A SUMMER INTERSHIP PROJECT ON

WORKING CAPITAL MANAGEMENT

AT
INDIAN RAYON, VERAVAL

(A UNIT OF ADITYA BIRLA NUVO LTD)

SUBMITTED BY: BHOOMI M. UNADKAT

YEAR 2009-11
GUIDED BY: Prof. Chetan Lakhlani prof. Bansi shah

N.R.VEKARIYA I.B.M

J.J.C. Education Trust Sanchalit

N.R. VEKARIA INSTITUTE OF BUSINESS MANAGEMENT STUDIES,

Bilkha Road, JUNAGADH-362001(GUJARAT) Tele phone:0285-2656058

Email:nrv.mba@rediffmail.com TO WHOM SO EVER IT MAY CONCERN

This is to certified that Miss Bhoomi M. Unadkat student MBA , SEMESTER-IIIof our institute has undergone summer internship programme at INDIAN RAYON (A Unit of Aditya Birla Nuvo ltd.)VERAVAL. She has prepare this report under my guidance and submitted a copy of the project report of mentioned training to the institute. We wish his all the success.

AUTHORISED SIGNATORY:

Project Guide PROF. Chetan Lakhlani PROF. Bansi Shah

Director Dr. RAJESH PATEL

ACKNOWLEDGEMENT

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I am thankful to the management of Rayon division of ABN Ltd., Veraval for given me permission for summer training, supporting and giving me all exposure regarding my concerned topics. A project of this nature calls for intellectual and professional help for many people. I, therefore, deeply express my gratitude to all prof. Chetan lakhalani & prof. Bansi Shah Who guided me and even helped me in completing all the formality during the training period. I am short of words in expressing my gratitude to Miss. Shraddha Mehta. HRD officers who allowed me to carry out my project. I am also thankful to Mr. J.V. DAVE librarian, for his cooperation and providing relevant references that made my task smooth. I thankfully acknowledge support of all operative and managerial personnel of INDIAN RAYON. For their valuable time providing me -practical knowledge in their department. I also heartily thankful to Dr. RAJESH PATEL the director of N.R. VEKARIA INSTITUTE OF BUSINESS MANAGEMENT STUDIES-JUNAGADH. Without his sign this report cannot be complete. I cannot forget to express my gratefulness to my parents and friends who have always been a great source of inspiration and encouragement to me.

Date: Place: Junagadh Bhoomi M. Unadkat

DECLARATION

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I, the undersign MISS BHOOMI UNADKAT, a student of M.B.A SEM. III hereby declare that the project work presented in this report is my own work and contribution and has been carried out at INDIAN RAYON (A unit of Aditya Birla Nuvo Ltd.) under the supervision of Prof. Chetan Lakhlani & Prof. Bansi Shah of N.R. VEKARIA INSTITUTE OF BUSINESS MANAGEMENT STUDIESJUNAGADH The objective of training undertaken is to get specialized knowledge in specialized field, which further sharpen the skill and practically in the specialization. This report has not been submitted to any other University

Date: Place: JUNAGADH

Signature bhoomi unadkat

PREFACE

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This MBA curriculum has been architecture with the view of enabling the students to have an opportunity of bringing their theoretical knowledge to practice. The concepts reinforce in the classroom would be better expose if it could be actually observe being practiced Complying with this objective the summer training is designed to develop the students skills in analyzing and interpreting practical problems through the application of theoretical concepts and techniques of management. INDIAN RAYON (A UNIT OF ADITYA BIRLA NUVO LTD.), VERAVAL. be known for its excellent survival from past 50 years. To keep this organization EVERGREEN was not so easy, with many whirlpools also company proved the theory of survival of fittest. To know this company, I got a very good opportunity through summer training, exploring so big & vibrant company is not so easy but I tried my level best to grab all the opportunities. I got a very good opportunity to know this industry with the help of employees who shared their experience with me. Indian rayon unit explains a lot of sagas related to its production, with the production, the value of workforce also. Any company is called as an organization, but a real organization is really hard to organize efficiently & effectively. The power of machines or capital are not only enough for organization to run, but thousands mind of different taste and culture, molded in one pot and to walk with so many diversity at one place and show them single path of goal and productivity is really not very easy job. As we say the world is changing, and to keep that same workforce changing with the environment is a real challenge for any company. To train & manage workforce with a future goal is really very much planned and effectively organized than only it is possible to stand in market where global scenario is flat and highly competitive and with full of substitutes.

EXECUTIVE SUMMERY

The study undertaken by the student is mainly focused on the working capital management as well as the getting exposure of financial management of the organization and the analysis of financial performance of Rayon division of Indian Rayon & Industries Ltd. The organization is a large-scale successful player in chemical business. It has strong finance structure and good reputation in the market. The management of the organization does the utilization of assets and funds effectively and efficiently. The study undertaken with aims of following objectives. To determine the various technique for managing continuous flows of raw material, store and spares. To determine the collection and the distribution procedure of the organization. To determine the accounting policy and reporting system of the organization. Analysis of financial ratios. Thus, this report contains the component of working capital management like inventory management, cash management, credit management system, ratio analysis etc. of the organization.

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