The document is an internship report submitted by Ateeba Abid for their MBA degree. It summarizes their 6-week internship at Masood Textile Mills, a leading textile manufacturer in Pakistan. The report provides an overview of the company's departments, including human resources, merchandising, production planning, production, quality assurance, and stores. It also analyzes the company's finances, marketing strategies, and includes conclusions and recommendations.

1. By:
Ateeba Abid
MBA (HRM)
Internship Report submitted in partial fulfillment of
The requirements for the degree of
MBA
Department of Business Administration
GC University, Faisalabad
1

2. Masood Textile Mills
CERTIFICATE BY THE RESEARCH SUPERVISOR
I certify that the contents and form of internship report submitted by
Mr./Mrs………………………………, Roll No………….. has been found satisfactory
and according to the prescribed format. I recommend it be processed for
evaluation by the External Examiner for the award of the degree.
Signature………………….................
Name: ..............................................
Stamp……………………….
Chairperson
Dean,
Faculty of Management Sciences,
GC University, Faisalabad.
2

3. Masood Textile Mills
3

4. Masood Textile Mills
4

5. Masood Textile Mills
I would like to dedicate this project report
To my beloved parents
and
respected teachers,
because
whatever i am today is all due to their prayers
and
their support
5

6. Masood Textile Mills
Preface
It is the age of information & competition. The scientific advancement has made the life more
dynamic & competitive worldwide. So one must have practical knowledge and trained enough to
live successfully in present competitive situation because it is becoming difficult to survive
without creating changes & adapting ourselves according to these changes.
The students of MBA receive knowledge during their study, has completely theoretical base. Their
ideas remain unsaturated, unless students do not have any practical experience. So to provide the
students an extensive exposure of practical business aspects, department of business management
sciences arrange a compulsory 6 weeks internship program, for all of its MBA students, in a well-
known organization. This thing enables the young business executives to familiarize with
professional business approach. To enhance their writing skill, the students are also required to
make the written presentation of their experiences during internship program.
Masood Textile Mills Ltd. (Apparel Division) a leading organization in Garment sector was
assigned to me for internship. This report is about my experience & knowledge, which I have
gained during my internship program. In this report I have made a humble attempt to express most
efficiently and effectively what I experienced & observed at Masood Textile Mills (Apparel
Division). I think that this report will be really helpful for those who want to know about Masood
Textile Mills Limited (Apparel Division) Faisalabad.
6

7. Masood Textile Mills
Acknowledgement
All praises and thanks from deepest core of my heart are for the ALMIGHTY ALLAH. The
beneficent and the merciful, whose blessing enables me to complete this internship report. With all
the love, I have in my heart and soul, with all the respect i have in my mind and i praise for the
great personality of the world HOLLY PROPHET MUHAMMAD (PBUH), the city of
knowledge, torch of guidance who has guided his followers to the knowledge from cradle to grave.
I am pleased to present this report on the successful completion of my internship at Masood
Textile Mills, Ltd (Apparel Division). I am very thankful to every person that enables me to
present this report which is the result of my hard work, struggle, determination & delegation (to
present it up to the best of its requirements) and blender of co-operation (of the management,
supervisors, operators, inspectors, clippers, helpers, machine mechanics, industrial engineers,
seniors & the “T & D” of HR), definitely it is a Team Work. I wish to acknowledge a lot of
people for their valuable contribution to this report.
I am certainly indebted to my Management, for providing us such a great chance to learn. I would
also like to extend my gratitude to my honored, valued Sir Qamar Ali (Research Supervisor),
who have planned our internship session and help us in every step to complete our internship
successfully. I could not forget his affectionate supervision and invaluable knowledge which he
contributed to work in a multitude of ways.
Last but not the least, I express my admiration to my friends and parents. It was only due to their
moral support that enables us to complete my work efficiently and proficiently.
May Allah give them His blessings along happy life (Amin)
Ateeba Abid
7

8. Masood Textile Mills
Contents
Sr no: Discription Page no:
1. Executive Summary............................................................................................................. 9
2. Objective of the Study....................................................................................................... 10
3. Introduction........................................................................................................................ 11
a. Awards..................................................................................................................... 12
b. Mission..................................................................................................................... 15
c. Vission......................................................................................................................15
d. Customers................................................................................................................ 16
e. Product line.............................................................................................................. 17
f. Organizational Hierarcy........................................................................................... 19
g. Apparel Division...................................................................................................... 21
4. Human Resource Department.......................................................................................... 23
5. Merchandising Department.............................................................................................. 33
6. PPC Department................................................................................................................ 38
7. Production Department..................................................................................................... 43
8. Quality Assurance Department ........................................................................................49
a. MilitarySample Standards........................................................................................ 52
9. Industrial Engineering...................................................................................................... 53
10. Stores .................................................................................................................................. 56
8

9. Masood Textile Mills
11. Financial Department........................................................................................................ 59
a. Balance sheet........................................................................................................... 62
b. Cash Flow Statement............................................................................................... 64
c. Profit and Loss Account........................................................................................... 65
12. Marketing Analysis............................................................................................................ 66
a. SWOT analysis........................................................................................................ 67
b. PEST analysis.......................................................................................................... 69
13. Conclusion & Recomendations......................................................................................... 70
14. Bibliography....................................................................................................................... 72
9

10. Masood Textile Mills
Executive Summary
In this 8 weeks internship program I attended the lectures of key departments (Cutting, Stitching,
PPC, Merchandising, Quality Assurance, Stores) of this largest knitted garment manufacturers of
Pakistan which are delivered by experienced managers running these departments. After attending
the lectures I also visited these departments for acquiring practical knowledge.
All the departments of Masood Textile Mills Ltd. (MTM) start their activities when the
merchandising department receives the purchase order (PO) from the customer. This PO is sent to
PPC department for further processing. After the PO confirmation the stitching department gets
cutting from induction department and starts production, other departments also work along with
production units.
I also observed that MTM is fully modernized and equipped with latest cutting, stitching and
packing machines. Complete back track system and Apparel Management Systems are unique
characters of MTM. It is fully equipped with quality control laboratory which frequently check the
quality of fabric. Quality assurance checks the quality of finished products; it makes sure 100%
error free products.
Human Resource Department in Masood Textile Mills Ltd. (MTM) is very strong. There are four
main functions of HR department. Which are Recruitment and selection, Compensation and
benefits, Training and development and Performance appraisal.
10

11. Masood Textile Mills
Objectives of the study:
The main objectives of studying the organization are:
• A big organization to learn most out of it.
• Comprehensive and Systematic functions to enhance my capabilities.
• Exports based Company.
• More advantageous than locally dealing Company.
• Tremendous Transactions.
• Public Limited Company.
• To Polish my Self.
• Practical application of the knowledge obtained in the specific area.
• To review whether or not the theoretical concepts of specification are being applied.
• Internships will provide me the opportunity to test my interest in a particular career before
permanent commitments are made.
• Internship will develop my skills in the application of theory to practical work situations.
• Internship will develop my skills and techniques directly applicable to my careers.
• Internships will aid me in adjusting from university to full-time employment.
• Internships will increase my sense of responsibility.
• Internship will acquire my good work habits.
• Internships will provide me the opportunity to understand informal organizational
interrelationships.
• To equip myself with enough practical experience to have a good practically,
Successful career
11

12. Masood Textile Mills
Introduction:
MTM(apparel division) is a SBU of Masood group.Masood group was founded by Mr.Ch Nazir
Ahmad father of Mr.Shahid Nazir.Kohistan bus service was the first professional step by Ch.Nazir
Ahmad After wards dreamland hotel, sangeet cenima and aizad beverages were established in
1978 and 1983 respectively. Mr.Shahid Nazir and Mr.Zahid Nazir helps his father by the formation
of industrial cooperative bank along with the development of Rabia trust hospital. Kaka khel Ghee
mills and a flying training school were founded in 1994. The Masood Textile Mills is a Public
Limited company. The company has latest equipment and machinery to serve globally. The
company has modern computerized networking system. All the Accounting and finance related
work is carried out through computers. The company has capability in Fabric, Ginning, Spinning,
Knitting, Laundry and Apparel manufacturing.
The company’s apparel division, which is producing high quality garments, is situated at Sargodha
road, near General Bus Stand Faisalabad. But its registered office has shifted to canal road
Faisalabad. Which is obtained on lease? The company implemented the quality system and had
awarded ISO 9002 & WRAP certificate. The company maintains quality standard at all levels to
establish consistency and efficiency. The company is exporting its products to U.S.A, U.K. and
Germany
12

13. Masood Textile Mills
AWARDS
FTL Accuracy of Information and Compliance Supplier award (2006)
FTL has awarded MTM "Accuracy of Information and Compliance Supplier Award ".
JCPenney Purchasing Partnership Award (2004 , 2006)
Posted on 12-April-06
JCPenney has awarded MTM "Purchasing Partnership Award".
UBL - UBL Award
Posted on 12-April-07
Divisional Quality Award 2005
Posted on 25-May-06
13

14. Masood Textile Mills
JCPenney has awarded Masood "Divisonal Quality Award".
WRAP - Worldwide Responsible Apparel Production (2004, 2005, and 2006).
Posted on 25-May-06
Masood Textile Mills Ltd. is certified by the WRAP Certification Board.
Quality Control Award 2005
Posted on 21-May-06
Fruit of the Loom has awarded Masood "Quality Control Award 2005".
Operational Excellence Award for 2002
Posted on 23-Jul-03
14

15. Masood Textile Mills
JCPenney has awarded Masood "Operational Excellence Award for 2002".
JCPenney has awarded Masood "Best Quality Award for 2002" Certificate.
"Quality Recognition 2001-2002" Certificate
Posted on 30-Nov-02
Russell Corporation has awarded "Global Quality Recognition 2001-2002"Certificate.
JCPenney Awards Masood "The best supplier of the region award 2001-2002". The ceremony was
held in Singapore on 17th July 2002. Shahid Nazir (C.E.O.) received this award.
15

16. Masood Textile Mills
Company Mission:
"Our Mission is of continual improvement and sustained growth, and of a family of workers. Who
are given the best compensation benefits and working conditions in the region. In this respect,
mTm continues to emphasize the need to invest in and develop its most precious resource - its
human capital. mTm continues to provide training courses and self-enhancement opportunities for
all our workers".
Vision
To be the world’s best apparel company
Organizational Values
Trust…….Integrity…….Respect
Quality Policy
1. Customer’s satisfaction
2. Zero Defect/Never Ending Improvement
3. Total Quality Management
16

17. Masood Textile Mills
Main Cuctomers of MTM:
Champion Chaps Calvin Klein Dockers
Product
line:
MTM is a leading apparel company in Pakistan having expertise & machinery capable of
transforming customer ideas into superior quality garments, which are taken as the most
GAP Hanes JCPenney Levi's
famous brands in the world.
Nautica Polo Polo R.L Russell
Speedo Tommy Hilfiger Tom Tailor Vantage
Sears Jockey Guess Foot Locker
17

18. Masood Textile Mills
Types of fabrics:
• Jersey
• Single jersey
• Bird eye
• Striper
• Lycra
• Sueded
• Double
• Heavy jersey
• Rib
• Interlock
• Terry
• Waffle
• Mini thermal
• Pique/pk fabric
18

19. Masood Textile Mills
Vertical Operations:
Spinning
Knitting
Fabric dying Mills
Finishing
Laundry
Cutting
Stitching
Finishing Apparel Division
Packing
Organisational Hierarchy:
Chief Executive
Officer
19

20. Masood Textile Mills
General manager
Senior Manager
Manager
Deputy Manager
Assistant Manager
Senior Officer
Officer
Management
Trainee
Employees
Permanent Employee
Mills 6500
Garments 9515 15015
20

21. Masood Textile Mills
Piece Rate Workers
Mills 4000
Garments 4529 8529
TOTAL 23544
Departments
Departments can be distinguished into three categories
Operations, Services & Finance
1. Operations
• Production Planning & Control
• Industrial Engineering
• Cutting
• Production
• Quality Assurance
2. Services
• Human Resource
• Information Technology
• Merchandising
• Purchase
• Quality Assurance
21

22. Masood Textile Mills
• Product Development
3. Finance
• Accounts
• Inventory
APPAREL DIVISION Organizational Structure
Flow of Apparel Division
• Marketing
• Merchandising
• PPC
• Cutting
• Induction
• Production
Sewin to Pack
• Quality Control
• Quality
Assurance
• External Audit
• Shipment
22

23. Organizational Structure of Apprel Division:
General
Manager
Div. Manager Div. Manager
Production
Manager
AP Manager
Unit Manager
Quality Control
Manager
Product Inline Clippin Finshi Packin
ion Superv g ng g
Supervi isor Superv Superv Superv
Operat Inline Clippin Final Packin
ors Inspec g Inspec g
tor Person tor Person

25. HRM Department
At a general level, it is important to analyze training needs against the backdrop of
organizational objectives and strategies. Unless you do this, you may waste time and
money on training programs that do not advance the cause of the company People may be
trained in skills they already possess the training budget may be squandered on rest and
recuperation sessions, where employees are entertained but learn little in the way
required job skills or job knowledge, or the budget may be spent on glittering hardware
that meets the training director’s needs but not the organization’s.
It is also essential to analyze the organization’s external environment an internal climate.
Trends in the strategic priorities of a business, judicial decisions, civil rights laws, union
activity, productivity, accidents, turnover, absenteeism, and on the job employee behavior
will provide relevant information at this level.
However, assessing the needs for training does not end here. It is important to analyze
needs regularly and at all three levels in order to evaluate the results of training and to
assess what training is needed in the future.
At the organizational level, senior managers who set the organization’s goals should
analyze needs.
At the operations level, the managers who specify how the organization’s goals are
going to be achieved should analyze needs.
At the individual level, the managers and workers who do the work to achieve those goals
should analyze needs, keeping in mind that performance is a function both of ability and
motivation.
Human Resource Planning
Human resource planning is all about measuring the organization need to identify the
numbers of employees and skills required to do those jobs. Further, an understanding of
available competencies is necessary to allow the organization to plan for the changes to
new jobs required by corporate goals.
At MTM, major changes according to economic and social environments are required
purchasing new and additional office equipment to enhance efficiency e.g., computer
hardware or software, coping with the recall of a defective product and dealing with the
need for a new design e.g. new automatic rotary machine.
This suggests several specific, interrelated activities that together constitute an human
resource planning system.
They include:

26. A talent inventory to assess current human resources and to analyze how they are
currently being used.
A human resource forecast to predict future HR requirements.
Action plans to enlarge the pool of people qualified to fill the projected vacancies
through such actions as recruitment, selection, training, placement, transfer, promotion,
development and compensation.
Control and evaluation to provide feedback on the overall effectiveness of the human
resource planning system by monitoring of HR objective.
.
Structure of the HRM Department:
Manager HR
Assit Manager
HR
Sr. HR
executive
HR executive
HR Assistant

27. Number of Employees working in HRM Department
Now I’ll discuss the personnel management of Masood textile Limited under various
steps of Human Resources Management Masood Textile also knows this fact and has
personnel department. Personnel Department of Masood Textile can be critically
analyzed on the basis of various steps of human resources management process.
First I would like to describe the ware bouts of department. Department is situated in an
old building which was constructed at the time of establishment of Masood Textile. There
are about 100 personnel who actually handle the department’s affairs.
Major Functions of HRM department
Every organization whether it is a multinational conglomerates a small business, a
religious institution or a government agency depends on people. Appropriate candidates
for each job from chairman of the board to night shift janitor must be located either inside
or outside the organization and they must be convinced by pay benefits and working
conditions to take and keep the job. They must also be trained and motivated. Handling
these functions is part of human resources management’s job.
Functions of HRM
Department
Rewards Time
Recruitm Compensa
T&D & Managem
ent tion
Benefits ent
Recruitment
There are two types of recruitment
 Permanent Recruitment

28.  Contractual Recruitment
Permanent Recruitment:
• Management Level
• Non Management Level
Management Level
Management Trainee M6
Merchandiser M5
Assistant Manager M4
Deputy Manager M3
Manager M2
Senior Manager M1
Non Management Level
Unskilled Worker S4
Semi-skilled Worker S3
Skilled Worker S2
Supervisor S1
T&D
Off Job Training
On job Training

29. College Visits
Internships
Seminars, Lectures, functions etc.
Rewards
Performance Reward System PRS
Unit of the Month
Best Final Inspector
Best Inline Inspector
Best Cutting Inspector
Promotions
Overtimes
Compensations and Benefits
Leave Policy
To grant different kinds of leave to its employees in order to facilitate them to
attend, to their domestic and social responsibilities.
Types of leave
The types of leave available to employees are,
1) Causal leave
2) Sick leave
3) Earned leave
4)Leave without pay

30. 5) Maternity leave
• Casual leaves:
Every employee will be eligible for ten days causal leave in each calendar year.
1)Causal leave can be granted on pro-rata basis, proportionate to the length of
service.
2)Un-availed causal leaves shall lapse automatically at the end of every calendar
year.
3)Causal leave cannot be combined with any other type of leaves except sick leave.
4)Causal leave can be availed for a maximum period of 3 days at one time.
• Sick leaves:
Every employee will be eligible for eight days sick leave in each calendar year.
1.Sick leave will be granted on pro-rata basis, proportionate to the length of service
2.Sick leave exceeding 2 days must be supported by a medical certificate from a
registered medical practitioner.
3.Sick leave may be Accumulated up to a maximum of 16 days
• Earned leaves:
Every employee will be eligible for earned leave as follows
Workers-14 days
Staff-15 days
1.Earned leave will be due only after completion of one year’s continuous service
with the company from the date of joining.
2.Earned leave shell be credited to the employee account at the end of each year of
service
3.It is incumbent for management staff in grade M-12 and above to avail a
minimum of 15 days earned leave in a calendar year.

31. 4.Earned leave lying to the credit of an employee will be encashed at the time of
separation for the company for employee up to Grade-12.
• Leave without pay:
There is no provision of leave without pay in Law. How ever extra-ordinary leavewithout
pay may be granted at the discretion of the competent authority in specialcircumstances
involving absence from duty
• Maternity leaves:
1)Female married employees who have been employed for more than one year will
be granted maternity leave.
2)Maternity leave of 12 weeks, 6 weeks each before and after the delivery will begranted
on production of medical certificate from a registered medical practitioner
Leave Encashment
Sick Leaves 8
Casual Leaves 10
Encashment Leaves 14
32
Other Benefits
EOBI (Employee old age benefits & Insurance
Death Grants
Marriage Grants

32. Scholarships
Group Insurance
Health Insurance
Time Management
Card Scanning system
Keep the daily attendance of employees.
Make the settlement of the resigned employees to be further proceeded to the H.R
Department.
Gives the half leaves or temporary leave for about 1 to 2 hours
Other Responsibilities
Grievance Handling
Charge Sheet
Administration Department
Security
House Keeping
Transport

33. Support of HR to other Departments
The H.R Department is the key strength of any organization in motivating
employees, managing HRMIS system, dealing external affairs, handling with each
department’s performance, making promotions etc…..so my major area was Human
Resource Department.
Through job rotation policies and by extensive interaction with managers in all other
functional areas. Unless these executives are perceived as equals by their corporate peers,
their ability to make significant contributions to the firm will be diminished.
Require the senior HR executive to report directly to the CEO. At present this occurs in
about 70 percent of companies nationwide. Consider whether any corporate resource is
more important than its people. Ensure that the top HR officer is a key player in the
development and implementation of business plans providing early warning regarding
their acceptance and serving as the CEO’s window on the organization and as a sounding
board.
Representatives from HR and line managers from the business unit generate key business
strategies for the coming year. To do so, they identify major external and internal factors
that may have an impact on the future of the business, together with future customer
requirements.

35. Mechandising Department:
It is bridge between customer and factory. It is performing the task of marketing in
MTM. The objective of merchandising department is to retain the existing customers, and
keep continuously communicate with them and also to attract new customers.CEO and
Marketing Manager attend different exhibitions all over the world to attract these
sourcing companies. All the sourcing companies are the Customers of the Masood
Textile Mills. Merchandisers are the representatives of Masood and they keep contact
with customers. Merchandisers also try to acquire new customers and contracts through
personal selling.
Hierarchy in Merchandising Department
GM. Marketing
Associate
Merchandising
Asst.
Merchandiser
GM. Marketing
Merchandiser
Management
Trainee

36. Asst.
Merchandiser
No of Employees in Marketing Department
Mr. Tayyab Masood is General Manager of Marketing Department of Masood Textile
Mills Ltd. There are almost 103 numbers of employees working in marketing department.
Working of Merchandising:
A merchandiser receives a product package (ppk) which contains time line, fabric detail,
article description (polo, Henley, crew neck) and accessories detail. After receiving the
PPK the merchandiser sends it towards PPC department that checks availability, price,
quantity and quality. After that the merchandise accepts the order and then send them
proto sample. Price negotiation will start. Price is determined on two basis either it is
customer based or it is product based. Customer based pricing is done by keeping in view
the market position of the customer .The factors which they take into consideration are
brand popularity and the income level of the ultimate customer Product based pricing is
done by the specifications of the product. After accepting the proto sample fit sample is
sent to buyer and after this clearance production in bulk is started.
Functions of Merchandising:
 Market analysis
 Data analysis
 Sourcing
 Procurement
 Product planning and R & D

37.  Pricing
 Distribution
 Communication
 Visual
There are main two main products used in the seasons:
Replenishment products
Seasonal products
Product Package
PPK involves 4 types of information’s
Fabrication
CMT
Quota
Shipment
Fabrication
The type of fabric that will be used to make the product different types of fabric are used,
like single jersey, fleece etc.
CMT
CMT stands for cutting manufacturing and trims .
Quota
Quota is fixed for different countries according to the garment style.
Note: with the implementation of “WTO”, quota system has been deleted in the practice
of import and export, so it will no further exist.
Shipment

38. Shipment includes the ex factory and the ex country dates that are given by the
customers.
Whenever the merchandiser receives the product package following things are done:
• Costing
• Proto sample
• Fabric development
• Accessories development
Shipment is done through two ways
• By boats
• By air
Mode of transaction
When the merchandiser negotiate with the customer he demands letter of credit and bank
guarantee etc from the customer
Follow up by the merchandiser
Merchandiser is involved in the process from receiving the purchase order and payment
Countries of Export:
MTM is making a good effort to increase the market share. Today company is exporting
its products to many countries like,
• USA.
• Hong Kong

39. • Japan
• Germany
• Malaysia
• Singapore
• Korea
• Thailand

40. PPC (production planning & control)
PPC stands for product planning and control. As its name indicates its function i.e., to
plan a purchase order and control thereof. PPC is the bridge between merchandising and
production department. PPC department plays an indispensable role in a garment
manufacturing company. Its responsibilities start from the negotiation between
merchandiser and customer and ends on the shipment of PO. This department works on
the basis of 3M’s (Man, Machine, and Material).
Producti Merchandisi
on ng
PPC
There are three sections in PPC department.
• Planning
• Costing
• Control
Functions of PPC:

41.  Optimization of resources (man, machine, material)
 Costing research and development(R&D)
 Purchase order receiving
 Capacity
 Time line (time, action)
 Fabric accessories (stitching and packing)
 Fabric demand plan (lead time)
 Accessories demand plan
Hierarchy of PPC Department:
PPC ( senior Manager)
Senior Deputy
Manager
Deputy Manager
Assistant Manager
Senior Officier
PPC Officier

42. Working of PPC
Buyer sheet or product package received by merchandiser that PPK includes
• color and size breakdown
• what is the GSM required
• what are the finishing parameter
• garment wash or not wash
• size specs parameter
Color and size breakdown
It means that how many pieces are required . if color and size are not available .
Cutting cannot and consumption will not be accurate.
GSM requirement
GSM is given by the customer it is gram per square meter .if GSM is more less
pieces are made. if the GSM is less more pieces will be made.
Factory finishing standards
Factory finishing standards like torching, bowing, skewing, ph value, shrinkage,
color fastness.
Garment wash or not garment wash
How many washes the customer are requires when the garment is wash their
GSM and shade problem
Size specs parameter
Length size, color size arm holes, shoulders length etc. Margins are always kept
so that after washing it comes to the actual specs

43. If the garment is not to be washed there is no need to keep the margin.
Costing steps
• Costing
• Time lines
• To plan the accessories
• Fabric planning
• Unit planning
In costing you have to see each and everything
• Type of fabric
• Gram mage of the fabric
• Finishing standards
• Yarn quality
• Knitting charges
• Recipe cost
The cost details are given to the merchandiser and he communicates with the
customer. if the price is acceptable then the order is given
Then PPC has to plan that order it will take into consideration three things
• Material planning
• Machine availability
• Unit planning
•

44. Material planning
Material planning includes the fabric plan and the pattern availability details
about the accessories etc.
Machine availability
Then PPC has to see that machines are sufficient to run the purchase order.
Unit planning
The purchase order will be run in which unit so we have the production
capability so we have skilled labor to perform the task.

45. Production
There are total 12 stitching units with over 1,749 stitching machines, manned
with the most skilled and expert operators, Masood is capable of producing about
150,000 dozens approximately per month versatile garments ranging from basic
to high fashion, men’s, women’s and kids with maximum flexibility in size and
color assortments. The Quality control and Quality Assurance departments are in
place to make sure the company’s objective of zero defect. Computerized Bar
coding and Back Track systems provide Masood 100% predictability and tracking
performance. Orders of different companies are processed in different units
according to their skills. They operate under the objective of “Zero Defect”. Here
quality control is merged with the production.
Management hierarchy
Production departmnet
Senior Unit
Production Production
Production Manageemen
Manager t Trainee

46. Assitant
Production
Production flow
Production department receives samples from the merchandising department the
production department finalize the flow by keeping that sample in mind. The task
is to improve productivity and to have the maximum output
Process
Production process Is as follows:
1. Stitching (Process flow)
2. Clipping
3. Ironing
4. Finishing
5. Packing
6. Shipment
Production supervisor’s job responsibilities
• Setting of flow
• Arrangements of machines
• Checking of induction
• Arranging number of operators according to flow

47. • To meet the targets
In line supervisor job
To maintain quality and help in line inspector
In line inspectors
To check the garment is stitching quality operation wise.
Kinds of needles
No. 9 to 14
Kinds of Machines
• Flat lock
• Button Hole
• Bar take
• Heat Transfer
• Feedo
• Mini Cylinder
• Auto trommer
• Zig Zag
• Button Attach
• Cylinder Bed
• Elastic Attach

48. • Overlock
• Lockstitch
From cutting department the pieces goes to the production
department for stitching. The pieces are stitched than it goes in
the enter. From here the stitched fabric goes to clipping to
remove the extra threads. Then the garment goes for finishing.
Finishing flows
• Pressing
• Final inspection
• Super inspection
• Specs
• Packing
Major Finishing faults
Stain (oil, dust)
Alter (skipping, stitch broken)
Rafu (small holes)
In final inspection stain, alter and rafu faults are removed. If
there is a major faults are send to reprocessing.
Packing procedure
After finishing the garment goes in packing, ID labels Stickers are pasted
Garments are folded packed in ploy bags. After that packed in master poly bags.

49. Different types of packing
• Assorted packing
• Solid packing
• Catalog packing
Assorted packing
Color is same but different sizes ratio are packed together, Or
Size is same but different sizes ratio are packed together
Solid packing
Same color and same size
Solid by color (Color remains same)
Solid by Size (Size remains same)
Catalog packing
Different sizes and different color, say according to the requirements of the buyer,
each bundle will have its own specification and packing details
Shipment moves to store
ASN (advance security note)
Security sticker
Bar code sticker

50. Production problem
• Pieces are rejected
• Pieces are short
In both the cases short fall are sanded to PPC department

52. Quality:
It is a standard achieved by process to render defect free product.
Quality control:
Implementation of process to achieve the required standard.
Quality assurance:
Preventive measures taken to make defect free product.
Responsibilities of quality assurance:
There are three responsibilities of quality assurance.
(1) Monitoring the system
(2) evaluating staff involved
(3) assuring quality of product
Hierarchy of Department
Manager Quality
Assurance
Deputy Manager QA
Assistant Assistant
Manager Manager
Internal Final
Audit good
QA Officer QA Officer

53. Acceptable Quality Level
AQL mean a standard of Rejection and acceptance defined by the mutual
concentration of buyer and seller, where they mutually decides size of the sample
and standard for rejection and acceptance
Overall Quality Level
OQL is a standard where garments are audited on their total rating, also called
average quality rating, after the AQL, when over percentage of rejection is checked it
should also comply with the standards already defined or decided in agreements.
Close Loop Corrective Action(CLCA):
51

54. 52

55. 53

56. Industrial engineering
Industrial engineering is that branch of engineering, which deals with the Productivity
increases the using all the available resources. These resources are following.
1. Men
2. Materials
3. Money
54

57. 4. Machine
5. Methods
6. Systems
7. Land/space
Industrial engineering provides us a systematic (step by step) organized way of increasing
productivity using simple techniques.
Productivity:
It is defined as the ratio of output and input i.e.
Productivity = Output / Input
From the above formula .it is very clear that one or the combination of the following ways
can increase productivity:
(a) Decreasing input, while keeping the output same.
(b) Increasing output, while keeping at the input same.
(c) Increasing output appreciably with slight increase in the input.
(d) Decreasing output slightly with significant decrease in input.
Scope of I.E.
Industrial engineering techniques are applicable everywhere, starting from a small
Office, home, training places, small industry to a large industry.
It helps in:
 Better layout planning.
55

58.  Designing work aids.
 Re structuring an organization/ Re engineering
 Methods improvement.
 Training in better methods
 Setting SAMs for the better methods
 Problem solving using studies by scientific methods
Advantages:
 Managing extra work in the same available space.
 Vacating extra premises got on rent.
 Increased output with the same manpower and machines.
 Increased quality due to better managing/methods
 Reduced throughput /cycle time, using refined layouts.
 Reduced crises-cross movement of men and materials
 Less W.I.P, using better systems (line lay out)
 Bette5r money circulation, as less capital tied up in W.I.P.
 Less material wastages, as no place to hide.
56

59. Stores
There are three stores in MTM.
 Main store
 Fabric store (Stock pledge)
 Shipment store
Main Store:
There are two types of things, which come under main Store.
1. General:
Stationary, machine parts, maintainace and sentry etc.
2. Accessories:
Buttons, thread, zips, labels, and needles etc
57
Main
After approval After approval
Store issue
Forward
QualityReceived
Goods check by store Store issue
Procurement
Quality control
Goods Gate Pass
Inward Gate
GRN take over
Purchase
General Acc. Received
Inward Demand
GRN take over
Accessories

60. Shipment store:
As it is evident from the name, purchase orders which are ready to be shipped, are store
here. In Masood when production order is completed then it is packed in boxes and barcodes
are pasted on them. These barcodes contain all necessary information regarding the contents
of boxes. All the information regarding the Quality checks of shipment is done here. On the
day of shipment the boxes are loaded on trucks and final entries are stored in computer.
The process of the shipment store is
Receiving
Racking (customer wise)
Receive to quality
Audit for QA
OK report after audit
Green slip only on audit
Packing list (merchandiser
Fabric store:
The PPC department sends demand of fabric to fabric store according to plane of party
order, which is required by buyer. When the fabric reached at main gate then received by the
fabric store, on the gate only the weight of the fabric is checked. Inspection of the fabric is
handled in mills in Fabric Inspection Department (FID). When fabric is reached at gate then
interword gate pass is made. Then fabric shifted into store in the racks and racks are
according to customers. When the fabric is rejected it come first in store then sent to mills
by making Outward Gate Pass (OGP)
58

61. 59

62. Structure of Finance Department:
a) No of Employees
Masood Textile Apparel Division Finance Department consists of 38 employees at different
level with different job descriptions.
60

63. b) Finance & Accounting Operations
o Maintaining the data base of accounts department
o Historical and periodical reports
o Presentation of Financial Statements
o Cash flow statements and cash disbursement
o Bank reconciliation statements
o Reconciliation with parities
o Variance analysis
o Production vs. shipment analysis
o Analysis on loss of profits
o Performance evaluation reports
o Yield analysis
o Monthly Stock reports of all units & stores
o Working of Compliance Audit.
Function of Finance Department:
Accounting Systems
Finance System
Use of Electronic Data in Decision Making
Mobilization of Funds
Generation of Funds
Allocation of Funds
61

64. Financial Analysis
62

65. In 2008 Deffered income on sale and lease back of operating fixed asset are 4,891 and in
2009 it is decreased by 2,515
In 2008 total equity and liabilities are 8,234,421 and in 2009 it rose to 9,621,739
In 2008 non current assets are 3,047,941 and in 2009 it rose to 3,166,615
And current assets in 2008 are 5,186,480 and in 2009 it is increase by 6,455,124
So total assets in 2008 are 8,234,421 and in 2009 it is increase by 9,621,739
63

66. Net cash generated from operations was 981,748 in 2008 and in 2009 it decrease to 632,821
In 2008 net use in investing activities is 415,397 and in 1009 it is decrease to 370,513
Net cash use in financing activities in 2008 was 1,458,832 and in 2009 it is decreased to
78,537
So cash at the end of the year of 2008 was 137,255 and in 2009 it is increase to 321,026
64

67. Sales in 2008 was 7,884,785 and in 2009 it is increase by 10,946,180
So Gross profit is also increased in 2008 it was 1,455,987 and in 2009 it is 2,094,764
Profit after tax in 2008 was 333,753 and in 2009 it is increased to 451,706
So earning per share in 2008 was 11.13 and in 2009 it is increased to 15.06
65

68. Major Competitors of the Organization
66

69. The major competitors of Masood Textile Mills Limited are as
1. Chenab Fabrics Limited
2. Amtex Limited
3. Arzoo Textile Mills Limited
4. Sapphire Textile Mills Limited
5. Crescent Textile Mills Limited
These are the local competitors at the textile city but MTM face in international market so
their competitors are the CHINA, INDIA and BANGLADASH in these countries labor is so
much cheaper available, so they sell their product in the international market cheaper as
compare to Pakistan.
Core competence:
The core competency of the MTM is it IT based system and quality control.
Unique selling point (USP):
Quality control system is their usp.
SWOT Analyses of MTM
Internal factors
Strength
• Quality products
• Skilled labor
• Using modern and latest technology
• Back track system
• Highly educated management
• Vertically integrated system
• Using apparel management system
67

70. • ISO certified
Weaknesses
• Having low space
• High turn over
• Communication gap between different departments
• N- corporative culture
• High production cost
External factors
Opportunity
• Exploring new markets
• Capturing European countries
• Can expand their operations and finding new market segments
• Using their own label
• Opening their outlets throughout the world
• Globalization
• End the quota system, now they expand the business
• Full potential of entertaining the local market
Threats
• Competition increase in that particular region.
• Depend only a few customers
• Low price offer other competitors just like china & India
• Politically instability in Pakistan
• Change government policies that are not in favor of textile industry
• Globalization
PEST Analysis
68

71. Political situation:
The political situation of Pakistan is not satisfactory and unstable. Rapid change in
the Govt. and the change of the policies of the previous govt. by the new govt. abruptly
effect the Pakistan’s political situation. Due to these entire factors the foreign investor
hesitates to invest in Pakistan.
Govt. should device such policies that are beneficial for the local exporter as well as for the
investors.
Economic Situation:
The economic condition of Pakistan is not suitable for investment. Market growth
rate is very low and new investors hesitate to invest. Increasing inflation rate
due to heavy loan make the business environment strict. Actually increase in
inflation rate leads to high cost of production so our country products sell out
at a high price but with low margin.
Social Situation:
The change in the lifestyle of the people affects the growing demand of the MTM
products. The change in the lifestyle and needs in different demographics also affect the
demand of the customers.
Due to all these changes MTM is performing excellent for the excellence of organization as
well as for the customer.
Technological Factor:
Technological advancement in all the sectors of the country has changed the entire
socio-economic environment. Especially textile sector has incorporated technological
development and advancement in their organizations.
69

72. Conclusion & Recomendations
Masood textile mill is the best knit wear in the world. In a short span of time, the company
has established a good image in the international market.
Although there is a tough competition in the international market, but Masood textile mills is
continuously going on its way to prosperity .The main customers of Masood are, JC
PENNY, SARA LEE.
They have established a good image in the mind of its customers. This is all due the
company’s high quality products. Company quality assurance department is so well
establish that some times the customers request the quality inspector to visit some other
company s where their other products are being manufactured, so the quality of that
company can be checked.
China, India, Bangladesh are the major countries, which have direct competition with
Pakistan. Due to quota system the company has accepted only limited orders. The main
advantage to the company is of its mills unit. The company has manufactured the fabric
itself, so the cost of the production of the company is much reduced. Raw material like
fabric and ribs are produce by itself.
Suggestions
 Need to develop a culture of cooperation and teamwork. For this purpose a
revolutionary commitment from higher management is required at this time,
otherwise MTM may not be able to cash the benefits of quota elimination.
 The misbehavior of some responsible managers with the working force is creating
unrest and feelings of being treated like slaves among the workers. For the purpose
of improvement in this sector the line management should be trained and must be
educated how to behave the workforce.
 Decentralization of authority should be there. With the active participation of all the
management level employees in the decision-making is fruitful for MTM.
Employees should be encouraged to come up with revolutionary thoughts.
70

73.  Proper training at each level should be given to the employees.
 Special incentives like bonus on Eid and on other special days should be given to the
employees.
 Should hire well-educated, trained, and experienced young professionals.
 There should be a complete follow up of ISO 9002 certification according to desired
quality standards.
 The low capacity is generating problem for MTM. Due to low capacity the MTM has
to:
a. Procure Yarn from market, which cause delays, variations and high
prices.
b. Knitting from out door, that cause delays, variations and high prices.
c. Dying and finishing of the fabric from out door, that also causes the same
above mentioned problems.
The biggest problem that I think this low capacity is generating is extraordinary pressure on
the working force. This creates mental toughness and stress among the employees,
especially among the PPC department staff.
The solution to this entire problem is obviously the increase in capacity of production. But
this task should be done systematically through proper planning and after preparation of
feasibility report.
71