Supply Chain Management Report On

Submitted to:
Sir Attiq Ur Rehman

Submitted by:
Hifza Mubeen MBAF13M023
Hira Ashraf MBAF13M050
Iram Khalid MBAF13M060
Sundas Javed MBAF13M036

Department Of Management Sciences,

University Of Sargodha
 Super Asia Muhammad Din Sons
[SUPPLY CHAIN ANALYSIS] LIMITED

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 Super Asia Muhammad Din Sons
[SUPPLY CHAIN ANALYSIS] LIMITED

ACKNOWLEDGEMENT
First of all we would like to thank Allah Almighty for giving us ability to complete this project.
“It is not possible to prepare a project report without the assistance and encouragement of other
people. Without their active guidance, help, cooperation and encouragement, we would not
have made headway in the project. We are very thankful to our course teacher Sir Attiq Ur
Rehman assigning us such an interesting project “SUPPLY CHAIN ANALYSIS” and for
conscious guidance and encouragement to accomplish this task. We are highly indebted to the
Super Asia M. din sons and Limited for their guides and constant supervision as well as
providing necessary information regarding project and also for their support in completing the
project. We extend our appreciation to UNIVERSITY OF SARGODHA for giving us this
opportunity. We also acknowledge with a deep sense of our appreciation toward our parents,
who have always supported us morally. At last but not least gratitude goes to all of our friends
who directly or indirectly helped us in completing this project.

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 Super Asia Muhammad Din Sons
[SUPPLY CHAIN ANALYSIS] LIMITED

Contents
ABSTRACT............................................................................................................................................ 5
 Background: ................................................................................................................................ 5
 Methods: ..................................................................................................................................... 5
 Results:........................................................................................................................................ 5
 Conclusion: ................................................................................................................................. 5
Super Asia Group Portfolio .................................................................................................................... 6
 LOCATION OF OFFICES: ........................................................................................................ 6
INTRODUCTION ....................................................................................................................................... 8
Historical Timeline: ............................................................................................................................ 8
Company profile.................................................................................................................................... 10
 Vision statement: ...................................................................................................................... 10
 Mission statement ........................................................................................................................ 11
 CORPORATE SOCIAL RESPONSIBILITIES ........................................................................................ 11
 SWOT Analysis: ............................................................................................................................. 11
 Competitors .................................................................................................................................. 13
Supply Chain Management ................................................................................................................... 13
ANALYSIS ............................................................................................................................................... 18
RECOMMENDATIONS ........................................................................................................................... 18

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 Super Asia Muhammad Din Sons
[SUPPLY CHAIN ANALYSIS] LIMITED

ABSTRACT
 Background:
To critical examine, understand & analyze the practical implications of supply chain
management course.

 Methods:
Analytical examination conducted through interview with Mr. Shokat Amin (store
manager) Mr. Hammad (ASM), Mr. Adnan (ASM) & we have studied articles on Super
Asia supply chain operations through internet.

 Results:
Super Asia has been leading manufacturer of Home Appliances in Pakistan. The reason
behind its growth is to provide customers with innovative and quality products along with
its management, promotion, pricing and distribution by involving distributor and retailer
who make direct deliveries to customer. And it depends on their effective supply chain
management.

 Conclusion:
In this time of globalization, the need of being innovative and responsive has bring main
focus towards having smooth & flawless supply chain that have traditionally been on the
high side and “Super Asia” are on the track of improving its effectiveness.

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 Super Asia Muhammad Din Sons
[SUPPLY CHAIN ANALYSIS] LIMITED

Super Asia Group Portfolio

The Super Asia group started in 1975 by Mr. Mian Mohammad Din, the founder of Super
Asia. The Group has become synonymous with Quality, Innovation, and Customer
Satisfaction.

Super Asia deals in:

Today, it is a conglomerate of companies with diversified range of businesses:
 Home Appliances Division
 Food Division
 Insulation Sheet Division
 Automobiles Division

 LOCATION OF OFFICES:
Super Asia Muhammad Din Sons Limited
 Head Office
Super Asia Muhammad Din Sons Limited

G.T. Road, Gujranwala. Tel: 055-4272801-5, 055-4272113 Fax: 055-4271238

Email: Customercare.mds@superasia.biz
 LAHORE Customer Care Cente
89-Temple Road, Lahore.
Tel: 042-36373192
 RAWALPINDI Customer Care Cente
B-Block, 1341 Satellite Town, Near Kali Tanki Stop, Rawalpindi.
Tel: 051-4429837
 FAISALABAD Customer Care Cente
P-68 Main Jhang Road, Near PSO Petrol Pump, Shadab Colony, Faisalabad.

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 Super Asia Muhammad Din Sons
[SUPPLY CHAIN ANALYSIS] LIMITED

Tel: 041-2654655
 MULTAN Customer Care Cente
Ahmad Park Colony, Opp. Jamia Saqlain Road, Near Khanewal Road, Multan.
Tel: 061-8128172
 HYDERABAD Customer Care Cente
House No. 29-A, Unit No.9, Near Wapda Hospital, Latifabad, Hyderabad.
Tel: 022-2909488
 KARACHI Customer Care Cente
Saddiqe Godom, Near National Bank, City Station, Karachi.
Tel: 021-32478016 , 32477221

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 Super Asia Muhammad Din Sons
[SUPPLY CHAIN ANALYSIS] LIMITED

INTRODUCTION
The foundation of Super Asia Group was laid down by the late Mian Mohammad Din in 1975
and is currently operating in four different divisions i.e. Home Appliances, Automobiles,
Insulation Materials and Fast Food. Mian Muhammad Din made his idea a reality by being the
first local manufacturer of washing machines in Pakistan through persistent quality and
innovation, Super Asia’s washing machine became a market leader and symbol of quality.
Super Asia is now a well renowned and respected brand name not only in Pakistan but in many
other countries of the globe where its products are being exported. Super Asia reassures all the
stake holders that the management of Super Asia not only looks ahead with a deep sense of
enterprise, progressive outlook and professional attitude, but constantly reviews, grasps and
benefits from the state of the art technologies and modern research to achieve new heights of
success. Super Asia has a long list of very high quality brains well qualified from top of the
line Pakistani and foreign institution with lot of experience. These brains are working day and
night to satisfy the customer needs.

Historical Timeline:
 1975 The First Step
Introduced Washing machines

Super Asia is a market leader in its Washing Machines, and considered as amongst top
manufactures in the fan industry.

 1980 Five years down the road…

Introduced Plastic body Washing Machines

 1981 One years down the road…

Introduced Room Air Coolers

 1985 Four years down the road…

Introduced Gas & Electric Water Heaters

 1995 Ten years down the road…

Introduced Water Dispensers

 1998 Three years down the road…

Introduced Fans

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 Super Asia Muhammad Din Sons
[SUPPLY CHAIN ANALYSIS] LIMITED

A subsidiary engaged in manufacturing of enameled copper wire. This company is

fulfilling the copper wire needs of Super Asia Group as well as supplying its products
to other fan and washing machine manufactures.

 2003 Five years down the road…

 Introduced Motorcycles

Super Asia has succeeded in providing motorcycles which are skillfully designed,
keeping in view economy, quality standards and comfort.

 Insulation & Packing Material units

It provides integrated technology based insulation solutions, packing material and

carpet underlay for consultants, architects and downstream customers in construction,
shoe industry, fruit industry, and industry in general for packing etc.

 2004 One years down the road…

 Super Asia Group Started Microwave Ovens Manufacturing in 2004.

 Super Asia Group Start Air Conditioners Manufacturing in 2004

 2006 Two years down the road…

Introduced Automotive Parts

A subsidiary company of Super Asia Group that is manufacturing auto spares parts
mainly aluminum die casted parts. This unit is mainly supplying different engine parts
like crank cases and clutch cover etc.

 2009 Three years down the road…

 Introduced Tuk Tuk CNG Rikshaw

Super Asia has succeeded in providing rickshaw which is skillfully designed,

keeping in view economy, quality standards and comfort. Super Asia Motors is also
engaged in manufacturing of Tuk Tuk three seated rickshaw.

 Hardees

MDS Foods is operating restaurants with the brand name of HARDEES

International Burger Chain in Pakistan, one of the world’s leading brands in Quick
Service Restaurants.

 2013 Four years down the road…

Seed Out is a non-profit organization registered under Societies Act 1860, working to
Alleviate Poverty in Pakistan by Raising Micro-Entrepreneurs through its Interest-Free
Crowd Funding Platform (www.seedout.org). Seed Out envisions connecting the

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 Super Asia Muhammad Din Sons
[SUPPLY CHAIN ANALYSIS] LIMITED

donors from the all around the globe with the potential micro-entrepreneurs with 100%
transparency to build a sustainable and economically stable Pakistan.

 2015 Two years down the road…

TGS Global Store: A place where all your shopping needs will be met.

Company profile
Our work force and the satisfied customers play a major part in the Super Asia’s success
story. The vision of the founder was to become a winning streak from the outset. His
profound insight into the dynamics of Home Appliance Industry continues to inspire the
management of Super Asia till date. Despite the unstable economy of the region Super Asia
has achieved commendable milestones. Company has a computerized system in the
company. The information is shared between different departments through computer
network. . Super Asia has the keen eye on future. Now they are planning to build another
manufacturing plant to meet the future demand.

Vision and Mission Statement

 Vision statement:
Our vision is to establish the character of Super Asia as a people-focused, market- driven
company that is organized around its customers, associates and markets. By understanding

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 Super Asia Muhammad Din Sons
[SUPPLY CHAIN ANALYSIS] LIMITED

trends in society and obtaining deep insight into issues confronting people in their daily lives,
we ensure that people’s needs remain at heart of everything we do.

 Mission statement:
Our foremost aim is to setup a business model with modern and latest technology
products that are geared to encompass needs of our customers, while strictly
adhering to the high quality standards. Provide a dynamic, responsive organization
that ensures a rapid response to opportunity and competition.

 CORPORATE SOCIAL RESPONSIBILITIES

The Super Asia Group is a playing a vital role in social sector of Pakistan. Mian
Muhammad Din Trust Hospital (The hospital provides free medical treatment to factory
workers, and the needy of nearby localities.) Gujranwala liver foundation (which is
actively contributing towards the needy and affected from the Hepatitis and liver
diseases) and few Masjid are some of the examples. Company is working in endless ways
for the welfare of the society. Company also contributes in the education sector by giving
scholarships to students from different schools and universities. Super Asia Running a
non-profit organization (Seedout) with a mission to fix the funding process by
empowering people from all around the world to raise money for social cause and
businesses. We provide an online medium by leveraging internet to help and support
unprivileged individuals and communities to fulfill their dreams simultaneously
alleviating poverty sustainably.

 SWOT Analysis:
SWOT analysis is an acronym for strengths, weaknesses, opportunities and threats and it
facilitate to focus on strength, minimize threat, and obtain the greatest possible benefit of the
opportunity.

Strength
 Super Asia serves with all type of home appliances, like Washing Machine, Spinners,
Air Conditioners, Fans, Geysers, Water Dispensers, Room Air Coolers, Microwave
Oven and Cooking Range.
 Super Asia has created positive reputation and goodwill in the market of Pakistan
exceptionally.
 Super Asia has the leading market share all over the country in the washing machine
industry.
 Brand name of Super Asia is familiar to approximately each person in the country
and is incredibly renowned in home appliances industry.

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 Super Asia Muhammad Din Sons
[SUPPLY CHAIN ANALYSIS] LIMITED

 Super Asia is exporting its products to different regions across the world mostly
markets like Africa, Middle East and Asia.
 Nonstop achievements of FPPCI exports Trophy.
 Super Asia has a number of old workers who are dedicated and trustworthy with the
company.
 A great number of types are accessible in the collection of every product of the
company.
 In addition Super Asia is the strategic colleague of Procter & Gamble. The strategies
of Super Asia are similar to Procter & Gamble.

Weaknesses:
 There is scarcity of trained labor in the company because of which the company has
to face a intense competition.
 The majority of the supervisory and administrative staff is not well educated.
 The salaries of managing staff are extremely low due to which the experienced and
well educated people does not move toward super Asia.
 Technical labor of the company has the negative view about the management of
Super Asia.
 The advertisement budget of Super Asia is exceptionally undersized relatively other
brands in the market.
 The management staff do not have direct link with their dealers (sellers of Super
Asia’s products).
 The company has not developed the appropriate promotional strategies for
international markets.

Opportunities:
 Super Asia has opportunities to enhance their exports Due to Government policy of
low export duty.
 Super Asia has a strong financial position so that management is able to use the latest
technology in their products.
 They can exploit the brand name in the international market to boost their sales of
Fans like their Washing Machines.
 Company should invest in the SBUs like Air Conditioner and Microwave Oven which
have small market share and extremely low growth rate.
 Super Asia should appear in the international industrial exhibition. It is a huge
opportunity for the company to generate the awareness of its brand in the
international markets.

Threats:
 The especially large threat to Super Asia is Chinese Technology.

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 Super Asia Muhammad Din Sons
[SUPPLY CHAIN ANALYSIS] LIMITED

 Other competitors of Super Asia are providing the identical products at comparatively
lesser prices.
 The competition in the market is increasing day by day because of incoming new
companies.
 Current Power & Electricity failure is very large obstacle for the manufacturing unit
of the company. Due to the deficiency of electricity the company may be not capable
to assemble the orders.
 The complaints in some particular SBUs, like Motorcycles is a huge threat to the
brand name of the company.

 Competitors
 Haier
 Orient
 Dawlance
 Pell
 Nes gas
 Pak fan

Supply Chain Management

Supply chain management is a set of approaches utilized to efficiently integrate suppliers,
manufacturers, warehouses, and stress, so that merchandise is produced and distributed at
the right quantities, to the right locations, and at the right time, in order to minimize system
wide costs while satisfying service level requirements. The objective of supply chain
management is to be efficient and cost-effective across the entire system, total system wide
costs, from transportation and distribution to inventories of raw material, work in process
and finished goods, are to be minimized. Thus the emphasis is not on simply minimizing
transportation cost or reducing inventories but, rather, on taking systems approach to supply
chain management.

Supply Chain Process Of SUPER ASIA:

To grow the business activities Super Asia promotes the dealer network. Super Asia
promotes their dealer instead to facilitate the end customer. It also provides the underwrite
benefits to dealers for the promotion of products. Super Asia facilitates the High Class and
Middle Class, but don´t compromise on quality, R&D department works on it and offer low
cost product by reducing the cost of product, on the bases of usage, size and weight.

1. Procurement of Raw Material:

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 Super Asia Muhammad Din Sons
[SUPPLY CHAIN ANALYSIS] LIMITED

Prepare Plan shif toward Main Store

Production Plan all Departments generate demand

information send
Send PO to Quotation from
to procurement
vendors vendors
department

Order

The procedure of procurement of raw material of Super Asia, first step prepare
manufacturing plan includes which model and quantity is required for production (depend
on season). In second step plan is shift toward all department for analysis. Main store
generate the demand (what is required) after checking the stock in hand. Such information
provided to procurement department. Procurement department send PO to vendor, after that
quotation is taken from vendor, and order for procurement that provide quality raw material
at economic price within time framework.

Most of the raw material is manufactured under the factory premises; some material is import
from china (sheet, wire, led, copper). Amber capacitor is the main supplies of Super Asia
and Karachi is main hub to purchase material.

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 Super Asia Muhammad Din Sons
[SUPPLY CHAIN ANALYSIS] LIMITED

2. Transportation:
To reduce the wear and tear and overhead cost, most of transportation is outsourced, also
own some vehicles. Containers and trucks are used to get the raw material from local vendor
and transportation cost is born by organization according to the truckload with 32 tons
weight each. While in case of import material CIB declared that unloading charges in port
of import, loading on truck in port of import, carriage to place of destination are also born
themselves. Super Asia use fast moving transportation network to make sure the availability
of raw material in time. Loading capacity of each truck is depends on the order of dealer
(how much units are required).
3. Storage:
As there is a huge production takes place in factory area they have to make sure all materials
required to make tiles. They store required material in house to make sure availability of
material for production. Super Asia store its raw material in off season for off season
production to meet the demand of in season.

4. Production Process:

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 Super Asia Muhammad Din Sons
[SUPPLY CHAIN ANALYSIS] LIMITED

Assembly
Motor
Winding Shop
Motor Body
Shop
Sheet Shop
Die
Maintenance
Molding Shop Shop
Tool Shop

5. Packaging:
When the final product is prepared it is sent to packaging department. The beautiful
packaging of the products attracts the consumers to buy the products. Here the company is
also strong because their packaging is very well.

6. Warehouse:
They don’t use any other physical facility to store final product.
They just make and store it in house for dealers pick up. There
are more than 1500 dealers of the company all over the country
providing the products of Super Asia’s products to the
consumers.

7. No of Facilities:
There are total seven facilities in Gujranwala, Lahore, Rawalpindi, Faisalabad, Multan
Hyderabad, Karachi, from where products are manufactures, store, and distributed. All the
decisions are centralized. The small number of facilities increase the transportation cost.

8. Inventory
An important role that inventory plays in the supply chain is to increase the amount of
demand that can be satisfied by having the product ready and available when the customer
wants it. Super Asia keeps excess inventory in their stock to meet the uncertain demand of
customers, which cause to increase its holding cost. Increasing inventory generally makes
the supply chain more responsive to the customer.

9. Information Technology:

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 Super Asia Muhammad Din Sons
[SUPPLY CHAIN ANALYSIS] LIMITED

All the departments of Super Asia are linked with information system. Super Asia also offers
to make order online. Mobile phone is used as an important communication channel for order
given and order taken. For taking the order from the distributor company use the same tools.
Also use print media, electronic media. X4 information system used in super asia.

10.Pricing
Pricing is the process by which a firm decides how much to charge customers for its goods
and services. Pricing affects the customer segments that choose to buy the product, as well
as the customer's expectations. The prices of the company are somewhat high due to which
the people are converting to buy the competitors’ products. It is necessary for getting the
positioning in the minds of the consumers to set the lower prices of the products than
competitor’s products. Super Asia used fixed price strategy for all of its dealers and
customers.

The Distribution Network of Super Asia:

Distribution refers to the steps taken to move and store a product from the supplier stage to
a customer stage in the supply chain. Distribution occurs between every pair of stages in the
supply chain. The products of the company are available all over the country because it is
important that the products should be available to all the consumers. There are more than
1500 dealers of the company all over the country providing the products of Super Asia’s
products to the consumers.

Dealers purchase products as per orders and supply it to retailers that use display centers and
showrooms to make them available to ultimate customer.

Forecasting Technique:
Super Asia use two methods of forecasting:

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 Super Asia Muhammad Din Sons
[SUPPLY CHAIN ANALYSIS] LIMITED

 Trend Line Method: the method in which time series in historical consumer buying
behavior is the determinant to anticipate the demand and maintain the stock according
to anticipation.
 Qualitative Method: by which the managers anticipate demand on basis of gathered
information about the demand.

ANALYSIS
 Inventory cost:

The inventory cost of Super Asia is high to meet the demand of customer in time. They
start collecting inventory in off season. They always keep inventory in their stock.

 Transportation cost:

Super Asia face high inbound transportation cost and outbound cost added in consumer
price.

 Facilities cost:

Super Asia manufacture and deliver the products from single place, facility cost includes
only factory and headquarter cost.

 Sourcing:

Most of the components used to make final products are produce in-house.

RECOMMENDATIONS
 Improve information system.
 Provide the facility of order tracking.
 They must use SAP to maximize their Supply chain collaboration.

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