have an increasing market focus. Companies are to serve the needs of
their customers they need to be structured in such a way as to identify and meet customer
requirements.
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Atlas
The firm should maintain its stock with minimum level. It should use software for
maintain it and also make different such software in which they not only maintain their
stocks but also their accounts because it will help the firm to be update with current
time and inform the current situation of the stock to the upper management.
There should be a proper store in which the firm put all of its raw material in a proper
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Financial Plan
As it was family owned business, so the funds were limited right from the start. Then CEO
managed all the financial matters wisely. Starting with 1million Rupees in 1985, all of the
funds were from family because CEO and other top managers were strongly against loans
taken on interest.
In the start ATLAS had only one manufacturing unit, but now it owns two major assembly
units with the capacity of 100 items to be produced in a day (could be cooler, washing
machine or geysers). Along with these assembly units ATLAS has newly established unit
for plastic moulding. This unit has six (6) plants for moulding plastic. Each plant costs
around 3.2million Rupees.
ATLAS has designed payments system in a way that every dealer has to pay 50% of the
bill right at delivery and rest of 30% in one month and remaining 20% in 2 nd month after
delivery. It helps dealers to get done with their payments and for ATLAS regular cash in
flow is confirm.
Almost 30-35 regular employees are working at ATLAS, but during peak season (summer)
it varies to 55-60 employees. This change in number of employees directly affects the cost
centre of ATLAS, salary expense and other over times increases.
As the sales are at there peak in summer so the reinvestment ratio also changes. In peak
season, as sales increases the expenses also increases so ATLAS has to re-invest more
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capital again in the cycle to meet the desired production and ultimately demand form
customers.
For up coming two new models of Washing machines (metal body) ATLAS is planning to
accumulate capital, through next season sales and net incomes. These new washing
machines are projected to be the best product in terms of returns on investment (ROA).
As ATLAS washing machine product line was not doing well. These changes were
important to make. It is expected that ATLAS will balance its products returns after
launching these two new models of washing machines.
Limitations of Research
Conducting researches like this always have a lot of limitations to face. Addition to this
fact, basic research always needs some assumptions to use plus many alterations to take as
facts. But here we had tried our level best to avoid these limitations as much as we could.
Flowing were the limitations for this research work.
1- Time
Time to complete the thesis work is always short and complex. We have to compile the
research as well as the daily class routine. It can cause bad affect on the quality of work.
Having less time for these kinds of researches can cause lower quality work which is never
required.
2- Real time industrial data
While comparing things with the industrial standards we ought to have data of others. This
data must be up to date and real time. The problem was to take this data which is real, true
and up-to date timely and adequately. Sometime this factor can spoil the whole research.
3- Business secrets
When we are collecting industrial data we need to get some of their internal information,
which might be core information for the business or business secret. Then it became a
hurdle for researcher to go across it.
4- Funds
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Talking of basic research has many limitations but the funds in hand are always important
because it always drives the level of research and its worth.
All of these factors affected this study, starting with time factor. During study time along
with classes and day to day routine work it is always hard to manage. Time is always a
problem for students to manage the study and research work together. Secondly the data
which is required is always either not disclosed or not allowed to let anyone have it. For
industrial data collection and industrial analysis real time data is always important. But
here we were not free to take the data from them. Business secret is one reason to this
limitation. Thirdly funds are very much needed whenever this kind of research is
conducted. Being student funds are always limited.
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