An

INDUSTRIAL TRAINING REPORT

On
SUPPLY CHAIN EFFICIENCIES AND IMPROVEMENT INITIATIVES
At

Final Semester Training

Submitted for the partial fulfillment for the award of
Degree of
Bachelor of Technology
In
MECHANICAL ENGINEERING
MAHARSHI DAYANAND UNIVERSITY, ROHTAK
SESSION - (2013-2017)
SUBMITTED BY:-
Mr. VIKRAM CHAUDHRY. ROLL NO- (13/ME/113)

UNDER THE GUIDANCE OF SUBMITTED TO-

(Mr. VIMAL CHAUDHARY ) ( Mrs. ANITA BHALLA ) ( Dr. LAJPAT RAI )

B.S. ANANGPURIA INSTITUTE OF TECHNOLOGY & MANAGEMENT,

ALAMPUR, FARIDABAD
 DECLARATION

I Vikram Chaudhry, hereby declare that the work presented in the Project Report
Entitled “Supply Chain efficiencies and improvement initiatives” Submitted to
Department of Mechanical Engineering, B.S.A.I.T.M, Faridabad, in partial
fulfillment of the requirement of the award of degree of Bachelor of Technology
in Mechanical engineering is the record of bonafide work carried out by me
during the period January 2017 to May 2017 under the guidance of Mr. Ashok
Bhatia Certified that matter embodied in this project work has not been
submitted by any other person for the award of any other degree.

Signature of the student

 ACKNOWLEDGEMENT
I would like to show my gratitude to Mr. Vimal Chaudhary ,Manager, Materials for
giving me an opportunity to work on the topic Inventory optimization and removing
inefficiencies in supply chain under his guidance.
I am thankful to my friends for their support and suggestions.
I am indebted to my parents for their support, love and for providing me all the
resources.

Vikram Chaudhry
 CERTIFICATE

This is to certify that Mr.VIKRAM CHAUDHRY of Bachelor of Technology (B.TECH

Mechanical) has successfully completed Industrial Training on the topic Supply
Chain Efficiencies And Improvement Initiatives from Escorts Ltd Agri Machinery
Group Tractor Plant-3 Powertrac Division Plot-3, Sector-13 Faridabad, for partial
fulfillment for the award of degree of Bachelor of Technology in Mechanical
Engineering. The Industrial Training report being submitted by him is genuine work
done by him and the same is being submitted for evaluation.

Signature

Company’s Executive with seal

 INDEX

 Introduction about Escorts

 Escorts Agri Machinery
 Supply chain
 Supply chain management
 Project Shikhar
 Pick list
 Bill of material
 Identification of BOM errors
 Investigation of slow moving items through FSN
 Milk run
 Line Mapping
 Conclusions
 Reference
Escorts Group was founded in 1944 by two brothers, Hari Nanda Yudi Nanda, in the
name of Escorts Agents Ltd. in Lahore
Escorts Group’s management team includes Rajan Nanda as the Chairman and
Managing Director and Nikhil Nanda as the Managing Director
Escorts Agri Machinery (EAM)
Escorts Agri Machinery was launched in 1960. The company
manufactures tractors under the brand names of Farmtrac, Powertrac and
Steeltrac It has four manufacturing plants in Faridabad and one subsidiary unit in
Poland in the name of Farmtrac Europe.
Escorts Construction Equipments (ECE)
Escorts Construction Equipment manufactures and markets construction and
material handling equipment like pick and carry cranes, backhoe loader, vibratory
rollers and forklifts. The manufacturing and assembly facility is located in
Faridabad.
Escorts Railway Products (ERP)
Escorts Railway Products manufactures and supplies critical railway components
such as air brake system, EP brake system, draft gears and couplers, composition
brake blocks, dampers and rubber components to Indian Railways.
Escorts Auto Products (EAP Escorts Auto Products manufactures auto suspension
products such as shock absorbers, struts and telescopic front forks for the
automotive industry. The company collaborated with Fichtel & Sachs, Germany to
introduce the concept of shock absorbers manufacturing in India in 1966. The
manufacturing unit is located in Faridabad.
A leading agricultural equipment brand, Escorts Agri Machinery (EAM) offers the
widest range of tractors to suit the needs of every farmer and contractor. A part of
Escorts Group, EAM is one of the most awarded brands for its trail blazing and
accessible technology which improves farming efficiency and productivity.
EAM currently provides technologically superior range of 12 HP to 75 HP tractors
with its two stars Farmtrac and Powertrac. EAM has earned success and goodwill
amongst customers by empowering them to be successful cash crop producers and
other agricultural related professionals. EAM's widest offerings of innovative
products and services includes a full line equipments from tractors to other crop
solutions that is complemented by customized financial services from an arena
national and regional financial service providers.
EAM's state-of-the-art plant at Faridabad is designed on international model of
manufacturing facilities. The plant has been awarded various ISO certifications and
aggressively drives Health, Safety & Quality initiatives.
With a growing network of over 800 customer touch-points, EAM ensures the
satisfaction of the customer base of over 14, 00,000 and also promises maximum
uptime of their tractors and equipment. The customer touch-points are well
equipped with the trained manpower to deliver best in class assistance to
customers. Also, EAM has a well-equipped training center in the outskirts of
Bengaluru, which provides dealers and technicians necessary training to keep them
up to date on trouble shooting and product care in terms of minimum turnaround
time and quality of work.
Being the first agricultural machinery company in India to offer most appropriate
and advanced mechanization solutions to Indian farmers for enhancing crop
productivity, EAM has earned goodwill in the eyes of the customers. With a sound
understanding of the fact that farmers are increasingly adopting smart farming
methods, EAM has taken farm mechanization to new level and has helped farmers
to enhance productivity as well as quality of food grains resulting in reaping smarter
returns to farmers. Thus, with the widest range of agricultural equipment and farm
mechanization solution, EAM has a huge potential and scope to unleash new
avenues and cater to the needs of emerging agricultural market.
 PRODUCTS
FARMTRAC (FT)

Farmtrac is a tractor that will always remain ahead of time. It is equipped with
modern engineering and machines with extreme power and traction, which can
pull bigger traction with greater efficiency. This premium range of tractors is
available in the range of 37 HP to 75 HP. It is a high performance, versatile rugged
machine with maximum comfort for the driver. Framtrac series of tractors is
definitely machines that have style with substance.

FARMTRAC IS AVAILABLE IN THREE SERIES:

 XP Series: This series of tractors have power ranging between 37 HP to 41 HP. It is
the starting range of the Farmtrac series and is the most fuel efficient range by
Escorts.
 Jai Kisan Series: This series of tractors range between 45 HP to 50 HP and are
known as the mid-range iconic Framtrac 45 and Farmtrac 60. They are well
equipped with all the features of Farmtrac tractors.
 Executive Series: Available between the power ranges of 45 HP to 75 HP, the
Farmtrac Executive Series is the most modern machines in the tractor market. With
maximum Engine Power, these tractors offer enormous pulling power and
performance, which they intelligently transform into pure efficiency. With
powerful leading qualities, the new executive series of tractors are the top
 contender for an executive position in your farming business. Executive Series is
also available with 4X4 option

POWERTRAC (PT)

Powertrac is a series of tractors designed especially for Indian farmers. It is offers

maximum power & fuel efficiency at an attractive value for money proposition. It
is industries most efficient tractor with power ranging between 25 HP to 55 HP.
This unique combination of power and efficiency is India's frugal engineering with
European Finesses.

POWERTRAC IS AVAILABLE IN THREE SERIES:

 Diesel Saver Series: It is the starting range of Powertrac series and is the most fuel
efficient of the series. Available in the power range of 25 HP to 37 HP Cat.
 DS Plus Series: Available in the power range of 37 HP to 45 HP, this series of tractors
is not just fuel efficient but offers maximum power and efficiency.
 Euro Series: With power range of 37 HP to 50 HP Cat, the Powertrac Euro Series is
a technological marvel where for the first time style & comfort comes without
compromising with power & performance. This tractor comes with car like comfort
and curves.
 ALT Series: Available in two HP categories, ALT Series is India's first application
specific commercial tractor range aimed at Haulage application. This tractor series
comes with all haulage friendly features and technology.
 PRODUCTION UNITS
EAM consists of seven production units known as PU where assembly of various
parts of tractor is done. EAM produces 5000 tractors in farmtrac and powertrac
every month with around 130 tractors each day in a shift of 8 hours. The average
time required to assemble a single tractor is 3.69 minutes.

The different productions units in EAM are:

 FARMTRAC TRANSMISSION (FTM)
 FARMTRAC TRACTOR (FTR)
 FARMTRAC REAL AXLE (FRA)
 FARMTRAC ENGINE (FEN)

 TRACTOR ASSEMBLY PRODUCTION UNIT (TAPU)

 TRANSMISSION PRODUCTION UNIT (TPU)
 ENGINE PRODUCTION UNIT (EPU)

The store is maintained by TVS Logistics who looks after the receiving of materials,
feeding the material to the assembly line and also maintains the pick list for
efficient line feeding. They also keep a check of shortage of any kind of material.
 SUPPLY CHAIN

A supply chain is a system of organizations, people, activities, information,
and resources involved in moving a product or service
from supplier to customer.

Supply chain activities involve the transformation of natural resources, raw
materials, and components into a finished product that is delivered to the
end customer.

In sophisticated supply chain systems, used products may re-enter the
supply chain at any point where residual value is recyclable.

Supply chains link value chains.

There are a variety of supply chain models, which address both the upstream and
downstream sides. The SCOR (Supply-Chain Operations Reference) model,
developed by the management consulting firm PRTM, now part of
PricewaterhouseCoopers LLP (PwC) has been endorsed by the Supply-Chain Council
(SCC) and has become the cross-industry de facto standard diagnostic tool for
supply chain management. SCOR measures total supply chain performance. It is a
process reference model for supply-chain management, spanning from the
supplier's supplier to the customer's customer. It includes delivery and order
fulfilment performance, production flexibility, warranty and returns processing
costs, inventory and asset turns, and other factors in evaluating the overall
effective performance of a supply chain.

The Global Supply Chain Forum has introduced another supply chain model. This
framework is built on eight key business processes that are both cross-functional
and cross-firm in nature. Each process is managed by a cross-functional team
including representatives from logistics, production, purchasing, finance,
marketing, and research and development. While each process interfaces with
key customers and suppliers, the processes of customer relationship management
and supplier relationship management form the critical linkages in the supply
chain.
 SUPPLY CHAIN MANAGEMENT
 Supply chain management (SCM) is the management of the flow
of goods and services.
 It includes the movement and storage of raw materials, work-in-
process inventory, and finished goods from point of origin to point of
consumption.
 Interconnected or interlinked networks, channels and node businesses are
involved in the provision of products and services required by end customers
in a supply chain.
 Supply chain management has been defined as the "design, planning,
execution, control, and monitoring of supply chain activities with the
objective of creating net value, building a competitive infrastructure,
leveraging worldwide logistics, synchronizing supply with demand and
measuring performance globally.
SCM draws heavily from the areas of industrial engineering, systems
engineering, operations management, logistics, procurement, and information
technology, and strives for an integrated approach
The term "supply chain management" entered the public domain when Keith Oliver,
a consultant at Booz Allen Hamilton (now Strategy&), used it in an interview for the
Financial Times in 1982. The term was slow to take hold. It gained currency in the
mid-1990s, when a flurry of articles and books came out on the subject. In the late
1990s it rose to prominence as a management buzzword, and operations managers
began to use it in their titles with increasing regularity.
Commonly accepted definitions of supply chain management include:
 The management of upstream and downstream value-added flows of materials,
final goods, and related information among suppliers, company, resellers, and
final consumers.
 The systematic, strategic coordination of traditional business functions and tactics
across all business functions within a particular company and across businesses
within the supply chain, for the purposes of improving the long-term performance
of the individual companies and the supply chain as a whole.
Functions of Supply Chain

Supply chain management is a cross-functional approach that includes managing

the movement of raw materials into an organization, certain aspects of the internal
processing of materials into finished goods, and the movement of finished goods
out of the organization and toward the end consumer. As organizations strive to
focus on core competencies and become more flexible, they reduce their
ownership of raw materials sources and distribution channels. These functions are
increasingly being outsourced to other firms that can perform the activities better
or more cost effectively. The effect is to increase the number of organizations
involved in satisfying customer demand, while reducing managerial control of daily
logistics operations. Less control and more supply chain partners lead to the
creation of the concept of supply chain management. The purpose of supply chain
management is to improve trust and collaboration among supply chain partners,
thus improving inventory visibility and the velocity of inventory movement.
 PROJECT SHIKHAR

The main focus of the Project is inventory reduction and excess procurement
reduction. The scope of the Project starts from timely availability / dispatch of
material from Vendor to timely feeding to the Assy. Line for Production ensuring
“Right Material at the Right Location at the Right Time”.
There were 10 initiatives that were taken under Project Shikhar to achieve
efficiency in supply chain and inventory optimization.
They were:
1. Inventory norms dashboard: - There are certain norms that are decided by
the organization about the pack size, the number of days it should be
stored and the safety stock of the material.
2. Automated manual schedule release system in oracle (AMSR):- This
system was introduced to monitor the discrepancies in the schedule
generating software (I-2 supply portal)
3. Pick list generation process: -The line feeding should be done according to
the pick list generated through the system which would help to locate the
BOM error and would help in efficient line feeding.
4. Excess procurement warning dashboard: - This was used to check the
items which are procured more than the inventory norms.
5. Dynamic stop MRN: - This is used to dynamically stop the in warding of
those materials which are high highlighted by the procurement warning
dashboard.
6. Vendor negotiation on pack size: - It was a signoff taken with majority of
the local vendors after negotiating about the pack size on each component.
7. Vendor manage safety stock (VMSS):- It was a sign off taken with a
majority of vendors about the safety stock at vendor’s end either in days or
quantities
8. ASN implementation at vendor end: - ASN is the advanced shipment note
that was to be implemented at the vendor’s end against each invoice in
order to reduce the time of the vendor’s vehicle at the material gate. This
results in fast and efficient delivery of material.
9. JIT supply with high replenishment frequency: - The main aim of JIT is to
reduce the inventory carrying cost by increasing replenishment frequency.
10.Milk routing: It is a way to achieve JIT. In this a vehicle from Escorts will be
used instead of the vendors own vehicle to pick materials from the selected
local vendors. It is mainly done to reduce inventory at Escorts and faster
delivery of materials.
 BILL OF MATERIAL
 A bill of materials or product structure (sometimes bill of
material, BOM or associated list) is a list of the raw materials, sub-
assemblies, intermediate assemblies, sub-components, parts and the
quantities of each needed to manufacture an end product.
 A BOM may be used for communication between manufacturing partners,
or confined to a single manufacturing plant.
 A bill of materials is often tied to a production order whose issuance may
generate reservations for components in the bill of materials that are in stock
and requisitions for components that are not in stock.
A BOM can define products as they are designed (engineering bill of materials), as
they are ordered (sales bill of materials), as they are built (manufacturing bill of
materials), or as they are maintained (service bill of materials or pseudo bill of
material). The different types of BOMs depend on the business need and use for
which they are intended. In process industries, the BOM is also known as
the formula, recipe, or ingredients list. The phrase "bill of material" (or BOM) is
frequently used by engineers as an adjective to refer not to the literal bill, but to
the current production configuration of a product, to distinguish it from modified
or improved versions under study or in test.
In electronics, the BOM represents the list of components used on the printed
wiring board or printed circuit board. Once the design of the circuit is completed,
the BOM list is passed on to the PCB layout engineer as well as component engineer
who will procure the components required for the design.
At its most complex, a BoM is a multi-level document that provides build data for
multiple sub-assemblies (products within products) and includes for each item: part
number, approved manufacturers list (AML), mechanical characteristics and a
whole range of component descriptors. It may also include attached reference files,
such as part specifications.
 TYPES OF BOM ERROR: THERE ARE FOUR TYPES OF BOM ERRORS

 ADDITION: An item which is not in BOM but used physically is added in the
BOM
 Delete: An item which was physically used in the past but is now obsolete
but the system still shows it in the BOM needs to be deleted.
 Change in Quantity: An item in which there is a variation in the usage
between system and actual is a change in quantity error.
 Replace: An item which is replaced physically but is still used according to
the system comes under replace error. BOM is a very essential tool for
efficient line feeding and to have sufficient amount of inventory in the stores.
 PICK LIST
 A picking list is a document that is often used to pull particular items in
specific quantities from an inventory.
 The pulled items are either routed to a production floor for use in a
manufacturing effort or to fulfill an order placed by a customer.
 While the detail found on the list varies, the information is usually sufficient
to document the activity so that tracking systems within the overall
operational structure of the business are updated to reflect the
disbursements from inventory.
When a picking list is used to locate and pull goods to fulfill an order placed by a
client, the list often acts as the authorization to remove the goods from inventory.
Once the list is used to physically locate and move the goods to the order
fulfillment area, that same list can be used to update the inventory records. With
some systems, the picking list is actually generated in the inventory database,
placing the ordered items into a holding pattern until it is confirmed that the
goods have been pulled and are now in the possession of the order fulfillment
department. At that point, the detail on the picking list will be matched with the
purchase order of the customer, and a packing list is generated to accompany the
ordered goods to their destination.
In a similar manner, a picking list may be generated in order to pull specific items
for use internally, such as on a production floor. With this application, the line
items on the list are often created using details found on a departmental
requisition form.

The items are divided into three categories.

 A Class: cost more than Rs.500
 B Class: Cost lies between Rs.100 to Rs.500
 C Class: Cost less than Rs.100
 The items in the Pick list are divided according to the hour class as they
are fed on the line.
 The items listed as 2 in the hour class column are fed after every two
hours.
 The items listed as 4 in the hour class column are fed after every four
hours.
 The items listed as 8 in the hour class column are fed for the complete
8 hours such as hardware.
 IDENTIFICATION OF BOM ERRORS IN PT ENGINE
There are about 90 models of different engine assemblies in EPU which are
categorized into three categories.

Running: which is produced every week

Slow moving: which is produced once in two weeks
Obsolete: which is not use.

Therefore the main aim was to identify the BOM errors in the running modes
of engine assemblies by using the pick list.
All the items to be fed by the feeder from sub-assemblies to hardware is
mentioned in the pick list along with the feeder’s name.
The main job in this project was to ask and verify with feeder about the
quantity and the Decode of a particular item and if the feeder does not agree
with the pick list it was considered as a BOM error as the pick list is generated
from BOM.

The models that were checked are

 EURO-50 DC (DUAL CLUTCH)
 425 ORCHARD
 215
 95Q ALT
 4455 FACE LIFT SIDE SHIFT
On the basis of this data we made a summary sheet listing the number of A
class B class and C class errors in all these models.
The following data was forwarded to the Knowledge Management
Center (KMC) who reviewed our observation and some changes have
been implemented in the BOM matrix and there has been a reduction
in the inventory cost since then.
There are more Engine models that need to be checked accordingly.
 INVESTIGATION OF SLOW MOVING ITEMS FROM FSN.
FSN stands for fast, slow moving and non-moving items.
FSN sheet is generated through the system which consist of all such items for a
particular month.
The main aim of the project was to select all the slow moving items and further
investigate on them. The items are divided into three categories.
FAST MOVING: Those items which are used almost every day are known are fast
moving items.
NON MOVING ITEMS: The items which are obsolete but available in stores.
SLOW MOVING ITEMS: Those items whose inventory is stored for more than 135
days are categorized as slow moving. They would increase the inventory cost of the
company.
There were around 164 items that were selected as slow moving by the system i.e.
they were available in the store but the schedule for buying that particular item
was generated by the buyer.

On this basis we selected 20 items per day for investigation and divided the remarks
in three categories.
 BOM ERROR: If there was a BOM error it would result in a variation between
the amount of material received and WIP issue and hence the item is listed
in slow moving category.
 STOCK ERROR: There may be a change of stock error i.e. variation between
system and physical count which requires one time stock correction. This
generally happens if the BOM correction is done sometime in the past and is
not updated in the system.
 EXCESS PRECUREMENT: In case of excess procurement the buyer is the
person who is questioned. The main reason for the excess procurement is
the pack size under which the vendor supplies the material. Another reason
of this can be the share of business of the buyer which can get him huge
amount of profit.
 The BOM error cases that were identified through this were given to KMC
for correction.
 MILK RUN
A milk run, in logistics, is a round trip that facilitates either distribution or
collection. The terms are defined by the customer or by the service providers. Here,
the exact number of suppliers, each of which defines the
available volume and weight, and the time window for collection from the
respective suppliers and the time window for delivery to the customer. With
consistent planning, capacity increases to an average of 90% can be achieved.
On the round trips are either goods collected from several suppliers and
transported to one customer, or goods collected from one supplier and transported
to several customers. In contrast to the groupage traffic, there is no handling,
except to transport the goods.
Something more specialist, the Milk-run is described as a concept that is a
sequential collection of goods from multiple sources and the direct service to the
customers without intermediate handling features of the goods. As a prerequisite
for the Milk-Run approach is the spatial proximity between the supplier and the
customer.
The procedure for development of a Milk-Run-Concept consists of the following
steps:

1. Fixation of weight and volume of suppliers in a particular region.

2. Selection of potential milk run suppliers based on the maximum amount of
charge, delivery frequency as although volume and weight limits.
3. Selection of milk run suppliers because of the conditions and the milk run
potential.
4. Definition of milk run parameters to the weight and volume limits, time slots,
delivery frequency and maximum number of Milk-Run-Suppliers.
5. Development and evaluation of milk run alternatives.
6. Specification of milk runs with respect to the fourth point under these
parameters, plus the necessary contingency plans.
7. Implementation of milk runs: Definition of a milk run schedule, conduct
supplier workshops, testing and controlling.
The main benefit of milk runs is, according to common opinion in literature, in the
higher utilization of trucks and the resulting reduction of transport costs by up to
30%. In addition, the reduction of stock, both at the supplier side and at the
customer side, avoidance in delays at the loading ramp, due to the consolidation of
several suppliers and the specified time windows, high security planning and
integration of reusable container recycling.
The literature completely ignores the reduction of pollution of the environment,
both by consolidation and the resulting higher utilization of trucks, and by the
reduction of transportation vehicles, compared to JIT or groupage traffic.
The disadvantages of the Milk run are the following:

 Not all suppliers are able to implement a milk run.

 The increasing dependence on road conditions.
 In the case of poor planning, the number of extra trips can increase, and lead to
additional costs.

The milk run or milk routing was a combined effort between EAM and TVS
logistics in which TVS will provide the vehicle to be used for getting the
material from the vendors.
This method results in achieving JIT and would also help in store
optimization.
Earlier there was one vehicle that was used by the supplier itself for
delivering the material at the customer’s end. With the help of milk run their
main aim was to use a single vehicle for more than one supplier that can
bring more than one material in single shift.
The safety stock would reduce to 1-2 days and there would be less inventory
in the stores. With the help of milk run the bin system was also introduced
which would eliminate the other package type such ass wooden boxes,
cartons, etc.

As in milk run different material from different vendors was supposed to be

supplied at different PUs. Therefore a problem of receiving the wrong
material may arise.
To overcome this problem an idea of using different color tags for different
PUs was proposed so that no PU receives the material which is not used
there.
SELCECTION OF VENDORS
The process of section of vendor suitable for milk run contains a number of
processes. Firstly we examine the receiving of materials in the engine PU for
first 10 days of March in order to see the pack size, packaging type, the time
required to unload a vehicle at the dock in order to choose a suitable time
for milk run vehicle.
 The conclusions we made through this study are:
 There are 143 vendors in engine PU but only 80 came in first 10 days
 Mostly the packaging type of materials is boxes therefore making it easier
to replace them with bins.
 The vehicles that require more time to unload come at particular time every
day. Therefore milk run vehicle at that time was not a good idea

For selection of vendors we divided the vendors into four categories:

1. Local vendors
2. Overnight
3. Outstation warehouse
4. Outstation direct

Out of these we selected the local vendors that were best suitable for milk run
as it is a daily based process.
There are 387 total vendors in Escorts Agri Machinery out of which 190 vendors
are local i.e. located in Faridabad and Delhi NCR. Out of these local vendors we
selected the vendors that were located in Faridabad.

Then we calculated their annual inventory cost, the number of items they deliver
and the frequency of bringing the material and on the basis of that we finalize
41 vendors. Out of those we finalize 9 vendors best suitable for milk run.
 After the selection of these 9 vendors a team from EAM went to these
vendors for audit and to know their readiness for milk run and out of 9
vendors 3 agreed.
 HARYANA AGRO ENGG. PRODUCTS
 D P ENGINEERING INDUSTRIES LIMITED
 KAMBOJ EQUIPMENTS PVT LTD
There were 6 challenges that were that were identified before starting the
milk run process.
1. Unloading delays at in PT(PU's) and FT(PU's)
2. No plan if vehicle is delayed and arrives at lunch or shift change
timings
3. Loading delays at vendor end
4. Intra-day plan changes cannot be accommodated
5. Schedule accuracy
6. Backup plan not in place to cover for vehicle breakdown
 LINE MAPPING
The line mapping process for carried out in order to update the new pick list on
which the IT team of escorts were working. The main aim of this project was to
note all the items whether A, B or C along with their D-codes.
The assembly line is divided into two parts Left hand side and Right hand side and
there are two different feeders for both the sides. We noted the stage number
and the items side wise and the D-codes were given by the feeders.
The main advantage of this exercise was that it also helped in the identification of
some BOM errors as they were physically used but not added in BOM.
There were 11 stages on the right side and 9 stages on the left side.
The left side line consists of all the sub-assemblies such as FIP pump, piston and
connection rod assembly. And the right side contains all the hardware items that
are used directly to connect any sub-assembly to the engine block such as nuts,
bolt, washers etc. The line mapping also helped in gaining knowledge about
different engine items and there uses.
After this date was fed to the system the new pick list was generated.
The reason for generating a new design for pick list was the errors that came
forward in the early model of pick list.
Previous Design

The problems that were faced in the previous design of pick list are
 Line location was not defined.
 Store location was not defined.
 Name of the model to be produced was not given.
 Some items were missing.
 Pick list generator tool was used to run the pick list.
 The items in the pick list were not according to the stage.
Therefore to overcome these problems the IT department came up with a new
design of pick list which is more accurate and easy to understand.
New design
INPUT SHEET IN ORACLE

PICK LIST PUTPUT

The oracle input sheet consists of the model which is to be produced and
its quantity.
 And the output contains all the A, B, C class material which is to be fed for
a particular model and the quantity required per model and its total
quantity.

The advantages of new pick list are:

 Easy to use and faster to generate as pick list generator tool is not
required.
 Helps in resolving the BOM issues.
 Material feeding is as per plan sequence as according to the stage.
 Line locations are stored.
 Store locations are stored.
The new pick list has been implemented in the EPU and is used successfully
and hence has played a major role in improving the line feeding process.
 CONCLUSION

In the past five months I have studied and worked on various

aspects of supply chain, its improvement initiatives and various
aspects of supply chain management. I have had an experience of
working as a team member in an organization and have gained
thorough knowledge about the tractor engine design and
production.
I have also gained knowledge in methods of inventory cost
reduction and milk routing and how it helps in achieving JIT
manufacturing. This training has helped me in gaining keen interest
in industrial engineering as I have understood the importance of
supply chain in an esteemed organization.
In the past four months I along with my team was able to find
around 600 BOM errors cases and around 400 of them have been
resolved and implemented in the system. This has also helped in
understanding the importance of BOM in an organization.
 REFERENCES
WWW.WIKIPEDIA.COM
WWW.ESCORTS.COM
WWW.ESCORTSAGRI.COM
WWW.ECONNECT.ESCORTS.CO.IN