[IV]

PRODUCTION DEPARTMENT

PROCESS LAY / PRODUCT LAYOUT. TECHNOLOGY USED. MACHINERY OPERATION STORES. PLANT LOCATION, CONTROLS OF R.M. IN PROCESS & FINISHED GOODS.

QUALITY CONTROL.

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Introduction
Meaning:
Production Management means process of maintaining an

environment in which individuals working together in groups willingly contribute their best to produce the specific goods by optimum utilization of raw material, to satisfy timely customers. It is the process of converting raw materials into products.

P1>

Activities of Production Department

In the business of diamond there every thing is production there is no value of marketing or human resource or finance of we have no sound productivity. If Dharmanandan Diamond pvt ltd start to manufacture bad diamonds, no one come to purchase diamonds from them. So for every diamond firm include Dharmanandan diamond production is very important activity. For Every diamond firm production is the process of converting the rough diamonds into polished diamonds.

Converted into

Rough Diamond

Polished Diamond

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Organization Structure

Production manager (Mr.SHAMBHUBHAI)

Assort manager

Planning manager

Sawing manager

Polishing manager

Assistant Manager (4)

Assistant Manager (4)

Assistant Manager (2)

Assistant Manager (6)

Workers

Workers

Workers

Workers

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P2> Process Layout or Product Layout

How Production Plan is prepared from Sales plan?

Sales target or demand

Material availability checking (rough diamond)

YES

NO
Purchase of rough Material is Available

Capacity availability checking

YES

NO Job work or Overtime

Capacity is Available

Start production

Send material to marketing

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Production Process:-

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Manufacturing process
Diamond manufacturing is a very skillful process. At

Dharmanandan Diamonds pvt ltd entire force of artisans is highly skilled. Each artisan is always trying to achieve the best of a given diamond as per the specifications given by the assorter and the planner. The entire process of manufacturing starts with the rough assortment and ends with the stone being polished, from where it goes for assortment & grading. 1. Rough Assortment This is a very important department, as a diamond begins its journey of being transformed from a rough to a polished stone from here onwards. The work of this department is to check the rough stone and to determine its properties such as purity, color, & size etc. i.e. 4'C's namely color, clarity, carat, cut. Keeping all these 4Cs in mind they give the rough stone a grade.

2. Marking This is also one of the most important phases of the entire manufacturing process. It can also be known as the brain department of the entire process. Marking is done after examining each rough diamond to decide how it should be cut to yield the greatest value. The shape of the rough diamond and the number and location of inclusions, or blemishes, are first considered. Since the crystalline structure of diamond causes it to have a grain (called cleavage), it is critical to plan for the facets of the diamond to be made in the correct direction. Taking these factors into account, the planner decides how the diamond should be cut and marks it to indicate where the stone should be cleaved or sawed.

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3. Cleaving Here the expert has to decide whether the marked diamond should be cleaved or sawn as per the mark and planes of each individual diamond. When the stone is very large and valuable, cleaving it is a critical process, because a mistake by the planner or the cleaver can shatter the diamond. The cleaver's job is to cut the diamond into two pieces to bring out the best angles and establish what the final cut will be. Cleaving is done by hi tech laser machine marking and then by chisel and hammer. However, some stones have too many stress points and might fragment if cleaved, so they must go to the sawyer. This process is extremely meticulous and time-consuming.

4. Sawing If the diamond needs to be sawn, blades or laser machines do it, which is the latest technology in sawing. The saw used in diamond processing is a paper-thin disk of phosphor bronze that rotates on a horizontal spindle at about 4,000 rpm. The diamond is clamped so it rests against the blade and is sawed for several hours, depending on the size of the diamond. Since diamond is the hardest substance on earth, it can only be cut by another diamond. Therefore, diamond dust is used on the saw, as well as the actual diamond dust generated by the crystal being cut. After the process of cleaving / sawing the diamond is sent back to the assortment department for checking and is then passed to the next process, bruting.

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5.

Bruiting :

In this department, bruters give different shapes to the diamonds as earlier planned, in such a way that the polisher can achieve maximum yield. Normal bruters, Maxi bruters, advanced bruters as well as laser bruting machines are used in this process. The bruter has to take its utmost care of the diamond at this process so that it does not break. Also in this process the bruter has to leave as much of natural skin on the piece of diamond as possible. This is because one can check out that the weight loss of the diamond in this process is not more than required. In the whole process of bruting the main aim of the bruter is to give a shape to the rough diamond in such a way that its optimum effect can be achieved by the polisher, without any extra weight loss than required.

6. Polishing

After being bruted a diamond passes to the polishing department where the final work of faceting is done. Polishing means the process of giving the diamond its final look. The diamond is clamped onto a revolving cast-iron lap (a horizontal, circular disk) that has been charged with diamond dust. The fine diamond dust acts as an abrasive to polish away small imperfections and make the surface of the stone perfectly smooth. Here the artisan has to be very careful at all stages as even a small mistake done by him can make the diamond look poorer than what it might have looked had it been cut properly. This is the last step in the manufacturing process of the diamond.

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P3> Technology Used:

Technology is very useful thing for every business industry. Before decade very little technology was used in diamond industry. Because of this there is rough use of diamonds were done. Worlds most precious gems were spoiled just because of lack of technology. But the present time every diamond firm understands the value of diamond, so they use best technology for manufacture diamond. Following are the technologies which are change in present. 1. OGI Machines 2. Polishing Machines 3. Brutting Machines 4. Boil Machines 5. Weight Machines 6. Cutting Technology 7. Marking Technology

1. OGI Machine:
OGI Machines are use before decade. It was used for cut the diamond. But these machines worked very slowly. It is replaced by Sarin Machines which are very fast diamond cutter machines.

Replaced by

OGI Machine

Sarin Machine

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2. Polishing Machine:

Before decade diamond industry used polishing machines which were old technological like the employees have to sit on the floor and polish the diamonds. But now incensement in technology so employees have that kind of polishing machines on which employees can sit on table or chair and polish the diamonds. Dharmanandan uses both kind of technology.

Old Technology

New Technology

3. Brutting Machines:
There are both kinds of machines in Dharmanandan diamond for brutting the diamonds, Old technological and latest technological machines.

Old Technology

New Technology

4. Boil Machines:

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There are both kinds of machines in Dharmanandan diamond for boil the diamonds, Old technological and latest technological machines.

Old Technology

New Technology

5. Weight Machines:
That was not possible to get exact and perfect weight of diamonds by old technological weight machine, but in present that is possible just because of new technology.

Replace by

Old Technology

New Technology

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6. Cutting Technology:
There are both kinds of technology used by Dharmanandan Diamond for cutting the diamonds, by employee cutting and by machine cutting.

Old Technology

New Technology

7. Marking Technology:
There are both kinds of technology used by Dharmanandan diamond for marking the diamonds, by employee marking and by machine cutting.

Old Technology

New Technology

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P4>

Machinery operation stores with Codification System

No

Material Machinery Grooving Machine

Type of code Floor

Code No.

Computer printed sticker off

Maintenance st room(1 )

DD/F1/GM/001 ,

2 3

Scaif Machine

Scaif Balancing Machine Scaif Grinding Machine Semi Polishing Mills Jumbo Polishing Mills Planner Machine

Maintenance st room(1 ) Maintenance st room(1 ) Maintenance st room(1 ) 2

nd

DD/F1/SO/001 , DD/F1/SB/001 , DD/F1/SG/001 ,

4 5 6 7

Round Centering Machine Auto Brutting Machine

DD/F2/SP/001 , nd DD/F2/JP/001 2 Floor , nd rd 2 & 3 Floor DD/F2/PM/001 , DD/F3/PM/001 , nd rd 2 & 3 Floor DD/F2/RC/001 , DD/F3/RC/001 , nd rd 2 & 3 Floor DD/F2/AB/001 PM , DD/F3/AB/001 , Floor
rd

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P5>

Plant location:
Head office Mumbai
Dharmanandan Diamonds pvt ltd
G - 14, Prasad Chambers, Opera House, Mumbai, Maharashtra - 400 004

Factors affecting selecting location for Mumbai office This place is the center for selling and export polished diamond. The area is in central of Mumbai. Most of the big companies have office in Prasad chambers. In Mumbai, parking is the main problem. This building has its own parking. Main production unit Surat Dharmanandan Diamonds pvt ltd Behind Patel Faliya, Gotalawadi, Katargam, Surat4. Factors affecting selecting location for main production unit Surat Peoples related with diamond industry are living in Surat so it is easy to get employees. Near to most of the employees. Cost of land. 24 hour electricity supply. Primary facility provided by S.M.C.

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Sub-production unit SEZ Sachin

Dharmanandan Diamonds pvt ltd Special economy zone, Sachin, Surat.

Factors affecting selecting location for sub production unit SEZ Sachin It is specially economy zone developed by government of Gujarat. Tax rate of production are very low. Finance provided by GSFC. Wage rate are low.

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Plant layout: - Internal plant layout of main production unit

The building has seven floors. On each floor there is different activity is performed. Ground floor Security head office, HR Department, Store Room. Parking Store room Marking and Assortment of Rough Diamonds. Maintenance room Canteen Planning on planner machine Brutting (crown and bottom) Human resource department office Brutting (pavilion) Polishing Polishing of diamond Brutting (facet) Office Dayalbhai Assorting Signing (with pen) Main office (Mr. Laljibhai and Tulsibhai) Finance department Assorting Cleaving

1st floor

2nd floor

3rd floor

4th floor

5th floor

6th floor

7th floor Cutting laser and sawing machine 79

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CONTROLS OF R.M. IN PROCESS & FINISHED GOODS Inventory control systems

In Dharmanandan Diamonds pvt ltd, production manager design strict policy about inventory control. The main points of inventory control policy are as below: Company have limit about stock of rough diamond that 10000 carat will remain as safety stock. Daily stock register is prepared, and balanced will be checked. The strict notice is given to every employee about use of material as possible as low.

Inventory Valuation method

In all the diamond manufacturing units the rough diamond is the only raw material which covers 90% of total value of inventory. The stock register is prepared as per FIFO (First Come First Out) method. Guidelines for inventory valuation method Raw material Stock rough diamond is values as per the price of purchasing. Work in progress Top management decided that Work in progress is valued as per the half cost of manufacturing multiply by quantity of WIP.

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Finished goods Polished diamond is value as per manufacturing cost multiply by total stock of polished diamond. Tools and equipments There is stock register of how many tools and equipments are used. According to this register tools or equipments used multiplied by cost or price.

Classification of inventory
The various items or materials used in production are as follow: Raw material or input Rough diamond Machineries Laser machine, sawing machine, different brutting machines, grinding machine, boiling machine, matter balance, planner machine, computer, printer, different lath machines, round set machine, different polish machines, blocking machine, machine for scaif setting, etc. Fuel Gas, diesel for generator, oil, grease, chemicals for boiling Tools and equipments Eye glass, sign pen, tray of assorting, lead weight, saw blade, die, crown, stationary, cleaning powder for polished diamond, etc.

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ABC analysis
In all the diamond manufacturing units the rough diamond is the only raw material which covers 90% of total value of inventory. So here ABC analysis is not applicable, because according to in ABC analysis A class item cover 80 to 85% of consumable value and 10 to 15% of material consumed. Here rough diamond cover about 85% consumable value and also 80% of material consumed.

VED analysis
V- Vital item E Essential item D - Desirable item 1. Vital item Vital item are those entire item without which production will instantly stop. In this industry vital item is rough diamond. Without rough diamond production will instantly stop. Eye glass and sign pen is very small and low cost item but without that item assorting and signing will not go ahead and production will automatically stop. 2. Essential item For this company essential items are like sawing machine, computer, boiler machine, matter balance, etc. are those items which is necessary to run smooth and speedy production with low cost and time. 3. Desirable item The items like oil, grease, cleaning powder for diamond, etc. are comes under vital items.

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Finished Goods:
The main process of any diamond firm is to polished diamond from the rough diamond. So the finished good of the company is polished diamonds which are passed form seven various stages which make them incredible. After finishing they are going to pack in packets. And its value will be fixing as per production cost. The weight of polished diamond will be 29 to 32 % of total weight of rough during brutting and polishing. After prepare the diamond, cleaning will be done properly so that shining of diamond is more. Final shape of diamond will be ideal not so shallow or deep.

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P6> Quality Control System

Dharmanandan Diamonds pvt ltd give more important to quality than quantity. Dharmanandan Diamonds pvt ltd designed good quality management system. To achieve this quality objective Company provides all the facility to its employees to keep and maintain quality level. It purchase best kind of rough from foreign market, it has high quality machineries, and recruit the well experienced staff. Company has designed very good quality control system. Company set some standard which strictly followed by each and every employee. The managerial people always keep in touch with new technology and ready to establish it. Today, Dharmanandan Diamonds pvt ltd has latest technology of diamond industry. The one piece of diamond is moving from at least 15 people and checked at least 30 times with eye glass. So quality level is maintained properly. They provide guidelines regularly to employees. They organize work training.

Quality control guidelines

The standards or guidelines for maintain quality is as follow: Rough diamond Purchase high quality of rough It will well cut and assorted Rejection will be as possible as low The possibility of preparing polished diamond from it will be high.

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In process quality Level of rejection or wastage will be at minimum. Plan is made good by which the best shape will come out. During brutting and polishing, the weight loose will be minimum. During boiling level of chemical will as standard so that line will appear. The table, bottom, and pavilion of diamond will be good.

Final product polished diamond The weight of polished diamond will be 29 to 32 % of total weight of rough during brutting and polishing. After prepare the diamond, cleaning will be done properly so that shining of diamond is more. Final shape of diamond will be ideal not so shallow or deep.

Reports Generated by Production Department

The following report generated by production department: Material consumption report Rejection report Total production report Maintenance report

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