ASSIGNMENT #3

TQM – Seeks to provide long-term success by ensuring that all employees is working towards
the improvement of work culture, processes, services, systems and so on to ensure long-term
customers loyalty and customers satisfaction. Remember, one happy satisfied customer brings
ten customer along with him, whereas one disappointed individual will spread bad word of
mouth and spoil several of your existing as well as potential customers.
Principles / Philosophy of TQM
Customer Focus - is a strategy that puts customers at the center of business decision-making.
Customer-focused businesses make decisions based on how those decisions impact customers —
as opposed to focusing on profits above all else. It’s a long-term strategy that develops loyalty
and builds trust.
Continuous Improvement - is a constant, ongoing effort to improve something. This
‘something’ can be a product, a service, one's skill set, or a team's way of working. Examples are
Employee training, skills development, cross-training programs, educational benefits, and
courses.
Use of quality Tools - are used to identify the potential problems, frequency of their
occurrences and method to control these problems for adopting best class practices. From results
of different surveys conducted, it is estimated that more than 100 TQM tools are being used so
far. But in different books different tools are described.
Employees Empowerment - is a management philosophy that emphasizes the importance of
allowing employees to make independent decisions and act on them. Employee empowerment is
the direct opposite of micromanagement.
For employees to feel like their decisions matter, they need to feel accountable for the decisions
they make on a regular basis. Your organization’s performance management practices play a
large part in determining your level of employee empowerment. Instead of following the
traditional pattern of one or two performance reviews each year, managers interested in
empowering employees meet with them in regular one-on-one meetings throughout the year.
This provides an opportunity for communicating about personal and team goals, holding
employees accountable for their current responsibilities, and offering suggestions and coaching
where needed to help employees improve.
Process Management - is a systematic approach to ensure that effective and efficient business
processes are in place. It is a methodology used to align business processes with strategic goals.a
long-term strategy that constantly monitors business processes so they maintain optimal
efficiency. Implemented properly, it significantly helps boost business growth.
Managing Suppliers – Proper supplier quality management tactics include taking inputs (such
as employee work, marketplace requirements, operating funds, raw materials, and supplies) and
effectively and efficiently converting them to outputs deemed valuable by customers. is a
supplier’s ability to deliver goods or services that will satisfy customers’ needs. Supplier quality
management is defined as the system In which supplier quality is managed by using a proactive
and collaborative approach.
Product Design - is the process of developing a usable product that meets customer's needs by
defining the users' problems and finding creative solutions for these problems. The term is also
used to refer to the result of this process, the design qualities of an existing product. Product
design is based on design thinking, an approach for solving problems in a creative way.
The Driver of TQM
Strategic enablers – generally considered to be primary importance with tactical and
instrumental drivers assuming a secondary position.
Tactical drivers – deal with more specific methods and action that contribute to reaching the
expected benefits of TQM implementation.
Instrumental driver – are the most visible and Operative part of the TQM program. They
constitute the driving force of continuous improvement and enhancement.
The focus of TQM
• Customer needs and expectations
• Organizational outcome
The Measurements of TQM
Customer Satisfaction – use to ensure the products and services supplied by a company meet or
surpass customer expectation. It’s also the measurements that determines how happy customers
are with a company is products, services, and capabilities.
Market Share – represents the percentage of an industry, or a market's total sales, that is earned
by a particular company over a specified time period. Market share is calculated by taking the
company's sales over the period and dividing it by the total sales of the industry over the same
period.
Quality Infact – is quality perceived by the customer's point of view. it focuses on doing the
right things, the right way and on time. Quality in perception is the suppliers point of view it
focuses on delivering the right product, satisfying customers needs and treating
Process Outcome - observable result of the successful achievement of the process purpose
Financial Result - refers to the amount of profit or loss a company makes during a set period of
time.

The tools for Identifying problems / solving quality problems

• Scatter Diagram is used in “Control Quality” process as a corrective action approach to
understand causes of poor performance of dependent variable due to independent variable effect.
To conclude, a scatter plot is a mechanism to understand the influence of independent variable
over dependent variable.
• Histogram – is a quality control tool that graphically displays a data set. More specifically, a
Histogram is a type of Bar Chart that graphs the frequency of occurrence of continuous data, and
will aid you in analyzing your data. It shows the different causes of problems. It reflects these
frequencies in tabulated adjacent rectangles. The height of the bar or adjacent rectangles
analyzed further to discover corrective or preventive actions.
• Control chart – is a graphical representation of whether a firm's products or processes are
meeting their intended specifications. If problems appear to arise, the quality control chart can be
used to identify the degree by which they vary from those specifications and help in error
correction.
• Pareto chart – it is basically a bar chart showing how much each cause contributes to an
outcome or effect.
-To analyze the frequency of problems or defects in a process
-To analyze broad causes by examining their individual components
-To help focus efforts on the most significant problems or causes when there are many
-To help communicate the significance of problems or causes to others
• Check sheet – (Also called: defect concentration diagram) is a structured, prepared form for
collecting and analyzing data. This is a generic data collection and analysis tool that can be
adapted for a wide variety of purposes and is considered one of the seven basic quality tools.
•data can be observed and collected repeatedly by the same person or at the same location
• When collecting data on the frequency or patterns of events, problems, defects, defect location,
defect causes, or similar issues
• When collecting data from a production process
• Fishbone – is one of the seven quality circles (QC) tools. It helps to visualize the potential
causes in order to find the root cause of a particular problem. It helps to identify, analyze and
improve quality issues. Sometimes, it can also be helpful to analyze what can go wrong -
preventing future problems. The “head” of the skeleton depicts the problem or effect, which is
usually shown on the right. The “bones” extend on the left to show the different causes. The ribs
denote categories or classification of causes for the analysis, which branch out into causes and
sub causes. The branching depends on the levels required under each classification.
• Flow chart - is a diagram that depicts a process, system or computer algorithm. They are
widely used in multiple fields to document, study, plan, improve and communicate often
complex processes in clear, easy-to-understand diagrams. Flowcharts, sometimes spelled as flow
charts, use rectangles, ovals, diamonds and potentially numerous other shapes to define the type
of step, along with connecting arrows to define flow and sequence. They can range from simple,
hand-drawn charts to comprehensive computer-drawn diagrams depicting multiple steps and
routes
Cost of Quality
Prevention Cost – includes proper set up of work areas for efficiency and safety, and proper
training and planning.
Appraisal Cost – it verifies the material received from the supplier meet specifications and
ensuring that products are acceptable at each stage of production.
- Minimize the defects of products
Internal failure Cost – are the cost of problems before products reach customers. It includes
broken machines, which cause delay and downtime, poor materials, scrapped products runs and
designs that require rework.
External failure Cost – it concerns the cost of issues the following a products market release.
They may include warranty issues, product recalls, returns and repairs.
Malcolm Baldrige National Quality Award - The Malcolm Baldrige National Quality Award
(MBNQA) is an award established by the U.S. Congress in 1987 to raise awareness of quality
management and recognize U.S. companies that have implemented successful quality
management sypstems. The award is the nation’s highest presidential honor for performance
excellence.
Three MBNQA awards can be given annually in six categories:
• Manufacturing
• Service Company
• Small Business
• Education
• Healthcare
• Non-profit
Quality function deployment - is a structured approach to defining customer needs or
requirements and translating them into specific plans to produce products to meet those needs.
The “voice of the customer” is the term to describe these stated and unstated customer needs or
requirements. The voice of the customer is captured in a variety of ways: direct discussion or
interviews, surveys, focus groups, customer specifications, observation, warranty data, field
reports, etc.
More Common Definition of Quality, Define the FF.
Conformance of Specifications - defines requirements when the buyer specifies what they
want, how they want it, and the supplier has to meet these specifications.
Examples:
Engineering drawing
A chemical formula
Model name, number or brand etc.
Fitness for use
Meeting or exceeding customer expectations.
Fitness for use focuses on how well the product performs its intended function or use. For
example, a Mercedes-Benz and a Jeep Cherokee both meet a fitness for use definition if one
considers transportation as the intended function
Value for price paid
Value-based pricing is a pricing strategy used by businesses to charge products and services at a
rate they believe consumers are willing to pay. As opposed to calculating production costs and
applying a standard markup, businesses instead gauge the perceived value to the customer and
charge accordingly. Artwork, cars, amusement parks, and even social media influencers use
value-based pricing to sell their products and services. All three of these industries take into
account a few standard truths about value-based pricing:
 Assignment #1
Quality – Is the totality of features and characteristics of a product or service that bear on its
ability to safety given needs.
• Provides the customer satisfaction.
• A judgement of how excellent something or someone is.
• A product that won’t easily break.
• Reflects on the company’s reputation
Important of Quality – It helps to maintain customer satisfaction and loyalty and reduce the
risk and cost of replacing faulty goods. It minimize the waste and operate high level of
production and an essential to building a success of organization
Deming’s view of Quality – Good quality means a predictable degree of uniformity and
dependability with a quality standard suited to the customer. ( The underlying Phil. Of all
definition is the same-consistency of conformance and keeping the customer in mind. Quality is
the degree to which performance meets expectations.

DEMING’S STEPS
Create constant purpose toward improvement
• Plan for anality in the long term
• Don’t just do the same things better – find better things to do
Adopt the new philosophy•
• Be prepared for a major change in the way business is done. It’s about leading, not simply
managing.
• Create your quality vision and implement it
Stop depending on inspections
• Don’t just find what you did wrong, eliminate the wrongs, altogether
• Uses statistical control methods- not physical inspection alone – to prove that the process is
working
Use a single supplier for any one item
• Look at supplier as your partners in anality. Encourage them to spend time improving their own
quality – they shouldn’t compete for your business based on price alone.
• Use quality statistics to ensure that suppliers meet your quality standards.
Improve constantly and forever
• Emphasize training and education so everyone can do their jobs better.
• Use kaizen as a model to reduce waste and to improve productivity, effectiveness, and safety.
Track Mistakes
Invest in Training
Organize
Quality circle
Have a right attitude
Use training on the job
• Allow workers to understand their roles in the “big picture.”
• Encourage staff to learn from one another, and provide a culture and environment for effective
teamwork.
Implement leadership
• Don’t simply supervise – provide support and resources so that each staff member can do his or
her best. Be a coach instead of a policeman.
• Figure out what each person actually needs to do his or her best.
Eliminate fear
• Use open and honest communication to remove fear from the organization.
• Allow people to perform at their best by ensuring that they’re not afraid to express ideas or
concerns.
Breakdown barriers between departments
• Build a shared vision.
• Use cross-functional teamwork to build understanding and reduce adversarial relationships.
Get rid of unclear slogans
• Don’t let words and nice-sounding phrases replace effective leadership. Outline your
expectations, and then praise people face-to-face for doing good work.
Eliminate Management by objectives
• Provide support and resources so that production levels and quality are high and achievable.
• Measure the process rather than the people behind the process.
Remove barriers to pride of workmanship
• Treat workers the same, and don’t make them compete with other workers for monetary or
other rewards. Over time, the quality system will naturally raise the level of everyone’s work to
an equally high level.
Implement Education and self – improvement
• Improve the current skills of workers.
• Encourage people to learn new skills to prepare for future changes and challenges.
Make transformation everyone’s job.
• Improve your overall organization by having each person take a step toward quality.
• Analyze each small step, and understand how it fits into the larger picture.

Crosby view of quality – Quality is neither intangible nor immeasurable. It is a strategic

imperative that can be quantified and put back to words to improve the bottom line. Quality as a
conformity to certain specifications set forth by management and not some vague concept of
goodness.
• Quality as a “conformance to requirements” the products or services that satisfy the desires,
needs and wants of the customers.
CROSBY STEPS
Management Commitment
• Must be committed and dedicated to process improvement and this culture should be passed on
the whole company workforce.
Quality Improvement Team
• Should be formulated
• Should be solely responsible for process quality.
Quality Measurement
• Before you start implement any action plan, you need to measure and assess process quality
and identify the areas that need improvement.
Cost of Quality Evaluation
• You need to assess the cost that comes along. What is the cost of quality and how does it fall
into your company’s overall plan?
Quality Awareness
• You need to spread the importance of quality throughout your entire workforce and embrace it
within your business culture.
Corrective Action
• Having identified what needs to be improved, you will then need to start implementing a plan
so that corrective actions start to roll out.
Plan for Zero Defects Program
• This step is all about eliminating defects. This step not only aims to reduce defects but to
entirely eliminate them.
Supervisor Training
• In order to achieve process quality you need to have supervisors that are actively embracing
this culture; and to do that you need to provide them with the right training.
Zero Defects Day
• You need to increase awareness by holding a zero defects day in which are employees are
taking part.
Goal Setting
• Setting goals for improvement should involve employees from the whole organization. By
engaging everyone you are making sure that goals are made out clear to all levels of the
organizational structure.
Error Cause Removal
• In every quality improvement effort it is important to take a step back and identify any errors
that are hindering this process. Engaging all employees in this procedure is vital.
Recognition
• Recognizing employees that excel in the quality improvement efforts and celebrating their
success will not only encourage them to continue the good work but it will also inspire others to
start participating.
Quality Council
• Bring along specialists and hold quality councils on a regular basis in order to create focused
and clearly defined goals.
Do It Over Again
• You need to do everything all over again from the start. Crosby’s model is not an ad-hoc model
but rather a process of continual process. So make sure that you repeat this process over and over
again.

Juran’s view of Quality – Quality as “fitness for use.” Quality means the product should be a
good price, work well for the customer, be distributed efficiently from the producer to the
customer, and be supported efficiently by the company. An essential requirement of these
products is that they meet the needs of those members of society who will actually use them.
This concept of fitness for use is universal. It applies to all goods and services without exception.

JURAN’S STEPS
Build awareness of need and opportunity for improvement
• Survey the employees / personnel, find why errors / mistakes / deviations are made
• Keep track of the number of mistakes being made, make sure they are decreasing
Set goals for improvement
• Establish specific goals to be reached
• Establish plans for reaching the goals
• Assign clear responsibility for meeting the goals
Organize to reach the goals
• Establish quality councils
• Identify problems
• Designate facilitators
Provide training
• Investment in education and training will fetch rewards
Carry out projects to solve problems
• Tackle the chronic problems for break-through improvements
• Vital few problems create the breakthroughs
Report progress
• Act to improve the operational status to reduce variance
• Act on progress provides confidence on quality improvement projects
Give recognition
• booster
Communicate results
• Lesson learnt
• Awareness of the approach taken, possibility to learn and improve further
• Improvement outlook for people in other areas, to emulate success
Keep score
• Track progress
• Report achievements, short-falls
Maintain momentum by making annual improvement part of the regular processes
• People oriented
• Team-work
How to ensure product quality?
Implement a quality management system
A quality management system is a set of business practices comprising the planning and
execution of delivering a product. The system includes principles that help to prepare a product
for its launch, such as customer focus, leadership, research and evidence-based decision-making.
Build a product strategy
A product strategy details information about a product and the company’s vision for it. Some
points the strategy defines include the customers, market, competitors and business goals. This
strategy serves as a roadmap for your product’s journey, from creation to launch.
Consider competitors
Considering your competitors is an important part of developing your product. What are they
doing that you aren’t (and vice versa)? How are their products performing? What works for them
and why? Answering these questions will put you in a better position to compete with similar
businesses in the market.
Listen to your customers
Don’t be afraid to ask your customers how you can improve your products. Use any negative
feedback to learn more about your customers and help your products better meet their needs.
Always test your products
It’s essential to test every product before launch so you can anticipate how buyers might react to
the product and see what changes you might need to make before you release it to the public.
How can we improve quality?
Product Quality - Before you can start improving product quality, you first need to understand
what constitutes a quality product.
•Satisfying a set of pre-determined specifications
•Satisfying the customer
Invest in Machinery
• You need to invest in quality machinery. Production machinery like precision CNC machining
ensures accuracy for consistent product quality. Also, machines help increase the production
speed and are far more cost-effective than hiring several skilled laborers.
Implement Quality Management
• Implementing a QMS can impact your business’s total performance. An effective QMS allows
your organization to meet customer requirements and regulatory standards as well as prevent
errors, save money, and continuously improve your product offering. Most importantly, by
ensuring consistent quality products, you can improve your business’s image and credibility and
enhance customer satisfaction levels.
Spy on Competitors
• Checking in on your competitors is a great way to develop and improve the quality of your
products. Competitor analysis allows you to understand the weaknesses and strengths in your
competitors’ products in comparison to your own and find a gap in the market. Look for
weaknesses in their products and try to come up with an innovative solution for yours. You can
also gain product ideas that you can improve to become more appealing and attractive to
customers.
Infuse Quality in Company Culture
• This means that managers can take a hands-off approach and allow their employees to freely
raise concerns if certain procedures and policies take away their ability to pursue quality. In
order to create quality products, employees need to have a say in the developmental process.
After all, your employees can provide you with essential feedback regarding quality production.
Allow your employees to have a voice in the business process and organize meetings where they
can suggest any improvements to the company’s products.
Train your Employees
• Training your employees at all levels can help improve product quality and lessen the
problems. Training can take several dimensions. You can set up a new-employee initiation
program, train your workers to focus on quality problems and in operating production machinery
and equipment from the first day of their job. You can assign existing employees to train new
employees since they can provide a firsthand perspective of how your business’s operations
work.
Perform Product Testing
• Its important to test your products before launching. This way, you can anticipate how buyers
will react to the product and see what changes you need to do before making an official release
to the public. Product testing allows you to see how your product performs in the real world,
ensuring if your product reflects the quality, usability, and efficiency you intended. Also, it
provides insight into marketing strategies as well as your positioning against your competitors.
Listen to Customer
• Lastly, don’t be afraid to ask your customers. Collecting customer feedback can give you
insight into what improvements can be made and how to enhance product quality. You can use
any negative feedback to learn more about your customers’ wants and needs and help you in
creating products that meet these requirements.
Six (6) reasons why product quality is important.
It build trust with your customers
• Most businesses won’t succeed if they can’t build customer trust; countless potential sales are
lost when brands fail to make deeper connections with prospective buyers. By contrast, when
you gain the confidence and loyalty of consumers, you have more freedom to make decisions
such as raising prices. Ensuring high-quality products and services is one way to help you get
consumers to appreciate and believe in what you have to offer.
It fuels recommendations
• Most people trust recommendations from friends and family above all other forms of
advertising when making a purchase decision. This is why, when it comes to influencing
consumers, nothing comes close to beating word of mouth. Word-of-mouth recommendations
can be a persuasive factor in both online and offline purchasing decisions. Friends and family
want to know if someone similar to them had a good experience with a product. The higher-
quality product a company has to offer, the better chance they’ll have at driving positive reviews,
recommendations and shares between consumers.
It results in fewer customer complaints and returns.
• Marketing studies have proved again and again that companies that produce high-quality
products obtain more repeat business. Spending more time and money upfront perfecting a
product before it hits the market will minimize customer complaints and returns.
People care about aesthetics.
• One dimension of quality is the aesthetics, or how a product looks, feels, sounds, tastes and
smells. For example, MrTakeOutBags pays close attention to these qualities, and it shows in the
company’s bakery cupcake boxes. The colors, prints, shapes, textures and features (such as
handles) make all the difference, and it’s what sets the brand apart from its competitors.
Customers notice these kinds of details, which can make or break a sale.
It produces a higher ROI
• In fact, high quality produces a higher return on investment (ROI) for any given market share.
According to MIT Sloan Management Review, having fewer defects or field failures results in
lower manufacturing and service costs, and as long as these gains exceed any increase in
expenditures by the firm on defect prevention, profitability will improve. In addition,
improvements in performance, features or other dimensions of quality lead to increased sales and
larger market shares.
It allows you to grow
• If your product quality is lacking at first, don’t fret; that simply means there is room to grow,
and that’s not necessarily a bad thing. By listening to your customers’ complaints or
recommendations, you’ll be telling them how much you value their input and satisfaction. As
you improve quality, you will strengthen your relationship with your customers. Willingness to
grow is proof you care about more than just making money. Your brand will become stronger
and more relatable, and you’ll find even more ways to expand into new markets and reach new
audiences.
 Assignment #2
Quality Performance – A numerical measurement of the performance of an organization or
process and assed through measurement of physical products and statistical sampling of the
output or processes. A system that ensures the desired quality is met by inspecting the final
product to ensure that it meets the required standards. Checking raw materials / employees /
machinery / workmanship / production to ensure that high quality standards are maintained.
How do you maintain Quality Performance
• Plan – conduct consumer research and use it for planning the product
• Do - produce the product
• Check – check the product to make sure it was produced in accordance with the plan
• Act – market the product
• Analyze – analyze how the product is received in the marketplace in terms of quality, cost, and
other data
• Careful planning
• Program or initiative development that adheres to that planning
• Implementation that takes quality into account
• Constant reevaluation of implementation and of the organization
• An assumption of the dynamic character of the organization, and a willingness to change
continually in striving for a better way to accomplish goals
• Keeping at it indefinitely
Quality Control – Is a process through which a business seeks to ensure that product quality is
maintained or improved. It involves testing units and determining if they are within the
specifications for the final product. Examples: Testing, Inspection, Walkthrough, Checkpoint
review
Types of Quality Control
Control Charts - A graph or chart is used to study how processes are changing over time. Using
statistics, the business and manufacturing processes are analyzed for being “in control.”
Process Control - Processes are monitored and adjusted to ensure quality and improve
performance. This is typically a technical process using feedback loops, industrial-level controls,
and chemical processes to achieve consistency.
Acceptance Sampling - A statistical measure is used to determine if a batch or sample of
products meets the overall manufacturing standard.
Product Quality - refers to how well a product satisfies customer needs, serves its purpose and
meets industry standards. When evaluating product quality, businesses consider several key
factors, including whether a product solves a problem, works efficiently or suits customers’
purposes.
Quality of Conformance – Ability of a product, service or process to meet its design
specifications. It is measured within an acceptable tolerance range.
For example, if passengers expect a flight to leave with in 10 minutes of it’s scheduled departure
date, then any departure time within that time frame has a high quality of conformance, while
any longer interval does not. Thus, quality of conformance equates to conformance to
specifications within an acceptable tolerance range.
Why is Quality is Important? – It ensures that defective goods do not go out to the public.
Companies that have quality control methods in place often have employees who pay close
attention to their hard work In food and drug manufacturing, Quality Control prevents products
that makes customer sick, and in manufacturing, quality control can ensure that accident don’ts
happen when people use a product.
The Techniques in Quality Management
Benchmarking - is the process of taking performance metrics from the team and comparing
these results to industry leaders. Problems and inefficiencies can be identified and acted upon.
Targets for performance improvement can be devised, planned and implemented. With target
achievement comes performance improvement and greater knowledge.
Continuous Improvement Process – or continual improvement, concerns the ongoing
improvement of services, products and processing using the metrics ‘incremental’ and
‘breakthrough’. Incremental is the process of improvement over time, while breakthrough is
improvement occurring all at once.
Statistical Process Control - is a method of quality control which uses statistical methods to
control, monitor and manage a process. Quality data is in the form of product or process
measurements which are obtained in real-time. Control limits are set. If data falls outside the
control limits, then this indicates variation away from the process standards and reason to search
for a source of this variance.
Variation Risk Management - is a tool for identifying, assessing and, if needed, nullifying
unwanted variation in a process. It is a process geared toward the most effective reduction of
negative process variation, given limited resources.
Business Process Re-engineering - involves discovering the business operations and processes,
determining the frailties and inefficiencies, redesigning these processes to eliminate
redundancies, and finally implementing these redesigned processes. Re-engineering emphasizes
a holistic approach; looking at large-scale change that can be implemented, focusing on business
objectives and the processes related to them.
Six Sigma
Six sigma is a data-driven approach for removing defects in any process from manufacturing to
engineering, product and service. Six sigma approaches uses two main basic principles: DMAIC
and DMADV.
Case # 1 : Gold Coast Advertising (GCA)
Facts:
George Stein sat in his large office overlooking Chicago’s Michigan Avenue. As CEO of Gold
Coast Advertising, he seemed to always be confronted with one problem or another. Today was
no exception. George had just come out of a long meeting with Jim Gerard, head of the board for
the small advertising agency. Jim was concerned about a growing problem with lowered sales
expectations and a decreasing customer base. Jim warned George that something had to be done
quickly or Jim would have to go to the board for action. George acknowledged that sales were
down but attributed this to general economic conditions. He assured Jim that the problems would
be addressed immediately.
As George pondered his next course of action, he admitted to himself that the customer base of
GCA was slowly decreasing. The agency did not quite understand the reason for this decrease.
Many regular customers were not coming back, and the rate of new customers seemed to be
slowly declining. GCA’s competitors seemed to be doing well. George did not understand the
problem.

Problem:
The CEO of GCA George Stein seemed to always be confronted with one problem or another.
Jim was concerned about a growing problem with lower sales expectations and a decreasing
customer base. Jim warned George that something had to be done quickly or Jim would have to
go to the board for action. George acknowledged that sales were down but attributed this to
general economic conditions. He admitted to himself that the customer base of GCA was slowly
decreasing. The agency did not quite understand the reason for this decrease. Many regular
customers were not coming back the rate of new customers seemed to be slowly declining.
Solution:
Quality Performance – to ensure that the desired quality is met by inspecting the final product to
ensure that it meets the required standards.
Quality Control – to ensure that the product quality is maintained or improved. It involves testing
units and determining if they are within the specifications for the final product.
Product Quality – to measure how well a product satisfies customer needs and expectations,
serves its purpose and meets industry standards.
 Case #2 : Delta Plastics Inc.
Facts:
Jose De Costa, director of manufacturing at Delta Plastic opposed to starting production until
R&D had fully tics, sat at his desk looking at the latest production completed testing and refining
the new material. How- quality report, showing the number and type of prod ever, the CEO of
Delta had ordered production despite of defects per week. He was faced with the looked at the
report in front of him and prepared to task of evaluating production quality for products made
analyze the results. With two different materials. One of the materials was new and called “super
plastic” due to its ability to sustain large temperature changes. The other material was the
standard plastic that had been successfully used by Delta for many years. The company had
started producing products with the new “super plastic material only a month earlier. Jose
suspected that the new material could result in more defects during the production process than
the standard material they had been starting. Jose had been opposed to starting production until
R&D had fully completed testing and refining the new material. However, the CEO of Delta had
ordered production despite objection from manufacturing and R&D. Jose carefully looked at the
report in front of him and prepare to analyze the results.

Problem:
The Delta Plastic Inc. started producing a new product called “super plastic”. This super plastic
has a ability to sustain large temperature changes. Jose suspected that the new material could
result in more defects during the production process than the standard material they had been
using because of the number and type of product defects per week, uneven edges, cracks,
scratches, air bubbles and thick variation.

Solution:
• Training the employees help to improve product quality and lessen the problems, train the
workers to focus on quality problems and in operating production machinery and equipment.
• Use of quality tools allow anyone – even someone without statistical training to gather data to
illuminate most problems and reveal possible solutions.
• Use the Cost of Quality like Appraisal cost to minimize the defects of products includes testing,
inspection, process or service audits, calibration of measuring and test equipment. And
Prevention Cost designed before operations to guarantee good quality and prevent bad quality
products or services.
 Case #3: Virtual Company - Valley Memorial Hospital
Facts:
At the hospital, you find Jane Starr’s Office. Se greets you and say, “ Let me tell you a bit about
what you’ll be doing for us. We’ve been working on quality measures for several years, and now
we have to focus on quality even more. The Joint Commission for Accreditation of Health Care
Organization is currently looking hard at quality when they visit hospital and decides whether to
accredits them. We need your help in bringing ideas together on how to measure quality in a
service organization.

Problem:
• Accreditation
• The Joint Commission for Accreditation of Health Care Organization is currently looking hard
at quality when they visit hospital and decides whether to accredits them. They need a help in
bringing ideas together on how to measure quality in a service organization.

Solution:
• Customers Satisfaction- to determine how happy and satisfied your customers in your products
and services that you provided.
• Customers Feedback – use the positive or negative feedback about your company because
feedback give you insight on what more to improve in your products and services to meet the
customer requirements or satisfaction.

Case #4: Beef and Reef Restaurant

Facts:
Sally Salkind has worked for two years as a server at the Beef and Reef Restaurant while getting
her degree in hospitality management. The Beef and Reef Restaurant has a specific written
standards about how guest service should be provided and post the standard at the kitchen, where
all employees can see them. Most of the server go “by the book” in serving guest. But Sally has
developed her own very successful way of opening the service encounter and delivering service
thereafter. Since manager Bill Gordy has had nothing but good things to say about her
performance, She has continued to serve guest in her own style. Apparently the guest like it, her
tips are among the highest and her average check is the highest in the restaurant.
About two weeks later, as Sally Salkind started to walk to greet a couple who had just been
seated, Bill Gordy whispered to her, “Mystery shoppers. I can tell them a mile away. Do it by the
book, Sally, and you’ll be fine.” Sally tried to do it by the book , But then she got tongue-tied,
She couldn’t remember if procedure called for her to solicit a beverage order, recite the specials,
or encourage the party to choose an appetizer. She couldn’t remember what the numbers were.
She had never so happy to see two people leave. Several days later, Bill Gordy called Sally in
his office and reprimanded her for not following standard serving procedures. Bill Gordy had
been considering to promote Sally as a head server, but he can’t promote somebody who can’t
follow simple instructions. Sally was surprise, to shock, to anger, She said that Bill Gordy never
said anything about them in her two years with the restaurant.

Problem:
Most of the servers go ' by the book’. But Sally serve the guest in her own style. The problem
arises when Bill Gordy told Sally to serve the Mystery Shoppers by the book. Sally tried to do it
by the book. But then she got tongue-tied, She couldn’t remember if procedure called for her to
solicit a beverage order, recite the specials, or encourage the party to choose an appetizer. She
couldn’t remember what the numbers were. She had never so happy to see two people leave.
Several days later, Bill Gordy called Sally in his office and reprimanded her for not following
standard serving procedures. Bill Gordy had been considering to promote Sally as a head server,
but he can’t promote somebody who can’t follow simple instructions. Sally was surprise, to
shock, to anger, She said that Bill Gordy never said anything about them in her two years with
the restaurant. Bill Gordy didn’t have an answer for Sally’s question. He simply reiterated his
criticism, told her that she had embarrassed him and the restaurant in front of “ a big shot from
headquarters”, and sent her back to her station.

Solution:
• Use training on the job – by providing training in the workplace the employees can develop
skills and knowledge that will help them perform their job better. It also allows staff to be
reflective of their professional journey and development and it can even empower them to be
more innovative and creative at work. This can even further envoy them to take risks, helping
them feel more positive at work.
• Implement Leadership – as a leader provide support and resources so that each staff member
can do his or her best. Your leadership style can affects employee morale, productivity and
retention.
• Implementing education and self-improvement is learning and adopting ways to respond better
to others and to life situations. This entails practicing professionalism so that you are better in the
workplace.
• Communication result – communicate to your employees to discuss the problem /
misunderstanding inside of the company.
 Situation 1:
The Hawkins Supply Company is currently faced with an inventory rotation problem. This
difficulty stems from the fact that some supplies must be used to prior to a stated expiration date.
Upon receipt, a new shipment of these perishable items must be stacked beneath the boxes that
are currently in inventory. A substantial amount of time is consumed in restacking the items
according to their expiration date.
The Company would like to reduce the double and sometimes triple handling of items. How can
this goal be achieved? Are there alternative solutions which might also be effective?

Problem:
• Inventory rotation problem
• double and sometimes triple handling of items.

Solution:
To solve this problem I will use statistical process control to help reduce scrap, waste, defects,
and rework, improve product quality, eliminate variation in processes, and maintain compliance
with regulatory and customer requirements. I will also use a checklist to cover all areas and
verifying physical requirements, proper packaging and labelling, functional testing, and carton
drop tests.
What is Quality Inspection?
- Is an activity of checking, measuring or testing one or more product or service
characteristics and comparing the results with the specific requirements to confirm
compliance. This task is executed by skilled personnel, not by production workers. An
efficient inspection process standardizes quality, eliminates paper documents, and
increase efficiencies on the floor.
- Identifies ways to minimize manufacturing costs, reduce scrap losses and investigate
causes of defective work.
Objectives of Inspection
- The main objective of inspection is to meet customer requirements, wants and needs. The
objective is to prevent defective product slowing down the successive operations and
prevent loss to the company. Many characteristics can be inspected at the final stage of
production.
- Inspection separates defective components from non-defective component so that
adequate quality can be maintained.
- Inspection locates defects in process raw material while otherwise cause problems at final
stage.
- It prevents further on working spoiled semi finished products. It helps the product to be
more economical.
- Inspection defects the weak position and in trouble in the weak position by checking the
design.
Types of Inspection Methods
Pre- Production Inspection - are carried out before production begins to assess the quality and
quantity of raw materials and components. This type of inspection is great for when you begin a
new relationship with a supplier. You can ensure they are using the right type of materials for
your production and implementing the right processes to deliver the product you expect. But
also, a pre-production inspection can help you avoid delays in your supply chain and the delivery
of a production. After all, no one likes missing a deadline.
During Production Inspection - once problems have been rectified, checks are made again to
ensure everything is suitable and as it should be prior to pre-shipment inspection. Inspectors will
produce a full report together with supporting imagery to provide you with comprehensive
information and data.
Pre-Shipment Inspection - a method for checking the quality of goods before they are shipped.
This type of inspection’s purpose is to check that a production aligns with the specifications of
the buyer or purchase order/letter of credit. They are carried out on finished products when at
least 80% of the order has been packed to ship. Samples are selected at random to take part and
the inspection is done according to standard acceptable quality limits or customer requirements.
PSIs are especially good for overseas buyers to stay on top of differing national standards and
requirements and an increase in fraudulent trade conduct.
Loading and Unloading Supervision - this kind of inspection is the process of monitoring the
entire loading and unloading of goods to ensure your products are handled professionally.
Supervision of the whole container loading and unloading process to your desired location can be
arranged, wherever you’re shipping to and from. The inspection and supervision process includes
an evaluation of the condition of the shipping container, verification of product information;
quantities loaded and unloaded, packaging compliance and overall supervision of the loading and
unloading process. It’s an inspection service that’s signed, sealed and delivered with quality
assurance guaranteed.

What is Quality in Manufacturing?

- A process trough which a production system ensures that standard quality is maintained
or improved according to customer needs. In other words, it incorporates the testing of
units and determines if the product is within the specification for the final production.
Important Aspect of Quality Control
- A significant aspect of quality control is the establishment of well-defined controls.
These controls helps standardizes both production and reactions to quality issues.
Limiting room for error by specifying which production activities are to be completed by
which personnel reduces the chance that employee will be involved in tasks for which
they don not have adequate training.

Material in Handling Management - Material handling is the function of moving the right
material to the right place at the right time, in the right amount, in sequence, in the right
condition to minimise production costs. It is also the art and science of moving, packing and
storing of substances in any form. It can also be defined as the efficient short distance movement
of goods that usually takes place within the confines of a building such as a plant or a warehouse
or a productions area or between a building and a transport agency.
Categories of Bulk Handling Materials Equipment
Conveyors - come in a wide variety of types for different types of bulk material.
Stackers - which are usually automated, pile bulk material onto stockpiles, moving between two
points along rails in a yard.
Reclaimers - are the opposite of stackers, retrieving materials from stockpiles, some using
bucket wheels to carry the material while others are scraper or portal style.
Bucket elevators - also known as grain legs, use buckets attached to a rotating chain or belt to
carry material vertically.
Grain elevators - are tall buildings specifically for storing grain. They include equipment to
convey the grain to the top of the elevator, where it is sent out for processing.
Hoppers - are funnel-shaped containers that allow material to be poured or dumped from one
container to another. Unlike a funnel, though, hoppers can hold material until it’s needed, then
release it.
Silos - are generally large storage structures for bulk materials, though they don’t necessarily
include equipment to convey the material to the top of the structure like grain elevators. Different
varieties include tower, bunker, and bag silos.
Elevated lift tables - are available in hydraulic, pneumatic, and scissor lift versions, and are
designed to slowly lift and lower heavy loads for easier transference to other handling equipment
like forklifts. Lift tables are simple devices that can enhance productivity and ensure employee
safety when used correctly.

Storage and Handling Equipment

Racks, Such as pallet racks, drive-through or drive-in racks, push-back racks, and sliding racks,
are a basic but important method of storage, saving floor space while keeping their contents
accessible.
Stacking frames are stackable like blocks, as their name implies. They allow crushable pallets
of inventory, such as containers of liquid, to be stacked to save space without damage.
Shelves, bins, and drawers. Shelves, another basic storage method, are less open than racks.
Used with bins and drawers, they’re more able to keep smaller and more difficult to manage
materials and products stored and organized. Shelving types can include boltless, cantilever,
revolving, and tie-down.
Mezzanines, a type of indoor platform, help to create more floor space in a warehouse or other
storage building for offices or more storage. Typical types include modular, movable, rack
supported, building supported, and free-standing versions.
Work assist tooling enables safe and efficient product handling across numerous industries in
applications that require the movement of products, enhancing the efficiency of assembly and
manufacturing operations.
Pallet inverters are similar to upender inverters and help heavy items and fully loaded pallets be
rotated or repositioned with ease.

Handling Operation - means any operation or portion of an operation, except final retailers of
agricultural products that do not process agricultural products, that receives or otherwise acquires
agricultural products and processes, packages, or stores agricultural products.
 TOTAL QUALITY MANAGEMENT ASSIGNMENT AND CASES ANALYSIS

Submitted to : Teresa Hechanova

IBAÑEZ, AIZA D. 2-A