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Unit 04 / MANAGING

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ACKNOWLEDGEMENT
I'd like to take this chance to express my gratitude to everyone who supported me in
completing my Management Operations project. First I’d want to show my thankfulness to
Mr. Chrishain, my professor, for his good support during the preparation of this work Finally,
I'd like to thank all of my friends and family for their continuous support during this process.

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Table of Contents
ACKNOWLEDGEMENT....................................................................................................................1
LIST OF TABLES......................................................................................................................................3
LIST OF FIGURES....................................................................................................................................3
LO 1 & 2...............................................................................................................................................4
1) INTRODUCTION TO JOHN KEELS HOLDINGS...............................................................4
2) The differences between a leader and a manger with the following concept of
McGregor’s Theory are as follows;...............................................................................................6
MANAGEMENT THEORIES.............................................................................................................6
a) Henri Fayol’s Management Theory......................................................................................6
b) Hawthorne Theory..................................................................................................................6
LEADERSHIP THEORIES..........................................................................................................................7
a) Laissaz-Faire leadership style...........................................................................................7
b) Behavioral Theory...............................................................................................................7
3) Management and leadership maintained within john keels...................................................7
Recommendations..........................................................................................................................8
CONCLUSION................................................................................................................................9
LO 3 & 4.............................................................................................................................................10
Task 01...............................................................................................................................................10
1) TOTAL QUALITY MANAGEMENT.....................................................................................10
DESCRIPTION ABOUT TOTAL QUALITY MANAGEMENT..................................................10
How to implement TQM...............................................................................................................11
2) Key tools used in total quality management environment...............................................12
1) KAIZEN TOOL.......................................................................................................................12
Tools of kaizen are as follows;.........................................................................................................12
A) PDCA..................................................................................................................................12
The four steps of the PDCA process to contribute towards increasing efficiency within ABC
(pvt) Ltd..........................................................................................................................................13
B) 5S........................................................................................................................................14
The five steps of the 5s process.................................................................................................15
C) QUALITY CIRCLE.............................................................................................................16
If ABC company adapts quality circle;........................................................................................16

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D) 5 why process....................................................................................................................17
The 5 Whys method can help with in achieving continued growth at any level of the
company. Here are some important actions must follow.........................................................18
2) Six sigma................................................................................................................................19
If ABC (pvt) company adapts Six Sigma process?...................................................................19
3) FISH BORN DIAGRAM........................................................................................................20
Following questions will may be asking by the company as an example as follows;..........20
Task 02...............................................................................................................................................22
Explanation of cost of quality and how these cost behave when adopting TQM within the
company.........................................................................................................................................22
A) Cost of quality....................................................................................................................22
B) Non - Conformance...........................................................................................................23
C) TQM vs. Quality cost........................................................................................................23
Conclusion and Recommendation..................................................................................................24
References...........................................................................................................................................25

LIST OF TABLES
Table 1-differences between a leader and a manger....................................................................6

LIST OF FIGURES
Figure 1-John keels............................................................................................................................4
Figure 2 - organizational structure....................................................................................................5
Figure 3-PDCA..................................................................................................................................13
Figure 4-5s.........................................................................................................................................14
Figure 5-Quality circle......................................................................................................................16
Figure 6-5 why process....................................................................................................................17
Figure 7-Six sigma............................................................................................................................19
Figure 8-Fish born diagram.............................................................................................................20

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LO 1 & 2
To-CEO
From-HR Executive
Subject-Management and Leadership
Date-8/04/2021

1) INTRODUCTION TO JOHN KEELS HOLDINGS


John keels holding is srilanka’s largest company in
the Colombo stock exchange and it was being
started in the early 1870s. Krishnan balendra is
the chairman of john keels holding PLC. John
Keels Holdings is Sri Lanka's largest company,
owning approximately 70 companies in seven
sectors, including delivery and logistics, consumer
food, leisure, property development, retail,
financial services, and information technology.

The owners of John Keels Holdings, Englishmen


Edwin and George John, accelerated the company
in the 1870s. Then, in the 1970s, JKH eagerly
joined the tourism industry, which is now without a
Figure 1-John keels doubt Sri Lanka's most important economic driver.
Following that, in 1979, JKH founded a commons Ltd organization. JKH continued to
expand, and for the sake of the country's prosperity, JKH invested in landmark projects that
will define Sri Lanka. By investing in the previous PVT foundation severe into the United
States name South Asia Gateway Terminals (SAGT), which includes USD 900 million, 4.5
million square foot, integrated management old complex branded so Cinnamon Life, which is
the best large investment in Sri Lanka. (Anon., 2021)

 John keels private limited include the management of;


 CEO & Chairman-Krishnan balendra.
 Deputy Chairman and group finance director-Gihan cooray.
 Non-executive director-Amaal cabraal.
 Non-executive director-Nihal Fonseka.

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 Non-executive director-Ashroff perera.
 Non-executive Director-Dr. Hans wijayasuriya.

Figure 2 - organizational structure

Management - Management is the practice of controlling or managing a group of people or


an organization toward a common objective. Management has the ability to continue or
manipulate human capital, financial resources, empirical assets, and finally natural
resources.

Manager - planning, staffing, directing, and monitoring are all roles that a manager must
perform. All of these roles are important for a company's smooth operation and achievement
of its goals.

Leadership - Leadership has the ability to create while also preparing, obtaining capital, and
identifying and correcting errors. Leadership is concerned with inspiring people to complete
tasks and work with one another or, in some cases, teams, in order to achieve a specific
goal.

So that we have to come to a clear vision of understanding the above term management and
leadership, Leaders empower and encourage people to achieve goals by developing a
vision, setting a path, and encouraging and aligning them. They build new systems and
relationships. Leaders concentrate on tasks, while managers concentrate on duties.

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Employees are pushed to achieve organizational goals and priorities by executives, while
managers are pushed to achieve them by managers.

Leader - Leaders make certain that all followers understand, support, and work for those
goals.

2) The differences between a leader and a manger with the


following concept of McGregor’s Theory are as follows;
Table 1-differences between a leader and a manger

LEADER MANAGER

 Need to be directed.  Hate direction

 Motivated by money  No need supervision.

 Plans long term  plans short term

 Do right things  Do things right.

 Teamwork.  Individual work.

MANAGEMENT THEORIES

a) Henri Fayol’s Management Theory


Henri Fayol was born in Istanbul in 1841 and began working as an engineer for a huge mining
business in France at the age 19. He hired more than 1000 people. With his 14 theories, he is truly
special. These are main functions of management; (Anon., 2021)

Planning - Planning is the process of determining the objectives of a business and


determining the activities to achieve goals, strategies and developing plans to coordinate
activities.

Organizing - This is the process of distributing required resources, job roles and task in
order to inspired the planned activities, to achieve the objective of a business.

Leading - the process of directing Human resources appropriately when inspired the
planned process. They should be led by giving the required information and instruction and
motivating them to relevant activities.

Controlling - The process of finding out whether the business activities are implemented as
planned and if not, identifying errors and taking necessary to correct them.

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b) Hawthorne Theory
When Henry A. Landsberger was studying the Hawthorne studies the Hawthorne studies
conducted between 1924 and 1932 at the Hawthorne works in 1958, he invented the term
“Hawthorne Impacts. “This was released to see whether their employees would be more
effective in better or deeper conditions. The following were identified in the theory; (Anon.,
n.d.)

Employee motivation increases as they are due to an increased.

However, benefits were not only the source of motivation. Non-financial considerations
should also be considered when motivating employees;

A) Employees should be provided with a safe work environment and conditions.

B) Employees must provide with level of facilities and infrastructure

C) Clos-kit work groups should be form in order to sense of togetherness and community.

D) There needs to be psychological contract between the employer and employees.

LEADERSHIP THEORIES

a) Laissaz-Faire leadership style


Leaders give their team members a lot of freedom in how they do work, and how they set
their deadlines. They provide support with resources and advice if needed, but otherwise
they don’t get involved.

A) Relies on good team work.


B) Relies on good interpersonal relation.
C) Can be highly motivational, as people have control over their working life.

b) Behavioral Theory
Behavioral leaders do not seek inborn capabilities. This is easy to develop, as you simply
assess not leadership success and the actions of leaders and satisfaction of followers.

This theory examines how leaders act and suggests that these actions can be expressed by
other leaders and it’s proposes that good leaders aren’t born, but can be developed by direct
observation.

3) Management and leadership maintained within john keels


The John Keels Holding is Sri Lanka's biggest conglomerate. To accomplish their goals and
objectives, the John Keels need strong management and leadership processes in their
business. And the company's management and leadership would contribute to its growth.
Management philosophy aids organizations in focusing, communicating, and evolving, and
its use in the workplace aids workers in focusing on their main goals. When a certain
management style or idea is implemented. The top objectives of the company are

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immediately organized. Identify five managerial functions, according to Fayol's philosophy,
which he termed planning, organizing, leading, and controlling. Good planning, according to
Fayol's theory, will also aid the JKH in recognizing requirements and want challenges, as
well as finding available options. Good planning will help them reach essential goals and
objectives. Furthermore, excellent organization provides the structure required to achieve a
company's objectives and ambitions. It is necessary to develop a framework for the farm's
employees, roles, divisions, and activities in order to organize resources and distribute them
in order to carry out strategies and the leading responsible for ensure that employees are
motivated by and communicated to the success of the organization and the controlling is a
function of JHK’s management which helps to check errors and in order to take corrective
actions.

Leadership theories assist John Keels in keeping his staff happy and the firm working
perfectly. They should provide their team members a lot of freedom and they should prove
support with resources and advice if needed, but otherwise they don’t get involved. This
autonomy can lead to high job satisfaction, but it can be damaging if team members don’t
manage their time well. This is known as Laissez-faire theory. John keels have to be a
leader in order to keep his workers happy and productive. As a result, strong leadership and
employee confidence are critical to a john keels performance. In addition, John keels have a
structure of team leadership.

Recommendations
In addition, one of John Keels' upcoming suggestions is for the company to train more staff
so that it can hire successful executives, which would help the company prosper. They
frequently need the satisfaction of their employees.

They will increase employee pay and include non-monetary benefits. For example, offer fair
working conditions and some benefits to employees. As a result, John Keels is a good
organization team leader who knows how to encourage collaboration.

Managers and executives will organize team building events to assist their team members in
achieving their company goals, and if JHK succeeds, they will need to develop a long-term
strategy to maintain employee morale through a business growth.

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CONCLUSION
In conclusion, this report focuses on how JKH can handle leaders and managers within the
john keels party. As above I have mentioned 4 theories each 2 on management and
leadership where all these procedures are carried through this JKH and this were discussed
in the report’s middle section.

Evaluations of the classical motivational theory are followed in order to propose a best
motivational theory for the john keels group. In the mid-section of the report, two theory of
management and two theory leadership and how these procedures are being happened
through this JKH were discussed. As everybody assumes, no large scale organization can
run based on management systems; they also need leadership systems to maintain build
business and popularity. Employees are key assets for JKH and they must be treated as
such, I have discussed theories and employees help JKH by sharing their innovative ideas
and talents in order for JKH to make decisions and develop. In addition, I made some
suggestions for future enhancements. John keel is a big corporation, and it seeks to hire a
good group of workers because employees are the most important assets in a company’s
success. If a group of employees is active and supportable, John keels wants to please their
employees and keep them safe. Those theories and suggestions that I have mentioned will
aid in the growth and success of john keel’s company.
If you have any doubts, please do not hesitate to contact me if you need additional details.

Thank you!

HR Executive.

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LO 3 & 4

Task 01
1) TOTAL QUALITY MANAGEMENT
Total quality management (TQM) is defined as a management technique that focuses on
long-term performance through consumer satisfaction. All members of a company engage in
a TQM effort by working to improve procedures, goods, services, and the culture in which
they operate. TQM aims to increase customer satisfaction by focusing on the client and
continually achieving their expectations. It highlights the need of your company
communicating to consumers exactly what they will receive in order to minimize conflicts.
(BARONE, 2021)

Total Quality Management (TQM) is a management method that aims to achieve long-term
success by continuously delivering high-quality IT services to customers. To effectively
implement TQM techniques, the entire organization must work as one entity in pursuit of
success. Quality is expected in all elements of the company's operations, with procedures
completed correctly the first time and faults and waste eliminated. (Pratt, 2019)

Total Quality Management (TQM) is a management strategy that goes back to the 1950s
and has grown in popularity gradually since the early 1980s. Total quality refers to a
corporate success, attitude, and structure as it seeks to supply consumers with products and
services that meet their demands. (Hashmi, n.d.)

DESCRIPTION ABOUT TOTAL QUALITY MANAGEMENT


Total Quality Management (TQM) is a complete approach for improving customer
satisfaction over time. It is a business concept that promotes favorable organizational
interaction in order to accomplish the desired outcome. The objective is to improve efficiency
and effectiveness while also lowering operational costs and expanding market share. This is
a business philosophy that removes quality management duty away from appointed quality
managers but instead involves all employees. This philosophy helps to perform,
manufacturers, and customers to work together more closely. It also means that business
operations should develop through time to satisfy the demands of the market and society at
large. All members of a company engage in a TQM approach by working to improve
operations, products, services, and the environment in which they operate. (Anon., 2021)
Why we should achieve TQM?

TQM ensures that consumers receive what they anticipate, as well as a method for dealing
with dis-satisfied customers, making needed maintenance, and preventing. TQM can help
your company if it doesn't have a clear path to happy consumers. TQM is important to satisfy
the needs of consumers.
Taking priority client needs, increasing the relationship beyond regular services, and
incorporating client demands into the company's business plan and strategy. The business

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will have the methods and processes in place to gain new customers, keep current
customers satisfied, and communicate and handle possibly angry consumers if you use a
quality management system.

How we can achieve it

A. By Investigate and understand your clients' requirements and expectations.


 The success of your company's TQM strategy or strategy is determined by customer
satisfaction. If your consumers are pleased, your improvements were successful. If
they're unhappy, it's time to rethink your plan. Employee participation at all levels: Every
employee is actively involved in achieving the common objective of continual
development.
B. Connect the company's goals with those of your customers.
 If you know what your customers want or need, you'll have a better chance of figuring out
how to get the resources, people, and processes in place to meet and exceed their
expectations. Just do necessary to put this TQM principle into action: Connect your
company's objectives with your consumers'.
C. Customer interactions should be managed.
 TQM's function in customer relationship development helps businesses to respond to
new customer needs. This offers the company with a number of benefits, including the
ability to grow to changing market conditions as well as the capacity to accept new
technologies and capitalize on new ideas.
D. By find a happy solution that will please both consumers and other interested parties
(such as owners, employees, suppliers, and investors).

How to implement TQM.

1) Make your vision, mission, and values clear


 Employees must understand how their work contributes to the organization's strategy
and goals.
 Every employee must be aware of the organization's overall direction (vision), the goals it
tries to achieve, and the daily importance of following its objectives and decision-making.
 For any first start, create a method for educating staff during new employees and
communicating the purpose, vision, and objectives
2) Identify Critical Success Factors
 Success factors guide an organization's attention on the features that make it achieve its
goals and get more towards its mission.
 These success statistics act as a measure for how effectively the company is achieving
its goals.
3) Identify the most important groups of customers.
 Those that know who their key customer groups are may produce products and services
that meet their needs.
 A common error made by many businesses is failing to recognize employees as an
important client segment.
4) Make a plan for growth.

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 We should construct an action plan based on consumer comments from each group after
the standard has been determined.
 Improvement plans will be developed in the SMART goals framework, with particular
staff members appointed to see that they are carried out.
 If we implement TQM, everybody within the organization should come together come
together and work hand in hand to achieve quality.

2) Key tools used in total quality management environment

1) KAIZEN TOOL
Kaizen is a Japanese word that means "constant improvement" or "changing for the best." It
is a Japanese business concept that focuses on procedures that enhance operations over
time and involve all personnel. Kaizen considers productivity development as a thorough and
systematic activity.
Kaizen is a large term that involves a variety of principles. It entails building a team attitude,
improving daily operations, assuring employee involvement, and making a job more
satisfying, less stressful, and safer. Kaizen aims to improve production, effectiveness,
security, and waste reduction, but individuals who apply the method sometimes learn a lot
more: There is less waste because goods are used more efficiently and employee skills are
improved. People are happier because they have a direct influence on how things are done.
(HARGRAVE, 2021)

5 elements of kaizen
Teamwork - Employees interact to attain a common purpose of improving operations and
performance. Within organizations, quality circles, and in between levels, cooperation is
promoted.

Personal discipline - Kaizen's success depends on personality in terms of its quality and
management skills

Better morale - People are happier with their jobs and the entire quality control improves
when they are allowed to better their duties or jobs.

Quality circles - Quality circles, which are mainly composed of five to seven people, allow
teams to meet on a regular basis to review issues that arise in their daily work.

Improvement proposals - Everyone is educated to recognize loss and inefficiencies, from


human capital and accounting to manufacturing processes and shipping. All proposals
should be taken into account, and staff should feel free to discuss or apply them freely.

Tools of kaizen are as follows;

A) PDCA

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Figure 3-PDCA
The PDCA cycle is an iterative process that is used to improve goods, people, and services
through time. It eventually evolved into what is currently known as Lean management.
Testing solutions, assessing findings, and refining the process are all part of the Plan-Do-
Check-Act methodology it’s simply a chain reaction for improvement: you figure out how
system works now, find out how to enhance it, and then put the improvements in place.
PDCA provides a number of key benefits: It encourages individuals and processes to
improve continuously. It allows your team to test possible solutions in a controlled setting on
a small scale. It protects against repeating mistakes in the job process... (Anon., n.d.)

Example - Consider how many customers have complained about your support team's quick
response time. Then, in order to keep consumers happy, you'll probably need to improve the
way your team operates. This is when the PDCA principle comes into play

The four steps of the PDCA process to contribute towards


increasing efficiency within ABC (pvt) Ltd.
PLAN –
So will literally plan what has to be done in the ABC (pvt) Ltd firm at this point. Depending on
the scope of the project, planning may consume a significant portion of the company's
resources. It will often be broken down into smaller sections so that you may construct a
suitable strategy with less chances of failure. Keep in mind that the group may need to go
over the plan a few times while moving forward.

Before moving on to the next level, make sure we must have addressed the following
concerns:

1. What is the issue that has to be resolved?


2. What is the most effective solution for solving the problem?
3. Under what situations would the proposal have been considered effective? What are the
objectives?
4. How much money do we need?

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DO –
After you've decided on a plan, it's time to put it into action at ABC (pvt) company. At this
point, you'll put what you've learned in the previous stages into action.

Be aware that unexpected issues may arise during this period. As a result, in a best
situation, we should try to implement our plan on a small scale and in a controlled situation
immediately. This will definitely help your team in placing the approach into action. Establish
that everyone is mindful and responsibilities within ABC (pvt) Ltd company.

CHECK
If you want to clarify your plan, avoid repeating mistakes, and effectively implement
continued growth, then must pay close attention to the CHECK phase in the ABC (pvt) Ltd
firm.

To decide whether or not the original idea was successful in this ABC Company, one must
analyses the performance of the plan. In the future, the team will be able to identify and
remove any problem features of the usual system. If something goes wrong during the
procedure, one must look into it and figure out what are the problems.

ACT
After all this process the company should go under the process of ACT. If everything
appears to be in order and the team has achieved its work goals, then should move forward
with your entire plan.

Analyze what happened and what didn't, decide what needs to be done to improve the
process' performance, decide if part of the problem still remains, record the group's learning
from the cycle, and consider future plans.

It is essential that the employees participating in the process take care while creating the
team responsible for establishing the PDCA, providing enough training so the techniques
employed are in everyone's hands again for processes to be successful.

B) 5S

Figure 4-5s

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5S is a method for organizing workspace so that work may be done quickly, effectively, and
safely. This methodology focuses putting things back where they belong and keeps the work
area clean, making it simpler for individuals to complete their tasks without wasting time or
actually damaging.

5S is an excellent tool for identifying the first garbage activities in your company. Although it
is commonly misunderstood as a housekeeping technique, it is actually a snipping
management system that encourages individuals to think fast, opening the path for the
organization's implementation of Better concepts.

The five steps of the 5s process


SORT
Separate the tools, supplies, and instruction that are necessary from those that are not.
Eliminate everything from work space that isn't required is known to be “sort”.

In ABC (Pvt) Ltd Company, the sort step helps you decide between what's important and
what's not. The aim of this phase is to get away of anything that isn't useful in your day-to-
day activities. “How does this thing benefit me in my day-to-day work?” is a useful question
to ask ourselves. You may be surprised to learn how so much "stuff" you've been storing.

In fact, this company will let the employees to evaluate it and help you in deciding if the
material is required or not.

SET IN ORDER
Sort and organize all tools, equipment, files, data, materials, and resources so they can be
quickly located and then used. Identifying all storage locations, tools, and equipment is a
must. This phase is known to be “Set in order”

In ABC (Pvt) Ltd Company, this step's purpose is to make it simple for the team to remove
items. Employees will focus on planning for practical organization in this section. It makes
logical to have goods that need regularly at reaching distance and employer will Consider
storing stuff to reduce the team's unnecessary movement. Organize the team's workspaces
to make them more suitable to communication.

SHINE
In ABC (Pvt) Ltd Company, everything must be clean, nice, and placed in its right place.
Cleanliness ensures a safe working environment and identifies possible issues such as
equipment failures, loose components, broken safeguards, wasted documents, or supplies.

It will be easier to identify errors and waste if they maintain everything in order. You can
easily resolve these challenges if you are organized. It's also a good idea to have someone
in the organization that is responsible for quality checks.

STANDARDIZE

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Engage the employees to complete steps 1, 2, and 3 above on a regular basis as a normal
routine to keep the workplace in great shape. Create schedules and objectives for accept.

To properly understand the 5S technique, so will need to develop habits at ABC (Pvt) Ltd
Company. It's easy to return to the old noisy and untidy behaviors when you're just starting
out on the 5S path. This is not a once-a-year spring cleaning activity. To be effective, it must
become a way of life at this company.

SUSTAIN
Start making 5S a part of the ABC (Pvt) Ltd Company by introducing it into the concept.
Develop employee effectiveness to 5S such that it becomes one of its goals and everyone
takes it as a habit. The 5S technique should be included into the performance management
system in this company.

Ensure that new employees are trained in the 5S program from the start. Regular review
should be performed to ensure that everyone in the company is conforming to the rules. This
will also bring to light any areas from where can improve.

Importance of 5S's at ABC (Pvt) Ltd Company


5S may look to be an easy idea but it may, however, be a very useful weapon in the
efficiency tool if used appropriately and regularly. It is easy for everybody to work efficiently
when all is nicely arranged. As a result, company may anticipate the employees will be more
satisfied and happy. They will be in a safer working environment as a result of this.

C) QUALITY CIRCLE

Figure 5-Quality circle


Quality Circles are defined as a small group of employees from the same work area that
gather freely and on a regular basis to identify, discuss, and resolve job issues. Quality
circles allowed management and workers build relationship of trust. The key to its success is
partnership, not fight. Quality Circles aim to develop individuals and generate actual interest

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and attention to their job in order to increase quality, productivity, and cost savings, among
other things. (Nikhila, n.d.)

If ABC company adapts quality circle;


 Better communication will be further improved among each other.
 management understanding of employee job-related problems
 Improved choice abilities - Making decisions on what matters to oneself allow one to be
more personality and in control of the situation.
 Enhanced motivation - Having a motivated workforce provides a number of benefits,
including reduced absence, employee satisfaction, and low employee turnover, improved
management-worker relations, higher worker productivity, increased quality, and
enhanced customer service
 chances for improved working acknowledgment

D) 5 why process

Figure 6-5 why process

One of the most powerful root cause analysis methods in the Lean management arsenal is
the 5 Whys methodology. In the everyday job, every company encounters obstacles. Using
the 5 Whys, on the other hand, can assist to identify the basic reason of any problem and
protecting the process from repeating errors and failures. (Anon., n.d.) (Anon., n.d.)

The 5 Whys profitable customer action the team in focusing on the main cause of any issue.
Rather of punishing others, it promotes each team member to submit suggestions for
ongoing development. It offers your team the confidence that they can solve any problem
and keep the process from failing again. (Anon., n.d.) (Anon., n.d.)

If ABC company adapts 5 Whys process, then they are as follows;

So here is an example of how the 5 Whys can be used.

Why – late for work

This process should be done if an employee of this company comes late for work, being late
might result in ones firing. Employees from at countries can be fired at any moment for any
reason, and they can also leave their jobs at any time for any reason.

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Why- work up late

This process should be done if an employee or any other staff of this company work up late,
saying that employee or anyone were stuck in traffic or the alarm clock didn't go off will not
be work out or a proper excuse, they may take action .so that it's one's responsibility to
discipline to be there at right time

Why- alarm clock work

This process is being done when a worker forgot to set alarm and in that case you were
failure to be there at right time and also unfortunately, if it usually occurs, the ABC Company
will be less willing to trust you.

Why- didn’t check if it is worked?

If you’ll failure to check what’s going on this company or once the procedure the project
didn’t check out, then you would be fails to continue the job.

Why –forgot to do it last night.

So, if an also employee skips work or forgot to do it last night due to a protected sickness,
handicap, or duty, that person may be legally dismissed if he or she skips one day of work
without permission from the company.

The 5 Whys method can help with in achieving continued growth at


any level of the company. Here are some important actions must
follow.

 Form the team


We need to try to put together a variety of employees from several departments. Each
person must be knowledgeable about the procedure that will be examined. This will help you
in method successfully data to make an informed decision. Keep in mind that this is not an
individual activity that must be completed by the entire team.

 Define the problem


Develop a clear problem statement and discuss the issue with the group. It will help them in
identifying the scope of the problem guys is examining. To find an easy plan in the short
term, try to be as focused as practical.

 Ask why
One person should be in charge of the entire process. The team leader will ask the
questions and try to keep the group on track. So instead emotional views, the replies must
be based on truth and actual facts.

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Don't ask too many questions about why things are the way they are. If guys continue,
company may get many of the silly ideas and complaints, which isn't the goal. Focusing on
finding the cause of the problem.

There may be more than one actual reason in some situations. In these situations, the 5
Whys analysis will approach.  It may even help us to identify and resolving key problems that
have a hard negative impact on overall success.

 Take action
All participants should participate in a discussion to choose and implement the best solution
for preventing repeating problems in the process.

When a decision is reached, one of the team members should be in charge of carrying out
the appropriate actions and supervising the process.

Finally, the issue must be reported and shared throughout the company. Presenting this
information will provide an objective viewpoint of the many type’s challenges within (Pvt) Ltd
Company.

2) Six sigma

Figure 7-Six sigma

The term "sigma" refers to a measurement as to how far a process or company can go from
perfect; according to Six Sigma guidelines, manufacturing faults should be kept to fewer than
3.4 per million units.

Businesses use the Six Sigma strategy to improving systems by detecting faults which result
to faults and then applying new management systems as once mistakes are fixed. Individual

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steps can be identified, examined, and worked on using this process, which is particularly
successful with repeated, fully consider. It is not easy to achieve 6 sigmas’, because Six
Sigma is a method for lowering the amount of errors that occur as a result of business
operations. And it's not because I believe Six Sigma operations have all of the common
faults that affect huge business efforts, such as bad project management, project control,
and an absence of senior management support. (Hessing, n.d.)

If ABC (pvt) company adapts Six Sigma process?


Define the problem
Make a problem statement, specific qualifications, a project plan, a customer need, and a
business requirement for the business.

Measure
Gather information on present performance and concerns. Check that information is
accurate and, if necessary, update the communication plan.

Analyze
Analyze the process and information collected, explain it clearly, analyze and confirm what
really is creating the problem, and keep the project plan current as required.

Improve
Give advice about how to resolve problems and design new ways for those new solutions.
Take steps to apply the new changes and keep track of progress

Control
Improve the new process, monitor the situation performance, and apply what you've learned
elsewhere in the company.

3) FISH BORN
DIAGRAM

Figure 8-Fish born


NILAKSHAN diagram
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One of the seven quality circles (QC) tools is the fish-bone diagram. It helps mostly in
display of probable reasons in order to identify the true problem of an issue. It helps in the
notice, analysis, and improvement of quality problems. It might also be beneficial to consider
what may go wrong in order to avoid future issues. The problem is depicted by the "head" of
the skeleton, which is commonly shown on the right. The "bones" stretch to the left to
represent the many reasons. The bones represent the analyses' categories of effects, which
branch into reasons and sub causes. The branch is determined by the needed levels for
each classification. (Sheikh, 2019)

Following questions will may be asking by the company as an


example as follows;
People - Is the problem caused by every man-made or human-made factor?

Machine - What are the issues with machines?

Method - So what was the error in the related process that is causing the issue?

Measure - Is there any tools or standard error that needs to be solved?

Material - Which modifications did the material's qualities go through?

Environment - What kind of weather did you have?

If ABC (pvt) company adapts fish born diagram, then it will help throughout the identifying of
process obstacles. It helps to identifying methods to make the process better. It includes a
detailed discussion of the issue that educates the team. It promotes more research and
helps the company to take appropriate action. Not only that The person’s skill’s, knowledge,
critical thinking, training, and other factors all play an important role in the successful
learning of the fish-bone diagram., it's important to take the support of knowledgeable
specialists to develop the fishbone diagram and ask many more "whys" as possible.

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Task 02
Explanation of cost of quality and how these cost behave when
adopting TQM within the company

A) Cost of quality
The cost of quality is a way for analyzing the expenses that businesses pay in having the
product satisfy quality requirements, and also the expenses of manufacturing things that do
not.

Cost of quality has the purpose of providing a better understanding as to how quality benefits
the end result. The expenses of waste and labor related to low quality, as well as the
expenses of inspections and maintenance related to good standard, are high. (Sebastian,
n.d.)

Conformance
The number of resources required to meet a project's quality standards and objectives is
referred to as the cost of conformance. The general concept is to focus money on preventing
instead of resolving quality faults. (Sebastian, n.d.)

This is divided into two types of cost;

Prevention cost - Money spent on activities and materials that help in the construction of a
high-quality output is referred to as prevention cost. This contains all of the resource
necessary to make sure that the product is fit. (Smith, 2017)

Ex - A business might spend in training courses for its manufacturing equipment operators to
guarantee sure they know how to make parts properly.

If the company follows prevention cost when adopting TQM, then it must be focus on
the expenses of developing and implementing a good strategy

The preparation of quality plans for each product and program upgrade using well-
established, quick, and effective tools and procedures is part of a quality plan where should
work within this company.

Appraisal cost - Appraisal costs are a part of the cost of quality, but they include all
expenses of managing a quality of product or analyzing the organization's service to
maintain a certain standard of quality from its goods. (Smith, 2017)

If the company follows appraisal cost when adopting TQM it behaves enterprises in
maintaining their goodwill in the ABC (pvt) company by ensuring that their products and
services are fault. Because the product quality is examined thoroughly in advance, it may
support the organization in reducing the risk of negative consumer.

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Ex - The resources used to examine and verify the quality of a project's outcomes are known
as appraisal expenses. This has to do with quality control and the money spent on
operations that identify quality faults.

B) Non - Conformance
Cost of non-conformance and cost of failure are sometimes combined. It refers not just to
the necessary resources to detect faults and perform corrections, but also to the indirect
results of quality issues, such as a negative impact on company. (Sebastian, n.d.)

Non-conformance can be divided into two types;

Internal failure cost - Internal failure costs are costs incurred when a project or company
detects a failure. External failure costs relate to the resources needed to respond to
complaints or lost sales as a result of consumer unhappiness.

Ex- Cancelled product, negative on waste sales

External failure cost - The expense of responding to client complaints about the quality of a
product or delivery it also takes into account indirect impacts like a negative influence on
sales and the whole business.

Ex - returns, repairs, warranty claims, a bad image, and financial losses.

C) TQM vs. Quality cost


Spend on conformance costs – Nonconformance will decrease

Non-conformance will be reduced if money is spent on conformance expenses, therefore


TQM advises businesses to spend money on preventive quality assurance operations
including quality check appraisal. Internal and external failures would not arise if quality is
checked or measures to avoid quality failures are made within this company but at the other
hand, if you ever do not make investments on conformance costs, business will be subject to
non-conformance costs, which will increase the quality issues.

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Conclusion and Recommendation


The report concludes that the kaizen tools (PDCA, 5s, quality circle, 5 why process), fish
born diagram and six sigmas’ according to the concept of this each tools, when applied to
the company then better results can be obtained.

There are a lot of recommendations which may be provided to enhance ABC's


company strategy and achieve greater benefits than they can have. If the company will
combine the process improvement idea with PDCA and 5why process, then it will be able to
provide more efficient production results. When it comes to techniques, the six sigma
method can be implemented in connection with process improvement.

ABC uses a quality management technique which is known to be kaizen tool. According to
my suggestion PDCA and 5why process is the best tool to implement within this company.
PDCA cycle is an of planning, doing, checking and acting. It provides a straightforward and
effective solution to problem solving and implementation process. Before modifying
processes and work style, the tool may be used to examine quality improvement. When it
relates to human resources, Kaizen is a powerful motivator, and ABC can increase
production by increasing Employee Company’s profitability as machine efficiency.

5why process allows in the identification of a problem's root cause. It includes determining
the connections between a problem's many root causes. It is easier to understand and does
not need proper tools. It may be used for solving, process improvement, and continuous
quality improvement. Start by introducing an issue and determining why it is happening.
Make sure the response is based on facts, and then clarify the question.

Non-conformance will be decreased if money is spent on conformance expenses, so Quality


management advises companies to invest in quality assurance activities such as quality
check appraisal. Internal and external failures would be avoided if the company's quality was
checked and actions to prevent quality failures were implemented.

ABC can implement more growing up management principles into its operations when it
comes to process improvement

The recommendations offered in this assignment should result in product and confirmed
success for the company ABC throughout the production of goods and services.

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