INTERNSHIP REPORT

ASIAN PAINTS PRIVATE LIMITED

By

Harish B – 21MBA054

Under the guidance of

Dr. Sangeetha S
ASSOCIATE PROFESSOR
A PROJECT REPORT

Submitted

In partial fulfilment of the requirements

for the award of the
Degree of
MASTER OF BUSINESS
ADMINISTRATION
Kumaraguru College of Technology
(An autonomous institution affiliated to
Anna University, Chennai)
Coimbatore - 641 049
JULY 2022

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 DECLARATION

I hereby declare that this internship report entitled as, “FINANCIAL AND
ACCOUNTING ACTIVITIES OF ASIAN PAINTS PRIVATE LIMITED” has been
undertaken for the academic purpose of the course submitted to Anna University in
partial fulfillment of the requirement for the award of the degree of Master of
Business Administration. The Internship report is the record of the original work
done by me under the guidance of Dr. Sangeetha S, Associate Professor, KCT-BS
during the academic year 2022.

I, also declare hereby, that the information given in this report is correct to the

best of my knowledge and behalf.

Place: Coimbatore Name and Signature

Date: 09/09/2022 Harish B

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 TABLE OF CONTENTS

Chapter CONTENTS PAGE NO

I INTRODUCTION 7

1.1 7
OBJECTIVE OF THE INTERNSHIP
II 7
INDUSTRY PROFILE
2.1 BACKGROUND OF THE INDUSTRY 7

2.2 MARKET SIZE 8

2.3 MAJOR PLAYERS 9

2.4 GOVERNMENT POLICIES AND REGULATIONS 9

2.5 RECENT TRENDS IN THE INDUSTRY 10

2.6 CHALLENGES FACED BY THE INDUSTRY 11

III
ORGANISATION OVERVIEW
3.1 11
HISTORY
3.2 12
FOUNDER’S VISION, MISSION, AND VALUES
3.3 13
GOVERNANCE
3.4 14
ORGANISATION STRUCTURE
3.5 15
PRODUCTS AND SERVICES
3.6 17
MARKET, MARKET SHARE, AND MARKET POSITION
3.7 18
SWOT ANALYSIS
IV JOB DESCRIPTION AND EXPECTED DELIVERABLES 19
(OUTCOMES)

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 V 20
NATURE & DETAILS OF THE TRAINING PROVIDED
VI
EXECUTION OF TASKS
6.1 21
INPUT
6.2 21
PROCESS FOLLOWED
6.3 22
OUTPUT
6.4 26
CHALLENGES AND CONSTRAINTS
6.5 28
SUCCESS STORIES
6.6 30
EXPECTED OUTPUT VS ACHIEVED OUTPUT
6.7 31
DEVIATION ANALYSIS
VII 33
FEEDBACK GIVEN BY THE INDUSTRY MENTOR
VIII CRITICAL OBSERVATION & RECOMMENDATION 34
FOR THE PROCESS IMPROVEMENT
IX 35
OVERALL LEARNING EXPERIENCE
36
Appendices / Annexure
37
Monthly log sheet
38
Feedback on the performance (given by the industry mentor)

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 CHAPTER I – INTRODUCTION

1. INTRODUCTION:
An internship is a kind of field exposure where we can implement the concepts and
theories which we have learned from the previous semesters. Knowing well about the
finance of the company is essential because without it the company processes will not
able to run smoothly. This report was made with the insights got through the internship
attended with the Asian paints Sriperumbudur. This report includes details about the
company and the operations carried them on the daily basis and how the accounting and
financial activity is done and also the purchase of spares for the company.
1.1 OBJECTIVE OF THE INTERNSHIP:
 To understand the operations and functions and expose me to the environment and
working conditions of Asian paints private limited. And to gain practical hands-on
exposure to the things that I have learned theoretically. To understand the Practical
accounting activities in Asian paints.
 Observe the activities and business operation of Asian paints and also know about the
decision-making of the company.
 To develop speaking skills with colleagues and to acknowledge suitable
manufacturing ethics of Asian paints.

II. INDUSTRY PROFILE:

2.1 BACKGROUND OF THE INDUSTRY:

Due to the covid-19 pandemic, the last two years have not been the best for the Indian paint
Company and also globally. Paint Manufacturing Company has historically grown in double
digits. 100 years ago, Shalimar paints were founded in Calcutta in 1902. Before World War
II, the Indian paint manufacturing company consist of two major players, who originated
outside India and many small companies. After that Good lass Nerolac, ICI, Berger Paints,
Jenson, and Nicholson paints are created. The Indian paints Industry currently consists of 12
market players. The Indian paint manufacturing company is divided into two different types
of market – industrial paints and decorative paints. Industrial Paint is used in Industries and
used in manufacturing companies like car manufacturers etc. It helps to protect them from
rust and corrosion. Decorative paints are used by all individual Asian Paints is concentrated

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more on this, it is used to paint the buildings. Decorative paints have a share of 75% (500
billion) of the total sales in India.

The nationwide marketing campaign is conducted by Asian paints in order to acquire small
interior markets. In the decorative market segment, the products produced will be identical in
nature. But in the case of the industrial segment of paints, they are customized according to
their needs. Industrial paint companies are more concentrated on the automotive sector,
which is the major consumer of industrial paint.

2.2 MARKET SIZE:

Source: [Link]

The Indian paints and coatings market is assessed to observe huge development at an
expected CAGR of more than 8% over the coming period.

The Paint manufacturing company in India is the 7th largest in the world. 7.1 billion
USD. 30% market is unorganized. India's coatings industry is the fastest growing in the
world with a 15-year CAGR (1-1.5x) of GDP. Distemper and cement paints are now
being replaced by emersion and enamel paints, so the size of the market is growing
rapidly.

The industry consists of two segments, the Decorative segment deals with the
residential sector, and the Industrial segment – which consists of powder coatings, floor

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 coatings, and other protective coatings for the automotive, marine, and other industries.
In the domestic market, the decorative segment accounts for 60% of the total paint
demand, while the industrial segment accounts for the remaining 40%. Decorative colors
can be further divided into Premium, Medium, and Tempered segments. Premium
decorative paints are acrylic emulsions used mainly in subways. The middle range
consists of e-mails, popular in smaller towns and villages. Distempers are economical
products demanded in suburban and rural markets. Almost 20 percent of all decorative
paints sold in India are frogs, and it is here that the unorganized sector dominates.

2.3 Major players:

The domestic paint industry continues to have a sizeable 30-35% share of unorganized
players. This is the list of top Paint companies in India.

 Akzo Nobel India Ltd

 Asian paints Ltd
 Nippon Paints Private Ltd
 Shalimar Paints Ltd.
 Berger Paints India Ltd
 Indigo paints
 Kansai Nerolac Paints Ltd

2.4 Government Policies and Regulations:

The government must set strict and binding rules to ensure that paints are lead-free. Labeling
laws need to be tightened to ensure paint manufacturers carry lead warnings. Currently, the
only standard for lead is the BIS 1,000 ppm standard, which is voluntary.

The government has reduced the Goods and Services Tax (GST) on paints from 28% to 18%.
This had a positive impact on demand, the effects of which continue to this day. Further
reduction in GST will definitely be a positive step for the paint industry.

IPA provides data on major improvements in the coatings industry. The IPA guides the
business on issues related to import-export arrangements, crude supply, monetary issues,

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contamination control, modern security and so on. IPA focuses on business perspective to
government specialists at central and state level.

The IPA organizes regional, public meetings and workshops focused on current affairs. The
key event was the All India Paint Conference, which was attended by 700 to 800 delegates
from across India and abroad. IPA is handled by various bodies such as Indian Standards
Institution, Regional Excise Advisory Council, Paint Panel of Ministry of Industry,
Chemicals and Allied Products Exports Promotion Council, National Test House and so on.
More recently, the IPA joined hands with nine other Asian nations to form the Asian Painting
Industry Council (APIC) in Tokyo.

2.5 Recent trends in the industry:

Commercial Painting Company is updated on the latest trends and technologies to ensure that
clients have a pleasing visual appearance on the premises that withstand daily wear and tear.

Green technologies: More people are aware of how their purchasing power impacts the
environment. This factor also holds true with commercial business operators, who are
transforming their buildings into sustainable and eco-friendly facilities. They are revamping
their entire project to allow them to “go green” including the types of paints that are used on
interior and exterior walls. These sustainable products include paints with lower levels of
volatile organic compounds that are harmful to both the environment and human health. By
reducing the number of toxic chemicals, commercial companies may improve the air quality
in their facilities. Manufacturers have become more aware of the impacts that their industries
and product may cause on human health and painting operations.

Exterior and interior painting projects created enormous customer demand for manufacturers
who were left scrambling to fill the uptick in supply orders. Unfortunately, supply could not
keep up with demand as sourced raw materials became scarce as many of these materials
came from global suppliers who experienced supply chain shortages also created by the
Pandemic. These shortages may lead to smaller quantities of available commercial paints.
Commercial companies may find themselves restricted when trying to offer a variety of
paints to their customers. Paint prices have steadily increased by an average of 2.5% every
year.

The price increase is due to raw material shortages, supply chain issues, and the increase in
customer demand.

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2.6 Challenges faced by the paint industry:
 Since around 30 percent of paint materials must be imported from abroad, the import
policy impacts the cost of paint materials significantly. Any changes in the import
tax rules will impact the prices of that products.
 The rupee is very important when determining the price of raw materials since most
of them are imported. Since the majority of raw materials are imported, movement in
the rupee to the dollar exchange rate is very crucial. For instance, when the rupee
weakens against the dollar, buyers have to store money for the future.
 Deliver Chain – The paint industry requires loads of working capital because the
producer has to buy 300 raw materials from specific providers. So an agency that has
a very strong dealer and distribution community will advantage significantly.
 Technological Development - Because the coatings business is so dependent on
technology, it is exceedingly challenging for small players to invest in emerging
technologies and they are exposed to competition from international firms. The major
players have ties to international businesses and continue to rule the industry.

3. ORGANISATION OVERVIEW
3.1 History:
Asian Paints Limited is an Indian global paints organization headquartered in Mumbai,
Maharashtra. Organizations are involved in the completion, sale and dissemination of items
that give shades, paints, home stylistic themes, wash fittings and related administrations.
Asian Payments is India's largest and Asia's third largest painting partnership. By 2015, it had
a vast share of 54.1% of the total industry in the Indian shading industry. Asian Paints Burger
International is a holding organization. Asian Paints is India's largest and Asia's third largest
paint company.

It's a far cry from the organization's dispatch in 1942. A four-member organization was
formed to take control of the world's largest and most popular color organizations at the time.
Over 25 years, Asian Paints Corporate Force has transformed into a premier painting
organization in India. The organization has been a market leader since 1967 with its solid
client-oriented. Today it is twice as fast as any body shop in India. Asian colors create wide
shades for beautification and modern use.

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In February 1942, ChampalalChoksey, ChimanlalChoksi, SuryaKantDani and ArvindVakil
formed four associates in a car shed in Bombay. World War II and the Quit India Movement
The brief 1942 ban on the import of dyes was only distant organizations and Shalimar images
in the market. The Asian paint market achieved a turnover of 23 million crowns in 1952, but
only 2% of PBT. In 1967, it transformed into a national paint manufacturer. The four families
together had a large portion of the organization's offerings.

Manufacturing Units:

[Link] Countries Number of Location/operating Brand

Manufacturing
plants

1 India 10 Ankleshwar and Sarigam(Gujarat),

Palancheru (Telangana), Kasna (Uttar
Pradesh), Sriperumbudur (Tamil Nadu),
Rohtak (Haryana), Khandala and Taloja
(Maharashtra), Mysuru (Karnataka),
Visakhapatnam(Andhra Pradesh)

2 Nepal 2 Asian Paints

3 Sri Lanka 2 Asian Paints Causeway(2)

4 Bangladesh 1 Asian Paints

5 Indonesia 1 Asian Paints

6 Fiji 1 Apco Coatings & Taubmans

7 Vanuatu 1 Apco Coatings

8 Samoa Islands 1 Taubmans

9 Oman 1 Asian Paints Berger

10 Bahrain 1 Asian Paints Berger

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11 Solomon 1 Apco Coatings
Islands

12 UAE 1 Asian Paints Berger

13 Ethiopia 3 Kadisco Asian Paints

14 Egypt 2 SCIB Paints

Total 26

3.2 FOUNDER’S VISION, MISSION, AND VALUES:

Vision:

Clear Goals for Clear Future

“To be the fore runner of inspiring décor and to actively empower customers to create
their dream homes”

Mission:
“To market and deliver great products to our customers with exceptional service”.

3.3 Governance:

Asian Paints governance structure comprises of Board of Directors and Committees of the
Board and the Management.

BOARD:

The Board of Directors is in charge of overseeing general affairs, performance, effective

management, long-term business strategy, and corporate governance standards for the
Company. The Managing Director and CEO is responsible for managing the company's
affairs, carrying out business strategy in conjunction with the Board, and attaining short- and
long-term objectives. They answer to the Board.

Composition of the Board :

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The company represents a diversified and balanced board since it enhances conversations and
promotes sound decision-making. The corporate governance report contains independent
directors, and the Board is in conformity with the relevant rules of the Companies and Listing
Act, 2013, and has an ideal blend of executive and non-executive directors. To guarantee an
ideal balance of directors with complementary talents and various viewpoints for productive
debates allowing more effective decision-making, the makeup and size of the board are
frequently evaluated. The organisation is aware that effective succession planning for board
members and senior management is essential to the business's sustained expansion. As at the
date of this report, the Board consisted of 14 (fourteen) members, out of which 7 (seven) are
independent directors who constitute half the strength of the board, 6 (six) are non-executive
members of the board and 1 (one) is the Executive Director and CEO. The composition of the
board is in accordance with the requirements of provision 17 of the listing regulations, as well
as the law as amended with the rules issued on its basis.

3.4 Organisation structure:

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The Various Departments includes;
1. Plant Production
2. Plant administration
3. Plant Engineering
4. Plant Quality Assurance and
5. EHS (Environment, Health, Safety).
The plant administration encompasses Distribution Centre, Human Resources, Finance
& Accounts, Stores.
No of Techincians : 185
No of Executives : 110
Managers : 28

3.5 Products and services:

Asian Paints manufactures a wide range of paints for decorative and industrial use and
also offers Wall Coverings, adhesives and services under its portfolio.

The company is also present in the Home Improvement and Decor segment and offers
bath and kitchen products. The company also introduced lightings, furnishings and
furniture in its portfolio. In the Health and Hygiene segment, Asian Paints offers
range of Sanitizers and Surface Disinfectants.

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Recently, the company entered into a definitive agreement with Weatherseal
Fenestration to acquire a 51% stake. Incorporated in March 2022, Weatherseal would
be engaged in the business of interior decoration/furnishings, including the
manufacture of plastic windows and door systems. Asian Paints has also entered into a
definitive agreement to acquire a 49% stake in Obgenix Software, commonly known
as White Teak. White Teak is engaged in the business of decorative lighting and fan
products.

Price range:

Distemper – 64 to 1344 Rs

Emulsion - 134 to 8996 Rs

Solvent based – 252 to 4616 Rs (used for interior wall finish)

Primer - 125 to 3300 Rs

Wood finishes - 200 to 10400 Rs

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3.6 Market, Market share, and market position:

Asian paints is considered a market leader in the Indian paint Industry with operations
spread across 15 countries. It has 26 manufacturing plants globally. Its size in the
scale of operations, brand positioning, pricing and the company’s fundamentals play a
crucial role in attracting investors from various categories.

Asian paints has one of the largest dealer network with over 70,000 dealer with over 6
lakh retailers compared to its peers in India.

It comes under the consumer goods sector, weightage is 10.39, Asian paints is in 15th
place under the consumer goods with 1.88% weightage. The market share is 42%
which is high among other players.

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  Market Capital is 325795 Cr. The current market price is 3395. The high is 3590
and low is 2560 Rs.
 Asian paints has the highest market capital among the competitors.
 Annual turnover is 25000 Cr.

Revenue Breakup:

 Decorative Coating - 83.70%

 Industrail Coating - 2.40%
 International Operation - 11.60%
 Home Improvement Business - 2.30%

Reason for Market Leader:

 Constantly concerned in reducing the material cost, Research and Development Team
always go and finds the alternate Suppliers.
 Reducing Operation cost like fuel cost, Travelling, Rent and power. Dedicated team is
there to track cost of operation.
 Distribution Part: Effective debtor and Creditor Management.
 Inventory Management measures, SAP software is useful for effective tracking of
Inventory.

Future Prospects:

 Diversification beyond Paints- Asian Paints concerned in Manufacture of Home

decors and Sanitary Products.
 Adoption of new Technology- It helps in reducing manufacturing time, and cost.
 Capacity Expansion – The building of new Plants, Increases the demand for their
product.
 Stress on ESG Parameters – Concentration in use of renewable energy.

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3.7 SWOT ANALYSIS:

Strength Weakness
 Largest paint company in India and  Asian paint has a low market size in
third largest in Asia the Industrial segment, the competitor
 Good growth over the last five years, has more market size in Industrial
its growth is about 8 to 12 percentage. paints than Asian paints.
Asian paints is twice in the size of the  Asian paints apart from India, is
other painting Industry. performing low in business
 Clear Supply chain management-  Production and Inventory Issues, and
using ERP software and SAP supply most importantly, producing products
chain management. to the taste of the customer and going
 They are having branches in 17 with the market trend is tough.
countries with 26 manufacturing
plants.

Opportunities Threats
 Currently Asian paints is producing  If the Countries economy slowdown,
low in the segment of Industrial it will affect the Company directly.
paints, if it concentrate on this more,it The slowdown in Construction
can increase the market share in the Industry affects the paint Company a
Industrial and auto paint industry. lot.
 Indian economy is growing faster,  Till now there are many unorganized
and good infrastructure so Asian sectors, which account for 35% of the
paints have the good opportunity in market share.
India. There is the huge chance to  Raw material scarcity, because many
increase revenue by opening a raw materials for paint are imported
business in small cities. from abroad
 Rapid Urbanization, government  Government policy and increase in
giving more loans and schemes for Tax slab will have an effect and cuts
new houses, so demand increase. the profit of the Company.

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4. JOB DESCRIPTION AND EXPECTED DELIVERABLES (OUTCOMES):

Accounting Executive I:
 To record the activities of the business
 Governance risk and control recording- Audit
 Invoice creating in SAP
 Creation of returnable gate pass and non returnable gate pass Invoice
 Recording of actual expenses
 Scrap rate update
 Bank entries
 Claim reimbursement
 Employee Advance
 Apprentice stipend
 Risk analysis of procurement
 Reconciliation of PO

Expected Outcome:
 Great Industry exposure is provided because Asian paints is the manufacturing sector,
which is largest in India
 Can learn how the Activities are recorded , How they are managing goods and supply
of money, Budgeting.
 To work in Software like SAP, which is largely used in many manufacturing sector
Industries.
 To create Invoice and E-way bills, and process payment to Apprentice.
 To know about the process of Purchasing the material, and finding the risk while
procurement.
 And reconciliation of Purchase Order, how to check the older PO missed items.

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 5. NATURE & DETAILS OF THE TRAINING PROVIDED:
Plant Production: In the Plant Production department, I learned the process of Paints and
raw materials used in production.
Raw Materials:
 Pigment
 Extender
 Binder – (Emulsion) It is manufacturing in Polymer block. Manufacturing by its own.
 Addictive – Thickeners
 Solvent – Water-based Paints.
Silo is the storage unit Capacity of 16000 metric Ton, Silo is the Storage unit in which
Pigments and extenders.
The Batch tank and day tank is there, from the batch tank the needs of day-to-day production are
sent to the day tank.

Plant Quality assurance:

The aim of this department is to find whether the paint is produced in the correct quality and
ratio.
The types of quality check:
 Viscosity check – Ensure the Thin and flow of paints
 Specific gravity – Filling process, Conversion of litre to weight, the formula is
Volume * Specific gravity, from this calculation we can convert litre to weight
 Reducing Strength – Shade Comparison, reduce the colour difference
 Non Volatile matter – percentage of residue, Coverage level
 Gloss check- Whether the paint is in correct shining or not.

Human Resource Department:

In Human resource Department I learned about Recruitment process. When vacancy arises
Concerned department HR conduct Talent Pool which is the third party , it does primary
screening. After that
 Aptitude test
 Interview – HR and Concerned manager and second round is with senior manager
 Onboarding – Offer letter and Document submission

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  Pre medical exam and background verification by Artho Bridge
 Digital appointment letter through legality party
 ID creation and 3 week Induction program with safety department
 Welcome kit
 Plant visit
It is the process of recruitment in Asianpaints.
I also learned a short about The Long-term settlement document covers various aspects like;

1. Job classification
2. Salary & Wage pay out calculation
3. Revision of wages and benefits
4. Allowances like Variable Dearness, House rent, Fixed Dearness,
Conveyance, Educational, Medical, Technical Skill & Bonus.
5. Leaves that include Privilege Leave, Sick Leave, Paternity, Casual Leaves.
6. Labour Welfare

Payroll Management

Payroll is a list of employees who get paid by the company. Payroll also refers to the total
amount of money employer pays to the employees. Functions involve balancing and
reconciling payroll data and depositing and reporting taxes. The payroll department takes
care of wage deductions, record keeping and verifying the reliability of pay data. The
payroll department delivers payroll checks, maintains compliance with tax laws, records
paperwork for new hires and edits existing employee files. Payroll professionals are also
responsible for calculating reimbursements, bonuses, overtime and holiday pay.

Pay-slip

A salary slip/pay slip is a document issued by an employer to an employee. It contains a detailed

description of the employee's salary components like HRA (House Rent Allowance), LTA
(Leave Travel Allowance), Bonus paid etc. and deductions for a specific period.

Employees' provident fund is eligible for all employees whose Basic + DA (Dearness
Allowance) + RA (Retaining Allowance) is less than equal to 15000 per month. All
employees earning 15000 or lesser as basic + DA + RA in an organization with more than 20

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employees have to contribute 12% of their basic + DA + RA as their EPF contribution. The
same amount is contributed by their employers, however, employers 12% contribution is
divided into two parts

a) Employees' Pension Scheme 8.33%

b) Employees' Provident Fund 3.67%

Exceptions to EPF Contribution:

1. Employees earning more than 15000 per month as their Basic + DA + RA are not
eligible for EPF, however, they can contribute to EPF with permission by assistant PF
commissioner if their employers don't object.

Employees who want to contribute more than 12% which is mandatory contribution are
allowed to do so, however, their employers are not liable to contribute more than 12%. This
type of contribution is called Voluntary Provident Fund and it is accounted separately. Also,
tax-free interest is earned on VPF.

EHS Department:

Environment:

 Asian Paints is dedicated to managing its business operations, including resource

allocation, in a way that has the least possible negative effects on the environment and
local populations.
 They will obtain their materials and goods from suppliers who abide by child labour
laws and other legal requirements.
 They yearly publish their environmental sustainability to all stakeholders. To lessen
their environmental impact, they will continuously enhance their goods. We'll let
customers know how our items may be used safely and without harming the
environment.
 They are devoted to environmental preservation
 Utilizing the 3R concept (Reduction, Reuse, and Recycling) and moving toward zero
creation of hazardous solid waste and industrial wastewater are ways to prevent
pollution.

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  Reducing the amount of plastic waste produced by our packaging material.
 Reducing the intensity of energy use and carbon emissions while increasing the
proportion of energy derived from renewable sources.
 The use of rainwater collecting, water replenishment, and wastewater usage as a
substitute supply.
 Caring for biological variety inside and outside our facility.

Health and Safety:

Asian Paints is committed to ensuring the safety and health of its employees, service providers,
visitors, neighbouring communities, customers and property.

Scope and applicability of the Policy:

This health and safety policy applies to all of Asian Paints' operating sites, including subsidiaries
and joint ventures (where Asian Paints has management authority) (where Asian Paints has
management control).

Operating sites include factories, research and technology facilities, offices, distribution
operations, sales warehouses, retail sales and services and project sales. This policy is
applicable to work, employee travel to and from work, business trips that include lodging,
and other activities that the firm hosts.

The management of the organisation wants to achieve:

1. Adhere to all relevant health and safety laws.

2. Aim for no accidents, no occupational diseases, and no property damage

3. Adhere to the pertinent Safety Manual to ensure her safety, well-being, and health
objectives.

4. Adopt and put into practise best practises in risk management for consequences mitigation
and prevention.

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 Execution of Task:

My Area of Focus is Accounts Department in the Asian Paints Sri permbadur Plant . First I

learned what is E-Way bill and uses of it:

It is used for tracking of goods, It comes under Central Government under GST.

Intra state – State Government Tax ,Inter state – Central Government Tax

Transporters should compulsory have Invoice bill, challan, Road permit, and E-way bill.

In the website Page Part A Consist of Details of stock, Part B Consist of Transporter details E

way bill Valdity:

 100 km < 3 days

 100 to 300 km – 3 days
 300 to 500 km - 5 days
 500 to 1000 km – 10 days
 1000 and above – 15 days

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 2. SAP Software:
After E way bill , I learned SAP FICO which useful for recording accounting
Activities

SAP Module

Technical
Functional
(System
(Transaction)
Correction)

Human
Accounts Logistics
Resource
(SAP FICO) (SAP SD)
(SAP HRM)

In SAP FICO, I learned certain T – Code, which is useful for recording activities in SAP
FICO.

NRGP – It is a non returnable gate pass, which is used for selling of products and moving of
goods , which will not come return.

RGP - It is a returnable gate pass, which is used for machines and products going outside
for service etc.. which will return in a certain period, for this RGP Invoice is created.

The following T Codes are

 Va01 – Creating RGP and NRGP

 Vf01 – To view Saving Document
 Vf03 – To preview and Print the document

Transaction code ending with 01 indicates create, 02 indicates change, 03 indicate display.

By using these T codes we can create RGP and NRGP, in va01 Order type is ZOFC, Sales
organization is 1000, Distribution channel is 30, Division is 06. After type vf01 to view the
document and save, Then vf03 is useful for preview and print the RGP or NRGP file.
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The Copy of RGP and NRGP, the document number mentioned here is created in SAP. Three
copy is created , one for accounts, another one is for security gate pass, another one is for
vendor.

Scrap Invoice creation:

The Scrap Invoice is created in the SAP FICO, Scrap Invoice is created for selling the waste
products or goods left, sometimes vendor give money for getting scrap, and in some cases,
the company gives money for clearing some waste goods, for accountability scrap invoice is
created.

T Codes used for scrap Invoice:

 Vl01n - Enter the sale order number

 Vl02n – Click post goods issue
 Vf01 - To view and save document
 Vf03 - To preview and print the document

E-way bill is also required for scrap and both RGP and NRGP.

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 It contains information like to whom we are selling, the transportation details, Post
goods issue no is created in SAP using the T code vl02n. From which department the
scrap is going and material description and price of the scrap is mentioned in the
Scrap invoice. Three copies is created is for account, vendor and one for security in
the gate.

Vendor Risk Management:

I was assigned the project in the name of Vendor risk management, my task is to analyse the
different kinds of products we buy and from whom we buy and price we pay for that, and
what was the competitor price. And find if there is any risk in buying from the specific
vendor.

 First I was given the excel sheet which contains three years of purchase and about
6000 entries.
 I created the Pivot table and grouped them into company , products , how frequent we
buy from them.
 I was given asses to Asian paints portal and there we can get PO of the product and
Competitor quotes, and cost comparison sheets.

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  I started analyzing the PO and started searching for any frauds happening in the
company.

Points to check PO:

 When the product is supplied by the same vendor, there is no competitor price, if
incase of single supplier there should be approval from the Senior manager, if that
approval is not there it should be noted.
 Also when there is always a one or two rupee difference between the Two vendor,
always the order is going for the same vendor.
 Price disclosure risk,L1 the initial and final quotes have major difference after getting
quote from L2 vendor.
 Check the address and phone number of the Company of both the competitors quotes,
there is the chance of dummy quotation given by the same vendor
 Check for similar format , spacing, font, there is chance of fraud activities
 If ARC ( annual rate contract) is there, it is safe.

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Achievements:

I was able to find the vendors who are involved in fraud activities, One vendor’s Contract is
cancelled, I found that they are providing false quotations in the company which is not there.
And another two vendors were sister concerns, everytime the order goes between them only,
and for many products, I suggested finding a new vendor for price efficiency. For which I got
appreciation from the Accounts Manager.

Now I am able to record activities like RGP, NRGP, Scrap Invoice, and E-way bills.

DEVIATION ANALYSIS:
The above-mentioned tasks which were given by the company were completed
without any time delay and with a proper relevancy. Hence the deviation analysis is
determined to be 0%.

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Reference:
1) [Link]
s_of_Financial_statements_of_Asian_Paints
2) [Link]
3) [Link]
4) [Link]
5) [Link]
01/view_india_asia_pacific_reports/overview-of-indian-paint-coating-
industry-in- 2021/#:~:text=The%20Big%20Four%20of%20the,of%20the
%20decorati ve%20paints%20market.
6) [Link]
coatings-market

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Feedback given by Industry Mentor:

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Monthly report – Logsheet:

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