Abstract Summary

Finance constitutes the backbone of any business organisation. Every person

has to manage finance quite frequently during his entire life span. The
research work entitled

INTEX TECHNOLOGY. aims to know cash

management by Intex. The present report is a part of the project that contains
the work done by me during the training period at Intex Technology.
Under the study main focus is to put light on the working of the company
related to cash management. In this report it has been studied that how
company manages its cash by managing its receivable and payables. In order
to manage its receivables company uses to give cash discount to its customers.
In order to maintain the record of its receivables company is in contract with
HDFC bank. Bank also provides factoring service to the company by charging
some amount to the company. In order to maintain records of its receivables
bank provides the facility of CMS(Cash Management System).
In order to reduce the risk arising from the receivables company is incurring
cost of collection from debts. Company is paying large amount of money in
order to maintain its cash. It has been observed through cash flow statement
that major flow of cash is from its operating activities and company is
investing its surplus cash for investment purpose which is beneficial for the
companys growth. Company cash requirement and surplus cash is manage by
the bank.

INTRODUCTION

During my summer training in the finance department at intex technologies

India ltd I have gotten the work to observe and practically settle some of the
branch expenses of the company like to settle electricity expenses, phone
expenses, travel expenses. In the company my department was finance and
account Department whose work is to do the same to settle all the branch
expenses and make payment for the same which will be handed over to the
admin department to take care further I was working as an observer. The main
focus area of the company is to recruit more and more talented personnels in
the organization who brings fresh blood in the company. Indeed the work of
finance and account department is very significant as any expenses of the
branch settle in this department. The main motive of this project is to show
some light on working in finance department at intex technologies.
INTEX Technologies, an ISO 9001:2008 company, a major business
participant in computer accessories, peripherals, life style and multimedia
products, enjoys a leading position in acceptance as a brand and caters to more
than 61 Countries with Dubai as the main hub for South East Asia, GCC,
Arabian, African, Latin America, Europe and CIS regions. The vision of the
company is to make INTEX a globally respected name and to improve the
quality of life of the people. INTEX Technologies, Dubai recently have
forayed into fast growing mobile handset market with Dual-memory options
and built in projector for UAE, GCC & Africa markets. INTEX Technologies
is a 15 year old IT Hardware and Electronics company, headquartered at New
Delhi. Our aggressive growth journey has been recognized by reputed IT trade
2

journals, consumers and channel partners through various rankings and

awards received over the years. Among several other awards some recent
highlights are Largest selling brand in UPS category as per IDC India Q 2,
2009 Tracker-Market Review (August, 2009) Intel Premier Partnership (IPP)
Track I channel association with Intel (March, 2009) Best Value award for
Intex Gaming Keyboard in Chip magazine, (February, 2009) Intex is the most
persuasive brand (in PCs) as per a survey on India's Favorite IT Brands in PC
Quest (September, 2008) RECOMMENDED Award for Intex IT 22 TV LCD
Monitor from AV MAX Magazine (October, 2008) INNOVATION
CHAMPION & STAR ACHIEVER award from Intel (December, 2007, June,
2008 & November, 2008) Constant innovation is one of the pillars of the
companys success, the business segments cover a portfolio of 35 Product
Groups spread across more than 350 products ranging from Desktops,
Notebooks, TFT-LCD monitors, DVD players, Home Theatre Systems,
Subwoofers, Headphones, MP3 Players, Web Cameras, UPS and Computer
Peripherals to name just a few. In several product groups such as
Speakers/Subwoofers, UPS, Keyboard, Mouse, Add-on cards, etc., the
company enjoys leading market shares in many states in India and in the
global market. INTEX has a strong technical department in China which is
well-equipped with modern facilities and highly qualified engineers looking
after product development, specifications, benchmarking, quality upgradation, technology development and scanning, etc. This activity ensures
that state-of-the-art products are offered as per the latest global standards.
Sales are routed through a network of retailers, resellers and distributors. The
gamut of marketing, brand positioning and communication activities are based
on the concept of - 'Life Version 2.0'. It's about the human aspiration to
experience future and live life which nobody has lived before. In order to
3

position the brand in the right spirit at the international milieu, INTEX has
been making inroads in various countries with direct presence in India,
Australia, China, Hong Kong, UAE, South Africa and Nigeria and plans to
expand operations in Russia in coming years.

Objectives of Study
To Study Cash management of the company.
To study cash budgeting technique used by the company.
To study factors affecting cash budget of the company.
To study bank charges charged by the bank for cash management.
To study various services provided by bank to company for cash
management.
To analyse and give suggestions for better management of cash.

INTEX TECHNOLOGY
Profile
Established : 1996
Headquarters

: New Delhi

Products: Commenced business with just one item - Ethernet cards in 1996 Today more than 296 SKUs spread over 30 product groups
Certification

: ISO 9001: 2008

Standing: The only company in India offering such a wide range of

ICT products

under one brand across India through its own sales

& service network

Intex Technologies (India) ltd., incepted in the year 1996 is a major player in
India in mobile handset, consumer durables and IT accessories. A pioneer in
technology, Intex Technologies has a PAN-India presence through its wide
network comprising 29 stock and sales offices and over 800 service touch
points. The company is known for its consistent policy of transparent, fair and
ethical trade practices.
Its a ISO 9001 : 2008 Certified Company
With years of innovation and invaluable asset of more than 2000 employees,
Intex Technologies has established itself as a trusted name in the industry
today. The companys flagship brand 'INTEX' covers 4 business segments
which are mobile handsets, consumer durables, IT accessories and retail. The
Brand exhibits an exhaustive portfolio of more than 15 product categories
ranging from mobile handsets, multimedia speakers, LED TVs, washing
machines to name a few.
6

The company has state of the art Centre for Research and Development in
India and China which is well-equipped with modern equipments and is
headed by highly qualified and experienced team looking after product design
& development. These facilities ensure products are offered in line with latest
global standards.
Intex's manufacturing domain comprises factories in India and China
manufacturing diverse products.
Intex is an ISO 9001:2008 certified company. The companys operations are
managed on a world-class collaborative business solution SAP on a Virtual
Private network.
Moving at a CAGR of 41.02 % over the last 3 financial years, the company
has reached a turnover of more than Rs 20,000 million (2000 crore) in FY 1314. The company clocked a phenomenal growth of 100% in its overall
turnover in FY 13-14 over the previous year.
Sales are routed through a distribution network comprising 1100+ distributors
and 50,000+ dealers spread across the country. Products are also available at
more than 250 dedicated counters of reputed chains of hyper markets and
specialty stores across the country, on TV shopping channels and e-commerce
sites.
Intex has global presence and Intexs products are available in more than 70
countries worldwide.
7 Business Verticals divided into
5 product verticals
IT Accessories & Networking Solutions
Mobile
Consumer Durables
Security Surveillance
7

 Power Electronics
2 industry segment verticals
Retail
Enterprise Solutions Group
Diversifications
Intex Styles a furniture brand
IntexInfraprojects
Intex Developers

INTEX TECHNOLOGY, BARI BRAHMNA

8

Intex technology baribrahmna is a manufacturing plant. It has a joint venture

with Glotech Technology.it is having the strength of 300 employees. Mr.
NarenraBansal and Mrs. Alpha Bansalare the owner of the company.
Company has six departments in i.e. HR, Purchase, Production, Quality,
Process and excise and dispatch department. The company was formed in
2003.
Its headquarter is located in New Delhi. It Manufacture and supply woofer
systems, speakers in Jammu as well as all over India.
They also design the PCB boards.

VISION & MISSION

Vision

Make Intex a globally respected name.

Improve the quality of life of the people.

Mission
Focus on customer delight.

Seek technology and trade leadership.

Build corporate image.

Quality people.

Enhance work culture & environment.

Better and effective communication.

Optimise resource management.

Set benchmarking standards for corporate governance.

Sustained sales and profitability.

Goals
Company realize their vision by

Market leadership.

Ethical practices.

Innovating in all facets of life.

Caring for the stakeholders.

Uplifting the "Deprived" by providing Healthcare, Education,

Vocational Training and basic needs.

Conducting ourselves as good citizens.

10

Innovation
Constant innovation is one of the pillars of the companys success, the
business segments cover a portfolio of 35 Product Groups spread across more
than 350 products ranging from Desktops, Notebooks, TFT-LCD monitors,
DVD players, Home Theatre Systems, Subwoofers, Headphones, MP3
Players, Web Cameras, UPS and Computer Peripherals to name just a few. In
several product groups such as Speakers/Subwoofers, UPS, Keyboard, Mouse,
Add on cards, etc., the company enjoys leading market shares in many states
in India and in the global market. Intex Technologies, Dubai has forayed into
fast growing market of Tablet PC since 2011. Intex has already launched
Triple Simhandsets, apart from Dual Sim, Dual-memory options and built in
projector for UAE & GCC market. Intex mobiles cover one year warranty
which is extended to more than 350 service centers across India and to 15
other service centers internationally.

11

Products of Intex Technology

12

Kerala

13

Range Leaflet - Feature Phones

Front

Back

Range Leaflet - Speakers

14

Range Leaflet - LED TV

Range Leaflet - Washing Machine

15

STRATEGIC ALLIANCES
INTEX's Alliances and Partnerships ensure their customers receive the best
the industry has to offer. INTEX's innovative products and services are
underpinned by technology and solutions provided through partnerships with
industry-leading organizations. Some of them are as follows:

INDIAN CELLULAR ASSOCIATION

BOE (Top Panel

Makers, China)

Chipset companies
Mediatek

Qualcomm

Broadcomm

Spreadtrum

VAS
BBM

WhatsApp

Saavn

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Sony Live

GetIt

WeChat

Zappak

Gameloft

Hungama

Bigfilx

Disney

OLX

Opera

Qickr

Newshunt

Nazaraa

Lookeys

17

18

Literature Review
CASH MANAGEMENT
Cash flow is the oxygen that brings your business to life. As surely as you
cannot livewithout air, a business will grind to a halt if starved for cash.
Cash Management is concerned with the management of collections and
disbursement of cash, determination of optimum level of cash and investment
of surplus cash into securities. Cash management includes management of
cash inflow, cash outflow, estimation of cash requirement, ascertaining cost of
managing cash, techniques of managing cash. Cash management also includes
management of cash as well as cash equitant i.e. Bank accounts etc. Cash
management is done because all the transactions in the business in done in
cash, sothere is need for estimation of cash in future for smooth running of the

19

business. So cashmanagement is very important for every organization.

If at any time, because of a lack of cash, a corporation fails to pay an

obligation when it is due,the corporation is insolvent. Insolvency is the
primary reason firms go bankrupt.
Obviously, the prospect of such dire consequence compels companies to
manage their cash with care. Moreover,efficient cash management means
more than just preventing bankruptcy. It improves the profitability and
reduces the risk the firm is exposed to.
A successful business rests on sound recordkeeping practices and solid cash
flow. Without goodrecords it is impossible to determine the financial
20

condition or profitability of a business.Similarly, in order to survive a small

business must achieve a positive cash flow in the long term.This Financial
Guide provides the basic information the owner of a small business need
toestablish good recordkeeping practices in your business and to minimize
cash flow problems.

21

Objectives
To make payment according to the payment schedule.
To meet cash disbursement needs of the firm on a continuous & regular

basis.
To minimize funds in the form of cash balance which remains idle.
To prevent bankruptcy
Good relation with bank
Good relation with trade creditors & suppliers.
To lead strong credit rating
To meet unexpected cash expenditure
To maintain balance level
To identify surplus cash
To identifying the points of shortfalls & to plan & arrange adequate

cash
To improve the profitability of the firm
To keeps the bank overdraft limit under control
To strike a balance between liquidity & profitability
To make instant cash payments & avail of the facilities of cash

discounts.
To take advantage of speculative opportunities

22

CASH BUDGET
Cash budget is extremely important, especially for small businesses, because
it allows a company to determine how much credit it can extend to customers
before it begins to have liquidity problems.
For individuals, creating a cash budget is a good method for determining
where their cash is regularly being spent. This awareness can be beneficial
because knowing the value of certain expenditures can yield opportunities for
additional savings by cutting unnecessary costs. For example, without setting
a cash budget, spending a dollar a day on a cup of coffee seems fairly
unimpressive. However, upon setting a cash budget to account for regular
annual cash expenditures, this seemingly small daily expenditure comes out to
an annual total of $365, which may be better spent on other things. If you
frequently visit specialty coffee shops, your annual expenditure will be
substantially more.

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RESEARCH METHODOLOGY
RESEARCH METHODOLOGY
Research methodology is a way to systematically solve the research problem.
The research methodology included various methods and techniques for
conducting a research. Marketing Research is a systematic design, collection,
analysis, and reporting of data and finding relevant solution to a specific
marketing situation or problem. Sciences define research as the
manipulation of things, concepts or symbols for the purpose of generalizing to
extend, correct or verify knowledge, whether that knowledge aids in
construction of theory or in practice of an art. Research is thus, an original
contribution to the existing stock of knowledge marketing for its
advancement, the purpose of research is to discover answers to the questions
through the application of scientific procedure. My research project has a
specified framework for collecting the data in an effective manner. Such
framework is called Research Design. The research process which was
followed by me consisted following steps.

Defining the problem & Research Objectives

It is said, A problem well defined is half solved. The step is to define the
project under study and deciding the research objective. The definition of
problem includes study of cash management techniques used by the Intex
Technology.

Developing the Research Plan:

The second stage of research calls for developing the efficient plan for
gathering the needed information. Designing a research plan calls for decision
on the data sources, research approach, research instruments, and contacts
24

methods. The research is descriptive in nature and is aimed at analyzing

techniques used by the company for cash management.
The development of Research plan has the following Steps:

a.) Data Sources

Two types of data were taken into consideration i.e. Primary data and
secondary data. My major emphasis was on gathering the primary data. The
secondary data has been used to make things more clear.

1. Primary Data: Direct collection of data from the source of information,

including personal interviewing from the General Manager in finance and
other finance officers in the company etc.

2. Secondary Data: Indirect collection of data from sources containing past

or recentinformation like, Annual Publications, Books, Newspaper and
Magazines etc.

25

Research instrument
A questionnaire was constructed for my queries. A Questionnaire consisting of
a set of questions was presented to respondents for their answers.

a.) Sampling Plan

The sampling plan calls for three decisions.

1. Sampling unit: Who is to be interviewed?

The target person must be defined that has to be interviewed. It is necessary so
as to gather information so that person interviewed has full knowledge about
the information.

2. Contact Methods
Once the person to be interviewed is determined, the question is how the
subject should be contracted i.e. by telephone, mail or personal interview.
Here in this research, I have contacted the respondents through personal
interviews.

3. Collecting the information

The collection of data is a tedious task. For conducting any sort of research
data was needed. So for my research, there was plenty of primary data and for
increasing the validity of information collected, some books, journals,
pamphlets, information about the company were studied and taken into
considerations. After this, I have collected the information from the
respondents with the help of questionnaire.

a.) Collection of Primary Data: Primary Data is the data collected from
the original source. In my survey and study, there was optimum availability of
primary data because every aspect was witnesses carefully at each point.
Questionnaire and personal interviews were the main instruments, which were
used for collecting primary data.
26

b.) Collection of Secondary Data: Secondary Data is the one which has
already been collected by someone else and some other person is using that
information. The source of secondary data was, some related books and
websites related to the company. The competent staff of the company helped
me a lot in providing information about the company.

c.) Analyze the Information: The next step is to extract the pertinent
findings from the collected data. I have tabulated the collected data and
developed frequency distributions. Thus the whole data was grouped aspect
wise and was presented in tabular form. Thus, frequencies, comparison and
percentages were prepared to render impact of the study.

Presentation of findings:
This is the last and important step in the research process. The findings are
presented in the form of graphs, pie charts, conclusions, suggestions and
recommendations after data analysis.

27

LIMITATIONS OF THE STUDY

1) There are various methods of analysing the same data.
2) Limited access to secondary data pertaining to Intex Technology
performance in other regions or any other information was another problem in
finding a correct response.
3) Difficulty in getting meaningful data as data is confidential.
4) Most of the times people dont give appropriate information.
6) The data is analysed for limited period of time.

28

ANALYSIS AND INTERPRETATION

.
Company is having contract with which provide various facilities like: Collection of funds
Payment of fund
Providing guarantees
Issuing letter of credit
Bill discounting facility
Administration of credit sales
Maintenance of sales register
Credit control
Protection from bad debts
Provision of Finance
Rendering advisory services

TERMS OF CONTRACT OF INTEX TECHNOLOGY WITH

AXIS
Credit Facility of Rs. 2.7Crores.
Receivable Management by INTEX INDUSTRIES
1. Average Collection period
Average collection period measures the quality of debtors. A short collection
period implies
29

prompt payment by debtors. It reduces the chances of bad debts. Similarly, a

longer collection
period implies too liberal and inefficient credit collection performance. It is
difficult to provide a
standard collection period of debtors. Higher period is always beneficial for
the company.
Company always prefers prefer advance payment from customers which
reduces the risk of bad
debts .For advance Payment Company provide cash discount.
Calculation of the average collection period of the company
ACP = (Days)*(Average Accounts Receivable) / (Credit Sales)
year
Sales

2013
2231.89

2014
2333.82

Average debtors/Closing debtors

66.07

86.74

Debtors turnover ratio

Average collection period

33.78

26.9

11 days

14 days

Analysis & Interpretation

Average collection period for 2013 is 11 days and 14 days in 2014. Company
is mainly focusing
on advance payment collection and providing cash discounts to the customers.
Increase in
Average collection period is due to increase in credit sales. Since the company
is providing 21
days period to customers even than customers are average collection period is
quite low that
30

means most of payments are done on cash basis.

Credit Policy of Company

Though most consumers expect to pay cash or use a credit facility while
making a purchase,
commercial customers typically want to be billed for any products and
services they buy.
Company need to decide how much credit you're willing to extend them and
under what
circumstances. There's no one-size-fits-all credit policy--your policy will be
based on your
particular business and cash-flow circumstances, industry standards, current
economic conditions, and the degree of risk involved.
As company create its policy, consider the link between credit and sales. Easy
credit terms can be an excellent way to boost sales, but they can also increase
losses if customers default. A typical credit policy will address the following
points:
Credit limits. Credit limit means an amount (limit) is fixed up to which
customer can avail
credit facility. After the limit is over customer cannot make billing more than
its credit limit.
To do more billing he has to make payment.
Credit terms. If you agree to bill a customer, you need to decide when the
payment will be
due. Your terms may also include early-payment discounts and late-payment
penalties.
INTEX.Provides no credit limit to its customers. Customer can avail credit
facility up
31

to any limit it initiate increase in sale. To manage its receivables company is

using good credit
policy in which it is giving 45 day credit to its customers. In order to initiate
early payment from
customers company is providing cash discount. In order to cover the risk of
non-payment from
customer company receives blank cheques from the customer under the
company name signed by
the party. In case of cheque bouncing company debits customer account with
Rs.500 per cheque.

For early payment i.e. advance payment by the customer company credits
customer account withInterest for the particular period at 16% interest rate
Product

no. of days

Channel Finance

45 days

Non Channel Finance

20 days
32

Factoring Services by AXIS Bank

Receivables constitute a significant portion of current assets of a firm. Firm
has to incur certain
cost such as cost of financing receivables and cost of collection from
receivable and cost of
collection from receivables. Further there is a risk of bad debts also. It is very
essential to have a
proper control on management of receivables.
Small firms may handle the problem of receivable management of its own, but
it may not be
possible for large firms to do so efficiently as it may be exposed to the risk of
more and more bad
debts. A factor is financial institution which offers services relating to
management and financingof funds arising out of credit sales.
Factor services provided by bank:
1. Bill Discounting Facility:
AXIS is providing bill discounting facility. Company is discounting bills of
exchange
received from customers. Discounting of bill worked as short term finance for
the company.
AXIS Bank is discounting under following terms and conditions for
purchase bill
discounting limits.
2. Bank Guarantee/ letter of credit:
33

Letters of credit ensure that a transaction proceeds as planned, while bank

guarantees reduce the
loss if the transaction doesn't go as planned. A letter of credit is an obligation
taken on by a IDBI
bank to make a payment once certain criteria are met. Once these terms are
completed and
confirmed, the bank will transfer the funds. This ensures the payment will be
made as long as the
services are performed.
A bank guarantee, like a line of credit, guarantees a sum of money to a
beneficiary. Unlike a line
of credit, the sum is only paid if the opposing party does not full fill the
stipulated obligations
under the contract. This can be used to essentially insure a buyer or seller
from loss or damage
due to non performance by the other party in a contract.

CMS (Cash Management Service)

Cash management service is provided by axis bank. Under this facility proper
record of receivables is maintained by the bank. Thousands of cheques are
received by the company in a day. This is very difficult practice for company
to make records of all receivables. So bank is providing the facility of
managing receivables from various customers.
Bank prepares CMS report for every month which contains following
information client code, transaction date, transaction date, deposit number,
product code, Dr, Cr amount, Drawer name, Drawer Bank, Remarks
34

CMS REPORT INCLUDE.

Transaction Date: Transaction date is the date on which transaction is made.
Deposit no: Deposit no is the number of bank voucher when deposit is made.
Deposit date: Deposit date is the on which cheque is presented with the bank.
Product Code: Product Code is the code of the bank according to which
charges are charged by
the bank.
Debit Amount: Debit amount is the amount with customer is debited
Credit Amount: It is the amount of cheque received by the bank and amount
credit to our
account.
Drawer: Drawer is the name of the party by which cheque is drawn.

Discount policy of INTEX TECHNOLOGY

Discounting policy is very important source of making cash sale. If company
is having good
discount policy for its customers it can improve its debtors turnover ratio as
well as flow of cash
during the year. Good discount policy initiates customers to make early cash
payment which
helps benefit both the customer as well as company. Discount policy generally
includes two types
of discounts.
Types of Discounts
35

 Cash Discount
Trade Discount
Cash Discount:
An incentive that a seller offers to a buyer in return for paying a bill owed
before the scheduled
due date. The seller will usually reduce the amount owed by the buyer by a
small percentage or a
set dollar amount. If used properly, cash discounts improve the days-salesoutstanding aspect of a business's cash conversion cycle.
Company is providing different rates of cash discount for different products.
By providing cash
discount company is inviting early cash payment by its customers. Following
are the rates of discount which company is providing for different products.

36

Cost incurred by the Company for collection of debts

Receivables constitute a significant portion of current assets of a firm. Firm
has to incur certain
cost such as cost of financing receivables and cost of collection from
receivable and cost of
collection from receivables. Further there is a risk of bad debts also. It is very
essential to have a
proper control on management of receivables. Company incur following cost
for collection of
receivables.
1. Legal Procedure Cost
2. Bad debts cost
3. Bank charge (CMS charges)
Legal Procedure Cost:

Company is following procedure for collection of debts. In Case of bounce

back of cheque of the customer the customer is credited with Rs. 500 for each
37

cheque. In case of non payment a notice is sent to the party for non payment
with cost the company Rs. 550 for every notice. In case of no response from
the party a complaint is filed against the party with cost Rs. 4400 and other
expenses incurred are Rs. 1000. In case the party is making payment number
of persons is sent to the party for collection of payment whose cost depends
upon number of person sent, cost per person and number of days person is
sent.

Cash flow statement

Meaning of Cash Flow Statement:
Cash flow statement, also known as statement of cash flows or funds flow
statement is a
financial statement that shows how changes in balance sheet accounts and
income affect cash and cash equivalents, and breaks the analysis down to
operating, investing, and financing activities. Essentially, the cash flow
statement is concerned with the flow of cash in and cash out of the business.
The statement captures both the current operating results and the
accompanying changes in the balance sheet. As an analytical tool, the
statement of cash flows is useful in determining the short-term viability of a
company, particularly its ability to pay bills. International Accounting
Standard 7 (IAS 7) is the International Accounting Standard that deals with
cash flow statements.

38

Purpose of Cash Flow Statement

The cash flow statement reflects a firm's liquidity. The balance sheet is a
snapshot of a firm's financial resources and obligations at a single point in
time, and the income statement summarizes a firm's financial transactions
over an interval of time. These two financial statements reflect the accrual
basis accounting used by firms to match revenues with the expenses
associated with generating those revenues. The cash flow statement includes
only inflows and outflows of cash and cash equivalents; it excludes
transactions that do not directly affect cash receipts and payments. These
noncash transactions include depreciation or write-offs on bad debts or credit
losses to name a few. The cash flow statement is a cash basis report on three
types of financial activities: operating activities, investing activities, and
financing activities. Noncash activities are usually reported in footnotes. The
cash flow statement is intended to:
1. Provide information on a firm's liquidity and solvency and its ability to
change cash flows in future circumstances.
2. Provide additional information for evaluating changes in assets, liabilities
and equity
3. Improve the comparability of different firms' operating performance by
eliminating the
effects of different accounting methods
4. Indicate the amount, timing and probability of flows

Forecasting Technique used by INTEX INDUSTRIES

39

Cash forecasting is very important aspect of managing cash. Insufficient funds

may lead to
disturbance in smooth running of the business. Excess cash can be invested in
short term
securitiesie. Excess holding of cash may lead to loss of income. So in order to
get maximum benefit neither there should be excess cash nor insufficient cash.
An expert knowledge is required forecasting cash.
Cash can be managed by forecasting the receivables since we know amply
number of cheque are received by the company during the period . On the
other payment side all the expenses due on average basis and the amount of
payments are forecasted with the minimum balance required cash required is
forecasted and insufficient funds should be deposited and excess amount
should
be invested in short term securities.
INTEX INDUSTRIES.is in contract in with AXIS for forecasting their cash.
Company receives
post-datedcheque from its customers in advance and record of all the cheques
received is
maintained through CMS report by AXIS bank. And record of all the cheques
to be presented with the bank given to the vendor by the company is also kept.
Day cash requirement is forecasted by forecasting the day expenses at the end
of the day if there are sufficient funds these are invested in short term
securities and if there are insufficient funds bank overdraft facility is activated
for short term. Company is having limit of 200 cr. which is not been fully
utilized by the company so major forecasting is not required by the company.

40

In case of major investment i.e. Long term investment projects cash is

forecasted by the AXIS bank. Cost of funds to be raised is forecasted and
cheaper source is accepted.

Bank Reconciliation Statement

A businessman maintains several books of accounts out of which cash book is
an important book.
By cash book, we refer to three column cash book having bank column on
both the sides. For traders or customer bank account is an asset account and
therefore it is debited whenever money is deposited and debits all the
withdrawals. Thus the transactions appearing on the debit sides of the bank
column of cash book will be shown by the bank in the deposit column of
passbook and entries on the credit side of cash book will appear in the
withdrawal column of pass book further it can be inferred that the debit
balance of bank account in the book of trader should be equal to credit balance
of traders account in the books of trader should be equal to credit balance of
bank account in the book of trader should be equal to debit balance of
passbook.

Reasons for difference

41

1. Cheque deposited but not credited by bank.

2. Cheque issued but not yet presented.
3. Bank Charges.
4. Direct receipt by the bank.
5. Interest charged by bank.
6. Interest allowed by bank.
7. Direct payment by bank.
8. Bill discounted but dishonoured.
9. Error on the part of trader.
10. Errors committed by bank.

Bank reconciliation statement is maintained on daily basis by INTEX. Since

there are
thousands of transactions every day. Numbers of cheques are deposited and
large amount of charges are debited by bank. So it creates difference in cash
book and pass book. In order to cover this difference bank reconciliation
statement is prepared. Online access is made every morning to reconcile
previous day statement. Bank reconciliation statement helps in proper cash
management. It helps to know exact cash balance in the bank and also helps in
rectifying our cash account. Customer account will credited only if bank has
credited the amount to our companies bank account.

SWOT Analysis

42

Strengths, Weaknesses, Opportunities, Threats

STRENGTH

Low cost
Simplicity
Flexibility
Collaborative
Quickness
Since its qualitative, it can be used as a discussion tool
A good first step before a more in-depth analysis or a good summary of

detailed findings
Takes into consideration of external business environment as well as
internal capabilities

WEEKNESS
It may tend to persuade companies to compile lists rather than think
about what is actually important in achieving objectives
No suggestions for solving disagreements
Can become too focused on the short term
No obligation to verify statements or aspects based on the data or the
analysis
It also presents the resulting lists uncritically and without clear
prioritization

THREAT

Increasing competition from low cost manufacturing companies

any legal formalites
Article 370
Growth in Turnover (INR Million)

43

44

1. Tentative Selection of the Problem:

At the very outset the researcher must single out the problem he wants to
study. In an academic institution he can seek the help from a guide (who is ore
experienced and who has several study problems in his mind) in this task but
in a Government Department the problem will be enmarked by the
administrative agencies. Selecting the appropriate problem is the secret of
success in research.
2. Initial Survey of Literature:
Two types of literature may be reviewed- the conceptual literature concerning
the concepts and theories; the research literature consisting of studies made
earlier which are similar to one proposed. The basic outcome of this initial
survey of literature is what is known as a frame of reference for the
research. If this frame of reference is successfully developed then the
researcher is able to satisfy his own research problem in meaningful context.
3. Selecting the Research Problem:
The initial survey of literature and the discussion with the research guide
should enable the researcher to pick up a topic which he/she may undertake. It
should not be too broad or too narrow. Hence this step (of defining the
research problem) is of the great importance in research methodology. The
problem to be investigated must be defined unambiguously for that will help
in discriminating relevant data from irrelevant once. Care must; however, be
taken to verify the objectivity and validity of the background fact concerning
45

the problem before defining it. Prof. W.A. Neiswanger correctly states that
statement of the objective is of basic importance because it determines the
data which are to be collected, the characteristics of data which are relevant,
relation which are to be explored, the choice of technique to be used in the
explorations and the form of the final report. Once the problem is selected, a
brief summary of it should be written down. It is compulsory requirement of a
research worker writing a thesis for Ph.D. degree to write a synopsis of the
topic and submit it to the Research Board for obtaining the latters approval.
4. Specification of the Information Required:
After extensive literature survey, the researcher should give attention to the
specification of the require information i.e., he/she should specifically
mention the information he/she is going to collect in order to study the
problem under consideration and also the sources of collecting this
information. Data is generally classified either as primary or secondary.
Primary data refers to the information which has originated directly as a result
of the particular problem under investigation. Care must be taken while using
secondary data that the must be relevant, can be adjusted to the problem, and
is reliable. The sources of secondary data are many- there is a wealth of
published information available from Government departments, trade
associations, banks professional bodies, research organizations, the press and
various other agencies. The unpublished information with various bodies and
organizations along with the researcher himself can as well be used.

46

5. Design of the Research Project:

The researcher will then be required to prepare a design of the research
project. The research design refers to the conceptual structure within which
the research is conducted. Research design is the arrangement of
conditions for collection and analysis of data in a manner that aims to
combine relevance to the research purpose with economy in procedure.
The preparation of the design involves the consideration of the following:
i.

The means of obtaining type the information;

ii.

The availability and skills of the research staff and/or

agencies;

iii.

Methodology i.e., a detailed explanation of the way in

which selected means of obtaining information (for
instance, observation studies, questionnaires, etc.) will be
organized and the reasoning leading to the selection;

iv.

The time and cost of the research.

6. Sample design:
All the items under consideration in any field of inquiry constitute Universe
or Population. A complete enumeration of all the items in the population is
known as a census enquiry. It can be presumed that in such an inquiry when
all the items are covered, no element of chance is left and highest accuracy is
obtained. But in practice this may not be true. Even the element of bias in
such an inquiry will get larger and larger as the number of observation
47

increases. Moreover, there is no way of checking the element of bias or its

extent except through a survey or use of sample checks. Besides, this type of
inquiry involves a great deal of time, money and energy. Therefore, when the
field of inquiry is large, this method become difficult to adopt in view of the
resources involved. At times, this method practically beyond the reach of
ordinary researchers. Perhaps, Government is the only institution which can
get complete enumeration carried out. Even the government adopts this in
very rare cases such as population census conducted once in a decade. Further,
many times it is not possible to examine every element in the population and
sometimes it is possible to obtain sufficiently accurate results by studying
only a part of total population. In such cases there is no utility of census
surveys. But one should as well remember that when the universe is small, it
is of no use resorting on a sample survey. Hence, when field studies are
undertaken in practical life, considerations of time and cost almost invariably
lead to contact being made with a selection of respondents i.e., selection of
only a few items. The respondents constitute what is technically called a
sample and the selection process is called sampling technique and the survey
so conducted is known as the sample survey.
7. Collection of Data Construction of Questionnaire:
Data (primary) can be collected either through observation or through direct
communication with respondents whether by mail, telephone or personal
interviews. The main features along with points of merits and demerits of each
of the important methods are as following:

48

a) Observational Method:
The observation method is most commonly used specially in studies relating
to consumer behavior. Under this method the information is sought by way of
investigators own observation without asking from the respondents. For
instance, instead of asking the brand of wrist watch used by the respondents,
an investigator may himself look at the watch. The main advantage of this
method is that subjective bias is eliminated if observation is done accurately.
Secondly, the information obtained under this method relates to what is
currently happening, it is not complicated by either the past behavior or future
intentions or attitudes. But the main drawbacks of this method are: I) it is an
expensive method and II) the information provided by this method is very
limited.

b) Mailing of Questionnaires:
The method of collecting data by mailing the questionnaires to the
respondents with a request to return after completing it is most extensively
employed in various economic and business surveys. The main claimed in
favor of this method are as following:
1. Low cost even when the universe is large and spread widely
geographically;
2. Free from the bias of the interviewer;
3. Respondents have more time to give well thought answers;

49

4. Respondents who are not easily approachable can also be reached

conveniently;
5. Large samples can be made use of and thus the results be made more
dependable and reliable.
The main demerits usually listed are:
1. Low rate of return of the duly filled questionnaires;
2. Can be used only when respondents are educated and co-operating;
3. Inbuilt inflexibility because there is always the difficulty of
amending the approach once questionnaires have been dispatched;
4. Possibility of ambiguous replies or omission of replies altogether to
certain questions;
5. Difficulty of knowing whether willing respondents are truly
representative;
6. The problem of constantly updating the mailing list.
Before using this method it is always advisable to conduct Pilot Survey for
testing the questionnaires. In a big inquiry the significance of Pilot Survey is
felt very much. Pilot survey is in fact the replica and rehearsal of the main
survey. Such a survey being conducted by the experts bring to light the
weaknesses (if any) of the questionnaires and also of the survey techniques.
From the experience gained in this way, the improvements can be affected.
c) Personal interviews:

50

This method of collecting the information is usually carried out in a structured

way. In other words, under this method the investigator (or the interviewer)
follows a rigid procedure laid down asking questions in form and order
prescribed. The chief merits of this system are:
1. More information and in greater depth can be obtained;
2. Interviewer by his own skill can overcome the resistance, if any, of
the respondents;
3. There is greater flexibility under this method as the opportunity to
restructure questions is always there;
4. Observation method can as well be applied in addition to recording
verbal answers to various questions;
5. Personal information as well be obtained easily under this method;
6. Samples can be controlled more effectively as there remains no
difficulty of the missing returns.
8. Execution of the Project:
Execution of the project is a very important step in the methodology of
research. If the execution of the project proceeds on correct lines, the data to
be collected would be adequate and at the same time dependable. The
researcher should see that the project is executed in a systematic manner and
in time. If the survey is to be conducted by means of structured
questionnaires, data can be readily machine-processed. In such a situation,
questions as well as the possible answers may be coded. The questionnaire
should be framed keeping in vie the essential of a good questionnaire stated
earlier. If the data are to be collected through interviewers then arrangement
51

be made for proper selection and training of such interviewers. The training
may be given with the help of instruction manuals which explain clearly the
job of the interviewers at each step. Occasional field checks should be made to
ensure that the interviewers are doing their assigned job sincerely and
efficiently. A careful watch should as well be kept for unanticipated factors of
importance in order to keep the survey as much realistic as possible. This in
other means that steps should be taken to ensure that the survey is under
statistical control so that the collected information is in accordance with the
pre-defined standard of accuracy. If some of the respondents do not cooperate,
a suitable machinery of dealing with respondents should be set up. One
method of dealing with the non-respond problem is to make a list of the nonrespondents and take a small sub-sample of them and then with the help of
experts vigorous efforts can be made for securing response.

9. Analysis of Data:
After the data have been collected by any one or more of method outlined
above, the same should be properly edited and then organized in the form of
tables, charts or graphs. The unwieldy data should necessarily be condensed
into a few manageable tables for further analysis. This would help the
researcher in finding out the salient features of data. As a result, comparison is
also facilitated. When the data have been tabulated the researcher must stray
the work of analyzing them. The mechanical devices can be made use of at
this juncture. A great deal of survey work in modern time, especially in large
inquiries, is tabulated by computers. Computers not only save time but also
make it possible to study large number of variables affecting problem
52

simultaneously. The analysis work is generally based on the computation of

various percentages, derivatives, coefficients etc., by applying various well
defined statistical formulae. In the process of analysis, relationships of
differences supporting or conflicting with original or new hypothesis should
be validity data can be said to indicate any conclusion.
10.Arriving At Generalization:
If a hypothesis is tested and upheld several times, then it may be possible for
the researcher to arrive at generalization i.e., to build a theory. As a matter of
fact, the real value of research lies in its ability to arrive at certain
generalization.
11.Preparation of the Report:
The last step in research methodology is to prepare the report or to write down
what has been done. The writing of the report though last but happens to be a
very important step which must be completed with great care. The following
points provide the guidelines with regard to the contents and layout of the
report:
1. The layout of the report should be as follows:
a. Preliminary pages;
b. Main text;
c. End matter
53

In its preliminary pages the report should carry a title date followed by
acknowledgements (in the form of Preface) and forward. Then there should be
table of contents so that the decision maker (or anybody interested in reading
the report) can locate the required information in the report without difficulty.
Followed by this there should be list of tables and list of groups and diagrams
(if any) given in the report.
Then comes the main text of report. The main text of the report should have
the following sections:
a. Introduction:
The purpose of introduction is to introduce the research project to the readers.
It should contain a clear statement of the objective of the research and an
explanation of the methodology adopted in conducting the survey. The scope
of the study should be clearly stated and the boundary lines demarcated. The
various limitations may as well be narrated under which the research project
was completed.

b. Summary of findings:
After introduction there would appear a statement of findings and
recommendations in non-technical language. If the findings are extensive,
they should be summarized.
54

c. Main report:
The main body of the report should be presented in logical sequence and
broken down into readily identifiable sections.
d. Conclusion and implications:
Towards the end of the main text the researcher should again put down the
results of his research clearly and precisely. In fact, it is the final summing up.
At the end of the report, appendices should be enlisted in respect of all
technical data such as questionnaire, sample information, and the like ones.
Bibliography should as well be given in the end. Index should also be
invariably given specially in a published research or thesis.

METHODOLOGY ADOPTED IN THE PRESENT STUDY

1. Topic of Research:
55

The topic of the present study is Measuring Brand Awareness of INTEX

Computers
2. The Research Problem:
The problem of research is to make an analysis about increasing the awareness
of people about latest technology of INTEX Computers and to conduct a
research about the customer feedback and knowing their requirement
according to the competitive market .

3. Specification of the Information:

Since the study is based on market demand of INTEX Computers and
examine the customer attitude at Gadarpur and Rudrapur for INTEX Info
systems

Ltd. and there is no such or similar existing program in the

organization. So information related to the basic data requirements as well as

information regarding some existing industrial status of district needed to
fulfill the objective.
4. Design of Research Project:
The Research design adopted for this study is as follows:
The study is on Measuring brand awareness and comparative
analysis with regards to the INTEX Info systems Ltd at Rudrapur.
56

 The study is being made to develop a report regarding industrial

development rapidly taking place at Rudrapur.
Both primary and secondary data is needed to suit the need of the
research work.
Secondary data of the research have been obtained from the external
sources and the primary data have been gathered by the help of a
questionnarie.
The time of the study is 2 months from June 2007 to August 2007.
The report is prepared in formulative style of research.

5. Collection of Data/ Construction of Questionnaire:

Data (primary data) can be collected through observation or through direct
communication with respondents whether by mail, telephone interviews. In
the present study the data collected through direct communication with
respondents by interviewing them personally. Data collected by means of
allocating and getting the questionnaire, felled from the various recognized
persons in Rudrapur.

57

6. Execution of the Project:

The tenure of the research is 2 months i.e., from 10 th June 2007 to 10th August
2007. And it has been carefully taken into consideration that the project must
cover this time of two months. The project has been prepared in a systematic
manner and all the scrutiny regarding the project has been taken place.
7. Analysis of Data
The analysis of the study is generally based on the computation of various
percentages, derivatives, coefficients, etc., by applying various well defined
statistical formulae e.g., mean, median etc. Data are in fact analyzed with the
help of various statistical measures.
8. Arriving at Generalization:
After preparing the whole research work it has been concluded that the report
should be very clear and intended towards its objective and survey should be
sound enough to arrive at a conclusion that can clearly show the impact of
industrial development.

58

9. Preparation of the Report:

The present report has been prepared by noticing and keeping in mind all the
ins and outs of and ideal project report. The present research work can be
divided in three main parts:
a. Preliminary pages;
b. Main text;

c. End matter.

In its preliminary pages the report carries the title and date followed by
acknowledgement. Then there is a table of contents, so that the decision maker
may locate the required information in the report without difficulty.
Then comes the main text of the report. It has the following main sections:
i. Introduction:
It includes the purpose, scope and clear statement of research problem.
ii. Summary and Findings:
After introductory part there appears a statement of findings and
recommendations in non-technical language.
59

iii. Conclusion and Implication:

At the end of the main text the results of the study has been mentioned
precisely.
iv. End Matter:
At the end of the report bibliography is enlisted in respect of all data.

60

SOURCES OF DATA

The task of data collection begins after a research problem has been identified
and research design/plan chalked out while deciding about the method of data
collection to be used for the study the researcher should keep in mind two
types of data viz., primary and secondary. The primary data are those which
are collected afresh and for the first time, and thus happen to be original in
nature. The secondary data on the other hand are those which have already
been collected by someone else and which have already been passed through
the statistical process. The researcher would have to decide which sort of data
he/she would be using for his study and accordingly he will have to select one
or other method of data collection.
The sources of information or data are generally classified as- Primary and
Secondary.
Different scholars have classified the sources of information differently. Of
the some more important views are as follows:
1. According to PV Young, the sources of information can be classified

into documentary sources and field sources. While the first includes
books, manuscripts, diaries and letters, the second includes the
information given by individuals.
2. According to W.A. Bagley, the sources of information may be

classified into primary and secondary sources. Primary sources include

the actual information received from the individuals directly concerned
with the problems of the study. It also includes such phenomena by
observing which some information and facts may be discovered. The
61

secondary sources of information include all types of published, public

or private documents and other such types of information.
3.

According to G.A. Lundberg, the sources of information may be

classified as historical sources and field sources. The historical sources
include sources representing the past incidents. For example, some
inscriptions on stones, of the ages of Ashoka the great, can be authentic
sources of information bout his time. Historical sources give
information about the conditions and incidents which cannot be known
through observation or any other means of information. Thus historical
sources include documents, papers, and stone inscriptions concerning
past as well as the articles discovered through excavations. The field
sources include information received from concerned persons and also
through the observation of their behavior.

PRIMARY DATA
Primary data are of original nature because these data are the data which are
collected by the researcher for the first time to suit his specific need of the
research. Primary data can be collected either through observation or through
direct communication with respondents whether by mail, telephone or
personal interviews. The main features along with points of merits and
demerits of each of the important methods used in collecting the data for
present study are as follows

1. Questionnaire Method:

62

The method of collecting data by the means of distributing questionnaires to

the respondents with a request to return after completing it is most extensively
employed in various economic and business surveys. In the present study the
questionnaire have been distributed to the peoples living in the surroundings
of Rudrapur. The merits claimed in favor of this method are as follows
i.

Low cost even when the universe is large and spread widely
geographically.

ii.

Free from the bias of the interviewer.

iii.

Respondents have more time to give well thought answers.

iv.

Respondents who are not easily approachable can also be reached

conveniently.

v.

Large samples can be made use of and thus the results be made
more dependable and reliable.

* Essentials of a good questionnaire:

To be successful, questionnaire should be comparatively short and simple i.e.,
the size of the questionnaire should be kept to a minimum. Questions should
proceed in logical sequence moving from easy to more difficult questions.
Personal and intimate questions should be left to the end. Technical terms,
vague expression capable of different interpretations should be avoided in a
questionnaire. Questions may be dichotomous (yes or mo answers), multiple
choice (alternative answers listed) or open-ended. The latter type of questions
is often difficult to analyze and hence be avoided in a questionnaire to the
extent possible. There should be some control questions in the questionnaire
which indicate the reliability of the respondents. For example, a question
designed determine consumption of particular materials may be asked first in
63

terms of financial expenditure and later in terms of weight the information

collected is correct or not. Questions affecting the sentiments of respondents
are avoided. Adequate space for ease of editing and tabulation. There should
always be provision for indications of uncertainty e.g. do not know, no
preference, and so on. Finally, brief directions with regard to filling up
questionnaire should invariably be given in the questionnaire itself.
2.

Personal Interviews Method:

This method of collecting the information is usually carried out in a structured

way. In other words, under this method the investigator (or the interviewer
follows a rigid procedure laid down asking questions in the form and order
prescribed. The chief merits of this system are
i.

More information and that too in greater depth can be obtained.

ii.

Interviewer by his own skill can overcome the resistance, if any, of the
respondents.

iii.

There is greater flexibility under this method as the opportunity to

restructure questions is always there.

iv.

Observation method can as well be applied in addition to recording

verbal answers to various questions.

v.
vi.

Personal information can as well be obtained easily under this method.

Samples can be controlled more effectively as there reminds no
difficulty of the missing returns.

vii.

Samples can be controlled more effectively as there remains no

difficulty of the missing returns.

64

In the present study the respondents i.e., the employees of the organization
have been interviewed in order to get the information from them regarding
their personal status.

SECONDARY DATA
Secondary data are the data which have already been used by someone else,
whereas the primary data are first time collected by the research to target his
specific need of the research. As secondary data have already been gathered
by some one else. So these data are not of an original nature. But these data
are also of great importance for a research, because they lay down a
background and a basis for working out and obtaining the primary information
for the study.
SOURCES OF SECONDARY DATA:
Secondary data may be gathered from various sources are divided in to two
major categories:
i.

Internal Sources

ii.

External Sources

i.

Internal Sources: Encompasses all the sales records, office records,

accounting records miscellaneous record and internal expects.

65

ii.

External Sources: Numerous sources to the firm may have data

relevant to the firms requirements. Seven general categories of external
information are describes in the section that follows:
1. Computerized database
2. Association
3. Government Agencies
4. Syndicated service
5. Direction
6. Other Published Sources, and
7. External Experts

In the present study the internal as well as external sources of secondary data
are deemed to be relevant and economic, thus the study is done on the bases of
company records, website and data collected through various government
offices.

DATA USED IN STUDY

Both primary and secondary data are used in study. While primary data is
collected through questionnaire as customer feedback form , secondary data is
collected through external sources like through internet and books , generals
etc .

SAMPLING PROCEDURE

66

Sampling plays an important role in the research project. Without sound

sampling plan and a suitable sample size the data will be collected from
neither the proper respondents nor the appropriate number of them.
If all possible information needed to solve a problem could be collected, there
would be no need to sample. We can rarely do this, however, because of
limitation of on the amount we can afford to spend and on the available time,
or for other reasons. We therefore must take samples.
There are various types of sampling methods in existence but it is not essential
here to mention all the methods of sampling. The method of sampling which
has been adopted in the present study is non-probability sampling method.
Non-Probability Sampling Method:
Non-probability sampling is that sampling procedure which does not afford
any basis for estimating the probability that each item in the population of
being included in the sampling. It is also known by different names such as
deliberate sampling, purposive sampling and judgment sampling. In this type
of sampling, items for sample are selected deliberately by the researcher , his
choice concerning the items remains supreme.
In the wake of the implication and relevance of the sampling in the present
study, the most suitable method is non-probability sampling method.
The respondents for the present study have been selected conveniently.

67

The Sampling Design:

The sampling design of the study may be developed in the following way:
Type of universe
Universe means what is our field where we have to do survey or market
research and we can say that the total population which are helpful in our
study .As the survey being done for Rudrapur and gadarpur. Therefore the
people living at Rudrapur and gadarpur are considered the universe of the
study.

Sampling units
The area of Rudrapur and gadarpur and surroundings has been determined as
the sampling unit of the study.
Size of sample
The sample size for the study is determined as 12.We have to do our research
in the area of gadarpur and rudrapur . we have to collect the data by different
organizations like banks, school , computers centers etc. By the interaction
with different organizations people we have to create a lot of data that are
useful for the reseach of new technologies because we have to find out
customer feedback and their expectations from company so that company can
fulfill their expectations and satisfied them.

68

DATA ANALYSIS
Q.

Do you use Intex Technology Products ?

30%

70%

Yes

No

70% customer uses Interx Products.

69

Q.

Which field use in Intex Technology ?

15%

20%

65%

Computer

Mobile Others

Most Customers is says Computer.

70

Q.

Which Companys Computer you are using ?

35%

40%

10%

15%

Intex

HCL

IBM

OTHERS

40% customer are use Intex Computer.

71

Q.

Why you choose Intex Techlology ?

Most customer use Intex Technology because quality is good and

better.

72

Q.

Are you satisfy with your Technology ?

85% customer satisfy with Intex Technology.

73

Q.

Are you satisfy with the other facts of Intex Technology?

92% customer satisfy with the other features of Intex Technology.

74

Q. Is your dealer is giving you proper service after sales?

60% customer are satisfy dealer sales service

75

Q. If problem occurs in your Technology how much time service

centre is taking to solve your problem?

40% customer satisfy with the service of their service centre.

76

Findings and Recommendations

Findings
1. Company is managing its cash well and spending large amount of funds for
its cash
management system.
2. In spite of having credit of period of 45 days average collection period is 11
days. That
means cash discount provided to the customers is helpful to the company for
collecting of
funds.
3. Company is investing its funds in long term investment which will be
helpful to
company for long further growth.
4. Major cash management is done on contract basis by HDFC bank which
includes
maintaining receivable management records through CMS. Bank also
provides factoring
service to the company.
5. Company is on growth and there is further scope of future growth.
6. Company is not using its cash sources of short term financing sources from
outside which
reduce carrying cost of cash.

77

Recommendations/ Suggestions
1. Company can review existing service providers for cash management and
other
service providers, making initial presentations and discussions with banks and
providers.
Companies can shortlist potential providers for further in-depth discussions
and
presentations. It helps in reducing carrying cost of cash.
2. Company can reduce its inventory to maximum extend .So that there should
be less
blockage of funds in Inventory.
3. In order to reduce average collection period company can liberalize its cash
discount
policy. This will initiate the customers to make early payment and help in
better flow of
funds.
4. Company can invest idle funds wisely may help you to generate income
from your
working capital, increasing your yields while maintaining liquidity. There are
a wide

78

variety of investment instruments available to companies seeking a return on

excess cash.
However, there are ways company may be able to improve yields on our idle
working
capital.
5. For better cash management or in order to find minimum cash balance
required for the
company can use control charts with the help of this company will able to
invest its
excess amount of funds in short term securities and can reduce bank charges
charged by
the bank for overdraft purpose.

79

BIBLIOGRAPHY
BOOKS
Shashi K Gupta, R. k Sharma. (2010), Financial Management, 6th Edition.
New Delhi: Kalyani
Publisher. PP 23.1-23.20
William J Stevenson. (2010), Operation Management, 9th Edition. New Delhi:
Tata McGraw-Hill
Publishing Co. PP 446-447.
Journals
www.intextechnology.com

80

Questionnaire
Q.

Do you use Intex Technology Products ?

Yes

Q.

No

Which field use in Intex Technology ?

Computer

Q.

Others

HCL

IBM

OTHERS

Why you choose Intex Technology ?

Brand Name

Others

Quality

Features

Are you satisfy with your Technology ?

Yes

Q.

Mobile

Which Companys Computer you are using ?

Intex

Q.

No

Are you satisfy with the other facts of Intex Technology?

Yes

No

81

Q.

Is your dealer is giving you proper service after sales?

Yes

Q.

No

If problem occurs in your Technology how much time service

centre is taking to solve your problem?
1-4 Hours

Before 24 Hours

4-8 Hours
Above 24 Hours

82