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Prakash & Amol

DSA Electro Controls Pvt Ltd
2/3/2011
Synopsis
Supply chain plays vital role in each and every sector and there is huge cost is involved in
processes. With the help of various tools the company can save huge cost as every saving in cost
adds to the bottom line and improves the profitability of the company. With the effective use of
supply chain network various companies like WALMART, DELL, Ford Motors have been the
market leaders in the various industries like automobiles, electronics and retails. The supply
chain is applicable in every sector and the project deals with the study and design of the various
supply chain components. The project mainly focuses on the vendor reduction, Customer
evaluation, Study of the manufacturing Processes at DSA Electro Controls Ltd.

Objective of the study

1. Study of the various manuals at DSA Electro Controls Ltd.

2. Product Portfolio

3. Study of Suppliers

4. Classification Of suppliers using ABC Analysis

5. Classification Based on the Value Contribution and the Criticality

6. Study of the Customers and their classification.

Limitations of the study

1. The data is collected for the last year only for the suppliers analysis

2. The study mainly focuses on the inbound logistics of the organization

Scheme of Dissertation
1. Introduction to Supply Chain Management

2. Company Profile

3. Product Portfolio

4. Study Of manuals and departmental Procedures

5. Suppliers classification on the grounds of value and criticality

6. Customers Classification

7. Recommendations

8. Conclusion
Chap 1 Introduction to supply chain Management1

Supply chains encompass the companies and the business activities needed to design,
make, deliver, and use a product or service. Businesses depend on their supply chains to provide
them with what they need to survive and thrive. Every business fits into one or more supply
chains and has a role to play in each of them. The pace of change and the uncertainty about how
markets will evolve has made it increasingly important for companies to be aware of the supply
chains they participate in and to understand the roles that they play. Those companies that learn
how to build and participate in strong supply chains will have a substantial competitive
advantage in their markets.

To ensure that the supply chain is operating as efficient as possible and generating the
highest level of customer satisfaction at the lowest cost, companies have adopted Supply Chain
Management processes and associated technology. Supply Chain Management has three levels of
activities that different parts of the company will focus on: strategic; tactical; and operational.

Strategic
At this level, company management will be looking to high level strategic decisions
concerning the whole organization, such as the size and location of manufacturing sites,
partnerships with suppliers, products to be manufactured and sales markets.

Tactical
Tactical decisions focus on adopting measures that will produce cost benefits such as
using industry best practices, developing a purchasing strategy with favored suppliers, working
with logistics companies to develop cost effect transportation and developing warehouse
strategies to reduce the cost of storing inventory.

Operational
Decisions at this level are made each day in businesses that affect how the products
move along the supply chain. Operational decisions involve making schedule changes to

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production, purchasing agreements with suppliers, taking orders from customers and moving
products in the warehouse.

Elements of supply chain2

A simple supply chain is made up of several elements that are linked by the movement of
products along it. The supply chain starts and ends with the customer.

Customer

The customer starts the chain of events when they decide to purchase a product that has
been offered for sale by a company. The customer contacts the sales department of the company,
which enters the sales order for a specific quantity to be delivered on a specific date. If the
product has to be manufactured, the sales order will include a requirement that needs to be
fulfilled by the production facility.

Planning

The requirement triggered by the customer’s sales order will be combined with other
orders. The planning department will create a production plan to produce the products to fulfill
the customer’s orders. To manufacture the products the company will then have to purchase the
raw materials needed.

Purchasing

The purchasing department receives a list of raw materials and services required by the
production department to complete the customer’s orders. The purchasing department sends
purchase orders to selected suppliers to deliver the necessary raw materials to the manufacturing
site on the required date.

Inventory

The raw materials are received from the suppliers, checked for quality and accuracy and
moved into the warehouse. The supplier will then send an invoice to the company for the items
they delivered. The raw materials are stored until they are required by the production department.

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Production

Based on a production plan, the raw materials are moved inventory to the production
area. The finished products ordered by the customer are manufactured using the raw materials
purchased from suppliers. After the items have been completed and tested, they are stored back
in the warehouse prior to delivery to the customer.

Transportation

When the finished product arrives in the warehouse, the shipping department determines
the most efficient method to ship the products so that they are delivered on or before the date
specified by the customer. When the goods are received by the customer, the company will send
an invoice for the delivered products.

Information
For a customer to demand a product, information about the product must reach to him
first. Demand can only be generated in a customer if he is aware of the existence of the product
in the first place. The information flow that goes on in supply chain management also involves
the different channel partners communicating various needs and data amongst themselves, so as
to enhance the ultimate goal of customer satisfaction.
Company Profile

Industry Overview3
Compare the skyline of any metro with what it was five years ago and you will
understand why people want to be in the elevator business in India. With the rapid level of
urbanisation in India, not only have tall cities grown taller, even small towns have taken a
vertical orientation.

So be it the older international elevators majors like Otis, Schindler, Kone, recent players
like Fujitec and Hitachi , large domestic players like Johnson or even the small regional players
who have mushroomed in areas like Gujarat and Western India—every one wants a bigger slice
of the Indian elevator pie.

According to a report by e-Research and Publications, a specialist research outfit engaged

in Indian and International Market research on the “Elevator and Escalator market in India to
2014”, the elevator market in India was estimated at around 31,000 units in 2008 and was valued
at around Rs 3,600 crore.

Despite a mild setback in 2009, it is now expected to grow at a CAGR of 13.9%. Which
means, that the numbers could touch as much as 54,500 units in 2014?

As far as industry sources are concerned, most companies are banking on the growth of
the residential segment, which already accounts for over 60% of elevator sales in India and is
expected to grow to 65% by 2014. Interestingly, however, even as the residential segment is
pegged to grow, the commercial segment, which accounted for about 24% of sales in 2008, is
likely to account for only 19.8% of the market by 2014. However, the share of
industrial/infrastructure segment is expected to rise from 14% in 2008 to 15.3% by 2014.

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market-to-touch-54500-units-in-2014-Report/articleshow/6242568.cms
About DSA Electro Controls Pvt Ltd.4

DSA ELECTRO CONTROLS PVT. LTD. was incorporated in the year 1996 by taking over a
partnership firm DSA ELECTRO CONTROLS as an ongoing concern.

The main promoter Mr. Ashok Subhedar, having completed engineering in Electrical,
served M/s Larsen & Toubro Ltd in their Switchgear Design Department for a short while
between 1982 - 1984, before venturing into Shipping Industry, Aqua Culture, Hospitality and
allied activities.

Since inception, the core value of DSA has been Quality in every aspect of business. May
it be application engineering, product development, engineering services, manufacturing services
and after sales service. Everything revolves around the watchword, Quality and has been
extended to the World Class Manufacturing Set Up in a remote place, Wada - Thane District in
Maharashtra, near Mumbai.

The core philosophy has always been FOR THE BENEFIT OF MANKIND.

The company encourages education, training for high skill jobs, continuous upgradation
of resources, pursues Six Sigma practice, all this driven by the Top Management. Defining
Quality Objectives, involve discussion with Core Team to take the company to the next level.
Weekly meetings are conducted for production planning, Engineering Improvements, Process
improvement. The Top Management attends monthly review meeting. A unique way of
Corrective Action Request and Relentless Root Cause Analysis has today ensured near zero
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defects in end products. The best example has been Controllers for Number One Elevator
Company in the world "OTIS" with zero defects over past 15 years with complete traceability
upto operator level. The same is true for ABB where over 40,000 Remote Load Management
Units were supplied and Siemens where Railway products demand 40 years virtual life
guarantee. The company manufactured highest number of Power Control Centre's per month for
L & T, with least quality issues.

DSA believes in partnership with its clients, suppliers, employees, labour union,
consultants, training institutes, bankers, financial institutions and local villagers. Firmly
believing in Best Ethical practices, the company has been retained by all its clients for many
prestigious projects. One of the most crucial jobs for Mazagon Docks Ltd (Indian Navy) was first
time in India, executed by DSA. Almost all clients have placed long term orders on the company
extending over two to three years in advance. It is imperative to keep key members empowered
to take decisions on the spot and all Team Members are today proud to be associated with DSA
undertaking many prestigious projects including long term Defense Jobs for the Country.

DSA strongly believes in systematic approach to any situation and it is evident through
well laid processes and practices explained in the next pages. A record of 18440 RLM Units for
ABB Ltd for their prestigious project from BESCOM - Karnataka in 100 days has created
history. This was possible only due to system success.

ONLINE training is a continuous phenomenon while each member undergoes a

minimum of 20 hours of technical training and grooming each year so as to be upgraded. A daily
morning meeting ensures sharing of happenings and weekly meeting for sharing new thoughts
and problem solving techniques. Selected members also undergo, external training including
overseas. One can find each Team Member buoyant with energy and charged to deliver World
Class Products. The average age of DSA Team Members is 26 years.

With a clear focus on customer satisfaction, DSA has evolved a system which has today
resulted into being a GREEN CHANNEL partner with all its clients and no customer inspects
end product. They come only for process audit.

Being synonymous to Quality, DSA invests heavily in up-gradation of its plant and
machinery as well as training its Team Members with a long term goal to LEAD. A new
initiative as enabled DSA to develop its own products for the elevator and power sector. DSA
believes in inorganic growth through collaborations, Joint Ventures as well as strategic
acquisitions in near future. A New Joint Venture Company is already in formation along with
Prisma SpA, Italy for Automatic Doors for the Elevator Industry.

DSA strongly believes in Investment in Workforce and through Human Resource

Development activities it helps its members for career planning with the company. The attrition
rate has always been below 3%. With a firm commitment to esteemed clients, for investment in
new plant and machinery, expansions, more and more new projects are already coming to DSA.

The Company is ISO 9001 - 2000 certified and also ISO 3834 - 2 certified for Welding
Standards.

The company is rated as SB-2 with State Bank of India (Industrial Finance Branch) and
SME-2 by CRISIL for past two consecutive years.

Today

DSA has a World Class factory spread over 15 acres of land and with construction of
over one lakh square feet building at Wada, Thane District near Mumbai.

1. A Corporate office at MIDC - Andheri (east), Mumbai, admeasuring 10000 square feet.

2. A new factory at Nashik admeasuring 26000 square feet.

3. Proposed set up at Coimbatore on land admeasuring 18 Acres.

New business ventures

1. Joint Venture with PRISMA DSA INDUSTRIES (I) PVT LTD

DSA has already proved capability to deliver World Class Quality products and now has set
eyes to reach Global scales of operation while remaining a Very Indian Company.
Awards and accolades

The company received the First Prize Award from District Industries Centre, Thane in the
year 2005, for maximum local employment, best set up, best financial performance and for
abiding by all statutory regulations and paying all taxes ON TIME.

The company also received First Prize from MCED, Maharashtra State and a Letter of
Appreciation from the Commissioner Of Central Excise for being prompt and highest Tax Payer
from the region.

To add to accolades, the company received 1st prize from Siemens (India) Ltd as Best
Vendor - Partner and proudly considered the Best Quality Vendor by Mazagon Dock Limited for
the most prestigious project for Indian Navy.

Company has received IEEMA SME QUALITY CERTIFICATE 2009 from IEEMA for
Strong Commitment Quality Systems in Medium Enterprises Category.
Product Portfolio at DSA Electro Controls Pvt Ltd.5

1. Elevator and Control Panels

SMD designed, microprocessor based

Main Control board.

Optically isolated inputs and outputs with

LED indication.

The iSMART Controller can be interfaced

with any VVVF drive.

2-line LCD display test tool for main

control board for parameter programming
and Field test.

On line operation status

a. VF Controllers

b. MRL Controller

c. TANSA - Serial Comm. Controller

d. Emergency Light

e. Automatic Rescue Device

f. COP

g. HOP

h. Automatic Doors - PRISMA DSA

2. Fabrication (Cutting, Bending,

Welding)
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3. Wire Harnesses & Cable Bunches

4. Waterjet Cutting Facility

This machine is first of it's kind in India with two 2D cutting heads and one 3D cutting head.

DSA is the sole distributor of M/s.H.G.Ridder Automatisierungs GmbH make water jet
machine for ASIA region.
Technology

High pressure water jet cutting technology is the alternative to thermal cutting technology.
Pressures up to 4000 bar are generated.

In pure water cutting technology materials are cut by a jet of ordinary water.

In abrasive cutting technology materials are cut by a jet of water and an abrasive medium.

It can

a. Cut any material upto 200mm thick.

b. 5 Axis cutting head.

c. For defense applications, ATM machine cabinets, Pharmaceutical industry,

elevator cabins & eneumerous architectural needs.
Study of manuals and departmental Procedures
Supplier’s classification on the grounds of value and
criticality
Customers Classification
Recommendations
Conclusion
Appendix
WEBLIOGRAPHY-

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