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Final Project:
Awais Ahmad
M. Adeel Khan
Sabahat Abid
Najm-ul-Hasan
Ghulam Asghar
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Acknowledgements
With the blessings of Allah, we are able to present this report to Interwood Mobel PVT
LTD and COMSATS Institute of Information Technology. We wish to acknowledge our
parents and our teachers especially our instructor Mr. Tahir Aziz Khan for giving us such an
important project and for his efforts with us to complete our project by discussing with us our
Project Outline. We especially acknowledge our friends and members of group for their hard
work and knowledge & skills they provided for the work done. We want to thank our friend Mr.
Abdul-Rehman and Mr. Abdul Rauf, who referred us to the production house of Interwood
Mobel PVT LTD. We wish to thank Mr. Azher and Mr. Talib who guided us about the complete
production process adopted by the company and briefed us the process of manufacturing.
Lastly we want to thank the Labour involved in production who operated the equipment,
machines and plants just to show us the principle and process of plants and equipments..
The Syndicators:
Awais Ahmad
M. Adeel Khan
Ghulam Asghar
Sabahat Abid
Najm-ul-Hasan
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TABLE OF CONTENTS
Preface.............................................................................................................................................3
Acknowledgements........................................................................................................................4
Executive Summary.......................................................................................................................7
Introduction to the Company.......................................................................................................8
Company Profile............................................................................................................................9
The Challenge...............................................................................................................................11
Company Analysis.......................................................................................................................11
Goals..........................................................................................................................................11
Focus/Vision/Mission................................................................................................................11
Achievements.............................................................................................................................11
Production Process Analysis.......................................................................................................12
Process Activities / Departments...............................................................................................12
Flowchart of Major Steps in Process.........................................................................................13
Cause & Effect / Fishbone Diagram..........................................................................................13
Run Chart / Major Works Executed*.........................................................................................14
Opportunity Flow Diagram for one plant..................................................................................15
Blueprint Flowchart...................................................................................................................16
Issue Tree......................................................................................................................................17
Issues and Problems.....................................................................................................................18
Drawbacks in the Process adopted.............................................................................................18
Suggestions / Recommendations...............................................................................................20
Appendix/Annexure.....................................................................................................................21
Pictures.......................................................................................................................................21
................................................................................................................................................21
................................................................................................................................................21
................................................................................................................................................21
Achievements/Certifications......................................................................................................22
........................................................................................................................................................23
........................................................................................................................................................24
Bibliography/References.............................................................................................................25
Evidences......................................................................................................................................25
Concerned persons & Designations...........................................................................................25
Contact Numbers........................................................................................................................25
Email Address............................................................................................................................25
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Executive Summary
The project of designing a Market Plan for Interwood Mobel Private Limited, which is a
manufacturing business concern of furniture and wood items, includes the physical visit of the
company in order to collect the required information, as assigned by the COMSATS Institute of
Information Technology and Business Administration. The company has been doing
woodwork and manufacturing furniture since last three decades. During this period it has grown
from strength to strength. It has a share capital of sixty five million rupees. Furthermore,
substantial investments have been made both in machinery and personnel to achieve a better
quality product at an affordable price. It has worked on a lot of major projects like Dubai Palace,
LUMS University and Habib Bank Limited etc. The visit by Syndicators helped to gather the
necessary information for the analysis of Production Process by all members of the group. The
persons named Mr. Abdul Rouf, Mr. Azher and Mr. Talib working in Production Section
provided the information regarding the production process and let us visited to all departments
involved in their manufacturing. They helped us to understand the process activities at each and
every level of production and showed us each plant used by the company. They also helped us
to understand the challenges faced by the company. Furthermore, the labour also helped us by
showing the actual process performed by each plant by operating it. One thing should be noted
that the company has all production on digital and electronic equipment. The labour is just to
operate the equipment. Even for transferring a wooden item from one container to another,
there are lifters by which the items are transferred from one process to another. Lacquering
section was the most interesting where vapours of lacquer are absorbed by the plant so that the
labour can be protected from side effects of lacquer. Each plant has a specific speed of
processing; however, it can be adjusted if the fast production is required. There are conveyer
belts attached with each equipment and plant, the items are also transferred from one process
to another with the help of these belts. A product passes through various steps and lastly is
converted to finished goods inventory. Then the packaging section packs the product, and after
packing it is put into cartons and are transferred to warehouse or the showrooms for the
customers who did not ordered yet. When customers put the orders to get the desired products,
it is given to them or supplied to them by the vehicles owned by the company. The company has
a large number of customers including individuals and corporate bodies. The company has no
competitors within Pakistan yet. It is a Sales Tax and Income Tax Registered Company and the
status of this company is Private Limited Company. The nature of its business is that of
Manufacturers and Exporters. However, it also provides services in Pakistan. There are about
Nine Hundred persons employed by Interwood Mobel Private Limited. The strength of the
company includes that it is one and only company that manufactures the furniture of every kind,
whether it has luxurious or average type. The company has a great opportunity of growing its
business within Pakistan, till it will face its first competitor in Pakistan. The company has more
than one sectors of market, including local and foreign banks, hotels, embassies and business
houses. The products that it manufactures are wood floors, office furniture, doors, kitchens,
computer furniture, kitchen accessories, home furniture, school furniture, restaurant furniture,
interior design works, wardrobes, laminate floors and lamps. It gives eight years warranty to its
customers for the products it manufactures. Interwood Mobel Private Limited is also registered
under the ISO 9001:2000 certification (attached with this report) and has provided with a
certificate for that. It has also provided with registration certificate under BS 476 part II certificate
for Q-marks fire doors. The company provides a complete one window solution for the home
furniture items. The persons whom the members met, also has provided the video CD, in which
the process of manufacturing and finishing is shown in detail. The complete process of all
departments and the process of finishing the final products is shown in that video, which will be
presented in front of public of MBA, with the permission of the instructors. Interwood Mobel
Private Limited has a clear objective, goal and mission to give the best possible services to its
customers and clients. This company has a lot of benefits and opportunities to grow in Pakistan
as well as other foreign countries. The company serves its customers and clients to achieve a
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remarkable status in the world. Ultimately it is serving our country and making our country a
prosperous nation. We need such companies which are the resources of our country.
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Company Profile
Name of Company INTERWOOD MOBEL (PVT) LTD
Full Address 56-Sultan Mahmood Road, Shalimar Town
Lahore, Pakistan
Telephone No. +92-42-6549123
Fax No. +92-42-6549126
URL www.interwoodmobel.com
E-mail Address sales@interwoodmobel.com
Status Private Limited Company
Share Capital Rs. 65 million
Year of Establishment 1974
Income Tax Registration No. 1316337-0
Sales Tax Registration No. 03-10-9403-003-37
Bankers Allied Bank Ltd. (Corporate Branch), Lahore
Types of Activity Manufacturers/Exporters
Name of the Chamber of Commerce Lahore Chamber of Commerce & Industry
& Industry for which it is a member 11-Shahrah-e-Aiwan-e-Tijarat, Lahore, Pakistan
Membership No. 36177-A
ISO Certification ISO 9001-2000 Certified (evidence attached)
Product Range 1) Wood Floors
2) Office Furniture
3) Doors
4) Kitchens
5) Computer Furniture
6) Kitchen Accessories
7) Home Furniture
8) School Furniture
9) Restaurant Furniture
10) Interior Design Works
11) Wardrobes
12) Laminate Floors
13) Imported Kitchen Appliances
14) Lamps
Number of Employees 900
Name of Contact Persons A. Latif Malik
(General Manager)
Omar Farooq
(Production Director)
Khwaja Farooq
(General Manager Commercial)
Lahore Showroom:
Full Address 7-Babar Block, New Garden Town,
Lahroe-54669, Pakistan
UAN 111-203-203
Telephone No. +92-42-5832463
Fax No. +92-42-5838481
E-mail Address sales@interwoodmobel.com.pk
Name of the contact person Abdul Mustafa
(Sr. Manager Showroom)
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Karachi Showroom:
Full Address C-8-C, 26th St. Touheed Commercial Area,
Phase-V, D.H.A, Karachi, Pakistan
UAN 111-203-203
Telephone No. +92-21-58246314
Fax No. +92-21-5824316
E-mail Address sales@khi.interwoodmobel.com.pk
Name of the contact person Ali Farooq
(Director)
Islamabad Office:
Full Address House No. 454, Street No. 10,
Sector G-10/2, Islamabad, Pakistan.
UAN 111-203-203
Telephone No. +92-51-2538346
Fax No. +92-51-2100243
Cell No. +92-321-5152929
E-mail Address iwm-isb@iwm.com.pk
Name of the contact person Mrs. Saima Sayyad
(Manager)
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The Challenge
Interwood Mobel (PVT) LTD is the only company in Pakistan that produces all wooden
items such as wooden floor, office and home furniture and hotel furniture. The challenge faced
by the company is that of producing furniture for almost all kind of people and corporate bodies
and according to the needs of all businesses, offices and homes. Interwood has a solution for
marketing the new product, when it is introduced on the internet. Interwood has new and latest
plants for cutting, grinding and finishing the wooden items. It produces goods, which cannot be
manufactured by any other company, if any, producing the same products. The quality of
products introduced and launched by Interwood is unmatchable.
Company Analysis
Goals
The goal of Interwood Mobel (PVT) LTD is to give the customer best value for money.
Focus/Vision/Mission
Interwood Mobel (PVT) LTD strives to become a world-class manufacturer of furniture,
kitchens, doors etc. The company is committed to a constant improvement in the designs,
systems and quality of products. The earnest endeavor of Interwood is to upgrade the skill,
knowledge and standards of living of all employees to international standards.
Achievements
The Quality of the product introduced by Interwood is unmatchable with any Pakistani or
imported product. So, obviously the Unmatchable Quality of the product is a bonus for the
customers of Interwood.
The company has an ISO certification. It is the ISO 9001:2000 certified company. The
evidence of the ISO certification is attached herewith in appendix. It is also rewarded a trada
certification for Q-Mark fire doors which is also attached.
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Production Process Analysis
Process Activities / Departments
The company has 11 departments each doing a separate job. The step by step production is
done through these departments and at last, the finished goods are formed. The following
diagram shows the flowchart of Interwood Mobel PVT LTD.
Cutting, plaining, pressing, lipping, boring, routing, dowelling, profiling and sanding
of wood and board materials on 21st century German & Italian CNC machines &
tools.
Application of long life, non-fading imported Italian stains, lacquers, paints etc. in
dust free environment & spraying booths with automatic controls. Recently they
have added latest automatic CEFLA finishing line imported from Italy.
Fabrication of metal parts i.e. cutting, welding, bending, milling, turning and
hydraulic pressing on most modern machines.
Upholstery of sofas, chairs with best quality foam, fabric, leather / leatherite with
pneumatic staple guns.
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Proper packing of each product. Palleting of heavy products. Crating of fragile
items.
Machine People
Cause Effect
Analysis Complex
Process
Low More
Flexibility Scrap
More Process Cost High High Cost
Strict Quality Turnover of material
Control More Plants More
Production Quality
Automated Systems Imported Material
Methods Materials
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Run Chart / Major Works Executed*
70
60
50
(MILLION)
* This graph shows the major works executed by the company; The graph included the supplies
made to both individual and corporate. Green line shows the supplies to corporate abroad,
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Magenta shows the sales to individuals within Pakistan and Grey shows the sales to Corporate in
Pakistan.
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Opportunity Flow Diagram for one plant
Value
Added
Steps Yes
Take Plant
Wood in
Wait
Item Use?
No
Wor Check /
No No
k-ing Repair
well?
Yes
Put Wood
&
set/adjust
Push
Button on
Plant
Take
s Yes Adjust
Time Speed
?
No
Forwar Remove
d to
Wood
next
plant Item
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Blueprint Flowchart
Inventor
y (Start
Pro-
Show- Ware-
ductioin)
room house Package
Carp- Power
Design Saw Mill Season Machine entry Polish Metal Coat Upholster
Issue Tree
More Production
More Customers
Complex
Production High Sales Bulk Orders
Process
Corporate Clients
Imported Material
1. A few plants found stopped during production and their processing was transferred to
alternate plants. Upon asking how much time is required to repair a plant, the concerned
person informed that about 4 to 5 days are required to repair it. Syndicators noted the
point and decided to include it in drawbacks. If the plants were working, then the work
was running on both the alternate and existing plant. It is clear that these stopped plants
may stop the production or the production may take more time as compared to the
standard time required. The stopped plant showed that the repair service of plants is not
in healthy condition and was not appreciable.
2. It was also noted that as the departments are at more length from each other, the
transfer of items from one department to another may take more time. The area of
production house is so much wide that it takes more time to take items from one plant to
another even in the presence of conveyer belts. Furthermore, the adjusting of items at
each plant takes longer period of time. The conveyer belts are not attached with each
other so it takes time to set the item at each and every plant.
3. Since there is very fast production, still it needs to make production faster. The plants
are not joined with one another through conveyer belts, therefore, production is taking a
lot of time wastage. This may affect the Just In Time (JIT) production.
4. Scrap and wastages are not properly managed and there is no proper system to
reduce the scrap. A few of scrap is used in various other works, but the remaining is
sold.
5. Less labor is working in production unit. As a result, the company is not contributing
so much in reducing the unemployment rate from the country.
6. The strict quality control is beneficial for the company in one hand, but to the other, it
does not allow to introduce flexibility in the production process. The process must be
flexible enough so that the production will not stop even in environmental and climate
changes.
7. High turnover, more equipment, high machinery cost and advanced technology
makes the production process complicated and also difficult to manage. However on the
other hand, it reduces the labor cost.
8. The public does not even know the name of the company. Upon asking, the
concerned person replied that majority of our people are middle class group. So they
prefer to buy the furniture from other small local shops and cannot afford the prices of
our company. The company has high prices because it cannot compromise on quality.
High quality standards and 8 year warranty requires high price range. Therefore middle
class does not prefer to buy from them. However, Elite Class people purchase the
products of Interwood with great interest.
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9. After the goods are converted into finished, their handling is manual after packaging.
The finished goods items also contain some sensitive ones, like glass items (glass
doors, glass windows etc.). Their manual handling is not suitable and not appraisable.
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Suggestions / Recommendations
Syndicators group, after visiting of the production unit of Interwood and informing about
the problems resulting during the processing now makes some suggestions and
recommendations for the company.
1. Although the whole production is on plants and automated systems, still there is a
need to improve the process by continuously and regularly check and maintenance over
the plants. The plants should be examined carefully before starting the production
everyday. Furthermore, competent people should be hired to repair the plants who can
repair the plants by taking less time. In this way, most of the time wasted can be
minimized.
2. Conveyer belts should be attached to one another so that adjusting of items at each
plant can be prevented. The plants should be installed in such hierarchy so that the
items can move automatically from one plant to another. This will help to achieve JIT
(Just In Time) Production.
3. The scrap which is sold out, should be used in other useful works. This scrap can be
recycled and used again and again for many more useful work.
4. Competent people should be hired for running and maintenance of plants, so that the
company can contribute in employment activities at nation’s level.
5. The company should prepare a system for abrupt change in climate condition or
environmental changes. New plants should be owned with the increasing technological
changes.
6. The marketing department should work hard for the promotion campaigns so that
such a large business will be introduced to a huge population that does not know the
company’s identity.
7. Like other plants and automated systems, the handling of finished goods after their
packaging must also have the automatic system so that the loss can be prevented at its
maximum level. Manual handling does not leave a good impression after such a huge
automated systems.
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Appendix/Annexure
Pictures
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Achievements/Certifications
22
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Bibliography/References
The followings are the reference material, from where the information is collected:
1. Production Process - Physical Visit by Syndicators
2. Company Introduction, Run Chart - Company Profile (Privided by the company)
3. Process Stages, Achievements/Certifications - Compnay URL:
(www.interwoodmobel.com)
4. Production Process - Video CD (Provided by the company)
Evidences
Concerned persons & Designations
1. Mr. Anwar Bhatti (Production Manager)
Contact Numbers
1. Mr. Abdul Rouf +92-323-8453028
Email Address
m.ali@iwm.com.pk
abdul.rehman19@yahoo.com
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