Zero Defect Zero Effect Scheme- Overview, Objectives, Implementations

Zero Defect Zero Effect Scheme

Zero Defect Zero Effect Scheme- The Prime Minister of India, Shri Narendra Modi urged the industry, especially small level industries like the Micro, Small and Medium Enterprises (MSMEs) of India, to manufacture goods in the country with “zero defects” and to ensure that the goods have “zero effect” on the environment. With an aim to make India a global manufacturing hub, the Prime Minister gave an open invitation to manufacturers and investors across the world to establish manufacturing units in India with no defects in products and no effect on the environment.

Overview

Zero Defect Zero Effect Scheme or ZED provides the concept of quality has a holistic change from a tool for compliance to a source of competitiveness, which is meant to evolve from a total dependency on inspection of the final product to correct defects, to a proactive process of improving processes like quality planning, product and process designing, optimum processes, efficient resource management, effective outsources activities and breakthrough outcomes. Along with a focus on quality of products and services, there is an equal emphasis on the elimination of products’ impact on the environment through adequate planning at product and process design, pre-production (start-up activities), production and maintenance activities, post production (disposal after use) and outcome of environment performance. This will result in sustainable development.


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The Zero Defect Zero Effect Scheme ZED scheme is an integrated and holistic certification system that will account for quality, productivity, energy efficiency, pollution mitigation, financial status, human resource and technological. The parameters of the scheme will cover all aspects of the existing schemes of Ministry of MSME, like: Quality Management System (QMS) or Quality Technology Tools (QTT), Lean Manufacturing Competitiveness Programme (LMCS), Design Clinic and Technology and Quality Up-gradation (TEQUP), and Building Awareness on Intellectual Property Rights (IPR).

Objectives

The Model shall be applicable for all sectors of manufacturing industries with main focus on MSMEs and small businesses while addressing the quality and ecological needs of domestic and overseas customers, society, employees, partners, regulators, and investors. The scheme works on following objectives:

  • To enable the advancement of Indian industry to a position of eminence in the global marketplace and leverage India’s emergence as the world’s supplier through the ‘Made in India’ mark all over the world.
  • To develop and implement a ‘ZED’ culture in India based on the following two principles:

    Zero Defect (focus on customer)

    • Zero non-conformance/non-compliance
    • Zero waste

    Zero Effect (focus on society)

    • Zero air pollution/liquid discharge (ZLD)/solid waste
    • Zero wastage of natural resources

Implementation

The Rating and Certification on the maturity assessment model is valid for a specified time period within which system of surveillance is inbuilt in the model.

The Model also envisages an award & reward system based on performance which include both tangible and intangible benefits, such as:

  • Motivation & Encouragement of MSMEs
  • Showcasing of high performing MSMEs
  • Success Stories
  • Benchmarking to International standards

It is essential for the ZED ecosystem to collaborate for these:

  1. Cooperative Agreements
  2. Knowledge Sharing
  3. Dissemination of information to foreign investor

The ZED Model will be propagated at various levels of the system to achieve these goals:

  • Public procurement
  • Policy interventions / proposing policy solutions
  • Participate in Public & Private agenda settings
  • Initiate changes in Society
  • Facilitate public argumentation (journals, newsletters, blogs, online discussion forums, conclaves, seminars etc.)

Benefits

The ZED holds following benefits for the Micro, Small and Medium Enterprises (MSMEs) of India:

  • Easy access to Loans: To support the industries financially, RBI has issued an advisory to Indian Banking Association(IBA) to incorporate information on ZED in the MSME loan application form which has been followed.  
  • Credible & reliable vendor database: The scheme will ensure that the companies investing in India have a ready-made & reliable vendor base to support their activities the MSMEs rated under ZED Certification Scheme.
  • Reducing negative effect on our environment: Enhanced environment consciousness making the industries “Responsible Manufacturers”.
  • Awards & Rewards: High performing ZED units will be recognized nationally by the Ministry of MSME and QCI through award & reward system which will help them to showcase themselves globally and it will also leads to motivation in producing better products.
  • Aligning with best practices: MSMEs will get an opportunity to do benchmark study and learn the best practices required for great production across the globe under the ambit of ZED Certification Scheme.
  • Global Competitiveness: Enhanced competitiveness of the vendors in the global marketplace so that goods manufactured have no defects and thus leveraging the benefits of quality & cost optimization.
  • Visibility & brand recognition: A “ZED Mark” to enable an MSME to be seen as a company with a leverage over non-rated MSME units and gives them a higher identification.

NOTE- For more information kindly visit official websitehttps://www.zed.org.in/

One Response

  1. Malthi June 5, 2018

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