Visit Summary 26 September, 2005 Manet Tiles Visit Summary 26 September, 2005

Value Added Giving high-quality shape and color to ceramics for decoration and and interior design. High quality means artistic design, “the touch of master’s hand”. The value added is much more than all operational expenses due to artistic value! This is one aspect for possible development of Armenian economy.

Using inexpensive clay. Using artists services. Reasons for Success Using inexpensive clay. Using artists services. Entering the world market by special production, NOT traditionally perfectly flat and “boring” design!

Plant Specificity Looks like experimental production for future serious approach! Order based production. Some diversity of orders: - tiles; - mosaic - use of various Armenian stones; - specific ornamental elements; - specific orders replicating famous artists’ paintings. Again important to note that all these types specify different operational logics.

Plant Specificity The main process is a strait flow. Raw material and end product inventories. Total WIP is not very large. Actually no Setup times. The capacity of the main operation is defined by the capacity of the kiln - speed of the conveyer movement. Requires constant maintenance - need to investigate.

Operation Raw clay storage; Clay grinding; Mixing with water - for uniformity and SEPARATION of hard particles. Extraction of water through filter press; Additional grinding for uniformity, pack for winter; Forming (shaping); Drying; First kiln; Putting colored pattern and glaze - colors are changing during the next process. Second kiln Packaging.

Waste Waste percentage is relatively small - but not very well controlled. Waste comes from cracking due to: - clay non-uniformity, air and water bubbles; - metallic ingredients; - mechanical damage; - temperature non-uniformity; - timing violation. Important to note that all wastes are being associated with extra expense and not only the waste when the material is lost.

Facilities Layout Using the existing facility that is not specifically designed for this kind of production.

Working Conditions Dirt and Dust - connected to the wrong facilities layout and to the fact that the space is not specifically designed for this type of production. How one can wash the machines? Moisture, noise, lighting.

Safety Many violations of safety! Chemical evaporations from the kiln are poisonous! There is also risk for electrical shock. No signs at all!

Working Conditions In order to overcome this situation there should be some regulations preventing safety violations. However this means more investment from the company side. This kind of investment may increase the productivity that will pay back much more than the investment! Infrastructure negative effect!

Development directions Cooperation with other companies involved in interior design. More Marketing effort - shift from order based production to mass production. Involvement of more artists. Adding more capacity, But first of all balancing:

Is this production balanced? Relatively easy to balance!

Value for the Country An example of a very high value adding process. Use of artistic abilities. Examples from Great Britain: - High End Electronics - Design Traditions - … many other.

How to start writing a report? Look at the available information: - Company web site; - Your notes; - Photos. Write your main points in the form of bullets – a plan of report. Than add your comments, remarks, suggestions, calculations or any other observations. Only after this go to Internet, brochures, etc. to illustrate and enrich your ideas.