2. HISTORICAL
PERSPECTIVE
India became independent in the year 1947.
1950 - 1990 Business scenario
• Industrial growth was very slow and
sluggish
• Insignificant market share in world market
• Thrust was towards
1)Self Reliance
2) Protection from competition
3) Nationalization
3. ECONOMIC REFORMS OF THE
1990s
1990 - Till date Business
scenario
The country’s door was
opened towards foreign
investments and the thrust
was towards :
1) Globalization
2) Competition
3) Privatization
4. CRITICAL ISSUES FACED BY INDIAN
INDUSTRIES
• GLOBAL MARKET
SCENARIO
• TOTAL QUALITY
MANAGEMENT
• PRODUCT INNOVATION
• HUMAN RESOURCE
DEVELOPMENT
• NEW MARKETING
STRATEGIES
5. DEMING PRIZE
• It was established in December
1950 in honour of W. Edward
Deming
• It was originally designed to
reward to Japanese companies
for major advances in quality
improvement
• Over the years it has grown,
under the guidance of Japanese
Union of Scientists and Engineers
(JUSE)and it is now available to
non Japanese companies as well
6. INDIAN COMPANIES WINNER OF THE
DEMING APPLICATION PRIZE
• Sundram Clayton brakes division(Sundaram Brake Linings), the world's
first friction material company to win.
• TVS Motor Company
• MAHINDRA & MAHINDRA Ltd., the world's first tractor company to win.
• Rane Brake Lining Ltd.
• SRF limited
• Rane Engine Valve Ltd
• Rane TRW Steering Systems Ltd.(SGD)
• Krishna Maruti Ltd., Seat Division
• Rane (Madras) Ltd.
• TATA STEEL, the first integrated steel plant in Asia to win Deming award
in 2008
• NATIONAL ENGINEERING INDUSTRIES LIMITED, part of the 150-year-old,
multi-billion CK Birla Group. The first bearing manufacturing company to
win.
7. MAHINDRA AND MAHINDRA
• It is one of the largest automobile
manufactures in India by production
and a part of the Mahindra Group
Conglomerate
• It is ranked #21 in the list of top
companies in India in the Fortune
500 list of 2011
• It has about 1,44,000 employees
across 100 countries in the world
• It was originally set up as a steel
company in Ludhiana in the year
1945
8. PREVIOUS TO TQM (1990)
• Tractor division was sellers market
• Focus was more on quality
• No emphasis on development of new models
• Manufacturing activity was more inspection oriented
detection
• Interaction with suppliers purely need based
• Sales and service activity lacked standardization
• Rework rejection percentages were high
• Employee involvement in improvement activity was
very limited
9. TQM JOURNEY WITH MAHINDRA
The TQM journey was in three phases :
• Introduction phase (1990-1994)
• Promotion Phase (1995-1999)
• Development Phase (2000 onwards)
“Customer first and quality
focus are our core values. For
this, we shall respond to the
changing needs and
expectations of the customers
speedily and effectively”
- Anand G. Mahindra
Group Chairman, Mahindra & Mahindra
10. INTRODCUTION PHASE (1990-1994)
The first phase objectives were :
• Improving manufacturing quality through
process control
• Improving the quality of bought out
components
• Increasing productivity and reducing the cost
of poor quality
Other processes like Juran’s process of quality
improvement (JQI) and Statisitical Process
control (SPC) were adopted.
11. PROMOTION PHASE (1995-1999)
• The focus was not just on standardization
of operations according to international
guidelines but improvement of
operations.
• Certifications ISO 9000 and automotive
sector specified standard QS 9000 were
obtained
• Up gradation of manufacturing facilities
• Initiation of Deming Prize Guidelines
12. DEVELOPMENT PHASE (2000 onwards)
• Improvement in core processes like new
product development, manufacturer supplier
management and sales customer operation
• Certification to environment management
system standards ISO 14001
• Continuous improvement activity started
including 100 percent of the employees
15. TATA STEEL
• The quality movement started in the company in
the 1980s, under the leadership of Dr. J.J Irani, the
then Managing Director
• The concept of Quality Circles was started at Tata
Steel’s factory at Jamshedpur.
• Over the next two decades the quality circles grew
to 7500 in number, covering 96% of the total
employees.
16. “Business excellence is
much more than
quality. In Tata Steel,
we started by just
talking about the
quality of the product.
Then we talked about
the big Q, quality in all
its facets, and the small
q, which pertains to
the quality of the
product”
- Dr. J.J. Irani, former M.D.,
Tata Steel
17. PURSUIT OF BUSINESS EXCELLENCE
• Tata Steel also wholeheartedly embraced two
prominent schools of thought in the area of
quality improvement – Juran and Kaizen
• The company won the JRD-QV award in 2000
18. THE DEMING PRIZE AND
TATA STEEL
• It is regarded as the highest award in the area of TQM,
closest to Nobel Prize. This makes it a singular event to
be cherished forever
• It is one of the most difficult awards to challenge and
win.
• For a company as large as TATA STEEL to win the prize
is even more extraordinary, since this meant that TQM
principles and their applications had been adopted
across several thousand people spanning multiple
shop floors and locations
• Tata STEEL became the first steel company outside
Japan to win this award
19. WINNING
THE DEMING
PRIZE
• Having decided on pursuing the Deming Prize, B.
Muthuraman requested an initial diagnosis by the
Deming team in 2005
• The final Deming examination was conducted in
2008 and is a fifteen day high pressure event
• Finally TATA STEEL bagged the Deming Prize and the
company dedicated the prize to all its 35,000
workers who made it possible
20. LIFE AFTER DEMING
• The company has applied for Deming Grand
Prize (highest Deming honour)
• TATA STEEL won the DEMING GRAND PRIZE in
October 2012 and became the first integrated
steel company in the world to do so
21. OTHER MAJOR TQM INITIATIVES IN
INDIA
• Quality in Manufacturing – RANBAXY
• Quality in Marketing – HINDUSTAN UNILEVER
• Quality as service – HDFC
• Quality in HRD – INFOSYS
• Quality in Hospitality – OBEROI GROUP OF
HOTELS
22. CONCLUSION
In marching towards the 21st century, Indian
corporate have begun the journey of TQM.
The journey is very painful. Yet, there is no
alternate road for excellence. TQM is both a
goal and a path. Therefore, the quality journey
is one that can never end.