The 100 units that are part of the cluster have benefitted immensely.
The Mohali Hitech Metal Cluster, a special purpose vehicle formed under the guidelines of the micro, small and medium enterprises (MSME) ministry, is helping around 100 bath fittings units located in and around Mohali (Punjab) to develop a competitive edge.
K S Mahal, president of the Mohali Industries Association (MIA), said the bath fittings cluster has been chosen as an ‘Innovative Cluster’ from among the country’s 400 clusters. Even though only ‘soft’ interventions have been made in the cluster so far, the 100 units that are part of the cluster have benefitted immensely.
Members of the cluster asserted that the bath fittings manufacturing units, which were earlier reluctant to modernise, are now looking to automate their operations.
Mahal said soft intervention programmes had improved team work among workers in the manufacturing units. Earlier, the manufacturers were growing in isolation, and a diagnostic study conducted by consultants had found that this had made them uncompetitive, he said.
The diagnostic study revealed that low delivery compliance, high manufacturing lead time, high inventory carrying cost and high manufacturing cost were common, making manufacturing units less competitive. Mahal believes the cluster approach has helped them adopt modern methods, such as lean manufacturing practices.
“Units are investing in induction furnaces, while earlier they used oil furnaces. This is because the payback period is less and it is more efficient,” he said.
However, the MIA complained that the government of Punjab is yet to offer them land on which they can start a design centre and other modern facilities which could benefit the cluster.
B S Anand, a past president of the MIA, said the association was looking for a 2,500 square yard plot, but the state government is yet to finalise the allotment. Allotment of land, he said, would pave the way for the setting up of a design centre, a mini tool room and a training centre.
