Tokyo , 17 Dec 2004

TVS Motor Company awarded the Total Productive Maintenance (TPM) Excellence Award

TVS Motor rated as the benchmark in TPM excellence in India

TVS Motor Company was awarded the coveted Total Productive Maintenance (TPM) Excellence Award - First Category by the Japan Institute of Plant Maintenance (JiPm) - Japan, a Unit of Japan Management Association (JMA). In a brief ceremony held today in Tokyo, Japan, Mr. C. P. Raman, President TVS Motor Company received the award before a distinguished gathering.

The TPM excellence award - First category was awarded to TVS Motor Company in recognition for excellence in application of TPM methodology in its Manufacturing plant. The auditors of JiPm concluded saying "We rate TVS Motor Company - Plant 3 - Engine Components Division as the benchmark plant in India in TPM Excellence - First category"

For TVS Motor Company, which started the TPM journey in June 1999, this award is a recognition of the consistent excellent results achieved in terms of business results and performance indicators on Quality, Cost, Delivery, Productivity, Morale and Safety.

The audit process at TVS Motor Company - Plant 3 - Engine Components Division, began in April 2004 by Auditors Mr. Sugiura from JiPm and Dr Nomura from Aichi University, Japan. During the course of the audit, the two auditors appreciated the enthusiasm, rigour and fervour with which TPM has been implemented, especially the involvement of all employees in implementing Kaizens. The final review was conducted in September 2004 and this time too the two auditors were happy to see that all the improvement points suggested during the Preliminary audit had been implemented and horizontally deployed to other areas.

The "TPM Excellence award - First category" is awarded to large companies (>500 employees), which score more than 80 % during the final audit.

Following are the results achieved by TVS Motor Company - Plant 3 - Engine Components Division

Parameters

Improvements
Profit Overall 250 % increase
Manufacturing cost 40% reduction
Tool cost 60% reduction
Quality Zero Customer complaints in all models
Scrap cost 98% reduction
Zero defect 57% of cells
Delivery 100% daily despatches to customers
OEE (Overall Equipment Effectiveness) for the plant 88%
Breakdown 94% reduction with 80% increase in machines (311 machines to580 machines)
98% zero breakdown machines
Productivity 46% increase
Safety Zero accidents
Morale Employee participation in kaizens increased by 9 times (6 per employee per year to 59 per employee per year)
New Product / Process Development 50% reduction in capital cost / investment
40% reduction in project leadtime