Internship report

Program:

MBA 3.5 Years

Submitted to

Sir Faisal Iqbal

University of Gujrat
(UOG)

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Acknowledgement
All the praises are for AL MIGHTY ALLAH whose uniqueness, wholeness, oneness
are absolute. Who blessed me enough courage, knowledge, ability to complete this
report.

All respects are for HAZRAT MUHAMMAD (S.A.W.W)

Who make us recognize the oneness of our Creator

Our PARENTS whom raising gave us enough character and compassionate

Heart, which make us to compete in this competitive environment.

I so pay my honest gratitude to Mr. Affan Ahmed whose co-operation helped me to

complete this demanding task effectively. Without whom it cant be done.

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Table contents

Page

EXECUTIVE SUMMARY.5
INTRODUCTION OF ORGANIZATION.6
BRIEF HISTORY..6
Companys products....8
FAN..........................................................................................................8

WASHING MACHINE.............................................................................9

ROOM COOLERS..................................................................................9

CORPORATE PROFILE10
Corporate Social Responsibility11
Wahid Hospital......................................................................................11

Women Empowerment.........................................................................11

Organizational Structure..12

Accounts and Finance Department......................................................12

Sales and Marketing Department..........................................................14

Competitive Strategy..15

AWARDS & CERTIFICATION..15

Strategic management16
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VISION.......................................................................................................16

MISSION......................................................................................................16

CORE VALUES.16
MAIN COMPETITOR.17
Learning in the organization.17

FIRST WEEK WORK ACTIVITY..................................................................17

SECOND WEEK WORK ACTIVIT.Y.............................................................18

THIRD WEEK WORK ACTIVITY..................................................................19

FOURTH WEEK WORK ACTIVITY..............................................................20

FIFTH WEEK WORK ACTIVITY...................................................................21

SIX AND LAST WEEK WORK ACTIVITY....................................................22

SWOT ANALYSIS..22

STRENGTHS.................................................................................................22

WEAKNESS...................................................................................................23

OPPORTUNITY.............................................................................................24

THREAT..........................................................................................................24

RECOMMENDATION AND SUGGESTION25

Conclusion.26

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EXECUTIVE SUMMARY
Wahid industries (FAK FAN) are taken by us to work on it. To learn the basic concepts of
it our courses gave us real help to get the required information. By doing Internship at
the company we get experience about the basic concepts we have to try and give
recommendations on Organizational study.
This report contains the firms introduction its brief history, its products. The Pak Fan
corporate profile & its social responsibility. The competitive strategy & its strategic
management including the firms vision & mission. The Pak Fans core value & its main
competitors. My learning & observations in the firm, from 1 st week to 6th week. S.W.O.T
analysis of the firm, my recommendations & conclusion.

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INTRODUCTION OF ORGANIZATION
BRIEF HISTORY
The history of PAK fan is as vibrant and brilliant as the products themselves. The
company traces its origin back to 1936 When Mr. Abdul Wahid, the first person and the
president of the Company started its operations as the manufacturer of light engineering
,utility products and same nature other product. The setting up of this project is great
achievement of Mr. Abdul Wahid as The Time When There Were No facilities and
guidance in This Part of the sub-continent. I simply took it as a challenge, undeterred by
the initial Difficulties and sticks to his motto "No compromise on quality". As a result of
product innovation, exceptional quality and marketing strategies through distinct,
Determined Efforts were his soon crowned with success and Pak Fans Become the
leading fan manufacturer in Pakistan.
1936: started its work operation as the manufacturer of light engineering and utility
products.
1945: the Company for the very first time embarked on the manufacturing of the Electric
Fans before the independence of Pakistan (1947).
1962: the Company maintained its position among the top companies in Pakistan.
1970, the Company extended its product range, different models and then Introduced
kept on Increasing the range over the years.
1981: a modern Japanese automatic Plant was installed to manufacture Enameled
Copper wires of top international quality and marketed under the brand name SUPER
PAK.
1989: to live up to its progressive image the Company keeps itself alongside of the
latest Technological Developments around the world. This Enables the Company to
continually ever introduce new concepts in electric fans, the 'remote controlled fans. "
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1990: towards its role as a responsible corporate citizen Wahid Industries keeps on
encouraging and contributing to social uplift programs and activities. At Gujarat, it set up
a huge modern hospital - Equipped with latest facilities and top qualified medical
personnel.
1992: latest CNC machines and injection molding machines installed to make company
were more self reliant in its production.
1993: the Company diversified its operations and started manufacturing washing
machine as well as with plastic body metal.
1997: Wahid Industries took off another project and started manufacturing room air
driers and coolers.
1999: in the year 1999 to 2000 Pak Fan Achieved highest international quality award
ISO-9002 certified company. Pak Fan FPCCI Also won the Trophy 1999-2000.
2000: Company exported the fans for the first time and marked its international
presence.
2001: The Company won the highest export award trophy from that year; it is
Continuously Achieving this award.
2007: automated paint plant was installed to improve the quality of the product as well
as reduce environmental pollution.
As a result of its excellence and ever Evolving Innovative Technological process, PAK
HOME APPLIANCES remains the utmost choice-both at home and abroad.

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Companys products
Wahid industries limited manufacture generally three kinds of products which include:
1. FAN
Specially designed blades
Adjustable angles
High grade copper wire
Remote control option
Powder coated guard
Better air throws
Durable and lasting
2. WASHING MACHINE
Pakistan's 1st ever plastic washing machine
Save detergent & time due to use of amazing double action
Washes more clothes due to large wash tub
Washer & dryer in one
Ultra clean wash
Low energy consumption
Prime quality electrical steel sheet
3. ROOM COOLERS
For the first time in Pakistan enter pumping water proof
An efficient and energy saver cooling system
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Complete plastic body

Very cold air and good performance
Consumes less light
2 way auto air swing covers more area
Ideal for shops, small stores
Most suitable for large open, halls and lounges
Ensures long lasting performance due to use of good quality material

CORPORATE PROFILE
Wahid Industries is a private fan medium sized manufacturing company in Pakistan.
The company started its journey in 1944 before the independence of Pakistan and
within no time, marked its Presence in the industry by creating a Brand Name Known as
"PAK FANS". The company did not only Increase its diversified product line but Also its
business by manufacturing range of other products like washing machines, driers,
enameled copper wire and room air coolers and Established another new brand name
"PAK HOME APPLIANCES".
Wahid Industries has a privilege to be the most leading company in the fan industry in
Pakistan in terms of production, sale and geographical coverage. Excellent technical
expertise combined with industry knowledge EXTENSIVE Wahid Industries makes the
perfect choice for customers for buying home appliances.
The quality of "PAK" brand products tambien Acknowledged in various other countries.
That is why, the sales network of company is not limited only to Pakistan but it exports
its products across Also the globe Mainly Middle East, Europe and Africa. Its volume is
Increasing export sales every year t an encouraging pace. This position is

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Acknowledged by authorities (FPCCI) and THUS Wahid Industries is winning the

highest export award for the last 11 years continuously.
The tradition of delivering quality products has earned a reputation of Wahid Industries
producing trustworthy home appliances all around the globe. The company has won
many awards for its best quality and highly qualified technical expertise. In the year
1998-2000, Pak Fan Achieved ISO-9002 certified, international quality award.
Towards its role as a responsible and caring corporate citizen, Wahid Industries keeps
on encouraging and contributing to social uplift programs and activities. At Gujrat, it runs
modern hospital - Hospital Trust Wahid, Equipped with latest facilities and top notch
medical personnel.

Corporate Social Responsibility

At Wahid Industries, We Believe That Our Ability to make a difference extends beyond
our walls factories. Both as an organization and as Individuals, we are dedicated to
playing an active role in Wahid Industries limited, surrounding Communities and across
the nation-providing them With The support, special programs and outreach services to
Improve Their Quality of Life.
Wahid Hospital
Wahid Hospital is setup, run and managed by Wahid Industries limited. Situated on
prime location at G.T. Road Gujrat, This hospital provides free healthcare services to all
employees as well Wahid Industries as General Public.

Following The hospital has facilities:

24 hours emergency / trauma center

Outdoor Patient Wards

Medical Ward
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Pathology Lab

Facilities Gynecology

Women Empowerment
At Wahid Industries limited, We Believe That Men and Women Have Equal Rights in
every field. This Reflects believe in our Policies as an 'Equal Opportunity Employer'. We
Encourage women to work and Contribute not only in national economy in upgrading
But Also Their lifestyles and family betterments. We have females working in our offices
not only in our factories But Also on highly technical machines.

Organizational Structure
Wahid industries is a market leader in the washing machine, room air cooler and fan,
even today, because of the many brands of domestic and foreign investors in the
Pakistani market Appliances. Following is the organ gram of the company.

Chairman
Managing Director

Director Finance

Director Production

General Manager

General Manager

Chief Executive

Director HR

Director Marketing

General Manager General Manager

Accounts and Finance Department

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Mr. Sheikh Amir is the Financial Officer of Pak Fan. He is working in Pak Fan in the past
16 years. He is responsible to manage the entire financial affairs. All transactions
relating to cash or bank responsible for managing the financial affairs of that head of the
Finance department. The following is the hierarchy of the accounts and finance
department

Mr. Sheikh Amir

(Finance Manager)

Mr. Naveed

(Assistant Manager)

Mr. Hafiz address

(Accounts Manager)

Mr. Umer butt

(Assistant Manager)

Miss Zara

(Data entry Operator)

General Manger

Finance Manager

Accounts Manager

Mr. Sheikh Amir has to do the following tasks while performing his job.

The preparation of financial statements, such as profit and loss.

Accounts and balance sheets.

Consult financial matters with the General Manager.

Approve factory expenses.

Approval of the salary to labor.

Acquisition of fund (i.e. raising of funds)

Allocation of fund (i.e. investment decision)

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Fund Assessment (i.e. evaluation of financial activities)

Mr. Hafiz address has to perform the following things and all things below have
been approved by the assistant accounts manager.

Issuing chaque for factory affairs (expenses)

Arrange monthly payments from vendors through company account.

Make inquiries about online receipts / deposits.

Filling of Directors files and finance related files.

Casual posting of vouchers.

Arranging banks and journal vouchers, and handed over to the cashier at the end
of the day.

Drafting letters and get it typed into the computer.

Assisting Manager Finance, for allocation of daily expenses, project payments

and issuing the chaques accordingly.

Issuing chaques on the accounts of the company and self-accounts.

The data entry operator does the following things during his job .

Posting of receipts and payment vouchers.

Posting of bank journal vouchers.

Maintain all branches petty cash.

Posting it to relevant branches ledgers.

Sales and Marketing Department

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Mr. Mustajab Hussain was managing the marketing department. The Chief Executive of
the company has played a leading role in the marketing aspects of the products, and he
was fully aware of the international modern marketing trends. Mr. Asif is the Director of
Sales and Marketing department. The team consists of assistants and salesmen and
operates under the marketing manager. Sales department also consider under
marketing department so that it is also dealing with issues related sales by marketing
manager and director. Salesmen have to analyze the market by survey and find their
position in the market.

Marketing Director

Marketing Manager

Assistants

Salesmen

Salesman of the company would have to capture market dealers, also responsible for
the recovery of payments. First they take orders and then these commands are
delivered to the production department. Production department provide the items of
order after the delivery of goods the salesmen go for the recovery of the payment. The
main task of the salesman is to get customers in the new market .

Competitive Strategy
Pak fan more emphasis on competitive strategy they use cost leadership and
differentiation strategy, so this is because they are more aggressive in the market. They
provide free services including after sales service and claim services, home delivery
repair and maintenance. They also upgrade technology in products, and provide unique
products new and different from competitors. Pak fan want to get a position in the
market by changing their products, new designs and new models by adding new
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technology, by giving new attractive packaging. Pak fan to get more by changing their
advertising strategies.
They directly relate with the dealers even have to give them bonuses, discounts and
bonuses to traders and various services for the comfort of the customer convenience
because their competitors do not give such benefits to dealers as do Pak fan. They
target the market sector by creating psychographic. In this part it targets the upper class
because they have a high quality and standards that create a strong image in the mind
of the customer. Because in this segment their competitors normally do not serve the
needs of customer.

AWARDS & CERTIFICATION

ISO Certification
Wahid Industries limited achieved the ISO 9001:2008 certificate for all its products. This
achievement underlines Wahid Industries Commitment to quality, durability,
professionalism and social responsibility.
Best Export Performance Trophy (Winner since 1999)
Wahid Industries has a worthy repute of its products around the whole world. Its
international sales network is spread not only in Asia but in Africa and Europe Also.
THUS, FPCCI Wahid Industries Awarded 'Best Export Performance Trophy' in
recognition of its contribution in growth of national economy.

Strategic management
VISION
Our goal is to go beyond the expectation of the customers by Providing them,
outstanding products with quality and Greater value, to extend Presence in worldwide
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Market through latest and modern Technology and make the "PAK" brand an symbol of
quality on the map of the whole world.
MISSION
Our mission is to fulfill the needs and expectations by delivering reliable, yet affordable
world class products to our customers consistently.

CORE VALUES

Competent

Committed

Caring

Cooperative

creative

MAIN COMPETITOR

General fan company (GFC)

Royal fan

Youns fan

Learning in the Organization

FIRST WEEK WORK ACTIVITY
In first week I have learned the vouching system of Wahid industries (pak fan).
Generally it uses two (2) types of vouchers.
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1-CASH VOUCHER
2-TRANSFER VOUCHER
In cash voucher system all payments are cleared in cash. Maximum amount is used in
50,000 in one voucher in pak fan limited.
petty cash expenses are also recorded in cash voucher
the amount of the petty cash expenses is not exceed to 10,000 in one voucher
Transfer voucher are used only for credit base payment.
I learned about the HEAD OF THE ACCOUNTS OF WAHID INDUSTRIES LIMITED.
I learned the expense nature and transfer out into their head of account
FOR EXAMPLE
If he buys paint the expense of paint is transferred to (pak fan purchase account)
If he buys some tools for machinery the amount is transferred to (pak fan purchase tool
account)
I have learned the ENTRY SYSTEM of pak fan, they uses own software for the entry
system
Every item (fans, air cooler, and washing machine) has different entry system because
the tax nature is different to each other.
FOR EXAMPLE
In the sale of washing machine extra sales tax is include While as in case of fan no
extra sales tax is included And these are differentiate with the help of software means
That if we want the washing machine entry the extra sales tax Column is already
included and in case of fans no column of

Extra sales tax is mentioned.

Also I have over view the LABOR LEDGER ACCOUNT.

SECOND WEEK WORK ACTIVITY

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In second week I have learned about the next step of the accounting process going on
in Wahid Industries Limited (Pak Fan). Recently I have learned about the how the
accounting process starts in the manufacturing concern. As I have mentioned they
make vouchers of very single item they purchase or every single service they get. After
making those vouchers they entered these vouchers in their Software named FoxPro
designed by the I.T manager Abdul Qayum an active member of Accounts Department.
After entering these vouchers the manager Accounts post them in the Software and also
signed those vouchers.
The next step after entering and posting those vouchers is to write them in the Cash
Book. I have also observed the Cash book very closely. The information from the debit
and credit side of the vouchers is carefully written on the Cash book. All type of
vouchers whether Cash or Transfer vouchers are written on the Cash book and also the
balance at the end of the day is reconciled with the Software. After reconciling the
balances the next step is to transfer the information from Cash Book to manual Ledgers
that are properly maintained. But I have not gone through the Ledgers yet. I will study
the Ledgers and how data is transferred from Cash book to different ledgers in the
coming week.
I have also learned how to do the Bank Reconciliation in current week. And I have also
done the Reconciliation by myself with the guidance of a senior. I have learned that how
entries are reconciled against the companies Ledger. All the entries are reconciled one
by one. And the missing entries (un-presented cheques, un-recorded cheques, other
bank charges etc.) are transferred to the Bank Reconciliation Statement, which is being
prepared each Ten days. I have prepare the one month reconcile report against
company ledger account and askari bank. This is my 2 day assignment and this report
is check by manager of account and verifies this.
I have learned that vouchers are the basics of accounts and its a very wide field. I have
learned about many different General Ledgers and Party Ledgers vouchers. And I am
learning more and more about those vouchers.

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I have also gone through the Purchase and Sale Registers. I learn how the draw
information from Purchase and Sale Invoices and written down on these Purchase and
Sale Registers.

THIRD WEEK WORK ACTIVITY

As mentioned in previous report in current weak I have learned how to post the data
from Cash book to Different Ledgers. I have learned that after writing the information
from vouchers to cash book the data is then transferred to General Ledgers, Party
Ledger and Labor Ledgers.
The Head of Account of an entry determines in which Ledger it will be posted. The
entries relating to Advances, Loans and salaries are posted to the Labor Ledger where
the Accounts of all the employees are maintained separately. When an employee
obtains a Loan, Advance or Salary from the Company first a voucher is made
accordingly then the voucher is written in the cash book and then Posted in the Labor
Ledger Account of the Employee. Just like that the payment made to parties a voucher
is made which is then entered in software and then written on cash book and then at the
end it is posted or transferred to Parties Ledgers in the relevant Account of the Party.
General Ledger is different the Labor and Parties Ledger it contains variety of accounts
in it. We cant just go through all the Accounts in 2, 3 or 4 weeks. However I have tried
to learn as much as I could about the General Ledger and its posting in my Limited
time. The machinery Accounts. Repair and maintenance accounts, fixed assets
accounts, Bank Accounts and many others countless accounts are maintained in
General Ledger. Just like the Labor ledgers and Parties Ledgers vouchers are made for
every General Ledger entry they are then entered and posted in software after that they
are written in the cash book and then at the end transferred to General Ledgers in the
relevant accounts.
When we post the data from Cash book to the concerned Ledgers we have to mention
page number of the cash book where the entry exists. Just like that we also have to
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mention the Page number of the concerned Ledger Account on the Cash book when we
are posting the data from Cash book to The Ledgers.
Also I have seen the income tax deduction on the salaries of the employees. If the
salary of the employee is 350,000(annually) there is no income tax is charge but if the
salary is exceed from 350,000 but not exceed to 400,000 then 1.5% income tax is
charged and if the salary is exceed from 400,000 but not exceed to 450,000 then 2.5%
income tax is charged and if the salary is exceed from 450,000 but not exceed to
550,000 then3.5% income tax is charged and so on.
All the employees are very cooperative and help me in every problems I learn more and
more in every day.

FOURTH WEEK WORK ACTIVITY

In the ongoing week I have learned about the data entry system of Wahid Industries
Limited (Pak Fan). They use software named FoxPro designed by Abdul Qayyum
manager of I.T department. Who updates time to time and according to the requirement
of information needed. In my current week first I have learned how to enter different
vouchers in the software.
There is different process for all kind of vouchers for example Sale voucher, Purchase
Vouchers, Petty cash vouchers, Labor Voucher, Parties Vouchers and General Ledger
Vouchers.
There is different process of entry for each voucher. When we do data entry first we
have to select that what kind of voucher we want to enter whether it is General ledger,
Party, Sale or Purchase voucher. We select the relevant category and then enter the
particulars from the relevant voucher.
In sale vouchers there are further four categories Fan, Washing Machine, Cooler and
Wire. Just like that they have different category for the sale made outside the country. I
have entered all kind of invoices except Export invoices. Due to precautionary
measures they dont allow us to enter the Export invoices but I do go through the data
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entry process. I observed how they enter the information regarding the Export or Local
sale.
I have also learned to enter the Purchase vouchers. Just like all the entry first we select
the category of purchase entry and then enter all the particulars from the purchase
invoice into the software. Data entry is a very wide field as one can understand we
cannot learn all the data entry in just one week. So I have learned only the data entry of
purchase and sale invoices.
Firstly all the vouchers are entered in the Software and then secondly they are sent to
the Manager Accounts for the purpose of posting in the Software. The posting process
is very easy and requires only attentiveness. You just have to see whether the entered
debit and credit amounts are equal and according to the vouchers or not. And also the
debit and credit entry is correct for the transaction or not. If the transaction is correct in
all aspect the manager just click the post button and the voucher will be posted

FIFTH WEEK WORK ACTIVITY

In the ongoing week I have revised the recent workings. Firstly I have reconciled the
Bank with the companies Ledger. I have made reconciliation of last 15 days of the July
2012. During the week I have made different vouchers as I have done in the beginning
of my Internship. I have made different Petty cash vouchers, General Ledger Vouchers,
Sales and Purchase Vouchers. During the week I have also write the Cash book and
posted the Ledgers from the Cash book. I have also made data entry of Sales Invoices
and purchase invoices.
This week I have learned one new thing and thats how to prepare parties
payment proof. The company submit sale Tax Refund file of each month. The partys
payment proof is a very important part of the Sale Tax refund file. At first we made all
the details of payment to parties against goods and services during the month and then
we copy all the cheques through which payment is made to parties during the month.
We also have to find out where this cheque stands in the Bank Statement of the
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Company. We also copy the Bank statement page on which the Cheque appears. Then
we also have to write down the (date, Invoice no. and date of the invoice) against which
the payment have been made. We write down this information on the copy of the
cheque. Also if we have deducted any Tax on the payment to parties we also attach a
proof of tax deduction for example the tax deduction certificate to make the payment
proof complete.
SIX AND LAST WEEK WORK ACTIVITY
In last week I have visited the other departments of Wahid industries limited and I
revised all the work activities that I have performed in previous weeks.

SWOT ANALYSIS
STRENGTHS
1. Pak fan is an export oriented industry so they are very much committed with the
quality product. They always produce and try to improve product which are of
good quality.
2. It is also strong in term of product flexibility, service and delivery. As they have to
compete in national and international market so they have to be strong enough in
these areas.
3. It has good corporate image in market as for as foreign market.
4. It has also cheaper labor cost.
5. It has made a prominent place in market.

WEAKNESS
As for as the weakness of pak fan is concerned, the big and major weakness in them is
of cost. As they produce quality product so they cannot cut down the cost. When they
incur high cost then their profit margin become low and they have to compete once
again in foreign to sell their product as their cost is high.

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OPPORTUNITY

Due to the government's policy of low export duties, pak fan has opportunities to
increase its exports.

Due to the strong financial position of the company, management can use the
latest technology in their products.

Company can use the brand name in the international market to increase sales
of Fans.

The company is financially very strong, so it can use the electronic media and
print to increase their sales.

Company should appear in International Industrial Exhibition. It's a great opportunity for
the company to create brand awareness in the global markets
THREAT

Chinese technology is a very big threat to pak fan.

Other competitors of pak fan offer the same products at relatively lower prices.

There are a large number of new companies set to increase competition in the
market.

STYLO Washing Machine Company invests heavy budget in promoting their

products.

Current energy crisis and electricity is a very big obstacle to the company's
manufacturing unit. Due to lack of electricity the company may not be able to
meet the demand.

RECOMMENDATION AND SUGGESTION

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Following are the suggestions to be implemented at pak fan in order to overcome the
shortcoming and flows observed by the internee.

In order to minimize production cost and to improve its liquidity ratios, the
company must try to introduce a better inventory control system in the production
process. For this purpose computers and latest technologies must be relied
upon.

In order to enhance the morale of the employee, the company must review its
remuneration package offered to them. The monetary and other benefits must be
offered on the basis of equity, i.e. the reward received by each employee from
the organization. Must be compatible with his contribution to the company.

In some department the duties and responsibilities of the employee are not
clearly defined. Resulting in dissatisfaction as to their jobs. Ambiguities about the
role and duties must be minimized.

In order to check the manipulation of quantities of the chemicals; already as has

been observed many time, the company must be install its one computerized
measurement scale.

The company must plan to construct a separate canteen for the managerial staff.
These people have been facing the lunch and entertainment problem for a long
time. This problem must be immediately resolved.

In grey department the workers are not doing work properly because without
masks they are facing breathing and other problems. The management should
provide them proper uniform.

There should be proper system of communication between high level of

employees to low level of employees as the company has very poor
communication
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The firm makes its culture strong because the lower level management is not
fully motivated by the upper management.

The decision of the firm was taken by the upper management only which may
weak the decisional power of the workers. So decision should be made by both
upper and lower management

Conclusion
I had done my summer internship from pak fan .
In Pak fan there is following departments:

Production department.

Inventory department

Maintenance department.

Packing department.

Finance department.

Marketing department

HR department

The conclusion is arrived through analysis and observation. Each department is

Working under managing director. Each department head is to report the work to
Managing director.
The organization provides a good salary package for employee based on
Performance. In production department I had found that the production process is quite
smooth.
I conclude that organization working culture is not so good; it has found that most of
them especially lower level employees not expressed view regarding work life, but some
of the experienced workers are satisfied. And satisfied with the rules and regulations of
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the organization and the relationship with co-workers and wages scheme. The company
needs an HR department to develop strategy for employee relationship.

References
http://www.wahid-industries.com/
http://www.superasiagroup.com/aboutus.html
http://www.wikipedia.com/

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