BOMBAY DYEING:

Quality management Aggregate planning Inventory Scheduling Supply chain management

Submitted to :R.Jagadeesh

Submitted by: Pankaj Kesarwani PGDM No.11156 Section C

Quality Management Systems in Bombay Dyeing

Traditionally the textile industry has been driven primarily by fashion and creativity rather than by a focus on quality assurance. However, new approaches such as quality management (QM), accreditation, certification, and conformity are now required. However utility of these tools is often questioned in textile and apparel industry. Low productivity, fire fighting, customer complaints, attrition, are issues with textile business. The main quality management systems for textile industry are 1. ISO 9000 2. ISO 14000 3. 5S 4. TQM 5. Quality Circle Based on Japanese words that begin with S, the 5S Philosophy focuses on effective work place organization and standardized work procedures. 5S simplifies the Bombay Dyeings work environment, reduces waste and non-value activity while improving quality efficiency and safety. Sort (Seiri) the first S focuses on eliminating unnecessary items from the workplace. An effective visual method to identify these unneeded items is called red tagging. A red tag is placed on all items not required to complete your job. Set In Order (Seiton) is the second of the 5Ss and focuses on efficient and effective storage methods. Every equipment should be placed in their designated place so that it can be easily located. Shine: (Seiso) once the worker eliminated the clutter and junk that has been clogging your work areas and identified and located the necessary items, the next step is to thoroughly clean the work area. Daily follow-up cleaning is necessary in order to sustain this improvement. Standardize: (Seiketsu) once the first three 5Ss have been implemented, the organisation should concentrate on standardizing best practice in the work area. Bombay dyeing allows its employees to participate in the development of such standards. Sustain: (Shitsuke) Sustain focuses on defining a new status quo and standard of work place organization. The tendency is to return to the status quo and the comfort zone of the "old way" of doing things.

Supply chain management

Supply chain management aims at synchronization of Bombay Dyeings activities and functions and those of its supplier to match the flow of materials and information with the customer demand.

bombay dyeing sales executive

Agent

shipment

Agent

buyer/customer Supply chain management in Bombay Dyeing

Inventory management
Inventory tracking: different methods are used for tracking of inventory in Bombay dyeing. Different computer programs such as ERP SAP and monitoring charts are used for keeping the inventory at minimum level. Economic order Quantity (EOQ) is also used as it is a general entity used by every organisation. System for inventory management There are three types of system: 1) Continuous system 2) periodic 3) Hybrid system System used in Bombay Dyeing The company makes use of continuous or perpetual inventory management system where the records of the finished goods and other inventory are kept upright up to date with the help of stores personnel. Reorder point The company uses the optimal replenish system. For different items different inventory level serving as reorder point. But on an average 2 weeks are used as a reorder point. Aggregate planning It generally focuses on general course of action, production rates, and inventory holding capacities which are consistent with the companys strategic goal and objectives.

Aggregate planning policy: Reactive policy It means the unit has to follow the demand patters by adjusting all three factors such as production rate, work force labour, and inventory level. Under reactive policy there are further two categories: Chase policy Demand is followed by adjusting production rates. No inventory is kept which avoids holding costs. Level policy Demand is followed through inventory level while keeping the production rate constant. When demand is high it is met from inventory .when demand is low it results in piling of inventory. Strategy used in Bombay Dyeing: The company make use of the level strategy where about 850 workers work in the particular unit. There is least demand fluctuation therefore it is the most feasible strategy for the company. The company make use of under time and overtime. And according to the company most of the times there is no under time and if it is its almost negligible. Overtime payment is made according to the normal wage rate. Material requirement planning MRP system enables business to reduce inventory levels, to utilise labour and facilities in the better way and improved customer service. It mainly has three components: 1) Bill of material 2) inventory records 3) master production schedule (MPS) As the companys only finished good is yarn and textiles therefore the bill of material is pretty simple as well. The inventory of raw material that is cotton is on the seasonal basis all the available and required cotton is stored in that duration .the master production schedule is prepared on almost weekly basis but is checked and reviewed on almost daily basis by the concerned authorities. Master production schedule It helps the manager to determine the exact quantities to be daily produced and the corresponding jobs sequencing and machine loading. As mentioned earlier, the variety in the form of customers' orders (clothes, textiles or warps) and the multitude of phases in the textile industry make scheduling not an easy task. It refers to the weaving, starching and warp making phases. The production orders are converted into purchasing orders corresponding to

the requirements for yarn, both for warp and weft, via the MRP module. More explicitly, in each phase the MPS procedure produces a schedule that feeds the MRP module, which in turn, feeds the MPS module of the previous, according to the sequence of phases a clothe is constructed, phase. While working first in a backwards scheduling way the scheduling procedure starts from the weaving phase. After retrieving the set of the orders concerning weaving from the database, the system interacts with the user in order to define priorities of the jobs, the scheduling policy and the rules of sequencing. The allowable values for the status of a job are: Scheduled but not in-progress; Unscheduled; In-progress, and Finished.

Priorities and Scheduling Policies Specification A. Consider: 1. Only the unscheduled jobs 2. Every job that its processing has not started yet B. Priorities specification to be made: 1. by the user 2. by the system C. For the jobs with the same priority consider as tie-breaker: 1. Their due date 2. Their release date

The system asks the user to specify whether he wishes to schedule only the unscheduled jobs, i.e., jobs that are considered for scheduling for the first time, or both scheduled but not inprogress and unscheduled ones. In the latter case, the system may reconsider previous decisions, concerning scheduled jobs, in order to produce more preferable job sequences. The user may either specify priorities, indicating preferential treatment of some customers, or consider all the jobs having a common priority index. The priority of each job is considered as the most significant criterion in job sequencing. For the jobs with the same priority index the tie-breaker can be selected between the due date (Earliest Due Date rule) and the release date of the job (FIFO rule).

Reference
R.P. Olsen, The Textile Industry: An Industry Analysis Approach to Operations Management, Lexington Books, L.J. Krajewski and L.P. Ritzman, Operations Management: Strategy and Analysis, Addison-Wesley Jay Heizer, Barry Render and Jagadeesh Rajshekhar, Operation management