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2 CHAPTER NO 2
Company profile
Plant layout of Samarth motors
Findings
Conclusion
Bibliography
INTRODUCTION
Production and operation management (POM) is a field that deals with overseeing and
controlling the processes and systems used in the production of goods and services within an
organization. It involves planning, organizing, directing, and controlling all the activities involved
in the creation of products or services. This includes managing resources such as materials,
machinery, labor, and information to ensure efficient and effective production processes, with
the ultimate goal of meeting customer demands while maximizing profitability. Operations
management is a field of business concerned with the administration of business practices to
maximize efficiency within an organization. It involves planning, organizing, and overseeing the
organization’s processes to balance revenues and costs and achieve the highest possible
operating profit. An operations manager is tasked with ensuring that the organization
successfully converts inputs such as materials, labour, and technology into outputs in an
efficient manner.
Production management means planning, organising, directing and controlling of production
activities. Production management deals with converting raw materials into finished goods or
products. Production management also deals with decision-making regarding the quality,
quantity, cost, etc., of production. It applies management principles to production. Production
management is a part of business management. It is also called “Production Function.”
Production management is slowly being replaced by operations management.
The main objective of production management is to produce goods and services of the right
quality, right quantity, at the right time and at minimum cost. It also tries to improve the
efficiency. An efficient organization can face competition effectively. Production management
ensures full or optimum utilization of available production capacity.
Production management, also called operations management, planning and control of industrial
processes to ensure that they move smoothly at the required level. Techniques of production
management are employed in service as well as in manufacturing industries. It is a responsibility
similar in level and scope to other specialties such as marketing or human resource and financial
management. In manufacturing operations, production management includes responsibility for
product and process design, planning and control issues involving capacity and quality, and
organization and supervision of the workforce.
MEANING
DEFINITION
Production and Operations Management (POM) is a business discipline focused on overseeing
the processes and systems involved in the creation of goods and services within an organization.
It involves planning, organizing, directing, and controlling the activities related to production,
with the aim of efficiently utilizing resources and meeting customer demands. POM
encompasses various functions, including capacity planning, quality management, inventory
control, supply chain management, process design, scheduling, maintenance, and technology
integration, all aimed at optimizing operational efficiency and effectiveness.
IMPORTANCE:
The importance of production and operations management (POM) lies in its critical role in
ensuring the smooth functioning of an organization’s operations and its ability to deliver goods
and services effectively. Here are some key reasons why POM is important:
1. Efficient Resource Utilization: POM helps in optimizing the use of resources such as raw
materials, labor, and equipment, leading to cost savings and improved productivity.
3. Competitive Advantage: Organizations that excel in POM can gain a competitive edge by
offering better quality products, faster delivery times, and lower prices compared to
their competitors.
4. Cost Reduction: Effective POM practices such as lean manufacturing and Six Sigma help
in identifying and eliminating waste, reducing production costs, and improving overall
efficiency.
5. Risk Management:POM involves planning for contingencies and mitigating risks related
to production disruptions, supply chain issues, and quality control failures, thereby
ensuring business continuity.
7. Strategic Alignment: POM activities are aligned with the overall strategic goals of the
organization, ensuring that production decisions support the company’s long-term
objectives and contribute to its growth and profitability.
8. Supply Chain Collaboration: POM involves coordinating activities not only within the
organization but also with suppliers and other partners in the supply chain, fostering
collaboration and improving overall supply chain performance.
OBJECTIVES:
The objectives of production and operations management (POM) revolve around optimizing
various aspects of the production process to achieve organizational goals efficiently and
effectively. Here are some key objectives:
5. Flexibility and Adaptability: POM aims to create production systems that are flexible and
adaptable to changes in market demand, technological advancements, and other
environmental factors.
7. Risk Management: Identifying and mitigating risks that could disrupt production
operations, such as supply chain disruptions, equipment failures, or quality issues, is an
essential objective of POM.
The term ‘plant layout’ is used in a broad sense to include factory layout and machine layout.
Plan layout is a plan or the act of planning to obtain an optimum arrangement of industrial
facilities, including personnel, operating equipment’s, storage space, material handling
equipment’s and all other supporting services along with the design of the best structure to
contain these facilities.
The layout of a plant is of major importance, as it affects the flow of materials and processes
efficiency of labour, supervision and control, use of equipment, use of space, expansion
possibilities and plant appearance. When plant layout is properly implemented, it prevents
waste of time, waste money and waste of efforts on account of useless movement and travel of
work in process. It increase the efficiency of workers, as it enables them to prevent from taking
unnecessary steps and making needless motions. Thus, it permits them to direct their energy
into productive efforts. A systematic arrangement of plants and equipment’s increases the
speed of production process, in meeting deliver schedules, in maintaining the quality of
products and thus in establishing better relationships wit customers. It keeps capital
investments low by means of preventing the unnecessary duplication of machinery and
equipment. It saves floor space, thereby reducing the investment in plant and increasing the
efficiency of operation. A good layout of plant provides for expansion and contraction of
production depending upon fluctuation in demand for its products. Last but not the least, a
good plant layout provides for an orderly arrangement which is attractive to look at and a safe
and pleasant place to work.
Plant layout refers to the arrangement of machines, equipment, workspaces, and other
resources within a manufacturing facility. It involves determining the optimal placement of
these elements to ensure efficient workflow, minimize material handling, and promote safety
and productivity. Plant layout considers factors such as the production process, space utilization,
equipment requirements, material flow, and employee ergonomics. It aims to create an
organized and functional layout that maximizes operational efficiency and facilitates smooth
production operations. Plant layout is simply a mechanism which involves knowledge of the
physical arrangement of every component of the production Process for the facilities to
additional space efficiency for manufacturing cost reduction to continuous and steady
movement of the production cycle.
This arrangement includes the space needed for material movement, storage, indirect labour
and all other supporting activities or services.
Plant Layout is a master blueprint which provides for the most effective utilisation of machine,
manpower, materials for coordinating all operations performed inside the factory to increase
overall productivity. Here are objectives of Plant Layout that we can achieve by using Effective
Plant Lay outing.
Meaning:
The meaning of plant layout refers to the arrangement and organization of physical facilities,
machinery, equipment, workspaces, and other resources within a manufacturing or industrial
facility. It involves determining the optimal spatial configuration to facilitate smooth workflow,
efficient material flow, and effective utilization of resources. Plant layout aims to create an
environment that enhances productivity, minimizes production costs, ensures safety and
compliance, and supports the overall objectives of the organization. It considers factors such as
production processes, space constraints, equipment requirements, material handling, employee
ergonomics, and future expansion plans. A well-designed plant layout is essential for optimizing
operational efficiency, enhancing quality, and maintaining competitiveness in the marketplace.
Definition:
Richard Muther
Plant layout is the arrangement of machines, work areas and service areas within a factory.
George R. Terry
Plant layout involves the development of physical relationship among building, equipment and
production operations, which will enable the manufacturing process to be carried on efficiently.
Morris E. Hurley
Plant layout is an arrangement of machines and facilities is layout.
F.G. Moore.
Plant layout can be defined as a technique of locating machines, processes and plant services
within the factory so as to achieve the greatest possible output of high quality at the lowest
possible total cost of manufacturing.
Spreigel and Lansburgh
Plant layout ideally involves the planning and integrating the paths of the component parts of a
product to achieve the most effective and economic interrelationships between the operating
equipment and personnel, the material movement, storage facilities, service functions and
auxiliary equipment.
1. Efficient Space Utilization: Proper plant layout ensures that available space is utilized
optimally, maximizing the use of floor space and minimizing wastage. This can result in
cost savings by avoiding the need for unnecessary expansion or leasing additional space.
5. Flexibility and Adaptability: A well-designed plant layout allows for easy adaptation to
changes in production requirements, product designs, or market demands. It facilitates
quick reconfiguration of equipment and workspaces to accommodate new processes or
technologies, enabling the organization to remain agile and competitive.
6. Improved Quality : An organized plant layout can help identify and eliminate sources of
defects or errors in the production process. By reducing the likelihood of mix-ups, delays,
or damage to materials and products, it contributes to improved product quality and
customer satisfaction.
7. Safety and Compliance : Properly planned plant layouts incorporate safety measures and
ergonomic considerations to minimize the risk of accidents, injuries, and work-related
illnesses. Compliance with safety regulations and standards ensures a safe and healthy
work environment for employees.
8. Employee Morale and Satisfaction: A well-designed plant layout takes into account
factors such as lighting, ventilation, noise levels, and workspace ergonomics, which can
significantly impact employee morale, satisfaction, and motivation. A comfortable and
1. To facilitate manufacturing process: The first object of a good layout is to facilitate the
complete manufacturing process, so that production can be carried out in an optimum
manner. This objective is achieved by (1) arranging the equipment’s to secure greater
utilisation, (2) minimising production delays and reducing congestion owing to better
flow, and (3) increasing the output by shortening the manufacturing time which is
possible in an improved layout.
2. To minimise material handling: In a good plant layout, the arrangement of plant and
material addling equipment’s, such as belts, conveyors, lifts, hoists, chains, etc., will
enable the material handing and to be kept at minimum. Further, such an arrangement
provides for a direct movement of n materials and semi finished products without any
back tracking.
3. To maintain high turnover of semi finished goods process: In factories, where productive
process involves more time, it is common to see the accumulation of semi finished
products at various points. This increases not only the storage costs but also requires
more space. Further, such accumulates of semi finished products hinders the easy flow
of other materials. So, a good layout ensures a high turnover of such semi finished goods
by proper arrangement of plant and machineries.
5. To provide effective utilisation of labour: The idle time which occurs in a factory can be
minimised by adopting ‘line balancing. Similarly, indirect labour can be utilised by proper
design of handling equipment and aisles
6. To provide comfort and job satisfaction to employees: The layout of a plant involve
provision of facilities, such as safety measures, reducing excessive noise, and better
environment Further it involves taking such considerations as to heat, ventilation, light,
removal of moisture and din Which promotes worker’s job satisfaction..
Plant Layout is the arrangement of machines, equipment and other physical facilities in a
planned manner.
We design Plant Layout according to many factors like- Machinery , Product , material etc. On
the basis of arrangement of the factors we have following 4 types of Plant Layout-
1-Product or Line Layout
2-Process or Functional Layout
3-Fixed or Position Layout
4-Combination Layout
COMBINATION LAYOUT
Combination Layout is also known as group layout.
In this layout we use a combination of all above layouts. Every layout has its advantages and
disadvantages therefore industries prefer to use a combination of layouts.
These days most of the manufacturing industries have adopted this kind of layout.
In this type of layout we connect all the good features of all the types of layout to obtain a
compromise solution which will be more economical and flexible.
3. Enhanced Safety: Proper layout design considers safety measures such as clear
pathways, emergency exits, and proper placement of hazardous equipment, thereby
reducing accidents and injuries.
5. Cost Savings: Effective plant layout can lead to cost savings by optimizing space
utilization, reducing material handling, minimizing equipment downtime, and improving
overall efficiency.
10. Space Utilization: Efficient use of space within the plant can lead to increased capacity
without the need for expansion, maximizing the return on investment in the facility.
While plant layout offers numerous advantages, there are also some potential disadvantages to
consider:
1. Initial Cost: Designing and implementing an effective plant layout can require a
significant upfront investment in planning, equipment, and infrastructure, which may
not be feasible for all organizations, especially smaller ones.
3. Space Limitations: Limited space within the facility may constrain the ability to optimize
the layout for maximum efficiency, potentially leading to suboptimal workflows,
congestion, and inefficiencies.
4. Specialization vs. Flexibility: A layout optimized for specialized production processes may
lack the flexibility to accommodate changes in product mix, market demand, or
technology, making it less adaptable to evolving business needs.
6. Worker Resistance: Changes to the plant layout can disrupt established routines and
work habits, leading to resistance from workers who may be accustomed to the old
layout, resulting in decreased morale and productivity.
7. Safety Concerns: Poorly designed layouts can increase the risk of accidents, injuries, and
ergonomic issues due to factors such as congested pathways, inadequate safety
measures, or improper placement of equipment.
10. Regulatory Compliance: Changes to plant layout may trigger regulatory requirements or
zoning restrictions, adding complexity and compliance costs to the implementation
process.
Plant layout refers to the arrangement of machinery, equipment, and other industrial facilities
within a factory. Several factors influence plant layout, including:
1. Nature of the Product : The type of product being manufactured affects layout
requirements. For example, process layout is suitable for customized or low-volume
production, while product layout is preferable for high-volume, standardized production.
2. Production Process: The sequence of operations and flow of materials through the
production process dictate the layout. Continuous processes may require a different
layout compared to batch production.
3. Size and Shape of the Building : The available space and shape of the building influence
the layout design. Factors such as ceiling height, column spacing, and floor load-bearing
capacity must be considered.
4. Equipment and Machinery :The type, size, and number of machines and equipment
needed for production impact layout decisions. Efficient workflow and safety
considerations are crucial.
5. Material Handling : The method of moving materials within the facility affects layout
design. Factors such as proximity to storage areas, ease of movement, and minimizing
material handling costs are considered.
6. Safety Regulations and Standards : Compliance with safety regulations and standards is
essential in layout planning to ensure a safe working environment for employees.
7. Utilities and Services : Placement of utilities such as power, water, and HVAC systems
influences layout to ensure accessibility and efficiency.
10. Aesthetics and Environmental Factors : Factors such as lighting, noise levels, and
environmental regulations may influence layout decisions to create a pleasant and
sustainable work environment.
11. Cost :Budget constraints and cost-effectiveness play a significant role in determining the
final layout design.
By considering these factors holistically, plant managers can create an efficient, safe, and
adaptable layout that meets the needs of the production facility.
Company profile
Hero motors:
Hero MotoCorp Limited is an Indian multinational motorcycle and scooter manufacturer
headquartered in Delhi. It is one of the world’s largest two-wheeler manufacturer and has a
market share of about 46% in the Indian two-wheeler industry. As of 27 May 2021, the market
capitalization of the company was ₹59,600 crore (equivalent to ₹700 billion or US$8.8 billion in
2023).
Formerly -Hero Honda
Company type-Public
Traded as -BSE: 500182
NSE: HEROMOTOCO
NSE NIFTY 50
Constituent
ISIN- INE158A01026
Industry-Automotive
Founded-19 January 1984; 40 years ago
Founder-Brijmohan Lall Munjal
Headquarters-New Delhi, India
Key people- Pawn Munjal , Executive Chairman & Whole-time Director
Products-Motorcycles
Scooters
Production output- Increase 7,587,130 units (2018)
Revenue - Increase ₹34,727.39 crore (US$4.3 billion) (2023)
Operating income- Increase ₹3,863.62 crore (US$480 million) (2023)
Net income- Increase ₹2,799.90 crore (US$350 million) (2023)
Total assets- Increase ₹23,917.03 crore (US$3.0 billion) (2023)
Total equity- Increase ₹16,780.63 crore (US$2.1 billion) (2023)
Owner- Munjal family: (40%), Government of India (through public sector banks): (15%), Tata
asset management (0.8%),more.
Number of employees- 8,599 (2020)
Parent- Hero Motors Company
Subsidiaries-Vida Electric Scooter
The major shareholders of the company include The Munjal family: (40%), the Government of
India (through public sector banks)15%) and Tata asset management: (0.8%).
Company profile
This is the entrance of Samarth motors – Hero MotoCorp. In the front place they
park their products (motorcycle & Scooters) for attention of the customers. It
makes customer to choose they right choice with different colours and styles.
Entrance of a Hero MotoCorp showroom is crucial for creating a positive first
impression and facilitating customer engagement. Visibility and Accessibility: The
entrance should be easily visible and accessible from the main road or parking
area to attract passing traffic and make it convenient for customers to enter.
Branding and Signage: Clear and attractive signage displaying the Hero MotoCorp
logo and branding can help customers identify the showroom from a distance
and establish brand recognition. Welcoming Atmosphere: The entrance area
should be well-lit, clean, and welcoming, with a friendly reception or greeting
area to make customers feel valued and comfortable. Product Display: Showcase
Hero MotoCorp motorcycles near the entrance to capture customers’ attention
and generate interest. Overall, the entrance of a Hero MotoCorp showroom
should reflect the brand’s identity, create a positive customer experience, and
encourage visitors to explore the showroom further.
When you enter the showroom the first bench you will see is the bench of
Reception. The reception area in an office typically serves as the first point of
contact for visitors, clients, and employees. It plays a crucial role in providing a
welcoming atmosphere, managing inquiries, scheduling appointments, directing
visitors, handling deliveries, and sometimes managing security procedures such
as issuing visitor passes. Essentially, it sets the tone for the office environment
and often reflects the professionalism and efficiency of the company.
And provide you all the information regarding you needs.
From the entrance to your left is the Director cabin. A Director in a showroom
typically oversees the overall operations and management of the showroom.
Their responsibilities may include: Strategy, Team Management ,Inventory
Management, Customer Experience, Marketing and Promotions, Financial
Management, Compliance, Relationship Management, & Performance
Evaluation. This all activities are played by Director in the showroom.
And in the middle of showroom they parked few motorcycle for advertisement
purpose for customers. So they can check the product from the close side. And to
make right choice.
And besides Directors office there is Conference Room. The conference room
used for many purpose like meeting, clients meeting, Training, Presentation,
Collaboration, Interview & Teleconferencing this all activities are played in
conference room.
And at the corner is the Finance department. The finance department in a showroom plays
a crucial role in managing the financial aspects of the business. Some of the key responsibilities
of the finance department in a showroom include: Budgeting and Forecasting: , Accounting,
Financial Reporting, Payroll, Tax Compliance, Financial Analysis, Financial Planning, Risk
management & Audit and Compliance this activities are played in showroom by finances
department.
And behind the showroom is Hero Genuine Accessories. Hero Genuine Accessories. Fabricated
with the highest standards, these accessories will enhance your style as well as provide best of
aesthetics, quality and the unparalleled trust that comes with the Hero brand. So, get set and
accessorize yourself with Hero Genuine Accessories. Helmet, Tank bag, seat covers, and keys of
the bike etc.
And there is a washing centre. Implementing a washing centre in a Hero MotoCorp showroom
could be a great idea to enhance customer satisfaction and provide added value. Motorcycles
are vehicles that often require regular cleaning and maintenance, so having a washing centre
on-site can save customers time and effort. It can also create a positive impression of the
showroom, showcasing the commitment to customer service and care. Additionally, it could
potentially lead to increased sales by encouraging customers to visit the showroom more
frequently for both cleaning services and to explore new products.
And behind the showroom there is a place for storage of stocks of motorcycles. We’re all the
remaining products are get there. A storage place in a Hero MotoCorp showroom could serve
multiple purposes:**Inventory Storage**: It can be used to store new motorcycles, spare parts,
and accessories, ensuring they are readily available for customers to purchase. Temporary
Storage**: Providing a secure area for customers to store their belongings while they browse or
test ride motorcycles. Workshop Supplies**: Storing tools, equipment, and supplies for the
service and maintenance department.**Documentation and Records**: Safely storing
paperwork, manuals, and records related to sales, service, and warranties. Display Items**:
Temporary storage for display items such as promotional materials, banners, or seasonal
Decorations. Having a dedicated storage area can help keep the showroom organized, efficient,
and customer-friendly.
Findings:
1.location – The show room is located middle of the city in Gadhinglaj near to sankeshwar road.
And located in residential areas. The showroom situated near main road so it helps to attract
potential customers. The attracted colour combination. And updated arrangements helps show
room to more focused.
2.Arrangement – The arrangement of showroom is very attractive that grabs customers
attention. The arrangement of bikes are in line are arranged properly. And the arrangement of
bikes and scooters in different lines that make customers to overview the bikes and choose the
satisfactory needs.
3.Space- The showroom has distributed the space in many ways like Directors cabin, finance
bench, conference room and including reception space. And the space is provided to customers
to sit calm and ask questions regarding bikes & scooters. With this the customers feel good . and
in the middle of the show room there is a space were the new bikes are parked so that
customers can overlook it. And some space is provided for second hands bikes & scooters for
parking too.
4. Cleaning center- The showroom provides services like cleaning the bikes & scooters or
changing the tyres, fuels, engine and etc. This service are provided by the hero MotoCorp after
buying the bike or scooters. It is one the service factor provided by the showroom. And in that
they provide accessories like helmet, seat covers or parts of the bikes etc. And they provide
starting 3 service free for customers.
5.Parking facility : the showroom does not have parking space out side the showroom only few
bikes or cars can park there. Because the showroom is touched to the main road.
Conclusion:
Hero MotoCorp showroom is not just a retail space but also a destination where customers can
engage with the brand, explore products, receive excellent service, and participate in
community activities. This holistic approach likely contributes to the showroom’s success in
attracting and retaining customers.
The Hero MotoCorp showroom stands as a testament to effective retail strategy and customer
engagement. Through a combination of impactful brand representation, focused product
showcase, and unwavering commitment to customer service, the showroom has successfully
created an environment where visitors feel valued, informed, and inspired. By offering value-
added services and actively engaging with the local community, the showroom has positioned
itself not just as a place of commerce, but as a hub of motorcycle enthusiasts and brand
advocates. This holistic approach has undoubtedly contributed to the showroom’s success in
driving sales, fostering customer loyalty, and solidifying Hero MotoCorp’s position in the market.
As it continues to evolve and innovate, the showroom remains a beacon of excellence in the
automotive retail landscape.
Hero MotoCorp demonstrates a clear commitment to optimizing production processes and
maximizing operational efficiency. The layout appears to prioritize workflow continuity,
minimize bottlenecks, and ensure the smooth movement of materials and resources throughout
the facility. By strategically organizing workstations, assembly lines, and storage areas, Hero
MotoCorp can enhance productivity, reduce lead times, and maintain high-quality standards in
its manufacturing operations. Overall, the plant layout reflects Hero MotoCorp’s dedication to
excellence and innovation in the automotive industry.”
Bibliography:
Hero MotoCorp official website ( https://www.heromotocorp.com)
Production and operation management : ( S. A Chunawalla)
( M.E . Thukaram Rao)