cremica production synopsis
TRANSCRIPT
PROJECT REPORT
ON
PRODUCTION PROCESS OF CREMICA
Submitted To
Panjab University, Chandigarh
In partial fulfillment of the requirement for the degree
of
Bachelor of Business Administration
SUBMITTED BY
DISHA SHARMA
UNIVERSITY ROLL NO. 14311000404
KHALSA COLLEGE FOR WOMEN, CIVIL LINES
LUDHIANA
(2013 – 2014)
CERTIFICATE – I
I certify that the project report “Production Process of Cremica Industry”
has been undertaken by me for the partial fulfillment of the requirement of
the degree of Bachelor of Business Administration and is an original piece
of work done and that no part of this project has been submitted for any
other degree, diploma, fellowship or similar title in the university or in any
other university.
I express my sincere gratitude to my advisor, Ms. Pooja Chatley, for her
valuable guidance, support and co-operation extended for completion of this
project.
Disha Sharma
CERTIFICATE – II
This is to certify that this project report entitled “Production Process of
Cremica Industry”, submitted in the partial fulfillment of requirement of
the award of BBA (Bachelor of Business Administration) at Khalsa
College for Women, affiliated to Panjab University is a bonafide research
carried by Disha Sharma, University Roll No. 14311000404, under my
supervision and no part of this project has been submitted for any other
degree.
Advisor
Ms. Pooja Chatley
ACKNOWLEDGEMENT
Foremost of all, I express my sincere indebtness to the ‘Almighty’ for
bestowing me with all the favorable circumstances and kept me in high
spirits.
A feeling of elation insists me on expressing my heartiest thanks, deep sense
of gratitude and indebtness to my major advisor Mrs. for her
judicious, impeccable and sagacious guidance, constant and vital
encouragement, perceptive enthusiasm, unstilted interest and determined
efforts even in her demanding schedule.
A formal statement of acknowledgement will hardly meet the ends of my
justice in the matter of my deep and unbound sense of gratitude to All
faculty members for their guidance, support, time to time gearing up, co-
operative attitude and generous help, which led to the completion of this
project.
I would like to thank Dr. (Mrs.) Varinder Kaur Thind (Principal) for
providing us better infrastructure and other inputs for study.
Disha Sharma
TABLE OF CONTENTS
Chapter No. Chapter Name Page No.
1. Introduction
2. Objectives
3. Research Methodology
4. Data Analysis and Interpretation
5. Findings
6. Limitations
7. Suggestions
8. Conclusion
Bibliography
Annexure
INTRODUCTION
Production is a conversion function by which goods and services are
produced. A typical production system comprises of three main components:
Inputs, Transformation process and Output.
(i) Inputs are men, materials, machines, instructions, drawings, and paper work
and instructions.
(ii) The Transformation Process involves operations, mechanical or chemical,
to Change/convert inputs into outputs. It also includes activities that assist
conversion,
Typical examples are —
• Planning and control of factors of production.
• Procurement of materials.
• Receipt, storage and issue of materials.
• Material handling (to move materials to the point of use.)
• Inspection of ill-process and parts.
• Assembly and testing of products.
• Storage of finished goods.
• Instructions, authorizations, inspections, information storage/retrieval etc.
(iii) Output is goods and services (e.g. products, parts, paper work, served
customers etc.
The combination of operations and activities stated above employed to
create goods and services are known as Production System. A Production
System therefore may be looked upon as an independent group of sub-
systems, each sub-system performing a distinct function. Different sub-
systems may perform different functions, yet they are inter-related and
require to be unified to achieve overall objectives of the organization.
Production System needs to interact with both internal and external
environment. The internal environment is the combination of engineering,
marketing, personnel and accounts activities whereas external environment
comprises of customers, competitors, suppliers, labor unions etc.
The selection of the Production System is a strategic decision for most
organizations since changes at a later date arc very expensive to make. The
systems selected should be such that it can give the desired output, required
quality and is cost-effective.
FACTORS INFLUENCING CHOICE OF PRODUCTION SYSTEM
There is no best Production System for any product. The choice of the
system depends on various circumstances but it must meet two basic
objectives, namely -
(i) It must be able to meet the specifications of the final product, and
(ii) It must be cost effective
The product specifications can be met by choosing the right technology but
that is not always an easy task. Since stricter specifications add to the cost of
the product, there is always a trade off between the desired specifications
and the cost to achieve such specifications. For example, sophisticated
injection moulding machines and high quality plastics can produce excellent
dolls cheaply provided they are produced in volume. However, if their
demand is limited, they may not be able to compete with “home made” dolls
produced in small quantities and sold at a fraction of the price of the
moulded version.
Various factors which determine the choice of the manufacturing process are
as follows:
(a) Effect of volume/variety
One of the major considerations in the process selection is the
volume/variety of the products.
Relationship between degree of repetitiveness & transformation Process
High product variety require highly skilled labour, general purpose
machines, detailed production planning and control system.
On the other hand low product variety (i.e. one or few products produced in
large volumes) enables the use of low skilled labor, highly automated mass
production processes using special purpose machines and simple production
planning and control systems.
Fig. exhibits the relationship between output and the transformation process.
The horizontal axis shows the degree of repetitiveness represented in terms
of batch size, one end showing the products produced in batches of one and
other end representing products produced in very large batch sizes.
The vertical axis represents the transformation process, the top representing
the project form where each project is followed by another (no two projects
being alike) and the bottom representing the process form where the single
product with highly continuous material flow (e.g. as in refinery, sugar mill)
is produced.
Shaded area in each bar suggests the Production System desirable for the
indicated volume. Unshaded area in the lower portion of the column implies
that it is inadvisable to use the continuous form when the batch is really
small. Similarly, when the batch is really large, it is not at all advisable to
use the project form.
For these reasons, decisions involving process selection must be taken while
formulating the corporate strategy of the firm
(b) Capacity of the plant
The projected sales volume is a major influencing factor in determining
whether the firm should go in for intermittent or continuous process. Fixed
costs are high for continuous process and low for intermittent process while
variable costs are more for the intermittent process and less for continuous
process. Intermittent process therefore will be cheaper to install and operate
at low volumes and continuous process will be economical to use at high
volume.
Effect of volume on manufacturing process selection
(c)Flexibility
Flexibility implies the ability of the company to satisfy varied customers
requirements. Flexibility and product variety are inter-related. If more
variety is to be manufactured, the manufacturing facilities will have to be
commonised and depending upon the volume, the extent of commonalities
will require to be justified. Greater commonalities demands intermittent
manufacturing which is associated with higher inventories, large
manufacturing lead times and elaborate planning and control.
(d) Lead time
Lead times more appropriately called delivery lead times expected by the
customers (i.e. how soon the demand has to be met without losing on sales)
is another major influencing factor in a competitive market. As a general
rule, faster deliveries are expected in a competitive market. The product,
therefore, may require to be produced to stock using principles of batch
production/mass product
(e)Efficiency
Efficiency measures the speed and the cost of the transformation process.
Efficiency is the greatest when the product is mass producted. But to mass
produce a product, greater sales volumes are required. Therefore, depending
upon the sales volume, product variety will have to be considered and the
process which will give the best efficiency in terms of machine and
manpower utilization will have to be selected.
(f)Environment
Environment brings in new technologies and forces the adoption of new
process of manufacturing. For example, wooden furniture is gradually being
replaced by metals and plastic. A furniture manufacturing unit will have to
change its technology (i.e. change from one off production to batch
production) to fall in line with changing times. Similarly, as market
preferences change due fashions or other reasons, the manufacturing process
has to be changed accordingly.
CLASSIFICATION OF PRODUCTION SYSTEMS
Classification of Production System
INTERMITTENT SYSTEM
In this system, the goods are manufactured specially to fulfill orders made
by customers rather than for stock. Here the flow of material is intermittent.
Intermittent production systems are those where the production facilities are
flexible enough to handle a wide variety of products and sizes. These can be
used to manufacture those products where the basic nature of inputs changes
with the change in the design of the product and the production process
requires continuous adjustments. Considerable storage between operation is
required, so that individual operations can be carried out independently for
further utilization of men and machines. Examples of intermittent system
are: machine shops, hospitals, general office etc.
Chief characteristics of intermittent system are: -
(i) Most products are produced in small quantities
(ii) Machines and equipment are laid out by process.
(iii) Workloads are generally unbalanced.
(iv) Highly skilled operators are required for efficient use of machines and
equipment.
(v) In-process inventory is large.
(vi) Flexible to suit production varieties.
Planning and Control Mechanism for Intermittent System : -
Organization of production planning and control operations in intermittent
systems needs estimation of jobs, routing, scheduling, preparation of
manufacturing orders, dispatching and production control.
Here customer provides the blue print and other specification regarding the
product to be manufactured. Then the organization formulates their
production strategy to suit the needs of the customer.
(i) This type of Production System covers specialties of every type and sub
assemblies or parts which are required to manufacture the product. Due to
this there is continuous planning at each fresh order.
(ii) Due to variety of orders and different lot sizes, the system needs wise
and careful sequencing of operations which makes routing and scheduling
operations elaborate and complex.
(iii) Proper regulation and close inspection is required at different stages of
production.
(iv) Storage facilities are to be provided at each operational stage.
So the job of stock control of raw materials, semi-finished goods and
finished goods should be entrusted to competent personnel, who can regulate
the operations and flow of material smoothly.
Intermittent systems can be further classified into two categories, namely
(a) Project production
Project production where a single assignment of complex nature is
undertaken for completion within the given period and within the estimated
expenditure.
(b) Job production
Jobbing production where one or few units of a product are produced to
customer’s requirement within the given date amid within the price fixed
prior to the contract.
(c) Batch production
Batch production where limited quantity of each type of product is
authorized for manufacture at a time.
CONTINUOUS SYSTEM
In this system the items are produced for the stocks and not for specific
orders. Before planning manufacturing to stock, a sales forecast is made to
estimate likely demand of the product and a master schedule is prepared to
adjust the sales forecast according to past orders and level of inventory. Here
the inputs are standardized and a standard set of processes and sequence of
processes can be adopted. Due to this routing and scheduling for the whole
process can be standardized.
After setting of master production schedule, a detailed planning is carried
on. Basic manufacturing information and bills of material are recorded.
Information for machine load charts, equipment, personnel and material
needs is tabulated. In continuous Production Systems each production run
manufactures in large lot sizes and the production process is carried on in a
definite sequence of operations in a pre-determined order. In process storage
is not necessary which in turn reduces material handling and transportation
facilities. First in first out priority rules are followed in the system. In short,
here the input-output characteristics are standardized allowing for
standardization of operations and their sequence.
Production Control Mechanism for Continuous Production System: -
In this system the control mechanism is not as elaborate and complex as for
intermittent system. In continuous system large quantities of standardized
products are produced using standardized production process.
Following points of control mechanism are worth noting for such a
system
(i) This system does not involve diverse work, due to which routing
standardized route and schedule sheets are prepared.
(ii) In case of standard products meant for mass production, master route
sheets are prepared for more effective co- ordination of various departments.
(iii) Scheduling is required to rate the output of various standard products in
their order of priority, operations and correct sequence to meet sales,
requirements.
(iv) Work relating to dispatching and follow-up is usually simple. Dispatch
schedules can be prepared well in advance in such systems. Continuous
system can be divided into two types of production, namely
(A) Mass & (B) Process production.
Mass and flow production where a production run is conducted either on a
single machine or on a number of machines, arranged according to the
sequence of operations and several number of a product are manufactured at
a time and stocked in warehouse awaiting sales.
INTERMITTENT PRODUCTION SYSTEM
BATCH PRODUCTION
Batch production is characterized by the manufacture of a limited number of
product (but many such, quantities of different products) produced at regular
intervals and stocked in warehouses as finished goods (or finished parts,)
awaiting sales (or withdrawal for assembly). Typical examples of batch
production are : Process industries such as pharmaceuticals, paints,
chemicals; medium and heavy engineering industry engaged in the
manufacture of electric motors, switch gears, heavy motor vehicles, internal
combustion engines; manufacturers of ready made garments; manufacturing
and assembly shops such as machine tools; sub-contractors which take on
machining of batches of components to the drawings of a large
manufacturer.
Batch production is used to produce or process any product in groups that
are called batches, as opposed to a continuous production process, or a one-
time production. An example of batch production can be found in a bakery.
The products, for example bread, are made in batches of however many will
fit in the baker's oven at a time. When that batch is made, the baker will start
the process again with a new batch. Batch production techniques are used in
the manufacture of specialty chemicals such as active pharmaceutical
ingredients, inks, paints and adhesives.
In the manufacture of inks and paints, a technique called a color-run is used.
A color-run is where one manufactures the lightest color first, such as light
yellow followed by the next increasingly darker color such as orange, then
red and so on until reaching black and then they start over again. This
minimizes the cleanup and reconfiguring of the machinery between each
batch. White (by which is meant opaque paint, not transparent ink) is the
only color that cannot be used in a color run due to the fact that a small
amount of white pigment can adversely affect the medium colors.
There are inefficiencies associated with batch production. The production
equipment must be stopped, re-configured, and its output tested before the
next batch can be produced.
Time between batches is known as 'Down Time' where the factory would
make seasonal items or consumables such as toasters where no one can
predict the quantity needed.
There are several advantages of batch production; it can reduce initial capital
outlay because a single production line can be used to produce several
products. As shown in the example, batch production can be useful for small
businesses who cannot afford to run continuous production lines. Also,
companies can use batch production as a trial run. If a retailer buys a batch
of a product and people do not buy them then the producer can cease
production without having to sustain huge losses. Other types of production
include: assembly line, job production, continuous, cell, and project.
Characteristics of batch production: -
(A) Supervisor to possess knowledge of a specific process
The supervisors have considerable knowledge of a specific process.
Supervisor in the grinding section for example, may not know about turning
and drilling work but is expected to P055C55 a fund of knowledge of
different types of grinding operations. Similarly, a supervisor in the gear
shop is expected to have sound knowledge in working of different types of
gear cutting machines.
(B) General purpose machines and process type of layout
Plant and equipment is procured and arranged to obtain maximum
flexibility. General purpose machines and handling equipments capable of
performing variety of operations with minimum set-lip tunes are installed in
lieu of variety of products. The machines are arranged to give process
layout- layout by function. Similar machines capable of doing similar types
of operations are grouped together and kept at one place. Presses, for
example, are put together and kept at one place, milling machines are placed
together at another place, drilling machines are kept at the third place, and
gear cutting machines are located at the fourth place and so on. Each group
of machines is usually designated as a work centre or a section or a shop.
(C) Manual materials handling:
Materials handling in batch production as compared to jobbing production
are small. Individual components and parts arc placed in trolleys or in bins
and are transported as unit loads. Materials handling may be mechanized by
deploying power driven trucks.
(D) Manufacturing cycle time affected due to queues
The manufacturing cycle time is comparatively smaller than jobbing
production but is much more than mass and flow production. The batches of
work tend to queue up at different machines due to differing cycle times,
batch sizes and sequence of operations.
(E) Large work-in-progress
Work in progress is comparatively large due to varying work content of
different components, imbalances in manufacturing times, formation of
queues between the machines.
(F) Need to have production planning and control
Functions of production planning and control in a batch production unit are
more complex than those in jobbing production or mass and flow
production.
• Materials control and tools control functions are important. Scientific
stock-control system needs to be used to ensure routine replenishment.
• Detailed operational layouts and route sheets are prepared for each part of
the product.
• Lo and scheduling needs to be more detailed and more sophisticated since
every machine requires to be individually scheduled.
• Progressing function is very important to collect information on progress
of work.
A separate progress card needs to be maintained to record progress of each
component.
• Expediting is generally necessary since quite often jobs, due to imbalances
in work content, tend to lag behind.
EXAMPLE OF BATCH PRODUCTION SYSTEM
As businesses grow and production volumes increase, the production process is often
changed to a “batch method”. Batch methods require that a group of items move through
the production process together, a stage at a time.
For example when a bakery bakes loaves of wholemeal bread, a large ball of wholemeal
dough will be split into several loaves which will be spread out together on a large baking
tray. The loaves on the tray will then together be cooked, wrapped and dispatched to
shelves, before the bakery starts on a separate batch of, for example, crusty white bread.
Note that each loaf is identical within a batch but that loaves can vary from batch to
batch.
Batch production is a very common method of organising manufacture. Good examples
include:
Production of electronic instruments
Fish and chip shops
Paint and wallpaper manufacturers
Cereal farming
ADVANTAGES
The batch method can be an advantage for businesses that produce a range of products. It
is cheaper to produce a number of each item in one go because machines can be used
more effectively, the materials can be bought in bulk and the workers can specialize in
that task. There are two particular advantages of workers being able to concentrate their
skills.
They should become more expert at their tasks, which will in turn increase productivity
(output per worker). This will lower costs, as fewer workers are needed to produce a set
amount.
Better quality products should be produced as workers are more familiar with the task
and so can find ways of improving it.
DISADVANTAGES
Batch production requires very careful planning to decide what batch will be produced
when. Once a batch is in production it is difficult to change, as switching to another batch
takes time and will mean a loss of output. Batch methods can also result in the build up of
significant “work in progress” or stocks (i.e. completed batches waiting for their turn to
be worked on in the next operation). This increases costs as it takes up space and raises
the chance of damage to stock.
CONTINUOUS PRODUCTION SYSTEM
MASS PRODUCTION
Standardization is the fundamental characteristic of this system. Here items
are produced in large quantities and much emphasis is not given to
consumers orders. In fact the production is to stock and not to order.
Standardization is there w.r.t. materials and machines. Uniform and
uninterrupted flow of material is maintained through pre determined
sequence of operations required to produce the product. The system can
produce only one type of product at one time.
These days, mass production system is generally used to manufacture sub-
assemblies or particular parts/components of an item. These parts are
assembled together by the enterprise to get the final product. One distinct
advantage of this approach is that different combinations of sub-assemblies
or parts can be used to manufacture different kinds of products.
Specialization and standardization in manufacturing single component also
leads to economies in production and product diversification to meet specific
demands of consumers.
Mass production is the name given to the method of producing goods in
large quantities at low cost per unit. But mass production, although allowing
lower prices, does not have to mean low-quality production. Instead, mass-
produced goods are standardized by means of precision-manufactured,
interchangeable parts. The mass production process itself is characterized by
mechanization to achieve high volume, elaborate organization of materials
flow through various stages of manufacturing, careful supervision of quality
standards, and minute division of labour. To make it worthwhile, mass
production requires mass consumption. Until relatively recent times the only
large-scale demand for standardized, uniform products came from military
organizations. The major experiments that eventually led to mass production
were first performed under the aegis of the military.
Machine tools and interchangeable parts The material basis for mass
production was laid by the development of the machine-tool industry--that
is, the making of machines to make machines. Though some basic devices
such as the woodworking lathe had existed for centuries, their translation
into industrial machine tools capable of cutting and shaping hard metals to
precise tolerances was brought about by a series of 19th-century innovators,
first in Britain and later in the United States. With precision equipment,
large numbers of identical parts could be produced at low cost and with a
small work force.
The system of manufacture involving production of many identical parts and
their assembly into finished products came to be called the American
System, because it achieved its fullest maturity in the United States.
Although Eli Whitney has been given credit for this development, his ideas
had appeared earlier in Sweden, France, and Britain and were being
practiced in arms factories in the United States. During the years 1802-08,
for example, the French émigré engineer Marc Brunel, while working for the
British Admiralty in the Portsmouth Dockyard, devised a process for
producing wooden pulley blocks by sequential machine operations. Ten
men, in place of 110 needed previously, were able to make 160,000 pulley
blocks per year. British manufacturers, however, ignored Brunel's ideas, and
it was not until London's Crystal Palace exhibition of 1851 that British
engineers, viewing exhibits of machines used in the United States to produce
interchangeable parts, began to apply the system. By the third quarter of the
19th century, the American System was employed in making small arms,
clocks, textile machinery, sewing machines, and a host of other industrial
products.
The assembly line. Though prototypes of the assembly line can be traced to
antiquity, the true ancestor of this industrial technique was the 19th-century
meat-packing industry in Cincinnati, Ohio, and in Chicago, where overhead
trolleys were employed to convey carcasses from worker to worker. When
these trolleys were connected with chains and power was used to move the
carcasses past the workers at a steady pace, they formed a true assembly line
(or in effect a "disassembly" line in the case of meat cutters). Stationary
workers concentrated on one task, performing it at a pace dictated by the
machine, minimizing unnecessary movement, and dramatically increasing
productivity.
Drawing upon observations of the meat-packing industry, the American
automobile manufacturer Henry Ford designed an assembly line that began
operation in 1913. The result was a remarkable reduction of manufacturing
time for magneto flywheels from 20 minutes to five minutes. This success
stimulated Ford to apply the technique to chassis assembly. Under the old
system, by which parts were carried to a stationary assembly point, 12 1/2
man-hours were required for each chassis. Using a rope to pull the chassis
past stockpiles of components, Ford cut labour time to six man-hours. With
improvements--a chain drive to power assembly-line movement, stationary
locations for the workmen, and work stations designed for convenience and
comfort--assembly time fell to 93 man-minutes by the end of April 1914.
Ford's methods drastically reduced the price of a private automobile,
bringing it within the reach of the common man. (see also Index: automotive
industry ) Ford's spectacular feats forced both his competitors and his parts
suppliers to initiate his technique, and the assembly line spread through a
large part of U.S. industry, bringing dramatic gains in productivity and
causing skilled workers to be replaced with low-cost unskilled labour.
Because the pace of the assembly line was dictated by machines, the
temptation arose to accelerate the machines, forcing the workers to keep up.
Such speedups became a serious point of contention between labour and
management, while the dull, repetitive nature of many assembly-line jobs
bored employees, reducing their output.
Effects on the organization of work. The development of mass production
transformed the organization of work in three important ways. First, tasks
were minutely subdivided and performed by unskilled workers, or at least
semiskilled workers, since much of the skill was built into the machine.
Second, manufacturing concerns grew to such size that a large hierarchy of
supervisors and managers became necessary. Third, the increasing
complexity of operations required employment of a large management staff
of accountants, engineers, chemists, and, later, social psychologists, in
addition to a large distribution and sales force. Mass production also
heightened the trend toward an international division of labour. The huge
new factories often needed raw materials from abroad, while saturation of
national markets led to a search for customers overseas. Thus, some
countries became exporters of raw materials and importers of finished
goods, while others did the reverse.
In the 1970s and '80s some countries, particularly in Asia and South
America, that had hitherto been largely agricultural and that had imported
manufactured goods began industrializing. The skills needed by workers on
assembly-line tasks were easily acquired, and standards of living in these
developing countries were so low that wages could be kept below those of
the already industrialized nations. Many large manufacturers in the United
States and elsewhere therefore began "outsourcing"--that is, having parts
made or whole products assembled in developing nations. Consequently,
those countries are rapidly becoming integrated into the world economic
community.
Mass production (also called flow production or repetitive flow
production) is the production of large amounts of standardized products on
production lines. It was popularised by Henry Ford in the early 20th
Century, notably in his Ford Model T. Mass production is notable because it
permits very high rates of production per worker and therefore provides very
inexpensive products. Mass production is capital intensive, as it uses a high
proportion of machinery in relation to workers. With fewer labour costs and
a faster rate of production, capital is increased while expenditure is
decreased. However the machinery that is needed to set up a mass
production line is so expensive that there must be some assurance that the
product is to be successful so the company can get a return on its
investment. Machinery for mass production such as robots and machine
presses have high installation costs.
One of the descriptions of mass production is that the craftsmanship is in the
workbench itself, not the training of the worker; rather than having a skilled
worker measure every dimension of each part of the product against the
plans or the other parts as it is being formed, there are jigs and gauge blocks
that are ready at hand to ensure that the part is made to fit this set-up. It has
already been checked that the finished part will be to specifications to fit all
the other finished parts - and it will be made quicker, with no time spent on
finishing the parts to fit one another. This is the specialized capital required
for mass production; each workbench is different and each set of tools at
each workbench limited to those necessary to make one part.
Use of assembly lines in mass production
Mass production systems are usually organized into assembly lines. The
assemblies pass by on a conveyor, or if they are heavy, hung from an
overhead monorail.
In a factory for a complex product, rather than one assembly line, there may
be many auxiliary assembly lines feeding sub-assemblies (i.e. car engines or
seats) to a backbone "main" assembly line. A diagram of a typical mass-
production factory looks more like the skeleton of a fish than a single line.
This is also used in food manufacturer to produce foods continuously.
Characteristics of mass & flow production
(A) Special purpose machines and product type layout:
Special purpose machines are used and the plant assembly stages are laid out
on the basis of product layout, the layout-by-sequence.
(B) Lesser flexibility in production schedules
Interruptions due to breakdowns and absenteeism seriously affect production
as stoppage of one machine usually disturbs the working of other machines.
Systematic maintenance and “provisioning of stand-by operators” are,
therefore, two major management functions.
EXAMPLE OF MASS PRODUCTION SYSTEM
Flow production involves a continuous movement of items through the
production process. This means that when one task is finished the next task
must start immediately. Therefore, the time taken on each task must be the
same.
Flow production (often known as mass production) involves the use of
production lines such as in a car manufacturer where doors, engines, bonnets
and wheels are added to a chassis as it moves along the assembly line. It is
appropriate when firms are looking to produce a high volume of similar
items. Some of the big brand names that have consistently high demand are
most suitable for this type of production:
Heinz baked beans
Kellogg’s corn flakes
Mars Bars
Ford cars
ADVANTAGES
Flow production is capital intensive. This means it uses a high proportion of
machinery in relation to workers, as is the case on an assembly line. The
advantage of this is that a high number of products can roll off assembly
lines at very low cost. This is because production can continue at night and
over weekends and also firms can benefit from economies of scale, which
should lower the cost per unit of production.
DISADVANTAGES
The main disadvantage is that with so much machinery it is very difficult to
alter the production process. This makes production inflexible and means
that all products have to be very similar or standardized and cannot be
tailored to individual tastes. However some “variety” can be achieved by
applying different finishes decorations etc at the end of the production line.
PROCESS PRODUCTION
Process production is characterized by tile manufacture of a single product
produced and stocked in the warehouses awaiting sales. The flexibility of
such plants is almost zero as only one type of product can be produced in
such plants. Typical examples of such plants are sugar, steel, cement, paper,
coke, refineries, etc.
Characteristics of process production: -
(A) Special purpose machines with built-in controls
The layout of plant, shape and size of its buildings, location of services and
storage yards, position of cranes and conveyors is such that material flow is
unidirectional and at the steady rate. Special purpose machinery and
equipment with built-in controls to measure output and regulate input are
employed to suit the needs.
(B) Highly mechanized materials handling
Materials handling is highly mechanized. Conveyor system and automatic
transfer machines move materials from one stage to another.
JUST-IN-TIME PRODUCTION SYSTEM
(JIT)
Introduction: Just in Time manufacturing is a systems approach to
developing and operating a Production System. It is based on the total
elimination of waste. JIT is not a new concept. It has been part and parcel of
the Japanese manufacturing industry adopted approach for quite some time.
It requires that equipment, resources and labor are made available only in the
amount required and at the time required to do the job. It is based on
producing only the necessary units in the necessary quantities at the
necessary time by bringing production rates exactly in line with market
demand. In short, JIT means making what the market wants, when it wants
it. JIT has been found to be so effective that it increases productivity, work
performance and product quality, while saving costs.
Critical Elements in JIT manufacturing
Partnerships
In the past companies were capable of remaining independent and
competitive when they had the capability and resources necessary to produce
a product. This is no longer possible. As technology increases in complexity,
companies overcome capital limitations or labor intensive requirements by
becoming dependent on suppliers to provide services. Many services and
Original Equipment Manufacturing (OEM) suppliers have evolved as the
result. Companies now appreciate that long-term success relies on the
quality of the customer-supplier relationship established so that they will
develop successful partnerships. Hence, successful partnerships require the
development of mutually beneficial programs.
Contracts Supporting Partnerships
By ensuring fair and equitable contracts, many of the problems in
developing customer-supplier relationships are overcome by JIT
manufacturers. The goal of JIT is to make long-term contracts with
suppliers. Long-term contracts usually extend for one or more years and can
consist of one or more part requirements
Integrated Process Control (IPC)
In most cases, the typical goals of manufacturing consist of meeting
production schedules, cost projections, and product specifications. However,
two key points are usually overlooked: optimizing the production process
and meeting customer requirements concurrently. The company must be
aware of changes in requirements and continually improve the production
process. Integrated Process Control (IPC) achieves the goals of JIT
manufacturing by optimizing production to meet both manufacturer and
customer requirements. In IPC, two concepts control the process of
continual improvement.
Goals
Secure a steady flow of quality parts.
Reduce the lead time required for ordering product.
Reduce the amount of inventory in the supply and production pipe lines.
Reduce the cost of purchased material.
Objectives
Improve purchasing efficiency.
Improve quality and delivery performance of suppliers.
Isolate factors that influence the cost of material.
Remove unnecessary cost factors in the materials supply system.
Tactics
Regard suppliers as an extension of the internal manufacturing process and
cultivate them as long term business partners.
Establish long term purchasing and supply commitments.
Improve communication with suppliers.
Involve suppliers in early stages of new product planning.
Use supplier expertise to improve design manufacturability and reduce
product cost.
Quality for JIT
Quality is an integral part of a JIT program. Quality control concentrates on
quality at every stage of manufacture including the purchase of raw material.
To increase the supplier quality two methods are used in a JIT system;
supplier quality engineering (SQE) and receiving inspection (RI).
Supplier quality engineering is used to evaluate supplier capability, help
suppliers develop process control, resolve quality issues with suppliers, and
certify that suppliers qualify for JIT production. Receiving inspection
provides an inspection service for purchasing.
Planning the production process
A valuable tool in planning the production process is to isolate and define
the elements that make up a production system as building blocks.
Performance measures
To achieve continued improvement, a company must measure the
performance levels of its smallest processes against its optimum values. This
is accomplished by having performance measures visible to all levels in a
company. The use of control charts is one of the best ways to show the
collected performance measures.
CREMICAThe CREMICA Group, a widely diversified food products company from
India, is an acknowledged frontrunner in both food retailing and food
services industry. Established as a small enterprise by Mrs. Bector, a
passionate food enthusiast, three decades ago, the group has today
metamorphosed into a huge food products conglomerate.
The Group has been constantly setting benchmarks for the food processing
industry through its incomparable products, innovative flavours and fillings,
internationally certified production facilities, consistent quality and
unmatched expertise.
This coupled with the group’s commitment to healthy eating has enabled it
to emerge as a preferred consumer brand and a leading supplier to Indian
and global food majors.
It is extremely important to acknowledge the fact that success comes in any
profession specially if that profession is derived from the hobby or interest.
We have a similer success story about The CREMICA group. It was
established in 1978 by Mrs. Rajni Bector turning her passion for Ice Cream
making (also her hobby) into a small backyard enterprise. She established
the CREMICA group today a widely diversified food products and services
company with an annual sales figure of Rs. 400 Crores, growing at the rate
of 30 per cent per annum. In the course of the past two decades, the
CREMICA group has established itself as a huge food products
conglomerate, leading the food processing business through its range of
products, its internationally certified production facilities, the consistency of
its quality, and its unmatched expertise in the industry.
Mrs. Bector’s Food Specialities Ltd., is a part of Cremica Group. Cremica, a
name that always spelt quality, practical and great tasting food, is fast
becoming a household name in India. Its vast array of products has been
carefully selected to provide the best food processing industry has to offer.
Today, Cremica is known for its unique recipes, health oriented ingredients
and state- of- the art standards.
Unleahing her own story, Mrs Bector said, “I started the business as a hobby
and sold kitchen-made ice creams at a very small scale. My hobby converted
in a profession when I saw the liking of my ice creams at a stall I had put for
a Diwali Melas in the late 1970s.Although I had no formal training, the
recipes were a runaway success. In 1982, with a small investment of 300/-, a
small unit was set up at home. We produced only ice creams and puddings
in the first year. Later the company ventured into the biscuits, breads and
condiment business.”
Today, Cremica group does sales of over Rs.400 crore (Rs.4 billion) and is
an important link in the supply chain to the fast food industry with an
inventory of buns, breads, sauces, ketchups and ice creams toppings.
Cremica is an approved supplier of bakery and liquid products to World’s
largest fast food giants “Mc Donald’s”. Its products are also on the approved
list of Canteen Stores Department, which caters to the requirements of
Indian Armed Forces. It is also a major supplier to Indian Railways, Super
Bazaars, Big Bazaar, Vishal Mega Mart, Reliance, Pizza Hut, Cafe Coffee
Day, Barista, Papa John’s, United Nations (World Food Programme), Jet
Airways to name just a few.
Cremica manufactures high quality Biscuits, Bread and Buns,
Confectioneries, Indian Gravies /Curries, Tomato Ketchup, Sauces,
Mayonnaise, Thousand Island, Spreads, Syrups, Toppings, Salad Dressings,
Biscuits, Bread & Buns, Ice-Cream, Confectionery and Indian Snacks, Fruit
& Flavored syrups for Milk and thick shakes, Ice Creams and Desserts etc.
While talking about the source of inspiration as an entrepreneur, she said,
“Entrepreneurship came naturally to me. After all entrepreneurs is only a
person who manages things by his/her own and in my opinion women are
natural entrepreneurs. Innovation and pursuit for excellence were my magic
potion. I have never compromised on the quality and taste of my products.
This indefatigable pursuit to create the best products has seen Cremica rise
to where it is today. Gradually it moved from my kitchen, to backyard and
then to our first factory unit . I have no special abilities and am just an
ordinary person. But willingness to succeed by working hard and learning
have stood me in good stead. I was lucky to have the support of my family
along the way.”
The company was incorporated as 50:50 joint ventures with the Quaker Oats
Company of U.S.A a Fortune 200 company. This project has been set up to
produce liquid products such as, Tomato Ketchup, Mayonnaise, Tartar &
Sandwich Spreads, Milk shake Syrups and Ice cream Toppings mainly for
Mc Donald’s requirement in India and for the neighboring countries. The
plant has been operational from Oct. 1996. Quaker Oats Company withdrew
from the joint venture in 1999-2000 and the name of the company changed
from Quaker Cremica Foods (P) Ltd. to Mrs. Bector Food Specialities (P)
Ltd. then company started institutional & retail market in addition to Mc
Donald. In the year 2001, the company was converted into public limited
company. Today the group operates India’s largest tomato ketchup line and
is country’s largest producer of ketchup portion packs capable of packing
2.5 million sachets per year! These high quality products have made a mark
and are even exported to Europe Africa, Middle East, US and Australia.
The top of the line quality offered by CREMICA represents a key
component of the value proposition. Setting aside Indian standards, the
group has established a quality assurance department that is responsible for
the implementation of GMP guidelines, online inspection of products,
analysis of all raw materials and testing of finished products. To facilitate
this, the group has set up a fully equipped laboratory geared to handle even
microbiological analysis. And to maintain the highest standards in food
safety, the group has adopted the HACCP Standards, which is certified by
the NSF of USA.
HISTORY
The CREMICA Group was established in 1978 by Mrs. Rajni Bector.
Turning her passion for ice cream-making (also her hobby) into a small
backyard enterprise, she established the CREMICA Group — today a widely
diversified food products and services company with an annual sales figure
of INR 1 billion, growing at a rate of 30 per cent per annum.
In the course of the past two decades, The CREMICA Group has established
itself as a huge food products conglomerate, leading the food processing
business through its range of products, its internationally certified
production facilities, the consistency of its quality, and its unmatched
expertise in the industry. This gives the Group a critical edge in the market,
enabling it to entrench itself as a leading supplier to global and Indian food
giants like McDonalds, Pizza hut, Cafe Coffee Day and BARISTA, to name
just a few.
PRODUCTS
BLUE CURACAO
When it is time to stir up the passion, it's
the time for Capree. These Cocktail Syrups
can bring exotica to simple drinks: soft,
hard, cold or hot. The variety offered is
wide, really wide. Stock up your bar and
add flair to your fare. Cheers!
ITALIAN DRESSING
If customer have a taste for finer things in
life, definitely relish the subtle blend of
flavours in our salad dressings. A
spoonful of any of our dressings on fresh
vegetables, meat or fish salad or a blend
of any of these will tickle the taste buds
of the gourmet in you.
Mild Tandoori Dip
Make snacking more fun! Serve our irresistible dips
with crackers and crunchy veggies for that tongue
tickling taste. Choose from a range of spicy to mildly
flavoured dips and enjoy your snacks.
Simply Jammy
Sweet spreads for your early morning slice,
available in delicious fruity flavours.
Sinful Delights
For the food lovers, plain is boring. When
you want
exotic desserts, sin a little. Lace them with
our Dessert Toppings and see how they
transform from soulfully simple to excitingly
exotic. Go on, satisfy your urge. Have a little
splurge. Specially recommended for the ice
creams, flans, tarts, shakes or whatever is
your favourites.
Spicy Tamarind Sauce
Add dash of tongue tickling Indian flavours to
your snacks with our spicy and tangy ethnic
sauces. Full of rich and complex aromas, these
sauces are as authentic as your homemade
chutneys.
Vegetarian Mayonnaise
If you are in a mood for
good food, our range of rich mayos will meet your
aspirations. Available in several deliciously flavoured
variants; from Thousand Island to Chunky Mint, our mayos are 100%
vegetarian, cholesterol free and trans fat free.
Cookies Biscuits
Some enriched with cashewnuts and
dates, some with butter and some with
coconut. Crisp and crumbly, they are the
old favourites of children and aged alike.
And when it comes to Marie, it’s an all
time favourite to go with Tea, You and
Me.
Cream Biscuits
The richness of the cream range of
biscuits is unmatched. In a variety of
seven flavours, these delightful cream
sandwich biscuits can tempt anyone to
split and lick off the cream in childlike
ecstasy.
1.1 Glucose Biscuits
This range of Glucose Biscuits,
enriched with glucose, milk and
just the right amount of extra vitamins,
include the Premium and the Milkies
variety. Take a munch and get the
extra punch.
Baking Powder
Indulgent gran'ma, pampering mom, and
now its your turn. Our range is complete
to adorn your table with par excellent
desserts and cakes, grills, soups and
sandwiches. Honestly, custards and
jellies were as much a favourite then —
as they are today.
Black Pepper Yoghurt
We know you are bored with your chips.
So spice them up with one of our
interesting Chip Dips. A hint of mint, hot
and spicy salsa and tangy sour
cream….you have a choice so wide, that
you can literally start feasting on chips
from now on.
Peppy Snacks
The spicy range of hot and crisp snacks can
have anyone yearning for more. Irresistible
till the last bite. Stock up all, because you
never know which one you get hungry for…
Chilli Sauce
When did you last smack your lips? Try
our sauces and get back into the habit.
They are a wow! The lip smacking taste of
Tomato Ketchup, the tanginess of the
Mustard Sauce and the peppiness of the
Salsa Mexicana with all the peppers and
chillies in it will have you tango with your
favourite food.
Breads & Bunds
Who can resist the wafting aroma of freshly
baked breads? McDonalds couldn't when it
came to buns made by Cremica. And so
would you not be able to. Crisp rusks, soft
buns and well textured bread are the
hallmark of Cremica bakery.
Biscuits Crackers
Savour the taste of our salty biscuits. They are an anytime favourite of one
and all. Crunch ‘em, munch ‘em, and get into the mood.
1.2 Ready To Eat
We’re ready, when you are. For a quick delightful Indian feast, all you need
is our assortment of ready to eat dishes.
1.3 Traditional Indian Curry
Indian gravies have wowed the world with their perfect blend of hot and
spicy flavours. The rich taste and texture of these gravies is simply
irresistible. If you are a die-hard fan of Indian cuisine, our range of ready to
cook gravies is just what you want. You can now quickly prepare the
celebrated Indian curries and treat your taste buds to perfection.
1.4 Bread Spreads
Get a taste of our yummy bread spreads. Our spreads outclass plain butter
when used for sandwiches, footlongs, hotdogs and burgers. Take our word
for this…because this is what some of the best-known fast food chains think.
1.5 Karvanda Fruity Favorites
Yummy spreads packed with the goodness of fruits and flavours that will
leave you asking for more.
Other products & services we offer
Fruity Favourites
Crackers
Savour the taste of our salty biscuits. They are an anytime favourite of one
and all. Crunch ‘em, munch ‘em, and get into the mood.
Cream Biscuits
The richness of the cream range of biscuits
is unmatched. In a variety of seven flavours,
these delightful cream sandwich biscuits can
tempt anyone to split and lick off the cream
in childlike ecstasy.
Cookies Biscuits
Some enriched with cashewnuts and dates, some with butter and some with
coconut. Crisp and crumbly, they are the old favourites of children and aged
alike. And when it comes to Marie, it’s an all time favourite to go with Tea,
You and Me.
Glucose Biscuits
This range of Glucose Biscuits, enriched
with glucose, milk and just the right
amount of extra vitamins, include the
Premium and the Milkies variety. Take
a munch and get the extra punch.
CREMICA’S SERVICES
CREMICA has emerged as India’s largest player in the food services
business through its unparalleled expertise in product development,
ingredient substitution and product customization. With an extensive
industry experience spanning three decades, CREMICA today serves as a
one-stop solutions provider to all the leading food service chains, food retail
chains, hotels groups and airlines in the country.
CREMICA assists its customers succeed in the marketplace by helping them
develop new products, substitute ingredients with local alternatives and
reformulate existing products. The company’s value proposition lies in the
fact that it can deliver better quality products at the same price. Its core
competence in this business arises from its extensive product development
and R&D capabilities, its team of experienced food technologists and its
plants, which are specifically designed for food service applications.
SERVICE
CREMICA has emerged as India’s largest player in the food services
business through its unparalleled expertise in product development,
ingredient substitution and product customization. With an extensive
industry experience spanning three decades, CREMICA today serves as a
one-stop solutions provider to all the leading food service chains, food retail
chains, hotels groups and airlines in the country.
CREMICA assists its customers succeed in the marketplace by helping them
develop new products, substitute ingredients with local alternatives and
reformulate existing products. The company’s value proposition lies in the
fact that it can deliver better quality products at the same price. Its core
competence in this business arises from its extensive product development
and R&D capabilities, its team of experienced food technologists and its
plants, which are specifically designed for food service applications.
1 Customer Groups Serviced
Coffee Chains
Pizza Chains
Sandwich Chains
Ethnic Chains
Food Retail Chains
Hotel Groups
Airlines
CREMICA’s Key Innovations in the Food Services Business
Developing Vegetarian Burgers and Vegetarian Mayonnaise for
McDonalds
Creating Imli and Mint Chutneys for McDonalds
Creating the Makhni Gravy for Pizza Hut
Developing Curry Bread for McDonalds
Developing types of Choco Sauces
Ingredient substitution for Syrups at BARISTA
Evolving solutions for the Soft Serve industry
Development of a variety of retail and institutional packaging options
CLIENTS OF CREMICA
SWOT ANALYSIS OF CREMICA
STRENGTHS OF CREMICA
1. Largest player in biscuits industry.
2. Rapidly progressing company.
3. Innovative flavours.
4. Consistent in quality and unmatched expertise.
5. Started exporting.
WEAKNESS OF CREMICA
1. Higher in prices & less in quantity.
2. Short range.
3. Less advertisment.
4. No extra schemes.
OPPORTUNITIES FOR CREMICA
1. Large demand.
2. Can grow high by advertising.
3. Increase income of people.
4. L.p.g
THREATS FOR CREMICA
1. High transportation cost.
2. Strong competition.
3. Prone to junk foods.
OBJECTIVES OF THE STUDY
To study the production process of Cremica industry.
To study the products and business of Cremica biscuits.
To gain information about creamica industry.
To study the product profile of Cremica industry.
NEED OF THE STUDYCremica industry Product has one factory at Phillaur in Punjab manufactures
biscuits. The factory at Philluar and Ludhiana are the largest such
manufacturing facilities in Punjab. This factory is located at strategic
locations, so as to ensure a constant output and easy distribution. Each
factory has state-of –the- art machinery with automatic printing and packing.
All Cremica product are manufactured under the most hygienic conditions.
Great care is exercised in the selection and quality control of raw materials,
packaging materials and rigid quality control ensured at every stage of
manufacturing process. Every batch of biscuit and confectionaries are
thoroughly checked by expert staff, using the most modern equipments.
This study helps to understand the products process at Cremica industry and
gain knowledge about production process of biscuits.
RESEARCH METHODOLOGY
RESEARCH DESIGN AND METHODOLOGY
Description of Research Design
Research design is the choice of appropriate method of doing research
keeping in view the nature of problem, the environment and the merits and
demerits of each method.
Exploratory Research
To study the, “Production Process of Cremica Industry” I had undergone
exploratory research. For carrying out exploratory research, two approaches
were adopted, these are:-
1. Literature Survey
2. Experience Survey
1. Literature Survey:- It is the quickest and most economical way of doing
research. Under this, one is to review the work of fellow researchers in the
field who had been these before. After this, I made a through search of
secondary source of information such as: [a] Books [b] Company records [c]
Newspapers/Magazines [d] Trade Journals [e] Websites.
2. Experience Survey:- I have attempted to top the experience and expertise
by interacting with the knowledgeable persons concerned with the area of
research such as production manager, supply chain management of Cremica
industry. Through a series of structured and unstructured interviews, these
persons were requested to give their views and options on the various
aspects.
SOURCES OF DATA
Data may be obtained either from primary or from secondary sources. A
primary is one that itself collects the data and secondary source is one that
makes available data which was collected by some other agency. Various
books, company’s records, newspapers, internet etc. were used for collecting
data.
SAMPLING PROCEDURE
Sampling procedure is adopted when secondary data are not available for the
problem under study. As my study was mainly on secondary data and it was
easily available to me. Therefore, no sampling procedure was applicable.
THE BISCUIT MAKING PROCESS IN COMPANY
MIXING: This is a process where all ingredients are put together in right
proportion for dough formation. These ingredient are then fed into Mixers
where mixing is done and dough is prepared for molding .Major ingredients
are flour , fat ,sugar and others as per the product one would like to have.
MOULDING: In this section we laminate the dough into sheet which then
passes down to gauge rollers and sheet thickness achieved for cutting. Here
we have a cutter or a molder as per the variety where one gets the shape and
sizes of biscuits.
BAKING: This is the area where we pass these moulded wet biscuit into
baking oven .The biscuits are baked on desired temperatures .Various type
of heating are available now days as per the convenience and cost .Different
type ovens are available
COOLING: These baked biscuits are then passed on to cooling conveyors
for natural cooling prior to packing .The temperatures are brought down to
room temperatures
PACKING: These biscuit are then stacked and fed into packing machine for
packing. Different packing material are available for packing of these biscuit
in different packs .slug packs , pouch pack or family packs etc. These packs
are then put into secondary packaging like cartons to be transported to
retailers.
METHODS OF MIXING:
This is a process where all ingredients are put together in right proportion
for dough formation. These ingredient are then fed into Mixers where
mixing is done and dough is prepared for molding .Major ingredients are
flour, fat, sugar and others as per the product One would like to have.
Mixing can be done in One stage, two stage or three stages. One stage or all
in One is type of mixing where all ingredients and water are
added once. Mixing is allowed till satisfactory dough is prepared .Normally
this type of mixing is used for hard Dough.
Two - Stage mixing :
Creaming : All ingredients are added with water and mixed 4-5 minutes
except for flour
2nd stage :Flour with chemicals are then mix with the creaming product to
form a consistent dough .
Three stage mixing :
Stage One : fat , sugar with other ingredient like milk, chocolate, malt ,
honey etc are mixed and cream is prepared with portion of water.
Stage two: Salt , chemical and flavours with colors are mixed with water.
Stage three : Flour with water is then added to the prepared cream and
mixed till satisfactory dough is prepared .
Mixing process have following characteristics which have be monitored for
better result method.
Mixing time : Normally any mixing could be achieved within 15-25
minutes Much depends on mixing speed of mixer , flour characteristic's or
temperatures required for dough.
Dough Temperatures: Very important factor the temperature ranges
between 35 deg c - 42 deg c as per biscuit variety .
Dough consistency: This is done manually by checking dough and
stretching the dough it should not break neither should it be so elastic. These
methods are mastered by bakers by trial and error method. For cracker
variety dough are had additional ingredient yeast and dough are kept
for 10- 24 hrs .
PROCESS DESCRIPTION
Reception (Material arrival and analysis):
Cremica has laid down their standard specification as per Mrs. Bector for all
raw materials, chemicals and packaging materials. After arrival of material,
samples are taken and analyzed in Quality Control Laboratory. After testing
if the material is in the range then it is accepted and unloaded otherwise
rejected and sent back to the party.
Mixing Section(Sifting and mixing):
All ingredients including maida are shifted through fine mesh. Normally 40-
70 meshes are used in sifter. After sifting, batch is prepared and mixed in
high speed mixer or in vertical mixer.
Production Section:
After proper mixing dough mass is passed through a high frequency metal
detector if there is any foreign material is in the dough, it will give loud
sound and batch is taken for visual inspection. After passing through metal
detector dough is rolled by big roller and passed through rotary moulder
ehere exact shape of biscuit is given. The weight of raw biscuit is noted
down and matched with standard weight required for the process.
Then these raw biscuits are passed through tunnek type baking oven of
varying length and temperature. It takes approximately 4 minutes for proper
baking.
Biscuits are baked in ovens and after baking, are cooled on cooling
conveyors. One more metal detector is installed to prevent any foreign
material in biscuits. If there is any such type of particles in biscuit signal is
given and cooling conveyors are shifted forward hydraulically & the total
biscuit are discharged separately and rejected. Otherwise, after OK signal by
metal detector, biscuits are automatically lined up by the machine known as
stacker. The final moisture content in the biscuit is ranging from 2 to 2.5%.
Packaging Section:
After stacking, biscuit are automatically fed to the packing machine without
touching by hands. Biscuits are packed in already printed thick wax paper.
Then desired number of packets are further packed in poly bags and finally
in cartoons.
Quality Assurance Section:
Final product is then checked chemically and organolaptically for
maintenance of quality.
LIMITATIONS OF THE PROJECT
Analysis is only a means and not ends in itself. The analyst has to make
interpretation and draw his own conclusion. Different people may interpret
the same analysis in different ways.
The employees of the production department were not interested in giving
their knowledge of production process.
Managerial staff was quite busy in their work so due to their tight schedule
of work, I was not in position to get some important information in detail.
Time for research was very much short to study the organization in detail.
RECOMMENDATIONSMarket potential of the Creamica is much positive in competitive era and
will sure cover the maximum market share of biscuit product. Potentiality of
any product depends upon the futuristic performance of the product. it
depends that how much retailers have potentiality to be permanent seller of
Cremica.
For great potentiality it is necessary to improve those factors which are
going to effect retailers. In my study I found some factors which can help to
cover great potentiality.
These factors are following:
Scheme delivery should in perfect determining time.
Some places distributors not able to cover his particular area. That should be
improved.
Scheme facility should be regular as much as possible.
Small pack also should be in the market.
Always collect the views of retailers. It gives psychological effect on the
retailers about careness by manufacturing company.
These factors are very important for the organization. If company is able to
improve these all factors then definitely its market share will more increase.
So potentiality is very high to Cremica biscuit in positive direction.
CONCLUSIONAfter going thick on the thing, now time is to make a complete picture.
While making a product a SKU (Stock Keeping Unit) of the shop retailers
think about the GMROI (Gross Margin Return On Investment) and they
promote the brand which provide them highest. They expect return in the
form of profit margin, company schemes, window display and references of
the shop. Among these, company schemes make the differences and are the
highest source of motivation after profit margin. Retailing demands a
constant push from the company.
Marketer needs to use advertising and brand building strategies to address
the discerning buyers and retail push to in different buyers. The
manufacturer should understand consumer behavior because retailers can't
help quality and price. It is only up to dealers said it is demand they sell
Britannia 42% agree that at retail shop it is brand popularity, which
determine the purchase of biscuit.
There is a greater need to understand the retailer behavior considering them
as a team working for the company may help them to be attached to the
company. There should be feeling of belonging to the company in inner of
the retailers. Setting values club for retailers so that they may exchange
views with the company and help in understanding consumer behavior.
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Kothari C.R. (1990), “Research Methodology”, Wishwa Prakashan, 1990, 6 th
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Mahadevan B. (2010), “Operations Management: Theory and Practice”,
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Asbjorn Rolstadas (1995), Performance Management: A business process
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published by chapman and hall, p 118-119
Cecil C. Bozarth, Robert B. Handfield (2008), ‘Introduction to operations
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Cecil C. Bozarth, Robert B. Handfield (2008), ‘Introduction to operations
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Peter Bolstroff, Robert Rosenbaum (2003), Supply Chain Excellence,
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http://www.mrsbectorfoods.com/breads_buns.html
http://www.smallenterpriseindia.com/index.php?
option=com_content&view=article&id=782:the-success-story-of-cremica-
group&catid=68:women-in-business&Itemid=99
http://en.wikipedia.org/wiki/Production_and_Operations_Management