SHEZAN INDUSTRY

2013

SHEZAN INDUSTRY

Shezan industry 5/27/2013 1

SHEZAN INDUSTRY

2013

SHEZAN INDUSTRY

2013

Submitted to:

Dr. Sajid Mehmood

Submitted By:

Amina shehzadi

Course Title:

Industrial Biochemistry

Course Code:

Bch-410

Registration no:

09010660-032

Date of Submission:

27th May 2013

Semester:

bs(hons) 8th

 Introduction:
SHEZAN was established on 30 may 1964 in joint venture with ALLIANCE INDUSTRIAL COPERATION OF USA. It was first engaged in citrus fruit processing and bottling project. In 1971 the founder of Shezan MR SHAHNAWAZ bought all the shares of Shezan from the permission of government. It is the international known company. They are engaged in the imports and exports. Export unit is at Karachi it was established in 1981. It is now ISO 9001 & 2000 certified company.

Efficency and effectiveness of company:

The company has the strict eye on the efficiency an effectiveness of the work they are performing.

Efficiency:
The company is able to produce the 380-425 bottles per minute. There are automatic plants. They are working on 3 shifts every shift comprises of 35-40 workers. It is their efficiency because they are producing the large amount of filled bottles secondly they have limited number of employees so it is not difficult for them to hire the new workers with in short notice.

Effectiveness:
They are meeting the consumer needs and requirements. They are covering the full demand of the consumers because of their high production capacity. Not rely on this they are also fulfilling the needs of their exports so we can say that they are working effectively and efficiently.

SHEZAN INDUSTRY

2013

Organizational hierarchy:
The SEHZAN INDUSTARY Hierarchy is given as under.
CHAIRMAN

CHIEF EXECUTIVE

G.M DEVELOPMENT EXECUTIVE DIRECTOR Quality Control Manager Deputy Quality Control Manager

Deputy Officer Director Production Director Marketing Director Finance

G.M.Production

G.M. Marketing

M.Finance

M. Account

Manager production

Area Sale Manager

Account Officer

A.P.Manager

Sales Staff

Other Staff 5

SHEZAN INDUSTRY Vision statement of company:

To be known as leader of quality products in the region. Dedication to quality is a way of life at our company. In its activities the company will pursue goals aimed at the achievement of profitable business .these results will be derived from the dedicated efforts of each employee in conjunction with supportive participation from management at all levels of the company .To pay its role in the economic development of the country and to enhance quality of life of its people

2013

Mission statement of company:

Our mission is to provide the highest quality fruit and vegetable related juices and products to retail and food services customers. We will accomplish this by maintaining a tradition of pride in our products, growth through innovation, integrity in the management of our business and commitment to team management and quality improvement process.

Product Range:
Shezan is producing a variety of quality products. Shezan is largely considered as market leader in fruit and vegetable processing industry. Shezan has an edge over other with its own fruit farms. Currently Shezan is giving tough time to other fruit juice manufacturers due to its quality and huge export volume as well as capturing local fruit juice market where it has competition with Nestle and Haleeb.

SHEZAN INDUSTRY
Products can be divided into the following:

2013

Types of Products
Local Consumer Products Exports

Local Consumer Products:

Following are the major products that Shezan is producing currently: 1- All Pure

2- Juice Bottles

3-Regular Juices

4-Twist

SHEZAN INDUSTRY

2013

5-Syrups

8- Sauces

6 -NR-Bottles

9- Jams

7-Vinegar

10- Quench

SHEZAN INDUSTRY

2013

11- Squashes

12- Mango Nectar

13-Pickles

13- Ispaghol

SHEZAN INDUSTRY

2013

DEGREE OF CENTRALIZATION

EMPLOYEE TOP MANAGEMENT CONTROL CENTRALIZATION HIGHER LOWER

Explanation
The unit in Hattar is based on the concept of centralization. As the top management that is General manegar is all in all for all the operations and he has full control over his employees.

Process of making:
Fruit juice production procedures involved in fruit juice manufacturing.

Fruit Juice - Production Process Flow

Production of fruit juices is a standardized process and type of technology depends on type of fruits and scale of operations. Initial preparatory processes for all fruits will be similar, as will be the last stages of juice/pasteurization section and packaging, although differences in handling juice composition arise in certain cases due to the nature of the fruit and percentage of pulp involved. Basically, preparation process of Twist juices involves the following steps: Washing and cutting of fruits Boiling of fruit pulp I) Pulp Storage in Tank
10

SHEZAN INDUSTRY
II) Sugar Hopper Pulp and ingredients mixing Syrup Storage in Tank Juice Preparation Juice Storage Tank Filling and Packaging Cooling and Storage

2013

11

SHEZAN INDUSTRY
Fruit Juice Production Process:

2013

After washing and cutting the fruit pulp is separated after that Pulp is shifted to the boiler where it is cooked and shifted to the plate heat exchanger. Pulp is then stored in the pulp storage tank. Pulp is then supplied to the mixing tank in the desired quantity while in mixing tanks; any additives to the pulp are made at this stage before it is pumped to syrup storage tanks. Blended juice is then pumped through pasteurizer; where it is heated to 90oC to inactivate enzymes and living organism. After pasteurization the juice passes through final filtration, before loading it into a juice storage tank. Juice from the tank is ready for packaging Packing:

The juice will be then packed in the quantities 250ml. Packaging is done on imported machinery as it considered being highly sophisticated and hygienic Machinery Used -Fruit Juice Filling & Packaging Line S. No. Machine Capacity Local/Imported

Tetra Pak TBA 19

7500 packs of Tetra Pak 250 ml/ hr

Storage:
Products will be stored in cool dry store before distribution.

Product Shelf life:

Twist Juice in 250ml serving packs have shelf life of less then 6 months.

12

SHEZAN INDUSTRY Raw material requirement:

2013

Raw material required for manufacturing fruit juice are fruit pulp, citric acid, food color, sugar, preservatives and fruit flavors. Although, juice manufacturers use molasses to thicken the juice, this is not a good practice and therefore should be avoided. All raw materials are easily available in the local market, however, fruit pulp is considered to be the principal component of the high quality fruit juice, therefore, its continuous and within the required quantity availability will need some advance planning. Fruit pulp could be purchased from open market or directly from pulp producers, however, it would be safe to sign a contract or negotiate with a pulp producer to insure the availability of pulp before the commencement of production operations. Prices for the fruit pulp have been collected from the market and are given below: Other Raw Material The ratio and utilization of other raw material depends on what percentage of pure juice the unit is going to produce; however, following are the main ingredients which will be required for the juice production proposed for this product. Treated Water 75% Fruit Pulp 17% Sugar Citric Acid Fruit Flavor 8%-10% Preservative Machinery required for the processing of fruit and juice packaging is available both local and imported. Local packaging machinery reportedly give poor quality output especially for fruit juice packaging which is considered to be highly sophisticated and hygienic; hence it could not be done by using local machinery. However, pulp processing and juice production could be done on locally fabricated machinery. Following machinery will be required for setting up a fruit juice plant: o Fruit Juice Pre-Packaging Production Line o Fruit Juice Filling & Packaging Line o Fruit Juice Cooling and Refrigeration Machinery

Machinery requirement:
For the fruit juice production, packaging and storage both local and imported machinery can be used, however, for packaging it is proposed to use imported machinery rather than local machinery which is although a low cost option, yet do not provide good quality and quantity of output.

13

SHEZAN INDUSTRY

2013

Sector & industryanalysis:

Sector characteristics and overview Agriculture sector highly depends on the weather circumstances. God has gifted Pakistan with several varieties of fruits and vegetables. Modern processing and packaging techniques make seasonal fruits and vegetables available all year round to almost all parts of the globe. Tropical fruit like mangoes can be enjoyed in temperate countries. Today, the world horticulture industry is a $77 billion market comprising of the following sub sectors.

Vegetables; fresh or preserved Fruits and nuts; fresh or preserved (excluding oil nuts) Fruit and vegetable juices (unfermented). Spices Bulbs, tubers, rhizomes of flowerings Cut flowers and foliage

14

SHEZAN INDUSTRY Provincial fresh fruits production share is provided below:

2013

Province

% Share

Punjab Sindh NWFP Balochistan

59.6 8.6 6.2 25.6

Swot analysis (according to the company):

Strengths:
Conveniently placed factory Pure and natural products Qualified sales staff Strong financial backup Good distribution net work

Weakness:
Due to high rate of taxes our process are higher Tax evaders sell product on much less prices and retailers blackmail for better profit margins

Opportunities:

Expansion of distribution net work

15

SHEZAN INDUSTRY

2013

Diversification of product Addition of new varieties Modification according to present requirement

Threats:
Discount offered by competitors Low quality food products on cheap prices WTO Less awareness of health Nutritional facts of products with consumer

Conclusion:
According to me after visiting the company and taking information from the market I have concluded that: They are going good but have to improve internal environment They have to improve their distributor sector. They have to make new strategy for the competitors like Nestle They have large capital , so they have to spend more money in the advertising field They have to introduce New flavor In the market They can introduced these twist juices in 1 Liter packing They can introduce these juices also in powder form

16

SHEZAN INDUSTRY

2013

Recommendations:
As I have mentioned that Shezan needs to improve its distribution strategy. Shezan is targeting youngsters as a potential and big market for its twist juice so if company supply directly to the schools, colleges and universities it removes intermediaries and due to high profit ratio caf owners will promote Twist compared to other juices.

Company Owned Distribution House

Schools Colleges Universities

Another important recommendation I want to give is this that Shezan need to come up with a different kind of packing. Juice packing with straw is not convenient for consumer as sometimes juice fell when we insert straw and sometimes some juice still remain in the pack that cannot come up with the straw. To resolve this issue Shezan must introduce packing with cap on it in spite of using straw. Quantity should be increased to 300ml and price should be Rs. 20/-

17

SHEZAN INDUSTRY

2013

18