OPERATION

MANAGEMENT
ASSIGNMENT
Submitted By:
Mohit
Mehndiratta
Section-A

Rajiv Gandhi National Quality Award

Rajiv Gandhi National Quality Award was instituted by the Bureau of Indian
Standards in 1991, with a view to encouraging Indian manufacturing and
service organizations to strive for excellence and giving special recognition
to those who are considered to be the leaders of quality movement in India.
This award is intended to generate interest and involvement of Indian
Industry in quality programmes, drive our products and services to higher
levels of quality and equip our Industry to meet the challenges of domestic
and International markets.
Rajiv Gandhi National Quality Award would help Indian Industry to improve
quality by:
a) Encouraging Indian Industry to make significant improvements in quality
for maximizing consumer satisfaction and for successfully facing competition
in the global market as well.
b)
Recognizing the achievements of those organizations, which have
improved the quality of their products and services and thereby set an
example for others.
c)
Establishing guidelines and criteria that can be used by industry in
evaluating their own quality improvement efforts.
d) Providing specific guidance to other organizations that wish to learn how
to achieve excellence in quality, by making available detailed information on
the `Quality Management Approach' adopted by award winning organizations
to change their culture and achieve eminence.
The award has been designed in line with similar awards in other developed
countries, like Malcolm Baldrige National Quality Award in USA, Deming Prize
in Japan and European Quality Award.

Eligibility Criteria
An organization is eligible to compete for the award, if it satisfies all the
following conditions:
a)
Applicant organization is located in India,
b)
Applicant organization has been in existence for at least three years as
on last date of the application.

c)
Applicant organization is situated at one place or a unit of an
organization housed at one location,
d)
Applicant organization has never been convicted by any court for
deficiency in product or service and/or found guilty of financial irregularities
by any regulatory authority or court. An undertaking to this effect will have
to be submitted.
e)
Applicant organization is not manufacturing products, like tobacco and
liquor etc which are injurious to health.
A Sub-unit which performs only support functions for the parent organization
such as, sales, marketing, distribution, finance, human resources and health
are not eligible.
Further, if an applicant organization has earlier received an award, it is not
eligible to apply for an award for next three awards. However, this condition
will not apply to those applicant organizations which have received
commendation certificate.

Industrial Sectors applicable for this award

There are five awards consisting of one for large scale manufacturing
organizations, one for small scale manufacturing organizations, one for large
scale service sector organizations, one for small scale service sector
organizations and one for BEST OF ALL. In addition, there are eight
commendation certificates each for large scale and small scale
manufacturing organizations as per industrial sectors given below:
a)
b)
c)
d)
e)
f)
g)
h)

Bio-technology
Chemical industry
Electrical and electronic industry
Food and drug industry
Gems, jewellery and allied industry
Metallurgical industry
Textile industry
Engineering industry and others.

Further, there are six commendation certificates each for large scale and
small scale service organizations in the following sectors:
a)
b)
c)
d)

Education
Finance
Health Care
Information Technology

e) Utilities
f) Others
Industries manufacturing products like
injurious to health are not applicable.

tobacco and liquor etc. which are

Malcom Baldrige National Quality Award

The Malcolm Baldrige National Quality Award (MBNQA) is presented annually
by the President of the United States to organizations that demonstrate
quality and performance excellence. Three awards may be given annually in
each of six categories:
1.
2.
3.
4.
5.
6.

Manufacturing
Service company
Small business
Education
Healthcare
Nonprofit

Baldrige Criteria for Performance Excellence:

Results from using the
Criteria:
Better employee
relations

Higher productivity

Greater customer
loyalty

Increased market
share

Improved profitability

The Baldrige National Quality Programs Criteria for Performance Excellence

are nationally and internationally renowned as a comprehensive framework
that any organization can use to improve overall performance. Seven
Categories make up the Criteria: Leadership; Strategic Planning; Customer
Focus; Measurement, Analysis, and Knowledge Management; Workforce
Focus; Process Management; and Results. The Criteria are used by thousands
of organizations, of all kinds, for self-assessment and training and as a tool to
develop and improve performance and business processes. For many
organizations, using the Criteria results in better employee relations, higher
productivity, greater customer loyalty, increased market share, and improved
profitability. According to a report by Booz Allen Hamilton, a leading
consulting firm, The Baldrige Award enjoys very broad, positive recognition
among leaders in each of the Baldrige Award-eligible sectors. More than 70
percent of leaders surveyed among Fortune 1000 companies said they are
likely to use the Criteria for Performance Excellence.
1. Leadership: How upper management leads the organization, and how
the organization leads within the community.
2. Strategic planning: How the organization establishes and plans to
implement strategic directions.
3. Customer and market focus: How the organization builds and maintains
strong, lasting relationships with customers.
4. Measurement, analysis, and knowledge management: How the
organization uses data to support key processes and manage
performance.
5. Human resource focus: How the organization empowers and involves
its workforce.
6. Process management: How the organization designs, manages and
improves key processes.
7. Business/organizational performance results: How the organization
performs in terms of customer satisfaction, finances, human resources,
supplier and partner performance, operations, governance and social
responsibility, and how the organization compares to its competitors.

Baldrige model application and evolution

Baldrige is a process model. The first six of the Criterias seven categories
ask how we do what we do, while the seventh category asks for the results of
those processes. The organization, division, department, and work group
must think process to drive continuous improvement and achieve your goals.

In Baldrige terms, how encompasses four areas: approach, deployment,

learning, and integration. When responding to the how questions in the
Criteria, of which there are more than 130, we must be able to describe how
we address each of these four areas for all of your key processes. Ideally, our
approaches will be systematic and repeatable. They will be designed,
managed, and improved using data and information. They will be deployed
to all relevant parts of the organization. They will include cycles of evaluation
and improvement. They will align and harmonize with other key processes,
plans, measures, actions, and results to achieve the organizations goals.
We can develop more effective processes at any level of our organization.
Start by identifying the key processes. Map out the steps in each. Identify the
key customers for the process and determine their requirements for quality,
delivery, cost, and service. Identify the key suppliers to the process, both
internal and external, and determine what the process requires from these
suppliers. Identify the key requirements of the process, again in terms of
quality, delivery, cost, and service, and determine how you will measure
performance on each. Communicate process requirements to those who
work and supply the process. Measure performance and use quality tools,
problem-solving, lean, Six Sigma, and/or other methodologies to improve.