You are on page 1of 5

See discussions, stats, and author profiles for this publication at: https://www.researchgate.

net/publication/324448944

DIFFERENCES AND SIMILARITES BETWEEN TOTAL QUALITY MANAGEMENT,


ISO 9001, LEAN PRODUCTION, AND SIX SIGMA

Article  in  International Journal Advanced Quality · March 2018


DOI: 10.25137/IJAQ.n1.v46.y2018.p17-20

CITATIONS READS

2 13,763

3 authors, including:

Mihalj Bakator Sladjana Boric


University of Novi Sad - Technical faculty "Mihajlo Pupin" in Zrenjanin University of Novi Sad
81 PUBLICATIONS   476 CITATIONS    14 PUBLICATIONS   37 CITATIONS   

SEE PROFILE SEE PROFILE

Some of the authors of this publication are also working on these related projects:

Improving entrepreneurial climate, the analysis of aspects and possible courses of action among youth in the Central Banat region View project

Analysis of entrepreneurial activity aspects in society 5.0 - possibility of implementation in AP Vojvodina View project

All content following this page was uploaded by Mihalj Bakator on 13 October 2018.

The user has requested enhancement of the downloaded file.


International Journal ’’Advanced Quality’’, Vol. 46, No. 1, 2018. year, Belgrade, Serbia.

DIFFERENCES AND SIMILARITES BETWEEN TOTAL QUALITY


MANAGEMENT, ISO 9001, LEAN PRODUCTION, AND SIX SIGMA

Mihalj Bakator 1, Slađana Borić 2, Nikola Petrović 3


1
Ph.D. Student: Engineering Management, Technical Faculty “Mihajlo Pupin”
Đure Đakovića bb, Zrenjanin, 23000, Republic of Serbia;
mihaljbakator@gmail.com
2
Ph.D. Student: Engineering Management, Technical Faculty “Mihajlo Pupin”
Đure Đakovića bb, Zrenjanin, 23000, Republic of Serbia;
sladjana.boric@hotmail.com
3
Ph.D. Student: Engineering Management, Technical Faculty “Mihajlo Pupin”
Đure Đakovića bb, Zrenjanin, 23000, Republic of Serbia;
petrovic.n26@gmail.com

Paper received: 25.01.2018.; Paper accepted: 26.02.2018.

Abstract: Total quality management is a management approach with the goal to achieve customer satisfaction
through product, service, and organizational culture improvement. ISO 9000 is a set of international standards that
is developed for achieving an effective quality management system in order to satisfy customer needs. The concept of
lean production is described as a systematic approach to reduce the number of defect products, and reduce the size
of the warehouse, without lowering productivity. Six sigma includes tools, and techniques for improving processes
regarding quality, and reducing the number of defect products. In this paper the differences, and similarities of total
quality management, ISO 9001, lean production, and six sigma, will be investigated. The paper presents the criteria
for successful implementation, and use of the mentioned concepts in various companies. The amount of risk that
each concept brings is also evaluated. The goal of the paper is an analytic approach, and a concise description of
quality management systems, and business performance imrpovement.

Key Words: total quality management, ISO 9001, lean production, six sigma

1. INTRODUCTION Next, six sigma is described as a management


approach that is based on project development, and it
Total quality management (TQM) is a is focused on the improvement of products, services,
management approach through which a company can and processes in the company. These improvements
achieve long-term goals. These goals are customer are achieved through the reduction of defect products,
satisfaction, and improved competitiveness on the lower maintenance costs, and higher production
market [1]. The seven dimensions of TQM are efficiency. In addition, six sigma is oriented towards
leadership management; employee relationships; the understanding, and satisfaction of customer needs;
reporting, and data quality; training, and skill improving business systems; and improving
development of employees; supplier quality productivity, and financial performance [7].
management; product, and service design; and process In this paper the main implementation success
management [2]. The base philosophy of this concept factors of TQM, ISO 9001, lean production, and six
is the utilization in companies regardless of their size, sigma will be presented. The main goal is to
and industry. TQM tools, and techniques can improve investigate the differences, and similarities of the
knowledge gathering from the internal, and external mentioned concepts. In addition, the critical success
environment of the organization [3]. factors for each concept are presented.
ISO 9001 is a standard that belongs to the ISO
9000 group of international standards. The ISO 9001 2. TOTAL QUALITY MANAGEMENT,
contributes to internal organization improvement; ISO 9001, LEAN PRODUCTION, AND
communication; higher employee motivation; higher SIX SIGMA
productivity; and less complaints from customers [4].
ISO 9001 also contributes to financial performance 2.1 Implementation success factors of total
improvement [5]. quality management
Lean production is a concept that tends towards
reduction of defect products; waste reduction; higher Successful implementation of TQM is influenced
value for customers; higher satisfaction of customers; by a lot of factors. These factors are top management
robust production; cost reduction; quality role in defining quality policies; role of the quality
improvement; and higher productivity [6]. department; employee training, and new skills
development; product, and service design, and
17
International Journal ’’Advanced Quality’’, Vol. 46, No. 1, 2018. year, Belgrade, Serbia.

development; quality management of suppliers; Further, an adequate organizational culture, which


process management; product, and service quality provides support for business processes, is an
reporting; employee relationships; developing good imperative for the creation of a sustainable, and
relationships with suppliers; improved communication proactive company. Organizational culture needs to
throughout the organization; customer satisfaction enable a strong management approach in a dynamic,
orientation; strategic management; overall quality and diversified environment, with a long-term focus
improvement; and increased productivity [8]. on goals, and accepting changes. Skills, and
In other articles, it was noted that the main success knowledge of employees also play an important role
factors of TQM are systematic approach; process in business development, and lean production
improvement; defining goals, and business strategies; implementation. Without experienced employees,
quality measuring, and analysis; and corrective actions there is a substantial risk from failure. Employees
[9]. It can be seen, that processes regarding product without adequate knowledge, and skills, have a more
quality, and human resource management have a difficult time to accept new technologies, innovation,
major impact of TQM success. If employees are aware and overall development [12].
of the importance of quality improvement, then TQM
is more likely to bring better business performance.
2.4 Implementation success factors of six
2.2 Implementation success factors of ISO sigma
9001
In order to successfully implement an ISO 9001 Successful implementation of the six sigma
standard, it is important to define the critical success concept includes quality integration in the company’
factors that may affect the implementation process. main functions; spreading, and utilization of the
The most important factors are top management concept in all business processes; management
commitment, and support; technical aspects of quality support for putting quality as a top priority; and focus
management; productive relationships; employee on well defined, and measureable goals [13]. In order
involvement; recognition, and identification of the to successfully implement the six sigma concept,
standard in the whole company; team work; companies have to focus on process variation
continuous improvement; award systems; reduction, and to view projects ass tools through
understanding the ISO 9000 group of standards; which cost reductions can be made, and higher
performance analysis; and communication [10]. customer satisfaction can be achieved. However, it
Other scientific papers in this domain noted that was noted that companies are more focuses on
the constructs of quality are leadership; information, cost-reduction, while customer satisfaction is often not
and data analysis; strategic planning of quality; human taken into consideration [14]. It can be argued, that six
resource development; corrective, and preventive sigma is a wide, organizational approach where the
measures; relationship with suppliers; and quality primary goal is to reduce costs. Other key factors of
results [11]. six sigma include management involvement, and
It is evident that a successful implementation of commitment; organizational culture change; effective
ISO 9001 requires a strain of complex conditions, organizational infrastructure; employee training;
which have to be filled, in order to reduce the risk of project management skills; project review, and
failure. Involvement, and commitment of top control; understanding the methodology, tools, and
managers is crucial for cost-reduction, and efficient techniques of six sigma; connecting six sigma with the
implementation of new procedures, process, and business strategy, customers, human resources, and
assignments. suppliers [15]. Six sigma has to be integrated in
various processes in order to maximize its benefits.

2.3 Implementation success factors of lean 3. DIFFERENCES AND SIMILARITIES


production
The critical success factors of lean production TQM is focused on customer satisfaction, and the
include leadership; finances; organizational culture; fulfilment of their needs, wishes and expectations.
and employee skills [10]. A strong and competent Satisfying customers’ needs through high product
leadership enhances knowledge, and the skills of quality is the primary goal of TQM. The processes
employees in an organization. Companies that didn’t within the company are improved, and there is an
manage to develop an adequate level of leadership, overall tendency towards uniform processes. This type
can face several issues, including lower process of approach requires the involvement of all employees
flexibility; higher risks of failure; and ineffective [16]. The TQM methodology is based on planning,
resource allocation. Financial performance is crucial testing, learning, and defining changes that have to be
for a successful project development. As one of the made in an organization. Further, TQM tools are
most important factors of lean production, finance is analytical, and statistical in nature. As mentioned
the basis of stable business development [6]. before, the primary goal of TQM is higher customer

18
International Journal ’’Advanced Quality’’, Vol. 46, No. 1, 2018. year, Belgrade, Serbia.

satisfaction. The secondary goal is achieving customer products. This concept reduces the variety of business
loyalty, and improved business performance. Negative processes, and improves them accordingly [24]. The
aspects of TQM are often not presentable six sigma approach is based on internal, and external
improvements; time, and resource demanding; it is project management. Methodologies of six sigma
often hard to explain TQM to employees [17]. Next, include defining, measuring, analysing, and improving
TQM is positively correlated with the ISO 9001 the design of process, and the control and verification
standard, regarding quality improvement. However, of improvements. Similarly to TQM, six sigma uses
customer focus and continuous improvement is more advanced analytical, and statistical tools. The primary
pronounced in TQM [18]. goal of six sigma is cost-reduction. The secondary
Furthermore, the ISO 9000 group of standards goal is achieving business goals, and improving
focuses on improving organizational processes financial performance. Negative sides of six sigma
through satisfying the need of customers with high include lack of employee involvement; lack of focus
quality products, and services [19]. The improvement on customer satisfaction; and there is no systematic
of product, service, and process quality is achieved overview of utilization [25].
through strict documentation that defines the According to the previously mentioned concepts, it
necessary changes, and improvements of procedures, is suggested that ISO 9001 can be viewed as a
processes, and tasks in the company. A process program, and documentation approach, while TQM
approach towards quality improvement is the most has a more practical approach. ISO 9001 requires
noticeable characteristic of ISO 9001. The standard’s sophisticated data analysis, while TQM is focused on
methodology includes analysis, documentation, quality management. Further, lean production is
measuring, evaluation, and process control. The tools focused on waste reduction, while TQM is oriented
that are used are data tables, Pareto analysis, trend towards customer satisfaction. Six sigma is focused on
analysis, histograms, diagrams, control cards, process cost-reduction, while TQM is focused on quality
maps, and process improvement tables [20]. The enhancement, and continuous improvement of quality
primary goal of ISO 9001 certification is the policies. Lean production, and six sigma are similar,
understanding, and satisfying the needs, and wishes of and in practice this similarity results in the
customers. The secondary goal is a competitive implementation of integrated lean production, and six
market position, and customer loyalty. The negative sigma – lean six sigma. Based on the various needs of
effects of ISO 9001 can manifest in the form of lack of companies, the mentioned concepts, and management
understanding from managers; non-involvement of approaches are chosen accordingly.
managers, and employees; less process flexibility; In the Republic of Serbia the number of ISO 9001
strict rules, and documentation; and often standards grows each year. Companies tend to
unpredictable implementation costs. implement ISO 9001 in order to be more competitive
In opposite to TQM, ISO 9001 doesn’t include the on the international market. However, TQM in Serbia
elementary elements for achieving extraordinary endures problems in the form of unawareness of
product, and service quality. The missing elements are managers of the importance of quality management
lack of defining the quality goals in the business plan; systems [26]. Furthermore, the six sigma pilot project
high quality control; employee training according to in Serbia brought overall business improvement of
strict rules for high quality; and the overall 93.60%, which is at a three sigma level. Lean
involvement of employees [21]. production in Serbia was implemented by a confection
Now, lean production is focused on removing manufacturing company, and the manufacturing
waste, and creating minimal amounts of waste in the efficiency was improved by 58%, while reliability
manufacturing process. Lean production tends towards improved by 16% [27]. It is evident that, if used
improving all processes in the company. Similarly to properly, quality management systems, and advanced
the six sigma concept, lean production is based on the tools, and quality techniques, may surely have a
project management approach [22]. The methodology positive effect on business performance.
of lean production includes the understanding the
values for customers; value bandwidth; thorough 4. CONCLUSION
process analysis; and tendency towards perfection.
Lean production uses analytical tools to improve After the conducted theoretical analysis in the
business processes. This is similar to TQM, and six domain of TQM, ISO 9001, lean production, and six
sigma. The priority of lean production is to reduce sigma, it is concluded that the objective goal of every
workload, and achieve higher productivity. Secondary of the mentioned concepts is to improve overall
goals include inventory reduction, and higher business performance. This improvement is achieved
customer satisfaction. The drawbacks of lean through various business metrics such as finance, cost
production are less flexibility in the manufacturing reduction, waste reduction, customer satisfaction,
process, bottlenecks in the supply chain, and it is not product, and service quality, and productivity. TQM
usable in every type of industry [23]. has a more practical approach to core improvements
Furthermore, six sigma focuses on achieving zero of quality management. ISO 9001 is strict, and utilizes
defects, or a substantially minimal number of defect complex documentation. Lean production tends

19
International Journal ’’Advanced Quality’’, Vol. 46, No. 1, 2018. year, Belgrade, Serbia.

towards warehouse, and inventory reduction, and [14] Brun, A., Critical success factors of Six Sigma
higher productivity. Six sigma focuses on minimal implementations in Italian companies, International Journal
amount of defect products. For further research a of Production Economics, Vol.131, No.1, 158-164, 2011.
systematic review of TQM, ISO 9001, lean [15] Bendell, T., A review and comparison of six sigma
and the lean organisations, The TQM magazine, Vol.18,
production, and six sigma, is recommended. This way No.3, 255-262, 2006.
a more complete picture is obtained in the domain of [16] Antony, J. & Banuelas, R., Key ingredients for the
quality management systems. effective implementation of Six Sigma program, Measuring
business excellence, Vol.6, No.4, 20-27, 2002
ACKNOWLEDGEMENT [17] Sun, H., Total Quality Management, Iso 9000
Certification and Performance Improvement, International
This research did not receive any specific grant from Journal of Quality & Reliability Management, Vol.17, No.2,
funding agencies in the public, commercial, or not-for- 168-179, 2000.
profit sectors. [18] Andersson, R., Eriksson, H. & Torstensson, H.,
Similarities and differences between TQM, six sigma and
lean, The TQM magazine, Vol.18, No.3, 282-296, 2006.
REFERENCE [19] Arumugam, V., Keng‐Boon O., & Tuck‐Chee F.,
[1] Đorđević, D., & Ćoćkalo, D., Quality management Tqm Practices and Quality Management Performance, The
(Upravljanje kvalitetom). Zrenjanin, Tehnički fakultet TQM Journal Vol.20, No.6, 636-650, 2008.
''Mihajlo Pupin'', Zrenjanin, 2007. [20] Huarng, F., Horng, C. & Chen, C., A study of ISO
[2] Oliveira, G. S., Corrêa, J. E., Balestrassi, P. P., 9000 process, motivation and performance, Total Quality
Martins, R. A., & Turrioni., J. B., Investigation of Tqm Management, Vol.10, No.7, 1009-1025, 1999.
Implementation: Empirical Study in Brazilian Iso 9001- [21] Tzelepis, D., Tsekouras, K., Skuras, D., &
Registered Smes. Total Quality Management & Business Dimara, E., The Effects of Iso 9001 on Firms' Productive
Excellence, 1-19, 2017. Efficiency, International Journal of Operations & Production
[3] Love, P. E., Heng, L., Irani, Z., & Faniran, O., Management, Vol.26, No.10, 1146-1165, 2006.
Total quality management and the learning organization: A [22] Radlovački, V., Beker, I., Majstorović, V.,
dialogue for change in construction, Construction Pečujlija, M., Stanivuković, D. & Kamberović, B., Quality
Management and Economics, Vol.18, No.3, 312-331, 2010. Managers’ Estimates of Quality Management Principles
[4] Melão, N. F., & Guia, M., Exploring the Impacts Application in Certified Organisations in Transitional
of Iso 9001 on Small- and Medium-Sized Social Service Conditions-Is Serbia Close to TQM?, Strojniški vestnik-
Institutions: A Multiple Case Study, Total Quality Journal of Mechanical Engineering, Vol. 57, No.11, 851-
Management & Business Excellence, Vol.26, No.3-4, 312- 861, 2011.
326, 2013. [23] Pepper, M.P. & Spedding, T.A., The evolution of
[5] Naser, K., Yusuf K., & Mokhtar, M., Impact of lean Six Sigma, International Journal of Quality &
Iso 9000 Registration on Company Performance, Reliability Management, Vol.27, No.2, 138-155. 2010.
Managerial Auditing Journal, Vol.19, No.4, 509-516, 2004. [24] Pettersen, J., Defining lean production: some
[6] Shah, R., & Ward, P. T., Defining and developing conceptual and practical issues, The TQM Journal, Vol.21,
measures of lean production, Journal of Operations No.2, 127-142, 2009.
Management, Vol.25, No.4, 785-805, 2007. [25] Dedhia, N.S., Six sigma basics, Total Quality
[7] Kwak, Y. H., & Anbari, F. T., Benefits, obstacles, Management & Business Excellence, Vol.16, No.5, 567-
and future of six sigma approach, Technovation, Vol.26, 574, 2005.
No.5, 708-715, 2006. [26] Majstorovic, V. and Sibalija, T.V., 2015. From
[8] José Tarí, J., Components of successful total IMS and six sigma toward TQM: an empirical study from
quality management, The TQM magazine, Vol.17, No.2, Serbia. The TQM Journal, 27(3), pp.341-355.
182-194, 2005. [27] Djekic, I., Zivanovic, D., Dragojlovic, S. and
[9] Yusof, S.R.M. & Aspinwall, E., Total quality Dragovic, R., 2014. Lean manufacturing effects in a Serbian
management implementation frameworks: comparison and confectionery company–Case Study. Organizacija, 47(3),
review, Total quality management, Vol.11, No.3, 281-294, pp.143-152.
2000.
[10] Ab Wahid, R. & Corner, J., Critical success
factors and problems in ISO 9000 maintenance,
International Journal of Quality & Reliability Management,
Vol.26, No.9, 881-893, 2009.
[11] Quazi, H.A., Hong, C.W. & Meng, C.T., Impact of
ISO 9000 certification on quality management practices: A
comparative study, Total quality management, Vol.13, No.1,
53-67, 2002.
[12] Achanga, P., Shehab, E., Roy, R. & Nelder, G.,
Critical success factors for lean implementation within
SMEs, Journal of Manufacturing Technology Management,
Vol.17, No.4, 460-471, 2006.
[13] Shah, R. & Ward, P.T., Lean manufacturing:
context, practice bundles, and performance, Journal of
operations management, Vol.21, No. 2, 129-149, 2003.

20

View publication stats

You might also like