Dismantling of the Ordnance Factory Board (OFB)_00.1
UPSC Exam   »   How to Prepare for UPSC CSE Mains Examination: Step-by-Step Guide for Beginners   »   Dismantling of the Ordnance Factory Board...

Dismantling of the Ordnance Factory Board (OFB)

Dismantling of the Ordnance Factory Board (OFB)- Relevance for UPSC Exam

  • GS Paper 3: Indian Economy- Changes in industrial policy and their effects on industrial growth.

Dismantling of the Ordnance Factory Board (OFB)_50.1

 

Dismantling of the Ordnance Factory Board (OFB)- Context

  • Recently, the Defence Ministry has issued an order for the dissolution of the Ordnance Factory Board (OFB).
  • After dissolution, its assets, employees and management would be transferred to seven newly constituted Defence Public Sector Undertakings (DPSUs).

National Institute of Mental Health & Neuro Sciences (NIMHANS)

 

Dismantling of the Ordnance Factory Board (OFB)- Key Points

  • Background: Ordnance Factory Board (OFB) was established in 1875 after it was accepted by the British in 1775.
  • About: OFB was an umbrella body of the ordnance factories and related institutions.
    • Parent Ministry: functioned as a subordinate office of the Ministry of Defence (MoD).
  • Dismantling of OFB: On June 16, the Union Cabinet had approved a long-awaited reform plan to corporatise the OFB.
    • It approved the conversion of 41 OFB factories, into seven fully government-owned corporate entities on the lines of DPSUs.
  • Objectives of Restructuring: Key objectives are of OFB dismantling-
    • Transforming the Ordnance Factories into productive and profitable assets,
    • Deepen specialisation in the product range,
    • Enhance competitiveness, improving quality and cost-efficiency.

High Ambition Coalition (HAC) for Nature and People

 

Dismantling of the Ordnance Factory Board (OFB)- Associated Impact

  • Transfer of the management, control, operations and maintenance of the 41 production units and identified non-production units to seven government companies. Seven companies are-
    1. Munitions India Limited,
    2. Armoured Vehicles Nigam Limited,
    3. Advanced Weapons and Equipment India Limited,
    4. Troop Comforts Limited,
    5. Yantra India Limited,
    6. India Optel Limited, and
    7. Gliders India Limited.
  • Transfer the management, control, operations and maintenance of certain identified non-production units of OFB and identified surplus land at 16 production units of OFB to the Directorate of Ordnance (Coordination & Services) under the DDP.
  • Impact of employees: all the employees of OFB belonging to the production units and also the identified non-production units will be transferred en masse to the new DPSUs.
  • Key Obligations of newly created DPSUs:
    • They are required to frame rules and regulations related to the service conditions of the absorbed employees.
    • Seek an option for permanent absorption from the employees on deemed deputation to that respective DPSU, within a period of two years.
    • A committee would be constituted by the DDP for guiding the new DPSUs in this regard so that the absorption package given is attractive.

 

DRDO Dare to Dream 2021 and Young Scientists awards

Sharing is caring!

×

Download success!

Thanks for downloading the guide. For similar guides, free study material, quizzes, videos and job alerts you can download the Adda247 app from play store.

Thank You, Your details have been submitted we will get back to you.

Was this page helpful?

Leave a comment

Your email address will not be published. Required fields are marked *

Join India's largest learning destination

What You Will get ?

  • Job Alerts
  • Daily Quizzes
  • Subject-Wise Quizzes
  • Current Affairs
  • Previous year question papers
  • Doubt Solving session

Login

OR

Forgot Password?

Join India's largest learning destination

What You Will get ?

  • Job Alerts
  • Daily Quizzes
  • Subject-Wise Quizzes
  • Current Affairs
  • Previous year question papers
  • Doubt Solving session

Sign Up

OR
Join India's largest learning destination

What You Will get ?

  • Job Alerts
  • Daily Quizzes
  • Subject-Wise Quizzes
  • Current Affairs
  • Previous year question papers
  • Doubt Solving session

Forgot Password

Enter the email address associated with your account, and we'll email you an OTP to verify it's you.


Join India's largest learning destination

What You Will get ?

  • Job Alerts
  • Daily Quizzes
  • Subject-Wise Quizzes
  • Current Affairs
  • Previous year question papers
  • Doubt Solving session

Enter OTP

Please enter the OTP sent to
/6


Did not recive OTP?

Resend in 60s

Join India's largest learning destination

What You Will get ?

  • Job Alerts
  • Daily Quizzes
  • Subject-Wise Quizzes
  • Current Affairs
  • Previous year question papers
  • Doubt Solving session

Change Password



Join India's largest learning destination

What You Will get ?

  • Job Alerts
  • Daily Quizzes
  • Subject-Wise Quizzes
  • Current Affairs
  • Previous year question papers
  • Doubt Solving session

Almost there

Please enter your phone no. to proceed
+91

Join India's largest learning destination

What You Will get ?

  • Job Alerts
  • Daily Quizzes
  • Subject-Wise Quizzes
  • Current Affairs
  • Previous year question papers
  • Doubt Solving session

Enter OTP

Please enter the OTP sent to Edit Number


Did not recive OTP?

Resend 60

By skipping this step you will not recieve any free content avalaible on adda247, also you will miss onto notification and job alerts

Are you sure you want to skip this step?

By skipping this step you will not recieve any free content avalaible on adda247, also you will miss onto notification and job alerts

Are you sure you want to skip this step?