Sunday, February 13, 2011

PAK ELECTRON LTD


PAK ELECTRON LTD. was established in 1956 with the technical collaboration of M/S AEG, West Germany. It is the oldest composite electrical equipment-manufacturing unit of Pakistan with the object of initially producing transformers, switchgears and electric motors. In 1962 after conclusion of joint venture agreement with AEG, total shareholding was purchased than by sponsors M/S Malik Brothers Limited.
In October 1978, PEL was taken over by SAIGOL GROUP OF COMPANIES, which is the largest and well-know industrial and commercial group in Pakistan. The Saigol Group belongs to the Saigol family that is an old business family and has contributed a lot towards Pakistan’s industrial and believes in continuous development and growth. The result is a global business activity monitored through the various offices worldwide. Meeting Saigol’s traditions, since its takeover by the group, PEL is also a Company on the go”. The high growth rate proves the complete success of the professional management and provides sufficient confidence to trust in its future development schemes.






Pakistan Electron Ltd (PEL)
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Pepsi Cola pakistan Ltd


Pepsi cola started in the January 1898, from a small Drug store in the city of North Carolina. The owner of the Drug store, Mr. Caleb Bradham, prepared a drink, which the customers called "the Bred Drink". Bred registered this drink with the name of Pepsi Cola in 1903. Then he started his own production at Macro level and established his own company. In 1909 this company reached to 24 states of America with more than 250 dealers. The very first packing of Pepsi was in 16.5 ounce. 
In 1932 Pepsi cola has introduced its new packing in 12 ounce. In 1950 Pepsi Cola has started its new Advertising Campaign with the name of "Refresh without Filling". It also changed the chemical formula and decreased its sweetness and calories. 
With the efforts of the Sales & Marketing Department, Pepsi got so much fame that it established new plants at a rate of thirty per annum.
 Today Pepsi is available in more than 155 countries of the world including Soviet Union & China.



Pepsi Cola
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Bata Pakistan Limited


The company that evolved into Bata shoe organization was first registered in the town of Zlin Czechoslovakia on August 24, 1894. It was innovative from the beginning in that its founders intended the company to be a “shoe manufacturer”. This represented a significant departure from the centuries old tradition of the one-man workshop eking out a bare subsistence for his family on a Cobbler’s bench at home.

                                                   By 1905 Bata had grown too some 250-company employees. At 2200 pairs per day, the personal effectiveness of each Bata employee far outdistanced the few pairs per day produced by the their predecessors.
                                                   The young company overcome many early difficulties .I n order to meet growing demand during the early years, new production machinery was found in other countries and innovative show making technique were devised by skillful and resourceful Bata employees. New kinds of shoes were introduced using new way to promote them. Bata’s reputation as the innovative industry leader has been, maintained ever since. Despite the outbreak of the first world wart material shortages, manpower shortages, corbels and other challenges, sales increased to about two million pairs by 1917.





Bata
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Al-Ghazi Tractors Limited (OM)


Al-Ghazi Tractors Limited was incorporated on June 26, 1983 at Lahore.They started operations in September 1, 1983.  They started their production at D.G.Khan Auxiliary Plant in February 20, 1985.
A Joint Venture of PACO and Habib Group, NDFC and Fiat of Italy controlled management from September 1983 to August 1990. It was incorporated as a public limited company with an authorized capital of 100 million divided into 20 million shares of Rs. 05 each.
The joint project was first of its kind in pakistan in the line with govt policy of private sector partcupation in nation’s building program of high priority. Both public and private sectors worked together upto 1990 and finallyl Al Ghazi Tractors limited was nationalized in the same years.
Al-Ghazi Tractors Ltd. is rated among the Top Companies of Pakistan & has been the market leader of tractors in Pakistan Al-Ghazi consecutively for the years 1994, 1995 and 1996 by the Karachi Stock Exchange. Al-Ghazi Tractors was conferred the Management Excellence Award by the Management Association of Pakistan for demonstrating the best Corporate Performance in the Engineering Sector of Pakistan for the years 1995 and 1996. Al-Ghazi Tractors is the first Company in the Automobile sector of Pakistan to have achieved the highest quality award “The ISO 9002” registration that gives Al-Ghazi Tractors Ltd. the international recognition as Producers of Fiat and New Holland Tractors.
With a strong dealer-network dotting the country form Karachi to Gilgit[1] with over 300 service workshops to attend to the 100,000 Fiat Tractor Models 480-S and 640 and newly introduced model New Holland operating in the country. Al-Ghazi Tractors today is the market leader with bookings exceeding 50% of the total tractors market in the country. The company is capable of producing 15,000 tractors on a single assembly line.






Al-Gazi Tractors Limited
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Cvs

 These are  Cv Sample taken from some students .they made these and submitted to there companies or elsewhere.   junaid cv

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Ismail MBA Exe
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haroon c.v

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CV Resume New

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HAFEEZ resume
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HAFEEZ resume
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CV
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CURRICULUM VITAE
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Adnan refind cv
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sajid tufail
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resumemodern
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resumeexec
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Ajmal for UBL
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Internship Reports



KAPCO (kot Addu Power Company)
By: Surmad Umar

COSLAB (PVT)LTD MULTAN
By :KHALID KHAN/ Surmad Umar

PACKAGES LTD.
By : Surmad Umar
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Engineering

Electrical
Mechanical
Civil



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Medical


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Internship Reports



KAPCO (kot Addu Power Company)
By: Surmad Umar

COSLAB (PVT)LTD MULTAN
By :KHALID KHAN/ Surmad Umar

PACKAGES LTD.
By : Surmad Umar
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PARCO (Pak Arab oil refinery) Ltd Pakistan


Operation Management


The term operations management refers to the design, direction and control of the process that converts resources (inputs) into finished goods and services (outputs).

Energy organization has an operations system that creates value by transforming inputs into outputs. The transformation process is just as relevant to service organizations as to those in manufacturing.

Large companies generally assign each function to a separate department, which assumes responsibility for certain activities.

 

Pak Arab Refinery (PARCO)


PARCO was established in 1972 as joint venture between the governments of Pakistan & Abu Dhabi to own and operate petroleum refineries, cross country crude / product pipelines and POL storage in Pakistan. It has emerged to be the most successful joint venture between the two brotherly countries.

PARCO is striving through its various energy infrastructure projects to excel country’s expectation in all aspects of product reliability, performance, delivery & service through the process of continuous growth of its system aimed at getting closer to the end consumer and meeting the energy needs in an efficient and economic manner.

Introduction


Parco’s present system can best be described as the country’s energy lifeline. It consist of over 1200 km 16 inches via pipe line with a sophisticated microwave based telecommunication and SCADA system, more than 200,000 MT of petroleum storage, 4 terminals and 7 cross country pumping stations.

The PARCO joint venture was formed to setup an Oil Refinery at Mahmood Kot.  The pipeline commissioned in 1981 is capable of transporting crude oil as well as refined petroleum produces. Until 96 PARCO had transported 35 million tons of High Speed Diesel and Kerosene to meet upcountry needs of the domestic, commercial, industrial, agricultural and defense sectors.

The company has been paying handsome dividends to the shareholders from the very first year of its commercial operations.

In addition to the payment of handsome dividends to the shareholders, it has made a significant contribution to the national exchequer through taxes, import duties and savings in freight pool. Its pipeline has also helped conserve foreign exchange by saving imported diesel that would other wise be used in transporting oil products to upcountry areas by rail and road and has offered increased employment opportunities in the country. In a nutshell all the initial investment in PARCO has been paid back many times over almost Rs. 32 for every rupee invested in financial and economic terms.
Over the years, PARCO has expanded and extended its operations in a professional manner. The growth has been modular and in anticipation of the country’s needs. In 1991, it implemented with the cooperation of Oil Marketing Companies, the project to Debottlenecking Keamari Facilities, which not only relieved the berthing congestion at Keamari port by directly discharging tankers into PARCO’s Korangi Station but also increased the oil storage capacity in the country by 50,000 tons. This came in extremely handy during the Gulf war by cushioning potential shortages of product, due to no arrival of tankers for over 15 days, and maintained supplies upcountry without any disruption.
In 1994 they completed and successfully commissioned two additional intermediary pumping stations, one at Bubak in Sindh and the other at Fazilpur in Punjab which increased the pumping capacity by almost 55% from 2.9 to 4.5 million tons per year. PARCO have also acquired the capability through the use to technical innovations and without any capital expenditure, to further increase the capacity of system by another 40% from 4.5 to 6.0% million tons per year to be able to continuously meet the country’s requirements up to 1999.

The project to extend their Karachi to Mahmood Kot pipeline system by another 350 Kms via Faisalabad having end point at Machhike has completed.
This has result in extending their system from 900 km to 1250 km from Karachi. An important design feature of this project is the possibility for the future extension of pipeline from Faisalabad to Kharian via Mandi Bahauddin and from Kot Bahadur Shah to Sahiwal via Toba Tek Sing. Once all these projects are in place, it will enable PARCO to cater to the petroleum product needs of the entire consumer market located in the crescent belt from Peshawer to Multan, when constitute almost 60% of the entire country’s needs.

Initially the PARCO mid-country refinery project was designed with the capacity of 2 million tons refinery.

By undertaking a comprehensive techno-economic feasibility study of a 4.5 million tons refinery instead of the 2 million tons, more than double the capacity originally conceived. Number of national and international financing agencies including the World Bank have fully endorsed the technical and commercial aspects of this feasibility.

PARCO mid country refinery, is being set up at the end of the existing pipeline from Karachi to Mahmood Kot where a large product storage facility and other infrastructure already exist and, it will provide additional 4.5 million tons per year equivalent to 100,000 BPD refining capacity in the country.

Making its capacity some what more than the capacity of three existing refineries in the country.
The mid-country refinery is designed as a fully integrated refinery, having both primary and secondary facilities to maximize the production of value added and deficit products. Selected refinery processing scheme, is based on the state of the art technologies available and shall be able to meet the prevalent international environmental standards since the refinery will be adequately equipped to produce, for the first time in the country, un-leaded gasoline and low sulfur diesel.

PARCO refinery will produce almost one million tons of the much needed furnace oil for the WAPDA Power Houses near Kot Addu, thus eliminating the expensive logistic of transporting furnace oil from Karachi. This refinery will eventually become a nucleus for the development of down stream petrochemical units in its vicinity.

PARCO has now been in existence for more than 25 years. Its corporate voyage through these years has been full of important milestones. In the past 10 years PARCO has grown in size and strength and can look with confidence to a much brighter future. The following account gives a true insight into PARCO's story of success, its trail of achievements and its up-coming aspirations.
CORPORATE PROFILE
Incorporated as a public limited company in 1974, PAK ARAB REFINERY LTD is a Joint Venture between the countries of Pakistan, Abu Dhabi and Austria. The share holding in the Joint venture is in the proportion: Government of Pakistan (60%) and ABU DHABI Petroleum Investment (ADPI) & OMV of Austria (40%).
PARCO was established with the Primary objective of:
Ø Oil Refining and allied facilities
Ø Oil Pipeline systems, storage and allied facilities
The company was established with seed money of Rs. 540 million and has now expanded twenty four (24) times to an equity base of Rs.13, 041 million and an asset base of Rs. 91 billion. The summary of capital structure of PARCO is given under:

INITIAL  (1981)
PRESENT  (2000)
Authorized Capital
1,500
5,000
Paid-up-Capital
540
2,160
GOP
324
1,296
*ADPI
216
864
Reserves
1
14,340
Long Term Loan
1,115
52,762
Debt: Equity Ratio
67:33
77:23


With the continued support of Abu Dhabi, PARCO has been able to implement a number of energy related infrastructure Projects which have contributed immensely towards complementing the oil logistics with the overall national development Plans.

Corporate Strategy

VISION STATEMENT
For PARCO to remain among tomorrow's corporate winners, it may not only need to have a clear vision but also a passion for translating that vision into reality. The big challenge is therefore, not only trying to figure out what future will be the right one, but to choose a future that will give definite competitive advantage to the Company over the long-term.
MISSION STATEMENT
Ø   To enhance and establish a professionally sound corporate identity.

Ø To operate the existing Pipeline System, Mid Country Refinery and marketing initiatives in a manner that establishes it as a centre of excellence in Pipeline, Refining & Marketing Activities in the Country.
Ø To embark upon Integrated Investment Program which takes cognizance of the existing bottlenecks and long-term petroleum needs of the Country.
Ø To provide a lead to the indigenous Petroleum Industry in finding of solutions to Technical and Managerial problems.
Ø To develop appropriate Human Resources for undertaking of large Energy Projects in the Country
Distinctive Competencies
For meeting the competitive priorities, Cost, Quality and flexibility, Parco has integrated system of competence for meeting and coping the environmental changes.
For the operations, being performed from the last 18 years at the terminal station Mehmood Kot for the transportation of oils low cost is giving them the competitive edge in this business because the cost of transportation of oils through pipelines is low cost of ratio. Because the other means of transportation like railway or oil tankers are very costly and cost of maintenance and depreciation for railway of and oil tankers is in million of rupees. Maintenance of these pipelines is very cheap.

 

Flexibility
There is volume flexibility in terms of CDR. Also there is flexibility in terms that different products can be pumped in the same pipeline.
From the last 18 years, there has been on time delivery of oil of different marketing companies that they transport from Karachi to Mehmood Kot. There has been no shortage, no back orders in these past 18 years.
Work Force
Parco has well trained and flexible work force that respond to the market need in a timely manner and fashion.
Facilities
Parco has actively involved in various facets of Oil storage, Transportation and reefing. The refining of the oil and allied facilities strength the organization to minimize lead time.

System And Technology
Parco has immense integrated system of wide spread technology in all following categories
Ø Product technology
Ø Process technology
Ø Information technology
The product and process technology are based on the JAPNESE technology system which have been completed by the consultant services of two JAPNESE Company
Ø J G C Corporation
Ø Marubeni Corporation
The whole plant is fully computerized. The YOKAGAWA software is used to control the hardware and execution of the whole plant.
As for as information technology is concerned, the various application software for administration purpose working in the administration section, which were developed by the Pakistani company ORA-TECH system.


Project Design & Implementation Strategy
Business Design
Optimally linked expenditure plans to meet up-country market demand.
Process Design
Generated most economic “least cost“ engineering solution to meet market requirement. I.e.  Fit for purpose Design
Engineering Design
Eliminated all wasteful expense , eg. Gold Painting. Rigorous review of all cost items.
Implementation Strategy
Supply and construction contracts to establish firm cost and project completion with in 36 month.
Financing Arrangements
Generation of equity through in house resources without the need for existing share holders to contribute additional funds.

Contractors who take immense pride to have been part the team involved in successful completion of the    PARCO
Project Facts
 1.     Location                                 Qasbah Gujart / Mahmood Kot
2.      Project Cost                           US$886 Million
3.      Main supply                           JGC and Marubeni Corp. (Japan)
4.      Completion period                 36 months
5.      First crude in pipeline           August 03, 2000
6.      First Crude at Refinery Site  August 25, 2000
7.      First product Out                   September 04, 2000



           

 








ACHIEVEMENTS & MILESTONES
Commissioning of Karachi-Mahmood Kot crude -cum-product pipeline system
1981
Additional 50,000 tons of Storage facility at Korangi and direct discharge of ships into PARCO network to ease pressure on Keamari Oil Piers (DKF).
1990
Introduction of flow improving technology to increase pipeline installed capacity of 2.9 to 4.0 million tons/ annum.
1992
Completion of Bubak and Fazilpur Pumping stations, further raising the pumping capacity by 50%.
1994
System UP-gradation/Modernization:
     Telecom & SCADA, Revamping,
     Intelligent Pigging & Pipeline Rehabilitation
1995
Completion & Commissioning of 360 kms Pipeline Ext. Project From Mahmood Kot to Sheikupura near Lahore Via Faisalabad
1997
Commissioning of PARCO Mid Country Refinery (MCR) with a 4.5 MT/ p.a capacity
2000-2001
Launching of Marketing Operations of PEARL in partnership with SHV & OMV and incorporation of a Joint Venture Co. with TOTAL Fina Elf for development of retail outlets.
2000-2001
Under current implementation: White Oil Pipeline  Project (WOPP)
2002


Operation Strategy
Operation strategy is concerned with setting broad policies and plan for using the production resources of the firm to best support the firm’ s long-term and short -tem strategy. Typical operation operational strategy issues are
Ø Location
Ø Capacity
Ø Layout
Ø Process
Ø Operation decision
Ø Quality
Based on the firm’s competitive priorities for its products or services, the operations manager must select a flow strategy, which determines how the operations system is organized to handle the volume and variety of product, or services for a specific market segment. A firm may employ more than one flow strategy, for its operations, depending on the competitive priorities of each set of products or services it wants to produce.    
Flow Strategy
As far as PARCO is concerned, it has employed the line flow strategy. The line flow strategy, in which highly automated equipment and employees are organize around the product.
Strategies Base on Flow
Manufacturing firms with line flows tend to use a make –to- stock strategy, in which the firms hold items in stock for immediate delivery, thereby minimizing customer delivery ties. The strategy is feasible because line flow firms produce high volumes of relatively few standardized products, for which they can make reasonably accurate forecasts.
Operational strategy is fully compatible to the corporate strategy of   PARCO.  Its long–term objective are inherently embodied in the name of the company.


Vertical Scroll: P    Progressive  Corporate Out look
A Aggressive Pursuit of technical excellence
R Reliability of service

C Consistency in performance

O Organizes and systematic Development
 











Location
The Refinery is located at Mahmood Kot, which is in the Muzaffargarh District of Pakistan. The city of Multan, only 65 km, from the Refinery is well connected with a national communications network of rail, road and air. The nearest rail link is through Mahmood Kot which is about five kilometers from the Refinery. 
Within a 30 km radius of the refinery, there are two thermal power complexes at Kot Addu and Muzaffargarh having a capacity of 1,500 and 1,300 MW respectively, while a 762 MW AES Fuel oil based thermal power complex at Lalpir is only 5 kilometers from the Refinery. The River Indus is around 10-15 kilometer on the South Weste of the Refinery, while the River Chenab is 35 kilometers on the North East side of the Refinery.
At Mahmood Kot, the petroleum-marketing companies are operating a petroleum product distribution terminal. This terminal, known as Joint Installation of Marketing companies (JIMCO), is connected by a pipeline with PARCO's Mahmood Kot Terminal. From this terminal HSD produced at the refinery and received from Karachi through PARCO Pipeline is filled in rail wagons and road tankers for transportation to various locations in Punjab and NWFP provinces.
Similarly PARCO's Mahmood Kot–Faisalabad–Machike (MFM) Pipeline system originates from  PARCO's Mahmood Kot terminal. This Pipeline carries HSD and Kerosene to Machike, (near Sheikhupura).

Dominant Factors About The Location Decision Of Parco
Proximity To Parent Company
Parco ‘s existing infrastructure at Mahmood KOT Terminal  (TS-2) has been optimally integrated into the refinery resulting in cost savings & improved operation.

Proximity To Market
Parco is located close to power plants (KAPCO, AES   Power Plant.) with an annual demand of over 1 Million Tons of furnace oil. OMCs (Oil marketing companies) namely PSO , SHELL & CALTEX  are also located near the refinery.

Proximity To Resources
There is plenty of water at this location to meet the refinery requirement because of the Indus River. Secondly the electric supply availability from Muzaffargarh  Power Plant.

Favorable Labor Climate
As for as labour is concern the location of PARCO is very much suited with the market. The availability of cheap labour of skilled and unskilled  is also possible due to center of country.



Advantages Of Refinery Location
¨     Sensible & strategic location from a commercial and national security  point of view.

¨     Serve major consumption center catering to a population of 35 million with a current/ projected significant deficient.

¨     Streamlines the movement of crude oil and petroleum products thus reducing burden on country’s rail/ road transportation.

¨     Is closer to petrochemical demand center giving an advantage for future growth in to bulk petrochemical.

¨     Utility supplies have been secured through adjacent power plants and there is plenty of water to meet refinery requirements.






Process Management
A process involves the use of an organization resources of provide something of value. While process management is the selection of the inputs, operations, workflows and methods that transform inputs into outputs.
Process Decision
Must be made in PARCO when
1.            A new or substantially modified, product a with improved quality 
2.            Demand for a product or service is changing,
3.            Current performance is inadequate,
One of the first decision a manger makes in designing a well functioning operation is to choose a process that best support its, flow strategy. The manager has five process.
Ø Project   
Ø Job
Ø Batch
Ø Line
Ø Continuous
Parco is using with Continuous Process among of above five. A continuous process is the extreme end of high-volume, standardized production will rigid line flows.
Production Process
The refinery is intended to process crude oil of upper Zakhum from Abu Dhabi and light Arabian crude from Saudi Arabia. The refinery complex include 11 on side processes units beside numerous offsite/utilities unit and permanent facilities with 46 tanks to store  the crude oil, intermediate feeds and finished products.

1.           Crude unit
2.           Vacuum Distillation Unit
3.           Naphtha Hydro Treating Process Unit
4.           CCR Plat Forming Process Unit
5.           Diesel Mix Process Unit
6.           Visbreaking unit
7.           LPG Merox Processing Unit
8.           Carosine Merox Process Unit
9.           Gas Concentration Process Unit
10.       Amine Treating Unit


The Utilities Comprise of the Following
Ø Steam, Feed Water and Condensate Handling System
Ø Fuel Oil and Fuel Gas System
Ø Water Systems
Ø Plant, Instrument Air and Nitrogen System
Ø Flare System
  Steam, Feed Water and Condensate System
The Steam System is designed to efficiently meet normal refinery demands. Treating facilities are specified to dematerialize plant water and consistent with the highest-pressure stream to be produced in the Refinery.
Condensate recovery for the reuse as boiler feed water is undertaken to the maximum extent practicable. The Condensate system includes flash drums, coolers, tanks and pumps as required.
Fuel Oil and Fuel Gas System
Process Unit off-gas is collected and routed to one central mixing drum and then distributed to users.  Where centralized collection is not feasible, such as for low-pressure vent gas the gas is utilized locally within the process heaters.
The Refinery Fuel Oil is circulated through supply and return headers in excess of the actual firing rate and the system has been designed to deliver to all user, sufficient Fuel Oil at pressures and viscosities consistent with burner specifications on other user needs.
The Water System
The Water system consists of water treatment, chemical addition, storage and distribution. The raw water is being received from Muzaffargarh canal and stored in the tanks. Cooling water is supplied from an evaporative cooling tower circulation system. The portable water circulation system consists of filtration, chlorination, storage and distribution.
Plant, Instrument Air and Nitrogen System
The compressors discharge to common air receiver. From this point, instrument air passes through dryers before being distributed throughout the plant. Instruments are dried using external electric heaters designed to achieve a water dew point of 20o C. The System is fully equipped with knockout drums and pumps, water seals, seals, flare stack and flare tip, with pilots and remote ignition system. In addition, a flare for H2S containing off-gasses provides an additional tip on the main flare stack.
Workshop
The Refinery also has a large workshop. The workshop is used for maintenance purpose. It consists of several sections I.e. electrical, mechanical, instrumentation for testing, carrying out maintenance and manufacturing of spares
Warehouse
The large warehouse is being used to store, receive and issue spares. Officials have been deputed to check maximum, minimum and ordering levels for spare to maintain the required minimum level.
Offsite / Utilities Units 
Ø Tank age and Blending System.
Ø Product Transfer and Loading System.
Ø Effluent Collection, Treatment and Disposal System.
Ø Electrical System.
Ø Plant Buildings.
Ø Safety and Fire Fighting.
Other Permanent Facilities and Buildings
Ø Main Control Building (CR-1)
Ø Oil Movement Control Building (CR-2)
Ø Blending Control Building (CR-3)
Ø Truck Loading Control Building (CR-4)
Ø Additive Building
Ø TEL Blending Building
Ø Electrical Sub-Station (220KV Sub-Station and Sub-Stations No. 1,2,3,4, & 5)
Ø Compressors and Pump Houses.
Ø Emergency Generator House
Ø Internal Road, Pavements and Drainage.
Ø Refinery Access Road.
Ø  Refinery Effluent Disposal Pipeline.
Product Sale as of Oct 31st 2001

CRUDE FEED                                      
Arabian Light
60%


Upper Zakhum
40%

PRODUCTS       (Metric Tons '000'/ Year)

LPG
202
Premium Gasoline HOBC
714
Kerosene Jet Fuel 1 (JP-1)
543
Jet Fuel 4 (JP-4)
47
High Speed Diesel Oil (HSD)
1,382
Low Speed Diesel Oil (LDO)
48
Furnace Oil
1,613
Sulphur
25
Total
4,574















Capacity
Capacity is the maximum rate of output for a facility. The operation manager must provide the capacity to meet the current and future demand  otherwise the organization miss opportunities for growth and profit.  The facilities  regarding capacity has been divided in two categories.
Ø Process unit capacity
Ø  Storage unit Capacity
Process Unit Capacities
The Refinery capacity is around 4.5 million tons per annum equivalent to a processing throughput of 100,000-barrels/ day of a mixed Arabian Light/ Upper Zakum/ crude slate, which is being transported to the Refinery site by PARCO's Keamari to Mahmood Kot (KMK) pipeline system from Karachi.
The Refinery is processing Crude Oil of Upper Zakhum from Abu Dhabi and Light Arabian Crude from Saudi Arabia.
The Refinery Complex includes 11 Onsite Process Units besides numerous Offsite/Utilities Units and other permanent facilities with 46 tanks to store Crude Oil, intermediate feeds stocks and finished products.
A summary of the available tank age of the Refinery for various Petroleum Products is detailed below:


UNIT CODE
UNIT
BPD
100
CRUDE DISTILLATION
100,000
110
VACUUM DISTILLATION
42,800
200
NEPTHA HYDROTREATOR
25650
300
CCR PLATFORMER
16350
284
DIESELMAX
22450
130
VISBREAKER
15560
801
KEROSENE MEROX
20000
802
LPG MEROX
4500
411
GAS CONSENTRATION
Liquid:       22050      Gas:           11242
810
AMINE TREATING
FG:               7721      SWS:           9963
820
SULPHER RECOVERY
115  MTPD
Storage Unit Capacity
The storage capacity of finished product in PARCO are normally maintained in different Container having different capacity which are as follow.



PRODUCT

STORAGE AT MCR

MS (87 RON)
11,000
**MS (90 RON)
5,000
HSD
56,000
KEROSENE
12,000
JP-1
16,000
OF
34,000
LDO
5,000
JP-4
4,000
LPG
2,000
CRUDE
 350,000
Capacity Planning In Parco
In PARCO the plans regarding the capacity are made at two levels. Long–term capacity plans deals with the investment in the new facility and equipment. Short–term capacity plans focus on the work forces, over time budget, inventory and type of decision.
PARCO is the capital intensive project. Its long term planning regarding capacity highly depended on installed process unit capacity and demand pattern.
In mega and complex project like PARCO there is very less flexibility that installed capacity would increase. Secondly the plant capacity easily serves the customer’s demand with in the installed capacity (100,000 BPD).
PARCO is currently operating at 70 % capacity because demand for the product obtained from naphthalene is low in the country. For the surplus oil production Government of PAKISTAN is now going to export these oil products.
Measure Of Capacity
No single unit capacity measure is applicable to all type of measuring situation’s in PARCO. Major capacity measures in PARCO are.
Ø Barrel Per Day
Ø Cubic Meter
Ø Cubic Feet
Ø Tone
But capacity in terms of output measures only in BPD. Because in line flow process output measure is the usual choice for measurement.
The PARCO reach its peak capacity by using marginal method of production such as excessive over time extra shifting and over staffing. The effective capacity rate is to 60 to 65% of plant utilization rate.
Capacity Strategies
PARCO goes for expansionist strategies for capacity decision. The expansionist strategy, which stays a head of demand minimize the chance of sale loss to in sufficient capacity.
The other reason of using expansionist strategy and minimize sale loss is the product recycling. This also minimize the wastage therefore, it is also known as an environment friendly project.      

Forecasting

A forecasting is predication of future events used for planning purpose.
PARCO makes its forecast for demand using Time-Series method based on assumption that past pattern demand will continue in future. Naïve forecasting is used for predicting demand diesel. In April-July season demand for Diesel is high so safety stock for this demand is maintained for 1-2 weak. For each year average demand per season is calculated by dividing and demand by the number of seasons per year. Seasonal index is formed by dividing actual demand per season by average demand per season. Then average seasonal induces are calculated which is multiplied by average demand per season to obtain seasonal forecast.
Naïve method is used in the sense that forecasting is made for 3 months but review of forecasting is on weekly basis. They make forecast for next week on the basis that how much material was available and how much surplus was there. On the basis of it they make forecast for nest week.


Supply-Chain Management
Supply-chain management seeks to synchronize a firm’s functions and those of its supplies to match the flow of material, products and information with customer demand.
Material Management
One area of operations and logistics playing an major role in supply chain management which is concerned with decision about purchasing materials, inventories, production levels and distribution.
At PARCO refinery project, there is a materials management department which deals with these areas. The organization has a computerized maintenance management system (CMMS). About the planning of inventory / equipment  they have estimated inventory requirement of parts related to equipment for the period of two months. This for costing is based on historical data on emerge a machine requires this much of equipment inventories. For this purpose codes are being assigned to each item.
Purchasing
Purchasing is the eyes and ears of the organization in the supplies market place, continuously seeking better buys and new material from supplies. PARCO imports raw material from Saudi Arabia (Arabian lights) and from Abu Dhabi (Upper Zakhum), 60% of raw material in imported from Saudi Arabia.

There is a purchase committee for equipment and supplies purchases. A reorder level of the equipment supplies pipes, bolts etc, used in construction, is maintained and orders is placed of EOQ*. The organization has microwave communication system. Direct contact with suppliers improves accuracy, shortens response time and inventory.

Planning about purchase of raw oil and equipment contracts are being shaped to reach at final agreements. There will be competitive purchasing of oil and there will be centralized buying.
Distribution
 Distribution is the management of flow of materials from manufacturing of consumers and from warehouse to retailers, involving storage from transportation of products.
PARCO is currently using pipeline as well as road transportation. Now it is moving only towards pipelines transportation. The organization will go for both forward and backward placement.
Forward Placement
It means locating stock closer to customers with a retailers or wholesaler. Placement through Machhike terminal station and through terminal stations of Sahiwal and Kharian.



Backward Placement
Backward placement of finished oil products. It will use highway transportation through oil tankers with flexibility of shipping to almost any location and pipeline transportation.
Transportation Mode
Parco pipelines network km, and was functioning up to Mahmood Kot near Multan, a distance of 864 on the basis of two pumping stations at Karachi and Shikarpur with an annual pumping capacity of 209 million tons. Two additional pumping stations commissioned in 1994 at Bubak (sindh) and at Fazilpur (Punjab) increased pumping capacity to 4.5 million tons per annum. In June 1997, Parco completed its 364km pipeline extension project and extended its operation to Faisalabad and Machike. The project design is allow for future expansion of the pipeline from Faisalabad to Kharain besides Sahiwal and from Mahmood Kot to Peshawar.
It is fast moving to establish a synergy of all these operations in the petroleum downstream sector. AAA and AT ratings by Parco for third
successive year are a proof of the sound financial standings of Parco.
Pumping Stations
 Parco’s pipeline system consist of seven pumping stations namely:
Ø PS-1                    Korangi
Ø PS-2                    Bubak
Ø PS-3                    Shikarpur
Ø Ps-4                     Fazilpur
Ø PS-5                    Mahmood Kot
Ø PS-6                    Kot Bahadur Shah
Ø PS-7                    Faisalabad
Terminal Stations
There are four terminal station nearly
Ø TS –1                   Keamari
Ø TS-2                    Mahmood Kot
Ø TS-3                    Faisalabad
Ø TS-4                    Machike
Major Buyers    Major buyers of Parco are
Name                      %age of Sale
PSO                                        70%
Shell                                       25%
Caltex                                    05%
Parco is now planning to sell 75%         refinery products to existing customers namely PSO, Caltex, Shell and remaining 25% to be marketed through Pearl network and total Parco retail outlets. According to the agreement, the refinery will provide the following petroleum products.
Ø Motor spirit
Ø High speed diesel
Ø Kerosene oil
Ø High octane blending component (HOBC)
Ø Bleeding components
Ø Jet fuel –1
Ø Jet fuel –4
Ø Furnace oil

Inventory Management
Inventory is created when receipt of material are finished good exceeds their disbursements. PARCO has to maintain low finished goods inventory because demand of oil products (especially Diesel & Motor Spirit) is very high. And there are only four oil refineries in Pakistan namely
Ø Pak-Arab Refinery Limited.
Ø Pakistan Refinery Limited.
Ø National Refinery Limited.
Ø Attack Refinery Limited. 
These four refineries are fertilizing just 60% of total demand of oil products in Pakistan; importing oil products fulfills still 40% of total demand.  PARCO is trying to capturing the 40% share of the market for this reason . PARCO has to maintain two kinds of inventories.
Ø Pipeline Inventory
Ø Safety Stock Inventory 
Pipe Line Inventory
Materials move from Saudi Arabia and Abu Dhabi to Karachi and then from Karachi to Mahmood Kot. Since transportation of Crude oil from suppliers to Karachi, water mode is used. So there is danger of delaying of ship due to weather condition or some others. PARCO has to maintain pipeline inventory at Karachi terminal station to fulfill the demand during lead time.
Safety Stock Inventory
When Crude oil has been refined then it is very expensive as well as dangerous to store the oil products (especially High Speed Diesel, Motor spirit, JET fuel 4) so only safety stock inventory for 1-2 weeks is maintained to fulfill the demand. There are 51tanks available to store the fished goods. Maximum capacity of one tank is 6400 liters.
Inventory Control System
In order to control inventory, following inventory controls systems are being used in PARCO.
Ø Periodic Review System
Ø Continuous Review System         
Periodic Review System
PARCO has contracts with Saudi Arabia and Abu Dhabi for import of raw material (Crude Oil) on annual basis on the behalf of Government of Pakistan. These contracts are based upon forecasting of annual demand. Then after three months Karachi terminal station checks the raw material inventory level and then place the order.
Continuous Review System
At Mahmood Kot terminal station, continuous review system is followed on weekly inventory has been consumed at the end of the day as well as at the end of the week.

Total Quality Management

Total quality management (TQM) stresses following three principles.
Ø Customers satisfaction
Ø Employee involvement
Ø Continuous improvement
It is also includes benchmarking, process design, purchasing and problem solving tools.
Customers Satisfaction
PARCO offers best quality products with fast delivery time to the customers. These quality products are being offered at international prices. Name of PARCO is a symbol of a quality, which provides satisfaction in terms of quantity, and quality to its customers.
Employee Involvement
 For employee involvement, PARCO provides developments programs (training), awards (Long service award etc), incentives, bonus, environment. The employee also participates in the decision by giving suggestion for improvement.
 For continuous improvement, there is quantity lab, available to check the quality of raw material as well as of finished goods. In case of any problem in process different problems solving tools are used to monitor the progress of project. Checklist, histogram, pareto charts etc, are used for improving quality and performance.

Conclusion
PARCO is an mega  project and producing the Every thing PARCO achieves is the product of team effort. All PARCO employees share the achievement of the company and have every reason to feel proud of what has been achieved so far. Its safe, speedy, efficient and environment friendly operations will help the nation in accelerating and sustaining economic growth and development.
           

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