1. Historical Perspectives-Haleeb Foods Ltd.

Haleeb Foods Ltd. (HFL) continues to be at the forefront of product and packaging innovation. It
has achieved market leadership in several food categories with a very strong portfolio, consisting
of leading national and international brands.

It has also introduced a number of unique products, like Haleeb milk, delicious traditional Lassi
(buttermilk) prepared with pure thick milk and yogurt

As reported by the company, its annual turnover was Rs.7.2 billion during 2005. Initially, the
name of HFL was Chaudhry Dairies Limited (CDL). During 1980s, when various dairy industries
took a boost in Pakistan, CDL came to into existence in 1984 as a small production unit. The milk
processing plant was installed at Bhai Peru, District Kasur in 1985. It started its trials and the
commercial production started on May 21, 1986.

Haleeb’s administrators claim that their plant adopted the latest technology for milk processing
and thus it had an edge over other around twenty plants in competition including Milk Pak as all
other plants were based on obsolete European technology. The idea behind UHT investment was
to provide consumers with the best quality of packaged dairy and food products that no other
company can produce. About four years later, the company decided to enter a joint venture with
Friesl and Frisco Domo (FFD) of Netherlands and continued the activity from November 1989 to
December 1991. This joint venture did not last very long because of the change in global strategy
of FFD and was amicably dissolved. Haleeb then went on its own till December 1998 till it signed
a contract with Candia that is a market leader in France. Under this agreement, the company
launched Candia value added liquid milk products all over the nation. But, After a successful run,
Haleeb’s uninterested and incompetent managements of the past caused it to lose its leading market
position from turnover of Rs.10 Billion to revenue deficit in year 2006.

2. Evolution of Haleeb Foods

S tarted in 1984 as Chaudary Dairies

Name Changed to Haleeb Foods Ltd in 2004

Turnover of PKR 10 Billion anually in 2006

Vision Mega Ltd purchased huge chuked of shares and brought
new young management.

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3. Introduction
Haleeb Foods was established in 1986 and its first product was Haleeb milk. Since then, it has
continued to provide quality products to its consumers with product and packaging innovations.

Mission Statement
“To build branded food business to improve quality of life by offering tasty, affordable and
highly nutritional products to our consumers while maximizing shareholder’s value”

Vision Statement
“Most innovative and fast growing food company offering products enjoyed in every home
every day”.

Values of the Company

 Enterprise  Teamwork
 Empowerment  Accountability
 Trust
Milestones Achieved
 HACCP (In process controls for safer products)
 ISO 9002 (Better quality for greater customer satisfaction)
 ISO 14000 (Environment-friendly operations)

4. Objectives of the Company:

 To be an innovative marketing and research oriented company.
 To develop product with market potential through means of indigenous technology and
research and development.
 To target new emerging segments of milk market.
 To deliver consistent quality to our customers using pure ingredients and best available
technology.
 Dedicate to continuous improvement through active alliance with other companies in
technology and packaging department.
 To deliver a fair return to our valued investors and shareholders annually in line with
industry norms and economic conditions.

5. Product Range
Haleeb is also producing the wide range of the products including milk-based products,
juices, powder etc. The quality products as per the standards of ISO & HACCP.

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 The products can be divided into following ways :

ConsumerProducts
Industrial Products
Exports

6. Consumer Products
Products, which are branded and are sold to the end consumer through a distribution

chain in the packaged from as produced by the company.

7. Dairy Products
 Daizy Butter  Candia
 Nutrious Thick Milk  N’rish
 Daizy Yogurt  Cream
 Liquid Tea Whitener  Lassi drink
 Powder Tea Whitener  Tea Max
 Daizy Cheese  Fava
 Asli Desi Ghee  CREMYUM
 Haleeb Milk.  All MAX

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8. UHT Milk
 Haleeb Nutrious Thick Milk
 Dairy Queen
 Candy Up Flavored Milk
 Skimz Liquid Milk
 Skimz Powder Milk

9. Tropico
 Tropico Nectar
 Good Day 100% Pure
 Tropico Fruit Drink(Mango, Apple, Mix)

10. Industrial Products

Haleeb Skimmed milk Powder (SMP) was introduced in 1992. Apart from internal use, it
is also sold as bulk products. Instant Full Cream Milk Powder (IFCMP) was introduced in
1996. Both products are sold in 25 kg bags.
Excess milk fat is sold unprocessed to makers of butter, ice cream and sweeteners, or at
request is turned into ghee.

11. Exports
Haleeb foods limited started exporting its products in 1999 and has done business with
customers in Korea, Afghanistan and china, United Kingdom. The company is not only
supplying products nationwide but also currently exporting its products to Afghanistan,
Bangladesh, Europe and America.
It exports Desi Ghee to South Africa cream, milk and fruit juices UK. Powdered milk and
ghee to Qatar. It is also planning to export its products to Canada, Dubai and Uzbekistan.

12. Financial Statement

HFL has been the leader of dairy products and had the 52% market share of UHT products.
Currently Haleeb Foods is in the decline stage of business cycle n trying to rebuild its
identity. Haleeb Foods has the annual turnover of 15%.This phase started with start of 2006
With the start of 2007 there was a massive downsizing and firing. The reason behind this
decline was the bad quality of UHT milk. That bad quality was caused by mismanagement
of Quality Assurance Department.
In 2008 Haleeb take huge finance but can’t proper utilization and came to decline.
In 2009 Haleeb launch Daizy Yogurt to overcome the Umbrella Branding. This is the
effective way and towards the 2010 the company face less loss than last year. In 2010 the
sales volume was 5,268,803 which is less than the previous year.
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 Net Profit
1600
1400
1200
1000
800
600
400
200
0
Year 2015 Year 2016 Year 2017

Net Profit

Net profit After Tax between years 2015-2017

13. SWOT Analysis of Haleeb Foods

Strengths
 Highly sophisticated plant and equipment.
 Qualified work force.
 Focus on research and development.
 First and the only dairy company in Pakistan to get ISO 9002 Certification.
Weaknesses
 Less promotional activities.
 Comparatively weak distribution system.
Opportunities
 Haleeb Foods Limited can export food items especially Juices to Middle East.
 CDL Foods limited has been changed to Haleeb Foods Limited, so this change in name can
help them to attract foreign customers.
 Haleeb Foods Limited can go for related diversification by producing pure juices and flavored
yoghurt.
 Haleeb Foods Limited can go for joint venture with other companies to attract the market share.
Threats
 Strong competitors i.e. Nestle, Engro Foods.
 Price sensitive people.
 Milk men providing non branded milk in homes.

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 Strengths Weaknesses
-ISO Certified -Less promotion
-Advanced Plant -Weak Distribution network
-Qualified Workforce

SWOT
Opportunity
-Can Export its Jusices
-Can works on Diversificaton stratagey
-Can work jointly with other companies
Threats
-Strong Competitors
-Price Sensitive consumer
-Local distributors with unbranded
products

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 ORGANIZATION STRUCTURE OF HALEEEB FOODS

Chairman

Mananging
Directors

Quality Informatio Supply Food

Technical Operations R&D Marketing Sales HR Finance
Assurancce n System Chain Services

Maintenanc Quality Brand HR

e
Production Sales Team Accounting Warehouse
Control Team Functions

Quality Customer Milk

ProjectsS Administration Finance Procuremen
Sessions Care t

Purchase
Imports

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The organizational structure of Haleeb foods is Flat and functional and have centralized decision-
making.

Advantages of a Flat Structure:

 More greater communication between management and workers
 Better team spirit
 Less bureaucracy and easier decision making
 Fewer levels of management, which includes benefits such as lower cost as managers, are
generally paid more than workers.

14. Departments of Haleeb Foods

 Finance Department
 Technical Department
 Sales Department
 Marketing Department
 Department of Human Resources
 Research and development R&D
 Department of Quality Assurance
 Operation Department
 Information system
 Supply Chain

Accounts and Finance Department

Finance is also an important issue. Haleeb also has a well-equipped finance department
with the resource but at times there are issues with delay in work from their side main
problem, which we have observed is in the costing of some new items.

GMFinance

Manager Treasury Manager Accounts

Customer/Employee
Services

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HEAD OF GENERAL ACCOUNTING & FINANCE
Jan Muhammad is head of Finance department, a Chartered Accountant by profession. He has
vast experience at different levels of different organizations. Jan says,

“Like many leading companies, setting up compliance based environment and implementing &
monitoring controls through recognized best practices haves been the way of doing business by
the management of HFL. Our Internal Audit department takes a broad view of its assigned
responsibilities, reviewing not only the effectiveness of controls but also whether they are the most
efficient way to achieve an end. We focus in assisting the organization to accomplish its objectives
by bringing a systematic, disciplined approach to evaluate and improve the effectiveness of risk
management, controls and governance processes.”
Looking after following sections
1. Treasury
2. Financial Reporting
3. Plant Finance & Costing
4. Taxation

Senior Manager Financial Reporting & Production Planning

Responsible for financial reporting and preparing monthly quarterly annual accounts looking after
accounting function and reporting to CFO, further for production Planning.

Responsible for production planning coordinate with all the concerned departments from
engineering to production, sales, warehouse and logistics. Ensure that there are no stock outs of
finished goods and no unnecessary stock build-ups. Further, ensure that no stock expires. As part
of production, planning it is my function that there is no shortage of key ingredients and inform
procurement so that ingredient is made available for production.

Senior Manager Finance / Planning and Budgeting

1. Financial Analysis/Budgeting
2. Analyses of Projects’ Progress and financial and program reporting thereon
3. Statutory Reporting
4. Compliance

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 Senior Auditor

Ernst & Young Ford Rhodes Sidat Hyder are Senior Auditors at Haleeb Foods. They Works on:

 Preparation of planning and final audit documents such as Audit Strategies Memorandum,
Summary Review Memorandum, Overall Analytical Reviews, Combined Risk
Assessment, Management Letter, Board Letter, Variance Analyses, Ratio Analyses and
Consultation Memo etc.
 liaising with the TSRS department to conduct IS audit of the organization in relation to the
Revenue and J.E. Testing,
 Tax review memorandum
 Review of Code of Corporate Governance
 Preparation of Management letter
 Deferred Taxation
 Finance / Operational Lease for Airplanes
 Review of Loan from Government loan by PIA
 Contingencies and Commitments
 Review of Compliance with Code of Corporate Governance
 Purchase, Long / Short Term Liabilities, Purchases,
 Accrued Liabilities, Short term running finance
 Related Party Transactions
 Cost of Goods Sold
 Calculation of Closing stock on NRV
 Profit and loss review and vouching
 Cash and Bank

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 Marketing Department
Creating a wide range of marketing material needed for different campaigns of company as per
different events happening in the whole year. Managing all marketing of the company and
activities within the marketing department.

GMM
Iqbal Jutt

Asst Brand Brand Activation Marketing

Brand Manager
manager Executives coordinator
Sharjeel
Adil Yasir Nagina

Marketing Executive

i. Creating a wide range of marketing material/branding needed for different ATL & BTL
campaigns of company in coordination with creative agencies as per different events
happening in the whole year.
ii. Managing all marketing activities and supervising their execution from scratch to billing
process.
iii. ISD Budget Sheet: Preparing budget sheet and getting it approved from all the concerned
authorities.
iv. ISD Taste Trial Activity Planning & execution: Planning of Taste trial activity at CSD
and USD nationwide with the agency and ISD team.
v. Horace Activity: In coordination with ZSMs conduct this activity and provide all the
branding material as per requirement and defined parameters of Hotels, Restaurants and
Cafeterias.
vi. Merchandiser’s attendance Report & Salaries; Keeping records of merchandiser’s
attendance sheet, issuing salaries through Third parties.
vii. BTL Activity, BTL Activity refers to the Below the Line Activities. BTL activities were
carried out for the Haleeb Good Day 100% Pure Juice to establish the consumer contact
with the company,
Basically, two methods were adopted in this regard
 Store Intercepts & chilled wet sampling.
 Wet sampling at key social venues.

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Media Planning

 Media billing & processing for payments.

 Coordination with Media agency for Planning Media campaign.
Sales Consultant

i. Generate business from existing and new customers as per assigned target.
ii. Ensure revenue and retention as per assigned target.
Data Collector

i. Designed & developed a secure network for smooth operations

ii. Prepared the records of all the project based correspondence with Manufacturing /

Services Concerns

Coordinated with the officials in successful completion of a new cement line project by preparing
schedules.

Department of Human Resources

The Human Resource Department of Haleeb Foods Limited (Formerly CDL Foods Limited)
means the policies and practices involved in carrying out the “people” or human resource aspects
of a management position, including recruiting, screening, rewarding, and appraising. The
functions of HRD in Haleeb foods is to developing the required skills in employees as by
perceiving the future needs and demands of the company as well as the requirement of the
competitive environment.

GM Human Resource

Manager Human Manager IR Manager Admin

Resource

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GM HR: Omer Hassan Janjua
Manger HR: Salman Nawazish
Deputy HR: Manager: Muhammad Nadeem Bhutta.
Have an asset of more than 1500 employees.
Manager Human Resources
i. Direct reporting to GM and MD
ii. Master’s degree with Human Resource Management.
The major functions, which they have to perform, are following.

 Training and development (T&D)

 Organization development
 Career development
 The “new learning and performance wheel”
 Strategic management and HRD
 The supervisor’s role in HRD
 Organizational structure of the HRD function

Job Description
i. Knowledge and understanding of multiple human resources disciplines and principles
including
ii. Employee relations
iii. Compensation
iv. Performance management
v. Training and organizational development
vi. Job Description
vii. Recruitment and retention
viii. Good interpersonal and Communications kills
ix. Influencing skills with ability to balance business needs with employee advocacy
x. Hands on experience of implementing and using Human Resource Information System

Autonomy
General Managers have autonomy to an extent in the area whom they concern but they need
approvals from Managing Director or CEO

Performance Evaluation
i. Performance is evaluated on the bases of different departmental tests
ii. Such as a supervisor level competency-modelling model is designed in such a way that it
can be judged easily how many competencies that supervisor has.

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Training and Development
i. In HFL, Haleeb Institute of Training and Development is working to fulfill the training
requirements of employees
ii. HR department responsible for designing training modules for employees
iii. It prepares employees for higher responsibilities with exceptional skills to improve total
organizations effectiveness

Outlook of the Company

Capture the whole market of packed food not only in dairy products but on the whole
“Every home Every Day”
How to grow?
i. Professionalism
ii. Loyalty
iii. Effectiveness
iv. Responsiveness.
v. Practice of core values of organization.

Department of Quality Assurance

Establishes quality and reliability standards by studying product and consumer requirements with
other members of management and with production operators, technicians, and engineers,

Raw material standards by studying manufacturing and engineering requirements. Conferring and
negotiating with suppliers; devising testing methods and procedures. Establishes in-process
product inspection standards by studying manufacturing methods; Devising testing methods and
procedures.

GM Quality Assurance

Manager Quality Manager Quality System

Control

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Head of Quality Assurance
Mr. Iftikhar Ahmad
Assistant Manager Quality Assurance:
Mr.Yasin Khurram
Head and Assistant manager focus On Following steps:
i. Establishes quality and reliability standards by studying product and consumer
requirements with other members of management and with production operators,
technicians, and engineers.
i. Establishes raw material standards by studying manufacturing and engineering
requirements; conferring and negotiating with suppliers; devising testing methods and
procedures.
ii. Establishes in-process product inspection standards by studying manufacturing methods
devising testing methods and procedures.
iii. Establishes standards for the disposition of finished product by devising evaluation tests,
methods, and procedures.
iv. Establishes rework standards by devising inspection and physical testing methods and
procedures.
v. Establishes product quality documentation system by writing and updating quality
assurance procedures.

Maintains product quality by enforcing quality assurance policies and procedures and
government requirements; collaborating with other members of management to develop new
product and engineering designs and manufacturing and training methods. Prepares product and
process quality reports by collecting, analyzing, and summarizing information and trends.

Completes quality assurance operational requirements by scheduling and assigning employees;

following up on work results.

i. Maintains quality assurance staff by recruiting, selecting, orienting, and training

employees.
ii. Maintains quality assurance staff job results by coaching, counseling, and disciplining
employees; planning, monitoring, and appraising job results.
iii. Maintains professional and technical knowledge by attending educational workshops;
reviewing professional publications; establishing personal networks; participating in
professional societies.
iv. Achieves financial objectives by preparing the quality assurance budget, scheduling
expenditures, analyzing variances, initiating corrective actions.

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 Operations Department
Steer and direct dairy manufacturing operations. Establish operational policies and implement
process improvements to ensure superior quality and outstanding output of all Haleeb Foods
Products. Directly manage Five Deputy Managers overseeing 125+ employees. Design and
implement coaching and training programs to develop staff, facilitate efficiency, and improve
performance. Manage operational activities across two locations (BHP & RYK plant). Ensure
adherence to strict quality control procedures.

G M Operations

Manager Production Admin & ER

Production Department handled by:

 Production manager
 Deputy Manager Production

Haleeb foods limited is one of those few leading national companies. It collects about eight
hundred thousand liters of fresh milk every day from its large number of collection points located
all over Punjab, chills it at the site and processes to manufacture different products .
Manager Sales Operations
 Direct dealing (B2B) with food services customer (Bulk sale) which are Cream, Butter,
and Milk Powder etc.
 Prepare sales analysis reports and present to NSM/Commercial Controller.
 Sales forecasting for paper ordering/Tetra pack.
 Sales Target (National/Region/Area/Territory/ Town/Distributor wise.
 Trade budget recommendations to Commercial Controller (Trade Offer, Other Trade
Spend).
 Issue resolving Inter depts. Logistics/Warehouse & Production Planning etc.
 Developing a better infrastructure of company distributors in terms of cost reduction with
the help of logistics dept.
 Care line Administrator.

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 Sales Department
HFL has continuously evolved with continual growth and progress to challenge the
benchmarks set by the industry. HFL has achieved the growth in past even when the industry
as a whole was negative. This has been possible with the utmost dedication of our top
performing employees who stayed with us throughout this long journey.
Sales department of haleeb foods operates in three modules brander; exports and bulk. The
activities of this department are taking orders and dispatch the products to the distributors as
well as retailers.
The hierarchy of this department is as follow.

G M Sales
Awais Akram Butt

SOM
MBS
Mujtaba Hassan
Atique ur Rehman
Mufeez ur Rehman

SSM
Nasir Mahmood

SC DMS
NSC
Salman Azam Kashif
Asad Ahmad
Farhan Hafiz Shifique

Head of Sales department

Mr. Awais Akbar
Slaes department keep and eye on all trasanctions, check sales varicance, check all
expenses of dirstributors and after matching send to the account departments.

Sales department play vital role in determineing prices. Sales departement handel the sales oreders
nation wide and dispath deliveries. This depratment also chek the PDR (Performance Development
Report) of all regions country wide.

There are ten region that perform the sales activities in all over the Pakistan. RSO (Regional Sales
Officer) control the each region.

1. Peshawar

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 2. Rawalpindi
3. Gujranwala
4. Faisalabad
5. Lahore A
6. Lahore B
7. Multan
8. Sukkhar
9. Karachi
10. Food Services

Department of Information System

Information System
Information on provision refers to education of end-users about product attributes or usage
capabilities or pre purchase and post purchase services. Haleeb foods provide information to
their customer though advertisement, mail packaging free helpline. They provide information
to their customer about product features, their usage, new product launching and any problem
that customer face. They solve the customer problems through Toll free helpline. FL has
designated an active Forecasting and Planning Department, which explores the customer’s
purchasing patrons and behaviors in each market and prepares a feasible demand sheet on
weekly basis. This report helps Procurement Department in assigning targets to all Milk
Collection Centers, routs through which a milk should be carried to PHEs and then to
production facility in Bhai Pharo.
HFL also ensures the complete and accurate information of trucks during their journey towards
the facility, in case of any accident or unfavorable circumstances, alternative sources are
drastically used to avoid any kind of lose. HFL Limited also developed an Operations Team,
which keeps up-to-date record of inventory and new orders and shares with Head Office on
daily basis. HFL Limited has accessed to all necessary information technological tools like
mobile phones, internet, faxes, Enterprise Resource Planning and Supply Chain Management
Software to keep the full information regarding supplier’s and PHE’s capacity, total
production per day, delivery to warehouses and sales per day. This all information really
enables the company to be responsive and fulfill any uncertain demand within the time span
of 3 to 4 days.

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 Department of Supply Chain

G M Supply Chane

Manager Manager
warehouse Imports/purchase

Asst. Manager Milk

procurment

Five supply chain drivers are integrated with the motive to achieve company’s competitive and
supply chain strategy in optimal manners.
These supply chain drivers include:
1) Facility
2) Inventory
3) Transportation
4) Information
5) Sourcing

Parameters for Supply Chain

 Logistics
 Warehouses
 Distribution Network
 Milk Collection
 Milk Processing
 Customer Relation Management
 Inventory Management
 Cost Comparison
 Product Visibility

Whole supply chain department is run by a employees working at different locations across
the country.

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 Human Resource Department
The Human Resource Department of Haleeb Foods Limited (Formerly CDL Foods Limited)
means the policies and practices involved in carrying out the “people” or human resource aspects
of a management position. Total employees 1,001-5,000.

Head of Department
Riaz ul Hassan Raja.
Assistant Managers
Hammad Jalil
Sehar Shahid
G M HR
Riaz ul Hassan Raja.

Asst. Manager HR Asst. Manager IR

Hammad Jalil Sehar Shahid

Human Resource Development Functions

The functions of HRD in Haleeb foods is to developing the required skills in employees as by
perceiving the future needs and demands of the company as well as the requirement of the
competitive environment.
The major functions, which they have to perform, are following.
 Training and development (T&D)
 Organization development
 Career development
 The “new learning and performance wheel”
 Strategic management and HRD
 The supervisor’s role in HRD
 Organizational structure of the HRD function

Training and development (T&D)

Training and development officers play an important role in their company’s human
resources department. They plan and administer programs to ensure that employees have the skills
and knowledge to compete effectively and meet the organization's business objectives.
A training and development program allows you to strengthen those skills that each employee
needs to improve. A development program brings all employees to a higher level so they all have
similar skills and knowledge.
The HR department of Haleeb foods mainly focuses on training and development of their
employees. In this regard many training and development activities always continues.
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Some of these activities carried out by Human resource department of Haleeb foods is as:

Training Session of production Department at RYK Plant

“Thinking provides you knowledge and knowledge makes you great” we

believe that learning is continuous process. It is not a question of learning
much, on the contrary it is a question of unlearning much. That is why training sessions held at
RYK plant for production staff in order to cultivate an environment for carrying standards
operational procedures in all sections of process area.

Session #01 Session #02

Topic: Introduction to Aseptic Technology Topic: Housekeeping Implementation
Trainer: M. Shahzad Rasheed Trainer: M. Hassan
Participants: Production Staff Participants: Production Staff
Location: RYK Plant Location: RYK Plant
Date: 04-10-2017 Date: 04-11-20

Session #03 Session #03

Topic: Personal Hygiene Topic: Goods Manufacturing Practice
Trainer: M. Shahzad Rasheed Trainer: M. Hassan
Participants: Production Staff Participants: Production Staff
Location: RYK Plant Location: RYK Plant

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Dairy Services Activities a Layyah Main Center
On dated 13th October-17, Layyah Milk collection team organized a farmer’s day and animal health
camp at sub center 90TDA, where more than 80 farmers participated. Layyah team educated the
farmers on following topics and did treatment of some animals.

1. Aflatoxin
2. Cause of Aflatoxin.
3. Source of Aflatoxin.
4. Prevention of Aflatoxin.
5. Mastitis
6. Importance of ample water availability for animal health

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Employee Town Hall Session
Town hall session was organized at BHP plant on December 27, 2017.CEO HFL gave presentation
to employees on company mission & objectives.it was a very informative session in which CEO
explained,where we stand today, our current position & where we want to reach and in how much
time & what sort of energy do we need to create as a company to succeed together.

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