Anu 1 of 30

Karnatak Law Society’s

Gogte Institute of Technology

(Approved by AICTE, Permanently Affiliated and Autonomous Institution under VTU
Belagavi)

Department of MBA
“Jnana Ganga”, Udyambag, Belagavi – 590008, Karnataka, India

SUMMER INTERNSHIP PROGRAM

Financial Planning and Analysis

Gati Limited Company, Hyderabad.

Submitted by

Swati Gavada

USN:2GI21BA101

Academic year 2022-2023

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Karnatak Law Society’s

Gogte Institute of Technology

(Approved by AICTE, Permanently Affiliated and Autonomous Institution under VTU Belagavi)
Department of MBA

“Jnana Ganga”, Udyambag, Belgavi- 5900008, Karnataka, India

SUMMER INTERNSHIP PROGRAM

On

Financial planning and analysis

Submitted by

Swati Gavada

USN:2GI21BA101

Name of the Internal Supervisor:

Prof. Nupur Veshne

KLS GIT

Academic Year: 2022-23

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BONAFIDE CERTIFICATE

This is to certify that Swati A Gavada bearing USN 2GI21BA101., is a bonafide student of
Department of MBA of KLS Gogte Institute of Technology, Department of MBA, batch of 2020-22
affiliated to Visvesvaraya Technological University (VTU), Belagavi. The SIP is undertaken by him/her
for a period of 8 weeks under the supervision of Nupure Veshne in partial fulfillment of the requirements
for the award of the degree of MBA of VTU Belagavi.

Signature of the Internal Guide Signature of HOD Signature of the Principle

DECLARATION

I Swati A Gavada, hereby declare that the summer internship project is prepared by me under the
guidance of Prof. Nupure Veshne.
I also declare that this summer internship project is submitted adhering to the institute and
university regulations towards the partial fulfillment for the award of the degree of Master of Business
Administration by VTU Belagavi.
I have undertaken the SIP for a period of 8 weeks. I further declare that this report is based on the
original study undertaken by me and has not been submitted for the award of any degree from any other
University/Institution

Place: Signature of the Student

Date:

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ACKNOWLEDGEMENT
No work is said to be complete without thanking the people who have helped me in perceiving
any job. So this acknowledgement is for those people who have played their role in completion of my
Summer Internship Program. The project would not have been completed without the kind co-operation
and help of certain individuals to whom I owe this heartfelt gratitude.

I extend my sincere thanks to my beloved Principal Dr. Jayant K. Kittur, Gogte Institute of
Technology, Belagavi.

I also dedicate my sincere thanks to Dr. Krishna Shekhar Lal Das, Dean, Department of
MBA, Gogte Institute of Technology, Belagavi.

I would like to express my sincere gratitude to my (internal guide)for his/her valuable guidance
in the completion of this project successfully.

I also express thanks to all the faculty members for their valuable suggestions, encouragements,
guidance and support. I would also like to thank all the respondents for extending the required timely
help. I would like to thank my family who were a constant source of encouragement and provided me
with the necessary resources. I would lastly thank non-teaching staff and all my friends who were
directly and indirectly involved with their help and guidance in successful completion of my study.

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CHAPTER NUMBER:1

Industry Or Company Profile:

Gati Limited is one of India's chief Express Conveyance and Inventory network the executive
organizations, focused on pleasing clients with consistent, start to finish strategies arrangements
supported by future- prepared advanced apparatuses and innovation.

Established in 1989, with famous aptitude in surface and air express as well as redone answers for retail
and MSME areas, Gati provides organizations with the additional benefit of an unequaled organization.
Gati's inclusion traverses the entire of India, reinforcing organizations with admittance to in excess of
19,800 PIN Codes and 735 of India's 739 locale.

After decisively procuring Gati in 2020, Allcargo Operations is currently the advertiser and the single
biggest investor of Gati with over half possession, trailed by Japan's Kintetsu World Express (KWE) with
around 3.5% offers in the organization. Gati-Kintetsu Express Confidential Restricted (Gati-KWE) is a
Joint Endeavor among Gati and KWE where KWE holds 30% stake and Gati holds the excess 70%.

As a component of Allcargo Gathering, Gati is extraordinarily prepared to offer genuinely start to finish
coordinated strategies with administrations across different verticals that incorporate Worldwide
Inventory network, CFS-ICD, Agreement Operations, Strategies Parks, Crane Rentals, and the sky is the
limit from there. Further, organizations trying to expand their viewpoints can take advantage of a
worldwide organization working in 180 nations.

With a computerized first methodology, plenty of instruments like advanced installment modes, endeavor
wide ERP frameworks, Gati Genie chatbot on WhatsApp, and so forth. Gati looks forward to pleasing
clients and empowering quick, protected and ideal conveyances, each and every time.

As a dependable corporate resident, Gati is aware of its natural effect and submits to its guiding principle
of 'Care for Climate and Society' to stick to top notch Ecological Social and Administration (ESG)
guidelines and add to a superior world.

VISION:

Innovation in action to lead the market in serving stakeholders.

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MISSION:

Always be proactive and customer-focused. Create global, well-regulated, technologically empowered

logistics wizardry.

Values

1. Purposeful Entrepreneurship

As the company is the collective soul of its employees, adopt the owner's perspective. Refuse to accept "it
cannot be done" as an explanation. Take action to push boundaries. Be resourceful, proactive in your
pursuit of goals, frugal, and driven by a desire for business greatness.

2. Focus on the customer

Recognize that our consumers are what make us what we are. Obsess over pleasing clients and other
stakeholders. To create the best client experiences, as our vision and mission urge, we must go to any
lengths.

3. Creativity and Application

Strive constantly to undermine traditional wisdom and promote innovation with fresh viewpoints from the
younger generation and futuristic outlooks. Delivering world-class solutions utilising IT, digital
platforms, and future technologies will maximise effect. Be nimble and adaptable, and pioneer the
disruption.

4. Working together

Create a team of people who are incredibly skilled and dedicated to helping you establish companies that
provide the most value to all of your stakeholders while upholding the greatest standards of business
ethics, humility, and governance.

5. Concern for society and the environment

Always strive to minimise your impact on the environment, and support academic research that addresses
issues of sustainability and the environment. Develop a culture of empathy among the employees of the

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company for our coworkers and the less fortunate people in our community. Be ethical corporate citizens
and help improve society, the nation, and the Be nimble and adaptable, and pioneer the disruption.

Award and Recognition of Company:

Gati has won a Master of Risk in Cyber Security at the eighth edition of The India Risk Management
Awards in the mid-cap category.

ORIGIN AND EVOLUTION OF THE COMPANY:

Recent history:

Beginning in 1989, Gati began offering same-day courier, distribution, and courier management services
between Chennai and Madurai. Within the same year, the company expanded to Hyderabad, Bangalore
(now Bengaluru), Chennai, and Hosur.

It started displaying the delivery date on the docket for the first time in India and introduced a money-
back guarantee. In India, Gati Ltd. is a pioneer and industry titan in the fields of express distribution and
supply chain solutions. The business introduced numerous ground-breaking programmes in the logistics
industry. The company's main line of business is the transportation of cargo using multimodal transport
models, such as road, rail, air, and sea. Additionally, they provide specialist logistics services. On April
25, 1995, Gati Ltd. was established as Gati Corporation Ltd. The business started operating on May 5,
1995. With effect from April 1, 1996, the Gati Desk to Desk Cargo and Shipping division of Transport
Corporation of India Ltd was transferred to Gati Corporation Ltd. With effect from October 24, 2000, the
company's name was changed from Gati Corporation to Gati Ltd. In order to provide consumers with a
dual advantage of efficiency and cost-effectiveness, the firm formed a strategic alliance with Indian
Airlines on January 1st, 1996. The idea of third party logistics (3PL), which provided comprehensive
logistics and supply chain management solutions, was first introduced in 1997. By partnering with the
postal departments of Bhutan and the Maldives in 1999, the company entered into the international cargo
segment. In collaboration with Indian Railway, the business introduced the first high-tech, fast cargo train
between Mumbai and Kolkata in November 2001. They started running a second Millennium Parcel
Express between Mumbai and New Delhi in July 2002. During the year 2002-03 the company signed an
agreement with different service providers in Singapore Hong Kong Europe and US markets to support inbound as well
as outbound movement of Cargo and documents to these locations. During the year 2003-04 the company launched a
new product namely world wide Saver to cater the bulk mailing requirements of customers serving them to various
international destinations. The company introduced gati@web in July 2003, which included the fully customised
software Gati Enterprise Management System, which covered all of the company's operations. Modern Express
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Distribution Centers were opened by the company in 2004–2005 in

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Kolkata, Jaipur, Pondicherry, Gurgaon, Ludhiana, and Indore. In order to expedite the air delivery of time-sensitive
consignments at a number of important Indian airports, the company entered into a unique partnership with Indian
Airlines in September 2004. As a result, Gati Gold and Gati Silver services were introduced. In November 2004 they set
up a Regional Office at Singapore. Also they launched Gati Saver in the small package segment in the same month. In
February 2005 the company's Coast-to-Coast launched a direct service between Chennai and Yangon in Myanmar and in
March 2005 they set up a new office at Port Blair which will significantly boost its operations in the Chennai-Port Blair
sector. In June 2005 the company set up an office at Beijing as a gateway for their India-centric express distribution
warehousing and inventory management business in China. The company established its first wholly owned subsidiary,
Gati Holdings Ltd, in Mauritius during the 2005–2006 fiscal year. This subsidiary later established three step-down
subsidiaries, Gati Asia Pacific Pte Ltd in Singapore, Gati Hongkong Ltd in Hong Kong, and Gati China Holdings Ltd in
Mauritius. Additionally, the business boosted its Coast to branch by acquiring two new ships: the "Clarissa" on time
charter and the "Gati Zipp" on outright acquisition. The corporation separated its Fuel Station Division from its primary
business and transferred it to wholly owned subsidiaries. In May 2006, the business established four subsidiary
businesses for this purpose: Trymbak Commercial & Trading Pvt Ltd, Newatia Commercial & Trading Pvt Ltd, Ocimum
Commercial & Trading Pvt Ltd, and Sumeru Commercial & Trading Pvt Ltd. In order to house all the servers and
storage, the business built a brand-new, cutting-edge data centre at its head office in Secunderabad during the 2006–2007
fiscal year. By opening "Cafe Delivere," a unique retail location launched in Hyderabad and Pune, they have entered the
retail business. For the transportation of packages by rail and road, the business and China Railway Express International
Logistics Company signed a memorandum of understanding in January 2007. The collaboration will offer complete
distribution solutions from any location in India to any location in China and vice versa. Gati Asia-Pacific began
operating its airfreight facility in the Changi Air Cargo Complex FTZ in February 2007. In order to build a cooperative
courier service, the firm and Air India entered into a contract in April 2007. Through this agreement, consumers will
receive a single point of contact and affordable courier services. The business inaugurated a Mega Mechantronic Express
Distribution Center in Bangalore in June 2007. The business established Gati Skyways Ltd and Gati Import Export
Trading Ltd as completely owned subsidiaries in the 2007–2008 fiscal year. Additionally, they established Gati Japan
Ltd as a step-down subsidiary in Japan. During the year, the company purchased 97.24% of Zen Cargo Movers Pvt Ltd's
equity share capital, which is involved in the clearing house industry. They formed a Strategic Sales Alliance with the
European General Logistics System (GLS). This provided the business with a crucial chance to enter the European
Market. For a total of Rs 19.91 crore, the business acquired 73.72% of the equity share capital of Kausar India Ltd, a
company listed on the Ludhiana and Delhi Stock Exchanges, in December 2007. Perishable commodities were being
transported in cold trucks by Kausar India Ltd. In Hyderabad, the business intends to launch a second Mega
Mechantronic Express Distribution Center. Additional Logistics Facilities are also being built in the Northern, Eastern,
Central, Western, and Southern Zones.

1996 to 2000:

Introduced 3PL in India

Started providing SAARC countries with multimodal services, courier services, and international

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operations.

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2001–2008: Development and enlargement:

Vehicle Tracking System was introduced, a centralised computer system that can control persons, parcels,
and cars in real time.

2009-2012:

A consolidated call centre was established in Nagpur.

In order to create Gati-KWE, a subsidiary of Gati, they entered into a joint venture agreement with
Kintetsu World Express for its express distribution and supply chain businesses.

2020:

Strategic acquisition by Allcargo Logistics and Gati's transition into An Allcargo Company.

Formally unveiled its e-commerce logistics services.

In India, Gati Ltd. is a pioneer and industry titan in the fields of express distribution and supply chain
solutions. The business introduced numerous ground-breaking programmes in the logistics industry. The
company's main line of business is the transportation of cargo using multimodal transport models, such as
road, rail, air, and sea. Additionally, they provide specialist logistics services.

SUBSIDIARY COMPANY OF GATI LIMITED:

Gati KWE

Bike Express: Now Wherever you shift, make sure your beloved bike comes with you. Gati’s BIKE
EXPRESS is a specialized service to transport two-wheelers across the length & breadth of the country -
safely, quickly, reliably.

LAABH:

"Laabh" was specifically designed to satisfy all of the normal shipping needs of both individuals and
small and medium-sized businesses. This service is intended for moving NONCOMMERCIAL homes,
furnishings, equipment, etc.

For up to 20 kg, this value package's reduced shipping fee is Rs. 540*. The fact that shipping is available
for a single price throughout India is the best aspect.
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Through Vehicle Tracking Systems, emails, and SMS updates, Gati also gives in-transit visibility and
real-time information on the movement of the consignment.

Gati also provides inexpensive, simple-to-ship packaging.

10 Kg Box is offered for Rs. 40.

20 Kg Box is offered for Rs. 70.

SURFACE:

Lite was created for small non-commercial household items and business entities shipping presents, print
materials, and other similar tiny cargos in recognition of the fact that each customer has specific
requirements.

For a single delivery weighing up to 1 kg, 2 kg, or 3 kg, Surface - Lite is available at a flexible shipping
fee of Rs 100, Rs 150, and Rs 200. Our extensive network and more than three decades of experience in
express distribution and supply chain solutions serve as a foundation for this service.

Weight Charges
1 Kg Rs 100
2 Kgs Rs 150
3 Kgs Rs 200

PREMIUM FLEXILITE:

Gati is aware that time-bound deliveries are currently necessary. An Air Express service called Premium
Flexilite is not only quick, but also reasonably priced. The distinctive quality of Premium Flexilite is that
it offers all-in-freight shipping for smaller packages. Gati's unrivalled multimodal network also provides
seamless connectivity to carry your shipment the final mile.

This service enables delivery within 24 hours/48 hours/more than 48 hours (Multimodal) to all metro &
non metro locations, whether it be door-to-door delivery of your time-bound documents and packages or
the need to send time-sensitive cargo throughout India.

AIR EXPRESS:

Gati thinks that every work of art embodies a great deal of effort, emotion, and love. Gati offers a
specific service called Art Express that is designed to deliver artwork with the highest care.

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Our staff receives intensive training on how to handle, package, and ship priceless works of art. Gati's art
express is the perfect option for private collectors, antique dealers, galleries, corporate buyers, fine arts
specialists, interior designers, and artists getting ready for shows thanks to its experience, unequalled
reach, and cutting-edge infrastructure.

With our online track & trace facility, you can always be informed of the progress of your shipment and
receive real-time delivery information. Gati's fleet of 4,000 tamper-proof on-road vehicles allows us to
travel to all four corners of the nation.

STUDENT EXPRESS:

Student Express is a service that has been specifically created for students moving to or from the dorm.
Any student looking for the most reasonable and dependable service for their belongings, including
books, musical instruments, or even bicycles, has the ideal choice here. We aid in the secure packaging,
wrapping, and delivery of them to the desired location.

Need more? The entire student population is eligible for an exceptional 15% discount from us!

Contact us at marketingcommunication@gati.com if you'd like to have us set up a kiosk near to your

hostel for mass student pickups and deliveries.

STUDENT EXPRESS
Air 290/first kg & 90/every additional kg
(NATIONAL)

STUDENT EXPRESS
Surface 580/20kg(min) & 25/additional kg
(NATIONAL)

STUDENT EXPRESS
Surface 440/20kg(min) & 18/additional kg
(WITHIN ZONE)

GATI KAUSAR:

Pharmaceutical:

THE CUSTOMER SERVICE THAT YOUR FORMULA DESERVES.

We adhere to GMP and GDP standards and are overseen by a qualified quality expert using cutting-edge
temperature monitoring equipment to ensure that your items are secure until they are placed on the
shelf. We have the capability and fleet to execute orders for hospitals directly.

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A Comprehensive Approach to the Fragmented Industry's Cold Chain

Our integrated cold chain's 180 multi-temperature vans connect approximately 600 regions. In
comparison to the current fragmented chain, this guarantees faster delivery and better scalability. For
pharmaceutical supplies, we provide separate chambers and docks as well as room to store even dry
goods. Our clients would have access to temperature information and control across the supply chain.

Dairy:

If a car breaks down en route, we promise troubleshooting before the temperature drops by 2°C. The
seasoned quality staff cross-checks for any type of contamination, packing damage, or texture damage in
our warehouses, which have 100% uninterrupted power backup.

Our experts provide precise demand forecasts, 100% vehicle placement assurance, and storage space for
seasonal traffic patterns. We guarantee that the texture of products is maintained from the manufacturing
point to the retail point with Gati Kausar's integrated SCM solutions, with visibility at every level. A
variety of products, including ice cream, butter, cheese, margarine, milk powder, and cream, can be
picked up, stored, and delivered via our network.

Processed food:

To preserve the goods and prevent contamination, we make sure that the products are packaged properly
and have installed multiple temperature chambers in our vehicles and storage facilities. To prevent
temperature abuse, there is constant temperature monitoring

To track and stop temperature changes of the goods along the travel, temperature monitoring sensors are
fitted. We make sure that products are packaged properly to prevent infections like Listeria, E. coli, and
Salmonella from increasing health hazards and leaving products with an unpleasant smell, shrinking,
rotting, and texture changes. If something goes wrong during the process, backup vehicles and blast
freezing are also used.

Gati Import Export Trading Ltd:

The Public Limited Unlisted firm Gati Import Export Trading Ltd. was established on February 20, 2008,
and it has its registered office in Telangana, India. The CIN for the company is
U60232TG2008PLC057692, and the registration number is 057692. The company's current business
activities include retail sales in non-specialized establishments with a focus on food, beverages, or
cigarettes.

Gati Kargo Express (Shanghai)co. Ltd:

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The company Gati Cargo Express (Shanghai) Co., Ltd. works in the freight transportation arrangements
sector. GATICN was established in 2006 as GATI LTD's international division. With the rapid network
development, it evolved into a hub for logistical solutions between China, India, the Middle East, and the
USA. pioneered in supply chain and express. Gati Limited has pioneered in the Express Distribution and
Supply Chain Solutions in India.

Avvashya CCI Logistics Private Limited:

The warehouse & CCFF section of CCI Logistics Ltd., the Contract Logistics Division of Allcargo
Logistics, and Hindustan Cargo Ltd. have joined forces to become Avvashya CCI Logistics Private
Limited.

A well-designed supply chain can aid in boosting a company's operational efficiency by lowering costs,
making better use of fixed assets, making precise deliveries, and facilitating quick turnaround.

At Avvashya CCI, we recognise the distinctive needs of our clients and tailor our services to meet those
demands.

We provide you with best-in-class services that address your end-to-end logistics needs, backed by a solid
infrastructure that enables swift scaling to meet seasonal demand and experienced guidance.

Allcargo Inland Park Private Limited:

Founded on December 5, 2007, Allcargo Inland Park Private Limited is a private company. It is registered
with the Registrar of Companies in Mumbai and is categorised as a Non-Government Company. Its paid-
up capital is Rs. 240,500,000, while its authorised share capital is Rs. 250,000,000. It include supporting
and auxiliary transportation activities as well as travel agency operations.

The most recent Annual General Meeting (AGM) of Allcargo Inland Park Private Limited took place on
November 30, 2021, and its most recent balance sheet was submitted on March 31, 2021, according to
MCA data.

Prabhakar Poovappa Shetty, Arathi Shetty, and Shashi Kiran Janardhan Shetty are the directors of
Allcargo Inland Park Private Limited.

COMPTECH SOLUTIONS PRIVATE LIMITED:

Founded on April 25, 1996, Comptech Solutions Private Limited is a private company. It is registered
with the Registrar of Companies in Delhi and is categorised as a Non-Government Company. Its paid-up

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capital is Rs. 14,652,220, and its authorised share capital is Rs. 14,660,000. The processing of data is
involved. All forms of data processing and tabulation are included in this. Provision of such services on a
fee-based time-sharing or hourly basis, as well as management or operation of other people's data
processing facilities on a fee-based time-sharing basis.

The most recent Annual General Meeting (AGM) of Comptech Solutions Private Limited took place on
November 13, 2021, and its most recent balance statement was submitted on March 31, 2021, according
to MCA data.

MAJOR PLAYER IN THE INDUSTRY:

N ame of the company Last Price Market Cap. Sales Turnover Net Profit Total Assets
Container Corp 765.00 46,611.02 7,594.45 1,062.34 10,777.30
CI Express 1,874.15 7,223.10 1,081.47 128.85 537.18
ransport Corp 659.15 5,109.83 2,904.56 267.43 1,355.23
V RL Logistics 556.15 4,913.22 2,393.65 160.11 795.12
M ahindra Logist 498.95 3,590.79 3,631.08 24.44 574.86
G ateway Distri 68.95 3,445.04 1,360.24 224.91 2,092.46

Porter’s Five Forces Model:

POTENTIAL ENTRANTS

SUPPIERS Industry Competitors

Buyers

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Michael Porter created this framework as a means of comprehending the dynamics of an industry sector.
The fundamental idea here is one of industrial "attractiveness"—how potentially lucrative is the sector?
This will rely on how fiercely the industry is competitive, which is defined by the relative power of the
"five competing forces."

Threat of entrance, Threat of Substitution, Buyer and Seller Bargaining Power, Supplier and Buyer and
Seller Bargaining Power, and Rivalry among Current Competition in an industry extends far beyond the
established companies, as demonstrated by the competitors. Customers, suppliers, replacements, and
potential competitors are all "competitors" to businesses in the industry and may or may not be more
noticeable depending on the specifics. One could refer to competition in this wide meaning as "extended
rivalry."

The potency of each competitive force depends on a number of crucial economic and technical aspects of
a sector. Each of these will be covered in turn.

Threat of entry:

Newcomers to an industry bring with them fresh capabilities, the ambition to increase their market share,
and frequently sizable resources. Profitability can be affected by incumbents' expenses being raised or
their prices being bid down as a result. As Philip Morris did with Miller Beer, businesses diversifying by
acquiring businesses in the industry from other marketplaces frequently utilise their resources to create a
commotion. Therefore, even though no brand-new company is started, entry into a sector with the
intention of strengthening market position should likely be considered. The threat of entry is low if
obstacles are high and/or the newcomer can anticipate savage response from established rivals.

Competitive Strategy (1980): Techniques for Analysing Industries and Competitors, by Michael Porter,
Free Press.

The threat of entry into a market depends on the entry barriers that are in place as well as the response
that the entrant can anticipate from the current rivals.

Barriers to entry:

There are six major sources of Barriers to entry:

 Economies of scale
 Product Differentiation
 Capital requirements
 Switching Costs
 Access to distribution channels

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 Cost disadvantages independent of scale

SWOC Analysis:

Probably the most popular type of business analysis is this one. Once more, you should apply the
questions to your rival's business rather than your own. Due to its apparent simplicity, SWOC is
frequently employed. It asks you to consider the opportunities and dangers in your environment before
analysing a company's capacity to seize those opportunities and avoid those threats by examining its own
internal strengths and weaknesses.

Opportunities include new markets that may have recently undergone liberalisation or deregulation,
freshly discovered customer requirements or wants, and new technologies, goods, or services. Threats
may include rival activity, a shift in consumer perception or needs, a new government policy, rising
expenses, or even labour force action.

Strengths and weaknesses may be tied to organisational processes and systems or they may be related to
specific functional areas (e.g., are we strong at marketing, R&D, etc.). They may also be related to the
organization's people, material, or financial resources, as well as less obvious traits like its culture and
ideals or possibly its capacity to react rapidly and ingeniously to a fresh issue. The idea of "distinctive
capabilities" that was previously discussed might also aid in your analysis of a competitor's advantages
and disadvantages.

If the following guidelines are followed, SWOC is a straightforward but effective tool:

Instead of starting with the internal strengths and weaknesses, consider the external environment (the
opportunities and dangers). This will encourage innovation and objectivity.

Use SWOC to summarise all the analytical frameworks you've already used in one document. PEST and
Porter, for instance, fall under the titles of opportunities and threats, and key success factors will list some
of your most important strengths and shortcomings.

make sure you avoid creating four different lists. Keep asking the "so what" questions and return to Fig.
4's SWOT model for guidance.

Consider how the rival in question might use strengths to defend against threats, match strengths to
opportunities, and turn weaknesses into strengths. This can be a dynamic model that will assist you in
identifying the main strategic challenges a competitor is currently facing.

SWOC ANALYSIS USED TO GENERATE STRATEGIES

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No organisation operates in a vacuum; a variety of environmental influences, including but not limited to
competitors, affect an organization's capacity to prosper. A crucial component of developing and putting
into practise a business strategy is monitoring and analysing the competition.

The competitive landscape of today is getting more complicated. The fact that many organisations today
must contend with competition coming from unanticipated and novel sources further highlights the
critical need for thorough competitive analysis. To give managers the information they require, more and
more organisations are establishing formal competition analysis systems and functions.

This learning resource provides an overview of competitor analysis methods, information sources, and
organisational applications. There is no one "correct way" to competitor analysis; instead, you should
pick the strategy that seems to make the most sense for your business and circumstances. The amount of
resources you can allocate to competitor analysis within your company will be a key element. In any
case, it is certainly crucial to think through your information collection strategy before you start obtaining
data.

The learning guide on marketing strategy also covers some of the strategies mentioned in this learning
guide.

FUTURE GROWTH AND PROSPECTS OF THE INDUSTRY:

As has already been mentioned, one of the drawbacks of competition analysis is the tendency to focus on
the past rather than the present or the future and to consider probable future movements that your
opponent might do. That it trends toward the present or the future is what you need. You must carry out
this action; it helps to imagine yourself as the rival. To create an effective framework, one must consider
the objectives, presumptions, existing tactics, and capabilities of the rival. Considering these four
considerations, consider the most likely actions or reactions.

 Known and unknown financial objectives

 Perspective on risk
 Values and convictions
 Organisational design
 Incentive and control mechanisms
 Accounting procedures and standards
 Managerial approach
 Proportion of coordination
 Contract obligations
 The parent company of the company
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 Role of the corporate organisation in that

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Assumptions:

linkages to a certain product, market, or technology any significant cultural or national influences
opinions about its current position

ideas that are "blind spots" or "sacred cows" for the future

believe in conventional knowledge demonstration of original or unconventional thought use of advisors or

consultants, internal or external top managers' backgrounds in terms of function, organisation, education,
and nationality.

current tactics

recent tactical shifts: were they clear or unclear? reliable or unpredictable?

Lowest cost, most distinctive approach in recent senior manager hiring, or focus?

diversification level.

Capabilities:

John Kay's idea of distinctive skills might be helpful in this situation. Unique capabilities are
characteristics of a company's position that provide it an advantage over rivals. These characteristics are
typically based on connections, reputation, core competencies, or strategic assets.

Relationships might be internal or external, with employees, subsidiaries, suppliers, customers,

distributors, networks, or regulators, among others.

When there is a premium for perceived high quality or if repeat business is probable, reputation is more
crucial. It may be challenging to transfer because it typically only applies to a certain market.

Core competencies are technologies or critical abilities that can be applied to a variety of markets, goods,
or services, and which give a company a competitive advantage by delivering advantages to customers
and being challenging to duplicate.

Advantages based on a company's position are known as strategic assets, and include things like market
domination, distinctive and protected products or services, location, sunk costs, or an incumbent status (
ie, being first in a particular market).

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CHAPTER 2

Theoretical background of the study

Meaning Of Financial Planning and Analysis:

A company's important business decisions and general financial health are supported by a collection of
planning, forecasting, budgeting, and analytical processes known as financial planning and analysis
(FP&A). Finance teams can bring together financial data, operational data, and external data (such market
trends) in one location with the use of a corporate FP&A system. Finance is able to examine it all and
unearth the in-depth information required to make more lucrative decisions and plan for the future.

FP&A tools can help for financial Professionals:

 Give corporate executives quick, precise financial analysis and guidance.

 Determine how various decisions may affect cash flow and the bottom line.
 Analyse and keep an eye on the investments and overall financial health of the business.
 Create and keep up-to-date comprehensive financial models and projections.
 Make flexible, integrated financial strategies that take different scenarios into account.
 Corporate strategy execution and performance tracking.
 Determine and evaluate potential new sources of income and risk.
 And a lot more.

A larger financial management system, which incorporates capability for accounting, revenue and cash
flow management, governance, risk and compliance (GRC), and other fundamental financial operations,
often includes financial planning and analysis. Alternatively, FP&A might be a component of a stand-
alone analytics solution that connects to other enterprise resource planning (ERP) systems. In any case, to
meet the financial difficulties of a world that is changing quickly, FP&A has evolved from simple
spreadsheets and manual computations to contemporary, cloud-based systems that incorporate artificial
intelligence (AI), automation, and advanced analytics.

The FP&A department is moving further toward the future. Using best practises, it focuses on why things
are happening as well as what is most likely to happen in the future rather than just what has happened or
is happening right now.

An FP&A director or analyst should collaborate closely with multiple business units across the entire
organisation and serve as a strategic counsel to the CFO or controller. By discovering opportunities
for

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efficiency, savings, and investment, these experts assist leaders of the finance department in maintaining
budgets and reducing unforeseen expenditures.

In recent years, FP&A's position has changed. FP&A analysts previously concentrated on documenting
and reporting financial results and using past financial data to project future sales and earnings. However,
the abundance of data now available and the tools that assist analysts use it have enabled FP&A to shift
from more reactive work to offering incisive forecasts and analytics that directly affect the course of the
organisation.

FP&A differs from accounting in that it concentrates on forward-looking data and makes an effort to
predict future outcomes, whereas accounting looks at previous and historical data to ascertain a
company's current financial situation.

Basic Steps in FP&A:

Data gathering and analysis are continual cycles in the FP&A process. The procedure becomes
increasingly difficult as organisations expand into new areas, as well as during periods of market
turbulence and rapid change. There is a greater demand for data collection and analysis, which is why
many large and midsize businesses have established specialised FP&A sections inside their financial
departments. But the deposit increasing the complexity, At its core the FP&A Process includes the Same
Four basic steps.

1. Data collection & consideration

Gathering financial and operational data from ERP systems, data warehouses, and other
business solutions is the first step in the FP&A process. Additionally, information from
outside the company, such as larger demographic, economic, and market information, may
be gathered.

Once all the required information has been gathered, it must be combined, standardised,
and checked. This stage is crucial because accurate plans, projections, budgets, and
analyses all depend on the accuracy and completeness of the data they use. Businesses are
now turning to AI-powered solutions that can automate many of these operations because
it takes a lot of time.

2. Planning & Forecasting:

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In this step, FP&A analysts use the prepared data to produce financial forecasts that assess
the direction and future performance of the company. Sales predictions, cash flow
projections, and other financial forecasts are included. Models for financial forecasting are
also used to simulate the effects of many factors, test various hypotheses, and choose the
best course of action to achieve the desired results.

The Most commonly used financial planning Methods include:

Profit margin:

FP&A specialists frequently examine financial accounts to determine which product or service lines have
the best profit margins or make the largest contributions to net profit. The cost and income or profit made
by each department within the organisation may also be broken down. Assessing a company's
investments made with its working capital and looking for new investment possibilities are two more
common responsibilities of the FP&A team.

Predictive Planning:

With predictive planning, FP&A experts build a model using substantial historical performance data sets.
Then, future performance is forecasted using this time-series forecasting model. Planning tools are greatly
enhanced by predictive analytics, especially when it is combined with AI and machine learning in a single
solution.

Driver Based Planning:

Analysts use driver-based planning to determine a company's primary business drivers, or the factors that
are most crucial to its performance, and then develop a series of plans that mathematically illustrate how
the business drivers might be impacted by various variables.

In driver-based planning, analysts first identify the primary business drivers of a company—i.e., the
factors that are most crucial to its success—and then develop a series of plans that quantitatively illustrate
how the business drivers will be impacted by various variables.

Multi Scenario planning:

Today's firms are using scenario planning and analysis more and more. Analysts make predictions about
what might happen in the future when they plan for multiple scenarios. They forecast the effects and then
design a strategy for dealing with each likely eventuality.

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The financial and operational strategies required to accomplish the enterprise's broad strategic goals are
developed using these models and financial forecasts. The strategic plan was created by senior
management with support from FP&A and includes high-level goals for short- and long-term revenue and
net profitability.

Collaboration across departments is critical for all types of planning. It ensures plans take all data,
variables, and expertise into account – and it helps increase both accuracy and engagement. Collaboration
brings more validity to plans – and helps build consensus around them. This is also where xP&A comes
in, linking and synchronizing plans across departments so the business can eliminate silos and move as
one well-oiled machine.

3. Budgeting:

Based on the revenue from the strategic plan, FP&A experts estimate the costs necessary to carry out the
corporate plan during the budgeting stage. They then assign an expenditure budget as well as the
anticipated income and cash flow to each business unit or function. Corporate works closely with every
department before combining the pre-agreed budgets into a single master budget.

The annual business budget is often developed, with quarterly changes made as financial situations
evolve. However, many organisations have recently implemented continuous budgeting cycles that are
frequently updated with rolling estimates and predictions in order to better cope with turbulent market
situations. Zero-based budgeting, which prevents bloat and overspending by continuously determining
which expenses are required and which are not, has also been embraced by some firms.

4. Performance Monitoring analysis:

The FP&A teams continuously assess financial data and track performance, including sales, expenses,
profit, working capital, cash flow, and other KPIs, to advise the business and offer decision assistance. To
assist decision-makers in understanding a situation and taking thoughtful action, they respond to ad hoc
questions and transform data into a narrative, or "data tale."

TOOL REQUERED FOR FP&A

The main difficulty FP&A teams encounter is data collecting. According to the AFP poll, FP&A teams
spend 75% of their time obtaining and processing data, in part because many lack access to source
systems. They're still drowning in a sea of Excel spreadsheets that are prone to inaccuracy, frequently
process data slowly, and don't allow for much cooperation. Furthermore, a lot of top executives who

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should use FP&A insights to inform their strategy decisions lack confidence in the data or analysis to do
so.

Planning, budgeting, and forecasting teams who use spreadsheets to manage these processes find it
difficult to keep up with their expanding workload. The tasks of FP&A experts are made easier while
their value is increased by a planning and budgeting system that gets real-time data from the ERP and
saves all this information in one, accessible place.

FP&A can spend more time on analysis and report creation if it spends less time looking for and
gathering data, or sending emails. It is hardly surprising that the AFP poll found "much more likely"
adoption of automated reporting and data visualisation technologies among FP&A businesses that were
"highly or extremely effective." This leads to shorter planning cycles, more complex modelling, more
precise projections, and better predictive planning, all of which contribute to long-term success.

NetSuite Planning and Budgeting is integrated with NetSuite ERP, so it automatically pulls accurate, up-
to-the-minute information and eliminates the FP&A team's dependence on spreadsheets. Since all this
data is in one place and visible to everyone who needs it, there are no concerns about looking at
outdated data or reports. This accessibility boosts collaboration and accountability, making it easier to
get meaningful input and facilitating company-wide and departmental planning.

Features of the NetSuite Planning and Budgeting solution include revenue and expense modeling,
approval workflows and management reporting. The solution offers powerful predictive planning that
uses historical data and industry-specific statistical models to predict future results, improving the
accuracy of forecasts. Ultimately, NetSuite Planning and Budgeting enables FP&A team members
become the valuable business partners they should be.

The NetSuite Planning and Budgeting system has features including management reports, approval
workflows, and revenue and spend modelling. The system provides robust predictive planning that
predicts future outcomes using historical data and sector-specific statistical models, increasing forecast
accuracy. Finally, FP&A team members can become the valuable business partners they should be with
the help of NetSuite Planning and Budgeting.

THREE RULES OF FP&A TEAM:

Here are some typical titles and their associated tasks, though the job titles and roles of FP&A team
members will vary by company:

 Corporate financial analyst:

 Utilize financial models to forecast after analyzing financial facts.
 Keep track of sales, gross margin, and costs by cost centre for each business unit.

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 Create financial performance reports with the needs of leadership in mind.

 To guide the advised course of action, research and assess trends and forecasts.
 Establish guidelines for cost analyses in your policies and procedures.

FP&A Manager

 Create financial and strategic plans that span the short- to long-term in close collaboration with
the leadership team.
 To get a better understanding of the company's overall financial situation, analyze operational and
financial performance.
 To create their annual budgets and predictions, work with business unit leaders and evaluate
previous budgets.
 Create models to predict long-term growth, taking performance-impacting factors into account.
 Give a thorough analysis and commentary on a product's or department's performance.
 Inform senior management of the findings and suggestions that will result in increased
income, decreased costs, and more effective operations.

Director of FP&A /Vice president of FP&A:

 Be in charge of the procedure for creating financial models and statements, including
scenario planning.
 Establish procedures for financial budgeting, forecasting, and long-term planning on a drive for
more accurate and timely management reporting, and improve it.monthly, quarterly, and
annual basis.
 Determine the most important learnings and suggestions for senior management by analyzing the
financial performance.
 For unique initiatives, lead ad hoc financial modelling and reporting.
 Work together with IT and the rest of the organization to automate and optimise the forecasting
process.

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CHAPTER NUMER 3

Research Methodology

Need for the study:

Corporate financial planning and financial analyst specialists analyze all operational aspects of a company
using quantitative and qualitative methods in order to assess the company's progress toward attaining its
objectives and to chart out future objectives and plans. In order to forecast a firm's future financial results,
FP&A analysts look at market and industry trends, analyze previous company performance, and make an
effort to foresee challenges and prospective issues.

Financial planning and analysis (FP&A) specialists are in charge of a wide range of financial matters,
including income, costs, taxes, capital investments, and financial statements. Financial analysts are
tasked with studying, analyzing, and assessing the entirety of a corporation's financial activities as well as
forecasting the company's financial future, unlike accountants who are responsible for maintaining
records.

 Analyzing return on investment (ROI) and contrasting it with other ways the business could use its
cash flow to determine whether the company's current assets and investments are the best use of
its excess working capital (e.g., other possible investments, increased stock dividends, etc.)
 assessing the overall financial health of the company, especially through the use of important
financial parameters such the debt to equity ratio, the current ratio, and the interest coverage ratio.
 Identifying the product or product lines that contribute the most to the company's net earnings.
 figuring out which of the business's items or product lines contributes the most to its net profit.
 examining and assessing the cost-efficiency of every division of the business in light of the
proportion of financial resources each division uses.
 collaborating with other departments to develop budgets and combine them into a single
corporate budget.
 creating internal reports for upper management and assisting in decision-making.
 Creating, maintaining, and updating financial models and thorough future operations predictions
for the business.
 Making improvements moving ahead by comparing previous results to budgets and forecasts
and using variance analysis to explain performance disparities.

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 Taking into account chances for business growth or expansion. laying out growth strategies,
including investments and capital costs. creating financial estimates for the next three to
five years.

Objective of the study:

Scope of the study:

As the diversity and complexity of duties within the finance function have increased, a discipline has been
developed that is intended to serve as a link between the finance and business worlds in order to enhance
decision-making by utilizing data and technology. This has to do with financial planning and analysis, or
FP&A. The developing FP&A profession emerges from other finance activities' shadows to become a
distinct entity with its own mission, goals, organization, procedures, tools, and expertise. As a result,
graduates with degrees in finance, statistics, economics, or business, as well as finance experts from
related fields, may find interest in the promising but young field of FP&A analyst. The modern finance
department is built on the foundations of financial planning and analysis. The primary objective, or even
the mission, of the FP&A function—to support and drive the proper strategic decisions in the company—
is predetermined by access to a sufficient degree of detail and the simultaneous capacity to perceive the
large picture. This holds true in all conceivable economic circumstances: during periods of economic
expansion, FP&A takes part in setting business objectives, analyzing growth options, and evaluating

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market opportunities and risks; during periods of economic contraction, FP&A can contribute to
corrective action plans, cost-cutting, and other initiatives to maintain the company's financial health.

Research Design:

Data Collection Methods:

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Limitations of the Study:

1. Future is uncertain

Every strategy we develop is for future events. We are all aware that since the future is essentially
uncertain, no one can predict it. As a result, all of our financial plans are limited and affected by
unanticipated events. Under these conditions, planning for the future becomes less dependable.

2. Financial planning is expensive

A thorough financial strategy necessitates a significant time and resource commitment. Assessment of
high-quality data from reputable sources is necessary for financial planning. Proper research necessitates
time and commitment in order to manage sources and obtain information from them. Additionally, only a
professional and analysts can perform accurate forecasting and high-quality financial planning. This
makes it such that not everyone can create a successful financial strategy.

3. Availability of Data:

A thorough financial strategy necessitates a significant time and resource commitment. Assessment of
high-quality data from reputable sources is necessary for financial planning. Proper research necessitates
time and commitment in order to manage sources and obtain information from them. Additionally, only a
professional and analysts can perform accurate forecasting and high-quality financial planning. This
makes it such that not everyone can create a successful financial strategy.

3. Ever changing environment

Given its cost and time commitment, financial planning is not a common practise. However, the
environment in which the businesses operate is always changing. It is impossible to alter the financial
plan in response to a change in the business environment. Government rules and regulations, the
ecosystem of the supply chain, customer preferences, and other changes could all have a negative impact
on the plan. Financial planning so loses significance in such a dynamic setting.

4. Plan Rigidity:

The environment changes, but financial planning doesn't. This also implies that once a plan is created, it
is rigid forever. When adjustments are required, there is rigidity in the procedures and inflexibility.
Another drawback of financial planning is this.

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5. Coordination Problem:

Coordination with all other corporate departments is necessary for the financial planning to be put into
action. For effective execution and a successful outcome, all functions must be in alignment with the goal.
Even among company functions, uncertainty about financial planning causes disruptions in the process.

Literature Review:

1. Dheeraj Vaidya, CFA, FRM Ashish Kumar Srivastav

Financial planning and analysis (FP&A) is the process of budgeting, analysing, and forecasting
the financial data, which can help the organization to be aligned to its financial goals and also
support strategic business decisions of the company; it also helps an investor to know if the
company is stable and profitable enough for the investment.

2. S. Majumdar; D. Chattopadhyay

"Why we still need least-cost planning" in Power Technology, NY, Schenectady: Power
Technologies Inc., no. 82, July 1995.

3. R. Turvey and D. Anderson

"Electricity Economic: Essays and Case Studies": Electricity Development in Turkey - A Case Study
Using Linear Programming, Baltimore: Johns Hopkins University Press, 1977.

4.J.S. Rogers and J.G. Rowse:

"Canadian interregional electricity trade: analyzing the gains from system integration during 1990"
in Energy Economics, pp. 105-118, April 1989.

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5.D. Gately:

Investment planning for the electric power industry: a mixed integer programming approach with
application to southern India, 1977.

R.M. Sawey and D.C. Zinn

"A mathematical model for long range expansion planning of generation and transmission in electric
utility systems", IEEE Trans. on Power Apparatuc and Systems, vol. PAS-96, no. 2, pp. 657-666,
1977

6. Yasser Alhenawi

We examine the relationship between financial knowledge and long-

term financial planning behavior. This analysis is important in light of the
recent financial crisis and the current level of economic uncertainty.

7. khaled Elkhal

While AI has been shown to offer a number of advantages when it comes to data
analysis and delivering insight for investment plan creation, it lacks the emotional
intelligence required to meet more complicated investing needs. The privacy and
security of clients is another issue that has developed as a result of the usage of
artificial intelligence in financial planning.

8. Garzia, Miriana (2021)

The participants consisted of finance personnel and CFOs working in local

iGaming companies. Findings: This study shows that while not all companies
have a formal FP&A in place, all companies perform such function in one way or
another. All agree that it looks at past and current trends to aid companies to gain
a future reality and better decision-making. Due to the volatile environment of the
iGaming industry, FP&A provides top management with the essential support
needed to remain agile.