Bicycles Case Study of Indian Expierence
Bicycles Case Study of Indian Expierence
Bicycles Case Study of Indian Expierence
lvllCROFsCH
REFERENCE
LIBRARY
A project or' ?olunteers in Asia
. .
cvcles.* A Case Stu&?of I- Exwrlence
Small-Scale Manufacturing Studies No. 1
Published by;
United Nations Industrial Development
Qrganization
P.0. Box 300
A-1400 Vienna
Austria
Available from:
Publication Sales
Room A-1137
United Nations
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UNITED NATIONS
UNITED NATIONS INDUSTRIAL DEVELOPMENT ORGANIZATION
VIENNA
UNITED NATIONS
New York, 1969
The designations employed and the presentation of the material in this publi-
cation do not imply the expression of any opinion whatsoever on the part
of the Secretariat of the United Kations concerning the legal status of any
country or territory or of its authorities, or concerning the delimitation of
its frontiers.
Printed in Austria
FOREWORD
iv
and reco,y.mendations are applicable to the conditions prevailing in other clevel-
oping countries. The study is intended for officers of industrial estcnslon ccntres,
small-scale industry service institutes, industry departments of ministei:cs of
industry, technological research institutes, technicians of industrial credit institu-
tions, large- and small-scale industrial entrepreneurs, and technical assistnncc
experts in developing countries.
The subject of bicycles was selected for the first issue of this series because
bicycles can be produced under various arrangements, and because of the wide-
spread demand for bicycles throughout the developing world. Other studies
to be published in this series will c!eal with sewing machines, radios, domestic
electrical applicances, agricultural implements and several types of machine.
UNIDO does not intend, however, to cover all possible items of small-scale
manufacture, and there is much scope for research to be undertaken by other
organizations along these lines, mainly in relatively advanced developing coun-
tries. It is hoped that the studies in the present series will encourage further efforts.
Co-ordination of the research to be undertaken bp other organizations with
the work programme of UNIDO is invited,
The study was prepared by G. B.Jakhetia, Deputy Director, Central Small
Industries Organisation of the Ministry of Industrial Dcvclo pmcnt and Company
Affairs, Government of India, and by R. Lakshminarasimhaiah, Deputy Director
in the same organization, in their capacity as cons&ants to UNIDO. The views
and opinions expressed in this paper arc those of the authors and do not necessarily
reflect the views of the secretariat of UNIDO.
V
CONTENTS
Types .........................
Designs ........................
Specifications .....................
vii
Chapter 8. THE SUBCONTRACTING SYSTEM AND THE FUNCTIONAL INDUSTRIAL
ESTATEFORTHZ BICYCLEINDUSTRY. ............ 62
The subcontracting system ................ 62
Functional industrial estates. ............... 64
Subcontracting in the bicycle industry ........... 64
...
Vlll
AT .REVIATIONS AND NOTES
BB bottom bracket
BSS (or BS) British Standard Specification
BSW
v .. British Standard Whitworth
CRCA cold-rolled coil annealed
hundredweight (50.802 kg)
2 direct current
dia. diameter
EN Emergency National (British Standards)
ERW electrical resistance welded
ft foot or feet
G. gauge
HB hard-drawn bright (wire)
llP horsepower
h hour
HV hardness (Vickers)
ID inside diameter
inch or inches
Ei Indian Standards Institution
ISS (IS) Indian Standards Specification
kg kilogramme
kw kilowatt
kH left hand
:
millimetre
E mild steel
OD outside diameter
right hand
wm revolution per minute
Rs. rupees (7.50 rupees = US$l.OO, 1969)
TPI thread per inch
ix
Chapter ;I
The pedal-driven bicycle, which was the first attempt of man to provide himself
with a personal mode of transport without using animal power, was invented
in 1839 bv,I Kirkpatrick Macmillan of Scotland. The “velocipede”, as the bicycle
was originally called, has undergone many changes in its design, and its manu-
facturc has developed greatly during the past hundred years. Thus the modern
bicycle is a mechanized marvc: on two wheels and a product of specialized
technical achievcmcnt.
The bicycle industry has a significant place in the light engineering industry
in India. The origin of this industry dates back to the early years of this century.
It is reported that two small-scale units were established in Calcutta iz 1910.
The industry, however, did not make much headway initially and India continued
to be a iiourishing market for foreign bicycles. The development of the industry
started during the Second World War when the import of bicycles became
difficult. A f ew enterprising industrialists took advantage of this situation and
started the manufacture of bicycles and components. In 1941 a large-scale unit
WLSset up in Bombay; in the Punjab a fk,w units started the manufacture of
bicycle parts and accessories for the replacement market.
Systematic growth of the bicycle industry began only after the independence
of India with the beginning of the planning ‘era. Between 1950 and 1960 many
I 1
units were established in both the large- and small-scale sectors, owing to various
measures of protection and incentives granted to the indigenous manufacturers
by the Government. Another favourable factor responsible fol the growth of
this industry was the increase in demand for bicycles conscqucnt to the establish-
ment of industrial townships, the construction of roads in the urban and even
remote rural areas, the increase in trade between small villages and towns and
the rise in the standard of living of the pcoplc under the impact of successive
five-year plans.
The planned growth of the bicycle industry in the small-scale sector started
immediately after the introduction of the common production programme by
the Government of India during the First Five-Year Plan. The common produc-
tion programme envisaged the reservation of specific capacities for the manu-
facture of bicycles in the small-scale sector by putting a check on the expansion
of the existing capacities in the large-scale sector and also by giving priority
to industries in this programme for various important inputs such as raw mate-
rials, componcn es and technical and financial assistance. Following thcsc incentives,
manufacturing programmes for several small-scale units were approved by the
Government of India for the manufacture of components and complete bicycles.
To give some protection to the indigenous bicycle manufacturers, the
Govcrnmcnt adopted a policy of progressive reduction of imports. This has
hclpcd the indigenous manufacturers to eliminate competition from foreign
manufacturers and to meet the demand for bicycles by producing them within
the country. Until 1957 the import of complete bicycles was allowed. There-
after, only the import of raw materials and components was allowed, and this
on a selective basis, particularly with respect to those items for which manu-
facturing capacity had not been fully developed within the country. This policy
made it possible for small-scale industrialists to assemble complete bicycles at
a lower capital investment by manufacturing only a few parts in their factories.
Gradually the manufacture of the components :.hat had been imported was
started. The raw materials, however, continued to be imported. With the over-
all increase in the production of bicycles and components, the raw materials
needed by the industries also began to be produced in the country.
The bicycle industry in the small-scale sector developed mainly on the
following iint3 : (a) =x~its
specializing in the manufacture of specialized compo-
nents such as free-wheels, rims, mudguards, hubs, spokes and nipples and BB
shells; and jb) assemblers manufacturing a few parts and obtaining other com-
ponents from units that specialize in their manufacture.
.Sttrdl-sm!c sector
Prodrrctiotl
No. of hlsta~ka (thousmds of No. qf Itrstnlld (thousands of
Yenr capacity bicycles frids cflpyncit
y bicycles
rrtlits
per year) per year)
_____-~~---~- ~~ --~- -
1962 21 1,444 1,116 55 508 278
1963 21 1,444 1,166 50 610 274
1964 20 1,640 1,380 50 610‘ 308
1965 20 1,640 1,540 50 610 308"
1966 18 1,640 1,631 48 610 308"
a Estimates.
It may be seen that the small-scale sector accounts for about 20 per cent of
the total production of bicycles in India. Moreover, a large number of small-
scale units have been contributing substantially towards the manufacture of
bicycle parts, components and accessories. Small-scale manufacturers arc manu-
facturing highly sophisticated parts such as chains, spokes, free-wheels, hubs,
chain wheels and cranks. Some large-scale manufacturers are now buying these
components from small-scale units. Such co-operation has created a healthy
ancillary relationship between the large- and small-scale manufacturers and has
resulted in economies of production and over-all improvement in the quality
of bicycles. This has made it possible for the bicycle industry to break well into
the export market, and the bicycle is now one of the light engineering items
being exported by India.
Future potential
TYPES
The ;ype of bicycle manufactured depends upon the user for whom it is intended
and the purpose for which it is to be used. The rider may be a man, woman or
child; the purpose may be for sport, racing or load-carrying. Recently some
unconventional types have been made such as portable folding, small-wheeled
and cantilever models.
DESIGNS
Bicycle designs vary according to the shape and style of their components.
Different designs may be used fi>r mudguards, pedals, frames, cranks and chain
wheels.
Typical examples of various designs used in the manufacture of certain
parts are given below.
Frarrrrs Sports; men’s roadster; women’s sports, women’s roadster; men’s
double bar
Forks Tubular crown with chromium plated bras3 thimbles; flat crown
with brass cover chromium plated; butted column with tubular
crow11 chromium plated thimbles; butted column with brass
crown cover chromium plated
Deep round section; deep domed section; ribbed section; U-shaped
section; round narrow section
Cranks aud Joggled with cranks square or oval section; cranks with double
chain. wheel chain wheels; joggled with detachable arm
Harzdle-bars Raised with double lever screwing stud attachment; raised with
double lever brazed lever stud; north road raised pattern; raised
without lever with T-jointed stem; dropped for sports and racer
models
Brakes Lever brakes with brake shoes; caliper brakes with side pull or
central pull system
Hubs Thin barrels closed ends; thin barrels closed ends with replace-
able dust caps or open ends ; large barrels closed ends of pressed
steel; curved barrels with open ends; thin barrels closed ends for
dirailleur gears
Saddles Men’s full roadster three-coil springs and double wire base;
women’s roadster with turned down nose, heavy-weight double
wire base with double loop front and rear; spring seats double
wire base and rear coil springs
Pedals Pyramid full rubbers with screwed dust cap or winged dust cap;
diamond full rubbers with screwed or winged dust caps; rat-
trap type for sports and racers; full plastic pedals 1
1 A fully plastic pedal has been developed in India in which the 94 conventional parts
in a pair of pedals have been replaced by only seven plastic parts for each pedal without
sacrificing functional efficiency.
6 BICYCLES
._
SPECIFICATIONS
The sizes of bicycles produced in India arc 20 in., 22 in., and 24 in., men’s
and women’s models. The children’s models are made in 14 in , 36 in., and 18 in.
sizes.
The men’s roadster model, single bar (figure 1) is the most popular bicycle
in India. The specification of this bicycle is given in chapter 3.
The specification of a sports model is: 21 in. framl:; 26 in. x 13/s in. wheels;
raised handle-bar; adjustable stem assembly; caliper brakes; Westrick rims with
l/d in. chain cover; and suitable saddle.
Accessories Bell, light alloy frame pump, toe clip and side reflector
atld eqlaippnrerzt
(b) Cantilever type
Frame 14 in. x20 in. X 13/d in., American type, flamboyant red finish
with white head decoration and lines, other colour finish to order
Wheels Rims: model 7A, 20 in. ‘4 13/d in., wired-on, 24 x 24 holes
Tires: 20 in. x 13/din., black tread and white sidewall, wired-on
Tubes: butyl seamless tubes with American pattern valves
Spokes: 14 G. plated
Hubs: front, 24 holes with ball retainers; rear, coaster hub brake
l/z in. x l/g in. x 16 teeth sprocket
Hatldle-bar Boyscout 161/z in. bar with model I’ stem (adjustable)
Brakes Rear, coaster hub brake
Mudguards Chromium plated, channel stays front 2-piece; rear l-piece, with
reflector
Gem and l/z in. x l/s in, x 32 teeth, 5 in. oval-section cranks
crateks
Chain l/z in. x l/g in. x 82 links
Pedals 31/d in. white rubber blocks
Saddle Pan type, two-tone vinyl top with spring
Accessories Battery lamp, rear carrier and stabilizers
and equipment
(c) Sports model
Frame 21 in. x 26 in. x 1318 in.; built of best quality steel tubing;brazed
up lugs and cottorless bracket; straight tapered seat and chain
stays brazed up; pump pegs; front fork with plated crown cover;
flamboyant red with gold line
Wheels Rims : model 5, 26 in. x 13/g in., 36 x 36 holes, chromium plated
Tires: 26 in. x 131s in., wired-on, white sidewalls
Tubes: seamless butyl with American pattern valves
Spokes: 15 G., plated
Hubs : thin barrel front hub; 3-speed gear hub with handle grip
control for rear; l/z in. x l/s in. x 18 teeth sprocket
Handle-bar North road pattern, with 1 in. extension stem
Brakes Calipers, front and rear chromium plated
Mudgards Light-weight model chromium plated
Gear and .l/2 in. x l/s in. x46 teeth, with 6112 in. square-section cra&s
cranks
Chain l/z in. x l/s in. best roller chain
Pedals 4 in. white rubber
Saddle Spring seat, imitation leather top, two-tone colour
Accessories Rubber reflector, battery light, touring bag, centre stand, chain
and equipment cover, frame pump and front carrier
Chapter 3
The men’s roadster, single-bar, is the most popular bicycle in India and in most
of the developing countries in the Middle East. It is popular because of
its strong construction and it meets the requirements of countries where the
roads are poor. The roadster, therefore, has been selected for this study. (See
figure 1.)
Fork Made to fi 2061; fork blades tapered and oval made from ERW
tapered tube to IS 2484 and IS 2039; fork column either butted
or provided with liners made from 16 G. MS sheet; fork crown
pressed from 16 G. CRCA sheet; crown cover pressed from
brass sheet 22 G., nickel and chromium plated
Wheels Rims : made to IS 624; size 28 in. x 1 l/x in., manufactured from ,
CRCA strip
Spokes and nipples: made to IS 630; spokes made from 1.8 mm
dia. high carbon steel wire; and nipples from free cutting extruded
brass of 3.8 mm dia.; nickel and chromium plated
Tires: size 28 in. x 11/z in., wired-on, black tread
Tubes: made to IS 2415; size 28 in. x 1112in., butyl rubber, seam-
less, with English pattern valves and plate washer, made to IS 532
Hubs: made to IS 629; large barrel of seamless tube ll/la in. x
16 G.; closed ends made from pressed steel 14 G. CRCA sheet;
front hub axle 5116in. dia. x41/2 in., made from bright steel bar;
rear hub axle 3/g in. dia. x 61/p in., made from bright steel bar;
cones made from ENIA steel 11/16 in. dia., case hardened to
600 HV and chemically rust-proofed or blued; steel balls l/d in.
chromium alloy steel, made to IS 2898
8
SPECIFICATION OF THE BICYCLE SELECTED FOR THIS STUDY 9
Luggage carrier
Bell
I 1
Handle
Seat grip Brake
stay
I I.1 I I
Rear
retlector
Rim _
Chain
I Hub
I Fork
J (tront) I
3and Eeand
Crank
Chain
wheel
Brake sets Lever rim brakes front and rear for 24 in. frame; front and rear
brake stirrups with tube J/32 in. ID MS L-shaped bell crank
levers made from 14 G. MS sheet; bottom long brake rod made
from 9 G. HB wire; brake shoes made of 18 G. CRCA sheet
and assembled with brake block of moulded rubber; all metal
parts nickel and chromium plated
I
10 BICYCLES
- ___-_ ___---
Mudguards Deep dome section a’/4 in. wide x 11/32 in. high suitable for 24 in.
roadster, made from 24 G. CRCA strip or sheer; with stays
made from 3116 in. dia. MS rod; black enamel finish and gold
lined ; rear mudguard tail painted white and fitted with reflector
Chain wheel Made to IS 1281; joggled chain wheel made from MS sheet
and cranks 3 mm 48 teeth x l/z in. pitch; cranks of forged steel, 7 in. long
in oval section; nickel and chromium plated
Made to IS 627; 112in. pitch xl,/*in., 112 links; inner and outer
plates made from co!d-rolled bright steel strip 1 mm thick and
blued; bushes and rollers heat treated to 600 HV; spring clip
type connecting link made from 1 mm spring steel
Free-wkcel Made to IS 1283; size l/z in. pitch x l/g in. x 18 teeth, free-wheel
body made from ENIA steel forged, and wearing surfaces
hardened to 600 HV; fitted with 108 steel balls, l/g in. dia.,
chromium alloy, made to IS 2898
Pedal Made to IS 628; pedal tubes of ERW 18 G. steel tube 5/g in.
assembly OD, made to IS 2484 and IS 2039, nickel and chromium plated:
pedal axle of ENIA steel and wearing surfaces case hardened
to 600 l-IV; stretcher bars of 4 G. HB wire, fitted with nuts on
both ends; winged dust cap pressed from 18 G. MS sheet, nickel
and chromium plated; ball race made from 14 G. CRCA sheet;
and pedal cone made from ENIA steel and hardened to 600 HV,
fitted with 48 balls 5/32 in. dia. of chromium alloy steel, made
to IS 2898; full rubbers, 4 in., of pyramid or diamond design,
black
Saddle Men’s full roadster size 101/z in. x 8112 in. leather top, three-coil
springs on double wire base, chromium plated.
.
Chapter 4
The bicycle is an item of mass consumption and is used even in the remote areas
of the country. It is produced in great quantities in both the large- and small-
scale sectors. In both sectors economic production is feasible. In the large-scale
sector thr. cost of production is kept low by mass production; in the small-scale
sector it is kept low by reduced overheads. In the large-scale sector sophisticated
automat.ic plants are used for mass production, but in the small-scale sector,
semi-automatic or single-operation machines are used of a size to give suitable
output. In the large-scale sector most of the parts and components required for
a bicycle are manufxturedin tht- unit itself. In the small-scale sector, on the other
hand, not all of the parts and components are manufactured within the unit.
111the large-scale units, the manufacturing is divided into sections, depending
upon the process. Pressed parts are manufactured in the press shop by presses
capable of mass production. Turned parts are made on automatic machines.
Components such as chains, hubs, free-wheels, spokes and nipples, mudguards
and rims are made in specialized plants. The finishing shops for electroplating,
stove enamelling and heat treatment generally have automatic plants and material-
handling equipment. Assembly shops operate on a line production basis. Inspec-
tion is carried out at every stage of manufacture in accordance with standard
specifications.
In the small-scale units, as stated earlier, the assemblers of complete bicycles
make only a few parts such as frames, forks, seat stays, chain stays, handle-bars
and certain other pressed parts. Electroplatir+, 7 and stove enamelling are done
on comparatively simple equipment. The work pieces are handled manually
or by simple trolleys. The specialized components are bought from large-scale
industries, or specialized small-scale producers, or are imported.
The manufacturing process in the small- and large-scale sectors varies
according to the scale of production, the type of machinery and the equipment
used. The availability of raw materials influences the process of manufacture.
However, for the manufacture of certain specialized components that must,
for economy of scale, be produced itl large numbers, the technologies employed
by both sectors are similar. This is evident from. the fact that many large- and
small-scale units have identical plants for the manufacture of components such
as chains, spokes and nipples. For components such as mudguards, rims and
hubs, the large-scale units have sophisticated automatic plants that operate with
specific types of raw materials only; the small-scale units have made innovations
on the same principles by developing simpler plants. In these plants they can use
11
lq* BICYCLES
easily available raw materials. The following example illustrates the technical
innovation of small-scale units for the manufacture of rims.
A cold-rolled steel strip of measured width is fed from a coil into an auto-
matic machine consisting of two sets of forming rollers with a seam-welding
unit between them. The first set of rollers forms the rim beads by curling the
edges of the strip and forming the seam. As the strip passes on, both seams are
automatically welded in the seam-welding section of the plant. The second
set of rollers then forms the rim section and rolls it into a continuous helical
coil. When a sufficient length of this coil is formed, it is taken to the next machine
where the helical coil of rim section is cut into individual rims. The ends of
the rim are then butt-welded in a butt-welding machine forming a complete
circle of rim. The welded joint is cleaned on the inside and outside by profile
grinding wheels. The rim is then re-rolled in a rim m-rolling machine to make
it circular. Spoke holes are then punched in the rim by an automatic punching
machine. Rims are poiished on automatic rim polishing lathes and electroplated
in automatic plating vats.
and by having, for cxamplc, a proprietor supervising the operation of his factory.
The overhead is less in the small-scale sector. The technical innovations have
helped to establish economy production of the quantity suitable for the small
scale.
It is difficult to make a prccisc comparison of the costs of production for
components and parts in the small- and large-s&c sectors. However, approsi-
mate costs of production in India in both sectors for certain items have been
estimated and arc listed below in table 2.
(Rqwcs) (Rufm'sj
The range of costs of production given above in table 2 for small- and
Large-scale sectors depends upon the capital invcstmcnt, the manufacturing
method, the quality of the item and the scale of production. It is thcrcforc im-
pcrdtivc for developing countries to plan their bicycle industry in accordance
with the estimated demand for domestic LISCand for export. The Indian cxpcricncc
indicates that for small countries, the bicycle industry can bc economically planned
within the small;-scale sector. According to the present definition, a small-scale
unit in India is or!c with investment in machinery and equipment up to Rs. 750,000
(us$loo,ooo) irrespective of the investment in land, buildings, working capital
or number of workers employed. Production in either sector can i-,c economic.
Economic production within the small-scale sector is feasible on different
scales of production. Details of manufacturing costs at two levels of production
(one for 25,000 b’lc y c 1es 1?er year and the other for lS,OOO) arc given in chapter 12.
Chapter 5
The bicycle is divided into the following sub-assemblies, with each sub-assembly
further divided into groups and then into parts that are designated by code
numbers. Bicycle sub-assemblies and their code numbers are:
1. Frame set, 1000
2. Handle-bar, 2000
3. Rear wheel, 3000
4. Front wheel, 4000
5. Brake set, 5000
6. Transmission, 6008
Figure 2 shows the sub-assemblies and groups with their code numbers.
The first digit of the code number indicates the sub-assembly, the second defines
the group and the last two digits give the parts number. This system of code
numbers can be used to classify parts on job cards, to issue material from. stores,
to identify finished parts and to number them in catalogues. A fifth digit can
be added to this system to identify models.
The details of parts, materials required, number of parts per bicycle, and
prescribed standards for all sub-assemblies are given in tables 3 to 16 below.
The parts in the list are arranged in the order required for the manufacture of
the sub-assembly.
I
Free wheel
3200
Figure 2. Sub-assemblies and groups of the bicycle and their code rtwrfiers
14
SPECLFICATIONS
OF BICYCLE PARTS AND COMPONENTS 15
- _. _-
FRAME SET
Table 3
Qxsntity
Co& No. Nurrre M~~terial Remarks
hf~~/e
_ ...--__-- _ __ .--... -
1001 Bottom bracket 1 Malleable cast iron
1002 Seat tube 1 l’/2 in. x 20 G. IS 24ti4 and IS 2039
ERW steel tube
1003 Seat tube liner 1 20 G. MS sheet
1004 Seat lug 16 G. MS sheet
axaealed
1005 Down tube i l/g in. dia. x 18 G. IS 2484 and IS 2039
ERW steel tube
1006 Down tube liner 16 G. MS sheet
1007 Bottom head lug 16 G. MS sheet
1008 Top tube 1 in. dia. x 20 G. IS 2484
ERW steel tube IS 2039
1009 Top tube liners 2 16 G. MS sheet
1010 Top head lug 1 20 G. MS sheet
annealed
1011 Head tube 1 1114in. dia. x 20 G. IS 2484 and IS 2039
ER.W steel tube
1012 Riveting pins 10 l/g i.1. dia. HB
steel wire
1100 chain stay 1 Details of parts are
given in table 4
1013 Chain stay bolt 318in. dia. BSW Purchased
1014 Chain stay nut 318in. dia. BSW Purchased
1015 Chain stay washer 3is in. dia. MS Purchased
12.00 Seat stay Details of parts are
given in table S
1016 Seat lug bolt 318in. dia. BSW Purchased
1017 Seat lug nut 318in. dia. BSW Purchased
1018 Pump pegs on frame 3116in. dia. MS Purchased
1019 Seat pillar 1 in. dia. x 18 G. Nickel and chromium
ERW tube plated
1020 Bottom ball 1 16 G. CRCA sheet Nickel and chromium
race seating plated
1021 Top ball race 1 16 G. CRCA sheet Nickel and chromium
seating plated
1300 Fork 1 Details of parts are
given in table 6
1022 Crown race 1 40 mm dia. Hardened to 600 HV ;
ENIA steel IS 226 : 1962
16 RJCYCLES
-__
Table .? (continued)
Mclterinl
Table 3 (continued)
Qunrztify
Code No. Nnrrre Mdrrid
d~h!
Table 4
Qmttity
Cod~pNo. NCZMW per Material Remarks
lricyclc
_~
1101 Chain stay tubes 2 7/g in. dia. x 18120 G. One left hand,
ERW tube one right hand
1102 Liners (rear) 2 18 G. MS sheet
1103 Liners (front) 2 18 G. MS sheet
1104 Chain stay bridge 1 18 G. MS sheet
Table 5
Qrrnntify
Code No. per Material Rrrrrnrks
bicycle
Quarlrify
Code No. NmrK! F Material Remarks
bicycle
Load test. For this test (see figure 3b) t,he chain stay at the frame should
be clamped on a suitable lug mounted on a bench in such a manner that the top
tube of the frame is horizontal. The head tube should rest on a roller support.
The frame is loaded at the points where the handle-bar and the seat are to be
fitted, with 23 kg and 82 kg weights respectively. The loads are then increased
to 100 kg and 350 kg respectively, the maximum loads kept for two minutes
and released. The frame should not show any deformation at the point E.
Test forjnish. A solid steel ball measuring 13 mm in dia. is dropped from
a height of 1.5 metres on any painted portion of the frame. The area of paint
StiliCk by the steel ball should stand the impact without showing any sign of
tear or peeling.
The frame is kept dipped for one hour in a 5 per cent common salt solution
at the following temperatures: black enamel paint 8OOC; other enamel paints
60°C. The paint must not soften, peel off or show change in colour.
SPECIFICATIONS OF BICYCLE PARTS AND COMPONENTS 19
_____ --- ~-
”
c
I
3I
20 UICYCLES
___~---.-.~.- ._..-. .~ ~.~
Loan test. of the fork must be clamped rigidly (see figure 3c)
The stem
with its axis horizontal and the fork ends turned upward keeping the fork crown
clear of the ct,lmp jaws by 8 mm. A vertical load is applied on the fork ends,
where the front wheel axle is to be fitted, so that the load acts on both ends
equally. The load is then increased until it reaches 45 kg and held for 30 seconds.
The fork must not show a permanent set of more than 1.6 mm at the point
of loading.
Eqansiorr test.
distance between the free ends of fork legs, when
The
expanded 13 mm by pushing a mandrel or any suitable device between them,
should not show any measurabie permanent incrcqsc under ordinary methods
of measurement.
Test firjr~ish is the same as for the frame.
HANDLE-BAR
Tdh 7 (continued)
Qumtity
Code No. Nuw per
bicycle
REAR WHEEL
Qmmtity
per
bicycle
,Y)
H :
II
z
-
SPECIFICATIONS OF BICYCLE PARTS ANI> COMPONENTS 23
---___-__ -.-___ __-
I I
(f) (9) Rim section (hl Buckle
-Rim
Figure 4. Hdk-bar, rerzr (itid fiorzt wheel (rear wheel 3000, fiorrt wheel 4000)
Tabk 9
SUB-ASSEMBLY,REAR WHEEL 3000. GROUP, REAR HUB 3100 (FIGURE 5)
Quantity
Coiic No. Nanrc Per Material Remarks
bicycle
-.-.-~~-
3101 Rear hub shell 1 11/16 in. dia. x Nickel and chromium
16 G. seamrless plated
steel tube
3102 Distance piece 1 14 G. MS sheet
3103 Rear hub ball race 2 14 G. CRCA sheet Wearing surface case
cups hardened to 0.2 mm
depth, 600 HV and
polished
3104 Spoke flanges 2 12 G. CRCA sheet RH flange threaded to
fit free-wheel
3105 Rear hub axle 1 J/s in. dia. bright
steel bar
3106 St eel balls 18 l/d in. dia. chromium Purchased
alloy
3107 Fixed cone 1 tl/ih in. dia. Case hardened to
ENL4 steel 0.2 ~m.m deptll,
600 HV chemically
* rust-proofed or blued
3108 Adjustable cone 1 lr/ie in. dia. Case Elrdened to
ENIA steel 0.2 mm depth,
600 HV chemically
rust-proofedorblued
3109 Dust cap washer 14 G. CRCA sheet Nickel and chromium
plated
3110 Nuts 31s in. BSW Purchased
3111 Washers 318in. dia. MS Purchased
3112 Oil clip 25 G. spring steel Tempered and blued
sheet
3133 Chain adjusters l/4 in. dia. MS
3114 Chain adjuster clips 20 G. MS sheet Nickel and chromium
plated
3115 Chain adjuster nuts in. dia. BSW
3116 Purchased
24 BICYCLES
Table 10
Quantity
Code No. Name Per Material Remarks
bicycle
FRONT WHEEL
Table 13
Quantity
Code No. Name Per Material Remarks
bicycle
____- .~~~-- --___
4901 Rim (front) 1 20/24 G. CRCA Tolerance same as for
strip or sheet 3001
4002 Spokes 32 Same as part No. 3002
4003 Nipples 32 Same as part No. 3003
4004 Washers 32 Same as part No. 3007
4100 Front hub Details of parts are
given in table 12
4005 Tape i Same as part No. 3JJ5
4006 Buckle for tape 1 Same as part No. 3006
4007 Tire 1 Same as part No. 3008
4008 Tube with valve 1 Same as part No. 3009
Table 12
Quantity
Code No. Name I
ver Material Remarks
bicycle
4101 Front hub shell 11/e in. dia. x 16 G. Nickel and chromium
seamless steel tube plated
4102 Front hub ball 14 G. CRCA sheet Case hardened to
race cups 0.2 mm depth, 600
HVand polished
4103 Spoke flange 12 G. CRCA sheet Nickel and chromium
plated; pressed on
ends of front hub
shell
4104 Front hub axle 1 s/r6 in. dia. bright
steel bar
4105 Fixed cone 1 ll/te in. dia. Case hardened to
ENIA steel 0.2 mm depth,
600 HV chemically
rust-proofed or blued
4106 Adjustable cone 1 ‘l/16 in. dia. Case hardened to
ENIA steel 0.2 mm depth,
600 HV chemically
rust-proofedor blued
4107 Steel balls 18 ~/a in. dia. chromium Purchased
alloy steel
26 BICYCLES
Table 12 (continued)
Quantity
coat No. Name Per Material Remarks
bicyck
The tests Ibr the front rim and hub are the same as for rear rim and rear hub.
BRAKE SET
Table 13
Quarltity
Code No. Name ver Material Remarks
bhycle
-
3201
\ 3207
I
(a) Free-wheel 3200
4109
4110 ,410l
4105
4104 ,.,4102
4106.
3115 _ .3114
-\
f3 @
3105
& 3107
&“’ 3113
/’
‘. ‘3112
s 3101
5011 5028 -
T06k I3 (continued)
_----
Qttmtity
Code No. Narrre Per hlnterial Rcrfrnrks
bicycle
--
5018 Grub screw 1 1;; in. dia. SSW
5019 Brake lever 1 LH 14 G. MS sheet
(bottom) 1RH
5020 Rivets 3 l/g in. dia. MS
5021 Bolt 1 l/z in. dia. MS
5022 Nut 1 l/g in. dia. BSW Purchased
5023 Washer 1 j/a in. dia. MS Purchased
5024 Bottom long brake 1 9 G. HI3 wire
rod
5025 Bell crank 1 LH 14 G. MS sheet
1 RH
5026 Bell crank bolt 1 r/2 in. dia. MS
5027 Bell crank nut 1 i/4 in. dia. BSW Purchased
5028 Bell crank washer 1 l/d in. dia. MS Purchased
5029 Bottom small brake 1 9 G. HB wire
rod
5030 Stirrup brake tube 1 J/32 in. ID MS
TRANSMISSION
Tumble14
Qmttity
Code No. Nurtre ver Materid Remarks
bhyde
. ~.-.-_-.--. - ..--- --
6001 Chain wheel 1 3 mm thick MS sheet Thickness of teeth to
be 2.80 to 3.05 mm
6002 RH crank 1 32 mm dia. MS bar Tapped to 20 TPI
Whitworth RH
thread
6003 Cotter pins 2 10 mm dia. MS bar i/4 in. x 26 TPI bicycle
thread
6004 Washers 2 10 mm dia. MS Purchased
6005 Nuts 2 ‘I4 in. x 26 TPI Purchased
bicycle thread
6006 Spring washers 2 7 mm ID x 16 G. MS Purchased
6007 LH crank 1 32 mm dia. MS bar Tapped to 20 TPI
Whitworth LH
thread
6100 Pedals 2 Jetails of parts arc
given in table 15
6200 Bicycle chain 1 Detaiis of parts are
given in table 16
SPECIFICATIONS OF BICYCLE PARTS AND COMPONENTS 29
-
Ta6le 35
Quantity
Code NO. Name Per Material Remrks
bicycle
__--___ - .--
6101 Pedal tubes 2 s/S in. OD 18 G. Nickel and chromium
ERW steel tube plated
6102 Ball racer 4 5/s in. OD 14 G. Case hardened to
CRCA sheet 0.2 mm depth,
600 HV on wearing
surface and polished
6103 Pedal rubbers 4 Moulded rubber Purchased
6104 Stretcher bars 4 4G.HBwire
6105 Pedal plates 4 14 G. MS sheet
6106 Pedal axle balls 48 51.12in. dia. chro- Purchased
mium alloy
6107 Pedal axle 1 LH 7/s in. dia. Wearing surfaces case
1 RH ENIA steel hardened to 0.2 mm
depth, to 600 HV.
bicycle thread
0.98 mm pitch for
outer end and
1.27 mm pitch for
crank end. RH
thread used for crank
end for RH axle.
LH thread used for
crank end for LH
axle
6108 Pedal cones 2 11/16in. dia. Case hardened to
ENIA steel 0.2 mm depth,
600 HV and polished
6109 Washers 2 5116in. dia. MS Purchased
6110 Nuts 2 5116in. dia. BSW Purchased
6111 Winged dust cap 2 18 G. MS sheet
6112 Stretcher bar nuts 8 3/16 in. BSW Purchased
6113 Spring lock washers 8 3116 in. dia. MS Purchased
Figure 6. Tratwtrissiorz:
SPECIFICATIONS OF BICYCLE PARTS AND COMPONENTS 31
-- ~_ ___- -_- ~. - --. .~--~~- --.- -- ---- ~~
6111
6110
\ I
6108,
6104
'6102
(b) Pedal 6109 \
6107
Toblc 36
Qwtity
cone No. Nam Per
bicycle
___ -~
6201~ Inner plates 112 Cold-rolled bright
steel strip 1 mm
thick, 48 to 51 mm
wide in coils
6202 3.3
us11cs 112 Cold-rolled bright Heat trcatcd to hard-
steel strip 0.7 to ness of 600 HV
0.75 mm thick in
coils 5 to 5.5 mm
wide
6203 Rollers 112 Cold-rolled bright Heat treated to hard-
strip soft annealed ness of 600 HV
1 mm thick in coils
55 to 60 mm wide
6204 Outer plates 112 Same as for part 6201
6205 Bearing pins 111 Precision bright drawn
steel wire semi-hard
3.60 mm to
3.68 mm dia.
6206 Spring clip 1 Spring steel 1 mm
thick
6207 Connecting pin 2 Case-hardening steel
wire 3.6 rnrn dia.
allow universal movement. The minimum breaking load should not be less
than 820 kg.
PYOO~ loud test.
The full length of the chain, when subjected to a load of
270 kg, should not show any permanent set.
Several parts such as frame, fork, chain stay, seat stay, mudguards are to
be stove enamelled. The handle-bar, brake set, rims, hubs, steering head parts,
chain wheel and cranks, pedal parts, crown covers, spokes and nipples are to
be electroplated. The general specifications for enamelling and electroplating
arc given below.
Enamebg
Electroplating
In the small-scale sector there are two types of economicallyviable unit: (n) units
manufacturing parts such as frames, or pressed parts and assembling complete
bicycles under their own brand name; and (6) units manufacturing items such
as rims, free-wheels, chains, spokes and nipples.
The units in category (b) are the suppliers to the small-scale assemblers,
the large-scale manufacturers and the replacement market. The details of manu-
facturing processes and machines used by these units are given in chapter 7 and
the ancillary relationship is discussed in chapter 8.
The details of manufacturing processes, the machines used and the estimated
costs for a typical unit falling under category (a), with a yearly, single-shift
capacity of 25,000 bicycles arc given below in table 17.
Parts to be manufactured
Frames, chain stay and seat stay, fork, handle-bar, pressed parts (seat pillar,
bottom ball race seating, top ball race seating, lamp bracket, brake set).
Table 17
34
MANUFACTURE OF PARTS AND ASSEMBLY OF A COMI’LE’IE UICY(:LE 35
Tnbk 17 ~&timed)
Table 2 7 (continued)
Table 17 (continued)
Sectioncost
(Rupees)
- _~.__~ .~----. ~-
5. Tool TOOW and heat treatment shopa 277.000
One heavy-duty tool room lathe with electric motor
and standard equipment, length of bed 8 ft , height of
centresgin................................... 40,000
One centre lathe with electric motor and all acces-
sories, length of bed 6 ft, height of centres 71/z in. 12,000
One shaping machine with electric motor, universal
vice and other standard accessories, length of stroke
24in. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12,000
One universal milling machine complete with vertical
milling attachment, slotting attachment, universal
milling attachment, machine vice, universal swivel
vice, circular table and dividing head, table size
26in.xl2in. ,............................... 60,000
One pedestal-type drilling and tapping machine with
electric motor, capacity in steel 11/d in. dia. . . . . . . 1O,O!N
One bench-type drilling machine with electric motor,
l/z in. dia. in steel.. . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,000
One motorized double-ended bench grinder, 6 in.
dia. x 1 in. width grinding wheels . . . . . . . . . . . . . . 1,0(K)
One universal cylindrical grinding machine with
standard equipment and accessories, 8 in. x 20 in.. . 30,000
One tool and cutter grinder complete with standard
equipment and accessories, 8 in. x 16 in. . . . . . . . . . 15,000
One surface grind machine complete with standard
equipment and accessories, 10 in. x 27 in. . . . . . . . . 15,000
One band sawing and filing machine with standard
equipment and accessories, 16 in. dia. of saw wheel
andI4in.throat ............................. 12,000
One transformer-type electric welding set, 30 - 300
amperes ..,................................. 4,000
One electrical heat treatment furnace, 20 in. x 12 in. x
9 in., maximum working temperature 1400 OC . . . . 20,000
One tool room tempering furnace, 18 in. dia. x 20 in. 12,000
Two quenching tanks for heat treatment. . . . . . , . . . . 2,000
One Rockwell hardness tester . . . . . . . . . . . . . . . . . . . 8,000
Two fitting benches . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,000
Precision instruments, hand tools and cutting tools. . . 20,000
- ---.-
a This room will have space for manufacture of dies etc. required by other units. A
tool room with machines and equipment could be located as a common facility centre in
a functional industrial estate for bicycles.
3x
Seat lug 1004, bottom head lug 1007, top head lug 1010. Cutting strips
from sheets, blanking, forming, first-stage bending, inserting mandrel and
second-stage bending, gas welding, grinding and cleaning, reaming holes to
size
Scat tube liner 1003, down tube liner 1006, top tube liner 1009, liner 1103.
Cutting strips from sheets, blanking, bending to U-shape; inserting mandrel
and bending round shape.
Riveting pins 1012. Wire straightening and cutting to length.
Chain stay tubes 1101, seat stay tubes 12C’A. Cutting tube to length, slitting
tube end, pressing tube to oval shape and forming, inserting liners and pressing
ends flat, punching slot or hole, trimming ends to shape, welding pressed ends
(spot and gas welding).
Liners 1102, 1202 and 1203. Cutting strips from sheet; blanking.
Chain stay bridge 1104, seat stay bridge 1204. Cutting strips from sheet;
piercing hole and blanking, bending U-shape, inserting mandrel and pressing.
The LH and RH chain stay tubes and the bridges arc welded together in
position using the welding fixture. The fixture consists of two spacer blocks
for holding the tubes of chain stay and seat stay at the correct distance at both
ends and locating them, with a locating block for bridge and clamping arrange-
ment. A trunnion arrangement for rotating facilitates welding in all positions.
The bridge is gas welded with stay tubes and the assembly is removed after
the welded joint is cooled. The joint is then cleaned.
Assembly of frame
are dip-brazed. The excess brass at the joints is either f&d out or dc-brazed
by an electrolytic method.
Filrishirrq.The frame and seat stay are finished by stove ename!hng. ?nrious
operations comrected with enameliing consist of hot dip dc-greasing, phosphnting
or bonderizing and coating with enamel by dipping. Three coats of enamel
are applied; one primer coat and two finishin, 0 coats. The primer coat is stovc-
baked and well rubbed for roughing the surface before applying the second
and final coats. After stoving the final coat, the frame and seat stay are polished
and lined. Transfer labelling is applied by hand to frx the monogram on the
frame.
Firral assembly. Other parts such as bottom ball race seating, top ball BB
axle, loose liner, steel balls, BB frxcd ball cup, BB adjustable ball cup, locking
ring and BB lubricator are then assembled with the frame.
2. Fork
Fork blades 1301, 1302. Cutting strips from sheet, blanking, bcndiug U-
shape, inserting shaped mandrel in the U-bend and pressing, joint welding
(gas welding), inserting bottom liner 1303, pressing end flat, slot cutting flattened
end, bottom end edges welding (gas welding).
Fork blade liners 1303. Cutting strips from sheet, blanking.
Fork blade liners 1304. Cutting strips from sheet, blanking, bending U-shape,
inserting mandrel and bending round.
Fork crown 1305, fork crown cover 1310. Cutting strips from sheet, blank-
ing, drawing, trimming edges.
Box pieces 1306. Cutting strips from sheet, blanking.
Ring 1307. Cutting tube to length, de-burring.
Fork cohmln liner 1309. Cutting strips from sheet, blanking, bending
TJ+hape; inserting mandrel and bending round.
Assembly of fork
Weldit!q arid brazing. The fork is assembled using the fork assembly fixture.
This consists of a spacing and locating block for the fork blades at the bottom
end, a locating block for fork colunln and clamping arrangement. A trunnion
arrangement facilitates tack welding in all positions.
The top liners are inserted into the fork blades which are then positioned
in the fork assembly fixture and clamped. The fork crown is put over the blades
and the fork column, ring and box pieces are then positioned and tack welded.
The fork is removed from the fixture; a dummy distance piece is inserted bc-
tween the fork blades at the bottom end. The crown joint is then dip brazed.
hlANUI;A(;TURE OF PARTS AND ASSEMBLY 01. A (:OMPI.ETI-: UI(:Y(.I.l! 41
Excess brass sticking to the joint is rc-moved by de-brazing. The fork blades
are then bent to shape in the fork blade frsturc.
Fiuislrirlg. Tl le f or k is stove cnamcllcd in the sanlt~ ~vay :IF rht: fr;~mc and
lined. The crown cover is nickel and chromiunl plated and assembled over the
fork crown.
3. Handle-bar
Handle-bcu tube 2001, handle-bar stem tube 2003. Cutting tube to length,
de-burring, cutting slot at the bottom end of stem tube.
Handle-bar lug 2002. Cutting strips from sheet, blanking, drawing, trimming
edges, piercing holes for draw bolt and seem tube, bending U-shape, inserting
mandrel and bending round, joint welding (gas welding), cleaning the welded
joint, reaming holes for handle-bar tub=.
Left roller lever 2007, right roller lcvcr 2008. Cutting rod to lcngtli; flatten-
ing ends, bending, nickel aud chromium plating.
Brake tabs front 2010, brake tabs rear 2011. Cutting strips from sheet,
blanking, piercing holes, forming, nickel and chromium plating.
Brake rod front 2014, brake rod rear 2015. Wire strnightcning and cutting
to length, forming eye at one end, nickel and chromium plating.
Asserrrbly $ hrrdlc-hr
Bmxirl,y nrrd bwdiq. The handle-bar tube (in straight condition) and stem
tube are nssrmb!ed and brazed. The brazed joint is cieaned by lrand filing. Ho!cs
for qe bolts arc drilled. Handle-bar is bent by using the hndle-bar bending
fixture in two operations.
Finishirraq nrrdjknl mserr~b~y. The handle-bar is nickel and chromium plated.
The other parts s~~clz as levers, eye bolts, brake tabs, brnkc rods, expander cone,
expander bolts and grips arc then assembled with the handle-bar.
Seat pillar 1019. Cutting tube to length, forming ends by pressing, nickel
and chromium plating.
Bottom ball race seating 1620.
Top ball race seating 1021. Cutting strips from sheet, blanking and cupping,
forming flange, piercing bottom, nickel and chromium plating.
Lamp bracket 1028. Cutting strips from sheet, piercing and blariking,
bending, nickel and chromimn plating.
Front brake tube 5004, rear brake tube 5016, stirrup brake tulle 5030.
Cutting tube to length, de-burring.
42 BICYCLES
_- .~.
Brake stirrup 5006. Cutting strips from sheet, piercing holes, bending,
forming.
Stirrup pin 5007. Wire straightening and cutting to size, de-burring, nickel
and chromium plating.
Brake shoe 5008. Cutting strips from sheet, piercing hole., blanking, forming,
nickel and chromium plating.
Brake clips outer 5012, brake clips inner 5013. Cutting strips from sheet,
piercing and blanking, forming, bending, nickel and chromium plating.
Brake lever bottom 5019, bell crank 5025. Cutting strips from sheet, piercing
and blanking, bending, nickel and chromium plating.
Bottom long brake rod 5024, bottom small brake rod 5029. Wire straight-
ening and cutting size, forming eyes at ends, nickel and chromium plating.
The front brake tube, brake stirrup and connector for brake tube are as-
sembled and brazed. The brazed joint is cleaned and the part is nickel and chro-
mium plated. All brake parts are supplied loose, but assembled at the time of
selling the complete bicycle.
The details of machines and equipment needed for a plant with a yearly
capacity of 15,000 bicycles has been listed in table 18, taking into consideration
the use of cheap labour wherever economically possible. This should help the
planning of bicycle manuficture in developing countries where labour is cheap
and the demand for bicycles is not great. Another consideration is the limited
capital icvestment in such countries. Machines that could be replaced by manual
labour using hand tools have been omitted from the list. Similarly, wherever
possible hand-driven machines have been substituted for power driven machines.
Adp%:late care has been taken to see that quality is not affected by such replace-
:nent. Keeping capital cost low has been the chief consideration; manual labour
has been suggested where it could efficiently replace an operation done by
machine.
MANUFACTURE OF PARTS AND ASSEMBLY OF A COMPLETE BICYCLE 43
__-~-__ -___ - __
Table 18
The bicycle components for which individual economic units can be established
are : chains ; spokes, nipples and washers; mudguards ; rims; hubs; free-wheel;
chain-wheel and cranks; pedals; turned components; BB shells; and saddles.
The details of machinery and processes for manufacturing these items are
Ascribed in this chapter.
CHAINS
Details of plant
1. One double-arm 40-ton blanking press with coil reel and electrical
accessories for blanking inner and outer plates; number of strokes per minute,
110; length of stroke, 25 mm; table size, 370 x250 mm; space between arm,
540 mm; tool carrier size, 305 x 170 mm; strip feed maximum, 70; motor,
2 hp, 1420 rpm.
2. Four open front 20-ton piercing presses with drum feeding attachment
for piercing, marking and chamfering inner and outer plates, with motor and
electrical accessories; number of strokes per minute, 100; maximum up-stroke,
220 mm; adjustable stroke, lo-60 mm; depth of stroke, 160 x80 mm with
32 mm and 60 mm hole size; motor 1.5 hp, 950 rpm.
4. Two horizontal coining and piercing presses with tool agitator feed for
collets; number of strokes, 120 per min; motor 1.5 hp, 1420 rpm; used to flatten
and punch collet bottoms.
45
46 BICYCLES
I?. One salt bath, rectangular pot furnace, clcctrically hcatcd; automatic
temperature control; maximum temperature 65OOC; working tempcraturc
350-480" C, 24 kW (for blueing).
12. One tilting-type tumbling barrel (for de-burring chain parts) with
cam-controlled lifting device and 0.5 hp motor; main drive by a 1.5 hp motor,
15-30 rpm; capacity 30 gallons.
13. Four tumbling barrels with protection hood and quick-acting door
locks, octagonal shape 24 in. dia. x 32 in. long with about 65-gallon capacity;
driven by a 2 Jp motor (for dc-‘burring).
15. Two plate stacking and sorting machines with hopger-type agitator
feed; driven by 0.5 hp motor for sorting inner and outer plates and stacking
into wire forks (one machine for outer plates and one for inner plates).
16. One automatic chain assembly machine with feeding devices for
inner and outer plates; rollers, bushes and bearing pins, provided with tools
capable of assembling l/z in. pitch chains; 3 hp motor.
17. Two plate setting and riveting machin.es with 1.5 hp, 1000 rpm motor
(used for setting the plates and the pins correctly, controlling the external width
of the chain, riveting the pins and subsequently loosening ,the chain links).
18. Two foot presses for straight and joggled connexion links.
19. One chain proof-loading and testing machine suitable for stretching
and load testing of the complete assembled chain.
MANUFACTURE OF SPECIAI.IZI:.1~ COMPONENTS 13s AN1:lI LARY UNl-l-S 47
.
-. -. __-
For bushes :
((1) Cutting-off and end-forming tool to be used with nlachinc No. 5;
(11) ~cncral tools and instruments;
(c) One set of gauges for controllin g chain parts diincnsions.
Manufacturing operations
Inner plates 6201, outer plates 6204. Multiple blanking front strip, dc-
burring, piercing, dc- burring, blueing.
Bushes 6202. Cutting strips, curling over nlandrcl, heat treating.
Rollers 6203. Blanking from strip nnci cupping, Aattcning bottom, piercing
bottom, de-burring and heat treating.
Bearing pins 6205. Wire straightening and cutting to size, indenting ends,
v
rolling, heat treating.
Spring clip 6206. Blanking, piercing and blueing.
Connecting pin 6207. Turning and cutting to size, heat treating.
Assembly of chain
The inner and outer links arc automatically sorted and stacked on wire
forks through a plate stacking and sorting machine fitted with hopper feed.
The chain is then asscmblcd on an automatic chain nsscnlbly machine. It is
rivctcd by a special plate setting and riveting machine.
48
Details of plant
(n) Either one motor generator or 011~ rectifier set for supplying
power at 12 volt, DC 250 amperes with amnctcrs, voltmctcr and
regulator ;
(/I) Two barrel plating equipments for clcctroplating wire spokes
with reduction gear, non-metallic barrel of round cross section,
pulleys, corncctors, immersion heaters; complctc in all respects
for briglit clcc troplating spokes;
(c) Two barrel plating outfits for electroplating brass nipples and
washers;
(L!) Two electroplating outfits for copper-plating brass nipples and
washers;
(e) One dc-greasing equipment;
(f’) One drying centrifuge for nipples and washers.
Manufacturing operations
Spokes 3002 and 4002. Wire straightening and cutting to length, upsetting
head, head bending, thread rolling and electroplating.
Nipples 3003 and 4003. Cold heading and cutting, drilling, tapping, milling
(square), slotting and electroplating.
Washers 3007 and 4OO4. Piercing, blanking, forming and electroplating.
MANUFACTURE OF SPECIALIZED COMPONENTS SY ANCILLARY UNITS
MUDGUARDS
Details of plant
Mauufacturing operations
Rear mudguard 1030, front mudguard 1036. Cutting strips from sheet,
piercing holes, bead rolling, rolling mlldguard, folding ends and forming reflec-
tor seat.
Rear mudguard inner bridge 1031, front mudguard inner bridge 1037.
Cutting strips from sheet, piercing and blanking, and forming.
Rear mudguard stays 1032, front mudg:lard stays 1038. Wire y,traightening
and cutting, de-burring, and thread ;zJling.
Rear mudguard tabs 1033, front mudguard tabs 1039. Cutting strips from
sheet, piercing and blanking, forming and bending.
Clip 1035. Cutting strips from sheet, blanking and forming.
The inner bridges and clips arc spot welded with rear mudguard and front
mudguard. Tabs are asscmblcd over stays and tack- and gas-welded. All compo-
iients arc phosphated and stove cnamelled.
50 BICYCLES
--_~ ..~~
- -
RIMS
Capacity and cost of plant
Details of plant
Manufacturing operations
HUBS
Capacity and cost of plant
Capacity, 50,000 pairs of hubs per year; cost, approximately Rs. 300,000.
Details of plant
Rear hub shell 3101, front hub shell 4101. Cutting tube to length, dc-
burring, turning internal and outside diameter, punching oil hole, marking.
Distance piece 3102. Cutting strips from sheet, blanking, bending U-shape,
inserting mandrel, bending round.
Rear hub ball race cups 3103, front ball race cups 4102. Cutting strips from
sheet, blanking, drawing cup, punching bottom, turning outside diameter,
facing collar, heat treating and polishing with emery paste.
Spoke flanges rear hub 3104, spoke flanges front hub 4103. Cutting strips
from sheet, blanking, drawing cup, flattening flange, punching bottom, turning
flange rim, facing flange, punching holes (for spokes), counter-sinking holes,
threading (right hand flange of rear hub only).
Rear hub axle 3105, front hub axle 4104. Cutting rod to length, chamfering
ends, thread rolling, rust-proofing chemically.
Fixed cone rear hub 3107, adjustable cone rear hub 3108, fixed cone front
hub 4105, adjustable front hub 4106. Drilling, form turning ball race, cutting
off to size, chamdering, tapping thread, milling flats, marking, heat treating,
rust-proofing chemically.
Dust cap washer rear hub 3109, dust cap washer front hub 4108. Cutting
strips from sheet, punching hole and blanking.
Oil clip rear hub 3112, oil clip front hub 4111. Cutting strip, blanking,
bending, hardening, tempering and blueing.
Chain adjuster rear hub 3113. Cutting bar to length, chamfering one end,
stamping other end, punching eye hole, thread rolling.
Chain adjuster clips rear hub 3114. Cutting strips from sheet, punching
hole and blanking, forming.
52 ilI(:Y(:L.l:\
Assembly of hubs
The distance piece is inscrtcd into the hub shell (in CLSCof’ rcnr hub 0dyj.
The bail race cups are pressed in, at both ends of hub shell. The spoke flanges
are pressed ,m the hub shells at both ends. The axle is thcrcnftcr inscrtcd. steel
balls are fllied in and cones assembled. The dust caps arc presser4 in and elcctro-
plated. Nuts, washers, spring clips 31-e then fitted.
FREE-WHEEL
Details of plant
Free-Lvhtcl body 3201. Hot punching hole, drop forging to shapc~, nnncnling,
one si,dc 6xmg,. boring internal diameter, second side facing, turning outside
diameter, milling slot, milling all seating, threading, rust-proofing chemically.
(The material used for this is the slug obtain& from hot punching of sprocket
wheel blank.)
Sprocket wheel 3202. Hot blanking and punching, drop forging to shape,
annealing, boring internal diameter, turning outside diamctrr, one side facing,
second side f&ing, finishing teeth flange, machining ball grooves, punching sprocket
teeth, shaving teeth, broaching internal teeth, hut trcnting, rust-proofing
chemically.
Free-wheel pawls 3203. Blanking, drilling, heat treating.
Paw1 pin 3204. Cutting wire to six.
paw1 spring 3205. Blanking, forming, heat treating.
Paw1 washer 3205 (a). Blanking, de-burring.
Free-wheel cones 3207. Blanking, punching internal diamctcr, drop forging
to shape, annealing, surface grinding, boring, internal thrcarling, drilling pin-
spanner holes, turning and finishing out~idc: c4iamctcr, marking, heat treatiilg,
rust-proofing chemically.
Details of plant
1. Onu +l!otinc shearing machine, 45 in. :< j/16 in. thickness, with
electric motor.
3
I. One power hacksaw with electric motor; 6 in. dia. round capacity.
3. One power press with motor; lOO-ton capacity.
4, One power press with motor; 6%ton capacity.
5 One oil-fired furnace; 3 ft x 2 ft x 18 in. for forging.
6. One pneumatic hammer with motor; l/d-ton capacity.
7. One drop-forging hammcr, with motor; l-ton capacity.
8. One oil-fired muffle-type annealing furnace, 3 ft x 1 l/z ft x 2 ft depth.
9. One set of sand-blasting equipment.
10. One drilling and tapping machine geared, with motor; 1 in. capacity.
11. Four single-operation special purpose lathes for turning and king.
54 BICYCLES
.____~~--. -~.~ ----...-~-.
12. One set of electroplating equipment with polishing lathes for bright
nickel and chromium plating.
13. Tools, dies, equipment, fixtures.
14. Precision instruments, hand tools, gauges.
Manufacturing operations
Chain wheel 6001. Cutting strips from sheet, punching centre hole, blanking,
forming joggle, punching design and trade name, punching sprocket teeth.
RH crank 6002, LH crank 6007. Cutting bar to length, pre-forging to rough
shape, drop forging to shape, annealing, sand-blasting and cleaning, drilling
centre holes, turning and facing both sides, tapping, drilling cotter hole.
The RH crank is riveted to the chain wheel; <his is then electroplated with
the LH crank.
PEDALS
Capacity, 100,000 pairs of pedals per year; cost, approximately Rs. 180,000.
Details of plant
Manufhuring operations
Assembly of pedals
The ball race cups are pressed into the pedal tube. Pedal axle is inserted
into the pedal tube and steel balls are put in; the cone is screwed on. The pedal
plates, winged dust cap, stretcher bars, rubbers and nuts are then assembled.
TURNED COMPONENTS
The items for which the plant details have been given in figure 8 are: crown
race 1022; bottom inner ball race 1024; top inner ball race 1025; screwed race
1026; locking nut 1029; BB axle 1044; BB fixed cup 1047; BB adjustable ball
cups 1048; locking nut 1049; cotter pin 6003; washer 6004; nut 6005; and spring
washer 6006.
Details of plant
1. One single spindle automatic screw machine with accessories; 2112 in.
bar capacity.
2. Two single spindle automatic screw machines with accessories; 2 in.
bar capacity.
3. One milling machine, bench-type, with accessories and motor.
4. One drilling machine, bench-type, with motor; l/z in. capacity.
5. One automatic cycle, centreless grinding machine, maximum work
dia. 2 in. with hopper feed attachment.
6. One hydraulic marking press.
7. Two oil-fired salt bath furnaces; 2 ft dia. ~2 ft depth, temperature
950°C, with preheater temperature up to 600°C.
BICYCLES
b
MANUFACTURE OF SPECIALIZED COMPONENTS BY ANCILLARY UNITS
57
_~-____-.- .~.__- --.--..__
58 BICYCLES
Manufacturing operations
Ail the parts are machined. Heat treatment is given to all parts except
spacing washer, locking nut and locking ring which are electroplated after
machining. BB axles are ground after heat treatment. All heat-treated parts
are rust-proofed chemically.
BB SHELLS
The bottom bracket shells are generally of malleable cast iron. The un-
machined castings are bought from specialized malleable iron foundries, because
it is not economical to set up a small capacity malleable iron foundry for the
production of BB shells.
Details of plant
1. One special purpose chamfering and facing lathe with work holding
fixture in the centre for clamping BB shell.
2. Two special purpose horizontal drilling machines, duplex type, with
centrJ work holding fixture.
3. Two reversible spindle special purpose tapping machines, duplex type,
with central holding fixture. (See figure 7.)
4. Two drilling machines, pedestal type; 11/z in. capacity.
5. One drilling and tapping machine, bench-type; l/z in. capacity.
6. Tools, equipment, fixtures.
Manufacturing operations
The unmachined casting is clamped on the char&ring machine and the two
ends are faced and chamfered. It is then mounted on the duplex drilling machine
and both ends are drilled. On the tapping machine both ends are thereafter
threaded (right hand and left hand),
The other holes into which frame tubes are fitted are drilled and reamed
on the pedestal-type drilling machine. The hole for the oil cup is drilled and
tapped on the bench-type drilling and tapping machine.
MANUFACTURE OF SPECIALIZED COMPONENTS BY ANCILLARY UNITS 59
--__-~ ___.. -.--.--
SADDLES
Details of pht
Manufacturing operations
The leather is split in the splitting machine for uniform thickness. Saddle
blanks are cut on the clicking press. The saddle tops are moulded in the hydraulic
moulding press with electrically heated moulding dies. The holes are then
punched and saddles coloured, bu%ed and finished. The sheet metal and wire
parts are made on the other machines and electroplated. The saddle top and other
parts are then assembled.
BICYCLE ACCESSORIES
Besides the various parts and components discussed in this chapter and
earlier, several accessories are required for bicycles. Economically viable units
for each of such accessories can be set up in the small-scale sector. The accessories
used are of several types, designs and specifications. Complete details of these
accessories, their manufacture, pl:.lts, machinery required and so on are beyond
the scope of this paper and would provide the subject matter for another paper.
However, a list of accessories and various types and designs is given below:
1. Luggage carrier
(a) solid steel wire frame with stays and spring grip and foldable
side wings
(b) pressed steel frame with rod stays
(c) strip steel frame and rod stays
(d) steel tube frame with tubular stays and spring grip
BICYCLES
9. Fork guards
(4 straight pattern
(4 curved pattern
14. Locks
(u) side locks for front or rear wheel
(6) ring locks
(c) combination chain or cable locks
.
15. Mascots
different shapes
General concept
Advantages
The main advantages of the subcontracting system are: (a) All parts and
components required for the end product need not be produced under one
roof by a large-scale unit. (b) A complex organization both from the technical
and administrative points of view is not required by the large unit. This mini-
mizes many problems such as labour unrest. (c) The risks of business fluctuations
and obsolescence of machinery are minimized; modernizing the plant is possible
without many problems. (d) R esearch and quick adoption of new technology
allow greater specialization by subcontracting units. (e) Entrepreneurial talent
and the latent financial resources can be better tapped in ancillary units. (f> Large-
scale units are in a position to concentrate on sophisticated items where greater
skill and invest,anent are necessary.
62
THE SUBCONTRACTING SYSTEM AND THE FUNCTIONAL INDUSTRIAL ESTATE 63
- --___ __......, _ ..
There are certain requirements for the proper development of small sub-
contracting units. Parent units must offer long-term contracts dnd provide
technical know-how, designs, drawings and so cn co the small-scale units.
Payment should be made to small-sca!e uuits on time. If payments are delayed
or if contracts are not on a long-term basis, the ancillary industries may suffer
greatly. On the other hand, for the proper functioning of ancillary units it is
also necessary that competent entrepreneurs be given the subcontracts.
3 Joint production programmes may also be organized for small-scale industries located
outside of an industrial estate. They are, however, particularly effective when organized
within a functional industrial estate. A publication on the organization of functional industrial
estates is being prepared by the secretariat of UNIDO.
4 The subcontracting system in Japan is of interest since a large number of small-scale
units have been developed under this system. Subcontracting units receive a regular flow
of raw material, are assured of markets for their products, and can obtain uidance and even
financial assistance from the parent companies. This makes it possible Bor subcor_tracting
units to manufacture parts at low cost. It is estimated that about 75 per cent of the bicycle
manufacturing industry in Japan falls under subcontracting. There are certain disadvantages
THE SUBCONTRACTING SYSTEM AND THE FUNCTIONAL INDUSTRIAL ESTATE 6’3
A q Assembly units-”
S = Small - scale
ancillary units
Three types of plan for setting LIP bicycle units both in the large-scale and
small-scale sectors, using subcontracting and the functional industrial estate,
are discussed below. The raw materials required, ulanufacturing processes, plants
and equipment necessary for all parts and components have been stated under
chapters 5, 6 and 7.
Plan A. Setting up large-scale units using subcontracting
Ph B. Setting LIP small-scale units using subcontracting
Plan C. Setting up a ftmctional industrial estate for bicycle manufacture
to this system because the parent enterprises generally exercise a dominant role over the
subcontractors, are prone to determine for their own advantage prices, terms of payment
and other dealings, and resist long-term contracts. Subcontracting units may be exposed
to a reduction of their profit without notice and to delayed payments. To safeguard the
interests of subcontracting units, the Governm.ent of Japan has passed laws whereby parent
companies must sign written contracts and make payments for deliveries within a specified
time. The Government has helped subcontractors to develop and modernize their units
by supplying them with: technical assistance and guidance by teams of experts, special
training for managers of subcontracting units, and machinery for modernization and im-
provement of quality.
66 BICYCLES
----..-- ___.- .-~~------. __~ _
1. Output of bicycles per year for each plant: 150,000 men’s bicycles;
25,000 women’s bicycles; 25,000 sports model bicycles.
2. Items to be manufactured in the factory: frames, forks, chain stays,
seat stays, pressed parts; turned parts; handle-bars, mudguards, hubs,
free-wheels.
3. Items to be obtained from ancillary units: rims, chains, pedals, spokes
and nipples, BB shells, chain wheel and cranks, saddles.
4. Items to be purchased from specialized manufacturers5: tires and tubes,
steel balls.
Figure 9 illustrates this relationship.
Output of bicycles per year for the plant: 15,000 men’s roadster bicycles
(single bar); 5,000 men’s roadster bicycles (double bar) and carrier modei;
3,000 women’s roadster bicycles; 2,000 children’s bicycles.
Items to be manufactured in the factory, items to be obtained from ancillary
units, and items to be purchased from the market or from specialized manu-
facturers will be the same as in chapter 6.
The subcontracting relationship of large- to small-scale units, and the
relationship of small-scale units to ancillary units is shown in, figure 10 below.
The small-scale units and the ancillary units under this plan can be located in
a town.
s These specialized units also work for industries other than the bicycle industry.
I
I
,::../.
The annual output of each central assembly unit, the items to be manu-
factured in the central unit and those to be obtained from ancillary units will
be the same as in Plan B except for the following :
The central assembly units and ancillary units will be in the same industrial
estate;
Independent process-oriented units for electroplating, cnamelling, heat
treatment and so on can be set up as specialized units;
All parts must be sold by the ancillary units to the central assembly units
as a primary obligation;
The pricing of parts made by ancillary units is calculated by cost-study
allowing for a futed percentage profit.
In this type of estate, the industry can be actively assisted by the government
in several ways :
Setting UP design and prototype development centres;
Providing a tool room for common service to manufacture dies, jigs,
fixtures and so on;
Providing a testing laboratory for quality control;
Establishing raw material depots;
Providing institutional agencies for financial and marketing help ;
Constructing the sheds in functional industrial estates.
BICYCLES
3 El
3
4
12
13
7
k,}
3..
15
Bxyclc assembly
Free-wheel unil
10. Spokes. nipples and washers
11. Mudauards
12. ElccTroplating
4. Chains 13 Enrmelling
5. 86 5hcll unil
6. Hubs 14. Design, dcvrlopmrnl
and tool room nntrr
7. Chain wheel and crank unil 15. Raw malerirls
8. Turnrd components
9. Rims
Figure 13. Layout of R functiorta2 industrial estate fir the rrrnriufuctureof bicycles
Chapter 9
STANDARD SPECIFICATIONS
69
70 BICYCLES
-___ ~ __.-._.
__-.---- .----.-.--~_-~~
QUALITY CONTROL
Table 19
IS 1134)
IS 1281: 1958 Bicycle cranks and chain wheels
IS 1282: 1958 Bicycle cotter pins, washers and nuts
IS 1283: 1958 Bicycle free-wheels
IS 2039: 1964 Steel tubes for bicycle and allied purposes
IS 2061: 1962 Bicycle front forks
IS 2415: 1963 Bicycle rubber tubes
IS 2484: 1964 Dimensions of steel tubes for bicycle purposes
IS 2898: 1965 Chromium alloy steel balls
IS 2973 : 1964 Bicycle steering head assembly
IS 3404: 1966 Ladies’ bicycle frames
IS 3798 : 1966 Glossary of terms used in the bicycle industry
EXPORT
The bicycle industry of India has made a significant contribution to the country’s
export of light engineering product;. India is now exporting bicycles and bi-
cycle parts to several countries in Africa, the Far East, the Middle East, the
United Kingdom and the United States. The industry faces competition from
countries such as the Federal Republic of Germany, Japan and the United King-
dom, but the quality of its exports and its competitive position have enabled
it to enter the world market.
Export performance
Foreign market
Indian bicycles and parts find a good market in Afghanistan, Hong Kong,
Indonesia, Iran, Iraq, Kenya, Malawi, Mozambique, Nigeria, Peru, the Sudan,
Syria, Thailand, Uganda, the United Republic of Tanzania, the United States
and Zambia. In the Middle East countries, the most popular Indian bicycle is
the roadster model-single bar and double bar. This model is the most popular
in developing countries because it is strongly built and can be used in places
where roads are poor. Countries such as the United States, however, prefer
sports models. To cater to this preference, India has manufactured sports models
with the special features required by these countries. Recently, Indian bicycles
have even been exported to the United Kingdom from whom India imported
almost all its bicycles only a decade ago.
Channels of export
72
‘_ ‘_ ’
“::,,:.,
)‘,,
EXPORT 73
Millions
14.0
12.0
10,o
%O
6.0
_~
.-I-.
__/
4.0
-~
I----
I
2.0 --
’ -.+-
; --i--l
I I
! /
I
1
-
-
i- I
ILL
1. 1956- 1959. MO- 1961. 1962. 1963- 1964. IS65
l.J
1 ’ 1 9 t959 1960 1961 1962 1963 1964 1965 1966i 1967
Prospects
The most efficient size for an industry depends on the nature of the industry.
The basic industries such as iron and steel are predominantly large, but the
consumer industries, for example those producing bicycles, sewing machines
or electric fans, may be either large- or small-scale.
Concept of productivity
The factors mentioned above have influenced the bicycle industry in India,
both in the large- and small-scale sectors. Even where large-scale bicycle manu-
facturers have collaborated with foreign firms, their plants are not identical to
those of their counterparts abroad; instead they have been adapted to make
use of available resources, particularly manpower. In the small-scale sector
there is a higher proportion of manpower employed and simple machines with
technical innovations used.
For example, for the manufacture of fork biades, tapered ERW tubes are used
by large-scale units. In the small-scale sector, the raw material used is MS sheets
from which tubes are made by the unit itself. In this process the small-scale
unit uses cheaper, easily available raw material but employs more manpower.
By virtue of their: scale of production this can be done only in the small-scale
sector. Management costs are lower in small-scale units compared to large-
scale ones. The small-scale units benefit by this saving and by using cheaper
materials. Large-scale units benefit by lower costs of labour and their larger
scale of production.
(b) Mdgtrurds, h u 6 s , c h uirz wheel and crutzks, turtd components, BB shells, rim.
The main factors influencing cost of production in the manufacture of parts
under this group are machines and materials. The costs of production of compo-
nents in this group are more for small-scale units than for large-scale ones because
manpower does not play as significant a role as in group A. The scale of pro-
duction and types of machine influence the cost of production. Large-scale
units have the advantage of sophisticated machines; small-scale units use semi-
automatic or single-operation machines. To some extent, the disadvantage of
the small-scale units is compensated by cheaper materials and technical innovations
as shown in the example of rim manufacture. However, if it is economic, small-
scale ancillary units are set up to use the same types of machine as large-scale
units. Production costs in such units are lower as a result of smaller overhead.
(c) Chains, spokes and nipples. The main factors influencing the cost of pro-
duction in this group are machines, materials and management costs (overhead).
The machines and materials used by both sectors are identical. However, pro-
duction costs are lower in small-scaie units compared to large-scale units because
of lower overhead..
A typical anaiysis of the elements in the cost structure of a bicycle is set
out below in table 20.
Tuble 20
This analysis indicates that in a bicycle the cost of raw materials is by far
the highest cost element. As it is necessary to use only the proper raw materials,
waste in all forms should be avoided, Attention should be given to increasing
BICYCLES
the productivity of labour. Such measures should ultimately reduce the unit
cost of production, particularly in small-scale units where high productivity
will bring more benefit.
A typical analysis of the capital investment and output per worker in the
bicycle industry is given below in table 21.
Table 21
Lurpsia I-c
Firm A 19,625,OOO 1,042 18,834 17,066
Firm B 1,302,OOO 349 3,730 10,522
Sdl-de
Firm C 104,000 54 1,922 4,431
Firm D 45,000 16 1,156 3,106
The above table indicates that output per worker is related to investment
per worker. Higher investment per worker results in higher output. In countries
where high output per worker is the primary objective, the small- and large-
scale sectors must use the same type of plant and equipment to achieve equal
production. In this case, however, the sub-contractors should be tied by direct
ancillary relationships w’ith the assembly units for consumption of their output.
NON-RECURRING COSTS
RECURRING COSTS
Recurring, or operating, costs include the costs of raw materials and com-
ponents, labour and overhead.
The cost of basic raw materials varies little within a country. The cost
of components, however, may vary slightly depending upon the location of
the ancillary unit manufacturing the components. In the bicycle industry the
cost of raw materials and components form a substantial part of the total cost;
therefore the extent to which waste is controlled and the kind of process used
both influence manufacturing costs. Certain processes require comparatively
costly raw material; for others cheaper raw material may serve the purpose.
The factors governing the choice of material are the scale of production and
type of machines used.
79
80 BICYCLES
Table 22
Nomrecurrirlg costs
(a) Lnrzd 36,000 ft2 at P.S. 1.50 per ft2 ............ 54,000
(b) &hiding nreu (fi2)
Manufacturing shop .................. 4,000
Brazing and welding section. .......... 2,500
Enamelling section .................. 2,500
Electroplating section ................ 3,000
Machine shop ....................... 1,500
Stores .............................. 3,000
Office space. ........................ 1,500
Total 18,000
Total cost of construction at Rs. 20 per ft2 ...... 360,000
(c) i%chitrery und eqcriprrrent (as listed in chapter 6,
table 17) ................................. 413,800
Manufacturing and processing shops ............ 367,300
Machine shop”. .............................. 46,500
(d) Office equigrrrerztnnd corweyme ................. 73,200
TOTAL NON-RECURRING PXT 901,ooO
TAle 22 (continued)
-.- ____---__- ---. -.- .._
Chit costs Tota: costs
(Rupees) (Rrrpees)
-. __.___-.
(c) Overhead . . . . . . . . . . . . . . . . . . . . , . . . . . . . . . . . . . . 31,600
Salary for one managing director . . . . . . . . . . . . . . 1,200
Salary for one office manager . . . . . . . . . . . . . . . . . 600
Salary for two sales officers . . . . . . . . . . . . . . . . . . . 800
Salary for one accountant .................... 400
Salary for two clerk-storekeepers. .........,.... 500
Salary for one stenographer . . . . . . . . . . . . . . . . . . . 250
Salary for three peons and watchmen .......... 450
Electricity. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 750
Water . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 150
Interest on working capital at 9 per cent per year. . fi(JOo
Depreciation on fixed assets
Building at 5 per cent per year . . . . . . . . . . . . . . 1,500
Machinery and equipment at 10 per cent per year 4,000
Maintenance of plant and machinery . . . . , . . . . . . 1,000
Labour welfare . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,~
Miscellaneous office expenses . . . . . . . . . . . . . . . . . 3,000
Marketing, advertising. . . . . . . . . . . . . . . . . . . . . . . . 4,000
Packing and forwarding .......... ........... 6,000
TOTAL RECURRINGCOSTS PER MONTH 275,150
a Machine shop has been substituted for tool room and heat treatment shop since it
has been suggested that the latter be located as a common service facility centre in a func-
tional industrial estate.
Labour
Overhead
The recurring costs in this category are salaries of staff, electricity, water,
interest on working capital, depreciation on fixed assets, maintermncc of plant
and machinery, labour welfare, miscellaneous office expenses, marketing and
advertising, packing and forwarding. Overhead charges vary considerably
depending upon the type and organization of the unit, its size and capital costs.
The location of a unit influences the amount of money spent for electricity,
water, marketing, advertising, salaries of staff, etc.
In the following two schemes given below in tables 22 and 23, the cost of
manufacturing complete bicycles at d&rent leve!s of production have been
detailed. Both SCh emes are suitable for the small-scale sector.
In working out the schemes, the following factors have been taken into
consideration :
(u) The units will manufacture all parts and components given in chapter 6,
and will buy from ancillary units or the market the other-compo-
nents and parts mentioned in chapter 6;
(6) The production capacity under scheme 1 will be 25,000 bicycles per
year; under scheme 2, 15,000 bicycles per year;
(c) The lower scale of production envisages the USC of cheap labour and
simple machines with technical innovations. In both schemes the cost
of raw materials and purchased components is the same;
(d) Scheme 1 will be run by a private limited company;
Scheme 2 will bc operated as a proprietary concern.
Tclbk 23
NON-RECURRING AND RECURRING COSTS FOR PRODUCTION OF
15,000 BICYCLES, 1966: SCHEME2 (SMALL-SIZED TOWN)
Table 23 (continued)
-__ ___- _. - -.- ~~ -. .- ~~
Unit costs Total costs
(Rupees) (Ii irpees)
- ~--._.--. _.~__..~ -~ --.- - _ - ..~ -.~ -
Recurriqd cost per rrrorzth
(a) Labow ...................................... 12,200
Salary for one foreman ....................... 750
Salary for 3 supervisors ...................... i ,200
Salary for ten skilled workers at Rs. 250 per month 2,500
Salary for thirty semi-skilled workers at Rs. 175
per month ................................ 5,250
Salary for twenty unskilled workers at Rs. 125
per month ................................ 2,500
(b) Raw rmzterials und components .................. 137,500
Cost of raw materials for items under manu-
facturing programme as given in chapter 6 at
Rs. 35 per bicycle ......................... 43,750
Cost of components and parts to be purchased
from ancillary units and market as given in
chapter 6 at Rs. 75 per bicycle .............. 93,750
(c) Overhead ................................... 23,750
Salary for one manager (proprietor) ........... 1,000
Salary for one office manager ................. 500
Salary for two sales officers ................... 800
Salary for one accountant .................... 400
Salary for one clerk-storekeeper. ............... 250
Salary for one typist. ......................... 200
Salary for three peons and watchmen .......... 450
Electricity. .................................. 500
Water .... ................................. 1%
Interest on working capital at 9 per cent per year 3,750
Depreciation on fixed assets
Building at 5 per cent per year .............. 750
Machinery and equipment at 10 per cent per year 2,500
Maintenance of plant and machinery ........... 750
Labour welfare .............................. 750
Miscellaneous office expenses ................. 3,000
Marketing, advertising. ....................... 4,000
Packing and forwarding ...................... 4,ooo .-
TOTALRECURRING COSTS PER MONTH 173,450
Working cnpitd fir three rrronths 496,350
Labour ......................................... 36,600
Ruw wuteriuls ................................... 412,500
Overhead (except interest and depreciation) .......... 47,250
Total renrrring mmufactcrrirlg cost per year 1,985,400
Lubour . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 146,400
Raw rnuteriuls . . . . . . . . . . . . . , . . . . . . . . . . . . . . . . . . . . . 1,650,000
Overhead . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 189,000
Manufacturing cost (recurring) per bicycle : approxiinately 133
Chapter 13
The bicycle has proved to be, beyond doubt, an essential vehicle in both urban
and rural areas, particularly for people of low and middle income groups. It
is highly desirable, therefore, that bicycles be well dislributed wherever they
are needed. To achieve this type of distribution, sales organizations must be
well-knit throughout a country.
The Indian bicycle industry has not yet faced any problem of marketing
because the demand for bicycles has been met by the supply. This may not
continue, however, and industrialists should therefore study the basic functions
of marketing and distribution. A programme of instruction in distribution,
marketing and management appears to be needed now for successful operation
in the future. Instruction is needed at all levels-for retailers, wholesalers, and
manufacturers-and should include training in scientific storage, transportation
and financial management. Realizing this need for instruction, the Central
84
Small Industries Organisation, through the network of small industries service
institutes in each state, has organized short and long courses in management in
which “distribution education” is an important subject.
As the bicycle market becomes more consumer oriented, sales can be in-
creased through instalment buying; improvement in the quality of the product;
new designs and models; exhibitions of small-scale industry products; and
marketing through state small industries corporations with permanent displays
of bicycles and parts in their showrooms.
.
/! Chapter 14
7. Basic raw materials can be imported initially until these materials arc
produced within the country to replace the imported ones.
86
CONCLUSIONS AND Rl3COhtMEWDATIONS 87
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