plant location

INTRODUCTION

A plant is a place, where men, materials, money, machinery and equipment etc are brought together for manufacturing products.Plant location may be understood as the function of deternmining where the plant should be located for maximum operating economy and effectiveness. A selection on pure economic consideration will ensure an easy and regular supply of raw materials, labour force .efficient plant layout, proper utilization of production capacity and reduced cost of production An ideal location may not by itself, guarantee success; but it certainly contributes to the smooth and efficient working of an organization A bad location, on the other hand, is a severe handicap for any enterprise and it finally bankrupts it .It is ,therefore very essential that utmost care should be exercised in the initial stages to select a proper place. Once a mistake is made in locating a plant, it become extremely difficult and costly to correct it, especially where large plants are concerned

FACTORS OF LOCATION

Decision regarding location requires a careful balancing of several factors. Some of them are more important and are known as primary factors, while. The less important one are known as secondary factors

PRIMARY FACTORS

Availability of  raw material

Nearness to the potential market

Proximity to cheap fuel

Transport facilities

Availability of labour

Availability of water

Land and climate

Availability of hospitals, schools, house,etc

Financial and other aids

Availability of raw material

In order to minimize the transport cost of raw materials to the industrial plant, nature of raw material is of great importance.A good deal of economy in transport cost can be achieved if industries, which use weight losing materials, are located nearer to the source of raw materials .In case industries ubiquities material, the material transport cost factor do not influence the location much. In addition to the cost factor, other factors related to material to be considered, while taking a decision regarding to the location is (1) whether the material available indigenously or to be imporeted? (2)Any financial   linkage to the  supply of raw material, so that material is available below market price,(3)Reliability and continuity of the source of supply and(4)The security factor of transport.

Nearness to the   market for the finished product  

Industries using pure raw materials, are generally located nearer to the market for the product produced. By located the unit nearer to the market, the transportation cost of finished goods will be minimum. In addition to this factor the chances of finished goods getting damaged or spoiled during transport can be reduced. As the industry is nearer to the market, it can catch a big share of the market and can render quick services to the customers.

Availability of Fuel and Power

The problem of fuel and power can also be solved with reference to the nature of raw materials .Industries, which use coal as the source of power for their industries. Are located nearer to the coal bed. Because coal loses substantial weight during processes.

Transport facilities

A lot money is spent both in transporting  the raw material and the finished goods. Depending on the size of the raw material or finished

 goods,a suitable method of transportation like roads, rail, water ,or air is selected and accordingly the plant location is decided .The point to be considered here is that the cost of transport must be kept at a minimum this is because, the movement of material will simply add to the cost  and nothing to use /economic values of the material or product.

Availability of labour

Another importat factor influencing the location of industries is availability of suitable and adequate number of labour at a reasonable labour wages.This particularily true in the case of plants like, tobacco companies, and tea estates etc.Any labour intensive companies have to select a location nearer to the source of labour .In case needs skilled labour, it has to select a location nearer to the source of skilled labours.

Availability of water

In case water is used for processing, as in paper and chemical industries, also is required for drinking and sanitary purposes. Depending up on the nature of plant, water should be in adequate quanity and be of desired quality

SECONARY FACTORS

Soil and climate

Soil and climate is really an influencing factor for a unit processing agricultural products like tea, coffee and rubber etc. With the development in the field of heating ventilating and air conditioning climate of the region is not a problem these days

Industrial Atmosphere

The industrial Atmosphere cannot be measured in tangible terms, but it has very important advantage in selecting a location for a plant. Industrial atmosphere may said to exist where people living at a place instinctively of industry and learn the intricacies of machines without much effort .This is an added advantage for the growth of industries in a particular area

Financial and Other Aid

The plant should be located in an area where financial institutions are available to get a part of capital as loan and getting working capital and for other financial aids.

Availability of facilities like housing, schools and hospitals and recreation clubs

The site should be nearer to infrastructure facilities,so that labour will have housing facility at a reasonable cost and they will take advantage of educational institutions to educate their children.For health problems,they can use hospitala.They can relax during off periods in recreation clubs.All the above said facilities will help in motivating the labour to stick to the job. ie; ,labour turnover will be at low rate

Momentum of an early start

There are number of places where, to begin with, only one or two factories were started. With the passage of time these places gained importance and attract industries. As number of industrial units increase, certain facilities are developed in that area. Some of facilities are banking facility; maintenance units and other services related units will come up. With these .availability pf skilled labour also increase

Special advantages of the place

Some times certain facilities are offered by the state, in case the particular region is selected. Facilities like providing subsides, tax holidays etc, in this way state tries to develop the underdeveloped areas.

Personal factors

Some times, promoters, irrespective of economic factors, prefer to start their unit in their place of origin to develop the area and help the fellow community. Good example for this is Ford Company at Detroit

Historical factors

Factors like personal fancies of entrepreneurs or historical incidents may in many cases lead to the development of a place as the center of an industry. Example is development of Kanpur as textile industrial center.

Political stability

The lack of political stability in a state makes for uncertainty in the attitude of State Governments to industries .In locating industrial plant; it must be seen as to whether the State has a record of political and economic stability

LOCATON ANALYSIS

Analysis of location alternatives should consider both objective factors such as availability of proper transport facilities, availability of suitable labour, tax consideration material cost and market

Pontentalities and subjective factors like civic amenities,labour union activities,weather conditions etc

COST ANALYSIS

QUANTITATIVE METHODS

WEIGHT METHOD 

RANKING METHODS

COST ANALYSIS

A cost study is made regarding all the alternatives sites,to work out what would be the expected production cost per unit of product or what is the rate of return on investment expected and they are compared to select the optimal site.Cost analysis can be done in three ways. They are Comparative cost analysis Rate of return analysis, Break even analysis

COMPARATIVE COST ANALYSIS

In this method all the costs involved in establishing and operating the plant at the site is listed and total cost is worked out .Based on the total cost plant site is selected.It can be represented by graphical means.All cost factors are shown to scale on a bar chart(one bar for each plant). Comparing the height of the bars, the decision is taken to opt for particular  site. The bar, whose height is smaller, is selected

RATE OF RETURN ANALYSIS (ROR)

This analysis is based on the rate of return on the total investment.Any person who invests money in business is more interested in knowing what rate of return he is going to get by investing the money? He compares the alternatives and select the business that yield higher rate of return

Rate of return=Total sales-total expenses

                          Total investment

BREAK EVEN ANALYSIS

  

Using the break even analysis concept one may compare objective cost factors.For this one has to identify the fixed and variable expenses for each alternative location and the total cost is worked out.These total cost curves are plotted on a single graph.The location with the lowest cost is selected

Fixed cost-It consists of all those costs or expenditure, which will not vary with the quantity produced below the capacity of the plant

Variable cost-This consist of those costs, which will vary directly with quantity produced.

Fixed cost and variable costs of a location

  With expected higher volume compared to total cost as indicated by dashed line in figure ie, location is selected. If the total cost line for various alternative locations intersect, it indicates that advantages of each location is not absoluter but will vary according to the volume of output.

QUALITATIVE METHODS

The entrepreneur, who is making a choice between different sites, has to consider intangible factors in addition to the cost factors, which cannot be measured quantitatively, can be expressed as significant, good, excellent, bad etc. Such factors are housing facility, community attitude, education facilities and medical facilities etc.

WEIGHT METHOD

Here, weight is allocated to each influencing

factor depending on the importance of the

factor. Most important factor is given a higher

weight and next one is lesser weight and so on

.These weight are added and the site, which gets

Higher totals weight, is given preference. One must

careful while a scale for fixing up weight. 

RANKING METHOD

In ranking method each factor is allocated a rank or a rate according to its importance. Important factor is given a rank of one and all other factors are expressed in whole numbers as multiple of least number as shown in the below. Each rank is then multiplied by the appropriate weighting factors, to get the score for each location. The scores are totaled and the site, which has higher score, is selected

plant layout

Plant Layout

Plant layout is related to a number of aspects of production and operations management. It is the allocation of adequate spaces at the appropriate places for work equipment, for working men, materials, other supporting activities and also customers. The basic theme behind the arrangement of work areas is to produce the product economically, to provide the service effectively, and to provide a safe and good physical environment for the users that is, the workers and the customers.

Features of plant layout

Ease of working, maximum safety, and minimum health hazards for people working in/ using the facility.

                         Physical plant layout is one component of the integrated picture for labour productivity improvement. User- orientation is an important consideration in management decision- making, and ultimately, the arrangement of the work areas is for the users of the work areas.

Minimum handling of materials 

                   A good plant layout takes in to consideration the various flows of materials inside the plant thus minimizing the handling of materials.

Minimum damage and spoilage of materials

                   If adequate consideration regarding the handling and storage of materials is given, it automatically minimizes damage and spoilage of materials.

Reduced congestion of materials, machinery and men.

                 A good physical layout should eliminate confusion in the plant. By doing so, it not only makes the life of the supervisor easier but also contributes towards overall improvements in the productivity of the shop.

Flexibility with regard to changing production conditions.

                 A good layout should be one that is adaptable or flexible enough to take care of probable future changes in the volume of production, in the range of products manufactured, and changes in the methods of production.

Basic principles

              The basic principles of plant layout are as follows.

The total movement of materials should be minimum. For this, one has to consider the movement distances between different work areas and the no. of times such movements occur per unit period of time.

The arrangement of the work area should have as much congruence as possible with the flow of materials within the plant.

The layout should ensure adequate safety and healthy working conditions for the employees.

A good layout should take into consideration all the three dimensions of space available. In addition to the floor space, the vertical space available should also be taken into account while designing the work areas.

The layout should be adaptable or flexible enough so as to allow for probable changes in the future as all systems should anticipate changes in the future.

A good layout has o satisfy, the availability of space, the size and work area requirements of machinery and other utilities, the flow direction, type and number of movements of the material, workers, and also the future anticipated changes.

Basic types of layout

A. Process layout or layout by function

                This is typical of the job-shop type of production where the equipment performing similar operations is grouped together. For instance, grinding machines could be grouped to firm a work area, milling machines could be grouped together, drilling machines could be grouped together, etc. Such a layout is particularly useful where the volume of manufacturer is low and the variety of jobs is great. Here the layout should provide tremendous flexibility in the sequence of operations because; the sequence of operation for one job is different from that of another job.

Merits

 

Very high degree of variety in products is possible.

Flexibility and adaptability to changes is high.

Good level of variety, skills requirement and therefore higher job satisfaction.

Co-ordination & supervision is simpler as the processes are similar & the staff is skilled.

Machine breakdowns do not cause crippling production stoppages.

Demerits

Production planning & control is more complex, much paper work is necessary.

Worker skills need to be high in order to complete all components of the job.

Higher inventories of basic raw materials may be necessary due to much uncertainity of demand.

More handling of materials.

B. Product layout or line production.

                Is one in which equipment or work processes are arranged according to the progressive steps by which the product is made. The path for each part is, in effect, a straight line. Production lines for shoes, chemical plants, and car washes are all product layouts. Since a machine is assigned for each operation, the number of equipments is a product layout is much more as compared to be process layout. Therefore, the utilization of the equipment has to be sufficiently high to justify the higher level of capital investment necessary in a product layout. This means, the volume of production should be large and the variety of products should be low so that there is little time lost in setting up the machinery.

Merits

1. Production planning & control is simple; less paper work.

2. Lower work in process inventories needed

3. Lower material handling costs.

4. Lower degrees of skills in the man power may suffice.

5. By balancing the line, labour utilization can be high. 

Demerits

Larger maintanence crew needed. 

very low job variety & there fore  lower job satisfaction & higher boredom for the workers

Duplication of machines & equipments may be necessary resulting in higher capital investment

more space may be required

C. Fixed position layout

                 In this layout the material remains in a fixed position but the machinery, tools, workmen etc are brought to the material. Such a layout may be preferred when the equipment and the machinery is small in number and size, and where the workmen are highly skilled to perform the various small jobs on the product 

D. Group Technology layout

             GT layout allocates dissimilar machines in to cells to work on products that have similar shapes and processing requirements. GT layouts are now widely used in metal fabricating, computer chip manufacture and assembly work. The overall objectives is to gain the benefits of product layout in job shop kinds   of production. These benefits include

1. Better human relations: -  Cells consist of a few workers who form a small work team , a team turns out complete units of work

2. Improved operator expertise: -  Workers seen only a limited number of different parts in a finite production cycle , so repetition means quick learning

3. Less in – process inventory & material handling: -  A cell combines several production stages , so fewer parts travel through the shop

4. Faster production set up: - Fewer jobs mean reduced tooling & hence faster tooling changes.

 

50 Common Interview Questions and Answers :

Review these typical interview questions and think about how you would answer them. Read the questions listed; you will also find some strategy suggestions with it.

1. Tell me about yourself:

The most often asked question in interviews. You need to have a short statement prepared in your mind. Be careful that it does not sound rehearsed. Limit it to work-related items unless instructed otherwise. Talk about things you have done and jobs you have held that relate to the position you are interviewing for. Start with the item farthest back and work up to the present.

2. Why did you leave your last job?

Stay positive regardless of the circumstances. Never refer to a major problem with management and never speak ill of supervisors, co- workers or the organization. If you do, you will be the one looking bad. Keep smiling and talk about leaving for a positive reason such as an opportunity, a chance to do something special or other forward- looking reasons.

3. What experience do you have in this field?

Speak about specifics that relate to the position you are applying for. If you do not have specific experience, get as close as you can.

4. Do you consider yourself successful?

You should always answer yes and briefly explain why. A good explanation is that you have set goals, and you have met some and are on track to achieve the others.

5. What do co-workers say about you?

Be prepared with a quote or two from co-workers. Either a specific statement or a paraphrase will work. Jill Clark, a co-worker at Smith Company, always said I was the hardest workers she had ever known. It is as powerful as Jill having said it at the interview herself.

6. What do you know about this organization?

This question is one reason to do some research on the organization before the interview. Find out where they have been and where they are going. What are the current issues and who are the major players?

7. What have you done to improve your knowledge in the last year?

Try to include improvement activities that relate to the job. A wide variety of activities can be mentioned as positive self-improvement. Have some good ones handy to mention.

8. Are you applying for other jobs?

Be honest but do not spend a lot of time in this area. Keep the focus on this job and what you can do for this organization. Anything else is a distraction.

9. Why do you want to work for this organization?

This may take some thought and certainly, should be based on the research you have done on the organization. Sincerity is extremely important here and will easily be sensed. Relate it to your long-term career goals.

10. Do you know anyone who works for us?

Be aware of the policy on relatives working for the organization. This can affect your answer even though they asked about friends not relatives. Be careful to mention a friend only if they are well thought of.

11. What kind of salary do you need?
A loaded question. A nasty little game that you will probably lose if you answer first. So, do not answer it. Instead, say something like, That's a tough question. Can you tell me the range for this position? In most cases, the interviewer, taken off guard, will tell you. If not, say that it can depend on the details of the job. Then give a wide range.

12. Are you a team player?
You are, of course, a team player. Be sure to have examples ready. Specifics that show you often perform for the good of the team rather than for yourself are good evidence of your team attitude. Do not brag, just say it in a matter-of-fact tone. This is a key point.

13. How long would you expect to work for us if hired?

Specifics here are not good. Something like this should work: I'd like it to be a long time. Or As long as we both feel I'm doing a good job.

14. Have you ever had to fire anyone? How did you feel about that?

This is serious. Do not make light of it or in any way seem like you like to fire people. At the same time, you will do it when it is the right thing to do. When it comes to the organization versus the individual who has created a harmful situation, you will protect the organization. Remember firing is not the same as layoff or reduction in force. 

15. What is your philosophy towards work?

The interviewer is not looking for a long or flowery dissertation here. Do you have strong feelings that the job gets done? Yes. That's the type of answer that works best here. Short and positive, showing a benefit to the organization.

16. If you had enough money to retire right now, would you?

Answer yes if you would. But since you need to work, this is the type of work you prefer. Do not say yes if you do not mean it.

17. Have you ever been asked to leave a position?

If you have not, say no. If you have, be honest, brief and avoid saying negative things about the people or organization involved.

18. Explain how you would be an asset to this organization.

You should be anxious for this question. It gives you a chance to highlight your best points as they relate to the position being discussed. Give a little advance thought to this relationship.

19. Why should we hire you?

Point out how your assets meet what the organization needs. Do not mention any other candidates to make a comparison.

20. Tell me about a suggestion you have made.

Have a good one ready. Be sure and use a suggestion that was accepted and was then considered successful. One related to the type of work applied for is a real plus.

21. What irritates you about co-workers?

This is a trap question. Think real hard but fail to come up with anything that irritates you. A short statement that you seem to get along with folks is great.

22. What is your greatest strength?

Numerous answers are good, just stay positive. A few good examples: Your ability to prioritize, Your problem-solving skills, Your ability to work under pressure, Your ability to focus on projects, Your professional expertise, Your leadership skills, Your positive attitude

23. Tell me about your dream job.

Stay away from a specific job. You cannot win. If you say the job you are contending for is it, you strain credibility. If you say another job is it, you plant the suspicion that you will be dissatisfied with this position if hired. The best is to stay genetic and say something like: A job where I love the work, like the people, can contribute and can't wait to get to work.

24. Why do you think you would do well at this job?

Give several reasons and include skills, experience and interest.

25. What are you looking for in a job?

See answer # 23

26. What kind of person would you refuse to work with?

Do not be trivial. It would take disloyalty to the organization, violence or lawbreaking to get you to object. Minor objections will label you as a whiner. 

27. What is more important to you: the money or the work?

Money is always important, but the work is the most important. There is no better answer.

28. What would your previous supervisor say your strongest point is?

There are numerous good possibilities: 
Loyalty, Energy, Positive attitude, Leadership, Team player, Expertise, Initiative, Patience, Hard work, Creativity, Problem solver

29. Tell me about a problem you had with a supervisor.

Biggest trap of all. This is a test to see if you will speak ill of your boss. If you fall for it and tell about a problem with a former boss, you may well below the interview right there. Stay positive and develop a poor memory about any trouble with a supervisor.

30. What has disappointed you about a job?

Don't get trivial or negative. Safe areas are few but can include:
Not enough of a challenge. You were laid off in a reduction Company did not win a contract, which would have given you more responsibility.

31. Tell me about your ability to work under pressure.

You may say that you thrive under certain types of pressure. Give an example that relates to the type of position applied for.

32. Do your skills match this job or another job more closely?

Probably this one. Do not give fuel to the suspicion that you may want another job more than this one.

33. What motivates you to do your best on the job?

This is a personal trait that only you can say, but good examples are: Challenge, Achievement, Recognition

34. Are you willing to work overtime? Nights? Weekends?

This is up to you. Be totally honest.

35. How would you know you were successful on this job?

Several ways are good measures:
You set high standards for yourself and meet them. Your outcomes are a success.Your boss tell you that you are successful

36. Would you be willing to relocate if required?

You should be clear on this with your family prior to the interview if you think there is a chance it may come up. Do not say yes just to get the job if the real answer is no. This can create a lot of problems later on in your career. Be honest at this point and save yourself uture grief.

37. Are you willing to put the interests of the organization ahead of your own?

This is a straight loyalty and dedication question. Do not worry about the deep ethical and philosophical implications. Just say yes.

38. Describe your management style.

Try to avoid labels. Some of the more common labels, like progressive, salesman or consensus, can have several meanings or descriptions depending on which management expert you listen to. The situational style is safe, because it says you will manage according to the situation, instead of one size fits all.

39. What have you learned from mistakes on the job?

Here you have to come up with something or you strain credibility. Make it small, well intentioned mistake with a positive lesson learned. An example would be working too far ahead of colleagues on a project and thus throwing coordination off.

40. Do you have any blind spots?

Trick question. If you know about blind spots, they are no longer blind spots. Do not reveal any personal areas of concern here. Let them do their own discovery on your bad points. Do not hand it to them.

41. If you were hiring a person for this job, what would you look for?

Be careful to mention traits that are needed and that you have.

42. Do you think you are overqualified for this position?

Regardless of your qualifications, state that you are very well qualified for the position.

43. How do you propose to compensate for your lack of experience?

First, if you have experience that the interviewer does not know about, bring that up: Then, point out (if true) that you are a hard working quick learner.

44. What qualities do you look for in a boss?

Be generic and positive. Safe qualities are knowledgeable, a sense of humor, fair, loyal to subordinates and holder of high standards. All bosses think they have these traits.

45. Tell me about a time when you helped resolve a dispute between others.

Pick a specific incident. Concentrate on your problem solving technique and not the dispute you settled.

46. What position do you prefer on a team working on a project?

Be honest. If you are comfortable in different roles, point that out.

47. Describe your work ethic.

Emphasize benefits to the organization. Things like, determination to get the job done and work hard but enjoy your work are good.

48. What has been your biggest professional disappointment?

Be sure that you refer to something that was beyond your control. Show acceptance and no negative feelings.

49. Tell me about the most fun you have had on the job.

Talk about having fun by accomplishing something for the organization.

50. Do you have any questions for me?

Always have some questions prepared. Questions prepared where you will be an asset to the organization are good. How soon will I be able to be productive? and What type of projects will I be able to assist on? are examples.

And Finally Good Luck

job interview tips

Job interviewing never seems to get any easier - even when you have gone on more interviews than you can count. You are meeting new people, selling yourself and your skills, and often getting the third degree about what you know or don't know. Here are job interview tips to help prepare you to interview effectively. Proper preparation which help alleviate some of the stress involved in job interviews.

Job Interview Tips

Practice

Practice answering interview questions and practice your responses to the typical job interview questions and answers most employers ask. Think of actual examples you can use to describe your skills. Providing evidence of your successes is a great way to promote your candidacy.

Prepare

Prepare a response so you are ready for the question "What do you know about our company. Know the interviewer's name and use it during the job interview. If you're not sure of the name, call and ask prior to the interview. Try to relate what you know about the company when answering questions.

Get Ready

Make sure your interview attire is neat, tidy and appropriate for the type of firm you are interviewing with. Bring a nice portfolio with copies of your resume. Include a pen and paper for note taking.

Be On time

Be on time for the interview. On time means five to ten minutes early. If need be, take some time to drive to the office ahead of time so you know exactly where you are going and how long it will take to get there.

Stay Calm

During the job interview try to relax and stay as calm possible. Take a moment to regroup. Maintain eye contact with the interviewer. Listen to the entire question before you answer and pay attention - you will be embarrassed if you forget the question!

Show What Your Know

Try to relate what you know about the company when answering questions.  When discussing your career accomplishments match them to what the company is looking for.

Follow Up

Always follow-up with a thank you note reiterating your interest in the position. If you interview with multiple people send each one a thank you note

How To Improve Chances Of Getting A Job???

Getting a job can take some time, and plenty of hard work. Improve your chances of getting a job sooner rather than later with these essential job hunting techniques.

Focus on your Goals

Before you even start looking for a job, decide what you want. This may sound easy, but in fact one of the biggest mistakes that job hunters make is that they don’t really know what they want in a job, and they haven’t taken the time to figure it out before they start looking. If your search is unfocused, you’ll waste time looking for jobs that aren’t appropriate for you, and your lack of focus will be clear to anyone who interviews you. Networking and cold calling are both excellent ways of tapping into the hidden job market.

Create a Job Hunting Schedule

When you’re not working it’s all too easy to slip into bad habits and lose sight of your goal. If you don’t currently have a job, finding one should be your top priority—consider finding a job as your “job”. Writing a great cover letter might help you get a meeting with an employer, but it all goes to waste if you don’t apply the same effort to the interview itself .For more details visit to www.positive-idea.com. There are many things you can do to increase your chances of getting interviews, such as taking the time to write high-impact cover letters and resumes. The more time you spend looking and preparing, the better your chances of getting a job quickly—be proactive and start cold calling, rather than simply responding to advertisements.

Scheduling job hunting activities can be difficult if you already have a job. Often this means getting up early to look over advertisements, prepare letters and resumes, and even interviewing in your lunch hour. 

Widen your Search

Don’t rely solely only on job advertisements—there are many other effective ways of finding job leads. Networking and cold calling are both excellent ways of tapping into the hidden job market.

Cover Letters and Resumes

Create cover letters and resumes that are tailored to each job you apply for. Research the company, emphasize the professional skills you have that are relevant to the job, and customize your letter and resume demonstrating your suitability.

Prepare for Interviews

Lack of interview preparation is another top mistake made by many job hunters. Writing a great cover letter might help you get a meeting with an employer, but it all goes to waste if you don’t apply the same effort to the interview itself. Prepare by researching the company, rehearsing your answers to interview questions, and researching interview techniques to give you the best possible chance at success.