The process flow analysis of setting up a manufacturing unit in India

The process is divided into 3 steps

1. Government approval requirements

2. Land

3. Technical installation of plant and machinery

In government approval we need to find out what are the approvals required such as

-Taxes

-Pollution

-Forest

-Employment law

-Power purchase agreements

-Fuel purchase agreements

-NOC from directorate of industries of state government

-Details of water pollution control/air pollution control devices proposed to be provided

-copy of environmental clearance of state government or central government

In requirement of buying a land such as

-Change of land use

-Conversion of land to non-agriculture

Permission for land use

a. State DI

b. Department of Town and Country Planning

c. Local authority/District Collector

Requirements need to full filled to install plant and machinery

-List of raw material with monthly or annual consumption

- List of manufacturing products with monthly or annual consumption
- Details of the generators or boilers
- Details of the stack and the chimney
- Details of hazardous and non-hazardous waste, treatment and disposal
 Process meaning

procedure, operation, action, activity, exercise, affair, business, job, task, undertaking, proceeding

a series of actions or steps taken in order to achieve a particular end.

Setting up meaning
Build , arrange , install , initiate , begin , create
Manufacturing meaning
make, produce, mass produce, build, construct, assemble, put
together, create, fabricate, prefabricate, turn
out, process, form, fashion, model, mould, shape, forge, engineer

Company Formation
START
Obtaining approval for the proposed name of the Company from the ROC
Drawing up the Memorandum of Association
Drawing up the Articles of Association
Getting the appropriate persons to subscribe to the Memorandum (a minimum of 7 for a
public company and 2 for a private company
Payment of Registration Fee to the ROC
Receipt of Certificate of Incorporation
Obtain a certificate of commencement of business from the ROC in case of a public company
STEP 1-Every business registered in India is provided certain benefits by the
government based on its type of entity - small, medium or micro. On registration
of the micro/small/medium enterprise, one shall receive a MSME certificate.

The factory owners are required to notify and also register their premises with
the local governing authority before the beginning of operations. This helps in
facilitating the risk management at workplace and the total implementation of
Safety and Health Management Systems in factory premises

STEP 2-Firstly, a person applying for a manufacturing license for the

company he wants to setup needs to fill the application form and the person
is required to pay an amount as a government and inspection fee
respectively with the form .

STEP 3- Secondly he needs to purchase a land and convert it into non

agriculture land . and also he should do fuel and power purchase aggriment

STEP 4- next he should take certificate from Pollution Control Board of state
and Central for forest and water pollution.

STEP 5- and he should make a Latest analysis report of effluent, fuel gases,
solid waste and hazardous wastes and Details of water pollution control/air
pollution control devices provided and also Ambient air quality report and should
submit the report

STEP 6-At the time of applying for the license it is required to mention other
information like the lists of equipment, manufacturing facility details with
minimum area required for manufacturing, Technical Competent personnel
details, etc. so that the licensing authorities have proper knowledge
regarding the background of the person
STEP 7– After that when the authority is satisfied with the report and the
standards of your premises it grants the license .after that we can start the
work .

And we need to list the required machinery and all raw material for setting
up manufacturing unit and should purchase the same

And next should install the machinery

- the development of a specification and identification of standards to be

met

• Pre-purchase inspection and assessment of prospective equipment prior to

decision

• Verification of selected supplier

• Pre-purchase installation plan

• Production of Contract

• Placing of order

• Post order project confirmation meeting

• Inspection of equipment prior to arrival and when arrived on site

• Preparation for delivery

• Delivery and provision of manufacturer’s information (in English)

• Installation of machinery and pre commissioning checks

• Post installation commissioning, inspection and verification of standards

• Development of risk assessment, safe operating methods, safe systems of

work, training plan and instruction plan

• Implementation, followed by validation, of training plan

• Acceptance of equipment by operational department