SBS | ZED | Zero Defect Zero Effect

About ZED^TM

Overview

Parameters

Addressing the nation on India's 68^th Independence Day, Hon'ble Prime Minister Shri Narendra Modi urged the industry, especially 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. "We should manufacture goods in such a way that they carry zero defect and that our exported goods are never returned to us. We should manufacture goods with zero effect that they should not have a negative impact on the environment".

ZED Certification Scheme – Overview

For details about the Financial Support Scheme, click here

ZED Assessment Parameters

50 Parameters across 10 disciplines

Quality Management
Production Management
Environmental Management
Energy Management
Safety Management
Natural Resource Management
Intellectual Property Management
Human Resource Management
Design Management
Performance Management

Objectives of ZED Scheme

Develop an Ecosystem for Zero Defect Manufacturing in MSME.
Promote adaptation of Quality tools/systems and Energy Efficient manufacturing
Enable MSME for manufacturing of quality products.
Encourage MSME to constantly upgrade their quality standards in products and processes.
Drive manufacturing with adoption of Zero Defect production processes and without impacting the environment.
Support ‘Make in India’ campaign.
Develop professionals in the area of ZED manufacturing and certification.

Interface

Awareness and Training

Third party site-assessment

Third party consultancy (gap analysis and handholding)

Certification

ZED Maturity Assessment Model

Any manufacturing unit can participate – Voluntary - Only eligible MSME may apply for subsidy
Not a Conformity Assessment, hence no Nonconformities
Focused on encouraging implementation & improvement
Assessment carried out to evaluate the maturity of implementation.
Result graded in 5 levels

- Learner (0)

- Beginner (2)

- Organised (3)

- Achiever (4)

- World Class (5)

MSME Eligible for Financial Subsidy only if the onsite assessment rating is Bronze or above

7 Step Process flow for ZED rating

Benefits of ZED Scheme for MSME

Easy access to Loans: For business expansion, MSME do require financials, and to support the cause 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: ZED 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 them "Responsible Manufacturers"
Awards & Rewards: High performing ZED units will be recognized nationally by the Ministry of MSME and QCI through an award & reward system which will help them to showcase themselves globally
Aligning with best practices: MSMEs will get an opportunity to do benchmark study and learn the best practices 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.

SBS approach to Consulting & Handholding

Pre-Rating Consultancy

MSME Registration
Due Diligence Check (Eligibility)
Identification and selection of 30 Parameters
Carrying out Self Assessment
Provide guidance & training to fill the gaps identified
Ensure supporting documents in place
Clarify and guide in observations made during Desktop Assessment

Post Rating Handholding

Analyse Site Assessment Report and identify the gaps
Conduct Score Simulation and adopt the quick win method to accomplish scoring
Provide consulting & training for competency & capacity building
Carryout Self Assessment to evaluate preparedness & accomplishment
Ensure system implementation is sustainable

Pre-Rating Consultancy Min: Bronze

Micro	Small	Medium

Formation of Clusters	Formation of Clusters
Gap Assessment	Gap Assessment	Gap Assessment
10 Optional Parameters	10 Optional Parameters	10 Optional Parameters
Creation of Talent Pool	Creation of In-house Talent	Creating In-house Talent Pool
Training & Handholding	Training & Handholding	Training & Handholding
Readiness Review	Readiness Review	Readiness Review
Resolving assessment queries	Resolving assessment queries
Cluster facilitation by OEM	Cluster facilitation by OEM
OEM Talent Pool involvement	OEM Talent Pool involvement	OEM Talent Pool support
Support for ZED Registration	Support for ZED Registration	<3 months
3-5 months	3-5 months	Can leverage to Silver*