Godrej Security Solutions, a division of Godrej & Boyce Mfg. Co. Ltd. and part of the USD $ 4 billion Godrej Group has been awarded the prestigious TOCICO International Achievement Award 2014 by the Theory of Constraints International Certification Organization (TOCICO) for its comprehensive and superior end to end processes which enable and ensure timely delivery to customers.
The selection criterion for this award is noted to be stringent and has been awarded to GSS due to its consistent application of Theory of Constraints (TOC) and achieving consistent results over a significant period of time that it was implemented. The award was presented to GSS by Dr. Lisa Lang, Chairperson of the TOCICO Board at the 2014 TOCICO International Conference held in Washington DC. The conference was attended by members of the TOC international community from around 77 countries. The award recognizes the adoption of the TOC framework to revamp GSS’ supply chain of its physical securities business with the objective of improving on-time delivery performance, reducing lead-time, and enhancing availability. This has been implemented and achieved in the two years of its implementation. GSS was also invited to make a presentation in the plenary session on the company’s journey to fulfil its vision despite the economic slowdown.
The adoption of the TOC framework has significantly boosted the company’s revenue showing results of increasing it by as much as 300% in the first two years and quadrupling it thereafter. Furthermore sales have doubled in the last three years and tripled the return on capital.
- On time performance improved to more than 90%, while the production lead time reduced by over 50%
- Lead time to customers reduced by 50%, while variability in lead time reduced seven times
- Output in the plant almost tripled, and this has been achieved with significant reduction in overtime and with the least addition of manpower
- Work-in-progress inventory reduced by more than 50% and finished goods stock reduced by 50%
- Rate of new product introduction increased by 200%
- Availability of all items is in the range of 90%
- Number of distributors have almost tripled, along with doubling of range at the distributor
- Number of retailers increased four times, along with doubling of range at the retailer
- Sales increased by 39%, while profitability almost tripled
- Profitability of the company has doubled
Mr. Dara Byramjee – Executive Vice President and Business Head, Godrej Security Solutions said “GSS has always focused on meeting the consumers’ needs with excellence and efficiency. We are happy that the efforts are recognized through this award and are honored to receive it. We have worked along with our partner Vector Consulting Group to improve our overall performance by implementing the TOC principles and methodology. We will continue to uphold the high values of customer service and undertake such efforts in the future so that we are able to deliver only the best to our customers.”
Mr. Rahul Naik – Associate Vice President and Head supply chain Management, Godrej Security Solutions who was present in Washington D.C to receive this award on behalf of the company said, “It has been our pleasures to deliver the best products and services to the customer with minimum barriers in terms of delivery time or customer service. This award comes as recognition of the efforts put in by our team at GSS over the years in streamlining processes. We are delighted to have received this honor and will continue to serve our customers with better quality and efficiency in the coming years and more.”