6. Introduction
6
Atlas Honda Limited is a joint venture between the Atlas
Group and Honda Motor Co., Japan. Both these motorcycle
manufacturing concerns were established by the Atlas
Group. Atlas Honda Limited manufactures and markets
Honda motorcycles in collaboration with Honda Motor
Company.
7. Plant Departments
7
Atlas Honda follows Process Layout.
They have different sections of different operations some
of which are:
Casting Plant
Paint Shop
HR Department
Finance & Accounts
IT Department
Logistics
Vendor Procurement
Maintenance
Store
QC Department
Manufacturing Plant
Assembly Plant
Engine Plant
9. Management
9
It is a skill of personal will and humility towards the
profession through which a person can lead any institute
or organization with well organized manner.
10. Management system
10
In Honda Atlas the Management Style is Benevolent
autocracy, Which means the employs are expected to be
loyal and co-operative in production. The behavior of top
management with the employs is decent and kind but
decision making is centralized.
11. Organization…??
11
An Organization is firm which born when a group of
persons work on a common goal. Honda is a Private
Limited Company. Two or more person can form this type
of company and Govt. does not interference the working
of the system.
12. Atlas Honda Plants Location
12
Atlas Honda have two main plants in Pakistan.
One is in Karachi and the other one on Sheikhupura
Road
They manufacture Only CD70 in Karachi, while in
Sheikhupura Plant they manufacture all of their models
i.e. CD70, CD100, CD125, and CD125 Deluxe.
13. Plant Locations RESONS
13
Further more the reason of there more production in
Shiekhupura Road. They could also have made there plant
in other place then this, but another reason is that they
have the most demand in Punjab all over Pakistan.
Most of there Vendors & Sub Contractors are also from
Lahore and Shiekhupura so there availability also counts a
lot.
14. Plant Locations RESONS…
14
The reason of manufacturing only One model in Karachi is
the plant location as well the demand in Karachi.
As we all know that street crimes and car snatching are
very common in Karachi. So they prefer to have the
cheapest of the motorcycles.
15. Effect of Location
15
Human resources
Infra Structure
Industrial Culture
Material Resources
Energy
18. Process layout
18
In process layout the machines are grouped on the
bases of function in atlas Honda process layout has
used
19. Process Layout ….
19
PROCESS NO. OPTION OPERATION DESCRIPTION
1 Cutting & Molding Die cutting of metal sheets & shaping of cut parts
2 Die Casting Casting of aluminum parts
3 Welding & Grinding Joining of sheet Metal Parts & Grinding of welds & seams.
4 Machining Finishing of Site Cast & supplied parts
5 Cleaning & Preparation Spraying with Rust inhibiting Compound.
6 Phosphating Surface cleaning & preparation of Mild steel parts
7 Dipping Surface coating in a paint dip tank
8 Anodizing Surface preparation of Cast and Machined Aluminum parts
9 Degreasing Surface cleaning of circular Aluminum parts
10 Drying after Phosphating Oven Drying
11 Drying after Dipping Oven Drying to cure Dip Tank coating
12 Air Drying Drying by Compressed Air
13 Spray Painting Surface Finishing by Air/ Paint spray
14 Buffing Mechanical cleaning of circular Aluminum parts
15 Drying after painting Oven Drying to cure Spray paint coating
16 Engine Assembly Assembly of Engine from parts
17 Final Assembly of Complete Motorcycle
20. Total productive maintenance Application
20
They have:
Proper Material Movement
Space for the Operator
Space for repair & Maintenance
Space for temporary storage
Space for Loading Unloading
Maximization of the use of workspace
All the utilities are provided in the proper manner.
Proper Safety Rules
21. STORES
21
Stores dept. at AHL performs following functions.
Manages the receiving, stacking & issuance of parts &
materials to the shop.
Ensures the provision & dispatches of required parts to SKP
& KHI plant, spares part division & vendors.
Handles the rejections & damages from all shops
Handles the scraps & wastes generated in the factory
22. Division of stores
22
Stores dept. at AHL has been divided into a no of small
stores according to the type of material being stored and
functions/services provided by the store. The division is
shown as follows…
At AHL, following handling techniques are used:
a) For handling from shop to shop especially designed
trolleys, and pallets are used.
b) Imported motorcycle components are received in steel &
wooden cases &pallets.
c) Local vendor parts are received from receiving section in
standard carton boxes.
23. Material Handling
23
For in plant material handling, they have Fork Lifters,
Trucks, Pick-ups etc.
They have Belt conveyor on their assembly line which
moves automatically and can be paused if required.
24. Material Handling…
24
They also use suspension
conveyors on the assembly line
to bring the chassis from the
paint ED Paint shop onto the
assembly line.
In their Engine Div. they use
Idler roller conveyors to forward
the work piece from one
machine to another.
26. PRODUCTION PLANNING
26
PPC deals with managing the details of what & how many
products to produce and when, and obtaining the raw
materials, parts, and resources to produce those items.
PPC does this by managing information. For this purpose
PPC has to keep strong interactions in terms of
coordination, communication & cooperation with 4 major
sections of Production and service departments like….
QA, Logistics
Maintenance
DCC/ Stores
PPC Karachi as well.
28. Planning
28
Production planning is done to ensure the budgeted
production targets of AHL. The planning is majorly done at
AHL, the company sets its production targets. On the basis
of these targets following type of planning is done.
Aggregate planning
Master production schedule
29. Aggregate planning
29
On the basis of forecasting, a schedule from SAP, according
to the production capacities & company’s strategies, is
generated which includes the planning of whole year. It
includes the production breakup of motorcycles for whole
year into model wise, plant wise & month wise breakups.
30. Master production schedule
30
In Honda Master Production Schedule represent Quantities
of individual products Considering demand for cast current
inventory and back log.
On the basis of aggregate planning, such a monthly
schedule is made which includes day wise (2- shift wise),
model & color wise breakups.
31. VENDORs
200+ vendors are actively engaged with the company.
Apart from the local vendors there is one main foreign
supplier for imported components/ parts i.e. Honda Motor
company JAPAN which accounts for 30% of its purchases.
Trading reputation of the company is excellent
since the company is known for its fair
dealing and timely payments record to all creditors
32. VENDOR PROCUREMENT
The main responsibility if this dept. is ensuring part availability in right
quantity & in right time.
This department is for local vendors in Pakistan.
Purchase orders:-
The purpose is to inform developed vendors (in the
start of the new year)that during this new year, AHL will buy the parts in
such quantities and at such rate. This basically helps vendor to do his
aggregate & capacity planning.
Trading reputation of the company is excellent
since the company is known for its fair
dealing and timely payments record to all creditors
33. Batch Production
33
Atlas Honda manufactures motorcycles in Batches.
In 2012 they manufactured 6,44,000 Bikes and had a target
of 7,50,000 bikes last year.
They manufacture bikes on the order of PPC (Production
and Planning Control).
PPC receives orders from their dealers.
34. Batch Production…
34
PPC is the most important department throughout the
plant, so as it has to make decisions according to the
demand that on which day how many bikes will be
manufactured of each model further more of which color,
and in what time. And they make it sure that there desired
production rate is fulfilled completely.
Atlas Honda manufactures 1815 bikes per day on an
average.
35. Batch Production…
35
There total Lead time on the assembly line is 28sec for One
bike.
They have only one assembly line, on which they make
modifications according to the model to be assembled.
Similarly, they do not have different departments(welding,
painting, etc.) of every model, they rather just change the
jigs accordingly and start to manufacture the next model.
There casting plant is Ranked on 1st position in Asia. They
have a very good environment over there and very good
facilities for the workers too.
38. Variety Control
38
Planning is nothing without control. PPC(Production
planning and control) control ensures & arranges the
necessary resources for implementation of production
plan. For this purpose PPC has an eye on the in-house,
vendor, import items &ensures that all the material for the
next day production are available. if there is any shortage,
then they collaborate with vendor procurement to ensure
availability of part in time. The other function of PPC is that
if there are deficiencies in the resources available for
production due to any reason, they work to save the
company from production loss.
39. Process of Variety Control
39
Honda Atlas Variety Control process is based on Following….
Simplification:-
Honda Atlas Reducing The Number of type of product.
Standardization:-
Honda Atlas make the Qualitative values of Significant
Product.
Specialization:-
Honda Atlas Effort on a limited variety of product.
40. QUALITY ASSURANCE
40
QA dept. administers Quality management & quality
control functions. QA dept. identifies quality related
problems in vendor & in-house parts & takes preventive
action for their re-occurrence.
41. WARRANTY & FINALINSPECTION
41
Warranty Claim Data Collection
Final inspection
Stages of final inspection
a) Test bench
b) Visual check
c) Functional check
42. 42
Visual check:
At the second stage visual check is performed.
In this test, inspectors check the bike visually according to
the criteria & inspection points provided to them.
Functional check:
It includes the Co & HC emission test & head light testing.
Final inspection dept. generates the straight pass of the
motorcycles which shows the no of O.K parts as compared to
total no of production.
43. Final inspection
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This section of QA is located in final section of 500K plant.
This section is formed for the final analysis of the complete
motorcycle that comes out of the frame assy.
44. HR Department
44
In Honda Altus HR is fundamentally an expression of this
organization to belief on employee element on the
organization success.
The current
Chief Executive Officer: Saquib H. Shirazi
HR is Mr. Razi ur Rehman
General Manager Engineering and Projects:
Muhammad Noman Khan
45. Human Resources and Succession
Plan
45
Honda Atlas Human Resources Policy is to hire young,
fresh, energetic and active associates to meet the existing
and future workforce requirements and providing its
associates maximum opportunities for internal mobility
through personal training and development to enable
them to take higher positions.
46. HR Philosophy
46
In Honda Altas HR philosophies are following:
Respect for Individuals
People of organization create it’s success:
Apply Integrity
Professionalism
Feeling for others
Primary job is to provide quality service.
They have 3245 employees currently working in their plant
in 3 shifts.
47. Atlas Culture
47
Sincerity & Loyalty
Time is money
Be self assured
Don’t expect others
Members to be helpful
Live economically
Do charity
3R – Respect, recognition, reward
Be overall happy, healthy & wealthy
Education, experience, expertise & application
48. Recruitment & Separation Policy
48
Minimum Qualification
Written Test
Primary Interview
Final Interview
Pre-Employment Medical Test
Offer Letter
Joining Report
Induction Plan
Probationary Period
Confirmation Letter
49. Training Programs
49
They also arrange several training programs and In house
seminars with different institutions like:
IBA Karachi
LUMS Lahore
CMD Lahore
PIM Karachi , Lahore
PIQC Lahore , Karachi
PITAC Lahore
NUST Islamabad
CNDC