Index

DULL GREY TO SPARKLING BLACK ... 04-07

PROMOTING THE USE OF STEEL... 08-11

DELIGHTING CUSTOMERS THROUGH ASSURED QUALITY... 12-19

AWARDS... 20-21 CORPORATE SOCIAL RESPONSIBILITY ... 22-25

IMPLEMENTING LABOUR AND HUMAN RIGHTS PRINCIPLES... 26-31

Editorial Team Ambar Singh Roy Shilpasree Nag R Shuvra Concept & Design Crayons Advertising Ltd. Published by Ambar Singh Roy for and on behalf of Tata Steel Ltd., and printed at Novelty Products Pvt Ltd., 300, Raibahadur Road, Kolkata 700 053

TSAF - SCALING NEW HEIGHTS... 32-35

Dull Grey to Sparkling Black

Dr. P.K. Banerjee & Dr. Pratik Swarup Dash

mine. This promised to yield coal of mineral content as low as eight per cent, a significant improvement from the present achievement of 13 to 15 per cent ash in conventionally washed coal. This clean coal technology is the first-of-its-kind to be developed by an Indian company and promises low ash coal at a cost substantially lower than the price of imported premium coking coal. The project has now reached an advanced stage of pilot plant scale trials. The seed for the new technology was laid in 2006 when the management, under the then Managing Director, Mr B Muthuraman, looked for solutions to increase the productivity of captive mines amidst rising prices and demand. A baseline study was carried out for achieving the objective set by the management and, based on this study, a broad research strategy was developed. The objective of the research programme was to develop a costeffective beneficiation flow sheet, including new technologies for producing clean coal with eight per cent ash, and yet maintaining current yield from the captive collieries. This could be either by changing the design parameters of existing processes or by developing the new technology. Achieving the ambitious target of

eight per cent ash level using the current physical washing techniques implemented at West Bokaro was not a practically viable option as it brought down the yield to a very low value of 10 per cent (Fig. 1). Hence, the alternative was to develop a new technology based on chemical beneficiation.
Acid/ CO 2

Alkali

Feed Coal

Alkali Leaching

Acid Leaching

esearchers at Tata Steel India have developed a breakthrough technology that will produce clean coal having just 8 per cent ash from the as-mined coal of its own mines which contains 30 35 per cent ash. In order to maintain high productivity in their blast furnaces, Indian steel companies are forced to import low ash coking coal. This is because the coking coal available in domestic mines contains as much as 30 to 35 per cent of mineral matter which is finely disseminated in the coal matrix and, therefore, difficult to remove in conventional washing processes. With the international price of premium coking coal going through the roof in recent years, the coal import option is hitting the cost competitiveness of Indian steel makers. Tata Steel already imports half of its coking coal requirement for its Jamshedpur steelworks, d e s p i t e owning mines in West Bokaro and Jharia in Jharkhand. Not only that, while the Company is increasing its capacity at Jamshedpur to reach 10 million tonnes per annum ( mtpa), it also has a massive 6 mtpa greenfield plant coming up in Odisha that will substantially push up its need for coal. In order to maintain its competitiveness, the Company has to source more of its coal needs in the future from its captive mines. This has given an urgency to tackle the problem of high ash in domestic coal. A team from the R & D Division of Tata Steel, led by Dr. P.K. Banerjee, commenced work a few years ago on a radically-new method of removing the mineral matter in coal from the West Bokaro
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TATA STEEL WORLD Volume 7 July-Sep 2012

CO2
Filtration Alkali Regeneration

Product Coal Lime

Filtration Acid Regeneration

Recycle

Value Added By-products

Value Added By-products

Recycle

Fig 2. Process flow diagram

80 70 60 50 40 30 20 10 0

The unique process flow sheet (Fig. 2) developed for this technology is mainly focused and designed to suit the peculiar property of Indian coals having a high content of mineral matter finely disseminated inside the coal matrix. The process involves the use of chemicals which selectively react with and remove the dispersed Yield - Ash Curve m i n e r a l m a t t e r , Target 45% yield l e a v i n g at 8% ash With R&D Good behind the clean coal. Now 39% yield A f t e r at 15% ash obtaining encouraging With our 10% yield Good results with R&D at 8% ash this leaching 5 10 15 20 25 p r o c e s s Ash % d u r i n g laboratory Fig. 1: Possible with existing technology and bench

Yield %

This clean coal technology is the first-of-its-kind to be developed by an Indian company and promises low ash coal at a cost substantially lower than the price of imported premium coking coal.

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than 70 per cent yield without any deterioration in the coking properties. A few trial results with coal from the Companys West Bokaro mine are depicted in Fig.4. Further, the newly-developed regeneration process yields very high efficiency of more than 95 per cent regeneration compared with 80 per cent achieved by the conventional regeneration using lime alone. This is a very important factor in the cost competitiveness of the process.

productivity. The overall economics of the leaching process as well as capital costs involved for a full-scale plant will be worked out after more pilot plant studies. The technology will also help Tata Steel achieve its target of reducing its carbon footprint from the present two tonnes of CO2 (Carbon dioxide) emission per tonne of steel produced to 1.5 tonnes by 2020. The leaching technology will enable this by producing low ash clean coal for coke, and by consuming CO2 for alkali reagent regeneration and during the acid leaching. As the chemical leaching process technology includes the regeneration of chemical reagents and conversion of waste into value added products, the waste discharge to the environment is negligible and hence environmental hazards associated with rejects generated during conventional physical beneficiation route can be eliminated. The waste materials from chemical coal cleaning process are environmentally benign. During chemical leaching of coal, alumino-silicates and pure silica are generated as byproducts. Alumino-silicates are utilised for making low-grade zeolite, which is used for agricultural applications as a controlled release fertiliser that offers considerable advantages.

The pilot trial results show that the ash content of captive coals of Tata Steel can be reduced by about 60-65 per cent with more than 70 per cent yield without any deterioration in the coking properties.

Fig.3: Production area of chemical leaching pilot plant at Visakhapatnam

scale experiments, the Raw Materials & Coke Making (RM&CM) research group has designed, erected and commissioned a pilot plant (Fig. 3) at Visakhapatnam for further studying the process. The pilot plant, with a capacity of 500 kg of feed coal per batch, has a dedicated utility section, reactors, a causticizer and a chemical reagent recovery unit. Coal slurry and reagents prepared in the feed preparation tanks are processed inside two alkali reactors at atmospheric and elevated

pressure followed by treatment inside two acid reactors. After the final treatment with acid, coal slurry is filtered and then washed with water to produce low ash clean coal. The filtrate is first regenerated/recycled and concentrated using a triple effect evaporator and then recycled. The plant is designed to operate using a PLC-based semiautomated control system. The pilot trial results show that the ash content of captive coals of Tata Steel can be reduced by about 60-65 per cent with more

Experiments are being conducted on leaching physically washed coal as well as run-of-the-mine coal in order to establish the economics of the process. Using physically washed coal as a feed, it is possible to produce leached coal with six per cent ash, whereas with asmined coal, the leaching yields coal with eight per cent ash. The existing washing process enables a yield of only 390 kg of clean coal of 13-15 per cent ash from one tonne of as-mined raw coal. The new technology promises to produce 700 kg clean coal with half the ash content (Fig.5). This, in essence, means a doubling of mine life. At present, Tata Steels production capacity at its Jamshedpur works is 6.8 mtpa. It is estimated that even a one per cent drop of ash content in the coking coal from the captive mine, maintaining the same clean coal yield, could benefit the Company to the tune of Rs 100 crore per year due to reduced coke rate and increased blast furnace

Dr. P.K. Banerjee

Chief Researcher
Raw Materials & Coke Making Research Group R&D, Tata Steel Ltd.

40 35 30 Feed Product
70% Yield 80% Yield 70% Yield

Ash (db) %

25 20 15 10 10 5 0

90% Yield

Existing Technology 1 ton of Raw Coal Mined

390kg clean coal with 15% Ash Steel Making

Dr. Pratik Swarup Dash Principal Scientist
Raw Materials & Coke Making Research Group R&D, Tata Steel Ltd.

WB Clean

WB ROM Coarse Coal Middling

Fine Coal Middling

New Technology

700kg clean coal with 8% Ash

Fig.4. Pilot plant results for different coal sources from West Bokaro Colliery

Fig.5. Difference that the new technology is promising to yield TATA STEEL WORLD Volume 7 July-Sep 2012

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Promoting

the use of steel

Sushim Banerjee & Dr.Jayanta Saha

galvanized steel sheets have been covered where BIS certification is mandatory considering the end use and capability of the manufacturers in Phase I. Nine other steel products are included for such certification based on criticality, safety, etc. in Phase II. These are relating to BIS codes like: IS 2062, IS 1786, IS 2830, IS 2831, IS 2041, IS 2002, IS 648, IS 3024, IS 15391 etc.

development the code will be useful.

teel demand is primarily dependent on the growth of steel-intensive sectors like construction, automobiles, machinery, fabrication and transportation. But, equally important is the role of promotional activities in order to create an awareness of the application of steel in new segments and disseminate the knowledge of steel to the prospective users including designers, architects and, above all, engineering students.

In our country, major volumes of steels are used in the construction sector, where durability and safety are of prime importance. For RCC construction, reinforcement bars play a very vital role towards the durability of structures. Whereas the cement used in RCC is 100 per cent quality certified, surprisingly, not much importance is given to using q u a l i t y - c e r t i f i e d complementary material like reinforcement bars. The Government of India was very concerned about this. After giving sufficient time to domestic steel producers to upgrade production lines to be able to make products in compliance with relevant IS standards and avail BIS licence/registration, the Ministry of Steel and Ministry of Consumer Affairs have initiated, from 2008, a process of mandatory certification of steel products for construction. Seven products related to steel wire and
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TATA STEEL WORLD Volume 7 July-Sep 2012

Rust formed on rebars made through TMT routes are not detrimental from the user's point of view and INSDAG has prepared a base paper on this and circulated to users throughout the country. To create awareness on the effective and efficient usage of rebars, INSDAG has published technical papers and guide books T h e I n s t i t u t e f o r S t e e l covering efficient usage of rebars. Development and Growth (INSDAG), Kolkata, along with Tata steel is the leader for hollow members from all major steel sections (RHS & SHS) and producers, is instrumental in INSDAG has taken up multiple preparing technical content and actions to popularise the products. implementation strategies in INSDAG took up an exhaustive connection with the mandatory project work to popularise the use certification of steel products. In of hollow sections through a order to promote good rebars from number of award schemes for the TMT routes, INSDAG is regularly students of Architecture and Civil contributing to BIS CED 54 Engineering. Ready reference committee. INSDAG prepared fabrication guidance was not Earth Quake Resistant (EQR) available to Architects and r e b a r s s p e c i f i c a t i o n a n d Consultants. INSDAG has submitted to BIS for incorporation prepared a relevant publication in IS 1786:2007. It will reduce use and circulated to potential users. of sub standard rebars particularly in the quake-prone Hollow sections are vulnerable areas. To incorporate EQR when structures are subjected to specification in existing IS 1786 fire. Parameters called code, INSDAG has compiled section factors (Hp/A) for various data relating to rebars Indian steel sections are performance in concrete solutions, not available and the anchorage, yield ratio, etc. to steel property table is convince relevant BIS technical silent on this issue. committees like CED 54, CED 2 India does not have and CED 39. In the next adequate fire test amendment of IS 1786, EQR facility to evaluate the Grade (S) will be included. performance of steel under fire to build For steel intensive construction t r u s t o f u s e r s . activities, using EQR structurals INSDAG took up a are also very important. Thus, project for fire testing INSDAG has worked with Tata of Tata Steel RHS, Steel and other major steel 1 2 2 x 6 1 x 6 . 3 , 2 9 0 producers to formulate EQR Hp/A applied with Structural Steels specification as Interchar 963 @ IS 15962:2012, Structural Steel 6 m m d f t . V e r y for buildings and structures with expensive fire tests improved seismic resistance. have been carried Right now, Tata Steel is not out at Felling, producing structurals at its Newcastle Fire Jamshedpur plant, but for market test lab (World's

To create awareness on the effective and efficient usage of rebars, INSDAG has published technical papers and guide books covering efficient usage of rebars.

TATA STEEL WORLD Volume 7 July-Sep 2012

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largest fire test lab for cellulosic fire test) under INSDAGs supervision. The tests results are very encouraging. INSDAG will disseminate these results among actual users and also will be working with Tata Steel (SHS/RHS group) to include fire resistance specification for coatings in the steel properties table. It has been demonstrated through independently witnessed fire tests that intumescent

coatings, tested in accordance with BS 476 Parts 20 and 21, are directly applicable to Indian structural steel sections. This testing can provide confidence to architects and engineers who are involved in the specification of fire protection in India. INSDAG is also pursuing the corrosion resistance issue. It has carried out a pan-India project work using Tata Steel plates conforming to IS 2062 & IS 11587 (General Construction steel & Weathering steel respectively) in association with the National Metallurgical Laboratory, Jamshedpur. Two publications have been issued regarding this, apart from a technical brochure highlighting the typical costeffective paint system required to get maintenance-free steel structures. Another report on this will be published by the end of 2012. The published specifications for steel structures at various types of locations are providing valuable guidance to architects and designers. The use of structural steel application is directly linked with

Tata Steel panels both bare & coated with high performance paints are exposed in various parts of the country to access the durability & atmospheric corrosion rates.

FIRE TESTING OF TATA STEEL PRODUCTS

Expansion of intumescent coating

Tata Steel Hollow sections prior to fire testing

fabrication facilities, knowledge on welding and fabrication using steels. For the guidance of architects and designers, INSDAG has produced a publication on the welding of structural steels, mostly IS 2062 and IS 8500.With the rapid usage of various high-strength structural grades like HSLA, TMT rebars, HPS, stainless steel, Nb bearing steel, Histar, HS hollow sections etc, users are looking for guidance on welding and fabrication. INSDAG is working to bring out guide books collating information on selection of welding processes, electrodes, steel grades, applicators etc. This will be helpful to specifiers, contractors, erectors and others. Tata Steel panels, both bare and coated with high performance paints, are exposed in various parts of the country to access the durability and atmospheric corrosion rates.

initiated a unique programme called RAISE (Responsible Architectural Initiatives and Structural Engineering) as part of its commitment to upgrading the image of steel. INSDAG is associated with the programme as Vision Partner. A RAISE award has also been instituted by TATA Tiscon. The Director General, INSDAG, is a member of the jury for the award. INSDAG has recently completed a model Rural House, at a village in Bardhaman, West Bengal. The house was planned and designed as per the criteria laid down by the Government of India under Indira Awas Yojana (IAY). The building covers an area of 200 sq. ft. including one bedroom, one kitchen and one verandah. It is conceived that there shall be community toilet for the villagers residing in a village. The innovativeness of the structural design and the construction methodology has optimised the cost of a single unit to about Rs 125,000, which is well within the proposed budget of the IAY. In the model Rural House, INSDAG has used the SHS sections 49.5 mm x 49.5 mm x 2.92 mm manufactured by TATA Structura. 15 mm thick Ferro-Cement panels were used in the walls, roof and flooring. In the walls and roof, thermocol pieces are placed inside with finish of plaster. This keeps the house thermally comfortable.

Tata Steel Products exposed to Atmospheric Corrosion

Sushim Banerjee Director General

INSDAG

Responsible Construction
Responsible construction is a hallmark of social responsibility. Right choice of materials, safe construction practices, proper sequence, aesthetics, optimal material usage, etc. are all pillars of responsible construction. If the building stands the tests of time and utility, we can say it is sustainable. In order to encourage responsible construction, Tata Steel has
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TATA STEEL WORLD Volume 7 July-Sep 2012

Dr. Jayanta Saha Dy General Manager

INSDAG

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11

Delighting Customers through

Assured Quality
Indranil Chakrabarti, Manash Banerjee, Brajesh Kr. Roy & Ravi Kumar

ata Steel firmly believes that delighting customers through best quality of product and services provide the ultimate competitive advantage, since quality is remembered long after price is forgotten. Tata Steel has traditionally been acknowledged in India as a consistent and dependable supplier of good quality steel. Over time, however, expectations from the customers have increased significantly, particularly with the arrival of the major global players in the domestic market. This called for a significantly different approach in Quality Assurance based on strong company-wide systems and processes.

procurement ensured steady availability of input materials. It is now realised in Tata Steel that quality is the result of crossfunctional involvement of most functions in the organisation. In this new way of working, operations must ensure that nonconforming products are not produced in the first place. Maintenance must see to it that all quality-critical equipment remains in good health. Procurement function has to make sure that procured materials do not introduce any quality deficiency in the product. They all share the common objective of ensuring quality of the final product (Fig.1). The responsibility of a steelmaker towards quality does not end merely by producing the desired quality of product. It must also make sure that the product reaches the customer without any damage or deterioration in transit. In a large and predominantly wet tropical country like India, this aspect has its own complexities. Therefore, packing, logistics and warehousing functions have also emerged as major players in assuring quality of delivered steel products. The role of Quality Assurance Department has now transformed into bringing these functions together and facilitating them in their endeavour for quality with the requisite input of knowledge, understanding, systems and processes. To promote cross functional deployment of Quality Assurance, the top management of Tata Steel constituted an apex committee called the Quality Board. This Board is chaired by the MD and other members of the top management are members in the Board. The Board sets directions and reviews quality matters across the entire company. A Corporate Quality Assurance

Department (CQA) was also set up to act as a secretariat of the Quality Board and facilitate setting company-wide standards for quality assurance in Tata Steel.

Integration of Quality Assurance

Operations at Tata Steel start with ore, coal and fluxes. These raw materials transform into liquid iron and, thereafter, to liquid steel which, in turn, finally gets converted into sophisticated steel products. Customer requirements are built into the products in several stages during this entire chain of processes. A process very far away from the customer may also contribute significantly to the quality of the final product. The QA system needs to address the entire chain consisting of all major processes like mining, beneficiation, coke, sinter, iron and steel making, Hot and Cold rolling, coating, finishing etc. These processes are strongly interdependent. Support services like maintenance, procurement etc. also play important quality roles. The key challenge for a company-wide Quality Assurance is to clearly identify and unambiguously communicate the roles expected from this wide variety of processes and functions and to ensure that these roles are discharged

The responsibility of a steelmaker towards quality does not end merely by producing the desired quality of product. It must also make sure that the product reaches the customer without any damage or deterioration in transit.

Cross Functional Nature of QA

Traditionally, quality assurance was viewed as a separate independent function. In this paradigm, operations concentrated on quantity of production, maintenance focused on the availability of plant to enable production and

Traditional Concept of QA

Cross Functional Concept of QA

Maintenance

Maintenance Materials Manufacturing QA Logistics Customer QA Logistics Customer

Materials Manufacturing

Fig. 1 Traditional versus cross functional view of QA

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optimally with benefit to the entire organisation. Integration also implies standardisation across the value chain so that QA functions of Divisions and Departments within Divisions work in a similar, consistent and predictable manner, with maximum synergy.

aspect of the TDC in the product to be delivered to the customers. The QA system ensures that if a product is not meeting the TDC, it is diverted to another TDC to which it complies or it is scrapped. While FP and LP Divisions can control most aspects of Quality, it depends heavily on upstream divisions for some such as chemistry. They also need certain other quality characteristics in their input material from upstream processes for efficient functioning. These are documented through Memoranda of Understanding (MOU) between the supplier and the customer departments. The upstream divisions strive to comply with these MOUs which are regularly reviewed by the supplier and the customer departments. There are rules in place about how to deal with any non-conformity with the MOU. The next process may be able to respond by suitable process adjustments or the product needs to be discarded. MOUs also exist between

There are about 1,000 TDCs in Tata Steel signifying the degree of diversity of the Company's product portfolio.

Requirements of customers for each product are clubbed into several broad groups such as chemistry, physical (Mechanical) properties, surface finish, dimensions and service requirements. These requirements are captured in a single document called the Technical Delivery Conditions (TDC). There is a TDC for each distinct product for a specific application. Some TDCs are also customer-specific. There are about 1,000 TDCs in Tata Steel signifying the degree of diversity of the Company's product portfolio. The customer-facing divisions such as Flat Products (FP) and Long Products (LP) are responsible for meeting every

departments within divisions. This mechanism of QA governance at the overall company level is shown in Fig. 2 and is termed as the 'Integrated Chain of Quality'. Not only the main chain of production but also several support functions that directly influence certain aspects of quality (e.g. M a i n t e n a n c e a n d Procurement) are integrated into the 'Chain of Quality. Performance of maintenance is governed by Charters of Agreement (COA) with the Divisions while performance of procurement is governed by specifications laid down by the Divisions.

customers are serviced through a set of distributors, each of which, in turn, feeds a set of dealers. These distributors and dealers constitute the all important link between Tata Steel and the

Customer Satisfaction Survey SMS to Number

Toll Free Number

Daily PAG report Monthly Meetings

Website

Voice of Customers
The first logical step for an effective quality assurance system is a strong process for capturing the voice of customers comprehensively. The customer base of Tata Steel comprises both B2B institutions as well as B2C retail consumers. For B2B institutions, the 'voice of customer' usually comes from their technology function through the purchasing interface. These inputs are well quantified in terms of product characteristics and are embodied in the TDCs as described earlier. However, to effectively pursue customers delight, Tata Steel needs to capture many other soft inputs from the experiences of many other stakeholders in the customers' organisations, such as those who actually receive, store and process the material. These inputs can only be obtained with extra and directed effort as many of these inputs are not so clearly articulated and are available in fragmented bits.

Phone Calls

Voice Of Customer

Customer Visit Report

Claims and Feedbacks Dealer Visit to Plant

E-mail Customer Service Team

Sr. Mgmt. V isit

OE / Distributors Meet

Integrated QA chain at Tata Steel

Raw Materials Customer Coke Sinter and Iron Steel and Mills Flat Products Iron ore Mines Coke Plant M O U Blast Furnace LD M Shop O U
Hot Strip Mill
Product Characteristics

Fig. 3 Listening posts at Tata Steel to capture voice of customers

Effects
Formability

Chemistry

M O U

Cold Strip Mill

Properties

M O U
Sinter Plant M O U COA

M O Long Products U Wire Rod Mill LD M Shop O U

New Bar Mill Merchant Mill

T D S

Drawability Surface Quality Strength Dimension Etc. Etc.

consumers. They are systematically trained and developed by Tata Steel as Channel Partners. With their full understanding of local issues and preferences, they serve as effective listening posts as well as means of communication for the company in the B2C segment.

Collieries

COA Maintenance Specification Procurement

Fig. 2 Integrated Chain of Quality

Maint.

Maintenance Specification Procurement

Spec.
Procurement

Tata Steel has established many other listening posts (Fig 3) in order to be able to have a full appreciation of the customers' stated as well as latent expectations. Customers are encouraged to get in touch with Tata Steel through posting comments on the website, writing In the case of B2C, the voice of the e-mails, sending SMS to an individual customers is even more assigned number or calling up a difficult to capture. These 24X7 toll free number. Personnel

The first logical step for an effective quality assurance system is a strong process for capturing the voice of customers comprehensively.

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from Product Application Group and Customer Service Teams frequently visit customers and engage in regular in-depth

The inputs from each of these sources of feedback are then systematically acted upon (Fig 4). A new IT enabled 'Customer Relationship Management' initiative is being set up to provide a common platform for this activity and better processing and use of the customer insights.

TSL Overall Claim

ppm

Time

FP Claim
ppm

LP Claim

Time

ppm Time

Voice of Customer

Compile and classify

Assign for action

FP Service Claim

FP Production Claim
ppm

Translating Customers' Voice into Action

After the customers' requirements are captured in terms of performance expectations like formability, weldability, paintability etc., each of these is translated at Tata Steel into verifiable product characteristics that lead to fulfillment of these expectations. The product characteristics are then mapped in the form of a matrix (Fig. 5) into process variables that need to be monitored and controlled to create the required product characteristics. This is done for every product segment. Process KPIs are identified for each process variable and target values as well as control limits are assigned to each of these process variables through a Quality Control Process Chart (QCPC)/ Control Plan document for each product, as a part of the product and process design. Existing design is revisited regularly based on fresh insights through customer claim / feedback, customer satisfaction survey reports, etc. Customer claims are analysed in a systematic manner by resorting to progressive stratification of data followed by multi-level Pareto analysis (Fig. 6). Such an analysis draws management attention towards the major problems responsible for most of the complaints. These problems are sought to be resolved through cross functional problem solving teams launching specific

ppm Time

Time

Segment Pareto
ppm 0% Segments

Feedback to Custumer

Review

T Rack and Report

Seg-1 : Defect Pareto

Seg-2 : Defect Pareto

Identification of Top 3 defects for action

ppm

ppm

0%

0%

Defects

Defects

Escalate
Fig. 4 Follow up on voice of customers

Fig. 6 Step by step Analysis of claims at Tata Steel

interactions with them. Members of the Senior Management team make customer calls quite often to understand their problems directly. A yearly Customer Satisfaction Survey, carried out by an external agency, formally furnish indices on various aspects of satisfaction in the different segments of customers.

improvement projects. Where necessary, these teams also come up with proposals for upgradation of existing technologies or capital investment in new technologies.

While every individual complaint undergoes a root cause analysis followed by implementation of corrective action, Tata Steel has

Problems are sought to be resolved through cross functional problem solving teams launching specific improvement projects.

Eight dimensions of complaint analysis

Quality of Design, Manufacturing, Service Number, Volume, Value New or existing product Critical, Major or Minor First time or repetitive Produced after a long time, a change, long absence Claim, In-process, Inspection SOP followed, Not followed
Complaint Type Cause Analysis Qlty of Mfg Qlty of Serv Other Inprocess Control Inprocess Miss Other New Prodt

Process Route

Steel Making Laddle Furnace(LF)

Hot Rolling Finishing Mills Down coiler Run over Table (ROT) Laminar Cooling

Vessel

Sub-Processes Customer Requirement

Unit of measure

Finish Rolling Temperature

Tapping Temperature

Coiling Temperature

Processes Variables

OLP

Additions

Time in LF

HOT ROLLED
Complaint Type Claims First Time Repetitive Qlty of Design Qlty of Mfg Qlty of Serv Other

Claims

First Time

Qlty of Repetitive Design

Product Characteristics Chemistry

58 316 172 46 0 116 0 0 0 0 58 211 46 0 50 0 0 0

Concern:
Repetitive complaintQuality of design
0 0

Formability

Cleanliness YS UTS % EI Mpa Mpa %

sis

Fig. 7 Cross Classification of claims at Tata Steel

Fig. 5 Performance expectations versus process variables matrix

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Performance Index

devised a method of analysis to reveal the underlying systemic issues. This is done by classifying all complaints in eight dimensions (Fig. 7). Each of these dimensions is compared in matched pairs to show up the combination of dimensions accounting for most

Initial
In Process
Low

Step 1
Low

Step 2
High

Mature
Low

Inspection

Low

High

Low

Low

Customer Claim / feedback

High

Low

Low

Low

Fig. 8 Progressive maturity of Quality Assurance

number of claims revealing a weakness in the system in that area. Based on these insights, appropriate system improvement is initiated. In order to facilitate rapid maturity of the Quality Assurance system, data on non-conformities arising out of customer complaints, rejection by internal

Customer Claims (ppm of sales)

Every individual complaint undergoes a root cause analysis followed by implementation of corrective action.

testing and inspection and inprocess rejections are viewed together and compared (Fig 8). High customer complaints and low inspection and in-process rejections marks early phase of no reaction from the organisation's QA. The immediate reaction is to strengthen internal inspection to prevent bad material from reaching the customers. This phase is marked by reduced customer complaints, increased internal rejections and continued low in-process rejection. In course of time, the higher level of internal rejection prompts the processes to remove many nonconforming products directly without offering these for internal inspection. This phase is characterised by higher level of in-process rejection, marked decrease in internal rejection and continued low rate of customer complaints. High in-process rejections eventually encourage the processes to launch many improvement initiatives so that the generation of non-conforming products is minimised at source. This marks the highest level of QA maturity a regime where complaints, internal rejections and in-process rejections all maintain low levels. Viewing these three sets of data together for each process lets Tata Steel understand the type of action required by each process.

100 90 80 70 60 50 40 30 20 10 0

Flat Products : Customer Satisfaction Index FY11

Automotive TATA

Gen Engg Hot Rolled Competition

100 90 80 Performance Index 70 60 50 40 30 20 10 0

Long Products : Customer Satisfaction Index FY11

Indranil Chakrabarti
Low Carbon wire rod High Carbon wire rod TISCON project TISCON retail

Chief
Corporate Quality Assurance TATA steel Ltd.

TATA
Fig. 10

Competition

Results
A systematic and integrated approach to quality assurance at Tata Steel has produced great results. There is a remarkably improved awareness among most employees about the importance of Quality Assurance and their individual roles in it. There is also a significant improvement in the Company's connect with the customers. Objective analysis of data and taking appropriate actions on these have resulted in a dramatic drop in customer claims over the years as shown in Fig 9. The company has an ambitious target of reducing claims further down to 100 ppm. The customers appear to have appreciated the efforts made by

6000

Tata Steel on quality of its products and services as is manifest by the customer satisfaction index data (Fig. 10). Such encouraging responses keep Tata Steel motivated to strive for an even higher level of quality in future so as to sustain the status of most favoured supplier of steel with customers.

Manash Banerjee
Head
Corporate Quality Assurance TATA steel Ltd.

5000

4714

4854

Brajesh Kr. Roy

Sr. Manager
Corporate Quality Assurance TATA Steel Ltd.

4000

3495 2581 2676 1706 1094 583 247

3000

2000

Ravi Kumar
Sr. Manager
Corporate Quality Assurance TATA Steel Ltd.

1000

0 F Y 05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 (Q1)

Fig. 9 Trend of Customer Claims at Tata Steel

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Awards
Tata Steel bags Prime Ministers Trophy for the Best Integrated Steel Plant in India for 2008-09 and 2009-10

Awards
Mr. B Muthuraman, Vice Chairman, Tata Steel, awarded Padma Bhushan

Tata Steel among Worlds Most Ethical Companies by Ethisphere Institute

Mr. H M Nerurkar, Managing Director, Tata Steel, conferred with Corporate Leadership Award

Tata Steel conferred with Indias Most Admired Company Award by Fortune India & Hay Group

Tata Steel bags the Think Odisha Leadership Award for its contribution towards Self Help Groups in Odisha

Tata Steels archer Deepika Kumari conferred with Arjuna Award

Tata Steel received Regional Contribution Award for localisation at the Toyota Global Suppliers Convention

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Corporate Social Responsibility

Corporate Social Responsibility

Tata Steel Thailand received Award for donating book corners to 138 schools in Thailand

Young Astronomer Talent Search (YATS) Finalists get together

Chhattisgarh Project helps women realise their dreams through beautician training

Jyoti Fellowship awards distributed at Jamadoba

Co-operative promoted by Tata Steel at Kalinganagar draws national attention

Tata Steel provides fillip to vegetable cultivation in Jharkhand

Eye surgery camp at Jamadoba

Tata Steel initiatives promotes livelihood opportunities in Odisha

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Corporate Social Responsibility

Corporate Social Responsibility

Health Camp organised by Tata Steel Rural Development Society at Noamundi

Solar power lights up village in West Bokaro

Tata Steel endeavours to educate children of ethnic communities TSRDS Paediatric Camp at Jamadoba

Ta t a S t e e l s t r e n g t h e n s c a p a c i t i e s of Sahiyaas

Outdoor Leadership Camp for youth at Tumung

TFA cadets to hone skills at Sheffield United Football Club

Training on SRI method of cultivation organised for Danagadi farmers

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Implementing

Labour and Human Rights Principles

Priyadarshini Sharma

Committee oversees the functioning and compliance on various requirements of the standard. The Committee comprises of associate members from the union and management. Progress on this cross-functional initiative, involving key roles from the industrial relations, procurement, safety and occupational health departments, is tracked through various indices. External audits of suppliers, medical check-up of supply-chain workforce and training of all new joinees on labour and human rights basics are a few examples of initiatives resulting from the CAPAs (Corrective Action Preventive Action) taken to meet the standard's requirements. During the three-year certification cycle of this independent, verifiable and auditable standard, five external audits (one of which is a 'surprise' audit) are carried out at a sixmonth interval. The SA8000 Manual guides the conduct of internal audits and creation of systems pertaining to the nine clauses of the standard. A diverse group across corporate and operational functions conducts periodic audits in departments led by the Divisional In-charge of each area.

with internal audits and secondparty audits, yielded substantial data in the initial years. As the system matured, a need was felt to replace the pen-andpaper check sheets with an audit tool that was consistent, uniform, and capable of delivering comparable and actionable information over time. The Tata Steel SA8000 Vendor Assessment Protocol was especially formulated for this purpose. Since 2005, it has served as the yardstick for compliance measurement on different SA8000 aspects by the vendors. Improvements resulting from strengthening of monitoring systems, greater awareness of vendors on labour legislation, and maintenance of records and registers with diligent oversight by Contractor's Cell and Vendor Management have been noteworthy achievements. Active engagement with contract labour and contractors has shown improvement in overall awareness and compliance on statutory requirements resulting in better access for the supply chain worker to Provident Fund, Employee State Insurance (ESI) benefits, etc. Grievance

ata Steel's initiatives in and around its area of operations seek to develop institutional mechanisms, both within the Company and in the community. Guided by policies and strategies, the Company continuously works to improve compliance to environmental, social and governance (ESG) guidelines. Labour well-being and corporate social responsibility have been integral to Tata Steel's business philosophy. Its continuing commitment to creation of decent working conditions is guided by a history of pioneering practices that went on to become the law of the land, such as the 8-hour working day (1912), free medical aid (1915) and workers' provident fund scheme (1920), to cite a few examples. With the objective of comparing performance over time, generate transparency and drive improvement, the Company, in 2003, sought to apply the global Social Accountability 8000 (SA8000) standard in the manufacture and supply of goods it sells and procures. Thus began the SA8000 deployment with a 'workplace quality' perspective, facilitated then by the Business Excellence function. This piece discusses the SA8000 journey.

The SA8000 Manual guides the conduct of internal audits and creation of systems pertaining to the nine clauses of the standard.

Contracting and supply chain compliance

Supply chain social compliances are emerging as a key sustainability issue and are a focus area. Tata Steel started its journey on raising awareness and compliance on social issues in supply chains with the SA8000 standard implementation in 2004 in conformity with Clause 9.6 (Management Systems) of the standard. Third party audit of compliance by vendors was also initiated subsequently and, along
TATA STEEL WORLD Volume 7 July-Sep 2012

SA8000 in Steelworks
The Company's Steelworks in Jamshedpur attained certification and recertification in 2004, 2007 and 2010 respectively. It is one of the largest certified entities worldwide. The Management Review Committee is formulated at the apex level and sanctioned by the Managing Director. Led by the Management and Union Representatives, Mr Sanjiv Paul, Vice President (Corporate Services), and President, Tata Workers Union, Mr. P.N. Singh, the
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The programme has been recently extended to cover non-steelworks areas as well where supply chain workers may be engaged.

mechanisms have been strengthened at Contractor's Cell for the contractor's workers to register complaints and seek recourse in case of violations by their contractor. An introductory awareness programme for all incoming contractor's workers streamlines the statutory entitlements and recourse mechanisms available. The programme has been recently extended to cover non-steelworks areas as well where supply chain workers may be engaged. To take forward constructive supply chain engagement, in FY12, the Company's Procurement Division imparted training on SA8000 to its contractors having long-term high value contracts in different areas and some sub-contractors also. Post training, vendor audits were executed by DNV (Det Norske Veritas), an agency accredited by SAI. Environmental aspects were included in such training and assessment for the first time to generate 'green' focus and make the programme leading edge, making full use of the resources devoted to this exercise and taking a composite view of supply chain ESG focus.

Corrective and preventive actions on identified items were instituted by the vendor and verified by the auditors within a prescribed time frame. The summary findings additionally yielded a holistic picture on the gaps that may be common across vendors and are the action items for the cross-functional team currently being driven with emphasis. These include focus on occupational health, enhancing awareness among women workforce in the supply chain on issues of particular relevance to their well-being and measurement of environmental footprints of vendors on water and power usage, waste generation, etc.

Building Internal External extended the anaemia detection Capacities campaign for women employees to
Managing workplace issues, including the supply chains, offers many opportunities to create multiple forms of value, such as human, social, environmental and economic, in developing interlinkages among various operational platforms. It would follow that, although there are frameworks with specified clauses and requirements that provide structure, the task of developing implementation blueprints in letter and spirit is entirely that of the organisation that adopts them. the supply chain women workforce, extending counselling, medication and follow-up to address iron-deficiency. The Company's expansion project involved rigorous monitoring of construction sites on SA8000 parameters with a trained internal audit team at Projects. The internal audits Document Handling System (DHS) went online with IT and TQM support. The cross-functional learning also spawned new ideas resulting from better understanding across functional domains. An example where initiatives promoting social equity and community engagement have come together is the strategic partnership with IBM on Affirmative Action. IBM factored Affirmative Action to engage the youth from scheduled caste and tribal communities in its local work force. This required additions to be made in their global agreement format for this Tata Steel initiative. Hewlett Packard, another strategic partner, also progressed on similar lines with the aim of promoting inclusive growth, bringing the marginalised c o m m u n i t i e s i n t o the mainstream.

No Child Labour
The SA8000 clause on child labour guides communication to vendors and stakeholders that employment of persons only aged 18 and above is a precondition to partnering with Tata Steel. The Company supports many educational initiatives with the realisation that the creation of necessary social and schooling infrastructure is a necessary precondition to check dropout rates among children and thereby prevent child labour. Recently, Tata Steel has, in partnership with the Government of Jharkhand, launched a mid-day meal scheme for government schools in East Singhbhum and Saraikela-Kharsawa districts of Jharkhand. It is expected to benefit over 100,000 school going children. Going forward, the learning is being shared across the Company to further strengthen initiatives supporting child rights in and around areas where the Company has its operations.

The expectations of business on labour, human rights, due diligence, ethical sourcing and social inclusion call for multifaceted programmes than linear ones. Dialogue across internal and external stakeholders is a prerequisite for forging sustainable solutions. Review on effectiveness and efficiency touch points on an ongoing basis is also a must. In the course of implementing SA8000, the major learning has been in breaking functional silos: The corrective and preventive actions call for cross-cutting approaches. The collective experience and learning for the Company and its partners on the somewhat elusive and intangible Summary domain of social compliances has resulted in institutionalising Upholding human dignity is a expectations and delivery. fundamental value at Tata Steel. The core elements of the A few illustrations include: Universal Declaration of Human D e v e l o p i n g a b a s i c Rights and ILO principles c o m m u n i c a t i o n m o d u l e o n encompass the SA8000 clauses. environmental dos and don'ts for The path taken for the SA8000 contract workers and vendors, for system is to go beyond compliance instance, called for reaching out to and seek opportunities to create a v e n d o r m a n a g e m e n t , lasting footprint of social value. e n v i r o n m e n t s e r v i c e s a n d Cross-cutting elements of the c o m m u n i c a t i o n i n t h e National Voluntary Guidelines, development phase, and safety the Global Reporting Initiative, a n d c o n t r a c t o r ' s c e l l f o r the United Nations Global implementation. Similarly, the C o m p a c t ( U N G C ) , n o n occupational health services discriminatory practices such as

Upholding human dignity is a fundamental value at Tata Steel. The core elements of the Universal Declaration of Human Rights and ILO principles encompass the SA8000 clauses.

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Affirmative Action and Equal Employment Opportunity and ethical sourcing, among others, are references in building the SA8000 framework. As a UNGC founding member, the commitment to its labour and human rights principles (one through six) is especially a focus area in terms of mitigating child and forced labour, etc. not just for its own operations but also in the supply chains. The intent to embed and enhance the

perspective of these systems, and generate best practices of the standards the Tata brand upholds, guides the implementation agenda. Investors, customers and stakeholders, increasingly engaging on these issues from around the world, provide an ever-widening context for identifying opportunities to transform social risks into value.

As the years pass by, the norms to attain such certificates will become even more stringent and hence the company must strive for more improvement. Mr. H.M. Nerurkar MD, Tata Steel

The CSR and Accountability policy addresses the mission to improve quality of life, ensure statutory compliances and human dignity across operations, in the Company's area of operations and also influence our partners to create a ripple effect of stewardship.

From Words to Action: A Business case for Improving Workplace Standards Experiences from key emerging markets
Tata Steel has significant potential to demonstrate the beneficial influence of adopting SA8000 in India and beyond. Improvement in its vendor management system, as well as contract worker's safety, health and training prompted by implementation of SA8000 offer examples and guidance for other companies seeking effective approaches to meeting workplace standards. Tata's suppliers of contract workthanks to the Company's greater involvement in overseeing their operationshave understood that the workers training and health are valuable investments and may share their experiences with other contracting companies.
www.unglobalcompact.org Ms. Eileen Kohl Kaufman,
Executive Director, Social Accountability International

SA8000 is a global auditable certification standard for decent working conditions which stipulates

provisions for workers, including those in the supply chain through its nine clauses. The framework is based on the UN Universal Declaration of Human Rights, Convention on the Rights of the Child and various International Labour Organisation (ILO) conventions.

Child labour Freedom of Association and

Right to Collective Bargaining

Forced labour Discrimination Compensation

Health and Safety Disciplinary Practices Management Systems

Vendors training programme

Ms. Priyadarshini Sharma

Senior Manager
Office of Vice President Corporate Services Tata Steel Ltd. & Convener of SA8000 Management Review Committee for the Tata Steel Limited certification.

Working hours

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TSAF -

Scaling new heights

Team TATA Steel

Interestingly, Ms Pal has provided a new dimension to 'Adventure' - to design and run adventure-based learning programmes geared to meeting the needs of Human Resources Development in Industry, with specific focus on Leadership Development. Adventure is the way to explore what lies beyond our limits, says Ms Pal, adding that exposure to unfamiliar situations, physical hardships and hazards disciplines the body, mind and soul. Besides the favourite Outdoor Leadership Course conducted in the Garhwal Himalayas, TSAF conducts Adventure Based Programmes like Parasailing, Water Surfing, River Rafting, Rock Climbing and Sport Climbing.

individuals to know of their strengths and weaknesses, and work on these for Personal Development, Team Development and Leadership Development. On an average, about 3,500 people from all age groups and walks of life benefit annually from the adventure programmes of TSAF, including the underprivileged, the differently-abled people and the rural populace.

Rock Climbing Course

Through its Rock Climbing Courses for the Young and Basic and Advanced Rock Climbing Courses, TSAF offers challenges to those who want varying degrees of experience in the sport. Conducted at two sites, about 25 km from Jamshedpur, by experienced instructors, these courses target the very young, those new to the sport, those well versed in it and the family as a whole. It is a great satisfaction when mind and body combine to test one's strength, balance and movement, with just enough equipment, skill and judgement.

If one can do it, you too can do it. If none can do it, you must do it. This popular Japanese proverb aptly epitomises the enthusiasm that is the hallmark of the Tata Steel Adventure Foundation Jamshedpur, that has been set up for promoting the spirit of adventure and enterprise among the youth and the not so young of the country. The first steps in this regard were taken in the year 1984, when Ms Bachendri Pal became the first Indian woman to scale Mt. Everest. Tata Steel created a new department, Adventure Programmes, and Ms Pal was made its Chief. Her mandate was to promote the spirit of adventure and enterprise among employees of the Company and the community at large. Her mandate also was to help develop the personality and character of young people coming from different sections of society. To provide opportunities to a wider audience, a Trust was formed. It was registered as the Tata Steel Adventure Foundation. This provided a fillip to Adventure Programmes allowing a multidimensional approach to be given to promotional activities be it on land, water or air, thereby enabling people to participate in activities of their choice. It is TSAF's belief that these Adventure Programmes spell freedom from fear and are invaluable in developing robustness, resilience, leadership, team spirit and discipline. The TSAF Programmes enable those who undergo the same to break away from a mundane existence and build a healthy lifestyle. In the 28 years since, Ms Pal has engaged herself with, on the one hand, firing the spirit of adventure, especially among women and youth in India, and, on the other, herself mentoring many young mountaineers to achieve the same level of success achieved by her.
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TSAF Programmes enable those who undergo the same to break away from a mundane existence and build a healthy lifestyle.

Outdoor Course

Leadership

The Outdoor Leadership Course (OLC), conducted in the Garhwal Himalayas viz.High Altitude Training Workshops brings to life the abstract concept of leadership, by making people take decisions and climb mountains. The leadership attributes promoted are: Self Awareness, Team Building, Tolerance for A d v e r s i t y & U n c e r t a i n t y , Water Course Expedition Behaviour, P r o f e s s i o n a l E x c e l l e n c e , These river rafting and Competence, Communication kayaking courses are Skills, Vision & Action and Care for the Environment. The Leadership roles that one gets to understand through such workshops on `Learning by Doing' are: Designated Leader (the Captain), Peer Leader, Active Followership and Self Leader. A Leadership Appreciation Measurement system is also developed through which the gains on Leadership attributes in the OLC are captured. This helps

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TSAF, under the leadership of Ms Bachendri Pal, organises major national level expeditions from time to time for empowering the women and youth of the country.

managed by extremely proficient instructors and designed for smooth progression of skills for safe and rewarding water sports. All equipment used is state-ofthe-art. The kayak and water sports courses are both residential programmes. Participants are required to camp at Dimna Lake Island, about 15 km from Jamshedpur.

Sport Climbing

From a very young age, children climb on chairs, up trees, up staircases, up and down hills, on tables etc. In short, anything may provide a pretext for climbing because it is an activity that stimulates children's creativity. It also contributes to their development in terms of understanding about their bodies Parasailing and it is always of interest to them because of its infinite variety and Freely soaring at heights of 200- the possibilities it offers to 300 metres in the air, one gets an their imagination. unbeatable experience of flying like a bird. Much sought after by Indeed, when one realises the adventure lovers, this annual extraordinary potential for event of TSAF is conducted for two learning experiences, especially weeks at a stretch every year. with respect to taking responsibility for oneself and accepting personal challenges, it is easy to see that the climbing wall has a proper place within the field of education. Sport Climbing is a challenge, requiring and testing various skills. The degree of challenge can be varied by the climber, as per his/her expertise and confidence level, by selecting the appropriate route on the wall. It requires foresight planning, determination and skill as well as courage and strength. Artificial walls provide both fun and adventure to all irrespective of age. Besides, TSAF, under the leadership of Ms Bachendri Pal, organises major national level expeditions from time to time for empowering the women and youth of the country. In 1993, a talented and young Indo-Nepalese team comprising 30 members coached and trained by Ms Pal embarked on an expedition to Mt Everest. Eighteen members of the team, including 7 women, reached the summit, a feat unequalled in the history of mountaineering till then. Another path breaking expedition lead by Ms Pal was in

1997, the Indian Women's First Trans Himalayan Journey, trekking the entire length of the Himalayas from Arunachal to Indira Col (in Siachen Glacier), covering 4,500 km in seven months and crossing over 40 high mountain passes.

In May 2012, a record 3 climbers from Jharkhand reached the summit of Mt. Everest. Rajendra Singh Pal, a Manager in the Adventure Programmes Department of Tata Steel, along with Binita Soren, a tribal girl, and Meghlal Mahato, a young boy, both belonging to villages in T h e r e h a v e b e e n o t h e r Saraikela Kharsawan district of achievements, too. The Indian Jharkhand, reached the summit Women's Great Rafting Voyage in of Mt Everest on May 26, 2012. 1994, along the Ganges from Haridwar to Kolkata in three Says Rajendra Singh Pal: TSAF rubber rafts covering 2,155 km in has provided me with a platform 39 days. Ms Pal led the Indian to develop as a mountaineer. The Women's Team to the sensitive training received by me over the Karakoram Pass in 2006. Her years has helped me evolve as a expedition entered the Limca facilitator and instructor at the Book of Records when the Indian Outdoor Leadership Programmes Women's Team undertook a that are conducted by TSAF. Camel Safari in 2007 all along the international border from For the person at the centre of it Bhuj to Wagah covering the Rann a l l , M s P a l , t h e T S A F of Kutch, Thar and the plains of Programmes are in line Punjab, covering 1,800 km in one with the mission of Tata month, negotiating in the process Steel, and her own mission, one of the most inhospitable of continuing to make places on earth. This was followed p e o p l e b e l i e v e i n by climbing the highest peak in themselves, empowering the African Continent Mt. them and inculcating in Kilimanjaro by a team of Indian each one of them the Canwomen under Ms Pal's leadership. Do Spirit. Clearly, If one Another Limca Book of Records can do it, you too can do it. entry by an Indian Women's Team If none can do it, you was of completing the Snowman must do it. Trek in Bhutan in June 2011, considered one of the most difficult treks in the world. In May 2011, Ms Premlata Agrawal, mentored by Ms Pal and TSAF, became in oldest woman in India to climb Mt. Everest at the age of 48. Premlata is the mother of two daughters. Says Ms Agrawal: From a homemaker with two grown-up daughters, the transformation in my life has been exemplary. Madam Bachendri Pal has trained me as a mountaineer, and today, the limit of my endurance has been tested under her tutelage. Not only has she made me dare to dream but has also made my dreams come true.

TSAF Programmes are in line with the mission of Tata Steel of making people believe in themselves and empowering them.

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