Agilent is a diversified technology company that was spun off from Hewlett-Packard in 1999. It has over 47,000 employees globally and generates over half its revenue outside the US. The company has four business sectors: test and measurement, semiconductor products, chemical analysis, and healthcare solutions. It focuses on managing accounts receivables by maintaining strong customer relationships, using collection methods like phone calls and payment plans, and monitoring receivables through metrics like days sales outstanding and aging schedules. The internship provided practical experience in working with accounts receivables through activities like making collection calls and understanding corporate work culture.

2. MANAGEMENT OF ACCOUNTS RECEIVABLES

3. INTRODUCTION OF COMPANY
• Agilent became a corporation in November 1999 as a “spin off” of Hewlett-
Packard (HP).
• Agilent Technologies is essentially the original test and measurement business
of HP, begun in 1939 in the famous ‘garage of innovation’ in Palo Alto.
• This business sector produced over $8 billion in revenues and grew to $11
billion in its first operating year. Headquartered in Palo Alto, California,
Agilent has over 47,000 employees based in 40 countries worldwide and
customer markets in 120 countries.
• More than half of their revenue is generated outside the United States. Major
manufacturing and R&D sites are located in the U.S., Europe, and Asia-Pacific.
• In their first year of operations, Agilent earned a place on the Forbes Platinum
400 list and was ranked #46 on Fortune’s Top 100 Best Places to Work.

4. • Agilent is a diversified technology company whose products and solutions
revolutionize how people live and work.
• Agilent’s 20,000 products in 80 product lines focus primarily on advanced
test and measurement equipment for the communications-electronics sector,
semiconductor products, and analysis tools for chemical/life science
industries.
• They provide sensor, analysis, display, and communication tools that leading
technology companies then use to create products that change our lives.
Relying heavily on innovative, leading edge technology solutions, the
company devotes 10-12% of its annual revenue to research and development
concentrating on future technologies through the Agilent Labs.
• Agilent has an extensive technology capability and is a leader in every
market they serve. Their vision is to be ”…. A technology innovator, a
supplier and partner of choice, a great place to work, and a force for
economic and social progress.” Their goal is to be a high growth company,
growing at least 15% per year .

5. COMPANIES PRIORITIES FOCUS ON :-
• Customers—Making Agilent “Easy To Do Business With” by improving
timeliness of deliveries, quality of service, and ease of interface
• Operations—Setting aggressive operational goals and making real time
adjustments
• People—Embracing change; cultivating leadership; Living corporate values
• Growth—Outgrow the competition in current markets and execute on
initiatives in new markets.

6. AGILENT CURRENTLY HAS FOUR BUSINESS SECTORS:-
• Test and Measurement, contributing almost 60% of revenue and
encompassing the Automated Test Group, Communications Solutions Group,
and the Electronic Products and Solutions Group.
• Semiconductor Products Group accounting for 20% of revenue.
• Chemical Analysis Group, 10% of revenue but anticipated to be the fastest
growing sector as it provides tools for the biotechnology industry.
• Healthcare Solutions Group, 13% of revenue. During my tenure, the decision
was made to divest HSG in a sale to the Phillips Corporation and that
divestiture is currently ongoing.
• Functions are organized on a global service line basis, centralized under
functional heads and “dotted lined” to the business groups as advisors,
liaisons, and coordinators. Agilent Laboratories supports future technologies
for all business sectors.

7. AGILENT CUSTOMERS :-

8. COMPETITORS OF AGILENT

9. OBJECTIVES OF STUDY :-
• List the common classifications of receivables.
• Summarize and provide examples of internal control procedures that
apply to receivables.
• Describe the nature of and the accounting for uncollectible receivables.
• How does company manage accounts receivables?
• Identify Ratios to Analyze a Company's Receivables.
Methods to Accelerate the Receipt of Cash from Receivables.

10. RESEARCH METHODLOGY
1) Primary data
The primary data is that data which is collected fresh or first hand, and for
first time which is original in nature. Primary data can collect through
personal interview, questionnaire etc. to support the secondary data.
2) Secondary data collection method
The secondary data are those which have already collected and stored.
Secondary data easily get those secondary data from records, journals,
annual reports of the company etc. It will save the time, money and efforts to
collect the data. Secondary data also made available through trade magazines,
balance sheets, books etc.
Research is based on my day to day work related to accounts receivables
management in company. My efforts to achieve my objective on time. This
project is based on primary data collected through personal interview of head
of account department, head of AR department and other concerned staff
member of finance department.

11. SCOPE OF PROJECT :-
• Current organisation work-culture.
• Industry practical knowledge.
• Gives Professional touch.
• Better awareness about market competition.
• Get chance to face different types of customers and tackle with different
Situation.

12. • Accounts Receivable—used for selling merchandise or services on credit, and
normally expected to be collected in a relatively short period.
• An account receivable is classified as a current asset representing
money due for services performed or merchandise sold on credit.
• When an account becomes uncollectible, a bad debt expense is incurred.
• Notes Receivable used to grant credit on the basis of a formal instrument of
credit, called a promissory note.
• Other Receivables—include interest receivable, taxes receivable, and
receivables from officers and employees.
INTRODUCTION OF TOPIC:-

14. Why do we need receivables?
To increase total sales.
To increase profits.
To meet increasing Competition.
Understanding Receivables
As a part of the operating cycle
Time lag between sales and receivables creates need for working
capital.
Explain how Accounts Receivable are Recognized in the Accounts:-
• For a service organization, a receivable is recorded when service is
provided on account.
• Merchandisers record accounts receivable at the point of sale of
merchandise on account.
• Entry is recorded to increase both Sales and Accounts Receivable.
• Receivable may be reduced by sales discount and/or sales return.

15. How does company manage accounts receivables?
• Customer contracts
• Phone:- Make calls to remind them to make due payment.
• Fax:- Send information to customer regarding due payment
electronically.
• E-mail Address:- Send email to customers for making due payment.
• Customer Terms
• Invoice Form
• Packing slip with product ship
• Proof of delivery of shipments.

16. Collecting Accounts Receivables:-
• Collection efforts are proactive and reactive:-
 Proactive Collections:- Credit Collections with accounts payable and bank
references.
Manage customer credit limits. Strict use of customer terms. COD for new and
problem customers. Manage the customer base.
• Target collection efforts.
• Call the customer
• Use new order for leverage of payment.
• Using collection agencies.

17. COLLECTIONS EFFORTS :-

18. COLLECTION METHODS :-
Centralised / Decentralised collection system
Post – dated cheques
Pay Orders / Bank drafts
Bills of Exchange
Lock – box System
Drop – box System
Collection staff/ agents
Debt collector
Del Credere agent
Concentration banking

19. MONITORING RECEIVABLES :-
Day Sales Outstanding
The average number of day’s sales outstanding at any time, say end of the
month or end of the quarter, is obtained by following the formula.
Accounts receivable at time chosen
Day’s sales outstanding = --------------------------------------------
Average daily sales
Ageing Schedule :-
Classifies the outstanding accounts receivables at a given point of time
into different age brackets.
Ex.
Age Group (days) % of receivables
0-30 30
31-60 40
61-90 25
>=90 5

20. CONCLUSION :-
After 2 months of internship and this presentation I learned :-
• Current organisation work-culture is very important to know. I come
to know how is work culture is different in corporates.
• Also gain practical knowledge of work related to my specialization
like auditing, make calls to companies regarding various subjects,
collection of payments .
• Company tries their best to give full professional touch to me as a
employee.
• Better awareness about behavior, work environment in corporates.
• Get chance to face different types of customers and tackle with
different Situation.

21. Thanks
You