NIRALA Sweets

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    Verily my Lord understand best the

    mysteries of

    all that He planned to do. For verily He is

    full

    of knowledge and wisdom.

    (Al-Quran S.XII.100.)

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    Acknowledgement:

    All praises to Almighty Allah who is THE CREATOR of whole ofthe universe and admires to our Holy Prophet Muhammad (Peace Be

    Upon Him) who taught us every thing of this life and the life there

    after.

    Now it is our responsibility to convey the WORDING OF

    SUCCESS to whole of the Ummah. As it was indicated in the last

    Address of our Holy Prophet (Peace Be Upon Him). And the graves of

    FELLOW BEINGS are the proof of the completion of this

    responsibility.

    We are greatly indebted to our resource person PROF.

    MEHROO HUMAYUN whose help and guidance enabled us to

    muster our courage and findings in a presentable manner. His

    comprehensive teaching style also enabled us to understand the

    subject of Marketing.

    At Last but not least, we owe our special regards to our parents,

    sisters and brothers, who always supported us and prayed for our

    betterment and success.

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    Dedicated To:

    Our Parents and Those Who

    Have put all Their Efforts

    To Make Us Able to Write

    These Words of Gratitude

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    TABLE OF CONTENTS

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    Sr# Description Page

    1 Introduction 1

    2 History 1

    3 Modern Nirala 4

    4 Vision 5

    5 Core Values 5

    6 Branches 5

    7 PEST Analysis 6

    8 Organizational Culture 7

    9 Planning 9

    10 Techniques For Assessing Environment 9

    11 SWOT Analysis 10

    12 Work Force Diversity12

    13 BCG Matrix 12

    14 PORTER Industry Model 13

    15 Organizing 14

    16 Organizational Structure 17

    17 Organizational Design Decisions 19

    18 Human Resource Management 19

    19 Training Need Assessment 20

    20 Leading 21

    21 Conclusion 22

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    HISTORY

    Before 1984, Mr. Nawaz Chatha was the employee of the Shezan

    bakers at the post of Manager. When he was performing his job, he

    decided to start his own business separately because he was expert

    dealer, a technical supporter and maintained check-in balance of

    every branch.

    Mr. Nawaz Chatha started his business from one unit in Muslim Town

    with bakers. When owner saw that business was earning maximum

    profit then he decided to introduce new product i.e. SWEETS and start

    selling as a complimentary line. And after SWEETS, the company

    introduced MILK and then ICE-CREAM.

    This made Gourmet more accessible to the rather modern areas of

    Lahore and gave its name a further boost in 1987-93.

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    INTRODUCTION

    Gourmet Bakers and Sweets is the largest food retail chain of Pakistan. It is based in

    Lahore, the second largest city of Pakistan known for its traditional foods and passion

    for eating. With our 4 processing units and 63 sales outlets we outreach to a huge

    population for their food needs.

    The company has shown an explosive annual growth of more than 25 % in its business

    since 1987, when Mr. Muhammad Nawaz Chatha started this unique business with only

    one sale outlet. With his commitment and strenuous effort to provide the consumers with

    best quality food products in a convenient and unmatched displaying manner, Gourmet

    has become a success story of business growth in Pakistan. At moment we have more

    than 1700 employees working in the organization.

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    Mission Statement

    To provide delicious, wholesome baked foods without sacrificing health and well-being

    To guarantee science as the basis of our functional food developments

    To embrace higher standards and expectations in consumer health

    To develop superior functional foods no other companies are willing to attain

    To meet the demand of our customers for superior food products and services

    To combat illnesses and disorders through science and nutrition

    Dedicate our focus to the never-ending quest of higher quality

    To grow as the market leader consumers can trust and rely upon

    To maintain social responsibility to our clients, employees, and community

    To ensure the quality of life to our current and future generations to come

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    Vision

    We are a bakery company with one goal in mind

    To meet the needs of our customers

    We focus on our customers as our clients

    We believe in using state-of-the-art technology and science to deliver reliable and

    dependable functional food products that can change and save lives

    We work closely with food scientists and specialists to embrace science and nature to

    develop superior functional foods

    We will continue to integrate our core values of health, well-being, fitness, integrity,

    passion, and life to embrace and exceed continuous improvements in health and well-

    being

    CORE VALUESThe core values, known as the Spirit of Gourmet within the

    organization have not changed over the generations. These values

    were and still are what makes Gourmet the market leader.

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    Integrity

    Innovation

    Team Work

    Continuous Improvement

    Social Responsibility

    Best customer services

    No usage of chemicals in their products

    BRANCHES

    WITH IN PAKISTAN

    LAHORE

    Total branches are 63 in Lahore and 7 are under process and

    100 are expected in near future. After their successful 70

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    branches, they will start their business in other cities of

    Pakistan and afterwards internationally in future.

    MAIN BRANCHES

    Branch Address Contact #

    Johar Town 40-B Johar Town +92 42 5176914

    12G Joher Town 12-G Johar Town +92 42 5304318

    Wapda Town 14 F, PIA Society Near Wapda Town. +92 42 5181615

    Faisal Town 11-D Faisal Town +92 42 5164574

    Link Road Model Town 89-K Link Road Model Town +92 42 5851812

    Model Town 51/52 A Model Town +92 42 5866073

    Muslim Town 448-A Ayubia Market New Muslim Town +92 42 5866741

    Z-Block 310 Z LCCHS Defence +92 42 5731250

    H-Block 162 H, DHA +92 42 5898378

    K-Block DHA Lahore +92 42 5740747

    Cantt 4/1, 4/2 Abid Majeed Road Girja Chowk LHRCantt +92 42 6671722

    Saddar H No. 1425-16 Ahata Kishori Lal Sadar Bazar +92 42 6663990

    Shalimar Link Road 106, Sahlimar Link Road +92 42 6845866

    Barkat Market Shop # 10 Lahore Tower Barket Market Garden Town +92 42 5889139

    18-G Iqbal Town 18- G Gulshan Block Iqbal Town +92 42 5418612

    Iqbal Town 654 Omer Block Iqbal Town +92 42 5415654

    Samanabad 476-N Main Road Samanabad +92 42 7560112

    Zahoor Elahi 25- A Block B Gulberg II +92 42 5871948

    Ravi Road 103,Ravi Road +92 42 7700545

    Davis Road 14- A, Davis Road +92 42 6309348

    Shadman 42/6, 42/7 Shadman Market +92 42 7560112

    Railway Plaza Ghari Shahu Railway plaza Allama Iqbal Rd +92 42 6314656

    Rustam Park Omer Market Rustum Park Gulshan Ravi +92 42 7460668

    Hussain Chok 3A,C III Gulberg III Lahore +92 42 5753146

    Gulshan Ravi 162-A Gulshan Ravi +92 42 7462933

    ORGANIZATIONAL CHART

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    ORGNIZATIONAL CHART

    CEO: (Chief Executive Officer) checks the work

    of Directors and controls the Administrationdepartment. Mr. Nawaz Chatha is the CEO.

    DIRECTORS:1.Control the companys marketing and

    observes in which Location Company hasnew outlet. Mr. Zubair Chatha is the

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    marketing director. He meets to othercompanies directors.

    2.Controls the companys financial positionand companys accounts.Mr. Zulqarnan

    Chatha is Accounts Director of thecompany.

    3.Controls the technical environment of thecompany. Mr. Khalid Chatha is the technicalsupport director.

    GM: (General Manager)

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    PEST ANALYSIS

    A scan of the external macro-environment in which the firm

    operates can be expressed in terms of the following factors.

    1. Political

    2. Economic

    3. Social

    4. Technological

    1. POLITICAL FACTORS

    Political factors include government regulations and legal issues

    and define both formal and informal rules under which the firm must

    operate.

    Government at all levels is an important component of the

    general environment no organization or industry is immune of the

    various decisions made by the government. In case of Nirala the

    government as such imposes no such type of duty on the methai

    manufacturers in Pakistan. But on the other hand Nirala sweets are

    the first to become the official sweet of Governor House of Punjab that

    is an honor for them.

    2. ECONOMIC FACTORS

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    Economic factors affect the purchasing power of potential

    customers and the firm's cost of capital. The following are examples of

    factors in the macro economy

    G.D.P growth

    Excess of black money in the country

    3. SOCIAL FACTORS

    Social factors include the demographic and cultural aspects of

    the external macro environment. These factors affect customer needs

    and the size of potential markets.

    Social Cultural and demographical variables have an overall

    positive impact. As our Pakistani society has different types of social

    norms and values for example on different types of occasions

    exchange of sweets is a very common thing as in Ramadan, Eid,

    Basant, Shab-Rat, Birth of New Born Babies, Weddings etc.

    4. TECHNOLOGICAL FACTORS

    Technological factors can lower barriers to entry, reduce

    minimum efficient production levels, and influence outsourcing

    decisions. Technological variables have an overall positive effect on

    the business. As rate of innovations and production technology is

    always in the favor of business.

    Technology is of particular importance because it has been and

    continues to be the main source of increases in productivity. In case of

    sweet industry no such type of rocket science is being used in the

    manufacturing of sweets but how ever Nirala is keeping it self up todate with the change in technology.

    ORGANIZATIONAL CULTURE

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    ORGANIZATIONAL CULTURE

    Organizational culture is defined as a system of shared meaning

    within an organization that determines, in large degree howemployees act.

    CHARECTERISTICS TO MEASURE ORGANIZATIONAL CULTURE

    1. MEMBERS IDENTITY

    The degree to which employees want to be recognized by the

    organizations identity, Niralas employees are very much proud to be

    identified by its employees. Every employee wears the yellow t-shirt

    having a logo ofNirala with black pant.

    2. GROUP FOCUS

    Nirala encouraged to work together in some departments for

    example; Marketing Department, Design Department, Research and

    Development Department.

    3. UNIT INTEGRATION

    In Nirala there is a lot of integration between departments like

    Sales Operations Department, Production Department, and

    Distribution Department.

    4. RISK TOLERANCE

    In Nirala the employees are not allowed to take risk they have

    to follow orders. Only Board of Directors is allowed to make risk taking

    decision.

    5. OPEN SYSTEM FOCUS

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    In Nirala employees at lower level are not allowed to share

    ideas but at higher-level employees are allowed to say in decision

    making as well as in planning.

    6. REWARD CRITERIA

    In Nirala employees are rewarded on the basis of their

    performance but the aspect of buttering and favoritism is also in the

    organization to some extent.

    PLANNING

    A process that involve defining the organizational goals,

    establishing an overall strategy for achieving those goals anddeveloping a comprehensive set of plans to integrate and coordinate

    organizational work.

    Goals setting are done at higher-level employees of the

    organization. Traditional Goal setting approach is use to define the

    organizational goals.

    NIRALAS GOALS TO BE ACHIEVED

    Geographical Expansion

    Hit The International Market

    TECHNIQUES FOR ASSESSING THE

    ENVIRONMENT

    ENVIORNMENTAL SCANNING

    In the sweets manufacturing industry there is no concept of

    branding. Nirala is the first to do it in our country and they have

    following major competitors in this field that are Fazal Sweets,

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    Rafeeq Sweets, Shezan Bakers, Gourmet Bakers, Good Luck,

    Cakes And Bakes , Shireen Mahal etc.

    FORECASTING

    In Nirala both Quantitative and Qualitative forecasting is

    applied. In Quantitative forecasting they forecast future sales trend

    through use of mathematical models on their past data. This enables

    them to adapt and respond in the best possible way to the fluctuations

    in demand. Some sort of Qualitative forecasting is also carried out

    through customer evaluation. By doing so they find out the products

    which generate the maximum revenue and those that are disliked.

    This process enables them to allocate the resources to particular

    products more efficiently.

    BENCHMARK

    As Nirala is the market leader in the sweet industry there is not

    a single competitor that can server as a benchmark for Nirala.

    However Nirala has its own internal benchmarks in order to produce

    quality sweets.

    SWOT ANALYSIS

    It is an analysis of the organization Strengths, Weakness,

    Opportunities and Threats. In formulating sound strategic plans, an

    organization must assess its internal strengths and weaknesses in

    relation to the external opportunities and threats it faces. An effective

    strategy will take advantage of organizations strengths and

    opportunities at the same time it minimizes or overcomes weaknesses

    and threats. Regular assessment and SWOT analysis is thus given

    importance.

    STRENGTHS

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    The unique taste & quality

    Attractive colorful packing

    High availability level in all major areas of city.

    Official sweets provider of Government of Pakistan.

    Environment of shops

    Product range (also sugar free)

    Skilled sales staff

    Skilled technical staff

    Certified suppliers of Government

    Hundred items of sweets

    WEAKNESSES

    Less brand loyalty as compared to local area manufacturers &

    bakeries

    Prices are high as compared to them.

    People are fewer brands conscious.

    OPPORTUNITIES

    Opportunity to build brand image better.

    Introducing new brands in the market like they are doing for

    example Rustam Pinian, Malai Khaja and Baisan Barfi.

    Hit the international market.

    THREATS

    New entrants may enter in the market

    Bargaining power of the buyer may increase

    Bargaining power of the supplier may increase

    Sluggish growth rate of the product

    Poor response from the market due to expensive products

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    Unfavorable changes in Demographics and Psychographics of

    the consumer

    STABILITY STRATEGY

    This strategy is defined as a corporate level strategy

    characterized by an absence of significance change.

    GROWTH STRATEGY

    This strategy is defined as a corporate level strategy that seeks

    to increase the level of organization operations.

    WORK FORCE DIVERSTY

    Now a day Nirala is following growth strategy because recentlyit has jumped in the field of dairy products with the introduction of

    NiralaDoodh in the market in year 2005. They have opened there

    methai outlets in Canada and England .Their future plan is to jump in

    the field of beverages industry also. So we can say that Nirala is

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    following growth strategy at this time by following Related

    Diversification Strategies.

    BCG MATRIX

    With the help of this matrix the ANMOL Group is able to have a

    deep look on their products with reference to the market share and

    growth rate they are capturing.

    Nirala Sweets lies in star because of high market growth and

    high market share. Where as Nirala Doodh lays in Question mark

    because of low market share and high market growth. Nirala Saltieslie in Dogs because of low market share and low market growth.

    PORTER INDUSTRY MODEL

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    1. Threat of New Entrants

    Capital Requirements

    High capital cost is required for acquiring good places for the

    outlets if any one wants to jump in the market.

    Government Policy

    In our country the government has no policies for this industry.

    Own Distribution System

    Its very difficult for newcomer to own a distribution channel

    because it needs huge investment. Nirala has its own distribution

    systems.

    Brand Identity

    To identify a brand in the market is more difficult for any new

    entrants, because Nirala has introduced such type of taste & quality

    in this industry that it is very hard to compete.

    2. Threat of Substitute Products

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    The substitute products may be;

    Bakery makes cakes, chocolates, ice-cream etc

    Local area manufacturers

    3. Bargaining Power of Buyers

    The bargaining powers of buyers are high because;

    Convince Product

    Low Involvement of Buyers

    Buying Behavior Price sensitivity

    Brand Loyalty Status is low

    4. Bargaining Power of Suppliers

    The bargaining powers of suppliers are low because;

    Large number of suppliers in the market.

    It is an honor to become a supplier for Nirala.

    Now Nirala has become its own supplier.

    ORGANIZING

    DEPARTMENTALIZATION

    Departmentalization is defined as the basis by which jobs are

    grouped together is called departmentalization.

    FUNCTIONAL DEPARTMENTALIZATION

    Functional departmentalization is Groups jobs by functions

    performed. We can say that in Nirala the departmentalization is on

    functional basis.

    Like any professional organization, the working at Nirala also

    follows a well planned organogram. The Nirala Group comprises of the

    following departments:

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    TEAM

    The Nirala team consists of dedicated professionals such as

    MBAs, CAs, Food Technologists, Graphic Designers, who are always in

    quest of exceeding customers expectations through latest products

    and work practices. The Nirala team is a select group of highly

    motivated professionals who reflect the highest levels of

    accomplishment in the industry. Together, they form a collaborative

    and cohesive group, which will deliver customers the best products

    and customer service.

    MARKETING

    Nirala has taken firm steps toward building premier brand andmarketing capability, having on board managers and professionals

    with broad industry experience to plan and drive upcoming product

    launches. Nirala decides on customers behalf for products and

    services through extensive research techniques and feedback.

    NIRALA

    Marketing

    Production

    Design & Division

    Accounts & MIS

    Sales Operations

    Supply &Distribution

    Research &Development

    Management

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    A mix of outdoor and indoor campaigns and number of media

    channels and tools are employed by Nirala to cater to various

    segments of markets we serve.

    SALES PROMOTION

    Nirala has departmentalized the manufacturing of its products,

    and has not only sophisticated equipment, latest production facilities,

    its own dairy plant, but also quality control and MIS departments.

    Stringent checks and process controls ensure that the product reaches

    customer fresh and pure, to their entire satisfaction.

    Nirala has a processing facility in Lahore, making millions of

    pieces of various sweetmeats every year with existing production

    experts. Processing facilities in Karachi and Dubai are capable of

    processing millions more.

    ACCOUNTS AND MIS DEPARTMENTS

    Besides above listed departments, Nirala has a strong

    backbone of Accounts & MIS Departments, essence of any modern

    organization. Their experts help them with sales trends, means of

    accessibility especially intranet and broadband links, and online

    ordering mechanisms, to name few.

    DESIGN DIVISION

    Nirala has a strong edge of in-house design division, in offering

    innovative packaging and campaigns. This department works in close

    liaison with marketing and not only meets all the in house needs butalso provides quality service, acting as a design house.

    MANAGEMENT

    Nirala's management believes in people values. They build on a

    firm belief that only by delegating responsibility and functions they

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    can take the holistic approach that will make their company unique-

    ensuring consistent and quality-focused performance on all

    assignments.

    INTERIOR

    Nirala promises all its customers that modern and inviting

    decor of the outlets and warm welcome of customer support team will

    pull customers back to them again and again. Their customer support

    team undergoes rigorous selection and subsequent training sessions

    and is continuously monitored.

    ORGANIZATIONAL STRUCTURE

    ORGANIZATIONAL STRUCTURE

    Organization structure is a formal framework by which jobs tasks

    are divided, grouped and coordinated.

    CENTRALIZATION

    Centralization is defined as the degree to which the design

    making is concentrated at a single point in an organization. Nirala is

    highly centralized in the sense of decision-making because all the

    decisions are made by the top management.

    DECENTRALIZATION

    Decentralization is defined as the degree to which the lower

    level employees actually make decisions. Nirala is not so much

    decentralized because lower-managers do not make the decisions.

    SPAN OF CONTROL

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    Span of control is defined as the number of employees a

    manager can efficiently and effectively manage. The span of control in

    Nirala is tall because each department has its own manager and they

    work for the goals of their own departments.

    CHAIN OF COMMAND

    The continuous line of authority that extends from upper

    organizational level to lower organizational level and classifies into

    who reports to whom. The Niralas chain of command is as follows:

    ORGANIZATIONAL DESIGN DECISIONS

    ORGANIZATIONAL DESIGN

    Organizational design is defined as developing or changing an

    organizations structure.

    MECHANISTIC ORGANIZATION

    An organizational design thats rigid and tightly controlled.

    CEO

    Board of Directors

    General Manager

    Senior Manager

    Officers

    Executives

    Workers

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    According to our research Nirala is a highly mechanistic

    organization with following factors;

    Clear chain of command

    Narrow span of control

    Centralized

    High formalization

    HUMAN RESOURCE MANAGEMENT

    The activities necessary for staffing the organization and

    sustaining high employee performance is called Human Resource

    Management.

    HUMAN RESOURCE PLANNING

    The process by which managers ensure that they have the right

    number and kind of people in the right place at the right times who

    are capable of effectively and efficiently performing assigned tasks.

    STAFFING

    The process of hiring the people is called staffing. The tools

    trough which Nirala selects people are interviews, job fairs, adds etc.

    RETAINING

    To retain employee so that they cant join the competitors

    company. For this purpose Nirala is giving good benefits and

    handsome salaries to their employees.

    ORIENTATION

    The process of introducing a new employee to his or her job and

    organization. According to our research Nirala has a full 2 to 3 days of

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    orientation session for the new employees. HR Department is

    responsible for these manual instructions that are also given to them.

    Organization culture and infact each and every thing is told to them.

    JOB DESCRIPTION

    A written statement of what a job holder does, how it is done

    and why it is done. In Nirala job description is provided to new

    employees. Manual introduction or visits are also arranged to

    introduce new employees to the organization culture and

    environment.

    JOB ROTATION

    When there is monotonous in employees daily routine work

    then he will go for job rotation. According to our research Nirala job

    rotation is highly supported by the management.

    TRAINING NEED ASSESSMENT

    It is define as identifying training needs of employees who is to

    be train, ask employees what are their needs or you can also have an

    internal research on it. HR uses questionnaire for Training need

    Assessment.

    ON JOB TRAINING

    In this process the employee is made to settle with some

    experience person for 2 to 3 days. The knowledge of the companytransfers from 1 person to other person.

    In Nirala same procedure is being applied on the sales staff,

    distribution staff and in the production department.

    OFF JOB TRAINING

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    In this process you train your employees for some specific work.

    You would conduct it in your own premises or at some other place. In

    Nirala this type of training is given to the Executive Managers only.

    PERFORMANCE APPRAISAL

    At the end of each year the evaluation of employees is done.

    Based on this performance rewards are given to employees.

    Compensation and benefits are also given. A performance appraisal

    form is used to evaluate the performance.

    CAREER DEVELOPMENT

    Nirala offers career development to its employees.

    Opportunities for personal growth are there. An officer can go up to

    General Manager.

    LEADING

    MOTIVATION

    Motivation is the willingness to exert high levels of effort to

    reach organizational goals, conditioned by the efforts ability to satisfy

    individual need.

    In Nirala the methods of motivation are;

    Job enlargement

    Job enrichment

    MOTIVATING A DIVERSE FORCE

    Motivation of a diverse workforce is done through

    Job sharing

    Pay for performance

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    It includes incentives and bonuses based on the performance of

    the employees. The other factors that are used to motivate the

    employees are medical facilities, transportation facilities, mobiles etc.

    CONCLUSION

    According to our research we conclude the following points;

    Nirala is the leading brand in the sweet business.

    Nirala should improve its performance evaluation criteria and

    also should offer more incentives to employees.

    Nirala should improve its hiring process for lower level

    employees. In Nirala the motivation level of employees is very low it should

    be improved.

    Human Resource Department ofNirala is not active as it should

    be.

    VARITIES OF NIRALA SWEETS

    Amratti Angoor Dana Badana

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    Baloo Shahi Barfi Badaam Barfi Bason

    Barfi Brown Barfi Chocolate Barfi Fruit

    Barfi Rustam Barfi Sada Chum Chum Coconut

    Chum Chum Sada Crispy Crunch Khakharpura Halwa Golden

    Halwa Habshi Halwa Karachi Halwa Tikki

    Jaman Kalay Jaman Lal Khajoor

    Luddoo Dil Moti Choor Luddoo Moti Boondi Maghaz Luddoo Moti Boondi Super