Abstract
Business today is being impacted by multiple forces and is under an unprecedented pressure to perform. The key to performance lies in anticipating the future and working towards it. This means asking the question: How much of its resources is the company putting in renewal and innovation, i.e., in activities like R&D, quality and process improvement, industrial design, market research, and so on?
What is the record of Indian companies when it comes to innovation? This article briefly surveys the Indian scenario and quotes examples of innovation, or lack of it, in sectors such as automobiles, FMCG, telecom, etc. While impressive strides have been made by certain companies, the same cannot be said of the entire Indian industry. It is mostly the MNCs, driven by their worldwide processes, that have been at the forefront of innovation. There have been some Indian companies too doing a good job but the majority seems to be ill-prepared to meet the global onslaught or even the Chinese one.
In this context, this article examines the following issues:
What is the concept of innovation? How do Indian companies achieve a grasp of it? Is innovation an ongoing process? Should companies strive for breakthrough developments or focus on continuous improvement?
“It is not the strongest who survive nor the most intelligent — but those most responsive to change” (Charles Darwin). If this is true, are the Indian companies doing enough to respond to the changing times? Again, this article examines the Indian scenario in the manufacturing and services sector. While many companies are adapting fast, there are many that are still to awake to the changing times.
Total Quality Management (TQM) has made impressive inroads in to the manufacturing and service sectors. Organizations have finally realized the difference between seeking an ISO certification and launching a process to improve continuously. The manufacturing sector is focusing on aspects like lean management, TQM, Quality Circles, and Kaizen. Its essential approach has been influenced significantly by the Japanese approach to TQM. The service sector has been using the Six Sigma banner to further its movement. Benchmarking is a common thread between the two sectors to drive improvement. Organizations have also been using variations of the business excellence models to drive their improvement.
There are many reasons that go into making process improvement the most challenging exercise. This article examines the fundamental causes and recommends that this is one area where improvements will directly impact customer satisfaction.
As we move into the 21st century, what are the key traits required in an organization to achieve excellence? These are as follows:
having key customer insights focusing business strategies on customer value quality commitment upgrading knowledge and processes management by facts and feedback.
In the Indian scenario, it is mainly the MNCs, driven by their global processes, that are driving business excellence. The same culture needs to be cultivated by the Indian companies be they large or medium ones.