Group Assignment

Submitted to

Esnaina Quader(ESQ)

Department of Management

NORTH SOUTH UNIVERSITY

MGT314

Section: 11

Date of submission: 16th December 2021

Submitted by

Name ID

Adhora Ahmed 1610180630

Saurav Roy 1911459630

Md. Jamiul Islam 2012498030

Irtiza Mohammad Karib 2013705030

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Table of contents

Introduction………………………………………………………………………………….3-4
Current manufacturing process…………………………………………………………..….4-6
Updated manufacturing process…………………………………………………………….7-10
Conclusion...……………………………………………………………………………….11-12
References………………………………………………………………………..………..12-13

Anwar Cement
Manufacturing process
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Introduction

Anwar Cement is a subsidiary company of Anwar Group of Industries. Anwar Group started its

journey in 1864. However, significant changes started in the 1960s with Anwar Hossain's efforts

to diversify the business to achieve growth. Anwar cement was one of the prominent creations of

Mr. Anwar Hossain. After the sudden demise of Anwar Hossain, Manwar Hossain, Son of

Anwar Hossain, was elected as the current Chairman of Anwar Group. Anwar Group currently

participates in multiple industries with their wide range of products and services like textile

products, Steel, Cement, Cement Sheet, Jute products, Real estate, Financial services, etc. Apart

from having a significant market share in the local market, these products, including Anwar

Cement, are exported worldwide.

Anwar Cement Limited is a well-known company in the country's building material sector.

Anwar cement is made in highly automated, modern production facilities using the best raw

materials available and is subject to meticulous quality control and quality assurance process. It

has included the most recent European Technology, best-unrefined components, and experienced

HR to convey a result of the most outstanding quality. The use of the most up-to-date and

cutting-edge 'Classifiers' in conjunction with PLC-driven Close Circuit technology assures

fineness and improved particle size distribution, resulting in the highest quality cement in terms
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of Compressive Strength and Setting Time. (With due thought to a 'Cleaner Environment,' Anwar

Cement Limited has introduced 'Residue Collectors' in various regions.)

Anwar Cement Limited produces Portland Composite Cement (PCC), Ordinary Portland

Cement(OPC), and Portland Pozzolana Cement (PPC) at the moment. On the banks of the

Meghna River, Anwar Cement has strategically positioned its cement clinker grinding machine

with a capacity of 2000 TPD. The company has also employed 450 employees. Anwar Cement

Limited has already gained a significant market share despite only being in operation for a few

years, fighting against local and international brands. In 2019, the company produced 646,591

metric tons of cement, of which 27,475 metric tons of cement have been exported.

Anwar Cement has partnered with some of the most notable infrastructure projects since its

founding in 2002, including the country's largest flyover: Mayor Hanif Flyover, Bangladesh's

one of the tallest buildings: City Centre, Dhaka-Tangail Lane 3, Rooppur Power Plant, Payra

Port, Shahjalal International Airport's Runway, and BSMMU Super Specialized Hospital.BSTI

and BIS approved Anwar Cement has recently started exporting to the Indian 7 sister states post

its expansion. Much lies ahead in export earnings.

Current Manufacturing process

Processed materials received: The used raw materials are imported from Indonesia through sea

transportation. Then the quality control department checks the raw material whether the raw
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materials satisfy their required quality or not. After that, the raw materials are unloaded through

a crane and goers for storing if materials pass the quality test.

Starting the machinery: The whole process is automated and handled by programmable logical

control (PLC) from the control room. Control-room employees input instructions about each step

of the process and monitor it. Currently, Anwar cement entirely depends on Rural Electricity

Board (REB) for electricity supply to support its operations.

Raw material unloading: After the raw material gets approved by the quality control

department, the raw materials are unloaded.

Storing: After the raw material gets unloaded, it is sent to the storage house for storing.

Configurations (deciding ratio): In the factory, they produce three graded cement (OPC, PCC

& PPC). For every graded cement, they maintain a specific ratio of raw material. For OPC, they

use 95% Clinker and 5% Gypsum. For PCC they use 65% Clinker, 5% Gypsum, 30%

(Limestone & slag). PPC uses 65% Clinker, 5% Gypsum, and 30 % (Limestone, Slag & Fly ash).

Ball mill filling: After deciding which graded cement they want to produce, the extracted raw

materials reach the ball mill. The five types of raw materials are sorted into five feeding hoppers.

The machine collects the required amount of raw materials from each feeding hooper according

to a given input. Then it goes to the way-feeder, which is under the feeding hopper, and it falls

into a belt which goes to the Ball mill. In the ball mill, there are two chambers. In the first

chamber, the larger balls will crush the materials to break the large-sized materials into smaller

sizes. After that, the crushed materials will go through the second chamber, where the crushed

materials will be grinded into particles by the smaller balls called cement.
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Separator: After grinding the raw materials into particles, it goes to the separator. In the

separator, the particles get divided into two forms. One is fine particles, and another one is coarse

particles. The fine particles are 4000 blends, and the coarse particles are less than 2000 blends.

The fine particles go to the silo, and the coarse particles return to ball mill filling, where they will

be grinded again. Moreover, this process will run continuously.

Cement Silo (Storing): After the raw materials are extracted and grinded successfully into fine

particles, the final products are stored in the cement silo. From the silo, the cement goes into two

areas through an air slide (Bulk area & packaging unit).

Packaging: If they want to sell the cement for retail, it goes to the packaging unit. Each cement

bag is filled with 50kg cement by a nozzle in the packaging unit.

Bulk area: if the grinded cement is bought in bulk, the cement is sent from the bulk in container

load.
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Figure01: Current manufacturing Process

Updated production process

Using Alternative Energy Source: After Receiving the processed materials they will choose the

in house power supply. Anwar cement gets its energy supply from the Rural Electricity Board, a

government electricity supplier. They are now producing 90 Ton per hour. For per ton cement

production they require 46 Kwh energy. The cement plant pays REB exactly 8.70tk per unit, and

the plant needs to use vast quantities of energy to run its manufacturing operations. Moreover,

witnessing a power outage is a regular event that causes the plant to shut down during

manufacturing. As a result, it also has to bear the cost, loss of time, and loss of productivity.

Anwar cement can set up a gas generator to get 40% of the power supply for their manufacturing

operations. Furthermore, it will cost 6.5tk per unit. The plant can buy natural gas from the

government and then uses in-house gas generators to make electricity for their operations. Other

firms in the industry use this option. It is estimated to save them around 3 crore taka electricity

bills per year. Then, it will also save them from loss of time, productivity and decrease the

production cost.
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Raw material extraction and feeding:

They are now using a ball mill that has a design capacity of 80 TPH. However, through

optimization, they are now producing 90 TPH using the ball mill. Nevertheless, if somehow a

breakdown happens, the whole production stops until they fix the problems. Suppose if the

production goes off for 5 hours, then they can't produce 450-ton cement, which will affect their

production capacity and supply. So they should maintain two ball mills of 45 TPH each, which

will give 90 TPH capacity combinedly. It will bring flexibility to their production system

because it is pretty rare for two machines to be damaged simultaneously. If accidentally one

machine stops due to any reason. Then production by the other machine will continue. Moreover,

suppose if one machine goes off for 5 hours, they cannot produce 225 Ton cement. So they will
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have a shortage of 225 tons of cement from their target. However, it is way better that the new

production process can give some output rather than stopping it for a certain period. The current

production consumes a significant portion of supplied energy even if the production process gets

stopped. So it is better to utilize the used energy for production by using two sets of Ball mills.

Variations in packaging quantity:

If they choose for retail then the cement will go to the packaging unit and there they will produce

three types of quantity bags through three nozzles. Anwar cement currently produces only 50kg

bags of cement for retail purposes. If the company can introduce a new flexible packaging

system where they can produce different quantity bags as per their requirement then the customer

will have a broader choice to select from. The company might introduce a 25kg cement bag for

those customers who might require a lower quantity of cement for maintenance of some parts of

their house like floors, pool decks, etc. The company might also introduce another bag of cement

which contains 100kg. The company can sell this 100 kg bag at a lower price than a pair of 50kg

bags. This bag might be for those customers who want to buy a larger quantity of cement bags

but at a lower price.

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Figure02: Updated manufacturing process flowchart

Conclusion

The company is currently having problems providing their required supply due to machine

breakdown and power outage and providing wider choices of cement sacks to their customers

due to their current production process. So to solve these problems, the company needs to

modify its current production process. The introduction of flexibility in capacity can protect them

from the shutdown of production and help with cost control and profit maximization. By

introducing gas generators to the production process, the company can mitigate the problem of a

power outage, which hampers the production line and the ability to earn more profit. In the new

production process system, the company introduces new packaging quantities. The new sacks of

cement will attract more customers as they will have a broader choice to select their required

quantities from. Furthermore, the variety in the packaging quantity will give them a competitive

advantage. Because if they introduce this variety, they will be the first mover in Bangladesh who

will produce 25 and 100 kg cement bags for the first time. Overall, all these new suggested

processes will create comparative advantages for Anwar Cement.

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References

Secondary source:

Anwar Cement Ltd | Bangladesh Cement Manufacturers Association (BCMA). (n.d.).

BCMA. Retrieved December 16, 2021, from

http://www.bcma.com.bd/members/anwar-cement-ltd

Anwar Cement Ltd – Anwar Group. (n.d.). Anwar Group. Retrieved December 16, 2021,

from https://www.anwargroup.com/anwar_brands/anwar-cement-ltd/

Primary source:

All four members were present during the discussion with the senior production manager of
Anwar cement. He answered all of our questions and made our work easier. Because we collect
maximum data from him so we use secondary sources for a few.
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Visiting card of the senior Manager whom we interviewed

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