DALDA Report Full

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Internship report on

DALDA Foods Pvt. Ltd.

Sales Department

IBRAHIM OBAID ULLAH BAIG

INSTITUTE OF MANAGEMENT SCIENCES,HAYATABAD, PESHAWAR.

AUGUST 2008

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Certificate of internship by

DALDA Foods Pvt. Limited.

It is certified that Mr. Ibrahim Obaid Ullah Baig of

Institute of Management Sciences , Hayatabad Peshawar has

completed his internship in Dalda Foods Pvt. Limited as sales internee. The

duration of internship was 07 weeks, starting from 30th June till 15th July,

2008.

During his internship he was found very ambitious and active in termsof creativity and innovations in order to bring in change. His performance at

work place was highly appreciated by senior management as well as his

colleagues.

We wish him all success in future.

____________________________

National Sales Manager

Malik Safdar Ashraf

Dated:___________________

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I would like to offer my sincere thanks to my project

advisors, Mr. Ghulam Shabbir (ROM Islamabad

region) and Mr. Muhammad Naseer Khan

(ASM Peshawar area) for their guidance and valuable suggestions,

continuous support, encouragement and cooperation during the

task.

I pay my deepest gratitude and deepest sense of respect to

everyone who help me during this task and enable me to attain

the targets and goals of my academic life.

All the above contributions are gratefully acknowledged.

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Table of Contents

Content Page#

Introduction to Dalda 01

Target market of D.F.L. 04

D.F.Ls Products 08

Dalda cooking oil 08

Dalda Banaspati 09

Dalda Planta Cooking Oil 10

Manpasand 11

Manpasand Cooking Oil 11

Manpasand Banaspati 12

Dalda Olive Oil 13

Benefits and attributes 14

Tullo Cooking Oil 15

Tullo Banaspati 16

Tullo Gold Cooking Oil 17

Tullo Sun Flower Cooking Oil 18

Tullo Pakwan Cooking Oil 19

Tullo Pride Cooking Oil 20

Tullo Pride Banaspati 21

Sales infrastructure 22

Prices of D.F.L. 24

Pricing components 28

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S.W.O.T. Analysis 29

Strengths of Dalda 29

Weakness of Dalda 30

Opportunities of Dalda 30

Threats of Dalda 31

Findings and recommendations 32

Marketing aspects 32

Recommendations 33

H.R. aspect 34

Recommendations 35

Managerial aspect 36

Recommendations 37

General aspect recommendations 38

D.S.R. daily routine 39

Working in Regional office 40

Questionnaire 42

Annexure 45

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Contents

Page#

List of tables

Target market of Dalda Foods in detail05

Portfolio of Dalda Foods Pvt. Ltd

06

Width and Depth of D.F.L.

07

Price of MBP

24

Price of MCO

24

Price of DBP

24

Price of DCO

25

Price of Olive Oil 25

Price of PCO

25

Price of PCCO

26

Price of TCO

26

Price of TGCO

26

Price of TSCO

27

Price of TBP 27

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Price of PrBP

27

Price of PrCO

27

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Contents Page

#

List of Charts

Organizational structure03

Target market of Dalda Foods.

04

Sales infrastructure

22

List of graphs

Price trend 28

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List of acronyms

A.S.M. Area Sales Manager

D.B.P. Dalda Banaspati

D.B.R. Demand Based Replenishment

D.C.O. Dalda Cooking Oil

D.F.L. Dalda Foods Limited

D.H.A. Defense Housing Society

N.S.M. National Sales Manager

P.J.P. Proposed Journey Plan

R.S.M. Regional Sales Manager

S.K.U. Stock Keeping Units

R.O.M. Regional Operational Manager

T.S.O. Territory Sales Officer

T.T.S.O. Trainee Territory Sales Officer

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Executive Summary

When you hear the name Dalda the image of quality conjures up in your

mind. It provides you quality, which you can trust with utmost faith and a

taste, which you have come to relish. Dalda has earned the trust of its

consumers over a period of almost 60 years. In fact Dalda is the pioneer of

vegetable oil and Banaspati ghee in the country.

Dalda is a brand of hydrogenated vegetable oil popular in South Asia. The

substance was originally imported from the Netherlands in the 1930s by the

trading company Dada Limited. After Lever Brothers bought it they want to

include L of Lever in it and thus Dalda born.

In July 2004, Unilever Pakistan accepted the offer of 1.33 billion of the sale of

its Dalda brand to Dalda Foods ltd. within a few years of its inception,

Dalda foods has become one of the largest food FMCG organization inPakistan leading the local category of oil and fats. In Pakistan, Dalda has now

divested into Canola and Olive oil products variant as well.

Food lovers, women cooking in their kitchens, or health conscious, who does

not recognize Dalda? When you hear the name Dalda the image of quality

conjures up in your mind.

Daldas journey into the lives of its consumer started 60years ago when

Dalda develop new cooking medium Dalda Banaspati. Dalda Banaspati was

a healthier alternate to desi ghee without compromising on Aroma or taste.Consumers welcomed this innovation into their lifestyle and became so

familiar with the product that Daldas name became synonyms with

banaspati.

With changing consumer preference, Dalda used its international technology

and expertise to innovate Dalda cooking oil and Planta cooking oil. Today

Dalda cooking oil and Planta cooking oil has became an essential part of

every home and are an exceptional example of health and taste in the entire

cooking oil category.

It all started almost 60 years ago when Daldas food scientist pioneered a

way of preserving the goodness of vegetable oils in a manner which

preserved the taste and tradition of ghee but was a healthier substitute thus

Dalda banaspati was born. This quality and taste was made available to

millions of consumers in the country. Ever since Dalda has kept up the high

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quality and consumers have responded by always rating it as number one in

quality and taste.

DFLs commitment to quality, environmental and cooperate socialresponsibilities assigned from the facts that it is only edible oil and fats

brand which has:

Bureau Veritas Quality (BVQI) certification of:

o ISO 9002 for quality

o ISO 14001 for environment

o OHSAS 18001 for occupational health and safety

HACCP certification for Hazard Analysis and Critical Control Points.

An in-house effluent treatment plant to recycle water for sustainable

use of natural resourses.

The only national brand:

Which is being exported to European countries because of it meets

international quality standards.

That has a Virtually Trans-fat Free (VTF) banaspati since 1999.

With enhanced vitamins as per the UNESCOs recommendation; which

necessitates addition of more Vitamins, than any other brand in

Pakistan.

It is a reflection of Dalda foods commitment to cooperate social

responsibilities, good cooperate governance and also a matter of pride and

distinction that it is the only edible oil and fat manufacturing company in

Pakistan which has installed an effluent treatment plant at its manufacturing

site. The treated effluent water meets or is better than the National

Environmental Quality Standards (NEQS) and is used in the lawns of factory

for irrigation purpose.

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Dalda food is the first and the only edible oil factory in Pakistan to have its

own effluent treatment plant. When you visit the Dalda food factory, you will

not fail to notice the beautiful lawns, all irrigated by the treated effluent

water. This is Daldas humble contribution towards conserving and sustaining

this precious and natural resource.

Fats and oils are an important part of a healthy diet. Your body needs fat to

function properly. That is why nature has made 15-20 percent of the

bodyweight of an adult from fats. However, not only the quantity but type of

fat eaten is also very important. Here the clear choice s Dalda.

Dalda VTF banaspati, cooking oil and Planta cooking oil are made from a

selection of finest vegetable oils- canola, sunflower, soya bean, cottonseed

and palm oil. They are hygienically produced in one of the most moderncomputerized processing plants where the natural goodness of oils is

preserved for the users.

Dalda VTF banaspati is healthiest banaspati of Pakistan because it is Virtually

Trans-fat Free. Dalda cooking oil is only cooking oil in Pakistan which

preserves the natural goodness of oil. Planta cooking oil has the distinction of

being the only high quality cooking oil with the benefits of oil and the taste of

banaspati.

Dalda foods has been able to deliver the best possible cooking mediums to

millions o its consumers using the international technology and expertise.

The trust of its consumers has enabled it to become the leading brand in its

category. Every day millions of consumers use one or more of its brands.

Dalda not only aims to provide the best cooking medium to its consumers,

but also to act in a responsible manner and make a meaningful contribution

to society. Dalda foods strongly believes, that long term success of any

business is intimately connected with the well-being of society and the

environment in which it operates.

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Introduction to DALDA Foods Pvt. Ltd.

Mission statement:

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To build a mutually profitable relationship with customers, ensuring quality

products with continual improvement and innovation.

Vision:

Vision of Dalda Foods Pvt. Ltd. is Five By Five (5x5) that after every fiveyears we have to increase our selves by five times by the previous position

in all the aspects.

Goals and objectives:

The goals and objectives of DFL are:

Commitment to quality

To understand customers needs

Strive to be ahead in edible oil sector

Offer healthy products

Continuous research and continuous innovation

Capture market share

To have the strongest distribution network across Pakistan.

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Leader in Ghee and Oil industry, who have imparted the generic name to

ghee and oil category-DALDA.

Dalda is 50 years old company.

Known as DADA Ghee before Lever brothers bought it.

In 1954 Lever brothers bought it.

After Lever brothers had bought it they changed it to DALDA Foods, by just

adding L of Lever in DADA.

Oldest plant is at Rahim Yar Khan, Punjab.

Dalda is the company who introduces different new products, S.K.U.s, and

new brands first time in Pakistani market and even in International market.

Some of them are:

Danay-Dar Ghee

V.T.F. in 1992

5 kg and 3 liter bottle (S.K.U.)

Olive Oil

In 2002 Lever Brother sold it out and now Dalda Foods Pvt. Ltd. is property of

Pakistani owner.

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Source: Ghullam Shabbir, ROM Islamabad

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C.E.O.

Director H.R. DirectorMarketing

Director Sales DirectorFinance

Director I.T.

N.S.M.

6 R.S.M.

1 A.M.S.A.

for

2 R.O.M.

for each

3 A.S.M.

for each

4 T.S.O.

for each

Some times

T.T.S.O.

Organizational


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Source: Naseer Khan, A.S.M.

Peshawar.

This diagram explains that Dalda is for upper class and the number of its

buyer is very small.

The lower most part is local and cheaper brands. This part is for poor people

and they bought local and cheaper brands and they are not the users of

Dalda. The number of middle class who buys Dalda is more than upper classand less than lower class.

The middle portion is for middle class people, when they have enough

money to spent, they buy Dalda, otherwise prefer they go for cheaper and

local brands. The number in this class is very high than all other classes.

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Dalda

for

rich

people

Middle class which switch

over in upper and lower class

brands, by watching money

on their pockets.

Cheaper and local brands for poor people

Target market of Dalda


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Target market of Dalda Foods in detail.

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Products Identified target market

Dalda cooking oil

Upper-upper, Upper-middle, Middle-

middle

Dalda banaspati


middle

Planta cookinng oil


middle

Dalda Canola cooking oil


middle

Olive oil Upper-upper, Upper-middle

Manpasand cooking oil Middle-middle

Manpasand banaspati Middle-middle

Tullo cooking oil Upper-middle, Middle

Tullo banaspati Upper-middle, Middle

Tullo Sun Flower

cooking oil Middle-middle, middle-lower

Tullo Gold cooking oil Middle-middle, middle-lower

Tullo Pakwan cooking oil Middle-middle, middle-lower

Pride cooking oil Middle-middle, middle-lower

Pride banaspati Middle-middle, middle-lower


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Portfolio of Dalda Foods Pvt. Ltd.

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DBP DCO PCOCANOLA OLIVE OIL MBP MCO

DBP 2.5 DCO 2.5PCO2.5 4.5 Ltr Pomace 4 Ltr

MBP0.9*5

MCO0.9

DBP 5.0 DCO 1*5PCO5.0

3.0 Ltrbottle Pomace 3 Ltr MBP 2.25

MCO2.25

DBP 1*5DCO 1/2Ltr

PCO1*5

4.5 Ltrbottle Pomace 1 Ltr MBP 4.5

MCO4.5

DBP 500

gm DCO 5

PCO

3.0 1*5 Pomace 500 ml

MBP 9.0

Jar

DCO 3PCO4.5 16 Ltr Pure 1 Ltr

MBP0.9*16

DCO 10Ltr 10 Ltr Pure 500 ml

MBP4.5*10

DCO 4.5Extra Virgin 4Ltr

MBP 16TIN

DCO 2Extra Virgin 3Ltr

DCO 4Extra Virgin 1LtrExtra Virgin500 mlExtra Virgin250 ml


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Width and Depth of D.F.L.

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Banaspati Oil Olive Oil

Dalda Banaspati Dalda Cooking Oil Pomace

Manpasand Banaspati Manapasand Cooking OilExtraVirgin

Tullo Banaspati Tullo Cooking Oil Pure

Pride Bnaspati Tullo Sunflower Cooking OilTullo Gold Cooking Oil

Tullo Pakwan Cooking Oil

Canola Cooking Oil

Pride Cooking Oil

Planta Cooking Oil

Width

D

e

p

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Dalda Food s products along with detail

Dalda cooking oil

Contents

Dalda is the blend of soya bean, canola and sunflower oil.

Contains essential fatty acids, omega 3 and 6 and natural antioxidants

that increase the immune system of the body.

Contain vitamin A & D-3.

S.K.U.s of Dalda Cooking Oil

1. Dalda Cooking Oil 10 liters (Can)

2. Dalda Cooking Oil 5 liters (Tin)

3. Dalda Cooking Oil 4.5 liters (Bottles)

4. Dalda Cooking Oil 3 liters (Bottles)

5. Dalda Cooking Oil 2.5 liters (Tin)

6. Dalda Cooking Oil 1 liter (Pouch)

7. Dalda Cooking Oil 500 ml (Mini pouch)

Benefits and attributes

Dalda cooking oil is the premium quality oil for cooking and frying.

100% cholesterol free.

Dalda cooking oil is easy to digest.

Its hygienically refined on modern automatic plant that preserves

natural goodness of oil and makes food exceptionally delicious.

It is healthy as it contains vitamin A & D along with vitamin E.

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Dalda Banaspati

Contents

Made from 100% pure vegetable oil.

Contains vitamin A & D-3.

Also contains VTF (Virtually Trans fat Free).

S.K.U.s of Dalda Banaspati

1. Dalda Banaspati 5 Kg (Tin)

2. Dalda Banaspati 2.5 Kg (Tin)

3. Dalda Banaspati 1 Kg (Pouch)

4. Dalda Banaspati 500 gm (Pouch)


Dalda banaspati is the healthiest banaspati available in country

because of country because VTF treated.

Hygienically produced on modern plant, Dalda banaspati contains

healthier formula.

In addition Trans fat acids, harmful to health, is below 1%.

Dalda banaspati also contains Vitamin A & D-3 and its rich ghee flavor

ensures delicious and wholesome meal.

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Dalda Planta Cooking Oil

Contents

Planta Cooking Oil is 100% pure and extra refined vegetable oil.

A blend of Soya Bean, Canola and Sunflower oil.

Contains vitamin A & D-3.

S.K.U.s of Planta Cooking Oil

1. Dalda Planta Cooking Oil 5 liters (Tin)

2. Dalda Planta Cooking Oil 4.5 liters (Bottle)

3. Dalda Planta Cooking Oil 3 liters (Bottle)

4. Dalda Planta Cooking Oil 2.5 liters (Tin)

5. Dalda Planta Cooking Oil 1 liter (Pouch)


The natural antioxidant in the oil boosts the immune system of human

body.

It is the only cooking oil, which gives the taste of Ghee and the

goodness of Oil.

It ensures the health as it is 100% cholesterol free.

It is hygienically refined on modern automatic plant to preserve natural

goodness and refreshment of oil, to make the food delicious and moist.

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Manpasand

Nation-wide consumer researches and million of consumers contact suggest

that Manpasand is a superior formulation:

91% target consumers preferred Manpasand over their existingbrands.

94% consumers liked its overall quality and innovative packing.

73% consumers mentioned that it is economical in use as its quantity

of consumption is less than any other banaspati or oil.

Manpasand Cooking Oil

Contents

Manpasand cooking oil is a premium blend of Canola, Soya bean and

Cotton seed oil.

It is enriched with vitamin A & D.

S.K.U.s of Manpasand Cooking Oil

1. Manpasand Cooking Oil 4.5 liters (Tin)

2. Manpasand Cooking Oil 2.25 liters (Tin)

3. Manpasand Cooking Oil 0.9 liters (Pouch)


Manpasand Cooking Oil is produced under international standards of

health and hygiene.

It is enriched with Vitamin A & D.

Manpasand Cooking Oil is best suited for all type of cooking.

It is economical in use.

Cholesterol free.

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Manpasand Banaspati

Contents

Double refined hydrogenation is done for its granular texture.

Enriched with Vitamin A & D.

Contains Palm oil, Cotton seed oil Sun flower oil and Soya bean oil.

S.K.U.s of Manpasand Banaspati

1. Manpasand Banaspati 9 Kg (Jar)

2. Manpasand Banaspati 4.5 Kg (Tin)

3. Manpasand Banaspati 2.25 Kg (Tin)

4. Manpasand Banaspati 0.9 Kg (Pouch)

5. Manpasand Banaspati 450 gm (Mini Pouch)


Manpasand Cooking Oil is produced under international standards of

health and hygiene.

Has a distinguished fragrance and taste, which enhances the flavor of

the food to an unprecedented level.

Manpasand banaspati is economical in use and enriched with Vitamin A

& D.

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Dalda Olive Oil

Contents

It is made up of nutritional Olives.

Fortified with additional Vitamin A & E.

Variants of Dalda Olive Oil

Extra Virgin Olive Oil

Pure Olive Oil

Pomace Olive Oil

S.K.U.s of Dalda Olive Oil

1. Pomace Olive Oil 250 ml (Bottle)

2. Pomace Olive Oil 1 liter (Bottle)

3. Pomace Olive Oil 3 liters (Tin)

4. Pomace Olive Oil 4 liters (Tin)

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Using international expertise Dalda ensures that it Olive oil is extracted

from the purest and freshest hand picked olive from the fertile lands ofSpain, which are refine to perfection using the most advanced

international technology under stringent quality standards.

It is hygienically refine on modern automatic plant that preserves

natural goodness of oil and make food exceptionally delicious.

Dalda Olive oil is the premium quality oil for cooking and frying.

Enriched with the exceptional SHIFA and health benefits of Olive. It is

healthy as it contains Vitamin A & D3 together with Vitamin E. which

protects from Skin and Heart diseases.

100% cholesterol free and controls cholesterol level.

Save from Cancer.

Controls Blood sugar.

Helps maintain healthy weights.

Contains anti-inflammatory.

Dalda Olive oil is easy to digest.

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Tullo Cooking Oil

Contents

Made from 100% pure vegetable oils

Contains Vitamin A & D.

S.K.U.s of Tullo Cooking Oil

1. Tullo Cooking Oil 1 liter (Pouch)

2. Tullo Cooking Oil 2.5 liters (Tin)

3. Tullo Cooking Oil 3 liters (Bottle)

4. Tullo Cooking Oil 5 liters (Tin)


Easily digestible.

Completely odorless.

Non-solidifying properties.

High in polyunsaturated.

Retains the natural flavor of food.

Suitable for all types of cooking.

Double refined, bet for health.

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Tullo Banaspati

Contents

Double refined hydrogenated

i. Palm oil

ii. Cotton seed oil

iii. Sun flower oil and

iv. Soya bean oil.

Vitamin A & D.

S.K.U.s of Tullo Banaspati

1. Tullo Banaspati 1 Kg (Pouch)

2. Tullo Banaspati 2.5 Kg (Tin)

3. Tullo Banaspati 5 Kg (Tin)

4. Tullo Banaspati 10 Kg (Tin)


Good taste

Easily digestible

Non-solidifying

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Tullo Gold Cooking Oil

Contents

100% pure Soya bean oil, Canola and Sun Flower oil.

Vitamin A-33.

Vitamin D-2.6.

S.K.U.s of Tullo Gold Cooking Oil

1. Tullo Gold Cooking Oil 5 liters (Tin)


Three premium quality 100% pure oils i.e. Soya Bean, Canola and Sun

Flower, have been blended in perfect ratio to give you the healthiest

blend.

Three powers of Tullo Gold

i. Sun Flower

ii. Soya Bean

iii. Canola

Tullo Gold for healthiest life style.

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Tullo Sun Flower Cooking Oil

Contents

100% pure Sun Flower from the best production.


S.K.U.s of Tullo Sun Flower Cooking Oil

1. Tullo Sun Flower Cooking Oil 4.5 liters (Tin)


100% winterized and deodorized Flower oil.

100% cholesterol free.

Enriched with Vitamin A & D which provides your family the health and

care they deserve.

High nutritional contents for your family and for Heart patients.

High in polyunsaturated.

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Tullo Pakwan Cooking Oil

Contents

100% vegetable oils.


S.K.U.s of Tullo Pakwan

1. Tullo Pakwan Cooking Oil 4.5 liters (Tin)


Cholesterol free.

Hygienically refined.

Economical in use.

Prepared in best facilities.

Best suited for all types of cooking.

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Tullo Pride Cooking Oil

Contents

100% Canola oil

Vitamin A & D along with E.

S.K.U.s of Tullo Pride Cooking Oil

1. Tullo Pride Cooking Oil 1 liter (Pouch)

2. Tullo Pride Cooking Oil 2.5 liters (Tin)

3. Tullo Pride Cooking Oil 5 liters (Tin)


100% Cholesterol free.

Prepared in best facilities.

It is healthy as it contains Vitamin A & D together with E.

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Tullo Pride Banaspati

Contents

100% Canola oil

Vitamin A & D.

S.K.U.s of Tullo Pride Banaspati

1. Tullo Pride Banaspati Kg (Pouch)

2. Tullo Pride Banaspati 1 Kg (Pouch)


Easily digestible.

Healthy in use.

Economical in use.

Can be use for any type of cooking.

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SALES INFRASTUCTURE

Distribution of Daldas Products.

4 companies owned and operated Regional sales office, i.e. Karachi, Lahore,

Multan and Islamabad.

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Factory Store Depots

DistributionWholesalerRetailers

End Costumers/


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19 Area Sales Offices in major cities of Pakistan. Some of them are Karachi,

Hyderabad, Sukkur, Rawalpindi, and Peshawar. e.t.c.

To cover maximum areas of country Dalda have 11 depots in Pakistan.

They are:

1. Karachi-1,

2. Karachi-2,

3. Sukkur,

4. Multan,

5. Lahore,

6. Wazirabad

7. Faisalabad

8. Gujaranwala,

9. Rawat

10. Mianawali and

11. Lawrencepur.

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PRICING COMPONENTS

Pricing is composed of:

a) Invoice price

b) Trade price (3% higher than invoice)

c) Consumer or Retail price (4.5% to 5% higher than trade price)

PRICING STRATEGYMATRIX.Quality

Low High

High

Price

Low

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Economy

Skimming

Dalda

Premium

Penetration


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Price Trends from July 2007 till July 2008.


Peshawar

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Prices of D.F.Ls products

A Price detail of D.F.L.s products, which is offered to end consumer is given

below:

Price details of Manpasand Banaspati

MBP Price

450 gm 67

0.9 Kg 134

2.25 Kg 345

4.5 Kg 680

9 Kg 1360

Price details of Manpasand Cooking Oil

MCO Price

0.9 ltr 136

2.25 ltr 350

4.5 ltr 687

Price details of Dalda Banaspati

Price details of Dalda Cooking Oil

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DBP Price

500 gm 78

1 Kg 153

2.5 Kg 395

5 Kg 775


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DCO Price

500 ml 79

1 ltr 155

2.5 ltr 398

3 ltr 478

4.5 ltr 712

5 ltr 785

10 ltr 1570

Details of Dalda Olive Oil

Olive Oil Extra

Virgin Price

250 ml 195

3 ltr 1690

4 ltr 2300

Details of Planta Cooking Oil

PCO PRICE

1 ltr 155

2.5 ltr 398

3 ltr 478

4.5 ltr 712

5 ltr 785

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Price details of Planta Canola Cooking Oil

PCCO Price

1 ltr 156

3 ltr 480

4.5 ltr 715

10 ltr 1570

16 ltr 2500

Details of Tullo Cooking Oil

TCO Price

1 ltr 154

2.5 ltr 395

3 ltr 476

5 ltr 780

Details of Tullo Gold Cooking Oil

TGCO Price

5 ltr 780

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Price details of Tullo Sun Flower Cooking Oil

TSCO Price

4.5 ltr 720

Price details of Tullo Banaspati

TBP Price

1 Kg 152

2.5 Kg 392

5 Kg 770

10 Kg 1520

Price details of Pride Banaspati

PBP Price

500 gm 75

1 Kg 149

Price details of Pride Cooking Oil

PrCO Price

1 ltr 151

2.5 ltr 385

5 ltr 765

S.W.O.T. Analysis of Dalda Foods Pvt.

Ltd.

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Strengths of Dalda

Strong base, as strong company with long experience and loyal costumers.

Having 5 different products, they are:

1. DALDA

2. MANPASAND

3. TULLO

4. PLANTA

5. OLIVE OIL

And about 54 different dimensions known as S.K.U. (Stock Keeping Unit),

some of them are:

Serial# Brand

Banaspati/Oil

No. of S.K.U.s

1 Dalda Both 20

2 Manpasand Both 10

3 Palanta Only Oil 5

4 TulloOnlyBanaspati 8

5 Olive Oil 11Total No. ofS.K.U. 54

Strong integrations, means backward, forward horizontal and vertical

integrations.

Dalda comes in category A; category A is the best quality.

Dalda have the more efficient and efficient sales team, in other words, the

sales force is skilled.

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Weaknesses of Dalda

Dented and leaked stock at depots and at distributions ends.

Dont have pouches of kg or ltr.

Certain points in company's policy and work load are two important factors

among others that are the cause of employee turn over.

Opportunities of Dalda

As Pakistani people like spicy and oily food, Dalda have a lot of opportunities

in the market to expand their business in local market.

Having number of brands of edible oil in market, still Pakistani market is not

saturated from the current oil supply.

So for Dalda its the most important and big opportunity to increase the size

of their business by increasing the production as well as plant size so that it

can rule the market as a leader for a longer period of time.

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Threats of Dalda

Major threat is Golden Sun, by a multi-national company IFFCO, and Habib

Oil/ Banaspati, by HABIB Oil Mills (HOM).

Strong competition from local brands, different brands in differentgeographic areas; such as Gulab Banaspati, in Peshawar.

In different parts of country they have threats from different companies, as

in N.W.F.P. The major threat is Shama as its quality is not bad and its price is

low too as compare to all our brands.

Same is the case with Dalda and the companys other brands; low price

brands e.g. Pakwan and Fauji, pose major threats.

During delivery from factory to depots and than from depots to distributor,

and finally from distributor to retailers, if carton or bottle leaks, affectcompanys revenue as well as this can affect customer-satisfaction.

Another major problem is the rising prices of Palm Oil in international

market, which his affecting the sales adversely; sales are going down day by

day.

Company has set high prices and this is also a threat for the company. In the

age of high inflation rate people either cant buy expensive products because

of high prices, or they have other less-expensive options available.

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Findings and recommendations

Marketing aspect:

On my market surveys with different D.S.R. of Nuaa Marketing Networks,

Peshawar territory, I found the following different problems related to ourmarketing are:

The only major brand on Warsak road with small competition is Dalda.

On stores of Shami road and D.H.A. Dalda sells it selves but there

Dalda have very strong competitors.

There is only one retailer who buys Dalda in Hassan Ghari. It is the

single shop in the area, which is selling Dalda to the customers. In past

there were more shops but with passage of time they left buying it

because of high price.

The most important thing I saw, during my market tours, is our newly

came but strong competitors, IFFCO, is available on every shop of

every area of Peshawar, i.e., their distribution is strong. Even in the

shops where only local brands are available. This is because they

provide their product on credit and collect money after selling of stock

previously provided IFFCO is the major threat for our company and we

need to counter their strategies otherwise they will take the market

leadership of Oil and Ghee from us in the next decade or may beearlier.

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Recommendations:

We have to strengthen the sales of Dalda in the areas where its sale is

high with low competition and have to make loyal customers.

Our main focus should be the areas where, in past, Daldas sales were

high but with the passage of time it declined, so that the sales reach

the peak again.

Areas where it has strong competition, we can sell it through some

special discounts or special scheme.

For countering IFFCO we can buy some special places in stores so that

we can place our banners and poster there, to attract end consumers.

Another thing is we have to place our product in all small shops, even

on credit, so that people of the areas see it and after seeing it they will

definitely try it and through this we can sell our product their and can

increase our market share.

Sales promotion techniques should be used.

For instance, in low sales area, we can ask the retailers to reduce

their margin for some period of time in return for their shop decoration by

Dalda fliers / e.t.c. Moreover Dalda can ask them to keep its product and

not those of its competitors in return.

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Human Resource aspect:

H.R. is a bit negative side.

Employees are not completely loyal with the company, even some of

them are searching for another job.

The new multinational is giving better offers to Daldas sales team, as

they know Dalda have the best team they will ever get in Pakistan.

For our employees IFFCO is a better option from all the aspects,

Package wise, policy wise e.t.c.

Distributor is also not completely loyal with the company may be

because he has another distribution of a multinational Soft-drink and

sometimes companys rigid policies irritates distributor.

For hiring a person references works a lot, regional managers see more

to the reference of a person and less to the effectiveness and

efficiency of applicant.

They need to be motivated.

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Recommendations:

Have to change the mind of employees so that they can become loyal

to the company and leave searching another better job. For this we

need to increase their salaries and incentives.

For our employees we need to make a package that can counter

IFFCOs strategy of hiring our employees. For that we have to increase

the package and have to change our policies so that our policies

became employee friendly.

Have to change the min of our distributors, have to make them loyal

by solving their problems.

For hiring a people we should see their efficiencies not the reference

they re having.

We need to hire people who are interested in job, not the ones who

need job but the one who wants to learn something and do something

for company.

The company management should try to arrange workshops, once

every year at least, for managers as well as for sales persons, wherethey are given training in a fun-way, arrange challenging games and

activities and distribute prizes among the winners. This will surely

motivate the employees and will in turn help the company, in disguise,

in retaining the employees.

And the way you treat them is what they become.

(Johan W. Von Goethe)

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Managerial aspect:

The big problem with our company is we are not giving stock on credit,

as our competitors are giving huge stocks on credit.

Another problem with distributor is company sends stock to distributorwithout asking them and according to D.B.R. even if the sales are low.

Our company will face big problems with this type of attitude.

As D.F.L. is bought by a Pakistani investor, he just wants money either

the case his policies are long-run or short-run. On the other side our

competitors are following long-run strategies.

Our competitor gives lots of incentives to their distributors as well as

credit but Dalda is a bit back to all of them, they with their details are

given below:

Nameofcompetitor

Portion ofexpensesgiven bycompany

Credit given toDistributor bycompany

Credit givento retailersbydistributors

Distributors margin

IFFCO70% of allexpenses 1 million

unlimited forone week 4%

Habib 100% expenses 2 million 2 million 4%

Season70% of allexpenses 7 million 2 million 4%

Dalda50% of allexpenses No credit

NoCredit/Distributors own risk 2.9%


Peshawar.

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Recommendations:

Company should give some credit to distributor and support them to

give credit to retailers, without credit our sales are going down;

company should give credit to some extent to support our sales.

Company should first ask the distributor or wait for distributors order

to deliver stock and do not deliver the stock without asking distributor.

Because of this our distributor gets irritated a lot and become less-

motivated.

We should make long term strategies that can support our leadership

in market for long time.

Company should increase the expense share.

Company should increase the distributors margin from 2.9% to 3.5%.

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General aspects:

Stock arrives without asking distributor. It comes according to

D.B.R.

Distribution is very much concern about his money, recoveryfrom market.

Some of the shopkeepers didnt receive the order they gave last

time when D.S.R. visited them, Manpasands D.S.R.

Recommendations:

Stock should send after the permission of distributor.

As distributor is concern about his and companys money; so company

should help him in taking his money out from the market. Company

can give some stock on credit it will help distributor and motivate him.

Most important thing is we have to make sure that all the orders

received from retailers and wholesalers most be fulfilled. For that we

have to check our sales man.

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D.S.R.s daily routine

Early in the morning at about 8:30 am all D.S.R.s come to office

and take their required information and leave office in 15

minutes for market.

From office they start visiting the shops according to P.J.P.

On their visits they see stock position, take orders, and ask for

credit (if given).

Daily they visit about 60 70 shops and do the above mention

tasks.

After their working they came to office at about 1:30pm 2:00

pm, then in office they submit their orders and discuss different

things happened during their working.

From their, they left for their home at 3:30 pm, if they dont have

to go to market again.

They do the same activities every day.

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Working at Region Office at Islamabad.

Every day in the morning they get the prices of their products from

head office and than they tell the price to all the distributors under

their area.

In the morning, taking stock reports from depots under the office.

They get the order from distributor all over the region on phone/order

sheet attach with demand draft/crossed check, on the name of D.F.L.

Under Islamabad regional office, they have 3 depots, they are:

1. Lawrencepur depot

2. Rawat and

3. Mianwali depot.

At region we have to make Pay in Slip and than send it to banks

along with D.D./Claques.

Depots are to fulfill the distributors order or need.

At region they have to submit daily order report at the end of the day.

They also have to submit daily sale report on Territory-wise sale, Area-

wise, Brand-wise and S.K.U-wise.

At the end of day again taking stock report from all depots.

At the end of each week we have to make a comparison of sales, as

compare with last years same week sales. In this comparison we have

to show the brand-wise increase or decrease occurred in last week

from previous years week.

Working in region we need an official email in which we will receive

and send email, there we dont have to work manually only computer.

Any one work in region should know M.S. Excel. This is because most of

the work we do is on M.S. Excel.

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At region we have to handle the issues of distributors, some of them

are:

o Making/selecting/finding new distributor

o Asking for money (if have any credit)

o Recovery of leak and dented stocks.

At region we have to handle the issues of depots, some of them are:

o Recovery of leak and dented stocks

o Sending stock to depots from factory

o If having any shortage of any S.K.U.

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Annexure

Name ofOrganization Designation

Name ofperson Section

Dalda D.S.R. M. Fida Nuaa Mkt

Dalda D.S.R. Munir Nuaa Mkt

Dalda D.S.R. Fayyaz Nuaa Mkt

Dalda D.S.R. Arif Mashal

Enterprise

Dalda K.P.O. Sajjad Nuaa Mkt

Dalda K.P.O. SheharyarMashal

Enterprise

Dalda Merchandiser M. Rafi Nuaa Mkt

Documents

DALDA Report Full