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Dabur India Ltd.
Summer Internship Report – Dabur India Ltd.
Summer Internship Report on ‘Waste Control on Anmol Coconut Oil Packing Chain’ completed at Dabur India Limited, Sahibabad.
This report is submitted in partial fulfillment of the requirements for the Summer Internship Evaluation in the Second Semester at Vinod Gupta School of Management, IIT Kharagpur (2011-2013).
Under the Guidance of
Mr. Sukhveer Singh Production Manager, Dabur India Ltd.
Under the Faculty Guidance of
Prof. Parama Barai VGSoM, IIT Kharagpur
Madhvi Agrawal 11BM60038
Vinod Gupta School of Management, IIT Kharagpur
Dabur India Ltd.
I wish to thank Dabur India Limited for giving me an opportunity to work at their Manufacturing unit at Sahibabad as a part of my Summer Internship during the Master of Business Administration course at Vinod Gupta School of Management, IIT Kharagpur, the Internship period being May 9th 2011 to 8th July 2011. I would like to thank my College Guide, Prof. Parama Barai for helping me sail smoothly through the project that I have worked at. I also want to convey my sincere, heartfelt thanks to my Guide at Dabur India Ltd. – Mr. Sukhveer Singh, Manager Production. Without his assistance, it would not have been possible to complete my project in a span of two months. I would also like to thank all the concerned people of Dabur India Ltd. family for their cooperation and Mr. B. C. Verma, Asst. Officer- Production, in particular, for his readiness in sharing his knowledge about Dabur India Ltd. and the FMCG sector in general. I would also like to thank my parents, friends, other colleagues and my college faculty who have always been very cooperative whenever I have needed them. In the end I would like to thank all those who have been associated with my Summer Internship and this Project Report.
Table of Content .Vinod Gupta School of Management. IIT Kharagpur Dabur India Ltd.
This report provides a background to the said problem.Vinod Gupta School of Management. The report covers the first project which aimed to identify the synergy areas in Logistics in the recent acquisition of Paras Pharma Limited. on the increased volumes. it was desired to identify the main areas of improvement and consequently quantify the potential financial benefits. while making appropriate suggestions. literature. post the acquisition. methodology and discusses the results obtained in detail. IIT Kharagpur Dabur India Ltd. explains the methodology and finally tabulates the results as per the intended objectives. identifies objectives. . Executive Summary The main aim of this report is to discuss the project that was completed at Dabur India Limited as a part of the Summer Internship. background. The report follows a structured approach to the problem by listing out the objective. Leveraging.
Home Care and Foods. Dabur is today India‟s most trusted name and the world‟s largest Ayurvedic and Natural Health Care Company with a portfolio of over 250 Herbal/Ayurvedic products. Dabur's overseas revenue today accounts for over 30% of the total turnover. Its brands are highly popular in the Middle East. Europe and Russia. Oral Care. Health Care. to our shareholders. Building on a legacy of quality and experience of over 127 years. We will provide consumers with innovative products within easy reach and be responsible citizens with a commitment to environmental protection. .000 Crore). The company has a wide distribution network. covering over 2. Dabur's products also have a huge presence in the overseas markets and are today available in over 60 countries across the globe. relative to our peer group. Africa. within and outside India. Its FMCG portfolio includes five flagship brands with distinct brand identities. US. Skin Care.8 million retail outlets with a high penetration in both urban and rural markets. Vision Dabur is committed to its vision of „being dedicated to the health and well being of every household. SAARC countries. In FMCG sector.283 Crore) & Market Capitalization of US$4 Billion (Rs 20. Dabur operates in Hair Care. we will focus on growing our core brands across categories. Also we will provide superior returns. IIT Kharagpur Dabur India Ltd.‟ Our strategic intent is to significantly accelerate profitable growth. Company Background Dabur India Ltd. To do this.Vinod Gupta School of Management. is one of India‟s leading FMCG Companies with Revenues of US$1 Billion (over Rs 5. reaching out to new geographies. and improve operational efficiencies by leveraging technology.
Dabur International and NewU and several step down subsidiaries: Dabur Nepal Pvt Ltd (Nepal). Naturelle LLC (Ras Al Khaimah-UAE). behave and conduct our business in order to deliver on our vision: Ownership Passion for Winning People Development Consumer Focus Teamwork Innovation Integrity Organization Structure DIL operates through two major Strategic Business Units (SBU) : Consumer Care Business and International Business Division (IBD) Two Subsidiary Group companies . Asian Consumer Care (Pakistan).Vinod Gupta School of Management. IIT Kharagpur Dabur India Ltd. African Consumer Care (Nigeria). . Dabur Egypt Ltd (Egypt).4 million retail outlets all over India. Values Our core values are a set of guiding principles through which we think. more than 5000 distributors and over3. Weikfield International (UAE) and Jaquline Inc. It has 17 ultra-modern manufacturing units spread around the globe. (USA). Wide and deep market penetration with 50 C&F agents. Asian Consumer Care (Bangladesh).
cold. fever. Chyawanprash has antioxidant properties and strengthens the immune system of the body. Energy drinks are ready source of energy to fight tiredness. Dabur also provide prescription drugs for cancer patients. IIT Kharagpur Dabur India Ltd. These categories together account for the 12 power brands owned by the company: Personal Care It includes hair care items which provide natural nourishment to your hair. flu. sore throat. Key Brands Hajmola Dabur Chyawanprash Dabur Janma Ghunti . giving it body & radiance while taking care of the critical balance of nutrients. Brands Consumer Care Business addresses consumer needs across the entire FMCG spectrum through four distinct business portfolios of Personal Care. Health Care. Home Care & Foods. Key Brands Vatika Dabur Uveda Fem Babool Dabur Red Toothpaste Health Care Dabur offers a range of health supplements for common health problems. constipation etc. Denture Care consists of toothpastes and tooth powder. indigestion.Vinod Gupta School of Management. Cold/Flu/Sore Throat and Gastro-Intestinal are generally over the counter medications for common ailments like pain. Ayurvedic beauty products and natural herbal care products give you a spotless and glowing fairness. Analgesics.
Lavatory cleaners offer specialized cleaning and disinfecting for the toilet bowl and cistern. positioned under the convenience platform. Glucose D Home Care It includes disinfectant cleaners both to clean and disinfect surfaces. Honey has been used for its medicinal and therapeutic value for centuries in India. but also have all the necessary nutrients that keep you active all day long. Mosquito repellant cream or gel offers the most effective protection from mosquitoes. particularly in the bathroom and kitchen. Chikungunya. Filaria and Encephalitis etc. the carriers of deadly viruses that cause diseases like Dengue. All purpose cleaners are ideal for many household surfaces. Key Brands Sani Fresh Odomos Odonil Foods It includes juices made from best quality fruits.Vinod Gupta School of Management.9% of germs. Key Brands Dabur Honey Real Hommade . which do not have artificial flavors and preservatives. Dabur's culinary range includes a range of Cooking pastes. IIT Kharagpur Dabur India Ltd. Malaria. killing 99. and offers not just great taste. Tomato Puree and Coconut Milk. Air freshener removes odors and adds fragrance to the air to create an ambience.
Major categories in traditional formulations include: Asav Arishtas Ras Rasayanas Churnas Medicated Oils Proprietary Ayurvedic medicines developed by Dabur include: Nature Care Isabgol Madhuvaani Trifgol Division also works for promotion of Ayurveda through organised community of traditional practitioners and developing fresh batches of students. 5. depreciation and . the Middle East. This division contributes to about 30% of total sales. Currently.6%. Focus markets are GCC. Egypt.077. Earnings before interest. Emphasis is on high level of localization of manufacturing and sales & marketing. Nigeria. IIT Kharagpur Dabur India Ltd. North & West Africa. EU and the US with its brands Dabur & Vatika. registering a growth of 29. the company‟s consolidated Sales increased to Rs.Vinod Gupta School of Management. Bangladesh. spanning Nepal.2 crores in ﬁscal 2011-12 from Rs 4. It leverages the 'Natural' preference among local consumers to increase share in personal care categories. International Business Division (IBD) It caters to the health and personal care needs of customers across different international markets. It also has more than 300 products sold through prescriptions as well as over the counter.283.4 crores in ﬁscal 2010-11. Nepal and US. taxes. Bangladesh. Consumer Health Division (CHD) It offers a range of classical Ayurvedic medicines and Ayurvedic OTC products that deliver the age-old benefits of Ayurveda in modern ready-to-use formats. Financials DIL has been consistently growing at a fast pace over the past decade.
4 crores in ﬁscal 2010-11. .6 crores in 2011-12.Vinod Gupta School of Management. 833. Consolidated proﬁts after tax (PAT) went up to Rs. amortization (EBITDA) increased to Rs. IIT Kharagpur Dabur India Ltd.7%.9 crores in ﬁscal 2011-12 from Rs. 947. registering growth of 13. from Rs.25 in ﬁscal 2010-11.68 in ﬁ scal 2011-12 from Rs. 3.4%. going up by 13. 644. 568.6 crores. 3. Earnings per share (EPS) went up to Rs.
assembly line should be studied again for measuring its effectiveness. In the third phase the focus was on the root causes and to find out a feasible solution to eliminate or minimize them. IIT Kharagpur Dabur India Ltd. Once identified. in order to focus on few critical problems. Objective The aim of this project was to control wastage on Coconut Oil Packing Line to reduce cost and increase operational efficiency. first phase involves study of the packing line for Anmol Coconut Oil to find out the abnormalities. . In the second phase.Vinod Gupta School of Management. Suggest a permanent corrective action based on the analysis. Study the current assembly line and identify abnormalities. The project was divided into three phases. Accordingly. and the losses incurred because of them. they can now be backtracked to their root cause. Perform statistical analysis of the problem and focus on the origin of the problem by determining its root causes. After implementing the solution. it is required to quantify these abnormalities.
Top management announced TPM in Sahibabad manufacturing unit in Mar‟11and created and environment that supported the introduction of TPM. maintenance management systems and new technologies. time savings. Since then the Company has implemented TQM for other functional areas and plans to make TPM an integral part of the production processes of your Company. benefits. After that a formal education program was launched to inform and educate everyone in the organization about TPM activities. IIT Kharagpur Dabur India Ltd. This group needed to include members from every level of the organization from management to the shop floor. An organizational support structure was created to promote and sustain TPM activities once they begin. The results were encouraging. Background In 2002-03.Vinod Gupta School of Management. and resulted in lower rejection of raw materials. Attainable. Basic TPM policies and quantifiable goals were established to analyze the existing conditions and set goals that are SMART: Specific. and Time-based. Realistic. The first lean concept . Total Quality Management (TQM) techniques were implemented on a pilot basis at two plants in the area of statistical process control. equipment restoration and improvements. Outline a detailed master deployment plan. and made the procurement process more efficient. Team-based activities are essential to a TPM effort. Measurable. TPM kick-off / Implementation Phase started on 1st Nov‟11. and the importance of contribution from everyone. This plan will identify what resources will be needed and when for training. This structure will promote communication and will guarantee everyone is working toward the same goals.
Vinod Gupta School of Management. IIT Kharagpur Dabur India Ltd. .
RPP has a production plan for three months. On receipt of the consignment. Regarding quality of RM/PM. QA performs lab testing and if approved makes the entry in the „approved stock‟ from where it is made available to the production department. Dabur migrated to the German company SAP as their ERP software provider in April 2006 and implemented a country wide new WAN infrastructure for running centralized ERP system. by increasing the number of shifts. this budget is only to give an overview and the actual production takes place according to Rolling Production Plan (RPP) distributed to each plant each month for the next three months by the Corporate Supply Chain Cell (CSCC) Department in the Head Office. However. The plant has to meet the RPP provided by CSCC and can enhance the capacity if required by identifying and removing bottlenecks. proper cleaning of machines is . further breakdown on a daily basis. planning different shifts and planning how the production will be done in different SKUs. specifications are already given to the approved vendor. Survey of Literature Functional Working of the Production Department The department gets an annual budget every February which is derived from historic data. Based on marketing forecasts. adjusted for the growth rate that the company wants to achieve. Backward scheduling is done with the help of SAP for Raw Material(RM) Packing Material(PM) Manpower Requirements Capacity Production Planning at the unit involves carrying out the RPP smoothly while planning for breakdown into smaller buckets.Vinod Gupta School of Management. however only first month plan is fixed. The next two months plan is tentative and is susceptible to change. Since Dabur manufactures Ayurvedic medicines which have high chance of contamination. This helped in achieving higher levels of excellence and efficiency. by increasing productivity. by overtime and line balancing. IIT Kharagpur Dabur India Ltd. The factory performance is measured by the achievement norm and it should be between -1% to +5% of the RPP.
if any Released/ Not Released The process of production is as per „Master Batch Formula‟ (MBF) and the work on the floor is done according to „Standard Operating Procedures‟ (SOP). products that are similar in some ways are packed on the same line. This is an additional activity performed by the production performer to ensure smooth production. And if the product requirement in RPP is not in multiple of its batch size. production performer watches the availability of material every time and informs the shortages from time to time. Lubricating. MRP takes the end product requirements. request is sent to CSCC to revise RPP. A Batch Processing Record (BPR) is generated for each batch while manufacturing the bulk as well as packing. MRP software is run on 13th of every month for the next month. Packing section has employed group technology and has a product family specific layout i. . done before changeover as part of CLIT (Cleaning. This ensures smooth and uniform working. In addition to monitoring by software. RM tags are attached to BPR to track down any problems detected at a later stage. IIT Kharagpur Dabur India Ltd. Badam Tail and Janm ghunti are packed on the same line because they come in small packages and similar kind of bottles whereas lauhasava is packed on different line. For instance. Inspection and Tightening). thorough verification is done by in process-quality-assurance (IPQA) at each step.e. Also. Material Procurement is done centrally by the „Central Planning and Procurement Department‟ (CPPD). routing information and bill of material (BOM) from the recipes (Masters) to create a materials plan. The batch size is fixed for different products based on the equipment capacity and ratio of ingredients. A BPR contains: Material List Plant/Line Clearance Precautions to be taken in process Equipment Checklist Cleaning and Sanitation Records Process Steps Final Measurement Values and the Specifications Deviations. It is required to deliver the product in time.Vinod Gupta School of Management.
No special skills are required to learn work at any step of the line. terminal inspection is done according to „Product Appearance Sheet‟ (PAS).Vinod Gupta School of Management. This makes it easy for the supervisor to rotate . The packing is also monitored by IPQA and once packing is done. they are sent for invoicing. IIT Kharagpur Dabur India Ltd. The work has been tactfully fragmented into small components. Process Flow (Coconut Oil Packing Chain) The entire line is connected through conveyor belts for smooth movement of goods from one station to another. Once the finished goods (FG) are cleared.
2. Mundane tasks also make it possible to transfer workers from one chain to another. The different types of defects on coconut oil packing chain are Defect 1. No Coding Picture Description The container moves ahead in the line without being coded. It has identified different types of defects that result in rejection of the finished goods for all products. workers from one part of the line to other.Vinod Gupta School of Management. thus making it illegible. Over Coding The coding overlaps the text on the sleeve. State the recent improvement in line Types of Abnormalities in Coconut Oil Packing Chain Quality Assurance Department ensures quality at various stages of the production. IIT Kharagpur Dabur India Ltd. .
Smudgy Coding The code is not readable. 5. . 6. Poor Sealing There is leakage because of improper sealing. IIT Kharagpur Dabur India Ltd. Double Taggering 2 or 3 seals overlap on a single container.Vinod Gupta School of Management. 4. 3. Blister Container There is a hole in the sleeve.
they can be addressed and remedied. Pareto Analysis It can be described as the 80/20 rule applied to quality-control. Two basic tools of quality control were used for the analysis of abnormalities. In practice.Vinod Gupta School of Management. then. Outside Panel Coding The coding falls outside the intended window. It essentially states that 80% of quality problems in the end product or service are caused by 20% of the problems in the production or service processes. it is beneficial to separate “the vital few” problems from “the trivial many. thus efficiently obtaining quality. 7. 8.” and thereby identify the individual problems that can be fixed and most drastically benefit the end product or service. IIT Kharagpur Dabur India Ltd. . it would be beneficial to the business to have tools by which quality could be measured. Poor Sleeving Improper placement of sleeve on container. Concepts Deployed Since quality is an important factor in the successfulness and longevity of any business. Once these problems are identified.
time. They are commonly used for product design and quality defect prevention. computers. parts. . pens. to identify potential factors causing an overall effect. Each cause or reason for imperfection is a source of variation. such as location. used to produce the final product Measurements: Data generated from the process that are used to evaluate its quality Environment: The conditions. IIT Kharagpur Dabur India Ltd.1 Example of Pareto diagram Cause and Effect Diagram These diagrams (also called fishbone diagrams) are causal diagrams created by Kaoru Ishikawa (1968) that show the causes of a specific event. regulations and laws Machines: Any equipment. required to accomplish the job Materials: Raw materials. temperature. rules.Vinod Gupta School of Management. Causes are usually grouped into major categories to identify these sources of variation. such as policies. procedures. etc. and culture in which the process operates. Fig 1. tools etc. paper. The categories typically include: People: Anyone involved with the process Methods: How the process is performed and the specific requirements for doing it.
Continuous Improvement in Operations: A Systematic Approach to Waste Reduction (Cambridge. IIT Kharagpur Dabur India Ltd.2 One format of a cause-and-effect diagram Cause-and-effect diagrams can reveal key relationships among various variables. and the possible causes provide additional insight into process behavior. . 5W2H Analysis It is a method of asking questions about the current process can lead to important insights about why the current process is not working as well as it could.Vinod Gupta School of Management. 246. Fig 1. 1991). Source: Adapted from Alan Robinson. p. MA: Productivity Press. as well as potential ways to improve it.
IIT Kharagpur Dabur India Ltd. Operators A data collection chart was prepared which divided the wastage in two parts i. Common measurements are frequency. Pareto Chart Procedure 1.. “Find some scientific term for it” Data was collected for 6 hrs in slots of 2 hr each for one month. 3. . before sending the packaged goods to warehouse. Methodology The methodology adopted involves documentation. (Or assemble data that already exist.) Subtotal the measurements for each category. measurement and analysis for the purpose of improving the functioning of the process. EXCEL Data Collection: Data Collectionequired attention For data collection. 5. recording the category each time. frequently monitored to minimize the occurrence of common defects. Decide what categories you will use to group items. The defects that require same amount of manpower and time for rework were kept in one group. 2. Decide what period of time the Pareto chart will cover: One work cycle? One full day? A week? Collect the data. This matrix gave us the focal points in the assembly line. It can be briefly listed out as below for the different phases of the project: Quality Assurance Matrix: Detailed process flow was created including all fragmented steps from procurement of raw material to terminal inspection. Decide what measurement is appropriate. we need to identify the location on the line where the defects occur. Types of defects were broadly classified based on the type of action taken for the defected goods. The operator on the line was asked to put the defected bottles aside. were mapped against each step in the entire process. 4. Supervisor was briefed about the survey and asked for assistance.Vinod Gupta School of Management. Rework and Scrap. quantity. Quality characteristics. cost and time. from where data needs to be collected for Pareto analysis.e.
they can be grouped as “other.) Mark the scale on the left side of the chart. pages 247–249. Construct and label bars for each category. Causes can be written in several places if they relate to several categories.Vinod Gupta School of Management. Calculate the percentage for each category: the subtotal for that category divided by the total for all categories. 2. Calculate and draw cumulative sums: Add the subtotals for the first and second categories. 5. The maximum value will be the largest subtotal from step 5. If this is difficult use generic headings: Methods Machines (equipment) People (manpower) Materials Measurement Environment 3. and place a dot above the second bar indicating that sum. Continue the process for all the bars. 6. Write it at the center right of the flipchart or whiteboard. Second Edition. If there are many categories with small measurements. When the group runs out of ideas.html Fishbone Diagram Procedure Materials needed: flipchart or whiteboard. Again ask “why does this happen?” about each cause. Write sub–causes branching off the causes. Draw a box around it and draw a horizontal arrow running to it. the left measurement that corresponds to one-half should be exactly opposite 50% on the right scale. 9. and place a dot above the third bar for that new sum. Brainstorm all the possible causes of the problem. To that sum add the subtotal for the third category. 6. Tague’s The Quality Toolbox. the facilitator writes it as a branch from the appropriate category. 7. Write the categories of causes as branches from the main arrow. 2004. Place the tallest at the far left. The last dot should reach 100 percent on the right scale. starting at the top of the first bar. References: Excerpted from Nancy R. 8.org/learn-about-quality/cause-analysis-tools/overview/pareto. Ask: “Why does this happen?” As each idea is given. . IIT Kharagpur Dabur India Ltd. Connect the dots. Be sure the two scales match: For example. Continue to ask “Why?” and generate deeper levels of causes.” Steps 8 and 9 are optional but are useful for analysis and communication. marking pens. the maximum value will be the sum of all subtotals from step 5. focus attention to places on the chart where ideas are few. Agree on a problem statement (effect). then the next tallest to its right and so on. References: http://asq. Brainstorm the major categories of causes of the problem. 1. Draw a right vertical axis and label it with percentages. 4. Determine the appropriate scale for the measurements you have collected. Layers of branches indicate causal relationships. (If you will do optional steps 8 and 9 below. ASQ Quality Press.
Vinod Gupta School of Management.com/templates-forms/8708-creating-pareto-charts-with-microsoft-excel/# . IIT Kharagpur For creating pareto chart: Dabur India Ltd.brighthubpm. http://www.
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