Modernization of Manpasand Manufacturing

facility in VadodaraPresented by:Jacob Mathew140201065Mahesh Rao P B 140201071Manas Singh 140201072Pranav Pothan 140201097Ritvik Bharat 140201114Sebin Devasia 140201143Vatsal Gupta 140201050

Manpasand Beverages Limited• Gujarat based fruit drink manufacturing company • Established in 1997 by Dhirendra Singh• 2 manufacturing facilities in Vadodara and 1 in UP• Products ‘Mango Sip’, ‘Manpasand ORS’, ‘Apple Sip’• Private equity major SAIF partners made an investment of $10 million• Raised about Rs. 400 crore by issuing 12.5 million shares for expansion plan• Challenges faced

Solution to the challenge• Manpasand has a capacity of 9 lakh litres per day• New manufacturing plant in Punjab with capital expenditure of 150 crore, will

increase capacity by 50%• Modernizing its manufacturing plants in Varanasi and Vadodara with estimated cost

of around 40 crore• Separate production lines for PET bottles and PET bottle for carbonated fruit drinks.• Will include installing new plant and machinery like

• Fully automated Pet bottle manufacturing machine• Fully automated Filling machine• Fully automated Capping machine

How the machines operate

Scope

Stakeholders

Internal stakeholders • Employees of

Manpasand• Management team of

Manpasand• Owners

External stakeholders • Suppliers• Government of India• Customers of

Manpasand• Approval agencies like

Pollution Control Board, Municipal Corporation, Water authority, and Electricity board

• Creditors• Society

Work Breakdown Structure

Survey

• Shortlist potential suppliers

• Estimate the time and cost

Land acquisition

• Plant in Vadodara

• 0.5 acre of land

Designing factory layout

• Building plan• Electrical

wiring diagram

• Plumbing layout plan

Approval for expansion

• Municipal Corporation

• Pollution control board

• Power consumption approval

• Water supply permission

Factory expansion

• 2 machines each

• Space for warehousing

Ordering and installation

• Procurement team place order

• Installation by supplier

Quality check

• By Manpasand engineers

Training

• Operate the machines

• Operate PLC

Documents

• Warranty card

• Insurance• Machine

manuals

Activity Duration EstimateActivity Time

Survey 2 week

Land acquisition 1 month

Designing factory layout 2 weeks

Approval for expansion 4 month

Factory expansion 6 month

Equipment ordering and installation 1.5 month

Quality check 3 days

Training 1 week

Documentation: Insurance and warranty 1 week

Cost EstimateActivity Cost in crore

Land acquisition 1.1

Factory expansion 3

Equipment ordering and installation 1.1

Labor wages 0.17

Supervisor wages 0.05

Approval for expansion 0.05

Training 0.01

Total cost 5.48

Contingency @ 5% 0.274

Total cost after contingency 5.754

Project Scheduling

Project Scheduling• Critical path 1-2-4-5-6-7-8 and 1-2-4-5-6-7-9• Completion time as 10 months 26 days

Activity Early Start Early Finish Late Start Late Finish Total Slack(weeks)

Free Slack(weeks)

Survey 12/1/2015 12/14/2015 12/1/2015 12/14/2015 0 0

Land acquisition 12/15/2015 1/11/2016 12/15/2015 1/11/2016 0 0

Design factory layout

12/15/2015 12/28/2015 12/29/2015 1/11/2016 2 2

Approval for expansion

1/12/2016 5/2/2016 1/12/2016 5/2/2016 0 0

Factory Expansion

5/3/2016 10/17/2016 5/3/2016 10/17/2016 0 0

Equipment Ordering and Installation

9/6/2016 10/17/2016 9/6/2016 10/17/2016 0 0

Quality Check 10/18/2016 10/20/2016 10/18/2016 10/20/2016 0 0

Training 10/21/2016 10/27/2016 10/21/2016 10/27/2016 0 0

Documentation 10/21/2016 10/27/2016 10/21/2016 10/27/2016 0 0

Managing Risk

Risk identification• Machines fail • Raw material supply halts • Electricity supply fail • Water supply fail • Workers strike • Estimating

Risk Assessment

Managing Risk

Risk Assessment Form

Risk Event Likelihood Impact Detection difficulty

When

Machine fail 2 5 3 During quality check

Electricity supply fail

1 5 5 During expansion of factory and installation

Water supply fail

2 4 4 During expansion of factory and installation

Raw material supply halts

4 4 2 During expansion of factory

Worker strike 1 4 1 During expansion of factory

Estimating 2 2 5

Risk Severity Matrix

Quality Management• Typical for PET bottle production lines to yield quite a few sub-

standard products

• High velocity of product movement increases the number of defects • Use intelligent electronic technologies of visual data processing

Low Quality Raw Materials Failure of

Equipment

Working Principle

Reference Image

Equipment

Installation

MonitorTransmits Product Details

Accept or Reject Piece

Saves Data