fmeg project

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DECLARATION

I RANJINI.P hereby declare that this project entitled “A STUDY ON

PRODUCTION PERFORMANCE OF ENOVA TECHNOLOGY

CORPORATION LIMITED” submitted to ANNA UNIVERSITY, in partial

fulfillment of the requirement for the award of the MASTER OF BUSINESS

ADMINISTRATION, is a record of original project work done by me during my period

of study in KV INSTITUTE OF MANAGEMENT AND INFORMATION

STUDIES, COIMBATORE, under the supervision of Mr. N.SENTHIL

KUMAR, M.B.A,.

Date:

Signature candidate

Place:

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ACKNOWLEDGEMENT

An endeavor over a long period can be successful only with the advice and support

from many well-wishers. Words are inadequate to express my profound and deep sense of gratitude to those who helped me for bringing out this project successfully.

I express my sincere thanks to Mr. Er.C.KUMAR, B.E., MBA., PMP., CISM.,

managing trustee, of KV Charitable trust, for all the encouragement given to me to completethis project work.

I express my sincere thanks to Mr.Dr. V.S.VELUSWAMY, M.Sc., M.Phil., PhD.,

chairman, of KV Institute of management and information studies, for all the encouragementgiven to me to complete this project work.

I extent my sincere thanks to Mrs.Dr VIDYA M.Com., MBA., M.Phil., Ph.D.,

Principal KV Institute of management and information studies, for providing all the facilitiesto complete my project successfully.

I am much indebted to Mr. N. SENTHIL KUMAR, MBA., Lecturer in the

department of management studies under whose guidance and efforts, I have successfullycompleted my project work.

I am indebted to MY PARENTS, FAMILY MEMBERS & FRIENDS for their love, encouragement, care and consideration. But for them, I would not have been what I amtoday.

Above all, I thank the ALMIGHTY LORD.

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ABSTRACT

The Project Entitled “FERRIS” is SENSOR based company which belong to

INDUSTRY (C51557). It’s a market dependent. This project has been designed and

developed by a group of members.

The Internship training is conducted by eNova technologies. The company has

presence in 3 industries - C51556 and C51558. Employees are trained to run a company that

will forecast market conditions in the future. Each employee will compete towards arriving at

a top strategy to propose to the company. In this process, each employee is required to learn

and report on their findings back to eNova technologies at the end of the assessment.

This Project can be used for the identification purpose & also for the company value

purpose. This project consists of different departments headed by one member who has good

knowledge in the field. An overview of all the departments is given and a special detailed

study is done on RESEARCH AND DEVELOPEMENT. The detail description about

positioning, strategy is also given.

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CONTENTS

CHAPTER DESCRIPTION PAGE NO

1 INTRODUCTION 1

2 COMPANY PROFILE 2

3 ORGANIZATION CHART 3

4 DEPARTMENTS IN THE INDUSTRY-OVERVIEW

4.1 R&D4.2 MARKETING4.3 PRODUCTION4.4 FINANCE4.5 HUMAN RESOURCE MANAGEMENT4.6 TOTAL QUALITY MANAGEMENT

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46781011

5 RESEARCH AND DEVELOPMENT DEPARTMENT

5.1 CHANGING PERFORMANCE, SIZE AND MTBF5.2 INVENTING SENSORS5.3 PROJECT MANAGEMENT5.4 SENSOR’S AGE

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15151717181921

6 CONCLUSION 22

7 APPENDIX

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1. INTRODUCTION

The summer internship training was carried in the eNova technologies, Coimbatore. It

involves the four main functional areas of an organization – Research and Development

(R&D), Marketing, Production and Finance. The two additional areas such as Human

Resource (HR) and Total Quality Management (TQM). The summer internship training was

made on the Research and Development department.

Production is a processes and methods employed in transformation of tangible inputs

and intangible inputs into goods or services. Production is the functional area responsible for

turning inputs into finished outputs through a series of production processes. The production

department manages the production schedule of five products initially. As the year goes, the

production department also manages the newly introduced product in the market.

The production department involves in the buy/sell capacity and the automation rating

of the company’s products in the market. The increase in the production schedule, product’s

capacity and the automation rating are based upon the product’s demand in the market place.

The unit sales forecast was made in the production department as recommended by the

marketing department.

The company’s bottom-line depends upon the effective and efficient functioning of all

the departments such as Research and Development (R&D), Marketing, Production and

Finance, Human Resource (HR) and Total Quality Management (TQM). The Human

Resource and Total Quality Management are maintained under the department of Logistics.

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2. COMPANY PROFILE

eNova Technologies is an IT services company focused on providing value-driven

solutions to its global client, based on its thorough understanding and knowledge of the

emerging technology domains like Web Development, Wireless and Wi-Fi. We have more

than 5 years of experience in providing technology services to customers. Our vision is to

help businesses excel in the Internet & Mobile Age. We aim to provide our clients with

innovative, cost-effective solutions without ever compromising on quality. eNova has

assisted a lot of customers in the United States and has the resources required to assist

organizations in all project situations.

eNova Technologies is a talented interactive web & multimedia design studio founded

by a group of experienced professionals. Our company specializes in digital interactive

design for high-profile companies and individuals. We design and develop projects that

ultimately are seen on computers - websites, intranet sites, CD-ROMs or laptop presentations.

We specialize in Web Design, Multimedia Design and Identity Design. We are based in

United States, India.

Quality Policy

eNova Technologies follow the principles of Total Quality Management be seeking to

satisfy the external customer with quality software services and to continuously improve

processes by working smarter and using special quality methods.

Customer Satisfaction

eNova Technologies seeks to satisfy the customer by providing them value for what

they buy and the quality they expect will get more repeat business, referral business, and

reduced complaints and service expenses.

Continuous improvement

eNova Technologies thrives hard to stay ahead of the curve to meet customer’sdemands and help them achieve their goals.

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3.ORGANIZATIONCHART

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4. DEPARTMENTS IN THE INDUSTRY-OVERVIEW

4.1 RESEARCH AND DEVELOPMENT

Definition:

Discovering new knowledge about products, processes, and services, and then

applying that knowledge to create new and improved products, processes, and services that

fill market needs.

The work of research and development involves developing new products and

improvements to current products are needed to meet the requirements of customers, taking

into consideration changes in consumer demand, seasonal sales changes and the availability

of new materials and technology. The marketing department collects information about

changes in consumer demand and the requirement of customers. The research and

development department must also be aware of new materials, technology and products that

affect the customer’s requirements and possibly the future of their customer’s needs.

New technology can also allow a company to manufacture a product more efficiently

to meet consumer needs and demand. Research is also vital as it provides information for the

development of products.

Also research and development can be split into sub functions, two of which are

product research and development.

Research and development is very expensive and can be very time consuming for

many businesses to be seeing positive results from it, even though this can be the case most

of the time most business invest greatly in research and development.

Research and development also allows better products to be produced but at the same

price for making them, so meaning the company can raise prices for that product. Research

and development also has its risk.

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Even though research and development has been carried out to its fullest there is no

guarantee that the strategy they have produced will work, meaning money can go to waste

from providing money for that research and development project and wasted end products.

This may be due to consumer needs changing all the time or just the industry is adapting to

quickly for that business.

For every business research and development is a vital factor to its success or failure

and also successfully implementing research, which they have gathered into their products to

ensure that they have produced the best products available.

R&D is responsible for inventing new sensors and re-engineering old ones. R&D

determines each sensor’s physical characteristics:

Size (The sensor’s dimensions; there is a trend towards miniaturization.)

Performance (The sensor’s speed and sensitivity; there is a trend towards

improvement)

MTBF (Mean Time Before Failure; the sensor’s expected life span, measured in

hours)

4.2 MARKETING

Definition:

Marketing is defined by the American Marketing Association (AMA) as "the activity,

set of institutions, and processes for creating, communicating, delivering, and exchanging

offerings that have value for customers, clients, partners, and society at large."

Marketing is the process by which companies create customer interest in products or

services. It generates the strategy that underlies sales techniques, business communication,

and business development. It is an integrated process through which companies build strong

customer relationships and create value for their customers and for themselves.

Marketing is used to identify the customer, to keep the customer, and to satisfy the

customer. With the customer as the focus of its activities, it can be concluded that marketing

management is one of the major components of business management. Marketing evolved to

meet the stasis in developing new markets caused by mature markets and overcapacities inthe last 2-3 centuries. The adoption of marketing strategies requires businesses to shift their

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focus from production to the perceived needs and wants of their customers as the means of

staying profitable.

The term marketing concept holds that achieving organizational goals depends on

knowing the needs and wants of target markets and delivering the desired satisfactions. It

proposes that in order to satisfy its organizational objectives, an organization should

anticipate the needs and wants of consumers and satisfy these more effectively than

competitors.

For each sensor model, the Marketing Department sets a:

Price

Promotion Budget (Promotion budgets create awareness; 100% awareness means

every customer knows about the sensor)

Sales Budget (Sales budgets build accessibility via salespeople and distribution

systems; 100% accessibility means every customer can easily interact with the

company)

Sales Forecast(Forecasts are used by Production and Finance)

4.3 PRODUCTION

Definition:

Processes and methods employed in transformation of tangible inputs (raw materials,

semi-finished goods, or subassemblies) and intangible inputs (ideas, information, know how)

into goods or services.

Product management is an organizational lifecycle function within a company dealing

with the planning or forecasting or marketing of a product or products at all stages of

the product lifecycle.

Product management (inbound focused) and product marketing (outbound focused)

are different yet complementary efforts with the objective of maximizing sales revenues,

market share, and profit margins. The role of product management spans many activities

from strategic to tactical and varies based on the organizational structure of the company.

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Product management can be a function separate on its own and a member of marketing or

engineering.

While involved with the entire product lifecycle, product management's main focus is

to drive new product development. According to the Product Development and Management

Association (PDMA), superior and differentiated new products — ones that deliver unique

benefits and superior value to the customer — is the number one driver of success and

product profitability.

For each sensor, the Production Department sets as

Schedules the number of sensors to manufacture based on Marketing’s sales forecasts,

while also considering unsold units from the previous year (inventory)

Changes capacity and automation on existing assembly lines.

Adds assembly lines to manufacture new sensors.

4.4 FINANCE

Definition:

A branch of economics concerned with resource allocation as well as resource management,

acquisition and investment. Simply, finance deals with matters related to money and the

markets.

The finance department of a business takes responsibility for organising the financial

and accounting affairs including the preparation and presentation of appropriate accounts, and

the provision of financial information for managers.

1. Book keeping procedures:

Keeping records of the purchases and sales made by a business as well

as capital spending. These records today are typically kept on computer files. But still the

ledger entries are used to refer to the days when all financial transactions were carefullyrecorded in the books (ledgers).

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2. Creating a balance sheet and profit and loss account:

Financial statements need to be produced at given time intervals, for example at the

end of each financial year. Trial balances are extracted from the ledger entries to create a

Balance Sheet showing the assets and liabilities of a business at the year end. In addition,

records of purchases and sales are totaled up to create a Profit and Loss (P&L) account.

3. Providing management information:

Managers require ongoing financial information to enable them to make better

decisions. They want information about how much it costs to produce a particular product or

service, in order to assess how much to produce and whether it might be more worthwhile to

switch to making an alternative product.

4. Management of wages:

The wages section of the finance department will be responsible for calculating the

wages and salaries of employees and organizing the collection of income tax and national

insurance for the Inland Revenue.

5. Raising of finance:

The finance department will also be responsible for the technical details of how a

business raises finance e.g. through loans, and the repayment of interest on that finance. In

addition it will supervise the payment of dividends to shareholders.

Finance Department makes sure all company activities are funded. While it is possible

to fund activities entirely from operations, it is unlikely to happen in the early years. The

company will need to turn to the capital markets.

The company has three outside sources of money:

Stock Issues

Current Debt (These are one year bank notes.)

Bonds (These are 10 year notes.)

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Other Finance Department activities include:

Issuing Dividends (Reduces retained earnings and increases leverage.)

Retiring Stock (The Company can buy back stock to reduce shares outstanding.)

Retiring Bonds (The Company can retire bonds before they come due.)

Determining accounts payable and accounts receivable policies

4.5 HUMAN RESOURCE MANAGEMENT

Definition: Scarcest and most crucial productive resource that creates the largest and longest

lasting advantage for an organization. It resides in the knowledge, skills, and motivation of

people, is the least mobile of the four factors of production, and (under right conditions)

learns and grows better with age and experience which no other resource can.

Human resources is a term used to describe the individuals who comprise the

workforce of an organization, although it is also applied in labor economics to, for example,

business sectors or even whole nations. Human resources is also the name of the function

within an organization charged with the overall responsibility for implementing strategies and

policies relating to the management of individuals (i.e. the human resources).

The forward thinking human resource department is devoted to providing effective

policies, procedures, and people-friendly guidelines and support within companies.

Additionally, the human resource function serves to make sure that the company mission,

vision, values or guiding principles, the company metrics, and the factors that keep the

company guided toward success are optimized.

When the Human Resources Module is activated, three areas must be addressed:

Compliment

Caliber

Training

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4.6 TOTAL QUALITY MANAGEMENT

Quality Management (or TQM) is a management concept coined by W. Edwards

Deming. The basis of Total Quality Management is to reduce the errors produced during the

manufacturing or service process, increase customer satisfaction, streamline supply chain

management, aim for modernization of equipment and ensure workers have the highest level

of training. One of the principal aims of Total Quality Management is to limit errors to 1 per

1 million units produced. Total Quality Management is often associated with the

development, deployment, and maintenance of organizational systems that are required for

various business processes.

It is based on a strategic approach that focuses on maintaining existing quality

standards as well as making incremental quality improvements. It can also be described as a

cultural initiative as the focus is on establishing a culture of collaboration among various

functional departments within an organization for improving overall quality.

Comparison to Six Sigma

In comparison, Six Sigma is more than just a process improvement program as it is

based on concepts that focus on continuous quality improvements for achieving near

perfection by restricting the number of possible defects to less than 3.4 defects per million. It

is complementary to Statistical Process Control (SPC), which uses statistical methods for

monitoring and controlling business processes. Although both Statistical Process Control and

Total Quality Management help in improving quality, they often reach a stage after which no

further quality improvements can be made. Six Sigma, on the other hand, is different as it

focuses on taking quality improvement processes to the next level.

The basic difference between Six Sigma and Total Quality Management is the

approach. While Total Quality Management views quality as conformance to internal

requirements, Six Sigma focuses on improving quality by reducing the number of defects.

The end result may be the same in both the concepts (i.e. producing better quality products).

Six Sigma helps organizations in reducing operational costs by focusing on defect reduction,

cycle time reduction, and cost savings. It is different from conventional cost cutting measures

that may reduce value and quality. It focuses on identifying and eliminating costs that provide

no value to customers such as costs incurred due to waste.

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Total Quality Management initiatives focus on improving individual operations

within unrelated business processes whereas Six Sigma programs focus on improving all the

operations within a single business process. Six Sigma projects require the skills of

professionals that are certified as ‘black belts’ whereas Total Quality Management initiatives

are usually a part-time activity that can be managed by non-dedicated managers.

Applications Where Six Sigma Is Better: Six Sigma initiatives are based on a

preplanned project charter that outlines the scale of a project, financial targets, anticipated

benefits and milestones. In comparison, organizations that have implemented Total Quality

Management, work without fully knowing what the financial gains might be. Six Sigma is

based on DMAIC (Define-Measure-Analyze-Improve-Control) that helps in making precise

measurements, identifying exact problems, and providing solutions that can be measured.

Six sigma is also different from Total Quality Management in that it is fact based and

data driven, result oriented, providing quantifiable and measurable bottom-line results, linked

to strategy and related to customer requirements. It is applicable to all common business

processes such as administration, sales, marketing and Research and Development. Although

many tools and techniques used in Six Sigma may appear similar to Total Quality

Management, they are often distinct as in Six Sigma, the focus is on the strategic and

systematic application of the tools on targeted projects at the appropriate time. It is predicted

that Six Sigma will outlast Total Quality Management as it has the potential of achieving

more than Total Quality Management.

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5. RESEARCH AND DEVELOPMENT DEPRTEMENT

The research and devel0pment (R&D) department invents new sensors and changes

specifications for existing sensors. Changing size and /or performance reposition a sensor on

the perceptual Map. Improving performance and shrinking size moves the sensor towards the

lower right on the map

Research & development (R &D)

R & D decisions are fundamental to our Marketing and production plans. In

marketing, R & D address

The positioning of each sensor inside a market segment on the perceptual map

The number of sensors in each segment

The age of the sensors

The reliability (MTBF rating) of each sensor in production , R & D affects or

is affected by :

o The cost of material

o To purchase of new facilities to build new sensors

o Automation level (the higher the automation level ,the longer it takes

to complete an R&D project

All R&D projects begin on January .If a sensor does not have a project already

underway, you can launch a new project for the sensor. However, if a project begun in

previous years has not finished by December 31 of last year, we will not able to launch a new

project for sensor

R&D decision affect the perceived age of your sensor. Revising sensor‘s size and / or

performance makes the market view it as a newer product. R&D decisions affect the materialcost of yours sensors. Decreasing size, increasing MTBF increase the cost of material

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The length of time required to revise a sensor varies. Slight revision can complete in

three or four months; more compressive projects, two or three year’s .the longer the project,

the greater the expense: a six month project cost $5000, 000; a 12 month project costs

$1000.000. R&D invents sensors by assigning a name, performance, size and MTBF.

Inventing a sensor always take then a year

Our new sensor cannot built without an assembly line, a new assembly line take one

full year to install. If we invent a sensor, we must coordinate with Production to time the

delivery of our design with the delivery of our assembly line. The number of simultaneous

projects affects the time required for each project to complete .As we added projects, dates,

can slip.be sure to check the revision dates of all your projects.

Effect of two products in a segment

Having two products in a segment offer benefits to say, offering toothpaste regular

flavor and mint. Although the second product does cannibalize the first to some extent, our

overall share increase. Suppose that 10000units are sold equally between five identical

products from five competitors .Each gets 2000 units

Now we introduce a sixth identical product. We now get 3,333 units’ 9two sixths)

while our competitors each get 1,666. To match us, competitors must invest in a second

product of their own, and their gain cannot be as good as our original gain .Furthermore, both

products sales budgets contributor to our accessibility for that segment, which helps to

differentiate product line from the completion

On the other hand, there is a downside to having multiple production in a segment

.Our R&D expenditure in the segment doubles, as do our promotion and expenses.

Our fixed coasts increase, and we give up the opportunity to place the second product

in some other segment. A third product in the segment less gain then the second ,as does the

fourth .In short , our cots increase faster than our market share as we add products.

These factors drive project length:

The product’s automation level on the production line;

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The number of R&D projects underway at the same time

The proximity of the product’s new location to an existing product in our company’s

line

Reliability (MTBF) costs

The higher the reliability, the higher the material cost. An increase f 1000 hours in

MTBF adds about $0.30 to our unit material cost. In general, high End, performance and

Size products have higher material cost. The smaller the size or higher the performance,

the higher the material cost. We can experiment with these factors by bringing up by our R&D area and watching “New material coat “as we change positioning and MTBF.

Positioning cost

Positioning cost is computed on a monthly basis, and the month on a “before and after

“basis if a repositioning of a product occurs. I the product sit still, its material cost gradually

falls throughout the year. If the product reposition, during the month of the reposition, it has a

”before” cost and “after” cost.

The old product design is produced and sold until the revision date. Production then

switches to the new design. Furthermore, our entire old inventory is revoked t match the new

product specification. This will not affect the historical cost of the old inventory. Also we

don’t have to worry about both old and new design on the market

5.1 CHANGING PERFORMANCE, SIZE AND MTBF

A repositioning project moves an existing sensor from one location on the perceptual

map t new location, generally (but not always) down and to the right. Repositioning requires

a new size attribute and/ or a mew performance attribute. To keep up with segment draft,

sensor must be made smaller (that is, decrease its size) and better performing (that is, increase

its performance). Positioning affects material costs. The more advanced the positioning, thehigher the post.

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The reliability rating, or MTBF, for sensors can be adjusted up or down. Each 1000

hours of reliability (MTBF) adds ($.30*20000/1000=$6.00). Improving positioning and

reliability will make a sensor more appealing to customers but doing so increase material cost

5.2 INVENTING SENSORS

New sensors are assigned a name, performance, size, and MTBF. Of course, this

specification should conform to the criteria of the intended market segment. The name of all

sensors must have same first letter of the company name. The production department must

order production capacity to build the new sensors one year in advance. Invention projects

take a least one year to complete.

All new sensors require capacity and automation, which should be purchased by the

production department in the year prior to the sensor’s revision (release) date. If don’t buy the

assembly line the year prior to its introduction, we cannot manufacture our new sensor with a

revision date of July I will be produced in the second half of the year. The capacity and

automation will stand idle for the first half of the year

5.3 PROJECT MANAGEMENT

Projects length can be as short as three months, or as long as three years. Project

length will increase when the company puts two or more sensors into R&D at the same time.

When it’s happened each R&D

Project takes longer. Assembly line automation levels also affect project length. R&D

Project cost is driven by the amount of time they take to complete. A six month project cost

$5000000;a one –year project costs $1000000.sensors will continue to produce and sell at the

old performance, size and MTBF specification up until the day project completes, shown on

the spreadsheet as the revision date. Unsold sensors built prior to the revision date are

reworked free of charge to match the new specifications.

When sensors are crested or moved close to existing sensors, R&D completion times

diminish. This is because our R&D department can take advantage of existing technology. It

is important to verify completion dates after all decision has been entered. Usually we want

repositioning projects to finish in less than a year. For example, consider breaking an 18

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month project into two separate projects, with the first stage ending just before the end of the

current year and the second ending halfway through the following year.

5.4 SENSOR’S AGE

It is possible for sensors to go from an age of 4 years. When a sensor is moved on the

perceptual map, customers perceive the repositioned sensors as newer and improved, but not

brand new. As a compromise, customer cut the age in half. If the product’s age 4 year old, on

the day it is repositioning the product. It does not matter how far the product moves. Aging

commerce’s from the revision date.

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Year 2013

Products Age MTBF Performance Size

Eat 2.4 17500 6.0 14.0

Ebb 5.6 14000 3.0 17.0

Echo 1.6 25500 8.5 11.5

Edge 2.1 25000 10.0 15.2

Egg 2.1 19500 4.5 10.5

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Year 2014


Eat 2.0 18000 6.4 13.6

Ebb 6.6 14000 3.0 17.0

Echo 1.5 24500 9.1 10.7

Edge 1.9 25000 10.4 14.8

Egg 1..9 19500 4.9 10.0

Year 2015


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Eat 1.8 18000 6.7 13.1

Ebb 4.1 14000 3.3 16.6

Echo 1.5 24500 9.8 10.0

Edge 1.8 25000 11.0 14.3

Egg 1.7 19500 3.2 16.9

E 0.9 14000 3.2 16.9

Year 2016


Eat 1.8 18000 7.2 12.9

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Ebb 2.9 14000 3.6 16.5

Echo 1.5 24500 10.9 9.2

Edge 1.6 26500 12.2 13.9

Egg 1.6 20000 6.0 8.2

E 1.4 14000 3.5 16.4

Year 2017


Eat 1.6 18000 8.0 12.0

Ebb 2.3 14000 3.8 16.2

24



Echo 1.4 24500 12.1 7.9

Edge 1.6 27000 6.9 7.0

Egg 1.6 14000 3.8 16.2

E 1.6 14000 3.8 16.2

Year 2018


Eat 1. 18000 8.8 11.3

Ebb 1.9 14000 4.4 15.7

Echo 1.4 24500 13.1 6.8

25



Edge 1.5 27000 14.6 12.2

Egg 1.5 20000 7.7 5.7

E 1.7 14000 4.3 15.8

Year 2019


Eat 1.4 18000 9.6 10.5

Ebb 1.7 14000 4.9 15.2

Echo 1.5 24500 14.1 5.8

Edge 1.5 27000 15.8 11.5

26



Egg 1.5 20000 8.4 4.6

E 1.7 14000 4.8 15.2

Year 2020


Eat 1.4 18000 10.4 9.8

Ebb 1.5 14000 16500 5.4

Echo 1.4 24500 15.6 4.8

Edge 1.4 27000 17.2 10.7

27



Egg 1.6 20000 8.4 3.6

E 1.7 17000 5.4 14.6

6. CONCLUSION

It is hard to understand something without direct experience and through this

internship training program. I can able to gain knowledge about the functional departments in

a company. Each department plays a major role in increasing the company’s performance in

the market. These all departments are needed in a different way in order to achieve the

business objectives in most effective and efficient manner.

The Research & Development department plays a vital role in any of the organization.

With the help of this department, the product quality can be increased. We can develop the

new products and maintain the existing products .It interfaces with the production

department. It also deals with technical aspects. It helps to adopt innovative modifications in

28



the market. It adopts a continuous technology change and development as well as other

competitors and the changing preference of customers. It forms as for all functioning of

departments.

7. APPENDIX

RESULTS OF 8 YEARS

YEAR 2013

ERRIE

ROS 1.5% Days of Working Capital 109.4

Asset Turnover 1.16% Free Cash Flow $ 0

ROA 1.7% Plant and Equipment $ 141,200

Leverage 1.8 Total Assets $ 144,849

29



ROE 3.1% Plant Utilization 96.6%

Emergency Loans $0 Traditional Segment Share 19%

Sales $ 125,560,690 Low End Segment Share 24%

EBIT $ 8,305,797 High End Segment Share 20%

Profit $ 1,837,616Performance SegmentShare

15%

Cumulative Profit -$6,026,123 Size Segment Share 16%

SGA 17.3% Overall Market Share 34.68%

Contribution Margin 31.1% Complement 724

Stock price $ 1.00 Overtime 0.00%

Market Capitalization $ 79,000,000 Turnover Rate 10%

S&P Rating BB Productivity Index 100.00%

Working Capital $ 60,050,530

YEAR 2014

ERRIE

ROS 1.6% Days of Working Capital 110.4




30




Emergency Loans $803,022 Traditional Segment Share 19%




21%

Cumulative Profit $8,530,456 Size Segment Share 17%



Stock price $ 29.48 Overtime 7%


S&P Rating BB Productivity Index 101.00%


YEAR 2015

ERRIE

ROS -2.3% Days of Working Capital 110.4


ROA -2.0% Plant and Equipment $ 179,770

31




ROE -4.1% Plant Utilization 96.6%




Profit $ (3,744,544)Performance SegmentShare

13%




Stock price $ 25.87 Overtime 0%

Market Capitalization $ 85,000,000 Turnover Rate6.87

%

S&P Rating B Productivity Index 106.00%

Working Capital $80 ,050,530

YEAR 2016

ERRIE

ROS -2.4% Days of Working Capital 100



32



Leverage 22 Total Assets $ 201,838

ROE -4.5% Plant Utilization 100.6%




Profit $ (4,073,296)Performance SegmentShare

13%

Cumulative Profit $712,617 Size Segment Share 13%





S&P Rating CCC Productivity Index 109.5%


YEAR 2017

ERRIE

ROS 4.8% Days of Working Capital 110


33










13%





Market Capitalization $ 130,000,000 Turnover Rate 0.1%

S&P Rating B Productivity Index 113.0%


YEAR 2018

ERRIE


34







Emergency Loans $0 Traditional Segment Share 16.0%

Sales $ 212,187,766 Low End Segment Share 23.0%

EBIT $ 36,343,613 High End Segment Share 17.0%

Profit $ 16,753,736Performance Segment

Share

14.0%

Cumulative Profit $26,872,370 Size Segment Share 14.0%





S&P Rating

BBBProductivity Index 115.5%


YEAR 2019

ERRIE

35







ROE 11.4% Plant Utilization 149%





11.0%






S&P Rating

AAAProductivity Index 118.1%


YEAR 2020

36



ERRIE





ROE 10.1% Plant Utilization 109%

Emergency Loans $0 Traditional Segment Share 18.0%




11.0%






S&P Rating

AProductivity Index 120.8%


YEAR 2013

37



YEAR 2014

38



YEAR 2015

39



YEAR 2016

40



YEAR 2017

41



YEAR 2018

42



YEAR 2019

43



YEAR 2020

44

fmeg project

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