Study Role of Accounting In Business & Account Management

(Times New Roman 18 points)

A Summer Internship Project for

(Times New Roman 11 points)

Bachelor of Business Administration

(Times New Roman 13 points)

By
(Times New Roman 11 points)

ANAS FAREED
(Times New Roman 13 points)

Under the guidance of

Shri Harish Chandra Dr. Ferojuddin M.A. Khan

Accounts Manager Finance & Faculty Research Coordinator
Salam Carpets SOB, GU, Gautam Buddha Nagar (GBN)

(Times New Roman 12 points)

Date
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 Certificate of Approval

The following Summer Internship Project Report titled "Study Role of Accounts Department & Managing
Accounts" is hereby approved as a certified study in management carried out and presented in a manner satisfactory
to warrant its acceptance as a prerequisite for the award of Bachelor of Business Administration for which it has
been submitted. It is understood that by this approval the undersigned do not necessarily endorse or approve any
statement made, opinion expressed or conclusion drawn therein but approve the Summer Internship Project Report
only for the purpose it is submitted to the Summer Internship Project Report Examination Committee for evaluation
of Summer Internship Project Report

Name Signature

1. Faculty Mentor _______________________ ___________________

2. Industry Mentor _______________________ ___________________

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 Certificate from Summer Internship Project Guides

This is to certify that Mr. Anas Fareed , a student of the Bachelor of Business Administration has worked under
our guidance and supervision. This Summer Internship Project Report has the requisite standard and to the best of our
knowledge no part of it has been reproduced from any other summer Internship project, monograph, report or book.

Dr.Ferojuddin M.A. Khan Harish Chandra

Associate Professor Accounts Manager
SOB, GU, GBN Salam Carpets
Near Eidgaah ,Nai Bazar,Bhadohi,UP-221401

Date Date

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 TABLE OF CONTENTS

EXECUTIVE SUMMARY……………………………………………5

ACKNOWLEDGEMENT…………………………………………….6

COMPANY PROFILE………………………………………………..7

INTERNSHIP PROFILE……………………………………………..23

KEY OBSERVATIONS………………………………………………29

LEARNING AND VALUE ADDITION……………………………..34

BEST PRACTICES AND BENCHMARK STUDY…………………38

RECOMMENDATIONS AND SUGGESTIONS……………………43

BIBLIOGRAPHY……………………………………………………..44

ANNEXURE……………………………………………………………45

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 Executive Summary

I interned with ‘Salam Carpets.’. It is in Nai Bazar, Bhadohi, Uttar Pradesh and is a Carpet Manufacturer &
Exporters firm, involved in the activities of producing rugs of world class level and selling it worldwide.
Internship at Salam Carpets was a great exposure to the firm. After going through summer internship, this
was firsthand experience how business industry functions.

The primary goal of the internship was to get a real time insight into the working of the organization. The
major accomplishment for me during my tenure of one month’s internship was to manage ledger and to
learn more about accounting and how it is done for carpet and rugs.

BBA course of GALGOTIAS UNIVERSITY requires student to undergo a Summer Internship Programmed
with an organization followed by a report assigned by the supervisor in the organization and endorsed
by the faculty mentor. I took this opportunity to do my internship with ‘Salam Carpets.’ Who produce and
export rugs altogether . Observation and suggestion were made to enhance the quality of the effort taken.

Under the guidance of my supervisor Mr. Harish Chandra at the organization, I have conducted my study
on ‘Managing Accounting Books’ i.e. of Salam Carpets itself. My internal mentor and faculty Dr.
Ferojuddin M.A.Khan, Associate Professor at GU also approved the topic and authorized me to prepare this
report as a part of fulfilment of internship requirement and gave me proper guidance and assistance over
time.

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 Acknowledgements

A summer internship program is a golden opportunity for learning and self- development of a student. I
consider myself lucky and honored to have so many wonderful people help in through in the completion of
this project.

I wish to express my indebted gratitude and special thanks to Mr. Faridul Islam , head of “Salam Carpets”
who despite being extremely busy with his duties, took time to hear and guide me. I would also like to thank
Mr. Harish Chandra, Accounting Head at Salam Carpets ,whose encouragement, guidance and support from
the initial to the final level enabled me to complete and develop an understanding of the project.

I express my deepest thanks to Dr.Ferojuddin M.A Khan (Internal guide / mentor) for her guide and support.
She helped all the time whenever needed and gave me the right direction towards completion of the project.

Lastly, I express my sincere thanks and regards to all of those who supported me in any respect during
the completion of the project.

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 Company Profile

Salam Carpets-Art Of India

Salam Carpets, a carpet manufacturing and exporting firm situated in Nai Bazar, Bhadohi. The company was
started in 1980 by Mr Qamrus Salam. The company initially began as a manufacturing firm who used to sell rugs to
bigger firms and thus meeting their demand. The company was more of a domestic Business to Business firm in its
initial days which now has changed and gained reputation and certification as a Global Manufacturer & Exporter of
carpets. The company owns an ISO 9001:2015 Certification which specifies requirements for a quality management
system when an organization:

a) needs to demonstrate its ability to consistently provide products and services that meet customer and applicable
statutory and regulatory requirements, and

b) aims to enhance customer satisfaction through the effective application of the system, including processes for
improvement of the system and the assurance of conformity to customer and applicable statutory and regulatory
requirements.

All the requirements of ISO 9001:2015 are generic and are intended to be applicable to any organization, regardless
of its type or size, or the products and services it provides.

What We Do?

Salam Carpets is a business firm which manufacturer and exports all types of rugs and floor coverings.

What we do with the information we gather?

We, at Salam Carpets gain various information’s from the customers and intend to meet their demands to satisfy
their needs. Salam Carpets basically asks the customers about their preferences. In the preferences we generally ask
them about their colour preference, their preferred materials and their preferred size.

Upon gaining the information we analyse the information received and plan as to how to approach it. We send the
colour preference to the dyer who in return dyes the raw material and send it to the production department wherein
the size and the design are sent. The artisans begin the manufacturing of the rugs. The time for manufacturing
generally depends upon the design and size of the rug. A standardised size generally takes a lesser time as compared
to the Customised size.

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When the carpet is fully prepared it is then analysed by the Production head about the quality and design of the
production. Rugs when approved by the production head is sent to Washing department who wash the rugs wish
environment friendly detergents, and after washing it goes to the finishing department and from the finishing
department it is sent to the packaging department for the packaging of the rugs. The rugs after being packed are sent
to the partner courier firm/ shipping agents, who manage the transportation and make sure that the rug is delivered
to the customer on time and without any damages.

SALAM CARPETS

COMPANY’S NAME – Salam Carpets

ADDRESS – Near Eidgaah,Nai Bazar,Bhadohi-221401

OWNER – Mr. Qamrus Salam

CONTACT NO.– + 915414278050

WEBSITE – www.salamcarpets.com (under construction)

EMAIL ID- salamcarpets@gmail.com

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 Organizational Structure of Salam Carpets
Every firm has a structure of its own which includes the employees working there under the head officer who guides
and directs them. Big organizations have a structure which may be complex but small firms don’t have such
complexity, but uniformity should be there for smooth working of the firm.

In case of Salam Carpets since it is a MSM(Medium Small and Micro) organization, that is the reason it does
not have much employees and hence total workforce there is 25-30 including me. Mr. F a r i d u l I s l a m
(Chief Operating Officer) heads the Business. The organizational environment is quite conducive for working
and each member worked with co-ordination and co-operation with one another. The diagrammatic representation
of the structure of the firm is drawn below –

Mr. Faridul Islam

(COO)

Mr. Masihul Islam Mr. Waqar Islam

(Partner) (Partner)

Harish Chandra Qamruzzaman Noor Alam

(Accounting Head) (Production Head) (Operation Head)

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Mission:

Our Mission is to achieve the reputation of a quality, high standard & reliable Carpets to satisfy the
customers and in turn be the best company in the industry.

Vision:

Our Vision is to achieve 100% customer satisfaction by delivering quality products and services at an
affordable cost. Our forward vision is to strive to be the best company in the industry.

Brief description of the industry sector in which the

company falls

Our firm “Salam Carpets” falls under the category of Carpet Manufacturing and Exporting firms.
Carpet industry of India has a great potential in the economic development of the country. Millions of
people depend on the handmade carpet of handicrafts industry for their livelihood, so there is a good
reason to preserve and encourage the handmade carpet industry, not only in Rajasthan, which is its hub,
but also, throughout the country. The Indian handmade carpet comes under the cottage industry. Indian
handmade carpet sector of cottage industry is perhaps the only sector over in rural India that is almost
100% export oriented and providing direct employment to the millions, generating opportunities to rural
unemployed artisans. At present, carpet sector is contributing US$ 932 million from export to the
government exchequer and providing livelihood over and above to the million weavers and artisans.
India’s heritage of handmade carpet weaving has been recognized worldwide for its elaborate design,
delicate style, and attractive vibrant colours craftsmanship. The present study will be based on
secondary data collected through the reports from textile ministry, various organization magazines and
some review paper of expert and researcher.
 Location of Operation

Nai Bazar,Bhadohi,UP-221401

Range of Company Services

• Carpets
Indian style carpet is motivated to Persian carpets. It could not boast its own origination and
follow a tradition of hand-knotted carpets due to the region’s hot climate could never have
required the warmth of carpets. But it exists in India due to the centuries-old tradition of
schlepping of carpets from Persia. The introduction of carpets in India was only possible in
Mughal dynasty’s and credit goes to the then Mughal emperor, Akbar (tenure 1556-1605).
Akbar had called for specialized artists and weavers sent from Persian court to set up
workshops in his two Indian capitals in Agra and Fatehpur Sikri. These were implied solely to
deliver novel bits of enrichment and furnishing. At first, the rugs woven demonstrated the great
Persian style with fine tying. In due course of development of design and art of carpet weaving.
Jahangir, Akbar’s son reigned and encouraged more on floral carpets. His interest towards
natural highlights like botanical characters showed an assortment of homegrown species, which
was superbly expressive on carpets. He set up more workshops and this art form reached the
peak of its popularity. This is also the period of culmination of the Indo-Persian style of carpets
and make a strong impression. Indian carpet exquisite of prayer rugs, antique rugs and carpets,
figural carpets, etc. made of high and medium fine quality wool. Indian style carpets are
overwhelmingly rich with a sheer range of patterns, styles and designs on their bristled surface.
They are one of the uniquely characterized works of art distinguished mainly upon an
exclusive, deeply perceptive palette, based on pink, yellow, green, and light blue. Such colours
have best complemented on the usual bluish red known as lac red. This intense red has been
extensively used for the grounds of fields on carpet. The lifelike and floral designs with animal
figures accompanied with the epic hunting scenes on the carpet are indebted to the Persian
style.

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Certifications
We are one of the largest manufacturers of handloom, Hand tufted woollen, cotton carpets and durries
that also includes home textiles like shaggiest, mats, rugs and cushion covers are also included in our
product list. Our products bear the mark of Good weave Certification in conformity to our compliance
with fair labour practices that strictly abhors the use of child labour. Also, we are ISO 9001:2015
certified company, we are fully compliant with all the requirements necessary for manufacturing and
exporting carpets across the world that bear the indigenous traits of Indian craftsmen.

• ISO 9001:2015

• Care and Fair Certificate

FINANCIAL ANALYSIS OF ANISA CARPET (one of the leading firms in

the industry)

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 BALANCE SHEET OF ANISA CARPETS: -

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 SWOT Analysis of the Company
STRENGTHS
English speaking labor pool
Strong IT background
Superior service maturity
Cost competitiveness
Indian domestic market growth
OPPORTUNITIES
Unexplored market
Greater share of market
Have many verticals
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WEAKNESS
✓ High attrition
✓ No stability
✓ High attrition rate
✓ High absenteeism rate
✓ Lack of interest in weaving of carpet
in new generation
THREATS
✓ Reducing handmade rugs craze
✓ Cheaper machine-made rugs
 Internship Profile

INDUSTRY MENTOR DETAILS:-

NAME:- Harish Chandra

DESIGNATION:-Accounts Manager
LOCATION:- Nai Bazar, Bhadohi-221401
CONTACT:-9838964718
EMAIL ID:-salamcarpets@gmail.com

DETAIL OF TASK:-

Interned as an Assistant under Mr. Harish Chandra ,Accounts Head ,Salam Carpets
Managing daily to daily ledger books and reviewing the old ledger books and comparing the balances
of the company and reviewing the expenses of the firm.

TIME FRAME:-

START DATE:-1/6/2019
END DATE:-15/7/2019

OBJECTIVE :-
• To maintain the financials of a Business Firm.
• To understand the importance of Balance sheet in Business settings.
• To gain insights about the importance of maintaining Ledger.
• To understand the importance of accounting and how it helps to gain information about all the
other departments.

WEEKLY STATUS REPORT:-

Weekly Progress Report

Name: Anas Fareed/8960239282/anasfareed2 @gmail.com

Enrolment Number: 1704101356/17GSOB101363 Programme: BBA

Summer Internship Subject Area: Accounts

Week 1 Weekly Summary

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 • Brief intro about the company by the Account head Mr. Harish Chandra
• Candidate introduction
• Company and task description for the candidate by the production
From
manager Mr. Noor Alam
1st June to 7th
• Motivational speech by the COO of the company
June
• 3 Assignments are given to the interns.
1st preparing salary slips under Account Head’s guidance.
2nd checking previous ledgers
3rd looking at the export documents to the bank prepared previously

Week 2 Weekly Summary

• Meeting the various clients of the company

• Visiting the Showroom of the Company
• Expressing out views as to how to minimize the unnecessary expenses
From
• Viewing the Software’s used by the Company
8 June to 15th
th
• Seeing the Ledger Books of previous Years
June
• Learning about the pricing strategies used by the firm
• Price conversion from USD/EURO to INR

Week 3 Weekly Summary

• Small discussion on the competition in the market

• Risk involved
From
• Challenges faced by the freshers in selling the products
16th June to
• Opportunities in the Carpet Business sector
23rd June
• Managing day to day ledger

Week 4 Weekly Summary

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 • Learning the various concepts and applications of the practices for the
internship
From • Meeting with the people for their feedback
24th June to 1st
• Meeting the Raw material supplier for new materials
July
• Bargaining to reduce the cost of raw material
• Consulting Mr. Harish Chandra regarding the accuracy of ledger
maintenance

Week 5 Weekly Summary

• Matching the ledger with that of balance sheet

From • Correcting the mistakes made in ledger
2nd July to 9th • Preparing salary slips
July • Talking to the employees about their salary payments
• Learning about pricing of the Carpets prepared

Week 6 Weekly Summary

• Gaining info’s regarding the various aspects of the firms for report
From preparation
10th June to
15rd June

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 Summer Internship Feedback Form
(To be filled by the Industry Mentor)
Date:

Intern’s Name:___________________________
Batch: -_________________________Company:_______________________________ Name:
________________________________
Address: ____________________________________
Department (in which the training has been done):________________________
Mentor’s Name: ____________________
Mentor’s e-mail id: ______________________________
Contact Number: ________________________

Part A: General Intern Performance Instructions: Please rate the student intern on each of the
following job dimensions. For each dimension, sample behaviors of excellent and satisfactory
performance are listed as guidelines:

Please mention the intern’s duties and responsibilities?

………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
………………………………………………………………………………………………………
Performance Rating Scale:
1= Unsatisfactory - did not meet expectations
2 = Fair - somewhat met expectations, but need improvement
3= Satisfactory - met expectations
4 = Good - met and exceeded expectations
5= Excellent - far exceeded expectations

1. Attitude/Effort: His/her attitude and efforts towards the work & duties assigned during
internship.

1 2 3 4 5
Ability to meet deadlines
Keen to take on extra duties
Seeks out opportunities
Always make a contribution in work
Always Takes initiative

2. Works Independently: His/her ability to work independently to complete tasks with

minimum supervision.

1 2 3 4 5
Always submit assignments timely

Complete tasks effectively

Tasks are fully completed

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 Team player/assists others

Needs constant
supervision/help

3. Adaptability: His/her ability to adjust to new work requirements, directions with a minimum
loss of efficiency.
1 2 3 4 5
Response to feedback

Attitude towards change to work duties

Acceptance to criticism and modifications in

behavior/task accordingly.
Ability to accommodate to new directions/tasks

4. Interpersonal Skills: Degree to which intern gets along with others (co-workers, supervisor,
clients.)

1 2 3 4 5
Ability to work well in groups

Professional behavior with co-workers

Effective and cooperative relationships with co-

workers

Ability to follow direction

5. Reliability: Consider of absences or degree of regularity in coming to work on regularly

scheduled workdays during the period.

1 2 3 4 5
Punctuality & Regularity

Arrives on time or early

Absence planned/non-disruptive

6. Ability to learn: His/her ability to understand/grasp new ideas, opinions & instructions.

1 2 3 4 5
Interest in learning new tasks

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 Actively seeks out information

Continually improvement in job performance

Accept new ideas and instructions

Part B: Specific Internship Learning Objectives (specific learning objectives should be filled
in by student prior to giving form to supervisor)

Additional Feedback/Comments
(1) What were the strengths of this intern?

(2) What were the weaknesses of this intern?

(3) Are you willing to take interns in next year? (Indicate one)

Yes
No

If no, why not?

(4) What qualifications would you like to see in future interns?

(5) If an opening became available in your firm, would you consider this student for a full- time
position?
Yes
No

(6) How would you assess the intern’s overall performance?

□ Outstanding □ Above average □ Satisfactory □ Below average □ Unsatisfactory

7) Any additional comments or recommendations.

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 KEY OBSERVANCES

WORK DESCRIPTION: -
The Accounting Intern will directly assist the Finance Team with a wide range of projects related to
expense report auditing, account reconciliation, revenue processing, and grant accounting. This
internship is designed to be both educational and practical. In this position, the intern will learn how
to take skills she or he may have acquired in school related to his or her areas of interest and apply
them in a professional setting.

WORKS ASSIGNED: -

• Assist with month-end financial reports

• Post journal entries
• Manage monthly tracking of physical inventory
• Support the payment processing team
• Assist with data entry

PRACTICES FOLLOWED: -
Every firm has certain protocols which it follows towards the completion of its work. The accounts
department of Salam Carpets too had certain guidelines a certain practices were made to achieve
highest standard of Work and to ensure that there are no discrepancies made while maintaining the
accounts of the company.

1. Wages of Workers: -
The Wages of the workers in Salam Carpets was between the range of Rs 9000-25000
depending upon the work they performed and designation they held within the company.

• Provident fund (P.F): -

The Provident Fund (PF) contribution is 12% of PF Wages from both employee and
employer. For the calculation, the maximum limit of Basic is Rs 6500/-. It means even if
the employee’s PF Wages is above Rs 6500/-, the employer is liable to contribute only
on Rs 6500/-, that is Rs 780/-.

However, if an employee so desires he may voluntarily contribute more than 12%. Apart
from it an employer also has to pay some administration charges. The various accounts
of PF Challan are as mentioned below.

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 EMPLOYEES EMPLOYER
A/c No 1: PF contribution 12 3.67
Account
A/c No 2: PF Admin 1.10
account
A/c No 10: EPS account 8.33
A/c No 21: EDLIS account 0.50
A/c No 22: EDLIS admin 0.01
account

Total 12 13.61

Table no. 1.1 Various accounts of PF challan

PF admin charge = Employer must pay 1.1 % of pf wages

EDLIS: Employer must pay 0.5% of pf wages
EDLIS admin charge: Employer must pay 0.01% of pf wages.
Hence, total additional percentage employer has to pay is rupees: 1.61% of basic so
employer has actually to pay 13.61 % of Basic and employee has to pay only 12% of pf
wages.

Employees complete 12% goes to PF account while employer contributions’ 8.33% goes to
Pension Fund and 3.67% goes to PF Fund.

Employee State Insurance Corporation (ESIC) is deducted on gross salary which is 1.75%
from the employee contribution & 4.75% from the employer contribution.

2. How to maintain export document: -

In terms of the GST legislation, export of 'goods' means taking goods out of India to a place outside
India. An exporter of goods is required to undertake export of goods in terms of export procedure as
prescribed under the Customs law and is required to ensure that following documentation and
compliances are undertaken:

• Obtain an Import Export Code (IEC);

• Furnish a LUT or Bond in case exports are intended to be made without payment of taxes;

• Ensure that a robust Agreement/ Purchase Order is entered with the recipient of goods for
export of goods;
• Issue a tax invoice, typically containing the following details:
• Endorsement stating "supply meant for export on payment of integrated tax" or "supply
meant for export without payment of integrated tax";
• Name, address and GSTIN of the supplier;

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 • Invoice No. and date;
• Name and address of the recipient, address of delivery and country
• HSN code of the goods along with description;
• Quantity of goods and unit;
• Total value of goods; and
• Signature of the supplier of the authorised signatory.
• File the shipping bill. It should be ensured that accurate details of the tax invoice are
mentioned in the shipping bill;
• Details of export invoices are also required to be accurately furnished in the GST returns.

3. How to submit export documents to the bank?

Exporters should seriously consider having the freight forwarder handle the formidable amount
of documentation that exporting requires; freight forwarders are specialists in this process. The
following documents are commonly used in exporting; which of them are used in each case
depends on the requirements of both our government and the government of the importing
country.

• Commercial invoice
• Bill of lading
• Consular invoice
• Certificate of origin
• Inspection certification
• Dock receipt and warehouse receipt
• Destination control statement
• Insurance certificate
• Export license
• Export packing list
• Bill of Exchange
• REX no.

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KEY CHALLENGES FACED WHILE DOING THE TASK: -
1. Awkward Introductions

Upon reaching the office I had an orientation program conducted for me. It was an awkward
moment in introducing myself to the various people working in the organisation since I didn’t
know any of them.
2. Too Many Information Absorptions

I got a brief (not brief!) introductions to the company profile, what they do and all the HR
facilities/bindings. The information comes at such a velocity that before even processing one part
comes the other parts.

And the data got jumbled in my head resulting in the ultimate perplexed expression. Moreover, when
I was asked, “are you clear on these?” I just used to simply give a hesitated nod or a quick ‘yes sir’.

3. Self-ice-breaking sessions

I was still in confusion state. Not sure as to how to socialize with my colleagues/supervisor was a major
challenge for me. Although there were many other interns joining with me, I tend to adjust to the office
environment more easily than I would have done if I was the only intern.

4. No-Work!

One of my main expectations as an intern was to do some work, some practical office works. Alas!
During the first weeks, I didn’t get that much of a work other than some printing or scanning.

5. How to do the work?

Finally, I was assigned to some work, some real work. Although I knew several ways to do it but there
were some particular ways in which the supervisor had demanded from me.

6. Should I ask? Whom should I ask? What shall I say when asking?

My biggest hesitation lies in asking questions. What if asking question will create an impression that I
don’t know anything? Will they perceive me as silly? So many thoughts were roaming through my mind.

7. The perception that you don’t know/you know

Here comes another challenge. Often my supervisor used to perceive that either I knew everything
about a task, or I didn’t know anything at all since I was a newbie. This affected my confidence to some
extent.

Either way, when my manager had the confidence that I can do the job, i got a little nervous since I was
new. Then again, when my manager perceived that i didn’t knew, i tried to think of ways to make him
understand that I can manage the work.

8. Understanding the office culture

It sure takes time to understand the office culture. Since every organizational culture varies from office
to office. Some have a rigid structure while others are flexible.

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Though organizations are moving more towards flexibility nowadays, some offices do have some strict
policies. Then again, there are some internal differences too.

During my first weeks of socializing struggles, trying to observe the organizational behaviour was a
challenge here too. My perception was very important there since according to that I had to progress
on socializing.

9. Should I be friendly? Or a bit reserved?

The first step to my socialization began with this question to myself. And I tried to find its answers by
understanding the organizational culture. Also, I tried to understand what was expected of me. These
common Internship Challenges were critical as a newbie.

10. Should I go for lunch now? Can I leave?

This was the minor challenge I faced. Sure, the HR representatives had informed me of all the basic
policies, and I knew the lunch hour and exit time.

Still, I felt a minor hesitation while getting up from my seat for lunch or leaving. Should I ask my line
manager? Should I lunch with him or was it okay to have lunch before him?

11. How to ask for a leave?

Here comes your most feared question, “Sir, can I take a leave?” There might be various genuine
reasons for my leave: family emergency, university formalities, sickness, etc.

Still, I worry about my impression or the reaction of my boss. It took a moment of internal preparation
before asking the boss for leave.

12. Understanding teamwork

Teamwork in the professional sector is a lot different than our projects at university. Miscommunication,
misinterpretation of the actual objectives, different opinions of team members are common and varied
than that of the project group work I had done.

13. Understanding the organogram

The hierarchy differs from organization to organization; some have complex and tall while some have
flat. The hierarchy often gets difficult to understand during the first few weeks.

And I knew it, since I needed to be clear whom I was reporting and who is reporting to whom.

14. So how was my work?

So, I was regular at the office and completing the jobs instantly to create a lasting impression and let
the supervisor see the potential in me. However, I got no feedback.

I used to get an informal “good job” from the boss but I still didn’t know if my work was up to the mark,
do I need to improve or not. I wasn’t even ready for constructive criticism, but the lack of proper feedback
didn’t encourage me that much.

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 LEARNING AND VALUE ADDITION

MAJOR LEARNINGS DURING SIP TENURE: -

• How to interact with people?

• How to minimise the cost of production?
• How to maintain a Ledger?
• How to gain confidence of people?
• How to match Ledger and Balance Sheet?
• How to manage time according to the Job Profile?
• Communication is the key
• Opportunities are endless
• Carpet Industry is a vast industry
• Customer Satisfaction is must.

DIFFERENCE BETWEEN PRACTICAL EXPOSURE AND THEORETICAL CONCEPTS

STUDIED IN CLASSROOMS?

Theoretical concepts studied in the classrooms just to gain knowledge about the profession we are
going through, but practical exposure is necessary as to use that knowledge and skill to perform our
tests in best manner. And learn something new that the firm practices. In the classroom being a BBA
student, I was not aware of the customer satisfaction analysis. During my SIP, industrial mentor Mr
Harish Chandra made me aware of those statements directly making me work on them. These resulted
in the learning about different strategies, why they are prepared, what are their uses? And help me to
clearing various doubts the ledger management was really very helpful for me to expand my skills and
knowledge and gain confidence which was not possible by theoretical concepts.

In the realm of business, theoretical knowledge involves learning and understanding the basics of how
business works, what different processes are involved in running a successful business and how to
stay on top of changes in those processes. Practical knowledge provides the tools and techniques
necessary to put theory into practice. In a real-world business setting, the theoretical lays the
framework for the practical to build on. This can be thought of simply as what needs to be done

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versus how to do it. Businesses need to establish a balance between the two in order to achieve
success.

When starting a business, the theoretical always comes before the practical. You can’t launch a new
company without knowing what the market is like and how your target audience is behaving. This
knowledge is essential for creating projections for profits, losses and growth. Studying business
theory gives you this knowledge and prepares you to follow trends as they develop. Business practice,
on the other hand, guides you through the steps involved in achieving the goals set forth in projections
and riding out any unexpected shifts in the market.

Business theory is much more about assessment than it is about practice. In a theoretical program, you
may study economics, statistics, finance and market trends. By focusing on how these processes apply
to and affect businesses, you gain a solid understanding of how companies operate and the ways they
must adapt over time. Practical business programs involve skills that make you a desirable employee,
team leader or manager. These may include communications, organization, management practices,
technology or critical thinking. Some skills, such as leadership, overlap both types of programs,
showing how closely these two branches of business study are related.

Since theory teaches the “what” and practice teaches the “how,” what you learn in each type of
program is applied in different ways. Theoretical knowledge is the most beneficial in advisory
positions that require a broad scope of understanding. Many business owners either lack this
knowledge or have only grasped the basics and need help re-establishing the foundations of their
companies. It’s the managers, supervisors and employees within these companies that make the most
of the practical side of business. This kind of knowledge applies to the daily details of running a
business, including marketing, customer relationship management, project management and order
fulfilment.

If you’re interested in the financial and economic side of business and enjoy creating structured
environments, a theoretical business program will put you on track for that type of career. You can
help entrepreneurs build their start-up companies or advise seasoned business owners on how to
update their practices to take advantage of changing markets and consumer behaviours. If you’d rather
spend your days in an office setting or a retail environment, interacting with clients and customers or
working on projects, put your focus on practical business studies. Both programs can set you up for
careers with great potential for growth.

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USEFULLNESS OF INTERNSHIP WITH FUTURE PERSPECTIVE: -

It is so beneficial as it gives us the experience about the work we perform in the organisation and also
develop skill and enhance it more so that in future we keep growing in our task in an efficient and
effective manner. Now I am fully aware of the purposes, way of preparing the ledgers and match them
with the balance sheet.

In the future, I will be able to handle such works, I will be able to analyse the day to expenses and
ways of minimising it all.

1. An Internship Provides Real Life Experience and Exposure

An internship enables an individual to gain first-hand exposure of working in the real world.

It also allows students to harness the skill, knowledge, and theoretical practice they learnt in
university.

2. The Opportunity to Learn More About Yourself

The experiences one goes through is what shapes him. An internship will not only encourage
personal development, but also greater understanding of self.

To know oneself is to know your goals and how to best achieve them.

Finding this level of clarity is difficult, but sometimes all it takes is trying someone new, out of
your comfort zone.

3. Get Connected and Develop Your Professional Network

Networking is an exchange of information between people, with the goal of establishing

acquaintances and relationships to advance your professional career.

Partaking in an internship allows one to establish deeper relationships than one normally would by
talking to a stranger one-on-one.

4. Prevent CV From Going to The Trash

While you may get second chances when talking to someone face-to-face, your resume will not.

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Think of the resume as an extension of oneself and how one would want someone to perceive
themselves.

Experience! Internships are the perfect way to enhance the resume through relevant experiences.

5. Transition into A Full-Time Position

Sometimes graduating from college and immediately jumping into a new job position has its
disadvantages.

When you start out, you are the most vulnerable employee when it comes to layoffs.

Although it is not guaranteed, most employers are always seeking to add value to their
organization.

With an internship, one is given the opportunity to showcase their talents, commitment, and value
to a prospective employer.

Furthermore, employers are more inclined to hire the intern once they have invested time and
money to train him.

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 BEST PRACTICES AND BENCHMARK STUDY

MAJOR COMPANIES IN THE RESPECTIVE INDUSTRY SECTOR

1. ANISA CARPETS
2. SAIF CARPETS
3. RMC COLLECTIONS
4. SHAMSHI EXPORTS
5. SAFAR RUGS
6. WAZIRI EXPORTS
7. AYUB RUGS
8. KESHARI EXPORTS
9. IZHAR INTERNATIONAL
10. M.W.S & Co.
11. RAHEEM & SON
12. TEPPIC-DE-ORIENTA
13. JAMILA RUGS INDIA
14. RAJJAB ALI & SONS
15. BHADOHI CARPETS
16. KAV EXPORTS
17. RUDRA RUGS
18. DEEPAK RUGS
19. DESIGNERS DESIRE
20. HIMALAY COLLECTION

INDUSTRIAL ANALYSIS: -

Indian Handmade Carpet Industry is Highly Labour Intensive and provides employment to over 20
Lakhs workers/ artisans especially women directly or indirectly in the rural areas. Most of the artisans/
weavers employed are from the weaker section of the Society and this trade provides extra and
alternate occupation to them including farmers and others at their homes. Exports increased from Rs.
4.42 Crores in 1961- 62 to Rs. 10207.91(Prov.) Crores in 2018-19.

“Committed to Hon’ble Prime Minister’s vision of “MAKE IN INDIA” with ZERO DEFECTS
and ZERO EFFECT”

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 Ranked No. 1 as a producer and exporter of Handmade Carpets and other floor coverings both in terms
of volume and value, Artisans can make handmade carpets in any design, colour, and quality as per
the needs of overseas buyers and caters to the requirement of every segment of the society. Produces
a wide range of Handmade Carpets and other floor coverings in low, medium and high qualities for
all the segments of consumers, Raw materials used are diverse and blending & mixing of different
yarns is its specialty.

Target beneficiaries: Carpet Weavers, Exporters

CARPET CLUSTERS OF INDIA: -

Jammu & Kashmir, Himachal Pradesh, Punjab, Haryana, Rajasthan, Gujarat, Kerala, Andhra Pradesh,
Telangana, Odisha, Uttar Pradesh, 7 sisters of North East India

Fig 1.1 Map showing the states where carpet industry is prevalent

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GROWTH AND OPPORTUNITIES IN THE CARPET INDUSTRY

GROWTH:-

The Indian Carpet Industry is vibrant and has considerable potential for growth and development of
Indian Economy. It is a labour-intensive industry and has potential to provide large-scale employment
to rural and unemployed youths, besides being an important source of foreign exchange earnings for
the country. The Indian Carpet Industry is a cottage and primarily a rural-based industry. Indian
handmade a carpet has showed the ever-increasing growth for 5 years from 2013-14 to 2018-19. The
table shows that the export of carpet in the year 2013-14 to the world was recorded 1174.89(USD in
Million). In 2014-15 this number increased to 1980.67 (USD in Million). It further recorded the value
of export was 1448.24 (USD in Million) in the year 2015-16. In 2016-17, the value of carpet export
recorded 1491.22 (USD in Million). The value of export suddenly declined in the year 2017-18.

The value of export declined in this year and was recorded 1427.7 (USD in Million). The year 2018-19
shows an increase in the value of export that is 1471.3(USD in Million). This increase of value shoved
the potential of export of carpet in the world market. The carpet industry showed its resistance to
compete the world stiff competition in the era of competition. This steep increase in export value has
possible due to the introduction of mechanized weaving and government concern to provide aid to this
industry. It is highly encouraging fact that it contributes the great value of export items. Carpet industry
is the only industry that goes totally for export despite being in the category of cottage and handicraft
industry.

The ever-increasing growth performance of this sector shows the high potential of sustainability to the
world competitive market. Carpet industry proved its efficiency of sustenance in the globalization
period where number of Indian crafts lost their ground. They keep remaining the aesthetic value of
Indian art to the global market.

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INDIA: A GLOBAL LEADER IN HANDMADE CARPET

India is today a clear leader in the international handmade carpet market. India’s heritage of handmade
carpet has been recognized worldwide with a commending share in global exports, for its subtle
elegance, eco-friendliness and exquisite vibrant colour craftsmanship with a human touch.

Fig 1.2 Total export in US $ for the past 5 years

OPPORTUNITIES

Indian Carpet industry is one of the oldest and the rapidly growing industries providing lacs of job
opportunities to the people at their doorstep. India has always had an ancient heritage of carpet
weaving, a craft having assorted skills and expertise from lands as diverse as Persia, China and
Afghanistan. Today Indian carpets are well recognised in the world market for its unique artistry.
Major carpet industrial regions in India are: Bhadohi – Mirzapur and Agra Carpet belt: Uttar Pradesh
Jaipur-Bikaner Carpet belt: Rajasthan Panipat Carpet belt: Haryana Kashmir Carpet belt (for Silk
Carpet) : Jammu & Kashmir Bhadohi-Mirzapur is also famous as carpet cluster in India. This carpet
region captures the major share of carpet manufacturing and export from India. Huge demand of
Indian handmade carpet has been receiving by the manufacturers/exporters constantly from all over
the world. But due to lack of skilled artisan it is very difficult to complete the orders in time and
quality. There is also lot of opportunities available for the carpet industry in terms of improving the

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productivity and quality of raw materials at reasonable prices, necessary capabilities including R & D
facilities for improvement of fibre quality and development of specialized fibres/yarns, as market
always demands new product, pattern & design. Rising Inflation is a world-wide phenomenon. Owing
to increase in price of oil and commodities, raw material costs have increased. Consequently, the
importers should increase the prices to compensate growing input cost of manufacturing. Further,
there is almost no domestic market of carpets in India. Corporate world in India is at a threshold of a
crucial transition when most of the global brands are entering in India to dominate the market. This
may trigger the emergence of domestic market for the carpet industry. Major home furnishing
industry is now moving towards carpet industry. This movement has offered a new market trends for
new designs and large market segment. Youth market is now more open to the contemporary and
modern carpet industry which has given a new opportunity to the carpet industry. Carpet industry may
be one of major job providing sector in the country especially to the weaker section people belonging
to the rural areas.

KEY MARKETS AND POTENTIAL

India is exporting to more than 70 countries in the world, mainly to the USA, Germany, Canada, U.K.,
Australia, South Africa, France, Italy, Brazil, etc. Started exporting to China. USA with 48.84% share followed
by Europe with 27.25% share (Germany, UK, France)

Fig 1.3 Consumption of Indian Carpets in terms of percentage by various countries

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SUGGESTIONS
Indian carpet industry is primarily rural-based labour intensive and handicraft industry. As an intern I
would like to suggest the firm to focus more on its ledger as there were issues and mistakes in the ledger
while matching the balance sheet. Also, the company must focus on maintaining a consistent PF to
facilitate the employees when they retire. Although the company was providing PF to its employees, I
found it inconsistent and the company must focus on making the employees aware of the importance of
PF and how they are charged.

CONCLUSION
As an Accounting intern, my experience with Salam Carpets was an amazing one as I learnt various
aspects involved in a business and how the accounts department plays an important role in the business
and provides them with stability. The internship helped me in applying my accounting knowledge I
have learnt over my years in Galgotias University. Apart from few difficulties this internship was a
good experience for me. I learnt a lot about the Carpet industry in India and how they work. I also learnt
how to submit export documents to the banks and what processes are involved in the submission of
export documents to the bank. I would like to conclude my report by thanking everyone who were
involved in my completion of Internship and the amazing experience I had while doing it.

Accounts department is a backbone of a Business firm. It helps in keeping a track of the work done by
all the other departments like Marketing, HR, etc. It also is responsible for any misconduct and is the
only department that must answer Infront of the court if any mis-happenings occur. So, Accounts
department prepares original documents and when investigated presents the same as a proof.

As accounts department controls all the finances, so if there are any felony that the business firms intend
to do, the account department must break various other sequences so as to achieve it. As nowadays,
every work is done systematically so in order to perform a felony there are various other steps that are
needed to be breached. And all this can only be controlled by the Accounts department. So, business
firms need to keep an eye on the Accounts department and make sure that there are no misconducts
performed over as it will hurt the organisational stability in the long run.

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 BIBLIOGRAPHY

REFERENCES

• Bano, R. and Fatima, N. (2014). Role of small-scale industry and women

empowerment: A case study in carpet industry of Bhadohi district, U.P, IJMIE, 4(3),
152
• Gito, P. and Kumar, C. (2014). Export market’s segmentation performance and
marketing of Indian carpet industry: A BCG matrix approach, Pacific Business Review
International, 6(11), 1-3.
• Judy, A. (1994). The tufted carpet in Britain: Its rise from bottom of the pile. Journal
of design history, 7(3), 205-21
• Seyf, A. (1992). The carpet trade and economy of Iran. British Institute of Persian
Studies, (9), 23-29.
• Singh, S. (1979). Organization of the carpet industry of Bhadohi. Economic and
Political Weekly, 14(21), 69-71.
• Sinha, S. (1982). India and the international market in hand-knotted carpets. Economic
and political weekly, 17(48), 129-144.
• Sinha, S. (1989). Development impact of silk production: A wealth of opportunities.
Economic and Political Weekly, 24(31), 157-163
• Shirma, S.K. (2013). Growth of handmade carpet industry. Carpet council news, 5(11),
20.
• Shirma, S.K. (2013). Country-wise export of handmade carpets. Carpet council news.
5(11), 17.
• https://en.wikipedia.org/wiki/Carpet#Types
• http://www.indiancarpets.com/
• https://www.financialexpress.com/market/stock-market/anisa-carpets-ltd-stock-
price/financials-balance-sheet/

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ANNEXURE

Fig 1.1… Map showing the states where carpet industry is prevalent……………………….30

Fig 1.2… Total export in US$ for the past 5 years……………………………………………32

Fig 1.3… Consumption of Indian Carpets in terms of percentage by various countries……..33

Tab 1.1… Various accounts of PF challan……………………………………………………21

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