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ALLAMA IQBAL OPEN UNIVERSITY
Course Management Theory & Practice
Code (8506)
Semester Autumn, 2014
Level MBA Marketing (3½ Years)
Tutor Sir Imran Inam
Name waQas ilYas
Roll # BA 582702
Assignment # 02
Topic = Downsizing

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ACKNOWLEDGEMENT
All gratitude and thanks to almighty “ALLAH” the gracious,
the most merciful and beneficent who gave me courage
to undertake and complete this task. I am very much
obliged to my ever caring and loving parents whose
prayers have enabled to reach this stage.
I am grateful to almighty ALLAH who made me able to
complete the work presented in this report. It is due to HIS
unending mercy that this work moved towards success.
I am highly indebted to my course instructor for providing
me an opportunity to learn about the “which is vital
ingredient” of MBA program. I am very grateful to my
teacher (Sir Imran Inam) for providing me guideline for the
completion of this report.
I feel great pride and pleasure on the accomplishment of
this report.

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ABSTRACT
This report is the Practical part of the most vital practice of
our MBA-Marketing program. The sole objective of my
activity is to familiarize with the practical manipulation of
business organization. This report has been written to know
how big organizations like HALEEB FOOD LIMITED manage
their teams to achieve their common goals.
In the first phase of the report there is the general
introduction about the company and then different terms
have been explained, then the mission, values, different
services and different strategies of the organization have
been explained. In the next part, SWOT analysis of the firm
have been done by the help of which it is identified that
what are the strong areas of the company and where it
lacks so that it can improve, and then in the end most
important my experience while visiting in the HFL.

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DEDICATION
This report is dedicated to the greatest man in
the world that shows us the right path. Who is
the great patron of the mankind that is Holy
Prophet Hazrat Muhammad (PBUH).
I would also like to dedicatethis small effort of
extract to my Parents and Teachers. They
have always been a shining star to look upon,
to give light and to show me the directions
wheneverI am lost. May Allah give them more
strength and long life to guide me forever.
Ameen!

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Table of Contents
Introductionof Topic 06
Practical Review of Company 09
Vision Statement 11
MissionStatement 12
Application of Topic 13
SWOT Analysis 15
Conclusion 16
Recommendations 17
References 17

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Introduction of Topic:
Downsizing
When a small business has more employees than it requires,
managers may decide to downsize the organization. This can be
the result of increased efficiency or reduction in demand. While
downsizing affects everyonein the organization, it has the most
significant effect on employees who are dismissed and haveto
leavethe company.
Downsizing doesn't just affect the employees who are laid off. The
survivorsof an organization's systematic downsizing initiativesare
also negatively affected by the company'sactions, and this is
often noticeable in reduced productivityand less positive
attitudesabout the organization as a whole. In small businesses,
the impact of downsizing may be even more severebecause
employees are often as close as a family. Consequently,
managers must handle downsizing with sensitivity,avoiding
negativemanagement practices.
Important sub topics
Important sub topics are:
Severance Pay
Employees who lose their jobs because of downsizing may be
entitled to receive severancepay. Employees are entitled to
receiveseverancepay if their contract of employment provides
for it or their employer has a policy or practice of paying
severancepay.Businesses who employ more than 100 people

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must givetheir employees 60 days written notice of a mass layoff
or pay compensation. Receiving a lump-sum payment at the end
of their employment can be a positive for employees as they can
clear debts or build up their savings.
Alternative Employment
An employee may find a job that offers better terms and
conditions than his previousrole. Some departing employees seize
the opportunity to set up in business for themselves, using their
severancepay to fund their new venture.
Psychological Impact
An employee may become angry at the company for making the
decision to dismiss him. Overtime, that anger can turn to
bitterness. To deal with the psychological effects of downsizing on
departing employees, many companies offer counseling support.
Financial Impact
Losing a job can be a financial blow for the departing employee if he cannot
find alternative employment quickly. Severance pay and unemployment
benefits may not cover his all of his expenses for more than a few weeks.
Even if he finds a job, it may pay a lower salary than his previous job. If this
happens, his lifestyle may have to change to accommodate his lower
earnings.
Minimal or Unclear Communication

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The FuturePlans of Company Uncertainty about the futureand
the company's plans takes a toll on employees. Without
information, employees are more likely to listen to rumors and
engage in gossip. Managers must engagein ongoing
communication with staff. Providea clear message, avoiding
business cliches, double-speak or leaving people to read between
the lines. Explain the next steps in as much detail as possible.
Fairness
Managers must be perceived as being fair before, during and
after the downsizing. Unfair management will have a detrimental
impact on the organizational performance as a whole, impacting
morale, reducing productivity and even decreasing sales due to
negativepublicity.
Involvement
Incorporating employee knowledge with management strategy
may lead to fresh ideas and a new approach. Including
employees in the final decision-making process also increases
employee commitment to the decision itself and improves the
survivors' attitudestowardswork and on-the-job behaviors.
Multiple Approaches
A negativemanagement tactic is to focus only on the downsizing
initiativewithout consideration of wider issues such as retention of
the remaining staff and the possibility that you may need to hire
back some of the departing employees in the future.Providing
training and career management programs for both the victims
and survivorsis a sign of respect and encourages workers to
remain loyal to the company.

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Case Study
Haleeb Food Limited Pakistan
Introduction:
Haleeb Foods Limited (HFL) is a fast growing food product
company. It was established in July 1, 1984,and commercial
production started from July, 1987. The company’s name is
changed in November,2000.Formerly it was CDL but now its
name is Haleeb Foods Limited (HFL). The HFL is first dairy company
in Pakistan to get ISO- 9002 certification in 1997 and HACCP
Certification in June, 2003.
HFL is following the Total Quality Management (TQM) techniques.
The HFL has succeeded in this by continuously improving the
quality of its productsand by satisfying the needs of its customers.
This report coversthe activities and responsibilities that I performed

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during my internship at Haleeb Foods Limited. HFL is the National
Company with a burning passion to take on the international
market. In the clutter of multinational companies HFL has a
distinguished place.
Then the next part includes my duties and responsibilities and the
assignments and projects they gavetheproblems and then me
and limitations I havefounded while doing the internship and then
recommendations.
Internship Assignment:
The assignment was to work with a professional organization to get
professional experience of the office routines and the working of
the organization at the initial level.
Introduction of HFL:
HFL is now one of the fastest growing packaged food companies
in Pakistan with an annualturnover of Rs. 9.2 Billion (F2006). Due to
consistently superior performance, it has achieved undisputed
leadership in the liquid packaged milk category with a market
share of over 52%.
HFL has segmented its product portfolio in 3 leading brands
including Haleeb, Candia and Tropico. Haleeb is the flagship
brand of the company. Haleeb UHT Milk is available in 5 Sku’s of
Tetrapak packaging.Due to its strong positioning of the thickest
milk for best tea.
Progressively diversified
Haleeb has also progressively diversified from UHT Milk to other
product.It include Haleeb Butter,Haleeb Yogurt, Haleeb Cream,
Haleeb Labban (Drinking Yogurt), Haleeb Asli Desi ghee (Butter
Oil), Haleeb Funday Juice Drink, Haleeb Skimz (skimmed milk),
Haleeb N'Rish Full Cream Milk Powder & Haleeb Good day Pure
Juices. Haleeb Good day is the only rangeof 100% pure juices in

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the country with a varietyof 6 pure juice flavors. HFL has one of
the largest nation-wide distribution networks delivering high quality
products, even in the remote areas of Pakistan. The company
ensures that the product rangeis available in all the urban and
semi urban areas of Pakistan and Rural market as Well.
HFL has an efficient and resourceful Export department,which has
successfully tapped opportunities in foreign markets including
Korea, Hong Kong, USA, UK, China, Afghanistan,Bangladesh and
the Middle East. HFL has a well-developed supply chain
infrastructure.It has heavily invested in a vast network of company
operated milk collection centers across the country.
It is the only company that conducts 21 rigorous quality tests to
ensure that only fresh milk of the highest quality is accepted at the
plant premises. These internationally recognized tests are used to
check for: a) adulteration, b) microbiological contamination and
c) adequacy of nutritional contents.Further,Haleeb Foods is the
only food company in Pakistan that has the following international
certifications of quality and prestige:
HACCP (in process controls for safer products)
ISO 9001 – 2000 (better quality for greater customer
satisfaction)
ISO 14001 (environment-friendly operations)
HFL believes in using packaging technologies to meet consumer
expectations of hygienic and high quality food products. It has
more than 30 Tetra machines for its UHT milk brands and 5 UHT units
with a capacity of producing more than 1 Million Liters of Milk
every day.The company has recently inaugurated a second
independent UHT plant at Rahim Yar Khan.
Vision Statement:
Most Innovativeand fastest growing food company offering
products enjoyed in "everyhome every day"
Mission Statement:

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Build Branded food business to improve quality of life by offering
tasty,affordable and highly nutritional productsto our consumers
while maximizing stake holders' value.
Policies:
Meet therequirement of all relevant legislation and regulation
related to consumer satisfaction & safety, environment and
other applicable laws etc.
To prevent pollution through controlling levels of harmful
emission, effluents and other wastes.
Contribute to safe and healthy environment for our country.
Promote mutual trust with customers, suppliers, employees,
shareholders and community.
Provide all the necessary resources for the continual
improvement in quality, safety of our products, processes and
environment.
Mission Statement
Productivity:Be a highly efficient & effectiveorganization
People: Develop a team of passionate and committed
individuals whose goals are completely aligned with the
corporate objectives
Portfolio: Maintain a portfolio designed to meet changing
consumer expectations by delivering nutritious and high
quality food solutions in a cost effectivemanner
Profit: Maximize long term return to shareholders while being
ethically responsible
Partners: Develop sustainable and mutually beneficial
relationships with customers, suppliers and other stakeholders
Planet:Be a responsible corporateentity by helping build
sustainable communities

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Review of Theoretical and
Practical Situation
HFL formerly known as Chaudhrydairies was formed in 1984.The
core product of the company has always been packaged milk
But it currently operates in severalother food product categories.
It is one of the first companies In Pakistan to use tetra pack’s
innovativePackaging technology.It is principally engaged in
processing and sale of toned milk, milk powder, allied dairy
products and fruit juices.
Downsizing" conjures up images and thoughtsof decline and
weakening in Haleeb Foods. Haleeb Foods envision a life that is
descending, withering away, drawing to a close. Perhaps if we
reframe the process, we will see its generative—rather than
deteriorating—possibilities; we will focus on the gains rather than
the losses. Rather than downsizing, let's talk about "clearing" and
"composing in Haleeb Foods." As we excavatethelayers of our
former life, we must clear a space, by getting rid of the baggage
that has weighed us down—physically,emotionally and spiritually
for too long.
Downsizing in HFL
In 2009:
• Massive layoff of nearly 500 employees.
• 30% of the HFL total work force.
In 2013:
• Plans to Layoff 800 employees over threeyears.

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Empowerment and Accountability:
Management at Haleeb Foods believes in providing employees
with avenuesthrough which sense of ownership is created and
authority is delegated and review about downsizing employees.
This not only boosts the morale of an individual but also helps in
contributing towardsefficiency and productivity.Empowerment
results in devolution of trust and establishment of a healthy
working environment. Delegating responsibility does not abandon
personal accountability. Thus, in order to enjoy an effective and
desirable outcome, competent monitoring processes are
practiced, where each employee takes responsibility for their
respectivedecisions.
Cooperative Spirit:
Haleeb Foods Ltd passionately promotes the culture of sharing
knowledge and working collectively. The concept of working with
coordination comes in handy for reaping benefits from pooled
talent and expertise ultimately resulting in higher productivity.
Simultaneously, personal satisfaction amongst employees is
achieved.To add further valueto our work practices,
experienced and capable counseling is provided that enables
employees to work under a shared vision.
Data collection methods
The Primary & Secondary data of this Assignment come from the:
 Interviewsof Personnel of HFL
 Books
 Different Websites
 Newspapers
 Magazines

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SWOT Analysis:
STRENGTHS:
Efficient Distribution networks throughout the country.
Socially Responsible Company.
Haleeb Food's products enjoy strong brand image and
market pull.
Financial, marketing and sales strategies are formulated by
gauging the customer demands.
Periodic research carried out to judge market trends.
Focus on research and development.
WEAKNESSES:
Relatively a small and local company in comparison to its
rivals.
Dependence on 3rd party for supply of milk.
Low sales margins due to highly value added products.
Feasibility of new productsneeds to be analyzed,e.g. Candia
Drinking Yogurt was launched some years back but it failed
because no customer demand exist it.
Low promotional activities.
Comparatively weak distribution system.
OPPORTUNITIES:
Pakistan is the seventh largest producer of milk in the world
with annual output of over 22 billion litres.
There are substantial growth opportunities considering the
average yield of Pakistani animals at only 1,100 litres/annum
as compared to 6,000 liters/annum for animals in Europe and

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USA. There are nearly 20 million milk producing animals in the
country, mostly in Punjab (80%).
The overall milk market in Pakistan is 20 billion liters, out of
which processed milk contributes only 3 million litres. Haleeb
Foods along with other processed milk business contribute
only 2% to this large market.
Credit policy can be adopted to increase sales.
HFL can export to others countries.
CDL has been changed to HFL, so this change in name can
help them to attract foreign customers.
Entering in to the market of baby cereals, which will help them
in increasing their revenue.
Launching cheese would also beneficial for them to create
the brand awareness.
THREATS:
Competition with Nestle, Engro Foods.
The uncertaintyof economic conditions poses a great threat.
The present economic crisis in theworld, led to the withdrawal
of foreign management from the company and the
investment has come to a halt.
Price sensitive people.
Milk man (Gawalas) providing non branded milk in homes.
Conclusion:
This internship proved to be veryhelpful for me. It was my first
experience, which was obviously very tough,but it will be very
beneficial for in my coming future.
As a whole HFL is a good organization to work in but there are
certain departmentsthat need improvements.It is surviving in the
FMCG’s sector with some strengthsand weaknesses. I am of the
view that if the management of HFL should haveto take some
decisions before time, because in the 21st century only those

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organizations can survivewho are utilizing all their resources
efficiently and effectively.
Recommendations:
Haleeb Foods Limited should also allocate a healthy budget
for the advertising of its products.
HR Department of HFL should introduce HRIS to increase the
efficiency of the company.
The co-operation among the different departments of HFL
should also improve it will lessen the bureaucratic cost and
increase the efficiency of the company.
The activities like customer satisfaction day should be
performed on regular basis so the company should know
about the feedback of the customers regarding the products
and image of the company.
The shopkeeper complains that HFL don’t provide
replacement to the expired products so they should provide
proper replacements to the shopkeepers to enhance the
image of the company.
Haleeb Foods Limited should improve its distribution system
especially the retailers are not happy with distribution of
Haleeb Milk.
References
www.haleebfood.com
relevant text book of AIOU
Personal observations
Sentra mode product ISO 9001 certified
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