2. Industry Overview
• Concept was introduced in 1950’s in US, japan, Europe.
• Introduced in 1990’s in india, when many companies changed from polywoven sacks
production to fibc.
• Turkey, europe, usa, were major producers prior to 2014
• Rise in cost of production, shifted sourcing from india making it second largest manufactureer
after china, overtaking turkey.
• 90% of production in this industry is exported.
• It is imperative for Companies to invest and improve continuously wich reqires high workimg
capital intensity.
• Government gives capital incentives under Technology up-gradation fund scheme and Focus
product scheme.
• It is a raw material based industry.
3. Company and Case Overview
• Kanpur Plastic Pack Ltd. commenced it’s operations in 1971,
• It is mainly engaged in manufacturing and export of FIBC (Flexible Intermediate Bulk Container)
• It later on started backward integration by starting with Tape Line and Loom factory.
• The end- product manufactured by the plant is used as a raw material for their finished product FIBC.
• They cater to IOCL, European and American markets, with exports to America increasing from 9% to
14%.
• It is a Star export House with exports of 18,582 lakhs during FY 2015-16.
• Withdrawal of FPS has marginal impact on profitability of the company.
• The company is ISO 22000, ISO 9008 certified.
• This is considered to be a labour intensive sector, which requires experienced workers or training to
unskilled ones.
4. NO.OF EMPLOYEES (TAPELINE): 75
TYPES OF LOOMS: LSL-8/GCL-8, LSL-620, OMEGA-1000, LAL-6, OMEGA HD+RX6
NO.OF EMPLOYEES (LOOMS): 234
Machine Loading
Dana Dryer
Aero Dryer
(Mixing) Extruder Heat to soft Winding Macine
Omega
1000
LSL620
LSL 8/ GSL
RS6/ Omega
HD
Looms
Layout of Tapeline & loom
Tapeline
Loom
Section
Cooler
6. Study Method used: Stop watch study
• Selecting the tape line machine No.1 as observation machine.
• Method of working
• Selecting the operator to study
Operator 1: Anil Pathak (45)
Operator 2: Dinesh Kumar (35)
• Recording the details.
• Breaking the task into elements/activity
• No. of cycles to be measured - 2
• Determining the allowance(rest , drink , toilet)
• Tool breakage- unavoidable delays.
• Method of timing using stopwatch- Continuous
• Equipment used – Stop watch , activity chart.
7. Observation 1 : Winding Section
Study of manpower utilization of worker with age group.
Operator 1 : Dinesh Kumar (35) Operator 2 : Anil Pathak (45)
Observation starting time – 4.30 PM
Activities –
1. Reel Unloading.
2. Reel Loading.
3. Marking reel code
4. Tape variation reel change
5. Packing the winded tapes in the plastic sack.
6. Ideal time
Denier - 1600
Spin No.- 223-284 Spin No. – 181-222
Observation End time- 5.30PM
Date:1-Oct-2016
(1600gms. wt. of 9000 meter tape)
Machine : Winding
8. Winding Process Observation
Machine is working , when observations are made.
Cam changing , tension setting ,crates and cheese pipe arrangement is already done.
Manpower Utilization
Op1 : Anil Pathak (45)
Output in 60 min.= 62 reels
Operator work time =33
Operator is idle= 60-33 = 27min.
Manpower utilization=33min/60min=55%
Op2 : Dinesh Kumar (35)
Output in 60min. = 70 reels
Operator work load= 30 min
Operator is idle = 30 min.
Manpower utilization= 30min/60 min= 50%
9. Recommendations
• Reduce the manpower on Tape line machine from 6 to 5 to 4.
• Checking the manpower utilization with 5 workers.
• If above works, decrease it to further 4.
• As observed the manpower utilization varies from 50-55% (our reading in 1 hour study) depending on
work.
• Whereas as per the data provided by tapeline department it is about 67.50% utilization of manpower.
• If we reduce the machine winders to 5 and assigning them specified section, then we can reduce the
ideal time per worker . Hence, the utilization will increase.
• Implementation Plan : The recommendations can be started on a trial basis under normal working
conditions. On successful increase in manpower utilization, it can be used for further manpower
reduction.
• Also, applying Just-in-time (JIT) to reduce the excessive material handling cost within the premises.
• Using sensor alarm system to alert on breakage in the tap line while wilding.
• 5 Whys: Breakage of Fabric increase defect rate so less Productivity.
10. Alternatives Method
MOST – Maynard Operation Sequence technique
• Complete study of operation or a sub operation consisting of one or several
method steps and corresponding sequence model , parameter time values
and normal value of operation.
Assumptions:
• Weak points – Comparing the operator to an estimated 100% performance
standard.
• A watch doesn’t forecast for future situation, it defines past.
• Methods improvement is neglected.
11. We are going to use basic MOST (suitable for majority of the industries like automobile , electrical ).
Basic Move Sequences :
GENERAL MOVE SEQUENCE – for movement of objects freely through air. (ex: Get the object, put the
object, return)
CONTROLLED MOVE SEQUENCE - for the movement of an object when it remains in contact with a
surface or is attached to another object during movement. (Ex: Get the object, move/actuate ,return)
TOOL USE SEQUENCE – for the use of common hand tools. (ex: Get tool or object, put tool or object,
use tool , put tool or object, return)
Identifying the time measuring units.
Calculating the time taken.
Obtaining the workforce utilization by (operator is idle in given time /total given time)
13. Alternatives for Manpower
Reduction in looms
(Omega-1000)• Current Working: 2 workers (1-Operator 1-helper ) on
4 looms
• Layout plays important role in worker efficiency.
• Alternatives: 1) 5 looms: 1 operator, 1 helper
2) 8 looms: 1 operator, 2 helper
View the Efficiency & cost structure comparison
Plant Area
Looms (Omega-
1000/LSL-6)data_kppl.xlsx
Outcome 2:
• The efficiency in control may get reduced.
• If a single man if operating on more no. of
machines the fatigue factor may come into
picture.
Outcome 1:
14. EMPLOYEE MOTIVATION
Variable Pay: individual performance is important and should reflect in the individual’s
compensation package.
• Performance-related pay (PRP) schemes increase firm productivity
• PRP schemes are used to motivate workers and to elicit higher effort
• Incentive schemes work as a screening mechanism when new workers are hired, as they
encourage only the most productive workers to apply. Efficient Labor Allocation.
• Providing an appropriate compensation package that combines a fixed-pay component with a
variable-pay element
• Pay incentives also increase the attachment, or loyalty, of incumbent workers to the firm.
• Group performance pay drastically reduced inter-dependency of employees by measuring
performance of a whole team
One example is the case of a garment plant in the US that shifted from individual piece-rate pay for specific tasks to group
incentive pay for each entire garment, while simultaneously introducing autonomous team working. Group performance pay
resulted in an increase in productivity of about 18%, part of which was due to high-ability workers sorting into team
production, and the rest due to greater effort induced by group performance pay.
15. Motivation by higher Management
• M & M came to a conclusion that to increase the productivity, single
man can work on 3 machine. But the union was resisting to change.
• VP of M&M VV Raghavan himself with his team went in plant and
worked on 3 machines to prove to union that it can be done efficiently.
• Later union agreed to change.