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22th Nov. 2012
Press Release - CG Launches Lean Manufacturing Plant

  • Production capacity set at 25,000 units
  • Manufacturing efficiency increased by 70%


Mumbai, November 20, 2012: Crompton Greaves (CG), part of the US$4 bn Avantha Group, recently inaugurated its high-efficiency, low-voltage rotating machines (LVRM) plant at Goa. The new LVRM facility, designed on the lean principle production output, is the first of its kind in the country, and the first just-in-time (JIT) manufacturing line in CG.


Traditionally, processes at motor manufacturing plants operate in insolation on the batch principle to generate bulk output. CG’s new integrated JIT assembly line has a TAKT time of three minutes per motor and a lead time of 130 minutes, which represents a gain of 98% over a batch mode.


The new plant capacity has been set at 10,000 additional units per month. This represents a 66% capacity increase compared to the current production capacity.
In addition, by leveraging best-in-class equipment with advanced technologies, CG is able to introduce flexibility and customization into its product mix to cater to the varying demands of industries like steel, cement, textile, packaging, machine tools, and other similar applications. This LVRM unit will handle a three-phase production of induction motors in frames 80-132 delivering outputs from 0.37-9.3 kW.


Commenting on the quality aspect of the new facility, Anil Raina, EVP and President Industrial Business Unit, said: “CG’s New Manufacturing Line is a strategic intent aiming at global quality standards and functional requirements and is benchmarked against best quality practices. The unit is geared to produce and market world-class IE2 motors for the global market.”


Laurent Demortier, CEO & Managing Director of CG, added: “With this new manufacturing unit, CG is now well-equipped to take on the European and American markets. The motors that will be produced here will meet the most stringent quality standards required to serve the international market. Demand for export motors has increased substantially .We expect to be at full manufacturing capacity by the end of January 2013. I am proud of the work done by the Industrial Business team to set up this first ‘Lean’ plant. The efficiency level reached is at par with best-in-class companies. The benefits of reduced inventories, less floor space, flexibility in product mix, reduced lead and cycle time, and the capability to execute rush orders will enable CG to deliver superior results for its LV motors product line. The unique capabilities of the unit drive synergies in manufacturing and leverage the latest manufacturing technologies, which is CG’s forte.”





CG, part of the US$4 bn Avantha Group, is a global pioneering leader in the management and application of electrical energy. With around 9,500 employees across its operations in 13 countries, CG provides electrical products, systems and services for utilities, power generation, industries, and consumers. The company is organized into four business groups: Power, Automation, Industrial, and Consumer. Nearly, two-thirds of CG`s US$2.4 billion sales accrue from product lines.
For more information on CG, please visit: www.cgglobal.com



About Avantha


The US$ 4 bn Avantha Group is one of India`s leading business conglomerates. Its successful entities include BILT, Crompton Greaves, The Global Green Company, Avantha Power & Infrastructure, Solaris ChemTech Industries, Biltech Building Elements, Salient Business Solutions and Avantha Technologies. With an impressive global footprint, Avantha operates in more than twenty countries, employing over 22,000 people worldwide. The Group has business interests in diverse areas including power transmission and distribution equipment and services, paper and pulp, energy and infrastructure, food processing, farm forestry, insurance,chemicals, IT and ITES. Led by Gautam Thapar, Avantha demonstrates strong leadership globally and emerges as a focused corporate, leveraging its knowledge, leadership and operations, adding lasting value for its stakeholders and investors.


For more information on Avantha, please visit www.avanthagroup.com.



For further information, please contact :


Ms. Paula Sengupta
Global Head - Corp. Comms.
CG (Crompton Greaves Limited)
CG House, 1st floor
Worli, Mumbai 400 030, India

Mrs. Shravani Dang
Group Head - Corporate Communications
Vice President - Avantha Group
5th Floor, Tower C, First India Place,
MG Road
Gurgaon-122002, Haryana, India

T : +91 22 24237842 / 67558771

T : +91 124 4099436



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