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B) After reviewing the plan developed above, planners have decided to develop an alternative plan. They have learned that two workers are about to retire

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B) After reviewing the plan developed above, planners have decided to develop an alternative plan. They have learned that two workers are about to retire from the company and instead of replacing those workers they would like to stay with the smaller work force and use overtime to make up for the lost output. The reduced regular time output is 1,800 units per period. The maximum amount of overtime output is 600 units. Develop a plan and compare it to the previous one. 2) CASE: PLANT LOCATION PROBLEMS Location of a plant has direct relevance to raw materials, market, human resources, civic amenities transportation etc. However, in some countries the problem becomes complicated due to (i) Inter-State competitions and tussles, (ii) Regional development and (iii) Political pressures and biased decision. Around 1970 Government of India mooted the idea of expanding steel production under public sector units to be established at suitable locations. A committee of eminent personalities was formed to go through claims of (i) Vijaynagar Steel plant near Bellary in Karnataka, (ii) Salem Steel in TN and (ili)Vishakapatam steel plant in A.P. Since it was under PSU the political pressure was going on and if it was under private sector, there would not have been any kind of political pressure. The most important raw materials for steel plant are iron core power and coal. Again in iron ore the iron percentage should be preferably more than 60% and ash content in coal should be less than 30%. These factors enable production of iron and steel at competitive price. From experts' reports the following brief was available: (a)Vizag - The Iron ore is rich with 65% Iron and coal can be arranged from MP and Bihar and Vizag is well connected by broad gauge railway line to all important cities and the place has sea port and airport. Hence this place has more natural advantage than other cities. (b) Salem - Iron ore was having 60 to 65%. Iron content and hence be economically exploited. The coal is in lignite form which is low quality coal. Hence this needs to be converted as coke for use. The place has broad gauge line and Madras sea port and airport are nearby. This place was considered second preference. (c)Vijaynagar - Bellary belt has Iron ore of 60% iron but coal has to come from AP (SingareniColliery). The place had meter gauge railway line and hence not well connected to all India network. The seaport and airports were far away and hence this place was not found suitable. As per the expert committee report steel plant work started Vizag and Salem and these plants came up as per the plan and are doing well. However, to everyone's surprise the then PM, Smt. Indira Gandhi, did foundation stone laying in 1971 at Toranagallu in Bellary district for Vijaynagar steel plant also. This ultimately proved to be an election gimmick to please the votes, though the PSU unit did not come up there at all. This is a clear example how politicians try to fool gullible voters by way of inaugurations/foundation stone laying. Steel plants are quite huge with township having about 50,000 to 100,000 people. Hence requirements of housing, electricity, water, hospitals, education, institutions, and entertainment facilities are very essential. The investment is huge and this helps to develop the surrounding area quite well and there is abundant scope for ancillary units, engineering services and employment inside and outside the steel plant. Both Vizag and Salem got these advantages and production standard as per the plan and these industries continue to run profitably. The expert committee had made comment on Vijaynagar proposal that, the unit can be viable if it uses latest foreign technology. In this method oxygen is injected to force oxidation of ores instead of natural air. Though PSU was not started a private enterprise JInal Group took interest and applied for licensing to the Central Government. By the year 1990 they obtained license and Vijaynagar Steel plant with foreign technology decided to make only sheet products, which fetch higher prices. They also kept bare minimum workforce and executives to make it economical right from inception. By this time a broad gauge line were formed and nearest seaport was Goa and hence some problems were taken care. This unit became operative in about 3 years and is also running profitably. Questions: 1. What are essential factors for locating a Steel plant and why? 2. Explain how political pressures and pulls affect decision making and delays in starting industries. 3. Explain how it was possible to make Vijaynagar plant visible. 4. Technology, HR, natural facilities play vital role to start new enterprise. Explain your views. 3) Think about some of the areas of improvement either at your work, home or something of personal life and come up with a plan to improve in those area using Kaizen philosophy and any other quality management tools such as 5 S among others. Also, describe one method how you came up with the findings for the major cause/s of that issue or problem that you feel must be improved. The plan could be of 4 weeks to 4 months in duration

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