Professional Documents
Culture Documents
QUESTION 7 (ASSIGNMENT 1)
event that achieves a specific result for the customer of the process.
o a good process name clearly indicates the result or end state of the
process
o customer can be identified and can pass judgment on the result and
process
accurately
work tasks:
process
a collection of interrelated:
one step leads to (flows into) the initiation of the next step
activities or steps used to transform inputs into outputs. An input or output may exist
or occur in the form of data, information, raw material, partially finished units,
as a technique, method, or procedure. In order to do it right the first time and do the
right things right, processes must be effectively managed. When processes are not
given time. Every process has customers those who depend on it or are affected by it
and suppliers who provide the necessary input for that process.
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activities, each having prescribed inputs and outputs. Can be material, equipment,
organization that pays for the service or products received. He also explain that an
Jegak, recipient also can be a location where the process’s outputs are stored for
TRANSFROMATION
INPUT PROCESS OUTPUT
The diagram above inserted to explain process in detail. Operations managers manage
transformation processes, with inputs and output. If the above process managed
• Minimizing cost
• Maximizing revenue
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clear and explicit. The process owner was the departmental manager.
Understood the organizational mission and the process’s output & had
personal responsibility and accountability for the process and its output. The
towards empowered work groups and self directed work teams. And in these
basic ideas remain the same. The process owner, whether an individual or a
team, is responsible for yield, cost, quality, and schedule. The process owner
must manage the process to the target set on this standard. The process owner
has the authority to change the process to maintain its desired outputs.
2.2 Boundaries
Boundaries are the beginning and end of a process. Physical and locational
processes have clearly defined boundaries. The final output from and the
inputs required by these processes are clear and unambiguous. However, the
requirements, and input specifications may not achieve the desired output
are minimized through conscious effort aimed at classifying the work product
2.3 Capacity
absenteeism, illness, and so on. These consideration, when allowed for, enable
2.4 Documentation
reference point from which the repeatability of a process can be measured, and
both a training and reference aid for the personnel involved in the process.
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2.6 Effectiveness
from the external boundary to the starting boundary of the process. Integrated
flow diagrams that reflect established requirements are useful for measuring
absence of a corrective action system, lack of interest in the customer and long
2.7 Efficiency
that output. It reflects how productive the internal operations are and how
2.8 Adaptability
changes when a process change is needed, but the process should remain
2.9 Measurements
are inherent in any well managed process meet specifications. Process adapt to
the natural variations that occur. Relied only on end of line measurements, or
final quality controls approach costly in terms of scrap and rework. Statistical
techniques e.g Pareto analysis and variation charts, are useful for managing
team involving people from inside and outside the organization working on a
problem that effects a wide range of processes. Either way, corrective action is
removing the root cause of a problem, and not just applying the quick fixes
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we perform work. When all of the major players are involved in process
teamwork approach is intrinsic to life in the Navy. Using total quality tools
Through teamwork, the whole becomes greater than the sum of its parts.
According to Carol, Dale, Glen and Mary (2003), quality based organizations
race is never over, however, we must continually strive for its attainment.
4.0 Identify and document a process of your choose with the aid of a flow
chart.
To identify and document a process we are commonly used the tool for
describing the process. Using tool we are enable to perform for improving
activities which that we can identify the participants in the process, either by
measurement.
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The tools we will be using here to show the process which that can explain the
the activity that should be done by the business leaders as a team, and they
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5.0 How could this process be improved to make it simpler and / or more
efficient or effective?
a ladder and used step by step approach, also know as Kaizen. As we known,
5.2 Benchmarking
According to Joel (1999), the process is more than a mean of gathering data on
how well company performs against others both in and outside the industry. It
and hence meeting customer expectations. Cycle time reduction and cost
cutting are but two process improvements that can result. The ultimate
operational needs. Also search for and emulate the best available practices and
processes.
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5.3 Reengineering
to James & Michael (1993), reengineering a company means tossing, aside old
systems and starting over. It involves going back to the beginning and
reengineering, business people must ask the most basic questions about their
companies and how they operate. Why do we do what we do? And why do we
look at the tacit rules and assumptions that underlie the way they conduct their
businesses. Reengineering first determines what a company must do, then how
to do it.
The second key word of radical redesign means getting to the root of things:
not making superficial changes or fiddling with what is already in place, but
all existing structures and procedures and inventing completely new ways of
accomplishing work.
The third key word of dramatic means reengineering about achieving quantum
exists for heavy blasting. Marginal improvement requires fine tuning; dramatic
new.
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collection of activities that takes one or more kinds of input and creates an
improvement, this is what Dr. Joseph Juran said in Juran Trilogy in Carol,
6.1 Planning
goals are established, marketing determines the external customers, and all
are determined, their needs are discovered. This activity requires the
customers to state needs in their own words and from their own viewpoint.
The next step in the planning process is to develop product and/or service
features that respond to customer needs, meet the needs of the organization
and its suppliers, are competitive, and optimize the costs of all stakeholders.
Develop the processes also enable the product and/or service features.
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6.2 Control
Secondly, is control, which that used by operating to help meet the product,
process, and service requirements. It uses the feedback loop and consist of the
following steps:
• Set goals for the controls and determine what sensors need to be put in
6.3 Improvement
Finally, the third component is improvement. This is the higher level from the
• Develop, with input from all personnel, the core values, vision statement,
• Develop the strategic long term plan with goals and the annual quality
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• Establish or revise the recognition and reward system to account for the
7.0 Conclusion
more procedures that describe cookbook-like what needs to be done when and
managers and employees ask for tools (means) and procedures (what and
(why), as given in the process, these tools and procedures can be meaningless.
References
Joel E.Ross (1999), Total Quality Management, Text, Cases and Readings, Third
Edition. CRC Press LLC.
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Peter Merrill (1997), Do It Right, The Second Time Benchmarking Best Practices
in The Quality Change Process. Productivity Press.
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QUESTION 3 (ASSIGNMENT 2)
Choose a quality guru and summarize his or her key contributions to modern
Philip Crosby
Philip Bayard Crosby was born June 18, 1926 in Wheeling, West Virginia. His
parents were Mary and Dr. Edward K. Crosby. His father was a Podiatrist. He had
Triadelphia High School in 1944. He joined the Navy and became a hospital
corpsman.
In the fall of 1946 Mr. Crosby entered the Ohio College of Podiatric Medicine in
Cleveland. After graduation he returned to Wheeling and practiced podiatry with his
father. He soon discovered this was not his field. He was recalled to military service
during the Korean conflict, this time he served as a Marine Medical Corpsman. In
1952 Mr. Crosby went to work for the Crosley Corporation, (Richmond, Indiana) as a
junior electronic test technician. He was asked to join the American Society for
Quality Control, the Richmond section, and this is where his early concepts
In 1955 he moved to South Bend, Indiana, and went to work for Bendix Corporation
as a reliability technician. Bendix and the U.S. Navy were developing and testing the
TALOS missile. As a quality engineer, Mr. Crosby was to investigate defects found
by the testers and inspectors. In 1957 he was offered a job as a senior quality
engineer with Martin Marietta Company in Orlando, Florida. During his eight years
with Martin Marietta Mr. Crosby developed his "Zero Defects" concepts, began
writing articles for various journals, and started his speaking career.
In 1965 ITT, International Telephone and Telegraph, hired Mr. Crosby as a vice
president in charge of corporate quality. During the fourteen years with ITT Mr.
Crosby worked with many of the world's largest industrial and service companies,
In 1979 he founded Philip Crosby Associates, Inc., with headquarters in Winter Park,
Florida. Over the next ten years it grew into a publicly traded corporation with 300
employees around the world and $80 million dollars in revenue. Philip Crosby
done right the first time.General Motors, Chrysler, Motorola, Xerox, many hospitals,
In 1991 he retired from Philip Crosby Associates and founded Career IV, Inc., a
company that provided lectures and seminars aimed at helping current and
Associates and established Philip Crosby Associates II, Inc. with offices at 1954
Howell Branch Road, Winter Park, Florida.Philip B. Crosby died August 18, 2001.
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Zero Defects began in the aerospace and defense industry, started at Martin Marietta
in the 1960s, thirty years later it was regenerated in the automotive world. During the
1990s, large companies in the automotive industry tried to cut costs by reducing their
quality inspection processes and demanding that their suppliers dramatically improve
the quality of their supplies. This eventually resulted in demands for the "Zero
Defects" standard. It is implemented all over the world. Zero defects” doesn’t mean
mistakes never happen, rather that there is no allowable number of errors built into a
Philip Crosby believes management should take prime responsibility for quality, and
workers only follow their managers’ example. He defined the Four Absolutes of
Quality Management.
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Every product or service has a requirement: a description of what the customer needs.
When a particular product meets that requirement, it has achieved quality, provided
that the requirement accurately describes what the enterprise and the customer
actually need. This technical sense should not be confused with more common usages
than a gold-plated fountain pen. In the technical sense of Zero Defects, the
does not skip nor clog under normal use, and lasts the time specified.
The second principle is based on the observation that it is nearly always less
troublesome, more certain and less expensive to prevent defects than to discover and
correct them.
what is genuinely needed, then any unit that does not meet requirements will not
satisfy the need and is no good. If units that do not meet requirements actually do
satisfy the need, then the requirement should be changed to reflect reality.
(PONC)
The fourth principle is key to the methodology. Phil Crosby believes that every defect
represents a cost, which is often hidden. These costs include inspection time, rework,
wasted material and labor, lost revenue and the cost of customer dissatisfaction. When
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properly identified and accounted for, the magnitude of these costs can be made
apparent, which has three advantages. First, it provides a cost-justification for steps to
improve quality. The title of the book, "Quality is free," expresses the belief that
improvements in quality will return savings more than equal to the costs. Second, it
actions can be made concrete and decisions can be made on the basis of relative
return.
Quality Guru Philip Crosby has developed 14 steps for an organization to follow in
departments.
committee.
quality
14 steps in details
products and services at the optimum price. The device to accomplish this is the use
- Engineering
- Manufacturing
- Quality Control
- Purchasing
and functions: These teams run the quality improvement program. Since every
the particular situation that exists. However, everyone has the opportunity to improve.
permits objective evaluation and corrective action. Basic quality measurement data is
obtained from the inspection and test reports, which are broken down by operating
areas of the plant. By comparing the rejection data with the input data, it is possible to
know the rejection rates. Since most companies have such systems, it is not necessary
to go into them in detail. It should be mentioned that unless this data is reported
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properly, it is useless. After all, their only purpose is to warn management of serious
4. Calculate the cost of (poor) quality: Define the ingredients of the COQ and
personal concern felt by all personnel in the company toward the conformance of the
product or service and the quality reputation of the company. By the time a company
is ready for the quality awareness step, they should have a good idea of the types and
expense of the problems being faced. The quality measurement and COQ steps will
permanently resolving the problems that are identified through previous action steps.
Problems that are identified during the acceptance operation or by some other means
Examine the various activities that must be conducted in preparation for formally
launching the Zero Defects program - The quality improvement task team should list
all the individual action steps that build up to Zero Defects day in order to make the
most meaningful presentation of the concept and action plan to personnel of the
company. These steps, placed on a schedule and assigned to members of the team for
execution, will provide a clean energy flow into an organization-wide Zero Defects
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supervisors need in order to actively carry out their part of the quality improvement
program. The supervisor, from the board chairman down, is the key to achieving
improvement goals. The supervisor gives the individual employees their attitudes and
Therefore, the supervisor must be given primary consideration when laying out the
communicate much of the planning and concepts to the supervisors, but individual
classes are essential to make sure that they properly understand and can implement
the program.
9. Hold zero defects days: Create an event that will let all employees realize through
personal experience, that there has been a change. Zero Defects is a revelation to all
involved that they are embarking on a new way of corporate life. Working under this
necessary that all members of the company participate in an experience that will make
10. Encourage employees to create their own quality improvement goals: Turn
improvement goals for themselves and their groups. About a week after Zero Defects
day, individual supervisors should ask their people what kind of goals they should set
for themselves. Try to get two goals from each area. These goals should be specific
and measurable.
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communicating to management the situations that make it difficult for the employee
to fulfill the pledge to improve. One of the most difficult problems employees face is
with problems because they do not consider them important enough to bother the
some help, but in a suggestion program the worker is required to know the problem
and also propose a solution. Error-cause removal (ECR) is set up on the basis that the
worker need only recognize the problem. When the worker has stated the problem, the
proper department in the plant can look into it. Studies of ECR programs show that
over 90% of the items submitted are acted upon, and fully 75% can be handled at the
first level of supervision. The number of ECRs that save money is extremely high,
since the worker generates savings every time the job is done better or quicker.
12. Recognize participants’ effort: Appreciate those who participate. People really
don’t work for money. They go to work for it, but once the salary has been
13. Create quality councils: Bring together the professional quality people for
people of an organization to meet regularly just to share their problems, feelings, and
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Primarily concerned with measurement and reporting, isolated even in the midst of
many fellow workers, it is easy for them to become influenced by the urgency of
who evaluates another’s work. This is not only because of the importance of the work
itself but because those who submit work unconsciously draw a great deal of their
14. Do it all over again – quality improvement does not end: Emphasize that the
quality improvement program never ends. There is always a great sign of relief when
goals are reached. If care is not taken, the entire program will end at that moment. It is
necessary to construct a new quality improvement team, and to let them begin again
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Crosby suggests the model does not require inordinate management sophistication. He
recommends the Grid measurement be used in two ways: (1) a comparison tool, i.e.,
where an organization is, where it was, and where it wants to be; (2) a directional
compass, always pointing (and motivating) the organization in the right direction.
The grid is a simple 6 x 6 matrix that shows different stages of maturity of the
inexperienced, quality management is a low priority and reactive, etc – then as quality
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He was an author of thirteen (13) best selling books. In this total update of his classic,
quality guru Philip Crosby revisits and ultimately reaffirms the thinking he introduced
learned at ITT and adapted in his great entrepreneurial experiment, Philip Crosby
Associates (PCA), and rolled them out for the business world's lasting benefit. Now,
after 16 years of intense change in one of the hottest areas of business, he shares his
Essay ~ Consultant: The CEO's Friend Essay ~ Does It Go To The Bottom Line?
Essay ~ Quality Professionals and the Essay ~ The Concept of Systems Integrity
Future - An Overview
Essay ~ Call 911 - For History Essay ~ Bottom Line Economics
Essay ~ Faith Is The Determinant Of
Essay ~ Disasters According To Size
Success
Essay ~ Examples Essay ~ The Heart of Consulting
Essay ~ The Great Quality Myste
Bibliography
• Crosby, Philip (1994). Completeness: Quality for the 21st Century. Plume.
ISBN 0-452-27024-3.
• Crosby, Philip (1999). Quality and Me: Lessons from an Evolving Life.
Jossey-Bass. ISBN 0-7879-4702-4.
ASSIGNMENT 3 (QUESTION 1)
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Give the various definitions of quality. Explain why a single definition does
1.0 INTRODUCTION
is just like the tale of three blind men describing an elephant - One of them
confidently described this jumbo as a forest of trees because he had only touched
the elephant’s legs. The second blind man was shocked to find out that the elephant
was like a snake ( the trunk ) but it was opposed by the last person because he found
that the elephant was like a rope ( the tail ). Of course , all of the descriptions given
by those three men were correct based on what they had experienced, but as we
Certain groups of people define quality as a statistical process control. Others view
deficiency ( Juran :1988) . There are some who believe that quality only applies to
manufacturing processes and inspection (Winder :1993). All of these definitions are
implementation and absence of the sustaining power that will keep continuous
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controlled and improved in the same manner as a firm’s finances are planned,
satisfy stated or implied needs. On the other hand, Winder (1993) stated that it is a
dimension of process which illustrates its systemic nature. In other words, the quality
This is done through the anticipation and fuflfillment of stated or implied needs of
that the quality of product or service will not exist until it is translated into experience
which has primary and secondary impact. The primary impact is known for its
ability to translate the vision of the quality into reality. It is the actualization of the
are considered successful if they can utilize their experience and learn from it
also provides the ability to determine the performance of the system using statistical
changes to the systems which is made by the management itself, rather than from
the system and permit us to the greatest efficiency are the check sheets, the Pareto
Chart, histogram, the run chart and the control chart ( Winder :1993).
thinking. Deming (1986) has classified the systems thinking into two types – static
and dynamic. The earlier type captures the flow process or system of goods or
services at one point to another. Static methods include flow charting and
the system is working at each point in the process. On the other hand, the cause-effect
diagram indentifies the logical points in a system by assisting and determining the
root cause of a problem in a system. It also indentifies the various parts of the system
that might account for the result achieved and shows those in relationship to the other
all parts of the system as they dynamically interact with one another in their own
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system, measure the results of relationships among various parts of the system and
last but not least modify the systems in order to produce the desired results, the
the inter-connectivity of all systems and processes. By using this ability, it gives us
the power to comprehend the paradigm, set of rules or guidance that system is based.
Baker (1992) in his book titled – A Future Edge, noted that, when a system reaches
which will explain our current understanding of the system, account for
inconsistencies and resolve the unresolvable problems of the system. In the simple
organization.
in which they are willing to share and accept the value from both side.
phrase – “ Delight the customer ”. In other words, the organization is willing to give
the customer more than the customer is paying for. Thus it increases the relationship
participants to share resources with other participants. The level of sharing among
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( Senge :1990 ) :-
Winder (1993) stressed that, the five dimensions that we have just discussed are best
attributes (Evans & Lindsay:2005). For example, the number of stitches per inch on a
upholstery for car seats is considered higher quality than vinyl, the lack of blemishes
in gems viewed using a 10X magnifying glass indicates a higher quality. In other
words, Quality is determined objectively. Although this approach has many benefits,
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determines the quality of the goods. As individuals have different wants and
needs, and of course with a different standard of quality, so the quality can best be
defined as fitness for intended use or how well the product performs its intended
The product or service that best satisfies the user is the higher quality of
Robert (1996) the user based approach as fitness for use. It implies learning how the
user plans to use the product and making the product to fit that need. The user based
target market, ferret out its needs, and then design, construct, and deliver the
appropriate product. For success, all of the functions contributing to the value of the
living quarters of majority Japanese home, there were not enough space in to
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In this definition, one attribute of value is quality. Thus, the customer’s purchase
products and is sold at a lower price, or one that offers greater usefulness or
satisfaction at a comparable price. Thus, one might purchase a generic product, rather
than a brand name one, if it performs as well as the brand-name product at a lower
price.
of the U.S and Japanese automobile markets. Leading Japanese brand - Toyota and
Honda – do not have to offer a huge incentives in marketing their cars compare to
their U.S. competitors – General Motor, Ford and Crysler – because of their good
reputation for long-term durability ( Taylor : 2002) in Evans and William (2005).
any deviation implies a reduction in quality. The concept applies to services as well
as products.
targets and tolerances determined by designers of products and services. Targets are
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the ideal values for which production is to strive but tolerances are specified because
manufacturing.
the ideal value of part produce by manufacturer might be 0.236 centimetres, the
allowable variation is +/- 0.003 centimetres from the target. Thus, any dimension in
the range of 0.233 to 0.239 centimetres is still acceptable and is assumed conform to
Transcendent perspective
limits. Walter Shewhart (1931) in Evans & Lindsay (2005) first defined quality as
achievement. In other words, you just know it when you see it.
perspective has less practical value compare to the rest of perspectives mentioned
earlier.
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ASSIGNMENT 4 (QUESTION 4)
“… It must be considered that there is nothing more difficult to carry out, nor more
doubtful of success, nor more dangerous to handle, than to initiate a new order of
things. For the reformer has enemies in all those who profit by the old order, and
only lukewarm defenders in all those who would profit by the new order, this
lukewarmness arising partly from fear of their adversaries, who have the laws in
their favor; and partly from the incredulity of mankind, who do not truly believe in
any thing new, until they have had actual experience of it. Thus it arises that on
every opportunity for attacking the reformer, his opponents do so with the seal of
partisans, the others only defend him half-heartedly, so that between them be runs
great danger…”
(customer valued) processes are constantly evaluated and improved in the light of
Continuous Improvement is the quality of work that can always be improved, and
this can be done gradually or through breakthroughs. This view is shared by Burill &
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defect rates, a lower cost of quality, and an improved financial picture, as well as
have been receptive to using continual improvement as the name for their quality
effort.
ongoing improvement involving everyone, including both manager and workers. The
KAIZEN philosophy assumes that our way of life be it our working life, our social
life, or our home life deserves to be constantly improved. (Masaaki Imai :1986) in
Ashok, Farshad, Ismael, John, Lawrence, Robert & Phyllis (1996). Everyone in the
organization has to be looking for a better way, but traditionally, this has often been
together, and not making unilateral changes that will affect others in a negative
fashion. The goal is for people to accept a change generated elsewhere because they
less important steps in the process can be reduced or eliminated. Thus, Continuous
As for Carol, Dale, Glen and Mary (1995), the term continuous improvement
needs to be embedded in the way the organization functions. Being embedded means,
improvement is part of the daily work of all work units; improvement processes seek
improvement in any organization, these four major sources must be always in the
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enhance the value to customers through new and improved products and services
(Carol, Dale, Glen and Mary : 1995). Organization that implementing the continuous
a process of continually trying to achieve a better way eventhough not every attempt
will be a winner, the large number of attempts will result in plenty of successes
( Deming :1992 )
requirement for business survival. Get going, or get out of the way.
Last but not least, continuous improvement practices in any organization will
performance and leadership position in fulfilling its public responsibilities and serving
KAIZEN philosophy also has its points of view regarding the importance of
his book Kaizen: The Key to Japan's Competitive Success, CI Process is important
because it easier to be implemented because the ideas to improve are initiate by the
workers themselves – they identify the problem, discuss the remedies or steps to
overcome the problems arise and they execute the improvement according to their
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working condition and of course with the approval from the management. Making
small improvement, it will require less capital investment, thus less burden to the
organization itself.
seeking ways to improve their own performance and helps to encourage workers to
take ownership for their work, and can help reinforce team working, thereby
customers exactly as their organization treats them. If they are ignored, they
will ignore their customers, if they are treated with hostility, they will be
hostiled toward their customers, if their needs are neglected, they will neglect
the customer, and if the internal system does not provide quality services, they
best. Workers whose pay or medical benefits are mixed up will not be excited
about providing superior customer service, at least not during the period of
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their personal problems. Instead, they will focus on attaining their needs to the
ii. Define needs - need and expectations are not always the same. The
different. The provider must know what is expected and needed and
iv. Define quality standards - zero defects is a great goal but is not
easily attained. Six sigma or 3.4 defects per million is the current
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action.
many who have entered the quality arena. This has to be done, first at
the business level, and then down into the departmental and
improvements. You may find over half of your processes lack clear
ownership.
3.2.2 Measurement
out the requirements that are not being met. These nonconforming
done by the owner of the process, who may well need the support of
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This is where the owner rectifies the root cause of the process
tool.
will then be left with a core of problems that typically run across the
action project, the team that tackled a problem will see the dollar
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4.1 Benchmarking
products (including) and the processes by which those products are created and
delivered. The search for "best practice" can taker place both inside a particular
industry, and also in other industries (for example - are there lessons to be
( tutor2u.net :2010)
the process of determining industry or world best practices and then studying
them to identify areas for improvement within our organization. For example,
EDIS. Benchmarking is a six step process involving such as set up the team,
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the performance gap, develop and implement the action (Improvement) plan and
organized framework through which organizations learn how the best in class
do things, understand how these best practices differ from their own, and
the systematic search for best practices, innovative ideas, and highly effective
others and uses it. Indeed, it is the common sense proposition to learn from
others what they do right and then imitate it to avoid reinventing the wheel.
It is powerful and extremely effective when used for the right reasons and
and reduce weaknesses. It will also notify the organization if it has fallen
compete.
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4.2 Re-engineering
and Champy :1993). They have also extended their statement – re-engineering a
company means putting aside old system and starting over with a new one. It
involves turning back to the beginning and inventing a better way of doing
dramatic and business processes ( Hammer & Champy :1993) in .J.C. White
(2010).
Fundamental means that it has to determine the very basic step what
the organization must do and how they are going to operate. In other words :- “
the way we do?” Asking these fundamental questions forces people to look at
the unspoken rules and assumptions that trigger the way they conduct their
businesses.
changes or fiddling with what is already in place, but throwing away the old. In
improvement demands blowing up the old and replacing it with something new.
internal activity.
automation, since doing the wrong things more efficiently will only make few,
reengineering seeks to achieve more with less rather than scaling back what’s
being done. So our point of view, retrenchment of workers is not the option in
similar programs -- since TQM seeks to enhance and improve the existing
seeks to discard existing processes entirely and replace them with break-
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4.3 KAIZEN
2003 – 2010 )
the status quo and believes that things must be improved everyday. The
improvement.
to the rank and file must be involved. Lastly, Everywhere improvement means
that Kaizen is cross-functional activities carried out not only on the shop floor,
operate properly. ii
Firstly, we must consider the process and the results. The process
and results will surface the actions needed to achieve the correct results. The
Toyota Production System is known for using kaizen. Within Toyota, all
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notification of abnormalities.
missing problems in other parts of the process. Toyota has several small groups
work at improving their area for productivity and overall efficiency. The group
assumptions that were part of the current process. In Toyota Production System,
(this initiates kaizen) if there is anything goes wrong in the production lines.
with careful planning, must result-in effective action, and must move on
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things are going wrong (that is identify the problems faced), and come
to ensure that you know what the quality of the output is at all times to
who may simply benefit from what you have learned (you may, of
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The Japanese Union of Scientists and Engineers expanded it into the seven
step method. The PDCA cycle and the seven step method correspond as follows:
(P) Plan :-
(D) Do :-
(C) Check :-
(A) Action :-
The detail explanations of the seven steps method / approach for continuous
the current system operates, including data on the metrics that were
problem are identified, and data are collected on those variables. All
diagram is developed. Most likely causes are singled out by those same
experienced workers.
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collected again. Other relevant data are also collected. The data are
annual improvements in quality and annual reductions in quality related costs. Juran
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i. Proof of need
good economics.
for guiding the project. The responsibility for the project may be as
strategies.
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One from symptom to cause (the diagnostic journey) and the other
a. Diagnostic journey
b. Remedial journey
change).
procedures, training the work force and instituting controls so that the
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5.0 Conclusion
Improvement but they are all sharing the basic idea about it – CI is the tool to
improvement through continuous effort and it will not fade away through the
years to come.
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59
i
6.0 Bibliography
ii
Ashok Rao, Farshad Raffi, Ismael Dambolena, John Martin, Lawrence P. Carr, Phyllis
quality/continuous-improvement/overview/overview.html
Burrill, Claude W., and Ledolter, Johannes., (1998). Acieving Quality Through Continual
Extended Entry
Carol Besterfield –Michna, Dale H.Besterfield, Glen H. Besterfield, Mary Besterfield-Sacre (1995),
D.N.Bateman, Jesus A.Ponce De Leo, MD. Troult (1995), The Interplay Between Quality
http://www.reliableplant.com/Articles
http://www.tutur2u.com/benchmarking
Imai, Masaaki (1986). Kaizen: The Key to Japan's Competitive Success. New York, NY, USA:
Random House.
Imai, Masaaki . The Kaizen approach to Quality ( 1986). Kaizen Institute, Switzerland.
James Champy, Michael Hammer (1993), Reengineering The Corporation. A Manifesto for
Quality. Releasing the Creative Spirit of Your Organization Through Suggestion Systems.
Paul Arveson (2010), Balanced Scorecard Institute, a Strategy Management Group company
Peter Merrill (1997), Do It Right, The second time, Benchmarking best practices in the quality
Richard S. Johnson (1997), TQM: Management Processes for Quality Operations. Volume II of the
ASSIGNMENT 3 ( QUESTION 6 )
How to measure customer satisfaction? And why do many customer satisfaction efforts
fail?
1.0 What is customer satisfaction?
Satisfaction is the end result the customer experiences when we have done all that is necessary to
meet and exceed their expectations in a timely, responsible fashion, on a consistent basis. It is
ultimately the experience our customer has, that defines their level of satisfaction (Prof Dr. Jegak’s
note)
situations and connected to both goods and services. It is a highly personal assessment that is
greatly affected by customer expectations. Satisfaction also is based on the customer’s experience
of both contact with the organization and personal outcomes. Some definitions are based on the
observation that customer satisfaction or dissatisfaction results from either the confirmation or
Customer satisfaction is the state of mind that customers have about a company when their
expectations have been met or exceeded over the lifetime of the product or service. The
achievement of customer satisfaction leads to company loyalty and product repurchase. (Kevin
www.shsu.edu~mgt_ves/mgt481/lesson1/sld001.htm)
progress toward goal through satisfied customers internal and external to the organization. (Carol,
Dale, Glen and Mary, 1995), an external customer exist outside the organization and buys its
products or services. Every employee in the business must know how their job effects and /or
the following;
a. Discover customer perceptions of how well the business is doing in meeting customer
needs, and identify causes of dissatisfaction and failed expectations as well as drivers of
delight.
b. Compare the company’s performance relative to competitors to support planning and better
strategic initiatives.
c. Discovers areas for improvement in the design and delivery of products and services, as
maintained a consistently high level of customer satisfaction in the areas important to the
customers. The target measures such as product quality, on time delivery, ease of access, index
price have been achieved in all cases and have exceeded the best of competitors. He also explained,
for example, leadership reviewed the 1991 survey results and identified responsiveness and
customer relationships as
opportunities for improvement. Programs were initiated in 1992 to improve these areas. In 1992,
customer requirements, and sales representatives. These improvements are also reflected in the
competitive comparison. He said, each of our specialty products businesses asked customers to rate
our year to year progress in overall performance in the areas of products, service, marketing
representative, and general business. Ninety four percent of the customers who rated us believe we
are performing better than or the same as we were last year. Clearly, why does an organization
measure customer satisfaction this is because to maintained a consistently high level of customer
satisfaction.
(Refer Assoc Prof Dr. Jegak’s notes/module), measuring customer satisfaction allowed a business
to discover customer perceptions of how well the business is doing in meeting customers needs.
Discover areas for improvement, both in the design and delivery of products and services. Track
measurement system results in reliable information about customer ratings of specific product and
service features and about the relationship between these ratings and the customers likely future
market behaviour. Customer service standards form the basis of customer satisfaction measures.
Customer satisfaction measures may include product attributes such as product quality, product
performance , usability, and maintainability; service attributes such as attitude, lead time, on time
delivery, exception handling, accountability, and technical support; image attributes such as
According to James and William (2005), surveys should be designed to clearly provide the users of
the survey results with the information they need to make decisions. From survey as a example
buyers, buyers provide feedback on their perceptions of the sales processes, managers provide input
on billing and other administrative processes, and users provide feedback on product performance
and technical support. They also said, formal written surveys are the most common means of
measuring customers satisfaction, although others techniques, such as face to face interviews,
telephone interviews and focus groups. They also has mentioned that the company assigns to an
employee or group of employees the responsibility and accountability for developing improvement
plans based on customer satisfaction results. For example, tie managers annual bonuses to customer
satisfaction results, this practice acts as an incentive for managers and a direction for their efforts.
According to Joel E.Ross (1999), some firms use the squeaky wheel or if it ain’t broke,
don’t fix it” approach and measure customer satisfaction based on the level of complaints. First,
it focuses on the negative aspects by measuring dissatisfaction rather than satisfaction. Second, the
measure is based on the complaints of a vocal few and may cause costly or un-needed changes
in a process.
There are two basic step how to measure customer satisfaction. Firstly, develop key indicators
that drive customer satisfaction. Secondly, collect data regarding the perceptions of quality
received by customers.
Firstly, key indicators of customer satisfaction are what the company has chosen to represent
quality in its products and services and the way in which these are delivered. The building blocks
that the system is design to track are expectations of the customer and company perceptions of
customer expectations.
Secondly, companies use a variety of methods, or listening posts, to collect information about
customer needs and expectations, their importance, and customer satisfaction with the company’s
performance to measure customer satisfaction. (Refer Assoc Prof Dr. Jegak Uli notes/module).
According to Prof Dr. Jegak’s note, comment cards and formal surveys are easy ways to solicit
Formal surveys can be designed to scientifically sample a customer base. This survey asks
customers what they want from a supplier and covers areas of service, price, delivery, quality and
technology.
Measuring via focus group such as interview, a focus group is a panel of individuals which
customers or non-customers who answer questions about a company’s products and services as well
as those of competitors. This interview approach allows a company to carefully select the
composition of the panel and probe panel members about important issues, such as comparing
experiences with expectations, in depth. The key questions that companies ask include: what do you
like about the product or service? What pleases or delights you? What do you dislike? What
problems have you encountered? If you had the ability, how would you change the product or
service?
Measuring via direct customer contact; in customer driven companies, top executives commonly
visit with customers personally. Hearing issues and complaints firsthand is often and eye-opening
experience.
Measuring via field intelligence: any employee who comes in direct contact with customers, such
as sales people, repair technicians, telephone operators, and receptionists, can obtain useful
this method depends upon a culture that encourages open communication with superiors. As
Measuring via study complaints; complaints, although undesirable from a service point of view,
can be a key source customer information. Complaints allow an organization to learn about product
failures and service problems, particularly the gaps between expectations and performance. Studies
indicate that approximately one out of 25 customers complains. Thus to take full advantage of
A.Blanton Godfrey in James R.Evans and William M.Lindsay (2005) suggested, there are several
Just tracking the percentage of satisfied and very satisfied customers on a 5 point Likert scale
provides little actionable information. Many surveys provide biased results because few dissatisfied
customers respond, or the surveys lack adequate sample sizes or randomization. Survey designers
Many surveys address issues the company thinks are important, not what customers think. This
error results from a lack of capturing reliable information about customer needs and expectations.
Even if organizations measure the right things, they may not understand which dimensions are
important. As a result, they spend too much effort on dimensions with the lowest scores that may
Quality and perception of quality is relative. Without appropriate comparative data, competitors
importantly, why customers leave, an organization risks losing market share to competitors and may
According to Peter Merrill (1997), why customer satisfaction efforts fail, this is because poor
employee cynicism and poor morale, lack of training, bad suppliers, not sticking to procedures,
quick fixes, lack of time, lack of process ownership. These are in no special order, and will differ in
priority between companies. It is worth mentioning, though, that poor communication usually
comes at the top of the list. However, they all lead to wasted time and wasted cost that get in the
way of success. Any form of internal waste means you’re asking the customer to pay for something
they don’t want, and that you are paying for something you don’t want.
References
Carol Besterfield-Michna, Dale H.Besterfield, Glen H.Besterfield, Mary Besterfield Sacre (1995),
Total Quality Management, Prentice Hall, New Jersey.
James R.Evans, William M.Lindsay (2005), The Management and Control of Quality, 6 Edition,
Thomson, South - Western
Joel E.Ross (1999), Total Quality Management, Text, Cases and Readings, Third Edition CRC
Press LLC USA.
Peter Merril (1997), Do It Right, The Second Time Benchmarking Best Practices in The Quality
Change Process, Productivity Press a Division of Productivity Inc.
Richard S.Johnson (1997), TQM – Management Processes for Quality Operations. Volume II of the
ASQC, Total Quality Management Series Business Information Press.
program or initiative. Discuss what does it takes (or do you need to do) to be an effective
leader for a successful implementation of a quality improvement program or initiative.
program or initiative.
James and William’s book (2006) has explained that strong leadership, especially from senior
managers, is absolutely necessary to develop and sustain a total quality culture. Leaders may seek to
motivate employees and develop enthusiasm for quality with rhetoric, but actions often speak
louder than words. Leaders create clear and visible quality values, and integrate these values into
the organization’s strategy. Strategies is the pattern of decisions that determines and reveals a
company’s goal, policies, and plans to meet the needs of its stakeholders. Through an effective
strategy a business creates a sustainable competitive advantage. The principle role of strategic
planning is to align work processes with strategic directions, thereby ensuring that improvement
and learning reinforce organizational priorities. In today’s business environment, quality is a key
Conclusion, leadership is the ability to positively influence people and systems under one’s
authority to have a meaningful impact and achieve important results. Strategic planning is the
process of envisioning the organization’s future and developing the necessary goals, objectives, and
action plans to achieve that future. Here clearly, there was why the leadership is important for
According to Roslina (2006), most quality expects agree that strong leadership is absolutely
necessary to develop and sustain a total quality culture. Leadership is the ability to positively
influence people and systems under one’s authority, which can have a meaningful impact and
achieve important results. Leaders create clear and visible quality values and integrate them into the
organization’s strategy. According to Evans and Lindsay (2005), leadership is the driver of the
quality system.
According to Armand V. Feigenbaum in Joel & Vincent (2004), getting quality results is not a short
term, instant pudding way to improve competitiveness; implementing total quality management
With reference to Baldrige Award statement (1999) in Joel (1999), the concept of the leadership
system is summarized as follows, leadership system refers to how leadership is exercised, formally
and informally, throughout a company, the basis for and the way that key decisions are made,
communicated, and carried out. It includes structures and mechanisms for decision making,
selection and development of leaders and managers, and reinforcing values, practices and
behaviours.
According to Joel (1999), an effective leadership creates clear values that respect the capabilities
and requirements of employees and other company stakeholders and sets high expectations for
performance and performance improvement. It builds loyalties and teamwork based upon the values
and the pursuit of shared purposes. It encourages and supports initiative and risk taking,
subordinates organization to purpose and function, and avoids chains of command that require long
decision paths. An effective leadership includes mechanisms for the leaders, self examination,
According to James and William (2005), goods leader should to lead for quality, that is they should
ensure that the principles of TQ are adopted and used throughout their organizations. Some might
a. Gathering data before expressing an opinion and backing up actions with facts.
b. Being aware that quality is defined by customers and acting on that awareness.
c. Using quality tools when appropriate and making their benefits visible to all.
According to Armand V. Feigenbaum in Joel & Vincent (2004), the passion is in living and
working in the spirit of a quality ethic which means having a deep belief that what you do to make
According to James and William (2005), there are various elements why leadership is important
They focus on creating and balancing value for customers and other stakeholders that serves as a
basis for setting business directions and performance expectations at all levels of the organization.
An organization;s vision and values emanates from senior leaders, and should revolve around
customers, both external and internal. For example, Fedex’s concise motto of People, Service,
Profits conveys that commitment to the people the employees of Fedex come first. If employees are
treated with respect and have empathetic leaders, they will provide exceptional service to
customers, and profits will follow. A three pronged approach to business excellence: a pervasive
customer focus, strong associate focus, and its internal quality management philosophy called the
“BI Way”. This philosophy, which includes training, problem solving techniques, process
They create and sustain a leadership system and environment for empowerment, innovation, agility
Leaders provide an environment with few bureaucratic rules and procedures. Such an environment
encourages managers to experiment and take risks, permits employees to talk openly about
problems, supports teamwork and promotes employees understanding of their responsibilities for
quality.
They set high expectations and demonstrate substantial personal commitment and involvement in
A leader can inspire people to do things they do not believe they can do. The leader for today and
the future will be focused on how to develop quality, character, mind-set, values, principles and
They integrate quality values into daily leadership and management and communicate extensively
Successful leaders continually promote their vision throughout the organization using many forms
They review organizational performance including their own performance as leaders to assess
organizational success and progress, and translate review findings into priorities for improvement
and opportunities for innovation for the organization as a whole as well as their own leadership
effectiveness.
energy level. This awareness requires a process for reviewing performance measure and using the
results to drive improvements. Review help to build consistency behind goals and allocation of
resources.
They create an environment that fosters legal and ethical behaviour, and a governance system that
addresses management and fiscal accountability and protection of stockholder and stakeholder
interests.
They integrate public responsibilities and community support into their business practices.
Leadership responsibilities include the protection of public health, safety, and the environment that
may be affected by a company’s products and services. Support of key communities, such as
educations, health care, professional organizations, and community services, are important roles for
Leadership is the driver of the entire quality system. Without leadership, a total quality initiative
simply becomes the flavour of the month, which is the major reason that total quality efforts fail in
many organizations.
Discuss what does it takes (or do you need to do) to be an effective leader for a successful
According to James and William’s book (2005) to make successful implementation of a quality
improvement , creating the leadership system. The leadership system is refer to how leadership is
exercised, formally and informally, throughout an organization. These elements include how key
decisions are made, communicated, and carried out at all levels. They include structures and
mechanisms for decision making, selection and development of leaders and managers, and
reinforcement of values, directions, and performance expectations. It builds loyalties and teamwork
based upon shared values, encourages initiative and risk taking, and subordinates organization to
purpose and function. An effective leadership system also includes mechanisms for leaders self
Strategic planning
According to them, through strategic planning, leaders hold an organization’s future and manage
change by focusing on an ideal vision of what the organization should and could be three, five, or
more year in the future. The objective of strategic planning is to build a posture that is so strong in
selective ways that the organization can achieve its goals despite unforeseeable external forces.
A strategy is a pattern or plan that integrates an organization’s major goals, policies, and action
sequences into a cohesive whole. A well formulated strategy helps to marshal and allocate an
organization’s resources into a unique and viable posture based on its relative internal competencies
and shortcomings, anticipated changes in the environment, and contingent moves by intelligent
opponents.
A focus on both customer driven quality and operational performance excellence, as opposed to
traditional financial and marketing goals, is essential to an effective strategy. To be competitive and
profitable, an organization must focus on the drivers of customer satisfaction, customer retention,
and market share and build operational capability, including speed, responsiveness, and flexibility,
to contribute to short and longer term productivity growth and cost competitiveness.
They also said, the effective leader was required five core leadership skills for a successful
implementation of a quality improvement. These core skills are vision, empowerment, intuition,
Vision
Leaders are visionaries, they manage for the future, not the past. Vision is crucial at every level
during times of change. Leaders recognize the radical organizational changes taking place today as
opportunities to move closer to total quality. Visionary leaders create mental and verbal pictures of
desirable future states and share these visions with their organizational partners, including
customers, suppliers, and employees.
Empowerment
in implementing improvements and making decisions in the best interest of the organization. For
example, at my company GS Paper & Packaging currently which I worked, every department has
participative management process team consisting of 8-12 members who set objectives to support
corporate goals. Individual employees develop goals and plans, track progress, and receive bonuses
based on successful and timely achievement of goals. Empowerment threatens many managers who
are accustomed to wielding their power , often coercively through fear of punishment or sanctions.
True power is not based upon formal position and authority, but rather aids in spreading power
downward and outward and developing leadership at lower levels of the organization.
Intuition
Leaders are not afraid to follow their intuition. Even in the face of uncertainty and change, they
must anticipate the future and must be prepared to make difficult decisions that will help the
organization to be successful. For example, David Kearns from Fuji Xerox company, when he was
appointed as a CEO, he had already witnessed firsthand the implemented of TQM at Fuji Xerox. On
his return from Japan, he had begun listing the factors that made the Japanese better than American
counterparts. After eliminating those factors he felt were insignificant, three elements remained:
cost, quality and expectations. His intuition in this case led him to develop the leadership through
Self-understanding
Self-understanding requires the ability to look at one’s self and then identify relationships with
employees and within the organization. It requires an examination of one self’s weaknesses as well
as strength. An example, one manager told the chairman and CEO of GS Paper & Packaging,
“There are only five managers in this room who know how to listen.” The Chairman recognized the
need to do something. At the end of the meeting, the chairman stood up on a banquet chair, and
raising his right arm, asked all of the assembled executives to repeat after him:”I will listen. I will
not shoot the messenger. I recognize that management is the problem.” Many leaders have an
insatiable appetite for knowledge and self-learning as well as a drive to develop their skills and use
them effectively.
Value congruence
Value congruence occurs when leaders integrate their values into the company’s management
system. Values are basic assumptions and beliefs about the nature of the business, mission, people,
and relationships of an organization. Specifically, values include trust and respect for individuals,
openness, teamwork, integrity, and commitment to quality. They become standards by which
choices are made and create an organizational structure in which quality is a routine part of
Reference:
Evans, J.R and Lindsay, W.M (2005), The Management and Control of Quality, fifth Edition,
International Thomson Publishing.
James R.Evans, William M.Lindsay (2005), The Management and Control of Quality, Sixth
Edition, Thomson South-Western.
Joel E.Ross, Vincent K.Omachonu (2004), Principles of Total Quality, Third Edition, CRC Press
LLC USA.
Joel E.Ross (1999), Total Quality Management, Text Cases, and Readings, Third Edition, CRC
Press LLC USA
Roslina Ab.Wahid (2006), Quality Management: Principles, Systems and Tools, University
Publication Centre, UiTM.