Haleeb Foods Limited (HFL): Corporate Introduction Haleeb Foods Limited, the largest Dairy Processing company in Pakistan,

is the first dairy unit to acquire ISO 9002, HACCP and ISO 14000 certification. Haleeb Foods is committed to satisfy its consumers with wholesome and healthy food products of the highest international standards.

History:
Haleeb Foods was established in 1986 and its first product was Haleeb milk. Since then, it has continued to provide quality products to its consumers with product and packaging innovations. Other products and their dates of launch are as follows: 1997 Haleeb Asli Desi Ghee 1998 Haleeb Cream, Candia Skimz Milk Powder1999 Candia Milk, Candia Skimz Liquid Milk 2000 Tropico Juice Drink, Haleeb Dairy Queen 2001 Haleeb N'rish Instant Full Cream Milk Pow 2002 Haleeb N'rish Fortified Instant Full Cream Milk Powder 2003Candia Tea Max Dairy Whitener, Haleeb Butter, Haleeb Plain Yogurt,Haleeb Lassi Drink 2004Haleeb Good Day Pure Juice, Haleeb Fun Day Juice Drink, Candia Candy' Up Flavoured Milk 2005Haleeb Cream with Honey, Haleeb Tea Max with Cardamom, Haleeb Labban, Haleeb Good Day (Mix Fruit, Red Grapes, Mango Pineapple) 2006 Haleeb Reshmi Pack, Candia Classic, Skimz Pouch, Tropico Nectar 2007Haleeb Cheddar Cheese Haleeb Foods is Pakistans number 1 and fastest growing packaged Food Company. A sof fiscal 2006, its annual turnover is Rs.9 Billion. International Certifications: HFLs products are made with great care, and marked with our quality seal of recognition. HFL is the only dairy company in Pakistan that undertakes 21 careful qualities control tests on every portion of the milk collected by collection centers. Haleeb Foods is the only food company in Pakistan that has the following international certifications of quality and prestige: HACCP (in process controls for safer products) ISO 9002 (better quality for greater customer satisfaction)

ISO 14000 (environment-friendly operations) Products: Haleeb Asli Desi Ghee: Haleeb Asli Desi Ghee is obtained from pure milk through the traditional procedure of heating butter slowly. Haleeb Asli Desi Ghee is free from all artificial ingredients; it has pure and natural taste and is nutritionally preserved. It comes with 1 year shelf life. Dairy Butter: Dairy Butter is the best natural source of Vitamins A & D for everyone, and by far the ideal way of starting yet another busy day. It is rich in its taste and revitalizes your energy for a long tiresome day. The Premium Cream: The premium cream processed hygienically from pure fresh milk, Haleeb Cream isluxuriously rich in its thickness and nutritional value. It promises the richest assortment of tempting toppings, delicious desserts and creamiest coffee with its unique taste, also great for eating with bread etc. Packed in 6-layered Tetra Pack Brick Aseptic packaging and has a shelf life of 6 months. Dairy Plain Yogurt: Dairy Plain Yogurt meets the highest quality standards and gives consumers unmatched quality, freshness and taste with every spoonful. Offered in 450g, 200g and 900g packing, with a freshness seal that keeps the product attributes fresh throughout its life. Haleeb Liquid Tea Max In tune with the Haleeb Foods tradition of providing consumers high quality and valueadded products, Haleeb Tea Max is the ideal choice for all tea and coffee lovers. Tea Max is special milk that provides a rich taste in your beverage. It is packed in a 6-layered Tetra Pack Brick Aseptic packaging and has a shelf life of 3 months. Haleeb Powder Tea Max: In tune with the Haleeb Foods tradition of providing consumers high quality and value-added products, Haleeb Tea Max is the ideal choice for all tea and coffee lovers. Tea Maxis special milk that provides a rich taste in your beverage, carefully packaged in a safe and hygienic pouch. Haleeb Cheddar Cheese: Haleeb Foods makes a new addition, Haleeb Cheddar Cheese, to its healthy and wholesome product range. Discover great taste, premium quality and the power of vital 3in every recipe made with Haleeb Cheddar Cheese. Vital 3 is the right combination of calcium, protein and vitamins in Haleeb Cheddar Cheese, which acts as a source toenhance the brainpower, especially for growing children. Haleeb Cheddar Cheese is specially made with Halal ingredients at the state-of-the-art dairy plant conforming to international quality standards. And for the first time in Pakistan, it is also offered in customized 2 slices pack. The product is sealed and packed in airtight packaging, which keeps the product fresh and tasty. Haleeb Good Day: Haleeb Good Day offers consumers a range of 100% pure juices, without any added sugar flavors or preservatives. For consumption absolutely anywhere and anytime, Good Days four premium juices (apple, red grape, orange, and fruit cocktail) give you the absolute delight in taste, and revitalizes you at the same time. It is packed in a 6-layeredTetra Slim Pack Brick Aseptic packaging with easy opening.

Haleeb Milk: Consumers everywhere know that only Haleeb Milk makes the best tea ever because of its thickness. Haleeb is pasteurized, homogenized, and standardized pure UHT milk of the highest standard with 3.5% fats and 8.9% solid non fats. It is Haleeb Foods premier brand, and the choice of quality-conscious consumers who only go for the best. Packed ineasy to open, 6-layered Tetra Pak Slim Brick Aseptic packaging, it comes with a 3months shelf life The first process in supply chain is supply chain stages. HFLs supply chain process entails the five basic stages of
Supplier 2. Manufacturer 7.Distributors 8.Retailers 9.Customers

The process of supply chain stages that is being by milk suppliers both processed likeHFL and a traditional milkman can be vaunted with the help of this diagram:

Brief description of all these stages tailored by HFL Limited in its supply chain is asunder.1. Suppliers: HFL have two types of core inputs that are provided by numerous suppliers from all over the Pakistan. These inputs include: Milk Fruits We will describe about the supplying process of both of these inputs one by one. Milk: First we will describe about the procedure that HFL adopts to get the supply of milk from all over the Punjab.HFL have three types of different of milk suppliers. They are Large Farmers like dairy farms Small Farmers Milk Man. Recently, HFL have 428 Milk Collection Centers in Punjab, where the milk from approximately 200000 dairy forms is collected. These all centers are equipped with plants titled as Chillers where milk is stored for very short time period before the transportation to production facility. First of all, milk is supplied by all three types of suppliers to HFLs collection centers on daily bases. A dedicated Quality Team carefully examines the milk and immediately stored into a Chiller if it matches the required standard of HFL. There are four types of Chillers as far as their capacities are concerned. These capacities are of 1000, 1500, 1800and 2300 of litters, which are equipped according to the quantity of milk that is received at particular Milk Collection Center. It is essential to make milk chilled up to 4 degree grade for strengthening its quality life. After that, it is immediately dispatched to the manufacturing plant if it is located at the distance of 3 to 4 hours drive. In case, the production facility has longer distance from Milk Collection Centers, HFLhave located 18 bigger plants, known as Plate Heat Exchangers (PHE) in 18 different. Reaps of Punjab. Milk from collection centers is brought to these plants, where it is chilled again through liquid ice in -15 degree grade, then loaded on trucks, sealed by plant manager and transferred to production facility. Plat Heat Exchangers and Chillers are Equipped are equipped in following areas: According HFLs management, companys vender selection and procurement is the most critical stage in entire supply chain management process. For this, HFL have dedicated a procurement

team of highly competent and skilled people, which performs four basic functions. These functions are:

1. Agro-services:
This team includes veterinary doctors and agriculture specialists, who visits village to village and dairy forms, examines the animals and provide them medical treatment if needed. They also give farmers free suggestions regarding animal husbandry practices, fodder cultivation, veterinary care and breed improvement. This process really helps HFL in selecting the supplier of prime quality milk.

2. Engineering:
This is a team of engineers which fixates plants, chillers in the selected areas for Milk Collection Centers. They also execute daily affairs regarding the maintenance and repair of plants and machinery in collection centers and PHEs. 3. 0preation This team oversees the daily operations at collection centers and PHEs. It also coordinates the activities of agro- services and engineering teams.

3. Quality:
This team examines the quality of supplied milk at all collection centers to ensure that only standardized and nutritious milk is being supplied. HFL has a strict quality policy regarding intake of raw milk. At every PHE meticulous quality tests are conducted to ensure that only fresh milk of the prime quality is accepted at the plant premises. The internationally recognized tests are used to check for: Adulteration Microbiological contamination Adequacy of nutritional contents Fruits: The process of getting the supply of fruits is quite different than milk as it is influenced entirely by seasonal factors. Basically HFL is offering three juices flavors that include: Orange Mango Grapes For these different types of fruits, HFLs chosen areas are Sargodha, Multan and Chaman for Citrus, Mangoes and Grapes respectively For the purpose of getting supply of these fruits, a manager of visits in the determined areas and collect the samples from different farmers, which are dispatched to head office later on for the approval. After the approval is received, a team sets up a camp in a central town of city and offers auctions among the farmers whom samples are approved by quality management. The lowest offer is accepted and purchased. If the required quantity of fruits is not fulfilled, team manager persuades other farmers to sell their stock at pre-set lowest price. Another most important supplier HFL is Tetra Pack, which provides the company packing material that is necessary to maintain the quality and standard of its milk, creams and juices for an appropriate time period.

2. Manufacturer:
Recently, HFL has two production facilities where all processes, from preparation to quality assurance and to packaging, are undertaken employing state-of-the-art technology and equipment. These facilities are situated in the districts of: 3.62 km Yar, Khan Bhai Pharoo 4. Rahim Due to insufficient financial position and comparatively lower demand than past, only the facility of Bhai Pharoo is open, which is not being fully utilized too. These both facilities can produce 1.4 to 1.5 million liters of milk on daily basis if fully utilized. HFLs production process is categorized into four stages that are performed indifferent sections. First stage commences when a team of quality control management receives the trucks arrived from PHEs. After their approval, milk is passed to Standardize and Pasteurize Department. In Pasteurizing process, total quantity of milk is divided and sent to different assembly lines according to planned target for the production of different dairy items like UHT milk, creams, powder milk, yogurt and tea mix. Whereas in Standardization process, different ingredients are added into milk, which are essential to produce quality, prime and nutritious milk according to Recommended Dietary Allowances (RDA).A 250 ML glass of Haleeb Milk contains the following percentage of different After Standardize and Pasteurize, milk is passed to Ultra Heated Technology (UHT) function, where it is heated in the temperature of 90 to 110 degrees. This process increases the shelf life of milk up to 90 days without any lose in quality, standard and taste. In the last stage of production process, milk and other products are packed in different sizes of packs and stored in facilitys warehouse for a particular time period that should not exceed from one week, as targeted by HFL.

3. Distributors:
HFL have very strong contract based distribution network in all over the Pakistan with a motive to be very close of its big markets that are Lahore and southern Punjab. HFLs warehouse structure is divided on the bases of Divisional Categorization, where all big divisions like Lahore, Karachi, Rawalpindi, Gujranwala, Faisalabad, Sialkot, Multan, Rahim Yar Khan And Peshawar are covered with 2 distribution center, whereas small divisions are located with single distribution center. Capacity of all the warehouses varied in between 500000 to 1000000 liters of milk and juice. Decision regarding the capacity is depended on the market demand and delivery lotto each warehouse. All the warehouses and transportations are controlled by third parties, which are acquired by HFL on rent.

4. Retailers:
HFL delivers its final to products to ultimate customers through an intensive retail store chain both in rural and urban areas of Pakistan. These retail stores include Convenience Stores, which can be found even in each and every Street, as well as big shopping mall chains like Makro, Metro and Hyper star in metropolitan areas of country. All of HFLs goods are placed in shelves for customer pick-up HFL pays Slot-n-Fee to acquire shelf space in big shopping malls and the

owners of convenience stores are offered discounts, schemes and gifts to build and retain healthy relationship for long span of time. HFLs marketing teams are obliged to visit all markets on regular basis and explore Demand and peoples purchasing habits. Sales staff, in the response of that reports, directs the distribution centers manager about how much, which type and in which sizes of HFLs brands will be allocated in each market

5. Customer
The most important stage of any supply chain management process is its customers, for which all Pre-described stages integrate with each other to get the optimal results that are necessary in fulfilling customers needs. Basic target market of HFL is households and families both male and female living in all the rural and urban areas of Pakistan, who wants to get the high quality and standardized packed milk for home consumption purpose. For this purpose, HFL offer its milk, cream and juices in different sizes and prices, resulted people from all classes and income backgrounds can acquire HFLs products. HFLs basic aim is to serve the people from all status through prime quality products.HFL has very strong market as far as its business to business customers who include restaurants, hotels, Ice cream Manufacturers and sweet/milk shops are concerned. Besides this all, HFL also launched a toll free telephone number for its customers to receive valuable suggestions and comments regarding quality, taste and variety of products form its customers. Customers can access to company through its Care Line080013500 at any time.

Supply Chain Cycle Views:

The pre-described five stages of HFLs supply chain stages are integrated into following four cycles, in which an exchange of information, products and funds occurs between the buyers and sellers of each cycle. These cycles include: Procurement Cycle Manufacturing Cycle Replenishment Cycle Customer Order Cycle Brief description of the procedures in which all these cycles are performed by HFL is asunder. Procurement Cycle: Procurement Cycle occurs between suppliers of milk or fruits and HFL itself. HFL have established a Planning and Forecasting Department where the demand of each market is estimated on weekly basis. These targets are disseminated to all functions within the company. Procurement Department, in the response of that plan, sets out its targets of milk collection. For this purpose, staff of each Milk Collection Centers goes to farmers and dairy farms and tells them about the quantity of milk that will be needed during next seven days. These teams also explore the availability of milk and prepare a feasible report whether the targets will be

achieved or not. Their reports are mailed to Head Office, where the planning about alternative sources is done, if any shortage from supply side exists. HFL has a policy to receive milk on daily basis and make the payment just after the supply. Since milk is collected after watchful scrutiny, hence any quality lose is not imposed on suppliers and considered as companys liability, this results in no return to and refund from farmers to HFL. Manufacturing Cycle: This cycle happens between HFL and its dedicated distributors. First, distributor tells HFLs head office about total capacity and the number of products he will need to meet market demand. These orders are responded how and when the products will be delivered to distributors. Payment is made by distributors as scheduled. In case of any defect, items are returned to HFL with refunded sum of money.

Replenishment Cycle:
In this cycle, HFLs products are delivered to convenience stores and shopping malls from distributors on weekly and bi-weekly basis, according to quantity sold by them. For this purpose, active sales teams go shop to shop and receive orders from shopkeepers. On next day, distributors deliver goods to them. Payment and repayment is always made on the spot in case any defected items are returned.

.customer order cycle

Last stage of supply chain cycles is customer orders, when HFLs customers purchase desired products from retails stores. Customers are educated about the availability, variety and price of HFLs products through intensive media campaigns in which both indoor and outdoor advertising sources are used. In case of any genuine complaint from customer about the quality or taste of products, they are replaced immediately.