RESOURCE EFFICIENCY FOR SUSTAINABILITY IN FERROUS

FOUNDRY
A CASE OF KOLHAPUR MSME CLUSTER
E Nand Gopal 1 *, D Ramesh 2
1

Research Associate, Industrial Energy Efficiency and Sustainable Technologies Division, The
Energy and Resources Institute (TERI), New Delhi
2
Fellow, Industrial Energy Group, The Energy and Resources Institute (TERI), Bangalore
* Corresponding Author, Tel: +91 99715 17752, Fax: +91 80 25356589, E-mail:
enand.gopal@teri.res.in

Abstract The Micro, Small and Medium Enterprises (MSME) play a vital role in the Indian
economy. There are more than 5000 foundries in India and 80% of them are small-scale industries.
The erratic global economic slow-down, has threatened the sustainability of MSME foundries. The
paper emphasizes on the importance of resource efficiency parameters for sustainability of a
ferrous foundry. Key Performance Indicators (KPI), which drive the resource efficiency of a
foundry, are identified as: process yield, production efficiency, capacity utilization, energy
consumption, fresh sand consumption, fresh water consumption and labour productivity. This
paper mainly focuses on improvement of energy efficiency and process yield in ferrous MSME
foundries. In this paper we have presented research result of the long term experiences in
Kolhapur MSME foundry cluster. A comparison was drawn between resource efficiency
parameters of Kolhapur MSME foundries and European foundries. Such a research may be
expected to provide valuable insights into the effects of resource efficiency on sustainable
development of foundries.
Index Terms Resource efficiency, MSME, Ferrous foundry, Energy efficiency, Sustainable development

INTRODUCTION

The Micro, Small and Medium Enterprises

(MSME) play a vital role in the Indian economy.
MSME holds key for wider economic development
and poverty alleviation. Definition of SME varies
quite widely from country to country and
[1]
sometimes, even within the same country . In
India the micro, small and medium enterprises are
classified into two classes: manufacturing
enterprise
and
service
enterprise.
The
manufacturing enterprises are defined in terms of
[2]
investment in plant and machinery :
Micro enterprise : < INR 25 lakh
Small enterprise : INR 25 lakh to 5 crore
Medium enterprise : INR 5 crore to 10 crore
The MSME contributed 17% to the nations GDP in
FY11 and employed 60 million people, second
next to agriculture. Further, MSMEs account for
[3]
40% of total exports . MSMEs account for 95% of
[4]
total industrial activities in India .
There are more than 5000 foundries in India and
80% of them are small scale industries. The Indian

foundry industry has annual production of over 9.9

million tonnes of casting and accounts for 8-9% of
total casting production of the world. Ferrous
foundry corresponds to nearby 91% of total
casting production. MSME foundries are located in
various clusters in India. A single foundry MSME
unit may consume less amount of energy but
when considered as a cluster, they are highly
energy intensive. For instance, the total energy
consumption of Kolhapur foundry cluster is
178,777 toe (tonnes of oil equivalent) per year,
whereas energy consumption per unit is around
[5]
510 toe . Energy bill accounts to 15-20% of total
production cost in small scale foundries. The
specific energy consumption, i.e. energy
consumed to manufacture one tonne of good
casting varies significantly from unit to unit.
The erratic global economic slow-down, has
threatened the sustainability of MSME foundries.
The capacity utilization of MSME foundries has
fallen to record low, due to un-availability of
orders; which can be result of drastic fall in automobile market, which is largest client of Indian
foundries. The MSME foundries must be prepared

to make the best of the situation, otherwise their

sustainability will be in jeopardy.

and Mother-nature. Key Performance Indicators

(KPI) which drive the resource efficiency of a
foundry, are identified as: process yield,
production efficiency, capacity utilization, energy
consumption, fresh sand consumption, fresh water
[6]
consumption and labour productivity .

The paper emphasizes on the importance of

resource efficiency parameters for sustainability of
a ferrous foundry. Key Performance Indicators
(KPI) which drive the resource efficiency of a
foundry, are identified. The research was carriedout with a wider scope of getting a broader
understanding of ferrous foundries in Kolhapur
MSME cluster. Kolhapur cluster has around 300
foundries. Preliminary survey was conducted in
mid-2012 through early 2013 using semistructured interviews and questionnaires. Data
collected was used to map the resource efficiency
parameters. Statistical sampling was done for high
confidence level to select number of units for
detailed study. Sophisticated instruments were
used to conduct detailed energy assessment of
units. Other KPI of resource efficiency were
recorded from historic data and operational
practices of the units. The detailed study was
conducted from end 2012 through end 2013. This
paper mainly focuses on improvement of energy
efficiency and process yield in ferrous MSME
foundries. Abundant light is thrown on other KPI of
resource efficiency.

Process yield is typically defined as the total

weight of saleable castings expressed as
percentage of the total weight of metal melted to
produce them. Process yield is computed on the
basis of four sub-indicators: melting loss, pigspillage, runner and risers, and scrap castingrejects. The concept of yield is shown in figure 1.
Achieving high yield depends primarily on foundry
operating practices, the key areas of which are:
melting, pouring, molding and core-making.
Production efficiency refers to the utilization of the
time available for production. Production efficiency
is equivalent to overall equipment effectiveness; it
is compiled on basis of four sub-indicators: down
time (molding line), slow running effect (molding
line), bad molds, and scrap casting-rejects.
Capacity utilization: Total effective equipment
performance (TEEP) measures overall equipment
effectiveness in terms of hours per day or hours
per year. The TEEP is determined by capacity
utilization of equipment/foundry, which varies in
accordance with type of molding technology.
Molding technologies are: automatic molding,
mechanized molding and manual molding.
Energy consumption is referred in two parts:
energy consumption in melting and energy
consumption in auxiliary (rest of foundry). Melting
energy
efficiency
depends
on
technology/equipment used for melting. Energy
consumption within a foundry varies in harmony
with the material, alloys, and processes involved in
melting and other additional factors, including:
variation in process yield and variation in heat
treatment operation.

In this paper we have presented research on some

of the long term experiences in Kolhapur MSME
foundry cluster. A range of technical and nontechnical factors at various levels were found
relevant for sustainability of units. Key finding of
research was that, there was radical variation in
KPI from unit to unit in ferrous foundries.
Numerous KPIs were estimated, measured and/or
collected and improvement potential of each was
analyzed-calculated.
A comparison was drawn between resource
efficiency parameters of Kolhapur MSME
foundries and European foundries. Such a
research may be expected to provide valuable
insights into the effects of resource efficiency on
sustainable development of foundries.

Fresh sand consumption monitors the weight of

fresh sand used, divided by the volume (tonnes) of
net good-quality castings produced. Consumption
of fresh sand varies in accordance with product
type, the extent of recovery of core material before
knock-out and permeability. Reasons for too much
consumption of fresh sand include: a low sand-tometal ratio, causing high sand burn-out and poorquality sand.
Fresh water consumption monitors the fresh water
consumed per unit of product (e.g., per tonne of
net good castings produced). Volumes of fresh
water consumption vary in harmony with the
molding medium used, systems and cooling

II RESOURCE EFFICIENCY
Key Performance Indicators
Resource efficiency plays an important role in
sustainability of a foundry. Resource efficiency is
about sustainable management and use of
resources throughout their life cycle. In general
resources for manufacturing industry are 6 Ms:
Man, Machine, Methods, Material, Measurement
2

requirement, equipment cooling requirement and

heat treatment cycle that have a quenching
requirement.
Labour productivity represents the total man-hours
worked (both direct and in-direct) divided by net
good castings produced in tonnes. Labour
productivity varies in harmony with manufacturing
process, the volume of production, the degree of
automation and the extent of process requirement
on the casting type.

The primary data survey was conducted using

semi-structured interviews and questionnaires.
Detailed study
Statistical sampling was done for high confidence
level to select number of units for detailed study as
shown in previous section. Detailed energy study
consists of detailed examination of energy
consumption pattern of unit, types of energy
sources used and their costs.
Table 2 Instruments used in energy audit of foundry

III METHODOLOGY
Preliminary survey
The explorative nature of the study and the
multiple sites investigated drove this study to be
carried out as a multiple field visits using semistructured
interviews
and
questionnaires
conducted in mid-2012 and early 2013.
Sampling and data
Within the MSME cluster, a random sampling
design is followed for selecting the MSME firms.
The sample size with finite population is estimated
[7]
using the following formula .

Ultrasonic
flow
meter
Flue gas analyser

Water Velocity
,Volume
Flue gas O2
,CO,CO2
and
Temperature

Hygrometer

Ambient
Temperature &
RH
Surface
temperature and
image

{( N - 1).e2 Z 2 . 2p }

Table 1: Details of sample size estimation

Estimation of SEC through
pilot study
Mean
e
p
620
12.4
66
kWh/MT kWh/MT kWh/MT

Lux meter
Infrared
thermometer

Lumen level
Surface
temperature

Anemometer

Air velocity

Thermocouple

High
temperature

Measurement
Induction furnace,
Air Compressor,
Pumps, Motors,
Lighting,
Other
electrical
equipment
Pumping system
Heat
treatment
furnace,
Diesel
fired
melting
furnace, Cupola
DBT and WBT

Core
shooter,
Furnace
temperature, Heat
treatment,
and
Cupola
Work-space
Walls of furnace
and
heat
treatment
Air compressor,
blower
Furnace

The data collected during the preliminary survey is

analyzed to depict a picture of how the foundry
uses and/or wastes energy. The operating
parameters of equipment under operation are
measured
using
sophisticated
portable
instruments. Comparison is drawn between rated
parameters of all equipment and measured
parameters.
Based on this energy conservation opportunities
(ECO) are identified. Cost effectiveness and other
benefits of the ECOs are compared, and
discussions are made on practical feasibility and
overall impact of ECOs on resource efficiency.
Finally, a thorough plan is created where certain
ECOs are selected for implementation, and the
actual process of saving energy and saving money

With specific energy consumption (energy

consumed per unit of product) as the criterion
variable, the required sample size is estimated
after conducting a pilot study, as given in table 1.

300 MSME

Application
Electrical
Parameters
Harmonics
analysis

Thermal imager

{Z 2 .N. 2p }

where:
n = size of the sample required for a given
precision and confidence level;
N = finite population size;
Z = standardized variate at a given confidence
level (1.96 for 95 % and 2.57 for 99 % confidence
level);
e = acceptable error or the precision required
(about 2-5 % of mean value);
p = standard deviation of the population
(estimated through pilot study or past experience).

Population
size

Instrument
Power analyser

[8]

Required
sample
size
81
(95%CL)
116
(99%CL)

begins. Sophisticated instruments were used to

[8]
conduct detailed energy assessment of units .

The energy consumption pattern is helpful to

identify energy utilization and wastage areas. A
typical foundry has energy consumption in melting,
mold and core preparation, sand preparation,
compressed
air
system,
lighting
and
miscellaneous areas.

IV PROCESS AND CLUSTER BACKGROUND

An outline of process
The foundry industry is energy intensive and
energy cost is 15-20% of total production cost.
Casting requires energy during different stages of
production. In its simplest form the processes are
identified in five major stages as shown in figure 1.

The foundry cluster of Kolhapur

Production of castings is one of Indias most
important economic activities after agriculture,
employing nearly 60 million of the countrys billion
people. Kolhapur is situated in the southwest
corner of Maharashtra and shares its eastern and
southern border with the state of Karnataka. As of
date, there are approximately 300 foundry units
located in the Kolhapur and Sangli districts of the
region. Almost all these units fall under the MSME.
This cluster provides employment to over 40,000
people. Energy conservation is one of the key
areas for business development apart from quality,
market management and technology up-gradation.

Energy consumption pattern

Foundry uses two main forms of energy: coke and
electricity. Induction furnace is used for melting,
electricity accounts for 85-95% of total energy
consumption. In cupola based foundry coke
accounts for 85-95% of the total energy
consumption by the unit. If a unit has heat
treatment, then diesel accounts for 15-25% of
energy consumption.

[5]

Figure 1 Metal flow diagram

Source: Good practice guide 17 Achieving high yields in iron foundry, BCIRA

Key performance indicators of Kolhapur cluster

Preliminary survey was conducted in 151
foundries and detailed study was conducted in 81

[7]

ferrous foundries in Kolhapur cluster and the KPI

of each unit were computed. The KPIs of Kolhapur
cluster are presented in this section.

Sand and core

preparation

Molding
Pouring

Charge
preparation

Knock-out

Finishing

Melting

Figure 2 Major stage in casting process

Source: Cluster Profile report Kolhapur foundry cluster, TERI

Process yield: The combined melting loss and pig

& spillage were 5.3%, runner & riser in mold was
27.3% and rejection was 7.4%. The net yield of
process in ferrous foundry was 60%. The process
yield in a ferrous foundry is shown in figure 3.

[5]

Production efficiency: The average time lost per

hour of melting because of slow running, bad mold
and downtime was 5.32 minutes. This implies
8.9% of time is lost, thus not only affecting the
production efficiency. Improvement in production
efficiency will improve not only capacity utilization
but also labour productivity.
Energy consumption in melting is major portion in
overall energy consumption of foundry. The
energy consumption in melting varies in
accordance with type of melting furnace in use,
alloy type and manufacturing process. Overall
energy consumption is 982 1365kWh per tonne
of good casting.

Figure 3 Process yield in Kolhapur ferrous foundry

Capacity utilization: There is a strong co-relation

between size of unit and its capacity utilization
factor (CUF). The average CUF of micro, small
and medium foundry are 55%, 67% and 74%
respectively. The overall cluster average CUF was
62%. The CUF in a ferrous foundry is shown in
figure 4.
Figure 5 Energy consumption pattern

Energy consumption in auxiliary (rest of foundry)

can be categorized as mold sand and core
preparation, compressed air system, pumping
system, lighting and miscellaneous (finishing). The
energy consumption in a ferrous foundry is shown
in figure 5.
Induction furnace and cupola are the two melting
furnace used in the cluster. Induction furnace runs
on electricity and cupola on coke. The percentage
share of melting furnace is shown in figure 6.

Figure 4 Capacity utilization factor

Figure 6 Melting furnace

Figure 8 Specific energy consumption of cupola

Medium frequency induction is most preferred

melting furnace. The typical size of induction
furnace
varies
from
75kW/100kg
to
1250kW/5000kg. Most common size of induction
furnace in cluster is 550kW/500kg. The
performance of induction furnace is measured in
terms of specific energy consumption (kWh per
tonne of liquid melt). The SEC of furnace varies
widely across the cluster. It depends on numerous
factors such as type of casting, tapping
temperature, frequency, type of converter-invertor
circuit, etc. The performance in Kolhapur was
recorded as 574kWh/MT and the worst was
850kWh/MT. Figure 7 shows the average SEC in
cluster.

The average fresh sand consumption to produce

one tonne casting is 0.34 tonnes. The reason for
the high consumption of sand is low sand
reclamation levels; only 68% of sand is re-claimed
and re-used.
Labour productivity in Kolhapur foundries varies
immensely. The principal reason for this is type of
molding practice. The productivity ranges from
28.8 to 96.7 man-hours per tonne of good
castings. On average, the foundries in Kolhapur
require 44.8 man hours to produce one tonne
good casting. Figure 9 shows labour productivity.

Figure 9 Labour productivity

In this section, abundant light is focused on KPI of

the foundries in Kolhapur cluster. In following
section, measures to improve the KPI are
presented,
which
are
implemented/underimplementation in Kolhapur foundries.

Figure 7 SEC of induction furnace

Cupola is available in different design and

specifications. In the cluster cupola 18 to 36 are
installed. It can be conventional single blast or
divided blast cupola. Most common cupola is 24
divided blast cupola. The performance of cupola is
measured in terms of kilo-grams of coke
consumed for melting one tonne of metal (kg
coke/MT). Another way of representing cupola
performance is coke to metal ratio (CMR, tonnes
of metal melted consuming one tonne of coke).
Figure 8 shows averaged performance of all
cupolas in the cluster.

V RESULTS AND DISCUSSION

The results and discussion presented are result of
15 month long study conducted in Kolhapur MSME
foundry cluster. Preliminary survey was conducted
in 151 foundries; detailed energy audit was carried
out in 81 foundries. The results are discussed in
6

accounts for 0.5 1% of total input energy to

furnace. For example: 110kg RR was charged in a
500kg crucible, it was measured, 4% sand by
weight is sticking to RR. If tum-blasted it will
improve the SEC of furnace by 5.1kWh/tonne.
Operating practice play a vital role in SEC of
induction furnace. The cycle time of induction
furnace depends on power density. Longer cycle
time can be result of interruption in melting, which
are caused due to more time taken for raw
material charging, de-slagging, sampling and
spectro-analysis. For example: At full power in a
500kg/550kW furnace, 16 units of electricity are
wasted for every two minutes delay. Tapping
temperature is very important in case of induction
furnace melting. It depends on type and grade of
casting, every foundry has standard tapping
temperature for each type of casting they produce.
The operators should be trained to tap metal when
required temperature is attained. But it was found
many foundries tend to super the metal by 10
20C. For example: In a foundry tapping
temperature requirement is 1490C, whereas the
actual measured tapping temperature was
1512C, thus leading to an energy loss of
8.8kWh/tonne.

two sub-sections: energy consumption reduction

and other key performance indicators. All results
are of ferrous foundries excluding steel foundries.
Energy consumption reduction
Cupola melting furnace: The average coke
consumption per tonne of melting is 121kg. There
is huge scope of improvement. Typically in a 24
divided blast cupola one tonne metal can be
melted using 80kg coke (provided coke is of good
quality, i.e. <12% ash and calorific value
>6000kCal/kg). Improvement can be achieved in
most cases by improving the operating practices
and in some cases by cupola replacement with
efficient design DBC. Thus coke saving potential is
around 26%. The blower performance also affects
cupola performance in terms of metal quality,
tapping temperature and melting rate. For instance
air requirement of a 24 DBC cupola is
3
40.2m /min. If the air supply by blower is less,
cupola is under-blown and will lead to in-complete
combustion and CO content in exhaust flue gas
will be high and O2% will be very low ~1% (for
complete combustion O2% in exhaust flue gas is
recommended to be around 4 5%). If the air
supply is high, cupola is over-blown and will lead
excess coke consumption; the excess air will take
heat along with it in flue gas. Thus, apart from
following best operating practices of cupola, it is
necessary to design the blower correctly
considering the flow and pressure requirement not
just the power rating.

Mold and core preparation: The major equipment

installed for sand handling/mold preparation is
sand muller, sand mixer, sand cooler, dust
collector and sand siever. Most motors have name
plate full load efficiency between 80 - 90%. In
many cases turbine motor of shot blast machine
and sand mixer motors are found to be re-wound
resulting in lower operating efficiency. Replacing
them by higher efficiency motors (greater than
89%) 2 10% saving in motors can be achieved.
A 250kg sand mixture requires 12.5hp motor. In
many cases it was found 15hp motor was being
used, the motor can be down-sized for energy
saving. The pneumatic molding machine
consumes lot of compressed air; it can be
replaced by hydraulic molding machine. The air
requirement will come down by 20 30%. For
core preparation fresh sand is used. Core is baked
in hot box, majorly using electrical energy (in few
cases using LPG fired burner). After hardening of
core it is mounted in the mold. In most core box,
there is no temperature controller. The typical
temperature requirement is 350C, if temperature
controller is not provided the temperatures goes as
high as 420C. The excess temperature leads to
energy loss.

Induction furnace: The SEC of an induction

furnace for ferrous casting varies depending on
chemistry of requirement, size of casting and few
other parameters. But these parameters are no
justification of high SEC of furnace. Major loss of
energy in induction furnace occurs due to radiation
heat loss from top opening. It accounts to 3 4%
of total input energy and can be saved by using a
lid for the opening. For example: During detailed
study in one of the units following observation was
made. Unit A has a 500kg/550kW induction
furnace without lid cover. The SEC of furnace was
measured to be 571kWh/tonne and heat loss from
opening was 17.1kWh/tonne, approximately
12.3kWh/tonne can be saved by using lid cover for
induction furnace. Slag content accounts for
second major loss, which is result of quality of raw
material. Under typical operation the foundry
runner and risers (RR) accounts for about 20
25% of total raw material charged in the crucible.
The RR is neither shot-blasted nor tum-blasted.
RR contains 3 4% sand by weight, thus they
must be shot/tum-blasted before charging, it

Air compressor: Compressed air system is major

energy consuming utility section in foundry.
7

Compressed air is majorly used for pneumatic

molding, grinding, fettling, cold box for core
shooter and cleaning purpose. Compressor
accounts to 5 8% of total energy consumption in
foundries. Leakages of compressed air are noticed
to be as ranging from 10 50%. Arresting the
compressed air leakages will lead to energy
saving of 5 45% in compressed air system. For
example: During detailed study in one of the unit
has installed three air compressors with combined
FAD capacity of 395cfm. Actual generated FAD
was measured 336cfm and leakages of 39% were
identified and measured. Arresting leakages and
bringing down leakage to 5% would result in
saving of 115cfm, which when translated to energy

is 43.5% of total energy consumption in

compressed air system. In many cases the loading
of air compressor is very low, if loading percentage
is less than 30% and there is no expansion
planned in foundry then, correct energy
conservation recommendation will be to down-size
the air compressor. If loading percentage is
between 30 50%, it is recommended to retrofit
the existing air compressor with variable frequency
drive (VFD). VFD technology closely follows the air
demand by automatically adjusting the motor
speed. This results in large energy savings of up
to 35%. The life cycle cost of a compressor can be
[10]
cut by an average of 22%
. Figure 10 shows
basic of VFD.

Figure 10 Air compressor with and without VFD

Source: Oil-injected Rotary Screw Compressors, Atlas Copco

Cooling water circuit: The induction furnace

foundry typically have an induced draft cooling
tower to cater to the cooling requirements of
furnace coil and panel. The cooling water pump
circulates the raw water through the plate type
heat exchanger (PHE) for panel cooling. At the
secondary of the PHE de-mineralized water (DM)
water circuit is provided. In most cases, the pumps
rating does not match with design specification
3
(flow rate, m /hour and head, m) and motors of
pumps are re-winded. By installing correct design
pumps of high efficiency, 2 20% energy saving is
achievable. For example in one of the foundries
the soft water pump was of 34% name plate
efficiency, the operating efficiency was calculated
27%, replacing it by higher efficiency pump would
result in saving of 14% energy. For example:
Design requirement is 30m head pump and 51m
head is installed, they must be replace by proper
design pump. Proper sizing of piping system also
plays an important role.

[10]

Lighting is one of the most neglected areas in

foundry. Conventionally foundries use fluorescent
tube light (FTL) of 40W with copper ballast (T12)
for lighting in office and stores. General lighting
service (GLS) or mercury vapour lamps (MVL) are
used in shop floor. Some foundries have started
using CFL in office and metal halide lamps in shop
floor. Daylight integration by use of transparent
sheet is feasible solution to reduce lighting load.
T12 FTL can be replaced with T5 FTL and MVL
can be replaced with metal halide without
compromising on the lux level. The luminous
efficacy of different lighting fixtures is given in
figure 11. Energy saving potential in lighting varies
between 5 40%. For example: In one of the
units following observation was made, 15 T12 FTL
fixtures and 12 MVL fixtures of 250W, which
operates 12 hours per day. Replacing T12 with T5
and MVL with metal halide would result in energy
saving of 27%.

Spillage can be reduced by improving pouring

practice. Existing melting loss and spillage is
5.3%, it can be decreased to 3.2%. The gating
system design is mostly done by trial and error in
foundry; it can be done by simulation software
such as MAGMA and FLOWCast. The RR can be
decreased from 27.3% to 25%. The rejection in
foundry is 7.4%. The starting point should be
organization of the types of defects by casting and
places of occurrence. First, type of defects should
be investigated and steps should be taken to
reduce the castings rejection. Rejection can be
brought down to 1.6%. Figure 12 shows
comparison of process yield of European foundry
and Kolhapur foundry, improvement potential is
also presented. Net process yield in Kolhapur
foundry is 60.3% whereas in European foundry is
69.1%, thus improvement potential is 8.8%.

Figure 11 Comparisons of different lighting types

Process yield
The melting loss can be decreased by improving
raw material quality and slot blast of foundry
return.

Figure 12 Process yield: European foundry v/s Kolhapur foundry

Other KPI
The production efficiency is low, 5.32 minutes
down time in one hour. It can be reduced to 2
minutes.
The capacity utilization cant be improved in-house
as it depends on market condition. But proper
planning can be done to avoid daily cold start of
furnace. For example: Instead of one shift daily,
three shifts for four days is better option. But, this
will depend on labour availability.
Labour productivity in Kolhapur cluster is high,
major reason is most foundries are manual
molding or mechanical molding. Currently average
labour productivity is 44.8 man-hour for producing
one tonne of good casting. By training the labour,
and proper planning, improving operating practices

the labour productivity can be improved to 30 manhours per tonne of good casting.
KPIs can be improved largely by implementing
Kaizen activities in the foundry. Kaizen activity
includes 5S activity, small group activity and
employee suggestion system.

VI CONCLUSION
This paper presents the results from a numerous
detailed study conducted in 201213 focused on
drivers to energy efficiency improvements and
energy management practices in the Kolhapur
MSME foundry industry, research involving 81
foundries located in Kolhapur and Sangli. Current
9

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Profile%20Report%20%20Kolhapur%20%28Foundry%29%20Cluster.pdf
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http://www.fonderie-durable.fr/iso_album/guide__achieving_high_yields_in_iron_foundries.pdf ,
Accessed on: 28-10-2013
10. Oil-injected Rotary Screw Compressors, Atlas
Copco e-Catalogue, 2010
11. Becoming a practical green casting industry,
Foundry Informatics Centre, New Delhi
http://www.foundryinfoindia.org/BECOMING%20A%20PRACTICAL%20G
REEN%20CASTING%20INDUSTRY.aspx ,
Accessed on 27-10-2013
12. Manual on Energy Conservation Measures in
Foundry Industry, CII-BEE, New Delhi, 2011
http://sameeeksha.org/pdf/dpr/Batala.pdf ,
Accessed on: 27-10-2013
13. Girish Sethi, P Jaboyedoff & V Joshi Towards
cleaner technology A process story in small
scale foundries, TERI-SDC, New Delhi, 2006,
ISBN 8179930890
http://bookstore.teriin.org/docs/books/SDCFoundry%20full.pdf , Accessed on: 27-10-2013
14. Best practice guide for the foundry sector of
India, MB Associates, UK, 2012
http://www.beeindia.in/schemes/documents/wordB
ank/Target%20Clusters/Kolhapur%20%20Foundries/Part-A%20new_21_final.pdf ,
Accessed on: 28-10-2013

practices in MSME foundry call for reforms in its

production practice. The paper identifies measures
to improve key performance indicators in foundry
resulting in enhanced resource efficiency. The
investigation has shown that improvement
potential in KPIs is substantial and as given below:
Energy saving potential 10.8%
Melting loss from 3.2 to < 2%
Pig and spillage from 2.1% to < 1%
Runner and riser 27.3% to 25%
Rejection from 7.4% to < 3%
Process down time from 5.32 to 2 minutes
Labour productivity from 44.8 to 30 manhour per tonne of good casting
The conclusion of paper is that each foundry
should make incremental efforts to continuously
monitor the KPI and plan to improve; this would
lead the unit in path of sustainability.
In addition, the study has given the opportunity to
explore some characteristics of MSME foundries
that should be taken into account when shaping
energy conservation policies/strategies. As a final
comment, we believe it is imperative to extend the
research, in order to create a more detailed plan of
the adoption of resource efficiency practices.

ACKNOWLEDGMENT
The study has been carried out under the WBSIDBIs Financing energy efficiency project
financed by the GEF (Global Environment Facility).
We sincerely thank GEF, WB and SIDBI. The
authors also warmly thank the respondents at the
studied foundries for giving freely of their time and
attention.

REFERENCE
1. Masato Abe, Michael Troilo, J S Juneja, Sailendra
Narain Policy guidebook for SME development in
Asia and the Pacific, United Nations ESCAP,
Bangkok, 2012, e-ISBN: 978-92-1-055274-5
2. Definitions of Micro, Small & Medium Enterprises,
Development Commissioner Ministry of micro,
small and medium enterprises, New Delhi, 2006
http://www.dcmsme.gov.in/ssiindia/defination_msm
e.htm , Accessed on: 27-10-2013
3. SMEs role in Indias manufacturing sector, IBEF,
New Delhi, 2013
http://www.ibef.org/download/SMEs-Role-inIndian-Manufacturing.pdf , Accessed on: 27-102013

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