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SLIDE NO. 1 PRESENTATION BY SHRIRAM PISTONS & RINGS LTD. SHRIRAM PISTONS & RINGS LTD. Presentation by Date : 19 th March 2008 Presenter : J.P.Garyali

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Page 1: Shriram Piston

SLIDE NO. 1PRESENTATION BY SHRIRAM PISTONS & RINGS LTD.

SHRIRAM PISTONS & RINGS LTD.

Presentation by

Date : 19th March 2008

Presenter : J.P.Garyali

Page 2: Shriram Piston

SLIDE NO. 2OUTLINE OF THE COMPANY

1. OUTLINE OF THE COMPANY

INCORPORATED IN 1972

TOTAL EMPLOYEES : 3640TOTAL AREA : 26 ACRES

People Growing Together

TURNOVER CURRENT YEAR (2007-08)Rs. 6300 Million (Plan)

Page 3: Shriram Piston

SLIDE NO. 3OUTLINE OF THE COMPANY

2. BRIEF HISTORY

TPM MilestonesMajor Milestones

DIVERSIFICATION INTO MANUFACTURE OF ENGINE VALVES1993 TPM KICK OFF2000

DIVERSIFICATION INTO MANU FACTURE OF STEEL RINGS1995 TPM EXCELLENCE AWARD

(ACHIEVED)2004

DIVERSIFICATION INTO MANFACTURING OFNET SHAPED GEARS2005 TPM SPECIAL AWARD

(ACHIEVED)2007

2006 ERECTION OF 6 NEW PLANTS FOR GLOBAL CUSTOMERS.

Page 4: Shriram Piston

SLIDE NO. 4OUTLINE OF THE COMPANY

3. PRODUCT RANGE & VOLUMESPISTONS

0

2

4

6

8

10

12

14 GOOD(Million Nos.)

2000 2004 2006 2008PlanYear

2002

3.74.7

7.09.5

12.0

(Milli

on N

os.)

0

10

20

30

40

50

60

70 (Million Nos.)

2000 2004 2006 2008PlanYear

2002

GOOD

2330

3654

65

(Milli

on N

os.)

RINGS

0

2

4

6

8

10

12

14 (Million Nos.)

2000 2004 2006 2008PlanYear

2002

GOOD

3.7

12.0

4.77.0

9.5

PINS

(Milli

on N

os.)

0

5

10

15

20

25 (Million Nos.)

2000 2004 2006 2008PlanYear

2002

GOOD

3.54.7

10.015.5

20.0

ENGINE VALVES

(Milli

on N

os.)

Page 5: Shriram Piston

SLIDE NO. 5OUTLINE OF THE COMPANY

4. FOREIGN COLLABORATIONS

PISTONS

HFHF

RIKENRIKEN

RINGS

3.

KOLBENSHMIDT -GERMANY(Collaboration since 1972)

1.

RIKEN CORPN. –JAPAN(Collaboration since 1978)

ENGINE VALVESPISTONS

4.

(Collaboration since 1989)HONDA FOUNDRY –JAPAN

2.

(Collaboration since 1993)FUJI –OOZX –JAPAN

Page 6: Shriram Piston

SLIDE NO. 6

5. CERTIFICATIONS RECEIVED

ISO 90011994

QS 90001999

ISO 140012001

OHSAS 180012003

TS 169492003

RENAULT QUALITY SYSTEM2006

FIRST STEP IN QUALITY DISCIPLINE

FOCUS ON CUSTOMER REQUIREMENTS

CONTROL ON WASTE & ENVIRONMENT

FOCUS ON SAFE WORKING

PROCESS ORIENTATION TO QUALITY

GLOBAL CUSTOMER SPECIFIC

QUALITY SYSTEMS

FORD Q1 QUALITY SYSTEM2007

**

*

* First in the Industry

OUTLINE OF THE COMPANY

Page 7: Shriram Piston

SLIDE NO. 7OUTLINE OF THE COMPANY

6. MAJOR OEM CUSTOMERS

A) Major Indian OEM customers

KIA MOTORS HYUNDAI

SIAM RIKENRIKEN

B) Major Global OEM customers

PRODUCT BRAND NAMES

No. 1PISTON & RING

EXPORTSEXPORTS TO

OVER 30 COUNTRIES

Page 8: Shriram Piston

SLIDE NO. 8TPM SPECIAL AWARD JOURNEY

JOURNEY TOWARDS

TPM SPECIAL AWARD-2007

Page 9: Shriram Piston

SLIDE NO. 9TPM SPECIAL AWARD JOURNEY

1. INTRODUCTORY ACTIVITIES

Kick-off ceremony for TPM Special Award

Aug. 2004

Page 10: Shriram Piston

SLIDE NO. 10TPM SPECIAL AWARD JOURNEY

2. ESTABLISHMENT OF TPM PROMOTION ORGANISATION

Part 1 Organisation

Plant

PlantSteering Committee

Plants Office R & D

J.H.Circles

J.H.Circles

Plant TPMSecretariat

…. Plants

J.H.Circles

J.H.Circles

Kobetsu Kaizen

Jishu Hozen

PlannedMaintenance

QualityMaintenance

Initial Control

Education& Training

Office TPM

SafetyHealth & Env.

Pillar Sub-committees

Page 11: Shriram Piston

SLIDE NO. 11TPM SPECIAL AWARD JOURNEY

3. EVOLUTION OF INTEGRATED TPM PROMOTION ORGANISATIONPresident

Company Wide TPMSteering Committee

Company Wide TPM Secretariat

PlantPlant Steering

Committee

Plant TPM

Secretariat

Pillar Sub-committees

Busin

ess

& S

trate

gic

Plan

ning

Pill

ar

Marketing SteeringCommittee

Marketing TPM

Secretariat

Head Office SteeringCommittee

Head Office TPM

Secretariat

Kobetsu Kaizen

Jishu Hozen

PlannedMaintenance

QualityMaintenance

New EquipmentInitial Control

Education& Training

Integrated O TPMSafety

Health & Env.

Logistics

R&D(New Product)

InformationManagement

Rationalization ofMarketing Network

StrategicProjects

New Type Product (Gears) for Global OEM

New OEM Business in India with Tata Motors

New InternationalOEM Business

Salt core technology for Pistons for

Euro IV Engine

Productivity increaseIn Piston Line - 5

ERPImplementation

New Design for FutureEmission norms

Shriram New Production System

Medium & Long term Goals

Head Office Marketing

Plants Office R & D

J.H.Circles

J.H.Circles

….Plants

J.H.Circles

J.H.Circles

Exp.Mkt.

AfterMkt.

OESales

Tech.Serv.

J.H.Circles

J.H.Circles

J.H.Circles

J.H.Circles

A/cs. Adms. O & PCPMS

J.H.Circles

J.H.Circles

J.H.Circles

J.H.Circles

Inception of New Pillars

Page 12: Shriram Piston

SLIDE NO. 12

4. FUSION OF CORPORATE MANAGEMENT & TPM

2007 2010 2012

Level- 4

Level- 3

Level- 2

World ClassQuality at

Lowest Cost inIndia

Preferred OEM

supplier in India

Competitive cost based Company

8 Pillars

Level- 1

IIIIIIII IIIIIIIIIIII2004

12 Pillars

World ClassSupplier

Status

IIIIIIIIIIII12 Pillars

IIIIIIIIIIII12 Pillars

Turnover: 6300G. Profit : 1110

Turnover :9000 G. Profit :1600

Turnover :12000G. Profit :2200

YEAR

Rs./Mil

Rs./Mil

Rs./Mil

TPM PART – 1 TPM PART - 2

Turnover: 3700G. Profit : 748

Rs./Mil

Consistency between medium &Long term goals and TPM goals

Cor

pora

te G

oals

Overall Company

Vision

TPM PART – 3 TPM PART - 4

Corporate Goals : 2007

TPM SPECIAL AWARD JOURNEY

Page 13: Shriram Piston

SLIDE NO. 13TPM SPECIAL AWARD JOURNEY

5. DEVELOPMENT OF SPECIAL INNOVATIVE ACTIVITIES

5.1 Development & application of new concept of “PROFIT TREE”

GROSS PROFIT

AVAILABILITY RATE

PERFORMANCE RATE

ENERGY COST

PERSONNEL COST

ADMN.COST

FINANCE COST

BREAKDOWN LOSS

SETUP& ADJUST

LOSS

YIELD LOSS

ENERGY LOSS

CONSUMA-BLE LOSS

TOOL ,JIG & DIE LOSS

LABOUR PRODUCTIVITY

LOSS

INVENTORY LOSS

OFFICE LOSS

WORKS EFFICIENCY

IMPROVEMENT THEMES IMPROVEMENT THEMES

TOOL CHANGE

LOSS

STARTUPLOSS

MINOR STOPPAGE

LOSS

SPEED LOSS

QUALITY DEFECT

LOSS

INSPECTION LOSS

QUALITY PRODUCT

RATE

DIRECT CONSUMMABLE

COST

SALES TOTAL COST

VARIABLE COST FIXED COSTO.E.E

Cost StructureEfficiency

RAW MATERIAL

COST

A very effective tool for loss reduction

Page 14: Shriram Piston

SLIDE NO. 14TPM SPECIAL AWARD JOURNEY

5.2 Development & application of “NEW PRODUCTION SYSTEM”

Lowest CostPlant

Continuous OperatingPlant

Zero Inventory Plant

Customer DelightPlant

Reduction inVariable Cost

Reduction inFixed Cost

Manless Operation M/c

Lead Time Reduction

Defect FreeProducts

Developing, ofNew Products

EnvironmentFriendly Plant

Raw Material

Cost

Consum--ableCost

LogisticsCost

EnergyCost

LabourCost

Admn.Cost

Finance Cost

TroubleFree

Equip.

MinimumInventory

of RawMaterial

MinimumInventoryof work inProcess

ImproveProcessCapabi-

-lity

ReduceCustomerComplaint

For Product

PerformanceImprovement

Pollution&

LeakageFree Plant

Reduce YieldLoss

RedesignFor

LowerProductweight

ReducePurchase

Cost

Packag--ingCost

Transp-ortation

Cost

ReduceDirectCost

ReduceIndirect

Cost

Rectify/Simplify

allIndirectprocess

ReduceInterest

Cost

ZeroBreakd-

own

ZeroMinor

Stoppage

ZeroDefectModes

OnlineSupply

ofRaw

Material

ReduceProcurr-

ementCycletime

ofRaw

Material

SinglePieceFlowline

CellularProduc-

tion

Multis-killing

Reductionin set

up/adjus.Tmenttime

ClubbingElimin-

ationof

operation

OnlineInspec-

tion

ImproveProcessQuality

Preventionof

DefectOutflow

ForBetterField

Perfor-mance

Controlof

Hazar-dous

chemicals

ShiningShopfloors

OilConsum-

-ptionReduc-

tion

ElectricPowerReduc-

tion

Shriram New Production System(SNPS)

Page 15: Shriram Piston

SLIDE NO. 15

5.3 Development of New Business Strategy Model

TPM SPECIAL AWARD JOURNEY

1. Focus Market• Which product categories?• Which market segments?• Which geographic areas?• Which core technologies?• Which value-creation stages?

4. Sequence/Timing

• Speed of expansion?• Sequence of initiatives?

5. Sales & Profit – Growth & Leadership

• Lowest costs through scale advantages?• Lowest costs through scope and replication

advantages?• Premium prices due to unmatchable service?• Premium prices due to proprietary product features?

3. How to win?

• Image?• Technology?• Customization? • Product Quality?

2. How to Get There?• Internal development?• Licensing?• Out Sourcing?• Joint ventures?• Acquisitions?

How to Win

How to get There

Sales & Profit –Growth &Leadership

Focus Market

Sequence/ Timing

• Reliability?• Relationship?• Response Time?• Price?

5.

1.

2.

3.

4.

Page 16: Shriram Piston

SLIDE NO. 16TPM SPECIAL AWARD JOURNEY

5.4 Focus on Strategic New Product Development

Strategic New Product development

(NPD)

New Type of Products

in New Area

New Productsin Existing

Range

NS Gears

New Products

ConnectingRods

Pistons

Rings

EngineValves

Aluminum Castings

Page 17: Shriram Piston

SLIDE NO. 17TPM SPECIAL AWARD JOURNEY

5.5 Establishment of New Technology Road Map

New Technology Roadmap

New Technology Roadmap

New Technology Roadmap

Aluminu

m

Steel

Roadmap

PISTONS

RINGS

ENGINE VALVES

Page 18: Shriram Piston

SLIDE NO. 18TPM SPECIAL AWARD JOURNEY

5.6 Implementation of ERP

Accurate online information

Better visibility of InventoryComplete

Integration

HO and Marketing RSO/Field Godowns

VendorsCustomers

Plant Office areaPlant Manufacturing

Page 19: Shriram Piston

SLIDE NO. 19TPM SPECIAL AWARD JOURNEY

5.7 “Overall integration of company activities from Suppliers to Customers” for smooth operations

Response Time for customer

Quality Certification ISO 9000

No Quality Certification

TPM Part 1

Delivery Frequency

Segment wise Sales

Training

Monthly Deliveries

WeeklyDeliveries

DailyDeliveries Online

Product Knowledge

Competitors ProductKnowledge

Information CollectionSkills

Fundamental Skills Information Analysis

Brand Management,Advertising, Sales Promotion Advanced

Skills

OnlineInspection

TPM Part 2TPM Part 1

Evaluation System

Incoming Quality Inspection

Vendor Quality Audit

No Formal Evaluation System

Formal Evaluation System

Introduced

Point Based Evaluation System

Rank Based System

All Components

Selected Components

Random Sampling

No Mechanism

for AuditQuarterly

AuditSix Monthly

Audit

PerformanceBasedAudit

TPM Part 2

50 5040

10

30 30

30

1010

20 20

30

40

40

20

4050

0%

25%

50%

75%

100%

Online

Daily

Deliveries Trend(%)

2000 2002 2004 2006 2007

872 879 1048 1231 1575

968 1263

1972

2947

3465

327375

688

1099

1260

0

1000

2000

3000

4000

5000

6000

7000

Exports

OEM

After Market

2109 2518

3709

5277

6300

2000 2002 2004 20072006

Segment-wise Sales(Million Rs.)Major focus on

OEM & Export segments

0

10

20

30

40

50

60

70

0

GOOD

Self Certified/ DOL Supplies(%) 60

30Self Certified

DOL2003 2004 2005 2006 2007

0

4

8

12 10

0.5

GOOD

2001 2002 2003 2004 2005 2006 2007

Reduction in Defective Supplies(%)

Mar

ketin

g

Vend

or M

anag

emen

t

Vendor Guidance

After Market Network

RationalisationSupplier to

Solution ProviderAssist in Developing

better products

3 timesIncrease in

Sales

Guidance on 5 S

No Formal Guidance Quality Control

Maintenance

Guidance on 5 SQuality Control

MaintenanceO E E

Guidance on 5 SQuality Control

MaintenanceO E E DOL

R M , BOCTooling

AncillaryJobs

Self Certified Suppliers

Direct On Line

Weekly

100 80 50 40 35

25

550 345 250 225 200

0 20 35 22 25 200 0 5 8 10 10

725

0%

25%

50%

75%

100% TS 16949QS 9000

ISO 9000

Uncertified

Certified Suppliers/Vendors(%)

2001 2002 2003 2004 2005 2006

BACKWARD INTEGRATION PRODUCTION FORWARD INTEGRATIONSuppliers

Vendors

Purchase

Quality Assurance

Information

InformationProduction

Control

Minimum Lead Time

Marketing

Logistics

OEMs

Exports

After Market

31 Countries10 Companies

38 Nos.

250 Customers

240 Nos.

25 Nos.

On Time Supply On Time Delivery

0

250

500

750

1000

1

2

3

4

5Marketing Cost

(as %age of Sales)

Operating Profit (Million Rs./Year)

Manpower (Nos.)250

500

750

0

1000

702

2.02.5

595

230

119 1232000 2004 2005 20072006

0

2000

4000

6000

0

200

400

600

800750

1827265

5190

205

4312

No. of Suppliers/Vendors

Production Value(Million Rs./Year)

2001 2002 2003 2004 2005 2006 20072000

200

0

400

600

800

4.4

1.0

2.0

3.0

4.0

5.0

Ope

rat in

g Pr

ofit

(Mill

ion

Rs./

Year

)

Mar

ket in

g C

ost

(as

%ag

e o f

Sal

es)

Prod

uctio

n Va

lue

(Mill

ion

Rs./

Year

)

Supp

liers

/ Ve

ndor

s

(Nos

./Ye

ar)

Selecting, Grooming & Focusing on chosen Suppliers/ Vendors

Delivering Quality Products at Competitive Prices to Customers

Supp

lier

/

OnlinePacking

Supplies of Bundle products

Logistic Support

Component

Dispatches from Plant

Field Godowns Units Customers

All activities from

Head Office

RSOs’ established for faster handling of customer enquiries

CFTs formed to provide faster

response0

4

8

12

16

Reduction in Response Time(Days)

2000 2001 2002 2003 2004 2005 2006 2007

15

3

GOOD

Assembly Kit Sub-assemblyPiston

4

4.5

5

5.5

6

6.5Logistic Cost Trend

(%)6.2

4.9

GOOD

2003 2004 2005 2006 2007

40 3515

20

25

30

20 25 30

15

2025

0%

25%

50%

75%

100%

‘A’ Rank

Suppliers- Rank wise(Nos.)

2005 2006 2007

Control Method

Development of Alternative

Source

Considering reduction in

Business Share

Quality Penalty

Business Share, Rewards &

Recognition

DOL Supplies

Initial operations like Parting/ Shearing

Intervening Operations

Semi Finished Operations

Finishing Operations

0.2 0.25 0.3 0.38 0.45 0.5

1.01.2

1.51.8

2.00.48

0.5

0.50.6

0.450.5

0.6

0.7

0.7

0.8

0.8

0.40.36

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

Pins

Vendor Capacity Enhancement(Million Nos./Year)

Valves

Rings

2001 2002 2003 2004 2005 2006

Logi

stic

s /

Piston

Rings Pin

Piston

RingsPin

Connecting Rod

Rings

Piston

Supplies -Category wise

13%

80%

5%2%

Component

Assembly

KitSub-assembly

On Time Supplies

50

75

100

Ontime Supplies(%)

100GOOD

95

70

80

2000 2001 2002 2003 2004 2005 2006 2007

Daily Supplies

Weekly Supplies

Fortnightly Supplies

Initial operations like Parting/ Shearing

Intervening OperationsInitial operations like

Parting/ Shearing

Intervening Operations

Semi Finished Operations

‘B’ Rank

‘C’ Rank‘D’ Rank

Vendor Capacity

Enhancement

Supp

lier

/

Suppliers

Vendors

2.5 times increase

Pistons

0

2000

4000

6000

Page 20: Shriram Piston

SLIDE NO. 20TPM SPECIAL AWARD JOURNEY

5.8 Indigenous development of “NEW STEPS’(under Autonomous Maintenance activity)

Step -1 Initial Cleaning & Inspection

Step -2 Countermeasure for Hard to Access Area & Contamination Sources

Step -3 Tentative Standards

Step -4 General Inspection

Step -5 Autonomous Inspection

NewIndigenous

Steps

JIPM Steps

Intensification of Jishu Hozen Activity

New Step -1 General Inspection of Quality

New Step -2 General Inspection of Setup

New Step -3 Trouble Free Equipment /Operation

Step -6 Standardization

Step -7 All –out Autonomous Management

JIPM Steps

For effective Sustenance

Page 21: Shriram Piston

SLIDE NO. 21TPM SPECIAL AWARD JOURNEY

5.9 Implementation Approach for “New Steps”

Approach for New Step-1(General Inspection of Quality)

General Inspection of Equipment from Quality Perspective . ( Vibrations, Leveling & Static Accuracy)

Education & Training on

General Inspection of Quality

General Inspection of Quality standard

General Inspection ofMeasuring Instruments

Implementation of Generalinspection of Quality

Page 22: Shriram Piston

SLIDE NO. 22TPM SPECIAL AWARD JOURNEY

Approach for New Step-2(General Inspection of Setup)

Standardization of Set up Procedures

Education & Training on

General Inspection of SetupPreparation of Set up& Adjustment Procedures

Identification of Problem & Improvement Areas

Implementation of Generalinspection of Setup

Evaluation of Setup Time

Page 23: Shriram Piston

SLIDE NO. 23TPM SPECIAL AWARD JOURNEY

Approach for New Step-3

Trouble Free Equipment/Operation

Zero Leakage

Zero Minor Stoppage

Zero Break Down

Zero Defect

Zero Accident

Zero Adjustments

during Operation

Page 24: Shriram Piston

SLIDE NO. 24TPM SPECIAL AWARD JOURNEY

5.10 New Approach for Planned Maintenance Activity

Planned Maintenance Activity

6 Step approach for establishment of Planned

Maintenance system

Kaizen activities based on Maintenance skill

Productivity Improvement

Manufacturing Cost Reduction

Quality Improvement

NewApproach

++

STEP - 1 EVALUATE EQUIPMENT & GRASP PRESENT STATUS

STEP - 2 RESTORE DETERIORATION & IMPROVE WEAKNESS

STEP - 3 BUILD INFORMATION MANAGEMENT SYSTEM

STEP - 4 BUILD PERIODIC MAINTENANCE SYSTEM

STEP - 5 BUILD PREDICTIVE MAINTENANCE SYSTEM

STEP - 6 EVALUATE PLANNED MAINTENANCE SYSTEM

Page 25: Shriram Piston

SLIDE NO. 25TPM SPECIAL AWARD JOURNEY

6. SOME BREAKTHROUGH ACTIVITIES6.1 Doubling Production in Existing Factory

Example

Approach in Piston Plantfor

Doubling Production

1. Reduction in set up time.

2. Reduction in cycle time.

3. Line balancing by de bottlenecking.

4. On line inspection.

5. Challenging the lunch hour.

6. Outsourcing the rough operations etc.

Page 26: Shriram Piston

SLIDE NO. 26TPM SPECIAL AWARD JOURNEY

Batch Process

Line Process

Continuous Flow Lines

Machine

WIP WIP WIP

WIP

Process Process

Inspection

Packing

ProcessA B C

Machine

WIP WIP WIP

Process ProcessProcessA B C

Inspection

Packing

WIPWIP

Machine Process ProcessProcessA B C

Inspection

Packing

6.2 Innovation in Production System

Page 27: Shriram Piston

SLIDE NO. 27TPM SPECIAL AWARD JOURNEY

7. People Development

Production oriented approach

“I Operate”Dirty

machine

Scattered Chips

Leakages

Jishu HozenEquipment Structure

OEE Focused

Operator with sound knowledge about Equipment

Set Up Tim e

129

5648

32

23 23 22 21 20 202021

0

2 0

4 0

6 0

8 0

10 0

12 0

14 0

Avg.Year2000

A vg .Year2001

Avg.Year2002

Avg.Year2003

A vg .Year2004

Avg.Year2005

Avg.Year2006

A pr- 07 M ay- 07 Jun- 07 Jul- 07 Tar get

IN

MIN

.

GO OD

EQUIPMENT F AILURE

80

39

1912

0

11

0 0 0 0000

2 0

4 0

6 0

8 0

10 0

Avg .Year2000

A vg.Y ear20 01

Avg .Year2002

A vg.Y ear20 03

Av g.Ye ar2004

Avg.Y ear2005

Av g.Ye ar2006

Apr- 07 M ay- 07 Jun- 07 J ul- 07 Target

B/D

IN

MIN

.

G OO D

TOO L CHANGE & ADJUSTMENT

395

288

173151

11488 83 81 7 9 807878

0

5 0

10 0

15 0

20 0

25 0

30 0

35 0

40 0

45 0

50 0

Avg.Year2000

Av g.Ye ar200 1

Avg.Year2002

Av g.Ye ar200 3

Avg.Y ear2004

Av g.Ye ar2005

Avg.Y ear2006

Ap r-07 M ay- 07 Jun -07 Jul -07 Targe t

TIM

E IN

MIN

.

G OO D

REJECTION DATA

0 .2 8

0 .13

0.09

0 .0 4 0 .0 3 0.040.0 2 0 .0 1 0.01 0.0 2 0.0 1 0 .00

0.0

0.1

0.2

0.3

0.4

0.5

A vg. Ye ar2000

A vg. Y ear200 1

Avg. Year20 02

A vg. Ye ar2 003

A vg. Ye ar200 4

A vg. Y ear200 5

Avg . Yea r2 006

A pr-07 Ma y-0 7 Ju n-07 Jul -07 Targ et

%

GOO D

NET OPERATING RATE

61

738 2

879 2 93 9 3 9 5 959 6959 0

0

10

2030

40

5060

70

8090

1 00

Av g.Ye ar200 0

Avg.Year20 01

Avg.Yea r2 002

Av g.Ye ar200 3

Avg.Year20 04

Avg.Yea r2 005

Av g.Ye ar200 6

Apr-07 May -07 J un-07 J ul-07 Target

MONTH

%

GOOD

SPEED OP ERATING RATE100 100 100 100 100 100 100 100 100 100100 1 00

0

10

2030

40

5060

70

8090

1 00

Avg .Yea r2 000

Avg .Yea r2 001

Avg .Yea r2 002

Avg .Yea r2 003

Avg .Yea r2 004

Avg .Ye ar2 005

Av g.Ye ar200 6

Apr-0 7 Ma y-07 J un-07 Ju l-07 Target

%

GOOD

AVAILABILITY959696

78

9 295 9 6 98 97

9596 95

60

65

70

75

80

85

90

95

100

JAN-00 2000 2001 2002 2003 2004 2005 2006 Apr- 07 May-07 Jun-07 Jul-07

MONTH

AV

AIL

AB

IL

ITY

IN

%

TARGET

9 6%

78 % GOOD

2007( TAR GET)

( BENCHMAR K)

QUALITY PRODUCT RATE99.9999 .9899 .96

98.999.48 99 .83 99. 97 9 9.95 99.9 6 99.99 9 9.98 99.99

86

88

90

92

94

96

98

100

JAN- 00 2000 2001 2002 2003 2004 2005 2006 Apr-07 May-07 Jun- 07 Jul-07

MONTH

QU

AL

IT

Y P

RO

DU

CT

R

AT

E I

N %

T ARGET

100 %98.9%

GOOD

2007(T ARGET )( BENCH MARK)

PERFORMANCE RATE969595

9087

82

73

61

47

92 93 93

3035404550556065707580859095

100

JAN-00 2000 2001 2002 2003 2004 2005 2006 Apr- 07 May-07 Jun-07 Jul-07

MONTH

PE

RF

OR

MA

NC

E R

AT

E I

N%

TARGET

95%

47%

GOOD

2007(T ARGET)(BEN CHMA RK)

O.E.E. CHART

888988

36

56

70

79

85 8690 91 91

20

25

30

35

40

45

50

55

60

65

70

75

80

85

90

95

100

JAN-00 2000 2001 2002 2003 2004 2005 2006 Apr-07 May-07 Jun-07 Jul-07

MONTH

O.E.

E. IN

%

90%TARGET

36%

GOOD

2007(TARGET )(BENCHMARK)

OEE Tree Equipment Function

Chart

Jishu Hozen

High Awareness about Equipment

“My Machine” conceptClean

machineNo

LeakagesNo

Scattering

Jishu HozenEquipment Structure

OEE FocusedSetup & AdjustmentQuality Monitoring

Kaizen Ability

Operator strong at both Equipment & TasksVibration Pen

On Job TrainingsClassroom Trainings

Course Modules

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SLIDE NO. 28TPM SPECIAL AWARD JOURNEY

Upgradation of Employee Morale

GENERAL HEALTH

HEALTH CHECKUP CAMPS FOR EMPLOYEE & THEIR FAMILY MEMBERS

Cancer detection camp

Chief guest

Hepatitis ‘B’ Vaccination camp

- Serious Diseases, Cancer, Tumor, TB etc detected at each stage , treatment at Govt. Hospital

Page 29: Shriram Piston

SLIDE NO. 29TPM SPECIAL AWARD JOURNEY

YOGA CLASSESYoga

Naturopathy

Meditation

- Separate yoga/meditation center proposed

Page 30: Shriram Piston

SLIDE NO. 30TPM SPECIAL AWARD JOURNEY

CULTURAL ACTIVITIES(Celebrating all major festivals)HOLI

Page 31: Shriram Piston

SLIDE NO. 31TPM SPECIAL AWARD JOURNEY

SHRIRAM JAYANTI

Page 32: Shriram Piston

SLIDE NO. 32TPM SPECIAL AWARD JOURNEY

NATIONAL INTEGRATION DAY

- Each function is also a communication forum where chief guest&CEO shares the views with the employees.

Page 33: Shriram Piston

SLIDE NO. 33TPM SPECIAL AWARD JOURNEY

SPORTS ACTIVITIES

- National & State level players in Shooting ball & kabaddi

- District level cricket team

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SLIDE NO. 34TPM SPECIAL AWARD JOURNEY

REWARD & RECOGNITIONWorker of the monthBlood donorsBest suggestorBest sportsmanHigh performing childrenBest attendance

Page 35: Shriram Piston

SLIDE NO. 35TPM SPECIAL AWARD JOURNEY

WORKERS PARTICIPATION IN DECISION MAKING

Canteen Managing committee

Welfare Co-ordination committee

Sports committee

Suggestion committee

Entertainment committee

Safety committee

Grievance redressal committee

- Direct participation of more than 400 employees- Representation from all plants

Page 36: Shriram Piston

SLIDE NO. 36TPM SPECIAL AWARD JOURNEY

COMMUNITY DEVELOPMENT

Development of park for children

Sewing & knitting school for ladies

Page 37: Shriram Piston

SLIDE NO. 37TPM SPECIAL AWARD JOURNEY

8. TANGIBLE RESULTSOverall Equipment EfficiencyPlant Labour Productivity

353229

2519

0

1 0

2 0

3 0

4 0

5 0

Th.P

arts

/Man

/Yea

r

B.M.-120072000

Actual2006

Target2008

Actual

(Th.Parts/Man/Year)

B.M.-22004

Year

GOOD

88878685

54

0

1 0

2 0

3 0

4 0

5 0

6 0

7 0

8 0

9 0

1 0 0

1 1 0

%ag

e

B.M.-120072000

Actual2006

Target2008

Actual

(% age)

B.M.-22004

Year

GOOD84 %

Increase

63 % Increase

Manufacturing Cost trend

6

10

18

2025

0

5

1 0

1 5

2 0

2 5

3 0

Days

B.M.-120072000

Actual2006

Target2008

Actual

Production Lead Time Trend(From Sales Plan to Delivery)

(No. of Days)

B.M.-22004

GOOD

Year

7272.676.770.5

82.1

0

1 0

2 0

3 0

4 0

5 0

6 0

7 0

8 0

9 0

%ag

e

B.M.-120072000

Actual2006

Target2008

Actual

(As %age of Sales)

B.M.-22004

GOOD

Year

Reduction by12 %

Reduction by76 %

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SLIDE NO. 38TPM SPECIAL AWARD JOURNEY

Breakdown Frequency – Trend Defect Rate Trend(category wise)

0.58

2

0

0.5

1

1.5

2

2.5

Nos

./ M

onth

(Nos./ Month)

B.M - 120072000 2006

Target2008

B.M - 22004

Year

Zero Accidents since 3 years

Actual

0 0 0

No. of Reportable Accidents

10.3

7.36.1 5.2

2.0

0

5

1 0

1 5

2 0

%ag

e

B.M.-120072000

Actual2006

Target2008

Actual

(% age)

B.M.-22004

Year

0

1 0 0

2 0 0

3 0 0

4 0 0

5 0 0

6 0 0

7 0 0

8 0 0

Nos.

B.M.-120072000

Actual2006

Target2008

Actual

(Nos./Year)

B.M.-22004

Year

648

11892 78

0

MajorMediumMinor

GOOD

GOOD

Reduction by81 %

GOOD

Reduction by88 %

14.0

17.0

11.010.6

1.92

0

5

1 0

1 5

2 0

Nos.

/Yea

r/Em

ploy

ees

B.M - 12007

(Nos/year/employee)

2000 2006Target2008

B.M - 22004

Year

Actual

No. of SuggestionsGOOD785%

Increase

Page 39: Shriram Piston

SLIDE NO. 39TPM SPECIAL AWARD JOURNEY

9. INTANGIBLE BENEFITS

Harmonious RelationsPlant, Marketing & H.O.

Neat & Clean Shop Floors

Page 40: Shriram Piston

SLIDE NO. 40TPM SPECIAL AWARD JOURNEY

Visits of Foreign Delegates/ Customers.

Business OpportunityThrough Visits of

Foreign Delegations

Senior Delegates from Japan & Germany

Page 41: Shriram Piston

SLIDE NO. 41PRESENTATION BY SHRIRAM PISTONS & RINGS LTD.

END OF PRESENTATION