Download as pdf or txt
Download as pdf or txt
You are on page 1of 30

IMTIAZ SUPER MARKET

BY

SHAZIL ILYAS

Bachelors of Business Administration

27 APRIL 2021
DECLARATION

It is to declare that this research work has not been submitted for obtaining a similar
degree from any other university/college.

SHAZIL ILYAS
April 2021

1
ACKNOWLEDGEMENT

The opportunity to do this dissertation is no doubt one of the ultimate blessings of ALLAH
and HAZRAT MUHAMMAD (S.A.W.W). It has been a very pleasant journey.

I would like to express my special thanks of gratitude to my teacher Mam Muniba who gave
me the golden opportunity to do this wonderful project on the topic IMTIAZ SUPER
MARKET.

2
ABSTRACT/SUMMARY
This project is about Imtiaz Super market that is Pakistani local organization and its supply
chain structure that how Imtiaz super market is behaving in the market while meeting the
needs of its customers as compare to its competitors. It covers all the processes that are
followed by this organization in its supply chain activities in which the products are move
from the firms to Imtiaz warehouses and then these products are move towards Imtiaz store
from where customers can buy these products.

3
TABLE OF CONTENTS PAGE

CHAPTER 1: INTRODUCTION
1.1 BRIF INTRODUCTION OF EACH GROUP MEMBERS 5
1.2 BACKGROUND OF THE COMPANY 6
1.3 BRIFE HISTORY OF THE COMPANY 6
1.4 COMPANY GROWTH 7
1.5 SWOT ANALYSIS
1.5.1 Compare strengths with one competitor 8
15.2 Compare threaths with one competitors 9
1.6 PESTEL ANALYSIS 9
1.7 CHAPTER SUMMARY 10

CHAPTER 2: NATURE OF THE PRODUCTS AND SERVICES 11


2.5 PRODCUT LIFE CYCLE 13

CHAPTER 3: SUUPLY CHAIN MANAGEMENT


3.1 INTRODUCTION WITH COMPLETE SUPPLY CHAIN PICTURE 14-16

3.2 DECISION PHASES IN SUPPLY CHAIN AS PER YOUR 16-17


SELECTED COMPANY
3.3 PLANNING SUPPLY AND DEMAND IN A SUPPLY CHAIN 18
3.4 PRICING AND REVENUE MANAGEMENT IN SUPPLY CHAIN 19-20
3.5 DEMAND FORECASTING IN SUPPLY CHAIN 21
3.6 CO-ORDINATION IN A SUPPLY CHAIN 22

CHAPTER 4: DISCUSSION AND CONCLUSION


4.1 CONCLUION 23-25
4.2 BREIF COMPARISON WITH COMPETITOR 26-27
4.3 LIMITATION AND FUTURE SCOPE OF THE COMPNAY 28

REFERENCES 29

4
CHAPTER 1: INTRODUCTION

1.1 INTRODUCTION

It’s my Pleasure to introduce myself. My name is Shazil Ilyas. I live in Islamabad since
my childhood. My native hometown is Near Chakwal. I am presently enrolled in 6th
semester BBA in University of Lahore Islamabad Campus. I have done My Fsc (Pre
Engineering) from excellence collage. I chose this program (BBA) because I was
interested. My hobbies are learning, reading interesting books and topics and travelling,
and I like ancient places, things and history. I have many work experiences that I got by
doing different jobs in different local and multinational organizations with my studies. I
have a strong interest in Business.

5
1.2 BACKGROUND OF THE COMPANY

The story of Imtiaz began when Imtiaz Abbasi opened a Kiryana store which was
located in Bahadurabad. He made a trip to Singapore and came across the Al-Mustafa store
which was one of the largest retail chains in Singapore. He was impressed with their business
model and decided to open it in Pakistan named as Imtiaz and apply that model on it. When
he return they start adding more product categories in their existing product lines and the
journey of Imtiaz Begins.
Imtiaz, a venture of Mr. Hakim Khan Abbasi began operations in the year 1955. His
primeval idea was to kick off a small store which could provide general items of daily use to
their customers. Over the years as business grew, Mr. Imtiaz Hussain envisioned of making
Imtiaz Super Store, a store which would help make peoples life better. He had a vision to
serve people by helping them save money in their day today shopping; a vision to strive and
conquer their customer's with love.

VISION: Our vision is to be recognized and respected as one of the premier super
markets that is creating a world where everybody can buy like rich.

MISSION: “We Want Customers for Life” To earn customers loyalty, we must unlock the
potential of customers buying power to improve their quality of life.

1.3 BRIFE HISTORY OF THE COMPANY

Imtiaz Super store commonly called as imtiaz is a Pakistani supermarket that operates
supermarkets across the country. Imtiaz Supermarket started from a small store in 1955 in
Bahadurabad Karachi by imtiaz abbasi. By adding more and more products in their store they
form a superstore and after that the small kiryana shop become the large super retail store in
the market.

6
1.4 COMPANY GROWTH

The company grows with the passage of time after starting the journey from one
superstore the imtiaz retail chain is expended with the opening of different supply chain
stores in Karachi and then all the main cities of Pakistan. First store of Imtiaz is converted
from Kiryana and after 48 years of struggle Imtiaz opened its second store in 2003 in Awami
markaz Karachi. After that the chain of store opened in different cities of Karachi with small
gaps. They expand after the opening store in 2010 in Nazimabad. In 2013 Imtiaz was opened
in Defence Karachi, 2016 Gulshan-e-iqbal Karachi. The retailer also expanded to Punjab and
was opened in Gujranwala. In 2017 one branch was opened in Faisalabad. In 2019 A Clifton
Branch was opened. In 2020 Imtiaz Super Market enters into Islamabad and opened its
branch. In 2021 Imtiaz Super Market opened its branch in Sialkot. The company operates 16
stores throughout the country located in main cities of the country.

The Imtiaz Super store is the largest retail chain regarding its revenues. The imtiaz earn a
revenue double than its competitors. It is estimated that the Imtiaz Super market earns
revenue between Rs. 40 billion to Rs. 1000 billion yearly.

The reason for imtiaz growth is its relation with its customer. Imtiaz Super Market
always gives preference to its customers and always tries to fulfill their needs in a better way
that relations with customers helps Imtiaz to grow its revenue and expand in the market. As
well the customer visit imtiaz again and again because it offers high variety of products in the
market both local and imported products in the reasonable prices under the one roof. This is
also the reason for fastest growth in Imtiaz Super Market and that all things make it a market
leader in this segment.

7
1.5 SWOT ANALYSIS

The imtiaz super market has different strengths and opportunities that make it a
market leader on the other hand Imtiaz has different weaknesses and threats in the
environment as compared to its competitor Carrefour.

1.5.1 COMPARE STRENGTHS AND WEAKNESSES WITH ONE


COMPETITOR

The imtiaz super markets biggest strength is Economies of scale Imtiaz is buying its
products in a bulk quantity based on the demand for these products and store it’s the entire
inventory in the warehouses that are located near the retail store. This creates the good
relation of the imtiaz with different companies. The economies of scale allows the imtiaz to
decrease its overall cost of purchasing inventories that in terms help the imtiaz super market
it offer all the products in very low prices even much lower than the company prices as
compared to its competitors. On the other hand Carrefour does not has the strength to buy the
inventory in the bulk due to lower storage because imtiaz always store its products in its
warehouses and under the retail warehouse but Carrefour only store its inventory within its
built in warehouse in its retail store. This strength allows the imtiaz to become a market
leader as compare to Carrefour because more and more customers visit imtiaz due to its low
prices of the products and services.

The weakness of Imtiaz super market is locations. All the imtiaz stores are located at
the locations that cause the road blocks and are already heavy traffic places as well as the
retail store space in the imtiaz is also small that cause the problem to its customers while
shopping from Imtiaz super market. The low prices of its product make its retail store full off
with crowd then customers feel uncomfortable due to its low space. On the other hand
Carrefour is located in the ideal locations and has high space in its floor so customers easily
and freely shop the products and services without facing any problems.

1.5.2 COMPARE OPPORTUNITIES AND THREATS WITH ONE COMPETITOR

There are many opprtunities for imtiaz to graspe the customers all over the world.
The imtiaz low prices can attract more and more customers and it becomes the opportunity
for imtiaz that the imtiaz super market can open more stores whereever they want as well as
their good relation with customers that imtiaz create by satisfying customer needs with quick
placement of products in the retail store so more and more customers visit Imtiaz to shop as
they know they can get everything under the one floor. The Imtiaz expansion becomes the
largest opportunity for imtiaz to grow it in the coming years.

On the other hand imtiaz super market also has a threat from its competitors. One of
its competitor carrefour if they started to open different warehouses near their retail shops

8
and buy inventory in bulks will lower their cost and they will offer a products at lower prices
as imtiaz do. Because carrefour is already located in the ideal locations with more space on
its floor then it can easily attract all the customer of imtiaz that in turns takes all the revenue
imtiaz earns and also carrefour takes a place of its market leader so it is the biggest threat for
Imtiaz.

1.6 PESTLE ANALYSIS

POLITICAL: There are some political factors that are faced by imtiaz. Political pressure is
possed on the Imtiaz super market due to large crowd of customers and heavy traffic jam.
These problems force the Imtiaz super market to close its retail store for some days.

ECONOMICAL: Imtiaz also bear some economical factors like heavy inflation now a days
is affecting the imtiaz revenue and force the imtiaz super market to inrease its prices of
products and services.

SOCIAL: The social environment of imtiaz is also effecting it as imtiaz offers everything
needed by customers but imtiaz appereals are not updated with the changing trends of the
market they are following the old trends so it force the customers to move toward another
cloth retailer.

TECHNOLOGICAL: In past years, Imtiaz Group has achieved growth through an


aggressive strategy for opening new stores. While Supermarket sales are a major driver for
this strategy the companys warehouses had become burdened by poor inventory visibility
and control and limited data that compromised its decision making. As an expanding
business they required a modern IT platform that could consolidate their Retail and
warehousing operations and foster the planned pace of growth.

LEGAL: The Imtiaz super market has different laws for consumers, safety standards and
labor laws. The imtiaz super market is breaking the labor laws by imposing extra working
hours on labor, high reduction in salary and does not give to labor what they promise that
cause the high turnover rate of labor in imtiaz super market.

ENVIRONMENTAL: The covid-19 factor now a days is highly affecting all the businesses.
It has also larger effects on imtiaz super market. The covid-19 factors force the imtiaz to
close early that reduces its daily sales and affects its overall profits. As well as it is also
difficult for imtiaz to manage large crowd of customers in store open hours.

9
1.7 SUMMARY

A journey start from a small kiryana store and become a leading retail store
of pakistan with higher revenue as compared to its competitors. Imtiaz super market was
started from one city and spread in all main cities of pakistan. It has strengths like buying in
bulks, offer products at low prices and attract more and more customers with customer
relation management. It has also some threats form its competitors like locations but have
many opportunities. Imtiaz super market is also surrounded by the different external factors
that are positively and negativly affecting its activities.

10
CHAPTER 2: NATURE OF THE PRODUCTS AND SERVICES

2.1 PRODUCT LIFE CYCLE

The product life cycle presents a model for understanding changes in demand over
a products life. Grocery stores stock a wide variety of products from perishable food to
magazines each of which can be in a different stage of the product life cycle at different
times. Understanding the life cycle of grocery products can help grocery store purchasers
add and remove products from store shelves at ideal times. Timing is crucial in the retail
grocery industry to take advantage of new high demand products while getting rid of slow
sellers or products that lose money.

INTRODUCTION PHASE: In this stage the new products are stocked on the shlves of
imtiaz super market for first time. On the other hand manufacturers and distributers are
working on the market to offer new product to Imtiaz. The purchasers of imtiaz are highly
focusing on these new products that may or may not catch the customers. At the same time
distributers offer high discounts for large orders that encourage the imtiaz to give a try to
new products.

Introduction phase

Imtiaz super market life cycle

GROWTH PHASE: In this phase the greater number of consumers becomes aware about
the products that cause the retailers to place large orders. If the new product was decided to
pass in the introduction stage then the growth stage is a best time to give it a try. In this phase
the product in the imtiaz retail store cover the target customers and it is also done by the
effective marketing strategies of manufacturers that makes the customers to be aware about
new offerings. So at this phase imtiaz experience high growth.

11
Growth Phase

Imtiaz super market life cycle

MATURITY PHASE: Demand levels off the maturity stage as most of a products target
market is aware of its availability and has formed their opinions of it. By this stage
purchasers should have a good idea of their expected sales for specific products making
purchasing decisions more straightforward than in previous stages. Some of the most
reliable and profitable grocery products fall into this category. Some products in this stage
are almost guaranteed to remain here indefinitely such as fresh milk and cheese although
the popular producers and brands may rise and fall over time. Most products on grocery
store shelves should be in this stage since they have firmly established their presence in the
popular recipes and dietary habits of local customers.

Maturity phase

Imtiaz super market life cycle

DECLINE PHASE: Continuous innovations in Imtiaz super market with different strategies
of low pricing, promotions by offering free gifts on shopping, growth strategy by opening
different stores in different locations and manufacturing its own product helps the imtiaz
super market to remain in the maturity phase that saves if from declining state.

A few years later, the store innovated again, this time offering home delivery to customers.
"At first there was one employee who went around to the houses of customers in the
neighboring area. They would send over a shopping list and he would load the stuff on a

12
truck and deliver it to their homes and offices," explained Abbasi. By now that truck has been
replaced by a number of delivery vans that collectively deliver to locations all over Karachi.

Innovations

Imtiaz super market life cycle

13
CHAPTER 3: SUUPLY CHAIN MANAGEMENT

3.1 INTRODUCTION WITH COMPLETE SUPPLY CHAIN


PICTURE

Supply chain at Imtiaz Super store.


Supply chain management at Imtiaz super store comprises of the following sub-sections.

PROCUREMENT AND DISTRIBUTION: Imtiaz Super Stores process of procurement


involves reducing its purchasing costs as far as possible so that it can offer best price to its
customers. The company procures goods directly from the manufacturers bypassing all
intermediaries.
Imtiaz Super Store has distribution centers. Imtiaz Super Stores own warehouses supplies
about 80 percent of the inventory. Each distribution center is divided in different groups
depending on the quantity of goods received. The inventory turnover rate is very high about
once every week for most of the items.

LOGISTICS MANAGEMENT: This involves fast and responsive transportation system.


Company owned trucks services the stores. These dedicated trucks enable shipping of goods
from distribution centers to the stores within 2 days and replenish the store shelves thrice a
week. The drivers hired are all very experienced and their activities are tracked regularly.
This allows the drivers to be aware of the terms and conditions for safe exchange of Imtiaz
Super Store property.
For more efficiency finished goods are directly picked up from the manufacturing site of
supplier sorted out and directly supplied to the stores. This system reduces handling and
storage of finished goods virtually eliminating role of distribution centers and stores.

INVENTORY MANAGEMENT: Considering the expansion of Imtiaz Super Store stores it


was essential to have a very good communication system. Imtiaz Super Store ensures that
unproductive inventory is as less as possible by allowing the stores to manage their own
stocks thereby reducing pack sizes across many categories and timely price markdowns.
Imtiaz Super Store makes full use of its IT infrastructure to make more inventories available
in case of items that customers wanted most, while reducing overall inventory. By making
use of Bar-coding different processes like efficient picking, receiving and proper inventory
control of the products along with easy packing and counting of the inventories was ensured.
A Centralized inventory database allows the personnel at the store to find out the level of
inventories and location of each product at a given time. It also shows the location of the
product like distribution center or transit on the truck. When the goods are unloaded at the
store the inventory system is immediately updated.

14
INFORMATION MANAGEMENT: In recent years Imtiaz Group has achieved growth
through an aggressive strategy for opening new stores. While Supermarket sales are a major
driver for this strategy the companys warehouses had become burdened by poor inventory
visibility and control and limited data that compromised its decision making. As an
expanding business they required a modern IT platform that could consolidate their Retail
and warehousing operations and foster the planned pace of growth.

SUPPLY CHAIN OF IMTIAZ SUPER MARKET: Imtiaz super market is a retail store so
imtiaz procure the goods and services directly from the manufacturers. The products that are
packaged by imtiaz like rice, beans and spices named as ponam and other products are also
procured directly from the farmers. All the procure inventory is stored in the warehouses of
imtiaz located near the retail stores. After managing all the inventory the products and
services that are needed a store are ordered in the form of stock request and then all the
products based on demand move to imtiaz retail store with company owned trucks and after
offloading all the products are stored in basement fro where the products move to final
shelves. Mostly imtiaz manage products and send stock requests at night due to small traffic
and also when it is closed.

Manufacturers Warehouses Retail Stores Customers

15
SUPPLY CHAIN DEPARTMENT OF IMTIAZ

3.2 DECISION PHASES IN SUPPLY CHAIN

SUPPLY CHAIN STRATEGY OF IMTIAZ: The imtiaz super market focus many
strategic decisions that are affecting the overall company. Imtiaz mainly focus on facilities
like locations of warehouses from where the procured product is stored and it is move from
warehouses to retail stores without any delays. All these decisions are taken by the senior
management of imtiaz. These decisions are affecting the overall costs because if warehouse is
too far it takes too much time to move the product from warehouse to retail store so imtiaz
always focus on best strategic locations.

SUPPLY CHAIN PLANNING OF IMTIAZ: In the second decision phase the Imtiaz super
market focus on procurement planning from where and how much goods should be procure
for the purpose of storage in the warehouse based on the forecasted demand for these
products. But Imtiaz super market is lacking behind in forecasting the demand for the
products due to missing automatic information systems that cause difficulties in forecasting
the future demand of products because they perform these activities manually done by
workers of every department. So there is lack of accurate planning in imtiaz.

16
Manually counting
products that are missing
in shelves to forecast
demand.

SUPPLY CHAIN OPERATIONS OF IMTIAZ: In this phase the imtiaz super market
perform operations in order to fulfill customer demand by moving the product from
warehouse to retail stores. In this phase imtiaz manage its inventory based on the manual
forecasted demand, after that imtiaz manages its transport in order to move the products from
warehouse to retail store. The time horizon that imtiaz is following is on daily basis, Imtiaz
moves its inventory to retail stores daily at night when retail store is closed. All the products
needed by customers move on the imtiaz floor from where customers can buy these products.
In this phase Imtiaz also manages the relationship with employees for example if customers
want to return something imtiaz manages relations by offering return vouchers.

Managing inventories

17
3.3 PLANNING SUPPLY AND DEMAND IN A SUPPLY CHAIN

DEMAND PLANNING IN IMTIAZ SUPER MARKET: In imtiaz super market due to


daily increase in population the customer crowd is also increasing day by day. As imtiaz
super market is a grocery store that includes the products that are needed by customers on
daily basis, so it is important for the imtiaz management to forecast the demand accurately for
the effective planning in demand. Imtiaz is using a manual processes for the planning of
demand by customers. The customers shop from imtiaz and when the stock on the shelves
remains in smaller quantities the responsible person of that department manually. After that
the imtiaz management plans their inventory according to the demand. It is very important
step and if it is done in accurate way all the work runs smoothly.

SUPPLY PLANNING IN IMTIAZ SUPER MARKET: Imtiaz super market also plans its
supply in order to meet the needs of the customers and offer all the products that are
demanded by the customers. All the inventory stock in the warehouses of imtiaz that was
procure directly from the companies and recorded in the information system of imtiaz (Sap).
When stock is dispatched based on the stock request it is automatically out from warehouse
system and added into retail store system from where sales record generates. From the
remaining inventory the purchasers plans how much new inventory to be ordered in order to
maintain the inventories in the warehouse for the future supply.

18
3.4 PRICING AND REVENUE MANAGEMENT IN SUPPLY CHAIN

PRICING MANAGEMENT: Pricing in imtiaz super market highly focused even the main
focus in imtiaz is on pricing because imtiaz super market is targeting low income based
people so it needs to be offer the prices that are easily affordable by its customers who have
low income. As imtiaz quote that “Piling high and selling low” which means imtiaz is not
compromising on storing large amount of inventories as imtiaz procure the products in very
large quantity that are with high demand, on the other hand imtiaz offer these products in its
retail stores with very low prices even much lower than the market prices buying in bulks
allow imtiaz super market to lower its prices so every low income can easily able to buy
products from imtiaz store. In this way all the products prices are managed in an efficient
manner in imtiaz super market. As well as the customer base for the retail store expanded, the
senior management realized that backward integration would be vital to maintain the
Company's competitive edge in terms of prices and quality of products. Over the years, a rice
mill and a flour mill have been added to the Company.

REVENUE MANAGEMENT: Setting low prices does not mean compromising the
revenue. Imtiaz super market is operating in the market because it is earning more and more
revenue. It is not important that you sell one product with maximum profit you can also sell
bulks of products with minor profit that will give you higher revenue at the end. Imtiaz is
offering its products in much lower prices to its customers but it doesn’t mean that imtiaz is
not earning. Imtiaz is following the economies of scale in which procuring good efficiently in
even much lower than the prices that market pays for the procurement of products so it allow
the imtiaz to offer at low prices same like imtiaz super market is focusing on selling high
with lower profits to earn greater revenue. Imtiaz is not compromising on its revenue even it

19
is earning higher revenue as compared to its competitors. Imtiaz yearly turnover of revenue is
Rs. 40 billion that make imtiaz a market leader. This show that imtiaz revenue is properly
managed according to the prices set by imtiaz super market that allow imtiaz to earn more
and more revenue.

20
3.5 DEMAND FORECASTING IN SUPPLY CHAIN

HOW IMTIAZ FORCAST DEMAND: For a retail store with higher crowd of customers
on daily basis difficult to forecast the demand. As imtiaz is not using the information system
iVendRetail that is the upgraded system use all over the world grocery retail stores, it is an
automated system that accurately record sales according to inventory stored in the
warehouses that allows the retail stores to forecast the demand. Imtiaz is using the SAP
information system that is not upgraded with this feature it only records sales in the retail
store and reduces the inventory that is out from warehouse it work separately so it is quite
difficult to forecast the demand for imtiaz. Imtiaz forecast the demand for the products
manually, imtiaz assign each worker a separate department that worker is responsible person
of the department who manages all the products in that department for example health and
beauty employee responsible for all the products related to this department. The product with
high demand is selling rapidly so that allows the responsible person to record it manually on
paper and reports this information to chemical department officer. On the basis of these
records imtiaz forecast the demand for the products that are with high sale. Also this
information helps the purchaser of imtiaz to order and procure the products from
manufacturer companies in high quantity to store it in the imtiaz warehouse. This demand
forecasting helps the imtiaz super market to better make the supply chain decisions.

21
3.6 CO-ORDINATION IN A SUPPLY CHAIN

The coordination in the supply chain is the concept in which everyone or together and every
process in a supply chain is aligned with the help of plans and objectives in order to improve
the performance of the supply chain activities. In Imtiaz super market coordination is very
strong in all activities that are involved in supply chain. The coordination starts from vendors
of the companies from where the purchasers of imtiaz super market procure the products in
order to store in the warehouses. The purchaser is coordinating with the vendor to ensure that
all the products are supplied to warehouse on time. At the same time the warehouse managers
are coordinating with purchasers and companies if delay occurs while supplying the products
from vendors. After the products reaches in the warehouse first of all these are stacked in a
proper manner in warehouse after that the stock request is received in a system from retail
store as well as the retail store management is also coordinating with the warehouse
management. The requested stock is loaded in the trucks that is the mode of transportation in
the supply chain of imtiaz super market and the trucks off towards retail stores. The
warehouse management continues to coordinate with truck drivers until the trucks was
received by the retail stores management. After receiving the trucks loaded with the requested
products the retail store management informs the warehouse management and the
coordination continues for next stock requests and procurement of products. All this
coordination help imtiaz to procure and deliver products on time and this will increase the
performance of all activities involve in the supply chain.

22
CHAPTER 4: DISCUSSION AND CONCLUSION

4.1 CONCLUION

Imtiaz Super market a Pakistan largest grocery store with higher sales is started from
a small kiryana shop. Imtiaz abbasi owner of imtiaz saw dream to make his shop Pakistan
largest grocery store. After facing many challenges and difficulties imtiaz launched its first
branch after that first branch imtiaz launched many branches in Karachi and different cities at
that time the vision of imtiaz abbasi is converted into reality and journey of imtiaz super
market continue. The launching of stores in different cities of the country is the growth of
imtiaz super market and to offer the variety of products and services to different citizens of
Pakistan. As written in imtiaz vision imtiaz always try to make its customers feel that they are
rich they can buy anything because of its low prices. The imtiaz biggest strength is economies
of scale that helps imtiaz to offer its product in even much lower prices better than its
competitors. Actually this is only the main strength of imtiaz on which it is running. Imtiaz
also has other strengths like customer relations, free offering and prizes but these strengths
are same like its competitors so its main price is piling high means buying is larger quantities
and selling at low prices in order to get more and more customers to its store and to increase
its revenue these strengths allows the imtiaz to take many opportunities from the market. On
the other hand imtiaz super market has one of the main weakness that causes many problems
in the future if it is continuously ignored. The biggest weakness of imtiaz is retail store
locations that cause problems for customers and for traffic that is passing outside from retail
stores this is the main weakness that maybe becomes opportunity for imtiaz super market
competitors. As well as imtiaz has some political issues because of creating different
problems in the environment, economical challenges now a days due to high inflation,
cultural changes, labor laws breaking problems is the biggest issue in imtiaz super market
now a days, some environmental problems and technology of imtiaz super market is lacking
behind imtiaz is not using automatic systems and is not upgraded on latest information
system that results in poor inventory in imtiaz super market that effect its decision making in
the supply chain.

Imtiaz start phase is very slow because it taken too much time to reach to a smooth
starting or beginning point. Because converting a kiryana store into a large grocery store is
very difficult for them. After that when imtiaz growth was started it rapidly grows to a
number of imtiaz store first in Karachi and then other cities of the Pakistan. The growth in
imtiaz also takes place because of increased population in Pakistan and increasing demand of
the customers for all products under the one roof. After that imtiaz maturity phase where
imtiaz is running smoothly and performing its activities to satisfy the customer needs also
after maturity the imtiaz again start to grow and open its new branches in the other cities of
the country. Continuous innovations allow imtiaz super market to save it from declining
phase. Innovation like in past years offering home delivery of products needed by the
customers at home and backward integration in which imtiaz is making its own products with
its own brand names like rice, grains, spices and beans names as Ponam and some other

23
products. These are innovations and strategies are helping imtiaz in its way to operate in the
business environment in an effective manner.

Imtiaz is a grocery story that procures the products directly from vendors of the
manufacturer companies. The purchaser orders the products that are needed by the customers
based on the previous purchase orders of imtiaz warehouse of an already running branch.
Companies receive these orders and supply all the ordered products to the warehouse of
imtiaz that is located new the imtiaz super market retail store. After that these products are
stacked into the racks of warehouse properly and on receiving request from the store imtiaz
move these products by using trucks into the store where this stock in further stored into built
in warehouse of store and finally move to shelves from where customer can buy these
products. So imtiaz supply chain is starts from manufacturers to warehouses to retail stores
and finally to customers. In these supply chain decisions like imtiaz super market make
strategic decisions of choosing the best locations of warehouses from the product can be
easily move from warehouse to imtiaz store. After that imtiaz management makes different
plan in order to procure the products to fill the warehouse from where the products finally
will move to floor or store of imtiaz. Now final decisions management take regarding
operations that involve filling the stock requests, transportations management and inventory
management, these are the operational decisions in which different activities are perform to
move the product to final customer. In order to make best decisions in supply chain imtiaz
super market plans its supply and demand. At first time imtiaz plans the demand according to
other running store after the sale of products all the staff manually count and send the request
to warehouse from where purchaser anticipate the high and low demand for different
products it is not much accurate but helps in getting more stock from the companies to store it
into the warehouse. Normally imtiaz receive products from its vendors weekly and store the
inventory of minimum two weeks, but the products with high demand imtiaz has vendors
twice a week for delivery of products to the warehouse. At the same time imtiaz plans its
supply according to the demand plans. Manages supply from vendors of store with in the
warehouse and also plan to supply the stock that is requested by the retail store of imtiaz
super market. After that imtiaz manages its prices according to the location in which imtiaz is
operating. Imtiaz want to make everyone feel to be rich and offer the products at the prices so
that everyone can buy the products and feel like rich. So imtiaz buying in bulks allow imtiaz
to offer the products at lower prices even lower than the competitors. Imtiaz offering products
at lower prices does not mean that they are compromising on revenue, imtiaz follow the same
process like buying high reduces cost and selling high increase overall revenue so imtiaz
manages its revenue according to the prices and this makes imtiaz super market a market
leader. Imtiaz has no automatic system so imtiaz forecast demand on manual basis on the
other hand its competitor Carrefour is completely using a fully automatic system to forecast
demand, store inventories and for supply purposes. Forecasting based on manual counting of
products needed in the imtiaz retail store not help imtiaz to forecast demand in accuracy but
helps imtiaz in better decision making in its supply chain . To run all the supply chain
activities in an effective and smooth manner imtiaz ensures a strong coordination in its supply
chain activities for a better control on activities and ensure all the activities are perform on
time without any delays. The imtiaz starts coordination from companies from where they

24
procure the products after that with vendors who are responsible to deliver the products to the
warehouse. This all coordination is done by purchaser and warehouse senior management.
While supplying the products to the retail store they start coordinating with drivers of trucks
who take the requested stock to the imtiaz floor to minimize the delays and at the same time
the management is coordinating with the store management in order to confirm the delivery
of products to the retail store of imtiaz.

25
4.2 BREIF COMPARISON WITH COMPETITOR

IMTIAZ

• Started in 1955.
• Number of locations is 16 in different cities of Pakistan.
• Headquarters Karachi.
• Area serving only Pakistan.
• Industry is retail.
• Founder Imtiaz abbasi.
• Type of organization is private.
• Two to three warehouses in every city located near retail store.
• Products are Electronics, movies and music, home and furniture, home improvement,
clothing, footwear, jewelry, toys, health and beauty, pet supplies, sporting goods and
fitness, photo finishing, craft supplies, party supplies and large dealings in grocery.
• 10000+ numbers of employees are working in imtiaz super market.
• 400k+ local customers across Pakistan.
• 52000+ products holding 10000+ brands along with the best prices and promotional
deals to its customers.
• 250,000 shoppers visit each day.
• 85,000 growing unique clients.
• Initial logo of imtiaz containing trolley was change into new one in 2020 that
represents its vision and mission, Star embracing change and excellence happy
customer valuing customer and stakeholders, Tick righteous business ethics and an
arch symbolizing strength and support.
• For a sustainable environment imtiaz controlled usage of plastic bags and promote
usage of paper bags and cloth bags.

26
CARREFOUR

• Started in 1958.
• 6 hypermarkets in Pakistan.
• France.
• Area serving Pakistan and Europe, Middle East, North Africa, South Asia, East
Asia, South America.
• Industry is retail.
• Founder Majid al Futaim in Pakistan.
• Type of organization is public.
• Built in Warehouses in Pakistan.
• Grocery, electronics, Apparels, toys, health and beauty, and many other products both
local and imported.
• Near 3000 employees/
• Approximately 100k local customers across Pakistan.
• 20000 to 80000mproducts.
• Almost 10000 shoppers visit every day.
• 500+ clients in Carrefour Pakistan.
• Majid Al Futtaim had a presence in Pakistan since 2009 through the hyperstar brand
which introduced modern retail to the country. Hyperstar grew from one store to six
hypermarkets and expanded to three major cities in Pakistan Lahore, Karachi and
Islamabad. The rebranding to Carrefour will further enhance modern retail in Pakistan
and provide customers with the retailers bespoke shopping experience and customer
service offering.
• To reduce the environmental impact Carrefour will continue to use bio-degradable,
reusable bags.

27
4.3 LIMITATION AND FUTURE SCOPE OF THE COMPNAY

LIMITATIONS

• Must keep up with the updated technology for example upgrade old information
system (SAP) with an updated information system iVendRetail.
• Focus on demand and supply accuracy by using automatic systems.
• Educate all the employees and management for an updated technology to run the
systems smoothly.

FUTURE SCOPE OF THE COMPANY

INTERNATIONALIZATION: The main motive of making it international is to make the


store more diversified In terms of products and have loyal customers worldwide and it is also
vision of imtiaz abbasi to make it on international platform.
Imtiaz supermarket has grown its network to the cities of Pakistan in very few years
from a small grocer’s shop to a bestselling supermarket in different areas of Karachi as well
as Gujranwala and Faisalabad and may expand to all big cities of Pakistan. It has become a
leading superstore chain in the country. The quality of the product with lower prices always
attracts consumers especially in FMCGs. The yearly turnover of Imtiaz supermarket is Rs 40
billion to Rs 60 billion; Imtiaz store serves 70,000 customers per day with 35,000 varieties of
different goods and products. They import western brands products as well. They are also
ahead of the MNCs such as Metro cash and carry (German wholesale and retailers) or Tesco
which has recently started in ocean mall Clifton Karachi.

28
References
Ayesha Sheikh (15 may 2017) https://aurora.dawn.com/news/1142028/from-a-kiryana-to-a-
superstore-the-success-story-of-imtiaz-super-market

http://www.brecorder.com/market-data/rates-a-schedules/118/1172879/

http://www.scribd.com/document_downloads/direct/114280880?extension=docx&ft=136922
5764&lt=1369229374&user_id=48337637&uahk=XxHuKRcQOlt1FLmPZqPG85asowk

http://www.citixsys.com/blog/imtiaz-supermarket-goes-live-on-ivend-retail/

http://www-304.ibm.com/businesscenter/cpe/download5/29826/RCC_WhitePaper.pdf

https://www.pakistankakhudahafiz.com/pakistani-brands-found-success-global-competitors/

http://aurora.dawn.com/news/1142028

29

You might also like