TABLE OF CONTENTS

1) PREFACE

2) ACKNOWLEDGEMENT

3) EXECUTIVE SUMMERY

4) INTRODUCTION AND HISTORY

5) VISION AND MISSION STATEMENT

6) Internship Departments

7) Factory Outlets Department

8) Corporate Sales Department

9) Supply chain Department

10) Whole Sale Department

11) Marketing Department

12) BCG Matrix

13) SWOT Analysis

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14) Recommendations

PREFACE

It is the requirement of the MBA course Comsats Institute of Information Technology Sahiwal
campus that all students of MBA have to spend two months in any organization to get practical
exposure and to get familiarized with the ways to live in the organizational environment which
is dramatically different from the educational environment. That two months period called
“Internship Period “, if spent properly and sincerely, enables the students to be more confident,
more knowledgeable, more responsible and, above all, more committed to its work in the
practical field. I have also been assigned to do internship of six weeks period in Servis Sales
Corporation, which is a Pakistani local company and have 60 years experience in the market.

This internship period in Servis Sales Corporation has enabled me to understand the
practical scenario and sharpen our decision making power and utilizing the resources
in an effective manner, so that by using our resources, how we can maximize our
profit.

In preparing this internship report, I have put all of my best efforts and tried my level
best to get maximum knowledge about SSC. Despite of my all the coherent efforts, I
do believe that there will always be a room for improvement in the efforts of learner
like me.

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Umer Shoaib Pirzada

ACKNOWLEDGEMENT

The whole praise is to almighty ALLAH, creator of this universe. Who made us the super
creature with great knowledge and who able me to accomplish this work. I feel great pleasure
in expressing my deepest appreciation and heartiest gratitude to my Teachers of Comsats and
to the staff of Servis Sales Corporation for their guidance and great help during the internship
period.
I would like to express my deepest affection for my parents and friends who prayed for my
success and encouraged me during this internship period. I appreciate and acknowledge the
patience, understanding and love provided by employees of SSC.
A token of special thanks to the following people who had been very friendly, co-operated with
me throughout my internship period in Servis Sales Corporation and made it possible for me to
learn and gather all the information needed for my internship report with as much detail as I
could. These are the people who in spite of their busy scheduling took time out to explain to
me the procedures and mechanics of work in the organization. My internship report would not
have been possible without friendly and helpful attitude of following people.

Mr. Fahim Akbar Mian Manager HR

Mr. Younas Business Manager FOL

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Mr. Usman Barkat Merchandise Planner Supply chain
Mr. Mudassar Ikram Category Analyst FOL
Mr. Attique-Ur-Rehman Senior Manager Corporate Sales
Mr. Asim Majeed Asst. Manager Corporate Sales
Mr. Rashid Rafqiue Corporate Sales Officer
Mr. Adnan Akhtar Category Manager Whole sale

Executive Summary

Servis Group is Pakistan's largest footwear manufacturer and exporter. It also has interests in
retailing. Its Group Company, SSC Private Limited, is the country's largest retailer and
wholesaler of footwear.

The Group was set up in 1958 and today has sales of more than PKR 9 billion.

The Company runs its footwear retail business under Servis brand as Servis Shoe Stores. It
has further established some of the most loved footwear brands including Don Carlos,
Cheetah, Calza, Liza, Toz, and Skooz. It also has distribution alliances with leading
international brands in footwear including NIKE, CAT and exclusive franchise of ECCO in
Pakistan.

SSC a part of Servis Group Which has a rich heritage spanning over half a century and is
today regarded as one of the most respected corporate citizens. The Group invests actively in
CSR initiatives and projects – nationally as well as abroad.

SSC is respected for its innovation footwear designs which are a result of its considerable
invest in merchandising and product development departments. This has proven to be a
driving engine for the business that has produced millions of satisfied customers. The

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 Company has strategic relationships with Group companies which offer world class footwear
manufacturing facilities in Pakistan.

SSC Retail Business currently comprises Company Operated Stores, Agencies, and Factory
Outlets. The business is now eyeing Large Format Stores and Franchise Stores as its future
growth engines.

Servis Group employs close to 8000 people in its following Group Companies:

 Service Industries Limited

 SSC Private Limited
 Shoe Planet
 Soul Collections
 Servaid Pharmacy

Above all are separate entities and work their own. Like there are three two outlets yet of Shoe
Planet in Lahore and Karachi where there are imported brands with Servis shoes are available.
Shoe Planet is a really a big outlet.

Soul collection is dealing in ladies shoes and same like Stylo. There is a wide range of ladies
shoes is available all the time on Soul Collection and Soul collection has their own network.

Servaid Pharmacy as the name mention is dealing in Pharmacy and has a good name in the
field of Pharmacy and this is now a growing business of Servis.

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 Introduction

Walking on the roadside, running on a track, climbing the rocks, going for a formal meeting or
simply shopping on weekend, one thing is an imperative for you. That’s footwear. Nothing
compares to a pair of shoes that are trendy and comfortable, and this is where Servis comes
in. Making its debut in 1964 in the footwear industry of Pakistan, Servis today has become the
most sought after name in the shoe industry.

Servis Sales Corporation is the flagship company of the group with headquarters location in
Lahore. Servis started its operations with a small factory in Gujrat and established its second
factory at Muridke Seikhupura Road in 1987. Today Servis is the largest footwear exporter of
the country.
Winner of FPCCI trophy for best export performance six times, product innovation is the most
important element in company’s marketing strategy and that is what makes Servis, a shoe
company par excellence.
Popular Servis brands include Cheetah, Don Carlos, Calza, Liza, Skooz, Toz, Servis and more.
Servis offers a new product range twice a year at the beginning of summer and winter
seasons.

Servis enjoys a rich history of excellent performance. You can bank on Servis for your
requirements. Unshakeable trust, unmatched products, superb quality and an amazing ability

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to satisfy the ever increasing needs of its clients are some of the qualities that make Servis
your unbeatable partner.

Vision Statement

Be the fastest growing company in every market we enter.

Mission Statement

SSC will:

 Maximize value for its shareholders and business associates.

 Ensure product innovation and a buying experience that consistently exceeds
customer’s expectations.
 Become a 10 billion rupee company by 2012 through leveraging its brands,
distribution and retailing strengths.
 Leverage technology to gain competitive advantage.

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  Strive to provide an environment where employees will be developed, rewarded and
provided with greater opportunities.
 Continue to improve the quality of life of it’s employees and their families.

Departments

The following are the departments where I worked as an internee and experienced a good
time with the Servis employees.

 Factory outlets Department

 Corporate Sales Department
 Supply Chain Department
 Whole Sale Department

Schedule

I divide my 6 weeks according to letter plan given by HR Manager, and spent two weeks
in Factory Outlets Department with Mr. Mudassar Ikram who is supply chain analyst then two
weeks in corporate sales department with Mr. Rashid Rafique who is Corporate Sales Officer
then two days in Supply chain (Retail) with Mr. Usman Barkat (Senior Merchandise Planner)

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and Mr. Qaiss Aslam(Merchandise Planner) and then finally two weeks in Whole Sale
Department with Mr. Adnan Akhtar(Category Manager) and Awais(Category Analyst).

Factory Outlets Department

Hierarchy of Factory Outlets Department:

Business Manager
Mr. Younas

Supply Chain Analyst Supply Chain Analyst

Mr. Mudassar Ikram Mr. Ghulam Muhammad

There are 33 factory outlets in all over the Pakistan.

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Servis Sales Corporation which is working under Servis industries Private Limited is doing its
business in retail which is further divides in FOL and A pair.
According to management FOL is very small part of their business however retail is big Giant.
FOL strategy is very simple. FOL strategy is to sale the rejected material of factories special
low price articles, dead articles which are not giving sale on the shops and also some A pair
articles which are specially prepared on order from Local venders. I understood from this that
the main purpose of FOL is to help out the company and save from losses which may be
company have to bear because of rejection without existing of FOL.
Reference: Mr. Younas (Business Manager)
Servis Sales Corporation has 6 sources from where it takes delivery of shoes.
There are two Servis Factories.
1. Service Industries Limited Gujrat
2. Service Industries Limited Muridke

There are 3 LPO’s (Local Purchase offices) which is now known as Sourcing Office.
3. Karachi,
4. Lahore
5. Faisalabad.
And the last source is:
6. Imports.

Working of these LPO’s is to develop the vendors.

As Servis has 2 factories in Gujarat and Muridke which are full pack means these factories
produce fully according to their maximum capacity, but this production is not enough for Servis
retail so then Servis go towards outsource from their Sourcing offices which are in Lahore,
Karachi, and Faisalabad. The Supply chain Analyst according to their need place the order
after checking out all the needed factors like closing stock, demand and last fortnight sale and
the sourcing department make shoes from the local venders and then Supply chain analyst
allocate the dispatches according to their factory Outlets need.

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In FOL there are 4 types of shoes.
1 A-Pair
2 Rejections
3 Imports
4 Low Price Articles

The purpose of factory outlets is to promote the Retail (A pair) and grow customers and to sale
the rejection.
Target Customers.
Basically Factory outs is working on rejection and special low price articles, so our targets are
low income people who cannot purchase imported brands and costly shoes.

Source of FOL
From the production of the factories when there is some rejection(not 100%) means error up to
some extant occur in the pair then these articles go towards factory outlets then Factory outlet
sale these articles at low price, sometimes FOL have to face a problem like sometime there is
less rejection in the factories which do not fulfill the need of factory outlets then FOL makes
estimates and give orders to Sourcing offices according to their needs and sourcing offices
from the venders make articles according the production order of FOL.
Reference: Mr. Mudassar Ikram (Supply chain
analyst)

Franchising
The interesting thing is that Servis does not give Franchise of FOL to Public.
All the 33 Factory outlets are SSC owned. But Servis is giving Franchises of Retail (A pair
articles).

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Development
Servis retail shops are going to become online in coming days but now all the shops managers
send their data to Mantaq solutions who converts this data into soft copy.

Working of a Supply Chain Analyst

Mantak Solutions(Computer related company who is working for SSC)send the soft data to
supply chain analyst which they receive from outlets then supply chain analyst analyses this
data and make their estimates that how much they have need for their outlets and how much
they should give order and how much articles and for which outlets. Then they send Po
(production order).

Brands of FOL

The following are the brands of Factory outlets

Cheetah
Liza
Calza
Skooz
Toz
Don Carlos.

Categories and Ranges

There are different categories and different ranges of sizes.

English size French size

1) Men 6-10 39-45
2) Ladies 3-7 36-41

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 3) Youth 2-5 35-38
4) Boys 11-1 29-34
5) Girls 11-2 29-35
6) Child 4,5-10 20-23 , 24-28

The following are the sub categories of above categories.

1) Sports
2) Shoes and Moccs
3) Chappals
4) Sandals
5) Canvas
6) EVA
7) PVC
8) Hawai
Reference: G.M Khan (Category Analyst)

Targets and Profit

FOL targets are 140% of previous year. Only FOL targets are 39 karores in 2008 of which
round about 15 karores have achieved. 1st six month of the year is not so much running and
profitable and maximum sale is related with the last six months.
Promotional Strategy
The recent promotional activity which Servis has introduced is “Jeet Ka Shashka” A
scheme for the end user, Cash prize through scratch card to every customer who
consumes more than 500 RS.

Price Range

The FOL’s articles price is very economical and for low income people and FOL’s
price ranger is less than 700-800 rupees.

Distribution Channel

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 SSC is very choosy about place and open their outlets after determining many aspects like
population of the area , income of the people of that area , competitor in the area , location
etc.

Product Development

FOl receive photographs or samples of articles from the LPO’s and then choose different
articles which like most and then order for the production according to need.

Future Planning

Servis plans before the beginning of the year and the season. Like June is going on and
the Management is planning for Eid and winter.
In the retail shops Servis sales their A pair articles through the advertisement then near the
off season through sales then through reduction in prices and if some articles are
blocked(not sale) then company stop to the production and send these all articles from
retail to FOL and sale these articles on low prices in FOl and they plan like 5 years
planning, next year planning, this year planning, Event planning, seasonal planning etc,
and think about the coming event round about 6 months like now Eid is coming and we
have made all the plan about Eid because our 38% target sales come from Eid.Servis
divides the cities in different districts and this is their own setting for understanding,
following is the detail.

Reference: Business Manager

S.no Districts Number of FOL’s

1 Peshawar 2

2 Rawalpindi 3

3 Gujrawala 4

4 Gujrat 3

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5 Sargodha 2

6 Lahore1 4

7 Lahore2 4

8 Faisalabad 4

9 Sahiwal 2

10 Multan 2

11 Sukkar 2

12 Karachi 2

All the Servis articles have different codes like Calza 350, Skooz 270, and Liza 429 etc. There
is no duplication chance in FOL and Retail shops. There are different slabs of different articles
like if article Calza 350 has become a dead item in retail shop then if company wants to sale
this article on FOL. then there is a slab of this article which tells that at which price to sale this
article. Servis outlets have above 80% articles available all the time. Servis like its competitor
‘BATA’ imports shoes from venders. The business manager and the team visit China and give

them order according to their need so in this way Servis imports. Now the question is … why
there is need of Imports? Because in Pakistan they have to bear much cost and also
Production is also not fulfilling the need. In FOL dept, there are only three main persons who
are working and giving business of billions to the company. One who watches factories, one
who watches LPO’s and one is the business manager who watches all the things and also
plans how to generate profit and make all the decisions.

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Two years before when the name of Factory outlet was B pair shops at that time there was
some difference in shops, Company was not showing its interest in FOL and shops were old,
not decorated and not giving sales, but two years ago company changed its thought and gave
value to FOL like now our FOL shops are same like A pair shops, these are also renovated and
furnished and giving different schemes like now “Jeet ka Shashka”.
Targets set by Management himself by estimating their sale to check out last year performance
and by new opened shops. Like if target increases by 40% then 20% target from old shops,
12% from new opened shops and the left target from sale or reduction.
Reference: Mudassar Ikram (Supply chain Analyst)

This is some facts and figures of last year.

Target sale Pairs. Last year Sale Target Value for Target Sale
value(achieved this year value(achieved
value) value) In
888,374 184,998,548 240,713,900 280,572,013

first row there are target sale pairs which the company assigns to sale minimum pairs. In
second column there is the value of target sale which the employees achieved on the base of
this value the company assign them RS. 240,713,900 target sale and they achieved more than
the target which is 280,572,013.

We can understand easily from the following graph.

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Internship Report MBA 17
 Corporate Sales

This is the hierarchy of this department.

Country manager
Shahid Iqbal

Senior Manager
Attiq—ur-Rehman

Asst. Manager
Asim Majeed

Corporate Sales
Assosiates
Mr Rashid

Corporate Sales
Assosiates
Faisal Imtiaz

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Today, Servis is fully geared to deliver the best to its corporate customers. Unshakeable trust,
unmatched products, superb quality and an amazing ability to satisfy the ever increasing
needs of its clients are some of the qualities that make Servis your unbeatable partner. No
matter how big the consignment is or how fast it has to be delivered, Servis is always there.
Servis enjoys a rich history of excellent performance. You can bank on Servis for your
requirements. From safety shoes to trendy sandals, from highly quality joggers to matchless
formal footwear nothing compares to Servis.

Popular Servis brands include Cheetah, Don Carlos, Calza, Liza, Skooz, Toz, Servis and more.
Servis offers a new product range twice a year at the beginning of summer and winter
seasons.

Corporate sale department is very small department as compare to Retail and wholesale but
here the working is interesting because the main reason is there is direct interaction with the
customer.

Product Range

 All categories of leather footwear and sports shoes.

 Canvas shoes.
 Rubber sandals and slippers.
 Safety shoes.
 Gas masks

Products
1) Safety Shoes.
2) Law and Forces shoes for Army and Police.

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3) Third one is all the simple shoes like Cheetah and Don Carlos etc.

Reference: Mr. Attique Ur Rehman

Price Range
Rs. 800 to1800 per pair.

Corporate sales department actually based on the concept of Customization. To change the
product or to make the product on the demand of their customer which fulfill the customer's
need? Safety shoes is a shoes which is actually for the safety of the employees of any
organization especially who are working on the sensitive places like People who works
electricity department, oil factory, sugar mills etc.
The main source of the corporate sales business is Tenders. They observe every tender
specially bulk quantity tenders which give them a good business. There are two types of bids
in tenders one is Technical Bid other is Commercial bid.
Reference: Mr. Rashid Rafique

Mr. Attique who is the senior manager of corporate sales told me that the last year target of
corporate sales department was 100 million which they easily achieved and now we are
looking for 140 million minimum.
We can say that this is the smallest department of Servis Sales Corporation and we can easily
determine this thing from their targets as we had seen the Factory Outlet. But to run this
department seriously is really necessary because to stand in the market and not to give way to
the competitor, this is also a source of advertisement also up to some extant and company is
gaining a heavy profit from here.

Strength Servis has a main strength which makes the Servis superior than other footwear's
that is Direct Inject technology. Direct inject technology is a technology by which company

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makes the shoes as a single piece, there is no any kind of stitches etc in these shoes, and this
technology is in the Gujrat factory not anywhere else. As we can see Servis has covered all the
major companies of Pakistan by mentioning this latest technology.
Reference: Faisal (Corporate Associate)

I also learned how to send faxes to customers and interact with them and which companies
are the customers of Servis, I have complete list of the customers and I mention some of the
customers below.

1) Adam Jee Insurance

2) Pakistan Air Force
3) Air port Security force
4) Chevron
5) Coca Cola
6) DHL Pakistan
7) Engro chemical Pakistan Limited
8) Attock Petroleum Limited
9) Atomic Energy Mineral center
10) Atlas Honda Limited
11) Fauji Fertilizer Company Limited
12) NLC
13) Multan Electric Supply Company
14) Millat Tractor Limited
15) Lahore electric supply company Limited
16) Indus Motors
17) Frontier Corps
18) FFC Ltd
19) Okara Army

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20) Orient
21) Pak American Fertilizer
22) Pak Arab Fertilizer
23) Younas Textile Mills
24) U.E.T

25) Sindh Police

26) Rescue 1122
27) Rangers (Punjab) (Sindh)
28) PSO
29) Punjab Police
30) Peshawar Electric supply Company
31) Pakistan post Office
32) Pakistan Steel Mills Karachi
33) Pakistan Air force.

The above are some famous and major clients of corporate sales.
I also checked all the files of these companies their quotations, Invoices and Goods receiving
notes and make the filing of the new ones.

Process

 First of all search of the customers from different sources like the main source is
internet then newspaper, tenders etc.

 Categorized these customers.

 Then contact to these customers through phone and get the information.

 Then senior manager Mr. Attique-ur-Rehman meets these customers.

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  Introduce the product to customers.

 Then customize the shoe according to customer need. Like if they don’t want laces on
the shoes then remove the laces, if they say that soul should be like this then soul must
customize like that etc.

 Receive the Query from customer.

 Check availability.
 Then give the quotation to customer

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 This is an example of an original Quotation which company sent to its customer Engro
Chemical-Pakistan-Ltd.

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  Then customer send purchase order to company.
]
The following is an example of a Purchase order which customer, Engro chemical
sent to the department.

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  Then corporate department give Production order to factory.
 Follow up the factory because time is the main factor in all the process.
 Then send a copy of GRN (Goods receive notes) to the factory and a copy to Logistic
department.
 GRN is that when the customer receives the product sign on the note and the delivery
person submit the copy to Logistic.

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 Document Process for Sales
There are two types of sales.
Direct Sales Tender Sales
Data/Listing Tender add/Information
Telephonic/Introduction Letter Collection of Tender Form
Query/Requirement Making of Earnest Money
Quotation and Samples/Catalogue Samples
Purchase Order from Customer Quotation
Production Order to Source Tender Participation
Confirmation of Production of required Convincing Visits
Shoes
GRN/Supply Letter of Intent
Bilty Purchase Order
Invoice from Source Return of Earnest Money
Signed GRN from Logistics Security Deposit
Sales Tax Invoice from A/Cs for customer Production order to source
Payment Confirmation of Production for
Inspection call
Tax challan Inspection Approval
Inspection Certificate
GRN/Supply
Bilty
Invoice from Source
Signed GRN from Logistics
Sales Tax Invoice from Accounts Deptt.
Payment from Customer
Return of Performance
after Completion of Period

Supply Chain

Hierarchy of this Department

GM (Abbas Ali Sherazi)

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 Senior Planning Manager

Planning Manager Planning Manager Planning Manager

Merchandise Planner

Yousaf Qiass Fahad Sheraz M - Sara Zaid Bin

Muneer Aslam Sadaqat Baig Usman Tufail ShahRu

Supply Chain department.

In actual Supply chain is about the planning and distribution of Retail. All stages involved,
directly or indirectly, in fulfilling a customer request. Including the manufacturers, suppliers,
transporters, warehouses, retailers, and customers. Within each company, the supply chain
includes all functions involved in fulfilling a customer request (product development, marketing
operations, distribution, finance, customer service. Customer is an integral part of the supply

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chain. Includes movement of products from suppliers to manufacturers to distributors, but also
includes movement of information, funds, and products in both directions.
Probably more accurate to use the term “supply network” or “supply web”
Typical supply chain stages: customers, retailers, distributors, manufacturers, suppliers. All
stages may not be present in all supply chains.
Reference: (Mr. Qaiss Aslam)
3 Categories:
 Men
 Ladies
 YBGC (Youth, Boys, Girls, Children)

Men category look after by Mr. AbuBakar, Ladies look after by Miss Samia Saleem and YBGC
look after by MR Usman Barkat.
Each category is divided in subcategories which are the responsibilities of the other members
mention in the hierarchy.
Subcategories are:
Men, Ladies, YBGC
Support Shoes
Shoe Moc
Chappal
Sandal
Canvas
Havai
PVC
EVA

Maximize overall value created. Supply chain value: difference between what the final products
is worth to the customer and the effort the supply chain expends in filling the customer’s
request. Value is correlated to supply chain profitability (difference between revenue generated
from the customer and the overall cost across the supply chain)

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Supply Chain Planning
 Definition of a set of policies that govern short-term operations.
 Fixed by the supply configuration from previous phase.
 Starts with a forecast of demand in the coming year.
 Planning decisions:
 Which markets will be supplied from which locations
 Planned buildup of inventories
 Subcontracting, backup locations
 Inventory policies
 Timing and size of market promotions
 Must consider in planning decisions demand uncertainty, exchange rates, competition
over the time horizon
Reference: (Usman Barkat)

Feedback
I spent only two days here in supply chain department and this was the cooperate of Mr.
Usman Barkat and Mr. Qaiss who guide me so well that I am able to know about the Supply
chain department only in two days.

Whole Sale

Wholesale Department

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 Company

Corporat Retail Wholesal

e e
Dealer Network

Retailer

Brands
Cheetah -------- Joggers
Don Carlos------ Formal/Casual Shoes
N-Dure--------- Casual Shoes
Maximus-------Formal Shoes
Calza----------- Open Chappal
Liza------------ Ladies Slippers
Skooz---------- Men/Ladies/Youth/Boys/Girls/Children

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 Hierarchy of the Department

Country Head

Operation Senior Manager Planning&

4 RSM
Manager Development

Zaher-ud-Din Babar (North)

Category
Azhar naeem(Central !)
Manager
Iftikhar hussain(Central 2)
Syed Urooj(South)
Category Analyst

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Depots are the channels from where whole sale department distributes or sales shoes to
dealers.
There are 13 Depots in all over the Pakistan.
There are round about 2000 registered and non registered dealers.
Every Depot has a big store behind the show room. Dealers come and make choice of their
own and place the order that this article we need in this quantity then if the stock is available at
the store then the store keeper dispatches otherwise make order to the wholesale department
and the wholesale department according the present and future need place the order towards
the factory.
Requirements to become a Dealer
To become a dealer first of all the candidate has a place of his own and then he have to fill a
form and submit a non-refundable amount of RS. 500.
There are two types of dealers, one is registered and others are non-registered dealers.
Who pay the fees is registered and who do not unregistered.
Registered dealers have a benefit of discount and credit facility more than non-registered.
Reference: Mr. Awais (Category
manager)

Targets and achievements

Last year target of whole sale was 1.56 billion rupees.
The department achieves 1.61 billion.

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Process
Whole sale department receives APD from Depots 3 months ago.
On the basis of previous, sale, stock, demand etc send order for production.
In case of factories there are daily dispatches.
In case of Local, give allocation for one month.
In case of imports no involvement of Depots exists.
Whole sale department with their own will and demand send order in case of imports.
Then when the consignment comes distribute in the field total consignment through the depots
order and own forecasting.

Market Survey
Then on 17th July 2008 I went to market on two shops on a survey.
I visit Barkat Market shop and Y block market in Defense
I checked the new articles of Skooz which recently come from Local purchase these were
Skooz 328, 367, and 366. I checked their sales but that was nil because these were recently
coming articles.
I asked about the best article of the year. That was PB05 and PB01.
In ladies GL06 chappal was most selling item.
In Barkat average price of article was 1000 RS.
In Defense average price range was 2000 RS.

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The following are the facts and figures of previous and this year in which we can see
last year sales pairs and last year sale value with this year sale pairs and this sale
value with total %age comparison of this year with previous year.
Sale From Sale From Sale From Sale From
1St. Jan. 1St. Jan. 1St. Jan. 1St. Jan. Totally
Pairs Pairs Value Value % Ag.
L.y T.y L.y T.y L.y
Men
Sports+Cheetah
(PU) 300141 419197 210797446.6 307999764 146.11

Shoes/Moccs 415074 431445 326693004.3 354588600.8 108.54

Chappals 1031258 1250243 386070054 469946722.2 121.73

Sandals 55282 58346 33040474.72 35965185.39 108.85

Canvas 59028 56462 11494546.81 10433859.58 90.77

PVC 29343 15467 3192178 1828512 57.28

EVA 9737 19 1266008.5 1784 0.14

Hawai 20950 11721 1221945.62 782489.9773 64.04

Total Men 1920813 2242900 973775658.5 1181546918 121.34

Ladies
Sports 729 3556 366928 1173470.33 319.81

Shoes/Pumpies 115662 145603 36090763.93 47337804 131.16

Chappals 625783 851846 162301976 216246094.4 133.24

Sandals 24515 17920 7659129 5689143.732

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 74.28

Canvas 21794 20242 3374129.93 3020765.156 89.53

PVC 2 0 102 0 -

EVA 5935 55 541346.64 3764.836 0.70

Hawai 10179 7349 514914.78 456421.65 88.64

Total Ladies 804599 1046571 210849290.3 273927464.1 129.92

Youth
Sports+Cheetah
(PU) 23141 32311 10103600.95 16314628.4 161.47

Shoes/Moccs 64984 80922 18229835 22521207.83 123.54

Chappals 50329 89397 16130815.38 29392149.26 182.21

Sandals 12807 11424 3248171 2889124 88.95

Canvas 5381 5011 682912.93 741006.9 108.51

PVC 0 0 0 0 #DIV/0!

EVA 2296 734 196659 61157 31.10

Hawai 0 0 0 0 #DIV/0!

Total Youth 158938 219799 48591994.26 71919273.39 148.01

Boys
Sports 20565 13040 8397632 5048984 60.12

Shoes/Moccs 64154 84955 17323900.11 22812658 131.68

Chappals 12395 13856 1721936.45 1939249.7 112.62

Sandals 12496 13632 2921710 3152247.91 107.89

Canvas 6680 9498 717637.75 1200236.07 167.25

PVC 0 0 0 0 #DIV/0!

EVA 1736 243 126303 17265 13.67

Hawai 0 0 0 0 #DIV/0!

Total Boys 118026 135224 31209119.31 34170640.68 109.49

Girls
Sports 2050 1171 954235 577896 60.56

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Shoes/Pumpies 49477 65477 10716601 15435280 144.03

Chappals 3830 25467 807159 4261346 527.94

Sandals 1277 323 214718 58452 27.22

Canvas 0 0 0 0 #DIV/0!
PVC 0 0 0 0 #DIV/0!
EVA 0 0 0 0 #DIV/0!
Hawai 0 0 0 0 #DIV/0!

Total Girls 56634 92438 12692713 20332974 160.19

Childrens
Sports 14215 8298 5809420 3752059 64.59

Shoes/Moccs 52497 68175 10134248 14144786 139.57

Chappals 30172 43717 3577395.05 5433118.06 151.87

Sandals 24017 31772 4592122 6143467.64 133.78

Canvas 0 0 0 0 #DIV/0!
PVC 0 0 0 0 #DIV/0!
EVA 0 0 0 0 #DIV/0!
Hawai 0 0 0 0 #DIV/0!

Total Children 120901 151962 24113185.05 29473430.7 122.23

Total B-Pairs 166 -2231 0 0 #DIV/0!

G/Total: 3180077 3886663 1301231960 1611370701 123.83

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 Marketing

Competitive Advantage
Servis has competitive advantage on it product range, its brands name, and Price.

Customer Services
Servis provide Customer Services through give them warranty and guarantee on shoes.

Customer Relationship Management

To develop customer relationship management Servis provide Loyalty cards to their Loyal
customers. Every customer who consumes 1500 RS to purchase some article can become a
loyal customer and can get Loyalty card by filling a form and then after some process company
dispatches the card. Company also sends catalogues on customer’s addresses. One time
entry on every 500 consumed in the shop. Last year one person won a car who belongs to
from Jhelum then company advertise him through ads photographs and print media. Company
also provide after sale services.

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Marketing Strategy
SSC use aggressive marketing and take advantage through give ads on TV channels, different
campaigns and promotional activities so their competitor is so far from them on this side.

Advertising
There is a team who plan that when there is need of advertisement and how to advertise or
running a campaign but there is no advertising agency of Servis so Servis use outsourcing
from different advertising agencies.

BCG Matrix

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This was not difficult for me to find that where SSC falls in BCG matrix. SSC falls in Stars
situation because Stars generate large amount of cash because of their strong relative market
share, but also consume large amounts of cash because of their high growth rate; therefore
the cash in each direction approximately nets out. If a star can maintain its large market share,
it will become a cash cow when the market growth rate declines. The portfolio of a diversified
company always should have stars that will become the next cash cows and ensure future
cash generation.

SSC ?

Cash Cow Dog

SWOT Analysis

Following are the strengths, weaknesses, opportunities and threats which I personally observe
in the company.

Strengths:
Largest footwear group in Pakistan
60 years experience
Old employees
Accessible to all income segments in country.
Geographical coverage
Variety of products

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Image of durable shoes
Strong market share in sports and school shoes
Brand name like Cheetah, Don Carlos

Weaknesses:

Female market penetration is weak

Low aspiration value in high income group
Don Carlos communication seems to be static. Need to find ways to build on the strong equity
of the brand.
Weak corporate image of Servis group
Distribution network as compare to Bata is little bit weak.

Opportunities:

Penetration in the female segment

Creation of innovation and customized products
Further segmentation within sports segment
Improve shopping experience at retail outlets
Major portion of market untapped

Threats:

Stiff competition in the market from local and foreign brands

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Aggressive marketing tactics by other shoe manufacturers.
Different market segments have been targeted by competition.
Unbranded small players competing against different brands of Servis

Recommendation

 Servis sales corporations is weak in its competitors analysis, because when FOL or
Retail sets their articles prices they should be aware of competitors prices so I will
recommend that they should also study to their competitor that what are Bata’s strategy
like which campaign or pricing strategy Bata is going to launch.
 MIS system is weak. So there should be such team who operate marketing information
system.
 Prices are high of SERVIS articles because now in the market there are China shoes
and local companies, so now there is need to be reduce the prices.
 Promotional activities are same which were 10 years ago, like a low quality ball with
every Skooz so there is need to change them in this modern Era.

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  Rewards and compensations are not satisfying to its employees, so there should be
such rewards and benefits that if employees achieve the targets then they should be
satisfied.
 Servis should allow some degree of freedom in its policies and work procedures and
policies according to the environment and conditions of Pakistan without having to ask
for permission every time.
 In the outlets of Servis there is no availability of all the articles that’s why positioning of
Servis in general customer is that there is no development in the shoes or the young
generation thinks that there is no funky shoes which will attract them so Servis should
make positioning in the mind of customer about their developed articles and fleets.
 Budget of FOL is not enough, budget should be increase because FOL is targeting low
income people and giving a good business to company.

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