I used the editing options for explaining parts which I felt and believe are

LECNOTE#2 needed to be discussed.

REFERENCE: www.wisdomjobs.com

Production/Operations Management is the process, which combines and transforms various resources used in the
production/operations subsystem of the organization into value added products/services in a controlled manner as per
the policies of the organization. Therefore, it is that part of an organization, which is concerned with the
transformation of a range of inputs into the required (products/services) having eh the requisite quality level.

The set of interrelated management activities, which are involved in manufacturing certain products, is called as
Production Management. If the same concept is extended to services management, then the corresponding set of
management activities is called as Operations Management.

A Framework for Managing Operations

Managing operations can be enclosed in a frame of general management function. Therefore, operation managers are
concerned with planning, organizing, leading, and controlling.

Objectives of Operations Management

 The Customer Service Objective
To provide agreed/adequate levels of customer service (and hence customer satisfaction) by providing goods or
services with the right specification, at the right cost, and at the right time.

 The Resource Utilization Objective

To achieve adequate levels of resource utilization (or productivity) e.g., to achieve agreed levels of utilization of
materials, machines, and labor.

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Customers nowadays, demand products/services with greater durability and reliability at the most economic price. This
forces producers to strictly follow quality procedures right from design till shipment and installation of the products. So
that goal of any competitive industry is to provide product or service at the most economical costs, ensuring full
customer satisfaction. This can be achieved through Total Quality Management (TQM), because, quality is not a
technical function, but a systemic process extending throughout all phases of the business.

“Remember, one happy and satisfied customer brings ten new customers along with him whereas one disappointed
individual will spread bad word of mouth and spoil several of your existing as well as potential customers.”
- www.managementstudyguide.com

TQM is the organization’s goal for continuous

What is Total Quality Management (TQM)? improvement towards achieving zero defects.
 TQM is the continual process of detecting and reducing or eliminating errors in TQM manufacturing, improving the
uses innovative approaches to
customer experience, and ensuring that employees are up to speed with training. preventing defects rather than detecting
 Core definition of TQM is described as the management approach to long-term success
defects. Can bethrough
simply be customer
defines as being
satisfaction. proactive rather than reactive.
 TQM is defined as a continuous effort by the management as well as employeesTQM of aisparticular
accomplishedorganization
with both theto
ensure long term customer loyalty and customer satisfaction. management and the employees as part of
 TQM is a combined effort of both top level management as well as employees of“Quality an organization to formulate
Teams” in attaining the same goal of
continuous
effective strategies and policies to deliver high quality products which only meet process
but also improvement.
exceed customer
satisfaction.
 According to TQM, customer feedbacks and expectations are most essential when it comes to formulating and
implementing new strategies to deliver superior products than competitors and eventually yield higher revenues
and profits for the organization.
 TQM is the dedicated effort to providing a continuously-increasing level of quality in an effort to retain the
attention (and repeat business) of your customers.
 COMMUNICATION binds everything and everyone
together.
ETHICS is following the code of conduct of the org.
Basic Elements of Total Quality Management RECOGNITION drives employees to work hard.
These elements are necessary to ensure that the model is implemented successfully. Without INTEGRITYeach every
is the act single
of doing element
the right thing even when
no onesome
put into place, it is likely that the business or the quality assurance program will experience is looking.
degree of failure.
TEAMWORK refers to working in unison having to
1. Communication come up with various solutions to improve existing
2. Basic Ethics process and systems.
LEADERSHIP provides direction to the entire process of
3. Recognition
TQM.
4. Integrity TRUST is needed to ensure participation of everybofy in
5. Teamwork the organization.
TRAINING enables employees to implement TQM
6. Leadership effectively.
7. Trust
8. Training
These core elements are believed to be the ultimate ‘foundation’ to success when it comes to successful operations in
the business, or the quality assurance program.

Quality Gurus
The following gurus have made a significant impact on the world through their contributions to improving not only
businesses, but all organization including state and national governments, military organizations, educational
institutions, healthcare organizations, and many other establishments and organizations.
1. DR. W. EDWARD DEMING (1900-1993) “Father of Quality Management”
Deming is best known for reminding management that most problems are systemic and that it is management’s
responsibility to improve the systems so that workers (management and non-management) can do their jobs more
effectively. Deming argues that higher quality leads to higher productivity, which in turn leads to long-term
competitive strength. With better quality and lower, prices, a firm can achieve a greater market share and thus stay
in business, providing more and more jobs. Gurus if will become part of the
Deming’s 14 Points on Quality Management, or the Deming Model of Quality Management, exam, woulda becorelimited onlyon
concept to their
implementing total quality management (TQM), is a set of management practices to help companies increase theirin the
names and their contributions
quality and productivity. world of Total Quality Management.

2. Dr. JOSEPH JURAN (1905-2008)

Joseph Juran’s Theory
Joseph Juran is responsible for what has become known as the "Quality Trilogy." The quality trilogy is made up of
quality planning, quality improvement, and quality control. If a quality improvement project is to be successful, then
all quality improvement actions must be carefully planned out and controlled.

3. PHILIP CROSBY (1926-2001)

Philip Crosby is another person credited with starting the TQM movement. He made the point, much like Deming,
that if you spend money on quality, it is money that is well spent. Crosby based on four absolutes of quality
management and his own list of fourteen steps to quality improvement.

4. ARMAND V. FEIGENBAUM (1922-2014)

Armand V. Feigenbaum is also known for his concept of the “hidden plant“. That is that in every factory a certain
proportion of its capacity is wasted through not getting it right the first time. Feigenbaum quoted a figure of up to
40% of the capacity of the plant is wasted. At the time this was an unbelievable figure; even today some managers
are still to learn that this is a figure not too far removed from the truth.

5. DR. KAORU ISHIKAWA (1915-1989)

Kaoru Ishikawa was a Japanese professor, advisor and motivator with respect to the innovative developments within
the field of quality management. Kaoru Ishikawa is best known for the development of the concept of the fishbone
diagram, which is also known as the “Ishikawa diagram“. This type of root cause analysis is still used in many
organizations for making diagnoses or taking concrete actions in which the root cause of the problem is identified.

6. DR. WALTER A SHEWHART (1891-1967)

 Dr. Shewhart believed that lack of information greatly hampered the efforts of control and management processes
in a production environment. In order to aid a manager in making scientific, efficient, economical decisions, he
developed Statistical Process Control methods. Many of the modern ideas regarding quality owe their inspiration to
Dr. Shewhart.

He also developed the Shewhart Cycle Learning and Improvement cycle, combining both creative management
thinking with statistical analysis. This cycle contains four continuous steps: Plan, Do, Study and Act. These steps
(commonly refered to as the PDSA cycle), Shewhart believed, ultimately lead to total quality improvement. The
cycle draws its structure from the notion that constant evaluation of management practices - as well as the
willingness of management to adopt and disregard unsupported ideas - are keys to the evolution of a successful
enterprise.

7. SHIGEO SHINGO (1919-1990)

Shigeo Shingo was a Japanese industrial engineer specialized in quality control. He is known for various quality
techniques concepts such as Poka-Yoke, Mistake Proofing, SMED, Just in Time Production, and Jidoka. His
contributions to quality improvements have significantly influenced western manufacturing approaches.

During his lifetime Shingo contributed quite a bit to further quality control processes in the industry. His teachings
can be bucketed into three main topics –
Just In Time (JIT)
Single Minute Exchange of Dies (SMED)
Zero Quality Control

8. FREDERICK TAYLOR (1856-1915)

Frederick Taylor was an American mechanical engineer who was always looking for efficiency improvements within
the production industry. Frederick Taylor was one of the first management consultants, intellectual leaders of the
Efficiency Movement and founder of the term scientific management or Taylorism.

9. DR. GENICHI TAGUCHI (1924-2012)

Genichi Taguchi a statistician and engineer who is best known for his quality control methods that improve quality
and reduce costs. He created the Taguchi methods which are statistical methods to improve the quality of
manufactured goods. These include loss functions, both off-line and online quality control, and design of
experiments.