National Productivity Council of India

IAS Prelims 2023

National Productivity Council is national level organization to promote productivity culture in India. Established by the Ministry of Industry, Government of India in 1958, it is an autonomous, multipartite, non-profit organization with equal representation from employers’ & workers’ organizations and Government, apart from technical & professional institutions and other interests.

NPC is a constituent of the Tokyo-based Asian Productivity Organisation (APO), an Inter Governmental Body, of which the Government of India is a founder member.

NPC teams up with its clients to work out solutions towards accelerating productivity, enhancing competitiveness, increasing profits, augmenting safety and reliability and ensuring better quality.

It provides reliable database for decision-making, improved systems and procedures, work culture as well as customer satisfaction both internal & external. The solutions can be all-encompassing or specific depending on the nature of the problem.

The council also helps monitor, review and implement the identified strategies. Promotional and catalytic in nature, NPC’s services have bearings on economic growth and quality of life.

The Council promotes a comprehensive view of productivity focused on improving triple bottom line – economic, environmental and social and adds value for all the stakeholders through generation & application of advanced knowledge for inclusive Growth.


With a vision to become a knowledge leader, NPC strives to provide world class services needed by Indian economy to become internationally competitive.

NPC’s thrust is on providing modern and high-quality productivity-related services to sectors not adequately addressed by others, especially the Small & Medium Enterprises, Informal Sector, Food Processing and Post Harvest Operations etc.

NPC is also a change agent, aiming to assist the Central and State Governments, local bodies and other organizations in improving the quality and efficiency of public services.

NPC aims at propagating Productivity as an evolving concept, which includes attention to issues, and concerns, relating to quality, environment, energy, HRD, Integrated Rural Development etc.

Productivity shall increasingly be viewed in this context and not in the conventional sense of mere production increase with constant resources.


Development, dissemination and application of knowledge and experience in productivity, for promoting consciousness and improvement in productivity, with the objective of strengthening the performance and competitiveness of the economy as well as of improving the working conditions and quality of life.


The Union Minister for Industry is the President of the NPC, and the Secretary (Industrial Policy and Promotion) is its Chairman. The Director General is the CEO.

NPC has 12 Regional Offices, located in major State Capitals/industrial centre with Corporate Headquarters in New Delhi and has strength of around 120 full time professional/consultants. In addition, services of outside specialists and faculty are also enlisted on projects based requirements.


The National Productivity Council observed National Productivity Day on 12 Februray, and National Productivity Week till 18th February. It is the 60th Anniversary of the National Productivity Council and is being celebrated as Diamond Jubilee Year.

“Industry 4.0 Leapfrog Opportunity for India ” has been selected as the theme for the National Productivity Week -2018.

Industry 4.0 or the fourth industrial revolution as it is called, is emerging globally as a powerful force and is being called as the next industrial revolution. It is characterized by the increasing digitization and interconnection of products, value chains and business models. 

Industry 4.0 would mean the convergence of real and virtual worlds-the next phase in bringing together conventional and modern technologies in manufacturing. This will result in the “Smart Factory”, which is characterized by versatility, resource efficiency, ergonomic design and direct integration with business partners.

The first industrial revolution was triggered by water and steam power to move from human labour to mechanical manufacturing. The second industrial revolution built on electric power to create mass production. The third used electronic and information technology to automate manufacturing. The fourth is the current trend of automation and data exchange in manufacturing technologies.

Manufacturing today is cutting edge and requires a high level of skill. Today, the global manufacturing sector is undergoing a structural transformation. Though India banks heavily on its Service Sector for growth, the Manufacturing Sector needs to fuel the high growth in India. Prime Minister of India N. Modi launched the ‘Make in India’ program to place India on the world map as a manufacturing hub.

The Manufacturing Sector especially MSMEs play a pivotal role in the Indian economy and provide the largest share of employment after agriculture. In order to converge the aims of growth with employment it is important to increase the share of manufacturing in the country’s Gross Domestic Product from 16% to 25% by 2022 and to create 100 million additional jobs by 2022.

Over its 59 years of existence, NPC has built extensive experience in problem solving right from the shop floor level to strategic and policy issues at the macro level. With nearly 140 full time consultants on its roll possessing a wide repertoire of skill/ expertise and a network of 13 regional offices at all major State capitals/industrial centres, NPC has the requisite professional strength as well as country wide presence.