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Concepts of Total

UNIT 2 CONCEPTS OF TOTAL QUALITY Quality Management


MANAGEMENT
Structure
2.1 Introduction
Objectives

2.2 What is Total Quality Management?


2.3 Principle of Objectives
2.4 Reasons for Popularity of TQM
2.5 Axioms of TQM
2.6 Valuable Tools for Quality
2.7 Concepts of Kaizen in TQM
2.7.1 Total Quality Control
2.7.2 Kanban Just-in-Time System
2.7.3 Quality Circles
2.7.4 Total Predictive Maintenance

2.8 Deming Approach to TQM


2.8.1 14 Points to Quality Management
2.8.2 The Seven Deadly Sins
2.8.3 The PDCA Cycle

2.9 Juran on Quality


2.9.1 Quality Trilogy Model
2.9.2 Achieving Quality through Breakthrough

2.10 Crosby and Quality Treatment


2.10.1 The Zero Defect Concept
2.10.2 The Four Absolutes of Quality
2.10.3 Crosby’s 14 Points for Quality Improvement

2.11 Steps in Implementing Zero Defect Program


2.12 Poka-Yoke
2.13 Concurrent Engineering
2.14 Summary
2.15 Key Words
2.16 Answers to SAQs

2.1 INTRODUCTION

Total Quality Management (TQM) bursts on the international scene in the early 1980s.
Individuals such as Juran and Deming achieved guru status by extolling its virtues.
Edward Deming introduced the process of statistical measures during the period 1939-45
to control quality. He showed that process operator could eliminate 15% of the causes of
variation and that the management was accountable for remaining 85% of the problems.
However, American managers did not appreciate this conclusion initially. Deming
philosophy was, however, taken seriously by the Japanese industrialists and they applied
his teachings enthusiastically. The outcome was turnaround of Japan’s industrial 23
Quality Systems fortunes. Since then western managements are attempting to follow the Japanese
example by adopting a consistent approach to quality. This new mantra that a consistent
and persistent investment in quality will eventually pay off is deeply imbibed in the
philosophy of TQM.
Objectives
After studying this unit, you should be able to
• understand the features of TQM,
• explain the axioms of TQM through Joiners triangle,
• know the tools for improving quality, and
• implement zero defect programme.

2.2 WHAT IS TOTAL QUALITY MANAGEMENT?


Total quality management refers to the total involvement of staff in an organization
together in bringing about quality satisfaction by promoting a participating culture. The
fundamental point in TQM is the definition of a customer. Earlier definitions of a customer
included one who was impacted by the product. TQM philosophy extends the concept of
impact to every individual or department within the organization. The external customer
is only the final part in the customer chain. This makes everyone a customer of, and a
supplier to, someone else in the chain. This new definition of customer asks for altogether
different outlook to the question about responsibility of quality. Since quality inputs and
outputs are demanded and expected at every point on the chain, no one is spared from
performing the quality function. In fact quality becomes a routine duty of every individual.
This is the new culture of TQM.
There are interesting features in this work culture. Firstly, that in problem solving efforts,
TQM transcends across organizational hierarchial boundaries. This implies that manager
and the worker are equally involved in decision making and performing a job. This also
implies that both of them have a potential to introduce creativity and innovation in problem
solving.
Secondly, TQM invokes the leaders of an organization to create a vision and establish a
mission. The vision is the hope of a better tomorrow and even better, of being the number
one, the best in the class tomorrow. The top managers themselves are the advocate of
change and also the motivators. The process of change includes commitment to the
technical challenges (new methods and techniques) and social tasks. This is called
strategic planning.
Thirdly, TQM gives a sense of ownership to all the employees thus empowering them to
make decisions. This motivates the morale of the people in customer chain and in effect,
breeds teamwork too. And lastly, TQM philosophy advocates that tools through which
quality is achieved; technology, methods and innovators, are always updating and
improving. Thus, an organization practicing TQM achieves quality with a consistent and
persistent effort

2.3 PRINCIPLE OF OBJECTIVES


TQM employs a common sense system for measuring and analyzing a given process in
order to find a better way of doing work. TQM should help to do a better job by :
(i) Bringing people together for discussion and exchange of ideas.

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(ii) Developing an alert open-minded, questioning attitude on the part of all Concepts of Total
employees. Quality Management

(iii) Uncovering and eliminating wasteful and time-consuming methods, thereby


leaving more time for the development of effective procedures.
(iv) Eliminating fear at all levels of organization.
The nature of current worldwide competition generally demands from any corporation
four ability characteristics.
(i) To understand what the customers want and to provide it, immediately on
demand, at the lowest cost.
(ii) To provide product and services of high quality and reliability.
(iii) To keep up with the pace of change, technological as well as political and
social.
(iv) To be one step ahead of the customer’s needs; that is, to predict what the
customer will want one year or ten years from now.
The principal objectives of TQM catering to the above characteristics are :
(i) To monitor performance and customers satisfaction levels.
(ii) To identify improvements necessary in the customer interface.
(iii) To deliver improved products and services at the lowest cost.
(iv) To assess and agree to the customer’s requirement.
(v) To tailor output to the customer’s demand.
There are two salient features of TQM that make it unique :
(i) Continuous Improvement and Innovation : This helps to enhance the
value of the organization’s operation and output. Continuous improvement
means that new products are launched or existing products and services are
improved. This can be accomplished by
• reducing errors, defects and waste,
• improving responsiveness and cycle time performance, and
• improving productivity and effectiveness in use of all resources.
(ii) Application of Quality Methods : In TQM culture, quality methods are
applied to entire organization, from management, to accounting, to
manufacturing, service, and every other sub-entity in the organization. This
ensures that every one in customer chain within an organization understands
the company motives.

2.4 REASONS FOR POPULARITY OF TQM


Total quality management has become the synonym of the success for most of the
organizations in the world and this is gaining popularity day by day. The reasons can be
attributed to the beneficial consequences of TQM.
Guaranteed Customer Satisfaction and Increased Market Share
In TQM culture, the customer is the most important part of process line and if
process quality is attained, customer satisfaction is guaranteed. Quality product and
services ensure not only the customer’s future return but also fewer complaints and
lower warranty costs. Higher profits improve reputation and hence increased
market share.
Cost Reduction
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Quality Systems Decrease in cost under warranty is not the only cost reduction to be achieved. The
higher the quality, the lower the number of inferior products. The reasons for
reduction in cost due to high quality are :
• less consumption of energy and saving of working hours,
• less replacement of materials, and
• less stoppage of machines for inspection of final output.
The effect of cost reduction leads to prompt deliveries and higher productivity
levels, and simultaneously lower cost for repair and reworking.
Conducive Environment
TQM provides an environment where fear is eliminated. When fear is absent, it
leads to the consequences where :
• employees take pride in their work because they can admit to their mistakes
and provide opinion,
• employees feel respected and accepted because they feel as part of the
team, and
• employees strive not only for their own interest but also for interest of
organization.
New Definition to Success
Success in a TQM practiced organization is measured not only by customer
satisfaction, profit and market share, but also by
• improved employee morale,
• efficiency in operation,
• fewer complaints and improved industrial relations, and
• happier working environment.
On the whole, investment in continuous total quality improvement will guarantee the
survival and propriety of the business, the protection of investment, future dividends
and more jobs.

2.5 AXIOMS OF TQM


The essential elements of TQM as a process-oriented approach can be represented by
only three main principles.
(i) Commitment (to never ending quality improvement & innovation).
(ii) Scientific knowledge (of the proper tools and techniques for the ‘technical
change’).
(iii) Involvement (all in one team for the social change).
Also called the axioms of TQM, the above three fundamental characteristics are of equal
significance and hence can be represented at the corners of an equilateral triangle (also
called Joiner’s Triangle) as shown in Figure 2.1.
Axiom 1: Commitment

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Axiom 3: Involvement Axiom 2: Scientific Knowledge Concepts of Total
Quality Management
Figure 2.1: Joiner’s Triangle of TQM Axioms

With the help of these cornerstones, the realization of the TQM culture is possible. The
interdependence of these cornerstones makes it easy to characterize the TQM
environment fully, as well as to define it clearly.
Commitment
When TQM is being practiced within the organization, the aim of organization is to
be the best in its kind. For this it needs a change in attitudes and culture, something
that is impossible unless there is a real commitment to quality and innovation from
the senior management. The management must regard the workforce as an asset
and must be willing to invest in the future development of workforce. However the
commitment should not be restricted in the form of slogans and meetings only.
Slogans demanding quality from everyone are not likely to achieve anything but
frustration, anxiety and isolation. Some of the ways to motivate the workforce
include :
• proper working conditions,
• adequate education and training, good communication and cooperation,
• modern leadership rather than strict supervision,
• good incoming material and equipment, appropriate quality tool, and
• job satisfaction and incentives to workforce for good work.
Senior managers should be the ones to plan, initiate and coordinate the quality
improvement process and keep up the momentum when enthusiasm dies down.
Thus, a management commitment to continually improving the quality of products
and service is an obvious necessity.
Scientific Knowledge
The best way forward for improving processes is use of scientific approach, not
opinion or emotion. A proper scientific approach helps managers focus their
attention on individuals and take decisions based on facts unlike conventional
wisdom. Scientific procedures like statistical methods help exploit information
generated by processes and are used to anticipate, identify and correct mistakes.
The main advantages of scientific knowledge are as follows :
(i) It provides a common language, which can facilitate communication between
the different departments and between different individuals.
(ii) Scientific knowledge helps employees in owning the responsibility for quality
and certain quality problems as they arise.
The role of TQM quality department should be that of co-ordination, education and
support of scientific quality tools throughout the organization. Additional duties
should include continuous research and development of innovative methods or
further development of existing ones.
Involvement
This cornerstone is concerned with the social change of feeling that all are part of
one team in the organization. The capacity of problem solving increases many times
when there is a common effort. Due to synergy, the output of the group is much
more than the individual output of its members. Employees will contribute and
innovate if they know that genuine effort will always be successful in their
endeavours; this is because teamwork provides a strong capacity to absorb
occasional failures. The team spirit efforts should extend outside the company, to
include the subcontractors and suppliers. 27
Quality Systems
2.6 VALUABLE TOOLS FOR QUALITY
At present there are more than 40 quality tools. In this section, seven most commonly
used quality tools used in conjunction with TQM shall be discussed.
Cause and Effect Diagram
A cause and effect diagram (Figure 2.2) is used when the need is to identify,
explore, and display the possible causes of a specific problem or condition. They
are also called “Ishikawa” diagrams after its originator or “Fishbone” diagram
because of its shape. Major causes (A, B, C, D, E) are the primary causes.
Contributing factors or minor problems (A1, B1) within a major cause are listed as
the small “bones” attached to the large “bones”.

Major Problem B Major Problem A

Minor Problem
Minor Problem B1 A1

Problem to
be Solved

Major Problem E Major Problem D Major Problem C

Figure 2.2: Ishikawa Diagram

Flowchart
A flowchart is a pictorial representation showing all the steps of a process. A
flowchart consists of a various symbols arranged in a sequential order that
represents the flow of information. Flowcharts are used to document a process. By
creating and studying flowcharts the management can often uncover sources of
trouble as well as solution to problems. The meanings of some symbols are
described below.

1. The activity symbol is a rectangle that designates an 1


activity.
2. The decision symbol is a diamond which designates 2
point from which the process branches into two more
paths. The path taken depend on the answer to question
which appears inside diamond.
3. The terminal symbol is a rounded rectangle which 3
identifies the beginning or end of a process.
4. The document symbol represents a special task to the 4
process.
5. The flow line represents a process with which we 5
connect process elements, e.g., activities, decisions, etc.
Pareto Chart
The pareto analysis is a chart based on the pareto principle. This principle states
that the major part of the problems may be due to a small number of causes. For
example, 80% of the problems can be traced to 20% of the causes. The chart
shows the factors or causes arranged in descending order of magnitude from left to
right. This helps to determine which problem to solve in what order. For example,
Figure 2.3 shows that out of the five causes of defects in casting, the majority of
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castings are rejected due to blowholes. Hence, this problem needs to be tackled Concepts of Total
first because it causes the most defects. Quality Management

50
1. Blow holes 50%
40 2. Hard spots 30%

Total Rejected
30 3. Scabs 10%
4. Shifts 7%
20 5. Cold shuts 4%

10

0
1 2 3 4 5
Causes of Failure (Defects)

Figure 2.3 : Pareto Diagram

Run Chart
A run chart (Figure 2.4) is used to monitor a process to see whether or not the
long-range average is changing. This is the simplest tool to construct and use.

Figure 2.4: Run Chart

Control Chart
A control chart is simply a run chart with statistically determined upper and lower
control limit lines (UCL and LCL, respectively) drawn on either side of the process
average. Being in control simply means that the process is consistent. This is
observed in chart when no data points fall outside the control lines. The control
limits are calculated as follows.
Calculate arithmetic mean for the means of ‘n’ samples. If the mean of ith sample
is Xi, then the mean of means, called grand mean, is given by
(X 1 + X 2 + X 3 + . . . + X n )
X =
n

(X 1 − X) 2 + ( X 2 − X) 2 + . . . + ( X n − X) 2
Calculate the standard deviation, s =
n
Calculate the upper control limit, UCL = X + 3 s

Calculate the lower control limit, LCL = X − 3 s


Figure 2.5 shows a typical control chart.

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Quality Systems

Figure 2.5 : Control Charts with Lower and Upper Limits

Correlation Chart
A correlation (Figure 2.6) chart measures the performance of one factor compared
to another and helps determine what relationship, if any, exists.

(a) Positive relationship (b) No relationship

(c) Negative relationship

Figure 2.6: Correlation Chart

Histogram
A histogram is a bar graph that gives a pictorial representation of data. The
intervals are shown on the X-axis and the number of scores in each interval is
represented by the height of a rectangle located above the interval. The following
example illustrates how to construct a histogram. The data below are the spelling
test scores for 20 students on a 50 word-spelling test. The scores (number correct)
are: 48, 49, 50, 46, 47, 47, 35, 38, 40, 42, 45, 47, 48, 44, 43, 46, 45, 42, 43, 47.
The largest number is 50 and the smallest is 35. Then, the range, R = 50 − 35 = 15.
The 20 students are divided into 5 classes. Hence the interval width = R/5 =15/5
= 3. The first class has a lower limit of 35. Therefore, the first upper limit is 35+3
or 38. The second class will have a lower limit of 38 and an upper limit of 41. Data
in tabular form is shown in Table 2.1. Corresponding histogram is shown in Figure
2.7.
Table 2.1 : Frequency Table
Class Lower Limit Upper Limit Frequency
1 35 38 1
2 38 41 2
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Concepts of Total
3 41 44 4
Quality Management
4 44 47 5
5 47 50 8

Figure 2.7 : Histogram

2.7 CONCEPT OF KAIZEN IN TQM


Kaizen is a new concept in modern quality, which is necessary to understand and
implement TQM with positive results. Kaizen is a Japanese word, which literally means
gradual, continuous improvement mainly in small matters, in all aspect of working life.
Kaizen signifies the constant and gradual improvement no matter how small, which should
be taking place all time, in every process, involving everyone from all the ranks of
management and workforce.
Kaizen begins with the recognition that any corporation can have problems and
improvements can be made as long as perfection is lacking. The distinct features
inherent in the kaizen philosophy are as follows :
(i) The uniqueness of Kaizen is that it solves problems by establishing a culture
in which everyone can freely admit to problems. In any organizational
environment, the kaizen approach can help towards continuous improvement
by contribution of small changes throughout the organization.
(ii) There is urgency about the never-ending effort for improvement and gradual
change for better. Repetitiveness is considered as negative and as an
inhibitor to progress.
(iii) There is an emphasis on the process rather than on the output. This is based
on the realization that mass inspection of the output is a non-value added
activity, incapable of improving quality.
A management-oriented kaizen is crucial if the morale and the momentum are to be kept
up. Kaizen includes many practices that are outlined below.
2.7.1 Total Quality Control
Total Quality Control (TQC) is the high road to kaizen. TQC categorizes quality cost into
three major categories, i.e. failure costs, appraisal cost and prevention cost and manages
them separately. The underlying principle was that investment in proper quality planning
and prevention activities can lead to a substantial reduction in the failure costs (scrap,
reworking, firefighting etc.) and even in appraisal cost (inspection, audit etc.). Following
are the failure costs:
Internal Failure Costs
These are the costs associated with defects that are found prior to transfer of
products to the market or customer. Examples include scrap, spoilage, defectives
and rework. Some other costs that contribute to internal costs are : 31
Quality Systems (i) Failure Analysis Costs : Cost of analyzing defective product to determine
causes.
(ii) 100% Sorting Costs : Cost of finding defective items in a lot with
unacceptably high level of defects.
External Failure Costs
These are the costs associated with defects that are found after product is shipped
to the customer. The components of external cost are :
(i) Warranty Charges : Costs in replacing or making repairs to product that are
within warranty period.
(ii) Complaint Adjustment : Cost of investigation of complaints attributed to
defective product or installation.
(iii) Allowances : Costs of concessions made to customer due to substandard
products.
Appraisal Costs
These are the costs incurred to determine the degree of conformance to quality
requirements. These include :
(i) Incoming Inspection : Costs of determining the quality of purchased product
by inspection on receipt or by inspection at source.
(ii) Final Inspection and Test : Costs of evaluation of conformance to
requirements.
(iii) Product Quality Audits : Costs of performing quality audits on in-process or
finished product. Costs of maintaining instruments and equipments.
(iv) Cost of maintaining instruments and equipment in calibration.
Prevention Costs
These are the costs incurred to keep failure and appraisal costs to a minimum. The
various techniques used to minimize failure or appraisal costs are : quality planning,
process planning and control, audits, quality training, supplier quality evaluation and
products review.
2.7.2 Kanban Just-in-time System
Kanban is a communication procedure in the production process aimed at elimination of
all waste by just-in-time collection, production and delivery. Just-in-time or JIT is a
discipline organized to improve quality and productivity through the elimination of all
waste. Its goals are :
(i) Maximize customer service levels through delivery, quality, price, design and
flexibility.
(ii) Minimize cost to the corporation through overhead, material cost, scrap,
inventory holding cost, and productivity.
Kanban is a special method of achieving JIT production and scheduling. It literally means
“card” and is sometimes referred to as the “pull” system. The kanban system was
pioneered by Taiichi Ohno in Toyota’s plant in order to reduce unnecessary waste. The
different levels of waste include overproduction, waste in motion and transportation of
units, waste in processing and machine time, waste in inventory and waste in defects.
The process of Kanban involves pulling parts and replacing with cards through the
manufacturing sequence as needed. There are two types of kanban – withdrawal and a
production ordering. For example, A, B and C are the final products of a factory, each
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requiring a definite number of ‘a’ and ‘b’ parts (screws and washers). The worker Concepts of Total
producing A goes to the machining line where parts ‘a’ are being prepared. If A requires Quality Management
3 number of a’s, he withdraws 3 from machining line and replace with 3 production
ordering kanbans. This kanban is picked up by a worker from machining line and this
serves as an order to produce 3 parts of ‘a’. The withdrawal kanban shows the quantity
of items that subsequent process should withdraw from the preceding one. The production
ordering kanban shows the quantity that preceding process should produce.

Machining Line Assembling Line

Figure 2.8 : Kanban in the Production Process

The benefits of kanban are :


(i) Necessary parts are received and delivered promptly only when they are
needed, cutting down on waste, storing space and in inventory.
(ii) Elimination of non-value added activities and waste movement of materials.
(iii) Kanban helps in changing the plant and machinery layout for better
efficiency. If necessary, whole factory space can be redesigned.
2.7.3 Quality Circles
These are informal groups whose members meet occasionally on a voluntary basis, with
the main purpose of problem solving. A circle usually consists of a maximum
10 members and their supervisor who works as a leader. Quality circles aim towards the
educational development of their members. The members of these groups are people
from management and the workforce, as well as supplier and subcontractors. These
members are initially subjected to a training course. The course consists of :
(i) Study of simple problem solving technique like brainstorming, cause and
effect diagrams, histograms, control charts, etc.
(ii) Study of reports of improvement projects carried out by other QC circles.
(iii) Participation in an actual project and implementation of the lessons.
The underlying principle guiding the working of a quality circle is that the members of a
QC are the best to know about the problem. Hence, with a little management tactics, they
can solve the problem on their own. The benefits arising of working through a quality
circle are many, but they can be regarded to fall in two categories : measurable savings
and improvement in the attitudes and behaviour of workers.
(i) Since people work together on an equal basis; this strengthens team spirit
and improves morale and communication.
(ii) It promotes initiatives and substantially develops the ability to solve problems.
The effects of QC fall into three categories :
(i) Effect on characteristics of individual.
(ii) Effect on relationship among individuals.
(iii) Effect on attitudes of workers toward the organization.
2.7.4 Total Predictive Maintenance (TPM)
TPM is defined as activities aimed at :
(i) eliminating breakdown defects, and all other equipment losses,
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Quality Systems (ii) gradually increasing equipment effectiveness,
(iii) improving company profits, and
(iv) creating a satisfying workplace environment.
TPM emphasizes on effective use of existing resources to minimize waste. This is a
preventive approach to bring in changes. TPM can be an important cost saver because :
• further capital investment of new machines can be avoided,
• time consuming activities like breakdowns, repairs etc. can be prevented, and
• simple maintenance activities like oiling equipment on a routine basis,
improve the plant condition. TPM programs depend on simple skills and
include daily checking, equipment tuning, adjustments, trouble -shooting and
repair.
The above-discussed four Kaizen practices act as a versatile tool because :
(i) It assists in identification and elimination of sources of potential problems.
(ii) At any time an indication of the current capability of the equipment can be
assessed.
The kaizen improvement process is in sharp contrast with the type of improvement that is
usually the result of innovation. Top management’s responsibility is however to maintain a
balance between the two. Table 2.2 compares these two approaches toward quality
improvement.

Table 2.2 : Comparison of Innovative and Kaizen Approaches to Improvement


Innovation Kaizen
1. Innovation is a short-term, dramatic 1. Kaizen implies slow, step-by-step
improvement improvement.

2. Requires a large initial investment but 2. Requires effort to maintain but


little effort to maintain. minimal investment.

3. Innovation is result-oriented 3. Kaizen is process-oriented.


4. It is a prerequisite for achieving and 4. It is a prerequisite to exceptional care
sustaining superior company for the customer, through superior
performance. quality and service for the external
customer, and through proper
leadership for internal customer.

2.8 DEMING APPROACH TO TQM


Dr. W. Edwards Deming was a statistician by training and largely involved in rebuilding of
Japanese industry after World War II. He is largely known for his application of statistical
theory to manufacturing variation. Deming defines TQM as “A culture inherent in which
there is total commitment to the quality and an attitude expressed by everybody’s
involvement in the process of continuous improvement of products and services through
the use of innovative scientific methods”. Deming’s contribution to TQM is listed in his
14 points to quality improvement, seven deadly sins and PDCA cycle.

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2.8.1 14 Points to Quality Management Concepts of Total
Quality Management
The principles by which TQM can be incorporated into an organization is given by
Deming’s 14 points for Transformation of Management. These include
Create Constancy of Purpose
Create constancy of purpose towards improvement of product and service with the
aim to become competitive, to stay in business, and to provide jobs. The
management must take immediate action on any deviation from the drive towards
achieving constancy.
Adopt a New Philosophy
A change is necessary in the old management methods, which are no longer
effective for today’s business environment. If current management practices are
not in tandem with the type of business then the cost is bound to be loss of
competitive position.
Cease Dependence on Mass Inspection to Achieve Quality
Build quality into the product in the first place. If possible, everything has to be
done right at first time so that there is no need for rectification later. There is a
need to replace the practices of mass inspection and defect detection with
practices of defect prevention and continuous improvement
End the Practice of Awarding Business on the Basis of Price Alone
The low price of incoming materials does not ensure performance. It is possible
that the future supplies are not consistent as regards quality level. Therefore, it is
always worthwhile to stick to a single supplier for any one item in a long-term
business association of loyalty and trust.
Constantly Improve the System of Production and Service
The company should always try to reduce variability in order to improve quality and
productivity constantly and decrease costs. The manager should keep an eye on the
system, maintenance and process improvement and training. He should anticipate
trouble and not become content.
Institute Training on the Job
Training and education are the cornerstones of consistency. Investment in proper
training of all new employees including managers will ensure that newcomers will
immediately start contributing to their full capacity.
Adopt and Institute Methods of Supervision and Leadership
The aim of supervision should be to help people and machines do a better job, that
employees take more interest in work and come forward in handling
responsibilities. Modern leadership means that people leading the company must
show the employees ways of improving productivity; the leaders should be a
motivating factor; they should teach and counsel rather than judge.
Drive Out Fear
In order that everyone works effectively and productively for the company, a
two-way communication should be encouraged. When fear is driven away, it leads
to successful joint working relationships, based on respect and cooperation. An
atmosphere of fear is always counter-productive and reduces competitiveness and
innovation.
Break Down Barriers between Departments and Individuals

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Quality Systems People from all departments contribute to a common goal of company and
eventually success. This is possible when individual barriers breakdown and lead to
mutual trust and cooperation.
Eliminate Slogans
Slogans and poster campaign demanding for new levels of excellence do not yield
positive results because the worker cannot correct the causes of low quality and
unsatisfactory productivity. No substantial improvement can be made through
slogans unless management takes an initiative or employee training is done.
Eliminate Numerical Goals or Work Standards
The only way to increase quality and productivity is to replace work standards with
competent leadership. If target is reasonable and eventually achieved, the employee
involved will become complacent and put no more efforts. On the other hand if
target is unreasonable, either it will not be attained or it will be attained by
manipulating the figures and/or lowering standards. Thus, any methods relying on
numerical goals are detrimental to the future of the whole company.
End Annual Reviews or Merit Rating
Deming strongly recommends the abolition of the annual merit rating because it
destroys teamwork, increases variability in the performance of employee and
focuses on short term. Besides, it causes excessive internal competition and
isolation, reduces initiatives and risk-taking.
Institute a Rigorous Program of Education and Self-improvement
This refers to continuing re-education and self-improvement for everyone.
Retraining is as essential as providing training to new employees because it gives
the people a sense of security that their work carries a value. Re-education assures
that if the position, the employee is currently holding, ceases to hold a value, then he
would be able to change into a more valuable position within the company.
Define Top Management’s Permanent Commitment to ever Improving Quality
and Productivity
Management should immediately take action to accomplish the transformation by
implementing the preceding 13 points. Once a manager fully understands Deming’s
philosophy, he will become capable of coordinating actions for continuous
improvement.
2.8.2 The Seven Deadly Sins
Deming, in addition to putting forward his philosophy in the 14 points, also identified seven
deadly diseases that, if unattended, cause harm in the organization and prevent it from
becoming a “world-class” organization. The seven deadly sins are :
Lack of Constancy
A constancy of purpose provides the company charter for planning of products and
services that will have a market and keep the company in business and provide
jobs. The absence of constancy of purpose has a bad effect on the overall
environment of organization.
Short-term Profits
An emphasis on short-term profits is accompanied by short-term thinking. Profits
can be obtained by cutting down and training on investments originally intended for
employee benefits. The reasons of such action are: fear of unfriendly takeover and
push from investors for dividends.
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Performance Appraisal Concepts of Total
Quality Management
The meaning of performance appraisal is evaluation of performance by merit
rating. If the merit is based on system parameters that are against the norms and
ethics of present and without comparison to standard reference, the effects could
be devastating. Rewards based on short-term performance destroy long-term
planning, builds fear, demolishes teamwork, nourishes rivalry and politics. Often, a
feeling of depression is inevitable making the employee unfit for work for weeks
after receipt of rating.
Job-hopping
Job-hopping refers to the constant change in management due to continuous
replacement or exchange of people in leadership positions. This leaves everyone
wondering about stability, having to deal with new style of leadership and changes
in direction.
Use of Visible Figures Only
When a company presents its progress report, it is often subjected to manipulation.
One can cut down on research, education, training and quality improvement efforts
in order to show profits. The use of only visible figures do not present the true
image of the company’s standing in the market. For example, what are the figures
for failing to satisfy the customer, improving quality and productivity etc.
Excessive Medical Costs
The presence of excessive medical costs, unsafe products, unsafe processes,
unsafe work place, and job stress puts a negative effect to the work attitude.
Excessive Costs of Liability
The liability of legal requirements to be met during work costs a lot of time to the
worker. This puts him under psychological pressure and he is often involved more
with dealing how to complete the legalities.
2.8.3 The PDCA Cycle
There is an ongoing cycle of activities that Deming suggests as a procedure to assist in
the establishment and long-term existence of a quality organization. The cycle, called the
Deming cycle (or Shewhart cycle), consists of four main stages, one following another in
a specific order that is repeated continuously. This is shown in Figure 2.9. The name
PDCA cycle is often used as an acronym for all four stages: plan, do, check, act.

Figure 2.9 : PDCA Cycle

PDCA cycle reflects the basis of a self-sustaining quality programme. It should drive any
process or activity in the company, howsoever small. The four elements are explained
below.
Plan
The process of improvement should start with careful planning of the route of
action. This could involve a great deal of understanding, documenting, evaluating
and assessing the tools to be used for an effective quality programme. Change 37
Quality Systems should be gradual and not for the sake of change. At this stage, decisions should be
taken on the objectives to aim for, the changes that are needed, the types of
performance measure to be used, and who should be responsible for what. Also, a
determination should be made of the availability of resources or data, the possible
implications of the actions and the contingency measures to be taken when
something goes wrong.
Do
Implementation of the plan should follow with the involvement of everybody. This
will include training in scientific methods, survey of the customer’s needs and
expectations, identification of core processes, collection of statistical information,
understanding of process control and variation, identification of projects with
improvement objectives, formation of project teams and communication of resulting
successes. At this stage, small-scale implementation of any planned change will
take place and resulting data will be collected.
Check
Checking how the plan is evolving is an important part of the cycle. This involves
measuring and observing the ‘effects’ of any change or test carried out at the do
stage, analysis of results, feedback and revie w. Using actual data, deviations from
original expectations should be evaluated and investigated.
Act
Corrective action can follow, based on the lessons learned so far. A study of the
current situation should be made, standardizing any improvements and properly
documenting any good new processes and innovative ideas. The review at the
checking stage can be used as a learning process, so that knowledge is built into a
new plan. Planning requires prediction; the result of any change at the action stage
can enhance the ability to predict in the future. The Deming cycle of Planning,
Implementation, Checking, Action, (New) Plan is thus ready to start again. This
should never stop.
SAQ 1
(a) What are the differences between Kaizen and Innovation?
(b) What is a PDCA cycle ?

2.9 JURAN ON QUALITY


Dr. Joseph Juran was one of the first persons to incorporate the involvement of people
within quality. Juran’s point was that organizations were well aware of the aspects of
quality control but did not know how to manage for quality. The ideas for which he
was best known are:
(i) Top management involvement.
(ii) Placed emphasis on training process supervision and operators.
38
(iii) The application of Pareto principle. Concepts of Total
Quality Management
(iv) The project-by-project approach to quality improvement.
Juran places more of the quality responsibilities to middle management and quality
professionals. The role of upper managers is restricted to guidance and policy making.
Management for quality is done by the use of three managerial processes – planning,
control and improvement which are three members of Juran’s Quality Trilogy model.
2.9.1 Quality Trilogy Model
The model is shown in Figure 2.10.
Quality Plan
• Who is customer? Process
• What are his needs? to
• Convert needs into specifications Transfer Operation
• Develop and optimize product
• Establish new operating
conditions
Set

New Level of Quality

Negative
Influences

Degradation of No Quality Control


Quality Level Present?

Quality Improvement
Schemes Apply Yes

Higher Level of Quality

Figure 2.10 : Sequence of Events in Quality Trilogy Model

Quality Planning
The important aspects in planning for quality are
(i) Identifying the customer and needs.
(ii) Translating the customer’s needs into a language that every employee of
organization can understand, and develop a product.
(iii) Optimizing the product by developing and optimizing the process.
(iv) Once operating conditions have been established and proved as optimal,
transferring the process to operate. Cost considerations play important role in
planning.
Quality Control
Control is the process of detecting and correcting adverse changes. Changes occur
inadvertently due to effect of negative influence on the set level of quality. It is
crucial to take action when standards are not met in the from of audits, control
limits etc. Juran states that the majority (80%) of the current quality problems are
the fault of poor management rather than poor workmanship on the factory floor.
Only a process in control is predictable and amenable to further improvement.
Quality Improvement
39
Quality Systems Juran believes that improvement can be realized by organized procedures and
priority. To achieve a breakthrough, Juran suggests the following steps:
(i) Accept the responsibility for making improvement. Management must be
involved.
(ii) Understand the universal sequence of events for making the improvements.
(iii) Apply the universal sequence to actual company problems.
2.9.2 Achieving Quality through Breakthrough
Juran emphasizes that quality results can be attained by making a breakthrough. A
breakthrough indicates a “beneficial change” from status quo. Such a change is needed
for overcoming chronic quality problems. The organization often are busy in fire fighting
to overcome sporadic quality problems but would be immensely benefited if chronic
quality problems are removed. But quality does not happen by accident. It has to follow a
sequence of plan. Juran dictates the following steps by which this universal breakthrough
sequence is to be carried out in an organization.
Proof of the Need
Appropriate level of management should be convinced of the significance of the
quality issue which will require a new approach. The top management easily
understands a proposal in terms of money. For example, the problem of waste
should be converted into money lost in order to provide a proof to the management,
i.e. the management must acknowledge that a lot of waste is being generated under
the current practices of operation.
Project Identification
The only way of achieving a breakthrough is by converting chronic problems into
specific projects. The project provides a way of separating budgets and facilities
to conduct experiments. In order to correctly identify project, prioritizing is done by
pareto analysis (discussed in Section 2.6.3).
Organization for Improvement
This stage requires that clear responsibilities are established for three levels of
activities :
(i) Guiding improvement programmes that are done by a team of upper
managers.
(ii) Project-by-project improvement.
(iii) Analyzing each project.
The Diagnostic Journey
The diagnosis involves discovering the causes of defect by proper experimentation,
data collection, interpretation of results and finally testing any theories. Errors are
bound to occur either from operator side or management side or both. Juran
categorizes them as :
(i) Inadvertent errors if these are unintentional and unpredictable; beyond the
realm of operator awareness.
(ii) Those errors arising out of lack of knowledge are technical errors.
(iii) The last one is willful errors so called because operator makes intentionally
and persistently and is aware of making the errors but ignores.
Remedial Action
40
For problems arising due to operator controllable error, Juran suggests the Concepts of Total
remedies, some of which are as follows : Quality Management

(i) One should not give orders to other and both should take orders from the
situation.
(ii) Establish accountability. Find out who the worker is and who did the job.
(iii) Provide assistance to workers in identifying defects from operator’s side.
(iv) Reassign work by separating critical work from rest.
(v) Improve communications among workers and supervisors to promote the
mutual interests and understanding.
(vi) After the problem is diagnosed, a proper choice to solution should be
considered. The best method of doing this is to quantify for each alternative
the cost to organization.
(vii) Practice preventive maintenance.
(viii) Practice open communication and feedback between different departments.
Quick access to procedures, instructions, policies, keywords, specification
etc.
(ix) Establish clear responsibilities for quality-oriented decision.
(x) Practice sampling instead of 100% inspection.
(xi) Separate problems using Pareto principle.
Resistance to Change
There is a resistance to change. Juran recommends certain actions to overcome
the social and culture factors.
(i) Provide Participation : People who are affected by the change should be
allowed to participate both in planning and in execution of change. This
provides opportunity to evaluate merits as well as impact and threat to
current beneficial practices. Participant should be treated with dignity so that
favourable social climate is developed which makes change more
acceptable.
(ii) Provide Enough Time : In order to absorb and evaluate the merits and
demerits of change, adequate time must be allowed. Conducting a small
tryout of the yet-to-incorporate change reduces risks and provides the
needed proof to the advocates of change as well as those giving resistance.
Holding the Gains
The final step in a breakthrough sequence is to hold the gains achieved so far.
Operating forces must engage in control activities when out of control situations
occur. The methods of doing this are
• establishing new standards and making it known to operators of what is
expected from them from now on,
• training of operator so they know what exactly has been changed, and
• establishing a new system of control consisting of early warning signals,
techniques for analysis of data and rules for decision making and reporting.
When a breakthrough in new level of performance has been achieved and gains have
been held as the new standards, the sequence of event is ready to start again.

41
Quality Systems
2.10 CROSBY AND QUALITY TREATMENT
Philip B. Crosby was first to popularize quality for top management. He claimed that all
quality improvements pay for themselves, i.e. that quality is free. Crosby’s most important
contribution has been the development of a 14-point programme of quality improvement
and zero defect concept.
2.10.1 Zero Defect Concept
The zero defect concept has two meanings which are explained below.
Defect-Free Product
This concept has value as a long- range objective, since it implies the need for
never-ending improvement. The concept rejects the idea that we can relax our
efforts short of perfection. In contrast, if defect-free product is viewed as a
short- range objective, it becomes counterproductive by shutting off efforts to reach
attainable goals.
Zero Defects as a Slogan
In this meaning, the term is adopted as a kind of banner, which motivates the
company to improve quality. In its best usage, this is comparable to adopting an
appealing brand name to help sell a product. If the drive is well conceived (i.e., a
“good” product), then a good brand name is assured. If the drive is ill-conceived
(e.g., an attempt to solve the company’s quality problems by pressurizing the work
force), then it will fail no matter how clever is the slogan.
2.10.2 The Four Absolutes of Quality
Crosby provides the following four absolutes regarding quality.
Quality Means Conformance, Not Elegance
Quality is the conformance of a product or a service to requirements. The definition
of quality can never make any sense unless it is based on exactly what the
customer wants. As a consequence, the management has the following three tasks
to perform.
(i) Establish the requirements to be met and communicate them to all employees
of organization.
(ii) Provide appropriate tools and techniques, and the necessary training in them.
(iii) Provide continuous support and management.
The System of Quality is Prevention
Before carrying out the operation, it is beneficial to identify all opportunities for
error. At least a contingency plan can be drawn up so that if the problem really
occurs, the damage is controlled and restricted to minimum possible. Inspection is
inevitable. But a company that relies on mass inspection of the final output cannot
achieve progress.
The Measurement of Quality is the Price of Non-conformance
The price of non-conformance (PONC) indicates the costs involved with doing
wrong things – rejects, reworking, warranty costs etc. The sum costs of such
actions amounts to 20-40% of the total operating costs. This is the reason why
Crosby stressed that quality is more of a management function rather than a
technical operation. When management realizes the damage done, it is prompted to
apply professional quality functions, prevention efforts and quality education to
bring down the loss. This cost of effort is called the cost of conformance or COC.
42
Thus, a company whose products and services are rated as of high quality is paying Concepts of Total
a very low price of non-conformance. Quality Management

The Only Performance Standard is Zero Defects


The concept of zero-defect is based on the fact that any deviation from target
causes a loss. Hence, it is always cheaper to do the job right first time, on time,
every time. Only that management, which continuously strives to produce a product
free of any errors, meets the performance standard.
2.10.3 Crosby’s 14 Points for Quality Improvement
According to Crosby, quality is a never-ending process. Crosby laid down the following
14-points to assist in the establishment of a quality ethics.
Management Commitment
Quality should be the first agenda of all management meetings. Senior management
must demonstrate their commitment to quality by making clear how it is going to
deliver defect free products and service on time.
Quality Improvement Team
A quality improvement team will consists of people who will assist in the changing
of the system to enable quality to flourish. Its main task will be to
• change the attitude and practices of those who run the company,
• set up required educational activities, and
• coordinate the efforts of team members and upper management.
Measurement
A clear method of measurement for every part of an activity should be decided.
Once decision is taken, a level of reference is created, reasonable targets can be
set, progress can be monitored and comparisons can be made.
The Cost of Quality
The management needs to monitor the cost of quality and then treat it as a positive
item in the management process. If the costs are high, it indicates the returns
made by current quality practices are not favourable. Those processes accounting
for the maximum consumption of resources needs to be given prior treatment and
modifications.
Quality Awareness
People should be continuously reminded about the management commitment to
quality, training facilities. Crosby advocates the use of slogans or posters also as a
reminder to the workforce of importance of quality.
Corrective Action
Any corrective action must be executed only after analysis of past data or
determination of the cause so that the problem is treated permanently. The
organization must be wary of undertaking any corrective action, which takes the
form of reworking or replacement activity because it does not carry any value.
Zero Defects Planning
Proper planning is required for the concept of zero defect to be embedded in the
company culture. It will have to start with a zero defect commitment from the top
management. Crosby suggests the awareness training including the celebration of
“Zero Defects Day”.
Employee Education
43
Quality Systems The subjects addressed during education process are concerned with the
company’s activities and ways of achie ving quality. A classroom environment,
where both workers and management participate, results in greater understanding
and break down barriers leading to collaborative work. Crosby states six elements
in the entire education process which is also referred to as 6 Cs.
• Comprehension (understanding of what is necessary, abandonment of the old
way of thinking and of outdated practices).
• Commitment (management-led dedication to cultural change).
• Competence (methodical and scientific implementation of improvement
process).
• Communication (complete cooperation throughout the production process,
including suppliers and customers).
• Correction (elimination of all causes of problems and prevention of new ones
arising).
• Continuance (never-ending effort for improvement).
Zero Defects Day
Crosby recommends the celebration of zero defects day to reward serious efforts.
This act will be a reminder of importance of quality and as a demonstration of
commitment towards zero defect principle.
Goal Setting
When it comes to quality, the ultimate goal is that of zero defects, and all
intermediate goals should move in that direction.
Error Cause Removal
The permanent removal of causes of error requires a team effort. The
identification of error is possible when a proper communication exists between the
members of team. Communication ensures sharing of knowledge and experience.
Each team member can contribute by submitting a defect cause removal proposal.
Recognition
Crosby considers recognition as a reference point to help the improvement efforts
in right direction. The recognition process needs to be planned carefully and
developed gradually. When an employee is decorated with a quality award for his
efforts, it must set an example to others and not rivalry.
Quality Council
The people who define the mission, visions, values and policies necessary for
managing the improvement process can be brought together in one group under the
name of quality council. A council serves a common platform where they exchange
their knowledge and the coordinated expertise can be effective in providing support
to quality improvement teams in their efforts towards elimination of hassle and
achievement of zero defects.
Do it All Over Again
TQM can happen if the effort is continuous. The process of learning, participating
and experimenting with new methods should never end process. The process can
gain speed and get embedded in the work culture when done again and again.

44
SAQ 2 Concepts of Total
Quality Management
What is the difference between price of conformance and price of non-
conformance?

2.11 STEPS IN IMPLEMENTING ZERO DEFECT


PROGRAM
The zero defect concept seeks the voluntary participation of all workers in understanding
personal responsibility for the quality of task they perform. Zero Defect (ZD) programs
can be implemented in the following ways.
Personal Challenge
The employees are challenged to adopt work culture and error-free performance.
They are requested to voluntarily sign pledge cards – a promise that they will strive
to observe the highest standards of quality and performance.
Identification of Error-concept
The problems which obstruct ZD aim are identified, defect sources traced out and
their causes rectified. This phase provides employees with a background of the
problem. They are encouraged to be alert and report potential sources of defects.
Inspection
The employee or worker is trained about specific quality points he is expected to
monitor and encouraged to report any out-of-control conditions promptly. The use
of ZD breakdown sheet is taught to him for error-free work performance. The
sheet has two columns, one showing the logical sequence of operations and the
other critical factors, which determine whether the job is being carried out without
defect.
Motivation
The management should try to make the workers realize that ‘Quality is important
to the company’s future and employee’s future, depends on the company’s future;
therefore quality is important for every person working in the company. The
following two methods are used for creating psychological climate favourable for
quality mindset.
Attract Attention
With the help of slogans such as “Up with quality, Down with rejects”, letter
to employee’s homes from company president, articles with pictures in
newspaper etc.
Generate Interest
With the help of displays on how company products are used and highest
quality workmanship award etc. A well-planned programme on quality
education to highlight the impact of quality on the image of the company in
the market is needed.

45
Quality Systems
2.12 POKA-YOKE
The concept of Poka-Yoke was pioneered by Shingeo Shingo of Japan to produce zero
defect products. It is basically a mistake-proofing system. Originally called “fool proofing”
and later changed to “mistake proofing”, poka-yoke translates into English as to avoid
inadvertent errors. Such a system employs inspection actively to identify errors during
the process. The result is a business that wastes less energy, time and resources. A poka-
yoke employed in a production system works by detecting the errors and stopping the
production. Only after finding out the cause of error and eliminating error, the production
system is resumed. The use of poka-yoke in a production system is extremely valuable
because it prevents the occurrence of the same error repeatedly. Poka-yoke uses a
bunch of small devices to either detect or prevent defects. The device can be developed
by anyone from manager to line employee. A poka-yoke device is any mechanism that
either prevents a mistake from being made or makes the mistake obvious at a glance. The
ability to find mistakes at a glance is essential. Suppose a person picks up a pen at a bank
to sign a cheque. But when the top is depressed to extend the writing part the pen
malfunctions because the inside spring is absent. A simple poka-yoke to prevent such a
situation could have been built into the assembling process of pen. This is as follows :
(i) Present all the pieces of pens in one dish and springs in another dish.
(ii) The worker counts out springs from the dish, puts springs inside pen and
places them in a small tray.
(iii) After assembly is complete, if a spring remains in the dish, an error has
occurred. The operator knows a spring has been omitted and can correct the
omission immediately.
The cost of this inspection (looking at the dish) is minimal, yet it effectively functions as a
form of inspection. The cost of rework at this point is also minimal, although the preferred
outcome is still to find the dish empty at the end of assembly and to avoid rework even
when its cost is small. The effects of employing poka-yoke are observed in increased
productivity and decrease of error rate. Poka-yoke devices are an effective alternative to
demands for greater worker diligence. Hence, the morale and worker attitudes also
improve when a poka-yoke is employed. There are certain disadvantages associated with
installation of poka-yoke.
• It demands a certain level of quality built into system. For example, if a
production line is malfunctioning at several points, the in-built poka-yoke will
cause a large number of stoppages of the line. This is not desirable, as
productivity will be hampered.
• The devices do not work properly if the production rate is very fast. This is
because the devices need some time to respond to an error and if the
production line moves rapidly, it is possible to bypass the error. For example,
by the time, error in certain dimension of a component is noted and the
information is conveyed to production line, many quantities of the product
would have been produced.

2.13 CONCURRENT ENGINEERING


Concurrent engineering requires performing the various steps and processes in managing
a project in tandem rather than in sequence. This means that engineering; research and
development, production, and marketing are all involved at the beginning of a project,
before any work has been done. Combining concurrent engineering with TQM and
project management may produce the following benefits
46
• New product development times are reduced. Concepts of Total
Quality Management
• Average life of the product is increased.
• Sales and revenues are increased.
• The number of customers increases.
Organizations with separate methodologies for each process may end up with duplication
of effort, duplication of resources and even facilities (Figure 2.11(a)). As organizations
begin recognizing the synergetic effects of putting several of these under a single
methodology, the first two process to become partially coupled are project management
and TQM (Figure 2.11(b)). As the benefits of synergy and integration become apparent,
organizations choose to integrate all the processes (Figure 2.11(c)).
TQM

Project
Management

Concurrent
Engineering

(a) (b) (c)

Figure 2.11 : Integration of Project Management and TQM with Concurrent Engineering

Managing a project in tandem rather than in a sequential manner is not easy and superior
project control is required to avoid increasing the level of risk later in the project. The
most serious risks are delays in bringing product to market and costs when reworking is
needed due to poor planning or poor project control. Improved planning, scheduling and
control are essential to modern project management, so it is obvious for top companies to
integrate concurrent engineering, project management systems and TQM.

2.14 SUMMARY
In this unit, an introduction to the various elements of TQM is provided. The views of
Deming are explained through Joiner’s triangle, 14 steps to Quality Management and
PDCA cycle. Juran’s road to improving quality is presented through Juran’s Trilogy
Model. The concept of Zero Defect and 14 points of Quality Improvement form the basis
of Crosby’s philosophy. In addition, a description of various quality tools were also
explained. The practices of Kaizen and Poka-Yoke were addressed to show how
productivity could be increased. Finally, the concepts of Concurrent Engineering were
introduced to show the benefits of integrating different management practices in the quest
to quality.

2.15 KEY WORDS


Continuous Improvement : It means that new products are launched or
existing products and services are improved.
Control Limits : These are statistically determined limits, which
indicate the maximum variability of a process.
Ishikawa : A pictorial representation of possible causes (major
and minor) of a specific problem in the form of a
skeleton of fish.
JIT : Just-in-time is a method of producing necessary
parts in quantities needed at a particular time only.
47
Quality Systems Kaizen : The pursuit of continuous improvement through
identifying and eliminating non-value added
activity.
Kanban : It is an instruction on card requiring the operator to
produce the products.
Pareto Principle : This principle states that the major part of the
problems may be caused by small number of
possible causes.
PDCA : The continuous cycle of plan-do-check-act to
assist in establishment and long terms existence of
an organization.
Poka-yoke : Poka-yoke, also called mistake proofing, is a simple
method to prevent defects from occurring in your
business processes.
TQM : TQM is management and control activities based
on the leadership of top management and based on
the involvement of all employees and all
departments from planning and development to
sales and service. These management and control
activities focus on quality assurance by which
those qualities, which satisfy the customer, are built
into products and services during the above
processes and then offered to consumers.
TQC : Total Quality Control is an effective system of
integrating quality development, quality
maintenance and quality improvement efforts of
the various groups in an organization, so as to
enable production and services at the most
economical ways, which provides customer
satisfaction.

2.16 ANSWERS TO SAQs


Please refer the preceding text for Answers to SAQs.

48

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