" We envision bringing about the era of abundance in cement market at an

affordable price coupled with dependable customer services."

YARDSTICK INTERNATIONAL COLLEGE

DEPARTMENT OF BUSINESS ADMINISTRATION

COURSE NAME: Operations Management (MBA721)

Tittle; Evaluation Own Organization

Name of instructor; B. Dayal(PhD)

Name ID NO

Solomon Kasaye Agezew MAO/1000/13

SUBMISSION DATE; 25/08/2022

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Executive summary
Cement production involved in process starting from quarry up to finish packaging have passed
different unit operation and different stations. Those are Quarrying, raw material proportioning,
pyroprocessing, cement grinding and packing units. The whole operation have many engineering
application like heat transfer, mass transfer, size reduction, , process control, reaction
mechanisms to accomplish the process. The raw material for making of Portland cement clinker
is generally obtained by blending a calcareous (CaCO3) material typically limestone, with a
smaller amount of argillaceous one, typically clay (Al2O3, SiO2, Al2O3). Generally, the heart of
the Portland cement manufacturing process is the pyroprocessing system. This system transforms
the raw mix into clinkers, which are gray, glass-hard, spherically shaped nodules that range from
0.3 to 5 centimeters in diameter. In the pyroprocessing, the raw materials feed undergo definite
physical and chemical changes.

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Table of Content

s
Summary……………………………………………………………………………………………I

1. Introduction of Derba Medroc Cement------------------------------------------------------1

2. Vision and mission of Derba Medroc cement--------------------------------------------------2

2.1 Vision of Derba medroc Cement------------------------------------------------------------2
2.2 Mission of Derba medroc Cement----------------------------------------------------------2
2.3 Core Values of Derba medroc Cement-------------------------------------------------------2

3 The products produced or the services offered---------------------------------------------------3

4 The overall processes involved in various operations----------------------------------------------8

5 Organization structure (as per operational requirement) --------------------------------------11

6. Organizational analysis-----------------------------------------------------------------------12

7 Quality assurances in operation management-----------------------------------------------------13

8 Recommendations----------------------------------------------------------------------------------------14

9 Conclusions---------------------------------------------------------------------------------------15

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1 Introduction of Derba Medroc Cement

I am working in Ethiopia one of the from huge cement industry in Ethiopia called Derba Medroc
Cement plant as process engineer. The company was inaugurated on February 05, 2012 in the
presence of the late Prime Minster of Ethiopia Ato Melese Zenawi and the Chairman and
Founder Sheik Mohammed Hussein Ali Al –Amoudi. Sheik Mohammed Hussein Ali Al–
Amoudi and his wife Mrs. Safia Salah Al-Amoudi are the founders and owners of Derba medroc
cement. Sheik Mohammed is an Ethiopian born a Saudi Arabian Citizen and business mogul
with substantial investment in Ethiopia, Sweden, Morocco and the Kingdom of Saudi Arabia.
Derba cement plant is located 70 km north of Addis Ababa, on the way of Bahirdar road. It
involves mining of the main raw material of cement called lime stone which is 75%-85% of total
in raw grinding from Derba-Mugher River limestone by crushing the bolder sedimentary rock in
crusher station in order to supply the desired 12,000 ton per day of lime stone to the raw grinding
station. The plant has a capacity of producing 5,600 tons clinker per a day used as the input in
cement grinding and 8,000 tons of cement per day as a finished product in cement grinding
station. Derba Medroc Cement plant has a capacity of producing and deliverd around an annual
of 2.5 million ton of cement for its customer. Derba Medroc Cement project estimated the
project life will be 60 years. Derba Medroc Cement factory is currently producing three (3) kinds
of cement types which are called, OPC (Ordinary Portland Cement), PPC (Portland Pozzolan
Cement) and SPPC (Special Portland Pozzolan Cement). Our company main customer are 75%
Ethiopian Renaissance Dam, Koysha project and most governmental main projects and 25%
other customers.

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2. Vision and mission of Derba Medroc cement

2.1 Vision of Derba medroc Cement
 To become one of a locally and internationally successful cement producer by 2025.

2.2 Mission of Derba medroc Cement

 To produce & distribute cement products that exceedingly meet customer
requirements by adopting modern technology, qualified manpower, eco-friendly and
socially accountable operation and thereby create sustainable value for our
stakeholders.
 To manufacture and delivery competitive cement products for domestic consumption and
export market through environment friendly with production process to achieve
sustainable development
 To guarantee our customers utmost satisfaction and to promote national development by
utilizing state of the art technologies and highly competitive workforce in manufacturing
& marketing of cement products through operational efficiency, excellence and
sustainability

3.3 Core Values of Derba medroc Cement

 Excellence; Achieving high performance and excellence through new and

innovative ways of doing business
 Quality; Derba cement is preferable in quality for its customer
 Transparency & Accountability
 Team Work; Success emanates from a collective drive for accomplishment by
employees and officers alike.
 Safety, Health & mutual Environmentally
 Learning; gives the opportunity of learning and training in every aspects
 Continuous Improvement & Innovation.

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 Family Unity; It is the fundamental conviction that employees are the

fundamental assets of the company and The safety and continuous skill
development effort for the employees.

4 The products produced or the services offered

There are about 70 varieties of cement which are available in powder, paste and liquid form but
we are only concerned here with constructional cement commonly known as Portland cement.

Portland cement: - is a calcined material Comprising Lime & Silicates which is mixed with
sand & stone and upon. The composition of Portland cement varies from plant to plant due to
both to cement specifications and to the mineralogy of available materials. Cement is one of the
most important modern building materials. It finds application in the construction of buildings,
roads, dams and bridges. It is obtained by combining a lime-rich material with the one containing
silica and alumina.

The major raw materials

The raw material for making of Portland cement clinker is generally obtained by blending a
calcareous (CaCO3) material typically limestone, with a smaller amount of argillaceous one,
typically clay (Al2O3, SiO2, Al2O3).

No Raw materials % of Grinding To produce 100%

1 Lime stone (CaCO3) 80% Raw meal which is
2 Clay/Basalt (Al2O3, SiO2, Al2O3). 15% ready to

3 Sand(SiO2) 5% clinkerization

Types of cement in DMC

1) Premium ordinary Portland cement (OPC 52.5N); Premium Ordinary Portland

Cement – made from limestone, clay and sand by clinkerization or in pyro process station
and gypsum during finish grinding as the main raw material to produce clinker or
ordinary Portland cement (OPC52.5 N).

Clinker 95%

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Gypsum 5%
APPLICATIONS AREAS

High-strength specialty products Precast concrete applications where quicker demolding times
are required Fast-track construction projects where faster stripping of formwork is required High
strength structures, such as bridges, overpasses, viaducts, flyovers, foundations for skyscrapers,
slabs, beams, heavy industrial floors, water retaining structures, railway sleepers, windmill
foundations, etc

 Conditions of use

When using cement in construction, there is no substitute for good practice and workmanship. It
is always very critical to use the correct materials and measure, and mix the materials properly,
add the correct amount of water and compact, cure and protect the concrete as appropriate.
Concrete and mortar strength is significantly affected by mix constituents and proportions,
ambient temperature and curing conditions. A durable concrete requires adequate cement & a
low water to cement ratio. The cement content must be correct for the application and the water
to cement ratio as low as possible consistent with satisfactory placing, thorough compaction and
effective curing. Hence

 Accurately measure all materials

 Mix thoroughly
 Add water whilst mixing but avoid adding too much water. The more water, the
weaker the concrete will be. It is critical to use the minimum amount of water
required to make the mix workable.
 For example; Commercial Bank of Ethiopia, the new head office or the longest
building in Addis Ababa is built or constructed by our product which is called
Premium ordinary Portland cement (OPC 52.5N).

OPC (42.5) – Ordinary Portland Cement – made from limestone, clay and sand by clinkerization
or in pyro process station and gypsum during finish grinding as the main raw material to
produce clinker or ordinary Portland cement (OPC).

Clinker 95%

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Gypsum 5%
APPLICATIONS AREAS
 Suitable for wide range applications where high early & late strengths and quick setting
are importation considerations.
 Typical applications include use in general ready-mixed and site-mixed concrete, precast
and prestressed concrete, masonry, mortars, renders and grouts
 High strength structures like high rise buildings & structures, bridges, concrete pipes,
columns, slabs, beams, suspended slabs, precast manufacturing, silos, slip forming,
foundations, block making, water retaining structures, etc.
 Conditions of use
When using cement in construction, there is no substitute for good practice and workmanship. It
is always very critical to use the correct materials and measure, and mix the materials properly,
add the correct amount of water and compact, cure and protect the concrete as appropriate.
Concrete and mortar strength is significantly affected by mix constituents and proportions,
ambient temperature and curing conditions. A durable concrete requires adequate cement & a
low water to cement ratio. The cement content must be correct for the application and the water
to cement ratio as low as possible consistent with satisfactory placing, thorough compaction and
effective curing. Hence

 Accurately measure all materials

 Mix thoroughly
 Add water whilst mixing but avoid adding too much water. The more water, the weaker
the concrete will be. It is critical to use the minimum amount of water required to make
the mix workable.

SPPC(42.5) –Pazzolanic Portland Cement –made from Limestone, Basalt, Sand, by

clinkerization or in pyro process station and Gypsum and Pumice during finish grinding as the
main raw materials for the production of Special Portland pozzolan cement (SPPC).

Clinker 67%

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Gypsum 5%
pumice 28%
This product is vastly in use for Great Ethiopian Renaissance Dam (Abay) and Koysha projects.

APPLICATIONS AREAS
 General purpose concreting requiring high strengths
 Large pours to reduce the risk of early-age thermal cracking
 Conditions of use
When using cement in construction, there is no substitute for good practice and workmanship. It
is always very critical to use the correct materials and measure, and mix the materials properly,
add the correct amount of water and compact, cure and protect the concrete as appropriate.
Concrete and mortar strength is significantly affected by mix constituents and proportions,
ambient temperature and curing conditions. A durable concrete requires adequate cement & a
low water to cement ratio. The cement content must be correct for the application and the water
to cement ratio as low as possible consistent with satisfactory placing, thorough compaction and
effective curing. Hence

 Accurately measure all materials

 Mix thoroughly
 Add water whilst mixing but avoid adding too much water. The more water, the weaker
the concrete will be. It is critical to use the minimum amount of water required to make
the mix workable.

PPC (32.5)- portland limestoe cement- made from Limestone, Clay, Sand, by clinkerization or in
pyro process station and Gypsum and limestone during finish grinding are the main raw
materials for the production of Portland limestone cement(PPC).

Clinker 70%
Gypsum 5%
pumice 25%
 Applications areas

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 Suitable for wide range applications where no special or unusual considerations arise
from domestic concrete to large building and construction projects.
 Typical applications include use in concrete, masonry, mortars, renders and grouts
 Structures like floors, foundations & footings, columns, slabs, beams, suspended
slabs, precast concrete (paving blocks, culverts, slabs, road kerbs, fencing posts,
waffles, etc), block making, water retaining structures, etc.
 Conditions of use
When using cement in construction, there is no substitute for good practice and workmanship. It
is always very critical to use the correct materials and measure, and mix the materials properly,
add the correct amount of water and compact, cure and protect the concrete as appropriate.
Concrete and mortar strength is significantly affected by mix constituents and proportions,
ambient temperature and curing conditions. A durable concrete requires adequate cement & a
low water to cement ratio. The cement content must be correct for the application and the water
to cement ratio as low as possible consistent with satisfactory placing, thorough compaction and
effective curing. Hence
 Accurately measure all materials
 Mix thoroughly
 Add water whilst mixing but avoid adding too much water. The more water, the
weaker the concrete will be. It is critical to use the minimum amount of water
required to make the mix workable

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4 The overall processes involved in various operations.

The production of cement takes place with several steps:

 Quarrying of limestone
 Digging the sand
 Digging for clay
 Grinding/crushing
 Blending of components/or proportioning ready for grinding
 Fine grinding
 Burning
 Finish grinding
 Packaging and/or shipping
(1) Raw material quarrying
Mining and quarrying is the activity of removing a solid surface by mechanical means. The main
activities in mining and quarrying operation are:-
 Overburden removal
 Drilling and blasting
 Excavating and loading
 Transport of materials to crushing plant(haulage)
(2) Raw meal production
This process is the production of raw meal by grinding raw materials, majorly limestone,
clay/basalt, and sandstone into fine powder.
The main processes in raw material milling are;-
 Raw materials proportioning
 Grinding
 Homogenizing and storing

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(3) Clinker production process

Clinker is produced by heat treatment of homogenized fine grained raw meal. The overall
process of clinker production is generally termed pyroprocessing.

The main operations in clinker production are:-

 Raw material proportioning

 Pyroprocessing/burning
 Crushing, Transporting and Storing
(4) Cement grinding process
Cement grinding process is one unit process in which the clinker is mixed with gypsum and/ or
pumice and other additions grinding within a cement mill the mills can be made up of roller or
balls the latter consists of a large tube that rotates on itself and that contains steel balls inside.
Thanks to the rotation of the mill, the balls collide with each other, crushing the
clinker and the additions until a fine and homogeneous powder is obtained: the cement. The
cement is stored in silos, separated according to its classes.
(5) Packaging or bulk shipment
The cement is bagged or unloaded in a tanker or truck using bags for transport to deliver
for customers.

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Cement production process flow

Quarry (Lime stone, Basalt, Sand, and Gypsum)

Apron feeder
Crusher station (size Reduction)
Crusher

Lime stone Sand Basalt Gypsum Additives

Lime stone Sand Basalt

Raw mill

Clinker silo Gypsum (pile) Additive (pile)

Raw meal silo

Pre heater
Cement mill

Kiln and cooler

Cement silos

Clinker Crusher

Bulk loading Packing plant

Clinker silo

Shipping department
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Schematic flow diagram of cement production

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5) Organization structure (as per operational requirement)

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Derba Medroc Cement factory is cement production plant based on this there are different
organizational structure to run the factory.

1) Quarry department- main aim is raw material preparations and transporting to next
stations. This department enrolls the raw material preparation and transporting to the
factory.
2) Clinker production department; this department include raw mill stations and Pyro
process or clinkerization or burning this department have the roll of raw material grinding
, raw material burning and clinker producing department and ready the clinker for further
processing section.
3) Finished grinding and dispatch department; this department includes the cement
grinding and cement dispatch to the customer department.
4) Maintenance and planning department; this department enrolls the overall
maintenance of the plant.
5) Human Resource management department; this department is the human resource
planning, human resource development team in the organization and facilitate the need of
the employee.
6) Finance department; this department contributing its job is preparing the cash in and
cash out of the plant, in preparing the salary and payroll system for the employees of the
plant.
7) Quality Department; quality department enrolls the overall production process quality
assured department in the plant.
 All those activity are controlled by this hierarchy
1) Plant Director - Quarry manager
-Clinker manager
- Cement grinding manager
-Maintenance manager
- Human Resource manager
-Finance manager
NB; All department has its own authority hierarchy.

6. Organizational analysis

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1. Strength of the organization ;when I evaluate The strength of Derba medroc cement
 There are variety of cement than the other cement factory; eg, special PPC( SPPC)
is the only cement producing in derba cement factory
 Derba cement factory number one preferable cement in Ethiopia which all
governmental projects are taken from derba cement.
 Derba Medroc cement works many infrastructures like, school, roads and hospitals
for people living nearby the factory.
 Derba medroc cement factory have an experienced employee
 Derba medroc cement always work with Product innovations
 Derba medroc cement workers are ethnic mix, this leads to the best problem solving
 It is still strong even if many new entrant cement factory are emerged.
2. Drawbacks / weaknesses / problems in production / services ;
 Poor management
 Weak organizational structure
 Poor employee handling
 Weak planning
 Poor housekeeping at work place
 Weak in cost minimization works
3. Problems in various processes in different operations.
 There are a lot dust emission in various unit operations which have to be minimized
 Most cement mills are producing below their design capacity which needs to be
optimized.
 Different raw materials are contaminated from yards before they are put into
operation, this leads the factory additional cost or it leads the factor reduce the
quality and needs further rework.
 Some machineries are running in idle without any work, so this need attention to
reduce the cost of electric consumptions and increase the life of the machineries.
4) Threats; the threat of Derba medroc cement is emerging new Entrant cement industries.

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7) Quality assurance in operation management

Quality assurance and production monitoring in the cement industry has a long tradition,
reaching back to the era of product standardization in 1877/78. Then, as now, the applicable
product standard specified the minimum scope of testing necessary to assure the conformity of
the cements produced process is taking from different places in in order to assured the world
wide quality standard as well as country with and organizational standards.

The main aim of a modern plant laboratory are numerous and diverse, must be completed
promptly, and exceed the scope of testing required by the applicable standards.

It is important to understand the difference between the various terms involving the word
quality in order that the concept of Quality Assurance is appreciated.

I. Quality assurance; All the planned and systematic activities implemented within the
Quality System and demonstrated as needed to provide adequate confidence that an entity
will fulfill requirements for quality.

II. Quality; The totality of characteristics of an entity that bear on its ability to satisfy stated
and implied needs.

III. Quality control; Operational techniques and activities that are used to fulfil requirements
for quality.

IV. The objective of quality assurance is therefore to produce a quality product which;
A) Satisfies the customer.
B) Is as economic as possible.
C) Can be achieved in time to meet the deliver requirements.

In our organization we have already deal with the quality assurance in order to produce best
quality cement to our customer that the need is to produce the right quality as economically as
possible.
The objective of the quality assurance is to strike the optimum balance between the cost and

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value of Quality Assurance. So this quality assurance is more familiar and interconnecte with our
products as well.

8 Recommendations

From the overall observance of the factory, from quarry till cement mill, packing and loading, I
would like to recommend the following points:

1) Most unit operation machineries have poor housekeeping –which can reduce
machineries service life, decrease operation rate and affect movement assistant parts like
bearing.
2) The ESP efficiency, the stabilizers are not significantly efficient in case of this the
environment is polluted, disturb the labor activity, increase production cost.
3) For clinker production, there is lot of clinker producing per a day with less quality that
that makes the factory additional rework and incurred a cost.
4) Different types of bricks which are built at different parts of the kiln without
considering the types material composition they made and the heat that can withstand
which leads the bricks weathered within short time.

9 Conclusions

In general Derba Medroc Cement PLC (DMC) is one of the largest cement manufacturers in
Ethiopia with annual capacity of 2.5 million tons of cement. We have a state-of-the-art cement
plant situated 70km north west of Addis Ababa. All our products are manufactured under the
strictest of quality controls as per the Ethiopian Standard. at all levels of the organization, to
consistently manufacture and deliver Clinker, OPC, SPPC and PPC cement products and
services that satisfy stated, generally implied and obligatory requirements of our domestic
as well as overseas customers and other interested parties by establishing and continually
improving a quality management system based on ISO 9001-2015.

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"We envision bringing about

the era of abundance in
cement market at an
affordable price coupled with
dependable customer
services."

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