Thursday, April 7, 2011

Employee Suggestion scheme provides Rs. 160 Crore to Maruti Suzuki

At a time when frequent labour unrests are plaguing the Indian auto industry, car market leader Maruti Suzuki was able to save about Rs 160 crore in 2010—11 by implementing suggestions given by its workers.

"We have active engagement programmes going on in the company. We encourage our people to give their inputs that could increase efficiency and save money," said Mr S Y Siddiqui, Maruti Suzuki India (MSI) Managing Executive Officer (Administration).

Mr Siddiqui, however, did not reveal how much the company saved during the last fiscal and said: "In 2009—10, we saved Rs 200 crore. This was mainly because of a special drive done by Suzuki Motor Corp and its other subsidiaries in that fiscal."

Sources said according to estimates, the company saved about Rs 160 crore during 2010—11.

The company had received about 2.29 lakh suggestions last fiscal compared to about 1.29 lakh suggestions in the previous fiscal, he added.

"The range of suggestions varies from some smallest works to very significant improvements and we reward people for the active participation," Mr Siddiqui said.

When asked how the company manages its workforce, which has remained insulated to labour unrests despite being in a volatile Gurgaon—Manesar belt, Mr Siddiqui said: "Transparency at all level is most important. A highly engaged workforce will never ever go against the company."

Mr Siddiqui said the management tries to maintain good relations with the workers even when everything is peaceful and not in a reactionary manner when something goes wrong.

In recent years, the auto industry faced several instances of labour unrest resulting in production losses in different facilities of many companies.

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