Professional Documents
Culture Documents
MODULE –I
Principles and Practices
Definition, basic approach, gurus of TQM, TQM Framework, awareness, defining quality,
historical review, obstacles, benefits of TQM.
Quality Management Systems: Benefits of ISO registration ISO standards, ISO 9000 ,9001
requirements
1. T O T A L Q U A L I T Y M A N A G E MENT
Total Quality Management (TQM) is an enhancement to the traditional way of doing business.
Total - Made up of the whole
Quality - Degree of Excellence a Product or Service provides. Management - Art of handling,
controlling, directing etc.
TQM 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.
P = Performance
E = Expectation
Quality costs are defined as those costs associated with the non- achievement of product/service
quality as defined by the requirements established by the organization and its contracts with
customers and society.
Quality cost is a cost for poor product of service.
1.6 ELEMENTS OF QUALITYCOST:-
1. Cost of prevention
2. Cost of appraisal
3. Cost of internal failures
4. Cost of external failures.
1.7 ANALYSIS OF QUALITY COSTS:-
➢ Trend analysis
➢ Pareto analysis
1. PREVENTION COST
• Marketing / Customer / User.
• Product / Service / Design Development.
• Purchasing
• Operations (Manufacturing or Service)
• Quality Administration.
2. APPRAISAL COST
• Purchasing Appraisal Costs.
• Operations Appraisal Costs
• External Appraisal Costs
• Review of Test and Inspection Data
• Miscellaneous Quality Evaluations
3. INTERNAL FAILURE COST
• Product or Service Design Failure Costs (Internal)
• Purchasing Failure Costs
• Operations (Product or Service) Failure Costs
4. EXTERNAL FAILURE COST
• Complaint Investigations of Customer or User Service
• Returned Goods
• Retrofit and Recall Costs
• Warranty Claims
• Liability Costs
• Penalties
• Customer or User Goodwill
• Lost Sales
• The purpose of quality cost analysis is to determine the cost of maintaining a certain level of
quality.
• Such activity is necessary to provide feedback to management on the performance of quality
assurance and to assist management in identifying opportunities.
INDEX NUMBERS:
Index Numbers are often used in a variety of applications to measure prices, costs (or) other
numerical quantities and to aid managers in understanding how conditions in one period compare
with those in other periods.
1930s
1. Walter Shewhart developed the methods for statistical analysis and control of quality.
1950s
1. W. Edwards Deming taught methods for statistical analysis and control of quality to Japanese
engineers and executives. This can be considered the origin of TQM.
2. Joseph M. Juran taught the concepts of controlling quality and managerial breakthrough.
3. Armand V. Feigenbaum’s book Total Quality Control, a forerunner for the present
understanding of TQM, was published.
4. Philip B. Crosby’s promotion of zero defects paved the way for quality improvement in many
companies.
1968
1. The Japanese named their approach to total quality "companywide quality control." It is
around this time that the term quality management systems arises.
2. Kaoru Ishikawa’s synthesis of the philosophy contributed to Japan’s ascendancy as a quality
leader.
Today
TQM is the name for the philosophy of a broad and systemic approach to managing organizational
quality.
Quality standards such as the ISO 9000 series and quality award programs such as the Deming Prize
and the Malcolm Baldrige National Quality Award specify principles and processes that comprise
TQM.
TQM as a term to describe an organization's quality policy and procedure has fallen out of favor as
international standards for quality management have been developed. Please see our series of pages
on quality management systems for more information.
Department of Mechanical Engineering, MIT Mysore 5
Total Quality Management (17ME664) 2019-2020
• Improved quality
• Employee participation
• Team work
• Working relationships
• Customer satisfaction
• Employee satisfaction
• Productivity
• Communication
• Profitability
• Market share
7. Product Realization
a) Planning of Product Realization
b) Customer related processes
c) Design and Development
d) Purchasing
e) Production and Service Provision
f) Control of Monitoring and Measuring devices
1) Policy
2) Procedures
3) Practices
4) Proofs
1.20 QUALITY AUDITING
The term Audit refers to a regular examination and checking of accounts or financial records,
settlement or adjustment of accounts. It also refers to checking, inspection and examination of
Production Processes.
ISO 14000 – ENVIRONMENTAL MANAGEMENT SYSTEM
The overall aim of the Environmental Management systems is to provide protection to the
environment and to prevent pollution.
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