AN ANALYSIS OF

ACCOUNTING MANAGEMENT PRACTICE

IN RAMAN NIRMAN SEWA

AN INTERNSIP REPORT

Submitted To:
Office of Dean
Faculty of Business and Accountancy Lincoln University
College, Malaysia

Submittedd By:
Utsav Ghimire
LC No: LC00015000684
Lincoln International College of Management & IT
Dhobidhara, Kathmandu
Nepal

In the partial fulfillment of the requirement for the degree

of
Bachelor of Business Administration (BBA)

Kathmandu, Nepal
April, 2023
CERTIFICATE FROM INDUSTRY
APPROVAL LETTER
 DECLARATION

I hereby declare that the internship report entitled “An Analysis of Accounting
Practice of Raman Nirman Sewa” submitted to Lincoln International College,
Faculty of Management, Lincoln University in partial fulfillment of the requirements
for the degree of Bachelor in Business Administration (BBA), is an original piece of
work done under the supervision of Mr. Babin paudel, coordinator of Lincoln
International College. This is my original work and I have not submitted it earlier
elsewhere.

……………………
Utsav Ghimire
LC No. LC00015000684
 ACKNOWLEDGEMENTS

I hereby present this internship report as a partial fulfillment of the requirement of my

BBA program. The main objective of this report is to gain an understanding of the
construction industry in Nepal, with a focus on Raman Nirman Sewa. This internship
has been a valuable and enlightening experience, made possible with the help and
support of various individuals.

First and foremost, I would like to express my sincere gratitude and respect to Mr.
Sabindra Maharjan, Principal of Lincoln International College, for providing me with
the opportunity to gain practical exposure in the construction industry. I am also
deeply grateful to my report supervisor, Mr. Babin Paudel, for his exceptional
guidance, monitoring, and constant encouragement throughout the internship.
Without his support and motivation, this report would not have been possible.

I would like to extend my appreciation to Mr. Sujan kafle, Account Head of Raman
Nirman Sewa, for sharing valuable information about the company which contributed
to the successful completion of this task. Furthermore, I would like to thank Mr.
Bishan Rokka, HR Manager of the company, for her helpful and supportive guidance
throughout my internship.

Finally, I would like to offer my heartfelt gratitude to my family members, friends,

seniors, and well-wishers for their encouragement and support throughout my
learning period, both directly and indirectly, in the completion of this report.

………………… …
Utsav Ghimire
LC No. LC00015000684
 TABLE OF CONTENTS

CERTIFICATE FROM INDUSTRY..........................................................................................ii

APPROVAL LETTER...............................................................................................................iii

DECLARATION........................................................................................................................iv

ACKNOWLEDGEMENTS.........................................................................................................v

TABLE OF CONTENTS..........................................................................................................vii

LIST OF TABLES...................................................................................................................viii

LIST OF FIGURES....................................................................................................................ix

ABBREVIATIONS....................................................................................................................ix

EXECUTIVE SUMMARY.........................................................................................................x

CHAPTER ONE..........................................................................................................................1

INTRODUCTION.......................................................................................................................2

1.1 Background of the Report..................................................................................................2

1.2 Objectives of the Internship...............................................................................................3

1.3 Methodology......................................................................................................................4

1.4 Organization Selection.......................................................................................................4

1.4.1 Placement....................................................................................................................5

1.4.2 Duration in the Organization......................................................................................5

1.4.3 Activities Performed...................................................................................................7

1.5 Limitations of the Internship..............................................................................................8

CHAPTER TWO.........................................................................................................................9

INTRODUCTION OF BANKING INDUSTRY......................................................................10

2.1 The Context of Construction Industry:............................................................................10

2.2 History of Construction Industry.....................................................................................11

2.3 History of Construction Industry in Nepal.......................................................................12

 2.4 Classification of Construction Industry in Nepal:...........................................................13

2.5 Concept of Construction Company..................................................................................13

2.6 Functions of Construction Industry.................................................................................14

2.7 Present Situation of Construction Industry......................................................................15

2.8 Challenges and Opportunities of Construction Industry..................................................16

CHAPTER THREE...................................................................................................................19

INTRODUCTION OF RAMAN NIRMAN SEWA..................................................................20

3.1 The Context of Raman Nirman Sewa..............................................................................20

3.2 Vision, Mission, Goal and Objectives of Civil Bank Ltd................................................21

3.3 Organization Structure of Raman Nirman Sewa.............................................................22

3.4 Board of Directors............................................................................................................23

3.5 Management Team...........................................................................................................23

3.6 Present Situation of Raman Nirman Sewa.......................................................................24

3.7 Product and Services of Raman Nirman Sewa................................................................25

3.8 Challenges and Opportunity of Raman Nirman Sewa:....................................................26

CHAPTER FOUR......................................................................................................................29

ANALYSIS OF ACTIVITIES DONE/ PROBLEM SOLVED.................................................30

4.1 Introduction of the Accounting Management..................................................................30

4.2 Task-Setting.....................................................................................................................30

4.3 Functions of the Account Department.............................................................................31

4.4 Role of Intern and Fitting in the Organization Structure.................................................32

4.5 Experience in the Internship Including Understanding of System, Processes and

Rationale................................................................................................................................34

4.6 Emergence/Occurrence of Issues, Problem or Challenges and how these

Problems were Solved/Addressed..........................................................................................35

4.7 Observed Gaps.................................................................................................................37

CHAPTER FIVE.......................................................................................................................39
CONCLUSION/ LESSON LEARNT AND RECOMMENDATIONS....................................40

5.1 Inferences Drawn.............................................................................................................40

5.2 Overall Experience, Learning and Knowledge Gained...................................................40

5.3 Recommendations............................................................................................................42

REFERENCES..........................................................................................................................44
 LIST OF TABLES

Table 1.4.1 Placement Details...................................................................................................5

Table 1.4.2 Duration of Internship.............................................................................................6
Table 3 Board of Directors......................................................................................................23
 LIST OF FIGURES

Table 1.4.1 Placement Details.........................................................................................5

Table 1.4.2 Duration of Internship..................................................................................6
Figure No.3.2: Organization Structure of Raman Nirman Sewa..................................22
Table 3 Board of Directors............................................................................................23
Figure No. 4.1: Divisions of Finance Department of Raman Nirman Sewa................31
 ABBREVIATIONS

BIM: Building Information Modelling

CFO Chief Financial Officer
GDP Gross Domestic Product
 EXECUTIVE SUMMARY

The Bachelor in Business Administration (BBA) program of Lincoln International

College affiliated to Lincoln University requires students to undertake an internship
in the 3th semester. The internship report requires students to undergo an extensive
internship program in an organization, which should provide an opportunity to
integrate and apply theory with management practice.

This internship report entitled “Accounting Management of Raman Nirman Sewa”

has been prepared to fulfill the partial requirement of the program of BBA of
Lincoln University. This report consists of the work experience gained during the 8
weeks of internship at Raman Nirman Sewa. It was such a great pleasure to work at
Raman Nirman Sewa. This experience gave me countless opportunities to gain
practical knowledge about banking functions and utilize conceptual knowledge in
specific areas of accounting management.

The internship was done at the Finance Department of Raman Nirman Sewa,
Chabhil, Kathmandu. Internship program was supervised by Mr. Babin Paudel,
college coordinator and Mr. Bishan Rokka, HR Manager of, Raman Nirman Sewa
and the internship supervisors. The major objective of the internship was work
exposure to gain practical knowledge and experience. The eight weeks internship at
Raman Nirman Sewa provided opportunities to analyze and solve real life problems
in the accounting department of a construction industry. In the short period, the
internee learnt lots of new things and gained experiences that will be applicable in
the career path in the banking sector. The internee received experience and
knowledge, means of interaction, observation, and work experience at Raman
Nirman Sewa. Here, the internee got a wonderful opportunity to enhance managerial
and interpersonal skills to tackle real life problems arising in organization and to
apply theoretical knowledge in the practical environment. The internship was very
productive and boosted the confidence level and interpersonal skills of the internee as
a whole. Internship also helped in developing contacts with different personnel of the
banking sector and with high value customers.
CHAPTER ONE

Ghimire, 1
 INTRODUCTION

1.1 Background of the Report

Our present economy is a constantly shifting force, with fluctuations occurring at
every turn. These changes necessitate an adaptation in the skills, talents, and
experiences required to participate in the cycle of growth. In the current job market,
the competition is fierce, making it a daunting challenge for fresh graduates. As a
result, practical, hands-on learning opportunities such as applied learning and
internships have become an indispensable aspect of the college experience for all
students.

It is no wonder, then, that applied learning and internship opportunities have become
such an integral part of the college experience for all students. By providing hands-
on, real-world experience in a professional setting, internships offer a unique
opportunity for students to hone their skills, build their networks, and gain valuable
insights into their chosen fields.

An internship program is an opportunity for students to apply their theoretical

knowledge into practical work experience in a professional setting. It provides a
platform for students to learn, gain insights into the industry, and develop skills that
will help them in their future careers (HR Help Board, 2023).

Internship programs are essential for students as they provide them with an
opportunity to acquire practical skills and knowledge in a particular field. It allows
them to explore the career path they have chosen and develop their professional
networks. Furthermore, it gives them an edge in the competitive job market by
providing relevant work experience and enhancing their resumes (Vinay, 2023).

I did my internship as a junior accountant at Raman Nirwan Sewa, a construction

company based in Kathmandu, Nepal. The company has been operating for over a
decade and is known for its exceptional services in the construction industry.

Ghimire, 2
Before starting my internship, I had expectations of learning the practical aspects of
accounting and finance in a real-world setting. I was looking forward to applying the
theoretical knowledge gained in the classroom to the practical aspects of accounting,
such as maintaining financial records, preparing financial statements, and managing
financial transactions. Additionally, I hoped to learn about the construction industry's
specific financial aspects and how to manage finances effectively within the industry.

1.2 Objectives of the Internship

The prime purpose of an internship program is to immerse oneself in the intricacies of
a specific profession or industry, enabling the acquisition of practical experience and
knowledge in a real-world setting.
General objectives of the internship program in a construction company as a junior
accountant:
 To fulfill the requirement of the degree program.
 To gain practical experience and understanding of real-life corporate
problems and practices.
 To distinguish between theoretical knowledge and practical practices.
 To develop and enhance skills necessary to solve real-life business issues
and compete in a business environment.
 To build and expand personal network in the corporate sector.

Specific objectives of the internship program in a construction company as a junior

accountant:
 To gain knowledge about accounting and finance in the construction
industry.
 To understand the financial management processes of a construction
company.
 To learn how to maintain financial records and prepare financial statements
for a construction company.
 To gain knowledge about the tax laws and regulations applicable to the
construction industry.
 To understand how to manage financial transactions and cash flows in a
construction company.
Ghimire, 3
  To learn how to analyze financial statements and make financial projections.
 To develop proficiency in accounting software and other relevant tools used
in the construction industry.

1.3 Methodology
Methodology is akin to a well-planned itinerary, outlining the sequential steps needed
to unravel a problem with specific objectives in mind. This section delves into the
varied techniques employed for data collection and analysis, providing a roadmap for
the journey ahead (Mohajan, 2017).

The methodology used in this internship report involves a descriptive design to

systematically present the facts and findings of the experience. The objectives of the
internship program were established, and the specific and general objectives were
identified.

The information and data required for the report were gathered from both primary and
secondary sources.
 For the primary sources, I observed the working desk of different staff in the
accounting department, had direct involvement in various activities of the
department, and conducted personal interviews, informal discussions, and
consultations with the staff involved in different accounting activities.
 For secondary sources, I referred to relevant literature, including accounting
software and tools, construction industry reports, and tax laws and regulations
applicable to the construction industry. Online resources, such as the
company's website and annual reports, were also utilized. Additionally,
publications, journals, and books were used to support the research conducted
during the internship.

1.4 Organization Selection

The selection of an organization sets the tone for an internship program's success. It's
the initial step where an internee chooses a suitable organization that meets their
requirements, ultimately leading to real-world exposure. To make the selection, a
comprehensive package including curriculum vitae, citizenship and a college
Ghimire, 4
recommendation letter was submitted to the Human Resource Department of several
Banks. Raman Nirwan Sewa, a fast-growing construction company in Nepal, came
highly recommended by my seniors and relatives, and thus, the necessary documents
were submitted to their HR Department. Upon review, the construction company
agreed to provide me with an opportunity to work as an internee, enabling me to learn
the practical aspects of accounting and finance in the construction industry.

1.4.1 Placement
For a span of 8 weeks, I had the privilege of being placed in the Finance Department,
where I worked closely under the guidance of a account head. This immersive
experience provided me with invaluable insight into the intricate workings of the
department's workflow, and helped me to develop a deeper understanding of the
accounting realm.

Table 1.4.1 Placement Details

Name of the Organization Raman Nirman Sewa

Address Chabhil, Kathmandu
Working Hour 9.30 am to 5.30 pm
Starting Date 13th January, 2023
Ending Date 13th March, 2023
Internship Duration 8 weeks
Internship Supervisor Mr. Babin Paudel

(Source: Based on activities performed)

1.4.2 Duration in the Organization

The duration of internship has been defined as eight weeks by Lincoln University.
Regarding the placement during the internship period, I was placed in Finance
Department as a junior accountant under the supervision of the account head and
account manager.

Ghimire, 5
 Table 1.4.2 Duration of Internship

Task Week
Description Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7 8

Orientation
and Training ✓ ✓

Learn
Accounting
Software ✓ ✓

Assist with
Accounts
Payable ✓ ✓ ✓ ✓ ✓

Assist with
Accounts
Receivable ✓ ✓ ✓

Help with
Payroll
Processing ✓ ✓ ✓

Assist with
Month-End
Closing ✓ ✓ ✓

Attend Weekly ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓

Ghimire, 6
 Task Week
Description Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7 8

Meetings

Final
Presentation ✓

(Source: Based on activities performed)

1.4.3 Activities Performed

During Throughout the internship program, I had the opportunity to participate in a
variety of activities within the accounting department. The following are some of the key
tasks I accomplished during the internship period:
i. Assisting with the preparation of financial statements, including balance sheets,
income statements, and cash flow statements.
ii. Verifying and reconciling invoices and receipts with purchase orders and work
orders.
iii. Monitoring and recording project expenses, including labor, materials, and
equipment.
iv. Assisting with the calculation of project costs and profitability.
v. Conducting cost analyses and identifying cost-saving opportunities.
vi. Communicating with vendors and suppliers to obtain necessary financial
information.
vii. Participating in audits and ensuring compliance with internal controls and
accounting standards.
viii. Assisting with payroll processing and employee benefit administration.
ix. Providing support in maintaining accurate and up-to-date accounting records.
x. Performing other general accounting tasks such as data entry, documentation, and
filing.
Ghimire, 7
1.5 Limitations of the Internship
Though the internship was very fruitful to gain meaningful career-related experience
in a real organization, the study involves certain limitations. They are as follows:

i. The time period of 8 weeks was not enough for a comprehensive study of the
bank. So, this report only focuses on a particular unit of a department.
ii. Due to privacy policy of the bank, many internal MIS were not accessible to
the internee and thus unavailability of adequate information created a
problem.
iii. Internees were not allowed to work in the different departments at the same
time.etc.
iv. The prime source of information for report preparation was the informal
questioning with the head employees of the bank and the observation of the
activities as well as the active involvement in the activities allowed to the
internees. Thus, the report covers only limited aspects of the total system.
v. Due to the busy work schedule of the bank’s staff, it was difficult for them to
share the overall knowledge they have.
vi. The report is based on individual understanding during the internship program
which may differ from person to person.

Ghimire, 8
CHAPTER TWO

Ghimire, 9
 INTRODUCTION OF CONSTRUCTION INDUSTRY

2.1 The Context of Construction Industry:

The construction industry involves the creation of buildings, infrastructure, and other
structures. It encompasses a wide range of activities, from planning and design to the
actual construction and maintenance of structures. The industry plays a crucial role in
the development of the economy and society as a whole, as it provides the necessary
infrastructure for economic growth and social well-being (Yakimchuk, Chistnikova,
Bondareva, & Dynnikov, 2017).

Construction companies are responsible for managing and executing construction

projects, which can range from small residential projects to large-scale infrastructure
projects such as highways, airports, and dams. These projects require significant
investment in terms of resources, manpower, and technology. Construction
companies also work closely with architects, engineers, and other professionals to
ensure that projects are executed efficiently and meet the required standards.

The construction industry is highly regulated, with various laws and regulations
governing the design, construction, and maintenance of structures. Construction
companies must comply with these regulations to ensure the safety of workers and the
public, as well as to avoid legal and financial consequences.

In addition, the construction industry faces various challenges, such as labor

shortages, rising material costs, and changing technology. To remain competitive and
successful, construction companies must continuously innovate and adapt to these
challenges.

In summary, the construction industry is a critical sector of the economy that involves
the creation of buildings, infrastructure, and other structures. Construction companies
are responsible for managing and executing construction projects while complying
with various laws and regulations. The industry faces various challenges, and
companies must continuously innovate and adapt to remain competitive and
successful.

Ghimire, 10
2.2 History of Construction Industry
The construction industry has a long and rich history dating back to ancient
civilizations. The earliest recorded evidence of construction dates back to the Stone
Age, where humans used stones and other natural resources to build their dwellings
and structures. As humans evolved, so did their techniques and methods of
construction.

One of the earliest known examples of organized construction can be traced back to
ancient Egypt, where the pyramids were built using large stone blocks. The
construction of the Great Wall of China during the Qin Dynasty is also considered a
major achievement in the construction industry. During the Roman Empire, the
construction of roads, aqueducts, and public buildings were vital to the growth and
success of the empire (Jones, 2022).

The medieval period saw the construction of cathedrals and castles, which were often
built by skilled craftsmen and artisans. The Renaissance period brought about new
architectural styles and techniques, leading to the construction of grand palaces,
public buildings, and bridges. The industrial revolution brought about significant
advancements in construction technology, including the use of steam engines and
reinforced concrete.

In the 20th century, the construction industry saw significant growth due to increased
urbanization and population growth. New materials, such as steel and plastic, were
introduced, leading to the development of modern architecture and skyscrapers.
Today, the construction industry is a vital part of the global economy, employing
millions of people worldwide.

In recent years, there has been a growing focus on sustainable construction practices
and green building techniques, aimed at reducing the industry's impact on the
environment. The industry continues to evolve and innovate, with new technologies
and materials constantly being developed to improve efficiency, safety, and
sustainability.

Ghimire, 11
2.3 History of Construction Industry in Nepal
The history of the construction industry in Nepal can be traced back to the ancient
period when the first infrastructure developments, such as temples, stupas, and
palaces were built. The famous Pashupatinath Temple in Kathmandu, built in the 5th
century, stands as an example of the country's rich architectural and construction
heritage.

During the Rana regime (1846-1951), there was a significant development in the
construction sector with the construction of many palaces, buildings, and public
infrastructure such as hospitals, schools, and roads. This period saw the beginning of
modern construction practices in Nepal, and many skilled craftsmen were trained to
build with modern techniques (Miles, 1991).

In the 1950s, after the fall of the Rana regime, Nepal began to open up to the outside
world, and with it came modern construction practices and technology. With the aid
of international organizations, Nepal was able to develop its infrastructure, including
the construction of highways, airports, and hydroelectric power plants.

In the 1980s, the Nepalese government established the Department of Roads (DoR) to
oversee road construction in the country. This led to the development of modern road
construction methods, which greatly improved Nepal's transportation infrastructure.

Since the 1990s, the construction industry in Nepal has seen significant growth,
especially in the private sector. With the growth of the tourism industry, there has
been an increase in the construction of hotels, resorts, and other tourist facilities.
Similarly, with the growth of the real estate sector, there has been an increase in the
construction of residential and commercial buildings (Miles, 1991).

However, the construction industry in Nepal still faces challenges such as a lack of
skilled workers, poor quality control, and inadequate safety measures. Nevertheless,
with the increasing demand for infrastructure and the government's focus on
development, the construction industry in Nepal is expected to continue to grow and
play a vital role in the country's economy.

Ghimire, 12
2.4 Classification of Construction Industry in Nepal:
Classification of construction entrepreneur: The construction entrepreneurs who carry
out public construction works shall be classified as follows based on the prescribed
grounds: (a) Construction entrepreneur of class “A”; (b) Construction entrepreneur of
class “B”; (c) Construction entrepreneur of class “C”; (d) Construction entrepreneur
of class “D”.

2.5 Concept of Construction Company

A construction company in Nepal is a business entity that specializes in the
construction of buildings, roads, bridges, and other infrastructure projects.
Construction companies in Nepal can be categorized as large, medium, or small,
depending on their size and the scale of their operations (Timalsina, Ojha &
Dhungana, 2019).

The primary function of a construction company is to manage the construction

process, from the initial planning stages to the final completion of the project. This
involves managing the budget, scheduling the construction activities, procuring
materials and equipment, hiring and managing labor, and ensuring that the project is
completed on time and within budget (Biz Sewa, 2023).

In Nepal, construction companies are involved in the design of the building or

infrastructure project, or they may work with architects and engineers to develop a
design that meets the client's requirements. Additionally, construction companies in
Nepal also provide maintenance and repair services for existing structures and
buildings.

To operate a construction company in Nepal, it is necessary to obtain the required

licenses and permits from the government, including approval from the Department
of Industry and the Department of Urban Development and Building Construction.
Construction companies in Nepal may also need to obtain environmental clearances,
building permits, and other approvals from local authorities (Biz Sewa, 2023).

Overall, construction companies in Nepal play a critical role in the development of

Ghimire, 13
the country's infrastructure and contribute to the growth of the national economy.
2.6 Functions of Construction Industry
The major functions of construction companies are:
i. Project management: Construction companies are responsible for managing
the entire construction project from start to finish. This involves planning,
scheduling, and coordinating all aspects of the project, including design,
engineering, procurement, and construction.
ii. Site preparation: Construction companies are responsible for preparing the
construction site for the actual construction work. This may include clearing
the site, grading the land, installing temporary utilities, and laying the
foundation.
iii. Construction work: Construction companies are responsible for carrying out
the actual construction work, including building structures, roads, bridges, and
other infrastructure. This involves coordinating various trades such as
carpentry, masonry, electrical, and plumbing.
iv. Material management: Construction companies are responsible for procuring
and managing the materials required for the construction work. This involves
sourcing materials from suppliers, storing them, and managing inventory.
v. Equipment management: Construction companies are responsible for
procuring and managing the equipment required for the construction work.
This includes heavy machinery such as excavators, cranes, and bulldozers.
vi. Safety management: Construction companies are responsible for ensuring the
safety of their workers and the public. This involves implementing safety
procedures and protocols, providing safety equipment, and conducting safety
training.
vii. Cost management: Construction companies are responsible for managing the
costs of the construction project. This involves preparing budgets, tracking
expenses, and managing cash flow.
viii. Quality management: Construction companies are responsible for ensuring
that the construction work meets the required quality standards. This involves
conducting quality control checks, monitoring the work of subcontractors, and
ensuring that all work is completed according to the project specifications.
ix. Project closeout: Construction companies are responsible for closing out the

Ghimire, 14
 project once the construction work is complete. This involves conducting a
final inspection, obtaining necessary permits and approvals, and handing over
the completed project to the owner (Indeed, 2023).

2.7 Present Situation of Construction Industry

The construction industry is one of the largest contributors to the Nepalese economy,
accounting for approximately 10% of the GDP and employing around 10% of the
workforce. However, the industry has been facing several challenges in recent years,
including regulatory hurdles, political instability, lack of skilled labor, and limited
access to financing (Nepal Constructions, 2021).

In addition to these challenges, the COVID-19 pandemic has had a significant impact
on the industry, with many projects being delayed or suspended due to the lockdowns
and supply chain disruptions. Despite these challenges, there are some positive
developments in the construction industry, including an increase in foreign
investment, government initiatives to promote infrastructure development, and the
adoption of new technologies to improve efficiency and quality (my Republica,
2023).

According to a report by the Asian Development Bank, Nepal's construction industry

is expected to grow at a rate of 10.6% annually from 2021 to 2025, driven by
infrastructure development, urbanization, and reconstruction efforts following the
2015 earthquake (Sapkota, 2015). However, the report also highlights the need for
regulatory reforms, investment in skills development, and increased access to
financing to support the growth of the industry.

Furthermore, the government of Nepal has also initiated several projects, such as the
Kathmandu-Tarai Fast Track project and the Nijgadh International Airport, which are
expected to create significant opportunities for the construction industry. However,
the industry must address several challenges, including corruption, labor disputes, and
limited access to financing, to fully capitalize on these opportunities.

List of Contractors in Nepal:

Ghimire, 15
According to the Contractors associated with Federation of Contractor’s Association
of Nepal. There are:
Class A- 140
Class B- 49
Class C- 44
Class D- 12 (Dokumen, 2023)

2.8 Challenges and Opportunities of Construction Industry

The construction industry in Nepal faces various challenges, including inadequate
infrastructure, limited access to finance, lack of skilled workforce, regulatory
constraints, and political instability. However, these challenges also present
opportunities for the industry, such as the potential for growth and development
through the government's infrastructure development plans, increasing demand for
affordable housing, and opportunities for investment in renewable energy and
sustainable construction practices. Additionally, the industry can benefit from the
country's strategic location, abundant natural resources, and cultural heritage to attract
tourism and investment (Santosh Baral, 2022).

The construction industry in Nepal faces various challenges that hinder its growth and
development. Some of the major challenges are as follows:

i. Lack of skilled labor: The construction industry in Nepal faces a shortage of

skilled labor. Many workers lack the necessary skills and training required for
construction work, leading to poor quality construction and safety concerns.

ii. Limited access to capital: Access to finance is a significant challenge for the
construction industry in Nepal. The lack of adequate capital or financing
options makes it difficult for construction companies to undertake new
projects and complete existing ones. The limited availability of loans and
credit from banks and financial institutions further exacerbates the issue,
making it difficult for small and medium-sized construction companies to
compete with larger firms.

Ghimire, 16
 iii. Political instability: Political instability and lack of consistency in
government policies are major challenges faced by the construction industry
in Nepal. Frequent changes in government policies and regulations make it
difficult for construction companies to plan and execute their projects
effectively. Moreover, political unrest and instability create an unfavorable
investment climate, discouraging foreign investors from investing in the
construction sector.

iv. Limited infrastructure: The lack of adequate infrastructure in Nepal, such as

roads and transportation networks, makes it difficult to transport construction
materials and equipment to remote areas of the country.

v. Lack of regulatory enforcement: The construction industry in Nepal faces a

lack of regulatory enforcement, which leads to low-quality construction and
safety concerns. Building codes and safety standards are not always followed,
and there is a lack of proper inspection and monitoring.

Despite these challenges, the construction industry in Nepal also presents several
opportunities, including:

i. Infrastructure development: Nepal has a vast potential for infrastructure

development, including roads, bridges, airports, and buildings. The
government of Nepal is working to develop a network of highways, and other
infrastructure projects in the country. The development of infrastructure is a
significant opportunity for the construction industry in Nepal to expand its
operations and undertake new projects.

ii. Tourism development: Nepal is a popular destination for tourists, and the
tourism industry is growing rapidly. This presents an opportunity for
construction companies to undertake projects such as hotels, resorts, and other
tourism-related infrastructure.
Housing development: Nepal has a growing population, and there is a need for
affordable housing. This presents an opportunity for construction companies
to undertake residential projects.

Ghimire, 17
iii. Hydro-power development: Nepal has significant potential for hydro-power
development, which presents an opportunity for construction companies to
undertake large-scale projects.

iv. Green building: There is a growing awareness of the need for sustainable
construction practices in Nepal. This presents an opportunity for construction
companies to adopt green building practices and differentiate themselves in
the market.

Ghimire, 18
CHAPTER THREE

Ghimire, 19
 INTRODUCTION OF RAMAN NIRMAN SEWA

3.1 The Context of Raman Nirman Sewa

Raman Nirman Sewa is a construction company based in Nepal, which specializes in
building residential and commercial properties. The company has a strong focus on
quality and timely delivery of projects.

Raman Nirman Sewa was established in 2003 and has completed numerous projects
in different parts of Nepal. The company is led by a team of experienced
professionals with a proven track record in the construction industry (Raman
Constructions, 2023)

Raman Nirman Sewa has been involved in various types of construction projects,
including residential buildings, commercial complexes, educational institutions,
hospitals, and hotels. The company has a reputation for using high-quality materials
and advanced construction techniques, ensuring that its projects are durable and long-
lasting.

In addition to construction, Raman Nirman Sewa also provides a range of related

services, such as architecture and design, project management, and building
maintenance. The company prides itself on providing end-to-end solutions to its
clients, from the initial design to the final handover of the project.

The company aims to provide high-quality construction and infrastructure

development services to its clients while maintaining a strong commitment to safety,
sustainability, and environmental responsibility. It has a team of experienced
professionals who work closely with clients to understand their specific needs and
provide customized solutions that meet their requirements (Raman Constructions,
2023)

Raman Nirman Sewa has a reputation for delivering projects on time and within
budget, thanks to its use of the latest technologies and its focus on efficient project
Ghimire, 20
management. The company also has a strong commitment to social responsibility and
has undertaken several projects aimed at improving the lives of local communities.

Overall, Raman Nirman Sewa is a respected player in Nepal's construction and

infrastructure development sector, known for its professionalism, quality work, and
commitment to delivering value to its clients.

3.2 Vision, Mission, Goal and Objectives of Raman Nirman Sewa

i. Vision

To become a leading construction company in Nepal, renowned for excellence in

quality, reliability, and customer satisfaction.

ii. Mission
To provide innovative and sustainable construction solutions that meet the needs and
expectations of our clients, while maintaining the highest standards of safety,
efficiency, and integrity.

iii. Goal

To expand our business and market share by delivering exceptional construction

services that add value to our clients and contribute to the development of Nepal's
infrastructure (Raman Constructions, 2023)
iv. Objectives
 To maintain a highly skilled and motivated workforce that is committed to
delivering quality construction services on time and within budget.
 To establish long-term relationships with our clients, based on trust,
transparency, and mutual respect.
 To continuously improve our construction practices and technology, in order
to enhance efficiency, productivity, and sustainability.
 To adhere to the highest standards of safety, health, and environmental
protection in all our construction activities.
 To contribute to the social and economic development of Nepal, by creating
employment opportunities, supporting local communities, and promoting
sustainable development (Raman Constructions, 2023).

Ghimire, 21
 3.3 Organization Structure of Raman Nirman Sewa

BOARD OF DIRECTORS

Management Team Departmental Structure

General Manager Engineering Department

Project Manager Construction

Chief Financial Officer

Procurement

HR Manager Finance

Marketing Manager
Human Resource

Procurement Manager Marketing

Figure No.3.2: Organization Structure of Raman Nirman Sewa

Ghimire, 22
3.4 Board of Directors
The Board of Directors of Raman Nirman Sewa is responsible for overseeing the
strategic direction and overall operations of the company. It is composed of four
members, including the Chairman, Managing Director, and two Directors (Raman
Nirman Sewa, 2023).

The Chairman, Mr. Hari Ram Shrestha, provides leadership and guidance to the
Board and ensures that the company is operating in accordance with its mission and
values. The Managing Director, Mr. Ram Hari Shrestha, is responsible for the day-to-
day operations of the company and oversees the implementation of the Board's
decisions.

The two Directors, Mr. Sanjay Shrestha and Mr. Rajesh Shrestha, bring their
expertise and knowledge to the Board and participate in the decision-making process.
They also provide oversight and accountability to ensure that the company is meeting
its objectives and adhering to its policies and procedures.

Table 3 Board of Directors

S.N Name of Directors Designation

1. Mr. Hari Ram Shrestha Chairman
2. Mr. Ram Hari Shrestha Managing Director
3. Mr. Sanjay Shrestha Director
4. Mr. Rajesh Shrestha Director

3.5 Management Team

The management team of Raman Nirman Sewa is responsible for the day-to-day
operations of the company. It includes a General Manager, Project Manager, Chief
Financial Officer (CFO), Human Resources Manager, Marketing Manager, and
Procurement Manager (Raman Nirman Sewa, 2023).

The General Manager oversees the overall operations of the company and ensures
that it is running efficiently and effectively. The Project Manager is responsible for
Ghimire, 23
managing individual projects from planning to implementation, ensuring that they are
completed on time, within budget, and to the required quality standards.
The CFO is responsible for financial management, accounting, and budgeting. They
ensure that the company's financial records are accurate and up-to-date, and develop
and implement financial strategies to ensure the company's long-term financial
stability.

The Human Resources Manager is responsible for managing the company's

workforce, including recruitment, performance management, and employee
development. They ensure that the company has the right talent to achieve its
strategic objectives.

The Marketing Manager is responsible for promoting the company's services and
developing business relationships. They develop and implement marketing strategies
to increase the company's visibility and attract new clients.

The Procurement Manager is responsible for sourcing and purchasing materials and
equipment for projects. They ensure that the company has the necessary resources to
complete projects efficiently and effectively.

Overall, the management team of Raman Nirman Sewa plays a critical role in
ensuring that the company operates efficiently, delivers high-quality projects, and
achieves its strategic objectives.

3.6 Present Situation of Raman Nirman Sewa

Raman Nirman Sewa one of the leading construction companies in Nepal, is currently
facing several challenges due to the ongoing COVID-19 pandemic. The company had
to halt several ongoing projects and postpone new ones, leading to a significant
decrease in revenue.

Furthermore, the company is facing supply chain disruptions due to the pandemic,
which has caused delays in obtaining raw materials and equipment necessary for their
construction projects. This has resulted in increased costs for the company, which is
Ghimire, 24
already struggling to stay afloat.

Additionally, the political instability and the slow pace of economic growth in Nepal
have affected the construction industry as a whole, making it difficult for companies
like Raman Nirman Sewa to secure new projects and contracts.

Despite these challenges, Raman Nirman Sewa is adapting to the new normal by
implementing new safety measures on construction sites and using technology to
communicate with clients and suppliers. The company is also exploring new
opportunities for growth, such as renewable energy projects and partnerships with
international companies.

Overall, the present situation of the construction industry in Nepal is challenging due
to the pandemic and the slow economic growth, but companies like Raman Nirman
Sewa are resilient and are finding ways to overcome these challenges.

3.7 Product and Services of Raman Nirman Sewa

Raman Nirman Sewa is a construction company based in Nepal that provides a wide
range of products and services to its clients. Their primary focus is on building high-
quality structures that meet the unique needs and requirements of their clients. Here
are some of the products and services that Raman Nirman Sewa offers:

Products:
i. Cement: Raman Nirman Sewa supplies high-quality cement for use in
construction projects.
ii. Bricks: The company produces bricks of various sizes and shapes to be used
in construction projects.
iii. Steel: They provide steel products for reinforcement in concrete structures.
iv. Tiles: Raman Nirman Sewa supplies a variety of tiles for flooring and wall
cladding (Raman Nirman Sewa, 2023).
Services:
i. Building Construction: The company provides construction services for
residential, commercial, and industrial buildings. They offer services from
Ghimire, 25
 designing to project management, construction, and commissioning.
ii. Renovation and Remodeling: Raman Nirman Sewa also provides renovation
and remodeling services for existing structures to improve functionality,
aesthetics, and sustainability.
iii. Interior Design: They provide interior design services to enhance the aesthetic
appeal of a building's interior spaces, including the selection of furniture,
decor, and finishes.
iv. Plumbing and Electrical Works: The company provides plumbing and
electrical works services for new constructions and renovation projects
(Raman Nirman Sewa, 2023).

In addition to these products and services, Raman Nirman Sewa also offers project
consultancy, cost estimation, and feasibility study services to its clients. Apart from
the above-mentioned products and services, Raman Nirman Sewa also provides
custom landscaping services to their clients. They work with landscape architects to
design and build unique outdoor spaces that enhance the beauty and functionality of
the property. The company also offers eco-friendly solutions such as rainwater
harvesting systems, solar power installations, and green roofs to help their clients
reduce their carbon footprint. Moreover, Raman Nirman Sewa also provides
earthquake-resistant construction services and has been involved in several projects
that have withstood earthquakes, ensuring the safety of the occupants.

3.8 Challenges and Opportunity of Raman Nirman Sewa:

The key challenges for Raman Nirman Sewa are as follows:
i. Competition: The construction industry in Nepal is highly competitive.
Raman Nirman Sewa may face challenges in attracting new clients and
retaining existing ones due to the presence of established players in the
industry.
ii. Unpredictable weather conditions: Nepal is prone to natural disasters such as
earthquakes, floods, landslides, and monsoon rains. These unpredictable
weather conditions can delay construction projects, which can impact project
timelines and budgets.
iii. Skilled labor shortage: The availability of skilled labor in Nepal can be a
Ghimire, 26
 challenge for construction companies like Raman Nirman Sewa. This shortage
can lead to delays in project completion and increase labor costs.
iv. Access to finance: Obtaining financing for construction projects can be
challenging in Nepal due to limited availability of credit and high interest
rates. This can impact the ability of Raman Nirman Sewa to undertake larger
projects.
v. Compliance with regulations: The construction industry in Nepal is subject to
various laws and regulations, including building codes, environmental
regulations, and labor laws. Compliance with these regulations can be a
challenge for Raman Nirman Sewa, particularly when working on complex
projects or in remote locations.
vi. Infrastructure challenges: Nepal's infrastructure, particularly roads and
transportation, can pose a challenge for construction companies like Raman
Nirman Sewa. Poor infrastructure can impact the transportation of materials
and equipment to project sites, which can lead to project delays and increased
costs.

The major opportunities of Raman Nirman Sewa are as follows:

i. Infrastructure Development: Nepal is currently in the midst of a major

infrastructure development boom, with numerous government and private
projects underway. This presents a significant opportunity for Raman Nirman
Sewa to expand its business by winning contracts for construction projects,
both small and large, across the country.

ii. Increased Demand for Housing: With a growing population and an increasing
number of people moving to urban areas, there is a significant demand for
new housing developments. This presents an opportunity for Raman Nirman
Sewa to enter the real estate market and develop affordable housing projects
for Nepali citizens.

iii. Green Building: As sustainability becomes increasingly important in the

construction industry, Raman Nirman Sewa has the opportunity to incorporate
green building practices into their projects. This will not only differentiate the
company from competitors, but also position them as leaders in sustainable
construction.
Ghimire, 27
iv. Technology Adoption: Adopting new technologies, such as Building
Information Modelling (BIM) and project management software, can improve
efficiency and reduce costs in the construction process. Raman Nirman Sewa
can take advantage of these opportunities to streamline their operations and
provide better services to their clients.

v. Joint Ventures and Partnerships: Collaborating with other companies or

forming partnerships can help Raman Nirman Sewa to expand their business,
access new markets, and gain a competitive advantage. The company can
explore joint ventures with local and international construction firms to share
resources, knowledge, and expertise (Rai, 2022).

Ghimire, 28
CHAPTER FOUR

Ghimire, 29
 ANALYSIS OF ACTIVITIES DONE/ PROBLEM SOLVED

4.1 Introduction of the Accounting Management

Raman Nirman Sewa is a construction company based in Nepal that specializes in
building residential and commercial projects (Raman Constructions, 2023). The
company has been in the construction business for over a decade and has established a
strong reputation for quality work and timely delivery. As with any business,
accounting plays a vital role in the success of Raman Nirman Sewa. Efficient
accounting practices help the company to keep track of its finances, manage expenses,
and ensure timely payments to suppliers and employees. In this context, accounting
management is an important function that helps the company to achieve its financial
goals and maintain a healthy bottom line.

4.2 Task-Setting
Raman Nirman Sewa has a diverse workforce that comprises project managers,
engineers, architects, and other support staff. To ensure efficient functioning of the
company, it is essential to set clear tasks and goals for each team member. Task-
setting involves defining the scope of work, setting deadlines, and assigning
responsibilities to team members. In the context of a construction company, task-
setting plays a critical role in ensuring that projects are completed on time, within
budget, and to the satisfaction of clients. Effective task-setting helps to optimize
resources and minimize delays, thereby improving the overall productivity of the
company (Indeed, 2022). As Raman Nirman Sewa expands its operations, it is
important to have robust task-setting mechanisms in place to manage the growing
complexity of projects and teams.

Ghimire, 30
 Account Department
Division

General Accounting Account Payable Accounts Receivable Payroll

Cost Accounting
Financial Planning and Analysis Internal Audit
Tax Accounting

Treasury Fixed Assets

Figure No. 4.1: Divisions of Finance Department of Raman Nirman Sewa

4.3 Functions of the Account Department

The major responsibility of the finance department of a construction company is to
manage the financial aspects of the business. This includes recording and maintaining
financial transactions, preparing financial statements, managing accounts payable and
accounts receivable, processing payroll, and managing cash flow (Srivastav, 2023). In
addition to these core responsibilities, the Finance department is also responsible for
ensuring that the company is in compliance with tax laws and regulations,
establishing and maintaining internal controls, and providing financial analysis and
reporting to support decision-making. Ultimately, the finance department plays a
critical role in ensuring the financial health and success of the construction company.

The functions of the finance department of Raman Nirman Sewa, a construction

company:
i. Recording and maintaining financial transactions: The finance department is
responsible for recording all financial transactions of the company, including
invoices, payments, receipts, and expenses. They must ensure that all
transactions are accurately recorded in the company's accounting system.
Ghimire, 31
 ii. Managing accounts payable: The finance department is responsible for
managing the company's accounts payable, which involves processing vendor
invoices, issuing payments, and reconciling vendor statements.
iii. Managing accounts receivable: The finance department is responsible for
managing the company's accounts receivable, which involves issuing customer
invoices, processing payments, and following up on delinquent accounts.
iv. Payroll processing: The finance department is responsible for processing
payroll for all employees of the company, including calculating salaries, taxes,
and benefits.
v. Financial reporting: The finance department is responsible for preparing and
analyzing financial statements and reports, including the balance sheet,
income statement, and cash flow statement.
vi. Budgeting and forecasting: The finance department is responsible for creating
and managing the company's budget and forecasting future financial
performance.
vii. Cost accounting: The finance department is responsible for tracking and
analyzing project costs, including labor, materials, and overhead expenses.
viii. Tax compliance: The finance department is responsible for ensuring
that the company is in compliance with all tax laws and regulations, including
filing tax returns and paying taxes on time.
ix. Internal controls: The finance department is responsible for establishing and
maintaining internal controls to ensure the accuracy and integrity of financial
transactions and reports.
x. Cash management: The finance department is responsible for managing the
company's cash flow, including managing bank accounts, investments, and
debt. They must ensure that the company has sufficient cash to meet its
financial obligations.

4.4 Role of Intern and Fitting in the Organization Structure

During As an intern in Raman Nirwan Sewa, a construction company in Nepal, my
role was to assist the senior accountants in their daily tasks and responsibilities. I was
responsible for performing various accounting and financial activities, such as

Ghimire, 32
updating financial records, preparing invoices, and tracking expenses. Additionally, I
was assigned to work on the following tasks:
i. Search for project bid information: Similar to banks, construction companies
also need to track bidding opportunities. I was responsible for monitoring
daily bid notices published by the government and non-governmental
organizations to provide information to the company's management about new
bidding opportunities.
ii. Prepare proposals and contracts: I was responsible for drafting and preparing
proposals and contracts to be presented to potential clients. This involved
gathering information about the client's requirements, researching the market
trends, and preparing an offer that met the client's needs.
iii. Conduct market analysis: I was assigned to analyze the market trends and the
competition in the construction industry. I analyzed the strategies of
competitors and their strengths and weaknesses. Based on this analysis, I made
recommendations to the management for improving the company's services
and gaining a competitive edge.
iv. Search for new potential clients: As an intern, I was also assigned the task of
searching for new potential clients. This involved researching the market to
identify potential clients and contacting them to present our services.
v. Assist in documentation and filing: I was responsible for maintaining proper
documentation and filing records. I ensured that all records were maintained
accurately and were accessible when needed.

As an intern, I was an important part of the organization structure. My role in the

company was to support the senior accountants and other team members. My
responsibilities varied from day-to-day, depending on the requirements of the
company. The tasks assigned to me were designed to give me practical experience and
exposure to the construction industry. I was able to develop new skills and knowledge
while also contributing to the company's success. My role as an intern was to fit into
the organization structure by providing assistance where needed and learning from the
senior members of the team.

Ghimire, 33
4.5 Experience in the Internship Including Understanding of System,
Processes and Rationale

As a junior accountant in Raman Nirman Sewa, my internship experience was quite

enriching and helped me understand the system, processes, and rationale of the
organization. During my internship, I was exposed to the construction industry of
Nepal and the various accounting practices involved in the company's operations.

Some of the major experiences and learning’s I gained during the internship are as
follows:

i. Understanding of the company's organizational structure and accounting

practices.

ii. Knowledge of the accounting software used by the company, including Tally
ERP 9. Understanding of various accounting activities such as bookkeeping,
journal entries, and ledger maintenance.

iii. Experience in handling invoices, receipts, and payment processing.

iv. Understanding of the importance of maintaining financial records and data

accuracy.

v. Experience in analyzing financial data and preparing reports.

vi. Exposure to the compliance and regulatory framework of the construction

industry in Nepal.

Overall, my internship provided me with practical exposure to the accounting and

financial operations of a construction company. It helped me to understand the
importance of accuracy and attention to detail in financial record-keeping and
reporting. Additionally, I learned about the various compliance and regulatory
requirements in the construction industry, which will be valuable knowledge as I
progress in my career.

Ghimire, 34
4.6 Emergence/Occurrence of Issues, Problem or Challenges and how
these Problems were Solved/Addressed

Problem/ Challenges Encountered

During During my internship at Raman Nirman Sewa as a junior accountant, I
encountered various issues and challenges. Some of the major ones are as follows:
i. Understanding the complex accounting system of the organization was a
challenge for me as a junior accountant.
ii. Ensuring the accuracy of the financial records while performing accounting
tasks was quite challenging as it required a high level of attention to detail.
iii. Balancing the books on a regular basis was another challenge that required me
to maintain a high level of focus and dedication.
iv. Difficulty in communication with clients and other team members due to
language barriers.
v. Dealing with clients who had different expectations regarding the services
offered by the organization was also a challenge.
vi. Sometimes, there were delays in the payment of invoices due to the slow
payment processes of some clients.
vii. There were also challenges in reconciling financial statements and ensuring
that the information is accurate and up-to-date.
viii. Some clients were not able to provide the necessary documents and
information required for accounting tasks on time.
ix. Ensuring compliance with regulations and policies set by the organization and
relevant authorities was another challenge that required constant attention.
x. Working with outdated software and systems which required manual
intervention was time-consuming and inefficient.
xi. Balancing the workload between different accounting tasks, such as
reconciling accounts and preparing financial statements, was a challenge.
xii. Adapting to the work culture and environment of the organization was also a
challenge, especially as a new employee.
xiii. Sometimes there were discrepancies between the financial data provided by
clients and the data recorded in the system, which required investigation and
resolution.
xiv. Ensuring that financial data is kept confidential and secure was also a
Ghimire, 35
 challenge that required attention to detail and adherence to security protocols.

Solution of the Problems

The major problems/ challenges encountered by the internee were solved by
following ways:

i. The internee suggested that a proper tracking system should be developed to

keep records of inflow and outflow of funds and interbank transactions to
avoid any difficulty in deposit tracking.
ii. The internee suggested that the bank should focus on expanding its branch
network to increase its reach and enhance deposit collection.
iii. To address the challenge of staff turnover, the internee recommended that the
bank should work on improving its employee retention policies and create a
positive work environment to encourage staff to stay with the organization.
iv. The internee recommended that the bank should consider hiring more mid-
level staff in the Deposit and Transaction Banking department to ensure that
work is efficiently and effectively managed.
v. The internee also recommended that the bank should regularly conduct
training and development programs for its staff to enhance their skills and
improve their performance.
vi. To tackle the challenge of slow decision-making, the internee recommended
that the bank should review its chain of authority and decision-making process
to ensure that it is streamlined and efficient.
vii. The internee also suggested that the bank should review its documentation
process and identify ways to make it more efficient to avoid delays in
processing customer requests.
viii. The internee recommended that the bank should consider improving its
financial performance by implementing strategies to increase revenue and
reduce costs.
ix. The internee suggested that the bank should work on building a positive brand
image and reputation to improve customer perception of the bank's
performance.

Ghimire, 36
4.7 Observed Gaps
Through the internship program, the internee came to the realization that academic
knowledge can only take one so far in the realm of practical application. A chasm
exists between theoretical teachings and actual experiences, yet the importance of
conceptual understanding cannot be understated in effectively navigating professional
scenarios. In essence, concepts serve as the bedrock for any task performed in a
working environment. One cannot simply rely on textbook knowledge to seamlessly
translate to real-life situations. This was exemplified in the challenges of maintaining
interpersonal relationships in practice, which proved far more complex than their
simplistic depictions in theory. As such, the acquisition of practical knowledge and
experience is integral to bridging the gap between academia and the working world.

During the internship period, the internee observed several gaps in the accounting
system and financial management of Raman Nirman Sewa. Some of the major gaps
are mentioned below:
i. The company lacked a proper accounting software or system, which made it
difficult to track financial transactions and generate financial reports.
ii. The company did not maintain proper documentation of financial transactions,
which could lead to errors and discrepancies in financial records.
iii. The company did not have a proper system for internal controls and checks,
which could lead to the misappropriation of funds.
iv. The company did not have a proper budgeting system in place, which made it
difficult to track expenses and revenues against the budgeted amount.
v. The company did not have a proper cash management system, which made it
difficult to manage the company's cash flow and resulted in cash shortages at
times.
vi. The company did not have a proper system for managing accounts receivable
and payable, which led to delayed payments to vendors and customers.
vii. The company did not have a proper system for monitoring project costs and
profitability, which made it difficult to identify profitable projects and make
informed decisions.
viii. The company did not have a proper system for managing inventory, which
resulted in overstocking or under stocking of materials.

Ghimire, 37
 ix. The company did not have a proper system for managing fixed assets, which
made it difficult to track the depreciation of assets and determine their current
value.
x. The company did not have a proper system for managing taxes and
compliance, which could lead to penalties and fines from regulatory bodies.
xi. The company did not have a proper system for managing payroll and
employee benefits, which could lead to employee dissatisfaction and turnover.
xii. The company did not have a proper system for managing financial risks and
uncertainties, which could lead to financial losses and instability.
xiii. The company did not have a proper system for financial reporting and
analysis, which made it difficult to make informed decisions based on
financial information.
xiv. The company did not have a proper system for performance measurement and
evaluation, which made it difficult to evaluate the performance of employees
and departments.

The internship program presented the internee with several critical observations,
which contributed towards fostering a more optimistic outlook towards the banking
work environment, and instilled within me a strong drive to pursue a career in this
field.

Ghimire, 38
CHAPTER FIVE

Ghimire, 39
CONCLUSION/ LESSON LEARNT AND RECOMMENDATIONS

5.1 Inferences Drawn

As a junior accountant at Raman Nirman Sewa, the main objective of the internship
was to gain practical exposure in the construction industry and to obtain professional
experience in the real working environment. During the internship, the intern was
able to learn about the various aspects of the construction industry, including project
management, financial analysis, and accounting procedures. Although the intern
primarily worked in the accounting department, there were opportunities to gain
conceptual knowledge about other departments.

The internship provided opportunities to analyze and solve real-life problems in the
construction industry. The intern was able to gain knowledge about the overall
operations of the company, including its projects, financial performance, and
accounting procedures. The internship also helped in enhancing personal, analytical,
and managerial skills and capacity.

The experience of dealing with clients and contractors and managing financial
transactions was very beneficial and constructive towards the intern's professional
life. The internship boosted the intern's confidence level and interpersonal skills, and
helped in developing problem-solving and decision-making ability. Overall, the
internship at Raman Nirman Sewa was a great source of learning and experiences for
the intern, and will be applicable in the career path in the construction industry.

5.2 Overall Experience, Learning and Knowledge Gained

As a junior accountant intern in the construction industry, I gained a lot of valuable
experience and knowledge that will benefit me in my future career. Here are some of
the key lessons and skills I developed during my internship:

i. Construction Industry Accounting Practices

During my internship, I gained a thorough understanding of accounting practices
specific to the construction industry. This included learning about project costing,
Ghimire, 40
revenue recognition, job costing, and work-in-progress accounting. By working with
senior accountants and observing their work, I gained hands-on experience in
performing these accounting practices.

ii. Software Skills

The construction industry relies heavily on technology, and as an accounting intern, I
had the opportunity to work with different accounting software used in the
construction industry such as Procore, Sage 100 Contractor, and Viewpoint. I was
able to develop my skills in using these software and become familiar with their
functionalities.

iii. Financial Analysis and Reporting

One of the key responsibilities of a junior accountant is to prepare financial reports
and analyses. During my internship, I learned how to prepare financial statements,
including balance sheets, income statements, and cash flow statements. I also gained
an understanding of financial ratios and how to use them to analyze financial
statements.

iv. Time Management

Time management is essential in the construction industry, as there are strict
deadlines to meet. I learned how to prioritize my work and manage my time
effectively to ensure that all tasks were completed on time.

v. Communication Skills
As an accounting intern, I had to communicate with different stakeholders, including
project managers, senior accountants, and vendors. Through these interactions, I
improved my communication skills and learned how to explain financial information
in a clear and concise manner.

vi. Teamwork and Collaboration

In the construction industry, teamwork is critical to success. During my internship, I
worked closely with project managers, engineers, and senior accountants to ensure
that financial information was accurate and up-to-date. I learned how to collaborate

Ghimire, 41
effectively with different team members to achieve common goals.

vii. Regulatory Compliance

Like the banking industry, the construction industry is heavily regulated. During my
internship, I gained knowledge about various regulations and compliance
requirements, including tax regulations, labor laws, and safety regulations.

Overall, my internship as a junior accountant in the construction industry provided

me with a valuable learning experience, giving me the opportunity to gain hands-on
experience in various accounting practices and software. It also taught me important
soft skills such as time management, communication, and teamwork, which will be
valuable in any future job.

5.3 Recommendations
After conducting an internship at Raman Nirman Sewa, I would like to recommend
the following improvements for the organization:
i. Raman Nirman Sewa should focus on promoting digitalization and
automation in their operations to enhance efficiency and productivity.
Implementation of advanced construction management software could be a
potential solution to manage project planning, scheduling, cost estimation, and
tracking.
ii. Employee training and development programs should be conducted on a
regular basis to enhance the skills and knowledge of employees. This will not
only motivate employees but also improve the quality of work and
productivity.
iii. Raman Nirman Sewa should consider implementing proper safety measures
on construction sites to ensure the safety of workers and the public. This will
enhance the reputation of the company and help in gaining the trust of clients.
iv. The company should explore potential partnerships and collaborations with
international construction firms to exchange knowledge and expertise in the
construction industry. This will help in gaining exposure to international
standards and technology, which will ultimately lead to the development of
the organization.

Ghimire, 42
 v. Raman Nirman Sewa should invest in research and development to identify
new technologies and materials that can be used to enhance the quality of
work and reduce the overall cost of construction.

Overall, these recommendations can assist Raman Nirman Sewa in enhancing their
operations and increasing their reputation in the construction industry.

Ghimire, 43
 REFERENCES

Biz Sewa. (2023). Starting a Construction Company or Engineering Agency in Nepal.

Retrieved 03 31, 2023, from Biz Sewa: https://bizsewa.com/starting-a-
construction-company-or-engineering-agency-in-nepal/
Dokumen. (2023). LIST OF CONTRACTORS IN NEPAL. Retrieved 03 31, 2023,
from Dokumen: https://dokumen.tips/documents/list-of-contractors-in-
nepal.html?page=1
HR Help Board. (2023). What is an Internship? | Internship Meaning & definiion |
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