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Acknowledgement

This fabulous work would not have been possible without the guidance and the help of several individuals who in one way or another contributed and extended their valuable assistance in the preparation and completion of this internship report. First and foremost, our utmost gratitude to Mr. Waqas Ijaz whose sincerity and encouragement i will never forget. We offer our regards and blessings to all of those who supported us in any respect during the completion of this business plan. Last but not the least, our families and the one above all of us, the omnipresent Allah, for answering our prayers for giving us the strength to plod on despite our constitution wanting to give up and throw in the towel.

Executive Summary
Shalimar Cotton Export (pvt) Ltd is renowned name in the textile business; it started its working in 1980 from a small unit of knits in Faisalabad with a capacity of few tons production per annum. It gradually got the success and now it has buyers from all over the world. For me working in Shalimar was a thing of great pleasure as it has best business unit which is dealing with different Departments and processes, besides this having diversified workforce which provides the students interns a real time learning environment. During my six weeks tenure in Shalimar, I have passed a equal portion of my time in each department, in which I have learnt about the Labor policies, ISO certification procedures, Human Resource Information Management System (HRIS) as well as the major Human Resource functions and on the other side I have also learnt about processes they do in their organization and also about marketing strategies. I have pen down all of my experiences in this report. As I am doing my specialization in Marketing and wanted to adopt marketing as my profession so this internship will be very beneficial for me and my career. In my report I have written about the business unit of Shalimar as well as the departments which are playing a major role to make it a successful organization. I have also performed different analysis to get a clear picture about the company and threw light about the company future. In a nut shell, Shalimar Cotton Export (pvt) Ltd is a learning organization, it not only provide a learning platform to its employees but student interns as well.

Table of Contents
Acknowledgement.................................................................................................................................. 1 Executive Summary ................................................................................................................................ 2 Introduction to Shalimar Exports ........................................................................................................... 4 Company Profile ..................................................................................................................................... 5 Introduction ............................................................................................................................................ 6 Historical Prospect.................................................................................................................................. 7 Vision, Mission and Corporate Goal ....................................................................................................... 7 Management Hierarchy.......................................................................................................................... 8 Decision Making Process ...................................................................................................................... 10 Business Units of Shalimar ................................................................................................................... 12 Strategic Business Unit Analysis ........................................................................................................... 14 Industry Analysis................................................................................................................................... 15 Present status of Textile sector in Pakistan.......................................................................................... 15 PEST Analysis ........................................................................................................................................ 18 SWOT Analysis ...................................................................................................................................... 22 Departments of Shalimar ..................................................................................................................... 26 Marketing Mix (4Ps) of Shalimar ......................................................................................................... 38 Product ........................................................................................................................................... 38 Price................................................................................................................................................ 39 Promotion ...................................................................................................................................... 40 Placement ...................................................................................................................................... 41 Conclusion ............................................................................................................................................ 43 Recommendations & Suggestions ........................................................................................................ 44 Learning as an Internee ........................................................................................................................ 45 Limitations during Internship ............................................................................................................... 47 The Effect of Internship on my Future Career...................................................................................... 48

Introduction to Shalimar Exports

Company Profile
Name Shalimar Cotton Export (pvt) Ltd

Logo

Slogan

Where Quality Matters

Established in

1980

Geographical Location

Shalimar Road, OFF Sargodha Road Samana Pul. Faisalabad - Pakistan

Industry Major Units

Textile Weaving, Dyeing, Finishing, Designing, Printing

Number of Employees

2500 Employees

Group Turnover

US $ 100 million

Mode of Business

Business to Business

Business Based

Manufacturer and Exporters

Major Buyer

USA, Europe

Certifications

ISO 9001-2000

Introduction
Shalimar Exports is countrys one of the major export oriented companies which mainly deals with the top quality fabric, home textile and institutional textile. Management at Shalimar believes on the quality philosophy thats why from yarn to the fabric manufacturing and from textile to the garment, in each step quality assurance department is there to verify the quality perhaps this is one of the major reasons of success of the Shalimar in textile sector. Currently it has more than 2500 employees which are currently working in different departments of Shalimar and helping the organization to achieve its mission. Shalimar took its start in 1980 from the small knitting unit having worth of 1,400,000 PKR and now from the figures of year 2012 the company has the worth of 5,000,000,000 PKR. Shalimar Exports comprises of Dyeing, Knitting, Stitching, Woven as well as Embroidery. Evolution of the Shalimar started two decade back and there are several factors involved behind the success story in which the top most is the upper management philosophy particularly visionary leadership of Mr. Ijaz Ahmad who develop this business empire in this age of high competition. Beside this its latest production system, quality philosophy, niche marketing are all there to make it distinct from rest of the other textile manufacturer. Corporate value of Shalimar includes Integrity, constant self improvement through continuous learning, Leadership, Teamwork and Social Responsibility. Shalimar Focuses on four major corporate pillars.

1. Customers 2. Suppliers 3. Employees 4. Quality There are two internal props that are employees and quality through which Shalimar is able to gain and retain the customers satisfaction as well as the suppliers commitments. It is the company which is highly committed to continuously providing superior customer value, worker dignity, shareholder satisfaction and society welfare by following the guiding principles like fulfillment of customer need, communication with vendors, Strict compliance with quality control system, on time deliveries and Career development opportunities for employees.

Historical Prospect
Shalimar was established in 1980 with a single Composite Knit Unit, Shalimar Group has grown leaps & bounds to branch out not only within its core textile business but has also incorporated technology oriented services in its line of businesses. Today the company comprises of Dyeing, Knitting, Stitching & Weaving as well as Embroidery units In this about 33 years from the starting point of Shalimar it achieves different mile stones. From a single composite unit of Knitting and about 200 employees now it has more than 2500 employees in its different unit. The growth of Shalimar is not sudden it took years to reach at this position. However its worth noting that it remains the property of same owner who was the actual founder of the company and still it is under their supervision. The owner of Shalimar is amongst the 20 richest families of Pakistan. So, from the start the financial position of the Shalimar was quite strong and from the beginning of the period it has sound position which encourages it to grow.

Vision, Mission and Corporate Goal


Though in the past years, there was greater downsizing and the major changes at management level throughout the organization but after that from the beginning of year 2009, Shalimar has been able to stabilize in the market. Shalimar was one of the victims of the crisis of Textile sector but it is for shorter period. Shalimar has developed its mission and vision by keeping in view the industry situation as well as the competition in the Market.

Corporate Vision Shalimar Vision statement states that Be the first choice of worldwide buyers and brands to choose us their off shore manufacturing house for their world wide leading products.

Mission Statement Shalimar has quite long mission statement which covers all the components of mission statement like what we are? What we do? And how we do? It states that
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We earnestly and sincerely look forward to satisfying our clientele. We are continuously researching in innovation and the latest technology to keep pace with market requirements. Aim is to produce the best range of fabric and embroidery in vogue. We pay attention to cost effectiveness; therefore we are able to give quality at competitive prices. We pay due attention to our environment and avoid pollution. Last but not least, we abhor child and forced labor.

Corporate Goals The three pillars on which the Shalimar Cotton Export (pvt) Ltd has its corporate structure are 1. Continuous improvement 2. Customers satisfaction 3. Quality of product and system

All these pillars are the pillars of quality system which the organization owns in order to satisfy its customers. Continuous improvement means the process of quality is not still at a certain point, it continuously moving towards the improvement and cant be still to some location, and the sole objective of this continuous improvement is to satisfy the customers need by giving the customer the quality products.

Management Hierarchy
Shalimar Textile Limited is highly autocratic organization in which authority is in some hands that used to run the organization by utilizing their authority. Decision making is there at the top most of the organization and employees find little space to implement their own decision.

Top Management As it is a private limited company so, its shareholders is its family member and the ownership is in the hands of the chairman Mr. Ijaz Ahmad himself. The owners son Mr. Khurram Ijaz is actually own the house of Chief Executive Officer and below him is the Director Mr. Waqas Ijaz who is the brother of CEO and son of the Chairman and really very close to the CEO.

Chairman Ijaz Ahmad

CEO Khurram Ijaz

Director Waqas Ijaz

Middle Management In this level of Management there are the managers and assistant manager or in some cases there are some posting of officers who actually play a role of bridge between the top level management and the low level management. Middle level management is the personnel who are actually working for the organization in practical ground. As I have described earlier that it is highly autocratic organization so middle management usually dont have authority to make the decision even of their daily routine task, they have to go for the head of concerned department or towards the director. Top management usually takes strict action when ever middle management impose its authority and high plenty has to pay by that particular individual. Middle management is that part of management which always remains the victim of job insecurity and any change in the policies of top management can cause them to lose their job. Might be this is the possible reason that efficiency level as well as the motivational level at this stage of the employees remain at the edge of extinction.

Export Manager M. Usman

IT Manager Abdul Qaddose

Finance Manager M.Faisal

Marketing Manager Bilal Ahmad

First Line Management Usually in services department there exist no post of first line manager except in admin department where some clerical posts are there who are supposed to be the first line manager. In production level there exist supervisor posts including the general supervisor, quality supervisor, stitching supervisor etc. People on these posts are responsible to answer the middle management. Middle management acts as a role of bridge between the top as well as low level management. Turnover rate at this level is very small and on the average people work for the organization for 8-10 years. The possible reason is that the risk of job insecurity is very low except in some chances as in the year 2008 there was widely downsizing in the knits and dying units of Shalimar and for those more than 800 workers got fire from the organization.

Decision Making Process


As the organization is highly bureaucratic in its structure and organization culture is also autocratic. Command and control of the organization is in few hands and these few hands are responsible for the decision making and rest of the organization is the follower who used to follow the orders imposed by the top management. In centralization decision making, some time when the thing is to make quick decision than it acts affectively while when in some cases the failure of the decision very serious result.

Shalimar Human Resource Dilemma

In year 2008, Top management decided to start downsizing in two of its units that are Knits and dying, the sudden downsizing was quite shocking news not only for labor level but also at the middle management level. Without taking in confidence to the human resource department, CEO and directors of Shalimar decided to change the policy of gratuity for the employees. This causes a serious curse in the employees and they started agitation in the Shalimar resultantly Shalimar has to close its working for more than a month. The market value of the Shalimar started decline and turnover rate in other units also give rise to 50%.

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Decision making process in Shalimar started from the CEO and director which are called the competent authority in the HR manual. After getting the consensus from the director, CEO issues the order to the concerned head of department. Head of department in some causes study the feasibility of the decision (this happens in few cases) if the decision is feasible than HOD put forward this decision to concerned managers or assistant managers and they implement the decisions and later on the results are being compared that it give rise to the acquired results or not. Here the one of the major role is also the unit manger or admin manger which on actual is responsible for the whole unit. It is more responsible for the administrative problems in the organization rather than the decision making. As it is highly bureaucratic organization thats why decision making power is in few hands, from the head of department, the decisions got implemented to the concerned managers and assistant manager from where it proceed further to the implementation on real grounds. There is a larger gap exist between the decision making body and the implementation of the decisions thats why most of the decisions of management dont get the success as it should or you may say that the policies in Shalimar cannot implemented with its real soul rather than it got impose on the employees thats why it does not lead to the required results. In few cases it leads to the negative phenomenon. In few cases it has also some positive aspect as there is centralization of command so the implementation of decision is not a big problem and people agitate fewer as compared to those textile mills in which there are decentralized decision making bodies. Beside this management can make a quick response to the external forces and this may lead to the flexible decisions.

Decision making bodies

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As you can see here in this figure the decision making body at Shalimar Cotton Export (pvt) Ltd comprises of the competent bodies in which CEO, Director and Admin Manager are there to make the decisions and no other stakeholder is there.

Business Units of Shalimar


Shalimar Exports is a well known name in the textile industry. It was established in 1980 since then Shalimar Exports work in this field of textile to form innovation and exploring of new efficient and effective productive ways to generate chic and classy products for its billion of customers all over the world. Shalimar has been an expert and biggest producer of Fabric and Home Textiles at international level along with Knits and Woven having an annual turnover of $100 million.

They have been working on the path of latest productive systems and technology alongside its implementation that has moved them forward and has opened new areas to move high in the field of textiles. Buyer Satisfaction is their ultimate goal. Keeping in view their performance besides aggressive marketing they have rigid guidelines on the Quality Control, on time delivery and satisfaction of the buyers.

The same passion and entrepreneurial spirit on which the Company was founded on more than 30 years ago continues to drive their ongoing success. Shalimar is a complete vertically integrated company; all its requirements are under one roof to serve the demands of todays markets and to give the buyers the best service possible. Registered as Shalimar Exports (PVT) ltd. and is being headed by Mr. Ijaz Ahmad. Today the company comprises of the major five units and all of these units have state of the art production system. These major units are Weaving Dyeing Finishing Designing Printing

All these units work cross functionally while on financial gains and losses each unit is

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independent and have no impact on the functionality of other units. I will briefly explain about the working of this entire unit.

Shalimar Weaving With over 25 years of experience in the manufacturing of woven fabrics, commencement of woven garment was a logical extension of business. Shalimar woven was established in 2002 as an independent unit to cater for the growing global demand for high fashion home textiles. Due to a strong technical and professional backup, at present, Shalimar is producing 8000 bed sheets per day and in the near future, management plans to enhance this capacity to 15000 sheets per day.

The Weaving unit is fully supported by highly skilled professionals along with stateof-the-art stitching and washing machines from Japan, Italy and Turkey enabling them to produce high fashion products.

Shalimar Dyeing

Shalimar has state of the art machines for dying; there are two types of dyeing are available at Shalimar that are Yarn Dyeing and Fabric Dyeing. For each type of dying different machines are being used in which different type of dyes can be used according to the need of the fabric as well as the demand of the customers. These types of dyes are reactive dyes which can be used to make covalent bond with the fabric, Disperse dye can be used to make a deep penetration in the fabric, Vat dyes and direct dyes can be used to make a overlapping with the fabric. Process Involved in Dying Following are the steps involved in dyeing the fabric 1. Singeing It is the first step involved in the dying process which is used to remove protruding fibers from the fabrics. 2. De Sizing After removing the scam from the fabric, temperature is given to the fabric to remove the size for uniform dyeing (over dry). This process is used to save the fabric from shrinkage.
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3. Scouring Scouring is the step used in the dying process for removing the added and natural impurities from the fabric. 4. Detergents Detergents are being used to remove soil and keep it suspended in Water. So they dont penetrate again in the fabric.

5. Bleaching Again bleaching powder is being used to remove the stains and other dirt material from the fabric or yarn which may remain on the fabric.

6. Removing of color Yarn is usually of off white color when in neutral state. But in some cases some dirt particles or added impurities are there which change its color. For making it neutral and removing the color from it bleaching powder or liquid bleach is usually used.

7. Length & Fineness of fiber After getting the equal lengths and fine fibers, cutting of yarn is being done. Here the process of Dying got completed.

Strategic Business Unit Analysis


Shalimar has different strategic business units and management at Shalimar is well aware that how to use these units strategically. In order to fully analyze the business units of Shalimar that are Weaving, Dyeing, Finishing, Designing, Printing, I have used different analysis which not only give the true picture of the companys different unit but it also gives the depiction of the overall industry analysis in which company is currently working. There are four types of Analysis which I have performed in order to explore the working of the organization. Industry Analysis PEST Analysis BCG Matrix Analysis

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SWOT Analysis

All these analysis have been performed by getting data from real time industry situation as well as the organization. Research articles, news articles, internship reports, manuals are being used in order to effectively analyze the working of the organization. The historical data for the analysis has been taken or maximum 5-7 years back while current data till the august 2009 has been used. Due to lack of availability of financial reports I unable to perform the financial analysis of this organization however revenue as well as cost has be mentioned by available data on websites and other companys documents.

Industry Analysis
According to the ECONOMIST intelligence report of August 2009 for Pakistan the following observations have been made: Despite Government efforts to diversify exports and widen the industrial base, the industrial sector remains dominated by the Textile sector. Textile Sector still represents 46% of total manufacturing and provides 68% of Pakistans Export receipts. The strong performance stemmed from two factors:

1. Increase in import quotas especially by USA, EU and TURKEY 2. Textile industry has invested over US$1.5 billion in new technologies and modernization in the last 5 years.

Efficiency and the innovation in textile is the only hope to get the country out of economic problems. Beside this economic crisis, textile industry is the only industry which is still a source of revenue for the country.

Present status of Textile sector in Pakistan


Though the textile sector of Pakistan is well developed while in textile our country is lacking behind in Textile Engineering Sector, this particular part of the textile sector is underdeveloped and underutilized. Mostly it caters in the form of spares, components for modernization and machines used in cottage or small scale industries. A quick look at the structure of Pakistan Textile Industry shows that most of them are
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cottage industry, small/medium industrial units and few large integrated states of art units. The number of units which fall under each category varies from sub-sector to sub-sector. Similarly the Textile Engineering Units also vary from small, medium and large in size. The Textile Engineering Industry comprises approximately 80% small workshops, 15% medium engineering Units and 5% large Engineering Units. It will not be out place to mention that the large engineering units are in Public Sector.

On the basis of initial survey of Textile Engineering Units (Not complete yet), approximately 500 units are engaged all over Pakistan, employing approximately 50,000 work force which is mostly skilled. Even under the present conditions and without any support, Pakistan Textile Engineering Industry is providing import substitution worth around one billion US dollars. This sector also exports to small and medium Textile Units in Bangladesh, Iran, Sri Lanka, etc. Competition The present Textile Engineering Industry is up against competition from smuggled, under invoiced and miss-declared components, parts and accessories. For example, in case of second hand machinery, there is little or no check and the competition mainly rests on lower price. Machines smuggled especially from China, India, Taiwan are not better in quality but are selling cheaper. A bold initiative is needed which can boost the production as capacity and markets are there, only change in environment is need. However if we look at the Shalimar, Shalimar owns the state of the art machinery which is imported from the Italy and Japan it definitely gives the competitive advantage on its competitors. Due to globalization, there has become a price war between the local competitors also. The textile industries are focusing more on succession planning to get success in future. They are investing in the Research and Development sectors to cut down the costs and to produce a high quality product.

Besides this, Shalimar has to face competition from: o Strong local market o New entrants in international market o Competition from existing customers

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o Economic recession o Taxation changes

Before the current time period in the age of year 2003-2006, the whole industry was in good position in Pakistan and the exports was tremendously improving, international buyers were moving towards the Pakistan as due to availability of quality product on a cheaper rate but after the year 2007, scenario got change and due to a lot of factors Pakistan fail to face the competition from the globalized textile units and resultantly units like Shalimar faces huge losses. Strong Local Market Competition From strong local market the competition has been arising from few companies. These companies are well renowned not only locally but also internationally. In these local companies, Shalimar has been facing competition at different fields like in some cases, knitting and in local market in dying and same is the case with the apparel. The Major competitors are. Masood Textile Mills

Nichat Mills

Crescent Bahuman

Gul Ahmed Textile

Entrants from International Market As Shalimar is doing most of its business international, so international market competition is quite tough and in fact in international competition exists at country level
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rather than at companies level. As the Shalimar is the major textile exporter is the US and European countries, threats of new entrants throughout the globe are quite high. The major threatening countries are: China India Bangladesh Sri Lanka Economic Recession As it is a period of recession and throughout the globe world is suffering from the economic crisis. In such scenario, affect on textile industry is a natural phenomenon. As the major sufferers of this economic crisis are US and other western countries and in case of Shalimar the major part of their exports go towards US and Europe, economic crisis in those countries causes the Shalimar to certain blockage of sales. Resultantly company started suffering from losses. Taxation Change Change in the taxation policies of Shalimar has also causes troubles for textile industry throughout the country. Till the age of 2004-2005 there was a massive growth and in textile business throughout the world were booming but later in the age of 2006-07 government revived its taxation policies which cause a great trouble thorough out the textile mills. Companies were unable to control their costs thats why in international market Pakistan loses its control and other rivalry countries like china, Thailand, India, Bangladesh got in the market.

PEST Analysis
PEST analysis is the analysis which we tend to perform in order to analyze the external as well as the internal environment in which organization is currently working. PEST analysis revolves around the four things. o Political Environment o Economic Environment o Social Environment o Technological Environment

Political Factors There is not only the national politics involved in the working of the Shalimar but
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international political environment has a direct influence on the working of the organization. The changes in political government causes to change the priorities got change and it directly affects the policies, resultantly it has a major impact on the organizations of that particular industry. There are many factors, which tempt the organization with Government. Tax policy Rebate Quota Industrial policy of Government in term of textile manufacturer Subsidies from Government Labor policy

These are the general affects which can have an impact on any industry with the changing in government or political parties. More specifically in textile sector the changing government induce badly to the companies working in that particular industry some of the major impact which due to change in political forces happen are as follows. Minimum Wage Laws International Policies Lack of Interest of Local Government

Economic Factors No doubt that it is the period of recession and about the entire industrial sector got affected from it and in this case declining period of textile sector is a natural phenomenon. Economic scenario in Pakistan and all over the word has several affect on the textile sector some of them are. Economic Recession Pakistan has a mixed economy where there is both capitalism and communism prevailing so the Government intervention in the textile sector is not on the positive side. The government is not providing any kind of incentives nor subsidies. It is constantly levying heavy taxes and quotas. In the crisis of power faced by the country, the textile sector has suffered a lot. The Government did not provide any incentive to the industrial sector in such a time. The textile industries privately arranged their power generators in such an inflationary period. This has increased their expenses too much that they are now unable to run their processes. Shalimar has been one of the targets of such policies also. Due to this, the company has faced an economic recession and has closed its units.
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Pricing of Raw Material Due to increased global demand of cotton, the production of cotton and other fibers is decreasing and this in turn is constantly increasing the price of Cotton. The rising price of cotton has increased the prices of Yarn too much. Yarn is the basic thing for the production of fabric and other products. Shalimar is recently facing this crisis of higher prices of yarn which has deteriorated their financial condition too much that all the Dyeing and Knitting units have been closed. Oil Prices Increase in Oil prices and Yarn prices have caused inflation and Shalimars Weaving and Dyeing units have faced recession period. Whereas, the Fabric unit is recovering from recession and is entering into a new phase of recovery due to an increase in demand of Jeans and its apparel in international market. Devaluation of Currency The strength of the Pound sterling , Dollar as well as the higher cost of imported raw materials have really made a bad impact on the Pakistan economy in this case selling cost is not aligned with the production cost and companies are not earning as much as much they are invested in there.

Social Factors Due to increase in education and technological sector, the buying power of the customers is increasing at a speedy rate. They are becoming aware about the brands and latest fashions. Due to this, they are demanding high fashion at a low price in international market and so the fashion trends are changing at a very fast pace. For this purpose, Shalimars goal is to provide latest fashion trends with continuous improvement in fabric. Besides this, the population of youngsters in foreign countries is increasing day by day and they are demanding latest trends at large quantity and styles. For this, Shalimar has to produce fabrics in bulk quantity by decreasing the rejection rate. To achieve greater quantity, they have to go for latest machinery and skilled staff to produce more and more to fulfill the demands of the international buyers. People are becoming health conscious also and its necessary to focus on the welfare of the employees by providing them a neat clean and a healthy environment to work in. It is
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also mandatory for the company to educate and inform people living near the industrial areas about the environment. They should keep the environment non hazardous.

Technological Factors Technology is also a key sector in term of external environment for garments industry. The technology is working as a substitute for man power with more efficiency. The industrialist has a solid point that it can save cost in terms of:
o o

Error reduction Less labor cost

In order to compete internationally the organization must have to depend on new and advanced technology. Although the technology, which SHALIMAR was using currently, was not very low but there is no end in business.

Government subsidies Government has taken initiative to encourage textile industrialists to install latest machinery so as to introduce efficiency in work. As, textile sector is the biggest contributor in the economy of Pakistan, the Government has planned to spend on research and development sector for this purpose. But yet, nothing has been done exactly due to power crisis and inflation in the country. Use of IT in Management Information System It can be observed that there is an increase in internet use and mobile technology at international level but Shalimar is still not able to communicate efficiently with its foreign buyers through internet. The obsolete office equipment and the poor availability of the internet connection are suffering their orders. Shalimars Management Information System

(MIS) Department is not competitive enough to upgrade its website contents also. They do not have the facility of mobile communication system. They are just dealing through online service by either emails or through telephone calls. But in this competitive and global environment they need to move to mobile communication to attain growth in E-Commerce.

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SWOT Analysis
Strengths The internal Strength of the company which its own in the form of human resource, technology, brand name can be a major reason for its success in this highly competitive environment. Strong and Prominent International Image Shalimar Cotton Export (pvt) Ltd is a well known and a well established company in the textile sector. Shalimar has set up different contacts with the international buyers over the years and this clearly is strength for this company. That it is not easy for a company to come and straight away make a reputation and gain immediate attention of the buyers or customers, it takes time and Shalimar has taken a long time to make itself a stronger company by adopting successfully retained its old customers but has also grabbed the attention of other prominent brands international standards in its products and processes. The Company has not only. Latest Technology This is a very vital aspect of Shalimars success in the export of textile products such as Embroidery. They are using the latest machinery and equipments in their production. The embroidery unit is well equipped with latest technology equipments from USA, Belgium, Germany and Taiwan thus making Shalimar a strong hub for quality product making. Now the new unit of Shalimar fabrics is being equipped with the latest facilities and the state of the art machines, which would make it possible to produce 2.7 Million meters of fabric daily. This is certainly not possible without latest techniques of production. Competitive Workforce Shalimar is fortunate to have experienced and well qualified employees in all of its production and service departments. Production departments have hired well experienced staff that is specialized in their work. For example the technical manger and production manager have experience of over twenty five years which not only make them specialize in their work but also make them loyal to the company. In the same way, the service departments have people with Masters Degree from well reputed universities and colleges. Variety of Products To compete in International Market by retaining their potential customers, Shalimar is producing a wide range of products for gents, ladies and children. Fabric unit is producing 400 different types of good fabric in different colors. Latest equipments have been installed

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to achieve this level. The weaving and Dyeing units which have been closed now were also equipped with the latest machinery to produce export quality fabric.

Creativity and Innovation Shalimar understands and realizes that the door to success lies in the new ideas so for this purpose they have always encouraged creativity and innovation by adopting the scientific management system. MIS Department was being set up independently and was authorized to convert the manual store system and production processes into automatic system to speed up the work. Research and Development for every unit was also established to promote innovation through continuous improvement. Other Strengths Management Information System ISO Certified Company Diversified environment

Weaknesses There are some fields in which company is lacking behind in this highly competitive environment. The weaknesses of the company are Production capacity The production capacity of Shalimar is lower than the production capacity of some competitors. The major reason is the limited production area and less storage space. Lack of Training and Development Training and development is an important aspect of an employees daily working. At times, in Shalimar the new employees are not given the proper training. For example, the new staff at Accounts and finance department was not given the required and proper training for the usage of accounting software Oracle Financial, due to which they were hesitant to use that program. As a result the efficiency of work was reduced. Boredom Office Environment The employees have not been provided with the latest and upgraded system to work
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with. They have to work with the obsolete equipments which not only decrease their work efficiency but also frustrate them. In this way, they spend too much time on small tasks and waste their energy in worthless tasks. Lack of Culture of Intrinsic Reward One of the biggest flaws that employees complain about is that their efforts are not being appreciated and rewarded. This is the most depressing thing about the organization that lower downs the morale of the employees. It has been observed that the employees are given tasks one by one but they are not being recognized for this. The bosses do not spare them for some time neither have a talk with them regarding the completion of their tasks. Other Weaknesses Lack of team work Lack of continuity of Policies Too much Specialized Jobs

Opportunities Shalimar and other organization like Shalimar has a lot of opportunities, if it properly utilizes these opportunities than it will be the top most organization.

New Emerging Markets Shalimar gives opportunity to those people especially who have the ability to work individually. The organizational culture in Shalimar is based upon individuality that has made the employees to work in their own direction by not involving in group tasks.

So, the people who work with full honesty and commitment can achieve greater levels of success and appreciation.

Bright Local Market Shalimar is currently working as an exporter for US and other European countries. It is not currently working on the local market which is also a bright market. People trends are changing and are moving towards brands. There are very successful brands which are currently working at local level. In these local textile brands are Gul Ahmed

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Chenone Saphire polo So, Shalimar should also thinking to go for such opportunities if it really wants to compete with in this highly competitive environment.

Threats Beside these opportunities which Shalimar and other organization working in Pakistan have, they have also face a lot of threats while working in the Pakistan.

Non-supportive government There have always been risks involved in the textile sector of Pakistan and so Shalimar has to face the same threats. Changing Government policies and inflation in the country is creating problems in the production of garment.

Shalimar has to put out itself from every crisis without any Government help. Even in the power crisis the Government is not providing any favor to textile sector to run their business. The company has to arrange private energy sources to keep themselves alive in the near future which would cost them a lot.

Government Policies The entry of strong competitors in international market like China and Taiwan, there is a possibility that the Shalimar could lose its market share in if it not lowers its price. These countries have stride at a rapid pace over a few years and many of the international contracts are going from Pakistan to these two countries. They are offering far less price with huge amount of creative designs due to which the buyer is somewhat attracted. Its a threat in the long run. Growing Competition Due to globalization, there has become a price war between the local competitors also. The textile industries are focusing more on succession planning to get success in future. They are investing in the Research and Development sectors to cut down the costs and to produce a high quality product.

Political uncertainties The political situation of the country is quite unstable this causes to lose the
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confidence of the investors. Local as well as foreign investor hesitates to invest in the country. Beside this political situation of the country, changing in the government causes a lot of problems like Late deliveries Higher lead time Instability of Political policies Changes in taxes and tariff

These few and many other political threats are faced by the textile industries all over the country and getting affected of Shalimar is a natural phenomenon.

Free Trade Agreements There are a number of reservations about free trade agreement of textile companies working in Pakistan. The cost of production of neighboring countries is much lesser than the Pakistan and this create a hurdle for Pakistani entrepreneur to survive in international arena.

Departments of Shalimar
The departments which are of strategic importance for Shalimar Cotton Export (pvt) Ltd. are Human Resource Department Merchandising & Marketing Department Finance Department MIS Department Export Department Production, Planning and Control Department Quality Assurance department All these departments are of strategic importance and work cross functionally, the working of one department affect the working of the other department and in this way the whole corporation work. On broadly basis the Shalimar has been divided on two grounds i.e. services departments and production department. In services department, there are four further departments that are services and compliance department, admin department, human resource department, MIS department.

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While in production department, there are further lists of department which are usually there to support the production of the organization. In production wing the important departments are merchandising department which is responsible for selling of the production, production planning and control department which is responsible for planning of the production and the raw material as well. Quality assurance department is also there to ensure the quality of fabric. Purchase department is there to ensure to provide the accessories for the production like fabric and stitching material etc. For international client export department is there which ensures the international boarder policies are being followed by the organization and the violation of these policies are not being done. In this way, the whole corporation work. In my further discussion I will briefly explain all of these departments.

Human Resource Department


Shalimar is one of the leading manufacturing units in Pakistan that has a large number of employees. Keeping in view the present trend in the field of Management as well as the requirement of the quality certification organization Shalimar separately developed its human resource department which was working under admin department earlier. The Management at Shalimar believes that it is very important for every organization to develop a world class Human Resource department to harness the skills and knowledge of their people to achieve excellence in product, procedures and quality systems. The Human Resource Department at Shalimar has been formed at the end of 2006 to accomplish international quality standards at every level. The department is providing support to top level management in recruitment, selection, compensation as well as in the field of Training and Development. The functions which Human Resource departments currently perform at Shalimar Cotton Export (pvt) Ltd. are As the major time period I have passed in Shalimar was in human resource department so /I have a lot of knowledge about this particular department of the company and in this report will give you a more detail look of this department as compared to the other
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Recruitment & Selection Compensation Management Training and Development Performance Appraisal

departments.

In

broader

view

human

resource

department has not most modern practices which support this department in order to get its real objective. Management usually took this department as an expense and cost on the organization. In order to cope with this expense department, a lot of other responsibilities have also been allocated to this department which is actually not the responsibility of this department but the incumbents of HRD must be obeyed. For example a HR manager has nothing to do with payroll but at Shalimar HRD and pay roll work cross functionally and provide support to the pay roll department as to decrease the burden from the payroll department. Human Resource Department Philosophy Shalimar Group has formed HR department in recent years so as to provide a sound and competitive human capital. They believe that their HR would provide a core competency through training and development of new and untrained employees in a more efficient way. Human Resource department of Shalimar Cotton Export (pvt) Ltd. has been developed to deal with the intellectual capital, emotional capital as well as the social capital. Intellectual Capital Intellectual capital means to develop the specialized knowledge and skills in the employees by keeping in view the future needs of the organization. Emotional Capital Training the employees particularly at managerial level for developing the future leadership in which the characteristics like self confidence, ambitious and courageous workforce need to be develop. Social Capital HR department core philosophy is to develop such a workforce which has a long term relationship with the organization. Shalimar believes on life time employment policy thats why it awards benefit on the job as well as after the job i.e. retirement benefits.

HR Objectives Following are the objectives of Shalimars Human Resource Department to accomplish its goals and to achieve core competency. Committed and Dedicated workforce
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Training and Development Compliance with Labor Laws Record Bank for future Hiring

Functions of Human Resource Department Human Resource department at Shalimar Cotton Export (pvt) Ltd. perform about all the important functions regarding the human resource. Usually the best of the practices are being used in the Shalimar regarding the Human Resource. The major functions which are being performed in the Shalimar group are

Recruitment Selection Training and Development Performance appraisal Retaining and Rewarding

Merchandising & Marketing Department


Merchandising is a global process through which products are produced, sourced, and sold all over the world. Merchandisers must have leadership for the value chain (developing, distributing, and selling products) in a global market. Merchandisers need to see "the whole process" from product innovation through consumer satisfaction. This requires logical thought processes such as problem solving, decision-making, and resource management. It is a critical need for merchandisers at Shalimar, which has strong business background, yet it also stays focused on fashion or other products that undergo continuous change in the consumer-driven market.

Objectives Here, the merchandising department is mainly divided into accounts buyers. This shows that there is individual or a team of merchandising, who takes care of a specific buyer or account. Merchandising serves the following purposes at Shalimar:

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Gateway It acts as a bridge between buyer and the company for communication. The success or failure of getting customer as well as successfully deliver the product depends upon the Merchandising department.

Marketing Merchandiser has to market his company in order to increase his customers and generate more and more revenue. It is the single department who are actually producing the revenue for the organization and rest of all the departments are used to spend the money. Costing Merchandise makes a cost sheet to see if the product is feasible or not in terms of cost and revenue. Merchandiser has to calculate the cost of products including all wastes and accessories to tell the final cost of the product to his customers.

Negotiation Merchandiser must have a negotiating power on the price to convince his buyers on specific price to lessen the chances of loss. Sampling Merchandiser must send the sample to his buyers for confirmation and satisfaction. At this stage, Sampling is also done to avoid loss. Information Management As merchandiser has direct contact with his buyers so the buyers have to give information about their products requirements and if there is any problem the merchandiser has to inform his buyers in return. Implementation It is the responsibility of merchandiser to prepare the product according to the requirement of buyer.

Process of Merchandising At Shalimar Cotton Export (pvt) Ltd, the merchandisers are responsible for carrying out the merchandising activities, it is not a straight forward one step game rather it is a complete process which started from initial inquiry of the customer and end at the delivery of
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product. Initial Inquiry An initial inquiry may be a simple fax describing briefly the target price and product or it may be detailed package from a buyer describing in detail.

Initial Research & Development Initial Research & Development or preliminary discussion is carried out with research and development department to see if the company has the capability to produce the product in terms of man and machines.

Costing Merchandise makes a cost sheet to see if the product is feasible or not in terms of cost and revenue. For this purpose a cost sheet is prepared, keeping in view the styling and accessories to be used on the product.

Approval After the cost sheet is prepared it is presented to the CEO or any other approving authority for approval. The approval is mainly granted keeping the profit in view. Merchandising process continues if a specific cost sheet is approved.

Order Booking Status (OBS) Once an order is received it is mentioned in order booking status. OBS is extensively necessary to maintain the track of records, capacity optimization, and planning further through OBS strategic planning is also carried out. It helps in calculating cash in and out follow. OBS is normally kept confidentially and it is only accessible to predefine personal.

Sampling It is the complete process through which sampling approvals are taken. It starts from a proto sample and ends at shipment sample depending on the buyer as different buyer have different sampling requirements. Samples may be paid or free depending on the category, quantity, contract with the manufacturer.

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Information Management & Forwarding All information received from the buyer is forwarded to the relevant department in the factory as to PPC package, checklist, accessories etc. information is provided which in terms is processed by the PPC and is forwarded to the relevant departments to start production.

Buyer & Country Dependence It is always better to establish an optimum buyer that dependence on the buyer be balanced so that just dependence on the buyer is also avoided and on the other hand dependence on too many buyer is also not recommended.

Updating of OBS (Order Booking Status) OBS could Management Information System lead document in case it is not properly updated. Special checks need to be maintained for proper upgrading of the OBS ad if data on the OBS is incorrect capacity and management could be seriously affected.

Quality Assurance Department


The purpose of quality assurance department is to provide the customers with quality, satisfactory and reliable testing services. The strategy is built around plan, do, check and act (PDCA), and is reflected in the Shalimars quality oriented system. To achieve high quality standards, management is continuously investing in up gradation of skills, system and testing equipment. It also believes in training and team work for successful implementation of high quality standards. The slogan of the Shalimar is to buy quality, make quality & sell quality. At Shalimar, quality is first priority for getting customers satisfaction. It is cornerstone of the success today and tomorrow.

Quality Assurance The proactive quality assurance system at Shalimar aims to get it right the first time by rectifying any discrepancies during the course of the process. All the steps involved during production are documented with continuous feedback into the production process allowing it to develop further.

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The main component of quality assurance department is specifications of end product and its quality criteria Documented instructions and the methodology to be followed. Performance analysis and recording system at every stage to minimize reliance on endproduct testing. Quality is a combination of Skills, System & Equipment so and continuously investment in training our personnel, revising & improving our processes and systems and upgrading our testing equipments. Quality checks are made at every stage of the manufacturing process starting from raw fiber to delivery of final product.

Finance Department
Finance Department at Shalimar Cotton Export (pvt) Ltd. is an active body of the organization having responsibility not only to provide the financial information about the company but also facilitate the worker in financial services internally in the organization. It works cross functionally in the organization with different departments. It also provides the up to date information regarding the financial position as well as a complete review of revenue and expenditures of the company. As Shalimar is a private entity, so providing record of their financial assets is not obligatory on it.

Functions of the Department o Maintenance of books of accounts and preparation of financial statements for the company so that to be reviewed by the internal auditor of the company. o Coordination and facilitation for Business planning and budgeting function in the company and periodic reporting to the management and to the Board. o Policy & operations related coordination with Management as well as with the banks to ensure smooth working o Maintenance of employees accounts/ investments and execution of payments and receipts. o Maintenance of accounts relating to loans taken by the employees or by the management on behalf of the company by the bank.

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Research and development Department


Research and development or R&D department is related with product development. It calibrates merchandising activities and forwards the fabrication information into the product library and gets the exact match. If there is required match, Documentation and Planning is done, March is developed and PD (product development) Plan is made by the PD center. If there is no exact match, Technical evaluation (Pricing), Documentation and Planning is carried out.

Objectives

It issues the work order, tells about the style, design, counts, gauges, fabric finishing routes and fabric dyes. It is responsible for to set standards for quality as well as for pricing by globally visiting the market. It is responsible for to develop the latest fashion trends as well as to develop the method for producing a quality product in a reasonable cost which the customers can afford.

Quality Product Requisition (QPR) is made in Research and development department of Shalimar Cotton Export (pvt) Ltd. . R&D department facilitates where an idea can be accurately converted in to product in quickest turnover rate.

Through its proper planning research and development department is responsible for maintain as well as for Delivering of all types of samples with speed, accuracy, quality and competitive pricing.

Management Information System


Shalimar Group has been the pacesetter in Pakistan by adopting scientific management techniques in the Cotton Industry. For the purpose, an MIS department was established quite early on and given the same freedom to innovate as any skunk works unit. The MIS department has an in-house intellectual software development facility for delivering a powerful stack of technology and comprehensive pre-integrated enterprise business applications. These applications contain key functionality built specifically to
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enhance top-level management's control over routine operations and to support their decisions. The following enterprise business applications have been integrated for better plant floor to boardroom management: Oracle E-Business Suite Group Level Financial Management System Human Resource / Payroll Management System (HRMS) Material Resource and Inventory Planning System (MRP) Integrated Manufacturing and Production Monitoring System (PMIS)

Production planning and control (PPC)


Production Planning and Control (PPC) is the nervous system of the organization and its basic task is to receive information from the merchandising department and link it to the production. It involves the Pre-Production Analysis to ensure quality and reproducibility. Monitoring is done for the whole production process and in this we check out the planning implementation. If the planning is failed, re-planning is done for that. Off- the- track and onthe- track planning is also done by the PPC. PPC works in collaborates with R&D department and also get the information from the cutting unit. In this Quality Plan specification, quality, width, weight, dyes, gauges and counts are mentioned. PPC receive Fabric Consumption Patterns from the Cutting department and plans that how much fabric must be used. PPC has two further branches 1. Material Resource Planning 2. Production Planning and Monitoring

1-Material resource planning Material Resource Planning is done for the material procurement, like sundries, yarn and fabric. It is basically done to analyze that how much is needed, what is needed, when is needed, what is the cost of the material and how to acquire the resources.

2-Production planning It includes the planning like the Sewing Plan (we can also call it as the Master Plan). Backward Production Planning is done and this Production Time Line involves whens and whats of the production. Date Wise Plans are made from work order to delivery.
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Documents generation in PPC Store Plan Store Plan can also be called as Accessories Plan. It involves all the documentation about the sundries being used in the production of the order. It also involves the information about Threads, Buttons, Sewing and Labels. Store Plan is basically a Quantity Plan. Dyeing Plan It is related with the Dyeing of the fabric that how much fabric is required for an order, and then it is converted in to the Acro fabric. It plans for how much dyes and chemicals are required. For the procurement of the materials, PPC goes for the purchase department. Extra Planning 3-5% extra planning is done for the losses. There are some visible losses and some invisible losses. Visible losses occur from cutting to shipment. Invisible losses are being made in Dyeing process and Finishing Process. Any extra planning requires extra cost. So for the additional planning and additional cost, PPC managers have to go for the Chief Executive. The Production Planning and Control is the nervous system of our organization and undoubtedly it is our key success factor. The nucleus of Shalimar and Sarahs remarkable success has been its impeccable system. PPC conducts detailed pre-production analysis to ensure quality and reproducibility.

Purchase Department
Every aspect of organization for the manufacturing of the product like sundries, stationary, parts of machineries that can be available locally, chemicals and dyes etc. have to be purchased locally from the local markets. These are usually the general items, involve local purchase for the purchase of machines machinery that is not available in the local market, import department involves in such purchases. This whole import department is concerned with the high involvement machinery. They whole purchase department is do not work the work order or purchase order. Things are purchased according the buyer demand. No buying is done without the order. As such no inventory level is maintained for such goods as these goods are utilized immediately and plan is made for the minimum for the week. Three most important documents are used in the
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purchase department.

Store Plan Store plan comes from the Store and purchase Requisition; It comes from the warehouse. Buyer provides purchase Order and according to this the store department make plan. It is made for one supplier only at one time only. Demand of the supplier is mentioned in the purchase order. These documents are used all over department. Responsibilities of Purchase department Purchase department is of primary importance in the organization, it fulfill and manage the resources for the organization and ensure smooth functioning. It has the following responsibilities. Procure all goods and services required by the company. Determine the most appropriate and effective method of acquisition for each request for purchase Assure that best value in all procurements is obtained as authorized under Handbook of Operating Procedures. Verify sufficiency of departmental funds for purchases Maintain a link with the Texas Building and Procurement Commission as needed on procurement matters. Conduct all formal communications with vendors regarding purchases Provide assistance on procurement matters to all departments.

Working of Purchase department Manager from the entire departments can send request to procurement department by using the MPR form, on the behalf of this MPR form purchase department is responsible for the procurement. After a suitable purchase, the material has been allocated to the required department. There are two forms usually used for the purchase as well as the delivering of the material in Shalimar Cotton Export (pvt) Ltd. . These are

MPR: Material Procurement Recognition Every department issues this then the purchase department is responsible for procurement. Verification is being done later on by an internal auditor of the company that
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the material purchase was necessary or unnecessary.

MRP: Material Requirement and Planning This document is used within factory for issuing the material. The quantity as well as quality of the material is being checked by the manger of other department and a self audit is being done. In this way, procurement department at Shalimar Cotton Export (pvt) Ltd. perform the procurement activity, and the material purchase is being done systematically. In case of violation of any rules written in manual can cause the charge of fraudulent activity.

Marketing Mix (4Ps) of Shalimar


Marketing mix is the term tends to define the four things on which the whole marketing campaign of the company revolves around. The four necessary components of marketing mix are product, price, promotion and placement. Product Though Shalimar is major exporters and its customers are business customer, however the manufacturing product fall into the category of Consumer Products. Consumer products are those products that are purchased for personal use. Shalimars Garments are durable due to their high quality fabric used for knitting and stiffness and tear strength in the Good fabric. In consumers products, these garments are included in Shopping Products. Shopping products are purchased only after the buyer compares the various products and brands available through different retailers before making a deliberate buying decision. Similarly,Shalimar offers a reasonable price, good quality, various colors and styles in their garments. And most of the advertisement is done through electronic media that includes internet, mails and telemarketing. Core Product Core products are those products on which the business is actually based upon. In core products which Shalimar offer is usually the finished product includes the Fabric, Home Textile Products, Industrial Textile, Embroidery etc Beside these finished products, Shalimar also offer fabric or Cotton to its customers, this may include the fabric.

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Augmented Product Augmented products are those which are offered by a company to its customers by developing some enhancement or some value addition. In case of Shalimar, the augmented product which is being offered by the Shalimar is its apparel products includes equipment for institutions like hospitals or fabric Pants and trousers.

Price Pricing of a product matters a lot whenever we are going to sale a product, in this highly competitive environment pricing matters a lot and the sale volume as well as the success or failure of a product all depends on the pricing. Shalimar is practicing the Pricing Strategies to attract the new buyers and to retain its major buyers. The company adopted the Market Penetration Pricing Strategy in the introductory stage of product life cycle for both the Fabric and the HOME Textile. International Pricing Strategy has been adopted along with the other discounts to overcome the competition. Following strategies have been adopted in the growth stage of Fabric.

Product Line Pricing

Due to Different Product ranges as each different design and material Cost.

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Product Bundle Pricing Optional-Product Pricing

For the major buyers to retain them For additional features

Discounts The company also offers discounts if the payments of bills has been made earlier or in other situation, volume purchase is in bulk. Broadly speaking company is currently offering two types of discounts. Early payment of Bills Volume Purchases

Cash Discount 2/10, net 30 If the buyer pays the Bill within 10 days then he would be given a cash discount of 2 percent on each item. This discount reduces bad debts and credits collections.

Quantity Discount Shalimar offers 50 percent discount on each unit if the order exceeds 100 units. Promotion Company is using the push as well as the pull strategy in order to attract its target customers. Usually internet is the major source of promoting its products beside this other modern techniques are also widely used by the company in order to selling of its products.

Target Market The target market of Shalimar is the Major international buyers or such brand names that get their products from Asian countries and sell it to the European or other western countries. To get connected with its target customer Shalimar is using the massive media in order to promote its product.

Major Buyers Shalimars buyers are very discerning and vigilant to the quality of the end product as

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well as the services provided. Its association with these globally recognized and renowned brand names speaks volumes of the product and services they offer. As Shalimar Cotton Export (pvt) Ltd. is offering a variety of products so the targets buyer are also different depending on the market in which they are offering. Placement Shalimar has adopted the Vertical Marketing system, in which Shalimar, the wholesalers and the retailers are acting as a unified system. Shalimar sells its Products to the wholesalers of the Branded Companies. Later, these wholesalers sell the products to the retailers in bulk quantity. Some wholesalers have contracted with the retailers and the others are cooperating with each other. Some time Physical distribution of product is required, for this purpose Shalimar has its own delivery coaches and a proper system, with the help of these coaches in Lahore and Karachi, local orders are being delivered by Shalimars own delivery system while national and at international goods are being transported through mass transit system which can be some truck, railway or by air cargo services. The process of delivering the goods follows through in this way.

Purchase order is being received from the buyers through the merchandizing department. A fax message is sent to buying house/buyer for opening L/C. Expected Audit date/time is being received. Arrangements are made for the transportation to move the consignment by the road/train/air as per plan. Funds are being arranged for the transportation and custom clearance. Shipment moves for the Karachi is being planned through the following ways. E.g. Truck, Train, and Air. (Rates are as per shipment volume)

Forwarder / clearing agent make arrangements for the custom clearance and booking of the space at earliest vessel. The requirement of the exports are being fulfilled by the agent, the general requirement for the export of the fabrics include the invoice, packing list, export form, valuation form, bill of entry and shipping bill. While going for to deliver the goods
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proper arrangements are must so that, the goods can easily be shipped to the customers. If in case the shipment process gets delayed or any other problem occurs during the shipment, it will not only cause the financial losses but the company good will also got ruined.

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Conclusion
From all above discussion and the analysis which I have performed rather it is the industry analysis or the SWOT analysis, it is clear that that the company position is not much strong and it is not exclusively with Shalimar throughout the world economic crisis has causes this company and the rest of other companies in Cotton sector to suffer from such short term losses. However in the PLC it is clear that the company is trying to cover up its short coming and trying to minimize the cost incurring in business process and going for such a business in which profitability is higher and risk of default is quite low. Although, the company has faced political instability, energy crisis and economic recessions which forced the management to wind up its Knitting Units but still it is making progress by hiring experienced and qualified staff to work on the latest machineries and to bring out Shalimar from the ocean of crises. It has been observed during the analysis that Shalimar has never compromised on its profit margin despite the intense competition in international market that it lowered down the profit margin of all the suppliers of the Fabric Sector. But the increase in wages rose up the cost of production and decreased the profit margin. Besides this, Shalimar is trying to pull out itself from the mismanagement of work by formulating and implementing HR policies and procedures, to strictly follow the work instructions by managing the production units. All these efforts would lead Shalimar to a better future.

At that time, the Government is neither providing any does not subside nor any facility during the economic crisis and on contrary increasing the salary of labor which is increasing the cost of production. This drastic change during the period of loss has developed another hurdle for Shalimar. But now in year 2013, Cotton policy has been revealed and management as well as I myself is quite hopeful enough that in near future, the company as well as the whole industry will be out of crisis.

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Recommendations & Suggestions

The company should launch its products for the home market with a specific name which will give expansion to the company, loyalty of customer and future benefits as well. Some of the important recommendations in my point of view are; The company should update its DBMS for more accurate results The company should spread its business throughout the world and discover new markets The company should make new plants in those areas where labor is available at cheap rate in order to minimize its costs. The company should also focus on local market The company should also motivate its employees by providing them non-cash incentives in order to achieve desired results. The company should also expand its business by launching its own brand in garment products because it has the potential to do this.

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Learning as an Internee
Shalimar Cotton Export (pvt) Ltd. has a very affective internship program started from a decade back in which students from different disciplines and institutes are being allowed to get the real time practical experience. I was the internee in Shalimar, whatever I read in books, I get the opportunity to see it in real practice. This was really a very beneficial experience for me and I learn a lot during my internship tenure in Shalimar.

Getting Know How about Practical thing At the start of my internship, assistant Human Resource Manager introduce me with the basic documents and forms used in the HRD as well as in the whole organization, I was responsible to learn the things about the organization and then to answering the queries of other internees of different departments.

Training Need Assessment At Shalimar Cotton Export (pvt) Ltd, I in the supervision of HR manager used to identifying the needs for the training as well as evaluation of training and doing proper documentation for future use.

New Knowledge Acquired After doing my internship it becomes clear to me that books are only dealing with the ideal situation while in real world it is not so, and you have to face many problems particularly in marketing field in which you are dealing with people and the behavior of an individual is always unpredictable, getting in this internship it become much obvious to me. Beside this in books, I just came across with abstract and the concept develop with thorough study able to make a unclear mental image while working in a real scenario help me out to develop a clear understanding about different concepts. I have learned a lot with this internship about the corporate sector and particularly about the marketing department. The things which will be very beneficial for my career are 1. Attitude Change 2. Knowledge Enhancement

1-Attitude Change The attitude problem of mine is solved with the help of this internship, before this I
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was thinking that working in an organization is more valuable and a piece of cake and my attitude was not so much professional or formal to work in some organization but after this internship, I feel a very positive change in my attitude and It make me mentally prepare to work in some good organization. Corporate Culture University culture is quite different than the corporate culture, in university students usually take the thing just formality while in corporate sector you actually have to perform other wise for you there will be no place in the organization. Organization Structure I have to face the organization structure which was highly bureaucratic in which there is centralized decision making authority and you just have to obey the order no matter, right or wrong beside this at the end incumbent is the only person who will be responsible for the results so, you have to act according to the situation and have to remain attentive. Professional Attitude Going out from the university in an organization is quite good experience as in the university or college life, you are with your friends and remain informal while in organization you have to be formal, there may be one or two of your friends but more of the other are your colleague and the environment in organization is usually very competitive, you have to wear a professional attitude otherwise it will be very hard for you to survive.

2- Knowledge Enhancement This internship was very much beneficial for me, in one side it develop a professional attitude in me while on the other hand it also enhance my knowledge and a lot of new things I come to learn. There are few things which I wanted to mention here. ISO Certification As Shalimar Cotton Export (pvt) Ltd. is ISO 9001-2000 certified company, while working here with this organization I got the opportunity to learn about the ISO certification procedures and requirements to become an ISO certified company. I also got the opportunity to interview the ISO officials which really enhance my knowledge about the quality certification processes.

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Limitations during Internship


As an internee in Shalimar exports, I have to face a number of difficulties which create hurdles for my learning as an internee in this organization. Some of the constraints which may limit my study are

Time Constraints Due to short period of time, it was difficult to go for the in-depth analysis of each and every department of Shalimar Cotton Export (pvt) Ltd.

Field of Study As my field of specialization is Marketing, so my focus was on the Merchandising department rather than all the departments of the organization but I have compensated this issue by visiting these departments and getting the required information for my report.

Data Secrecy Shalimar is a Private Limited Company, which does not allow sharing and transferring its private data. Due to unavailability of Annual Report, the financial analysis could not be carried out and the companys important documents could not be available. All forms and documents are attached here are just specimen which are very close to the original one but these are not original due to the data secrecy issue.

Communication Barriers As there is autocratic culture of Shalimar Cotton Export (pvt) Ltd. and the management here is very bossy and there is a communication gap exist between the management and the rest of the employees, this communication gap also create hindrance for me to getting the data from top management.

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The Effect of Internship on my Future Career


Flexibility in work environment matters a lot; I have learnt it while I was doing my internship in Shalimar Cotton Export (pvt) Ltd. The office environment is always remain intensive and the individual have to manage it accordingly in the office, in case of failure he will be no more at the job; this is in the ethics of the work environment and all these ethics become more exhaustive when you are in the human resource department and have to deal with all type of employees. You have to prove yourself a calm and pleasant personality.

As I was not the responsible person for that office and in actual was acting as an observer or a learner. So, I learn that behavior by observing the people in the Merchandising department that what type of personalities you have to face daily and you have to manage it accordingly. Might be if without this internship I go somewhere in the market, I may commit thousand of such mistakes and employees get curse on me but after observing all that the job of Merchandise manager is very sensitive and a certain image of Market has been cultivated in my mind, now whenever I will go to some market I can perform well and I am cent percent sure that without this internship I cant do that effectively as I can do after that.

This internship proves better for me in two way, on one side it help to develop a personality in me which exactly match the person of Merchandising department and secondly it help to strengthen my decision about the specialization in Marketing as my personality exactly match the nature of job.

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References
www.shalimarcotton.com Mr. Waqas Ijaz (Director Shalimar Cotton Exports pvt Ltd) Mr. Abdul Qaddoos (IT Manager Shalimar) Mr.Bilal Ahmad (Marketing Manager Shalimar) Mr. Husnain Habib (Supervisor Manufacturing Shalimar) Mr. M. Usman (Exports Manager Shalimar) Employees and Other Staff members of Shalimar Cotton Exports pvt Ltd

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