Assignment on

Total quality management

Survey to:

Mitchell’s farms and factory

Submitted to:

Sir Liaqat Javaid

Submitted by:

Mujahid Iqbal

RBE-09-35

BBA (HONS) EVE

SUMMERY

Mitchell’s is the oldest food company in Pakistan. Its product market is Squash market, Preserves market,

Pickle market, Sauces and tomato ketchup market Confectioneries market

Mitchell’s tries its level best to pursue their goals in 3-4years. Mostly management decision fit with company’s vision and mission.

There is a proper system to communicate the vision to the employees and management try to translate its vision into clear picture to their employees.

The basic purpose of each company is to gain maximum profit and to position a good name in the mind of the customers andeach company adopt different strategies Mitchell’s basicallyfocus on quality create a good network with their suppliers and foster their employees for innovative ideas.

If any employee does mistake or creates problem Mitchell’s management seeks new opportunities from it.

Mitchell’s management support Initiators who behave like entrepreneurs on behalf of the company and effective initiators are also rewarded.

Mitchell’s frequently uses the cross functional team and project team when require. And management gives freedom to make decision and act on them without to ask for permission whenthe team leader is efficient and experienced.

There is properly quality department which assure quality and control quality.

To maintain its quality Mitchell’s import some raw material from outside of the country

For satisfying their existing and potentially Customers theycontinuously work on quality product development process

improvement positive supplier relationship employee’s involvement distribution channels and adopt new changes related to promotion strategy price strategy technology.

Mitchell’s management also focuses on future trends and modifies them according to the current trend.

Mitchell’s work for welfare and perform corporate social responsibilities.

ORGANIZATION NAME: Mitchell’s farms and factory

ADDRESS: Renala Khurd, District Okara, Pakistan.

CITY: Renala Khurd

PERSON WHO INTERVEIWED:

NAME: Umair Javaid

DESIGNATION: Quality assurance manager

CONTACT NO: 044-2622908

INDUSTRY: food and beverages

AGE OF ORGANIZATION: since 1933

NO. OF EMPLOYESS: 250+(168 permanent in production department)

RELATIVE POSITION: (SMALL/MEDIUM/LARGE): medium

AVERAGE SALE: 183975721 Rs

PRODUCTS: Confectionery & chocolates

MARKETS: Squash market, Preserves market, Pickle market, Sauces and tomato ketchup market Confectioneries marketTarget market: children families & young people

Introduction of Mitchell's

Mitchell’s is the oldest food company in Pakistan. It was established in 1933 by Francis J. Mitchell under the name of Indian Mildura Fruit Farms Ltd. After the country gained independence in 1947, the company's name was changed to "MITCHELL’S Fruit Farms Ltd." with the brand name of "MITCHELL’S". 

Since its inception, Mitchell’s has gone from strength to strength, not only expanding its product line but also maintaining quality through the years to become one of the largest food companies in the country. From the procurement of best quality raw materials, fresh from our own farms and orchardsto the adoption of latest production techniques, Mitchell’s has been in sync with the evolving times. 

The result of our efforts is that today we are among the market leaders in all our product categories. Not only that, but our products are also gaining a market abroad with exports to severalparts of the world including UK, USA, Canada, the Middle-East andSouth-West Asia where already Mitchell’s is a name to reckon with.

VISION AND MISSION STATEMENT

1. To be a leader in the markets we serve by providing quality products to our consumers while learning from their feedback to set even higher standards.

2. To be a company that continuously enhances its superior technological skills to remain internationally competitive in this day and age of increasing challenges.

3. To be a company that attracts and retains competent people by creating a culture that fosters innovation, promotes individual growth and rewards initiative and performance.

4. To be a company which optimally combines its people, technology, and management? Systems and market opportunities to achieve profitable growth while providing fair returns to its shareholders.

5. To be a company that endeavors to set the highest standards incorporate ethics.

6. To be a company that fulfills its social responsibility.

Aim of Mitchell’s

It is our aim at Mitchell's to provide you with healthy, innovative and best quality food that will tempt your appetite atall times. Above all, we also promise convenience & variety at affordable prices

Products of Mitchell’s

With different categories encompassing over 140 products, we are proud to present the Mitchell's family - products to grace your dining table on the breakfast and dinner occasions as well as products to appease your sweet tooth

Product category

Squash products Pickle products

Sauces and tomato ketchup products Confectioneries products Chocolates products Preserves products

PRODUCT DEVELOPMENTThe success of Mitchell’s products, the taste that has beenwinning consumers’ hearts for generations, is the result of thecompany’s ongoing investment in, and emphasis on, quality controlreinforce by research and development. Both sections closelycoordinate with the marketing and exports office in Lahore, whereproduct concepts are initiated and passed on to the R & D sectionfor formulation.Following are the stages that are involved in the productdevelopment in the company.

   Design and development planning

   Organizational and technical interfaces    Design input    Design output    Design review    Design verification    Design validation    Design changes

All these stages of product development are performed under thesupervision of a product development penal.

Some Products

Fruit PunchExtending its existing product line of Fruit Drinks, Mitchell's has introduced an irresistible combination of Fruits in a drink as Mitchell's Fruit Punch. So, now can enjoy the taste of not only one but many fruits in a single drink.

   Fruitica Orange (Instant Drink)Keeping in view the increasing demand of powdered drinks, Mitchell's has launched its powder instant drinks range in 25gm Sachets. The ideal thirst quenchers will be available in Orange flavor.

  

Fruitica Lime (Instant Drink)

Keeping in view the increasing demand of powdered drinks, Mitchell's has launched its powder instant drinks range in 25gm Sachets. The ideal thirst quenchers will be available in Lime flavor.

   

Yum! Ketchup Stand-up Pouch (500g)Mitchell's has launched its existingYum! Ketchup in 500g stand-up pouch for the convenience and economy of its consumers.

 

 Top Milk Fruit & NutA superb combination of Fruit & Nutswith Milk Chocolate to indulge your sweet-tooth.

 

 Luxuree 30g

Enjoy a taste of the exotic tropical! Luxuree is a wonderful treat consisting of a pure, white coconut core wrapped in rich, milky smooth chocolate. And 8g luxuree will also be provided

  

Golden Mist Marmalade JuniorMitchell's has launched its classic preserves in smaller packaging, i.e., 200g Jars, so that you can enjoy more flavors in lower price.

 

 Hot & Sweet Sauce

Synthetic White Vinegar

 

In addition to its pure Fruit Vinegar, Mitchell's is also launching Synthetic White Vinegar, which can be taken with soups and garnishing of salads. Moreover, it can be used from being a food enhancer or condiment, to meat tenderizer and natural food preservative.

 

 

Jaam-e-HayatKeeping in view the growing demand of Red Syrups, Mitchell's has launched New Red Syrup in 810ml and 1.5Litres Pet Bottles. Be ready to taste the refreshing experience.

 

 AnniversaryTo commemorate the company's Platinum Jubilee, we take great pride in the launch of Anniversary- a delectable selection of chocolates especially created for the discerning consumer - as our way of saying "Thank You" to our loyal clientele for their support and patronage spanning three generations.

   

Spinach PureeSpinach Puree is made from the freshest spinach leaves and packed in tin can. Open the can to cook andprepare a delicious meal with eithervegetables like Potatoes, or with meat. You just need to add spices and oil to cook. It can be eaten with Bread, Paratha or Rice.

Spinach Puree is packed in 800gms cans for the pure convenience of consumers.

 

 

PRICING STATEGY:Different pricing strategies are used for different products atdifferent time.  Normally, the strategy makers use premium-pricing strategy.The reasons of adopting this strategy are

   Very good repute and image of the company    Best high quality of the products.    Mitchell’s target elite class of the total food

market

PROMOTION STATEGY:Promotion is the essential part of marketing mix of any company.Promotion is given very much importance in the MITCHELL’S FruitFarms Limited. Sales promotion is of two types. Trade promotion  Consumer promotion

TRADE PROMOTIONIt includes the promotion activities that are related with themember of distribution manager. This is basically for thedistributors and retailers for boosting up the company’s sales.For example if one retailer purchases one dozen of any particularproduct, then one will be free of cost for him.

CONSUMER PROMOTION

It includes advertisement through Print media Electronic media

SUPPLIER RELATIONSHIPAs the MITCHELL’S Fruit Farms Limited is the manufacturingconcern so the quality of input items should be very consistentand high class. The importance of this assumption is increased incase of food items because of the high degree of consciousness ofthe customers.The management of the company is well aware of this fact. Sothere is a criteria for the selection of the suppliers of thecompany’s raw material. When the commercial department selects asupplier he brings into account the following factors.

   Past performance   Quality management system   Market reputation   Approval of samples from quality control department

COUNTRIES WHERE MITCHELL’S MAKE IMPORTS         Following are the major countries from where Mitchell’simports the material for the production of quality products. 

1.      Malaysia

2.      Singapore3.      Indonesia4.      England5.      Philippine6.      China7.      Germany

MAJOR RAW MATERIAL OF MITCHELL’S THAT COMPANY IMPORT

Cocoa butter Cocoa powder Hpk oil (hydrogenated palm kernels) Metal caps Tins Plant and machinery Pectin Lemon concentrate

Pineapple concentrate

ReasonThere are some reasons for the importing of raw material from theabroad. These are include

   Low quality of domestic products   Low prices of products in the foreign markets   Non-availability of some input items in the country  

  Better after sales services of the foreign products

MAJOR FOREIGN SUPPLIERS OF MITCHELL'S The company does its business with these partners on regular

bases

Cargill palm products Kempas edible oil sendirian berhad National engineering and packaging company Largo international limited M/s hueck folien and company Aromatic aktiebolag company Danisco cuttor Moestro swiss cocoa

Locally Purchased Raw MaterialThe following are the major items that MITCHELL’S Fruit FarmsLimited purchase from the domestic market. Raw material includes spices, tomatoes, fruits, vegetables,

colors and flavors. Packaging material Different types of chemical because of their low quantity are

purchased from the domestic market Some engineering items

Local Supplier Of Mitchell’s Packages Pvt Ltd

Printech Glass industry Flavors maker companies

EMPLOYEES INVOLVEMENT:

Training of the EmployeesThe professional management and skilled labor force is consideredas the asset of the company; so MITCHELL’S Fruit Farms Limitedtake it very serious for the betterment of employees skills andexpertise.The company sent the management people in the foreign countriesfor attending various seminars, workshop and refresher courses.The company in different hotels for updating also holds theseminars on different topics the professionalism of theexecutives. Apart from these seminars, the executives also takepart in the different course that are offered in all over thecountry on various informative topics like informationtechnology, quality control systems and new production methodsand techniques.

Salaries and Benefits

Salaries and incentive packages of the company is veryattractive.  All head of departments are given automobiles andmobiles by the company at its expenses. The salary package of thehead of departments is also not less than sixty thousand. Theexecutives of the company have the medical facilities andaccommodation facilities .The salaries of clerical staff are alsonot merely less than seven thousand. 

Bonuses and after Retirement Benefits

In Mitchell’s during a year minimum three bonuses are given toemployees at each level.  and extra bonuses as reward of goodperformance are also given according to the performance ofemployees and executives.  Special increments are also given tothe employees for performance appraisal of theemployees. Mitchell’s not only reward the employees duringservices but also take care of their ex employees after theirretirement.  There is a rule in the company that the employeewill retire at the age of 58.  at the time of retirement, theemployees get handsome gratuity and life time pension.

Communication with in the CompanyCompany considers their employees as an important asset. There isdecentralized structure in the organization. Normally, the E-mailis used for the communication within the company. Mitchell’s hasits own Email-based website. The hard copies of these mails arefiled for the future references. Other modes of communication aretelephone, courier service and fax.

MAJOR EXPORTING COUNTRIESThe major exporting countries of the company are Canada, Saudi Arabia, Afghanistan, Gulf States, UAE, Hong Kong, Singapore, USA and UK. The major exports that are exported are sauces, pickles, jams, jellies and marmalades.

COMPETITORS OF MITCHELL’S FRUIT FARMS LIMITED

Squash MarketIn squash market, following are the main market players who are competing Mitchell’s.

   Shezan   Tops   Kinza   Sundip

Preserves MarketPreserves include the jams, jellies and marmalades.In this market, following companies are competing Mitchell's successfully.

   Shezan   Salman’s   Ahmad   Rafhan   National

Pickle MarketIn the pickle market of the country, Mitchell's is competing the following food companies.

   Shezan   National   Shangrilla   Ahmad

Sauces And Tomato Ketchup MarketIn the market of sauces and tomato ketchup, following are the major companies who are competing Mitchell's.

   Shezan   Ahmad   Knorr   Rafhan   National

Confectioneries MarketIn the confectioneries market, Mitchell’s is competing the following companies.

   Candy land   Mayfair   Hilal   Kidco   Nestle

Recent achievements Internationally win consumer’s confidence Automation of toffee-making process Molded-line chocolates plant Iso 9001 accreditation

SWOT ANALYSISSTRENGTHS

Mitchell’s fruit farm limited is the oldest foodprocessing company of Pakistan.  The company wasincorporated in 1933.   This is a distinctive featureof the company because all other food-processingcompanies start their operations at least after theindependence of Pakistan.

QUALITY CONTROL DEPARTMENTQuality control department is the major strength of Mitchell’s. Along with R&D, the quality control section ensures that all products live up to the consumers’ high expectations. From the selection of the finest varieties of fruit, to processing and packaging, quality control plays a key role in keepinga vigilant and unrelenting eye on every step of the process. The quality controls staff, with a main up to-date laboratory, two line-control labs for the groceries and sugar confectionery divisions, an microbiology lab and an incubation lab, ensures that there is no deficiency in quality standards during production.

In 1998, Mitchell’s achieve another destination: ISO9001 certification, and at no better time than thesuccessful completion of sixty-five years of bringingquality products to the consumers.  It is a matter ofhuman pride that the Mitchell’s has become the firstfood company in Pakistan to achieve this prestigiousdistinction.

Today, in Pakistan, Mitchell’s is the only majorcompany with fully- integrated operations having itsown growing and processing facilities at onelocation.  Modern, high-volume industrial equipment,professional management and a trained workforce ensurethat Mitchell’s maintained its lead.

WEAKNESSES

 The promotion mix of the company and advertisementprograms is not very good.  It is justifiable to saythat company is not so much serious in promoting itsbrands.  The company only enjoying the good repute ofthe brand name Mitchell’s.

 There is lack of short term and long-term decision-making regarding production schedules, purchasingdecisions and marketing programs.

  As we know that there is severe competition in thefood industry, but still the availability of Mitchell’sproducts is very poor.

OPPORTUNITIES

Increasing proportion of working women, school goingchildren and office going men increase the size oftarget market of the food industry.  These factorscause growing demand of jams, jellies, marmalades,sugar free products and canned vegetables and juicesopen a wide window of opportunities for MITCHELL’SFruit Farms Limited.

 As the rural populations of the country tend tomigrate to cities for multiple purposes, for this trendenhanced the market size for the food processingcompanies.  It is also an opportunity for the

MITCHELL’S Fruit Farms Limited to avail thisopportunity and get benefits from this growing market.

Now people are much conscious about their health and

fitness as before the past. They have tendency to use

the foods that are nutritious and best for their

health. So this market trend is also creating new

horizons for the food processing companies.

THREATS The competition in the food processing industry is much

severe than the past. Now the many national companiesare joining hands with multi-national corporations foradditional support in terms of marketing activities,production expertise and financial resources.

Additional general sales taxes and tough economicconditions of the country are reducing the purchasingpower of the people. So in case of food item, this factis also applicable because GST is also imposed on fooditems.

CONCLUSION

There is no doubt in this fact that Mitchell’s fruit farms is one of few national companies that playing very importantrole in the economy of the country. Mitchell’s is known as trendsetter, innovator and progressive company in the food industry of Pakistan. Mitchell’s recent achievements like automation of toffee making process molded chocolate plant, ISO 9001 and launch of several new products reveals the

commitment and professionalism of the company management. The company set high standards of quality and has experienceof 68 years that help the company to successfully competing even multi-national companies. The success of Mitchell’s brands is the result of the corporate emphasis lay upon Quality Control reinforced by Research & Development. The R & D section prepares new recipes and formulations whereas the QC section ensures selection of the finest fruits and error free processing and packaging, thus ensuring that all products live up to the consumers’ high expectations. Human Resource is also of the pivotal importance for the management and employee skills are constantly being updated through training courses and study tours both at home and abroad.

VISITING CARD of Quality Assurance Manager: