THROUGH LAND DIVERSIFICATION BUILDING A COIR FACTORY

Establishing a “Coir Strings Mall”. The coconut tree which is known as “KAPRUKA” in Singhalese is a tree that Sri Lankan’s think as a tree that gives tremendous amount of advantages especially to the households. One such process that could be designed using “Management Architecture” is a design to “Develop a Coir Strings Mall and this would be done through “Land Diversification”.

Through the coir which is available in each coconut creating such a facility and implementing a map making process and next when the map making is done to implement 5s and implement “JAPANESE JIT AND JITODA”, The two main pillars any Organization needs, With this Foundation the Chilaw plantations could develop a world class facility. Only the integrity from the Top Management to the Front line Management and Laborer’s is needed. World famous TOYOTA runs on this Foundation but they “DON’T IMPLEMENT 6 ZIGMA”.Here in Sri Lanka 5’S is the very popular thing but “5’S is Outdated in the Global Arena and Sri Lankan’s haven’t identified the essence of implementing 5’s but put pictures and fancy words without knowing the through meaning how truly it was implemented and it’s just a basic very small foundation methodology used not a methodology to picture in office’s and make workers memorize the words of the 5s. KAIZEN and other Japanese Philosophies in Quality Management have come to the “Limelight”. The quality in japan is stated as the attitude of the workers, which has enabled them to do work efficiently and effectively. Transforming their war mentality to work efficiently with less talk. Creating this facility through Coconut Land Diversification would need a large amount of Capital and a Strategic Corporate Plan or win –win Corporate Strategy for Sustainable Corporate Growth, to keep this facility moving forward in the years to come in a positive manner.

The problem this industry is facing is that the lack of Coconut Husk, Sky Rocketing cost of Living in Sri Lanka,electricity & increased fuel charges, finding experienced personnel ,export demand declining because of this currently “SRI LANKA’S COIR INDUSTRY is in diastreateous.“High standard quality supervision and maintaining for a long periods of time, lack of knowledge in “Kaizen”, lean productivity, higher plant efficiency through the autonomous maintenance pillar of total productive maintenance (TPM).

Lean enterprise on productivity through Lean Transformation, Manufacturing experience, quality assurance, maintaining the results and challenges, Productivity enhance through Lean and 5s, Acculturation as a strategy to go beyond 6 zigma, the 4 pillar strategy 4 Manufacturing Excelence,Performance improvement in the Public Sector Plantations, the above mentioned methodologies should be given serious consideration by the top level people in the industry in order to generate sustainable profits while increasing the return

on investment ,labour productivity and Labour cost company. ROI, LP & LCC should show an increase every three years, if that doesn’t show an increase every three years, then theirs is something wrong in the daily operations or processes in the company. The public sector or private sector top management has to make major changes to send the income of the public or private companies or plantation’s towards the hard working laborers,because according to a recent research done on ‘‘ Sri Lanka’s economy - 90%(ninety percent) of Sri Lanka’s earnings go to the only 10%(ten percent) of Sri Lanka’s Wealthiest people”, the other 10% of Sri Lanka’s earning’s go to the middle class,lower middle class families and Poor.

Because of this the population in this plantation sector isn’t motivated to work effectively and efficiently. But if a Practical system, solid process and statistics, facts,figures,insight of industry people and analyzing these would pay dividends in the years to come.

Local production should increase and the earnings should be divided among the hardworking employees,labourer’s and managers. Not among the top management or making a generous donation to someone or to some unknown fund. The attitude of the CEO earning 4 million a month and a worker earning Rs 12,000/= should change,in Japan if a CEO gets 4 million the toilet cleaner gets 40,000 as salary,can you ever do a thing like that in sri lanka is the big question.In New Zealand and Australia the carpenters and plumbers and people who do ordinary jobs are paid the same amount salary an Engineer is paid in those countries,the Question to be asked is why can’t a similar model be adopted in this part of the world,there should be respect towards those people as well and professionalism in carpentry or whatever whether it’s the janitor there should be respect towards their job, because someone has to do that.This would create an environment to make the laborer’s, workers and managers as shareholders and they would be motivated, not only money when the plantation implement certain above mentioned kaizen perspectives by changing the attitude of the frontline and middle management human resource there would be external factors created to motivate your workers.Your SUPPLIERS are the Partners,the Employees are your shareholders and your customers should be treated as Kings and Queens rather than having towards the customer an attitude called “notheking” (a Sinhala term ).Remembering these will take your business a long away whatever the industry you’re working for.

If a plantation can implement these philosophies the advantages you get through these practical ways is immense. These philosophies will certainly enlighten the Plantation Industry in Sri Lanka which is rather stagnated and gloomy.

90% Earning

10% Earning

10% of Sri Lanka’s Wealthiest People 90% of Sri Lanka’s Middle Class and Poor Families.

DEVELOPING A “BALANCE SCORECARD FOR A COIR FACTORY”

Strategic plan in a diagram short and subtle to grasp.

ROI LCC

LP

Q C D

Q O DEFECTS

Q T O O DELAY

INVENTORY

S O UNWANTED ITEMS

S S

O O DUST

UNITENDIFIED ITEMSSEIRI, SEITON, SEISO & SEIKETSU, SHITSHUKE AND SAFETY. (3 S TO START THEN NEXT 3 S TO FOLLOW)

FINANCIAL PERSPECTIVE

CUSTOMER PERSPECTIVE

INTERNAL PERSPECTIVE

LEARNING AND GROWTH PERSPECTIVE

STRATEGIC LEVEL

MANAGERIAL LEVEL

OPERATIONAL LEVEL

FUNCTIONAL LEVEL

Appendix-

1st pillar - ROI –Return on Investment, LP – Labour Productivity, LCC – Labour Cost Company,

2nd pillar- Q – Quality, C– Cost, D – Delivery.

3rdpillar- Q- Quantity, Q – Quality, T- Time,

0 – Zero Defects,0- Zero Delay,0- Zero Inventory

4th pillar - 3 s- denote Seiri, Seitonand Seiso. 5s as a whole could be implemented and you could add safety as the sixth S.

6S

1. SEIRI2. SEITON3. SEISO4. SEIKETSU5. SHITSHUKE6. SAFETY

O denotes- 0 –Zero Dust, 0 – Zero Unwanted items, 0 –Zero Unidentified Items.

COMPILED BY –

AJITH DE SILVA

A.G.M PLANTATIONS

CHILAW PLANTATIONS