8/8/2019 PQMmmmm

1/16

SYBMS A4 TH SEMESTER

2009-2010

PRAHALADRAIDALMIA

LIONS COLLEGE

OF

COMMERCE

AND

ECONOMICS

SUBJECT :

PRODUCTIVITY AND

QUALITY

TOPIC:-SUGGESTION

SCHEMES.

Presented to : prof.BENETA DUA.

8/8/2019 PQMmmmm

2/16

Group No. 7

SR NO. NAME ROLLNO

1. PRIYANKA AGRAWAL 2

2. RAVI BARAI 6

3. USHA MISTRY 27

4. ANKITA MODI 28

5. ROHAN SHAH 44

SR NO. TOPIC PAGE NO

1 Acknowledgement

8/8/2019 PQMmmmm

3/16

2 Executive summary

3 Chapter

4 Company chosen.

5 Why should the theory be applied

6 Methodology of how the theory is applied.

7 Steps, procedure and instruction tocompany.

8 Expected problem areas.

9 Problems of company

10 PAST,PRESENT AND CURRENT scenario of the company.

11 Appendix

12 Bibliography

13 Webliography

ACKNOWLEGEMENT

8/8/2019 PQMmmmm

4/16

The completion to this project would not have been possible without theguidance, aid and encouragement of many people. We would like to express our sincere Gratitude to them. We would like to thank our project Guide Prof. MehaTodi without whose encouragement and guidance the completion of this project

would have been impossible.

Last but not least we would like to thank our family members and friendswho helped us in this project. It was only because of their encouragement thecompletion of this project has been possible.

SUGGESTION SCHEME.

8/8/2019 PQMmmmm

5/16

The employees are working in the organization at different levels. While on the jobthey get number of ideas in mind to do some other improvement in theorganization. Every improvement yields some gains. To garner these gainssuggestion scheme is use Anything that will improve services are very important

for organization. .

Harnessing the power of your in-house creative ideas is essential. Markets todaydemand greater innovation. Changes are coming faster than ever before.Competitors are even more quick.

Customers have rising expectations. New ideas, better processes, more innovative products and services, and more effective ways to build strong futures with thosecustomers. Companies can no longer survive with staff members who expectmanagement to provide all the right answers. Today, companies require a steadyflow of ideas and solutions from those who are closest to the processes and thecustomers, those with their ears to the ground. To maintain an adaptable andresponsive organization, one must develop a culture that actively solicits input andrecommendations from every level of your employees. Fortunately, senior

managers are more receptive to this approach than ever before. But how can onetransform the mindset of staff who for years or even generations, were trained tokeep your mouths shut, lay low, just follow orders? How can one encourage thefrontline staff to open their minds, explore new ideas and share their bestrecommendations? The employee suggestion scheme is right method for this.

HISTORY

8/8/2019 PQMmmmm

6/16

Toyota started in 1933 as a division of Toyoda Automatic Loom Works devoted tothe production of automobiles under the direction of the founder's son, KiichiroToyoda. Its first vehicles were the A1 passenger car and the G1 in 1935. ToyotaMotor Co. was established as an independent company in 1937.

The Toyota Motor Company received its first Japanese Quality Control Award atthe start of the 1980s and began participating in a wide variety of motor sports.Due to the 1973 oil crisis, consumers in the lucrative U.S. market began turning tosmall cars with better fuel economy. American car manufacturers had consideredsmall economy cars to be an "entry level" product, and their small vehiclesemployed a low level of quality in order to keep the price low.

In 1982, the Toyota Motor Company and Toyota Motor Sales merged into onecompany, the Toyota Motor Corporation . Two years later, Toyota entered into a

joint venture with GM called NUMMI ( New United Motor Manufacturing, Inc),operating an automobile-manufacturing plant in Fremont, California. The factorywas an old General Motors plant that had been closed for two years. Toyota thenstarted to establish new brands at the end of the 1980s, with the launch of their

luxury division Lexus in 1989.

8/8/2019 PQMmmmm

7/16

In the 1990s, Toyota began to branch out from producing mostly compact cars byadding many larger and more luxurious vehicles to its lineup, including a full-sized

pickup, the T100 (and later the Tundra); several lines of SUVs; a sport version of the Camry, known as the Camry Solaria.

In 2001, Toyota's Toyo Trust and Banking merged to form the UFJ, United Financials of Japan . At the time, the UFJ was one of the largest shareholders of Toyota. As a result of Japan's banking crisis, the UFJ was merged again to becomeMitsubishi UFJ Financial Group.

In 2002, Toyota managed to enter a Formula One works team and establish jointventures with French motoring companies Citroen and Peugeot, a year after Toyotastarted producing cars in France.

In 2007, Toyota released an update of its full size truck, the Tundra, produced intwo American factories, one in Texas and one in Indiana. "Motor Trend" namedthe Tundra "Truck of the Year," and the 2007 Toyota Camry "Car of the Year" for 2007.

8/8/2019 PQMmmmm

8/16

WHY SHOULD THE THEORY BE APPLIED.

The success of a company depends on the workforce of the company. The worker gets various ideas while they are at their workplace, but due to the restrictions theyare unable to convey their ideas to the management.

Through suggestion scheme the employees can get an opportunity to convey their suggestions and can improve the overall performance of the company. To survivein todays competitive business it is very important to bring new innovative ideasin business and these ideas sometimes comes from the companys workforce.

Such innovative suggestions may help the company in performing better. Hence,suggestions play an important role in a companys performance.

METHODOLOGY

1. A form is developed to be filled in by the suggestor. The suggestor has to fillup the same in confidence.

2. He has to write present method and proposed method. Also he has to give possible savings, which will be generated by implementing the suggestion.

3. Such forms are collected periodically in the company.

8/8/2019 PQMmmmm

9/16

4. The suggestion coordinator checks the details and correctness of the data.

5. Then he takes up the suggestion to the person concerned in the organizationwho has to implement the same. He is called as suggestion evaluator. Hegives his comments as to the suggestion is acceptable or not.

6. Then the suggestion coordinator puts forward all the collected forms in the periodical meeting of suggestion committee.

7. The suggestion committee is comprised of experienced persons from variousdepartments like product design, manufacturing, materials, cost accounts,

marketing, quality control etc.

8. A senior person in the company who is chairman, heads the suggestioncommittee and he navigates the meeting.

9. The meeting is held periodically such as once in a month, depending on thenumber of suggestions to be discussed.

10.The suggestions are rejected or accepted by the committee, considering theimplementability of suggestion. The annual savings are calculated andfirmed up. The data of implementation is finalized.

11.Generally as per the rule of the company 10 to 20 % of the annual savingsare paid to the suggestor as one time ward, after the implementation of thesuggestion. This percentage can vary company to company.

12.These wards are given through the salary packets. Often some importantawards are given in the function to make publicity.

13.It is essential to see that the area in which suggestion is given is not part of the job of the suggestor. This is to be certified by senior management of thesuggestor if in doubt.

8/8/2019 PQMmmmm

10/16

14.When the annual saving increase more than a specific amount like rupees inlakhs, the award is not paid in terms of percentage of savings generated.Award is given in form a gold medal or silver medal.

PROBLEM OF THE COMPANY.

1. Company requires huge investment in expensive fixed costs, as well as thehigh costs of training and retaining labor.

2. There are lot of complaints from customers regarding the quality of the product.

8/8/2019 PQMmmmm

11/16

3. There are many complaints regarding after sales services

4. The company needs to keep producing cars in order to retain its operationalefficiency.

PAST SCENERIO OF TOYOTA COMPANY

In early days, Toyota Company had adopted traditional human resourcemanagement. The company had borrowed many achievements andtechnological experiences of leading western companies for itsdevelopment. Due to less capital they were not able to adopt hightechnology and innovated products. Also in those days, employees werenot skilled and they were not trained and their aim was to survive in themarket.

PRESENT SCENERIO OF TOYOTA COMPANY

8/8/2019 PQMmmmm

12/16

Toyota has managed to gain the leading position in the world market due to thesuccessful strategy of the market expansion and the implementation of the effectivemanagement style. In 60s-70s it became globalised. The success of the company

was due to its employees suggestions and its high effective production. Toyotaattempts to develop its production chain worldwide. Toyota has its plants andmajor suppliers of high technologies and innovations.

Nowadays, the company is one of the major innovators in the automobile industry.Toyota has its plants manufacturing and assembling cars not only in countrieswhich are traditional targeted markets for its products, such as the US, Australia,South-Eastern Asia, the EU, but it also actively enters markets of other countries of the world, including China, Argentina, Mexico. In this respect, it can be said thatToyota was one of the first to mass commercially producer of hybrid vehicles.Among its best products may be named Toyota Prius, which may be viewed as aflagman of hybrid vehicles production of Toyota.

AFTER IMPLEMENTING

In 1951 Toyota launched their Creative Idea Suggestion System. Toyota madesome notable innovations to it over the years, but most importantly, they stuck withit. The suggestion system is one aspect of a Lean management system manycompanies struggle with, stumble around or never get to when implementing theToyota Production System.

When the suggestion system was launched, it asked all workers for their ideas, andaimed to answer questions such as:

-Why are we asking for your creative ideas?

-What type of ideas are we looking for?

- How do we submit our ideas?

In the "Why are we asking for your creative ideas?" section, the document startsout with a fairly typical statement that "progress has been made in reducing cost

8/8/2019 PQMmmmm

13/16

and improving quality but we can still remove a lot of waste and improve quality.The accumulation of the joint efforts of every single person in the company is whatmakes them so productive." Most of Japanese industry was driven by the mantra of "catch up and surpass the US" in the post-war years. By luck or by design, Toyotaleadership concluded this was due to "the accumulation of the joint efforts of everysingle person"

This section ends by stating several times very clearly that Toyota will pay for these ideas and act quickly to implement them.

Who can submit ideas? The Toyota document said any employee can, regardless of the type of work they do, but in the beginning managers were excluded. Perhapsthis initial exclusion was to roll it out in stages, or perhaps it was to emphasize thatthe Creative Idea Suggestion System was meant to be a people development

system where managers were responsible for coaching and implementing ideas of the front line workers in production, administration and engineering, rather than acompetition for ideas between management and workers.

How do we submit our ideas? It says very clearly "put it in the box" and specifieswhere these suggestion boxes are. It would be interesting to know how and whenthis evolved away from the box to the suggestion system process of today.

8/8/2019 PQMmmmm

14/16

BIBLIOGRAPHY

PRODUCTIVITY AND QUALITY MANAGEMENT

------- S.D.APHALE

8/8/2019 PQMmmmm

15/16

WEBLIOGRAPHY

www.toyota.com

www.wikipedia.org/wiki/

www.springerlink.com/index/

www.gembapantarei.com/

http://www.toyota.com/http://www.wikipedia.org/wiki/http://www.springerlink.com/index/http://www.toyota.com/http://www.wikipedia.org/wiki/http://www.springerlink.com/index/

8/8/2019 PQMmmmm

16/16