1.

0 INTRODUCTION
An organizational structure is defined as “A system used to define a hierarchy within an organization. It
identifies each job, its function and where it reports to within the organization.”

Organizational structure refers to both the formal and informal frameworks that shape how a business is
operated. An organization's structure determines how employees are grouped together and plays a large role in a
firm's success. Choosing a structure is not a one-size-fits-all decision, and business owners must select the
model that best suits the needs of their organization. The Organizational Structure mainly involves in Functional
Structure and Division Structure.

In a functional structure, employees that perform similar tasks and hold similar positions are grouped
together into departments. Examples of functional departments include marketing, sales, human resources and
production. Functional organizations have many advantages in the areas of coordination and motivation, with
Lamar University reporting that "people grouped together according to similarities in their positions can easily
communicate and share information with each other." Functional organizations may suffer from
interdepartmental conflict, and achieving effective communication between departments that each perform
independent functions can prove difficult.
The most common divisional structures group employees together by product, market served or
geographic location. Within this type of organization, each division is self-contained and has its own set of
departments grouped by function. For example, instead of one central human resources department for the
entire organization, each division instead has access to a human resources department that serves only that
group. Divisional organizations benefit from the focus on individual environments but suffer from the
duplication of some tasks and activities.
1.1 INDUSTRY PROFILE

The automotive industry comprises a wide range of companies and organizations involved in
the design, development, manufacturing, marketing, and selling of motor vehicles. It is one of the world's
largest economic sectors by revenue. The automotive industry does not include industries dedicated to the
maintenance of automobiles following delivery to the end-user,[ such as automobile repair shops and motor
fuel filling stations.

The word automotive comes from the Greek autos (self), and Latin motives (of motion), referring to any form of
self-powered vehicle. This term, as proposed by Elmer Sperry (1860-1930), first came into use with reference to
automobiles in 1898.

The automotive industry began in the 1860s with hundreds of manufacturers that pioneered the horseless
carriage. For many decades, the United States led the world in total automobile production. In 1929, before
the Great Depression, the world had 32,028,500 automobiles in use, and the U.S. automobile industry produced
over 90% of them. At that time the U.S. had one car per 4.87 persons. After World War II, the U.S. produced
about 75 percent of world's auto production. In 1980, the U.S. was overtaken by Japan and then became world's
leader again in 1994. In 2006, Japan narrowly passed the U.S. in production and held this rank until 2009, when
China took the top spot with 13.8 million units. With 19.3 million units manufactured in 2012, China almost
doubled the U.S. production, with 10.3 million units, while Japan was in third place with 9.9 million
units. From 1970 (140 models) over 1998 (260 models) to 2012 (684 models), the number of automobile
models in the U.S. has grown exponentially.

Around the world, there were about 806 million cars and light trucks on the road in 2007, consuming over
980 billion litres (980,000,000 m3) of gasoline and diesel fuel yearly. The automobile is a primary mode of
transportation for many developed economies. The Detroit branch of Boston Consulting Group predicted that,
by 2014, one-third of world demand would be in the four BRIC markets (Brazil, Russia, India and China).
Meanwhile, in the developed countries, the automotive industry has slowed down. It is also expected that this
trend will continue, especially as the younger generations of people (in highly urbanized countries) no longer
want to own a car anymore, and prefer other modes of transport. Other potentially powerful automotive markets
are Iran and Indonesia. Emerging auto markets already buy more cars than established markets. According to a
J.D. Power study, emerging markets accounted for 51 percent of the global light-vehicle sales in 2010. The
study, performed in 2010 expected this trend to accelerate. However, more recent reports (2012) confirmed the
opposite; namely that the automotive industry was slowing down even in BRIC countries. In the United States,
vehicle sales peaked in 2000, at 17.8 million units.
1.2 COMPANY PROFILE

ThirukkurungudiVengaramSundramIyengar (22 March 1877 - 28 April 1955) was an Indian industrialist and
automobile pioneer. In 1911, he founded T. V. SundramIyengar& Sons, a bus company which later diversified
into automobile production and emerged as the parent company of the TVS Group, one of India's biggest
business conglomerates. With his humble beginning as a lawyer, he grew into one of the most successful
industrialists of his time. The Flagship Company of the group is TVS Motors established by his son T.S.
Doraiswamy. He laid foundation for road transport industry in the erstwhile Madras Presidency through the
states first bus service. The TVS group he thus started now extends from motor industry, auto services to
financial services.

T V SundramIyengar& Sons Private Limited, established a Vehicle Dealership in Chennai for handling Cars
and Commercial Vehicles and thus SUNDARAM MOTORS was born on August 13, 1945. In 1946, the
Company acquired the present premises and their Workshop was built in 1947 to provide for rapid expansion in
the business activities.

Over the years, Sundaram Motors has added dealerships for distribution and service ofvehicles manufactured by
Volkswagen , Honda, Mercedez-Benz and Chevrolet.

Sundaram Motors are also distributors for the products of Premier Ancillary Manufactures whose products are
fitted as original equipment by the vehicle manufacturers. These distribution centres are located at several cities
and towns at Tamil Nadu, Karnataka, Andhra Pradesh, Gujarat, Maharashtra, West Bengal, Bihar, Jharkhand,
Orissa and Assam.

HISTORICAL MILESTONE
1911-TVS and sons established in Madurai,tamil nadu 1912-starts

first rural bus service in southern tamilnadu 1945-Sundaram motors

formed
1996- Enters logistics business

2012-the all car service business of TVS automobile solution limited expanded its network into Kolkata and
Gujarat through separate JV’s

2012-Acquisation of universal component,united kingdom

Sundaram motors is a divison of TVS &Sons Madurai,a name well known the Indian automobile
industry.sundaram sundaram motors have been in automobile industry for the last 64 years and have a
strong association with reputed automobile brands all over south india.

PRODUCT PROFILE

DEALERSHIP IN
 HONDA
 MERCEDES-BENZ
 VOLKSWAGEN
 PRE OWNED SOLUTIONS

HONDA
The TVS group, a hundred+years Company, is a conglomerate of nearly 60 Companies and are into
vehicle sales & service, 2 wheeler manufacturing, Parts distribution of major OEMs, Finance, Insurance,
Auto component manufacturing, logistics & good transport, Electronics. The group has an employee
strength of nearly 50,000 and has a revenue of nearly US$ 7.2 billion. It has built its r eputation based on
the three pillars of Customer Satisfaction, values and Employee welfare.
TV Sundram Iyengar & Sons Private limited, established a vehicle dealership in Chennai for servicing GM
cars and commercial vehicles and thus SUNDARAM MOTORS was born on August 13, 1945. Over the
years, Sundaram Motors has added dealerships for Distribution and service of vehicles manufactured by
Volkswagen, Honda, Mercedes-Benz and Chevrolet in the South India through 19 conveniently located car
Dealerships. The company sells over 55,000 vehicles, which include commercial vehicles sold by the
parent company.
Sundaram Motors are also distributors for the products of Premier ancillary manufacturers, whose
products are fitted as original equipment by the vehicle manufacturers. The Company has 135 parts outlets
pan India catering to the need of nearly 35,000 parts dealers in the after -market.
Sundaram Motors is a one-stop solution for customer needs felicitating trade-in of cars to sale of new car
and a host of allied support services, an experience to behold.
– A division of T V Sundram Iyengar & Sons Pvt. Ltd.,
– A mix of a strong TVS heritage, traditional values and modern thinking
– Focus on processes with an eye on results
– Customer – centric approach
– Transparent dealings and adherence to CMVR norms
– Good Quality cars at competitive prices
– One-stop-shop for all automobile needs

Sundaram Honda
– Turnover Rs.841 Crores ; 1400 No of employees
– Dealership touch Points 12
– For the 5th year in a row, Sundaram Honda is the highest retailer of Honda cars in the country
– Sundaram Honda also has the distinction of selling over one lakh cars since start up; (in the first 15
years40, 000 units were sold & 70, 000 units in the last 7 years)

Company founded with strong core values

– Highest standards of honesty / integrity
– Transparent functioning
– Respect for all employees/suppliers/stake holders Genuine caring of staff
– Flat organization structure
– High degree of employee involvement / top management involvement
– Disciplined work ethic

Honda association /journey over the years

– First dealers to be appointed in the country Jan 23, 1998;
– Start of sale of modern cars in the country
– Core values in synergy with Honda
– Honda operations: 12 touch points ; 2 more in 2019/2020
– # of bays 337; total area : 50000 sq. mts ; Active UIO – 74000; average RO / day – 500

MERCEDES-BENZ

Sundaram Motors started its Mercedes-Benz dealership in Karnataka in the year 2001 and an ASC in Tamil
Nadu in the year 2003 at Coimbatore. TVS group is known for the solid and widely acclaimed lineage of trust,
value and service. Sundaram Motors believes in total customer satisfaction and constantly strives to improve
quality standards to achieve excellence. As part of its business philosophy, Sundaram Motors inculcates these
values in its employees continuously.
Sundaram Motors is known for its customer centric approach and is a true "One-Stop-Shop" for customers'
automotive needs.
The showrooms have been conveniently located & aesthetically designed to offer a truly world class ambience
to the customers in their pursuit to own the latest range of cars from the Mercedes-Benz & Mercedes-AMG
stable on display. The showrooms at Bangalore, Coimbatore, Mangalore & Madurai have been upgraded to the
stringent Mercedes-Benz standards and can showcase 18,9,5, & 4 cars respectively. New Body & Paint
facilities have been set up at both locations as well as at Eachanari (Coimbatore) & Salem in 2018, equipped
with the state-of-the-art equipment, and have received accolades from many a user. The latest Facility of
Sundaram Motors (#9th facility) was launched at Ambattur, Chennai in March 2019.
All the TVS Sundaram Motors Service Centres are manned by competent personnel, trained by Mercedes-Benz
to attend to repairs for the entire range of Mercedes-Benz & Mercedes-AMG cars sold in India. The workshops
are well equipped with state-of-the-art machinery to provide excellent After-Sales service. Facilities such as
pickup & drop as well as 24 hour service help line are available for all Mercedes-Benz Patron.

VOLKSWAGEN

When in 1937 the company known as "Gesellschaft zur Vorbereitung des Deutschen Volkswagens mbH" was
founded, no one could have guessed that it would one day be Europe's largest carmaker. The history of the
company - with all its trials and tribulations - is first and foremost a story of impressive success.

1937-1945
On May 28th, 1937 the "Gesellschaft zur Vorbereitung des Deutschen Volkswagens mbH" company is founded,
and on September 16th, 1938 it is renamed "Volkswagenwerk GmbH". In early 1938, in what is today
Wolfsburg, work begins on construction of the Volkswagenwerk plant which is to house production of the new
vehicle designed by Ferdinand Porsche.
During the Second World War Volkswagenwerk's production is switched to armaments. Some 20,000 forced
labourers, prisoners of war, and later also concentration camp prisoners, work at the plant.
In September 1998, in recognition of the events of that time, VOLKSWAGEN AG established a humanitarian
fund on behalf of the forced labourers compelled to work at Volkswagen during the Second World War. By the
end of 2001 more than 2,050 people in 26 countries had received humanitarian aid from the fund. Furthermore,
a Memorial in remembrance of the forced labour employed at the Volkswagenwerk plant is currently being
established at Wolfsburg, involving contributions from present-day Volkswagen apprentices.
1945-1949
After the end of the Second World War, in mid June 1945, responsibility for Volkswagenwerk is placed in the
hands of the British Military Government. Under the management of Major Ivan Hirst, mass production of the
Volkswagen Beetle is started.
1949-1960
On March 8th, 1950 the Type 2 goes into production, expanding the company's product range. The Volkswagen
Bus, still today known to many as the "VW Bully", soon creates rising demand thanks to its multifunctional
capabilities. In 1956 a separate manufacturing base for the Transporter is established in Hanover, at the same
time setting down the roots of today's Volkswagen Commercial Vehicles brand.
1960-1980
On February 17th, 1972 Volkswagen breaks the world car production record: with 15,007,034 units assembled,
the Beetle surpasses the legendary mark achieved by the Ford Motor Company's Model T, popularly known as
the "Tin Lizzy". In 1973 the Passat is the first model of the new generation of Volkswagen vehicles to go into
production - with front-wheel drive, a water-cooled four-cylinder engine and a range of engines up to 110 bhp.
In January 1974 the first Golf is built at the Wolfsburg plant. The compact saloon quickly becomes a hit, and
advances to become the legitimate heir to the legendary Beetle. The same year also sees the launch of the sporty
Scirocco, which was to continue in production until 1981. In 1976 the first Golf GTI rolls off the production
line. The car, with its110 bhp engine, creates a real furore on the roads - and lays the foundations for the birth of
a legend.
1980-1990
In June 1983 production of the second-generation Golf begins. The car is designed for a largely automated
assembly process, and in the specially erected final assembly hall, designated Hall 54, robots are deployed for
the first time in vehicle manufacture.
1990-2000
With the production launch of the Lupo 3L TDI, the first production car to offer fuel consumption of just three
litres per 100 kilometres, in July 1999, Volkswagen once again makes automotive history.

2000-2003

In August 2002, at Volkswagen Slovakia, as in Bratislava, mass production of the Touareg, a luxury-class off-
road vehicle, is started, marking the Volkswagen brand's move into an entirely new market segment.
In December 2002 the "Auto 5000 GmbH" company, operating a plant at the Group's site in Wolfsburg, starts
production of the Touran compact van. A special collective pay model has been developed, aimed at
implementing lean production and involving flat hierarchies, team working, flexible working hours and the
deployment of more process expertise by the workforce.
In 2003 production of the fifth-generation Golf is started, embodying a new dynamism in its design and
engineering.

PRE OWNED SOLUTIONS

Sundaram Motors POC was started in 2003 with the primary objective of being an enabler for customers to
upgrade to a new car of their choice, giving them peace of mind transaction. The car traded-in, is refurbished
and offered with finance and allied services to suit the budget requirement of a spectrum of buyers thus
converting them into our fans. Since its inception, the division has sold nearly 12,000 cars.
At TVS POC you can buy or Exchange used car of any brand with complete piece of mind. Each car is unique
and priced for its quality. In TVS we bring in a systematic approach to evaluate your car by well trained man
power and price it as close to the market value as possible.

Each car is evaluated through a comprehensive 150 point check list, where every aspect of vehicle, Engines,
Interior Exterior and Engine frames are inspected by our trained technicians, which is unique to TVS. The
prices we derive through market expertise also refer digitally on pricing app. Once procured, the vehicle is
scrutinized by a second level of POC SOLUTION team which proposes a detailed refurbishment plan (If
needed) so that the next owner can get to enjoy the best ownership experience.

Transparency till the end of the Deal is what creates Fans for POC SOLUTION and this is the key to our untold
success. Transfer of ownership is an integral part of the transaction, to avoid all embarrassment for both seller &
buyer of the car from our POC stable.

COMPETITORS

 BAJAJ
 YAMAHA
 HERO
 ACTIVA
 HONDA
 SUZUKI
 TOYOTA

OBJECTIVES OF THE STUDY

PRIMARY OBJECTIVES

To find out the factors behind the customer preference to TVS two wheelers.

SECONDARY OBJECTIVES

1. To know the awareness about TVS vechicles among the vehicles users.
2. To find out the option of the respondents SHOWING TVS vechiles, like cost
price,mileage and maintenance cost and gear option of their vechiles
3. To study the importance criteria the customer looks for the products performance
4. To analyse the service rended and level of consumer satisfaction through delivery process

OBJECTIVES OF STUDYING IN THE ORANGIZATION

  To study the organizational structure

 To gain familiarize within the different departments and their functioning.

 To study how the management control various department for the attainment of
oranganzational objectives

 To relate theory with practice

 To gain professional experience in an actual testing environment.

To observe analyze and interpret the relevant data competently and in a usefull manner.
ORGANIZATIONAL STRUCTURE
SOFTWARES USED IN SUNDARAM MOTORS

 SM SOFT
 AX PLUS
 HRMS
 OCTA
 ACEPTA-12

Factory
1. Mechanical repair shop
2. Body shop repair
3. Car sales (show room)

Car sales branches

 Chennai- honda, volkswagon, benz( 2nd hand car)

 Nandanam- Honda, ambattur- benz (sales,service,body wash)
 Madurai- Honda, benz.
 Coimbatore- Honda, benz.
 Erode- Honda.
 Salem- Honda,Benz.
 Tirupur-honda.
 Andhra Pradesh- sikandrabad, Vijayawada,- Honda (sales and service)
 Karnataka- Bangalore,(sales and body shop)

TVS GROUP DIVISION

1. SUNDARAM MOTORS
2. MADRAS AUTO SERVICE
3. OESL
FUNCTIONAL DEPARTMENTS

2.1 FINANCE DEPARTMENT

FUNDS TEAM

When individuals and institutions invest in a fund, they actually invest in the funds manager. He is responsible
for managing the funds investments and ensuring that the funds strategy is aligned with its goals. Therefore,
investors should consider fund managers a key factor in their selection of a fund.
ESTABLISHMENT

 Salary process.
 Medical claim.
 Employee state insurance (ESI): on 15th of every month payment, only if u pay 6 months this ESI is
applicable.
 Shares- employees contribution (1.75%), employer contribution (4.75%)
 Apprentice salary, overtime.
 Leave travel allowance applicable for 2 years out of 4 years.
 Leave credit salary
 Gratuity-(basic+da*15/26*no of years) within 30 days before they level it should be paid.
 Provident fund- employer contribution (8.33%, employee contribution (3.67%)
 Employee deposit linked insurance – for the welfare of employee, this applicable only they have an
contribution towards , minimum 1,50,000 applicable, 50% of average pf account
 Pension- eligible for employee, guardian, nominee, dependent parent.
 Society subscription payment.
 Marriage contribution of employee by sundaram motors-5000/-

INTERNAL AUDIT DEPARTMENT

An independent, objective assurance and consulting activity designed to add value and improve an
organisationsoperations. The internal audit activity helpas an organisation accomplish its objectives by bringing
a systematic disciplined approach to evaluate and improve the effectiveness of risk management, control and
governance processes.

Consistent with its mission, the internal audit department provides management with information, appraisals,
recommendations, and counsel regarding the activities examined and other significant issues.

The department executes an approved audit plan and will perform the following tasks in accordance with its
overall strategy:

 Verify the existence of assets and recommend proper safeguardsfor their protection.
 Evaluate the adequacy of the system of internal controls
 Recommend improvements in control
 Access compliance with policies and procedures and sound business practices
 Access compliance with state and federal laws and contractual obligations.
 Review operations to ascertain whether results are consistent with established objectives and
whether the operations are being carried out as planned.
 Investigate reported occurrences of fraud, embezzlement, theft, waste,etc.
BOOK KEEPING AND PAYABLES /RECEIVABLES
Book keeping is the most financial activity in a company. Before a business owner ever considers hiring a
cfo,they bring in a book keeper, who tracks all of the transactions in the organization, covering both sales and
expenses. As the organization grows, they might hire more specialized payables and receivables clerks, to take
over functions such as corresponding with vendors and suppliers, above and beyond recording transactions.

BANK CHARGES FOR NEFT/RTGS

 Upto 10,000- Rs 2.95

 10,000 to 1 lakhs- Rs.5.90
 1akhs to 2 lakhs – Rs. 17.70
 2 lakhs to 5 lakhs – Rs.29.50
 Above 5 lakhs – Rs. 59.

Payment section

 15 days payment- breakesindia, lucastvs, Delphi tvs,sfl

 Month end payment- payment will be made only after 30 days and there are 26 vendors who comes
under this category.
 NEFT-National Electronic Fund Transfer –less than two lakhs
 RTGS-Real Time Gross Settlement- above two lakhs.

HSN CODE: HARMONIZE SYSTEM OF NOMENCLATURE

What is HSN Code Under GST. HSN stands for Harmonized System of Nomenclature which was developed by
the World Customs Organization (WCO) with the vision of classifying goods all over the World in a systematic
manner. HSN contains six digit uniform code that classifies 5,000+ products and which is accepted worldwide.

HSN will be applicable in India after implementation of GST. India has already been using HSN system in the
Central Excise and Customs regime.
It is a much more detailed classification that added another two digits to the 6-digit structure. There is a
requirement to mention HSN code of items in tax invoice under GST.
Provisions related to HSN under GST are given below
• Now the Govt. has given some relief to small taxpayer with annual turnover up to Rs 1.50 crores in preceding
financial year need not be required to mention HSN code in their tax invoice.
• Taxpayers having turnover exceeds Rs. 1.5 crore but up to 5.00 crore will be required to mention only two
digits of HSN code.
• Taxpayers having turnover exceeds Rs 5.00 crore will be required to mention four digits of HSN code.
Indian Taxation System has categorized over 1211 goods for levy of GST under 6 broad categories or tax-slabs.
These are 0% or No Tax, 5%, 12%, 18% and 28%. It is very important to know in which of these categories
your product or good has been classified. You can easily find that with a search using commonly used word for
the product. This Rate Finder Tool can be used to find the HSN Code for the goods or products for invoicing
purposes.

GST- GOODS AND SERVICES TAX

Goods and Services Tax (GST) is an indirect tax (or consumption tax) imposed in India on the supply of
goods and services. It is a comprehensive multistage, destination based tax. Comprehensive because it has
subsumed almost all the indirect taxes except few. Multi-Staged as it is imposed at every step in the production
process, but is meant to be refunded to all parties in the various stages of production other than the final
consumer.

Importance of GST in Indian Economy

GST Regime
GST is one of the biggest indirect tax reforms in the country. GST is expected to bring together state economies
and improve overall economic growth of the nation.
GST is a comprehensive indirect tax levy on manufacture, sale and consumption of goods as well as services at
the national level. It will replace all indirect taxes levied on goods and services by states and Central.
There are around 160 countries in the world that have GST in place. GST is a destination based taxed where the
tax is collected by the State where goods are consumed. India is going to implement the GST from July 1, 2017
and it has adopted the Dual GST model in which both States and Central levies tax on Goods or Services or
both.
SGST – State GST, collected by the State Govt.
CGST – Central GST, collected by the Central Govt.
IGST – Integrated GST, collected by the Central Govt.
Need for GST in India
Introduction of GST is considered to be a significant step in the reform of indirect taxation in India.
Amalgamating of various Central and State taxes into a single tax would help mitigate the double taxation,
cascading, multiplicity of taxes, classification issues, taxable event, and etc., and leading to a common national
market.
VAT rates and regulations differ from state to state. On the other hand, GST brings in uniform tax system
across all the states. Here, the taxes would be divided between the Central and State government.

Benefits of GST
To trade
· Reduction in
multiplicity of taxes
· Mitigation of
cascading/ double
taxation
· More efficient
neutralization of taxes
especially for exports
· Development of
common national market
To Consumers
· Simpler Tax system
· Reduction in prices of
goods & services due to
elimination of cascading
· Uniform prices
throughout the country
· Transparency in
taxation system
· Create unified
common national
market for India, giving
a boost to Foreign
investment and “Make
in India” campaign
· Boost export and
manufacturing activity
and leading to
substantive economic
growth
· Help in poverty
eradication by
generating more
employment
· Uniform SGST and
IGST rates to reduce the
incentive for tax evasion

Other Benefits of Goods and Services Tax

 Will prevent cascading of taxes as Input Tax Credit will be available across goods and services at every
stage of supply.

 Harmonization of laws, procedures and rates of tax.

 More efficient neutralization of taxes especially for exports thereby making our products more
competitive in the international market and give boost to Indian Exports.
 Improve the overall investment climate in the country which will naturally benefit the development in the
states.
 Average tax burden on companies is likely to come down which is expected to reduce prices and lower
prices mean more consumption, which in turn meansmore production thereby helping in the growth of
theindustries. This will create India as a “Manufacturing hub”.
 Will improve environment of compliance as all returns to be filed online, input credits to be verified
online, encouraging more paper trail of transaction.
  Common procedures for registration of taxpayers, refund of taxes, uniform formats of tax return,
common tax base, common system of classification of goods and services will lend greater certainty to
taxation system.
 Timelines to be provided for important activities like obtaining registration, refunds, etc.
 GST will be beneficial with more transparency, efficient compliance, ramp up in GDP growth to the
Centre, states, industrialists, manufacturers, the common man and the country at large.
 GST will bring in transparent and corruption-free tax administration, removing the current shortcomings
in indirect tax structure. GST is business friendly as well as consumer friendly.GST in India is poised to
drastically improve the positions of each of these stakeholders.Weneed a change in the taxation system
which is better than earliertaxation.This need for change leads us to‘need for GST’.

GST will allow India to better negotiate its terms in the international trade forums.GST aimed at increasing the
taxpayer base by bringing SMEs and the unorganized sector under its compliance. This will make the Indian
market more stable than before and Indian companies can compete with foreign companies.

SERVICE ACCOUNTING CODE

(SAC ALL SERVICE RELATED)
GSTIN- gst tax payer identification number
GSTN- gst network
HSN- HARMONIZE SYSTEM OF NOMENCLATURE
B2B- business to business
B2c- business to customer
POS- place of supply of goods and services
UIN- unique identity number
GSTR1- gst return 1
GST- goods and service tax
UQC- unit quantity code
GSTIN: TOTAL 15 DIGITS
First 2 digits is the state code.
Next 10 digit is the pan number.
Next 2 digits are entity code.
Last digit is check this sum number.

TRAVELLING AND STATIONARY DEPARTMENT

An expenses incurred by an employee while he/she travelling for business purposes or entertaining a business
client. Examples of travelling expenses include money spent on lodging, Transportation and meals. Travel and
entertainment expenses are usually tax deductible.
Stationary is a mass noun referring to commercially manufactured writing materials, including cut paper,
envelopes, writing implements, and other office supplies. Stationary includes materials to be written on hand
(eg: letter paper) or by equipment such as computer printers.
TRAVELLING EXPENSES

OWN VEHICLE:
Four wheeler-Rs.9/km. (petrol)
Four wheeler- Rs.5.50/km.(diesel)

JOURNAL ENTRIES
PURCHASE ENTRIES
Purchase a/c dr xxx

To Vendor a/c xxx

CREDIT NOTE
Vendor a/c dr xxx

To purchase return a/c xxx

DISCOUNT RECEIVED
Vendor a/c dr xxx

To discount received a/c xxx

PAYMENTS
Vendor a/c xxx

SLAES ENTRIES :
Sundry debtors a/c dr xxx

To sales a/c xxx

DEBIT NOTE:
Sales return a/c dr xxx

To sundry debtors a/c xxx

DISCOUNT ALLOWED
Discount allowed a/c dr xxx

To sundry debtors a/c xxx

RECEIPT
Bank a/c dr xxx

To sundry debtors a/c xxx

TAX DEDUCTED AT SOURCE ( TDS )

The concept of TDS was introduced with an aim to collect tax from the very source of income. As per this
concept, a person who is liable to make payment of specified nature to any other person shall deduct tax at
source and remit the same into the account of central government.

OUTSIDE LABOUR CONTRACT

BODY SHOP: ( PAINTING WORKS )

 Checking ( service manager)
 Photoshop
 Raising complaint
 Job card ( manager)
 Bay ( paint booth – contractors)

Workshop: (mechanical works)

 Checking
 Raising complaints
 Job card
 Bay

CREDIT NOTE
A form or letter sent by a seller to buyer, stating that a certain amount has been credited to the buyers account.

A credit note is issued in various situations to correct a mistake such as,

1. An invoice amount is overstated

2. Correct discount rate is not applied
3. Goods spoil within guaranty period
4. They do not meet the buyers specifications and returned

Credit note is also called as credit memo.

Types of credit note
 Warranty claiming
 Short or excess
 Coupon
 Scheme discount

DEBIT NOTE

A debit note is a documentary sent to buyer to seller ,or in other words, a purchaser to its vendor while returning
goods received on credit. The intent is to notify the seller that they’ve been debited by the buyer against the
goods returned.

A debit note is issued for the value of the goods returned. In some cases, sellers are seen sending debit notes
which should be treated as another invoice.

GOODS RECEIPT NOTE (GRN)

A receipt (also known as a packing list, packing slip, packaging slip, (delivery) docket, shipping list, delivery
list, bill of parcel, manifest or customer receipt), IT is a document acknowledging that a person has received
money or property in payment following a sale or other transfer of goods or provision of a service. All receipts
must have the date of purchase on them. If the recipient of the payment is legally required to collect sales
tax or VAT from the customer, the amount would be added to the receipt and the collection would be deemed to
have been on behalf of the relevant tax authority. In many countries, a retailer is required to include the sales tax
or VAT in the displayed price of goods sold, from which the tax amount would be calculated at point of sale
and remitted to the tax authorities in due course. Similarly, amounts may be deducted from amounts payable, as
in the case of wage withholding taxes. On the other hand, tips or other gratuities given by a customer, for
example in a restaurant, would not form part of the payment amount or appear on the receipt.

In some countries, it is obligatory for a business to provide a receipt to a customer confirming the details of a
transaction. In most cases, the recipient of money provides the receipt, but in some cases the receipt is generated
by the payer, as in the case of goods being returned for a refund. A receipt is not the same as an invoice.

There is usually no set form for a receipt, such as a requirement that it be machine generated. Many point-of-
sale terminals or cash registers can automatically produce receipts. Receipts may also be generated by
accounting systems, be manually produced or generated electronically, for example if there is not a face-to-face
transaction. To reduce the cost of postage and processing, many businesses do not mail receipts to customers,
unless specifically requested or required by law, with some transmitting them electronically. Others, to reduce
time and paper, may endorse an invoice, account or statement as "paid".
RECONCILIATION

Definition
The following two definitions are given by the Oxford Dictionary of Accounting.
i) “A procedure for confirming that the balance in a chequebook matches the corresponding bank statement.
This is normally done by preparing a bank reconciliation statement.
ii) A procedure for confirming the reliability of a company’s accounting records by regularly comparing
[balances of transactions]. An account reconciliation may be prepared on a daily, monthly, or annual basis.”
GAAP (The Generally Accepted Accounting Principles) are a set of accounting principles, procedures and
standards that organisations use in order to compile their financial statements. GAAP states that the purpose of
account reconciliation is to provide accuracy and consistency in financial accounts. To ensure all cash outlays
and inlays match between cashflow statements and income statements it is necessary to carry out reconciliation
accounts.
Reconciliation is a process that may benefit businesses as this may help avoid balance sheet errors which may
have led to detrimental ramifications; in addition, reconciliation may help against fraud and can help install
financial integrity.
Accounting software is one of a number of tools that organisations use to carry out this process thus eliminating
errors and therefore making accurate decisions based on the financial information. Reconciliation of accounts
determines whether transactions are in the correct place or should be shifted into a different account.
Reconciliation in accounting is not only important for businesses, but may also be convenient for households
and individuals. It is prudent to reconcile credit card accounts and chequebooks on a regular basis, for example.
This is done by comparing debit card receipts or check copies with a persons bank statements.
The benefits of reconciling

 mitigates mistakes which have been made by financial institutions or if there have been any fraudulent
withdraws from an account.
 helps create an overall image on spending and helps assess if a person is overspending on fees.
Account reconciliation is an important internal control in the financial reporting process. Public companies are
required to perform these steps as part of their financial close.
Methods
To ensure the reliability of the financial records, reconciliations must, therefore, be performed for all balance
sheet accounts on a regular and ongoing basis. A robust reconciliation process improves the accuracy of
the financial reporting function and allows the finance department to publish financial reports with confidence.

There are two ways in which reconciliation can take place:

1. Using a documentation review, “document review is a formalised technique of data collection involving
the examination of existing records or documents.” This is the most common approach of account
reconciliation. This method is done by using accounting software.

2. The second method used is analytics review. “Any process by which a person or company looks at an
account or financial statement and attempts to identify any irregularities. This may involve comparing
financial and non-financial information.” Reconciliation of accounts using this method is undertaken by
estimating the transactions that should be in an account, usually based on other data, for example
historical activity.
In both cases where mistakes are identified as a result of the reconciliation, adjustments should be undertaken in
order for the account balance to match the supporting information.

TYPES OF RECONCILICATION

 Bank reconciliation
 Vendor reconciliation.
 Customer reconciliation.
 Inter-company reconciliation.
 Business specific reconciliation.

BANK RECONCILIATION

A bank reconciliation is the process of matching the balances in an entity's accounting records for a cash
account to the corresponding information on a bank statement. The goal of this process is to ascertain the
differences between the two and to book changes to the accounting records as appropriate. The
information on the bank statement is the bank's record of all transactions impacting the entity's bank
account during the past month.

A bank reconciliation should be completed at regular intervals for all bank accounts, to ensure that a
company's cash records are correct. Otherwise, it may find that cash balances are much lower than
expected, resulting in bounced checks or overdraft fees. A bank reconciliation will also detect some types
of fraud after the fact; this information can be used to design better controls over the receipt and payment
of cash.

VENDOR RECONCILIATION

A vendor reconciliation account is a balance sheet account originate in the general ledger. This account is used
to summarize the transactions found on the accounts payable sub-ledger and is also referred to as a control
account.

Use the monthly statement provided through each vendor to reconcile your payables for that account. Print out
an accounts payable summary for the vendor using your bookkeeping program. If you cannot print out an A/P
report, use the vendor's invoices for balancing your statement. Associate the invoices on your statement to the
invoices shown on the vendor's statement. Check off invoices that match on both statements.

CUSTOMER RECONCILIATION

Customer Reconciliation is the process of comparing the outstanding customer balance or bills to the accounts
receivable as recorded in the general ledger.

The customer reconciliation is a part of accounts closing activity and is usually conducted at the month-end
before issuance of monthly financial statements.

Customer reconciliation statement is of great importance for internal auditor as well as the accounts manager
since it is a proof that there is no material inaccuracy in the financial statements of the company.

Also, if any irregularity is detected while conducting customer reconciliation, the same can be corrected on time
before preparing monthly financial statements.
INTER COMPANY RECONCILIATION

International groups have to consolidate all the various General Ledgers of their subsidiaries in order to
eliminate inter-company flows. This is Intercompany Reconciliation. The process, which normally takes place
monthly or quarterly, frequently identifies a large amount of mismatches between subsidiaries in the group.
Mismatches can be with invoiced goods and services (internal Accounts Receivable vs Accounts Payable) but
also with other transactions such as loans and deposits, interests on internal positions and other balance sheet
items.

The problem is that an invoice booked on the Accounts Receivable (AR) at one subsidiary is often not booked
on the Accounts Payable (AP) of the payer, on time, correctly, or at all. This gives rise to huge differences
which cause problems on the consolidated accounts.

BUSINESS SPECIFIC RECONCILIATION

Every business will have to prepare other reconciliations over and above the basic ones mentioned above. An

example for this is the Costs of Goods reconciliation

This reconciliation will not be applicable to the service industry as they do not hold inventory. However, it is

very important for businesses which hold inventory.

What is cost of goods sold?

Cost of goods sold = Opening Stock + Purchases – Closing Stock

Cost of goods sold = Sale – Profit

Cost of goods can be arrived by either of the two methods. Both need to be the same amount. If not, a

reconciliation statement should be prepared to find out reasons for differences. Also, a physical verification of

the Closing Stock should be carried out and the same should be reconciled to the closing stock appearing in the

books of accounts.
2.2 HUMAN RESOURCES

Human resources are considered as important assets and are different from the physical assets. Physical assets
do not have feelings and emotions, whereas human assets are subjected to various types of feelings and
emotions. In the same way, unlike physical assets human assets

The American Association of Accountants (AAA) defines HRA as follows: “HRA is a process of identifying
and measuring data about human resources and communicating this information to interested parties”.

Flamhoitz defines HRA as ‘accounting for people as an organizational resource. It involves measuring the costs
incurred by organizations to recruit, select, hire, train, and develop human assets. It also involves measuring the
economic value of people to the organization’.

According to Stephen Knauf, ‘HRAis the measurement and quantification of human organizational inputs such
as recruiting, training, experience and commitment’.

never gets depreciated.

Under conventional accounting, no information is made available about the human resources employed in an
organization, and without people the financial and physical resources cannot be operationally effective.

The expenses related to the human organization are charged to current revenue instead of being treated as
investments, to be amortized over a period of time, with the result that magnitude of net income is significantly
distorted. This makes the assessment of firm and inter-firm comparison difficult.

The productivity and profitability of a firm largely depends on the contribution of human assets. Two firms
having identical physical assets and operating in the same market may have different returns due to differences
in human assets. If the value of human assets is ignored, the total valuation of the firm becomes difficult
 The system of HRA discloses the value of human resources, which helps in proper interpretation of return on
capital employed.

Managerial decision-making can be improved with the help of HRA.

The implementation of human resource accounting clearly identifies human resources as valuable assets, which
helps in preventing misuse of human resources by the superiors as well as the management.

It helps in efficient utilization of human resources and understanding the evil effects of labour unrest on the
quality of human resources.

This system can increase productivity because the human talent, devotion, and skills are considered valuable
assets, which can boost the morale of the employees.

administration.

Human resource management involves personnel management, personnel administration etc. Human
resource manager is headed by managing director and assisted by all department heads.

RECRUITMENT AND SELECTION

The most important function of hr is recruitment. This is one of the function which is hand in glove with hr.
Recruitment has been one of the major responsibilities of the hr team. It is the job of hr personnel to plan and
devise strategic campaigns and guidelines for recruiting suitable candidates for a required job description.

They also have to serve as a mediator between the employer and the candidate and communicate company
policies and terms of the contract to the candidate before he is hired.

LEGAL KNOWLEDGE
Having an knowledge of legal studies is an important aspect in human resource department. It is very necessary
that the hr team is aware of all the basic laws and is updated with the latest introduced law aswell. Because it is
the hr departments job to build guidelines keeping the laws in mind along with drafting new policies or writing
terms of a contract.

For all hr department in this company they should know laws related to labour, tax, working hours, wages, and
factories act.

TRAINING AND DEVELOPMENT

Once the company has recruited a suitable candidate for the job the work is not done. There are organizations
who have different working process. So it is every important that every candidate selected gets to kow about the
organizations work pattern. It is imperative for the hr department to arrange a training program for every new
employee based on the skill set required for the job. This even further contributes towards employee motivation
and retention. On completion of the training , hr plays a significant role in assessing the results of the training
program and grading employees on the same.
TRAINING METHODS

Technical Training – Technical training is that type of training that is aimed at teaching employees how a
particular technology or a machine.

Quality Training – Quality training is usually performed in companies who physically produce a product. Quality
training teaches employees to identify faulty products and only allow perfect products to go out to the markets.

Skills Training – Skills training refers to training given to employees so as to perform their particular jobs. For e.g.
A receptionist would be specifically taught to answer calls and handle the answering machine.

Soft Skills – Soft skills training includes personality development, being welcoming and friendly to clients,
building rapport, training on sexual harassment etc.

Professional Training – Professional Training is done for jobs that have constantly changing and evolving work
like the field of medicine and research. People working in these sectors have to be regularly updated on matters of
the industry.

Team Training – Team training establishes a level of trust and synchronicity between team members for increased
efficiency.

Benefits of Training

1. Training improves the quantity and quality of the workforce. It increases the skills and knowledge base of
the employees.

2. It improves upon the time and money required to reach the company’s goals. For e.g. Trained salesmen
achieve and exceed their targets faster than inexperienced and untrained salesmen.
3. Training helps to identify the highly skilled and talented employees and the company can give them jobs of
higher responsibilities.

4. Trained employees are highly efficient in comparison to untrained ones.

5. Reduces the need to constantly supervise and overlook the employees.

6. Improves job satisfaction and thus boosts morale.

EMPLOYEE ENGAGEMENT
Employee engagement is a fundamental concept in the effort to understand and describe both qualitatively and
quantiatively, the nature of the relationship between the organization and its employees.

Commitment
Employees with the highest level of commitment perform 20% better and are 87% less likely to leave the
organization, which indicates that engagement is linked to organizational performance. When employers are
more empathetic, productivity will naturally increase. 85% of US employees believe that their employers are
not empathetic.
Productivity
In a study of professional service firms, the Hay Group found that offices with engaged employees were up to
43% more productive. Job satisfaction is also linked to productivity.
Person factors and individual differences
Frequently overlooked are employees' unique personalities, needs, motives and goals, which interact with
organizational factors and interventions to influence engagement levels. On the other hand, some employees
will always be more (or less) engaged and motivated than others, as the recently operationalized construct
of drive implies. Drive is measured on the basis of 13 facets and three aspects.

2.3 PRODUCTION DEPARTMENT

RESEARCH AD DEVELOPMENT
It is a series of investigative activities to improve existing products and proceduresor lead to the development of
new products and procedures. In general, pharmaceuticals, semiconductor and software /technology companies
tend to spend the most on R&D.

Research and development department in the company overview the aim of the research and development team,
improve the current technologies offered by an organisation or to develop innovations that strengthen the
organisations position in the market place.

R&D activities differ from institution to institution, with two primary modelsof an R&D department either
staffed by engineers and tasked with directly developing new products, or staffed with industrial scientists and
tasked with applied research in scientific or technological fields, which may facilitate future product
development. R&D differs from the vast majority of corporate activities in that it is not intended to yield
immediate profit, and generally carries greater risk and an uncertain return on investment. However R&D is
crucial for acquiring larger shares of the market through the marketisation of new products.

Mechanical engineering department

The mechanical engineering field requires an understanding of core areas including mechanics, dynamics,
thermodynamics, materials science, structural analysis, and electricity. In addition to these core principles,
mechanical engineers use tools such as computer- aided design(cad) computer- aided manufacturing (cam),and
product life cycle management to design and analyze manufacturing plans, industrial equipment and machinery,
heating and cooling systems, transport system, aircraft, watercraft, robotics, medical devices, weapons and
others. It is the branch of engineering that involves the design, production, and operation of machinery.

New Product Research

Before a new product is developed, a research and development department conducts a thorough study to
support the project. The research phase includes determining product specifications, production costs and a
production time line. The research also is likely to include an evaluation of the need for the product before the
design begins to ensure it is a functional product that customers want to use.

NEW PRODUCT DEVELOPMENT

The research paves the way for the development phase. This is the time when the new product is actually
developed based on the requirements and ideas created during the research phase. The developed product must
meet the product guidelines and any regulatory specifications.

2.4 PURCHASE DEPARTMENT

A purchasing management department can be formed and operated by one or more employees in order to ensure
that all goods, supplies, and inventory needed for the organization to operate are ordered and kept in stock, as
well as control inventory levels and costs associated with purchasing the items.

In the case of small organization, purchasing officer or purchaser may be empowered to buy the materials. In a
joint stock company or in big size of business organization, a separate department is established under the
headship of Purchase Manager or Chief Purchaser.

Moreover, the purchase manager also frames purchasing policy, purchase procedure and rules and regulations.
He/She may follow either central purchase or decentralized purchase. In the case of centralized purchase, all the
items of the organization are fully purchased by the purchase department or purchaser.
Qualification of Purchase Officer
The following qualities are necessary to the purchasing officer or purchaser.

1. He/She should have thorough knowledge of the materials that are going to purchase and their specifications,
quality and quantity.

2. He/She should be well aware of the policy of the top management.

3. He/She should know the financial resources of the company and their impact on the volume of purchase of
materials.

4. He/She should be well aware of the market conditions and should have market data like sources of supply,
demand and supply of specified materials, price levels, reliable suppliers, ground reality in market, terms and
conditions of supply, routes of supply and purchasing formalities in hand.

5. He/She should have the knowledge of preparation and maintenance of records.

6. He/She should be able to assess the best supplier with the help of catalogues, price lists, trade magazines and
journals.

7. He/She should have the knowledge of latest Acts and government policies with regard to the materials to be
purchased.

8. He/She should know the import and export procedure, settlement of bill and various duties and taxes

Functions of Purchase Officer

The Purchase Officer performs the following functions

1. Preparation of Purchase Budget.

2. Helping the Engineering Department in developing standards for materials.

3. Fixing quality or grades of materials.

4. Prepare and maintain list of suppliers for long period at agreed price.

5. Preparing manual of sources of supply.

6. Receiving purchase requisitions from various departments of an organization.

7. Receiving quotations or tenders on the basis of purchase requisition.

8. Selection of suppliers on the basis of tenders or quotations.

9. Placing of orders with selected suppliers.

10. Follow up actions for timely purchase.

11. Checking the materials as per the invoice and purchase order with reference to quality and quantity of
materials.

12. Making arrangement for return of materials received in excess or materials not received as per specification.

13. Receiving note from the suppliers for excess supply or short supply of materials.

14. Making recommendation for settlement of account along with invoice to the Accounts Department.

15. Making market research for availing the best advantage on purchase.

FINDING &SUGGESTION

As I have undergone 1 month of work in TVS sundaram motors, I have found certain things . they are

1. TVS sundaram motors is the closed organization hence the secrecy cannot be disclosed .
2. TVS sundaram motors strictly follows the laws, especially for the women employees worked
under.
3. In an organization they are likely family and care for others 4.
4. They have more than 4000 employees
5. They have been handling with more than 10 departments
6. TVS concentrate more on the functional departments and customer relationship
7. Demo of the product should be made available to customer since most of the purchase decision
are based on it
8. Technical details should be made available to customers in most accurate numerical form
9. The enquiry can also be made through social media college events
10. The discount offers should be chosen by the customer
11. The product might be delivered to the customer of their preferred place
3.0 CONCLUSION:
I hereby thanking my company guide of TVS SUNDARAM MOTORS for giving this wonderful
opportunity to undergo my internship in their company from 22nd may 2019 to 21stjune 2019.

My internship process in TVS SUNDARAM MOTORS was very interesting. During this internship i
learned a lot about company functions and their vital roles. It was a wonderful experience and hope that this
experience gained from internship will help me to become more familiar within the finance department.

33
CHRONOLOGICAL TRAINING DIARY (May22 – June21)
DATE DESCRIPTION
22.05.2019 TVS SUNDARAM MOTORS training department and completion of
application procedures, instructions are given regarding internship
training.
23.05.2019 Overall companyvisit.
24.05.2019 Lectures provided by training department about history of TVS
SUNDARAM MOTORS and its achievements, organization structure,
type of cars etc.
25.05.2019 Saturday Holiday
26.05.2019 Sunday Holiday
27.05.2019 Visited finance department and met finance general manager mr. Suresh
and he tells about the introduction and process of the department.
28.05.2019 Visited Volkswagen showroom and went to finance department and
learnt about the booking process of a car and financial services offered
by them.
29.05.2019 Learn about the co dealer- payments and seen the payment vouchers and
invoices.
30.05.2019 Learnt how to post invoice in journal and how to do a payment.

31.05.2019 Worked in establishment department, where i learnt about their work

and functioning.
01.06.2019 Saturday Holiday
02.06.2019 Sunday Holiday
03.06.2019 Learnt about credit note and debit note working.

04.06.2019 Learnt about the payment process in axepta.

05.06.2019 Brief learning on TDS and TCS.

06.06.2019 Doing system work.

07.06.2019 Learnt about the transfer entry and account functioning.
08.06.2019 Saturday Holiday
09.06.2019 Sunday Holiday
10.06.2019 Learned about the travelling expenses given to the employees.

11.06.2019 Reversing all the accounts and checking all the tamilnadu, pondy, kerala
files monthly output and input (purchase and sales).
12.06.2019 Brief learning on gst and tax percentages.
DATE DESCRIPTION
13.06.2019 Doing system work and learnt about reconciliation process.

14.06.2019 Learned about the neft and rtgs payments and their interest charges.

15.06.2019 Saturday Holiday

16.06.2019 Sunday Holiday
34
17.06.2019 Doing system work on vendor functional settlement division.

18.06.2019 learned about annual business plan and outside labour payments

19.06.2019 Doing system payments to vendor.

20.06.2019 Visited hr department and learnt about the recruitment process and
training and development program.
21.06.2019 Learned about the transfer and resignation process.

35