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Speed Automobile Pvt. Ltd: Business Description and Management Segment

General Description of the Business:

The name of our automobile workshop is “SPEED AUTOMOBILE PVT.LTD”. Our main business is to service automobile & import the original parts of different kinds of vehicles from different countries so that we can give a better and strong service to our customers at a reasonable price. As a result, it will spread branches in various field of business & will bring a great revaluation in the history of automobile in Bangladesh very soon.

Automobile Background:The history of automobiles in Bangladesh is not been so long and for that the competition is less then any other sector. But at present people have chosen to spend part of their increased income for their automobile. As a result, the need for reliable & convenient auto services has substantially risen as well. So the service of existing company is under the line of satisfaction. To see this we promised to render a better service to our customers as well as bring a new revaluation in the automobile sector of Bangladesh.

Company History:Before the liberation automobile industry was centralized by the Pakistani ruler and after the establishment of Bangladesh few of the industries came to develop automobile servicing sector in Bangladesh in mid of 1972-1975 by the legendary interpreter Mr. Johurul Islam. So some friends come forward in recreate the history of automobiles in Bangladesh. The history of “Speed Automobile Pvt. Ltd.” is quite good and not so long. We wanted to makes us independent, free and speedy then the modern age & want to give the better service to the people of Bangladesh.

Company Vision:Providing the population of Bangladesh with modern technology by offering quality full machine & proper service through multi distribution channels. We want make their life easier more comfortable and convenient. As a result, we will be the benchmark company in the automobile way to superior performance, demonstrated by quality, on time delivery and customer satisfaction. In a word, “Speed Automobile Pvt. Ltd.” Will be one of the leading brand of automobile in the south Asia by 2020 .

Management Segment:Management is one of most important segment for a company. Our company has a well enriched management team with professionals. We also follow a well street management system in our company. Our company has been divided into six departments. Those are –

a) Research and development sectionb) Quality control departmentc) Design departmentd) Production departmente) Electrical department &f) Work force.

It must be mention that our company “Speed Automobile Pvt. Ltd.” registered as a private limited company under the company act (ACT 17) of 1994.

Organizational Structure:

In our management we always follow the democracy. Our management structure is like following:

Management Team - Key Personnel: Key personnel The persons who are responsible for our managements is like the followings-

Chairman

Managing Director

General Manager

Assist General Managers

Production Manager

Vice Chairman

Director

Operation Director

Service Manager

Porches Manager

Sales Manager

Staff Controlling Manager

Reception Forman Drivers Office Staff Cleaning Staff

Ms. Shajida AfrojAge 27, an MBA (Finance) is the prome partbner of our company. She is the General Manager of the company. She is very young energetic and dynamic person. She work as a full time manager of the company.

Aklima AkterAge 24 BBA (Accounting) is also an active partner of our company. She is the Accounts Manager of the company. However, she does not have much experience in this sector but her academic qualification relating to accounting knowledge will help the company to achieve the efficiency and effectiveness in the operation.

Akter ShahriarAge 27, MBA (Marketing) is also on active partner of our company. She is the Marketing Manager of the company. He got the experience to do marketing of mechanical goods in local market as well as foreign market.

Palash Chandra Dey.Age 27, BBA (Human Resource Management) is a partner of our company. She is also the administrative consultant of the company. She is very much able to run any types of related project and efficient to make effective decision.

Md. Naikmur RaselAge 25, BBA (Management) is a partner of our company. She looks after the financial section of the project. She is very effective in her working. She was an active partner of all the small units of the family business for the last 3 years.

Ms. Seema Raosynee:Age 25, B.Sc and Technical Manger of our company. She is responsible for controlling the overall production and supply chain management.

Asha Akter :age 27, BBA, is our planning and organizing manager. She is highly qualified in academic results with her brilliant success. The company is benefited from her both in the implementation and operational stages. Samsun Arefin: age 24, B.B.A, working as an executive in our company. She is responsible to handle the operation of the firm based on the instructions provided by the managers of respective department.

We have some qualified and experienced partners those are working our business management team and also the consultants and advisors. They are the person that we are regretful for their contribution for our business. Some of them are:

01. Amit KarmakarDept. of Mechanical Engineering.

02. Md. Tanjeedur RahmanDeputy General Manager.

03. Khandaker Darun NaeemSenior Executive, Vat and Tax Department.

Technical Segment

Location Analysis:-In order speed our business we have to locate our workshop in a suitable place from where we can easily transfer and it need a industry friendly weather too and so our workshop is located on Tejgaon industrial area. It is located over about 60 kathas of land.

The mailing address of our workshop is: 341 Tejgaon I/A, Dhaka-1215.

Our services: We always want to provide the consumer a good service with good equipments and 100% pure parts. The service we usually provide our clients is given below.

i) Yearly /Half yearly servicing ii) Car paintingiii) Dentingiv) Engine washv) Oil changevi) CNG conversionvii)Adjusting / Readjusting / Repainting parts.viii) Consultationix) Selling partsx) Selling recondition vehicles.xi) Vacuum steam washxii)

Dimension of Services:-

The Dimension of our service will pretty long. A customer can easily get our services from any where. We have a 2417 active call centre and calling there anyone can easily get free consultation from us. We have to link with highway police so that if any one need our-self in highways, they can get us. We also render free service within 4 months of first service. We also render on home service.

Service flow chart:-To render the services we always follow this basic flowchart-

Marketing Segment

Current Scenario in Bangladesh:

In Bangladesh, most of people buy re-conditional car for their necessity, spreed automobile Ltd. Is one of the most famous company in Bangladesh. We provide various kinds of services to our customers. We repair car and provide the best qualities accessories. We import branded vehicles accessories, vehicles parts and many other things from other country like Japan, China. We provide best service but take less charges. As a result, our customers are increasing day by day. We achieve our customers faith current secretion. In Bangladesh, Automobile repairing company is very necessary for middle class people. Middle class people have limited money. They want to fulfill their demand and get best service to useless amount of money. Our target customers are middle class people. So our company always remembers their demand.

Situation Analysis: Market is a set of actual and potential buyer situation analysis focuses on market and the current capability of the company to serve the market we can assure that the marketing strategy its better than any other autocare companies in Bangladesh because we are directly related to the customers. In today’s market we think Aftab Automobiles, Multibrand Automobile, Toyo Automobiles, Regency Autocare are our main competitors but we don’t focus on them we just only focus on our terms and strategies. SWOT Analysis:SWOT means Strength, Weakness, Opportunities and Threats. Which are describing below-

Strength: Strengths are internal capabilities that can help the company reach its objectives. Our main strengths are-ii) Securityiii) Less chargesiv) Enthustic i) Innovative productemployee.v) Fulfilling customer’s demand.

Weakness:Weakness is internal elements that may interfere with company’s ability to achieve its objectives.

i) Lack of brand awarenessii) Physical Specificationsiii) Financial problemiv)Lack of sufficient space.v) Less publicity.

Opportunities: Opportunities are external elements that the company may be able to exploit its advantage.

i) Increasing demand for automobile workshop with multiple functions.ii) Cost efficient technology.iii) Providing various types of loan for developing automobile sectors from

government.

Threats the company’s performance.

Increasing competition.Downward pressure on pricingCompressed Threats are current or emerging external elements that can potentially challenge product life cycle.

Market Strategy:Every company has taken some strategy for development of a company. Spreed automobile ltd. has also some strategy for marketing. Marketing is one of the most important part in a company. If market strategy is strong any company will get their goal.

Target Market:

Target market of speed automobile ltd. is all class people have their own vehicles. To begin marketing, it is important to study the market. To do this, we need to find out about two sets of people.

I) The customers: We need to know who our customers are, where they are and what they need. In order to direct our marketing efforts to the right people I the right places and offer them exactly what they want, it is necessary that we find out everything about our potential customer.

Marketing Mix Analysis: Marketing mix analysis is an important part of marketing segment of nay company or business. One common way of looking at the market is to consider the marketing mix. Marketing mix considers following four things;i) Productii) Placeiii) Price iv) Promotion

Product: The customer must be provided with the right products or services. We provide various parts of automobile and also auto repair service to our customers. We ensure our customers about the high quality of parts and services. A well planning of the product can fulfill customers needs and also can be profitable met.

Place: The physical location of a dealership will have a critical effort on its success. The product should be provided in the right place on in a convenient manner for the customer

Price: The customer is offered a quality product at an acceptable price to him.We also offers –

1. Discount and allowance pricing In detail how we maintain our discount and allowance pricing is given below: Our Company adjusts its basic price to reward customers for certain responses, such as early payment of bills, volume purchases, and off season bringing. These price adjustments called discounts and allowances can take many forms.

PromotionsWe can use many tools to accomplish sales promotion. Here are given some sales promotion tools that we will follow:

1. Consumer promotion tools:The main consumer promotion tools include samples:

- Coupon- Cash refunds- Advertising specialties- Price packs2. Trade promotion tools:

It includes:- Discount- Allowance 3. Business promotion tools:

It includes many of the same tools include in the consumer & Trade Promotion. So our different promotion tools are presented above and we use this promotion tools for our products.

Corporate social responsibility in marketingCorporate social responsibility (CSR) also known as corporate responsibility, corporate citizenship, responsible business, sustainable responsible business (SRB), or corporate social performance, is a form of corporate self-regulation integrated into a business model.

Business would embrace and responsibility for the impact of their activities on the environment, consumers, employees, communities, stakeholders and all other members of the public sphere. Furthermore, business would proactively promote the public interest by encouraging community growth and development, and voluntarily eliminating practices that harm the public sphere, regardless of legality.

We are not far away from people. Through out its journey it has engaged itself in many activities that helped people. As a part of their activities we are committed to do some better for the society because we know that society is our base and the society’s people are our power. We are truly stood for Providing the societies. Significant new capabilities successful careers to all. There are some programs for maintaining our corporate social resolvability. As short list is noticed bellow about our programs.

To recruit and select human resource and provide them fair salary and other facilities .

Providing foods and education s facilities to the poor. Stand behind the natural hazards affected people in the time of Natural calamities. Make donation to some Organization like school, college, orphanage, Madrasha

and charity Hospital etc. Contribute to the social cultural programs and activities and also the development

activities. Offer Job to the qualified but poor people. Providing Sufficient facilities to our holder ensure their safety and security

Financial Segment

Cost of project

Land & Site development

- 4,00,00,000 4,00,00,000

Building - 7,00,00,000 7,00,00,000Civil work 20,00,000 20,00,000Machinery & Equipment

5,00,00,000 5,00,00,000

Local Machinery 10,00,000 10,00,000Preliminary & Start up expenses

12,00,000 12,00,000

Office Furniture 6,00,000 6,00,000Total Fixed Cost 10,00,00,000IDCP 10,00,000Working Capital 2,90,00,000Total project Cost 13,00,00,000

Land and site development:

Particulars Amount (TK) TotalCost of land 2.00.00.000 2.00.00.000premium payable 1.20.00.000 -Cost of levelling and development

75.00.000 75.000.000

cost of grates 25.00.000 25.00.0004.00.00.000

Building and civil work.Particulars Amount (TK) TotalPlant and equipment 40.00.000 40.00.000service 25.00.000 25.00.000Service 15.00.000 15.00.000Drainage 10.00.000 10.00.000

90.00.000

Plant and machinery cost:

Particulars Amount (TK) TotalCost of imported materials 1.00.00.000 1.00.00.000Cost of indigence’s Machinery

3.50.00.000 3.50.00.000

Cost of stores and spares 50.00.000 50.00.0005.00.00.000

Pre-operative Expenses.

Particulars Amount (TK) TotalEstablishment Expenses 25.00.000 25.00.000

Rent Rates 15.00.000 15.00.000|Traveling Expenses 50.00.000 50.00.000Start up exprenses 10.00.000 10.00.000

1.00.00.000 Means of Financing:The total cost of the project will be [Tk. 13,00,00,000/-]. From which the partner will invest in the project [Tk. 5,20,00,000/-]and the rest of the amount that is [Tk. 780,00,000/-] will be taken from the Dutch Bangla Bank, Dhanmondi Branch.

Means of Finance at a glance:

Means of Finance TakaLong term loan 7.80.00.000Equality supplied by the our 5.20.00.000debt equlity tation 60.40Interest Ratio long

term20%

Loan period Long term

10 years

Instalanct prid Loan term

yearly

Cost of Service

Particulars Amount (TK) TotalMaterial cost 3.00.00.000 3.00.00.000Utilities cost 20.00.000 20.00.000Labour cost 30.00.000 30.00.000Factory over head cost 50.00.000 50.00.000

4.00.00.000

Material Cost: Particulars Amount (TK) TotalCost of experiences 1.00.00.000 1.00.00.000Cost of Fuel 99.50.000 99.50.000

Cost of Engiene 1.00.50.000 1.00.50.0003.00.00.000

Utilities Cost:

Particulars Amount (TK) TotalPower cost 45.00.000 45.00.000Water cost 10.00.000 10.00.000Fuel cost 5.00.000 5.00.000

20.00.000

Labor Cost

Particulars Amount (TK) TotalCost of manpower employed Supervisor (2008000) 16.00.000Gaurd Salary (504000) 20.00.000Labour (16002000) 30.00.000

Factory Over Head Cost:

Particulars Amount (TK) TotalCost of Repairs 5.00.000 5.00.000Cost of Maintance 15.00.000 15.00.000Cost of Rent 5.00.000 5.000.000Cost of Taxes 10.00.000 10.00.000Cost of insurance on factory assests

15.00.000 15.00.000

50.00.000

Income Statement: For the year ended, 31 December, 2011.

Particulars Amount (Tk.) TotalService RevenueLess: Cost of production ServiceLabor costUtilities costOverhead costTotal Service CostGross profitLess: Administrative expenses service expensesTotal operating expenses operating profitLess: Financial expenses DepreciationEarning Before TaxLess: Provision for taxation (25%)Profit after tax

3,00,00,00030,00,00020,00.00050,00,000

10,00,00,000/-

50,00,00050,00,000

4,00,00,000/-

40,00,00060,00,000

6,.00,00,000/-

1,00,00,000/- 1,00,00,000/-50,00,00,0004,00,00,0003,00,00,000

Profitability Projection

For the year ended 31 December 2011 to 2013

Particulars year-1 (2011) year- (2012) Year-3 (2013)Service Revenue less cost of service

10.00.00.000 14.00.00.000 18.00.00.000

Paint 3.00.00.000 5.40.20.00 5.50.30.000Labur cost 30.00.000 30.50.00 40.56.000Utilies cost 20.00.000 27.36.500 86.000Our had cost 50.00.000 1.93.50.000 1.082.8000Total Service Cost 4.00.00.000 5.00.00.000 7.00.00.000Gross Profit 6.00.00.000 9.00.00.000 11.00.00.000Less Administrative expreass

50.00.000 75.50.560 80.50.580

Service Expensess 50.00.000 80.40.456 90.50.665Total Operational cost experance

1.00.00.000 1.55.91.016 1.71.01.245

Operation Profit 50.00.00.000 7.4.08.984 92898755Less: Financial Expencess

40.00.000 40.45.436 50.54.634

Depreciation 60.00.000 70.63.954 80.36.459Earning Before tax 40.00.00.000 6.32.99.594 7.98.07.662Less Prevision for taxasion (25%)

1.00.00.000 1.58.24.899 1.98.51.916

Profit after tax 3.00.00.000 4.74.47.696 5.98.55.746

Conclusion

Bangladesh is a developing country. Most of the people in our country can not afford new cars. So they want to buy reconditioned car.

We hope that our business plan about to given automobile service named as Speed automobile Pvt. Ltd. will be one of the best servicing company not only our country but also all over the world . Become our main purpose of this company is not to make profit. Actually we want to give better service to the people of our society. In this plan there is some lacking but we are trying our best to do it well. Our plan in a new one for our country, so we hope that we can success in the field of automobile service.

Bibliography

Some Report of different Automobile Company such as Aftab, Navana ,Proton Automobile.

We Site-bd.trade.info Principals of marketing

o Philip Kotler Business Module-Classes