business operations of chenab (chenone)

Operations and Marketing aspects of Chenab Textile

It was established in 1974 by Mian M. Latif the Chairman, later joined by Mian Javed Iqbal and Mian M.Naeem

Chief Executive Mian M. Latif 14.51

Director marketing Mian M. Naeem 17.57

Director Operation Mian M. javid Iqbal 12.94

Director Textile Division M. Fiasal Latif 02.45

Director Garment Division M.Frahan Latif 07.32

Director Chen-One M.Kashif Ashfaq 06.49

Director Overseas M. Rizwan Latif 03.00

Key Persons Share %

To be a competitive and customer focused organization with continuing commitment to excellence and standards.

To be business house of first choice for customers. To be change leader. To produce innovative, relevant a cost effective products. Setting and maintaining high standards To earn profits by achieving optimum level of production by

using state of the art technologies. To provide ideal working conditions to employees. To meet social and cultural obligations towards the society

being a patriotic and conscientious corporate citizen.

Raw materialChenab usually use the blends of• cotton polyester, •cotton viscose, •cotton acrylic, •on the quantity based the jute is most important.

Machinery or Equipments

• Chenab has 19,200 spindles at its Spinning unit

with house space of 520,000 square feet (48,000 m2).

• Chenab's weaving unit is equipped with 250 air jet

looms and 380 auto looms.

• Chenab is also equipped with a stitching unit for

ready-made garments.

Production Facility No of Machines Capacity (Per Day)

Spinning 19,200 Spindles 36,000 lbs

Weaving 270 Auto Looms 18,000 mtrs

Weaving 240 Air Jet Looms 80,000 mtrs

Bleaching 3 225,000 mtrs

Dyeing 3 90,000 mtrs

Printing 4 160,000 mtrs

Finishing 22 250,000 mtrs

Polyester Wadding 1 Plant 18,000 kgs

Fabric Coating 1 15,000 mtrs

Stitching 1584 210,000 mtrs

Quilting 14 25,000 mtrs

Embroidery 6 4000 mtrs

Gas base power generation 14 Generators 15.6 M.W

Location of production units• The cloth processing unit is located at Nishatabad, District

Faisalabad • Stitching units are located at Nishatabad, District Faisalabad

and Shorkot Road, District Toba Tek Singh.• Weaving units are located at Sheikhupura Road,

Khurrianwala, District Faisalabad, Jhumra Road, Gatti,District Faisalabad, Sheikhupura Road, Kharrianwala, District Sheikhupura and Shahkot, District Nankana Sahib

• Spinning unit is located at Shorkot Road, District Toba Tek Singh, in the province of Punjab.

Product RangeIn product range Chenab Textile offerings are in widest range of:

Production of Chenab SPINNING WEAVING PROCESSING STITCHING

SPINNING • Bales is mixed and blended

together for uniform blend • Bales are grouped for

production according to fibre properties

• The spinning facility spread over 520,000 Square feet houses 19,200spindles.

WEAVING • Making yarn into fabric• Lengthwise yarns called the

warp • Weaving units are equipped

120 air jet looms of 75,110 and 134 ch of 36 million sq/m per year, and 376 auto looms 15 million sq/m per year.

PROCESSING The Processing unit of Chenab is divided into following categories:•Preparation•Dyeing•Printing•Design studio•Finishing

Preparation:Different fabrics are quality controlled by Hi-tech before they go to singeing, bleaching and mercerising lines.Dyeing:Dying lines and more versatile jiggers and pad steam units allow to dye fabrics in the widest imaginable colours.

Printing:Fabric are printed with speed, accuracy and consistently high quality with machines ranging from 12 to 24 colours,widths from 72" to 120".Design studio:Computer aided design systems, wax-jet ,colouration system based on ink jet technology with CAD,Scan jet 6100c,Contact Camera

FinshingStringent laboratory testing and a full complement of advanced technologies allow to offer a multitude of pre-treatment and to meet every specific requirement.

STITCHINGStitching all sorts of casual/fashion garments equivalent to 45,000 m of fabrics daily equippedcomputerized mechanical systemssuch as: •Gerber technology •Equipment for accurately cutting articles•Advance panel fabric cutter•Switch Track stitching system•Advance stitching with automatic trimming mechanism

Certificates:•ISO 9001 •ISO 14001•SA 8000 & WRAP•C-TPAT•OHSAS 18001Awards:9th time won the “Best Export Performance Trophy Award”(FPCCI)

Distribution chanab textile Chen One is the exclusive outlet of the chanab textile. Chen One is a chain of

fashion stores owned by Chenab Group (based in Faisalabad , Pakistan).

The first Chen One store was opened in 1997 at Islamabad.

Location of ChenOne • Islamabad • Rahim Yar Khan• Karachi • Rawalpindi • Faisalabad (Serena Hotels) • Peshawar • Abbottabad • Lahore (Defence branch) (Gulberg branch)• Multan

Outside of Pakistan• Abu Dhabi • Dubai (Jumeriah) • Dubai (Dubai Festival City) • Makkah • Ajman • Riyadh (Olaya Road near to Kingdom Tower) • Al-Ain

Organizing inventory

Supply chain management of the Chen One

Marketed oriented mission

Marketing objective• increase its sales by opening a number of new outlets for easier

accessibility to its customers.

• opening of new stores under a new brand name which would target the middle and lower middle class so as to increase their market share and gain more customers.

• plans on opening more stores abroad

Marketing process

Market segmentation:• Chen one is doing Niche marketing because they have divided their

market into different segments of cloth in which their segments are

Target marketing• Chenone target the Middle East and Pakistan.

• Chenone target s the people 3 month to 45 ages

Positioning• designed its products according

to the customer wants and demands.

• has created brand image among its consumers.

• positioning of its products is based on product differentiation.

• Differentiation of product on the basis of quality

Marketing Mix

Product• There are manufacturing

comfortable clothes with good quality

• Chenone has a latest collection of woman wear

• ChenOne offers replacement offers for its clothing products

• The replacement offer is valid to customers conditioned you follow the policies and instructions provided with the product

Pricing

• Chen one has set a skimming price technique to generate revenue.

• Its market consists of people who demands best quality and trendy

lifestyle and have the buying power to pay more for its products

• They also carry out research on competitor’s price and brand loyalty

when it feels extreme necessity of changing price.

Place• Chen one using indirect channel of supply. • Chen one extends its outlets all over the Pakistan and worldwide. • In worldwide they target the Middle East and Europe.Chen one is associated with honorable places.• President House• Prime Minister House• Royal Palm Golf & Country Club, Lahore.• governor House, Lahore• Serena Hotels• Pakistan Military Academy, Kakul

Promotion

• The major channels of promotions in Pakistan are

• Billboards

• Newspapers

• Fashion Magazines• Internationally it has its own fashion magazine

• Marketing Budget:• 5% to 6% of their gross sales

Action Plan• It has different action plans for

different seasons like winters, summers, Ramadan and Eid seasons.

• It has sales discounts offers for off season products at the end of each season.

• In winters it introduce new products and sell the off season products at discounted prices, vice versa is done for the other seasons.

Competitive Advantage• Brand Equity: They are different from their competitors

with the help of :• R&D Investment• Skillful advertising• Excellent trade• Customer service

Competitors

Business fortfolioChenOne place their products in three main categories;

Home: In home category they have Furniture, Accessories and Bed linen.

Garments: Garments have three categories• Men's wear• Kids wear• Ladies wear

Prettyfit: Pretty Fit established a strong foothold as quality shoe retailers

BCG matrix

Product life cycle

Their products always have a margin of growth in sale.

Marketing strategy They use marketing concept by using they consider the need and wants of their target market and provide them satisfaction better than competitors do.•Sales through Franchised Outlets•Direct marketing

Swot analysis• Strength Weakness• One store solution Target marketing niche• Superior quality high price• Distribution network static target market• Establish target market• Brand name• High emphasis on personalization• Strong word of mouth publicly• Strong management• Accessibility

Opportunities threat •International market direct/indirect competition•National market related/unrelated diversification •New segments international diversification•Discount political instability high inflation