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Executive Summary
Masood has grown from a garment export house into the premier business group of Pakistan.
Today, MTM is considered to be at par with multinationals operating locally in terms of its
quality products and management skills.
I recently have done my internship in Masood Mills Limited, in which I got training from each of
its department. The internship basically revolved around the product knowledge training. The
system, the style of working & the commitment of the employees in MTM is really exemplary.
The difference between the success & failure is doing things right and doing things nearly right,
& MTM has always tried for success & that is why it is known to be one of the leading Garment
organizations in Pakistan. Irrespective of all these positive points of Masood Mills Limited, I
have noticed a few areas where the improvement can really increase the efficiency of MTM.
In this report I have given a very brief review of what I have seen during our internship I have
mentioned all these as I have made an internship as according to the schedule. I also
mentioned about the Textile industry in Pakistan and vision of its industry. Then I have done a
detailed SWOT analysis.
I have discussed about my learning in the whole internship that is all about the Textile
Terminologies and process of the productions. I have made it possible to write each and every
thing that I have learnt there. I have all my practical efforts in the form of this manuscript that’s
the asset for my future career.
1.Overview of the Organization:
a) History of the Company:
Kohistan bus service was the first professional step in the life of Ch. Nazir Ahmad (Late) father
of Mr. Shahid Nazir in 1973.Afterwards Dreamland Hotel, Sangeet cinema, Aizad beverages
were established in 1978 and 1983 respectively. Mr. Shahid Nazir helped his father for the
formation of an Industrial Co-Operative Bank along with the development of Rabia Trust
Hospital, Kakakhel ghee mills and a flying training school was established in 1994.
Mr. Nazir Ahmad established Masood garments in 1990 at the Sargodha road near the Sangeet
cinema. At first it was named as Rabia Hosiery. At that time only a few machines, a small
quantity of labor and small unit was established. The core business of this division was knit
ware garments. In 1996 Mr. Shahid Nazir reestablished Rabia Hosiery. The name was changed
and new name is MASOOD Garments.
Masood Management Board consists of 2 family members of late Ch. Nazir Ahmad who
dominated as a leading businessman in this region. The Chief Executive
Mr. Shahid Nazir and the Executive director Mr. Yasir Nazir had a dream of an ideal industry to
be setup not for the profit only but also to create job opportunities, contribute to the country’s
economy and to develop the sense of welfare for general public. This dream began to execute
on the crutches of Mr. Shahid Nazir with the intention of pious contribution towards the
country and the community committed to sound determination. To make the project viable and
successful he made restless efforts.
Nature of company
The facts and figures of Masood Textile Mills (Apparel Division, Mills & Head Office) make base
of this report. Masood Textile having state-of-the-art technology has its own spinning, knitting,
processing, stitching and finishing Divisions. The establishment of MTM in 1984 was in the
shape of spinning mill, later on in 1994 its activities expanded to worldwide popular garments
business. Mr. Shahid Nazir is the sole proprietor and CEO of Masood Group. The Masood
Textile Mill is established under the companies’ ordinance 1984.The Masood Textile Mills is a
Public Limited company. Yarn, Fabrics and Apparels are the famous products of MTM.
The company has latest equipment and machinery to serve globally. The company has modern
computerized networking system. All the Accounting and finance related work is carried out
through computers. The company has capability in Fabric, Ginning, Spinning, Knitting, Laundry
and Apparel manufacturing.
MTM worldwide renowned customers are Sara lee Knit Products, Sears, JC Penny, Nautica,
Dockers, Champs, Champion and Foot Locker & Fruit of the Loom. Eighty-five (85) % of the
products are exported to USA and 15 % to Europe. Fashion garments like Polo, Rugby and
Henley shirts along with basic garments like Crew Neck Tee, Sweat shirt, Boxer shorts and
Bikinis are produced almost 300,000 dozens per month.
In-house embroidery facility is available and equipped with Tajima machine. Professionals
including four hundred MBA’s and one hundred textile engineers are part of the team who
actively show the skills in true spirits that gave such heights to this mill. Textile engineers and
Industrial engineers are the others whose contribution cannot be Masood Textile Mill feels
pride for the achievement of its staff in shape of achieving WRAP and ISO 9002 CERTIFICATION.
The latest computerized Barcode system of MTM that assures quality in every operation of
production from spinning to packing make it unique and the only mill in Pakistan with such
state of the art technology. Barcodes are fixed on every product that assures to be traced back
to the first stage and can be used to find out the root cause of short coming in the process.
Having in-house Yarn, Knitting, Fabric dyeing, Processing, and Laundry and Apparel
Manufacturing facilities make MTM a fully vertical mill. The approximately turnover of 80-90
Million dollars in year 2010 depict its very profiting venture.
Vision statement
“To be the world’s best apparel company
Mission Statement
"Our vision is of continual improvement and sustained growth, and of a family of workers.
Who are given the best compensation benefits and working conditions in the region? In this
respect, MTM continues to emphasize the need to invest in and develop its most precious
resource - its human capital. MTM continues to provide training courses and self-enhancement
opportunities for all our workers".
Objectives
The main objectives of studying the organization are:
A big organization to learn most out of it.
Comprehensive and Systematic functions to enhance my capabilities.
Exports based Company.
More advantageous than locally dealing Company.
Tremendous Transactions.
Public Limited Company.
To Polish my Self.
Practical application of the knowledge obtained in the specific area.
To review whether or not the theoretical concepts of specification are being applied.
Internships will provide me the opportunity to test my interest in a particular career
before permanent commitments are made.
Internship will develop my skills in the application of theory to practical work situations.
Internship will develop my skills and techniques directly applicable to my careers.
Internships will aid me in adjusting from university to full-time employment.
Internships will increase my sense of responsibility.
Internship will acquire my good work habits.
Internships will provide me the opportunity to understand informal organizational
interrelationships.
To equip myself with enough practical experience to have a good practically,
Successful career.
Business Volume
Rupees In ThousandsSr.No Year US $ Sales Rupees % Age
1 2006 81,653 4,899,190 11.012 2007 100,296 6,017,735 13.533 2008 117,683 7,884,785 17.734 2009 136,827 10,946,180 24.635 2010 171,172 14,720,830 33.1
Total 607,631 44,468,720 100
MTMIntegrity
Trust
Respect
Interpretation
An exchange of goods, services, or other property for money.Sale is the main force of any
company. Every organization tries to their best level to improve their sale volume. It could be
possible when company improve process and Quality.
By satisfying the customer show that sale volume should be increased.
In 2006 the sales of MTM 11.01% of total sale this trend is increase and 2007 the sale volume of
company is 13.53%. Next year 2008 due to demand the sale of MTM increase and sale of
17.73.
Next year 2009 and 2010 the trend or sale increase with respectally 24.63% and 33.10%.
Our values Respect for the individual, integrity, speed, simplicity, self-assuredness, and a 100%
commitment, our values are non-negotiable; they are never to be jettisoned.
For us, our values are our wellspring.
To provide market leadership and brand coverage.
To pursue technological innovation.
To Partner with operators for their maximum productivity.
To provide virtuous to our customers, employees, communities, and the environment.
Organizational Structure
Masood Textile established in 1994. Founder of the Masood Group is MR. Nazir Ahmad (late).
Now the MR. Shahid Nazir is the Chief Executive of MTM. MTM was a private organization in
start. In 1999 Masood Textile turned from a private company to a public limited company and
listed in KSE.
Directors
Mr. Naseer Ahmad Shah
Mr. Matloob Hussain
Mr. Muhammad Arshad
Mr. Muhammad Ali Sohail
Mr. Fazal Ahmad
Mr. Muhammad Nawaz Tishna (Nominee-NIT)
Chief Financial officer
Mr. Tanveer Ahmad Siddiqi
Auditors
M/S. Riaz Ahmad & Company
Chartered Accountants
Company Secretary
Mr. Abdul Bari Haqqani
Bankers/Financial Institutions
Habib Bank Limited.
United Bank Limited
Habib Metropolitan Bank Limited
MCB Bank Limited
Vertical Operations
Spinning Knitting Fabric Dying Mills Processing Laundry Cutting
Stitching Finishing Apparel Division Packing
Operational
Masood is a truly Vertically Integrated Textile Unit. It has in-house Yarn, Knitting, and Fabric
Dyeing, processing, Apparel Manufacturing and Laundry facilities. The Company has five SBU's
and a highly qualified experienced mills manager heads each unit. All Mills Managers in turn
report to the General Manager. The objective to operate in this manner is that there is a close
co-ordination and link between all the divisions. Every unit operates in the most efficient
manner in-order to achieve competitive prices, timely delivery and quality products.
HUMAN RESOURCE DEPARTMENT
H.R Manager
Sr.H.R
Manager
H.R Executive
Management
Trainee
Human Resource Management:
In basic objective of HR Department is to manage the company employees so efficiently that
they give maximum output.
To achieve this objective following functions are performed
Function of Human Resource Department.
Human Resource department’s main function is recruitment of employees. They analyze the
job and then try from internal sources. If there is no suitable person they hire it from external
source for this they give ads in newspapers and there is a complete selection procedure for
hiring an employee. This is a chain system the chain starts from job analysis, then strategic
planning and then selection. Total merit base system is adopted for selection at managerial
posts. While reference system is used for workers selection.
Timing & Development.
MTM has a complete on the job and classroom training g program for its employee. Every
employee has given proper training about his field; instructors and coaches are appointed for
this. Emphasize s given on employee’s career development. Employees are encouraged to
participate in different refresher courses and seminars.
Monitoring and Evaluation. Employee’s performance is constantly monitored and evaluated on
monthly basis. His or her working efficiency or checked and evaluated by top management.
Performance of inline inspection on monthly basis
Compensation & Benefits.
MTM is an equal opportunity for employees.
Performance Appraisal.
MTM has a complete employee relations system. Following facilities are provided under this
system.
Discipline.
For maintaining discipline MTM has career counseling which talks about employee’s problems
relating their jobs.
Complaints Handlings.
Because in MTM males and females work together to there are complains or harassment and
such other problems. So MTM gives full authority to its managers to tackle these problems.
Complete secrecy is maintained while taking action against it.
Objective of Human Resource.
To help the organization to reach its goals
To employ the skills and abilities of the workforce efficiently
To provide the organization with well trained and well motivated employees
To increase employee’s job satisfaction and motivation
To develop and maintain an quality of work life
To communicate and implement HR polices
To help maintain ethical polices and behaviors
Production planning control (PPC)
PPC Manager
Deputy
Manager PPC
Asst. Manager PPC
Sr. PPC Officer
Management trainee
Production Planning & Control Department
The basic objective of PPC departments is to prepare a total profile of working on a product
order. In PPC profile color and size break down, time line, cutting program, size chart and
stitching details, packing programmed, accessories sheets and action calendar is describe.
Beside that PPC action calendar is describe. Beside that PPC department prepare a costing
sheet for the P.O.PPC department performs following functions:-
Costing
PPC department prepares a job cost sheet. In which cost of manufacturing a product is
estimated. While estimating the cost following things are taken in concern. Products quality,
size color, fabric, embroidery, accessories, packing material, rejection margin, stitching cost,
freight, taxes, duties, insurance. After estimation all these things proposed cost per piece is
mentioned.
Re-Planning
PPC department’s another functions is re-planning if a sudden situation occurs, which disturb
the process PPC department re-plans the situation and handle it for example fabric shortage,
fault in machine, workers are absent etc. PPC manage all these problems according to situation.
Production Capacities
It is the second responsibility of PPC to check the production capacities of Masood.
Here by production capacity we mean two things.
Capability
It means that the labor and machines a Masood is able and not to prepare the garment
that customer requires.
On Time Delivery
It meant that we will hand over the shipment as per contract, for this purpose PPC has to check
these things
Fabric Production Capacity
Cutting and Stitch time
Vacant Labor and Machines for processing the Order
PPC has to provide this information to the merchandiser so that he can negotiate
withcustomer.
Merchandising Department
Merchandising
Manager
Sr. Merchandiser
Merchandiser
Asst. Merchandiser
Management trainee
Merchandising Department
MTM’s merchandising departments is very active it performs marketing functions. As MTM is a
marketing oriented company so this department has to play a vital role in company. Basic
objective of merchandising department is to take orders from existing customers and to attract
new customers. And to satisfy customers by quality products and timely deliveries.
Function of Merchandising Department.
Merchandising department performs following functions to satisfy the customers.
Merchandising department’s role in Apparel industry is very important. It plays the role of
marketer. They initially contact the customer. They negotiate the customer about product
design, specifications and productions techniques. They play the role of liaison between
customer and the company. The merchandiser is the front man of customer. His main objective
is customer satisfaction. The merchandising department prepares the sample, estimate the
price, develop the fabric and take approvals from the customer about the order.
Pricing
Merchandising department calculate price of the products. For this purpose merchandising
departments coordinates with PPC department for costing and then adds company’s profit in it
and negotiates this price with customer. Now MTM is designing a computerized costing system
known as ACS. Apparel costing system. By installing this system the price of a product is
automatically calculated.
Sampling
For sampling purpose merchandising department has a sample room. Where all type of
samples is prepared, merchandiser prepares the proto sample and sends it to customer for
approval. Lead-time of proto sample is 3 to 4 days. Merchandiser prepares the samples
according to specifications of the customer. Amendments are made in it.
Inventory Department
Stores
In apparel division of Masood Textile have three types of stores,
1- Fabric Store
2- Main Store
3- Shipment Store
Fabric Store
Here fabric received from Masood Apparel Division is stored the fabric is received in form of
lots. The (out) pass is issued to this fabric when it exits from mills, serves as (in) gate pass in the
apparel division, this gate pass has detail like lot number, weight, yarn count, number of rolls,
color and order number for which the fabric will be used. After unloading fabric is brought to
fabric store.
Manager
Inventory Manager
Fabric Store
Main Store
Store In-charge
Shipment
Job Card Filling
This job card contains all necessary information about fabric such as purchase order number,
fabric quality, garments description, received dates, shelf numbers in which it will be Stored
before production.
Main Store
Here they store accessories me use in production (e.g. thread, twill tape, buttons etc.)
administration accessories (stationary kitchen stock etc.) and accessories relation to transport
vehicles. Simply we can say every thing except fabric is stored here.
Shipment Store
Here all the shipments are stored. After production and packing garment is stored to shipment
store and functions of export department shipment is moved from shipment store to
containers for KPT.
Other Stores
Garments, Fabric, and accessories are stored to other department like
Crescent Godown
Saeed Colony.
Quality Assurance Departmen
Q.A Manager
Deputy
Manager Q.A
Asst. Manager
Q.A
Q.A Officer
Q.A Auditors
Quality Assurance Deptt.
The main objective of the quality assurance departments is to ensure the quality or finished products according to the customer’s specification.
Role of Quality Specification
Quality assurance department’s first responsibility is to check the quality of finished products.
For this purpose quality audit is conducted. In which the finished garments are checked
according to customers P.O Fabric, quality, color, sizes, accessories, Embroidery, stitching &
quality everything is checked by Quality Assurance Deptt. If everything is OK then the shipment
is approval otherwise it is rejected. Because quality policy of MTM is to satisfy customer at
every cost.
While auditing finished goods Q.A. Officer also checks the measurements of the garments and
tallies them with standard measurements for the respective sizes. In final inspection the officer
have a standard fault form. He checks the garments and fined fault. If the fault ratio is more
than 2.5% he is rejected the piece.
In that form description of faults are mentioned. Q.A. department ensures that to 100% quality
is maintained. Beside quality audit Quality assurance department evaluate the performance for
the In-Line inspectors and final inspectors on these evaluations their pays and bonuses are
allocated. The department also gives cash awards to best performers. And a quality trophy is
also given to best unit.
Role of Quality Control
In parallel to cutting quality control works. There are in line supervisor in cutting department
who audits the bundles. Match mock-ups and find fault, they count the pieces, to 100% pieces
are counted and 20% pieces are audit. If the pieces are not up to the specifications they are
rejected, if the pieces are ok they are approved and send ID induction Department.
Laboratory Test for Fabric quality
Certain lab tests are used in MTM for the checking of fabric quality. These are following.
Shrinkage Test
G.S.M. Tests
Width Stretch Test
PH scale Test
Crooking Test
Bleeding Test
Scorching Test
Hot West Press Test
Cotton Polyester Test
To qualified fabric specialists in a lab do these tests
Information Technology Department
I T Department
EDP Manager
Deputy
Manager
Asst. Manager
Web
Developer
Officers
Data
Manager Web/E-Mail
MTM Garments Division has very modern fully equipped I.T department the basic objective of
I.T department is to collect, interpret and summarize the data in an easily understands able
form. Now we discuss I.T at Masood briefly.
Applications of I.T at MTM
Information technology department has different programs for different functions those are
following.
H.R.M.S
Human Resource Management System (H.R.M.S) is a program in which all the data about
employees is stored. This data is readily available for higher management. HRMS works on
following grounds.
Employee’s evaluation Form
Evaluation History of the employees
Complains against Employees.
Department Wise Strength of Employees & Budget
Month wise employee’s turnover
Reports about Employees
G.M.S
Gate Management System (GMS) is a program, which deals with the function of gate office. In
this system following functions are perform…
Employees IN/OUT record and time
Visitors IN/OUT record and time
Temporary Employees IN/OUT record and time
Every employee of MTM has card. Which he or she scans while IN/OUT its time is
noted?
There are certain reports about In /Out system preserve in GMS are available for higher
management.
E.P.S
Employee’s payroll system is design to generate employee’s salaries and benefit in
computerized system this system performs on following ground.
Generation of Employees Salary
Generation of Pay Salary
Salary History Employee
Gratuity Record
Leave encashment Record
This system makes easy the payment procedure and reduces corruption and increase efficiency.
Apparel management system (A.M.S)
Apparel Management System of MTM is very unique. It keeps the total record of every piece
made by MTM up till now; every garments manufactured at MTM has a barcode numbers
which is feeded in AMS. And whenever is needed this number is feed and complete History of
that garments is open.
AMS works on following grounds
Complete backtrack of garment
In Line status of customer’s P.O
Worker evaluation
Contractual employees wages calculation and Financial Summary
Error Tractability in finished produce
Reduction in fabric loses
Reduce duplication of work
Paperless environment
System Security
Unique ID tracking Number of each garments
Back tracks form cotton crop type, yarn, knitting, fabric processing, and cutting, stitching,
inspection, packing and shipment.
Organization Planning and Development (O.P.D)
OPD is also oracle base programming in MTM throgh it all apparels and mill link with it. In which
include all information regarding employees personal detail, salary, promotion, increments and
many more. It’s use is very easy just add the employee code and emplyee and get informatin of
employee. Code means bar code issue by the HR department through OPD.you can excess any
employee information from any computer of apparels and mill where I.T department give
access of this Software
I.T Network in MTM
Local Area Network (LAN)
Masood Textile’s Apparel Division has about 180 computers. These computers are interlinked
via local area network. This network provides fast moving of required data and also facilities
intranet facility within the company. All employees within the organization can easily
communicate through IT. MTM has a hub, which provides LAN facility according to
requirements of the system.
Wide Area Network (WAN)
Masood Textile Mills (Apparel Division) is linked Masood Textile Mills (Fabric Division) which is
32 Km far from it. All compilers of Apparel Division are linked to Fabric Division through a
communication Tower. This system works like mobile phone system.
Beside the MTM has satellite Internet system. For this a satellite dish is installed at the factory.
Every employee or MTM has free Internet facility.
E-Commerce/Web Site
Masood Textile is working as a “B to B”company, it uses Internet for its negotiations and
transactions with its custome
Finance department
Finance & Accounting Operation
Maintaining the data base of accounts department
Historical and periodical reports
Presentation of Financial Statements
Cash flow statements and cash disbursement
Bank reconciliation statements
Reconciliation with parities
Variance analysis
Production vs. shipment analysis
Analysis on loss of profits
Performance evaluation reports
Yield analysis
Monthly Stock reports of all units & stores
Working of Compliance Audit.
Function of Finance Department:
Accounting Systems
Masood textile have the set of manual and computerized procedures and controls that provide
for identifying relevant transactions or events; preparing accurate source documents, entering
data into the accounting records accurately, processing transactions accurately, updating
master files properly, and generating accurate documents and reports.
Finance Systems
Masood textile has a vertical unit including yarn to stitched garments. To meet the requirement
of money for its manufacturing and selling expenses Masood finance system help to arrange all
necessary amount in all field and all departments. Most common tool of this organization is
short term loans or finances. In detail they acquired loan or finance against those purchase
orders that came from buyers and will be shipped latter to these buyers approximately with in
three or four month. Due to this heavy volume of goods produced and sold this kind of loan
required to full fill the requirement of factory overheads.
Use of Electronic data in Decision Making
Masood Marketing and other official use electronic data in decision the examples are as
follows:-
PowerPoint presentation on projector
Product pricing with buyers on internet
Oracle web based information system
Mobilization of Funds
Head office of Masood Textile situated at Canal road plays a vital role in mobilization of funds
according to the financial needs of its units and payments of creditors / payables.
The Major Kinds of Funds Mobilization are as under:
Creditors Payments Rs. 64.9 Million
Salaries, wages and other benefits Rs. 10.0 Million
Distribution, Selling , Administrative & General Expense Rs. 96.34 Million
Million, Direct Material Rs. 315.50 Million
Generation of Funds
Masood Textile Is an exporter of Apparel product all over the world. The foreign remittance
received in USD by bank and the banks pays this amount to Masood Textile in Pak Rupees. The
figure of per month average sale is Rupees 700.00 Million
Source of Funds
The major source of Masood Textile Is an export / Sales and other source of funds are banks for
the purpose of deposits, receiving of remittance, loans etc.
Allocation of Funds
The head office of Masood Textile provide funds to all of its sites , offices and units as per their
demand , the sites which includes Apparel Division , Mills , Karachi Office, Lahore office send
demand of required amount regarding expenses , then head office have the responsibilities to
arrange finance / money as per desire of its sites or offices.
The Example of per month expenses are as under:
Apparel Division Salaries, Wages & Factory
Overhead Rupees.
Mills Rupees. 160.00 Million
Lahore Office Rupees. 1.80 Million
Karachi Office Rupees. 0.20 Million
Work of internal Audit
In this department the purpose of this department is to minimize the cost of company.
How To general item
How to Approved sample.
Check payments and report.
Give suggestion to management.
Overall check position of APPAREL 1.
Behavior of the Organization
The behavior of the Masood Textile team is very friendly with each member of his team and to
the all internees of different universities of Pakistan. The Human Resource Department
manages the student’s training with different department of this organization like their lectures
& visit to all departments. The official of Human Resource department make scheduling of all
internees badge for training purposes with different departments as per required experience in
the specific field of the students.
The normal procedure of Masood textile recruitment is that they hire fresh MBA’s and make
preference to those MBA’s who already completed their internship with Masood Textile.
But this trend is observed they hire B.com (hons.) students which do internship in MTM after
complete their degree they can apply and take preference.
SOWT Analysis:
Key Strengths of MTM:
ISO 9002 Certification.
WRAP Certified
Export-oriented organizations
Vertically integrated.
High quality products.
Excellent market image in the local and international market.
Highly qualified management.
Talented marketing managers
Qualified finance staff
Adequate financial resources.
Competitive advantage.
Sound policies
Successful history
Adopting information technology.
Loyal customers.
Skilled Labor.
Broad and motivational vision.
Back Track System
Key Weaknesses of MTM:
Rely on foreign customers.
Increased employee turnover
Centralized management system
High cost of production.
Low production capacity.
De-motivated Staff.
Less promotional activities.
Non-Corporative culture.
Insufficient benefits for the employees.
Not any separate Brand name.
Communicational gap among different departments.
Not criteria for workers Reference are extensively use for this purpose.
Continuous improvement in Apparel not in spinning and knitting.
Not any permanent buyer agent in Europe.
Key Opportunities of MTM:
Can expand its division such as entering in weaving sector also.
Can introduce its own label in domestic as well in international market
Increase demand of Pakistan cotton-made products.
Can capture new market segment.
Can introduce product in Pakistan.
Advertising growth.
Can reduce the cost by proper utilization of resources.
Can hire well-educated and experienced staff.
Key Threats of MTM:
Entry of new competitors just like China & India.
Buyer need and demand changes.
Political instability.
Changing geopolitical situation.
Change of government policies.
Low price offered by competitors.
Globalization. (Foreign investor can invest).
Conclusion
Masood Textile is one the best apparel producer in Pakistan. Most probably number 1 in
Pakistan and 3rd on Asia. Masood is successful in developing such a great system which is
unbeatable at least in Pakistan.
Masood Textile is running by a devoted team of manager and professionals. Apparel
management System of Masood Textile is helping them in giving best of their effort.
Masood has been able to get regular customers from U.S.A. like JC Penny. Moreover JC Penny
has also given best quality award to MTM in 2002. It’s probably only firm in Pakistan who have
won WRAP award.
Inside the organization Masood textile is practically meeting the challenges of Global Village.
They have created completely paperless office; every activity of Masood is online. In/Out time
of employees is also computerized.
I have observed some negative things also during my internship in Masood like sometime extra
burden is loaded on worker due to late shipment. Moreover its common opinion of every one
about MTM that employees of Masood only knows the in time but they not know the out
timing from office.
Even Masood has great capability to meet the requirements but sometimes Masood get the
order in such a bulk quantity that its capacity becomes lesser than orders.
Financial position of MTM is better than many other organizations. Masood’s decision-making is
centralized due to which no problem occur in lower level management. They level management
of Masood is also performing well.
As Masood working on their mission to be the world’s best Apparel Company but there is no
end of anything always a room for improvement exists.
Suggestions & Recommendations
No doubt Masood Textile is doing well; even more than its capacity. They have proved
themselves in the INTERNATIONAL market but there is still room for improvement. I would like
to give some suggestions at the end, I trust that MTM’s authorities will look into my ideas and I
hope for best in future.
Masood Textile Mills Limited should invest their spare money / cash in different
securities or portfolio to increase profit maximization.
Masood Textile Mills Limited should increase its market share either through cost
minimization or innovations.
Masood Textile Mills Limited should bargain with banks for lowest rates of interest
to decrease the financial cost.
Monitor capital expenditures to make sure that these are not misappropriated.
Masood Textile Mills Limited should try to reduce per minute & per unit cost to
meet the buyer’s requirement regarding low prices due to competition.
Masood Textile Mills should try to reduce the financial cost that normally incurred to
meet the huge level of business volume.
Expansion of company to generate more funds through issuance of share rather
than to get loans from banks. The company should minimize its gearing ratio to
improve its financial position.
Need to improve fabric to induction process to avoid air shipments.
The biggest problem of this time is needed to improve proper execution of customer
purchase orders.
Need to improve utilization of available capacity to reduce per unit cost to increase
the market share.
Need to reduce cost of white elephant of apparel division i.e. high rejection, excess
cutting, excess consumption of accessories, air freight, un-absorption of fixed
overhead, overtime etc.
Need to develop a culture of cooperation and teamwork. For this purpose a
revolutionary commitment from higher management is required at this time,
otherwise MTM may not be able to cash the benefits of quota elimination.
Proper training at each level should be given to the employees.
To have its own ginning units is not bad idea at all. This would not only eliminate the
dependency on the suppliers of cotton but would also help in the production of the
high quality yarn.
The problem of mistrust and communicational gap between the departments may be
removed through:
a) Behavioral Training of the line management.
b) Induction of Master’s of Commerce and Business in all the departments.
These MBA’s will play the role of bridge among different departments. This will improve the
cooperation, communication and behavior of line management with the working force.
References:
Interview with following Person were conducted for information
1. Mr. Nadeem Akhtar (Asstt. Manager Internal audit)
Documents used for compilation of this report.
1. Masood textile Mill Ltd. Fsd, Annual Report 2006 and 2007
2. Masood textile Mill Ltd Fsd, Annual Report 2008 and 2009
3. Review of Pakistan textile industry 2010.
Future trends of project management in Pakistan
INTRODUCTION
The business and construction industry is becoming increasingly global and the role of the project management professional now includes many front end services, which increases the required skill set of new graduates(Choudhury, 2000; Kay, 2001). Project management is no longer a special need management (Arain, 2005a).Alternative contractual delivery systems, collaborative partnerships, new management initiatives, and global product markets require professionals and students to have a broader awareness of construction methods and project management issues. Duncan (1996) defined project management as the application of knowledge skills, tools and techniques to project activities in order to meet or exceed stakeholder needs and expectations from the project. Project management is rapidly becoming a standard way of doing business (Arain and Assaf, 2003). An increasing percentage of the typical firm’s effort is being devoted to projects. The future promises an increase in the importance and the role of projects in contributing to the strategic direction of organizations (Arain, 2005b). In the developed world, many academic disciplines inside and outside the project management education have successfully used study abroad programs as an effective means of broadening project management students’ academic, personal, and professional views of the world(NASFA, 2003). This certainly is the dawning of the age of project management in the developing countries. Duncan (1996) identified different stages of project management such as project initiation, planning, execution, control and the closing process. Bryde (2003) discussed different terms which have emerged since the beginning of 1990’s to describe the project management approach. These terms include: modern project management, management by projects, projects (project management)culture, and beyond the Gantt chart.
Project waste is typically viewed in seven categories:
Staff time on the project Non-human resources such as materials and equipment, Methods that are not optimized, Idle time while decisions are pending,. Using the wrong tools for activities, Weak plan for implementation, and Wrong skills assigned to the project.
We know that discipline of planning, organizing, securing, and managing resources to achieve specific goals is the key definition of the Project Management since early civilization. As the price of resources increases, we need to find new and better methods of conducting project work to offset costs while remaining competitive in the marketplace. Hence we lead to the situation to forecast future trends in the project management. While it’s not possible to predict what’s going to happen in the future,it’s pretty easy to predict the trends in the field of project management. How? We can forecast the project management trends based on what has happened in the previous year and based on recent survey results. Following trends are the summary of the recent IT management trends based on recent management study reports and a few survey reports.
Let’s try to forecast the trends based on the above mentioned survey results and trends. There is no doubt that today we will face more aggressive competition than in the past and the business environment we operate in is a highly turbulent one. Regardless of improvements in project management, there must be new methods of performing that saves on the cost of resources consumed to offset increases in price. Let see what I can. I would think that the following project management trends would take place
Customer Trends People from middle class society are increasingly making use of the Internet.
Economics Trends
Pakistans GDP is growing high and the progress is really remarkable in this year.
Business Trends
Outsourcing is growing and E-commerce has gone social now. Also, businesses want to sit next to the customer when developing products and services for better feedback.
Social Trends
People all around the world are started to use social networking sites such as Face book, LinkedIn, MySpace, and Twitter to share their experience.
10 Trends Ruling Project Management That Will Affect Your Future
1. Leadership Skills Will Be the PM's Critical Success Factor
Leadership skills, such as critical thinking, crucial communication, and organizational change management, will be strategically imperative project management competencies to master. In 2011's project management landscape -- featuring more complex projects and greater use of
Clear objectives that support the mission or purpose statement, emphasis client management.
Clear mission or purpose statement that describes what the project is to accomplish. More controlled requirements and processes definition.
A comprehensive list of facts and assumptions that are related to accomplishing the mission. Here where we need great emphasis on Risk Management too.
Well defined schedule to describe activities, their durations, and allocated resources.
Emphasis on leadership and good people management practices, proper resource management.
More use of free-wares, open source software and collaboration tools, emphasis on new technologies.
Proper quality control and a clear description of the periodic review practices.
A project close-out procedure that includes delivery of the product.
virtual teams -- being on time and on budget will require not just a laser-like focus on the triple constraints, but on the requisite leadership skills necessary for an individual project manager's success. The challenge for organizations will be to clearly define what "leadership" means in the project and program management context.
2. No Industry Will Be Spared from the War for PM Talent
Savvy talent management and retention strategies will be essential to ward off poaching in 2011. Although economic recovery has been uneven worldwide, project managers (PMs) with the greatest mobility and experience will have the best opportunities for career growth through "overseas" assignments. In particular, India and China will continue to be plagued by a dearth of competent and experienced PMs to manage large and complex infrastructure and IT projects. Additionally, as mega-projects at the King Abdullah Economic City north of Jeddah and King Abdullah Financial District on the outskirts of Riyadh kick into high gear, more opportunities for work in the Middle East will become a reality.
3. Agile Will Be Seen for What It Is…and Isn't
Project management organizations embracing Agile software and product development approaches will continue to grow while being faced with the challenge of demonstrating return on investment through Agile adoption. In addition, they will need to disabuse their stakeholders and executives of the expectations set by IT consultants, the media and the vendor community that Agile is the next "silver bullet." Organizations that do it right -- including selecting the right projects for Agile -- will reap significant rewards.
4. Competency Models Will Be Core to Managing Professional Development and Promotions for PMs
As project management gains greater acceptance as a discipline, the hiring, assignment, promotion, and professional development of PMs will be based on comprehensive competency models. In order for these models to be effective, they must be company-specific. Competency models illuminate the behaviors required for a PM to be successful and take on larger and more complex projects. Accordingly, the chief learning office or senior human resources executive, business unit heads, and the enterprise project management office need to work shoulder-to-
shoulder to identify and codify organization-specific competencies, thereby building a framework for talent management success.
5. Experiential Learning Will Be More the Norm than the Exception
The professional development of PMs will increasingly focus on reality-based learning and on- job training, an approach certain organizations in Asia have taken for many years. Learning providers will be required to send PMs back to the job from such sessions with the ability to immediately apply what they learned to their current projects. Even the many universities that offer project management degrees will face the challenge of making their courses and programs relevant, practical and pragmatic based on participants' real projects. The lecture mode is dead and any training provider or university who ignores it does so at its peril.
6. Informal Learning for PMs Will Gain Momentum
Organizations will continue to develop and exploit informal learning approaches such as communities of practice, various forms of social media, as well as coaching and mentoring. With millennials joining the workforce in greater numbers, we will witness more effective use of social learning technologies and approaches, such as wikis, blogs, videos, podcasts, and other methods of communication. With four generations now in the workplace, it is not only the millennials who will benefit by such relatively new forms of learning. However, the great Zen kōan question of the day is, "If informal learning becomes formal, does it become formal learning?" If the answer is yes, do we search for more informal learning to formalize?
7. Project Sponsorship Will Become an Area of Focus in South Asia
The roles and responsibilities of the project sponsor will be a key focus in South Asia, especially in India and Bangladesh, as organizations try to accelerate their structured approach to project management. Such organizations are trying to avoid the experience of others in their industries around the world whose "spotty" record of success in project sponsorship has contributed in whole, or in part, to less than successful projects.
8. Outsourcing Will Remain a Risky Business
The continued growth of outsourcing will force organizations to pay more heed to its associated risks and conduct better due diligence. As a response, organizations will strengthen their risk management cultures and recognize the value of best practices in contract management. More than a euphemism, the word "sourcing" will replace the term outsourcing as it more accurately describes the resource allocation approach both internally and externally for many organizations.
9. PMs Will Team with "Change Partners" and Use Structured Methods to Facilitate Adoption
Projects initiate change and PMs are change agents. Yet, they have been ill-equipped to facilitate the type of change required to adopt the product or service the project delivers. In 2011 we will see more organizations developing and assigning "change partners," also known as change management experts, to projects to assist in such adoption. Moreover, project teams will slowly but steadily increase their use of change management methods, which will be packaged as methodologies.
10. The PMP Will Continue its "World Domination," but Will No Longer Be Enough
With 400,000-plus holders, the PMP will continue to be the most popular project management credential in the world, outpacing every one of its rivals as the "credential of choice" among practitioners. While most organizations will continue to support their PMs in earning the credential, the value of proven experience and demonstrated competency will take on even more relevance beyond having the certification itself.
Project management continues to play a critical role in driving operational efficiencies. Savvy business leaders are putting more stead in project management to fine tune their competitive advantage. Alongside technical savvy, other skills such as negotiation, communication, critical thinking, change management, and leadership are taking on new importance for project managers. Influence and organizational agility will be key factors for performance improvement going forward.
The Future of Project Management
Implementing project management and quality management programs introduces change into the work environment. It means moving people from old methods, structures and procedures into new ones. It involves learning new skills and roles. Even for a stable organization, it is difficult to manage the transition using regular structures and approaches to training. Managing the change process from the initial successful pilot to full realization of project management and quality management systems is a complex and challenging task that requires continued attention from management.
Successful project management systems require that the organization undertake a significant cultural change because project management systems have a profound effect on: reporting structures, performance systems, communication systems and resources. Employees need to be prepared for the changes that will be necessary and to understand the benefits of the change.
Our research of over 750 organizations worldwide, From Crisis To Control: A New Era in Strategic Project Management, has provided some key insights into the future of project management. Here are some of the trends we have noted from the findings of our research:
1. More organizations will implement a strategy and culture initiative to ensure success with projects.
Our research indicates that organizations are missing an opportunity to align projects with organizational strategies and do not effectively manage their capacity to undertake complete projects successfully. To overcome these deficiencies many organizations set up Project Management Offices. Despite this investment, many of these Project Management Offices have failed to deliver on the promise of measurable impacts on the bottom line.
The research shows that successful project management systems require that the organization undertake a significant cultural change because project management systems have a profound effect on the structures, systems and resources of the organization. Employees need to be prepared for the changes and understand how it will benefit them.
2. Organizations will start to recognize that Quality Management is part of successful project management.
Our research found that more effort was given to organizational tasks than to establishing processes or guidelines to prioritize projects in alignment with the organization’s strategic plan. Project quality systems will evolve to establish quality standards for processes and documents used in projects. The “ISO 10006, Guidelines for Quality Management in Projects” improves project management. This guideline provides direction on the management of project processes within a quality management system in order to achieve project objectives.
3. Project Management Offices will become passé.
Despite considerable effort and investment in Project Management Offices, the findings of our research indicate that for the most part, they fail to gain the approval of senior management team. Just as quality departments and quality steering committees no longer exist, the Project Management Office will also become passé, having played out it’s role as an agent of change inside the organization. Instead, senior management will focus on the interests of the organization as a whole and decide on strategic importance of projects and resource allocation requirements.
4. The role of the project manager as a unique position will die.
Just as the role of the quality manager is no longer today what it was 15 years ago and this job title is rarely found in organizations today, similarly, we see that the role of the project manager will also evolve to become a work skill that is part of every employee’s job responsibility. This will require a cultural shift in how projects will be managed in the organization.
5. Performance management systems will incorporate the management of projects as part of
a total job performance measurement.
It is evident from the research findings that current performance management systems are out of touch with how work is being done today. The rise of Matrix Management Systems, in which staff has dual responsibility; day-to-day operations - to their direct supervisor and functionally - to a head office specialist, require staff to be involved in projects as part of their job function (which is not part of their job description). Yet existing performance management systems fail to properly reward and recognize employees assigned to project and quality teams.
Performance management systems must therefore incorporate the overall performance of an employee according to their job description in combination with their performance on projects and quality initiatives.
6. Organizations will seek out training that combines both quality and project knowledge-based learning.
As project quality systems become implemented by more and more organizations, a new skill requirement will evolve that we refer to as “Business Process Management.” This competency will combine quality and project management knowledge. Organizations will soon begin searching for curriculums that span both areas to accommodate the merge of these two disciplines as a critical skill.
7. Project and quality principles will be infused into everyone’s roles within an organization.
As principles of project management fuse with quality management requirements, organizations will expect a quality-based approach to the management of projects so that corporations are able to successfully execute projects time after time. Quality and project management will be infused into everyone’s roles and will impact all organizational departments.
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