TQM Revision

8/3/2019 TQM Revision

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BYRAVEENDRA RAO

Total Quality

Management

Revision



Contents

Quality Definition

Quality Movements

Quality Evolution

Quality Control & Assurance

Total Quality Management

- Pillars of TQM

- Other components of TQM

Quality is never an accident; it is always the result of high intention, sincere

effort, intelligent direction and skillful execution; it represents the wise choice

of many alternatives. Will A Foster

Raveendra Rao



Quality Def inition

Quality is the conformance to requirements. (Crosby in 1979)

Fitness for use. (Juran 1970)

The degree to which a system, component, or process meets

specified requirements. (IEEE)

According to American Society of Quality

The characteristics of a product or service that bear on its

ability to satisfy stated or implied needs.

A product or service free of deficiencies.

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Quality Gurus

Walter A. Shewhart (Father of Quality, 1920-1940s)

Dr. W. Edwards Deming (14-points, 1945-1980s)

Dr. Joseph M. Juran (TQM, post WWII ± 1980s)

Philip Crosby (Quality is Free, 1980s)

Kaoru Ishikawa (Fish Bone, SPC, post WWII - 1980s)

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PLAN

CHECK

DOACT

The Deming Cycle or PDCA Cycle

Plan a change to the process. Predict

the effect this change will have and

plan how the effects will be measured

Implement the change

on a small scale and

measure the effects

Adopt the change as

a permanent

modification to the

process, or abandonit.

Study the results to

learn what effect the

change had, if any.Raveendra Rao



W. Edwards Deming·s 14 Points

Create constancy of purpose towardsimprovement of product and services.

Adopt the new philosophy. We can no longer

live with commonly accepted levels of delays,mistakes, defective workmanship.

Cease dependence on mass inspection.

Require, instead, statistical evidence thatquality is built in.

End the practice of awarding business on the

basis of price tag.

1)

2)

3)

4)

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Find problems. It is management¶s job to work

continually on the system.

Institute modern methods of training on the job.

Institute modern methods of supervision of

production workers. The responsibility of

foremen must be changed from numbers toquality.

Drive out fear that everyone may work

effectively for the company.

5)

6)

7)

8)

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Break down barriers between departments.

Eliminate numerical goals, posters and slogans

for the workforce asking for new levels of productivity without providing methods.

Eliminate work standards that prescribe

numerical quotas.

Remove barriers that stand between the hourly

worker and his right to pride of workmanship.

9)

10)

11)

12)


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Institute a vigorous programme of education

and retraining.

Create a structure in top management that willpush everyday on the above 13 points.

13)

14)


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Quality Movements

Japanese were badly defeated inWorld War II. Their

industrial and financial bases were in chaos.

Japan had no natural resource and limited source of food

for their people.

The quality movement began in Japan in 1946 with the

U.S. Occupation Force's mission to revive and restructure

Japan's communications equipment industry.

Dr. Deming was invited by the Union of JapaneseScientists and Engineers to Japan in 1947.

In 1954, Dr. Joseph Juran of the United States raised the

level of quality management from the factory to the total

organization in Japan.Raveendra Rao



Results from Japan¶s implementation from American

quality experts led to an industrial revolution that

eventually left the American industry lagging behind.

It was during the late 1980s that American industry began

to finally look to their quality experts for methods to

improve quality.

In the late 1980s, an NBC documentary called If Japan CanWhy Can¶tWe brought national attention to the needs for

quality improvements for global competition.

Quality Movements

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Quality Evolution

Inspection

QualityControl

QualityAssurance

Total Quality

Management

Reactive Approach

Proactive Approach

Detection

Finding & Fixing

mistakes

Prevention

Stop defects at source.

Zero defects

1

2

3

4

Inspect products

Incorporates QC/QA activities into a

company-wide system aimed at

satisfying the customer.

(involves all organizational functions)

Planned and systematic actions to

insure that products or services

conform to company requirements

Operational techniques to make

inspection more efficient & to

reduce the costs of quality.

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Quality Contr ol

The purpose of quality control is to denoteactivities that are directed to maintaining and

improving quality

Quality control involves establishments of quality

standards

Quality control is a system of principles and

methods for prevention of defects

Quality control starts with product design

Quality control is a staff function

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Quality Assurance

Quality Assurance is oriented towards providing customerswith products of appropriate quality

Quality Assurance includes:

Reliability engineering

Value engineering

Evaluation of usability

Process control

Product screening and appraisal

Service assurance

Quality feedback

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Total Quality Management

TQM Philosophy

Philosophy of TQM revolves around customer driven

management.

Its major emphasis is on determining customer needor expectation from the product.

Total Quality is the culture of the organization.

It is attitude of people how they perform their assigned

work with aims to provide, customers with products

and services that satisfy their needs.

The culture change means all members of the

organization participate in the improvement of

process, products, and services.

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TQM Philosophy

³Do the right things, right

the first time, every time´

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Pillar s of TQM

1- Customer Focus: Studying customer needs, gathering customer requirements, and measuring and managing customer satisfaction.

Customer satisfaction is seen as the company's highest priority. Thecompany believes that it will only be successful if its customers aresatisfied.

2- Participation and teamwork: Make full use of the knowledge andcreativity of the entire work force for their rapid quality achievements

Participation of employees can be encouraged by implementingsuggestion systems or schemes that act quickly, provide feedbackreward good suggestions

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3- Human side of Quality: TQM environment requires a committedand well-trained work force that participates fully in qualityimprovement activities.

On-going education and training of all employees supports the drivefor quality.

4- Continuous Improvement: TQM recognizes that product quality isthe result of process quality. As a result, there is a focus on

continuous improvement of the company's processes.This will lead to an improvement in process quality. In turn this willlead to an improvement in product quality. Measurement andanalysis in the tool that has been used for that.

Pillar s of TQM

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Continuous Improvement(through measurement and analysis)

Customer

Focus

Process

Management

Employee Training

& Empowerment

T. Q. M.

Reduce rework activities (Cost reduction)

Shorter development cycle (Cost reduction)

Increased customer satisfaction (Quality improvement)

Pillar s of TQM

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Other elements of TQM

Leadership

Vision and Plan Statement

Employee Participation

Recognition and Reward

Education and Training

Performance Evaluation

Product Design

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Leader ship

The ability of top management to establish, practice, and

lead a long-term vision for the firm, driven by changing

customer requirements, as opposed to an internal

management control role.

Lack of top management commitment is one of thereasons for the failure of TQM efforts (Brown et al. 1994).

A predominant requirement for quality management is that

strong commitment from top management is vital.

To be an effective leader in most modern firms, the top

manager must continue to develop and learn.

Knowledge of the business and continual learning are

essential prerequisites to effective leadership (DuBrin,

1995).

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Leader ship

In order to effectively lead the firm, top management must

be committed to provide education and training to

employees and regarding them as valu able resources of

the firm.

Top management must be committed to allocatingsufficient resources to prevent, as well as repair, quality

problems.

Top management should discuss quality frequently; by

having session on the topic and asking questions about

quality at every staff meeting.

Top management must train and coach employees to

assess, analyze, and improve work processes (Deming,

1986).

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Vision & Plan Statement

Vision statement describes how a firm wants to be seen in its

chosen business. Vision describes standards, values, and

beliefs of the organization.

Intent of a vision statement is to communicate the firm¶s

values, aspirations and purpose, so that employees can makedecisions that are consistent with and supportive of these

objectives.

Plan statement is a detailed road map of actions; what and how

organization intended execute that plan in future.

Organization may have many kinds of plan;- Strategic business performance plan

- Quality goal plan

- Quality improvement plan

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Vision & Plan Statement

Strategic business performance plan can be divided into

long- and short-term business performance plans that

include, for example, market share, profits, annual sales,

exports, and sales growth.

Quality goal plan can involve, for example, conformity rate,defect rate, internal failure costs, external failure costs,

performance, reliability, and durability.

Quality improvement plan aims for quality improvement,

which are actions taken throughout the organization to

increase the effectiveness and efficiency of activities andprocesses in order to provide added benefits to both the

organization and its customers (ISO 8402, 1994).

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Employee Par ticipation

Employee participation can be defined as the degree to

which employees in a firm engage in various quality

management activities.

By participating in quality management activities,

employees acquire new knowledge, see the benefits of thequality disciplines, and obtain a sense of accomplishment

by solving quality problems.

A remarkable characteristic of employee participation is

teamwork. Breakdown barriers between departments.

People in research, design, sales, and production mustwork as a team (Deming¶s 9th point).

If several knowledgeable people are brought into the

decision-making process, a number of worthwhile

possibilities may be uncovered.

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Employee Par ticipation

TQM implementation practice is formation of short-term

problem-solving teams (SEPG).

Problem-solving teams work on a wide variety of tasks, ranging

from cross-functional involvement in tackling quality problems

to solving within-functional quality problems.

TQM firms create employee suggestion systems. Production

workers should regularly participate in operational decisions

such as planning, goal setting, and monitoring of performance.

They are encouraged to make suggestions and take a relatively

high degree of responsibility for overall performance.

Employees should be encouraged to inform managers or

supervisors concerning conditions that need correction (e.g.,

process defects, incompetent staff and poor tools).

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Recognition & Reward

Recognition is defined as the public acknowledgment of

superior performance of specific activities.

Reward is defined as benefits, such as increased salary,

bonuses and promotion, which are conferred for generally

superior performance with respect to goals (Juran and Gryna,1993).

Public recognition is an important source of human motivation.

Important feature of any quality improvement program is the

showing of due recognition for improved performance by any

individual, section, department or division within the firm.

A large majority of firms implementing TQM modify their

performance measurement and reward systems so that

achievement of specific quality goals can be assessed and

rewarded.

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Education & Training

Training programs attempt to teach employees how to

perform particular activities or a specific job.

Institute a vigorous program of education and self-

improvement (Deming¶s 13th point).

According to Deming, Japanese firms obviously regard their

employees as their most significant competitive assets and

provide good general orientation as well as training in

specific skills.

According to

Feigenbaum, a brief and general course for first-line supervision is modern methods of planning and

controlling quality, concentrating essentially upon the

physical elements affecting product quality.

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Per for mance Evaluation

Evaluation can identify the difference between actual

and the expected performance.

Evaluation information should be communicated to

employees in order to encourage employees to make

things better.

Uncontrolled variance in processes or outcomes is the

primary cause of quality problems and must be

evaluated and controlled by those who perform the

firm¶s front-line work.

It is important to note that the major aim of

evaluation is improvement, NOT criticism.

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Pr oduct Design

Product design translates customer expectations or

requirements into specific engineering and quality

characteristics, which can be called specifications.

It is an important practice for design engineers to have

some marketing knowledge, making it easier for them tounderstand customer needs, expectations, and future

requirements.

Different departments in a firm should participate in new

product design.

Before production, new product design should be

thoroughly reviewed in order to avoid problems during

production.

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Roles of Good Manager s

(TQM)

1. Give priority attention to customers and their

needs

2. Empower, rather than control, subordinates.

3. Emphasize improvement rather thanmaintenance.

4. They emphasize prevention.

5. Encourage collaboration rather than competition.

6. They train and coach, rather than direct andsupervise.

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7. Learn from problems.

8. They continually try to improve communications.

9. They continually demonstrate their commitment to

quality.

10. Choose suppliers on the basis of quality, not price.

11. Establish organizational systems to support the

quality effort.

12. Encourage and recognize team effort.

Roles of Good Manager s

(TQM)

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Old vs. TQM Appr oach

Quality Element Previous Approach TQM Approach

Definition Product-oriented Customer-oriented

Priorities 2nd to service and cost Equals of service and cost

Decisions Short-term Long-term

Emphasis Detection Prevention

Errors Operations System

Responsibility Quality control Everyone

Problem Solving Managers Teams

Procurement Price Life-cycle costs,partnership

Manager¶s Role Plan, assign, control,

and enforce

Delegate, coach, facilitate

and mentor

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SQC

QFD

Quality prizes ± Deming, European Quality award, Malcolm

Baldridge National Quality Award

Quality Circles

7 quality tools, new 7 tools of quality.

Benchmarking

Reengineering

Six Sigma

ISO 9001:2000 and ISO 14001:2004 standards.

Raveendra Rao



Quality is a Journey,

not a Destination

Raveendra Rao

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