BENCH MARKING

BENCH MARKING: 

The unit transportation cost in the Indian Railway has to be reduced in order to compete with the ever increasing road transport.  The expenses on staff constitute 45% of the total expenditure.  Therefore it is urgently necessary to reduce the expenses on staff.  Bench Mark is a method to reduce the expenses on staff scientifically by rightsizing the HRD(Manpower).

CONCEPT OF BENCH MARK

Establishing goals based on best practices in an industry.

Best-in-Class performance is to be studied and implemented in all activity centers to improve productivity and quality.

It is the search for and implementation of best practices.

It is humble enough to accept that somebody else is better and it is wise enough to learn from them and then match or even surpass them.

It is one of the tools of TQM to facilitate continuous improvement.

STEPS IN BENCH MARK

Decide what to Bench Mark.

Introduce – System of measurement.

Compare with the Best.

Learn from the Best.

Match or surpass the best.   

By comparing with the Best Activity Centre, the available HRD(Manpower) in a particular area can be identified as LESS or EXCESS.  In case of LESS strength, the HRD(Manpower) can be increased and in case of EXCESS strength, the posts can be surrendered.   Thus bench marking offers a scientific method to increase staff productivity in which everybody wins – the Staff, Management, Indian Railways, and Nation.

    

	Bench Mark	Yard Stick
(1) (2)     (3) (4)    (5)	It is a TQM Continuous learning of worker on the job Compare with the Best to Identify ways to improve Dynamic – changes with innovations Economy with increasing work load	It is a Scientific Management Assumes standard workers with limited performance Standard time calculated by conducting time study Static – difficult to change Linear increase HRD(Manpower) with work load

VACANCY BANK REGISTER: 

Due to modernization and computerization in all departments of Indian Railway, the staff have been rendered surplus.  Further due to the introduction of Bench Mark concept also staff have been rendered surplus.

On the other side, the Indian Railway is expanding and new projects are being started.  It leads to creation of new posts.

Whenever posts are surrendered, the mean pay value is credited into Vacancy Bank.  The vacancy banks are being maintained department wise at the Divisional, Extra-divisional level, Zonal Railway and Railway Board level.  When posts are surrendered, 50% of the mean pay value credited to Division, 25% to the HQ and 25% to Railway Board level.  Posts which are rendered surplus due to redundant activities will not qualify for accountable in vacancy bank.

The posts in Workshops are created / surrendered on periodical review and therefore monetary value of surrendered posts should not be credited to the vacancy bank which is similar to creation / surrender of posts of running staff which is based on Annual Review.

In every proposal for creation of post, the CPO / DPO will indicate the availability of mean pay value available in the vacancy bank register.

CREATION OF POSTS

(1) The posts can be created in the following:

            (a) posts required for maintenance of new assets

            (b) new activities arising from changes in the pattern of working / modernization /

                 technical up gradation including provision of computer.

(2)  Posts can be created only with matching surrender in the ratio of 1.5 : 1 (viz.) to say 

      in term of monetary value, the ratio of the mean pay value of the post to be created 

      to the posts to be surrendered shall be 1 : 1.5

(3) GM / DRMs have powers to create Group C and D posts.

(4) Powers for creation of posts for Workshops and Extra-divisional units are rests with GM only.

(5) The post has to be created subject to the overall target of 1% reduction in MP.

CONTENTS OF REFERENCE BOOKS

Indian Railway Establishment Manual Volume. I – 1989 Edition.
Chapter	Subject
1	Recruitment, Training, Confirmation and Re-employment.
2	Promotion for Subordinate Staff.
3	Seniority.
4	Scales of Pay.
5	Percentage of Posts.
6	Pay, Increment and efficiency bar.
7	Compensatory and other Allowances.
8	Dearness Allowances.
9	Running Allowances.
10	Arrears claim and recoveries of over payment.
11	Advances.
12	Change of Name.
13	Medical De-categorised Staff Alternate Appointment
14	Forwarding of Applications for outside Railways.
15	Terms for Railway Servants, substitutes in Temporary Services.
16	Holidays and Special Casual Leave.
	Appendix
1	Training of IRAS Probationers.
2	Qualifying examination for Accounts Clerks and Accounts Assistants.
3	Qualifying exam for promotion for Section Officers, Inspector of Station Accounts and Stores.
4	Promotion, Confirmation for Stock Verifiers.