Project

Report
on
PRO
RAY
ONE M
Anand Rathod G1036
Jay Patel G1026
Mitesh Machhi G1016
Hardik Gandhi G1008
Anand Joshi G1010
Pinal Mackwana G1017
 Hemangi Rathod G1037
Neha Shah G1044
Ustrav Lavingya G1059

GENERAL INFORMATION

Sr. Page
Particular
No. No.
1 Introduction to the Company
2 History And Development
3 Vision Statement
5 Size of the Unit
6 Unique Features of the Unit
7 Organization Structure
8 Time Keeping System
9 Major Players in India and their capacity
10 SWOT Analysis
11 Production Introduction
12 Organization Structure & Production Department
13 Introduction to Company Product
14 Manufacturing Process
15 Plant Layout
16 Material Handling
17 WCM Excellence Model for Competitive Advantage
18 Purchase Department
19 Store Department
20 (IR &IL) Supply and Chain Management
21 Quality Control

2
 INDIAN RAYON AND INDUSTRIES LIMITED
INDIAN RAYON AND INDUSTRIES LIMITED (formally known as INDIAN RAYON
CORPORATION LTD.) is a 16000Cr. Multi-product and multi-location industrial
conglomerate, a part of Aditya Birla Group, and the organization of a long, illustrious and
magnificent legacy spread over a period of 125 years. The Group is consolidating its
position under the chairmanship of Shari Kumar Man glam Birla taking the aspirations
from the legacy of a leading industrialist, Late Shari Aditya Vikram Birla. The
organization came on the sphere of Rayon Industry in 1963 when Late Shari Lal Bahadur
Shastri laid down its foundation stone.

Shari Morarji Vaidya of Vaidya Group started this organization with production capacity
of 4MT per day in collaboration from Von-Kohom International of USA. In 1966 it was
taken over by Shari Aditya Vikram Birla and since then has been a part of the AV Birla
combine.

The Rayon Division is one of the 12 Divisions of Indian Rayon, located in Veraval,
Gujarat. The main product of the Rayon Division is the Viscose Filament Yarn apart
from chemicals like sulphuric Acid, Carbon-di-sulphide, which are both consumed in-
house and Sodium Sulphate, which is a by-product. The total production is 38.5 TPD of
yam likely to will be increased to 40 TPD by June 1998. Rayon industry consists of seven
domestic players, and we are the market leader in terms of sales. Exports constitute about
15% of the total turnover. Besides, 100 TPD Caustic Soda plant and 16.5 MW Power
Plant have also been commissioned in 1996.

The Viscose filament Yarn is manufactured by the regeneration of Sodium Cellulose

Cantata part of Viscose when it comes in contact with the Spin bath solution, a mixture of
the dilute Sulphuric Acid, Zinc Sulphate and Sodium Sulphate. After regeneration, the
yarn is taken out using the conventional Pot Spinning technology, in the form of cakes.
After the treatment of cakes are reminded in the form of cones by the coning machines in
the Textile department to make it presentable in the market.

The Inputs the main raw material for the manufacture of yarn is wood pulp. Different
types of pulp are used in the process depending upon the market availability and for
acquiring the required quality. Apart of the pulp is also imported. Apart from pulp, the
ot6her major raw materials are caustic, sulphuric acid and carbon di-sulphide. The
Company has gone for backward integrating by manufacturing sulphuric acid and carbon
di-sulphide.

3
The Product

Viscose Filament Yarn is what the layman calls as the "artificial silk". The Properties of
the yarn is such that it can be easily blended with other fabrics and in terms of it comfort,
it is second only to Cotton, which is a natural fabric. And the luster of Rayon only adds to
its wide demand. The rayon yarn is used to make saris and special effects like Bosky,
Chiffon Georgette and Fancy dresses.

The Market

Most of the sale of yarn has been through dealers and agencies. The major market for the
Viscose Filament Yarn is Surat. The other Major centers are in Bombay, Ahmedabad,
Salem, Bangalore, and Amritsar etc. The main competitors are Century Rayon, Baroda
Rayon and National Rayon. The most visible USP of the IRIL product is high

Percentage of the 1st grade yarn, which results in the customers, the mills, having a
higher confidence in the IRIL yarn.

The average growth rate for Viscose Filament Yarn in the Market is around 8% in a year.
The Market Share of the Company on an average has been of 20% in last 5 years, which
has been possible only due to matching Company's Average Growth Rate of 7.6% in last
5 years in its Sales. Hence the company does not envisage any major problem in future in
marketing Yarn.

The organization is accredited with ISO: 9002 for "Quality Systems" and ISO: 14001 for
"Environmental Management Systems". A scheme for another 15 MW captive Power
Plant is in the pipeline.

In 1987, to reflect the multifold activities of the Co., it was renamed as “Indian
Rayon and Industries Limited.”
In 1998, as part of the Group’s restructuring and consolidation, Indian Rayon’s cement
business was transferred to Grasim Industries. Today Indian Rayon’s focuses on three
businesses I which the Co. enjoys a leadership position:
• Viscose Filament Yarn – India’s second largest producer
• Carbon Black – India’s second largest producer
• Insulators – World’s third largest

3
3

4
 History and Development

The late Prime Minister Shri Lal Bahadur Shastri laid the foundation stone of Indian
Rayon and Industries Ltd. On 21st June 1959. It was incorporated on the 26th September
1956 under the Companies’ act of 1956 and the company was given the commencement
certificate on 13th Feb 1958.

The inauguration of the company was done by an American ambassador Mr. H. H.

Galbreth on 13th April 1963 and on the same day company took its trial production.

Shri Morarji Vaidy one of the leading industrialists of Gujarat with a view to manufacture
Viscose Filament Yarn (VFY) in collaboration with Von-Kohorn International of USA
started this organization.

Once a sick company and virtually on the verge of closure was taken over by Shri Aditya
Vikram Birla in 1966, who believed in consolidation, expansion and diversification.
Because of his belied and sincerity towards his work the company has not only turned
around but has also made up strong market position today. By 1975, the Jaya Shree
Textiles had merged with Indian Rayon. The Indian Rayon & Industries Ltd. is Public
Ltd. Company.

5
 VISION STATEMENT

To be preferred choice of
customers in premium
segment of Viscose
Filament Yarn Global
Market while remaining
committed to the interest of
all stakeholders.

MISSION STATEMENT

• To produce Viscose Filament Yarn to meet the expectation of customers in

premium segment.
• To achieve minimum cost of production through innovation, development and
involvement of employees and vendors.
• To maintain clean, safe and pollution free environment.

5 ‘S’ CONCEPT

‘S’ SEIRI – Sort out unnecessary items in the work place and discard them
‘S’ SEITION – Arrange necessary items in good order so that they can be easily
picked for use
‘S’ SEISO – Clean and maintain workplace so that there is no dust and dirt.
‘S’ SEIKETSO – Standardize the work procedure for every thing we do.
‘S’ SHITSORE – Develop a habit of doing right things as standardize.

6
 Size of The Unit

IR&IL Co. Veraval is a Public Ltd. Company. It is large-scale industry. It is Capital

Oriented unit because automatic machineries do most of work. It can be called heavy
industry because the symptoms of heavy industries are seen like – capital investment is
very huge, production cycle and installation of heavy and costly machineries. The work
of unit has been divided into 42 departments.

Contribution of the Unit

The IR&IL Co. is one of the single units, which manufacture Rayon Yarn earning huge
profit. On the part of market company contributes more than 25% of total market in
India and of course Birla group has two other units engaged in production Rayon Yarn.
So totally about 75% of market has been covered in India. Company has been also
export Rayon Yarn in more than 15 countries.

Unique Features of the Unit:

• Tube Spinning technology in Filament Yarn
• Latest technology in VFY continuous Spinning machines (proposed)
• Pioneering slurry press, continuous Viscose process.
• Twin roll press, continuous filtration process, multi-stage flash evaporation, acid
absorption crystallizes.
• Spinning machines running on invertors.
• Renovation and re-engineering
• Vendors development
• Predictive maintenance with the help of non-destructive testing technique
• Labor intensive but peaceful industrial relation
• Optimum Automation
• First company to get ISO 9002 in Rayon Industry in Nation
• Initiated EMS (Environment Management System)
• Participative management
• Captive Power plant
• Backward integration – Caustic Plant
• Sharing the gains with the employees
• Market Leadership
• Occupation Health & Safety Assessment series 18001 – 1999 (OHSAS)

7
 Organization Structure

Executive
President

Production Engineering Commercial Administration Personal & HRD

Department Department
Department Department Department

Viscose Maintenance Finance Raw Material Time Office

Spinbath Electrical Share Legal Welfare

Spinning Instrumentation Stores Sales Labour Office

Purchases
AND
After Treatment BARDHANA Personnel

Textile HRD
Internal Audit

Chemical Estate

Research & Security

Development

Quality Control

8
 TIME KEEPING SESTEM

Each and every unit has their own time keeping system. Since the some
keeping system the arrival and leaving of employee are recorded.

In Aditya Birla Nuvo Ltd. time keeping system is given bellows

For Officers :
08:30 Am to 12:30 Pm
01:30 Pm to 05:30 Pm
Officer’s Lunch Time
12:30 Pm to 01:30 Pm

For Workers :
Shift A : 06:45Am to 02:45Pm
Shift B : 02:45pm to 10:45Pm
Shift C : 10:45pm to 06:45Am

Worker’s Lunch Time

Shift A : 10:45Am to 11:45Pm
Shift B : 06:45pm to 07:45Pm
Shift C : 03:45pm to 04:45Am

9
 Major players in India and their capacity

Major Players Capacity (MT) Percentage (%)

Indian Rayon 16000 24.58
Century Rayon 14600 22.43
National Rayon 16000 24.58
SI Viscose 7500 11.52
Kesoram Rayon 6500 9.98
Baroda Rayon 4500 6.91
Total 65100 100%

Indian Rayon
7%
10% 24% Century Rayon

National Rayon
12%
SI Viscose

22%
Kesoram
25%
Rayon
Baroda Rayon

10
 Production Department

Production means creation of utilities and entails the procurement and utilization of
factors of production, which includes manpower, material, buildings and equipments.

Production is fabrication of physical object though use of men, material and equipment.

“Production management deals with decision making related to production process

so that the resulting goods or service is produced according to specifications, in the
amounts and by schedule demanded and at minimum cost.”
-- E. S. Buffa

Production must be operated in an economic and efficient manner because cost of

production is vital factor in facing market competition and in ensuring normal profit or
return on investment.

Inputs Outputs

Material Products
Labor Production Services
Capital Process Information
Energy Products of
Information services
Resources

11
 Organization Structure of Production Department

Sr. Vice
President
(Production)

Sr. GM
(Prod) GM (Prod)

Viscose Spinbath Spinning After Textile Continuous Chemical

Dept. Dept Dept. Treatmen Dept. Spinning
t Yarn (CSY)

Dy. GM D. Man D. Man Manager Sr.Man Ast. Manager Sr. Man.

D. Man Ast Man Ast man D. Man D. Man Sr. Supt. Sr. supt

Sr. supt Sr. supt Sr. Eng Sr. Supt Sr Supt Supt Supt

Supt Supt D. Man Supt Supt Jr.Supt Jr.Supt

Incharge Incharge Workman Incharge Incharge Workman Workman

Supt Supt Supt Supt

12
 Introduction To Company’s Product
There are 12 units working under IRIL division of Birla Group. Various types of
products are producing in each an every unit. Here we are mainly concern with Rayon
Division where total four products are manufactured. These are as under:

1. VISCOSE FILAMENT RAYON YARN

2. SULHURIC ACID (H2SO4)
3. CARBON-DI-SULPHIDE (CS2)
4. ANYHYDROUS SODIUM SUPHATE

Vital and essential raw material for Viscose Filament Rayon Yarn are wood pulp, caustic
soda (NaOH) while for the production of sulphuric acid – sulphur, oxygen gas and water
are required and super and coke are required for production of carbon-di-sulphide. There
is separate plant for each and every product. The forth product sodium is a by-product.
The use of each product is as under:

 Uses of Rayon Yarn in Manufacturing Of:

1. mantle of gas lanterns
2. Dress materials and saris, Fancy yarns and finishing fabrics.
3. Elastic tapes
4. Fancy yarns and finishing fabrics
5. Warp and/or weft for weaving of suiting and shirting’s.
 Uses of Sulphuric Acid (H2SO4) In:
1. Chemical Industry & Agro-Chemical Industry.
2. Paint & Dye Industry
3. Medicine Industry
4. Rayon Industry
 Uses of Carbon-di-Sulphate (CS2) In:
1. Glass Industry
2. Pharmaceutical Industry
3. Rayon Industry
4. Base for Agro-Chemical Industry
 Uses of Sodium Sulphate In:
1. Glass Industry & Paint Industry
2. Paper Industry
3. Dye Industry

13
 Manufacturing Process
IR&IL Co. is the market leader of the nation and its market share is round about 30%.
It produces more than 500 shades, ranging from natural white to a wide array of colors
from purist tints, though medium tones to vibrant deep shades I fine to coarse deniers
ranges from 70 to 900. The unit’s production capacity is 16000 TPA of high quality.
The technology used for the production process in Rayon Division is conventional one
and simultaneously it uses pot spinning yarn process.

VISCOSE FILAMENT RAYON YARN:

The main products at Rayon Division Veraval :

1. Viscose Filament Rayon Yarn
2. Sulphuric Acid
3. Carbon Disulphide
4. Sodium Sulphate
The main raw material required for Rayon Yarn is:
1. Wood Pulp
2. Caustic Soda
3. Carbon Disulphide
4. Sulphuric Acid

About 90% of the above are available from the domestic market. Wood pulp is also
imported from Canada, Sweden and South Africa. The sheets of wood pulp are made
from the cellulose from the following trees:

 Eucalyptus (South Africa)

 Spruce (Canada)
 Bamboo (India)

14
15
The manufacturing process of Viscose Filament Yarn can be divided
in the following sections:

A. VISCOSE SECTION
The process is carried out in the following stages:
 Conversion of woo cellulose into alkali cellulose i.e. mixing of wood pulp
with NaOH.
 Conversion of alkali cellulose into sodium cellulose xanthate.
 Conversion of sodium xanthate into viscose solution.

The process is carried out in the following steps:

a) Mixing
Foremost the raw materials, woo pulp containing 91% to 97% of
cellulose is mixed with the sodium hydroxide (NaOH) of necessary
strength for an hour a half.

b) Steeping
In this step, the cellulose (wood-pulp) is mixed with the caustic
solution and it combines to form the alkali cellulose which is called slurry.
The excess soda is then drained off for reuse. In this step the hemi
cellulose and the other impurities are also removed.

c) Homogenizer:
From the mixer slurry is pumped to vessel which is called
homogenizer. Here in this stage different batches of slurry are blended
thoroughly to get uniform alkali cellulose mat at the press. The slurry is
constantly and continuously supplied to be pressed. The slurry in the
homogenizer is stirred continuously by stirred homogenizer. It is also
hacked to control slurry temperature circulating water.

d) Pressing (Twin Roller Press)

It is a continuous process. From the homogenizer, slurry is
pumped to be pressed where it passes between two perforated drums
(rollers). The excess caustic is removed by pressing and slurry in the form
of mat is received. The hemi cellulose and other impurities are also
dissolved in the pressed caustic and removed by dialysers. Generally the
mat received is constituted with the following composition and proportion:
Cellulose 34%
Alkali 15.5%
Water 50%
Carbonate 0.5 to 0.55%

16
 e) Shredding:
Shredding process increase the surface of the A.C. mat ensures the
next stage of aging and xanthation to be rapid an uniform. In this process
mat is out into small pieces by three rollers rotating at different speed and
each of them is attached with a linkering wire which outs the mat form the
shredder, A.C. pieces are carried maturing rum by conveyor belt.

f) Maturing:
Maturing is the necessary process to decrease the degree of
polymerization from 1400 monomer units to 600 monomer units of alkali
cellulose by the effects of temperature and time caging to facilitate
xanthation stage. In this process, the maturing drum used is of 70 feet
long and 9 feet diameter. This cylindrical vessel is rotation at a speed of
1?3 rpm an it is inclined a 3 degree to horizontal to facilitate A.C. flow.
The stock of A.C. in the drum remains about 25000 kgs.

g) Xanthation:
This is the main reaction carried out during viscose production.
There are four xanthation equipped with agitator and are vacated though
which cold water is circulated to control the product temperature.
Xanthation is carried out under vacuum. After dumping the batch in the
dissolver xanthate is cleaned with soft water and then it is dried with air.

h) Dissolving:
In this stage the viscose is uniformed by eight dissolver vessels
which are equipped with agitator which makes viscose uniformed. The
dissolving time is 3 hours. The term is controlled to maintain ripening
index (R-S) from the dissolver viscose which is transferred to ripening
room.

i) Ripening:
In ripening viscose is filtered though different filters. It is
necessary process to remove the impurities before sending the viscose
solution to spinning section.

B. SPIN BATH SECTION

Spin bath is quality section to spinning rayon yarn. Spin bath is an

important constituent for the viscose to be re-generated in to cellulose. The main
composition of the spin bath solution is sulphuric acid (H2SO4) and sodium
hydroxide (NaOH) other composition is ZnSO4, Na2SO4, temperature etc. which
constitute the spin bath solution and the sodium sulphate (Na2SO4) is receive as
a by-product.

17

A-9
 Sodium sulphate is a min by-product which is requires 22 tones per day.
This by-product Na2SO4 should be removed form spin bath solution and spin
bath solution transferred to spinning section by total six drums out of which two
of them are in old spin bath dept. while other four are in new spin bath dept.

C. SPINNING SECTION

In this section viscose solution from viscose section is directly supplied

through dye units to spinning machine for bright and colored yarn. The merging
pump drives fixed amount viscose in one minute depending upon the capacity of
the pump. Viscose temperature is around 28 degree centigrade. Spin bath
solution is also following with high speed from the spin bath section at 56 degree
centigrade to spinning section. Viscose coming from heat cons in the contact with
spin bath coagulation of viscose which takes place to form yarn of particular
denier.

Denier is a weight of 9000 mtrs. of dry yarn in grams. Yarn is specified

by its denier and filaments e.g. 225/40 that means 225 denier with 40 filaments.
Jet is made of anti corrosive material consisting of 70% Au (Gold), 29% Pt
(Platinum) and 0.5% Rh. The yarn coming out is passed through a cup tube of
length 550 mm of 450 depending upon denier.

D. AFTER TREATMENT SECTION

Raw cake from spinning section is brought to A.T. section in raw cake
trucks. Here the raw cakes pass through 20 parts for 19 minutes each. In these 20
parts the different machines are fixed in which the washing, bleaching and drying
are done by soft water. Various hydro extracted chemicals etc. are used to
remove impurities, dust and dirt. Afterwards the cakes are dried in the dryer room
by the air.

E. TEXTILE SECTION

The dry cakes are now dry for wining. The yarn is in the form of conesor,
and hank time duration of coming depends upon the denier of yarn. The textile
department s place where the manufacturing process of Rayon Yarn comes to an
end. Although it comes under production processes but its function is auxiliary and
very important in nature.

18
 F. PACKING SECTION
After wining the cones an hank, they are sent to the pacing section where
they are visually check by the inspectors an grades are given as per their quality.
At present cones are packed in cardboard boxes. Then the cartoons, which
are filled by inspection side; helpers, are first brought to the weighing balance
where the weight is balance as per pre-determine standard. After that a computer
pacing slip is made having various necessary details. On is paste on cartoon,
second is kept inside the cartoon and third is kept for record purpose. After that
the cartoons are stepped with Polly propylene type. Finally B.O.P.P. adhesive
tape is applied at the joint of top flaps of cartoons. These fully packed and sealed
cartoons are sent to bonded stores room (B.S.R.) for sales department to be
dispatch.
The packing slip is having following details:
 Name of parts
 Date of packing
 Quality grade an weight
 Registered trade mark of the company
 The color of cones an hanks
 Deniers

SULPHURIC ACID (H2SO4):

Sulphuric acid is one of the important raw materials require for the production of viscose
solution. It is used to generate the strength to the filament yarn. The main raw material
required for the productions of H2SO4 are Sulphur, Soft Water an Oxygen gas.
The process can be state in the following stages:
SULPHER MELTER:
In the sulpher the steam passing though the melter melts the solid form of sulpher.
SULPHER BURNER:
The melted sulpher is fed to sulpher burner, which is also fed. The oxygen
gas is passed though the boiler and filter in which the filtration of So2 are maintained and
made respectively.
CONVERTER:
Form the filter the filtered SO2 gas is transferred to converter, which
results in SO3 gas. Afterward it passes though 4th converter.
COOLER:
From the 4th converter SO3 gas is transferred to cooler when it is cooled
own and excess air is drawn out for the top of the cooler.

19
ABSORPTION:
The cooled SO3 is then absorbed into absorption tower in the sulphuric
acid. In the tower H2SO4 is sprayed on the cooled SO3 from the top and it makes
H2SO4 acid.

ACID PRODUCTION TANK:

In this stage H2S2O7 transferred to acid tank and the purified water is
added here which react and produced the H2SO4 acid.

CAUSTIC SODA PROCESS

Caustic soda lye, chlorine gas and hydrogen gas are simultaneously produced from
Bipolar Membrane cells. The products obtained are of high quality , since the process
demands very high quality of raw materials for Membrane cell Technology. Caustic soda
lye produced is of 32% concentrated and chlorine and hydrogen are produced as gases
from cells. these two gases are purified in respective sections.

Sequentially the process is divided in the sections namely , brine purification ,cell
house,catholyte and acolyte handling, chlorine liquefaction, caustic evaporation and
flaking, HCI synthesis and waste air dechlorination.

BRINE PURIFICATION SECTION : -

Saturated salt solution often referred to as brine solution is prepared by adding fresh salt
to lean brine coming from the cell house ( recycle process ) . the brine solution contains
impurities such as calcium, magnesium and Sulphate. These impurities are removed in
two stages, namely, primary and secondary purification. Primary purification is done by
chemical treatment using soda ash, and sodium hydroxide to remove calcium and
magnesium impurities to ppm levels. In secondary purification, the impurities are
removed to the ppb level by passing the brine through ion exchange resin beds. The
brine solution obtained after these process is of high quality, which is suitable for feeding
to the electolyzer cells.

CELL HOUSE :-
The purified brine from the brine sections is fed to the bipolar membrane cells. The brine
solution is electrolyzed by appling D.C. current . sodium chloride gets dissociated into
sodium ions and chloride ions . Membrane is used as separator in betweencathode and
anode in cells.At the anodic side, hydrogen gas is produced along with caustic soda lye.
The caustic soda produced is of 32% concentration.

20
CATHOLYTE AND ANOLYTE HANDLING :-

CATHOLYTE CONSISTS OF 32% LYE AND HYDROGEN GAS. Hydrogen gas is

cooled and filtered to obtain dry hydrogen gas . hydrogen gas is used either to produce
HCI or used as fuel for burners in caustic soda flaking unit or sold. Anolyte consists of
lean brine and chlorine gas. Chlorine gas is cooled and passed to chlorine handling unit
for further processing. Lean brine is neutralized, dechlorinated and sent back to the
saturators as brine make-up

CHLORINE LIQUEFACTION :-

Chlorine gas cooled in the anolyte handling section is dried in drying tower using
sulphuric acid. Dried chlorine gas is compressed in compressor house and liquefied in
liquefier using freon gas as refrigeration media. Liquid chlorine is passed to the liquid
chlorine storage tanks for further selling it after filling in tonners.

CAUSTIC EVAPRATION AND FLAKING :-

32% CAUSTIC SODA LYE FROM CELL HOUSE IS ENRICHED TO 48% Lye in
triple effect evapration unit for selling.Alternatively this can also be converted to flakes
on flakers unit.

HCI SYNTHESIS :-

Burning hydrogen and chlorine in graphite furnance chamber produces HCI gas . the
HCI gas so produced is scrubbed in water to produce 30% hydrochloric acid.

WASTE AIR DECHLORINATION :-

All chlorine bearing waste streams from the plant are scrubbed in dilute caustic soda lye
solution to produce sodium hypochlorite.

21
PLANT LAYOUT

Plant layout refers to the development of an arrangement, which will permit the most
efficient flow of work form the standpoint of distance and cost.

The plant layout activity is one in which consideration is given to following things:
1. The arrangement of production an service departments in the plant
2. The arrangement of production facility with which the operator must work at a
particular work station in one theses department.

SELECTION OF LOCATION

There was no regional advancement before the establishment of the factory. Veraval
region was very much backward in terms of industrial activities. People over here were
also socially as well economically backward. So the government decided to develop the
area with the establishment of the factory. For this the land cost guarantee an various
other incentives like smooth supplement of the water an electricity were also provided by
the Govt. up to 1979.

From 1979 the company has established its own Power Plant and water supplement from
Govt. is still continue but the Co. has to pay the water charges as per the Govt. rule. This
industry was not paying octroi duties local Veraval city.

22
 Material Handling
“Material handling is the art and the science involving the movement, packing and
storing of substance in any form.”
-- American Handling society

Material handling can be defined as “Controlling the amount, location, movement and
timing of the various commodities used in and produced by the industrial enterprise.”

IR&IL Co. is totally using the automatic process for production, but at certain stage it
uses equipment for the shifting of raw materials. The company uses trolly as an
equipment for material handling in its Viscose Section to brought up the woo pulp form
the storage department an in after treatment department to puts the cakes in washing an
knitting. After the last stage of the production, the final product is sent to the packing
section with the help of trolly.

Many a times IR&IL Co. uses

• Conveyers
• Rails
• Cranes
• Trucks
For the supply of raw material to various departments.

The Diesel Power House of the IR&IL Co. uses conveyer belts for the supply of coal
that is imported form Bihar.

Whereas the other raw materials like woo pulp, sulphur etc. are brought by land route i.e.
rails and truck to the factory.

23
 WCM Excellence Model for Competitive Advantage

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t io n
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Q u a l i t y F i r s t :
S Q M a n d
B e s t P r a c t i c e s

S hare
h o l d e r ’s V a l u e

WCM POLICY followed by IR&IL Co.

→ To maximize equipment effectiveness
→ Achieve zero breakdowns, zero defect, zero accident and eco-friendly
environment through innovative methods with total involvement of our
employees and b continuous upgradation of technology.

This will lead us to excellence and perfection in all spheres of management, to be

globally competitive and preferred choice of customers.

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 Purchase Department

Purchasing function is the heart of any business and it is suppose to be cast goldmine to
profits.

“The task of purchasing is related to going to the open market, fining the desire
material at the lowest possible price and selecting the supplier to offer minimum
prices having required quality of material.”
s in :-
• Purchase the right quality of material
• To purchase right quantity of material
• To make the material available at right time
• To purchase the material at right price
• To purchase material from right source

PURCHASE PROCEDURE OF IR&IL Co.

INVENTORY DEPARTMENT
Inventory dept. of IR&IL Co. uses Scientific Mounting Level Method. In this Co.
inventory control is long process.

Any dept. that is in need of any material prepares an indent. This indent includes the
information like quality, quantity, requirement etc. this indent after filing it is sent to the
purchase dept. of the Co.

PURCHASE DEPARTMENT
Purchase dept. of IR&IL Co. makes inquiry about the material from the suppliers and
collects quotation from the suppliers.

While placing the purchase order IR&IL Co. considers the following factors.
• Old rate of the product
• Lowest bids
• Reputation of supplier
• Delivery period
• Payment terms
• Technical evolution
• After sales service
• Performance guarantee

The above quotations are comparing on the basis of comparison chart which they prepare
with the help of all the information. The decision of purchase is one by the authority.
The purchase order is placed on the basis of feasibility. So, we can say that IR&IL Co.
Applies Integrated Material Management Concept.

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 Store Department
The store dept. of the IR&IL Co. receives the raw material which was ordered from the
supplier. This dept. prepares Good Receipt Note (GRN). One copy of GRN is sent to that
Dept. which has place an indent.

Particular dept. approves the materials and sends requisition to store dept. and collect the
material. On the basis of GRN, final invoice is paid Account dept.

Plant Maintenance
“Plant maintenance ensures that all production facilities are in serviceable condition
at required time, causing no production hold-up, interruption, or loss of individual
efficiency for operation.”

The objective of plant maintenance is to improve functional reliability of production

facility to grab opportunities.

IR&IL Co. follows World Class Manufacturing Policy (WCM) of plant maintenance,
which it has adopted in the recent years. However formerly it was using Total Productive
Maintenance (TPM) of plant maintenance.

INVENTORY CONTROL METHODS

Inventory control is one of the key factor on the basis of which the company can take ,
Decisions on the behalf of that the cost can be controlled if the company is having a very
good control on the inventory then the cost can be controlled more effectively.

The inventory control helps the company in forecasting the feature demand of the goods
as per the requirement of the production and the market.

The commonly used inventory control method that a company uses are the EOQ and
ABC

EOQ :- [economic order quantity ]

In this method the feature demand of the inventory is been identified as per the
requirement of theindustry, the key frocus in this type of inventory control method is the
optimum utilization .

ABC :- [always better control ]

In this type of the inventory control method the name it self states the use and potentiality
which lies in theis method.in this method the goods are divided in such a way that ,in
response to its use and orde and cost as the goods are divided in parts as acoording to
A ,B ,C .

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 (IR&IL ) SUPPLY AND CHAIN MANAGEMENT

MANUFACTURING
CYCLE TIME

MATERIAL
DELIVERY HANDLING
SCHEDULE

JIT &
PLANNING INVENTORY
MANAGEMENT REDUCTION
SUPPLY CHAIN

MANAGEMENT
SINGLE MINUTE
EXCHANGE DIE LEAD TIME

CAUSTIC
CHANGE OVER

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 Quality Control
“Quality is an asset which may be offered to the potential customer of a product or a
service.”
It mainly depends upon two factors:
1. product – Service design
2. operating System – makes a product/provides a service
Quality Policy, we are committed to
• Meet customer’s expectation of quality an services in
premium segment.
• Maintain high morale of employees
• Use eco-friendly technology and maintain pollution free
environment.

Environmental Policy
We believe that preservation of environment
Is essential for the survival of our business,
Employees, society and surroundings.
We shall achieve it with the involvement
Of our workforce, vendors, customers and neighborhood.
Major Function undertaken by IR&IL Co.:
• Regular checking of set parameters.
• Checking individual
• Checking of abnormality in the process
• Highlighting the variation from the set operation procedures/parameters.

TECHNICAL SALES:
• Regular market visits to meet consumers demand.
• Regular comparison of yarn quality and physical properties of other manufacturer
• Checking and suggestion to eliminate market complains

IMPROVEMENT CELL:
• Analysis of Breakdown and Stoppage of process
• Suggestion for improvement in existing operational system for better plant control
• To carry out study on specific problem/effect and to suggest their steps
• To develop different shades / product for sales promotion

IR&IL Co. has receive Occupation Health & Safety Assessment series 18001-1999
(OHSAS) certificate and it is the first company to receive ISO 9002 certificate in Rayon
industry in Nation. It has also received 14001 Environment certificate.

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