‘SMEs need to focus on excellence’

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KN Shenoy, chairman, CII Institute of Quality, Bangalore, has been providing ground support to Indian industry’s efforts to become globally competitive. Quality, after all, is the starting point to competitiveness. His long career with Swiss multinational ABB India—a top quality assessor--as CEO (1974–1996) and chairman (1996–2002) came in handy for that. A fellow of the National Academy of Engineers, Shenoy was CII president during 1986-87. Currently, he is vice-chairman, Volvo India Pvt Ltd. On a trip to the Capital, he speaks to FE’s C Jayanthi on the need to maintain quality in small & medium enterprises (SMEs) and the processes in place to help Indian SMEs attain global standards.

Could you tell us about the CII Institute of Quality?

In 1995, which was the centenary year of CII, the past presidents of CII decided to open four institutes for four different areas of management in India: one in the south, CII centre of excellence for total quality management at Bangalore, supported by ABB Ltd; the north—CII centre of excellence for industrial excellence at Gurgaon supported by the House of Tatas; the west—centre for excellence for management research, Mumbai, supported by the House of Godrej and the east, centre of excellence for human resource development at Kolkata, supported by a number of organisations. As the winds of change started, we felt there was a need for Indian businesses including SMEs to become world-class companies. At the time I was with ABB India, which was the highest quality assessor company worldwide. CII decided to have ABB India as a sponsor, which then gave Rs 4 crore towards the project. Initially, we had some problem with land, as it took us five years to get land for the institute. In 2000, we acquired land for the institute not too far away from Bangalore city. In 12-13 months, the institute was ready. These institutes teach companies to achieve excellence in total quality management, in which every employee, big or small, commits to doing work of the highest quality.

So, the institute was started in 2000?

No, although the institute building was constructed 2000, CII started the quality movement from 1987, since we believed that unless companies become competitive, the economy will be weakened. The movement so far has involved 2,000 managers and CEOs by taking them through different facets of management.

When did you start the business excellence award?