Internship Report Ali

Internship Report

Name: Muhammad Ali Noor

Student ID: 2007-2-13-7010

Control Number: JS10-314

Major Field: Economics & Finance

Company: Siemens Pakistan

Duration: From 1st June 2010 to 14th July 2010

Report based on (Tick) Option 1 _______________

Option 2 _______________

Due Date of the Report: 28th July 2010

Report Submitted on: 24th July 2010

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TABLE OF CONTENTS

FUNCTIONS OF THE FINANCE & CONTROLING DEPARTMENT 4

I. ACCOUNTS PAYABLES GROUP 4

TYPES OF PURCHASES 5FOREIGN PAYABLE 5

II. ACCOUNTS RECEIVABLES GROUP 6

TRADE RECEIVABLES 6TAXES 7SALES TAX 7REPORTS 8

III. GENERAL LEDGER GROUP 9

RESPONSIBILITIES OF THE GENERAL LEDGER GROUP INCLUDE: 9MAINTENANCE OF GENERAL LEDGER: 9

IV. CASH MANAGEMENT / SECRETARIAL PRACTICES 11

CORPORATE: 11CASH TRANSACTIONS: 11

V. TREASURY GROUP: 13

LETTER OF CREDIT 13ARRANGEMENT OF LOANS 14BANK GUARANTEES 14

VI. TAXATION GROUP: 15

VII. REPORTING: 16

FOREIGN AND LOCAL MANAGEMENT REPORTING: 16CONTENTS OF THE MONTHLY REPORT 16

RELATION OF FINANCE AND CONTROLLING DEPARTMENT WITH CORPORATE OBJECTIVES18

CORPORATE OBJECTIVES 18

TASKS DONE BY ME AT FINANCE AND CONTROLLING DEPARTMENT 19

THEORIES/ CONCEPTS LEARNED AND THEIR APPLICATION 25

COURSE: FINANCIAL ACCOUNTING: 25COURSE: COMPUTER APPLICATIONS 25COURSE: INTERNET BANKING AND EPS 26COURSE: MANAGEMENT & ORGANIZATIONAL BEHAVIOR: 26COURSE: TREASURY AND FUND MANAGEMENT 27

Department to which I was attachedInstitute of Business Management 2 | P a g e

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Department: Finance and Controlling Department

Supervisor’s Name: Mr. Sohail Ismail

Designation GM, Finance and Controlling

Duration 6 weeks

FUNCTIONS OF THE FINANCE & CONTROLING DEPARTMENT


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The Finance and Controlling department is the backbone of Siemens. It handles the entire finance of the company. It provides necessary information and reports to all the business units, management, clients, employees, trade creditors and Siemens AG. These reports help business units to assist them to know the exact position of their orders, receivables, advances, and their turnover. It also helps the management to decide on sensitive matters with the help of these reports and information. Management Information System and journalization are two major activities of the department of Finance & Controlling.

General Ledger, Fixed Asset Group

Accounts Payable group

Accounts Receivable group

Cash Management Group

Treasury Department

Taxation Group

Sarbanes – Oxley Act Group

Financial Reporting Group

Corporate Controlling Group

I. Accounts Payables Group

The payables section deals in the following types of payments

Payment to vendors Payment for custom duties Payment for utility bills Salaries & facilities of employees

TYPES OF PURCHASES


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General Purchase Material Purchase

General Purchase:

The items that fall under this head are like stationary etc.

Material Purchase:

The major purchases made by the company fall under this category, items include purchase of machinery, spares, tools etc.

FOREIGN PAYABLE

The BU gives the specifications of the material it needs to the commercial department. The commercial department after finalizing all the specifications regarding that purchase issues a purchase order. A liability is generated in case of Usance LC. The Payment has to be made according to the terms and conditions of the agreement.

Siemens Pakistan deals with various foreign suppliers including Siemens AG, from where standard products are being purchased for production.

There is a need of a middle party to ensure the safety of transaction, as there is a number of steps involved before the consignment finally reach Siemens stores, and that party is Siemens’ bank, and that of vendor’s

II. Accounts Receivables GroupThe basic working of the Receivables Department can be categorized under the following three heads:


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1. Trade Receivables2. Taxes3. Reports

Trade Receivables

There are four types of receivables in which the Receivable Department deals in:

Accounts Receivable Commission Receivable Earnest Money/ Security Deposits Debit Notes

Accounts Receivable : Sales by Siemens Pakistan are made in cash as well as on credit. So for the credit sales, the amount has to be received from the clients. This amount is termed as receivables.

Commission Receivable:Commission income is another source of income for Siemens Pakistan. Those materials which are not available in Pakistan are imported and provided to clients. Siemens Pakistan acts as a communication and coordinating bridge. As a result of this service, Siemens Pakistan gets commission income. All that record is maintained by the Receivables Department.

Earnest Money/Security Deposits: When Siemens Pakistan works for a particular client, it deposits security/earnest money as guarantee that it will complete the job in hand by keeping in view all the terms and specifications mentioned in the contract. If that isn’t the case then that security would be seized by the client. On job completion, the security deposited needs to be collected. This is the responsibility of the receivables Department.

Debit Notes:Debit notes are those expenses on which both the parties agree at the time of entering into the contract. For example, if Siemens Pakistan is carrying out a job, then expenses like travelling, food,


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accommodation, etc. would be the responsibility of the client. These expenses would be reimbursed from the client. The collection of these debit notes is the responsibility of the Receivables Department.

Taxes

Taxes are also collected by the receivables department.

Sales Tax

The receivable of sale tax is a process in which the company has to collect tax from the clients to whom sales are made on behalf of the government. There are a few companies which pay tax on their own and deposit a certificate to Siemens for the record.

There are two requirements for sales tax:

a) Services Job completion Certificate is a must which is a proof that Siemens has rendered services as per to the requirements of the client.

b) Supply of Goods When the goods are supplied to the client and gets his approval in this regard, sales tax can be collected from that particular client.

REPORTS

The Receivable Department prepares the following reports:

1. Age Analysis


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2. Advances 3. Sales Report 4. Export Sales

Age Analysis:

The age analysis report shows after how much time a specific payment from a particular customer is expected to be received.

Advance Report:

If the company receives advances for sales from the clients, then these advances are adjusted in the receivable account.

Sales Report:

The sales report is the report through which the company gets to know the receivables related to the sales.

Export Sales Report:

Through export sales report, the company gets to know the foreign currency receivable.

III. General Ledger Group

General ledger forms the basis of the business accounting end product the financial statements. It is the prime accounting journal, which summarizes and presents each individual accounting head and makes it possible for the management to keep track of the performance and activities. General Ledger in Siemens is maintained in the SAP


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computerized environment. Each individual head and record is given a system-generated code by which that is identified and integrated or normalized.

Responsibilities of the General Ledger group include:

Maintaining General Ledger

Keeping records for Valuation Reserves & Reconciliation

Keeping records for orders

Keeping records and pooling Common expenses

Keeping records for accrued expenses

Keeping records for foreign currency valuation

Maintenance of General Ledger:

General ledger is central to all accounting activities in the business; each and every information that the company accounts for becomes the part of General Ledger before finally released on financial statements. Maintaining General Ledger is very important and is carried out through the use of control procedures over computerized inputs. Records are updated, reports are generated and balances are tallied. Closing procedures are closely monitored, it carried out on the last day of the closing month closing month, after which entries into the closing month are locked for postings.

Balances from different groups for information entering in the general ledger are confirmed and reconciliation are demanded from various groups for differences. In the department of Finance & Controlling various information are posted to the system including cash and bank transactions, sales invoices, suppliers’ bills. Any correction, amendment or transfer is done through journal vouchers called the booking vouchers. At the end of the each month, allocation of common expenses to various BU’s are charged from the common expenses pool according to the Strict control procedures are being followed, BU sends respective documents to the department of FC for journalization and authorization, and then documents are being checked with the parked information pertaining to that individual transaction or activity, after verifying the transaction it is posted into the live SAP system for integration. Every effort is made to ensure that any error is not made,


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but if there is an error in the BU’s provided information or error made by the FC, than booking vouchers are used for reversal, transfers, and correction of errors and for special natured transactions.

IV. Cash Management / Secretarial Practices

The functioning of cash department can be classified into two categories:

Corporate

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Corporate:

Share transactions (issuing, transferring, etc) is the major area of corporate section.

In 1978, the shares of Siemens were floated in the market for the first time. From 1978, Siemens was listed in Karachi Stock Exchange (KSE).

The distribution of shares of Siemens Pakistan can be categorized in the following two heads:

Siemens Germany Local Shareholders

Since Siemens Pakistan is a public company, therefore filing of returns is a compulsion as required by the Companies Ordinance and any major change needs to be reported immediately. It is mandatory.

Cash Transactions:

Siemens Pakistan doesn’t encourage cash transactions of large amounts. Transactions of Rs. 5,000 or more need to be done through cheque. There are also some restrictions from the Income Tax authorities.

Payments like electricity bill, telephone bill and other utility bills etc. are however done through cash. All those expenses which fall under the category of cost of goods manufactured need to be paid in cash.

There are 4 cash outlets of Siemens Pakistan i.e. in Karachi, Lahore, Islamabad and Quetta.

Cash voucher indicates:

(a) Nature of expense(b) Amount of expense(c)Name of the client(d) Signature of the issuer(e) Signature of the payee(f) Signature of the authorized person who calls for the payment


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The cash vouchers are both filed in manually as well as kept in company’s computer system. Thus the company possesses both the hard copy as well as the soft copy of the vouchers.

The cash vouchers of transactions carried out in Lahore and Islamabad are being send to Karachi on a daily basis. Since cash transactions in Quetta are comparatively less so they send it weekly.

Following are the common types of site expenses:

Transportation/Fuel Toiletries Accommodation/Hotel Electricity, gas bills Telephone/Mobile Food

V. Treasury Group:

The primary function of the treasury is to assist the company in:

i. Maintaining an effective level of liquidity and efficient utilization of resources;

ii. Complying with the regulations of the SBP for foreign exchange transactions.

Currently, Siemens Pakistan deals with a lot of banks, some of them are


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Standard Chartered Bank Muslim Commercial Bank Deutsche Bank Citibank Bank Alfalah HSBC

Letter of Credit

Letter of Credit (LC) is a bank’s written guarantee made on behalf of buyer to pay to the seller a given some of money provided that the documents presented meet the terms of the letter of credit and are presented within a specified time and at a specified place.

Parties to the Letter of Credit

1. Buyer (Applicant)2. Seller (Beneficiary)3. Issuing Bank4. Advising Bank

Other parties, if any, which facilitate the documentary credit are:

(a) Negotiating Bank(b) Reimbursing Bank(c)Second Beneficiary

Arrangement of Loans

Loans are taken from banks so that the business units can cover all their costs which are incurred in the production of goods demanded by the clients.

Types of Loans

1. Short-Term Loans

The loans which are taken for a period of 1 year or less are termed as short-term loans.


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2. Mid-Term Loans

The loans which are taken for a period of 1-10 years can be classified as mid-term loans.

3. Long-Term Loans

The loans which are taken for a period of more than 10 years are called long-term loans. This type of loan is usually taken for capital expenditures like land, equipment, building, machinery, etc. and for investment purposes.

Siemens Pakistan generally takes short-term loans for running finance.

Bank Guarantees

Bank guarantee is the irrevocable undertaking of a bank to pay to the beneficiary a certain amount of money if the expected result of a transaction doesn’t occur or the third party doesn’t conform to the specifications of the contract.

Guarantees are subject to the laws of the country in which the bank issuing the guarantee is located.

One of the responsibilities of the treasury department is to arrange bank guarantees for business units

VI. Taxation Group:

The Taxation group at Siemens looks after the taxation issues of the company.

They calculate the annual Taxation liability, tax expense, tax returns and related matters.

They functions provided by the taxation department are:

Preparation of Sales Allocation for final tax computation


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The total sales of Siemens Pak are first classified under different heads on the basis of profit centers.

The working is prepared on a quarterly basis to facilitate the preparation of quarterly computation of the income tax liability and the annual income tax return and the amount of provision to be made in quarterly, half yearly and annual financial statements.

Computation and Payment of advance tax liability and filing of quarterly advance tax return

Preparation of Annual Tax Return The taxation department also calculates the annual tax return of

SPAK. For that computation and supporting information are forwarded

to the tax consultants for review. The consultants shall prepare the annual tax return on the

prescribed format and the same shall be approved in accordance with the signature mandate.

Preparation of quarterly/annual statements under the income tax law

Consulting and advising on matters pertaining to income tax

The Taxation Department also advises the top management of Siemens Pakistan on issues pertaining to income tax regulations of Pakistan.

VII. Reporting:

Foreign and Local Management Reporting:

Corporate reporting section develops the financial reports of the company. The reporting is done in two forms:

Local Reporting Report to the Principle company i.e. Siemens AG

The above two reports are made on monthly basis and presented to the management.


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The report that is sent to Germany is first transferred into a program known as esprit.

This program gives Siemens Pakistan a front end only as the data base server is in Munich, Germany.

In this way Siemens AG can consolidate the accounts worldwide and report it to NYSE every quarter as required by the Security Exchange Commission New York.

Contents of the Monthly Report

Following are the some contents of the report

Business Results Major new orders & Turn Over Exports Ratio and Graphical Analysis Balance sheet Fund Flow Analysis Investment Accounts Receivable age analysis & advance record summary Inventory Employees

The Corporate Reporting Group of Finance & Controlling Department is a major group. It provides company wide information to both the local management and to the parent management, and thus forms a bridge between Siemens Pakistan and Siemens AG to convey the performance of the company on monthly, quarterly and on annual basis.

On the other hand individual business units and divisions report their performances to the business units and divisions of the parent company.

In the monthly report, which is also called reporting folders; there is a summary and analysis of each and every activity of the business. These reports contain details of the business results, major new orders and turnovers, exports, ratio analyses, balance sheet, funds flow analyses, investment, account receivable age analyses, advances received, inventory, valuation reserves, employees, comments on business figures, comments on overheads etc.


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Corporate Reporting group facilitates, coordinates and provides guidelines in budget preparation activity to business units who prepare these budgets. Management reviews all the budgets of various business units and approves them, and foresees that whether the targets set by the business units are realistic.

The various tasks performed by the Corporate Reporting Group include:

Budget Compilation and analysis of business figures Forecast compilation & Analysis of business figures Monthly, Quarterly and Annual Results Preparation Reporting to Local And parent management Transmission to Siemens AG

RELATION OF FINANCE AND CONTROLLING DEPARTMENT WITH CORPORATE OBJECTIVES

Corporate Objectives Ensuring management commitment to quality

Embedding high level of quality in all spheres of our operation through professional tools and methodologies, ensuring that employees at all levels master these tools in carrying out their missions within the company, while observing all safety regimens, environmental preservations and applicable statutory and regulatory compliance.

Measuring and monitoring customer satisfaction, competitiveness and customer focus and benefit, implementing corrective


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measures where required and ensuring continual improvement.

Competence and knowledge management to focus on enhancing human excellence using professional methodologies with strategic planning and competence management as concurrent .processes

The Finance and Controlling Department is one of the most important departments of Siemens as each group has been assigned a specific task. The respective group leaders are responsible for the group activities that they have been assigned to. Information for various groups is compiled for reporting purposes and continuous interaction among the groups keeps the smooth workflow. Processed Information from various business units are verified (which has been parked with the SAP system), from the evidences send by them to Finance & Controlling Department, and then is posted or booked into the system for integration, controls have been implemented as the highest priority in leading the work process and making it effective in order to meet the corporate objective of the company and to maintain its position in the market, as finance is the backbone of every organization and the case is the same for Siemens because all the transactions that take place in any business unit has to be reported here and is to be compiled and posted in the books to maintain transparency and to restrict any chance of default, adding more to the control the signature mandate is a document which has the four eye principal in which two persons are required to sign a document with respective grade and authority to maintain the soundness and helping in achieving the corporate objectives.

TASKS DONE BY ME AT FINANCE AND CONTROLLING DEPARTMENT

First Week

Starting the internship at Siemens Pakistan, I met Mr. Sohail Ismail (General Manager of FC Department).I Was sent to the respective department, where I met Mr. Ghazali who then made my internship schedule and gave introduction about the company and its operation along with the organizational chart also handed me the Accounting and Internal control manual to go through. Read most of the manual and was a good introduction about the work processes at Siemens relating to finance and controlling


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Next day started reading the remaining manual and then I was called by Mr. Shakir Husain of the Payables group. I worked with him for about a week.

He started briefing me about the functions of payable dept, told me the process of purchasing which includes generating tender in the news paper for buying bulk quantities of goods with the specifications and all the required information from the suppliers, the suppliers then submit their bids and then suppliers are contacted with reasonable bids and with good credit rating and performance record so that there is no chance of default or delay in the delivery

After selecting the supplier there is a process called purchase order form in which all the details regarding purchase amount, quantity, delivery schedule is there, all the terms and conditions relating to performance from both sides and legal issues regarding non performance from either side, there is also condition regarding credit period allotted for payment be it 30 days or 45 days or sometime its on sight payment.

I was given different purchase order forms from different suppliers to get an idea of how the purchase order is made and what are the conditions stated, I was asked to arrange the purchase orders according to different suppliers and city wise in a monthly record, it helped me a lot in learning about practical experience of ordering to suppliers and how it is done at the corporate level.

Going forward I was also told about the signature mandate which had certain rules of who can sign the documents and what is four eye principle; it is basically two people signing the document to maintain effective control.

Purchase order is signed by both B level authorities of corporate and technical group, After signing the purchase order the supplier delivers the goods as per schedule upon receiving the goods the company checks that the goods are according to the stated requirements and upon surety after checking good received letter is issued to supplier and asking him for the invoice which he sends for payment of the goods bought after receiving the invoice the bill sticker is made which contains all the details of the supplier, purchase and the taxes and posted as a liability and forwarded to the FC dept for approval , the FC dept after checking the bill sticker two people of minimum one level B


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of commercial and one level C of technical grade sign it and locks it as a payable in the account of the supplier and is paid accordingly.

He handed me over some invoices received by the suppliers and asked me to check the amounts billed and the amount of the goods ordered and asked me to match the amounts and report if there is any discrepancy, also asked me to arrange them according to the business units which were assigned different codes.

Adding more he also briefed me that some times advances are given to suppliers but with bank or insurance guarantees, advances up to Rs 100000 are signed by B level whereas above Rs 100000 are signed by level A of FC dept, in case of default from supplier or late delivery the company can in cash the guarantees by sending an in cashing letter to the bank or by using another type that is conditional encashment at the time when ordering the bank to make the conditional letter an encashment letter if the supplier defaults.. Encashment has to be done in a specified period mentioned on the bank guarantee; respective Business unit asks the FC dept to encash the guarantee if there is default by the supplier.

Second and third week

Started the week by meeting Mr. Ahmed in payables department he showed me some Letters of credit and told me how they function and supply chain management authorizes imports for different Business units and then the payable department authorizes payments for the imports as per terms and condition, in case of import from Siemens AG the supplier gets the payment from Siemens AG and then Siemens Pakistan pays Siemens AG.

I then sorted some bill stickers according to vendor number and learned how to match the pay orders with the cash payment made by agents for clearing the goods from custom and port.

Also got to know the process of making online pay orders thru SCB (standard chartered bank) online services

I was then transferred to Mr. Shoaib in the payables department who handles foreign payments in Uae and Afghanistan, he then briefed me the procedure of foreign payments the AED payments in Dubai are done through SCB bank online services and signed digitally by the signing authorities, where as other payments in dollars ,euro and


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pounds are done through Finavigate which is a an internet service through which Siemens Pakistan is maintaining an account with Siemens AG, Siemens Pakistan credits its account with Siemens AG and in turn Siemens AG makes payment to supplier in the respective currency on account of Siemens Pakistan and debits the account of Siemens Pakistan.

For payments in Afghanistan, Siemens Pakistan has bank Alfalah, it orders bank Alfalah to make payment on behalf of Siemens Pakistan in dollars, and this system is not online as bank Alfalah has not introduced internet services yet.

Started the next day by learning about LC and its terms and conditions, got a sample LC document from Mr. Shoaib in which all the details about the contract, the amount, the mode of payment, terms and conditions about payments were mentioned, about 85 percent of the amount was to be paid on receiving the shipping documents and the rest to be paid in 7 months. Conditions were also there for liquidated damages that would be deducted from the payment if there is a delay in goods receiving from 1st week at 1.25 percent per week..

Fourth week

I was rotated in the receivables department which is headed by Mr. Zafar Javed he briefed me with his role in the receivables group and then arranged a meeting with his subordinate Mr. Imran in the group

Mr. Imran briefed me the process of how receivables work in Siemens, different Business Units send them received bills and they maintain the receipts record and forward it to the payable department so the payments to the vendors could be made by the payable department according to the respective Business Unit. The total payment due is not made; it’s a certain limited amount of the receivable.

Maintaining the correct record of receipts is very important because if not recorded properly it can result in more payments than receipts.

In Lahore and Islamabad they collect receipts from different small cities like Multan, Gujranwala etc and they only have the authority to deposits the cheques received and they cannot record the cheques.

I was given the work to arrange the received cheques according to the employees and customers. And filling the deposit slips of different


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banks according to check number, amount and bank name. The customers cheques were deposited in standard chartered bank where as employees check were deposited at MCB bank

I was also told that there are two types of recording, one is of the invoice amount that is received and the other is the advance amount received which is recorded with the order number.

There are three types of cheques received, which include customers, employees and others.

Next I was rotated in the fixed asset and ledger department met Mr. Nabeel, he then showed me the manual of fixed assets and how things are done at his end including procurement procedure, terms and conditions of purchasing fixed assets, acceptation and rejection through NPV calculation and then I was given an exercise to compute NPV of some projects which were to be taken by Siemens and that I did through Excel sheet by applying the NPV formula.

Next I was rotated in the Taxation Department where I was briefed by MR. Rashid Sheikh about the Taxation Methods of the company and also handed me a list of codes which were used by the company to allot different types of transactions.

This Department was responsible to prepare and file tax return to the income tax authorities and to reconcile the tax deducted on the payments to the vendors’ and receipts from the customers.

He then handed me over different invoices and asked me to deduct the tax amount and prepare the schedule in the Excel sheet which helped me in gaining knowledge the taxation subject which I am currently learning.

Fifth Week

Started my Fifth week in the treasury Group which is headed by Mr. Imran Saeed General Manager of Treasury


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Here I was briefed by Mr. Khalil Ur Rehman, Manager, treasury who gave me introduction about the major roles and functions of the treasury department, he also asked me to read the Treasury manual in order to understand the procedures carried out by this group.

I was then asked about my learning about the guarantees and LC’s and what is the procedure for creating Guarantees and LC’s he then asked me to organize their documents, files related to the department.

Next I was told about the GREAT software, it is basically used for bank guarantees, as all the records are kept electronically as per the requirement by Siemens AG.

He also assigned me the task to enter the Vendor numbers and names of the guarantees of last 3 months in the GREAT software.

Mr. Abdul Ghaffar, who handles the bank reconciliation in treasury department, told me about the reconciliation statements in order to understand the working of statements.

I was given the exercise to prepare the record of bank reconciliation statements of last 3 months on EXCEL WORKSHEET.

Mr. Adnan also assigned me the task to check the interest calculations on the amount of loans taken by Siemens from Different banks of the daily product sheet it really helped me as I was able to know how the interest on the loan is calculated on the daily basis.

It was also added to my knowledge that how the surplus funds are used by the company and they are invested in savings account of foreign banks working in Pakistan and earning interest on those savings. Adding more to my information Mr. Adnan also briefed me that the company used to deal in forward LC’s as to hedge it self against exchange rate fluctuations but now it has been banned by the State Bank of Pakistan.

Sixth Week


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My last week was spent in the Reporting Group which is responsible for compiling all the results and budgets for the year and coming year. Mr. Muhammad Fayaz explained me that how orders are matched with the sales and whether there is over performance or under performance in the respective Business unit and how it is controlled if there is under performance and the reasons are then reported to the concerned Business units.

I was given an exercise to compute the gap between the actual and budgeted orders, sales, profits and cash flows, was also made to use different formulas to calculate the percentage of sales to net profit, the turnover ratio and the free cash flow figure which was a revision for me of the concepts that I have learned in my finance courses.

During my last week I was also shown the procedure of making budgets and allotting different targets to respective Business Units according to their past performances, strengths and weaknesses.

THEORIES/ CONCEPTS LEARNED AND THEIR APPLICATION


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Working at Siemens Pakistan was a memorable experience in terms of learning. There were many courses that I studied in graduation (BS) that helped me during my internship. I saw a lot of concepts being used and implemented. The actual importance of these courses was realized after completing the internship period. Theses courses helped greatly in grasping the concepts put into practice at the Office. Following is this list of courses that assisted me during my internship and theories and concepts that were being applied.

Course: Financial Accounting:I learnt few concepts at CBM regarding financial accounting. I really realized it’s important at Siemens. From the very first day to the last day, everything was according to the concepts as I was told at CBM.

I studied in my Financial accounting course about the recording of assets and liabilities, creating an account , making contra entries, adjusting different accounts, different types of ledgers. And this was all being done at Siemens and the thing I learned there was that all the transaction were recorded and posted through software called SAP and which made it very easy to do all the financial recordings, every individual has his own secured access and account to work and post.

Course: Computer Applications

Computer literacy is very central to the operations of any organization. Almost every task in the organization is executed through computer, in one way or the other. Computer applications course taught us how to operate Microsoft word, Excel and PowerPoint and during the internship I had an opportunity to work in detail on all the components of MS office.

I worked on MS office for almost four weeks period of my internship since I was exposed to different computer related assignments. I worked on MS Excel to maintain a record of different exercises given to me which helped me in learning new ways to enter data and to create profile through MS.

Course: Internet Banking and Eps


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The course deals with the procedures of internet banking and security systems established by different banks to promote internet banking, At Siemens I learned about the digital signing of electronic cheques and pay orders and how they are created through Standard chartered corporate account which is only available for corporate only. At Siemens I also learned about digital certificates and there verification through the Siemens AG in providing the access to vendors to post there bill through online system

Course: Management & Organizational Behavior:I learnt few concepts at CBM regarding management, organizational behavior. I really realized it’s important at Siemens.

I studied in my Organizational Behavior course that ‘better work place environment leads to better results’. And this theory is proved in Siemens working environment; every department has its own sitting place, every department has its own supplies and other stuff, every employee is provided with the same ambience as of a top level manager. The management part is also fully applied at Siemens; clear rules are laid down and they are being religiously followed by every employee. The relationship of departments’ heads with their sub-ordinates is quite a simple one; I have seen them having lunch together, cracking jokes at times together, but everything was in a professional premise. During my six weeks of internship, I learnt from my surroundings;

Organizational structure, organization charts and departments Planning, organizing, leading and controlling the organization Standard operating procedures Effective decision making process Mega environment of the organization Time management techniques Conflict management How to work in the work place and stand out.

Course: Treasury and Fund Management

This course proved to be a great help during my internship at Siemens as my faculty gave me a very good grip on the treasury role of any


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organization and how it functions and what are its basic objectives. At Siemens I learned how to open an LC and Bank Guarantee which was a practical experience of what I theoretically learned at CBM I also practically learned to calculate interest on different types of loans taken by Siemens. Also got to know that where Siemens used to place its surplus funds.

T-Bills (Treasury Bills) TDRs (Term Deposit Receipts) CoD (Certificate of Deposit) PIB’s (Pakistan Investment Bonds)

My knowledge about these instruments helped me in understanding the transactions taking place in the Treasury group; I had basic information about the characteristic and the features of the money market instruments that were being used in the actual corporate deals.


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Documents

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