Philip Bayard Crosby

A presentation by :
ABHISHEK KUMAR AND VISHAKHA CHOPRA

About Philip Crosby

Introduced the Zero Defects program
at Martin-Marietta in the early 1970s
Published Quality Is Free in 1979 after
fourteen years as a vice president at
International Telephone & Telegraph
(ITT)
Started the management consulting
group Philip Crosby Associates, Inc.
(PCA) in 1979

Most important contributions

Do It Right the First Time

Zero Defects and Zero Defects Day
Four Absolutes of Quality
Prevention Process
Quality Vaccine
Six C's
Quality Maturity Grid
Quality is Free

DRIFT (Doing it right the first time)

DRIFT (Doing it right the first time) is a
theory from managerial accounting that
relates to just-in-time (JIT) inventory
(where a company only receives goods as
they are needed to cut down on inventory
costs) and production management. The
idea behind DRIFT is that management
wants all of the processes that make up
the JIT philosophy to be done correctly and
efficiently so there are no delays in the
production process

DRIFT (Doing it right the first time)

The importance of DRIFT arises from the fact
that a JIT production system is heavily reliant on
the movement of parts and information along
the production process.
Subsequently, if there is the slightest error at
one of the stages of production the whole
production process will be affected. By "doing it
right the first time" a company is able to run a
smooth production process without needing to
carry excessive inventory and greatly diminish
the costs of production

Principles of Zero Defects and DRIFT

Zero defects is referred to as a philosophy, a mentality, or a movement which is aimed at minimizing the number of
defects in manufactured products and service as much as possible. It is often considered as having no distinct steps to
follow or rules to abide by, which leaves companies open to customizing how they want it to work for themselves.
1. QUALITY IS CONFORMANCE TO REQUIREMENTS
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. In the
technical sense of Zero Defects, the inexpensive disposable pen is a quality product if it meets requirements: it writes, does not skip or clog
under normal use, and lasts the time specified.

Principles of Zero Defects and DRIFT

2. Defect prevention is preferable to quality inspection and correction
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.
3. ZERO DEFECTS IS THE QUALITY STANDARD
The third is based on the normative nature of requirements: if a requirement expresses 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.
Further, the idea that mistakes are inevitable is rejected out of hand. Just as the CEO wouldn't accept 'mistakenly' not getting paid
occasionally, his/her chauffeur 'mistakenly' driving them to the wrong business, or their spouse 'mistakenly' sleeping with someone else, so
the company shouldn't take the attitude that they'll 'inevitably' fail to deliver what was promised from time to time. Aiming at an
"acceptable" defect level encourages and causes defects.
4. QUALITY IS MEASURED IN MONETARY TERMS THE PRICE OF NONCONFORMANCE (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 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 provides a way to measure progress, which is essential to maintaining management commitment
and to rewarding employees. Third, by making the goal measurable, actions can be made concrete and decisions can be made on the basis
of relative return.

Four absolutes of quality

management:
1. Quality is defined as conformance to
2. The system for causing quality is prevention,
requirements, not as 'goodness' nor 'elegance' not appraisal
Crosbys most popular definition of quality is:
Quality is defined as conformance to
requirements. He says that poor quality is not an
outcome of a failure. Instead, poor quality is
what deviates from set standards.

According to Crosby defects or non-conformance

cannot be completely eliminated. He believed that
one cannot stop operators from making mistakes.
Nevertheless, organizations must not expect their
employees to make mistakes. Thus he stressed on
the need for an approach to constantly reduce
defects. According to Crosby, the catch line to
improve quality is prevention of nonconformance, not appraisal.

Four absolutes of quality

management:
3. The performance standard must 4. The measurement of quality is the
be zero defects, not that's close
Price of Non-conformance, not
enough.
indices.
Crosby emphasized that organizations
aim at zero defects. This approach
Crosby avers that the metric to quality
would help organizations improve
is not the number of defects. Rather,
quality substantially.
the price of non-conformance is the
Further, he also discourages
best way to measure quality
organizations from being complacent
after reaching high quality standards.
Quality is a continuous improvement
process and must be aimed at pushing
the envelope of quality even further.

Absolutes Of Quality Chart

Cost Of Quality

Quality is free, but no one is ever

going to know it if there isnt some
sort of agreed-on system of
measurement.
The purpose of calculating COQ is
really only to get managements
attention and to provide a
measurement base for seeing how
quality improvement is doing.

This is measured by the fully loaded costs of

1. All efforts involved in doing work over,
including clerical work
2. All scrap
3. Warranty (including in-plant handling of
returns)
4. After-service warranty
5. Complaint handling
6. Inspection and test
7. Other costs such as engineering change notices
and purchasing change orders

Definitions by Philip Crosby:

QUALITY MANAGEMENT :

is a philosophy, a gathering of concepts that establish an

organizations management style and policy. This is the Good
Ship Integrity that morally and physically supports everything
else. When management acts and works in accord with the
concept of Quality Management then the organization can put
useful systems to work. To cause quality management we
must deliberately create an environment where all transactions
are completed correctly each time, and where relationships with
employees, suppliers, and Customers are successful.

QUALITY ASSURANCE:

is Work discipline, a gathering of procedures that document

what people are supposed to do. This is intended to organize
information for the intent of building a path for work to follow.
ISO-9000, Mil-Q-9858; Baldrige Award criteria', and TQM are
examples of this information. Unfortunately many leaders are
led into thinking that installing a QA system takes care of quality
management. This is like thinking that possessing a drivers
license produces a safe driver.

Definitions by Philip Crosby:

QUALITY CONTROL:
is a scientific measurement process, a gathering of statistics that
evaluate the compliance of work by sampling its flow. This is intended to
let operators continually measure the work that is in process so that
nonconforming output is not produced. Statistical quality control is
something you dont want to know about, it is based on never getting
things right.

STATISTICAL PROCESS CONTOL (SPC):

is process measurement in real terms, a gathering of numerical data.
The speedometer in an automobile is an SPC chart. Place minimum and
maximum speeds on it and the chart is complete. When we exceed the
limits we are causing non-conformanceY Management has to learn to
recognize the signals that SPC produces and take preventative action as
a result of that observation.

APPRAISAL :
is inspecting and testing, a gathering of observations to measure
completeness. In manufacturing Appraisal is obvious as we watch people
look at things; in administrative work it goes on all the time also but is not

Six Stages or 6 Cs
The Six Stages or 6 Cs of Implementing a Quality
Improvement Process
According to Mr. Philip Crosby, there are six stages of
change that every company goes through if it is to have a
real and viable quality improvement process. Mr. Crosby
taught the six Cs must be met if managers, particularly
senior level managers, are going to deal with the changing
attitudes toward quality. The six Cs are comprehension,
commitment, competence, communication, correction,
continuance.

Six Stages or 6 Cs
6 Cs Stage 1 Comprehension
Comprehension is the understanding of the four Absolutes of Quality:
Initially comprehension must begin at the management level and then as the quality
improvement process is implemented, all employees must learn that quality is definable,
measurable and manageable.
6 Cs Stage 2 Commitment
Once comprehension occurs management must define a quality policy and quality teams
must be initiated. Once top management displays their commitment all employees will join in.
Everyone must accept zero defects as their personal performance standard.
6 Cs Stage 3 Competence
Competence means management has learned to apply the four absolutes in a routine
manner. There is a method and a plan for quality improvement and this is understood by and
participated in by everyone.

Six Stages or 6 Cs
6 Cs Stage 4 Communication
Communications is not only the most important of the 6 Cs but the most neglected. If a close look is
taken at ISO 9001 its ability to be used as a communication tool becomes clear. Management must
clearly communicate successes and tools used to create quality improvement and recognize those
who contributed to the change.
6 Cs Stage 5 Correction
As Dr. Deming also said, a culture of change must occur. Most attempts at correction fail because they
focus on symptoms or are limited to specific situations. This leads to repetitive failures (nonconformances). Correction is the implementation of permanent preventive measures.
6 Cs Stage 6 Continuance
Quality must be the first among equals of cost and schedule and quality. Improving quality will reduce
costs and improve on-time delivery. Therefore the quality improvement process must become part of
the context and systems of the company. Do It Right the First Time must become a tenet of every
employee

Crosbys 14 Steps
To Quality Improvement:
The start of Total Quality Management

Step 1: Management Commitment

Discuss the need for quality improvement with management, emphasizing the need
for defect prevention. Do not confuse communication with motivation. The
results of communication are real and long-lasting; the results of motivation are
shallow and short-lived. Prepare a quality policy that states each individual is
expected to perform exactly like the requirement or cause the requirement to be
officially changed to what we and the customer really need. Agree that quality
improvement is a practical way to profit improvement.
It is necessary to determine the status of quality throughout the company. Quality
measurements for each area of activity must be established where they dont exist
and reviewed where they do. Record quality status to show where improvement is
possible and where corrective action is necessary and to document actual
improvement later.

Step 2: Quality Improvement Team

Bring together representatives of each department to form the quality improvement

team.
These should be people who can speak for their departments to commit operations to
actions.
Preferably, the department heads should participateat least on the first go around.
Orient the team members as to the content and purpose of the program. Explain their
roleswhich are to cause the necessary actions to take place in their departments and
the company.
Accomplishment. All the tools necessary to do the job are now together in one team. It
works well to appoint one of the members as the chair of the team for this phase.

Step 3: Quality Measurement

It is necessary to determine the status of

quality throughout the company. Quality
measurements for each area of activity must
be established where they dont exist and
reviewed where they do.

Record quality status to show where

improvement is possible and where
corrective action is necessary and to
document actual improvement later.
Nonmanufacturing measurements, which are
sometimes difficult to establish, are shown.

There are innumerable ways to measure any procedure. The people doing the work will respond team. These should be
people who can speak for with delight to the opportunity to identify some their departments to commit operations to
actions.
If a supervisor says her area is completely immeasurable, she can be helped by asking how she knows who is doing the
best work, how she knows who to keep and who to replace.

Step 4 : Cost of Quality Evaluation

Initial estimates are likely to be shaky (although low), and so it is necessary at this point to get
more accurate figures. The comptrollers office must do this. They should be provided with
detailed information on what constitutes COQ.
COQ is not an absolute performance measurement; it is an indication of where corrective action
will be profitable for a company. The higher the cost, the more corrective action that needs to be
taken.
Having the comptroller establish COQ removes any suspected bias from the calculation. More
important, a measurement of quality management performance has been established in the
companys system.

Step 5 : Quality Awareness Step

It is time now to share with employees the measurements of what non-quality is costing. This is
done by training supervisors to orient employees and by providing visible evidence of the concern
for quality improvement through communication material such as booklets, films and posters.
Dont confuse this with some get motivated-quick scheme. It is a sharing process and does not
involve manipulating people. This is an important step. It may be the most important step of all.
Service and administrative people should be included just like everybody else.
Accomplishment. The real benefit of communication is that it gets supervisors and employees in
the habit of talking positively about quality. It aids the process of changing, or perhaps clarifying,
existing attitudes toward quality. And it sets the basis for the corrective action and error cause
removal steps.

STEP 6 : Corrective Action for Process

Improvement

As people are encouraged to talk about their problems, opportunities for correction come to light,
involving not just the defects found by inspection, audit or self-evaluation, but also less obvious
problemsas seen by the working people themselvesthat require attention. These problems
must be brought to the supervision meetings at each level.
Those that cannot be resolved are formally passed up to the next level of supervision for review at
their regular meeting. If a specific functional area does not hold such meetings, the team should
take action to establish them in that department.

Step 7: Establish an Ad Hoc Committee

for the Zero Defects Program

Select three or four members of the team to investigate the zero defects concept and ways to
implement the program.
The quality manager must be clear, right from the start, that zero defects is not a motivation
program.
Its purpose is to communicate to all employees the literal meaning of the words zero defects and
the thought that everyone should do things right the first time. This must be transmitted to every
member of the team. In particular, the ad hoc group should seek ways to match the program to the
companys personality.

STEP 8: SUPERVISOR TRAINING

Conduct a formal orientation with all levels of management prior to implementation of all the steps. All
managers must understand each step well enough to explain it to their people.
The proof of understanding is the ability to explain it.
Eventually all supervisors will be tuned into the program and realize its value for themselves. Then they will
concentrate their actions on the program.

STEP 9: ZERO DEFECTS DAY

Establishment of zero defects as the performance
standard of the company should be done in one
day. That way, everyone understands it the same
way. Supervisors should explain the program
to their people and do something different in the
facility so everyone will recognize it is a new
attitude day.
Accomplishment. Making a day of the zero defects

Step 10: Goal Setting

Action. During meetings with employees, each supervisor
requests they establish the goals they would like to strive for.
Usually, there should be 30-, 60- and 90-day goals. All should
be specific and measurable.
This phase helps people learn to think in terms of meeting
goals and accomplishing specific tasks as a team.

Step 11: Error Cause Removal

Ask individuals to describe any problem that keeps them from performing error free work
on a simple, one-page form. This is not a suggestion system. All they have to list is the problem;
the appropriate functional group (for example, industrial engineering) will develop the answer. It is
important that any problems listed be acknowledged within 24 hours. Typical inputs might be:
This tool is not long enough to work right with all the parts.
The sales department makes too many errors
on their order entry forms.
We make a lot of changes in response to telephone calls, and many of them end up having
to be done all over again.
I dont have any place to put my pocketbook.
People now know their problems can be heard and answered. Once employees learn to trust this
communication, the program can go on forever.

Step 12: Recognition

Establish award programs to recognize those who meet their goals or perform
outstanding acts. It is wise not to attach relative values to the identification of
problems.
Problems identified during the error cause removal stage should all be treated the
same way because they are not suggestions. The prizes or awards should not be
financial.
Recognition is what is important.
Genuine recognition of performance is something people really appreciate. They will
continue to support the program whether or not they, as individuals, participate in the
awards.

Step 13: Quality Councils

Action. Bring the quality professionals and team chairpersons together regularly
to communicate with each other and determine actions necessary to upgrade
and improve the solid quality program being installed.

These councils are the best source of information on the status of programs and
ideas for action. They also bring the professionals together on a regular basis.

Step 14: Do It Over Again

The typical program takes a year to 18 months. By that time, turnover and changing
situations will have wiped out most of the education effort.

Therefore, it is necessary to set up a new team of representatives and begin again. For
instance, mark zero defects day as an anniversary. Or give a special lunch for all employees.

The point is that the program is never over.

Repetition makes the program perpetual and, thus, part of the woodwork. If quality isnt
ingrained in the organization, it will never happen.

Quality Management Maturity Grid

1.

The Quality Management Maturity

3.
Grid (QMMG) is an organizational
maturity matrix conceived by Philip B.
Crosby first published in his book Quality
is Free in 1979.] The QMMG is used by a
business or organization as a benchmark
of how mature their processes are, and
how well they are embedded in their
culture, with respect to service or
product quality management.
4.

2.

The QMMG is credited with being the

precursor maturity model for
the Capability Maturity Model (CMM)
created a decade later that also has five
levels of maturity.

The Quality Management Maturity Grid

describes 5 maturity levels through which an
organization or business will go through:
Uncertainty
Awakening
Enlightenment
Wisdom
Certainty
Six measurement categories
Management understanding and attitude
Quality organization status
Problem handling
Cost of quality as a percent of sales
Quality improvement actions
Characteristic statement

Crosbys five characteristics of highly

successful
organizations
According to Crosby, five characteristics of a highly
successful organizations are:
- People routinely do things right first time
- Change is anticipated and used to advantage
- Growth is consistent and profitable
- New products and services appear when needed
- Everyone is happy to work there

The Crosby "Vaccine"

In the Crosby style, the "Vaccine" is explained as medicine for management to prevent poor quality. It is in five
sections that cover the requirements of Total Quality Management.

Section 1 - Integrity
Treat quality seriously throughout the whole business organization from top to bottom. That the companies
future will be judged on its performance on quality.
Section 2 - Systems
Appropriate measures and systems should be put in place for quality costs, education, quality, performance,
review, improvement and customer satisfaction.
Section 3 - Communication
The communication systems are of paramount importance to communicate requirements and specifications
and improvement opportunities around the organization. Customers and operators know what needs to be
put in place to improve and listening to them will give you the edge.
Section 4 - Operations
Work with and develop suppliers. Processes should be capable and improvement culture should be the
norm.
Section 5 - Policies
Must be clear and consistent throughout the business.

Philip Crosby Associates- started by

Philip Crosby

In 1979, as a Vice President of the mega-conglomerate ITT, Philip Crosby

turned his operating philosophy into the groundbreaking book Quality Is
Free. In defiance of the conventional wisdom, Crosby defined quality in
simple and absolute terms so anyone could quickly establish whether or
not quality existed in the workplace, or even at a single workstation. In this
best-selling book, Crosby also introduced his Absolutes of Quality
Management which remain the cornerstone of PCAs approach today.
Today, Philip Crosby Associates impacts a worldwide clientele, applying
Crosby's philosophy of Quality Management and customer success with
executives, managers, government ministers, and production workers who
understand its crucial importance. They are creating and sustaining the
reliable, capable, and successful organizations that prove every day that
quality is indeed an achievable, lucrative, strategic, and hassle-free
absolute. And it is through their daily efforts, where quality is consistently
caused, productivity continually increased, profitability diligently grown,
and customers ultimately made successful, that Crosbys principles are
applied, affirmed, and extended.

Most Notable Books By Philip Crosby:

1967. Cutting the cost of quality. Boston, Industrial Education Institute. OCLC 616899.
1969. The strategy of situation management. Boston, Industrial Education Institute. OCLC 13761.
1979. Quality is Free. New York: McGraw-Hill. ISBM 0-07-014512-1.
1981. The Art of Getting Your Own Sweet Way. McGraw-Hill. ISBN 0-07-014527-X.
1984. Quality Without Tears. New York: McGraw-Hill. ISBN 0-07-014511-3.
1986. Running things. New York: McGraw-Hill. ISBN 0-07-014513-X.
1988. The Eternally Successful Organization. New York: McGraw-Hill. ISBN 0-07-014533-4.
1989. Let's talk quality. New York: McGraw-Hill. ISBN 0-07-014565-2.
1990. Leading, the art of becoming an executive. New York: McGraw-Hill. ISBN 0-07-014567-9.
1994. Completeness: Quality for the 21st Century. Plume. ISBN 0-452-27024-3.
1995. Philip Crosby's Reflections on Quality. McGraw-Hill. ISBN 0-07-014525-3.
1996. Quality is still free: Making Quality Certain in Uncertain Times. McGraw-Hill. ISBN 0-07014532-6.
1997. The Absolutes of Leadership (Warren Bennis Executive Briefing). Jossey-Bass. ISBN 0-78790942-4.
1999. Quality and Me: Lessons from an Evolving Life. Jossey-Bass. ISBN 0-7879-4702-4.

Case Study of Crosby

1967. Cutting the cost of quality. Boston, Industrial Education Institute. OCLC 616899.
1969. The strategy of situation management. Boston, Industrial Education Institute. OCLC
13761.
1979. Quality is Free. New York: McGraw-Hill. ISBM 0-07-014512-1.
1981. The Art of Getting Your Own Sweet Way. McGraw-Hill. ISBN 0-07-014527-X.
1984. Quality Without Tears. New York: McGraw-Hill. ISBN 0-07-014511-3.
1986. Running things. New York: McGraw-Hill. ISBN 0-07-014513-X.
1988. The Eternally Successful Organization. New York: McGraw-Hill. ISBN 0-07-014533-4.
1989. Let's talk quality. New York: McGraw-Hill. ISBN 0-07-014565-2.
1990. Leading, the art of becoming an executive. New York: McGraw-Hill. ISBN 0-07-0145679.
1994. Completeness: Quality for the 21st Century. Plume. ISBN 0-452-27024-3.
1995. Philip Crosby's Reflections on Quality. McGraw-Hill. ISBN 0-07-014525-3.
1996. Quality is still free: Making Quality Certain in Uncertain Times. McGraw-Hill. ISBN 007-014532-6.
1997. The Absolutes of Leadership (Warren Bennis Executive Briefing). Jossey-Bass. ISBN 07879-0942-4.
1999. Quality and Me: Lessons from an Evolving Life. Jossey-Bass. ISBN 0-7879-4702-4.

Case Study of Crosby

Case 2 Study of Crosby

Bibliography

Quality is free Philip Crosby

Philip Crosby's Reflections on Quality. McGraw-Hill.
http://www.creativesafetysupply.com/zero-defects
http://www.vectorstudy.com/management_gurus/philip_crosby.htm
http://asq.org/about-asq/who-we-are/bio_crosby.html
http://en.wikipedia.org/wiki/Philip_B._Crosby
http://www.grantland.net/zerodefects.htm
http://asq.org/knowledge-center/index.html
http://c2.com/cgi/wiki?QualityIsFree
http://www.wppl.org/wphistory/philipcrosby/QualityIsFreeIfYouUnderstandIt.pdf
http://www.philipcrosby.com/25years/explore.html
http://technacon.com/category/philip-crosby-quality-management-philosophy
http://www.philipcrosby.com/pca/B.Overview.html