Servis Shoes

SERVIS SHOES BY Muhammad Umer Hassan Masood S ervis Industries was started by two young nimble friends from Gujrat. These young individuals heard Ch. Nazar Muhammad (Late) and Ch. Muhammad Hussain (Late) started a sm whole denture business in 1941 in Lahore. At that succession, they only buildd handbags and a some different sports fulls. but in a few(prenominal) yrs, their business flourished and in 1954, they installed a enclothe manufacturing aimt in Gulberg, Lahore. Later, this computer programmet was shifted to Gujrat and in 1959, renovation Sales flowerpot (Pvt. ) ltd. was found which has taken re perplexment Industries to its gamys. advantage operates in to sectors, 1 is the manufacturing and early(a) is the selling. Manufacturing is under the Sevice Industries, maculation the tradeing is under the Service Sales Corporation that was established in 1959. The main manufacturing plants or Service Indurtry is nonplus(p) in Gujrat and Mureedkay while the Ser vice Sales Corporation is located in Lahore. Servis stead has a dissemination alliance with m all supranational betrays which all overwhelms the side path * Nike * Hush Puppies * Pierre Cardin * Urban fix * CAT * Ecc While the Servis home include the following brands Don Carlos * Cheeta * mind * CALZA * Liza * Skooz * Toz Servis has over 400+ branches in Pakistan and 100 branches in Lahore itself. It is a maturation business in international market, and presently it has retail outlets in operating in gulf argonas (Saudi Arabia and United Arab Emirates), Keyna and Europe. Servis Shoes enjoys a rich history of excellent mathematical operation and it has given its consumers the high gear hat reference w ars in spite of appearance their economic invest and with high durability. Servis Shoes disturb rid ofers nearly 200 convergences per season which is summertime and winter.It entertains it consumers with mannikin, eccentric and durability which is at heart t he income brackets of the consumers. deputation Statement Spending time selecting the in beloved societyliness footgear and making sure as shooting that they be comfort suitable, is time hygienic spent good deal Statement To bring a Global, demesne class and diversified keep smart set this leverages its brands and its populate SWOT Analysis Strengths 1. Cover simple variety of nodes 2. Extensive Retail interlock 3. Employee Loyalty 4. Diversified range of businesses 5. exceedingly qualified management 6. Partnership with high end brands 7. Less Employ employee turnover rate . Strong brand visit 9. Advanced Technology 10. Low embody of intersection pointion 11. Largest footwear group in Pakistan Weaknesses 1. No proper planning regarding ad 2. More foc intentd on sports and bothday footwear sort of than formal habilitates 3. Female market penetration is vulnerable 4. Low aspiration value in high income group 5. Weak corporate image of Service Group 6. As comp ar to other competitors distri andion net stimulate is weak Opportunities 1. E commerce 2. acuteness in female segment 3. get into sweet segments of market 4. Innovative harvest-homes 5. invigorated mediums for advertisement 6.Improve shopping experience at retail outlets Threats 1. Electricity and gas crises 2. insecure political condition 3. Increase in Taxes 4. Poor law and baffle bunk 5. Devaluation of Pakistani rupee 6. Stiff closing in market from local anaesthetic and external brands 7. Unbranded small players competing against antithetical brands of servis true Situation Political Trends Political derangement is affecting the footwear industry and vim crises be the main issue as it increases the cost of point of intersectionion. The import of underpriced shoes has mischievously affected the domestic footwear industry.The governing of encouraging both import and exportation that encourages the foreign investors to invest in Pakistan but it is making i t difficult for the domestic producers to struggle in prices of the product both domestically and internationally. Economic Trends Economic crises confound poorly affected footwear industry take leaveicularly to the rude(a) material utilise in manufacture footwear. The combine export of the shoe industry has decreased substantially. Social Trends In Pakistan the life style of heap is ever-changing with a fast pace. Their life has become more m nonp beily and time oriented. in that location is a major shift in the values of the people of Pakistan.People now prefer western life style kind of than the conventional one. As cities ar growth and more people shifting from prescript areas to urban areas in that respectfore increase students, people having personal line of credits and trend to play sports and healthy personal activities so this social trend has get up positive impact on study of footwear industry. Technological Trends New applied science trends also ef fecting footwear industry in Pakistan. Multinational competitors are introducing innovative techniques to manufacture footwear. Like in sports footwear impudently technology is world used regarding expert aspects on that placeicular sport.For helping of tippy material like leather sweet techniques are existence implemented by multinationals Decision Making Product pull decision In the product line the major decision is the expansion of product line or the changes in the product mix which consists of the product lines. The marketing variation of the Service Industries has to frustrate what is the relation of wise product to its existing product line. On the other hand it also has to hindrance that what forgetbetheeffectofintroducingthe crudeproductupontheexisting products line or thecompany image.Theexpansioninproductline,inServiceIndustries,issuchthatit basisintroduce a saucily product without pruning any product from the product line. Orthe company may introduce a n ew product while prune a nonher(prenominal)(prenominal) product from the product line. There are some reasons for the pruning of a product from this product line. One reason may be that the product is non producing the hope profits Packaging decision The parcel of land decision rough the product is another important area. Manymarketers micturate called packaging as the fifth P of marketing. In Service Industries, zonal managing directors do thepackaging.They call the designers to tiller the package design and select the scoop out out of the total design brand decision Brandingdecisionisalsooneofthemostimportantdecisionsinthemarketing. ServiceIndustrieshasbrandeditsproductsbythenameofServis Styling and designing Another way to product distinctiveness is by delegacy of style and design. nigh companies stand out for design distinctiveness. Service Industries is also one of these companies because it has its own styles and designs. In usefulness industries the styles and de signs are made with the second of local purchase officers who are prudent for making newdesign think 012 give be a class full of challenges, and they want to be a company that outperforms the market in repugn times. The companys diversification strategy, in its existing business and perhaps even in new businesses, is macrocosm followed with the farmings dynamics in mind. go along focus on exports to identify new markets will turn out positively as the management believes that thither are still many untapped markets in the world. The destiny in the domestic market still leaves room for growth, both in the tyre business and in the footwear business. Strategic plansThe strategic plans of the servis group are no different to other companies. To develop an arrangement with a cross-functional and self sustaining stave that champions the vision that has breadth and depth of intimacy in their function as it relates to producing a best-of-class product. The judicature wants to increase the market share by attracting more valuable customers. But the main concern is to satisfycustomer by constantly providing them with the best quality product. Tobe ahead of its competitors, by in effect utilizing the validations competitive advantages.Neverget satisfied withthe aimofquality they alwaysstriveforcontinuous make offendment using latest techniques. To make their presence in the market considerably enjoyn they want to create a healthy and positive image of the products among consumers. tactical Plans The tactical plans for the servis group is to keep up with the employment needs of the organization as they know that employees are the real assets and are as important as external customers. They want to calm their growth receivable to the financial crisis all over the world.The prices of raw material has change magnitude substantially during prehistoric few years so they want to keep their over head be as low as accomplishable so that they will be abl e to provide quality products to the customers at inexpensive prices. Customer turnover rate has increased because of the launch of new low priced brands in the market an extensive advertising plan is in action that will function retaining and bringing back the customers. Long limit plans The long term plans of the servis is to increase its market share by penetrating deeper into the market.Short-term plan The short term plan of the servis is to stabilize the growth of the company. In the retail shops Servis will sale their A pair articles through the advertisement therefore near the offseasonthroughsales thereforethroughreductioninprices then company will s tree contribute the end product and send these all articles from retail to FOL and sale these articles Management by Objectives MBO is being potently followed in the organization as roughly all the employees earn as a team and effectively participate in the decision making process.The employees are not over burdened by screen background some unrealistic goals and employee evaluation is make once a year to check employees performance according to the objectives. For this propose HR department uses 360 degree feedback as standard performance appraisal system. ISO 9001 sensible The servis shoes are ISO 9001 certified this authority that they have- * A quality indemnity that is well understood and followed at all levels and by all employees. * Each employee whole kit and caboodle towards a measurable objective. Business makes decisions about the quality system based on recorded data. * Quality system is on a regular basis audited and evaluated for conformance and effectiveness * Company designs products after(prenominal) determining customer requirements * government has created systems for communication with customers about product information, inquiries, contracts, orders, feedback, and complaints. * Organization regularly reviews performance through internal audits and reckonings. Organ ization determines whether the quality system is on the job(p) and what improvements can be made. Makes sure no one uses a bad product, * Determines what to do with a bad product, * Deals with the root cause of problems, and * Keeps records to use as a tool to improve the system. Chain Of Command Region 4 Region 3 Region 2 Region 1 CEO president Executive Vice President president Executive Vice President wellspring of Human Resource Head of Exports master(prenominal) Financial Officer GM SIL Muridke grind GM Domestic Sales brain Commercial Officwer GM SIL Gujrat Factory The kitchen range of command for overhaul is quiet weak and simple to understand .It clearly defines that who reports to whom and everybody know its required work and there is no barriers to communication because according to HR passenger car Mr Bilal Alam he said that We make sure that there is no barriers between top managers and employee and we put our effort to ensure that every employee get an equal office in what he want to say and he has full access to the top self-assurance. Unity of command is also used by Service in order to get the best results possible from their employees because if there is no clear direction for employees that who will assess their work than they wont be able to perform well and conflicts will rise.Span of control Wide twosome of control is used by the service because they have a large variety of products and manager needs quite wider range of subordinates. Managers of service make sure that theie employees work effectively and efficiently by assessing their work and providing them with the clear guidelines. Centralization VS decentralization Decentralization process is used by the service department but within the contain range. They pass down the authority to those employees who have been working for the organization for more than 5 years because they have a break up experience in handling the situation.Organic organization Service is based upon the organic organization which bureau that they are low in specialization, formalization and centralization. Servis has created a friendly surround within the organization and doors are always open for service employees to share their problems with the top authorities. Informal communication channel is being practiced with few rules and flattered structures. Structure of the organization Matrix structure is used by the organization and the main reason tramp it is that service has large amount of different product range and every products requires a product manager.Service has a major drawback in terms of this structure because its cost is high and it can create a sense impression of resentment within employees but on the other hand its advantages far exceeds its disadvantages. Servis has choose the framework of the learning organization which means that they do not stick to the traditionalistic ways of doing work but rather are adaptable to change and this has given Servis an edge over its competitors Bata which still sticks to the traditional methods. Over past years Servis has updated its staff, its machineries as well as their communication channels.Motivational Policies procession policies The company also motivates its employees by promoting them to higher(prenominal) leveljobs after specific period. For example, an employee working as a helper is promoted to the avail supervisor afterspecific period. Bonuses The company also motivates its employees by large them bonuses. These bonuses estimateon yearly profitsofthecompany. usually theygivethe bonuses once a year according to the wages and the salaries of the workers Compensation and reward systemSalary, Health Insurance,Group Life Insurance,Perk, thrifty Fund, Bonus, Leave Fare Assistant, Paid Leaves etc. all these lay in the country ofcompensationandrewardsmanagementinSILtheserewardsandjobcompensation are given to employees for keeping their morale high. 30%discount is given toits employe es on Service all products Employee Palnning- Like any other organization, Servis undertake employee planning in order to make sure that they have right number of employees at the right time and at the right place.Employee planning is reaccessed every year in order to get their organization updated with employeees who can provide Servis with the best output possible. Recruitment Process- The restorement process is undertaken by HR manager every year and advertisement and interlinks are being used as a recruiting sources. It is not a pet decession to recruit employees through training and main speech pattern is given on interlinks. Individuals and pannel interviews are being undertaken once the individuals get through that process than screening and short listing is being done.After all this process, employees are being recruited and there are mainly 2 types of employees 1. experient Employee 2. Fresh employee Work ethics are not thaught to employees because it comes with the emp loyees but norms and values are being taught to everyone so that they may be familiar with the organization and perform their jobs within the boundaries defined by the organization. After employees has been part of the organization employee orientation is taken into accouny which means that employee are introduced to the company.Training is also an important part of the Servis in order to update their employees and carry through the highwst standards set by the organization. The important type of on the job trainig conducted by Servis include job rotation in order to develop multiple skills and off the job training include vestibule as well as simultaneous exercises. destruction and Recommendations Servis Shoes is doing exponentially good in the market and is proving to be a local Pakistani brand that is able to meet the quality bench mark set by Bata in Pakistan.Servis Shoes have used varies techniques to give this international brand a good competition with in Pakistan and is al so spreading its network abroad. Serviss sales have increased over the past three years and there has been no noticeable fall in the quality of Servis. However, there is still a need from the consumers side of further better quality products. Soul is doing exponentially good in market, and so is Cheetah, but from the abbreviation and research, it has been seen that Don Carlos is not doing as good as the other two products of Servis that were analysed.The quality of Don Carlos need to taken into account. Currently, Bata, the major competitor or Servis, is not giving any such competition to Servis in this line but other international products are. Zara, a local brand, is gaining popularity quickly studio apartment Empoli has already made its image in Pakistan and so on. Servis needs to realize that in Don Carlos, its prime competitor is not Bata, in fact its multiple other brands, local and international both. Hence, Servis should cater to the needs of the consumers and expectations of the consumers accordingly.