Synopsis: Communication
  For Productivity  
Letters written to some
  7500 Workers / Managers / Union Leaders, following a period of strike / Go
  slow / Murders (1979 - 1987), at Mumbai factory of Larsen & Toubro Ltd.
  This direct / open / honest communication led to a remarkable
  atmosphere of trust between Workers and Management, which, in turn,
  increased productivity at 3% per year (ave). 
 | 
 
11 SEP 1979
To:
Dear friends
PRODUCTIVITY
In  joint discussions  between the 
Management  and Bharatiya
Kamgar  Sena  Union  
representatives  held  during 
last  few months  immediately following the  wage settlement,  both the parties  have expressed  their 
firm  commitment to  increase productivity, to keep our products
competitive.
During  the 
review  it  was  found   that 
the  productivity increases,
as  stipulated in the  Settlement, have  not taken place  in large 
areas of  operations  although these  should have been
achieved within three months of the Settlement.
This has
become an area of major concern and we 
have jointly drawn  up  action 
plan  to  identify 
specific  productivity targets and
make efforts to achieve them.
It  is  recognized  that the 
targeted  increases  in 
Labour Productivity can mainly 
come from the  collective efforts
of all the workmen and the Supervisory staff.
It  is 
agreed  to implement  the 
following  with  immediate effect:
1.  
Maximum  utilization of  working time 
on the  machines/ jobs thereby
eliminating unproductive time.
2.  
Full  cooperation 
in ensuring  adherence  to 
specified  work timings and
maintaining discipline.
3.  
Cooperation  in 
implementing agreed 
job-classification  as provided in
the recent Settlement.
4.  
4.   For 
areas   already  covered by 
productivity  indices,  efforts  
at   individual    level  
to   increase   the 
Productivity indices to the level as per the Settlement.
5.  
5.   For 
areas   with  no 
Productivity   Indices  coverage, 
increase, the  Productivity level
by  25 points over the December 78
performance level.
6.   Holding of structured 3-tiered meetings at
     - 
Shop floor level
     - 
Unit level
     - 
Powai level
on  a regular 
basis, to  review and  improve productive performance.
The  BKS Union has 
reaffirmed  its concern for  the need 
to raise productivity and has 'agreed to extend full cooperation in the
matter.   This can be achieved only
with  the positive attitudes,  the 
recognition of  the  motto 'Productivity  or Perish 
and the whole-hearted  acceptance
that  productivity is  the 
concern  of  every  
individual  employee.   We 
are convinced that this is the major way 
to ensure sustained and successful operations, resulting in growth
of  the company in which all of us have.
joint stake.
We are
sure,  as in the past, all the  employees will rise to the  occasion, 
with  an all-out  effort 
to  achieve  higher levels of  Productivity and not allow  individual problems to interfere with the
attainment of the common goals.
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