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SYNOPSIS
On WORKING CAPITAL MANAGEMENT AT SCHENCK PROCESS INDIA LTD TUPUDANA RANCHI (JHARKHAND)

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Table of Contents
INTRODUCTION...................................................................................................... 3 Working Capital Management ............................................................................ 3 The Working Capital Cycle .................................................................................. 4 COMPANY PROFILE ................................................................................................ 5 OBJECTIVE OF RESEARCH ....................................................................................... 6 METHODOLOGY ..................................................................................................... 7 Data Collection ............................................................................................. 7 Type of project................................................................................................. 8 Analysis of data................................................................................................ 8 Limitations of the research .............................................................................. 8 Conclusion and Recommendation ................................................................... 8

INTRODUCTION
All business need cash to survive. Cash is needed to -Invest in fixed asset -Pay suppliers and employees. -Funds overheads and others fixed costs -Pay tax due to the government Nearly all businesses use much of their cash resources to finance investment in working capital Managing working capital effectively is therefore a vital part of making sure the business has enough cash to continue.

Working Capital Management


Working capital management involves the relationship between a firm's short-term assets and its short-term liabilities. The goal of working capital management is to ensure that a firm is able to continue its operations and that it has sufficient ability to satisfy both maturing short-term debt and upcoming operational expenses. The management of working capital involves managing inventories, accounts receivable and payable, and cash.

Working capital is the cash needed to pay for the day to day operation of the business Working capital is the difference between the current assets of a business and its current liabilities

The Working Capital Cycle Not all businesses have the same need to invest in working capital The nature of the production process and The way in which the product is distributed to customers The working capital cycle is: The period of time between the point at which cash is first spent on the production of a product and the final collection of cash from a customer.

COMPANY PROFILE
Schenck Process are global market leaders of solutions in measuring and process technologies in industrial weighing, feeding, screening and automation. With more than 25 years of contribution to process industry in India. It has Network of 6 sales and service offices, with Assembly facility at Ranchi equipped with laser Profiler, Hydraulic Press etc. It has 300 employees in India and is a ISO 9001 certified. With an unrivalled global network of operating companies we are your competent global partner for weighing, feeding, screening and automation solutions throughout the process industries.

OBJECTIVE OF RESEARCH
To understand the working capital management at Schenck Process India ltd. Ranchi Basic purpose of the study To have a view about the working capital management strategies used by the organisation. The study will include Constitutes and position of current assets and current liabilities in Schenck process. Determinants of Working Capital. To know about the Net Working Capital position of Schenck process. Working capital in terms of Cash and Equivalents Accounts Receivables Inventory Accounts payable Accrued Expenses and Taxes payable Requirements for estimation/forecasting of Working capital Understanding Time and money concept in working capital cycle To Know about the Working Capital Ratios of Schenck Process in Ranchi.

To look at possible remedial measures if any on the basis of which tied up funds in Working Capital could be used effectively and efficiently. To suggest, if possible on the basis of conclusion some modifications to meet the situation.

METHODOLOGY
Data Collection
The primary aim of the study is to examine and assess management of working capital of selected companies of Schenck Process. In this broader framework an attempt will be made to meet out the following specific objective of the study: To study the components of working capital management at Schenck Process To assess at length, prevalent practices of inventory management, cash management and receivable management on the profitability and liquidity of the firm in the Schenck Process. To analyse the relative proportion of different sources of finance for working capital of Schenck Process.

Type of project Analysis of data and Observations Limitations of the research Conclusion and Recommendation

This work in the financial sector is going to help me a lot in future. I am going to learn many financial aspects of the organisation . Since Schenck Process is both labour and capital intensive industry , the working capital requirement is quite essential and hence my work is to analyse the trend working capital over the past years.