Quality Circle at Indian companies

Abhishek Jindal

101303006

Quality-What it stands for?

Q: Quest for Excellence

U: Understanding Customer Needs

A: Action to achieve customer Appreciation

L: Leadership Determination to be leader

I: Involving all people

T: Team Spirit

Y: Yard strict measure progress

Quality Circle-

A way to Quality Improvement

Quality Circle

• A quality circle is a volunteer group composed

of workers , who do the similar work, usually

under the leadership of their own supervisor .

• They meet to identify and solve work-related

problems and present their solutions

to management and implement the solutions

themselves in order to improve the performance

of the organization.

• It is a way of capturing the creative and

innovative ideas lies within the workforce.

Concept of Quality Circle

• The concept of the quality circle is

primarily based upon recognition of the

worker as a human being,as someone

who willingly works on his job, his wisdom,

intelligence, attitude and feelings.

• It is based on the human resource

management considered as one of the key

factors in the improvement of product

quality and productivity.

Objectives of Quality circle

• Change in Attitude- From “I don’t care” to

“I do care”.

• Self Development- Bring out “Hidden

Potential” of people in company.

• Development of Team spirit- “I could not

do but we can do it”.

• Improved organisational Culture- Positive

working environment.

Process of Quality Circle

PDCA(Deming Circle)

Quality circles at BHEL

(Bharat heavy electricals

limited)• BHEL is the largest

engineering and

manufacturing

enterprise in India in

energy related or

Infrastructure sector.

• BHEL offers around 180 products and

provides system and services to meet the

needs of core sectors like power,

transmission, industries etc..

• Hyderabad unit of BHEL was initiator of

incorporating the concept of Quality circles

with 5 QC in that unit.

• This concept was first sold to the

company’s top level executives, but later it

was felt that this movement will not gain

momentum without the support of middle

level management.

The managers of BHEL realised that QC

didn’t only focus on improving quality but

also the following :-

• Improving human relations

• Improving productivity

• Improving participative culture

• Improving communication

• Promoting leadership development

Results

• By the end of 1998 there were more than

1700 QCs.

• In 2005, BHEL notched up its highest

turnover of Rs 105.2 million crossing Rs

100 million mark for 1st time.

• QCs contributed to about savings of Rs 20

million !!

Hyderabad BHEL

plant was

adjudged the

“Best

Organisation in

promoting Quality

Circles” by QCFI

Chapter

Convention.

Quality circles at SMCEL (SM

creative electronics limited)

Company is currently

engaged in the following major

activities

•Manufacturing and marketing of

all important constituents of DC Power

Plants

•Telecom and networking division is organised to support

varying needs of Telecom operator and enterprises

through supply,installation and maintainence.

•Strategic Electronic Division (SED) is another important

division which,

along with its Power Technology Group (PTG) is

specially organised to cater to strategic needs like

defense,satellitle applications, nuclear power plants etc..

Results after implementing

QCs• After implementing QCs the saving-cost

ratio was found to be between 5:1 and

10:1, which indicates very good

performance of this company.

• QCs have tripled since inception of

program.

• The percentage of employees who attend

the introductory presentation actually end

up joining the QC programme is 70%.

Quality circles at

BSNL(Bharat Sanchar Nigam

limited)

•World’s seventh largest

Telecommunication

Company providing

comprehensive

range of telecom services in India.

• It has become one of the

largest public sector unit in India.

• The branch has only two circles, with an

average of around 35 members each. Also, a

circular calling for volunteers was good enough

to generate interest among the employees as

many participated in the programme.

• The absenteeism and grievances were reduced.

• Though QCs were less but there were high no.

of employees per circle .

Results

• The saving cost ratio was in between 5:1

to 10:1 which is high inspite of less no. of

proposals being accepted.

• Though no. of circles were less but the

suggestions that were accepted were very

effective and caused significant cost

reduction.

Other Prominent Organizations

Advantages of Quality Circles

• It makes full use of workers potential.

• It provides the workers autonomy and

sense of achievement.

• It ensures greater participation and

involvement of workers in day to day

functioning of his department.

• It helps in finding solutions to several

problems

Thank You

Questions???