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    A Study on Quality Circles at BHEL

    Krupanidhi Degree College, Bangalore-560035 Page | 2

    1.3 Quality:

    "Quality itself has been defined as fundamentally relational: 'Quality is the ongoing

    process of building and sustaining relationships by assessing, anticipating, and fulfilling stated

    and implied needs.'

    1.3.1 Total quality management:

    TQM is the continuous process of reducing or eliminating errors in manufacturing,

    streamlining supply chain management, improving the customer experience and ensuring that

    employees are up-to-speed with their training. Total quality management aims to hold all

    parties involved in the production process as accountable for the overall quality of the final

    product or service.

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    A Study on Quality Circles at BHEL

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    Quality circles have been implemented even in educational sectors in India, and QCFI

    (Quality Circle Forum of India) is promoting such activities. However this was not successful

    in the United States, as it (was not properly understood and) turned out to be a fault-finding

    exercise although some circles do still exist.

    The history of Quality Circles cannot be discussed with- out discussing the country of

    its Origin .The success of any concept or philosophy gains conviction and spreads only when

    it was practiced sincerely. The Japanese have not merely evolved a concept but practiced it

    with sincerity of purpose bringing forth amazing results. This has drawn the attention of the

    nation the world over and they have found great potential in involving the people by 1947.

    General Douglas McArthur requested US Govt. to send experts to help Japanese rejuvenate

    their industries.

    1949: An Overseas Technical Research Committee was organized by the Union of Japanese

    Scientists Engineers (JUSE)

    1949: JUSE organized a seminar on SQC

    1949: JUSE organized a seminar Quality Control-Basic Course

    1950: JUSE published a magazine SQC

    1950: Dr Deming invited to eight day Quality Control seminar organized by JUSE.

    1951: Deming prize instituted.

    1954: Dr Joseph Juran invited to Quality Control Management seminar organized by JUSE.

    1956: Japans radio started broadcasting a Quality Control Course organized by JUSE.

    1960: Japanese Govt. declared November as Quality Month and Q-flag was adopted.

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    Quality Control Circles (Japan)

    1962: First QC Circles was registered with Circle Head Quarters

    1962: First annual QC Conference for Foremen was held

    1964: Regional chapters of QC were organized in four different districts

    1966: Dr.Juran observed QC Circles activities

    1966: Special QC Circle session was organized at the 10th conference of European

    Organization for Quality Control held in Stockholm, Sedan

    1967: Number of registered QC Circles grew to 10000

    1968: JUSE dispatched the first QC Circle Study Team overseas

    1969: Registered Circles grew t 20000

    1969: 100th

    QC Circle Conference was held in Tokyo

    1970: Registered Circles grew to 30000

    1971: JUSE organized the first QC Circle seminar

    1971: 200thQC conference was held

    1971: Registered QC Circles grew t 40000

    1971: First National QC Circle Conference was held in Tokyo

    1972: Regional Circles grew to 50,000

    1973: 300th

    QC Circle Conference was held

    1974: Registered circles grew to 60,000

    1974: 400th

    QC Circle conference held

    1975: Registered Circes grew to 70,000. 500th

    Conference held

    1977: Registered Circles grew to 80,000. 700th

    Conference was held

    1978: Registered Circles grew t 90,000

    1978: First international QC Circles Convention was held

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    1979: 800th

    QC Circles Conference was held

    1979: Registered QC Circles Conference numbered 1000000

    1980: 900th

    Conference was held

    1981: International QC Circles Convention was held

    1985: Third International QC Circles Convention was held

    1988: More than one million Circles with over ten million members

    Quality Circles (Other Than Japan)

    1974: Lockheed Company, USA Started Quality Circles movement

    1977: International Association of Quality Circles (IACC) was formed in USA

    1980:230 Companies in USA has Quality Circles

    1983: There were more than 500,000 known Quality active in the world

    Quality Circles (India)

    1980: BHEL, Hyderabad first in India to start Quality Circles

    1982: Quality Circle Forum of India (QCFI) was founded

    1983: Tata Motors (formerly Telco) started Circles by 1985 they had more than Circles 1985:

    BHEL had 1411 Circles covering around 13362 members

    1.6 Quality Circles in India

    In India, Quality Circles movement was introduced in BHELin January1981, after preparing

    the ground in 1980. Its success in a large public enterprise like BHEL having 73000

    employees naturally drew the attention of many organizations in the country and it triggered

    off the spread of the movement in the country. BHEL kept its door open in sharing its

    experiences and organizing National Seminars in association with other National Bodies and

    thus the Q.C movement started catching up.

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    1.7 Other Names of Quality Circles

    Small Groups

    Action Circles

    Excellence Circles

    Human Resources Circles

    Productivity Circles

    1.8 Structure of Quality Circles

    1.9 Quality Circle Meetings

    Meetings play important role in working of quality circles.

    Meetings must be attended by all the members of the quality circle.

    In general, meetings take place once a week or once in a fortnight.

    Each meeting lasts for approximately one to two hours, though variations are possible.

    It is important to have the regularity of the meetings.

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    1.9.1 What takes place during Quality Circle Meetings?

    Any of the several activities may occur during a meeting such as:

    Identifying a theme or a problem to work on.

    Getting training as required to enable members to analyze problems.

    Analyzing problem(s).

    Preparing recommendations for implementing solution(s).

    Follow up of implementation of suggestions.

    Prepare for a presentation to the management.

    1.9.2 Pitfalls and problems

    Lack of faith in and support to Quality Circle activities among management personnel

    Lack of interest or incompetence of leaders/facilitator

    Apathy, fear and misunderstanding among middle level executives

    Delay or non-implementation of Circle recommendations

    Irregularity of Quality Circle activities

    Lack of or non-participation by some members in the Circle activities

    1.10 Quality Circles in BHEL

    To facilitate the employees of grass root level to involve in improvement activities and

    take-up problems related to their respective work area, analyze and solve them in a systematic

    way to enable self development & mutual development of Quality circle Team members.

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    1.11 Problem Solving Techniques in Quality Circles

    Quality commonly uses certain basics techniques to identify analyze and resolve problems

    they are:

    1) Brain storming

    2) Data collection

    3) Stratification

    4) Pareto analysis

    5) Cause and Effective diagram

    6) Histogram

    7) Scatter diagram

    8) Graphs

    These techniques though simple, but are very powerful ones and they help they quality

    circles investigation the case for their work related problems and find solutions in scientific

    way.

    1.12 Quality assurance co-ordination activities:

    a) Formation of Quality Circles & Registration

    b) Re-organization of circles (based on the need)

    c)

    Maintaining data base of circles (Membership data)

    d) Providing necessary inputs to circles like arranging training, Meeting register, QC

    related books, formats etc.,

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    e) Maintaining performance record of Quality Circles( SIPs : Small Improvement

    Projects, MMPs :Middle Management Presentations)

    f) Keeping records of active circles (Active circles shall have Minimum of24

    Meetings ,2 Case studies, & one Middle Management Presentation made in a

    calendar year)

    g) Conducting Annual Unit Quality Circle Convention (AUQCC).

    h) Nomination for External Conventions (Facilitating QCs to participating in external

    Conventions)

    i) Republic day, EDs Rolling shield for best performing Quality circle by Evaluating

    the case studies and performance of the previous year.

    j) Procurement and performance of mementoes to active Circles.

    k) Reporting the performance of Quality circles to corporate Quality from time to

    time.

    l) Facilitate Quality Circle teams to participate in International Conventions as per

    corporate guide lines.

    1.13 Formation of new circles:

    Max 5 members Minimum 4 employees (worker category, supervisor category)

    working at a particular function /area can form Quality Circles(QC).The Quality Circles also

    have to select an Executive Guide(preferably from their work centre). The proposed Team

    Members shall fill up the registration form (Format No: QA/QCC-001) available with a QA-

    Quality Circles coordination centre. Members shall give consent by signing on the form. After

    obtaining the signatures of area coordinator and facilitator of the concerned work

    area/product/service group, form to be submitted to Quality circle coordination (QA).

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    QA shall Register the Quality Circle and allocate Quality circle Number and issue

    meeting Register, copies of handbook n Quality circles to the newly formed Quality Circles

    All the New Quality circles formed shall be encouraged with a welcome Memento to each

    member f the team (including Executive Guide)

    1.14 Re-organization of quality circles:

    If the circle strength is reduced due to retirement or transfer of team members or

    otherwise, shall fill in the Form (Format No: QA/QCC-001) with revised Team and indicate

    Re-organization of Quality Circles with the consent of members and with the signature of

    area Coordinator and facilitator of concerned work area/Product/Service Group and submit to

    Quality Circle Co-ordination (QA)

    Quality Circle Coordination shall update the data base accordingly.

    Maintaining performance record of Quality Circles (Small problems solved, MMPs (Middle

    Management Presentation).MMP Format No: QA/QCC-04, Rev-00and SIP Format No:

    QA/QCC-03, Rev: 00

    Based on the Submitted documents (Filled in signed SIP booklets &MMP Booklets) QA shall

    update the data on problems solved by teams. Solved problems also can registered as

    IMPRESS project by respective Quality Circle Team.

    Keeping Records of Active Circles (Minimum 24 Meetings in a year, 2 case studies (SIPs) &

    one middle management Presentation in a calendar year). QA shall prepare the list of active

    circles for calendar year based on SIPs and MMPs data received from teams.

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    1.15 Annual unit quality circle convention:

    The QA shall organize Annual Unit Quality Circle convention to provide a platform to present

    the case studies by Quality Circles. The case studies shall be evaluated by external Judges and

    winning Quality Circles Teams shall be awarded.

    The Category for participation are: (a) Manufacturing (b) Support Services (c) Manufacturing-

    New Circle (d) Support Services-New Circle.

    Qualification for a New Circle is First time participation in the Annual Unit Quality Circle

    convention and Should have formed in the past calendar years

    1.16 Key activities of quality circles coordination:

    Quality Assurance is the coordination agency for promoting, monitoring the quality circles in

    the unit and to encourage the formation of QC Circles by potential members

    To organize 2 day training program for all newly joined members and also to organize

    refresher program to existing members.

    1. All the Ne Members shall be given a 2 day class room training on simple problem

    solving Tools, Presentation techniques.

    2. As per training need identified by area coordinator, one day refresher programs shall

    be organized to members of Existing Circles.

    3. Organizing appreciation programs t area coordinators, Facilitators.

    4.

    Training shall be planned based on the requirement as at pint 4 above, and get

    incorporated in HRDC Calendar.

    5. In addition to HRDC Calendar programs, need based programs shall be organize with

    due approvals.

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    To organize to review of Quality Circles functioning by verifying meeting registers, collecting

    Small Improvement Project (SIPs), facilitating Middle management Presentations (MMPs) at

    function/shop level.

    To plan to conducting steering committee meetings (twice a year)t discuss the status of

    Quality circles movements and achievements and obtain directions for improvement.

    1.17 Roles and responsibilities of quality circle members

    Quality Circle: Circle consist of Leader, Dy.Leader, 4 members (Total QC Team

    members=6) from working class (workers &Supervisors) and an Executives will be an

    Executive guide from work area of team

    Leader: Quality circle leader organizes and conducts quality circle meetings /activities as

    per schedule and records meeting notes in the meeting register. He/she leads the team in all

    activities.

    Members: All members including leader, Dy.Leader are equal in sharing, discussing

    problems, coming out with solutions and implementations of solution for the problem with the

    consent of concerned work centre in-charge. Through the Quality Circles are voluntary, they

    have responsibility of functioning with in a frame work of rules of company for the

    improvement.

    Executive Guide: The person chosen to guide the team possessing-work area job

    knowledge, Basic SQC skills and PPT skills. Executive Guide shall support the circle in

    implementation of solution, providing technical inputs, preparation of presentation etc.

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    Area Coordinator:The person nominated by the respective product/service GM to act as

    a link between Quality Assurance & Quality Circle of the product/Functional area. The area

    coordinator will liaisons with work centre in-charge of concerned circles and provide facility

    for conducting weekly meetings.

    Facilitator: Facilitator shall be nominatedby concerned product/Service GM. He/She

    coordinates the several quality circles through the circle leaders. the facilitator shall provide

    resources for model making, trail implementation of solutions fund by Quality circle team.

    Encouraging the Quality circles for greater involvement. The vetting of gains of the projects

    shall be done by work centre in-charge &Facilitator.

    Steering committee:Steering Committee consists of Unit head as Chairman, all product&

    Service GMs& DROs as members and head of Quality Assurance shall be the convener for

    committee meetings.

    1.18 Terms of reference for steering Committee are:

    To set goals and objectives for the Movement of Quality Circles.

    To formulate/revise the policies for development of the Quality Circles

    Approve the guide lines for measuring the effectiveness of Quality Circles

    Review the Performance and progress of Quality Circles periodically

    To provide all support and encouragement to Quality Circle movement in the

    organization

    Recommend for monetary benefits for nurturing the Quality Circles &Encouraging the

    Best performing Quality Circles.

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    CHAPTER 2

    REVIEW OF LITERATURE & RESEARCH DESIGN

    A review of the literature is an essential part of an academic research project. The

    review is a careful examination of a body of literature pointing toward the answer to the

    research question. Literature reviewed typically includes scholarly journals, scholarly books,

    authoritative databases and primary sources. Sometimes it includes newspapers, magazines,

    other books, films, and audio and video tapes, and other secondary sources.

    2.1 Review of literature on Quality Circles

    Garvin (1993): mentioned that, through quality-related activities, organizations can be

    effective at creating or acquiring new knowledge and applying that knowledge to their own

    activities. Through such learning, organizations can strengthen their motive power, integrate

    individual knowledge and skill into organizational competence, and create competitive

    advantage and group effectiveness.

    Mohrman (1995): mentioned that team members rely on each other, share the same goals,

    and share responsibility for outcomes in team-based organizations. Thus, it appears that there

    are major connections between organizational learning and QCC activities. Based on a review

    of hospital-based studies, conducted in Taiwan, this study concluded that quality management

    practices have created organizational improvements, which appear to contribute to transferring

    knowledge and skills within the organization through teamwork and training. This

    contribution not only increases teamwork effectiveness but also reinforced the perception of

    self-growth in team members.

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    Meyer and Stott (1985): Recently estimated that at least 500 U.S. firms are currently using

    QCs. They also noted the lack of evaluative research undertaken to assess the effectiveness of

    the circles. Indeed, most of the evidence pertaining to their effectiveness is anecdotal or hazed

    on cross-sectional survey research.

    Dasgupta, Ranjan (March 2014): They found during Post-independence, Durga steel plant

    was going through a crisis period up to early 1980s. During that period, a comprehensive

    participative program was framed and implemented. One such program was quality circle

    (QC), initiated in early 1990s and effectively run till date. This study has been undertaken to

    find the critical responsible factors of such QCs' effectiveness in DSP based on the developed

    QCs' effectiveness model. In this present study, both primary and secondary data were

    collected in three phases during 2004-2009 through questionnaire from 160 respondents

    representing 80 sample QCs. The data so collected were analyzed by PCA under FA with

    relevant validity analysis. Twenty 'Factors' were found by the study as critical and responsible

    for QCs' effectiveness. It was concluded that although the success and effectiveness measure

    varies in between QCs, but those 'Factors' would act as the catalyst of QCs' effectiveness in

    any type of industrial setting within the region and country.

    Chi Chen Kuo, Min-Hsun Christine (Feb 2011): The health care industry in Taiwan has

    faced many challenges in recent years. To tackle those challenges, many hospitals in Taiwan

    began using management techniques used in other industries. As a result, quality management

    has become important within Taiwan's health care industry. This study provides a perspective

    on how this health care industry, by developing both quality control circle (QCC) practices

    and organizational learning techniques, responded to those challenges.

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    Crossan et al. (1999): In their discussion of the linkage between quality improvement

    activities and organizational learning. The results revealed the existence of a link between

    organizational learning and QCC activities. In addition, the reviewed QCC activities

    facilitated organizational learning and contributed to health care quality improvements in the

    studied hospitals. Finally, QCC practices in hospitals facilitated dissemination of

    organizational learning concepts in those hospitals.

    Goldstein, S. G.: According to him, quality circles are only one manifestation has general

    applicability and that an organization with a well-designed dualistic structure should

    outperform one with a well-designed mono structure. The literature on quality-circle design is

    not entirely consistent with the theory of organizational dualism, and this might explain why

    some applications of qualitycircles have failed. Changes that could improve the basic design

    of quality circles are suggested.

    Jin, Hyun Woong, Doolen, Toni.L: Suggested that Quality Circles and Kaizen Events have

    resulted in productivity and quality improvements for organizations. There is limited empirical

    research comparing these two approaches. This research study was designed to understand the

    similarities and differences in the structure and outcomes of these two popular continuous

    improvement approaches in Korea and the USA. A logic model framework consisting of four

    areas (resources, activities, outputs and outcomes) was used to assess the key components of

    these six improvement projects. Data for three different comparative case study project pairs

    were collected. Projects were matched on both manufacturer-level and project-level

    characteristics. Matched projects were similar in size and type of product produced.

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    There was no evidence to support the conclusion that one continuous improvement approach

    is more or less effective than the other. Both approaches produced improvements in both

    technical and social system outcomes. Overall, it appears based on this study, that

    both Quality Circles and Kaizen Events can be successfully deployed in an organization's

    continuous improvement journey.

    Radhoui, Rezg, Chelbi Jan (2009) suggested that quality control and preventive maintenance

    policy for a randomly failing production system producing conforming and non-conforming

    units. The considered system consists of one machine designed to fulfill a constant demand.

    According to the proportion l of non-conforming units observed on each lot and compared to a

    threshold value lm, one decides to undertake or not maintenance actions on the system. In

    order to palliate perturbations caused by the stopping of the machine to undergo preventive

    maintenance or an overhaul, a buffer stock h is built up to ensure the continuous supply of the

    subsequent production line. A mathematical model is developed and combined with

    simulation in order to determine simultaneously the optimal rate, [image omitted] and the

    optimal size h* which minimize the expected total cost per time unit including the average

    costs related to maintenance, qualityand inventory.

    Lawler III, Edward E, Mohrman, Susan A suggested that qualitycirclesas an approach to

    improve organizational performance. Quality circles are potentially useful in helping move an

    organization toward greater effectiveness. Its orientation and structures are consistent with a

    participative approach to management; as such, they pose the following challenge to

    traditional management approaches.

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    The view of the authors on how well can traditional approaches coexist with quality circles is

    that, in the long term, quality circles have trouble existing with traditional management

    approaches; under such conditions, they either fade or require changes in major features of the

    organization. There is no road map for the use of quality circles. However, some of their

    strengths and weaknesses suggest that organizations should think carefully before choosing

    them as an approach to participative management. In most cases, it may be best to transition

    them to another form of cooperative program.

    Wood, Robert,Hull, Frank,Azumi, Koya:The quality circles programs that exist in many

    Japanese organizations are being widely adopted in U.S. organizations. However, the high

    expectations and lack of planned evaluation for the quality circle programs in many U.S.

    organizations suggests that quality circles are already in the adoption-disappointment-

    discontinuation cycle that has been characteristic of many other managerial fads. The authors

    present several reasons why quality circles can lead to increases in the morale, motivation,

    productivity, and work quality of workers and suggest that the conventional wisdom, which

    sees them as either a form of job enrichment or a human relations technique, is ill-focused.

    The types of organizational settings in which quality circles are most likely to be effective are

    discussed and suggestions are made regarding the proper evaluation of quality circle

    programs.

    Blair John D, Ramsing, Kenneth (1983):said that American production and manufacturing

    organizations in the concepts and techniques being used by Japanese managers. In

    particular, quality circles have been found to be valuable in some companies and been seen by

    many as being the answer to the declining productivity in companies in the United States.

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    However, there is considerable concern by these authors that an indiscriminate acceptance of

    the quality circle concept may result in a series of problems for many organizations attempting

    its use. Although quality circles did not appear in the United States until implemented by

    Lockheed Missile and Space Company in 1974, their growth has been extremely rapid. It was

    estimated in 1980 by I.A.Q.C., that the number had grown to over 3,000 circles in U.S.

    companies. This widespread interest in quality circles comes, in part, from the almost

    deceptively simple concept of organizational intervention with the primary objective to

    increase productivity and quality of the production/ manufacturing sector through direct

    employee participation. Within this context, QCs appear to succeed in tapping into several

    dimensions of organizational behavior which are potentially related to improved

    organizational functioning: individual motivation, group process, and managerial decision

    making. However, a number of questions do exist about the use of quality circles in the

    production of goods and services in this nation. Some of these concerns are described under

    the headings of.' Cultural Considerations; White Collar Effectiveness; Motivational Forces;

    Effectiveness of Quality Circles; Introduction of Quality Circles; and Quality Circle

    Longevity. This paper presents some implications and caveats for the use of quality circles as

    a basis for improving quality and productivity:

    From the careful analysis of all the above-mentioned studies, it was found that there is not

    a single study related with the current research topic. Hence, in order to bridge the gap in the

    available literature, the researcher has undertaken the present study.

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    2.2 Research Design

    2.2.1 TITLE OF THE STUDY

    A Study on Quality Circles in manufacturing industry with specific reference to

    Bharat Heavy Electrical Limited, Hyderabad

    2.2.2 INTRODUCTION

    Total Quality Management (TQM) is an approach that seeks to improve quality and

    performance which will meet or exceed customer expectations. This can be achieved by

    integrating all quality-related functions and processes throughout the company. TQM looks at

    the overall quality measures used by a company including managing quality design and

    development, quality control and maintenance, quality improvement, and quality assurance.

    TQM takes into account all quality measures taken at all levels and involving all company

    employees.

    In business, an organization should try to get the home court advantage using TQM.

    The activities for each employee, including top management, should be geared toward the

    same purpose, which is often referred to as the vision. If people in a company do not have the

    same purpose, the organization will be weak. If the organization is to achieve its goals, all

    people related to the organization must have activities for achieving their purposes. The bigger

    the number of people who have the same purpose, the stronger the chances are of achieving

    the purpose. If 20,000 employees are committed, the organization will be stronger than if

    10,000 are committed.

    The need for learning and understanding the principles of total quality has become

    increasingly obvious in recent years. TQM is a comprehensive approach requiring lengthy and

    extensive education and training programs within organizations. One such initiative is the

    formation of quality circles. A quality circle is a participatory management technique that

    enlists the help of employees in solving problems related to their own jobs.

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    2.2.4SCOPE OF THE STUDY

    This study would enlighten the functioning of quality circles in BHEL, Hyderabad. The

    study would, identify the key issues such as:

    An in-depth knowledge regarding the work system of quality circles through appraisal,

    Detailed knowledge with respect to Quality circle composition and its criteria,

    The pre-requisites for an effective problem solving through QCs

    The scope of the study also extends to external environment. It contains a detailed

    description of the:

    benefits,

    rewards,

    And other non-monetary benefits provided by the competing organizations.

    This refinement in the current Quality circle process will enhance the effectiveness

    and efficiency of the employees as well as the system. This would enhance the performance

    levels of the employees; increases morale, loyalty and efficiency level of the employees.

    2.2.5 OBJECTIVES OF STUDY

    Primary Objective:

    The main objective of the study is to determine the effectiveness of Quality Circles in

    the manufacturing sector and the use of them as a measure to increase the efficiency level in

    the organizations with specific reference to BHEL, Hyderabad.

    Secondary Objectives:

    The following are the secondary objectives of the study. They are to:

    Identify the Quality Circles that are currently functioning in BHEL, Hyderabad

    Understand the working system of the quality circles

    Know their contribution towards employee communication, job involvement and

    participation

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    2.2.6 TYPE OF RESEARCH

    The study is descriptive in nature.

    2.2.7 POPULATION

    Employees of BHEL in India

    2.2.8 SAMPLE SIZE

    144 employees of BHEL, Hyderabad

    2.2.9 SAMPLING UNIT

    For this study the respondents are the employees of BHEL from all categories

    2.2.10 TYPE OF SAMLING

    Simple random sampling, a probability sampling method is used for the study.

    2.2.11 TOOLS OF DATA COLLECTION

    Primary data

    Primary sources are the origin of information under study, fundamental documents

    relating to a particular subject or idea. Often they are firsthand accounts written by a witness

    or researcher at the time of an event or discovery. These may be accessible as physicalpublications, as publications in electronic databases, or on the Internet. Primary data for the

    current study was collected by interacting, through responses of employees related to the topic

    with the help of the structured questionnaire.

    Secondary data

    Secondary sources are documents or recordings that relate to or discuss information

    originally presented elsewhere. These, too, may be accessible as physical objects or

    electronically in databases or on the Internet. The secondary data for the present study was

    collected through Brochures, news magazines, Hand Books, corporate journals and apex

    manuals, web sites etc..,

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    2.2.12 PLAN OF ANALYSIS

    The data collected from various sources is tabulated and represented using the

    percentage and ranking method. Graphical tools like bar diagrams, pie charts etc., are used to

    illustrate the tabulated data pictorially. Inferences and interpretation of the data is done on the

    basis of tabulated data.

    In both Hypotheses 1 and 2, the null hypotheses are tested using Chi-Square test for

    independence of attributes at 5% level of significance with the help of SPSS.

    2.2.13CHAPTER SCHEME:

    a. Introduction

    b.

    Review of Literature & Research Design

    c. Profile of Industry/Business/Selected Organisations

    d. Results, Analyses and Discussions

    e. Summary of Findings, Conclusions and Recommendations.

    2.2.15 OPERATIONAL DEFINITIONS

    Quality: Quality is a products or services ability to satisfy the needs and expectations of

    the customer

    Quality Costs: The costs of quality are the cost associated with the prevention, discovery,

    and resolving of defects in parts. These costs can arise whether the product in the design

    stages, manufacturing plant, or in the customer's hand.

    Quality management:is an organization-wide approach to understanding precisely what

    customers need and consistently delivering accurate solutions within budget, on time and

    with the minimum loss to society.

    Total quality management:TQM may be defined as a continuous quest for excellence by

    creating the right skills and attitudes in people to make prevention of defects possible and

    satisfy customers/users totally at all times. TQM is an organization-wide activity that has

    to reach every individual within an organization.

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    Quality control (QC): is a procedure or set of procedures intended to ensure that a

    manufactured product or performed service adheres to a defined set of quality criteria or

    meets the requirements of the client or customer. QC is similar to, but not identical with,

    quality assurance (QA).

    Quality Assurance: QA is defined as a procedure or set of procedures intended to ensure

    that a product or service under development (before work is complete, as opposed to

    afterwards) meets specified requirements. QA is sometimes expressed together with QC as

    a single expression, quality assurance and control.

    Quality Circle: A quality circle is a participatory management technique that enlists the

    help of employees in solving problems related to their own jobs. Circles are formed of

    employees working together in an operation who meet at intervals to discuss problems of

    quality and to devise solutions for improvements. Quality circles have an autonomous

    character, are usually small, and are led by a supervisor or a senior worker.

    2.2.16 LIMITATIONS OF THE STUDY

    The study assumes that the information revealed by the respondents is authentic and

    not misleading.

    The research had no control over the extent to which managerial support of the QC

    programs differed in the work groups and organization under the study

    As the Quality training was provided by the base of QC Facilitator, the researcher had

    no control over any differences in training emphasis and/or technique to which the

    various QC were exposed.

    Non-attitudinal measures of QC outcomes (such as number of problem solutions

    suggested or implemented) were not investigated.

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    CHAPTER 3

    INDUSTRY PROFILE AND COMPANY PROFILE

    3.1 INDUSTRY PROFILE

    Industries are the pointing lights to the growth of an economy & are the backbone of

    the country. The development & growth of a country largely depends on industrialization of

    its economy. India is basically an agriculture based country. It is after the independence,

    India has given importance to the growth of industrial development through 5 year planning

    programs Government has taken a leading march to up the movement of industrialization.

    For any country, small or big, developed or developing, need good infrastructure

    facilities such as roads, dams, tunnels etc. the infrastructural facilities are the primary need

    for the transportation movement of roads. Roads play an important role in this aspect.

    Tremendous development has taken place in science & technology, which has mechanized

    every in every field. Manually carried out work is less productive & time consuming. Thus,

    to increase efficiency & productive, mechanical equipment came into existence & almost

    every field is mechanized. As such, the demand for such mechanical equipments has

    increased tremendously.

    India has been ruled by foreigners for several years. And as such, after independence

    India has given priority to strengthen the countrys defense force. Several industries

    producing defense equipment has been started by the government of India thereafter. India

    felt the need of having strong defense which is capable of defending its borders from

    neighbors. In this view, BHEL has been established by ministry of defense.

    Heavy Electrical Industry covers power generation, transmission, distribution and

    utilization equipments. These include turbo generators, boilers, various types of turbines,

    transformers, switchgears and other allied items. Majority of the products manufactured by

    heavy electrical industry in the country, which includes items like transformers, switchgears

    etc. are used by all sectors of the Indian economy. Some major areas where these are used are

    the multi core projects for power generation including nuclear power stations, petrochemical

    complexes, chemical plants, integrated steel plants, non-ferrous metal units, etc.

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    3.1.1 Turbines and Generator Sets

    The capacity established for manufacture of various kinds of turbines such as steam &

    hydro turbines including Industrial turbines is more than 7000 MW per annum in the country.

    Apart from BHEL, the public sector unit that has the largest installed capacity, there are units

    in the private sector also manufacturing steam & hydro turbines for power generation and

    industrial use. The manufacturing range of BHEL includes steam turbines upto 660 MW unit

    rating and the facilities are available for 1000 MW unit size. They have the capability to

    manufacture gas turbines upto 260 MW (ISO) rating and gas turbine based Co-generation and

    Combined Cycle Systems for the industry and utility applications. Custom built conventional

    hydro turbines of Kaplan, Francis and Pelton types with matching generators are also available

    indigenously. AC Generators manufactured in India are on par with international AC

    Generators and consistently deliver high quality power with high performance. Domestic

    manufacturers are capable of manufacturing AC Generator right from 0.5 KVA to 25,000

    KVA and above with specified voltage rating. The imports and exports of turbines and

    generators during 2005-06 were Rs. 2420 crore and Rs. 565 crore respectively.

    3.1.2 Boilers

    Bharat Heavy Electrical Ltd.(BHEL) is the largest manufacturer of boilers in the

    country (with more than 60% share) and has the capacity to manufacture boilers for Super

    Thermal Power Plants apart from utility boilers and industrial boilers. The industry has the

    capability to manufacture boilers with super critical parameters upto 1,000 MW unit size. The

    domestic industry has the capacity to meet the indigenous requirement / demand for boilers.

    The imports and exports of boilers during 2005-06 were Rs.160 crore and Rs.242 crore

    respectively.

    3.1.3Transformers

    The domestic transformer industry is well established with capability to provide state

    of- the-art equipments. The industry has the capacity to manufacture whole range of power

    and distribution transformers including the REC rating of 25,53,100 KVA and also the extra

    High voltage ranges of 400 kV, 600 MVA.

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    3.1.4 Switchgear and Control Gear

    In India, the entire range of circuit breakers from bulk oil, minimum oil, air blast,

    vacuum to SF6 are manufactured to standard specification for the benefit of customers. The

    ranges of products produced cover the entire voltage range for 240V to 800KV, switchgear

    and control gear, MCBs, air circuit breakers, switches, rewireable fuses and HRC fuses with

    their respective fuse bases, holders and starters. The industry is competitive in the field of

    design and engineering as the skill sets available in the country are relatively less expensive.

    The imports and exports of the above equipments during 2005-06 were around Rs.1690 crore

    and Rs. 1108 crore respectively.

    3.1.5 Electrical Furnaces

    Electrical Furnaces are used in Metallurgical and Engineering industries like forging

    and foundry, machine tools, automobiles etc. Adequate capacity for production of these

    products has been established. The imports and exports of electrical furnaces during 2005-06

    were around Rs.186 crore and Rs. 108 crore respectively.

    3.1.6 Shunting Locomotives

    Shunting Locomotives for localized/ internal transport facilities are used in railways, steel,

    plants, thermal power plants, etc. BHELs Jhansi unit among others is manufacturing such

    locomotives. The installed capacity is adequate to meet the domestic demand.

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    3.2 COMPANY PROFILE

    Established more than 40 years ago, BHEL is the largest engineering and

    manufacturing enterprise of India in the energy & infrastructure related sectors. BHEL is

    amongst world's rarest few who have the capability to manufacture entire range of power plant

    equipment. Since its inception, BHEL is maintaining a consistent track record of growth,

    performance and profitability.

    The company has grown in stature over the years with continued inflow of orders,

    manufacturing prowess, continued thrust on technology leading to a strong presence in

    domestic and international markets as a major supplier of power plant equipments besides

    establishing substantial inroads in select segment of products in Industrial sector and

    Railways.

    3.2.1 Manufacturing

    In Power generation segment, BHEL is the largest manufacturer in India supplying wide

    range of products & systems for thermal, nuclear, gas and hydro-based utility and captive

    power plants.

    Establishments in the Manufacturing sector are often described as plants, factories, or mills

    and characteristically use power-driven machines and materials-handling equipment.

    BHEL is one of the few companies worldwide, involved in the development of Integrated

    Gasification Combined Cycle (IGCC) technology which would usher in clean coal

    technology.

    Manufacturing establishments may process materials or may contract with other

    establishments to process their materials for them. Both types of establishments are included

    in manufacturing.

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    BHEL was founded in 1950s.Its operations are organized around three business sectors:

    Power.

    Industry-including Transmission, Transportation, and Telecommunication & Renewable

    Energy.

    3.2.2 Industry

    BHEL has emerged as a major supplier of controls and instrumentation systems, distributed

    digital control systems for industries, and simulators for various applications.

    In Industry Sector, BHEL secured orders worth Rs.8782 Crore in Captive Power, Rail

    Transportation, Power Transmission, Oil & Gas, Renewable Energies and other Industrial

    Segments.

    BHEL is supplying X'mas tree valves and well heads up to a rating of 10,000 psi to ONGC

    and Oil India. It is also supplying on-shore drilling rigs, sub-sea well heads, super deep

    drilling rigs, desert rigs and heli-rigs.

    3.2.3 Transmission

    BHEL supplies a wide range of transmission products and systems of up to 400 kV class.

    Those include: high-voltage power and distribution transformers, instrument transformers,

    dry-type transformers, SF6 switchgear, capacitors and ceramic insulators.

    Equipment for high-voltage direct current (HVDC) systems are also supplied, for economic

    transmission of bulk power over long distances. Series and shunt compensation systems are

    also manufactured to minimize transmission losses.

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    BHEL has developed and commercialized the countrys first indigenous 36 kV Gas

    Insulated Substation and has also developed 145 kV Gas Insulated Substation (GIS) which

    has undergone successful testing at CESI, Italy.

    BHEL has also established its capability in the area of Flexible AC Transmission systems

    (FACTS).

    3.2.4 Transportation

    Most of the trains of the Indian Railways are equipped with BHELs traction and traction

    control equipment.

    Most of the trains of Indian Railways, whether electric or diesel powered, are equipped with

    BHEL's traction propulsion system and controls. The systems supplied are both with the

    conventional DC and state-of-the-art AC drives.

    India's first underground metro at Kolkata runs on drives and controls supplied by BHEL.

    Almost all the EMUs in service are equipped with electrics manufactured and supplied by

    BHEL.

    BHEL has proved once again its capabilities and technological excellence by successfully

    establishing itself as an indigenous manufacturer of energy efficient IGBT based propulsion

    system for AC drives, a landmark achievement in transportation sector.

    India's first underground metro at Calcutta runs on drives and controls supplied by BHEL.

    The Company has developed and supplied broad gauge 3900 HP AC locomotives,

    5000/4600 HP AC/DC locomotives, diesel shunting locomotives of up to 2600 HP, battery

    powered road vehicles, including electrics & control electronics.

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    BHEL has acquired the technology for 6000 HP 3-phase AC Locos and started

    manufacturing the electrics & controls as well as those for 3-phase AC EMUs, Diesel EMUs

    and OHE cars.

    3.2.5 Telecommunication

    BHEL manufactures telecom switching equipment based on C-DOT technology, the major

    products being MAX-XL of up to 40,000 lines capacity and Single Base Module RAX for

    rural applications.

    3.2.6 Technology

    BHEL is one of the few companies worldwide, involved in the development of Integrated

    Gasification Combined Cycle (IGCC) technology which would usher in clean coal

    technology.

    3.2.7 Renewable Energy

    In keeping with the commitment to use renewable power in units, the company has installed

    Solar Street lighting in and around ISG building in Bangalore; PV panel module on rooftop

    of PCB building in EDN, Bangalore and Emergency Solar lighting at the main receiving

    stations at HPEP Hyderabad during 2011-12. In bid to ensure green supply chain, Study of

    Supply Chain Management was completed at Hyderabad unit. Energy audit was completed

    in Insulator Plant, Jagdishpur; EPD, Bangalore and HPEP Hyderabad units.

    BHEL has been contributing to the national effort for developing and promoting renewable

    energy based products on a sustained basis. Starting from small applications like Solar

    Powered Street Lighting, Rural Water Pumping Systems, Railway signalling, Offshore

    Drilling Platforms, etc.,

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    Technologies have been developed and commercialized for exploiting non-conventional and

    renewable sources of energy.

    Orders for two Grid Interactive Solar PV Power plants of 5 MW each from Karnataka Power

    Corporation and Indian Oil Corporation for their projects at Mandya and Phalodi

    respectively.

    These include photovoltaic cells and modules, solar lanterns, grid-interactive PV Power

    Plants and solar heating systems.

    BHEL has emerged as a major manufacturer of wind electric generators of up to 250 kW

    unit size. The Company has set up its own wind farms of 3000 kW capacity (12x250 kW) at

    Ramgiri (A.P.) and another of 4000 kW capacity (16x250 kW) at Kadavakkallu (A.P.).

    Today, BHEL has a wide-spread network comprising 14 manufacturing divisions, 8 service

    centers, 4 power sector regional centers, 18 regional offices, and a large number of project

    sites spread all over India and abroad.

    This enables BHEL to have a strong customer orientation, to be sensitive to his needs and

    respond quickly to the changes in the market.

    It manufactures over 180 products under 30 major product groups and caters to sectors

    including power generation and transmission, transportation, and renewable energy, among

    others.

    3.2.8 Research and development

    The following are the major thrust areas for R&D and technology:

    More efficient conventional thermal power plants using supercritical parameters

    More efficient conventional thermal power plants using ultra-supercritical & Advanced Ultra

    supercritical parameters

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    Advanced control and instrumentation platform for thermal power plant and industrial

    application

    Coal research for refinement of understanding Indian coal characteristics

    Integrated Gasification Combined Cycle (IGCC) power plants

    Green technologies for Reduction of emissions such as Underground Coal Gasification,

    clean development mechanism (CDM) projects etc.

    Atmospheric and Circulating Fluidized Bed Combustion (CFBC) boilers

    Large size hydro power plants with higher efficiency and longer life

    Advanced transmission systems like 800kV HVDC, 765 kV, 1200 kV Transmission

    systems/ products

    Flexible AC Transmission systems, including devices such as Thyristor Controlled Series

    Compensation, phase shifting transformer, static synchronized compensator (STATCOM),

    controlled shunt reactor, etc.

    Gas insulated switchgear

    Efficient, reliable and cost effective transportation solutions including IGBT based

    applications, three-phase

    AC drive system for diesel electric locos

    Higher rating Industrial steam turbines

    Enhancing efficiency of the existing products

    Grid connected renewable energy systems such as solar PV, solar thermal, wind etc.

    Simulators

    Advanced Fabrication Technologies

    Surface coatings including ceramic applications

    Residual life assessment studies

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    Deployment of new technologies including deployment intelligent machines & robotics, for

    reducing cycle time and cost

    Specialized engineering software applications

    Total Engineering solutions including EPC with focus on automation.

    Vibration and noise reduction

    Applications based on high temperature Superconductors.

    Desalination and Water Treatment Plants

    Nano-technology applications

    Hydrogen energy and fuel cells

    3.2.9 Diversification

    BHEL has also diversified into the area of track maintenance machines and coach building

    for Indian Railways and undertakes retrofitting and overhauling of rolling stock.

    3.2.10 Profits and losses of BHEL

    BHEL has recorded highest ever turnover and profit during 2011-12, at a time when the

    economic and business environment in India was undergoing some uncomfortable changes.

    With the turnover and net profit of Rs. 49,510cr. And Rs. 7,040cr.

    BHEL Company has registered growth of 19.9% and 24.3% in 2010-11 respectively during

    the year excluding onetime impact of change in policy in 2010-11 related to provisions for

    warranty obligations for earlier years.

    In the power sector and intense competitive pressure in domestic and overseas markets,

    BHEL secured orders worth Rs.22,096 crore, during the year. At the end of the year,

    cumulative orders in hand for execution in 2012-13 and beyond, stand at about Rs.1,35,300

    crore.

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    BHEL significantly increased their execution capabilities. As a result, during XI Plan period,

    BHEL commissioned 25,385 MW of Utility sets against 13,613 MW achieved in X Plan

    period.

    First time in country new rating 525 MW thermal sets was commissioned by BHEL.

    Continuing its focus on Engineering and R&D, company invested r 1,198.82crore in R&D

    and filed 351 patents during the year. This is enabling us to build and consolidate our

    innovation capabilities in emerging and existing areas.

    BHEL made a capital investment of r 1,122 crore during 2011-12 towards augmentation of

    manufacturing capacity and modernization of facilities in manufacturing units and at power

    project sites. With this, in XI Plan period, BHEL has made a capital investment of r 6,298

    crore as against r 1,092 crore in X Plan- a six-fold increase. Maintaining our leadership

    position in India.

    Bharat Heavy Electricals Limited (BHEL) - SWOT Analysis examines the company's

    key business structure and operations, history and products, and provides summary analysis

    of its key revenue lines and strategy.

    3.2.11 Strengths

    Strong engineering base and stable industrial relationship. Has been making profits

    continuously and paying dividends since 1974.

    Great support from the collaborators has helped it to acquire modern technology and

    transform it to suit Indian conditions

    Huge customer base in domestic business leading to major presence and influence in the

    market

    More than 190 products and 30+ major product groups

    Ability to deliver high quality products at a competitive price

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    3.2.16 VISION

    A global engineering enterprise providing solutions for a better tomorrow

    3.2.17 MISSION

    Providing sustainable business solutions in the fields of energy, industry & infrastructure

    BHEL has been a pioneer in the area of Human Resource Development, being the first

    Public Sector Undertaking of its kind, in India, to have setup an extensive HRD infrastructure

    as way back as the early sixties. Human Resource Development Centre (HRDC) of BHEL

    R.C.Puram, Hyderabad occupies a significant place not only among other HRDCs of BHEL

    but also as an important Training and Development Centre in the twin cities of Hyderabad

    [Andhra Pradesh].

    3.2.18 VALUES

    Zeal to Excel and Zest for Change

    Integrity and Fairness in all Matters

    Respect for Dignity and Potential of Individuals

    Strict Adherence to Commitments

    Ensure Speed of Response

    Foster learning, Creativity and Team-Work

    Loyalty and Pride in the Company

    3.2.19 OVERVIEW OF BHEL

    Bharat Heavy Electricals Limited(BHEL) owned by Government of India, is a

    power plant equipment manufacturer and operates as engineering and manufacturing company

    based in New Delhi, India.

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    Established in 1964, BHEL is India's largest engineering and manufacturing company

    of its kind. The company has been earning profits continuously since 1971-72 and paying

    dividends uninterruptedly since 1976-77. In recognition of its consistent high performance,

    BHEL has been conferred with the 'Maharatna' status by the Government of India on 1

    February 2013. It is now one among seven Maharatna PSEs

    BHEL emerged as the largest engineering and manufacturing enterprise of its kind in

    India and ranks amongst the top ten power generation equipment manufacturers in the world.

    BHEL is engaged in the design, engineering, manufacture, construction, testing,

    commissioning and servicing of a wide range of products, systems and services for the core

    sectors of the economy, viz. Power, Transmission, Industry, Transportation, Renewable

    Energy, Oil & Gas and Defence.

    With a massive network of 14 manufacturing Units located at various important

    centers all over India, BHEL manufactures almost all critical high technology products

    required for power sector like Gas Turbines, Steam Turbines, Turbo generators, Boilers,

    Pumps and Heat exchangers, Pulverizes and electrical switch gears.

    With a widespread network of 17 manufacturing units, two repair units, four regional

    offices, eight service centers, eight overseas offices, 15 regional centers, seven joint ventures,

    and infrastructure to execute more than 150 project sites across India and abroad, BHEL

    provides products, systems and services to customers efficiently and at competitive prices. The

    company has established capability to deliver 20,000 MW p.a. of power equipment to address

    the growing demand for power generation equipment.

    BHEL places strong emphasis on innovation and development of new technologies. Its

    research and development (R&D) efforts enables a strong customer orientation for responding

    to changes in the market.

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    The high level of quality & reliability of its products is due to adherence to

    international standards by acquiring and adapting some of the best technologies from leading

    companies in the world including General Electric Company, Alstom SA, Siemens AG and

    Mitsubishi Heavy Industries Ltd., together with technologies developed in our own R&D

    centers. Most of its manufacturing units and other entities have been accredited to Quality

    Management Systems (ISO 9001:2008), Environmental Management Systems (ISO

    14001:2004) and Occupational Health & Safety Management Systems (OHSAS 18001:2007)

    With strategic alliances and technological collaborations with world leaders for its

    products, BHEL's technological strength is today on par with the best in the world.

    The BHEL, which set up its first in Bhopal was established in the year 1956. It is the

    first and largest industrial undertaking in the country manufacturing power equipment. It has

    now 4 Regional Centers, 8 Service Centers and 18 Regional Offices. The corporate head-

    quarters is located in New Delhi. In the early sixties three major plants were set up at

    Haridwar, Hyderabad and Tiruchirapalli. Its products cover a wide range like power,

    transmission, industry, transportation, oil and gas, telecommunication etc., besides non-

    conventional energy systems.

    The other areas covered by the BHEL include defense and civil aviation. Its services

    extend from Project Feasibility Studies to after sales service including undertaking turn-key

    projects. Its credibility and standing in the industrial scene of the country is evident from the

    report of the World Bank as the Indian Public Sector wherein it is described as One of the

    most efficient enterprises in the industrial sector, at par with international standards of

    efficiency. BHEL has acquired the ISO-9000 Certification for most of its operations.

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    According to the organizations vision 2002, it aims to become a world class,

    innovative, competitive and profitable engineering enterprise providing total business

    solutions. Its declared mission is to acquired the status of leading engineering enterprise

    providing quality products, systems and services in the field of energy, transportation,

    industry, infra-structure and other areas covered by the electricity industry.

    The value system of the organization envisages meeting commitments to customers,

    both internal and external, faster learning experiences and creativity among the work force,

    maintain the dignity of the individuals working in the organization as well as customers and

    outsiders, promote loyalty and a sense of pride among the workers, encourage team spirit,

    create a zeal to excel and follow a policy of fairness among all those with whom it deals.

    The leadership styles in the organization are oriented towards fostering and sustaining

    organizational values, empowering everyone with responsibility but ensuring accountability at

    all levels. The leadership styles include a vision, courage, credibility, versatility with due

    importance given to recognition of merit, acting on feedback from the lower levels and

    counseling those who need it, adopt a system of information sharing and consultation. In

    short, it would like to project itself as a role model for others.

    The organizational objectives of BHEL has been carefully and judiciously formulated

    to ensure study growth in the current global environment of competition, secure a reasonable

    and adequate return on the capital invested, ensure a high degree customer satisfaction, to

    motivate its employees for performance of improvement and aim as a career growth within

    the organization to achieve technological up gradation and to fulfill the expectations of its

    share holders, customers and the BHEL manufactures wide range of transmission equipment

    such as transformers, reactors, switches, control relay panel, insulators, capacitors, instrument

    transformer sets etc.

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    It has developed capability to provide a wide variety of electrical, electronic and

    mechanical equipment for industrial requirements particularly fertilizers, petrochemicals, coal

    mining etc. Its role in the transportation sector as today over 60% of theIndian Railways is

    equipped with the traction equipment manufactured by the BHEL. Its investment in the

    development of oil and gas industry in the country, both on shore and off shore is

    considerable. Its entry into the telecommunication industry has given India an Electronic

    Private Automatic Branch Exchange (EPABX) system, the Rural Automatic Exchange (RAX)

    based on indigenous technology from C-Dot. The latest digital switching used in these

    exchanges and their network capability opens up endless possibilities.

    BHELs engineering and R&D efforts are focused on improving the quality of its

    products, upgrading the existing technologies, accelerating the process of indigenization and

    diversifying its products.

    It is a matter of pride to the country that BHELs products and services are used in

    over 50 countries all over the world. It caters to export orders ranging from individual

    specified products to complete power stations.

    BHELs future plans include up gradation of its product engineering manufacturing

    technology through induction of the state of the art technologies and absorption of knowhow

    and know why its collaborators form.

    BHELs strength lies in its dedicated work force, of about 63,000 employees who

    undergo entry and on the job training to promote appropriate work culture through

    participatory management techniques to meet the challenges of the current millennium.

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    3.2.20 BHEL - Hyderabad (Ramachandrapuram) Unit:

    BHELs Ramachandrapuram Unit located in the out skirts of Hyderabad city was

    established in the early sixties to bring power to the people. The products of the unit include

    TG sets up to 200 mw, industrial TG sets, gas turbines, turbo-compressor systems, heat

    exchangers, switch gears etc. Around 7000 employees work in the Hyderabad unit of whom

    about 1500 are executives, 1200 supervisors and 4300 others.

    As a member of the prestigious 'BHEL family', BHEL-Hyderabad has earned a

    reputation as one of its most important manufacturing units, contributing its lion's share in

    BHEL Corporation's overall business operations.

    The Hyderabad unit was set up in 1963 and started its operations with manufacture of

    Turbo-generator sets and auxiliaries for 60 and 110 MW thermal utility sets. Over the years it

    has increased its capacity range and diversified its operations to many other areas. Today, a

    wide range of products are manufactured in this unit, catering to the needs of variety of

    industries like Fertilizers & Chemicals, Petrochemicals & Refineries, Paper, sugar, steel, etc.

    BHEL-Hyderabad unit has collaborations with world renowned MNCs like M/S

    General Electric, USA, M/S Siemens, Germany, M/S Nuovo Pignone, etc BHEL is the largest

    engineering and manufacturing enterprise in India in the energy-related/infrastructure sector,

    today. BHEL was established more than 40 years ago, ushering in the indigenous Heavy

    Electrical Equipment industry in India - a dream that has been more than realized with a well-

    recognized track record of performance. The company has been earning profits continuously

    since 1971-72 and paying dividends since 1976-77.

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    BHEL manufactures over 180 products under 30 major product groups and caters to

    core sectors of the Indian Economy viz., Power Generation & Transmission, Industry,

    Transportation, Telecommunication, Renewable Energy, etc. The wide network of BHEL's 14

    manufacturing divisions, four Power Sector regional centres, over 100 project sites, eight

    service centers and 18 regional offices, enables the Company to promptly serve its customers

    and provide them with suitable products, systems and services -- efficiently and at competitive

    prices. The high level of quality & reliability of its products is due to the emphasis on design,

    engineering and manufacturing to international standards by acquiring and adapting some of

    the best technologies from leading companies in the world, together with technologies

    developed in its own R&D centers

    3.2.21 Product Profile

    Thermal power Plants

    Nuclear power Plants

    Gas based power Plants

    Hydro power Plants DG power Plants

    Boilers (steam generator)

    Boiler Auxiliaries

    Gas generator

    Hydro generator

    Steam turbine

    Gas turbine

    Hydro turbine

    Transformer

    Switchgear

    Oil field equipment (OFE)

    http://en.wikipedia.org/wiki/Thermal_powerhttp://en.wikipedia.org/wiki/Nuclear_powerhttp://en.wikipedia.org/w/index.php?title=Gas_based_power&action=edit&redlink=1http://en.wikipedia.org/wiki/Hydro_powerhttp://en.wikipedia.org/w/index.php?title=DG_power&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Boilers_(steam_generator)&action=edit&redlink=1http://en.wikipedia.org/wiki/Gas_generatorhttp://en.wikipedia.org/wiki/Hydroelectricityhttp://en.wikipedia.org/wiki/Steam_turbinehttp://en.wikipedia.org/wiki/Gas_turbinehttp://en.wikipedia.org/wiki/Hydro_turbinehttp://en.wikipedia.org/wiki/Transformerhttp://en.wikipedia.org/wiki/Switchgearhttp://en.wikipedia.org/wiki/Oil_fieldhttp://en.wikipedia.org/wiki/Oil_fieldhttp://en.wikipedia.org/wiki/Switchgearhttp://en.wikipedia.org/wiki/Transformerhttp://en.wikipedia.org/wiki/Hydro_turbinehttp://en.wikipedia.org/wiki/Gas_turbinehttp://en.wikipedia.org/wiki/Steam_turbinehttp://en.wikipedia.org/wiki/Hydroelectricityhttp://en.wikipedia.org/wiki/Gas_generatorhttp://en.wikipedia.org/w/index.php?title=Boilers_(steam_generator)&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=DG_power&action=edit&redlink=1http://en.wikipedia.org/wiki/Hydro_powerhttp://en.wikipedia.org/w/index.php?title=Gas_based_power&action=edit&redlink=1http://en.wikipedia.org/wiki/Nuclear_powerhttp://en.wikipedia.org/wiki/Thermal_power
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    Boiler drum

    Piping Systems

    Soot Blowers

    Valves

    Seamless Steel Tubes

    Condenser andHeat exchanger

    Pumps

    Desalination andWater treatmentplants

    Automation and Control Systems

    Power electronics

    Transmission system control

    Semiconductor Devices

    SolarPhoto voltaic

    Software System Solution

    Bus ducts

    Insulators

    Control panel

    Electrical machines

    Compressors

    Control gear

    Traction motors

    Research and developmentproducts

    3.23 BHEL - OVERSEAS BUSINESS

    BHEL, Ranking among the major power plant equipment suppliers in the world, is one

    of the largest exporters of engineering products and services from India. Over the years,

    BHEL has established its reference in around 60 countries of the world, ranging from the

    united state in the west to New Zealand in the Far East.

    http://en.wikipedia.org/wiki/Steam_drumhttp://en.wikipedia.org/w/index.php?title=Piping_System&action=edit&redlink=1http://en.wikipedia.org/wiki/Soot_Blowershttp://en.wikipedia.org/wiki/Valveshttp://en.wikipedia.org/w/index.php?title=Seamless_Steel_Tubes&action=edit&redlink=1http://en.wikipedia.org/wiki/Condenser_(heat_transfer)http://en.wikipedia.org/wiki/Heat_exchangerhttp://en.wikipedia.org/wiki/Pumpshttp://en.wikipedia.org/wiki/Desalinationhttp://en.wikipedia.org/wiki/Water_treatmenthttp://en.wikipedia.org/wiki/Automationhttp://en.wikipedia.org/w/index.php?title=Power_electronic&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Transmission_system_control&action=edit&redlink=1http://en.wikipedia.org/wiki/Semiconductorhttp://en.wikipedia.org/wiki/Photo_voltaichttp://en.wikipedia.org/wiki/Bus_ducthttp://en.wikipedia.org/wiki/Insulator_(electricity)http://en.wikipedia.org/wiki/Control_panel_(engineering)http://en.wikipedia.org/wiki/Electrical_machineshttp://en.wikipedia.org/wiki/Compressorhttp://en.wikipedia.org/w/index.php?title=Control_gear&action=edit&redlink=1http://en.wikipedia.org/wiki/Traction_(engineering)http://en.wikipedia.org/wiki/Research_and_developmenthttp://en.wikipedia.org/wiki/Research_and_developmenthttp://en.wikipedia.org/wiki/Traction_(engineering)http://en.wikipedia.org/w/index.php?title=Control_gear&action=edit&redlink=1http://en.wikipedia.org/wiki/Compressorhttp://en.wikipedia.org/wiki/Electrical_machineshttp://en.wikipedia.org/wiki/Control_panel_(engineering)http://en.wikipedia.org/wiki/Insulator_(electricity)http://en.wikipedia.org/wiki/Bus_ducthttp://en.wikipedia.org/wiki/Photo_voltaichttp://en.wikipedia.org/wiki/Semiconductorhttp://en.wikipedia.org/w/index.php?title=Transmission_system_control&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Power_electronic&action=edit&redlink=1http://en.wikipedia.org/wiki/Automationhttp://en.wikipedia.org/wiki/Water_treatmenthttp://en.wikipedia.org/wiki/Desalinationhttp://en.wikipedia.org/wiki/Pumpshttp://en.wikipedia.org/wiki/Heat_exchangerhttp://en.wikipedia.org/wiki/Condenser_(heat_transfer)http://en.wikipedia.org/w/index.php?title=Seamless_Steel_Tubes&action=edit&redlink=1http://en.wikipedia.org/wiki/Valveshttp://en.wikipedia.org/wiki/Soot_Blowershttp://en.wikipedia.org/w/index.php?title=Piping_System&action=edit&redlink=1http://en.wikipedia.org/wiki/Steam_drum
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    BHELs exports range cover individual product to complete power stations, turnkey

    contracts for power plants, EPC contracts, HV/EHV substations, O&M services for familiar

    technologies, specialized after- market service like residual life assessment (RLA) studies and

    retrofitting, refurbishing and overhauling, and supplies to manufacturers and EPC contractors.

    BHEL has assimilated and updated / adopted the state-of-the-art technologies in the

    power and industrial equipment sectors acquired from world leaders. BHEL has successfully

    undertaken turnkey projects on its own and possesses the requisite flexibility to interface and

    compliment international companies for large projects, and has exhibited adaptability by

    manufacturing and supplying intermediate products to the design of other manufacturer and

    original equipment manufacturers (OEMs)

    The success in the area of rehabilitation and life extension of power projects has

    established BHEL as a reliable alternative to the OEMs for such power plants.

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    CHAPTER-4

    DATA ANALYSIS AND INTERPRETATION

    The process of evaluatingdatausing analytical andlogical reasoning to

    toexamine eachcomponent of the data provided is called as data analysis.

    Thisform ofanalysis is just one of the many steps that must becompleted when conducting

    aresearchexperiment.Data from varioussources is gathered, reviewed, and then analyzed to

    form some sort of finding or conclusion. There are a variety of specific data analysismethod,

    some of which includedata mining, textanalytics, business intelligence, and data

    visualizations.

    The following section provides the details regarding the data analysis on the research

    topic QualityCircles at BHEL. Also discusses the awareness of quality circles, Employee

    feedback on Quality Circles etc.

    http://www.businessdictionary.com/definition/data.htmlhttp://www.businessdictionary.com/definition/user.htmlhttp://www.businessdictionary.com/definition/logic.htmlhttp://www.businessdictionary.com/definition/examine.htmlhttp://www.businessdictionary.com/definition/component.htmlhttp://www.businessdictionary.com/definition/form.htmlhttp://www.businessdictionary.com/definition/analysis.htmlhttp://www.businessdictionary.com/definition/completed.htmlhttp://www.businessdictionary.com/definition/research.htmlhttp://www.businessdictionary.com/definition/experiment.htmlhttp://www.businessdictionary.com/definition/source.htmlhttp://www.businessdictionary.com/definition/method.htmlhttp://www.businessdictionary.com/definition/data-mining.htmlhttp://www.businessdictionary.com/definition/analytics.htmlhttp://www.businessdictionary.com/definition/analytics.htmlhttp://www.businessdictionary.com/definition/data-mining.htmlhttp://www.businessdictionary.com/definition/method.htmlhttp://www.businessdictionary.com/definition/source.htmlhttp://www.businessdictionary.com/definition/experiment.htmlhttp://www.businessdictionary.com/definition/research.htmlhttp://www.businessdictionary.com/definition/completed.htmlhttp://www.businessdictionary.com/definition/analysis.htmlhttp://www.businessdictionary.com/definition/form.htmlhttp://www.businessdictionary.com/definition/component.htmlhttp://www.businessdictionary.com/definition/examine.htmlhttp://www.businessdictionary.com/definition/logic.htmlhttp://www.businessdictionary.com/definition/user.htmlhttp://www.businessdictionary.com/definition/data.html
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    Table 4.1: No. of Years of experience in the present organization (BHEL)

    Sl. No Experience (years) No. of respondents Percentage

    1 0-5 Years 27 19

    2 5-10 Years 63 44

    3 10-15 Years 23 16

    4 More than 15 Years 31 21

    Total 144 100

    Source: Field Survey

    Analysis and Interpretation:

    From the above table it is found that 19% of the employees are working in this

    company since 5 years, 44% of the employees are working in this company for 5-10 years and

    16% of them are working in this company for 10-15 years whereas 21% are working for more

    than 15 years. Majority of the employees are working for 5-10 years in BHEL which shows

    that the workforce is quite young and enthusiastic.

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    Chart 4.1: No. of Years of experience in the present organization (BHEL)

    0-5 Years

    19%

    5-10 Years

    44%

    10-15 Years

    16%

    More than 15Years

    21%

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    Table 4.3: Respondents opinionon involvement in Quality circles teams

    S. No Parameter No. of respondents Percentage

    1 Frequently 39 27

    2 Some times 52 36

    3 Rarely 34 24

    4 Never 19 13

    Total 144 100

    Source: Field Survey

    Analysis and Interpretation:

    From the above table it is found that 27% employees are involving frequently in

    Quality circle teams working in their work area, 36% sometimes, 24% rarely, 13% never

    involved in quality circles. The Majority of the employees involve sometimes in quality circle

    process due to their busy work schedules.

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    Table 4.4: Respondents opinion on membership in Quality Circles

    S. No Parameter

    No. of

    respondents

    Percentage

    1 Yes 95 66

    2 No 49 34

    Total 144 100

    Source: Field Survey

    Analysis and Interpretation:

    From the above table it is found that most of the employees (66%) are having

    membership in Quality Circles. Rest of the employees also can take the membership in

    quality circles to increase the Qaulity of their work.

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    Table 4.5: Respondents opinion on the purpose of Quality Circles in BHEL

    Sl. No Parameter No. of respondents Percentage

    1Improvement in Human

    Relations

    15 10

    2 Promotion of Work Culture 17 12

    3 Develop Team Work 31 22

    4 Improve Productivity 21 15

    5

    Enhance Problem Solving

    Capacity

    15 10

    6 All of the Above 45 31

    Total 144 100

    Source: Field Survey

    Analysis and Interpretation:

    From the above table it is found that majority i.e., 31% of respondents need all the

    categories to be involved and only 10% of respondents wants to make some improvement in

    human relations, 10% in enhancing problem solving capacity, 15% want to improve

    productivity, 22% want to develop team work, 12% want promotion of their work culture and

    10% in improvement in their work culture using QC. So, it can be said that they can

    implement QC in every field of work.

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    Chart 4.5: Respondentsopinion on the purpose of QC in BHEL

    10

    12

    22

    15

    10

    31

    Improvement in Human Relations

    Promotion of Work Culture

    Develop Team Work

    Improve Productivity

    Enhance Problem Solving Capacity

    All of the Above

    0 5 10 15 20 25 30 35

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    Table 4.6: Respondents opinion on whether Quality circle helps in developing a

    participative environment

    S. No Parameter No. of respondents Percentage

    1 Fully agree 87 60

    2 To Some extent 48 33

    3 Does not 4 3

    4 Not aware 5 4

    Total 144 100

    Source: Field Survey

    Analysis and Interpretation:

    From the above table it is found that 60% of employees completely agree, 33% up to

    some extent,3% does not agree and 4% are not aware, that QC helps in develoiping a

    participative environmment in the organization.

    Quality circles help in making a participative environment and employees can involve

    in every activity.

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    Chart 4.6: Respondents opinion on whether QC helps in the development of

    participative environment in the organization.

    60

    33

    3

    4

    0 10 20 30 40 50 60 70

    Fully agree

    To Some extent

    Does not

    Not aware

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    Table 4.7: Respondentsopinion on solving of problems in work area using QC

    S. No Opinion No. of respondents Percentage

    1 Fully agree 54 38

    2 To Some extent 77 53

    3 Never 13 9

    Total 144 100

    Source: Field Survey

    Analysis and Interpretation:

    From the above table it is found that 38% completely agree, 53% to some extent and

    9% never agree that QC teams can solve the problems of their work area.

    The respondents need to have more awareness in QC, which helps in solving the

    problems in working area.

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    Chart 4.7: Respondentsopinion on solving of problems in work area using QC.

    Fully agree

    38%

    To Some

    extent

    53%

    Never

    9%

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    Chart 4.8: Respondents opinion on whether Quality Circles are helpful in Cost

    Reduction

    Fully agree

    62%

    To Some extent

    33%

    Ne