Maruti saves 281 crore rupees through staff suggestions! In an interview to The Tribune, Rajiv Gandhi, Executive Director, Plants, Maruti-Suzuki India Limited, has disclosed that the homegrown auto giant has managed to save over Rs. 281 crores in the last financial year, simply by following the suggestions made by it's employees!
Making each and every Maruti-Suzuki employee an active participant in it's overall innovation, creativity and improvement goals, the numero uno auto company in India received over 6.98 lakh suggestions in 2015-16 from it's employees, which resulted in savings to the tune of over 281.8 crore rupees.
Most of the suggestions came from it's production, supply chain and engineering sections. The car company also has an online portal called " Sujhav Sangrahika" for it's employees, which is specially useful for the non-production sections.
Employees are rewarded for their (depending on the quality of) suggestions with extra cash in their salaries, family lunch coupons, movie tickets, etc., while the names of the Top 3 winners in both saving and non-saving suggestion categories are eminently profiled in the Maruti-Suzuki monthly newsletters. Quote:
The suggestion scheme in the company is as old as the company. It is one of the core values of the company that encourages innovation and creativity at workplace. It encourages the spirit of Kaizen (continuous improvement). It was among the finest people practices which we adopted from the parent company Suzuki Motor Corporation at the time of inception in early 1980s.
The guiding principle here is every employee, irrespective of his level, has the best knowledge of his work area. He is encouraged to look around his work area and come up with improvements that will enhance productivity, bring simplicity, save cost, energy, raw material etc. Interestingly, each year, the cost saving arising out of these suggestions have gone up. What is even more heartening is that the suggestions come from ordinary shop-floor workers. Not only is this beneficial for the company, it also lends a sense of pride and significance to the employees as it shows that their voice is not only heard but is important for the company’s progress.
Most of these suggestions relate to improving quality and reduce costs, ways to speed up operations, improve efficiency and streamline supplies. The broader objective was to engage with employees across levels and make them partners in the progress of the company. The company is of the view that as more young employees join the company, it is this culture of suggestion generation that will give them a sense of ownership in their projects and help them align themselves with the company’s goals and objectives.
| The Tribune |