National University of Modern Languages

Faculty of Management Sciences

It is hereby certified that the report has been thoroughly and carefully read and recommended to the faculty of management sciences for acceptance of final internship report by NAVEED MIR ZAMAN, Roll No: M-10863 session (Jan 2009 to Dec 2010) Morning, in partial fulfillment of the requirements for the degree of Master in Business Administration of National University Of Modern Languages.

Dated:

Supervisor Name

_________________________

Supervisor Signature

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Panel Member Name

________________________

Panel Member Signature ________________________

Head of Department _____________________________

Acknowledgement
During my Project, several problems of technical nature emerged but all the thanks and praise for ALLAH the most Gracious, the most Merciful who gave me the knowledge, strength and patience to observe, think and analyze and all were overcome and this report was concluded in time. All the respect for the Holy Prophet Muhammad (Peace Be Upon Him) who is forever a touch of guidance and light of knowledge for mankind. I would like to acknowledge Premier Dairies (Pvt) Ltd for their valuable support, which greatly facilitated my work. Several individuals have contributed significantly to the supplementary materials accompanying the text. Now I would like to thank to all of my teachers during my MBA from whom I learnt a lot. I express my gratitude to Mr. Shahid Mehmood, (the Remittance Officer) for providing me an opportunity to work as an internee in his kind control. I would also like to acknowledge managers of all departments and staff members of the premier dairies (pvt) Ltd with thanks for providing access to the related information. My special thanks to Ms. Zonashi (Manager), Mr. Waqas (Relationship Manager), and my collegue Mr. Waqas Akram for their valuable information and cooperation. This was my first chance to study the work and management of an organization so closely where I came across real joy of proud for amicable employees as their promotion and some thrusted retirements. I have come across the practical approach of work and policies related to my subject. The whole experience gained during my internship period will be fruitful to me in future. I hope Premier Dairies (Pvt) Ltd will stand by its leading role in corporate sector and will move for further distinguish marks.

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Preference
During the MBA program we have been taught different courses in detail by high expertise of the teachers. The way our teacher tried to teach us with their level best is highly privileged but actual working experience is the only thing that makes you expert. Thats why it is a primary requirement for MBA that students should work for a period of at least six weeks with any national or international organization as an internee. In preparing this report, I have put all of my best efforts and tried my level best to give maximum knowledge. Despite of my all the coherent efforts, I do believe that there will always be a room for improvement in the efforts of learner like me. I have tried my level best to utilize my internship experience in this repot. I have given the overview on functions of company and the specifically. Being a student of finance, later on I have done analysis of companys statements. I have also analyzed the organization under SWOT Analysis and given recommendations in accordance with the findings.

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Dedication

I want to dedicate my this project to following persons Hazrat Muhammad (PBUH) Qauid-E-Azam Muhammad Ali Janah My Teachers My Parents My Best Friend Mehmood Ahmad And All Those Who Are Struggling And Fighting For Islam In Right Directions.

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Letter Of Transmittal

Head of Management Sciences Department, National University of Modern Languages, Lahore. Dear Sir, It is to present you the internship report which is executed at Premier Dairies (Private) Limited as required by the university as a degree requirement for MBA program.

This report has been prepared in accordance with the guidance issued by the department. It is the result of my first professional experience. The report is practical application of whatever I have studied as a business student of National University of Modern Languages. In this report, I have covered the introduction of Premier Dairies (Private) Limited, detail of my working and learning in company, impact of internship on career in future. I was rotated in different departments and assigned me different tasks along with my learning. I feel that this experience would be of great help in future.

I have put all the efforts to summarize my knowledge and experience in this repot to make it comprehensive and to meet readers expectations.

Sincerely Yours,

Naveed Mir Zaman

Executive Summary
This report is aimed to studying and analyzing Premier Dairies (Pvt) Ltd, in 2KM Defence Road, off Raiwind Road Lahore in particular. The main purpose of the internship is to prepare and submit a report as partial fulfillment for the award of MBA (Finance) degree from National University of Modern Languages Lahore (campus). Another major aim of this report was to get some practical experience. Now a days strong and efficient capital and financial institutions are the basic requirements of each country. So no country can be considered strong without having strong enough capital and financial institutions and markets. One of the components of these financial institutions is the Corporate sector. In this report I have tried to explain all the aspects of Premier Dairies (Pvt) Ltdwas started with an introduction to its environment and scope of its activities. In this report I have discussed the operations of Premier Dairies (Pvt) Ltd 2KM Defence Road, Off Raiwind Road Lahore. I have included Four chapters in this report and have explained a brief history of the Company following with the Companys operational structure and Products of Premier Dairies (Private) Limited. Although this period is not enough by no mean to understand the whole organizational structure but I have tried my level best to cover all areas of the company in my report. Then I discussed different departments of Premier Dairies,Then specific and leading roles are explained which I performed during tenure of my Six weeks internship. In the end, I gave some recommendation and found the conclusion of my internship. This report also highlights the operations and functions of company. Company act as the financial agents for their customer; in return they get reward for their Products. The company performance has been highlighted with the help of ratio analysis tools and result interpreted with its positive and negative dimensions and SWOT analysis as well.. company play an important role in development of the society. A dynamic company system indicates the strength of well developed economy. Premier Dairies Private Limited is one of the leading company in Pakistan. This report explains how different functions of works and what are their Products. I have also tried to turn the attention of the readers towards the functions, policies, practices and styles of field of activities of the Company. I have tried to put some useful recommendations for the betterment of the companys activities according to my study. In the end I have given some

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references by which I collected the information and able to complete this project report. This report intends to give reader a professional look.

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Table of contents: Description

i. ii. iii. iv. v. ACKNOWLEDGEMENT BOOKMARK NOT DEFINED. PREFERENCE BOOKMARK NOT DEFINED. DEDICATION BOOKMARK NOT DEFINED. LETTER OF TRANSMITTAL BOOKMARK NOT DEFINED. EXECUTIVE SUMMARY BOOKMARK NOT DEFINED.

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1 INTRODUCTION: 1.1 HISTORY: 1.2 OBJECTIVE OF STUDYING THE ORGANIZATION: 1.2.1 OUR MISSION: 1.2.2 OUR VISION: 1.2.3 OUR VALUES: 1.3 MAJOR CUSTOMERS: 1.4 NATURE OF THE ORGANIZATION: 2 MAIN PRODUCT: 2.1 VANIA TETRA PAK MILK: 2.2 PURE DESI GHEE: 2.3 INSTANT SKIMMED MILK POWDER (ISMP) 2.4 MILK CREAM: 2.5 OTHER PRODUCTS OF THE COMPANY: 2.6 NUMBER OF EMPLOYEES: 2.7 PRODUCTS LINES: 2.8 ORGANIZATIONAL STRUCTURE: 2.9 MAIN OFFICES: 2.9.1 REGISTERED OFFICE/ FACTORY: 2.9.2 COMMENTS ON THE ORGANIZATION STRUCTURE: 2.9.3 STRUCTURE OF THE FINANCE DEPARTMENT: 2.9.4 NUMBER OF EMPLOYEES WORKING IN THE FINANCE DEPARTMENT: 2.9.5 FINANCE & ACCOUNTING OPERATIONS:

1 2 3 3 3 3 4 5 5 5 6 6 6 6 7 8 8 9 9 9 9 10 10

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2.9.6 FUNCTIONS OF THE FINANCE DEPARTMENT: 11 2.9.6.1 ACCOUNTING SYSTEM OF THE ORGANIZATION: 11 2.9.6.2 PAYROLL: 11 2.9.6.3 PROCUREMENT: 11 2.9.6.4 REQUISITION: 11 2.9.6.5 THE REQUISITION IS DULY SIGNED BY THE AUTHORIZED PERSON. 11 2.9.7 INVENTORY MANAGEMENT 12 2.9.7.1 RECORDING OF THE TRANSACTION 12 2.9.7.2 ACCOUNT RECEIVABLE MANAGEMENT 12 2.9.7.3 CASH AND CASH EQUIVALENTS 12 2.9.8 FINANCIAL INSTRUMENTS. 12 2.9.8.1 OFFSETTING FINANCIAL ASSETS AND FINANCIAL LIABILITIES 12 2.9.8.2 DIVIDENDS 12 2.9.9 INTERNAL CONTROL SYSTEM: 13 2.9.9.1 FINANCE SYSTEM OF THE ORGANIZATION 13 2.9.9.2 LIABILITY AGAINST ASSET SUBJECT TO FINANCE LEASE 14 2.9.9.3 USE OF ELECTRONIC DATA IN DECISION MAKING: 15 2.9.9.4 A MAJOR PORTION OF FUNDS IS UTILIZED FOR THE PURCHASE OF THE RAW MATERIAL. 16 2.9.9.5 GENERATION OF FUNDS: 17 2.9.9.6 SOURCES OF FUNDS: 18 2.9.9.7 ALLOCATION OF FUNDS: 19 3 INVESTMENT DECISION 3.1 INVESTMENT DECISION: 3.2 FINANCIAL DECISION: 3.3 ASSET MANAGEMENT DECISION: 3.3.1 PROFIT MAXIMIZATION: 3.3.2 GENERATING INVESTMENT PROJECT PROPOSALS: 4 FINANCIAL ANALYSIS: 4.1 TREND ANALYSIS: 4.2 HORIZONTAL ANALYSIS: 4.3 VERTICAL ANALYSIS: 5 INTERNSHIP EXPERIENCE: 5.1 SALES DEPARTMENT: 5.2 ACCOUNTS DEPARTMENT: 21 21 21 21 22 23 24 34 37 40 45 45 45

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5.3 QUALITY ASSURANCE LAB: 5.4 PRODUCTION HALL: 5.5 PREQUARMENT DEPARTMENT: 6 SWOT ANALYSIS: 6.1 STRENGTHS: 6.2 WEAKNESSES: 6.3 OPPORTUNITIES: 6.4 THREATS: 7 CONCLUSION & RECOMMENDATIONS: 7.1 CONCLUSION: 7.2 RECOMMENDATIONS: REFERENCES:

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