Report of Six Months Industrial Training
Required for award of Bachelor of Technology at
GIANI ZAIL SINGH
PTU Campus, Bathinda(Established by Govt. of Punjab)
Training Period: June 05 to Dec 03
Bharat Wagon & Engineering Corporation limited
(Govt. of india undertaking-ministry of Railway)
Submitted By:- Submitted To:-
MANISH KUMAR Mechanical Engg. Dept.
UNI. ROLL NO-100311129897
ABOUT BHARAT WAGON........................................................................06
FIANANCIAL PERFORMANCE OF THE ORGANISATION............................08
PRESENT POSITION OF ORGANISATION..................................................10
ABOUT FOUNDERS & PROMOTORS........................................................15
REHABILATION OF WAGON.....................................................................19
SELLING WITH INDIAN RAILWAY.............................................................21
MARKETING OF RAW MATERIAL.............................................................26
PROCES OF SELLING.................................................................................28
PRESS & SMITHY SHOP.............................................................................58
CUTTING & WELDING SHOP.....................................................................62
WAGON ASSEMBLY SHOP.........................................................................76
SCRAP MEANING & DDEFINATION…….......................................................79
LIST OF SCRAP MATERIALS PRODUCED IN BWEL MUZAFFARPUR.............80
SCRAP MANAGEMENT AND IMPORTANCE................................................84
VARIOUS LOCATIONS FOR SCRAP IN SCRAP DEPOT...................................87
TERMS AND CONDITIONS OF AUCTIONS SALE OF SCRAP BWEL MZFF........88
SCRAP MANAGEMENT SYSTEM (SMS)........................................................93
Bharat Wagon is an engineering Industry commanding very good reputation and
having decades of experience with two manufacturing units in Mokama &
Muzaffarpur in the state of Bihar. Our both units have been accredited with
ISO-9001:2000 Quality management System Standards for manufacturing of
wagons. The product profile of Bharat Wagons and the enriched experience
reveal the credibility of our company and the capability of our skilled personnel
that have brought laurels to the organization.
BWEL manufacturers railway wagons, sugar mill machineries &
fabrications castings and miscellaneous project equipment. Railway wagons
comprise the bulk of the turnover of the company. The company has a wagon
manufacturing capacity of 2500 FWU p.a. Railway wagons are produced at the
Mokamah and Muzaffarpur units.
The wagons are catered to the Indian Railways and Ministry of Defence.
Some special purpose wagons are also produced according to specific
customer requirements. The unit at Mokamah s capable of producing only
board gauge units while the unit at Muzaffarpur is equipped to produce both
Broad gauge and Metre gauge units. In addition to railway wagons the units
are capable of producing all relevant wagon components. BWEL diversified
into turnkey project o 1979 as part of its diversification strategy and a
separate Project Division was set up in 1995. This division has successfully
executed a number of turnkey projects.
ABOUT BHARAT WAGON
Bharat Wagon & Engineering Company Limited (“BWEL” or “the Company”)
is a subsidiary of Bharat Bhari Udyog Nigam Limited (BBUNL) and is
engaged in the manufacture of Railway Wagons, Sugar Mill Machines & Steel
Fabrications and Project Equipment. The entire equity component of BWEL is
held by BBUNL and the company is under the administrative control of the
Department of Heavy Industries (DHI).
BUNL in consonance with DHI has decided to disinvest up to 74% or 100% of
its holding in BWEL in favour of a strategic/joint venture who would provide
technological inputs, marketing support, managerial skills and fresh funds and
such other assistance to BWEL as may be required to ensure healthy and
consistent financial performance. This would complement the existing strengths
of WHEL in possessing a team of skilled and highly experienced personnel and
a well-respected brand among wagon manufacturers in the country.
The administrative control of M/s BWEL was incorporated in 1978, by an Act
of Parliament, through the nationalization and subsequent amalgamation of two
erstwhile companies. Arthur Butler & Co. located at Muzaffarpur and
Britannia Engineering Works located at Mokamah. The decision of the
Government was driven by the industrial sickness in both the companies, which
had forced the government to take over their management. Subsequently, in
1983 a third unit was added at Industrial Estate (Bela) Muzaffarpur for
manufacturing LPG cylinders. In 1986, BWEL was made a wholly owned
subsidiary of Bharat Bhari Udyog Nigam (BBUNL) which is the holding
company for 9 nationalized companies in the heavy engineering sector and
comes under the auspicec of the Ministry of Heavy Industries.
BWEL is headquartered at Patna and has two regional offices in Delhi and
Kolkata. The company has manufacturing unit at Mokamah, Bela and
Muzaffarpur. The company is primarily engaged in the manufacturing of
Railway Wagons. As a diversification measure the company has also entered
into Steel Structures. Bridge Fabrications, Oil Tanks, Sugar Mill Equipment,
Canal Gates and other Misc, Project Equipment.
The Units at Mokamah and Muzaffarpur have received the ISO-9002
certification for wagon manufacturing. The company has achieved a number of
distinctions in the area of productivity including the Indira Gandhi Memorial
Award for Productivity in 1988, Rajeev Gandhi Memorial National Award
for productivity in 1990 and National Produtivity Councial Certificate of
Merit in 1993.
Bharat Wagon & Engg. Co. Ltd. (BWEL), Patna, a central PSE and subsidiary
of Bharat Bhari Udyog Nigam Ltd. (BBUNL) is transferres from the
Department of Heavy Industry, Ministry of Heavy Industries and Public
Enterprises to the Ministry of Railway w.e.f. 13th
August, 2008 (AN).
Bharat Wagon & Engineering Company Ltd. (BWEL), was incorporated on 8th
December 1978 as a Public Sector Unit by take over of two historical wagon
manufacturing units of Arther Butler & Co and Britannia Engineering Co, both
in Bihar at Muzaffarpur and Mokamah. The third industrial unit was added to
the company in 1983-84 at Bela, Muzaffarpur for manufacture of LPG
Cylinders. In the year 1986 the company become a subsidiary of BBUNL,
Corporate/Head Office –
Bharat Wagon & Engg. Co. Ltd.,
„C‟ Block, 5th
Dak Bungalow Road,
Patna – 800001
Regional Offices :
1. Bharat Wagon & Engg. Co. Ltd.,
26 A, Barakhamba Road
New Delhi – 110001
2. Bharat Wagon & Engg. Co. Ltd.,
C/O Burn Standard Co. Ltd.,
40, Strand Road,
104, Akashdeep Building,
Floor, Room No. – 12,
Kolkata – 700001
1.Bharat Wagon & Engg. Co. Ltd.,
Muzaffarpur – 842001
FINANCIAL PERFORMANCE OF THE
Under gazetteer of India notification dated 7th
May 1973, the company was
taken over by the Government of India in Ministry of industries first on 26th
August, 1973. But, this was contested by the management before High Court,
Calcutta and the court having ordered for maintaining status on 24th
1973 and takes over being stopped.
Again Government of India by separate notification V/s SAA took over the
management vide gazetteer notification No. 782(f) with effect from 14th
December, 1973 but again it was contested and Government succeeded and
took the company for four years & company started its production in
September 1973 under supervision of Mr. A.L. Kochhar. On expiry of initial
period of four years the take over was extended by a fresh notification.
Managerial and supervisory staff afresh had been recruited and all workers
were brought on in their previous position.
Again the company was nationalized w.e.f. April 1st
, 1978. On December, 8th
1978 a new registered corporate body known as Bharat Wagon and
Engineering Company Limited under the department of heavy industries,
Government of India took over it.
Notes on Account and Accounting Policy schedules 1 to 23 and cash flow
attached from part of the Account.
Profit and Loss Account for the year ended 31.03.2010 Rs. in Lakh
Income 31.03.2010 31.03.2010
Sales 1,540.80 863.21
Other Revenue 40.83 78.30
Finished Goods & WIP 3.37 105.00
Total Income 1,585.00 1,046.51
Consumption of Raw Materials &
Consumption of stores spares & Loose
Employs Remuneration and Benefits 878.54 846.37
Excise Duty 3.25 0.00
Power & Fuel 190.29 152.53
Other Expenses 74.75 61.45
Interest 1,179.49 1,002.15
Depreciation 44.16 50.68
Total 3,511.73 2,743.29
Profit/(Loss) for the year before
Period Income/(Expenses) 4.88 474.83
Provision 78.08 159.69
Extra Ordinary Iron (VRS) 478.65 478.65
Provision Written Back 0.00 0.00
Net Profit/(Loss) for the year before
Provision for Income Tax 0.00 0.00
Net Profit/Loss after Income Tax 2,488.34 2,809.95
Loss brought forward from previous year 10,389.90 7,579.95
Balance carried to Balance sheet 12,878.24 10,389.90
Notes on Account and Accounting Policy schedules 1 to 23 and Cash Flow
attached from part of the Account.
( As on 31.03.2010 )
Particular ( value in lakh )
Buildings (Residential ) - 21
Electrical installation & Equipment - 12
Land - 12
Plant & Machinery - 66
Railway siding - 40
Tube well - 08
Vehicle - 1.25
Total - 160.25
CHANGE IN WORKING CAPITAL AS ON 31.03.2010
(Rs. in Crore )
( Rs. in Crore )
Sundry Creditors 3 6.25
Advances from Customers 6.5 11.25
Other Liabilities 19.35 15.8
Interest Accured Payable 4.5 5.20
Total 33.35 38.50
Sundry debtors 2.75 2.15
Cash in hand & at bank 3.65 4.30
Loans & Advances 2.90 2.50
Stock 0.43 0.48
Sales 5.5 8.60
Total 14.78 18.03
Present Position of the Organization
Bharat Wagon and Engineering Company Limited is a new name of M/S
ARTHUR BUTLER COMPANY LIMITED located at muzaffarpur under the Bharat
Wagon Engineering Company Limited. Other unit at Mokama and Bela
industrial Estate, Muzaffarpur was also incorporated for administrative
purpose. The company developed with the industrial growth and modern
industrial development in northern India. The started to sugar mill machineries
and other agricultural, pioneer in the field of civil engineering i.e.
manufacturing of standard of products of screw pile steel bridges and steel
fabrication work. The scenario of present Positions (strengths) of the company
are shown with the help of following presentation :-
A. Present Manpower Position of the Company :-
Manpower position means the number of employees employed in an
organization. Manpower position created in an industry by passing through
various stages of manpower planning. Planning is important as it helps to
determine future personnel needs, surplus or deficiency in staff strength is as a
result of absence or defective manpower planning enables an enterprise to
cope with changes in competitive forces, markets technology, products and
Govrnment regulations. Manpower position provides essential information for
designing and implementing essential personnel movement ( recruitment,
selection, transfer, promotion, lay off ) and the significance of manpower. We
can take a broad glimpse of manpower position by observing the following
B. Present Wage and Salary Structure
Wages are settled with the negotiation between the management and the
union of the company. The consultating authority of the settlement is LABOUR
COMMISSIONER. It is tripartite settlement, the Wages and Salary of BWEL,
Muzaffarpur effective from January 1992 is given bellow :-
Category Designation Grade Pay Structure
General Manager XIV 8,250-300-10,050
Dy. General Manager XIII 7,500-300-9,900
Chief Manager XII 7,000-275-8,100-300-9,600
Manager XI 6,500-250-7,500-275-9,425
Dy. Manager X 5,400-225-6,300-250-9,050
Asst. Manager IX 4,800-200-5,800-255-8,275
Executive VIII 4,000-175-7,150
Supervisory Asst. Engineer VII 3,200-110-3,970-120-5,290
Sr. Supervisor VI 3,000-105-3,735-110-5,055
Supervisor & Other V 2,800-90-3,430-100-4,930
Highly Skilled IV 1,875-30-2,025-35-2,200
Skilled III 1,850-26-1,980-30-2,130
Semi Skilled II 1,825-22-1,935-26-2,065
Unskilled I 1,800-18-1,890-22-2,000
Pay Scals are un-revised (Due from 1st
C. Present Fringe Benefits
The team fringe benefits provided to employee in addition to the
compensation paid in the form of wage and salary. Different terms are used to
denote fringe benefits. They are welfare measures, social security measures,
supplement sub-wages, employees benefits etc. Thus, fringe benefits are
monetary and non- monetary benefits given to the employee in the
The term fringe benefit cover bonous , social security measures, retirement
benefit like provident fund, gratuity, pension, workmen’s compensation,
housing, medical, canteen, co-operation, credit, consumers stores, educational
facilities, recreational facilities, financial advice and so on. Above-mentioned
fringe benefits are provided to the employees of BWEL.
D. Position of the Personnel Department
As indicated in the administration set up of Bharat Wagon and Engineering
Company Limited, Muzaffarpur unit, personnel department is having one In
charge P& A department and looks after the job of welfare officer as provided
under the factory Act.
As a welfare officer employees welfare measures & other activities such as
residential facilities, final settlement of retirement and death cases. The In
charge is directly responsible to the Management.
The personnel department of this company has set for itself certain objectives
within the framework of the policies. The important functions of the personnel
department of this company are as given below :-
( i ) To recruit the talent and skill available and increase development at a
(ii) To develop faster system of appraisal and to advice on the provision of
maximum work satisfaction through fair treatment and opportunity for
(iii) To attach constructive and achievement oriented management.
(iv) To create a congenial environment where the employer & employee will
work on a co-operative basis in order to achieve organizational goals and
(v) To strengthen employee-employer relationships and build cordial
relations between them.
(vi) To formulate rules and regulations for the organizations for its smooth
(vii) To implement all the major functions properly.
(viii) To maintain personal files of the employees.
E. Present Productivity Ratio of BWEL
The present productivity ratio of BWEL is quite satisfactory. In the year 1994,
the production of railway wagon was 507.5 FWU and it kept on increasing.
During 1995, the production of railway wagon (FWU) was 597.5 and ratio
increases again during 1996 and it reaches up to the production of 1,362.5
railway wagon. During 1997 its production was on peak. The number of
production of FWU was 1,443.5 but this ratio started to decline and the
productivity ratio came to 1,312 during 1998. During the year 1999-2000 the
productivity ratio declined measurably and come down 530 wagon only. This
is due to shortage in the order of railway board. But, in the year 2000, the
production ratio very fabulously grown up & now the production of FWU is not
upto the mark. It is the sole effect of BWEL to procure the excessive demand
and to satisfy the Railway Board with its own programme.
The unions and agree to increase production, productivity and profitability by
at least 50% of the present level for which joint efforts would be made4 in the
following areas :-
Suitable modifications in the existing incentive scheme consistent with
the increase in productivity.
Efficient lending of raw materials and reducing wastages.
Improvements in yield and reducing operating costs.
Reducing energy consumption.
Improvements in house-keeping.
Improving quality in all production.
Continuously adopt better working practices.
Reducing unauthorised absenteeism.
MONTHLY PRODUCTION OF BWEL
Month 2003 2004 2005 2006 2007 2008 2009 2010
January 27 36 40 22 - 20 11 20
February 34 57 6 15 7 20 5 25
March 37 59 14 6 2 20 26 20
April 19 22 8 8 - 10 10 20
May 30 56 18 8 - 15 19 25
June 50 54 14 3 - 15 14 9
July 5 55 15 - - 5 20 -
August 41 25 15 - - 15 27 -
September 50 25 35 15 - 15 20 -
October 28 30 5 5 6 7 17 -
November 53 22 26 - 12 5 20 -
December 56 13 20 - 10 9 25 -
ABOUT FOUNDERS AND PROMOTERS
Bharat Wagon and Engineering Company Ltd. (BWEL) was formed after
nationalization of Britannia, Mokameh, Bihar and Arthur Butler, Muzaffarpur,
Bihar in December, 1979. The main products of the company are Railway
Wagons, screw pile bridges, steel fabrication, Grey Iron Casting etc. Efforts are
being made by the company to diversify and develop other product lines like
oil tanks and other structural fabrication and erection work at project sites, to
reduce dependence on Wagon orders. Government is exploring the possibility
of joint venture formation/disinvestments. The production of the company
during 2001-2002 is anticipated to be 117.44 crore.
The administrative control of M/s Bharat Wagon and Engineering Company
Ltd. (BWEL) , Patna a central PSE and subsidiary of Bharat Bhari Udyog Nigam
Ltd. (BBUNL) is transferred from the Department of Heavy Industry, Ministry of
Heavy Industries and Public Enterprises to the Ministry of Railway w.e.f 13th
August, 2008 (AN).
Bharat Wagon and Engineering Company Ltd. (BWEL) was incorporated on 8th
December 1978 as a Public Sector Unit by take over of two historical Wagon
manufacturing units of Arthur Butler & Co and Britannia Engineering Co, both
in Bihar at Muzaffarpur and mokameh. The third industrial unit was added to
the company in 1983-1984 at Bela, muzaffarpur for manufacturing of LPG
Cylinders. In the year 1986 the company became a subsidiary of BBUNL,
Both Muzaffarpur and Mokameh Units are traditionally Wagon manufacturing
units. The layout, plant and machinery and locations are ideally suited for t5his
product. With a rich experience of steel fabrication of over a half century,
BWEL possess almost all the desired infrastructural facilities over heavy steel
fabrication in house. A 3.16 MT Brake Press at Mokameh is a rare asset in this
direction. All the three manufacturing works are self-sufficient in power by way
of Installation of capacity DG sets. Adequate open space is available at both
Mokameh and Bela Works. Operational ease is made possible by location
advantage of railway connectivity close to the works.
M/S BHARAT WAGON & ENGINEERING COMPANY LIMITED is a Government of
India undertaking under the ministry of Heavy Industry Department of bureau
of public Enterprises, Govt. of India. The Govt. of India undertaking was
incorporated under the company act, 1956 on the 4th
day of December, 1978
with an authorized capital of rupees five crores. Bharat Wagon and Engineering
Company Limited comes into being in terms of the Britannia Engineering
Company Limited (Mokama unit) and Arthur Butler and Company Limited
(Muzaffarpur) under the acquisition and transfer of undertaking of Britannia
Engineering Company Limited. Mokama unit & Arthur Butler & Company
Limited (Muzaffarpur) with retrospective effect from 1st
of April, 1978.
The Britannia Engineering Company Limited Was incorporated in 1917 with its
registered office at Calcutta. It owned an engineering unit at Titagarh (where it
manufactured road rollers. Jute mills machinery unit and other industrial unit)
& also a steel foundation at Titagarh and third unit , which was set in 1960 at
Mokama to manufacture railway wagons. The engineering unit at Titagarh
closed down in 1970 and on 22nd
may, 1976 its management was taken over by
the Central Government & interested to M/S Westing House Farmers Limited,
Calcutta, a company being managed by the Government has taken complete
financial and managerial responsibilities for managing the Titagarh unit. The
Wagon unit at Mokama closed down in March 1973. The Central Government
took over its management on 10th
February 1974 under the Industrial
Development and Regulation Act and the unit was reopened on 22nd
February 1974. When it was closed down in March 1973 it employed 888
This labor was confirmed to then industrial establishment located in North East
region of India. It was not like a modern industry as we see understanding
about a unit today. It was indigo industry based on agricultural product, which
intricate blue colour, a product of indigo cultivation by means of smaller
plants. In 2nd
district gazetteer of Muzaffarpur district 1958, Much encouraged
by the remunerative aspect Mr. Arthur also thought to have his permanent
establishment somewhere. The first did setup small shop that sheds with
smithy devices something at samastipur, then a central place of
communication during those days and then enthusiast Mr. Butler also joined
him and began working as two friends doing the same business.
They could pull their resources and began working as partners in course of
time, their work expanded and the place proved in sufficient to the
requirement. They moved their place of business from samastipur to
Muzaffarpur (a place situated in 27’7’ North latitude and 85’24 East longitude
is in the central place of north Bihar) a few yards away from present location of
the factory. They began doing bigger volume of business and the smaller firms
fasts developed into shed. They went yards away from present location of the
factory. They began doing bigger volume of business and the smaller firms
fasts developed into bigger shed. They went on adding to their small unit,
different sections and then their industrial venture took a factory form.
Mr.L.S.S.O.Malley I.C.S. mentioned in the first district gazetteer of Muzaffarpur
district (1907) M/s Arthur Butler Company as only engineering workshop
registered under the factories act having 107 employees on hand already
started its industrial activities as the only modern industrial world.
Mr. P.C. Roy writes in the 2nd
district gazetteer of Muzaffarpur district (1958)
that in the last quarter of the 19th
century, the development of the artificial
days, which freely imported from abroad, affected the prospect of the indigo
industry severally sit lost the ground. But the Arthur Butler venture being in
the form of the factory followed. Other industries. One more advantage was
with them that they were English people and every industrial activities was
being owned and managed by the English people themselves.
Arthur Butler started a new line of business of making screw piles having steel
as superstructures there on which could be easily installed, dismantled and
shifted was the course changed given by 1910. It expanded as bigger
By 1919, it was registered under joint stock Company Act as a company and
also fixed up its workshop at the present site of the factory just adjacent to
Muzaffarpur Railway station. Arthur Butler and Company has been also famous
for civil works and they were experts in designing screw piles all the fabricated
steel bridge in Northern India stand over today as a symbol.
By 1925 when most of the factories used to import machines from England
even minor parts of the sugar industries, the efforts of Arthur butler where
credit worth of the management development production from repair side of
It was the year 1938 in which it used to pay heavy dividend to its shareholders.
During the 2nd
world war it expanded so much so that it could acquire a plant
of its own which was used by Mr. H.M. Wealthevall. It also expanded its
employment roughly about one thousand persons.
Managing agents changed after 1943, from Balmer Lawrie Co.Ltd. to purchase
the company. The English shareholder sold their shares and virtually
repatriated from India. The Bihar Motor Service section was also closed and
new line of repaint. Railway goods wagon and managing agent.
The Bharat Brothers controlled the management, however, till act for 1954,
the management changed hands and Kakrania and sonthalli as purchase the
shares and owned the company only small part of the share of the company
were in the market and it was easy for them to sell off the ownership. The two
groups formed a managing system which was obliged by virtue of amendments
to the India Companies Act, 1968. Since them it began to be managed by a
Board of 4 Directors consisting of always the family namely Kakranias and
During this period the Government decided to stop import of railway goods
Wagons and this gave big impetus to Indian factories to develop wagon
building. Arthur Butler Company being ideally situated on the meter gauge
railways head at Muzaffarpur and doing the repairing railways.
Work till 1954 took advantage of the opportunity and it did expand its
workshop to take up the new railway job. In course of time they brought
suitable new machines and arranged to build all types of railway wagons.
During the peak period, 1960-1965, it employed even about 1300 persons. In
1967 when the company faced the situation during the general recession.
REHABILTATION OF WAGONS
We also have experts/engineers with extensive experience in ‘Rehabilitation
and Modifications of Wagons’ and can take up rehabilitation of ANY MAKE of
railway freight wagons or passenger coaches. We can assist your railways in
transfer of technology and imparting training for maintenance. To analyse and
review the extent of rehabilitation requirement, we can send a team of expert
engineers to customers place. The team will work jointly with customers’
railways for assessment of the work involvement and spares requirement. By
investing only one-third of the cost of a new wagon, one gets back a life of
round 10 years after the Rehabilitation.
(v) Product profile of the BWEL
At the present time, Bharat Wagon Engineering Company Limited is one of the
subsidiary of Bharat Bharti Udyog Limited which has other subsidiary has a
good liaison away i.e.
(i) Burn standard company.
(ii) Praith Waite and company limited.
(iii) Bharat Process and Mechanical Engineering Limited.
(iv) Lagan Jute Machinery Company Limited.
At the present time Bharat Wagon and Engineering Company Limited has a
target of an average 30 to 35 wagons per month.
It is producing Broad Gauge Freight Wagon. Wagon component pressing,
castings and fabrication works are being done here. Casting jobs-grey iron
casting up to 12 tonnes capacity.
At Bela works, oil tanks, heavy girdens, Transmission Towers and other heavy
fabrications works are being done. But now it is closed.
The production and manufacturing chart of BWEL Muzaffarpur unit are:-
Rolling Stock : Fright Wagon (Open Type) – Box N
Fright Wagon (Covered Type) – MBC
Fright Wagon (Flat type) – BPN
Fright Wagon (Spl Purpose) –BWTA
Casting Jobs : Grey Iron Casting upto 10 tonnes capacity per piece.
Sugar Mill Machineries : Complete Rollers Reselling.
Filters Press Cystallizers Sulphus.
Furnale Condenser Conveyor Mill
Looping Mollassess and Mama pumpete
Defenale Road Trailer : Defenale Tank Carrier
Trailer upto 20 MT Capacity
Coal Mining Equipment : Coal Tube Mine Cars Rope Way Bulket.
Screw Pile Bridness : Tailer made Bridns with all relevant component to
suit the river breadth.
Steel Fabrication Work : Suitable for steel plants. Thermal power plants, Oil
Installation, Fertilizer units Railroads, Bridge structure.
Transmission Towers and sub-stations structure :
Manufacturing and exertion of transmission towers and sub-station
Valuable Customer Wagon : Indian Railway, Ministry of Defence
Steel Fabrication : Road Construction Department, Irrigation
Department, H.E.C., BCCL, FCI, BHEL, Nagal Paper and Pumps Mill, Eastern
C.I. Casting : Sugar Mills of U.P., Bihar and Nepal, U.P. State
Electricity Board, Road Construction Department.
L.P.G. Cylinders : Indian Oil Corporation Ltd. Hindustan Petroleum
Corp. Ltd. Bharat Petroleum Corp. Ltd.
Pontoon Bridges : Naogachhia (Bhagalpur), Kataunjha, Runisaidpur,
(Sitamarhi), Bihar Pool Nirman Nigam, Patna (Bihar)
At present Bharat Wagon is only manufacturing rolling stock. In other words,
We can tell that the Production of rolling stock is & rest everything has been
SELLING WITH INDIAN RAILWAY
Over the years the company has built a broad customer base in almost all
product categories. The primary customer for wagons is the Indian Railways
and about 98% of the revenue in this area of BWEL’s business accrues from
purchase of freight wagons by the Indian Railways. The important customers
for the different products are as follows:
Product Important Customers (Procurement)
Railway Wagons The Indian Railways
Ministry of Defence
Casting Jobs Sugar Mills in Uttar Pradesh, Bihar and Nepal
Uttar Pradesh State Electricity Board
Road Construction Department, Govt. of Bihar
Steel Fabrications Road Construction Department, Govt. of Bihar
Irrigation Department, Govt. of India
Heavy Engineering Corporation, Ranchi
BCCL- Western Coal Fields
Railway and Road Bridge Structural
Rampur Engineering Works
Bihar State Electricity Board
Nagaland Paper & Pulp Mills
LPG ylinders and Fuel
Indian Oil Corporation Ltd, Hpcl and Bharat
Petroleum Corporation Ltd.
The principal customers by value are the Indian Railways, the predominant
customer, Bihar Rajya Pul Nirman Nigam Limited, Numaligarh Refinery Limited,
Bihar State Electricity Board and Oil Companies like IOCL, BOCL and HPCL.
The order book position as on 1st
September 2001 is given below:
Product Order Book
Wagons Physical Order for FWU: 705
Order Value (Rs. Lakh): Rs.3666
New Wagon Order Value (Rs. Lakh): Rs. 111.13
Total Order Book Rs. 3777.13 Lakh
Raw materials in wagon manufacturing can be broadly divided into two
(a) DM components, being components, which are inspected by the RDSO
before they are supplied to us and
(b) Non-DM components, being low value components, which are the
procured locally and do not require RDSO inspection.
Common DM components include steel, bogies, coupler sets, air brake
equipment, air brake pipe, wheelsets, slack adjuster, nylon bush, door check
spring, bearing, twist lock, draw gear (quick draw) and draw bar.
Principal raw materials for our mining machines are flat steel products, such as
steel plates. We normally source our entire requirement from suppliers such as
SAIL and TISCO. We also require high tensile steel plates, which are sourced
from dealers of major companies in India or abroad. We require forgings and
castings, which we normally source from locally available forging
manufacturers in addition to manufacturing casting at our in-house foundry.
We have an arrangement with komatsu Mining Germany (Demag) for supply of
components and spares required for heavy earth moving and mining
equipment. We import components such as hydraulics and gear boxes for our
heavy earth moving mining equipment from komatsu Mining Germany,
Rexroth, Carraro and also several other reputed companies in India and
abroad. We source our requirements of cylinders and engines for our machines
from indigenous sources.
In the Railway Budget for 2008-09, it was announced that Indian Railway will
procure around 20,000 wagons. In addition to demand from Indian Railways,
demand for wagons from public sector companies such as National Aluminum
Company Limited (?NALCO?), National Thermal Power Corporation Limited
(?NTPC?), Container Corporation of India Limited (?CONCR?), etc. has also
been picking up. Companies such as NALCO, NTPC, etc. Procure wagons for
their in-house utilization where as CONCOR procures container flats for
container transportation purposes. The demand of wagons has further been
bolstered by the wagon Investment Scheme (?WIS?), which was implemented
by Indian Railway wef April 1, 2005.
Wheel sets are one of the most critical components in wagon manufacturing
and the approximate cost of wheel sets as a percentage of the total selling
price of wagon for non Indian Railway customers is almost 30-35%. The prices
of wheel sets, are significantly dependent on prices in the international market
and their global demand and supply situation. To manage the cyclical
fluctuations in the prices of wheelsets, we have developed relationship with a
number of RDSO approved vendors in countries such as China, Spain, Brazil
and Switzerland. We placed order with such vendors, based on our
outstanding order book position and based on the delivery requirements of
our customers. Due to significant price fluctuation of wheelsets in the global
markets and current global shortage, we endeavour that our non-Indian
Railway customers? Open letters of credit against our purchase orders with our
approved vendors directly. In order to reduce the risk of price fluctuation of
wheelsets and to ensure continuous supply of wheelsets for our production,
we are planning to setup an axle machining and wheelset assembly plant at an
estimated cost of Rs 129.33 mn. The assembly plant will have an assembly
capacity of 10,000-12,000 wheelsets per annum. We believe an axle machining
and wheelset assembly shop would give us a cost advantage with respect to
savings in freight charges and would also give us greater operational
Non-DM components such as horizontal levers and safety plates, being low
value components, are procured locally and require no RDSO inspection.
Suppliers of Non-DM components are approved as per guidelines specified in
our quality assurance manual and in accordance with the requirements.
Railway Rolling Stocks, Components & Track Materials
BWEL is the largest Rolling Stock manufacturer in India. With an annual
production capacity of over 8600 Vehicular Units, BSCL offers the following
range of Railway Wagons.
Open Type Freight Wagons for transportation of Coal, Ores, Minerals etc.
Closed Type Freight Wagons for transportation of all classes of General Goods,
Food Grains, Bagged Cement etc.
Bottom Discharge Open Ballast Hopper Wagon with automatic unloading
facility (suitable for bulk goods)
Special Leak Proof Wagon for Alumina & Cement (with pneumatic discharge
system direct from wagon to the unloading point)
Milk Tank Wagon
Special Wagon for Liquefied Petroleum Gas (LPG)
Flat Wagon for Transportation of steels.
Crop Wagon for Transportation of scraps.
BSCL’s foundry practice dates to the 18th
century and today with its
modernised Steel Plant, Moulding Equipment, Electric Arc Furnaces, Heat-
treatment and Shot Blasting facilities, the annual production of 15,000 MT
covers finished Alloy Steel Castings, Heavy Nihard and Mn Steel Casting and
Crossing. Maximum weight of castings that can be made is 4 MT.
The battery of Drop Stamping Hammers and Hydraulic Presses with supporting
machinery’s including heavy die machining facilities have enabled the Forge
Division to produce customer need based forging and pressings.
Maximum dimensions – 450/R Bloom.
Maximum weight – Drop Stamping: 40 Kg,
Plain Forging: 2.5 Tons
Starting from the raw mining to the finished product BSCL,s Refractory Unit
offers a one window solution for a wide range of products basic bricks e.g.
Mag. Chrome, Chrome Mag, Magnetite, Chemically Bonded (Unburnt), Direct
Bonded, Mag. Carbon, Refractories for Copper, Cement & Glass and many
BSCL is the “preferred supplier” for Steel Structurals for major Rail and Road
Bridges in India. Supplies have included structural work for bridges over India’s
widest Rivers: Ganga, Krishna, Godavari, Hooghly and Bramhaputra to name a
Steel Frame Building Structures
Steel Plant Structural Work
Steel Plant Equipment
FACILITY PROVIDED BY INDIAN RAILWAY
New Delhi During 2009-10, the Indian Railway plan to acquire 18,000 new
wagons against 11,000 in 2008-09. Announcing this in Parliament today, the
Minister of Railways, Mamata Banerjee, said that there was a growing demand
for wagons in Indian Railways.
The ministry also proposes to take over the wagon units of Burn Standard Co.
Ltd. (BSCL) and Braithwaite & Co. Ltd. (BCL), under the Ministry of Heavy
Industries. During the year 2008-09, the Government released Rs 8-38 crore to
BSCL, Rs 3.76 crore to BCL for modernization and production facilities.
During 2008-09, BSCL has registered a net loss of 199.92 crore INR (Prov.) and
a loss of 151-29 crore INR during 2007-08 (Actual). During 2008-09, BC has
registered a net profit of 1.42 crore INR (Prov.) and a profit of 0.55 crore INR
during 2007-08 (Actual).
The proposal to acquire 18,000 new wagon is good news for the domestic
wagon manufacturing firms.
VRS Natarajan, CMD, BEML felt that the budget was very encouraging and
would increase the business of coach builders and manufacturers.
The minister also proposed premium freight service for container movement
with assured transit time and a mega logistic hub alongside eastern and
western dedicated freight corridors.
MARKETING OF RAW MATERIAL
The wagon manufacturers are not unduly worried over supply of raw materials
such as steel and wheels by the Railways. Some of the wagon manufacturers
express their reservation about the Railways plans to acquire the wagon units
of Burn Standards and to set up a new coach factory in Kanchrapara (West
The two wagon units of Burn Standards employ about 1,000 people – 700 in
Burnpur Factory and 300 in Howrah factory. Together the units produce about
1,000 wagons a year. In 2008-2009, the company posted a cash profit of a little
over Rs 5 crore (unaudited) on a turnover of about Rs 175 crore, of which the
share of the wagon units will be about Rs 80 crore.
Meanwhile, Mr. Pawan K. Rui, Chairman, Jessop & Company, in a statement
said, Jessop being a manufacture of EMU coaches for several years would not
only welcome the proposed an EMU coach factory at Kanchrapara but would
also be keen to share the experience in this regard.
More than 60 par cent jump in the wagon procurement target would also a
boon to Jessop, now ready with improved designs of wagons and aluminium
wagons. According to Mr Umesh Choudhary, Managing Director, Titagarh
Wagons, the dedicated railway freight corridor project would be a game
changer for the logistics industry and the economy.
The project’s emphasis on light-weight specialized wagons is important for
Titagarh Wagons set to enter the manufacture of aluminium wagons
Titagarh Wagons, in collaboration with Freightcar America, is designing a
prototype for aluminium wagons in the country. It is expected to be ready by
In case of EMU coaches, the company has bagged its first set of orders for six
rakes from the Railways and expects order flow to increase in view of the
Minister’s proposal to increase frequency of local and short-distance EMU
After the heightened expectations in the run up to the Railway Budget, the
announcements made on Friday may have come as a dampener. With no roll
back of the increase in freight charges, the Budget did not provide much of an
impetus, on the lines expected by Corporate India. But it does spell positively
on companies associated in the business of making railway related goods.
Companies such as BEML, Texmaco and Titagarh Wagons that are in the
business of making wagons, EMU and metro coaches stand to benefit from the
announced addition of 18,000 wagons (as against 11,000 in FY09) to Indian
Railways fleet in the current year.
The announcement of new train services, refurbishment of older coaches and
the intended introduction of high-capacity air-conditioned double-decker
trains will also bode well for these wagon manufactures. The setting up of a
new coach factory for manufacturing 500 coaches a year in Kanchrapara in
West Bengal may not pose significant competition to the players as the
Railways (according to industry estimates) is expected to acquire 1,00,000
wagon units in the 11th
Five year Plan.
Such a high wagon procurement target may result in all the players getting
That the planned investment outlay by the Railways has been increased to Rs
40,745 crore is also a positive for other railway-related stocks. The budget has
increased its allocation (compared with the one made in the interim budget)
for new lines from Rs 1,100 crore to Rs 2,921 crore.
In addition, even though the budget did not spell out definitive plans for taking
the dedicated freight corridors forward, that the Ministry continues to focus on
it also reflects well for these container operators. Players such as Concor and
Gateway distriparks, give their cold chain initiatives may also benefit from the
proposed development of cold storage facilities for farmers to store vegetables
PROCESS OF SELLING
The orders in hand with the BBUNL Group of Companies as on 01.04.2007
were Rs. 711,61 crores (gross value) and Rs. 515.57 crores (billable value),
excluding the nonmoving order of BSCL/Howrah Works worth Rs. 15.05 crores
(gross) and Rs. 13.10 crores (billable), respectively.
During the year under report, the BBUNL Group of Companies secured new
orders aggregating to Rs. 537.52 crores (gross value) comprising of Rs. 410.02
Crores (gross value) from the Railways and Rs. 127.5 crores (gross value) for
non-Railway products, including.
The summary of order booking/executed by BBUNL Group in major product
categories during the financial year 2007-08 is as follows.
The actual production (gross) during the year amounted to Rs. 499.71 crores
against the available orders.
11.05 Orders for 2038 VUs wagons were bagged from the Railways and 20 VUs
wagons from Non Railway customers during the year under report.
12.01 New export order worth Rs. 3.43 crores was secured by BSCL
worth Rs. 3.43 crores was secured by BSCL during the year.
12.02 Export/Sales turnover of the BBUNL Group of Companies during the year
achieved to the tune of Rs. 12.05 crores against the previous year amounting
to Rs. 8.48 crores.
FOREIGN EXCHANGE EARNINGS & OUTGO
During the year under report, earnings in foreign currency of the Company, as
stand-alone entity, were Rs. 3.97 crores on account of export sales. There was
no outgo of foreign currency during the year.
RELATIONSHIP WITH DEALERS
Pay revision (due from 01.01.1997) for execu tives could not take place in the
major subsidiaries. Also, wages in some subsidiaries could not be revised. This
impending pay/wage revision and non-uniform pay structure across the Group
companies caused unrest among the employees concerned. Further, inability
of one of the subsidiaries to pay wages and other statutory/terminal dues in
time also caused dissatisfaction to the employees.
However, industrial relations continued to be cordial during the year under
Texmaco is the leader in the wrong segment with a 25% market share. It has
sustained its leadership in the past and has an established performance track
record. The company has order backlog of -5,500 wagons and we believe that
Texmaco will continue to maintain its leadership. Moreover, increasing
investments in hydel capacity augur well for the hydromechanical division.
However, the hydel power generation industry typically suffers from significant
delays in order and execution.
Texmaco has formed a JV with United Group (Australia) for manufacturing
metro and EMU coaches. Which is expected to commence operations in the
next 10-12 months. We initiate coverage on Texmaco with a BUY
recommendation and a price target of INR 124.
Wagon order adequate:
The company has an order backlog of 5,500 wagons,
Which should be adequately sustain FY 10 performance. IR release tenders or
wagons annually. A tender for 5,862 wagons was recently floated in July 2009
and the balance is expected during Q3FY10. Thus, bulk of the benefit from new
orders being awarded will be reflected in FY11, in our view and gives us
comfort over revenue visibility. However, over the past two years, there has
been considerable delay in award of orders and quantity tendered lower-than-
planned. IR targeted procurement of 20,000 wagons annually in FY09; against
this, actual procurement was ~50%.
MRTS coaches will take time: The metro and EMU coaches will take another
These Wagons can carry 60 tonnes graded coal and can ply in merry-go-round
system. The loading is done from the top and unloading is done automatically
from the bottom through Pneumatic Door Operating Mechanism activated by
Rail Side Devices mounted on the track. The electropneumatic system is
actuated from 24 to 32 Volt DC operated Line Side Equipment at the desired
place.The Door Operating Mechanism has been successfully developed by
BBUNL and are in wide use. The wagons have the same features as other 8
wheeler bogie type wagons used for carrying bulk load.
Wagons are per customers specifications & service requirements can also be
manufactured and supplied to meet any International Standards.
Product Open Coal Hopper
Open Ballast Hopper
Track Gauge 1676 mm 1676 mm
Total Weight 81.28 M.T. 91.6 M.T.
Tare Weight 27.45 M.T. 30.4 M.T.
Load Capacity 58.38 M.T. 61.2 M.T.
Volume Capacity 57.20 cu.m 34 cu.m
Overall Length 11600 mm 11597 mm
Width of Carbody 3500 mm 3020 mm
Height of Carbody 3735 mm 3304 mm
Coupler Type A.A.R “E” Type (High
Tensile) with high
A.A.R “E” Type (High
Tensile) with high
Bogie Type Casnub 22 NLB Cast
Casnub 22 NLB Cast
Brake System Air & Hand Brake Air & Hand Brake
Max. Speed 100 Km/h 100 Km/h
The DC and AC EMU Coaches and of semi-integral design with corrosion
resistant carbon steel construction (Cotton Steel). The Coach Underframe is
manufactured from Rolled as well as Pressed Steel Sections. The bogies are
fabricated steel construction with Coil Springs for Primary and Secondary
The Traction Motors for both DC and AC EMU are DC series Motor type with
Rheostatic Control for DC EMU and Transformer Secondary Tap Changing
Control for AC EMU.
The power supply for DC EMU is 1500 Volts and for AC EMU it is 25 kV, 50 Hz
AC. The power collection is through Roof Mounted Light Weight Pantograph.
Electro-pneumatic Braking System is provided for both AC and DC EMU
Track Gauge 1676 mm
Length over Bodyend Panels 20739 mm
Distance between Bogie Centres 14630 mm
Bogie Wheel Base 1896 mm
Max. Load per Axel:
Motor Coach 20 te
Trailer Coach 16 te
Width Over Bodyside Panels 3658 mm
Height of Centre of Roof from Rail Level 3810 mm
Max. Service Speed 110 Kmph
Wheel Dia. On Tread 952 mm
Brake System Electro Pneumatic
Min. Radius of Curvature 152.4 m
Coupler Type C.B.C Centre Buffer Coupl
VISION AND MISSION
To provide the road map of business development, diversification and
capacity/capability building in respect of all the Group companies.
To make BBUNL Group a leader in the field of wagon manufacture, engineering
and infrastructure development in India and to gradually establish the
company as a global player.
To enter into new technologies in respect of its core strength areas.
To arrange technology transfer and its dissemination especially through
collaboration with reputed global players or through suitable technology tie-
ups for technology up-gradation and diversification of business in wagons,
bogies & couplers as well as in infrastructure development.
To generate 30% of its operational cost/expense in the current year and to
reach 50% level by next three years.
Zeal to excel and zest for change
Integrity and fairness in all matters
Respect for dignity and potential of individuals
Strict adherence to commitments
Ensure speed of response
Foster learning, creativity and team work
Loyalty and pride in the company
Bharat Wagon and Engineering Company Limited is divided into following
(i) Personnel Department - The personnel department is hereby in charged
(Personel and Administration) assistant who is also looking after the job of
(ii) Finance Department – Finance department is headed by a Manager
(finance). The work of finance department is to fix the price of the product by
costing methods and other allied works related to the employees for which
they are entitled.
(iii) Stores and Purchase Department - Stores and purchase department is
headed by Material Manager. The department conducts the supplies and
purchase of all materials and products. This department receives the order for
the supply of products.
(iv) Work Department – Work department is headed by Deputy Manager
(Works). The main function is to take care about wagon assembly, cutting and
welding, Pross and smithy, machine shop, finishing and painting shop.
(v) Planning and Civil Department – Deputy Manager (planning and
inspection) headed this department. The main function of the department is to
get the civil work done and capital budgets etc.
structure at Bharat Wagon and Engineering Limited Company is shown in
adjacent page :-
FUNCTIONS OF VARIOUS DEPARTMENT AT BWEL
Employment Administration :-
Cultivation of specific sources of manpower.
Selection process including test, interview, examination etc.
Maintenance of employees records.
Transfer, promotion, demotion, disciplinary action, grievances etc.
Wages rates clearance allowance and other monetary allowances.
Cost of living incise.
Administration of employees appraisal plan.
INDUSTRIAL RELATIONS :-
Settlement of grievances.
Negotiation and dealing with trade union and labour department.
Interpretation and dissemination of company’s personnel policies.
Legal matters concerning employees.
WELFARE ADMINISTRATION :-
Canteen and cafeteria
Educational, recreational and cultural activities.
Personnel guidance and counseling.
MANAGEMENT DEPARTMENT :-
To provide training facility to improve skills of the employees.
To facilitate them on the job training and off the job training.
Arranging seminars and conferences.
Providing educational and vocational counseling.
Execute the performance appraisal of the employees potential and capability.
MANPOWER PLAINNING :-
RECRUITMENT AND SELECTION
REPRESENTATION OF COMPANY IN LABOUR COURT
ISSUING CHARGE SHEET AND CONDUCTING DOMESTIC INQUIRY
FURNISHING VARIOUS STATUTORY RETURN TO HEAD-OFFICE AS WEL AS
DIFFERENT AGENCIES ETC.
LIASIONING WITH THE TRAINING OF AGENCIES :
MOTIVATING AND PRACTICAL TRAINING OF EMPLOYEE FOR PRODUCTIV.
2. Finance Department
The work of the finance department is to find the price of the product by
costing method and other allied workers related to the monetary payments of
all sorts of the employees for which they are entitled.
The main functions of finance department
a. Maintenance of books of accounts related to purchase sale, stores
establishment and salary v and wages payment etc.
b. Preparation and submission of various management reports on
productions, cost control, cash flow stock, sales etc.
c. Statutory compliance under excise, income tax, provident funds, E.S.I.
d. Handling matters related to statutory internal C.A.G. commercial and tax
e. Analysis of accounting: data for decision-making purposes.
f. Financial concurrence to different proposal including capital investment
g. Cash management and handling banking matters.
3. Works Production Department
1. Fabrication and assembling of railway goods.
2. Manufacturing of wagon components. Fabrication of component of
railway bridges/ road bridges.
Safety Officers have been appointed in this company to render the following
a. To act as an expert and safety and pollution control.
b. To provide preventive measures against occupational diseases so as to
product. The health of the workers and promote better hygienic atmosphere
through the co-operation of the medical officers of the factory.
c. To implement the safety provisions under the factories act, 1948.
d. To ensure accident free atmosphere and to check operations and issue
work permits after the hazards having removed and repair made.
e. To check from time to time water and air pollution.
f. To check noise hazards through appropriate means and to reduce them
to the appropriate means and to reduce them to the appropriate sound levels.
g. To prevent the loss of the property of the organization due to accidents
and mishandling o the tools and materials of the company.
h. To procure safety equipment and prepare for safety budgets and also to
see that those safety aids are properly utilized by the workmen.
(ix) To promote safety education and training for th workmen and also
motivate them through safety campaign and rewards.
(x) To make safety amidst, appraisal and review to ensure against
recurrence of accidents.
(xi) To laise with the Factory Inspector as and recognized training institute
like Central Labour Institutes (CLI), Regional Labour Institutes (RLI).
(xii) To prepare accident reports and analysis for submission to organize
works department is divided into different sections & sub sections for better
and systematic production as follows:-
Department / Sections Department Code No.
Press and Smithy 501
Cutting and Welding 502
Wagon Assembly 504
Wagon Finishing 505
Sub-Assembly/Shot Blast 508
Mechanical and Electrical
4. Maintenance Department
The Function of the maintenance Dept. is as follow:
Mechanical Maintenance of all machineries and equipments.
Electrical maintenance of all machineries and equipments.
Generator operations and maintenance.
Erection and commissioning of equipments.
5. Planning and Inspection Department:
The main functions of Planning and Inspection Department are:-
Total planning of the unit in respect of the requirements of materials for
Liaison with railways and other officers for better output in the line of demand.
Inspection of all incoming material for wagon production and other items.
Audit check of different stages of production of as per the manufacturing
standards of railway
C-72 for better quality assurance and do the satisfaction of RDSO (Railway
design & standard organization).
Liaison with mounting team for mounting of wheel set.
The main functions of the Security Department are
To supervise the factory from any pilferage, damage, fire hazards as well as
security of plant & machineries.
To maintain the records of incoming and outgoing materials, persons etc.
B.W.E.L., Muzaffarpur having a full fledged medical provide first aid to the
8. Computer Science
This department is completely meant for Management Information system
(MIS) and co-ordination with all the concerned departments and render the
(a) To keep proper records of employees, their identification no. and
(b) To keep records of accounts of production.
(c) To maintain the database management of the company to coordinate
with all the departments in keeping information up to date.
(d) To make pay – roll of the employees.
(e) To keep records of accounts of production.
(f) To assist the finance department in preparing the balance sheet, sundry
Bank, GV. (General Voucher) etc.
(g) To prepare Goods Receipts Note (GRN), B.H.W.R. (Bolt, Nut, Washer &
Bought out components, Issue, Vouchers etc. records for stores
(h) To prepare data entry of variable earning & deduction (monthly
(i) To prepare monthly D.O. value position
9. Material Department
Material Department of Bharat Wagon & Engineering Company Limited,
Muzaffarpur is very important as it is primarily intended to assist in the
production, maintenance and other allied function of all departments in
To make available balance flow of raw materials components, equipments and
other materials necessary to meet operational requirements.
To provide maintenance of materials, spare parts and general stores as
Material Department has been sub divided into major sections.
Purchase section is mainly engaged for procurement of all materials required
for the company’s business e.g. from paper pin to C.S. Bogie from calculator to
shot blasting equipment.
Store section is mainly to engaged for receiving, storing issuance with all case
control and plays a vital role to achieve the targeted production with all
possibilities of cost reductions and make the company in profit. As because
Bharat Wagon and Engineering Company Limited is an engineering company
and where the cost of raw materials for production is 50-60% of the total cost
The unit wise manpower break-up is given below:
Unit As on 31st
As on 1st
Muzzafarpur Unit 771 743
Mokama Unit 741 707
Bela Works 110 101
Head office, Patna 105 113
Regional office, Kolkata 16 12
Regional office, New Delhi 06 06
Total 1749 1682
Strength and Opportunity Analysis
Established brand name
ISO-9002 certified factories for wagon
Location well connected by rail & road
Ample space available for future
expansion at Mokamah & Bela
Skilled workforce with rich experience
in steel erection & fabrication
Good track record
Moving into value added wagons-
Increase thrust in the area of pontoon
Bridges and Screw pile bridges
Focusing on oil companies for building
overhead/underground fuel storage
Utilisation of the excess space in the
units at Mokamah and Bela for
Tapping export market for wagons
INDUSTRIAL MARKETING POLICIES
Powers are delegated to various agencies namely Board, Managing Director,
General Managers and other Officers depending upon the nature of issue.
Some of the important Policies delegated are mentioned below –
Policy matters relating to service conditions, wages and salary structures
including allowances, bonus, retirement benefits, not requiring Government’s
Contracts (above rupees one crore). Write of bad Debts ( over Rs. 25000/-),
Sanctioning above 20% excess over senctioned estimate in a project/item.
Ex-gratia payment above Rs. 10000/- in case of death / injury of company
employees. Appointment of officer above Dy. Manager
Manager post, scale- Rs. 5400-225-6300-250-9050/- (1995 Revision), and
below Board Level.
Norms set by the BWEL for discharge of its functions:
The company has well defined procedures and guidelines for discharge of
various functions. These are highlighted below –
BWEL has procedural manuals covering important activities viz Purchase
Manual, Works Manual. These manuals ensure carrying of activities in a
systematic and standardised manner and eliminate the scope of exercise of
discretion. While discharging the functions covered by these manuals, the
employees follow the provisions of these manuals.
Guidelines of Department of Public Enterprises
BWEL being a public Sector Enterprise follows the guidelines of Department of
Oublic Enterprises and directives of Government of India issued from time to
Burn standard Co Ltd
Braithwaite & Co Ltd
Bharat Wagon & Engg Co Ltd
The group companies have supplied various types of wagons with different
capacities, both in eight wheeler (Bogie type) and four wheelers to Indian
Railways and many overseas Railways. The group companies have also
received ISO 9002 Certificates for manufacturing Wagons and wagon
Railway Wagons Type of wagon manufactured:
Open Type Freight Wagon (BOXN)
Covered Type Freight Wagon (BCNA)
Flat Type Freight Wagon (BRNA)
Casting Jobs Grey Iron Casting including wagon components,
bevel gear box, screws and other components.
Sugar Mill machineries Complete Rollers, Roller Reshelling, Filter press,
Crystallizers, Sulphur furnance, Condensers,
Conveyor Mill Coupling, Molasses pumps and
other allied equipment.
Steel Fabrications Fabrications suitable for the following:
Thermal Power plants
Railway and Road Bridge Structural
Screw Pile Bridge Designing and manufacture of components for
screw pile bridges with all relevant components to
suit river width.
Coal Minning Equipment Coal Tubs, Mine Cars, Ropeway Buckets
LPG Cylinders Manufacturing LPG Cylinder for domestic use
Projects Defence Road Trailers, Transmission Towers and
Product Range With Description
Product Category Description
BOXN – 8 Wheeler Broad Gauge Bogie Open Type Wagons
fitted with Cast Steel Casnub Bogies, High Tensile Centre
Buffer Couplers (NT) with single air brake system, Tare Wt.
22.47 MT,Pay Load – 58.81 MT and Gross Load – 81.28
BRNA – 8 Wheeler Broad Gauge Flat Wagons with fixed
ends but fitted with single air brake, Casnub bogies and
HT CBC coupler
BCNA – 8 Wheeler Broad Gauge Bogie covered wagons
fitted with cast Steel Casnub Bogie with Air Brake and
Structural MS Trough plates – 8 mm thick MS double troughs used in
screw pile road bridges of width 0.76 m, length 4.27 m
and 10 mm thick double steel trough used in railway
tracks on bridges.
Fender plates – 8 mm thick fender plates used in screw
Underground Mild Steel Tanks – 15KL, 20 KL, 45 KL and 70
Grinders – Grinders for screw pile bridges
Wagon Components – Forged, Pressed and Fabricated
components for various types of wagons.
CI Castings Wagon Components, Bevel Gear Box, Standard plates &
Sugar Mill Items Rollers – New rollers and Reshelling of rollers
Tail Bar Couplings
Scraper Plates and Sulphur Burner
Machine Parts for Jute Mills
Heavy Media Sump
Hopper used in coal washery units.
Coal tubs and Mines car
High Pressure Heat Exchanger Pipe for oil refinery
Coal handling plant equipment for power plant
I.D. Fan impeller
I.D. and F.D. fan shafts
Steel Brake Drum
List of Major Plant & machineries for production of wagons at Mokama
S.No. Description Capacity Nos.
1. Brake Press M/C 315 T 1
2. Brake Press M/C 135 T 1`
3. Hyd. Press m/c 400 MT 2
4. Hyd. Press m/c 250 MT 1
5. Profile gas Cutting m/c pug 1/8” to 6” thk 6
6. Cutting m/c 50 MM thk 7
7. Profile Kangaroo gas cutting 38 mm thk 1
8. Pillar Drilling M/C 40 MM & 50 MM dia 2
9. Radial Drilling M/C 50 MM to 65 MM dia 5
10. Girder Drilling m/c 52 mm to 56 mm dia 1
11. Shearing m/c 10 mm to 16 mm thk 4
12. 3-Roll plate bending m/c 16 x 2500 mm 1
13. Power hammer (pneumatic) 5 cwt 2
14. Rivetting hammer 5 cwt 1
15. Cropping Machine up to isa150 x 150 x 12 2
16. Co2 mig welding m/c 450 amp 7
17. Welding transformer 450 amp 60
18. Welding transformer 350 amp 10
19. Submerged auto welding set 750 amp 2
20. Shaper Stroke-24” 2
21. Universal Milling M/c 400 x 1650 mm 2
22. Central Lathe 1.5 to 2 m centre dist & SP 2
bore 53 to 80 mm
23. Central Lathe SW-370 to 390 mm 2
24. Engine Lathe SW-870 mm 1
25. Turret Lathe SW-550 mm 1
26. Capstan Lathe SW-450 mm 1
27. Horizontal Beam bending m/c 315 mt 1
28. Power Hacksaw 18” 1
29. Circular Sawing m/c Round 9” dia, SQ-8” 2
30. EOT Crane 5 T 5
31. EOT Crane 10 T 2
32. EOT Crane 15 T 3
33. Mobile Crane 10 T 1
34. Vacuum Tester 41 CFT / MM 1
35. Wagon Weighment machine 40 T 3
36. Platform Weighing Machine 30 T 1
37. Oil Fired Heating Furnace- 1
38. Power Winch 5, 10 T 2
39. Shot Blasting Plant 3-4 wagons 1
Machineries for Utility service
1. D.G. Set 250 KVA 4
2. D.G. Set 500 KVA 1
3. Air Compressor 400 CFM at 100 PSI 1
4. Air Compressor 535 CFM at 100 PSI 1
5. Air Compressor 547 CFM at 8 ATM(G) 1
6. Mobile Air Compressor 400 CFM 1
7. Fork Lifter 3 Ton 3
List of major plant and machineries in respect of structural fabrication
Description Capacity Nos.
Three roll bending m/c 16 x 2500 mm 1
Shearing m/c 10 mm to 16 mm 4
CROPPING M/C IP TO ISA 150 X 150 X 2
PUG STRAIGHT LINE 50 MM THIK 7
PROFILE GAS 1/8 TO 6 THK 6
PILLAR DRILLING 40 MM & 50 MM dia 2
Radial drilling m/c 50 mm to 63 mm dia 5
Brake press m/c 315 T 1
Ecentric press m/c 135 T 1
Shaper m/c stroke-24 2
Co2 mig welding m/c 450 amp 7
Welding transformer 450 amp 60
Power hacksaw 18 1
Centre lathe sw 370-390 mm 2
Mobile crane 10 t 1
Air Compressor 400 cfm at 100 psi 3
D.g. set 250 kva, 500 kva 5
Fork lifter 3 t 2
Mobile air compressor 400 cfm 2
Circular sawing Machine 9 dia & 8 SQ 1
Power winch 5, 10 t 2
S. No.Description Capacity Nos.
1. Power source
a. Step down transformer 500 KVA 2(11kv-440 v)
2. Capacity power source
(a) Diesel Generator 250 Kva 1
(b) Diesel Generator 500 Kva 2
(c) Diesel Generator 20 Kva 1
3. Air compressor
Compressor (elect) 240 CFM 3
Compressor (elect) 565 CFM 1
Portable Compressor (diesel) 400 CFM 2
4. Cranes & Hoist
(a) EOT Crane 15 T 2
(b) EOT Crane 12 T 1
(c) EOT Crane 10 T 2
(d) Hot Crane 10 T 2
(e) Hot Crane 5 T 2
(f) Jib Crane 2 T 2
(g) Jib Crane 1 T 1
5. Mobile Cranes & Materials Handling Equipment
(a) MOBILE CRANE 7.5 T 1
(b) MOBILE CRANE 8 T 2
(c) MOBILE CRANE 10 T 1
(d) FORK LIFTER 2.5 T 1
(e) LOCO PULSER (WAGON - 2
(f) DIESEL LORRY TRUCK 10 T 2
6. Shearing/Cropping/Punching/Shaw machines
A Shearing Machine 10 mm x 2500 mm 1
B Shearing Machine 16 mm x 2500 mm 1
C Shearing Machine 7mm x 3200 mm 1
D Cropping Machine angle upto 150x150X10 1
E Cropping Machine angle upto 150x150X10 1
F Punching Machine upto 7/16” thickness 1
G Circular saw machine upto 150 mm 1
H Power Hackshaw upto 150 mm 1
a) Profile Cutting machines 1.5 m x 150 mm thk 3
b) Profile cutting machines 1.5mx3.0mx150mm thk 1
c) Pug Straogjt edge cutting m/c 50 mm thk 3
7. Power Press & Hammers
a) Hydraulic Press 250 mt 2
b) Pillar type hydraulic press 600 T/400 T 2
c) Ecentric Electro mech. Press 80 T 1
d) Pneumatic Hammer 400, 250, 200 & 100 kg 4
e) Pneumatic Chipping Hammer 10 mm x 180 mm 5
8. Power Press & Hammers
a) Hydraulic press 250 MT 2
b) Pillar Type Hydraulic Press 600 T/400 T 2
c) Eccentric Electro mech. Press 80 T 1
d) Pneumatic Hammer 400, 250, 200 & 100 kg 4
e) Pneumatic Chipping Hammer 10 mm x 180 mm 5
9. Welding Equipment
a) Arc welding transformer 400/450 38
b) Mig/Mag Welding Machine 400 A 9
c) Submerged Arc Welding Machine 600 A 1
10. penumatic rivetting hammer upto 20/22 mm 14
A Heavy Duty Lathe cht 500 mm x 5.5 m bl 2
B Heavy Duty Lathe cht 350 mm x 4.6 m bl 1
C Centre Lathe cht 125 mm x 2.0 m bl 3
D Centre Lathe cht 200 mm x 1.5 m bl 1
E Capstan Lathe collet dia 40 mm x350 m 2
F Shaper Double Arm Stroke 26” 1
G Shaper Single Arm Stroke 20” 1
H Planer Heavy Duty bed 3 x 1.5 m, HT 1.2 M 1
I Planer Light Duty bed 1/45 x 0.5 m, HT 0.45 M 1
J Slotter Heavy Duty Stroke 500 mm bed dia 1 m 1
K Plain Milling Machine -
L Universal Milling Machine bed 1.25m, ht 0.4 m 1
M Boring Machine (Horizontal) d 1.0 m x 12 m 1
N Boring m/c (Vertical) double Head900mm od*500 mm id*2M10Lg 2
O Shell Boring m/c double head Sugar Mill roller Boring 2
P Gang Drilling m/c double head 1.25” , BL 13 M 1
Q Universal Drilling m/c size 1.5” 1
R Radial Drilling Machine size 1/25”/1.5”/2” 3
S Surface Grinding m/c 8” x 5.5” x 2” 1
T Pedestal Grinding m/c 16” x 5” x 1.5” 1
U Pedestal Grinding m/c 18” x 2.5” x 2.5” 1
V Portable Drilling m/c 20 M 2
12. foundry equipment
a) Cupola 5t. 2t 3
b) Oil Fire Melting Furnace 0.5 t 1
c) Hot Metal Ladles 8t, 4t, 2t 1
d) Coal fired Core Drying Oven 250-300 degree c 2
e) Sand Muller Machine 5 cft/hrs 1
f) Jolt Squeeze Moulding Machine 340 kg 1
g) Wood Planner Machine 18” Cutter Length 1
h) Band Saw Machine 5 hp 1
13. Air Brake Testing Rig 6 kg/CM.SQ 2
14. Vacuum Brake testing machine -
15. wagon weighment machine 40 T 2
16. Shot Blasting Plant 3-4 wagon/day 1
17. Power winches 15 hp 2
18. Three Roller Type Plate Bending m/c 16 mm tjocl x 2500 mm wide 1
Technical Parameters of Meter Gauge Coach for Indian and Vietnam Railways
Description Indian Railways Vietnam Railways
Track Gauge 1000 mm 1000 mm
Length over Bodyend Pannel 19500 mm 19000 mm
Length over Centre Buffer
20184 mm 20184 mm
Distance between Bogie
13715 mm 13300 mm
Bogie Wheel Base 1980 mm 1980 mm
Max. Load per Axle 10 Te 10 Te
Width over Bodyside Pannel 2740 mm 2740 mm
Height of Roof from Rail Level
under Tare Condition
3355 mm 3700 mm
Height of Centre Buffer
Coupler from Rail under Tare
825 mm 825 mm
Max. Service Speed 90 Kmph 100 Kmph
Wheel Dia. On Tread 952 mm 780 mm
Brake system Vacuum/Air Brake Air Brake
Max. Radius of Curvature 90 m 90 m
Coupler Type High Tensile C.B.C
type of IR Standard
High Tensile C.B.C
type AAR 10 A
The relationship between land and labour is nearly as old as human existence
on the earth. As we cannot imagine the process of creation of wealth without
labour, it is treated as more important. The satisfaction of worker is linked with
the question of our existence & profitability. Increase in production is not
possible without the fullest co-operation between management and labour
and the most important determinant is a manager’s ability to minimize the
conflicts and maximize the satisfaction of employers & employees. This
situation may be created by taking intense are upon labour productivity, which
is based on incentives, motivation compensation have been evolved over a
period of time. More particularly with a view to motivate the worker &
The success of any organisation also depends upon the facts that effectively
and efficiently the wage and salary administration is handled by the manager,
that can turn the worker towards satisfaction level. If an ideal match between
technical innovations and worker’s aspiration have been set-up, they may be
capable of producing new idea developing and improving capital goods and
modifying the available physical and financial resource in order to achieve
greater productivity, satisfaction depends on the strategies adopted for wage
and salary administration.
By observing the above points, it can easily be concluded that the importance
of wage and salary administration at present day cannot be ignored. While
working on this topic, my present aim is to evaluate the wage and salary
administration in company like BWEL, Muzaffarpur unit, Muzaffarpur. I have
also evaluated the various methods of wages and salary administration.
Thus progress is a continuous process. It is relative and absolute. We cannot
stop at a certain destination and declare that target has been achieved and we
need to go further. One has rightly said the following lines :-
“The woods are lovely dark and deep, but I have promises to keep a mile to go
before I sleeps.”
Summer Training Programmes are designed to give the future feel of the
corporate happening and work culture. These real life situations are entirely
different from the simulated exercise enacted in an artificial environment
inside reason that the summer training programmes are designed so that the
managers of tomorrow may not feel ill in case when the times come to
That experience that I have gathered over the last six weeks have certainly
provided me with orientation which I believe will help me to shoulder any
assignment, successfully in near future. I have tried my level best to arrange
the work in a systematic and chronological manner.
We read theoretically the matters noted in the books but are not very much
acquainted with the actual working in the organisation. There becomes a lot of
difference between the bookish knowledge & the practical Knowledge. To have
a practical feelings & go through the working an organisation is very much
beneficial for us. The experience gain during these six weeks is of highly
Even though this project report will be helpful for the management of BWEL,
to look back at their role and procedures regarding wages and salary activity
stake necessary steps to improve it.
The future students of management disciplines who want to know abut the
working of BWEL, Muzaffarpur, especially with regard to wage & salary will get
a massive help from this project report.
PRESS & SMITHY SHOP
In this press and smithy shop there are seven open nearth furnances where
coal burns on the bed. On these famous various of parts are heated. The
heated part is kept on the anvil with the help of hammer the required shape is
formed. In this shop more than 50 components are :-
Head Stock pressing
Anchor plate pressing
Anchor support pressing
List & Numbering of machine :-
1. Hydraulic Press (400 T) -----
2. Hydraulic Press (250 T) -----
3. Press Machine (600 T) -----
4. Power Hammer (400 Kg) -----
5. Power Hammer (250 Kg) -----
6. Power Hammer (100 Kg) -----
7. Power Hammer (80 Kg) -----
8. Coal Fired Forge -----
9. Oil Fired Furnance -----
10. Blower -----
(1) Press & Press Work :-
The press is metal forming machine tool designed to shape of cut metal tool by
applying mechanical force or pressure. The metal is formed the desired shape
without removal of clops. The presses are exclusively intended for mass
production work and they present the fastest and most efficient way to form a
sheet metal in a finishing products.
(2) Power Press
The constructional feather of a power press is almost similar to the hand press
the only difference being, the ram instead of driven by hand is drives by power.
The power press may be designated as mechanical or hydraulic according to
the type of working mechanism used to transmit power to the ram. In a
mechanical press, the rotary motion obtain from an electric motor is converted
into reverted into reciprocating movement of the ram by using different
mechanical device. In a hydraulic press, the fluid under high pressure is
pumped on one side of the piston and then on the other in a hydraulic cylinder
to derive the reciprocating movement. A power press has driven by crank and
connecting road mechanism. The working of the press is similar to that of a
hand press. The punch is fitted on the end of the die is attached on the bolster
plate. The fly wheel mounted at the crank shaft stores up sheet metal is
pressed between the punch and the die.
Power Press Parts :-
The different parts of a power press are described below :-
Ram or slide
Crank shaft or eccentric
1. Base :-The base is the supporting member of the press and provides
arrangement for tilting and clamping the frame in an inclined press.
2. Frame :-All presses except the straight side type have “C” shaped frame
to take up the vertical thrust of the ram.
3. Bolster Plate :-The Bolster plate is a flat plate fetted on the base for
supporting the die block and other accessories of the press.
4. Ram :-The ram is the reciprocating member of the press that slides with
in the press and guides and supports the punch at its bottom end.
5. Pitman :-The pitman is the connecting rod in a crank or eccentric driven
press. The position of the stroke of the ram can be changed by altering the
length of the connecting rod.
6. Crank shaft of eccentric :-The rotary movement of the motor is motor is
converted into the reciprocating movement of the ram by crank and
connecting rod, eccentric and connecting rod, or many other mechanisms.
7. Fly Wheel :-The fly wheel is mounted at the end of the driving shaft and
is connected to it through clutch. The energy is stored up in the flywheel
during idle periods and it is expand to maintain the constant sped of the ram
when the punch is pressed into the work. The fly wheel is directly coupled with
the electric motor.
8. Clutch :-The clutch is used for connecting and disconnecting the driving
shaft with the fly wheel when it is necessary to start or stop the movement of
9. Brake :-
The brakes are used to stop the movement of the driving shaft immediately
after it is disconnected from the fly wheel.
Hydraulic Press :-The hydraulic press is used to manufacture anchor plate. For
this plate in the oil furnance. The heated plates is kept horizontally on the
machine table and ram is allowed to press the plate due to downward
movement the U-shaped anchor plate is manufactured.
The specification of this machine is as :-
Nominal Pressure ----- 250 Tons
Working Pressure ----- 200 atms.
Speed ----- 0.20 m/Sec.
Pressure exerted by Slide ----- 80 Tons
Stroke of slide ----- 500 mm
Maximum distance in table & slide ----- 630 mm
PNEUMATIC HAMMER :-On this machine the part which is to be manufactured
is kept on the after heating on the furnance and the ram is allowed to strike
the component on the die. Due to the strike of ram the component takes the
shape that of the die. The machines have following specifications :-
Falling weight of ram ----- 400 Kg.
Maximum stroke of ram ----- 700 mm.
No. of blows per minute ----- 130 blows/mln.
Working Space ----- 530 mm.
Distance from centre of ram to housing ----- 520 mm.
CUTTING AND WELDING SHOP
This shop works under the Supervision of Mr. Hari Kishore Prasad this is one of
the shops in which the basic work is performed. As the name indicates this
shop is mainly involved in cutting the plates of different thickness in the
desired shape & size and in the profile cutting.
In the metal-working work pieces of most difference shapes and dimensions
and of different materials are worked. The various working processes fall into
the two groups, the of non-cutting shaping, e.g. forging pressing, drawing, etc.
and that of cutting shaping by which finish surface of desired shape and
dimensions is obtained by separating a layer from the parent work piece in the
form of chips e.g. turning, drilling milling etc.
List of no. of machine :-
1. Shearing Machine ---- 1
2. Cropping Shearing Machine ---- 2
3. Chipping Machine ---- 1
4. Profile Cutting Machine ---- 3
5. Kangaroo Machine ---- 1
Shearing Machine :-On the shearing machine the to be cut should be flat & the
thickness should not be more than 8 min. For cutting the flat plate is kept on
the bed of the held of crane. The machine consists of a cutting blade & no. of
pressing bolts press the plate and keep it rigidly fixed the downward
movement of the cutting plate.
Cropping Machine :-On the cropping machine number of works are
performed. This machine can cut the flat plate of small sizes, angles, plates,
square hollow rod & circular hollow rod. Also this machine can be used as
Chipping Machine :-This machine is use to produce an inclined shaped at end
of plate which is necessary in the end to end welding. This machine has a gun
through which high pressure air comes. This machine holds a chisel. The high-
pressure air pushes the chisel. Which causes to cut the plate?
Profile Cutting Machine :-This machine consists of a vertical column and two
horizontal arms. The one arm consists of the template and another arm
consists of the welding torch and the small driving motor. This machine can cut
the plate of thickness of 35 to 40 mm. Through the welding torch acetylene
and oxygen gas is supplied. This machine requires extra amount of oxygen gas.
So two oxygen pipes are connected to the torch. To cut the plate in the desired
shape. The same shape template is fitted to the upper arm and the magnetic
roller of the second i.e. lower arm is toughed to the template. The driving
motor drives the torch. The torch moves through the profile of the template
and plate cut in the desired shape.
Kangaroo Machine :-One another plate cutting machine in this shop is
Kangaroo Machine. This is the biggest cutting machine. This machine consists
of two welding torch. The torch can move in all the three coordinate axis i.e.
X,Y and Z axis. This is fully electronic controlled machine. This machine consists
of an electronic sensor and a horizontal plate. The drawing of the required
shape is kept on the horizontal plate and the sensor moves through the black
lines of the drawing this machine can be moved manually. The amount of
acetylene and oxygen gas can be controlled with the knobs.
In the welding section mainly bolster and cross bars are manufactured.
The Process of metal cutting in which chip is formed is affected by a relative
motion between the work piece and the hard edge of a cutting tool held
against the work piece. Such relative motion is produced by a combination or
rotary and translating movements either of the work piece or of the cutting toll
or of both. Depending of the nature of his relating motion, metal cutting
processors are called by names example :- Turning, Planning, Boring etc.
A cutting tool may be used for cutting apart, as with a knife, or for removing
chips. Parts are produced by removing metal mostly in the form of small chips.
Chips :-The form and dimension of a chip metal machining indicates the nature
and quality of a particular machining process but the types of chip formed in
influenced by the properties of the material cut and various cutting conditions.
In engineering manufacturer particularly in metal machining process hard
brittle metals have a very limited use, and dutile metals are mostly used.
Chips of ductile metals are removed by varying proportions of shear flow. This
results in general type of shapes.
1. The discontinuous or segmental form.
2. The continuous or ribbon type.
Discontinuous or Segmental Chip :-
It consists of elements fractured into fairly small pieces ahead of cutting tool.
This type of chip is obtained in machining most brittle materials such as cast
iron bronze. These materials rupture during plastic deformation and form chip
as separate small pipes. As these chips are produced, the cutting edge
smoothes over the irregularities and a fairly good finish is obtained. Tool life is
also reasonably good, and the power consumptions low. Discontinuous chip
can also be formed on some ductile metals only under certain conditions
particularly at very low speeds and if the coefficient of friction is low with
ductile metals, however the surface finish is bad and the tool life is short.
Conditions :- Ending to promote its formation brittle metals, greater depth of
cut, low cutting speed and small rake angle.
Continuous chip :- It consists of elements bonded firmly together without
being fractured. Under the best conditions ribbon of metal which, under the
microscope shows no sings of tear or discontinuous. The upper side of a
continuous chip has a small notch while the lower side, which slides over the
tool face, is smooth and shiny. The continuous form is considered most
desirable for low friction at the tool- chip interface lower power consumption
long tool life and good surface finish.
The drilling machine is one of the most important machine tools in a workshop
. As regards its importance it is second only to the lathe. Although it was
primarily designed to originate a hole, it can perform a number of similar
operations. In drilling machines holes may be drilled quickly and at a low cost.
The hole is generated by the rotating edge of a cutting tool known as the drill
which exerts a large force on the work clamped on the table. As the machine
tool exerts vertical pressure to originate a hole it is loosely called a “drill
Holes were drilled by the Egyptians in 1200 B.C. about 3000 years ago by how
drills. The bow drill is the mother of the present day metal cutting drilling
In the drilling shop there are different types of drilling machines such as radial
RADIAL DRILLIGN MACHINE :-The radial drilling machine is indented for drilling
medium to large and heavy work pieces. The machine consists of a heavy,
round, vertical coulomb mounted on a large base. The column supports a
radial arm which can be raised and lowered to accommodate work piece of
different bights. The arm may be swung around to any position over the work
bed. The drill head containing mechanism for rotating and feeding the drill is
mounted on a radial arm and can be moved horizontally on the guide ways and
clamped at any desired position. These three movements in a radial drilling
machine when combined together permit the drill to be located at any desired
point on large work piece for drilling the hole. When several holes are drilled
on a drilled on provide guide ways on which the drill head may be made to
slide. The arm may be swage bound the column. In some machine this
movement is controlled by separates motor.
Drill head :- The drill head mounted on the radial arm and drives the drill
spindle . It encloses an the mechanism for driving the drill at multiple speeds
and at different feed. At the mechanisms and control are may be made to slide
on the guide ways of the arm for adjusting the position of drill spindle with
respect to the work. After the spindle has been properly adjusted in position
the drill head is clamped on the radial arm.
Universal Drilling Machine :- It is one of the important drilling machine. This
drilling machine can produce a hole any direction at any angle. The universal
drilling machine consists of a vertical i.e. horizontally, vertically and at any
inclination. The drilling can be done by automatic feed mechanism and by
Semi Universal radial drilling machine :- It is same as universal radial drilling
machine except this drilling machine cannot produce a hole in inclined
direction. This machine consists of two electrical motors. One is used for the
operation of drilling and the another is used for the vertical movement of
horizontal arm is the feed. In these machine water is used as a coolant the chip
which comes out from the operation is continues chip.
Sensitive drilling machine :- On the machine small sized hole is drilled usually a
drill of 5 mm and 6 mm is used for the machine has a very long bed and a gang
of three drilling machine. This machine is used to produce a hole in the very
long channel. For operation the channel is kept on the bed the jig is fitted to
the channel and with the help jig bush the hole is produced at desired position.
Drilling of Job :- In the shop drilling is done by two methods, i.e. by marking
and by jig. The following are the drill size & which are used for drilling in this
shop are 5 mm, 6 mm, 11 mm, 13.5mm 17.5mm 21.5 mm and 23.5 mm. These
are the drill size which is used here for drilling marking takes a lot of time and
it requires more skilled person for marking . so drilling of component by
marking is used fro a few, components where it is different to set a jig. For
mass production of components jig is used for drilling. The thickness of the jig
plate, which is in practice, is 12 mm. To manufacture jig a hole greater die is
done in the jig plate and bush of required drill size is filled in the hole, The
material of the jig bush is called IV and IS: 1875. In this drilling shop there is
one universal radial machine, two semi universal radial drilling machine and a
few ordinary machines. There is one gang drilling machine and one sensitive
The shop works under the supervision of Mr. S.N. Singh . This is the biggest
shop of this organization . In this shop there are various type of machines. :-
Such as :-
1. Lathe - 11
2. Drilling M/c - 2
3. Shaper - 2
4. Slotter milling m/c grinder - 3
5. Planed - 2
6. Etc. - 2
The Lathe :-In the year 1797Henry Maudslay and Englishman, designed the
first screw cutting lathe which is forerun C of the present day.
Function of Lathe :- The main function of lathe is to remove metal from a piece
off work to give if the required shape and size. This is accomplished by holding
the work securely and rigidity an the machine and then remove metal from the
work in the form of chips. To cut the material properly the tool should be
harder than the material of the work piece. Should be rigidly help on the
machine and should be fed or progressed in a definite way relative to the
Lathe Parts :
2. Head Stock
3. Tail Stock
5. Feed Mechanism
6. Screw Cutting Mechanism
Description and Foundation of Lathe Parts :-
1. The Bed :-The Lathe bed forms the machine . The head stock and tail stock
are located at either end of the bed and the carriage rest over the lathe bed
and slides on it. The lathe bed being the main guiding member of the tool for
accurate machining work.
2. The head Stock :-The head stock is secured permanently on the inner
ways at the left hand end
of the lathe bed it provides mechanical of rotating the work at multiple speeds.
3. Tail Stock or Loose Headstock :-The tail stock is located on the inner
ways at he right hand end of the bed. This has two main uses.
(a) It supports the other end of the work when it is being machined
(b) It hole a tool par per forming operations such as drilling remaining
4. Carriage :-
The carriage of a lathe has several parts that serve to support, move and
control the cutting. It consists of toll parts :-
(c) Compound slide or compound rest
(d) Tool past and
5. Feed Mechanism :The movement of the tool relates to work is lumed as
“feed” . A lathe tool may have three types of the lathe axis; the movement is
termed as longitudinal fed and is effected by the movement of carriage.
6. HEAVY DUTY LATHE
The heavy duty lathe 4 jaws chuck and can hold a job of India .. can rotate up
to a mix . Speed of 315 rpm.
The motor, which is required to rotate the chuck, has the following
specification. This is 3 phase induction motor and required 415 volts . It s dello
connection the horsepower of the motor is 50 H.P. and the out put shaft of this
motor can rotate speed of 1460 rpm. The tail stock of the lathe consists of
separate electric motor to move to move it self on the lathe bed.
HORIZENTAL BORING MACHINE
This machine is used for the boring purpose of big components. This machine
is driven by electric motor & with the help of gear mechanism and main shaft is
rotated. The sail, which is to be mechanized, is kept on the bed. Before it, a
ring is inserted over the sail to rigidly damp it. The main shaft consists of to
heads, which has groove in which cutting tool is fitted & frightened with the
bolts. The cutting head starts cutting from opposite sides both the cutting tools
rotate in opposite direction.
This machine which is used here is known as Double sharper machine . As the
name itself the machine has two ram & one long table. Both ram on the table
and as per the requirement on or both machine is used to produce good
surface on rough work place. Also it can be used to cut a key way & for many
other operations too.
Mr. S.K. Srivastava supervises the work of this shop. This is also very important
shop of this plant. In this shop casting is done. The various parts on the wagon
are manufactured in this shop.This casting is divided into three groups Low &
Medium casting are again divided in to sub group Green and dry and loam
casting of sweep moulding. For moulding clay is mixed with send to improve
binding strength. Normally Bentonite & cow dung improved the porous nature
of sand. Normally 3% clay is mixes with sand. For casting first mould is
prepared with help of moulding box.
As per the requirement core is used in moulding . Fro preparing core
reinforcement is used which supports. The pressure of the molten metal.
Green casting is used for mass production. For dry casting, the core and the
prepared mould is hearted from inside the coal oven to reduce the moisture &
to improve the strength & reduce the shrinkage allowance.
CUPOLA FURNACE :-This is very important type furnace. It has the bottom bed
& air chamber. During operation the bottom bed is closed & the inclined sand
bed is prepared on the bottom bed. The air chamber which is connected with
the outlet of bower which supplies air to the coke is 12 to 36 inches above the
air chambers. Improve the firing . The coke is fired air blown. As the coke
produce heat nearly equal to 22000
C the ferrous metal starts melting.
After melting the metal flows downward and get stored on the sand bed. Due
to its high density the coke starts flowing. As the slag starts flowing outside it is
confirmed that the metal is in the fully molten state condition the gate is
opened and the molten metal is allowed , to blow in the ladle. In this system
the hot air which tends to pass from top is recycled and again supplied to the
air chamber. This reduces the cost of production.
ZONES CUPOLA:-The Cupola furnace is divided in various Zones. A number of
chemical reactions take place in this Zone, which are as follow as :-
1. Well :-It is the space between the bottom of tuyers and the sand bed.
The metals are trickles down after melting and collects in this space before it is
2. Combustion Zone :-It is also known oxidizing zone. It is located between
top of the tuyers and theoretical level above it. The actual combustion takes
place in this zone. More heat is evolved due to silicon & manganese. A
Temperature about 15400
C to 18700
C is produced. The exothermic reaction
taking place in this zone.
C+O2 ……………………………. CO2 – Heat
Si+O2 ……………………………. SiO2 – Heat
2 Mn + O2 ………………………… 2MnO2 + Heat
3. Reducing zone:-It is also known as productive zone. It is located between
the top of the combustion zone and the top lave of the coke bed. Co is reduced
in co in this zone through an endothermic reaction, as a result of which the
temperature falls from combustion zone. Temperature is about 12000
C of this
CO2 – C (of coke) ……………………. 2CO + HEAT
4. Melting zone :-The first layer of metal charge above the coke bed. This solid
metal changes to state in this zone.
3 Fe + 2 CO ---------------------------------- Fe3C + Co2
5. Preheating Zone :-It extends from above the melting zone to the bottom
level of the charging door and contains a number of alternate layers of coke
and metal charges. The function of this zone is to about 1093 C before the
downward to enter the melting zone. This preheating takes place due to the
upward advancing hot gasses.
6. Stack Zone :-The empty portion of cupola the preheating zone. Which
provides the passage to hot gasses to go to atmosphere ,is known as stack
Cupola Efficiency :- The thermal efficiency of cupola is given by the ratio of
heat actually utilized in melting zone and superheating the metal to the
involved in through various means. The ratio can mathematically :-
Percent Cupola :- Heat utilize in melting and super heating x 100
Calerific value of coke – heat involved due to
oxidation of iron , si and Mn
WAGON ASSEMBLY SHOP
In this shop the various components which are manufactured in the different
shops are assembled and the completed and then set to the finishing shop.
First of the assembly of wagon, the centre sill is kept on the fixture.
Centre Sill -This is manufactured in the sub assembly shop. To manufacture
two Z channels are welder after welding the supporting plate is welded to
require position and then it is sent for marking . After marking drilling is done
by the air gun. Lastly it is checked whether it is true size or not. If not the
length is reduced by gas cutting.
The length of the centre sill should be 9784 mm and width should 2960 mm.
The centre sill is placed in the fixture and cross bar bolster welder to it. After
welding these two seal are attached and is welder.
Now this knows “Under frame”, now riveting is done . The head stock also
welded to the centre still at the ends. The gusset plate and the cross bottom
plate is welded to bolster and cross bar respectively . The stranger welded to
the under frame through out the length. The under frame is placed on the
manipulator for welding at the bottom side. Now the air brake cylinder and the
pipe line is fitted and clamped . The side body and end body is attached and
riverted and welded to the frame . This complete box is kept on the wheel .
After assembling the wagon is sent to the finishing shop. In this the wagon is
brought to the shot blaster chamber. In this chamber small iron particle is
allowed to strike on the wagon to remove the extra welding deposit and the
rust formed on it. The high pressure air helps the iron particle to come out
from the gun and to strike rapidly. In this chamber the working condition are
very hazardous. So the worker wears oxygen mask before doing work inside
the chamber. After this the wagon is painted and the specification are written
on the wagon is painted and the specifications are written on the wagon and
then dispatched to Indian railway.
10. SUPPLIER OF MAIN WAGON COMPONENTS
1. Wheel W.A.P. Banglore
2. Bogie BESCO Kolkata
3. High Tension Couler H.D.C. Kolkata
4. Air Brake Equipment 1. Escort Ltd. Faridabad
2. Stone India Ltd. Delhi
3. Bharat Braks & Value Ltd. Kolkata
5. Steel 1. Bokaro Steel Plant
6. Bearign 2. Tisco Indi Thmken India Jamshedpur
Before describing the template t is worth while to elaborate the word
“template”. This is a pattern or gauge a time in mass scale. This saves a lot of
time, as no marking is necessary when using template . Basically templates are
of two types :
1. Marking Template
2. Checking Template
The main objective of this shop is making templates of all the consigned wagon
components where a certain profile cutting is necessary.
The manufacturing of template is done with the help of the design and
drawing provided by R.D.S.O. Lucknow . Also the allowances for different tools
are taken into consideration during marketing the template. The varies
machine to machine. The templates here are usually made of mild steel . They
are of small thicknesses.Working in this shop needs greatest accuracy because
shapes all the components made with the help of template depends upon the
template. Thus a minor fault cans a great fault in the production.
SCRAP :MEANING AND DEFINATION
Scrap has various definitions and meaning in different contexts. Broadly scrap
is materials. Discarded from manufacturing operations that may be suitable for
re processing. Scrap is a term used to describe the recycling of metal. Old
unwanted metal such as left out iron sheets, building supplies, surplus materials,
useless equipment, safety appliances, wornout tools machine part etc.
Sometimes some raw material which is basically to be used for some special
purpose but on due inspection it is observed that material does not meet
required specifications, or is of of poor quality and is not suitable for the
purpose, such material is also considered as scrap. Scrap is material that has
been found to be unfit for further processing. Here in BWEL muzaffarpur
various type of scrap is produced . Broadly various types of scrap produced in
BWEL muzaffarpur can be classified as follows:
1. scrap from wagons shop :
Left out metal sheets after cutting out of required shapes of sheets used in
production of LHB FIAT wagons.
Sheet portions left out after cutting by laser cutting machine.
Iron pieces and bits that are of not suitable to be welded with wagons
Metal fillings and residue left out during machining of LHB wagons.
2. Scrap from shell shop :
Left out metal sheets during cutting out upper and side frames.
3. Scrap from sheet metal shop :
Damaged or mutilated iron or steel sheet which are not suitable for
4. Scrap from furnishing shops :
Various types unused material like foams, leather, unused wooden parts
5. Miscellaneous scrap :
Wooden scrap from carpentry shop.
Empty paint BOXES AND TUBES.
LIST OF SCRAP MATERIALS PRODUCED IN
1. PUNCHING, SHEET CUTTING ETC OF VARIOUS SIZES. SHAPES
AND THICKNESS, ETC.
2. SCRAP OF MS SKELETON AND ITS CUTTINGS OF VAROUS
SIZES. SHAPES AND THICKNESS UPTO 10 MM.
3. SCRAPS OF CUTTINGS OF MS PLATE SKELETON, BAR, RODS,
STRIPS ETCOF VARIOUS SIZES. SHAPES AND THICKNESS.
4. SCRAP OF MS PLATE SKELETON AND ITS CUTTINGS OF
VARIOUS SIZES. SHAPES AND THICKNESS 10 MM AND ABOVE
(CUTTING ALLOWED FOR LOADING PURPOSE ONLY)
5. SCRAP OF PCV INSULATED COPPER CABLE AND WIRE OF
DIFFERENT SIZES, SHAPES, THICKNESS AND LENGTH
INCLUDING LEADS OF WELDING TORCHESWITH OR WITHOUT
6. SCRAP OF EMPTY IRON DRUMS CAP 200 KG RELEASED FROM
BITUMEN COMPOUND BROKEN/UNBROKEN WITH OR
WITHOUT LID AND RESIDUE.
7. MISC. SCRAP OF MS AND CR CONSISTING OF CUTTINGS,
PUNCHINGS, ANGELS, CHANNELS, CIRCLES, FINE MELTING
AND OTHER SMALL MANUFACTURING SCRAP OF SHOP,
SCRAPPED WINDOW BLANKS ETC OF VARIOUS SIZES, SHAPES
AND THICKNESS ETC. ALUMINIUM SCRAP CONSISTING OF
SHEET CUTTINGS, SKELETON CUTTINGS, OFF CUTS
CUTTINGS, PUNCHINGS, ANGELS, CHANNELS, MOULDINGS,
EXTRUSIONS, PIPES, CONDUIT, CHEQURED SHEET CUTTINGS,
REJECTED AND CONDEMNED COMPONENTS OF ALUMINIUM,
8. ALUMINUM SCRAP CONSISTING OF SHEET CUTTINGS
SKELTON CUTTINGS, OFF CUTS, CUTTINGS, PUNCHINGS,
ANGELS, CHANNELS,MOULDING EXTRUSIONS, PIPES,
CONDUIT, CHEQURED SHEET CUTTINGS, REJECTED AND
CONDEMNED COMPONENTS OF ALUMINUM, ETC.
9. SCRAP OF CR OFF CUT AND ITS CUTTINGS OF VARIOUS SIZES,
SHAPES AND THICKNESS UPTO 4 MM. SCRAP OF CR SKELTON
CARLINE TYPE AND ITS CUTTINGS OF SIZES, SHAPES AND
THICKNESS UPTO 4 MM.
10. SCRAP OF CR OFF CUTS AND ITS CUTTINGS OF VARIOUS
SIZES, SHAPES AND THICKNESS MAINLY 4-6 MM INCLUDING
CHEQURED PLATE OFF CUTS.
11. SCRAP OF CR SKELTEON AND ITS CUTTINGS OF VARIOUS
SIZES, SHAPES AND THICKNESS 4 TO 6 MM.
12. SCRAP OF PVC FLOORING OFF CUTS OF VARIOUS SIZES,
SHAPES, GRADES AND SHADES WITH OR WITHOUT GLUE ETC.
13. SCRAP OF USED AND CONDEMNED FERROUS SPARE PARTS OF
VARIOUS TYPES OF MACHINES, VEHICLES, EOT CRANES ETC.
LIKE SILENCER FLEXIBLE CONNECTION, TORQUE
CONVECTOR, CLUTCH PLATES, BRAKE SHOES, CONNECTING
ROD, GEAR LEAVER, AXLE SHAFT, THE ROD, FAN BLADES,
SHOCKERS, CYLINDER HEAD, ROLLER, CHAIN, HUB, MASTER
CYLINDER, ROLLER BEARINGS, EOT CRANE WHEELS,
DIPLORY WHEELS ETC. AND OTHER FERROUS SCRAP OF
SPARE PARTS WITH OR WITHOUT NON FERROUS
14. SCRAP OF MS AND CR REJECTED AND CONDEMNED WAGON
COMPONENTS RELEASED DURING MANUFACTURING LIKE
CANTRAIL, SOLE BAR, SIDE FRAME, END EXTENSION ETC,
CUTTINGS, ANGELS, CHANNELS.
15. SCRAP OF MS SKELETON AND ITS CUTTINGS OF VARIOUS
SIZES. SHAPES AND THICKNESS UPTO 10 MM.
16. SCRAP OFF CR OFF CUT AND ITS CUTTINGS OF VARIOUS
SIZES, SHAPES AND THICKNESS UPTO 4MM. MISC SCRAP OF
STAINLESS STEEL OF VARIOUS GRADES MAINLY FERRETIC
AND CONSISTING OF SHEET CUTTINGS, SKELETON CUTTINGS,
OFF CUTS, ANGLES, CHANNELS, CUTTINGS, PUNCHING
MOLDINGS, SHOP MADE REJECTED WAGON COMPONENTS
AND OTHER MANUFACTURING SCRAP OF VARIOUS TYPES,
GRADES AND SHAPES. SCRAP OF CR SKELETON AND ITS
CUTTINGS OF VARIOUS SIZES.
SHAPES AND THICKNESS UPTO 4 MM.
17. SCRAP OF CR SLITTING TRIM CUT END WASTE IN COIL SHAPE
OF VARIOUS SIZES, WIDTH UPTO 65 MM.
18. SCRAP OF MS SKELETON AND ITS CUTTINGS OF VARIOUS
SIZES. SHAPES AND THICKNESS UPTO 10 MM.
19. SCRAP OF MS SKELETON AND ITS CUTTINGS OF VARIOUS
SIZES. SHAPES AND THICKNESS UPTO 10 MM AND ABOVE.
20. SCRAP OF CR SKELETON AND ITS CUTTINGS OF VARIOUS
SIZES. SHAPES AND THICKNESS UPTO 4 MM.
21. SCRAP OF CR TRIM CUT END WASTE SLITTING IN COIL SHAPE
MAX. WIDTH UPTO 140 MM AND THICKNESS UPTO 6 MM.
22. SCRAP OF MS OFF CUTS AND ITS CUTTINGS OF VARIOUS
SIZES. SHAPES AND THICKNESS MAINLY 6 MM AND ABOVE
AND WIDTH MAINLY UPTO 200 MM INCLUDING CHEQURED
PLATE OFF CUTS IF ANY.
23. SCRAP OF STAINLESS STEEL TRIM CUT END WASTE SLITTING
IN SHAPE OF VARIOUS GRADES MAINLY NON FERRATIC, AND
OF VARIOUS SHAPES, SIZES, THICKNESS ETC. MISC MIXED
SCRAP OF MS AND CR CONSISTING OF ANGELS, CHANNELS,
SMALL OFF CUTS, SHEET CUTS REJECTED AND CONDEMNED
SMALL WAGON COMPONENTS CUTTINGS, MANUFACTURING
SCRAP, MOLDING, PIPES, SQUARE TUBES, MESH ETC.
24. SCRAP OF CODEMNNED FLOOR GRIDING MACHINES WITH OR
25. SCRAP OF LIMPET/NFTC SHEET CUTTINGS OF VARIOUS SIZES
AND GRADES AND SHADES.
26. SCRAP OF LIMPET/NFTC SHEET CUTTINGS OF VARIOUS SIZES,
SHAPES, THICKNESS, GRADES AND SHADES.
27. SCRAP OF LP SHEET (SUNMICA) OF VARIOUS SHAPES, SIZES,
AND THICKNESS WITH OR WITHOUT PASTING OF PLYWOOD
INCLUDING KACHRA TYPE SMALL STRIPS ETC.
28. SCRAP OF WOODEN SLEEPERS CUT PIECES OF DIFFERENT
SHAPE & SIZES.
29. SCRAP OF REJECTED & CONDEMNED STAINLESS STEEL
WATER TANK MODULES WITH OR WITHOUT FERROUS
ATTACHMENTS ETC.(9 NOS)
30. SCRAP OF LIMPET/NFTC SHEET CUTTINGS OF VARIOUS SIZES,
SHAPES, THICKNESS, GRADES AND SHADES ETC.
31. SCRAP OF CONDEMNED FIRE EXTNGUISHERS OF FOAM
SCRAP MANAGEMENT AND IMPORTANCE
Such a large quantity of scrap needs a proper way of management and
disposal. Otherwise it would create wastage and environmental hazards.
The proper utilization, processing, disposal and other type of related
maintainance of various types of scraps is broadly termed as scrap
Scrap management process differs from industry to industry. Scrap from
large and big industry usually serves as raw materials for small scale
industries and factories .
In case of small industries like in case iron or sheet metal industry scrap
management simply consists of activity in which scrap material is taken
from workshop to a scrap yard, where they are processed for later melting
into new products.
But in case of a large industry where different types of raw material is
used and different processes and operations are carried out a very
comprehensive method of scrap management is necessary for the
betterment of industry.
Thus we see that scrap management plays an indispensable role in
upliftment of the industry. Now we are going discuss the scrap
management in context of BWEL MUZAFFARPUR.
SCRAP MANAGEMENT IN BWEL
Scrap production in BWEL MUZAFFARPUR is one of largest in the
North India. Every year crores of scrap is produced in various workshops
of BWEL MUZAFFARPUR, whose proper management and disposal is
very necessary. That‟s why scrap Management is very important aspect in
proper functioning of BWEL MUZAFFARPUR.
Specially for this purpose there is a scrap depot in the factory campus
where all the scrap and waste material is dumped and whole process of
scrap management is carried out from there.
Various poles and bins are designated and number for arranging different
types of scrap.
Different type of scrap is distributed at different places in scrap yard
according to the requirement and auction requirement.
Dy. CMM of scrap Depot is incharge of all the proceedings carried out
related to scrap in the factory.
Now the management of scrap starts right from the workshops.
In each and every workshop scrap bins are suitably placed where
different types of scrap is placed. This scrap is before hand distributed
according to its type, such that there is no need of differentiating scrap
after it reaches the scrap depot. These bins are actually large containers
which can be suitably installed on truck.
A large crane picks up these containers and puts it upon the trucks which
carries these scrap upto the scrap depot and unload them in the scrap
depot according to the designated place.
These places are actually designated according to the pole number or
Now there is form known as Advise Note on which all the paper work
related to the transportation of scrap from the workshop to the scrap depot
Person concerned in workshop fills the advice note and sends it along
with the scrap to the scrap depot. In scrap depot the concerned official
receives the scrap truck and further fills the advice note.
Pole number or heap number where scrap is unlocated is noted down.
Advise note is kept in records.
The size of scrap heap in depot is kept, keeping in mind various factors.
When the amoumt of scrap is large enough auction of this scrap is done.
Before auction various beforehead preparation are done.
Size of scrap heap is kept such that it is easier for the trader to carry the
scrap easily. If the scrap heap is smaller it will be easier for the trader or
the dealer carried to desired position, moreover less scrap heap means
less weight and less transportation costs for the trader and he will be more
encouraged to buy the scrap.
Certain minimum price is selected beforehand by the depot officials by
reviewing the present market prices of iron and other such kind of scrap.
Sometime special scrap such scrap of Mynmar wagons, include the taxes
also. Various traders or dealers are informed beforehand by various
A special catalogue of scrap available is distributed among these traders
This catalogue tells aqbout the different types of scraps available, their
weight, minimum piece before auction and position where they are placed
in the scrap depot.
These traders are either from some small scale industries or just
moderators who further sell these scrap to other people.
The highest bidder or particular scrap gets to have that scrap.
This scraps serves as raw materials for these small factories.
Some scrap such that of iron and other metallic scrap is often remelted
and cast into other useful products. Other miscellaneous scrap such as
tubes, plastic, etc are also useful for some small scale.
VARIOUS LOCATIONS FOR SCRAP IN SCRAP
In scrap Depot large amount of scrap is to placed in distributed manner so
that it is easy to distinguish various types of scrap and other information
related with it.
For this purpose scrap depot following type of division are done :
Sectors: These are the broad classification of a certain area that has
certain amount and certain type of scrap lying there. These are
alphabetically numbered. There are sectors numbered from sector A to
sector H in scrap depot.
Poles: There are many poles which are numerically numbered. Below
these poles heaps and lots of scrap are placed.
Bins: These are cemented scrap bines where whole of scrap is dumped.
These again are numbered.
All of these are simply identification to know where and what type of
scrap is placed in the scrap depot.
In the catalogue also it is given that so much kg of scrap placed in given
secto or near the given pole or in certain beam.
This also helps the bidders and purchasers during the auction to easily
and properly identify and inspect the scrap.
TERMS AND CONDITIONS OF AUCTION SALE
OF SCRAP IN BWEL MUZAFFARPUR
1. ENTRY :
Its welcome for participating in auction to all bidders who accept and
abide by the terms and conditions of auction sale given here under.
All bidders intending to participate in the auction shall be charged Rs 15/-
each as entrance fee which is non returnable and every participating
bidder has to submit a demand draft of Rs 10,000/- each in favour of FA
and COAO/BWEL/MFZ payable at New Delhi issued by any
nationalized bank which ahall be normally returned after the auction is
Any bidder who has deposited demand draft of Rs 10,000/- as entry fee
can participate in the bidding. If it found at any stage that bidder has not
deposited the entry fees, then the bids of such a bidder may be cancelled.
The lots put up for auction, can be inspected at any working day prior to
The bidder can enter the scrap yard one hour before the commencement
of the auction.
The intended bidders who wish to participate in the auction should bring
authority letters on letter pad of the firm with name and address to whom
They should produce Trade license ST/CST/No. on their letterhead to
participate in the auction at the Depot gate before commencement of the
auction, the demand draft and a copy of letter shall be kept at gate and
receipt will be issued to them.
Participants taking part in the auction have to mention reference of Sales
Tax Registration No. if there is any, at the time of entrance to the auction.
It must be clearly understood by the bidder that auction document have
been issued to bim and he is permitted to bid in consideration of his
agreement to the condition here in after.
The highest bid given by the bidder for a particular lot will irrevocable till
final decision by the auction conducting officer.
The quantity declared against each lot/item is approximate. Mere
acceptance of bid by the auction conducting officer and deposition of the
cost by the purchaser shall not transfer the property in goods to purchaser
unless the lot/item is weighed, measured or tested as the case may be
warrant by the Depot Officer incharge of material on production of
In event of any dispute arising out of or relating any bid, the item/lot in
respect of which the dispute arises shall be immediately put up for sale
against the last undisputed bidding.
The intending buyers must satisfy themselves on all points before bidding
goods I each lot of sold on “As is where is basis” and no warrenty is
given as regards size, quality, weight, description and the like. No sale
shall be invalidated by reason of any of the item or the items or the lots
being incorrectly described as regards the nature, quantity or quality or in
any other respect and no compensation shall be paid or allowed in respect
of any such fault or error of description.
Sale shall only be made to a single person/firm and not to combination of
two or more persons/firms as cosharer.
The auction conducting officer may at his discretion, without assigning
ay region, refuse to accept the bid of any bidder or demand a higher
percentage of amount of the bid as earnest money or the full amount
immediately after the fall of hammer.
The purchase shall sign the bid sheet prescribed by the Railway
No re-sale by the purchaser shall be permitted in railway premises.
Bid not in accordance with the standard terms and conditions shall not be
entertained unless made in writing by the bidder and recorded in writing
on the spot by Auction Conducting Officer.
The Auction conducting Officer shall have power to ask any bidder to
leave the premises if he found to be obstructing or conducting hindrance
to smooth conduct of auction.
Auction Supervising Officer is not bound to put the lots serially and
reserve the right to put any lot at any time during the commencement of
auction in interest of Railways.
Auction Supervising Officer can continue the auction till next day if
found necessary by the Railway Administration. Auction conducting
Officer can withdraw any lot from auction during or before the auction
without assigning any reason.
The Auction conducting Officer reserves the right to depart from the
program of the auction, if found necessary without assigning any reason
or giving any notice other than that verbally announced to the bidders,
present at the site of sale and to refuse to accept any other or to stop the
auction in the event of offer not being considered satisfactory.
The controller of stores may at his discretion make any changes or
departure, which he deems necessary from the forging standard of auction
sale of Railway stores before auction takes place.
3. Payments :
The purchaser of each item or lot shall give his name and full address on
the fall of the hammer and deposit with Railway Administration, the fixed
percentage or fixed amount whichever is more, of the purchase price in
cash/demand draft of any nationalized bank as earnest money vide clause
2.2. If any purchaser fails to comply with any of these conditions, the lot
or the lots in respect of which such failure occurs may, if the railway
officer supervising the sale considers fit be put again and resold treating
the previous bid as cancelled.
Subject to the clause 2.7, the purchaser has to deposit the earnest money
to the cashier immediately on the fall of the hammer as per the following
100% for sale value and including Rs 10,000/-,
.25% for sale value 10,001/- to 1,00,000/- subject to minimum Rs
.10% for sale value exceeding Rs 1,00,000/- subject to minimum of Rs
Time limit for deposit of balance money:
a) Lots having sale value upto 5 lacs- within 10 days
b) Lots having sale value above 1 lac-wiyhin 29 days
The earnest money will be forfeited in case balance payment is not
deposited in 50 days.
The balance amount to be deposed in the accounts department in the form
of demand draft or cash.
The material will be delivered only after actual realization o amount of
Free delivery period for lifting up of sold matrial:
a) Misc. ferrous and non ferrous scrap upto 5 lac-40 days.
b) Misc. ferrous and non ferrous material above 5 lacs-50 days.
Delivery order will be issued at the address mentioned in the bid sheet.
If the bidder does not want to lift the material himself and desires to
authorize to some body else, in such case he has to submit authority letter
on stamped paper duly tested by notary public.
The quantity of lot mentioned in auction catalogue is approximate. Actual
quantity may differ at the time of delivery of the material.
When material are weighed, if any shortage, which may occur between
the actual estimated weight of lot or group of lots sold to the purchaser,
shall not be made good from any other material I the depot elsewhere.
The excess material shall only be delivered subject to the direction of the
railway administration who may refuse delivery of the excess material or
any quantity there of without assigning any reason whatsoever.
During the course if delivery if any material is found from the lot which
is different from as mentioned in the description, the railway
administration reserves the right to take out that material from the lot.
Delivery of material will not be given on gazette holidays/Sundays
observed at BWEL/MFZ. Normally material will be delivered on all
working days except Sunday between 09.00 to 17.00 hrs.
Unless otherwise specified picking, sorting, cutting or breaking of the lot
will not be allowed in Railway Premises. Delivery must be taken as the
material came to hand.
Unless specifically mentioned Railway Administration will not help in
loading of the material.
Purchaser shall make his own arrangements for removal of materials. The
purchaser shall have to make good any loss or damage caused to the
Lots of ferrous material weighing upto 5 MT, the purchaser will have to
take the delivery at one time(the delivery not to be given in part)
The weight of the lorries will be done by the authorized witness team.
No delivery order will be issued without sales tax form or without
depositing the sales tax and if the purchaser does not comply with, he will
deposit the amount of sales tax first otherwise The Railway
Administration may refuse to deliver the material.
The lots of two or more purchasers shall not be delivered in same lorry.
The Railway Administration shall not be responsible for death injury,
incident to purchaser or any of the representative or any of the labourer
arising out of sale and delivery.
5. GENERAL :
As Per Railway Boards hazards waste rules 1989 dated 30/06/1999 letter
no/85/RSS7092/OILS, the non ferrous metal waste and scrap like lead,
copper and zinc waste, waste oil and used batteries are to be sold only to
actual reprocessor. The bidder has to submit the required certificates at
the time of auction itself.
In the event of any question/dispute of difference arising under these
conditions or any in connection with, the contract the same shall be
referred to the sole arbitrator appointed by the General Manger of BWEL
It is a term of this contract that no person other than the person appointed
by the General Manager of BWEL, MUZAFFARPUR as aforesaid should
act as arbitrator and if for any reason that is not possible, the matter is not
to reffered to the arbitration at all. The arbitrator may, from time to time
with the consent of all its parties to the contractor enlarge the time of
making award. The venue of arbitration shall be decided by the arbitrator.
Subject as aforesaid, the Arbitration and Concilliation Act 1996 and the
rules the reunder and any statutory modification thereof shall apply to the
arbitration proceeding in this clause.
It is understood that all the participationg bidders have duly inspected all
the lots put up for auction and understood all above terms and conditions
before participating in the auction and these are acceptable to them
Railway Administration will not be responsible for any ignorance or
SCRAP MANAGEMENT SYSTEM (S.M.S.)
Scrap management system (S.M.S.) is specially designed computer
software that is used for almost full management of scrap in scrap depot
of BWEL Muzaffarpur.
Almost all the operations from making of advicer not to keeping auction
records is vdone through S.M.S.
It has simplified the process of scrap management by decreasing the
It is better way of keeping records safe and easily approachable then
through files etc.
All the information regarding the scrap lot like weight, type, quantity,
location etc is feeded into the S.M.S. for further processing.
S.M.S. is password protected, so only the incharge of scrap depot or some
designated person can operate this program. So no body else can temper
with the records. Thus it is good system with the respect to the security
A printer has been attached to the computer. Thus we can easily print out
details and reports from the S.M.S.
Although there are numerous operations that are performed through the
S.M.S., few of the important one are as follows:
A. Preparing the advise note
B. Preparing staff gate pass
C. Preparing Bidder Gate Pass during auction
D. Preparation of auction catalogue
E. Various types of reports
F. Keeping record of payments and balance records during auction.
Main Menu of S.M.S. consists of following sub-menus :
Master has been sub divided into following parts :
2. PL Master
Dispatch has following sub menus :
2. Bin Detail
3. Bin Transfer
4. Weigment Detail
5. Club Weigment detail
6. Receipt Order Detail
7. Stock Verification
8. Dispatch Reports
Weigment register with RO
Receipt Order Register
Receipt Order Register with Lot
Shop Wise Receipt
PL wise Receipt
PL wise Transaction
PL wise Book Average Rate
Balance Detail of an Item
Lot has following sub-menus
1. Lot Formation
2. Lot Survey
3. Serveying Team
4. Survey Feedback
5. Release Lot
6. Lot Reports
Lot Status Register
Vie Lot History
PL wise Transaction
PL wise Book Average Rate
Balance Detail of an Item
Auction has following sub-menus :
1) Auction Detail
2) Auction Catalogue
3) Bidder registeration
4) Bid Lot
5) Entry Free Return
6) EMD CR Entry
7) Auction Reports
Auction Catalogue Report
EMD Deposit Slip
Bid Sheet Report
Delivery has following sub-menus :
1) Delivery Order Detail
2) Staff Issue
3) Staff Gate Pass
4) Shop Issue
5) Shop Gate Pass
6) Sale Issue
7) Bidder Gate Pass
8) Do/ Issue Reports
Reports has many submenus but these are also approachable through
previously discussed menus. Here all the reports are grouped together for
Exit is used to exit SMS
Every Year BWEL, MUZAFFARPUR decides certain target for scrap
sale. His helps in performing more efficiently in Scrap Mangement. This year
target for scrap sale is Rs 16 crores.
Even though the scrap management in BWEL MUZAFFARPUR is fully
efficient and capable in itself, that it needs no more alterations. I think few
minor improvement in its functioning may slightly help in better management
Better communication link between the workshops and the scrap depot can be
developed for faster and efficient transportation of scrap. Copmputors at
workshop and the scrap depot should be linked through networking such that
there is no need of advice note and all formalities could be done on computer
only. This surely will result in faster scrap management.
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