Level One Training

“Level One”
Industry Oriented Training for

Mechanical and EEE Final Year Students
P. Ananth 
Hash Management Services LLP 11 Dec 2018 
Chennai
Contents
1. About Hash LLP
2. Current Situation of Engineering Education
3. About ‘Level One’ Training
4. Program Structure
5. Sample Content
6. Trainer Profile
(C) Property of Hash Management Services LLP, 2018 !2
About Hash Management Services LLP
Consultants, Lean Manufacturing & Supply

Chain Management
We work with medium and large scale manufacturing companies helping them improve their operations
and profitability.
We work on:
✦ Improving Productivity
✦ Improving On-Time Delivery Performance
✦ Reducing Inventory Holding
✦ Improving Quality - First Time Acceptance Level
In general, our clients experience 30% to 50% improvement in Productivity after our engagement.

What we do?
Areas of Excellence Few of our Clients

Lean Manufacturing Implementation, Supply
Chain Re-Engineering, Inventory Optimization,
Operational Excellence, Production Planning and
Business Process Re-Engineering engagements
Sectors worked
Leather and Footwear, Rubber Products, Auto
Ancillaries, Fabrication, Machining, Castings and
Forgings, Iron and Steel, Medical Equipments,
Electronic Components, Heavy Engineering, Plastics,
Electrical Appliances Manufacturing and more.

Contents
1. About Hash LLP
5. Sample Content
6. Trainer Profile
Let us look at 3 stakeholders in the Engineering
Education System
1.Final Year Students 1. Students
2.Manufacturing Industry
3.Training Service Providers
3. Training
2. Industry
Services
(C) Property of Hash Management Services LLP, All Rights Reserved. 2018 !6
1. Students in Engineering Course
• In India, several studies conducted on the employability skills state that only 5% to 10% of the
Engineers graduating from the Institutions are Job-Ready / Employable.
Out of 100 Students who complete engineering,
10% to
15%
20% to 30%
around 50%
Higher
Average
Studies, Arrears, Lack of future goals
Placements
Good
Placements
Even the top 10% of the
students, require Induction
Program to get an understanding
of the industry
Students: Everyone wants to work in R&D / Design
• Students aspire for Design / Research Positions in their jobs whereas 90% of the jobs are
available in the shop floor where they are expected to supervise the shop floor, work with other
departments, etc.
• Big gap between their aspirations(R&D, Design) and the jobs availability(Shop floor
engineer, Purchase, Maintenance, etc)
Students
Big Gap between their aspirations and the

reality, Lack of Knowledge and skills for
working in the industry
2. Action taken by Industries
• Large Industries provide Induction program for Engineers (3 to 6 months - depending on the company),
during that time period, the fresh engineers would be taught / provided awareness on the various
departments in the company, their functions, process flows, MIS reports that has to be generated, and so on.
• But Small and Medium Enterprises (SMEs) do not have an in house induction program and engineers
joining them work with very little awareness of the best practices of the industry, making them frustrated,
fire-fighting for day-to-day activities and results in a lot of stress
• This also makes the companies uncompetitive, leading to poor business performance, resulting in poor
motivation of the people, and this becomes a vicious cycle

Engineer
would not be
productive till 3 to
Efforts on providing Induction; 6 months
Time period: 3 to 6 months
3. Training Industry
• Currently, there are numerous training institutes offering Generic Programs (Soft Skills, Interview
Preparation, etc) and Industry Specific Programs. These industry specific programs are primarily
Computer Courses (No Courses are offered on preparing the engineer for the shop floor)
Generic Programs Software Specific Programs

(For all branches) (Mechanical Engg)
Soft Skills Autocad Lack of

Communication Pro-E “What the Industry
Interview Preparation Wants?”
Ansys
English CATIA
Aptitude Piping Design
Group Discussion Solid Works
How to wear a Tie?
Contents
1. About Hash LLP
5. Sample Content
6. Trainer Profile
About “Level One” Program
• This program covers the basics of the various functions present in a typical manufacturing
industry
• The program consists of:
• Introduction to a manufacturing company
• Various departments and their functions
• Job Responsibilities for an engineer joining the company
• Process Flow
• Tools and techniques
• MIS reports and analysis
• All the above would be explained in simple and easy-to-understand format, with a lot of
images and videos
About “Level One” Program
• Functions Covered:
• Production
• Production Planning
• Quality
• Stores
• Purchase and
• Maintenance functions.
At the end of the program, a student would understand how an organization
functions and his/her role in the organization and can be job-ready within a week
(instead of 3 ~6 months)
Course Material for the Program - would be given to
the students FREE of cost
• This book is also available in:
• Notion Press Store
• Amazon
• Flipkart
• Paytm
• Shopclues
• Kindle Format (Amazon)
Testimonial for ‘Level One’
• I read the Book 'Level One', I am very happy to share that this book gives a
Quick Overview of whole Manufacturing Functions in very systematic
manner with details .
• This book is very useful book, not only for the Fresh Graduate Engineers, but
also for the Working Professional.
Feedback:
by
• Very Systematic
HR Head of one of India’s
• Step by Step largest Automotive groups
• Flow and Linkage comprising of 19 factories in
• Details India
• Supported by Tables, Diagram and Pictures
• Covering all Functions of manufacturing
• Useful book, not only for the Fresh Graduate Engineers, but also for the
Working Professional
Feedback from Industry
Feedback from Students
Benefits for Students and Industry
Benefits for Benefits for

Engineering Industries
Students
• Readily Employable
engineers
• Gaining the right
• Improved Processes,
employable skills
better quality and
• Faster Career
delivery
Growth
performance
Currently, numerous training

institutes offer generic and
Computer courses to
students. No specific course
on Manufacturing Industry
Requirements
Contents
1. About Hash LLP
5. Sample Content
6. Trainer Profile
Program Option 1
• 21 hours Program - 3 hours X 7 Days
• Covering all the 5 functions in detail
• Production
• Purchase
• Stores
• Quality
• Maintenance
• Program Fee per student : Rs. 5000 per student
• Certificate would be provided at the end of the Program
Action Plan : 21 hours Certification Program
• 3 hours - Introduction to manufacturing sector and what they require from engineers
• 3 hours - General Operations and work flow in manufacturing company
• 3 hours - Production Department
• 3 hours - Purchase department
• 3 hours Quality Department 3 hours X 7 days
• 3 hours - Maintenance Department
• 2 hours - Stores and Production Planning & 1 hour - Exam / Q&A
Program Option 2
• 6 hours / 1 Day Program
• Covering all the 2 functions in detail
• Production
• Quality, and
• Introduction to other functions
• Program Fee per student : Rs. 1000 per student (Negotiable)
• Participation Certificate would be provided at the end of the Program
Action Plan : 6 hours Program
• 1 hour - Introduction to manufacturing sector and what they require
from engineers
• 1 hour - General Operations and work flow in manufacturing company
• 2 hours - Production Department
• 2 hours - Quality Department 6 Hours
• 15 mins - Q&A
Contents
1. About Hash LLP
5. Sample Content
6. Trainer Profile
Purchase Function
!25
Introduction to Purchase
• Purchasing refers to a business or organization attempting for acquiring goods or services to accomplish
the goals of the enterprise
• Purchasing role in any organization is considered to be important as it handle raw materials & Sub-
assemblies which have significant cost impact on material manufactured.
• Purchasing is key element of Supply chain management of any organization more ever in recent times as
sourcing are increasingly done from many countries. Companies with robust purchasing department and
experts give better business results than others.
Purchase Supplier /
Company Function Vendor
Organization Structure
• This is a standard organization structure for
Purchase Function
• Purchase Manager reports to the CEO of the
company
• There would be a few Purchase Executives /
Assistants reporting to the Purchase Manager
• Each Purchase executive would typically focus
on a single raw material category
Responsibilities of a Purchase Manager
• Acquire quality goods and services in a professional, timely and cost effective manner
• Help develop and maintain a supplier/vendor community capable of supporting the organization’s needs
with emphasis on superior service quality and cost effectiveness
• Creation / Preparation of the Management Information Systems (MIS) that enable better decision making
processes for the present and the future, and present it to the Senior Management
Job Responsibilities of Purchase Executive
• Classification of all the materials (including packing materials) as A, B and C Class items (methodology
described later in the presentation) – to be done jointly with Stores function
• Tracking of the lead time of all A & B Class items and make necessary changes in the purchase process
• Maintaining Nil Stock-Out situation all times
• Scheduled Purchase for all regular/fast moving A Class items
• Re-Order level based ordering for all A&B Class items
• Two Bin System / Min-Max for all C Class items
• All Purchases through formal PO only – no telephone based/other means of ordering
• Updation of records daily including Pending Order Status
Process Flow -1
• Stores Assistant/Executive sends a Purchase Indent (PI) to the Purchase Executive depending on the status
of the material available in the stores.
• The quantity is based on the Production Planning / requirements discussed with the other functions.
Pending Orders, Items in transit , etc.
• Each PI should have a unique no which would be mentioned in the PO later
Process Flow – Activity 2
• Purchase Executive then collects the Purchase Indents and creates a Purchase Orders (PO) and sends
them to Purchase Manager for approval.
• The POs’ can be supplier-wise / item-wise. Each PO should have a unique PO number which should be
mentioned in the PO, tracking sheet/systems, should be mentioned by the supplier while sending the
Invoice back to the company
• Purchase Manager approves the POs’ within 1 day ( can be fixed by
the senior management) and send back to the Purchase Executive
• Approved POs’ should be sent to the Suppliers on the same day ( hard copy / email)
• Once the POs’ are sent, the suppliers should be followed-up for the deliveries. Lead time based tracking
should be done and once the lead time is crossed it should be informed to the Purchase Manager
• Supplier sends the materials to the company with the Invoice and Delivery Challan (DC)
• Once the materials are received, the Stores Assistant / Executive checks for the quality and quantity and
prepares a Goods Receipt Note (GRN) and updates the stock on the same day
Snapshot of Purchase Function
Purchase Process
Purchase
Manager
2
Purchase Approved
Order Purchase
1 For Approval Order
Purchase Purchase
Stores Indent Order
Assistant
Purchase Sent to Suppliers
Suppliers
Executive
4
Goods Receipt Note
- Stores Assistant
5
Invoice,
Delivery Challan
Warehouse
Shipments
Materials Classification Techniques
• Concept / Thumb Rule: Pareto Principle
• Pareto Principle – Vital Few and Trivial Many!

Items Value
• Pareto Principle is also called as 80-20 rule
• 20% of the items would constitute 80% of the value 20% 80%
• Few other examples:
• 20% of the causes results in 80% of the defects 80% 20%
• 20% of the population controls 80% of the wealth
A, B and C Classification of Materials
Few Items = More • Use Pareto Principle to find out the important items in
Consumption in Value
your purchase list
• While analysing the raw materials it would be clear
that the top 20% of the items would constitute about
80% of the purchase value. Next 30~40% items would
constitute about 15% of the purchase value.
Remaining 50% of the items constitute 5% of the
B Category purchase value.
C Category
More Items = Low
Consumption in Value
How to order based on the Classification of Materials
Category Characteristics Ordering Techniques Explanation

Scheduled For items whose
Shipments / Standard consumption is regular
Very High Value. Need Order Quantity (SOQ) through-out the
A to monitor season
continuously Re-Order Level (ROL) For items whose
consumption do not
follow a pattern
Moderate Value - Re-Order Level (ROL) Order based on the
B Moderate impact on Re-Order level
the Inventory Holding

Low Value - No Major MinMax / Two Bin Do not focus more on
Impact on the System the C Category items
C
Inventory Holding
Cost
Vendor Management
• Purchase Manager should create and manage at least 2 vendors for each item
Each Item
Supplier 1 Supplier 2
Vendor Evaluation Report
• Any addition/modification of the vendor should be carried out through proper Vendor Evaluation Report.
• The Following are the parameters that have to be considered in a Vendor Evaluation Report
S.No Parameters Weightage
1 Quality 30
2 Adherence to Delivery 20
3 Price 15
4 Average Lead Time 15
5 Credit Period 10
6 Support During Emergencies 10
Vendor Master List
• A Vendor Master Sheet should be maintained S.No Parameters
in the purchase function. 1 Item Code
• Following are the details to be recorded: 2 Item Description
3 Vendor Code
4 Vendor Name
5 Addrese
6 Contact Person
7 Phone No
8 Email ID
Vendor rating (based on the
9
weightages)
MIS Reports
• The list below explains the various parameters to track, the reports to generate, the frequency and the
person-in-charge in the Purchase function:
Report Name Monthly Purchase Report

Nature of Report Item-wise (Descending in Value Terms)
Frequently Monthly
Who Prepares it Purchase Executve
Is there a significant increase in the

purchase value compared to the last
Analysis Points month 
If yes, what are the major items
contributing to this increase
MIS Reports
Report Name Pending Order Report
Nature of Report Item-wise / Category-wise
Frequently Updated Daily
Is there a significant increase in the purchase value

compared to the last month 
Analysis Points
If yes, what are the major items contributing to this
increase
MIS Reports
Report Name Stock-Out Report
Nature of Report Item-wise / Category-wise
Frequently Monthly
Who Prepares it Purchase Executve +Production Supervisor
What is the trend of number of stock-outs? What

are the items contributing to the stock outs? Are
these items frequently figuring in this list? How to
avoid this in the future?
Analysis Points
How many times the lead time has exceeded ? By
how many days? Is this happening for the same
item? Same supplier? Is this time to update the
lead times ?
MIS Reports
Report Name Incoming Quality Report
Item-wise / Trend Chart presenting the last 3

Nature of Report
months
Frequently Monthly
What is the Pareto of the quality issues in the

incoming materials ? What is the trend ? Is it for
Analysis Points the same item / from same supplier? What is the
time taken by the supplier to rectify/send new
materials ? How to avoid this in the future?
Contents
1. About Hash LLP
5. Sample Content
6. Trainer Profile
P. Ananth
Principal Consultant, Lean Manufacturing
& Supply Chain Management
Experience: 13 years
Sectors Worked: Leather and Footwear, Auto Ancillaries, Fabrications,
Castings and Forgings, Steel, Medical Equipments, Electronic Components,
Heavy Engineering, Plastics, Electrical Appliances Manufacturing and more.
Phone: + 91 91766 13965

Email: pananth@hashllp.com
Website: www.hashllp.com
Areas of Excellence
Lean Manufacturing, Supply Chain Re-Engineering, Inventory Optimization,
Operational Excellence, Business Process Re-Engineering & Market
Assessment studies

Past Experience
• Consultant - Deloitte Touche Tohmatsu, Chennai
• Senior Engineer - Titan Industries Ltd, Hosur
Academic Qualifications
• PGDM (Operations & Marketing) - Institute For Financial Management and Research (IFMR), Chennai
• B.E (Mechanical) - Government College of Engineering, Tirunelveli
Other Details
• Empanelled consultant with National Productivity Council (NPC) for undertaking Lean Manufacturing
Initiatives
• Working jointly with ILO in implementing Sustaining Competitive and Responsible Enterprises (SCORE)
program in Chennai for Auto-ancillaries
• Active networker. Member of Madras Management Association, BNI, TIE, Chennai Open Coffee Club and
other related forums

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“Level One”

Industry Oriented Training for

Hash Management Services LLP 11 Dec 2018

1. About Hash LLP

2. Current Situation of Engineering Education

3. About ‘Level One’ Training

Consultants, Lean Manufacturing & Supply

✦ Improving On-Time Delivery Performance

✦ Reducing Inventory Holding

✦ Improving Quality - First Time Acceptance Level

(C) Property of Hash Management Services LLP, 2018 !3

Areas of Excellence Few of our Clients

(C) Property of Hash Management Services LLP, 2018 !4

1. About Hash LLP

2. Current Situation of Engineering Education

3. About ‘Level One’ Training

1.Final Year Students 1. Students

3.Training Service Providers

Engineers graduating from the Institutions are Job-Ready / Employable.

Out of 100 Students who complete engineering,

engineer, Purchase, Maintenance, etc)

Big Gap between their aspirations and the

fire-fighting for day-to-day activities and results in a lot of stress

motivation of the people, and this becomes a vicious cycle

Generic Programs Software Specific Programs

Soft Skills Autocad Lack of

1. About Hash LLP

2. Current Situation of Engineering Education

3. About ‘Level One’ Training

• The program consists of:

• Introduction to a manufacturing company

• Various departments and their functions

• Job Responsibilities for an engineer joining the company

• Tools and techniques

• MIS reports and analysis

images and videos

At the end of the program, a student would understand how an organization

• This book is also available in:

• Notion Press Store

• Kindle Format (Amazon)

• Covering all Functions of manufacturing

Benefits for Benefits for

Currently, numerous training

1. About Hash LLP

2. Current Situation of Engineering Education

3. About ‘Level One’ Training

• 21 hours Program - 3 hours X 7 Days

• Covering all the 5 functions in detail

• Program Fee per student : Rs. 5000 per student

• Certificate would be provided at the end of the Program

• 3 hours - General Operations and work flow in manufacturing company

• 3 hours - Production Department

• 3 hours - Purchase department

• 3 hours Quality Department 3 hours X 7 days

• 3 hours - Maintenance Department

• 2 hours - Stores and Production Planning & 1 hour - Exam / Q&A

• 6 hours / 1 Day Program

• Covering all the 2 functions in detail

• Introduction to other functions

Hash Management Services LLP 11 Dec 2018 