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Fostering Innovation & Creativity
Generation of Ideas
Implementation, Evaluation & Audit
Reward & Recognition
Achieving Business excellence through Innovative culture &
retention of employees
Stages of Idea Management
Business Excellence is visionary &
inspirational leadership, coupled with clear
direction & constancy of purpose
Leadership & constancy of purpose
Business Excellence is creating
sustainable customer value and exceeding
customer expectations
Customer Focus
Business Excellence is achieving results
that delight all the organization’s
stakeholders
Continuous Improvements & Innovations
Result Orientation
Business Excellence is challenging the
status-quo and effecting change by
using learning to create innovation and
improvement opportunities
Business Excellence is
maximising the
contribution of the
employees through their
creativity, development
and involvements
Employees participation
Business Excellence is exceeding the
minimum regulatory framework in which
the organization operates and to strive to
understand and respond to the expectation
of their stakeholders in society
Corporate Social Responsibility
“Creativity” is
•marked by ability or power to create
•to invent with a new form,
•to produce through imaginative skill,
•to make or bring into existence something new.
Each individual in an organization is creative
Diffusion/Exploitation/ Adoption (Spreading innovation from one area to another
bringing essential improvements in the existing
system)
Level 3
Innovation (Industrial application
of invention for
achieving specific
goals)
Level 2
Invention (Technical
realisation of
new scientific
knowledge)
Level 1
Levels of Innovation
For most firm innovation helps in achieving Business Excellence
Example
Chips
Fly by wire
Computer
Through Creativity one can innovate at any level
The innovation a firm achieves today defines its tomorrow
The ability to innovate i.e. to develop new products,technologies,efficient process
& system at a faster pace and cheaper than their competitors separates the
world’s best companies from all the rest.
In a competitive environment it is innovation through creativity that distinguishes
a winner and a loser
Creativity/Innovation is the key for achieving business excellence
Conventional Approach New Approach
Effect Short-term but dramatic Long-term, lasting, undramatic
Tempo Large steps as per plan Small steps- Continual
Protagonists Few selected persons All company employees,
interfunctional organisation
Procedure Individual ideas and efforts Collective spirit, team work,
systematic
Motto Discontinuance and new start Retain and improve
Recipe for success Technological achievement, new
inventions, new theories
Conventional know-how and
prevailing technology
Management principle Specialist oriented Generalist organisation
Exchange of information Secret and internal Open and reciprocal
Feedback Limited Comprehensive, intensive
Innovation in a Creative Organisation is thus characterised by
team effort and not by an individual’s effort
1. Team Effort :
Innovations are not typically the result of a single person’s effort. These are the
collective effort of many people doing a small part of the larger whole
2.Operational Excellence:
•Innovative organisation recognises the importance of operational excellence apart
from traditional product innovation for achieving business excellence
•In an creative organisation
•The design of nearly all work activities across functional roles, products, processes
(assembly,material logistics, training, marketing, system redesign, administration etc.)
•Connections among people through hierarchical levels (from workers to managers and
above) and
•Pathways of connected activities over which products, services and information take
form
are
•Built around transparency & empowerment
•Specified – in- their design and are well documented
•Tested-with-their every-use and
•Continuously improved in time,place and person for operational excellence
3. Learning,Sharing & Growth:
• In an innovative organisation
• Organisation learns faster than anyone else through its people
• They share the result of that learning across the enterprise
• They constantly foster the development and sharing of new knowledge
• They overcome resistance to perceived boundaries by transforming the
constraints/barriers into resources
• Organisation creates a climate that encourages and catalyses creativity
• Creativeness flourishes in participative leadership
• Creative leader/manager provide:
• Appropriate challenge
• Support
• Idea Source
• They encourage idea people by rewarding failure not just success;They
reserve punishment only for inaction.
With the pace of change ever quickening, the need to develop mechanisms for continuous learning and
innovation is greater than ever
4.Main dimension of a creative climate in an organisation:
1. Challenge
2. Freedom
3. Idea Support
4. Trust
5. Dynamism
6. Playfulness
7. Debates
8. Conflicts
9. Risk taking
10. Idea time
Creative organisation scores more highly on these ten dimensions than the stagnated one
Great way of killing your company’s future…kill creativity
Business Excellence is the result
of successfully managing
change in the organisation
through Change Initiatives
and Mangement Tools
Present maze of change initiatives & management tools
NPI
Bench Marking
COPQ
CSI
OHS
SDT
DFM / DFA
Matrix-Orgn
Value Engineering
CRM
EMS
E-commerce
DOE
5-S
QS 9000
TS 16949
TQM
Knowledge management
At first pass all these seems to be separate
initiative requiring resources & efforts for
achieving business excellence
•The terms are merely convenient symbols to describe concepts.
•Behind these jargons are the changing processes and the management tools that are transforming the companies through its employees
•They reflect a revolution in business :
•How excellence in business is achieved and improved continuously by innovative ways through its employees.
•This also shows the eagerness of management to use all these acronyms merely reflecting an impatience for change.
Facts about change initiatives & management tools
TPM
TQM
EVA
BPR
Benchmarking
……..
A deeper analysis reveals that all initiatives have three
things in common:-
Waste
Elimination by
improving
resource
efficiency
Employee Involvement
Employee involvement should be with
application of their creativity
Top Management Commitment
“Our greatest asset is our people and
their pride in belonging to the group.
- Ratan Tata
The quest for Excellence demands that
we marshal this resource optimally,
through teamwork, sharing knowledge
and resources and benchmarking
ourselves against the best in the world ”
Engineering Materials / Steel Energy Chemicals
Commercial Vehicles,
Passenger Cars Metals, Composites Power Chemicals, Pigments
Telecommunications
Information Technology
Control systems
Consumer goods
Hotels
Financial Services
International operations
Communications & IT Consumer Products Services
Tata Motors today holds a strong domestic position and has established its
presence in the Global auto market
TATA MOTORS
STRONG DOMESTIC
POSITION
ROBUST FINANCIAL
PERFORMNACE
• India’s Largest Automobile Company by revenue
• 2nd Largest Bus Manufacturer in Medium & Large Buses in The World
• 4th Largest Truck Manufacturer in The World (>6t)
• Largest Portfolio Of Products (Light, Medium And Heavy Trucks, Buses & Coaches,
Passenger Cars & Uvs)
• Acquired Commercial Vehicle Business Of Daewoo In 2004 (TDCV)
• Acquired Jaguar Land Rover In 2008
• Market Leader In Commercial Vehicles (Market Share ~ 60-80% in major segments)
• 3rd Largest Player In Passenger Cars
• Has Over 1400 Customer Touch Points
• Revenue : USD 28 billion
• Profit : USD 2.1 billion
Dharwad
Lucknow Jamshedpur
Pune
Rudrapur
Sanand
TATA MOTORS - MANUFACTURING LOCATIONS
Brazil
Sweden UK
South
Africa
South
Korea Taiwan
A TS-16949, ISO-14001,OHSAS-18001 Certified
Company
Organization
World wide presence
Jamshedpur – Commercial Vehicles
Pune – Commercial and Passenger Vehicles
Lucknow – Commercial Vehicles
Pantnagar – Commercial Vehicles
Sanand – Tata Nano
Dharwad – Buses
South Korea –Heavy and Medium Trucks
Spain – High Capacity Buses
Morocco – High Capacity Buses
Thailand – Pickup trucks
UK – Jaguar Land Rover
India
Overseas
Manufacturing Base
PEOPLES’S CAR WORLD’S CAR
INDIA’S 1ST MINI TRUCK ‘GLOBAL’ TRUCK
AUTOMOTIVE- A WAY OF LIFE @ TATA MOTORS
LOCATED IN THE HEART OF
JAMSHEDPUR THE 7TH
CLEANEST CITY OF INDIA
HAVING AVG LITERACY RATE
OF 86%
MANUFACTURING SETUP IS
SPREAD OVER AN AREA OF
822 ACRES – 2ND MAJOR
INDUSTRY OF THE CITY
JAMSHEDPUR
OVER 13,000 EMPLOYEES
RESIDING IN A RADIUS OF
20 KMS
ISO 14001: 2004 CERTIFIED FOR ITS
ENVIRONMENT
MANAGEMENT SYSTEM
Fostering Innovation & Creativity
Generation of Ideas
Implementation, Evaluation & Audit
Reward & Recognition
Achieving Business excellence through Innovative culture &
retention of employees
Stages of Idea Management
Fostering Innovation & Creativity
Generation of Ideas
Implementation, Evaluation & Audit
Reward & Recognition
Achieving Business excellence through Innovative culture &
retention of employees
Stages of Idea Management
Evaluation & Awards
Type of Award Description
Final Award Given after implementation of suggestion
Idea Award Given if idea is acceptable but implementation would require time
Appreciation Letter Given for pointing out corrective actions related to common issues
0.4 x normal Award For Recurring Saving
10 or more to converted into monetary value once a year
0.1 x Normal Award
Normal Award = 1.401√ (Annual Saving x 6.84)
Award Amount
Appreciation Letter
For One-time Saving
Monetary Saving (all categories)
Type of Benefit
Suggestor’s Grade Suggestor’s Grade Factor
Operative grades 1
Supervisory grades 0.8
Managerial grade 0.6
Maximum award for any suggestion: Rs. 25,000/-
Fostering Innovation & Creativity
Generation of Ideas
Implementation, Evaluation & Audit
Reward & Recognition
Achieving Business excellence through Innovative culture &
retention of employees
Stages of Idea Management
Measures for Recognition of Suggestors
Recognition
1. Presentation by Suggestors & appreciation during:
o divisional reviews & shopfloor meetings
o TMG meetings and during VIP visits to the Plant
2. Displaying the list of Suggestion Awardees on notice boards in all the
divisions
3. Coverage of Suggestors in internal publications like Flashes and Hum Sab
4. Introduction of a Suggestions Newsletter, to be circulated through global mail
5. Awarding of Suggestion Award certificates by Chairman (Suggestion Scheme)
6. Awarding of Telco Vir medal by Plant Head to the year’s highest Suggestion
Award recipient during the Republic Day function
7. Annual Suggestion Nite for felicitation of Suggestors, divisions and
functionaries
Fostering Innovation & Creativity
Generation of Ideas
Implementation, Evaluation & Audit
Reward & Recognition
Achieving Business excellence through Innovative culture &
retention of employees
Stages of Idea Management
Level One (Invention)
• A new device, method or process developed from study and
experimentation
• Technical realisation of new scientific knowledge or new
combination of such knowledge
• Solution exists outside the boundary of contemporary science
• Examples :
Laser Doppler altimeter
ENTOMOPTER*
*An electro mechanical multimode flying or crawling insect developed by Georgia Technology Research Institute
Find new
problem
Find new
concept
Solution
Level Two (Innovation)
• The act of introducing something new or different
• Industrial application of inventions with the aim of achieving
management goals
• Synergy effect due to fusion of very different kinds of products,
processes and technology
• Encompasses the fields of production, distribution and consumption
of products or services
• Solution exists outside the boundary of one technology
• Example :
Fly by wire technology Find new
tasks
Find new
solution
Solution
• Spreading innovation from one area to another by producer
• Essential improvements in the existing system
• Solution from one area of technology involving methods from other
fields
• Examples :
Automatic Transmission
Battery Car
Level Three (Adoption / Diffusion)
Change
Original
problem
Change
existing
solution
Solution