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TMA | E NEWS | FEBRUARY - APRIL 2014

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FEBRUARY - APRIL 2014

T M A ’ S Q U A R T E R L Y - M A G A Z I N E Vol: 8 Issue: 2

Affiliated to All India Management Association (AIMA), New Delhi

I am very much thankful for the unstinting support and appreciation extended by the readers and well wishers of our house journal published immediately after taking charge of new Managing Committee.

The Managing Committee of TMA met on 31/01/2014 decided to convene TRIMA 2014 during the month of April-May, 2014. As in the past, we are expecting full support from all business & industrial organizations and professionals for making the convention a grand success.

All of us are aware that the modern management scenario is very much turbulent and hence management profession is not that much easy as seen in the past. Vibrant and result oriented management strategies are inevitable to manage organizations successfully. Existence of successful organizations is in the hands of young talents and, no doubt, we have to extend paramount importance to the budding managers.

In order to fulfill the idea, TMA has taken initiative for opening a Chapter of TMA in Asian Business School (One of the biggest Management School in Kerala) for attaining acquaintance to the students in management field. This is only a beginning and our aim is to open Chapters in all professional educational institutions in and around Trivandrum. Anticipating whole-hearted co-operation from all stake holders.

With warm regards,

A.S. Suresh Babu

President

RESPECTFUL HOMAGE

PRESIDENT SPEAKS:

Trivandrum Management Association’s (TMA’s) Managing Committee at its emergency meeting held on 16.12.2013, has condoled on the sad demise of H.H Padmanabhadasa Uthradom Thirunal Marthanda Varma Maharaja of Travancore on 16th Dec 2013 at Thiruvananthapuram. He was an epitome of compassion and simplicity and personification of selfless service to the Society. We pay our respectful Homage to him.

His Highness Padmanabhadasa Uthradom Thirunal

Marthanda Varma Maharaja(1922- 2013)

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NO MORE BUSINESS AS USUAL

FROM SECRETARY’S DESK

AGRICULTURE - NEW FRONTIERS

Administrative Service during 1973 and was allotted to Gujarat Cadre. Under the Administrative hierarchy, he was elevated upto the level of Secretary to the President of India. Now he is the CEO of “Responsible Business Solutions”, a Consultancy Organisation offering strategic advisory services for projects. Dr. Fernandez, in his presentation, explained various factors involved in Corporate Social Responsibilty and he narrated the strategies to be adopted in Organisastions for sustainable development. He pointed out, from his personal experiences, the methodology through which we can find solutions in the present changed complex industrial scenario.The presentation was well attended by TMA Members, their families, management students and guests.

Dr. Christy Fernandez IAS (Rtd) addressing the audience. L to R Mr. T.A. Krishnamoorthy, Secretary; Mr. A.S. Suresh Babu, President and Mr. B.S. Basantkumar, Jt. Secretary.

As part of regular programme, TMA conducted evening lecture by Dr. Christy Fernandez IAS (Rtd.) on the topic “NO MORE BUSINESS AS USUAL” on November 04, 2013 at TMA Hall. The speaker Dr. Fernandez was selected in Indian

Mr.Subrata Biswas IAS made a presentation on the topic “AGRICULTURE – NEW FRONTIERS” in connection with our evening programme on December 17, 2013 at TMA Hall.

Agriculture Production Commissioner & Principal Secretary, Animal Husbandry, Govt. of Kerala Mr. Subrata Biswas IAS speaking in the evening programme. L to R Mr. T.A. Krishnamoorthy, Hon. Secretary; Mr. S Ramnath, Sr. Vice President and Mr. H. Vinod, Treasurer.

Mr. Biswas, a native of Kolkota, after completing B.Tech. from IIT, Kharagpur and M.B.A. from IIM, Kolkota, joined in Indian Administrative Service in1985 and was allotted to Kerala Cadre. As a part of his profession, Mr. Biswas measured in words the frontiers of possible ways in modern agriculture. He elaborated the need of present day to improve the agriculture as a labour oriented programme as well as feeding schemes to lakhs of people. The topic of presentation was very innovative and hence the members and other dignitaries enjoyed the presentations.

It is to express my pleasure for presenting before you the 2nd issue News letter of TMA regarding our activities for the quarter ending 15314. I also express my sincere thanks to Shri. M. Janardhanan , MC Member of TMA in charge of publishing News Letter. We have opened a new Website with active support of AIMA, New Delhi. Thanks to President Shri., A.S. Suresh Babu and Shri. B.S. Basant Kumar of Asianet News , the Jt. Secretary of TMA, and also in charge of our new Web Site Develpoment by linking to Face Book ,Twitter and other Social medias. We have also celebrated TMA New year 2014 on 17.1.2014 by organizing a family get together and a talk by Dr. MKC Nair on that occasion. At this point , we have competed 29 years of existence having more than 600 Members and 33 Student Members on our Rolls. We have also conducted following events during the

EVENING PROGRAMMES

month of February 2014:A) A Management Run on 21.2.2014 in commemoration of Management Day, B) A monthly Training Programme on 15.2.2014 for Change Management, C) Formation of Student Chapter of TMA at Asian School of Business,(ASB), Trivandrum .

Before closing, I solicit all members to contribute appropriate article in TMA News Letter from Work Experience and Practical Wisdom like Mr. Kurian Mathew, TMA member. T.A.Krishnamoorthy.

Hon.Secretary.

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LESS IS MORE

ACCOUNTING PRACTICES

ADOLESCENT OFFICE PRACTICE – FOR PARENTS

Our next evening programme was a Managerial–cum-philosophical talk by HH Swami Bodhananda Saraswati at TMA Hall on January 01, 2014. Topic of the presentation was “LESS IS MORE “

TMA alongwith the Institute of Cost Accountants of India, Institute of Chartered Accountants of India and Institute of Company Secretaries of India organized an interactive session with CA Swaminathan Gurumurthy, India’s well known Chartered Accountant on December 13, 2013 at ICAI Bhavan, Trivandrum.

CA S Gurumurthy presented complex area of accounting practices to be followed for identifying the strength and weakness of an Organisation.

New Year Celebrations and Family get together have been organized by TMA in a befitting manner on Janauary 17, 2014 at T.M.A. Hall. The programme was ornamented by a lecture Dr. M.K.C. Nair (Professor of Paediatrics & Director,

HH Bhodananda Saraswati speaking on the subject “ LESS IS MORE”. L to R: Mr. K.G. Nair, Chairman, IIMM; Dr. K Gopalakrishnan Nair, President, IIIE and Mr. A.S. Suresh Babu, President, TMA.

CA Swaminathan Gurumurthy answering the questions.

Dr. M.K.C. Nair interacting with the audience

HH Bodhananda Saraswati is an accomplished teacher of Vedanda and modern Management. Swamiji is a native of Kerala and spiritual founder and Director of numerous Organizations and Ashrams all over the world. Swamiji’s talk pointed to the consumption behaviour of human beings in the changed world set up. He invited the attention of the audience to “LAW OF DIMINISHING MARGINAL UTILITY” concept which is derived from the basic laws of Economics and Behavioural science. He established through examples that Less is More, but it is more than enough for the survival.

The interaction opened the doors to thought provoking situation through which the participants earned a lot to tackle the problems amicably in their organisations..

Child Development Centre, Kerala) on the topic “Adolescent Office Practice – for Parents”. Dr. Nair explained the subject in an humorous tone, but in detail and he warned the young generation for their baseless expectations in the life that they can never achieve. “The absence of grand father/mother is one of the major reasons for the imbalance in young minds” he added. The function was well attended by the members and their families.

INTERACTIONS

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CHANGE MANAGEMENT

Dr Santhosh Koshy Thomas, inaugurating the“Change Management” workshop. Sitting: Shri T A Krishnamoorthy (left) and Shri N Sethumadhavan, Faculty.

One day workshop on “Change Management” was held on 15.02.2014 at Thiruvananthapuram. The Faculty for the programme was Shri N Sethumadhavan our member. The programme was inaugurated by Dr Santhosh Koshy Thomas, Vice President, TMA.

CYBER SECURITY

Ms. P Dhanya Menon on mike.

Conducting workshop/seminar is one of the major activities of T.M.A. A highly demanding subject “CYBER SECURITY” was selected for one day workshop on December 06, 2013. The Venue was Hotel Pankaj,

Trivandrum and the faculties were Ms. P. Dhanya Menon and Adv. K Latha. Ms. Menon is B.Tech. and M.B.A. holder. She holds Diplomas in Cyber Laws, and also she is a Consultant in IT Security, Govt. of Kerala/Govt. of India and Member, CCFAI. Adv. Latha is holding Law Graduation and PGDFM & PGDCL. She is a Senior Advocate in High Court, Kerala. Ms. Menon emphatically stretched on the subject “PIRACY’ and its related issues concerning the cyber services. She explained the causes for damage including malicious mail, computer hacking, denial of services, packet fishing etc. Adv. Latha narrated legal issues of Cyber Security and briefed about the legal support given at the desired time and place. The topics were very lengthy and problems raised were endless. The speakers suffered a lot to accommodate the presentation within the time constraints. Delegates from various organizations from Trivandrum and nearby places attended the workshop.

WORKSHOP

AN APPEAL

Members may kindly make sure that membership dues along with arrears are paid for smooth functioning of the Association. - Hony. Secretary,

TMA

INVITED

Members/Student Members can contribute ARTICLES relating to Management subjects for publishing in TMA NEWS LETTER - Editor, TMA NEWS

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INAUGURATION OF CONSULATES

Management Day Run

TMA members at Management Run on 21st February. Flag off by Shri Anil Kanth IPS, ADGP Kerala Police.

Dr Shashi Tharoor inagurated consulate of UAE and Srilanka. TMA attentend the opening of the UAE Consulate and the Honorary Consulate of Republic of Shri Lanka both inTrivandrum.

To commemorate National Management Day on 21 February, a Management Day Run from Kanakakkunnu Palace main gate via University Stadium, Mascot Square to Museum Compound was held on 21.02.2014. On termination of the Run, a Management Quiz was conducted at the open air in front of Museum Mandapam, which was participated by students from Management institutions in Thiruvananthapuram. Facilities for Medical check up at the venue was availed by participants before the Run.

MEMBERS MAY PLEASE INFORM

Changes in address/Email ID/Telephone NumberChanges in Official statusReceiving AwardMarriageOther events , if any

PATRON MEMBERSHIP a) Patron (Individual) `25,000/- b) Patron (Corporate) `1,00,000/- c) NRI Membership (Life) `1,00,000/-

OTHER CLASSES OF MEMBERSHIP Entrance Fee Yearly subscription a) Corporate Member `7000/- `3000/- b) Associate Corporate Member `3000/- `2000/- c) Individual Member `1000/- `500/- d) Student Member `50/- `200/-

Membership Application form can be downloaded from website of TMA

MEMBERSHIP IN TMA

A REQUEST

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The Toyota Motor Corporation (TMC) became the largest manufacturer of passenger cars using certain tools and systems it developed called the Toyota Production System (TPS). Many professionals in the West,

surprised at TMC’s success in terms of quality, volume, revenues and profits, studied the system and gave it new name:“Lean Manufacturing”, “Lean Management” or just plain “Lean”.. In simple terms, Lean is the elimination of waste in everything we do.TMC defined waste as any activity that does not add value to the customer. It identified seven types of waste and developed systematic ways of reducing this waste on a continuous basis. The process called for full commitment from the top management and the involvement of both the hearts and minds of the entire workforce. This simple concept proved successful for TMC, Boeing, Airbus and many other companies. On the other hand, many other top firms have failed in the implementation of the same. Recently, TMC, the originator of Lean, had rather disastrous quality problems leading to the recall of tens of thousands of its cars. However, within a surprisingly short time, they rebounded and recaptured the top position. Hence, the question in the title of the article.

A brief overview of Lean is necessary before we address this issue. Japan’s economy was devastated at the end of World War II. An industrialist, whose main line of manufacturing was textile machinery, dreamed of making cars. Detroit in the United States of America was the car capital of the world, utilising mass production techniques initiated by Henry Ford and used widely in the war effort. The Japanese industrialist and his production engineer who shared his dream studied the existing cars and car-making technologies and experimented on the factory floor. It was soon evident to them that the very style of production and use of cars in the US and elsewhere would fail in the peculiar circumstances faced by Japan at that time – a severe shortage of resources, a small market size and narrow roads. After years of struggle, adaptation and innovation, they evolved their own system of production and production management which soon proved to be a big success in terms of quality, customer delight, market share, revenues and profit in Japan as well as all over the world. The industrialist was Kiichiro Toyoda, his production engineer Taichi Ohno, the company Toyota Motor Company (now Corporation) and the system they developed the Toyota Production System aka Lean.

Any activity which uses resources without adding value for the customer is defined as waste by TMC. Mr Ohno categorised waste into seven main types, namely:

• Transport (moving products that are not actually required to perform the processing)• Inventory (all components, work in process and finished product not being processed)• Motion (people or equipment-moving or walking more than is required to perform the processing)• Waiting (waiting for the next production step)• Overproduction (production ahead of demand)• Over-processing (resulting from poor tool or product design creating activity)• Defects (the effort involved in inspecting for and fixing defects)

(Taking the first letter of each of these wastes gives us the mnemonic TIMWOOD).

Later on, others added “waste of unused human talent”. Afterwards, the waste associated with working to the wrong metrics or no metrics, and the waste attributable to improper use of computers - not having the proper software, training on use and time spent surfing, playing games or just wasting time- were also added.

LEAN MANAGEMENTLean – a panacea for today’s ills, a contrarian

approach or just one more of those passing fads?

Kurien Mathew

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Successful Lean implementation requires complete commitment of the management (and it should be so perceived by all personnel of the organisation and other stakeholders). The management should make decisions based on its long-term philosophy even at the cost of short-term results. It should demonstrate its respect of the individual and encourage teamwork so that teams achieve exceptional output from ordinary people. Management should make decisions slowly after involving all stakeholders and considering all options; but implement them rapidly. The aim should be to become a learning organisation, committed to continuous improvement in delighting the customer. Also, the management should respect and train the extended network of partners in the value chain, like suppliers and subcontractors.

Lean practitioners eliminate muda (waste), mura (uneven production) and muri (strain or overburdening of the worker). Everything must be done in a Lean or least waste way. A non-exclusive list of Lean tools, most of which are self-explanatory or is generally well understood, is given below:

• Continuous improvement (kaizen)• Defect-free production (right the first time)• Pull systems instead of push systems (kanban - produce only what the downstream step requires)• Visual controls• Design for manufacture• Level production• Standardised work• Total Productive Maintenance (TPM)• Go and see for yourself to fully understand the situation (genchi genbutsu)• Just-in-time production (JIT)• Stop the production line when a quality problem is encountered (jidoka). Toyota encourages

workmen to do this and responds at the highest level to a stoppage of the work flow.• Value Stream Mapping• Single-digit Minute Exchange of Dies (SMED)• Work place organisation through “Five S”

o S1: Sort (seiri) – position tools and components according to frequency of use by the worker, with frequently used items reachable with minimum motion

o S2 : Straighten or set in order (Seton) – a place for everything and everything in its placeo S3: Sweep (seiso) – involves cleaning and visual clues to indicate condition of workplace with

one sweeping glanceo S4: Standardise (seiketsu)o S5: Sustain (shitsuke) – ensure no regression to old ways after new procedures are introduced

• Right-sizing (if required in-house development to ensure the equipment is designed to meet the actual requirement and not as per the suppliers standard catalogue with higher-than-required capacity and cost)

• Expose and deal with problems systematically, involving all stakeholders. Institute systems to find the root cause of problems and encourage learning from the same.

• Error proofing (poka-yoke)• Autonomation (automation with a human heart– often done in-house and by workmen instead of

expensive and complex automation by outside parties)• Use of reliable and thoroughly tested technology• Training of all personnel [including extended network of partners]

It is clear that Lean is not rocket science. Most of it is common sense and some have been practised for many years. Many of the tools developed are based on work done by others – but fine-tuned on the Toyota factory floor.

From the foregoing discussions, it is clear that successful implementation of Lean requires at least the following:• Complete commitment of the management to Lean; actual and perceived• Basing management decisions on long-term philosophy

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Printed and published by: T.A Krishnamoorthy Hon. Secretary TMA. Editor: M Janardhanan, Editorial Board: Dr Jacob Abraham & B.S Basanth Kumar, Design Layout & Printing: Chrysalis Communication pvt ltd, Trivandrum, Published from TMA House, Jawahar Nagar, Kowdiar P.O, Thiruvananthapuram- 695 003, Tel: 0471-2724786, 2726644 | Email: trima_85@yahoo.co.in, Website: www.tmakerala.org.For private circulation only.

• Establishing systems to expose and deal with problems systematically, taking into account the root cause, involving all stakeholders and learning from each incident.

• Respecting the individual and encouragement of teamwork. • Training of all personnel and extended network of partners in Lean

Perhaps the most important learning from Toyota’s experience is that cultural and managerial aspects are more important than the tools per se. As noted earlier, Toyota refined the TPS tools on the factory floor through years of experimentation, adaptation and innovation. It would be wrong to assume that whatever Toyota developed would work unmodified in all environments – cultural and social effects do matter. But it should be realised that the basic principles developed by Toyota are sound; if required they should be fine-tuned to the needs of each organisation.

The most important aspect to be understood is that Lean is a philosophy to delight the customer by maximising value. Failure in implementation does not indicate the non-validity of the philosophy – after all, there are many organisations which have successfully implemented Lean and continue to swear by it with healthy and growing financial bottom-lines to prove its efficacy. Those who have reaped success from the Lean methodology chose the required tools from the available basket and used them intelligently after adapting them to the specific environments of their organisations; success cannot be achieved if a “cut &and paste” approach is followed.

The conclusion is evident – Lean is a philosophy whose very simplicity tends to hide its efficacy and universal application. A deeper understanding is required to implement it successfully. It is often hard work but very

rewarding. As a matter of fact, Lean could be applied to one’s personal life also! It is not a passing fad. It follows a common-sense approach with dedication and hence cannot be called a contrarian approach. Properly

understood and implemented with humility and respect, it can be a panacea for today’s ills, not only for organisations but also for families and even for nations.

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