MODULE 4

Chapter 1
INDUSTRIAL SAFTY

Factory
It is a place where ten or more persons are working with the help of power and
machines for manufacturing any product.
Accident
It is defined as an event which interrupts the orderly progress of a work in an
industry.
Incidence rate = (Number of injuries / Total number of employees) x 1000

Frequency rate: It is defined as the number of accidents occurred per million

man-hours worked in a year

Frequency rate = (Number of lost time accident / Total number of man hours worked) x 1000000

Severity rate: It is defined as the number of man-days lost per million man-
hours worked, in a year.

Severity Rate = Number of man days lost / Total number of man hours worked) x 1000000

Accident Proneness
It is defined as the continuing tendency of a person to have more accidents as a
result of his characteristics.
Reasons for Accident Proneness
1) Inattentiveness and Day-dreaming
2) Poor eyesight and Lack of stamina
3) Poor adjustment of work
4) Dislike of the supervisor
5) Lack of training and skill to do a work
6) Insufficient intelligence
7) Lack of experience
8) Lack of coordination
9) Lack of health
10) Immature age

Methods to reduce Accident Proneness

i) Select only those candidates with appropriate mental and physical standards for
the job.
ii) Transfer accident prone workers to less hazardous jobs
iii) Impart adequate training
iv) Encourage employees and avoid unnecessary frustrations.
v) Stick to safety rules.

Unsafe acts of Worker

1) Casual behavior of workers

2) Lack of interest and indifferent attitude of workers towards work.
3) Failure to use personal protective devices
4) Lack of experience for the job
5) Longer hours of continuous works
6) Lack of attention and sleep
7) Carelessness and not following safety rules
8) Using unsafe speed
9) Ignorance and lack of training
10) Fatigue, physical defects etc.

Unsafe Conditions in the company

Includes:-
1) Defective equipment/machines.
2) Insufficient safety devices
3) Bad environmental conditions due to inadequate heating, lighting and ventilation
4) Electrical failures
5) Poor housekeeping
6) Long hours of continuous work
7) Improperly guarded equipments
8) Bad environmental conditions
9) Improper disposal of waste disposal
 10) Wrong or faulty layout

Causes of Accidents

Accident may be caused due to

1) Technical causes: Two types a) Mechanical factors

b) Environmental factors

2) Human causes: Caused by the person concerned – Personal factors

a) Mechanical Factors
1) Unsafe mechanical design/construction
2) Hazardous arrangement
3) Improper Machine guarding
4) Unsafe apparel
5) Defective devices
6) Improper material handling
7) Broken safety guards
8) Leaking values
9) Untested boilers and pressure vessels

10) Protruding sharp materials

b) Environmental Factors

1) Too low temperature cause shivering

2) Too high temperature causes headache, swearing etc.
3) Too high humidity causes uncomfort, drowsiness etc.
4) Defective illumination causes eye strain glares etc.
5) Presence of dust, fumes, smoke and lack of proper ventilation.
6) Poor housekeeping
7) High speed of work
8) Noise, bad odour, flash etc.
9) Inadequate rest between working hours
Personal Factors
1) Age
2) Health
3) Lack of knowledge and skill
4) High level of anxiety
5) Non-use of safety devices
6) Improper use of tools
7) Number of dependants
8) Fatigue
9) Carelessness and unsafe speed.
10) Emotional instability.

4 E’S of Accident Prevention Techniques

1) Engineering
 Safety at the design and equipment installation stage
 A good layout should be provided
 The height of the working rooms should be of 3meters
 The floors most be non-skid type
 Reduce the level of noise
 Use personal protective devices
a) Head- helmets, safety caps
b) Face and eye- face masks, shields, goggles etc.
c) Body- aprons, asbestos, suits, safety belts
d) Hand, foot- gloves, pads, safety foot wear.
e) Gas masks
 Inflammable materials should be stored separately from
the store
 Fire extinguishers should be kept in proper condition
2) Education

 Employees should be educated to think, act and work safely

 The safety education involves orientation programmes, displaying chart,
posters, and safety classes at the time of job training etc.
 Formulate safety committees and appoint safety officers
 3) Enlistment

 It concerns the attitude of employees and management towards the safety

programmes and its purpose. It is necessary to arouse the interest in
employees in accident prevention and safety consciousness.
 It includes display of safety posters, providing safety devices, providing
allowance to the workers, hold safety competitions and awards, hold
safety meetings, cross mark accidents, report safety activities to all.

4) Enforcement

 To enforce the employees to obey the safety rules and safe practices.
 If the safety practices are violated, penalties are given.
Safety Organization

Employees at all levels should be involved in practicing safety procedures.

Role of Management

Management should:

1) Provide a safe and healthy place to work including safe equipment and tools,
inspection system etc.

2) Provide adequate training and supervision to develop safe work habits among
workers

3) Organizing safety activities like investigation of accidents, first aids etc.

4) Make it clear to all levels of supervision and workers that management is behind
the safety program

Role of Safety Officers

 Short term and long term planning of safety activities

 Monitoring safety performance continuously
  Advising managers in matters relating to safety
 Supervision of the work of safety committees
 Conducting safety inspections and accident investigations.
 Overall direction of activities to prevent accidents

Role of trade unions

Members of trade unions should participate directly or through representatives in safety

inspections, in formulating safety rules and making recommendations.

Emergency Preparedness and Response

Preparedness for emergencies is a tool for bringing people – staffs, community

representatives, local authorities, together to allow effective communication on risk and
planning for emergency response.

A fast and effective response to an accident can limit injury to the people as well as
damage to the property and environment.

Response participants can be developed including -Fire and police departments, public
health authorities, transport companies and emergency health services.

Emergency response plan should cover Criteria for triggering alarm signals
Clear reporting procedures
Adequate emergency equipments
Communication equipments that can reach all
participants

Precautions to be observed while working in Hazardous Environment

1. All machine parts likely to cause accidents must be guarded properly.

2. While overhead cranes are operating, sufficient precautions are to be taken.
3. High pressure units like boilers, pressure vessels etc should be installed away from
the main concentration point and proper safety valves and alarms should be
provided.
4. Give proper rest time to the workers during their working time
5. The workers should be properly trained
6. The work should be allotted according to the physical and mental abilities of the
workers.
7. Proper lighting has to be given.
8. The ground should be kept clean without oil and dirt
9. Machines should be correctly loaded with proper speed and feed.
10.Posters indicating safety measures and slogans should be displayed at salient points.
11.Fire extinguishers are to be installed
12.Ample exits should be provided.
Precautions to be observed while handling Electrical Equipments

Various safety rules under Indian Electricity Act, 1923 are:

1. All the electrical supply lines and apparatus should have sufficient strength and
meet specific power ratings.
2. Service lines are provided with suitable cut out devices.
3. Bare electrical conductors should be inaccessible to human contact and switches are
to be given.
4. First aid boxes, fire extinguishers are to be provided.
5. Every electrical appliance should have name plate indicating rated voltage, power,
ampere etc.
6. Only authorized and licensed electricians should do the work.
7. Every installation should be periodically tested.
8. Proper earthing should be given.
9. Proper clearance has to be given
10.Lightening arrestors and electrical surge protections has to be given if necessary.

Safety Provisions in the Factory Act 1948

1. Every moving part of machinery should be safe guarded by casing and fencing
2. Only trained adult male worker wearing tight fitting clothing should be allowed to
work near moving machinery.
3. No women or young person shall be allowed to clean or lubricate moving
machinery.
4. Devices for cutting off power shall be provided.
5. Every hoist and lift shall be of good mechanical construction and strength, protected
by an enclosure fitted with gates.
6. All parts including working gears, chains, ropes etc. shall be of good construction
and strength and examined in regular intervals.
7. Detailed information should be affixed on every revolving machinery, indicating
speed and load.
8. No person shall be employed to lift or carry heavy loads which cause injury.
9. The workers should be provided with suitable goggles and screens to protect eyes.
10. Proper fire exits should be present.
11.Proper safety valves, pressure gauges etc must be given and examined regularly.
12. Pits and openings in floors should be properly covered.
 Chapter 2
ENTREPRENEURSHIP
The word ‘Entrepreneur’ is derived from a French word ‘Entreprendre’ means ‘to
undertake the risk of activity’.
Entrepreneur is an innovator, risk taker, an organization builder etc. He introduces
new ideas, thoughts or products, carries on new activities, coordinates the factors of
production and decides how to run the enterprise.
Entrepreneurship is the purposeful activity of an individual or a group of associated
individuals undertaken to initiate, maintain or getting profit by production or
distribution of economic goods and services.
Profile of an Entrepreneur
 Hard work
 Desire for high achievement
 Highly optimistic
 Independence
 Foresight
 Good organiser
 Innovative
 Team spirit
 Perseverance
 High confidence level. (high self-confidence)
Functions of an Entrepreneur
 Perceives opportunities for profitable investment
 Explores the possibilities and prospects of starting an enterprise.
 Obtain required technical knowledge
 Obtain industrial license
 Manage business and take decisions
 Promotes new inventions
 Effectively marketing of products
 Coordinates different factors of production
 Deals with various Govt. departments
 Employs workers of requisite skills and pay wages
Risk Training Qualities of an Entrepreneur
  Risk taking ability
 Self confidence
 Leadership quality
 High level of motivation
 Problem solving capacity
 Innovation
 Flexibility
 Should be dynamic
 Realistic approach
 Independence of thoughts and actions
 Strong determination &will power
 Profit oriented
Factors leading to Failure of an Entrepreneur
 No clear cut vision
 Improper management of finance
 Lack of management skills
 Not maintaining secrets
 Not employing the right person
 Wrong business decision
 Wrong financial investment
 Inconsistency and lack of honesty
 Over promising and under delivering
 Product design problem
 Lack of regards for customers

Factors leading to Failure of an Entrepreneur

To tackle the scarcity of jobs, Govt of India has introduced ‘Entrepreneurial

Development” programs to encourage the students in becoming entrepreneurs.

To encourage students, Kerala has established Innovation and Entrepreneurship

Development Cells (IEDC) in colleges across the state. The nodal officers from these
colleges are trained on focused workshops and selected students undergo training.

This will prepare students to become innovators.

Kerala is the first state to have allotted 1% of the budget provision of each department
for the entrepreneurship development activities of the students. Declared 12th
September as the state Entrepreneurship Day.

All universities in Kerala will give 5% grace marks and 20% attendance to student startups
which have one woman as a cofounder.

Steps Involved in starting a Small Scale Industry (SSI)

STEP 1:-Product Identification: Decide the product that you are going to
manufacture on the basis of market survey, financial capacity experience etc
STEP 2:- Preparation preliminary project report to get rough idea on machinery
raw materials and financial requirements
STEP 3:- Decide the form of ownership ( it may be sole proprietorship,
partnership joint stock company or cooperative society)
STEP 4:- Location of industry – Based on availability of raw materials, rentavailability
of skilled workers, road, rail and port connectively
STEP 5:- Preparation of business plan – Deciding organisation structure, fix
authority, apply for required permissions.
STEP 6:- Apply for registration
STEP 7:- Select the financial agency for loan by comparing the interest rates
STEP 8:- Obtain various clearances or approvals (from health department,
town planning department, pollution control board etc)
 STEP 9:- Recruit persons required for production, administration and
marketing
STEP 10:- Apply for permanent registration

STEP 11:- Commercial production

STEP 12:- Quality certification

Registration of small scale industry (SSI)

Means registering the proposed/existing enterprise with the State Directorate or

Commissioner of Industries or DIC’s (District Industries Centers).

Registration of SSI is done in two stages:

1) Provisional registration
2) Permanent registration
1) Provisional Registration
 It is initially granted for applying to various departments for availing
assistance for setting up the enterprise. It is granted for a specific period
of time (1 year).Only a project proposal is required for this.
 It provided to apply for power connections, financial assistance from
bank,license from corporation or municipality etc
2) Permanent Registration
 It is only granted after the starting of commercial production.
 Given after physical inspection and document scrutiny.
 The formalities required for getting permanent registration are: ownership
rights, municipal/corporation clearance, pollution control board clearance,
electricity board clearance, BIS/QC certificates, Clearance from factories
department.

Industrial Support Programs Existing in India

The Government of India has taken a number of steps for the promotion, protection and
development of micro, small and medium Enterprises. Some of the programs are:
 a) MSME Policy (Micro, Small and Medium Enterprises):

It is to encourage, promote and support small scale industry, village and cottage
industries.

The office of the Development Commissioner, MSME is entrusted with

responsibilities of providing techno-economic and managerial consultancy, common
facilities, providing facilities for technology upgradation, quality improvement and
infrastructural support to MSMEs.

Some schemes under this are:

i) MSECDP (Micro and Small Enterprises Cluster Development Programme

It is for the development of clusters for capacity building, technology upgradation

for the enterprises, skill development, marketing and export support, improved credit
delivery , setting up CFCs ( Common Facility Centers) etc.

ii) Credit Linked Capital Subsidy Scheme (CLCSS):

It is for technology upgradation .

The subsidy is upto 15%.

iii) Support for ISO-9000/14001 Certification fee reimbursement.

Fee reimbursement upto 75% or Rs 75000 which ever lower is given.

iv) Infrastructure support facilities

 b) MSME Policy (Micro, Small and Medium Enterprises):

Science & Technology Ministries and Department have taken several steps for the
development and transfer of technologies to industries.

i) National Science & Technology Entrepreneurship Development Board:

Helps to establish knowledge driven and technology intensive enterprises

ii) Department of Science and Industrial Research:

It aims to promote R&D support to industries

Feasibility Study
It is the systematic method adopted to find out possibility of
manufacturing aproduct at a particular place with all merits and
demerits.
The feasibility study helps-
1. To make an investment decision
2. To assess viability of the projects for giving financial assistance
3. T estimate profitability of the venture
4. To know the break even analysis.
Different constituents of feasibility report are:
1. Market and demand survey- study all the problems related to
transfer and sale of goods produced and finding out he demand for
a particular product
2. Product and production analysis-Select the suitable product to be
manufactured and analyze various technologies related to
production
3. Input analysis- The input include 5M’s- money, materials,
machines, men, management.
4. Plant location- It is based on availability of raw materials, power,
labour, closeness to market etc.
5. Technical Evaluation: It indicates all the technical capabilities of
the proposed project including information regarding
manufacturing process, machines etc.
6. Economic evaluation: It is the presentation of information
regarding the profitability of business. It gives information
regarding capital, size of the firm, expenses etc.
7. Financial viability: The financial benefits likely to receive are
analysed by analyzing cost of project, working capital, cash flow,
break even etc.
 Feasibility Study Report
The data collected during feasibility study are presented in the
form of feasibility study report. It includes – name of the industry
to be started, address, product to be manufactured, target of
production, raw materials, machinery, manpower, production
process, cost, etc.
It is useful for getting financial assistance.
DPR – Detailed Project Report
It is a post investment decision. It gives information regarding
working plan for the implementation of a project where as feasibility report is
the basis on which investment decision is taken
DPR include personal details of the entrepreneur, details of the project, raw
materials required, fixed capital, working capital, profitability etc.

Industrial Support programs in Kerala

Agencies like Kerala State Industries Development cooperation, Kerala Small

Industries Development cooperation, Kerala Industrial Infrastructure
Development etc promote the industrial growth in Kerala.
Kerala Gvt. facilitate Industrial Development Zones (IDZ) in Trivandrum,
Kochi, Kozhikode aiming for the development of manufacturing industries,
agrobased industries, textiles etc. Gvt is setting up IT parks and industrial
parks in major cities of kerala.
MSMEs play important role in creating employment opportunities. Made in
Kerala brand will promoted in all sectors.

Agencies for providing financial assistance to SSIs

Banks, industrial development banks, investment cooperations etc provide

necessary financial support to industries. It includes IDBI ( Indusrrial Development
Bank of India), SIDBI ( Small Industries Development Bank of India) , NABARD(
National Bank for Agriculture and Rural Development), LIC ( Life Insurance
Corporation of India), UTI( Unit Trust of India), SFC(State Financial Cooperation)
etc.

National Level Institutes for supporting Entrepreneurs

 1. Small Industries Development Organisation (SIDO)
2. National Small Industries Cooperation Limited (NSIC)
3. National Institute of Small Industries Extension and Training ( NISIET)
4. National Institute for Entrepreneurship and Small Business Development
(NIESBUD)
5. SISI- Small Industries Service Institute
6. EDII- Entrepreneurship Development Institute of India

National Level Institutes for supporting Entrepreneurs

1. Directorate of Industries
2. District Industries Centre (DCI)
3. KSIDC – Kerala Small Industries Development Corporation
4. Kerala Industrial Infrastructure Development Corporation ( KIIDC)