Sizer Pelleting Solutions - Essay Example

?Report on Sizer Ltd Executive Summary 2. Remit 3. Background of Sizer Ltd. 4. Methods and Tools of Analysis 5. SWOT Analysis of Sizer i. Strength ii. Weaknesses iii. Opportunities iv. Threads v. Economic Challenges vi. Industrial Challenges 6. The Competitors Analysis 7. The Challenges 8. Employee Recruitment at Sizer Ltd. 9. Conclusion 10. Recommendation 11. Appendices 12. Reference 1. Executive summary Sizer Ltd is the global leader in manufacturing of presses for pellet production. Simultaneously, providing the after sales and technical support services to its client with ninety degree. From manufacturing and installation of modern orbit presses till the repair, maintenance and troubleshooting of the presses as well. The Sizer is the innovation body of pellet manufacturing presses. The pellet manufacturing operations of the Sizer Ltd is competing with rivals, where the challenges are more enough to survive in industry. 1. Remit The boundary of this study is confined under management and financial factors to analyze. We will initially focus on the factors of SWOT analysis of the Sizer Ltd and the industrial factors facing by the firm. The Sizer Ltd dealing with two dimensions, first consists on the pellet manufacturing and supplying operations where the number of competitors are large whereas the Sizer is facilitating in three different large markets of the world. Next operation of this firm based on the engineering and technical support division, which provides the pellets manufacturing presses. In pellets presses industry, the Sizer is the global leader which innovate this technology in mid-nineties. 2. Background of Sizer Ltd History of Sizer Ltd consists on the combination of engineering innovation as well as the quality manufacturing of pellets. A British pioneer engineer established Sizer Ltd in 1899 in Hull, England. The first ever pallet manufacturing press was designed by the Albert Sizer, son of Sizer’s founder with the name and style of Cuber. The design completed the patent procedure in 1912. This innovation of the Sizer family turn the Sizer Ltd into the global leader in animal feed pallet system. The Walden Engineering of Sheffield-based acquired the Sizer Ltd in 1990. Management of the Walden Engineering moves the operations in Sheffield with support of initially OSL Group Ltd and recently from the Newburgh Group as well. The basic robust designs rapidly improve to meet the market requirements of quality efficiency and the cost effectiveness and become the familiar Orbit Pellet Press. Simultaneously, Sizer providing the wide range of pallet presses and the spare parts with technical supports which includes the maintenance and installation of presses. The most selling press of Sizer, Orbit presses is the most efficient more for manufacturing of pallets, the main characteristics of Orbit is easy for installation and adaptable for bespoke applications. This use in diverse industries like manufacturing of animal feed, charcoal briquetting, biomass, malting and flour millings. It has capacity from 200kg / hour to 10000kg / hour range availability which depends on material and type of manufacturing. Year 2008, the industry of pellet producing was sacrificing for the impacts of recession, which shows in Figure 2 that lower quantity of pellet manufacturing stoves sold and installed whereas, only boilers sold out by the Sizer because of barrier of new entry in industry but the only capacity enhancement through the boilers. (See Figure 2) 3. Method and Tool of Analysis We choose the SWOT as best analysis tool to identify the strength, weaknesses, threads and weaknesses of Sizer Ltd and the competitors as well. SWOT Analysis is the more frequently and easily understandable tool to identify the international factors of the firms which exhibit all the internal and external factors to understand the current position of the firm and the market or industry, furthermore, it helps to create the strategies of future to more stabilize the firm and achieve the organizational goals by capturing the market share. 4. SWOT Analysis of SIZER LTD. Strengths Operations of Sizer Ltd exists in three largest markets of the world and having the ownership of largest deposits of iron ore in west Europe and America. The company committed of exploration for next sixty years up to 2070. The resources measured and found the indicated resources of 552 Tons whereas the inferred resources are 1000 Tons. The best fit location of organization where the environmental liabilities are less. The partnership of quality technical scientific is highly prestigious. Acceptance of the project by local community motivated us to grow further towards success. The Sizer Ltd affiliated with the industrial support of OSL Group Ltd and the Newburgh Group as well. Enough outflow capacity and the urgent availability of infrastructure, water, energy and other resources. Further, Sizer having ownership of exploration areas as well as the availability in rest of the large exploration land on contract bases. Financial position of the organization is strong which paves the way for project financial endurance and having moral integrity on both of the projects, the manufacturing of pellets and manufacturing of pelleting presses as well. Weaknesses Large Thermal Amplitudes characterized the climate. Cost of the supply enhanced due to higher cost of movement of goods from plant to the customers place. Opportunities Sizer Ltd is the Global Leader in manufacturing of pellet presses like orbit.A new captivating market for exporting pellets and the presses to Portuguese, economy of Portuguese is stabilized and moving on positive direction which would further boost our businesses. Management of the Sizer is providing almost thousand to fifteen hundred jobs opportunities yearly in direct and indirect capacity with more diversified, competent and challenging candidates. In press manufacturing market, there is enough capacity in future period to sale the pellet manufacturing presses. The impacts of recession is almost end, the new entries in pellet manufacturing market will be appear which surge the business of Sizer Presses. (See Figure 3) Sizer Ltd is affiliated with many local and international institutions and corporate partnership as well. First investigation and development center of the industry was founded and established by the Sizer in history. Cost of production is very low as compare to competitors because consuming high capacity plant. The company is working on ore pipeline project with world’s biggest consultants. Threats There is lack of experts, experienced and qualified personnel in the industry. The company is generating competitors for the pellet manufacturing industry by providing all the products, pelleting and the manufacturing presses to same industry. The downfall of this industry highly impact the Sizer because of the all the products and services range in same industry. It reflects that Sizer Ltd is creating competitors and rivals of Sizer Ltd itself by selling the manufacturing plants of pellets, whereas itself producing the highest quality of pellets. Economic Challenges The under recovery economy of the United Kingdom creating many challenges for pellet industry as well as generating the barriers for new entry in this field. The big part of the Sizer Ltd business based on the new entrance of the pellet industry because the more than half worth of the Sizer market is because of pellet presses. Sizer Ltd is the global leader in manufacturing of presses for pellet production. Simultaneously, providing the after sales and technical support services to its client with ninety degree. From manufacturing and installation of modern orbit presses till the repair, maintenance and troubleshooting of the presses as well. The Sizer is the innovation body of pellet manufacturing presses. The innovation of the pellet producing presses was launched and patent by the son of Sizer manufacturer. The last global recession of the economy highly impact the Sizer Ltd and reverse the financial position of the company. Due to previously good achievement in term of financials, the firm lost the capital but still having enough to lead in industry. Sizer Ltd providing the Pelleting Presses as well which been installed at different locations which ultimately enhancing the competition circle of Sizer Pellet Producing Operations and generating more rivals to face. The tax policy of the government of United Kingdom revised which pressurizing the pellet manufacturers whereas the interest rate policy is been stable with proportionate of inflation. Industrial Challenges There is lack of experts in pellet industry, the limited qualified experts personnel recruited by the big competitors whereas the rest of the companies cannot pay such a highest salary and remunerations to achieve the market goals. It is so costly to appoint the qualified expert for manufacturing of pellets because they are earning more than affordability of the little sellers. In such competitive market of pellets manufacturing, the Sizer should review the all previous policies and design new strategy from implementation of which, the more market share would be captured. The presses industry of manufacturing pellets is still growing business but the downfall of the economy and large tax policy depriving the sales of this, because the new plants in this industry enhance the sales of orbit and other presses. Pellet manufacturing market is very competitive with high challenging requirement of market; the new policy for this operation should be launched to capture the market. The market segmentation can be implemented in this operation which would reboots the organization and expansion of the same products in different other strong markets would more capitalize the profitability of the Sizer Ltd. I highly recommended separating the businesses operations as well as management of the Pellet Manufacturing and the Pellet Presses. 5. The Competitors Analysis In 2002, Wood Pallet production in all over the United Kingdom established Wales Bio Fuel Centre under the supervision of Groundwork Bridgend and Neath near Port Talbot with coordination of European Regional Development Fund. The Wales Bio Fuel Centre Welsh Biofuels Ltd developed the wood pellet production with highest capacity of c 10,000 every year. Unfortunately the organizer of this program collapsed due to financial turmoil in 2008. Another organization from the waste recycling site near Durham in England established with the name and style of premier Waste. This organization continue the same practice and use wood that otherwise gone into landfill to produce wood pellets with the output of 3.5 ton per hour pellet mill. It was the initiative to move the heat system of local schools of the city through fossil fuel which deliver through the coal with the energy source of pellets. The next step was taken by the commissioning of pelleting plant by Balcas Ltd at Ennis Killen, Northern Ireland in 2005 which start the operation from early 2006.The production capacity of Balcas Ltd was 50,000 tons which recently extended up to 55,000 tones every year. Now the pellets producing form the sawdust from Balcas timber at operation site. At beginning, Balcas Ltd exported pellets to United Kingdom power stations for co firing but now it has supply networks across south and north Ireland and a distribution center in Cork. Now, Pellet manufacturing market is very competitive with high challenging requirement of market; the new policy for this operation should be launched to capture the market. The market segmentation can be implemented in this operation which would reboots the organization and expansion of the same products in different other strong markets would more capitalize the profitability of the Sizer Ltd. Current Production of Pellet Industry. 6. The challenges The challenges for Sizer Ltd are rapidly surge day by day due to the highly competitive market, where a single mistake can be the big achievement of competitors. The financial position of the Sizer is still strong but the pellet production division is moving towards down. Sizer Ltd providing the Pelleting Presses as well which been installed at different locations which ultimately enhancing the competition circle of Sizer Pellet Producing Operations and generating more rivals to face. In the same context the prices of overall industry is reducing the prices to compete the market and to capture the market share which ultimately lowering the margin of profitability towards down. (See Figure 1) The tax policy of the government of United Kingdom revised which pressurizing the pellet manufacturers whereas the interest rate policy is been stable with proportionate of inflation. 7. The kind of employee Sizer would be interested in recruiting. We reviewed the complete website and publications of Sizer Ltd, but recently there is no opportunity for jobs and career. To maintain the integrity of this report, we search the technical job in Pellet industry where we found a requirement of Production Manager for Pellet Plant of 4 MT. This job is required by the Raipur Pellet Plant at same origin of Sizer the United Kingdom. The criteria to recruit the production manager are the technical educational degree either the Bachelors in Engineering, Technology or the Diploma with great skills and experience. Furthermore, they required working experience in pelleting industry from ten to fifteen years to meet the criteria of production manager. The experience with the giants of the same industry would be preferable, whereas the post qualification experienced candidate would be considered with priority criteria. Another requirement for recruitment of Production Manager is that the candidate must be the well verse with working principles of pellet project. This requirement is the baseline of any professional production manager of pellet manufacturing which consist on the basic knowledge of this industry and production, the safety precautions while production, the factors ease the cost of the products as well as the complete process of manufacturing of pellets and the usage of pellets manufacturing presses and other machineries. Knowledge regarding different operations and kind of processes and operation required to fill the capacity of production manager likeBall mill,TC,Kills and other Auxiliary. Student Name: Company Name: Raipur Pellet Solutions, Vinayak Job Consultants. Job Specifications & Requirements My Own skills Skills missing How to improve my weaknesses 1. B.E. / B.Tech or Diploma in Mechanical Management Bachelors instead of technical. Professional / Technical Education Attain the admission in technical and professional education program like B.E or B.Tech. 2. Work Experience of 10 to 15 Years. No experience, still studying. Missing industrial working experience of 10 to 15 years. Have to work at lower level of this industry till required years. 3. Well Verse with working principles of the industry. A little bit knowledge about principles by theory. The working principles on study through books but required practically. Start internship with any of the good pellet manufacturing company to know the working principles. 4. Knowledge of Ball mill,TC,Kills and other Auxiliary required. No knowledge of such practices. Knowledge of professional terms use while producing pellets. Internship in company of pellet manufacturing required to overcome this situation. 8. Conclusion The overall structure of Sizer Ltd reveals the market tendency of the pellet products which rapidly concentrated due to new entrance of seller by investing more money. The Sizer is one of the reasons for this competitive market because it is selling the pellet producing presses and machineries as well. In such competitive market of pellets manufacturing, the Sizer should review the all previous policies and design new strategy from implementation of which, the more market share would be captured. The presses industry of manufacturing pellets is still growing business but the downfall of the economy and large tax policy depriving the sales of this, because the new plants in this industry enhance the sales of orbit and other presses. 9. Recommendations After the detailed analysis and long observations, I recommend Sizer Ltd to concentrate on Pellet Manufacturing Presses Operations instead of Pellet Manufacturing. Pellet manufacturing market is very competitive with high challenging requirement of market; the new policy for this operation should be launched to capture the market. The market segmentation can be implemented in this operation which would reboots the organization and expansion of the same products in different other strong markets would more capitalize the profitability of the Sizer Ltd. I highly recommended separating the businesses operations as well as management of the Pellet Manufacturing and the Pellet Presses. 10. Appendices Figure 1 Figure 2 Figure 3 11. References Manufacturing Processes (2010), Pellet Process, Pellet Process, DE, Retrieved on 17th April, 2012. http://www.pelletprocess.de/?page_id=18&lang=en Innovative Products (2012), Sizer Pelleting Solutions, Retrieved on 17th April, 2012. http://www.sizer-pelleting.co.uk/ Pelleting Presses (2012), Sizer Pelleting Solutions, Retrieved on 17th April, 2012. http://www.sizer-pelleting.co.uk/presses.html Kinds of Pellets (2011), Sizer Pelleting Solutions, Retrieved on 17th April, 2012. http://www.sizer-pelleting.co.uk/why-pellet.html Technical Support (2010), Sizer Pelleting Solutions, Retrieved on 17th April, 2012. http://www.sizer-pelleting.co.uk/spare-parts.html Cold Pelleting (2010), Vobis LLC, Retrieved on 17th April, 2012. http://www.vobisllc.com/ColdPelleting.htm Pelleting Machinery Manufacturer (2010), Rictec PTE Ltd, Retrieved on 17th April, 2012. http://www.rictec.com.sg/pellet-mill/ Read More