OBJECTIVES OF THE STUDY To give familiarize with the business organization. To gain familiarize with the different departments in the organization and their functioning. To understand how the key processes are carried out in the organizations. Understand how information is used in organization for decision making at various levels. To relate theory with practice.

METHODOLOGY OF THE STUDY

Both Primary and Secondary data is collected from the organization. Primary data is collected through interviews with employees at various level. Secondary data is obtained from company manuals especially quality manuals company website and other magazines and newspapers. Direct observation is used to understand the production process.

LIMITATIONS OF THE STUDY

The findings need not to be conclusive but only indicative. Area of concentration was mainly VYSHNAV HOLDINGS PVT LTD,PALAKKAD. The time span of this study was very limited to collect all the information.

INTRODUCTION

The classical economic theory is based on the assumption that supply and demand are independent. However, product promotion is an attempt coming from the supply side to influence demand. In this way producer market power is attained as measured by profits that would not be realized under a free market. Then the argument follows that non-free markets are imperfect and lead to production and consumption of suboptimal amounts of the product Product:The product aspects of marketing deal with the specifications of the actual goods or services, and how it relates to the end-user's needs and wants. Pricing:This refers to the process of setting a price for a product, including discounts. Promotion:This includes advertising, sales promotion, publicity, and personal selling, and refers to the various methods of promoting the product, brand, or company. Place:Refers to the channel by which a product or services is sold (e.g. online vs. retail), which geographic region or industry, to which demographic segment (young adults, families, business people), etc.International trade is exchange ofcapital,goods, and services across internationalborders or territories.In most countries, it represents a significant share ofgross domestic product (GDP). While international trade has been present throughout much ofhistory, its economic, social, and political importance has beenon the rise in recent centuries. Industrialization, advanced transportation, globalization, multinational corporations, and outsourcing are all having amajor impact on the international trade system. Increasing international trade is crucial to the continuance ofglobalization.International trade is a major source of economic revenue for any nation thatis considered a world power. Without international trade, nations would be limited to the goods and services produced within their own borders. International trade is in principle not different from domestic trade as the motivation and the behavior of parties involved in a trade does not change fundamentally depending on whether trade is across a border or not. The main difference is that international trade is typically more costly than domestic trade. The reason is thata border typically imposes additional costs such as tariffs, time costs due to border delays and costs associated with country differences such as language, the legal system or a different culture.In economics an export is any good orcommodity, transported from one country to another country in a legitimate fashion, typically for use in trade. Export goods orservicesareprovidedtoforeign consumers bydomesticproducers.Exportisan important part ofinternational trade. Export of commercial quantities of goods normally requires involvement of the customs authorities in both the country of export and the country of import. WHY WE NEED TO EXPORTSThere are many good reasons for exporting:The first and the primary reason for export are toearn foreign exchange. The foreign exchange not only brings profit for the exporter but also improves the economic condition of the country.Secondly, companies that export their goods are believed to be more reliable than their counterpart domestic companies assuming that exporting companyhas survive the test in meeting international standards.Thirdly, free exchange of ideas and cultural knowledge opens up immensebusiness opportunities for a company.Fourthly, as one starts visiting customers to sell ones goods, he hasan opportunity to start exploring for newer customers, state-of-the-art machines and vendors in foreign lands.Fifthly, by exporting goods, an exporter also becomes safe from offset lack ofdemand for seasonal products.Lastly, international trade keeps an exporter more competitiveand less vulnerable to the market as the exportermay have a business boom in one sector while simultaneously witnessing a bust in a different sector.No doubt that in the age of globalization and liberalizations, Export has became themostlucrativebusinessinIndia.GovernmentofIndiaisalsosupportingexportersthrough various incentives and schemes to promote Indian export for meeting the much needed requirements for importing modern technology and adopting new technology from MNCs through Joint ventures and collaboration.ADVANTAGES and DISADVANTAGES OF EXPORT IMPORT MARKETING ADVANTAGES OF EXPORTING Increased market size. Market suitability. Currency benefits Protection against a downturn in thedomestic market. Economies of scale from manufacturing in larger batches. DISADVANTAGES OF EXPORTING Sometimes higher costs of traveling abroad to obtain orders. High management fees, shipping charges, agent's fees, etc., can sometimes increase the exporter'sprices to a level which makesgoods and services uncompetitive in overseas markets. Market unsuitability. Different cultures, customs and languages can all presentproblems to the exporter and can mean that a product and service suitable in has virtually no market abroad. Import rules and regulations vary between countries, sometimes rules change rapidly and dramatically. Shipping rules and regulations can provecomplicated

INDUSTRY PROFILEThe service industries (More formally termed: 'tertiary sector of industry' by economists) involve the provision of services to businesses as well as final consumers. Such, therefore, include accounting, tradesmanship (like mechanic or plumber services), computer services, restaurants, tourism, etc.Hence, a service Industry is one where no goods are produced whereas primary industries are those that extract minerals, oil etc. from the ground and secondary industries are those that manufacture products, including builders, but not remodeling contractors.The service sector, also called the tertiary sector, is one of the three parts of the economy in the Three-sector hypothesis. This hypothesis breaks the economy into three main areas so it can be better understood. The other two are the primary sector, which covers areas such as farming, mining and fishing; and the secondary sector which covers manufacturing and making things. The service sector provides a service, not an actual product that could be held in your hand. Activities in the service sector include retail, banks, hotels, real estate, education, health, social work, computer services, recreation, media, communications, electricity, gas and water supply.The service sector is an important part of the economy. For example, in Australia in 2007, 85% of all businesses were in the service sector.. In 2009 there were more than nine million people employed in the service sector in Australia, which was 86% of all jobs. In India, there has been a huge growth in service sector businesses which made up 55% of India's GDP in 20062007. Computer software businesses in India are increasing at a rate of 35% per year.Increasingly service sector businesses need to focus on what is now being called the knowledge economy. They need to keep ahead of other businesses by understanding what it is their customers want and be in a position to give it to them quickly and at low cost. One good example of this are banks which have gone through enormous changes in recent years. Using information and communication technology, banks have vastly reduced the number of people they need to employ, and lowered the cost of providing bank service. For example, an automated teller machine is able to provide basic banking services 24 hours a day, 7 days a week, in many different places. Before this, banking services were only available from the bank when it was open. Many banks and building societies have joined together to form much lower cost businesses that can make more money from a wider customer base. The key to this process is gaining information about their customers and constantly coming up with new services for them. An example of a company trying to come up with a new service for customers is I Card, which is looking at ways to link mobile phones to computers and social networking.Service Sector in IndiaService Sector in India today accounts for more than half of India's GDP. According to data for the financial year 2006-2007, the share of services, industry, and agriculture in India's GDP is 55.1 per cent, 26.4 per cent, and 18.5 per cent respectively. The fact that the service sector now accounts for more than half the GDP marks a watershed in the evolution of the Indian economy and takes it closer to the fundamentals of a developed economy.

Services or the "tertiary sector" of the economy covers a wide gamut of activities like trading, banking & finance, infotainment, real estate, transportation, security, management & technical consultancy among several others. The various sectors that combine together to constitute service industry in India are: Trade Hotels and Restaurants Railways Other Transport & Storage Communication (Post, Telecom) Banking Insurance Dwellings, Real Estate Business Services Public Administration; Defence Personal Services Community Services Other ServicesThere was marked acceleration in services sector growth in the eighties and nineties, especially in the nineties. While the share of services in India's GDP increased by 21 per cent points in the 50 years between 1950 and 2000, nearly 40 per cent of that increase was concentrated in the nineties. While almost all service sectors participated in this boom, growth was fastest in communications, banking, hotels and restaurants, community services, trade and business services. One of the reasons for the sudden growth in the services sector in India in the nineties was the liberalisation in the regulatory framework that gave rise to innovation and higher exports from the services sector. The boom in the services sector has been relatively "jobless". The rise in services share in GDP has not accompanied by proportionate increase in the sector's share of national employment. Some economists have also cautioned that service sector growth must be supported by proportionate growth of the industrial sector, otherwise the service sector grown will not be sustainable. In the current economic scenario it looks that the boom in the services sector is here to stay as India is fast emerging as global services hub.Service Sector of Indian Economy contributes to around 55 percent of India's GDP during 2006-07. This sector plays a leading role in the economy of India, and contributes to around 68.6 percent of the overall average growth in GDP between 2002-03 and 2006-07. There has been a 9.4 percent growth in the Indian economy during 2006-07 as against a rise of 9 percent in the same during 2006-06. During this growth in Indian economy, the service sector witnessed a rise of 11 percent in the year 2006-07 against the 9.8 percent growth in 2005-06. The service sectors of Indian economy that have grown faster than the economy are as follows:Information Technology (the most leading service sectors in Indian economy) IT-enabled services (ITeS) Telecommunications Financial Services Community Services Hotels and RestaurantsThere has been a 13 percent hike in the service sectors of trade, hotels, transport and communication in India's economy as compared to the 10.4 percent rise in the previous year. The financial services that comprise of banks, real estate, insurance, and business services witnessed a rise of 11.1 percent during 2006-07 against the 10.9 percent growth in the previous year. Service sectors including community, social, and personal services experienced a growth of 7.8 percent during 2006-07 as against 7.7 percent growth in the previous year. The service sector of India has also witnessed a remarkable rise in the global market apart from the Indian market. It has experienced a rise of 2.7 percent in 2006 from that of 2 percent in 2004. The broad-based services in the trade sector has undergone a large-scale rise. A statistics concerning the growth of India's service sectors are listed below: The software services in Indian economy increased by 33 percent which registered a revenue of USD 31.4 billion Business services grew by 82.4 percent Engineering services and products exports grew by 23 percent and earned a revenue of USD 4.9 billion Services concerning personal, cultural, and recreational had a growth of 96 percent Financial services had a rise of 88.5 percent Travel, transport, and insurance grew by 23 percentThe software services in Indian economy along with the export of products is growing at a massive pace and thereby witnessed an alarming rise of 35.5 percent and reached a lump some amount of USD 18 billion. The IteS and BPO sectors grew by 33.5 percent and earned a revenue of USD 8.4 billion. The service sector of Indian economy has been the most high-powered sector in India's economy. It has also been focusing in various investments of late. As Indian economy is looking forward for more liberalization, sectors like banking are on its way to loom large and occupy a more significant position in India's economy.

COMPANY PROFILEVyshnav Holding was established in 1993.It was one of the most important exporting and importing company in Palakkad. It is a service organization, guiding you through systematic processes, meeting all rules and regulations in different fields. It mainly operate as our client's service provider and guide.Vyshanv Holdings Provides facility to directly link with all important sites for documentation of Import/Export. Customs Clearance & Form Processing.( Pre and Post Filing Services).The industry have a specialize procurement Team to take care of Origin to Delivery Service. The Experts Visit the Source (Be it Manufacturing Units; Be it farms; Be it a Apcking Area) and make sure the right products are serviced to you and all delivery terms are met. Highly reliable shipping agents are identified and ensure the cargo reaches on time. Established in 1993, 8 November Well established import and exporting company in Palakkad Having clients at US, Europe, dubai, Saudi , European countries and gulf countries. Major exporters and impoters of fruits, vegetables and rice. Business TypeExporter , Manufacturer , Supplier, Wholesaler, Distributor, TraderMISSION To drive growth through quality and innovation in products and services To encourage decision making ability at all levels of the organizationVISION We approach our work with passion and creativity.

QUALITY STATEMENT

At Vyshnav holdings we believe that quality is the key in all the successful relationships with clients all over Europe, so much in emerging relations as well as in long standing ones.

In order to preserve that, and to develop and keep up with all quality requirements changing from day to day and from market to market, we have as our magor interest to guarantee the quality and consistency of all our products.

We continuously rise up our standards so as to ensure compliance with the ISO 22000 and a maximum processing efficiency

OUR PRODUCTS Frozen Fruits Frozen Vegetables Frozen Pulp Fruit Juices Fruits and Vegetables Mango Pulp & Slices Corn Sweet Mixed Vegetables Carrot Cold Room Rental Services Frozen Mango

The company offers frozen mango pulp and frozen mango slices like : Totapuri Kesar Alphonso Dusshehri etc.The delicious pulps are known for their great taste and flavor. The fruit is juicy and is used in a variety of manners to make juices, desserts, salads.

These are sorted, graded, processed and carefully packed to maintain their nutritional value and quality.

Features: Do not contain adulterates Pure FreshWe are engaged in offering a wide range of frozen fruits, frozen vegetables, frozen pulp, fruit juices, IQF fruits and vegetables and cold room rental services. Our main products are We are engaged in offering a wide range of frozen fruits, frozen vegetables, frozen pulp, fruit juices, IQF fruits and vegetables and cold room rental services. Our main products are IQF green peas, frozen mango pulp and slices, IQF strawberry, IQF corn sweet and white and frozen amla /pulp, IQF mixed vegetables and IQF carrot. Apart from this, we also offer canned fruits and vegetables, exotic fruits and vegetables. These are known for their high nutritional value, health benefits and taste. The frozen fruits and vegetables are widely catered in the food industry and exported in the international market to the countries of Dubai, Saudi Arabia and other Gulf Countries, European and Asian Countries. These are known for their high nutritional value, health benefits and taste. The frozen fruits and vegetables are widely catered in the food industry and exported in the international market to the countries of Dubai, Saudi Arabia and other Gulf Countries, European and Asian Countries.

Fresh Vegetables

Our company is engaged in offering a wide range of Fresh Vegetables. These are hygienic, and do not contain any preservatives or artificial colors. The range comprises: Green Peas Sweet Corn Okra French Beans Carrot (Red & Orange) Cauliflower Tomato Spinach Baby Corn Broccoli Mushroom, etc. Salient Features: Does not contain adulterates Fresh Pure

Export and Import play an import role in the Indian Economy. To increase the strategic marketing of import and export will benefit the country. The company continues to focus on growing its share in the regulated markets of US, Europe, Australia & Brazil. Russia is their biggest market , with 70% of their exports. Zecuf Herbal Cough Remedy is their no.1 product in the Russian market. In Ukraine ,the company is ranked among the top 3 Indian companies in the Ukrainian market. The companys leading product Doktor Mom Cough Lozenges was selected as No. 1 choice of the year 2009. For seven consecutive years up to 2007, Doktor Mom was awarded the Most Trusted European Brand in the cough and cold remedies segement by Readers Digest magazine. They also have a foothold in the Indian market , with brands like Rantac(anti-peptic ulcerant), Metrogyl (anaerobicide) and Nicardia (anti hypertensive) which remain a part of the top 300 brands as reported by ORG-IMS.

IMPORT / EXPORT All Documentations regarding Export/import licenses, Customs, Shipping Expert Guidance from initiation to contract Special Methods to Procure Products Delivery On time Stringiant Quality Process Special methods to Track Stock Clearance Documentation Cargo

.FUNCTIONAL DEPARTMENTS HUMAN RESOURCE DEPARTMENT FINANCE DEPARTMENT DEPARTMENT MATERIALS AND STORES DEPARTMENT MARKETING DEPARTMENT PRODUCTION DEPARTMENT

ACCOUNTING AND FINANCE FUNCTIONSTRUCTURE OF FINANCE FUNCTIONManaging Director

General Manager

Finance Manager

Supervisor

Accountants Clerks

WORKING CAPITAL MANAGEMENT OF VYSHNAV HOLDINGSWorking Capital is the Life-Blood and Controlling Nerve Center of a businessThe working capital management precisely refers to management of current assets. A firms working capital consists of its investment in current assets, which include short-term assets such as:

Cash and bank balance, Inventories, Receivables (including debtors and bills), Marketable securities.Working capital is commonly defined as the difference between current assets and current liabilities.Working Capital = Current Assets-Current Liabilities

There are two major concepts of working capital: Gross working capital Net working capital

Gross working capital:It refers to firm's investment in current assets. Current assets are the assets, which can be converted into cash with in a financial year. The gross working capital points to the need of arranging funds to finance current assets.Net working capital:It refers to the difference between current assets and current liabilities. Net working capital can be positive or negative. A positive net working capital will arise when current assets exceed current liabilities. And vice-versa for negative net working capital. Net working capital is a qualitative concept. It indicates the liquidity position of the firm and suggests the extent to which working capital needs may be financed by permanent sources of funds. Net working capital also covers the question of judicious mix of long-term and short-term funds for financing current assets.SIGNIFICANCE OF WORKING CAPITAL MANAGEMENTThe management of working capital is important for several reasons: For one thing, the current assets of a typical manufacturing firm account for half of its total assets. For a distribution company, they account for even more.

Working capital requires continuous day to day supervision. Working capital has the effect on company's risk, return and share prices,

There is an inevitable relationship between sales growth and the level of current assets. The target sales level can be achieved only if supported by adequate working capital Inefficient working capital management may lead to insolvency of the firm if it is not in a position to meet its liabilities and commitments.

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Liquidity Vs Profitability: Risk - Return trade offAnother important aspect of a working capital policy is to maintain and provide sufficient liquidity to the firm. Like the most corporate financial decisions, the decision on how much working capital be maintained involves a trade off- having a large net working capital may reduce the liquidity risk faced by a firm, but it can have a negative effect on the cash flows. Therefore, the net effect on the value of the firm should be used to determine the optimal amount of working capital.Sound working capital involves two fundamental decisions for the firm. They are the determination of: The optimal level of investments in current assets. The appropriate mix of short-term and long-term financing used to support this investment in current assets, a firm should decide whether or not it should use short-term financing. If short-term financing has to be used, the firm must determine its portion in total financing. Short-term financing may be preferred over long-term financing for two reasons: The cost advantage FlexibilityBut short-term financing is more risky than long-term financing. Following table will summarize our discussion of short-term versus long-term financing.Maintaining a policy of short term financing for short term or temporary assets needs (Box 1) and long- term financing for long term or permanent assets needs (Box 3) would comprise a set of moderate risk profitability strategies. But what one gains by following alternative strategies (like by box 2 or box 4) needs to weighed against what you give up.

CLASSIFICATION OF WORKING CAPITALWorking capital can be classified as follows: On the basis of time On the basis of concept

Types of Working Capital NeedsAnother important aspect of working capital management is to analyze the total working capital needs of the firm in order to find out the permanent and temporary working capital. Working capital is required because of existence of operating cycle. The lengthier the operating cycle, greater would be the need for working capital. The operating cycle is a continuous process and therefore, the working capital is needed constantly and regularly. However, the magnitude and quantum of working capital required will not be same all the times, rather it will fluctuate.The need for current assets tends to shift over time. Some of these changes reflect permanent changes in the firm as is the case when the inventory and receivables increases as the firm grows and the sales become higher and higher. Other changes are seasonal, as is the case with increased inventory required for a particular festival season. Still others are random reflecting the uncertainty associated with growth in sales due to firm's specific or general economic factors.The working capital needs can be bifurcated as: Permanent working capital Temporary working capitalPermanent working capital:There is always a minimum level of working capital, which is continuously required by a firm in order to maintain its activities. Every firm must have a minimum of cash, stock and other current assets, this minimum level of current assets, which must be maintained by any firm all the times, is known as permanent working capital for that firm. This amount of working capital is constantly and regularly required in the same way as fixed assets are required. So, it may also be called fixed working capital.

Temporary working capital: Any amount over and above the permanent level of working capital is temporary, fluctuating or variable working capital. The position of the required working capital is needed to meet fluctuations in demand consequent upon changes in production and sales as a result of seasonal changes.The permanent level is constant while the temporary working capital is fluctuating increasing and decreasing in accordance with seasonal demands as shown in the figure. In the case of an expanding firm, the permanent working capital line may not be horizontal. This is because the demand for permanent current assets might be increasing (or decreasing) to support a rising level of activity. In that case line would be rising.

FINANCING OF WORKING CAPITAL

There are two types of working capital requirements as discussed above. They are: Permanent or Fixed Working Capital requirements Temporary or Variable Working Capital requirementsTherefore, to finance either of these two working capital requirements, we have long-term as well as short-term sources.

FACTORS DETERMINING WORKING CAPITAL REQUIREMENTSThere are many factors that determine working capital needs of an enterprise. Some of these factors are explained below: Nature or Character of Business.The working capital requirement of a firm is closely related to the nature of its business. A service firm, like an electricity undertaking or a transport corporation, which has a short operating cycle and which sells predominantly on cash basis, has a modest working capital requirement. Oh the other hand, a manufacturing concern like a machine tools unit, which has a long operating cycle and which sells largely on credit, has a very substantial working capital requirement. Sintech is a manufacturing concern so this requires them to keep a very sizeable amount in working capital.

Size of Business/Scale of Operations.Sintech has a good position in its segment and they are also spending their operations in the domestic market as well as in foreign market. The scale of operations and the size it holds in the market makes it a must for them to hold their inventory and current asset at a huge level.

Rate of Growth of Business.The rate of growth of sales indicates a need for increase in the working capital requirements of the firm. As the firm is projected to increase their sales by 69% from what it was in 2009, it is required to guard them against the increasing requirements of the net current asset by way of efficient working capital management. The sales and projected sales level determine the investment in inventories and receivables.

Price Level Changes.Changes in the price level also affect the working capital requirements. It was the reduced margins in the price of the raw materials that had prompted them to go for bulk purchases thus making on additions to their net current assets. They might have gone for this large-scale procurement for availing discounts and anticipating a rise in prices, which would have meant that more funds are required to maintain the same current assets.WORKING CAPITAL CYCLEThe upper portion of the diagram above shows in a simplified form the chain of events in a manufacturing firm. Each of the boxes in the upper part of the diagram can be seen as a tank through which funds flow. These tanks, which are concerned with day-to-day activities, have funds constantly flowing into and out of them.

The chain starts with the firm buying raw materials on credit. In due course this stock will be used in production, work will be carried out on the stock, and it will become part of the firms work-in-progress. Work will continue on the WIP until it eventually emerges as the finished product. As production progresses, labor costs and overheads need have to be met. Of course at some stage trade creditors will need to be paid. When the finished goods are sold on credit, debtors are increased. They will eventually pay, so that cash will be injected into the firm.

Each of the areas- Stock (raw materials, WIP, and finished goods), trade debtors, cash (positive or negative) and trade creditors can be viewed as tanks into and from which funds flow. Working capital is clearly not the only aspect of a business that affects the amount of cash. The business will have to make payments to government for taxation. Fixed assets will be purchased and sold Lessors of fixed assets will be paid their rent Shareholders (existing or new) may provide new funds in the form of cash Some shares may be redeemed for cash Dividends may be paid Long-term loan creditors (existing or new) may provide loan finance, loans will need to be repaid from time-to-time, and Interest obligations will have to be met by the businessUnlike, movements in the working capital items, most of these non-working capital cash transactions are not every day events. Some of them are annual events (e.g. tax payments, lease payments, dividends, interest and, possibly, fixed asset purchases and sales). Others (e.g. new equity and loan finance and redemption of old equity and loan finance) would typically be rarer events.The following were the objectives for this audit of financial planning, budgeting and monitoring at Vyshnav holdings:To provide assurance that CSCs financial management framework is adequate, and effectively supports relevant and timely financial planning, budgeting and monitoring activities.To assess the adequacy of the process used to develop annual budgets (i.e. ARLU, NCAOP, Main Estimates) which appropriately reflect CSCs strategic/business priorities and financial requirements.To assess the adequacy of the process in place at the National and Regional levels to allocate resources in a consistent, timely and transparent manner, and aligned with strategic priorities.To assess the adequacy of the financial monitoring process at the National and Regional levels to support timely decision-making on financial matters, including resource reallocation and other corrective actions.The specific criteria used for the audit can be found in Annex A.Audit ScopeThe audit encompassed the financial planning, budgeting (which includes identifying resource requirements, budget preparation and resource allocation), and monitoring processes.Financial Planning and BudgetingInternal Audit reviewed the processes which form part of the development of budget activities to obtain funding to meet CSCs resource needs. The audit did not assess the appropriateness of NCAOP resource standards and indicators, as a review of the resourcing standards is currently being conducted by CSC. The audit focused on the resource allocation process (including assessing the adequacy of guidelines, tools, systems and data).Financial MonitoringThe focus of the audit with respect to the monitoring process was on the preparation and reporting of forecasts and variance analysis, as well as corrective actions taken where appropriate. The audit was national in scope and included visits to NHQ, all regions and selected institutions/sites/branches (see Annex B). Along with the assessment of the objectives and criteria noted above, the audit attempted to identify opportunities for improvement, including the potential for CSC to harness best practices that are implemented in specific regions or institutions.

SOURCES OF FUNDS IN VYSHNAV HOLDINGSFinancing is needed to start a business and ramp it up to protability. There are several sources to consider when looking for start-up nancing. But rst you need to consider how much money you need and when you will need it.The nancial needs of a business will vary according to the type and size of the business. For example, processing businesses are usually capital intensive, requiring large amounts of capital. Retail businesses usually require less capital.Debt and equity are the two major sources of nancing. Government grants to nance certain aspects of a business may be an option. Also, incentives may be available to locate in certain communities and/or encourage activities in particular industries.Equity FinancingEquity nancing means exchanging a portion of the ownership of the business for a financial investment in the business. The ownership stake resulting from an equity investment allows the investor to share in the companys prots. Equity involves a permanent investment in a company and is not repaid by the company at a later date.The investment should be properly dened in a formally created business entity. An equity stake in a company can be in the form of membership units, as in the case of a limited liability company or in the form of common or preferred stock as in a corporation. Companies may establish different classes of stock to control voting rights among shareholders. Similarly, companies may use different types of preferred stock. For example, common stockholders can vote while preferred stockholders generally cannot. But common stockholders are last in line for the companys assets in case of default or bankruptcy. Preferred stockholders receive a predetermined dividend before common stockholders receive a dividend.Personal Savings The rst place to look for money is your own savings or equity. Personal resources can include prot-sharing or early retirement funds, real estate equity loans, or cash value insurance policies.Life insurance policies - A standard feature of many life insurance policies is the owners ability to borrow against the cash value of the policy. This does not include term insurance because it has no cash value. The money can be used for business needs. It takes about two years for a policy to accumulate sufcient cash value for borrowing. You may borrow most of the cash value of the policy. The loan will reduce the face value of the policy and, in the case of death, the loan has to be repaid before the beneciaries of the policy receive any payment.Home equity loans - A home equity loan is a loan backed by the value of the equity in your home. If your home is paid for, it can be used to generate funds from the entire value of your home. If your home has an existing mortgage, it can provide funds on the difference between the value of the house and the unpaid mortgage amount. For example, if your house is worth $150,000 with an outstanding mortgage of $60,000, you have $90,000 in equity you can use as collateral for a home equity loan or line of credit. Some home equity loans are set up as a revolving credit line from which you can draw the amount needed at any time. The interest on a home equity loan is tax deductible.Friends and Relatives Founders of a start-up business may look to private nancing sources such as parents or friends. It may be in the form of equity nancing in which the friend or relative receives an ownership interest in the business. However, these investments should be made with the same formality that would be used with outside investors.Venture Capital Venture capital refers to nancing that comes from companies or individuals in the business of investing in young, privately held businesses. They provide capital to young businesses in exchange for an ownership share of the business. Venture capital rms usually dont want to participate in the initial nancing of a business unless the company has management with a proven track record. Generally, they prefer to invest in companies that have received signicant equity investments from the founders and are already protable.They also prefer businesses that have a competitive advantage or a strong value proposition in the form of a patent, a proven demand for the product, or a very special (and protectable) idea. Venture capital investors often take a hands-on approach to their investments, requiring representation on the board of directors and sometimes the hiring of managers. Venture capital investors can provide valuable guidance and business advice. However, they are looking for substantial returns on their investments and their objectives may be at cross purposes with those of the founders. They are often focused on short-term gain.Venture capital rms are usually focused on creating an investment portfolio of businesses with high-growth potential resulting in high rates of returns. These businesses are often high-risk investments. They may look for annual returns of 25 to 30 percent on their overall investment portfolio.Because these are usually high-risk business investments, they want investments with expected returns of 50 percent or more. Assuming that some business investments will return 50 percent or more while others will fail, it is hoped that the overall portfolio will return 25 to 30 percent.More specically, many venture capitalists subscribe to the 2-6-2 rule of thumb. This means that typically two investments will yield high returns, six will yield moderate returns (or just return their original investment), and two will fail.Angel Investors Angel investors are individuals and businesses that are interested in helping small businesses survive and grow. So their objective may be more than just focusing on economic returns. Although angel investors often have somewhat of a mission focus, they are still interested in protability and security for their investment. So they may still make many of the same demands as a venture capitalist.Angel investors may be interested in the economic development of a specic geographic area in which they are located. Angel investors may focus on earlier stage nancing and smaller financing amounts than venture capitalists.Government Grants Federal and state governments often have nancial assistance in the form of grants and/or tax credits for start-up or expanding businesses.Equity Offerings In this situation, the business sells stock directly to the public. Depending on the circumstances, equity offerings can raise substantial amounts of funds. The structure of the offering can take many forms and requires careful oversight by the companys legal representative.Initial Public Offerings Initial Public Offerings (IPOs) are used when companies have protable operations, management stability, and strong demand for their products or services. This generally doesnt happen until companies have been in business for several years. To get to this point, they usually will raise funds privately one or more times.Warrants Warrants are a special type of instrument used for long-term nancing. They are useful for start-up companies to encourage investment by minimizing downside risk while providing upside potential. For example, warrants can be issued to management in a start-up company as part of the reimbursement package.A warrant is a security that grants the owner of the warrant the right to buy stock in the issuing company at a pre-determined (exercise) price at a future date (before a specied expiration date). Its value is the relationship of the market price of the stock to the purchase price (warrant price) of the stock. If the market price of the stock rises above the warrant price, the holder can exercise the warrant. This involves purchasing the stock at the warrant price. So, in this situation, the warrant provides the opportunity to purchase the stock at a price below current market price.If the current market price of the stock is below the warrant price, the warrant is worthless because exercising the warrant would be the same as buying the stock at a price higher than the current market price. So, the warrant is left to expire. Generally warrants contain a specic date at which they expire if not exercised by that date.

Debt FinancingDebt nancing involves borrowing funds from creditors with the stipulation of repaying the borrowed funds plus interest at a specied future time. For the creditors (those lending the funds to the business), the reward for providing the debt nancing is the interest on the amount lent to the borrower.Debt nancing may be secured or unsecured. Secured debt has collateral (a valuable asset which the lender can attach to satisfy the loan in case of default by the borrower). Conversely, unsecured debt does not have collateral and places the lender in a less secure position relative to repayment in case of default.Debt nancing (loans) may be short term or long term in their repayment schedules. Generally, short-term debt is used to nance current activities such as operations while long-term debt is used to nance assets such as buildings and equipment.Friends and Relatives Founders of start-up businesses may look to private sources such as family and friends when starting a business. This may be in the form of debt capital at a low interest rate. However, if you borrow from relatives or friends, it should be done with the same formality as if it were borrowed from a commercial lender. This means creating and executing a formal loan document that includes the amount borrowed, the interest rate, specic repayment terms (based on the projected cash ow of the start-up business), and collateral in case of default.

Banks and Other Commercial Lenders Banks and other commercial lenders are popular sources of business nancing. Most lenders require a solid business plan, positive track record, and plenty of collateral. These are usually hard to come by for a start- up business. Once the business is underway and prot and loss statements, cash ows budgets, and net worth statements are provided, the company may be able to borrow additional funds.Commercial Finance Companies Commercial nance companies may be considered when the business is unable to secure financing from other commercial sources. These companies may be more willing to rely on the quality of the collateral to repay the loan than the track record or profit projections of your business. If the business does not have substantial personal assets or collateral, a commercial nance company may not be the best place to secure nancing. Also, the cost of finance company money is usually higher than other commercial lenders.Government Programs Federal, state, and local governments have programs designed to assist the nancing of new ventures and small businesses. The assistance is often in the form of a government guarantee of the repayment of a loan from a conventional lender. The guarantee provides the lender repayment assurance for a loan to a business that may have limited assets available for collateral. The best known sources are the Small Business Administration and the USDA Rural Development programs.Bonds Bonds may be used to raise nancing for a specic activity. They are a special type of debt nancing because the debt instrument is issued by the company. Bonds are different from other debt nancing instruments because the company species the interest rate and when the company will pay back the principal (maturity date). Also, the company does not have to make any payments on the principal (and may not make any interest payments) until the specified maturity date. The price paid for the bond at the time it is issued is called its face value.

When a company issues a bond it guarantees to pay back the principal (face value) plus interest. From a nancing perspective, issuing a bond offers the company the opportunity to access financing without having to pay it back until it has successfully applied the funds. The risk for the investor is that the company will default or go bankrupt before the maturity date. However, because bonds are a debt instrument, they are ahead of equity holders for company assets.LeaseA lease is a method of obtaining the use of assets for the business without using debt or equity nancing. It is a legal agreement between two parties that species the terms and conditions for the rental use of a tangible resource such as a building and equipment. Lease payments are often due annually. The agreement is usually between the company and a leasing or nancing organization and not directly between the company and the organization providing the assets. When the lease ends, the asset is returned to the owner, the lease is renewed, or the asset is purchased.A lease may have an advantage because it does not tie up funds from purchasing an asset. It is often compared to purchasing an asset with debt nancing where the debt repayment is spread over a period of years. However, lease payments often come at the beginning of the year where debt payments come at the end of the year. So, the business may have more time to generate funds for debt payments, although a down payment is usually required at the beginning of the loan period.

FINANCIAL PLANNING/BUDGETING PROCESSLinkages to the strategic priorities, corporate risks and performance results could be enhanced in the financial planning process.Based on our review of documentation and interviews with NFPC Committee members, finance staff and planning staff, we found that strategic priorities, risks and performance results are not clearly linked to the financial planning and budgeting process, especially for the key ongoing operations. As previously noted, 90% of CSCs operational expenses are non-discretionary. As such, it is important to have strong results-based resource management capabilities to assess the performance and relevance of spending and enabling the systematic (re)allocation of funds where they will best serve CSC.In addition, information which supports decision-making could be more clearly linked with CSCs priorities and risks, especially when making decisions on new spending proposals.The integration of financial and non-financial information should assist CSC in the improvement of its planning, budgeting, monitoring and reporting processes. Ensuring that the financial planning process is integrated and linked to strategic and business priorities and corporate risks will become more important to support decision-making as CSC launches its long-term transformation agenda, conducts its Strategic Review and implements the MRRS Policy.A standard approach consistent with Treasury Board requirements is being used to obtain funding.We found that CSC follows the Treasury Board timelines and its approach is consistent with Treasury Board requirements. CSC adheres to and manages the requirements and timelines similarly to all other government departments, as evidenced by the 2006 Management Accountability Framework (MAF) assessment; the effectiveness of financial management and control (MAF Element) for which CSC was rated as strong.There is a process in place to review budget proposals/requests before they are submitted to Treasury Board and Parliament for approval. We found that a review of proposed funding submissions (NCAOP, ARLU, RPP, MC, TB submissions) to Treasury Board is conducted and financial issues are discussed and resolved at appropriate levels. Financial issues that arise as a result of the budget amounts requested in any of these submissions are dealt with separately and at an appropriate level, be it at the regional or national level. As well, financial issues noted as part of the Resource Standards process are discussed and reviewed in a timely manner. Timelines have been established, and improvements continue to be made to the process, to ensure timely review and approval prior to submission to the Treasury Board. Financial monitoring An objective of a financial monitoring process is to identify financial issues in a timely manner and enable timely corrective actions such as reallocation of resources or expenditure reduction measures. To achieve such an objective, we expected to find, at National and regional levels, monitoring activities in place.We assessed the adequacy of the process used to monitor CSCs financial position and to support timely decision-making on financial matters by: reviewing the existing CSC processes used to monitor the budget and support decision-making; assessing the adequacy of guidelines, tools, systems and data for monitoring activities, and; determining if financial monitoring reports are prepared on a timely basis and are supported by sufficient evidence. Finally, we also reviewed whether there were mechanisms in place to reallocate resources and enable corrective actions.

SOURCES OF WORKING CAPITALVyshnav holding has the following sources available for the fulfillment of its working capital requirements in order to carry on its operations smoothly: Banks: These include the following banks State Bank of India Canara Bank HDFC Bank Ltd. ICICI Bank Ltd. Societe Generale Standard Chartered Bank State Bank of Patiala State Bank of Saurashtra

Commercial Papers: Commercial Papers have become an important tool for financing working capital requirements of a company.Commercial Paper is an unsecured promissory note issued by the company to raise short-term funds. The buyers of the commercial paper include banks, insurance companies, unit trusts, and companies with surplus funds to invest for a short period with minimum risk.VYSHNAV HOLDING issues Commercial Papers and had 4000 commercial papers in the year 2006.

CREDIT MANAGEMENT AT VYSHNAV HOLDINGSCredit ManagementCredit management is the process for controlling and collecting payments from your customers. A good credit management system will help you reduce the amount of capital tied up with debtors (people who owe you money) and minimise your exposure to bad debts. Read more...Credit application processIt is sometimes possible to increase sales by granting credit to selected clients who may choose to do business with you because of the convenience offered by a credit account. If you choose to provide this option be sure to develop a sound credit application process which includes a thorough check of client credit ratings before granting approval.

Debt recoveryYou may still incur bad debts even with sound credit management policies and procedures. There are a several methods with escalating degrees of severity that you can use to recover these bad debts. It is advisable to use a measured approach and select the most appropriate method to recover the debt while maintaining the relationship with your client.Debt recoveryYou may still incur bad debts even with sound credit management policies and procedures. There are a several methods with escalating degrees of severity that you can use to recover these bad debts. It is advisable to use a measured approach and select the most appropriate method to recover the debt while maintaining the relationship with your client.Essentially, an unpaid invoice is a breach of contract. Disputes arise when parties to a contract don't do what they agreed - in this case - paying for products or services supplied. You can learn more about the options available to resolve your contract dispute. Generally, your debt collection options include: personal communication and consultation with your client a written request to settle the debt (letter of demand) a debt collection agency legal action.CommunicationChase overdue invoices immediately. Contact your client by phone or email the day after the invoice is due. This lets your client know that you keep close track of your accounts receivable. Sometimes invoices get lost or overlooked, so maintain positive relationships with your client and be polite and friendly.Ask if the client is experiencing a short-term problem or if there's a valid reason for not making the payment. Decide how valuable the client is to your business. You may be willing to temporarily extend their credit terms, or you might cancel the client's credit agreement if late payments become a persistent problem.Letter of demandIf communication and consultation with the client does not result in payment of the debt, you may decide to send a letter of demand. This gives your client the opportunity to pay the debt without spending the time and money associated with legal proceedings. Keep a copy of the letter of demand you send the client as it may be required as evidence that you tried to recover the debt if you proceed with legal action.Either you or your lawyer can draft a letter of demand. The Arts Law Centre of Australia has a sample letter of demand that you can modify to send to any debtor who has not paid by the due date.When drafting a letter of demand you should not harass the debtor or design it to look like a court document. These debt collection practices are illegal.The letter of demand should: state details of the debt ( dates, agreements, amounts due, and days overdue) include copies of applicable quotes or invoices request that payment be made by a certain date warn that debt recovery options will be pursued if payment is not received by the nominated date.Debt recovery optionsIn looking at your debt recovery options consider: the real chances of recovery the time taken away from your business in pursuing the debt debt collector agency costs the legal and court costs whether costs will be recoverable from the debtor the need to obtain legal advice.

WORKING CAPITAL MANAGEMENTWorking capital management is concerned with the problem of that arise in attempting to manage. The current assets and current liabilities relationship that exists between them. The term current assets refers to those assets, which in the ordinary course of business can be or will be converted into cash within one year without undergoing a diminution in value and without disruption of operation. The goal of working capital management is to manage the firms current assets and liabilities in such a way a satisfactory that level of working capital is maintained. The company avail the working capital from the nationalized Bank in the form of over draft account.TRADE CREDITTrade credit refers to the credit extended by the suppliers of goods and services in the normal course of transaction/business/ sale of the firm according to trade practices; cash is not paid immediately for purchases but after an agreed period of time.ACCCOUNTS RECEIVABLE/ RECEIVABLE MANAGEMENTThe term receivable is defined as dept owes to the firm by the customers arising from sale of goods or services on ordinary course of business when a firm makes an ordinary sale of goods or services and does not receive payment. The firm grants trade credit and creates accounts receivable, which could be collected in feature.

TYPES OF SOFTWARE FOR ACCOUNTING PROCEDUREThe software which is used for the purpose of accounts they use Tally software of 7.1 version which covers all recent updates accounting standards and also tally software of 7.1 version covers VAT concept which marks very easy for company to fill the tax according rules and regulation.

ACCOUNTING POLICIES OF VYSHNAV HOLDINGS CAPACITORS1. FIXED ASSETSFixed assets are stated at cost of acquisition less depreciation except land at Vyshnav Holdings , which is shown at revalued cost2. DEPRECIATIONDepreciation on fixed assets has been calculated on the straight line method at the rates specified in schedule XIV of the companies Act 19563. INVENTORIESRaw materials & work in process are valued at cost. Finished goods are valued at cost or net realizable value whichever is less4. INVESTMENTInvestment are valued at cost5. RETIREMENT BENEFITSGratuity is provided as per opinion 2 of the LIC group gratuity scheme PF payable is accounted and paid to the provident fund commissioner6. BORROWING COSTSBorrowing cost including interest and other expenses for specific borrowing of funds that are attributing to acquisition, construction and fabrication of fixed assets are capitalized till they are put to use.

PRODUCTION FUNCTIONSTRUCTURE OF PRODUCTIONManaging Director

General manager Technical

Manager HRIManager DispatchManager- Quality Manager

For each and every category different planning is made. All the category raw material they will prepare indent and give it to purchase department.Then the purchase dept, material dept and other dept of production dept will discuss with general manager technical then will take decision about the procurement. Material requisition note is given to purchase department for the procurement process.Purchase department will select the suppliers who are approved by ISO for the selected the suppliers. The orders will be placed, whatever material procured it will be the inspected then whatever defected material found will be rejected note will be issued.

PRODUCTION PROCESSThroughout these years we have located our orchards in the best productive zones of our country, in a way that our trees can express their full productive potential and where our fruit can achieve the best possible quality. The selection of these productive zones has been the result of a careful analysis of soil, climate, plant healthiness and irrigation water quality.Our permanent concern to assure the quality of our products and for the environment has led us to incorporate good agricultural practices and, since 2003, achieve EUREPGAP (later Global G.A.P.) certification in each of our orchards.The care of our trees is in the hands of our technical team of agricultural engineers that supervise each one of the tasks performed throughout the year. These begin in the winter with pruning, which produces a vegetable material renovation that will give origin to the fruit of the next spring and assures correct sunlight exposure for the treesOnce we know the total amount of fruit our trees are carrying, an adjustment is done to ensure the best relation between the number of fruits and the number of leaves, since the leaves are responsible for feeding the fruit during the coming growth period. An optimum relation between fruit and leaves is necessary to obtain good-sized fruit and a concentration of sugars adequate to obtain fruit with the right amount of sweetnessThe taste and sweetness of our fruit is owed to the fact that we carefully determine the beginning of the harvest so that it coincides with the moment in which our fruit has reached its highest potentialOur production department constantly monitors the sugar content and the firmness of the fruit so they can decide the optimum moment for harvest. The harvest, depending on the geographic location, begins in mid-February.

PLANT LAYOUT OF VYSHNAV HOLDINGOur plant is one of the most modern in Chile and Latin America. It has an efficient design that considers the intelligent flow of the fruit, such as the construction and health requirements required by the BRC and HACCP regulations. All the processing equipment is made of stainless steel and the majority of them were imported from California. The design puts special emphasis on control of the different stages of the processes that assure quality at all times.Necessary infrastructureWhen considering the setting up of a fruit and vegetable processing plant, whether it be a cottage industry or a small industrial scale system, the first point to bear in mind is the infrastructure required to properly lodge all of the necessary equipment.Some time must thus be devoted to coordinate two aspects that are vital to the development of a project of this nature, namely costs and the quality of the infrastructure needed to achieve the established goals.It must always be borne in mind that since the food to be processed is intended for human consumption, the infrastructure must meet several requirements. The basic general aspects of such requirements will be analyzed in this chapter.The infrastructure comprises different aspects of a project's implementation. Issues like physical layout, basic services or installations and equipment must thus be taken into account.Physical layoutThe physical layout of a plan of this nature may be very simple, as it refers to a basic production system, involving small volumes and simple products, from a technological point of view.Nevertheless, in the case of a cottage industry and a small industrial scale system alike, simplicity must never neglect the basic principles governing industrial health and hygiene, which must characterize a food production system.

Production sitesSeveral different processes take place on the site where the production activity is performed, from the reception and conservation of raw materials, to the storage of finished products.One aspect that must be borne in mind relates to construction details, which determine a plant's capacity to meet two objectives: to adjust to the production of foods and to ensure a sufficiently long shelf life. However, when considering home or small-scale industrial processing facilities, the cost of construction is an important factor which must be taken into account.The building materials must be as light as possible, easy to readapt and install, considering that often the system users develop the plan themselves, by means of self-construction methods.The buildings materials must be easy to readapt because these home-made systems are rather dynamic, that is, they require frequent changes or must adjust to different processes, so that the space that they occupy may be exploited all year round. On the other hand, these systems must be considered "expandable" to accommodate possible evolutions in time.In addition to the previously mentioned characteristics, the materials must be easy to wash and disinfect, especially those in the clean areas of the processing rooms. Complex type of construction, resulting in the creation of places that are not easily accessible for cleaning must be avoided, for they may turn into bird nests, and contamination foci for rodents, insects, and of course, micro-organisms.Requirements pertaining to the materials and construction characteristics of the sites do not vary greatly for home processing or small-scale industrial plants. The basic difference lies in the equipment and the way it is set up in the processing lines. The home-processing system is temporary and versatile, and there are no special areas devoted to a single process. In general, all of the premises serve several purposes, according to the type of process and raw material being used.The small-scale industrial system, on the other hand, is more complex in its organization, and therefore specific activities are carried out in determined areas. Nevertheless, the general requirements for both systems are similar, the difference being in the way such requirements are met.Some of the aspects that may be considered important in relation to the architectural and construction elements are listed below:The ceiling and walls of the processing room must be of washable and easily dried materials; they must be neither absorbent nor porous.- The lighting should be natural, as far as possible. However, if artificial lights must be used, they should not hinder activities in any way. Artificial lighting must be protected, to prevent fragments of glass from falling into the product as it is being processed, in case of accidents.- Ideally, the working environment should always be appropriately ventilated, to facilitate the workers' performance. Poor ventilation in highly enclosed and densely populated premises may generate defects. It is also important to provide for the elimination of heavily contaminating odours, even if they are not necessarily toxic.On the other hand, excess ventilation, especially in places characterized by great aerial contamination external to the processing site, dust and insects essentially, may prove to be counterproductive. Appropriate ventilation must therefore be based on an efficient system controlling the access of foreign material from the external environment.- The floors must be of a solid material, never earth or plant covering. Like the walls and ceiling of the processing room, the floor must be washable, to ensure compliance with the premises' hygienic and health standards. The floor must also be sloped to allow appropriate drainage, avoiding at all costs the formation of pools in the processing area. At the same time, care must be taken to prevent the floor from being slippery.These are some examples of the features that must characterize a fruit and vegetable processing site to guarantee a quality product suitable for human consumption.

Basic installations or servicesThree basic services are required for the operation of a system as the one in question: electrical power, drinking water and the disposal of waste waters.Occasionally, small-scale industrial plants are equipped with a steam production system, which however is more seldom found in home-processing plants.Even when a home-processing plant can operate without electrical power, it is better for this service to be available, essentially to facilitate the processes by means of small devices that were developed and that improve workers' performance, thus guaranteeing a greater uniformity of products.Electrical power is also absolutely necessary if one is to rely on an appropriate lighting system, so that work shifts may be prolonged, especially when there is a surplus production of raw materials.In small-scale industrial production systems, electrical energy is indispensable, due to the greater degree of mechanization of the processes involved. All lights must be installed on the ceiling at a safe distance to prevent them from getting wet and getting in the way of workers in the processing room.As to water supply, the problem is slightly more critical. Sufficient drinking water must be available to ensure the development of a hygienic process, managed by clean people and with appropriately disinfected equipment. Also, many processes require water, as a result of which water of an appropriate quality must be available.Since water does not come in abundant quantities, its use must therefore be regulated by strict savings principles, especially in small or home-processing installations that normally are not equipped with sophisticated water harnessing devices. Water must be protected from possible sources of contamination and must be supplied on a continuous basis at all times. The consumption of water will depend upon the process in question and the design of the production systems.The supply of water must be ensured on a permanent basis, as a result of which the plant will need to be equipped with an elevated storage tank to avoid being dependent on the supply of electricity. A reserve must be created, so that water is available even when there is no electrical power. Tank storage will also allow for treatment through the addition of disinfectants.In general, it is advised that chlorine be added to the water supplying the entire plant, so as to provide for permanent disinfection. To this end, a dose of 2 ppm of residual free chlorine is suggested. It should also be borne in mind that the tank must be covered and not exposed to sunlight, to prevent the chlorine from decomposing. As a term of reference, 100 ml of a sodium hypochlorite solution for every 2000 liters of water may be used, assuming that the hypochlorite solution contains about 50 mgr of active chlorine per litre of solution. This will prevent the water from having any chlorine-like taste.Basic facilitiesA fruit and vegetable processing plant must be set up in such a way as to rely on a number of basic facilities, which are generally similar in home-processing and small-scale industrial systems. Figure 1 shows a small-scale industrial production system for the processing of fruits and vegetables.Reception of Raw MaterialThe plant must be equipped with a special area for the reception of raw materials, that is, a site where the raw material received in appropriate conditions may be stored until it is used in the process. This site, which may simply be a shed or a more appropriately designed room, must meet certain special standards in terms of temperature, humidity cleanliness, and exposure to sunlight. It is important to consider that the quality of most raw materials covered in this manual rapidly deteriorates. That is, even though many species do preserve their integrity, their inner quality is subjected to variations if storage conditions are less than adequate.It is for this reason that the temperature must be as low as possible; it must be cool. The raw material must not be directly exposed to sunlight. Since storage temperature is a very important factor, if a refrigeration system is not available, the material must be collected in the cool hours of the day.If the storage site is cool, it is important for the humidity to be relatively high to prevent the material from dehydrating and losing its quality. This problem does not apply to areas with a high relative humidity, in which case the only requirement is to find a cool site.It is important to underscore that the raw material storage area must not be used for the storage of other products that may be contaminating, such as pesticides, paint, or cleaning utensils, all of which must be kept in specially designated areas.It must never be forgotten that the quality of the product will reflect the quality of the raw material from which it was made; it is therefore important to take this aspect into due account.This storage site must be provided with basic equipment for the reception of the material. The scale and other instruments for primary quality control must be kept in a safe place, where they will not be damaged. An appropriate place must have an average temperature no higher than 30C and a humidity no greater than 70%. The tools must be kept in their respective cases at all times, clean and dry.

MATERIAL DEPARTMENT & STORES DEPARTMENTMaterial department in Vyshnav Holdings capacitor holds a special significance because of various categories of products and models are use in the production process.Material department will discuss with other department in the production dept and according to the previous requirement and production advancement, decision is made procure material.Stores department has separate storerooms in which materials, finished goods are stored and also storerooms designed such a way that raw material can be used easily.RESEARCH AND MANAGEMENTFor the purpose of R&D they have separate place, and all the expenses are made with respect to the process of R&D and special engineers and experts are hired for the process.For the purpose of motivation they have made approach called team leader i.e. in each production process a team leader is made and testing him responsibility and authority to achieve standard goals.Every day the performance is evaluated with the chart including the standard production rate and actual production rate.

MARKETING FUNCTIONSTRUCTURE OF MARKETING DEPARTMENTAGM MKT Assistant ManagerGeneral Manager MKTManaging Director

Sales ExecutivesMKT Dept

MARKETING DEPARTMENT MARKETING MIX:is a business tool used inmarketingand by marketers. The marketing mix is often crucial when determining a product or brand's offer, and is often associated with thefour price,product,promotion, andplace. The marketing mix refers to the set of actions, or tactics, that a company uses to promote its brand or product in the market. The 4Ps make up a typical marketing mix - Price, Product, Promotion and Place. However, nowadays, the marketing mix increasingly includes several other Ps like Packaging, Positioning, People and even Politics as vital mix elements.SUPPLY CHAIN MANAGEMENTSCM: is the management of the flow of goods. It includes the movement and storage ofraw materials, work-in-process inventory, and finished goods from point of origin to point of consumption. Interconnected or interlinked networks, channels and nodebusinesses are involved in the provision ofproductsandservices required by end customers in asupply chain.Supply chain management has been defined as the "design, planning, execution, control, and monitoring of supply chain activities with the objective of creating net value, building a competitive infrastructure, leveraging worldwide logistics, synchronizing supply with demand and measuring performance globally." SCM draws heavily from the areas ofoperations management,logistics,procurement, andinformation technology, and strives for an integrated approach. Supply chain management is a cross-functional approach that includes managing the movement of raw materials into an organization, certain aspects of the internal processing of materials into finished goods, and the movement of finished goods out of the organization and toward the end consumer. As organizations strive to focus on core competencies and becoming more flexible, they reduce their ownership of raw materials sources and distribution channels. These functions are increasingly being outsourced to other firms that can perform the activities better or more cost effectively. The effect is to increase the number of organizations involved in satisfying customer demand, while reducing managerial control of daily logistics operations. Less control and more supply chain partners led to the creation of the concept of supply chain management. The purpose of supply chain management is to improve trust and collaboration among supply chain partners, thus improving inventory visibility and the velocity of inventory movement.Main function of supply chain management are as follows: 1)inventory management 2)distribution management 3)channel management 4)payment management 5)financial management 6)supplier management 7)transportation management 8)Customer service management

SELLING PROCESS1.ProductKnowledgeThis step is fairly straight forward, but it is also the great undoing of many a technical expert turned sales person. When one is extremely well versed in a particular product especially a technical one, it is easy to get caught up in a monologue of all the great features it provides.The technical expert turned sales person is so eager to explain how the product works or why its unique that the benefits to the customer are left out of the discussion. Never assume that a prospect will easily link a feature to a benefit. That relationship must be stated clearly (something done in the presentation step 4, after the needs assessment step 5). The acquiring of product knowledge for a technician therefore, is less about the features of the product itself, and more about how the customer will benefit from those features. When discussing product, the technicians mantra should be; So what? Consider those two words to be what the prospect thinks every time a feature is mentioned, and re-learn your product from that perspective.2.ProspectingProspecting, just as the word implies, is about searching for new customers. Like product knowledge, this step may seem fairly straight forward but upon closer examination it becomes more complex. The key to prospecting effectively is knowing where to dig and what to look for. Its also important to distinguish between a lead, a prospect, and a qualified prospect. The most important element in this step is to create a profile of existing customers. This may have been done at your company, but have approach tactics (step3) been tailored to match each profile. For instance, you may have identified the following major market segments: State Governments, County Governments, Consulting Firms, Federal Agencies, Utilities, Universities, but have you fully profiled each of these in order to adjust marketing tactics appropriately? A direct mail, seminar invitation might work well to generate State Government leads, but will it be effective in developing Consulting Firm leads? For each market segment do you really know what the ideal customer looks like? These questions should be answered fully in the Tactics portion of a marketing plan.In the broadest sense, prospecting is an ongoing process that everyone in the company (particularly the sales force) should be involved in. This simply means everyone should have their prospecting radar up when they are out and about in the world. Very often, a great lead turned customer was first discovered after being heard or seen in the news at a party, or event, etc.3.TheApproachThis is where the rubber meets the road in the sales process. For our present purposes lets consider the approach in the context of a sales call rather than lead generation (i.e. the difference between a mass mailing and a telephone call). This is the step where you begin to build a relationship and the intelligence gathering continues (it started with prospecting). A good approach is crucial to sales success because it will either identify you as a bothersome salesperson and cause a prospects guard to go up, or it will identify you as an obliging salesperson with something of value to offer. (There is probably a middle road too, but you get the idea.). Consider the example of tele-marketers selling a seminar:Their product is a seminar, about which they presumably have sufficient knowledge. They prospect by scanning the house lists for appropriately titled leads, (generated by earlier prospecting efforts). They approach by saying Im Jay from XYZ and Im calling to follow up on an invitation to a seminar that we mailed to you last week. Do you recall receiving it? Then the dialog begins, often its perfunctory, other times however it can be extremely informative. The difference more often than not depends on how astute and articulate the caller is. What do you think is good about this approach? What do you think is bad?Quite often the type of call one makes is a follow up to some action i.e. seminar attendance, brochure mailed, etc. Technically these calls are part of follow up step 7, but let us address them in the context of a sales approach. What would be a good approach for each of the above follow up actions? Think about eliciting information and advancing the sale (closing, step 6). What would be a good approach for a cold call?4.TheNeedsAssessmentThis is arguably the most important step of the sales process because it allows you to determine how you can truly be of service. To be a highly effective salesperson, that is to sell to the prospects needs, you first have to understand what those needs are. This means you must think in terms of solving a prospects problem. The only way to do that is by asking lots of questions. Does a health practitioner prescribe remedies before a thorough exam? Asking good questions will not only help you determine what will best suit the prospects needs, but it builds confidence, trust, and will very often help the prospect consider issues they may never have thought of. This last point is powerful because it provides an opportunity to showcase features, which the prospects answers led you to. What questions would you ask to illustrate how your product is different/better than a competitors. Although intelligence gathering occurs throughout the sales process, it is at step four where it happens in earnest. What other information would be important to gather at this stage? (hint: whos who, referrals).5.ThePresentationRemember the discussion in step one, focus on benefits rather than features? If you consider your product/service in terms of how it benefits the customer, your presentation will be a focused and relevant dialogue rather than a self aggrandizing monologue. Nothing is worse than a sales presentation which proceeds from the sellers perspective. This is why the needs assessment is so important and why it will ideally flow in and out of this step. A good needs assessment allows you to tailor your presentation to your audience, and keep it interactive.6.TheCloseEighty percent of sales are lost because a salesperson fails to close. Closing is about advancing the sales process to ultimately get an order. What you are trying to sell at each stage may be different. For example, a close early in the sales process may be to get an appointment to discuss your product/service, in that case you are selling an appointment not a widget. In a later stage you might need to meet with a committee, in that case what you are selling is a meeting. Seeing the sale process in this light takes a little pressure off of each encounter and makes things a bit more manageable. But dont be lulled into complacency, you must ultimately ask for the order and no sales conversation should ever end without an agreement to some next step. Do not be satisfied with well get back to you, where is the agreement in that? What could you say in response to such a remark in order to advance the sale?7.Follow-upGood follow up will double your closing ratio. When a sales person makes contact with a prospect a relationship has been built, and follow up is how it is nurtured. Staying at the forefront of a prospects mind requires persistence and should not be confused with being bothersome. This is why its important to get agreement on some next step each time there is contact. Follow up therefore should never end. The pace may slow but it will never end. When a sale is made, then a new type of follow up begins.Follow up conversations are best handled by the salesperson who started the relationship. Who else can better gauge a prospects willingness to buy, or pick up where we last left off. This means that detailed notes must be kept on each prospect with particular emphasis on their state of mind. It is unwise and ineffective to keep track of this information anywhere other than a centralized database.

MODES OF PAYMENTCash-in-Advance With cash-in-advance payment terms, the exporter can avoid credit risk because payment is received before the ownership of the goods is transferred. Wire transfers and credit cards are the most commonly used cash-in-advance options available to exporters. However, requiring payment in advance is the least attractive option for the buyer, because it creates cash-flow problems. Foreign buyers are also concerned that the goods may not be sent if payment is made in advance. Thus, exporters who insist on this payment method as their sole manner of doing business may lose to competitors who offer more attractive payment terms. Letters of Credit Letters of credit (LCs) are one of the most secure instruments available to international traders. An LC is a commitment by a bank on behalf of the buyer that payment will be made to the exporter, provided that the terms and conditions stated in the LC have been met, as verified through the presentation of all required documents. The buyer pays his or her bank to render this service. An LC is useful when reliable credit information about a foreign buyer is difficult to obtain, but the exporter is satisfied with the creditworthiness of the buyers foreign bank. An LC also protects the buyer because no payment obligation arises until the goods have been shipped or delivered as promised. Documentary Collections A documentary collection (D/C) is a transaction whereby the exporter entrusts the collection of a payment to the remitting bank (exporters bank), which sends documents to a collecting bank (importers bank), along with instructions for payment. Funds are received from the importer and remitted to the exporter through the banks involved in the collection in exchange for those documents. D/Cs involve using a draft that requires the importer to pay the face amount either at sight (document against payment) or on a specified date (document against acceptance). The draft gives instructions that specify the documents required for the transfer of title to the goods. Although banks do act as facilitators for their clients, D/Cs offer no verification process and limited recourse in the event of non-payment. Drafts are generally less expensive than LCs. Open Account An open account transaction is a sale where the goods are shipped and delivered before payment is due, which is usually in 30 to 90 days. Obviously, this option is the most advan tageous option to the importer in terms of cash flow and cost, but it is consequently the highest risk option for an exporter. Because of intense competition in export markets, for eign buyers often press exporters for open account terms since the extension of credit by the seller to the buyer is more common abroad. Therefore, exporters who are reluctant to extend credit may lose a sale to their competitors. However, the exporter can offer competitive open account terms while substantially mitigating the risk of non-payment by using of one or more of the appropriate trade finance techniques, such as export credit insurance.MODES OF SALESWe sell our products in cash as well as on credit basis. Cash SalesCash sale is a method of sales wherein our products are delivered after receipt of proof of payment. Customers shall effect payment indicated in the Purchase Order by depositing in special accounts opened for the purpose at any one of the branches of Dashen Bank and Commercial Bank of Ethiopia. Credit SalesWe sell our products on credit basis to customers in lieu of submission of extendable unconditional bank guarantee and Audited Financial Statement. Credit customers are also obliged to submit a credit application letter. The application is subject to approval by our Executive Director. Terms And ConditionsThe terms and conditions of Credit Sales or Cash Sales are stated on the Credit Sales Agreement or Cash Sales Agreement prepared by for the purpose. The terms and conditions shall serve as an accord between the customer and DMC. Issuance of VAT receiptUpon presentation of bank deposit slip or executed credit sales agreement, to our sale office, or based on online information recieved from the Banks regarding payment customers effected in our favour, a VAT receipt will be issued

ADVERTISING STRATEGIESAn advertising strategy is a plan to reach and persuade a customer to buy a product or a service. The basic elements of the plan are 1) the product itself and its advantages, 2) the customer and his or her characteristics, 3) the relative advantages of alternative routes whereby the customer can be informed of the product, 4) the optimization of resulting choices given budgetary constraints. In effect this means that aims must be clear, the environment must be understood, the means must be ranked, and choices must be made based on available resources. Effective product assessment, market definition, media analysis, and budgetary choices result in an optimum plannever the perfect plan because resources are always limited

CHANNELS OF MARKETINGDirect marketing is done by the sales forceThey use dealers and distributersThey also have for online service or transaction basically the company follows two types of marketing channels they are direct selling and marketing with L&T Company.Direct selling-The company is recruiting their own marketing executives on salary basis, target is allocated to them they sale product to the customer directly.PACKAGINGSticking companys name to that product does packaging of the product very prominently and also attractively.PRICING STRATEGIESPricing will made according to the market situation and market demand for the product.Price will also depend on the cost of the raw material in the present market and the overheads of the company. They also do not compromise quality and customer satisfaction.PROMOTIONAL STRATEGIESAdvertisement is the main tool for the purpose of promotion. Those areMagazinesNewspaperHoardingsElectronic media-internet.

MARKET INFORMATION AND INTELLEGENCEBasically marketing information and intelligence is done by the sales force and AGM of marketing department of the company.CUSTOMER RELATIONSHIP MANAGEMENTCustomer relation is maintained at a good faith in Vyshnav holdings. They maintain constant touch and interaction with customer and they will receive feedback and they attend to it.

HUMAN RESOURCE FUNCTIONTo develop an organizational culture where superiors subordinate relations, teamwork and collaboration among different sub units must be strong and contribute to the organization health, dynamism and employees pride.In short Human Resource Department aims at helping people to acquire competencies required performing their functions well and make their organization do well. Thus the Human Resource Department has become very popular in the last decade and especially the Human resource network of human resource development. In an organization and a profession body th