• R. N. Rai Department of Business Management & Entrepreneurship, Dr. Ram Manohar Lohia Avadh University, Faizabad, Uttar Pradesh.


Quality Circle is modern management concept designed to bring together all level of workforce in an organization for setting standards of excellence and achieving better results. Developing in post war Japan, quality circles was largely responsible for rebuilding and stabilizing the shattered economy of the country. This concept has since gained wide acceptance. Quality circles are a positive and humanistic approach to productive management. Quality circles which have been popularized by Japanese firms are being used all over the world because of the benefits that accrue to the firm. A quality circle involves participation from a small group of employees doing the same type of work. They meet regularly to identify, analyze and solve the problems that arise during the course of their work and their association with the organization. Now the market place is highly competitive and it becoming tougher every minute. Quality Circle concept has three major attributes - Participation Management, Human Resource Development Technique, and Problem Solving Technique. It has also been included the study of the different personalities of people involved in a quality circle and how does quality circles helps in changing the behavior of the people. The circle encourages each people to develop the best of his ability. It offers a cooperative group for the individual to belong to. It satisfies the requirement of self- esteem of an en employee and satisfies his ego with well-earned recognition. In this research study the author has tried to analyze the performance of quality circles in five Indian
companies as BHEL (Bharat Heavy Electricals Ltd.), SM Creative Electronics Limited (SMCEL), Bharat Electronic Limited (BEL), BSNL (Bharat Sanchar Nigam Limited) and Amul (Anand Milk Union Limited) have been considered for the study and data were collected through a questionnaire to employees in these and asked them to fill up the questionnaire accurately as possible. Data have been analysed and interpretation and suggestions have been presented in the preceding section. This study is of the great significance and relevance because Quality Circles is a people – building philosophy, providing self-motivation and happiness in improving environment without any compulsion or monetary benefits. It represents a philosophy of managing people specially those at the grass root level as well as a clearly defined mechanism and methodology for translating this philosophy into practice and a required structure to make it a way of life. It is bound to succeed where people are respected and are involved in decisions, concerning their work life, and in environments where peoples’ capabilities are looked upon as assets to solve work-area problems. The underlying premise is that productivity will increase for two reasons: because the person best able to decide the most efficient way to do a job is the person who does it for a living and because employees who have greater control over the product will be more committed and effective workers.

How to Cite
R. N. Rai. (2020). PERFORMANCE EVALUATION OF QUALITY CIRCLES IN INDIAN COMPANIES . Management Insight, 5(1), 47-66. Retrieved from