strategic management final
TRANSCRIPT
MASTER SANITARY WARE
G.T. Road, Lahore Side, Near Ex. Octroi Check Post, Gujranwala, Pakistan.
www.mastersanitaryware.com
Presented by:
Sheikh M. Hassan, Aisha Maqsood,
Muzzamil Awan, Hassan Jamil , Hashim Khan
FOUNDATION OF MASTER GROUP OFINDUSTRIES
Founded in the year 1953 with the establishment of a
small unit manufacturing high quality ceramic products.
This first unit was named as Master ceramics.
The major milestone in this journey was the
establishment of Master sanitary ware in the year 1995.
In 2003, this group launched another venture with the
name Master Plastic Pack.
VISION STATEMENTTo serve maximum industrial requirements of
Pakistan, To offer product that are attractive.
We strive to create extra value for our customers
through in-depth studies of customers need.
MISSION STATEMENT
Master is committed to leadership in market
economy through competitive advantage in providing
the highest quality products and services to its
customers.
MASTER’S UNITS
MASTER SANITARY FITTINGS INDUSTRIES LTD.
MASTER PLASTIC PACK LTD.
MASTER TILES & CERAMIC INDUSTRIES LTD.
Z&J HYEGIENIC (BABY MASTER) PRODUCTS (PVT)
LTD.
MASTER BALLPOINT PEN INDUSTRIED (PVT) LTD.
OWNER’S OF MASTER GROUP OFINDUSTRIES
Sheikh Jawed Iqbal
Sheikh Pervez Iqbal
Sheikh Nasir Iqbal
Sheikh Mehmood Iqbal
Sheikh Maqsood Iqbal
Sheikh Akbar Iqbal (MASTER Sanitary Ware)
Sheikh Asghar Iqbal
GOALS
Building customers preference & market leadership
Achieve quality excellence & serve customers with quality products
Maximizing profits
Developing customers
Optimum utilization of assets
MANAGERIAL FUNCTIONSPLANNING PROCESS
MASTER’S Management starts with planning and Whatresources does MASTER have?
Will putting four workers on a task that takes 14 hours costless than renting a machine that can do the same task withone worker in 6 hours?
Without a plan MASTER could never succeed.
Always look at all the probable scenarios. Figure out theworst possible scenario and plan for that too.
ORGANIZING Now the organization has a plan, it has to make it
happen.
Are the workers trained?
Will it get here on the appropriate schedule?
Do they have the equipment they need?
LEADING Now flip the "ON" switch. Tell people what they need
to do.
They know which section is working well?
Which piece and when?
What to start?
When to stop again?
CONTROLING:Now that organization has everything moving, it hasto keep an eye on things.
Make sure everything is going according to the plan.When it isn't going according to plan, they need tostep in and adjust the plan.
CONTINGENCY PLAN
That is why they developed a contingency plan in thefirst place. The manager, have to be always aware ofwhat's going on so he can make the requiredadjustments.
ORGANIZATIONAL STRUCTURE
Financial Department
Accounts Department
Marketing Department
Administration
Production Department
CEO
ORGANIZATIONAL CULTURE
The organizational culture which we observed atMaster Sanitary meet the definition of the StrongCulture.
The size of the organization is large, old and turnoverratio is very low.
Goals and objectives are clear and organization ispeople oriented.
DECISION MAKING:
Decision making in the firm is highly centralized and the owner is all in all.
Only the Marketing Manager has some decision making powers about deciding prices with the customers. Even he is not fully free and has to consult the owner in major dealings.
The owner is very strict decision maker and he sometimes doesn’t care for the valuable suggestions of the specialized staff as well and prefers his own thoughts.
Every kind of Decision making is done by Owner.
ENVIRONMENT OF THE ORGANIZATION
There are two types of environment in organization;
Macro environment
Micro environment
MACRO ENVIROMENT:
PEST ANALYSIS:
POLITICAL ENVIRONMENT
ECONOMIC ENVIRONMENT
SOCIAL ENVIRONMENT
TECHNOLOGICAL ENVIRONMENT
POLITICAL ENVIRONMENT
The policy of MASTER’S is to strictly comply with alllaws and regulations relevant to their activities. Theyparticipate in discussions on legislation andregulations between national organizations,government representatives, industry, the scientificworld and consumer associations.
They oppose unjustified bans and any otherdiscriminatory measures. This applies also toenvironmental issues.
ECONOMIC ENVIRONMENT
MASTER respects the economy and is committed toeconomically sound business practices throughout thecountry, thus taking into account the need to walkwith economy.
The MASTER is a national company so the economicconditions obviously beat it, like increase in tax ratio,increase price in raw materials, scarcity of sui gas,electricity,etc.
SOCIAL ENVIRONMENT
Master is taking measures for well being of country.
Manufacturing products under hygienic environmentso that saving people from unhygienic products andpolluted environment.
TECHNOLOGICAL ENVIRONMENT
MASTER has strong believed on innovations. Theythink that no organization can survive in the marketuntil it is innovative.
So for this purpose MASTER has its own innovationmeans R&D department in the organization.
MICRO ENVIROMENT: SUPPLIERS
CONSUMERS
PRESSURE GROUPS
COMPETITORS
SUPPLIERS The raw material used in production of sanitary fittings is plastic
grains, stainless steel, copper, gypsum and glaze. Their raw material is mostly procured within Pakistan.
CONSUMERSUltimate Consumers
PRESSURE GROUPS Master Sanitary is facing pressure from government due to their
import/export policies. Scarcity of utilities. Employees Union.
COMPETITORS:
Shabbir Sanitary
Style
Super Asia
Faisal Sanitary
Sonex
China Base Companies
KEY SUCESS FACTORS:
The key success factors of the MASTER are:
Their quality products
Average prices
Stability in economy
High research work
Production is according to the customers needs.
Human Resource Management
HRM/ HRD not working
It is responsibility of admin manager to meet all stakeholders
They are involve in recruitment and selection process
Dealing with vendors
Product Strategy
Product Profile:
Showers, Taps, Tubs, Commodes, Water Tanks, Water Mixers, Wash Basins, etc.
Products Series:
Aqua Series
Diamond Series
Egyptian Series
Ravi Series
MASTER is following Product Positioning strategy.
Price Strategy
MASTER is following Target pricing strategy and their pricing differentiates according to product quality.
Price differs from its product series and customer choice
PRODUCER
WHOLESELLER
RETAILER CONSUMER
Place Strategy
MASTER is following Intensive Distribution strategy.
Promotion Strategy MASTERS is using following promotion media:
Print Media
Electronic Media
Billboards
Public Places
Motivation No proper learning opportunities in MASTERS
Sanitory.
Motivation level is low.
Communication Style
Communication style falls only between Upper and Middle level management.
SWOT ANALYSIS
STRENGTH
Strong market share.
Finance department has enough funds to fulfil itscurrent financial liabilities and to make advancepayments for its raw material purchase.
Strong market share.
Good working environment is provided during theworking hours.
Newly hired employees are trained.
Latest introduced technologies
WEAKNESSES The marketing managers are not paid any commission
but are working on fixed salaries.
There is large wastage of raw material due tobreakdown of electricity and gas.
Employees are not well motivated.
There is no incentive for the employees. The salarypackage is fixed for all the members of organization.
Decision making is totally centralized.
Employees are not allowed to involve in innovative andrisky tasks.
OPPORTUNITIES Increase in demand.
The department can increase its efficiency by hiringright type of team with coordinated working.
Geographical expansion.
THREATS
Their employees are working on fixed salaries due towhich they may leave the organization in case they getan attractive offer from their incoming competitors.
Political instability.
Rising inflation rate.
Recession of banks.
Economic instability in the country.
Many competitors.
CONCLUSIONS Master Sanitary Limited is potentially a strong
organization.
Bright prospects for higher growth.
The management functions are not properlyimplemented.
There is too much interruption of the CEO in theroutine affairs of the managers.
There is also lack of functional level strategies likethere is no proper HR department although they areworking in different business units.
RECOMMENDATIONS The organizational culture should be made stronger as
there is a lot of room for improvement.
Employees should always be encouraged.
The employees should have the freedom to share theirviews with the management about improving theperformance of the organization.
The managers must be given freedom to apply theirknowledge, skill and experience to improve theorganizational performance.
The marketing workforce should be increased toincrease sales throughout the country.
MASTER Sanitary Ad