2012 Product Costing Recipe Spice Adeel A. Siddiqui Sha n F o o - PDF document

2012 Product Costing – Recipe Spice Adeel A. Siddiqui Sha n F o o ds (Priva te ) L td . wa s fo unde d in 1981 in a sing le ro o m a s Sha n Ma sa la . L a te r, due to its po pula rity, the c o mpa ny wa s na me d Sha n F o o ds. It ha s pre se nc e in mo re tha n 50 c o untrie s to da y a nd de a ls in se ve ral b ro a d c a te g o rie s o f o ffe ring s. Sha n F o o ds ha s c a pita lize d o n the c ha ng ing ma rke t tre nds a nd c o nsume r ta ste s a nd thro ug h pro duc t tria ls, it ha s ma de sure to c hurn o ut o ffe ring s tha t a re b e st in line with c o nsume r ta ste s. Sh a n Fo o d s Priv a te Lim ite d Ko r a n g i In d u s t r i a l A r e a , Ka r a c h i , P a k i s t a n + 9 2 – 2 1 – 3 5 0 5 3 1 9 6 + 9 2 – 2 1 – 3 5 0 5 3 0 8 0

Le t t e r o f A c k n o w le d g e m e n t T o who m it ma y c o nc e rn. T his L e tte r is to a c kno wle dg e the e ffo rts a nd sinc e rity, o ffe re d b y the c o urse instruc to r Mr. Muha mma d Rizwa n Sid d iq ui, to te a c h the sub je c t a nd g uide . T he a c c o mplishme nt o f this re po rt is a re sult o f a c o mb ine e ffo rt ma de b y the re po rte d and the re po rting individua ls, during the te rm spring 2012. T he o b je c tive to write this re po rt is to le a rn the me tho d o f pro duc t c o sting use d b y a n F MCG pro duc e r, in this c a se Sha n F o o ds Priva te L imite d . I he re b y a c kno wle dg e tha t I ma y no t b e a ble to unde rsta nd a nd write the c o nte nt o f this re po rt witho ut sinc e re g uid a nc e fro m Mr. Ab dul Ga ffa r (CF O, Sha n F o o ds Priva te L imite d ) a nd his a sso c ia te s, a s we ll. Gra c ia s, Ade e l A. Sidd iq ui 2010 – 1 – 27 – 11262

Le t t e r o f Tra n s m it t a l T o , Muha mma d Rizwa n Sidd iq ui, I nstitute o f Busine ss Ma na g e me nt, De a r Sir, I a m sub mitting this re po rt a lo ng with a pre se nta tio n o n the Pro duc t Co sting me tho d use d b y Sha n F o o ds Priva te L imite d, fo r Bo mb a y Birya ni, fro m Re c ipe ue sda y, da te d 24 th Mix, o n T April 2012. T he Purpo se o f this re po rt is to pro vide yo u c o nte nt o n the b a sis o f whic h yo u are a ble to a sse ss my unde rsta nding a nd c o mpre he nsio n a b o ut the c o urse title Intro duc tio n to Ma na g e ria l a nd Co st Ac c o unting . T he Co nte nt o f this re po rt is b a se d o n the info rma tio n pro vide d b y Sha n F o o ds Priva te limite d , fo r the purpo se . Mo re o ve r the da ta a nd info rma tio n a c q uire d fro m Sha n F o o ds Priva te L imite d ha s b e e n struc ture d a nd e la b o ra te d so tha t it c a n de live r its inte nde d o b je c tive s. T he Re po rt a lso disc usse s the ma nufa c turing pro c e ss a nd its vita ls, fo r the se le c te d pro duc t. Gra c ia s, Ade e l A. Sidd iq ui 2010 – 1 – 27 – 11262

Lis t o f Fig u re s F ig ure 1: Ma nufa c turing Pro c e ss F lo w Chart ............................................................. 6 F ig ure 2: Pro duc t F lo w (Bo mb a y Birya ni Ma sa la )...................................................... 8 Lis t o f Ta b le s T a b le 1: COP Re po rt RM Wa re ho use ......................................................................... 10 T a b le 2: COP Re po rt Grinding F a c ility ....................................................................... 11 T a b le 3: COP Re po rt Pa c ka g ing F a c ility ................................................................... 12 T a b le 4: COP Re po rt Dispa tc h T e mina l ..................................................................... 13 T a b le 5: Co nso lida te d Co st o f Go o ds Ma nufa c ture d ........................................... 14 Ta b le o f C o n t e n t s I ntro duc tio n ....................................................................................................................... 2 Pro duc t Ra ng e ................................................................................................................. 2 Org a niza tio n Ma na g e me nt .......................................................................................... 3 Planning and Re po rting .................................................................................................. 3 Se le c te d Pro duc t ............................................................................................................. 4 Ma nufa c turing Pro c e ss ................................................................................................... 4 Ma nufa c turing Pro c e ss (F lo wc ha rt) ............................................................................. 6 Co sting Me tho d ............................................................................................................... 7 Co sting ............................................................................................................................... 9

Pro duc t Co sting – Re c ipe Spic e – Intro duc tio n In t ro d u c t io n Sha n F o o ds (Priva te ) L imite d is a F o o d pro duc ts Ma nufa c turing a nd Ma rke ting Org a niza tio n. It wa s fo unde d in 1981 in a sing le ro o m a s Sha n Ma sa la . L a te r, due to its po pula rity, the c o mpa ny wa s na me d Sha n F o o ds. It ha s pre se nc e in mo re tha n 50 c o untrie s to da y a nd de a ls in se ve ral b ro a d c a te g o rie s o f o ffe ring s. Sha n F o o ds ha s c a pita lize d o n the c hang ing ma rke t tre nds a nd c o nsume r ta ste s a nd thro ug h pro duc t tria ls, it ha s ma de sure to c hurn o ut o ffe ring s tha t a re b e st in line with c o nsume r ta ste s. A hug e pa rt o f the ir sa le s c o nsist o f Re c ipe Mix Ca te g o ry. Re c ipe Mix Ca te g o ry c o nsists o f 64 va ria nts, c la ssifie d into 9 ra ng e s. T he sha re o f pro duc ts fro m Birya ni Ra ng e in the Re c ipe Mix Ca te g o ry Sale s is sig nific a ntly la rg e r than a ny o the r rang e , a nd it is due to the po pula rity o f Shan Bo mb a y Birya ni Ma sa la . T his re po rt is to unde rsta nd the c o sting me tho ds Sha n F o o ds ha s a do pte d, fo r the re g ula r SKU (60 g m Pa c k), o f Bo mb a y Birya ni Ma sa la . P ro d u c t R a n g e Sha n F o o ds ha ve a b ra nd po rtfo lio o f two b ra nd na me s, Sha n a nd De lve , whic h a re furthe r sub divide d into se ve ral c a te g o rie s a nd ra ng e s o f diffe re nt va ria nts o f pro duc ts. Prima rily, it is impo rta nt to unde rsta nd the b ro a d c a te g o rie s o f o ffe ring s b y Shan F o o ds. F o llo wing is a summa rize d list. Sha n Va ria nts • – Re c ipe Mix 64 – Pla in Spic e s 16 – Orie nta l Re c ipe 10 – Ara b ic Re c ipe 7 – Sa lt 2 – Pic kle 7 – Pa ste 3 – Sa uc e s 5 – Ric e 5 – Ve rmic e lli 1 De lve De se rts • – Je lly Crystals 4 – Custa rd Po wde rs 3 – Pudding Mix 3 Pa g e | 2