Taj Report

7/29/2019 Taj Report

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Executive Summary



History of paper industry in Pakistan

Being a new and separate state, at the time of independence Pakistan was under developed.

Because of this reason Pakistan had no paper and paper board manufacturing unit. The needs

regarding paper were met through imports. In 1952, first paper unit was established. Its

production capacity was 500 tons per annum. Then more units were set up in Punjab, NWFP and

Sindh, producing various grades of paper, using local and imported raw materials. But due to

poorly planned growth in the 80’s and 90’s, many of the units are lying closed from that time. At

present, in Pakistan there are about 100 units in the organized and unorganized sectors.

Collectively, these units have a set up capacity of 650 thousand tons per annum. The units in

organized sector have a capacity of 20 to 300 tons per day. The organized sectors have

575thousand tons production capacity from 26 paper manufacturing units. These units produce

Writing and Printing Paper, Wrapping and Packing Paper, White duplex coated, Un-coated

board, Chip Board and other board. In Punjab, about 70 percent of the paper mills are located, in

Sindh 20 percent and 10 percent in NWFP. Punjab has a vast concentration due to availability of

abundant underground water and wheat straw used as primary raw material. Only a few mills

have a capacity of more than 100tons per day. Whereas, majority of the mills have low

production capacity. Production capacity of these units ranges between 1500-88000 tons on

annual basis.

Some early firms in this sector

After humble beginning of the Paper industry in Pakistan Given are the some early paper and

board firms in this sector1.

West Pakistan P.I.D.C concept mill. Rahwali (Sethi Straw Board)

Lasani Paper and Board Mills

P.P.P (Now Mandiali Paper Mills)

Charsadda Paper Mills. (Now Flying Paper Mills)

Packages Limited

Cherat Paper sack limited



Sayid Paper Mills

Security Papers Mills Ltd

Century paper mill Pakistan10.

Abbas Paper & Board Mills (Pvt) Ltd Premier Paper Mills

Flying paper and board mills Ltd

Premier Paper mills (Pvt) Ltd

How sector developed?

In perspective of analyzing the development rate and its major reasons, we will have to take a

look at rise and fall in the Production of paper and board industry during last two decades

from1990 to 2010. Different factors are involved in the increase and decrease in the production

of paper industry. Such as ever changing policies of government influence production of paper

both positively or negatively according to the required or unwanted implementation respectively,

social aspects that influence need and production of paper, educational programs by the

government and increase in schools and colleges by the private sector, load shedding and

inflation etc. To understand the production ratio in these twenty years, I am going to give a

brief overview dividing these years into four parts of five yearly periods. That would be from;

(a): 1990 to 1995 (b): 1996 to 2000 (c): 2001 to 2005 (d): 2006 to 20101.

During the period of 1990 to 1995 over all production in the above mentioned sector increased.

In this period first four years got good increase in production as in 1990 it was 88.6 million

metric tons in Paper Board and 64.2 million metric tons in all types of Paper. Whereas,

continuously increasing from 1991 to 1994 it became 133.2 million metric tons in Paper Board

and all types of paper was 129.3 million metric tons. That was a good increase. In 1995 increase

in the production was 208.4 million in all types of paper but it came down in paper board and became 106.2 million metric tons.

In 1996 and 1997 the increase was seen in board paper up to 197.6 million metric tons but

decrease in all types of paper to 149.0 million metric tons. Afterwards it continuously increased

till year 2000, in paperboard up to 246.3 million metric tons and others 284.8 metric tons.



In 2001 there was bad decrease in production in both board paper 187.6 million metric tons and

other paper137.9 million metric tons but from 2002 to 2005 continuous increase in board paper

476.7 million metric tons and all types of paper 167.7 million metric tons.

This forth and last period started with a decrease in production from year 2006 and the decrease

was in board paper 464.7 million metric tons and others 161.7 million metric tons. Then in the

years 2007 to 2008 the decrease to 449.6 million metric tons in board paper and increase in all

types of other paper up to 252.5 million metric tons was seen. But the last years of this period

2009 and 2010 have come up with continuous decrease in both papers board 330.7 million metric

tons today and all types of other paper 185.4 million metric tons today.

Government role in developing the sector

One of the issues that our industrial sector has been struggling with is the lack of continuity in

fiscal, monetary and economic policies. In retrospect, a sound industrial sector relieves as much

one stable government policy as it does on the skills of the private businessman. The paper and

paperboard industry has been dealt reeling blows by the successive wave of governments and

know-all bureaucrats that seem to be completely unaware of ground realities. Paper and

paperboard was the industry of choice in imposition of Central Excise duty for decades. Finally,Govt is failed to develop the sector due to corruption, mismanagement and bad Governance.

Top five big names in the sector Installed Capacity:

Packages Limited 302, 000 Tons

Century Paper & Board Mills Ltd 240, 000 Tons

Flying Board& Paper Product Ltd 100,000 Tons

Premier Paper Mill Ltd 50,000 Tons

Flying Group of industries (Flying Kraft Paper Mills) 40,000 Tons

Products produced in Pakistan

Writing and printing paper.

Packaging board.



Liner board (A type of paperboard used in making corrugated cartons).

Corrugate medium5.

Continuous computer reels.

Tissue and Security/banknote paper. Newsprint

Sayid Paper Mills became the first manufacturing unit in 2000 to produce newsprint.

Cost of Production

Production cost comprises of 58 percent for raw materials, 10 percent labor, 12 percent fuel and

energy and 20 percent other overheads.

Price of Inputs

The prices of imported pulp, waste paper and chemicals show declining trends whereas the

prices of local raw materials, electricity and furnace oil show rising trends. The principal raw

materials for manufacturing of Paper & Paper Board are wood pulp, waste paper pulp and

agricultural wastes. The agricultural wastes like biogases, rice and wheat straws, cotton linters

and cotton wastes are locally available. The secondary inputs are chemicals. The inputs for

production of pulp are calcium carbonate, soda ash, caustic soda, sculpture and chlorine whereas

the chemicals used in bleaching pulp are chromium, caustic soda, lime, sodium chlorate and

sodium peroxide. Alum, starch, rosin, clay and other chemicals are used at paper making stage.

Caustic soda, rosin, starch, alum and lime stone are indigenous chemicals while the other are

imported.

Pulp and Waste Paper

Wood pulp is imported while waste paper is available locally as well as imported. Wood pulp isimported mainly from USA, Sweden, Canada and Far East while waste paper is being imported

from USA, UAE, Saudi Arabia and Singapore.

Imports of Paper and Paper Board Products



Pakistan imports large quantities of newsprint paper. Their imports during last 3 years were 207,

644 M. Tons. Newsprint is the major imported finished product followed by white duplex/coated

board.

Raw Material

The main raw materials used in Pakistan are wheat straw, biogases, kahi grass, rice straw and

wood pulp. The mechanical process is not suitable for these raw materials as it produces powder

on grinding which reduces strength of the product. The chemical processes are considered

practical for pulping of such short fibers. To manufacture paper, different types of pulps are

blended in desired proportions in a stock blending chest where imported long fiber wood pulp is

also mixed. Baggasse is the residual by product of sugar industry. Traditionally it has been used

in boilers as fuel by the sugar mills as no alternate source of fuel like gas or coal was available.

The availability of cheap coal for power generation has motivated sugar mills to convert their

power generation facilities to coal fired boilers. Only minor modifications in the boilers are

required. Therefore, it is expected that Baggasse will be available in abundant quantity. The

existing demand of the country is being met by local production and imports. However,

investment opportunities exist for the revival of idle capacity through up gradation of technology

and availability of raw material at competitive rates.

Problems and issues in supply side

As we all know that Pakistan is facing all time worst conditions, currently flood is continuously

disturbing the country above all these things due to unfair and pathetic decisions of the

government we are facing electricity shortage, gas shortage, fuel shortage and all kinds of those

shortages which are necessarily required to run the business. Before these problems continuously

bomb blasts and suicides attacks swirly disturbed the paper industry as well as whole business in

the country. With all above problems Pakistan paper industry was catering the 65% demand of the paper in the country and they were bearing the high cost of doing business, energy crisis and

production loss, ―but still, they were selling our products with a minimized increase around 8-10

percent‖. But after imposition of regulatory duty, the total quantum of duties increased to Rs

35,000 peptone from 25,000 per ton for commercial importers, chairman All Pakistan Paper

Merchant Association (APPMA)In Pakistan due to mismanagement and bad governance Around



95 percent import of finish paper products are made in name of waste paper under misquoting

and false declaration by the commercial importers this effect of Government as well as the local

manufactures Due to problems discussed above annual production of paper industry decreased

Demand Side Situation

Sources of demand

In 2002, people worldwide read over 1.80 billion magazines, 3.94 billion books, and 4.16 billion

newspapers worldwide - all printed on paper. Our money, marriage certificates, documents

which literally govern our lives, are made out of paper. Our children play with paper dolls, paper

masks, paper board games, and paper kites. Your ticket to a movie is made out of paper. Even

the batteries in your TV remote control contain paper, and so does your television itself. Thanks

to computers, which were once expected to make ours a paperless society, we now generate even

more paper than ever before. How would you ship light bulbs, water glasses, or your new

microwave oven without the corrugated containers that protect them? The largest category

of paper products today is the one we take most for granted - paperboard. Corrugated board is

used to ship 95% of all manufactured goods, sometimes even paper itself! In Pakistan in all

above sector paper and board are used but if we talk about specifically the demand of paper in

Pakistan then the major institutes that need paper are given below:

Punjab Textbook Book Board Pakistan

Sindh Textbook Book Board Pakistan

N.W.F.P Textbook Book Board Pakistan

Baluchistan Textbook Book Board Pakistan

Printing Corporation of Pakistan

All Major Universities Like Punjab University Newspapers8.

Others

Sources of growth



The directors of century paper mills and Said paper mills feel that due to high demand and with

the friendly policies of government paper and board sector of Pakistan have a good chance to

grow. They said that if government control the exchange rate and low the interest rate our

manufactures has a potential to increase the exports and help to grow economy. Currently

various impediments are affecting growth of Pakistan Paper and Board Industry. Menace of

dumping of paper and board form Far Eastern countries at under invoiced rates is infringing level

playing field. Under invoicing tends to reduce duty for commercial importers, while local

producers are subject to excise duty, sales tax and other corporate and local taxes. Under-

invoicing also affects national exchequers in face of lower than actual duties. Similarly, the

prevalent imbalance of tariff structure deteriorates the operational profitability of local

producer’s vies-a-vies foreign producers. Duties on various raw materials mainly chemicals are

substantially higher compared to that on finished Paperboard creating distortions to the local

industry as imported material costs 50 per cent of total cost of production. Local paper and board

Industry is also under tremendous pressure due to high rates of Fuel and Power compared to

competitor countries. Fuel cost forms about 40 per cent of manufacturing costs in paper and

paperboard production.

Trends and consumer preferences

As we all know that world become the global village and now customers remain well updatedand become more quality conscious instead of quantity conscious so now days a having good

competitive advantage and innovation in their products can persist only. In paper and board

industry of Pakistan the reason of becoming market leaders of packages and century paper mills

is their competitive advantage and innovation in their products. To get good profits and become

market leader each must have good R & D department with skilled and specialized people.

Problems in demand side situation

Since there are many problems in demand side situation but some important problems are given

below:

• Low literacy rate

• Low per capita consumption

• People prefer to get information through net instead of books



• Lack of Innovation in use of local raw materials

• Lack of strong brand recognition

• High taxes imposed by the government ET

Policy Issues

Government policies till now regarding sector

Since government is the major stake holder in the economy but unfortunately the domestic paper

industry is going through difficult times for the last couple of years partly due to depressed

economic environment, law and order situation, further forced imposition of new taxes and

duties. In addition, the government has adopted policies which are favorable only to imports

particularly from dumping of goods from Indonesia, Korea and Taiwan. Finally government is

not playing good role regarding the development of the sector.

Obstacles from Government Side

• Government once again failed to provide competitive infrastructure which is very necessary for

the development of the sector

• Tariff and local duties irregularity

•

Continuous increase of prices of paper products like books and copies by government • Imposition of 15 percent excise duty

• 25 percent regulatory duty

• 20 percent anti dumping duty

• Continuous load shedding

• Law and order situation

Conclusion

Finally the import of paper and paper board is subjected to 25% import duty and 15 % regulatory

duty, 18 % sales tax, 2 % withholding tax and 1 % special excise duty which is on very higher

side, after imposition of such high duties import of paper and paper board dropped from

64,054tons in the year 2008 to only 19,000 tons in 2009, after the first quarter of 2010 import

stood only 50 tons which is very alarming. Besides reduction in imports also hit revenue



collection which has dropped from Rs 1.6 Billion in 2008 to 527 million in 2009 and in first

quarter 2010itis just Rs 0.15 million. This is an alarming figure in view of the budget deficit of

the current year, since huge quantity of paper and paperboard was coming illegally into

Pakistan from Afghanistan and other border countries to fill the gap between demand and supply.

The total demand of paper and paperboards approximately 850,000 tons per tons per year,

whereas total domestic production is approximately 500,000 tons per year and the gap b/w

demand and supply is 350,000 tons, while the legal import is very limited, and the import tariff

in Pakistan as compared to other countries is very high at 25% in India, Vietnam it is only 10 %

and in China, Japan, and Singapore t is 0%.Due to high cost of paper and paperboard of

Pakistan’s export of printing material had fallen drastically. The rising cost of such paper and

paperboard products, which contribute to and enhance learning is fatal to the vitality of the

education sector as well. So, remedial action must have to take to save the paper and board

industry of Pakistan.



Group of Companies

Brief History

TAJ Group is established in 1983 with start of single unit of corrugated boxes/cartons. Now TAJ

Group is one of premium name in the field of Packaging and able to achieve the trust and support

of its clients with an assurance of high quality products and on schedule delivery. Brief detail of

the TAJ Group of Companies is as under;

1) TAJ International (Private) Limited

It was incorporated as a Private Limited on 09.03.1989, under ordinance 1984 at Lahore

.Objective of the as set out in the memorandum of association and exclusive object of It is to

manufacture and sale of paper (Kraft Paper, White Paper, CMP, KLB, Fluting Paper and Box

Board). It has three (3) plants .We are manufacturing Paper, Board and Allied products. It is

situated at 16-Km Lahore Sheikhupura Road opposite Javed Nagar, Lahore.

2) TAJ Packrite (Private) Limited

It was incorporated as a Private Limited on 09.11.1989 under ordinance 1984 at Lahore.

Objective of the organization as set out in the memorandum of association and exclusive object

of the organization is to manufacture and sale of corrugated boxes / cartons. It has two (3) units

(2 as manual and 1 as plant). It is situated at 16-Km Lahore Sheikhupura Road, Lahore. TAJ

Packrite is one of the premium names in the field of Packaging. It has been able to win the trust

and support of its clients with an assurance of high quality products and on-schedule delivery. As

an Industry of International repute, the Organization has made successful inroads in its realm of

activity and has always adhered to corporate ethics.

With extensive production capabilities, incorporating in-house structural and graphic design

facilities, Taj Packrite Internationally offers quality finished cardboard and corrugated packaging



products to a diverse range of customers in the commercial, industrial, and agricultural markets.

Such industries include;

Fruit & Vegetable Meat, Poultry & Sea foods

Dairy

Clothing, Textiles Electronics

Pharmaceuticals

QUALITY

It incorporates quality in management, in human resources, in procedures, in services, and in

production. Quality in the organization is viewed as a journey towards excellence, a constant

process which develops people and their activities. It recognized by various Clients as a zero

defect supplier from time to time. Our products give a flawless performance and confirm to the

International standards of quality

We are committed to customer service and on-time deliveries of the very best quality products.

To ensure customer satisfaction quality checks are an integral part of the process.

Our talented team of Designers works with customers at their product development stage, right

from concept development to the first commercial run. Our design expertise and innovativeapproach have helped us offer solutions that were not previously available in the market for our

clients. We have all the latest machineries and equipments which have helped us to become one

of the leading manufacturers and exporters in Pakistan of Cardboard Boxes, Corrugated Boxes

etc.

M/s Taj International (PVT) LTD

It was incorporated as a Private Limited on 09 march 1989, under ordinance 1984 at Lahore

.Objective of the organization are set out in the memorandum of association and exclusive object

of the organization is to manufacture and sale of paper (Kraft Paper, White Paper, CMP, KLB,

Fluting Paper and Box Board). It has three plants .We manufacture Paper and Board and Allied

products.

It is situated at 16 km Sheikhupura road opposite, Javed Nagar, Lahore.



INTRODUCTION

In a constantly changing business scenario, maintaining a niche becomes even more challenging. In such

a situation only with innovative leadership, state of the art technology and committed people can make a

steal the lead over competition.

It can lead by making quality a continuing reality, lead by being a profit-making concern, lead by being

a committed corporate citizen, lead by moving ahead into the future-confidently, and that is the story

of Taj Group of Industries. Taj Group of Industries one of the biggest integrated paper and board

manufacturing plant in Pakistan, with the aim to serve better production of our developing country. It

welcomes all at our paper manufacturing organization i.e. Taj Paper Mills (Pvt) Ltd. We dare to be

different because of our hi-tech, professional attitude and by making huge quantity of paper. We are

manufacturing various kind of paper which will help the paper industry to locally produced supply of

paper constantly available which enables the printing and writing industry to produce quality products

efficiently and effectively. Our aim is to satisfy our customer’s need and demands with high technology

and with high motivation.

About us

We Taj Group of Industries are major share holder in paper market. We have three production lines in

our paper mill unit 1, unit 2 and unit 3.

Taj Paper Mills range of product include some of the finest varieties of writing and printing

paper. We are producing high quality paper and board since 1989 using environment friendly

manufacturing processes. We specialize in making a variety of paper including Kraft Paper,

White Paper, CMP, KLB, Fluting Paper and Box Board. It has three plants .We manufacture



Paper and Board from 40GSM to 400GSM. Our products are tested for high performance.

Paper quality and weight is determined by the client's specific requirements and Taj Paper Mills

ensures this is carried out to the exact specifications provided.

The manufactures a wide range of paper and board on three machines presently and the product range

include:

Paper machines Deckle GSM Output

Unit 1 65 40 to 400

Writing Paper

Printing Paper

Floating Paper

Photocopy Paper

Ledger Paper

Unit 2 70 40 to 200

Writing Paper

Printing Paper

Floating Paper

Photocopy Paper

Ledger Paper

Unit 3 120 40 to 200

Floating Paper

CMP

KLB

Imports

Taj International (pvt) limited import waste paper, chemicals, dyes; etc. Imports contain 85%

waste paper and 15% raw material (chemical, dyes, etc.).Following are the process and

documents used in import process.

Process

The import process starts from order made by Taj International (Pvt) limited to importer.

Importer sends consignment and some documents which are following:

Commercial invoice

Packing list

Goods origin



Consignment reached at different ports and custom department generate Bill Of Lading. Agent of

the organization then file against import called Import General Manifest (IGM). Agent then

claim GD (Goods Declaration), also called Bill Of Entry after the payment of all duties (also

include sales tax, income tax). Agent of the organization send expense sheet that contain (all

duties, taxes, etc. amounts and other specifications). After GD, consignment is brought to

factory on containers.

If bank wants to made transaction through Bank, the firm made a contract with bank. Bank

receives all documents and informs the organization to make payment and to receive documents.

In case of LC (Letter Of Credit) organization must have to make an advance payment to Bank,

10% of commercial invoice.

Imports waste and other raw material from different countries which are following:

Middle East(UAE)

USA

Germany

UK

Australia

Sri Lanka

Netherlands

Company annual imports are 14000 metric tons.



OUR VISION is to provide our customers with just the one

Venue to supply all their requirements of

Packing.

OUR AIM Is to become the buyer’s first choice in industry.

TO ACHIEVE this target we make sure that we stay true the

―Highest standards of excellence‖ and ―Customer

Satisfaction‖.

Corporate culture

Innovation

Listening and two way interaction

Participation

Encouragement

Motivation

Initiative

Growth and development for all

Competence and contribution as the only basis for job security.

Promotion from within

Learning environment and opportunities

Provision for world class education and training

Aligning people with latest trends.

Trust

Cooperation



Support

Teamwork

Empowerment

Integrity

Dignity

Respect

Recognition Reward

Achievement orientation

Performance based evaluation

Appreciation

Incentives

Setting ever-rising standards of performance.



ORGANIZATIONAL STRUCTURE

Board of Directors

Taj international (Pvt) Ltd, Board of Directors list consist the following members and their

designation.

NAME DISIGNATION

Abid Feroze CEO

Khalid Taj Director

Shahid Ghafoor Director

Sheikh Amir Rafique Secretary Board of Directors



Management Hierarchy:

NON CLERICAL STAFF

DIRECTORS

KHALID TAJ/SHAHID GHAFOOR

CEO

ABID FEROZE

GM PRODUCTION

HAJI ABDUL-RAZAA

CFO

SHEIKH AMIR RAFI UE

MANAGER SALES

ABID BAIG

CHIEF ACCOUNTANT

MUKHTAR AHMAD

MANAGER ACCOUNTS

KHURRAM SHEHZAD

ASSISTANT ACCOUNTANT

RIZWAN SHAFIQ

ADMIN H/O

ZAFAR SHAH

MANAGER IT

SYED ALI GILLANICASHIER

M.MUNIR



PRODUCTS

We have all the latest machineries and equipments which have helped us to become one of the

leading manufacturers and exporters in Pakistan of Cardboard Boxes, Corrugated Boxes etc.

OTHERS

Double Facer Automatic Plant 1 unit

Single facer paper corrugation machine with glue making

Unit (for manufacturing of 2ply paper corrugated board) 3 unit

Combined creaser slotter with kick feeder

(For creasing and slotting the corrugated board) 2 unit

Overhung eccentric slotter

(For slotting and cutting corrugated board) 3 unit

Auto reel to sheet cutter with reel stand

(For cutting the plain paper & duplex board) 2 unit

-Flexor printer with creaser & slitting unit two color

(To print corrugated board) 2 unit

Die cutting machine

( for fine cutting & dreading of cardboard cartons as well as corrugated boxes with help

of sharp blades cutting die ) 3 unit

Board cutter manual

(For cutting 2ply corrugated board and plain paper) 6 unit

Sheet pasting gluing machine

(For pasting the corrugated board) 3 unit Rotary slotter creaser

(For slitting creasing and trimming corrugated board) 2 unit

Double Pin Machine 2 unit



Specialty Boxes

If you do not see the box style you need below, please give us a call, if the box can be made withcuts and scores along x-y axis, chances are we can make it.

Regular Slotted Container The Regular Slotted Container (RSC) is the most common box style used for shipping and

storage. The two outer flaps of an RSC box meet at the center of the box when folded and are

usually closed using tape, or staples. Where the product requires additional protection over the

top or bottom, corrugated pads can be placed between the inside flaps

Regular Slotted Container with Variable Flaps – RSCVF

The Regular Slotted Container with Variable Flaps (RSCVF) style of box is similar to the RSC

box, except the outer flaps overlap by an inch or more. The RSCVF style of box is used when the

length of the box is considerably greater than the width and results in an excessively long

distance between the end flaps. This makes it desirable to overlap the outer flaps to prevent them

from spreading apart. The RSCVF box is usually closed with staples through the overlapping

flaps, but can be glued or taped.



Five-Penal Folder

The Five-Panel Folder (FPF) is perfect for shipping very long products. Because the FPF has

several thicknesses of material on each end, it has a particular advantage when used for

packaging long articles of small diameter which might be readily damaged if forced through the

ends of the box

Full overlap Container The Full Overlap Container (FOL) is ideal for boxes with relatively narrow widths. The outer

flaps overlap the full width of the box making it especially resistant to rough handling. And, the

extra thicknesses of corrugated material on the top and bottom panels provide added stacking

strength

Telescope Half-SlottedThe Telescope Half-Slotted container (THS) can be made with either a Full telescope top

(FTHS), or a Partial telescope top (PTHS). The two thicknesses of material at the sides and ends

of a FTHS box provide maximum protection for the box's contents as well as giving the box

superior stacking strength. And, the top is easily removed for examining the contents.



Half-Slotted Box Cover The Half-Slotted Box with Cover (HSC) is frequently used for both shipping and shelf storage,

and in applications where the cover must be removed and replaced frequently. The top of the

HSC box is a tray style which usually extends less than 2/3 the depth of the bottom (PHSC), but

can be made to extend the full depth of the bottom (FHSC) if extra strength is needed

Double Cover

The Double Cover (DC) is frequently used for tall or heavy products that would be difficult to

lower into a box. The product is placed on the bottom cover, and the center is placed over the

product. The two interchangeable covers (top and bottom) of the DC box are tray style and

usually extend only a few inches down the center body

Five-Penal Folder Center Flap

The Five-Panel Folder Center Flap (FPFCF) is similar to the FPF except the FPFCF is sealed at

the center seam on the top. This makes it easier to load products; however, the FPFCF is not

quite as strong as the FPF. It is best used for shipping flat items



Telescope Design

Telescope Design boxes (TD) are ideal for products that require an extra strong box. TD boxes

are made in 2 pieces; a top and bottom. The top of a TD box can be made with either a Full

telescope (FTD), or a Partial telescope (PTD). The full depth (FTD) top slides completely over

the bottom providing extra thickness of material on all side and end panels. This provides

compression strength suitable for high stacking of fragile items. Both the tops and bottoms are

shipped flat. The corners are then assembled using staples, or adhesive.

TRAY

The TRAY can be used for inner containers and dividers for parts.

One-Piece Telescoping Box

The One-Piece Telescoping box (1P-T), sometimes referred to as a pizza box, is made from one

piece of material. The 1P-T has an unbroken top and bottom with two layers of material that

form the sides which provide excellent stacking strength.



One-Piece Folder

The One-Piece Folder (1P-F) is made from one piece of material and has a flat bottom with flaps

that form the sides and ends. The outer flaps meet at the center to form the top. 1P-F's can be

made with multiple scores so that one box can be folded to make up to three different size boxes.

The 1P-F is used principally for shipping books, catalogs, videos, and similar items. 1P-F is easy

to store, set up, and close.

Dividers

Dividers are used to create separate compartments within a larger box to protect small or delicate.



Similarities and Differences

Similarities:

Firm have focus on continues improvement and actions are taken for improvement in

infrastructure, production capacity, market growth and information system. New head

office building, new production plant and use of software’s are examples of this

initiative.

Use of Database Management System gives the firm a competitive advantage over its

competitors. Information processing and monitoring all departments’ communication

process has been improved.

Use of accounting software (Peachtree) for recording and preparation of financialstatements increase the efficiency of records maintaining and secure the information from

theft.

Fair recruitment and selection processes for recruitment and selection of job applicants.

Job rotation is a good way for learning more skills in an organization working

environment. Management rapidly rotate the employees on different jobs for learning

more work related skills and also working under new manager who have different

knowledge and skills to better perform job related tasks.

Quality management and inspection systems are the important factors for a firm to

provide quality products and quality insurance to the customers. It’s also insures that

minimum errors and defects should be minimized.

Foreign trade transactions and their documentation process are very complicated

processes but the involvement of banks in international trade transactions has decreased

the complications and conflicts mostly raised in international transactions. Bank receives

documents that the exporter and agent of the firm at Karachi and Qasim ports and made

payments of taxes, duties and import value on the behalf of the firm. Firm have to make

an advance payment, 10% of commercial invoice imports value.

Firm is involves in Corporate Social Responsibility (CSR) activities for the betterment of

the society. Zakat & Ushr is regularly paid and donations are made to different NGOs,

employees and common people.



Performance appraisal system for monitoring organization and employee’s performance

are developed by the management. Performance measures are developed for measuring

organization and employee’s performance on monthly basis. Rewards are allocated for

best performance.

Firm use a communication system that links head office and factory with wireless

telephones. Codes are developed for linking every department in head office and factory

for easy and better communication throughout the organization.

Firm use Process Costing method for allocation of costs. There are different process in

the production of paper and boards so cost is measured at every process ends. At every

stage, actions are taken to minimize the costs.

Production schedules are developed by production manager and production in charge.

Employee’s health, safety and benefits programs are developed and maintained. Firm

currently start Worker Welfare Fund and Worker Profit Fund for their employee, which is

paid by the firm.

Office environment is much like as medium sized organizations. Better facilities are

provided by the management.

Differences:

Firm have no marketing department at all. To better serve the customers and to capture

more market share, firm should establish its marketing department.

Research & Development department should be established for developing new

production ideas and ways to minimize defects and errors in production of paper and

boards. Although employees are involved in innovative activities but its necessary for the

firm to provide research & development facilities to their workers where they can

effectively and easily research and develop new ideas and products.

Firm have unclear goals, unclear vision and mission. If there is a vision or mission in the

eyes of the management, it is not communicated with its members and with its

employees. Employees have unclear goals and they perform activities or tasks which are

not includes in their job description.

Audit of books of accounts on monthly basis is a good but different practice. Normally,

firms audit their books of accounts after a financial year. It is a good practice that can



give the management an opportunity to take actions against poor performance or to

increase the performance of the firm.

Tasks out of job description

Less marketing exposure for marketing students in the organization CFO makes all the decisions of Audit, Tax, Cash, Accounts and IT departments rather

than department’s heads. It is a different practice but decions of every department should

be taken by department manager. Suppose, decision making should be given to IT

manager because he/she better know the problems occurred in department and also new

opportunities or improvements that can be made in the department.

Sales invoices, sales tax treatment in a sale transaction, sales tax returns and FBR

(Federal Board of Revenue) taxation procedures are very different type of knowledge

from classroom study.



Political Environment

Businesses can be affected by many aspects of government policy. In particular, all businesses

must comply with the law. They must also consider the impact of any forthcoming legislation on

their operations. This may require taking action before the legislation comes into effect.

a. Legislation and regulations

One issue that affects manufacturers and retailers of consumer’s goods is the disposal of these

products at the end of their life. Recycling is high on the public agenda. There are government

initiatives to promote more recycling. These initiatives are sometimes backed by legislation.

Businesses must obey these environmental laws. However, it goes further by taking other

measures to minimize its environmental impact will be seen more favorably by consumers. So,

TAJ International (pvt) limited should plan for the changes that may occur in future.

b. Government Initiatives

Businesses also have to take into account the more general political ambitions of the

government. The current government is cutting jobs in the public sector and is hoping that the

private sector will grow to create new jobs in the economy.

The private sector consists of small/medium sized single-owner businesses (sometimes known as

sole traders), partnerships and companies, like TAJ International (Pvt) limited. The government’s



emphasis on private sector growth could provide opportunities for TAJ International (Pvt)

limited if it leads to a more buoyant economy.

c.Stability

It is important to know how stable the national government is and how stable it's likely to be in

future depending on prevailing political circumstances. Political instability makes it very difficult

to do business. An abrupt change in a political regime may make businessmen lose their property

and hard earned money. If operating business in such a country, the risk of losing business is

high.

As I conclude, I would like to appeal to you to always follow closely the political environment in

which you operate business. Political changes can also create great opportunities for and chances

can comes way if keeps itself knowledgeable about the political climate in which do business. If

hasn't been paying any attention to those political aspects that have an effect on business, it's

therefore important for to understand the political environment in which is operating because it

can present political risks to business. For instance, business is subject to political risks if a war

erupts in any country where does business operate. Likewise, changes in government policies

may either affect positively or negatively.

(d)Corruption

Corruption inevitably leads to a diminished business climate when the public trust is put at risk,according to Stanford Graduate School of Business. Corruption can take many forms that can

include graft, bribery, embezzlement and extortion. Its existence reduces business credibility and

profits when professionals misuse their positions for personal gain.

When resources are tampered with and used improperly, the efficiency of a business suffers.

Insufficient resources are available to effectively run the business and maintain its levels of

operations. When the news about corrupt business professionals breaks, customers lose respect

and trust, requiring officials to spend valuable time and resources to monitor the fallout and

pressure clients is still viable. Legal fees, penalties and public relations efforts reroute important

resources form the core business and lead to an inefficient use of funds and personnel.

The results of corruption in business add to the burgeoning roles of crime-fighting government

agencies, police departments and internal investigators. The trickledown effect of corruption



usually ends up feeding black market interests, and may even support the efforts of organized

crime as the activities infiltrate various business levels. Corruption begets continued criminal

activity when it goes undetected. The effects of corruption in emerging third world countries is

evident and widespread, but even in America, where competition and greed can outweigh the

good of society, corruption fuels the growth of criminal enterprises and eventually affects the

society in which the business operates.

Economic Environment

(a)Economic Growth

A key area of government economic policy is the role that the government gives to the state in

the economy. Between 1945 and 1979 the government increasingly interfered in the economy by

creating state run industries which usually took the form of public corporations. However, from

1979 onwards we saw an era of privatization in which industries were sold off to private

shareholders to create a more competitive business environment.

Economic growth is important if businesses are to grow and prosper. It relates to growth in the

output of the economy as a whole. Growth is measured as the change in the gross domestic

product (GDP) of a country over one year. For comparisons over time this figure must be

adjusted to allow for inflation and the resulting value is called 'real growth'. Over time real

economic growth leads to major improvements in living standards, expanding existing markets

and opening new ones. The real economic growth of one country relative to another is an

important indicator of business opportunity.

Economic growth depends on productivity and investment: using existing resources more

efficiently and investing in new resources. Success in this process generates increased incomes

which then fuel demand and encourage further economic growth. This cycle can, however, work in the reverse direction, as falling demand may lead to under-used resources and investment

cutbacks. In comes may fall further in a spiral effect.

(b)Taxation Policy

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Taxation policy affects business costs. For example, a rise in corporation tax (on business

profits) has the same effect as an increase in costs. Businesses can pass some of this tax on to

consumers in higher prices, but it will also affect the bottom line. Other business taxes are

environmental taxes (e.g. landfill tax), and VAT (value added tax). VAT is actually passed down

the line to the final consumer but the administration of the VAT system is a cost for business.

Taxes pose two issues for a business. First each and every tax required of a business is just

another business expense. An increase in tax has the same effect as would a raise in cost of

goods or the electricity bill. All businesses are there to make a profit. While that profit is not a

fixed number that the business must have but it is generally a controlling factor if the business is

to continue. A business may be able to absorb a raise in the electricity bill for a short time but

sooner or later that business is going to raise their rates. If the electricity bill goes up enough that

the increase in fees charged by the business are higher than the market will bear the business

ceases to exist. The second problem with taxes is their complexity. Not only is the business

required to pay the tax they must also pay someone to determine what that tax is and to keep

records to verify that they paid the correct amount. From business perspective there rarely is any

advantage to the business from taxation.

(c)Interest Rates

Another area of economic policy relates to interest rates. In this country the level of interest ratesis determined by a government appointed group - the Monetary Policy Committee which meets

every month. A rise in interest rates raises the costs to business of borrowing money, and also

causes consumers to reduce expenditure (leading to a fall in business sales). Interest rates remove

some of the profits that are made in businesses that make loans to operate. Interest rates also

make less money available to people that are paying of houses resulting in their not purchasing

as much from businesses. This also flows on to renters of homes. Higher the interest rates the

lower the economic activity.

Lower interest rates make it easier for people to borrow in order to buy cars and homes.

Purchases of homes, in turn, increase the demand for other items, such as furniture and

appliances, thus providing an additional boost to the economy. Lower interest rates mean that

consumers spend less on interest costs, leaving them with more of their income to spend on

goods and services.



Lower interest rates make it easier for farmers, manufacturers, and other businesses to borrow to

invest in equipment, inventories, and buildings. Also, the returns that investments will produce in

future years are worth more today when rates are low than when rates are high. That gives

business more of an incentive to invest when rates are low. Increased business investment, in

turn, makes the economy grow faster, as productivity, or output per worker, increases faster.

(d)Labor Costs

The goal of every successful business is increase productivity without having to spend more to

do it. Increasing productivity by reducing costs usually results in better efficiency and higher

profit margins. Efficiency is the ability to get more for less. Controlling costs is critical in

maintaining profitability. However, keeping operations costs as low as possible does not always

increase profits, particularly in relation to paying employee wages. When it comes to labor costs,

sometimes investing more money actually can make a more money in the end. In this case, there

may be validity to the old adage, "You get what you pay for."

Labor costs include more than just the hourly wages and salaries paid to a’s employees. The cost

of labor also includes employee benefits packages. Health insurance, disability insurance and

PTO (paid time off) plans all fall under the umbrella of labor costs. Wage increases are

inevitable in a rapidly growing economy, adding to the challenge of controlling costs and

expenses. While labor costs may account for a significant percentage of total annual operating

budgets, low labor costs may not necessarily be an easy way to increase profit margin.

In recent years, many companies are learning that paying low wages often results in poor

workmanship, which affects both the quality of the products being produced, as well as the 's

overall reputation. Low-cost labor can translate into unskilled labor, and in order to remain

competitive in today's global market, companies must keep pace with the continuous advances in

technology. Automation and innovation lead to higher productivity, but achieving higher

productivity requires trained workers. There also are the overhead costs associated with supply

chain management, in addition to problems often associated with communication and cultural

barriers. What's more, if highly skilled workers are needed in a particular industry, hiring

unskilled workers to do the job likely will negatively affect both output and quality, actually

slowing the rate of production.



Businesses are affected in a variety of ways depending on whether unemployment is high or low,

and rising or falling. People have less money to spend on goods and services when they’re out of

work. High unemployment weakens consumers’ purchasing power, the driver of local

economies. Bakeries, neighborhood retailers, local banks, landlords and other small businesses

feel the sting of high unemployment when people stop eating out, buying goods or paying their

rent.

Some business implications of rising / high unemployment include:

• Lower consumer spending = lower demand for income-elastic products

• Demand for inferior goods (lower price, quality) may increase

• Greater supply of labor – potentially lower wage/salary levels

• Unemployment creates insecurity in the workforce; potentially a cause of lower morale and de-

motivation

• Danger of lost skills for industries as a whole

• Business may be impacted by social problems associated with high unemployment (e.g. rising

crime)

• Recruitment (in theory) becomes easier – there should be more applicants for each vacancy

• Lower staff turnover – employees less likely to be able to find other jobs, or want to move in an

uncertain economic climate

Some business implications of falling / low unemployment:

• Consumers have more income = higher demand for income elastic goods

• Labor market ―tightens‖ – increased upward pressure on wages / salaries

• Har der to recruit or expand without offering better worker packages – potentially affects ability

to increase capacity

• Greater sense of job security and motivation in the workforce if the business is doing well

The appropriate response to changes in unemployment will depend on several factors, including:

• the nature / cause of unemployment (e.g. cyclical, structural, and seasonal)

• the labor -intensity of the business

• the ability of the business to respond (resources, management structure etc)



Some typical responses are as follows:

An important evaluation point to remember is that many appropriate businesses actions will take

place before a significant change in unemployment becomes apparent. A business that is

anticipating structural or cyclical changes in its business will ideally take action before those

changes take full effect.

Unemployment can raise federal and state taxes for small businesses. At times, it presents

administrative challenges for employers when handling former workers' claims for

unemployment insurance benefits. On the up side, however, unemployment can increase the

number of businesses by offering opportunities for new entrepreneurs. The Federal-State

Unemployment Insurance, or UI, fund provides temporary financial assistance to workers who

involuntarily lose their jobs.

(g)Exchange Rates

If a business that trades internationally, currency exchange fluctuations will almost definitely

affect that business. Although exchange rates can be a risky business they are an aspect of

running a business that must not be overlooked. Exchange rate changes make it incredibly

difficult for financial forecasting which make it a pretty unpredictable business and difficult to

predict a business future profits and losses.

When importing products, Taj International (Pvt) Ltd and other firms probably pay in the

currency of the country where importing from. For example, a company continuously imports

silk scarves from Italy to the UK. Company paying in Euros which is fine when the Euro is not

strong. However, when the Euro starts to gain, company end up paying a lot more to purchase

goods than company were before. In this situation, it is worthwhile to speak with a foreign

exchange broker to mitigate against adverse currency fluctuations.

How to deal with it

There are a few ways of minimizing business losses and being able to have more control of what

happens to business bottom line when paying overseas suppliers. Here are a few precautions that

Taj International (Pvt) Ltd and other businesses can take:



(1)Make a deal

Try and arrange a deal with company importer to pay in company base currency so, company

don’t have to fiddle around with currency exchange. It also makes it easier as company is paying

in a currency bank with and company will be able to understand it in relation to its earnings. If

this can’t be done then company can always try and set a fixed rate on company currency

exchange (forward contracts). If company do this then remember that if company currency gains

on the other than company will be losing out however, it could easily go the opposite way so

getting a fixed rate is a good way of ensuring the amount company will be paying and making it

easier to forecast company outgoings. Forward contracts are an excellent tool to budget and

exchange rates can be fixed for up to 2 years in advance.

(2)Avoid the bank when paying overseas suppliers

Banks normally have outrageously bad exchange rates and therefore businesses with an ongoing

necessity to make international payments should avoid bank currency exchange rates at all costs.

It’s a much better idea to buy foreign currency through foreign exchange brokers instead.

Therefore, organizations have to evaluate the risks of doing business on an international level.

But it doesn't always work in their favor. For instance, McDonald's saw sales in Europe increase

in 2011, but the yearly profits were actually down as a result of a weakening euro. Indeed, some

experts think investors should be cautious this year too given that the US dollar has strengthened

so much recently and is expected to continue doing so. As McDonald's generate nearly three

quarters of its profits overseas, this could be an issue if they have not hedged. So, Taj

International (Pvt) Ltd should avoid the bank when paying overseas suppliers and should buy

foreign currency to make payments.

(h)Responding to competition

Another important economic influence on a business is the level of competition in its markets.

Company has also increased its product portfolio. It now offers a wider selection of products to

meet customer demands. This approach is leading the market, and it has enabled TAJ

International (Pvt) limited to obtain a competitive advantage.



Social Environment

(a)Socio-Cultural Factors

Socio-cultural is based on the idea that the society and culture shape cognition. Social customs,

values, beliefs and language are all part of what shapes a person’s identity and reality. According

to this approach, what a person thinks is based on his or her social-cultural background. There

are many factors which affect the organizations either internally or externally. These factors

include demography, cultural values, changing roles of women, level of education, changing

lifestyle and so on. They play a big part in shaping the organization in terms of its roles,

operation and functions that are practiced within the organization.

(b)Education and Language

The average level of education in a society affects the interests and sophistication of consumers.

For example, in a community in which a high percentage of potential customers have some form

of post-secondary education, small-business owners might use more details and explanations

while advertising and promoting products. The spoken language of the community is a decisive

factor on the labeling and advertising of the products. Consider the foreign language skills in the

society while advertising. For example, in Washington, D.C., different transportation companies

use English and Spanish on their brochures. In general, training and education will improve productivity because they will make workers better able to do their jobs.

(c)Cultural Changes

Author of ―Blunders in International Business,‖ David A. Ricks said it best: ―The failure to

understand cultural differences can bear serious consequences.‖

―Culture and why it Matters to Your Business,‖ the new White Paper published by win

translation, explains why understanding the importance of culture is vital to the financial success

of a and shows how culture should impact the decisions a make, interactions with customers,

advertising strategies. After reading this White Paper, a business will understand how culture

affects bottom line in three important ways through its impact on:

Business relationships with clients, customers, employees, and partners.

Public relations, marketing, and advertising strategies.



Companies that do not understand and appreciate cultural differences often implement marketing

strategies that are doomed for failure from the beginning. Marketing strategies in one country do

not always translate into success in another country. It is therefore important to be culturally

sensitive and aware when producing, naming, selling, and advertising products.

If a business is located in an area with slow growth or no growth it has to move differently from

other businesses. Company has to adjust its strategies for marketing, operations and hiring to

take the lack of population growth into account. However, owner can still grow business in such

areas if plan ahead and watch for following opportunities:

(1)Flat Rate of Demand

In areas where the population grows very little, company has to deal with the possibility that

company will not attract new customers. Company may have the entire market share thatcompany is going to get. If company is currently paying expenses and making a profit, company

can take comfort from knowing the region is not experiencing a population decline. Company

must focus its efforts on customer service, making sure it retains every customer it has, because

lost customers will be difficult to replace.

(2)Graying Population

The reason company country area has slow growth may be that the population is aging. If young

families have stopped moving in, company has to change its focus to provide products or

services for older customers. Company may be able to increase sales by offering more products

that are appropriate for its customer base.

(3)Up selling

Company flat customer base means it must sell more products to each customer. Try to find

products that enhance existing products. For example, if a company sells cell phones, offer

accessories for those phones. Strive to offer products that might appeal to people when they

come in for company existing products. Don’t think of this as manipulative; think of it as a way

to improve customer satisfaction.

(4)Hiring

Company slow-growth area may make it difficult to find suitable employees. Be prepared to hire

trainees. Because trainees are less experienced, company can save money on wages and put the



money into training programs. Once company train an employee, that person will be less likely

to leave to work for its competition because of the limited opportunities in the area. Company is

more likely to benefit from its training expenditures.

(5)Marketing Outside Company Area

If company products or services lend themselves to Internet marketing, it can consider marketing

outside of its area. It may have to offer shipping or delivery, so include those expenses in the

prices of its products. It can also advertise in newspapers in nearby areas. Some customers may

be willing to travel to purchase company products or services.

(6)Access to Lenders

Local lenders may be reluctant to approve loans for expansion of Taj International (Pvt) Ltd

business, because they are aware of the slow growth in the area. Company may have to fund

expansion by setting aside a portion of its income for the future purchase of assets.

Technological Environment

Research & Development

Research and development (R & D) is a process intended to create new or improved technology

that can provide a competitive advantage at the business, industry, or national level. While the

rewards can be very high, the process of technological innovation (of which R & D is the first

phase) is complex and risky. The majority of R & D projects fail to provide the expected

financial results, and the successful projects (25 to 50 percent) must also pay for the projects that

are unsuccessful or terminated early by management. In addition, the originator of R & D cannot

appropriate all the benefits of its innovations and must share them with customers, the public and

even competitors. For these reasons, R & D efforts must be carefully organized, controlled,

evaluated.Expenditures incurred to discover new knowledge and to develop that knowledge into a design

for a new product. R&D costs are usually expensed as incurred. However, the following two

classes of costs have future use in R&D activities and are capitalized: (1) materials and

equipment and (2) intangibles purchased from others. For example costs of computer software to

be sold, leased, or otherwise marketed should be charged to expense as R&D costs until

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technological feasibility has been established through completion of either a detailed program or

a working model. When technological feasibility has been established, all software production

costs are capitalized and subsequently reported at the lower of unamortized cost or net realizable

value. Amortization will start when the product is available for general release to customers.

Periodic amortization should be the greater of: (1) the ratio of current revenue to the total current

and anticipated future gross revenues from the product or (2) the straight-line method over the

remaining economic life of the property. So, if Taj International (Pvt) Ltd will interested in R&D

it must have to consider all these things.

Business Communication

We are in the midst of a third major revolution in human civilization. First there was the

Agricultural Revolution, then the Industrial Revolution, and now we are in the Information

Revolution. Information and communication technology and a worldwide system of information

exchange has been building growth for over a hundred years and physical technology and

industry is not slowing down in growth rather it is accelerating. Information technology (IT) is

playing a crucial role in contemporary society. It has transformed the whole world into a global

village with a global economy, which is increasingly dependent on the creative management and

distribution of information. Globalization of world economies has greatly enhanced the values of

information to business organizations like Taj International (Pvt) Ltd and has offered new business opportunities. In the broadest sense, information technology refers to both the hardware

and software that are used to store, retrieve, and manipulate information. At the lowest level have

the servers each with an operating system. Installed on these servers are things like database and

web serving software. The servers are connected to each other and to users via a network

infrastructure. And the users accessing these servers have their own hardware, operating systems,

and software tools.

TAJ International (Pvt) limited and other companies must plan for changes that can occur in

communication system over next years. It will becomes the important consideration for the use

of better communication channels, devices and also make a better connection within its

departments and customers. It is also important to communicate with employees and customers,

new developments in communication system that may occur in future or how can improvements

bring to communication system.



Legal Environment

The government of the day regularly changes laws in line with its political policies. As a result

businesses continually have to respond to changes in the legal framework. Examples of legal

changes include:

I. The creation of a National Minimum Wage which has recently been extended to under-18.

ii. The requirement for businesses to cater for disabled people, by building ramps into offices,

shops etc.

iii. Providing increasingly tighter protection for consumers to protect them against unscrupulous

business.

iv. Creating tighter rules on what constitutes fair competition between businesses.

Government regulations will normally affect the business in different ways. These include,

taxation which goes towards the reduction of the or the business profits, regulations will also

affect the way the organization conducts its business, example regulations regarding the way

business treats employees.

How government controls business activity?

Governments control the business activities is many ways both direct and indirect. We have

already covered government’s economic policies. However, government can control business

activities in a more direct way. These are as follows:

(a)Controlling what to produce

In order to safeguard the interest of the community government may ban or limit the production

of certain goods and services. For example, selling of guns, explosive and dangerous drugs are

illegal in many countries. Moreover, goods which harm the environment are also totally banned

or strictly controlled in many countries, e.g. aerosol cans that use CFCs which has been banned

because of their damaging effect on the ozone layer.



(b)Employees Protection legislations

Government may pass laws to protect the interest of employees such as, Laws against unfair

discrimination at work and when applying for jobs. There is no unfair discrimination on the basis

of Race, religion, sex, age, or color.

(c)Legislations for health and Safety at work:

To protect workers from dangerous machinery.

Workers should be provided with proper safety equipments and clothing.

A reasonable workforce temperature is maintained for workers.

Proper hygienic conditions and washing facilities are provided.

Workers get adequate breaks between shifts.

(d)Protect employees against unfair dismissal

Business can not dismiss the workers because they have joined a trade union or for being

pregnant. There should be proper warning before dismissing a worker otherwise it will be treated

as unfair dismissal.

(e)Ensure fair wages for the employees

In many countries, government makes it mandatory to have a written contract of employment. It

contains the details of the wage rate; working hours, deductions (if any) and other necessary

details regarding working conditions. Minimum wages paid to different types of workers are also

determined by the government.

Consumer Protection legislations

Most of the countries have consumer protection laws aimed at making sure that businesses actfairly towards their consumers. A few examples are:

Weight and Measures Act

Goods sold should not be underweight. Standard weighting equipments should be used to

measure goods.



Trade Description Act: deliberately giving misleading impression about the product is illegal.

Consumer Credit Act: According to this act consumers should be given a copy of the credit

agreement and should be aware of the interest rates, length of loan while taking a loan.

Sale of Goods Act:

It is illegal to sell products with serious flaws or problems and goods sold should conform to the

description provided.

Conclusion

In order to survive in increasingly competitive markets, businesses need to monitor and respond

to changes in their external environment and should focus on continues improvement and

customers satisfaction.



SWOT ANALYSIS

Strengths:

1-Industry Experience

Business Analysts often delve into business requirements, gathering, understanding and

documenting business processes and functions. An analytical mind and detailed information

gathering are considered to be essential; one wonders though, if industry experience is a must for

good business analysis skills. After all, if you knew well the ins and outs of the industry you

were in, that’s good.

TAJ International (Put) limited has a 25 years experience in the paper and board industry with

incorporate quality in management, in human resources, in procedures, in services, and in

production. Company’s talented team of Designers works with customers at their product

development stage, right from concept development to the first commercial run. Company’s

design expertise and innovative approach have helped us offer solutions that were not previously

available in the market for our clients.

Taj International (Pvt) Ltd has all the latest machineries and equipments which have helped us to

become one of the leading manufacturers and exporters in Pakistan of Cardboard Boxes,

Corrugated Boxes etc. Industry experience gives a firm a competitive advantage in the industry

and it is beneficial for the firm in different aspects.

First, industry experience means less time is wasted knowing the industry environment – the

general models the business follows, what regulatory and competitive arena it is part of and some

common terminology. Secondly, business process flows are easier to understand, say, if one was

documenting business process flows for a financial transaction, if that person had already worked

in a financial services firm in a financial transaction environment (e.g., Front office, where the

deals were made, or the middle office, where financial and regulatory processes were checked or filtered, and the back office, where the transactions were processed and settled – and where

exceptions were followed up for closure).



2-ERP, Enterprise Resource Planning (Online Database Software)

TAJ International (Pvt) is using online database software (called CISD) that links head office

with factory for maintaining daily business transactions record. It also gives an advantage to the

firm for minimizing errors that occurred in manual documentation. Before the implementation of

Online Database Software (CISD) the firm was facing many problems in recording and

verification of daily business transaction like other firms those were not using ERP (Online

Database Software).

An organization that has no ERP will be running on many kinds of software that do not allow

interaction. Customization also may be difficult it in some cases. This will negatively affect the

optimized functioning of organization's business activities. The organization will be facing

hardship in many areas of its functions. The engineering design of the software will be needed in

order to improve the product, and to follow the client's behavior and choices since the first

contact is quite important. Administration of the different receipts interdependence will be very

complex, such as invoices regarding materials purchases, general expenditures or salaries.

A powerfully integrated ERP system enables interactions of marketing, sales, quality control,

products processes, supply lines, stocks and many other areas and it can be in a single database.

This will eliminate the occasional loss of and retyping errors. It integrates all departments and

functions across a in a single computer system that is able to serve all those different

department's particular needs.

3-Peachtree Accounting Software

Peachtree Accounting Software allows business owners to automate invoiced goes without

saying, but small business owners work many, many hours. Their livelihood depends on

ensuring all facets of the business are handled properly, including human resources, accounting,

inventory and sales.



TAJ International (Pvt) limited also using Peachtree Accounting Software (registered) for

maintaining records of its books of accounts and preparation of financial statements. Record of

daily sale and purchase transactions and sales tax invoices with sales tax treatment is maintained

by accounts department. This helps the firm to avoid from errors that occurred in manual

documentation and checks, record customer payments, track sales and inventory and manage

employees. Firm annually registered its Peachtree Accounting Software.

Also, obtaining and keeping customers and employees, making sure they are satisfied, and

ensuring that accounting records are kept in order are a few of the challenges a medium size

business owner constantly faces. Another important aspect of medium size business ownership is

that most owners and operators are not accountants. The software is presented in workflow

format so you can quickly perform routine processes in an organized and logical manner.

4-Audit of Accounts on Monthly Basis

Internal audits provide a number of important services to management. These include detecting

and preventing fraud, testing internal control, and monitoring compliance with policy and

government regulation. Smaller companies may require these functions even more than large

companies. A small business simply cannot afford employee fraud, waste, or a government fine.

Establishing an internal audit function provides a vital step in the growth of small and mediumsize businesses.

TAJ International (Pvt) limited is using a best strategy that strengthens its internal control is the

audit of accounts on monthly basis. Auditing manager with the help of accounts department

verify the books of accounts of head office and factory. Records that maintained in online

database software and Peachtree accounting software is compared with manual documents used

in factory accounts, security and quality inspection registers. Any type of fraud, error

manipulation of data and information, unethical or illegal policies used if founded, actions are

taken against these.

5-Corporate Social Responsibility-Activities

In a world where people and communities are integral to the existence and development of a

business, the importance of Corporate Social Responsibility (CSR) has soared in recent times.



However, many often, businesses still misunderstand its importance because they are ignorant

about the values of CSR. Donating money isn’t what Corporate Social Responsibility is about,

contrary to what many corporate businesses believe.

The values of Corporate Social Responsibility are centered on creating a socially and

environmentally conscious business. One major importance therefore, is that society and the

environment are not neglected.

Another importance of Corporate Social Responsibility is that it maintains the profitability of

your business. Gone are the days when it was believed that exploitation guarantees profit. Today,

corporations understand that sustainability and development of a community is the source of

greater earnings.

Management of TAJ International (Pvt) limited is highly committed toward Corporate Social

Responsibility (CSR). Donations are given to many NGO’s and cash or materials are given to

mosques which are under construction. Charities are given to poor people for marriage of girls

and their children’s education. Zakat and Usher are regularly paid every year. Management of

TAJ International (Pvt) limited also start employees benefits programs to help them to support

their families.

The values of Corporate Social Responsibility are integral not only in the sustainability and

development of the environment and your business, but also in building trust among employees,

suppliers, customers, and community members, and addressing the concerns of all stakeholders

involved equally. This is one of the many focuses of CSR.

6-No Tax Default (Regular Tax Payer)

Tax is paid for:

To get maximum Social advantage

The administrative system becomes efficient

To contribute for the economic development

It has built in flexibility

To qualify for minimum aggregate sacrifice

http://www.otherstakeholders.com/

http://www.otherstakeholders.com/



TAJ International (Pvt) limited regularly pays income and sales tax. Management is highly

committed toward taxpaying and employees are also asked to pay their taxes. It is strength of the

firm that it has no tax defaults and it have very strong relationship with government and Federal

Board of Revenues. Sales and income tax returns of firm are regularly filed on FBR site. Income

tax returns of top managers are also filed and tax is paid regularly.

Weaknesses:

1-Manual Documentation Errors

An error of commission is one where the person responds or does something where they should

not. This is compared to an error of omission, where the person fails to respond or do something

when they should. Wrong totaling, Recording with wrong amount, wrong posting are examples

of errors of commission. Mistake committed while trying to fulfill the intention of the task . An

original entry error occurs when an incorrect figure is recorded and posted.

Calculation errors occur when you use incorrect totals. For instance, if you properly record

transactions in a sales ledger but incorrectly total this and use the incorrect figure in the income

statement, a calculation error has occurred.

Errors of omission can be one of the more difficult errors to detect, since they involve failing to

record a transaction partially or completely. An error of omission may be hard to detect because

it could lead to a balanced accounting equation.

2-Less Educated and Experienced Staff

Your competitive advantage is the accuracy in which you scan the macro environment and how

you choose to articulate your life experience. Your ability to add value in an organization is to

make wise decisions at the micro level (execution) that contribute to the brand and promise to the

customers at the macro level (strategy). Vitality in your own well being will contribute tovitality in your decision-making capability and ultimately vitality in the business.

Coherent Change provides individual and organizational development to help you accomplish

your goals for yourself or your organization. We support leaders who want their business to be

based in a healthy organization, where people have meaningful jobs, can tell the truth, and grow



as human beings. We understand and use proven, data-based methods, enriched by our years of

experience with transformational movement and personal awareness training. We offer

individual executive coaching, management and product team development, strategic change

planning, and work process design. We work with both organizations and individuals.

3-Wrong Usage of Resources Production equipment typically has a useful life of 10 years or more. Buying it uses limited

financial capacity. A business owner may not be thrilled about replacing expensive and

functional existing equipment. But only a portion of the expenditure can be recovered from

selling it

Over its lifetime, the costs of operating equipment are usually much more than the cost of buying

it. If the equipment is old, it may require more operating labor and maintenance than a new

model and it may not be very energy-efficient. Even though it may be in good condition and

productive, your equipment may still represent a disadvantage if competitors are using newer

technology that produces better output at lower cost. Or, if the competitors are still using old

technology, perhaps you can gain an advantage by buying new equipment. If you have

equipment that is idle most of the time, it is not providing a good return on the capital invested in

it or the space used to accommodate it. New equipment with better capabilities might be used

more and offer a better return.Disadvantage of this type of production is that... if we have some interruption in some operation

then our production will b disturbed, so we have to consider an alternative to overcome this

problem.

4-Firm without Clear Vision and Mission

A vision is about creating a short statement that will guide you over the next 3 to 5 years. It

should be specific enough to say something about what you will do and equally what you will

not do. It should be capable of driving the organization to achieve a common goal, and be

somewhat motivational so that you have a constant reminder of what you are trying to achieve

when the going gets tough.

A mission statement is a statement of the purpose of a, organization or person, its reason for

existing. The mission statement should guide the actions of the organization, spell out its overall

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goal, provide a path, and guide decision-making. It provides "the framework or context within

which company’s strategies are formulated." It's like a goal for what the wants to do for the

world.

It is a very strange thing for TAJ International (Pvt) limited that it has no clear vision and

mission. It’s very hard for the organizational members to understand and to work according to

what vision and mission statements tells them. Management of the organization should

communicate vision and mission of the organization with their employees and motivate them to

work according to achieve the goals of the organization.

Opportunities:

1-Market Expansion

The Market Expansion step is that period when a current markets, identifies untapped markets,

and seeks opportunities for revenue growth through new market opportunities. The market

expansion step will result in estimates for delivering new capabilities to current markets, and

potential new markets for existing products. These estimates include alternative industries and

geographic areas.

Market Expansion also identifies alternative technology, additional uses for products, determines

any changing market conditions, and measures relative costs for diversifying into targeted

markets

TAJ International (Pvt) limited has no marketing department. It is the weakness of the

organization it can becomes a serious threat in the future because if organization has no

marketing activities, then there is no more market share, market growth and no more potential

buyers. To get a secure business future, TAJ International (Pvt) limited should avail this

important opportunity and should develop new marketing strategies to get more market share and

an increase in the number of customers.

Tactics for Market Expansion include:

Most companies have plans to grow their business and increase sales and profits. However, there

are certain methods companies must use for implementing a growth strategy. The method a uses



to expand its business is largely contingent upon its financial situation, the competition and even

government regulation. Some common growth strategies that the TAJ International (Pvt) limited

can choose and implement include market penetration, market expansion, product expansion,

diversification and acquisition.

Market Penetration

One growth strategy in business is market penetration. A uses a market penetration strategy

when it decides to market existing products within the same market it has been using. The only

way to grow using existing products and markets is to increase market share, according to the

article "Growth Strategies" at gaebler.com. Market share is the percent of unit and dollar sales a

holds within a certain market vs. all other competitors. One way to increase market share is by

lowering prices. For example, in markets where there is little differentiation among products, a

lower price may help an increase its share of the market.

Market Expansion Growth Strategy

A market expansion growth strategy, often called market development, entails selling current

products in a new market. There several reasons why a may consider a market expansion

strategy. First, the competition may be such that there is no room for growth within the current

market. If a business does not find new markets for its products, it cannot increase sales or

profits. It may also use a market expansion strategy if it finds new uses for its product. For

example, a small soap distributor that sells to retail stores may discover that factory workers also

use its product.

Product Expansion

It may also expand its product line or add new features to increase its sales and profits. When

companies employ a product expansion strategy, also known as product development, they

continue selling within the existing market. A product expansion growth strategy often works

well when technology starts to change. It may also be forced to add new products as older ones

become outmoded.

Diversification



Growth strategies in business also include diversification, where a will sell new products to new

markets. This type of strategy can be very risky. TAJ International (Pvt) limited will need to plan

carefully when using a diversification growth strategy. Marketing research is essential because a

will need to determine if consumers in the new market will potentially like the new products.

Acquisition

Growth strategies in business can also includes an acquisition. TAJ International (Pvt) limited

may use this type of strategy to expand its product line and enter new markets. An acquisition

growth strategy can be risky, but not as risky as a diversification strategy. One reason is that the

products and market are already established. TAJ International (Pvt) limited must know exactly

what it wants to achieve when using an acquisition strategy, mainly because of the significant

investment required implementing it.

2-Production and Productivity Growth

Productivity is the combination of intelligent planning and focused efforts. Staying productive at

work or at home can be a challenge. Every time the work day ends, odds are that you are not

satisfied with what you have accomplished. Productivity can be continuously improved, but here

are some points that have really worked and Management of the TAJ International (Pvt) limited

should communicate these points with employees and motivate them to improve their skills and

to increase their productivity.

a. Seek help / Delegate tasks accordingly

Everybody needs help and should never take on large tasks alone. Two of the biggest barriers

for getting help are trust and introversion.

In order to get help from others, every employee needs to trust his/her colleagues in helping

him/her to complete work. If employees tell their colleagues what the deadline is for the project,

then they will likely take it very seriously. Make sure to give your colleague all of the resources

that he or she needs such as relevant documents or spreadsheets in order to reach the best

deliverable.



People are not going to volunteer in helping out so employees have to feel comfortable about

asking for help. If employees are too introverted to ask for help, then employees will most likely

be doing tasks on their own. Employees may also end up becoming somebody else’s work -horse

because they are too shy to speak up.

b. Do not get sucked into unnecessary meetings

Time is the most important currency in everyone life. While it may be tempting to meet with as

many people for the benefit of networking, the time they get at their desk is extremely valuable.

Knowing what meetings to refuse is very important.

c. Create to-do lists

One of the most satisfying aspects of creating a to-do list is crossing off things when they are

done. It gives employees a sense of accomplishment and gives them a visualization of progress.

When going through an annual review, the tasks that they have crossed off can be a great talking

point for what they have accomplished.

d. Take breaks

If employees spend more than 8-10 hours at a desk and without moving around much, then they

will notice that they have less energy. Productivity is not measured by the number of hours

employees sit at a desk. It is measured by how much employees get done without sacrificing

their health.

One of the major reasons for obesity in the last 20 years is because of decreased levels of daily

physical activities. Take a break and go for a daily walk.

Drivers of productivity growth

There is a general understanding of the main determinants – or ―drivers‖ – of productivity

growth. Certain factors are critical for determining productivity growth. The Office for National

Statistics (UK) identifies five drivers that interact to underlie long-term productivity

performance: investment, innovation, skills, enterprise and competition.



Investment is in physical capital — machinery, equipment and buildings. The more capital

workers have at their disposal, generally the better they are able to do their jobs, producing

more and better quality output.

Innovation is the successful exploitation of new ideas. New ideas can take the form of newtechnologies, new products or new corporate structures and ways of working. Such

innovations can boost productivity, for example as better equipment works faster and more

efficiently, or better organization increases motivation at work.

Skills are defined as the quantity and quality of labor of different types available in an

economy. Skills complement physical capital, and are needed to take advantage of

investment in new technologies and organizational structures.

Enterprise is defined as the seizing of new business opportunities by both start-ups and

existing firms. New enterprises compete with existing firms by new ideas and technologies

increasing competition. Entrepreneurs are able to combine factors of production and new

technologies forcing existing firms to adapt or exit the market.

Competition improves productivity by creating incentives to innovate and ensures that

resources are allocated to the most efficient firms. It also forces existing firms to organize

work more effectively through imitations of organizational structures and technology.

Other drivers of productivity growth include effective supervision and job satisfaction. Having

an effective or knowledgeable supervisor (for example a supervisor who uses the Management

by Objectives method) has an easier time motivating their employees to produce more in

quantity and quality. An employee who has an effective supervisor, motivating them to be more

productive is likely to experience a new level of job satisfaction thereby becoming a driver of

productivity itself.

3-Continues Improvement

A continual improvement process, also often called a continuous improvement

process (abbreviated as CIP or CI), is an ongoing effort to improve products, services, or

processes. These efforts can seek "incremental" improvement over time or "breakthrough"

improvement all at once. Delivery (customer valued) processes are constantly evaluated and

improved in the light of their efficiency, effectiveness and flexibility.



TAJ International (Pvt) limited has opportunity to continually improve in production of products

and in internal processes to give maximum benefits to customers and add value to get their

loyalty. TAJ International (Pvt) limited can bring technological and infrastructural changes in

production plants, production schedules, and information and communication system and in

internal processes for documentation and analysis.

Key features include:

Improvements are based on many, small changes rather than the radical changes that might

arise from Research and Development

As the ideas come from the workers themselves, they are less likely to be radically different,

and therefore easier to implement

Small improvements are less likely to require major capital investment than major process

changes

The ideas come from the talents of the existing workforce, as opposed to using research,

consultants or equipment – any of which could be very expensive

All employees should continually be seeking ways to improve their own performance

It helps encourage workers to take ownership for their work, and can help reinforce team

working, thereby improving worker motivation.

The elements above are the more tactical elements of CIP. The more strategic elements include

deciding how to increase the value of the delivery process output to the customer (effectiveness)

and how much flexibility is valuable in the process to meet changing needs.

Implementation

Getting all workers involved requires training, as it is necessary to be able to distinguish between

symptom and ailment so that workers try to solve the root causes of problems.

Other widely used methods of continuous improvement — such as Six Sigma, Lean, and TotalQuality Management — emphasize employee involvement and teamwork; measuring and

systematizing processes; and reducing variation, defects and cycle times.

Threats

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1-Environmental Pollution

Pollution control is a term used in environmental management. It means the control of

emissions and effluents into air, water or soil. Without pollution control, the waste products from

consumption, heating, agriculture, mining, manufacturing, transportation and other human

activities, whether they accumulate or disperse, will degrade the environment. In the hierarchy of

controls, pollution prevention and waste minimization are more desirable than pollution control.

In the field of land development, low impact development is a similar technique for the

prevention of urban runoff .

Practices

Recycling

Reusing

Waste minimization

Mitigating

Preventing

Pollution is the introduction of contaminants into the natural environment that causes adverse

change. Pollution can take the form of chemical substances or energy, such as noise, heat or

light. Pollutants, the components of pollution, can be either foreign substances/energies or

naturally occurring contaminants

TAJ International (Pvt) limited has many problems related to environmental pollution.

Organization has suited against environmental pollution and currently has a case in the

Environmental Court, Lahore. Organization is pressured by the residents near to factory area and

they are showing demands. It will become a threatening situation for the firm if court give a

decision against organization and then organization must has to make decisions that are not

currently take place.

Actually, TAJ International (Pvt) limited has no proper waste dispose system. Chemical liquid is

generated during production and it disposed near to populated area. So, residents near to factory

face some health problems and are pressuring the organization to develop a proper waste dispose

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system. Different types of methods can be used if the organization wants handle this threatening

situation.

Green Management

From the angle of corporate sector, green management definitely related to the environmental

policy establishment, which will enhance the corporate environment performance through

application of green technology activities over continues basis to benefit both the internal as well

as external stake holders.

Green management measures such as certified environmental management systems (EMS) or

tools like life cycle assessment activities are considered to improve corporate environmental

performance directly by mandating companies to introduce environmental goals and

management structures as well as programs to achieve them.

A business functioning in a capacity where no negative impact is made on the local

or global environment, the community, or the economy. A green business will also engage in

forward-thinking policies for environmental concerns and policies affecting human rights.

Waste Management

Waste Management is the collection, transport, processing or disposal, managing and monitoring

of waste materials. The term usually relates to materials produced by human activity, and the

process is generally undertaken to reduce their effect on health, the environment or aesthetics.

Waste management is a distinct practice from recovery which focuses on delaying the rate of

consumption of natural resources. All waste materials, whether they are solid or liquid

and gaseous or radioactive fall within the remit of waste management.

Waste management practices can differ for developed and developing nations, for urban and

rural, and for residential and industrial producers. Management of non-hazardous

waste residential and institutional waste in metropolitan areas is usually the responsibility of

local authorities, while management for non-hazardous commercial and industrial is usually the

responsibility of the generator subject to local, national or international authorities.

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Avoidance and Reduction Methods

An important method of waste management is the prevention of waste material being created,

also known as waste reduction. Methods of avoidance include reuse of second-hand products,

repairing broken items instead of buying new, designing products to be refillable or reusable(such as cotton instead of plastic shopping bags), encouraging consumers to avoid using

disposable products (such as disposable cutlery), removing any food/liquid remains from cans,

packaging and designing products that use less material to achieve the same purpose (for

example, light weighting of beverage cans.

Recycling

Recycling is a resource recovery practice that refers to the collection and reuse of waste

materials such as empty beverage containers. The materials from which the items are made can

be reprocessed into new products. Material for recycling may be collected separately from

general waste using dedicated bins and collection vehicles are sorted directly from mixed waste

streams and are known as kerb-side recycling, it requires the owner of the waste to separate it

into various different bins (typically wheelie bins) prior to its collection.

The most common consumer products recycled include aluminum such as beverage cans,

copper such as wire, steel food and aerosol cans, old steel furnishings or equipment,

polyethylene and PET bottles, glass bottles and jars, paperboard cartons, newspapers, magazines

and light paper, and corrugated fiberboard boxes

Due to its chemical composition, waste sludge generated in the paper industry may be used as a

raw material for brick production. Brick manufacture is limited to the warmer months of the year

whereas sludge is produced continuously by different effluent treatment devices. Therefore, it

has to be stored until further processing. For this reason, it is essential that it is not subject to

significant chemical and microbiological decomposition during storage.

How Businesses Affect the Environment

The place employees works can affect the environment either positively or negatively to a very

large degree. How eco-friendly employer is when it comes to using energy to heat and cool the

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building, to bring products into it, and to remove waste from it has a major impact on employees

community and the planet.

Many people may be surprised by some specific examples of ways the working world damages

the environment:

Heating and air conditioning systems pump greenhouse gas emissions from offices into the

atmosphere and use up vast amounts of electricity. Many buildings aren’t designed to

include energy-efficient systems or technology to reduce the amount of heat and air

conditioning they use.

Many buildings are built from materials that don’t come from renewable sources.

Office buildings have a huge appetite for electricity to power lighting, air conditioning,

computers, printers, and photocopiers. Equipment may be left on 24 hours a day, seven days

a week — even when no one’s working.

Offices consume vast amounts of paper. Even with more offices recycling paper, a large

amount of paper waste still goes to landfill sites or incinerators.

In addition to paper, offices produce a lot of other waste, including equipment (especially

computers), because companies regularly upgrade their equipment to stay competitive.

Electronics such as photocopiers and computers can end up in landfills, where they don’t

break down and, even worse, can leach harmful chemicals into the ground and water.

Rush-hour traffic jams in towns and cities are full of people trying to get to work — wasting

time and polluting the atmosphere.

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Competitor Analysis

Competitor analysis

Competitor analysis in marketing and strategic management is an assessment of the strengths and

weaknesses of current and potential competitors. This analysis provides both an offensive and

defensive strategic context to identify opportunities and threats. Profiling coalesces all of the

relevant sources of competitor analysis into one framework in the support of efficient and

effective strategy formulation, implementation, monitoring and adjustment.

Competitor analysis is an essential component of corporate strategy. It is argued that most firms

do not conduct this type of analysis systematically enough. Instead, many enterprises operate on

what is called ―informal impressions, conjectures, and intuition gained through the tidbits of

information about competitors every manager continually receives.‖ As a result, traditional

environmental scanning places many firms at risk of dangerous competitive blind spots due to a

lack of robust competitor analysis.

Competitors:

Century paper mills ltd (Competitor A)

Flying Paper and Board Products ltd (Competitor B)

Malik Paper and Board Mills (Pvt) ltd (Competitor C)

Following are main competitors of Taj International (Pvt) Ltd and their operations.

Century Paper & Board Mills Ltd

Century Paper & Board Mills Limited (CPBM), established in 1984, was listed at the Karachi

Stock Exchange in 1990 as a flagship of the Lakson Group. It has manifested itself as a Quality

Producer of Packaging Paperboard and has attained a position of Preferred Supplier among its

Customers. The maintains Strategic Business Relationships with leading Packaging and

Converting organizations Located at 62 KM, Lahore – Multan Highway N-5, Distt. Kasur, they

maintain a fully integrated Pulp and Paper Mill with all the necessary support systems. CPBM is

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managed by a competent team of professionals in all the relevant fields like Process &Paper

Technology, Engineering, Finance and Business Management as well as Human Resource. More

than 60 Engineers of different disciplines are currently working at its Mills with well-trained

subsequent tiers of supervisors and operators. Human resource asset comprises of

1600+personnel.

Operations Century is a leading manufacturer of quality Paper and Board with a total rated installed capacity

of 230,000 tons per annum. The product mix includes Writing & Printing Paper, Poster Paper,

both coated and Un-Coated Board in various gram mages, sizes and form. The Mills comprises

of 7 Paper and Board Machines out of which PM-3 & PM-6 are designated for paper production

whereas PM-1, 4, and 7 are essentially Board production machines with both off-line and on-line

coating facilities. The latest addition being the state of the art, environment friendly machine

PM-7 based on recycled fiber, capable of producing 130,000 Tons/annum of premium quality

Coated Packaging.

Board was commissioned in 2008.The Mills also includes a Box Plant having a corrugation

facility capable of an output in excess of 30 million M² sheets and 60 Million of corrugated

containers of various sizes and weights, with up to 3-colour printing. The corrugation facility

shall be doubled in the first half of the current year 2009.PM-2 and 5 are exclusively engaged in producing quality liner and fluting papers.

Flying board and paper products ltd

Flying paper industries Ltd was formed in 1983 as a flagship of Flying Group of Industries. It

has manifested itself as quality producer of paper. We have strategic business relationships with

leading Paper industries. Flying Paper Industries Ltd. has integrated pulp & paper mills based on

local wheat straw. Flying Paper Industries is managed by a team of professionals which

comprises process & paper Technologists, Engineers, Chartered Accountants, Cost &

Management accountants, MBA’s ,and Administration & Human Resource specia lists. More

than 20 Engineers of different technologies are currently working at Mills with well-trained

supervisors and operators. Total strength of Flying Paper Industries Ltd is 900 employees. It has

an annual production capacity of Flying Board & Paper Products ltd is associated of Flying



Group of Industries Incorporated in 1988. It has manifested itself as quality producer of

writing/printing paper. We have strategic business relationships with the leading Paper

industries. Flying Board& Paper Products ltd has integrated pulp & paper mills based on local

wheat straw. The main plant & machinery has been supplied by Tae Kwang (Korea). The mills

are situated at 26km Lahore Sheikhupura Road, Sheikhupura and came into commercial

production in 1990.

Malik Paper and Board Mill (Pvt) Ltd Malik Board & Paper (Pvt) Ltd is one of the Paper & Paper Board Mfr. in Lahore, Punjab,

located in 119/1-D Block, Model Town. It was incorporated in 1989. It has 4 production plants

which mainly produce paper and paper boards products. Malik Paper and Board mill (Pvt) Ltd is

the main competitor of Taj International (Pvt) Ltd in the paper and board industry. It has an

annual production capacity of 40,000 metric tons. It has an annual sales volume of 35,000 metric

tons. Total no. of employees is 215, who have better skills and knowledge of work. It has 23

years industry experience in the industry with products verity and potential market growth with

focus on continues improvement. Ethics are highly followed by member of the organization and

it also involves in corporate social responsible activities.

Main points for Competitors Analysis:

Sales volume

Production capacity

Industry experience

Products variety

Marketing growth

Profits

Continues improvement

Ethics and CSR

No. of customers

No. of employees



Competitors Analysis

Characteristics Competitor A Competitor B Competitor C

Annual Sales

Volume

30,000 metric

tons

150,000 metric

tons

87,000 metric

tons

35,000 metric

tons

Annual

Production

36000 metric

tons

175000 metric

tons

95,500 metric

tons

40,000 metric

tons

Industry

Experience

24 Years 30 Years 30 Years 23 Years

Products

Variety

Better Best Better Good

Market Growth Potential Attractive Potential Potential

Profits Good Best Better Good

Focus on

Continues

Improvement

Average Very strong Strong Average

Ethics and CSR Good Best Better Good

Number of

customers

Small Very Large Large Small

No. of

Employees

250 1,638 900 235

Conclusion

Century Paper and Board Mills Ltd is the big player of the industry and having a control over the

industry major market share and growth. For Taj International (Pvt) Ltd it’s very hard to compete

with Century Paper and Board Mills Ltd just because it has small no. of customers and low

production capacity with small no. of employees. But through continues improvement strategy



and focusing on customers it can compete with Flying Paper and Board Product Ltd and take the

position in 10 to 15 years progress.

Malik Paper and Board Mills (Pvt) Ltd is real competitor of the. So it should take actions to

better serve the market with focusing on both current and new customers. If the will do not focus

on its competitors actions in future it will have to suffer for that.

Taj Report

Documents

Transcript of Taj Report