Easwari Engineering College: Department of Management Studies

EASWARI ENGINEERING COLLEGE
Department of Management Studies
Assignment-1
NAME OF THE STUDENT SHAKTHI PRIYAN D
ROLL NUMBER 98
YEAR & SEC 1 YEAR & MBA ‘B’ SEC
ST
SUBJECT CODE 193MBC107T

SUBJECT NAME TOTAL QUALITY MANAGEMENT
ASSIGNMENT TOPIC QUALITY PRACTICES
DATE OF SUBMISSION 13/02/2021
TOTAL MARKS
SIGNATURE OF THE FACULTY
TQM PRACTICES IN LARSEN & TOUBRO
Objectives:
a) To study and find the Quality Management Practices performing in world and in Larsen &
Toubro.
b) To study the evolution and Deployment of Quality Management Practices in World by
research papers.
c) To study the journey of Larsen & Toubro in field of Quality and TQM Practices at Larsen &
Toubro.
Scope
The study of Quality Practices in world was done by selecting 22 research papers and in Larsen
& Toubro India
Methodology & Procedure:

It is a study of concepts and practices and the company’s implementation across world and in
Larsen & Toubro India. The project was divided into study of research papers in 1st month of
internship which can give better understanding of different practices in world and in 2nd month
there was study on Larsen & Toubro India from Description of TQM practices which was given
to JUSE for applying Deming Grand Prize in 2012.
Introduction to Larsen & Toubro

Larsen &Toubro Limited is known as L&T, is an Indian technology, engineering,
manufacturing, construction and financial services conglomerate headquartered
in Mumbai, Maharashtra, India. It was founded by two Danish engineers taking refuge in
India. The company has business interests in basic and heavy construction, engineering, realty,
information technology, manufacturing of capital goods, and financial services. As of 2020, L&T
Group comprises 118 subsidiaries, 25 joint-venture, 6 associates and 35 joint operations
companies.
Total Quality Management (TQM) is an sweetening to the standard means of doing business. It’s
a tried technique to ensure survival in first competition by creating continuous improvement a
culture and specializing in customers.
Total – created from the complete
Quality – Degree of excellence a product or service provides.
Management – Manner of handling, dominant, directional etc.
TQM needs basic focus on

• A committed and concerned management
• Customers, each internal and external
• Effective involvement and utilization of labor force
• Continuous improvement
• Treating suppliers as partners
• Establish performance measures for the processes
QUALITY IN LARSEN & TOUBRO

Quality management at L&T begins with a company-wide drive to improve customer satisfaction
by supporting the customers' business goals. Effective processes are developed for everything
from research, development and product implementation, to sales and customer support. The
objective is to create high-quality products and services and implement on going improvements
that will meet or exceed customer needs.
L&T is committed to continuous improvement of its business processes by implementing

globally accepted standards such as ISO 9001:2008, ISO 14000: 2004 and OHSAS 18001:2007.
The Company's operating sites implement the appropriate quality policies dependent upon
locations, types of products or services provided and prevailing regulatory requirements.
L&T and its employees are committed to protecting the environment and the health & safety of
fellow employees, customers, and the public by adhering to stringent regulatory and industry
standards across all facilities, encouraging pollution prevention, and striving towards continual
improvement.
L&T seeks to go beyond compliance with regulatory standards in pursuit of excellence in

environmental, health and safety management practices, as an integral part of its total quality
management system - a healthier today and a safer tomorrow. L&T's corporate management has
enunciated policies that emphasize EHS through structured and well-defined procedures at every
stage of construction that protect the environment. The Company's global operational policies
and standards support its commitment to continuous improvement and serve as a solid
foundation for the EHS management processes. The business units build upon this foundation
with programs tailored to their respective culture and work environment to strive toward L&T's
ultimate vision of zero injuries and zero adverse environmental impact.
TQM Vehicles
Policy Management:
The Policy management was 1st introduced in latter 1/2 Nineteen Sixties by Bridgestone Company and is
outlined as activities that area unit conducted, with the cooperation of the complete company, to ascertain and
with efficiency bring home the bacon mid- and semi Permanent business plans and short-run business policies
supported basic management policies. The Policy Management is largely Strategic coming up with that follows
the principles of PDCA (Plan, Do, Check, Act). It had been diagnosed in Larsen & Toubro by: 1) MD Diagnosis-
Sr. Executives & MD-twice during a year - Check for hardiness of coming up with. 2) four student analysis
establish the weak areas in policy readying.
Daily Management:
Daily Management system was introduced in 2006 with the target of achieving stability through distinctive and
removing abnormalities and within the method, achieving progressive improvement. it's outlined as all the
activities that has to be dole out to with efficiency bring home the bacon the business objectives of every
department area unit liable for. The steps of the DM system at TSL were mainly: (a) KPI Identification by
departments supported client demand, role of the perform and criticality of the method, (b) method
Standardization (SOPs) (c) coming up with of management conceive to keep the method stable, (d)
observation of Key Performance Indicator (KPI) as per management plan/ KPI hunter, (e) Identification of
abnormality and (f) taking corrective and preventive action.
Employee Involvement:
The Small cluster Activity (SGA) at TSL includes TPM Circles, Quality circles and “MASS” groups to have
interaction staff in improvement activities and thereby produce a spirited work place and improve the matter
determination skills of staff. the amount of Kaizen per circle has augmented at the speed of quite 100 percent
each year whereas the worker involvement has reached to ninety three of the full frontline staff. Larsen &
Toubro is defrayal concerning Rs one core annually on Shabashi Reward (atleast one SGA every month) and
Suggestion Award (10% of saving done by the corporate during a year with most of Rs fifty,000 for amount of
five years if the saving from that suggestions area unit recurring).
Cross useful Management:

A job is chain of the many task, if one task isn't done than there's downside thus it's additionally vital. it's
introduced recently to Larsen & Toubro for coming up with and simple communication among completely
different
departments. to confirm strong systems like Quality Assurance, Safety etc.
FINDINGS:
Larsen & Toubro (TSL) had been a real follower of TQM with cultivating continuous improvement in its structure
culture and seeking to be a world category company.
• Overall income has grownup by 100 percent and maintained far better than its competitors.
• Overall revenue has grownup year on year by 100 percent from FY05.
• It has incessantly improved Quality with reduction in defects at customers finish by five hundredth (4500ppm
to 2500ppm) from last five years
• Continually works with the choose cluster of shoppers to get profit for them by distinctive concepts and
conjointly implementing them.
• It has considerably increased its offer chain performance by applying ‘Theory of Constraints’ and thereby
rising its maturity Performance (DDP) to customers.
• TSL has improved its current (New Product Development) NPD method by analyzing the gaps in earlier years
and incorporating the educational.
• TSL’s sales are increasing in each Flat and Long merchandise, at a similar time, has brought important
reduction in client claims (89% in FP & seventy three in LP).
• The captive coal value and ore value has been maintained 1/5th of market value.
Conclusion:
Larsen & Toubro practiced all the standard management practices following the cluster values sincerely by
prime management. Larsen & Toubro has followed TQM philosophies with efficiency by TQM Vehicles. The
result of sincerely implementation of Quality Management practices created continuous improvement a culture
of company in each section and practices done by the corporate, whether or not it's in field of Steel business or
town development.

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EASWARI ENGINEERING COLLEGE

Department of Management Studies

SUBJECT CODE 193MBC107T

Methodology & Procedure:

Introduction to Larsen & Toubro

TQM needs basic focus on

QUALITY IN LARSEN & TOUBRO

L&T is committed to continuous improvement of its business processes by implementing

L&T seeks to go beyond compliance with regulatory standards in pursuit of excellence in

Cross useful Management:

departments. to confirm strong systems like Quality Assurance, Safety etc.

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