At a time when Maruti Suzuki India is up against rising input costs and a downturn in domestic sales, the company's vendors have come together to improve efficiency so as to keep production costs in check.
Fifty four of the top 80 component suppliers of Maruti Suzuki India (MSI) would compete against each other in what has been called 'Quality Circle Competition', and the top three would get a chance to present their cases in Suzuki's Japan facility alongside other global vendors.
"The idea is for the teams from different vendors to identify, deliberate and resolve one core business issue that will add value to the overall functioning of the organisation, thereby increasing efficiency," Maruti Suzuki Suppliers Welfare Association (MSSWA) S K Arya said.
"When the steel prices are shooting up and other costs are escalating such steps from vendors will untimately help in keeping the final product prices in check without passing too much burden on end consumers," he added.
This is the first time that the vendors of MSI has undertaken such an exercise, although Suzuki has been encouraging its global suppliers in a similar manner for a long time.
"Maruti has encouraged the vendors to take up this as it gives all the vendors to learn from each other and how to be more efficient and more productive with lesser investment," Arya, who is also the Chairman of JBM Group, added.
The North Zone leg of the competition would be held from September 18-20, followed by South, West and East zone competitions.
