Maruti Suzuki was able to save Rs. 160 crore in fiscal year 2010-11 by adopting suggestions of its workers. The company runs a reward system, where people are rewarded through letter of appreciations, movie tickets, dinner coupons and family vacations for giving suggestions. This is a similar strategy adopted by Toyota in Japan and is popularly known as Quality Circle. The company received 2.19 lakh suggestions last fiscal but there is no information on how many they implemented.
“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,” Maruti Suzuki Managing Executive Officer (Administration), S Y Siddiqui said. “The range of suggestions vary from some smallest works to very significant improvements and we reward people for the active participation,” he added.