Manmeet Motor Company (MMC) was started in 1984 to manufacture and sell motorcars across India and the globe. Manmeet Motor Company's Total Quality Management (TQM) practices started in 1986. Mr. Arvind Singh, the founde
CS Professional · Strategic Management and Corporate Finance · PYQS · June 2025
Manmeet Motor Company (MMC) was started in 1984 to manufacture and sell motorcars across India and the globe. Manmeet Motor Company's Total Quality Management (TQM) practices started in 1986. Mr. Arvind Singh, the founder of MMC had given the slogan "Quality is our Top Priority" which laid the foundation for implementation of TQM within MMC. Mr. Avadesh Singh took over as the new Managing Director of MMC in 2024. Total Quality Management at MMC: Quality has been a pioneering element in the success of MMC since its foundation. During the initial years, MMC's business was impacted by global tariffs on automobile spare parts which led to an increase in the cost of production for MMC and a subsequent decline in its margins. To combat this situation, Mr. Arvind initiated the TQM movement across MMC. The results of this movement were stunning at MMC. After racking up ₹3 crore in losses from 1984 to 1986, MMC started trial runs to manufacture the spare parts in-house to reduce the cost of production. By 1989, on completion of three years after the implementation of TQM principles in its value chain, MMC had turned into the most profitable company in the automobile segment with margin percentages beating the industry standards considerably. Current Developments at MMC: A series of setbacks are tarnishing MMC's hard-won reputation for quality. There has been a media controversy over substantial environmental degradation due to the in-house production of spare parts. Further, the recent customer survey also revealed that the customer satisfaction index proved to be below industry standards, which was detrimental to MMC's reputation. In light of these developments, Mr. Avadesh attended a symposium at NYU Stern on the success of Six Sigma implementation in mature enterprises. He was impressed by the ideology and felt its relevance for MMC. On his return to India, he asked Ms. Nivedita, his Executive Assistant to schedule a roundtable of all the Senior Executives of MMC to deliberate on the Six Sigma implementation in MMC. Ms. Nivedita is a recently qualified management graduate from the Indian Institute of Management Bangalore and has joined as an Executive Assistant to Mr. Avadesh at MMC. Considering her recent academic stint, Mr. Avadesh has specifically asked her to present her views in the roundtable. Required: (iii) Assuming yourself as Ms. Nivedita, brief the members of the roundtable on the steps involved in the implementation of Six Sigma using the DMAIC approach.
Answer & Explanation:
Steps involved in the implementation of Six Sigma using the DMAIC approach at MMC are as under: Define the problem statement process goals in terms of key critical parameters on the basis of customer requirements or Voice Of Customer (VOC) and setting project boundaries. Measure a complete picture of the current state of the process and establishes a baseline through measurement of the existing system in context of goals and collecting the data regarding possible causal factors. Analyze the current scenario in terms of causes of variations and defects and determining the root cause. Improve the process by systematically reducing variation and eliminating defects and root causes. Control the future performance of the process and support and maintain the gains realized.
Topics: Strategic Management
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