Summer Internship- Report (I)

COMPANY PROFILE
KAM-AVIDA Enviro Engineers was incorporated in !!" wit# a vision to c#a$$enge t#e
conventiona$ practice o% &an'a$ c$eaning and (ring a(o't a c#ange in t#ese areas t#ro'g# &ec#anica$
&eans %or Ease o% operation and dignit) to c$eaning crew* It wor+s wit# a corporate p#i$osp#) to
(ring a(o't &ec#ani,ation in t#e areas o% c$eaning and &aintenance- in a co'ntr) w#ere t#is tas+ #as
(een traditiona$$) carried o't &an'a$$). 'sing i&provised too$s and tac+$es* Core ('siness areas o%
Ka& Avida inc$'des/
C$eaning 0 Maintenance o% Drains
C$eaning 0 Maintenance o% F$oors
Co$$ection 0 1ransportation o% M'nicipa$ 2o$id 3aste4 5a,ardo's 3aste 4 6io-&edica$
3aste
Co$$ection 0 Recover) o% ind'stria$ spi$$age o% %ree %$owing &ateria$ 4 non-vo$ati$e
#)drocar(ons
KAEE specia$ies in wide range o% prod'cts %or t#ree seg&ents. Co&&ercia$- Ind'stria$ and Civic
(odies* Man) &'nicipa$ities are este&eed c'sto&ers o% KAEE* It provides a range o% 78
categories o% prod'cts wit# c#oice o% di%%erent varaints in it to c'sto&ers*
INTRODUCTION ABOUT THE PROJECT
Ever) ('siness needs %'nds %or two p'rposes %or its esta($is#&ent and to carr) o't its da)- to-da)
operations* Long ter&s %'nds are re9'ired to create prod'ction %aci$ities t#ro'g# p'rc#ase o% %i:ed
assets s'c# as p0&- $and- ('i$ding- %'rnit're- etc* Invest&ents in t#ese assets represent t#at part o%
%ir&;s capita$ w#ic# is ($oc+ed on per&anent or %i:ed (asis and is ca$$ed %i:ed capita$* F'nds are a$so
needed %or s#ort-ter& p'rposes %or t#e p'rc#ase o% raw &ateria$- pa)&ent o% wages and ot#er da) < to-
da) e:penses etc* 1#ese %'nds are +nown as wor+ing capita$* In si&p$e words- wor+ing capita$ re%ers
to t#at part o% t#e %ir&;s capita$ w#ic# is re9'ired %or %inancing s#ort- ter& or c'rrent assets s'c# as
cas#- &ar+eta($e sec'rities- de(tors 0 inventories* F'nds- t#'s- invested in c'rrent assts +eep
revo$ving %ast and are (eing constant$) converted in to cas# and t#is cas# %$ows o't again in e:c#ange
%or ot#er c'rrent assets* 5ence- it is a$so +nown as revo$ving or circ'$ating capita$ or s#ort ter&
capita$*
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Summer Internship- Report (I)
1raditiona$$) wor+ing capita$ &eant invest&ent in C'rrent Assets ('t t#e odern view %oc's on net
wor+ing capita$ w#ic# is t#e di%%erence netween C'rrent Assets and C'rrent Lia(i$ities o% %ir&*
Managing %ir&=s wor+ing capita$ &eans &anaging its $i9'idit)* It (asica$$) %oc'ses on two aspects
> Managing %ir&=s invest&ent in C'rrent Assets
8> Managing %ir&=s 'se o% s#ort te& or C'rrent Lia(i$ities
1#e (asic goa$ o% wor+ing capita$ &anage&ent is to &anage t#e c'rrent assets and c'rrent $ia(i$ities o%
a %ir& in s'c# a wa) t#at a satis%actor) $eve$ o% wor+ing capita$ is &aintained- i*e* it is neit#er ade9'ate
nor e:cessive as (ot# t#e sit'ations are (ad %or an) %ir&* 1#ere s#o'$d (e no s#ortage o% %'nds and
a$so no wor+ing capita$ s#o'$d (e idea$* 3ORKIN? CAPI1AL MANA?EMEN1 POLICE2 o% a %ir&
#as a great on its pro(a(i$it)- $i9'idit) and str'ct'ra$ #ea$t# o% t#e organi,ation*
In &) initia$ da)s at KAM AVIDA- I was given vario's doc'&ents $i+e operating proced're-
Man'a$- Corporate presentation and 6a$ance 2#eet to #ave an overview o% co&pan)* D'ring t#is I
o(serve peop$e ta$+ing a(o't di%%ic'$t) in receiving cas# and #ence were str'gg$ing to pa) to
s'pp$iers* 1#e co&pan) is %acing severe cas# crisis according to &) o(servation*
Cas# is t#e $i%e$ine o% a co&pan)* I% t#is $i%e$ine deteriorates- so does t#e co&pan)=s a(i$it) to
%'nd operations- reinvest and &eet capita$ re9'ire&ents and pa)&ents* @nderstanding a
co&pan)=s cas# %$ow #ea$t# is essentia$ to &a+ing invest&ent decisions* A good wa) to A'dge a
co&pan)=s cas# %$ow prospects is to $oo+ at its wor+ing capita$ &anage&ent B3CM>* Proper
3or+ing Capita$ Manage&ent ens'res t#at t#e co&pan) s#o'$d #as rig#t a&o'nt o% cas# and
$ines o% credit %or its ('siness needs at a$$ ti&es* 1#ere%ore- I decided to ta+e 3or+ing Capita$
Manage&ent wit# specia$ re%erence to Cas# Manage&ent as &) topic*
M) o(Aectives %or t#e proAect wi$$ (e as %o$$ows/
> 1#e &ain p'rpose o% o'r st'd) is to render a (etter 'nderstanding o% t#e concept C3or+ing
Capita$ Manage&ent*
8> 1o 'nderstand t#e p$anning and &anage&ent o% wor+ing capita$ at KAM AVIDA ENVIRO
EN?INEER2
7> 1o s'ggest wa)s %or (etter &anage&ent and contro$ o% wor+ing capita$ at t#e concern*
"> 1o &eas're t#e %inancia$ so'ndness o% t#e co&pan) () ana$),ing vario's ratios*
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Summer Internship- Report (I)
SUMMARY OF WORK UNDERTAKEN
> 1#e) #ave a$$oted &e to &a+e (an+ reconci$iation state&ent o% t#eir eig#t (an+ acco'nts
o% Apri$ and Ma) as it wi$$ #e$p &e to 'nderstand t#eir cas# %$ow pattern too*
8> A$ong wit# 6R2- t#e) gave &e acco'nt o% t#eir s'( contarctors to %ind o't t#e reason as
w#) t#ese acco'nts are s#owing de(it (a$ances*
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