Udaya Raj Adhikari's Blog

Reason behind the difference between net income and cash from operating activities Cash flow statement is a part of a set of financial statement and prepared along with balance sheet and income statement to report the cash inflow and outflow within the organization in an accounting period. Cash flow is of vital importance to the health of a business. One saying is: “revenue is vanity, cash flow is sanity, but cash is king”. What this means is that whilst it may look better to have large inflows of revenue from sales, the most important focus for a business is cash flow. Net income can be expressed in following equation. Net income= Revenue – Expenditure When there is high net income in given current year refers to high amount of profit of the organization. On the other hand, Cash flow from operating activities= Ending cash balance - Cash flow from investing  activities - Cash flow from financing activities When there is the result of excess of operating cash infl

As a manager, you probably fulfill many different roles every day. For instance, as well as leading your team, you might find yourself resolving a conflict, negotiating new contracts, representing your department at a board meeting, or approving a request for a new computer system. Henry Mintzberg argued that there are ten primary roles or behaviors that can be used to categorize a manager's different functions. In this article we'll examine these roles, and we'll see how you can use your understanding of them to improve your management skills. The Roles Mintzberg published his Ten Management Roles in his book, "Mintzberg on Management: Inside our Strange World of Organizations," in 1990. The ten roles are:( FLL - MDS -   EDRN ) 1.      Figurehead. 2.      Leader. 3.      Liaison. 4.      Monitor. 5.      Disseminator. 6.      Spokesperson. 7.      Entrepreneur. 8.      Disturbance Handler. 9.      Resource Allocator. 10.   Negotiator.

In inventory management, demand of inventory can be classified into two parts. They are independent and dependent demand.Independent demand is the demand of final products which are not inter-related with each other. It is generally created by outsiders like consumers, suppliers and other companies. It is unknown. In order to determine the quantities of independent demand, varieties of techniques like customer survey, trend analysis, forecasting models etc. can be used. Dependent demand is directly related to the demand of another parts and components of products or product itself. It is relatively straight forward computational. It means, stock can be easily computed on the basis of the stock needed at upper level. For example , if an auto mobile company plans to produce 50 cars per month, then obviously it will need 200 wheels and tires. The demand for wheels and tires is dependent demand, where as the demand of cars is independent demand which will not be a part of another

Production and productivity are similar but there is a vast difference between them. Exactly said, production is the conversion of input into the output where as productivity is the ratio between output and input. It shows the functional relationship between final products and their ingredients. Productivity =output/input                                                                                                               Productivity is a measure of output from a production process, per unit of input. For example, labor productivity is typically measured as a ratio of output per labor, an input. Productivity may be conceived of as a metric of the technical or engineering efficiency of production. If productivity is greater than unit (1), then it shows that the organization greater output in comparison of inputs. Example: Let X Company produces 1,00,000 units of outputs with the help of 25,000 units of inputs. Then its productivity will be:              Product

The flow technology of the process used to make or deliver a product or service impacts facility layout, resources, technology decisions, and work methods. The process architecture may be an important component in the firm's strategy for building a competitive advantage. When characterized by its flow structure, a process broadly can be classified either as a job shop or a flow shop . A job shop process uses general purpose resources and is highly flexible. A flow shop process uses specialized resources and the work follows a fixed path. Consequently, a flow shop is less flexible than a job shop. Some suitable examples in the process flow technology are as follows: a)       Project Technology                 - Example: building construction b)      Job shop Technology              - Example: print shop c)       Batch Technology                   - Example: bakery d)      Assembly line Technology     - Example: automobile production line e)       Continuous flow Tech

1. ISO 9000 ISO 9000 is series of standards that outlines the requirements for quality management system (QMS). It is a purposeful effort to promote worldwide standards of products that will. Ø   Improve operating efficiency Ø   Improve productivity Ø   Reduce costs The extended version of ISO is International Organization for Standardization, which is identified as an organization for measuring internationally accepted standard for quality. The work of ISO is conducted by around 180 technical committees. It is the work of the quality management and quality assurance committee. There are essentially 5 standard associated with the ISO 9000 series. They are ISO 9000 ISO 9001 ISO 9002 ISO 9003 and ISO 9004 v ISO 9000 is the set of guidelines for the: a)      Selection and use of standards b)      ISO 9001 c)      ISO 9002 and d)      ISO 9003 v ISO 9001 describes about the “DDPIS” of products or services to ensure the quality. D = Design           

Participatory management is a method in which the employees are involved in every function of management. They are empowered. Employees are made involved in management by making owner, giving autonomy and providing change to take participation in decision making process. This increase their dignity and self actualization. As a result, they get motivated to work. To involve the employees in management is an important source of motivation. This increases productivity of the organization, commitment of employees, internal motivation and the employees become ready to accept responsibility and accountability. There are two techniques to encourage and empower the employees. Quality of working life : Quality of working life is a technique to motivate employees to work. QWl indicates the relationship of quality between total work environment and the employees. If the quality of working life of employees is good, they become satisfied and ardworking or get motivated to work. T