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Metro Motor Bikes Internship Report
Metro Motor Bikes Internship Report
Acknowledgement
I am highly grateful of Allah Almighty who gave me power to complete the
internship and this report. I am also thankful to my teachers of IBIT for their
staff of the Metro who gave full support to learn especially Mr. Usman Riaz
the Finance Officer at Metro, then Mr. Abdul Rehman the AFM and Mr. Atif Zia
for guiding me during the internship. They trusted me and gave me crucial
Mateen Yunas
2
Executive Summary
Metro Hi-Tech (pvt.) Ltd. was established by "YUNAS" Group of Industries in
company. Its main products are motorbikes that are MR-70 and MR-125.
number one motorcycle company of the Pakistan in the future. Its business
volume is increasing with a good ratio each year i.e. in 2007-2008b its sale in
units was around 17000 and in 2008-2009 its sale in units is almost is 22000.
I did my six week internship at Metro hi-Tech (pvt.) Ltd. First five week I
spend in Finance department and the remaining one week with the Accounts
Excel, Bank reconciliation, bank register maintaining, sales invoice and sales
tax invoices edition, check filling, check dispatching etc. But my main focus
just got the knowhow of the work. During the internship MS Excel helped me
time. The technique that I used for this purpose was pivot table.
I learned many new concepts and skills that are as MS Excel’s related new
register, issuing checks and performing their dispatch process, sales tax
I really feel that I have got very much during this internship. There is much
internship in Metro.
4
Contents
Contents................................................................................4
The organization....................................................................7
History and Background:..............................................................................7
Management Committee...........................................................................9
Vision of Metro:........................................................................................14
Mission of Metro:.....................................................................................15
Metro’s Targets:......................................................................................15
Automotive Industry:...............................................................................20
Business Volume:....................................................................................24
Number of employees:............................................................................25
Organizational Structure:............................................................................27
Internal elements:...................................................................................43
External elements:..................................................................................49
Internship Activities:............................................................52
Detail Description of work (on Weekly basis):............................................52
My Sixth and last week (from Jun 29, 2009 to Jul 4, 2009):.....................59
MS Excel: ................................................................................................64
MS Word:.................................................................................................66
Bank Reconciliation:................................................................................66
6
MS GP Dynamics ERP:..............................................................................66
Recommendation:.......................................................................................73
The organization
Pedestal, Exhaust, Double Action Bracket Fans, Table and Circumatic Fans
which display their professional expertise, skill and are equally renowned
locally and abroad. The Company has also started a new setup of
beautiful designs. Then it was divided into three units and a metro group of
companies was created under which there are now three companies, Metro
fans, Metro Motorbike Company, and the Metro Automotive parts. I entered
The Company is a Private Company within the meaning of Section 2(1) (28)
No invitation shall issue to the public to subscribe for any shares of the
Company.
8
of this provision, where two or more persons hold one or more shares in the
Company jointly, they shall be treated as a single member; and the right to
(DNV).
The shares shall be under the control of the Directors who may
fit.
Once at least in every year the account of the Company shall be examined
and the correctness of the profit and loss account and balance sheet
Management Committee
and other corporate affairs. The Committee has responsibility for reviewing
maintaining healthy environment within and outside the company through its
fairly present its state of affairs, the results of its operations, cash flows and
internal control is sound in design and has been effectively implemented and
ongoing process with the objective to further strengthen the controls and
There has been no material departure from the best practices of corporate
Directors.
11
The complete list with picture of the products of the Metro is given below:
2. Metro MR 70-Black
3. Metro MR 70-Blue
4. Metro MR 70-Blue
5. Metro MR 125-Red
12
6. Metro MR 125-Black
8. Petrol Tank
Vision of Metro:
Pte Ltd.
Rawalpindi (M.E.S.)
"We have met all the above quality certifications criteria due to our highly
Mission of Metro:
The main goal of METRO, is to improve the level of customer service in Motor
fastest and efficient services to our clients backed by the State of Art
things are our back-up power to achieve our targets and goals.
Our mission is to set our operations around your needs, building a one to one
Metro’s Targets:
indigenization.
To seek long –term and good relations with our suppliers and
Customer Satisfaction.
Corporate philosophy:
civic obligations.
Management policy:
Respect sound theory, develop fresh ideas, and make the most
materials.
community.
18
for each key job/area to make sure the continuity of operations in the
Quality policy:
Environment policy:
Metro Hi- Tech (Pvt) Ltd Gujrat (Pakistan) conducts its business
following:
Operating Principles:
Teamwork.
Automotive Industry:
the next 5 years. Total gross sales of automobiles in Pakistan were Rs.214
21
billion in 2006-07 or $2.67 billion. The industry paid Rs.63 billion cumulative
taxes in 2007-08 that the government has levied on automobiles. There are
increase 25% in the next 7 years, as compared to 6.7 percent during 2001-
vehicles, trucks, buses, tractors and 2/3 wheelers. The auto policy is geared
industry in Pakistan.
22
increase the GDP contribution of the automotive sector to 5.6%, boost car
US$ 3 billion and reach an auto export target of US$ 650 million.
contributing US$ 3.6 billion to the national economy and engaging over
The Auto parts manufacturing is $ 0.96 billion per annum. The demand for
auto parts is highest in the motor cycle industry which is 60%, then is for
cars which constitutes to 22% and the rest 18% is consumed by trucks,
buses & tractors. This demand is met by Imports which caters 22% while the
has allowed duty free import of raw material, sub components, components
stands at $2.195 billion in the current fiscal year of 2007-08 which is 12.77%
The impressive growth in the machine tools and automation sector is directly
proportional to the growth of the automotive industry which has become the
The aftermarket for spares has also witnessed immense expansion over the
same period, with imported parts playing an important role in meeting local
demand. The spare parts market is given further impetus by a total vehicle
world with more than 1.55 million cars and passenger buses, constituting
sector (%)
Direct Employment 192,000 500,000
Gross sales turn over (Billion) 214 600
Pakistan fixed a target of over half million units’ production by the year
2011-12 that now seems out of reach. The industry slightly fell short to
fiscal year they said the production is expected to decline to 1,50,107 units
Despite an additional levy of 5 per cent excise duty, the revenues from
automobile sector would decline by over 25 per cent this year due to
declining demand. The industry paid Rs.63 billion cumulative taxes that the
government has levied on automobiles. This year, despite additional duty the
Business Volume:
The sales of the company, for the period 2007-2008, were more than 17000
units of motorbikes. And in 2008-2009 the sale has reached to more than
22000 units of motorcycles. In term of money if exclude the sales tax then
this amount Rs. 581 million in 2007-2008 and in 2008-2009 it may reach Rs.
752 million.
25
Number of employees:
The Total number of employees working in Metro Hi- Tech (Pvt) Ltd. Gujrat
Organizational Structure:
28
independently but still there are dependencies on each other, e.g. Finance
department has keen link with the sale and purchase departments. Also the
The payroll system is the hands of HR but the entries of salaries are done by
imports department.
two dimensions; (i) they are closely related to the extent that accounting is
Accounting function is a necessary input into the finance function. That is, a
financial statements such as the balance sheet, the income statement (profit
& loss account) and the statement of changes in financial position (sources
and future directions of the firm and in meeting certain legal obligations,
such as payment of taxes and so on. Thus, accounting and finance are
But there are key difference between finance and accounting. The first
decision-making.
32
Treatment of Funds:
The viewpoint of accounting relating to the funds of the firm is different from
is recognized at the point of sale and not when collected. Similarly, expenses
are recognized when they are incurred rather than when actually paid. The
sense in that it has earned profit (sales less expenses) but it may not be able
receivables for instance. Such a firm will not survive regardless of its levels
of profits.
flows. The revenues are recognized only when actually received in cash (i.e.
cash inflow) and expenses are recognized on actual payment (i.e. cash
satisfy its obligations and acquiring and financing the assets needed to
achieve the goals of the firm. Thus, cash flow-based returns help financial
Decision making:
Finance and accounting also differ in respect of their purposes. The purpose
consistently developed and easily interpreted data on the past, present and
future operations of the fi8rm. The financial manager uses such data for
financial decision making. It does not mean that accountants never make
decisions or financial managers never collect data. But the primary focus of
accounting ends.
microeconomics.
credit and fiscal policies and economic policies dealing with, and controlling
level of, activity within an economy. Since Business firms operate in the
recognize and understand how monetary policy affects the cost and the
availability of funds; (2) be versed in fiscal policy and its effects on the
and changes in economic policy for their decision environment and so on.
actions that will permit the firms to achieve success. The concepts and
instance, those involving (1) supply and demand relationships and profit
utility preference, risk and the determination of value, and (4) the rationale
and marginal cost. Such decisions will lead to an increase in profits of the
basic microeconomics.
35
understand both the financial environment and the decision theories which
Apart from economics and accounting, finance also draws-for its key day-to-
marketing area since their plans will require capital outlays and have an
must evaluate and finance. And, finally, the tools of analysis developed in
management problems.
The marketing, production and quantitative methods are, thus only indirectly
Owner’s wealth
maximization
Functions of the Finance Department:
annually basis.
Budgeting
Prepare the projected income statement, balance sheet and cash flow
statement.
ready for recording the events of the next accounting period. The
Metro's marketing strength over the years has been the ability of its team
and the different functions to act in unison. The year saw improvement in all
the backbone of the marketing effort, has almost matured with 300
dealerships graduating. This means that the company now has more
dealerships that provide full range of services like Sales, Service, Spare
Parts, Special Sales (Credit Sales) and Second Hand Exchange than the
Metro's quality and brand in the consumer mind through the very popular
value of the ads has been so powerful that all over the country customers
are willing to wait for the company's product rather than purchase an inferior
one. It is anticipated that this media campaign will provide the base to
launch Metro's next push for market growth. As Metro prepares to shift
TV, Newspapers and radio will play a distinct role in projecting the company's
the cost of lower margins. This the company views as an investment rather
than a cost! The Dealer contest remained a pivotal activity for the Service
mechanic training activity has been the main stay of the Service
Department's efforts over the years. Several mechanics are trained every
41
year in three day extensive training programs. Since a great deal of the
original objective has been achieved, from now on more selected training will
Programs. A new initiative is now being envisaged as the company roles out
a nationwide Safety Riding Program. In fact, the program has already come
out of the planning stage during the year and made a soft start through
& fifteen service dealers and Metro staff have been trained. They, in turn,
will train the company's customers as part of the new Customer Care
As we all know that the short fall in production of any company is a very
serious matter, especially for the companies whose ultimate aim is to earn
profit. A company continuously tries to find ways to increase its sale day by
day. So the sales will enhance only when then there is an adequate amount
of product is producing in the factory or any other production area. Any fault
on the production side can influence the sale badly. Unfortunately the same
problem is also present in our scenario and we have to find the possible
solutions.
Mansoor Mahmood Ashiq, very well about the concept of SWOT analysis. In
SWOT analysis we all know that strength and weaknesses are the internal
S=
INTERNAL ELEMENTS
W=
O=
EXTERNAL ELEMENTS
T=
Internal elements:
As we all know that strength and weaknesses these two are included in the
M = Men
M = Money
M = Machinery
M = Material
44
M = Method
Now we will assume that the main two factors which are causing this
problem of low production are ‘MEN’ and ‘METHOD’ and the other factors
are working according to the planning and they are not playing any role in
the shortfall of production. But we will just slightly touch all of them.
Weaknesses:
MEN
Brain drain: It means that the employees are leaving the jobs, so that
Awkward working hours: The working hours for the labor are not
right and accurate. The working hours are so much awkward that they
working. There are no refreshing means available for the labor force in
working hours and the labor has not been provided any suitable span
of time of refreshment.
shortfall in production.
the company’s resources for their own interest and misusing the
There are also so many points but due to limitation of the scenario we are
Unskilled labor
No direct communication
METHODS:
Methods relates to the techniques and skills used in the business. Methods
are the methods who distinguish one organization from other in production,
marketing, sale etc. according to our selection there is some fault in the
regarding production.
48
Strengths:
its products.
External elements:
Opportunities:
many areas of NWFP and some areas of Punjab and Sindh. Metro
Threats:
We assume that all the other factors do not affect the production in company
follows.
their conditions.
debts from the banks but the interest rates are very high in
planned.
51
company.
shortfall in production.
52
Internship Activities:
My first week of internship, that started from May 25, 2009, I was assigned to
perform data entry. This data entry was to write figures from their old
because they have to create a report of 2007-2008 sales report, but in the
middle of that period thaw had changed their software. Now the half of the
data for the period of 2007-2009 was on the old software and other half was
on the new software. They wanted to get the data of that fiscal year on the
same software so they assigned of to do that. One of their Finance officer Mr.
Usman Riaz told of how to perform this function, after it I did it on my own
some time he got the problem e.g. Query problem, Sign in problem as
electricity forced us to sign in after every hour. This thing helped of a lot to
understand their sales data that how they record, present it to top
management as after this data entry I created various types of reports. The
problem that faced while entering the data on the software was when I had
to write the data fetching query on their old software again and again, this
One thing in this data was that I had to enter the summary of the sale by
dealer and month wise in their software not the detail sold data, he I had to
do that in detail it would not possible to do that in the whole duration of the
internship.
My second week that started from 1st of June 2009, its work is divide into
two parts. For the first three day I performed the same tasks that I did in the
first week. In the first week it was not possible to finish the data entry as
after each hour the electricity problem occurred. So in the middle of the
second week I completed the data entry work. So in the remaining three
days I learned how they do cash receipt entry. In their software, there is a
cash receipt entry box. They foot perform this entry unless the cash is
you have to write entry date, amount receipt type i.e. Cash, check, online
transfer or Demand draft, then the receipt amount. Below this box, we write
the bank name in debit side and dealer's name in the credit side. This entry
More over they had a register in which the finance department stores the
vouchers of daily cash receipts that is received from the dealers. On these
vouchers they write against each receipt that towards which bank account of
the company this receipt has been deposited. There one finance officer had
write it before for the year 2008-2009 but with a ball point pen. I was asked
54
days I did this work. This thing helped of that how they create the daily
receipt from the dealers of motorcycles. On their vouchers, I had to write the
amount clearing date, bank name with account number's last three or four
digits. In the mean while, I performed punching of papers, photo copying and
My third week was very interesting. I had performed three types of tasks in
this week.
1. First task that I did in this week was to write discount rates on the
of dealer name, city, quantity sold, rate per unit, total amount, then a
column of discount rate. The ending column gave the total amount of
invoice excluding the discount rate. Then from using this data they had
showed me that how to handle the discount and how to use this
discount to save the tax. Further advanced tasks related to this area I
performed later on, and I will give its detail in that paragraph.
2. I sat a few days with the person who performs the tasks of bank
have the printed check number of other half the check, on the
front of the leaf. After parting these pages they write the bank
finance person. When a new check book is brought first of all its
cleared from the bank for against the payment, is given, the
statements on the Excel sheet. Then the bank register from their
software was converted into the Excel. First of all he took the
56
bank etc.
create a report of sale from July 2008 to April 2009. This report would
contain the quantity, invoice amount, sales tax amount on that invoice,
Special excise duty and the sum of all. The report format was dealers
name on left side in one column then their city. On the first column
there were the months in order. Now I had to write the dealer wise
monthly invoice’s amount that calculates the taxes and invoice’s net.
For my ease I used the technique of pivot table and I created this
report in just one hour and surprised everyone in the office, as on one
of them knew the pivot table before. They used the simple copy paste
own. First of all I entered the bank statement of two banks in the excel
check number easily. Then I converted the data of those bank accounts
from the software into Excel format. Then I have to tally both bank
statement and the bank register of company. First of all I searched the
parameters the amount, check number and date. If an amount was not
statement, and I marked them. After doing this I had a raw report that
2. Then this whole week I maintained the register of the bank accounts, I
wrote the amount against a check, its date, payee’s name and etc.
Also from the daily bank statement I found which check paid has been
cleared, I wrote its clearing date against its check number in the
register.
3. The in this week I pasted almost six finished check book on the white
papers.
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4. Then I wrote several checks in this week. All these checks were to the
venders and were cross checks. I wrote the vender name, date,
amount and then stamped it with company’s stamp and also stamped
it with “payee’s account only”. The second task was to photo copy it so
5. After the writing of the check I was I asked to write the addresses of
checks into the these envelops. All this work of check writing and
Abdul Rehman.
During this week I was given the work for some entries sales and cash
receipt related. And I also made a report that contains the sales. I will
First of all I created the summary report of whole year from July 2008
but the difference between this report and that report is that it
pivot table to create this report. But there was a problem I had to
insert the discounts against each invoice. And there were more than
5000 invoice records in the excel sheet. And some dealers are
provided the discount and some are not. Moreover the discount rates
59
were different for each of dealers. To handle this situation I used the
vlookup formula. Under this formula, I insert the dealer’s name their
discount rate and then by using the formula I interlinked these two
sheets, in less than a minute there discount rates against each of the
The second major work I did this week was merging the discount rate
in the sales invoices. First of all I was asked to edit the sales tax
invoices so I did. Then the invoices including the discount were created
then by using this discount rate I entered these values in the software
As in the previous week I did write the checks and dispatched them the
My Sixth and last week (from Jun 29, 2009 to Jul 4, 2009):
This week I spend with the Accounts department. The first two days I sat with
the accountant Mr. Atif Butt. I examined how he performs the journal
voucher entries. His basic work was to perform adjusting entries of utility
bills, interest expenses, salaries etc. His work was very simple if you the
chart of account of the Metro and also the concept of journal entries.
Then in the second two days I spend with person who deals with the taxes.
He told me his work about taxes that how he calculates the input tax and out
tax and how he perform the entries in the FBR’s website against the
60
company’s account. His work was also to communicate with venders for the
sales tax purposes, so he often wrote letter to them, during work with him I
Then in later two days I got the knowhow of the work of the person who
Accounts manager who told me about his job that he has to perform the
My supervisor was Mr. Abdul Rehman who was Assistant Finance Manager in
Metro. More over Finance Manager is Mr. Amir Khalid. I shall discuss both the
persons.
the best interests of the employees rather than the business. A good
example of this would be David Brent or Michael Scott running the business
in the fictional television shows The Office. The leader explains most
decisions to the employees and ensures that their social and leisure needs
are always met. This can help balance out the lack of worker motivation
downward; however feedback to the management will occur in order for the
employees to be kept happy. This style can be highly advantageous, and can
wrong decisions are made, then all employees may become dissatisfied with
the leader. The leader always leads them into brushing the floor.
Role demands: His job is to issue payments to venders and organize the
receipts from the dealers. This creates stress situation for him whenever to
pay the payments and on time delivery of these payments. Moreover there is
stress for him. Some time he also has to perform some work of his
subordinate or colleague.
Task demands: His task is very sensitive; he issues the checks so he can be
Conflicts: There is conflict that arises some time when the owner (as it
and over times, but they are given annual increment and verbal praise.
management. Objectives and tasks are set and the workforce is expected to
mainly downward, from the leader to the subordinate, critics such as Elton
63
Mayo have argued that this method can lead to a decrease in motivation
from the employee's point of view. The main advantage of this style is that
the direction of the business will remain constant, and the decisions will all
business. On the other hand, subordinates may become dependent upon the
studies:
First of I shall write the name of the knowledge and skills that were applied
MS Excel
MS Word
Bank Reconciliation
MS GP Dynamics ERP
MS Excel:
The skill that really was handy for me during the internship was MS Excel. I
used Excel in order to create reports of sales. During the MBIT Mr. Asim
Tanveer taught us some techniques that really worked for me. Some of the
sale in each month of the year. So I used it and from a raw data
Excel but that were not applied in the Metro as they were purely
analysis, goal seek, data tables analysis. But while doing work on
MS Word:
when one of the finance person ask me to write a letter for the
following 70 venders. The text was same the only thing changing was
Bank Reconciliation:
MS GP Dynamics ERP:
entries.
67
I shall give the learning skills and concepts in a category. The list is as below:
I had a lot work to perform in the Excel, so I had a chance to practice the
the MS Excel I learned a lot of new techniques of Excel while preparing the
reports. The list of these new techniques is as below learning priority wise:
To paste the things by using paste special. You can use it for
How to select the data that is only in the front e.g. you have hide
some columns or rows and don’t want to select that, you can use
formats etc.
The Metro’s software is also used by some other companies as Master Tiles,
cash receipt entry, cash payment entry, sales invoice entry, and sales tax
invoice entry for both new entry and the editing the entry.
I made a lot reports on sale data so I got a concept that hoe these reports
I learned how companies preserve the remaining half parts of check leaves. I
performed this step for many check books that had been ended. They also
69
prepare the payment via check in a register against each check number, so I
learned how they perform this function. On this register they write the check
bank name, then check number in a series, then check issued to , issue date,
I filled many checks to the venders of the Metro, so I learned the correct way
of writing the checks. I also learned how to dispatch these checks both by
hand and by post. Before the dispatching of each check, the photo copy of
also learned the procedure of sales tax payments. It is paid the net amount
on input tax and output tax. This concept was new for me.
There were some little things but important for office work that are as below:
How to punch the paper in a correct way. The correct way is find
the middle point of the paper by folding it and then insert it into
accurately.
Overall Summary:
company. Its main products are motorbikes that are MR-70 and MR-125.
number one motorcycle company of the Pakistan in the future. Its business
volume is increasing with a good ratio each year i.e. in 20007-2008 its sale in
units was around 17000 and in 2008-2009 its sale in units is almost is 22000.
I did my six week internship at Metro hi-Tech (Pvt.) Ltd. First five week I
spend in Finance department and the remaining one week with the Accounts
Excel, Bank reconciliation, bank register maintaining, sales invoice and sales
tax invoices edition, check filling, check dispatching etc. But my main focus
72
just got the knowhow of the work. During the internship MS Excel helped me
time. The technique that I used for this purpose was pivot table.
I learned many new concepts and skills that are as MS Excel’s related
sales tax payment concept and some little but important things.
I really feel that I have got very much during this internship. There is much
internship in Metro.
73
Recommendation:
problem. They can overcome this problem to give a person full time
responsibility to switch the energy source. The cost of this person will
There are many areas in the Sindh and NWFP that are not covered by
that areas, Company must try to create its dealership setup in that
area.
The lead time is very high company must reduce it by bringing quality
workers in the production process. If the lead time will be reduced the
and the company is getting loan at a high rate from the banks, The
because of the salary issues, they feel that the salaries given to them
are not sufficient, Company must create a payroll system that pays the
minimize the time wastage. This thing can also be reduced by two
things. Number one company should increase their salaries and involve
them in decision making, this will feel them that they have create this
First and most important suggestion for IBIT from me is that it must
create career counseling cell that may search the internships for the
students. This cell must contact the companies, must organize the
75
Most of the papers are consisting of MCQ’s but I suggest that the
question.
I strongly recommend the students of the IBIT that they should try to get the
IT and manual work organization so you have the possibility to learn both
ways.