ICF turns to outsourcing to increase production

V Ayyappan | TNN 

Nov 25, 2009: 

Chennai: In a bid to increase production, the Integral Coach Factory (ICF) in Perambur is all set to go for largescale outsourcing of work in the coming months. 

    The move comes after the ICF’s production increased manifold once some of the non-core work such as production and fixing of berths, seats, backrests, windowpanes, luggage racks and other fixtures in coaches were outsourced to private firms. In April-October 2009, the factory produced 765 coaches, compared to the 680 coaches during the same period last year, an increase of 12.5%. 

    “We were able to achieve high production largely due to outsourcing. Improvement of manufacturing techniques and design also helped. We are in the process of identifying more work that can be given to private firms,” said Hemant Kumar, chief mechanical engineer, ICF. 

    In addition to purchasing components and fixtures from external sources, ICF is also allowing them to bring workers and use its facilities. “Outsourcing has helped us by getting our workers to focus on core production activity such as making bogies and shells and also meeting new orders. The 7,000 workers who are involved in making coaches are not affected because they are moved to other shops when a unit is outsourced,” said Kumar. 

    According to the ICF Karmik Sangh, affiliated to the Bharatiya Railway Mazdoor Sangh (BRMS), around 1,000 contract workers are employed in the factory. B Devanand, deputy general secretary, BRMS, said shop No. 33 where windows were made was closed down while the doors for EMUs and suburban trains in Mumbai produced at shop No. 18 were now being purchased from outside.