1

2

Dedica

ted to:Miss:

Zoofishan Sahgal

3

Fatima

Hira

Sana

Group No:9

4

MUMZA LEATHERS

Introduction Vision & Mission

Production Process Nature & Location of

business Data SourcesOrganizational planMarketing Plan

Financial StatementsRisk AssessmentsFuture Plans

PROJECT OUTLINE

5

6

MUMZA Leathers is the manufacturer of leather gloves and jackets.

It was established in 2007.

It is a family oriented business.

INTRODUCTION

7

MR. .ZAHID MAHMUD IS THE

OWNER OF MUMZA

LEATHERS!

OWN

ER:

8

The nature of business is sole proprietorship

NATURE OF BUSINESS

9

Abdullah Palace, ops Mughal Hospital Pastor road, Sialkot – Pakistan.

10

11

TO serve and become a business & production model”

12

13

Promote our Quality products & services.Ensure customer satisfaction by offering Quality Products and services driven by their needs.Produce Best Quality of products using best latest techniques and machinery.

PRODUC

T LINE

14

15

PRODUCTION PROCESS

16

RAW MATERIAL

TUNNING

WASHING DRYING

DYING

SIZE CUTTING

SEWING

LEATHER GLOVES & JACKETS:

17

RAW MATERIAL

Lambskin

Sheepskin

Goatskin

18

TUNNING

It converts skin into stable consistent condition that can be worked on in many ways to produce different leather types.

19

WASHIN

G

20

DRYI

NG

21

DYEING

22

SIZE

23

CUTTING

Leather cut into different sizes and shapes for the purpose of stitching.

24

SEWING

25

MATERIAL REQUIRED

IP

26

Thread

27

Buttons:

28

TOOLS

29

Innovation in

Tools

We have introduced some latest machines for production

which might help us for increasing sales volume.

Cutting machine

Sewing machine

Electric scissor

30

CUTTING MACHINE

31

SEWING MACHINE

32

ELECTRIC SCISSOR

ELECTRIC SCISSOR

33

34

MACHINES REQUIRED

Cutting 10

Sewing 25

Cutting scissors 15

LATEST MACHINES REQUIRED FOR PRODUCTION:

35

SUPP

LIER

36

HIRA

MC12141

37

Internal sources

Group Members

Subject Instructor

DATA SOURCES

38

Group Discussion

39

Subject Instructor:

40

Employers:

41

42

43

55%

35%

15%

RESULTS OF QUESTIONNAIRE

55% who like leather products.35% who don’t like leather products.15% who like leather products but some specific brands.

44

ORGANIZATIONAL PLAN

MUMZA LEATHERS

45

As we have already explained that they are doing work with the help of more than 10 employees, business working conditions are not properly defined and organized for this we have make the organizational plan for the business.

46

:DEPARTMENTS:

47

Production Department

Raw MaterialControl

Packing Department

SellingDepartment

48

DIRECTOR GENERAL Mr.Zahid

PRODUCTIONManager

MIS.Madiha

MARKETING MANAGERMr.Muaaz

INVENTORY INCHARGE Mr.Hanzala

SELLING MANAGERMr.Safwan

FINANCE MANAGER Mr.Shahan

HIERARCHY

49

MARKETING PLAN

MUMZA LEATHERS

50

We have decided to segment our market on the basis of geography. Mumza leather products will be available on all the urban area markets of Punjab and as well as available on hill stations.

51

52

Innovation in location

Area required 1.5 canals.

Stock room will be in basement of 1 canal.

Production unit will be in second floor.

Packing plant will be in ground floor.

Remaining area will b used for office purposes.

53

MARKETING MIX

Marketing mix is the combination of 4 P’s.

54

Anything or activity that can be offered to a market for attention, acquisition, use, or consumption that might satisfy the want or need is called product.

SUGGESTIONS

•Designs•Colors•Packing

PRODUCT

55

We have decided to hire designers who will change our products according to customers demand.

DESIGNER SERVICES

56

Our products will be available in all beautiful colors.

COLORS

57

”Packing is an important marketing tool. Numerous machine are provide packing functions”

PACKING

58

We have introduced a new packing machine. Which we will purchase from Japan.

59

The amount of money charged for a product or service, or the sum of the values that consumers exchange for the benefit of having or using the product or service.

PRICE

60

COST BASED PRICING

VALUE BASED PRICING

61

We will charge price according to cost because we have spend a lot of amount on machineries, advertisement and other business expenses.

SUGGESTION:

62

Before our innovation the company is using old method of distribution within a limited area that is

Manufacturer

Retailer

customer

PLACE

63

FORECASTED FINANCIAL STATEMENTS

MUMZA LEATHERS

64

MUMZA LEATHERS income statement For the year ended Dec,31 2013

PARTICULARS AMOUNT AMOUNT

Sales 36000000

Less: CGS (1440000)

Gross profit 21600000

Less: Operating Expenses

Admin expenses 760000

Selling expenses 455000 (1215000)

EBIT 9450000Less: Interest (150000)EBT 795000

Less: Tax (119250)

NPAIT 6757500

65

BALANCE SHEETAS ON DEC,31 2013

ASSETS Amount LIA & CAPITAL AmountCurrent assets Current liability

Cash in hand 150000 Capital 2600000

Prepaid insurance 340000 Creditors 560000

Prepaid rent 30000 Loan 300000Closing stock 4500000 Outstanding interest 12000

5020000 3472000

Fixed assets Fixed liability

Land & building 1100000 Small business loan 2722250

Machinery 1000000 Long term liabilities 400000

Furniture 50000Storage racks 50000 Net profit 6757500

Packing tables 50000Total 7270000 7270000

66

MUTAZ LEATHER

Cash flow statement

As on 31.dec,2013.

Particulars Oct. Nov. Dec. Sales 25000 30000 20000 Sales of assets 100000 - 80000 Other income 50000 65000 40000 Cash receive from debtor

40000 50000 90000

TOTAL 215000 145000 230000 Less cash purchases

15000 25000 15000

Rent 2000 2500 3000 Salaries 30000 35000 40000 Transportation 5000 3000 2000 Repairs 1000 2000 3000 Others 4000 5000 8000 Total payments 57000 72500 71000 Cash surplus 158000 72500 159000

67

PARTICULARS AMOUNT AMOUNT

Sales 45000000

Less: CGS 36000000

Gross profit 9000000

Less: Operating Expenses

Admin expenses 850000

Selling expenses 550000 1400000

EBIT 7600000

Less: Interest

EBT 7400000

Less: Tax 1500000

NPAIT 7250000

MUMZA & CO.INCOME STATEMENTFOR THE YEAR ENDED DEC 31, 2014

68

ASSETS Amount LIA & CAPITAL AmountCurrent assets Current liability

Cash in hand 170000 Capital 2600000

Prepaid insurance 370000 Creditors 400000

Prepaid rent 45000 Loan 150000Closing stock 5000000 Outstanding interest 120000

Cash at bank 3021000

Fixed assets Fixed liability

Land & building 1200000

Machinery 1000000 Long term liabilities 400000

Furniture 45000Storage racks 35000 Net profit 7250000

Packing tables 34000Total 10920000 10920000

MUMZA & CO.BALANCE SHEETAS ON DEC 31, 2014

Mumza leather

Cash flow statement

As on 31.dec,2014.

Particulars Oct. Nov. Dec. Sales 50000 60000 40000 Sales of assets 200000 50000 20000 Other income 80000 100000 50000 Cash receive from debtor

150000 120000 200000

TOTAL 480000 330000 310000 Less cash purchases

15000 25000 15000

Rent 2000 2500 3000 Salaries 60000 50000 60000 Transportation 5000 3000 2000 Repairs 1000 2000 3000 Others 4000 5000 8000 Total payments 87000 87500 91000 Cash surplus 393000 242500 219000

70

How business fits and interacts with surrounding environment both internal and externally.For the purpose of risk assessment me make a SWOT ANALYSIS of the.

RISK ASSESMENT

71

72

SWOT

ANALYSIS

Strengths provide an insight to the business opportunities & weaknesses in the business can cause immediate threats.

73

The objective is to be in a position where you can determine a strategy for the future to improve your company’s overall performance (or maintain it if you are happy with your final analysis).

OBJECTIVE

74

S

Strength

Tax incentives on machinery by Govt.

Strength

Easy availability of low cost labor.

Strength

Jackets are always in fashion product

StrengthCurrently in a good financial position we have low debt burden.

Strength

We are bearing low renting cost.

STRENGHTS

SWOT

ANALYSI

S

75

W

Lack of modern finishing facilities of leather

Weaknesses Weaknesses

Low level of labor productivity due to inadequate training.

Weaknesses

No awareness about national standards.

Weaknesses

Entry of multinational products in domestic market.

Weaknesses

Low variation in designs.

Weaknesses

Less knowledge about modern equipment.

WEAKNESSES

SWOT

ANALYSIS

76

O

Opportunities

Product diversification.

Opportunities

Growing national and domestic markets

Opportunities

We can become a part of growing fashion industry of Pakistan.

OPPORTUNITIES

SWOT

ANALYSIS

77

T

Threats

Designer products

Threats

International standards.

ThreatsStiff competition from large number of competitors

THREATS

SWOT ANALYSIS

78BUSI

NES

S FU

TURE

PLA

NS

MUMZA LEATHERS

79

Our 1st priority to introduce our business on national level.

8080

MUMZA LEATHERS

Increase the area of production for future production purposes.

81

Introduce heavy machinery to compete the competitors & increase the production capacity of the business.

82

Our goal is to increase number of outlets in major big cities of Pakistan.

83

Recognize our brand name in all over the Pakistan with the help of strong advertisement strategies

84

We will increase our product line in leather, so people can avail all the possible items with in one roof.

85

Product Line for 5 years:

86

Ladies Leather Bags:

87

Mobile Leather Covers:

88

Laptop Leather Bags:

89

Leather Belts:

90

Product line For next 5 years

91

Leather Shoes

92

Garments:

93

We will conduct training programs for the training of employees for increasing production capacity.

94

Organize a proper department for designing to overcome the designer’s products competition.

95

Hire models for advertisement of our leather jackets.

96

Provide quality satisfaction to the customers.

97