Laxmi Springs trades

The Company Laxmi Springs trades with a wide range of industries, from the computer and electronic sectors to white  goods  and  lighting manufacturers  and  general  engineering  companies.  It  has  become  the  sole  supplier  of  springs  to  several well-known companies, including Maruthi. 

Orders  involve quantities  ranging  from  a  “one-off”  to millions, working  to  all  levels of precision  and  to a variety of  delivery scheduling systems, as dictated by the customers. This makes long- and even medium-term predictions of the  company’s developments difficult because the company works on an average of a maximum 2-week cycle from receipt  of order to dispatch of goods. Delivery requirements by the customer are often based on very short notice being given,  and  the normally quoted  lead  time of  four weeks can  sometimes need  to be  reduced  to a matter of hours  to meet  the

customer’s  requirements. Laxmi  Springs  is  highly  regarded  by  its  customers  for  its  professionalism,  knowledge  and  expertise in spring design and for providing a high quality personal service

Orders  involve quantities  ranging  from  a  “one-off”  to millions, working  to  all  levels of precision  and  to a variety of  delivery scheduling systems, as dictated by the customers. This makes long- and even medium-term predictions of the  company’s developments difficult because the company works on an average of a maximum 2-week cycle from receipt  of order to dispatch of goods. Delivery requirements by the customer are often based on very short notice being given,  and  the normally quoted  lead  time of  four weeks can  sometimes need  to be  reduced  to a matter of hours  to meet  the

customer’s  requirements. Laxmi  Springs  is  highly  regarded  by  its  customers  for  its  professionalism,  knowledge  and  expertise in spring design and for providing a high quality personal service 

Read  the caselet carefully and answer the following questions:

1. What was the initiative taken by Laxmi Springs Ltd with regard to remuneration of employees?

2. What do you understand by Iip? How Iip was implemented at Laxmi Springs Ltd?                                    

3. Explain about the effective reward practices for individuals and teams.