ETELL TRADING PLC

251-911792973 Email –etellcorporate@ gmail.com

Your Loyal Partner!

COMPANY POLICIES

BY:GEZAHEGN TIBEBE

November 2020

ADDIS ABABA,ETHIOPIA
 ORGANIZATION POLICY

We are living in a very competitive and throat cut environment; in order to

cope up with in this environment and lead the company strategically is

mandatory. The policies which will align with the strategic plan enable to

effectively & efficiently attain the company and attain the vision. The overall

policies are road map which answer ‘Wh’ questions, determine present and

future decisions and positions on management.

Objective

 Serve us road map

 Executing technique

 Management philosophy

 Encompasses all policy

 I. Mission, vision & values statement

Vision

To be among the leading top 10 Africa’s multinational

Companies

Mission

Assuring Profitability and all rounded Development through

establishing Strong Team work, innovative, Dynamics, providing

research based Customer centric products.

Values

 Satisfying customer through improved, continuous and quality,

customer driven service.

II. Management Philosophy

 The hotel Top management will be the shareholders, among the

shareholder the Managing Director will part of top management

duties, among duties of managing director shall be formulating

company strategy, Alternative ways of doing and responsible for the

overall organization success.

General Manager: - is appointed by the director based on the

memorandum of association and article. The manager is responsible

to execute the strategy developed by top management and the

overall company operations.

External Auditor: - are appointed to have well organized

professional accounting system

Legal advisor: - are appointed to run organization as per legal

requirements

The management system of hotel:-

II.1 Management Philosophy

2.1.1. Democratic
 o The management will follow a democratic clear systemized

management philosophy

o Any member of the organization should reflect and

accustom democratic way of thinking presentation and

conflicts handling.

2.1.2. Participatory

o Any member of the organization or team will participate in

the organization decision making.

o Each department of the organization held departmental

meeting and same time management meeting.

o Every Quarter the board will make the meeting with the

management.

2.1.3. Planning bottom to up

o Every employee of the organization will participate the

planning process by stating the equipment demand, sales

 forecast and related issues, and the management will

compile the departmental planning and develop the overall

organizational Strategic and other plans.

2.1.4. Free wheel of discussion

o Any member of the organization is encouraged for the idea

he/she bring to the organization

o In board meeting or management meeting or departmental

meeting are allowed to freely contribute their idea

2.1.5 Merit based appraisal

o Any employee in the organization is promoted based on

merit and the company use 360’appraisal technique and

every month the performance salary shall be determined

based on appraisal where;

86-100(full performance salary)

80-85(85% of the performance salary)

 75-84( 80% of the performance salary)

60-74(75% of the performance salary)

2.2 Cost driven and diversification of service

 Cost Leadership in order to get economies of scale

advantage and competitive producing things cheaper

and diversify the service; the company can be engaged

in vertical integration (backward-forward) ,diversify

products that enable to get the lion share.

2.3 Organization Secret and manager acts

o All member of organization especially management should

respect the organizations secret.

o Mangers and every team of the company should execute

their Duties and responsibilities as per the organization, job

description and Country laws

2.4 Succession plan

 o Employees based on the merit appraisal can be selected for

the next management post and day to day activities of the

organization mangers are responsible for the succession

plan.

3.Organization chart

Is a pipe line which show the flow the organization activities in

systematic manner and also enable us to understand division of

labor, scalar chain, duty & responsibility, the number of Managers,

line managers and staffs, unity of direction, reporting channel, job

design and redesign, flexible & adoptive with situations(dynamic).

Even if meanwhile the overall corporate chart developed this show

the ETELL GPS part

 General
Manager

OPERATION
MANAGER

Sales &
Finance Marketing Technician Admin

4. ASSET MANAGEMENT

4.1 Fixed asset management

 Every Company Fixed assets are recorded on the fixed asset

ledger both in computerized and hardcopy

 Every member of company team are responsible for the record,

safely keeping and appropriate use.

 Based on the fixed asset lifespan management and record ,assets

are replaced ,discarded and sold ;the management system enable

the when to do the options.

 Any fixed asset discarding and residual must be approved by the

general manager.

 Twice a year fixed asset should be undertaken to know the status

of the assets by GS

 Depreciation: According to the Ethiopian Revenue authority

Recorded or transacted

 During recruitment & separation the HRM department shall

provide and receive assets taken for work purpose.

4.2 Inventory Management

 The property management system enable to manage the

organization stock management every goods shall be received

with goods receiving voucher and issued with issue voucher

 ,each vouchers must be approved with manager and reconciled

with purchase order. The minimal stock level for each good can

be determine during the operation time ,the minimal stock level

is the buffer stock of reorder time.

 Every month physical count will be made and reconciled with

stock card and the finance financial software Inventory and

property record

o Every Store items should be inventoried by the end of the

month.

o Every fixed asset should be counted twice in a year and

reconcile with the property record ledger

4.3 Cash & Near Cash management

The sales of the company may rely on credit sales for organization and

cash sales for individual and organizations.

4.3.1 Credit sales:

 Any Credit sales must be guaranteed with official letter or

Agreement or Voucher.

 The credit sales made should be collected with 21 days.

 Any Credit sales beyond 21 days must be management decision or go

to legal issue.

 According to the time demand limit of the credit sales to be fixed for

individual, groups, companies, customer by management.

 After the payment of credit sales it should be cleaned from the

system.

4.3.2 Cash Sales

 Which arise from VAT sales and Non vat Sales should be

deposited and must be same with the system update.

 The deposited slip with daily cash in and out flow, should be

reported to the management on daily basis.

 Any advance payment deposited and received by advance

receipt and the copies of advance receipt should be distributed

to and management.

 Main cashier should sign on delivery note and the copies of

delivery should be given sales cashier

4.3.2.1 Cash payment:

4.3.2.1.1 Petty cash

 Any payment up to 2990.00 Birr shall be paid from the

petty cash

 Any petty cash payment follow the requester checked by

and approval

 Petty cash must be replenished when it reached 25%

 Even if the petty cash is determine based on the time

variable the petty cash amount is 5,000 birr

4.3.2.2 Cheque Payment

 4.3.2.2.1Credit Purchase payment :

1. Any credit Purchase payment have to be paid as per

monthly basis and agreement made time span.

2. The purchasing department prior to credit

agreement should collect a proforma of minimum 3 for

each item suppliers

3. Government and utility payment: The payment of VAT,

Income tax, pension, Withholding Tax, Internet and fax,

water and electric, and annual profit tax should be paid

in accordance to their time schedule with CPO’s (Cash

Purchase Order) or Cheque.

4.4 Internal report:

Both qualitative and quantitative report can be reported on daily,

weekly, monthly, annually as needed any time on demand. Financial

reports, more of Cash flow, Income statement report should be present

of management by finance department by the end of the month. Non

finacail reports regarding the organization weakness, strength,

opportunities, threats ,HR, Finance, Marketing ,problems and action

taken and cannot be determined in financial term.

The report encompasses cash in and cash out, credit and cash sales, any

payment outstanding and doubtful cautions.

4.4.1 Financial Report & audit:

Financial reports according to the rules and regulation of Ethiopian

Revenue Authority should follow (GAAP) or IFRS Procedures

(International Financial Reports Standard). The report Encompasses

Income statement, Balance sheet, Cash flow, and Change return

earnings

o The External auditor will check the physical financial report after

draft accounts given to management

o The management will write the letter to audit firm to undergo the

audit process

4.5 Budget & Accounting Period:

 4.5.1 Budgeting:

o Top management will approve the budget for the fiscal year done

by management

o The finance department will pay and follow sales in accordance

with the budget approved and make financial analysis

4.5.2 Accounting Period:

o The accounting period will be divided quarterly for internal

purpose

o The accounting period nationwide will be Hamle 1 to Sene 30