A model for TQM (eye based)

INTRODUCTION

The 1990's is the decade of Globalisation. In order for companies to be competitive in this environment they
have seen the imperative need for Quality. However through the decades leading to the 90's there have been
many "gurus" who have explicitly underlined the need for Total Quality Management Systems in companies, but
due to many factors these ideas have either gone unheeded, or been buzz word for a short time. It is possible that
Total Quality Management (TQM), is once again a buzz word and a marketing tool, but nevertheless it is a tool
that is being extensively used in the 90's to help companies gain and maintain a competitive edge over their
rivals.
If the ideas and theories of such gurus as Deming, Dale, Oakland, Peters, and Hammond; to mention a few; are
compared and studied one can see that while using different terminology, their ideas are remarkably similar. It
would be unwise to change a company policy each time a new idea appears. However, in many instances this has
been the case. Not only does this adaptation of the "new flavour of the month" lead to confusion, but it can also
stilt a company's growth and cause them to lose their competitive edge in the market.
The purpose of this assignment is to combine the best ideas of these theories and develop them into a functional
and user friendly model of TQM. This model developed by Barnard, Bosman, Manu, Martins, Rosin,
Strotoudakis and Thanke is called: "The Eye on the Future." It is our belief that companies need to be aggressive
about the quality they build into their products and services. It is short sighted to shy away from quality and
behave as if it is not a necessary commodity in strategic business. If a company persists in this type of behaviour
it will not be a profitable organisation in the next millennium.
In the human body, the eye is the part that steers the body through its' course of life. The perfect eye has 20/20
vision. If the eye does not function to its maximum potential; the individual in whose body it resides could resort
to contact lenses or glasses to help improve the eyes' performance. Unfortunately an individual can be born blind
or develop Glaucoma in the course of their life and thereby affect their performance. Likewise if an organisation
does not adhere to the principles laid out in The Eye on the Future model, they could slowly develop "Business
Glaucoma" which results in blindness and a crippled business. The principles laid out in the Eye on the Future
model include Vision, Training, Strategy, Continuos Improvement, Leadership, Commitment, Trust, Systems and
Quality Tools with the focal point being the Employees, Suppliers and Customers. If these principles are adhered
to and effectively implemented in an organisation, they will help the organisation to develop a meaningful vision
for their current and future strategic business planning.

CHAPTER 1: SCLERA
1.1. VISION
Any company without vision is lost. A comprehensive vision helps the company to set their purpose and course
in the business arena. Without a vision the organisation will not be able to foster growth, will remain stagnant or
wander around aimlessly, while their competition is purposefully striding ahead.
The purpose of a vision is to provide direction to the organisation. It must be coupled with a mission statement
that is clearly and easily understood by all staff members and external customers. The vision should have a
unifying effect in the company where all the people are involved in defining and setting the vision. Not only will
this provide ownership of the vision to the people, but will foster a sense of responsibility in each individual in
the organisation.
In many cases the vision is set up by top management and not clearly communicated to other staff members.
However if each individual has the opportunity to contribute to formulating the vision a cascade effect will
occur. Invariably when a company is composing a new vision they have perceived the need for change. If the
vision does not give rise to changes in the organisation then it has not accomplished its' purpose. We have
already stated some purposes for a vision, but it is imperative to remember that the vision needs to be a facilitator
of change in the organisation.

By creating a new vision and environment for change, communication and commitment is fostered. It is
pointless to have developed a new vision where these three aspects are not present. All members of the
organisation must realise that a new vision will force change in the organisation and if this has not occurred then
it must be aggressively sought after. The organisation will have reached the stage where the lessons learnt in the
past must be remembered, but passed successes must be exceeded. If the organisation continues to live in the
past it will not survive in the future.
The vision and mission statements should be concise, shared and understood by all employees. They should be
developed, displayed and communicated. It is important that everyone in the organisation can identify with the
vision and mission statements since this will help to unite and focus employees on where the organisation is
heading.
In order for the vision to be successful it must be customer, supplier and employee driven. The vision must be
aligned with corporate strategies and goals and there must be a clear understanding of the business environment
they are competing in.

1.2. MISSION
The mission will translate the abstractness of the vision into tangible goals that will move the organisation
forward and make it perform to its' optimum. It should not be limited by the constraints of strategic analysis, and
should be pro-active, not re-active. Strategy is subservient to mission, the strategic analysis being done after, not
during, the mission setting process.

1.3. STRATEGY
The strategic placement of the organisation must flow from the vision and mission that the organisation wants to
achieve. The strategy is initiated and developed by top management with the input of each member in the
organisation. Thus the strategy will be accessible to the people working in the organisation and will ensure that;
through proper communication; it is understood and maintained throughout the whole company.
Remembering that with a shift in strategy also comes change. Managing this change process is as important as
the TQM process itself. Only if all the elements outlined in this model work together, will a state of TQM be
achieved.
TQM should be incorporated in the overall business strategy of the organisation which should include all
financial, marketing, production, human resources, servicing etc. strategies.
A clear long-term strategy for the process of quality improvement should be formulated and integrated with other
key business strategies, departmental policies and objectives. The strategy must then be developed into a series
of quality improvement plans relating to areas which have been identified as requiring improvement, (key
success factors) and methods of monitoring and assessment developed.

CHAPTER 2: THE IRIS

In this chapter it is important to remember that none of the following points are exclusive to each other, or more
important than the other. They all work concurrently in the Eye on Tomorrow model.

2.1. LEADERSHIP
Management as leaders should act as the catalyst to the Eye on the Future model. Leadership needs to be by
example. In order to achieve the vision, the leaders need to align the organisation to common goals,
communicate the need for shared values and foster an atmosphere of trust.
It should be remembered that each department has those members present who are not appointed leaders, but
stand out through peer respect and emerge as leaders. Management should not overlook these individuals when
in the process of leading the organisation.

Leadership styles should also correlate with the organisation objectives. Leaders need to be proactive people
who command respect and don't demand respect.

2.2. TRUST
(The FJCM Principle)
According to the Oxford dictionary trust is a:
1. Firm belief in honesty, veracity, justice, strength, etc. of a person or thing
2. Person, thing confided in
3. Reliance on truth of statement, etc.
4. Commercial credit
5. Responsibility arising from confidence reposed in one
6. Confidence reposed in a person by making him nominal owner of property to be used for another's' benefit;
property so held, legal relation between holder and property so held
7. Thing, person committed to ones care, resulting obligation
8. Organised association of several companies for purpose of defeating competition, etc.
9. Deed by debtor conveying property to trustee for payment of his debts.
10. Place trust in, rely on the character or behaviour of
11. Consign (thing to person, etc.), place or leave (thing with person etc. in place etc.), without misgiving
12. Allow credit to (customer for goods)
13. Entertain an earnest or (rarely) confident hope
14. Place reliance in.
As seen there are quite a large amount of principles that can be associated with the word TRUST. If one carefully
examines each of these in terms of human element and TQM, one wonders why this is the missing component in
all TQM models.
Let us examine a few examples where trust is a key element of TQM:
2.2.1. Employers expect of their employees to perform the various tasks assigned to them during the span of their
careers in order to achieve the goals of the company. On the other hand employees expect to be paid on time.
2.2.2. By the same token companies want to purchase from suppliers who deliver on time, and the suppliers need
to be paid on time.
2.2.3. Companies and individuals expect that goods purchased from a supplier meet or exceed a certain standard
of quality.
2.2.4. Employees need to be trusted by their employers and vice versa. Companies sell goods to customers on
credit. They need to be sure that the goods will be paid for.

2.2.5. Employers place responsibility on the shoulders of their employees for their own actions. Employees need
to accept that responsibility.
2.2.6. Employers must have confidence in their employees to perform their daily tasks.
2.2.7. Employees must have confidence in their employers to take good care of the business and to ensure that
their working career at the company is well taken care of.
2.2.8. Employees put themselves in the care of their employers. Employers must entrust their business to their
employees.
2.2.9. Customers put themselves in the care of their suppliers.
2.2.10.Companies perform strategy sessions, sometimes in alliance with other companies to defeat opposition
companies or to gain more market share.
2.2.11.Employees, employers, suppliers and customers alike all have to rely on integrity of character of people.
These are but a few examples where trust is a key issue in TQM and our daily lives. It applies to all the elements
of The Eye on the Future model. "Without this element any improvement initiative and thus TQM would fail,
and so often it does because the TRUST principle is overlooked." Martins (1997)

2.3. Systems
The purpose of control systems is to increase the probability that an organisation will meet its organisational
goals and standards.
There are six major control systems usually found in an organisation, namely:
Financial Control
Budgetary Control
Quality Control
Inventory Control
Operations Management
Information Systems
Control systems tend to differ in the degree that they are used by different management levels e.g. Financial
control systems are primarily used by top management because they relate to the overall financial health of the
organisation. Middle management makes more use of budgetary controls, since it is typically their job to ensure
that various budgets are met.
Major control systems also lean toward different emphases on timing. Financial control systems tend to
constitute feedback control because data is usually evaluated at the end of a particular period. Budgetary control
as well as Quality Control can be thought of as concurrent control since checks are often made during the actual
production process to be sure that standards are being met. Inventory Control can be thought of as feed forward
control because it is geared toward ensuring that materials will be available when needed.
A fully documented quality system should ensure two important requirements:
2.3.1. The customers requirements - confidence in the ability of the organisation to deliver the required product
or service consistently.

2.3.2. The organisation's requirements - both internally and externally, and at an optimum cost, with efficient
utilisation of the resources available.
The quality system serves as a communication tool, as a training aid and as a powerful aligning force within the
organisation. A quality system may be defined then, as an assembly of parts such as organisational structure,
responsibilities, procedures, processes and resources for implementing total quality management.
The quality system should apply to and interact with all activities of the organisation. It begins with the
identification of requirements and ends with their satisfaction, at every transaction interface.
The quality system must be a practical working document. Look for a document that is well fingered in use. A
useful guide in the operation of any process is:
1. No process without data collection
2. No data collection without analysis
3. No analysis without decisions
4. No decisions without actions (which can include doing nothing)
This discipline is built into any good quality system primarily through the audit and review systems. The
overriding requirement is that the systems must reflect the established practices of the organisation, improved
where necessary to bring them into line with current and future requirements.
In implementing a quality system the established national standards such as the ISO series can serve as a useful
guide and framework.

2.4. CONTINUOUS IMPROVEMENT

As mentioned in our introduction that in today's era, for companies to expand their global market they have to be
radically competitive. Therefore a systematic, functional, quality model like TQM should be genuinely explored
and exploited.
Our Eye on the Future model has already discussed most of the steps that should be followed to implement
TQM. These include topics like commitment, and leadership, training, teamwork and trust, systems and tools,
continuous improvements, etc.
Continuous improvements are probably the most powerful concept to guide management through the
achievements of TQM Continuous improvements are based on systematic, incremental and habitual
improvements of processes rather than on breakthroughs and innovative advances. The process concentrates on
elimination of waste and non-value-added activities through collective and continuous involvement of all
employees.
This systematic approach to quality management requires the following components:
Planning the processes and inputs
Providing inputs
Operating the processes
Evaluating the outputs
Examining the performances of the processes

Modifying the processes and their inputs.

The continuous improvement process must be firmly tied to a continuous assessment of customer needs and flow
of ideas on how to make improvements, reduce variation and generate excellent customer satisfaction. It also
needs a high level of commitment and a sense of personal responsibility from all that are involved in the
processes. The underlying fact about continuous improvement is that it should be done to create a climate - a
way of life - that permeates and survives in the whole organisation. There are 3 basic principles of never ending
improvement, namely: focusing on the customer, understanding the process and all employees being committed
to quality.
2.4.1. Focusing on customers
In organisations it must be understood that the main purpose of work is to serve customers better. Therefore it
must be known how well outputs are performing, in the eyes of the customers, through measurements and
feedback. This chain of outputs and feedback should be continuously improved to broaden markets and to
improve the quality of products or services.
2.4.2. Understanding the process
For the successful operation of any process it is essential to understand what determines its performance and
outputs. It is not possible to stand aside and manage in never ending improvement. Continuous improvements in
an organisation means the use of detailed knowledge of the processes and the making of improvements.
2.4.3. All employees committed to quality
Everyone in the process, top to bottom, admin. to factory, HO to local sites, must play their part. People are the
source of ideas and innovation and their expertise, experience and contributions have to be harnessed in order to
get more improvements ideas implemented.
Most of the work in the organisation is done away from the immediate view of management and supervision. If
the co-operation of some of the people is absent there is no way that managers can cope with the chaos that will
result. Every phase of the operation must be subject to continuous improvements, and for that everyone's cooperation is required.
A commonly encountered question is: "How will an organisation know when it has achieved Total Quality?" The
answer is it will not. Total Quality is based on continual processes which are both changing to the needs of
customers, and the market place. It is commonly described as "A road without a destination".
It is wise for an organisation to understand that its competitors are continually making advances. Therefore to
catch up or excel further, it is necessary to develop quality processes at a faster rate than the competitors.
Because the competitors' position can never be known with certainty, there is no prudent alternative other than to
pursue perfection.

2.5. Quality Tools

2.5.1. Quality Improvement Teams
These are small groups of employees who work on solving specific problems related to quality and productivity,
often with stated targets for improvement. Quality improvement teams are proving to be highly successful at
tracking down the causes of poor quality as well as taking remedial action.
2.5.2 Benchmarking
This is the process of identifying the best practices and approaches by comparing productivity in specific areas
within ones' own company to other organisations both within and outside the industry.
2.5.3. Statistical process control

This is a statistical technique that uses periodic random samples taken during actual production to determine
whether acceptable quality levels are being met or whether production should be stopped in order to take
remedial action. Because most processes produce some variation, statistical process control uses statistical tests
to determine when variations fall outside a narrow range around the acceptable quality level. The emphasis when
using SPC is on defect prevention rather than trying to inspect the quality into the product.
2.5.4 Poka Yoke
This is a technique that aims to make the assembly process Fail-Safe. This can be achieved in two ways namely
by designing the product in such a way that it can only be assembled correctly, or by designing jigs, fixtures and
test equipment that will show up a fault when it has occurred.

2.6. COMMITMENT
In order for the Eye on the Future Model to be a success, each member in an organisation must be committed to
the change process. It cannot be viewed as the new flavour of the month, but should rather be regarded as an
exciting life changing process.
Too often peoples' enthusiasm wanes when they realise that the change process in an organisation is not likely to
occur overnight. If the attitude of top management, namely the CEO and directors, is not positive, enthusiastic
and committed then the Eye on the Future model is not likely to succeed.
People need to pledge their support to objectively analysing their job functions and procedures, and seeking new
innovative ways to improve them. If necessary inspirational speakers should be employed to enthuse staff to a
new attitude of commitment. Once again, people are led by example. If it appears that management is not
committed to the change process, this is the attitude the people will develop. However, if commitment is
perceived to be the attitude of management, then the people are most likely to follow.

2.7. TRAINING
Training must be a part of the organisations succession planning. In today's business environment any training
which is less than visionary will not help the organisation meet its' future goals and objectives.
Training objectives must be supportive of the company's vision and mission. In order to identify training, the
employees must be involved. System deficiencies including non-conformance reports, customer complaints and
job performance appraisals will highlight the most urgent areas for development. Training programmes must be
devised and implemented to help bridge the gap identified previously.
The results of the training must be evaluated to ensure that effective improvement has been achieved and that
employees are competent to use the skills acquired.
Management must promote the need for continuous training, as it will facilitate the following:
1. Employees will be more confident and motivated in their work
2. Reduce staff turnover
3. Reduce errors
4. Improve productivity
5. Improve the organisation competitiveness.
Training must help each individual in the organisation to maintain a growing knowledge of their business
environment. It must be implemented to each individual, from the directors to the cleaners.

CHAPTER 3: THE PUPIL

3.1. EMPLOYEES
The most important practice in an organisation is for management to show their employees that they are highly
valued and are an integral part of the organisation. People need to have a sense of self worth, and in order to be
motivated and committed to the change process; they first need to feel secure and needed in their organisation. If
this is not the case there will be resistance to change. After the vision has been established, management and
employees need to look at the current distribution of employees in their current job positions. It may be possible
that the incorrect person is in a particular job, and it is at this stage that a reshuffle of staff should occur under
general consensus.
Changing the culture is a key element in the process of quality improvement and has wide ranging implications
for the whole organisation; it requires the introduction and acceptance of individual, group and organisational
change. The Eye on the Future provides the opportunity to make and influence behaviour and attitudes that have
real effects on internal and external relationships and the way the organisation conducts its business.
Teamwork should be established and become part of the organisation's method of working. Task forces or project
teams and cross-functional improvement teams should be established to address the major problems facing the
organisation.
Culture change is not just relevant to quality improvement, although the increased emphasis on customers and
their needs within TQM makes some form of culture change a must in most organisations.
An assessment, from both management and employee perspectives, of the current status of the organisational
culture should be undertaken before firm plans for change are developed. The role of people within the
organisation should be recognised. Employees must be empowered to make decisions to serve the customer and
their contributions must be recognised, rewarded and encouraged.
The employees must be viewed by senior management as an asset and not a liability. The same investment that is
given to a capital asset must be applied and broadened when applied to employees.

3.2. SUPPLIER
A supplier is an organisation that provides a product or service to the customer and can be either internal or
external to the organisation. The supplier may be a producer, distributor, importer, assembler or service
organisation.
Partnership should exist between customer and supplier. The purchaser should receive goods that meet
regulatory requirements and conform to a pre- determined specification laid down by the purchaser. Assessment
and selection of suppliers is imperative, this will determine whether the supplier would be able to supply the
services that the purchaser requires, will give both parties the opportunity to learn each others business needs,
and the assessor of the supplier can aid in improving the suppliers quality system by giving suggestions to the
supplier as to where the deficiencies are found.
Following the approval of a supplier to supply goods or services to the customer, an effective working
relationship and feedback system should be established between the two parties. Do not buy products or services
on price alone, look at total costs, including delivery and quality. Demand and promote continuous improvement
in everything including suppliers. Treat suppliers as partners, as your equal and train suppliers so that they can
identify the role they have to play in improving your organisation.

3.3. CUSTOMERS
Customers are the focal point of any business being in existence.

Any individual who purchases anything is unique; therefore there is no such thing as an average customer. Even
in today's modern age of Globalisation, when dealing with customers, one has to consider their similarities and
their differences.
3.3.1. Customer similarities.
Customer expectations must be exceeded. Deliver on promises made to the customer. If meeting customer
requirements is going to be a problem then do not make any false promises. Building a trust relationship with the
customer is a major exercise that costs a lot of money and all it takes to destroy all the hard work is one silly
moment of concentration loss by any individual within the organisation.
3.3.2. Customers want to be treated with respect. Special consideration needs to be given to the customer's
sensitivity and his needs. He must to be assured that solving his problem is your number one priority.
3.3.3 Customers want to be heard. The customer's representative within the organisation is the sales team. Their
primary focus in dealing with the customer must be to listen, listen and listen again to what the customer actually
wants.
3.3.4. Customers want to feel that the organisation is on their side. Every employee within our organisation is a
company representative and the customers deal only with individuals within the organisation. It is for this reason
that relationships between individuals and the customers need to be fostered.
The basic principles of superior customer service:
3.3.5 Everything done within the organisation must be aimed at driving up value to the customer whilst
simultaneously driving down costs within the organisation. This needs to be worked on, on a continuous
improvement basis. The Japanese call this "kaizen" which means do it 100% well today and do it better
tomorrow.
3.3.6. Customer care is everybody's business. Customer care must be a company wide obsession, everyone must
get involved. Customer care must become a way of life; an attitude, a habit and a never ending quest to go that
extra mile for the customer. Michael Porter refers to this value building process as the "value chain".
3.3.7. Top management must get involved. Superior customer service must start with the top management of the
organisation being committed to the process of satisfying and meeting the customer's expectations. Top
management must be the drivers of all change initiatives within the organisation. Changing direction is never a
simple process and changing it from the bottom up is an even bigger task that is bound to fail. If and when top
management show total commitment and are seen to be walking the talk then the employees will soon follow
their example.
3.3.8. The role of people within the organisation should be recognised. Superior customer service takes a total
onslaught. Superior customer service begins with a revolution in management thinking and behaviour. It must be
monitored, measured, encouraged and publicised. Individuals must be trained to provide value for the customer
at all stages of the process in meeting the customer's requirements.

BIBLIOGRAPHY
Barrie Dale, Managing Quality Chapter 5
Know your customer; Carl Sewell
Quality: Achieving excellence; Edgar Willie
Fowler and Fowler, H.W. and F.G. (1969). The concise Oxford dictionary of current English.
London: Oxford University Press.