Mech_Adjustable Hospital Beds

8/19/2019 Mech_Adjustable Hospital Beds

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A DJUSTABLE HOSPITAL BEDS

PRODUCT CODE : NA

QUALITY AND STANDARDS : As per IS: 7378-1974

/Customer specification

PRODUCTION CAPACITY : General Purpose Hospital Beds - 250 Nos.

(Per Annum) Fowlers Hospital beds - 250 Nos.

Value : Rs. 91,00,000/-

MONTH AND YEAR : May, 2014

OF PREPARATION

PREPARED BY : Sh. Kamal Singh

Deputy Director (Mechanical)

1. PRODUCT AND ITS USE

Adjustable hospital beds are made of steel & normally used in Govt.

Hospitals, Private Hospitals, & Nursing homes, Clinics etc. There are two types of

hospital beds namely.

i. General purpose Hospital Bed Steeds

ii. Fowlers hospital Beds

2. MARKET POTENTIAL

The demand for adjustable beds is increasing day by day due to the following

reasons.

i.

Increase the number of Hospitals in private sector due to increase Health

consonance among public

ii. Increase in number of private & Government nursing homes and clinics.

The Govt. is encouraging new hospitals & nursing homes in private sectors in

order to increase treatment facilities in therefore likely to be a steady increase in the

demand for hospital furniture. However, the growth rate is expected to be more than

10% per year and as such it may be ideal for the existing steel furniture manufacturer

units to take up this activity for not only as diversification but also better capacity

utilization by adding some manufacturing facilities in these units.


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3. BASIS AND PRESUMPTIONS

i.

This project profile is based on 8 working hours a day and 25 days in a month

and the break even efficiency has been calculated on 75% capacity utilization

basis.

ii. The gestation period in implementation of the project may be about 8 to 12

months. This period including making of all arrangements such as

preparation of project reports, Registration as SSI etc, market surveys,

recruitment of staff, commissioning of plant and trial production etc.

iii. The normal wages and salaries being paid in the industry to various grades of

personnel have been considered and also the provision of minimum wages

has been taken care of.

iv. Rate of interest for both fixed & working capital have been taken as 14% P.A.

v. The payback period for finance to the financial institutions may be about 8/10

years in case of term loan. The working capital loan may however be in ashape of rolling/limit based capital.

4. IMPLEMENTATION SCHEDULE

Implementation of the project involve various activities like market surveys

and tie-ups, procurement of know-how, arrangement of premises/land, building,

preparation of project report, registration, financing purchase of machines,

commissioning of project, recruitment of staff and training, arrangement of power,

procurement of raw materials, packing material, trial production etc. in order to

implement the project efficiently and in the shortest period there is a need to initiate

many activities simultaneously as far as possible. This will not only cut the slack

period but also will give quick results and be cost effective. It is advised to follow

PERT/CPM/NET WORK analysis technique for implementation along with their

estimated time requirement is given below.

S.No. ActivityEstimated

period required

1. Market survey 15-20 days

2. Procurement of know-how/experts 30 days

3. Arrangement of premises 30-45 days

4. Obtaining quotations and preparation of project report. 15-20 days

5. Registration and financing. 45-60 days

6. Recruitment of personnel and training. 30-45 days

7. Obtaining power connection. 15-30 days

8. Procurement of machines and equipments. 45-60 days

9. Installation and electrification of machinery. 20-30 days

10. Procurement of raw materials, consumables, packing

materials etc.

5-10 days

11. Product development/trial production 5-10 days

12. Commercial production 5-10 days


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5. TECHNICAL ASPECTS

5.1. Process of Manufacturing

The basic operations involved in the manufacturing of adjustable beds are as

follows:

1. Cutting & bending of pipes

2. Cutting of MS angles, MS Roads of required sizes

3.

Cutting of MS Sheets

4. Welding & machining work

5.

Grinding

6. Assembling of elevating mechanism

7. Painting & baking

5.2. Inspection & Quality Control

IS: 7378-1974 specifies dimensional & other requirements of fowlers beds used

in hospitals. The above specifications may be followed for quality control.

5.3. Energy Conservation

This industry is not a large power consuming industry however maximum

care should be taken in utilization of electrical energy.

5.4. Pollution Control

These types of industries are not producing any effluents or any other

polluting material. Therefore pollution control measures are not taken into account.

5.5. Production Capacity

This unit is envisaged to produce 500 Nos. of different types of hospital beds

to the worth of Rs. 91 Lac.

6. FINANCIAL ASPECT

6.1. Fixed Capital

Land & Building: A built up area of 200 Sq. Mtr on rental basis; Rs. 10,000/- per

month.


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6.1.1. Machinery and Equipments

Sl.No.

Name of machine Qty.Rate(Rs.)

Amount(Rs.)

1. Pipe bending machine hand operatedwith fixtures locally fabricated.

3 Nos. 30,000/- 90,000/-

2.

Arc welding set 1 Set 25,000/- 25,000/-

3. Gas cutting set with torch, regulators etc. 1 Set 20,000/- 20,000/-

4. Bench drill machine ½ “ capacity 1 No. 25,000/- 25,000/-

Portable drilling machine ½ “ capacity 1 No. 20,000/- 20,000/-

5.

Flexible shaft grinder 150 mm wheels 1 No. 10,000/- 10,000/-

6. Double ended bench grinder 300 mmsizes.

1 No. 20,000/- 20,000/-

7. Hand shearing machine 3 mm capacity 1 No. 10,000/- 10,000/-

8.

Baking oven 2.5m x 2 m x 2 m Size & 20KWA capacity 1 No. 1,25,000/- 1,25,000/-

9. Hand press No. 4 2 Nos. 10,000/- 20,000/-

10. Cleaning, pickling, Phosphating tanks2.5 x 2 x 2 mtrs.

L.S L.S 1,00,000/-

11. Compressor with spray gun unit forpainting

1 No. 20,000/- 20,000/-

12. Riveting m/c portable type electricaloperated.

1 No. 25,000/- 25,000/-

13.

Hand tools, instruments etc. LS -- 25,000/-14. Fixtures & dies. LS -- 1,00,000/-

15. Electrification & installation @ 10% cost of machinery 51,000/-

16.

Office equipments/work table etc. 1,00,000/-

17. Pre-operative expenses 50,000/-

Total 8,36,000/-

6.2. Working Capital (per month)

6.2.1. Staff and LabourS.No. Staff No. Rate (Rs.) Amount (Rs.)

1.

Supervisor 1 No. 15,000/- 15,000/-

2. Clerk/accountant 1No. 7,500/- 7,500/-

3. Peon/chowkidar 1 No. 6,000/- 6,000/-

4. Skilled worker 2 Nos. 10,000/- 20,000/-

5.

Semi-skilled worker 2 Nos. 7,500/- 15,000/-

6.

Helpers 2 Nos. 6,000/- 12,000/-

Perquisites @ 20% of salary 15,100/-Total 90,600/-


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6.2.2. Raw Material

S.No. Nomenclature of the material Amount (Rs.)

1. M.S. ANGLE IRON 40mm X40mm X3mm &38mmX 38 mm X 3mm = 1.00 MT @ Rs. 55000/- per M.T.

55,000/-

2. M.S. tubes 38.10 mm ODx 1.6 mm/1.22 mm thick

1.5 M.T @ Rs. 70,000/- per M.T.

1,05,000/-

3.

M.S. tubes 25.40 mm ODx 1.6 mm/1.22 mm thick1.50 M.T @ Rs. 70,000/- per M.T.

1,05,000/-

4. M.S. tubes 19.5 mm ODx 1.22 mm thick1.00 M.T @ Rs. 70,000/- per M.T.

70,000/-

5. M.S Strips 1.25 mm X 25 mm1.00 M.T @ Rs. 60,000/- per M.T

60,000/-

6. Castor wheels 240 Nos. 24,000/-

7. Nuts, Bolts, Screws, Washers, Flats, Rubber Items, Paint, etc. 25,000/-

Total 4,44,000/-

6.2.3. Utilities

Power (L.S) Rs. 12,000/-

Water (L.S) Rs. 3,000/-

Total Rs. 15,000/-

6.2.4. Other Contingent Expenses

S.No. Heads Amount (Rs.)

1.

Rent 10,000/-2. Postage & stationery (L.S.) 5,000/-

3. Telephone (L.S) 2,000/-

4. Repair & Maintenance (L.S.) 5,000/-

5. Consumable Stores (L.S) 5,000/-

6. Transport Charges (L.S) 10,000/-

7. Advertisement & publicity (L.S.) 5,000/-

8. Insurance (L.S.) 2,000/-

9. Sales Expenses (L.S.) 10,000/-

Total 54,000/-

6.2.5. Total Recurring Expenditure (per month)

S.No. Amount (Rs.)

1. Staff & labour 90,500/-

2. Raw Materials 4,44,000/-

3. Utilities 15,000/-

4. Other Expenses 54,000/-

Total 6,03,600/-

Total Working Capital for 3 months Rs. 18,10,800/-


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6.3. Total Capital Investment

Total Fixed Capital Rs. 8,36,000

Total Working Capital (for 3 months) Rs. 18,10,800 Total Rs. 26,46,800/-

7. FINANCIAL ANALYSIS7.1. Cost of Production (per annum)

i. Recurring Expenses Rs. 72,43,200/-

ii. Depreciation on machinery @ 10% Rs. 51,000/-

iii. Depreciation on jigs & fixtures @ 20% Rs. 25,000/-

iv.

Depreciation on office equipment furniture @ 20% Rs. 20,000/-

v. Interest on total capital @ 14% Rs. 3,70,552/-

Total Rs. 77,09,752/-

Say Rs. 77,10,000/-

7.2. Turnover (per annum)

i. By sale of 250 Nos. Fowlers hospital beds @ 24,000/- Rs. 60,00,000/-

ii. By sale of 250 Nos. General purposes hospital beds @12,000 Rs. 30,00,000/-

iii. By sale of scrap (L.S) Rs. 1,00,000/-

Total Rs. 91,00,000/-

7.3. Net Profit (per annum)

= Turnover – cost of production= Rs. 91,00,000 - 77,10,000

= Rs. 13,90,000/-

7.4. Net Profit Ratio

=Net profit per year

X 100Turnover per year

=13,90,000

X 10091,00,000

= 15.3 %

7.5. Rate of Return

=Net profit per year

X 100Total Capital Investment

=13,90,000

X 10026,46,800

= 52.5 %


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7.6. Break-even Point

Fixed Cost per annum in Rs.

1.

Rent 1,20,000/-

2. Interest 3,70,552/-

3.

Total Depreciation 96,000/-

4. 40 % of salaries 4,34,880/-

5. 40% of other expenses including utilities &excluding rent & insurance.

2,01,600/-

Total 12,47,032/-

B.E.P

=Fixed Cost

X 100Fixed Cost + Net Profit

=12,47,032

X 10012,47,032 + 13,90,000

= 47.3 %

ADDRESSES OF MACHINERY SUPPLIERS:

1. M/s. Kwality Machine Tools, No. 25, JC, Road , Near VSL Building, Bangalore

2.

M/s. K.G. Khosla & Co. Mathura Road, Baddrpur, Delhi

3.

M/s. Indian Oxygen Ltd., Nagaraj road, New Delhi

4. M/s. Perfect machine Tools, Grant Road, Bangalore

5. M/s. Batliboi Engineers Pvt. Ltd., 99/2, 99/3, N.R. Road, Bangalore

Mech_Adjustable Hospital Beds

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