The Operational Area & Activities of Hoque Brothers Ltd

Presented By: Mahmudur Rahman ID-1035080

Company at a glance
Haque Brothers LTD is one of the pioneering biscuit manufacturing companies in Bangladesh founded in 1947. At present, it produces near about 30-ton biscuits per day. Almost 800 workers work in biscuit production lines. It has 14 different products in its product line. It has 34 Sales offices in twenty-five district towns in Bangladesh, and has 105 motor vehicles for the purpose of distribution of Haque Products. However, Mr. Cookies, the well named biscuit of this company is prepared for export as well as local consumers. This product is exported to Nepal, Bhutan, South Africa, Oman, Qatar and some other Middle East countries.

DESCRIPTION OF PRODUCTS
Haque Brothers (Industries) LTD is well known for its large variety in biscuits. This company has more than 5 very popular brands. But to compete with other companies and to grab new consumers it has products in its product lines. Those products are as follows; Mr. Cookie Butter Coconut Biscuit. New Marie Biscuit. Lemon Puff Cream Sandwich Biscuit. Dutch Milk Cream Biscuit. Chocolate Finger Cream Sandwich Bourbon Biscuit. New Banana Cream Sandwich Biscuit. Elachi Cream Sandwich Biscuit. Digestive Biscuit Milk Chocolate Digestive Biscuit. New Glucose Biscuit. Golden Orient Coconut Biscuit. New Cream Crackers Biscuit. Kalenga Pineapple Cream Biscuit. Jaldub Pineapple Cream Biscuit All those products come in market with different packaging and product size. The prices of these products vary with their quality and contents. Those products are designed and baked to attract local market. However, Mr. Cookies, the well named biscuit of this company is prepared for export as well as local consumers. This product is exported to Nepal, Bhutan, South Africa, Oman, Qatar and some other Middle East countries .

ORGANOGRAM OF HOQUE BROTHERS LTD.

Chairman

Managing Director

Operational Area & Activities

ORGANIZATIONAL STRUCTURE OF OPERATIONS DEPARTMENT

Factory Manager

Production Manager

Assistant Manager

Production Supervisor

Quality Assurance Officer

Mixer Man G. Worker

Rotary Man G. Worker

Oven Man G. Worker

Lab Assistant

Maintenance Officer

Cashier

Accountant

Store officer

Cleaning Supervisor

Load Unload Officer Worker

Packing In-Charge Worker

Electrical Officer

Mechanical Officer Generator Operator Asst. S.O. Worker

Operational Functions
Demand Forecasting
Inventory Management Scheduling Quality Assurance

Purchasing

Demand Forecasting
The job of forecasting is mainly done by marketing

department of this company Production manager rely on Judgmental forecasting In the marketing department, each sales person is given a unique sales demand on the basis of past sales and market condition Regional Sales Managers make the sales demand (functional forecasting). Thus the total sales demand is made by marketing department. Production manager fine tune this forecasting according to his experience Demand for biscuit does not vary cyclically as it is not a cyclical product.

S/N

Month

Year

Period

Actual sell (Ton)

3 Months MA Forecast (pcs)

Actual Sale-Forecast Sale (At - Ft) -26.67 119.67 59.00 -334.33 -201.00 138.33 288.33 -50.00 36.67

1 2 3 4 5 6 7 8 9 10 11 12

March April May June July August September October November December January February

2011 2011 2011 2011 2011 2011 2011 2011 2011 2011 2012 2012

1 2 3 4 5 6 7 8 9 10 11 12

850 600 880 750 863 890 500 550 785 900 695 830

777 743 831 834 751 647 612 745 793

Inventory Management
The entire process of managing inventory is monitored by purchasing manager by acquiring information from the store officers On the basis of demand, the manager determines how much to order, when to order and select the feature items. Purchasing manager co-ordinates the schedules of ordering and re ordering process on the basis of stocks in hand. The manager normally orders for purchase 7-10 days before stock out.

Scheduling
Factors considered for scheduling
Availability of workers Machine Break Downs Holidays Hartals

Considering all these facts, production manager schedules the production process in the beginning of each week or a month.

Production manager also assigns jobs and schedules responsibilities in order to get the maximum output.

Process Layout

Begin

Demand from marketing department

Production department Initiate Production

Yes No

Raw material available ?

Order raw materials

Receive raw materials

Yes No

Raw material ok?

Produce Biscuits No Possible Scrap Biscuit ok? Yes Pack Biscuits

M R P

Scrap Biscuits

End

Supply biscuits

Send packed biscuits to the warehouse

Production Procedures of Biscuits

Receive Raw Materials Begin Processing, Fermenting & pre- mixing RM Mixing Raw Materials Making Dough

Pouring Dough in Rotary or, Cutting Machine to shape biscuits No Checking Weight of biscuits

Yes

Weight perfect

Baking biscuits in different temperatures

Cooling biscuits Scrap biscuits No Collecting & sorting broken or, burnt biscuits

Sending packed Biscuits to warehouse End

Packing biscuits according to weights

Biscui ts ok? Yes

Recommendation
It can improve its inventory management system by introducing perpetual inventory system this will help them to track the inventory and it will also help the company to reduce its raw materials. This will ultimately reduce overall production cost. The packaging, mixing and loading-unloading section of this company require lots of workers. It can decrease the number importing machines and by automating those sections. As it is trying to export its products and improve product quality, it can establish quality control department, which is independent from other departments The works of marketing department and production department should be integrated. Its demand forecasting should be more scientific and scheduling procedure has to be more updated. Lag time between different workstations should be decreased by installing more convey belts or, by automation.