COLLEGE OF ENGINEERING BHUBANESWAR [CEB]

PLOT -1, SECTOR -B, CNI COMPLEX, PATIA, BHUBANESWAR- 751024

www.coeb.org

This is to certify that the project report entitled

“Investment Casting of Lost Wax Type” is a bonafide
record of work done by the 8th semester students of 4th
year in partial fulfillment of “ Bachelor of Technology in
Mechanical Engineering “ during the academic year of
2005-2009 at College of Engineering, Bhubaneswar .

Project Guide Er. M. M.

Mohapatra

Er. Samir Mohanty Head of Department

Senior Lecturer in Mech. Engg. Mechanical Engineering

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This is to certify that the following students
have successfully completed the
Entrepreneurship Project on Investment
Casting of Lost Wax Type

 Praveen Kumar
--------------------------------------------------------0501219239

 Rashmi Kant Rout-----------------------------------------------------

0501219243

 Manoj Kumar-----------------------------------------------------------
0501219245

 Himanshu Sekhar Pradhan-----------------------------------------

0501219266

 Rajesh Ranjan Samal-------------------------------------------------

0501219271

 Anand Ratna------------------------------------------------------------
0501219272

 Namrata Sinha---------------------------------------------------------
0501219273

 Abhishek Rezi----------------------------------------------------------
0501219274

 Abhijit Roy--------------------------------------------------------------
0501219275

 Manish Kumar Singh------------------------------------------------

0501219276

 Piyush Priyadarshi----------------------------------------------------
0501219279

 Pritpal Singh------------------------------------------------------------
0501219280

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Project Guide Er. M. M.
Mohapatra

Er. Samir Mohanty Head of Department

Senior Lecturer in Mech. Engg. Mechanical Engineering

3 |Page
 During the final semester of B.TECH in MECHANICAL
ENGINEERING a curriculum assignment has to be taken as
an entrepreneurship project. Our Entrepreneurship project
is “Investment Casting of Lost Wax Type” a complete task
of starting from concept analysis to project preparation;
the entire has been done under the guidance of our
project guide Mr. Samir Mohanty (Senior Lecturer in
Mechanical Engineering –College of Engineering
Bhubaneswar) .

In today's scenario, the Investment Casting is used in the

aerospace and power generation industries to produce
turbine blades with complex shapes or cooling systems.
Blades produced by investment casting can include single-
crystal (SX), directionally solidified (DS), or conventional
equiaxed blades. It is also widely used by firearms
manufacturers to fabricate firearm receivers, triggers,
hammers, and other precision parts at low cost. Other
industries that use standard investment-cast parts include
military, medical, commercial and automotive. Investment
casting offers high production rates, particularly for small
or highly complex components, and extremely good
surface finish with very little machining

The R.K Engineers & Manufacturers offers Investment

Casting Products of highly complex type.

While preparation of this project every care has been

taken to avoid any mistakes and errors. Some errors might
have crept in advertently.

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 ================================

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 We gratefully acknowledge the authorities of
College of Engineering Bhubaneswar of the
“Mechanical Engineering Department” for their wide
co-operation in the completion of this project.
We express our deep sense of gratitude to our
project guide Mr. Samir Mohanty & Mr. Rajesh Kumar
Behera (Senior Lecturer in Mechanical Engineering-
College of Engineering Bhubaneswar [CEB]) who
constantly guided & advised us at various levels in the
successful completion of the entrepreneurship project.
We thank the entire staff of Mechanical
Department for helping us in this project.
Last but not the least we want to thank all those
who have directly or indirectly helped us during the
course of our entrepreneurship project work.

********************************

TABLE OF CONTENTS
1. WHAT IS ENTREPRENEURSHIP ?....................................................

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2. WHO IS AN
ENTREPRENEUR ?.........................................................

3. NEED OF ENTREPRENEURSHIP…………………………………...

4. TYPES OF ENTREPRENEURSHIP………………………………….

5. FACTORS AFFECTING ENTREPRENEURSHIP…………………

6. BASIC PROBLEMS OF MARGINAL ENTERPRENEURSHIP…

7. IMPACT OF BIG ENTREPRENEURSHIP ACTIVITY…………..

8. INVESTMENT CASTING OF LOST WAX TYPE- COMPANY PROFILE

9. WHAT IS INVESTMENT CASTING……………………………...

10. BENEFITS OF THE PROCESS…………………………………….

11. PROCESS CHARACTERISTICS………………………………….

12. FUTURE PROCESS AND DEVELOPMENT……………………

13. OVERVIEW OF THE INVESTMENT CASTING PROCESS...

14. SCOPES OF INVESTMENT CASTING………………………..

15. TOTAL COST TO ESTABLISH THE PLANT…………………

16. CONCLUSION…………………………………………………….

17. BIBLIOGRAPHY………………………………………………….

WHAT IS ENTREPRENEURSHIP

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Entrepreneurship is the practice of starting new organizations or
revitalizing mature organizations, particularly new businesses
generally in response to identified opportunities. Entrepreneurship
is often a difficult undertaking, as a vast majority of new
businesses fail. Entrepreneurial activities are substantially
different depending on the type of organization that is being
started. Entrepreneurship ranges in scale from solo projects (even
involving the entrepreneur only part-time) to major undertakings
creating many job opportunities. Many "high-profile"
entrepreneurial ventures seek venture capital or angel funding in
order to raise capital to build the business. Angel investors
generally seek returns of 20-30% and more extensive involvement
in the business. Many kinds of organizations now exist to support
would-be entrepreneurs, including specialized government
agencies, business incubators, science parks, and some NGOs.
Entrepreneurship in a broader sense can be described as a
process of action an entrepreneur undertakes to establish his
enterprise. It is a creative and innovative response to the
environment. Entrepreneurship is the inclination (attitude) of mind
to take calculated risk with confidence to a predetermined
business or individual objective. Entrepreneurship means the
function of creating something new, organizing and co-ordinating,
undertaking risk and handling economic uncertainty.

WHO IS AN ENTREPRENEUR ?
An entrepreneur is a person who has possession over a new
enterprise or venture and assumes full accountability for the
inherent risks and the outcomes. The term is a loanword from
French and was first defined by the Irish economist Richard
Cantillon. A female entrepreneur is sometimes known as an
entrepreneuse. However, with the word "entrepreneuse" being
the French feminine form of entrepreneur, its usage in English in
delineating sexes detracts from the meaning of the word
"Entrepreneur." Entrepreneur in English is a term applied to the
type of personality who is willing to take upon her self or himself a

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new venture or enterprise and accepts full responsibility for the
outcome.

The modern myths about entrepreneurs include the idea that they
assume the risks involved to undertake a business venture, but
that interpretation now appears to be based on a false translation
of Cantillon's and Say's ideas. The research data indicate that
successful entrepreneurs are actually risk averse. They are
successful because their passion for an outcome leads them to
organize available resources in new and more valuable ways. In
doing so, they are said to efficiently and effectively use the factors
of production. Those factors are now deemed to include at least
the following elements: land (natural resources), labour (human
input into production using available resources), capital (any type
of equipment used in production i.e. machinery), intelligence and
knowledge, and creativity. A person who can efficiently manage
these factors in pursuit of a real opportunity to add value in the
long-run, may expand (future prospects of larger firms and
businesses) and become successful.

Entrepreneurship is often difficult and tricky, as many new

ventures fail. Entrepreneur is often synonymous with founder.
Most commonly, the term entrepreneur applies to someone who
creates value by offering a product or service. Entrepreneurs often
have strong beliefs about a market opportunity and organize their
resources effectively to accomplish an outcome that changes
existing interactions.

Some observers see them as being willing to accept a high level of

personal, professional or financial risk to pursue that opportunity,
but the emerging evidence indicates they are more passionate
experts than gamblers.

Business entrepreneurs are viewed as fundamentally important in

the capitalistic society. Some distinguish business entrepreneurs
as either "political entrepreneurs" or "market entrepreneurs,"
while social entrepreneurs' principal objectives include the
creation of a social and /or environmental benefit. Entrepreneurs
are men of vision, drive and talent, who spot our opportunities and
promptly grasp them for exploition. Entrepreneur is an individual

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who introduces something new into the economy, a new method
of production, a new product with which the consumers are not
familiar, a new source of raw-material or new market and the
alike.

NEED OF AN ENTREPRENEUR
Entrepreneurs play an important role in developing and
contributing to the economy of a nation. It is all the more in a
developing world where are ample opportunities for innovations to
exploit the available resources and initiate entrepreneurial
ventures. But the emergence of entrepreneurship in all countries
and in all parts of any country is not usually even. Commonly we
see more entrepreneurs in comparatively more developed areas.
Another paradox exists in terms of increasing number of
unemployed population, seeking wage earners career and
unaware of the wide opportunities for entrepreneurial career. This
is, by and large, because of lack of education about
entrepreneurship.

The business entrepreneur, the archetypal enterprising person,

has become the focus of interest in many nations as an instigator
of social and economic change. The search is on for more and
better ways of creating enterprising people and specially for
developing entrepreneurs. For this, the role of education and
training is typically very important. Education is a strong
influencing media that sets values, develops attitudes and
motivation and induce people to acquire skills and competencies
to achieve goals. The word ‘education’ can be linked to the word
‘enterprise’ in three ways –

Education about enterprise in which the role of education is in

raising awareness of enterprise and entrepreneurship as a key
change agent in economic process.

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Education through enterprise in which the education process
itself can be enhanced by using pedagogic styles which work in
and makes use of enterprising situations including the student
concerned and real world project driven approaches

Education for enterprise which is aimed at entrepreneurship

development and includes training existing entrepreneurs as well
as for new business start-up.

TYPES OF ENTREPRENEUR
I have made the point that the one trait common to all
entrepreneurial hearts is a drive toward “independence,” and I
added that varying levels of that independent spirit serve to
create a scale on which we could find and define different types of
entrepreneurs. I’d like to expand on those thoughts.

The notion of differing “types” of entrepreneurs is only important

if one is in some way connected to the world of self-employment.
And frankly, unless a person has a direct use for this type of
information, the subject is boring. But guess what? At least 25% of
Americans are plugged directly into the subject as small business
owners, employees of those businesses, or family members of
entrepreneurs. As stated before, using a broad brush to define the
entrepreneurial personality will not work for serious entrepreneurs
because it leaves too many possibilities to examine, too many
roads to travel that are unnecessary as one decides on their
future. In a nutshell, it is neither forward thinking nor efficient to
lump together, all the players and all the personalities. Making
broad assumptions about the entrepreneurial personality can also
lead to danger and business failure.

Over time I have identified at least five distinct entrepreneurial

types, and that discovery represents a major step up from the
“quick fix” tests that claim to evaluate one’s entrepreneurial
personality in a few minutes time. You know the tests I’m talking
about. The ones found in pop magazines. The multiple choice

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questionnaires that help puff up the ego and encourage us to
think of ourselves as independent, entrepreneurial leaders with
“all the right stuff.” Folks, not all of us have the right stuff for the
entrepreneurial lifestyle, but then again, most entrepreneurs do not
possess the right stuff to make it as great corporate staffers at the
highest levels. Why? Because they tend to upset the apple cart
and make other staff uncomfortable.

The question is not whether a test says a person can be or should

be an entrepreneur. The issue is whether or not a person knows in
their heart what “type” of entrepreneur they are, if any, before the
journey begins. There is little or no value associated with a 15-
minute personality test that gives people a green light to buy a
franchise. Could that test possibly provide better analysis than a
system that allows a person to “think through” ownership issues
on their own? There is little value in those tests, and there is little
value in pursuing an entrepreneurial lifestyle based on what other
people claim to be “hot” new opportunities. It is the opinion of the
prospective entrepreneur that matters most, but unfortunately we
have been conditioned to accept salesmanship and promotion
rather than thinking for ourselves. The more informed and definite
we become concerning our traits and objectives, the better
choices we are able to make.

First, is the Intrapreneur!! Although tied to the “other owned”

organization where they are employed, the intrapreneur enjoys
independent responsibilities where risk and reputation are part of
the assignment. What kinds of assignments would those be?
Heading up a take-over or merger. Implementation of a new
business development plan.

Finally, the Practical Visionary (?) with the question mark following
the term grabs for the greatest measure of independence. This
person follows their heart and their dream with great gusto, but
the question mark is attached because until the vision is proven,
its practical value and acceptance by the marketplace remains a
question.

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FACTORS AFFECTING ENTREPRENEURSHIP

 Psychology
 Human Capital
 Life Course Stage
 Environment
 Social Networks (Gender)
 Ethnic
 Resources

Culture and Entrepreneurship

• Culture: shared cognitions, values, norms and expressive
symbols of a society or Subgroup

Culture as a Socialization Agent

Supply-side Mechanism: Individuals are socialized into a society’s
or group’s culture which encourages entrepreneurship

Examples:

• Protestant Ethic and Capitalism (Weber)

• Soviet / communist culture and effect on

Entrepreneurship Culture as Legitimating Agent

• Demand-side Mechanism: Environmental factors (widely-held
rules and beliefs) affect the demand for entrepreneurial activity.

• Individuals, organizations, products, and markets conform to

these rules and beliefs in order to gain legitimacy and gain access
to resources in order to survive.

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• To gain legitimacy new ventures must present themselves within
societal norms, so others can believe in their future success as a
business

Rationalized Environments
• Institutional Theory in Sociology

– Focuses on cognitive, normative, and regulatory

structures that provide meaning to social behavior

• Main Thesis

– Environments in which organizations must operate

have become rationalized, i.e., organizations are subject to
prescribed rules and ideologies regarding proper
organizational practices or forms;

– Rationalization leads to a world society, an orderly

society

Loci of Rationalization
• Elite Organizations

– Provide models for successful organizing

• Nation-State

– Constructs laws and policies for the public good

• Sciences and Professions

– Knowledge system as demystifying nature; “truths” about how

the social system works

BASIC PROBLEMS OF SMALL ENTREPRENEURSHIP

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 Probably the most uncomfortable are the political and
ethnical ones.
According to different surveys, the most frequent
complaints concern constantly changing laws, high tax rates, lack
of capital, complicated access to credit, lack of working capital,
high competition, and bureaucracy.
The basic problem is the huge and constantly growing
amount of administrative costs, the extraction of extra-legal fees
for permissions and approvals, and the high pressure of
corruption. The state's participation in business, its interference in
competition and its violation of the rights of entrepreneurs are
serious barriers. Currently, the pressure on leu, Romanian national
currency. After 15 years of constant depreciation of the leu, since
last autumn we have been witnessing the opposite situation.
Entrepreneurs are having a hard time to adapt, especially the ones
who export in Europe. Access to capital, a labor code that is very
much in favor of the employees, and competition from China and
other Asian countries are other constraints to developing
entrepreneurship.

IMPACT OF BIG ENTREPNUERSHIP ACTIVITY

The importance of entrepreneurship for achieving economic
growth in contemporary economies is widely recognized, both by
policy makers and economists. However, empirical evidence
linking entrepreneurship to economic growth is scarce. This paper
investigates the relation between entrepreneurship and economic
growth at the country and regional level. It contributes to the
understanding of how entrepreneurship may affect economic
growth. It is investigated whether the impact of entrepreneurship
on economic growth varies with the development level of an
economy, with the sector of economic activity, and with the
quantity and quality of entrepreneurial supply.

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 Investment Casting of Lost Wax Type
COMPANY PROFILE

Investment casting is used in the aerospace and power generation

industries to produce turbine blades with complex shapes or
cooling systems. Blades produced by investment casting can
include single-crystal (SX), directionally solidified (DS), or
conventional equiaxed blades. It is also widely used by firearms
manufacturers to fabricate firearm receivers, triggers, hammers,
and other precision parts at low cost. Other industries that use
standard investment-cast parts include military, medical,
commercial and automotive.

Investment casting offers high production rates, particularly for

small or highly complex components, and extremely good surface
finish with very little machining.

R.K Engineers & Manufacturers is a quality manufacturer of

Investment Casting & Precision Investment Castings by lost wax
process. R.K Engineers & Manufacturers offers highest quality of
engineering by its ultra modern plant equipped with all latest
Investment Casting Equipments and high tech laboratory.

R.K Engineers & Manufacturers is an Investment casting company

in India producing Ferrous & Non Ferrous castings. We are
involved in Producing Cheap and very high Quality Investment
castings as on customized requirements for Auto, Engineering,
Pumps, Valves, Medical Equipments, and Chemical Industry etc.

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 What Is Investment Casting ?
Investment casting converts molten metal in a single operation to
precision engineered components with a minimum wastage of
material and energy and subsequent machining. It has a
versatility approached by few other metal forming processes.
Intricate or re-entrant contours can be incorporated. These
features offer great freedom of design with the process. The
versatility of the technique extends to materials, since virtually
any alloy can be cast. Castings of over 250 kg and an envelope of
1 cubic metre are common place.

The IC process is distinguished by the use of an expendable

pattern. A metal die is usually used to produce the pattern, now
almost universally of wax. These injection dies are normally made
of duralumin or brass. Preformed ceramic or water soluble cores
may be used to give precision internal cavities and these are
located in the wax die prior to injection. Patterns can be mounted
onto a runner system to give an assembly ready for subsequent
coating with refractory.

Industrial investment casting is based on the ceramic shell

process where the wax assembly is dipped into thin refractory
slurry and after draining, fine grains of refractory are deposited
onto the damp surface, providing a primary refractory coating.
The primary coat typically contains a zircon based refractory while
the binders used are either alcohol based (ethyl silicate) or water
based (silica sol) or a hybrid of these. When the primary coat has
hardened or set, subsequent cycles of ‘wet’ dipping and dry
‘sanding’ build up the thickness of the invested material to
provide a refractory shell that, when fully hardened, is sufficiently
strong to hold the liquid metal during casting.

At the end of the investing process, the wax pattern material is

removed by thermal means, steam autoclaving being usual. The
mould is heated to a high temperature to eliminate any residual
wax and to induce chemical and physical change in the refractory

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that will ensure maximum strength and stability combined with
minimal reaction between the mould surface and the liquid metal
to be poured into the investment casting for lost wax type.

The majority of investment casting foundries has air melting

facilities and cast a wide range of materials. Steel casting furnaces
tend to be of the roll over or tilt induction melting type, whilst for
many of the more advanced nickel super alloys, vacuum melting /
casting is essential. In the case of aluminum investment castings,
melting may be by gas or electricity, while various methods of
pouring the molten metal are in use (e.g. it may be gravity
vacuum or pressure assisted) These are the methods of pouring.
When the mould has cooled sufficiently, the mould material is
removed to leave the castings which are then separated from the
running system. Various post–casting operations may be carried
out to meet customer requirements.

Benefits of the Process

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The benefits of the investment casting process may be summed
up by the four words accuracy, versatility, integrity and finish. Few
if any alternative metal forming methods can offer such a unique
and broad spectrum of advantages. Accuracy and versatility stem
from the use of a one piece mould without a joint line or the need
for draft angles. These features not only give rise to a component
shape that is aesthetic and uniform; they also allow the process to
give, on a regular basis, consistent and repetitive close tolerances,
intricate and re-entrant contours (many impossible to create
economically by alternative manufacturing techniques) and
competitive cost ratios. Versatility extends to the choice of
materials since virtually all alloys can be investment cast.

Utilising the aluminum die form ensures tooling is relatively cheap

and is adaptable should design changes be necessary. It also
enables relatively small quantities, typically for research and
development trials, to be produced prior to commitment to
production quantities.

Casting integrity is an important feature of the process and

investment casting has a long history of serving the most
demanding sectors of industry. This has promoted a tradition of
quality and reliability, an aspect that by recent work to develop
production methods of guaranteed integrity has resulted in fatigue
performances equal to that given by forgings measured
longitudinally. Based on this work, investment castings are now
beginning to replace forgings and machined components in
fatigue related environments.
Other advantages arise from the high degree of dimensional
accuracy, + or - 0.13 mm per 25 mm with improvements up to +
or - 0.08 mm per 25 mm and the excellent surface finish that can
be routinely achieved, typically 1.5 to 3.2 microns with
improvements up to 0.8 microns.

Typical minimum wall thickness of 1.5 mm with thinner sections of

1 mm is possible. Tolerances quoted should be taken as a guide,
as they may vary depending on the complexity and configuration
of the component. Consistency from casting to casting will
generally be within the tolerances indicated with individual
foundries being able to advice on this point. These characteristics

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minimize the requirements for machining, in some cases
eliminating it entirely, and this leads to substantial savings in raw
materials, labour costs and capital expenditure, reduces and
simplifies production control and simplifies assembly operations.
These benefits individually offer great competitive advantages;
collectively they suggest an overwhelming case for the
consideration of investment casting as the most economic method
of forming for a wide range of metal components.

Process Characteristics
• FREEDOM OF DESIGN • COMPLEX SHAPES CAN BE
• HIGH PRODUCTION RATES CAST
• HIGH DIMENSIONAL • LONG/SHORT RUNS CAN BE
ACCURACY ACCOMMODATED
• HIGH DIMENSIONAL • MACHINING CAN BE
CONSISTENCY REDUCED OR ELIMINATED
• HIGH INTEGRITY CASTINGS • MINIMUM FINISHING OF
CASTINGS REQUIRED
• EXTREMELY GOOD • ALMOST ANY ALLOY CAN
SURFACE FINISH CAN BE BE CAST
OBTAINED
• ENVIRONMENTALLY
FRIENDLY PROCESS

Most industries requiring castings are catered for but investment

castings are admirably suited for high technology, high volume
orders especially in respect of the aeronautical industry. The
petroleum, chemical, electronic, defence, prosthetic and
automobile industries are also large users of castings produced by
the process.

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 Future Potential &
Development

With the development of rapid prototyping techniques for the

production of patterns and shells it is now possible to produce
investment castings quickly with lead times reduced to less than
two weeks.
Work done in BICTA Committees on high integrity castings utilizing
vacuum produced ingot and melting and Hipping will ensure the
process will further replace welded and forged components
extending the field of use of investment castings in the forming of
the lost wax type.
Casting size and weight will increase with 1 cubic metre plus
envelopes and 500Kg castings becoming commonplace in steel.
With the use of improved melting techniques and larger melting
and casting facilities investment castings can be shown to be the
fastest growing metal forming technique and investment casting
now represents some 15% of all metal cast in the UK.

OVERVIEW OF THE INVESTMENT CASTING

PROCESS
Investment casting, often called lost wax casting, is regarded as a
precision casting process to fabricate near-net-shaped metal parts
from almost any alloy. Although its history lies to a great extent in
the production of art, the most common use of investment casting
in more recent history has been the production of components
requiring complex, often thin-wall castings. While a complete

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description of the process is beyond the scope of the discussion
here, the sequential steps of the investment casting process will
be briefly described, with emphasis on casting from rapid
prototyping patterns.

The investment casting process begins with fabrication of a

sacrificial pattern with the same basic geometrical shape as the
finished cast part. Patterns are normally made of investment
casting wax that is injected into a metal wax injection die.
Fabricating the injection die often costs tens of thousands of
dollars and can require several months of lead time. Once a wax
pattern is produced, it is assembled with other wax components to
form a metal delivery system, called the gate and runner system.
The entire wax assembly is then dipped in ceramic slurry, covered
with sand stucco, and allowed to dry. The dipping and stuccoing
process is repeated until a shell of ~6-8 mm (1/4-3/8 in) is applied.

Once the ceramic has dried, the entire assembly is placed in a

steam autoclave to remove most of the wax. After autoclaving,
the remaining amount of wax that soaked into the ceramic shell is
burned out in a furnace. At this point, all of the residual pattern
and gating material is removed, and the ceramic mold remains.
The mold is then preheated to a specific temperature and filled
with molten metal, creating the metal casting. Once the casting
has cooled sufficiently, the mold shell is chipped away from the
casting. Next, the gates and runners are cut from the casting, and
final post processing (sandblasting, machining) is done to finish
the casting.

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 Investment Casting Process Description

Investment Casting Process Description

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 Investment Casting Process Description

Scopes of Investment Casting

Design flexibility
Investment casting produces near-net-shape configurations,
offering designers and engineer’s freedom of design in a wide
range of alloys. The process is capable of producing precise detail
and dimensional accuracy in parts weighing many pounds or just a
few ounces.

Wide choice of alloys

More than 120 ferrous and nonferrous metals are routinely cast at
Hitchiner.

Elimination of tooling setup

By offering near-net-shape configuration, fixturing costs are
substantially reduced or eliminated.

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Reduction of production costs
Costly machining operations are reduced and often eliminated. No
capital equipment investment is needed to produce parts in-
house.

Reduction of assembly operations

Several parts can be made as one casting, reducing handling,
assembly and inspection costs.

Reproduction of fine details

Splines, holes, bosses, lettering, serrations and even some threads
can be cast.

Process Comparison Chart

Tool Unit Metal Design Volume Draft Tolerance Size Surface Wall Normal
Process Cost Cost Options Freedom Capabil. Req'd Control Range Finish Min. Delivery

Investment
Avg. High Most Most All No Avg. Avg. Avg. Small* Avg.
Cast

Die Cast High Low Few Least High Yes Avg. Avg. Avg. Avg. Avg.
Forging High Avg. Avg. Least High Yes Poor Avg. Poor Large Long

Permanent
Avg. Avg. Avg. Avg. All Yes Avg. Avg. Avg. Large Avg.
Mold

Plaster
Low High Few Avg. Low Yes Avg. Avg. Avg. Large Short
Mold

Powder
Avg. Low Avg. Least High No Best Small Best Small Avg.
Metal

Resin Shell
Avg. Avg. Avg. Avg. All Yes Avg. Avg. Poor Large Avg.
Mold

Sand Cast Low Avg. Most Avg. All Yes Poor Large Poor Large Short

Rights of Land

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We are on the process of submitting a memorandum for acquiring
30,000 sq. meters of land at Adityapur Industrial Area
Development (AIDA), Jamshedpur. This will be completed after the
state government sanctions us a plot to set up our manufacturing
unit.

Required Approvals & Licensing

 NOC for acquiring land.
 NOC from the inspector for factories and boilers.

Clearance from the state pollution control board (OSPCB).

PROJECT IMPLEMENTATION AND

ORGANISATIONAL ASPECTS
Basis and Presumptions
i) The basis for calculation of production capacity has been taken
on single shift basis on 75% efficiency.

ii) The maximum capacity utilization on single shift basis for 300
days a year. During first year and second year of operations the
utilization is 60% and 80% respectively. The unit is expected to
achieve full capacity utilization from the third year onwards.

iii) The salaries and wages, cost of raw materials, utilities, rents,
etc. are based on the prevailing rates in and around Bhubaneswar.
These cost factors are likely to vary with time and location.

iv) Interest on term loan and working capital loan has been taken
at the rate of 16% on an average. This rate may vary depending
upon the policy of the financial institutions/agencies from time to
time.

v) The cost of machinery and equipments refer to a particular

make/model and prices are approximate.

vi) The break-even point percentage indicated is of full capacity

utilization.
27 | P a g e
vii) The project preparation cost etc. whenever required could be
considered under pre-operative expenses.

ANNEXURE- 2

Implementation Schedule

The major activities in the implementation of the project have

been listed and the average time for implementation of the project
is estimated at 12 months:

Period in
Sl.No Months
Name of Activity
. (Estimate
d)
1. Preparation of project report 1
2. Registration and other formalities 1
Sanction of loan by financial
3. 3
institutions

4. Plant and Machinery:

(a) Placement of orders 1

(b) Procurement 2

(c) Power connection/ Electrification 2

d) Installation/Erection of
2
machinery/Test Equipment
5. Procurement of raw materials 2
Recruitment of Technical
6. 2
Personnel etc.
7. Trial production 11

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8. Commercial production 12

Application Areas

• Idol

• Ornaments

• Jewellery

• Blade of Turbine

• Blade of Jet

Cost Required for the Establishment of the

Plant

Fixed cost

Cost of equipments required

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 Items Numbers Cost/item (in Total Cost (in
Rs.) Rs)
Shovel 50 500 25,000
Riddle 50 500 25,000
Floor rammer 50 1000 50,000
Bench rammer 50 800 40,000
Swab 150 750 1,12,500
Gate cutter 150 150 22,500
Inside square 500 250 1,25,000
Box flask 50 2000 1,00,000
Trowel 50 5000 2,50,000
Lifter 150 115 17,250
Sand cutter 150 150 22,500
Furnace 1 1,000,000 10,00,000
Moulding flask 500 5000 25,00,000
Land 1,00,000 sq. 400 4,00,00,000
feet
Cost of const. 35,00,000
of line

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 Variable Cost
Items Numbers Cost/Item (in Total Cost (in
Rs) Rs)
Labour Cost 50 5,00,000
Electricity 7,00,000
Water Bill 50,000
Stationary 25,000
Sand 50 TR 1500/TR 75,000
Wax 1 TR 8,00,000
Misc. 2,00,000

Total Capital Required to Establish the Company

=
Fixed Cost + Variable Cost
=
Rs. 5, 01, 39,750

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 Breakeven Analysis of Product (Turbine Blade)
What Is Breakeven analysis: - The break-even point for a product is the
point where total revenue received equals the total costs
associated with the sale of the product (TR=TC) Break-even point
is typically calculated in order for businesses to determine if it
would be profitable to sell a proposed product, as opposed to
attempting to modify an existing product instead so it can be
made lucrative. Break-Even Analysis can also be used to analyze
the potential profitability of an expenditure in a sales-based
business.

Calculation Of breakeven Point Of The Product:-

Cost Of Per Turbine Blade = Rs.50, 0000

Total Cost =Fixed Cost+Variable Cost

=Rs5, 01, 39,750

Break even point 5, 01, 39,750/50,000 =1003 No of

turbine blade.

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The project is prepared through the collection of different
departmental policies of government as well as technical
consultancy from various organizations and during these
project financial policies of different financial institute and
banks.

This project is an analytical representation of data

collected from various sources so that during real time
implementation further clarifications must be done to
make the project a success. Hence, after going through a
detailed study we find that the location is suitable for the
fructification of our project.

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 ============================

1. Industrial Engineering & Management, O.P. Khanna.

2. Entrepreneurship of Electronic Industries, M.V.

Deshpande ,
Deep & Deep Publications

3. www.techno-preneur.com

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