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FISHERIES PLANT MANAGEMENT AND
OPERATION
INTRODUCTION
 Plant management and operation is a
crucial aspect of the food industry that
involves the production, quality control,
and research and development of food
products.
 Fisheries plant management is the main
key factor to maintain the quality of fish
food products. This process involves the
use of capital and human resources to
manage and operate fisheries plants
effectively and efficiently (FAO, 2002 ).
Figure: Fish Processing Plant (Source:
https://www.youtube.com/watch?v=6tcmh
dz9ea4)
PRODUCTION WING
This involves maintaining a clean and hygienic production environment, adhering
to strict sanitation protocols, and monitoring the temperature and humidity levels
during processing (Lupin, 2010).
Main Activities of Production Wing
Figure: Production section of a seafood
plant (Source:
https://www.globalseafood.org/blog/seaf
ood-processing-plant/)
Specializatio
n and
procurement
of input
resources
namely
management,
material and
labor,
equipment,
and capital
Product design
and development
to determine the
production
process
Specialization
and control of
transformation
process
REQUIREMENTS OF PRODUCTION WING
Separating the raw materials room from the production room.
Separating
Ensuring that the room does not open directly to the exterior of the
plant.
Ensuring
Using barriers or self-closing doors to prevent cross-contamination.
Barriers
Including manufacturing, packaging, and storage rooms in the plant
layout.
Including
Maintaining a low temperature
Temperature
Separating the manufacturing and packaging room from the storage
room
Separating
Implementing standard operating procedures and dedicated
infrastructure
SOP
Discouraging the sharing of equipment with other wings of the plant.
Discouraging
Maintaining good water quality.
Water
Providing disinfected protective clothing and equipment to workers.
Clothing
QUALITY CONTROL WING
The quality control wing in a fisheries
processing plant is responsible for ensuring
that the processed seafood products meet the
quality standards required by the industry and
regulatory authorities (Ramachandran, 1988).
Goal of Quality Control
Figure: Maintenance of quality control
in a shrimp processing plant (Source:
https://www.globalseafood.org/advoc
ate/shrimp-production-and-quality-
assurance-in-thailand/)
Prevent lost business by reducing
customer complaints about quality and
so assisting in the maintenance or
enhancement of profitability (Connell,
1972).
STAGES OF QUALITY CONTROL
According to Mathen, (1974) the stages of quality control in a fisheries
processing plant typically include:
Raw material inspection
Processing control
Packaging and labeling control
Finished product inspection
RESEARCH AND DEVELOPMENT (R&D) WING
The research and development (R&D) wing of a
fish processing plant plays a critical role in
ensuring the continuous improvement of the
plant's products, processes, and technologies.
 The R&D wing is responsible for conducting
research, developing new products and
processes, and optimizing existing ones to
improve product quality, reduce production
costs, and enhance the overall efficiency of the
plant (Wallace 2012).
Figure: Research and development
laboratory of a shrimp processing plant
(Source: https://groupe-
nordique.com/en/rd-lab/)
Aims of R&D Wing
According to Earle and Earle, (1997)
specific aims of strategic R&D are to:
Key Activities of the R&D Wing
According to Fuji, (2018) the key
activities of the R&D Wing in a fish
processing plant include:
Reduce costs which lowers product prices;
enhance sensory properties that make food
more attractive
Improve nutritional value to provide for
dietary needs
Improve food safety; add convenience
Developing
new products
Enhancing
product
quality
Conducting
market
research
Collaborating
with
stakeholders
Optimizing
production
processes
CAPITAL MANAGEMENT
Capital management involves managing the plant's financial resources,
including its cash flow, capital investments, and debt. (Kipronoh, &
Mweta, 2018).
Key Strategies for Effective Capital Management:
Developing a
comprehensive
financial plan
Monitoring
cash flow
Managing debt
Making
strategic capital
investments
HUMAN RESOURCES MANAGEMENT
Human resources management involves managing the plant's workforce,
including recruitment, training, and retention (Lackey, 1980).
Key Strategies for Effective Human Resources Management:
Developing a
comprehensive
human resources
strategy
Recruiting and
training skilled
workers
Maintaining a
safe and healthy
workplace
Encouraging
employee
engagement and
retention
PRODUCTION MANAGEMENT
• Process of managing the conversion of
production inputs (raw materials, human
resources, and capital) into production
outputs (the goods that a company
produces).
• Importance-
Reduces manufacturing cost
Improves competitiveness
Accomplishes business objectives
Improves brand image
Optimizes use of resources
5 Ms of
production
Men
Machines
Methods
Materials
Money
CAPITAL COST
The money spent on fixed
assets. for example-
 Manufacturing plants,
equipment, and machinery
 Building improvements
 Computers
 Vehicles and trucks
The fund that support day to day businesses,
like supplies & subscription
 Rent and utilities
 Wages and salaries
 Accounting and legal fees
 Property taxes
 Research and development (R&D) expenses
OPERATING COST
CAPITAL COST VS OPERATING COST
Capital Cost Operating Cost
Purpose Assets intended to benefit the
organization for more than one year
Ongoing expenses to run day-to-
day business
When paid One-time purchase Pay-as-you-go approach
Accounting
treatment
Capital costs can't be fully deducted
in the incurred period. They are
depreciated or amortized over time.
Operational costs are fully
deducted in the incurred period.
Listed as Property or equipment Operating cost
Tax treatment Deducted over time as asset cost is
depreciated or amortized
OpEx items are fully tax-
deductible in the year they are
made
Examples Purchasing office buildings,
equipment’s, vehicles, intellectual
property assets
Consumables, wages, rent,
maintenance and repair of
machinery
MAINTENANCE of QUALITY CONTROL SYSTEM
Selection of location for plant
establishment
Controlling Area
Maintenance of Plant
Plan for Quality Control
Reduced Hazard
Customer Demand
Selection of Good Quality
Raw Material
Good Packaging
Sanitation and Hygiene
Figure: Structure of Plant Maintenance
MAINTENANCE OF QUALITY CONTROL SYSTEM
Production
Quality
Maintenance
Equipment condition
Product Quality
Primary Input Primary Output
Figure: Relationships among production, Quality, and Maintenance
PLANT SANITATION and HYGIENE
Sanitation: Sanitation Is More Than Just Toilet Facilities; It Encompasses
The Facilities, Behavior And Services That Prevent Diseases Causes By
Contact.
Hygiene: Hygiene Refers To Behaviors That Can Improve Cleanliness And
Lead To Good Health.
 Maintenance Of All These Activities In An Established Plant To Get Good
And Hygiene Product Is Called Plant Sanitation And Hygiene
ELEMENTS of PLANT SANITATION and HYGIENE
Elements
Hygiene
Sanitation
Suitable construction and
equipment
Clean Surface
Ample of water supply, ice
making
Rodent and insect
control
Employee Health
Appearance (apron, gloves)
Hand and foot dip
Smoking area
Figure: Elements of Plant Sanitation and Hygiene (Fidjeland et al., 2013)
IMPORTANCE of PLANT SANITATION and HYGIENE
Principal focus is on reducing the risk of consumers being infected from
food contamination and food borne disease
Hand sanitizing and toilet facilities are all required to help maintain
the sanitation in fish processing facilities
Proper sanitation promotes health, improve the quality of the
environment
Through sanitation adequate treatment of food contact surfaces by a
process that is effective in destroying microbes of public health and
reducing undesirable organisms
CONCLUSION
Effective management and operation of a fisheries plant requires careful
attention to the production, quality control, research and development
(R&D) wings, management of capital, human resources and quality control
system as well as the plant sanitation and hygiene.
Maintaining strict quality control measures in the production wing is
essential to ensure that the final product meets the required standards.
By implementing effective strategies for managing these aspects of the
fisheries plant, it can achieve success and sustain its competitiveness in
the market.
References
AgriQuora. (2022). Retrieved 11 May 2022, from https://agriquora.com/blog-details/food-plant.
Business Process Incubator. “What is CapEx and OpEx Blog: Comindware Blog, https://www.businessprocessincubator.com/content/what-is-
capex-and-opex-2.”
Connell, J. J. (1972). Quality control in the Fish Industry. Torry Research Station.
Earle, M. D., & Earle, R. L. (1997). Food Industry research and development. Government and the Food Industry: Economic and Political
Effects of Conflict and Co-Operation, 125-140.
FAO. (2002). A fishery manager’s guidebook. Management measures and their application. FAO, Rome, 231p.
Fidjeland, J., Lalander, C., Jönsson, H., & Vinnerås, B. (2013). Ammonia sanitisation of sewage sludge using urea. Water science and
technology, 68(8), 1866-1872.
Fujii, H., Sakakura, Y., Hagiwara, A., Bostock, J., Soyano, K., & Matsushita, Y. (2017). Research and development strategy for fishery
technology innovation for sustainable fishery resource management in North-East Asia. Sustainability, 10(1), 59.
Kipronoh, P., & Mweta, T. (2018). Overview of working capital management: effective measures in managing working capital components to
entrepreneurs. European Journal of Business and Management, 10(7), 83-86.
Kwon, H. (2012), Europian symposium on computer aided process engineering. New york.
Lackey, R. T., & Nielsen, L. A. (1980). Fisheries management. John Wiley & Sons, New York.
Lupin, H. M., Parin, M. A., & Zugarramurdi, A. (2010). HACCP economics in fish processing plants. Food Control, 21(8), 1143-1149.
Mathen, C. Y. R. I. A. C. (1974). Quality control in the Indian fish processing industry.
Ramachandran, A. (1988). Studies on the production Management in the seafood processing Industry in Kerala (Doctoral dissertation, Doctoral
Dissertation, Cochin University of Science and Technology).
Wallace, L. T., & Schroder, W. R. (Eds.). (2012). Government and the food industry: economic and political effects of conflict and co-
operation. Springer Science & Business Media.
Fisheries Plant Management Guide

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Fisheries Plant Management Guide

  • 2. INTRODUCTION  Plant management and operation is a crucial aspect of the food industry that involves the production, quality control, and research and development of food products.  Fisheries plant management is the main key factor to maintain the quality of fish food products. This process involves the use of capital and human resources to manage and operate fisheries plants effectively and efficiently (FAO, 2002 ). Figure: Fish Processing Plant (Source: https://www.youtube.com/watch?v=6tcmh dz9ea4)
  • 3. PRODUCTION WING This involves maintaining a clean and hygienic production environment, adhering to strict sanitation protocols, and monitoring the temperature and humidity levels during processing (Lupin, 2010). Main Activities of Production Wing Figure: Production section of a seafood plant (Source: https://www.globalseafood.org/blog/seaf ood-processing-plant/) Specializatio n and procurement of input resources namely management, material and labor, equipment, and capital Product design and development to determine the production process Specialization and control of transformation process
  • 4. REQUIREMENTS OF PRODUCTION WING Separating the raw materials room from the production room. Separating Ensuring that the room does not open directly to the exterior of the plant. Ensuring Using barriers or self-closing doors to prevent cross-contamination. Barriers Including manufacturing, packaging, and storage rooms in the plant layout. Including Maintaining a low temperature Temperature Separating the manufacturing and packaging room from the storage room Separating Implementing standard operating procedures and dedicated infrastructure SOP Discouraging the sharing of equipment with other wings of the plant. Discouraging Maintaining good water quality. Water Providing disinfected protective clothing and equipment to workers. Clothing
  • 5. QUALITY CONTROL WING The quality control wing in a fisheries processing plant is responsible for ensuring that the processed seafood products meet the quality standards required by the industry and regulatory authorities (Ramachandran, 1988). Goal of Quality Control Figure: Maintenance of quality control in a shrimp processing plant (Source: https://www.globalseafood.org/advoc ate/shrimp-production-and-quality- assurance-in-thailand/) Prevent lost business by reducing customer complaints about quality and so assisting in the maintenance or enhancement of profitability (Connell, 1972).
  • 6. STAGES OF QUALITY CONTROL According to Mathen, (1974) the stages of quality control in a fisheries processing plant typically include: Raw material inspection Processing control Packaging and labeling control Finished product inspection
  • 7. RESEARCH AND DEVELOPMENT (R&D) WING The research and development (R&D) wing of a fish processing plant plays a critical role in ensuring the continuous improvement of the plant's products, processes, and technologies.  The R&D wing is responsible for conducting research, developing new products and processes, and optimizing existing ones to improve product quality, reduce production costs, and enhance the overall efficiency of the plant (Wallace 2012). Figure: Research and development laboratory of a shrimp processing plant (Source: https://groupe- nordique.com/en/rd-lab/)
  • 8. Aims of R&D Wing According to Earle and Earle, (1997) specific aims of strategic R&D are to: Key Activities of the R&D Wing According to Fuji, (2018) the key activities of the R&D Wing in a fish processing plant include: Reduce costs which lowers product prices; enhance sensory properties that make food more attractive Improve nutritional value to provide for dietary needs Improve food safety; add convenience Developing new products Enhancing product quality Conducting market research Collaborating with stakeholders Optimizing production processes
  • 9. CAPITAL MANAGEMENT Capital management involves managing the plant's financial resources, including its cash flow, capital investments, and debt. (Kipronoh, & Mweta, 2018). Key Strategies for Effective Capital Management: Developing a comprehensive financial plan Monitoring cash flow Managing debt Making strategic capital investments
  • 10. HUMAN RESOURCES MANAGEMENT Human resources management involves managing the plant's workforce, including recruitment, training, and retention (Lackey, 1980). Key Strategies for Effective Human Resources Management: Developing a comprehensive human resources strategy Recruiting and training skilled workers Maintaining a safe and healthy workplace Encouraging employee engagement and retention
  • 11. PRODUCTION MANAGEMENT • Process of managing the conversion of production inputs (raw materials, human resources, and capital) into production outputs (the goods that a company produces). • Importance- Reduces manufacturing cost Improves competitiveness Accomplishes business objectives Improves brand image Optimizes use of resources 5 Ms of production Men Machines Methods Materials Money
  • 12. CAPITAL COST The money spent on fixed assets. for example-  Manufacturing plants, equipment, and machinery  Building improvements  Computers  Vehicles and trucks The fund that support day to day businesses, like supplies & subscription  Rent and utilities  Wages and salaries  Accounting and legal fees  Property taxes  Research and development (R&D) expenses OPERATING COST
  • 13. CAPITAL COST VS OPERATING COST Capital Cost Operating Cost Purpose Assets intended to benefit the organization for more than one year Ongoing expenses to run day-to- day business When paid One-time purchase Pay-as-you-go approach Accounting treatment Capital costs can't be fully deducted in the incurred period. They are depreciated or amortized over time. Operational costs are fully deducted in the incurred period. Listed as Property or equipment Operating cost Tax treatment Deducted over time as asset cost is depreciated or amortized OpEx items are fully tax- deductible in the year they are made Examples Purchasing office buildings, equipment’s, vehicles, intellectual property assets Consumables, wages, rent, maintenance and repair of machinery
  • 14. MAINTENANCE of QUALITY CONTROL SYSTEM Selection of location for plant establishment Controlling Area Maintenance of Plant Plan for Quality Control Reduced Hazard Customer Demand Selection of Good Quality Raw Material Good Packaging Sanitation and Hygiene Figure: Structure of Plant Maintenance
  • 15. MAINTENANCE OF QUALITY CONTROL SYSTEM Production Quality Maintenance Equipment condition Product Quality Primary Input Primary Output Figure: Relationships among production, Quality, and Maintenance
  • 16. PLANT SANITATION and HYGIENE Sanitation: Sanitation Is More Than Just Toilet Facilities; It Encompasses The Facilities, Behavior And Services That Prevent Diseases Causes By Contact. Hygiene: Hygiene Refers To Behaviors That Can Improve Cleanliness And Lead To Good Health.  Maintenance Of All These Activities In An Established Plant To Get Good And Hygiene Product Is Called Plant Sanitation And Hygiene
  • 17. ELEMENTS of PLANT SANITATION and HYGIENE Elements Hygiene Sanitation Suitable construction and equipment Clean Surface Ample of water supply, ice making Rodent and insect control Employee Health Appearance (apron, gloves) Hand and foot dip Smoking area Figure: Elements of Plant Sanitation and Hygiene (Fidjeland et al., 2013)
  • 18. IMPORTANCE of PLANT SANITATION and HYGIENE Principal focus is on reducing the risk of consumers being infected from food contamination and food borne disease Hand sanitizing and toilet facilities are all required to help maintain the sanitation in fish processing facilities Proper sanitation promotes health, improve the quality of the environment Through sanitation adequate treatment of food contact surfaces by a process that is effective in destroying microbes of public health and reducing undesirable organisms
  • 19. CONCLUSION Effective management and operation of a fisheries plant requires careful attention to the production, quality control, research and development (R&D) wings, management of capital, human resources and quality control system as well as the plant sanitation and hygiene. Maintaining strict quality control measures in the production wing is essential to ensure that the final product meets the required standards. By implementing effective strategies for managing these aspects of the fisheries plant, it can achieve success and sustain its competitiveness in the market.
  • 20. References AgriQuora. (2022). Retrieved 11 May 2022, from https://agriquora.com/blog-details/food-plant. Business Process Incubator. “What is CapEx and OpEx Blog: Comindware Blog, https://www.businessprocessincubator.com/content/what-is- capex-and-opex-2.” Connell, J. J. (1972). Quality control in the Fish Industry. Torry Research Station. Earle, M. D., & Earle, R. L. (1997). Food Industry research and development. Government and the Food Industry: Economic and Political Effects of Conflict and Co-Operation, 125-140. FAO. (2002). A fishery manager’s guidebook. Management measures and their application. FAO, Rome, 231p. Fidjeland, J., Lalander, C., Jönsson, H., & Vinnerås, B. (2013). Ammonia sanitisation of sewage sludge using urea. Water science and technology, 68(8), 1866-1872. Fujii, H., Sakakura, Y., Hagiwara, A., Bostock, J., Soyano, K., & Matsushita, Y. (2017). Research and development strategy for fishery technology innovation for sustainable fishery resource management in North-East Asia. Sustainability, 10(1), 59. Kipronoh, P., & Mweta, T. (2018). Overview of working capital management: effective measures in managing working capital components to entrepreneurs. European Journal of Business and Management, 10(7), 83-86. Kwon, H. (2012), Europian symposium on computer aided process engineering. New york. Lackey, R. T., & Nielsen, L. A. (1980). Fisheries management. John Wiley & Sons, New York. Lupin, H. M., Parin, M. A., & Zugarramurdi, A. (2010). HACCP economics in fish processing plants. Food Control, 21(8), 1143-1149. Mathen, C. Y. R. I. A. C. (1974). Quality control in the Indian fish processing industry. Ramachandran, A. (1988). Studies on the production Management in the seafood processing Industry in Kerala (Doctoral dissertation, Doctoral Dissertation, Cochin University of Science and Technology). Wallace, L. T., & Schroder, W. R. (Eds.). (2012). Government and the food industry: economic and political effects of conflict and co- operation. Springer Science & Business Media.