Ibrahim Textile mills Ltd. started its operation in 1997. . The business lines of Ibrahim Textile mills Ltd. are manufacturing and marketing of yarn. Its factory is located in Godnyle, Narayongonj, and Dhaka. The manufactures 100% Cotton Ring Span Yarn or Hosiery, 100% Cotton OE Rotor for Hosiery and Knit Fabrics for 100% export oriented readymade Garments Industry. The strategic Goals and Objectives of the Company are to strive hard to optimize profit though conduction and transparent business operations and to create more competitive in the internal and external market. In home, customers of Ibrahim Textile mills Limited are export oriented readymade Garments Industry. The Company also exports its products to the market of Europe & USA. The export sells increased by 19% in 1997 over the previous year. Competition level is increasing both in local and abroad market. Competition will be stiffer after 2005 when multifiber agreement will be phased out. Among the other foreign competitors Srilanka , China Pakistan and India are prominent. IBRAHIM is one of the biggest employees in Bangladesh. It has a personnel and administrative department. The total number of employees is 1223. For the employees there is systematic in house training in home and abroad. The managing director, the CEO is the head of the executive management team. Below in there are directors, executive directors and general manager. Under the direct supervision of the general manager a number of departments are controlled. The Company is going through continuous growth in production. The total production increased year on year basis at the rates of 0.43% and 1 .467% during 2007 and 2008 respectively. The Company’s operations are out on a aggregate basis and are managed as a single opportunity segment. The Company uses Computer Aided Design (CAD), Computer Aides Spreading (CAS) and Computer Aided Manufacturing (CAM) in its plant to increase the overall efficiency and productivity.
This report is prepared as a requirement of the course “Seminar in Marketing Management.” We selected Ibrahim Textile mills Ltd. Working on this organization we came to know various Kind of Marketing practice which are use here. Though it is a textile, it has proved itself in the related industry as a major competitor. In this report we have followed the guidelines provided by the teacher. Here we have tasked not only the Marketing practice but also the Human Resource Management, finance and operational area of the Company.
Now a day the practical knowledge is the essential in the competitive world. We can gather theoretical knowledge by reading books but it is not sufficient to gather practical knowledge.
Dissertation report is a vital part of BBA program. It helps to link between theoretical and practical knowledge. Marketing is a social and managerial process by which individuals and organization obtain what they need and want through creating and exchanging value with others. Marketing is the process by which companies create value for customers and build strong customer relationships in order to capture value from customer in return.
Spinning marketing focuses on the yarn. Now a day spinning sector is one biggest sector of our country. A lot of foreign currency earn from this sector to our country. So it is very important to study or gather knowledge for this sector. Our economy getting benefit from this sector. Day by day spinning sector is becoming faster and wider. More and more unemployed people can joined this sector
My whole report focuses on marketing activities of 100% export oriented spinning industry in Bangladesh of IBRAHIM Textiles Ltd.
The broad objective of this report is to provide an overview of Marketing practice of Ibrahim Textile mills Ltd. The specific objectives of this report are:
• To study the necessity and impact of yarn marketing in Bangladesh.
• To find out the problems and prospect regarding yarn marketing of the organization
• To determine the procedure to earn foreign currency from spinning industry.
• To learn how to formulate marketing policies.
The scope of the report covers following:
• The report will cover and analysis of the need of marketing policies in the spinning industries sector of Bangladesh,
• The report recommends the spinning training is the vital thing to boost up the spinning marketing.
• Spinning marketing depends on the industries which are equipped with ultra modern machinery and efficient human resources.
To prepare this report we have collected data from different published materials. Then we have conducted a secondary study. After that we have prepared a questionnaire and took interview one of the executive serving in this Company. We also collect data from internet .This way we collected primary data. Thus we have used both primary and secondary report to prepare this report.
1.4.1 Sources of data
The project part is prepared on the basis of both primary and secondary data
Primary data were collected from
1. Discussion with officers of Ibrahim Textile Mills Ltd.
2. Observation of practical work of the responsible officer
3. Discussion with my supervisor.
4. Information conversation with buyers.
5. Group discussion.
The secondary data are collected from
1. Relevant documents which are provided by the officers concerned.
2. Annual report of Ibrahim Textile Mills Ltd.
3. Prospectus, Publication, Brochures, Magazines and Newspapers and also internal records
4. Data analysis: I have analyzed this report in the light of analytical review. I have used some statistical tools, graphical presentation, and table to find out the different types of analytical result.
I have done my study on ‘Marketing Activities of 100% Export Oriented Spinning Mills in Bangladesh’ and getting time of only few times. In such a short period of time, I had to collect huge information about my topic whatever is given to me, which is difficult to expose everything for preparing this report. I am preparing this paper practical observation. Due to shortage of time I am not able to prepare a very good report and also did not get much time.
The main limitation in preparing this report was the communication gap between different personnel because of workload. All the information was not given to me because some of the information is confidential. That’s why office secretary has concealed some information to me.
Profile of the Organization
2.1 ABOUT COMPANY
Ibrahim Textile Mills Ltd. started its journey by establishing the first unit in 1997. One year later the second unit was established Ibrahim Textile is a subsidiary company of IbrahimGroup .The Company was incorporated as a public limited company in the year of 1994. The operation was started in 1997. Within a very short time of span the company achieved some significance success. IBRAHIM Textile receives Oeko-Tex standard 100 and ISO-9002 certificates in the year 2000. Authorized capital of the company is tk. 1000 million. It’s paid- up capital is tk. 251.90 million. 1,223 employees are working in this organization. The business lines of IBRAHIM Textiles Limited are manufacturing and marketing of yarn. The factory is located in Godnyle,Narayongonj, Dhaka, Bangladesh. Its office is located Celebration Point ,7th Folors,Road no#113(A) Plot#3*5,Gullshan, Dhaka -1212
ITMLis producing 100% export oriented cotton yarn which is use high quality Sharees and Lungies also this products used woven and knit to abroad and earn a huge foreign currency.
2.3 EXECUTIVE MANAGEMENT
The Managing Director, the CEO is the head of the Executive Management Team which comprises senior members of the Management Apparatus. Within the limits of delegated authority and responsibility by the Board of Directors, Executive Management operates through further delegation of authority at every echelon of the line management . The executive Management operates within the framework of Policy & Planning strategies set by the Top Management with periodic performance reporting for guidance. The Executive Management is |responsible for preparation of segment plans / sub – segment plans for every profit centers with Igetary targets for every items of goods & services and are held accountable for deficiencies, appreciation for outstanding and exceptional performances. These operations are itinuougly carried out by the Executive Management through series of Committees, sub -littees, Committees & standing Committees assisting the line management.
2.4 MANAGEMENT COMMITTEE
Comprising top executives , deal with entire organizational matters.
2.5 STANDING COMMITTEE
Standing Committee comprises the following committee:
2.5.1. Audit Committee
• Internal Audit Committee
• ISO Audit Committee
• Social / Environment Committee
• Performance Evaluators Audit Committee
2.5.2. Employment Relations Committee
• Remuneration Committee
• Work Environment Committee
• Performance Evaluation Audit Committee
2.5.3. Management Committee
• Product Planning & Development Committee
• Quality Control & Research Committee
• Production & Inventory Management Committee
• Export Promotion Committee
2.6 HUMAN RESOURCE MANAGEMT
2.6.1 Human resource planning
IBRAHIM has a personal and administrative Department. IBRAHIM is one of the biggest employers in Bangladesh. The total number of employers in Bangladesh. The total number of employees is 1,223. For the employees there is systematic in house training in home and abroad. To motivate the employees, along with salary and benefits the company provides various facilities like free meals , free transportation , 24 hour medical center , on site sports . A production and accommodation facility includes full time supply of safe drinking water, adequate lighting and ventilation facilities from sheet.
2.6.2 HR Practices of Ibrahim Textile
2.6.3 Recruitment and Selection process in IBRAHIM
Recruitment is the process trough which the organization seeks applicants for potential employment. Selection refers to the process by which it attempts to identify applicants with the necessary knowledge, skills, abilities and other characteristics that will help the company achieve its goals, companies engaging in different strategies need different types and numbers of employees. The strategy a company is pursuing will have a direct impact on the types of employees that it seeks to recruit and selection.
Source of recruitment
There are two kinds of source IBRAHIM uses for recruitment. Such as- 1. Internal source
2. External source
We try to discuss all relative sources which are used for recruitment in IBRAHIM.
IBRAHIM thinks that current employees are a major source of recruits for all but entry-level ions. Whether for promotions or for ‘Lateral’ job transfers, internal candidates already know informal organization and have detailed information about its formal policies and procedures, lotions and transfer are typically decided by operating managers with little involvement by HR department.
l.l Job-posting programs
HR departments become involved when internal job openings are publicized to employees through job positioning programs, which informs employees about opening and required qualifications and invite qualify employees to apply. The notices usually are posted on company bulletin boards or are placed in the company newspaper. Qualification and other facts typically are drawn from the job analysis information.
The purpose of job posting is to encourage employees to seek promotion and transfers the help the HR department fill internal opening and meet employee’s personal objectives. Not all jobs openings are posted .Besides entry level positions, senior management and top stuff positions may be filled by merit or with external recruiting. Job posting is most common for lower level clerical, technical and supervisory positions.
An often overlooked source of recruiters consists of departing employees. Many employees leave because they can no longer work the traditional 40 hours work week .School, child care needs and other commitments are the common reason. Some might gladly stay if they could rearrange their hours of work or their responsibilities .Instead, they quit when a transfer to a part-time job may retain their valuable skill and training. Even if part-time work is not a solution, a temporary leave of absence may satisfy the employee and some future recruiting need of the employer.
When job opening cannot be filled internally, the HR department of IBRAHIMmust look outside organization for applicants. We discuss all the external source of recruitment at bellow:
Walk-ins and Write-ins:
falk-ins are some seekers who arrived at the HR department ofIBRAHIM in search of a job; ifrite-ins are those who send a written enquire .both groups normally are ask to complete and lication blank to determine their interest and abilities. Usable application is kept in an active I until a suitable opening occurs or until an application is too old to be considered valid, usually ; months.
Employees referrals: Employees may refer job seekers to the HR department .Employee referrals have several .Employees with hard -to -find job skill may no others who do the same work.Employee’s referrals are excellent and legal recruitment technique, but they tend to maintain the status quo of the work force in term of raise, religions, sex and other characteristics, possibly leading to charges of discrimination.
Want ads describe the job and the benefits, identify the employer, and tell those who are interested how to apply .They are most familiar form of employment advertising .for highly specialist requites, ads may be placed in professional journal or out of town newspaper in areas with high concentration of the desired skills
General Manager- production (ref: PM)
-Age: 28-35 years; Graduate with specialization in garment mfg technology from NIFT or equiv.
-Minimum 10 years experience in similar position of a unit with a minimum of lOOO machines.
-Must have detailed hands on knowledge of industrial engineering.
We offer competitive salary which is commensurate with experience and qualification.
| If you aspire to an exiting and rewarding career, send your detailed resume, quoting your present expected salaries to jobs.
Internet low today no body thinks anything without internet. So IBRAHIM give their advertise at internet.
Traning and Development program of IBRAHIM textile
lining is a process of learning a sequence of programmed behavior, it is application of fledge. It gives people an awareness of the rules procedures to guide their behavior. Itto improve their performance on the current job or prepare them for an intended job. jlopment is a related process. It covers not only those activities which improve job ice but also those which bring growth of the personality; help individuals to the progress maturity and actualization of their potential capacities so that they become not only good but better men and women. In organizational terms, it is intended to equip person to rtion and hold grater responsibility.many tvpe_s of method practices in IBRAHIM .we discuss that method at bellow:
On job training
On the job training is a training that shows the employee how to perform the job and allows him it under the trainer’s supervision On the job training is normally given by a senior employee or a manager like senior merchandiser or a manager. The employee is shown how to perform the job and allowed to do it under the trainer’s supervision.
Job rotation is a training that requires an individual to learn several different some in a work unit or department and performer each job for a specified time period.In job rotation, individuals learn several different job within a work unit or department. One main advantages of job rotation is that it makes flexibilities possible in the department. When one employee like junior merchandiser absence another merchandiser can easily perform the job.
Apprenticeship training provides beginning worker with comprehensive training in the practical and theoretical expect of work required in a highly skilled occupation. Apprentice ship program combined of the job and classroom training to prepare worker for more thaneight hundred occupation such as computer operator, sewing technician.
Occupation Length (months)
1. Quality control manager
2. Quality control officer
3. Gutting Astt. Manager
4. Packing Astt. Manager
5. Ware house Astt. Manager
6. Production officer
7. Sewing technician
Classroom training is conducted off the job and probably the most familiar training method .It is an effective means of imparting information quickly to large groups with limited or no knowledge of subject being presented. It is useful for teaching factual material, concepts principle other theories .portion of orientation programs, some expects of apprenticeship training and safety | programs are usually presented utilizing some form of classroom instruction. More frequently however, classroom instruction is used for technical, professional and managerial employee
Development of the human resources
The long term development of human resources as distinct from training for a specific job is of growing concern to HR departments of IBRAHIM .Throw the development of current employees the department reduces the company’s dependents on haring new workers .if employees are developed properly the job openings found throw HR planning are more likely to be filled internally promotions and transfers also show employees that they have a career not just a job. The employee benefits from increased continuity in operations and from employees who fail greater commitment. HR department is also an effective way to meets several challenges including employee obsolescence, international and domestic diversity, technical challenges. Affirmative action and employee turn over. By meeting these challenges the department can, maintain an effective workforce.
Steps in the Evaluation of training and development
Evaluation criteria > pretest > trained or developed-
workers > posttest > transfer to the job > follow-up studies.
2.7.5 Performance Management
Performance appraisal is the process of assessing employee’s past performance, primarily for reward, promotion and staff development purposes. ‘Performance appraisal (is) a process that identifies, evaluates and develops employeePerformance to meet employee
and organizational goals .Performance Appraisal doesn’t necessarily use to blame or to provide a disciplinary action .Previous management theories used to view performance appraisal as a stick that management has introduced to beat people. Performance appraisals are now more clarified and they concentrate on developing organizational strengths and employee performance.
Purpose of Performance Appraisal in IBRAHIM
To review past performance
To assess training needs
To help develop individuals
To audit the skills within an organization
To set targets for future performance
To identify potential for promotion
To provide legal & formal justification for employment decision
To diagnose the hidden problems of an organization
Performance Appraisal Process
• Clients/ customers
• Self appraisal
• 180/360 degree approach
Approaches to measuring performance in IBRAHIM textile
There are various kind of method for measuring performance appraisal. But we get information that IBRAHIM uses only three type of performance method. These are at below:
1.360- degree feedback
2. Experience based.
We describe those at below:
One currently popular methods of performance appraisal is called 360-degree feedback. With this method managers peers, suppliers or colleagues are ask to complete questionnaire. The questionnaires are generally lengthy.
2. Experience based
IBRAHIM measure the performance of employee by experience. For example MR. X has been working in IBRAHIM for three years and MR. Y has been working in IBRAHIM for two years. So IBRAHIM favor MR. X for his more experience.
2.7.6 Employee relation
Employers and employees each have their own sets of needs and values, and successful [relationship between these two sides requires that some sort of balance be struck. This balance |often takes the form of a psychological contract, an understood agreement between employer and employees that defines the work relationship. This contract with or without support of a formal peollective bargaining, agreement influence the outcome achieve by each side. IBRAHIM group the various into three channel categories those are
1. Employee safety
2. Employee health
3. Employee working condition
1. Employee safety
IBRAHIM provide the employee safety .It ensure the all kinds of job safety such as insurance of each employee not this it provide insurance to the labor.
2. Employee health
Free medical checkup, provide health card and also provide necessary medical facilities for each employee.
3. Employee working condition
The working condition of employee is very hygienic
IBRAHIM is ISO 9001-2000 Certified company
2.7.7 Job analysis
Job analysis is the procedure for determining the duties and skill requirement of a job and the kind of person who should be hired for it.
The supervisor or HR specialist of IBRAHIM normally collects one of the following types of information:
First he or she collects information about the job actual work activities such as marketing, sewing, production. This list also include how, why and when the worker performance each activity.
Education and qualification
Collects the information about education background and qualification.
Experience must be needed for any job in IBRAHIM.
Sample of job analysis of IBRAHIM:
Quality control manager
Master in any subject
Bachelor/diploma in textile and clothing or related discipline will be given preference Must have at least 7 years practical experience in similar position in any garments factory.
Cutting Astt. Manager (cum in-charge)
Masters/ bachelor in any subject preferably commerce.
Bachelor/diploma in textile and clothing or related discipline will be given preference Must have at least 7 years practical experience in similar position in any garments factory.
Ware house Astt. Manger
Masters/ bachelor in any subject preferably commerce.
Bachelor/diploma in textile and clothing or related discipline will be given preference
Must have at least 5 years practical experience in similar position in any garments factory
Production Officer (Sewing)
Must have at least 3 years practical experience in similar position in knit garments.
Must have at least 5 years practical experience in similar position in knit garments.
Experience and skill for all above jobs:
Candidate must have experience to work with world reputed buyers
Good writing and communication both in Bengali and English
Should be capable of making Q A reports on daily basis
Computer literacy in MS world, Excel, e-mail etc.
2.7.8 Job Design
Job design is the process of structuring work and designating the specific work activates of an individual or group of individuals to achieve certain organizational objectives.
The job design can generally be divided into three phases:
The specification of individual task.
1. The specification of the method of performing each task
2. The combination of individual tasks into specific job to be assign to individual
Organizational considerations for job design
In the context of job design, to remain effective, organizations may have to redefine jobs, I monitoring, and using technology so that the firm can even compete against giant rivals.
Maximum outputs through minimum inputs of time, effort and other resources. In the context of design, efficiency in time, effort, labor costs, and training should be done accordingly.
The dependence of one task from another is task dependence. In this context, the task interdependence can be high or low depending on the product or service.
Scarcity of machines is constraints, which in turn leads to the increase and decrease of production
Ergonomic constrains:Word where Ergo = Work & Nomos = Laws, i.e Laws of work. Optimal productivity lires a relationship between the worker and the work, thus designing a job needs this iteration.
Fee considerations .variety
refers to the use of different skills and talents to complete an array of work tasks amply refers to the freedom and independence to plan and schedule the work and determine lures used to carry it out. identity means doing something from beginning to end rather than just part of it.
It is the degree to which a job has substantial impact on an organization.
Feedback is the degree to which employees can tell how well they are doing based on information
from the job.
In designing jobs, the surrounding social expectations must be considered to avoid possible
Job requirements should be balanced against the availability of the people who are required to do the work.
Work practices are set methods of performing work. These methods may arise from tradition or the collective wishes of employees.
Compensation fluctuates according to
– A pre-established formula
– Individual or group goals because group goals are different from individual goals
– Company earnings
Incentives adds to base pay
It controls costs because the employee is being paid for his/her extra effort and for the benefitbrought to the organization.Motivates employees.
Incentive Pay Categories
Individual incentive plans
Monthly sales (How much sales was generated)
– Work safety record (How many hazard or errors are being reduced.
Work attendance (If the absent is reduced or attendance is good)
– Group Incentive
Performance Measures Group incentive plans
– Customer satisfaction
– Labor cost savings
– Materials cost savings
– Reduction in accidents
– Services cost savings
Company-Wide Performance Measures Company-wide incentive plans
– Company profits
– Cost containment/prevention
– Market share
– Sales revenue
Individual Incentive Plans (Piecework plans)
– Awards based on individual
production vs. company standards
– Awards based on individual
Performance standards using objective & subjective criteria
– Quantity and / or quality goals
Advantages and disadvantages of Individual Incentive Plan
– Helps relate pay to performance.
– Promotes equitable distribution of compensation
– Helps retain best performers
Promotes equitable distribution of compensation
– Helps retain best performers
– Compatible with individualistic cultures and societies
Compatible with individualistic cultures and societies
– May promote inflexibility
– Unrealistic standards may hamper employee motivation
– Setting performance standards is time consuming
– Factors beyond employee’s control may affect outcomes
– Factors not rewarded may be overlooked
Group Incentive Plans
– Rewards employees for their
– collective performance
– Group incentive use has increased in industry
– 2 types
– Team – based or small group
– Gain sharing
Company-Wide Incentive Plans
– Rewards employees when company
Meets performance standards
– 2 Types
– Profit sharing plans
-Employee stock option plans
– Lowest – cost
– Lower output costs per employee
– Individual & group incentive plans
– Behavioral encouragement plans
– Unique product or services
– Creative, risk – taking employees
– Long – term focus
Team – based incentives
2.7.10 Benefits of IBRAHIM
Employee benefits & services were formerly known as fringe benefits and these benefits were
primarily the in-kind payments employees receive in addition to payments in the form of money.
In addition to paying employees fairly and adequately for their contributions in the performance of their jobs, organizations assume a social obligation for the welfare of employees and their dependents Employee benefits are usually inherent components of the non-compensation system are made available to employees that provide:
– Protection in case of health & accident
– Income upon retirement & termination
These benefits are components that contribute to the welfare of the employee by filling some kind of demand.
Legally required benefits of IBRAHIM
– Social Security
– Social security benefits include the general benefits like unemployment insurance & benefits, old age insurance, and Medicare facilities.
– Workers’ Compensation
– Worker’s compensation includes the compensation when an employee becomes injured or disable due to extreme working conditions or while working at the job site.
– Family & Medical Leave
– Family leave includes the compensation continuation during the family leave such as maternity or paternity leave and other family leave.
– Old age, Survivor, Disability Insurance requirements for getting compensation:
-Earn 40 quarters of credit, or
-Be employed for 10 years
– Be age 62 for partial benefits
– Be age 65 for full benefits
-Now the age has been extended to age 67 because more and more workers are retiring late. [-Widow aged 60 +
Depends on the country’s policy, medicare facilities are generally government services to citizens.Organizations add some value to medicare facilities. In some countries medicare is financed together by employees’ tax, employers and the government. Provided insurance coverage for
– Hospitalization – Covers inpatient & outpatient hospital care & services.
– Major doctor bills – Charges of visiting a doctor or specialist.
– Prescription drug costs.
– Provides unlimited in-home care in certain situations.
– Workers’ compensation is a legally required benefit is included in the compulsory disability
laws of many countries. Mostly, employer is seen liable regardless of the fault.
– Objectives of Workers’ compensation:
– Provide income & medical benefits
– Reduce litigation
– Eliminate legal fees & time
– Encourage employer safety
– Promote accident study & avoidance
– Workers’ compensation claims
– Occupational disease
– Workers’ compensation benefits
– Medical services
– Disability income
– Death benefits
•Discretionary benefits are judgment based benefits that the organization provides to its employees. These benefits are not legally required benefits but enhance organizational culture and corporate image.
Marketing Activities of Spinning Industries in Bangladesh
• Benefits include:
• Protection programs
• Pay for time not worked
• Other services
Pay for time not worked
• Funeral leave
• Marriage leave
• Sick leave
• Stress leave
• Blood donation or welfare work
• Personal leave
• Sabbatical leave/ For Muslims, leave after death
Operating Financial Result of IBRAHIM Textile
2.8.1 Financial Result:
Source: Annual Report, 2009
The Company’s operating financial results, as compared to the previous year, are summarized hereunder:
(Taka) (Taka) (Taka)
Year 2008 Year 2007 Year 2006
Turnover 2,102,670,263 1,789,018,386 2,076,925,039
Goods Sold 1,737,055,759 1,500,281,590 1,676,690,068
Gross Profit 365,614,504 288,736,796 400,234,971
Expenses 175,524,220 197,835,510 217,687,872
Income 190,090,284 90,901,286 182,547,099
Income 225,844 663,215 912,083
Before WPPF 190,3 16, 128 91,564,501 1,83,459,182
To WPPF 9,062,673 4,360,214 8,736,152
Net Profit (BT) 18 1,253,455 87,204,287 1,74,723,030
Income Tax 13,359,728 5,751,104 –
Net Profit (AT) 167,893,727 81,453,273 174,723,030
Gross Margin 17.39% 16.14% 19.27%
Net Margin 7.98% 4.55% 8.41%
Share (EPS) 6.67 3.23 6.94
Shares 25,190,000 25,190,000 25,190,000
Per share (TK) 10 10 10
The gross margin rose to 17.39% from the level of 16.14% in 2006. As the operating & financial expenses declined, net margin also rose 4.55% in 2005 to 7.98% in 2006. Net Profit (AT) has been increased due to cost control measures, procurement strategies and favorable export prices in the international market.
2.9 PRODUCTS, PRICE, PLACE, PROMOTION, STRENGTH, WEAKNESS, OPPORTUNITY
In two units of IBRAHIM Textiles Ltd. The following products are
In IBRAHIM Knit Fabrics Ltd. Product range Engineering stripe and semi jacquard, plain , pique ,
Four Neddie structure , Crepe rib , Interlock , Drop needle , Cross miss , Milano rib , etc.
In IBRAHIM Fashions Ltd. Following types of products are produced T-shirts & Polo- shirts, Tank.
The unit selling prices over the years varied substantially as shown below:
|Total sales (average)||143.49||124.71||151.94|
Source: Annual Report, 2009
The above indicate that the local and export selling prices increased by 53.54% and 13.14% respectively during the year 2006 over the year 2005after gradual decline during the years 2004 and 2003 over the year 2001. the increase is primarily ascribable to the international situation.
Export oriented ready made garments industry operating in Bangladesh are the main purchaser of products of IBRAHIM Textiles Ltd. The size of export oriented RMG industry is fairly large in Bangladesh. So there is a huge market for IBRAHIM Textiles Ltd. In Bangladesh. Moreover products of IBRAHIM Fashions Ltd. Are exported to Europe and USA.
IBRAHIM Textiles Ltd. Does not pursue any rigorous promotional activity. As most of the purchaser is export oriented garments, they don’t need to be promoted. Infact, the buyers themselves are aware enough from where they will get.quality products. So there is not much room to pursue. For the UK and USA based market this fact is true as well.
2.10 MISSION STATEMENT
The mission statement of IBRAHIM Textiles Limited is “Our mission is realization of vision through maximum production of goods and services strictly on ethical and moral standards at minimum costs to the society ensuring optimum benefits to the shareholders and other stakeholders.” This mission is envisioned by the concept of business which ensures well being of the investors, stakeholders, employees and members of the society which will create new wealth in the form of goods and services.
2.11 KEY PRODUCT / SERVICES
As stated earlier the business line of the company is manufacturing and marketing of yarn. It manufactures:
• 100% Cotton Ring Span Yarn For Hosiery
• 100% Cotton OE Rotor Yarn for Hosiery
• Knit Fabrics for 100% export oriented readymade Garments Industry.
It also performs the following services:-
• Dying & Post Mercerization.
• Fabric Dying
The final output is marketwise by IBRAHIM Fashion Ltd.
In IBRAHIM Textile Limited two types of products are produced in two different units. These are as follows:
Unit 1: Combed and Carded Yarn from a count range of
Unit 2: Combed Ring Yarn from a count range of Ne.20to
Ne.40. In IBRAHIM Spinning Ltd. 100% Cotton Carded and Combed Yarn in the count range of
Ne.16 to Ne.30 are produces. Finally in IBRAHIM Fashion’s Ltd. Readymade Knit Apparels like T-
Shirts, Polo shirts, Tank tops, Pajarnas, Sport wear, Under garments, Men’s & Ladies fashion wear, Kids wear etc
2.12 STRATEGIC GOALS & OBJECTIVES
The company sets the following objectives for it to achieve:
• To strive hard to optimize profit through conduction of transparent business operations within
the legal and social framework with malice to none and justice for all
• To create more jobs with minimum investments
• To be competitive in the internal as well as external markets
• To maximize export earning with minimum imported in-puts
• To reduce the income gap between top and bottom categories of employees. Thus the company focuses to pole-star its mission that fulfill the objective with emphasis on the quality of the product, process and services blended with good – governance that help build the image of the most enable corporate – citizenship at home and abroad . The company wants to produce such society friendly goods and services that go to satisfy the wants of all the relevant party without disturbing or damaging the socio- economic and ecological, balance of the mother earth and the process of human civilization leading to peaceful co-existence of all the leaving beings. The company always strives for top quality products at the least cost reaching the lowest rungs of the economic class of people in the country. The company values its obligation to the
greater society as well as it strives to protect the interests of it’s shareholders and to ensure highest return and growth of their assets.
2.13 POTENTIAL CUSTOMER
The target market for products produced in IBRAHIM Textiles Ltd. and IBRAHIM Spinning Ltd. is Export Oriented Readymade Garments Industry. Readymade Garments exporter that is Knit Fabrics, Sweater and Denim manufacturer. In Bangladesh Beximco Kitting, Grameen Knitwear, Shasha Denim, Knit Concern etc are the customers. Target market for products produced in IBRAHIM Fashion Ltd. is Europe and U.S.A. IBRAHIM Textiles does not direct sales in overseas market but sometimes India, Pakistan & other countries take their yarn.
2.14 SIZE & GROWTH OF MARKET: The Company’s marketing operations continued its emphasis on export sales over the years as depicted below:
|Year – 2008||Year – 2007||Year – 2006|
|(a) Quality sold (Kg)|
|• Local sales||99,800 (0.7%)||527,903 (3.7%)||539,417 (3.9%)|
|• Export Sales||14,554,342 (99.3%)||13,817,314 (96.3%)||13,129,599 (96.1%)|
|• Total Sales||14,654,142 (100%)||14,345,217 (100%)||13,669,016 (100%)|
|(b) Sales Revenue|
( Taka )
|• Local Sales||9,455,588 (0.4%)||32,576,936 (1.8%)||46,956,494|
|• Export Sales||2,093,214,675 (99.6%)||1,756,441,450 (98.2%)||2,029,968,545 (97.7%)|
|• Total Sales||2,102,670,263 (100%)||1,789,018,386 (100%)||2,076,925,039 (100%)|
The above figures show that the export sales increased by 19% in 2006over the previous year
With greater exposure to international market scenario and risk.
2.15 COMPETITOR ANALYSIS
Only in few years back textile sector in Bangladesh was left behind but current scenarios is different. In recent years a mentionable figure of money has been invested in this industry.
Government is also encouraging this sector. Government is making some favorable policies and minimizing the regulations, so that this sector can be grown up. Among the domestic companies IBRAHIM is one of the leading one. The other potential competitors are Padma Textiles, Shamim Textile etc. Competition will be severe after 2005, that is, during the 3ost multifiber agreement period. World market will be Quota free at that time. So Bangladesh mil have to compete with countries like Srilanka, China, Pakistan, Vietnam etc.
2.16 OPERATIONAL PLAN
The Company’s installed capacity during the year 2006 remained at the same level of the previous year at 59,472 spindles 768 Rotor heads with production capacity (at average 30s/10s counts) as follows:
|No. of Spindles installed||59,472||59,472||59,472|
|No. of Rotor installed||768||768||768|
|No. of Spindles operated||59,472||59,472||59,472|
|No. of Rotor head operated||768||768||768|
|(2) Production Capacity Installed:|
|At Equivalent 30s Count||11,005,000||10,796,424||10,796,424|
|At Equivalent 10s Count||2,204,392||2,204,392||2,204,392|
|(3) Operating Efficiently (%)|
The above statistics depict a picture of continuous growth in production and production efficiency which has been achieved by the production – addicted management at the factory level as well as the top. The total production increased year-on-year basis at the rates of 0.43% and 1.67% during the years 2002 and 2003 respectively.
The Company’s operations are carried out on an aggregate basis and are managed as a single operating segment. Accordingly the Company operates in one segment of developing manufacturing and marketing of cotton / mixed yarn for human as well as industrial use. Besides, to increase efficiency the company uses the following methods.
A complete designing section. For computer aided designing equipped with GERBER & INVESTRONICA systems. For marker making 06 different work stations with digitizing board and full width pattern plotter.
• Computer Aided Spreading (CAS)
Computer Aided Spreading (CAS) 03 nos. cloth spreader from GERBER & IMA , 4*30 meter long air floating table.
• Computer Aided Manufacturing (CAM)
03 nos. sophisticated LASER guided cutting machine from GERBER &INVESTRONICA
Systems. The Company has future plan to expand its operation plan in yarn twisting doubling.
Recommendations and Conclusion
From the analysis with the organization structure we have seen that its span of super vision is too large. A number of departments report directly to the general manager. If the number were less the efficiency and productivity of the organization might be increased. Quality control department should remain prompt always. So that it can maintain a certain level of standard as per the market demand to capture the foreign market share it should strive more.
As I have studied internally I recommend the following regarding the problem and purpose of the yarn marketing.
1) BTMA should arrange more exhibitions to promote yarn marketing. It will help torecognize the spinning industries to the nationally and also internationally.
2) BTMA should arrange more exhibitions to promote yarn marketing. It will help torecognize the spinning industries to the nationally and also internationally.
3) The financial institutes like Bank, Leasing companies and other financial institute should more finance to develop and build the spinning industries.
4) The financial institute should apply flexible terms and conditions to import capital machineries.
5) Skill experts can be hired from abroad for training our people.
6) Spinning industries owners should give more facilities to trained and skilled persons because they help to running the factory smoothly.
7) Government and also elite persons should establish more colleges and universities for training the students and it will help to create skill manpower.
8) Flexible and friendly rules and regulations should apply in these industries by the industrialists. Otherwise this sector will not rise properly.
9) Off the job training and on the job training should be arranged for employees which will help the employees to become more skill.
10) Industries should arrange pension, provident funds and others promotional activities to motivate the employees and that will help to develop the spinning industry.
11) Through the turn over rate is low of this company but the employee turnover rate should be more minimized as possible as quickly. Pervious experienced person is strength for company. If the experienced does not stay long time than new employee will not come to do the job. It will bad create bad effect to the company.
Bangladesh is a developing country. Spinning industries is one of the most important sector for readymade garments sector. Developing of the spinning industries will definitely bring good fortune for our country. Moreover spinning sector not only contribute to the RMG sector but also contribute to the local need. Spinning industries STL is extremely valuable for the concerned. Spinning industries marketing can not be fulfilled by only theoretical knowledge but also need the practical knowledge. If we can combine practical and theoretical knowledge than the spinning industries (yarn) marketing will goes the maximum level. If we use the modern equipments and advance technologies, good management, looking after the welfare of the workers are the key success of the company to get the optimum level of marketing. IBRAHIM Textiles Ltd., has an opportunity to place them as a best manufacture of producing value added products not only Bangladesh but also in the world. The planning, organizing, controlling, designing, creatively and above all the technical skill have cemented the base of this leading spinning industry with highly advanced technology and an emphasis on developing local human resources of IBRAHIM Textiles Ltd has the potential to make an important contribution to the nation’s growing RGM export sector and also local sector. The flourishment of any industry requires combined efforts and co-operation from several parties. Social, political and macro economic environment play pivotal role in this regard. Though IBRAHIM Textile is a newly Ventured Company in the respective sector, its growth and expansion is praiseworthy. Its contributing the country and serving the nation in different ways. If it can up hold its much toward advancement, it will be able to set a role model in our country.
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