Presented by

Salman Ilyas MBC-08-40

Ali Abrar
MBC-08-55
Nouman Shafi MBC-08-58
Zia ur Rehman MBC-08-62
Adnan Laeeq MBC-08-63

PARCO was established in 1972 as joint venture between the

governments of Pakistan and Abu Dhabi.
For this purpose the first project was completed in 1981, by laying an
864 km 16 dia pipeline from Karachi to Gujrat (Mahmood Kot).
This pipe line is in operation from last 21 years. This pipeline was laid
as a first phase for the mid country oil refinery.
from 1982 PARCO was in the Business of Transportation. They
received the oil of marketing companies and give the facility of
transportation from Karachi to Mahmood Kot.

To remain among tomorrow's corporate winners, it may not

only need to have a clear vision but also a passion for
translating that vision into reality. The big challenge is
therefore, not only trying to figure out what future will be
the right one, but also to choose a future that will give
definite competitive advantage to the Company over the
long-term. Therefore, creating a cause for action besides
charting a course on how to get these.

To maintain PARCOs flagship role in the countrys

energy sector by making it a fully integrated oil
conglomerate through broader vision, accentuated
drive and professional excellence. A continuous
struggle is needed to make PARCO a symbol of
success that can offer unmatched benefits to its
owners, employees, business associates and the
community it operates in.

Progressive Corporate Outlook

Aggressive Pursuit of Technical Excellence
Reliability of Service
Consistency in Performance
Organized and Systematic Development
Provide the Environment Friendly
Utilize the Maximum production Capacity
Increasing the Employees morale and
efficiency

Super Gas LPG

Perl gas
Jet fuel
Total lubricants

SAME

SAME

PENETRATION
STRATEGY

PRODUCT

DIFFERENT

PRODUCT
DEVELOPMENT

MARKET

MARKET
DIFFERENT

DEVELOPMENT

DIVERSIFICATION
STRATEGY

Buyers/Customers
Rivals/Competitors
Direct Competitors
Indirect Competitor
Suppliers
New Entrants

MODIFIED
BUY

NEW TASK

STRIGHT
REBUY

ANTICIPATION OR RECOGNITION OF A PROBLEM (NEED):

Basically the purchasing decision process is triggered by the
recognition of a problem, need, or potential opportunity.

DETERMINATION OF THE CHARACTERISTICS AND

QUANTITY OF NEEDED ITEM:
They told that now we identify the problem once the problem is identify if would be
far most easy for the company to decide what they have to do. What characteristics of
the needed item required to satisfied the Air lines company. So they launch JP8.

DESCRIPTION OF THE CHARACTERISTICS AND QUANTITY

OF THE NEEDED ITEM:
In this Phase, they told due to the nature of the industry we are
competing for quality products so different departments work together
to purchase right quantity without any conflicts with other departments.
If one department refuse or object to purchase so the whole process will
be having conflicts.

SERACH FOR AND QUALIFICATION OF POTENTIAL SOURCES:

They told us that their R&D Department and engineers collaboratively work to select the
best supplier who meets the requirements of the company. It is a very long process because
the investment and other factors are involved.

ACQUISITION & ANALYSIS OF PROPOSALS:

They analyze the different proposals of suppliers and select the best supplier that
should be cost effective and also product and services are analyzed.

EVALUATION OF PROPOSAL AND SELECTION OF SUPPLIERS:

They told us that they select different supplier globally because of the nature
of the industry and competition.

SELECTION OF ORDER ROUTINE:

The seventh step in the buying process is selection of order routine. PARCO
forecasts the need of their final products and then place an order.

PERFORMANCE FEEDBACK AND EVALUATION:

Feed back in this sector is utmost important. Because due to uncertainty and
demand of customers. JGC checks the quality to make sure that their vendor
supplying right quality. They evaluate the performance biannually.

PARCO need to advertise more on OMC (oil marketing company)

from front to capture the market share in the Pakistans fuel
market.
PARCO needs to start installing its up-link pipe line from
Mehmood kot till Peshawar as quickly as possible to reduce the
transportation cost.
PARCO needs to go on full capacity as soon as possible as there
are rumors to establish new refinery by the name of PAK-IRAN
refinery in Balouchistan.
PARCO is the biggest oil refinery in the country but the limited
use of its product in Pakistans market, PARCO needs to find new
potential markets.