implement TQM in order to gain competitive advantage in terms of
quality, productivity, customer satisfaction, and profitability. ... The findings of this study indicate that TQM has a highly positive effect on organisational performance.
Why TQM fails?
1. 1. Pankaj Nalwa pankajnalwa@gmail.com
2. Implementing TQM is not as simple as acquiring knowledge of it. The reasons for failure of TQM are related to the various approaches followed by the organizations in implementing TQM. Pankaj Nalwa pankajnalwa@gmail.com 3. Approaches followed by organizations can be categorized as: Materialistic Ritualistic Spiritualistic Pankaj Nalwa pankajnalwa@gmail.com 4. Materialistic Approach Organization is concerned about results and dont focus on systematic approach and people involvement. They skip steps and treat people as mechanicalmachinery.These kind of organizations usually ends up in a chaotic situation. Pankaj Nalwa pankajnalwa@gmail.com 5. Ritualistic Approach Organization go after systematic approach without adequate focus on people involvement and results. They end up creating bureaucracy and the results do not show any improvement. People lose faith and confidence. This can be seen in many ISO certified companies. Following only system and procedures is no guaranty of quality. Pankaj Nalwa pankajnalwa@gmail.com 6. Spiritualistic Approach Organization focuses on people involvement and create lot of enthusiasm. But they fail to channelize their energy through proper systems and defined approaches towards the result, which can be measured in quantified terms – thus end up in total confusion. Pankaj Nalwa pankajnalwa@gmail.com 7. Balancing Act Successful implementation of TQM requires the balancing act between the Ritualistic Materialistic three aspects without over or under-doing any of these. Spiritualistic Majority of companies, who fails in TQM initiatives do not understand this. Balancing Act They just pick a few TQ tools like 7 QCtools, SPC, QCC, TPM, 5S and want quick solution to their problems. Pankaj Nalwa pankajnalwa@gmail.com 8. Reasons for failure¤ TQM implementation without quality culture. ¤ Lack of top management commitment and involvement.¤ Employees resistance to change.¤ Barriers between departments (Lack of teamwork).¤ Measuring quality. Pankaj Nalwa pankajnalwa@gmail.com 9. 9. Reasons for failure¤TQM viewed as quick fix with focus on short term goals.¤ TQM overly complicated by SPC techniques.¤ Failure to link TQM strategically with business goals.¤ Although TQM is conceptually applicable to all departments/ functional areas, but in actual practice it usually confined to quality assurance or quality control of products / services. Pankaj Nalwa pankajnalwa@gmail.com
total quality management
1. 1. MEANING OF TQM The Institute of Management Services defines Total
Quality Management as:"A strategy for improving business performance through the commitment and involvement of all employees to fully satisfying agreed customer requirements, at the optimum overall costs, through the continuous improvement of the products and services, business processes and people involved." 2. 2. TOTAL QUALITY MANAGEMENT{DOING THINGS RIGHT} TOTAL- made up of whole QUALITY-degree of excellence i.e. performance over expectation MANAGEMENT- act,art,or the manner of handling, controlling, directing etc. 3. 3. MEANING OF SIX SIGMA Six Sigma is a business management strategy, USA in 1986, that is widely used in many sectors of industry. Six Sigma seeks to improve the quality of process outputs by identifying and removing the causes of defect minimizing variability in manufacturing and busines s processes. A six sigma process is one in which 99.99966% of the products manufactured are statistically expected to be free of defects (3.4 defects per PRINCIPLES OF TQM 4. Produce Quality Work the First Time. 5. Focus On the Customer 6. Have A Strategic Approach To Improvement 7. Improve Continuously and Always 8. Encourage Mutual Respect and Teamwork. Add Value to The Process Implement The New Technology Plan For All Contingencies Develop Win-win Scenarios Develop A Master Plan Advantages of Total Disadvantages of Total Quality Management: Quality Management: Improves Initial introduction co reputation sts Benefits may not be Higher employee seen for several morale years Lower costs Workers may be Quality Control resistant to change – inspectors may feel less secure in jobs Reduced 9. 7. ELEMENTS OF TQMLeadershipEmployee involvementproduct/process excellenceContinuous improvement 10. 8. FRAMEWORK OF IMPLEMENTING TQM Identify the degree of commitment, key interest and list down the long term changes required Define objectives of tqm Identify resources available and develop understanding of organizational system with quality system Specify top mgmt commitment through quality policies, procedures and processes Create participative work environment Design plans Develop strategies for implementing Allocate resources Implement & monitor Measure benefits in terms of increased customer satisfaction Review and reward 11. 9. OBSTACLES TO IMPLEMENT TQM Lack of company wide definition of quality Lack of formalized strategic plan for change Lack of customes focus Poor inter organixzational communication Lack of real employee empowerment Drive for short term financial results 12. 10. conclusi TQM – A WAY OF WORKING on INVOLVES EVERYONE HIGH PROMINENCE ON CUSTOMER AWARDS BASED ON TQM T
Tqm total quality management
1. 1. TOTAL QUALITY MANAGEMENT (TQM) Presented by : GANDHI SONAM
MUKESHCHANDRA Dept. of Industrial pharmacy 2. 2. General INTRODUCTION In the past 10 or 20 years a few companies have radically transformed their business performance. Many of concept and method they have used are now collectively called TOTAL QUALITY or TOTAL QUALITY MANAGEMENT. Many companies have found that all of their radical restructuring, reengineering, downsizing and numerous quality program may have helped them survive, but they still don’t have distinctive quality advantages. 3. 3. Reimenn (1992) then director for quality programs, National Institute of Standards and Technology. U.S. Department of commerce, in Testimony to the U.S. congress, stated this clearly. There is now far clearer perception that quality is central to company competitiveness and to national competitiveness. During (1991) the U.S. General Accounting Office (GAO) completed a study of Macolm Baldrige National Quality Award winners and site visited companies. In the United State, the President and the Secretary of commerce have given their personal support and attention to quality, thus elevating quality on personal agenda. In the other countries like Argentina, Brazil, France, Greece, Malasia, Mexico, and Singapore there has also been leadership from the Government and business, creating National Programs of awareness , training and awards. 4. 4. introduction Quality is outcome of quality culture in a business organization. It can’t be achieved only by technical application through process evaluation. The concept of TQM has been developed from inspection, quality control and quality assurance. INSPECTION –earlier to ascertain whether a product confirms to the specification the method used was inspection and measurement which was post production activity. QUALITY CONTROL – this was also a post production activity to detect defect in the finished products using technique to achieve maintain and improve quality standards of the product and services. QUALITY ASSURANCE – this is third evolutionary phase which contain all planned and systemic action necessary for compliance of given requirement for quantity of product or service meeting quality needs of the customer. 5. 5. definition“Total quality Management (TQM) is a style of working of management to achieve customer Satisfaction by boosting quality through continuous improvement and by motivating employees towards quality.”TQM means systemic approach which integrate quality related activities throughout the organization including -market research, research and development ,operational planning for production of goods and services, procurement , production and services.Total quality management is an integrated management concept for continuous improvement of quality of goods and services through the participation of people at all level and function of the organization. 6. 6. GOAL OF TQMTo achieve complete lack of defects i.e. zero defects.It is applicable to both products and services.Small scale improvement at all level of cumulative effect. 7. 7. WHAT IS TQMTQM is blend of technologies focused on four concepts. Defect prevention 8. II. Continuous improvement. Focus on customer 9. IV. Philosophy that quality is not just the responsibility of an organization’s quality assurance department.It is a buzzword, just the latest in a string of quality slogans, or it is a new way of doing business in America.It is not a new concept, but it is a new management philosophy permeating our approach to doing business. 10. 8. History of TQM Total quality management was developed in the 1940s by Dr. W. Edward Deming who at thetime was an advisor in sampling at the Bureau of census and later became a professor ofstatistics at the New York University graduate school of business administration.He had little success convincing American business to adopt TQM but his managementmethods did gain success in Japan.In the 1970 and 1980s many American companies including Ford, IBM and Xerox, beganadopting Dr. Deming’s principle of TQM.This gradually lead to their regaining some of the markets previously lost to the Japanese.Although TQM gained it’s prominence in the private sector, in recent years it has beenadopted by some public organization. 11. 9. Principle of tqm1. Sustained Management Commitment to Quality: An organization’s personality and culture will ultimately reflect its senior management ‘s values. If an organization is serious about implementing TQM, the commitment to do so has to start at the top, and the organization’s senior management has to be unwavering in its commitment to quality. Almost any organization senior managers will claims they are committed to quality. 2. Supplier Teaming : Another principle of TQM is to develop long term relationship with a few high quality supplier rather than simply selecting those suppliers with the lowest initial cost. American industry and Government procurement agencies have had and are continuing to have , difficulty in implementing this concept, although progress is being realized. 12. 10. 3. Thinking Statistically: Telling the staff what is going on involve improved communication typically this include team one of the main element of TQM. Most of the companies do not know exactly what their staff really think. The staff attitude survey is an essential peace of research.4. Teamwork : Team working boosts employee moral. It reduce conflict and infighting. It solve problem by hitting them with a wide range of skills. Team working helps staff gain more skills and become more flexible in their work 13. 11. 5. Employee Involvement: - Direct involvement of top management speeds up decision making, top management needs to be aware of TQM.6. Employee Empowerment - Empowering of staff means getting employees to think for themselves and to make decisions for themselves. The risk of staff errors are out weighed by the increase in creativity, productivity and customer services that result from empowerment.7. Quality Measurement - Measurement allow the company to make decision based on facts, not opinion. They keep to maintain standards and keep processes within the agreed tolerance, some of the measure in TQM include Productivity, financial performance, Production quality, customer satisfaction, Staff attitude , health, safety and environment. 14. 12. 8. TRAINING - Educate and train the workforce for imparting knowledge improving skills and in the principle of the TQM which change the attitude of the workforce.9. VALUE IMPROVEMENT - The linkage between continuous improvement and value improvement is simultaneously obvious and subtle. This linkage becomes apparent when one consider the definition of quality.10. BENCH MARKING - It consist of identifying other organizations that perform well and incorporating their wisdom into your organization. 15. 13. FUNDAMENTAL CONCEPTS1. CUSTOMER FOCUS : The customer focus is a fundamental concept of quality management. After all organization only exist to provide goods and services to customers. During the evolutionary progress of almost every industry, the first phase is focus on quality of new product in the most basic term. The customer provide little input at this stage. Most are not even sure that they want these goods and services.2. CONTINUOUS IMPROVEMENT: Juran (1964) documented the structured approach that many companies used to achieve breakthrough improvement. In recent years, rapid change has become a way of life. Many companies employ this and similar approaches to create improvements by the hundreds and thousands.3. VALUE OF EVERY INDIVIDUAL: The value of each individual in an organization is another idea that sounds simple on the surface. Ideas contributed are just one measure of individual contribution. Other contributions include quality planning teams, participation on quality improvement , self control of own work process etc. 16. 14. STRONG FORCES OF TQM1. ALIGNMENT: A recent study by the Association of Management Consulting firms in the United State found that executive, consultant, and business school professors all agree that business strategy is now the single most important management issue and will remain so far at least the next 5 years. In the past few years, there has been new understanding of importance of strategy.2. LINKAGE: In the past few years companies throughout the world have embrassed the concept of re- engineering with a fervor that defies description. Pioneered in the early 1980s by the companies such as IBM, Ford, AT&T, NCR and popularized in Michael Hammers best selling book,(Reengineering the Corporation) reengineering has become a common tool for corporations throughout the world.3. REPLICTION: Probably the most powerful and the least understood way to dramatically accelerate result of quality and productivity improvement effort is the third strong force. 17. 15. Critical processes for quality management1. QUALITY PLANNING: The logical place to start is quality planning. It consist of universal sequence of events –a quality planning roadmap. We first identify the customer and their needs then design the products (goods & services) which respond to those needs. Finally, we turn the plan over to the operating processes. They then have responding the operations. They run the processes, produce the goods and services, and satisfy the customer. 2. QUALITY CONTROL: What the operating forces can do is minimize this waste.They do this through quality control.Quality control relies on five basics. A target A clear goal A sensor A way to measure actual performance A way to interpret the measurement and compare with the target and way to take action. 18. 16. 3. QUALITY IMPROVEMENT: Juran(1964) describes the quality improvement process used by individual and organisation to make “breakthrough” changes in the level of performance.The quality improvement process is directed at long standing performance levels.The quality improvement process questions whether this is the best that can be attained. 19. 17. Advantages It make company a leader not a follower. It faster teamwork. It make the company more sensitive to the customer needs. It increases customer confidence. It makes improvement of organizational reputation. 20. 18. disadvantagesTQM calls for the elimination of the goals and objectives required by managenent-by- objectives. Critics of TQM claim that this may negatively affect motivation.TQM detractors also argue that although total quality management calls for organizational change, it does not demand radical organizational reform