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Final_POP-501

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1.1. Origin of the Report Master of Business Administration (MBA) is a comprehensive professional course designed to make professionals with better business and administrative knowledge. This report is the accomplishment of the business program as required for the completion of the MBA course at IUBAT- International University of Business Agriculture and Technology and the Department of Production and Operation Management. The report was duly approved by the faculty advisor Mozaffar A Chowdhury, College of Business Administration, IUBAT- International University of Business Agriculture and Technology. The topic of the Report is “Production and Operation System of Dhaka Ice Cream Industry Ltd (DIIL)”. 1.2 Background This is a report which I have prepared to fulfill the requirement of the course POP-501. This following report has been assigned to me by my advisor Mozaffar A Chowdhury. I have collect information form Premier Cement Mills Ltd for a time span of one month as a report; where I had the opportunity to see and learn new things about how a cement company in Bangladesh operates. This report reflects about my in-depth understanding about the various aspects of this company and the cement industry on the whole. 1.3 Objective 1
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Page 1: Final_POP-501

1.1. Origin of the Report

Master of Business Administration (MBA) is a comprehensive professional course

designed to make professionals with better business and administrative knowledge.

This report is the accomplishment of the business program as required for the

completion of the MBA course at IUBAT- International University of Business Agriculture

and Technology and the Department of Production and Operation Management. The

report was duly approved by the faculty advisor Mozaffar A Chowdhury, College of

Business Administration, IUBAT- International University of Business Agriculture and

Technology. The topic of the Report is “Production and Operation System of Dhaka

Ice Cream Industry Ltd (DIIL)”.

1.2 Background

This is a report which I have prepared to fulfill the requirement of the course POP-501.

This following report has been assigned to me by my advisor Mozaffar A Chowdhury. I

have collect information form Premier Cement Mills Ltd for a time span of one month as

a report; where I had the opportunity to see and learn new things about how a cement

company in Bangladesh operates. This report reflects about my in-depth understanding

about the various aspects of this company and the cement industry on the whole.

1.3 Objective

The main objectives of this report are:

To have a practical experience of Job life.

To find out the relevance and application of the theoretical knowledge in

practical life.

To know about the real life scenarios and problems that occurs in a workplace

which however cannot be understood properly by reading books and studying

in classrooms.

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To gain an in-depth knowledge about how a company (in this case a ice

cream company) functions by utilizing its resources properly.

To gain knowledge about the ice cream industry of Bangladesh about

production and operation management.

1.4 Methodology

This report has been completed by taking information from different relevant sources.

Some accounts have been taken by observing and working with the company itself.

However, this report also consists of a significant amount of data obtained from both

primary and secondary sources.

Secondary data:

For the secondary data, I have used the intranet of Dhaka Ice Cream Industry

Ltd (DIIL) which mainly consist of the data and the excel sheets of the

company.

I have also taken information from various reports which were provided to me

by Dhaka Ice Cream Industry Ltd (DIIL).

In addition, I have taken some information from the internet as well.

Primary data:

Practical work experience at the different departments of Dhaka Ice Cream

Industry Ltd (DIIL).

Discussions and meetings with the employees of Dhaka Ice Cream Industry

Ltd (DIIL) regarding their feelings, opinions and feedback regarding Dhaka Ice

Cream Industry Ltd (DIIL). .

Field visits to the factory of Dhaka Ice Cream Industry Ltd (DIIL), meeting with

the engineers and masons and some brief visit to the cement shops.

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1.5 Scope

This report is focused on cement industry by the Dhaka Ice Cream Industry Ltd (DIIL) in

Bangladesh. The manufacturing firms now have operated throughout the country.

Research was restricted within the clients of Tejgaon, Dhaka of the Dhaka Ice Cream

Industry Ltd (DIIL). However for comparison with other ice cream industry, igloo offers

were also studied. The findings and recommendations are based on the activities ice

cream industry for consumer’s durable products only.

1.6 Limitation

While collecting information within the company, we faced some limitations in terms of

having access to information belonging to the company. As we spend time there as a

report, we did not have access to many documents which prevented me from including

up a lot of information n details about certain topics of the report. Although we collect

information in almost all the departments of the corporate office of Dhaka Ice Cream

Industry Ltd which provided me with a broader perspective of how the company works,

nevertheless I did not get an in-depth understanding and information about every sector

of all the departments of the company uniformly. Although we had this limitation,

however we have tried our level best to fulfill the objectives of this report properly.

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2.0 THE INVENTION OF ICE CREAM

The story of ice cream begins a long, long time ago in a most beautiful place. The story

of ice cream begins over 3,000 years ago in China. Lots of cool things were invented in

China. Umbrellas, glasses and fireworks were all invented in China but the tastiest and

coldest Chinese invention is snow ice cream. The Emperors of China were the first

people; their cooks mixed snow and ice from the mountains with fruit, wine and honey to

make a tasty treat for their rulers to enjoy when they wanted to relax.

In 62 A.D. the Roman Emperor Nero wanted to eat snow ice cream so badly he sent

slaves up to the mountains to bring back snow and ice so his cooks could make it for

him. Nero's cooks mixed the ice and snow the slaves brought back with nectar, fruit and

honey and then Nero ate it.

In 1295, Marco Polo, a great adventurer, returned from China to Italy with a new recipe

for making snow ice cream. His recipe called for mixing yak milk into snow in order to

make it creamy. The idea of mixing a mammal's milk into snow ice cream caught on and

soon the rich people of Italy were enjoying frozen milk.

In 1533, Catherine de Medici of Florence, Italy became the Queen of France when she

married the French king, Henry II. One of the things she took with her when she moved

from her home in Italy to her castle in France was her recipe for making frozen milk.

Soon many of the cooks in France were making the delicious treat. One French chef

opened a shop to sell the tasty treat. He was the first cook to add flavors like chocolate

and strawberry to the frozen milk.

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When Charles I of England visited France in the 1600s, he was served frozen milk. He

loved it so much, he asked the French chef who served it to him to sell him the recipe.

Charles I took the recipe back to England with him and the rich people of England

began to eat the delicious cold dessert.

In 1700, Governor Bladen of Maryland, who was from England, served ice cream to his

guests. Seventy-six years later, the first ice cream parlor in America opened in New

York City.

Dolly Madison, the president's wife loved ice cream so much, she served it to her White

House guests in 1812. In 1843, an American woman named Nancy Johnston invented

the hand-cranked ice cream freezer, which made making ice cream easier. In 1851

Jacob Fussel opened the first ice cream factory in the United States of America in

Baltimore, Maryland. He sold his ice cream from a wagon. In 1899, August Gaulin, who

lived in France, invented the homogenizer. This invention helped give ice cream a really

smooth texture. In 1902, August Gaulin invented a new kind of ice cream freezer that

helped make ice cream freeze faster.

In 1903, Italo Marchiony, a man who sold ice cream from a pushcart he pushed through

the streets of New York City, invented the ice cream cone and patented his idea. He

invented the waffle cup because he was tired of people walking off with or breaking the

glasses he used to serve ice cream from his pushcart.

A year later in 1904, E.A. Hamwi introduced the waffle cone at the St. Louis World Fair.

People say he began making the waffle cones when an ice cream vendor at the fair ran

out of bowls.

The closing of bars that sold wine and beer in 1919 led to the opening of many ice

cream parlors in the United States. The more Americans ate ice cream the more they

wanted to eat ice cream. This demand for ice cream led to the invention of the first

chocolate covered ice cream bar. The first chocolate ice cream bar was called the I-

Scream Bar but later its name was changed to the Eskimo Pie.1

1 Reference: http://webinstituteforteachers.org/~cbmallare/History1.htm

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2.1 INTRODUCING ICE CREAM IN BANGLADESH

In the 90’s Polar Ice Cream was the only producer in Bangladesh. During that time,

Polar was very popular and was available in all market areas. Bangladesh is a small

country where summer season is the longest and so people have high demand on

having ice cream due to hot weather. Polar has become a matured brand in 90’s mid

but after few years other competitors like Igloo, Savoy, and Kwality entered the market.

Polar strong rival is Igloo. Today, these two are the largest ice cream producers in

Bangladesh. The market of ice cream, especially the branded ones, started to expand

at a faster pace since 2000. Other than Polar, Igloo, foreign brands came in Bangladesh

like Moven Pick, Baskin Robbins, Club gelato and Anderson Ice Cream. These are ice

cream parlors and are available only in Dhaka. Their target customers are upper class

while Polar serves to all classes of people.

Most target customers are youth. Polar have always been targeting their product to all

ages of customers. During the summer season they attract the customers with variety of

ice creams in different shape and taste.

From 2000, due to the management crisis Polar has been suspended for few years.

Then in 2008 Polar re-launch their company with new management and brand image.

Today, Polar has gain the popularity and is in rising position. They are almost close to

the level of their rivals. Polar have bright future and could earn sustainable competitive

advantage within few years.

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2.2 ESTABLISHING “POLAR”

Dhaka Ice Cream Industries Limited (DIIL) introduced the first hygienically packed ice

cream in Bangladesh in 1987. The brand name “Polar” was thus born.

In the early days, they started the ice cream business with a wide range of products

and a variety of flavors in Dhaka city. In 1988, the company started its distribution in

the city of Chittagong, then Bogra and then covered the city after city. Presently, Polar

ice cream is available throughout Bangladesh. The company today is one of the

leading producers and distributors of ice cream in the country.

The company has its head office, as well as a modern, large scale industrial plant in

Dhaka at Tejgaon commercial area. Polar ice cream is made with Danish expertise,

using Danish equipment and technology. The production activities and quality

control measures are supervised and managed by a Danish manager.

Polar offers a wide range of delicious flavors and tastes made by ingredients imported

from Europe. Polar ice cream are enjoyed and loved by people of all ages.

Objectives

“To maintain the possible consumer satisfaction and to deliver the most hygienically

produced Polar Ice Cream at affordable price”.

Mission

“To uphold the superior image of the company among its valued customers.”

Vision

“To increase the range of the products in the near future to the growing demands of the

customers.

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Commitment

“Always comply with the statutory and regulatory requirements through continual

improvement of Food Safety Management System (FSMS) and teamwork.”

Company address

The Brand name

“POLAR”

Brand Logo

The tagline

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Dhaka Ice Cream industries Limited

80 Shaheed Tajuddin Ahmed Sharani

(old) 288-290, Tejgaon Industrial Area

Dhaka-1208, Bangladesh

Tel: (880-2) 8812437, 8812460, 9898027-8

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“Delight in every bite”

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2.2.1 DIIL PRODUCTS

Items Product's name

 

Choco Bar

Baby Choc

2 in 1

Malai

Crunchy

Penguin

Rocks

LollyLemon

orange

Cup-normal

Vanilla

strawberry

Mango

Cup-premium

Pista kulfi

Chocolate

Royal Sundae

Cone Carnival

Cup 1 litre Container Vanilla

strawberry

Mango

Ripple

Choco Crumb

Caramel Touch

Strawberry

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Mango mellow

Cake Ice Cream cake

2.3 POLAR ICE CREAM

Polar 5 Litre Cup

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2.4 THE NETWORK

Dhaka Ice Cream at present has 4 cold stores in Dhaka, Chittagong, Bogra and

Jessore in Bangladesh.In Dhaka City, DIIL distribute ice creams directly to retail stores

in freezer bans. Beside that, they have several distributors at different points in the city.

Distributors cover their individual areas where they are not able to supply directly in their

freezer vans.For storing and selling their ice creams in retail stores, they arrange a deep

freezer with Polar logo and capacity light box (upon request from the store owner).

From Dhaka cold store, they distribute their products in Mymensingh, Tanagail,

Jamalpur, Sherpur, Kishoreganj, Netrokona, Comilla, Narsinghdi, Barisal,

Madaripur, Agealjhara, Faridpur, Magura, Chudanga, Jessore, Satkhira, Khulna,

Pirojpur and Sylhet through their distributors. In case of long distance delivery points,

they use an auto cooling freezer van so that the ice creams retain their quality.

They also distribute their ice creams directly to retail store by freezer van in Chittagong.

Beside that, they have several distributors at different points of the city. From our

Chittagong cold store, they distribute ice creams in Feni, Chowmohini, Cox’s Bazar,

Rangamati and Bandarban through our distributors.

They have similar distribution network in Bogra too, from where they sell ice creams in

Rangpur, Saidpur, Dinajpur, Natore, Rajshahi and Pabna through their distributors.

DIIL also have cold store in Jessore and has a similar distribution network. They

distribute ice creams in the entire south Bengal area including Khulna and Barisal

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division, through their distributors.Other than distribution, they also undertake home

delivery of ice creams for special occasions.

2.4.0 DIIL DISTRIBUTOR’S MAP

Dhaka Ice Cream Industries Limited

Dhaka Cold Store

Chittagong Cold Store

Jessore Cold Store

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Polar Transports- Freezer Van and Trolley

2.5 FOOD SAFETY AND QUALITY POLICY IN DIIL

***NOTE: All the policy of DIIL has been quoted from various websites of Bangladesh

Food safety has become an important topic as consumers in Bangladesh have become

victim of serious adulteration in food. It has been reported in the media how certain

"rogue" restaurants are using dead chicken meat and sweets mixed with substances

that pose health hazard. We cannot ignore as this is a matter of life and death. We have

to maintain certain standards so that consumers are satisfied with what they consumed

in terms of their quality, standard and hygiene. Even government has to provide all

necessary support to maintain the safety of foods.

The main concern of Dhaka Ice Cream Industries Limited is the image of the company.

Their endeavor is to maintain the consumer satisfaction in the utmost possible way and

committed to deliver the most hygienically product at affordable price. That is why DIIL

always observe the statutory and regulatory requirements through food safety and

quality policy. There are several laws in Bangladesh that DIIL adhere to for maintaining

health and safety standards

2.5.1 The Bangladesh Standards and Testing Institution2

The Bangladesh Standards and Testing Institution Ordinance, 1985: This ordinance

relates to establishment of an institution for standardizations, testing, metrology, and

quality control, grading and marking of goods. Within the framework of this ordinance,

the government has established the Bangladesh Standards and Testing Institution

(BSTI). One import task of this organization is to certify the quality of commodities,

materials, whether for local consumption or for export and import. The Ordinance has

been amended as The Bangladesh Standards and Testing Institution (Amendment) Act,

2003.

2 Reference: http://www.bsti.gov.bd/about.html

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2.5.2 Features of BSTI

(a) Surprise inspections of the licensee's factory are being carried out periodically by

qualified inspecting officers of the institution and random samples are being taken and

tested at the BSTI Laboratory.

(b) Products bearing the standard mark are collected by the surveillance team of the

institution directly from the open market and tested in the BSTI Laboratory.

Representatives from the Consumers Association of Bangladesh (CAB) and the

respective chamber of commerce and industries help the surveillance team in

performing its function.

(c) Entrusted the responsibility of formulation of national Standards of industrial, food

and chemical products keeping in view the regional and international standards.

(d) Responsible for the quality control of the products which are ensured as per

specific national standards made by the technical committees formed by BSTI.

(e) Implement the metric system and to oversee the accuracy of weights and measures

in the country.

2.5.3 Food Safety Management System

Food safety is a global concern. Public health issues can significantly impact on trade.

Legislation, in most countries, requires proprietors of food companies to implement

HACCP principles into food production systems. A management system based on

HACCP principles allows organizations to identify, document, maintain and review food

hazards that occur during the food production process.2

2 Reference:http://www.nimbusbangladesh.com/services.html

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2.5.4 Hazard Analysis and Critical Control Point (HACCP)

HACCP is a systematic preventive approach to food safety and pharmaceutical safety

that addresses physical, chemical, and biological hazards as a means of prevention

rather than finished product inspection. HACCP is used in the food industry to identify

potential food safety hazards, so that key actions, known as Critical Control Points

(CCPs) can be taken to reduce or eliminate the risk of the hazards being realized. The

system is used at all stages of food production and preparation processes including

packaging, distribution, etc.3

2.5.5 Basic principles of HACCP

There are seven discrete activities that are necessary to establish, implement and

maintain a HACCP plan, and these are referred to as the 'seven principles' in the Codex

Guideline (1997).4

1. Conduct a hazard analysis.

Identify hazards and assess the risks associated with them at each step in the

commodity system. Describe possible control measures

.

2. Determine the Critical Control Points (CCPs)

A critical control point is a step at which control can be applied and is essential to

prevent or eliminate a food safety hazard, or reduce it to an acceptable level.

3. Establish critical limits.

Each control measure associated with a CCP must have an associated critical limit

which separates the acceptable from the unacceptable control parameter.

3 Reference: http://en.wikipedia.org/wiki/Hazard_Analysis_and_Critical_Control_Points4 Reference: http://www.fao.org/docrep/005/Y1390E/y1390e09.htm#TopOfPage

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4. Establish a monitoring system

Monitoring is the scheduled measurement or observation at a CCP to assess whether

the step is under control.

5. Corrective action

Establish a procedure for corrective action, when monitoring at a CCP indicates a

deviation from an established critical limit.

6. Verification

Establish procedures for verification to confirm the effectiveness of the HACCP plan.

Such procedures include auditing of the HACCP plan to review deviations and product

dispositions, and random sampling and checking to validate the whole plan.

7. Documentation

Establish documentation concerning all procedures and records appropriate to these

principles and their application.

2.5.6 Quality Management System

Quality Management System defines quality as ‘the degree to which a set of inherent

characteristics fulfils requirements.’ Grade denotes a category or grade attributed to a

product, and grades and categories of products having the same functional use can be

widely different. The term quality assurance is used to denote actions that lead to

building confidence in all concerned stakeholders that requirements would be fulfilled.

The term quality control simply focuses on fulfilling quality requirements. Quality

management, on the other hand, encompasses all activities, maintaining the focus on

distinction and control aspects in an organization as regards quality is concerned.5

5 Reference: http://www.fao.org/docrep/005/Y1390E/y1390e09.htm#TopOfPage

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2.6. AUDIT PLAN

Audit plan is the arrangement to confirm that the management system has been

established and implemented in according to the requirements of the audit standard. An

audit plan is a set of policies and procedures that dictate how auditing is to be

implemented. Audit plan measures to determine what, and how much, evidence must

be collected and evaluated — as well as who will collect and evaluate it, and when this

should be done.

Organizations typically prepare audit programs based on the operational planning

activities of the evidence collected and evaluated by an auditor. The audit plan is

prepared and, if need be, revised in accordance with the evidence. It is documented in

the audit working papers, which are the official record that contains the planning and

execution of the audit agreement. While the formality of an audit plan largely depends

on the size of the organization, all plans require certain elements in order to be

effective.6

2.6.1 Internal Audit

An internal audit analyzes the activities, processes and procedures of a business. The

goal of the audit often is to improve the company’s productivity and increase its

revenues.

Since management is normally held responsible for internal control, managers are often

the target of this type of audit. To fairly and equitably analyze the company’s employees

and management procedures, an internal audit generally requires the people

conducting it to be independent evaluators. Often, third-party professionals are hired to

conduct the audit to ensure neutrality.

6 Reference: http://nimbusbangladesh.com/9001.html

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2.7 PRE-REQUISITE PROGRAM IN DIIL8

Figure: Pre-requisite program

1. Primary Production8 Reference: Dhaka Ice Cream Industries Limited/HOHR/Admin/HR Policy

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Primary food production should be managed to ensure that food is safe and wholesome

for the consumer. Production should be fit for purpose and should not have previously

been contaminated with heavy metals, industrial chemicals or environmental waste.

Such hazards will be transferred into the food chain rendering the commodity unfit for

human consumption.

2. Establishment Design and Facilities

The structure and location of a processing plant needs to be considered in relation to

the nature of operations and risks associated with them.

Food premises should be designed to minimize possibilities of contamination of

commodity or product.

Design and layout should permit maintenance, cleaning and disinfection of the

site to minimize airborne contamination.

All surfaces that come into contact with food should be non toxic, as well as

being easy to maintain and clean in order to prevent any additional

contamination.

Suitable facilities should exist for temperature and humidity control, when

required.

Effective measures should exist to prevent access by pests

3. Control of Operation

Effective control measures should be in place to reduce the risk of contamination of the

commodity or food supply such that it is safe and fit for purpose:

Adequate time, temperature or humidity controls

Ice cream grade packaging

Potable water supplies

Maintenance of equipment

4. Maintenance and Sanitation

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Procedures and work instructions should exist to demonstrate an adequate level of

maintenance of an establishment as well as efficient practices for cleaning, waste

management, and pest control. Overall, these operations will support the ongoing

control of potential food hazards that may contaminate food.

5. Personnel Hygiene

Measures need to be in place to ensure that food handlers do not contaminate food.

This objective can be attained by maintaining an appropriate level of personal

cleanliness and following guidelines for personal hygiene.

6. Transportation

The method of transportation should be such that measures are taken to prevent any

contamination or deterioration of the commodity. Commodities or product that need to

be transported in certain environments should be appropriately controlled, e.g. chilled,

frozen, or stored under specific humidity levels.

Containers and conveyors used for transporting ice cream need to be maintained in

good condition and be easy to clean. Containers used for bulk transfer should be

designated and marked specifically for food use only.

7. Training

All food handlers should be trained in personal hygiene, as well as in the specific

operation with which they are working, to a level commensurate with their duties. Ice

cream handlers should also be supervised by trained supervisors. An ongoing training

programme for ice cream handlers is paramount to the success of a Food Safety

Management System

8. Product Information and Consumer Awareness

The end product should be accompanied by adequate information to ensure that

personnel at the next stage in the food chain will handle, store, process, prepare and

display the product safely. Since the consumer may be responsible for performing the

ultimate control measure, the ingredients of ice cream, they should have all the relevant

information required to carry out this step effectively.

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3.0 Production and Operations Management of Dhaka Ice Crème Industry Ltd (DIIL)

Production is the creation of goods and services. Operations Management (OM) is a

set of activities that creates value in the form of goods and services by transforming

inputs into outputs. Activities creating goods and services take place in all

organizations. Dhaka Ice Cream Industry Ltd manufacturing firms, the production

activities that create goods are usually quite obvious. In them we can see the creation of

a tangible product such as cement production depends on Ten Critical Decisions /

Factors of Operation Management.

3.1 Design of goods and services

Product design is the process of defining all the features and characteristics of just

about anything you can think of, from Starbuck’s cafe latte or Jimmy Dean’s sausage to

GM’s Saturn or HP’s DeskJet printer. Product design also includes the design of

services, such as those provided by Salazar’s Beauty Salon, La Petite Academy Day

Care Center, or FedEx. Dhaka Ice Cream Industry Ltd consumers respond to a

product’s appearance, color, texture, performance. All of its features, summed up, are

the product’s design. Someone came up with the idea of what this product will look like,

taste like, or feel like so that it will appeal to you. This is the purpose of product design.

Product design defines a product’s characteristics, such as its appearance, the

materials it is made of, its dimensions and tolerances, and its performance standards.

THE PRODUCT DESIGN PROCESS

Dhaka Ice Cream Industry Ltd certain steps are common in the development of most

product designs. They are idea generation, product screening, preliminary design and

testing, and final design. Notice that the arrows show a circular process. Product

designs are never finished, but are always updated with new ideas. Let’s look at these

steps in more detail.

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Idea Development

Dhaka Ice Cream Industry Ltd product designs begin with an idea. The idea might

come from a product manager who spends time with customers and has a sense of

what customers want, from an engineer with a flair for inventions, or from anyone else in

the company. To remain competitive, companies must be innovative and bring out new

products regularly. In some industries, the cycle of new product development is

predictable. We see this in the auto industry, where new car models come out every

year, or the retail industry, where new fashion is designed for every season.

Product Screening

After a product idea has been developed Dhaka Ice Cream Industry Ltd it is evaluated

to determine its likelihood of success. This is called product screening. The company’s

product screening team evaluates the product design idea according to the needs of the

major business functions. In their evaluation, executives from each function area may

explore issues such as the following:

• Operations What are the production needs of the proposed new product and how do

they match our existing resources? Will we need new facilities and equipment? Do we

have the labor skills to make the product? Can the material for production be readily

obtained?

• Marketing What is the potential size of the market for the proposed new product? How

much effort will be needed to develop a market for the product and what is the long-term

product potential?

• Finance The production of a new product is a financial investment like any other.

What is the proposed new product’s financial potential, cost, and return on investment?

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Preliminary Design and Testing

Premier Cement Mills Ltd product idea has passed the screening stage; it is time to

begin preliminary design and testing. At this stage, design engineers translate general

performance specifications into technical specifications. Prototypes are built and tested.

Changes are made based on test results, and the process of revising, rebuilding a

prototype, and testing continues.

Final Design

Dhaka Ice Cream Industry Ltd following extensive design testing the product moves to

the final design stage. This is where final product specifications are drawn up. The final

specifications are then translated into specific processing instructions to manufacture

the product, which include selecting equipment, outlining jobs that need to be

performed, identifying specific materials needed and suppliers that will be used, and all

the other aspects of organizing the process of product production.

FACTORS IMPACTING PRODUCT DESIGN

Here are some additional factors that need to be considered during the product design

stage.

Design for Manufacture

Dhaka Ice Cream Industry Ltd product design we generally first think of how to please

the customer. However, we also need to consider how easy or difficult it is to

manufacture the product. Otherwise, we might have a great idea that is difficult or too

costly to manufacture. Design for manufacture (DFM) is a series of guidelines that we

should follow to produce a product easily and profitably. DFM guidelines focus on two

issues:

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1. Design simplification means reducing the number of parts and features of the product

whenever possible. A simpler product is easier to make, costs less, and gives us higher

quality.

2. Design standardization refers to the use of common and interchangeable parts. By

using interchangeable parts we can make a greater variety of products with less

inventory and significantly lower cost and provide greater flexibility.

Product Life Cycle

Dhaka Ice Cream Industry Ltd another factor in product design is the stage of the life

cycle of the product. Most products go through a series of stages of changing product

demand called the product life cycle. There are typically four stages of the product life

cycle: introduction, growth, maturity, and decline.

Concurrent Engineering

Concurrent engineering is an approach for Dhaka Ice Cream Industry Ltd that brings

many people together in the early phase of product design in order to simultaneously

design the product and the process. This type of approach has been found to achieve a

smooth transition from the design stage to actual production in a shorter amount of

development time with improved quality results.

Remanufacturing

Remanufacturing is a concept for Dhaka Ice Cream Industry Ltd that has been gaining

increasing importance, as our society becomes more environmentally conscious and

focuses on efforts such as recycling and eliminating waste. Remanufacturing uses

components of old products in the production of new ones. In addition to the

environmental benefits, there are significant cost benefits because remanufactured

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products can be half the price of their new counterparts. Remanufacturing has been

quite popular in the production of computers, televisions, and automobiles.

TECHNOLOGY DECISIONS

Dhaka Ice Cream Industry Ltd advancements in technology have had the greatest

impact on process design decisions. Technological advances have enabled companies

to produce products faster, with better quality, at a lower cost. Many processes that

were not imaginable only a few years ago have been made possible through the use of

technology. In this section we look at some of the greatest impacts technology has had

on process design.

Information Technology

Dhaka Ice Cream Industry Ltd information technology (IT) is technology that enables

storage, processing, and communication of information within and between firms. It is

also used to organize information to help managers with decision making. One type of

information technology we are all familiar with is the Internet, which has had the

greatest impact on the way companies conduct business. The Internet has linked

trading partners— customers, buyers, and suppliers—and has created electronic

commerce and the virtual marketplace. Enterprise software is another powerful

information technology, such as enterprise resource planning (ERP). These are large

software programs used for planning and coordinating all resources throughout the

entire enterprise. They allow data sharing and communication within and outside of the

firm, enabling collaborative decision making.

Automation

An important decision in Dhaka Ice Cream Industry Ltd designing processes is

deciding whether the firm should automate, to what degree, and the type of automation

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that should be used. Automation uses machinery that is able to perform work without

human operators and can be a single machine or an entire factory. Although there are

tremendous advantages to automation, there are also disadvantages. Companies need

to consider these carefully before making the final decision.

E-Manufacturing

Today’s Web-based environment has created numerous opportunities for business

collaboration. Dhaka Ice Cream Industry Ltd includes collaboration in product and

process design, where customers, buyers, and designers can share information and

jointly make decisions in real time. Let’s look at some of the computer systems that can

aid e-manufacturing.

Computer-Aided Design (CAD) Computer-aided design (CAD) is a system for Dhaka

Ice Cream Industry Ltd that uses computer graphics to design new products. Gone are

the days of drafting designs by hand. Today’s powerful desktop computers combined

with graphics software allow the designer to create drawings on the computer screen

and then manipulate them geometrically to be viewed from any angle. With CAD the

designer can rotate the object, split it to view the inside, and magnify certain sections for

closer view.

Computer-Integrated Manufacturing Computer-integrated manufacturing (CIM) is a

term for Dhaka Ice Cream Industry Ltd which used to describe the integration of

product design, process planning, and manufacturing using an integrated computer

system. Computer-integrated manufacturing systems vary greatly in their complexity.

Simple systems might integrate computer aided design (CAD) with some numerically

controlled machines (NC machines). A complex system, on the other hand, might

integrate purchasing, scheduling, inventory control, and distribution, in addition to the

other areas of product design.

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3.2 Managing quality

Quality

To cite Lew Ireland’s choice of definitions, “Quality is the totality of features and

characteristics of a product or service that bear on its ability to satisfy stated or implied

needs.” Today, there is no single universal definition of quality. Some people view

quality as “performance to standards.”Others view it as “meeting the customer’s needs”

or “satisfying the customer.” Let’s look at some of the more common definitions of

quality for Dhaka Ice Cream Industry Ltd:

• Conformance to specifications Dhaka Ice Cream Industry Ltd measures how well

the product or service meets the targets and tolerances determined by its designers.

For example, the dimensions of a machine part may be specified by its design

engineers as 3 _ .05 inches. This would mean that the target dimension is 3 inches but

the dimensions can vary between 2.95 and 3.05 inches.

• Fitness for use Premier Cement Mills Ltd focuses on how well the product performs

its intended function or use. However, if Premier Cement Mills Ltd the definition

becomes more specific and assumes that the intended use is for transportation on

mountain roads and carrying fishing gear, the Jeep Cherokee has a greater fitness for

use.

• Value for price paid is a definition of quality that consumers often use for product or

service usefulness. This is the only definition that combines economics with consumer

criteria; it assumes Dhaka Ice Cream Industry Ltd that the definition of quality is price

sensitive. For example, suppose that you wish to sign up for a personal finance seminar

and discover that the same class is being taught at two different colleges at significantly

different tuition rates. If you take the less expensive seminar, you will feel that you have

received greater value for the price.

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• Support services Dhaka Ice Cream Industry Ltd provided are often how the quality

of a product or service is judged. Quality does not apply only to the product or service

itself; it also applies to the people, processes, and organizational environment

associated with it.

Indicators of Quality

Dhaka Ice Cream Industry Ltd also uses Indicators of Quality. These are very useful,

especially very early in projects, when Defect Counts may not be available. What are

Quality Indicators? These are evidence that certain aspects of Project Quality are in

place. These can be global, across the project, or incremental, for individual

assignments. And, a Project Manager can monitor the Indicators for improvement when

responsibility, process or talent adjustments are made.

Dhaka Ice Cream Industry Ltd is several Indicators we’ve used in a range of project

sizes, from very small to multi-billion dollar ones. Note that many of them relate to the

subjective side of Project Quality, or the Perception of Quality.

• Engagement Measures: Dhaka Ice Cream Industry Ltd internal Customer

involvement in key project activities; expected vs. actual.

• Planned vs. Actual Cumulative Review Count.

• Assessment Measures: Dhaka Ice Cream Industry Ltd customer satisfaction

surveys; stakeholder expectations evaluation.

COST OF QUALITY

The reason quality has gained such prominence is that organizations have gained an

understanding of the high cost of poor quality. Quality affects all aspects of the

organization and has dramatic cost implications. The most obvious consequence occurs

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when poor quality creates dissatisfied customers and eventually leads to loss of

business. However, quality has many other costs, which can be divided into two

categories. The first category consists of costs necessary for achieving high quality,

which are called quality control costs. These are of two types: prevention costs and

appraisal costs. The second category consists of the cost consequences of poor quality,

which are called quality failure costs. These include external failure costs and internal

failure costs.

Prevention costs: Dhaka Ice Cream Industry Ltd is all costs incurred in the process

of preventing poor quality from occurring. They include quality planning costs, such as

the costs of developing and implementing a quality plan. Also included are the costs of

product and process design, from collecting customer information to designing

processes that achieve conformance to specifications. Employee training in quality

measurement is included as part of this cost, as well as the costs of maintaining records

of information and data related to quality.

Appraisal costs: Dhaka Ice Cream Industry Ltd is incurred in the process of

uncovering defects. They include the cost of quality inspections, product testing, and

performing audits to make sure that quality standards are being met. Also included in

this category are the costs of worker time spent measuring quality and the cost of

equipment used for quality appraisal.

TOTAL QUALITY MANAGEMENT (TQM)

Introduction

TQM is the way of managing for the future, and is far wider in its application than just

assuring product or service quality – it is a way of managing people and business

processes to ensure complete customer satisfaction at every stage, internally and

externally. TQM, combined with effective leadership, results in a Dhaka Ice Cream

Industry Ltd doing the right things right, first time.

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The core of TQM is the customer-supplier interfaces, both externally and internally,

and at each interface lay a number of processes. This core must be surrounded by

commitment to quality, communication of the quality message, and recognition of the

need to change the culture of the Dhaka Ice Cream Industry Ltd to create total

quality. These are the foundations of TQM, and they are supported by the key

management functions of people, processes and systems in the organisation.

THE PHILOSOPHY OF TQM

What characterizes TQM is the focus for Dhaka Ice Cream Industry Ltd on identifying

root causes of quality problems and correcting them at the source, as opposed to

inspecting the product after it has been made. Not only does TQM encompass the

entire Dhaka Ice Cream Industry Ltd, but it stresses that quality is customer driven.

TQM attempts to embed quality in every aspect of the organization. It is concerned with

technical aspects of quality as well as the involvement of people in quality, such as

customers, company employees, and suppliers. Dhaka Ice Cream Industry Ltd looks

at the specific concepts that make up the philosophy of TQM.

Customer Focus

The first, and overriding, feature of TQM is the company’s focus on its customers.

Dhaka Ice Cream Industry Ltd quality is defined as meeting or exceeding customer

expectations. The goal is to first identify and then meet customer needs. TQM

recognizes that a perfectly produced product has little value if it is not what the

customer wants. Therefore, we can say that quality is customer driven. However, it is

not always easy to determine what the customer wants, because tastes and

preferences change. Also, customer expectations often vary from one customer to the

next.

Continuous Improvement

Another concept of the TQM philosophy is for the Dhaka Ice Cream Industry Ltd focus

on continuous improvement. Traditional systems operated on the assumption that

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once a company achieved a certain level of quality, it was successful and needed no

further improvements. We tend to think of improvement in terms of plateaus that are to

be achieved, such as passing a certification test or reducing the number of defects to a

certain level.

Employee Empowerment

Dhaka Ice Cream Industry Ltd of the TQM philosophy is to empower all employees to

seek out quality problems and correct them. With the old concept of quality, employees

were afraid to identify problems for fear that they would be reprimanded. Often poor

quality was passed on to someone else, in order to make it “someone else’s problem.”

Use of Quality Tools

Dhaka Ice Cream Industry Ltd sees that TQM places a great deal of responsibility on

all workers. If employees are to identify and correct quality problems, they need proper

training. They need to understand how to assess quality by using a variety of quality

control tools, how to interpret findings, and how to correct problems. In this section we

look at seven different quality tools. They are easy to understand, yet extremely useful

in identifying and analyzing quality problems. Sometimes workers use only one tool at a

time, but often a combination of tools is most helpful.

Cause-and-Effect Diagrams Dhaka Ice Cream Industry Ltd cause-and-effect

diagrams are charts that identify potential causes for particular quality problems. They

are often called fishbone diagrams because they look like the bones of a fish. These

causes could be related to the machines, workers, measurement, suppliers, materials,

and many other aspects of the production process. Each of these possible causes can

then have smaller “bones” that address specific issues that relate to each cause.

Flowcharts A flowchart is a schematic diagram for Dhaka Ice Cream Industry Ltd of

the sequence of steps involved in an operation or process. It provides a visual tool that

is easy to use and understand. By seeing the steps involved in an operation or process,

everyone develops a clear picture of how the operation works and where problems

could arise.

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Checklists A checklist is a list of common Dhaka Ice Cream Industry Ltd defects and

the number of observed occurrences of these defects. It is a simple yet effective fact-

finding tool that allows the worker to collect specific information regarding the defects

observed. This means that the plant needs to focus on this specific problem—for

example, by going to the source of supply or seeing whether the material rips during a

particular production process. A checklist can also be used to focus on other

dimensions, such as location or time.

Control Charts Control charts are a very important quality control tool. Dhaka Ice

Cream Industry Ltd will study the use of control charts at great length in the next.

These charts are used to evaluate whether a process is operating within expectations

relative to some measured value such as weight, width, or volume. For example, we

could measure the weight of a sack of flour, the width of a tire, or the volume of a bottle

of soft drink. When the production process is operating within expectations, we say that

it is “in control.”

Scatter Diagrams Scatter diagrams are graphs that Dhaka Ice Cream Industry Ltd

how two variables are related to one another. They are particularly useful in detecting

the amount of correlation, or the degree of linear relationship, between two variables.

For example, increased production speed and number of defects could be correlated

positively; as production speed increases, so does the number of defects. Two variables

could also be correlated negatively, so that an increase in one of the variables is

associated with a decrease in the other.

Histograms A histogram is a chart that Dhaka Ice Cream Industry Ltd shows the

frequency distribution of observed values of a variable. We can see from the plot what

type of distribution a particular variable displays, such as whether it has a normal

distribution and whether the distribution is symmetrical.

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Product Design

Quality Function Deployment A critical aspect of building quality into a product is to

ensure that the product design meets customer expectations. This typically is not as

easy as it seems. Dhaka Ice Cream Industry Ltd customers often speak in everyday

language. For example, a product can be described as “attractive,” “strong,” or “safe.”

However, these terms can have very different meaning to different customers. What one

person considers being strong, another may not. To produce a product that customers

want, we need to translate customers’ everyday language into specific technical

requirements.

Process Management

According to TQM a quality product comes from a quality process. This means that

quality should be built into the process. Quality at the source is the belief that Dhaka

Ice Cream Industry Ltd it is far better to uncover the source of quality problems and

correct it than to discard defective items after production. If the source of the problem is

not corrected, the problem will continue.

Managing Supplier Quality

TQM extends the concept of quality to a company’s suppliers. Traditionally, companies

tended to have numerous suppliers that engaged in competitive price bidding. When

materials arrived, an inspection was performed to check their quality. TQM views this

practice as contributing to poor quality and wasted time and cost. The philosophy of

TQM extends the concept of quality to suppliers and ensures that they engage in the

same quality practices. Dhaka Ice Cream Industry Ltd suppliers meet preset quality

standards, materials do not have to be inspected upon arrival. Today, many companies

have a representative residing at their supplier’s location, thereby involving the supplier

in every stage from product design to final production.

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QUALITY AWARDS AND STANDARDS

ISO 9000 Standards

Increases in international trade during the 1980s created a need for the development of

universal standards of quality. Universal standards were seen as necessary in order for

companies to be able to objectively document their quality practices around the world.

Then in 1987 the International Organization for Standardization (ISO) published its first

set of standards for quality management called ISO 9000. The International

Organization for Standardization (ISO) is an international organization whose purpose is

to establish agreement on international quality standards. It currently has members from

91 countries, including the United States. To develop and promote international quality

standards, ISO 9000 has been created. ISO 9000 consists of a set of standards and a

certification process for companies. By receiving ISO 9000 certification, companies

demonstrate that they have met the standards specified by the ISO.

Dhaka Ice Cream Industry Ltd standards are applicable to all types of companies and

have gained global acceptance. In many industries ISO certification has become a

requirement for doing business. Also, ISO 9000 standards have been adopted by the

European Community as a standard for companies doing business in Europe. In

December 2000 the first major changes to ISO 9000 were made, introducing the

following three new standards:

• ISO 9000:2000–Quality Management Systems–Fundamentals and Standards:

Provides the terminology and definitions used in the standards. It is the starting point for

understanding the system of standards.

• ISO 9001:2000–Quality Management Systems–Requirements: This is the standard

used for the certification of a firm’s quality management system. It is used to

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demonstrate the conformity of quality management systems to meet customer

requirements.

• ISO 9004:2000–Quality Management Systems–Guidelines for Performance: Provides

guidelines for establishing a quality management system. It focuses not only on meeting

customer requirements but also on improving performance.

ISO 14000 Standards

The need for standardization of quality created an impetus for the development of other

standards. In 1996 the International Standards Organization introduced standards for

evaluating a company’s environmental responsibility. These standards, termed ISO

14000, Premier Cement Mills Ltd focus on three major areas:

• Management systems standards measure systems development and integration of

environmental responsibility into the overall business.

• Operations standards include the measurement of consumption of natural resources

and energy.

• Environmental systems standards measure emissions, effluents, and other waste

systems.

Dhaka Ice Cream Industry Ltd greater interest in green manufacturing and more

awareness of environmental concerns, ISO 14000 may become an important set of

standards for promoting environmental responsibility.

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SIX SIGMA

Dhaka Ice Cream Industry Ltd has been seeing increasing organizations that have

approached us to come from the non-traditional manufacturing based environment. This

includes non manufacturing businesses (eg. health care, financial services,

government, nonprofit) and non manufacturing functions in manufacturing firms (eg.

accounts, HR, legal). In the shift of the economy from being manufacturing based to

being service based, profitability of organization is derived beyond simply in the

effective management of operations on the factory floor.

The concepts and frameworks behind operations management is increasingly being

recognized as an effective enabler for improving business performance. This is

especially important for non manufacturing organizations, which may not have the

legacy of a continual improvement culture. For example, Dhaka Ice Cream Industry

Ltd Six Sigma can be adopted as an initiative to guide improvement strategy and

overall process management system. Six Sigma uses many individual tools that

includes process mapping, cause-effect matrix, measurement system analysis, failure

modes and effect analysis (FMEA), multi-vari study, design of experiments and control

plans, that are linked in the DMAIC (define, measure, analyze, improve, control)

framework to ensure proper integration. The strategic deployment of an operations

management methodology like Six Sigma will be useful in all broadened aspects of

business operations. But it will be critical that the road map be customized based on

each organization’s goals and objectives, characteristics of culture, nature of processes,

and background and skills of employees; and the existing infrastructure and

management systems.

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Method OF SIX SIGMA:

Strong Leadership: One key component of the Six Sigma method, from an Premier

Cement Mills Ltd operations management perspective, is a decisive, encouraging

leader who knows the current processes and who can objectively oversee his

organization's efforts to improve them.

A leader who is not willing to collaborate with his management team to identify flaws in

current processes, or who would rather eliminate entire processes rather than figure out

ways to fine-tune or upgrade them, may not be a good candidate to lead his company

through Six Sigma initiatives. Complete transparency is essential when reshaping an

organization.

Risk Management: Another important factor in the Six Sigma way is the assessment

and proper management of risk. By making product and service delivery a better-

defined process in terms of quality and performance objectives that must be reached,

Premier Cement Mills Ltd is well on its way to applying Six Sigma strategies

effectively.

Metrics: Metrics are a measure of how performance improvement strategies within your

organization are progressing. According to the authors of "Lean Six Sigma That Works,"

metrics tell you how quickly you are getting product to your customers and how much

money and time is spent on rework. Metrics can also incorporate Premier Cement

Mills Ltd statistics such as how many calls are handled in your call center each hour.

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Dhaka Ice Cream Industry Ltd Production systems design involves planning for the inputs,

transformation activities, and outputs of a production operation. Design plays a major role

because they entail significant investment of funds and establish cost and productivity patterns

that continue in future.

The capacity of the Dhaka Ice Cream Industry Ltd manufacturing unit can be expressed in

number of units of output per period. In some situations measuring capacity is more complicated

when they manufacture multiple products. In such situations, the capacity is expressed as man-

hours or machine hours.

DESIGN CAPACITY

Dhaka Ice Cream Industry Ltd designed capacity of a facility is the planned or

engineered rate of output of goods or services under normal or full scale operating

conditions. The uncertainty of future demand is one of the most perplexing problems

faced by new facility planners. Dhaka Ice Cream Industry Ltd does not plan for

enough regular capacity to satisfy all their immediate demands.

Design for a minimum demand would result in high utilization of facilities but results in

inferior service and dissatisfaction of customers because of inadequate capacity. The

design capacity should reflect management’s strategy for meeting the demand. The

best approach is to plan for some in-between level of capacity.

System/effective capacity: Dhaka Ice Cream Industry Ltd system capacity is the

maximum output of the specific product or product mix the system of workers and

machines is capable of producing as an integrated whole.

System capacity is less than design capacity or at the most equal it because of the

limitation of product mix, quality specification, and breakdowns. The actual is even less

because of many factors affecting the output such as actual demand, downtime due to

machine/equipment failure, unauthorized absenteeism. The system capacity is less than

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design capacity because of long-range uncontrollable factors. The actual output is still

reduced because of short-term effects such as breakdown of equipment, inefficiency of

labour. The system efficiency is expressed as ratio of actual measured output to the

system capacity.

Dhaka Ice Cream Industry Ltd different measures of capacity are useful in defining

two measures of system effectiveness: efficiency and utilization.

Efficiency is the ratio of actual output to effective capacity. Utilization is the ratio of

actual output to design capacity.

Efficiency = Actual output/Effective capacity

Utilization =Actual output/Design capacity

It is common for managers to focus exclusively on efficiency, but in many instances, this

emphasis can be misleading. This happens when effective capacity is low compared with

design capacity. In those cases, high efficiency would seem to indicate effective use of

resources when it does not.

CAPACITY PLANNING

Design of the Dhaka Ice Cream Industry Ltd production system involves planning for

the inputs, conversion process and outputs of production operation. The effective

management of capacity is the most important responsibility of production management.

The objective of capacity management (i.e. planning and control of capacity) is to match

the level of operations to the level of demand.

Capacity planning is to be carried out keeping in mind future growth and expansion

plans, market trends, sales forecasting, etc. It is a simple task to plan the capacity in

case of stable demand. But in practice the demand will be seldom stable. The

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fluctuation of demand creates problems regarding the procurement of resources to meet

the customer demand. Capacity decisions are strategic in nature. Capacity is the rate of

productive capability of a facility. Capacity is usually expressed as volume of output per

period of time.

PROCESS OF CAPACITY PLANNING

Capacity planning is concerned with defining the long-term and the short-term capacity

needs of a Dhaka Ice Cream Industry Ltd and determining how those needs will be

satisfied. Capacity planning decisions are taken based upon the consumer demand and

this is merged with the human, material and financial resources of the Dhaka Ice

Cream Industry Ltd.

Capacity requirements of Dhaka Ice Cream Industry Ltd can be evaluated from two

perspectives—long-term capacity strategies and short-term capacity strategies.

1. Long-term capacity strategies: Dhaka Ice Cream Industry Ltd long-term capacity

requirements are more difficult to determine because the future demand and technology

are uncertain. Forecasting for five or ten years into the future is more risky and difficult.

Even sometimes company’s today’s products may not be existing in the future. Long-

range capacity requirements are dependent on marketing plans, product development

and life-cycle of the product. Long-term capacity planning is concerned with

accommodating major changes that affect overall level of the output in long-term.

Marketing environmental assessment and implementing the long term capacity plans in

a systematic manner are the major responsibilities of management. Following

parameters will affect long-range capacity decisions

2. Short-term capacity strategies: Dhaka Ice Cream Industry Ltd Managers often

use forecasts of product demand to estimate the short-term workload the facility must

handle. Managers looking ahead up to 12 months, anticipate output requirements for

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different products, and services. Managers then compare requirements with existing

capacity and then take decisions as to when the capacity adjustments are needed.

For short-term periods of up to one year, fundamental capacity is fixed. Major facilities

will not be changed. Many short-term adjustments for increasing or decreasing capacity

are possible. The adjustments to be required depend upon the conversion process like

whether it is capital intensive or labour intensive or whether product can be stored as

inventory.

Capital-intensive processes depend on physical facilities, plant and equipment. Short-

term capacity can be modified by operating these facilities more or less intensively than

normal. In labour intensive processes short-term capacity can be changed by laying off

or hiring people or by giving overtime to workers. The strategies for changing capacity

also depend upon how long the product can be stored as inventory.

The short-term capacity strategies of Dhaka Ice Cream Industry Ltd are:

1. Inventories: Stock finished goods during slack periods to meet the demand

during peak period.

2. Backlog: During peak periods, the willing customers are requested to wait and

their orders are fulfilled after a peak demand period.

3. Employment level (hiring or firing): Hire additional employees during peak

demand period and lay off employees as demand decreases.

4. Employee training: Develop multi skilled employees through training so that

they can be rotated among different jobs. The multi skilling helps as an

alternative to hiring employees.

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5. Subcontracting: During peak periods, hire the capacity of other firms

temporarily to make the component parts or products.

6. Process design: Change job contents by redesigning the job.

3.4 Location strategy

Being in the right location is a key ingredient in a business's success. Dhaka Ice Cream

Industry Ltd selects the wrong location, it may have adequate access to customers,

workers, transportation, materials, and so on. Consequently, location often plays a

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significant role in a company's profit and overall success. A location strategy is a plan

for obtaining the optimal location for a company by identifying company needs and

objectives, and searching for locations with offerings that are compatible with these

needs and objectives. Generally, this means the firm will attempt to maximize

opportunity while minimizing costs and risks. Premier Cement Mills Ltd established

their factory location in currently Tejgaon, Dhaka.

Dhaka Ice Cream Industry Ltd location strategy should conform with, and be part of,

its overall corporate strategy. Hence, if a company strives to become a global leader in

telecommunications equipment, for example, it must consider establishing plants and

warehouses in regions that are consistent with its strategy and that are optimally located

to serve its global customers. A company's executives and managers often develop

location strategies, but they may select consultants (or economic development groups)

to undertake the task of developing a location strategy, or at least to assist in the

process, especially if they have little experience in selecting locations.

Dhaka Ice Cream Industry Ltd location strategy typically involves the following factors:

1. Facilities. A facility planning involves determining what kind of space a company

will need given its short-term and long-term goals.

2. Feasibility. Feasibility analysis is an assessment of the different operating costs

and other factors associated with different locations.

3. Logistics. Logistics evaluation is the appraisal of the transportation options and

costs for the prospective manufacturing and warehousing facilities.

4. Labor. Labor analysis determines whether prospective locations can meet a

company's labor needs given its short-term and long-term goals.

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5. Community and site. Community and site evaluation involves examining

whether a company and a prospective community and site will be compatible in the

long-term.

6. Trade zones. Companies may want to consider the benefits offered by free-trade

zones, which are closed facilities monitored by customs services where goods can

be brought without the usual customs requirements. The United States has about

170 free-trade zones and other countries have them as well.

7. Political risk. Companies considering expanding into other countries must take

political risk into consideration when developing a location strategy. Since some

countries have unstable political environments, companies must be prepared for

upheaval and turmoil if they plan long-term operations in such countries.

8. Governmental regulation. Companies also may face government barriers and

heavy restrictions and regulation if they intend to expand into other countries.

Therefore, companies must examine governmental—as well as cultural—obstacles

in other countries when developing location strategies.

9. Environmental regulation. Companies should consider the various

environmental regulations that might affect their operations in different locations.

Environmental regulation also may have an impact on the relationship between a

company and the community around a prospective location.

10. Incentives. Incentive negotiation is the process by which a company and a

community negotiate property and any benefits the company will receive, such as

tax breaks. Incentives may place a significant role in a company's selection of a site

3.5 Layout strategy

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In industrial engineering, Dhaka Ice Cream Industry Ltd process layout is the

floor plan of a plant, which is installed by industrial engineers to improve

the efficiency by arranging equipment according to their functions. Dhaka Ice Cream

Industry Ltd the main idea is to arrange or gather machines or equipments of the same

function into one group or department.

Important facts:

1. It is a flexible layout

2. It is excellent for low to medium production quantity

3. It is excellent for medium to high production variation

4. The workers should be skilled and qualified

5. It has a high work in process

6. Its main disadvantage is the low production rate.

Effective Process Layout

1. Minimize material handling costs

2. Utilize space efficiently

3. Utilize labor efficiently

4. Eliminate bottlenecks

5. Facilitate communication and interaction between workers, workers and supervisors

6. Eliminate waste or redundant material

7. Promote product and service and quality

8. Provide a visual control of activities

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The generated layout must pass a series of checks in a process known as physical

verification. The most common checks in this verification process Dhaka Ice Cream

Industry Ltd are:

design rule checking (DRC) ,

layout versus schematic (LVS) ,

parasitic extraction,

antenna rule checking, and

Electrical rule checking (ERC).

When all verification is complete, the data is translated into an industry standard format,

typically GDSII, and sent to a semiconductor foundry. The process of sending this data

to the foundry is called tapeout due to the fact the data used to be shipped out on a

magnetic tape. The foundry converts the data into another format and uses it to

generate the photomasks used in a photolithographic process of semiconductor device

fabrication.

In the earlier, simpler, days of IC design, layout was done by hand using opaque tapes

and films, much like the early days of PCB design. Modern IC layout is done with the aid

of IC layout editorsoftware, mostly automatically using EDA tools, including place and

route tools or schematic driven layout tools. The manual operation of choosing and

positioning the geometric shapes is informally known as "polygon pushing.

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3.6 Human resources and job design

Human resource management aims at optimum utilization of available human potential.

For this purpose, it is essential to make every one understand their job and expectations

from the job. This enables them to charter their behaviour appropriately. Job analysis is

a process of determining the essential characteristics that are necessary to perform the

job effectively. Dhaka Ice Cream Industry Ltd job analysis conveys information to take

a number of important decisions relating to human resources management. Job design

is next to job analysis. Job design involves systematic attempts to organize tasks, duties

and responsibilities into a unit of work to achieve certain objectives. Job design

integrates the work content and qualifications required for each job that meets the

needs of employee and the Organization. Designing a job analysis leads to preparation

of job description and job specification.

JOB ANALYSIS

Dhaka Ice Cream Industry Ltd job analysis is a process of determining which

characteristics are necessary for satisfactory job performance and analyzing the

environmental conditions in which the job is performed. It analyzes the work content of

job & job content of work. The process of job analysis leads to development of two

documents viz., job description and job specification.

Significance Job Analysis of Dhaka Ice Cream Industry Ltd

Job analysis is a vital tool in taking a variety of human resource decisions. It is used to

design and execute a number of human resource management activities and programs.

Dhaka Ice Cream Industry Ltd is described here:

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1. Manpower Planning: job analysis helps in forecasting manpower requirements

based on the knowledge and skills and quality of manpower needed in organization.

2. Recruitment: A carefully designed job analysis provides information as to what

sources of recruitment are to be used to hire employees. For example, job analysis in a

retail stores about merchandise sorters tells that village level schools are potential

source of recruitment.

3. Selection: Selection of the right candidate to the right job can only be done with the

help of job analysis. In the case of retail stores, a billing assistant can be selected with

the knowledge of accounting, cash, and computer operations. This is possible with the

help of job analysis.

4. Training and Career Development: Job analysis provides valuable information to

develop training programs. It provides information about what skills are to be trained. It

also provides information about various techniques to be used in career development of

employees.

5. Placement and socialization: After people are selected and trained, they must be

placed in suitable jobs. Job analysis provides information about the suitability of jobs. A

clear job analysis guides the process to socialize the employees to develop sound

relationships with all those persons.

6. Compensation: Job analysis provides information as to how much compensation

and other financial and non-financial benefits to be associated with each job.

7. Employee Safety and Welfare: Job analysis details information on working

conditions. Thus, management tries to provide safety and welfare measures that are

outlined in job analysis.

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8. Performance Appraisal: Performance of employees is appraised based on standard

criteria provided in the job analysis.

9. Counseling: A good job analysis provides information to the superiors about the

jobs. They use this information to guide and counsel employees about their career

options, performance, training requirements and skill up-gradation.

10. Strategic Planning: Job analysis enables human resource manager to develop a

long-range strategic plan in all concerned areas of human resources.

Components of Job Analysis for Premier Cement Mills Ltd

1. Job Description: It is an important document for Dhaka Ice Cream Industry Ltd. It

is descriptive in nature. It is useful to identify a job for consideration by job analyst.

Important questions to be answered through job description are: What should be done?

- Why it should be done? -Where it should be done? There is no universal format of

writing job description. According to Ghorpade the following information is common in

most of the job descriptions.

● Job title: title of the job and other identifying information such as wages, salaries,

other benefits

● Summary: summary is written in one or two lines that describes what outputs are

expected from job incumbents.

● Equipment: a clear statement of tools, equipment and other information required to

perform job effectively.

● Environment: a clear description of the working conditions of the job, the location

and other characteristics of work environment such as hazards, noise, temperature,

cleanliness etc.

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● Activities: a description about the job duties, responsibilities, and expected behaviour

on the job. A description of social interactions associated with the job such as the size

of work group, interpersonal interaction on the job is made.

Job analyst writes job description in consultations with the workers and supervisors.

After writing draft job description, comments and criticism are invited to improve its

content. Final draft is then prepared. Job description is written either by making

personal observation or using questionnaire to collect relevant information from

supervisors and workers. Job description should be reviewed from time to time.

2. Job Specifications: It also known as man or employee specifications is prepared on

the basis of job specification. It specifies the qualities required in a job incumbent for the

effective performance of the job.

Dhaka Ice Cream Industry Ltd basic contents of a job specification are as follows:

Personal characteristics such as education, job experience, age, sex, and extra

co-curricular activities.

Physical characteristics such as height, weight, chest, vision, hearing, health,

voice poise, and hand and foot coordination, (for specific positions only).

Mental characteristics such as general intelligence, memory, judgment, foresight,

ability to concentrate, etc.

Social and psychological characteristics such as emotional ability, flexibility,

manners, drive, conversational ability, interpersonal ability, attitude, values,

creativity etc.

3. Job evaluation: It is a process of determining the relative worth of a job. It is a

process which is helpful even for framing compensation plans by the personnel

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manager. Dhaka Ice Cream Industry Ltd job evaluation as a process is advantageous

to a company in many ways:

1. Reduction in inequalities in salary structure - It is found that people and their

motivation is dependent upon how well they are being paid. Therefore the main

objective of job evaluation is to have external and internal consistency in salary

structure so that inequalities in salaries are reduced.

2. Specialization - Because of division of labour and thereby specialization, a large

number of enterprises have got hundred jobs and many employees to perform them.

Therefore, an attempt should be made to define a job and thereby fix salaries for it. This

is possible only through job evaluation.

3. Helps in selection of employees - The job evaluation information can be helpful at

the time of selection of candidates. The factors that are determined for job evaluation

can be taken into account while selecting the employees.

4. Harmonious relationship between employees and manager - Through job

evaluation, harmonious and congenial relations can be maintained between employees

and management, so that all kinds of salaries controversies can be minimized.

5. Standardization - The process of determining the salary differentials for different

jobs become standardized through job evaluation. This helps in bringing uniformity into

salary structure.

6. Relevance of new jobs - Through job evaluation, one can understand the relative

value of new jobs in a concern.

According to Kimball and Kimball, “Job evaluation represents an effort to determine the

relative value of every job in a plant and to determine what the fair basic wage for such

a job should be.” Thus, job evaluation is different from performance appraisal. In job

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evaluation, worth of a job is calculated while in performance appraisal, the worth of

employee is rated.

METHODS OF JOB DESIGN

Job Simplification: In the Dhaka Ice Cream Industry Ltd job simplification technique,

the job is simplified or specialized. A given job is divided into small sub-parts and each

part is assigned to one individual employee. Job simplification is introduced when job

designers feel that the jobs are not specialized enough.

Job Rotation: Premier Cement Mills Ltd job rotation implies systematic movement of

employees from one job to the other. Job remains unchanged but employees

performing them shift from one job to the other. With job rotation, an employee is given

an opportunity to perform different jobs, which enriches his skills, experience and ability

to perform different jobs. It is the process of preparing employees at a lower level to

replace someone at the next higher level. It is generally done for the designations that

are crucial for the effective and efficient functioning of the organization. By this to some

extent boredom is reduced. However for this people interest is primary importance. By

this they can also learn new things, new techniques, and new ways of doing better

work. It may also happen that over a period of time they will be finding a job for which

they are better suitable. They can also contribute in a better way to achieve the goals of

the organization.

This aspect of job rotation can be seen widely applied in Retail scenario, where end

user or consumer is in direct presence all through. This has for large extent reduced

boredom, reduced irregularities due to familiarity, acquired new skills & assuming new &

varied responsibilities. In other words it will lead to better job satisfaction, which is the

ultimate goal for better contribution.

Job Enlargement: Job enlargement means expanding the scope of the job. Many tasks

and duties are aggregated and assigned to a single job. It is opposite to job

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simplification. Premier Cement Mills Ltd job enlargement is an extension of Job

rotation, exposing the people to several jobs without changing the job duties to be

performed. He is taken off the boring job for a while & is allowed to take up a related

task & so on. Monotony is relieved temporarily. Critics are of the opinion that this

approach involves nothing more than having to perform several boring jobs rather than

one. Job enlargement is to expand in several tasks than just to do one single task. It is

also the horizontal expansion of a job. It involves the addition of tasks at the same level

of skill and responsibility. It is done to keep workers from getting bored. This would also

be considered multi tasking by which one person would do several persons jobs, saving

the company money and man hours that normally would be paid to additional workers.

Small companies may not have as many opportunities for promotions, so they try to

motivate employees through job enlargement.

Job Enrichment: Job enrichment means making the job rich in its contents so that an

employee will get more satisfaction while performing that job. It upgrades the

responsibility, scope and challenge. A vast majority of the jobs are repetitive &

monotonous in nature. This results in reducing the motivational content& human

element of the job with repercussions on performance. Premier Cement Mills Ltd

central focus of job enrichment is giving people more control over their work (lack of

control is a key cause of stress, and therefore of unhappiness.) Where possible, allow

them to take on tasks that are typically done by supervisors. This means that they have

more influence over planning, executing, and evaluating the jobs they do. In enriched

jobs, people complete activities with increased freedom, independence, and

responsibility. They also receive plenty of feedback, so that they can assess and correct

their own performance.

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3.7 Supply chain management

Dhaka Ice Cream Industry Ltd supply chain is the network of activities that deliver a

finished product or service to the customer. These include sourcing raw materials and

parts, manufacturing and assembling the products, warehousing, order entry and

tracking, distribution through the channels, and delivery to the customer. An

organization’s supply chain is facilitated by an information system that allows relevant

information such as sales data, sales forecasts, and promotions to be shared among

members of the supply chain. Figure 4-1 shows a basic supply chain structure.

Dhaka Ice Cream Industry Ltd Supply chain management is the vital business

function that coordinates and manages all the activities of the supply chain linking

suppliers, transporters, internal departments, third-party companies, and information

systems. Supply chain management entails

o Coordinating the movement of goods through the supply chain from

suppliers to manufacturers to distributors

o Sharing relevant information such as sales forecasts, sales data, and

promotional campaigns among members of the chain

A prime example of operations management (OM), supply chain management provides

the company with a sustainable, competitive advantage, such as quick response time,

low cost, state-of-the-art quality design, or operational flexibility.

KEY ISSUES IN SUPPLY CHAIN MANAGEMENT

In this section, Dhaka Ice Cream Industry Ltd introduce some of the supply chain

management issues that we discuss in much more detail throughout the remaining

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chapters. Dhaka Ice Cream Industry Ltd issues span a large spectrum of a firm’s

activities, from the strategic through the tactical to the operational level:

• The strategic level deals with decisions that have a long-lasting effect on the firm.

This includes decisions regarding product design, what to make internally and what to

outsource, supplier selection, and strategic partnering as well as decisions on the

number, location, and capacity of warehouses and manufacturing plants and the flow of

material through the logistics network.

• The tactical level includes decisions that are typically updated anywhere between

once every quarter and once every year. These include purchasing and production

decisions, inventory policies, and transportation strategies, including the frequency with

which customers are visited.

• The operational level refers to day-to-day decisions such as scheduling, lead time

quotations, routing, and truck loading.

Below Dhaka Ice Cream Industry Ltd introduce and discuss some of the key issues,

questions, and trade-offs associated with different decisions.

Distribution Network Configuration Dhaka Ice Cream Industry Ltd considers

several plants producing products to serve a set of geographically dispersed retailers.

The current set of warehouses is deemed inappropriate, and management wants to

reorganize or redesign the distribution network.

Inventory Control Dhaka Ice Cream Industry Ltd; consider a retailer that maintains

an inventory of a particular product. Since customer demand changes over time, the

retailer can use only historical data to predict demand. The retailer’s objective is to

decide at what point to reorder a new batch of the product, and how much to order so

as to minimize inventory ordering and holding costs.

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Production Sourcing Dhaka Ice Cream Industry Ltd, there is a need to carefully

balance transportation and manufacturing costs. In particular, reducing production costs

typically implies that each manufacturing facility is responsible for a small set of

products so that large batches are produced, hence reducing production costs.

Distribution Strategies Dhaka Ice Cream Industry Ltd important challenge faced by

many organizations is how much should they centralize (or decentralize) their

distribution system. What is the impact of each strategy on inventory levels and

transportation costs? What about the impact on service levels.

Supply Chain Integration and Strategic Partnering As observed earlier, designing

and implementing a globally optimal supply chain is quite difficult because of its

dynamics and the conflicting objectives employed by different facilities and\ partners.

Nevertheless, Dhaka Ice Cream Industry Ltd success stories demonstrate not only

that an integrated, globally optimal supply chain is possible, but that it can have a huge

impact on the company’s performance and market share.

Outsourcing and Offshoring Dhaka Ice Cream Industry Ltd Strategies Rethinking

your supply chain strategy not only involves coordinating the different activities in the

supply chain, but also deciding what to make internally and what to buy from outside

sources.

Product Design Dhaka Ice Cream Industry Ltd effective design plays several critical

roles in the supply chain. Most obviously, certain product designs may increase

inventory holding or transportation costs relative to other designs, while other designs

may facilitate a shorter manufacturing lead time.

Customer Value Premier Cement Mills Ltd customer value is the measure of a

company’s contribution to its customer, based on the entire range of products, services,

and intangibles that constitute the company’s offerings. In recent years, this measure

has superseded measures such as quality and customer satisfaction.

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3.8 Inventory management

Dhaka Ice Cream Industry Ltd will continue to do business as long as they meet

consumer demands. By producing and selling goods and services that satisfy consumer

needs businesses will compete in the marketplace. What firms create for the

marketplace, economists call utility—the want-satisfying power of a good or service.

Dhaka Ice Cream Industry Ltd has defined four types of utility: time, place, ownership,

and form. Time, place, and ownership utility exist through marketing and distribution —

having goods and services available for consumers at locations convenient for them

and that facilitate title transfer at the time of purchase.

Form utility is created when Dhaka Ice Cream Industry Ltd raw materials are

converted into finished goods or services. A chair is the sum of wood, design,

manufacture and assembly. Cotton is harvested from fields, processed into thread,

woven into fabric, and then by cutting, shaping, sewing, adding zippers and belt loops

are made into Wrangler jeans. Dhaka Ice Cream Industry Ltd production function is

responsible for the creation of form utility.

Production is the process of using people and machinery to convert materials into

finished goods and services. Although the term production is sometimes used

interchangeably with manufacturing, production is a broader term and includes a

number of non-manufacturing processes. For example, production encompasses such

extractive industries as fishing, lumber, and mining. Production also applies to the

creation of services. Services are intangible outputs of the production system. They

include outputs as diverse as trash hauling, education, haircuts, tax accounting, health

delivery systems, mail services, transportation, and lodging.

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Inventory Control

Dhaka Ice Cream Industry Ltd inventory control balances the need to have inventory

on hand to meet demand with the costs involved in carrying the inventory. The financial

costs of carrying inventory are the funds tied up in it that cannot be used in other

activities of the business. Among the expenses involved in storing inventory are

warehousing, taxes, insurance, and maintenance. Too much inventory represents

wasted expenditures. But a shortage of raw materials, parts, goods, or sales often

means lost production—and delays in production mean unhappy customers if the

delays result in late delivery of promised merchandise. Dhaka Ice Cream Industry Ltd

lose business when they are consistently unable to meet promised delivery dates or

when their shelves are empty. These two costs must be balanced to produce

acceptable inventory levels. A commonly used technique for monitoring the amount and

location of inventory is the maintenance of a perpetual inventory.

This inventory control system continuously updates all major inventory systems. The

system is typically computerized and frequently will automatically determine orders to

be made and print purchase orders at the appropriate times. The scanning devices

used in many supermarkets are typically linked to perpetual inventory systems used in

reordering merchandise. As a shopper's purchase is recorded, each item is subtracted

from the inventory data stored in the computer.

Just-in-Time Inventory System: Just ten years ago, you could walk into a typical

American factory and see several weeks' worth of parts and supplies piled high

throughout the plant. Walk into a similar factory in Japan and you would have noticed no

such inventory backlog. The Japanese plant then and now may have only enough

supplies on hand to keep it going for a day. This shortage is hardly accidental. It is an

essential ingredient of the just-in-time (JIT) inventory system used by major Dhaka

Ice Cream Industry Ltd for years and gaining acceptance in American firms.

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The JIT system does what its name implies: It supplies needed parts to the production

line on a last-minute basis. As a result, factory inventory levels are as low as possible

and production costs are held down. Just-in-time delivery makes it easy to spot and

expose production problems before they are built into the system, and it shifts

responsibility for the problems from the consumer to the suppliers. If a part are

defective, the assembly line shuts down and the supplier risks losing the firm's

business? Often, when a slightly defective part is found in a U.S. plant, it is made to fit

rather than shipped back to the supplier. With weeks of inventory on hand, companies

are forced into this decision to avoid a production slowdown.

Materials Requirement Planning (MRP)

In order to implement the production plan of Dhaka Ice Cream Industry Ltd, an

adequate amount of the raw materials, components, and operating supplies must be

available when needed. For relatively simple products with few components provided by

numerous suppliers in the immediate vicinity, this is a relatively simple process. A

telephone call may be sufficient to secure overnight delivery of needed materials, and

management enjoys the luxury of minimal investments in inventory and little risk of

production downtime resulting from lack of needed materials.

Dhaka Ice Cream Industry Ltd process of ensuring adequate amounts of materials

and parts in the right amounts at the right times becomes much more complicated when

complex products are involved. For a firm such as Ford Motor Company, determining

the efficient sequencing of precisely the exact amounts of materials at exactly the right

times can be a nightmare. If the components are received too early, they must be stored

until needed.

Materials requirement planning (MRP) is a production planning system designed to

ensure that a firm has the parts and materials needed to produce its products and

services at the right time and place and in the right amounts. Production managers use

special computer programs to create schedules that identify the specific parts and

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materials required to produce an item, the exact quantities required of each, and the

dates when orders should be released to suppliers and should be received for best

timing within the production cycle.22 MRP is invaluable in Dhaka Ice Cream Industry

Ltd production systems involving complex products assembled with parts and

materials secured from outside suppliers. It is even more important in major products

such as the B-2 bomber, where entire subassemblies of the plane are produced by

dozens of firms scattered throughout the nation (in every state except Alaska and

Hawaii). MRP's computer program coordinates the deadlines for each subassembly in

addition to deadlines for the overall assembly.

The Five Steps in Production Control

Dhaka Ice Cream Industry Ltd production control can be thought of as a five-step

sequence: planning, routing, scheduling, dispatching, and follow up.

Production Planning. Dhaka Ice Cream Industry Ltd production control called

production planning determines the amount of resources (including raw materials and

other components) needed to produce a certain amount of goods or services. During

the production planning process, a bill of materials is developed, listing all parts and

materials needed to produce a good or service. Comparison of the needed parts and

materials with the firm's perpetual inventory allows the purchasing department to

determine the additional purchases required to ensure availability of needed amounts.

The MRP system establishes delivery schedules so the needed parts and materials will

arrive at regular intervals as required during the production process. Similar

determinations are made to ensure that the necessary machines and workers are

available when needed. Although material inputs contribute to serviceproducing

systems, such systems tend to depend more on personnel than on materials.

Routing. Dhaka Ice Cream Industry Ltd of production control that determines the

sequence of work throughout the facility is called routing. It specifies where and by

whom each aspect of production will be performed. Routing is determined by two

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factors: the nature of the good or service and the facility layouts discussed earlier—

product, process, fixed-position, and customer-oriented.

Scheduling. Dhaka Ice Cream Industry Ltd production control, scheduling, involves

developing timetables that specify how long each operation in the production process

takes and when it should be performed. Efficient scheduling ensures that delivery

schedules are met and productive resources are efficiently used. Scheduling is

extremely important for manufacturers of complex products with large numbers of parts

or production stages. A watch contains dozens of component parts, and each of them

must be available in the right place, at the right time, and in the right amounts if the

production process is to function smoothly.

Dispatching. The phase of production control that instructs each department on what

work is to be done and the time allowed for its completion is called

Dispatching. The dispatcher authorizes performance, provides instructions, and lists

priorities for each job.

Follow-up. Dhaka Ice Cream Industry Ltd best plans sometimes go awry, some

means must be available to keep management aware of problems as they arise.

Follow-up is the phase of production control that spots problems in the production

process and informs management of needed adjustments. Problems come in many

forms. Machinery malfunctions, delays in shipment of vital materials or in arrival of

goods or supplies, and employee absenteeism can all result in production delays.

These delays must be reported to production control so adjustments in production

schedules can be made. A delay in the delivery of a particular component may require

new assignments to be made by the dispatcher to work areas affected by this delay.

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3.9 Scheduling

Dhaka Ice Cream Industry Ltd scheduling pertains to establishing both the timing and

use of resources within an organization. Under the operations function scheduling

relates to use of equipment and facilities, the scheduling of human activities, and receipt

of materials.

Dhaka Ice Cream Industry Ltd issues relating to facility location and plant and

equipment acquisition are considered long term and aggregate planning is considered

intermediate term, operations scheduling is considered to be a short-term issue. As

such, in the decision-making hierarchy, scheduling is usually the final step in the

transformation process before the actual output (e.g., finished goods) is produced.

Consequently, scheduling decisions are made within the constraints established by

these longer-term decisions. Generally, scheduling objectives deals with tradeoffs

among conflicting goals for efficient utilization of labor and equipment, lead time,

inventory levels, and processing times.

Dhaka Ice Cream Industry Ltd are two general approaches to scheduling: forward

scheduling and backward scheduling. As long as the concepts are applied properly, the

choice of methods is not significant. In fact, if process lead times (move, queue and

setup times) add to the job lead time and process time is assumed to occur at the end

of process time, then forward scheduling and backward scheduling yield the same

result. With forward scheduling, the scheduler selects a planned order release date and

schedules all activities from this point forward in time.

Dhaka Ice Cream Industry Ltd, Scheduling is an important tool for manufacturing and

engineering, where it can have a major impact on the productivity of a process. In

manufacturing, the purpose of scheduling is to minimize the production time and costs,

by telling a production facility what to make, when, with which staff, and on which

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equipment. Production scheduling aims to maximize the efficiency of the operation and

reduce costs.

Production scheduling tools greatly outperform older manual scheduling methods.

These provide the production scheduler with powerful graphical interfaces which can be

used to visually optimize real-time workloads in various stages of production, and

pattern recognition allows the software to automatically create scheduling opportunities

which might not be apparent without this view into the data. For example, an airline

might wish to minimize the number of airport gates required for its aircraft, in order to

reduce costs, and scheduling software can allow the planners to see how this can be

done, by analyzing time tables, aircraft usage, or the flow of passengers.

The benefits of production scheduling of Dhaka Ice Cream Industry Ltd include:

Process change-over reduction

Inventory reduction, leveling

Reduced scheduling effort

Increased production efficiency

Labor load leveling

Accurate delivery date quotes

Real time information

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3.10 Maintenance

Maintenance, repair, and operations (MRO) or maintenance, repair, and

overhaul involve fixing any sort of mechanical or electrical device should it become out

of order or broken (known as repair, unscheduled or casualty maintenance).

Dhaka Ice Cream Industry Ltd also includes performing routine actions which keep the

device in working order (known as scheduled maintenance) or prevents trouble from

arising (preventive maintenance). MRO may be defined as, "All actions which have the

objective of retaining or restoring an item in or to a state in which it can perform its

required function. The actions include the combination of all technical and

corresponding administrative, managerial, and supervision actions." 

Dhaka Ice Cream Industry Ltd MRO operations can be categorised by whether the

product remains the property of the customer, i.e. a service is being offered, or whether

the product is bought by the reprocessing organisation and sold to any customer

wishing to make the purchase. (Guadette, 2002)

Generally speaking, there are two types of maintenance in Dhaka Ice Cream Industry

Ltd:

Preventive maintenance , where equipment is maintained before break down

occurs. This type of maintenance has many different variations and is subject of

various researches to determine best and most efficient way to maintain equipment.

Recent studies have shown that Preventive maintenance is effective in preventing

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age related failures of the equipment. For random failure patterns which amount to

80% of the failure patterns, condition monitoring proves to be effective.

Corrective maintenance , where equipment is maintained after break down. This

maintenance is often most expensive because worn equipment can damage other

parts and cause multiple damage.

Preventive maintenance

Premier Cement Mills Ltd preventive maintenance is maintenance performed in an

attempt to avoid failures, unnecessary production loss and safety violations. As

equipment cannot be maintained at all times, some way is needed to decide when it is

proper to perform maintenance. Normally, this is done by deciding some

inspection/maintenance intervals, and sticking to this interval more or less affected by

what you find during these activities. The result of this is that most of the maintenance

performed is unnecessary; it even adds substantial wear to the equipment. Also, you

have no guarantee that the equipment will continue to work even if you are maintaining

it according to the maintenance plan.

Corrective maintenance

Premier Cement Mills Ltd corrective maintenance is probably the most commonly

used approach, but it is easy to see its limitations. When equipment fails, it often leads

to downtime in production. In most cases this is costly business. Also, if the equipment

needs to be replaced, the cost of replacing it alone can be substantial. It is also

important to consider health, safety and environment (HSE) issues related to

malfunctioning equipment.

Corrective maintenance can be defined as the maintenance which is required when an

item has failed or worn out, to bring it back to working order. Corrective maintenance is

carried out on all items where the consequences of failure or wearing out are not

significant and the cost of this maintenance is not greater than preventive maintenance.

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3.11 SWOT Analysis

SWOT analysis of Dhaka Ice Cream Industry Ltd SWOT is a technique to identify the

strength, weaknesses, threat and opportunities a company in terms of both the external

and the internal environment of a company.

Strengths:

Quality Control with high quality product

Machineries and Technology of European standards

High level of training

Good Location

Large Marketing Team

Improved management practice

Weaknesses:

Distribution set up cannot cover the whole country yet

Company cannot achieve their target market share yet

Poor structure of the HR department

Low level of marketing

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Opportunities:

Opportunity for export

Opportunity to spread marketing &distribution channel

Creation of the new web site

Great potential for growth and profitability

Threats:

Presence of competitors

Price increase in international Market

Risk of exchange rate fluctuation

Irrational duty and VAT structure

High inflation

Political Instability

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Findings & Recommendation

Findings

Lack of HR system

No high level production software

Price wars with competitors

Lower exposure of the cement industry

Competitors in the export market

Logistic Problem

Big companies becoming bigger, small companies becoming smaller

Presence of substitute product

Recommendations

While doing the project part, we worked on ten production factors with issues related to

the cement industry of Bangladesh and also Dhaka Ice Cream Industry Ltd in the

perspective of the overall in attention. We have thus discussed above some findings

which related to the cement industry. If Dhaka Ice Cream Industry Ltd wants to reach

the top three cement industry in future, they improve their quality; build strong HR

department, good layout strategy, high supply chain management and proper inventory

management.

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Concluding remarks

Ever since we started taking interests in report, we learnt that most of my seniors were

doing their report in telecom industry, financial institutions and FMGC companies.

Contrary to this prevailing trend, our decision to doing report on a cement company was

quite different. However starting our report with little or rather no knowledge about the

cement industry of the country, we really did not know what to expect from this report.

We really did not think that our experience with Dhaka Ice Cream Industry Ltd would

be so interesting and enriching.

Dhaka Ice Cream Industries limited is in a rising position and would do good businesses

in the future. They have almost reached to rivals competitors like Igloo, Savoy and

Kwality. The organization must know that the role of Operation Management is

changing as fast as technology and the global marketplace. DIIL must be aware that

those times have changed. The positive result of these changes is that production

professionals have the opportunity to play a more strategic role in the business. The

challenge for Head of HR or HR managers is to keep up to date with the latest

production innovations - technological, legal, and otherwise.

Any company could develop strong management system in different ways. But in our

opinion, following the above theories DIIL could develop best Production and Operation

management system and as a result lead to a strong production professionals as well

as producing sustainable competitive advantage.

70

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BIBLIOGRAPHY

www.polaricecream.com

http://www.achillescg.com/index.php/en/resources/publications/36-operations-management-

methodologies-such-as-six-sigma-for-the-broader-business-context

http://www.ehow.com/facts_7488188_six-sigma-operations-management.html

en.wikipedia.org/wiki/Maintenance, repair,_ and_ operations

www.acwd.org

www.decisionsciences.org/decisionline/Vol40/.../dsi-dl40_5books.pd.

managementhelp.org/operationsmanagement/index.htm

tutor2u.net/business/production/quality_introduction.htm

www.poms.org/OMEncyclopedia.pdf

www.themanager.org/.../Operations/Inventory_Management.htm

lcm.csa.iisc.ernet.in/scm/supply_chain_intro.html

www.uni.edu/~schragec/present%2010.pdf

www.enotes.com › Business

www.wiley.com

http://webinstituteforteachers.org/~cbmallare/History1.htm

http://www.bsti.gov.bd/about.html

http://nimbusbangladesh.com/9001.html

http://www.wisegeek.com/what-is-an-internal-audit.htm

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