Professional Documents
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St. Joseph'S College of Engg. GE8077 - TQM
St. Joseph'S College of Engg. GE8077 - TQM
GE8077 - TQM
PART A
1. Define TQM.
TQM is the management approach of an organization, centered on quality, based on the participation
of all its members and aiming at long-term success through customer satisfaction, and benefits to all
members of the organization and to society.
Total →Made up of the whole
Quality →Degree of excellence a product or service provides
Management →Act, art, or manner of handling, controlling, directing, etc.
TQM is an enhancement to the traditional way of doing business. It is the art of managing the
whole to achieve excellence. It is defined both a philosophy and a set of guiding principles that
represent the foundation of a continuously improving organization. It is the application of quantitative
methods and human resources to improve all the processes within an organization and exceed
customer needs now and in the future. It integrates fundamental management techniques, existing
improvement efforts, and technical tools under a disciplined approach.
2. Define Quality? Or How can quality be quantified? NOV/DEC 2011, MAY/JUNE 2014,
MAY/JUNE 2015 ,MAY/JUNE 2016
• Quality is a predictable degree of uniformity and dependability, at low cost and suited to
the market (Deming)
• Quality is fitness for use (Juran)
• Quality is conformance to requirements (Crosby)
Quality = Performance /Expectations
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11. Give the Obstacles associated with TQM Implementation? MAY/JUNE 2015
• Lack of management commitment
• Inability to change organizational culture
• Improper planning
• Lack of continuous training and education
• Incompatible organizational structure and isolated individuals and departments
• Ineffective measurement techniques and lack of access to data and results.
• Paying inadequate attention to internal and external customers.
• Inadequate use of empowerment and teamwork.
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• Develop, with input from all personnel, the core values, vision statement,
mission statement, and quality policy statement.
• Develop the strategic long-term plan with goals and the annual quality
improvement program with objectives.
• Create the total education and training plan.
• Determine and continually monitor the cost of poor quality.
• Determine the performance measures for the organization, approve those for the
functional areas, and monitor them.
• Continually, determine those projects that improve the processes, particularly
those that affect external and internal customer satisfaction.
• Establish multifunctional project and departmental or work group teams and
monitor their progress.
• Establish or revise the recognition and reward system to account for the new
way of doing business.
18. What are four absolutes of quality observed by Crosby? DEC 2012 (May 2017)
FOUR ABSOLUTES OF QUALITY:
➢ First Absolute: The definition of quality is conformance to requirements, not
goodness.
➢ Second Absolute: The system for causing quality is preventive, not appraisal.
➢ Third Absolute: The performance standard must be zero defect, not “that’s close
enough”
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➢ Fourth Absolute: The measurement of quality is the price of non- conformance, not
indexes
21. What is a mission statement and list the key elements of mission statement?
The mission statement answers the following questions: who we are, who are the
customers, what we do, and how we do it.
The mission statement, is usually one paragraph, describes the function of the organization.
It provides a clear statement of purpose fro employees, customers and suppliers.
o Obligation to stakeholders
o Scope of the business
o Sources of competitive advantage
o View of the future
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25. What are the important factors that influenced purchases? (or) What are the customer
perceptions of quality?
• Performance
• Features
• Service
• Warranty
• Price
• Reputation
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29. Define Customer complaint, Customer Retention and Customer care. NOV/DEC 2014
A customer complaint may be defined as an expression of dissatisfaction with a product/
service, either orally or in writing, from an internal or external customer.
Customer retention is the process of retaining the existing customers. It is obvious that
customer retention is more powerful and effective than customer satisfaction.
Customer care can be defined as every activity which occurs within the organization that
ensures that a customer is not only satisfied but also retained.
31. What are the different ways to create customer oriented culture in an industry?
NOV/DEC 2016
➢ Organisational Alignment
➢ Top team Clarity
➢ Listen to employees
➢ Listen to customers- both internal and external
➢ Customer Journey Mapping
➢ Building trust
➢ Maximise the value of customer feedback
➢ Frequency of feedback
➢ Acting on survey findings
➢ Embedding customer orientated behaviours.
PART B
1. Elaborate the Deming’s philosophy over the quality and productivity improvement.
NOV/DEC 2011, DEC 2012, DEC 2013, DEC 2014,MAY 2015, DEC 2017
Deming’s contributions can be grouped under the following four topics:
• Deming’s 14 points on route to quality
• Deming cycle (PDCA cycle)
• Seven deadly diseases of management and
• System of profound knowledge
DEMING’S 14 POINTS:
1. Create and publish the aims and purpose of the organisation
• Management must demonstrate their commitment.
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• It must include investor, customer, suppliers, employees, the community and a quality
philosophy.
• Organization must develop a long term view of at least ten years.
2. Learn the new philosophy
• Top management and every one must learn the new philosophy.
• The organisation must concentrate on defect prevention rather than defect detection.
• By improving the process, the quality and productivity will improve
3. Understand the purpose of inspection
• To improve the process and reduce its cost.
• Statistical evidence is required of self and supplier.
• Mass inspection is managing for failure and defect prevention is managing for success.
4. Stop awarding business based on price alone
• The goal is to have single supplier for each item to develop a long term relationship
of loyalty and trust, thereby providing improved product and services.
5. Improve constantly and forever the system
• The focus is on preventing problem before they happen.
• To concentrate on continuous development of product and process.
• Responsibilities are assigned to team to remove the causes of problems and
continually improve the process.
6. Institute training
• Management must allocate resource to train employees to perform their jobs in the
best manner.
7. Teach and Institute leadership
• Leadership qualities must be taught to every employee.
• It helps to solve many problems at their level itself.
• To take right decision when every necessary at their level itself.
8. drive out fear, create trust and create a climate for innovation
• Management must encourage open effective communication and teamwork.
• Driving fear out of the workplace involves managing for success.
• The management must believe the employee. They should trust employee.
9. Optimize the efforts of team, groups and staff areas
• Management must optimize the efforts of team, workgroup and staff areas to achieve
the aim and purpose of the organization.
• Management must remove all barriers that exist among management, department, and
workers.
• Management encourages team building and help the teams to go along with to achieve
the set goal.
10. Eliminate exhortations for the work force
• Exhortations that ask for increased productivity without providing any skill
development training or modern machine tools.
• There are limitations for the workers.
11. Eliminate management by objectives (MBO)
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• Management learn the capabilities of the processes and how to improve them.
• Internal goal set by management without a method.
• Management helps the employee by providing modern machineries and latest
methodology .so that they can achieve what the management expect from them.
12. Remove barriers that rob people of pride of workmanship
• Workers do not know how to relate to the organization mission
• Poor design leads to the production of junk.
• Inadequate training is provided.
• Inadequate or ineffective equipment is provided for performing the required work
13. Encourage education and self improvement for every one
• Organization needs is people who are improving with education.
• A long term commitment to continuously train and educate people must be made by
management.
• Everyone should be retained as the organization requirement change to meet changing
environment
14. Take action to accomplish the transformations
• Management to accept the primary responsibility for the never ending improvement
of the process.
• The management to implement new philosophy.
• It has to create corporate structure to implement the philosophy.
DEMING CYCLE:
Deming encouraged a systematic approach to problem solving and promoted the widely
known Plan (What is needed), Do (It), Check( That it works) and Act( To correct problems or
improve performance)(PDCA) cycle. The PDCA cycle is also known as the Deming cycle or
Deming wheel.
It is a universal improvement methodology, the idea is to constantly improve, and thereby
reduce the difference between the requirements of the customer and the performance of the
process.
The Cycle is about learning and ongoing improvement, learning what works and what does
not in a systematic way; and the cycle repeats; after one cycle is complete, another is started.
ACT PLAN
CHECK DO
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Evolution of Quality:
Time Events
Until the 1960s
Prior to the Quality is an art.
20th century Demand s overcomes potential production.
F.Taylor The scientific approach to management resulting in rationalization of work
1900s and its break down leads to greater need for standardization inspection and
supervision.
She wart Statistical beginnings and study control.
1930s
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Late 1930s Quality standards and approaches are introduced in France and Japan.
1942 Seminal work by Deming at the ministry of war in U.S.A on quality
control and sampling.
1944 Dodge and Deming carried out seminal research on acceptance sampling.
1945 Founding of the Japan Standard Association
1946 Founding of the ASQC(American Society for Quality Control)
1950 Visit of Deming in Japan at the invitation of K.ishikawa.
1951 Quality assurance increasingly accepted.
1954 TQC in japan.book published 1956.
1957 Founding on European organization for the control of quality.
After the 1960s
1961 The martin co. In U.S.A introduce the zero defects approach while
developing and producing perishing missiles.
1962 Quality circles are started in Japan.
1964 Ishikawa publishes book on quality management.
1970 Ishikawa publishes book on the basics of quality circles and concepts of
total quality.
1970 to Just in time and quality become crucial for competitiveness.
1980
1980+ Facing the rising sun challenge in quality management.
1990+ The management of quality has become a necessity that is recognized at all
levels of management.
3. Consider any one service organization of your choice and explain the various dimensions of
quality of service. (May 2017)
NOV/DEC 2011,NOV/DEC 2012, MAY/JUNE 2013, MAY/JUNE 2014,NOV/DEC 2016
Quality has many dimensions. The dimensions of quality are nothing but the various
features/aspects of product or service by using which the customers may evaluate the quality of the
product or service.
The dimensions of quality is presented separately under two categories as
• Dimensions of product (or manufacturing) quality and
• Dimensions of service quality
Dimensions of product (or manufacturing) quality: The quality of a product can be evaluated by
customers using nine dimensions/ aspects of the product.
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Reliability:
• Reliability refers to the dependability of the service providers and their ability to keep their
promises.
• It is the extent to which the services performed matches implicitly or explicitly promises
made by the service provider regarding the nature of service.
• For example, the basic quality of room décor, food, and facilities provided in a hotel.
Responsiveness:
• Responsiveness refers to the reaction time of the service.
• It is the willingness to help the customer promptly in case of special and unforeseen
requirements.
• For example, helping a customer who falls sick when staying in the hotel.
Assurance:
• Assurance refers to the level of certainty a customer has regarding the quality of service
provided.
• It is the extent to which the service provider and the staff is able to inspire trust and
confidence.
• For example, the customer dining in a restaurant may not be able to directly judge the level
of hygiene maintained by the restaurant. Here it is not only important to actually provide
hygiene food but also to inspire confidence that the food is hygienic.
Empathy:
• Empathy is being able to understand the needs of the customer as an individual and meet
the special requirements of the customer.
• This is more about customizing service and the general service provider behavior for each
customer, rather than providing a uniform high quality treatment to all.
Tangibles:
• Tangibles refers to a service’s look or feel.
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•
Tangibles similar to the physical characteristics of quality of products. This refers to the
physical characteristics of facilities, equipments, consumable goods and personnel used in
or associated with the service provided.
Other dimensions:
• Time: Time the customer waits for the service.
• Timeliness: Will the service meet time commitments?
• Completeness: Are all commitments met?
• Courtesy: Politeness, consideration, and friendliness of service personnel.
• Consistency: Are services delivered in the same manner for every customer, and every time
for the same customer?
• Accessibility and convenience: Is the service easy to obtain?
• Accuracy: Is the service performed right the first time?
• Competence: Possession of skills and knowledge required to perform the service.
• Access: Approachability and ease of contact of service personnel.
• Communication: Educating and informing customers in language they can understand;
listening to customer.
• Credibility: Trustworthiness, belief, having customer’s best interest at heart.
• Security: Freedom from danger, risk, or doubt.
4. Discuss in detail about the Basic concepts & Elements of TQM. NOV/DEC 2011,MAY/JUNE
2015
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Elements of TQM
▪ The Philosophical elements of TQM stress the operation of the company using quality as the
integrating element.
▪ The generic tools consist of various statistical process control methods that are used for problem
solving and continuous improvement by quality teams. Quality function deployment is typically
used by managers to drive the voice of the customer into the organization.
▪ Tools of the QC department consists of Statistical Quality Control (SQC) methods such as
sampling plans, process capability and Taguchi methods.
Internal Customer:
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Juran realized that the customer was not just the end customer and that each person along the
chain has an internal customer. Each person along the chain, from product designer to final user, is
a supplier and a customer.
In addition, the person will be a process, carrying out some transformation or activity. Therefore
Juran maintained that at each stage was a “three role model”: supplier, process and customer.
Cost of Quality:
Juran classified the cost of quality into three classes as:
Failure Costs: Scrap, rework, corrective actions, warranty claims, customer complaints and loss
of customer.
Appraisal costs: Inspection, compliance auditing and investigations.
Prevention Costs: Training, preventive auditing and process improvement implementation.
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6. Discuss the contribution of Crosby. (Or) Elaborate the fourteen steps involved in crosbys total
quality approach? (May 2017)
Crosby is another of the American quality guru who rose to international fame mainly thanks to
his teachings on quality management.
He is best known for the concepts of ‘Zero Defects’ and ‘Do it right first time’.
Crosby is known for his following contributions:
• Four absolutes of quality
• Fourteen steps to quality management
• Crosby’s quality vaccine.
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Quality Vaccine:
Section 1-Integrity: Treat quality seriously throughout the whole business organization from top
to bottom. That the companies future will be judged on its performance on quality.
Section 2- Systems: Appropriate measures and systems should be put in place for quality costs,
education, quality, performance, review, improvement and customer satisfaction.
Section 3- Communication: The communication systems are of paramount importance to
communicate requirements and specifications and improvement opportunities around the
organization. Customers and operators know what needs to be put in place to improve and
listening to them will give you the edge.
Section 4- Operations: Work with and develop suppliers. Processes should be capable and
improvement culture should be the norm.
Section 5- Policies: Must be clear and consistent throughout the business.
7. Describe the barriers in the implementation of TQM. NOV/DEC 2011, NOV/DEC 2012,NOV/DEC
2013,MAY/JUNE 2014,NOV/DEC 2014,MAY/JUNE 2016
• Lack of management commitment
• Lack of faith in and support to TQM activities among management personnel.
• Failure to appreciate TQM as a cultural revolution. In other words, inability to change
organizational culture
• Misunderstanding about the concept of TQM.
• Improper planning
• Lack of employee commitment
• Lack of effective communication
• Lack of continuous training and education
• Lack of interest or incompetence of leaders
• Ineffective measurement techniques and lack of access to data and results
• Non application of proper tools and techniques
• Inadequate use of empowerment and team work
• Inadequate attention to internal and external customers
• Delay or non implementation of quality improvement team’s recommendations.
8. Explain the principles and characteristics of TQM? MAY/JUNE 2013, NOV/DEC 2016
Principles of TQM:
• Customer’s requirements must be met the first time, every time.
• There must be agreed requirements, for both internal and external customers.
• Everybody must be involved, from all levels and across all functions.
• Regular communication (both formally and informally) with staff at all levels is must. Two
way communication at all levels must be promoted.
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• Identifying training needs and relating them with individual capabilities and requirement is
must
• Top management’s participation and commitment is must
• A culture of continuous improvement and commitment must be established
• Emphasis should be placed on purchasing and supplier management.
• Every job must add value.
• Quality improvement must eliminate wastes and reduce total cost
• There must be a focus on the prevention of problems.
• A culture of promoting creativity must be established.
• Performance measures are a must at organization, department and individual levels. It helps
to assess and meet objectives of quality
• There should be focus on team work.
Characteristics of TQM:
• TQM is a management philosophy to guide a process of change
• TQM is a customer oriented management system.
• TQM starts at the top; it requires the leadership of top management and continuous
involvement
• TQM is a teamwork; it requires organization wide involvement
• TQM calls for planning
• TQM is a strategy for continuously improving performance at all levels and in all areas of
responsibility
• TQM is about achieving results by produces based approach
• TQM recognizes internal customer supplier relationship.
Quality Planning:
Quality planning attempts to meet the quality needs of the customers.
i) Supervisory and worker levels:
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Each employee is assigned a job. Large numbers of job require quality planning as well
as replanning as the job may be dynamic. The concepts and tools used for quality planning
at this stage are:
Self-Control Concept: The self control concept emphasizes that the person should have full
control as well as mastery over the attainment of planned results for the assigned job. In order to
achieve self control, a person should provide with
• Knowledge of what he is supposed to do.
• Knowledge of what others are doing and
• Means for regulating either of the above two, if the failure to meet the objective results.
Triple role concept: The triple role concept stresses that employee holding a job should be able
to carry out the following three roles.
• As a customer
• As a processor
• As a supplier
ii) Functional level:
• Functional managers in charge of different areas undertake quality planning to manage
their performance in a better way.
• For example, planning for the marketing function places major emphasis on the defined
role of quality planning in marketing department.
• For untrained professionals, training may be given in the field of skills and tools of
planning for quality.
iii) Multifunctional systems:
• Systems such as management Information Systems (MIS), Human Resources and New
Product Development Systems have spread their functional areas as they receive inputs
from all major functional areas. So inadequate quality planning may severely harm the
working of the systems.
• Central quality planning is highly useful in achieving coordination among all the
functional areas involved.
• The central quality planning can be achieved through any one of the following teams/
departments.
o A team of functional managers.
o A team of functional managers, with the assistance of quality specialists.
o A project management department.
o A quality assurance department.
iv) Major Programmes:
Also termed as costly projects such as nuclear power plants, development of a new
weapon system, launching a satellite into space. These projects are complex and unique. So
they require specific quality planning.
Quality cost – Elements:
i) Preventive cost category : Cost of quality planning, Cost of documenting, Process
control cost, Cost of training, Costs associated with preventing recurring defects.
ii) Appraisal cost category : Cost of receiving test and inspection, Cost of laboratory
acceptance testing, Cost of installation testing, Cost of vendor rejects, Cost of line quality
engineering.
iii) Internal failure cost category: Cost associated with scrap and rejects, Cost of
repair and rework, Cost of design changes, Cost of downgrading, Cost of downtime, Cost of
sales discounts for inferior products.
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iv) External failure cost category: Cost of processing complaints from customer,
cost of commissioning failures, cost of servicing or replacing the defective items, Cost of
guarantee and warranty claims.
10. Discuss about the three quality statements, give an example for each. DEC 2014
Elements of Quality statements: (May 2017)
• Vision Statement
• Mission Statement
• Quality policy Statement
Mission statement:
The mission statement answers the following questions: who we are, who are the
customers, what we do, and how we do it.
The mission statement, is usually one paragraph, describes the function of the organization.
It provides a clear statement of purpose fro employees, customers and suppliers.
Key elements of mission statement:
o Obligation to stakeholders
o Scope of the business
o Sources of competitive advantage
o View of the future
Vision statement:
The vision statement is a short declaration of what an organization should look like five to ten
years in a future.
Characteristics of Vision statement:
• Is easily understood by all stakeholders
• Is briefly states, yet clear and comprehensive in meaning
• Is challenging, yet attainable
• Is capable of stirring excitement for all stakeholders
• Is capable of creating unity of purpose among all stakeholders
• Is not concerned with numbers
• Sets the tone for employees.
Quality policy:
The Quality Policy is a guide for everyone in the organization as to how they should provide
products and service to the customers. The common characteristics are
➢ Quality is first among equals.
➢ Meet the needs of the internal and external customers.
➢ Equal or exceed the competition.
➢ Continually improve the quality.
➢ Include business and production practices.
➢ Utilize the entire work force.
Example:
➢ Vision Statement: “To be the leading customer battery company in the world”- Duracell
International.
➢ Mission Statement: “We exist to create, make and market useful products and services
to satisfy the needs of our customers throughout the world”- Texas Instruments.
➢ Quality Policy Statements: ”To be the best. This policy requires that every individual
and operating unit fully understand the requirements of their customers, and deliver
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products and services that satisfy these requirements at a defect free level”- Chrysler
Corporation
11. Explain the issues related to customer complaints. MAY/JUNE 2015 (or) Explain the
common customer feedback collection tools?(MAY 2017)
Customer complaints:
A customer complaint may be defined as an expression of dissatisfaction
with a product/ service, either orally or in writing, from an internal or external customer.
Need for a feedback in an organization:
• Discover customer dissatisfaction.
• Discover relative priorities of quality.
• Compare performance with the competition.
• Identify customer’s needs.
• Determine opportunities for improvement.
Sources for customer complaint: Customer complaints are mainly either related to product
itself or related to after sales service.
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• Surveys, particularly online, phone and mail surveys, are among the most frequently
used methods for collecting customer feedback(although mail surveys are declining
in popularity).
• Common types of online surveys include:
• E-mail- survey is emailed to customers, either as a link to a web-based surver, or
questions are include in the body of the email. Often used as a post transaction
survey, as well as for boarder customer feedback collection.
• Pop-up-“pop up” with a request for feedback after a visitor has landed on company
website.
• Website-a link on company website to a survey, often used to gather feedback on a
website or web based interaction.
Email surveys are useful for collecting feedback after an online customer service
interaction such as an email or chat; after a website visit; or for proactively reaching out
for customer feedback. While email surveys are often used to collect feedback after an in-
person or telephone interaction, it is a good idea to collect feedback through the same
channel as the initial interaction.
Post transaction surveys:
• Post transaction surveys are conducted immediately after a customer service
interaction, and usually provide feedback directly on that interaction. They are
particularly useful for establishing customer service performance goals or
benchmarks and setting standards around service delivery.
• They are surveys conducted immediately after a customer has called in and
interacted with the agency, but before the customer has hung up. Post-call surveys
can also be conducted via an outbound call after a phone interaction, or through an
email survey.
• Post transaction surveys are particularly useful if the agency has a call center, or has
significant interaction with customers over the phone. The feedback collected by this
type of survey can provide insight about specific transactions, as well as the overall
customer experience. In addition, one can avoid the difficulty and expenses of
proactively reaching out to the customer again.
Report cards:
• Report cards are nothing but feedback cards. Report cards, like comment cards, are
physical, paper cards or forms with one or more survey questions designed to collect
customer feedback.
• Report cards, unlike comment cards, are usually sent to each customer on a quarterly
basis.
• Report cards gather customer’s opinion on the product and also ask for any
improvement necessary on the product or service of the organization.
Focus groups:
• Focus groups are moderated, small group discussions where a pre selected group of
individual provides insight into their preferences, attitudes and opinions about
products or services.
• This feedback provides insight into customer opinions on both existing and potential
new services and can also be used to add more color and insight into feedback
collected through other methods.
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• Focus groups can be held in-person or over the telephone, and some organizations
leverage customer panels to identify focus group participants.
Social media:
• Social media, such as social networks, online communities, blogs, forums or
discussions boards, can be used to collect customer feedback.
• Systematically collecting and acting upon customer feedback from social media is
still fairly new, but this can be an inexpensive means of listening to customers.
Toll-free Telephone Numbers:
• Toll free telephone numbers are an effective tool for receiving customer
feedback/complaint.
• Toll-free telephone numbers provide the opportunity to the organizations to respond
quickly and more cheaply to the customer’s complaints.
Customer Visits:
• Visits to customer’s place of business is an another technique for gathering
information and feedback of the product.
• Customer visits by senior executives along with operating personnel will greatly help
in monitoring their product’s performance when it is used and in identifying any
specific or reoccurring problems.
Employee Feedback:
• In addition to the customer’s feedback, the employee feedback is also a potential
source of information.
• Since employee can offer insight into conditions that inhibit service quality in the
organization, their feedback are also crucial for customer complaint redressal.
• Also employee feedback will provide valuable insights into their motivational level,
their moral, etc.
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Customer care can be defined as every activity which occurs within the organization that ensures
that a customer is not only satisfied but also retained.
Essentials of customer retention:
o Customer retention represents the activities that produce the necessary customer
satisfaction that creates customer loyalty.
o Customer retention can be improved by obtaining customer feedback and by measuring
customer satisfaction.
o Customer feedback is obtained from customer satisfaction surveys, focus groups,
interviews and observations. Customer satisfaction should be measured by using the
hard measures of cash register receipts, market share, the level of customer retention
and the number of referrals from customers.
o Customer retention really moves the customer satisfaction to the next level called
customer delight.
14. Write short note on customer satisfaction. (Or) What are the customer perception of quality?
(Dec 2017)
Customer satisfaction
The value customer’s places on the product compared to another may be a better indication of
customer loyalty.
• Performance :
Performance involves “fitness for use”. It indicates that the product and service is ready
for the customer’s use at the time of sale.
Other considerations include:
Availability: It is the probability that a product will operate when needed
Reliability: it is freedom from failure over time
Maintainability: it is the ease of keeping the product operable.
• Features:
Features are secondary characteristics of the product or service.
For example, the primary function of a cell phone is for communication whereas other
facilities such as calculator and alarm are features of the cell phone.
• Service:
Customer service is an intangible in nature. Intangible characteristics are those traits
that are not quantifiable, but it contributes greatly to customer satisfaction.
Organization objective is to provide good quality of the product to the customer at the
right time, even though the customers are not complaining about their service.
• Warranty:
The product warranty represents an organization’s public promise of a quality product.
In other words, it represents a public commitment to guarantee a level of service sufficient
to satisfy the customer.
A warranty forces the organization to focus on the customer’s definition of product and
service quality. It also forces the organization to develop a corrective action system.
In present scenario, the warranty attracts and builds the market. It encourages customers
to but a service by reducing the risk of the purchase decision. Hence it generates more
sales from existing customers by enhancing loyalty.
• Price:
Nowadays customer is willing to pay a higher price to obtain value. Also customers
expect high quality products at the lower price.
Customers are preferring the organizations who are providing the greatest value for
their money. For this purpose customers are constantly evaluating all the
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St. JOSEPH’S COLLEGE OF ENGG. GE8077 - TQM
organizations.
In our highly competitive environment, each customer’s concept of value is
continually changing. In order to overcome this challenge, the organizations should
identify, verify and update each customer’s perception of value in relation to each
product and service regularly.
• Reputation:
It is obvious that customers are willing to but products or service from a known, trusted
and reputed organization. The total customer satisfaction is based on, not only within the
product, the entire experience with the organization.
Thus reputation of a firm brings the market to them. So organization should strive for
customers for life.
15. What is quality cost? Explain the techniques used for of quality cost. (Dec 2017)
Concept:
• Quality-related costs are costs incurred by an organisation to ensure that the
products/services it provides conform to customer requirements.
• Thus the “quality is the cost of not meet the customer’s requirement”.
Definition:
• Quality costs are defined as those costs associated with the non-achievement of
product/service quality as defined by the requirements established by the organisation
and its contracts with customers and society.
• Quality cost” is the cost of poor products or services”.
Elements of Quality Costs:
The cost of quality (COQ) can be classified into the following four categories.
➢ Cost of prevention,
➢ Cost of appraisal,
➢ Cost of internal failures, and
➢ Cost of external failures.
1. Cost of prevention:
• Prevention costs are the costs that are incurred on preventing a quality problem from
arising.
• Prevention costs relate to efforts to prevent failures.
Cost of prevention includes:
➢ Cost of quality planning,
➢ Cost of documenting,
➢ Process control cost,
➢ Cost of training.
2. Cost of Appraisal:
• Appraisal costs are the costs that are incurred in assessing that the products/services
conform to the requirements.
• Appraisal costs relate to testing, execution, and examination to assess whether
specified quality is being maintained.
Cost of appraisal includes:
➢ Cost of receiving test and inspection.
➢ Cost of laboratory acceptance testing.
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St. JOSEPH’S COLLEGE OF ENGG. GE8077 - TQM
16. Explain the role of senior level management in TQM implementation. NOV/DEC 2016
Role of senior management (TQM leader)
• To study and investigate the TQM concepts and issues.
• To set clear quality policies and provide challenging tasks
• To bring a cultural charge required for the TQM effort.
• To uphold norms and values, and let it be known.
• To attend TQM training programmes.
• To create coordination and harmony among and within department
• To monitor whether quality improvement programs are conducted as planned
• To stimulate employees to be involved
• To establish the TQM vision for the future and communicate to all involved
• To teach employees to realize that the company’s interest and their interest are geared
into one another.
17. Illustrate the various steps involved in customer satisfaction process. NOV/DEC 2016
A customer is satisfied only if and when they say they are satisfied. Satisfaction is based
upon the customer's perception of the experience. This perception is his/her
interpretationof the value received played back against expectations. This declaration does
not require any objective evidence. It can be a declaration made with no reason.
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St. JOSEPH’S COLLEGE OF ENGG. GE8077 - TQM
UNIVERSITY QUESTIONS
MAY/JUNE 2016
PART A
1. How can Quality be quantified. (Q.No.2)
2. What do you mean by service quality? (Q.No.19)
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St. JOSEPH’S COLLEGE OF ENGG. GE8077 - TQM
PART B
1. What are the barriers while implementing TQM? Also explain evolution of Quality.
(Q.No.2 & 7)
2. Discuss Juran’s Principle of Quality improvement. (Q.No.5)
NOV/DEC 2016
PART A
1. What are the different ways to create customer oriented culture in an industry? (Q.No.31)
2. Write down the categories of quality cost.(Q.No.30)
PART B
1. Write down the underlying principles of TQM. (Q.No.8)
2. Describe the various dimensions of quality. (Q.No. 3 )
3. Explain the role of senior level management in TQM implementation. (Q.No.16)
4. Illustrate the various steps involved in customer satisfaction process.(Q.No.17)
MAY/JUNE 2017
PART A
1. What are the four absolutes of quality defined by Crosby?(Q.No.18)
2. Define quality policy statements? (Q.No.23)
PART B
1. Elaborate the fourteen steps involved in crosbys total quality approach?(Q.No.6)
2.i) Describe the various dimensions of quality with respect to the following: quality in product and
quality in service?(Q.No.3)
ii) Explain the common customer feedback collection tools?(Q.No.11)
NOV/DEC 2017
PART A
1. What is quality statement? (Q.No.20 & 23)
2. What are the dimensions of quality?(Q.No.4)
PART B
1. Explain Demings fourteen principles for quality management. How do you feel that these will
be useful in todays context in service industry? (Q.No.1)
2.i) Why to measure the quality cost? Classify he various types of quality costs and give
examples?(Q.No.15)
ii) What are the customer perception of quality? Explain?(Q.No.14)
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