Chapter one

What is Quality?

Quality involves meeting and exceeding

customer expectations.
Quality applies to products, services,
people, environments , and processes.
Quality is an ever-changing state (i.e., what
is considered quality today may not be
good enough to be considered quality
tomorrow).

The Total Quality Approach (1)



Total quality is an approach to doing

business that attempts to maximize
the competitiveness of an
organization through the continual
improvement of the quality of its
products, services, people,
processes and environments.

Characteristics of the Total

Quality (1/6)


Strategically based:
Total quality organizations have a
comprehensive strategic plan that
contain:


Vision (What is your business , Where do you want

your business to go, How are you going to get there?
Mission (What business are you going to conduct, What
are you going to be good at, What is your market going
to be?
Broad objective & activities

Provides sustainable competitive

advantage in the marketplace.

Characteristics of the Total

Quality (2/6)


Customer focus:

In total quality the customer is the driver of the

performance , Under quality leadership an
organizational goal is to meet and exceed
customers needs.


Customer service

TQM companies live by the following

commandments of customer service:
 The customer is king.
 The customer is always right
 Never argue with a customer, you may win the
argument but lose the customer.

Characteristics of the Total

Quality (3/6)


Obsession with Quality

As customers define quality, the

organisation must then become
obsessed with meeting or exceeding
this definition.
 How can we do this better.
 Good enough is never good
enough.

Characteristics of the Total

Quality (4/6)



Scientific approach:
Hard data are used in establishing
benchmarks, monitoring performance,
and making improvements.
Decision making and problem solving
is based on scientific principals

Characteristics of the Total

Quality (5/6)


Long-term Commitment: Quality improvement is

NOT another management innovation or (fad) but
a whole NEW way of doing business that requires
an entirely new corporate culture.
Teamwork: Internal competitiveness vs. External
competitiveness
Continual Process Improvement: Continually
improve systems (environments) where products
are developed and services are delivered by
people.

Characteristics of the Total

Quality (6/6)


Education and Training

Best way to improve people on a continual basis.

Train hardworking people How to work smart?

Freedom through Control

Involving and empowering employees

Well-planned and carried-out controls (not loss of

management control).

Japanese Strategies

The upper managers personally take

charge of leading the revolution.
All levels and functions under go training
in managing for quality.
Quality improvement should be taken at
a continuing, revolutionary pace.
The workforce is enlisted in quality
improvement through the Quality Control
(QC) concept.

Two Views of Quality (1)

Traditional View


Process performance =
defective parts per hundred
produced.
Focused on after-the-fact
inspections of products.
Employees are passive workers
who followed orders.
One improvement per year per
employee

Total Quality View



Focus on short term profits



Process performance =
defective parts per million
produced.
Continuous improvement of
products, processes and people.
Employees are empowered to
think and make
recommendations.
At least 10 improvements per
employee per year
Focus on long term profits and
continual improvement.

Two Views of Quality (2)

Traditional View


Productivity versus
quality: Productivity and
quality are always in
conflict. You cannot have
both
How quality is defined:
Meeting customer
specifications.

Total Quality View



Lasting productivity gains

are made only as a result
of quality improvements.
Satisfying customer
needs and exceeding
customer expectations

Two Views of Quality (3)

Traditional View


Responsibility for quality :

Employees are blamed
for quality.
Supplier relationships:
Supplier relationships are
short term and cost
driven.

Total Quality View



80% quality problems are

managements fault.
Supplier relationships are
long term and quality
oriented.

The Rationale for Total Quality



Organizations needs to compete in the

global marketplace.
Countries that are competing
successfully in the global marketplace
are seeing their quality of living
improve. Those that cannot are seeing
theirs decline.

Part Two


Total Quality Pioneers (Deming & Juran)



Deming Fourteen Points

The Deming Cycle

The Seven Deadly Diseases.

Jurans Three Basic Steps to Progress.

The Juran Trilogy

Total Quality Pioneers



Total quality is not just one individual

concept. It is number or related
concepts pulled together to create a
comprehensive approach to doing
business.
Many people contributed to the
developments of the TQ:


W. Edward Deming is best known for his

Fourteen Points, the Deming Cycle, and the
Seven Deadly Diseases.
Joseph M. Juran is best known for Jurans
Three Basic Steps to Progress.

Deming Cycle 1/3

The Deming Cycle 2/3

Deming cycle was developed to
link the production of a
product with customer needs
and focus the recourses of
all departments

The Deming Cycle 3/3

Plan: Conduct consumer research and use
it in planning the product.
Do: Produce the product.
Check: Check the product to make sure it
was produced in accordance with the
plan.
Act: Market the product.
Analyze: Analyze how the product is
received in the marketplace in terms of
quality, cost, and other criteria.

Deming Fourteen Points

Another Deming contribution, the
Fourteen Points, summarized his
views on what a company must do to
effect a positive transition from
business as usual to world-class
quality.

Deming Fourteen Points (continue)

1. Create consistency of purpose toward the
improvement of products and services in
order to become competitive, stay in
business, and provide jobs.
2. Adopt the new philosophy.
Management must recognize this fact
and awaken to the challenge, learn
their responsibilities, and take on
leadership or change.

Deming Fourteen Points (continue)

3. Stop depending on inspection to achieve
quality. Build quality from the start.
4. Stop rewarding contracts on the basis of
low bids.
5. Improve continuously and forever the
system of production and service to
improve quality and productivity, and
thus constantly reduce costs.

Deming Fourteen Points (continue)

6. Institute training on the job.
7. Institute leadership. The purpose of
leadership should be to help people
and technology work better.
8. Drive out fear so that everyone may
work effectively.

Deming Fourteen Points (continue)

9. Break down barriers between
departments so that people can work
as a team.
10. Eliminate slogans and targets for
the workforce. They create adversarial
relationships "I say it; you do it."
11. Eliminate quotas and management
by objectives (MBOs that measure
outputs, rather than impact, might
actually cause outputs to decrease.)

Deming Fourteen Points (continue)

12. Remove barriers that rob
employees of their pride of
workmanship.
13. Institute programs of education
and self-improvement.
14. Make everyone responsible for the
transformation and put everyone to
work on it.

Deming's Seven Deadly Diseases

Deming's Seven Deadly Diseases
summarizes the factors that he
believes can inhibit the
transformation that the Fourteen
Points can bring about.

Deming's Seven Deadly

Diseases (continue)
1. Lack of constancy of purpose to plan
products and services that have a market
sufficient to keep the company in business
and provide jobs
2. Emphasis on short-term profit; shortterm thinking that is driven by a fear of
unfriendly takeover attempts and pressure
from bankers and shareholders to produce
dividends

Deming's Seven Deadly

Diseases (continue)
3. Personal review systems for
managers and management by
objectives (MBO) without providing
methods or resources to accomplish
objectives
4. Job-hopping by managers

Deming's Seven Deadly

Diseases (continue)
5.Using only visible data and
information in decision making with
little or no consideration give to
what is not known or cannot be
known
6. Excessive medical costs
7. Excessive costs of liability driven up
by lawyers who work on contingency
fees

Jurans Three Basic Steps to

Progress


The Three Basic Steps to Progress

are broad steps that Juran feels
companies must take if they are to
achieve world-class quality.

Jurans Three Basic Steps to

Progress
1. Achieve structured improvements on
a continual basis with dedication and
a sense of urgency.
2. Establish an extensive training
program.
3. Establish commitment and leadership
on the part of higher management.

The Juran Trilogy

Quality Planning
1.

2.
3.

4.

Determine who the customers are

Identify customers needs.
Develop products with features that
respond to customer needs.
Develop systems and processes that
allow the organization to produce
these features.

Quality Control
1.
2.
3.

Assess actual quality performance.

Compare performance with goals.
Act on differences between
performance and goals

Quality Improvement
1.

2.

3.

Develop the infrastructure necessary to

make annual quality improvements.
Identify specific areas in need of
improvement, and implement
improvement projects.
Establish a project team with
responsibility for completing each
improvement project.

Part Three



Keys to Total Quality Success

The future of Quality Management

Keys to Total Quality

Success


Organisations that succeed never

approach total quality as just another
management innovation, or as a
quick fix
Organisations needs to approach
Total Quality as new way of doing
business

The common errors organisations make

when implementing total quality(1/5)


Senior management delegation

and poor leadership: some
organizations attempt to start a quality
initiative by delegating responsibility to
hired expert rather than applying the
leadership necessary to get everyone
involved.

The common errors organisations

make when implementing total
quality(2/5)


Team Mania: Ultimately teams should

be established, and all employees should
be involved in them, how ever working in
teams is an approach that must be
learned, in this case organizations must
undergo a CULTURE CHANGE before
team work can succeed

The common errors organisations

make when implementing total
quality(3/5)


The deployment process: Some

organizations develop quality
initiatives without developing plans
for integrating them into all
elements of the organization
(operations, budgeting, marketing)

The common errors organisations make

when implementing total quality(4/5)


A narrow approach: some

organizations are determined to take the
Deming approach or Juran approach, or
other approaches. And use only the
principles prescribed in them. So the
experts encourage organizations to tailor
quality programs to their individual
needs

The common errors organisations make

when implementing total quality(5/5)


Confusion about the differences among

education, awareness, inspiration, and
skill building:
Clemmar: you can send people to five days

of training in group dynamics, inspire them ,

teach them managerial styles, and show
them all sorts of grids and analysis, but that
doesn't mean youve built any skills.

The future of Quality

Management (1/4)


Demanding global customers:

Todays customers share two
common characteristics A: they are
part of regional trade alliances such
as ( Americans, Europe, and Asia), B:
they expect both high quality and
added value

The future of Quality

Management (2/4)


Shifting customer expectations:

customers want an excellent product or
service from an organization that also
provides accurate billing, good
delivery, and after purchase
support

The future of Quality

Management (3/4)


Opposing economic pressures:

the global marketplace are pushing
organizations to continually
improve quality in the same
time reducing the prices of its
goods and services

The future of Quality

Management (4/4)


New approaches to management:

in the global market place companies
learned to manage budgets and lead
people, in the same time making
employees understand the
fundamental changes as they are
part of it.

Quality Management
Characteristics for the Future (1/2)


A total commitment to continually

increasing value for customers, investors,
and employees.
A firm understanding that quality is defined
by customers, not the company.
A commitment to leading people with a bias
for continuous improvement and
communication.

Quality Management
Characteristics for the Future (2/2)


Four objectives all the time that

sustained growth:
(a) customer satisfaction,
(b) cost leaderships,
(c) effective human resources,
(d) integration with the supplier base