An Organization Study at

eekey steel castings (P) ltd, Coimbatore

Safeer.P
S2 MBA

Company Profile

M/s Peekey Steel Castings (P) LTD Has established in 2004. PSCPL Started with an initial investment of 26 crores PSCPL is located Chinnamaddapalayam village about 25 KM far from Coimbatore and 26 KM far from Mettupalayam Manufacturing high quality steel castings made of carbon steel, Alloy steel, Stainless Steel, Duplex steel, Nickel base alloys etc. in various sizes and weights from kg to 11000 Kg per piece It use for the petrochemical industry, water supply, earth moving, transportation and other engineering industries The annual production capacity is 6000 MT. 70% of which is exported to developed Countries of European Union, USA, Japan etc,. Annual turn over more than 47 crors

Mission statement

TO BECOME A MAJOR PLAYER FOR SPECIALISED STEEL CASTINGS

PEEKEY GROUP

It was established in 1942 by P.K. Moidu. Now the Chairman is P.K. Ahammed. Annual turnover is more than 600 crores. Peekay Steel Castings Pvt. Ltd., Calicut. Peekay Steel Castings Pvt. Ltd., Coimbatore. Peekay Rolling Mills Pvt. Ltd., Calicut. Emirates Techno Casting, U A E. Janatha Steel Mills Pvt. Ltd., Calicut. Pondy Roller Flour Mills Pvt. Ltd., Mahe. Peekay Roller Flour Mills, Calicut. Peekay Overseas Ventures, Calicut. P.K.Ahammed & Co, Calicut. Peekay Constructions, Calicut

Key People
Mr. Mr. Mr. Mr. Mr. Mr. Mr. Mr. Mr. Mr. Mr. Mr. Mr. P K Ahammed Chairman K E Moidu Managing Director Swaminathan General Manager RK Ramesh Finance M Ravindran Human Resource Manoharan Stores Vinod Kannan Pattern Shop Noushad Moulding Raja Melting Veluswami Fettling M Senthil Kumar Quality Assurance M Ravindran Sales Rajesh Despatch

ORGANIZATIONAL STRUCTURE
Managing Director

Finance

HR

Purchase & Store

Production

Sales

Quality

Pattern Shop Melting Moulding

Fettling Quality Control Assuran Quality

FUNCTIONAL DEPARTMENTS
q HUMAN RESOURCE DEPARTMENT q FINANCE DEPARTMENT q PRODUCTION DEPARTMENT

q SALES & MARKETING DEPARTMENT

q QUALITY ASSURANCE DEPARTMENT q PURCHASE & STORE DEPARTMENT

HUMAN RESOURCE DEPARTMENT

350 workers including contract labors. More than 90 managerial staff. It have a computerized Human Resource Information System known as Foundry Management System (FMS) created by their own staff. This system using for keeping of attendance of every employee. No labor unions in this company.

Functions
Maintaining Attendance Performance Appraisal Payroll Process Recruitment Wage and Salary Administration Training & Development Personnel Management General Administration

Recruitment

Man Power Planning Searching for Prospective employee (Personal contact , web sites , labor contractors and direct applications) Inviting applications Screening candidates' resumes and bringing those with the proper qualifications for an interview After interview they conducting screening and short listing Select the most suitable person and they will be interviewed by Managing Director Then give appointment letter First six month is probationary period to employees

Compensation and Benefits

v Pay components
Basic pay. DA Foundry Furnace allowance. Uniform Maintenance. Vehicle Allowance. Special conveyance allowance. Personal allowance. Shift allowance.

v Incentives
Based on attendance and efficiency in work.

v Gratuity
Based on the completion of 5 years service

Addition to this give insurance to employees whose salary less than 10000.

Training and Development

Orientation training

Fresh employees will get one week orientation training. Based on the requirement, departments will give on the job training. To prevent accidents melting and maulding departments will provide safety training to its employees.

On the Job training

Safety training

Welfare Activities and Safety

Safety Requirement

Canteen Facility Uniform Facility Ground to Relax Medical Checkup Annual Cultural GetTogether

BE SAFE BE HAPPY Provide Helmet Long Apron Safety Gloves Safety shoe Mask Goggles Ear buds Basic training for employees safety.

STRUCTURE OF THE H R DEPARTMENT

MANAGER SENIOR EXECUTIVE EXECUTIVE

SUPPORT STAFF

FINANCE DEPARTMENT

Role of finance manager is to prepare the accounts and auditing of all financial transactions of the company. Finance department having a financial software developed by IT division of PeekeyGroup.

SOURCE OF FUNDS Fund from Sales Fund from Bank Directors own Fund Dollar fluctuation

Functions of Finance Department

a. b. c. d. e. f . g. h. Prepare Balance Sheet Prepare Profit & Loss Account Prepare Fund Flow Statement Calculate Tax, Profit.etc Assist Management in investing Advise Management at the time of Crisis Help in Decision making Calculate the amount of overdraft, payment time..etc i Prepare Budgets . j Calculate day to day expense . k. All Money Related Matters

STRUCTURE OF FINANCE DEPARTMENT MANAGER

EXPORT OFFICER

ACCOUNT OFFICER

JUNIOR ACCOUNTANT JUNIOR ACCOUNTANT JUNIOR ACCOUNTAN

SALES AND MARKETING DEPARTMENT

Products are produced according to the order and specification given by customers. So direct and customer specified marketing is followed by the company

Product Details

Price

Control Valve Components . Safety Valve . Ball and Pump Casting . Butterfly Valve . Engineering Products .

Price is fixed based on the Raw Materials price, Competitors price and Relationship with Customers.

Functions

To plan and execute the work related to Sales. To monitor and control the work related to Sales. Handling of customer complaint and provide customer support. Participate in Management Meeting. To plan and create Day to Day production list of castings. To assist and provide information for dispatch. To identify the training needs of subordinates. To initiative corrective and preventive action to improve the performance.

Domestic

Customers

Overseas

BHEL, Tiruchirapalli Tyco Valves, Chennai Flowserve India, Bangaluru Econo Valves, Chennai Alstom Projects, Vadodara Severn Glocon, Chennai Dresser Valves, Coimbatore Audco India Ltd. ,Coimbatore Mark Engineering, Ahmadabad Becon Pumbs, Chennai Advance Valve, Hosur MIL Controls, Trichur Niton Valves, Aurangabad etc..

GE Transportation, USA Flowserve Sulphur Springs, USA Mokveld Valves, Netherland CCI USA, South Korea & Austria Trufla Rona, Belgium AST SPA, Italy Sasakura Engineering, Japan Campions Motors, USA Helac Corporation, USA Leslie Controls, USA SIEMENS

Competitors
Allexe Castings (p) Ltd, Coimbatore Suryaprakash foundry, Coimbatore Oswal Industries Ltd Anjani Castings (p) ltd, Hariyana Harihar Castings (p) Ltd Hyderabad Castings Limited

Sales Volume
Average sales 2400 Metric ton / Annum

Stucture of Sales & Marketing Department

MANAGER

ASSISTANT MANAGER

EXECUTIVE

JUNIOR EXECUTIVE

QUALITY ASSURANCE DEPARTMENT

Quality Objective Reduce percentage

of customer's complaint by 10% every year and meet delivery schedule to committed customers.

Reduce Rejections, Rework, Wastage and conserve energy. Ensure all our key employees are trained regularly. Improve professionalism and incompetence. Continues effort to improve product quality.

Functions

To monitor and execute the work related to quality control department. Member of Management Meeting. Maintain Quality records and Document control as per defined procedure. Follow up of corrective and preventive actions for product and process non-conformity. Responsible for all the quality related problems. Calibration of all monitoring and measurement devices. To identify the training needs of the subordinates.

Quality Department have an important role in Peekay steel Castings (p) Ltd. Because in the process of manufacturing Castings quality department involved in all stages. In MOULD MAKING, if the paint will not heated properly, the sand will mix with paint , then it mix with steel at the time of pouring. It affect the quality of that product. In INSPEPECTION, quality department will involve in Mould Inspection , Stage inspection ( using instrument like calipers, Gages, Templers, etc), Final Inspection ( visual Inspection ), then check Dimensions as per drawings. If any variation is occurred, quality department will take CORRECTIVE ACTIONS like Shrinkage, crack for pattern correction, Core corrections and Mould Finishing. Quality Department will do three types of test for finding errors. The test are MPI ( MAGNETIC PERITRENT TEST)- using for finding the inside crack defect, it is also known as Crack Defect Test. Second is RT ( RADIATION TEST)- In this test, find inside defects by pass radiation rays through inside the castings and record the pattern in a sheet like XRay..Third is PT ( PERITRENT TEST ) using a spray and find the defects. And finally Dispatch.

Quality Standards ,Certifications

ISO 9000-2000 by TUV NORD AD 2000 Merkblatt WO- TUV CERT, Certification Body for pressure equipment of TUV NORD Systems Gmbh & Co. KG NORSOK Approval for Duplex steel castings any weight rangeNORSOK M-650 Rev. 2 Qualification. Quality Assurance System for Material Manufacturer- TUV NORD. IBR Approval for castings up to 12000 Kg/ Piece. Manufacturers capability certificate (MCC) By Germaincher Limited, Germany. Approval of manufacturer Certificate By DNV (DET NORSKE VERITAS). Foundry Approval by BV Marine.

Structure of Quality Assurance Department

Quality Manager

Assistant Manager

Quality Engineer

LAB

NDT Engineer Supervisors

Dimension Insp Supervisors

Visual Insp Supervisors

PURCHASE AND STORE DEPARTMENT Objectives

Purchase of Raw material at right price at right time. Regular & uninterrupted supply of material. Economical purchasing of material. Introducing better alternative or institute material. Proper maintenance of records and documents for easy & quick reference. Develop and train subordinates. Computerizing purchase activities. Store raw material for next process.

Raw Materials
q SS SCRAP q MS SCRAP q SILICASAND q RESIN q HARDENER q FEROXE

Raw Material Suppliers

Feroxe Suppliers Jayesh Trading Co. Coimbatore. Oswal alloys. Silica Sand Suppliers Sri Maheswari Silica Mines. Kerala Sand & Mines. S.H Mines. Mild Steel Scrap Suppliers Al- Ahammad General Trading Co. Ajman, U A E S S S Traders, Chennai Stainless Steel Scrap Suppliers Bhaval Steels & Engineering Company, Mumbai. Classic Metals, Mumbai. Resin & Hardener Suppliers Foseco India Ltd, Pune Mexicon Specialty chemicals UK Ltd, Vale of Glamorgan.

STRUCRURE OF PURCHASE AND STORE DEPARTMENT

MANAGER

PURCHASING OFFICER

EXECUTIVE

STORES IN CHARGE

PRODUCTION DEPARTMENT

Production process Development . Pattern Making . Mould Making . Melting . Fettling . Non Destructive Test ( NDT ) . Radiographic Inspection.

Physical Testing .

Production Flow Chart

Order Entry Scheduling Pattern making

Moulding

Melting Fettling

a Sh
Knock out Heat Treatment

t ou e

NDT Fail Welding

R ew or k

Cleaning Room

Pas s

Cutting Grinding Shot blast

Visual Inspection

Grinding Packing/Despatch

Shot blast

Production Process

The making of a steel casting is a long and complex process. A typical casting begins when an order is entered in to the PSCPL production control program. This entry adds to production schedule which in turn creates a demand for raw materials. Typically, the core room reacts first, getting the necessary cores ready for setting as the moulds are being made (cores are the internal passages of castings). The melting process begins with the customers metal specification for the casting , In this division the raw materials are heated with 9700 c to make the castings. When the raw materials are heated in the furnace with a fixed temperature the material will be in the liquid form. This liquid will be poured to the dies or cases made with sand, resin and hardener in the moulding plant .

Count

In mould making, they use recycled sand and pure sand on 7030 ratio. Resin add to pure sand .9-1.2& and 1.2-1.9% to Black Sand (Recycled Sand). There are two divisions in mouldingplant; IMF and OMEGA. IMF plant used for big moulding up to 12 tonne, OMEGA used for small moulding up to 100 kilogram. As the assembled moulds are being staged on the pour-off lines, a heat is melted in the arc furnace. Molten steel from the arc furnace is brought to the moulds on the pouring lines in a refractory lined pouring ladle. Once poured, the moulds are allowed to cool before next being sent to the shakeout. At the shakeout, the castings are separated from the sand mould. The sand is sent to a reclamation system so that it can be reused in the moulding process. As castings are removed from the shakeout they are sent to the cleaning room where they are 'finished' to the customer's specifications. Processing in the cleaning room includes shot blasting, cut-off, welding, heat treating and inspection. Finally Despatch.

Production Planning and Control

Customer Requirements are informed to Production Department by Marketing through Customer Production Order and Schedules. Monthly Production plan is prepared by Production Department and Marketing Department jointly on the basis of customer requirement and reviewed weekly. Material Requirement plan is prepared monthly by Production Department and Issued to Purchase & Store Department. Progress of components and assemblies are reviewed weekly.

Waste Management
PeeKay

Steel Castings (p) Ltd is very careful in waste management system. They recycled the sand up to a limit. The recycled sands colourwill change to black. They use 70% of recycled sand and 30% pure sand for making mould. After the maximum use the waste, useless sand will dump in far place.

Structure of the Production Department

MANAGER

ASSISTANT MANAGER

MAINTANANCE Pattern Electrical Mechanical Melting Moulding Fettling

CORPORATE SOCIAL RESPONSIBILITY

Peekay Group is aware of its Corporate Social Responsibility. The group liberally supports orphanages, schools for the blind, deaf & dumb and mentally handicapped children. It also provides in-plant training programme to students receiving education in engineering, technology, management and other related subjects in South India. Minimizing wastage. Pollution control

SWOT ANALYSIS

STRENGTHS Presence of experienced and skilled labour force. Just- in- time production. Better employee-employer relationship. Well developed Quality control system in the company. Environmental and safety award winners. Delivery on or before right time.

WEAKNESSES Scraps not stored properly. Pattern storage need more space. Rural Area.

OPPORTUNITIES
Availability of raw materials in large quantity. Steel consumption is found to grow in near future. Maximum exploitation of export market.

THREATS
High competition. Machines are imported. Increasing price of Raw Materials.

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