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Definition of quality "Quality itself has been defined as fundamentally relational: 'Quality is the ongoing process of building and sustaining relationships by assessing, anticipating, and fulfilling stated and implied needs.' In manufacturing, a measure of excellence or a state of being free from defects, deficiencies, and significant variations, brought about by the strict and consistent adherence to measurable and verifiable standards to achieve uniformity of output that satisfies specific customer or user requirements. ISO 8402-1986 standard defines quality as "the totality of features and characteristics of a product or service that bears its ability to satisfy stated or implied needs." Meaning Quality of design Quality of conformance Quality of performance Quality of design of the product is the tightness of the specification for manufacturing the product Quality of conformance refers to the ability to maintain the specified quality design Or it is concerned with how well the manufactured product conforms to the quality of design Quality of performance how well a manufactured product gives its performance is termed as quality of performance .
Total quality Management
Dimensions of quality 1. Performance 2. Features 3. Conformance 4. Reliability 5. Durability 6. Service 7. Response 8. Aesthetics 9. Durability 10.Service 11.Response
Performance : It‘s a primary product characteristics It is the extent to which a manufactured product is able to function Features It is the secondary product characteristics Conformance It is the ability to maintain the specific quality of design or industry standards or workmanship Reliability Reliability is the probability of a product to perform adequately for the period intended under the given operation condition Durability Its hard –wearing Life of the product
Response The dimension of the quality is concerned with the human to human interface Asthetics It talks about the exterior finish
Total quality Management
COST OF QUALITY Quality affects all aspects of the organization and has dramatic cost implications. The most obvious consequence occurs when poor quality creates dissatisfied customers and eventually leads to loss of business. However, quality has many other costs, which can be divided into two categories. The first category consists of costs necessary for achieving high quality, which are called quality control costs. These are of two types: prevention costs and appraisal costs. The second category consists of the cost consequences of poor quality, which are called quality failure costs. These include external failure costs and internal failure costs. Prevention costs 1. 2. 3. 4. 5. Quality planning and engineering New product review Product /process review Training Quality data acquisition and analysis
Appraisal cost 1. 2. 3. 4. Inspection and testing of incoming material Product inspection and testing Material and services consumed Maintaining accuracy of test equipment
Internal failure cost 1. 2. 3. 4. 5. 6. Scrap Rework Retest Failure analysis Down time Down grading
External failure costs 1. 2. 3. 4. Complaint adjustment Returned product /material Warranty charges Liability costs
= Performance /Expectation
Total quality Management Introduction To Total Quality Manangement Basics concepts of TQM Meaning of TQM The elements of TQM as the name suggested are : Total Quality Management Quality Products and services that totally satisfy the customer‘s needs and expectations in every respect on a continuous basis To satisfy consumer needs .In fact to delight customers A customer may be internal or external External customers are those who buy out products /services . Internal customers are individuals /departments who use our output and we become their supplier Total -Complete -All Areas And Functions All activates All employees All time – always Management Quality does not happen on its own It requires to be planned and managed It is everybody’s responsibility throughout the organization Therefore needs a systematic approach Definition of TQM 4 .
planning. communications. Continuous improvement Improvements to people and process performance should be continuously sought and monitored 6. Participation by all The strength and abilities of each person should be seen /recognized as a link in a chain 4. Quality statements Vision statement 5 .senior manager of all departments (like production . marketing.communicating to the council expectations -Making the teams understand their responsibilities and empowering them -Assisting team leaders . Problem identification Problems might occur in the future and existing problems .training and development Quality council A quality council is formed to build quality into culture of an organization The quality council will provide the overall directions The members of the quality council will be -chief executive officer .Total quality Management Total quality management transcends the product quality approach. Process measurements It should be applied to all organizational activities 5.on a continuous basics 7. and encompasses its every function: administration.sharing of the quality council expectations . involves everyone in the organization.facilitating the sharing of experience and organizing /conducting meeting of team leader. distribution. manufacturing. Commitment Commitment from the Top Management TQM concept are to be promoted at all levels and activities of the organization of the organization for success of TQM 2. training. Personal development For individuals at all levels .finance ) -a coordinator or a consultant (who will report to the CEO) The duties of the Coordinator are: -build trust between management and employees . CONCEPT OF TQM 1. Customer Satisfaction To understand and satisfy the needs of the customers 3.there should be continuous appraisal .
The vision statement should be widely (and deeply )shared amongst all in an organization 5. Means futuristic view : 2. A mission statement consists of four basic elements namely a) b) c) d) Quality policy statement Purpose Stakeholders Goals Core values It is the guide for all working in an organization with respect to how they should provide products and services to the customers 6 . Mandate is a brief description of what an organization must do and is permitted to do so 3. Vision statement are usually short .that is it is put in a few sentences Mission statement 1. Vision statement is an open declaration made by an organization stating what it wants to be and look like after a specific period of time in future 3.Total quality Management Mission statement Quality policy statement Vision statement 1. -it should be noted that the vision statement is to be realistic and achievable 4. Mission statements provides answer to the following a) Who the organization is b) The customer of the organization c) What the organization does d) How the organization does it 4. It refers to what an organization wishes to do and become within and beyond its mandate 2.
raw materials. 80% of the wealth is owned by 20% of the people etc. Fishbone. Double (back to back) Pareto charts can be used to compare 'before and after' situations. the point intersections between the two data sets are plotted but no attempt is made to physically draw a line.i.). General use.Total quality Management TQM Tools Pareto Principle Scatter Plots Control Charts Flow Charts Cause and Effect . Scatter Plots A scatter plot is effectively a line graph with no line . operators etc. In quantitative terms: 80% of the problems come from 20% of the causes (machines. to decide where to apply initial effort for maximum effect.e. The Y axis is 7 . Therefore effort aimed at the right 20% can solve 80% of the problems. Ishikawa Diagram Histogram or Bar Graph Check Lists Check Sheets Pareto Principle The Pareto principle suggests that most effects come from relatively few causes.
Therefore effort aimed at the right 20% can solve 80% of the problems.Total quality Management conventionally used for the characteristic whose behaviour we would like to predict. or both variables actually relate independently to a third variable.). operators etc. Fishbone. Use. Scatter Plots 8 . Warning: There may appear to be a relationship on the plot when in reality there is none. to define the area of relationship between two variables. 80% of the wealth is owned by 20% of the people etc. They are: Pareto Principle Scatter Plots Control Charts Flow Charts Cause and Effect . raw materials. Ishikawa Diagram Histogram or Bar Graph Check Lists Check Sheets Pareto Principle The Pareto principle suggests that most effects come from relatively few causes. In quantitative terms: 80% of the problems come from 20% of the causes (machines. General use. TQM Tools Here follows a brief description of the basic set of Total Quality Management tools. to decide where to apply initial effort for maximum effect. Double (back to back) Pareto charts can be used to compare 'before and after' situations.
Total quality Management A scatter plot is effectively a line graph with no line . Warning: There may appear to be a relationship on the plot when in reality there is none. Return to TQM Tools index Control Charts 9 . Use. to define the area of relationship between two variables. the point intersections between the two data sets are plotted but no attempt is made to physically draw a line. The Y axis is conventionally used for the characteristic whose behaviour we would like to predict.i.e. or both variables actually relate independently to a third variable.
SPC. They enable the control of distribution of variation rather than attempting to control each individual variation. which would lead to many reject Flow Charts 10 . Action can be taken based on trend rather than on individual variation. Upper and lower control and tolerance limits are calculated for a process and sampled measures are regularly plotted about a central line between the two sets of limits. The plotted line corresponds to the stability/trend of the process.Total quality Management Control charts are a method of Statistical Process Control. This prevents over-correction/compensation for random variation. (Control system for production processes).
symbols or text coupled with lines. Develops a common understanding of a process by those involved. Helps organise and relate factors. providing a sequential view. Can become very complex. Process classification and cause enumeration. No particular standardisation of symbology. result to be achieved.Total quality Management Pictures. Deals with time direction but not quantity. problems/opportunities and decision points etc. Cause and Effect . Three basic types: Dispersion analysis. Ishikawa Diagram The cause-and-effect diagram is a method for analysing process dispersion. Fishbone. so communication to a different audience may require considerable time and explanation. opportunity to be grasped. Histogram or Bar Graph 11 . Can be difficult to identify or demonstrate interrelationships. The diagram's purpose is to relate causes and effects. Enables modelling of processes. Effect = problem to be resolved. arrows on lines show direction of flow. Excellent for capturing team brainstorming output and for filling in from the 'wide picture'.
7 Important Principles of Total Quality Management Total Quality Management (TQM) is an approach that organizations use to improve their internal processes and increase customer satisfaction. estimation. 12 . The above example reveals the skewed distribution of a set of product measurements that remain nevertheless within specified limits. Check Lists A Checklist contains items that are important or relevant to a specific issue or situation. recognise or identify. operational. Their primary purpose is for guiding operations. non-response. not for collecting data. Generally used to check that all aspects of a situation have been taken into account before action or decision making. Minimal interpretation of results required. Adaptable to different data gathering situations. Without using some form of graphic this kind of problem can be difficult to analyse. this style of management can lead to decreased costs related to corrective or preventative maintenance. It needs to be designed for the specific data it is to gather. Used for the collection of quantitative or qualitative repetitive data.Total quality Management A Histogram is a graphic summary of variation in a set of data. interaction. When it is properly implemented. and an increased number of happy and loyal customers. Check Sheets A Check Sheet is a data recording form that has been designed to readily interpret results from the form itself. effective.exclusion. It enables us to see patterns that are difficult to see in a simple table of numbers. Can be analysed to draw conclusions about the data set. A histogram is a graph in which the continuous variable is clustered into categories and the value of each cluster is plotted to give a series of bars as above. No control for various forms of bias . Easy and quick to use. Simple. better overall performance. Checklists are used under operational conditions to ensure that all important steps or actions have been taken. perception.
5. If. Real improvements must occur frequently and continually in order to increase customer satisfaction and loyalty. Every employee is responsible for quality Everyone in the company.Total quality Management However. While there are a number of software solutions that will help organizations quickly start to implement a quality management system. Quality must be measurable A quality management system is only effective when you can quantify the results. Don’t treat symptoms. Everyone has a customer to delight. You need to see how the process is implemented and if it is having the desired effect. you should adopt these seven important principles of Total Quality Management as a foundation for all your activities. 2. Go for the source to correct the problem. look for the cure If you just patch over the underlying problems in the process. then. must realize that they have an important part to play in ensuring high levels of quality in their products and services. The first step in the TQM process. is to realize there is a problem and that it can be controlled. 3. it won‘t matter how many times you hire new employees or how many training sessions you put them through. They believe that their operations are simply too large to effectively manage the level of quality. Quality can and must be managed Many companies have wallowed in a repetitive cycle of chaos and customer complaints. and they must all step up and take responsibility for them. are the problem If your process is causing problems. your shipping department is falling behind. Whatever other resources you use. 13 . 4. you may find that it is because of holdups in manufacturing. for example. 1. not people. It‘s not a management ―phase‖ that will end after a problem has been corrected. Correct the process and then train your people on these new procedures. you will never be able to fully reach your potential. from the workers on the line to the upper management. This will help you set your goals for the future and ensure that every department is working toward the same result. Quality improvements must be continuous Total Quality Management is not something that can be done once and then forgotten. TQM is not something that happens overnight. Processes. 6. there are some underlying philosophies that the company must integrate throughout every department of the company and at every level of management.
. but you should understand that real results won‘t occur immediately.Be Customer focused: Whatever you do for quality improvement. Before you start looking for any kind of quality management software. but if you build on a foundation of quality principles. Quality is a long-term investment Quality management is not a quick fix. you will be equipped to make this change and start working toward real long-term success. you provide the proper environment. 14 . and sometimes the shift can come with some growing pains. remember that ONLY customers determine the level of quality. and it is designed to help you find long-term success. integrating quality into processes management. You can purchase QMS software that will help you get things started. Principles Of TQM 1. This kind of management style can be a huge culture change in some companies. then empower employee. TQM is a long-term investment.. 2-Insure Total Employee Involvement: You must remove fear from work place. it is important to make sure you are capable of implementing these fundamental principles throughout the company. training employees. Whatever you do to foster quality improvement. ONLY customers determine whether your efforts were worthwhile.Total quality Management 7.
7. quality tools.Strategic and systematic approach: Strategic plan must integrate quality as core component. 8.Process Centered: Fundamental part of TQM is to focus on process thinking. 4. method and timeliness must be well defined.Continual Improvement: Using analytical.Communication: Communication strategy. ustomer Satisfaction 15 . 6.Integrated system: All employee must know the business mission and vision. and creative thinking to become more efficient and effective.Fact Based Decision Making: Decision making must be ONLY on data.Total quality Management 3. not personal or situational thinking. An integrated business system may be modeled by MBNQA or ISO 9000 5.
Total quality Management Customer Satisfaction: This inverted pyramid is a good way to depict the importance of customers. This diagram shows how the red area is the common juxtaposition of a company’s offerings and customer’s needs. A company never makes a product for its top management people. This shows the relative importance of people at the bottom of the hierarchy. Even in case of empowerment it is front line employee who should be having more empowerment which will enable him to solve customer problem on the spot. Any product or service falling in this zone will be a surefire recipe for organization’s success. rather it is meant for the customer. She is at the top of the pyramid and the CEO is at the bottom. When it was launched in India in early eighties the taste was not accepted by the Indian taste-bud. Customer Perception of Quality If a particular feature suits a particular customer need then that feature is going to win a customer’s heart. which was lapped up by the customer. Every effort should be taken by the organization to seek opinion from front line employees. Now after two decades Maggi can be found in almost every household in India. Nestle researched properly and came with ‘Masala Tastemaker’. As front line employees are in direct contact with people so they are in a better position to understand a customer’s needs and problems. Let us take example of Maggi noodles. 16 .
The top management should have hired people with skill in using Corel in the first place. This whole episode resulted in huge loss of resources and manhour for the organization and low self-esteem for the concerned designer. What do you do with my output: Once the management agrees to provide resources then it should ask about how the worker is going to utilize that resource and what would be the result. 2. He stayed in the organization for six months without contributing anything. What do you need from me: Internal customers should be constantly asked what kind of resources they need for functioning properly and for giving the desired result. As his skills were tasted properly when he was hired.Total quality Management Internal Customers Internal customers are as important as external customers. so he was not enjoying and was always asking for the required software. Internal customer helps change an input to a product which will be used by the external customer. The designer was comfortable working with Adobe photoshop. Basic Questions Asked from Internal Customers: 1. At the end of the day there was no output at all. Ultimately out of disgust he left the organization. but the top management insisted that he should do with corel draw. but if they had hired that guy then he should have been provided with the tool he was comfortable with. Are there any gaps between what you need and what you get: Sometimes a worker may not say what he needs because obvious reasons. There is a hypothetical example of a dot com company. The above picture shows how important a cog is internal customer in the grand design of things. 3. It becomes top management‘s duty to always analyse if there is some gap and should try to fill that gap. Customer Perception of Quality American Society for Quality Survey: Factors Influencing Customer Perception: Performance Features Service 17 .
Total quality Management Warranty Price Reputation Customer Feedback: Should be continually solicited and monitored: Customer Feedback should be continuously solicited as customer preferences keep on changing. Their opinion holds sway over doctors of hinterland. Probably Frooti is the first brand to identify the Indian taste and to make an effort to cater to that taste. ‗health and hygiene‘ but concepts of. A customer who does not complain and switches to another brand is more dangerous than a customer who complains. Purpose of Feedback: Discover Customer Dissatisfaction: The feedback helps to know how satisfied or dissatisfied the customer is. Now people‘s preferences have changed. Identify Customer’s Needs: There is a saying that salesman who discovers a customer need before everyone else is more likely to get the sales. You can always reap the benefits of first mover advantage. This is a way of benchmarking us vis-à-vis others. beauty and healthy skin is thrown in to satisfy the changed customer needs. Compare Performance With Competition: Watching competitor activity is a good learning tool for any organization. The basic USP remains the same. Tools of Customer Feedback: Comment Card: This can have simple open questions so that customer can answer it quickly. It helps them get a word to mouth publicity as well. key opinion makers are made part of the trial. Especially in pharmaceuticals industry. Focus Groups: Focus groups are mostly used in B2B set up. The same logic holds for organizations as well. Whenever planning for a quality goal the organization should prioritize its goals. Let us remember those days when the original red Lifebuoy was selling like hot cake. Customer dissatisfaction can be a big eye opener and help discover what more needs to be done for a product or service. Let us take example of Frooti. Discover Relative Priorities of Quality: Certain parameters of quality are more important than others. The organization has come up with many variations of Lifebuoy. 18 . Customer Questionnaire: Design of questionnaire is of utmost importance to get timely and relevant information. No matter how many drinks with mango flavour has come Frooti remains the numero uno in its segment. Determine Opportunities for Improvement: Customer feedback also helps an organization in determining about opportunities for improvement.
unknowingly may give opinion about a company. quikr. The product needed to be supplied through cold chain upto the vaccination point. e.Total quality Management Toll Free Telephone Numbers Customer Visits Report Cards Social Networking Sites. Now certain companies are having devoted teams to analyse these data. Once the customer places an order Levi‘s gets the jeans stitched and delivered at customer‘s doorstep. For example in a diverse country like India. On other social networking sites. India is hot country so selling dark chocolates has its own issue of logistics management.com: There are certain sites where visitors can share good or bad experience with a product or service.g. Levi‘s gives a facility on its website which enables a potential customer to choose certain fabric. colour and design. like Orkut and Facebook. Communicate The Requirements: Communicating your quality requirements is a way of convincing the front line people so that they will implement everything as per the original plan. These sites give real insight into customer‘s minds. Employee Feedback: Mass Customization: Mass customization is another good tool to know about changed preferences. people share their experiences and sometimes. customers of north India will have different needs compared to those in south India. Write Down The Requirements: A very good example of chalking out requirements of a particular market is shown during recent launch of a dark chocolate brand by Cadbury‘s in India. so customer needs tend to vary as per a market segment. Around 2000 the pharmaceuticals giant Pfizer launched a hepatitis-B vaccine. Listen the complaint Solve the complaint Retain by solving the problem Regain lost customers Service Quality Organization Level Identify Each Market Segment: Each market segment has its own dynamics. All personnel in sales force were properly educated on this issue to ensure proper implementation of cold 19 . Cadbury‘s is supplying these chocolates in insulated boxes to key retailers so that customer can get the right quality of chocolate. How to Use Customer Feedback: Thank for the feedback.
This ensured that the product reached the end user at right temperature to provide desired efficacy. Customer Care Meet Expectations Get the customer’s point of view Deliver what is promised Make the Customer feel valued Respond to all complaints Over Respond to the customer Provide a clean and comfortable customer reception area Communication Trade off between time and personal attention Minimize the number of contact points Provide pleasant. knowledgeable and enthusiastic employees Write documents in customer friendly language Front Line People Hire people who like people Challenge them to develop better methods Give them authority to solve problems Serve them as internal customers Be sure they are adequately trained Recognize and Reward Performance Leadership Lead by example Listen to the front line people 20 . Organize Processes: Every process should be well organized to ensure optimum output and resultant benefit to the customer.Total quality Management chain.
They help in focusing your approach as well. Goals are important as they tell you where to go. Arjuna gives the most perfect answer as he was focusing on the target. 2. to establish processes and transparency in decision-making. 21 ." Ann Marie E. These definitions also talk about motivating people to work in unison to create results." Ken "SKC" Ogbonnia: "effective leadership is the ability to successfully integrate and maximize available resources within the internal and external environment for the attainment of organizational or societal goals. Begin with the end in Mind: ―If you don‘t know where to go then you will reach nowhere‖ goes an old saying. Leadership is about setting and not just reacting to agendas. They are resources. Put First Things First: Because of multitude of tasks and assignments one needs to prioritize.Total quality Management Strive for continuous process improvement Leadership Definition: Leadership has been described as the ―process of social influence in which one person can enlist the aid and support of others in the accomplishment of a common task‖. 3. managing constraints and getting extraordinary results.[Chemers MM 2002] Alan Keith: "Leadership is ultimately about creating a way for people to contribute to making something extraordinary happen. Start a task with set goals. and initiating change that makes for substantial improvement rather than managing change.‖ These three definitions talk about certain common things. Reactive people react as per the situation and react on whims and emotions. identifying problems. McSwain: ―leadership is about capacity: the capacity of leaders to listen and observe. If you are well prepared then you can face a situation or solve a problem more efficiently. utilization of resources. to articulate their own values and visions clearly but not impose them. to use their expertise as a starting point to encourage dialogue between all levels of decision-making. This helps in giving more attention to more important things at hand. Be Proactive: Proactive people think beforehand and are ready to face a situation. A proactive person can plan beforehand for an eventuality. Concepts of Leadership Stephen R Covey: The 7 Habits of Highly Successful People 1. Because of his focused approach Arjuna became one of the best archers of his time. Remember the famous incident from Mahabharata where Guru Dronacharya asks his disciple about what they could see during target practice.
Moreover. Apart from that he should be having sufficient people‘s skills so that he can make pleased customers. Seek first to understand. Another point is training to cope with change. You get an opportunity to understand other‘s perspective. Train the employee: Training is important from two perspectives. but still he comes out from the comfort of his air-conditioned office to feel the pulse of the market. So best way is to find is the middle of the road. Although he has every resource at his command. Sharpen the Saw: Skill building or practice is very important. Authority and responsibility help in fulfilling the social recognition and self-actualization needs of people. by delegating authority you give a sense of importance to people involved. 7. At the end you get a more motivated team of your colleagues. Kishore Biyani.Total quality Management 4. Most of our festivals are a way to celebrate some achievements. no matter how big or small it is. Everybody wants to have an upper hand in life and in business dealings. 6. 5. You get enough time to strategize accordingly. the founder of Future group roams around in the market to interact with customers to learn exact consumer needs. Synergy: The best example of team work can be learnt from a pleasant orchestra or ‗jugalbandi‘ in Indian classical music. then to be understood: First give other people ample time to express themselves. Nobody is perfect and perfection is a thing which can never be achieved in one‘s lifetime. Management by wandering around: Recently there was an article in The Times of India about how Mr. Be visible and accessible 6. Role of Senior Management 1. 5. First issue is of imparting the basic skill to carry out a task. The other person gets enough opportunity to say what he wants to say. Think win-win: Think about mutual benefits rather than your own benefit alone. Manage change 22 . 4. The person involved in making sales pitch should be well versed with features and benefits of the concerned product. one person cannot do all the work which is needed. Delegate authority and responsibility: No matter how talented someone is. 3. Celebration is a way of recognizing the efforts and outcomes of people. it always pays to practice as much as you can. 2. Especially in Indian classical music you will observe how maestros bury their egos and come out with astounding performances. or the best marketing research agencies. he can hire the best personnel. Celebrate the success: Success should always be celebrated. Facilitate two way communication 7. Let us take example of the Sales force. it should go out and meet people. This will help on many fronts. But this is practically not possible. This will help build the personal relationship which in turn will help achieve better productivity. Additionally. Even when the senior management has to deal with internal customers.
customer satisfaction report tells if a particular quality programme is really useless or just a window dressing.Total quality Management Quality Council Quality council should be made up of the CEO and heads of the relevant functional departments. 2. Progress on meeting goals: Gap analysis helps to chalk out further plans to fill the gap in target Vs performance. Quality statement works as guideline to carry out the quality objective set by the mission and vision statements. Establish cross-functional projects and work groups and monitor their progress 8. Develop core values. Determine and monitor the cost of poor quality 5. 23 . vision statement. Duties of Quality Council 1. Benchmarking report: Benchmarking is a good way to learn from the best practices. Quality Statements It should be prepared by senior management personnel. the ultimate aim should be to satisfy customers. Customer satisfaction report: Whatever a company does. If some members are doing exceptionally good then others should try to emulate their ways of working towards a particular assignment. Create total education and training plan 4. Identify processes that improve quality 7. Determine performance measures 6. So. Recognition Celebration: Celebration has been an integral part of human civilization since time immemorial. New Project teams: The meeting can also be about announcing some new projects and who will be in the team to handle that project. mission statement and quality policy statement. Develop long term and short term quality plan and objective 3. They have morale boosting effect on everyone. Chalk out new reward and recognition system Meeting Agenda: Progress Report on team: The progress report gives a handy check to assess where the team is compared to where it wanted to reach in terms of performance.
With rapid change in technology SONY has changed its product portfolio. Predict the future: If the top management can foresee the future then it helps enable the organization to prepare for future changes. so every type of customer should be treated as per his/her profile. Create and publish the aims and purposes of the organization: Once all the goals have been finalized then it should be properly documented and published so that it can be communicated to people down the line. 4. 5. 2. Let us take example of SONY. It can give a clue about whether the organization should increase or decrease capacity for a particular product. Deming 1.Total quality Management Strategic Planning 1. systems should be continuously improved to gain optimum efficiency. 4. 2. Alignment (with vision and mission): Whatever quality goals an organization is chalking out it should not lose focus from the long term vision and mission of the organization. Implementation: Once every plan about goals is ready then the next step should be to plan about the methodologies of implementation. people‘s education is important to make them amenable towards change. Otherwise it would be viewed as another method to cross check them and put a vigil on them. Learn the new philosophy: Learning the new philosophy is important as it is required for paradigm change. so it is now MP3 player instead of Walkman which we get from SONY. 5. So. 3. Communication is the only means to educate people about a new paradigm. You cannot sell a premium product to a price conscious customer. 24 . Customer needs: Before starting any long term plan to attain an objective assessment of customer needs is very important. So. 7. Improve constantly and forever the system: Any system takes time to evolve and can never be a perfect system. 6. Gap analysis: Gap analysis is about the difference between what needs to be done and what are we currently doing. Understand the purpose of inspection: Once frontline people are properly educated about the purpose of inspection they will accept it as an integral part. Most of the people show resistance to change. Stop awarding business based on price alone: Supplier should be selected on other criteria apart from price. Customer positioning: No two individual is same. 3. Closing the gap: If there are gaps then long term plans should be about how to fill that gap. Every activity of an organization should be directed towards satisfying the customer needs.
Plan about marketability of the products. Moreover.Total quality Management 6. 5. Groups and Staff areas: The whole is always greater than the some of its parts. 12. no kind of exhortation should be used to get the desired results. Establish training programmes. So. Create Trust and Create a climate for innovation: People should never get an impression that the new programme is going to be a tool to keep vigil on them. Teach and institute leadership: Every employee should be groomed as a leader. Lack of Management Commitment 25 . So. 10. 4. Leadership skills help people to solve problems on their own. Optimize the efforts of teams. 8. Eliminate numerical quota and eliminate management by objective. 7. It‘s a two way relationship and if you trust your people then they will trust you in turn. Establish statistical control techniques. They should be taken into confidence by showing trust in them. team‘s output should be always be optimized to have better results. Eliminate exhortations for the work force: Pressure at the workplace can create havoc for performance. Take into account customer‘s wants 3. charts and sampling plans. Take action to accomplish the transformation Quality Planning 1. Institute training: Training is an important tool to impart new skills and to augment older skills. Establish the relative importance of the quality characteristics and specifications. The boss should work like a co-worker. Whenever an organization is trying to chart a new quality goal then everybody should be properly trained to have good understanding of the new way of doing things. 7. Set quality objectives and targets 2. 9. Encourage education and self improvement for everyone 14. Remove barriers that rob people of pride of workmanship 13. 11. 6. by instilling a sense of leadership the organization can instill a sense of pride towards work among individuals. 8. Barriers to TQM Implementation 1. Carry out pre-production process capability or quality deliverability studies. Drive out fear. Communicate to the production line people and vendors supplying the raw materials.
Lack of Access to Data 9. Isolated Individuals and departments 7. 26 . an approach that is accelerating among many firms that have adopted the total quality management (TQM) philosophy. Lack of Continuous Training 5.Total quality Management 2. Inadequate Empowerment and Teamwork 11. Improper Planning 4. Inability to Change Culture 3. Ineffective Measurement Techniques 8. products. where all stage tricks and hurried realignments are visible. In Joseph Juran‘s 1964 book Managerial Breakthrough. Failure to Continually Improve What is benchmarking? Benchmarking is a way to go backstage and watch another company‘s performance from the wings. he asked the question: What is that organizations do that gets result so much better than ours? The answer to this question opens door to benchmarking. Inadequate Attention to External & Internal Customers 10. processes with those of the world leaders and best-in-class organizations. The Essence of Benchmarking The essence of benchmarking is the continuous process of comparing a company‘s strategy. Incompatible Organizational Structure 6.
If variation that is non-conformance to the quality standards occurs. The term ―benchmarking.Total quality Management The purpose is to learn how the achieved excellence. If a customer is happy with a product or a service it has hired or purchase they will pay their bills 27 . how much and how often they will buy and how their post-purchase satisfaction will be ensured. An external customer may be an individual or an enterprise that hires or purchases the product(s) or service(s) from another person or business in exchange of money. The best example is Toyota Motor Corporation‘s following the footsteps of Ford Motor Corporation albeit with the adaptation of the Ford‘s Just-in-case system into Toyota‘s Just-intime system. Internal customers are within the company-the colleagues working together for delivering a service or product for the external customer. when W. Define customer satisfaction? Customer satisfaction is not an objective statistics but more of a feeling or attitude.The justification lies partly in the question: ―Why reinvent the wheel if I can learn from someone who has already done it?‖ However. The Evolution of Benchmarking The method may have evolved in the early 1950s. Edward Deming taught the Japanese the idea of quality control. Therefore it important to keep a strong check on this aspect. Robert Camp. it will ultimately affect the quality of the end product or service. all the customer complaints are analogous to process variation. a business must try to find out what people want. . What is the relation of a process vs its customer? The process is defined as a set of interconnected activities that result in a product or a service to be offered to a customer. and then setting out to match and even surpass it. remain restricted to the external customers here. external and internal. We will. But to capture customers. however. Ford and Motorola became the pioneers of benchmarking in USA.‖ however. The result of one activity (the process) directly affects the other entity (the customer). was not coined by that time. Benchmarking is not a panacea that can replace all other quality efforts or management processes. Without them. their relation is of critical importance. defines it: ―Benchmarking is the search for industry best practices that lead to superior performance Definition of Customer There are two distinct types of customers i.e. Thus. a business cannot exist. the logistics engineer who initiated Xerox‘s benchmarking program and who is generally regarded as the guru of the benchmarking movement. For example. Other American management innovations followed. One of the most important factors for the success of an enterprise is its customers. The term ―benchmarking‖ emerged when the idea took ground in US during 1980s when Xerox.
28 .Total quality Management promptly. which greatly improves cash flow-the lifeblood of any organization. Customer define quality in terms of their overall experience with the company Service quality Is the customer‘s perception of how well a service meets or exceeds their expectations [Customer satisfaction]= [quality of the product] + [service quality] Customer retention: Employee satisfaction External service quality Customer satisfaction Internal service quality Employee retention Customer retention Profit The PDCA Cycle is a checklist of the four stages which you must go through to get from `problem-faced' to `problem solved'. and buy more frequently. How would you define quality with respect to customer satisfaction process? Many companies approach customer satisfaction in a narrow way by confining quality considerations to the product alone. such as packaging. Whereas. buy more. service connected with the product are frequently over looked. Customers that are satisfied will increase in number. and they are carried out in the cycle illustrated below. timely and accurate shipping and ability to meet deadline matters. The four stages are Plan-Do-CheckAct.
or those who may simply benefit from what you have learned (you may. Also. continuously Check nominated key activities (regardless of any experimentation going on) to ensure that you know what the quality of the output is at all times to identify any new problems when they crop up. already have involved these people in the Do or trial stage). or customers) affected by the changes and whose cooperation you need to implement them on a larger scale.Total quality Management The concept of the PDCA Cycle was originally developed by Walter Shewhart. the pioneering statistician who developed statistical process control in the Bell Laboratories in the US during the 1930's. and come up with ideas for solving these problems. skip the Act stage and go back to the Plan stage to come up with some new ideas for solving the problem and go through the cycle again. W. of course. Check whether the small scale or experimental changes are achieving the desired result or not. Use the PDCA Cycle to coordinate your continuous improvement efforts. Act to implement changes on a larger scale if the experiment is successful. and must move on again to careful planning in a continuous cycle. Also use the PDCA Cycle diagram in team meetings to take stock of what stage improvement initiatives are at. It both emphasises and demonstrates that improvement programs must start with careful planning. It is often referred to as `the Shewhart Cycle'. and to choose the appropriate tools to see each stage through to successful completion. Do changes designed to solve the problems on a small or experimental scale first. and is consequently known by many as `the Deming Wheel'. You have now completed the cycle to arrive at `problem solved'. Plan-Do-Check-Act Here is what you do for each stage of the Cycle: Plan to improve your operations first by finding out what things are going wrong (that is identify the problems faced). This means making the changes a routine part of your activity. Plan-Do-Check-Act 29 . How to use the PDCA Cycle diagram to choose the appropriate tool is explained in detail in the `How to use it' section below. This minimises disruption to routine activity while testing whether the changes will work or not. suppliers. Edwards Deming. If the experiment was not successful. Go back to the Plan stage to identify the next `problem faced'. must result in effective action. Also Act to involve other persons (other departments. It was taken up and promoted very effectively from the 1950s on by the famous Quality Management authority.
This classification of tools into sections of the PDCA Cycle is not meant to be strictly applied. or continuous improvement.Act On The Result And Find What Worked And What Did Not Work As Per Plan STEP 1 STEP 2 STEP3 STEP 4 STEP 5 30 :Identify improvement opportunity : Evaluate the current process : Analyze : Take Action : Study Result .Total quality Management describes the overall stages of improvement activity. but how is each stage carried out? This is where other specific quality management. The diagram below lists the tools and techniques which can be used to complete each stage of the PDCA Cycle. P(PLAN ) D (DO) S(STUDY) A(ACT) Determine What Is To Be Done Carry Out The Activities As Planned Study The Result Carefully Now As The Result Is Know . tools and techniques come into play. but it is a useful prompt to help you choose what to do at each critical stage of your improvement efforts.
Both the equipment/tools and materials you use. Cleaning up not only makes things look nice. Outline areas on the floor to identify work areas. Materials. finished product areas. cabinets and shelves should be properly labeled. books and catalogs. Keep only what is necessary. equipment and supplies that are not frequently used should be moved to a separate. Items that are not used should be discarded. arrange and identify everything in a work area for the most efficient and effective retrieval and return to its proper place.organize. Put shadows on tool boards. storage areas. 31 . Commonly used tools should be readily available. It improves safety. Obsolete fixtures. need to be clearly identified and labeled. Clean and paint floors to make it easier to spot dirt. The objective of this step is to clean up the work area. it makes it easier to spot maintenance needs such as an oil leak. It removes tools. In an office. etc. as well as their proper storage locations. identify and arrange everything in a work area Shine . someday. Labels the shelves and books so that they are easy to identify and return to their proper place. waste materials and dropped parts and tools. molds. movement lanes.the first step in making things cleaned up and organized Set In Order . This means there are two important parts to Systematic Organization . It eliminates clutter and confusion.regular cleaning and maintenance Standardize .simplify and standardize Sustain -maintaining what has been accomplished "Sorting" means to sort through everything in each work area. It makes it easier to find the things you need and frees up additional space. common storage area.make it easy to maintain . making it easy to quickly see where each tool belongs. provide bookshelves for frequently used manuals. Storage areas. equipment. supplies and waste that interferes with getting the job Set In Order (Organize) This is step 2 in a Five S program: Step two is to organize. The objective in this step is: A place for everything and everything in it's place. Don't keep things around just because they might be used. with everything properly identified and labeled. jigs. Sorting is the first step in making a work area tidy. The second part is where good labeling and identification practices are important. waste and other unused items and materials are disposed of.Total quality Management STEP 6 STEP 7 : Standardize solution : Plan for the future Use the following links to learn more about 5 S Sort . scrap material. As a result of the sorting process you will eliminate (or repair) broken equipment and tools. tools.putting everything in its proper place and setting up a system so that it is easy to return each item to its proper place.
Problems can be identified and fixed when they are small. The good practices developed in steps 1 through 3 should be standardized and made easy to accomplish. signs. Piping. frequent basis. and remind them about the standards is to use labels. Use standards to help people work into new habits that are a part of your Five S program. Any easy way to make people aware of. Shine (Regular Cleaning) Step Three: Once you have everything. "shining" things up. When done on a regular. unplanned outages or long . posters and banners. This could also be thought of as inspecting. from each individual work area up to your entire facility. storage areas. control panels. equipment misalignment. they could lead to equipment failure. doorways. Regular. equipment and supplies you work with. usually daily. valves. Regular cleaning and inspection makes it easy to spot lubricant leaks. you need to keep it that way. Your overall facility should also be systematically organized.unproductive . breakage.Total quality Management Information about label and sign making equipment. or to go along with our third S. That's what everyone is familiar with. and in the long run will most likely save time. It's easy to slip back into what you've been doing for years. including the proper placement of easy-to-understand labels and signs. Systematic organization not only refers to individual work areas.waits while new supplies are delivered. major equipment. offices and files should all be clearly identified. update and modify the standards to make the process simpler and easier. It feels comfortable. Develop a work structure that will support the new practices and make them into habits. As you learn more. sorted (cleaned up) and organized. Standardize (Simplify) Step Four: To ensure that the first three steps in your Five S program continue to be effective. cleaning and inspecting generally will not take a lot of time. 32 . cleaning is needed or everything will return to the way it was. the fourth step is to simplify and standardize. While cleaning it's easy to also inspect the machines. tools. minor equipment. If these minor problems are not addressed while small. One of the hardest steps is avoiding old work habits. This requires regular cleaning. missing tools and low levels of supplies. instruments.
and it is easy to slip back into doing things the old. You can create your own custom 5S posters. Continue to educate people about maintaining standards. and adjustments to accommodate those changes. new products. When there are changes . comfortable way. and for maintain standards. Changing work habits can be difficult. allowing you to communicate the specific information that needs to be communicated at each location. new work rules . make any needed changes in the standards and provide training that addresses those changes. and ask people to clean and inspect their areas every day — and then have everything continue to happen without any follow-up. Don't expect that you can clean up. Use custom 5S posters to remind employees of the proper procedures.that will effect your Five S program. is to use 5s posters and signs. and of the benefits that come from following a 5s plan.Total quality Management Sustain Step Five: The final step is to continue training and maintaining the standards. 33 . get things organized and labeled. Have a formal system for monitoring the results of your Five S program.such as new equipment. Using 5s Posters and Signs: A good way to continue educating employees.
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