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Recognise,Reward & Retain      By      G V Srirama Kumar      Tata Motors, Jamshedpur,      INDIA
Stages of Idea ManagementFostering Innovation & CreativityGeneration of IdeasImplementation, Evaluation & AuditReward & Re...
Business Excellence
Leadership & constancy of purpose Business Excellence is visionary & inspirational leadership, coupled with clear directio...
Result OrientationBusiness Excellence is achieving resultsthat delight all the organization’sstakeholdersContinuous Improv...
Employees participation Business Excellence is maximising the contribution of the employees through their creativity, deve...
Creativity
“Creativity” is•marked by ability or power to create•to invent with a new form,•to produce through imaginative skill,•to m...
Through Creativity one can innovate at any levelLevels of Innovation                                                      ...
The innovation a firm achieves today defines its tomorrowThe ability to innovate i.e. to develop new products,technologies...
C. Creativity inOrganizations:   Learning Organizations
1. Team Effort :Innovations are not typically the result of a single person’s effort. These are thecollective effort of ma...
2.Operational Excellence:•Innovative organisation recognises the importance of operational excellence apartfrom traditiona...
3. Learning,Sharing & Growth:•   In an innovative organisation    •    Organisation learns faster than anyone else through...
4.Main dimension of a creative climate in an organisation:         1.    Challenge         2.    Freedom         3.    Ide...
Business Excellence is the result of successfully managing change in the organisation through Change Initiatives and Mange...
Present maze of change initiatives & management tools                       COPQ                                          ...
Facts about change initiatives & management tools •The terms are merely convenient symbols to describe concepts. •Behind t...
A deeper analysis reveals that all initiatives have threethings in common:-                               Top Management C...
“Our greatest asset is our people andtheir pride in belonging to the group. The quest for Excellence demands that   we mar...
Engineering                 Materials / Steel           Energy                 ChemicalCommercial Vehicles,     Metals, Co...
India’s first and fully integrated largest automobile                     manufacturer
Tata Motors today holds a strong domestic position and has                            established itspresence in the Globa...
OrganizationTATA MOTORS - MANUFACTURING LOCATIONS                               World wide presence             Sweden    ...
Manufacturing Base              India                Jamshedpur – Commercial Vehicles                Pune – Commercial and...
PEOPLES’S CAR                                   WORLD’S CAR               AUTOMOTIVE- A WAY OF LIFE @ TATA MOTORSINDIA’S 1...
LOCATED IN THE HEART OF                 MANUFACTURING SETUP IS    JAMSHEDPUR THE 7TH                    SPREAD OVER AN ARE...
Stages of Idea ManagementFostering Innovation & CreativityGeneration of IdeasImplementation, Evaluation & AuditReward & Re...
Origin of Suggestion Scheme in TML
Suggestion Process Flow
Stages of Idea ManagementFostering Innovation & CreativityGeneration of IdeasImplementation, Evaluation & AuditReward & Re...
Evaluation & Awards    Type of Award                                   Description     Final Award         Given after imp...
Stages of Idea ManagementFostering Innovation & CreativityGeneration of IdeasImplementation, Evaluation & AuditReward & Re...
RecognitionMeasures for Recognition of Suggestors1. Presentation by Suggestors & appreciation during:   o   divisional rev...
Communication With SuggestorsCoverage of Suggestion Scheme in House Magazine ‘Flashes’
Communication With SuggestorsCoverage in ‘Flashes’ in subsequent issue
Stages of Idea ManagementFostering Innovation & CreativityGeneration of IdeasImplementation, Evaluation & AuditReward & Re...
Back- up
Level One (Invention)• A new device, method or process developed from study and  experimentation• Technical realisation of...
Level Two (Innovation)• The act of introducing something new or different• Industrial application of inventions with the a...
Level Three (Adoption / Diffusion)• Spreading innovation from one area to another by producer• Essential improvements in t...
'Recognize, Reward, Retain: Tata Motor case study' by G. V. Srirama Kumar
'Recognize, Reward, Retain: Tata Motor case study' by G. V. Srirama Kumar
'Recognize, Reward, Retain: Tata Motor case study' by G. V. Srirama Kumar
'Recognize, Reward, Retain: Tata Motor case study' by G. V. Srirama Kumar
'Recognize, Reward, Retain: Tata Motor case study' by G. V. Srirama Kumar
'Recognize, Reward, Retain: Tata Motor case study' by G. V. Srirama Kumar
'Recognize, Reward, Retain: Tata Motor case study' by G. V. Srirama Kumar
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'Recognize, Reward, Retain: Tata Motor case study' by G. V. Srirama Kumar

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'Recognize, Reward, Retain: Tata Motor case study' by G. V. Srirama Kumar presented at the Ideas.Arabia 7th International Conference 2012

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  1. 1. Recognise,Reward & Retain By G V Srirama Kumar Tata Motors, Jamshedpur, INDIA
  2. 2. Stages of Idea ManagementFostering Innovation & CreativityGeneration of IdeasImplementation, Evaluation & AuditReward & RecognitionAchieving Business excellence through Innovative culture &retention of employees
  3. 3. Business Excellence
  4. 4. Leadership & constancy of purpose Business Excellence is visionary & inspirational leadership, coupled with clear direction & constancy of purposeCustomer FocusBusiness Excellence is creatingsustainable customer value and exceedingcustomer expectations
  5. 5. Result OrientationBusiness Excellence is achieving resultsthat delight all the organization’sstakeholdersContinuous Improvements & Innovations Business Excellence is challenging the status-quo and effecting change by using learning to create innovation and improvement opportunities
  6. 6. Employees participation Business Excellence is maximising the contribution of the employees through their creativity, development and involvements Corporate Social Responsibility Business Excellence is exceeding the minimum regulatory framework in which the organization operates and to strive to understand and respond to the expectation of their stakeholders in society
  7. 7. Creativity
  8. 8. “Creativity” is•marked by ability or power to create•to invent with a new form,•to produce through imaginative skill,•to make or bring into existence something new. Each individual in an organization is creative
  9. 9. Through Creativity one can innovate at any levelLevels of Innovation Example Invention (Technical Chips Level 1 realisation of new scientific knowledge) Computer Innovation (Industrial application Level 2 of invention for achieving specific goals) Fly by wire Diffusion/Exploitation/ Adoption Level 3 (Spreading innovation from one area to another bringing essential improvements in the existing system) For most firm innovation helps in achieving Business Excellence
  10. 10. The innovation a firm achieves today defines its tomorrowThe ability to innovate i.e. to develop new products,technologies,efficient process& system at a faster pace and cheaper than their competitors separates theworld’s best companies from all the rest.In a competitive environment it is innovation through creativity that distinguishesa winner and a loser Creativity/Innovation is the key for achieving business excellence
  11. 11. C. Creativity inOrganizations: Learning Organizations
  12. 12. 1. Team Effort :Innovations are not typically the result of a single person’s effort. These are thecollective effort of many people doing a small part of the larger whole Conventional Approach New Approach Effect Short-term but dramatic Long-term, lasting, undramatic Tempo Large steps as per plan Small steps- Continual Protagonists Few selected persons All company employees, interfunctional organisation Procedure Individual ideas and efforts Collective spirit, team work, systematic Motto Discontinuance and new start Retain and improve Recipe for success Technological achievement, new Conventional know-how and inventions, new theories prevailing technology Management principle Specialist oriented Generalist organisation Exchange of information Secret and internal Open and reciprocal Feedback Limited Comprehensive, intensive Innovation in a Creative Organisation is thus characterised by team effort and not by an individual’s effort
  13. 13. 2.Operational Excellence:•Innovative organisation recognises the importance of operational excellence apartfrom traditional product innovation for achieving business excellence•In an creative organisation •The design of nearly all work activities across functional roles, products, processes (assembly,material logistics, training, marketing, system redesign, administration etc.) •Connections among people through hierarchical levels (from workers to managers and above) and •Pathways of connected activities over which products, services and information take form are •Built around transparency & empowerment •Specified – in- their design and are well documented •Tested-with-their every-use and •Continuously improved in time,place and person for operational excellence
  14. 14. 3. Learning,Sharing & Growth:• In an innovative organisation • Organisation learns faster than anyone else through its people • They share the result of that learning across the enterprise • They constantly foster the development and sharing of new knowledge • They overcome resistance to perceived boundaries by transforming the constraints/barriers into resources• Organisation creates a climate that encourages and catalyses creativity • Creativeness flourishes in participative leadership • Creative leader/manager provide: • Appropriate challenge • Support • Idea Source • They encourage idea people by rewarding failure not just success;They reserve punishment only for inaction. With the pace of change ever quickening, the need to develop mechanisms for continuous learning and innovation is greater than ever
  15. 15. 4.Main dimension of a creative climate in an organisation: 1. Challenge 2. Freedom 3. Idea Support 4. Trust 5. Dynamism 6. Playfulness 7. Debates 8. Conflicts 9. Risk taking 10. Idea timeCreative organisation scores more highly on these ten dimensions than the stagnated one Great way of killing your company’s future…kill creativity
  16. 16. Business Excellence is the result of successfully managing change in the organisation through Change Initiatives and Mangement Tools
  17. 17. Present maze of change initiatives & management tools COPQ Value Engineering NPI CSI E-commerce QS 9000 OHS DOE TQM DFM / DFA TS 16949 SDT Matrix-Orgn CRM 5-SBench Marking EMS Knowledge management At first pass all these seems to be separate initiative requiring resources & efforts for achieving business excellence
  18. 18. Facts about change initiatives & management tools •The terms are merely convenient symbols to describe concepts. •Behind these jargons are the changing processes and the management tools that are transforming the companies through its employees •They reflect a revolution in business : •How excellence in business is achieved and improved continuously by innovative ways through its employees. •This also shows the eagerness of management to use all these acronyms merely reflecting an impatience for change.
  19. 19. A deeper analysis reveals that all initiatives have threethings in common:- Top Management Commitment TPM TQM Waste Elimination by EVA improving BPR resource efficiency Benchmarking …….. Employee Involvement Employee involvement should be with application of their creativity
  20. 20. “Our greatest asset is our people andtheir pride in belonging to the group. The quest for Excellence demands that we marshal this resource optimally, through teamwork, sharing knowledge and resources and benchmarkingourselves against the best in the world ” - Ratan Tata
  21. 21. Engineering Materials / Steel Energy ChemicalCommercial Vehicles, Metals, Composites Power Chemicals, PigmentsPassenger CarsCommunications & IT Consumer Products ServicesTelecommunications HotelsInformation Technology Consumer goods Financial ServicesControl systems International operations
  22. 22. India’s first and fully integrated largest automobile manufacturer
  23. 23. Tata Motors today holds a strong domestic position and has established itspresence in the Global auto market • India’s Largest Automobile Company by revenue • 2nd Largest Bus Manufacturer in Medium & Large Buses in The World • 4th Largest Truck Manufacturer in The World (>6t)TATA MOTORS • Largest Portfolio Of Products (Light, Medium And Heavy Trucks, Buses & Coaches, Passenger Cars & Uvs) • Acquired Commercial Vehicle Business Of Daewoo In 2004 (TDCV) • Acquired Jaguar Land Rover In 2008STRONG DOMESTIC • Market Leader In Commercial Vehicles (Market Share ~ 60-80% in major segments)POSITION • 3rd Largest Player In Passenger Cars • Has Over 1400 Customer Touch PointsROBUST FINANCIAL • Revenue : USD 28 billionPERFORMNACE • Profit : USD 2.1 billion
  24. 24. OrganizationTATA MOTORS - MANUFACTURING LOCATIONS World wide presence Sweden UK Taiwan South Rudrapur Korea Brazil Lucknow Jamshedpur Sanand Pune Dharwad South Africa A TS-16949, ISO-14001,OHSAS-18001 Certified Company
  25. 25. Manufacturing Base India Jamshedpur – Commercial Vehicles Pune – Commercial and Passenger Vehicles Lucknow – Commercial Vehicles Pantnagar – Commercial Vehicles Sanand – Tata Nano Dharwad – Buses Overseas South Korea –Heavy and Medium Trucks Spain – High Capacity Buses Morocco – High Capacity Buses Thailand – Pickup trucks UK – Jaguar Land Rover
  26. 26. PEOPLES’S CAR WORLD’S CAR AUTOMOTIVE- A WAY OF LIFE @ TATA MOTORSINDIA’S 1ST MINI TRUCK ‘GLOBAL’ TRUCK
  27. 27. LOCATED IN THE HEART OF MANUFACTURING SETUP IS JAMSHEDPUR THE 7TH SPREAD OVER AN AREA OF CLEANEST CITY OF INDIA 822 ACRES – 2ND MAJOR HAVING AVG LITERACY RATE INDUSTRY OF THE CITY OF 86% JAMSHEDPUR ISO 14001: 2004OVER 13,000 EMPLOYEES CERTIFIED FOR ITSRESIDING IN A RADIUS OF ENVIRONMENT 20 KMS MANAGEMENT SYSTEM
  28. 28. Stages of Idea ManagementFostering Innovation & CreativityGeneration of IdeasImplementation, Evaluation & AuditReward & RecognitionAchieving Business excellence through Innovative culture &retention of employees
  29. 29. Origin of Suggestion Scheme in TML
  30. 30. Suggestion Process Flow
  31. 31. Stages of Idea ManagementFostering Innovation & CreativityGeneration of IdeasImplementation, Evaluation & AuditReward & RecognitionAchieving Business excellence through Innovative culture &retention of employees
  32. 32. Evaluation & Awards Type of Award Description Final Award Given after implementation of suggestion Idea Award Given if idea is acceptable but implementation would require time Appreciation Letter Given for pointing out corrective actions related to common issuesType of Benefit Award AmountMonetary Saving (all categories) Normal Award = 1.401√ (Annual Saving x 6.84)For One-time Saving 0.1 x Normal AwardFor Recurring Saving 0.4 x normal AwardAppreciation Letter 10 or more to converted into monetary value once a year Suggestor’s Grade Suggestor’s Grade Factor Operative grades 1 Supervisory grades 0.8 Managerial grade 0.6 Maximum award for any suggestion: Rs. 25,000/-
  33. 33. Stages of Idea ManagementFostering Innovation & CreativityGeneration of IdeasImplementation, Evaluation & AuditReward & RecognitionAchieving Business excellence through Innovative culture &retention of employees
  34. 34. RecognitionMeasures for Recognition of Suggestors1. Presentation by Suggestors & appreciation during: o divisional reviews & shopfloor meetings o TMG meetings and during VIP visits to the Plant2. Displaying the list of Suggestion Awardees on notice boards in all the divisions3. Coverage of Suggestors in internal publications like Flashes and Hum Sab4. Introduction of a Suggestions Newsletter, to be circulated through global mail5. Awarding of Suggestion Award certificates by Chairman (Suggestion Scheme)6. Awarding of Telco Vir medal by Plant Head to the year’s highest Suggestion Award recipient during the Republic Day function7. Annual Suggestion Nite for felicitation of Suggestors, divisions and functionaries
  35. 35. Communication With SuggestorsCoverage of Suggestion Scheme in House Magazine ‘Flashes’
  36. 36. Communication With SuggestorsCoverage in ‘Flashes’ in subsequent issue
  37. 37. Stages of Idea ManagementFostering Innovation & CreativityGeneration of IdeasImplementation, Evaluation & AuditReward & RecognitionAchieving Business excellence through Innovative culture &retention of employees
  38. 38. Back- up
  39. 39. Level One (Invention)• A new device, method or process developed from study and experimentation• Technical realisation of new scientific knowledge or new combination of such knowledge• Solution exists outside the boundary of contemporary science• Examples : Laser Doppler altimeter Find new Find new ENTOMOPTER* problem concept Solution *An electro mechanical multimode flying or crawling insect developed by Georgia Technology Research Institute
  40. 40. Level Two (Innovation)• The act of introducing something new or different• Industrial application of inventions with the aim of achieving management goals• Synergy effect due to fusion of very different kinds of products, processes and technology• Encompasses the fields of production, distribution and consumption of products or services• Solution exists outside the boundary of one technology• Example : Find new Find new Fly by wire technology solution tasks Solution
  41. 41. Level Three (Adoption / Diffusion)• Spreading innovation from one area to another by producer• Essential improvements in the existing system• Solution from one area of technology involving methods from other fields• Examples : Automatic Transmission Battery Car Change Change Original existing problem solution Solution
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