FMC REPORT12

FMC United (Pvt) Limited

NOURAIZ SALEEM

1


ACKNOWLEDGEMENT

All our praises for ALLAH THE ALMIGHTY, who bestowed potentially

upon us to accomplish this present report successfully. With all our sincerity, we

express. Our gratitude to the HOLY PROPHET (P.B.U.H) and his fellows, who

are the source of enlighten guidance and wisdom for the humanity.

I have deep sense of gratitude to our honorable madam Rizwana Hameed

for their generous guidance for this report. We would also like to appreciate the

praise-worthy efforts and the assistance of some people who have kindly helped

us out in the completion of this report. They definitely include our parents,

teachers and friends.

2


Table Of ContentsPage #

Acknowledgment 1

IntroductionVision of FMC 3Mission of FMC 4History 5Company profile 7Introduction to FMC 8

Marketing mixProduct 9price 13place 13Promotion 14

Analysis StudiesENVIORNMENTAL ANALYSIS 17PEST ANALYSIS 18SWOT ANALYSIS 20

SUGGESTIONS RECOMANDATIONS 23CONCLUSION

3


VISION STATEMENT

“Improved the quality of life in Pakistan.Feeding the world

protecting the health and providing the convenience of life.”

4


MISSION STATEMENT

" FMC United (Pvt) Limited is committed. Ted to play its leading role in

supporting agriculture advancement in Pakistan by providing quality pesticides

and allied services to its customers with the passion to excel by setting new goals

and taking new initiatives for development of profitable venture."

HISTORY

5


FMC United Private was incorporated in 1883.When founder john bean created an

innovative insecticide spray pump to combat scale, an infestation that was ravaging

California’s orchards and endangering the livelihood of growers.

The marketing division of FMC is mainly concerned with sale distribution, promotion,

procurement, finance, human resource management and general administration etc. The skill

inventory of the FMC comprises of highly efficient and proficient team of people, which leads

to competitive edge with maximum production of pesticide.

It is only due to self-driven management of plant that the company is utilizing the plant

capacity more then maximum caliber, which has facilitated the company to diversity its

business with minimum risk and threats.

Company's sales force consists of dynamic and efficient galaxy of people who are self

driven and highly motivated to achieve the sales targets. Company's promotion department is

striving hard to strength corporation image and brand loyalty. The very department launches

two campaigns rabbi and kharif consisting of six months each. The promotion department of

company is bit conservation the reason being that company is facing fierce competition. The

company is lacking in societal marketing, which is emerging treads of era.

FMC due to being in process industry observe the pesticide and spry control while a muddling

of autocratic and participative style of management is adopted to achieve the corporative

objectives. FMC is got ore competence in technical service department, which not provided

only technical assistance but also enhance the brand loyalty and enhance the brand loyalty and

assures the establishment of objectives of the company.

Its key responsibility is to facilitate the farmers with invaluable suggestion to optimize

the use of spray to enhance the productivity. It conducts seminars, village meetings to guide

the farmers through the course of difficulties.

Planning department is brain of organization that decides the ways to achieve the

business level objectives, which are concerned with the SOP's of marketing. The every

6

FMC United (Pvt) Limited department relies only on its own channels to gather the information concerned with decision

making to minimize the risk of errors.

General administration and HR department are overlapping each other; the first ensures

the compensation of the employees of the marketing division while the former looks after the

employees needs to help them to get the maximum caliber performance department makes

sure the smooth sailing of the plant site as well as marketing division.

It always manages to register and maintain the list of national as well as international

suppliers and vendors. It assures to provide the right things in minimum time with maximum

quality. It is exercising JIT approach with minimum lead time so that things may keep on

floating well.Company always makes purchase through channel zed ways so that there should

not be any risk of embezzlement.

The finance department is key department recording all business transactions of the

marketing division. It directly reports to the head office of the company, the company has own

certain excellent awards in environment protection and employees safety measures.

Today, FMC continues changing lives as the innovative force behind industry and agriculture,

where our products maintain leading market positions.

COMPANY PROFILE

7


Company Name FMC UNITED (PVT) LIMITED

Legal status Private Limited Company

Registered Office 1-G-II M.A Johar Town, Lahore,

Pakistan.

Phone: +92-42-111-222-362

Fax: +92-42-531-4459

E-mail: [email protected]

Managing Director Farooq Shahid

Director Technical& Operation Mr.M.sarwar

Auditors Shahzad saleem

Nasir AliLegal Advisor Mr. Rashid A. Malik (Advocate)

Bankers Citi Bank Limited

United Bank Limited

Alfalah Bank Limited

Habib Bank Limited

Regional Sales Offices Lahore Sales Office

Multan Sales Office

Behawalpur Sales Office

D.G. Khan Sales Office

Sahiwal Sales Office

Sukhar Sales Office

8

mailto:[email protected]


INTRODUCTION OF FMC

FMC (Food, machinery, and chemical) is an American based company selling products

related to agriculture in Pakistan. On crops like Cotton, Rice, wheat, Mize, potato, Vegetables.

FMC started marketing in Pakistan during 1994 at nine regions. FMC formulated plant

in situated at Lahore, where the entire products is formulated and packed for future supply to

the warehouses at different regions. This product is then supplied to the market through United

Distributors (Pvt) Limited.

STRUCTURE OF FMC UNITED (PVT) LIMITED

The flow of command is centralized in FMC UNITED (PVT) LIMITED. Basically top

management makes all the major decision and there is less directed involvement of thee middle

and lower management. The authority flows from top to bottom and less authority and power is

delegated.

FMC AGRICLTURE PRODUCTS GROUPS

With more then half of our business in international markets. FMC's agriculture

products group provides crop protection and pest control products around the world with

environmentally sound chemistries and delivery system

Necessary to ensure a safe and abundant fool supply. A strong insecticide portfolio,

coupled with next generation, herbicides products, reflect FMC's expertise in discovering,

developing and formulation state of the art crop protection. In addition, FMC offers specialty

products for pest control\, wood protection, public health and hygienic, stored grain, turf and

ornamental, animal health, home, and garden. Out strategy for growth in agriculture ourselves

as a focused player with a concentration on insecticide, select crops and region.

MARKETING MIX

9


Product Price Place Promotion

PRODUCT

A product is one of the most important contingents of 4 P's because it is the thing

which company sells to its customers. It's a set attributed, a package of benefits tailored to

customers needs here we will discuss what FMC UNITED offers to customers.

FMC UNITED (PVT) LIMITED sells pesticides and spray to customers, which are

farmer who apply it to their crops, so as to get batter yields. Pesticides and spray generally, is a

commodity and almost all pesticides and spray marketed, by all companies is similar in nature

and content.By product classification, pesticides and spray is an industrial product treated as

raw material for from products.

PRODUCT ATTRIBUTES

Products attributes are the tangible benefits being accrued from a product these are

product these are product quality, features and design.

Pesticides and spray (pesticides and spray products by FMC UNITED (PVT) LIMITED) is one

of the finest in quality; it is prepared on most modern plant. It is clean i.e. don't have any dust,

one value highly favored by farmers. It is on attribute from which farmer judge quality of

pesticides and spray has this in absence.

PRODUCT FEATURES

Pesticides and spray has product features unmatched by other pesticide and spray. It is

easily soluble in water, a quality of goods pesticide and spray even after a year it will retain its

quality. While pesticide and spray is known as a perishable commodity even many pesticides

and spray become hard after a year in store becoming less soluble in water. Another feature is

it does determine of its periling capability. If pesticide and spray become a cake, you can make

10

FMC United (Pvt) Limited return it in to pervious shape by hitting hard bag of pesticide and spray once or twice on the

ground.

These two are some of many reasons, which made the best and most preferred brand in

the market. The company pervaded quality pesticides on economic price & its product line the

following:

PRODUCT LINE

HAND SPRAY NOZZLES

BOOM SPRAY NOZZLES

KNAPSACK SPRAY MACHINE

ACELAN 20SL-250ML

ACELAN 20WP-500ML

AFFINITY 50WP-800GM

AIM 40DF 20 gm

ARRIVO 10EC 250ml

ARRIVO 10EC 1 Liter

ARRIVO 10EC 5 Liter

ARRIVO 10EC 20 Liter

AUTHORITY 150 ml

AUTHORITY 600 ml

BUMPER COTTON 1 Liter

BUTACHLOR 1 Liter

BESTOX 5EC 250 ml

BESTOX 5EC 1 Liter

CHLORPYRIPHOS 250 ml

CHLORPYRIPHOS 1 Liter

EMAMECTIN BENZOTE 400ml

IMIDACLOPRID 25WP 250gm

KUMULUS DF 500 gm

11


METRIBUZIN 250 gm

METRIBUZIN 1kg

METRIBUZIN 25kg

MUSTANG 380EC 500ml

12


BCG MATRIX

13


PRICE

Simply defined, pricing is the amount of money charged for a product or service. Price

is only element in marketing mix that produces revenues. All other elements represent costs.

There are many factors that affect the pricing policies of the company:

Regarding price of the product FMC UNITED has well set policy. The price of the

product remains same throughout the country. The price that is charged includes also the

distribution charges.

PLACE

DISTRIBUTION SYSTEM

The primary function of distribution department is distribution of pesticides all over

Pakistan, ensuring that at the minimum possible freight cost while maintaining the competitive

edge. Following are the company's responsibilities of the distribution department

1. To ensure the effective distribution of all products from United Distribution Limited (UDL)

to the dealers network and various warehouse located all over the Pakistan is coordinating with

the field.

2. To ensure the effective distribution of all products from United Distribution Limited (UDL)

to the dealers network and various warehouse located all over the Pakistan is coordinating with

the field.

3. To conduct field surveys at united distribution limited (UDL) from time to time to ensure

that the existing company freights are competitive at minimum cost to company.

4. To maintain close liaison with the Head Office Lahore and coordination all matters affecting

imported Pesticides, Demigod product, claims etc.

5. To coordinate with N.L.C Rawalpindi for trucks in case of emergency.

6. To maintain all dealer record and information responsible for analysis of dealer performance

during rabbi and kharif.

14

FMC United (Pvt) Limited 7. To ensure the dispatch and effective distribution of all (imported) pesticides from Karachi

port by road and rail.

8. To supervise, guide to concerned distribution staff at Lahore, United Distribution Limited

(UDL) and Karachi port by road and rail.

DISTRIBUTION OBJECTIVE

To ship out total production.

Services 240 dealers, 8 warehouse, and customer.

All shipments to be made in cost effective manner.

To keep inventory at plants at minimum levels.

To maintain regional / zonal allocations.

To rectify dealer complaints.

Prompt complication discharge of vessel-imports

All dispatch to be on FIFO basis

Adequate and proper warehousing / control.

To ensure prompt handling, good quality packing, correct weight and timely delivery of

products.

PROMOTION

ADVERSISMANT AND SALES PERMOTION

An Advertisement and sales promotion department has the responsibility planning and

execution of all the promotional activities. This department is successfully executing the

activities from its inspection because of company's share of market has increased to 9%.It is

one of the major forces behind "TALSTAR" pesticides and image of No.1 brand in the market.

FMC UNITED LIMITED (PVT) LIMITED promotes its product on almost all type of media

other then direct mail.

They are

Electronic Media

15


Print Media

Transit Media

In electronic media, FMC UNITED LIMITED (PVT) LIMITED advertises on Television and

Radio.

T.V ADVERTISING:

In television advertising very limited choice is available a case of channels. Only P.T.V

available where only P.T.V fulfils FMC UNITED LIMITED (PVT) LIMITED requirements.

Target audience is mostly in villages where only P.T.V can reach. Therefore FMC UNITED LIMITED (PVT) LIMITED advertises on P.T.V.

PRINT MEDIA:

Most farmers, who are FMC UNITED LIMITED (PVT) LIMITED target audience, are

illiterate and therefore FMC UNITED LIMITED (PVT) LIMITED do not run major campaigns

in print media but it is advertise on occasions of national importance, so as to enhance its

image.

TRANSIT MEDIA:

FMC UNITED LIMITED (PVT) LIMITED has more then 300 billboards placed in

different parts of the country, where FMC UNITED LIMITED (PVT) LIMITED target market

is situated. Also it runs close circuit television (CCTV) at airports, railway stations and in

trains. FMC UNITED LIMITED (PVT) LIMITED put heavy emphasis on sales promotion to

its dealers as well as farmers.

Following are the activities take during 1996 for sales promotion.

SALES PROMOTION, ITEMS

Calendars

Dairies

Wall Clocks

16


SALES PROMOTION MATERIALS

FMC UNITED LIMITED (PVT) LIMITED use following promotional material

Crop Posters

Crop Literature

Stickers

OTHER ADVERTISING:

Eid Season cards

Stalls at Exhibition

17


18


ANALYSIS STUDIES

ENVIORNMENTAL ANALYSIS

PEST ANALYSIS

SWOT ANALYSIS

SUGGESTIONS

RECOMANDATIONS

CONCLUSION

ENVIORNMENTAL ANALYSIS

Three major dimensions of changes are important to be viewed in depth for the

environmental analysis of pesticides industry in order to make strategic planning .These

dimensions included the changes in the agricultural sector, changes in the competitor activities

and changes regarding the economical environmental external to the industry.

The following figures shows that the contribution of the agricultural sector to the Gross

Domestic product of the country

Contribution of Agriculture to GDP

19


2004-2005 2006-2007 2008-2009

26.33% 26.33% 25.55%

This means that the farmers are not having increasing profit and they are no more

interested in future expansion of their activities due to tight financial contribution. On the other

hand the awareness about the balanced use of pesticides, betterment of irrigational network,

introduction of more mechanization and improved marketing and infrastructure facilitates have

created opportunities to expand and flourish the pesticides market.

MAJOR COMPETITORS

Major Competitors of FMC UNITED are as under:

SYNGENTA

BAYER

CROP SCIENCES

DOW

DUPONT

ICI

AURIGA

ALI AKBAR GROUP

JAFFAR BROTHERS

The local importers activities and the foreign exporters have also accelerated their selling

programs and are willing to capture the market shares. Especially in the coming few years,

when there will be no barrio to the international trade, to plan with international perspective

has become highly essential.

PEST ANALYSIS

POLITICAL AND LEGAL ANALYSIS

ECONOMICAL ANALYSIS

20


SOCIAL ANALYSIS

TECHNOLOGIGAL ANALYSIS

SOCIAL AND CULTURAL ENVIORNMENT

FMC UNITED is very much committed for the welfare of the society first of all by its

products and its human resource policy secondly by showing profits and making Pakistan

economically strong .FMC UNITED has developed its own culture by taking the following

steps:

The company has built a model township for its employees at this remote location, which

consist of residential accommodation along with allied facilities.

In caring for the community in health ,education, environment and sports,

FMC UNITED following its key objective:

“To use the skills, energies and technologies in building the image of the company, that

market its employees to contribute towards society in way and enhance its image as a

leading Pesticides Business company in Pakistan.”

TECNOLOGICAL ENVIRNMENT

FMC UNITED is expanding into new dimensions of technology, increasing

production and setting up new projects to ensure a bight future and stable economy for the

country.

Following are the main technological steps the FMC UNITED is pursuing

Importing the test technology.

Generating revenues for the country.

Providing technical assistance to the farmers.

Producing Pakistan’s finest pesticides and spray.

FMC UNITED has made its all plants technology sound and motivates the other

industrialists to use state of art technology for the quality production and for the sake of

21

FMC United (Pvt) Limited survival in the international market.All the steps the FMC UNITED has taken in direction of

creating STAE OF ART culture in the technological field along with other.

POLITICAL AND LEGAL ENVIORNMENT

Following are the some of the lines of Federal Commerce Minister in which the clear

emphasis of the Government can be seen.

“Clear objectives for this year are”

Achieved our export forecast of $15.1 Billion.

Continue previous year’s objective of greater value.

Addition and diversification of products and markets.

Reduce anti-export bias and improve the export culture.

Achieve greater market access.

Moreover the following steps the Government has taken in the recent past for the

betterment of production for the pesticides industry .Deregulation of pesticides and spray

business coupled with duty free import of plant and machinery, tax holiday for specification

period and feedstock subsidy for 10 years has helped the country in doubling pesticide

production capacity from 2.2 million tones to 4.3 million tones in the country. The GDP policy

has helped in increasing indigenous supply of pesticides and spray at a lower cost and also

reducing dependence on imports. Since 1990 an investment of over one billion Dollars has

been made in the sector.

SWOT ANALYSIS

SRTENGHT ANALYSIS

WEAKNESS ANALYSIS

OPPRTUNITIES ANALYSIS

THREATH ANALYSIS

22


STRENGTHS

FMC UNITED (PVT) LIMITED has a very stable pesticide and spray market.

FMC UNITED (PVT) LIMITED is market leader, its share is 9% no competitor is any

where near this.

FMC UNITED (PVT) LIMITED has a strong dealer ship Network and a large sales force

to cater to its needs.

FMC UNITED (PVT) LIMITED produces best quality

Pesticides and spray.

FMC UNITED (PVT) LIMITED owns three mega plants with Central location.

Its brand is preferred on others.

Board production range.

No deceptive & unethical practices.

Top player of pesticides business with max production capacity

FMC UNITED (PVT) LIMITED captures 9 % of the pesticides and spray market of

Pakistan.

Core competence in distribution with the largest distribution network.

FMC UNITED (PVT) LIMITED owns three mega plants with Central location

WEAKNESSES

Because of high share in total production, it is allotted more of imported pesticides that sell

slowly.

Its price is higher then of competitors.

Monetary sensitiveness to foreign exchange exposure

Dependence on imported feed stock, supplies and special

repair maintenance faculties

Limitations in meeting up the demand of granular pesticides.

Too much centralization pesticide control effect timely decision making.

23


Sluggish promotion department.

Need to focus on sugarcane crop.

Require few weediciades and fungicides precuts.

Need improvements in distribution channel?

Increase sales team up to hundred (100) officers currently it is survey.

OPPORTUNITIES

Demand of pesticides and spray is growing very rapidly.

Good chances of expansions.

All other type of pesticides are imported, while a related Company (FJFC) will market its

D.A.P pesticides through FMC UNITED

Efficient as well as apt sales promotion and dynamic Advertisement.

Proper placement of warehouses

Great opportunities for joint ventures.

Quality should be improved gradually with the result and

trends in market? May utilize the word of month influence by

giving more benefits to dealers.

May diversify the business in allied services may be cost

leaders by cutting down the unnecessary expenditures.

THREATS

Any sharp decline will heart it the most.

A free trade policy of WTO is major is a major threat to the company.

Threat of forward integration by FJFC.

Threat of water and gas crisis.

Threat of entry of new competitor especially that of Middle East.

24


SUGGESTION AND RECOMMENDATIONS

Improper Employees Distribution

Over staffing and unbalanced distribution of employees in departments. Like all the

government and semi government institutions FMC UNITED (PVT) LIMITED has also

excessive staff than required. Moreover, there in uneven distribution, a place where one man

can do the job three people are working there. And some place a job of three persons is taken

from a man. This uneven distribution results in de-motivation of the employee and gradually

his interest in his work decreases the efficiency of worker job is assigned to its caliper to

develop his interest in work that increases the out put and decrees the overall cost of

organization.

So there is need to do the proper and well planned task distribution among the employees. The

company should first analyze the expertise of the employees then it should take the complete

analysis of the work then the company will be in a position to assign the duties to the

employees in such away that the above mentioned hurdle may remove.

Unnecessary Documentation BurdenIn the company there is an unnecessary emphasis on documentation. In transactions a lengthy

procedure of paper work is involved that decrease the efficiency and result in wastage of time.

It is also absorbed that in some cases the same record is maintained by more then one

departments.

The task of documentation should assign to only one authority and this authority will be held

responsible to keep the records of documentation. By assigning this task to a specific authority

not only the time will be save but also the cost which the company spend in duplicating the

record will be save.

Absence of Career Development Programs

25

FMC United (Pvt) Limited There are very few programs for career development of the employees. People working in one

section or department from years are still with the same knowledge and style of doing job.

There not only sharpens the skills of the employee that not only sharpens the skills of the

employee and improved output for the organization. Some employees are working in the same

department or section since they are appointed.

The company should exert forces towards the enhancement of expertise and knowledge of the

employees so that they may show their abilities. It is not necessary to engage some outsider for

conducting such programs to whom the company will have to pay. Rather the may have some

well qualified and experienced employees who can perform this job bitterly. So there is need to

plan it properly if once it planned the company will not bear any extra expenses.

High CentralizationToo much centralization in the organization. Managers at low level are not authorized to make

decision even about minor things. They have to consult top management and give justification

on small matters. Involvement of top management and reaching at the final decisions is time

consuming and some times result in heavy losses. Also man at low level with responsibility

and no decision making power gradually lose interest in his job and de-motivation that affect

his performance.

It is not the case of just FMC rather more than 70% of companies in our country are facing this

problem where there is high centralization even very minor affairs are discussed and settled by

high authorities. So there is need not too much but some authorities to the employees which

will give many advantages to the company in return. If it done then the employees will be in a

position to take action or decision in case of some unusual circumstances. So there should be

delegation of authority up to certain extent that enable manger to take timely decision at the

spot with confidence. When they take decision they feel themselves more involved and

responsible for the job and in turn their efficiency increases.

Employees HiringDue to high rate of unemployment in the country person join those jobs that are against their

interest and not according to their caliper. So proper analysis should be done, and explore those

employee which can do better what they are currently doing in the organization. HRM

Department should give strength so that they may choose the most appropriate employees so

26

FMC United (Pvt) Limited that they may give the maximum benefits to the company. Wrong selection of employees just

increases the burden on the company.

Improving the Safety MeasuresThey are no strict means to force employees to take safety measures and follow rules. Management should take necessary action in implementing the safety rules in the organization.The only way to convince the employees to be conscious about their safety during the work is conducting the awareness programs time to time. The programs should visually designed so that the uneducated employees may also understand them easily.

Product Quality ImprovementAfter viewing the marketing analysis we see that product quality is not up to standard because

management is more is quantity conscious then the quality. As the company is still competing

with very strong and well reputed competitors so there is not too low assumption standard of

the product but the quality enhancement efforts are absent. So there is need to formulate a team

of quality control and enhancement which may held responsible for frequent changes and

improvements in the products.

CONCLUSION

FMC UNITED is big name in agriculture sector. Its position is better then other

multinational companies which are working in Pakistan. FMC UNITED has a good sales force,

good business strategies and strong distribution system. FMC is basically an American based

company and good reputation in America. But they are not entered in Pakistan as in America if

they do so they will be the market leader in Pakistan.

REPORT DATA REFRANCES

MANAGEMENT REPORT OF FMC UNITED

MARKETING REPORT BY KASHIF IJAZ

27


(Business Manager FMC UNITED Sahiwal Region)

TERM REPORT BY ABDUL REHMAN (Sales Officer FMC UNITED Sahiwal Region)

WWW.FMC.COM..PK WWW.GOOGLE.COM..PK

28

Date post:	16-Nov-2014
Category:	Documents
Upload:	nouraizsaleem
View:	448 times
Download:	0 times

FMC REPORT12

Documents