Logistics in Fact

Logistics in Fact

1. INTRODUCTION Fertilizers and chemicals Ltd, popularly known as FACT, is the first large scale fertilizer manufacturer in India. The bulk movement of raw materials ships to their storage areas and reclamation of these materials to their different plants at various sites is a tedious and expensive task, for which different material handling systems and equipments are being made use of. Based upon the principles of Material Handling Institute (MHI) of U. S a detailed study of the material handling systems and its analysis was done for the belt conveyor system of FACT.

Fertilizers and Chemicals Travancore Ltd have their own Raw Material Handling systems at Q10 berth and Ammonia berth of Wellington Island, Kochi. The material handling systems at Q10 berth comprises a complex system of belt conveyors and pipe conveyors. The belt conveyors are used for the bulk movement of imported raw materials like Sulphur, Rock phosphate, etc, while pipe conveyors are used for the moment of Sulphuric acid, Phosphoric acid etc. Material handling involves the movement, protection, storage and the control of materials throughout the manufacturing and distribution process including their consumption and disposal.

The handling of material must be performed safely and efficiently at low cost in a timely manner accurately, without any damage. Conveyors are one of major economical means of bulk material handling. The cost of material handling is a significant portion of total production cost is estimating about 20 to 25% of total manufacturing labor cost. In this analysis of the material handling system, a detailed study of logistics management and belt conveyor system has been done. A special attention has been given for the enhancement analysis of belt conveyor system and possible solutions are recommended to the company. . INDUSTRY PROFILE Agriculture which accounts for the 1/5 of gross domestic products provides sustenance to 2/3 of our population, besides it provides crucial background, and forward linkages to the economy. Successive five years plan have laid stress on self-sufficiency, and self reliance in food grains production and concerted efforts in this direction have resulted in substantial increase in agriculture production and productivity is clear from the fact that from a very modest level of 52 million MT in 1952 food grain rose to about 230. 78 million MT in 2008.

In India’s success in agriculture sector, not only in terms of meeting total requirements of food grains but also generating exportable surplus, the role played by chemical fertilizers, is well recognized and established. Keeping in view, the vital role played by chemical fertilizers in the success of India’s green revolution and consequent self-reliance in food-grain production, the government of India has been consistently pursuing policies conductive to increased availability and consumption of fertilizers in nutrient terms has increased from 0. lakhs MT in 1951-1952 to 225. 70 lakhs MT in 2007-2008, when the first manufacturing unit of single super phosphates (SSP) was set up in Ranipet in Chennai with an annual capacity of 6000 MT. The Fertilizers and Chemical Travancore Limited (FACT) and the Fertilizer Corporation of India (FCI) in Sindri in Bihar were the first large sized fertilizer plants set up in the forties and fifties with a view to establish an industrial base to achieve self-sufficiency in food grains.

Subsequently, green revolution in sixties gave an impetus to the growth of fertilizer industry in India and in 70s and 80s then witnessed a significant addition to the fertilizer production capacity. Out of the three main nutrients, namely Nitrogen, phosphate and potash required for various crops, indigenous raw materials are available mainly for nitrogenous fertilizers. The government policy was aimed at achieving the maximum possible degree of self-sufficiency in the production of nitrogenous fertilizers. The subsidy on fertilizers is passed on to the farmers in the form of subsidized maximum retail prices.

The increase in rate of subsidy, on fertilizers, combined with increase in consumption of fertilizers has led to a substantial increase in requirement of subsidy 3. OBJECTIVE OF THE STUDY The study is basically on the material handling systems that are being used for the raw material movements in the Q10 berth and also in the Cochin division, were the production process takes place. So the basic objectives of the study are: 1. To study about the logistics management in FACT 2. To study about conveyor belt system 3. PARETO CHART analysis on occurrence of faults on conveyor belt system 4.

Various methods for the enhancement of conveyor belt system 4. COMPANY PROFILE FACT India’s first large scale unit was set up in 1943. In 1947 FACT Udyogamandal started production of ammonium sulphate with an installed capacity of 10,000 MT nitrogen. FACT became Kerala state public sector enterprise on fifteenth august 1960 and twenty-first November 1962 the government of India became its major shareholder. The second stage of expansion of FACT was completed in 1962. The third stage of expansion of FACT was completed in 1965 with setting up of a new ammonia sulphate plant.

FACT engineering and design organization was set up on 24th July 1965 to meet the emerging needs for indigenous capabilities in vital areas of engineering, design and consultancy for establishing large and modern fertilizer plants. FEDO has since then diversified into chemicals, petrochemicals, hydrometallurgy, pharmaceuticals and other areas. FEDO offers services from project identification and evaluation stage to plant design, procurement, project management, site supervision and commissioning of new plants as well as revamping and modernization of old plants.

FACT engineering works (FEW) was established on 13th April 1966, as a unit to fabricate and install equipments for fertilizer plants. Over the years FEW developed capabilities in this fabrication of pressure vessels and heat exchangers . FEW have also undertaken lying of cross country piping and fabrication and installation of large penstock of hydro-projects. The Cochin division of FACT, the 2nd production unit was set up at Ambalamedu and the 1st phase was commissioned in 1973.

The 2nd Phase of FACT Cochin division was commissioned As a diversification plant from the traditional field of fertilizers and chemicals, 50000 TPA Caprolactum plant at Udyogamandal was commissioned in 1990. FACT set up 900 TPD ammonia plant at Udyogamandal at a cost of 638 crores following an order of the high court of Kerala in February 1994 on public interest itigation to decommission the Imported ammonia storage and handling facility at Wellington Island (Cochin port). The ammonia plant was commissioned in 1998. The company’s main business is manufacture and making of ) Fertilizer b) Caprolactum and engineering consultancy and fabrication of equipments. 5. MISSION OF THE COMPANY To function as a dependable and globally competitive producer of fertilizer and other allied products and to develop self reliance in the field of engineering and technology, especially in the field of fertilizers, chemicals, petrochemical, oil and gas industry. 6. VISION OF THE COMPANY To emerge as a leading company in the business of providing quality agriculture and industrial inputs and providing engineering source for industrial and infrastructural facilities. . OBJECTIVES OF FACT 1. To maintain optimum levels of efficiency and productivity in all activities. 2. To generate a reasonable rate of return on investment. 3. To continuously improve the plant and operational safety to achieve statutory pollution control standards. 4. To carry out R&D activities for recovery of useful material and products and improve the efficiency of fertilizers and chemicals. 5. Cost reduction and technology up gradation in order to compete with the rivals and to stay in the business. 6.

To invest in new business lines where profit can be made on a sustainable basis over the long term. 8. DIVISIONS OF FACT FEDO R & D TRAINING CENTER COMPUTER CENTER FEW COCHIN PETROHEMICAL UDYOGAMANDAL MANUFACTURING MARKETING ENGINEERING 9. 1 UDYOGAMANDAL DIVISION FACT commenced operation at Udyogamandal with the commissioning of 50,000 tons per annum Ammonium Sulphate Plant in 1947. In the decades that followed multi stage expansion programs were undertaken bringing in the latest technologies of the day which were quickly mastered and successfully implemented.

Today the division is 40 year old small capacity plants and 10 year old state of the art technology plants. The latest addition to this unit was 900 tons per day Ammonia Complex set up with an investment of RS 618 crores. FACT Udyogamandal division is certified to ISO 14001, the environmental system standards. 9. 2 THE COCHIN DIVISION The Cochin Division of FACT, the 2nd production unit was set up at Ambalamedu and the 1st phase was commissioned in 1973. The 2nd phase of FACT Cochin Division was commissioned in 1976.

The project was designed to produce high analysis would be converted to urea and also to produce Ammonia which would be converted to urea and also to produce high analysis, water soluble NP fertilizers. This division comprises of a number of a large capacity plants to produce Ammonia, Urea, Sulphuric acid, Phosphoric acid and fertilizers like Factomphos 20:20 and DAP 18-46. FACT has also a research and development department which carries out researches related to fertilizers. So far FACT R&D has taken 17 patents in areas like Sodium Fluoride,

Sulphuric acid and Ammonium Phosphate. 8. 3 PETROCHEMICAL DIVISION FACT diversified into petrochemicals in 1990 with the production of Caprolactum. This versatile petrochemical product is the raw material for the manufacture of nylone-6, which finds extensive application in textiles, tyre cord and engineering products. Thanks to its high quality, the product has been acknowledged as among the best in the world. The division is located adjacent to the Udyogamandal division. Co-product Ammonium Sulphate is transferred to the fertilizer plant of Udyogamandal division for processing. . 4 FACT ENGINEERING AND DESIGN ORGANISATION (FEDO) FEDO was established in 1965 to meet the emerging need for indigenous capabilities in vital areas of engineering, design and consultancy for establishing large and modern fertilizer plants. FEDO has since then diversified into petrochemicals and other areas also. It offers services from project identification and evaluation stage to plant design, project management, site supervision, commissioning and operating new plants as well as revamping and modernization of old plants.

FEDO received international accreditation ISO 9001-2004 for quality system standards, covering areas of consultancy, design and engineering services for construction of large scale fertilizer plants, chemical plants etc 8. 5 FACT ENGINEERING WORKS (FEW) It was established on 13th April 1966 as a unit to fabricate and install equipment for FACT’s own plants. Over the years it developed capabilities in the manufacture of class 1 pressure vessels, heat exchangers, rail mounted LPG tank wagons etc.

It has a well equipped workshop approved by Llyods Register of shipping; further this division has excelled in laying cross country piping fabrication and installation of large penstocks for hydel units in Kerala. 8. 6 MARKETING DIVISION The marketing division of FACT is located in Udhyogamandal which deals with the complete strategic data preparations and the implementation of the fertilizer marketing strategies to where, when and how much the goods should be produced and sent. The marketing Division has various departments viz Sales, Distribution, Marketing Research and Sale promotion. . MAJOR HAPPENINGS IN FACT 1943 — The company was incorporated at Travancore. The company is a public sector undertaking by the Govt. of India. — The main objects of the company is to manufacture fertilisers & chemicals. The products manufactured are Ammonium Sulphate, Ammonium Phosphate, Sulpher Phosphate, Ultrafos, NPX mixtures and Anhydrouse Ammonia, Sulphuric Acid, Ammonium Chloride, and Sulphur di oxide. 1963 –The company started its R&D centre to take imported activities. The Govt. pproved the setting up of a new fertilizer factory at Cochin with capacity of 200,000 tones of ammonia. 1982 –The company entered into an agreement with power gas corporation Ltd. U. K. for the exchange of technical knowhow developed by the company for the manufacture of Ammonium Sulphate from by-product Gypsum obtained from the Phosphoric acid plant. 1993 –FACT (Cochin Division) won the FAI award for best environment protection of an operating complex fertilizer plant. 1994 –FACT (Cochin Division) also won the Jawaharlal Nehru Memorial Award for Excellence in Indian Industries. – The Petrochemical Division was awarded the Certificate of Appreciation by the Kerala State Pollution Control Board. 1995 — The Consultancy Division of the Company has received international accreditation ISO 9001. 1996 — A 900 TPD Sulphuric Acid Plant is proposed to be set up at Ambalamedu to utilize the under-utilized capacity of the Phosphoric Acid Plant — The Company won the Ever Rolling Trophy of the Cochin Town Official Language Implementation Committee for the 6th year in succession. — FACT was awarded the Indian Institution of Industrial Engineering award for performance excellence for the year. 997 — The ammonia plant is set up with financial assistance from the Japanese Overseas Development Fund. — Cochin Division was also awarded the National Safety Council’s Award for Industrial Safety for safe handling of Ammonia and other raw materials at Willington Island. — FACT proposal to set up two captive power plants has got a further boost with the Union government deciding to allow private sector to install power plant in the factory. 1998 — The Company has entered into a MoU with the Union Government on its performance targets. 1999 – The company has to set up a new ammonia plant following a High Court directive to decommission FACT’s ammonia storage facility at Willington Island, Kochi. 2000 — The Company has signed a tripartite agreement with CDSL and Cameo Corporate Ser. Ltd. 2001 — Kerala’s crisis-stricken public sector giant, Fertilizers and Chemicals Travancore Ltd (FACT) will have a new helmsman from within the organization, TT Thomas, who was director (marketing) has been appointed acting chairman & managing director of the multi-division company headquartered at Udyogamandal. 2002 –FACT has announced VRS for which 428 employees have opted for. -FACT has informed BSE that Government of India, Ministry of Disinvestment has constituted an inter Ministerial Group for the purpose of disinvestment of 51% of stake of FACT. –Shri. P. R Balasubramanian has assumed the charge for the post of Chairman and Managing Director of Fertilizers and Chemical Travancore Ltd. –FACT Employees Association, affiliated to Bharatiya Kamghar Sena said that the corruption by the management has resulted in financial crisis of the FACT. –Government has invited Expression of Interest for the disinvestment of Fertilizers and Chemicals Travancore Ltd. 2003 -Fertilizers and Chemicals Travancore Ltd. , has closed down two of its plants at Cochin division due to fuel shortage and has also issued orders to shut down its plants at Kochi and Udyogamandal division. –Kochi Save Fact Action Committee has mooted a multi-stage co-operative society under MSCS Act 1984 to acquire Fertilizers and Chemicals Travancore Ltd. –The employees have initiated a snap strike as they were beaten up by the police and CISF. –IFFCO Managing Director, Mr Uday Shankar Awasthy visited FACT and has given positive response on the hopes of revival of the company. 2004 -With the January 10 deadline approaching and response to the VRS offer very poor, the management of Fertilizers and Chemicals Travancore (FACT) is considering diluting the conditions and introducing leave encashment to attract more workers. — Shri S Balan, Chairman & Managing Director, Rashtriya Chemicals & Fertilizers Ltd has assumed additional charge of the post of Chairman and Managing Director of the company. –Fertilizers and Chemicals Travancore Ltd (FACT) at nearby Udyogamandal has set up a grievance cell with a view to provide more services to the farming community -Fertilizers and Chemicals Travancore Ltd (FACT) has signed a `heads of agreement’ with Gail (India) Ltd for supply of LNG from the proposed terminal at Kochi for FACT’s fertilizer and petrochemical units 2006 –FACT to join hands with Syrian firm. 2008 –FACT signs MoU to make gypsum-based building materials 2009 — Fertilizers & Chemicals Travancore Ltd has informed that Shri A. Asokan, Director (Marketing) has taken over the additional charge of the post of Chairman and Managing Director (MD) of the Company with effect from December 01, 2009. 10. RAW MATERIALS IN FACT * Ammonia * Rock phosphate Sulphur * Phosphoric Acid * Sulphuric Acid 11. PRODUCTS Finished products * Ammonium Sulphate (UD) * Ammonium phosphate (UD & CD) * Caprolactum ( Petrochemical division) * Bio fertilizers (R&D division) * Complex fertilizers (UD & CD) * Factophos (UD & CD) Exported products * Caprolactum ( Petrochemical division) * Ammonium Sulphate (UD) By products * Nitric acid and soda ash ( Petrochemical division) * Gypsum (UD & CD) * Carbon dioxide gas ( UD) Intermediary products * Ammonia ( UD) * Synthesis gas ( UD) Sulphuric acid (UD & CD) * Oleum( UD) * Phosphoric Acid (UD & CD) 12. RESEARCH METHODOLOGY Problem Definition:- 1. To study about present logistics management process in FACT 2. To enhance the capacity of conveyor belt system 3. To effectively speed up the logistics process Developing researching plan:- In this stage both primary and secondary data were collected. Personal interview being the most versatile method was chosen as the contact method. Collecting the information:- In this stage both primary and secondary data were collected. Secondary data are those data that already exist in the company.

Primary data are freshly gathered information by interviews and constant interaction with the faculties in the company and researcher’s experience from the company. Literature review was another method used for getting more information about the subject. Analyzing the information:- The data are analyzed by tabulating them and developing frequency distributions. Presenting the findings:- The findings are presented by means of graphs and tabular columns Tools used:- Charts and diagrams are used to represent data collected from primary and secondary sources where ever it is required.

Limitations of the study:- * Time was a major limiting factor. * Primary data has been collected from the memory of the office employees. * Lack of co-operation from certain departments due to their work load. 13. LITERATURE REVIEW 14. 1 “LOGISTICS PLANNING FOR THE FERTILISER SECTOR” Dr. D. P. Patra (Jt. General Manager (Mktg) IFFCO As per Philips Kotler, Logistics is “Planning, Implementation and controlling the physical flow of material and final goods from the point of origin to the points of use to meet the customer needs.

During the marketing of fertilizers, a proper management of logistics is required for moving them from the plant or port to the consuming areas at the right time, in right quantity and in best conditions. So here logistics involves cover packaging, mode of transportation, handling, warehousing and channels of distribution. As per the statistical data available there is a huge gap between the consumption and production of fertilizers. This is supposed to increase in the coming years as there will be more import of urea and DAP.

In India fertilizer are mostly transported by rail and road, former being used for larger volumes and economical for longer distances. Road transportation is used for moving the fertilizers from 300kms from the plant. It is also found to be useful for moving fertilizers from rake point to field warehouses. Transport through waterways is seldom done. But this mode of transportation will be utilized in better way in coming future. Although fertilizer production is a continuous process its distribution is seasonal namely kharif and Rabi. So ware housing turns to be inevitable.

Storing of fertilizers is usually done by Central warehousing corporation, State warehousing corporation, Cooperatives and Private agencies. Most of the fertilizer are hygroscopic in nature i. e. , they tend to solidify if exposed to moisture. The nutrient value is also lost during moisture contamination. In order to prevent this fertilizer must be properly packed. Packing not only provides protection from moisture but also makes the transportation, handling and storage much easier. The e HDPE bags are used for packing. Handling of fertilizers is the controllable function of the marketing cost.

As the number of handling increases there is a chance of loss of weight of the material and damage of outlook of the bags. Through proper management efforts must be made to reduce the number of handlings. Marketing channels forms a link between the consumer and manufacturer. The selection of a right marketing channel is the most important, complex and challenging task for all business organizations. There are three types of channels for fertilizers in India- Institutional Agencies, Private Trade and Company owned outlets. Private trade accounts for the major marketing channel in India.

For effective logistics rationalization, the demand of fertilizers should be recorded month wise or district wise. the cropping area, irrigated / un-irrigated area, credit availability, introduction of new varieties, last year’s sale pattern, any new development in the area etc. should also assessed properly. Another important factor in logistics is the correct location of warehouses and the space needed to be hired. The fertilizers should be moved to warehouses before the start of the season. The fertilizer monitoring system (FMS) was launched in order to provide more transparency in the distribution and availability of fertilizers.

The government of India has communicated a month wise movement plan for the transport of fertilizers through FMS. It also provides a uniform freight payment and subsidy plan to the manufacturers. 14. 2 10 Ways to Optimize Conveyor Operations and Productivity” CISCO-Eagle * Maintenance of conveyor The conveyor should undergo regular maintenance in order to check the lubrication and replace the worn out parts on time. * Awareness about the frequent setbacks and their solutions If we know the commonly occurring crisis we can have their fixes in our hand and apply them as the need arises.

Sudden shutting down of the conveyor, accumulation of packages in one area of the conveyor, conveyor overload and kinks in the air lines are the usual obstacles seen in conveyer systems. * Know your load Due to lack in detailed information on load data and application objectives the conveyor exhibits poor performance and inflexibility. the size or form, shape and orientation of the load must be defined before placing it on the conveyor belt. * Employing energy saving controls and devices The efficiency of the conveyor can be increased by: -selecting the right motor -lubricating the conveyor switching of the conveyor automatically when not in use -usage of gravity feeds -powering the entire system with a single drive -replacing the worn-out conveyor * Proper selection and integration of vertical and horizontal conveyors For this, product characteristics, elevation change, number of in feed/discharge points, manual or automated in feed/discharge, interface with horizontal transport devices, proximity to workers, safety devices, environment, and future system requirements must be taken to account. * Trials for performance It includes visual inspection, function testing, load testing and finally rror recovery. * Safety is imperative Although conveyors are a safer method for the transport of materials it may also sometimes cause mishaps. Most of the injuries around conveyors occur while performing maintenance, lubrication, or other mechanical processes. * sketching conveyor workstations with ergonomics in mind A well-designed conveyor workstation eliminates risks and optimizes productivity. The two biggest factors are work surface height and reach distance. * Selection of right belting By selecting the appropriate belting the conveyor performance can be enhanced. Making conveyor technology upgrades Newer developments in conveyor designing are still going on. By adopting the correct technologies we can improve the production and distribution. 14. 3 PREVENTIVE MAINTENANCE IAPA The word preventive maintenance is used to describe a predetermined work performed to a schedule with the aim of preventing the wear and tear or sudden failure of equipment components. The main objectives of preventive maintenance are: * Protect assets and prolong the useful life of production equipment * Improve system reliability * Decrease cost of replacement Decreases system downtime * Reduce injury For successful maintenance the following measures should be adopted: -good reliability of the components -proper maintenance of equipment service record -replacement of the components when they are worn out -regularly scheduled lubrication programmes Some hazards are commonly seen during the maintenance activities. They are broadly divided into three-safety hazards,health hazards and ergonomic hazards. Safety hazards can be mechanical, electrical, pneumatic, hydraulic, thermal, combustion and falls from slippery floors or heights.

Health hazards occur either by chemically or physically ie by the unexpected reaction processes, dust or chemical agents or by physical agents like noise and vibration. Ergonomic hazards usually appear due to poor work or process design and biomechanical insufficiency. Maintenance hazards can be minimized to an extent by using adequate processes and equipments. 14. Raw Materials Department in FACT (RMD) Raw materials section is headed by Deputy CM (Materials) RM. The main function of Material section is procurement of raw materials like Sulphur, Rock phosphate, Ammonia, Phosphoric Acid.

Shipping office at Wellington Island also comes under this section. 15. CHALLENGES TO RAW MATERIAL PROCUREMENT 1. Scarcity of Raw materials 2. Sky rocketing prices 3. Shipping Problems 4. Working Capital crunch LOGISTICS MANAGEMENT IN FACT 16. CONVEYOR SYSTEM IN FACT The conveyor system in FACT is meant for unloading the raw materials like rock phosphate and Sulphur from the ships to loading hopper, storage house, silos through conveyors and reloaded into barge jettys from storage house. Materials can be directly loaded into barges and transported to FACT.

The conveyor system mainly consists of idlers, pulleys, drive, reducer, take up, skirt board, scraper etc. along with the safety devices that are incorporated in the belt conveyor in the form of pull chord switches, belt sway switches and zero speed switches. The installation of the belt conveyor begins with the proper positioning and alignment of structural. Prior to installation the machine should be stored in a clean dry place. The machined parts should have a protective coat of antirust or preservative which should not be taken off during normal storage period.

For the operation start loading the conveyor to attain the maximum specified capacity. The materials are fed on the belt without excessive impact and at uniform feed rate and run the conveyor belt system continuously for 8 hrs. The electric power required is AC at 480 volts, 3 phases, 50 Hz. Automatic take-ups are desirable to produce a convenient method of compensating for changes in the belt length due to variations in belt tensions which occur during starting, braking or when conveyor is partially loaded and operation in a manner that is considered abnormal.

The conveyor belting used in FACT is cotton rubber covered with carrying and return faces conforming to IS: 1891. 17. DIFFERENT TYPES OF CONVEYOR SYSTEMS Gravity Roller Conveyor This type of conveyor system is mainly designed for carrying high amount of load without fail. This is little bit expensive so not commonly used by companies. Gravity Skate Wheel Conveyor It is a low cost system for conveying lightweight cartons, tray etc. This is used extensively in shipping, receiving and assembly areas. This conveyor system reduces manual material handling of lightweight items over short distances.

Automated Belt Conveyor The main advantage of this system is that single units can be incorporated into gravity conveyor systems to create a simple low cost semi-automated system. Automated Roller Conveyor This is the automatic version of Gravity roller controller. This includes Zero-Pressure Accumulating Conveyor. Flexible Conveyor This type of system is used mainly in shipping and receiving operations for package handling. Flexible conveyor is usually anchored at one end to fixed gravity or automated conveyor allowing the other end to be expanded and flexed into trailers for loading and unloading.

High Volume Trailer Loading This shows an application of conveyor in high volume trailer loading/unloading. The section in the track in the floor automatically extends into the trailer during loading. Gravity Skate Wheel Conveyor Gravity Roller Conveyor Automated Belt ConveyorAutomated Roller Conveyor Flexible ConveyorHigh Volume Trailer Loading 18. CONVEYOR SYSTEM IN FACT Q10 BERTH The conveyor belt system in Q10 berth is a complex system of belt conveyors which consists of 22 conveyors of different lengths.

The width of the conveyor is 750mm, 1000mm; 1200mm. The conveyor belt is designated in 2 series: S and P series. The conveyors belong to S series are S1, S2, S3, S4, S5, S6, S7, S8, S9, S10, S11 and S12. The conveyors in the P series include P3A, P3B, P4, P6, P7A, P8A ,P8B and P9A. The raw materials are mainly procured from Morocco, Saudi Arabia, South Africa and Egypt. 18. 1 SUB SYSTEMS Sub-system 1 This sub system consists of the conveyors S1, S2, S3, P3A and S12. The function of this sub-system is the intake of sulphur or rock phosphate to the barges from the ship. Sub-system 2

The sub system 2 consists of the conveyors S1, S2, S3, P3B,P5A and P5B. The function of this sub system is the intake of the sulphur from the ship to the sulphur godown. Sub-system 3 This sub system consists of the conveyors S1, S2, S3, P3A and P4. The function of this sub system is the intake of the rock phosphate from the ship to the silos. Sub-system 4 This sub system consists of the conveyors P8A, P8B, S4, S5 and S6. The function of this sub system is the reclamation of sulphur from the sulphur godown to the barges to take the material to the different plants. Sub-system 5

This sub system consists of the conveyors P9A, P7, S8 and S9. The function of this sub system is the reclamation of rock phosphate from the rock godown to the barges to take the material to the different plants. Sub-system 6 This sub system consists of the conveyors P7A, S10 and S11. The function of this sub system is the reclamation of rock phosphate from the silos to the barges to take the material to the different plants. 18. 2 CONVEYOR BELT DETAILS NO| CONVEYOR| LENGTH(m)| WIDTH(m)| 1| S1| 192| 1. 2| 2| S2| 38. 7| 1. 2| 3| S3| 48. 2| 1. 2| 4| S4| 92. 4| 0. 75| 5| S5| 72| 0. 5| 6| S6| 30. 7| 0. 75| 7| S7| 90| 0. 75| 8| S8| 74| 0. 75| 9| S9| 31. 75| 0. 75| 10| S10| 89| 0. 75| 11| S11| 21| 0. 75| 12| S12| 17. 5| 0. 75| 13| P3A| 69. 2| 1. 00| 14| P3B| 139. 5| 1. 00| 15| P4| 169. 8| 1. 00| 16| P54| 14. 1| 1. 00| 17| P5B| 166. 5| 1. 00| 18| P6| 175| 1. 00| 19| P7A| 101| 0. 75| 20| P8A| 140| 0. 75| 21| P8B| 82| 0. 75| 22| P9A| 76| 0. 75| 18. 3 System specification i. Discharge rate capacity of the conveyor is 600 Ton/ hr ii. Per grab discharge rate is 10Ton for Sulphur and 12Ton for Rock phosphate iii. The entire length of conveyor belt is 1390. 5m iv. The electric power required is 480V,50Hz AC v. The ship unloader name is WMI SIEMENS MAN 19. PROCEDURE FOR THE UNLOADING PROCESS At first the ship authorities will give the initial draft readings of the ship to the respective in charge of the berth. The officer in charge will verify the readings and then give the permission for the unloading of raw materials. The ship authorities will say from which hatch and how much materials should be taken at a time in consideration with the draft readings. This is done so as to maintain the balance of the ship in the sea.

The unloading procedures are fully undertaken by the FACT employees itself. The speed and timing of the ship unloader can be controlled automatically. The grab which has a capacity of 10-12 TON/hr is used for this process. The grab is movable in sideways and can also rotate in some degrees to an extent. The ship unloader itself is movable and can move along the entire length of the ship for the process of grabbing. The arm of the grab has a length of about 28m. The grab speed is controllable using PLC system. From the grab the raw materials are discharged to the funnel shaped hopper eneath which a vibrator is placed for smooth flow of the material to the conveyor system. The opening of the funnel is to the S1 conveyor belt and it is carried down to the various godowns as per the schedule. The amount of load can be adjustable by controlling the opening of the funnel to the SI conveyor belt system. The material conveyed into the belt system is been carried to the sulphur godown and silo which are 2 in number and sometime directly to the barge with the help of a chute in order to increase the efficiency of the logistics system.

The ship which is carrying these raw materials may be in open condition most of the time, since the presence of water will not affect the quality and quantity of the raw materials in a big way. The unloading of phosphoric acid and ammonium which are coming to FACT is done through pipeline systems . The unloading happens into the 3 storage tanks which is there in the Q10 berth having a capacity of 3500 each. The liquid materials are coming in closed carriers. The pipeline system is flexible type and is usually removed to the storage godowns after the completion of unloading process.

If barges are available when the time of unloading, the liquid raw materials are directly discharged to the barges which carry a closed bullet for the transportation of these materials. From the godowns the raw materials are dispatched to the various divisions of the FACT according to their requirement via railways or road ways. * Capacity of Ammonia storage tank is: – 10000Ton * Capacity of Phosphoric Acid tank: – 3500Ton * 3 no. * Capacity of Rock Phosphate godown: – 3500T and 10000T * Capacity of Sulphur godown: – 12000T and 15000T Fig: SHIP UNLOADER IN Q10 BERTH 0. THE TRANSPORTATION OF RAW MATERIALS FROM GODOWNS TO BARGES AND VARIOUS DIVISIONS One method of movement of raw materials is the direct unloading to the barges with the help of a chute which is newly introduced after the S3 conveyor belt. The other way is to load the barge from the godown. This method is done when there is no ship in the port and the divisions require materials. The materials from the godown are being discharge to the reclamation conveyors which will carry the materials to the loading point on the barges with the help of pay loaders.

The pay loader is used to grab materials inside the godown which in turn put it into the bin which will lead to the reclamation conveyors that will carry the materials into the barges; There are 13 conveyors which act as the reclamation conveyors. The silos which are used for the storage of rock phosphate are working fully under the theory of gravity and hence no pay loaders are used for the transfer of materials to the conveyors. 20. 1 Transport of materials from WI to CD RAW MATERIAL| ROUTE| Ammonia| Truck, Rail| Sulphur| Truck,Barge| Rock Phosphate| Barge| Phosphoric Acid| Truck| 20. Transport of materials from WI to UD RAW MATERIAL| ROUTE| Sulphuric Acid| Truck| Sulphur| Truck| Rock Phosphate| Barge| Phosphoric Acid| Truck| 21. The RAW MATERIALS DEPARTMENT in Cochin Division FACT The raw material department of Cochin division is located in Ambalamugal. The materials that are transported from the Q10 berth is being unloaded and stored by using the same process of unloading that happened in the Q10 berth but using small machines. Here the unloader using is barge unloader. The unloading system in CD is Electric overhead Travelling Crane Barge unloader and Tata Friction Crane.

The discharge capacity is about 200T/hr and per grab discharge is 9T (EOT) and 3T (TFC). The materials that are been grabbed from the barge is been moved to the hopper which is opened to the conveyor system. Separate hopper and conveyor systems are provided for the unloading of Sulphur and rock phosphate to their respective godowns. The materials that are being transported to the different godowns are deposited in different parts of the godown with the help of a tripper system that runs through the top designed so as to prevent the materials from piling up in the same place.

There is also provision for the unloading and discharge of the acid that comes to the berth through acid carrying barges. This provision is been provided in separate unloading point. The process of getting the materials to their respective plant is taken place in the following way:- * The Sulphur which is store in the godown which has a capacity of 15000T is been discharged with the help of a pay loader into the bin and from there it is directly taken to the plant with the help of a conveyor system. The sulphur is passed through a process of powdering before it reaches the plant. The rock phosphate which is stored in the godown having a capacity of 3500T. Here dozing is done with the help of a conveyor belt system that runs through the underground of the storage system * The Phosphoric acid that comes in the barge is been connected to the pipeline on the berth and it been pumped directly to the storage tanks. It is been directly taken to the fertilizer plant for the preparation of the fertilizer. Fig: BARGE UNLOADER GRAB PAY LOADER 22. FINISHED GOODS TRANSPORTATION The bagging plant unit is situated inside the FACT premises only.

The bagging and loading of the Factomphos on to the wagon and trucks are carried out here. The bagging plant includes a bagging unit, a stitching unit, a loading unit and a railway system where the packaged bags are being shifter to trucks or wagons. The Factomphos which is coming out from the plant is carried out with the help of a conveyor belt system and is then the bagging happens in 50kg packs each. Here since the material flow is continuous the process should be carried out in a regular speed. So the speed of discharge of the product from the hopper to the conveyor system is controlled properly n accordance with the speed of the bagging. After that the bag is stitched manually with the help of a stitching machine and then they are transported to the bins or chutes from which they are passed on to the loading point. There are 8 railway lines inside the FACT and 2 shutting engines owned by the FACT to help the movement of materials to and from the FACT. There are totally 8 loading points are there and they are designed in such a way that more than 2 wagons are loaded at a particular time. One wagon takes about 1320 bags of fertilizers 23. PARETO CHART ANALYSIS

As the conveyor system in FACT is a complex system and requires proper maintenance and care, I had identified some of the problems which may affect the proper functioning of the system. They are the following: * Misalignment of motor with gearbox * Improper maintenance of belt to avoid swaying * Bearing failure * Wear and tear of idlers * Fluid coupling failure * Improper lubrication * Fire * Gear box repair The following table shows the average rate of occurrence of the various causes that lead to maintenance No| Reasons| Frequency per year| Cumulative frequency| Percentage occurrence| 1| Misalignment of motor with gearbox| 12| 44| 100| | Improper maintenance of belt| 10| 32| 72. 8| 3| Bearing failure| 7| 22| 50| 4| Wear and tear of idlers| 6| 15| 34| 5| Improper lubrication| 6| 8| 20| 6| Fluid coupling failure| 2| 3| 6. 8| 7| Fire| . 5| 1| 2. 3| 8| Gear box failure| . 5| . 5| 1. 13| 23. 1 PARETO CHART From the chart we can conclude that the main reasons for the failure of the systems are * Misalignment of motor with gearbox * Improper maintenance of belt 24. ENHANCEMENT OF THE LOGISTICS SYSTEM IN FACT 1. In order to find the optimal path for the conveyor system, Route Optimization Technique should be established.

This process will help to find the best path to allocate maximum resources within the limited constraints. 2. Availability of employees during the arrival of ship must be make sure so as to make the unloading process smoothly. Otherwise the company has to pay demurrage for the extra time the ship spent in the berth. 3. The system that exists now is a longer one in the Q10 berth which was previously used by the Q9 berth. So proper channeling should be done so as to increase the speed and this will also help in reducing power consumption. 4.

The implementation of new barge and ship unloader in the different units of the FACT should be done with more advanced ones which are now available in the market. 5. The number of barges should be increased so that more amounts of materials can be transported on a day. 6. Make sure that the direct unloading of materials will be happening whenever it is possible since this will help to optimize the power consumption and also maximize the rate of carrying of the materials. 7. The efficient use of railway transport system should be done since it provides the safest and cheapest way of transportation. . The present capacity of the godown is only 10000T. When excess raw materials arrive from the international market, they are stored outside to the godown. The problem it leads to is the wastage of raw material when it’s being retrieved. It also hampers the quality of the raw material but to a very lesser extent. 9. Presently the conveyor system is supported upon steel and cast iron supports. Since the conveyor system is located at the sea shore the chances of corrosion of the support structures are very high and as a result huge amount of money has to be spending to keep the corrosion under check.

An ideal method of eradicating corrosion is by converting the support system to concrete structure. 10. Preventive maintenance should be taken care so as to improve the efficiency of the whole system 25. CONCLUSION One extremely encouraging aspect of the contemporary logistics is the productivity potential that can be realized from capital investment in material handling equipments. Logistics management is hugely supported by the conveyors mainly in the shipping and receiving operatios, so proper maintenance of the conveyor system must be done regularly so as to get good performance from the system.

So for this purpose all the companies should give more importance to the Preventive maintanence process . Another aspect is the use of waterways rather than road ways. This provides safer path and also will help to minimize the risk and cost of transportation. The study mainly deals with the various logistics operations and the use of conveyor belt system in raw material handling process. After observing the operations of the system, several problems were identified and suitable recommendations were also put forward to the company for the enhancement of the logistics system. 26. REFERENCES www. fact. org * www. logistics. com * http://www. idcon. com/preventive-maintenance. htm * www. iapa. ca/pdf/prevent. pdf * www. sole. org/… /LogMgmtProfessionalizationProgram-9-16-05. pdf * http://www. ehow. com/how-does_5592096_tripper-conveyor-works. html * Logistics planning for fertilizer sector– Dr. D P PATRA(. Pdf) * 10 ways to optimize conveyor operations And production – CISCO EAGLE (. Pdf) * Preventive maintenance – IAPA (. Pdf) * http://www. scribd. com/doc/12504805/Organisational-Study-at-FACT- Udyogamandalam * Company Journals * Department files

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