Summer Internship Project

Under the guidance of

Assistance Professor Mr. Abhinav Pal
Scms, Noida

By: Himani Gera

PRN: 17021021080
2017-20

  Introduction: Summary of Internship

This internship started on 9th May 2019 at Tata Advanced Systems Limited (C-
26 sector 58, Noida) as a trainee in Finance and Accounts department. Tata
Advanced Systems Limited is a company which is mostly associated with the
manufacturing of weapons and equipments for the Indian forces. It has various
projects in the past and is currently manufacturing radars and is the only Indian
company which is doing so as before, it was bought from other countries. The
timings of the internship were 10am to 5 pm from Monday to Friday. It was a
great learning experience as I was taught on the project “ Corporate Budgeting
and Financial Planning”. This included learning about the cost budgets of
various expenses including rent, parking, stationery, manpower, etc and how
this cost is recovered from the other subsidiary and sister company which are
operating in the same location. I also learnt about the various general entries
regarding the same on the software ‘SAP’. To add on, I was taught how to
segregate the estimated profits and expenses of each project of the company and
then study the balance sheet and cash flow of the company.
The work culture of the company was friendly and supporting. Everyone at the
office were kind and humble.My manager, Mr. Mukesh Saraf was always ready
to help, guide and motivate me to learn more. In a just, the experience was
really nice as I got to know how the corporate world tends to work.
 Company Profile/Market Status or Share

Tata Advanced Systems Limited is a fully owned subsidiary of Tata Sons, a

holding company for the Tata Group.It was incorporated on 19 Sep, 2006. It's a
public unlisted company and is classified as 'company limited by shares'.
Company's authorised capital stands at Rs 250000.0 lakhs and has 21.926847%
paid-up capital which is Rs 54817.12 lakhs. Tata Advanced Systems Limited
last annual general meet (AGM) happened on 17 Aug, 2017. The company last
updated its financials on 31 Mar, 2017 as per Ministry of Corporate Affairs
(MCA). Tata Advanced Systems Limited is majorly in Business Services
business from last 13 years and currently, company operations are active.
Current board members & directors are Sukaran Singh, Ashok Sinha,
Ramadorai Subramanian, Prakash Manjanath Telang and Radhika Govind
Rajan.Company is registered in Hyderabad (Telangana) Registrar Office. Tata
Advanced Systems Limited registered address is Hardware Park, Plot No 21,Sy
No 1/1, Imarat Kancha Raviryala Village, Maheshwaram Mandal Hyderabad
Hyderabad TG 501218 IN.
It is the lead systems integration company for delivering weapons from the Tata
Group to the Indian security forces. TASL entered into a joint-venture with
Sikorsky Aircraft Corporation to manufacture the Sikorsky S-92 helicopter in
India for the domestic civil and military markets. In partnership with Airbus
Defence and Space, the company fielded the EADS CASA C-295 for the Indian
Air Force light-cargo fleet renewal program, which the Indian government
approved on 13 May 2015. Under the project 16 complete aircraft will be
imported, while 40 aircraft will be manufactured in India.The company has also
entered an agreement to produce structures for the Pilatus PC-12NG from 2016
to 2026.On 3 May 2018, Tata Advanced Systems acquired Tata Motors'
aerospace and defence unit in a sale.In Sept 2018, Lockheed Martin announced
that it is going to build all wings for the F-16 fighter jet in collaboration with
TASL. Currently, they are working upon producing and delivering unmanned
aerial vehicles (UAVs) for the Indian Armed Forces for surveillance. It has
agreements with Israel Aircraft Industries (IAI) and "Urban Aeronautics" for
cooperation and co-development of UAVs in India. This is happening for the
first time under the ‘Make In India’ program as these UAVs were bought from
another country.
 Background of the Topic

Corporate budgeting refers to the process by which a business estimates its

finances for a future period and plans its operations accordingly. In developing
a corporate budget, a business usually starts with a project plan, then determines
the amount of time, goals and costs of the project.
To achieve its goals, a business must express its strategy in a measurable way.
The business must determine whether a project is financially feasible, then link
the corporate goals with the available resources. Corporate budgeting allows
higher management develop a strategy that makes sense to those in the lower
levels of the organisation.
In Tata Advanced Systems Limited, board meetings take place to estimate a
budget of different costs like rent, electricity, manpower, housekeeping, etc. for
different locations for the company and then it is approved by the board of
directors. After that the finance team makes an AOP for the same and then
checks monthly if the costs are under the budget or not. If exceeded, necessary
steps are taken place and the extra amount is recovered from sister or subsidiary
company operating in the same location.
Also, corporate budgeting not only included the costs but estimated profits in
the current financial year ie 2019-20 for the different projects. The financial
planning includes all the estimation of different aspects of accounting like cash
flows, balance sheet, etc.
 Job or Profile assigned

The project of the internship was ‘Corporate Budgeting and Financial

Planning’.My responsibility was to check whether costs of the company were
according to the budget or not and to find out the gaps between the estimated
costs and the actual cost incurred. If the cost incurred was more than estimated,
Tata Advanced Systems Ltd. as a company raises a debit note to other
companies working in the same premises and then the cost is recovered by the
end of the financial year. This is very important as more costs cannot be
incurred as it will hamper the profits.To add upon, my responsibility included to
make excel sheets regarding various costs and then also do basic entries on
SAP.
• FB60 is for purchase invoice entry
• F-02 is for general posting entry
• Miro is the material and inventory related entry
• F-53 is for the payment entry
• F-48 is for the advance payment entry
• F-22 is for sale invoice data entry
• F-28 is for incoming payment from customer entry
• F808 is for reversal of an entry (rectification)
• FBRA is for reset of items in inventory entry
• FBCG is for petty cash posting entry
• FK10N is used to find the vendor code
• FD10N is used to find the customer code
• FS10N is used to find general account code
• FBL3N is used to find GST return data
Many Also, I had to make excel sheets regarding any information regarding
finance would be needed by the employees by the company. Rest I was told to
study various accounts to see how the accounts are made and relation between
them.
 Conclusion

At the end I would like to say that the internship was overall a great experience.
It was an insight to how things happen in the corporate world. By observing and
listening to the employees, I got to know how things are handled in an office.
Having conversations with the finance team and having a common room made
me realise how important team work and everything needs to be
synchronised.Even though the company had employees mostly working from
10 years minimum, I never felt outcasted. Everyone were ready to help and
were extremely friendly. They worked as a team and get things done on
deadlines. Everyone knew their responsibility and I also learnt a lot of things.
From codes on SAP which is software for accounting to every small detail like
GST filings, raising invoice and debit notes, etc. though I did not to do
everything by myself but I got to know how things go. It was an exceptional
and fun experience.
 Suggestions and Managerial Application

The budgeting process involves planning for future profitability because

earning a reasonable return on resources used is a primary company objective.
A company must devise some method to deal with the uncertainty of the future.
A company that does no planning whatsoever chooses to deal with the future by
default and can react to events only as they occur. Most businesses, however,
devise a blueprint for the actions they will take given the foreseeable events that
may occur.
A budget:

A. shows management’s operating plans for the coming periods;

B. formalises management’s plans in quantitative terms;
C. forces all levels of management to think ahead, anticipate results, and take
action to remedy possible poor results;
D. and may motivate individuals to strive to achieve stated goals.

Companies can use budget-to-actual comparisons to evaluate individual

performance. For instance, the standard variable cost of producing a personal
computer at IBM is a budget figure. This figure can be compared with the
actual cost of producing personal computers to help evaluate the performance
of the personal computer production managers and employees who produce
personal computers.
Hence we can use this process of budgeting in our daily life too. For example,
we can have a budget for our household costs so not to exceed the estimated
costs for increasing the savings from the income. We can also use financial
planning for how much to spend on the leisure activities as per pocket money
given by our parents.

Suggestions for the company would be none. As we all know that Tata is one of
the best companies in India having one of the best retention percentage because
the working environment is just right for an individual to work in. Overall, it
has everything which is needed to make it an ideal working place.
 Learning Outcomes

The learning outcomes from this internship are:

1) Team work: It is very important to be adjusting and working in the same
direction as others to fulfil the goals of the company.
2) Skills: I learnt about the practical aspect of the things I studied in college
and applied them in the softwares used to do accounting,
3) Professionalism: This internship helped me to be professional and serious
about the things getting in order. I got to know the basics of
communications in corporate and other attributes like discipline.
4) Manage: I learnt to manage all the work on time and also keep things tidy
and in order.
5) Networking: It is very important to communicate and have good relations
professionally with others. Being an introvert, I learnt to make contacts for
future reference and be more open in communication.