You are on page 1of 30

A STUDY ON THE STANDARD

OPERATING PROCEDURE AT
ASAL ENGINEER WORKS
Internship training report submitted to the University Of Madras in partial

fulfilment of the requirements for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION


By
SNEHA TAMIL SWAMY
Register Number: 32320017
Under the guidance of
Dr. S. Usha, M.B.A, Ph.D.,
Assistant Professor

DEPARTMENT OF MANAGEMENT STUDIES


UNIVERSITY OF MADRAS
CHEPAUK-600005

September 2021
CERTIFICATE

This is to certify that this internship work on “A STUDY ON THE STANDARD


OPERATING PROCEDURE AT ASAL ENGINEERING WORKS” is done by
SNEHA TAMIL SWAMY, MBA class of 2020 – 2021 under my supervisions for
the partial fulfilment of MBA program and the report is not submitted to any
other Institute/University.
During this internship, she successfully achieved the target assigned to
her. I wish her all the very best in all of her future endeavours.

Faculty Guide,

Dr. S. Usha, Dr. J. KHAJA SHERIFF,


M.B.A, Ph.D.,. B.Sc., M.B.A., M.C.A., Ph.D.

Assistant Professor, Professor and Head,

Department of Management Studies, Department of Management Studies,


University of Madras. University of Madras
.

ii
DECLARATION

I, SNEHA TAMIL SWAMY student of Department of Management Studies of


University of Madras, Chennai hereby declare that this internship titled “A STUDY ON
THE STANDARD OPERATING PROCEDURE AT ASAL ENGINEER WORKS” is my original
work submitted as a partial fulfilment of the requirements for the award of the degree
Master of Business Administration. This summer internship has not been submitted to
any other University or Institution for the award of any Degree/Diploma/Certification.

Date: Signature

Place: Chennai (Sneha Tamil Swamy)

iii
ACKNOWLEDGEMENT

I convey my deepest and sincere gratitude to Dr. J. KHAJA SHERIFF, B.Sc.,


M.B.A., M.C.A., Ph.D., Professor and Head, Department of Management
Studies, University of Madras my student advisor Dr. S. Usha, M.B.A, Ph.D.,
Assistant Professor, Department of Management Studies, University of
Madras for providing me this opportunity and necessary suggestions and
support in completing this project. I would like to convey my sincere thanks
to Mohamed Sathakathullah Sakir Shalim., Executive Director, ASAL
Engineering works and Abielash Khumar S V, Business Development
Manager, ASAL Engineering works for providing me this opportunity of
undertaking the project. I am obliged to thank all those who have helped
me to finish the project successfully.

iv
INTERNSHIP CERTIFICATE

v
TABLE OF CONTENTS

CHAPTER NO. TITLE PAGE NO.


1. INTRODUCTION 1

1.1 OVERVIEW 1
1.2 OBJECTIVES OF THE INTERNSHIP 3
1.3 SCOPE OF THE INTERNSHIP 3
1.4 LIST OF ACTIVITES PERFORMED 4
2. ORGANIZATIONAL PROFILE 5
2.1 HISTORY 5
2.2 VISION 6
2.3 MISSION 6
2.4 OBJECTIVES OF ORGANIZATION 6
2.5 LOCATION OF ASAL ENGINEERING 6
WORKS
2.6 ORGANIZATIONAL STRUCTURE 7
3. STANDARD OPERATING PROCEDURE 8
3.1 INTRODUCTION TO SOP 8
3.2 SOP GENERAL FORMAT 9
3.2.1 TITLE PAGE 9
3.2.2 TABLE OF CONTENTS 9
3.2.3 TEXT 9
3.3 TYPES OF SOP 10
3.3.1 CHECKLISTS 10
3.3.2 STEP BY STEP LIST 11
3.3.3 HEIRARCHICAL LISTS 11
3.3.4 PROCESS FLOW CHART

vi
3.4 STEPS FOR WRITING SOP 11
3.5 IDEAL SOP DOCUMENT INCLUDES 13
3.6 BENEFITS OF SOP 14
4. DEVELOPING SOP AT ASAL ENGINEERING 15
WORKS
4.1 DUTIES AS INTERN 15
4.2 NATURE OF INTERNSHIP 15
4.3 ACTIVITIES 15
4.3.1 OBJECTIVES 16
4.3.2 BASIC SOP FOLLOWED BY COMPANY 16
4.3.3 INTRODUCTION 18
4.3.4 FACTORS AFFECTING THE 19
TRANSPORTATION
4.3.5 ISSUES THAT COULD BE AFFECTING 20
TRANSPORTATION
4.3.6 INTERPETATION 21
5. CONCLUSION 22
BIBLIOGRAPHY 23

vii
CHAPTER 1

INTRODUCTION

1.1 OVERVIEW

An SOP is a procedure specific to your operation that describes the activities necessary
to complete tasks in accordance with industry regulations, provincial laws or even just
your own standards for running your business. Any document that is a “how to” falls
into the category of procedures. In a manufacturing environment, the most obvious
example of an SOP is the step by step production line procedures used to make
products as well train staff. An SOP, in fact, defines expected practices in all businesses
where quality standards exist. SOPs play an important role in your small business.
SOPs are policies, procedures and standards you need in the operations, marketing and
administration disciplines within your business to ensure success. These can create:

● efficiencies, and therefore profitability

• consistency and reliability in production and service

• fewer errors in all areas

• a way to resolve conflicts between partners

• a healthy and safe environment

• protection of employers in areas of potential liability and personnel matters

• a roadmap for how to resolve issues – and the removal of emotion from

troubleshooting – allowing needed focus on solving the problem

• a first line of defense in any inspection, whether it be by a regulatory body, a


partner

or potential partner, a client, or a firm conducting due diligence for a possible

purchase

• value added to your business should you ever wish to sell it

1
Every business has a unique market, every entrepreneur has his/her own leadership
style, and every industry has its own best practices. No two businesses will have an
identical collection of SOPs. Below is a listing of just a few typical SOPs, which you will
want to consider writing for your own small business.

Production/Operations

● production line steps


● equipment maintenance, inspection procedures
● new employee training

Finance and Administration

• accounts receivable – billing and collections process


• accounts payable process – maximizing cash flow while meeting all payment
● deadlines

Marketing, Sales and Customer Service

• approval of external communications: press releases, social media, advert,


etc.
• preparation of sales quotes
• service delivery process, including response times
• warranty, guarantee, refund/exchange policies
• acknowledgment/resolution of complaints, customer comments and
suggestions

Employing Staff

• employee orientation and training

• corrective action and discipline

• performance reviews

• use of Internet and social media for business purposes

• job descriptions

2
Legal

• privacy – an explicit privacy policy is required, specifying what information


you will collect, why you are collecting it, how it will be used, and how long
you will keep the information on file. Ensure that everyone in the organization
is only asking for the information they need to do their job.
• accessibility – having accessible locations, goods and services is going to be a
legislated right of all Ontarians, with the definition of accessibility going well
beyond traditional concepts, like providing wheelchair access washrooms.
Companies with fewer than 20 employees are required to create a plan for
how they will comply with the Customer Service Standard and then train their
employees. Companies with 20 or more employees must also put their plans
in writing and report to the government on how the company is doing.

1.2 OBJECTIVE OF THE INTERNSHIP

• Develop the habit of inspiration and self-esteem for a confident mind set.
• Identify process and procedures for company purchases.
• Opportunity to develop a SOP at ASAL Engineering Works.
• To understand how to eliminate the errors and theft during transportation of
the products.
• To know how manufacturing unit operates in the organization.
• Explore distribution operations.
• To understand the standard operating procedure of manufacturing industry.
• Studying SOP of several industries.
• Researching about their SOP manuals.
• Developing skills in the application of theory to practical work situations.

1.3 SCOPE OF THE INTERNSHIP


The present study is confined to the operations of various activities in ASAL
Engineer works, Chennai. The study is focused from the standpoint of Standard

3
Operating procedures of the company. This report has been prepared through
experience of working as an intern (ASAL management trainees). Prospectus and
brochures of various activities provided by the organisation also helped in
preparing the report.

1.4 LIST OF ACTIVITIES PERFORMED

The activities were performed individually. The various activities performed


during the internship were:
• Researching about the SOPs of different manufacturing industries locally
and internationally.
• Generate new ideas on development of a Standard Operating Procedure
starting from the functions of the company, material handling and other
aspects.
• Design the SOP as per the required activity by researching and applying
practical applications.
• Determine the best suited SOP for the company.
• Compare the research papers and develop the SOP based that is necessary
for the company to run.

4
CHAPTER 2

ORGANISATIONAL PROFILE

2.1 History

Asal Engineering Services (P) Ltd, a startup based in Chennai, India with a young
and enthusiastic team of engineers and architects. Directors of Asal Engineering
Services Private Limited are Aravind Sathyanarayanan and Mohamed
Sathakathullah Sakir Shalim.

They are a quality-driven organization offering a wide range of Aluminium


formwork systems (aka) mivan shuttering.

Established in 2018, Asal Engineering Services Private Limited has gained


immense expertise in designing and supplying of Aluminium formwork systems
and modification of existing forms.

They are Aluminium Formwork supplier in Chennai, India, capable of supplying


globally. Their team is capable of taking up new challenges and handling them
effectively in each step. They treat every project and every client as their first.
They handle the designing and supplying of Aluminium formwork from scratch to
completion.They strongly believe that the key to success is working to clients'

5
satisfaction as well as theirs, thereby reducing minor errors that even clients fail
to notice.

2.2 VISION

To create a clean and sustainable environment of the future by formworking new


ideas with green materials and energy.

2.3 MISSION

Strive to provide the most promising alternative to steel and timber in formwork,
thereby reducing the time and cost of the construction and increasing customer
profits.

2.4 OBJECTIVES OF THE ORGANIZATION

 To manufacture quality products depending on the customer needs.


 To develop customized products corresponding to the problem statement.
 No single panel will be dispatched without QC check.
 To develop high quality products such as Aluminium Formwork Design and
Supply, Formwork Accessories and Aluminium Formwork Modification.
 Quality assurance: Perfectly designed and carefully crafted to make sure
that there are no possible defects.
 Timely delivery: Make sure to deliver the materials in the given time by all
means possible.
2.5 LOCATION OF ASAL ENGINEERING WORKS

Asal Engineering Services Private Limited, 4/36, Sriram Colony, Alwarpet,


Chennai, TN 600018, India.

6
2.6 ORGANISATIONAL STRUCTURE

OFFICE BEARERS

(Proprietor, Managing

Director, Technical Director)

GENERAL MANAGER

(EXECUTIVE DIRECTOR,

MARKETING MANAGER)

ENGINEERING UNIT

(DESIGN ENGINEER,

PRODUCTION ENGINEER)

SUBORDINATES

(FIELD WORKERS,

MACHINE OPERATORS)

7
CHAPTER 3

STANDARD OPERATING PROCEDURES

3.1 INTRODUCTION TO STANDARD OPERATING PROCDURE

A standard Operating Procedure (SOP) is a set of written instructions that


document a repetitive activity followed by an organization. SOP is a process
document that describes in detail the way that an operator should perform a
given operation. The development and use of SOPs are an essential part of a
effective quality system as it provides individuals with the information to perform
a job properly, and eases reliability in the quality and veracity of a product or
end-result.

A SOP should be available at the place where the work is done. SOPs define both
practical and fundamental programmatic working elements of an organization that
would be achieved under a work plan. SOPs involve the purpose of the operation, the
equipment and materials required, how to perform the set-up and operations required
for the process, how to perform the maintenance and shutdown operations carried out
by the worker, a description of safety issues, trouble-shooting, a list of spare parts and
where to find them, illustrations, and checklists. The SOP is one of many process
documents which is needed for consistent operation of a given process, with other
documents involving process flow charts, material specifications, and so forth.

8
3.2 SOP General Format

SOPs should be organized to ensure ease and efficiency in use and to be specific
to the organization which develops it. The level of detail provided in the SOP may
differ based on, e.g., whether the process is critical, the frequency of that
procedure being followed, the number of people who will use the SOP, and where
training is not routinely available. The level of detail provided in the SOP may
differ based on, e.g., whether the process is critical, the frequency of that
procedure being followed, the number of people who will use the SOP, and where
training is not routinely available.

3.2.1 Title Page

The first page or cover page of each SOP should contain the following
information: a title that clearly identifies the activity of procedure , an SOP
identification (ID) number, date of issue and/or revision, the name of the
applicable agency, division, and/or branch to which this SOP applies, and the
signatures and signature dates of those individuals who prepared and approved
the SOP. Electronic signatures are acceptable for SOPs maintained on a
computerized database.

3.2.2 Table Of Contents

A Table of Contents may be needed for quick reference, especially if the SOP is
long, for locating information and to denote changes or revisions made only to
certain sections of an SOP.

3.2.3 Text

Well-written SOPs should first briefly describe the purpose of the work or
process, including any regulatory information or standards that are appropriate
to the SOP process, and the scope to indicate what is covered. Define any
specialized or unusual terms either in a separate definition section or in the

9
appropriate discussion section. Denote what sequential procedures should be
followed, divided into significant sections; e.g., possible interferences, equipment
needed, personnel qualifications, and safety considerations (preferably listed in
bold to capture the attention of the user). Finally, describe next all appropriate
QA and quality control (QC) activities for that procedure, and list any cited or
significant references.

SOPs should be clearly worded so as to be readily understandable by a person


knowledgeable with the general concept of the procedure, and the procedures
should be written in a format that clearly describes the steps in order.

An SOP may reference other SOPs. In such a case, the following should be
included:

• Cite the other SOP and attach a copy, or reference where it may be easily
located.

• If the referenced SOP is not to be followed exactly, the required


modification should be specified in the SOP at the section where the other
SOP is cited.

3.3 TYPES OF SOP

SOPs may be written for any repetitive technical activity, as well as for any
administrative or functional programmatic procedure, that is being followed
within an organization. We should always design a SOP according to the
organizational needs. A conventional SOP follows one of the following methods:

3.3.1 Checklists

A checklist or the to-do list is one of the simplest methods of writing a standard
operating procedures (SOP) document. Checklists are the easiest to create as we
can simply create a header (the process we are creating guidelines for) and add
relevant checklist items that employees need to follow in order to complete the
task.

10
3.3.2 Step-by-Step List

Similar to checklists, a step-by-step bullet list works in the same way where you
describe a procedure in relevant, easy to follow steps.

If the task you are creating SOP for is pretty straightforward, these lists can be
more than enough to get the job done efficiently.

3.3.3 Hierarchical Lists

If the procedures are more complex and need additional info, we can create
hierarchical checklists or bullet lists. If we are unable to explain a task in a single
step and at the same time, don’t want to make the SOP lengthy, adding
hierarchical steps can be beneficial.

3.3.4 Process Flowchart

Flowcharts are a wonderful way to represent how a process works visually and
help give better context around the workflow. A flowchart also shows how one
step is related to another, helping employees conceptualize the whole concept
and have a better understanding of the work they are doing.

3.4 Steps for Writing a Standard Operating Procedure (SOP)

Standard operating procedures require a lot of effort and planning before we can
even begin to document your procedures.

The key steps that we need to follow to create a robust standard operating
procedure document:

11
 Generate a list of your business processes
The first thing we need to do in order to create an SOP is to find out which
tasks, processes, or workflows, you need an SOP for. Conduct a survey to
fill out a form defining what tasks they do on a regular basis. This will form
the basis of your list for the standard operating procedure (SOP)
document. Once you have gathered a list, you can review it with other
managers and look for any repetitions.
 Start with why
For a granular approach, identify the main points or challenges the
employees face in their day to day and create your SOP around it. This
gives us a solid “why” to go through all that hard work of creating an SOP
and also improves employee’s buy-in in the whole process.

 Choose a format

Chances are that the organization already has some SOP documents
written for past procedures. We can refer to those documents as templates
and guide our current SOP.
 Identify your audience
Knowing your audience is key in creating an awesome SOP document. The
more information we have on your audience, the better we can understand
their points of view and create an SOP that will be relevant to them.

 Decide between a short or long-form SOP


If we’re writing or updating an SOP for a group of individuals that are
familiar with protocol, terminology, etc., and just would benefit from a
short and snappy SOP that's more like a checklist, you could just write it in
short-form.
Apart from basic purpose and relevant information (date, author, ID#,
etc.), it's really just a short list of steps. When no details or clarification are
needed, this is the way to go.

12
 Get down to writing.
Once we have enough data points to start, immediately move to our
document editor and start adding our notes. Once done creating the
document, you can go through the document with your employees and
management and ask for their feedback and input.

3.5 Ideal SOP Document Includes

● Title Page: Kickoff the SOP with the title of the procedure, the unique SOP
identification number, date of creation or revision, the
department/employees/team the SOP applies to, and finally the name and
signatures of the parties involved in creating the SOP document.
● Table of Contents: Next up is a table of contents. A table of contents helps
summarize the document structure and acts as a guide for the reader to
quickly jump to sections relevant to him/her. They are particularly helpful if
the document is large in size.
● Purpose: Describe the goals and objectives of creating the document and how
it will benefit the user and the organization.
● Scope: Project scope describes the limits of the document and helps the
reader understand the boundaries of the SOP. It clearly states what the
document is about and what it accomplishes.
● Glossary: It’s helpful to include words, abbreviations, or acronyms you may
have used in the document that may not be familiar to your audience.
● Roles and Responsibilities: Identify key stakeholders (employees, managers)
who have to follow this SOP and what responsibilities they would have. This
helps avoid confusion and keeps everyone accountable for their actions.
● Procedures: This will form the bulk of your SOP document as this section will
describe the step-by-step explanations of how to perform tasks and any
additional information needed to complete the tasks.
● Related Documents: Include a list of related training materials or reference
guides to your SOP.

13
● Health and safety warnings: Your SOP should have a separate section
describing the things your employees need to avoid and perform the
operations in a safe environment. This not only protects your employees from
potential dangers but also keeps your company away from liabilities.
● Revision History: Add a revision history to ensure your readers that the SOP
they are reading is the latest one.
● Approval Signatures: If your company requires an authorizing officer to sign
off on SOPs, don’t forget to get it approved by them before sharing it with
your audience.

3.6 Benefits Of Standard Operating Procedures

⮚ Time-saving
⮚ Ensures the safety of employees
⮚ Ensures compliance standards are met.
⮚ Improved communication
⮚ Enhanced accountability
⮚ Provides consistency
⮚ Maintains Organizational Knowledge
⮚ Provides a guiding hand
⮚ Onboarding and training

14
CHAPTER 4
DEVELOPING SOP AT ASAL ENGINEERING WORKS

4.1 DUTIES AS AN INTERN


The main duties in the internship are:
⮚ Generate new ideas on development of a SOP starting from the design,
research used and other aspects.
⮚ Develop the SOP as per the required by the company using research
papers.
⮚ To create a weekly report on the research done.
⮚ Developing a SOP that reduces threat by analysing different case
studies.
⮚ Determine the best suited SOP for the company.

4.2 NATURE OF INTERNSHIP

The nature of the internship was purely Work-From-Home (WFH) due to the
ongoing COVID-19 pandemic. Tasks were communicated through Gmeet and
documents were submitted through WhatsApp.

4.3 ACTIVITES

15
4.3.1 OBJECTIVE

The main objective of this study is to determine and analyse the Standard
Operating Procedure which will work effectively and also reduces the possibility
of theft and ensures that the product gets delivered safely to the client. And my
main domain for research was to have detailed study on factors to be considered
while transporting goods.

4.3.2 BASIC SOP FOLLOWED BY THE COMPANY

Basic points of SOP for ASAL followed:

SOP to be followed at Factory at the time of Dispatch:

1. Prepare packing list with respect to bundle numbers.

2. Send the packing slip to ASAL Office before starting the loading process.

3. Take the empty weight of the vehicle before loading.

4. Load the Bundles into the vehicle with respect to packing slip (marking on the
packing slip is preferable).

5. Prepare packing list with respect to bundle numbers.

6. Send the packing slip to ASAL Office before starting the loading process.

7. Take the empty weight of the vehicle before loading.

8. Load the Bunldes into the vehicle with respect to packing slip ( marking on the
packing slip is preferable)

SOP to be followed at ASAL Office at the time of Dispatch:

1. Get the packing slip from the factory and prepare the corresponding packing
slip in ASAL’s format.

2. Verify the component list in the packing slip with original BOM.

16
3. If the components in the packing slip match with Original BOM

(i) Arrange the vehicle with the transporters

(ii) Get the vehicle number and Driver name

(iii) Prepare Eway bill and Invoices and Send to factory

4. If there is dispute between packing slip and original BOM

(i) Report the dispute to the factory immediately and ask them to check

(ii) Identify and rectify the problem

(iii) Arrange the vehicle with the transporters

(iv) Get the vehicle number and Driver name

(v) Prepare Eway bill and Invoices and Send to factory.

SOP to be followed at Site upon receiving the materials.

1. Get the dispatch docs from the driver.

2. Unload the vehicle by cross checking the signed packing slip in the presence of
Client’s authorized personnel.

3. If there is any dispute in the packing slip and unloaded bundles, report to the
factory and ASAL Office immediately.

4. After unloading and checking, get the signature from the client’s authorised
person on packing slip and invoices as a receipt for receiving the materials

5. One copy of the signed packing slip and invoices must be given to the client
and another copy needs to be sent back to ASAL Office.

SOP to be followed at office on materials reaching site.

1. Follow-up with the site team and make sure there are no dispute.

2. Get the photocopy of the Signed copy of packing slip and invoice from the site
team and send the same to the client via email.

3. Follow up with the site team and get the original signed copy of the Packing
slip through courier.

17
4. File the dispatch and received documents on the clients file.

4.3.3 INTRODUCTION

Road transport means transportation of goods and personnel from one place to
the other on roads. Road is a route between two destinations, which has been
either paved or worked on to enable transportation by way of motorised and
non-motorised carriages.

There are many advantages of road transport in comparison to other means of


transport. The investment required in road transport is very less compared to
other modes of transport such as railways and air transport. The cost of
construction, operating cost and maintaining roads is cheaper than that of the
railways.

Road transport can be classified as transporting either goods and materials or


transporting people. The major advantage of road transport is that it can enable
door-to-door delivery of goods and materials and can provide a very cost-
effective means of cartage, loading and unloading. Sometimes road transport is
the only way for carrying goods and people to and from rural areas which are not
catered to by rail, water or air transport. Delivery of goods between cities, towns
and small villages is made possible only through road transport. However, in
spite of various merits, road transport has some major limitations. For instance,
there are more chances of accidents and breakdowns in case of road transport.
So, motor transport is not as safe as other means of transport. Road transport is
also quite less organised in comparison with other modes. It is irregular and
undependable. Rates for road transportation are also unstable and unequal, while
the speed in road transport is slow and limited, which is a major drawback.

The success of transportation engineering depends upon the co-ordination


between the three primary elements, namely the vehicles, the roadways, and the
road users. Their characteristics affect the performance of the transportation
system and the transportation engineer should have fairly good understanding
about them. This chapter elaborated salient human, vehicle, and road factors
affecting transportation.

18
4.3.4 FACTORS AFFECTING THE TRANSPORTATION

The success of transportation depends upon the co-ordination between the three
primary elements, namely the vehicles, the roadways, and the road users. The
factors are elaborated briefly.

⮚ Human factors affecting transportation


 Variability
The most complex problem while dealing human characteristics is its
variability. The human characteristics like ability to react to a situation,
vision and hearing, and other physical and psychological factors vary from
person to person and depends on age, fatigue, nature of stimuli, presence
of drugs/alcohol etc.
 Critical characteristics
The road user characteristics can be of two main types, some of them are
quantifiable like reaction time, visual acuity etc. while some others are less
quantifiable like the psychological factors, physical strength, fatigue, and
dexterity.
 Reaction time
The road user is subjected to a series of stimuli both expected and
unexpected.
⮚ Road factors
 Road surface
The surface of road must be good so that there will be no affect to our
goods.
 Night visibility
The night visibility must be considered to avoid any accidents or damage to
the goods. Since most accidents occur at night because of reduced
visibility, the traffic designer must strive to improve nighttime visibility in
every way he can.
⮚ Acceleration characteristics
⮚ Braking performance

19
4.3.5 Issues That Could be Affecting our Transportation Costs

Moving goods from one location to another is never free. You will need packing
materials, movers (workers), drivers, vehicles (trucks) and possibly storage
facilities. The greater the load and the longer the distance, the higher the cost.
But weight and distance are not the only two factors that affect transportation
costs. There are several other factors that have a significant impact on the cost
of transportation. The following are some of the important factors:

⮚ Packaging:
Transporting goods begins with packaging because we can`t just load
things into a truck haphazardly and drive away. We need proper packing
materials that we may need to buy. Packaging ensures the safety and
security of your goods, but it also increases volume and weight. Also, the
mode of transportation determines the type of packaging.
⮚ Fuel Prices:
Fuel prices are volatile and change constantly. This can make a significant
impact on your transportation costs regardless of the mode of
transportation.
⮚ Labour costs:
Moving goods require labour and labour costs money. We need a team of
trained and experienced people to complete the job – to pack the goods,
label and categorize packages, load the packages into the truck, unload the
packages from the truck, unpack the packages at the destination, drive the
trucks and keep inventory. The larger the quantity of goods to be
transported, the higher the costs will be.
⮚ Inventory Carrying Costs:
The goods being transported are the same as goods held in inventory.
When transporting goods over long distances, they may have to be stored
in a securely-guarded climate-controlled storage facility overnight along the
way. Even after being unloaded at the destination, they may have to be
held in storage for some time. This can add a significant amount to your
cost of transportation.

20
⮚ Security:
Arranging adequate security is very important when transporting goods
over any distance. The higher the value of the goods, the higher the risk of
theft and robbery. You may have to hire professional security guards to
protect your goods. This can affect your costs significantly.
⮚ Insurance Costs:
The risk of damages, loss and theft can never be ruled out no matter how
careful the workers are during loading, unloading and transit. Therefore, it
is important to insure the goods. Depending on the type and value of the
goods you are transporting, insurance costs can make a significant
contribution to your transportation costs.
⮚ Government regulation:
Regulation may directly impact the freight industry and its bottom line; for
example, governments often set maximum driving hours for commercial
operators.
 Climatic condition:
The weather is very important for carrying heavy loads. If it is foggy or
rainy it is much risky and we must always drive safely and slowly.

▪ INTERPRETATION
 The investment required for road transportation is much convenient than
other mode.
 Should always hire a trustworthy driver to transport goods.
 Always consider human factors and external factors.
 Transporting goods safely and delivering on time to the client is very
important for maintaining a healthy customer relationship.

21
CHAPTER 5
CONCLUSION
As an intern at ASAL Engineering Works, I was privileged to work with the
development of SOP and gather the following outcomes during the tenure of the
internship:
⮚ I could generate new ideas on development of a SOP starting from the design,
factors affecting and several other aspects.
⮚ Design SOP with research papers and developing the existing SOP
⮚ Researched and written down as per the company’s requirement.

Overall, the internship was an excellent program with lots of Project management
exposure. It helped to enhance and develop my idea generation, abilities and
knowledge.

Even though ASAL Engineering Works is a manufacturing unit, working as an intern


there enabled to explore the various aspects of operation management:

⮚ Operation management via development of a SOP


⮚ Analysing with different research papers

It was a good experience and memories as not only I have gained experience, but also
met new people and befriended them. Also, knowledge sharing was an essential part in
this process. In general, the internship proved very good quality, with an excellent
acceptance by the company and having achieved very good ratings with integrated
managers and experts.

22
BIBLIOGRAPHY

1. https://www.asalindia.com/about-us
2. https://www.linkedin.com/company/asalindia/?originalSubdomain=in
3. https://www.civil.iitb.ac.in/tvm/1100_LnTse/103_lnTse/plain/plain.html
4. http://www.leanmanufacture.net/leanterms/sop.aspx
5. https://www.epa.gov/sites/default/files/2015-06/documents/g6-final.pdf
6. http://www.advice-manufacturing.com/Standard-Operating-Procedures.html

23

You might also like