Industrial Management &Entrepreneurship

UNIT-I
Introduction: Management and Industrial Engineering and
relation with other fields. Plant Location and Layout:
General considerations, Types of Layout, Cellular
Manufacturing. Scheduling: Scheduling In Job, Shop Type
Production. Methods of Production Control.
 
UNIT-II
Work Analysis Material Management: Design of work
methods, Time and motion study, Work sampling, Selection of
labour and wage payment, Incentive and motivation.
Inventory management, Deterministic and probabilistic
models of Inventory control, Material requirements Planning,
JIT, ERP, SCM Business process reengineering.
UNIT-III
Entrepreneur: Conceptual issues. Entrepreneurship vs.
Management. Roles & Functions of an Entrepreneur, Types of
Entrepreneur, Intrapreneur - an emerging Class. Stages in
entrepreneurial process; Role of entrepreneurs in Economic
Development; Entrepreneurship in India; Entrepreneurship –
its Barriers.
 
UNIT-IV
Small Scale Industry and Institutional Support: Definition;
Characteristics; Need and rationale: Objectives; Scope; role of
SSI in Economic Development. Government policy & Support
for S.S.I. during 5 year plans.Supporting Agencies of
Government for SSI. Meaning; Nature of Support; Objectives;
Functions; Types of Help; Ancillary Industry and Tiny Industry.
UNIT-V
Entrepreneurship: Creativity and Innovation in
Business. Creativity and Entrepreneurship
Sources and Methods of Ideas Planning and
Development of Programmes E-business
Ventures; New Venture Management.
Entrepreneurial Leadership in Turbulent Times.
Ecological Entrepreneurship. International
Business Opportunities.
 Plant Layout?
Plant layout is a “technique of locating different
machines and plant services within the factory so that
the greatest possible output of high quality at the
lowest possible total cost can be available”.
Plant layout includes the arrangement and location of
work centers and various service centers like inspection,
storage, and shipping within the factory building.
Plant layout is a plan of optimum arrangement of
facilities including personnel, equipment’s, storage
space, material handling equipment and all other
supporting services along with the decision of best
structure to contain all these facilities.
Characteristics of an effective Layout:
1. Smooth flow of production
Plant layout should be in such a way that there must be a
smooth flow of production. Raw materials and workers must
have access to each machine without any difficulty and delay.
2. Maximum utilization of available space
An efficient plant layout must be such that may utilize the
maximum of the space available.
3. Facilities the movement of men, materials and machines,
etc.
There must be sufficient space left in between different
machines so that raw materials, workers and machines move
very easily from one place to another, without the fear of
accident.
4. Provides better working conditions
A good plant layout must have facilities such as
water, ventilation, retiring room, etc., in the plant. It
should also safeguard the health of the workers.
5. Flexibility
A good layout must be flexible enough so as to
incorporate any change in the management
policies. It must be capable of incorporating,
without major change, new equipment to meet
technological progress, or increased production
requirement or to eliminate waste.
6. Facilitates supervision and control
The position of workers must be arranged in such a way
that it facilitates supervision, coordination and control.
7. Provision of safety
There must be complete safety for workers engaged on
a machine. Necessary instructions must be given to
them about the risks involved while working in certain
type of machines. Provisions of Factories Act must be
followed in real spirit.
8. Co-ordination and integration
If the plant layout is efficient enough, it is possible to
achieve maximum with coordination and integration
among men, machines and materials.
Types of Plant Layout:

1. Product or Line Layout

2. Process or Functional Layout

3. Combination Type of Layout

4. Fixed Position Layout

1.Product Layout or Line Layout:
In this type of layout, all the machines are arranged
in the sequence, as required to produce a specific
product. It is called line layout because machines
are arrange in a straight line. The raw materials are
fed at one end and taken out as finished product to
the other end.
2. Process Layout or Functional Layout:
In this type of layout, all machines performing
similar type of operations are grouped at one
location i.e. all lathes, milling machines etc. are
grouped in the shop and they will be clustered in
like groups.
3. Combination Layout:
In practice, plants are rarely laid out either in
product or process layout form. Generally a
combination of the two basic layouts is employed;
to derive the advantages of both systems of layout.
For example, refrigerator manufacturing uses a
combination layout.
Process layout is used to produce various
operations like stamping, welding, heat treatment
being carried out in different work centers as per
requirement. The final assembly of the product is
done in a product type layout.
4. Fixed Position Layout:
It is also called stationary layout. In this type of
layout men, materials and machines are brought to
a product that remains in one place owing to its
size. Ship-building, air-craft manufacturing, wagon
building, heavy construction of dams, bridges,
buildings etc. are typical examples of such layout.
 Types of production?
There are 4 different types of productions which
are most commonly used. Which type of
production should be used by the company
depends on the type of product being
manufactured, the demand of the product as well
as the supply of raw materials. Taking these factors
into consideration.
1) Unit or Job of production:
Job production is most commonly observed when you
produce one single unit of a product. A typical example
of the same will be tailored outfits which are made just
for you or a cake which is made just like you want it.
It is one of the most common types of products used
because it is generally used by small businesses like
restaurants, individual products providers or individual
services providers.
2) Batch Production:

It is one of the type of production most commonly used in consumer durables,

FMCG or other such industries where there is large variety of products with variable

demands. Batch production takes place in batches. The manufacturer already knows

the number of units he needs to a manufacturer and they are manufactured in one

batch.

For example,LG has many different types of home appliance products in its

portfolio. It has to manufacture all these different variants of the same type of

product. There would be 10-20 types of mixer grinders alone in the product portfolio

of LG home appliances. Thus, a company like LG manufactures these variants via

Batch production.
3) Mass Production :
Mass production is also known as flow production or assembly
line production. It is one of the most common types of products
used in the automobile industry and is also used in industries
where continuous production is required. Products which are
manufactured using mass production are very standardized
products. High sophistication is used in the manufacturing of these
products.
If 1000 products are manufactured using mass production, each
one of them should be exactly the same. There should be no
deviation in the product manufactured.
4) Continuous production or Process production:

There is a lot of confusion between mass production and continuous

production. It can be differentiated by a single element. The amount of mechanical

work involved. In Mass production, both machines and humans work in tandem.

However, in continuous production, most of the work is done by machines rather

than humans. In continuous production, the production is continuous,24×7 hours,

all days in a year.

A good example of the Continuous production is chemicals; the production goes

on 24 hours a day and 365 days a year. This is because brewing takes a lot of time

and production is important. There are many chemicals which are manufactured in

the form of a continuous process due to the huge demand across the world.
Methods/Techniques of Production Control?

Some of the major methods and techniques used for

production control in an organization are:

1. Scheduling

2. Ordering

3. Dispatching

4. Follow-up.
1. Scheduling or Programming:
Scheduling is the process of arranging, controlling
and optimizing work and workloads in a production
process.it is used to allocate plant and machinery
resources, human resources, plan production
processes and purchase materials.
In production scheduling three main decisions
are taken:
(a) Nature of the product to be manufactured
(b) Amount of Quantities to be produced
(c) When to produce
2. Ordering:
It breakdown the requirements for products to be completed at specific times into
orders for materials and processed parts and attempts to do so in such a way that
they ate available when needed. It takes into consideration the targets prescribed
in a programme by planning the output of the desired components from some
external supplier and the processing department of the organization. It contains
the quantities to be produced by the supplier and by different departments as well
as the time by which the work should be completed.
Rules to be observed in an ordering system:
(i) No work can be carried out without an order.
(ii) All orders authorizing the manufacture, purchase or any other expenditure
should be issued in writing on a standard form.
(iii) All orders should be issued by an authorized authority.
3.Dispatching:
Dispatching is the routine of setting production activities in motion through
the release of order and instructions in accordance with previously planned
times and sequence embodied in route sheets and schedule charts. It considers
each processing department one by one and plans the output from machines,
tools and other work centers so as to complete the orders by due date.
After ordering, next step is to bring together the inputs, i.e., plant, labour,
special tools and material required for each production operation on each part
and assembly. The concerned operators are issued necessary instructions.
Functions of Dispatching:
(i) To check the immediate availability of materials.
(ii) To collate jobs, operation layouts, routine etc. with the design.
(iii) Processing information or inspection schedule.
(iv) Assign the work to definite machine, work place and men.
(v) To issue necessary materials, tools etc. to correct points for use.
(vi) Instruction to start the production.
4.Progressing or Follow-up:
Follow-up is a most important step of production
control. This step is to ascertain from time-to- time
that the production operations are progressing
according to the plan. The chaser is responsible for
observing that any detail which is overlooked or not
properly executed is set right.
It discovers causes of delay which may be
uneconomic lot sizes; schedule beyond the capacity
of the machine, underestimation of material, tools
and manpower, errors in processing and inspection
etc.
Cellular manufacturing?
Cellular manufacturing is a process of manufacturing which is a
subsection of just-in-time manufacturing. (Just-in-time also known as JIT
is an inventory management method whereby labour, material and goods
are re-filled or scheduled to arrive exactly when needed in the
manufacturing process).
The goal of cellular manufacturing is to move as quickly as possible,
make a wide variety of similar products, while making as little waste as
possible.
Cellular manufacturing involves the use of multiple "cells" in an
assembly line fashion.
Each of these cells is composed of one or multiple different machines
which accomplish a certain task.
The product moves from one cell to the next, each station completing part
of the manufacturing process.
This allows for a variety of scaling for a product, minor changes to the
overall design, and in extreme cases, entirely changing the overall design.