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Total Quality Management

By S. Lucas
1. Plan – Study the current system; identifying problems; testing
theories
of causes; and developing solutions.
2. Do – Plan is implemented on a trial basis. Data collected
and documented.
3. Check/Study – Determine whether the trial plan is working
correctly by evaluating the results.
4. Act – Improvements are standardized and final plan is
implemented.
The primary elements of TQM
Total Quality Management Primary Elements
The 8 Primary Elements of TQM are as follows –

Total quality management can be summarized as a management


system for a customer - focused organization that involves all
employees in continual improvement. It uses strategy, data, and
effective communications to integrate the quality discipline into the
culture and activities of the organization. Many of these concepts
are present in modern Quality Management Systems, the successor
to TQM.

Here are the 8 principles of total quality management:

1. Customer-focused

The customer ultimately determines the level of quality. No matter


what an organization does to foster quality improvement—training
employees, integrating quality into the design process, upgrading
computers or software, or buying new measuring tools—the
customer determines whether the efforts were worthwhile.
2.Total employee involvement

All employees participate in working toward common goals. Total


employee commitment can only be obtained after fear has been
driven from the workplace, when empowerment has occurred, and
management has provided the proper environment. High-
performance work systems integrate continuous improvement
efforts with normal business operations. Self-managed work teams
are one form of empowerment.
3.Process-centered
A fundamental part of TQM is a focus on process thinking. A process
is a series of steps that take inputs from suppliers (internal or
external) and transforms them into outputs that are delivered to
customers (again, either internal or external). The steps required to
carry out the process are defined, and performance measures are
continuously monitored in order to detect unexpected variation.
4. Integrated system
Integrated systems, or systems integration, is the process of bringing together component
sub-systems into one functional system. It provides a system with coherence by making
the parts or components work together, or 'building or creating a whole from parts'

Although an organization may consist of many different functional specialties often


organized into vertically structured departments, it is the horizontal processes
interconnecting these functions that are the focus of TQM.

Micro-processes add up to larger processes, and all processes aggregate into the business
processes required for defining and implementing strategy. Everyone must understand the
vision, mission, and guiding principles as well as the quality policies, objectives, and critical
processes of the organization. Business performance must be monitored and
communicated continuously.

An integrated business system may be modelled after the Baldrige National Quality
Program criteria and/or incorporate the ISO 9000 standards. Every organization has a
unique work culture, and it is virtually impossible to achieve excellence in its products and
services unless a good quality culture has been fostered. Thus, an integrated system
connects business improvement elements in an attempt to continually improve and exceed
the expectations of customers, employees, and other stakeholders.
5.Strategic and systematic approach

A critical part of the management of quality is the strategic and


systematic approach to achieving an organization’s vision, mission,
and goals. This process, called strategic planning or strategic
management, includes the formulation of a strategic plan that
integrates quality as a core component.

6.Continual improvement

A major thrust of TQM is continual process improvement. Continual


improvement drives an organization to be both analytical and
creative in finding ways to become more competitive and more
effective at meeting stakeholder expectations.

7.Fact-based decision making

In order to know how well an organization is performing, data on


performance measures are necessary. TQM requires that an
organization continually collect and analyze data in order to improve
decision making accuracy, achieve consensus, and allow prediction
based on past history.
8. Communications

During times of organizational change, as well as


part of day-to-day operation, effective
communications plays a large part in maintaining
morale and in motivating employees at all levels.
Communications involve strategies, method, and
timeliness.
TQM PRINCIPLES
Counting : Tools, techniques, and
training in their use for analyzing,
understanding, and solving quality
problems aspect
Customers : Quality for the customer
as a driving force and central concern.
Culture : Shared values and beliefs,
expressed by leaders, that define and
support quality.
Gurus of TQM
• Walter A. Shewhart:- W.A Shewhart, PhD, spent his professional
career at Western Electric and Bell Telephone Laboratories, both
divisions of AT&T. He developed control chart theory with control
limits, assignable and chance causes of variation, and rational
subgroups, he authored Economic Control of Quality of
Manufactured Product, which is regarded as a complete and though
work of the basic principles of quality control. He also developed the
PDSA(Plan, Do, Study, Act) cycle for learning and improvement.
• W. Edward Deming:- Deming was protégé of Shewhart in 1950, he
thought statistical process control and the importance of quality to
the leading CEOs of Japanese industry. He is credited with
providing the foundation for the Japanese quality miracle and
resurgence as an economic power. Deming is the best known
quality expert in the world. His 14 points provide a theory for
management to improve quality, productivity, and competitive
position
Cont…..
Definition of quality, “A product or a service possesses quality if it helps
somebody and enjoys a good and sustainable market.”
of foremen must be
W. Edwards deming:Deming had 14 changed from numbers to
points to help management as quality.
follows: 8. Drive out fear, so that
1. Create constancy of purpose everyone may work
towards improvement of effectively for the company.
9. Break down barriers between
product and service. departments.
2. Adopt the new philosophy. We 10.Eliminate numerical goals,
can no longer live with posters, and slogans for the
workforce asking for new levels
commonly accepted levels of of productivity without providing
delays, mistakes, defective methods.
workmanship. 11.Eliminate work standards that
prescribe numerical quotas.
3. Cease dependence on mass 12.Remove barriers that stand
inspection. Require instead between the hourly worker and
statistical evidence that quality is his right to pride of
built in. workmanship.
4. End the practice of awarding
business on 13.Institute a vigorous
the basis of price tag. program of education
5. Find problems. It is management’s and retraining.
job to work continually on the
system. 14.Create a structure in top
6. Institute modern methods of management
training on the job. that will push every day on 14
the above 13
7.Institute modern methods of
supervision
Gurus of TQM

• Joseph M. Juran:- He worked at Western Electric from


1924-1941. There he was exposed to the concepts of
Shewhart. Juran traveled to Japan in 1954 to teach
quality management. He emphasized the necessity for
management at all levels to be committed to the quality
effort with hands on involvement. He recommended
project improvements based on return on investment to
achieve breakthrough results. The Juran Trilogy for
managing quality is carried out by three interrelated
processes of planning, control, and improvement.
EARLY GURUS OF TQM
Joseph M. Juran’s ten steps to quality improvement were:
1. Build awareness of the need and opportunity for
improvement.
2. Set goals for improvement.
3. Organize to reach the goals (establish a quality council,
identify problems, select projects, appoint teams, designate
facilitators).
4. Provide training.
5. Carry out projects to solve problems.
6. Report progress.
7. Give recognition.
8. Communicate results.
9. Keep score.
10. Maintain momentum by making annual improvement part
of the regular systems and processes of the company.

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TQM PRESENTED BY SALMAN MEHMOOD


Gurus of TQM

Phillip B. Crosby:- He argued that “doing it right the first time "is less

expensive than the costs of detecting and correcting
nonconformities. His four absolutes of quality are Quality is
conformance to requirements, Prevention of nonconformance is the
objective not appraisal, The performance standard is zero defects
not “that is close enough” and The measurement of quality is the
cost of conformance.
GURUS OF TQM
Philip B. Crosby, who spent time as Quality Director of ITT, had four
absolutes:
 Definition – conformance to requirements.
 System – prevention.
 Performance standard – zero defects.
 Measurement – price of non-conformance.

He also offered management 14 steps to improvement:


1. Make it clear that management is committed to quality.
2. Form quality improvement teams with representatives from each
department.
3. Determine where current and potential quality problems lie.
4. Evaluate the cost of quality and explain its use as a management
tool.
5. Raise the quality awareness and personal concern of all employees.
6. Take actions to correct problems
identified through previous steps.
7. Establish a committee for the zero defects program.
8. Train supervisors to actively carry out their part of the quality
improvement program.
9. Hold a ‘zero defects day’ to let all employees realize that there
has been a change.
10.Encourage individuals to establish improvement goals for
themselves and their groups. 16

11.Encourage employees to communicate to management the


obstacles they face in attaining their improvement goals.
12.Recognize and appreciate those who participate.
13.Establish quality councils to communicate on a regular basis.
14.Do it all over again to emphasize that the quality improvement
program never ends.
TQM PRESENTED BY SALMAN MEHMOOD
Gurus of TQM

• Armand V. Feiganbaum:- He argues that total quality


control is necessary to achieve productivity, market
penetration, and competitive advantage. Quality begins
by identifying the customer’s requirements and ends with
a product or services in the hands of a satisfied
customer. In addition to customer satisfaction, some of
Feiganbaum’s quality principles are genuine
management involvement, employee involvement, first
line supervision leadership, and companywide quality
control.
Gurus of TQM
• Kaoru Ishikawa:- PhD studied under Deming, Juran, and
feigenbaum, he barrowed the total quality control concept and
adapted it for the Japanese. Ishikawa is best known for the

development of the cause and effect diagram, which is sometimes

called Ishikawa diagram. He developed the quality circle concept in


• Japan whereby work groups including their supervisor were trained
in SPC.
Cont..
Gurus of TQM

• Genichi Taguchi, PhD, developed his loss function


concept that combines cost, target and variation into one
metric. Because the loss function is reactive, he
developed the signal to noise ratio as proactive
equivalent his robust design of parameters and
tolerances.
Historical Background of TQM

• Quality in articles and artefacts produced by skilled


craftsmen and artisans from the B.C. era e.g..
goldsmiths, silversmiths, blacksmiths, potters, etc.

• Artists & Artisans Guilds in the Middle ages spent years


imparting quality skills and the works men had pride in
making quality products.

• Industrial Revolution brought factory manufacturing


where articles were mass-produced and each worker
made only a part of the product, and did not sense the
importance of his contribution to the quality of the
product .
Historical Background of TQM

• In 1924, W.A. Shewhart of Bell Telephone Labs


developed a statistical chart for the control of
product variables – the beginning of SQC and
SPC.
• In the same decade, H.F. Dodge and H.G.
Romig of Bell Telephone Labs developed
statistical acceptance sampling instead of 100%
inspection.
• In 1946,the American Society for Quality Control
was formed.
• In 1950, W. Edwards Deming, who learnt SQC
from Shewhart, taught SPC & SQC to Japanese
engineers and CEO’s
Historical Background of TQM

• In 1954,Joseph M.Juran taught Japanese


managements their responsibility to achieve
quality .
• In 1960, the first quality control circles were
formed. SQC techniques were being applied by
Japanese workers.
• 1970’s US managers were learning from Japan
Quality implementation miracles.
• In 1980’s TQM principles and methods became
popular.(also in auto industry)
• In 1990’s ,the ISO 9000 model became the
world-wide standard for QMS.
 Benefits of TQM:

TQM has numerous benefits. It enables organizations to:

a) attain higher profitability and increased market share

b) improve customer satisfaction

c) improve organizational productivity

d) improve employee morale and job satisfaction

e) create a positive work culture

f) undertake systematic problem solving and decision making through project teams

g) improve teamwork

h) create a climate conducive to continuous improvement


BENEFITS OF TQM

L. Advantages unique to TQM:


• It makes the company a leader.
• Fastens the team work.
• Makes the company more sensitive to customer needs.
• Makes the company adapt more readily to changes.

2. Benefits to company
• Quality improves.
• Increased productivity.
• Staffs are more motivated.
• Cost reduced.
Obstacles
• 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
• Paying inadequate attention to customers
• Inadequate use of empowerment and team work
Failure to continually improve

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