POM final project

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University of Central Punjab, Faisalabad
Production and
Operations
Management
Topic: Value additions in business of Retail chain store formulates by group
members named “Insanes”
SUBMITTED TO
MAM AISHA ARBAB KHAN
SUBMITTED BY
AATKA AKRAM
0047
IQRA RAZA
0053
SHRISH MASOOD
0077
AQSA ANEES
0079
NOREEN NAEEM
0111
SAIRA KHALID
0201
SANA RIAZ
0185
IQRA TALIB
0137
CLASS
M.COM
SECTION
1A
SUBJECT
OPERATION MANAGEMENT
ACKNOWLEDGEMENT
1st
We would like to thank ALLAH who gave me opportunity to study in a good university.
2nd
We would like to thank Miss Ayesha Arbab Khan for a being a wonderful teacher. Also
that she understands individual students and motivates them to achieve set targets.
3rd
We would also like to thank the administration of Insanes for helping us out in this
project.
4th
And last but not the least we would like to thank our families who arranged for us to go
to the company stores and meet concerned people.
EXECUTIVE SUMMARY
INSANES FASHION INDUTRY that we are going to establish will be one of the largest fashion
industries in Pakistan and also round the GLOBE.
The store targets the Middle East upper middle and elite class segment of the population.
Though, store’s cloth is produced in Pakistan. “Insanes” maintains the international standard.
The store provides a better price that is affordable by elite and middle class. The cloth is
available in three different sizes. In future the store sells its outlets to third party.
Other competing brands like men’s garments (generation), life style, Bed & bath, Ikea, macro,
metro and Carrefour have a strong consumer base but The store’s product features distribution
and promotional activities have created huge brand loyalty for which it is still the market leader
in Pakistan.
Insanes with its heavy promotional activities has been able to penetrate the market.
But the other producers in the industry are posing a threat towards Insanes’ market share.
TABLE OF CONTENTS
Introduction ................................................................................................................................... 7
Business Description ................................................................................................................... 7
Company’s Logo ....................................................................................................................... 8
Brief Information About The Company ................................................................................ 8
Vision Statement ......................................................................................................................... 10
Mission Statement ....................................................................................................................... 10
Objectives Of Company ............................................................................................................. 11
Organizational Hierarchy .......................................................................................................... 12
Product Line ................................................................................................................................ 13
Process Regarding Clothing ..................................................................................................... 14
1.
Spinning ............................................................................................................................. 14
2.
Machinery Details & Capacity........................................................................................... 14
4.
Machinery Details & Capacity........................................................................................... 14
Processing ................................................................................................................................. 14
Stitching.................................................................................................................................... 15
Garment Stitching .................................................................................................................. 15
Made Ups ............................................................................................................................... 16
Inventory Material Requirement .............................................................................................. 17
Merchandising ............................................................................................................................. 17
Merchandise Hierarchy ............................................................................................................. 17
Garments Heirarchy: ................................................................................................................. 18
Furniture Hierarchy : ................................................................................................................. 18
Home Fashion Hierarchy .......................................................................................................... 19
Markdown ................................................................................................................................. 19
Shrinkage................................................................................................................................... 19
Value Added:............................................................................................................................. 19
(Jit)Just In Time ..................................................................................................................... 19
Product Design ............................................................................................................................ 20
Some Basic Designing Techniques ........................................................................................... 20
Location Strategy ....................................................................................................................... 21
Factors For Locating Strategy: .................................................................................................. 21
Insanes Stores Are Located In Pakistan In The Following Places: .......................................... 22
Foreign Branches: ..................................................................................................................... 23
Marketing Mix ........................................................................................................................... 24
Value Addition .......................................................................................................................... 24
Following Are The Key Points To Increase Sale ...................................................................... 25
Insanes Bcg Matrix: .................................................................................................................. 26
Marketing Strategies ................................................................................................................. 26
1.
Sales Through Franchised Outlets ..................................................................................... 26
2.
Direct Marketing ................................................................................................................ 26
3
Market Targeting; .............................................................................................................. 26
4
Market Segmentation; ........................................................................................................ 27
5
Market Positioning; ............................................................................................................ 27
6
Customer Service: .............................................................................................................. 27
Competitors ................................................................................................................................. 27
Supply Chain Management And Otb ........................................................................................ 28
Management Information System: ............................................................................................ 29
Total Quality Management ........................................................................................................ 30
Quality Circle Team .................................................................................................................. 30
Six Sigma: ................................................................................................................................. 31
What Does Six Sigma Offer To Insanes?.................................................................................. 31
Why Should Insanes Use Six Sigma ? ...................................................................................... 32
Layout Strategy:.......................................................................................................................... 33
Layout For Children's Accessories............................................................................................ 34
Layout For Men And Women Wear ......................................................................................... 34
Layout For Home Fashions ...................................................................................................... 36
Scheduling: .................................................................................................................................. 37
Human Resource Management ................................................................................................. 38
Men And Women’s Wear ......................................................................................................... 38
Kids Wear.................................................................................................................................. 38
Home Fashion ........................................................................................................................... 38
Maintenance ................................................................................................................................ 39
Daily Transactions And Processing .......................................................................................... 39
Techniques For Improvement ................................................................................................... 40
Corporate Social Responsibility ................................................................................................ 40
Swot Analysis............................................................................................................................... 42
Pest Analysis ................................................................................................................................ 43
Conclusion: .................................................................................................................................. 47
INTRODUCTION
BUSINESS DESCRIPTION
Insanes is textile industry along with it’s a range of outlets to entertain it’s customers.It not
only makes it’s cloth but also provides a finished product to it’s customers. The finished
products are not only customized but also customerized through the JUST IN TIME
SYSTEM. It has also made collaborations with different designers for it’s specific products
design to gain:

competitive edge

compete in market

customers attraction

have strong bonding with the fashion industry.
COMPANY’S LOGO
INSANS
SENSING FASHION
BRIEF INFORMATION ABOUT THE COMPANY
Chief Executive Officer
•
Mian Muhammad Ashraf
•
Mian Muhammad Ayan Ashraf
•
Mr. Muhammad Naeem
•
Miss Falak
Directors
Bankers/Financial Institutions
•
Allied Bank Limited.
•
Askari Commercial Bank Limited.
•
United Bank Limited.
•
Union Bank Limited.
Registered Office
•
Peoples colony Faisalabad.
•
Tel: 041-8754472-8
•
Fax: 041-8752400, 8752700
Website Address
•
www.insaenesgroup.com
•
www.insanes.com.pk
Works

Designing –Lahore
All other functions are done under one roof in Sargodha road Faisalabad.

Spinning Unit

Weaving Unit

Cutting

Stitching Units

Washing

Printing
VISION STATEMENT
“To provide looks to society according to their interests and personalities and to lead as a thirst
for people in their lives and in market.”
MISSION STATEMENT
Insanes make it’s vision possible by:
 Providing products according to their interests
 According to their personalities
 In time delivery
 Providing products that surrounds their life
 Providing products that provide them a standard
 Addorable look
OBJECTIVES OF COMPANY
Insane has following objectives:
 To lead in market
 To satisfy society
 To provide products according to interest and likeness
 To retain in market by making customers happy
 To provide addorable look to it’s customers
ORGANIZATIONAL HIERARCHY
CEO
Mian
Muhammad
Ashraf
Mr. Ayan
Ashraf
Naeem
Mr. Abdul
Hadi
Miss
Anaya
Miss Falak
M.Zeeshan
Ashraf
Mr. Shaheer
Ashraf
PRODUCT LINE
Following is the product line of Insanes:
 Watches for men and women
 Gaons for women
 Ladies business suits
 Shoes for men and women
 Make up
 Children clothing range
 Infants clothing and accessories range
 Party wear (collaboration with Hassan Shehryar Yasin)
 Uppers for women and men
 Artificial Jewellry ( collaboration with nadia chottani )
 Clutches for men and women
 Hand bags for men and women
 Male & female jeans
 Female tops
 Female gloves
 Female tites
 Gym wear for men and women
 Men and women scarves
 Male and female jackets
 Male and female casual wear
 Male kurtas party wear (collaboration with AhmedBilal)
 Female sarees ( collaboration with Satya Paul)
 Female and male lawn (collaboration with Ammar Bilal)
 Night wear of women
 Furniture
 Bedding
PROCESS REGARDING CLOTHING
The clothing is major focus in insanes and as the Insanes takes the fabric from its parent
company so here is brief introduction of processing
1. Spinning
Modernization efforts have brought major changes to the Pakistan textile industry. At Insanes
Ltd.(Spinning Division) equipment has been streamlined and many operations have been fully
automated with computers. Machine speeds have greatly increased.
2. Machinery Details & Capacity
Insanes Spins finest quality yarns in counts of 10, 16, 20, 22, 24, 30, 40, 60 & 80 in carded as
well as combed versions. The spinning facility spread over 520,000 Square feet houses 19,000
spindles with an approximate production capacity of million Kg’s of yarn every year.
3. Weaving
Weaving is the oldest method of making yarn into fabric. While modern methods are more
complex and much faster. On the loom, lengthwise yarns called the warp form the selection of
the fabric. They usually require a higher degree of twist than the filling yarns that are interlaced
widthwise.
4. Machinery Details & Capacity
Insanes weaving units are equipped with 120 air jet looms of 75, 110 and 134 inches with a
production capacity of 36 million square meters per year.
Processing
Insanes Ltd. offers a complete range of processing facilities with highly qualified and
experienced staff. It provides their customers global services and competitive advantage to meet
requirements with adoptability & flexibility for woven and knitted fabrics.
The Processing unit of Insanes further sub divided into following categories:
•
Preparation
•
Quality Lab
•
Dyeing
•
Printing
•
Design Studio and Engraving
•
Finishing
Being fashion outlet our main focus is
on stitching, designing and made-ups.
STITCHING
•
Garment Stitching
•
Made Ups

Garment Stitching
The garment unit is a totally fresh concept they improved working conditions with full air
conditioning and ergonomically designed workplace layouts. The concept of Unit Production
System was adopted for product manufacture. This allows continuous online management,
supervision and monitoring thus reducing response
time to any shortcoming that may occur. Latest
quality control procedures are implemented
throughout the manufacturing process, form
automated pre cut fabric inspection to the final
product. Garber Fabric cutting technology and
Computer Aided Design is applied to all pattern
making, cloth utilization and marking cutting edges.
This unit is also capable of stitching all sorts of
casual/fashion garments equivalent to 45,000 meters
of fabrics daily equipped with advanced and
computerized mechanical systems such as: •
Gerber technology with computer aided manufacturing;
•
Equipment for accurately cutting articles;
•
Advanced panel fabric cutters;
•
Switch Track stitching system;
•
Advanced stitching machines with an automatic trimming mechanism; and
•
Computerized embroidery machines.

Made Ups
Made-ups Home textiles are fast becoming our forte, across the globe. Out bed linen, duvet
covers, comforters, bed spread, table lines, curtains and related accessories can now be compared
to the best in the world and are available in the most sophisticated departmental stores abroad.
Our soft furnishings sector stations fully computerized Unit Production System.
This unit is capable of stitching all sorts of Textile Made Ups equivalent to 165,000 meters of
fabrics per day with advanced facilities including: Fourteen computerized quilting machines,
with automatic filling of polyester into quilted
articles.
It is also capable of handling unlimited
design options catering to single line, cording, and
twin line-emboss patterns. The facility is capable of
creating countless patterns both for dimension and
profile;
Six advanced computerized embroidery
machines that are capable of handling any design up
to 9 colors in one go. The large 1x6m frame allows
the creation of design on a large scale;
Complete polyester wadding plant;
Advanced panel cutters;
Computerized Eton stitching system;
Complete switch track system
INVENTORY MATERIAL REQUIREMENT
The inventory management details of the store are described under following heads
Ideas products
Women
accessories
Bedding
Apparel
Kitchen
accessories
Children
accessories
Bath
accessories
Ceramics
MERCHANDISING
Merchandise Hierarchy
The merchandise hierarchy is divided under the following heads:
•
Home Fashion
•
Garments
•
Furniture
Others
GARMENTS HEIRARCHY:
GARMENTS
WOMEN
WEARS
MEN WEARS
SHIRT
S
SUIT
S
KIDS WEARS
SHORTE
S
Casual
KURT
IS
PANT
S
WESTEB
RN
EASTER
N
SOCK
S
APPERA
L
Trendy
FURNITURE HIERARCHY :
FURNITURE
DINNIG
TABLES
BEDS
DOUBLE
BEDS
IMPORTED
BABY CARRY
COTS
BAG
S
STUFF
TOYS
HOME FASHION HIERARCHY
HOME
FURNITU
RE
FASHION
CROCKER
Y
MISC
ASSESSIORI
ESS
ROOM
ACCESSIOR
IES
BATH ROOM
ACCESSIORIE
S
Markdown
The store marks down products when a season comes to an end. In the beginning of a new season, old
inventory is removed from their shelves. This is done through "Open House" sales held twice a year.
Goods are marked down to up to 50% of the Maximum Retail Price (MRP).
Shrinkage
Considering the huge amount of merchandise the store carries, it’s almost impossible to keep an eye on
every employee and every customer all the time. In order to prevent this, it has used a variety of advanced
techniques. They include tags, stickers and weaving (in built). These techniques help the store to keep
shrinkage at a very low amount, which is around 1.5% yearly.
VALUE ADDED:
(JIT)Just In Time
This store is introducing JIT system for clothes and furniture so
that the cost will reduce as there will not be much blockage of
fund in inventory for longer period of time.
PRODUCT DESIGN
Different techniques are used in designing different products as the organization offers
variety of products for it’s customers.
Some Basic Designing Techniques
 Laser Exposure
 Computer Aided Designing
 Wax Jet
 Pixel Art
 Best Image Systems
 Draping technique
LOCATION STRATEGY
The store takes high class living & alluring lifestyle a step further with the introduction of its business
development service entitled to serve a touch of class & the trademark the store lifestyle to the corporate
industry.
Factors For Locating Strategy:
They have selected their locations based on following factors:

They have target main cities of Pakistan like Islamabad, Lahore, Faisalabad, Karachi,
Peshawar, Multan etc.

They have opened their branches in popular areas as well as normal rating areas of all
cities because they are targeting Elite & Middle class and according to their target, their
outlet must be at a place which may attract especially that particular class whom they are
serving.

Their Brand Image demand to open their branches at lots of places because they have
also popular as a popular international brand and wants to target large population. So, its
location is complied with its Brand Image and target market. Thus the customer can
access easily

They have also considered their competitors so that they may be in completion with
others.

They have also consider the purchasing power of its customers while deciding location..
Insanes stores are located in Pakistan in the following places:
Insanes storesare complete family fashion store, which are catering to many consumers in Pakistan and in
international markets and to position Pakistan as a fashion producing country.
Insanes with its outlets in eighteen cities of Pakistan has already acquired the position of Pakistan's
leading fashion brand.With the target of opening 50 stores in Pakistan by 2015, Insanes will maintain its
status of being the largest chain of stores in Pakistan.
•
Islamabad
•
Rahim Yar Khan
•
Lahore




•
Gulberg
Defense
Model town
Cantt.
Faisalabad






Peoples colony
Batala colony
Kohinoor
Jinnah colony
Canal road
Sargodha road
•
Karachi
•
Rawalpindi
•
Peshawar
•
Abbottabad
•
Lahore (Defence branch)
•
Multan
•
Sialkot
•
Gujrat
•
Karachi (Tariq Road)
•
Bhurban
•
Sargodha
•
Bahawalpur
•
Sahiwal
•
Murree
•
Chakwal
•
Khaniwal
•
Dera-ghazi-khan
•
Quetta
Foreign Branches:
Outside of Pakistan, Insanes has stores in the following places:
•
Abu Dhabi
•
Dubai (Jumeriah)
•
Makkah
•
Bahrain
•
Ajman
•
Sharjah
•
Riyadh (Olaya Road near to Kingdom Tower)
•
Hong Kong
•
Thai-land
•
Malaysia
•
Sri-lanka
•
London
•
Germany
•
Italy
VALUE ADDITION:
Our Insanes Store are operating as a multi-national
international level like Chen one Stores.
stores
not on
MARKETING MIX
1. Product
Insanes is an outlet where customers can get almost each and everything for the house and for
themselves. It has clothes, shoes, and accessories for every member of the house. There is no
other outlet which provides all these things under one roof. Its product range and product quality
is an integral part of the marketing mix.
2. Place
Insanes, being in a very busy shopping mall, has a mall location. Insanes has organized its
merchandise in such a way that it's easier for a customer to access the desired product. They have
departments, then sections, and further subsections to facilitate customers.
3. Price
Insanes’s pricing is done as Maximum Retail Price, which includes production cost, taxes and
margins. Although, this is called MRP but, as it’s done in an odd manner it can also be called as
odd pricing. It means, they have priced most of their products as Rs. 95, Rs. 695, etc. Sometimes,
prices bundling is also done for promotional purposes. According to most of the people,
Insanes's prices are very high, and are not affordable to many. But its officials believe that, "we
are not catering to the market which cannot afford these prices. And even if the prices are higher,
products are worth the prices."
4. Promotion
The Insanes uses different types of media to promote them self. They use billboards in crowded
areas, short commercials on television, promotional events, organize meetings and auctions, a
website for every store and a general one with extra information about the history and upcoming
products.,
They like the lifestyle and were the merchandise with the brands on it. They want to see all the
insanes all around the world. These fans are very important and the Insanesoffers them an All
Access system. This system uses member cards. When a member spends money at the
Insaneshe/she gets points, with these points he/she can get free merchandise, buy or a discount.
5. People (personnel)
For a company, the personnel are of main importance, to be able to sell their concept, their
products. Very often the company chooses to train their people to sell products and treat the
customers the way, they think that fits to their concept.
New personnel of the insanes are selected on several points as friendliness, then being open to
compliments as well to complaints and how they react on certain situations. Every single person
who works for insanes is trained to stand for the concept (examples will follow later) and to give
the customer a once in a lifetime experience, which they will remember. Every visit to each
insanes is different and exciting. Whether you visit is for the first time or if you visit it on a
monthly basis.
Following are the key points to increase sale
•
Assurance of consistent quality
•
Surety of on time delivery
•
Competitive rates
•
Cost efficiency
•
Better service to the customer
•
Better communication development with customer
Insanes BCG matrix:
MARKETING STRATEGIES
The insanes marketing strategy is to bring creativity and innovations in fashions & design.
insanes has been expanding its export sales through a network of franchise outlets and selling
agents, direct marketing and strategic alliances.
1. Sales through Franchised Outlets
The Company's franchised "insanes" outlets have been a great success. This initiative has been
very helpful in encouraging insanes plans to expand the number of franchised outlets in Pakistan
and in other regional markets..
2. Direct Marketing
The insanes management has taken initiatives by making direct sales to leading chain stores
operating in the UAE and other Gulf countries through a Sharjah and has also established
strategic market alliances in the following markets:
The company plans to create similar strategic alliances in the Central Asian and African markets
for the marketing of its own brands.
3 Market Targeting;
Insanes is targeting Upper & elite Class. So Insanes should offer low priced products in future to
target the upper middle and middle class, which will give more popularity to the business and
would make them stronger financially. Insanes targets the Middle East and Pakistan. Insanes
targets the people 3month to 45 ages.
4 Market segmentation;
Insanes is doing Niche marketing because they have divided their market into different segments
of cloth in which heir segments are men cloth, ladies cloths, infant cloth, girl’s cloth, kid’s
cloths, boy’s cloths shirts etc.
•
Urban Rich
•
Urban and Sub Urban Upper Middle and Middle Class
•
Rural Poor
•
Market segment
5 Market positioning;
Insanes is charging high price for their products as it is giving more benefits to business.
Insanes has designed its products according to the customer wants and demands. Insanes
product’s have satisfied consumers and has created brand image among its consumers
6 Customer Service:
Customer Service insanes always Strive to provide exceptional customer service, a characteristic
unique to their chain. The secret of successful retailing is to give your customers what they want.
People at that time would feel proud by shopping at insanes, with a fully equipped customer care
desk. Helping people make a difference insanes should be designed to save customer’s time and
money, while providing a unique shopping experience, through efficient operations and valuable
solutions.
COMPETITORS









Competition Current Individual Competitors Shoes (Marie Claire, etc)
In terms of Prices Men’s Garments (Amir Adnan, etc)
Excellent styles & regional presence Ladies Garments (Generation, etc)
More cultural & society focus designs Bed Linen (Life Style, Bed & bath etc)
Better prices Furniture (Several new stores)
Better prices with quality International Players (IKEA, Macro etc)
Expected Competitors International Players (IKEA, Macro, Metro, Carrefour etc)
Insanes stores
SUPPLY CHAIN MANAGEMENT AND OTB
As we are improving the processes and increasing the no. of people to serve and our product line
is also being increased so , we also have to improve our sypply chain.
We are improving our supply chain due to following reasons”


Boosts Customer Service
SCM impacts customer service by making sure the right product assortment and quantity
are delivered in a timely fashion. Additionally, those products must be available in the
location that customers expect. Customers should also receive quality after-sale customer
support.
Improves Bottom Line
SCM has a tremendous impact on the bottom line. Firms value supply chain managers
because they decrease the use of large fixed assets such as plants, warehouses and
transportation vehicles in the supply chain. Also, cash flow is increased because if
delivery of the product can be expedited, profits will also be received quickly. But overall
scnerio will be the same :
Insanes has two kinds of supplies. The first one, customer's orders, is limited to certain
merchandise and is rare. The second is normal routine orders. The Open to Buy (OTB) process at
Insanes is on a daily basis. The data is fed in automatically in the Point of Sale system which is
sent to the head office everyday. The inventory is replenished as soon as the stock level goes
down. Insanes has its own supply chain management. It has its own distributor and suppliers.The
notes issued by the suppliers are signed by the warehousing department and the same note is
signed by the supervisor at the outlet when the stock is received. The Goods Received Notes
(GRN) and the Inter Transfer Notes
(ITN) are linked with one another. The
goods return feature is also present in the
MIS. A return receipt or note is packed
inthe cartons which are sent back.
MANAGEMENT INFORMATION SYSTEM:
A strong management information system in any organization enables the management to make
effective and timely decisions. The customer relationship management, e-commerce, online
order tracking system and video conferencing has helped in executive decision support system
and speedup customer response time.
For this purpose Insanes has taken every step to make is MIS most modern and
sophisticated:

The Company has implemented an ERP system with LAN/WAN connectivity. VPN
connectivity options and wireless internet access at speeds of upto 1.3MBPS have also
been established

It has made the MIS speedier, efficient and cheaper.

The use of computers at each level enables the company to create a paperless
environment.

Hand scanning machines are installed at entry gates.

Entry and exit of employees is monitor through this system.

The payroll system is also linked with this system.
A team of highly qualified I.T professionals is working with Insanes and a number of software’s
and packages have been developed by them for automation of the systems.
TOTAL QUALITY
MANAGEMENT
Insanes deals with the different and
variety of products around of the world.
Insanes must considered quality of
brands at first so in order to improve
continuous performance in quality it
should do some thing else if the Insanes
is to compete as a leader in the world
markets like:
Each of the 10 decisions made by
operations managers deals with some aspect of identifying and meeting customer expectations.
In order to implement strong TQM 14 points of quality expert W.Edwards Deming must b
follow:
1.
2.
3.
4.
Create consistency of purpose
Lead to promote change
Build quality into the product
Build long term relationships based on performance instead of awarding business on
price
5. Continuously improve product,quality,and service
6. Start training
7. Emphasize leadership
8. Drive out fear
9. Breakdown barriers between departments
10. Stop haranguing workers
11. Support, help and improve
12. Remove barriers to pride in work
13. Institute education and self improvement
14. Put everyone to work on the transformation
Quality circle team:
More over the Insanes must adopt the quality circle strategies in which a small group of 6 to 12
employees doing similar work who voluntarily meet together on a regular basis to identify
improvements in their respective work areas using proven techniques for analyzing and solving
work related problems coming in the way of achieving and sustaining excellence leading to
mutual upliftment of employees as well as the organization.
Quality circle


Are a method of continuous quality improvement in Insanes by direct involvement of
employees in quality
They operate on the basic principle that employee participation in decision making and
problem solving improves the quality of work.
They are:





Voluntary group of persons
Meet on regular basis
Work on similar tasks
Share area of responsibility
Solve problems related to work
Three major attributes of QC

Quality Circle is a form of participation management.
Quality Circle is a human resource development technique.
Quality Circle is a problem solving technique.
Six sigma:
Six sigma is another effective TQM program which Insanes must adopt.
Six sigma is not



A standard
A certificate
Another metrics like percentage
It is a set of statistical and other quality tools arranged in unique way
It is a way of knowing where you are and where you could be
It is quality philosophy and management technique.
What does six sigma offer to Insanes?



Augments traditional quality tools
Data driven decision‐ making
Focuses on customer requirements





A focused/organized approach
Redefines processes for long‐ term results
Becomes ingrained in work and thought
processes
Relies on evidence‐ based solutions
Rapid/effective change
Why should Insanes use six sigma ?
Quality
Process
improvement
Time
reduction
Customer
Satisfaction
Growth
Money
By adopting this approach Insanes improve quality of products and brands a lot with the lower
cost and lower time. This is designed to reduce defects. Its very helpful to produce high quality
products in minimum time. It is a strategy because it focuses on total customer satisfaction. It
helpful for achieving and sustaining business success.
LAYOUT STRATEGY:
The old layout of Insanes is conjusted and is not designed properly due to which people don’t
feel relax while shopping So, According to our new layout plan we will design it in such a way
that every portion must have enough space to move on. Our each product will be placed at
separate portions.
1. Space
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Maximizing your space for customer and inventory capacity is an essential
part of a successful business. Even the smallest amount of unused space
can cost a business thousands of dollars in potential revenue. That is why
it is important to strategically design the layout of your store for maximum
profit.
Space is needed to be evaluated as narrow space will cause the traffic to
slow and possibly have to fight other customer to get around them. This
will annoy the customers, which will cause them to shop somewhere
else.we will ensure that space is wide enough, which will provide a
comfortable shopping environment for them to look around.
2. Lighting
Some other general strategies involve lighting and aisle space. Lighting is a commonly
overlooked aspect to store layout. Proper lighting can entice potential customers to come in and
check out your inventory or it can highlight your best selling products. One of the quickest ways
to lose traffic is inadequate lighting. Dark areas will cause customers to strain their eyes to look
at your products, which will cause them to exit the store towards better lighting.
3. Accelerator:
We will introduce accelator in this store because people of Pakistan don’t like to go by
stairs.
DIVISION
CHILDREN'S
ACCESSORIES
MEN AND
WOMEN
WEAR
HOME
FASHIONS
LAYOUT FOR CHILDREN'S ACCESSORIES
Fixture Type and Density
The fixtures in this category comprise six glass shelves of 4x6 size. It has four pillars with black
and silver built-in rods around each pillar, for hanging clothes. These rods are fixed in a stooping
manner for waterfall displays. As soon as one enters the kids section, there is a semicircular
counter on the right side displaying stuffed toys and school bags. The counter also has packed
baby suits, along with stuffed toys. In front of the entrance, there is a baby cot on display. On the
left side, glass shelves display bright and colorful clothes. It has 4 baby mannequins displaying
clothes. At one extreme of the area there's a big open shelf for shoes. It has a small unorganized
back area as well, to keep additional stock. Next to the shoe shelf, there is a white wooden
window shelf containing different sizes of clothes and stuffed toys. There's a big black stand,
displaying a good range of socks as well.
LAYOUT FOR MEN AND WOMEN WEAR
1. Fixture type and density
Design of men’s area
In men's area there are around 4 gray and brown woodendisplay stands with silver
rods displaying formal pants. Mostof the casual pants are kept folded in white
built-in niches. For displaying shirts and kurtis, they have the same glassshelves,
as in kid's section, with silver rods to hang the clothes. Blazers are kept at a
deeper end of the floor,including ties and other accessories. A male mannequin is
kept with each shelf. There is a counter displaying leatherwallets, key chains,
belts and small leather accessories.
Design of women’s area
In women's area there are two long pillars covered withmirrors. It has a lot of
silver built-in rods round the corners of the walls displaying female eastern and
western clothes. Pants, nightdresses, and casual tops are again displayed inside
glass shelves, which are open from two sides. A lot of sales promotion has been
done in the outlet, with walls having posters of models displaying Insanes's
clothes. Two female mannequins are kept in female area, one displaying an
eastern outfit, and the other western. This floor has around 4 changing rooms, two
in male section and the other two in female
2. Semi-circular counter
This floor also has a
semicircular counter with Tshirts, pants and shirts
displayed in the counter
window. On the roof of the
counter, apart from having
glass pieces, it has small
hangings as well which are
directing customers to
different sub-sections. At one
end of the counter, a range of
shoes is also displayed. entice
the customers to buy them. This is mainly done to increase multiple purchases.
There are three main pillars with glass shelves attached to them, to display bed
covers. There are dining tables on display with crockery displayed on it.
3. Visual type and factors
This section has a lot of sunlight coming in due to the glass walls. Much of the
lights are yellow coordinating with the store strategy. It also has a semicircular
counter, with the same glass pieces on its roof and white lighting. This floor has
additional lightings of lamps, which are kept at different places.
LAYOUT FOR HOME FASHIONS
1. Merchandise Type and Density
This section has a very wide product range, ranging from bed sets, dinning tables,
center tables, arrange, amazing collection of bed linen, bathroom accessories,
crockery, lamps, home accessories, artificial plants, special decorative items,
candles, and flower arrangements
2. Fixture Type and Density
with all the related accessories like lamps and bed covers to entice the customers
to buy them. This is mainly done to increase multiple purchases. There are three
main pillars with glass shelves attached to them, to display bed covers. There are
dining tables on display with crockery displayed on it.
3. Employee Type and Density
The employees here are trained and have technical knowledge about the products.
The number of employees on this floor is around four but it changes depending on
the number of customers.
4. Visual Type and Factors
coordinating with the store strategy. It also has a semicircular counter, with the
same glass pieces on its roof and white lighting. This floor has additional lightings
of lamps, which are kept at different places.
5. Sound Type and Density: (1st, 2nd and 3rd floor)
They usually play trendy or rap music at a low bass, which sounds appealing. This
music can be heard in all the three levels of the outlet.
6. Odor Type and Density: (1st, 2nd, and 3rd floor)
It has a starchy scent in the apparel section. Overall, the outlet has a soft and
soothing fragrance.
SCHEDULING:
Scheduling is the process by which Insanes plan the use of time. By scheduling effectively,
Insanes can both reduce stress and maximize effectiveness.
Online scheduling is one of the best ways to capture more leads and provide better service to
your clients. Online scheduling software allows potential and existing clients to schedule a
consultation, an appointment or a service - instantly, on any device and with any staff member,
based on your up-to-date availability.
Insanes introduce short delivery time via online system in which products and brands transfer to
customers in minimum time period. Its set it strategy of delivery of product for minimum 2 days
in order to get the customer quick response and become its whole system effective and efficient.
HUMAN RESOURCE MANAGEMENT
The employees of The store insanes are categorized according to their work in the following
designations.
EMPLOYEES
Manager of
sale
department
Operational
Managers
Sale staff
Manager of
purchasing
department
Inventory
managing
personnels
IT
Professionals
Men and Women’s Wear
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The store insanes has a policy that it trains employees in all areas, so all the type of
employees in are educated and well trained.
training the employees behavioral
Training the employees to assist customer in more attractable way
Educated the employees to understand the mind set of every customer
Try to improve the communication level of employees
Try that employees also speak in English and easily understand
Kids Wear
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The employees at the children's floor are trained in their field and are very co-operative.
The employees in this section, try they easily handle the kids
The employees very well behaved with the kids and very deeply know the mind set of
kids
Home Fashion
The every employee are well trained and knowledge about product that they easily guide the
every customer about product. Employees not only guide about the product but also guide the
new fashion trends related to product.
All the employees in The store insanes are well trained and educated to deal with customers and
guiding them about products. They always remain active.
MAINTENANCE
OPERATING SYSTEMS
The information system used by The store insanes is named as "The store insanes ". The
Information system is present in all outlets in Pakistan and is linked with the main Head Office of
The store insanes in Faisalabad.
In maintenance there are three basic heads the
1. Daily transactions & processing
2. Techniques For Improvement
3. The socialy responsible activities that helps in bulding good social image of organization.
1. DAILY TRANSACTIONS AND PROCESSING
The daily transaction of The store insanes are recorded electornically in an operating system
known as 'point of sale' as explained under
a) Sales
All the information related to sales is stored in this section. The sales transaction of a
particular day can be retrieved easily.
b) Stock
Stocking holdings at the store are fed in this section. Merchandise related to each
category is listed in this particular section of the information system. The merchandise
is re-furnished on a day to day basis.
c) Returns
The returns are automatically debited from the stocks received and stored in a separate
section.
d) Attendance
The attendance of all the workers and employees are fed in this area which assists in
calculating working hours.
e) Customer loyalty cards
Customer Loyalty Cards are also offered by The store insanes. The membership
promises an array of benefits for the customers. As a member of prestige cards, the
customers are entitled to the following privileges:
1. The store insanec discount card offer on buy our products worth Rs.4000 than you will
get a free discount card.
2. 10% discount on all products at all outlets of The store insanes all over Pakistan.
3. Invitation to all The store insanes activities including musical events, fashion shows, food
and theatre festivals, art exhibitions and branch anniversaries.
4. Gift packed deliveries in any other The store insanes city on a 24 hour notice. Gifts can
be delivered to other cities on payment on courier charges.
5. Free Home Delivery on shopping of Rs. 5,000/6. The store insanes news letter.
7. Exclusive seasonal packages will be announced from time to time giving extra benefits to
the cardholders.
8. The member ship fee is Rs. 1,000 only (non-refundable, one time). The Annual/Renewal
Fee is Rs. 500 (payable in advance, non-refundable). Discount is valid on all promotional
activities.
9. Purchase our three products than get 50% discount on forth one.
2. TECHNIQUES FOR IMPROVEMENT
The The store insanes has implemented following Improvement Tools
•
New material handling system (Switch Track)
•
JIT introduce in every processing system
•
Introduction of full and semi automated sewing for small parts
•
A revamp of our current pressing facility with the introduction of vacuum pressing tables
•
CAD for pattern making, cloth utilization and cut makers
•
Automatic fabric spreading machines
•
Introduction of 'Servo Cutters' to increase accuracy of cutting-- Cutting
•
Digital employees efficiency control system--
•
Statistical quality control checks
3. CORPORATE SOCIAL RESPONSIBILITY
The store insanes perform the following corporate social responsibilities
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1.
Free medical checkup campus
Every Friday free food distribution to poor’s
Free book store for poor’s
Fashion shows for entertainment
Free schooling to employee’s child
Free Madrissa (education of Holy-Quran)
Free collective marriages for poor’s
A philanthropic Business Approach:
In the modern business proceeds socially sustainable business practices are the word of
the time. This sagacity is never only required to be grabbed at; instead its indisputable
and comprehensive articulation should be reflected in the strategic reservoir and
management attitude of an organization. The store insanes has materialized the very
notion of Corporate Social Responsibility by establishing a separate strand, The store
insanes foundation, so that the vitality of this corporate altruism would never be hindered
but buffered along by all means of the acquisitive business continuance.
2. Flood Campaign
It is The store insanes s desire to create campaign that allow consumers to badge their goodness
credentials:
1. They are doing charity work with the believe that giving is the new receiving.
2. They are fulfilling their desire for feeling virtuous as well as for looking good.
3. They just want making people feel good about spending money and want to be
associated with beauty of both object and behavior.
So, customers can express their “goodness” publicly and The store insanes will be
rewarded with loyalty.
SWOT ANALYSIS
• trendy cloths at less price
• financial backing
• 100% defect free products
• Quality assurance
• goodwill with customers
• Strong management
• diversified geographical
locations
• Always trying to meet the
changing demands
• Centralized decision making
• huge expenses on market
research
• Limited production for
certain items
• huge establishment expenses
•partial dependency
S
W
trength
eakness
T
hreat
• Un-predicted customer
response
• turnover of employees
• inflationery affect
• share in mature market
• international competition
O
ppo
rtunity
• Advance level staff training
• Online Retail and Ecommerce
is gaining large amount of
importance
• Young group of designers
PEST ANALYSIS
govt is chanrging
high sales tax
security
problem
s arise
Political
inter-province trade
sometimes create
problem due to
pollitical influence
politiacal
conditions are
very much
instable
trade and
tariff
restrictions are
increasing
high duty
payment on
international
trade
Inflation
rate is
instable.
Economic
Dollar exchange
rate is instable
Technological
incentives are not
available
markets
conditions
fluctuate fastly
innovations
are not
appreciated
Social
some cities are
having old mind
set
Pakistan
is
religious
country.
all type of classes
exists
Trendy cloth
may become
popular in big
cities only
Pakistan is
behind other
countries in
technology
low
innovati
-ons in
retailing
Technological
Electricity
generation is low,
on which
machines work
software houses
are very less in
number
Pakistan is
slow adopter
of technology
CONCLUSION:
Insanes is a brand which is offering fashions cloths as well as casual at high as well as affordable prices.It
is a multinational company.It is targeting men , women and children as well.Its processes are very much
efficient and it is also playiny its role for the society.It will be a successful company of Pakistan in the
coming next year.
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