NICMAR - PGPM

Reg. No. 212-08-31-10814-2141

ASSIGNMENT
NICMAR - SODE (PGPPM)

1. Name

Chetan yogi

2. Reg. No.

212-08-31-10814-2141

3. Course No.

PGPM 32

4. Course it!e

Management In"ormation system

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Reg. No. 212-08-31-10814-2141

A##IGNM$N
MANAG$M$N IN%&RMA I&N #'# $M You are a project manager on a construction of Hydel-Power project comprising of four main works viz. Main Dam, eir, !lectric Power "tation and #unnel. #$e re%uirement of ten construction materials including cement, steel &si' sizes(, sand, aggregate etc. need to )e monitored daily. *onstruction, re%uirements, resources on site and in depot needs to )e c$ecked every day. Design an M.+.". for efficient working. ,ssume suita)le data #C&P$ &% (&R) #$e work involves four main works i.e. Main Dam, weir, !lectric power station and #unnel. #$e a)ove work involves "upply, transportation, unloading, fa)rication, erection, testing and commissioning of )alance ventilation ducts and e%uipments as per tec$nical specifications. -enefits of Hydro Power. !nergy $as )ecome a sym)ol of growt$ and instrument for development. !lectric power particularly t$e $ydro power is a renewa)le, economically attractive, environment friendly, nonpolluting and environmentally )enign source of energy. Moreover, t$e Hydro Power is su)mergence free and $as s$ort gestation period. #$ese )enefits of HP $ave now )een sufficiently recognized. #$e need of t$e project comes from t$e )enefits of HP and utilization of resources. Management information system provides predefined types of information to t$e management for relatively structured type of decisions. Management +nformation "ystem &M.+."( design for Hydel-Power Project is very muc$ limited to a specific area as all t$e material and data is to )e managed on t$e site for t$e given re%uirement. /ow t$e re%uirements for t$e $ydel project are entirely different from general construction sites. #$e $eig$t of t$e control room s$all )e $ig$er as compared, so as to take care of t$e $eat generated from t$e electrical panels and t$e control of all t$e panels can )e made on t$e mezzanine level w$ic$ saves t$e space and offers t$e wider view of t$e area underneat$. #$e su)station part $as to )e made in t$e open area and t$e wiring of t$e towers is taken care )y t$e 0.*.*. #renc$es made under t$e floor. Page 2 o" 10 Management In"ormation #ystem

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1rom t$e reservoirs t$e water is )roug$t t$roug$ a tunnel for t$e generation of t$e electricity. i.e. +n itself a very tec$nical and specific re%uirement for t$e construction of t$e project. ,s far as t$e scope of t$e $ydel projects is concerned it is not as limited )ecause of t$e fact t$at our country is facing s$ortage of electricity. +n future we s$all need more of $ydel projects to meet t$e re%uisite demands of t$e power sector and of course to facilitate t$e people staying in t$e remotest areas of t$e country. #$is is t$e reason in t$e recent years even orld -ank $as offered to finance t$e $ydel projects in states like Himac$ala Prades$, utaranc$al, ,ssam 2 jammu 3as$mir. MA $RIA*# MANAG$M$N &RGANI#A I&N Material management can t$us )e defined as t$at aspect of management 1unction w$ic$ is primarily concerned wit$ t$e ac%uisition, control and use of materials needed and flow of goods and services connected wit$ production or construction process into and wit$in an organization. #$e modern concept of Materials Management integrates t$e entire range of functions w$ic$ effect t$e flow, conservation and utilization of all materials and )rings toget$er t$e activities suc$ as materials planning and )udgeting, purc$asing, inventory control, clearing and forwarding, receiving and storekeeping, materials $andling, salvaging, scrap and surplus disposal, value analysis and materials standardization. #$e significance of t$is concept lies in t$e fact t$at efficiency of any organization is depend upon $aving t$e . Right Material of the Right Quality at the Right Price in the Right Quantity at the Right Time and Place #$e management of t$e various materials re%uired at site s$all )e organized at different levels. 4pper 5evel #o determine t$e goals, o)jectives 2 plans. ,)ility to deal wit$ t$e am)iguities of t$e decisions taken. Middle 5evel Determination of t$e ways to construction done in time sc$edule. #o c$eck $ow muc$ money $as )een incurred till t$e specific date. 5ower 5evel *ontrol t$e activities of t$e workers to meet t$e targets. #$e materials re%uired for t$e $ydel projects s$all )e managed according to t$e levels mentioned a)ove.

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Here + take t$e e'ample of a $ydel project of 6M capacity. 0e%uirement for t$e project is as follows. *ontrol 0oom wit$ a covered area of 78,999s%ft. o :uter walls in )rick o 1rame work of 0** *olumns and -eams o ,s)estos s$eets as roofing o *oncrete floor wit$ separators o "teel windows and doors o #ie )eams at t$e regular intervals to prevent !art$%uake. ;;3<, grid station in t$e open area :ffice "paces "ite :ffices as temporary structures Material "torage ,reas ater 0eservoir ,ccommodation for staff Material re%uirement for t$e project. *ement - ==99 )ags appro'. "teel - 89 #onnes appro'. ,ggregate - 7=,999 cft appro'. "and - >,699 cft appro'. -ricks - 7,>9,999 no. #tage 1 + %rom "oun,ation !e-e! to .!inth !e-e! *ement . ;99 )ags "and. ?699 *1# ,ggregate. =699 cft. "teel. 7= tones of =6mm , =9mm 2 >mm -ricks. =9,999 )ricks in no. #tage 2 + /. to !inte! !e-e! *ement . 699 )ags "and. =699 *1# ,ggregate. ?699 cft. "teel. 9@ tones of =6mm , =9mm , 7;mm 2 >mm -ricks. 69,999 )ricks in no. #tage 3 + &n !aying o" s!a0s *ement. @99 )ags "and. ?999 *1# ,ggregate. 6999 cft. "teel. > tones of =6mm , =9mm ,7;mm 2 >mm -ricks. >9,999 )ricks in no. 0emaining %uantity of t$e materials s$all )e ordered on t$e re%uirement of t$e miscellaneous activities like plastering, )rick soling and )rick )allast, etc. IN1$N &R' C&N R&* M$A#/R$# #$e aim of t$e materials management is to make availa)le t$e rig$t type of material in Page 4 o" 10 Management In"ormation #ystem

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rig$t %uantity, at t$e rig$t price, at t$e rig$t time and at t$e rig$t place. #$e o)jective is suc$ t$at t$e construction work s$ould not )e$eld up for t$e want of material )ut t$e total investment on t$e materials minimum. +f we e'amine t$e aims and o)jectives very carefully t$e concept of +nventory control in t$e material management is o)vious. #$is can )e considered as a very important function of materials management. +t is mainly concerned wit$ laying t$e policies regarding $ow muc$ %uantity of a material s$ould )e $eld in stock so t$at t$e aim of t$e material management of ensuring continuity of t$e project wit$ t$e minimum investment in materials is fulfilled. +nventory are necessary )ecause t$ey provide protection against uncertainty of demand and supply. 7. #$ey ensure smoot$ flow of materials t$roug$ production process. =. #$ey ensure reasona)le utilization of manpower and e%uipment etc.,2 ?. #$ey also provide t$e means to maintain good customer service. (&-2IN #ystem +nspired )y t$e kan)an replenis$ment met$od developed and made popular in Aapan, t$is replenis$ment system, adapted to $ospital supplies, is )ased on t$e principle of two )ins for eac$ product type. !ac$ )in contains $alf of t$e %uota &inventory level( for a given product. , )ar code la)el is affi'ed to t$e front of eac$ )in. $en t$e first )in is empty, user personnel or clerical staff transfers t$e la)el to a )oard mounted on t$e wall, and supplies are used from t$e second )in. 4sing an optical scanner and according to a pre-determined sc$edule, a stores employee scans t$e la)els on t$e )oard to capture data on t$e products re%uiring replenis$ment, w$ic$ in turn triggers t$e process to replenis$ t$e %uantity contained in t$e )in. #$is activity can )e eliminated t$roug$ t$e use of a replenis$ment software application t$at uses 01+D tec$nology. #$is application is presented in t$e section B01+D-assisted replenis$mentC. :nce t$e person responsi)le for managing inventory in t$e department $as replenis$ed t$e )in, $e or s$e first transfers t$e remaining supplies in t$e second )in to t$e first )in, t$en places t$e

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new supplies in t$e now empty second )in, returning t$e la)el to t$e front of t$e first )in. +n t$is way, stock rotation occurs wit$ eac$ replenis$ment. #$is system simplifies t$e needs evaluation process. $en compared wit$ ot$er recurring replenis$ment met$ods, t$e two-)in system stands apart. +t re%uires no inventory taking &or verification( prior to scanning t$e la)els. +t also facilitates stock rotation management, w$ic$ is essential to prevent product e'piry, and it significantly improves t$e control of stock levels. !:D. !conomic order %uantity &also known as t$e ilson !:D Model or simply t$e !:D Model( is a model t$at defines t$e optimal %uantity to order t$at minimizes total varia)le costs re%uired to order and $old inventory. +t is )ased on t$e assumptions. 7( #$e demand over t$e period of cycle &normally a year( is constant and is known in advance. =( *onsumption of t$e material occurs at t$e uniform rate. ?( #$e price of t$e material is independent of t$e order. Duantity discount is not allowed 8( #$ere is no lead time in t$e replenis$ment. e s$ould know :rdering cost and *arrying cost ,( :rdering *ost. consists of i( 0e%uisitioning ii( :rder processing iii( :rder placing, and iv( 0eceiving, inspection, c$ecking etc. -( *arrying *ost. i( +nterest on *apital invested ii( "torage, $andling and ware$ousing suc$ as rent, +nsurances and ta'es, 5ig$ting, and ot$er maintenance costs 0ig$t purc$ase %uantity s$ould ensure t$at overall cost of ac%uisition and possession is minimum, w$ile $olding t$e optimum %uantity of an item in inventory. +t will $ave to )e appreciated t$at a point of minimum cost is reac$ed at w$ic$ t$e ordering cost will )e just e%ual to t$e carrying cost suc$ t$at neit$er e'cess material is ordered nor too many orders are fre%uently placed for t$e same material during a time period, for w$ic$ demand pattern is more or less known.

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+t must )e remem)ered, $owever, t$at w$ile t$e former varies wit$ t$e num)er of orders placed, t$e latter is linearly and directly related to t$e %uantity carried into t$e inventory. !:D M:D!5 0:5. #$e two factors t$at determine t$e appropriate order point are t$e procurement or delivery time stock w$ic$ is t$e +nventory needed during t$e lead time &i.e., t$e difference )etween t$e order date and t$e receipt of t$e inventory ordered( and t$e safety stock w$ic$ is t$e minimum level of inventory t$at is $eld as a protection against s$ortages. Reor,er Point 5 Norma! 6onsum.tion ,uring !ea,-time 7 #a"ety #to68. "everal factors determine $ow muc$ delivery time stock and safety stock s$ould )e $eld. +n summary, t$e efficiency of a replenis$ment system affects $ow muc$ delivery time is needed. "ince t$e delivery time stock is t$e e'pected inventory usage )etween ordering and receiving inventory, efficient replenis$ment of inventory would reduce t$e need for delivery time stock. ,nd t$e determination of level of safety stock involves a )asic trade-off )etween t$e risk of stock-out, resulting in possi)le customer dissatisfaction and lost sales, and t$e increased costs associated wit$ carrying additional inventory 0!:0D!0 P:+/# 1:0M45,. Reor,er .oint 5 # 9 * 7 % : # 9 R9 *; $ere " E 4sage in units 5 E 5ead time in days 0 E ,verage num)er of units per order 1 E "tock out acceptance factor #I $ # &RAG$ AN< R$P&R ING Materials to )e stored are in t$e following way. "teel 2 *ement in a room wit$ an area of 78,999s%ft. ,ggregate, "and in open courtyard 0eporting. Scheduled Reports. + would make t$e sc$eduled reports w$ic$ would )e issued fortnig$tly. #$e reports would )e containing t$e details of production, mont$ly cas$ flow etc. for furt$er use in planning and control processes. Error Reports: + would make t$ese reports to correct t$e invalid customer names, incorrect

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totals and missing data during transaction. Control Reports: *ontrol reports would )e maintained in t$e form of payroll register, a journal, a cas$ register etc. giving detailed listing to descri)e eac$ transaction occurring during a specific time period. Provision for Exception reports & Demand reports would )e t$ere. IN $GRA $< R$P&R ING #'# $M -asically an integrated reporting is t$e system in w$ic$ can get information from all t$e reports at lower level. "pecific to t$is project reports from la)our class to ".!.Fs etc. would )e )ase for integrated reporting for t$e ne't level. #'# $M <$1$*&PM$N + %or the system ,e-e!o.ment o" the hy,e! .ro>e6t ?e sha!! 0e "o!!o?ing the "o!!o?ing ste.s+ #e.arate "i!es "or ,i""erent a..!i6ations +ntegration of related files of various activities. 1iles s$all )e made in !'cel programme for t$e separate jo)s to )e done in a stipulated period and t$e manpower involved. 0elations$ip )etween different entities. different entity relations$ips are as follows :ne to one :ne to many Many to many +n t$e management system of $ydel project we s$all create files s$owing one specific activity is to )e done )y one agency e.g. t$e completion of superstructure s$all )e done )y a construction agency. #$is construction agency s$all )e assigned more t$an one jo). Here B:ne to manyC type of relations$ip )etween different entities s$all )e $elpful. :wn staff "taff of outside agencies ork done )y own staff ork done )y outside staff -illing for various activities <A A PR&C$##ING+ A6ti-ity Agen6y <uration Cost Ci-i! ?or8 P1 2yrs 3 Months @@..*a6s %inishing P2 4Months @@..*a6s %*&( CAAR ING+ 1low c$arts of t$e various jo)sGactivities s$all )e made on t$e weekly )asis, c$ecking t$e

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commitment )y t$e agency for t$at specific jo). +f any activity is not completed in t$e specified time it will $ave to )e overlapped in t$e second week assuming it to )e t$e responsi)ility of t$e concerned agency. ,fter t$e ;t$ week if t$e same situation prevails for t$e delayed activity penalty clause will )e applica)le as per t$e agreement. #$e employer and t$e outside agency s$all sign t$is agreement. #$is flowc$art s$all )e made using t$e P.*. software M0P++ "ystem&Material 0esource Planning( and s$all make it very easy to maintain t$e records of agencies $ired and t$e jo)s done )y t$em. A6ti-ity 1st ?ee8 2n, ?ee8 3r, ?ee8 4th ?ee8 3th ?ee8 A1 A2 A3 C&MP/ $R APP*ICA I&N# Data *ommunication, file design. ,s per t$e data file enclosed )elow. Syste des!"n spec!#!c$t!ons: #$e M+" specifications were designed wit$ 89H- $ard disc, 67=M) 0,M, P8 2 M":ffice as software. Syste $n$lys!s $nd des!"n: ,s + $ave already discussed t$e M+" design for t$e $ydel project wit$ t$e system design specifications already mentioned. #$e w$ole project $as )een divided into construction segments. #$e data file for t$e different activities $as already )een attac$ed wit$. ,s per my design all t$e activities e.g. re%uirement of t$e materials, t$eir consumption, t$e duration of t$e activities, t$e manpower re%uired $as )een segregated so as to avoid all confusions regarding t$e cost factor and consumption of materials. + $ave designed t$e specifications for t$e contractors and ot$er outside agencies as well e.g. t$e time sc$edule of t$e work t$ey will $andle and t$e penalty clauses, if applica)le. + $ave designed my specifications of t$e materials stage wise. #$is will avoid any type of pilferage during t$e construction tenure of t$e project. #o t$e ma'imum + $ave tried in my design

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not to $ave e'cess storage of t$e materials as t$is leads to t$e wastage of materials like cement &)ecause of its setting action(, steel &rusting of steel( after t$e $anding over of t$e project. +n totality + conclude t$at my M+" design for t$e project is completely successful.

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