1. OPERATIONS MANAGEMENT 1 OPERATIONS MANAGEMENT

2. Mr. GHULAM MUSTAFA PRESENTED TO OPERATIONS MANAGEMENT 2

3. PROJECT TEAM HAFIZ WAQAS AHMAD ANSARI MOHSIN AKBAR BBA-VI PCIT MULTAN 3 OPERATIONS MANAGEMENT

4. PRESENTATION OBJECTIVES Product Design Quality Management Process & capacity design Location Layout Design Human Resource & Job Design Supply Chain Management Inventory, MRP, JIT Intermediate & Short-term Scheduling Maintenance 4 OPERATIONS MANAGEMENT

5. PROGRESSIVE STEEL INDUSTRY (pVT) limited LAHORE OPERATIONS MANAGEMENT 5

6. COMPANY PROFILE One of the oldest and largest manufacturers, exporter and importer of Gardar, T.R, CC bullet and steel profiles Serving the nation for over two and half decades Initially established in 1980 In the beginning, the mills mainly deal in the production of mill steel Many new products in the products line like medium steel wire and wire rod OPERATIONS MANAGEMENT 6

7. GROUP INFORMATION The Details of PSI other units is follows: Progressive Steel Industries (Pvt) Ltd. Punjab Concast (Pvt) Ltd. Safco Steel Kamran Steel Rolling Mills (Pvt) Ltd. T. A Corporation (Pvt) Ltd. OPERATIONS MANAGEMENT 7

8. MANAGEMENT OPERATIONS MANAGEMENT 8 MIAN M. ASHRAF (CEO) MIAN M. ARSHAD IQBAL (DIRECTOR MARKETING) MIAN ABDUL SAMI (DIRECTOR FINANCE) Mr. TABASSUM (DIRECTOR OPERATIONS) RANA SHAHID ANWAR (MARKETING MANAGER) Mr. SALEEM SHAH (ACCOUNTS MANAGER) RANA ZAHIDANWAR (OPERATIONS MANAGER) OTHER MANAGEMENT STAFF

9. OPERATION CYCLE OPERATIONS MANAGEMENT 9 PROCESS INPUTS OUTPUTS

10. STEEL PRODUCTION CYCLE OPERATIONS MANAGEMENT 10 SCRAP BILLET BEAM T-IRON BARS

11. PRODUCT DESIGN Garder T-R Bar CC Billet Wire Rod Steel Wire OPERATIONS MANAGEMENT 11

12. GARDAR SIZE OPERATIONS MANAGEMENT 12

13. T-IRON SIZE OPERATIONS MANAGEMENT 13

14. QUALITY MANAGEMENT Defining the quality customer satisfaction employee involvement continuous improvement ISO 9001: 2000 certified OPERATIONS MANAGEMENT 14

15. QUALITY POLICY OF PSI “AT EVERY STAGE OF PRODUCTION WE HAVE ONLY FOCUS POINT AND THAT IS OUR CLIENT AND THEIR NEEDS.” OPERATIONS MANAGEMENT 15

16. QUALITY STANDARDS Waistage 4 – 5 % OPERATIONS MANAGEMENT 16 G-1030 GarderGrade G-1024 GarderGrade G-1035 T-Iron G-1040 T-Iron

17. PROCESS & CAPACITY DESIGN Mass production produces large volumes of a standard product for a mass market ATTRIBUTES OF MASS PRODUCTION OPERATIONS MANAGEMENT 17

18. PROCESS – I Scrap to Billet Melting (1700ºC) Chemical mixing manganese silicon chromium nickel Carbon Molding Cooling OPERATIONS MANAGEMENT 18

19. RAW MATERIAL (SCRAP) Shredded Scrap Bundle scrap Rolling scrap Miss-roll scrap Head & tails OPERATIONS MANAGEMENT 19

20. Shredded Scrap OPERATIONS MANAGEMENT 20

21. Head & tails, miss-rolled OPERATIONS MANAGEMENT 21

22. MELTING Furnace (capacity 5 ton) OPERATIONS MANAGEMENT 22

23. MELTING OPERATIONS MANAGEMENT 23

24. MOLDING OPERATIONS MANAGEMENT 24

25. MOLDING OPERATIONS MANAGEMENT 25

26. COOLING OPERATIONS MANAGEMENT 26

27. OUTPUT T-IRON BILLET OPERATIONS MANAGEMENT 27

28. OUTPUT GARDAR BILLET OPERATIONS MANAGEMENT 28

29. PROCESS – II (A) BILLET to T-Iron Cutting Melting at 1250ºC Rolling stamping Cooling Cutting OPERATIONS MANAGEMENT 29

30. INPUT Cut piece of billet OPERATIONS MANAGEMENT 30

31. process Melting, rolling & stamping OPERATIONS MANAGEMENT 31

32. PROCESS Head and tail cutting OPERATIONS MANAGEMENT 32

33. OUTPUT OPERATIONS MANAGEMENT 33

34. PROCESS – II (B) BILLET to Gardar Cutting Melting at 1700ºC Rolling stamping Cooling Cutting OPERATIONS MANAGEMENT 34

35. INPUT OPERATIONS MANAGEMENT 35

36. PROCESS OPERATIONS MANAGEMENT 36

37. PROCESS Rolling, stamping OPERATIONS MANAGEMENT 37

38. PROCESS OPERATIONS MANAGEMENT 38

39. PROCESS Cooling OPERATIONS MANAGEMENT 39

40. OUTPUT OPERATIONS MANAGEMENT 40

41. OUTPUT OPERATIONS MANAGEMENT 41

42. CUTTING OPERATIONS MANAGEMENT 42

43. output Ready to sale out OPERATIONS MANAGEMENT 43

44. CAPACITY Raw material Minimum 1000 ton weekly Maximum capacity Gardar – 500 ton daily T-Iron – 100 ton daily Output Gardar – 150 to 200 ton daily T-Iron – 70 to 80 ton daily OPERATIONS MANAGEMENT 44

45. LOCATION 1.5 Km Kala KhataiRoad Shahdra Lahore The selection of city of Lahore Labor climate Proximity to market Quality of life Proximity to sale depot & other production units Utilities and real-estate cost OPERATIONS MANAGEMENT 45

46. LAYOUT DESIGN Product layouts arrange activities in line according to sequence of operations for a particular product or service OPERATIONS MANAGEMENT 46

47. LAYOUT DESIGN PROCESS – I Scrap to Billet OPERATIONS MANAGEMENT 47

50. HR & JOB DESIGN Hiring Job training Job rotation Empowerment Work schedules Health & Safety OPERATIONS MANAGEMENT 50

51. SUPPLY CHAIN MANAGEMENT SUPPLIERS UK, USA, BAHREN, UAE Make or Buy Decisions Cost Capacity Quality Speed Reliability Expertise OPERATIONS MANAGEMENT 51

52. INVENTORY, MRP & JIT Raw material - Minimum 1000 ton weekly Godown storage capacity – 500 ton Sale point godown storage capacity – 2000 ton Actual output – 200 ton daily OPERATIONS MANAGEMENT 52

53. RE-ORDER Raw material is purchased on weekly bases and usually order lot size is 1000 ton OPERATIONS MANAGEMENT 53

54. INTERMEDIATE AND SHORT-TERM SCHEDULING Non-seasonal Usually permanent employees at middle level Weekly base workers at low level usually no slowdown OPERATIONS MANAGEMENT 54

55. MAINTENANCE Own maintenance department On daily bases Supervisors and maintenance dept is responsible OPERATIONS MANAGEMENT 55

56. THANKS… OPERATIONS MANAGEMENT 56