Acknowledgments

First of all, I would like to take this opportunity to thank the University of Sahiwal for having

projects as a part of the Operation Management curriculum. Many people have influenced the

shape and content of this project, and many supported me through it. I express my sincere

gratitude to Prof. Dr Yasir Iftikhar for assigning me a project on Iqbal Sweet House.

He has been an inspiration and role model for this topic. His guidance and active support have

made it possible to complete the assignment. I also would like to thank my sister and my

parents who have helped and encouraged me throughout the working of the project. Last

but not the least I would like to thank the Almighty for always helping me.

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 Executive Summary

Iqbal bakers and sweets are the top food store of Sahiwal. Iqbal is the number one brand in the

market of sweets due to its quality and valuable services. After 1948, Mr. Muhammad Iqbal was

at the post of manager. While he was doing his job, he decided to start his own business

separately because he was proficient dealer, a technical supporter and maintained check and

balance in every branch.

Mr. Muhammad Iqbal started his business from one out let in Pakpattan bazar with bakers in

1948. After seeing the profitable result, he decided to introduce new product like cakes and

desserts etc. continuous success of Iqbal in providing quality service and products for the health

and happiness of all family.

Iqbal also launching another outlet in Farid town near masjid e shohda, it has shown explosive

annual growth of more than 25% in its business. It has more than 50 employees working in its

sweet house. It has around 2 branches in Sahiwal.

Its mission is “To provide delicious, wholesome baked foods without sacrificing health and well-

being.”. Because sweets are prepared in pure desi ghee and butter which is the specialty of Iqbal

Sweet House.

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 Table of Contents

Acknowledgments...........................................................................................................................i

Executive Summary.......................................................................................................................ii

1.0.Introduction..............................................................................................................................1

1.1.History...................................................................................................................................1

1.1.2.Business size.......................................................................................................................1

1.1.3.Industry or sector..............................................................................................................1

1.1.4.Main Products...................................................................................................................1

1.1.5.Business Strategies............................................................................................................2

2.0.Business operational profile....................................................................................................3

2.1.Primary activities.................................................................................................................3

2.1.1.Inbound logistics............................................................................................................3

2.1.2.Operations......................................................................................................................3

2.1.3.Outbound logistics.........................................................................................................4

2.1.4.Problem analysis...............................................................................................................4

3.0.Main problems.........................................................................................................................6

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1.0.Introduction
1.1.History
Iqbal sweets is Sahiwal’s most famous and popular sweets and bakery shop. The company was

founded by Muhammad Iqbal in 1948. It has only two outlets in Sahiwal. On 10 September

1948, at, Sahiwal, Pakistan, Iqbal took start as a small confectionery shop and after while they

spread the network. Iqbal has believed in providing high quality, hygienic food at affordable

prices to people of all social and economic classes without any discrimination. Keeping this as

the foundation of business has helped us make home in consumers' hearts and minds alike.

Today it gives immense pleasure to see consumers buy Iqbal products not just for their taste or

quality but for the trust and credibility that comes with them....

1.1.2.Business size
There are approximately more than 50 employees who are busy in satisfied the demands of

customers. Iqbal sweet house generating more than Rs.5,590,308 sales in a year.

1.1.3.Industry or sector
Baking industry is characterized with a variety of different products that daily find their place on

the market. Pakistan’s Bakery and Confectionary Industry has grown with an average annual rate

of 6.5% to 7.5% in 2016-17. Industry sources said that bakery products are highly competitive.

However, despite challenges the Iqbal Sweets showed a tremendous expansion in the past 10

years in contrast with different products in tough economic times in the country.

1.1.4.Main Products
 Sweets

 Biscuits

 Cakes

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  White bread,

 Dark wheat bread,

 Rolls

 Sandwiches

 Nimko

 Gajerala

1.1.5.Business Strategies

Iqbal s differentiation strategy is to establish the bakery as the standard in Sweets. By focusing

on their product line, they are able to produce high quality products that meet customer

expectations Differentiation strategy is a way for a business to distinguish itself from the

competition by making its products in pure des ghee and butter.

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2.0.Business operational profile

2.1.Primary activities

 Inbound logistics

 Operations

 Outbound logistics

2.1.1.Inbound logistics

The receiving and warehousing of raw material and their distribution to manufacture as they are

required.

2.1.2.Operations

Iqbal carries out its operations very carefully in order to maintain its :

 Bacterial content

 Freshness

 Adulteration

The business offers fresh sweets and baked cookies in a fast food format. The unique feature of

the sweets is that they are prepared in pure desi ghee to maintain its freshness and softness. A

special convection oven is used to make the cookies in order to keep them fresh and moist. The

dough is allowed to raise longer than usual to make the sweets and cookies extra light. The key

ingredients Desi Ghee and butter will be purchased from only one supplier because he offers the

best product. A relationship is worked out in which the supplier sends the ingredients on the

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exact schedule that they are needed. A quality check is made at each stage of sweets and cookies

production. The dough is checked for texture; the ghee and butter are checked for smell and

freshness. Expected sales for each day of the week have been determined; for example, it is

expected that more sweets will be sold on weekdays and most during lunch hours. Expected

sweets sales for each month and for the year have also been determined. The business needs to b

able to produce 200 sweets and cookies per hour, or up to 2000 sweets and cookies per day.

Decisions are made about how the working area will be arranged for maximum efficiency. The

business is competing on the basis of speed and quality. Almost 2 people are there in the kitchen

during busy periods and 1 during slow periods. Their job duties are determined. A different

policy is developed for common ingredients, such as flour and sugar. These ingredients will be

ordered every 2 weeks for a 2-week supply. A special purchasing arrangement is worked out

with the supplier of specialist ingredients.2 people work the counter in split shifts.1 kitchen

employee worked a full shift with a 2nd employee working part time.

2.1.3.Outbound logistics

Now the final and finished products are displayed in show cases and distributed to other outlet

where the products are bought by their valuable customers.

2.1.4.Problem analysis
 Location Analysis

After location analysis of Iqbal sweet house, it is said that it’s not appropriate location for its

worthy customers because bakery is located in a very congested place. All time there is rush of

people and almost traffic jam near the bakery because it is in the heart of bazaar.

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  Facility Layout

Kitchen of Iqbal sweet house in not near the bakery it is situated opposite side of bakery after

passing by one road. But the thing is that it is not properly arranged, and all the items are not

accurately on its position.

 Sitting capacity

There is no sitting area for customers. Usually bakeries have not sitting plans but the ones who

are waiting their turns are stand and who want to meet the owner also in standing positions

which gives awkward feeling.

 Poor promotions

Iqbal sweet house is not focusing on promotion tools such as advertisements and official website.

 Less parking capacity

Iqbal sweet house does not offer sufficient parking facilities as many customers hesitate to park

their vehicles because there is very hustle and bustle.

 Slow product innovation cycles

Iqbal sweet house not offering any innovative products to its customers the issue is, by the time

some of these products hit store shelves, trends might be decreased. Or a flood of

competition particularly from smaller, more clever companies could make it more difficult for

that new product to stand out.

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  Lack of technology

There is also lack of technology in this bakery.Today,computers have revolutionized bakeries

as much as any other business. Customers can not place special orders by computer, to

minimizing the risk of miscommunication between themselves and the production staff.

 Less outlets.

Iqbal Sweet house have branches only in Sahiwal which is the drawback of their marketing

strategies.

3.0.Main problems
Core problems are Inappropriate location and few outlets. As I described above in problem

analysis that location of Iqbal sweet house is very poor, there is lot of garbage outside the outlet

and after rain there is lot of water flowing on the roads. Customers feel very hesitation to enter

into the outlet. After changing the outlet position or we can say that after changing its location

more problems of customers can b solved that includes parking issue, easily accessible to outlet

and feel free to buy products. One more thing is that some people are not aware about its outlet

because it is in the heart of bazaar. So, after looking location of customers and location costs ,it

should be decided that facility will b located on High street.

Secondly, there are only 2 outlets in Sahiwal which is the main drawback of marketing strategies

so Mr. Muhammad Iqbal should launch its further outlets in other populated cities and then other

countries to expand their business, so that people easily buy their products. Actually, many

people contact their relatives that are lived in Sahiwal to courier their sweets as SOGHAAT to

their home countries.

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