An Internship Report

On

ACI Godrej Agrovet Private

Ltd

An Internship Report
On

Management Accounting Practices of ACI Godrej Agrovet Private

Ltd

Prepared For
Prof. Dr. M AlimullahMiyan
Chair, College of Business Administration

Prepared By
Shaorin Sultana
ID # 11202057
Program BBA

IUBAT-International University of Business Agriculture and Technology

Date of Submission: 15th, December 2014

Letter of Transmital
2

To
Prof. Dr. M AlimullahMiyan
Chair, College of Business Administration
IUBAT- International University of Business Agriculture and Technology
4, Embankment Drive Road, Uttara Model Town
Sector # 10, Dhaka-1230, Bangladesh.
Sub: Application for the submission of Internship Report.
Dear Sir,
I am a student of BBA program of IUBAT. Im happy and delighting to submit here with a copy
of internship report for your kind evaluation and appreciation. I have prepared this report as
partial fulfillment of the course BUS 490.
I would be honored if you go through my report and find it worthwhile as really put in a lot of
effort while preparing it. My internship period was from 08.08.2014 to 07.12.2014. I have
immense pleasure to have the opportunity to prepare the internship report entitled Management
Accounting Practices of ACI Godrej Agrovet Private Ltd
I believe that this report has enriched my knowledge. If you have further queries regarding the
report, please let me know. I would be obliged to avail at your convenience.

Thank You
Sincerely Yours,
_________________
Shaorin Sultana
(ID# 11202057)

Letter of Authorization
3

This is to certify that the Internship Report on Management Accounting Practices of ACI
Godrej Agrovet Private Ltd

(Head Office) submitted for the award of the degree

Bachelor of Business Administration (BBA) major in Finance & Banking to the International
University of Business Agricultural and Technology (IUBAT) is a record of practicum report
carried out by Shaorin Sultana under my supervision. No part of the internship report has been
submitted for any Degree, Diploma, Title or Recognition before.

She is permitted to submit the Internship Report.

______________________
M. Shaikh Imran Akhand Shuvo
Faculty, CBA, IUBAT

Student Declaration
4

I am Shaorin Sultana the student of Bachelor of Business Administration (BBA), at IUBATInternational University of Business Agriculture and Technology and declaring that, this
internship report on the topic Management Accounting Practices of ACI Godrej Agrovet
Private

Ltd

(Head

office)

has

not

been

previously

submitted

to

any

other

University/Collage/Organization for any academic qualification/Certificate/Diploma or any other

degree. The internship report contains no material previously published or written by anyone
except where due reference is made in the text of the thesis. It has been prepared for the
fulfillment of my BBA.

___________________
Shaorin Sultana
ID: 11202057
Program: BBA
Major: Finance & Banking

Acknowledgement
5

The successful completion of this report is the outcome of the contribution of a number of people
to whom Im grateful and thank them from the very deep of my heart. So, I would like to take
this opportunity to thank all those people who helped me in preparing this report on
Management Accounting Practices of ACI Godrej Agrovet Private Ltd. First of all I
would like to express my great respect to almighty for providing me the strength and energy to
prepare this report.
I would like to pay my gratitude to our respectable vice-chancellor Prof. Dr. M Alimullah Miyan
whom gave the opportunity of doing Practicum report on Management Accounting Practices
of ACI Godrej Agrovet Private Ltd (Head office). Then I would like to thank respected
Director of CBA (IUBAT) Tanvir. H. DeWan, and my supervisor & faculty of CBA M. Shaikh
Imran Akhand Shuvo who provided much valuable information, which was very mandatory for
me to do this report.
Finally, I would like to give special thanks to the Management of ACIGAPL (Head office) to
give me an opportunity to do internship in ACI Godrej Agrovet Private Limited. Above all I
would like to express my thanks and gratitude to the Officers of ACIGAPL for their cooperation
and help, without these, it would not have been possible for me to learn so many things that will
be very helpful for my career. I also apologize heartily for any omitted name whose contribution
was also complementary for any possible aspect. Lastly, I solemnly thank the Almighty.

Table of Content
6

Prefatory Part

Page no.

Title Fly

Title Page

ii

Letter of Transmittal

iii

Letter of Authorization

iv

Student Declaration

Acknowledgement

vi

Table of Contents

vii - xii

Executive Summary

7i

Chapter-One
1.1
1.2
1.2.1
1.2.2
1.3
1.4
1.4.1
1.4.2
1.4.3

Page No
1

Background of the study

Objective of the Study
Broad Objective:
Specific Objectives
Scope of the Report
Methodology
Primary Sources
Secondary Sources
Limitation of the Study

1
1
1-2
2
2
2
2
3

Chapter-Two

2.1
2.2

Historical Background of ACI Ltd

Strategic Business Units

2.3
2.4
2.5
2.6

ACI has the following subsidiaries

Joint Ventures
Management Committee of ACI Limited
Mission of ACI Ltd

5-6

6
6
7

2.7
2.8

Vision of ACI Ltd

Values of ACI Limited:

7
8

2.9
Distribution Network

2.10
2.11
2.12
2.13
2.14
2.15
2.16
2.17
2.2.1
2.2.2
2.2.3
2.2.4
2.2.5
2.2.6
2.3
2.3.1
2.3.2
2.3.3
2.3.4
2.3.5
2.3.6
2.3.7
2.3.8

Business Units
Consumer Brands & Commodity
Products
Agribusinesses
Creative Communication Ltd:

Manufacturing facilities
Strengths of ACI
ACI Centre
Value of People in ACI
Equal Opportunities Policy
Equal Opportunities Policy Statement
Contact Information
CSR Activities of ACI in 2013
Co-Managed Nature Interpretation
Centre (CONIC)
Support to Victims of Rana Plaza
Historical Background of Godrej Agrovet
Ltd
STRATEGIC TIE-UPS
GLOBAL FORAYS
About the Godrej Group
Key Highlights
Agro-Inputs
Animal Feed
Key Highlights
Integrated Poultry Business

9-10

8
9
9

10
10
10
11
11
11
12
12
13
13-14
14
14
14
15
15-16
16
16
16

Key Highlights
JV with Tyson Food Inc USA for Poultry
Business
Oil Palm Business
2.4.1
New Associations formed in the Oil
2.4.2
plantation Business
Plant Biotech Division
2.4.3
ACI GODREJ AGROVET PRIVATE LIMITED
Historical Background of ACI GODREJ
2.5
AGROVET PRIVATE LIMITED
Important Informations of ACI Godrej
2.5.1
Agrovet Private Limited
Mission
2.5.2
Vision
2.5.3
Values
2.5.4
Capital Structure
2.5.5
Sponsor & Share holding position
2.5.6
Key highlights of the JV agreement
2.5.7
between ACI Limited, BD & Godrej
Agrovet Limited, India
Key Strategic advantage of AGAPL over
2.6
existing players
Sales strategy
2.6.1
Management Committee
2.7
Personal Profile
2.7.1
Expanded ACI's Agro- Division into 6
2.7.2

2.3.9
2.4

16
17
17
17-18
18
19
19
20-21
21
21
22
22
22-23
23-24

24-25
25
25
25-29
29

sub-strategy Business unit which are:

2.8
2.8.1

Organizational Structure of ACIGAPL

30
30

Functions of various departments in

ACIGAPL:

30-31

2.8.4
2.8.5
2.8.6
2.9
2.9.1
2.9.2

Finance Department
Roles and responsibilities of finance &
accounts department
Human resource Department
Role of Human Resource Management
Sales & Marketing department
Brief of Product and services
Product list & Price quotation
Fish products & recent price list (FFF)

2.9.3

Sinking Fish Feed Price List

40-41

2.8.2
2.8.3

Topics Discussion
Management
3.1
Management has the following three
3.2
characteristics
Accounting
3.3
The purpose of accounting is to
3.4
Financial accounting
3.5
Cost Accounting:
3.6
Management/ Managerial accounting
3.7
Management Accounting Functions
3.8
Management accountants
3.9
Objectives of Managerial Accounting
3.10
Relationship between Financial
3.1.1
Accounting Cost Accounting,
Management Accounting, and Financial
Management
Differences between financial &
3.1.2
management accounting
Provision
3.2.1
Financial Assets
3.2.2
Financial liabilities
3.2.3
A management accounting system should
3.3.1
10

31-32
33
33-35
35-36
36-38
38-39
40

42
43
43
43
43
43-44
44
44-45
45
46
46-47
47-48

48-49
50
50
50-51
51

3.3.2
3.3.3

have two simultaneous missions for

providing information
51
Management Accounting Practices of
ACIGAPL
Financial performances of ACIGAPL at 52-53
a glance:

3.34

Ratio Analysis
Chapter- Four
Research part

54-59

4.1
4.2
4.3
4.4
4.5
4.6
4.7
4.7.1
4.8
4.8.1
4.8.2
4.8.3
4.9
4.9.1
4.9.2

Topic
Rational Behind the Research
Problem Statement
Project Timeline
Budget Information
Research Methodology
Data collection procedure
Data processing
Research design
Sampling procedure
Sample Frame
Sample Size
Hypothesis Development
Hypothesis Testing
Graphical Representation
Findings
Recommendation
Conclusion

60

4.10
4.11
4.12
Appendix

11

61
61
61
62
62
62
62
62
62
62
63
63
64
65-75
76
77
78

Executive Summary
The report is based on Management Accounting Practices at ACI Godrej Agrovet Private Ltd.
This report is prepared on the basis of my three-month practical experience at ACI Godrej
Agrovet Pvt. Ltd. This internship program helped me to learn about the practical scenario of ACI
Godrej Agrovet Pvt. Ltd. It is a joint venture company between ACI Limited, Bangladesh and
Godrej Agrovet Limited, India. This report has been presented based on my observation and
experience gathered from the organization.
A good number of progressive farmers are coming into these businesses, apart from the efforts of
public and private sectors, certain Non-Governmental Organizations (NGO) are also vigorously
attempting to spread the practice of organized farming of poultry. The basic purpose of the
breeding farm is to provide quality day old chicks for the commercial broiler farmers of this
country thereby playing a pivotal role to satisfy the growing protein needs of the country. Poultry
in Bangladesh plays a pivotal role in the economy of the country that directly involves about
85% of peoples who lives in the rural area. ACI Godrej Agrovet Private Ltd. is one of largest
Poultry Feed Manufacturing Company in Bangladesh, producing & Marketing Broiler Feed,
Layer Feed, and House Feed since 2005. They are one of the largest Fish & Shrimp Feeds
Manufacturing Company in Bangladesh with operations starting in 2007. They are producing and
marketing high quality fish and shrimp feed which contain high Protein, Carbohydrate, Vitamins
and minerals. They produce different types of Feeds according to age and species. They supply
feed specially formulated for Koi, Tilapia, Pangash, other Carps and Shrimps.
Management Accounting is concerned with the provisions and use of accounting information to
managers within organizations, to provide them with the basis in making informed business
decisions that would allow them to be better equipped in their management and control
functions.
Basically, Management Accounting information -- and, more generally, accounting
information -- has
Three basic roles in organizations:
12

1. Financial reporting,
2. Operational control and improvement, and
3. Decision making and planning.
In My project part I have done a survey. Here Ive tried to compare my Finance & Banking
knowledge in practical field through Management accounting practices of ACIGAPL (Head
office). The analysis suggests that the tools of management accounting practices are highly
important for an organization. If ACIGAPL follows those recommendations I hope ACIGAPL
can improve their whole accounts operations procedure and will become more successful.

13