Description
The PPT is describing on Process Mapping of Laundry Operations.
LAUNDRY SERVICE AT LAVALE PROCESS ANALYSIS AND IMPROVEMENTS
PROCESS MAPPING
Work break down for a bundle of 10 clothes ordered for washing:
Work Break Down Structure
Laundry Process Duration 2846.3 min 906.3 min Collection of clothes at counter Making Cash Memo & Handing over Cash memo to student Cloth Collection 1.5 min Start Time 28-09-2009 19:26 28-09-2009 19:26 28-09-2009 19:26 Finish Time 30-09-2009 18:52 29-09-2009 10:32 28-09-2009 19:28
1.8 min
28-09-2009 19:28
28-09-2009 19:29
Tagging(indicating room no , total cloth & bill no) on one cloth in a lot 1 min Tie a knot on the lot Accumulate the clothes of all student at one place 1 min
28-09-2009 19:29 28-09-2009 19:30
28-09-2009 19:30 28-09-2009 19:31
1 min
28-09-2009 19:31
28-09-2009 19:32
Wait for Transportation
900 min
28-09-2009 19:32
29-09-2009 10:32
PROCESS MAPPING…..CONTD
Work Break Down Structure Duration 90 min Transportation from Lavale to Katraj Loading of accumulated clothes on APE Transportation (25 Km) to Washing location (katraj) 30 min Start Time 29-09-2009 10:32 29-09-2009 10:32 Finish Time 29-09-2009 12:02 29-09-2009 11:02
60 min
64 min
29-09-2009 11:02
29-09-2009 12:02 29-09-2009 12:02 29-09-2009 13:02 29-09-2009 13:04
29-09-2009 12:02
29-09-2009 13:06 29-09-2009 13:02 29-09-2009 13:04 29-09-2009 13:05
Wait for Processing to start Marking of room no on each cloth of each lot Segregation based on Colour and Type Assigning of tag on cloth where it is not easy to mention marking
60 min 2 min 1 min
Activities in Katraj
1 min
29-09-2009 13:05
29-09-2009 13:06
Work Break Down Structure
Duration 1274 min
Start Time 29-09-2009 13:06
Finish Time 30-09-2009 10:20
Making of lot (around 50) to be loaded in washing machine
Starting of washing machine by adding Washing powder Washing of clothes in a lot of 50 Taking out of clothes from washing machine Washing Activities at Katraj Putting clothes in Hydrospinner for rinsing Rinsing Process Taking out of clothes from hydro-spinner to Dryer Dryer Run Putting Clothes for Drying in an Open Area Clothes Drying Process & Waiting for Pick up Accumulation of all dried clothes in mixed condition
2 min
29-09-2009 13:06
29-09-2009 13:08
10 min 30 min 10 min 15 min 15 min 10 min 2 min 10 min 1140 min 30 min
29-09-2009 13:08 29-09-2009 13:18 29-09-2009 13:48 29-09-2009 13:58 29-09-2009 14:13 29-09-2009 14:28 29-09-2009 14:38 29-09-2009 14:40 29-09-2009 14:50 30-09-2009 09:50
29-09-2009 13:18 29-09-2009 13:48 29-09-2009 13:58 29-09-2009 14:13 29-09-2009 14:28 29-09-2009 14:38 29-09-2009 14:40 29-09-2009 14:50 30-09-2009 09:50 30-09-2009 10:20
PROCESS MAPPING…..CONTD
Work Break Down Structure Duration Start Time Finish Time
90 min Transportation of dried clothes in mixed condition to college 60 min Unloading the clothes from tempo to Laundry in hostel 30 min
30-09-2009 10:20
30-09-2009 11:50
Transportation from Katraj to Lavale
30-09-2009 10:20
30-09-2009 11:20
30-09-2009 11:20
30-09-2009 11:50
PROCESS MAPPING…..CONTD
Work Break Down Structure Duration 420 min Segregation of clothes according to the floor series Segregation of clothes according to the room no. Front end activites in Lavale Ironing of clothes Keeping the pressed clothes on shelf for delivery Waiting for Delivery Delivery of clothes against producing the receipt by student Payment collection Start Time 30-09-2009 11:50 Finish Time 30-09-2009 18:50
20 min
30-09-2009 11:50
30-09-2009 12:10
10 min
25 min
30-09-2009 12:10
30-09-2009 12:20
30-09-2009 12:20
30-09-2009 12:45
2 min 360 min
30-09-2009 12:45 30-09-2009 12:47
30-09-2009 12:47 30-09-2009 18:47
3 min 2 min
30-09-2009 18:47 30-09-2009 18:50
30-09-2009 18:50 30-09-2009 18:52
PROCESS DOCUMENTATION
Over The Counter Operations: ? Collection of Clothes:
?
General scanning of the cloth by the person to ensure the condition (torn parts, hard strains, decoloured areas, etc.) of an incoming order ? Checking for any articles in the pockets or otherwise ? Checking for the type of incoming clothes from the bundle (say no. of shirts, trousers, jeans, etc.)
?
PROCESS DOCUMENTATION….CONTD.
?
Cash Memo for the receipt of Clothes:
?
Prepare a Cash Memo indicting the Room No., type of clothes, the amount to be charged and date of order placement
?
Tagging of Lot:
Tagging is done on the cloth which is used to tie the bundle. Tag is marked with Room No., Code to indicate Boys Hostel as “BH” and Ladies Hostel as “LH” and also an additional code to identify that clothes are from “Lavale Campus”. ? Permanent marker is used for tagging and this is done immediately after cash memo and before he takes up new customer order so that there are no mistakes in tagging and bundling.
? ?
?
Aggregation of the clothes:
?
The clothes received for washing are all put on a pile so that they can all be bundled for transportation to the washing area.
PROCESS DOCUMENTATION….CONTD.
?
Transportation from Lavale to Katraj:
?
?
?
? ?
?
The washing activity is done at Katraj which is at 25 km from Lavale. A tempo (APE) comes to Lavale from Katraj once daily with washed clothes coming from Katraj and unwashed bundles are taken from here. The clothes from the ladies hostel are also brought in to make bundles. Generally 4-5(max) bundles are loaded on the APE. Approximately 450-500 clothes are sent daily. The only person manning is the driver who is employed by the Laundry. The two people at the boys hostel and 1 at girls hostel help in loading and unloading. It takes approx. 1hr in travelling from Katraj to Lavale and 30 min in loading and unloading process.
PROCESS DOCUMENTATION….CONTD.
?
Activities in Katraj:
?
Details about Katraj
?
The total area in Katraj is about 2700 sq. feet. Ground floor is about 1000 sq. feet which is used for sorting and washing. First floor is also around 1000 sq. feet and is used mainly for drying the Clothes. At a time around 300-400 cloth can be dried in this place. Second floor is around 700 sq. feet which is an open space and this is also used for drying Clothes. Around 150-200 Clothes can be dried in this place at a time.
?
Washing Machine:
?
There are 2 washing machine one hydro spinner and one dryer in the washing area. Maximum capacity of one of the machine is 120 Clothes and that of the other is 50 Clothes. However the safe working load for each one of them is 60-70 and 30-40 respectively.
?
Segregation based on type and colour:
? ? ?
Bundles are opened and room no. is marked on every cloth Clothes are segregated based on type (jeans, t-shirt, shirt, trouser) and colour Wherever it is difficult to mark, tags are put on the cloth
PROCESS DOCUMENTATION….CONTD.
?
Washing Activities
?
? ? ? ? ? ?
Clothes are bundled in the group as per the safe working load. These bundling is done based on colour. Similar colour Clothes are bundled together. Washing machine is started by adding washing powder (Tide in the case). A lot of cloth is added to the machine and the machine is started. It takes around 40 to 45 minutes to wash the Clothes in the machine. Once the washing is done Clothes are taken out for drying. The lot is put in the hydro spinner for drying. Water is drained from the spinner in this area and then finally the cloth is taken in open area for drying. Clothes are put in the open area for drying. Once the Clothes are dried they are again collected and bundled together to be sent to college. Clothes are collected in mixed condition and segregation is not done in this place.
?
Transportation from Katraj to Lavale
? ? ?
Bundle of dry Clothes are taken and put in Ape which has capacity of around 450500 Clothes. The transportation time from katraj to lavale is around an hour. Once the cloth reaches the hostel its unloaded from the Ape and taken to the BH.
PROCESS DOCUMENTATION….CONTD.
?
Receiving of Washed Clothes from Katraj:
? ? ? ?
Washed clothes arrive typically by afternoon to Lavale. All clothes are first received at the boys hostel. These are unbundled and sorted for LH and BH. The Ladies hostel guy takes care of the clothes for the LH at the LH counter.
?
Segregation of clothes:
The tags on each clothes are read and sorted by the Floor no. series on the floor. Heaps are made on the floor and are ready for ironing. There are 2 person involved in the ironing process at BH. ? Ironing and stacking of clothes of w.r.t. the room no. is done while ironing. The device used here is Electric Metal Press. ? The role of the person who does ironing is also to stack the clothes as per room no. and place accordingly on the racks for disbursal.
?
PROCESS DOCUMENTATION….CONTD.
?
Delivery to the Customers:
?
?
? ?
?
On the show of the cash memo indicating room no. and date of order, the delivery boy lets the customer know whether his clothes are ready or not. If he is aware that the clothes for that day’s lot have arrived, he checks on the delivery rack and on finding them there, he delivers it and accepts cash. The person on the counter also takes a note of the amount cash collected in a separate register. For the instances where a customer is not having the cash memo of the order, he asks for the room no. from him and then writes in a register the name of the person so that he can track the outgoing clothes or any wrong deliveries. In case the clothes of a customer is not in the incoming pile then, he postpones his delivery date to next date.
FACILITIES AVAILABLE AT LAUNDRY
Area (Sq ft) Rent (Rs )
Front-end Counters (Lavale) Boys Girls Hostel Hostel Activities 500 500 Managing Counter, Sorting, 5000 5000 Ironing and Transporting
Washing and Drying Area (Katraj) Area Purpose Capacity Sorting, Ground floor 1000 sq ft Washing First Floor 1000 sq ft Drying 300-400 clothes Second floor(open to sky) 700 sq ft Drying 150-200 clothes
WASHING MACHINE DETAILS AT KATRAJ
Max Capacity
Washing Machine 1 Washing Machine 2 Hydro Spinner Dryer 120 clothes per lot 50 clothes per lot
Safe Loading
60-70 clothes per lot 30-40 clothes per lot
Cost(Rs)
250000 120000 25000 60000
RESOURCE USAGE:
Resources Counter Operation Ironing Washing Ape
Electricity
No. of Persons 2 3 3 1
Rate 5000 1 per piece 3000 On Contract
2500 per month
RATE CHART OF LAUNDRY:
Sl No. Item 1 Formal Shirt 2 T- Shirt 3 Formal Paint 4 Jeans Pant 5 Waist 6 Underwear 7 Socks 8 Handkerchief 9 Bed sheet Rate (Rs.) 7 7 7 8 7 5 5 5 15
10 Pillow Cover
11 Tie 12 Coat 13 Sweat Shirt 14 Towel 15 Blanket
7
7 25 15 10 50
COST ANALYSIS:
No. of Clothes Lavale(1000/2*1*30) Infosys(500) Hotels
Revenue Structure Per Month Avg. Rate 15000 500 900 Total Expense Structure Amount
Revenue 8 5 8 120000 2500 7200 129700
Item Head Rent Ironing Transportation Electricity Manpower Materials Water Misc. Expenses Depreciation of Assets Washing Machine 1 Washing Machine 2 Hydro Spinner Dryer Net CAPEX Appropriated over 60 months Preventive & Breakdown Maint. WACC @ 15% Total Expenses Net Monthly Profit
Total per Month
15000 18000 12000 2500 19000 6000 2000 10000
84500 250000 120000 25000 60000 455000 7583 2500 937769
10083 15629 110213 19487
CAUSES FOR BAD SERVICE LEVEL IN LAUNDRY
?
Increased Order fill time (OFT):
?
Since the process is not mechanised, loss in productivity can cause backorders and piling of clothes at the Counter or Washing Area either due to controllable factors (issues due to manpower, bad scheduling, bundle mishandling, and transportation) or uncontrollable factors (bad weather, intermittent power cuts)
?
?
? ? ?
Sudden spike in customer orders (due to bad weather, after a long weekend, some college activity, exam time) will cause a piling of clothes since the capacity (washing/ironing) is just matching to meet the demand. There is NO system to ensure that piles of clothes received in a day are washed and stacked together so that misplacing of clothes is avoided at Katraj facility. Power cut while washing can cause over soaking and the clothes’ colour may get damaged. Washing of soft clothes with heavy items can damage the texture over a period of time. There is NO system to customize washing for a particular cloth which has dark stains. The laundry on student complaints re-takes washing of the same cloth in the same way as bulk washing is done, which makes it no better.
SUGGESTIVE PROCESS IMPROVEMENTS IN THE EXISTING LAUNDRY:
?
?
?
The two separate counters at Boys and Ladies Hostel could be replaced by a single counter at a common area thereby reducing manpower by 1 and rent of facility by say 50% if a combined counter is of larger size and rent is 7500 pm. Ironing process may not be outsourced and the people can be hired on wage basis rather than by piece basis. This leads to both increases in customer service levels as well as reduced cost of the laundry owner. Even If 3 people are hired for this purpose assuming 5000 per person per month, it will lead to a saving of 36,000 per year increasing the profit by 15 percent. The clothes should go to drying as soon as they are out of the process from hydro dryer so that the capacity on drying can be increased to face a peak order. It will lead to formation of a capacity buffer at the drying process.
SUGGESTIVE PROCESS IMPROVEMENTS IN THE EXISTING LAUNDRY............CONTD.
?
?
?
The marking of clothes needs to be improved to include different marks for different people staying in the same room so that Order fill accuracy (OFA) can be improved. The room wise sorting can be done at the facility at Katraj in the morning once the clothes have been dried and then they can be separated according to room numbers. It leads to more capacity at ironing as well as customer service counter. Some amount of value added service like minor stitch repairs, button fixing, zipper change, hemming, etc. can be done at the front end counter by the ironing person and this will be added revenue at no extra cost other than a sewing machine and having a ironing person with basic stitching skills.
doc_773299388.pptx
The PPT is describing on Process Mapping of Laundry Operations.
LAUNDRY SERVICE AT LAVALE PROCESS ANALYSIS AND IMPROVEMENTS
PROCESS MAPPING
Work break down for a bundle of 10 clothes ordered for washing:
Work Break Down Structure
Laundry Process Duration 2846.3 min 906.3 min Collection of clothes at counter Making Cash Memo & Handing over Cash memo to student Cloth Collection 1.5 min Start Time 28-09-2009 19:26 28-09-2009 19:26 28-09-2009 19:26 Finish Time 30-09-2009 18:52 29-09-2009 10:32 28-09-2009 19:28
1.8 min
28-09-2009 19:28
28-09-2009 19:29
Tagging(indicating room no , total cloth & bill no) on one cloth in a lot 1 min Tie a knot on the lot Accumulate the clothes of all student at one place 1 min
28-09-2009 19:29 28-09-2009 19:30
28-09-2009 19:30 28-09-2009 19:31
1 min
28-09-2009 19:31
28-09-2009 19:32
Wait for Transportation
900 min
28-09-2009 19:32
29-09-2009 10:32
PROCESS MAPPING…..CONTD
Work Break Down Structure Duration 90 min Transportation from Lavale to Katraj Loading of accumulated clothes on APE Transportation (25 Km) to Washing location (katraj) 30 min Start Time 29-09-2009 10:32 29-09-2009 10:32 Finish Time 29-09-2009 12:02 29-09-2009 11:02
60 min
64 min
29-09-2009 11:02
29-09-2009 12:02 29-09-2009 12:02 29-09-2009 13:02 29-09-2009 13:04
29-09-2009 12:02
29-09-2009 13:06 29-09-2009 13:02 29-09-2009 13:04 29-09-2009 13:05
Wait for Processing to start Marking of room no on each cloth of each lot Segregation based on Colour and Type Assigning of tag on cloth where it is not easy to mention marking
60 min 2 min 1 min
Activities in Katraj
1 min
29-09-2009 13:05
29-09-2009 13:06
Work Break Down Structure
Duration 1274 min
Start Time 29-09-2009 13:06
Finish Time 30-09-2009 10:20
Making of lot (around 50) to be loaded in washing machine
Starting of washing machine by adding Washing powder Washing of clothes in a lot of 50 Taking out of clothes from washing machine Washing Activities at Katraj Putting clothes in Hydrospinner for rinsing Rinsing Process Taking out of clothes from hydro-spinner to Dryer Dryer Run Putting Clothes for Drying in an Open Area Clothes Drying Process & Waiting for Pick up Accumulation of all dried clothes in mixed condition
2 min
29-09-2009 13:06
29-09-2009 13:08
10 min 30 min 10 min 15 min 15 min 10 min 2 min 10 min 1140 min 30 min
29-09-2009 13:08 29-09-2009 13:18 29-09-2009 13:48 29-09-2009 13:58 29-09-2009 14:13 29-09-2009 14:28 29-09-2009 14:38 29-09-2009 14:40 29-09-2009 14:50 30-09-2009 09:50
29-09-2009 13:18 29-09-2009 13:48 29-09-2009 13:58 29-09-2009 14:13 29-09-2009 14:28 29-09-2009 14:38 29-09-2009 14:40 29-09-2009 14:50 30-09-2009 09:50 30-09-2009 10:20
PROCESS MAPPING…..CONTD
Work Break Down Structure Duration Start Time Finish Time
90 min Transportation of dried clothes in mixed condition to college 60 min Unloading the clothes from tempo to Laundry in hostel 30 min
30-09-2009 10:20
30-09-2009 11:50
Transportation from Katraj to Lavale
30-09-2009 10:20
30-09-2009 11:20
30-09-2009 11:20
30-09-2009 11:50
PROCESS MAPPING…..CONTD
Work Break Down Structure Duration 420 min Segregation of clothes according to the floor series Segregation of clothes according to the room no. Front end activites in Lavale Ironing of clothes Keeping the pressed clothes on shelf for delivery Waiting for Delivery Delivery of clothes against producing the receipt by student Payment collection Start Time 30-09-2009 11:50 Finish Time 30-09-2009 18:50
20 min
30-09-2009 11:50
30-09-2009 12:10
10 min
25 min
30-09-2009 12:10
30-09-2009 12:20
30-09-2009 12:20
30-09-2009 12:45
2 min 360 min
30-09-2009 12:45 30-09-2009 12:47
30-09-2009 12:47 30-09-2009 18:47
3 min 2 min
30-09-2009 18:47 30-09-2009 18:50
30-09-2009 18:50 30-09-2009 18:52
PROCESS DOCUMENTATION
Over The Counter Operations: ? Collection of Clothes:
?
General scanning of the cloth by the person to ensure the condition (torn parts, hard strains, decoloured areas, etc.) of an incoming order ? Checking for any articles in the pockets or otherwise ? Checking for the type of incoming clothes from the bundle (say no. of shirts, trousers, jeans, etc.)
?
PROCESS DOCUMENTATION….CONTD.
?
Cash Memo for the receipt of Clothes:
?
Prepare a Cash Memo indicting the Room No., type of clothes, the amount to be charged and date of order placement
?
Tagging of Lot:
Tagging is done on the cloth which is used to tie the bundle. Tag is marked with Room No., Code to indicate Boys Hostel as “BH” and Ladies Hostel as “LH” and also an additional code to identify that clothes are from “Lavale Campus”. ? Permanent marker is used for tagging and this is done immediately after cash memo and before he takes up new customer order so that there are no mistakes in tagging and bundling.
? ?
?
Aggregation of the clothes:
?
The clothes received for washing are all put on a pile so that they can all be bundled for transportation to the washing area.
PROCESS DOCUMENTATION….CONTD.
?
Transportation from Lavale to Katraj:
?
?
?
? ?
?
The washing activity is done at Katraj which is at 25 km from Lavale. A tempo (APE) comes to Lavale from Katraj once daily with washed clothes coming from Katraj and unwashed bundles are taken from here. The clothes from the ladies hostel are also brought in to make bundles. Generally 4-5(max) bundles are loaded on the APE. Approximately 450-500 clothes are sent daily. The only person manning is the driver who is employed by the Laundry. The two people at the boys hostel and 1 at girls hostel help in loading and unloading. It takes approx. 1hr in travelling from Katraj to Lavale and 30 min in loading and unloading process.
PROCESS DOCUMENTATION….CONTD.
?
Activities in Katraj:
?
Details about Katraj
?
The total area in Katraj is about 2700 sq. feet. Ground floor is about 1000 sq. feet which is used for sorting and washing. First floor is also around 1000 sq. feet and is used mainly for drying the Clothes. At a time around 300-400 cloth can be dried in this place. Second floor is around 700 sq. feet which is an open space and this is also used for drying Clothes. Around 150-200 Clothes can be dried in this place at a time.
?
Washing Machine:
?
There are 2 washing machine one hydro spinner and one dryer in the washing area. Maximum capacity of one of the machine is 120 Clothes and that of the other is 50 Clothes. However the safe working load for each one of them is 60-70 and 30-40 respectively.
?
Segregation based on type and colour:
? ? ?
Bundles are opened and room no. is marked on every cloth Clothes are segregated based on type (jeans, t-shirt, shirt, trouser) and colour Wherever it is difficult to mark, tags are put on the cloth
PROCESS DOCUMENTATION….CONTD.
?
Washing Activities
?
? ? ? ? ? ?
Clothes are bundled in the group as per the safe working load. These bundling is done based on colour. Similar colour Clothes are bundled together. Washing machine is started by adding washing powder (Tide in the case). A lot of cloth is added to the machine and the machine is started. It takes around 40 to 45 minutes to wash the Clothes in the machine. Once the washing is done Clothes are taken out for drying. The lot is put in the hydro spinner for drying. Water is drained from the spinner in this area and then finally the cloth is taken in open area for drying. Clothes are put in the open area for drying. Once the Clothes are dried they are again collected and bundled together to be sent to college. Clothes are collected in mixed condition and segregation is not done in this place.
?
Transportation from Katraj to Lavale
? ? ?
Bundle of dry Clothes are taken and put in Ape which has capacity of around 450500 Clothes. The transportation time from katraj to lavale is around an hour. Once the cloth reaches the hostel its unloaded from the Ape and taken to the BH.
PROCESS DOCUMENTATION….CONTD.
?
Receiving of Washed Clothes from Katraj:
? ? ? ?
Washed clothes arrive typically by afternoon to Lavale. All clothes are first received at the boys hostel. These are unbundled and sorted for LH and BH. The Ladies hostel guy takes care of the clothes for the LH at the LH counter.
?
Segregation of clothes:
The tags on each clothes are read and sorted by the Floor no. series on the floor. Heaps are made on the floor and are ready for ironing. There are 2 person involved in the ironing process at BH. ? Ironing and stacking of clothes of w.r.t. the room no. is done while ironing. The device used here is Electric Metal Press. ? The role of the person who does ironing is also to stack the clothes as per room no. and place accordingly on the racks for disbursal.
?
PROCESS DOCUMENTATION….CONTD.
?
Delivery to the Customers:
?
?
? ?
?
On the show of the cash memo indicating room no. and date of order, the delivery boy lets the customer know whether his clothes are ready or not. If he is aware that the clothes for that day’s lot have arrived, he checks on the delivery rack and on finding them there, he delivers it and accepts cash. The person on the counter also takes a note of the amount cash collected in a separate register. For the instances where a customer is not having the cash memo of the order, he asks for the room no. from him and then writes in a register the name of the person so that he can track the outgoing clothes or any wrong deliveries. In case the clothes of a customer is not in the incoming pile then, he postpones his delivery date to next date.
FACILITIES AVAILABLE AT LAUNDRY
Area (Sq ft) Rent (Rs )
Front-end Counters (Lavale) Boys Girls Hostel Hostel Activities 500 500 Managing Counter, Sorting, 5000 5000 Ironing and Transporting
Washing and Drying Area (Katraj) Area Purpose Capacity Sorting, Ground floor 1000 sq ft Washing First Floor 1000 sq ft Drying 300-400 clothes Second floor(open to sky) 700 sq ft Drying 150-200 clothes
WASHING MACHINE DETAILS AT KATRAJ
Max Capacity
Washing Machine 1 Washing Machine 2 Hydro Spinner Dryer 120 clothes per lot 50 clothes per lot
Safe Loading
60-70 clothes per lot 30-40 clothes per lot
Cost(Rs)
250000 120000 25000 60000
RESOURCE USAGE:
Resources Counter Operation Ironing Washing Ape
Electricity
No. of Persons 2 3 3 1
Rate 5000 1 per piece 3000 On Contract
2500 per month
RATE CHART OF LAUNDRY:
Sl No. Item 1 Formal Shirt 2 T- Shirt 3 Formal Paint 4 Jeans Pant 5 Waist 6 Underwear 7 Socks 8 Handkerchief 9 Bed sheet Rate (Rs.) 7 7 7 8 7 5 5 5 15
10 Pillow Cover
11 Tie 12 Coat 13 Sweat Shirt 14 Towel 15 Blanket
7
7 25 15 10 50
COST ANALYSIS:
No. of Clothes Lavale(1000/2*1*30) Infosys(500) Hotels
Revenue Structure Per Month Avg. Rate 15000 500 900 Total Expense Structure Amount
Revenue 8 5 8 120000 2500 7200 129700
Item Head Rent Ironing Transportation Electricity Manpower Materials Water Misc. Expenses Depreciation of Assets Washing Machine 1 Washing Machine 2 Hydro Spinner Dryer Net CAPEX Appropriated over 60 months Preventive & Breakdown Maint. WACC @ 15% Total Expenses Net Monthly Profit
Total per Month
15000 18000 12000 2500 19000 6000 2000 10000
84500 250000 120000 25000 60000 455000 7583 2500 937769
10083 15629 110213 19487
CAUSES FOR BAD SERVICE LEVEL IN LAUNDRY
?
Increased Order fill time (OFT):
?
Since the process is not mechanised, loss in productivity can cause backorders and piling of clothes at the Counter or Washing Area either due to controllable factors (issues due to manpower, bad scheduling, bundle mishandling, and transportation) or uncontrollable factors (bad weather, intermittent power cuts)
?
?
? ? ?
Sudden spike in customer orders (due to bad weather, after a long weekend, some college activity, exam time) will cause a piling of clothes since the capacity (washing/ironing) is just matching to meet the demand. There is NO system to ensure that piles of clothes received in a day are washed and stacked together so that misplacing of clothes is avoided at Katraj facility. Power cut while washing can cause over soaking and the clothes’ colour may get damaged. Washing of soft clothes with heavy items can damage the texture over a period of time. There is NO system to customize washing for a particular cloth which has dark stains. The laundry on student complaints re-takes washing of the same cloth in the same way as bulk washing is done, which makes it no better.
SUGGESTIVE PROCESS IMPROVEMENTS IN THE EXISTING LAUNDRY:
?
?
?
The two separate counters at Boys and Ladies Hostel could be replaced by a single counter at a common area thereby reducing manpower by 1 and rent of facility by say 50% if a combined counter is of larger size and rent is 7500 pm. Ironing process may not be outsourced and the people can be hired on wage basis rather than by piece basis. This leads to both increases in customer service levels as well as reduced cost of the laundry owner. Even If 3 people are hired for this purpose assuming 5000 per person per month, it will lead to a saving of 36,000 per year increasing the profit by 15 percent. The clothes should go to drying as soon as they are out of the process from hydro dryer so that the capacity on drying can be increased to face a peak order. It will lead to formation of a capacity buffer at the drying process.
SUGGESTIVE PROCESS IMPROVEMENTS IN THE EXISTING LAUNDRY............CONTD.
?
?
?
The marking of clothes needs to be improved to include different marks for different people staying in the same room so that Order fill accuracy (OFA) can be improved. The room wise sorting can be done at the facility at Katraj in the morning once the clothes have been dried and then they can be separated according to room numbers. It leads to more capacity at ironing as well as customer service counter. Some amount of value added service like minor stitch repairs, button fixing, zipper change, hemming, etc. can be done at the front end counter by the ironing person and this will be added revenue at no extra cost other than a sewing machine and having a ironing person with basic stitching skills.
doc_773299388.pptx