Zero Defect – Zero Effect (ZED) for Textile sector

Compliance to Excellence Model Vertical and Horizontal Objectives of ZED Maturity Model Compliance to Excellence Model Graded Improvements Vertical and Horizontal Enablers and Results

The ‘ZED’ mark Zero Defect (Focus on Customer) Zero nonconformance/ non-compliance Zero Waste Zero Effect (Focus on Society) Zero Air Pollution/ Liquid Discharge (ZLD)/ Solid Waste Zero wastage of natural resources

Applicability Applicable for all sectors of manufacturing and service industry Focus on MSME/ small businesses. Address quality and ecological needs, domestic and overseas customers, society, employees, partners, regulators and investors

Zero Defect Zero Effect Focus Areas “ZED” is a maturity model with 5 levels “ZED” is not only a certifiable standard but a journey toward excellence in the area of Zero defect and zero effect “ZED” is generic model implementable to every type of manufacturing and service industry “ZED” provides Empowerment to workers through Trainings “ZED” focusses on Health, Safety And Environment - Zero Effect

ZED IMPLEMENTATION a) Promote “Make in India” campaign b) Drive manufacturing without impacting environment c) Bring down rejection rate and deliver quality products d) Creating employment in manufacturing e) Creating a self-sustained ecosystem for ZED Target 1 million SMEs over the next 3 -5 years To be assessed on 61 parameters including technology, fuel usage, waste disposal system, manpower skilling etc. Ecosystem for ZED being developed

Ecosystem for ZED certification Training SMEs Capacity Building Assessor Go & See Awards Collaborate with Partners Advocacy Training and Awareness for SMEs to be conducted through Chambers/NPC/other partners Capacity Building for Lean Manufacturing Creating assessor database through Online portal Partners – ASQ, Japan Plus, Mckinsey, ANSI etc. Advocacy for Public procurement.

Achieving Zero Effect ‘Pollution is, more often than not, mis-utilisation of resources and raw materials’ Keeping this in view, the focus needs to be on: Enhancing efficiency Minimizing wastes Optimizing use of resources Through – Use of environment management tools Intensive auditing processes

Parameters Sl. No. Enablers Main Parameters Sub Parameter 1 Enablers for Product Quality Process Design for Quality  6 Pre-production (startup activities)  3 Production & maintenance activities Product Design for Quality Post production activities  4 2 Enablers for Emission, effluent & waste disposal activities Process Design for Env. Control environmental control  2 Product Design for Environment  1 3 Enablers for resource management Facility Human Resource Outsourced activities Innovation & Creativity 4

Parameters Sl. No. Results Main Parameters Sub Parameters 1 Outcomes Outcomes for Quality Performance 3 Outcomes for Process Performance 5 Outcomes for Environmental Performance 4 Outcomes for overall Company performance

Each parameter has 5 levels Total weightage points 61X5 = 305 points ZED Parameters ENABLERS 14 Main 44 Sub Parameters RESULT 4 Main 17 Sub Parameters TOTAL 18 Main 61 Sub Parameters Each parameter has 5 levels Total weightage points 61X5 = 305 points

Grading ZED Companies Calculation of Spread GRADE LEVEL TYPE Bronze Above 3.0 to Less than 3.5 Commitment to ZED Silver Above 3.5 to Less than 4.0 ZED company Gold Above 4.0 to Less than 4.5 Excellence in ZED Diamond Above 4.5 to 5.0 World Class Calculation of Spread Less than 34 parameters No Star 34 – 40 parameters * (Single star) 41 – 46 parameters ** (Two stars) 47 – 52 parameters *** (Three stars) 53 – 58 parameters **** (Four stars) 59 – 61 parameters ***** (Five stars)

Example Company A – measured on 34 parameters Total points = 152 20 parameters 5 level : 20 X 5 = 100 10 parameters 4 level : 10 X 4 = 40 4 parameters 3 level : 4 X 3 = 12 Total points = 152 LEVEL = Total points/ applicable parameters = 152 / 34 = 4.47 So Company is graded: GOLD * (one star)

Textile Sector The ZED edge “ZED” will be a credible recognition so that International Customers, Foreign Direct Investors and Society may put their confidence in ZED recognized organizations and customers will identify products & services with the “ZED mark” Foreign companies, CPSUs and OEMs may source their components/ services from ZED recognized MSMEs E-Commerce – flipkart/Snapdeal etc. will reflect ZED rating wherever available for the products they market.

Make in India: ZED for Textile Skill Assessment Assessment & Certification of skilled artisans (skill development already undertaken) on the lines of ISO 17024 Standardization of processes Initiating Lean Manufacturing and QMS/QTT in processes of MSMEs Develop rating parameters of MSMEs as per ZED model Technical Upgradation funding Any funding scheme can be based on ZED parameters so that a “targeted funding approach” may be adopted for optimal utilization of funds

Make in India: ZED for Textile Fiscal Incentives Such incentives can be based on ZED ratings as well as scope of improvement of MSMEs. Apart from motivating MSMEs, this will ensure transparent utilization of allocation of funds for incentives. Scaling of Technology & Investment Identification of MSMEs (for scaling of operations & technology and investment) through current certified ZED rating so that they may improve from their standard (Silver to Gold, Gold to Diamond etc.) FTAs Finally, for any Free Trade Agreement, the importing Country will look for a product that is certified as per Global Standards. ZED certification will ease this barrier and will instill confidence in the importer.

Progress made so far Validation is going on in different SMEs in various sectors A pilot project has been initiated with funding from DIPP Online Training vertical is being prepared for capacity building

Quality Council of India Thank You Quality Council of India National Accreditation Board of Education and Training ( NABET) 6th Floor, ITPI Building, 4-A, Ring Road, IP Estate New Delhi 110002 nabet@qcin.org +91-11-23323416-20