ETHIOPIAN INSTITUTE OF TECHNOLOGY-MEKELLE

INDUSTRIAL ENGINEERING DEPARTMENT

Proposal on: Assessment of Production Planning and Control
In Case of Mesfin Industrial Engineering plc.

Prepared by: Haileselassie Kidu

ID: EITM/UR82461/07

Submitted to:ins. Hagazi Abrha(Msc.)

Submission date:

Table of Contents
Introduction.................................................................................................................................................. 3

Background of the company ........................................................................................................................ 3

Problem and justification.............................................................................................................................. 4

Objective of the study .................................................................................................................................. 5

Scope of the Study ....................................................................................................................................... 5

Limitations of the Study ............................................................................................................................... 5

RESEARCH METHODOLOGY................................................................................................................. 6

1. The Primary data source ..................................................................................................................6

2. The secondary Data source ..............................................................................................................6

Data Analyzing Tools .................................................................................................................................. 6

Expected Output.......................................................................................................................................... 7

Scheduling (Gantt chart) ..............................................................................................................................7

Introduction
Mesfin Industrial Engineering is a famous and known company in Ethiopia and Africa by the
production of Liquid trailers, Solid trailers, Semitrailers, Cement plant components, Hydraulic
components and other new products using the latest technology. The company has two types of
machines with the different applications and consecutive operations, these machines are critical
and non-critical machines.

Critical machine is a machine which has no alternative if it is idle and it results a stoppage and
block on the whole production workstation, (example; CNC pantograph electrical shear machine,
electrical bending machine etc.) where as non-critical machine means it has an alternative if it is
idle (example; welding machine, lath machine, grid machine).

Mesfin Industrial engineering plc was established in 1993 as the engineering wing of EFFORT
(Endowment Fund for the Rehabilitation of Tigray).it is headquartered in Mekelle, northern part
of Ethiopia and it was established with USD 358 thousand initial capitals, today the company’s
capital is more than USD 50 million.

MIE started its activities by manufacturing of metal windows, doors maintenance of vehicles.
Currently MIE’s products include liquid and dry cargo bodies and trailer, semi-trailers, low beds,
fuel storage tanks, equipment for sugar, high beds, cement, hydropower industries, assembly of
automobiles and tractors. MIE is also active electromechanical erection and installation works
which include construction of per engineered buildings, erection of machinery and equipment for
various industrial projects, fuel storage facilities, and civic buildings.

Problem and justification

All engineering works are carried out computer aided. The engineering and technical staffs guide

Manufacturing processes, assembling works and supervise erection and installation works at out-of-

Plant sites. MIE traveled long distance in technological advancement in modernizing the plant and

Organize the work force. The company has made huge investment towards introduction of new

Technologies and upgrading skills by training personnel both locally and abroad. MIE, backed up

With skilled manpower and modern machineries is pioneer company in Ethiopia and East Africa in

The production of prefabricated petroleum storage tanks in its own plant.

Since its establishment, MIE has production planning and control system. Before the implementation

of the current organizational structure, the company had a production planning and control division

which directly reports to manufacturing department. Although the two divisions were assumed to
have close relationships to facilitate smooth production flow. After the current organization structure

created PPC has production planning and Division planning.

Production planning is the base (input) for all process of the company, and has great role for
controlling work shop flow of products.

Objective of the study

This study is an attempt to attain of the following objectives.
General objective of study
The main objective of this study is to Develop OR Modify the existing production planning and
control systems on Fabrication of 2-Axle draw bar Dry Cargo Trailers & 3- Axle draw bar Dry Cargo
Trailers.
Specific objective of the study
Analysis of all production planning and control system related problems on fabrication of 3-Axle
draw bar Dry Cargo Trailers & 2-Axle draw bar Dry Cargo Trailers in detail.
All the problems of the company, which have direct or indirect influence on the productivity of
the production sectors (2&3-Axle draw bar Dry Cargo Trailers), will be deeply analyzed.
To simplify materials purchasing process (simplify complex purchase bureaucracy).

Scope of the Study

The study or project is done in order to solve the problems that are raised due to the existing system

Of production planning and control at MIE. The study mainly focused on production planning and

Control on fabrication of 3-Axle draw bar Dry cargo trailers.

Limitations of the Study

As the nature of the study mainly depends on the quantity and quality of the collected data, shortage

Of finance was a limitation to prepare, distribute and collect several questionnaires papers .
RESEARCH METHODOLOGY
To achieve the objective of the study the following methodologies are used:

1. The Primary data source

The primary data source will be collected by:

Interviewing the operators, production planning manager and Line manager

Fully observing the existing situation

Distributing of questionnaires among employees and concerning body

2. The secondary Data source

The secondary data source will be collected by:

Reading books, the company’s present and past manuals.

After data are collected, it is analyzed using appropriate tools to realize the cause of the problems.

Then the results of the analysis is presented and discussed.

At the last the possible final solution to the problem is recommended.

Data Analyzing Tools

Production planning and control principles and techniques;

Different models and fishbone Diagram

Expected Output
 Minimizing lead time of production.

 Minimizing the time to deliver the product to customer (getting exact due date of production)

 Make customer more satisfaction.

 Improving the most common problems which direct or indirect influence the production

Planning and Control of company, efficiently planned work force.

 Improving production methods.

 TIME FRAME USING GANTT CHART
Within the four months of my internship program I will execute my
tasks as presented on the table below:

Month 3 Month 4

Activities wk1wk2 wk3 wk4 wk 1 wk2 wk3 wk4

Proposal preparation for
my advisor
Paper: introduction
Paper: background
Paper: literature review
Paper: methodology
Paper: data collection
Paper: data analysis
Paper: results &
discussion
Paper: conclusion
Paper: recommendation
Paper: reference &
appendices
Paper: ToC,abstract ,etc
Paper: list of
figures/tables
Final presentation @ MIE