INTERNSHIP REPORT ON

BRIGHT FLEXI INTERNATIONAL PRIVATE LIMITED, PADUBIDIRE

SUBMITTED BY
PRATHEEK K POOJARY
4AL21BA059

VISHVESHWARAYA TECHNOLOGICAL UNIVERSITY, BELAGAVI

In partial fulfillment of the requirements for the award of the degree of
MARSTER OF BUSINESS ADMINISTRATION
Under the guidance of
INTERNAL GUIDE
Mrs. Priya Sequeira
HOD of MBA Department

P G DEPARTMENT OFBUSINESS ADMINISTRATION

ALVAS INSTITUTE OF ENGINEERING AND TECHNOLOGY
SHOBHAVANA CAMPUS MIJAR, MOODBIDRI.
March 2023
 DECLARATION
I Pratheek K Poojary here by declare that this Organisation Study conducted at
Bright Flexi International Pvt Ltd is a record of independent work carried out by
me under the guidance of Mrs Priya Sequeira, HOD of PG Department, Alva’s
Institute of Engineering & Technology, Mijar.

I also declare that this organisation study is towards the partial fulfilment of the
university regulation for the award of the degree of Master of Business
Administration by Visvesvaraya Technological University, Belagavi

I have undergone an organisation study for a period of four weeks. I further declare
that this organisation study is based on the original study undertaken by me and has
not been submitted for the award of any degree from any other University/Institution.

Place : Moodubidire PRATHEEK K POOJARY

Date : (4AL21BA059)
 ACKNOWLEDGEMENT
I am related to present this report entitled “organization study with respect to Bright
Flexi international private limited”. I consider it to be my privilege and pleasure to
express words of gratitude and respect to all those who have guided and inspired me
in completing this study.

It is my pleasure to extend my gratitude to our beloved principal Mr. Peter

Fernandis Alva’s institute of Engineering and technology Mijar for giving me an
opportunity to undertake this project.

I wish to express my profound gratitude to my guide Mrs. Priya Sequeira HOD of

MBA for her valuable guidance and encouragement.

I express my heartful gratitude to my external guide Mr. Santhosh Jogi, Admin

Manager, Bright Flexi International Pvt. Ltd Padubidire, Udupi for his support.

I wish to express my sincere gratitude to all teaching and non-teaching staff members
of MBA department of Alva’s institute of Engineering and technology for their
constant concern and support, last but not least I thank my parents my friends and
all my well-wishers who have directly or indirectly helped me in completing this
internship. This work would not have been possible without their encouragement and
support.

Thank You,

PRATHEEK K POOJARY
 TABLE CONTENT

SL.NO CHAPTERS PAGE No

1 CHAPTER 1 : INTRODUCTION 1-7

Introduction to the organisation
Indian FIBC In the Global Centre Stage

2 CHAPTER: ORGANISATIONAL PROFILE 8-19

2.1 Background
2.2 Nature of Business
2.3 Vision, Mission, and Quality Policy
2.4 Workflow Model
2.5 Product/ Services
2.6 Ownership Pattern
2.7 Achievements & Awards
2.8 Future Growth & Prospectus

3 CHAPTER 3: MECKANSEY’S 7s FRAMEWORK 20-28

AND 29-32
PORTER’S 5 FORCE MODEL
4 CHAPTER 4: SWOT ANALYSIS 33-36
5 CHAPTER 5: FINANCIAL STATEMENT ANALYSIS 37-50
6 CHAPTER 6: LEARNING EXPERIENCE 51-53
7 BIBLIOGRAPHY 54
8 Annexure
 TABLE OF GRAPHS AND CHARTS

SL. CONTENT PAGE NO

NO

1 Liquidity ratio or Short-Term Solvency 41-43

Ratios
a. Current ratio

b. Quick ratio

c. Cash ratio
2 Long Term Solvency Ratios 44-46
a. Debt equity Ratio

b. Proprietary Ratio

3 Profitability Ratio : 46- 50

a. Gross Profit Ratio
b. Net Profit Ratio
c. EPS
d. Return on Asset
 EXECUTIVE SUMMARY
Bright Flexi International Private Limited is majorly in null business from last 8
years and currently, company operations are active and Current board of 3 directors.
They supply FIBCs tailored according to customer specifications.

They are one of the leading Manufacturer and exporters of FIBC from India, and they
export to outside country. All FIBCs supplied by Bright Flexi are full quality tested
and comply with international standards.

Bright Flexi International Private Limited is headed by the 3 directors of the

company Mr. Anil Kumar Bansal, Abhinav Bansal, Sushma Bansal. The different
departments include HR, Accounts, costing, R&D, store & purchase, internal
transport, Logistics, Sales & Marketing production planning, quality, sample
departments.

A detailed report on the project is prepared and presented in the following pages.
This report contains six chapters which describes about the introduction and
internship, purpose of the study and many more. It also includes detailed information
about the industry profile, background of the organization. The main objective of the
application is done on McKensey’s 7s framework, Porters five forces model. In
addition, SWOT analysis had been done along with analysis of financial statement,
ratio analysis in order to interpret the financial condition of the organization,
At the end, the learning experience section which I had undergone through my
internship program.
 CHAPTER- 1
INTRODUCTION ABOUT THE
ORGANISATION AND
INDUSTRY

1
INTRODUCTION ABOUT THE ORGANISATION
COMPANY PROFILE
Bright Flexi Pvt. Ltd. [BFIPL] was established in 1986, under the guidance of the
visionary chairman, Mr. AniI .K. Bansal. It is presently, closely held & efficiently
supervised by the Bansal family. Bright is an ISO 9001:2015, certified company is
headquartered in Mangalore, Karnataka (India). The company employees over 2000
people working in state-of-the-art facilities within well-established industrial
complex area in Mangalore.

Bright flexi is an AK Bansal family group of business with 3 directors. They had
manufacturing plant in padubidre, Karnataka, India. They will produce 500 metric
tons per month. Bright flexi solutions have a wide outreach to customers in various
industries with a world class facility housing the latest up-to-date technology for
automatic material handling with Silos, machinery with auto die and thickness
gauging system, numerous high speed and output machines with technologies from
Austria and Germany. bright flexi International Pvt Ltd is a company Dedicated to
strong corporate ethical standards. Fair treatment for all of our staff is something they
are dedicated to. They actively oppose using child labour in accordance with the
Indian Labour Act, which is in line with this. All of their staff members must be

older than 18 to work for them, they guarantee.

They are fair towards their competition and resist indulging in unhealthy and
unethical trade practices. Hold paramount the safety. health, environment, and
welfare of the public in the performance of professional duties.

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Bright flexi has consciously followed a policy of continuous up-gradation of plant
and machinery to stay abreast with the latest developments in the field of extrusion,
weaving and sewing technology. As a result, the firm has achieved high level of
Integration of Operations. Bright flexi’s III Unit is spread over an area of 4 lacs Sq
feet with a production capacity of 30000 MT per annum. Bright flexi maintains to
achieve finest quality and quantity of production.

Bright Flexi Pvt. Ltd can create a safe working environment :

 Being Aware and Identifying workplace Hazards

 Implementing Workplace Safety Programs
 Providing Proper Safety Training to Employees
 Using Protective Safety Equipment
 Easy Access to Exits in Case of Emergencies
 Using Mechanical Aids

INDUSTRY PROFILE:

Manufacturing is the production of merchandise for use or sale using labour and
machines, tools, chemicals, biological processing, and formation. Flexible
intermediate bulk containers (FIBCs) are used in various end-use industries such as
food, chemical, pharmaceutical, building & construction, agricultural, mining,
manufacturing, and waste handling. Flexible intermediate bulk containers lower the
total weight of bulk packaging owing to their negligible weight. They can be stored in
a small space by folding and pressing multiple FIBCs together. FIBCs are made of
flexible woven typically polypropylene (PP) and have a capacity to hold 500 kg to
2,000 kg of weight. These flexible intermediate containers are commonly used to
store dry and flowable products such as grains, seeds, salts, chemicals, sands, clays,
cement, and others. Primary end use of FIBC is to handle raw, semi-finished, and
finished granules and small-size materials in industrial premises.

Filled flexible intermediate bulk containers are handled mechanically by forklifts in

industrial premises. FIBCs are available at low costs, low weights, and are easy to
handle. As a result of these benefits offered, FIBCs are widely used in food &
beverages, pharmaceuticals, agricultural, and chemical industries. On account of the

3
aforementioned benefits, their adoption rate in bulk packaging is considerably higher
as compared to rigid and corrugated packaging.

Food and chemical are the key end-user industries for the global FIBC market. In the
food industry, FIBCs are largely utilized in food processing companies and to handle
agricultural products including grains, rice, potatoes, cereals, and others.

These flexible intermediate containers are frequently used for processing PET, PTA,
carbon black, steel, alloys, and minerals in the chemical and other sectors. Cement,
sand, and other building supplies are also utilised with them. The construction and
chemical industries' steady development rates are expected to have a positive effect
on the worldwide market.

Over a period of time, a number of flexible packaging materials are developed with
high degree of functional properties to meet the requirement of food products in
terms of longer shelf life, compatibility, high mechanical strength to avoid any kind
of damages of packages and foods due to mechanical hazards which might occur
during handling, storage and transportation.

HISTORY

Bulk Bags or FIBC Bags were first manufactured in the late 1950s or early 1960s. In
the 1970s,
FIBC’s popularity increased dramatically, especially in Europe as a result of the
global oil crisis. It is known that during the above-mentioned period, FIBCs were
produced in the United States, Europe, and Japan. During that time, FIBCs were
made of PVC rubber and used to transport carbon black in the rubber industry. The
UN label should be imprinted on the container’s body when dangerous objects are
shipped in FIBCs. India has grown to be a frontline manufacturer of the FIBC Bags
in the world. In order to cut down the costs, the FIBC manufacturers started using the
woven polypropylene resin that’s still being used today.

By the 1970s, FIBC bulk bags had started catching the eye of many countries. As the
Middle Eastern countries began importing cement from Spain, Italy, and Northern
Europe, the demand for FIBCs also grew.

Then sometime in the 1980s, the US Department of Transportation granted various

exemptions that allowed jumbo bags to handle hazardous materials. This encouraged

4
the chemical, pharmaceutical, and waste-disposal industries to start using FIBC bags
for more efficient and safer operations.

GLOBAL DEMAND

Global demand for Flexible Intermediate bulk containers will register a CAGR of
6.3% by 2021, as per ReportsnReports.com. FIBCs are used in chemical, fertilizers,
and food sectors. Significant growth in sectors such as food and horticulture, which
are posting above average CAGRs, has led to a considerable increase in the demand
for FIBCs. The growing need to reduce the overall weight of the bulk packaging and
transporting materials is a major factor driving the demand for packaging sacks in the
construction, chemical, and fertilizer sectors.

Commenting on the flexible intermediate bulk container market report, an analyst

says the growing environmental concern about the usage of synthetic plastic, which is
mostly derived from petroleum feedstock, has encouraged the industry to develop
eco-friendly plastics for consumers. Companies such as Braskem and The Dow
Chemical Company have been investing heavily in developing technologies to
produce bio-based polymers through biomass. We expect that bio-based polymer will
be produced more than 2.5 times than its volume in 2015. Its volume was around 6.6
million tons in 2015, which is expected to grow to more than 16.7 million tons by
2020. Globally, polypropylene and polyethylene are the widely used plastics for the
production of FIBCs. Increased demand for bio-based products has shifted the focus
of manufacturers from synthetic to bio-based polypropylene for the production of
FIBCs

Further, the report states that fluctuations in the price of raw materials are another
major challenge faced by vendors in the global FIBC market. Crude oil and natural
gas are the major sources of naphtha and ethylene, which are the basic materials used
to manufacture polypropylene. The polypropylene market and manufacturers have
been facing challenges in areas such as fluctuation in the demand and supply of raw
materials and volatility in prices.

INDIAN FIBC IN THE GLOBAL CENTRE STAGE

India is already the second-largest manufacturer of FIBC in the world and has proved
to be a cost-efficient country for manufacturing FIBC. Although industrial growth in

5
developed nations was impacted by the economic recession, the Indian FIBC industry
gained significance due to their capability to manufacture products according to their
customers’ behest while maintaining sustainability, aesthetic display and
convenience. The organized players with a good marketing network in FIBC industry
have an opportunity to establish their foothold in key markets where production
outruns the demand and extend their geographical reach to tap latent demand in
developing countries. The demand for FIBC bags is likely to remain robust on the
back of strong growth of food and minerals industry in International Markets, cost
effective handling and transportation advantages. Particularity due to low cost the
Indian FIBC industry is favoured hub for FIBC globally. There is also enormous
growth potential for plastic products considering that per capital consumption is less
than half of the global average.

The packaging industry in India is one of the fastest growing industries having
influence on all industries, directly or indirectly. Indian packaging industry has
registered a CAGR of 16% in the last five years. The spending on packaged foods is
increasing due to increase in per capita income, urbanization and growing numbers of
working women. There is great growth potential since India’s per capita consumption
of packaging is only 4.3 kg whereas neighbouring Asian countries such as China and
Taiwan are about 6 kg and 19 kg respectively. This clearly indicates that the market
is under penetrated and offers a great business opportunity for the Indian plastics
packaging industry.

CHALLENGES OF THE INDIAN FIBC INDUSTRY

Even after such increasing demand in the market, FIBC bag manufactures are facing
lots of challenges. The four significant challenges are volatility in raw material
prices, higher raw material prices in India than China and Vietnam, retaining human
resources, and zero government support. At Safe Flex, 50 percent of the company's
sales are made on long-term contracts, allowing them to pass on the price variation,
both ways, to customers. For other 50 percent contracts, Safe Flex buys the material
every week as they get the orders. And in this way, they mitigate volatility in RM
prices.

Along with this, India being a hub of the FIBC manufacturing world, the demand for
skilled workers and good managers is always there, leading to as much as 10-12

6
percent rise in wages every year. However, Safe Flex, to retain human resources,
offers their people long-term advantages like providing them assistance in getting
houses under PMAY, provide excellent working conditions, build comradery through
various functions and team games, provide financial aid on special occasions for
employees of 5+ years of service, and an open-door policy.

POTENTIAL MARKET FOR FIBC:

Transporting food grade products:
The FIBCs from popular FIBC bags manufacturers in India are popular for packaging
food products. Dryable, pulverized, and coarse food particulars can be packed in
these bags and transported in bulk.

Transporting pharmaceutical products:

Pharmaceutical goods are always held to an equivalent , if not further, strict

environmental and hygiene morals as food products.

Transporting chemicals:

FIBCs with perfect sift substantiation seams, and effective liners are often wont to
transport pulverized or coarse chemicals in bulk. These bags empty with a minimum
of air contamination and save space for storing as they're collapsible

Transportation of agricultural products:

Agrarian products analogous as conditions, beast feeds (drunk), and other related
products are often packed within the FIBCs and transported in bulk.

Transportation of structure/ construction paraphernalia:

The transportation and operation of construction paraphernalia analogous as

complexion, cement, soil, and other related products is a tough task.

Petroleum products transportation:

When handling flammable products, the figure-up of electrostatic charges can affect
in dangerous explosions

7
 CHAPTER-2
ORGANISATION PROFILE

8
ORGANISATION PROFILE

This chapter describes the organization where the internship was undertaken. The
chapter informs the background of the company, nature of business, vision, mission,
quality policy, product/service profile, ownership pattern, achievements/awards if
any, and future growth and prospects.

2.1 BACKGROUND OF THE COMPANY

India’s packaging industry is growing by leaps and bounds. Only a handful of

manufacturers contribute a majority of the quality production. Bright flexi
International Private Limited (BFIPL), a part of A K Bansal group of Industries, is an
ISO 9001:2015, 14001-2015, 450012018 & 22000-2018 certified company,
manufacturing PP/HDPE based poly woven products. Established in 1986 in
Mangalore, under the guidance of the visionary chairman, Shri. AniI Kumar Bansal.
There 3 directors ABHINAV BANSAL, ANIL KUMAR BANSAL, SUSHMA
BANSAL, Bright flexi offers a wide range of Packaging Solutions to an array of
customers in various industries. The organization has been a preferred one stop unit
for quality FIBC, PP woven sacks and fabrics, AD star Block Bot-tom bags, BOPP
laminated bags, BOPP Back Seam bags, Bright flexi’s Food Safety Bags, Leno
Laminated Bags and much more.
BRIGHTFLEXI, take immense pride in the quality services we provide. We are the
preferred one stop unit for quality FIBC's (Jumbo bags), PP woven sacks and fabrics,
AD star block bottom bags, BOPP laminated bags, BOPP Back Seam bags, Easy
opening bags, Pinch bottom bags, Leno bags with or without BOPP lamination,
Zerofly bags, and much more. As speed is the new currency in business today, with a
start in early 1990’s, it has enhanced its capabilities in 2 decades at a breath-taking
pace and is operating successfully through IV manufacturing units. Our present
Production Capacity is 30,000 Metric tons per annum. BRIGHTFLEXI firmly believe
that road to success is always under construction,

9
Bright is proud to introduce for the first time in the country a shiny PP Fabric,
manufactured under the “MAKE IN INDIA” initiative. The fabric is highly glossy &
bright, named
“Ahindra”. It has a pristine aesthetic appeal to it that makes it unique. Block bottom
bags/ AD Star Bags are well suited for medium and large content. These bags are
laminated bags, made without adhesives, using heat sealing technology. These bags
are commonly used in cement, white cement, fertilizer and fine material packaging.
Bags are manufactured as per customer requirement for packing from 20kg to 50kg
material.

Bright flexi specializes in new types of packaging solutions for the retail industry.
After entering into Technical Alliance with Vestergaard, Bright flexi started
manufacturing and marketing of Bright flexi’s Food Safety Bags, as the name itself
indicates Bright flexi’s Food Safety Bags prevent the insect’s manifestation to the
food grains / seeds stored in the bags

Further, Unit III of Bright was established in 2017 at Padubidri, Karnataka, INDIA,
introducing value added products like FIBC, Block Bottom bags/ AD Star bags,
Pinch Bottom bags, along with the pre-existing product line. BRIGHT has an
impeccably high standard for machinery and quality parameters, enabling it to be one
of the very few suppliers of all types of polypropylene products to various MNCs, for
the purposes of cement & white cement packaging, Leno Bags for bulk packing of
vegetables, packaging needs of other industries such as Chemicals, Rice, Sugar,
Fertilizers, Cattle feed, Textiles and many more all across the country The unit has
the additional advantage of being a stone throwaway from the Mangalore Sea Port.

2.2 NATURE OF THE BUSINESS :

Bright flexi International, manufacture a wide range of FIBC Bulk Bags and tailor
them to customer specifications, meeting the storage and transportation needs across
industries. Company follows top manufacturing practices complying with global
standards and maintain stringent quality control to make sure every FIBC product is
superior in quality and offers the best value for money.

Provide customization Friendly packaging solutions

10
Made from woven polypropylene fabric, these FIBC Bags or Jumbo Bags come in
different shapes and sizes. However, the most important aspect of these bags is that
they can be customized according to the specific business needs, keeping in mind the
product specification. FIBC Bags or Jumbo Bags are great as custom packaging
solutions as they can be tailor-made in accordance with the type and nature of your
products. Depending upon the material you wish to transport, like agricultural
products, chemicals, food, metal, etc. FIBC Bags are the best choice. Reputed FIBC
manufacturers can design such bags for you as per your specifications.

As great Custom Packaging Solutions, these bags can be tailor-made according to the
following ways:
 Capacity and Sizes

 Non- Food Grade or Food Grade

 Type (A, B, C, & D)

 Can be designed according to your product – Filling and charging features.

 Bring versatility to packaging solutions
 Minimizes hazards in packaging solutions

FIBC or Big Bags are safe for storing and transporting certain critical products like
flammable items or products that are prone to static charges which can build up to
cause explosions. The anti-static characteristics of FIBC bags make them a safe
choice in stacking, storing, transporting, and lifting petroleum products and other
flammable products

2.3 VISION, MISSION, QUALITY PROFILE

Vision

As the saying goes “Only dead fish go with the flow”, we at BRIGHT are very much
alive and breathing, flowing upstream against the currents of numerous challenges
that we face. With a strong foothold in the Indian Industry, we are now looking for
opportunities to cross borders and be known worldwide. The exponential growth that
we have witnessed has bolstered our confidence. It has increased our drive to
incessantly strive for novel arenas to venture through.

11
Mission

To provide cost – efficient and value-added products.

To achieve complete customer satisfaction.

To improvise our capabilities for a quality and speedy production.

Quality Policy

Bright believes that any business conduct can be ethical only when it rests on the nine
core values:

Honesty & Integrity

Respect & Fairness

Purposefulness & Trust Responsibility,

Citizenship and caring.

12
BRIGHT has a completely integrated and modem facility that is equipped with
requisite experience, infrastructure and expertise to design and manufacture
customized products that are tailored to meet the requirements of our valued
customers. Bright believes in establishing close and honest long-term relationships
with their clients.
We guarantee your satisfaction for we believe your success begets our success.

2.4 WORKFLOW MODEL

13
 PRODUCTION FLOW PROCESS

2.5 PRODUCT OR SEVICE PROFILE :

“We don’t find customers for our products; we find products for our customers.”

Bright has completely integrated and modem facility equipped with the requisite
experience, infrastructure and expertise to design and manufacture customized
products that are tailored to meet the requirements of our valued customers. Bright
believes in establishing close and honest long-term relationships with their clients.
We guarantee your satisfaction and believe success in your business has a direct
relationship to success in ours. We offer complete customised services for PP woven
bags and sacks as per client specification and requirement.

14
FIBC / Jumbo / Bulk Bags

The Block bottom bags are best bags for medium

and big content.

AD Star Block Bottom Bags

These bags are laminated bags, made without

adhesives using heat sealing .

BOPP Bags & Fabrics

We offer attractive packaging solutions that are

used for packing of products.

Polypropylene Woven Bags

Bright is one of the leading Polypropylene (PP) bags

manufacturer in South India.

15
Pinch Bottom Bags

Bright FIPL specializes in new types of packaging

solutions for retail industry.

Leno Bags & Fabrics

Bright is counted among the reputed Manufacturers

and Suppliers .

PP & HDPE Fabrics

BRIGHT’s high quality fabric is woven on an array of

wide width looms. Fine and consistent even fabric is
manufactured.

Multifilament Yarn

Multifilament yarn is made of Polypropylene. It is

stronger than common sewing thread.

16
BOPP Back Seam bags

Back seam bags are easy open tubular bags made in

trendy designs and patterns. These bags are highly
attractive and easy for customer usage

Geotextiles

Geotextiles have high tensile strength and load capacity.

These are often used for road construction, prop up
shorelines or beaches etc.

2.6 OWNERSHIP PATTERN

Bright Flexi International Pvt Ltd is a A K Bansal group of industries. BFIPL is a

private limited company. The company has 3 directors and no reported key
management personnel. The longest serving directors currently on board are Anil
kumar Bansal and Abhinav Bansal who were appointed on 17 April, 2015. They have
been on the board for more than 7 years. The most recently appointed director is
Sushma Bansal, who was appointed on 24 July, 2020.

Anil kumar Bansal has the largest number of other directorships with a seat at a total
of 4 companies. In total, the company is connected to 3 other companies through its
directors.

CHAIR MAN - ANIL K BANSAL

PRESIDENT - JITESH AGRAWALASZ

MANAGING DIRECTOR - N. PADMANABHAN

BUSINESS HEAD-POLY DIVISION – SABARISH PADMANABHAN

17
CIN/LLPIN/FCRN - U25199KA2015PTC079875

COMPANY NO - 079875

COMPANY CATEGORY - COMPANY LIMITED BY SHARES

COMPANY SUB CATEGORY - NON- GOVT COMPANY

COMPANY CLASS - PRIVATE

AUTHORISED CAPITAL - 2.50 CR

PAID UP CAPITAL - 1.98 CR

INDUSTRY - PACKAGING

2.7 ACHIEVMENTS / AWARDS :

India@75-chemical and petrochemical Industry Award 2021.

(Excellence in sub sector Plastics, polymer)

ISO 14001:2015 - Environmental Management System

ISO 45001:2018 – Occupational Health & Safety Management System

ISO 9001:2015 – Quality Management System

FKCCI 17th edition of Exporter Excellence Awards – 2022

(Best district exporter)

Certifications of FIBCA Membership – 2022

Unlike other providers, Bright Flex specializes in Innovations (flood control barriers,
super stable bags, cube bags), Pharma Grade and Food Grade FIBCs and special
products (BOPP FIBCs etc). Other than this, the company is specialized in customer
service. Except in 3 months of onset of pandemic (April- june 2020), Safe Flex
delivered 96 percent of containers on time. Also, 94 percent customer retention
against a world average of 67 percent for a manufacturing industry is Bright Flexi's
most significant achievement.

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2.8 FUTURE GROWTH AND PROSPECTS :

In view, The Bright Flexi Pvt ltd future ability to generate larger profits, expand its
workforce and increase the production. BFIPL wants to increase their manufacturing
units in future and Global export in future and focus on customer satisfactions and
generate employment for local peoples.

19
 Chapter 3
Mckinsey’s 7S Frame Work and
Porter’s Five Force Model

Consultants at McKinsey & Company developed the 7S model in the late 1970s to
help managers address the difficulties of organizational change. The model shows
that organizational immune systems and the many interconnected variables involved
make change complex, and that an effective change effort must address many of
these issues simultaneously.

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The model categorizes the seven elements as either "hard" or "soft":

Hard Element Soft Element

Strategy Shared values

Structure Skills

System Style

Staff

STRATEGY :

The strategy element is a detailed plan that organizations create for successful change
implementation and to gain a competitive edge. The entire performance of work is
based on the brand the Bright Flexi mainly focus on the customer satisfaction they
get the order from the customer and do the product how they said some customers
says like modification in their products. so Bright flexi company keep their initial
strategy as base and adding some input to initial strategy and make it as new strategy.
This helps the industry to get new customer and retain old customer by giving
improved quality. The Bright Flexi respect the old customer and the new customers.

 CORPORATE STRATEGY :
 To expand the business
 To be highly recognised in global market place.
 To expand sales globally

 BUSINESS LEVEL STRATEGY:

 To matches the company's long-term vision, it helps ensure that everyone is
working toward the same goals.
 Recruit new and talented employees and to provide them proper training so
that there can be reduction in wastage of resources.

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  B2B business strategy, the company will Collab with other companies
around globe to expand its business.
 To bring some changes in the product and to enhance the quality of bags so
that customers can experience the change.

 FUNCTIONAL LEVEL STRATEGY:

 MARKETING DEPARTMENT:
 In marketing strategy, the company mainly concentrated to achieve the
4P’s of marketing (Price, Product, Promotion, Place).

 Improving service facilities to enhance customer satisfaction.

 To maintain the reputation in the market.
 HR MARKETING:
 Giving on the job training to workers to adopt the required skills of the
particular industries.

 Attract the competitor’s employees by giving necessary benefits to the

workers and conducting refreshment activities.
 FINANCE DEPARTMENT:

 Helps to investment decision planning of the organisation by calculating

the profitability
 Calculating the liquidity position of the organisation and analyse the
growth factor of the organisation
 Records the various transactions of the finance of the organisation in order
to maintain adequate business records.

STRUCTURE :

Structure or Bright Flexi Pvt ltd structure is a clear chain of command to avoid chaos
& confusion. Structure is a simple yet crucial element as it creates a sense
of employee accountability within the organization. BIG BAGS INTERNATIONAL

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PVT LTD has functional organisation structure since every department takes care of
its own functions.

Rules And Responsibilities :

 Free tea for employees, for lunch coupon can be taken from the biometric
machine located in canteen and deduction will be made from monthly salary.
 Transport facility is provided for workers in different shifts
 First aid room is located near HR office with in-house ambulance facility.
 Salary is paid on every 7th of every month.

SYSTEMS :

Systems includes formal and informal procedures that support the strategy and
structure, the marketing, finance, HR, Operational, Public relation department work
for the growth to the organisation the Bright Flexi’s system is effective to achieve the
company objectives, in other words it is the process and flows that show the how
Bright Flexi gets its day to day things, done, this includes the procedures and routine
that characterize an important work is to be done which is mainly looked by
managers.

Bright Flexi International Pvt Ltd. has a system of evaluating the performance of
employee to maintain the records and for the pay roll.

Based on the efficient performance the payroll or incentives also been increased.
Promotions are also being influenced on the performances.

Bright Flexi has maintained the proper systems in workplace. They maintain
systematically human resources, finance, productions, sales, supply chain,
warehouses, distribution etc,

RECRUITMENT FLOW CHART:

Recruitment Send Job Offer

Requisition 23
 Send Requirement Interview
Criteria Cleared

Advertise For the Send Thank You

Job Mail

Yes

Receive Applications Arrange Interview

Criteria
Met

No

No Yes

SHARED VALUES :

These are the core values governing in Bright Flexi’s health. While implementing a
change, organizations expect a behavioural modification from their employees,
which is only possible to change companies’ strong culture and organizational
values.

The Bright Flexi’s employees are from different places and different culture, norms
and beliefs so they difficult to adjust to that organizational environment. The
company can give the training about the organisational attitude, culture, behaviour,
values etc, company give the training on the basic corporate values.

The BFIPL Business Shared values Emphasizes the Following:

 Core values :
 Creativity
 Honesty
 Transparency
 Accountability

24
  Trust
 Quality
 Heritage
 Corporate culture
 Task alignment with values
 The employees are the most important resources of the company. The
company treats them with respect and dignity.
 Quality is the key to productivity, improve the cost reduction.

STYLE :

The relationship between the top-level managers to the employees in the organisation
are balanced with the managers and staff they are seeking the suggestions from the
supervisors and employers. Here IN BRIGHT FLEXI International private ltd
PARTICIPATIVE LEADERSHIP STYLE is followed by giving small amount of
authority along with this the staff to get huge amount of accountability and
responsibility. Bright Flexi have a more than Two directors so here they can get the
suggestions or solution from them as top level or corporate level then after them it
comes to the medium level under this manager of a specific department and lastly the
lower level, they are supervisors, line managers.

Big bags international private ltd the top managers let the staff to take decisions
regarding various issues related to their department and they can also take guidance
from the top authorities if required.

STAFF :

"Staff" refers to the number and types of personnel in Bright Flexi and companies
develop employees and shape basic values. This element represents the Bright Flexi
has talented pool of employees, the size of the existing workforce, and their
motivations. The employees are well trained and rewarded within the organization.
The employees are fully trained and well knowledge of machine handling.

The Bright Flexi Pvt Ltd has more than 2000 workers and they are all working under
their separate departments. The workers are well trained to machines. The top
management had to controlled the sub ordinates.

25
Managing Director:

Responsibility:

 Overall control of the company

 Responsibility for customer satisfaction
 New product development and process improvement
 Growth and company profit

Authority:

 Approve quality assurance manual

 Interact with customers
 Approve capital goods

Production Manager:

Responsibility:

 Overall responsibility of production, planning and control

 Safety and house-keeping of entire factory
 Process improvement and productivity
 Upkeep of relevant records

Authority:

 Introduce new production methods/materials to improve productivity and

quality

Maintenance Manager:

Responsibility:

 Make payment to suppliers on due date

 Housekeeping in respective areas

Authority:

 Prepare and send cheques/DD

26
Accounts Manager:

Responsibility:

 Maintain books of accounts

 Prepare financial statement at defined intervals
 Update the salary, advance register

Authority:

 Transferring the entries to computer

 Raise debit/credit notes

Assistant Manager of Quality Assurance:

Responsibility:

 Process inspection
 Training of quality assurance personnel

Authority:

 Accept the product at inward good stage

Marketing and Administration Officer:

Responsibility:

 Central excise formalities and related activities

 Cash handling
 Upkeep and maintenance of the following records
 Central excise records

Authority:

 Purchase stationery

Purchase Officer:

Responsibility:

27
  Local purchase
 Cash purchase

Authority:

 Authorized to procure material from approved supplier in consent with

Director

SKILLS :

The actual skills and competencies of the organization's employees. Skills refer to the
abilities of employees to complete tasks the Bright Flexi’s employers are stick to the
tasks and are well skilled and trained employers. Skills gaps overburden experienced
employees who have to pick up the slack for their co-worker’s inexperience. It’s
essential to identify the skill gaps and create relevant employee training programs to
bridge these gaps. In big bags international private ltd , in every department the team
leaders or the experienced employee will take a training session for the new
employees and the existing employees who require Training . Counselling , On-Field
training will be conducted to improve the skills of employees.

Bright Flexi has the well trained and skilled employees in the organisation. They are
conducting the skill development and management, safety measures, company
policies, rules and regulation training programmes.

The BFIPL Business Skills Emphasizes the Following:

 Employee skills
 Employee skills vs task requirements
 Skill management
 Company’s competitive advantage
 Training on the job
 Company Policies
 Safety Measures
 The action plan during accidents

28
 Porter’s Five Force Model

Porter’s five forces help to identify where power lies in a business situation. This is
useful both in understanding the strength of an organisation’s current competitive
position, and the strength of a position that an organisation may look to move into.

29
  Threat of New Entrants
 Bargaining Power of Suppliers
 Bargaining Power of Buyers
 Threat from Substitute Products
 Rivalry among the existing players

By analysing all the five competitive forces Bright Flexi Pvt Ltd strategists can gain a
complete picture of what impacts the profitability of the organization in Packaging &
Containers manufacturing industry

Threats of New Entrants :

New entrants in Packaging & Containers manufacturing brings innovation, new ways
of doing things and put pressure on Bright Flexi’s through lower pricing strategy,
reducing costs, and providing new value propositions to the customers. Bright Flexi
Pvt Ltd has to manage all these challenges and build effective barriers to safeguard
its competitive edge.

No company is entirely protected from the threat of disruption, but differentiation

from the market provides more control to the company.

How Bright Flexi can tackle the Threats of New Entrants :

 By innovating new products and services. New products not only bring new
customers to the fold but also give old customer a reason to buy Bright Flexi‘s
products.
 By building economies of scale so that it can lower the fixed cost per unit. 

 Building capacities and spending money on research and development. New

entrants are less likely to enter a dynamic industry where the established
players such as Bight Flexi keep defining the standards regularly.

Bargaining Power of Suppliers :

30
All most all the companies in the Packaging & Containers manufacturing industry
buy their raw material from numerous suppliers. Suppliers in dominant position can
decrease the margins Bright Flexi can earn in the market. Powerful suppliers in FIBC
Goods sector use their negotiating power to extract higher prices from the firms in
Packaging & Containers manufacturing field. The overall impact of higher supplier
bargaining power is that it lowers the overall profitability of Packaging & Containers.

How Bright Flexi can tackle Bargaining Power of the Suppliers :

 By building efficient supply chain with multiple suppliers.

 By experimenting with product designs using different materials so that if the
prices go up of one raw material, then company can shift to another.
 Developing dedicated suppliers whose business depends upon the firm.

Bargaining Power of Buyers :

Buyers are often a demanding lot Bright Flexi has buyers from domestic and foreign
country. They want to buy the best offerings available by paying the minimum price
as possible. This put pressure on Bright Flexi profitability in the long run. The
smaller and more powerful the customer base is of Bright Flexi the higher the
bargaining power of the customers and higher their ability to seek increasing
discounts and offers. The company has more customer in domestic as well as outside
the country they produce the product how the buyer demanded like that they
producing if any alteration or modification needed for some particular customer, they
done it. They deliver the product to customer at timely as early discussed with the
buyers in what time product needed.

How Bright Flexi can tackle the Bargaining Power of Buyers :

 By building a large base of customers. This will be helpful in two ways.

 By rapidly innovating new products. Customers often seek discounts and
offerings on established products so if Bright Flexi keep on coming up with
new products, then it can limit the bargaining power of buyers.
 New products will also reduce the defection of existing customers of Bright
Flexi’s to its competitors.

31
Threats of Substitute Products or Services :

There is no substitute product to the FIBC in the market. When a new product or
service meets a similar customer needs in different ways, industry profitability
suffers. The threat of a substitute product or service is high if it offers a value
proposition that is uniquely different from present offerings of the industry.

Often, products or services can have substitutes that make them more vulnerable, as
customers in these instances have more optionality.  If the threat of substitute is high
then Packaging company has to either continuously invest into R&D or it risks losing
out to disruptors in the industry.

How Bright Flexi can tackle the Threats of Substitute Products / Services :

 By being service oriented rather than just product oriented.

 By understanding the core need of the customer rather than what the customer
is buying.
 By increasing the switching cost for the customers

Rivalry among the Existing Competitors :

If the rivalry among the existing players in an industry is intense then it will drive
down prices and decrease the overall profitability of the industry. Bright Flexi’s
operates in a very competitive Packaging & Containers manufacturing industry. This
competition does take toll on the overall long-term profitability of the organization.

How Bright Flexi can tackle Intense Rivalry among the Existing Competitors :

 By building a sustainable differentiation

 By building scale so that it can compete better
 Collaborating with competitors to increase the market size rather than just
competing for small market

32
 Chapter – 4

SWOT Analysis

33
A SWOT analysis helps find best match between environmental trend (opportunity
and threats) and internal capabilities.

SWOT Analysis is a strategic planning tool to evaluate the strength, weakness,

opportunity and threats involved in a project or in a business venture. It involves
specifying the objective of the business venture or project and identifying the internal
and external factors that favourable and unfavourable achieving that objective.

The aim of any SWOT analysis is to identify the key internal and external factors that
are important to achieving the objective. SWOT analysis group key pieces of
information into main categories: Internal and External factors, Internal factors
includes strength and weakness, External factors includes Opportunity and Threats.

STRENGTHS :

As one of the leading companies in its industry, Bright Flexi has numerous strengths
that enable it to thrive in the market place. These strengths not only help it to protect
the market share in existing markets but also help in penetrating new markets.

 Promoters of this company have more than three decades of experience in the
line of business.
 Strong Management (No raw material problem)
 Products have good demand in the market
 Available in many designs and colours, Timely delivery
 Good relationship with vendors which help to maintain smooth running of the
business activities.
 Good relationship with suppliers
 The company got the ISO certificate for producing quality products

WEAKNESSES :

Weakness are the areas where Bright Flexi can improve upon. Strategy is about
making choices and weakness are the areas where a firm can improve handling the
machine and its technology using SWOT analysis and build on its competitive
advantage and strategic positioning.

34
  Unskilled workers
 Employees inability to adapt to change in the technology
 Lack of technological updating in the organisation
 Lack of Maintenance department
 Absence of R & D department, High maintenance cost of machines
 Lack of inventory control, Higher wastages and Higher lead time

OPPORTUNITIES :

Opportunities in SWOT result from the existing strengths and weaknesses, along
with any external initiatives that will put in a stronger competitive position. The
Bright Flexi has the opportunity to increase their product to global level because of
the FIBC products are needed in every carrying products like cement, fertiliser bags,
vegetable bags, chemical bags, etc. These could be anything from weaknesses that
would like to improve or areas that weren’t identified in the first two phases of the
analysis. 

 Generates job opportunities

 Demand and supply gap is very wide in the FIBC production, so the company
can take advantage of demand and supply gap
 Reducing service cost. Improving customers retention
 Develop and retain the best talent, New business alliances with clients abroad
 Different products can be produced using polymer
 The organization has wide opportunities in near future for its expansion of
markets

THREATS :

Threats in SWOT are areas with the potential to cause problems. Different from
weaknesses, threats are external and ‌out of control. This can include anything from a
global pandemic to a change in the competitive landscape. The threats are
competition and government policy, imports duty of raw material is high in India
these are the threats to the company.

 Competitors
 Government rules and regulations

35
 Frequent power failure generators, Customers’ rejection of the goods produced
 Society opposing the usage of plastics, Union members
 Increase in the cost of raw material, transportation, power and so on, so the
expenditure is also increasing
 Entry of foreign investors with improved technology and reduced cost of
production can make the unit unviable
 Unstable value of rupee against US Dollar
 Fluctuation of raw material prices

36
 Chapter-5
Financial Statement Analysis

37
A financial statement is a written record which provides complete information about
the financial position, and performance of the company to make the good decision to
earn more profit in the future days. The financial statement of the company includes a
balance sheet, Income statement, cash flow statement and Statement of shareholder’s
equity. This statement not only helps the company with the economic decision but
also to know the performance of the company for the outsiders like investors, banks,
the public and etc.

Balance sheet of Bright Flexi Pvt Ltd.

(All amounts in Indian rupees lakh)

A. Equity and 2017-18 2018-19 2019-20 2020-21 2021-22

Liabilities
1.Shareholders fund

(A)Share Capital 487 487 457 467 487

(B)Reserve and Surplus 4008 5464 5984 6258 6503

4495 5951 6441 6725 6990

2.Non-Current Liabilities

(A)Long term borrowings 242 354 478 519 411

(B)Long term provisions 325 325 325 325 325

567 679 803 844 736

3.Current Liabilities

(A)Short term borrowings 630 1323 2010 1039 3007

(B)Short term provisions 247 329 534 341 357

(C)Other Current Liability 285 1072 775 691 1300

(D)Trade Payables 350 1102 1072 836 1008

1512 3826 4391 2907 5672

38
Total 6574 10456 11635 10476 13398

B. Assets

1.non-current assets

(A)Fixed assets

(a)Tangible assets 2127 2500 2100 2800 2700

(b)Capital work in 0 1 4 3 4
progress

2127 2501 2104 2803 2704

(B)Deferred tax assets(net) 165 180 250 300 435

(C)Noncurrent 20 21 40 110 210

investments

(D)Long term loans & 150 250 100 110 270

advances

(E)Other non-currents 1 1 1 37 80
assets

336 452 391 557 995

2.Current assets

(A)Current investments 550 1347 1374 826 927

(B)Inventories 2100 2745 3402 2715 4890

(C)Trade receivables 631 1260 1481 1245 1400

(D)Cash & Cash 510 650 628 619 550

equivalents

(E)Short term loans and 300 661 643 478 649

advances

(F)Other current assets 20 840 1612 1233 1283

39
 4111 7503 9140 7116 9699

Total 6574 10456 11635 10476 13398

Profit and Loss statement of Bright Flexi International Private Ltd.

Particulars 2017-18 2018-19 2019-20 2020-21 2021-22

1.Revenue from operations 3741 4700 5292 4682 5012

2.Other income 903 811 901 918 416

Total Revenue 4644 5511 6193 5600 5428

3.Expenses

a. Cost pf material consumed 1481 1613 2144 2112 2318

b. Changes in inventories of 279 290 -236 406 -968

finished goods

c. Purchase of stock in trade 114 107 214 210 320

d. Employee benefit 82 180 319 247 350

e. Finance cost 201 374 561 500 504

f. Depreciation & 215 447 643 470 471

Amortization

g. other expenses 922 943 1324 926 1422

Total expenses 3294 3954 4969 4871 4417

4.Profit for the year (after 1350 1557 1224 729 1011
tax)

Ratio Analysis of Bright Flexi Pvt Ltd :

Ratio analysis is calculating the financial performance of the company, its financial
position, liquidity, profitability, risk, solvency, and proper utilization of the resources

40
by studying the financial statement of the company like balance sheet and income
statement.

1. Liquidity Ratio: Liquidity ratio is the tool which is used to examine the
ability of the company to pay its short-term loans. It shows the richness of the
company.

 Current Ratio:
The current ratio, commonly referred to as the working capital ratio, determines a
company's capacity to pay the short-term debt that is due within a year. The weight of
total current assets compared to total current liabilities is taken into account in the
ratio.

Current Ratio: Current Assets/Current Liabilities

YEAR 2022 2021 2020 2019 2018

RATIOS 1.71 2.45 2.08 1.96 2.72

Current Ratio
3

2.5

1.5

0.5

0
2022 2021 2020 2019 2018

Analysis : The above table & graph shows the current ratio of the firm, when
comparing the five years of ratio 2018 is having the highest ratio of 2.72 which is

41
good sign for the firm, where the liquidity position of the firm increased to a
good extant. The standard current ratio is 2:1 which says current asset always
twice of current liability.

 Quick Ratio :

The quick ratio is used to measure the company’s ability in paying off its current
liabilities on immediate basis. The quick ratio is considered as more conservative
measure than the current ratio which include all the current assets as coverage for the
current liabilities.

Quick Ratio= Quick Assets/Current Liabilities

Year 2022 2021 2020 2019 2018

Ratio 0.85 1.51 1.31 1.24 1.33

Quick Ratio
1.6

1.4

1.2

0.8

0.6

0.4

0.2

0
2022 2021 2020 2019 2018

Analysis : The above chart confirmed that the quick ratio, which shows 1.51 in
2021, was increasing. But in 2022 it has decreased to 0.85 due to increase in current
liabilities.

42
  Cash Ratio:

Since money is more fluid resource, the budgetary investigator may look at money
proportion and its proportionate to current liabilities. The perfect money proportion is
0.50:1
Cash Ratio: Cash & Cash Equivalents/Current Liabilities

Year 2022 2021 2020 2019 2018

Ratio 0.10 0.21 0.14 0.17 0.34

Cash Ratio
0.4
0.35
0.3
0.25
0.2
0.15
0.1
0.05
0
2022 2021 2020 2019 2018

Analysis : The above table & graph shows the current ratio of the firm, when
comparing the five years of ratio 2018 is having the highest ratio of 0.34 which is
a very good sign for the firm, where the cash position of the firm increased to a
good extant. The highest ratio shows that the company is more effective in
maintaining the cash.

43
 2. Long Term Solvency Ratios :
 Debt-Equity Ratio:

The debt-to-equity ratio measures your company's total debt relative to the amount
originally invested by the owners and the earnings that have been retained over time.

Debt Equity Ratio: Total Debt/ Total Shareholders’ Equity

Year 2022 2021 2020 2019 2018

Ratio 0.84 1.11 1.05 0.73 0.50

Debt Equity Ratio

1.2

0.8

0.6

0.4

0.2

0
2022 2021 2020 2019 2018

Analysis: The debt-to-equity ratio of the corporation is shown in the table and
graph above. When comparing the ratios over the past five years, 2021 has the
highest ratio 1.11, indicating that the company is borrowing more money from
the market to fund for its operations.

44
  Proprietary Ratio:

A proprietary ratio is a form of solvency ratio that can be used to estimate how
much the owners' or shareholders' share of the company's assets is. The equity
ratio, shareholder equity ratio, and net worth ratio are other names for it.

Proprietary Ratio: Shareholders Fund/Total Assets

Year 2022 2021 2020 2019 2018

Ratio 0.52 0.64 0.55 0.57 0.68

Proprietary Ratio
0.8
0.7
0.6
0.5
0.4
0.3
0.2
0.1
0
2022 2021 2020 2019 2018

Analysis : The proprietary ratio of the company is depicted in the above table
and graph; when comparing the proprietary ratios over the past five years, 2018
has the highest proprietary ratio of 0.68, demonstrating that a high proprietary
ratio indicates that a business is in a strong position and offers relief to creditors.
While a low proprietary ratio indicates the company's reliance on debt to operate
its business.

 Solvency Ratio :

The solvency ratio is used evaluate the organisation capacity to gather long-term debt
requirement. It is one of the key aspects for measuring the financial position of an

45
organisation. It is used to decide the possibility that a company will non-payment on
its arrears.

Solvency Ratio = Total Liabilities/Shareholders fund

Year 2022 2021 2020 2019 2018

Ratios 1.92 1.56 1.81 1.76 1.46

Solvency Ratios
2.5

1.5

0.5

0
2022 2021 2020 2019 2018

Analysis : By seeing the bar graph we can conclude that in the year 2022 the firm
had more capital to bear its liabilities but as and when year passed the firms funds are
fluctuating up and down for its debts, which is not a good statement for the
organization.

3. Profitability Ratios :
 Gross Profit Ratio :

This ratio expresses the relationship between Gross Profit and Sales It indicated the
efficiency of production or trading operation. A high Gross profit ratio is good
management as it implies that the cost of production is relatively low.

Gross Profit = Gross Profit/Net Sales * 100

Year 2022 2021 2020 2019 2018

Ratio 0.20 0.16 0.23 0.33 0.36

46
 Gross Profit Ratio
0.4

0.35

0.3

0.25

0.2

0.15

0.1

0.05

0
2022 2021 2020 2019 2018

Analysis : The gross profit ratio of the firm slightly differing in the subsequent
years in the year 2018 it reaches 0.36 it is the highest gross profit of the firm. The
company 2018 onwards decreasing the gross profit but in 2022 slightly increase in
the profit.

 Net Profit Ratio :

Net profit ratio establishes a relationship between net profit (after taxes) and sales.

Net Profit=Net Profit/Net Sales * 100

Year 2022 2021 2020 2019 2018

Ratio 20.17159 15.57027 23.12925 33.12766 36.08661

47
 Net Profit Ratio
40

35

30

25

20

15

10

0
2022 2021 2020 2019 2018

Analysis : The net profit ratio is an indication of Management ability to operate the
business with sufficient sources and to incur revenue for the period. The above graph
shows the 2018 onwards the net profit ratio was decreasing in 2022 little increasing.
This ratio explains the rupee profit-generating capacity of sales. If the cost of sales is
lower. then the net profit will be higher.

 Earnings Per Share :

Earnings per share is calculated by net profit by No. of equity shares. It indicates the
profitability of a company. It is a tool that market participants use frequently to gauge
the profitability of a company before buying its shares. It is a term that is of much
importance to investors and people who trade in the stock market.

Year 2022 2021 2020 2019 2018

Ratio 2.08 1.56 2.68 3.20 2.95

48
 EPS
3.5

2.5

1.5

0.5

0
2022 2021 2020 2019 2018

Analysis: The above table & graph shows the earnings per share of the firm, when
comparing five years of ratio 2019 & 2018 have the highest ratio of 3.20 & 2.95
respectively which shows the higher EPS, higher EPS is always better than a lower
ratio because this means the firm is more profitable and the firm has more profits to
distribute to its shareholders.

 Return on Assets Ratio :

The return on total assets ratio is obtained by dividing a company's earnings after tax
by its total assets. This profitability indicator helps you determine how your company
generates its earnings and how you compare to your competitors.

Return on Assets: Net Profit/Total Assets*100

Year 2022 2021 2020 2019 2018

Ratio 7.55 6.96 10.52 14.89 20.54

49
Analysis: The above table & graph shows the return on assets ratio of the firm, when
compared to five years of ratio 2018 is having the highest ratio of 20.54. The higher
ratio the higher the net income for the firm. The higher ratio shows how the firm is
more effective in managing its assets to produce greater amounts of net income.

50
 CHAPTER – 6

Learning Experience

It was a dream come true for me who wished to experience as to how a huge factory
works, it was a great experience working in Bright Flexi International Pvt Ltd, where
I learnt many things about the functioning of the company in accordance with the
present market trends. The interaction with the company gave me an insight and a

51
first-hand experience of the industrial scenario in the competitive outside the realms
of the institute. In college I studied theoretical about organisation but during the
internship, I learned about all aspects like how each departments functions
interrelated to the organisation and importance of teamwork and relationship among
the employer and employee in achieving the organisational goals.

In the beginning of the training, I went to different production sites where the raw
materials are stored then manufacturing process and stitching of the bags (FIBC) is
taking place, There I understood as to how the production work is divided and how
the responsibilities are allocated. The production here is carried on the basis of
customer cell concept. This cell is mainly created with the purpose of excelling the
customer’s expectation in terms of quality, delivery and a competitive environment.
The company’s main moto is “we don’t find customers for our products; we find
products for our customers”. The company only produce the product what the
customers demanded.

After the production site in the subsequent weeks, I went to different departments
like production, marketing, finance, quality, HR, planning, stores etc. I was able to
understand the importance of each department and their contributed towards the
achievement of the company objectives. I also learnt how the companies always try
to feel the pulse of the customers, because customers are the purpose of the business.
More importantly, I am able to understand the different tactics of the companies to
attract and retain the customers. I had interaction with the each of the departmental
heads and I came to know the real situation, duties, responsibilities and functions of
the departments. In spite of their busy schedule there were very much interested to
explain us different concepts.

I went to the stores where all the material were racked and the quality check was
carried on every material. Here they demonstrated me as to how the material are
received, documentation is done how quality checking is done for each and every
component and how to deal with defective material and actually the store department
will work in case of emergency when there is shortage of materials.

I could view a friendly atmosphere in the office premises among all level. It makes
the employees feel relaxed and well not go through a stress at time of their work.

52
This boosts the morale of the employees and promotes a sense of responsibility and
good relationships and most importantly it improves the quality.

BIBLIOGRAPHY

 Anil K Bansal
Chief Executive Officer, Bright Flexi International Private Ltd

53
 Year of publication, 1986
http://brightflexi.com/about.html
 McKinsey Quarterly
Enduring Ideas: The 7-S Framework
Year of Publication 2008
https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-
insights/enduring-ideas-the-7-s-framework
 Porter's 5 Forces Explained and How to Use the Model
Year of publication August 1 2022
https://www.investopedia.com/terms/p/porter.as
 SWOT Analysis
Year of application 2015
 DR, R M SRIVASTAVA, Financial Management and Policy. Third revised
addition, Himalaya publication house, 2007, pp 1090-1092
 DR, S. N. MAHESHWARI, Management Accounting and Financial
Control. 16th addition, Sultan Chand and Son’s Educational publishers New
Delhi, 2015, D6.1-6.5.
 PRASANNA CHANDRA, Financial Management Theory and Practices,
seventh edition, Tata mc raw hill education private limited, New Delhi,
2010, pp 653-655

Annexure

Balance sheet of Bright Flexi Pvt Ltd.

(All amounts in Indian rupees lakh)

54
 B. Equity and 2017-18 2018-19 2019-20 2020-21 2021-22
Liabilities
1.Shareholders fund

(A)Share Capital 487 487 457 467 487

(B)Reserve and Surplus 4008 5464 5984 6258 6503

4495 5951 6441 6725 6990

2.Non-Current Liabilities

(A)Long term borrowings 242 354 478 519 411

(B)Long term provisions 325 325 325 325 325

567 679 803 844 736

3.Current Liabilities

(A)Short term borrowings 630 1323 2010 1039 3007

(B)Short term provisions 247 329 534 341 357

(C)Other Current Liability 285 1072 775 691 1300

(D)Trade Payables 350 1102 1072 836 1008

1512 3826 4391 2907 5672

Total 6574 10456 11635 10476 13398

B. Assets

1.non-current assets

(A)Fixed assets

(a)Tangible assets 2127 2500 2100 2800 2700

(b)Capital work in 0 1 4 3 4
progress

2127 2501 2104 2803 2704

(B)Deferred tax assets(net) 165 180 250 300 435

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(C)Noncurrent 20 21 40 110 210
investments

(D)Long term loans & 150 250 100 110 270

advances

(E)Other non-currents 1 1 1 37 80
assets

336 452 391 557 995

2.Current assets

(A)Current investments 550 1347 1374 826 927

(B)Inventories 2100 2745 3402 2715 4890

(C)Trade receivables 631 1260 1481 1245 1400

(D)Cash & Cash 510 650 628 619 550

equivalents

(E)Short term loans and 300 661 643 478 649

advances

(F)Other current assets 20 840 1612 1233 1283

4111 7503 9140 7116 9699

Total 6574 10456 11635 10476 13398

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 Profit and Loss statement of Bright Flexi International Private Ltd.

Particulars 2017-18 2018-19 2019-20 2020-21 2021-22

1.Revenue from operations 3741 4700 5292 4682 5012

2.Other income 903 811 901 918 416

Total Revenue 4644 5511 6193 5600 5428

3.Expenses

a. Cost pf material consumed 1481 1613 2144 2112 2318

b. Changes in inventories of 279 290 -236 406 -968

finished goods

c. Purchase of stock in trade 114 107 214 210 320

d. Employee benefit 82 180 319 247 350

e. Finance cost 201 374 561 500 504

f. Depreciation & 215 447 643 470 471

Amortization

g. other expenses 922 943 1324 926 1422

Total expenses 3294 3954 4969 4871 4417

4.Profit for the year (after 1350 1557 1224 729 1011
tax)

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