19875991 Bisleri International Ltd

8/8/2019 19875991 Bisleri International Ltd

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OPERATIONS MANAGEMENT

BISLERI INTERNATIONAL

PVT.LTD

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About the Industry

Corporate control over water and water distribution in India is growing rapidly: the packagedwater business is worth Rs 1,000 crore, and it's growing at a huge 40-50% annually. Around

1,200 bottling plants and 100 brands of packaged water across the country are battling over the

market, overdrawing groundwater, and robbing local communities of their water resources and

livelihoods Bottled water, one of India's fastest-growing industries, is a business built on the

foundation of bad governance, inequity and blatant exploitation. Hard to believe, but the

evidence is becoming clearer. According to UNDP estimates, around 1.2 billion people

worldwide lack access to clean drinking water. Today, there are more people in the world's

hospitals suffering from waterborne diseases than any other ailment. Some 6,000 children die of

such diseases every day. Providing safe drinking water is the responsibility of the state. That they

are failing miserably is evident from the fact that over 1,600 Indians reportedly die every day

because of waterborne diseases. Despite these astounding figures, the Indian state has literally

washed its hands of the responsibility of providing clean drinking water to its citizens.When one

in six people globally lives without access to clean drinking water, does the answer lie in high-

tech water purifiers and bottled water that's out of reach for a majority of the Indian population?

Multinational corporations would have us believe so. And the reason is not hard to find: along

with imported water treatment technology like activated carbon and ultra violet (UV)

disinfection (Aquaguard), reverse osmosis (Reviva) and resins (Zero-B), the water treatment

market is estimated to be worth around Rs 700 crore. The bottled water industry is estimated to

be a whopping Rs 1,000 crore business. Ithas grown at a rate of 40-50% annually over the past

four years or so. According to the Bureau of Indian Standards, there are 1,200 bottled water

factories all over India (of which 600 are in the state of Tamil Nadu). Corporate control over

water and water distribution in India is rapidly growing. As globalisation opens up opportunities

for private players, investing in water and/or manipulating water scarcity makes increasingly

good business sense for corporations.

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Over 100 brands are battling over the bottled water market, hard-selling their products in every

way possible -- better margins to dealers, aggressive advertising, catchy slogans. The real boost

to bottled water came in the early- to mid-1980s with the growth of PVCpackaging and, later,

PET bottles.

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About Bisleri

Mineral Water under the name 'Bisleri' was first introduced in Mumbai in glass bottles in two

varieties - bubbly & still in 1965 by Bisleri Ltd., a company of Italian origin. This company was

started by Signor Felice Bisleri who first brought the idea of selling bottled water in India.

Parle bought over Bisleri (India) Ltd. In 1969 & started bottling Mineral water in glass bottles

underthe brand name 'Bisleri'. Later Parle switched over to PVC non-returnable bottles & finally

advanced to PET containers.

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Since 1995 Mr. Ramesh J. Chauhan has started expanding Bisleri operations substantially and

the turn over has multiplied more than 20 times over a period of 10 years and the average growth

rate has been around 40% over this period. Presently we have 8 plants & 11 franchisees all over

India. We have our presence covering the entire span of India. In our future ventures we look to

put up four more plants in 06-07. We command a 60% market share of the organized market.

Overwhelming popularity of 'Bisleri' & the fact that we pioneered bottled water in India, has

made us synonymous to Mineral water & a household name. When you think of bottled water,

you think Bisleri.

We at Bisleri they value their customers & therefore have developed 8 unique pack sizes to suit

the need of every individual. They at present have 50ml cups, 250ml bottles, 500ml, 1L, 1.5L,

2L which are the non-returnable packs & 5L, 20L which are the returnable packs. Till date the

Indian consumer has been offered Bisleri water, however in their effort to bring to consumers

something refreshingly new, they have introduced Bisleri Natural Mountain Water - water

brought to you from the foothills of the mountains situated in Himachal Pradesh. Hence their

product range now comprises of two variants : Bisleri with added minerals & Bisleri Mountain

Water.

It is their commitment to offer every Indian pure & clean drinking water. Bisleri Water is put

through multiple stages of purification, ozonised & finally packed for consumption. Rigorous

R&D & stringent quality controls has made us a market leader in the bottled water segment.

Strict hygiene conditions are maintained in all plants.

In our endeavour to maintain strict quality controls each unit purchases performs & caps only

from approved vendors. They produce our own bottles in-house.

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Departments in M/s Parle Bisleri Pvt. Ltd.

M/S Parle Bisleri Pvt. Ltd. It is a medium scale company and it manufactures and sells

Packaged Drinking Water The different departments of this company are: -

1. Filler Department : -

This is the plant in which the bottles are filled and packed under strict levels of hygiene and

safety as per the EU norms.

2. Plastics Department : -

Caps Section

Preforms SectionThis is the Department where pet material is processed to make preforms using 6 Ekou

injection moulding machine of 180 and 330 tonnes as per the requirements of the preform.

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Preforms are available in various sizes according to the size of bottle.

Bottle Sizes Preform Sizes

1 ltr 21gms

500 ml 17gms

250 ml 15gms

1.5 ltr 32 gms

2 ltr 34 gms

5 ltr 75 gms

20 ltr 710 gms

Caps are made from a mixture of HDPE and LLDPE using 4 Cincinnati Milacron and 2 Windsor

injection-moulding machines.

3. Water Treatment Plant : -

Over here the Raw water from the bore wells is treated in several stages before it is filled thus

making it very pure for human use.

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4. Blowing Department : -

Over here the preforms are blown into bottles. This department has various manual and fully

automatic stretch blow moulding machines.

5. Water Testing Laboratory : -

The water-testing lab ensures that the water safety standards are maintained as per the BIS and

EU norms.

6. HORAI Department (Grinding Department): -

All rejected bottles, caps, jars and lumps of plastic material are sent over here for grinding in

order to re-use it. Before it can be grinded it is very carefully segregated in different groups.

They also buy plastic bottles from outside and grind them for resale. It is a fully automatic plant

7. Stores Department : -

All the stock of finished, semi-finished goods are stored over here and are dispatched as per the

orders. Up to 50 tonnes of stock are dispatched in a day.

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INPUTSCONVERSION

SUBSYSTEMOUTPUT

Environment

Legal FDA, BIS,BMC

Technological

automatic inj.Mldg. m/c, auto

blow mldg. m/c.

Market

Competition withAquafina, Kinley

etc.

Customer Desire

50 m.l., 100 m.l.,25 litres and low

pricePrimary Resources

Material: -

Water from bore wellsHDPE, LLDPE, PET.

Personnel: -

Plastics Engineering,

Production Managers.

Capital Assets: -

Auto Filling Machine,

Blow moulding

machine, recycling

machine

Physical

Manufacturing

Locational Services

Transportation

Exchange

Services

Wholesaler

Refill

Other Private

Services

Utility

Bisleri

Bottles

Control Subsystem

Sealed bottle, FDA, Quality

Control


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Production System Model

Inputs

Environment

1) Legal : -

Parle Bisleri being a company involved in selling water which is fit for consumption it

comes under the FDA, it also follows the standards of BIS. Therefore ensuring its quality

and the public perceive the right image of being 100% safe.

2) Technological: -

Parle Bisleri believes in keeping up with times and they are trying constantly to increase their

share market. This is the reason Bisleri has automatic Injection Moulding Machine in order

to increase their production capacity 3 folds. Bisleri already has 2 automatic Blow Moulding

Machines.

Market

1) Competition : -

Parle Bisleri Pvt. Ltd. 1992 at that time Bisleri enjoyed almost a complete monopoly.

Recently however, companies like Pepsi and Coco cola have entered the market to give

tough competition to Bisleri by introducing brands like kinley and Aquafina.

2) Customer desire :-

Bisleri has become a household name to the extent that people instead of calling it packaged

water are calling it Bisleri.

3) More options : -

Bisleri was the first company in India to increase its products in packaged drinking water

ranging from 500ml to 20 litres.

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Primary resources: -

1) Material : -

The raw water is obtained from bore wells. The bottles are made from polymers such as

HDPE, LLDPE and PET.

2) Personnel : -

Bisleri requires mostly skilled and semi skilled labourers. The skilled labourers include

production and plastic engineers.

3) Capital assets : -

Bisleri has got 14 injection moulding machines, 2 automatic blow moulding machines and 4

semi automatic blow moulding machines. It has also got 2 plants located side by side for

production purposes.

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Conversion Subsystem

1) Physical : -

Parle Bisleri Pvt. Ltd is considered to be a manufacturing unit as it manufactures the semi

finished product i.e. bottles and caps and also produces the finished products.

2) Exchange services : -

The distribution network of Bisleri is maintained by its distributors and wholesalers. To

supply to big corporates they have their own distribution network.

3) Outputs : -

The final output of whole manufacturing process is we get clean pure drinking water in

bottles of different sizes according to the needs of the consumers.

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Control subsystem

The motto of Bisleri is play safe and Bisleri has implemented every measure to produce the

safest product possible. It has employed measures such as:-

1) The quality of every single raw material that goes into the products are minutely

inspected in order to ensure optimum quality standards.

2) The caps of all the bottles are tamper proof so when the consumer buys a Bisleri product

he ensures that the product is untampered.

3) The production process of Bisleri is such that a human hand never touches a Bisleri

product.

4) There is 24 hours quality checking so that no defective product reaches the consumer.

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Production System

Mass production: -

Mass Production is the name given to the method of producing goods in large quantities at low

cost per unit. But mass production, although allowing lower prices, does not have to mean low-

quality production. Instead, mass-produced goods are standardized by means of precision-

manufactured, interchangeable parts. The mass production process itself is characterized by

mechanization to achieve high volume, elaborate organization of materials flow through various

stages of manufacturing, careful supervision of quality standards, and minute division of labour.

To make it worthwhile, mass production requires mass consumption. Until relatively recent

times the only large-scale demand for standardized, uniform products came from military

organizations. The major experiments that eventually led to mass production were first

performed under the aegis of the military.

Effects on the organization of work: -

The development of mass production transformed the organization of work in three importantways. First, tasks were minutely subdivided and performed by unskilled workers, or at least

semiskilled workers, since much of the skill was built into the machine. Second, manufacturing

concerns grew to such size that a large hierarchy of supervisors and managers became necessary.

Third, the increasing complexity of operations required employment of a large management staff

of accountants, engineers, chemists, and, later, social psychologists, in addition to a large

distribution and sales force.

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Production Process

1) The raw material (HDPE, LLDPE, PET) that is stored in the warehouses is transported to the

processing plant near by.

2) In the cap department where caps are produced. HDPE and LLDPE which are in the form of

granules are emptied into the hopper of the injection moulding machine with a colorant and

the caps are produced of the characteristics green colour of Bisleri. The caps that are

produced are automatically packed into cartons. This semi finished product is transported,

after quality testing has been done, to what is called the filling department. In the caps

department there are 7 injection moulding machines

3) In the preforms department which is located in next to the cap department it is located in the

same plant. In the preforms department PET material is used to manufacture preforms which

are semi finished bottles. They are produced by using injection moulding machine. After the

preforms are tested by the quality assurance department, they are packed in cartons and

transported to the filling department. In the preforms department there are 7 injection

moulding machines

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4) In the blowing department the preforms which are obtained from the preforms department

are blown to form bottles. There are a total of 2 fully automatic blowing machines which are

directly connected from to the filler. There are about 5 more semi automatic and automatic

blowing machines which are producing bottles everyday.

5) The filling department is situated in a closed and a controlled environment to maintain the

hygiene. The bottles are transported from one operation to another on conveyor belt. The

bottles are directly loaded onto the conveyor belt, first bottles passed through UV light to

kill the bacteria, then the bottles are cleaned by pure water, then the bottles are filled to the

desired quantity and then they are automatically capped, then the sticker is put on the bottles

and the price, manufacturing date, batch number are printed by spraying machine on the

bottle itself, then the bottles pass through a screen of white light where workers manually

check all the bottles for any defects, lastly they are packed in cartons and stored in the

warehouse ready for transportation to its destination.

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6) All the waste bottles are separated and they collected and send to the recycling department

for recycling where they are cleaned, grinded to a coarse powder which is again used in the

manufacturing process thus reducing wastages and being environmentally friendly. This

plant is also used for recycling of outside PET bottles and thus earning extra revenue.

7) In the water treatment plant the water form the 8 bore wells are stored in the Chlorinated

Raw Water Tank (CRWT), the chlorine in this tank is used to kill the germs, after that the

water goes through the sand filter where the solid wastes are removed, after this the water

passes through the carbon filter to remove the foul odour, then the water passes through the

Ultra Violet Light Chamber where the Water passes through it to cure the bacteria and

viruses, then the water passes through a reverse osmosis process to remove the dead

membranes of bacteria and viruses, then the water is passes through the silverisation

chamber to give the sparkle to the water, then the water passes through the ozonisation

process to remove the chlorine and to remove the and its stale odour.

Water Purification Process of Parle Bisleri Pvt. Ltd.

Planning for production function

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Raw

Water

Sand

Filter

Chlorinated Raw

Water Tank

Carbon

FilterU.V. Filter

Reverse

Osmosis

Silverisation Ozonisation


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1) Material

Without materials there can be no output. Material input may account for as much as 80%

of the value of the output. This fact indicates the importance to be attached to material

purchasing.

The materials required for the production process of packaged drinking water are: -

A) Raw water

B) HDPE

C) LLDPE

D) PET

E) Recycled PET granules

F) Cartons

G) Stickers

2) Methods

This function analyses possible methods of manufacture and tries to define the best method

compatible with a given set of circumstances and facilities. The application of methods

engineering ranges from the production of goods to designing of a new plant or new

processes or improvement of the workplace. Wherever work is being is done, method is a

desirable function to ensure that the work is being done in the easiest; safest and most

productive manner.

The method for producing packaged drinking water starts with the production of bottles

and caps. After that the semi finished products are transported from the cap and performs

division to the filling division where the caps are added to the filling machines and the

performs to the corresponding size of the bottle, these bottles are then added to the

conveyor belt to complete the process of filling the bottle automatically. After the bottle is

filled to the desired level the bottle is automatically capped and then sticker is put on the

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bottle the price is printed through a spray gun. Then it is visually inspected and after that

put into cartons readily for delivery.

3) Machines and Equipment

Industrial production is closely related to available production facilities coupled with

appropriate machine and equipments. Considerations:

1) Equipments can be purchased fresh or second hand

2) Equipment can be lease or rented

3) Equipment can be fabricated within the plant

Machines used in Bisleri are injection moulding machines for the production of preforms

and caps. For making bottles blow moulding machines are used to blow the bottles to the

required size and shape of the bottles by the use of moulds. Automatic fillers are employed

for the purpose for clean and efficient filling of the bottles with the least amount of

rejection.

4) Routing

The determination of where each operation on a component part, subassembly or assembly

is to be performed results in a route for the movement of a manufacturing lot through the

factory. A generalised routing can be determined depending upon the size of the building

and is established by departments such as machine shop, assembly, finishing, inspection

and so on. A detailed routing indicates the specific work station or machine to be used for

each operation.

Industrial production is closely related to available production facilities coupled with

appropriate machine and equipments. Considerations:

1) Equipments can be purchased fresh or second hand

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2) Equipment can be lease or rented

3) Equipment can be fabricated within the plant

The route of the production process is designed in such a way that in process transportation

is at a minimum. The plant layout is in such a way that it is easy to transport the semi-

finished product. First comes the semi finished product then it is blown filled and sealed,

now ready for delivery.

5) Estimating

This function involves the extensive use of operation analysis in conjunction with methods

and routing as well as work measurement. Estimating is a special type of forecasting.

Predicting what new things will cost before they are made is partly guess work. Some

companies making engineering type production to order have a preplanning department

which helps to make cost estimates. Its main duties are to decide on the purchase of tools

and component parts.

Bisleri being an old company has being estimate the demand for its production due to its

past experience it is able to estimate the demand. As a general rule the demand for Bisleriis very less but the production of Bisleri continues as the demand in summer is so high that

the production cannot keep pace with the production requirement. They also take help of

market surveys and past trends to determine the production requirements.

6) Loading and Scheduling: -

Both scheduling and loading help in production planning. Scheduling refers to the

preparation of a time table for various operations covering the beginning and finishing

times of various operations. Loading refers to the time gap for various work loads booked

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in advance for different products. Thus scheduling guarantees the observation of delivery

times and loading guarantees the maximum utilisation of the available facilities.

According to the schedule of the delivery and amount to be delivered and where they are to

be delivered the trucks are loaded to be sent to wholesalers and retailers

7) Dispatching: -

Dispatching refers to the actual issuing of orders for performing operations in different

sections or units. It involves the following steps:

1) To make raw materials, equipments, tools and machines available to the worker

2) To provide route sheets, charts and scheduled along with information and

instructions

3) To issue orders and instructions in writing about the method of work and time for

completion

4) To note start and finish time of each process

5) To evaluate the performance and progress of production schedule

6) To introduce suitable changes in schedules

Distribution of the bottles is done using trucks of different sizes if the deliver has to be

done in the city the smaller trucks are used which are of Eicher. If the delivery has to be

made outstation then the larger Tata Trucks are used. The normal distribution to the

distributors within the city the delivery takes place 7:00 a.m. every morning except Sunday.

8) Follow Up: -

The effectiveness of any production control system is dependent upon timely and adequate

information regarding actual performance. This information usually originates with the

dispatcher. The reporting of jobs completed is important but it is more important that

delays in production be anticipated and work that is lagging behind the anticipated

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production rate be reported instantly to the production manager. Sound production control

makes this reporting and the system of counter checks by follow up automatic. Effective

corrective action is based on these reports.

After the delivery has been made the marketing people visit the retailer, wholesalers,

distributors for their complaints if any written and left for the consideration of their

superiors.

9) Inspection: -

Inspection is an integral aspect of quality control programme. It helps in maintaining and

raising the quality of products. Inspection judges production against established standards.

It is the method by which one may decide to reject or accept a certain group of items. These

items are inspected with certain predetermined standards. These are accepted if they

conform to the specifications, otherwise they are rejected. A corrective measure can also be

suggested to ensure that future products conform to the specification. Thus, inspection can

also be termed as a sorting process which classifies the products as acceptable or

unacceptable.

There is a very efficient quality control process followed by Parle Bisleri Pvt. Ltd. it

inspects everything from the water to the bottles and the tamper-proof ness of the caps is

also looked into very regularly, in fact it is one the main issues in quality control of the

company. The first thing the quality control head does is to check the previous days

rejection and to finds its individual reasons of rejection and steps if required.

10) Evaluating: -

Evaluating is the important link between control and future planning. Evaluating function

provides a feedback mechanism on a longer term basis so that past experience can be

evaluated with a view to improve use of methods and facilities.

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Operations of Parle Bisleri are inspected by FDA (food and drug associations) Bisleri also

follows BIS (Board of Indian Standards).

Conclusion

In conclusion it can be inferred that production management is very important in todayscompetitive world where cost cutting is a norm rather than exception. Production management

provides a science for effective profit maximization and optimum resources utilization.

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Bisleri who has been in the past been facing tough competition from the other brands has

adopted production management in a big way in order to maintain its lead in the packaged

drinking water market.

By this project we have tried to highlight some of the measure taken by Bisleri in order to

improve its production processes and to show the significance and the benefits of production

management in todays globalised market

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Documents

19875991 Bisleri International Ltd