Pankaj Final Report

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A project Report

For

Infodart Technologies India Limited

By

Mr. Pankaj Singh (45)

Mr. Shrikant Kshirsagar (23)

Under the guidance of

Mr. Jitendra Sonawane

(Senior SD Consultant)

Submitted to

Infodart Technologies India Limited

In the partial fulfillment of the Requirement

For the award of the degree of

Master in Business Administration

Through

Maharashtra Institute of Technology,

Aurangabad, Maharashtra

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G.S. Mandals,

Maharashtra Institute of Technology.

Aurangabad.

Inplant training report on

Infodart Technologies India limited, Aurangabad

Submitted by Project Guide Internal Guide

Shrikant Kshirsagar Mr. Hemant Aundhekar Prof. Amol

Murgai

Pankaj Singh Mr. Jitendra Sonawane

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Declaration

I do declare that the In Plant Training report entitled:

Infodart Technologies India limited

Has been prepared & submitted as a part of the curriculum for the degree

of Master of Business Administration, Maharashtra institute of Technology

Aurangabad.

I also declare this In Plant Training Report is a result of my effort & no part

of it has been submitted to any other organization.

Mr. Shrikant Kshirsagar

Mr. Pankaj Singh

MBA (Semester III)

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Acknowledgement

Talent and capabilities are off-course necessary but opportunities and right

guidance are two very important Back-ups without which no one can climb

the ladder to success.

In plant training is indeed an important aspect of MBA programs and

it is our great privilege to have this training in such an esteemed enterprise

like Infodart Technologies India ltd., which provided us the opportunity

to complete our in-plant training work.

We wish to express our gratitude to Mrs. Laxmi Shetty (HR

Manager), Mrs. Sunita Bhonsle (Lead consultant) and Mr. Hemant

Aundhekar (Lead consultant)Infodart Technologies India ltd., and

all the employees for their Valuable knowledge, guidance and support. We

are much thankful to them for providing their valuable time and providing

all necessary Information whenever required to accomplish this project.

Finally, we would like to express our gratitude & Sincere thanks to

Mr. Jitendra Sonawane (Senior SD consultant), Mr. Samir wadajkar

(Senior PP consultant)and Mr. Pradeep Sharma (Senior QM

consultant) for their constant support in our In-plant Training.

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Date: 21th September 2010To,HOD,Maharashtra Institute of TechnologyAurangabad.

This is to certify that Mr. Pankaj Singh has completed his summer InplantTraining with Infodart technologies India Limited for a period of 15th July to31st August 2010.

We appreciate his active participation and wish him all the best for hisfuture

Best Regards,

For Infodart technologies India Ltd.

Laxmi ShettyITIL HR

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PART-1ECECUTIVE SUMMARY

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EXECUTIVE SUMMARY

Since the Inplant Training is to be completed in a very short period of

time it was not at all possible to acquire an in depth knowledge of the

overall working of the Industry. The Inplant Training was carried out with a

view to absorb as much possible from the relevant departments concerned

i.e.

Human Resource

Purchase

Finance

Considering the size of Industry and the volume of work handled it is not at

all feasible to acquire detailed knowledge of all the aspects in an Industry.

These factors forced to adopt a purpose-centric approach. In view of the

circumstances it was only possible to have an overall knowledge of the

working atmosphere in the Industry and to some extent detailed knowledge

in the specialized areas. The scope of the training was very restrictive in

nature but against all odds it yielded substantially in the form of

tremendous Value addition. The main focus was concentrated on

monitoring and observing the working pattern in the above mentioned

three departments. A very detailed and minute observation on the working

of these departments was provided to us during the course of training

period. The interaction with the departmental head guided us and was very

helpful in framing a picture about the working of these departments. They

helped a lot and provided some very valuable information on varied topics

and their experience in the Industry. These inputs delineated the restrictive

nature of Inplant Training and gave a very good insight into the working of

these departments.

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1) OBJECTIVES OF IN-PLANT TRAINING

For any MBA student, a learning combination of theory and practice isan invaluable asset, as it helps in understanding the core principles ofbusinessby way of first hand experiences. This in-plant training is a stepping stonewhich will groom me for my future in the corporate world.

Following are the objectives of In-plant training:-

To get an Industrial learning.

To learn functioning and operations of different departments like

Human Resource, Finance, Marketing, Services in an organization.

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PART II

INDUSTRY OVERVIEW & COMPANY

PROFILE

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COMPANY PROFILE

Shri Nandlal Madhavlal Dhoot, the founder of the Videocon Group,

was a successful sugarcane and cotton cultivator. He boldly took upon an

entrepreneurial venture by importing machinery from Europe to set up the

Gangapur Sakhar Karkhana (Sugar Mill) in 1955. Those were the times

when the village did not even have electricity. Thus was unleashed an

Industrial Revolution.

In early 80's Nandlalji initiated his three sons - Venugopal, Rajkumar and

Pradeep into business. Through a technical tie up with Toshiba Corporation

of Japan, he launched India's first world-class color Television: Videocon.

Today, Videocon is household name across the nation- India's No. 1 brand

of Consumer Electronics & Home Appliances, trusted by over 50 million

people to improve their quality of life.

INFODART TECHNOLOGIES INDIA LTD.

Infodart Technologies India Ltd (ITIL) is a part of 3.5 Billion Dollar of

VIDEOCON group. Infodart is committed to deliver value added services in

areas like Enterprise Software Application, Solution integration in the

Enterprise segment, IT Infrastructure, SAP implementation, Support and

Education Services.

ITIL has implemented SAP Applications globally over 13 countries with client

specific requirement in core Financials, Manufacturing, Supply Chain,

Business Intelligence, and Enterprise Portal.

Infodart Technologies India Ltd. was incorporated in India as a limited

company during August 2007 and now looking to take on the world.

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COMPANY PROFILE

1. Built-up area - 15000 sq. f

2. Last year profit - Rs.38 crore

3. Canteen facility - Available

5. ISO/QS - ISO 9001-2000 Certified

6. Bankers - Deutsche & ICICI bank.

7. Weekly off - Friday & Saturday

9. Services Provided - SAP Implementation

& Support

10. No. of Employees - 69

12. Staff - Well trained technical

and non technical

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Board of directors

Mr. Venugopal N Dhoot

Mr. Pradeepkumar N Dhoot

Mr. K C Srivastava

Mr. Satyapal Talwar

Mr. S Padmanabhan

Maj. Gen. S C N Jatar

Mr. Arun L Bongirwar

Mr. Radhey Shyam Agarwal

Ms. Gunilla Nordstrom (Nominee - AB Electrolux (Publ))

Dr. B N Singh (Nominee - IDBI Limited)

Mr. Ajay Saraf (Nominee - ICICI Bank Limited)

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Nature of business carried out

SAP implementation & support

IT Services

Consulting Services

Learning Services

Hardware sales

Service provided and other products

Consulting Services

IT services

Learning services

Hardware sales

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Consulting services

Todays businesses need partners who can talk about strategy and

technology in the same conversation. At Infodart Technologies India Ltd.,

we believe true value from technology requires an in-depth understanding

of business strategy. Our cross-industry consulting services help you craft a

vision for your organization and then provide a specific, practical business

and technology framework that will make that vision a reality. Our

consulting competencies spread across business, process, quality and

technology consulting Services team of technical and business process

experts delivers an integrated services portfolio. Our professionals

expertise and experience is applied to evaluate the way you do business

today, and deliver a solution to:

Reduce Operating Cost.

Strengthen internal controls.

Increase visibility.

Reduce cycle times to improve service to customers, suppliers, and

the lines-of-business.

Through strategic partnerships with retail technology leaders including

SAP, IBM and HP Infodart Technologies India Ltd. delivers innovative,

industry-leading software, hardware and consulting services that are

especially designed for the fast-paced world of specialty retail.

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IT services

Infodart Technologies India Ltd. offers IT services to large enterprise

companies and software product companies. With development centers in

India and the U.S., Infodart Technologies India Ltd. provides IT services to

conceptualize, develop and deploy business solutions that reduce cost and

improve performance for leading companies worldwide. With focus on

quality, Infodart Technologies India Ltd. delivers business applications that

are engineered to perform and scale, reliably and predictably.

The ability to observe, assess and recommend process improvements to

assist our clients in the achievement of their goals through the appropriate

implementation of technology by professionals, continual improvement and

maintaining the highest level of client satisfaction are all part of the

comprehensive solutions we offer.

Infodart Technologies India Ltd. has a pool of experienced resources

knowledgeable in various business domains and technologies. Its vast

experience coupled with proven practices give Infodart Technologies India

Ltd. an edge in delivering business value on time and on budget.

Be it a product development, system integration, IT Infrastructure orDatabase maintenanceInfodart Technologies India Ltd. understands,

identifies, and meets the client's requirements by providing the right mix of

personnel. We can provide end-to-end project execution onshore, offshore,

or in a hybrid delivery model we see all OneShore.

Our team has expertise in the areas of:

Internet and Enabling Technologies

SAP implementation and support

Enterprise Resource Planning (ERP)

Technical Support

Web Services

Supply Chain Management (SCM)

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Learning services

Infodart Technologies India Ltd. is Authorized Education Partner of SAP.

Infodart offers partners, customers, and independent consultants

comprehensive training in SAP solutions and provides best business

solutions. We have SAP E-learning school to manufacture professionals who

will give their enormous efforts to the organization.

MODULES AVAILABLE

mySAP Financials (FICO)

mySAP Human Resources (HR)

mySAP Supply Chain Management - Order Fulfillment (SD)

mySAP Net weaver(EP)

mySAP Supply Chain Management - Procurement (MM)

mySAP Supply Chain Management - Planning (PP)

mySAP Advance Business Application Program (ABAP)

mySAP Exchange Infrastructure (XI)

The course duration has to be complete in 4 months from the joining of thecourse or within 200 hrs which ever come first. In which we will provide you

the training of Implementation, Customization and the Configuration part of

Different SAP modules. Along with this we will provide you the Projects with

the help of which you can start you Career as a Consultant or in the Support

field of SAP.

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Facilities:-

Loan Facility available from HDFC BANK ( Bombay ) & saraswat bank

(Aurangabad ) Robust Infrastructure

100% online training

Placements after Completion of this course we will provide you 100%

JOB ASSURANCE with the help of placement tie-ups where we will

place you in (INDIA & OUT OF INDIA).

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VISION

To become internationally recognized IT organization in the field of IT

enterprise solutions, education, IT infrastructure solutions and emerge asone stop IT solution provider of Business Enterprises in a period of three

years.

MISSION

Set unparallel benchmarks in respect of time, cost and delivery in providing

quality IT Enterprise solutions to Large, Midsize and small business

enterprises.

AWARDS

At a glittering awards ceremony held on 27th August 2007 in Delhi,

Videocon Group of Companies has been awarded the coveted SAP ACE

2007 Awards for Customer Excellence, in the SAP Special Recognition

Award Category.

Videocon, which is a ramp up customer of SAP, was given this award

in recognition for implementing a template SAP Best-Practices-based

solution across 5 countries using global ASAP methodology within a short

period of 5 months. It may be recalled that Videocon has won such a

coveted award from SAP AG for the second consecutive year. Videocon won

the award in the category of Best Consumer Sector Implementation

(Consumer Products) last year. At a ceremony titled Celebrating

Customer Success, held on 27th September 2006 in Mumbai. SAP ACE

2006 received 156 nominations from 85 organizations from India and Sri

Lanka for awards in 16 categories.

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Major Customers

Videocon Industries Ltd. (Mfg.), Aurangabad

Videocon Industries Ltd. (Mktg.), Aurangabad

Videocon Industries Ltd. (Glass), Bharuch

Bagla group of industries, Aurangabad

Garware polyester limited, Aurangabad

VIL (EKL-HEL), Mumbai

Value Industries Ltd., Aurangabad

Trend Electronics Ltd, Aurangabad

KAIL-MFG, Kolkata

KAIL-KENSTAR, Aurangabad

KAIL-SANSUI, Mumbai

MAIL, Hyderabad

Applicom (INDIA) Ltd., Bangalore

REPL, Ahmednagar

SKY Appliances Limited, Anjar

Hyundai Electronics India Ltd., Noida

Hyundai Electronics India Ltd., Mumbai

Techno electronics Ltd., Kashipur

Unity Appliances LTD, Madurai

Middle East appl. LLC RUSAYL, OMAN

TekCare India Pvt. Ltd. Aurangabad

Goa energy pvt. Ltd, Goa

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Major Competitors

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PART III

FUNCTIONAL AREAS

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HUMAN RESOURCE DEPARTMENT

Management is to MANAGE MEN TACTFULLY through there are othermajor organizational function such as financial management etc. it is

undoubtedly the management of the human resources that provides all

other organizational function.

In short human resources department is that part of the total

management of an organization which specifically deals with human

resources in respect of:-

a) Their procurement

b) Their Development in terms of skills, knowledge & attitude

c) Their motivation towards the attainment of organizational objectives

by creating and maintaining an organizational limit conducive to such

development.

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FUNCTIONS OF HR DEPARTMENT

1. Human Resource Planning

2. Budgeting

3. Job analysis

4. Recruitment :-

a) Internal Recruitment

b) External Recruitment

a) Internal Recruitment: - Promotion

Empowerment

Transfer

Training and Development

Performance appraisal

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b) External Recruitment: - Advertisement

Sourcing

Screening

Interview

Reff. Check

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The Main functions of HR dept. are as follows.

A) Procurement Maintenance of adequate work force (employees) as

regards to both-

Number & quality of HR

- Recruitment

- Interviewing

- Testing

- Induction

- Promotion transfer discharge

- Employment record.

The first activity of this department is to employ the right type of person

to operate the organization & if the organization does not possess right kind

of people, it leads to lowered production & employee morale & increase

absenteeism & labor turn over.

Recruitment is a major Step in the total staffing process. It is the

process of searching for prospective employees & simulating them to apply

for jobs in the concern, sources of new employees.

a) From within company.

1) By promotion

2) By transfer

3) Former employees who had good service records when they left

b) From outside the company

1) Through press & other advertisement

2) Through personnel consultants

After attracting a number of applicants through various sources

described earlier, the next stage is the selection process. I.e. to select the

person most appropriate for the organization. The different procedural

steps involved in the selection process are.

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a) Job descriptions

b) Application form

c) Interviewing

d) Physical Examination

After the selection of the employee they are introduced or oriented to the

origination, which is known as induction. The employees get the overall

idea of all the departments of company & the respected employ or this

dept.

Then the employees are place to the respective departments as per their

work experience & the job description.

The personnel department also assesses the merit rating or the employees

which is nothing but a systematic & orderly approach to assess the relative

worth of an employee working in organization in terms assesses the merit

rating of the employees which is nothing but a systematic & orderly

approach to assess the relative worth of an employee. Working in

organization in terms of his job performance, integrity, leadership

intelligence, behavior etc. the Merit (Performance appraisal) forms a basis

for.

1) Wage increase

2) Promotion

3) Special assignments

4) Training

5) Transfer

6) Discharge

B) Maintaining satisfactory personnel contacts & employee relationships.

1) Job analysis and Job specifications

2) Labor records & labor statistics

3) Handling grievances

4) Labor turnover.

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C) Maintaining employee health

1) Health standards

2) Sanitation control

3) Physical examinations

4) Hospitalization

D) Maintaining employees safety.

1) Safety standards:

2) Safety guards & inspections of safety equipment

3) Fire protection & accident investigations.

E) Maintaining employee Welfare

1) Saving & investment plans

2) Group insurance

3) Profit. Sharing

4) Societies.

F) Discipline:

The HR manager applies two types of disciplinary action. First is

positive discipline and other is negative. In positive discipline the creation

of an attitude of mind and an organizational climate in which employees

willingly conform to rules and regulation. It is a concept of self discipline

and self control. When the employees fails to respond positively, the

management uses negative discipline in this case management gives

punishments to the employees they may be in the form of written memos,

fines, demotions, temporary discharge and dismissal.

The Facilities that the company gives & schedule that the it follows is as

under:

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Working Hours:

All departments in the factory follow the following time schedule:

First shift : 07.00 to 15.00

General Shift : 09.00 to 17.30 Attendance System:

The attendance system here at ITIL is operated through Card System to

keep time records. In the card system the employee have to swipe the card

at time of entering and exiting the company. The personnel department

keeps the record of such cards to assist all the details at a glance like

wages, leave records, late coming details etc.

Leave Facility:

In each year confirm employee can avail leave as follows:

Privilege leave : 17 Days

Sick leave : 5 Days

Casual leave : 7 Days (Depending upon grades)

Medical Facility:

The company has provided the first aid facilities within the campus. In

case of severe injury/illness, company makes an arrangement to take the

concerned employee to the hospital industry.

Loan Facility:

This facility is applicable to all the permanent employees of the company.The company provides loan to the employees for vehicle, contingency loan

and also on medical ground. The maximum limit for such loans is depending

upon the category & grade.

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PERKS:

Company provides the following perks to all the confirmed employees:

1. Medicines.

2. Canteen allowances.3. Bonus.

4. House rent allowances.

5. Reimbursement on conveyance.

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FINANCE DEPARTMENT

Introduction

Books maintained by the department

Objectives

Introduction

Profit is the main objective of any business. Infodart technologies India ltd

has very active Finance Department. Finance Department is very important

to know the amount of profit earned or the amount of loss suffered during

specified period of time.

Books maintained by the department

As per the accounting rules, ITIL maintains all the records in proper

accounts books.

Books maintained are:-

1. General ledger

2. Cash & Bank book

3. Journal voucher

4. Purchase book

5. Sales book

6. Loan to staff ledger

7. Suppliers ledger

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Registers

1. Purchase order register

2. Sales

3. Traveling expenses register

4. DD purchase register

5. T.D.S. summery register

6. Cheque issue register

Vouchers

1. Material purchase voucher

2. Capital purchase voucher

3. Expenses purchase voucher

4. Bank payment voucher

5. Cash payment voucher

6. Closing stock voucher

7. Traveling expenses statement

All these vouchers are entered in to various sub-ledgers: -

In General Ledger, there are 3 types: sub-ledger, regular, outstanding

ledger. Mainly sales and sales debit note, sales credit note, purchase

credit note, Cheque receipt voucher, and journal voucher all the types of

entries are taken as there is monthly closing company makes and

prepare General ledger and Main ledger.

All the entries are posted in accounts and ledger, which prepared

Balance Sheet as it has its own computerized accounting system.

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Objectives :

1. To record the day-to-day financial position of the business.

2. To maintain accounts systematically as per the company Act.

3. To know the amount profit earned or loss suffered during a particular

accounting period.

4. To know the amount of Assets and Liabilities in the business on any

particular Date.

5. To review the progress of the companys business from year to year.

Functions :

1. Ensuring a fair return to share holder.

2. Building up reserves for growth and expansions.

3. Ensuring financial discipline in organization.

4. Ensuring maximum operational efficiency by efficient and effective

utilization of financial funds.

5. Dealing with banks for working capital.

6. Maintenance of all banks accounts and their reconciliation.

7. Deposit of Cheque received and their release to department.

8. Reduction of tax-deduction at sources from party payments.

9. Advance payments of parties.

10. Retirements of documents received through banks.

11. Preparation of pay roll.

12. Disbursement of wages.

13. Cash handling.

14. Fund management and preparation and monthly cash forecast.

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PURCHASE DEPARTMENT

The Purchase department of Infodart technologies India ltd plays a very

important role, because purchasing has its effect on every vital factor

concerning the manufacture, quality, cost, efficiency, and prompt delivery

of goods to customers. Here in ITIL its function is to procure computer

Hardware at the most favorable terms consistent with maintaining the

desired standard of quality.

The main function of the purchasing department is firstly register suppliers

and secondly placing the purchase order.

Registration of suppliers:-

The suppliers are sent the registration form

The respective buyers are identified

Scrutinize the information provided by the supplier

Arrange for a visit by concerned personnel if necessary

Include the name of approved suppliers in the list of

Suppliers.

Functions of purchase dept. :-

Maintains relationship between co. and vendor

It works on vendor evaluation

Helps in finalization of price of products and cost reduction

Supports to custom clearance

Helps in rates amendment process

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Executives of the dept. go for vendor visit, prepare contract letters

with its vendors.

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What Is SAP?

SAP was founded in 1972 in Walldorf, Germany. The name is an acronym

for Systeme, Anwendungen, and produkte in der Datenverarbeitung,

meaning systems, applications and Products in data processing. SAP is in

a consistent state of change with over 9,000 developers and researchers

adapting it to the market and striving to offer consistently better business

Solutions. As a result, the company is the worlds leading enterprise

resource planning software provider.

With over 30 years of experience and being utilized in over 25 industries

and approximately 34,600 companies, it is estimated that SAP has

approximately 120 million users in more than 120 countries around the

world. With such an impressive history it is not surprising that today SAP

offers a wide range of solutions, products, and applications.

Different modules in SAP

SAP-Sales and distribution module(SD)

SAP SD is the Sales and distribution module of the SAP ERP software

package from SAP AG.

Sales and distribution is integrated with other modules such as MM,

PP, QM, PM and FICO.

SD is used for Sales and distribution of products

Broadly, the various levels that can be defined for a SAP SD

implementation are: Client, Company Code, plant, Sales organization,

distribution channel, Division.

The main functionality within SD includes Presale activity, sales order

processing, Delivery, shipping, billing, payments

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Explanation of the important terms used frequently inSAP and mainly in SAP-SD

Client

A grouping or combination of legal, organizational, business and/or

administrative units with a common purpose. In VG 400 is Production

Client which means live business data, 300 is Quality Client or Testing

client, 310 is Training Client, 220 is Development Client.

Company Code

This level represents an independent accounting unit within a client. Each

company code has its own balance sheet and its own profit and loss

statement. This is Four Digit Numeric Code.

e.g. 2800, 1000, 2000 etc.

Plant

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Operational unit within a company code. Example: production facility,

branch office.

Sales organization

The Organizational unit that sells & distributes products negotiate terms of

sales and is responsible for product & customer claims

Distribution channel

The way in which Products & Services reach each of the customer.

An example is Franchise.

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.

Division

Division is Combination of similar products.

Sales process

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Company Code

Salesorganization

Distribution

channel

Distribution

channel

Division DivisionDivision


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SAP-PP introduction

SAP PP is the production planning module of the SAP ERP software package

from SAP AG. Production panning is integrated with other modules such as

MM, SD, QM, PM and FICO.

PP Module in SAP deals with planning and manufacturing process. Basically

there are three types of manufacturing process handled in SAP.

They are

1. Discrete manufacturing:-

Suggested to the industries where various products are made in different

quantities with frequent changes in processing.

E.g. engineering industries manufacturing industrial valves, battery

2. Repetitive manufacturing:-

Suggested to the industries where similar products are produced over a

long period of time with least or no changes in process

E.g. Bottling plant, automobile manufacturing

3. Process Industries:-

It is similar to discrete manufacturing. However, in process manufacturing,

link with the process control system can be handled during manufacturing.

Suggested to food and beverage industries.

E.g. manufacture of Dairy products and chemicals

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Planning process overview

The Planning Process consists of six basic steps as seen in the diagram

above.

1) Planning of expected sales quantity and production quantity done by

sales in discussion with planner.

2) Entering the planned quantity in SAP system through demand

management.

3)Materials Requirement Planning(MRP) considering the stock, expected

receipts and calculating the balance requirement for all material including

component and finished products .

4) Calculating the capacity required to manufacture the planned quantity.

5) System generates planned order for required quantities for both

component and finished products. Production activity commences.

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Master data for PP.

There are three very essential master data in PP module. They are

Bills Of Material

Work center

Routing

Bills of Material (BOM):-BOM is a list of components that make up the product. List contains

component number along with the required quantity and its unit of

measure.

Work center:-

Work center:-

Machines may be referred as work center. It is defined as the place where

operations are carried out. Apart from machine, group of persons (e.g. in

maintenance department, certain group of people may be employed for any

machinery movements etc.) may be treated as a labor work center.

Data in work center determines

Scheduling start and end of operation

Costing Cost incurred during production

Capacity planning - to plan the required capacity

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Routing:-

Routing explains how the product is to be manufactured. It may be

compared to a process sheet in the conventional system. It contains

Operations to be carried out during manufacturing

Use of material during production

Use of work centers

Quality checks to be carried out during production

Terminologies in PP module

1) Work center: - Machines may be referred as work center. It is defined

as the place where operations are carried out. Apart from machine,

group of person (e.g. in maintenance department, certain group of

people may be employed for any machinery movements etc...) may

be treated as a labor work center.

2) Planned order: - It specifies when the material is to be produced and

the quantity to be produced. It may also be referred as preparatory

step towards production. Production information is available in

planned order and it will be transferred to production order.

3) Production order: - Entire manufacturing activities are accounted in

the system through production order. It is suggested to create

production order from planned order. All subsequent activities in

production are carried out only with reference to the production

order.

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4) Confirmation: - Reporting of

How much yield, scrap and rework

Quantity of work done

Which work center is used

Who has done it

Above reporting is done with respect to production order.

5) Back flush: - Issuing of raw materials components to shop floor

automatically during confirmation.

6) Goods Issue: - Issuing material from stores.

7) Goods receipt: - Receiving material into the stores

8) Status Created: - Status of production order indicating that the

production order is created.

9) Status Released: - This status of production order indicates that the

actual production is started.

10) Status TECO: - Technically completed status, indicates that there is

no more activity to be performed to a particular production.

11) Status DLV: - This indicates Delivered status. Entire production to a

particular production order is completed

12) Unrestricted stock: - Stock available for sales

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13) Blocked stock: - Quantity in hold, can not be issued, sold or used.

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SAP-MM Introduction

SAP MM is the Materials Management Module of the SAP ERP

software package from SAP AG. Materials Management is integrated with other modules such as

SD, PP, QM, PM and FICO.

Materials Management is used for procurement of Material and

Inventory Management.

MM Module mainly has two important Master Data. They are

known as Material Master and Vendor Master.

Broadly, the various levels that can be defined for a SAP MM

implementation are:

Client, Company Code, Plant, Storage Location and Purchase

Organization.

SAP MM is all about managing the materials i.e. the resources of

an organization. These resources include Man, Manpower and

Materials.

The main functionality within MM includes Purchasing, Inventory

Management, Valuation & Assignment, Batch Management &

Classification.

External procurement of materials and services, Determination of

possible sources of supply for a requirement identified by the

materials planning and control system or arising directly within a

user department, Monitoring of deliveries from and payments to

vendors etc.

Good communication between all participants in the procurement

process is necessary for Purchasing to function smoothly.

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Explanation of the important terms used frequently

in SAP and mainly in SAP-MM

Client

A grouping or combination of legal, organizational, business and/or

administrative units with a common purpose. In VG 400 is

Production Client which means live business data, 300 is Quality

Client or Testing client, 310 is Training Client, 220 is Development

Client.

Company Code

This level represents an independent accounting unit within a client.

Each company code has its own balance sheet and its own profit and

loss statement. This is Four Digit Numeric Code.

e.g. 2800, 1000, 2000 etc.

Plant

Operational unit within a company code. Example: production facility,

branch office.

e.g. AI01, AI02, AI03, AI50, 4401, 1001 etc.

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Purchasing Organization

An organizational unit responsible for procuring materials or services

for one or more plants and for negotiating general conditions of

purchase with vendors. The purchasing organization assumes legal

responsibility for all external purchase transactions. For India its Four

Digit Alphanumeric Code e.g. VG00, while it is different for outside

units.

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Purchasing Group

The purchasing organization is further subdivided into purchasing

groups (buyer groups), which are responsible for day-to-day buying

activities. A purchasing group can also act for several purchasing

organizations.

Material Group

Material group is Client level data. Maintenance of material group is

must. It tells about which division/group the material actually belongs

to. System asks at the time of creating taxes for material group,

choice is optional.

e.g. AC-VID means A/C Videocon, ADMN ITEM means Administration

Item, RAW MTRL means Raw Material etc.

Storage Location

Storage location at which materials are stored. There can be one or

more storage locations within a plant. Physical inventory is

maintained at storage locations. Stocks are maintained on a quantity

basis only. Storage Location belongs to specific Plant.

e.g. ST06 Main Store, ST56 - FG RETURN, ST66 REJECTION.

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Process Flow In Materials Management

This is a typical procurement for a service or material consists of the

following phases:

1. Determination of Requirements

Materials requirements are identified either in the user departments or via

materials planning and control. (This can cover both MRP proper and the

demand-based approach to inventory control. The regular checking of

stock levels of materials defined by master records, use of the order-point

method, and forecasting on the basis of past usage are important aspects

of the latter.) Purchase requisitions can be entered manually or they can be

generated automatically by the materials planning and control system.

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2. Source Determination

The purchasing component helps identifying potential sources of supply

based on past orders and existing longer-term purchase agreements. This

speeds the process of creating requests for quotation (RFQs), which can be

sent to vendors electronically via SAP EDI, if desired. System centers on a

general cycle of activities.

3. Vendor Selection and Comparison of Quotations

The system is capable of simulating pricing scenarios, allowing comparing a

number of different quotations. Rejection letters can be sent automatically.

4. Purchase Order Processing

The Purchasing system adopts information from the requisition and the

quotation to help creating a purchase order. As with purchase requisitions,

POs can be generated or have the system generate them automatically.

Vendor scheduling agreements and contracts (in the SAP System, types of

longer-term purchase agreement) are also supported.

5. Purchase Order Follow-Up

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The system checks the reminder periods we have specified and - if

necessary - automatically prints reminders or expediters at the predefined

intervals. It also provides with an up-to-date status of all purchase

requisitions, quotations, and purchase orders.

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Suggestion

Infodart technologies India ltd. is one of the emerging IT Company in

Aurangabad which provides services like Consulting Services, IT services,

Learning services, Hardware sales.

ITIL provides SAP support and implementation to other industries but it is

very much restricted to Aurangabad city only hence they should expand

their infrastructure to increase their market share.

They also have a SAP e-school which provides online SAP education and

SAP certification which is authorized by SAP Germany but many students

in Aurangabad dont know about this service and they go to places like

Hyderabad, Bangalore, Delhi, Pune for SAP certification this service of

ITIL is unaware to local students just because of improper marketing if

they market that properly if would be beneficial and profit making for

them and would be very helpful to the SAP aspirants. Also ITIL learning

services does not provide all the courses for freshers so they also need

to provide these courses here.

Also ITIL doesnt do any kind of marketing for its services if they do it will

definitely attract more customers and students for their SAP e-school.

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SWOT ANALYSIS

Strengths

Effective innovative skill.

Customer satisfaction is prime goal.

Experience and skill full personnel.

Weakness

Infrastructure in small as compared to other competitors. Fees for the SAP courses in the SAP e-school is very high compared to

other service providers.

During recession when the business of manufacturing industries goes

down then the Companies which are providing SAP support to those

industries their business also goes declines.

Opportunities

Great opportunity is available in global market.

The knowledge of SAP in very limited to Aurangabad students, ITIL

should arrange seminars and presentation at college level to attract

student for their SAP e-school.

Threats

Presence of strong competitors like IBM, TCS, Accenture, Fujitsu, etc.

In Cities like Hyderabad, Bangalore, Pune the SAP certifications are

provided at very low rate compared to ITIL.

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Conclusion

For an MBA student a learning combination of theory and practice is aninvaluable asset which helps in understanding the core principles of

business by the way of first hand experience.

This Inplant- training in Infodart technologies India ltd. has given us such a

great experience about all the managerial functions and the different

modules of SAP which is going on in the company. It also helped us to

understand the exact mechanism of working of the various departments

and working of the SAP consultants.

After completing this Inplant-training we could be able to understand

much more about the Infodart technologies India ltd. Which is the most

reputed name in the corporate world.

This knowledge will help us well to establish our self in the corporate world

after completing our academic session.

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Learning Experience

Organizational learning is when managers try to improve the desire, as well

as the ability, to understand and manage the organization and the taskenvironments, with the objective of improve effectiveness. Managers can

promote the organizational learning. We get lot of knowledge with the help

of in plant Training in Organization as well as all learn how culture, Climate,

people behaves in the Organization. Organizational learning is very

essential for New Employees as well as to management Students.

During the project work, I came to know about the companys history,

vision, mission, its social responsibility, products and services offered by

them and achievements of the company. Apart from this following points

are also noticeable

How to SAP consultant works.

synchronization between staff

Healthy organization climate.

Good & ethical behavior of employees

Proper organizational structure.

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Bibliography

Books Referred:-

1. Human resource management

2. Financial Management

3. SAP Magazines

Web sites:-

1. www.help.sap.com

2. www.infodartindia.com

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Pankaj Final Report

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