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INTRODUCTION
1. Define Total Quality?
TQM is an enhancement to the traditional way of doing business. It is the art of
managing the whole to achieve excellence. It is defined both a philosophy and a set of
guiding
principles that represent the foundation of a continuously improving organization. It is
the
application of quantitative methods and human resources to improve all the processes
within an
organization and exceed customer needs now and in the future. It integrates fundamental
management techniques existing improvement efforts and technical tools under a
disciplined
approach.
!. Define Quality?
Quality " #erformance x $xpectations
%.What are the Dimensions of Quality?
& 'eatures
& (onformance
& )eliability
& *urability
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& +ervice
& )esponse
& ,esthetics
& )eputation
-. Give the Basic Concepts of TQ ?
& , committed and involved management to provide long term top to bottom
organizational support.
& ,n unwavering focuses on the customer both internally and externally.
& $ffective involvement and utilization of the entire wor/ force.
& (ontinuous improvement of the business and production process.
& Treating suppliers as partners.
& $stablish performance measures for the processes.
0. Give the !rinciples of TQ ?
(onstancy of purpose2 short range and long range ob3ectives aligned
Identify the customer4s56 (ustomer orientation
Identification of internal and external customers
(ontinuous improvement
7or/flow as customer transactions
$mpower front line wor/er as leader
Quality is everybody8s business
'or a service industry some elements of quality are2
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empathy
trust6 i.e. expertise integrity courtesy
responsiveness
tangible product attractiveness 4curb appeal5
reliability on time no interruptions
& (ustomer orientation to child care services a mar/eting perspective
& 9arriers that exist to a customer orientation
:. Give the O"stacles associate# $ith TQ Implementation?
& ;ac/ of management commitment
& Inability to change organizational culture
& Improper planning
& ;ac/ of continuous training and education
& Incompatible organizational structure and isolated individuals and departments
& Ineffective measurement techniques and lac/ of access to data and results.
& #aying inadequate attention to internal and external customers.
& Inadequate use of empowerment and teamwor/
.
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Quality (osts are defined as those costs associated with the nonachievement of product
or service quality as defined by the requirements established by the organization and its
contracts
with customers and society.
>. Give the primary cate'ories of Quality cost?
& #reventive cost category
& ,ppraisal cost category
& Internal failure cost category
& $xternal failure cost category
1?. Give the typical cost "ases?
& ;abor
& #roduction
& @nit
& +ales
11 ( )o$ $ill you #etermine the optimum cost?
& Ma/e comparison with other organizations
& Aptimize the individual categories
& ,nalyze the relationships among the cost categories
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1!. *tate the Quality Improvement *trate'y?
& )educe failure costs by problem solving
& Invest in the BrightC prevention activities
& )educe appraisal costs where appropriate and in a statistically sound manner
& (ontinuously evaluate and redirect the prevention effort to gain further quality
improvement.
1%( Define Quality !lannin'?
, quality plan sets out the desired product qualities and how these are assessed and
define the
most significant quality attributes. It should define the quality assessment process. It
should set
out which organizational standards should be applied and if necessary define new
standards.
1-. Give the O"+ectives of TQ ?
To develop a conceptual understanding of the basic principles and methods
associated with TQM6
& To develop an understanding of how these principles and methods have been put into
effect in a variety of organizations6
& To develop an understanding of the relationship between TQM principles and the
theories and models studied in traditional management6
& To do the right things right the first time every time.
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10. What is nee#e# for a lea#er to "e effective?
To be effective a leader needs to /now and understand the following2
& #eople paradoxically need security and independence at the same time.
& #eople are sensitive to external rewards and punishments and yet are also strongly
selfmotivated.
& #eople li/e to hear a /ind word of praise.
& #eople can process only a few facts at a time6 thus a leader needs to /eep things
simple.
& #eople trust their gut reaction more than statistical data.
& #eople distrust a leader8s rhetoric if the words are inconsistent with the leader8s
actions.
1:. What is the important role of senior mana'ement?
D ;istening to internal and external customers and suppliers through visits focus
groups and surveys.
D (ommunication.
D To drive fear out of the organization brea/ down barriers remove system
roadbloc/s anticipate and minimize resistance to change and in general change
the culture.
1
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o Fision +tatement
o Mission +tatement
o Quality #olicy +tatement
!?. Give the "asic steps to strate'ic &uality plannin'?
& (ustomer needs
& (ustomer positioning
& #redict the future
& Gap analysis
& (losing the gap
& ,lignment
& Implementation
!1. What is a &uality policy?
The Quality #olicy is a guide for everyone in the organization as to how
they should provide products and service to the customers. The common characteristics
are
& Quality is first among equals.
& Meet the needs of the internal and external customers.
& $qual or exceed the competition.
& (ontinually improve the quality.
& Include business and production practices.
& @tilize the entire wor/ force.
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T), ,IG)T ,-, ,NT* O. TQ /
Total Quality Management is a management approach that originated in the 1>0?Hs and
has steadily become more popular since the early 1>=?Hs. Total Quality is a description
of the culture attitude and organization of a company that strives to provide customers
with products and services that satisfy their needs. The culture requires quality in all
aspects of the companyHs operations with processes being done right the first time and
defects and waste eradicated from operations.
To be successful implementing TQM an organization must concentrate on the eight /ey
elements2
$thics
Integrity
Trust
Training
Teamwor/
;eadership
)ecognition
(ommunication
This paper is meant to describe the eight elements comprising TQM.
0ey ,lements
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TQM has been coined to describe a philosophy that ma/es quality the driving force
behind leadership design planning and improvement initiatives. 'or this TQM
requires the help of those eight /ey elements. These elements can be divided into four
groups according to their function. The groups are2
I. 'oundation It includes2 $thics Integrity and Trust.
II. 9uilding 9ric/s It includes2 Training Teamwor/ and ;eadership.
III. 9inding Mortar It includes2 (ommunication.
IF. )oof It includes2 )ecognition.
I( .oun#ation
TQM is built on a foundation of ethics integrity and trust. It fosters openness fairness
and sincerity and allows involvement by everyone. This is the /ey to unloc/ing the
ultimate potential of TQM. These three elements move together however each element
offers something different to the TQM concept.
1. $thics $thics is the discipline concerned with good and bad in any situation. It is a
two faceted sub3ect represented by organizational and individual ethics. Arganizational
ethics establish a business code of ethics that outlines guidelines that all employees are
to adhere to in the performance of their wor/. Individual ethics include personal rights or
wrongs.
!. Integrity Integrity implies honesty morals values fairness and adherence to the
facts and sincerity. The characteristic is what customers 4internal or external5 expect and
deserve to receive. #eople see the opposite of integrity as duplicity. TQM will not wor/
in an atmosphere of duplicity.
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%. Trust Trust is a by product of integrity and ethical conduct. 7ithout trust the
framewor/ of TQM cannot be built. Trust fosters full participation of all members. It
allows empowerment that encourages pride ownership and it encourages commitment. It
allows decision ma/ing at appropriate levels in the organization fosters individual ris/
ta/ing for continuous improvement and helps to ensure that measurements focus on
improvement of process and are not used to contend people. Trust is essential to ensure
customer satisfaction. +o trust builds the cooperative environment essential for TQM.
II.9ric/s
9asing on the strong foundation of trust ethics and integrity bric/s are placed to reach
the roof of recognition. It includes2
-. Training Training is very important for employees to be highly productive.
+upervisors are solely responsible for implementing TQM within their departments and
teaching their employees the philosophies of TQM. Training that employees require are
interpersonal s/ills the ability to function within teams problem solving decision
ma/ing 3ob management performance analysis and improvement business economics
and technical s/ills. *uring the creation and formation of TQM employees are trained
so that they can become effective employees for the company.
0. Teamwor/ To become successful in business teamwor/ is also a /ey element of
TQM. 7ith the use of teams the business will receive quic/er and better solutions to
problems. Teams also provide more permanent improvements in processes and
operations. In teams people feel more comfortable bringing up problems that may
occur and can get help from other wor/ers to find a solution and put into place. There
are mainly three types of teams that TQM organizations adopt2
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,. Quality Improvement Teams or $xcellence Teams 4QIT+5 These are temporary
teams with the purpose of dealing with specific problems that often re occur. These
teams are set up for period of three to twelve months.
9. #roblem +olving Teams 4#+Ts5 These are temporary teams to solve certain
problems and also to identify and overcome causes of problems. They generally last
from one wee/ to three months.
(. Eatural 7or/ Teams 4E7Ts5 These teams consist of small groups of s/illed
wor/ers who share tas/s and responsibilities. These teams use concepts such as
employee involvement teams self managing teams and quality circles. These teams
generally wor/ for one to two hours a wee/.
:. ;eadership It is possibly the most important element in TQM. It appears everywhere
in organization. ;eadership in TQM requires the manager to provide an inspiring vision
ma/e strategic directions that are understood by all and to instill values that guide
subordinates. 'or TQM to be successful in the business the supervisor must be
committed in leading his employees. , supervisor must understand TQM believe in it
and then demonstrate their belief and commitment through their daily practices of TQM.
The supervisor ma/es sure that strategies philosophies values and goals are transmitted
down through out the organization to provide focus clarity and direction. , /ey point is
that TQM has to be introduced and led by top management. (ommitment and personal
involvement is required from top management in creating and deploying clear quality
values and goals consistent with the ob3ectives of the company and in creating and
deploying well defined systems methods and performance measures for achieving those
goals.
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III(Bin#in' ortar
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IF.)oof
=. )ecognition )ecognition is the last and final element in the entire system. It should
be provided for both suggestions and achievements for teams as well as individuals.
$mployees strive to receive recognition for themselves and their teams. *etecting and
recognizing contributors is the most important 3ob of a supervisor. ,s people are
recognized there can be huge changes in self esteem productivity quality and the
amount of effort exhorted to the tas/ at hand. )ecognition comes in its best form when it
is immediately following an action that an employee has performed. )ecognition comes
in different ways places and time such as
7ays It can be by way of personal letter from top management. ,lso by award
banquets plaques trophies etc.
#laces Good performers can be recognized in front of departments on performance
boards and also in front of top management.
Time )ecognition can given at any time li/e in staff meeting annual award banquets
etc.
7e can conclude that these eight elements are /ey in ensuring the success of TQM in an
organization and that the supervisor is a huge part in developing these elements in the
wor/ place. 7ithout these elements the business entities cannot be successful TQM
implementers. It is very clear from the above discussion that TQM without involving
integrity ethics and trust would be a great remiss in fact it would be incomplete.
Training is the /ey by which the organization creates a TQM environment. ;eadership
and teamwor/ go hand in hand. ;ac/ of communication between departments
supervisors and employees create a burden on the whole TQM process. ;ast but not the
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least recognition should be given to people who contributed to the overall completed
tas/. ence lead by example train employees to provide a quality product create an
environment where there is no fear to share /nowledge and give credit where credit is
due is the motto of a successful TQM organization
T), TQ OD,-/
,t the century close the creation of the global mar/et international orientation of
management that sweeps national boundaries introduction of new technologies and
shift towards customer focused strategies ma/e the competition stronger than ever. The
criteria for success in this global internationally oriented mar/et have been changing
rapidly. In order to expand business enter new mar/ets and set realistic competitive
long term ob3ectives excellence became an imperative. ManagementHs effort has been
directed towards discovering what ma/es a company excellent.
To achieve excellence companies must develop a corporate culture of treating people as
their most important asset and provide a consistent level of high quality products and
services in every mar/et in which they operate. +uch an environment has supported the
wide acceptance of Total Quality Management 4TQM5 which emerged recently as a
new challenging mar/etable philosophy. It involves three spheres of changes in an
organization people technology and structure.
There is also a need for a systematic approach so that each element of TQM$J can be
bonded together smoothly. Aa/land K1>=>L originated the idea of a % cornerstone model.
The proposed - pillar model 4'igure %.15 brings the customerHs requirement into the
system. This ma/es the approach to TQM more complete. The additional pillar
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satisfying customers is vital because it explicitly addresses customers requirements.
7ithout it TQM would have no ob3ective.
The 'our #illars of TQM
The role of top management in implementation of total quality is crucial and its input on
people far reaching. TQM therefore should be understood as management of the
system through systems thin/ing which means understanding all the elements in the
company and putting them to wor/ together towards the common goal. The TQM$J
Model advocates an integrated approach in order to support the transition to systems
management which is an ongoing process of continuous improvement that begins when
the company commits itself to managing by quality. The Model illuminates the elements
that form a base to the understanding of TQM philosophy and implementation of the
process company wide.
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The *tructure of TQ ,1/
The -o'ic of TQ ,1/
In order to have a systematic approach to TQM it is necessary to develop a conceptual
model. Generally a model is a sequence of steps arranged logically to serve as a
guideline for implementation of a process in order to achieve the ultimate goal. The
model should be simple logical and yet comprehensive enough for TQM
implementation. It also has to sustain the changes in business environment of the new
era. The Model also reflects teachings of the contemporary quality gurus. The idea was
to develop a universally applicable step by step guideline by including recognized
practices in TQM2
apanese 0 + #ractice 40 +5
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9usiness #rocess )e engineering 49#)5
Quality (ontrol (ircles 4Q((s5
I+A >??1N! Quality Management +ystem 4I+A5
Total #roductive Maintenance 4T#M5
,s Asada pointed out 0 + is the /ey to total quality environment. Therefore it should be
the first step. 9#) is concerned with re defining and designing your business process in
order to meet the needs of your customers effectively. It is more concerned with the
business ob3ectives and systems and should follow as +tep !. Q((s are concerned with
encouraging the employees to participate in continuous improvement and guide them
through. They improve human resources capability to achieve the business ob3ectives.
Therefore this should be +tep %. I+A >??? is to develop a quality management system
based on the good practices in the previous three steps. T#M is a result of applying 0 +
to equipment based on a sound quality management system. In fact I+A >??1 requires
procedures for process control and inspection and testing equipment which are part of
T#M. Therefore T#M should be implemented in +tep 0.
If the above five steps have been implemented successfully the organization is already
very close towards achieving TQM.
TQM$J is a sequential model which is easy to remember and simple to implement. This
is in line with the quality principle of Oeep It +hort and +imple 4OI++5 although it is not
simple to ma/e a model simpleP
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(ompanies starting to implement TQM should follow TQM$J step by step. (ompanies
which have already gone through some degree of improvement using some of the steps
should review what have not been done and do it as their next step of improvement. In
order to maximize your benefits from TQM$J you have to start early too.
T), ,**,NTI%-* O. TQ
TQM is the way of managing for the future and is far wider in its application than 3ust
assuring product or service quality it is a way of managing people and business
processes to ensure complete customer satisfaction at every stage internally and
externally. TQM combined with effective leadership results in an organization doing
the right things right first time .
The core of TQM is the customer-supplier interfaces both externally and internally and
at each interface lie a number of processes . This core must be surrounded by
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commitment to quality communication of the quality message and recognition of the
need to change the culture of the organisation to create total quality. These are the
foundations of TQM and they are supported by the /ey management functions of
people processes and systems in the organisation .
This section discusses each of these elements that together can ma/e a total quality
organisation. Ather sections explain people processes and systems in greater detail all
having the essential themes of commitment culture and communication running through
them.
What is &uality?
, frequently used definition of quality is Delighting the customer by fully meeting
their needs and expectations . These may include performance appearance availability
delivery reliability maintainability cost effectiveness and price. It is therefore
imperative that the organisation /nows what these needs and expectations are. In
addition having identified them the organisation must understand them and measure its
own ability to meet them.
Quality starts with mar/et research to establish the true requirements for the product or
service and the true needs of the customers. owever for an organisation to be really
effective quality must span all functions all people all departments and all activities
and be a common language for improvement. The cooperation of everyone at every
interface is necessary to achieve a total quality organization in the same way that the
apanese achieve this with company wide quality control.
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Customers an# suppliers
There exists in each department each office each home a series of customers suppliers
and customer supplier interfaces. These are Bthe quality chainsC and they can be bro/en
at any point by one person or one piece of equipment not meeting the requirements of
the customer internal or external. The failure usually finds its way to the interface
between the organization and its external customer or in the worst case actually to the
external customer.
'ailure to meet the requirements in any part of a quality chain has a way of multiplying
and failure in one part of the system creates problems elsewhere leading to yet more
failure and problems and so the situation is exacerbated. The ability to meet customers8
4external and internal5 requirements is vital. To achieve quality throughout an
organization every person in the quality chain must be trained to as/ the following
questions about every customer supplier interface2
Customers 2internal an# e3ternal4
& 7ho are my customersR
& 7hat are their true needs and expectationsR
& ow do or can I find out what these areR
& ow can I measure my ability to meet their needs and expectationsR
& *o I have the capability to meet their needs and expectationsR
4If not what must I do to improve this capabilityR5
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& *o I continually meet their needs and expectationsR
4If not what prevents this from happening when the capability existsR5
& ow do I monitor changes in their needs and expectationsR
*uppliers 2internal an# e3ternal4
& 7ho are my internal suppliersR
& 7hat are my true needs and expectationsR
& ow do I communicate my needs and expectations to my suppliersR
& *o my suppliers have the capability to measure and meet these needs and
expectationsR
& ow do I inform them of changes in my needs and expectationsR
,s well as being fully aware of customers8 needs and expectations each person must
respect the needs and expectations of their suppliers. The ideal situation is an open
partnership style relationship where both parties share and benefit.
!oor practicesTo be able to become a total quality organization some of the bad practices must berecognized and corrected. These may include2
& ;eaders not giving clear direction
& Eot understanding or ignoring competitive positioning
& $ach department wor/ing only for itself
& Trying to control people through systems
& (onfusing quality with grade
& ,ccepting that a level of defects or errors is inevitable
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& 'irefighting reactive behaviour
& TheIts not my problem attitude
ow many of these behaviours do you recognize in your organizationR
The essential components of TQ 5 commitment 6 lea#ership
TQM is an approach to improving the competitiveness effectiveness and flexibility of
an organization for the benefit of all sta/eholders. It is a way of planning organizing and
understanding each activity and of removing all the wasted effort and energy that is
routinely spent in organizations. It ensures the leaders adopt a strategic overview of
quality and focus on prevention not detection of problems. 7hilst it must involve
everyone to be successful it must start at the top with the leaders of the organization.
,ll senior managers must demonstrate their seriousness and commitment to quality and
middle managers must as well as demonstrating their commitment ensure they
communicate the principles strategies and benefits to the people for whom they have
responsibility. Anly then will the right attitudes spread throughout the organization.
, fundamental requirement is a sound quality policy supported by plans and facilities to
implement it.
;eaders must ta/e responsibility for preparing reviewing and monitoring the policy
plus ta/e part in regular improvements of it and ensure it is understood at all levels of
the organization.
$ffective leadership starts with the development of a mission statement followed by a
strategy which is translated into action plans down through the organization. These
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combined with a TQM approach should result in a quality organization with satisfied
customers and good business results. The 0 requirements for effective leadership are2
& *eveloping and publishing corporate beliefs values and ob3ectives often as a mission
statement
& #ersonal involvement and acting as role models for a culture of total quality
& *eveloping clear and effective strategies and supporting plans for achieving the
mission and ob3ectives
& )eviewing and improving the management system
& (ommunicating motivating and supporting people and encouraging effective
employee participation
The tas/ of implementing TQM can be daunting. The following is a list of points that
leaders should consider6 they are a distillation of the various beliefs of some of the
quality gurus2
& The organisation needs a long term commitment to continuous improvement.
& ,dopt the philosophy of zero errorsNdefects to change the culture to right first time
& Train people to understand the customer7supplier relationships
& *o not buy products or services on price alone loo/ at the total cost
& )ecognise that improvement of the systems must be managed
& ,dopt modern methods of supervisin' an# trainin' eliminate fear
& $liminate barriers between departments by managing the process improve
communications
and team$or8
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& $liminate goals without methods standards based only on numbers barriers to pride of
wor/manship and fiction get facts by studying processes
& (onstantly educate and retrain develop e3perts in the organisation
& *evelop a systematic approach to manage the implementation of TQM
Culture chan'e
The failure to address the culture of an organisation is frequently the reason for many
management initiatives either having limited success or failing altogether.
@nderstanding the culture of an organisation and using that /nowledge to successfully
map the steps needed to accomplish a successful change is an important part of the
quality 3ourney.
The culture in any organisation is formed by the beliefs behaviours norms dominant
values rules and the BclimateC. , culture change e.g from one of acceptance of a
certain level of errors or defects to one of right first time every time needs two /ey
elements2
& (ommitment from the leaders
& Involvement of all of the organisation8s people
There is widespread recognition that ma3or change initiatives will not be successful
without a culture of good teamwor/ and cooperation at all levels in an organisation as
discussed in the section on #eople.
The "uil#in' "loc8s of TQ / processes9 people9 mana'ement systems an#
performance measurement
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$verything we do is a #rocess which is the transformation of a set of inputs which can
include action methods and operations into the desired outputs which satisfy the
customers8 needs and expectations.
In each area or function within an organisation there will be many processes ta/ing
place and each can be analysed by an examination of the inputs and outputs to
determine the action necessary to improve quality.
In every organisation there are some very large processes which are groups of smaller
processes called /ey or core business processes. These must be carried out well if an
organisation is to achieve its mission and ob3ectives. The section on #rocesses discusses
processes and how to improve them and Implementation covers how to prioritise and
select the right process for improvement.
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The only point at which true responsibility for performance and quality can lie is with
the !eople who actually do the 3ob or carry out the process each of which has one or
several suppliers and customers.
,n efficient and effective way to tac/le process or quality improvement is through
teamwor/. owever people will not engage in improvement activities without
commitment and recognition from the organisation8s leaders a climate for improvement
and a strategy that is implemented thoughtfully and effectively. The section on #eople
expands on these issues covering roles within teams team selection and development
and models for successful teamwor/.
,n appropriate documented Quality ana'ement *ystem will help an organisation not
only achieve the ob3ectives set out in its policy and strategy but also and equally
importantly sustain and build upon them. It is imperative that the leaders ta/e
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responsibility for the adoption and documentation of an appropriate management system
in their organisation if they are serious about the quality 3ourney. The +ystems section
discusses the benefits of having such a system how to set one up and successfully
implement it.
Ance the strategic direction for the organisation8s quality 3ourney has been set it needs
!erformance easures to monitor and control the 3ourney and to ensure the desired
level of performance is being achieved and sustained. They can and should be
established at all levels in the organisation ideally being cascaded down and most
effectively underta/en as team activities and this is discussed in the section on
#erformance.
*CO!, 6 I !ORT%NC,
Total quality management provides a needed change initiative along with others. TQM
is very important in terms of company profit base because TQM is maintaining the
product quality standards and specification. TQM provide better quality control of the
product. TQM in T,T, Motors it is basically depends on product range timely
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delivery and product standardization. The scope TQM in a very long term base. It is
included some important point which is related to the TQM.
1 It is the only way to give organization a competitive advantage.
! TQM fit for the services sectors is discussed with emphasis on customer
satisfaction. ,lso covered are some limitations of TQM including empowerment
times of paradigm shifts ma3or process changes and reward system.
-IT,R%TUR, R,:I,W
T), ,..,CT* O. TQ
Improvin' .inancial *ervices throu'h TQ
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The wor/ described in this case study was underta/en in a young rapidly expanding
company in the financial services sector with no previous experience with Total Quality
Management 4TQM5. The quality pro3ect began with a two day introductory awareness
program covering concepts cases implementation strategies and imperatives of TQM.
The program was conducted for the senior management team of the company. This
program used interactive exercises and real life case studies to explain the concepts of
TQM and to interest them in committing resources for a demonstration pro3ect. The
demonstration pro3ect which used the +even +teps of #roblem +olving 4similar to
*M,I(5 was to show them how TQM concepts wor/ed in practice before they
committed resources for a company wide program.
*tep ;( Define the !ro"lem
;(;4 *electin' the theme/ , meeting of the senior management of the company was
held. 9rainstorming produced a list of more than !? problems. The list was prioritized
using the weighted average table followed by a structured discussion to arrive at a
consensus on the two most important themes customer service and sales productivity.
@nder the customer service theme S)educing the Turnaround Time from an Insurance
#roposal to #olicyS was selected as the most obvious and urgent problem. The company
was young and therefore had few claims to process so far. The proposal to policy
process therefore impacted the greatest number of customers.
,n appropriate cross functional group was set up to tac/le this problem.
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;(
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Eon Medical #olicies 1< days
Medical #olicies %0 days
Invo/ing the slogan from the awareness program SIn God we trust the rest of us bring
dataS the group was as/ed to collect data and establish reality. ,rmed with a suitably
designed chec/ sheet they set about the tas/.
Customer #esire/ 7hat was the turnaround desired by the customerR +ince a customer
survey was not available individual group members were as/ed to thin/ as customers
imagine they had 3ust given a completed proposal form to a sales agent. 7hen would
they expect the policy in handR 'rom the customerHs point of view they realized that they
did not differentiate between medical and non medical policies. Their perception
averaged out six days for the required turnaround.
SIs this the average time or maximum time that you expectRS they were as/ed.
SMaximum S they responded. It was clear therefore that the average must be less than
six days. The importance of SvariabilityS had struc/ home. The concept of sigma was
explained and was rapidly internalized. 'or >>.< percent delivery within the customer
limit the metric was defined.
Customer #esire/
,verage % +igma turnaround " less than : days
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Current status/
Eon medical policies 4,verage 1>N+igma 105 ,verage % sigma" :- days
Medical 4,verage % days respectively.
*tep
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Transport times
*eployment of manpower
Typically it was found that waiting times constitute the bul/ of processing turnaround
times. #rocess Mapping 4Falue +tream Mapping in ;ean5 was underta/en. The
aggregate results are summarized below2
Eumber of operations =-
Eumber of handovers 1%
In house processing time 4estimated5 1!: man mins.
)ange of individual stage time ! to 1% mins.
(ould this be trueR (ould the turnaround be 1!: minutes for internal processing without
waitingR The group started to question of the status quo. The change process had begun.
To chec/ this estimate it was decided to collect data run two policies without waiting
and record the time at each stage. The trial results amazed everyone2 #olicy Eo. 1 too/
1?? minutes and #olicy Eo. ! too/ >< minutes. ,lmost instantly the mindset changed
from doubt to desire2 S7hy canHt we process every proposal in this wayRS
*tep ( Generatin' I#eas
In the introductory program of TQM during the IT session the advantages of flow
versus batch processing had been dramatically demonstrated using a simple exercise.
@sing that bac/ground a balanced flow line was designed as follows2
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1. *etermine the station with the maximum time cycle which cannot be split up by
reallocation = minutes.
!. 9alance the line to ma/e the time ta/en at each stage equal = minutes as far as
possible.
%. )educe the stages and handovers 1% to =.
-. $liminate non value added activities transport ma/e personnel sit next to each
other.
0. ,gree processing to be done in batch of one proposal.
(hanging the mindset of the employees so they will accept and welcome change is
critical to building a self sustaining culture of improvement. In this case the line
personnel were involved in a Quality Mindset #rogram so that they understood the
reasons for change and the concepts behind them and are /een to experiment with new
methods of wor/ing. The line was ready for a test run.
*tep @( Testin' the I#ea
Testing in stages is a critical stage. It allows modification of ideas based upon practical
experience and equally importantly ensures acceptance of the new methods gradually by
the operating personnel.
*ta'e ;/ )un five proposals flowing through the system and confirm results. The test
produced the following results2
,verage turnaround time2 U 1 day
In house processing time2
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There was 3ubilation in the team. The productivity had increased by !- percent. The
head of the (#( summarized2 SI gave five files for processing and went for a meeting.
$merging from the meeting about %? minutes later I was greeted by the dispatch cler/
3ubilantly reporting SHMadam the TQM files are ready for dispatch.HS The mindset was
dramatically changed and line personnel were now /een to push the implementation.
*ta'e
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*tep A( Implementin' the I#eas
)egular operations with the new system was planned to commence. owever two
wee/s later it was still not implemented. Ane of the personnel on the line in (#( had
been released by his department for the five day trial to sit on the line but was not
released on a regular basis. The departmental head had not attended the TQM awareness
program and therefore did not understand why this change was required.
There were two options mandate the change or change the mindset to accept the
change. +ince the latter option produces a robust implementation that will not brea/
down under pressures it was agreed that the group would summarize TQM the 3ourney
and the results obtained in the pro3ect so far and also simulate the process with a simple
exercise in front of the department head. This session was highly successful and led to
the release of the person concerned on a regular basis.
*tep ( Chec8 the Result
The process was run for one month with regular chec/s. The results obtained were
marginally better than the trials conducted in +tep 02
,verage 11 days
+igma > days
,verage % sigma %= days
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*tep ( *tan#ar#i e Control7Document the Improvement *tory
$ssentially the in house processes in two centers of processing the (#( and
one sales branch had been impacted so far. To ma/e sure that the gains were
held control charts were introduced in both locations. +ample x bar and sigma
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control charts for the (#( are shown below2
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, special SGrind It InS session was conducted for line personnel to ensure that
the control chart was updated every day and any deterioration was dealt with by
finding and /illing the root causes of the problems.
(ustomer reaction2 +ales management and sales agents 4internal customers5
clearly noticed the difference. 'or instance one sales manager reported that a
customer had received a policy within a wee/ of giving a proposal and was so
amazed that he said SIf you give such service I will give you the next policy
alsoPS
,doption of a similar process at the (#( and the model branch for medical
policies has already reduced the average % sigma of turnaround time by
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e#ical policies/ Goal to reduce turnaround from
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owever a certain level of stress is probably desirable to initiate TQM. #eople need to
feel a need for a change. Oanter 41>=%5 addresses this phenomenon be describing
building bloc/s which are present in effective organizational change. These forces
include departures from tradition a crisis or galvanizing event strategic decisions
individual Sprime movers S and action vehicles. *epartures from tradition are activities
usually at lower levels of the organization which occur when entrepreneurs move
outside the normal ways of operating to solve a problem. , crisis if it is not too
disabling can also help create a sense of urgency which can mobilize people to act. In
the case of TQM this may be a funding cut or threat or demands from consumers or
other sta/eholders for improved quality of service. ,fter a crisis a leader may intervene
strategically by articulating a new vision of the future to help the organization deal with
it. , plan to implement TQM may be such a strategic decision. +uch a leader may then
become a prime mover who ta/es charge in championing the new idea and showing
others how it will help them get where they want to go. 'inally action vehicles are
needed and mechanisms or structures to enable the change to occur and become
institutionalized.
*teps in ana'in' the Transition
9ec/hard and #ritchard 41>>!5 have outlined the basic steps in managing a transition
to a new system such as TQM2 identifying tas/s to be done creating necessary
management structures developing strategies for building commitment designing
mechanisms to communicate the change and assigning resources.
Tas/ identification would include a study of present conditions 4assessing current
reality as described above56 assessing readiness such as through a force field analysis6
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creating a model of the desired state in this case implementation of TQM6 announcing
the change goals to the organization6 and assigning responsibilities and resources. This
final step would include securing outside consultation and training and assigning
someone within the organization to oversee the effort. This should be a responsibility of
top management. In fact the next step designing transition management structures is
also a responsibility of top management. In fact (ohen and 9rand 41>>%5 and yde
41>>!5 assert that management must be heavily involved as leaders rather than relying
on a separate staff person or function to shepherd the effort. ,n organization wide
steering committee to oversee the effort may be appropriate. *eveloping commitment
strategies was discussed above in the sections on resistance and on visionary leadership.
To communicate the change mechanisms beyond existing processes will need to be
developed. +pecial all staff meetings attended by executives sometimes designed as
input or dialog sessions may be used to /ic/ off the process and TQM newsletters may
be an effective ongoing communication tool to /eep employees aware of activities and
accomplishments.
Management of resources for the change effort is important with TQM because outside
consultants will almost always be required. (hoose consultants based on their prior
relevant experience and their commitment to adapting the process to fit unique
organizational needs. 7hile consultants will be invaluable with initial training of staff
and TQM system design employees 4management and others5 should be actively
involved in TQM implementation perhaps after receiving training in change
management which they can then pass on to other employees. , collaborative
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relationship with consultants and clear role definitions and specification of activities
must be established.
In summary first assess preconditions and the current state of the organization to ma/e
sure the need for change is clear and that TQM is an appropriate strategy. ;eadership
styles and organizational culture must be congruent with TQM. If they are not this
should be wor/ed on or TQM implementation should be avoided or delayed until
favorable conditions exist.
)emember that this will be a difficult comprehensive and long term process. ;eaders
will need to maintain their commitment /eep the process visible provide necessary
support and hold people accountable for results. @se input from sta/eholder 4clients
referring agencies funding sources etc.5 as possible6 and of course maximize
employee involvement in design of the system.
,lways /eep in mind that TQM should be purpose driven. 9e clear on the organizationHs
vision for the future and stay focused on it. TQM can be a powerful technique for
unleashing employee creativity and potential reducing bureaucracy and costs and
improving service to clients and the community.
The Concept of Continuous Improvement "y TQ
TQM is mainly concerned with continuous improvement in all wor/ from high level
strategic planning and decision ma/ing to detailed execution of wor/ elements on the
shop floor. It stems from the belief that mista/es can be avoided and defects can be
prevented. It leads to continuously improving results in all aspects of wor/ as a result
of continuously improving capabilities people processes technology and machine
capabilities.
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(ontinuous improvement must deal not only with improving results but more
importantly with improving capabilities to produce better results in the future. The five
ma3or areas of focus for capability improvement are demand generation supply
generation technology operations and people capability.
, central principle of TQM is that mista/es may be made by people but most of them
are caused or at least permitted by faulty systems and processes. This means that the
root cause of such mista/es can be identified and eliminated and repetition can be
prevented by changing the process.
There are three ma+or mechanisms of prevention/
1. #reventing mista/es 4defects5 from occurring 4Mista/e proofing or #o/a Wo/e5.
!. 7here mista/es canHt be absolutely prevented detecting them early to prevent
them being passed down the value added chain 4Inspection at source or by the
next operation5.
%. 7here mista/es recur stopping production until the process can be corrected to
prevent the production of more defects. 4+top in time5.
( TQ is the foun#ation for activities9 $hich inclu#e/
(ommitment by senior management and all employees
Meeting customer requirements
)educing development cycle times
ust In TimeN*emand 'low Manufacturing Improvement teams
)educing product and service costs
+ystems to facilitate improvement
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;ine Management ownership
$mployee involvement and empowerment
)ecognition and celebration
(hallenging quantified goals and benchmar/ing
'ocus on processes N improvement plans
+pecific incorporation in strategic planning
This shows that TQM must be practiced in all activities, by all personnel, in Manufacturing, Marketing,
Engineering, R& , !ales, "urchasing, #R, etc.
TQ in manufacturin'
Quality assurance through statistical methods is a /ey component in a manufacturing
organization where TQM generally starts by sampling a random selection of the
product. The sample can then be tested for things that matter most to the end users. The
causes of any failures are isolated secondary measures of the production process are
designed and then the causes of the failure are corrected. The statistical distributions of
important measurements are trac/ed. 7hen partsH measures drift into a defined Serror
bandS the process is fixed. The error band is usually a tighter distribution than the
Sfailure bandS so that the production process is fixed before failing parts can be
produced.
It is important to record not 3ust the measurement ranges but what failures caused them
to be chosen. In that way cheaper fixes can be substituted later 4say when the product is
redesigned5 with no loss of quality. ,fter TQM has been in use itHs very common for
parts to be redesigned so that critical measurements either cease to exist or become
much wider.
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It too/ people a while to develop tests to find emergent problems. Ane popular test is a
Slife testS in which the sample product is operated until a part fails. ,nother popular test
is called Ssha/e and ba/eS in which the product is mounted on a vibrator in an
environmental oven and operated at progressively more extreme vibration and
temperatures until something fails. The failure is then isolated and engineers design an
improvement.
, commonly discovered failure is for the product to disintegrate. If fasteners fail the
improvements might be to use measured tension nutdrivers to ensure that screws donHt
come off or improved adhesives to ensure that parts remain glued.
If a gearbox wears out first a typical engineering design improvement might be to
substitute a brushless stepper motor for a *( motor with a gearbox. The improvement is
that a stepper motor has no brushes or gears to wear out so it lasts ten or more times as
long. The stepper motor is more expensive than a *( motor but cheaper than a *(
motor combined with a gearbox. The electronics are radically different but equally
expensive. Ane disadvantage might be that a stepper motor can hum or whine and
usually needs noise isolating mounts.
Aften a STQMedS product is cheaper to produce because of efficiencyNperformance
improvements and because thereHs no need to repair dead on arrival products which
represents an immensely more desirable product.
TQ an# contin'encyE"ase# research
TQM has not been independent of its environment. In the context of management
accounting systems 4M(+s5 +im and Oillough 41>>=5 show that incentive pay enhanced
the positive effects of TQM on customer and quality performance. Ittner and ;arc/er
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41>>05 demonstrated that product focused TQM was lin/ed to timely problem solving
information and flexible revisions to reward systems. (hendall 4!??%5 summarizes the
findings from contingency based research concerning management control systems and
TQM by noting that BTQM is associated with broadly based M(+s including timely
flexible externally focused information6 close interactions between advanced
technologies and strategy6 and non financial performance measurement.C
TQM 3ust another management fadR
,brahamson 41>>:5 argued that fashionable management discourse such as Quality
(ircles tends to follow a lifecycle in the form of a bell curve. #onzi and Ooenig 4!??!5
showed that the same can be said about TQM which pea/ed between 1>>! and 1>>:
while rapidly losing popularity in terms of citations after these years. *ubois 4!??!5
argued that the use of the term TQM in management discourse created a positive utility
regardless of what managers meant by it 4which showed a large variation5 while in the
late 1>>?s the usage of the term TQM in implementation of reforms lost the positive
utility attached to the mere fact of using the term and sometimes associations with TQM
became even negative. Eevertheless management concepts such as TQM leave their
traces as their core ideas can be very valuable. 'or example *ubois 4!??!5 showed that
the core ideas behind the two management fads )eengineering and TQM without
explicit usage of their names can even wor/ in a synergistic way.
Total Quality Management is an approach to the art of management that originated in
apanese industry in the 1>0?Hs and has become steadily more popular in the 7est since
the early 1>=?Hs.
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Total Quality is a description of the culture attitude and organization of a company that
aims to provide and continue to provide its customers with products and services that
satisfy their needs. The culture requires quality in all aspects of the companyHs
operations with things being done right first time and defects and waste eradicated from
operations.
Many companies have difficulties in implementing TQM. +urveys by consulting firms
have found that only !? %:V of companies that have underta/en TQM have achieved
either significant or even tangible improvements in quality productivity
competitiveness or financial return. ,s a result many people are sceptical about TQM.
owever when you loo/ at successful companies you find a much higher percentage of
successful TQM implementation.
+ome useful messages from results of TQM implementations2
if you want to be a first rate company donHt focus on the second rate companies who
canHt handle TQM loo/ at the world class companies that have adopted it
the most effective way to spend TQM introduction funds is by training top
management people involved in new product development and people involved
with customers
itHs much easier to introduce $*MN#*M in a company with a TQM culture than
in one without TQM. #eople in companies that have implemented TQM are more
li/ely to have the basic understanding necessary for implementing $*MN#*M.
'or example they are more li/ely to view $*MN#*M as an information and
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wor/flow management system supporting the entire product life cycle then as a
departmental solution for the management of (,* data
Important aspects of TQM include customer driven quality top management leadership
and commitment continuous improvement fast response actions based on facts
employee participation and a TQM culture.
CustomerE#riven &uality
TQM has a customer first orientation. The customer not internal activities and
constraints comes first. (ustomer satisfaction is seen as the companyHs highest priority.
The company believes it will only be successful if customers are satisfied. The TQM
company is sensitive to customer requirements and responds rapidly to them. In the
TQM context Xbeing sensitive to customer requirementsH goes beyond defect and error
reduction and merely meeting specifications or reducing customer complaints. The
concept of requirements is expanded to ta/e in not only product and service attributes
that meet basic requirements but also those that enhance and differentiate them for
competitive advantage.
$ach part of the company is involved in Total Quality operating as a customer to some
functions and as a supplier to others. The $ngineering *epartment is a supplier to
downstream functions such as Manufacturing and 'ield +ervice and has to treat these
internal customers with the same sensitivity and responsiveness as it would external
customers.
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TQ lea#ership from top mana'ement
TQM is a way of life for a company. It has to be introduced and led by top management.
This is a /ey point. ,ttempts to implement TQM often fail because top management
doesnHt lead and get committed instead it delegates and pays lip service. (ommitment
and personal involvement is required from top management in creating and deploying
clear quality values and goals consistent with the ob3ectives of the company and in
creating and deploying well defined systems methods and performance measures for
achieving those goals. These systems and methods guide all quality activities and
encourage participation by all employees. The development and use of performance
indicators is lin/ed directly or indirectly to customer requirements and satisfaction and
to management and employee remuneration.
Continuous improvement
(ontinuous improvement of all operations and activities is at the heart of TQM. Ance it
is recognized that customer satisfaction can only be obtained by providing a high quality
product continuous improvement of the quality of the product is seen as the only way to
maintain a high level of customer satisfaction. ,s well as recognizing the lin/ between
product quality and customer satisfaction TQM also recognizes that product quality is
the result of process quality. ,s a result there is a focus on continuous improvement of
the companyHs processes. This will lead to an improvement in process quality. In turn
this will lead to an improvement in product quality and to an increase in customer
satisfaction. Improvement cycles are encouraged for all the companyHs activities such as
product development use of $*MN#*M and the way customer relationships are
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managed. This implies that all activities include measurement and monitoring of cycle
time and responsiveness as a basis for see/ing opportunities for improvement.
$limination of waste is a ma3or component of the continuous improvement approach.
There is also a strong emphasis on prevention rather than detection and an emphasis on
quality at the design stage. The customer driven approach helps to prevent errors and
achieve defect free production. 7hen problems do occur within the product
development process they are generally discovered and resolved before they can get to
the next internalcustomer.
.astresponse
To achieve customer satisfaction the company has to respond rapidly to customer needs.
This implies short product and service introduction cycles. These can be achieved with
customer driven and process oriented product development because the resulting
simplicity and efficiency greatly reduce the time involved. +implicity is gained through
concurrent product and process development. $fficiencies are realized from the
elimination of non value adding effort such as re design. The result is a dramatic
improvement in the elapsed time from product concept to first shipment.
%ctions "ase# on facts
The statistical analysis of engineering and manufacturing facts is an important part of
TQM. 'acts and analysis provide the basis for planning review and performance
trac/ing improvement of operations and comparison of performance with competitors.
The TQM approach is based on the use of ob3ective data and provides a rational rather
than an emotional basis for decision ma/ing. The statistical approach to process
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management in both engineering and manufacturing recognizes that most problems are
system related and are not caused by particular employees. In practice data is collected
and put in the hands of the people who are in the best position to analyze it and then ta/e
the appropriate action to reduce costs and prevent non conformance. @sually these
people are not managers but wor/ers in the process. If the right information is not
available then the analysis whether it be of shop floor data or engineering test results
canHt ta/e place errors canHt be identified and so errors canHt be corrected.
,mployee participation
, successful TQM environment requires a committed and well trained wor/ force that
participates fully in quality improvement activities. +uch participation is reinforced by
reward and recognition systems which emphasize the achievement of quality ob3ectives.
An going education and training of all employees supports the drive for quality.
$mployees are encouraged to ta/e more responsibility communicate more effectively
act creatively and innovate. ,s people behave the way they are measured and
remunerated TQM lin/s remuneration to customer satisfaction metrics.
% TQ culture
ItHs not easy to introduce TQM. ,n open cooperative culture has to be created by
management. $mployees have to be made to feel that they are responsible for customer
satisfaction. They are not going to feel this if they are excluded from the development of
visions strategies and plans. ItHs important they participate in these activities. They are
unli/ely to behave in a responsible way if they see management behaving irresponsibly
saying one thing and doing the opposite.
!ro#uct #evelopment in a TQ environment
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#roduct development in a TQM environment is very different to product development in
a non TQM environment. 7ithout a TQM approach product development is usually
carried on in a conflictual atmosphere where each department acts independently. +hort
term results drive behavior so scrap changes wor/ arounds waste and rewor/ are
normal practice. Management focuses on supervising individuals and fire fighting is
necessary and rewarded.
#roduct development in a TQM environment is customer driven and focused on quality.
Teams are process oriented and interact with their internal customers to deliver the
required results. ManagementHs focus is on controlling the overall process and
rewarding teamwor/.
%$ar#s for Quality achievement
The *eming #rize has been awarded annually since 1>01 by the apanese @nion of
+cientists and $ngineers in recognition of outstanding achievement in quality strategy
management and execution. +ince 1>== a similar award 4the Malcolm 9aldrige Eational
Quality ,ward5 has been awarded in the @+. $arly winners of the 9aldrige ,ward
include ,TYT 41>>!5 I9M 41>>?5 Milli/en 41>=>5 Motorola 41>==5 Texas
Instruments 41>>!5 and Jerox 41>=>5.
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CO !%NF !RO.I-,
T%T% otor
Tata Motors ;imited is India8s largest automobile company with revenues of )s.
%0:01.-= crores 4@+* =.= billion5 in !??< ?=. It is the leader in commercial vehicles
in each segment and among the top three in passenger vehicles with winning products
in the compact midsize car and utility vehicle segments. The company is the world8s
fourth largest truc/ manufacturer and the world8s second largest bus manufacturer.
The company8s !% ??? employees are guided by the vision to be Bbest in the manner in
which we operate best in the products we deliver and best in our value system and
ethics.C
$stablished in 1>-0 Tata Motors8 presence indeed cuts across the length and breadth
of India. Aver - million Tata vehicles ply on Indian roads since the first rolled out in
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1>0-. The company8s manufacturing base in India is spread across amshedpur
4 har/hand5 #une 4Maharashtra5 ;uc/now 4@ttar #radesh5 #antnagar 4@ttara/hand5
and *harwad 4Oarnata/a5. 'ollowing a strategic alliance with 'iat in !??0 it has set
up an industrial 3oint venture with 'iat Group ,utomobiles at )an3angaon
4Maharashtra5 to produce both 'iat and Tata cars and 'iat powertrains. The company is
establishing a new plant at +anand 4Gu3arat5. The company8s dealership sales services
and spare parts networ/ comprises over %0?? touch points6 Tata Motors also distributes
and mar/ets 'iat branded cars in India.
Tata Motors the first company from India8s engineering sector to be listed in the Eew
Wor/ +toc/ $xchange 4+eptember !??-5 has also emerged as an international
automobile company. Through subsidiaries and associate companies Tata Motors has
operations in the @O +outh Oorea Thailand and +pain. ,mong them is aguar ;and
)over a business comprising the two iconic 9ritish brands that was acquired in !??=.
In !??- it acquired the *aewoo (ommercial Fehicles (ompany +outh Oorea8s
second largest truc/ ma/er. The rechristened Tata *aewoo (ommercial Fehicles
(ompany has launched several new products in the Oorean mar/et while also
exporting these products to several international mar/ets. Today two thirds of heavy
commercial vehicle exports out of +outh Oorea are from Tata *aewoo. In !??0 Tata
Motors acquired a !1V sta/e in ispano (arrocera a reputed +panish bus and coach
manufacturer with an option to acquire the remaining sta/e as well. ispano8s
presence is being expanded in other mar/ets. In !??: it formed a 3oint venture with
the 9razil based Marcopolo a global leader in body building for buses and coaches to
manufacture fully built buses and coaches for India and select international mar/ets. In
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!??: Tata Motors entered into 3oint venture with Thonburi ,utomotive ,ssembly
#lant (ompany of Thailand to manufacture and mar/et the company8s pic/up vehicles
in Thailand. The new plant of Tata Motors 4Thailand5 has begun production of the
Jenon pic/up truc/ with the Jenon having been launched in Thailand at the 9ang/o/
Motor +how !??=.
Tata Motors is also expanding its international footprint established through exports
since 1>:1. The company8s commercial and passenger vehicles are already being
mar/eted in several countries in $urope ,frica the Middle $ast +outh $ast ,sia
+outh ,sia and +outh ,merica. It has franchiseeN3oint venture assembly operations in
Oenya 9angladesh @/raine )ussia and +enegal.
The foundation of the company8s growth over the last 0? years is a deep understanding
of economic stimuli and customer needs and the ability to translate them into
customer desired offerings through leading edge )Y*. 7ith over ! 0?? engineers and
scientists the company8s $ngineering )esearch (entre established in 1>:: has
enabled pioneering technologies and products. The company today has )Y* centres in
#une amshedpur ;uc/now in India and in +outh Oorea +pain and the @O. It was
Tata Motors which developed the first indigenously developed ;ight (ommercial
Fehicle India8s first +ports @tility Fehicle and in 1>>= the Tata Indica India8s first
fully indigenous passenger car. 7ithin two years of launch Tata Indica became India8s
largest selling car in its segment. In !??0 Tata Motors created a new segment by
launching the Tata ,ce India8s first indigenously developed mini truc/
In anuary !??= Tata Motors unveiled its #eople8s (ar the Tata Eano which India
and the world have been loo/ing forward to. The Tata Eano has been subsequently
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launched as planned in India in March !??>. , development which signifies a first
for the global automobile industry the Eano brings the comfort and safety of a car
within the reach of thousands of families. The standard version has been priced at
)s.1?? ??? 4excluding F,T and transportation cost5.
*esigned with a family in mind it has a roomy passenger compartment with generous
leg space and head room. It can comfortably seat four persons. Its mono volume
design will set a new benchmar/ among small cars. Its safety performance exceeds
regulatory requirements in India. Its tailpipe emission performance too exceeds
regulatory requirements. In terms of overall pollutants it has a lower pollution level
than two wheelers being manufactured in India today. The lean design strategy has
helped minimise weight which helps maximise performance per unit of energy
consumed and delivers high fuel efficiency. The high fuel efficiency also ensures that
the car has low carbon dioxide emissions thereby providing the twin benefits of an
affordable transportation solution with a low carbon footprint.
The years to come will see the introduction of several other innovative vehicles all
rooted in emerging customer needs. 9esides product development )Y* is also
focussing on environment friendly technologies in emissions and alternative fuels.
Through its subsidiaries the company is engaged in engineering and automotive
solutions construction equipment manufacturing automotive vehicle components
manufacturing and supply chain activities machine tools and factory automation
solutions high precision tooling and plastic and electronic components for automotive
and computer applications and automotive retailing and service operations.
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True to the tradition of the Tata Group Tata Motors is committed in letter and spirit to
(orporate +ocial )esponsibility. It is a signatory to the @nited Eations Global
(ompact and is engaged in community and social initiatives on labour and
environment standards in compliance with the principles of the Global (ompact. In
accordance with this it plays an active role in community development serving rural
communities ad3acent to its manufacturing locations.
7ith the foundation of its rich heritage Tata Motors today is etching a refulgent
future.
%N%G, ,NT
Boar# of Directors
Mr. )atan E Tata 4(hairman5
Mr. E , +oonawala
*r. Irani
Mr. ) Gopala/rishnan
Mr. Eusli E 7adia
Mr. + M #alia
*r. ) , Mashel/ar Mr. Easser Mun3ee
Mr. +ubodh 9hargava
Mr F O airath
Mr. )avi Oant
Mr. # M Telang
*enior ana'ement
Mr. )avi Oant Managing *irector
Mr. # M Telang $xecutive *irector 4(ommercial Fehicles5Mr. )a3iv *ube #resident 4#assenger (ars5
Mr. ( )ama/rishnan (hief 'inancial Afficer
Mr. + E ,mbarde/ar #lant ead 4(F9@ #une5
Mr. + 9 9orwan/ar ead 4 amshedpur #lant5
Mr. , M Man/ad ead 4(ar #lant5
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Mr. @ O Mishra Fice #resident 4,** and Materials (F9@5
Mr. + Orishnan Fice #resident 4(ommercial #(9@5
Mr. # W Gurav Fice #resident 4(orp. 'inance ,Nc and Taxation5
Mr. + Tambe Fice #resident 4 uman )esources5
Mr. ) #isharody Fice #resident 4+ales and Mar/eting (F9@5
Mr Eagesh #inge (hief Internal ,uditor
Company *ecretary
Mr. O +ethna
Corporate Communications
Mr. *ebasis )ay ead (orporate (ommunications
%NU.%CTURING
Tata Motors owes its leading position in the Indian automobile industry to its strong
focus on indigenisation. This focus has driven the (ompany to set up world class
manufacturing units with state of the art technology. $very stage of product evolution
design development manufacturing assembly and quality control is carried out
meticulously. Aur manufacturing plants are situated at amshedpur in the $ast #une in
the 7est and ;uc/now in the Eorth.
amshe#pur /
$stablished in1>-0 the amshedpur unit was the companyHs first unit and is spread
over an area of =!! acres. It consists of - ma3or divisions Truc/ 'actory $ngine
'actory (ab Y (owl 'actories and the Eovus.
!une /
The #une unit is spread over ! geographical regions #impri 4=?? acres5 and
(hinchwad 41%? acres5. It was established in 1>:: and has a #roduction $ngineering
*ivision which has one of the most versatile tool ma/ing facilities in the Indian sub
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continent.
-uc8no$ /
Tata Motors ;uc/now is one of the youngest production facilities among all the Tata
Motors locations and was established in 1>>! to meet the demand for (ommercial
Fehicles in the Indian mar/et... 4
Uttara8han#
The company has set up a plant for its mini truc/ ,ce and the passenger carrier Magic
4based on the ,ce platform5 at #antnagar in @ttara/hand. The plant began...
%W%RD*
Tata Motors wins award at the 9ang/o/ International Motor $xpo...
Tata Motors Investor )elations ran/ed first in India...
Eirmal Gram #uras/ar awarded to #ot/a panchayat...
Tata Motors bags the E*TF #rofit 9usiness ;eadership ,ward !??=...
Tata Motors awarded the Top $xporter Trophy by $$#(...
(F9@ #une wins )a3iv Gandhi Eational Quality ,ward for !??
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Tata Motors #une (F9@ has bagged the SGolden #eacoc/ Eational Quality ,w...
Tata Motors was awarded four prestigious honours at the H(E9( TF1= ,utocar,u...
Tata Motors chosen as IndiaHs Most Trusted 9rand in (ars...
9usiness Today selects Mr. #.#. Oadle as IndiaHs 9est ('A in !??0...
#une 'oundry *ivision bags prestigious Green 'oundry ,ward...
Tata Motors is H(ommercial Fehicle Manufacturer of the WearH...
,($ bags H9est (ommercial Fehicle *esignH at the 99( Top Gear ,wards....
amshedpur bags Eational $nergy (onservation ,ward for the fourth consecutiveye...
Tata Motors bags the prestigiousH (II $JIM 9an/ awardH for business excellence...
Tata Motors receives )* QF awards for 9usiness $xcellence...
H(ar Ma/er of the WearH ,ward for Tata Motors...
Tata Motors is H(ommercial Fehicle Manufacturer of the WearH...
TE+ Foice of the (ustomer ,ward for Indica *iesel...
H('A of the Wear ,ward !??-H awarded to Mr #raveen # Oadle $xecutive *irector...
Tata Motors wins the prestigious H(orporate #latinumH ,ward at the India Manuf...
Tata Motors wins HGolden #eacoc/ ,wardH for (orporate +ocial )esponsibility...
Tata Motors (F9@ #une wins Eational $nergy ,ward...
Tata Motors amshedpur wins H$nergy $fficient @nit ,wardH...
Tata Motors wins the first (+I) *iamond ubilee Technology ,ward...
Tata Motors Training *ivision 7ins SGolden #eacoc/ Eational Training ,ward!??-S...
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Tata Motors amshedpur Y ;uc/now win awards...
T,T, MATA)+ (,+$ +T@*W 7IE+ 'I)+T #)IZ$ IE III$ #)A*@(TIFITW(AET$+T...
T,T, MATA)+ 7IE+ ,7,)* 'A) ',I) 9@+IE$++ #),(TI($+...
Tata Indica and Tata +afari $Ji win awards...
Tata Motors (ar plant gets two I+A certifications...
Tata Motors bags awards at 1-th Eational (onvention of IE+,,E...
Indica and +afari win accolades...
T,T, MATA)+ #@E$ ,7,)*$* +$(AE* #;,($ IE E,TIAE,; ;$F$;(AM#$TITIAE IE $E$)GW (A...
Tata Motors )eceives SIndiaHs 9est $mployerS ,ward 'rom The $mploye...
Tata Motors (F9@ #une has won the prestigious anda Golden Oey awardinstitute...
(F9@ )$($IF$+ (AMM$E*,TIAE ($)TI'I(,T$ 'A) H+T)AEG(AMMITM$ET TA TQMH...
Tata Motors team wins The )unners @p #osition at The ,sian 9usiness +imulation(...
T $ #)$+TIGIA@+ 9,;,E($* +(A)$(,)* (A;;,9A),TIF$ ,;; A'',M$ ,7,)*...
Tata Motors receives all India trophy for Top $xporters...
Tata Indigo ad campaign wins $ffie award...
Golden #eacoc/ $nvironment Management ,ward !??%...
Industry and Technology ,ward !??!...
,dvertising ,wards...
Tata Indigo Most $xciting Eew (ar of the Wear I(I(I 9an/ Y Averdrive ,wa...
Tata $ngineering , +ocially )esponsible (orporate says T$)I...
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H#rof. Fasant )ao )olling TrophyH for Falue $ngineering !??!...
Tata $ngineering was conferred 9harat Gaurav #uras/ar...
9est Falue for Money (ar of the Wear Tata Indigo (E9( ,uto (ar ,uto ,wards !...
HFoice of the (ustomer ,wardH for H9est *iesel +mall (arH Tata Indica by E'A ,...
India ('A ,ward !??!...
Tata $ngineering bags IE+,,E awards...
Eational 9est Training $stablishment ,ward...
$nvirointernational...
Good (orporate (itizen award...
Eational ,ward for +uccessful (ommercialisation of Indigenous Technology...
Eational ,ward for )Y* $fforts...
)egional Top $xporterHs Trophy...
9est (ompany ,ward at 7or/s/ills (ompetition...
$$#( ,ward for Tata $ngineering...
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