Concepts of Value Engineering

Value Engineering (VE): Value Engineering is an organized approach for identification and elimination of unnecessary cost. • QIP, QC & Benchmarking: Tata Steel adopted Juran Trilogy concept for undertaking Quality Improvement Projects (QIP). Quality Circles (QC) are small group activities which involves first-line employees who continually control and improve the quality of their work, products and services. Benchmarking is a process of exploring for best practices and performances across the world and putting systematic efforts to bridge the gap. • Total Operational Performance (TOP): Total Operational Performance initiative was launched in 1998 with the help of McKinsey. Major focus of this initiative was on cost reduction, quality & throughput improvement. • Total Productive Maintenance (TPM): TPM is an approach to maintenance that optimises equipment effectiveness, eliminates breakdowns and promotes autonomous maintenance by operators through day to day activities involving the total workforce. • Knowledge Management (KM): Tata Steel decided to embark on formal KM initiative in the year 1999. The beginning was made in July ’99 to place a Knowledge Management (KM) program for the company and systematically as well as formally share and transfer learning concepts, best practices and other implicit knowledge. • Define-Measure-Analyse-Improve-Control (DMAIC): The fundamental objective of the DMAIC methodology is the implementation of a measurement-based strategy that focuses on process improvement and variation reduction. • Define-Measure-Analyse-Design-Improve-Control (DMADIC): This tool is based on Design for Six Sigma Philosophy. DMADIC focus is predominantly on design aspects. It is generally used for Task Achieving Projects like New Product Development, New Market Development etc. • TOP in Marketing: Launched in 2002 with the help of McKinsey, TOP in Marketing was the first new ASPIRE initiative launched with a focus on