QUALITY MANAGEMENT

 History
o Plato
Kind of perfection or degree of perfection.
o Hammurabi’s code of laws
Even if a man builds a house badly, and I falls and kills the owner, the builder I
is to be slain…
o Aristotle
An examination of a knife would reveal that its distinctive quality is to cut, and
from this we can conclude that a good knife would be a knife that cuts well.
o 13th century in Europe
Guilds: manufacturing and inspection.
o 19th century
The job segmentation into specific work tasks and increasing efficiency
-inspection became the primary means of quality control- first quality
departments.
o 20th century
Bell telephone laboratories new methods for improving and maintaining
quality Walter Shewhart -quality as a technical discipline statistical process
control.

 Joseph Juran: Two critical meanings of quality

1. Quality means those features of products which meet customer needs and
thereby provide customer satisfaction. In this sense, the meaning of quality is
oriented to income. The purpose to such higher quality is to provide greater
customer satisfaction and to increase income.
2. Quality means freedom from deficiencies –freedom from errors that require
doing work over again (rework) or that result in field failures, customer
dissatisfaction, customer claims, and so on. In this case the meaning of quality
is directed to costs; higher quality usually „costs less”.

 W. Edwards Deming
 14 points
1. “Create constancy of purpose towards improvement of product and service
with the aim to become competitive and to stay in business, and to provide
job”.
The organization’s values and beliefs must be defined by the leaders. On the
basis of values and beliefs mission and vision for the organization must be
created.
2. “Adopt the new philosophy”.
Management should actually adopt this philosophy, rather than expect the
workforce to do so. Management must learn their responsibilities and take on
leadership for change. They must accept the paradigm which is the
consequence of Deming’s System of Profound Knowledge.
3. “Cease dependence on mass inspection to achieve quality”.
Eliminate the need for inspection on a mass basis by building quality into the
product in the first place. If variation is reduced, there is no need to inspect
manufactured items for defects, because there won’t be any.
4. “End the practice of awarding business an the basis price tag”.
Minimize total cost. Move towards single supplier for anyone item, on a long-
tern relationship of loyalty and trust. Multiple suppliers mean variation
between feedstock.
5. “Improve constantly and forever the system of production and service to
improve quality and productivity, and thus constantly decrease costs”.
Constantly strive to reduce variation. Only when a system is stable can
management use process knowledge to predict output of the system in the
near future.
6. “Institute training on the job”.
Employees belong to organization’s most important asset. Organization must
make long-term commitment to employees to make sure that they take joy in
their work. This requires job skills training.
7. “Institute leadership”.
The aim of supervision should be to help people and machines and gadgets to
do a better job. Supervision of management is in need of overhaul, as well as
supervision of production workers. A leader must be capable of prediction the
future to plan the actions necessary to pursue the organization’s aim. Leader is
expected to work continuously to create stable processes with low variation to
facilitate rational prediction.
8. “Drive out fear so that everyone may work effectively for the company”.
Fear has a great influence on people working in the organization and
consequently on functioning of the organization. Employees subjected to
atmosphere dominated by fear experience poor morale, poor productivity,
reluctance to take risk, stifling of creativity, poor interpersonal relationship,
ect.
Fear origins from lack of job security, possibility of physical harm, ignorance of
company goals, poor supervision, blame for the problems of the system and
faulty inspection procedures. Management’s responsibility is to change
organization in such a way that the causes of fear will be driven out.
9. “Break down barriers between departments”.
 People in research, design, sales and production must work as a team, to
foresee problems of production and in use that may be encountered with the
product or service
10. “Eliminate slogans, exhortation, and targets for the workforce asking for zero
defects and new levels of productivity without providing methods”.
Such action create adversarial relationship and the bulk of the causes of the
low quality and low productivity belong to the system and thus lie beyond the
power of the workforce.
They neither define process variables in the need of improvement or
innovation nor motivate individuals or clarify expectation. Slogans,
exhortations and targets are meaningless without methods to achieve them.
They shift responsibility from management to workers who are powerless to
make improvements to the system.
11. (a) “Eliminate management by objectives”.
Avoid numerical goals. Learn the capabilities of processes and how to improve
them. Numerical goals are usually set without understanding a system’s
capability. They do not include methods and hence do not provide a
mechanism for improvement.
(b) Eliminate work standards (quotas) on the factory floor. Substitute
leadership methods for improvement. In the system of work standards
workers are blamed for problems which are beyond their control. Work
standards are negotiated values that have no relationship to the capability of a
process. They are often used for budgeting, planning and scheduling and
provide management with untrue information on which decisions are based.
12. “Remove barriers that rob the worker of his right to pride of workmanship”.
Employees should be motivated not only by wages but mainly by work
satisfaction. Managers must remove the barriers e.g. employees being blamed
for the system, inadequate supervision and training, that prevent employees
from finding joy in their work.
13. “Institute education and self-improvement in order to follow constantly
changing environment”.
Education and self-improvement are important vehicles for continuously
improving employees. Education for leaders may have to come from outside
the system.
14. “Take action to accomplish the transformation”.
Put everybody in the company to work to accomplish the transformation from
its current paradigm to the System of Profound Knowledge. The
transformation is everyone’s job. To manage planning, control and
improvement of transformation the leader must know each of his/her people’s
for and against’ arguments.

 Joseph Juran’s trilogy

Top management involvement Pareto principle. The need for widespread training in
quality. Quality as fitness for use. Three quality processes:
o Quality planning:
The preparation process to meet quality goals and objetives.
o Quality control:
The process of meeting quality goals through operations.
 o Quality improvement:
The process of breaking through to unprecedented levels of performance.

1. Build awareness of the need for quality and an opportunity for improvement.
2. Set goals for improvement.
3. Organize to achieve goals.
4. Provide training.
5. Carry out projects to solve problems.
6. Report progress.
7. Give recognition.
8. Communicate results.
9. Keep score.
10. Maintain momentum.

 Philip B. Crosby
Higher quality always reduces costs and raises profit, he did not accept the optimal
quality level concept.

 Zero defects concept

Business practice which aims to reduce and minimize the number of defects and errors
in a process – do things right the first time.

 Armand V. Feigenbaum: Total quality control

o Quality Leadership:
A continuous management emphasis is put on proper planning rather than
reaction to failures and fire-fighting. It’s management’s task to maintain a
constant focus and lead the quality effort.
o Modern Quality Technology:
Resolving 80 to 90 percent of quality problems cannot belong only to quality
department. Such task demands integration of both office staff, engineers and
shop-floor workers who continually evaluate and implement new techniques
in order to satisfy customers in the future.
o Organizational Commitment:
Continual training and motivation of the workforce as well as making quality a
part of business planning indicate the importance of quality and create
conditions to include it in every side of company’s activities.

 Japanaese Approach: Karou Jshikawa

Development of participative bottom-up view of quality.
1. Quality begins and ends with education.
2. The first step in quality is to know the requirements of the customers.
3. No need for inspection signals the ideal state of quality.
4. Not the symptoms but the root causes of quality problems should be removed.
5. Quality control is the task of all divisions, departments and workers.
6. The means should not be confused with the objectives.

 Quality circles
Group of people meet once a week to tackle quality problems.
 Genichi Taguchi
His approach face quality problems early in the design stage.
1. System design.
This stage absorbs the selection of parts and materials and uses feasibility
studies and prototyping. Scientific skills and technical knowledge are of great
importance in this phase.
2. Parameter design.
Product and process parameters are established so that the system performs
well no matter what troubles – uncontrollable variables are encountered.
3. Tolerance design.
Performance is improved thanks to tolerance design in case the system was
not satisfactory.