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1.0 Company Overview: 1.

1 Introduction:

OTOBI Ltd, a leader in manufacturing furniture brought revolutionary changes in the furniture world in our country. Till now OTOBI is the industry leader in all kinds of metal furniture and decorative items. With the touch of artistic view, and super structural model. Eminent sculpture and painter, creator of SAARC Fountain and the famous sculpture of the Shabash Bangladesh in Rajshahi of OTOBI Ltd. His combines technology and art together, which open a new horizon in our industrial area. 1.2 Background Information:

How it started: In 1975 Mr. University campus, and Shampan in Chittagong Airport, Mr. Nitun Kundu is the founder Nitun Kundu along with two other friends founded a small workshop OTOBI Limited, which started to supply steel furniture in a small scale. In the same year he designed the film award. OTOBI started to grow gradually with dedication and wholehearted efforts of its people. Today OTOBI is fully equipped with latest technologies.

Awards: For outstanding contribution in painting Mr. Nitun Kundu got national award in 1964 and in 1998 he was awarded with Ekushey Padak for sculpture. In 1981 OTOBI got the first prize for their outstanding performance in Dhaka Export Fair and for the next three years it got the first prize for pavilion in National Industrial Fair. Vision: The vision of OTOBI is to become the most leading furniture manufacturing company in Bangladesh. By following our vision, our company will expand its sale net across Bangladesh. At the sometime it will also focus on the foreign markets. The management will be based on a long term partnership with the suppliers. The companys activities will aim towards the offer of quality products and efficiencies, and strive to achieve the contentment of the business partners, final consumers and employees. 1

Mission: OTOBI is a manufacturing company which manufactures and supplies the most qualitative furniture with reasonable pricing across Bangladesh. The company constantly follows the latest trends in the furniture industry and introduces to the Bangladesh market new, interesting and competitively advanced products. The company is trying to guarantee a wide offer of furniture products in different materials, dimensions and colors for almost every room of your home. It offers a variety of product line to attract more customers It fulfills its social duties by fitting in the local environment as a sponsor and donator and offers to all employees a relaxed working environment.

OTOBIs Goals: OTOBI is committed to provide excellent service and to exceed the expectations of its customers. It wants the customers to remember OTOBI as a memorable experience. OTOBI aims to fulfill the objectives of the Company's growth and to meet the expectations of all its employees. 1.3 Problems: Almost all materials (Steel, Plastic, and Chemical) for the products of OTOBI are imported. Taxes on these items are one of the main obstacles for the furniture industries. There is a great problem of technical support and skilled manpower. Problem facing by customer: High Price, Not enough transportation services. 1.3 Objective of the Study: With the rapid growing changes of organization structure due to the development of information technology leads the organization to bring e-branding for the organization. The main objectives of this study are given below To find out the present situation of e-branding in Bangladesh. To find out whether e-branding is cost effective or not in Bangladesh. To point out the problem related to e-branding in Bangladesh. To recommend some way outs to overcome the challenge 2

2.0 Departments: There are ten distinct departments in OTOBI Ltd. Every department has their own functions to carryout companys job effectively and efficiently. Personnel Department, Marketing Department, Production Department, Purchase Department, Finance Department, Store, Delivery, Service, Central Distribution Centre, Design.

3.0 Product of OTOBI: OTOBI produces a wide range of various types of furniture ranging from personal chair to office furniture, from kitchen decoration to hospital furniture, from household furniture to auditorium decoration. In addition, it designs and constructs indoor and outdoor fountain and interior decoration. Extraordinarily designed chairs are their specialty, which is widely popular all the country. The main components of its products are steel, wood, laminated board. 4.0 Finance & Accounts Department: This department mainly involves in managing capital investment of the company and available fund for all expenses for the company such as 1. Capital investment for the company 2. Purchasing raw materials 3. Administrative and operational expenses 4. VAT and etc.

5.0 Purchase Department: The purchase departments main aim is to available all required products on time for carrying out the production and administrative, and operational function of the company. It has two types of purchase: 1. Local purchase 2. Foreign purchase For local purchase it happens once in a month. But in the case of purchasing the imported item in the marketing and production department jointly make the requisition. Accounting to the marketing department forecasting production department make the requisition for the raw materials to the purchase department. The lead-time for purchase of imported item is 4 month. All the vendors are selected according to their price, quality and service judging through the email. Also the purchase manager visits the vendors time to time to ensure the quality of service, price fixing, quality of product. 6.0 Design section: Company has varied well organized design department for product designing and development of the companys product. All personnel of design section is expert in CAD operation. They have following activities: 1. New product development 2. Existing product development 3. Special product design like kitchen cabinet, workstation, wall cabinet etc. 4. Space design for special products 5. Production drawing 6. Casting 7. Customer drawing (2D and 3D)

7.0 Factory Overview: At present Two factories are working together to meet the upcoming demand of the market. Shampur factory: Shampur factory was inaugurated at the end of 1995. The total area of shampur factory is 68000 sift. It has ten-storied building with tinshed structure except the chair assembly section. Mirpur factory: Mirpur factory was the first one for OTOBI Ltd. Its also known as corporate office of OTOBI Ltd. The production capacity of this factory was not enough to meet the market demand, because most of the machine was old and not automated. 8.0 Overview of Manufacturing Process: OTOBI is fully equipped with latest machineries and technologies including plastic injection molding, polyurethane foam injection molding etc. to manufacturer sophisticated furniture. Its wide range of executive secretarial and different chairs provide optimum back care resulting in the reduction of fatigue due to long positional sitting .Coupled with the finest materials ,mechanism and functional and supper upholstery workmanship ,OTOBI has emerged as the unique manufacturer of metal furniture with aesthetics and functional characteristics. Its furniture components are manufactured from selected superior quality steel. The thickness of the steel is consistent with its functional and structural needs. All steel components are subjected to the process of pros petting for protection against rust. Pretreated for corrosion resistance, all components are given coats of superior quality paint and are then oven baked for obtaining a hard surface finish which remains attractive even after many years of use. It also used polyester powder to give an excellent finish to a wide range of metal products. This electrostatic powder coating, hardness and chemical rsistance. Now at present most of its revenue come from the LB board products. It has now introduced many special products for households, office products, like kitchen cabinet from laminated board. It has fully automatic production line for producing laminated board furniture, which has the capacity in term of revenue five chores, an unparalleled achievement in this country.

Plastic section: Chair, Table, Chair base/ leg, folding chair component are product in this section. Sofa upholstery, polyurethane. One chair used to take one and half minute and each component used to take 35 sec. to produce. Raw material: Raw material used for producing all item are imported from abroad (Malaysia) such as Titan pro polypropylene, Nylon, High polyethylene, Lo density polyethylene, High limpid polystyrene (shadow), High limpid Polystyrene, PVC ( hoe and cable grade). Machine used for producing the item are mostly automatic and semi automatic. Observation: Some of the machine production time has changed by changing the heating and cooling system of the machine. In addition some machines In addition some machine are transform from semi automatic to automatic, hic i eventually the production capacity working on machine are well informed and trained about the machine and the production process. Phosphate, Molding, Etching and painting: These processes are done for the steel chair, Sheet metal furniture. Before giving these treatments all the metals are given following treatments for avoiding future resting problem. Degreasing water rise Degusting water Rinse Picking water rinse Phosphate Water Rinse scaling Dryer After giving the treatment the component are ready for fitting, Painting. After the painting (in two ways, one normal paint another is power paint both are spraying by the spry gun then all painted product go through a heat chamber. After this heating the paint and the metal attached in a rigid bonding.

Decorative Section: This is the origin business section of OTOBI Limited. In this section it has produce different award, Presentation jewelry box, Photo Lamination, Astray etc. Welding, Lathe, Sheet metal: This section mainly used to make different joint in making the product by Arc welding, gas welding, and Mill welding. Lath machine is used for cutting and giving different shape to the component of different product. Tube Making: Mainly tubes are making from the sheet in Shampur factory. MIS: Plastic mold, metallic mold die making for all plastic and metallic products. Machines available for making these products are: i. ii. iii. iv. v. vi. vii. Pneumatic press machine Drill Machines Lathe Machine Milling Machines Surface grinder machines Cutter and tool grinder Sand blasting machine for giving rough surface.

Machine Shop & Press: Machine shop is mainly used for making different tools for different machines. And the press machine is used for punching the sweet metal in different shape and Size. Laminated board production, kitchen cabinet / project work structural table: Laminated board is imported from abroad (Malaysia). Mainly Laminated board is made of wood particle. In manufacturing process small prices of wood mixed with chemicals and mix it after mixing it pressed in vary high pressure in the form sweet. Then over it lamination is done by melamine. Wooden is one and half tomes heavier then wood has more strength then wood.

Production Capacity: 7

According to the production department the production capacity of Laminated boards section is three and half corer. At present this laminated board section has been producing product of taka two corers. Its now fully equipped with automated machine imported from abroad. The machines are as follows: i. ii. iii. iv. v. vi. vii. viii. ix. x. xi. xii. Panel saw Circular saw Double and Tanner Groove cutting Copy router Profile edge banding machine Straight edge machine Normal boring machine Multi boring machine Assembling Packing Delivery.

Laminated Board Characteristic: i. ii. iii. Easy to maintain Affect of water No affect of insecticide because of chemical.

Laminated Board type: i. ii. iii. Paper laminated-less durable Melamine laminated-more durable, Formica-mainly on partex board. The main products of OTOBI Ltd. are produced by laminated board.

9.0 CDC (Central Distribution Centre): 8

Central Distribution Centre is situated in Shampur Factory is the main distribution centre of the company. It has four set of column (42) and 7 row can be set up in each column. The space between two rows is 8 feet height. All products are arranged in step by step, that is (8-16-20) feet. This arrangement has been done for the ease of moving product to the delivery section. CDC Operation: Marketing Department Requisition Dealer Market Forecasting CDC Production Department Showroom Dealer order by Fax Delivery

Transportation: Basically CDC deliver the production to the dealer at the company cost, if the order amount Tk. 1, 50,000, otherwise at dealer cost it deliver the product. For the dealer delivery it sends the product through the transportation agency. Product Identification tag: To identify any product in the CDC all products marked by a product identification tag. It contains: Company name, Model number, Dimension of the product, 9

Packing size, Gross weight, Manufacturing date Wood Section: Near to CDC there is a wood section for making the plywood for chair upholstery. It used Yogh Blue as glue to join the play to each other. Within very short time this session will be abolished. 10.0 Overview of Marketing & Sales Department: 10.1 Introduction of Design plus Limited: Design plus Limited is the corporate office o0f OTOBI limited. From here all activities are carried out for marketing & sales of OTOBIs product. From here dealers operations is carried out throughout the country. Design plus Limited is responsible for: a) Pepping sales and marketing plan for the company. b) Peppering marketing for next month production. c) Control and Monitor all show room activities. d) Control and Monitor dealers operation. e) Carrying out marketing research and marketing intelligence report.

10.2 Discount Sales: There is a list for different types of customer for giving discount to a certain extend, which is approved by the managing Director. If for any special case, discount should be approved by the managing Director should be within the limit.

10.3 Dealer Operation: 10

Dealer sale is one of the major parts of the overall sales of the company. About 40% of the total sales come through the dealer network. The dealer operation started in 1999 in major cities. Now the total number of dealers is 61, which covered 48 districts. There are two types of dealer. a) Plastic Dealer-14 b) Full Rang Dealer-47 Different stage of dealers operation: a. Dealers appointment: Prayer for dealership Trade license Bank Solvency Certificate Passport size photograph (one copy). b. Physical inspection for proposed dealers spot: Fill up paper of selecting criteria for dealership Report submitted to consultant for approval Invite for deposit security as PSP Tk.25000 Issue appointment letter assigned by deputy general manager Marketing Dealers are appointment primarily for probation period of six month. c. Operational activities: Depending on the dealers market are and market potentiality get the delivery. Normal order (25% -50%) advance before delivery.

order (75%) advance before delivery.

e. Sales Closed: After receiving Chillan and transport ship and signature the sales is closed. f. Complain handling: If any problem exists in delivered goods the dealer has to notify the problem within 24 hours to the concern dealer operation monitoring authority. Then the dealer will fill up prescribe complain form and fax it to the Head-office. 11


Performance evaluation of dealer:

Monthly and consecutive lifting during probation period, After confirmation they are evaluated continuously. h. Promotion of dealers activity: Maintain dealer checklist, which is provided earlier, Advertising and sales promotion, Arrange promotional advertisement by centrally, Provided all catalog, voucher, leaflet etc., Product display and merchandising. i. Dealer Development: Training of dealers employees, Dealer training program, Dealer showroom visit, Counsel with sales personnel. j. Dealers up gradation (from plastic to full range): 11.0 Theoretical Framework Independent Variable Dependent variable Considering last year lifting performance, Market potentiality


Customer Satisfaction


12.0 Hypothesis: E-branding in Bangladesh OTOBI furniture is now popular brand name. Hotel while furniture designed by OTOBI. With a 35 per cent annual growth, Otobi enjoys more than half of the countrys Tk. 500-Crore market of brand furniture. Difference in designs and quality products at affordable and Competitive prices keep them ahead of others. E-branding context were judged through questionnaires which were surveyed on some brand manager of various companies in Bangladesh. The analysis was based on some hypothesis testing. The Hypothesis are as followsH1 E-branding in Bangladesh OTOBI furniture provides more benefit for both organization & customer. H2 E-branding in Bangladesh OTOBI furniture is not cost effective. E-branding in Bangladesh OTOBI furniture provides more benefit for both organization & customer. One sample T test. Here, N=12, M= 3.5833, Std. Deviation= .79296, Std. Error Mean= .22891 Ho: E-branding in Bangladesh OTOBI furniture provides more benefit for both organization & customer. H1: E-branding in Bangladesh OTOBI furniture provides less benefit for both organization & customer.


As the calculated statistics t value is 1.676 which is inside the acceptance region. So the null hypothesis should be accepted and it may assume at 0.05 significance level, E-branding in Bangladesh OTOBI furniture provides more benefit for both organization & customer. E-branding in Bangladesh OTOBI furniture is not cost effective.

One sample T test. Here, N=12, M=2.00, Std. Deviation= .95346, Std. Error Mean= .27524 Ho: E-branding in Bangladesh OTOBI furniture is not cost effective. H1: E-branding in Bangladesh OTOBI furniture is cost effective. As the calculated statistics t value is -4.36 which is outside the acceptance region. So,the null hypothesis should be rejected. And it may assume at 0.05 significance level E-branding in Bangladesh OTOBI furniture is cost effective. 13.0 Service: Company has its full range after sales service department for giving service to the old client of any defective product found in any showroom. Company charges a small amount of fees for this service and for any replacement of component of its product. This service center is situated in design plus limited in Dilkusha. 14.0 Management information system (MIS): At present MIS of this company in developing stage. The developments are as follows: Two FoxPro programs are developing for storage of information and their signal of availability and also need of procurement for meeting the upcoming production demand. i. ii. iii. Accounting system will be fully automated with oracle program. All information for the management will be automatic computer generated. The whole company will be under networking system.


Report: 1. Issue statement of customer general product (Chillan Wise) 2. Receive stock against order (general product) 3. Receive statement of {general product (Chillan Wise)}. 4. Daily customer order (general product) 5. Delivery schedule 6. Stock status (free sale order) 15.0 Data Analysis: As this is the leading company in furniture business in Bangladesh so their growth is very high rather than any other furniture company in Bangladesh.

From this chart we can easily evaluate the growth performance of Otobi with its competitors. 60 % 50 % 40 % 30 % 20 % 10 % 0% 2008 2009 2010 OTOB I PAR TEX H ATIL NAV ANA AK ER TH

In 2008 OTOBIs growth was 25%, PARTEX- 18%, Navana-12%, HATIL-16% and Akhter 28% In 2009 OTOBIs growth was 40%, PARTEX 28%, Navana-16%, HATIL-20%, Akhter-35% And in 2010 OTOBIs growth was 60%, PARTEX-35%, Navana-20%, HATIL-24%, Akhter40% From this analysis we can see that every firms growth is increasing but the growth of Otobi is the highest among them. 15

16.0 Over all Findings: 1) Production: Production capacity of Shampur factory and Mirpur factory is more than the market demand. 2) Technology: Technology used for the production is not fully automatic, some are semiautomatic. Human skill is very important which is the main strength of production is absent. 3) Production personnel: Production people have expertise for their individual work but they have some lack of knowledge about the machine. For that reason some time they are not able to figure out problem of their respective machine. 4) Marketing reporting: Marketing intelligence reporting is not systematic and well organized. The trend analysis of each product lifecycle is absent. 5) Sales analysis: The sale analysis of each product life cycle is absent .Graphical representation of each product sale is absent. 6) Marketing research: Marketing research for each product has not been done. No research has been done for finding untapped market, which is very essential for increasing the sale. And there is no research and development department exists, which is essential for competitive market. 7) Dealer promotion: Dealer promotion only at commission level has been done. 8) Dealer: Number of dealer is not up to the mark and still so many districts are still untapped. 9) Brand Management: Complete brand management is absent for individual brand. 10) Distribution: The distribution process is not systematic. The distribution flow is not clear. 11) Outdoors Marketing: There is no action plan for outdoor marketing, which is essential for competitive market. 12) Advertising and Promotion: Advertising and promotion plan is well enough for find out untapped market. 13) Information flow: Information flow between department to department and people to people is very slow. 14) MIS: Management information system is not up to date. It is in developing stage.


17.0 Conclusion: It is very impossible to have a clear-cut idea of all function of a big company within 10 days. But according to my observation this company is suffering from a tremendous problem in following areas, which are the main obstacles for this optimum growth: There is a clear gap production and marketing. Company marketing and sales people do not know what their responsibilities and what will be their action plan. Company is not giving its effort in marketing research, market development, product development, computer analysis, product positioning, un-trapped market, business plan, marketing plan, product planning, and an effective advertising and promotional planning. Company did much promotional campaign but never try to figure out the reason for success and failure. Personal invitation is absent. Individual job responsibility should very specific. Company is in its developing stage. Gradually it is trying to figure out its system fall and weak corner. In spite of many problems, it is the pioneer in furniture industry in this country. Hope it will be a systematic and a standard organization in this country.


18.0 Recommendation: After sales service: After sales service should be provided at all the show room. It will save time and effort of the people. Design of office Furniture: the design of office furniture getting very traditional. There are so many product similar to our design are now available to our competitors. We should think about more benefit and feature of those furniture and design accordingly.

Drop out slow moving product: There are so many slow moving product line and still we are product and if there is no option for further product development or market development, these products should be drop.

More advertising for home furniture and plastic furniture: To in increase the sales of home furniture at this stage we should have more market awareness program like advertise in news paper, advertise in electronic media, more outdoor sign set up in residential area. For plastic furniture we should clearly identify our target market. At present there is a good chance for development of this product market. We need very marketing plan for this product.

Dealer increasing: Dealers should be available in all districts. Then we have to find out according to the market potentiality for more than one dealer in the same market. Marketing plan for slow moving product: Plan for plastic furniture, hospital furniture, storage rack, and hone furniture. More training for the executive and officer level: At present more training is needed about the salesmanship, market research for find out target market, dealing,


product knowledge, product development, marketing product etc. for the salesman and sales officer.

Marketing research : Market research for each brand has to be done for getting the clear picture for product positioning against the competitors products and finding out untapped market like, school furniture, hotel furniture etc. Stakeholder: Star for the close contact with all stakeholder, like realtors, architect firm, interior design firm etc.

Advertisement in mass media: Planning for advertising in mass media like electronic media is needed now. Because now OTOBI has become a brand for furniture in all purpose in our life. People know its standard and name. Now this is the time for establishing a brand image for the company. It will increase the value of our product, more creditability, and trust to our dear client and consequently our sale will increase. And subsequently we will move forward to the international market gradually.

Export plan: To export our product we have to do following things: Design modification to the international level. Price standardization, Cost reduction, Market research for international market, Personnel training and development according to the level.


Reference: 1) www.otobifurniture.com 2) http://www.alibaba.com/member/bd100630270.html 3) http://www.alibaba.com/member/bd100630270/aboutus.html 4)https://login.alibaba.com/login.htm?return_url=http%3A%2F%2Fus.favorite.ali baba.com%2Ffavorite%2Ffavorite_home.htm 5) www.iiste.org







Performance of individuals in the report: Name Id. No. Introd uction Part Produ ction & Opera tion Md. Golam Rajeun Jannatul Ferdows Jesmin khandaker Anupam Das 11202047 11202085 11202083 11202050 Marke Human ting Resour ce Manag ement Design & Develop ment Finance & Accountin g Concl usion Signat ure


Jui kashem


Questionnaire (a) OTOBI is top level furniture in our country. 1) Strongly disagree 2) disagree 3) Neither agree nor disagree 4) agree 5) Strongly agree (b) Now a days OTOBI play an important role in furniture sector. 1) Strongly disagree 2) disagree 3) Neither agree nor disagree 4) agree 5) Strongly agree (c) OTOBI gives better service than other furniture Company 1) Strongly disagree 2) disagree 3) Neither agree nor disagree 4) agree 5) Strongly agree (d) Establish new technology design increase customer satisfaction 1) Strongly disagree 2) disagree 3) Neither agree nor disagree 4) agree 5) Strongly agree (e) Minimum price and maximum price of product create more subscription 1) Strongly disagree 2) disagree 3) Neither agree nor disagree 4) agree 5) Strongly agree (f) OTOBI needs to batter design of product and services for increasing Client 1) Strongly disagree 2) disagree 3) Neither agree nor disagree 4) agree 5) Strongly agree 26

(g) OTOBI gives more priority to their customer than other company 1) Strongly disagree 2) disagree 3) Neither agree nor disagree 4) agree 5) Strongly agree (h) OTOBI goods service is better than other company 1) Strongly disagree 2) disagree 3) Neither agree nor disagree 4) agree 5) Strongly agree (i) OTOBI gives more attractive item than other company 1) Strongly disagree 2) disagree 3) Neither agree nor disagree 4) agree 5) Strongly agree (j) We think you are satisfied with the quality and service of OTOBI Ltd. 1) Strongly disagree 2) disagree 3) Neither agree nor disagree 4) agree 5) Strongly agree