Internship Report

On

PRIMARY MANUFACTURING DEPARTMENT

OF
BRITISH AMERICAN TOBACCO
 Internship Report
On

Primary Manufacturing Department, BATB

Prepared For:
Feihan Ahsan
Lecturer
BRAC BUSINESS SCHOOL
BRAC UNIVERSITY

Prepared By
HASAN MD MUSFIQUR RAHMAN
ID: 10304039
BRAC Business School
Major in Marketing
Minor in HRM
BBA (Summer 2014)

Date of Submission: 16thSeptember, 2014

 Letter of Transmittal

16th September, 2014

FeihanAhsan
Lecturer
BRAC Business School
BRAC University

Subject: Submission of Internship Report.

Dear Sir,
Here is my internship report that fulfills partial requirement of Bachelor of Business
Administration (BBA) degree. It is considered to be an important partfor a student of
Business Administration to undergo an internship project. Iprepared my internship report on
“Primary Manufacturing Department”. I have tried my levelbest to reflect your valuable
supervision, comments & suggestions in myreport.
Thank you for your cooperation and direction throughout the period. Withyour support it has
been easier to complete the task of writing the report. Here I am submitting my internship
report and requesting for youracceptance.

Regards

Hasan MD. Musfiqurrahman

ID: 10304039
BRAC BUSINESS SCHOOL
BRAC UNIVERSITY
 Acknowledgment

At first I would like to express my gratitude to almighty ALLAH who hasenabled me to

finish my BBA, my parents who have given me all the supportthroughout the time.

My sincere and deep sense of appreciation goes to all the people with whom I have worked
these Three months and also helped me to prepare this report on Primary Manufacturing
Department.

My deepest gratitude goes to my internship supervisor FeihanAhsanfor his generous

guidance, inspiration and necessary support duringthe preparation of this report. Without this
timely help & assistance, I couldnot have completed this report.

Finally, last but not the least, I would like to thank each and every Staffs of the different
supply chain section of BATB specially Ahmed Istiak Al Razi, maintenance coordinator
PMD, for his kind assistance regarding the report Without whom it would not possible for me
to complete this difficult task, I got all necessary guideline, cooperation, advice from them to
complete this complicated task. I am very much thankful to British American Tobacco
Bangladesh Ltd, its management, especially employees of Primary Manufacturing
Department for their cordial support to prepare this difficult study with important information
and data.
 Executive Summary

Lamina Line
 Everyday a PMD daily schedule is drawn up, based upon the MPS requirements of SMD and CTS
stock. Accordingly work orders are raised through SAPand printed work orders are placed with the
leaf warehouse. Leaf warehouse issues tobacco to PMD as per work orders. Orders are also placed
to different key positions where overnight lamina and stems are stored (admoist), stem bin,
lamina bin, CSS). Appropriate lamina bales are brought from the leaf godwon, checked for beetles,
and then lined up in the lamina Kanban. It is then subsequently weighed and placed on the tipper,
which is then opened using the overhead cranes by two operators and then cut in the bale slicer.
 The lamina moves forward on belt conveyers and a vibrating conveyer before entering the DCCC
where conditioning and casing process takes place according to different blends.
 The moistened tobacco next enters the lamina bin for storage and bulking. The minimum bulking
time for lamina is one hour and maximum bulking time is thirty two hours. PMD do bulking for one
hour for the operations during the workday, as there is only three bins.
 The lamina is then airlifted via an airlock to the Amala Sieve Conveyer, which segregates the fines
from the lamina and airlifts them, bypassing the cutter. The rest of the lamina goes to the cutter.
 The cutter installed in the PMD is RC-IV, which primarily consists of a forced feeder, two bands for
cheese formation, rotating drum, 8 knives and a grinding stone to sharpen the knives. The entire
cutter is operated by one main motor, which help runs the other motors. The knives are
horizontally placed in the drum which rotates axially while the bend compresses the incoming
lamina into layers of cheese for better grip in cutting. The cutting unit of the knives is cut per inch
or CPI. The cpiis also blend specific and can be altered by changing gear sets in RC IV.
 After the lamina has been cut, it goes to the ITM dryer to attain the required moisture and
increase fill value.Smalls (from cigarette waste in SMD) and RECON (reconstituted tobacco) are
added to the lamina line after coming out of the ITM dryer.
 The cut tobacco enters the FPB silos where it remains until it is placed in meter cube boxes (MCBs)
in box-filling station with proper identification dockets and stored in the CTS.
 In the lamina line, there are two metal detectors to identify the presence of any metals in the
incoming lamina. On detecting, the trap doors are open (through a PLC signal) and that portion of
lamina is rejected. Failing to do so results in broken knives and the cutting strip of the RC IV cutter
falls or even worse, metal would be send to the machines at SMD.
 Stem Line
 As per the picking list, stem bales are brought from the leaf godown and lined up one after the
other at the beginning of an operation in stem Kanban. This is done manually with the help of
manual trolleys.
 The stem bales are placed inside the tipper and is then opened with the help of overhead cranes.
The stem then passes over the conveyer and into the autofeed, before proceeding into the gravity
feed pipe and the weycon for measuring throughput.
 The stems are then airlifted via an airlock. At this point heavies and dust get separated.
 It then goes to the admoist for conditioning as casing is applied to the stem. Winnower and
heavies are added to the admoist delivery conveyor.
 The moistened stem tobacco next enters the stem bin silos for storage and bulking. The minimum
bulking time for stem is two hours and maximum bulking time is thirty two hours. At PMD, bulking
for two hours asthere are four bins.
 The moistened stem tobacco is then send to the cutter. There are two cutters in PMD. They are
KT-2/1 and KT-2/2, which cuts the stem according to the desired CPI for different blends.
 The cut stem then passes through the water cylinder where it gains a lot of moisture and then
goes Watering Cylinder (WTS- Water treated stem) and thenthrough the STS (steam treated stem)
where it expands to increase fill value. It then passes into the Fluidized Bed Dryer (FBD) for drying
and attaining the required moisture as per blend. It is then stored in Cut Stem Silos or CSS bins
from where, when required it is drawn and then combined with the dried lamina and sent to the
Final Product Bins.

Delivery Line

 The cut tobacco enters the FPB silos where it remains until it is placed in meter cube boxes in box-
filling station with proper identification dockets and stored in the CTS.
 In the stem line there are magnets to detect any metals that might be present in the incoming
stem and separates them.

PMD Reporting and Cleaning

 For each batch of tobacco processing in PMD one ‘Operation Report’ is generated for Box-Fill,
ITM Dryer, STS, FBD, Silo Discharge, Admoist& DCCC.
 PMD cleaning is carried out by contractors using a Cleaning Check List.
 Table of contents
Serial Description Page
1 Job 1
2 The Organization 5
3 Project 11
4 Chapter 1 - PMD 17
5 Chapter 2-Lamina conditioning & cutting 22
6 Chapter 3-Lamina Drying 33
7 Chapter 4-Stem Conditioning & cutting 38
8 Chapter 5- Stem Drying 43
9 Chapter 6 -Delphi, delivery & Add back 48
10 Chapter 7- Follow up 51
11 Chapter 8-House keeping 55
12 Chapter 9-Analysis, Results & conclusion 61
 `

Job
 `
The position of the Job was as an intern in British American Tobacco Bangladesh. I joined as an intern
on 21st May, 2014. Many responsibilities were given among them some of were daily
There is always maintenance going on, as a result spare parts are requires can be break down or can
be regular requirement knife grading stone and knife of Delphi, RC4 and KT2. For that Creating
maintenance notification for spare parts requisition is required. The whole process is done in the SAP
software. Notification is needed which spare part is going under which machine. After that Creating
maintenance order for spare parts requisition and print out taking. Every part has its own number
given by R&RS and the then part number and the amount is ordered. After that the print out is taken
with the order number and sent it to R&RS department.
Creating maintenance notification for extra works of the vendors is every maintenance there is some
extra work always done which needed to be paid. As a result against every work in the same way
Maintenance notification need to be created and after that Creating maintenance order number is
generated and manually written in the book of every vendors. Before ending the month, order
number taken and allocated to the correspondent vendor’s quotation and their price.

Creating purchase order is another part after the quotation of preventive maintenance, it is done in
every Monday. After creating every vendors purchase order the number is sent to finance
department to get the approval. After the approval, Service entry sheet printout is taken and
creating service entry sheet & checking it is another job. After that the G/R, goods received number
generates and given to the vendors. And they use that number to get paid.

As line as the preventive maintenance, Creating purchase order for extra work after that Service
entry sheet printout for extra work and Creating service entry sheet , G/R & checking it for extra
work is done.

Other aspect of my daily routine is ordering daily needed goods and machineries which is need to be
bought out side by the vendors or for the department , also could be outside of the R&RS things.
for that Scanning every quotation and creating shopping card in the SRMP is needed. After auto
approval by the designated person Creating G/R number against the purchase order is done.

After all, Takeo is done.

 `
Without the regular jobs, some extra work is done. Project Budget managing is very important as
because, ‘New box fill project, Stem bin project and MCB project’ is going on.

Vendors cost sorting & managing and the new project, giving the work in contract. PMD equipment
numbering and Bill of Quantities making for vendors which will be implemented in the January 2015.
Other that 5S project of Housekeeping project as also a part of my job. Effluent treatment Plant and
many other projects.

Frequency
Creating maintenance notification for spare parts requisition in a week average
Creating maintenance order for spare parts requisition and in a week average
print out taking
Creating maintenance notification for extra works of the in a week average
vendors
Creating maintenance order for extra works of the vendors in a week average
order number taking and allocating to the correspondent every week
vendors quotation
Creating purchase order every week
Regular
Service entry sheet printout every week
Creating service entry sheet & checking it every week
Scanning every quotation and creating S/c in a week average
Creating G/R number against the purchase order in a week average
Creating purchase order for extra work once a month
Service entry sheet printout for extra work once a month
Creating service entry sheet & checking it for extra work once a month
Tak once a month

Project Budget managing

other Vendors cost sorting & managing
PMD equipment numbering and BOQ making of vendors
 `

The Organization
 `

Organization Overview:

Introduction

British American Tobacco is a leading tobacco group, with brands sold in around 180 markets.
We employ more than 55,000 people and with over 200 brands in our portfolio, we make the
cigarette chosen by one in eight of the world’s one billion adult smokers.

Founded in 1902, our Group of companies traded through the turbulence of the 20th century,
including wars, revolutions and nationalizations. The Group was first listed in 1912, and today
we are one of the top 10 companies listed on the London Stock Exchange and feature in the
Fortune 500. We have also had a secondary listing on the JSE Limited in South Africa since 2008.

They hold robust market positions in each of our four regions- Americas; Asia-Pacific; Eastern
Europe; Middle East and Africa; Western Europe- and we are leaders in more than 60 markets.
Our approach to marketing is second to none in our industry, in brand building, innovation and
responsibility. Our companies adhere strictly to the high standards of our voluntary marketing
principles.

In 2012, our subsidiaries enabled governments worldwide to gather more than ₤30 billion in
duty, excise and sales taxes on our products, more than seven times the Group’s profit after tax.
They play a significant role in local communities around the world. In many countries we are a
top employer and the company of choice for people in all areas of our business. We have 44
cigarette factories in 39 countries. In addition to cigarettes, we cigarillos, roll your own and pipe
tobacco.

They are also proud of their Research & Development facilities, where our people are striving to
reduce the harm associated with tobacco products.
 `
With Their geographic diversity, strong brands, talented people and proven strategy, the Group
is well placed to achieve further success. In particular, they are confident that our investments in
both innovative cigarette products and next-generation nicotine and tobacco products will help
them drive.

History
BAT Bangladesh began its operations in the sub-continent in 1910 as Imperial Tobacco Company
Ltd. After the Partition, Pakistan Tobacco Company (PTC) came into existence with its head
office in Karachi in 1949. PTC’s East Pakistan office at that time was situated in Armanitola,
Dhaka and ultimately moved to Motijheel, Dhaka. After independence, Bangladesh Tobacco
Company Pvt. Limited was formed in 1972 with British American Tobacco holding majority
shares. In March 1998, Bangladesh Tobacco Company changed its name and identity to British
American Tobacco Bangladesh pronouncing its common identity with other operating
companies in the Group. British American Tobacco Bangladesh is one of the oldest and largest
multinational companies operating in Bangladesh. The British American Tobacco Group holds
65.91% share in the Company. The Government of Bangladesh owns 26.57% through several of
its agencies, while 7.52% is owned by other shareholders.

They are a public company listed on the Dhaka and Chittagong stock exchanges. The Board of
Directors has nine members – a Non-Executive Chairman, four Non-Executive Directors and four
Executive Directors. They are also a leading business organization in the industrial sector
employing more than 11,000 people directly and a further 60,000 indirectly as farmers,
distributors and suppliers. They have business contracts directly with approximately 45,000
registered farmers who produce high quality tobacco leaf.

The main cigarette manufacturers today are:

 British American Tobacco Bangladesh

 philip morris bangladesh
 Dhaka Tobacco Industries
 Abul Khair Tobacco
 Nasir Tobacco
 `
 Azizudin Industries and
 New Age Tobacco.

The main biri manufacturers are:

 Akij Biri
 Abul Biri
 Nasir Biri
 Karikar Biri
 Aziz Biri and
 Hundreds of local biri manufacturers.

The industry is very price sensitive in nature. It is also a stick selling market, which
means that most of the tobacco consumers normally buy tobacco in sticks, not in packs.
These two features-price sensitive and stick selling-influences the business philosophies
of the companies.

At the moment, there are two main tobacco industry associations i.e. Bangladesh
Cigarette Manufacturers Association (BCMA) and Bangladesh Biri Manufacturers
Association (BBMA) representing the industry. (http://www.bat.com/)
 `
Functional Areas of BATB:

BATB is a process-based organization. BATB has been operating its business under the
following functional areas:

 Leaf
 Supply Chain
 Marketing
 Corporate and Regulatory Affairs
 Information Technology
 Legal and Secretarial
 Finance
 Human Resource

Overall activities of tile company arc governed by the "Board of Directors" and Executive. The
"Board of Directors" is composed of 10 members headed by a chairman. Chief Executive of
British American Tobacco Bangladesh is called the "Managing Director" who is normally
appointed by "BAT Holdings". Managing Director of the company is the chairman of the
executive Committee. This committee includes the head of all the functional departments.
The decision making, infrastructure is participatory to a very high extent. All the plans and
decisions that are made are communicated from the top level of the organization and the
decisions are made after discussing the issue with the related authority and the grass root level.
Every possible input from every relevant level of workforce is taken before getting into any
decision.

Core Business Activities

BATB's core business is to manufacture and market cigarettes. In addition to this, the company
also exports tobacco and vegetables. The main activities taking place in the business are:
 `
o Tobacco Leaf Growing: There are registered farmers who grow the tobacco in the
regions of Kushtia, Chittagong and Rangpur.
o Leaf Processing: The leaf is processed in two factories; the green leaf threshing factory
where the stern is separated from the leaf and the Dhaka Factory (Primary Department)
where the leaf cut to make it ready for production.
o Cigarette Manufacturing: The cut tobacco is sent to secondary manufacturing
department or the Dhaka Factory where it is combined with wrapping materials to make
the final product. The factory runs in three shifts for 24 hours to give a daily production
of around 122 million sticks.
o Distribution: The product is sent out to various distribution houses across the country.
The distributors work with the BATB trade marketing team I ensuring distribution to all
retail outlets in the country. With ever increasing number of outlets (currently, this is one
of the major challenges the company faces.
o Brand Activities: With the ban on promotion activities, the company has to look towards
innovative ways of communicating their brands to the cigarette consumers.
 `

Project
 `
Mission

To sustainably deliver tobacco and meet the demand of Secondary Manufacturing Department
(SMD) with no compromise in quality standards and minimum wastage at a cost effective rate
through highest level of process control.

Objectives

 Deliver tobacco as per Master Production Schedule (MPS) requirement of SMD

 To minimize wastage
 Ensure processing as per process specification
 Improve consistency between operations
 Maintain documentation to ensure accountability and tractability
 Ensure high EH&S standard

PMD – a context

cigarettes that a customer buys from a retail shop had to undergo numerous conditioning and
processing before it comes to its final transformation as the final product. One of the most
important component of a cigarette is the TOBACCO it contains, which is treated so that a
smoker get his desired taste, flavour and ofcourse feeling. Hence the tobacco undergoes many
sophisticated and complex processing to achieve these desired qualities. This treatment is done
at Primary Manufacturing Department or PMD. PMD is the customer of Green-Leaf Threshing
Plant (GLTP) and supplies conditioned and processed tobacco to Secondary Manufacturing
Department to make cigarettes.
 `

It is very crucial that PMD conditions the tobacco at appropriate targets for moisture,
temperature, fill value and casing adjustments; for these factors have massive effect on the
SMOKE of the cigarette and hence effects the smoker directly. That is why immense care is taken
to deliver the tobacco at desired targets to SMD.

Organizational Structure
PMD Manager

Technical Support Team Leader

Manager

Manpower: 26 per shift

Common – 6
E Shift strength – 18
Shift –4 (2 /shift)
F Shift strength– 20

The rest are bodli or casuals

 `

Process Map for PMD

Functional

Operation Planning

Cut tobacco
Prized leaf as conditioning cutting mixing
bulking drying delivered to
per blend
CTS

Operational
Lamina Receive
Conditioning Bulking Bin Seive Cutting Drying
and Feeding

Fine Lamina

Smalls and Others

Drying Cut Stem Silo

Final Product Silo

Expansion

Box Filling
Stem Recieve and
Conditioning Bulking Bin Cutting
Feeding

Winnowers &
Heavies
Cut Tobacco Storage

The lamina line equipment in series

1. Tipper with barred gate and proximity sensor

2. Belt conveyer
 `
3. Belt conveyer
4. Inclined belt conveyer
5. Refuser
6. Inclined belt conveyer (slightly inclined)
7. Vibrating conveyer with dust cover
8. Direct casing and conditioning cylinder (DCCC)
9. Steam suction outlet
10. Vibrating conveyer
11. Vibrating conveyer
12. Inclined belt conveyer with TM710
13. Inclined vibrating conveyer
14. Inclined vibrating conveyer
15. Traverse conveyer
16. Lamina Bin (3)
17. Vibrating conveyer
18. Lamina Air lift suction (more dust and heavies get separated)
19. Lamina Air lock
20. Inclined conveyer belt (over lamina bin)
21. Conveyer belt
22. Vibrating conveyer belt
23. Amla Seive conveyer with Smalls airlift
24. Inclined belt conveyer
25. Belt conveyer
26. Vibrating conveyer
27. Metal detector
28. Vibrating conveyer
29. Storage bin before autofeed
30. Autofeed
31. Gravity feed pipe
32. Weycon
33. Force Feeder
34. RC IV cutters
35. Conveyer belts
36. Inclined belt conveyer
37. Inclined belt conveyer
38. Vibrating conveyer with smalls add back
39. Storage bin before autofeed
40. Autofeed
41. Gravity feedpipe
42. Weycon with TM 710
43. Inclined vibrating conveyer
44. Inclined vibrating conveyer
45. Inclined vibrating conveyer
46. Screw Conveyer
47. ITM Dryer
48. Vibrating conveyer
49. Inclined belt with TM 710
 `
50. Inclined belt with smalls add back
51. Inclined belt
52. Mixing belt
53. Belt conveyer
54. Traverse conveyer
55. Final product bin

The stem line equipment in series

1. Tipper
2. Conveyer belt
3. Auto feed conveyer
4. Gravity feed pipe
5. Weycon
6. Vibrating tray
7. Airlift
8. Airlock
9. Vibrating conveyer
10. Steam suction
11. Admoist
12. Vibrating conveyer
13. Secondary tipper into vibrating conveyer
14. Magnet
15. Auto feed conveyer
16. Conveyer belt
17. Stem bin 1 2 3 4 (traverse belt)
18. Vibrating conveyer
19. Magnet
20. Inclined up belt conveyer
21. Horizontal belt conveyer
22. Magnet
23. Storage bin
24. Auto feed conveyer
25. Vibrating conveyer
26. Metal detector
27. Vibrating conveyer
28. Gravity feed pipe
29. Horizontal belt conveyer (forward and reverse band)
30. Vibrating bin
31. Pressing belt
32. KTC/KT2 cutter
33. Vibrating conveyer
34. Inclined conveyer with TM 710
35. Storage bin (pre-auto feed)
36. Gravity feed pipe
37. Weycon
38. Vibrating conveyer
 `
39. Watering/Wetting cylinder
40. Vibrating conveyer
41. Inclined belt conveyer with TM 710
42. Vibrating conveyer
43. Vibrating conveyer
44. Airlock with heater
45. STS with venture pipe
46. Heater
47. Shroud - exhaust pipe
48. Vibrating conveyer
49. Fluidized Bed Dryer (FBD) + Process air suction + Exhaust air through cyclone into bio filter.
50. Elutriator
51. Air Product Separator (suction)
52. Air lock
53. Vibrating conveyer
54. Inclined up belt conveyer with TM 710
55. Inclined up belt conveyer
56. Traverse belt
57. Storage bins (Cut Stem Silo – CSS)
58. Exit belt conveyer
59. Inclined up belt conveyer
60. Smalls addition
61. Gravity feed pipe
62. Weycon
63. Inclined up belt conveyer
64. Roller conveyer
65. Mixture
Chapter 1

PMD

Page 17 of 66
 PMD Process Flow Map

Quality Check Points Process Reject Addback point

Lamina @ 12.5% MC
Bale
DCCC
Slicer@ Weycon Tipper
@ 6000
6000
Kg/hr
Kg/hr Stem @ 12%
Fines Air Lift MC
Admoist Auto
Weycon Tipper
Amala Feed
1800
3 2 1 Sieve Kg/hr Winnower and
Magnet
Heavies Add-
Auto Feed back Tipper

1’’,
G
Lamina Silo 5/16”,
Metal Detector
1
(5500 Kg / Bin) Auto Feed Stem
Lamina Air Lift 1/4” 2
A 3
RC-IV 2
Silo
4
5500 Kg/hr
ITM N Magnet Magnet
RC-IV 1 Auto
Dryer
KT-2 @ 3000 Kg/hr
5500 Kg/hr Feed
G
Metal

4400 KTC @ 1500Kg/hr

Detector

Kg/hr
@ Auto
17% Auto
Watering
Weycon
W Cylinder
Weycon
MC Feed
Feed
2100Kg/hr @
40%
A
STS STS
delivery 2500
Delphi Kg/Hr
Shroud
Ripper Y @ 40%
FBD

2277 kg/hr
@ 14% MC
Elutriator

Weycon

Smalls and RECON Sieve A B

addback tipper
Weycon APS Screen
Box-Fill

Metal CRS CSilo (2000 Kg

D /silo)
6800 1 2
Detector
Page 18 of 66
Kg/hr Final Product Silo
Magnet
(7000 Kg/Silo)
PMD Sub Processes

Final Bin
Stock

CTS Stock at 6 SMD Target

Am as per MPS

Calculate PMD processing

requirement of each blend

Prepare sequence of
Bin positions, CRS,
operation for the day –
Lamina, Stem LRR
cutting and conditioning

Print work order with

operation number

Calculate PMD
processing
requirement of
each blend

Page 19 of 66
PMD daily operation planning is done on the basis of SMD MPS- Master Production
Schedule

Daily SMD production target for each blend is taken into account and then converted into
number of PMD operation for corresponding blends.

To demonstrate the planning one sample calculation is stated below:

MPS Program for SMD Production of Star

Date Tue Wed Thu

Star 33 Mil 31.5 Mil 30 Mil

Step 1: CTS stock is checked at 6 a.m. in the morning & found to be 11,600 Kg on Tuesday
morning.

Step 2: PMD ensures the amount of tobacco it delivers in two shifts is sufficient for SMD’s
production in 4 shifts for all brands in normal workdays & 5 shifts during weekend.

Based on the above SMD MPS, PMD should provide the coverage for (Tue MPS + 1 shift of
Wed MPS)

i.e. (33+31.5/3) = 43.5 Mil of star

Step 3: SMD production target of cigarette Sticks is then converted into amount of tobacco
in Kg.

1 Million Cigarette is equivalent to approx. 825 Kg of tobacco (Ideal requirement + Dust +

Cig waste).

So, 43.5 million sticks ≡ (43.5 * 825) =35,887.5 Kg of tobacco.

Page 20 of 66
Step 4: Opening stock is deducted from total tobacco amount to calculate actual delivery
requirement.

So, PMD should deliver (35,887.5 - 11,600) i.e. 24,287.5 Kg of tobacco on Tuesday.

Step 5: The required amount of tobacco is converted into No. of PMD operations for the
particular blend.

On an average a blend composition has 5,300 kg of tobacco (delivered from PMD).

So, No of minimum operation required for Star = (24287.5/5300) = 4.58

So, PMD should deliver 5 operations of Star to continue SMD’s Production till Wednesday
2:00 pm for SF brand.

Once this calculation is finalized PMD issues production order / pick list & hand over to
Leaf Warehouse for issuing tobacco for processing to start in PMD.

Page 21 of 66
 Chapter 2

Lamina

conditioning & cutting

Page 22 of 66
Leaf Reception Room (LRR)

According to PMD operation plan, PMD General Clerk issues production order as per BOM
and hence, Picking lists are delivered to Leaf Warehouse to provides Lamina and Stem in
LRR.

There are separate areas for Lamina and Stem in LRR known as Lamina and Stem Kanban
where tobacco of 3 operations can be laid down at a time for both stem and lamina. In the
Lamina Kanban an additional RECON (reconstituted tobacco) are also laid down

In Lamina Kanban, lamina bales are arranged as per picking list in a systemic order starting
from the left hand side of the Kanban in a column. After filling the column, the remaining
bales are arranged in the next column beside first one.

Each bale is weighed before issuing to PMD for the calculation of tobacco wastage.

Casing Preparation and Application

Glycerine

Glycerine
reserve tank
Overhead
Mixing tank DCCC
tank (heating)

Water reserve
tank
Admoist Admoist
Reservoir
Water

Page 23 of 66
Casing, which is a simple humectant, is added to increase the richness of smoke. It is
applied on domestic tobacco grades, both in lamina and stem conditioning process. Heavy
casing is applied to Burley tobacco as it is low in sugar, while light casing is applied to
Virginia tobacco.
Industrial glycerine and water is used as 1:1 ratio which is known as Celando. In stem
conditioning process total amount of casing applied is 5% of domestic stem whereas in
lamina conditioning the casing percentage varies from 2-3%.

The preparation of casing involves the following steps:

Step 1: As per requirement of a particular blend the required amount of glycerine is

transferred from the glycerine drum to the casing reserve tank. A metering scale ensures
transfer of appropriate amount of casing.

Step 2: An equal amount of water is then added into the water reserve tank

Step 3: Both water and glycerine are transferred to Mixing tank.

Step 4: The mixer is then transferred to the overhead tank where it is heated to 60ºC. From
the overhead tank casing is applied in the DCCC.

Page 24 of 66
 Casing Preparation

Celando Water Sugar Citric Acid

Blend
(Kg) (Kg) (Kg) (gm)

3841 115 115 0 0

H28 96 146 0 0

S11 121 121 81 170

O6 78 128 0 0

V747 115 115 38 78

V10 77 127 320 320

CP03 96 96 0 0

* Actual proportion is not given

For stem conditioning process, this casing mixture is transferred from the overhead tank to
a reservoir in the admoist area for casing application in admoist.
Lamina Processing:

Lamina processing consists of three steps - conditioning, cutting and drying.

Conditioning Cutting Drying

Page 25 of 66
Lamina Conditioning

In order to improve the quality of tobacco and to control its attributes (such as moisture,
sugar, strand length) lamina conditioning is a must. The objectives of lamina conditioning
are

 Easy opening of the bale

 Reduce pad formation
 Easy detection of NTRMs (Non Tobacco Related Material)
 Reduce wet lump formation
 Reduce dry pads.

Bale Slicer

The main objective of Bale Slicer is to provide uniform flow of tobacco to DCCC. Bale Slicer
is a vertical slicer which cuts the 200 Kg lamina bale into 6 to 7 slices of 200 mm to provide
constant lamina flow. Bale Slicer has the maximum capacity of 6000 kg/hr.

For safety reason, the slicer is fitted with proximity sensor which detects the opening and
closing of the tipper gate. If open, it will not allow the tipper to come down, hence
preventing accidents. (Appendix no. 1: Bale Slicer)

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Direct Conditioning and Casing Cylinder (DCCC):

The objectives of DCCC are

 To improve taste and nicotine control

 Parting and cutting preparation
 Reduce tobacco degradation and dust
 Allows good attainment of fill value in ITM Dryer

The control variables of DCCC are

 Water flow rate

 Casing flow rate
 Tobacco flow rate @ 6000kg/hr
 Recirculating air temperature (6#°C – #0°C)
 Moisture – 2#%
 To condition the lamina an equipment called DCCC is used. The DCCC is a 100%
stainless steel of 3mm thickness. It has a length of 7.3m and a diameter of 1.8m with
an inclination of 2° degrees. It has a cylinder rotating anti-clockwise in the direction
of tobacco flow where conditioning of lamina takes place. Conditioning in DCCC
mainly involves two separate processes – condensation and direct moisture
addition for water spray.
 There is a spurge pipe in the feed end of DCCC which sprays direct steam at 10* bar,
on the incoming tobacco to open the bale. Atomized casing is sprayed from the
delivery end nozzle to provide retention of moisture.
 Process air passes through an air-steam heat exchanger in the preheat mode while
in normal running mode steam is directly sprayed on the co-current process air
flow. Atomized water is sprayed from feed end nozzle to add the rest of moisture.
 The condensation process is controlled by regulating the temperature of the air flow
within conditioning cylinder. The air flow is co-current i.e. in the same direction as

Page 27 of 66
 the product flow along the cylinder and is recirculated to the infeed end of the
cylinder via the ducting and fan. The temperature of the process air is sensed by a
PRT sensor within the duct. An automatic temperature controller compares the
temperature set point with the actual value and gives an output signal to the control
valve. The control valve regulates the flow of steam injected on the process air.
 There is a product sensor in the belt conveyer which detects the incoming lamina
and initiates the RUN IN sequence. It transmits a signal to spray atomized water
after 50 seconds, for 5 seconds on the incoming lamina and to spray atomized casing
after 170 seconds, for 5 seconds as the lamina is about to come out of the delivery
end. Atomization is achieved by connecting the steam line and water/casing line
together and spraying them from the same nozzle. The steam pressure for
atomization is 4 bar.
 The DCCC contains 192 pins which are thicker and shorter at the beginning to
reduce degradation while they become thinner and taller towards the end. At the
end of the day, the DCCC is cleaned thoroughly by dry running it for 5 minutes and
then washed down for 20 seconds. This process is repeated thrice. Finally, wet scrap
is cleaned and the weight is measured. (Appendix no.2 : DCCC)

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 DCCC flow setup

Water flow Casing flow Tobacco flow Cylinder

Blend DCCC
rate rate rate TM710 Temperature
Target
Set Value Set Value Channel
Kg/hour Moisture ºC
Lt/hour Lt/hour

H 28 410 450 6000 +/- JPGL 87

3841 430 400 6000 +/- B&H 85

298 430 6000 +/- B&H 60

S11 500 590 6000 +/- SF 60

O6 240 550 6000 +/- SF 60

CP03 368 260 6000 +/- JPGL 60

V-10 315 920 6000 +/- SF 60

V747 340 800 6000 +/- SF 60

* Specification as at older and metaphorical, specifications are available in PMD process

specification s.

Lamina Blending and Bulking

After conditioning the conditioned lamina are kept in one of the three lamina bins where
about 1 hour bulking period is given. The bulking period may vary from 32 hours to 1 hour.
The main objectives of bulking are -

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  Mix all grades of lamina for uniform and consistent product
 Homogenise the moisture within the batch.

Fines Bypass:

After bulking lamina is passed through Amala Sieve (a 3-stage sieve) which segregates the
small lamina and bypass the cutters. The objectives are:

1. To remove small strips from the lamina flow prior to the cutter.

2. To add back the small strips to the lamina flow bypassing the cutter.

3. To reduce degradation and dust generation at cutting stage.

(Appendix no.3 : Fines Bypass)

Lamina Cutting

The purpose of lamina cutting is to change raw conditioned material into a uniform and
consistent cut product of long strand length with minimum amount of dust / small particles
as possible. There are two RC IV cutters in PMD for lamina cutting. Lamina is cut at 35 CPI
for all blends and 28 except for two blends which are cut at 38 CPI.

The objectives of lamina cutting are

 Quality uniform lamina

 Minimum amount of dust formation
 To have a product with minimum number of incorrectly cut particles.

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  A cut product with maximum filling power
 A product with long strands

A combination of band speed and rotary cutter speed can be used to change CPI which is
achieved through different set of gear assembly.

Lamina is fed to the conveyor chains via Force Feeder. The top and bottom bands
compression leads to cheese formation in the compacting area very uniformly to the
density required for cutting and is conveyed to the mouthpiece. The mouthpiece is
mounted to enable vertical movement which is designed to compensate for differences in
the tobacco in feed height in the mouth piece work area. The mouthpiece opening height
primarily depends on the tobacco in feed height and the mouthpiece work area.The
compressive force is generated by a pneumatic cylinder.

There are eight knives and they rotate in the forward direction (clockwise from the right
side of the machine). The grinding stone sharpens the knives as it moves perpendicular to
the knife edge. The rotational speed of the drum acts as the reference value to which the
other drive speeds synchronized. The knives of the knife drum advance automatically. The
knife advance rate depends upon the rotational speed. The cutting width depends on the
knife drum speed and the tobacco conveying speed. It is infinitely variable. The cutting
drum is an octagonal casting housing eight knives on its periphery and their forward feed
mechanisms in its interior. The drum assembly pivots along the lower edge so that it tilts
outwards from the top to gain access to the mouth and associated components.

The top (compression) feed band, supported on two toothed rolls and one plain roll
mounted in a support frame, has its working surface inclined downwards from the hopper,

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rubbing plate being located above the working surface. Roller guides, on each side of the
band, above the rear roll, position the band laterally.

The working (upper) surface of the bottom (conveyer) fed band is carried by renewable
longitudinal plastic wear strips and the return (lower) surface by metal plates. The feed
band is driven from the toothed front roll and tensioned by the screw-adjusted smooth rear
roll. A Scraper, between the two surfaces of the band, bears against the rear roll to remove
scrap. Trays collect scrap from this and other positions below the feed band.

A combination of band speed and rotary cutter speed can be used to change CPI and
throughput of the cutter. In practice the rotary cutter will be run at maximum and the band
speed will be adjusted to change the CPI. (Appendix no. 4: RC4 Cutter)

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 Chapter 3

Lamina Drying

Page 33 of 66
Lamina Drying

The objectives of lamina drying are

 Drying Lamina into desired level of moisture for achieving pack moisture target
 Drying Lamina with better Particle size distribution and Fill Value

Appendix no. 5 Lamina ITM dryer

ITM Dryer

Imperial Tobacco Machine Dryer or ITM dryer is a rotating cylinder which is heated by a
flue gas burner. A counter current flow of process air, a portion of which passes through a
heat exchanger is the main medium of moisture absorption from incoming tobacco. Drying
is achieved through three imaginary zones where three heat transfer mode occur.

The process air is drawn from atmosphere by a fan. The amount of process air required for
drying purpose is controlled by a modulating damper. A portion of process air is bypassed
around a heat exchanger (an assembly of 16 Copper heat exchanging pipes) with the use of
a manual damper. It gets heated as diverts through an alternate duct in the cylinder before
re-entering through the delivery end. The process air volume is measured by a process air
flow meter mounted on the air duct and process air temperature is sensed by a Platinum
resistance sensor.

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The process air flows in the cylinder against the direction of tobacco absorbing the
moisture due to difference in relative humidity. The air then passes out through the feed
hood screens to the cyclone dust collector. The opening of cyclone damper determines the
amount of suction from the infeed of the cylinder and thereby controls the formation of
zones.

The Zones in the ITM Dryer:

1. Wetting Zone:
Water spray from the infeed nozzle at the start of each operation and continuous
condensation of moisture from the counter current flow of air create the wetting zone in
the feed section of the cylinder. The main purpose of wetting zone is to prevent excessive
burning of incoming small amount of tobacco into the cylinder.

2. Neutral Zone:
It is a small imaginary section where transfer of heat from the cylinder increases the
temperature of the tobacco. There is no change in moisture in this zone. The heating in this
zone controls the fill value of lamina.

3. Drying Zone:
In the drying zone the heated process air having low relative humidity absorbs moisture
from the tobacco and tobacco becomes dry.There is a nozzle in the delivery side which
sprays water on the process air to control relative humidity of air and keep the delivery
moisture on target. (Appendix no. 6-7: Schematic Diagram of ITM dryer)

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There are different PID control loops in ITM dryer for its smooth operation. These are
stated below:

Cylinder Temperature Control

The cylinder temperature is sensed at the delivery side with a PRT- Platinum Resistance
Thermometers sensor. This temperature signal provides feedback to the cylinder
temperature control loop and modifies the burner firing accordingly. The usual range of
cylinder temperature varies from 22**-23**ºC. If the cylinder temperature reaches as high
as 24**ºC, the burner is shut-off.

Process Air Flow Control

The process air flow is sensed by a PRT-Platinum Resistance Thermometerssensor. The

control loop compares the actual flow rate with the set point and modifies the position of
modulating damper accordingly.

Moisture Control

A moisture meter (TM 710) measures the moisture of the product at the delivery of the
dryer. The moisture control loop compares the actual moistures with the set point and
applies a correction to the delivery end water spray which eventually controls the
moisture.

Tobacco Temperature Control

Tobacco temperature is measured with a PRT sensor mounted in the ITM dryer delivery
conveyor. The control loop compares the actual temperature with set point and corrects it
by changing cylinder and process air temperature.

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The small amount of steam puff coming out of the infeed section of the dryer indicates the
proper zone formation. For example, if the process air flow rate is higher than required
level it would result in higher evaporation of water content from the tobacco and length of
drying zone will be decreased. The consequence will be reduction in the length of neutral
zone, increase in delivery water spray and increase in steam puff.

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 Chapter 4

Stem

Conditioning & cutting

Page 38 of 66
Stem Processing

Stem processing includes conditioning, cutting, expansion and drying.

Conditioning Cutting Expansion Drying

Stem Conditioning

The main objectives of stem conditioning are to add moisture to stem in order to
facilitate cutting and reduce degradation and dust generation in the stem line.
(Appendix no. 8: Stem Conditioning)

Stem conditioning is carried out in admoist. Uniform tobacco flow into admoist is ensured
by mass flow control through a weycon.

Product is conveyed through the admoist by the action of a three-bladed rotor,

supported with in “U” shaped trough. The centre of the rotor is a perforated tube
containing 26 holes in between two paddles, supplied with low pressure steam via a
rotary union. This tube has three paddles attached to it at 160° interval. This tube is
also known as the spurge pipe. (Appendix no. 9: Admoist action)

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The admoist has 3 nozzles, out of which only the first two are kept in action while the third
one has been closed. The first nozzle is used to spray water to increase moisture while the
second one is used to spray casing. The nozzle design of the water nozzle is semi-circular
to ensure maximum spray area on the stem. The tumbling action of the admoist is carried
out by rotating at 5 rpm. Thorough mixing is achieved by means of gentle tumbling action,
which ensures that fresh faces of all particles are continually being presented to the steam
and water sprays.

Steams flow from the porous sections of the spurge pipe facilitating better penetration of
moisture and increase of temperature. Typically, 4% of moisture content increase is
derived from the condensation of steam onto the product. The remaining moisture is
supplied by atomized water spray by a nozzle.

Similar to the DCCC, the admoist has a product detection sensor to initiate the RUN IN and
RUN OUT sequence. At intervals along the length, atomised water sprays are directed at the
product from above. Thorough penetration of moisture is achieved by the combined effect
of steam percolating from the rotor spray pipe, together with the finely atomised water
sprays from above.

Stem Blending and Bulking

There are 4 stem bins where about 2 hr bulking period is given after conditioning to
provide uniform distribution of moisture across the blend. The main objectives of bulking
are -

•Mix all grades of stem for uniform and consistent product

•Homogenise the moisture within the batch.

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There are few projects going on in PMD, one of them is new Stem bin. As a result the
number of stem bin will be 5 soon.

Stem Cutting

The stem cutter is designed to produce tobacco in different cutting widths from lamina or
stems. The objectives of these cutters are
 Uniformity
 Minimise dust generation
 Minimise incorrectly cut particles – to minimize stem knock outs

There are two types of cutter in PMD:

 KT-2/2 ( 6000 kg/hr), pneumatic control
 KT-2/1 (3500 kg/hr), hydraulic control

The CPI of the cutter, which varies from blend to blend is adjusted in the control panel of
the stem cutter.

Stem Cutter
KTC/KT2
Brand Cut per inch
H-28 180
B&H 180
S11 140
O6 140
CP03 160
V10 140
V747 160

(Appendix no. 9: KT2)

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Stem Expansion:

Stem expansion is done in conjunction with watering cylinder and STS before going
through the drying process in Fluid Bed Dryer.

Watering Cylinder:

The main purpose of Watering Cylinder is to provide additional moisture after stem cutting
ensuring that cut stem enters the STS at suitable moisture so that optimum expansion is
obtained. This moisture is added by atomized water spray through a nozzle.

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 Chapter 5

Stem drying

Page 43 of 66
STS:

The main purpose of STS is to cause expansion of stem thereby

 Increasing stem fill value

 Improving cig PD
 Decreasing EFO
 Consistent firmness of Cig

In the STS unit the stems pass through a rotary air lock into an expansion chamber where
they are subject to the intensive effect of a group of high velocity steam nozzles.

The high heat and mass transfer in the free jets cause flash evaporation of water in the
tobacco cells, thereby resulting in their expansion.

The cut stems are fed into the STS unit using a standard blow-through rotary airlock where
the lower part of the airlock serves as the expansions chamber. The airlock is preheated
before operation to avoid one-sided heat expansion which would result in airlock seizing.

The secondary stage of expansion occurs in the venture pipe (a converging-diverging

nozzle). The principle of venture causes the steam flow to accelerate and static pressure of
steam is reduced. At this point the evaporation temperature is lowered which results in
flash evaporation of the water contained in tobacco cell and thus causes expansion.

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The cut stems are separated from the steam before the cut stems are conveyed to dryer.
The cut stems drop onto a conveyor and steam is drawn due to the suction from bio filter.
There is an electric heater in the delivery shroud to avoid condensation of steam and
deposit of cut stem. The opening of suction damper is fixed at 50% opening which gives
optimum result for delivery tobacco temperature and deposit of cut stem.

The main steam pressure is 8 bar which is reduced to 5 bar with the help of a pressure
reducing valve. This 5 bar pressure is reduced to around 2 bar with a modulating valve
according to required steam flow rate. The pressure after pressure reducing valve is the
determinant factor for controlling the steam flow rate. If thepressure is below 5 bars, the
actual steam flow rate will be less than the set point and vice versa. The steam flow rate is
measured with a pressure transducer. (Appendix no. 10: STS)

Stem Drying:

After expansion in STS, stem is passed through Fluid Bed Dryer to achieve the target
moisture.

Fluid Bed Dryer is designed to take the advantage of fluidizing principles in order to
provide energy efficient drying with high quality product output.

Stem is evenly fed onto an inclined stainless steel perforated bed. There are three fans that
draw ambient air which is then heated by an air-steam heat exchanger.

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Process air is injected into the fluidised bed in the separately controlled zones to facilitate
good moisture control with minimised power consumption. Each zone comprises a high
efficiency, variable speed, axial type fan. The fan draws ambient air and passes it through a
heat exchanger unit.

The heat exchanger unit in first and second zone comprise of three stage heat air-steam
heat exchange tube while the heat exchange unit of third zone has a two layer air-steam
heat exchange tube assembly.

Process air temperatures are controlled by a pneumatic steam control valve in each three
zones.

In order to maintain a good air balance between the injected process air flow and the
exhaust air under all working conditions a differential air pressure monitor and exhaust air
damper system is provided.

A high efficiency cyclone fan extracts tobacco dust particles from the exhaust process
air prior to exhausting to atmosphere via Bio filter. (Appendix no. 11: Schematic
diagram of FBD)

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The Elutriator

Heavy particles are separated in Elutriator where product enters into a low velocity
classification zone which fluidizes and pneumatically separates the particles.

The bed of the Elutriator is divided into two zones. The volume of air through each zone is
carefully controlled by a variable speed inlet fan.

CRS-Cut and Rolled Silos:

There are 4 CRS bins where are the cut stems are stored after drying.

Heavy particles are separated in Elutriator where product enters into a low velocity
classification zone which fluidizes and pneumatically separates the particles.

The bed of the Elutriator is divided into two zones. The volume of air through each zone is
carefully controlled by a variable speed inlet fan.

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 Chapter 6

Delphi, delivery & Add

back

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Cigarette Ripping:

Waste cigarettes coming from SMD machines are ripped in Delphi ripping machine blend
wise. The smalls from ripping machine are also kept in boxes as per blend to be added back
with same blend lamina later after ITM dryer. Delphi has a recovery rate of 95% and
provides the following facilities:

 Higher Capacity 400 kg/hr

 Easy m/c operation
 Improved Quality
 Completely enclosed safe equipment

The ripping process flow is as follows:

Figure: Process Flow diagram in Delphi

Page 49 of 66
Add-back systems:

Lamina Line:

The ripped smalls are added back after ITM dryer as per blend add-back matrix. It is added
with an arrangement of add back system with tipper, storage band, auto feed and a
metering band. The speed of the metering band is controlled by an inverter to distribute
varying amount of add back item.

Stem Line:

There is an add-back line beside admoist where winnowers and heavies are added with the
conditioned stem as per add-back matrix before stem cutting.

Lamina, Stem Mixing & Delivery:

Stem processing is always advanced compared to the lamina processing of the same
operation. When the lamina of a particular operation starts coming out of ITM dryer, dried
stem of that operation is delivered form CRS bin through a weycon so that stem is
uniformly mixed in the blend.

After mixing of lamina and stem, they are finally deposited in the 2 Final Product Bins. Both
the final product bins have a capacity of 7000 kg of tobacco. While delivering from final
product bins the rotating doffers ensure proper mixing and blend integrity.

The tobacco is finally delivered in Meter Cube Boxes having capacity of 125 Kg each.
Tobacco is delivered at 6800 Kg/Hr from the box filling station.

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Chapter 7

Follow up

Page 51 of 66
Process Follow up:

In every quarter process follow up from PMD input to output is done to calculate the actual
PMD processing performance in terms of yield & waste. Analysis of all the data obtained is
done to find out any clue for any deviation. The steps for the process follow up are as
follows

1. Re-weighment of incoming tobacco received in LRR.

 Note down the operation number of the operation.
 Check all the tobacco bales against pick-list of the blend.
 Take the weight of each bale as delivered into LRR.
 Fill-up the following format.
 Calculate re-weighment loss as per the following formula
Re-weighment loss = (Total laid down quantity as per pick list – actual net tobacco
weight) / Total laid down quantity as per pick list * 100% )

But Celando quantity is not included here.

2. Measurement of moisture of incoming tobacco

 Take moisture sample for each grade.
 Fill-up the format for determining average incoming moisture of the batch.

3. Note down add back quantity for the batch.

4. Note down the rejection quantity
5. Keep the operation report of the batch and see whether it was a stable operation or not.
6. Normal sampling for measurement of different quality parameters should be done and
analyzed for understanding process consistency.
7. Weighment of delivered tobacco quantity ex-Box Filling Station.

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  Take tare weight of 50 empty meter cube boxes, attach sticker of actual weight
to the individual boxes.
 Fill-up the empty boxes with delivered tobacco from box filling station.
 Take individual weight of each filled boxes.
 Check total delivered quantity from the above table with the delivery quantity
figure in the operation report.
 Calculate yield as per the following formula.
Yield gain/loss = (Total delivered quantity measured – total laid down quantity
measured) / total laid down quantity * 100%

Note: Total laid down quantity = Total actual laid down tobacco + 30% of total Celando
used in the batch.

8. Take note of PMD dust and wet scrap for reconciliation.

9. Analyse all the data obtained to find out any clue for any deviation.

Waste Management & Foreign Material segregation:

During processing of tobacco in PMD dust & wet scrap is generated in various stages. This
dust is separated by means of sieving; machine cleaning, airlifting, using DRF etc. The dust
& wet scrap is collected in boxes, weighed and finally despatched to offal godown. From
offal godown the collected offal (including SMD dust) is finally weighed & sold to a 3 rd
party.

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To segregate foreign material (Non Tobacco Related Material, NTRM) manual picking
method, metal detector, air lift systems are used. This foreign material are collected,
counted as per different category (organic, inorganic, vegetable, mineral, metal, animal etc)
& disposed off. A weekly trend is communicated to GLT & Leaf.

The following chart will show the location of waste (offal) & foreign material collection in
PMD.

F Wetscrap
Tipper Bale Slicer DCCC Lamina Bin Amala Sieve Dust
F

DRF Dust Delphi Ripper Smalls F

Fines
ITMAddback
Dust
CTS Box-Fill FPB ITM Dryer RC4
F F

APS dust DRF Dust

CRS Silo Fluid Bed

STS
Dryer
Wetscrap
Stem &
winnower
Sieve dust
F
Tipper Admoist Stem KT2/ KTC Watering

F Bin F Cylinder Wetscrap

Conveyor & machine cleaning dust are

extracted
F – Foreign material collection point

Page 54 of 66
 Chapter 8

House keeping

Page 55 of 66
Housekeeping:

To ensure clean working environment & machine health regular cleaning is carried out. In
PMD three types of cleaning is carried out.

Maintenance cleaning: During maintenance all machine are cleaned to remove any trapped
tobacco particle, tobacco juice / gum, tobacco dust. To do the cleaning external sources
(contractors) are used who besides cleaning of the machine also do the maintenance of the
machine. For cutters PMD employees do the maintenance & cleaning.

Floor upkeep during processing time: For continuous cleaning of floors during processing
hours external resources are used. The entire PMD is segregated in seven different areas
(DCCC, Admoist, lamina & stem cutter, Stem Dryer, Box fill station & Delphi ripper) & seven
people per shift are deployed to maintain the housekeeping of that area.

Machine cleaning during night: Every night after closing of PMD extensive cleaning of the
floor, machine body, overhead ducts, windows, conditioning cylinders inside is cleaned.
The cleaning job is carried out by external sources (contractors).

Maintenance:

There are three types of maintenance in PMD.

1. Weekly maintenance
2. Preventive maintenance
3. Extended maintenance

1. Weekly maintenance

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The weekly maintenance is normally done on morning shift of Monday. The objective of
this maintenance is to do general cleaning and small repairs and replacements of all
machines in PMD. This is required to ensure smooth running of the PMD operation
throughout the week. The process flow of the weekly maintenance is given below.

Inputs:

 Audit jobs (m/c operative observation) from maintenance book

 Communication book
 Quality Feedback

Pre-maintenance Meeting @8:00am

Maintenance + Deep cleaning execution

(Audit jobs, cleaning checklist)

Machine Handover to Production

Feedback prior to the next maintenance

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Activities:

Throughout the week operative technicians (maintenance pool) and process operatives
filled up the communication log with their observations of machine performance. This
includes any abnormal sound, incorrect process parameter (Steam flow rate, temperature
etc.), physical condition of machine (torn belt etc.). Accordingly a maintenance activity list
is prepared & discussed in pre-maintenance meeting one day before the maintenance to be
carried out. All the permanent employees & contractors take part during the maintenance.

Execution:

Maintenance starts at 6:00 hrs and completed before 14:00 hrs. The maintenance activity is
recorded.

2. Preventive maintenance

A preventive maintenance activity list is prepared at the beginning of the year for next 12
months & normally carried out during weekly holiday (Friday). This maintenance covers
each machine once a month. Technical support team & contractors take part during the
maintenance.

Execution:

During maintenance the jobs are carried out according to the checklist and the additional
jobs list. The maintenance activity is recorded.

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3. Extended maintenance

It is done usually during the two Eid holidays. A survey is done on all of the PMD
machineries before the Eid holiday. Then according to following criteria a plan is prepared

• Priority
• Available crew
• Spare availability

The plan consists of

• Job allocation among the crew/contractors/suppliers

• Time frame

Jobs:

Normally the following jobs are done during extended maintenance -

• Overhauling of the machines

• Installation of machine
• Layout changing of machines
• Modification of the machine
• Other major jobs

Resources:

• Permanent crew
• Contractors

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• Machinery suppliers

During execution the managers and supervisors are directly involved with the maintenance
to provide support and resources to the crew to complete the maintenance within time
frame.

EHS:

Standard BAT EHS policy is followed. Ear plugs and shoes must be worn at all-time inside
the factory. If a worker needs to climb up to height; he/she must wear helmet and in cases
of working at heights, must use the harness. Dust masks must be worn in places where a lot
of dust is generated e.g. the Delphi Room, Final Product Bin and near the Air Product
Separator.

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 Chapter 9

Analysis, Results &

conclusion

Page 61 of 66
Findings

 Brand Portfolio:

Consumers in Bangladesh are very price sensitive. Cigarette Industry is of no exception.

Around 87-90% cigarettes are sold on stick and market segmentation has done also on the
basis of stick price. BATB brands do not exist in all the existing market segments. In those
vacant segments, BATB does not have any product available and therefore, it is always
under potential threat of new product entry in the market.
 Operating in very low segment:

Market has great potential (volume terms/value terms) in the very low segment. But it is
not economically viable for BATB to operate in this segment and earn reasonable profit
after paying excise. As competitors are well known for unethical practices in terms of
excise payment, they are making profit by operating in this segment and capture both
volume and value share without facing any competition from the industry leader.
 Increasing Excise:

Excise management is always a big concern for BATB. There is a continuous pressure for
increasing excise demand from the government. BATB has to manage the excise structure
and put constant pressure for not making any excise structure change, which has direct
effect on pricing of it’s’ brands.
 Increasing Transit (smuggle) brands & Counterfeits:

According to Retail audit, major competition faced by BATB in its premium segments from
transit Marlboro (around .03%). There was a time when BATB used to face competition
with its own BAT companies cigarette brands. These brands are not duty paid therefore,
they are available in comparatively cheaper price compare to BATB’s brands. Sometime,
counterfeits of some of the major brands of BATB like JPGL, SE555 and Star or Scissors

Page 62 of 66
filters are available in the market. This has become a serious concern for the company as
the quality of the counterfeits is very low and thus deteriorates company’s reputation.
 Industry Shifts:
Even till 2010’s smoke preferred to smoke plan brand cigarette with a very strong and hard
test. During 90s the smokers’ preferences started shifting towards full flavored Virginia
cigarettes with lower delivery and king size filter cigarette. Today’s industry is
experiencing a fundamental shift in its business .Now smokers want to smoke lower
delivery cigarettes and therefore, preference for lighter cigarette has been increased. To
meet this industry demand, new technology in the industry with huge capital investment is
essential for overall industry success.

 Potential threat for loss of market in terms of value share:

The cigarette market is very price sensitive .In the early 2010,BATB had to reduce the price
of its mid segment brand JPGL due to loss of sales ,a result of the price increase by 2.5% in
early 99’s . To stabilize the situation, BATB had to increase its sales volume to optimize its
value share. Lots of cost reduction initiatives were taken to balance the circumstances; like
usage of raw materials ,administrative costs ,production costs etc .in 2014, B&H’s price
increased 10% . In future ,such kind of threat is always there for BATB.

 Operational Problem:
o High Manufacturing Costs:
Increasing Manufacturing cost is one of the key issues for the Operation department
BATB’s product costs, conversion costs and material costs are higher than the other
operating companies of British American Tobacco and also higher than the region
average.

Page 63 of 66
Recommendations

There is nothing called best solution. Looking at BATB, in market the company is in the best
position and enjoying the market leadership. Following recommendations can be made to
support the company’s overall strategy for further enhancements of its operations in this
country:
o Continuously monitor 10 years strategic plan and its execution phases year
on year to have an overall balanced planning in line with the market demand
and its responses, and find out whether plans are aligned with the global
corporate strategies or not.
o DCCC upgradation
o Lamina and Stem bin upgradation
o Identify opportunities and build on strengths
o Brand portfolio should include brands in different price segments to fill up
the gaps (eg. at Tk. 2.5, 3.5 and even introducing super premium brand).
o Should think seriously for operating in the very low segments.
o BATB should try to achieve the economies of scale in order to reduce cost of
production per unit. Production Planning should be more focused on utilizing
the entire productive asset in the production floor.
o It can think of focusing on unrelated business diversification.
o BATB should outsource its daily administrative activities and put
concentration more on its business development activities.
o Should maintain strong relationship with its suppliers and customers.

Implementation Plan
Implementing strategy entails converting the organizations strategic plan into action and
into results. And thus it is the most difficult task of strategic management. The managerial

Page 64 of 66
task of implementing and executing the chosen strategy requires assessing what it will take
to make the strategy work and to reach the target performance on schedule. The
managerial skill here is being good at figuring out what must be done to put the strategy in
place, execute it proficiently, and produce good result.
Role of every manager in implementing and executing the strategic plan:
Successful implementation can be a part of cooperation and collaboration of different levels
of managers across the company. The top management of BATB should continuously
reinforce and cascade down its mission, vision and strategies across the company and
transform each and every one within the company into manager in his/her area of
concentration for overall development and widening the business line.
Identify the task to be completed:

o Formulate plan of actions for potential unfocused market segment and act
proactively to grab the existing opportunities.
o Allocate more funds for R&D.
o Continuously striving for innovative strategies to have edge over competitors and
ready to take any challenges.
o Continuously motivate employees to retain their morals and to capitalize their team
effort to achieve company mission on time.
o Re-fresh WOW program to sustain the ‘Change Management Program’.
o Up-gradations of required machineries for coping with the increasing market
demand.
o Lobbying and keeping good relationship with the Govt. for effective implementation
of ‘tax-stamp’.
o Find out cost occurring activities in the supply chain and try to fix up the problem by
finding cost effective methods.
o Implement IT strategies by supporting all functions with Information Technology
(IT) and creating new arena to add velocity in the respective business process.

Page 65 of 66
o Develop training programs with a training calendar throughout the organization
based on individual, functional and corporate needs to improve three key areas i.e.
knowledge, skills and attitude.
o BATB has to transform its core competence ‘unique managerial skills’ in to a
distinctive competence with more refinement so that this becomes a competitive
advantage for the company.
o BATB need to increase morals of its front-line management, Trade Marketing &
Distribution by offering them quick career growth, as they are the key contact
people between the consumers and the company.

Page 66 of 66
 Appendix ,
List of Abbreviations
&
References
Abbreviations

APS – Air Product Separator

MPS - Master Production Schedule

CTS - Cut Tobacco Store

LRR - Leaf Receiving Room

DCCC - Direct Conditioning and Casing cylinder

STS - Steam Treated Stem

FBD - Fluidised Bed Dryer

CRS - Cut Rolled Stem

CSS - Cut Stem Silo

FPB - Final Product Bin

EATR – Effective Average Throughput Rate

ITM Dryer – Imperial Tobacco Machine Dryer

SIL – Stem in Lamina

CPI – Cut per inch

DRF – Dust Recovery Fan

PDT – Planned Down Time

DTEF – Down Time caused by External Failure

References:
1. British American Tobacco Bangladesh. Retrieved May 25, 2012, from
www.batbangladesh.com.

2. British American Tobacco Bangladesh. (2011) Annual Report, British American

Tobacco Bangladesh, Dhaka.

http://www.bat.com/group/sites/UK__9D9KCY.nsf/vwPagesWebLive/DO9EBKZR
 Appendix no. 1: Bale Slicer

Retainer Cutting Head

Slicer band

Out feed
band
conveyor
Flow of tobacco

Figure: Schematic diagram of Bale Slicer

Appendix no. 2: DCCC

Direct Steam
Steam

Heat
Exchanger

Process Air flow

Steam

Water

Product flow
Wash
Down
Water
Figure: Schematic Diagram of DCCC
 Appendix no. 3: Fines Bypass

To
Primary Sieve (Thru 1″) + Roller Sieve +

Band Conveyor
C

U
Secondary Sieve 1 (Thru 5/16″)
T F
Sand
Plate T I
&
Secondary Sieve 2 (Thru 1/4″) E N Dust

R E
Plate
S
Figure: Schematic Diagram of Amala Sieve
 Appendix no. 4: RC4 Cutter

Cheese
Rotary cutterdrum

Cheese
Feed bands
under cut

Figure: Schematic diagram of RC-ΙV cutter

Appendix no. 5: Lamina ITM dryer

Process Air
Process Product

Air Heater Detector

Moisture

Meter Tobacco Flow

Product
Fuel
Detector
Cylinder Burner
Temperature
Heating
Sensor
Figure: Schematic Diagram of ITM Dryer
Appendix no. 6: Zone of ITM dryer

Figure:Drying
Zone formation in ITM dryer
Neutral Internal Wetting
Zone Zone
and Heating Zone

The 16 paddle of ITM

Appendix no. 7: Schematic Diagram of ITM dryer

Process Air
Process Product

Air Heater Detector

Moisture
Tobacco Flow
Meter

Product
Fuel
Detector
Cylinder Burner
Temperature
Heating
Sensor
Figure: Schematic Diagram of ITM Dryer
 Appendix no. 8: StemConditioning

Appendix no. 9: Admoist action

Atomized Steam Atomized

Casing flow water jet (twice)
(twice)
Paddles

Conditioned
Stem
Delivery Stem
feed 1400
kg/hr

Steam flow
6 Bar

Figure: Admoist in action

Appendix no. 9: KT2

Conveyor Force Feeder Cutter bands

Tobacco

Figure: Schematic diagram of stem cutter

Appendix no. 10: STS

A
E
B C D

A - Tobacco infeed, with heated hopper to minimise condensation

B - Steam inlet with optional air dilution

C - Blow through Airlock

D - Venturi Nozzle accelerates steam velocity and tobacco velocity

E - Tobacco and steam separator

Figure: Schematic Diagram of STS

Appendix no. 11: Schematic diagram of FBD

DRF

IN 80 OUT
120 100
HEATER

90% 80% 70%

Figure: Schematic diagram of FBD