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Sitara Group of Industries Pakistan

“SITARA” meaning a “STAR” is the title, which proved an omen for the Group, which rose from a very modest beginning and now looms a distinguished Star on the galaxy of industrial tycoons in the country.

The name “SITARA” emerged on horizon of Pakistan within a decade of its birth in the year 1947. The start was modest with limited financial and other resources being available. Hard work and dedication combined with untiring efforts soon flourished to bear the fruits. An honest approach in dealings at all levels within and out of the organization concerning our valued Customers, Vendors and other related agencies, is a discernible factor to elevate the group to the level as we see it today. Above all, our learned, capable, foresighted & devoted management and loyal staff soon turned our humble efforts into a well-conceived and escalated enterprise in the country. SITARA in its essence proved a practical symbol of bright fortune and success. Now Sitara is termed as one of the top-level groups in the Industry of Pakistan. Sitara Chemical Industries Limited is the recipient of “VII

INTERNATIONAL EUROPEAN AWARD 1993, TOP 25 COMPANIES AWARD 1995, 1S09002 Certificate in 1999 from SGS Switzerland” for Quality; and Sitara Textile Industries of “SECOND TEXTILE WORLD INTERNATIONAL SPECIAL AWARD 1993” in recognition of its services for the textile industry. The origin of the group dates back to fifties, when two brothers late Haji Ghafoor Ahmad and Haji Bashir Ahmad, (serving chairman) gifted with the business acumen and entrepreneurial skills established an initial set-up Sitara Textile Printing at Faisalabad, (now expanded into Sitara Textile Industries). The vision for the future made them realize to play a pivotal role in the industrial development and economic prosperity of the country. Always planning ahead of time with an ambition and mission to expand their business activities on a broader spectrum and leading their journey to the path of eminence, they succeeded to build a huge stratum of industry, reflecting diverse industrial activities spanning over.

The professional management always lays emphasis on, initiative, drive and team spirit, where continuous improvement and excellence is the goal. As a part of Organization Development program, special emphasis is laid on development of Human Resources through in-house and external training, in order to update the staff with recent technical enhancements, to benefit new emerging technologies and supervisory skills resulting in the development of a highly competent pool of human resources.

Investment Opportunities

Group is adding its share to the economy of the country as reflected below:

Providing jobs to 2000 employees approximately

¯ Manufacturing Import Substitutes, thus saving substantial amount of foreign exchange

¯ Paying Rs. 450 million in taxes annually

¯ Earns foreign exchange to the tune of $10 million annually

¯ Paying Rs. 22 Million as workers’ participation fund annually

The name SITARA emerged on the horizon of Pakistan soon after its inception in the year 1947. Whilst our start up was modest, with only limited work space and financial resources being available, hard work and dedication, combined with an honest approach towards our suppliers, Customers and our loyal Staff soon turned our efforts into a most successful business.

The name SITARA translates into a STAR, a truly wonderful name and omen for a Company which has risen from a very modest beginning to one of the largest and most successful commercial enterprise in Pakistan In order to become a truly integrated, self-sufficient and reliant company, SITARA TEXTILE INDUSTRIES LTD.

Incorporated firstly Sitara Chemical Industries Ltd. and then progressively over the years:

v Sitara Spinning Mills Ltd.

v Sitara Chemical Industries Ltd. (Textile Division)

v Yasir Spinning Mills Ltd.

v Sitara Energy Ltd.

v Sitara Enterprises (Pvt.) Ltd.

v Super Star Garments (Pvt.) Ltd.

The largest addition of Super Star garments Company not only gives our Customers and manufacturers and supply assurance only a fully integrated Company such as SITARA can extend, but opens up the full spectrum of commercial possibilities for the whole group of companies under the Sitara umbrella.

Sitara Textile Industries

Introduction

We at SITARA TEXTILE INDUSTRIES LTD. Are proud to be able to make a major contribution to the general economic well being of the Pakistani Government and its people by earning valuable foreign exchange for the Country and through our job creation and training schemes. The Management and Staff of the SITARA lead by example and sincerely hope that the established high standards, performance and integrity of our group will inspire fellow proprietors and manufacturers within our industry to follow suit as this would benefit all companies within our trade...and ultimately will profit our nation as a whole.

A Sitara textile is one of the largest manufacturers and government accredited exporters of textile goods in Pakistan, specializing in home textiles, fabrics, apparel and fashion. We export top quality products to all corners of the world. Our products grace the shelves of retailers in global market. Over the past 40 years, by using the latest, state of art machinery and technology, the SITARA Group of Companies has established itself as a reliable trading partner, manufacturing and supplying products of the highest quality and appearance.

Quality Control

It is Sitara Textile answering commitment to quality that characterizes every stage of the vertical production process. This can be demonstrated by our company usage of the most modern and fully computerized equipment yet available in Pakistan. Our laboratory is fully equipped to handle and conduct testing to most relevant international standards at all stages of manufacturer from fiber to finished product. This includes testing for shrinkage (dimensional change), pilling resistance, abrasion testing, color fastness, washing fastness, light fastness etc. The result is that our customers benefit from a top quality end product and Sitara Textiles reputation is further enhanced.

 

Product & Design

The management of SITARA TEXTILES believes that a top design in the right color is an integral part of our product and enhances all our fabrics. SITARA TEXTILES employs its own in house design staff, utilizing both old fashioned artistry and designer skills, combined with the latest computer added techniques to create onto printing screens the most fashionable colors and images for our discerning customers in order to keep our company in the forefront of home textiles. In addition, we are able to assist our customers in choosing designs from our extensive design library, which is one of the largest in Pakistan and ranges from timeless floral and geometric to very intrigous contemporary designs and colors in 100% cotton and 50:50 Poly / Cotton, curtains, table cloths and ready made garments to our customer’s specifications. This unit uses over 120 modern sewing machines and appropriate attachments. With having in house facility of HP 650 Designing Computer, we can have complete designing and Film processing. This is the latest equipment from France and is helping us to have fast production of designs and can have very fine details of designs on it as well. On this computer, we can develop designs from Floppies and also can send designs to customers in Floppies for their approval.

Processing / Treatment Plant

A major contribution to Sitara Textiles marketing success has been the high standards of dyeing and finishing equipment in our modern and sophisticated processing facility, consisting of singeing / decizing, shearing, continuous scouring & bleaching, dyeing, mercerizing and calendering machines, both for normal and friction applications. A new addition of RAMAISCH wider width calender with NIPKO-L roll facility has added more value to our normal, friction and chintz finishes.

Strike Offs

As a further services to our worldwide clientele Sitara Textiles uses the latest rotary, Austrian made J.-Zimmer, strike off machine which can produce strike off up to 15-meter length PRINTING The most important part of Sitara Textiles success and popularity must be attributed to our technical progress in printing. Our print staff and design teams combine years of practical experience in printing with our two top-of-the-range Austrian made J.-Zimmer rotary printing machines which can produce printed fabrics up to 280cm finished width, with a maximum of 12 colors per design.

Cutting & Sewing

A great percentage of our daily textile production is converted by Sitara Textiles from a fabric by the meter into a ready, salable retail product. Our Cut & Sew division is actively involved in the cutting, assembling and sewing of bed sheets and sets, quilt covers, pillow cases, comforter shell/bags, urtains, table cloths and ready made garments to our customer’s specifications. This unit uses over 120 modern sewing machines and appropriate attachments.

Quilting Machine

It is a new “DONG UN” Quilting Machine in operation. Working width is 10” (280 CMs) with one COP winder facility. We are producing quilted bedspreads and related products for various countries at the moment.


  

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Production process

Production process in textile industry only processes the grey cloth, and converted it into fished product like printed cloth, bed sheets etc.

Grey Receiving

The grey cloth is received by the processing unit. Repair process is done here, after which it is accepted or rejected.

Grey inspection

They gray cloth is inspected for quality cutting, blend, etc.

Shearing

This process is done to remove any loose threads from cloth. This is done through sharp blades and cloth becomes fine.

Singing

To make the cloth more firms it is processed by the singing machine.

These machines separate the stench from cloth, and increase its merging power.

Kier scouring & rope Bleaching

Now the cloth is washed to remove the dust and other impurities, this is done by rope washing machines. They have 3-local made rope washing machine. Then the cloth is bleached by Kier machine.

 

Mercerizing

During this process the power of absorption of cloth is checked. They have three mercerizing machines. After machining the cloth is sent to the dying department.

Dye department

Now the cloth comes into the Dying department. There are three methods of dying are used.

1. Jiggers

2. Jet.

3. Thermal continuos dying.

Jigger

Jigger dying function is performed normally 1500 meter cloth is dyed in one batch.

Thermal continuous dying

This is cloth is continuous dyed.

Dry Department

After the dying department cloth comes to dry department. Cloth is dryed here, after dying the width of cloth is set, for this purpose they using 2-stantors.

Continuos Bleaching

Here cloth is continuously bleached and converted into Batches.

Printing Department

The cloth comes to the printing department. Cloth is printed here in different color one print on cloth normally 8-12 colours. Printing department is equipped. With two rotary printing installation from Austria.

Aging

After printing the cloth is sent for washing then sent again to stantor for drying to make the colors strong it goes to curing this machine one also called curing machines. The temperature is maintained up to the 150C.

Wash & Dry

The clothe is again and then dryed here.

Finishing Department

Now the cloth is comes to the finishing department. The cloth is ironed and smoothed Calender In calender the cloth is pressed on calender machine; they have calender machines. Which are different for local and export products.

Folding

After calender cloth comes to folder, where the cloth is folded by machines.

Packing

In the stage the cloth is packed accordingly.

Process Strategies

There are three process strategies:

1. Process focus

2. Product focus

3. Repetitive focus

Sitara Textiles is following product focus process and strategy, which is characterized by high volume, low variety, and facility is organized around the product.

And manufacturing strategies

Ø Make to order for exports

Ø Make to stock for local

  


Material management

Inventory management

Inventory management is very important, inventory management concerns short decision about suppliers inventories, productions level, staffing pattern distribution & schedule.

Types of inventories

1. Raw material

2. Work in process

3. Stores & spares

4. Furnished goods

Functions Of Material Management

There is different type of function of material management.

1. Supplier selection

2. Issuing Purchase Release

3. Inbound transportation

4. Work force schedule

In Sitara they have the production department commercial department. Commercial department checks the inventory and then decides about new seller.

Supplier Selection

They ask the supplies for quotation and selected that supplier who gives the quotation according to their specification. They have long term relation ship with their supplier. They don’t easily switch over to supplier. They follow top order regularly.

BASIC purchase item.

1. Grey cloth

2. Dyes

3. Chemical

Storage & Spin Department

1. Purchase order

2. Inward gate process

3. Inspection report pass

4. Store Receipt Note.

5. Material issue note

There Is Two-Inventory Control Method

1. Continuos CQ / review system

2. Periodic review system

Sitara is using continuos Review system. They are manufacturing inventory to reduce the cost. They are not manufacturing anticipation inventory.

Safety Stock

There is four type of inventory of an item.

1. Cycle inventory

2. Safety stock

3. Anticipation

4. Pipeline

Sitara textile used safety stock method. Safety stock inventory protects against uncertainties in demand lead diminution to supply.

 

Lead Time

Lead-time is a time which is required from I supplier for the acquisition of inventory. Sitara textile has different lead-time for different suppliers.

Local = 2-3 day.

Karachi = 1 week

Import 120 days

Finished Goods Inventory Placement

There is two type of placement

1. Forward placement -Near to customer

2. Backward placement -Near to plant.

Sitara is using backward placement.

Forecasting

Forecasting in Sitara Textile Industries (Sfl) Following are some concepts regarding forecasting which are being practiced by STI.

Classification

STI has classified forecasting into three main categories on the basis of time horizon. There are:

Short Term Forecasting

It has a time span of 3 months to 1 year. It is used to plan purchases, job scheduling and production levels.

Medium Term Forecasting

Its planning period is from 3 months to 3 years. It is used to plan sales and production.

Long Term Forecasting

It covers the time period of 3 years or more, and is used to plan capital expenditure, facility location and expansion. While performing forecasting activities, the STI Management also considers:

The major emphasis is given to demand forecasts to adjust the production according to expected sales.

Forecasting Approaches

Generally, two approaches are used for forecasting activities. These approaches are:

Qualitative Approach

This approach incorporates important factors like decision maker’s intuition, emotions, experience and judgement. This approach includes following techniques:

1. executive opinion

2. Sales force composite

3. Delphi method

4. Consumer market survey

5. Naïve approach

Quantitative Approach

This approach employs a variety of mathematical models that use historical data or casual variables to forecast demand.

Techniques used under this approach are:

a) Time Series Models

1. Moving averages

2. Exponential smoothing

3. Trend projection

b) Casual Model

4. Linear regression

STI uses a combination of both the qualitative and quantitative forecasting approaches which is the most effective method to get accurate forecasts. However, their main tool for this purpose is qualitative approach.

Forecasting of demand is based on previous data, behavior of people, change in taste of the people, economic situation and their purchasing power.

For export products, Christmas is also an important event, which is considered while making forecasts.

For domestic products, demand forecasts fluctuate on the basis of season (Summer and Winter) and one events like Lid.

Capacity

Capacity is the maximum out put of a system in a given time period. The unit is capable of producing high Quality with a capacity of 100,000 METER/DAY and currently working on 80% to 85% capacities. The production rate is adjusted on the basis capacity cushion is 10-20%.

The production is adjusted on the basis of these

1. Demand

2. Inventory on hand.

3. Season.

Aggregate Planning

It is concerned with the quality and timing of production for intermediate future by adjusting.

1. Production Rate

(a) Overtime

(b) Under time

(c) Subcontracting

2. Workforce level

(a) Hiring

(b) Firing

3. Inventory level

Aggregate Planning Policies

There are basically two policies for aggregate planning Reactive Policy:

It means one has to follow the demand pattern by adjusting all three factors or any and these factors, which are:

1. Production rate

2. Workforce level

3. Inventory level

Under reactive policy, there are further two sub-categories:

a) Chase Policy

Demand is followed by adjusting production rate. No inventory is kept which avoids holding cost.

 

b) Level Policy

Demand is followed through inventory level while keeping production rate constant.

When demand is high, it is met from inventory. When demand is low, it results in piling up of inventory.

Aggressive Policy

Demand is adjusted (created) according to the capacity of facility. It is done through:

1. Marketing Mix

2. Promotional Mix

Sitara Textile Industry is using a combination of both the reactive and aggressive policies according to situation.

Domestic Products

For domestic products like Sitara Sapna Lawn they have different policies for different seasons.

Summer Season

As the lawn are seasonal products (for Summer), their demand is high in Summer. So STI has to follow and produce according to the demand of the products.

Winter Season

During Winter season, the demand of the product becomes low and it can’t be created through marketing or promotion because the products are basically meant for Summer season. So during Winter, the company only adopts reactive policy, i.e., production rate is adjusted (decreased) according to decreased demand.

While decreasing the production rate, chase policy is followed by operating at under time. If the decrease in production is short term, no firing of the employees is done because company wants to retain its repute and its experienced workers. If the decrease in production rate is going to be for longer period of time. Only then excess workers are fired.

Same is the case while they have to increase the production rate during Summer, i.e., production rate is increased by overtime of employees if the increase is for shorter period of time. If production rate has to be increased for longer period or any expansion has to be made in the facility, only then new workers are hired.

Export Products

Export products of STI include:

1. Fabrics

2. 100% Cotton products

3. Polyester products

4. Bed sheets

Here also STI is following a combination of both the reactive and aggressive policy. But in this case, aggressive policy includes no advertisement of their products. All they depend on is the foreign tours made by their top executives who visit different countries and participate in exhibitions with their samples and try to convince the potential customers to buy their products.

Material Requirement Planning

They are using the MRP for dependent items and use the BOM, INVENTORY RECORDS AND MASTER PRODUCTION SCHEDULE

Lot Sizing

After the demand has been forecasted and inventory level has been determined, next step is to put the appropriate order of appropriate quantity at the right time. There are four main techniques for this purpose:

1. Lot for lot

2. Periodic order

3. Past period balancing (PPB)

4. Economic order quantity (EOQ)

STI adopts lot for lot method by considering the holding cost and setup cost. It means whatever the requirement is, the order is placed for the total of that. This method reduces the holding cost.

Facility Location

Sitara Textiles was established by its present owner Mr. Haji Bashir Ahmad. He started the production unit at Maqbool Road, Faisalabad purchased old machinery and equipment from Karachi and other cities, and started his work.

At that time, facility location was not so good important factors like labor costs, environmental factors, site costs, transportation availability,were not much considered.

Due to progress in their business, there was a need to expand the existing unit. For this purpose, they selected Sargodha Road and established production unit there. This facility was established on scientific basis by considering:

1. Labor availability

2. Labour costs

3. Site costs

4. Transportation availability

In this case, raw material, transportation and labor availability was more emphasized. They have developed staff colonies for upper management people of labor is hired from nearby villages. Moreover, bus service is provided to take the employees from Faisalabad to those units.

Transportation

Sitara textile is using different type of transposition.

For export: They are using containers.

For local: They are using vans, delivery trucks, trailers etc.

They have not their own transport, they hired the transport, and all the expenses of inbound transport are met by supplier.

Marketing department

They have two marketing departments

1. Local marketing department

2. Export marketing department

Export categories

1. European market

2. Australia

3. Far East

4. Middle east

5. South America

Quality Management

Quality Management at Sitara Textiles Sitara Textile Industry’s Management is very particular about improvement and maintenance of quality.For this purpose, they have established a well-equipped quality control laboratory, for which separate staff and experts have been hired.

Quality Control Process

Their process of quality control starts from the suppliers and ends at customer. As STI does not have their own weaving unit, they have to purchase raw material (yarn) from the open market. They start quality control right from the purchase of yarn, chemicals, dyes and other materials. For this purpose, inspection is made to see whether the purchased material is up to required quality standard or not. If not, it is rejected. If accepted, it is then given to weavers who weave the cloth only for Sitara Textiles. Here also weaving process is continuously examined to have woven cloth of required quality standard.

Inspection is also made at the arrival of woven cloth to the Sitara Textiles, i.e., whether the cloth is woven with required specifications or not.

Dyes and chemicals are also examined for their brands, proper combinations, quality, colors and other characteristics.

Inspection for quality standards is made throughout the step ­by-step manufacturing process, especially during grey inspection for weight, width and blend ratio. During Kier Scouring and Rope Bleaching, checking is made for whiteness and pH. During mercerizing, absorbency is checked.

 

Sampling

Sitara Textiles use sample of products to check the quality and the product to be produced in bulk. For this purpose, samples of 2 meters to 10 meters are prepared which are approved by the top management and customer. If both the parties approve the sample for quality, only then they produce in bulk.

After being manufactured and before delivery, finished product is once again checked for quality standards.

Quality Standards

STI is following different quality standards for domestic and export products.

Domestic Products

Sitara textiles has its own quality standards for its domestic products. They continuously try to maintain and improve these standards. Recently, they have hired a firm at Lahore to get ISO 9000 certification and it is still under process.

Export Products

For export products, they have to follow the quality standards as specified by the customer. If they are exporting to Japan, then they have to meet their requirements and if they are exporting to Europe, then they have to follow European standards. They can make minor adjustments in quality as required by the customers.

Statistical Quality Control

At STIL they are using Bar charts for the purpose of statistical quality control to whether there is improvement needed and where it is needed

ISO 9000 Certification

For the time being the ISO certification is under process because there were some discrepancies that were to be removed therefore the MANAGEMENT REPRESENTATIVE and MANAGEMENT coordinator are working very hard to achieve this goal and they are hoping for the quick certification of the ISO 9001 certificate.

Quality Policy

SITARA TEXTILE INDUSTRIES LTD

“COMPANY QUALITY POLICY”

“QUALITY IS OUR FUTURE”

STIL is a unique versatile organization and is dedicated to the continuous improvement in producing different types of processed fabrics by providing excellent services through motivated employees who are dynamic team of people we ensure that the products are produced according to the customer requirement and expectation. STIL is renowned in the local and international market for its excellent services, timely delivery of quality finished products to their valued customers. STIL’s philosophy of continuous improvement relies on an intensive training programs, regular meeting discussions, which emphasize the employees direct involvement our aim is to respond the customer’s ever changing needs in the most efficient way.

Computerization

Every type of record from payrolls to the purchased items is being handled efficiently on the computer system that is using UNIX , FOXPRO, FOXPLUS there is a networking between all the departments these all records are of a controlled nature.

And are made available to the persons concerned and they are able to analyze those records like financial summaries, export data, cost data etc.


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

APPENDICES


 

 

NAME OF MACHINERY

QTY
ORIGIN

SIZE / CAP

1

Singieng machine

1

Switzerland

 

2

Rope washing machine

3

Local Made

 

3

Keir machine

3

Local Made

 

4

Water mangling

1

Switzerland

 

5

Mercerizing

1

Switzerland

 

 

Mercerizing

1

Local Made

 

 

Mercerizing

 

 

 

6

Dyeing jiggers

1

Local Made

 

7

Stentring machine

2

Germany

 

8

Clandering machine (7 – bowls)

1

Japan

 

9

Calandring machine (5 – bowls)

1

Japan

 

10

Fodling machines

 

 

 

11

Bailing machines

6

Local Made

 

12

Jet dyeing machine

2

Local Made

 

13

Rotary screen printing machine

1

USA

 

14

Steam ager machine

2

Austria

 

15

Soap ager machine (soaper)

2

Italy

 

16

Glavanic equipment

2

Local Made

 

17

Film step and repeat machine

1

Germany

 

18

Rubber belt controlled

 

Switzerland

 

 

Compressive shriking

1

UK

 

 

Plant (sonforising)

 

 

 

19

Air conditioning plant (Hitachi Brand)

1

Japan

 

20

Cropping and shearing machine

1

Switzerland

 

21

Mercerizing soaper

1

Local Made

 

22

Famatex double decker stenter

1

Germany

 

23

Ht jet make & westa system

2

Sweden

 

24

Golar open width continuos bleaching

1

Germany

 

 

Range with cylinder dryer

 

 

 

25

Range with thermosol cieve drum

1

Germany

 

 

Complete range and (Model 1979)

 

 

 

26

Diesel Generator Model

1

Japan

 

 

SKG 400 1265 kva

 

 

 

27

Complete roller raising

2

China

 

28

Lab HT Dyeing machine

1

Switzerland

 

29

Complete stentring range of comprising

1

Germany

 

 

Of one padder model montex

 

 

 

 

2H & 1 Stenenter model

 

 

 

 

Montex 10 G/FS model 1985

 

 

 

30

Raising machines

2

Germany

 

31

Calander remeish

1

Germany

 


 

FINANCE DEPARTMENT 

 

 

 

 

 


 



 

 

 


PURCHASE DEPARTMENT

 

 

 

 

 

 

 

 

 



 



PROCESS FLOW OF LOCAL DYEING AND PRINTING 

 

 

 



Contents

Sitara Group of Industries Pakistan 1

Investment Opportunities 2

Sitara Textile Industries 3

Quality Control 4

Product & Design 5

Processing / Treatment Plant 5

Production process 7

Grey Receiving 7

Grey inspection 7

Shearing 7

Singing 7

Kier scouring & rope Bleaching 7

Mercerizing 8

Dye department 8

Dry Department 8

Printing Department 9

Finishing Department 9

Material management 11

Inventory management 11

Storage & Spin Department 12

Aggregate Planning 16

Aggregate Planning Policies 16

Aggressive Policy 17

Domestic Products 17

Export Products 18

Material Requirement Planning 19

Lot Sizing 19

Facility Location 20

Transportation 20

Marketing department 21

Export categories 21

Quality Management 22

Quality Control Process 22

Sampling 23

Quality Standards 23

Domestic Products 23

Export Products 23

Statistical Quality Control 23

ISO 9000 Certification 24

Quality Policy 24

Computerization 24

Appendices 36

 

DEDICATION

 

I dedicate my report to my parents & all my friends.

Acknowledgement

I am first of all thankful to Mr. Dr.Hayat Muhammad Awan for giving me this opportunity to visit the industry in the real settings from this I was able to know what are the operations in the textile industry while Sitara Textile Industry was a good unit of textile finished products.

I am also very thankful to:

GOHAR MAQSOOD KHAN Quality Control lab Manager

MUHAMMAD AWAIS General Manager (Marketing)

MUHAMMAD SHAFIQUE Commercial Manager

SAEED KHAN General manager (Processing)

Who were a great help for me in the premises of the industry and they were all very helpful and cooperative.

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