Valuable employee suggestions in the areas of enhanced productivity, the introduction of simplicity in manufacturing techniques and saving cost, energy and raw material has resulted in massive savings for Maruti Suzuki India Limited (MSIL).
The company has confirmed savings to the tune of over INR 281 crores in 2015-16 thanks to employee suggestions while each of these employees has been suitably rewarded.
MSIL introduced the ‘Suggestion Scheme’ years ago in the late 80s. This scheme was launched in India to encourage employee participation. It not only encourages team spirit but also encourages each employee to survey his own work area and initiate suggestions on improvement which brings about better efficiency and cost saving to the company.
Those employees whose suggestions help the company make savings are rewarded either via monetary or non-monetary benefits, which includes added cash in salaries, movie tickets, family lunch coupons etc. Besides these rewards, the company further encourages participation from employees with the company monthly newsletter featuring names of top 3 winners in both monetary and non-monetary categories.
Thanks to these valuable suggestions, MSIL has noted a steady rise in cost savings over the years. These suggestions not only come from executives of the company but even from shop floor workers.
While suggestions spanned all business activities in the company, major savings came from areas that included production, supply chain, and engineering. Suggestions are put up on the company’s online portal “Sujhav Sangrehika” and in 2015-16, a total of 6.98 lakh suggestions were received leading to saving of over INR 281.8 crores.