Tata Steel is the perfect example of implementing TQM in its core value by an early anticipation of market shift towards quality. Top management involvement played an important role along with inducing change management in the organization.

1. TQM in TATA STEEL

2. TQM
TQM is an approach that seeks to improve quality and performance which will
meet or exceed customer expectations.
Can be achieved by:
 Integrating all quality related functions and processes throughout the
company
Holistic model which uses multidisciplinary approach to quality
 Increase in quality – higher productivity - less rework, rejects and waste –
lower costs and customers complaints

3. TQM Implementation
 Top down strategy
Pillars of TQM –
1. Organization : must emphasize on total employee involvement (TEI) and work
based design.
2. Products : Attention must be given onto the processes as quality of the
product is impossible without quality of the process
3. Commitment : Management control system implying the utmost need of top
management commitment
4. Leadership : required for coordination in continuous improvement.
5. Process : defined as a set of interrelated activities. SPC, SQC, MRP, JIT are
few examples of processes.

4. TATA Steel
 TATA Steel was founded by J. N. Tata in 1907 near a village called
Sakchi (now called Jamshedpur)
 Initially called – TISCO
 Changed its name from TISCO to Tata Steel in 2005
 TATA Steel Limited is an Indian multinational steel-making
company
 Headquartered in Mumbai, Maharashtra
 Subsidiary of TATA Group Second largest steel company in India
(measured by domestic production) with an annual capacity of 13
million tones after SAIL.
 World’s 7th largest steel company
 Annual crude oil capacity – 31 million tones

5. TQM in TATA Steel
 Formal incorporation of TQM for Business Excellence in late 1980’s – initiated
several quality activities like quality circles, ISO certification, quality
improvements using Juran Methods
 TATA Steel conducted TQM diagnosis along with JUSE team
 TQM diagnosis gave the company deeper understanding and clarity on its
approach to quality
TATA steel specifically looked at :
1. Strategic aspects or policy management
2. Daily management
3. People involvement

6. TQM in TATA Steel
 TATA Steel European operations – continuous improvement activities focused
on providing Business Units with the ability to drive business through Lean
Management, training of CI coaches and knowledge sharing
 NatSteel- maintains systematic approach towards improving productivity and
enhancing quality while reducing cost at the same time
 Singapore operations – concentrated on yield improvement, reduction in
power consumption and a significant bottom line benefit
 Xiamen operations – adopted measures to reduce vulnerability caused by
price fluctuations

7. TATA Steel- Journey in Field of Quality
 Tata Steel is among the world’s top
steel makers today, but 2 decades
ago Tata Steel went through a dark
period
 It was considered to be a sunset
industry and the Tata group actually
contemplated selling it off
 Fortunately, that did not happen.
Instead, the company invested in a
quality and business excellence
movement that has successfully
transformed the Indian steel major
into a world-class company
Tata
Steel
Bigger
LeanerBetter
It is one of the
lowest cost
producers of
steel in the
world
Its global workforce of
70,000 now produces 30
million tonnes of steel
annually in plants across
the world.
One of the biggest
adopters of IT in the
steel industry and among
the top 10 steel makers
in the world.

8. TATA Steel- Journey in Field of Quality (Cont’d)
- Tata Steel Realized that they
needed to accept the
importance of improvement
- Dr. JJ Irani Saw the value of
initiating the quality drive
1. Acceptance
- In 1990, Tata Steel adopted TQM as
integral part
- In 1995, Tata steel introduced a self-
assessment tool called Tata Business
Excellence Model (TBEM)
2. Adopting TQM
- Achieved a miserable 201 points on
a scale of 1,000
- Tata Steel went for complete
makeover with a focus on crucial
aspects such as productivity,
technology, innovation, customer
centricity, safety and so on
3. TBEM assessment
Tata Steel Decided
to go for benchmark
with the best

9. Process of Benchmark & Improved Result
Customer complaints management
• Benchmarked with Modi Xerox
Credit management
• Benchmarked with Citibank
Operational excellence and innovation
• Benchmarked with GE
Retail distribution
• Benchmarked with several FMCG companies
- Productivity Improved by
15 times
- In 2000, Tata Steel
became the first Tata
company to win the JRD
QV award.
- In 2004, Tata Steel
Achieved 700 on scale of
1000 in TBEM assessment

10. Tata Steel Inner Focus
Inner
Focus
Strategic
aspects or
policy
management
People
involvement
Daily
management
Areas needed to change
the business
Revisiting Quality Goals
Looking for incremental
improvements
Quality circles
Suggestion management
Managing day-to-day
operations
Stability of day-to-
operations
As a Result Tata Steel won
Deming Application prize in 2008
& later in 2012 they won Deming
Grand Prize

11. Long-term impact of TQM on Tata Steel
Continuous improvement process as a
integral part of the organization
Optimize the use of Consumables such as
lime, zinc, etc.
Reduction in Turnaround & shutdown time
through critical chain project management

12. Thank you for Listening!