CHAPTER I

INTRODUCTION

One of the arising product nowadays is Virgin Coconut Oil, it is one of the edible

oil growing in popularity as a nutritional supplements and functional food in the emerging

functional food market. It is considered to be the newest, high-value coconut product, very

much sought for its human, nutraceutical benefits, as well as a functional food. Its

increasing popularity can be attributed to numerous studies showing its beneficial effects.

Several studies have investigated the pharmacological properties of virgin coconut oil

including anti-inflammatory, analgesic, antipyretic, anti-oxidant, anti-stress, and

antimicrobial properties. (Ravinda Kumar Agarwal, 2017)

The health and nutritional attributes of virgin coconut oil made it popular in

domestic and global vegetable oil market. Currently, the country has its competitive

advantage in terms of production and quality of the product. Increasing number of

producers are into this microenterprise business thus competing with the supply of raw

materials to other traditional coconut products. Due to emerging opportunities from virgin

coconut oil, four major processing technologies were developed by government institutions

and private sectors that are most commonly used by commercial virgin coconut oil

producers. Further modifications were also done by other producers to improve the quality

and oil yield from the different technologies being adopted. These processing technologies

can be differentiated in terms of production capacity and production cost. Moreover, the

quality of virgin coconut oil and yield differ for every process and has its own respective

advantages and limitations. This results in a wide range of pricing of virgin coconut oil

1
products and by-products in the market. At present, with the opportunities and the

constraints of the virgin coconut oil industry, the foremost concern is to comply with the

increasing demand and regulate the production of quality products to maintain the present

position of virgin coconut oil as the highest-priced oil in the world market. (Philippine

Coconut Authority, 2012)

In today’s competitive market, manufacturing industries have to satisfy more

diverse queries from the market, such as widening the product ranges, improving quality

and precise delivery time. Future manufacturing system needs to dynamically reconfigure.

The capability to reconfigure an existing manufacturing system is a key factor to maintain

competitiveness in manufacturing business environment. Business organization invest a

huge amount of capital in assets, may it be tangible or intangible, that are intended to

generate profits for the firm in the course of conducting business assets such as facilities,

equipment, machinery, raw materials, products and services.

This paper focuses on facility planning and design for the production of Virgin

Coconut Oil. Facility planning is concerned with the design, layout, and accommodation

of people, machines and activities of a system or enterprise within a physical spatial

environment. Facility layout design determines how to arrange, locate, and distribute the

equipment and support services in a manufacturing facility to achieve minimization of

overall production time, maximization of operational and arrangement flexibility,

maximization of turnover of work-in-process and factory output in conformance with

production schedules. (Liscabo et.al 2018)

2
Background of the Study

Facility planning is concerned with the design, layout and accommodation of

people, machines and activities of a system or enterprise within a physical spatial

environment. Facility planning is important in a manufacturing industry due to their effect

in achieving an efficient product flow. It is estimated that between 20% - 50% of the total

costs in manufacturing is related to materials handling. This cost cab be reduced until 30%

through an effective facility planning. Proper analysis of facility layout design could

improve the performance of production such as decrease bottleneck rate, minimize material

handling cost, reduces idle time, raise the efficiency and utilization of labor, equipment

and space.

Virgin coconut oil is growing in popularity as functional food oil and the public

awareness of it is increasing. It is expected that virgin coconut oil will experience a

dramatic growth in the market. The introduction of virgin coconut oil has open up new

research that basically reveals new things besides what has already been known on

commercial coconut oil. This paper mainly discusses on some of the findings associated

with virgin coconut oil up to date. Physicochemical properties, antioxidant activity, clinical

and authentication studies of virgin coconut oil were some of the topics addressed in this

review. Coconut oil is extensively used for food and industrial purposes. The oil is rich in

medium chain fatty acids (MCFA) and exhibits good digestibility (Marina et.al 2014).

Various methods have been developed to extract coconut oil, either through dry or wet

processing. Dry processing is the most widely used form of extraction. Clean, ground and

steamed copra is pressed by wedge press, screw press or hydraulic press to obtain coconut

3
oil, which then goes through the refining, bleaching, and deodorizing (RBD) processes.

During the RBD process, heating process is applied specially during deodorization process,

which is carried out at high temperature between 204 and 245°C (O’Brien, 2014).

The copra industry also faced some problems such as contamination by aflatoxinin

copra and cake and presence of high free fatty acids due to high moisture content (Guarte,

Muhlbauer, & Kellert, 2013). Recently, there is a trend towards producing coconut oil

which does not have to go through the RBD process. Rather than going to the normal dry

process, this oil is obtained by wet processing which entails the extraction of the cream

from the fresh coconut milk and consequently breaking the cream emulsion. This process

is more desirable as no chemical or high heat treatment is imposed on the oil. The coconut

oil produced through the wet method is known as virgin coconut oil the term virgin coconut

oil refers to an oil that is obtained from fresh, mature kernel of the coconut by mechanical

or natural means, with or without the use of heat and without undergoing chemical refining

(Villarino, Dy, & Lizada, 2013). Unlike RBD coconut oil which is tailor-made for cooking

purposes, virgin coconut oil is marketed lately as functional oil. Since its first introduction,

virgin coconut oil has captured the attention of vast majority of publics. The beneficial

properties of virgin coconut oil are fast spreading. The availability of virgin coconut oil is

increasing in the market especially in South East Asia involving the Philippine, Thailand,

Indonesia and Malaysia. This paper presents an overview of the current status and recent

trend of ongoing research in virgin coconut oil. Brief explanations on some of the methods

used to produce virgin coconut oil are described. The results of published works on virgin

coconut oil were further reviewed which focused on physicochemical properties,

antioxidant activity and phenolic contents, clinical and authentication studies.

4
Objectives

The overall objective of the study is to design and create a flexible facility layout

that would result into an efficient operation through a properly arranged departments,

equipment and space utilization at the minimum cost and time required to handle goods

within the operation. Especially this aims to: To define and describe a plant in terms of the

following:

1. Benchmark and describe the production process and operations of a company.

a. Name of the firm

b. Brief description of the product

c. Manufacturing process

d. Plant Size and Production Schedule

e. Plant location

f. Plant Layout

g. Work Flow

h. Machineries and Equipment

i. Building and Facilities

j. Materials Handling

k. Storage Requirement

l. Labor Requirements

m. Waste disposal

5
 2. To propose a facilities layout that will

a. Streamline the flow of materials

b. Facilitate smooth flow in the manufacturing process

c. Maintain high turnover of in-process inventory

d. Minimize materials handling and cost

e. Effective utilization of men, equipment and space

f. Make an effective utilization of cubic space

g. Provide for employee convenience, safety and comfort

h. Minimize overall production time

i. Minimize investment in equipment

j. Facilitate the original structure

k. Promote ease of maintenance

Conceptual Framework

The researchers benchmarked all the relevant information of different virgin

coconut oil industries. This will help them to propose an improved facility layout and

design for the production of virgin coconut oil.

6
Figure 1. Conceptual Framework

7
Scope and Delimitation of the Study

This study focuses on designing a facility layout for the production of virgin

coconut oil. In terms of its manufacturing process, plant size and production schedule, plant

location, plant layout, work flow, machineries and equipment, building and facilities, labor

requirements and waste disposal.

The data presented, results and findings of this study is only limited upon the

information the researchers gathered from internet and benchmarks in other virgin coconut

oil facilities.

Significance of the Study

The outcome of this research study is expected to be in great help to the following:

To the Businessman. The result of the study will give ideas and could contribute

continuous improvement to the existing business. It would also give them the idea to start

up business with regards to different uses of coconut or virgin coconut oil in the industry

To the Investor. The study will pave way to learn and have more insight of the

importance and essence of having a good facility.

To the Environment. This study would be in great help to the environment through

encouraging the manufacturing firm to adapt proper waste disposal. That would be helpful

in minimizing pollution and waste to the environment. And encourage also the people to

plant more coconut trees and other kinds of trees to save and protect our Mother Earth.

To the Community. This study will provide insights to the community on different

prospective business ideas in facilitating their plans in venturing a business and motivate

8
them in utilizing their available resources. This study would be in great help to the

community. In operating such business it will require manpower to make it possible, they

could offer a job to the people in the community.

To the School. This study would help the school environment in developing the

learner’s utmost potentialities with necessary equipment towards the attainment of its goal.

To the Researchers. This study focuses on developing an effective and efficient

facility layout, this study will serve as training ground wherein all their knowledge obtained

from class discussion can be applied.

To the other Researchers. All the data, information and findings gathered from

this study can be utilized for further study, improvement, and researches, and also for future

applications.

Definition of Terms

Concepts and definitions used in the study.

Virgin Coconut Oil. Is the oil extracted from coconuts without the application of heat.

Kernel. A softer, usually edible part of a nut, seed, or fruit stone contained within its hard

shell.

Benchmark. To study something, such as a competitor's product or business practices in

order to improve the performance of one's own company

Destabilization. To destabilize something is to undermine it, or to make it much less

stable. Seeming uncertain or confused can destabilize a teacher's ability to control a class

9
Aflatoxin. Any of a class of toxic compounds that are produced by certain molds found in

food, and can cause liver damage and cancer.

Material Handling. The movement, protection, storage and control of materials and

products throughout manufacturing, warehousing, distribution, consumption and disposal.

Extraction. The action of extracting something, especially using effort or force, the ethnic

origin of someone's family.

Demulsification. The breaking of a crude oil emulsion into oil and water phases.

10
 CHAPTER II

METHODOLOGY

This chapter presents the discussion of the different methods and procedures used

to address the objective. This includes the research design, research locale and instruments,

data gathering procedure, the principles used for the proposed facility layout.

Research Design

This study will utilizes the meta-analytic method of research since the study

involves critical evaluation of materials by organizing, integrating and evaluating, such

materials to create a facility layout and design of the virgin coconut oil taking into

consideration the processes involved and types of material handling that will help to

produce an effective and productive facility of virgin coconut oil.

Research Locale

The geographical site wherein the researchers plan to build the facility layout of

virgin coconut oil at Brgy. Makinhas Baybay, Leyte

Figure 2. Location of the Facility

11
Research Instruments

The researchers used the internet in conducting this study. The information

gathered concerns the production process of virgin coconut oil, different types of

equipment and material handling that will be used in the facility, classification of raw

materials used, and the facility layout of the product.

The content of the research instrument was based on the learning of the researcher

during the class discussion of the theories and all the necessary information that are needed

in conducting this study.

Data Gathering Procedure

The researchers first choose a product to be a subject for this study. The product

they have chosen is virgin coconut oil, after searching all the articles and videos from the

internet about the subject. The next procedures are shown below:

1. Search for a company or manufacturing firm of virgin coconut oil in the

internet.

2. Enlist those prospect companies.

3. Choose a company that has a detailed and informative information in the

production process, equipment and material handling used in the production.

4. Observe and study all the process involve in the production, identify the

machine and equipment used in the production, examine the facility layout, and

determine the practices or behavior of the employee in the production.

12
Principles used for the Proposed Facility Layout`

The researcher used the following principles to provide an ideal relationship

between raw material, equipment, manpower and final product at minimal cost under safe

and comfortable working environment. Therefore, these principles will be a guide to

achieve the main objective of the facility layout planning were to design effective workflow

as to make equipment and workers more productive. These principles are:

1. Principle of Material Handling.

Planning Principle. Plan all materials handling and storage activities to obtain

maximum overall operating efficiency.

System Principle. Integrates as many handling activities as is practical into a

coordinated system of operations, covering vendor, receiving storage, production,

inspection, packaging, warehousing, shipping, transportation and customer.

Material Flow Principle. Provide an operation sequence and equipment layout

optimizing materials flow.

Simplification Principle. Simply materials handling by reducing, eliminating or

combining unnecessary movement and or equipment.

Utilization Principle. Plan for optimum utilization of handling equipment and

manpower.

Maintenance Principle. Plan for preventive maintenance and scheduled repairs of all

handling equipment.

13
 Capacity Principle. Use handling equipment to help achieve desired production

capacity.

Performance Principle. Determine effectiveness of handling performance in terms of

expense per unit handled.

Safety Principle. Provide suitable methods and equipment for safe handling.

2. Principle of Good Manufacturing Practices. The practices required in order to conform

guidelines recommended by agencies that control the authorization and licensing

manufacturer and sale of food and beverage and other products.

3. Principle of Methods Engineering. Analysis and design of work methods and systems,

including the tooling, equipment, technologies, workplace layout, plant layout, work

environment and human capital management.

4. Principle of Motion Economy. Form a set of rules and suggestions to improve the

manual work in manufacturing and reduce fatigue and unnecessary movements by the

worker, which can lead to the reduction in the work related trauma.

5. Principle of Ergonomics. Human capabilities and limitations must be recognized and

respected in the design of material handling tasks and equipment to ensure safe and

effective operations

6. Principle of 5’S. Describes how to organize a work space for efficiency and

effectiveness by identifying and storing the items used, maintaining the area and items,

and sustaining the new order. The decision-making process usually comes from a

dialogue about standardization, which builds understanding among employees of how

they should do the work.

14
7. Principle of OSHA Regulations. Standards that provides information on the rulemaking

process used to develop workplace health and safety.

8. Principle of Bureau of Working Condition. Responsible for the formulation of policies

and laws relating to working conditions and the working environment, with the aim of

ensuring compliance with labor standards.

9. Principle of ISO Standard. Creates documents that provide requirements,

specifications, guidelines or characteristics that can be used consistently to ensure that

materials, products, processes and services are fit for their purpose.

10. Principle of Work Simplification. The conscious seeking of the simplest, easiest, and

quickest method of doing work. It is accomplishing more tasks within a given amount

of time. Improvement in doing a piece of work can be made.

11. Principle of Activity Relationship Diagram. An activity relationship chart is a tabular

means of displaying the closeness rating among all pairs of activities or departments.

In an ARC there are six closeness ratings which may be assigned to each pair of

departments, as well as nine reasons for those ratings

12. Principle of Basic Types of Layout. There are four basic layout types: process, product,

hybrid, and fixed position. In this section we look at the basic characteristics of each of

these types. Then we examine the details of designing some of the main types.

15
 CHAPTER III

BENCHMARKING

Name of the Firm

The researchers used three different companies as a guide in planning and designing

a facility for virgin coconut oil.

First company, is a manufacturer proven healthy products in an environmentally

friendly way combined with great social consideration for all involved parties. Both the

environmental concern and social consideration are genuinely rooted in the company. They

have a very strong sense of quality, together with organizational skills and discipline.

Although a dominating Filipino ownership they operate under European management.

The company is expecting that production will increase significantly in the coming

years. Their ambition is to secure the company’s development as one of the Philippines’

leading quality producers of Virgin Coconut Oil. Most of the growth is expected to come

from new plants, to be built in strategic locations close to where the raw material grows –

rather than full sized factories far away. Something that is better for both people and the

environment.

Next, is a government recognized export company, with a global market share in

excess of 40%, commanding an enviable export market in Malaysia, Sri Lanka, Indonesia,

Brazil, Philippines and Samoa Islands. It is a leading manufacturer and Coconut processing

with the expertise to supply customized processing equipment for Desiccated coconut,

Virgin Coconut Oil and Copra. Over the years, the group has launched many innovative

products and value additions for the coconut industry, as well as Customized Drying

16
Solutions for the food and chemical industries. Today its reputation and goodwill has taken

the company to all coconut producing countries around the world.

Lastly, is a virgin coconut oil manufacturing and exporting company in Sri Lanka.

Foot print begin with local supplying and expanding their customer base by exporting with

extending the value of the product. This is 100% assuring the quality of the product and it's

confirming with certification of ISO 22000.

The researchers found out that the benchmarked companies have different methods

in making the product. There are benchmarked companies used the modern method in the

production and there are still using the manual method in the production of the product.

Each method has its advantage and disadvantage from the others that can enhance the

effectivity and efficiency of the production.

Brief Description of the Product

The three companies used by researchers as a guide for this study are using a cold

pressed process in the production of virgin coconut oil. In the production, only the mature

coconuts which are 12 to 13 months old is are selected because these have the highest oil

content and the lowest moisture content.

Cold extraction is the term used for the extraction of coconut oil from coconut milk

by breaking the emulsion without heating. The high stability of the coconut milk emulsion

need the destabilization of coconut milk which can be done in three stages. In the first stage

cream is separated by the action of gravitational force resulting in two phases, the top phase

with the creamy layer and the down phase with aqueous layer. The second stage is

17
flocculation and clustering in which the oil phase moves as a group and which does not

involve the rupture of the interfacial film that normally surrounds. The third phase is most

critical phase in the destabilization of coconut milk, combination in this stage the interfacial

areas is broke and reduce that help to joined oil drops together. This method appears more

desirable due to elimination of solvent and refining, bleaching and deodorizing process,

which reportedly may lower the investment cost and energy requirements, thus more

environmentally friendly than the solvent extraction. Therefore, it can be carried out at

home by anyone who is interested in producing their own natural oil. Even though the

concept appears potentially attractive, however, the method yields comparatively low

content of oil, which has discouraged its commercial use. Cold extraction processes

reviewed and presented under the following heads.

First is the Chilling, Freezing and Thawing Method this is the stability of coconut

milk emulsion in this process is broken by chilling, freezing and thawing, and thawed

cream separated by centrifugation. The emulsion was centrifuged before chilling and

thawing to allow better packing of the coconut oil globules.used the temperature 10°C and-

4°C for chilling and freezing process, respectively, and the thawing process was carried

out in a water bath at 40°C until the coconut cream reached room temperature (25°C). In

addition, this action also helps in removing un-dissolved solids after extraction. The

removal of solids present in high percentages in the dispersion of oil seed was important

for efficient recovery of oil by centrifugation. The centrifugation step was followed to

enable the packing of cream oil globule to crystallize on lowering the temperature.

Centrifugation process as carried out from 2000 to 5000rpm up to 6min. During thawing,

the oil coalesced due to loss of spherical shape and formed large droplets of varying sizes.

18
 Second, Centrifugation Method This is the extraction of VCO was studied by using

various centrifugation speeds, temperature and time intervals. The results showed that the

yield of VCO was 13.53% at 12000rpm, at 120minutes. The highest yield of VCO was

13.80% at centrifugation temperature of 40°C. studied the potential of the centrifugation

in demulsification of coconut milk that was collected from local market and centrifuge at

different speed from 6000 to 12000rpm for time varied from 30 to 105min, resulting that

enhanced the demulsification of coconut milk in a very short time compare to the

fermentation method and provide higher yield.

Third is Fermentation Method is also a well-known method in cold process for the

extraction of virgin coconut oil from the coconut milk.16 investigated the fermentation

method to extract virgin coconut oil by inoculating the pure culture of probiotic bacteria

(Lactobacillus plantarum 1041 IAM) in different ratio of coconut kernel to water (1:1 to

1:3) at different temperature (30 to 70°C) and time (2-6h).17 The results revealed that

inoculums assisted in the rapid breakage of emulsion and the release of 95% of the oil due

to the virulence of a Lactobacillus plantarumstrain in coconut milk compared to

Lactobacillus delbrueckii inoculums.

`Lastly, Aqueous Enzymatic Extraction Method, virgin coconut oil extraction can

also be carried out by the use of enzymes in the aqueous extraction process. Extracted

coconut oil by an action of mixture of enzymes including Cellules, Term amyl

(endoamylase), Viscozyme L, neutrase and alcalase (protease) on fresh coconut kernel

through coconut milk that yielded 83% of good quality oil.

19
 Augmented the yield of coconut oil up to 65.5% from copra by using a mixture of

protease, α-amylase, cellulase, hemicellulase and pectinase enzymes in an aqueous system.

Reported that extraction of coconut oil from the freshly grated coconut kernel using a

commercial the gamanase enzyme. Used a 2% mixture of hemicellulase, pectinase,

cellulase and gamanase enzyme that yielded 84% of oil from the desiccated coconut kernel.

(Agarwal RK, Bosco SJD, 2017)

The fatty acid profile of virgin coconut oil is greatly dependent on the coconut

variety. Studies done by the Philippine Coconut Authority (PCA) Zamboanga Research

Centre, revealed that coconut hybrid varieties have a higher lauric fatty acid content (above

50%) than local tall varieties.

Table 1. Virgin Coconut Oil Property Requirements

Properties Specification
Moisture and volatile content 0.20% max.
Free fatty acids (expressed as lauric acid) 0.20% max.
Peroxide Value 3.0 meq/kg oil max.
Food additives None permitted
Contaminants
0.20% max.
Matter volatile at 105
Heavy Metal Mg/kg max.
Iron (Fe) 5.0
Copper (Cu) 0.40
Lead (Pb) 0.10
Arsenic (As) 0.10

20
In the absence of a laboratory analysis report, the quality of virgin coconut oil can be

assessed through sensory evalauation by testing the following attributes:

1. Color. Virgin coconut oil has a clear water appearance. Based on the studies done

under the Philippines/UK Aflatoxin Reduction in Copra Project, the color of the oil is

either brought about by contaminants in the oil, or by high temperature processing and

microbial contamination of the coconut meat prior to oil extraction. Depending on the

type of micro-organisms that cause the contamination, the oil color can appear yellow

or pink or red-orange.

2. Aroma. A good quality virgin coconut oil does not have any rancid smell. It has a

sweet coconut aroma which may range from mild to intense depending on the process

used for extraction.

3. Taste. A good quality virgin coconut oil should not have off-flavors or sour taste. It

should not cause any itchiness in the throat when ingested as this is an indication that

free fatty acid content is already higher than the prescribed standard.

The major inedible use of virgin coconut oil is as raw material in the manufacturer

of laundry and bath soaps; as coconut chemicals for production of biodegradable

detergents, shampoos, shower gels and other cleaning agents; for cosmetics and toiletries;

for foam boosting of non-coconut oil based soaps; for the production of synthetic resins

and plasticisers for plastic etc.

With the advent of energy crisis 1970s, the use of virgin coconut oil and coconut

oi;-delivered coco methyl ester have been successfully used as a diesel fuel substitute. At

21
present, coco methyl ester is being used in the Philippines as a fuel additive or fuel enhancer

for diesel (up to 5% blend) to support the Clean Air Act of the country. It has been proven

by several studies that the addition of coco methyl ester in diesel fuel substantially reduces

smoke emission and nitrous oxide formation.

Manufacturing Process

The researchers combined the manufacturing process of the three companies, the

method they used in manufacturing of virgin coconut oil is cold pressed centrifuge method.

The process shown below has no capacity and duration in every process because the

information was constructed from the videos on You Tube.

22
 Figure 3. Process of Virgin Coconut Oil Using Cold Pressed Centrifuge Method

The researchers found out that coconut husk delivered from the supplier to the

company is okay and safe to use for the production of virgin coconut oil. To secure the

safety of coconut the company used forklift in unloading the raw materials from the truck

to the storage.

One of the benchmarked companies do not have appropriate PPE available for the

workers. Wearing PPE is a must in the production because it is an important aspect in

ensuring safety in food manufacturing plant. As food handling safety tools, they provide a

barrier between the contributing factors and the workers. This is crucial in the food

processing industry where most operations are done by hand. The PPE for food industry

are:

23
 Hair Cover. Hair restraint is necessary to prevent hair from falling into the products.

Any packaged food product contaminated by hair is unacceptable to customers. A

clean cover also acts as a barrier preventing microbial contamination of hands after

touching the hair.

 Face Masks. Mask must cover the nose and mouth while handling coconut milk,

harvesting the separated oil from the fermentation process and during packaging. A

mask serves as a barrier to workers touching their nose and mouth to prevent microbial

contamination.

 Apron and Uniform. Wearing an apron and uniform has a psychological effect on plant

personnel about being conscious pf maintaining cleanliness at all times in the

processing area. Aprons and uniforms should be white or light colored so that dirt can

be easily seen.

 Footwear. Specific footwear should be worn only inside the processing area. Plant

personnel should change footwear when going inside the production area, and again

when re-entering. Street shoes should never be worn inside the processing area.

 Latex or Plastic Gloves. Gloves should be worn when handling coconut water and the

by-product vinegar, to prevent future contamination of the oil and burning of the skin.

Plant Size and Production Schedule

The benchmark company operates 254 days per year and there operations start on

8 AM to 5 PM. The benchmark company operates 8 hours per day from Monday to Friday.

The employees has two 15-minute break a day; one in the morning and one in the afternoon

and they have 1 hour of lunch break. And every Sunday is their day off.

24
 According to the videos watched by the researchers from You Tube, the benchmark

company consumed 2, 500 coconuts in every production of virgin coconut oil. From the

video also, the benchmark company did not specified the number of bottles they produced

in every production.

Plant location

The researchers found the location of the benchmark company from the

internet and it is located at No. 4-A, Auckland Square, Elgin, Kolkata, West Bengal

700017, India.

Figure 3. Plant Location of Benchmark Company

25
 The researchers observed that the benchmarked companies has different locations.

One of the plant location of benchmarked companies is located to the city which is near to

the customers and investors while the other companies is far from the city where he cannot

easily distribute his finished product but it is near to the supplier of raw materials and

source of water. The important factors of plant location is it should be accessible both from

customers and suppliers. Moreover, It is also important that it is near from the supply of

water and power supply.

Plant Layout

The researchers based the plant layout of the benchmark company from the video

they watched from YouTube. Therefore, there is no dimensions of the areas within facility

and there is no total area of benchmarked company illustrated layout in Figure. 4. During

the observation the researchers observed that the physical arrangement of the machines are

not arranged according to the sequence of the operation because of lack of space and the

benchmarked companies do not utilized properly the space in the facility because there is

no designated place for every machines and materials.

In order to attain the best design for the plant layout of the company the researchers

will use an Activity Relationship Diagram too easily to identify the relationship of each

area within the facility.

26
Figure 4. Plant Layout of Benchmark Company

27
Work Flow

The researchers based the workflow from all the combined videos of benchmark

companies in You Tube. The workflow of benchmark companies is start from harvesting

the coconut from the farm. After harvesting the coconuts will be deliver to the facility to

start the production of coconut oil. When production is done the Quality Control Officer

will check the moisture level of virgin coconut oil after checking the product is now ready

for packaging. Thereafter, the finished products will be transfer to the storage and it is now

ready for distribution.

28
 Figure 5. Work Flow of Benchmark Company

The researchers observed that the benchmarked companies has a synchronized flow

of operation from raw materials to the final distribution of the product. This will help the

company to minimize and eliminate the idleness and delay in the production and improve

the production rate of the operation.

Machineries and Equipment

Machines and Equipment Specifications

1. Coconut Drilling Model: ERD-FF-32

Weight: 100 kg

Voltage: 220V

29
 Dimensions: 1600 x 650 x 520 mm

Material: Stainless Steel

Capacity: 300 pieces per hour

Operational Requirements: Drilling Cast Iron

& Spindle Nose

2. De-shelling Machine Model: CDM

Weight: 80 kg

Voltage: 220 V

Dimensions: 700L x 650W x 1200H mm

Material: Stainless Steel

Capacity: 500 pieces per hour

3. Screw Conveyor with High Pressure Type: Screw

Nozzle Weight: 50kg

Voltage: 220V

Dimensions: 5*2*4m

Material: Stainless Steel

Capacity: 2.5 tons per hour

4. Power Grinder Weight: 50kg

Voltage: 220V

Dimensions: 700*500*1010m

Material: Stainless Steel

Capacity: 500 pieces per hour

30
5. Hydraulic Press Brand name: HDC

Weight: 160 kg

Voltage: None

Dimensions: 1200*500*600m

Material: Stainless Steel

Capacity: 600 sets per month

6. Milk Extractor Type: Juicer

Model: QW-LZ-1.5B

Weight: 300kg

Voltage: 220 V

Dimensions: 1560*450*1340mm

Material: Stainless Steel

Capacity: 1000 kg/hr.

7. Centrifugal Machine Type: Centrifuge

Weight: 1150kg

Voltage: 380V

Dimensions: 2300×750×1100

Material: Stainless Steel

Capacity: 1000 L

8. Filtering Machine Type: Cold & Hot Pressing Machine

Model: 6LB-350

Weight: 500kg

Voltage: 380V

31
 Dimensions: 1300*700*1000MM

Material: Stainless Steel

Capacity: 200 kg/hr.

Table 2. Machineries and Equipment of Benchmark Company

The researchers observed that there is a benchmarked company that do not have

automated operated machines in the production and the machines they are using are

harmful and prone to injuries and accidents for the workers. In order to minimize and

eliminate this accidents and injuries to occur the company must adapt the automated

machines in the operation to have a safe and clean finished products and this will help to

lessen the stress from the work for the workers.

Building and Facilities

The researchers used three different companies as a benchmarked for this study.

All of the buildings and facilities are made from concrete and it is far from companies who

produced chemicals products and used chemicals products in the production.

For the ventilation within the facility, one of the company used air zone generator which

is a professional high powered ozone generator designed for high ozone shock treatments

in unoccupied areas to combat strong odors and killing mold spores, mildew and bacteria.

They work great in larger basements, crawl spaces, dry cleaners, trash/dumpster rooms,

crime scene clean up and flood or fire restoration applications. However, the two other

benchmark companies used an air conditioner and industrial exhaust fan for the ventilation

of facility.

32
For the illumination, all of the benchmark company has good source of light which is

fluorescent and incandescent bulb which are adequate to help the workers to do their job

well.

For the sanitation in the facility, the two benchmark companies follow the appropriate

Good Manufacturing Practices (GMP) for food industry where they have disinfectant room

for the workers, they provide the apron, gloves and mask which are necessary in the

operation and they also provide a training for the employees about GMP in order to give

knowledge and skills for the workers about the standard and rules about the safety and

health practices in food industry.

However, the researchers found out that one of the benchmark company

disinfecting room is unorganized, the workstation for de-shelling is not safe and

ergonomically design, there is no designated place for the workers to have some rest, the

water used in the disinfectant room for foot bath is not hygienic because the company do

not maintain replacing the water from time to time.

In food industry it is important to maintain the cleanliness of all premises and the workers

also should be clean. The Rather using a pool of water to wash the feet. Use a disposable

cover machine shoe, to cover the shoes and to minimize the germs entering the facility.

The design of the workstation should be classified according to task or job of the worker

in a specific workstation. This includes the type of materials used, how often the worker

stand or bend, what is the physical properties of the raw materials or product and how long

is his/her working hours. Thereafter, there should be a place or area that the worker can

rest. These areas can be in the locker or there is an employee lounge in the facility area.

33
Materials Handling

Material Handling Specification

1. Loading Conveyor Type: Flexible Conveyor

Weight: 200 kg

Voltage: 225V

Dimensions: 20x40 ft.

Material: Roller Type

Capacity: 200 to 300 kg

2. Screw Conveyor Type: Screw

Model: GX160

Weight: 500kg

Voltage: 380 -460 V

Dimensions: Customized

Material: Stainless Steel

Capacity: 500 kg to 120 tons per hour

3. Fork Lift Type: Powered Pallet Truck

Power source: Diesel Engine

Capacity: 16000 kg/ 16 tons

Max. Lifting height : 4.870 m

Min. Lifting height:2.440 m

Table 3. Material Handling of Benchmark Company

34
Storage Requirements

All of the benchmark companies has separate storage for raw materials and finished

products. There storage for raw materials are located outside of the facility where there is

no roof. While there storage for finished products is located inside the facility. However,

the researchers observe that even though there is a separate storage for raw materials and

finished products it is not enough to store the capacity of raw materials consumed by the

company in every production. In order to avoid this kind of problem the company should

base the number of coconuts he/she consumed in every production to have enough space

for the storage of raw materials and finished products. The storage for raw materials should

be located near to the production area for its easy access during the operation and for the

finished products it should be locating near to the dispatching area to minimize the

materials handling costs.

Labor Requirements

The researchers based the number of employees from the video they watched from

YouTube. Most of the benchmark companies have 12 workers for the production area, 3

employees from the admin, and 1 quality control. However, some workers from the

benchmark had multiple jobs and task in the production of virgin coconut oil.

Waste Disposal

The benchmark companies have the similar wastes in the production of virgin

coconut oil and these are coconut husk, coconut brown shell, coconut ground meat, coconut

water, and coconut milk.

35
 For the coconut husk and coconut brown shell are utilized as a raw materials for a

new product like charcoal, furniture and other products made from coconut.

 For coconut ground meat, the benchmark give the coconut ground meat to the

community who used it as a feeds or food for their poultry and livestock business.

 For coconut water it is used as a coconut juice, it also used in making Nata de Coco

and in making vinegar.

 For coconut milk is used in making skincare products such as shampoo and cream.

36
 CHAPTER IV

DESIGN OF FACILITY LAYOUT

This chapter contains the proposed and improved facilities of the researcher in their

facility plan. It is base from the data collected through benchmark in the different steel

manufacturing firm. It includes the name of the firm, brief description of the product,

manufacturing process, plant size, plant schedule, plant layout, work flow, machineries,

equipment, building facilities, labours requirements and waste disposal

Name of the Firm

The name of the firm will be called KAV Oil is a company engaged in the

production of virgin coconut oil. KAV represents the names of the researchers.

Brief Description of the Product

For the proposed virgin coconut oil production, we also use the mature coconuts

only which is 12 months old because these have the highest oil content and the lowest

moisture content. The method used for the proposed production is the fresh-wet process. It

extracts the coconut milk from fresh coconut meat without drying or heating and then by

using a centrifuge system the oil is further separated from other remaining liquids to

produce virgin coconut oil in its most natural form. It is also low in polyunsaturated fatty

acids (PFAs) compared to oils such as soy and groundnut oils. The important reason why

it is been done through fresh wet process because helps to minimize and dispose the waste

in the production of virgin coconut oil and it has less number of process and it’s easy to

integrate the process from one another.

37
 One production of virgin coconut oil is last for 3 days. In every production, it

consumes 2,500 of coconuts and these coconuts is from different suppliers within the

region. There are 2 coconuts in every 1 kg of kernel and for 1 liter of virgin coconut oil it

requires 15 fully mature coconuts. The target output in every production is 145 to 166.67

liters.

Product Description

Virgin coconut oil is obtained by pressing the fresh meat of the coconut. It is

extracted by a mechanical process without chemical changes. The oil remains in its most

natural form. In this form it retains the smell and taste of coconut as well as its high content

of vitamin-E, minerals and healthy medium chain fatty acids. Virgin coconut oil has no

trans-fatty acids and has a high level of lauric acids (about 50%). Virgin coconut oil can be

used as a spread, a cooking oil and food ingredient. While this factsheet only covers the

food market, virgin coconut oil is also used in the cosmetics industry.

Quality

Virgin coconut oil is derived from the fresh and mature kernel (flesh) of the

coconut. The coconut must be at the right ripeness (partially or completely brown) and free

from metals, dirt and other foreign material before it is processed. The oil should be

colourless, sediment free, with natural fresh coconut scent and free from rancid odours or

tastes. Good quality virgin coconut oil should taste and smell like coconut and should easily

melt. Buyers will look at two main factors to determine the quality of your product: 1)

moisture content, which should not exceed 0.5%; 2) lauric acid content, which should range

38
between 45 and 50%. The oil is ideally produced within 72 hours after harvesting in order

to safeguard freshness. Quality is highest if the oil is extracted from the first pressing of

the coconut. Virgin coconut oil can also be centrifuged at 8,000 rpm to separate the oil

from any left-over solids and to increase the quality of your product. Storage is also crucial

to keep high quality. Virgin coconut oil should be stored at room temperature and protected

from light.

Packaging and Labelling

In packaging, the virgin coconut oil will be put on a 500 ml glass bottle to secure

its quality. For labelling it include the following for:

1. Product name: Virgin Coconut Oil

2. Batch code

3. Whether or not the product is destined for use in food products

4. Declaration of allergenic substances

5. Name and address of exporter

6. Best-before date

7. Net weight

8. Recommended storage conditions

Manufacturing Process

The benchmarked industries are using Cold Presses Extraction which the oil from

the coconut meat is mechanically pressed at temperatures not exceeding 120 degrees

Fahrenheit, to preserve its healthful benefits. Pure cold-pressed coconut oil is also not

39
refined, processed or deodorized. Whereas, the proposed method used in the production of

virgin coconut oil is Fresh Wet Process this method primarily involves obtaining the meat

of fresh coconuts. The meat is then washed, blanched, crushed, and mechanically pressed

so that the coconut cream can be separated from the solid parts. After the cream is extracted,

it is made to run in high-speed centrifuges to separate the oil. The resulting virgin coconut

oil is the freshest and purest variety.

Duration No. Produce

Process Description
(in minutes )
It is done to remove the shell of
Deshelling the coconut. This is done 1 minute 5 pieces
without breaking the kernel.
From removing the shell
through chain conveyor
Splitting coconut slice and a half same as 60 minutes 300 pieces
removing its coconut water in
the process.
Washing the kernel meat
through a conveyor with high
Washing pressure nuzzle attached to a 10 minutes 25 kilos
screw conveying machine from
splitting.
Removing the brown skin of the
Paring 60 minutes 300
kernel.
Shredding the meat into tiny
Grating 60 minutes 300 pieces
sizes
Shredded coconuts are put into
Milk Extraction a milk extractor (screw press/ 60 minutes 500 Liters
hydraulic press) and coconut

40
 milk oozes out of the extractor.
Extracted milk is collected in
collecting vessels. Extracted
coconut milk is then filtered to
remove if any solids are present.
Residue obtained after
extraction is dried in an oven
and packed a defatted
desiccated coconut.
This process is used to separate
two immiscible substances.
Coconut milk is the natural oil
in water emulsion. After
centrifugation, oil and skim
milk is separated. Coconut oil is
Centrifugation and
separated from coconut milk. 60 minutes 500 Liters
Filtration
And filtration, is the oil is
passed through the filter and
packed in consumer packs.
Vacuum dehydration of oils
will remove the excess moisture
present in oils.
This process is to transfer and
store the oil after the process;
Dispensing 1hr 5 liters
getting ready the oil for the next
step of the operation
The oil produced is being tested
Checking/Testing if it meets the Standard and 1 minute 1 ounce
desired level.
Putting the virgin coconut oil in
Bottling 2-3 minutes 1 bottle
the bottle.

41
 After bottling, the product will
be transfer to the examination
room to examine the product for
Examining
15 days if there is occurrence of
spoil and contamination to the
virgin coconut oil
Sealing the bottles and putting
Packaging them in a box and ready for 5 minutes 12 bottles
distribution.

Table 4. Manufacturing Process Using Fresh Wet Extract

Plant Size and Production Schedule

The facility operates 318 days per year and there are 1 shift of work which each

shift last for 8 hours. The facility operates 10 hours per day due to the demand of the virgin

coconut oil in the market. The production operates from 7 AM to 6:30 PM. The employees

has two 15-minute break a day; one in the morning and one in the afternoon and they have

1 hour of lunch break. And every Sunday is their day off.

The minimum rated of the production is 300 bottles per production and the

maximum rated is 350 bottles per production. The average consumption of raw materials

which coconut is 2500 of coconuts per production.

Plant Location

The location of facility is at Brgy. Makinhas Baybay Leyte this is located near to

the town proper of Baybay City. The researchers choose this location because it is suitable

and it is near to the supplier of raw materials which are from Abuyog, Maasin and other

42
parts of Leyte were the raw materials which is coconut can be easily delivered to the plant

within one day after de-husking. This location is away from materials or facilities where

strong odors can arise. It’s easy to distribute the finished products, since it can transport

through land and water. For the land the management can use the route for Baybay to

Tacloban, Baybay to Maasin and to any part of the region VIII while for the water the

management can use the route for Baybay to Cebu, and we can also travel through Hilongos

to Cebu and Ormoc to Cebu.

Figure 9. Plant Location for Virgin Coconut Oil

Plant Layout

In designing the plant layout for virgin coconut oil production, the researchers

used the activity relationship diagram to help them to design and allocate the appropriate

location for the different areas in the facility.

43
Activity Relationship Diagram

The activity relationship diagram, also called an affinity analysis diagram, shows

the relationship of every department, office, or service area with every other department

and area. The activity relationship diagram for KAV Oil is shown below:

Figure 10. Activity Relationship Diagram

44
Result of Activity Relationship Diagram

Closeness Codes:
A - Absolutely Necessary That These 2 Department Be Next To Each Other
E - Especially Important
I - Important
O - Ordinary Importance
U - Unimportant
X – Closeness Undesirable
N= Number of Work Relationships
N= Number of Departments
N= N (N-1) = 15(15-1) = 210/2
2 2
N = 105 Total Number of Relationships
Reason code Reasons
1 For better flow
2 All material moves between these two
departments
3 People movement

Dimensionless Diagram Contents

A’s Raw Material Storage to Parking Area
Raw Material Storage to Production Area
Electrical Room to Production Area
Scheming and Quality Testing Area to
Bottling Area
Bottling Area to Packaging Area
Clinic to Admin

45
E’s Component Storage to Fire Exit
Disinfection Room to Fire Exit
Electrical Room to Fire Exit
Parking Area to Fire Exits
Bottling Area to Fire Exit
Packaging Area to Fire Exit
Locker Area to Fire Exit
Scheming & quality testing room to Fire
Exit
Production Area to Fire Exit
Production Area to Clinic
Clinic to Parking Area
X’s CR1-CR2
CR1- Raw material Storage
CR1- Scheming & Quality Testing Room
CR1- Production Area
CR2- Administration
CR2- Production Area
Raw Material Storage to Disinfection
Room
Disinfection Room to Electrical Room
Disinfection Room to Packaging Area
Disinfection Room to Production Area
Bottling Area to Locker Area
Packaging Area to Production Area
Locker Area to Scheming and Quality
Testing Room

Table 5. Results of Activity Relationship Diagram

46
Figure 11. Plant Layout for Virgin Coconut Oil

47
Work Flow

This is the workflow diagram of KAV Oil, the first step is when the raw materials

which are coconuts arrived from the suppliers it will be transfer to the storage area. When

the production starts, the coconut will be transfer to the de-shelling machine until it goes

to filler dispenser. After dispensing it will be move to the examination room to be examine

by the Quality Control Officer and after few days it will move to the bottling storage for

the packaging and labelling finished product which is the virgin coconut oil. Once it is

ready for distribution the Admin Staff will have an inventory to the total number of bottles

produced. After checking it is now ready for distribution.

48
Figure 12. KAV Oil Workflow

49
Machineries and Equipment

Type: Stripper
Coconut Shell Remover
Dimension: .8mx.6mx1m
Weight: 60kg voltage: 380V
Power: 1.1kw
Speed: 1400r/min
Peeling Speed: 5-10shell/pc.head
Working Head: 2 pcs
Working Person: Two shifts 2 person per shift
Material: 304 stainless steel

Supply Ability: 600 set/Set per month

Type: Cutter

Power: 2.2KW
Coconut Splitting Machine
Voltage:220

Weight: 400KG

Dimension: 3300*820*2500mm

Production capacity:800--1000pcs/h

Matched Power:2.2KW

Supply Ability:20 Set/Sets per Month

50
 Type: Stripper
Coconut Paring Machine
No. of machine Used:2

Power: 5.5KW

Weight:550kg

Final product: 3-5mm

Voltage:220/380

Dimensions: 650*550*1220mm

Material: SS

Production capacity:600-1200pcs/hr

Supply Ability:100set/set /week

Type: Cutter

Knife: 2

Power: 0.75kw
Coconut Grating Machine
Weight: 50kg

Voltage: 220V

Dimensions: 700*500*1010m

Material: Stainless Steel

Production capacity: 150kg/H or 360pcs/H

Supply Ability: 50set/set per month

51
 Type: Screw type squeezing

Power: 22kw
Double Spiral Coconut
Milk Extractor Weight:45kg

Conveying speed:

Voltage:220/380

Dimension:2250*700*1540

Material: Stainless steel 304

Production capacity: 2.5Ton/h

Supply Ability: 50/set/set per month

Type: Tubular Centrifuge

No. of Machine used:8

Drum speed: 16300 r/min

Virgin Coconut Oil Centrifuge
Centrifugal force: 15750 R.C.F
Machine
Drum effective length: 730 mm

Drum inner diameter :105mm

Power: 2.2 KW

Weight: 395kg

Voltage: 380

Dimension: 760*450*1680 mm

Material: SS

Production capacity: 1500 L/h

Supply Ability: 50 Set/set/month:

52
 A Weir Box incorporates a thin-plate weir (V-
Weir Box
notch or Cipolletti) into a pre-engineered

structure. Weir Boxes are generally used to

measure flows from 3.990 – 493.5 gpm [0.2518

– 31.14 l/s] - although larger flow rate Weir

Boxes are available.

Use to identify weather the process achieved

Moisture Meter
the desired moisture of Virgin coconut oil.

Use for transportation of the product form one

Roller Conveyor area to another and for Bottling Safely and keep

its risk of falling to minimum.

Material: Stainless Steel

Capacity: 0.3 tons/ unit

Voltage: 220 v

Dimension: Customized

Use from the storage to the De-shelling machine

Chain Conveyor
for raw material handling.

Material: SS 304/316

Capacity: 1000 kg.

53
 For the washing with high pressure nuzzle the
Screw Conveyor
kernels on a portion while traveling to the

paring machine.

Capacity: 1500 kg

Building and Facilities

The location of the facility is Baybay City. Its building is made from concrete

because it’s durable, low maintenance material and can provide thermal mass, helping

reduce the energy consumption of buildings in operation. The whole facility is consists of

these areas such as, production, storage of raw materials and finish product, admin office,

parking area, and locker rooms for the workers. In the facility, it is need to ensure the good

condition of work environment of its facilities to minimize the stress of the workers in the

operation and produce a good quality of the product. In order to make this, the researchers

will apply and implement the appropriate standard for illumination and ventilation provide

the suitable machines, equipment, and materials in the working environment.

Illumination

The KAV Oil has 10 areas, this areas will used different sources of light in the

production.

54
 Area Source of Light No. of Fluorescent
Raw Material Storage Incandescent Light 1
Production Area Fluorescent 4
Admin Fluorescent 2
Component Storage Fluorescent 1
Disinfecting Room Fluorescent 1
Electrical Room Fluorescent 1
Bottling Area Fluorescent 1
Packaging Area Fluorescent 1
Locker Room Fluorescent 1
Comfort Room Incandescent Light 1

Ventilation

The air and ventilation in a food processing facility must meet certain

specifications, depending upon where in the facility ventilation is located. For the whole

facility of KAV Oil the researchers plan to apply the Local Exhaust Ventilation because it

is cheap than the other ventilation system and in the production of virgin coconut oil there

is no heating and there is no machines that produce heat.

Local Exhaust works by removing the contaminated air close to the source, and

then sending that air through a series of filters on its way out of the facility. This system

requires some upfront costs to set up the ducting, but it can handle large amounts of

contaminates in multiple forms.

Sanitation

The KAV Oil will have a disinfectant room for the workers and this will be located

near to the entrance door to secure that every employee will undergo before entering the

55
production area. In order to give knowledge to the worker about the proper and importance

of sanitation for the operation there will be a seminar about Good Manufacturing Practices

(GMP) for the workers that will give them knowledge and skills for the standard rules and

health practices in the food industry. The company will provide an enough supply of apron,

gloves, hairnet for the workers to ensure that proper sanitation will be implemented.

Material Handling

Material handling includes forklifts, pallets, trucks, roller conveyor, chain conveyor

and screw conveyor. Those materials will help the movement of the materials and products

efficiently according to its flow. This will also help the workers to lessen their works in

lifting materials, which may cause harms to them.

Material Handling Description Features

Forklifts. It is used for indoor or outdoor Type: Powered Pallet Truck

movement of the materials that are heavy Power source: Diesel Engine

for the workers to lift. Capacity: 16000 kg/ 16 tons

Max. Lifting height : 4.870 m

Min. Lifting height:2.440 m

Pallets. It is a flat transport structure, Type: Euro Pallet

which support goods in a stable fashion Product name: high quality stainless pallet

while being lifted by a forklift. steel for rack

Steel pallet size: 48 inches x 48 inches

Capacity: customized

56
Trucks. It is used in transporting or Fuel type: Diesel

moving large quantities or product or Capacity: 10 tons

materials no small vehicle can do on land. Engine capacity: <4l

Brand name: Isuzu

Roller Conveyor. It is used to transport the Material: Stainless Steel

output of one machine to the other Capacity: 0.3 tons/ unit

machines automatically. Voltage: 220 v

Dimension: Customized

Chain Conveyor. It is used to transport the Type: Horizontal

output of one machine to the other Voltage: 380 V

machines automatically. Dimension: Customized

Material: Carbon Steel

Capacity: 1000 kg

Screw Conveyor. Use for washing and Type: Screw

transferring the product from one machine Model: GX160

to another. Weight: 500kg

Voltage: 380 -460 V

Dimensions: Customized

Material: Stainless Steel

Capacity: 500 kg to 120 tons per hour

57
Storage Requirements

The KAV Oil has two separate storage for raw materials and for the finished

product. The total area of storage of the raw materials is 437.78 ft. while for the total area

of finished products is 356 ft. The table below indicates the dimension and the capacity of

the storage areas of raw materials and finished product.

Storage Area Dimension Capacity

Raw Materials 22.11 ft. X 437.78 ft. 2,500 Coconuts

Finished Product 18 ft. X 19.8 ft. 350 Bottles

Labor Requirements

In the production of Lenova Fine it requires different number of workers in each

steps or process.

Names No. of Workers

Process
Deshelling 3
Splitting 2
Washing 2
Paring 3
Grating 3
Milk Extraction 2
Centrifugation and Filtration 2
Bottling 4
Packaging 4
Management

58
 Plant Manager 1
Quality Control 1
Admin Staff 3
Security Guard 1
Maintenance Staff 3

The total number of workers are 38, which are 25 workers for the production area,

1 personnel for Plant Manager, 1 personnel for Quality Control, 3 workers for Admin

Office, 1 Security Guard and 3 Janitors.

There standards needed to follow in recruiting a workers for the facility. First the

workers must have basic knowledge about coconuts, willing to be train to different

practices such as health practices, good manufacturing practices and other health practices

program that will be used to ensure the good and healthy condition of the product and

willing to learn additional knowledge about coconuts and in the production of virgin

coconut oil that is needed to apply in the operation to secure the safety and health of the

product being produced.

Waste Disposal

In the production of virgin coconut oil, the common wastes are coconut shell,

coconut water, coconut milk, coconut ground flesh and washings. In order to minimize the

waste in the production, the facility will adapts the different waste treatment for each waste

in making the virgin coconut oil.

Coconut shell, once discarded outer hard cover of a coconut is now a product of

great demand. It can be made as charcoal. Coconut shell charcoal is used abundantly as a

59
domestic and industrial fuel. It is the only main ingredient that is used to produce activated

carbon. This activated carbon is much superior to other variants obtained from other

sources like wood. Since it is easily available compared to other forms of coal, it is widely

used in laundries as well. Blacksmiths and goldsmiths also prefer this charcoal due to its

benefits. It is obtained by burning coconut shells with limited air for carbonization. The

heat that is generated in this process is used for drying copra. Shell charcoal is obtained

easily by using the drum method which is used in several small scale industries.

Coconut water it will be distribute also to a company that used coconut water as the

raw materials in the production of vinegar.

Coconut milk it will be distribute to the company that used coconut milk as an

ingredient for the products that is related for hair care, skin care and other cosmetics

products.

Coconut ground flesh it will be distribute to the farmers or any residence near to

the facility area that has poultry or livestock farming business.

Lastly, for the washings the researchers will use a wastewater treatment system

which is the Sewage Treatment Plants it is a domestic wastewater treatment refers to a

process whereby any contaminants are removed from household sewage. The process uses

chemical, physical and biological process in removing the biological and physical

contaminants. It helps produce a waste stream that is suitable for reuse in the environment.

Pre-treatment methods assist in removing the materials that are collected from the raw

wastewater. The sewage water is strained, and it removes any objects in the sewage stream.

60
The result is clean water that can be used for other purposes around the house or in business

premises.

Justification

This table contains the narration that the second objective of the study will be

applied in the proposed facility layout and design for virgin coconut oil production.

Objectives Justification

The KAV Oil used an L type of layout,

Streamline the flow of materials
Facilitate smooth flow in the
manufacturing process
Maintain high turnover of in-process
inventory
since the production is continuous and it
adopts the product layout. Enough spaces
will be provided so that it can avoid delay
due to hindrances that are present in the
production area. The warehouse of the raw
materials and the finish product are near in
the production area to avoid longer
duration of time in transporting the
materials and products and the costs of the
material handling.
To ensure a smooth flow in the
manufacturing process that machines used
in the production of virgin coconut oil are
automated machines and the company used
different kinds of material handling to
transfer the product from one machine to
another. Through this it will minimize the
contamination to the products.
The company has a sufficient machine to
produce a steel bars that meet the demand

61

Minimize materials handling and cost
Effective utilization of men, equipment,
and space
Make an effective utilization of cubic
space
Provide for employee convenience, safety
and comfort
Minimize investment in equipment
of the customers and avoid scarcity of the
product.
To minimize the material handling and cost
the KAV Oil used the materials handling
that are necessary and appropriate in the
production
The KAV Oil has a requirements that
should be meet before hiring the workers.
It will hire workers who’s necessary to the
firm. Equipment undergo machine and
equipment selection in order to avoid costs
and stoppage of the production due to
malfunctioning of the equipment.
Maintenance and housekeeping are also
strictly implemented. The facility will be
located according to its function in the
firm. In this case the firm will utilize all of
the three factors effectively.
The KAV Oil utilized the space by
following the standard and appropriate
total area of each area within the facility.
The KAV Oil provide the appropriate PPE
for the workers which are apron, face
mask, hairnet and gloves which are
necessary for the operation. For the
convenience and comfort of the workers
there is a 15-minute break time in the
morning and in the afternoon and there is a
locker room for the worker to have a rest.
The KAV Oil chooses the appropriate and
necessary machines and material handling
62

Minimize overall production time
Facilitate the original structure
Promote ease of maintenance
that can handle the maximum capacity in
the production of the product. Choose
those a machines that is lessen expense in
maintenance and the spare parts are easy to
find.
The firm uses automated machines and it
reduces manual work which result to short
period of time in production of virgin
coconut oil. Corrective measures are
implemented such as maintenance to avoid
machine downtime that can affect the
production time.
The job and duties are disseminated and
distributed well to the workers and
employees to avoid confusion among them
and to have an organized task.
The KAV Oil provides maintenance
schedule to prevent machine downtime
during the production. There are enough
spaces in every machines for maintenance
and enough space for the aisle to clean the
whole production area and whole facility.
63
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https://koko.ph/
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https://scialert.net/fulltextmobile/?doi=jas.2011.2467.2469
https://www.thisiscoco.com/how-to-make-coconut-oil/
https://www.cocoinformer.com/why-is-vco-from-wet-process-centrifuge-extraction-
better-than-vco-from-other-processes/
http://www.cowenconstruction.com/the-importance-of-industrial-ventilation/
https://www.hsa.ie/eng/Publications_and_Forms/Publications/Occupational_Health/Local
_Exhaust_Ventilation_LEV_Guidance.pdf

64
 APPENDICES

The Machines and Equipment from the Industrial Benchmarked

Coconut Drilling De shelling Machine

Loading Conveyor Screw Conveyor with High

Power Pressure Nuzzle

65
Power Grinder Screw Type Hydraulic Press

Milk Extractor Centrifugal Machine

Filtering Machine Moisture Meter

66
Miniature of Proposed Plant Layout

67
Documentation

68
69