GRAPHIC ERA HILL UNIVERSITY,

DEHRADUN

BATCH 2021-2023

SUMMER TRAINING PROJECT REPORT

ON
“Vendor’s Payment, Purchase Order and Inventory Management”
AT
 IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE
MASTER’S DEGREE IN BUSINESS ADMINISTRATION

SUBMITTED TO:

INTERNAL GUIDE EXTERNAL GUIDE

Name – Prof. Shradha Jain Name – Mr. Vinay Aggrawal
Destination- Assistant Professor Destination- Finance Head
Graphic Era Hill University Company Name- Hindustan
Dehradun Unilever Limited (Haridwar)

SUBMITTED BY:
HIMANI PANDEY
STUDENT ID – 21552128
SECTION – A
 ACKNOWLEDGEMENT
I WISH TO PLACE ON RECPRD MY DEEP SENSE OF GRATITUDE TO
HINDUSTAN UNILEVER LIMITED FOR PROVIDING ME AN
OPPORTUNITY TO TAKE UP THIS PROJECT AND GIVING ME A
PLATFORM, WHICH IS THE FIRST STEP OF MY PROFESSIONAL
CAREER.

THIS SUMMER PROJECT, FROM THE VERY BEGINNING TO THE TAIL

END HAS BEEN CARRIED OUT UNDER THE GUIDANCE OF MR.
VINAY AGGRAWAL, FINANCE HEAD. I AM INDEBTED TO MY
GUIDE MR. DHIRAJ KUMAR FOR EXTENDING HIS UNTIRING
GUIDANCE TO ME, DISCUSSING THE PROJECT MATTER AND
HELPING ME IN CLARIFYING MY THINKING IN SEVERAL
PERTINENT ISSUES AND PROVIDING A MEANGINFUL INSIGHT INTO
THE SUBJECT.

IN THE END, I WOULD LIKE TO THANK MANY UNKNOWN

INDIVIDUALS, WHOM I INTERACTED WITH FOR END NUMBER OF
NEEDS. ALL OF THEM WITH THEIR DUE COOPERATION AND AT
TIMES WITH DETACHMENT TAUGHT ME THE REAL LESSONS OF
THE BUSINESS WORLD.
 CERTIFICATE
I have the pleasure in certifying that Miss. Himani Pandey is a Bonafide
student of 3rd Semester of the Master’s Degree in Business Administration
(Batch 2021-2023), of Graphic Era Hill University, Dehradun, Roll No.
2102120

She has completed her project work entitled “VENDOR’S PAYMENT,

PURCHASE ORDER AND INVENTORY MANAGEMENT.” under my
guidance.

I certify that this is her original effort & has not been copied from any other
source. This project has also not been submitted in any other Institute /
University for the purpose of award of any Degree.

This project fulfils the requirement of the curriculum prescribed by this

University for the said course. I recommend this project work for evaluation &
consideration for the award of Degree to the student.

Signature : ……………………………………
Name of the Guide : Prof. Shradha Jain
Designation : ……………………………………
Date : ……………………………………
Company Training Certificate:
 Executive Summary
Financial statements are formal record of the financial activities of a business,
person or other entity and provide an overview of business or person’s financial
condition in both short and long term. They give an accurate picture of a
company’s condition and operating result in a condensed form. Financial
statements are used as a management tool primarily by company executive and
investor’s in assessing the overall position and operating results of a company.

In this summer internship project, I have learned some very interesting topics
including vendor’s payment, purchase order and inventory management.

A Purchase order, or PO, is an official document issued by a buyer committing

to pay the seller for the sale of specific products or services to be delivered in
the future.

The advantage to the buyer is the ability to place an order without immediate
payment. From the seller’s perspective, a PO is a way to offer buyers credit
without risk, since the buyer is obligated to pay once the products or services
have been delivered.

Each PO has a unique number associated with it that helps both buyer and seller
track delivery and payment. A blanket PO is a commitment to buy products or
services on an ongoing basis, until a certain maximum is reached.

Among other things, a PO specifies:

 Quantity purchased
 Product or service being purchased
 Specific brand names, SKUs, or model numbers
 Price per unit
 Delivery date
 Delivery location
 Billing address
 Payment terms, such as on delivery or in 30 days.
Vendor’s Payment, also called supplier payments, forms an integral part of
accounts payable management. It is one of the most common money
transactions for any business and, therefore, must be well-managed.

Making vendor payments is the final action in the procure-to-pay or purchase-

to-pay cycle of an organisation. Vendor payments are defined as paying external
suppliers or vendors of a business to purchase goods, services, or both, by
establishing a feasible process and system that suits the organisation.

It begins with a business concern placing an order to purchase goods or services

from an external vendor, supplier, or provider. It creates a purchase order for the
vendor. Once it receives the goods or services ordered, the business will get an
invoice from the vendor. In the final step, the business makes a payment
towards this invoice, termed a vendor payment.

Inventory management helps companies identify which and how much stock
to order at what time. It tracks inventory from purchase to the sale of goods.
The practice identifies and responds to trends to ensure there’s always enough
stock to fulfil customer orders and proper warning of a shortage.

Once sold, inventory becomes revenue. Before it sells, inventory (although

reported as an asset on the balance sheet) ties up cash. Therefore, too much
stock costs money and reduces cash flow.

One measurement of good inventory management is inventory turnover. An

accounting measurement, inventory turnover reflects how often stock is sold in
a period. A business does not want more stock than sales. Poor inventory
turnover can lead to deadstock, or unsold stock.
 TABLE OF CONTENT
Sr. No Title Page No.

Chapter-1 Introduction
1.1 About Company
1.2 Vendor’s Payment
1.3 Purchase Order
1.4 Inventory Management
1.5 Objective
Chapter-2 2.1Vendor’s Payment

2.1.1 Content of Vendor’s Payment

2.2 Purchase Order

2.2.1 Format of Purchase Order

2.2.2 Content of Purchase Order

2.3 Inventory Management

2.4Balance sheet

Chapter-3 Research Methodology

Chapter-4 Data Analysis

Industry Analysis

Conclusion

Bibliography
 INTRODUCTION
About Company:
Hindustan Unilever Limited (HUL) is a consumer goods company
headquartered in Mumbai, India. It is a subsidiary of Unilever, a British
company. Its products include foods, beverages, cleaning agents, personal care
products, water purifiers and other fast-moving consumer goods.
HUL was established in 1931 as Hindustan Vanaspati Manufacturing Co. and
following a merger of constituent groups in 1956, it was renamed Hindustan
Lever Limited. The company was renamed in June 2007 as Hindustan Unilever
Limited.
As of 2019, Hindustan Unilever's portfolio had 44 product brands in 14
categories. The company has 18,000 employees and clocked sales of ₹34,619
crores in FY2020-21.
In December 2021, HUL announced its acquisition of Glaxo Smith
Kline’s India's consumer business for $3.8 billion in an all equity merger deal
with a 1:4.39 ratio. However, the integration of GSK's 3,800 employees
remained uncertain as HUL stated there was no clause for retention of
employees in the deal. In April 2020, HUL completed its merger with
GlaxoSmithKline Consumer Healthcare (GSKCH India) after completing all
legal procedures
Hindustan Unilever's corporate headquarters are located at Andheri, Mumbai.
The campus is spread over 12.5 acres of land and houses over 1,600 employees.
Some of the facilities available for the employees include a convenience store, a
food court, an occupational health centre, a gym, a sports & recreation centre
and a day care centre. The Campus is designed by Mumbai-based architecture
firm Kapadia Associates.
The campus received a certification from LEED (Leadership in Energy and
Environmental Design) Gold in the 'New Construction' category, by Indian
Green Building Council (IGBC), Hyderabad, under licence from the United
States Green Building Council (USGBC)
The company's previous headquarters was located at Backbay Reclamation,
Mumbai at the Lever House, where it was housed for more than 46 years.
HUL is the market leader in Indian consumer products with presence in over 20
consumer categories such as soaps, tea, detergents and shampoos amongst
others with over 700 million Indian consumers using its products. Sixteen of
HUL's brands featured in the ACNielsen Brand Equity list of 100 Most Trusted
Brands Annual Survey (2014), carried out by Brand Equity, a supplement
of The Economic Times.
Food:

 Annapurna salt and Atta (formerly known as Kissan Annapurna)

 Bru coffee
 Brooke Bond (3 Roses, Taj Mahal, Taaza, Red Label) tea
 Kissan squashes, ketchups, juices and jams
 Lipton ice tea
 Knorr soups & meal makers and soupy noodles
 Kwality Wall's frozen dessert
 Hellmann's mayonnaise
 Magnum (ice cream)
 Cornetto Ice cream cone
 Horlicks (Health Drink)
 Homecare:

 Active Wheel detergent

 Cif Cream Cleaner
 Comfort fabric softeners
 Domex disinfectant/toilet cleaner
 Nature Protect disinfectant surface cleaner
 Rin detergents and bleach
 Sunlight detergent and colour care
 Surf Excel detergent and gentle wash
 Vim dishwash
 Magic – Water Saver

Personal care

 Aviance Beauty Solutions

 Axe deodorant, aftershave lotion and soap
 LEVER Ayush Therapy ayurvedic health care and personal care
products
 International breeze
  Brylcreem hair cream and hair gel
 Clear anti-dandruff hair products
 Clinic Plus shampoo and oil
 Close Up toothpaste
 Dove skin cleansing & hair care range: bar, lotions, creams and anti-
perspirant deodorants
 Denim shaving products
 Glow and Lovely, skin lightening cream
 Hamam
 Indulekha ayurvedic hair oil
 Lakmé beauty products and salons
 Lifebuoy soaps and handwash range
 Liril 2000 soap
 Lux soap, body wash and deodorant
 Pears soap, body wash
 Pepsodent toothpaste
 Pond's talcs and creams
 Rexona
 Sunsilk shampoo
 Sure anti-perspirant
 Vaseline petroleum jelly, skincare lotions
 TRESemmé
 TIGI

Water purifier

 Pureit

Company logo:

Company Owner:
Sanjiv Mehta
Mr Sanjiv Mehta (61) is the Chief Executive Officer & Managing Director of
Hindustan Unilever Limited. He also leads Unilever’s South Asia business as
President, Unilever, South Asia and is a member of the Unilever Leadership
Executive.
(Chief Executive Officer & Managing Director)
Sanjiv Mehta is the Chief Executive Officer & Managing Director of Hindustan
Unilever Limited (HUL), India's largest 'fast-moving consumer goods' (FMCG)
Company. Sanjiv, as President, heads Unilever's business in South Asia (India,
Pakistan, Bangladesh, Sri Lanka & Nepal). Sanjiv is a member of the 'Unilever
Leadership Executive', Unilever's Global Executive Board responsible for
running the global consumer goods giant. He is also the President
Commissioner (Non-Executive Chairman) of Unilever Indonesia.
Sanjiv has done his Bachelor's in Commerce, Chartered Accountancy, and
completed his Advanced Management Program (Harvard Business School).
He has been with Unilever for 29 years, and for the last 20 years, he has led
businesses in different parts of the world as the Chairman/CEO. He has been the
Chairman & Managing director of Hindustan Unilever Limited (June 2018 to
March 2022), Chairman and Managing Director of Unilever Bangladesh
Limited (2002 – 2006), Chairman and CEO of Unilever Philippines Inc. (2007 –
2008), Chairman of Unilever - North Africa and Middle East (2008 – 2013).
From October 2013, he assumed his responsibilities of heading Unilever's
business in India and South Asia.
During his eight years at the helm of Hindustan Unilever Limited, the
Company's market capitalisation has increased from $17 billion to $65 billion,
making HUL one of the most valuable companies in the country.
In this period, HUL has won several awards and recognitions, including the
prestigious Economic Times' Company of the Year' & 'Corporate Citizen of the
Year' awards, CNBC-TV18 Outstanding Company of the Year, Business
Standard's 'Company of the year' award and the 'Best Governed Company'
award by the Asian Centre for Corporate Governance and Sustainability. Forbes
has rated HUL as the Most Innovative Company in India and the 8th Most
Innovative Company in the World. Aon Hewitt, in a global study, ranked HUL
as the 3rd best Company globally for building leaders.
Sanjiv is the President of the Federation of Indian Chambers of Commerce and
Industry (FICCI), Independent Director on the Board of Air India, Director on
the Indian School of Business Board, member of the Breach Candy Hospital
Trust, and South Asia Advisory Board of Harvard Business School. He chairs
Xynteos' Vikaasa', a top Indian and MNC companies coalition.
Sanjiv was conferred the honorary degree of ‘Doctor of Philosophy in Business
Management by Xavier University (Xavier Institute of Management). He has
received several personal recognitions, including the ‘Best CEO Multinational’
by Forbes, the ‘Management Man of the Year’ by Bombay Management
Association, the ‘CA Business Leader’ by The Institute of Chartered
Accountants of India, the ‘Best Transformational Leader’ by the Asian Centre
for Corporate Governance and Sustainability, the ‘Business Leader of the Year’
by The Economic Times, Pralhad P. Chhabria Memorial Global Award for his
outstanding contributions to the Industry, the ‘JRD Tata Corporate Leadership
award’ by the All India Management Association and the ‘Sir Jehangir Ghandy
Medal’ by Xavier School of Management (XLRI), Jamshedpur.
Sanjiv is married to Mona, a Chartered Accountant by training, a former
Corporate Banker and now an entrepreneur. They have twin daughters, Naina
and Roshni, who have studied at MIT, Cornell, and Harvard Universities.

Hindustan Unilever (HUL), the largest Fast moving consumer goods (FMCG)
firm in the country is latest to join the battle. The FMCG major which already
has a vast portfolio of personal care brands — from shampoos and anti-aging
creams to toothpastes and deodorants — is set to enter Baba’s den with mass
market herbal-natural portfolio. And to counter the surging tide of herbal-
natural products in the country, led by Patanjali, HUL is banking on an old
horse from its stable–Lever Ayush. It plans to launch a range of personal care
products, priced between Rs 30 and Rs 130, under the brand.
Once launched, the range will directly compete with Patanjali’s personal care
products that are priced below its competitors’. It has a wide range of such
products – from face pack, face wash and winter creams to shaving gel, body
lotion and lip balm. According to Ramdev, its current supply fails to feed the
market demand and the firm is thus coming up with new manufacturing
facilities across the country to meet growing demand.
HUL had been working on a plan for quite some time. Months after Baba
Ramdev announced in April this year that Patanjali has clocked Rs 5,000 crore
in sales during 2015-16, HUL decided to revive Lever Ayush–an ayurvedic
brand which was left in the corner some years ago by the company. Launched in
2001, by the local subsidiary of the Anglo-Dutch FMCG giant Unilever, it
failed to gain traction during the last decade. Samir Singh, executive director of
HUL, earlier told The Economic Times that the very concept of ayurvedic
products inside modern packaging by a multinational company was “way ahead
of time”.

Vendor’s Payment
Vendor’s Payment, also called supplier payments, forms an integral part of
accounts payable management. It is one of the most common money
transactions for any business and, therefore, must be well-managed.

Making vendor payments is the final action in the procure-to-pay or purchase-

to-pay cycle of an organization. Vendor payments are defined as paying
external suppliers or vendors of a business to purchase goods, services, or both,
by establishing a feasible process and system that suits the organization.

It begins with a business concern placing an order to purchase goods or services

from an external vendor, supplier, or provider. It creates a purchase order for the
vendor. Once it receives the goods or services ordered, the business will get an
invoice from the vendor. In the final step, the business makes a payment
towards this invoice, termed a vendor payment.

Prompt and systematic management of vendor payments will ensure a stable

relationship with the suppliers or vendors. It also ensures that the business can
clear all its liabilities before the invoice due dates approach, without facing the
risk of interest or late payment penalties. It essentially fosters a strategic
partnership with a pool of vendors, promoting business growth in the long run.

Vendor payment management becomes crucial where the organization operates

in the following conditions, to mention a few.

 Vendor’s payment in different in currency.

 A vast number of vendors to handle.
 Varying credits period lengths to track.
 Multiple branches and units from which payments are made, needing
cash flow management.
 Sales and purchase transaction with same vendor, needing offsetting and
liabilities.
 Need for timely payment to ensure compliance with the MSME Act and
GST Laws.

Process of Vendor’s Payment

 Vendor payments may be processed by the accounts payable team in a
large entity. Likewise, it may be carried out by a small number of people
in a medium-sized business or by the accountant or the owner in a small
business or professional concern.

The following are the steps involved in the vendor payment process-
1.Collect the invoice from the vendor or supplier if the vendor is yet to
send it.
2.Verify the completeness and accuracy of the purchase invoice received.
Check for the approval of the vendor’s authorized signatory.
3.Account for the invoice on the ERP or accounting system by making
the necessary journal entry. Also, understand, calculate and account for
any taxes such as TDS under the income tax law and any input tax credit
(ITC) under GST, where it applies.
4.Deposit TDS with the government within the due dates defined by the
Income Tax Rules in the required form, where it applies. Also, conduct
reconciliation of GSTR-2A and GSTR-2B with the purchase register at
regular intervals. Follow up with vendors if they have not uploaded the
invoices on which you can claim ITC and nudge them to report them in
their GSTR-1. Report such ITC in the GSTR-3B return filed, either
monthly or quarterly, as applicable.
5.On or before the invoice due date, take the approval of the authorized
signatory of your business concern to initiate or make the invoice
payment.
6.Make the vendor payment, net of the TDS deducted and record it in the
books of accounts using a payment voucher. Pay using the mode agreed
upon beforehand between the vendor and your business concern. It can be
UPI, bank transfers, e-wallets, e-commerce payment gateways, mobile
payments, cash, etc. Also, collect the receipt from the vendor and record
it in the books of accounts upon successful payment.

Solutions to effectively manage vendor

payments:
Most businesses use spreadsheets for calculating TDS at the time of
vendor payment. But now, with companies undergoing a digital
transformation, there is more dependency on innovative, tech-based
solutions to simplify business operations.
The benefits of tech-based solutions for vendor payment management
are as follows-
 Allows automation of approvals within the timelines.
 Ensures audit-ready data by keeping a digital trail.
 Simplifies bill payments with less manual intervention.
 Provides a smooth tracking of cashflows for your organization.

First of all, a company must learn about the solution’s workflow, its pros
and cons before adopting and implementing it. It needs the teams to look
into the existing vendor payment process, gaps and to solve them. The
time and cost involved in vendor payment processing must be studied.

Some businesses are heavily dependent on modes other than digital

payments. The business owner must be apprised of the benefits of digital
payments, the risks involved and ways to ensure a smooth payment
channel before the decision is made.

After that, choose a solution that has scalable features and which
precisely meets the business criteria. It must allow workflow automation
and should provide audit trails. If you have a deep pocket, go for
integrated solutions. Integration ensures non-duplication of invoices and
payment entries. Involve the teams that will be affected by the change in
the setup process.

With the vendor payment system put to use, you can notice drastic
changes in the team’s productivity and efficiency. Tax and vendor
management becomes more effortless and error-free. Maintain and update
the master data of vendors, tax identification numbers, bank account data
for payments, contact information, and credit periods allowed as per
contracts. It enables the automation of most tasks given in the vendor
payment process.
It is necessary to have vendor’s payment receipt as proof to show in the
company to complete the transactions. These are the necessary steps that
to need to follow to complete the payment and to show it in balance sheet
to check companies cashflow and financial statement.
 Purchase Order
A purchase order, or PO, is an official document issued by a buyer committing
to pay the seller for the sale of specific products or services to be delivered in
the future.

The advantage to the buyer is the ability to place an order without immediate
payment. From the seller’s perspective, a PO is a way to offer buyers credit
without risk, since the buyer is obligated to pay once the products or services
have been delivered.

Each PO has a unique number associated with it that helps both buyer and seller
track delivery and payment. A blanket PO is a commitment to buy products or
services on an ongoing basis, until a certain maximum is reached.

Among other things, a PO specifies:

 Quantity purchased
 Product or service being purchased
 Specific brand names, SKUs, or model numbers
 Price per unit
 Delivery date
 Delivery location
 Billing address
 Payment terms, such as on delivery or in 30 days
A PO simplifies the purchase process, which typically looks like this:

 Buyer decides to purchase a product or service for their business

 The company issues a PO to the seller, often electronically using
a purchase order template
 The seller receives the PO and confirms the company can fill the order
 If not, the seller tells the buyer the order cannot be completed and the PO
is cancelled
 If the order can be filled, the seller begins preparing the order by pulling
the inventory together or scheduling necessary personnel
  Theorder is shipped, or service provided, with the PO number on the
packing list so the buyer knows which order has arrived
 Theseller invoices for the order, using the PO number so that it can
easily be matched with the delivery information
 The buyer pays the invoice according to the terms laid out in the PO

There are many reasons to use POs, the most important of which are:

 Improved accuracy, in both inventory and financial management

 Better budgeting, since funds need to be available before a PO is issued
 Faster delivery, since POs help schedule delivery when the buyer needs it
As far as disadvantages go, there are few:

 More unnecessary paperwork for smaller purchases

 Credit cards can serve the same purpose from a financial perspective
How do Purchase Orders Work?

A purchase order is simply a well-crafted list of items a buyer wants to procure

from a vendor. It becomes legally binding when accepted by the supplier.
Earlier, large firms used to prepare purchase orders on paper, but now digital
purchase orders have replaced them. Also, small firms use purchase orders to
track and manage inventories efficiently.

Purchase orders provide benefits in that they streamline the purchasing process
in a standard procedure. Commercial lenders or financial institutions may
provide financial assistance on the basis of purchase orders. There are various
trade finance facilities that almost every financial institution allows business
people to use against purchase orders such as:

 Before shipment credit facility

 Post shipment credit facility
 Trade finance facility
 Foreign bill purchase credit facility
 Bill retirement credit facility
 Order confirmation
The purpose of purchase orders is to procure materials for direct consumption or
for stock, procure services, fulfil customer requirements using external
resources, or procure a material that is required in production from an internal
source (long-distance intra-plant stock transfers). They may also place once-
only procurement transactions and optimize purchasing by taking full advantage
of negotiated conditions or for optimal utilisation of existing resource
capacities.

Creating a purchase order is typically the first step of the Purchase to Pay
process in an ERP system. Purchase orders may require a SKU code.

Although a typical purchase order may not be worded as a contract (in fact most
contain little more than a list of the goods or services the buyer desires to
purchase, along with price, payment terms, and shipping instructions), the
purchase order is a specially regarded instrument regulated by the Uniform
Commercial Code or other similar law which establishes a purchase order as a
contract by its nature. Yet despite the nature of the purchase order as a contract,
it is common to accompany the acceptance of a purchase order with a legal
document such as the terms and conditions of sale, which establish specific or
additional legal conditions of the contract.

The US Federal Acquisition Regulation states that purchase orders should

generally be issued on a fixed-price basis, but provision is also made for
unpriced purchase orders to be issued where "it is impractical to obtain pricing
in advance of issuance of the purchase order".

In the UK, the Office of Government Commerce noted with concern in 2010
that "contracting authorities [were] not always raising purchase orders", and that
where they were used, invoices were not always being reconciled to purchase
orders before payment.

Electronic purchase orders

Many purchase orders are no longer paper-based, but rather transmitted

electronically over the Internet. It is common for electronic purchase orders to
be used to buy goods or services of any type online.
There are many names for Electronic Purchase Orders. It is sometimes known
as: E-Procurement, E-Purchasing, E-Purchase Requisition. These terms are
normally all referring to Electronic Purchase Orders.

Non-electronic purchase orders

The record of purchase order in most business firms are still on paper and thus
there is a need for proper purchase order format. Many users wish to have
professional formatting for purchase orders for several reasons. A company may
wish to have a strong understanding of purchase transactions or to know the
basic requirements of purchase order. It may also make it part of business
documentation, which makes the process easier while keeping record of all
transactions and to have good impression on the client or customer.

Purchase order request

A purchase order request or purchase requisition is a request sent internally

within a company to obtain purchased goods and services, including stock. The
request is a document which tells the purchasing department or manager exactly
what items and services are requested, the quantity, source and associated costs.

A Purchase Requisition Form (PRF) is filled out prior to purchasing goods as a

form of tangible authorisation. Purchase request forms are often used in smaller
business who do not have a computer-based system. However, many computer
(included web-based solution) systems are available on the market that can
facilitate the capture of purchase request information. Purchase order requests
can also be passed to the purchasing department via a management information
system.

A PRF may contain budget and purchase values to make the individual aware of
the annual and remaining budget before a purchase is made. Such a system is
there to guarantee that goods and services are purchased with the consent of the
line manager and that a sufficient budget is available.

Now let us walk you through the process:

1. First, the buyer lists the required items.
2. Next, the buyer decides on which vendor to buy from. This is specific to
each product.
3. Then, the buyer prepares purchase orders and sends them to the vendor.
This could be on paper or sent electronically. They make use of templates
for convenience.
4. The vendor goes through the PO details, and if it is workable, a
confirmation is sent to the buyer.
5. The confirmation indicates a purchase contract between both parties.
6. At this stage, the seller prepares the order, assigning the required
workforce.
7. Product delivery is the next step. For easy identification and tracking, the
PO number is mentioned on the packing slips.
8. At the time of delivery, the seller attaches the invoice with the products.
It contains the PO number for crosschecking purposes.
9. Finally, the buyer makes the payment according to the agreed terms and
conditions.
Generally, a purchase order consists of the following information:

PO Number An identification number for a particular order. It facilitates the tracking

 status.

PO Date The date on which the purchase order is made.

Vendor-Id The name, address, and contact details of the supplier.

Buyer’s The name of the company placing the order, its address, and other contac
Information details.

Vendor’s
The name, address, and contact details of the supplier.
Information

Ship To Details The place where the products need to be shipped.

Billing Address It can be the same as the delivery address.

Shipping
The medium of transit—roadways, railways, or airways.
Method

Payment Terms The credit period, discounts, and other terms.

Date of Delivery The expected delivery date of the order.

Product description—brand names, SKU number, model number, quanti

Order Details
price, and the total amount (quantity multiplied by price).

Freight The delivery charges

Taxes It includes the goods and service taxes, state sales tax, and other charges
 Total Order
The aggregation of the total amount, freight, and taxes.
Value

Purchase Order Example

Let us look at a hypothetical example and formulate a purchase order. ZYX

Ltd., New York, required 100 office chairs with wheels at the agreed rate of $50
per chair. The firm sends a purchase order to the seller, LML Furniture, New
York. The purchase order example mentions the required quantity, price, and
other terms as follows:

LML Furniture ships the order on the delivery date and sends the invoice. The
ZYX company verifies the procured products, matches the PO number, and
makes a payment of $5,370. The payment is made within 30 days, keeping with
the predetermined terms mentioned in the PO.
Purchase Order Types

Following are the four types of purchase orders:

Standard PO

This kind of order though commonly used is primarily applicable to one-

off purchases. A standard purchase order is suitable when the buyer is
clear about the products’ price, quantity, payment terms, and delivery
schedule.

Planned PO

There are specific long-term contracts that require a steady supply of goods;
however, the scheduled delivery date is unknown. Other order details like
product types, price, payment term, and quantity are clearly defined.

For instance, a construction company gets a government contract for

constructing a dam. The company creates a Planned PO for buying bricks from
a particular vendor. However, the exact construction dates are still unknown.
Therefore, the scheduled delivery date is also uncertain.

Blanket PO

As the name suggests, a Blanket Purchase-Order covers multiple orders within a

single request. It is a strategy to avail bulk purchase discounts. But these POs
may not state the original, discounted price or the time of purchase.

For instance, a car manufacturing company issues a Blanket PO for the bulk
purchase of tires. The tire vendor facilitates a substantial 17% discount.

Contract PO

In this type, the buyer and the vendor lay down the terms of the contract, agree
upon it, and then sign it. It is a business transaction. Both the parties are legally
bound to the terms. Such POs are common for purchase agreements to be
executed in the future.
For instance, a multinational company sends a Contract PO to an outsourcing
firm— to acquire personnel for its soon to open branch.
POs prevent duplication or forgery since they are formulated as legal
documents. Both parties can track its status through the PO number. For any
disputes, the parties can take legal action. Further, it helps vendors keep track of
inventory. Finally, purchase orders facilitate budgeting as vendors can
accurately determine pending orders. Thanks to POs, vendors know the exact
quantity of upcoming orders even before they are placed.
A PO simplifies the process of invoicing. It also speeds up sales dispatch; a PO
makes reviewing orders efficient. It serves as the purchase evidence for the
buyers during financial audits. Buyers benefit, especially if the price of goods
rises between the order time and delivery time.
Purchase orders have their own limitations. For example, preparing POs for
every purchase lead to a lot of paperwork and effort. In addition, the rise in
credit card usage for small orders eliminates the need for POs.

A purchase order is significantly different from an invoice, although both are

used for business transactions. POs are prepared by the buyers, whereas the
vendor sends an invoice to the buyer. The vendor issues an invoice to collect
payments after delivering the goods.

Drafting POs is the initial step of entering into a business transaction. The
invoice, on the other hand, is a final document. It is a sales receipt that lists the
types of items, quantity, price, discounts, freight, and taxes.
How to write a purchase order?
One of the easiest ways to write a purchase order (PO) is to use a template.
Buyers should clearly mention; required kinds of items, the required quantity of
each product, the price they are willing to pay, the requested credit period, the
payment terms, and the preferred delivery date.

What is the purpose of a purchase order?

The buyers draft POs to make a procurement offer to the supplier or vendor. It
lists the required items, purchase quantity, price, payment conditions, and the
expected delivery date.

Can a buyer or seller back out of a purchase agreement?

Usually, buyers can back out of POs at any point before the delivery of goods or
services is made. This is unless such cancellation is not penalized under the
predetermined terms.
A seller can reject a PO or bargain over it before acceptance. However, the
cancellation of such a PO after its acceptance solely depends on the
predetermined terms. The parties can amend the terms only upon mutual
agreement.

We’re all familiar with a common purchase receipt template as it has become
part of our daily shopping lives. This receipt is a document that you issue to a
customer. Generally, this document includes details about the purchase of a
service or product.

For any purchase, you should use the proper receipt form and this depends on
the kind of receipt you need. Another way for you to use a purchase receipt
template is when an employee accepts or acquires materials from a vendor or
supplier regarding a purchase order.

In such a case, all of the information including the date and time of purchase,
the location, and the names of the seller and buyer, are all contained in the
receipt for the purpose of record-keeping. Of course, these aren’t the main
purposes of this receipt. Rather, it is an assurance that you were indeed able to
get what you need.

Businesses in general, that purchase anything they need to operate any business-
related projects or tasks must make these receipts to give information about
what you have purchased and the quantity that you purchased. This can also
work the other way around.
Losing receipts is very common since they are pieces of paper that may tear,
wear out, or burn easily. In such instances, you need to find ways to get your
buying receipt back in the original state. It is very easy once you do either of the
following.

1. Requesting a reprint: Visit the store or place of purchase and request a

reprint of your receipt. Most businesses are open to the fact that the
receipt goes missing and are willing to reprint it. They know how
important it is to you and their business. Keeping records helps them
avoid future troubles with their clients because of proof of purchase
template.
2. Reviewing your credit card and bank statements: You pay for items
bought through your bank’s credit card when not having cash. In this
instance, the bank keeps a clear record of what you purchased, how much
you spent, and the time you did so. Reviewing your credit card and bank
statements helps you receive this information, allowing you to print the
copies.
3. Printing copies of the purchased template: Having a second or third
copy of a purchase receipt is crucial to ensure you always have backup
once you lose them. It is easier when printing at your convenience after
buying items.

What should you include in a purchase receipt?

Businesses need to maintain a record of buyers, when, how they paid, and how
much they used on the items. It acts as a proof of purchase template that helps
dictate the owner. It helps acknowledge the provision of services or products to
clients and should have the following information.

 The details of the company that includes its name, contact

information, and e-mail address if available.
 Include the time and date when the transaction occurred.
 The list of products bought including the quantity or the services
offered and a brief description of them.
 You use the whole sum of money on purchase and tax paid as
VAT.
 Include the methods of payment, whether by cash, credit card, or
debit card.
 Ensure that the total VAT is at the end of the statement.
  If there are any return policy, they should appear, and if not, state
it.

How do you write a payment receipt?

Purchase receipt templates are in two ways depending on the convenience and
effectiveness required. Companies or stores often do it with the help of some
programs, either online or offline, used to create them.

 When writing it electronically.

You only need an electronic device like a computer or a
smartphone to create one. In this case, you need to download
special accounting programs to ease the burden of calculation and
arrangement of items on the list. They work using an automatic
system to log in data and include the accounting information.
 When designing it by hand
It is easy if you are not a tech-savvy person because it only
demands writing skills alongside good accounting skills. In the
buying receipt, you write details of the items, check the price
manually and include them, then calculate the total. You do this on
a receipt book separated into sections to fit all details.
What is the difference between an invoice and a receipt?
A receipt indicates payment of the items, and their sales are
complete, unlike an invoice that shows it’s a payment request.
They both contain the products ordered, their prices, taxing
information, contact details, and credits.
A receipt shows the exact time of payment by the customer, while
an invoice includes a given period for payment. The latter allows
for negotiations between the client and the company to decide
when they should pay. They receive information on awarded
discounts if they comply with early payment.
A receipt shows proof of complete ownership of an item while an
invoice shows partial ownership. The company may reclaim an
invoiced item if the buyer fails to complete their payment on time.
A receipt allows a buyer to return an item when spoilt within the
warranty period.
You receive an invoice before paying for an item or after paying
some amount, unlike a receipt where you get it after payment. The
receipt proves ownership of the item while the invoice shows
potential ownership. It is why you receive it before full payment.
 A purchase receipt template can be as complex or as simple as you may
wish, as long as the template meets your requirements and the
requirements of your customers. For instance, the receipt can be as simple
 as a slip from your cash register or as casual as a scribbled note on a sheet
of paper.
 On the other hand, your receipts can also be very complex like a digital
spreadsheet with programmed extension calculations, payment histories,
and purchase order numbers.

The essential information to include:

All of your receipts must bear the name of your business since you issued
them. Also, include the date of the transaction, the items or services
bought, and the amount you charged. Most receipts also include the name
of your customer, especially if the document represents a filled purchase
order or if both you and the buyer are currently engaged in business deals
with one other.
When a customer submits a purchase order, the purchase number order
should appear on the receipt for them to use as their reference. An order
you have delivered should have in the receipt the buyer’s address and
contact details for the reference of the delivery driver.

Other information to make your receipt more effective:

When a customer purchases a service or product, it would be very useful

for you to provide them with some form of documentation as to how they
will make payments.
This receipt can also include details about the payment itself – on whether
the customer made their payment in cash, with a check, or using their
credit card. Remember that any payments made in cash are especially
important because you cannot verify cash payments after the fact. But for
credit card or check payments, you can still verify these.
Aside from noting the payment form, it is also important for a customer’s
reference to provide the check number or the last four numbers on the
credit card they used. In general, these receipts may also include the
terms of sale like whether sales are all final or whether the customers can
exchange the items within 30 days after purchase, if the customer
presents the receipt. This information is very useful too.

Essential documentation (for tax purposes):

Another important use of these receipts is for tax purposes. You can use
them to provide proof about your business’s expenses that are usually
written off on your tax forms. Moreover, you can also use them for
management accounting as they contain information for your accountant
who needs to monitor your purchases and categorize them.
From this, you can assess whether your expenses in a certain area are
financially reasonable or if they’re consistent each year. Often, we face
issues with the items we just purchased. In such a case, the receipt
becomes indispensable as it serves as your proof of purchase so you can
return or exchange the merchandise. Your customers may do this too.
 Inventory management
Inventory management is a systematic approach to sourcing, storing and
selling inventory- both raw materials (components) and finished
goods(products).
in business terms, inventory management means the right stock, at the right
level, in the right place, at the right time, and at the right cost as well as price.

As a part of your supply chain, inventory management includes aspects such as

controlling and overseeing purchases — from suppliers as well as customers —
maintaining the storage of stock, controlling the amount of product for sale, and
order fulfilment.

Naturally, your company’s precise inventory management meaning will vary

based on the types of products you sell and the channels you sell them through.
But as long as those basic ingredients are present, you’ll have a solid foundation
to build upon.

Small-to-medium businesses (SMBs) often use Excel, Google Sheets, or other

manual tools to keep track of inventory databases and make decisions about
ordering.

However, knowing when to order, how much to order, where to store stock, and
so on can quickly become a complicated process. As a result, many growing
businesses graduate to an inventory management app, software, or system with
capabilities beyond manual databases and formulas.

With these systems, the procedures of inventory management extend beyond

basic reordering and stock monitoring to encompass everything from end-to-end
production and business management to lead time and demand forecasting to
metrics, reports, and even accounting.

Retail inventory management

Retail is the broadest catch-all term to describe business-to-consumer (B2C)
selling. There are essentially two types of retail separated by how and where a
sale takes place.
 First, online retail (eCommerce) where the purchase takes place digitally.
 Second, offline retail where the purchase is physical through a brick-and-
mortar storefront or a salesperson.
Wholesale, on the other hand, refers to business-to-business (B2B) selling.
Knowing the differences and best practices of retail and wholesale is critical to
success.

Most businesses maintain stock across multiple channels as well as in multiple

locations. The diversity of retail inventory management adds to its complexity
and drives home its importance to your brand.

Importance of inventory management

For any goods-based businesses, the value of inventory cannot be overstated,
which is why inventory management benefits your operational efficiency and
longevity.

From SMBs to companies already using enterprise resource planning (ERP),

without a smart approach, you’ll face an army of challenges, including blown-
out costs, loss of profits, poor customer service, and even outright failure.

From a product perspective, the importance of inventory management lies in

understanding what stock you on hand, where it is your warehouse, and how it’s
coming in and out.

Clear visibility helps you:

 Reduce costs
 Optimize fulfillment
 Provide better customer service
 Prevent loss from theft, spoilage, and returns

In a broader context, inventory management also provides insights into your

financial standing, customer behaviours and preferences, product and business
opportunities, future trends, and more.

Inventory management program

Before digging into strategies, techniques, and processes, let’s take a look at
some of the inventory management basics for beginners: namely, the
terminology and formulas you’ll need.

Inventory management terms

Barcode scanner: Physical devices used to check-in and check-out stock items
at in-house fulfillment centers and third-party warehouses.

Bundles: Groups of products that are sold as a single product: selling a camera,
lens, and bag as one SKU.
Cost of goods sold (COGS): Direct costs associated with production along
with the costs of storing those goods.

Deadstock: Items that have never been sold to or used by a customer (typically
because it’s outdated in some way).
Decoupling inventory: Also known as safety stock or decoupling stock; refers
to inventory that’s set aside as a safety net to mitigate the risk of a complete halt
in production if one or more components are unavailable.
Economic order quantity (EOQ): EOQ refers to how much you should
reorder, taking into account demand and your inventory holding costs.

Holding costs: Also known as carrying costs; the costs your business incurs to
store and hold stock in a warehouse until it’s sold to the customer.

landed costs: These are the costs of shipping, storing, import fees, duties, taxes
and other expenses associated with transporting and buying inventory.

Lead time: The time it takes a supplier to deliver goods after an order is placed
along with the timeframe for a business’ reordering needs.

Order fulfillment: The complete lifecycle of an order from the point of sale to
pick-and-pack to shipping to customer delivery.

Order management: Backend or “back office” mechanisms that govern

receiving orders, processing payments, as well as fulfillment, tracking and
communicating with customers.

Purchase order (PO): Any inventory that is in the “pipeline” of a business’

supply chain — e.g., in production or shipping — but hasn’t yet reached its
final destination.

Reorder point: Set inventory quotas that determine when reordering should
occur, taking into account current and future demand as well as lead time(s)
Safety stock: Also known as buffer stock; inventory held in a reserve to guard
against shortages

Sales order: The transactional document sent to customers after a purchase is

made but before an order is fulfilled.

Stock keeping unit (SKU): Unique tracking code (alphanumeric) assigned to

each of your products, indicating style, size, color, and other attributes.

Variant: Unique version of a product, such as a specific color or size.

Inventory management formulas:

1. Economic order quantity (EOQ) formula

EOQ is the optimum number of products you should purchase to minimize the
total cost of ordering or holding stock. Figuring out your EOQ can potentially
save you a significant amount of money.

EOQ = √ (2DK / H), or the square root of (2 x D x K / H)

Where:

D = Setup or order costs (per order, generally includes shipping and handling)
K = Demand rate (quantity sold per year)
H = Holding or carrying costs (per year, per unit)
Compute the economic order quantity for a product using the calculator below:
= [2*1000*200/16]1/2
=159

2.Days inventory outstanding (DIO) formula:

Days inventory outstanding (DIO), also known as days sales of inventory (DSI),
refers to the number of days it takes for inventory to turn into sales. The average
inventory days outstanding varies from industry to industry, but generally a
lower DIO is preferred.

3.Reorder point formula: The reorder point formula answers the

age-old question: When is the right time to order more stock?

Calculating your reorder point takes three steps:

1. Determine your lead time demand in days

2. Calculate your safety stock in days
3. Sum your lead time demand and your safety stock
4.Safety stock formula: As we touched upon earlier, safety
stock acts as an emergency buffer you can break out when it looks like you’re
on the verge of selling out. You want to have enough safety stock to meet
demand, but not so much that increased carrying costs end up straining your
finances.

While this sounds like common sense, the trick is to decide on how much safety
stock to carry:

1. Multiply your maximum daily usage by your maximum lead time in

days
2. Multiply your average daily usage by your average lead time in days
3. Calculate the difference between the two to determine your safety stock

BALANCE SHEET:
The balance sheet is one of the three fundamental financial statements and is
key to both financial modeling and accounting. The balance sheet displays the
company’s total assets and how the assets are financed, either through either
debt or equity. It can also be referred to as a statement of net worth or a
statement of financial position. The balance sheet is based on the fundamental
equation: Assets = Liabilities + Equity.
As such, the balance sheet is divided into two sides (or sections). The left side
of the balance sheet outlines all of a company’s assets. On the right side, the
balance sheet outlines the company’s liabilities and shareholders’ equity.

The assets and liabilities are separated into two categories: current
asset/liabilities and non-current (long-term) assets/liabilities. More liquid
accounts, such as Inventory, Cash, and Trades Payables, are placed in the
current section before illiquid accounts (or non-current) such as Plant, Property,
and Equipment (PP&E) and Long-Term Debt.
 OBJECTIVE:
1. To Gain Experience – You lack experience and this is the only way to get

it. The best experience comes from internships because you get to do a bit pf

everything. You get to see and experience the different roles that people play

in certain companies and see working life from different roles that people play

in certain companies and see working life from different perspectives. This is

good to take into the working world with you because at times, you will be

asked to do various tasks involving different elements of the company. This

way, you would have already had a go at things and understood how top

multitask.

2. To have a better understanding – An internship allows you to take

time to understand your roles, tasks, and the industry. Internships want you to

leave knowing more than you came with, and this is most likely the outcome.

Take this opportunity to understand each tasks you are given and every new

tool you use. Write things down, ask questions and do things repeatedly to

make sure you are doing everything with 100% effort.

3. Have the opportunity to learn and watch – You can learn from the

best during an internship. People will be watching over you and working

closely with you on projects so that you have someone to look up to and a goal

to work towards. You will learn new skills from these people and new things

about the industry and life that you didn’t know before. Communication and

interaction are key so ask plenty of questions and don’t be afraid to propose

new ideas.
4. Gain the ability to put new things into practices – You can try out

new skills and tools without the pressure of being wrong. Internships are a

time to experiment, and people who hire you for that internship know that.

They expect you to learn from your mistakes and use this as motivation to get

better take these new ideas and skills to your next job and find a way to

incorporate them into any tasks you are given.

5. Build confidence – Whether it be public speaking, giving presentations, or

simply suggesting new ideas, internships will build your confidence which

allows you to grow as both a worker and a person. Confidence is key because

if you don’t believe in yourself…who will? There is a fine line between

confidence and arrogance, so make sure you don’t cross it because no one

likes an arrogant worker. Internship will help you to build confidence through

practice which will also help in your personal growth. After all, practice

makes perfect.

6. To get a feel for different industries – Internships are usually for 3-6

months. This allows you to get a feel for different industries in a small period

of time. If you spend 3 months in PR then 3 months in marketing, you get to

know the difference in content, how they work and why they work. This will

help in your career path if you are unsure of what to do in future, or are stuck

between 2 options. You also pick up a wider variety of skills when working in

different industries which can make you more attractive to employers and

hiring managers.

7. To communicate – Internships require you to both works individually and

within a team. You learn to communicate in new ways to build professional

working relationships with people of all ages. This great because it allows you
 to be open to other people’s ideas and to get creative in a team in order to

build better ideas and ultimately, to build a better company.

Significance of the project:

 The value that the project outcomes may provide in the field or real-world
practice are- the very first question that a raises is –

Why is study or project is important?

 1. There is a strong demand/ skill shortage –

Learning how to effectively manage a project is becoming an essential
and transferable skill and is becoming increasingly in-demand across all
industries.

 2. It is a skill highlighted by employers -

 Most employees are asked at some point to work on a specific activity
that has a deadline – project management knowledge and methodologies
ensure you meet the employer’s requirements. Having the capacity to
manage projects as they arise shows initiative and can give you the edge
when in the increasingly competitive job market.
 3. Improves your productivity at work -
 Project management provides you with a range of tools and techniques
that you can apply in your work role to ensure that you are more
productive and more able to meet the required deadlines. It doesn't have
to relate directly to projects, it could be improving your day to day
organisation with new tools and tricks taught in the short course.
 4. Improves your career advancement opportunities -
 Project management is a skill that enables you to operate at a higher level,
as it incorporates aspects of teamwork and leadership. Being able to
effectively organise and carry out high level projects and holding
qualifications in this area can help you advance your career. Being a
qualified Project Officer can also add another feather to your cap.

RESEARCH METHODOLOGY
In this summer internship program, I am selected as finance intern and there were multiple

task that need to be performed for several research and to identify different problems to solve

and complete the given task.

TASK:

As the part of summer internship program, we are assigned for different kinds of task.

Like,

 To learn how to do vendor’s payment.

 Manage purchase order.

 Do plant visit.

 To learn about inventory management.

 To manage different task at once.

RESEARCH METHODOLOGY:

Research methodology is a way of explaining how a researcher intends to carry out their

research. It’s a logical, systematic plan to resolve a research problem. A methodology details

a researcher’s approach to the research to ensure reliable, valid results that address their aims

and objectives. It encompasses what data they're going to collect and where from, as well as

how it's being collected and analyzed.

Having a sound research methodology in place provide the following benefits:

 Other researchers who want to replicate the research have enough information to do

so.

 Researchers who receive criticism can refer to the methodology and explain their

approach.

 It can help provide researchers with a specific plan to follow throughout their

research.
  The methodology design process helps researchers select the correct methods for the

objectives.

 It allows researchers to document what they intend to achieve with the research from

the outlet.

COMMON DATA COLLECTION METHODS:

Once a researcher has finalized their population sample, they need to decide how to collect

data. There are several options for data collection, and the best research method to use will

depend on the research topic, methodology, type of data and the population sample.

Although there are many ways to collect data, people often broadly group them in these

ways:

1. Interviews: Researchers can carry out interviews in a structured, semi-structured,

or unstructured format, depending on how formal the questions are.

2. Surveys: Surveys can be online or in-person and have either free-answer, essay-

style questions, or closed, multiple-choice style questions. Depending on the data

required, a survey could also use a mixture.

3. Focus groups: Focus groups have interviewees give their thoughts, opinions,

perspectives and perceptions on specific topics. A moderator usually leads the group

to help guide the discussion and ensure everyone speaks.

4. Observations: Direct observation involves observing the spontaneous behavior of

participants without interference from the researcher, while participant observation is

more structured, and the researcher interacts with the participants.

Research Method:
 Primary data: Primary data analysis is the original analysis of data collected for a
research study. Analyzing primary data is the process of making sense of the collected
data to answer research questions or support or reject research hypotheses that a study
is originally designed to assess. The choice of data analysis methods depends on the
type of data collected, quantitative or qualitative. Quantitative data are collected when
researchers rely on measurement, or assigning numerical values to units, to indicate
the relative levels or degrees of the variables under investigation, whereas qualitative
data are textual data that are produced in the form of participants transcribed or
researchers’ descriptive accounts. This entry provides an overview of basic
quantitative and qualitative data analysis techniques.

 Secondary data: Secondary analysis refers to the use of existing research data to
find answer to a question that was different from the original work. Secondary data
can be large scale surveys or data collected as part of personal research. Although
there is general agreement about sharing the results of largescale surveys, but little
agreement exists about the second. While the fundamental ethical issues related to
secondary use of research data remain the same, they have become more pressing
with the advent of new technologies. Data sharing, compiling and storage have
become much faster and easier. At the same time, there are fresh concerns about data
confidentiality and security.

 Qualitative data analysis:

Qualitative data is usually in spoken or written information, such as
interview transcripts, video and audio recordings, notes, images and text
documents. Qualitative data analysis involves identifying common
patterns in participants' responses and critically analyzing them to achieve
research aims and objectives.

 Narrative analysis: Researchers use this method to analyze content from

several sources, including interviews, observations and surveys. It focuses on
using people's stories and experiences to answer research questions.
 Data Analysis

Data Analysis - Data that is processed, organized and cleaned would be ready for the

analysis. Various data analysis techniques are available to understand, interpret, and derive

conclusions based on the requirements. Data Visualization may also be used to examine the

data in graphical format, to obtain additional insight regarding the messages within the data.

Statistical Data Models such as Correlation, Regression Analysis can be used to identify the

relations among the data variables. These models that are descriptive of the data are helpful in

simplifying analysis and communicate results. The process might require additional Data

Cleaning or additional Data Collection, and hence these activities are iterative in nature.

In our online survey which was our primary data collection method we tried our best to raise

every single question keeping in mind about our customer, company’s future plan and mostly

importantly the satisfaction level of our customer through the service which are provided to

them.
Industry analyses:

Understanding how industries and companies operate, together with an analysis of financial

statements, provide a basis for forecasting company performance and allows analysts to

determine the value of an investment in a company or its securities. Industry analysis is the

analysis of a specific branch of manufacturing, service or trade. Understanding the industry in

which a company operates provides an essential framework for the analysis of the individual

company that is, company analysis. Equity analysis and credit analysis are often conducted

by analysts who concentrate on one or several industries, which results in synergies and

efficiencies in gathering and interpreting information.

company analysis and industry analysis are closely interrelated. Company and

industry analysis together can provide insight into sources of industry revenue

growth and competitors market shares and thus the future of a individual

company’s top-line growth and bottom-line profitability.

Industry analysis is useful for:

 Understanding a company’s business and business environment.

 Identifying active equity investment opportunities.

 Formulating an industry or sector rotation strategy and

 Portfolio performance attribution.

Goals –
1. Learning about professionalism, and leadership.
2. Relating theories with hand on practical learning.
3. Mastering technical skills.
4. Gaining essential background knowledge.
5. Perfecting inter personal thinks.
6. Building a network of contacts.
7. Entering to a particular job/ profession/ or industry.
8. Relating passion to career.
9. Tuning current skills by practicing.
 CONCLUSION

What I have learnt during my Internship Program with HINDUSTAN

UNILEVER LIMITED –

1. How to put my knowledge into practice- From conducting

comprehensive competitor analysis research, to designing a marketing
and communication plan, my knowledge of business and marketing
theories was transformed into a series of practical techniques and skills
that I can now implement in real-life business scenarios, all thanks to my
internship.
2. The benefits of networking- During my internship, I learned how to
communicate and build relationships with the people I worked with. I
learned how to introduce myself, talk about my interests, knowledge and
skills with entrepreneurs and business owners, as well as how to ask
questions and gain a better understanding of businesses not only in the
co-working space, but also others in the market. This process overall
helped me develop my professional network and emphasized the
importance of creating these connections. I also connected with most of
them via LinkedIn, which is obviously a great networking platform for
professionals.
3. Understanding workplace culture- Culture influences communication,
and as an international student, I learned that every company or
organization has its own culture. It’s essential to observe others and learn
how they engage and interact with co-workers, or help them with projects
and tasks. I quickly learned that whenever something is unclear for me, or
I don’t understand, it’s fine to ask for clarification.
4. How important good communication is- Communication is the key to
success in a professional environment. I learned that it’s important to
communicate with my manager via phone, email or SMS if I have
questions or if I don’t know how to work on a task. Asking for help and
clarification is better than pretending you’ve understood what you need to
do, no matter what. However, I also found that if you can Google
something, then do. Avoiding asking questions if you can find answers
elsewhere is part of being a good communicator – keep in mind that
everyone’s time is valuable. As an intern, good communication will help
with productivity, efficiency, engagement and growth.
Bibliography
Company Website: https://www.hul.co.in/
Internet sources: https://en.wikipedia.org/wiki/Hindustan_Unilever

https://www.hul.co.in/our-company/hul-history/

https://www.business-standard.com/article/companies/hindustan-
unilever-separates-positions-of-chairman-and-ceo-md-
122022400908_1.html

https://help.tallysolutions.com/article/Tally.ERP9/Reports/
Display_Inventory_Reports/Purchase_Order_Book.htm

Other Sources: information by External Guide.

1.. I.M. PANDEY Financial Management New Delhi Vikas publishing house
private Ltd -ninth addition 2004
2.Eversull, E. Eldon, and David S. Chesnick, Analysis of Balance Sheets of
Local
3. Information from SBA on understanding financial statements. Includes SBA's
templates. http://www.sba.gov/managing/financing/statement.html

Including some other research paper of Hindustan Unilever Limited from my

guide Mr. Dhiraj Kumar that helped me a lot in completing my Summer
Internship Project Report.
ead tiThe tim