Internship report

Program: MBA 3.5 YearsSubmitted to Sir Faisal Iqbal

University of Gujrat(UOG)

AcknowledgementAll the praises are for AL MIGHTY ALLAH whose uniqueness, wholeness, oneness are absolute. Who blessed me enough courage, knowledge, ability to complete this report.

All respects are for HAZRAT MUHAMMAD (S.A.W.W)Who make us recognize the oneness of our Creator

Our PARENTS whom raising gave us enough character and compassionate Heart, which make us to compete in this competitive environment.

I so pay my honest gratitude to Mr. Affan Ahmed whose co-operation helped me to complete this demanding task effectively. Without whom it cant be done.

Table contents PageEXECUTIVE SUMMARY.5INTRODUCTION OF ORGANIZATION.6BRIEF HISTORY..6Companys products....8 FAN..........................................................................................................8 WASHING MACHINE.............................................................................9 ROOM COOLERS..................................................................................9CORPORATE PROFILE10Corporate Social Responsibility11 Wahid Hospital......................................................................................11 Women Empowerment.........................................................................11Organizational Structure..12 Accounts and Finance Department......................................................12 Sales and Marketing Department..........................................................14Competitive Strategy..15 AWARDS & CERTIFICATION..15Strategic management16 VISION.......................................................................................................16 MISSION......................................................................................................16CORE VALUES.16MAIN COMPETITOR.17Learning in the organization.17 FIRST WEEK WORK ACTIVITY..................................................................17 SECOND WEEK WORK ACTIVIT.Y.............................................................18 THIRD WEEK WORK ACTIVITY..................................................................19 FOURTH WEEK WORK ACTIVITY..............................................................20 FIFTH WEEK WORK ACTIVITY...................................................................21 SIX AND LAST WEEK WORK ACTIVITY....................................................22SWOT ANALYSIS..22 STRENGTHS.................................................................................................22 WEAKNESS...................................................................................................23 OPPORTUNITY.............................................................................................24 THREAT..........................................................................................................24RECOMMENDATION AND SUGGESTION25Conclusion.26

EXECUTIVE SUMMARY Wahid industries (FAK FAN) are taken by us to work on it. To learn the basic concepts of it our courses gave us real help to get the required information. By doing Internship at the company we get experience about the basic concepts we have to try and give recommendations on Organizational study. This report contains the firms introduction its brief history, its products. The Pak Fan corporate profile & its social responsibility. The competitive strategy & its strategic management including the firms vision & mission. The Pak Fans core value & its main competitors. My learning & observations in the firm, from 1st week to 6th week. S.W.O.T analysis of the firm, my recommendations & conclusion.

INTRODUCTION OF ORGANIZATIONBRIEF HISTORYThe history of PAK fan is as vibrant and brilliant as the products themselves. The company traces its origin back to 1936 When Mr. Abdul Wahid, the first person and the president of the Company started its operations as the manufacturer of light engineering ,utility products and same nature other product. The setting up of this project is great achievement of Mr. Abdul Wahid as The Time When There Were No facilities and guidance in This Part of the sub-continent. I simply took it as a challenge, undeterred by the initial Difficulties and sticks to his motto "No compromise on quality". As a result of product innovation, exceptional quality and marketing strategies through distinct, Determined Efforts were his soon crowned with success and Pak Fans Become the leading fan manufacturer in Pakistan.1936: started its work operation as the manufacturer of light engineering and utility products.1945: the Company for the very first time embarked on the manufacturing of the Electric Fans before the independence of Pakistan (1947).1962: the Company maintained its position among the top companies in Pakistan.1970, the Company extended its product range, different models and then Introduced kept on Increasing the range over the years.1981: a modern Japanese automatic Plant was installed to manufacture Enameled Copper wires of top international quality and marketed under the brand name SUPER PAK.1989: to live up to its progressive image the Company keeps itself alongside of the latest Technological Developments around the world. This Enables the Company to continually ever introduce new concepts in electric fans, the 'remote controlled fans. "1990: towards its role as a responsible corporate citizen Wahid Industries keeps on encouraging and contributing to social uplift programs and activities. At Gujarat, it set up a huge modern hospital - Equipped with latest facilities and top qualified medical personnel.1992: latest CNC machines and injection molding machines installed to make company were more self reliant in its production.1993: the Company diversified its operations and started manufacturing washing machine as well as with plastic body metal.1997: Wahid Industries took off another project and started manufacturing room air driers and coolers.1999: in the year 1999 to 2000 Pak Fan Achieved highest international quality award ISO-9002 certified company. Pak Fan FPCCI Also won the Trophy 1999-2000.2000: Company exported the fans for the first time and marked its international presence.2001: The Company won the highest export award trophy from that year; it is Continuously Achieving this award.2007: automated paint plant was installed to improve the quality of the product as well as reduce environmental pollution.As a result of its excellence and ever Evolving Innovative Technological process, PAK HOME APPLIANCES remains the utmost choice-both at home and abroad.

Companys productsWahid industries limited manufacture generally three kinds of products which include:1. FAN Specially designed blades Adjustable angles High grade copper wire Remote control option Powder coated guardBetter air throws Durable and lasting2. WASHING MACHINEPakistan's 1st ever plastic washing machine Save detergent & time due to use of amazing double action Washes more clothes due to large wash tub Washer & dryer in one Ultra clean wash Low energy consumption Prime quality electrical steel sheet3. ROOM COOLERS For the first time in Pakistan enter pumping water proof An efficient and energy saver cooling system Complete plastic body Very cold air and good performance Consumes less light 2 way auto air swing covers more area Ideal for shops, small stores Most suitable for large open, halls and lounges Ensures long lasting performance due to use of good quality material

CORPORATE PROFILEWahid Industries is a private fan medium sized manufacturing company in Pakistan. The company started its journey in 1944 before the independence of Pakistan and within no time, marked its Presence in the industry by creating a Brand Name Known as "PAK FANS". The company did not only Increase its diversified product line but Also its business by manufacturing range of other products like washing machines, driers, enameled copper wire and room air coolers and Established another new brand name "PAK HOME APPLIANCES".Wahid Industries has a privilege to be the most leading company in the fan industry in Pakistan in terms of production, sale and geographical coverage. Excellent technical expertise combined with industry knowledge EXTENSIVE Wahid Industries makes the perfect choice for customers for buying home appliances.The quality of "PAK" brand products tambien Acknowledged in various other countries. That is why, the sales network of company is not limited only to Pakistan but it exports its products across Also the globe Mainly Middle East, Europe and Africa. Its volume is Increasing export sales every year t an encouraging pace. This position is Acknowledged by authorities (FPCCI) and THUS Wahid Industries is winning the highest export award for the last 11 years continuously.The tradition of delivering quality products has earned a reputation of Wahid Industries producing trustworthy home appliances all around the globe. The company has won many awards for its best quality and highly qualified technical expertise. In the year 1998-2000, Pak Fan Achieved ISO-9002 certified, international quality award.Towards its role as a responsible and caring corporate citizen, Wahid Industries keeps on encouraging and contributing to social uplift programs and activities. At Gujrat, it runs modern hospital - Hospital Trust Wahid, Equipped with latest facilities and top notch medical personnel.

Corporate Social ResponsibilityAt Wahid Industries, We Believe That Our Ability to make a difference extends beyond our walls factories. Both as an organization and as Individuals, we are dedicated to playing an active role in Wahid Industries limited, surrounding Communities and across the nation-providing them With The support, special programs and outreach services to Improve Their Quality of Life.Wahid HospitalWahid Hospital is setup, run and managed by Wahid Industries limited. Situated on prime location at G.T. Road Gujrat, This hospital provides free healthcare services to all employees as well Wahid Industries as General Public. Following The hospital has facilities: 24 hours emergency / trauma center Outdoor Patient Wards Medical Ward Pathology Lab Facilities GynecologyWomen EmpowermentAt Wahid Industries limited, We Believe That Men and Women Have Equal Rights in every field. This Reflects believe in our Policies as an 'Equal Opportunity Employer'. We Encourage women to work and Contribute not only in national economy in upgrading But Also Their lifestyles and family betterments. We have females working in our offices not only in our factories But Also on highly technical machines.

Organizational StructureWahid industries is a market leader in the washing machine, room air cooler and fan, even today, because of the many brands of domestic and foreign investors in the Pakistani market Appliances. Following is the organ gram of the company.

ChairmanChief Executive General ManagerGeneral ManagerManaging DirectorGeneral ManagerGeneral ManagerDirector Production Director FinanceDirector HRDirector Marketing

Accounts and Finance DepartmentMr. Sheikh Amir is the Financial Officer of Pak Fan. He is working in Pak Fan in the past 16 years. He is responsible to manage the entire financial affairs. All transactions relating to cash or bank responsible for managing the financial affairs of that head of the Finance department. The following is the hierarchy of the accounts and finance department Mr. Sheikh Amir (Finance Manager) Mr. Naveed (Assistant Manager) Mr. Hafiz address (Accounts Manager) Mr. Umer butt (Assistant Manager) Miss Zara (Data entry Operator)

General MangerFinance ManagerAccounts Manager

Mr. Sheikh Amir has to do the following tasks while performing his job. The preparation of financial statements, such as profit and loss. Accounts and balance sheets. Consult financial matters with the General Manager. Approve factory expenses. Approval of the salary to labor. Acquisition of fund (i.e. raising of funds) Allocation of fund (i.e. investment decision) Fund Assessment (i.e. evaluation of financial activities)

Mr. Hafiz address has to perform the following things and all things below have been approved by the assistant accounts manager. Issuing chaque for factory affairs (expenses) Arrange monthly payments from vendors through company account. Make inquiries about online receipts / deposits. Filling of Directors files and finance related files. Casual posting of vouchers. Arranging banks and journal vouchers, and handed over to the cashier at the end of the day. Drafting letters and get it typed into the computer. Assisting Manager Finance, for allocation of daily expenses, project payments and issuing the chaques accordingly. Issuing chaques on the accounts of the company and self-accounts.The data entry operator does the following things during his job. Posting of receipts and payment vouchers. Posting of bank journal vouchers. Maintain all branches petty cash. Posting it to relevant branches ledgers.Sales and Marketing DepartmentMr. Mustajab Hussain was managing the marketing department. The Chief Executive of the company has played a leading role in the marketing aspects of the products, and he was fully aware of the international modern marketing trends. Mr. Asif is the Director of Sales and Marketing department. The team consists of assistants and salesmen and operates under the marketing manager. Sales department also consider under marketing department so that it is also dealing with issues related sales by marketing manager and director. Salesmen have to analyze the market by survey and find their position in the market.

Marketing DirectorMarketing Manager Assistants SalesmenSalesman of the company would have to capture market dealers, also responsible for the recovery of payments. First they take orders and then these commands are delivered to the production department. Production department provide the items of order after the delivery of goods the salesmen go for the recovery of the payment. The main task of the salesman is to get customers in the new market.Competitive Strategy Pak fan more emphasis on competitive strategy they use cost leadership and differentiation strategy, so this is because they are more aggressive in the market. They provide free services including after sales service and claim services, home delivery repair and maintenance. They also upgrade technology in products, and provide unique products new and different from competitors. Pak fan want to get a position in the market by changing their products, new designs and new models by adding new technology, by giving new attractive packaging. Pak fan to get more by changing their advertising strategies.They directly relate with the dealers even have to give them bonuses, discounts and bonuses to traders and various services for the comfort of the customer convenience because their competitors do not give such benefits to dealers as do Pak fan. They target the market sector by creating psychographic. In this part it targets the upper class because they have a high quality and standards that create a strong image in the mind of the customer. Because in this segment their competitors normally do not serve the needs of customer.

AWARDS & CERTIFICATIONISO CertificationWahid Industries limited achieved the ISO 9001:2008 certificate for all its products. This achievement underlines Wahid Industries Commitment to quality, durability, professionalism and social responsibility.Best Export Performance Trophy (Winner since 1999)Wahid Industries has a worthy repute of its products around the whole world. Its international sales network is spread not only in Asia but in Africa and Europe Also.THUS, FPCCI Wahid Industries Awarded 'Best Export Performance Trophy' in recognition of its contribution in growth of national economy.

Strategic managementVISIONOur goal is to go beyond the expectation of the customers by Providing them, outstanding products with quality and Greater value, to extend Presence in worldwide Market through latest and modern Technology and make the "PAK" brand an symbol of quality on the map of the whole world.MISSIONOur mission is to fulfill the needs and expectations by delivering reliable, yet affordable world class products to our customers consistently.CORE VALUES Competent Committed Caring Cooperative creative

MAIN COMPETITOR General fan company (GFC) Royal fan Youns fan

Learning in the OrganizationFIRST WEEK WORK ACTIVITY

In first week I have learned thevouching systemof Wahid industries (pak fan).Generally it uses two (2) types of vouchers.

1-CASH VOUCHER2-TRANSFER VOUCHERIn cash voucher system all payments are cleared in cash. Maximum amount is used in 50,000 in one voucher in pak fan limited. petty cash expenses are also recorded in cash voucher the amount of the petty cash expenses is not exceed to 10,000 in one voucherTransfer voucherare used only for credit base payment.

I learned about theHEAD OF THE ACCOUNTSOFWAHID INDUSTRIES LIMITED.I learned the expense nature and transfer out into their head of accountFOR EXAMPLEIf he buys paint the expense of paint is transferred to (pak fan purchase account) If he buys some tools for machinery the amount is transferred to (pak fan purchase tool account)I have learned theENTRY SYSTEMof pak fan, they uses own software for the entry systemEvery item (fans, air cooler, and washing machine) has different entry system because the tax nature is different to each other.

FOR EXAMPLEIn the sale of washing machine extra sales tax is include While as in case of fan no extra sales tax is included And these are differentiate with the help of software means That if we want the washing machine entry the extra sales tax Column is already included and in case of fans no column of Extra sales tax is mentioned. Also I have over view theLABORLEDGER ACCOUNT.

SECOND WEEK WORK ACTIVITY In second week I have learned about the next step of the accounting process going on in Wahid Industries Limited (Pak Fan). Recently I have learned about the how the accounting process starts in the manufacturing concern. As I have mentioned they make vouchers of very single item they purchase or every single service they get. After making those vouchers they entered these vouchers in their Software named FoxPro designed by the I.T manager Abdul Qayum an active member of Accounts Department. After entering these vouchers the manager Accounts post them in the Software and also signed those vouchers. The next step after entering and posting those vouchers is to write them in the Cash Book. I have also observed the Cash book very closely. The information from the debit and credit side of the vouchers is carefully written on the Cash book. All type of vouchers whether Cash or Transfer vouchers are written on the Cash book and also the balance at the end of the day is reconciled with the Software. After reconciling the balances the next step is to transfer the information from Cash Book to manual Ledgers that are properly maintained. But I have not gone through the Ledgers yet. I will study the Ledgers and how data is transferred from Cash book to different ledgers in the coming week.I have also learned how to do the Bank Reconciliation in current week. And I have also done the Reconciliation by myself with the guidance of a senior. I have learned that how entries are reconciled against the companies Ledger. All the entries are reconciled one by one. And the missing entries (un-presented cheques, un-recorded cheques, other bank charges etc.) are transferred to the Bank Reconciliation Statement, which is being prepared each Ten days. I have prepare the one month reconcile report against company ledger account and askari bank. This is my 2 day assignment and this report is check by manager of account and verifies this. I have learned that vouchers are the basics of accounts and its a very wide field. I have learned about many different General Ledgers and Party Ledgers vouchers. And I am learning more and more about those vouchers. I have also gone through the Purchase and Sale Registers. I learn how the draw information from Purchase and Sale Invoices and written down on these Purchase and Sale Registers.

THIRD WEEK WORK ACTIVITY As mentioned in previous report in current weak I have learned how to post the data from Cash book to Different Ledgers. I have learned that after writing the information from vouchers to cash book the data is then transferred to General Ledgers, Party Ledger and Labor Ledgers. The Head of Account of an entry determines in which Ledger it will be posted. The entries relating to Advances, Loans and salaries are posted to the Labor Ledger where the Accounts of all the employees are maintained separately. When an employee obtains a Loan, Advance or Salary from the Company first a voucher is made accordingly then the voucher is written in the cash book and then Posted in the Labor Ledger Account of the Employee. Just like that the payment made to parties a voucher is made which is then entered in software and then written on cash book and then at the end it is posted or transferred to Parties Ledgers in the relevant Account of the Party. General Ledger is different the Labor and Parties Ledger it contains variety of accounts in it. We cant just go through all the Accounts in 2, 3 or 4 weeks. However I have tried to learn as much as I could about the General Ledger and its posting in my Limited time. The machinery Accounts. Repair and maintenance accounts, fixed assets accounts, Bank Accounts and many others countless accounts are maintained in General Ledger. Just like the Labor ledgers and Parties Ledgers vouchers are made for every General Ledger entry they are then entered and posted in software after that they are written in the cash book and then at the end transferred to General Ledgers in the relevant accounts.When we post the data from Cash book to the concerned Ledgers we have to mention page number of the cash book where the entry exists. Just like that we also have to mention the Page number of the concerned Ledger Account on the Cash book when we are posting the data from Cash book to The Ledgers. Also I have seen the income tax deduction on the salaries of the employees. If the salary of the employee is 350,000(annually) there is no income tax is charge but if the salary is exceed from 350,000 but not exceed to 400,000 then 1.5% income tax is charged and if the salary is exceed from 400,000 but not exceed to 450,000 then 2.5% income tax is charged and if the salary is exceed from 450,000 but not exceed to 550,000 then3.5% income tax is charged and so on.All the employees are very cooperative and help me in every problems I learn more and more in every day.

FOURTH WEEK WORK ACTIVITYIn the ongoing week I have learned about the data entry system of Wahid Industries Limited (Pak Fan). They use software named FoxPro designed by Abdul Qayyum manager of I.T department. Who updates time to time and according to the requirement of information needed. In my current week first I have learned how to enter different vouchers in the software.There is different process for all kind of vouchers for example Sale voucher, Purchase Vouchers, Petty cash vouchers, Labor Voucher, Parties Vouchers and General Ledger Vouchers. There is different process of entry for each voucher. When we do data entry first we have to select that what kind of voucher we want to enter whether it is General ledger, Party, Sale or Purchase voucher. We select the relevant category and then enter the particulars from the relevant voucher. In sale vouchers there are further four categories Fan, Washing Machine, Cooler and Wire. Just like that they have different category for the sale made outside the country. I have entered all kind of invoices except Export invoices. Due to precautionary measures they dont allow us to enter the Export invoices but I do go through the data entry process. I observed how they enter the information regarding the Export or Local sale. I have also learned to enter the Purchase vouchers. Just like all the entry first we select the category of purchase entry and then enter all the particulars from the purchase invoice into the software. Data entry is a very wide field as one can understand we cannot learn all the data entry in just one week. So I have learned only the data entry of purchase and sale invoices. Firstly all the vouchers are entered in the Software and then secondly they are sent to the Manager Accounts for the purpose of posting in the Software. The posting process is very easy and requires only attentiveness. You just have to see whether the entered debit and credit amounts are equal and according to the vouchers or not. And also the debit and credit entry is correct for the transaction or not. If the transaction is correct in all aspect the manager just click the post button and the voucher will be posted

FIFTH WEEK WORK ACTIVITY In the ongoing week I have revised the recent workings. Firstly I have reconciled the Bank with the companies Ledger. I have made reconciliation of last 15 days of the July 2012. During the week I have made different vouchers as I have done in the beginning of my Internship. I have made different Petty cash vouchers, General Ledger Vouchers, Sales and Purchase Vouchers. During the week I have also write the Cash book and posted the Ledgers from the Cash book. I have also made data entry of Sales Invoices and purchase invoices. This week I have learned one new thing and thats how to prepare parties payment proof. The company submit sale Tax Refund file of each month. The partys payment proof is a very important part of the Sale Tax refund file. At first we made all the details of payment to parties against goods and services during the month and then we copy all the cheques through which payment is made to parties during the month. We also have to find out where this cheque stands in the Bank Statement of the Company. We also copy the Bank statement page on which the Cheque appears. Then we also have to write down the (date, Invoice no. and date of the invoice) against which the payment have been made. We write down this information on the copy of the cheque. Also if we have deducted any Tax on the payment to parties we also attach a proof of tax deduction for example the tax deduction certificate to make the payment proof complete.SIX AND LAST WEEK WORK ACTIVITY In last week I have visited the other departments of Wahid industries limited and I revised all the work activities that I have performed in previous weeks.

SWOT ANALYSIS

STRENGTHS1. Pak fan is an export oriented industry so they are very much committed with the quality product. They always produce and try to improve product which are of good quality.2. It is also strong in term of product flexibility, service and delivery. As they have to compete in national and international market so they have to be strong enough in these areas.3. It has good corporate image in market as for as foreign market.4. It has also cheaper labor cost.5. It has made a prominent place in market.

WEAKNESS As for as the weakness of pak fan is concerned, the big and major weakness in them is of cost. As they produce quality product so they cannot cut down the cost. When they incur high cost then their profit margin become low and they have to compete once again in foreign to sell their product as their cost is high.

OPPORTUNITY Due to the government's policy of low export duties, pak fan has opportunities to increase its exports. Due to the strong financial position of the company, management can use the latest technology in their products. Company can use the brand name in the international market to increase sales of Fans. The company is financially very strong, so it can use the electronic media and print to increase their sales.Company should appear in International Industrial Exhibition. It's a great opportunity for the company to create brand awareness in the global markets

THREAT Chinese technology is a very big threat to pak fan. Other competitors of pak fan offer the same products at relatively lower prices. There are a large number of new companies set to increase competition in the market. STYLO Washing Machine Company invests heavy budget in promoting their products. Current energy crisis and electricity is a very big obstacle to the company's manufacturing unit. Due to lack of electricity the company may not be able to meet the demand.

RECOMMENDATION AND SUGGESTIONFollowing are the suggestions to be implemented at pak fan in order to overcome the shortcoming and flows observed by the internee. In order to minimize production cost and to improve its liquidity ratios, the company must try to introduce a better inventory control system in the production process. For this purpose computers and latest technologies must be relied upon. In order to enhance the morale of the employee, the company must review its remuneration package offered to them. The monetary and other benefits must be offered on the basis of equity, i.e. the reward received by each employee from the organization. Must be compatible with his contribution to the company.

In some department the duties and responsibilities of the employee are not clearly defined. Resulting in dissatisfaction as to their jobs. Ambiguities about the role and duties must be minimized.

In order to check the manipulation of quantities of the chemicals; already as has been observed many time, the company must be install its one computerized measurement scale.

The company must plan to construct a separate canteen for the managerial staff. These people have been facing the lunch and entertainment problem for a long time. This problem must be immediately resolved.

In grey department the workers are not doing work properly because without masks they are facing breathing and other problems. The management should provide them proper uniform. There should be proper system of communication between high level of employees to low level of employees as the company has very poor communication The firm makes its culture strong because the lower level management is not fully motivated by the upper management. The decision of the firm was taken by the upper management only which may weak the decisional power of the workers. So decision should be made by both upper and lower management

ConclusionI had done my summer internship from pak fan . In Pak fan there is following departments: Production department. Inventory department Maintenance department. Packing department. Finance department. Marketing department HR departmentThe conclusion is arrived through analysis and observation. Each department isWorking under managing director. Each department head is to report the work toManaging director.The organization provides a good salary package for employee based onPerformance. In production department I had found that the production process is quite smooth. I conclude that organization working culture is not so good; it has found that most of them especially lower level employees not expressed view regarding work life, but some of the experienced workers are satisfied. And satisfied with the rules and regulations of the organization and the relationship with co-workers and wages scheme. The company needs an HR department to develop strategy for employee relationship.

Referenceshttp://www.wahid-industries.com/http://www.superasiagroup.com/aboutus.htmlhttp://www.wikipedia.com/Page | 6