Final

A
Project Report
On

“Working Capital Management”
Pragati Electrocom (P) Ltd
Submitted In the partial fulfilment of requirements for the award of
degree of
Master of Business Administration
Session [2014-16]
Submitted to:

Submitted by:

Ms. Shipra Sukhija

Naveen

Assistant professor

14007532005
(MBA Deptt.)
DITM

DEENBANDHU CHHOTU RAM UNIVERSITY OF SCIENCE &
TECHNOLOGY MURTHAL, SONIPAT
0

DECLARATION
I, Naveen, certify that the Project Report entitled “A Study on Working Capital
Management” is an original one and has not been submitted to any other Institution for
the fulfillment of the requirement of a course of Management Programme (MBA).

Place: Gannaur

Naveen

1

Certificate
This is to certify that Naveen bhardwaj, of 20014-16 batch of Delhi Institute of
Technology and Management has worked with our company for her summer
internship from 1-June-2015 to 1-August-2015 and has worked on Working Capital
Management .The work carried out by her and performance shown by her during the
period was found excellent/very good/good/average.This certificate is being issued to
meet the requirement of the university.

Signature of Supervisor
Date:

Name and Designation of signatory
Seal/stamp of the Organisatio

ACKNOWLEDGEMENT

2

A collaborative project like this does not exist in a vaccum. In order to keep this project
running, one need support and help. Project “Working Capital Management of Pragati
electrocom Pvt Ltd.” has been fortunate to have the support the following.
I wish to express my sincere gratitude to all of those who helped me directly or indirectly
in conducting this work and encouraged, inspired me all through the study.
It is my privilege to express my in debtness to Mr. GIRISH SHARMA, General Manager
of Finance Department without whose help this project could not have been completed.
His guidance, encouragement & valuable suggestion lead my way through most difficult
period during the project.
At this juncture, I am grateful to my Faculty members Mrs.Pooja Arora and Ms.Shipra
Sukhija (Asst.Professor) who have provided me important ideas, support and
assistance all through the project.
I am immensely grateful to my friends for their constant support and encouragement. I
would also like to express my sincere thanks to all respondents, who may go as
unnamed. Their co-operation despite the time, work constraints and their valuable
opinion has been of immense help to me.

NAVEEN

3

Executive Summary
Building on ideas and structure is the first requirement of the project. It stresses the
ideas of contemporary structure analysis and uses modeling technique to describe
system.
It also distinguishes between physical and logical design and emphasis the structure
way of moving from a description of user needs to a working system.
Most of the changes concentrated on improving and expanding the explanation of some
principle. The underlying philosophy of the project remains the same.
To introduce the technical in the sequence required in the practice. One important set of
technique is known as structured system analysis, which concentrates on data,
developing data models and using data analysis models.
Process flows are then defined around the data models, data analysis techniques. A
further set of techniques concentrates on functional analysis to describe in the system. I
also took the help of ratio analysis in my study to know about the financial position of
the company. The first section includes introduction to Pragatielectrocom. The
successive chapter introduces us with the project, gives proper definition to the
problem, objectives of the study, significance of undertaking this project and defines the
limitations and scope of the study. The third section briefs us about the way of carrying
out the research methodology, which in turns tells about the sampling, data collection
methods, field work, analysis and interpretation etc then is given the results and findings
devised out of the research project.
Financial Statement Analysis is the process of identifying the financial strength and
weakness of the organization from the available accounting data and Financial
Statement. The analysis is done by properly establishing the relationship between the
items of balance sheet and Income and Expenditure accounts the first task of financial
analyst is to determine the information relevant to the decision under consideration from
the total information contained in the financial statement. The second step is to arrange

4

Particulars

Chapter No



1

Acknowledgment
Executive Summary

Introduction
1.1 Introduction to industry
1.2Introduction to Organization
1.3Introduction to Topic

2

LITERATURE REVIEW

3

Research Methodology
3.1 Methods of Data Collection
3.2 Sampling
3.3Hypothesis and About Questionnaire

4

Data Analysis and Interpretation

5

Suggestions and Recommendations,conclusion
Bibliography

Annexure
INDEX

5

CHAPTER 1
AIM AND ESTABLISHMENT OF THE COMPANY

Pragatielectrocomestablished in the year 2001, Pragatielectrocom has worked with
clients from different industries and has gained rich experience. Maintaining
international standards the organization takes pride in its accomplishment. It would be
worthwhile to mention that Pragatielectrocom has always been a focused company and
has served the industry with diligence.
The organization has come up with innovative products from time to time to serve its
clients in the best possible manner. Pragatielectrocom promises unparalleled customer
satisfaction through excellent quality of both products and services. The company is
focused on developing cost effective, efficient solutions that are not only profitable for its
clients but also environment friendly. Commitment to customer, ethical business
practices, R&D oriented products and timely assistance to client's need makes
Pragatielectrocom a preferred business partner.
Pragatielectrocom has a modern design & development center equipped with fully
automated manufacturing facility. The facility sprawls across an area of 20000sq. meter
and has two shops of 6000sq. feet each for Fabrication and 6500sq feet for
Galvanization. The production capacity of the plant has increased from 1500 tons to
2500 tons, with the up-gradation of existing facility and with installation of new
machinery. The infrastructure is upgraded on time to time keeping in mind the present
day's requirements thus enhancing the productivity and maximizing customer
satisfaction. The infrastructure is manned by a well trained& experienced team of
technicians, which form an essential element of our manpower.
A team of 120 experienced technical & non-technical professionals form the backbone
of Pragati's infrastructure. The teams work in tandem to analyze, evaluate and develop
6

products that meet customer requirements. The manpower is carefully selected by our
experienced recruitment panel and the management team who ensure quality of the
human resource. In an endeavor to enhance their productivity regular in-house sessions
are conducted that gives a new vision to the employees to refreshes their knowledge.

History
86.924: This was the register number in the Trademark Directory, the start of an exciting
story in the history of Indian industry. Who would have thought 21 years ago that one
day PRAGATI ELECTROCOM will produce with more than 38000 employees worldwide
in about 49 production facilities in 19 countries sales of 4.3 billion Euros?

Our Vision, Mission and Values
Values: The expectations and targets of company are reflected in its policy and continuous
efforts for expanding its share in the market. The PRAGATI ELECTROCOM Vision 2005
proves to be the statement of its goals and would shape its future in India. The high
connectors of PRAGATI ELECTROCOM Vision 2005 are:
-

Mission:-

Pragatielectrocom sales over INR 3 billion.
Pragatielectrocom leader in CFL, FO and ECG.
Pragatielectrocom the most respected brand name in the country.
Pragatielectrocom products available in all parts of India.
Better Technology
Better Quality
Better Tomorrow
Optimum Power and Tower Solutions for an energized world.

Vision:- Customer Satisfaction.
- End to end novel solutions for energy conservations.
- Commitment to Total Quality.
- Cost and Time consciousness.
- Innovation and Creativity.
- Trust and Team Spirit
Facts and Figures
7

Pragatielectrocom is one of the two leading connect ring manufacturers in the world.
Connector from Pragatielectrocom shines in about 150 countries. With sales outside
Indian accounting for 88 % of total turnover and a sales presence on every continent,
we are a true global player. In the 2006 fiscal year, Pragatielectrocom more than 40000
employees produced sales of Euro 4.6 billion.
New markets and innovations
New Markets :In addition to Europe and North America, two bases where PRAGATI ELECTROCOM is
particularly strong, Asia is one of the most important growth markets for PRAGATI
ELECTROCOM

innovative products. In 1994 the Indian sub-continent became a

potential growth center for the energy efficient conjecturing products.
PRAGATI ELECTROCOM Pvt. Ltd. became quite strong and with the acquisition of
E.C.E. Terminals, division the projected sale was projected to be in excess of Rs.100
crore. Pragatielectrocom continually improves its market presence in Eastern Europe.

Management Policy towards quality: -

To fulfill the requirement of our & external customer.
To optimize and harmonize interrelated process rather than individual functions.
To prevent the mistakes to happen.

Quality Objectives:-

To achieve customer satisfaction index of 60% within 3 years.
To conform to the budgetary plan for production, shrinkage and efficiency.
To confirm with “annual PPM plan ".
To upgrade three raw & packing material supplies each year to a quality score

57/60.
- To bring down number of accidents by 20% every year by following the safety
-

norms.
To maintain training index of 0.5%

8

Corporate Citizenship
UN Global Compact: -PRAGATI ELECTROCOM is committed to behaving responsibly
towards people and the environment.
Social commitment: -As a global company we do business in many cultures and
societies and are involved in local activities. For example, around 60 percent of the
employees at our factory in India and 40 percent employees work out off India.
Development projects: Pragatielectrocom works together with NGOs (Non-Governmental Organizations) for
projects in developing countries. These projects include connect ring for regions without
a permanent power supply, and technology for mobile water purification.
Education: Pragatielectrocom provides support to poor families so that their children can go to
school. Pragatielectrocomemployees provide the children with financial help for day-today living.

Environmental Management
Definition of environmental management :-The environmental management system
includes all employees and departments who are responsible for improving the
company's environmental protection. This also comprises all environmental
planning and organizational activities and applied processes and methods to
develop, implement, maintain and evaluate the company's environmental
policies.
Pragati

electrocom

environmental

Guide

lines

:-The

Pragati

electrocom

environmental guidelines were introduced in 1998. We hereby commit ourselves to
respect the environment, assume responsibility for it, deal with resources
economically and avoid any negative impact on the environment. We underline our
commitment to active environmental protection with these environmental guidelines.
They apply to all pragati electrocom activities and to each individual employee.
9

Production and the environment: - All pragati electrocom products are made using
environmentally friendly methods of production. Around the world, pragati electrocom
continually monitors its production techniques for environmental compatibility and
develops new manufacturing processes. Ornament, Health and Safety Officers support
our management and employees in all plants. Our systematic meets the international
standard for environmental management systems ISO 14001:2004 and creates legal
certainty as well as a continuous improvement of our environmental performance.
Though the company leads in the telecom sector, it provides technical support to many
other industries. The company provides solutions to all aspects of power protection.
Pragati Electrocom maintains a steady growth rate and has continuously expanded its
profile. Today it excels not only as an OEM and solution provider but also as a turnkey
solutions provider and technical consultant.
Work Methodology
Pragati has a large team of trained professionals that work according to set standards,
constantly upgrading

their work

techniques,

that assures meeting

customer

requirements timely and as per defined quality standards. The company follows a well
defined work methodology for organized working, which leads to zero-errors and higher
efficiency. The Work Methodology includes:


Understanding and Developing clients requirement



Project planning & System design



Product manufacturing / fabrication



Assembly / integration



Product testing



Installation and implementation at clients site



Maintenance & post sale services

10

TSP (Total Solution Provider)
We as an experienced Total Solution Provider offer services encompassing Site
Survey, Soil Testing, Lease and other document collection from concerned authority,
Statutory approval, Drawing approval from concerned authority, Tower and its
foundation work, DG & its foundation work, Shelter & its foundation work, Outdoor
electrification and earthing work, EB connection. We are the most preferred total
solution provider in the industry as we develop, deploy, supply and train our clients for
the existing process.

EPC (Engineering Product Consultancy)
We are a Technical Consultancy for Network Infrastructure, Services, Design and
Development of software/hardware and customized products. We offer services for
complete design, product selection and execution of Telecom, Railways and power
related projects. We cater to all the requirements of our clients in unbiased, ethical and
opinions that are backed by education, experience and innovation. We also provide
consultation and review of the factual information and give optimum solution in most
cost-effective way.
Turnkey Projects
PragatiElectocom has the expertize in executing Turnkey Projects for Telecom,
Railways and Power projects. Our technical team consists of skilled and experienced
professionals who have undertaken and commissioned various such projects
successfully. Complete design, product selection & execution of projects is conducted
by us in most efficient and cost effective manner. Our technical knowledge and
extensive experience across industry verticals have leveraged our capabilities to meet
most demanding requirements of turnkey projects.

SWOT ANALYSIS
STRENGTHS:
PragatielectrocomPvt. Ltd. is Strong Brand Equity in the market of the products.
1. It is having a complete product range of its products.
11

2. Its products are ISO marked which means that the products are
standardized products.
3. The company provides after sale services to its customers, which make
them, satisfy in all respects.
4. The company uses better and advance technology for manufacturing
goods.
5. The company makes available better quality products, which has increased
its goodwill in the market very much.
6. PragatielectrocomPvt. Ltd. is having very strong Distribution Network, which
make available its product in every part of the world.

WEAKNESS:
1) There is lack of complete automation.
2) Product range is not speedily increasing as compared to that of
competitors.
3) Lack of professionalism is also its weakness.
OPPORTUNITIES:
1) Power has been accorded a “Priority Status” by the Govt. of India.
2) Good demand from developing countries resulting in high capacity
utilization.
3) Increasing bulbs and tubes market due to huge investment planned in
power generation by the Government.
4) Increased emphasis on energy is saving and environment friendly
connectoring products by all segments all over the world.
5) Huge unexplored export market.
THREATS:
1. Freeing up imports and reduction of import tariff barriers resulting increase in
imports and consequent lowering of capacity utilization and dumping of low
quality and cheap products into India.
2. Unchecked import shrinking of sales and profits due to increase in the number of
company.
3. Market expansion rate is 10% and entering of competitors is at the rate of 30%
which results in Supply > Demand

12

Research and development
Since the beginning, PragatiElectrocom has kept its focus on future challenges &
demands of the market and hence, has been developing several innovative
products & solutions for clients and industries. In-house R&D team that has
graduate and post graduate engineers from IITs, RECs etc., who diligently work to
meet challenges posed by the markets. Focused R&D initiatives and in-house
facilities have been instrumental in Pragati's quest for new products & innovative
solutions. The R&D unit has modern instruments such as latest micro-controller
development systems; DSP based digital and analog based controller development
systems etc., related software development capability also enables Pragati to refine
the process of research & development

Description Of Product
PragatiElectrocomPvt. Ltd. has taken over terminal, connectors, coupler, wiring harness division
of ECE industries limited satiated at imtManesarGurgaon in 2001.

PragatiElectrocomPvt.

Limited is now owner of the factory. Here different luminary products are manufactured in the
following plants:
PRODUCT OF PRAGATI ELECTROCOM :-











Power Conditioning, Automation and Energy Saving Products
Power Protection Products
Telecom and Transmission Towers
Shelters
Free Cooling System
NMS (Network Management Systems)
Solar Based Solutions
Maintenance Free Chemical Earthing
Lightning Arrestors

Development:-We

systematically

research

innovative

applications

for

new

environmentally compatible raw materials and further develop our products to meet or
exceed today's environmental standards. PRAGATI ELECTROCOM researchers work
continually to increase the service life of our products and enhance their operating
efficiency. We strive to use as many environmentally friendly materials as possible
during the production process and constantly search to find replacements for
environmentally
13

Product use:-During product development we place special emphasis on the operating
efficiency of our terminal, connectors, coupler, wiring harness. Our research and
development also focuses on eliminating as many toxic materials as possible and
replacing them with environmentally compatible substances.
Legal regulations:-It goes without saying that we respect all legal standards and
regulations. We closely follow current and expected developments in environmental
standards and work hand in hand with environmental agencies and institutions. Our
guiding principle in everything that we do is to limit our impact on the environment by
continually improving our processes.
Customers:- PRAGATI ELECTROCOM products unavoidably contain environmentally
hazardous materials. Our researchers continue to develop our products to reduce the
amounts of toxic substances in PRAGATI ELECTROCOM. The objective is to replace
all environmentally harmful substances with environmentally friendly materials.
Responsibility at Pragatielectrocompvt ltd-To achieve its environmental objectives,
PRAGATI ELECTROCOM has created the necessary organization with clearly defined
areas of responsibility and a management system to produce continual improvements.
Pragatielectrocom provides power conditioning, automation and energy saving products
for usage across industrial & commercial establishments. Our array of products includes
Power Management System (PMS), Static /Servo Voltage Stabilizer, Power Distribution
Frame, Phase & Neutral Balancing System (PNBS) etc. These products are based on
extensive research and the use of latest technologies ensures efficient performance in
different environment. Our highly efficient Power Conditioning, Automation and Energy
Saving Products are available at most competitive prices.

14

Power Management System (PMS)
A Power Management System is a modular unit, which combines Static Voltage
Regulator, Isolation Transformer, Best Phase Selector, Auto Mains Failure, AC
Distribution Panel, Lightning and Surge protection and Alarm systems to provide
the Power Management Solution for Telecom BTS sites. PMS has utility for
other applications as well where a controlled power is required for electrical
appliances at industrial sites, manufacturing facilities.
Features

Stabilizes single and three phase supplies

Wide range of inputs 155 to 495V Line to Line

Output voltage Stabilized to +/- 5%

Power rating from 5 KVA to 50 KVA

Lightning and Surge protection is built-in

Auto Main Failure panel ensures un-interrupted supply to load

Fuel saver logic for energy efficient operation.

AC controller logic for long and efficient AC operation

Fire alarm system

Aviation lamp power supply with controller

Potential free contacts for remote transmission

Remote monitoring facility through GSM

Servo Voltage Stabilizer (SVS) / Line Conditioning Unit

15

Static/Servo

Voltage

Stabilizers

have

been

specifically

designed to safeguard large electric equipments against
voltage fluctuations. It provides complete power protection to
sensitive electronic appliances like industrial refrigerator, air
conditioners,

computerized

sewing

machines,

sensitive

medical equipments etc., against large main voltage supply
variation. It is advantageous as it is an energy saver, protects
electric equipments at both low and high voltage and protects
them from overload. This system keeps check on voltage
variations by quick rate of correction which completely protects
the appliance.
Features:










Variable voltage regulator
Very wide input range (155 to 500 V L-L)
Output regulation within +/- 1%
Power rating from 5 KVA to 500 KVA
Automatic Voltage Correction
Automatic Power Protection & Surge
Electronic Control Circuit and meter panel
Synchronous motor controlled by thyristors
Special radiators are provided for effective cooling of the



system.
Incorporated with core of high grade Electrical Silicon



Steel
Lamination, which minimize the losses

16

Power Distribution Frame (PDF)
A Power

Distribution

Frame

(PDF)

is

a

system

designed

to

provide

telecommunication equipment with direct current through protective device. PDF
distributes DC voltage of battery to the various circuits in RBSC and MSC Telecom
installation sites. The equipment is generally used in applications where a power
plant is with low distribution. It is used to supply power to transient sensitive
electronic telecom equipment. The frame is advantageous as it limits the current
during a short circuit at any of the distributed outputs without disturbing operation of
other circuits. In case of short circuit at any of the output, the voltage at all other
outputs will remain unchanged. The equipment has cabinets, distribution unit,
distribution circuit breaker filter module and central supervisory unit. It supports 132
distribution outputs of -48 V, which can be taken out for different loads.
Features
Operation with 48 V Battery supply of the Power Plant at Telecom sites

Two filter units (one hot stand-by) to give extra filtering to 48V supply

Isolation and fuse protection provided in 48V path

The system can be equipped with maximum 6 distribution units

Each distribution unit has a capacity of 22 distribution circuit breakers

Circuit breakers can be of capacity 10A, 30A and 50A

132 (22 x 6) distribution outputs of -48 V can be taken out for different loads

Internal wiring & connections are made for ease of unit exchange

System has Monitoring units & Alarms for each output

17

Automatic Voltage Regulator (AVR)
Phase & Neutral Balancing System (PNBS)
Pragatielectrocom offers reliable protection against large mains voltage fluctuations to
air conditioners. They are available in 4/5 KVA 1PH & 3PH. These products are
specially designed for the telecom industry. The prime advantage of AVR is that it
protects the appliances from being damaged due to the voltage fluctuations.
Features:









High efficiency
Light weight
Wall mounting
Digital display of voltages and currents.
Quick corrections
Works on a single as well as three phase AC supply
Accurate
Voltage regulation for a wide input range

Phase

and

Neutral

balancing

systems

is

specially

designed

by

Pragatielectrocom for managing uneven load distribution in a three phase system.
A three phase power system, when unevenly loaded, causes different phaseneutral voltages and heavy unbalance current flows in a neutral conductor. This
results in huge power loss. PNBS when connected across the mains input
equalizes the three phase voltages there by reducing the neutral and the power
loss. PNBS also generates virtual neutral or phase for the load if the same is not
available in mains supply. The use of this system reduces power bill as it equalizes
voltage

and

cable

losses

18

are

also

reduced.

Features:

Reduction of Neutral Current

Energy Saving

Better Quality of Power

Equalized Three Phase Voltages

Availability of Three Phases even in case of Phase Failure In Supply

Equalize Phase Angle of each phase at 120 0

Reduction of DG running

Diesel Saving in Urban areas of around 15-20%
SMPS - Power Plant

A switch mode power supply plant ensures that there is an uninterrupted supply of
DC current to DC equipment when they are connected to batteries. The rectifier
modules convert the sinusoidal alternating current from the main supply into direct
current and deliver it to the equipment. Batteries connected to the plant store energy,
so that they are able to deliver it back to the equipment in case primary mains supply
become

unavailable.

The

power

systems

are

designed

integrating

the

microprocessor controller, DC Distribution Board and the modules of suitable
capacity. The main advantage of this plant is that despite its small size and light
weight it is highly efficient.
Features:







Micro- controller based monitor card
One outlet for battery
A wired mechanical cabinet for six rectifier module
Switch mode rectifier module
Customized DC distribution protected by MCB's
Outlet for batteries

Isolation Transformer

19

Transformers have capacitance from a winding to any nearby
Conductor. They can couple high frequency signals and noise
to these near-by conductors. This mechanism can carry high
frequency noise. They work between the input primary to the
output secondary winding or vice versa An isolation
transformer eliminates common mode noise providing an
isolated neutral-ground reference for sensitive equipment.
Isolation

transformers

are

generally

with

symmetrical

windings. An isolation transformer transfers an AC signal from
one device to another without electrically connecting the two
circuits. These remove EMI/RFI noise, utility switching
transients, and harmonics generated by other on-site loads
utility

or

lightning

related

surge

conditions.

Features:





Very High impedance between input and output
Isolation levels up to 90 db
Conforms to IS standards
Compact and modular design

Class B Protection
Class B protection at building entry point
are made for easy lighting arrestors
which operate on RADAX technology.
They have 100KA at 10/350 micro
seconds pulse handling capacity.

Class C Protection
20

Class C Protection is capable of handling surges of the order 20KA
at8/20 micro second with the help of fuse less surge arrestors. The
multi-strike handling system operation is regulated by using an
energy coordinated coil.

Telephone Line Protection
These are plug-in surge arrestors that protect communication
network using line systems. These are designed using
insulation pierced connections that have built- in fail-safe
overload protection and surges up to 10 KA (average) at 8/20
microseconds.
The device provides four stage protections with combinations
of GD Tube, MOV's, PTC and Surge suppressor diodes. The
device operates in a fraction of a second with operating
temperature range of 25C to + 80 C. It provides protection in
four areas:- Radio Frequency Interface Protection, Computer
Network Protection, Coaxial Cable Line protection and Data
Line and server Protection.

21

22

Balanced Telephone Line Protection
Plug-in surge arrestors for protecting communication network using line
systems have been designed using insulation pierced connections with built
in-fail safe- overload protection and surges up to 10 KA (average) at 8/20
microseconds.
The device has been designed with four-stage protection extended with the
combination of GD Tube, PTC, MOVs and Surge suppressor diodes. The
devices are capable of operating in < 1 n sec. With operating temperature
range of -25 C to +80C.
Stage-I : The GD Tube placed across the line at the subscriber end, as well
across the earth, small extend total protection between line to earth, return to
earth, live to return path. The fuse installed at the Telephone Exchange side
shall blow-off to protect the Exchange.
Stage-II : The combination of two PTC's and three MOVs shall protect the
Telephone Exchange in case of surge on the line if GD Tube fails to function,
on all three routes i.e. line to earth, return to earth, and line to return path.
Stage-III :In case of non-functioning of first two stages the surge suppressor
diode (Clamp Diode) shall clamp the surge signals resulting in the fuse blowoff

thus

extending

protection

to

Telephone

Exchange.

Stage-IV : The PTC is provided prior to MOV to create line impedance for
safeguard of the MOV from blast in case of surges. The coordination coil
before the surge suppressor diode, provide line impedance for safeguard of
suppressor diode. The LED in CCT indicates the healthy and proper polarity of
the line. In case of short CCT at subscriber end, sufficient line impedance is
maintained with the help of PTC and coordination coil for over-load protection
23

of Telephone Exchange. Technically the GD Tube, MOV's and Surge
Suppressor Diodes are voltage protection devices and PTC and Coordination
Coil are current protection devices.
Plug-in surge arrestors for protecting communication network using line
systems, have been designed using insulation pierced connections with built
in-fail safe- overload protection and surges up to 10 KA (average) at 8/20
microseconds.
The device has been designed with four-stage protection extended with the
combination of GD Tube, PTC, MOVs and Surge suppressor diodes. The
devices are capable of operating in < 1 n sec. With operating temperature
range of -25 C to +80C.
Coaxial Cable Surge Protectors
All the receivers and emitters of radio signals are very sensitive to surge
voltages since they are highly electronic equipments. A typical weak point of
these devices is the input of the coax cable, which may become the
conductor for the surge voltage. Both radio and TV antennas are very
exposed to receive the effects of surge voltages from atmospheric origin
since they are located in the highest parts of buildings or structures. The
surge voltages can be conducted by a direct strike of lightning to the antenna
or the electro-magnetic field when lightning strikes in the proximities can
induce them.

POLICY OF THE COMPANY

RESEARCH AND DEVELOPMENT
One of the key strengths of the company is R&D. Over the years it has made major
investments in its R&D division. Most importantly, the senior management is taking keen
direct interest in various development projects.
24

The backbone of pragatielectrocom is its corporate R&D center, established with an
investment of Rs. 100 million and has distinction as a approved lab by govt. of India,
capable of conducting tests as per Japanese standards, European Homologation.
EEC/ECE, JASO & JIS. ISO 14001, environment certificate serves to show that
Pragatielectrocom is committed to being a responsible corporate citizen by ensuring
that we take heed to minimize and where possible eliminate environment unfriendly
substance.

Corporate Social Responsibility
Pragatielectrocom corporate philosophy is "RESPECT FOR INDIVIDUAL". Their
employees are their greatest assets. Their future growth depends greatly upon
excellence in human resource management and development.Their offer equal growth
opportunities across the Organization. Company provides conducive environment for
employee's growth, by providing training and exposure for overall development with a
view to make them able to shoulder added responsibilities. We are commitment to
Corporate Social Responsibility & pledged to dedicate some part of its profit, on a
continuous basis towards Corporate Social Responsibility

Quality

PragatiElectrocom is an ISO 9001:2008, 14001:2004, OHSAS 18001:2007 certified
company working in compliance with defined norms to offer superior quality products
and best services. It works towards pushing its benchmarks and always adheres to its
commitments. The organization makes no compromise on the quality of the products
and ensures that its products conform to industry defined standards of performance &
safety. The products comply with UL, CSA, EN, TEC and RDSO standards. The inhouse quality audit & controlling unit is equipped to undertake all required tests &
assessment procedures to ascertain compliance to defined parameters.
25

26

27

Quality assurance is not merely a practice at PragatiElectrocom; it is an integral part of
material procurement, manufacturing processes, product delivery and all subsequent
procedures. We, Pragati strongly believe in providing total customer satisfaction by
adhering to global quality standards and following best practices such as:


Excellence in product & process development



Constantly adhering to systems & procedures



Carrying out constant improvement through committed vendors and employees

We manufacture the most genuine components as quality and commitment are the
paramount concerns at Pragati. Our relentless support, adherence to quality
specifications and compliance with the latest automotive quality system standards
makes us the preferred choice of global OEMs and international partners.
The team at Pragatielectrocom strives to improve the levels of quality, efficiency and
delivery thereby providing flawless service to our clients. We make all possible efforts to

28

meet the requirements of our clients and produce products that are at par with the
emerging automotive technology.
Apart from this, the company is also practicing TPM for better utilization of maintenance
and production resources.
As a part of our responsibility as a corporate citizen, we ensure that the processes a
Pragati premises cause minimal harm to the environment and we undertake several
steps to eliminate this effect. It has been awarded the ISO 14001, environment
certificate for the initiatives taken by the company in this regard.
Our efforts to bring in world-class quality practices with zero defect approach insist on
the fact that we want to be fully committed to quality & customer satisfaction, and to
become a world-class organization as we move ahead.
Testing
The facility is equipped with the following testing apparatus:


Environment Test Chamber of
Size 2.5 M X 1.5 M



Inspection Fixtures



Hardness Tester



Tensile Testing M/C



Color Checking Booth



Minolta Color Comparator



MFI Testing M/C

29

ORGANISATIONAL STRUCTURE OF THE COMPANY

A brief introduction to Divisional / Departmental heads.
CHAIRMAN
CMD holds to most position in the organization. He is the owner of the Company.
Heguides the functional heads to smoothen their activities. It is the key position in the
organization.
EXECUTIVE DIRECTOR OPERATIONS:
He is the overall in charge of P&A, HRD, Systems, TQM and Critical Issues.
PRODUCTION HEAD:
He is the overall in charge of works. He is directly involved in production planning.
He formulates various policies for betterment of the product. He issues guidelines to
Production Department and Quality Control Department for implementation of the
policies.
FINANCE HEAD:
He is directly involved in finance matters and finance policy. He is also involved with
personnel department for wages compensation, salaries and other financial benefits.

30

HR HEAD :HRD Department is responsible for better utilization

of manpower

through

Recruitment’s, Selections, Training, Development, Retention and Welfare of the group.
It is involved in policy formation and its implementation.

SR.GENERAL MANAGER
He is responsible for marketing, Design, Estimation and Projects Management
PERSONNEL


A.K.Khurana ( Executive Director )



R.K.Girish (Finance Head)



K.Murly (Business Head)



Rohit Mehta(Marketing Head)



Kalyan Singh (HR Head)



D.S.Chawla (R&D Head)

CHAPTER 2
LITERATURE REVIEW
REVIEW OF LITERATURE
Definition:
31

Edwin Flippo defines Recruitment and selection process as "A process of searching for
prospective employees and stimulating and encouraging them to apply for jobs in an
organization."
In simpler terms, recruitment and selection are concurrent processes and are void without each
other. They significantly differ from each other and are essential constituents of the organization.
It helps in discovering the potential and capabilities of applicants for expected or actual
organizational vacancies. It is a link between the jobs and those seeking jobs.
According to Korsten (2003) and Jones et al. (2006), Human Resource Management theories
emphasize on techniques of recruitment and selection and outline the benefits of interviews,
assessment and psychometric examinations as employee selection process. (Korsten 2003).
Jones et al. (2006) suggested that examples of recruitment policies in the healthcare, business
or industrial sector may offer insights into the processes involved in establishing recruitment
policies and defining managerial objectives.
Price (2007), in his work Human Resource Management in a Business Context, formally
defines recruitment and selection as the process of retrieving and attracting able applications for
the purpose of employment. (Price 2007).
Hiltrop (1996) was successful in demonstrating the relationship between the HRM practices,
HRM-organizational strategies as well as organizational performance. He conducted his
research on HR manager and company officials of 319 companies in Europe regarding HR
practices and policies of their respective companies and discovered that employment security,
training and development programs, recruitment and selection, teamwork, employee
participation, and lastly, personnel planning are the most essential practices (Hiltrop 1999).

As discussed by Jackson et al. (2009), Human resource management approaches in any
business organization are developed to meet corporate objectives and materialization of
strategic plans via training and development of personnel to attain the ultimate goal of improving
organizational performance as well as profits.
Organizations are now developing models of the kind of employees they desire to recruit, and to
recognize how far applicants correspond to their models by means of reliable and valid
techniques of selection. Nonetheless, the researchers have also seen that such models, largely

32

derived from competency frameworks, foster strength in companies by generating the
appropriate knowledge against which the job seekers can be assessedBratton & Gold (1999)
However, the process of recruitment does not cease with application of candidature and
selection of the appropriate candidates, but involves sustaining and retaining the employees
that are selected, as stated by Silzer et al. (2010).
According to Silzer et al (2010), that was a core challenge in designing talent systems, facing
the organization and among the senior management. The only solution to resolve the concern of
attaining efficient talent management was by adopting fully-executable recruitment techniques
organizational

contexts.

Toward that end Taher et al. (2000) carried out a study to critique the value-added and nonvalue activities in a recruitment and selection process. The strategic manpower planning of a
company, training and development programme, performance appraisal, reward system and
industrial relations, was also appropriately outlined in the study After careful consideration of
similar problems in the BOU.

Conclusion
It can be clearly concluded that for a company to succeed all it takes is the proper recruitment
and selection strategies which also shapes the overall manpower management of the company.
By conclude this literature review, the study emphasizes on the fact that the recruitment and
selection process is integrated with other processes such as strategic plan of the company,
training and development schemes, compensation, rewarding/incentive system, performance
appraisal, and lastly, industrial relations. Furthermore, according to Silzer et al (2010), there
exist several reasons why the most apparent information have been more promising; including
the well-structured nature of interviews, the use of questionnaires based on a job analysis,
inclusion of panel of interviewers, the practice of note-making during the interview, and the use
of rating scale based on behavioural factors to gauge the interviewee's answers all play an
integral part in the improvement of the recruitment validity.
Therefore, the study has offered an incisive review of literature of as many as six authors based
on their individual studies and research on recruitment and selection processes.

WORK PROFILE (ROLE AND RESPONSIBILITIES)
33

It give me an honour to work in the PHOENIXX SOLUTIONS in which I have being worked as
HR trainee executive. As a trainee, I have been given various task ranges from business
development to candidate selection. As a part of candidate selection process I worked in a
particular framework(mainly for BPO sector) as formulated by the concerned organization. I
used to take help from some websites like naukiri and monster.com for getting the information
of the candidate. I took telephonic interview, at first ,for checking there communication skills as
desired and further call them on for face to face interviews with the HR of the companies. Under
my training period I also came to know how to handle the candidates and how to deal with the
companies to satify their demands. I promoted the brand value of the organization through the
regular follow-up of the clients and explained the profile and what did my organization achieve in
past years.

DESCRIPTION OF LIVE EXPERIENCES
The main experience of this job was –
 Each client is unique and all are not alike in all respects. each individual have a separate
set of personal characteristic.
 Before going in front of the client we must have the detailed knowledge of product,
company profile, market price and competitors.
 In each meeting ,we must have on time.
Finally we have to make the good relation to the company as well as personal for the
good network in the society
From this job I got the experience in the field of recruitment. I was trained to under to
understand the behaviors of the candidates & other competing firms. I also got to know
about business development and how to generate leads. It makes me more responsible
towards my job. I got some good tips regarding leadership quality from my senior
colleagues. I got to the know about the pattern of the ITES sector scripts-how they
move in correspondence to the market movement and also the economy.

34

In BPOs there are two main divisions:
1.Domestic
2.International

Role and responsibilities
 The first task was to understand the various job profiles for which recruitment is
to be done.
 The next step was to explore the various job portals to search for suitable
candidates for the job profile.
 Once the search criteria were put, candidates go through a telephonic interview
to validate the information mentioned in their resume.
 A candidates matching the desired profile was lined for the first round of face to
face interview in their respective cities.
 Firstly the candidates had filled up the personal data form (pdf).
 Then the candidates INTERVIEW EVALUATION SHEET which is provided by
interviewer was crossed checked by the HR team. If they think that the
candidates was good to hire or not.
 When a candidates clears his first round, he is then made to take an online
aptitude test. We created the online aptitude test .It is the HR department,
which has the exclusive rights to assign test, codes to the candidates. Each code
was unique and could be used only once by a candidates.
 I was involved in assigning codes administering the test.
 Once the candidate completed his first assessment, his scores were checked. If


he cleared his cut-off he was given another test.
I had the responsibility to make sure that candidates complete all formalities
and had to regularly follow up with them.

KEY LEARNINGS




How to use job portals like Naukri, Monster, Timesjob and Shine.
To establish a match between job description and job specification.
To communicate a job opening to a candidate in the right way so as to
attract the desired candidate.
35



To understand a candidates requirement of the job for a long term or a
short term bas

CHAPTER 3. RESEARCH METHODOLOGY
Research is a method through which we get best and suitable suggestion for growth and
development of organization.

Our objective is to analyze “comparative study between

PHOENIXX SOLUTIONS with other consultancies”. While searching for the company profile it
was hard to get the accurate details, but was possible though the help of seniors and
questioners.

STATEMENT OF RESEARCH OBJECTIVE
The main aim of research is to find out the truth which is hidden and which has not been
discovered as yet.
1

To study the corporate profile with some light on their future plans.

2

To study in detail about the charges existing in the market.

3

To identify the shortcomings and strength of PHOENIXX SOLUTIONS.

4

To conduct an analysis on satisfaction from services of PHOENIXX SOLUTIONS.

5

To outline the suggestions for growth and development of company .

6 To know about the effectiveness of employee of PHOENIXX SOLUTIONS To gain the
familiarity with the other organization .
7

Area in which our company leads in the market and area where we lack.

RESEARCH DESIGN AND METHODOLOGY
Collection of data:
1

Primary Sources

2

Secondary Source

Primary data
a) Direct observation
36

b) Questionnaire.
c) Detail given by our senior.

Secondary data
1. Book
2. Magazines
3. Journals
4. Internet

Research Problem
Recruitment forms the first stage in the process which continues with selection. Various
sources of recruitment which is used by the organization is able to attract the best
applicant but sometimes due to wrong selection of recruitment sources and personal
biases which create liability for organization.

37

Problem Formulation
“The study of Recruitment & Selection process at PHOENIXX
SOLUTIONS
Research Objectives
 To know the effectiveness of recruitment & selection at PHOENIXX from employees’
perception.
 To see its linkage with other HR functions.
 To know the sources of Recruitment & Selection.
 To suggest ways to make it more effective.

Research Design
The design is descriptive in nature. It is concerned with describing the characteristics of a
particular individual or a group.

SOURCES OF DATA
With the help of primary and secondary sources to achieve the objective of my project, which
includes:
PRIMARY SOURCE
 QUESTIONNAIRE
 INTERVIEWS
 OBSERVATIONS
SECONDARY SOURCE
 Profile of Sahara
 Magazines
38

 Manuals
 Brochures
SAMPLE DESIGN

In this study convenient sampling has been done for all the employees of
PHOENIXX.
Sample size

-

40 employees

Sample Unit

:-

E0 to E8

Geographical Location

:-

DELHI, PHOENIXX,Telbhavan

.Method

Tools of Research

Knowledge of the procedures involved in research is perhaps the most important tool. Without
this, the best computers and most reliable tests would be useless. For the researcher, there are
several important areas that must be mastered, including the knowledge of scientific methods,
the use of statistical software, the practical application of statistical formulas, knowledge of
writing style, and the ability to gather information and critically review the research of others.
For this reason, this text would be considered a method tool in that it is designed to provide
knowledge of research methods and assist you in the process of performing and evaluating the
research of others.
LIMITATION OF THE STUDY

The problem discussed was more is technical terms, thus was difficult to comprehend.



Views of only few members could be included because of time limitation.



Collecting data properly from employees become difficulty due to the time constraint.



Busy schedule of the employees also effected to some extent.



There is a chance for bias in the information given by the respondents.

39

DESCRIPTION OF THE WORK AREA
Layout of the office
The layout of the finance department is approximate “145 square yards” in size in which
consists 48 chairs, 36 computers connected with multiple servers, 13 printers, three
photocopy machines, eight personal cabins for top workers, fully air-conditioner, and
well furnished wooden office tables and etc.

 Location of stores: The stores in a plant must be located in such a place from
where raw materials, tools, equipment and other materials may be supplied to the
department concerned, without and delay.
 Facilities supervision and control:- The position of workers must be arranged in
such a way that if facilities supervision, coordination and control.
 Provision of safety:- There must be complete safety for workers engaged on a
machine. Necessary instructions must be given to them about the risks involved
while working in certain type of machines. Provisions of factories Act must be
followed in real spirit

40

 Co-ordination and integration:- There must be an effective co-ordination and
integration among men, materials and machines so that their maximum could
become a possibility.
A decision to manufacture some new (or) modified products may necessitate a
reorganization of the existing plant (or) provision of additional facilities. The reasons for
change are due to variation in the level of demand, change in the location of product
markets, change in style and obsolescence (or) failure of exiting equipment.

Description of the department
 Department of Training = Finance Department.
 Total number of employees = 38 employees.
 Software used = BuzyWin (accounts software), MS office, Internet with Wi-Fi
facility.
 No. of Computers = 36
 Formal relationships between employees in an every work field
 Fully air conditioner.

Job Description
Description of work: - Trainee (Finance Department)
Job Purpose: Supports accounting operations by maintain records; filing documents;
reconciling statements; running software programs; analyze data transaction. etc

41

EXPERIENCE GAINED AND PROBLEMS FACED
What did you learn and how will this experience help you in the
future?
The two months have taught me that it is very important to make use of every moment
you get at prestigious places, may it be at the college or the places where you work.
These moments are for a very short period of time. I have made this my philosophy of
life after my internship experience. Summer training provides great opportunities .To
summarize my internship experience in three words, it was veritably ‘sweet hard work’
by all standards. The summer internship experience has bolstered my desire to pursue
a career in human resource. I learned how to do performance appraisal, how the
processing of HR department is done. This experience will be very helpful when I will be
working with an organization as a human resource management.

What were the problems faced and what was lacking?
The problems I faced during training were that as I was a trainee in the office, the
seniors did not show much interest in giving me knowledge about the company and my
work. The research was confined to the manesar (Gurgaon) only. I was given to do
more paper work. Sometimes I faced problems in interacting with the people of other
departments. My seniors did not give me much time and my table was not equipped
with the computer and to do my work I used go to other places for doing my work;
otherwise I would have learned more things.

How could you have done your work better?
I could have done better during training if I would have given some more time for
training. If the training would have been for some more days, then I would have learned
some more things about financial position of the company, I know my seniors were
busy in handling their work but I were given some more attention by the ,then I would
have made my training more effective.

How could you have gained more experience?
42

I could have gained more experience if I was given an opportunity to participate in the
meetings of the company and also learn more about the different processes of fund
allocation and profit management, and working capital management. It could have been
better if was given more time and money. And even the people in the company were not
willing to reveal their secrets.

43

CHAPTER-4
DATA ANALYSIS AND INTREPRETATION
SIGNIFICANCE OF THE STUDY


Research simply means a search for facts – answers to questions and
solutions to problems. It is a purposive investigation. It is an organized enquiry.



In other words research means search for knowledge and research
methodology is a systematic way to solve he research problem. It is a science
of study how the search is actually done.



It presents the source of data collection, the sampling procedures and tools of
investigation and limitations of the study. My research project has a specified
framework for collecting the data in an effective manner. The main significance
of the project is to understand the impact of debt on the liquidity and
profitability of the firm.

MANAGERIAL USEFULNESS OF THE STUDY
 The effectiveness of the debt can be established through this study.
 This study helps to understand, analyze& apply the core concepts of financial
ratios in an organization.
 Managers would be able to identify the need of debts for company.

OBJECTIVES OF THE STUDY
The first & foremost step in any research work is to identify the problems or objectives
on which the researcher has to work on. There are two types of objectives met in this
study, as explained below:
Primary objectives :
44

 To study the impact of debt (bifercated into secured and unsecured debt)
raised during 2010-2013 on “profitability of the firm”.
 To study the impact of debt (bifercated into secured and unsecured debt)
raised during 2010-2013 on “liquidity of the firm”.
Secondary objectives :
 To study the financial position of the company.
 To study the various ratios of the company in the year 2010 to 2013.
Classification of Working Capital
Working capital may be classified in to ways:
 On the basis of concept.
 On the basis of time.
On the basis of concept working capital can be classified as gross working capital and
net working capital. On the basis of time, working capital may be classified as:



Permanent or fixed working capital.
Temporary or variable working capital

45

Amount of Working
Capital

Temporary

capital
Permanent Capital
Time
Permanent Or Fixed Working Capital
Permanent or fixed working capital is minimum amount which is required to ensure
effective utilization of fixed facilities and for maintaining the circulation of current assets.
Every firm has to maintain a minimum level of raw material, work- in-process, finished
goods and cash balance. This minimum level of current assets is called permanent or
fixed working capital as this part of working is permanently blocked in current assets. As
the business grow the requirements of working capital also increases due to increase in
current assets.
TEMPORARY OR VARIABLE WORKING CAPITAL
Temporary or variable working capital is the amount of working capital which is required
to meet the seasonal demands and some special exigencies. Variable working capital
can further be classified as seasonal working capital and special working capital. The
capital required to meet the seasonal need of the enterprise is called seasonal working
capital. Special working capital is that part of working capital which is required to meet
special exigencies such as launching of extensive marketing for conducting research,
etc. Temporary working capital differs from permanent working capital in the sense that
is required for short periods and cannot be permanently employed gainfully in the b

IMPORTANCE OR ADVANTAGE OF ADEQUATE WORKING CAPITAL

46

SOLVENCY OF THE BUSINESS:
Adequate working capital helps in maintaining the solvency of the business by


providing uninterrupted of
production.
 Goodwill:
Sufficient amount of working capital enables a firm to make prompt payments and
makes and maintain the goodwill.
 Easy loans:
Adequate working capital leads to high solvency and credit standing can arrange
loans from banks and other on easy and favorable terms.
 Cash Discounts:
Adequate working capital also enables a concern to avail cash discounts on the
purchases and hence reduces cost.
 Regular Supply of Raw Material:
Sufficient working capital ensures regular supply of raw material and continuous
production.
47



Regular

Payment

Of

Salaries,

Wages

And

Other

Day

TO

Day

Commitments:
It leads to the satisfaction of the employees and raises the morale of its employees,
increases their efficiency, reduces wastage and costs and enhances production and
profits.


Ability to Face Crises



A concern can face the situation during the depression.

FACTORS DETERMINING THE WORKING CAPITAL REQUIREMENTS
1. Nature of business:
The requirements of working is very limited in public utility undertakings such as
electricity, water supply and railways because they offer cash sale only and supply
services not products, and no funds are tied up in inventories and receivables. On the
other hand the trading and financial firms requires less investment in fixed assets but
have to invest large amt. of working capital along with fixed investments.
2. Size of the business:
Greater the size of the business, greater is the requirement of working capital.
3. Production policy:
If the policy is to keep production steady by accumulating inventories it will require
higher working capital.
4. Length of production cycle:
The longer the manufacturing time the raw material and other supplies have to be
carried for a longer in the process with progressive increment of labor and service costs
before the final product is obtained. So working capital is directly proportional to the
length of the manufacturing process.
Sources of working capital
The company can choose to finance its current assets by
1. Long term sources
2. Short term sources
3. A combination of them.
Long term sources of permanent working capital include equity and preference
shares, retained earnings, debentures and other long term debts from public deposits
48

and financial institution. The long term working capital needs should meet through long
term means of financing. Financing through long term means provides stability, reduces
risk or payment and increases liquidity of the business concern. Various types of long
term sources of working capital are summarized as follow:
1. Issue of shares:
It is the primary and most important sources of regular or permanent working capital.
Issuing equity shares as it does not create and burden on the income of the concern.
Nor the concern is obliged to refund capital should preferably raise permanent working
capital.
2. Retained earnings:
Retain earning accumulated profits are a permanent sources of regular working capital.
It is regular and cheapest. It creates not charge on future profits of the enterprises.
3. Issue of debentures:
It crates a fixed charge on future earnings of the company. Company is obliged to pay
interest. Management should make wise choice in procuring funds by issue of
debentures.
Short term sources of temporary working capital
Temporary working capital is required to meet the day to day business expenditures.
The variable working capital would finance from short term sources of funds. And only
the period needed. It has the benefits of, low cost and establishes closer relationships
with banker.
Some sources of temporary working capital are given below:
1. Commercial bank:
A commercial bank constitutes significant sources for short term or temporary working
capital. This will be in the form of short term loans, cash credit, and overdraft and
though discounting the bills of exchanges.
2. Public deposits:
Most of the companies in recent years depend on this source to meet their short term
working capital requirements ranging fro six month to three years.
3. Various credits:
49

Trade credit, business credit papers and customer credit are other sources of short term
working capital. Credit from suppliers, advances from customers, bills of exchanges, etc
helps to raise temporary working capital
4. Reserves and other funds:
Various funds of the company like depreciation fund. Provision for tax and other
provisions kept with the company can be used as temporary working capital. The
company should meet its working capital needs through both long term and short term
funds. It will be appropriate to meet at least 2/3 of the permanent working capital
equipments form long term sources, whereas the variables working capital should be
financed from short term sources. The working capital financing mix should be designed
in such a way that the overall cost of working capital is the lowest, and the funds are
available on time and for the period they are really required.
SOURCES OF ADDITIONAL WORKING CAPITAL
Sources of additional working capital include the following1. Existing cash reserves
2. Profits (when you secure it as cash)
3. Payables (credit from suppliers)
4. New equity or loans from shareholder
5. Bank overdrafts line of credit
6. Long term loans
If we have insufficient working capital and try to increase sales, we can easily over
stretch the financial resources of the business. This is called overtrading. Early warning
signs include
1. Pressure on existing cash
2. Exceptional cash generating activities. Offering high discounts for clear
cash payment
3. Bank overdraft exceeds authorized limit
4. Seeking greater overdrafts or lines of credit
5. Part paying suppliers or there creditor.
6. Management pre occupation with surviving rather than managing.
Different Aspects of Working Capital Management
 Management of Inventory
 Management of Receivables/Debtors
 Management of Cash
 Management of Payables/Creditors
MANAGEMENT OF INVENTORY
50

Inventories constitute the most significant part of current assets of a large majority of
companies. On an average, inventories are approximately 60% of current assets.
Because of large size, it requires a considerable amount of fund. The inventory means
and includes the goods and services being sold by the firm and the raw material or
other components being used in the manufacturing of such goods and services.
Nature of Inventory:
The common type of inventories for most of the business firms may be classified as
raw-material, work-in-progress, finished goods.
Raw material:
It is basic inputs that are converted into finished products through the manufacturing
process. Raw materials inventories are those units which have been purchased and
stored for future productions.
Work–in–process:
Work-in-process is semi-manufactured products.

They represent products that need

more work before them become finished products for sale.
Finished goods:
These are completely manufactured products which areready for sale. Stocks of raw
materials and work-in-process facilitate production, while stock of finished goods is
required for smooth marketing operations. Thus inventories serve as a link between the
production and consumption of goods.The levels of three kinds of inventories for a firm
depend on the nature of business. A manufacturing firm will have substantially high
levels of all the three kinds of inventories. While retail or wholesale firm will have a very
high level of finished goods inventories and no raw material and work-in-process
inventories.
So operating cycle can be known as following:-

Raw Material

Cash

Sales

Collection

Work

in

Progress

from

Finished

51
Credit

Cash

Sales

Sales

Goods

Need to hold inventories
Maintaining inventories involves trying up of the company’s funds and incurrence
of storage and holding costs. There are three general motives for holding
inventories:
Transactions Motive:
IT emphasizes the need to maintain inventories to facilitate smooth production and
sales operation.
Precautionary Motive:
It necessitates holding of inventories to guard against the risk of unpredictable
changes in demand and supply forces and other factors.
Speculative Motive:
It influences the decision to increase or reduce inventory levels to take advantage of
price fluctuations.
Management of Receivables/Debtors
The Receivables (including the debtors and the bills) constitute a significant portion of
the working capital. The receivables emerge whenever goods are sold on credit and
payments are deferred by customers. A promise is made by the customer to pay cash
within a specified period. The customers from whom receivable or book debts have to
52

be collected in the future are called trade debtors and represents the firm’s claim or
assets. Thus, receivable is s type of loan extended by the seller to the buyer to facilitate
the purchase process. Receivable Management may be defined as collection of steps
and procedure required to properly weight the costs and benefits attached with the
credit policy. The Receivable Management consist of matching the cost of increasing
sales (particularly credit sales) with the benefits arising out of increased sales with the
objective of maximizing the return .
Nature
The term credit policy is used to refer to the combination of three decision variables:
1. Credit standards: It is the criteria to decide the type of customers to whom
goods could be sold on credit. If a firm has more

slow –paying customers, its

investment in accounts receivable will increase. The firm will also be exposed to
higher risk of default.
2. Credit terms: It specifies duration of credit and terms of payment by Customer
Investment in accounts receivable will be high if customers are allowed extended
time period for making payments.
3. Collection efforts: It determine the actual collection period. The lower the
collection

period, the lower the

investment in accounts receivable and vice versa.
Management of Cash
Cash management refers to management of cash balance and the bank balance and
also includes the short terms deposits. Cash is the important current asset for the
operations of the business. Cash is the basic input needed to keep the business running
on a continuous basis. It is also the ultimate output expected to be realized by selling
the service or product manufactured by the firm. The term cash includes coins,
currency, and cheque held by the firm and balance in the bank accounts.
Factors of Cash Management:
Cash management is concerned with the managing of
1. Cash flows into and out of the firm
2. Cash flows within the firm and
3. Cash balance held by the firm at a point of time by financing deficit or investing
surplus cash. Sales generate cash which has to be disbursed out. The surplus cash

53

has to be invested while deficit has to borrow. Cash management seeks to accomplish
this cycle at a minimum cost and it also seeks to achieve liquidity and control.
Motives of holding cash
A distinguishing feature of cash as an asset is that it does not earn any substantial
return for the business. Even though firm hold cash for following motives:
Transaction motive
Precautionary motive
Speculative motives
Compensatory motive
MANAGEMENT OF WORKING CAPITAL
Management of working capital is concerned with the problem that arises in attempting
to manage the current assets, current liabilities. The basic goal of working capital
management is to manage the current assets and current liabilities of a firm in such a
way that a satisfactory level of working capital is maintained, i.e. it is neither adequate
nor excessive as both the situations are bad for any firm. There should be no shortage
of funds and also no working capital should be ideal. WORKING CAPITAL
MANAGEMENT POLICES of a firm has a great on its probability, liquidity and structural
health of the organization. So working capital management is three dimensional in
nature as
1. It concerned with the formulation of policies with regard to profitability, liquidity and
risk.
2. It is concerned with the decision about the composition and level of current assets.
3.
It is concerned with the decision about the composition and level of current
liabilities.
WORKING CAPITAL ANALYSIS
As we know working capital is the life blood and the centre of a business. Adequate
amount of working capital is very much essential for the smooth running of the
business. And the most important part is the efficient management of working capital in
right time. The liquidity position of the firm is totally effected by the management of
working capital. So, a study of changes in the uses and sources of working capital is
necessary to evaluate the efficiency with which the working capital is employed in a
business. This involves the need of working capital analysis.
The analysis of working capital can be conducted through a number of devices, such
as:
54

1.
2.
3.

Ratio analysis.
Fund flow analysis.
Budgeting.

Methods of Working Capital Analysis
There are so many methods for analysis of financial statements but PRAGATI
TELECOM PVT LTD used the following techniques:




Comparative size statements
Trend analysis
Cash flow statement
Ratio analysis

A detail description of these methods is as follows:COMPARATIVE SIZE STATEMENTS:When two or more than two years figures are compared to each other than we called
comparative size statements in order to estimate the future progress of the business, it
is necessary to look the past performance of the company. These statements show the
absolute figures and also show the change from one year to another.
TREND ANALYSIS:To analyze many years financial statements PRAGATI ELECTROCOM PVT LTD uses
this method. This indicates the direction on movement over the long time and help in the
financial statements.
Procedure for calculating trends:1.Previous year is taken as a base year.
2.Figures of the base year are taken 100.
3.Trend % are calculated in relation to base year.

55

CASH FLOW STATEMENT:Cash flow statements are the statements of changes in the financial position prepared
on the basis of funds defined in cash or cash equivalents. In short cash flow statement
summaries the cash inflows and outflows of the firm during a particular period of time.
Benefits for the PRAGATI TELECOM PVT LTD:
To prepare the cash budget.

To compare the cash budgets .

To show the position of the cash and cash equivalents.
RATIO ANALYSIS:Ratio analysis is the process of the determining and presenting the relationship of the
items and group of items in the statements.
Benefits of ratio analysis to PRAGATI ELECTROCOM PVT LTD:1.
Helpful in analysis of financial statements.
2.
Helpful in comparative study.
3.
Helpful in locating the weak spots of the pragatielectrocompvt ltd.
4.
Helpful in forecasting.
5.
Estimate about the trend of the business.
6.
Fixation of ideal standards.
7.
Effective control.
8.
Study of financial soundness.
Types of ratio:

Liquidity ratio:They indicate the firms’ ability to meet its current obligation out of

current resources.

Current ratio:- Current assets / Current liabilities

Quick ratio:Liquid assets / Current liabilities
Liquid assets =Current assets – Stock -Prepaid expenses
 Leverage or Capital structure ratio: This ratio discloses the firm’s ability

to meet the interest costs regularly and long term solvency of the firm.
 Debt equity ratio:- Long term loans / Shareholders funds or net
Worth
 Debt to total fund ratio:- Long terms loans/ share holder funds
+long term loan

56



Proprietary ratio:- Shareholders fund/ shareholders fund long

term loan
 Activity ratio or Turnover ratio:- They indicate the rapidity with which the

resources available to the concern are being used to produce sales.
 Stock turnover ratio:Cost of goods sold/Average stock
(Cost of goods sold= Net sales/ Gross profit,
Average stock=Opening stock closing stock/2)

Debtors turnover ratio:Net credit sales/ Average debtors Average B/R

Average collection period:Debtors/R /Credit sales per
(Credit sales per day=Net credit sales of the year/365)

Creditors Turnover Ratio:Net credit purchases/ Average Creditors + Average B/P

Average Payment Period: Creditors + B/P/ Credit purchase per day.

Fixed Assets Turnover ratio:Cost of goods sold/Net fixed Assets
(Net Fixed Assets = Fixed Assets – depreciation)

Working Capital Turnover Ratio:Cost of goods sold/Working Capital
(Working capital= current assets – current liability)


Profitability Ratios or Income ratios:-The main objective of every business
concern is to earn profits. A business must be able to earn adequate profit in
relation to the risk and capital invested in it.

 Gross profit ratio:Gross profit / Net Sales * 100
(Net sales= Sales – Sales return)
 Net profit Ratio:Net profit / Net sales * 100
(Operating Net Profit= operating net profit/ Net Sales *100 or operating Net profit= gross
profit – operating expenses)

Operating Ratio :Cost of goods sold + Operating expenses/Net Sales * 100
(Cost of goods sold = Net Sales – Gross

profit,

Operating

expenses = office & administration expenses + Selling & distribution expenses +
discount + bad debts + interest on short term loans)
57

 Earnings per share(E.P.S.) :Net Profit – dividend on preference share / No. of equity shares
 Dividend per share (D.P.S.):Dividend paid to equity share Holders / No. of equity shares *100.


Dividend Payout ratio(D.P.) :- D.P.S. / E.P.S. *100
REVIEW OF EXISTING LITERATURE
SOURCE: PRAGATI ELECTROCOM PVT. LTD

Working Capital improvements:
 Strong working capital policy




Working capital ratios
A roadmap for a successful working capital initiative
Working capital key performance indicators.

SOURCE: FINANNCE MANAGEMENT BOOK
R.S. DIWIWEDI
Working capital is the base of all the company. It is the blood of the business. A
company’s working capita l is based on short-term assets and its short-term liabilities.
The goal of Working Capital Management is to ensure that a firm is able to continue its
operations and that it has sufficient ability to satisfy both maturing short-term debt and
upcoming operational expenses. The working capital management involves managing
inventories, accounts receivables and payable, cash.
SOURCE: DEVICES USED BY FINANCIAL ANALYST
Thus various techniques, which are used by financial analyst for doing analysis, work.
Thus, he sees various trends, making comparative statements, and comparative income
statement so as to draw information.
SOURCE KHAN AND JAIN
The book focus on the management of current assets, more popularly designated as
working capital management. It deal respectively with the theory of working capital

58

management in terms of the basic strategies for efficient management of current assets
and liabilities
SOURCE I M PANDEY
To help managers appreciate the logic for making better working capital decision and
financial decision. To explain the concepts and theories of finance in a simple way to
readers could grasp them very easily and be able to put them into practice.
SOURCE WWW.STUDY FINANCE.COM
Working capital management involves the relationship between a firm's short-term
assets and its short-term liabilities. The goal of working capital management is to
ensure that a firm is able to continue its operations and that it has sufficient ability to
satisfy both maturing short-term debt and operational expenses. The management of
working capital involves managing inventories, accounts receivable and payable, and
cash.
1 SCOPE OF STUDY
The study of attrition and its comparison with past quarters helped me to know the
reasons that exist in an organization that forces employees to leave any company.

1.2 MANAGERIAL USEFULLNESS OF THE STUDY
a. An exercise to reach out the ex-employees (including abandonment / absconding
cases) of Pragatielectrocom private limited ltd for investigating the genuine reasons for
their exit.
b. To translate the result of this analysis into inputs, which could help
Pragatielectrocom private ltd. review its practices, policies and procedures? Where
feasible, also make use of best practices from other organizations that may be shared
with us.
c. To be driven as a regular program, covering ex-employees at periodic intervals.
d. To maintain an MIS of ex-Employees for future references.

59

FINANCE & ACCOUNTING
Cost reduction pressures, increasing regulatory compliance and demands for a closer
alignment to the business are driving the need to implement a new finance and
accounting operating model. Leading Chief Financial Officers (CFOs) are leveraging
finance and accounting as a strategy to change their operating models.
Pragatielectrocompvt.ltd is recognized by its comprehensive service offerings that
support end-to-end functions in CFO’s
Pragatielectrocompvt.ltd ‘extends your enterprise’ by leveraging our deep finance and
accounting functional expertise, industry intimacy, transforming the finance operations
and lowering costs.
Service offerings include:
Procedure to pay
Record to report
Order to cash
Corporate function

60

CONCEPTUALIZATION

As in the today scenario, globalization is increasing day by day. Thus it is necessary to
know about the working capital. The main concept of choosing this project is to
familiarize with the different techniques which the company follows in valuation of their
capital.
There are two concept of working capital:1) Gross working capital concepts
2) Net working capital concept



Gross working capital = total current asset
Net working capital = current assets – current liabilities

Current Assets

Current liabilities

Cash in hand at bank
Bills receivable
Sundry Debtors
Short term loans
Investors/stock
Temporary investment
Prepaid expenses
Accrued income

Bills payable
Sundry creditors
Outstanding expenses
Accrued expense
Bank overdraft

(WORKING CAPITAL MANAGEMENT OF PRAGATI ELECTROCOM)
CURRENT RATIO
It is also known as “working capital ratio” .It is a measures of short-term financial
strength of the business and shows whether the business will be able to meet it’ s
current liabilities as when they mature.
Current Assets including assets which can be converted in to cash easily and itself like
market securities debtors, inventory, prepaid expenses etc.
61

Current Liabilities included creditors, bills payable, accrual expenses, short term bank
loan, income tax liabilities and long term debt maturity in current year. In short it can be
said as all obligation within a year are included in current liabilities.
Current ratio is a measure of the firm’s short term solvency. It indicate the availability of
current assets in rupee of current liabilities. As a conventional rule, a current ratio
should be or slightly more. It focuses the strong of weak position of the company.

FOR THE YEAR:
2010-11 =
Rs. 58746.07
Rs. 35756.98

= 1.961:1

2009-10 =
Rs. 51488.87
Rs. 23417.51

= 2.19:1

2008-09 =
Rs. 29913.35
Rs. 16865.53

= 1.77:1

2007-08=
Rs. 24574.45
Rs. 12563.50

= 1.96:1

2006-07 =
Rs. 28452.51
Rs. 13283.95

= 2.14:1

YEARS

CURRENT RATIO

2010-11

1.61:1

2009-10

2.19:1

2008-09

1.77:1

2007-08

1.96:1

2006-07

2.14:1

Interpretation:
62

It is generally believed that 2:1 ratio shows a comfortable working capital position. The
tendon committee appointed by RBI had wide recommended a current ratio of 2:1.
Company has maintained this ration and increased it year by year. A current ratio is 1.61
in the current year. But in the other year the ratio is nearer to 1:2 so we can say that the
company having comfortable working capital position.
ACID-TEST RATIO
The measure of absolute liquidity may be obtained only cash and bank balance as well
as only ready marketable security with liquid liabilities. This is every existing standard of
liquidity and it is satisfaction if the ratio is 1.50:1.

63

For the year:
2010 - 11 =
Rs. 58746.07 – 20109.61 = 1.08:1
Rs.
35756.98
2009 - 10 =
Rs. 51488.87 - 19126.14= 2.19:1
Rs.
23417.51
2008 - 09 =
Rs. 29913.35 – 12136.51
Rs.
16865.53

= 1.38:1

2007 - 08 =
Rs. 24574.45 – 10119.82
Rs.
12563.50

= 1.15:1

2006 - 07 =
Rs. 28452.51 – 7412.88
Rs.
13283.95

= 1.58:1

YEARS

ACID-TEST RATIO

2010-11

1.08:1

2009-10

1.38:1

2008-09

1.05:1

2007-08

1.15:1

2006-07

1.58:1

Interpretation:
Acid-test ratio is near to one in current year that is 1.08 as compare to 1.38 in the
previous year. Over all the acid-test ratio of last five year is very satisfactory so we can
conclude that the absolute liquidity of the viney private Limited is in favor.
DEBTORS TURNOVER RATIO
This ratio shows the proportion of sales to average receivables. It shows the efficiency
of the collection policy of the firm. The higher the ratio, the less satisfactory position of
the firm. Higher ratio indicates weak collection policy of the firm.

For the year:
64

2010 - 11 =
Rs. 151224.01 = 31.21:1
Rs. 4844.97
2009 - 10 =
Rs. 137146.66 = 22.60:1
Rs. 6068.30
2008 - 09 =
Rs. 111692.72
Rs. 3732.42
2007 - 08 =
Rs. 4163.62

Rs. 81211.33

= 29.92:1
= 19.50:1

2006 - 07 =
Rs. 66051.30= 16.82:1
Rs. 3927.81

YEARS

DEBTORS TURNOVER RATIO

2010-11

31.21:1

2009-10

22.60:1

2008-09

29.92:1

2007-08

19.50:1

2006-07

16.82:1

Interpretation:
We know that the higher Debtor’s turnover ratio is not good for the firm. In the year
2010-11 it is 31.21:1 but in the previous year it was 22.60:1. So some improvement is
needed.
CREDITOR’S TURNOVER RATIO:
Creditor’s turnover ratio shows the proportion of purchase to account payable
number of days within which we make payment to our creditors for credit purchases
estimated the creditors ratio if this ratio is higher it means company has to check
whether company is making payment within credit period available.

If it is making

payment before the due date means the company is not taking full advantage of it credit

65

period and if company making the payment the period that indicates that the company is
not taking the benefit of discount allowed.

For the year:
2010 - 11 =
Rs. 118961.16 = 3.33:1
Rs. 35756.98
2009 - 10 =
Rs. 108270
Rs. 23417.51

= 4.62:1

2008 - 09 =
Rs. 92301.09= 5.47:1
Rs. 16835.53
2007 - 08 =
Rs. 69043.43= 5.49:1
Rs. 12563.50
2006 - 07 =
Rs. 52715.92= 3.96:1
Rs. 13283.95

YEARS

CREDITOR’S

TURNOVER

RATIO
2010-

3.33:1

2009-

4.62:1

2008-

5.47:1

2007-

5.49:1

2006-

3.96:1

11

10

09

08

07
Interpretation:
66

Higher Ratio of creditor turnover forces the company to check that payment is made
with in credit period properly or not. The creditors’ turnover ratio is 3.33 in 2010-11 as
compare to 2009-10 the ratio is 4.62 which is higher than the other years.
INVENTORY TURNOVER RATIO
This ratio is also known as “stock turnover ratio”. The number of times the average
stock is turnover during the year is known as stock turnover. It is computed by deciding
the sales by the inventory. The ratio is important in joining the ability of management
which it can move the stock.

For the year:
2010 - 11 =
Rs. 151224.01 = 7.51 times
Rs. 20109.61
2009 - 10 =
Rs. 137146.66= 7.17 times
Rs. 19126.14
2008 - 09 =
Rs. 111692.72= 9.20 times
Rs. 12136.51
2007 - 08 =
Rs. 81211.33= 8 times
Rs. 10119.82
2006 - 07 =
Rs. 7412.88

Rs. 66051.30

YEARS

= 8.91 times

INVENTORY TURNOVER RATIO
2010-11

7.51 times

2009-10

7.17 times

2008-09

9.20 times

2007-08

8.00 times

2006-07

8.91 times

Interpretations:
67

Higher the ratio more profitability the business would be. The ratio is joining the ability of
management with which it can move the stock. Inventory turnover ratio is highest in the
year 2008-09 is 9.20 as compare to the other year but in current year it is 7.51 which is
little lower than previous year but it is obvious that in heavy industries like PRAGATI
ELECTROCOM Limited have lower ration as compare to FMCG.
NET WORKING CAPITAL TURNOVER RATIO
Net working capital turnover ratio is obtained by net working capital joining to sales. The
excess of current assets over current liabilities is called working capital. It is found for
measuring firm liquidity. It also measures the firm potential reserve of funds.

For the year:
2010 - 11 =
Rs. 151224.01 = 5.83 times
Rs. 19874.06
2009 - 10 =
Rs. 137146.66
Rs. 24622.18

= 5.57 times

2008 - 09 =
Rs. 111692.72
Rs. 11334.95

= 9.85 times

2007 - 08 =
Rs. 8119.97

Rs. 81211.33

= 10 times

2006 - 07 =
Rs. 11320

Rs. 66051.30

= 5.83 times

YEARS

WORKING CAPITAL TURNOVER RATIO

2010-11

7.60 times

2009-10

5.57 times

2008-09

9.85 times

2007-08

10.00 times

2006-07

5.83 times

68

CHAPTER 5
CONCLUSION, SUMMARY AND RECOMMENDATIONS
Findings of working capital management of pragatielectrocom





The company having comfortable working capital position.
The absolute liquidity of the Pragatielectrocom private Limited is in favor.
The collection policy of the company is very good.
The creditors’ turnover ratio is 3.33 in 2010-11 as compare to 2009-10 the ratio is



4.62 which is higher than the other years.
Inventory turnover ratio is highest in the year 2008-09 is 9.20 as compare to the
other year but in current year it is 7.51 which is little bit lower than previous year
but it is obvious that in heavy industries like Pragatielectrocom private Limited



have lower ratio as compared to FMCG.
The working capital ratio is 7.60 in 2010-11 and 5.57 in 2009-10 but the best
favorable ratio is in 2007-08 which is 10 times. So it indicates better working



capital condition of the company.
This is an improvement in collection policy of the Pragatielectrocom private
Limited

69

CONCLUSION
In the present study I have analyzed the working capital management of
Pragatielectrocom Private Limited. The study involves practical and conceptual over
view of decisions concerning current assets like cash and bank balance,inventories( like
raw materials ,w-i-p, finished goods ),sundry debtors, loans and advances, other current
assets and current liabilities like sundry creditors, securities and other deposits, other
current liabilities and provisions of pragatielectrocom was with the objective of
maximizing the overall net profit of the bank. And complete synchronization and co
ordination among the working capital components which shall contribute to optimum
level of operations. Mismanagement of each or any of these components shall be
detrimental to the objectives of efficient operation, profitability and maximization of
overall value of the bank.
The working capital limits would be considered only after the project nearing completion
and after ensuring control over the inventory. The inventory is a great concern for
pragatielectrocom and it needs proper procurement and management.
Eligible working capital limits would be assessed by cash Budget method And Projected
production method depending the market condition, scale of operation, nature of
activity/enterprise and duration/length of operating cycle etc.

SUGGESTIONS &RECOMMENDATION
The recommendation & suggestion for effective management of working capital at
pragatielectrocom are given bellow:

70

 For inventory, in order to improve the position, pragatielectrocom can reduce the
level of stocks by resorting to phased production i.e. producing according to
requirement and disposing off or recycling the unserviceable inventories.
However, the low turnover of stock may also be due to problems with generation
of sales. Inventory management is a great concern for pragatielectrocom
especially stores and spares. The purchase manager should take proper steps
for procurement of inventories.
 The company must take certain steps to decrease the working capital cycle. One
way can be better management of inventories.
 Pragatielectrocom is suggested to maintain

a

balance

in

capacities,

synchronization of various inputs availability of some materials or parts which are
not easily available.
 Short term credit period availed must be reduced and sundry creditors should be
paid faster.
 It should maintain inventory at an optimum level rather than a very optimistic
level.

BIBLIOGRAPHY
Reference Books
 Singh,K. &Asress,F.C. (2007). Determining Working Capital Solvency Level And
its Effect on Profitability in Selected Indian Manufacturing Firms. The
Management Accountant,105-108
 Gill, A. & Bigger. &Mathur,A. (2010). The Relationship Between Working Capital
Management And Profitability: Evidence From The United States. Business and
Economics Journal, Bej10
71

 Chandrabai,T. &Rao,V.(2011).

Working

Capital

Management

in

Cement

Company a Study. International Journal of Management & Business Studies,
231-263
 Kaur,K. (2010). Working Capital Management in Indian Tyre Industry.
International Research Journal of Finance and Economics, 50-57
 Chowdhury,A. &Amin,M. (2007). Working Capital Management Practiced in
Pharmaceuticals Companies Listed in Dhaka Stock Exchange. BRAC University
Journal, 75-86
 Bhunia,A. (2007) . Liquidity Management of PublicSector Iron and Steel
Enterprises in India. Vidyasagar University Journal of Commerce, 76-93
 Raheman,A., Afza,T. ,

Qayyum,A.&

Bola

,M.A.(2010). Working Capital

Management and Corporate Performance of Manufacturing Sector in Pakistan.
International Research Journal of Finance and Economics , 140-152

 Biswal,S.K. , Samantaray,A. &Sahoo,A. (2012). Accounts Receivables Risk
Management in Indian Pharmaceutical Industry: Financial Model Building in
Revived Scenario. International Research Journal of Finance and Economics,
65-72
 Padachi,K.(2006). Trends in Working Capital Management and its Impact on
Firms’ Performance: An Analysis of Mauritian Small Manufacturing Firms.
International Review of Business Research Papers, 45 -58

Websites referred
 www.Google.com
 www.Indiamart.com
 www.Pragatielectrocom.com

72

73

ANNEXURE
QUESTIONNAIRE(for canditdate)
a. Name :- …………………………
b. Age:-

…………

c. Occupation:- ……………………………
d. Qualification:- ……………………………………..
e. company name:- …………………………................

Q1. Is services of our consultancy effective?
Yes

No

Sometimes

Q2. Are you aware of “PHOENIXX SOLUTIONS Services” in crowd of many consultancy?
Yes

No

Q3. You prefer which consultancy more who is specialized in one area or who has versatile
area ?
Specialized

Versatile area

Q4. Are you aware of different services provided by the consultancies?
Yes

No

A little

Q5. Do you frequently change your job?
Yes

No

Q6. Which factor do you consider while selecting a consultancy?
Reputation

Service Charges

After sales services

Q7. Which Consultancy service satisfy you more?
PHOENIXX SOLUTIONS Services
74

Lakshya
Solar HR
India Placement
Q8. You got frequent call for job from which consultancy?
PHOENIXX Consultancy Service
Lakshya
Solar HR
India Placement
Q.9 Does PHOENIXX CONSULTANCY assist you in case of any problem faced while working.
Yes

No

75

QUESTIONNAIRE

Name :Occupation:
Qualification:
company name:
Q1. Is Consultancy important for the corporate world?
Yes

No

Q2. Is services of our consultancy effective?
Yes

No

Sometimes

Q3. Are you aware of “PHOENIXX CONSULTANCY Services” in crowd of many consultancies?
Yes

No

Q4. Do you like the way people talk to you from PHOENIX CONSULTANCY Services?
Yes

No

Q5. Are you aware of different services provided by the consultancies?
Yes

No

A little

Q6. Do you like the quality provided by our consultancy?
Yes

No

Q7. Which factor do you consider while selecting a consultancy for recruitment?
Reputation

Service Charges

After sales service

76

Q8. Which Consultancy?
PHOENIXX CONSULTANCY Services
Lakshya
Solar HR
India Placement
Q9. You got frequent call asking for any vacancy from which consultancy?
PHOENIXX CONSULTANCY Services
Lakshya
Solar HR
India Placement
Q10. Do you think that service charge is fit for our services?
Yes

No

Q11 .Are you satisfied with different categories in which
Yes

No

77

DETAILS OF DATA INTERPRETION THROUGH QUESTIONAIRE

 70% of person said that consultancy is important while rest did not agree.
 80% of candidate and 90% of employee are satisfied with PHOENIXX SOLUTIONS
Services.
 Maximum people said they are aware of PHOENIXX Consultancy Services name in
crowd of so many consultancies.
 70% of HR said calling of our company is more effective than other consultancies.
 Service after recruitment is effective but not up to the mark.
 Our versatile field working attract companies towards our companies.
 Maximum hr is satisfied with the service charge charged by us as many companies
charge more than us.
 Area to be focused more is after recruitment services as many people are not satisfied
with it.

78