07-01-2014, 02:30 PM
MANAGEMENT OF WORKING CAPITAL AND EXPENSE ANALYSIS AT PAM PAC MACHINES PVT. LTD
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INTRODUCTION
Pam-Pac Machines Pvt. Ltd.
Pam-Pac Machines Private Limited, a joint venture company between Associated
Capsules Group, India and IWK Verpackungstechnik, Germany has a wide range of
machinery products for packaging solutions for Pharmaceutical and FMCG Industries. It
was established in 1989 and started operating in 1990. Its range of products includes
automatic blister packaging machines and highly sophisticated cartooning machines.
Pam-Pac ranges of Blister Packing & Cartooning machines have been specially
developed to add value to the product with respect to packaging innovation and to
optimize the investment in machine and its change-parts.
MISSION
It is their intention to become a global market leader in capsules and related
machinery and to concentrate on the health care business as their core area for growth.
They will use our technical expertise to create wealth in other parts of the world by
becoming a Transnational Company .
ASSOCIATED CAPSULES GROUP
Associated Capsules Group (ACG) has been serving the pharmaceutical industry for four
decades. They are one of the largest manufacturers of hard gelatin capsules in the world
comprising of ten group companies including subsidiaries in USA and Indonesia, ACG
hasmmanpowersstrengthoofoovero1200.
ACG's world-class technology provides the complete package of solutions, from empty
capsules to granulation and coating, to capsule filling, packaging films blister packing
and carton packing. Their products are exported to over 40 countries. They have installed
over 12,000 machines worldwide.
ACG is committed to Research and Development for continuous delivery of innovative
solutions. Their research teams continuously strive to develop innovative technology to
give their customers the competitive edge. SciTech Center, the group's 50,000-sq. ft. R &
D Center in the heart of Mumbai is a government recognized research institution. Over
the last 25 years, it has been actively engaged in research in the areas of dosage form
development including controlled release, pharmaceutical engineering, veterinary and
agricultural research, and particularly delivery systems.
ASSOCIATED CAPSULES PVT LTD
With forty years of experience, Associated Capsules Ltd., along with Universal Capsules
is one of the world's largest producers of empty hard gelatin capsules. Close to the
international airport & the seaport, the company's two plants at Mumbai and Shirwal,
service about 1000 customers worldwide.
The entire range of capsule sizes is provided, including special capabilities such as two-
color printing. The company is known for precision in manufacturing, intensive in-
process controls, reinforced by rigorous statistical techniques and analysis. All systems
comply with ISO 9001-2000, DMF and WHO standards. Continuous quality
improvement is pursued through a Quality Assurance Program, which ensures
consistency, uniformity and conformance to specifications.
Finance Department
The Finance department deals in the best utilization of the available financial resources
irrespective of the constraints. It is key department in any organization and plays major
role in company s success and failure. All other departments whether HR, Marketing or
Production revolves around the Finance dept only. Finance doesn t only means currency
notes or money, but any asset or liability in the company is a part of finance as the money
is invested in all these and the profitability of the company is measured after considering
all the factors.
The finance department makes the resources available to different departments and at the
end of the year it analyze the results received from utilization of those available
resources. It also analysis the opportunities to make best utilization of resources to
increase the profitability of the company by maintaining the liquidity and at the minimum
risk.
MANAGEMENT OF WOKING CAPITAL
With reference to working capital table-1, in the year 2002-03 and 2003-04 the
requirement of the working capital increases in the month of March. The main reason for
increase is high sales and more receivables in last month. The sundry debtors are
increasing due to the high sales in the month of March resulting to high average
collection period, which has been analyzed under Debtor analysis. In the year 2002-03
there is also an increase in advances to employees for foreign travel in the month of
March. There was also increase in the deposits in excise and other assets.
But in the year 2004-05, the working capital has decreased in the month of March due to
decrease in current assets by 0.86% and increase in current liabilities by 6.1%. The
current assets are decreasing due to the decrease in inventory, cash & bank and other
assets, though there is an increase in the sundry debtors. The current liabilities are
increasing due to the increase in creditors and provisions.