North South University

School Of Business
Summer 2011
Course: Production Management (MGT 314.1)

Group Project: Rahimafrooz Batteries Ltd. (RBL)

Prepared for:
Mr. Adeyl Khan (Ayn) Honorable Faculty North south university

Prepared by: Nexus

TanzinaMahmoodAuditi Farah TajneenAlam Minhaz Isa Hossain Shukh Kaiser RajibKundu Atia Afrin ID# 081 911 030 ID# 073 363 530 ID# 073 522 030 ID# 071 737 030 ID# 071 731 530 ID# 073 655 030

Page | 1

Letter of Transmittal
August 10th, 2011 To Mr. Adeyl Khan Honorable Faculty School of Business North South University Basundhara Residential Area, Dhaka. Sub: Submission of project report Sir, We are glad to meet the deadline to submit our project report. Here we tried to discuss the manufacturing of the Rahimafrooz Batteries and the steps and resources involved in the production process. We tried to enrich the project paper with whatever knowledge we had from the perspective of our course. While doing the project we found similarities with our study materials that made us understand the course contents very clearly and we enjoyed a lot doing the report. Please find the concerned report attached to this letter. If you have any kind of inquiry regarding our work, we would highly appreciate if you feel free to address us. Sincerely, TanzinaMahmoodAuditi (Coordinator, Cell-01675-188528, e-mail: tanzina_auditi@yahoo.com) Members Farah TajneenAlam Minhaz Isa Hossain RajibKundu Shukh Kaiser Atia Afrin

Page | 2

ACKNOWLEDGEMENT

First of all we are grateful to Almighty Allah for enabling us to work on this report and for making the circumstances favorable to accomplish our task.

We also wish to thank our honorable faculty Mr. Adeyl Khan for assigning us the project and for all his kind support to accomplish it. The project intends to develop a report on the production process of automotive batteries in Rahimafrooz batteries limited. This was done under the course curriculum of MGT 314,operations management.

We also wish to thank and give the due respect to our family and friends for their cordial support and help they offered throughout the process of preparing the whole report. Without them, favorable circumstances could have been impossible to found by us. We want to thank all of the people who were with us while we were doing this report.

Page | 3

Executive Memo
Over the decades, Rahimafrooz has grown in size, scale, and diversity. The Group today has Eight Operating Companies (SBUs), a few other business ventures, and a non-profit social enterprise. As of 2009, the Group currently employs more than two thousand people directly and a further twenty thousand indirectly as suppliers contractors, dealers and retailers. Rahimafrooz operates in four broad segments Storage Power, Automotive and Electronics Division, Energy, retail.

Rahimafrooz has strengthened our market leadership at home while reaching out to international markets. Ranging from automotive after-market products, energy and power solutions, to a world class retail chain the team at Rahimafrooz is committed to ensuring the best in quality standards and living the Groups five core values Integrity, Excellence, Customer Delight , Innovation, Inspiring people. Rahimafrooz Batteries Ltd. (RBL) is the largest lead-acid battery manufacturer in Bangladesh. The company is one of the leading regional players, with market leadership at home and export endeavours to more than 44 countries around the world. It manufactures about 200 different varieties of batteries for automotive, motorcycle, IPS and other applications in its factory located at West Panisail, Zirani Bazaar, Gazipur. The Company maintains high standards of operations, which are certified in both ISO 9001 as well as ISO 14001 standards. Furthermore, in order to ensure occupational health and safety of its employees, the company has also implemented the occupational health and safety management system, OSHAS 18001 standard.

The expertise and reputation of Rahimafrooz as a manufacturer of quality batteries locally and internationally has inspired the Group to invest in setting up a new battery factory at Ishwardi EPZ to cater to the growing potential in the international battery market. As part of the same strategy, the Group recently decided to spin-off the Industrial Battery manufacturing facilities of RBL as a separate business unit, moving to a new factory in Savar. As a result of these initiatives, RBL will now be able to devote more resources towards meeting the increasing demand of the local market.

Page | 4

Lucas and Spark are the leading names in the local automotive battery market while Volta, Optus and Delta are gaining equity as international brands. RBL has state of the art manufacturing plants. It is equipped with the latest technologies along with completeair treatment and lead-recycling management system. Its capacity in automotive and other appliance battery is over a million N50 units per annum and has provision for further expansions. Rahimafrooz has different technical collaboration agreements with the Lucas Battery Company, Technical support Group (TSG), Hawker Batteries, and Invensys, of UK, Eltek Norway and AEES France to ensure the quality of the battery. This report is to focus on the production of automotive batteries in the factory of Rahimafrooz.

Page | 5

Contents Introduction Product Description Materials Requirement Manufacturing Process Manufacturing layout Production Constraints Recommendations Conclusion References Appendix

Page # 7 8 10 11 13 14 15 16 17 18

Page | 6

INTRODUCTION

Automotive batteries are now days used in not only in vehicles, but also for getting power as backup. This is why the demand of this is increasing day by day. Rahimafrooz is top manufacturer of batteries in Bangladesh. They have their own production facility and equipments. They are highly organized and they maintain their production process with extensive care.

RBL use the traditional way to produce batteries. But they use quality equipments with quality workers who are adding value to the product by offering better quallity.People are buying their product as they found it reliable. RBL has established themselves as a brand in the market of automotive batteries.

Page | 7

PRODUCT DESCRIPTION:
Now a day, automotive battery is also used for IPS, UPS service. The batteries that Rahimafrooz produces are suitable for both automotive and home appliances use. An automotive battery is a type of rechargeable battery that supplies electric energy to an automobile. It is used power the starter motor, the lights, and the ignition system of a vehicles engine. An automotive battery may also be a traction battery used for the main power source of a vehicle. Now a day, automotive battery is also used for IPS, UPS service. The batteries that Rahimafrooz produces are suitable for both automotive and home appliances use. Automotive SLI batteries are usually lead-acid batteries, and are made of six galvanic cells in series to provide a 12 volt system. Each cell provides 2.1 volts for a total of 12.6 volt at full charge. Heavy vehicles such as highway trucks or tractors, often equipped with Diesel engines, may have two batteries in series for a 24 volt system, or may have parallel strings of batteries. Lead-acid batteries are made up of plates of lead and separate plates of lead dioxide, which are submerged into an electrolyte solution of about 35% sulfuric acid and 65% water. This causes a chemical reaction that releases electrons, allowing them to flow through conductors to produce electricity. As the battery discharges, the acid of the electrolyte reacts with the materials of the plates, changing their surface to lead sulfate. When the battery is recharged, the chemical reaction is reversed: the lead sulfate reforms into lead oxide and lead. With the plates restored to their original condition, the process may now be repeated. Lead-acid batteries for automotive use are made with slightly different construction techniques, depending on the application of the battery. The "flooded cell" type, indicating liquid electrolyte, is typically inexpensive and long-lasting, but requires more maintenance and can spill or leak.

Page | 8

Flooded batteries are distinguished by the removable caps that allow for the electrolyte to be tested and maintained. More costly alternatives to flooded batteries are "Sealed" or "Valve regulated" battery of the absorbed glass mat (AGM) type which uses a glass mat separator, and a "gel cell" uses fine powder to absorb and immobilize the sulfuric acid electrolyte. These batteries are not serviceable (typically termed "maintenance-free") and do not require replenishment of electrolyte under normal use. Both types of sealed batteries may be used in some automotive applications where leakage is a concern. However, this article deals with the classic, flooded-type of car battery. The starting (cranking) or shallow cycle type is designed to deliver large bursts of power for a short time, as is needed to start an engine. Once the engine is started, the battery is recharged by the engine-driven charging system. Starting batteries are intended to have a low depth of discharge on each use. They are constructed of many thin plates with thin separators between the plates, and may have a higher specific gravity electrolyte to reduce internal resistance.

Page | 9

MATERIALS REQUIRED FOR MANUFACTURING

Batteries are made of five basic components:

y y y y y

A resilient plastic container. Positive and negative internal plates made of lead. Plate separators made of porous synthetic material. Electrolyte, a dilute solution of sulfuric acid and water, better known as battery acid. Lead terminals, the connection point between the battery and whatever it powers.

All these materials are required for the production of a battery. They used to import these materials from abroad. Later on they do the assembly of these products in this factory.

Page | 10

MANUFACTURING PROCESS:
Overall manufacturing process is dived into six steps.Rahimafroz designed their manufacturing plant in a systematic way where this six steps are done one by one. They follow the universal manufacturing process. The detail description of what happens in which stage are given below.  Step 1:The manufacturing process begins with the production of a plastic container and cover. Most automotive battery containers and their covers are made of polypropylene. For a typical 12-volt car battery, the case is divided into six sections, or cells, shaped somewhat like one row in an ice-cube tray. The cover is dropped on and sealed when the battery is finished.

 Step 2:The process continues with the manufacture of grids or plates from lead or an alloy of lead and other metals. A battery must have positive and negative plates to conduct a charge.

 Step 3:A paste mixture of lead oxide which is powdered lead and other materials like sulfuric acid and water is applied to the grids. Expander material made of powdered sulfates is added to the paste to produce negative plates. Inside the battery, the pasted positive and negative plates must be separated to prevent short circuits. Separators are thin sheets of porous, insulating material used as spacers between the positive and negative plates. Fine pores in the separators allow electrical current to flow between the plates while preventing short circuits

Page | 11

 Step 4: In the next step, a positive plate is paired with a negative plate and a separator. This unit is called an element, and there is one element per battery cell, or compartment in the container. Elements are dropped into the cells in the battery case. The cells are connected with a metal that conducts electricity. The lead terminals, or posts, are then welded on. The battery is then filled with electrolyte - or battery acid -- a mixture of sulfuric acid and water, and the cover is attached. The battery is checked for leaks.

 Step 5: The final step is charging, or finishing. During this step, the battery terminals are connected to a source of electricity and the battery is charged for many hours. When the battery is fully charged, it moves to another line where the case is cleaned, if necessary, and the labels are attached.

Page | 12

LAYOUT OF MANUFACTURING
The layout that is used by RBL is a product layout.

Step 1

Step 2

Step 3

Step 4

Step 5

Production process begins with production of the cover and container

Manufacture of grids or plates from lead or an alloy of lead and other metals

A paste mixture of lead oxide is applied to the grids

A positive plate is paired with a negative plate and a separator

Charging, packaging and labeling

As the company use product layout, they need to complete the steps one by one, Before completing one step, the workers cant go for the next one.

Page | 13

PRODUCTION CONSTRAINTS

Any kind of production process has to go through some sort of difficulties. Rahimafrooz has no exception on their production process. They also have to go through some troubles while producing batteries. Following problems Rahimafrooz has to face during the production process. None of them are that much severe. But they reduce the production efficiency sometimes.

Shorted cell due to failure of the separator between the positive and negative plates Shorted cell or cells due to buildup of shed plate material building up below the plates of the cell

Broken internal connections due to corrosion Broken plates due to vibration and corrosion Low electrolyte Cracked or broken case Broken terminals Sulfating after prolonged disuse in a low or zero charged state

Page | 14

RECOMMENDATIONS
As the demand is high for the automotive battery, Rahimafrooz should improve their production process to enhance their production of battery. Whileautomotive batteries are being used in other purposes too, following steps can be followed by RBL to enhance their production.  Find out ways to remove or reduce the production constraints.  Increase number of employees for production.  Improve the production facility with more production equipment.  Try out some other production layout to check whether it can improve the production quantity more.  Reducing bottlenecks. They should allocate more workers for those steps which requires more time to reduce the time to manufacture a complete battery.

Page | 15

CONCLUSION
So this was all about the production process of automotive battery in Rahimafrooz batteries factory. Currently they are producing well and a steady production rate is being maintained. But still there are some problems that have been faced by them. If those can be removed, they will be able to get more production. In this situation where Rahimafrooz is leading the market in Bangladesh as battery manufacturer, they need to retain the consumer satisfaction. As the demand will go up, they will need to increase the production. This can be done easily without setting up new plant if they can reduce the constraints which are wasting some of their resources now. This is what Rahimafrooz should focus on now.

Page | 16

REFERENCES
 (n.a.).(n.d.). Rahimafrooz official website, retrieved on August 5th ,from

http://www.rahimafrooz.com/Portals/tabid/62/Default.aspx  (n.a.).(n.d.). Automotive battery , retrieved on August 5th,from

http://en.wikipedia.org/wiki/Automotive_battery

Page | 17

APPENDIX

Page | 18

Company Profile Template

Name of the Company Address: Rahimafrooz Batteries Ltd. Rahimafrooz Batteries Limited 705 Nakhalpara, Tejgaon, Dhaka 1215 Tel: 9113696, 9113522 Fax: 8115305, 9126968 Parent Company (if any) Subsidiaries, Associates, and/or Overseas Rep(s) (if any) Rahimafrooz Group

Rahimafrooz (Bangladesh) Ltd. Rahimafrooz Accumulators Ltd. Rahimafrooz Batteries Ltd. Rahimafrooz Globatt Ltd. Rahimafrooz Distribution Ltd. Rahimafrooz CNG Ltd. Rahimafrooz Renewable Energy Ltd. Rahimafrooz Energy Services Ltd. Rahimafrooz Superstores Ltd.

Type of organization Type of Business

Corporation- Private Manufacturer Retailer

When established?

April 15, 1954

Page | 19

Recent changes in company or affecting company? (e.g. changing markets, technology, labour force) Current priorities, main issues? Business Model: (e.g. Centralized, Decentralized, retail, home based, office bound) Organizational Structure

Be the market leader in the sectors they are involved. Decentralized. They has different departments to maintain different business sectors. Traditional

Major business Power and energy activities ( basic products and services offered) Primary/priority markets? Local market. General consumers

Changes to Product portfolio has been developed. markets/product range in past few years? Major Customers (current) General people who need power sources.

Vision Statement: Mission Statement: Values: (e.g. General guiding policies that are to govern all activities Business Goals and Objectives) Business Strategy: Diversification) (e.g. No diversification. Their focus is on better product offering. Enriching lives with your trust

Economic Intent: (e.g. Profit making by offering quality product with added value and Intent of the organization, service. profit making, non for profit making, investment, speculation) Value Chain: (break down Value is added through quality products. value)

Page | 20

Accreditations (e.g. Rahimafrooz Batteries has achieved all the certification of ISO. Standard Operating Procedures, ISO)? Workforce No. Of full-time employees : 500 No. Of part-time employees: 100 Contractors (% of workforce) Casual staff (% of workforce):50

Average length of service

Full time Part time Managers Line workers

15-20years Less than a year 15-20years 5-10years Graduates HSC Masters Degree

Average Qualifications/educational background:

Full time Part time Managers Line workers

Recruitment processes Full time used? (e.g. word of mouth) Part time Managers Line workers

Traditional Interview Traditional Interview Traditional Interview Skill test

Page | 21

Key processes, work areas, Name: teams relevant to your project Assembly line

Size:

Hours of Structure work/shifts: supervision: 8hours Line manager

of

100people

Page | 22