Value Chain of Metals Sector

1
Metals Sector Value Chain


2
>>>>>> >>>>>> Sales
Processing Plant and sales
office
Development
Stage
Operations Stage Planning phase
Development
Phase
Operations Stage
Further processing of metal
as per customer requirements
Auction
Stage/Lease Stage
Adherence to enviromental
norms
Land Acquisition
Site Development
(including
compensation/reha
bilittation or both)
Electrical-
Operations Team
Electrical-Operations Team
Clearances(Enviro
mental, Givernment,
etc)
Washeries Plant
Clearances (from
Givernment,
Pollution Control
board etc)
Basic Engineering
Mechanical-
Operations Team
Mechanical-Operations Team
Site Development
(including
compensation/reha
bilittation or both)
Mining-Operations Team Design
Electrical-Project
Team
Raw Material
Handling
Department
Raw Material Handling
Department
Planning Safety Department
Mechanical-Project
team
Safety Department Safety Department
Civil, Electrical and
Mechanical works
Logistics Team Civil-Project Team Quality Department Quality Department
Electrical-Project
Team
Operations Team(Electrical
, Mechanical, etc)
Mining-Project
Team
Technical Services Technical Services
Mechanical-Project
team
Transportaion of Raw
Materials to plant
HR/IR Department Sales Team
Civil-Project Team Commisioning
Mining-Project
Team
HR/IR Department
Conversion of Ore to final Metal
Production Plant
* Companies
may choose
only to make
standardized
products,
Processing may
be done by
other
companies who
procure the
metals from
various
producers
Our understanding of the Metal Sector Value Chain
Procurement of Raw Materials
Mining
Metals Sector Value Chain


3
>>>>>> >>>>>> Sales
Processing Plant and sales
office
Development
Stage
Operations Stage Planning phase
Development
Phase
Operations Stage
Further processing of metal
as per customer requirements
Auction
Stage/Lease Stage
Adherence to enviromental
norms
Land Acquisition
Site Development
(including
compensation/reha
bilittation or both)
Electrical-
Operations Team
Electrical-Operations Team
Clearances(Enviro
mental, Givernment,
etc)
Washeries Plant
Clearances (from
Givernment,
Pollution Control
board etc)
Basic Engineering
Mechanical-
Operations Team
Mechanical-Operations Team
Site Development
(including
compensation/reha
bilittation or both)
Mining-Operations Team Design
Electrical-Project
Team
Raw Material
Handling
Department
Raw Material Handling
Department
Planning Safety Department
Mechanical-Project
team
Safety Department Safety Department
Civil, Electrical and
Mechanical works
Logistics Team Civil-Project Team Quality Department Quality Department
Electrical-Project
Team
Operations Team(Electrical
, Mechanical, etc)
Mining-Project
Team
Technical Services Technical Services
Mechanical-Project
team
Transportaion of Raw
Materials to plant
HR/IR Department Sales Team
Civil-Project Team Commisioning
Mining-Project
Team
HR/IR Department
Conversion of Ore to final Metal
Production Plant
* Companies
may choose
only to make
standardized
products,
Processing may
be done by
other
companies who
procure the
metals from
various
producers
Our understanding of the Metal Sector Value Chain
Procurement of Raw Materials
Mining
Development Stage Operations Stage
Auction Stage/Lease Stage Adherence to enviromental norms
Clearances(Enviromental,
Givernment, etc)
Washeries Plant
Site Development (including
compensation/rehabilittation
or both)
Mining-Operations Team
Planning Saf ety Department
Civil, Electrical and
Mechanical works
Logistics Team
Electrical-Project Team Operations Team(Electrical , Mechanical,
etc)
Mechanical-Project team
Transportaion of Raw Materials to plant
Civil-Project Team
Mining-Project Team
HR/IR Department
Procurement of Raw Materials
Mining
Procurement of Raw Materials-Development
Stage
Auction Stage / Lease Stage
Mines are either auctioned off / given on lease
Coal Mines are allotted only to Coal India
Some Private players have been allotted coal mines for their internal use only
Mines of other minerals and metals are open for bidding by all companies
Government clearances
Environmental clearances from Government
Site Development
In most cases , the local population either have to be rehabilitated /compensated
or both
Planning for mine needs to be done ; Mine to be Open Cast/ Underground
Project Team
Mechanical, Civil , Electrical, Mechanical, Mining Project team deployed at site
Accommodation facilities for engineers, supervisors, workers at site
Development Stage Operations Stage
Auction Stage/Lease Stage Adherence to enviromental norms
Clearances(Enviromental,
Givernment, etc)
Washeries Plant
Site Development (including
compensation/rehabilittation
or both)
Mining-Operations Team
Planning Saf ety Department
Civil, Electrical and
Mechanical works
Logistics Team
Electrical-Project Team Operations Team(Electrical , Mechanical,
etc)
Mechanical-Project team
Transportaion of Raw Materials to plant
Civil-Project Team
Mining-Project Team
HR/IR Department
Procurement of Raw Materials
Mining
Procurement of Raw Materials-Operations Stage
Adherence to environmental norms
Environmental norms must be adhered to by companies
This includes afforestation, carbon trading norms, pollution norms etc
Washeries plant
The excavated mineral or metal is passed through washeries to remove some
impurities before transfer to plant
Operations Team
Mechanical , Electrical, Civil, Mining, etc Operations team at site
A specialized safety team at site to prevent accidents such as side spoiling ,
caving .etc
Logistics Team
Raw material is generally transported by railway or trucks who come at pre-fixed
times for loading
Each mine faces problem of delay in loading of raw materials on railway coach
or truck
Specialized logistics team to ensure truck holding time reduces and
demurrage(fine) is minimized
The ore is transferred to the plant through trucks or railway coaches
Metals Sector Value Chain


6
>>>>>> >>>>>> Sales
Processing Plant and sales
office
Development
Stage
Operations Stage Planning phase
Development
Phase
Operations Stage
Further processing of metal
as per customer requirements
Auction
Stage/Lease Stage
Adherence to enviromental
norms
Land Acquisition
Site Development
(including
compensation/reha
bilittation or both)
Electrical-
Operations Team
Electrical-Operations Team
Clearances(Enviro
mental, Givernment,
etc)
Washeries Plant
Clearances (from
Givernment,
Pollution Control
board etc)
Basic Engineering
Mechanical-
Operations Team
Mechanical-Operations Team
Site Development
(including
compensation/reha
bilittation or both)
Mining-Operations Team Design
Electrical-Project
Team
Raw Material
Handling
Department
Raw Material Handling
Department
Planning Safety Department
Mechanical-Project
team
Safety Department Safety Department
Civil, Electrical and
Mechanical works
Logistics Team Civil-Project Team Quality Department Quality Department
Electrical-Project
Team
Operations Team(Electrical
, Mechanical, etc)
Mining-Project
Team
Technical Services Technical Services
Mechanical-Project
team
Transportaion of Raw
Materials to plant
HR/IR Department Sales Team
Civil-Project Team Commisioning
Mining-Project
Team
HR/IR Department
Conversion of Ore to final Metal
Production Plant
* Companies
may choose
only to make
standardized
products,
Processing may
be done by
other
companies who
procure the
metals from
various
producers
Our understanding of the Metal Sector Value Chain
Procurement of Raw Materials
Mining
Planning phase Development Phase Operations Stage
Land Acquisition
Site Development (including
compensation/rehabilittation
or both)
Electrical-Operations Team
Clearances (f rom
Givernment, Pollution Control
board etc)
Basic Engineering Mechanical-Operations Team
Design
Electrical-Project Team Raw Material Handling
Department
Mechanical-Project team Saf ety Department
Civil-Project Team
Quality Department
Mining-Project Team
Technical Services
HR/IR Department
Commisioning
Conversion of Ore to final Metal
Production Plant
Conversion of Ore to final metal-Planning Phase
Land Acquisition
In most cases , the local population either have to be rehabilitated /compensated
or both


Design
Design of plant is done keeping in mind required capacity, products and
performance of plant
Government clearances
Environmental clearances from Government
Planning phase Development Phase Operations Stage
Land Acquisition
Site Development (including
compensation/rehabilittation
or both)
Electrical-Operations Team
Clearances (f rom
Givernment, Pollution Control
board etc)
Basic Engineering Mechanical-Operations Team
Design
Electrical-Project Team Raw Material Handling
Department
Mechanical-Project team Saf ety Department
Civil-Project Team
Quality Department
Mining-Project Team
Technical Services
HR/IR Department
Commisioning
Conversion of Ore to final Metal
Production Plant
Conversion of Ore to final metal-Development
Phase
Construction and commissioning
Civil, Electrical, Mechanical, Safety ,etc. project Team at site
Final commissioning
Site Development
Infrastructure Development: land , Offices, Roads
Planning phase Development Phase Operations Stage
Land Acquisition
Site Development (including
compensation/rehabilittation
or both)
Electrical-Operations Team
Clearances (f rom
Givernment, Pollution Control
board etc)
Basic Engineering Mechanical-Operations Team
Design
Electrical-Project Team Raw Material Handling
Department
Mechanical-Project team Saf ety Department
Civil-Project Team
Quality Department
Mining-Project Team
Technical Services
HR/IR Department
Commisioning
Conversion of Ore to final Metal
Production Plant
Conversion of Ore to final metal-Operations
Phase
Electrical ,Mechanical , Raw Handling, Safety , Quality Department, etc
Operations

Some companies may sell metals of fixed dimension and may not further
process it as per custom needs of customer

Metals Sector Value Chain


10
>>>>>> >>>>>> Sales
Processing Plant and sales
office
Development
Stage
Operations Stage Planning phase
Development
Phase
Operations Stage
Further processing of metal
as per customer requirements
Auction
Stage/Lease Stage
Adherence to enviromental
norms
Land Acquisition
Site Development
(including
compensation/reha
bilittation or both)
Electrical-
Operations Team
Electrical-Operations Team
Clearances(Enviro
mental, Givernment,
etc)
Washeries Plant
Clearances (from
Givernment,
Pollution Control
board etc)
Basic Engineering
Mechanical-
Operations Team
Mechanical-Operations Team
Site Development
(including
compensation/reha
bilittation or both)
Mining-Operations Team Design
Electrical-Project
Team
Raw Material
Handling
Department
Raw Material Handling
Department
Planning Safety Department
Mechanical-Project
team
Safety Department Safety Department
Civil, Electrical and
Mechanical works
Logistics Team Civil-Project Team Quality Department Quality Department
Electrical-Project
Team
Operations Team(Electrical
, Mechanical, etc)
Mining-Project
Team
Technical Services Technical Services
Mechanical-Project
team
Transportaion of Raw
Materials to plant
HR/IR Department Sales Team
Civil-Project Team Commisioning
Mining-Project
Team
HR/IR Department
Conversion of Ore to final Metal
Production Plant
* Companies
may choose
only to make
standardized
products,
Processing may
be done by
other
companies who
procure the
metals from
various
producers
Our understanding of the Metal Sector Value Chain
Procurement of Raw Materials
Mining
Sales
Processing Plant and sales office
Further processing of metal as per customer requirements
Electrical-Operations Team
Mechanical-Operations Team
Raw Material Handling Department
Saf ety Department
Quality Department
Technical Services
Sales Team
* Companies may
choose only to make
standardized products,
Processing may be
done by other
companies who
procure the metals f rom
various producers
Sales-Processing Plant and Sales Office
Raw material further processed as per requirement of specific customers, like
sheets of custom sizes for automobile industries [e.g. TSPDL]

Electrical, Mechanical, Material Handling, Safety, Quality , Sales Department