Hospital Beds
Production Capacity : 67.70 lakh
Uploaded on : September 2009
Product and its Applications
Adjustable Hospital Beds that are widely used in hospitals and clinics. In order to meet the functionality of the product in a hospital, these beds are made in a wide range, e.g. Fowler Hospital Bed, Semi Fowler, Plain, Recovery, Paediatric, Fracture, ICU Hospital Bed, General hospital bed with rigid mesh mattress platform. Out of these, Fowler hospital beds and General purpose bedsteads are in large demand.
Fowler Hospital Beds are known for their extra comfort and functionality. These are available in size 1980L x 900W x 600H or 2070L x 910W x 600H mm. The frame work is made of strong rectangular steel tubes, provided with four section perforated top, two separate screws for backrest and knee rest manoeuvring, SS tubular head and foot bows with laminated panels, four swivel castors, two with brake, four IV rod locations, pre-treated and epoxy powder coated
Market Potential
The demand for adjustable hospital beds is increasing due to increase in the number of hospitals and their expansion and increase in number of private and government nursing homes, A large number of new hospitals and nursing homes are coming up in order to meet the patients' demand. It has led to steady increase in the requirement of hospital furniture. The growth rate is expected to be substantial. As such there is a vast scope for the steel furniture manufacture units to take up this activity for not only as a diversification but also better capacity utilization by installing a few balancing equipments.
Basis and Presumption
- The unit will work for 300 days per annum on single shift basis.
- The unit can achieve its full capacity utilization during the 3rd year of operation.
- The wages for workers are taken as per prevailing rates in this type of industry.
- Interest rate for total capital investment is calculated @ 12% per annum.
- The entrepreneur is expected to raise 20-25% of the capital as margin money.
- The unit would construct its own building.
Implementation schedule
Project implementation will take a period of 8 months. Break-up of the activities and relative time for each activity is shown below:
| Scheme preparation and approval | 01 month |
| SSI provisional registration | 1-2 months |
| Sanction of financial supports etc | 2-5 months |
| Installation of machinery and power connection | 6-8 months |
| Trial run and production | 01 month |
Technical aspects
Location
The plant can be located at any suitable place keeping in view the marketing convenience, availability of power and skilled manpower.
Salient Features of Process / Technology
The basic operations involved in the manufacture of adjustable beds are: cutting and bending of pipes; cutting of M.S. angles; cutting of strips; welding, riveting; grinding; assembly of elevating mechanism; painting, baking.
Pollution Control
These types of units do not produce effluents or any other polluting materials. Therefore pollution control measures are not taken into account.
Energy Conservation
This industry is not a large-scale power consuming industry. However maximum care should be taken in conservation of electrical energy.
Production Capacity
| Quantity | 600 different types of hospital beds |
| Installed capacity | 850 beds / annum |
| Optimum capacity utilization | 70% |
| Working days | 300 |
| Manpower | 15 |
Financial Aspects
Fixed Capital
Land & Building Amount (Rs. lakh)
Particulars |
Amount (Rs. lakh) |
| Land 300 m 2 | 00.20 |
| Building 180 m 2 | 16.00 |
| Total | 16.20 |
Machinery and Equipment Amount (Rs. lakh)
Description |
Amount |
| Pipe bending machine hand operated with fixtures locally fabricated -5, Arc welding sets-2, Gas cutting set with torch, regulators etc.-2 sets, Bench drilling machine 13 mm capacity-1, Portable drilling machine 13 mm capacity-2, Flexible shaft grinder 150wheel mm-2, Double ended bench grinder 300 mm size-1, Hand shearing machine 3 mm capacity-2, Baking oven 2.5 x 2 m x 2 m size 20 kW-2, Hand Press-3, Cleaning, Pickling, Phosphating tanks 2.5 x 2 x 2 m-10, Compressor with spray gun unit for painting-2, Riveting machine portable type electrical-1, Hand tools, instruments. Fixtures and dies. | O5.80 |
| Erection & electrification of machinery @ 10% cost | 00.58 |
| Office furniture & fixtures | 00.82 |
| Total | 07.20 |
Pre-operative Expenses Amount (Rs. lakh)
| Consultancy fee, project report, deposits with electricity department etc | 00.80 |
Total Fixed Capital Amount (Rs. lakh)
| (9.1.1+9.1.2+9.1.3) | 24.20 |
Recurring expenses per annum
Personnel Amount (Rs. lakh)
Designation |
No. |
Salary Per month |
Amount |
| Factory Manager | 1 | 10,000 | 01.20 |
| Supervisory staff | 2 | 08,000 | 00.96 |
| Office Assistant | 2 | 06,000 | 00.72 |
| Technician | 0 | 05,000 | 01.80 |
| Skilled workers | 4 | 04,500 | 02.16 |
| Unskilled workers | 5 | 03,000 | 01.80 |
| Perquisites @15 % | 01.60 | ||
| Total | 09.70 |
Raw Material including packaging materials Amount (Rs. lakh)
Particulars |
Qty (t) |
Rate/t (Rs.) |
Amount (Rs. lakh) |
| M.S Angle Iron 40 mm x 40 mm x 3 mm and 38 mm x 38 mm x 3 mm | 13.50 | 0.40 | 05.40 |
| M.S Tubes 38.10 mm o.d. x 1.6/1.22 mm thick | 36.00 | 0.38 | 13.68 |
| M.S Tubes 25.40 mm o.d x 1.6/1.22 mm thick | 22.00 | 0.40 | 08.80 |
| M.S Tubes 19.5 mm o.d x 1.22 mm thick | 13.50 | 0.41 | 05.54 |
| M.S Strips 1.25 mm x 25 mm | 13.50 | 0.30 | 04.05 |
| Castor wheels | 300 No | LS | 01.44 |
| Nuts, bolts, screws, washers, flats, rubber items, paint etc. | LS | LS | 02.87 |
| Total | 38.90 |
Utilities
Particulars |
Amount (Rs. lakh) |
| Power | 01.90 |
| Water | 00.10 |
| Total | 02.00 |
Other Contingent Expenses Amount (Rs. lakh)
Particulars |
Amount(Rs. lakh) |
| Repairs and maintenance @10% | 00.70 |
| Consumables & spares, others | 00.60 |
| Transport & travel | 00.90 |
| Publicity, postage, telephone | 01.20 |
| Insurance @1% | 00.20 |
| Total | 03.60 |
Total Recurring Expenditure Amount (Rs. lakh)
| (9.2.1 + 9.2.2 + 9.2.3 + 9.2.4) | 54.20 |
Working Capital Amount (Rs. lakh)
| Recurring expenses for 3 months | 13.50 |
Total Capital Investment Amount (Rs. lakh)
| Fixed capital (Refer 9.1.4) | 54.20 |
| Working capital (Refer 9.3) | 13.50 |
| Total | 67.70 |
Financial Analysis
Cost of Production (per annum) Amount (Rs. lakh)
| Recurring expenses (Refer 9.2.5) | 54.20 |
| Depreciation on building @ 5% | 00.80 |
| Depreciation on machinery @10% | 00.64 |
| Depreciation on furniture @ 20% | 00.16 |
| Interest on Capital Investment @ 12% | 08.20 |
| Total | 64.00 |
SSale Proceeds (Turnover) per year Amount (Rs. lakh)
Item |
Qty |
Rate (Rs.) |
Amount (Rs.lakh) |
| 250 nos. Fowlers hospital beds @ Rs.8000/ each | 375 | 18,000 | 67.50 |
| 150 nos. General purpose hospital beds @ Rs.2500/- each | 225 | 6,000 | 13.50 |
| Sale of scrap | 03.00 | ||
| Interest on Capital Investment @ 12% | 08.20 | 08.20 | 08.20 |
| Total | 600 | - | 84.00 |
Net Profit per year
= Sales - Cost of production |
Net Profit Ratio
Net profit X 100 Sales 20X 100 84 = 23.8 % |
Rate of Return on Investment
Net profit X 100 Capital Investment 20 X 100 67.70 = 30 % |
Annual Fixed Cost Amount (Rs. lakh)
| All depreciation | 01.60 |
| Interest | 08.20 |
| 40% of salary, wages, utility, contingency | 06.12 |
| Insurance | 00.20 |
| Total | 16.12 |
Break even Point
Annual Fixed Cost X 100 Annual Fixed Cost + Profit 16.12 X 100 = 44.6 % |
Addresses of Machinery Suppliers
- M/s. Quality Machine Tools
No.25 J.C. Road , Near VSL Bldg.,
Bangalore-560002. - M/s. Batliboi Engineers Pvt. Ltd.
99/2, 99/3 N.R. Road , Bangalore -560002 - M/s. Perfect Machine Tools, Grant Road,
Bangalore – 560001 - M/s. Simplicity Engineers, B-99 Mayapuri,
New Delhi - M/s. K.G. Khosla & Co., Mathura Road , Badarpur,
Delhi .
Contact for more information
Information Manager
TIMEIS Project
E-mail: timeis@ficci.com
