You are on page 1of 13

Dan David Cruz Atraje

Total Quality Management (TQM) Total Quality Management (TQM) is a comprehensive and structured approach to organizational management that seeks to improve the quality of products and services through ongoing refinements in response to continuous feedback. TQM requirements may be defined separately for a particular organization or may be in adherence to established standards, such as the International Organization for Standardization's ISO 9000 series. TQM can be applied to any type of organization; it originated in the manufacturing sector and has since been adapted for use in almost every type of organization imaginable, including schools, highway maintenance, hotel management, and churches. As a current focus of e-business, TQM is based on quality management from the customer's point of view. TQM processes are divided into four sequential categories: plan, do, check, and act (the PDCA cycle). In the planning phase, people define the problem to be addressed, collect relevant data, and ascertain the problem's root cause; in the doing phase, people develop and implement a solution, and decide upon a measurement to gauge its effectiveness; in the checking phase, people confirm the results through before-and-after data comparison; in the acting phase, people document their results, inform others about process changes, and make recommendations for the problem to be addressed in the next PDCA cycle. At its core, Total Quality Management (TQM) is a management approach to long-term success through customer satisfaction. In a TQM effort, all members of an organization participate in improving processes, products, services and the culture in which they work. The methods for implementing this approach come from the teachings of such quality leaders as Philip B. Crosby, W. Edwards Deming, Armand V. Feigenbaum, Kaoru Ishikawa and Joseph M. Juran. A core concept in implementing TQM is Deming‟s 14 points, a set of management practices to help companies increase their quality and productivity: History of Quality The roots of Total Quality Management (TQM) can be traced back to early 1920s when statistical theory was first applied to product quality control. This

focuses on the product and the detection of problems in the product. it is one tool within a wider array. the need for more effective operations became apparent. and relies on specially trained inspectors. Inspection still has an important role in modern quality practices. process and services against specified requirements to determine conformity. During the early years of manufacturing. Taylor helped to satisfy this need. therefore. [Top] Quality Control and Statistical Theory . involves testing every item to ensure that it complies with product specifications. and testing products. However. which led to quality control. However. acceptable. The use of inspection has been evident throughout the history of organised production. This movement led to the emergence of a separate inspection department. examining.concept was further developed in Japan in the 40s led by Americans. An important new idea that emerged from this new department was defect prevention. special measures were taken to inspect the work of apprentices and journeymen in order to guard the Guild against claims of makeshift or shoddy work. it is no longer seen as the answer to all quality problems. One of Taylor‟s concepts was clearly defined tasks performed under standard conditions. such as Deming. In the late Middle Ages. Inspection was one of these tasks and     was intended to ensure that no faulty product left the factory or workshop. It was not done in a systematic way. He published „The Principles of Scientific Management‟ which provided a framework for the effective use of people in industrial organisations. Juran and Feigenbaum. is carried out at the end of the production process. but worked well when the volume of production was reasonably low. as organisations became larger. inspection was used to decide whether a worker‟s job or a product met the requirements. In 1911. Rather. Frederick W. Inspection Inspection involves measuring. The focus widened from quality of products to quality of all issues within an organisation – the start of TQM.

Whatever reason it was. Japanese products were perceived as cheep. but also every aspect of organisational issues. Shewhart developed the application of statistical methods to the management of quality. [Top] Quality in Japan In the 1940s. and relies on trained production personnel and quality control professionals. Japanese industrial leaders recognised this problem and aimed to produce innovative high quality products. Quality circles started in the early 60s. such as Deming. Dodge and Roming. Deming suggested that they can achieve their goal in five years. Dr W. Statistical Quality Control:     focuses on product and the detection and control of quality problems. A quality circle is a volunteer group of workers who meet and discuss issues to improve any aspects of workplace. He made the first modern control chart and demonstrated that variation in the production process leads to variation in product. However. Maybe the Japanese thought it was rude to say that they did not believe Deming. quality control and management developed quickly and became a main theme of Japanese management. and make presentations to management with their ideas. In the 1950s. This probably was the start of the idea. Shewart‟s work was later developed by Deming. However. Or maybe they thought it would be embarrassing if they could not follow his suggestions. not many Japanese believed him. they followed his suggestions. and Feigenbaum to learn how to achieve this aim. eliminating variation in the process leads to a good standard of end products. In the 1920s. A by-product of quality circles was employee motivation . They invited a few quality gurus. involves testing samples and statistically infers compliance of all products. they took Deming‟s and other gurus‟ advice and never looked back. Another by-product was the idea of improving not only quality of the products. manufacturing companies did not fully utilise these techniques until the late 1940s. Therefore. The idea of quality did not stop at the management level. Statistical theory played an important role in this area. shoddy imitations.Quality Control was introduced to detect and fix problems along the production line to prevent the production of faulty products. total quality. is carried out at stages through the production process. Workers felt that they were involved and heard. . Juran.

programmes and techniques during this period. A typical definition of TQM includes phrases such as: customer focus. Ishikawa also discussed „total quality control‟ in Japan. developed as a catchall phrase for the broad spectrum of quality-focused strategies. TQM. the involvement of all employees. Although the definitions were all similar. According to his explanation. and activities needed to be implemented to fit the TQM definition. represented the first clearly defined and internationally recognised TQM model. Having observed Japan‟s success of employing quality issues. continuous improvement and the integration of quality management into the total organisation. there was confusion. in quality control. western companies started to introduce their own quality initiatives.[Top] Total Quality The term „total quality‟ was used for the first time in a paper by Feigenbaum at the first international conference on quality control in Tokyo in 1969. . it means „company-wide quality control‟ that involves all employees. Read more on Total Quality Management. [Top] Total Quality Management In the 1980s to the 1990s. a new phase of quality control and management began. which is different from the western idea of total quality. on which the award was based. [Top] Quality Awards and Excellence Models In 1988 a major step forward in quality management was made with the development of the Malcolm Baldrige Award in the United States. The term referred to wider issues within an organisation. became the centre of focus for the western quality movement. The model. It was developed by the United States government to encourage companies to adopt the model and improve their competitiveness. from top management to the workers. policies. This became known as Total Quality Management (TQM). It was not clear what sort of practices.

While leading organisations compete to win awards. Business Excellence is really the same as TQM. As mentioned earlier. The Centre for Organisational Excellence Research (COER). but with a more clearly defined members' area provides the most comprehensive information and services related to quality. hundreds of quality awards and several models exist all over the world. The models also help organisations to create a plan to reduce the gap between these positions.In response to this. Read more on Business Excellence [Top] How the BPIR can help Quality Practioners and Managers Increasing number of in April 2002. the resources within the members' area will help you to have a greater impact within your workplace. the BPIR. the main purpose of these awards is to encourage more companies to adopt quality management principles. have become involved in TQM/Business Excellence in the new millennium. This is to distinguish the “new TQM” from the past work on TQM. Therefore. recognised the need for resources devoted to this area and launched the BPIR. Whether you are quality practitioner or a manager focussed on business improvement. the name TQM became tarnished. Today. The models are practical tools. large or small. there was confusion as to what TQM was in the 80s and early 90s. Today. For more information on some of these models. This was because any business improvement programme was becoming called TQM. visit 'Excellence Models'. . quality management. they help organisations to measure where they are now and where they want to be in the future. Also. a similar model was developed by the European Foundation of Quality Management in 1992. TQM and Business Excellence. TQM itself is now often called Business Excellence. [Top] Business Excellence TQM models are often called Business Excellence Models. This EFQM Excellence Model is the framework for the European Quality Award.

D.   The concept of quality costs . an engineering firm that designs and installs operational systems. Accountability for quality: Because quality is everybody's job. The concept of a "hidden" plant²the idea that so much extra work is performed in correcting mistakes that there is effectively a hidden plant within any factory. it may become nobody's job²the idea that quality must be actively managed and have visibility at the highest levels of management. and his Ph. He was Director of Manufacturing Operations at General Electric (1958–1968).Seven Important Personalities:  Armand V. and quality improvement efforts of the various groups in an organization so as to enable production and service at the most economical levels which allow full customer satisfaction. later known as Total Quality Management (TQM). and is now President and CEO of General Systems Company of Pittsfield. in Economics from MIT. Feigenbaum received a bachelor's degree from Union College. his master's degree from the MIT Sloan School of Management. He devised the concept of Total Quality Control. Massachusetts. Feigenbaum wrote several books and served as President of the American Society for Quality (1961–1963) His contributions to the quality body of knowledge include:  "Total quality control is an effective system for integrating the quality development. quality maintenance. Feigenbaum (Born 1922) is an American quality control expert and businessman.

He introduced these "statistical process control" methods in a series of lectures on statistical methods to Japanese businessmen and engineers. They found him charming and considerate and listened to his ideas. State Department sent Deming to Japan to help the war-devastated Japanese manufacturing plants. Despite being considered something of a hero in Japan. There. He developed a statistical chart for the control of product variables. professor. and sales (the last through global markets) through various methods. at the time of his death. He is perhaps best known for his work in Japan. Edwards Deming (October 14. His philosophy went beyond statistical quality control and encouraged building quality into the product at all stages. His concept of employees working toward quality fit well into their personal ideas. he taught top management how to improve design (and thus service). .S. 1900 – December 20. Deming made a significant contribution to Japan's later reputation for innovative high-quality products and its economic power. He then utilized these techniques during World War II while working on government war production. Deming developed a process. he was only just beginning to win widespread recognition in the U. In 1947 Douglas MacArthur and the U. Shewhart was a statistician who had the theory that product control could best be managed by statistics.S. from 1950 onward. Shewhart at Bell Telephone Company. The Japanese were an attentive audience and utilized Deming's ideas readily. based on Shewhart's. He is regarded as having had more impact upon Japanese manufacturing and business than any other individual not of Japanese heritage. 1993) was an American statistician. W. product quality. lecturer and consultant. author. Deming was an American who worked in the 1930s with Walter A. testing. including the application of statistical methods. using statistical control techniques that alerted managers of the need to intervene in the production process.

We are in a new economic age. Break down barriers between departments. 5. He de-emphasized quantity. Eliminate the need for massive inspection by building quality into the product in the first place. in order to foresee problems of production and usage that may be encountered with the product or service. Deming's book. and production must work as a team. 9. Drive out fear. sales. are based on the importance of employees meeting regularly in groups to comprehensively discuss product quality.Deming developed the chain reaction: as quality improves. 2. emphasized improving quality of the product as more important than short-term financial goals. 8 of "Out of the Crisis"). Institute leadership (see Point 12 and Ch. Quality circles. so that everyone may work effectively for the company. End the practice of awarding business on the basis of a price tag. and emphasized quality. Supervision of management is in need of overhaul. 6. to improve quality and productivity. and thus constantly decrease costs. Cease dependence on inspection to achieve quality. minimize total cost. He believed that "statistical process control" was an invaluable instrument in the quest for quality. Out of the Crisis. costs go down and productivity goes up. Create constancy of purpose toward improvement of product and service. must learn their responsibilities. 7. not the worker. Adopt the new philosophy. Instead. a central Deming theme. Western management must awaken to the challenge. 3. stay in business and to provide jobs. and take on leadership for change. The GDP in Japan rose steadily from 1960s by more than 10 percent per year. Move towards a single supplier for any one item. on a long-term relationship of loyalty and trust. He stressed worker pride and satisfaction and considered it management's job to improve the process. and long-term survival. By 1951 the Japanese had named their quality prize in his honor. greater market share. with the aim to become competitive. as well as supervision of production workers. 4. People in research. Institute training on the job. Improve constantly and forever the system of production and service. this leads to more jobs. design. Deming developed fourteen points for management which can be summarized as: 1. The aim of supervision should be to help people and machines and gadgets do a better job. . 8.

as the bulk of the causes of low quality and low productivity belong to the system and thus lie beyond the power of the work force. 14. 11. b. and analyzing how the product is received (analyze. Eliminate work standards (quotas) on the factory floor. Eliminate management by numbers and numerical goals. Eliminate management by objective. Remove barriers that rob the hourly worker of his right to pride of workmanship. producing the product (do).10. The responsibility of supervisors must be changed from sheer numbers to quality. The transformation is everybody's job. Besides the fourteen points. Institute a vigorous program of education and self-improvement." abolishment of the annual or merit rating and of management by objective 13. The Deming Cycle is illustrated in Figure 1. inter alia.) The Seven Deadly Diseases can be summarized as: 1. a. Substitute with leadership. Eliminate slogans. checking the product (check). It involves five steps: consumer research and planning of the product (plan). marketing the product (act). Remove barriers that rob people in management and in engineering of their right to pride of workmanship. Put everybody in the company to work to accomplish the transformation. This means. Deming is known for the Deming Cycle and the Seven Deadly Diseases. a. b. Such exhortations only create adversarial relationships. exhortations. Lack of constancy of purpose to plan products and services. Instead substitute with leadership. and targets for the work force asking for zero defects and new levels of productivity. . 12.

It can be expressed as: "concentrate on the 'vital few' sources of problems. 4. however he believed there was a point of diminishing return. 6. By 1960 Japan was using quality control circles and simple statistical techniques learned and applied by Japanese workers. the car need only be built to perform trouble-free for 60.  Joseph M. Building a better car would drive up costs without delivering the expected product. Juran emphasized planning. Excessive medial costs.Figure 1 The Deming Cycle 2. an economist. a point at which quality goes beyond the consumer needs. Emphasis on short-term profits. 5. The rule is named for Vilfredo Pareto. Juran. 3. Job hopping by managers. like Deming. However he emphasized customer satisfaction more than Deming did and focused on management and technical methods rather than worker satisfaction. Juran was a prolific author. but it was Juran that applied the idea to management. don't be distracted by less important problems. organizing and controlling. 7.000 miles. This is called the Pareto Principle. Like Deming. publishing over a dozen books. Juran Joseph M.000 miles. Personal review systems for managers and management by objectives." Juran's trilogy involves: . went to Japan in 1954 and assisted the Japanese in their quest to achieve quality. Juran developed basic steps that companies must take. For example. or the Juran 80/20 rule: 80 percent of the trouble comes from 20 percent of the problems. His most influential book Quality Control Handbook (later called Juran's Quality Handbook )was published in 1951 and became a best seller. if the consumer trades his car in after 50. Excessive costs of liability driven up by lawyers that work on contingency. Using only visible data in decision making.

7. 6. Give recognition. This medal is called the Japan Quality Control Medal. but he declined. Quality improvement (develop infrastructure. 3. Set goals. 3. Keep score. Quality planning (determine customer needs. Build awareness of opportunities to improve. Crosby . The Union of Japanese Scientists and Engineers (JUSE) considered Juran's vision of top-to-bottom quality management even more important to their quality turnaround than Deming's insights. Shewhart Philip B.1. Provide training. Carry out projects to solve problems. a 'superDeming award' after him. 4. provide teams with what they need). Quality control (assess performance. compare performance with goals. develop product in response to needs). Communicate results. JUSE asked Juran if it could name its top-level award. identify areas of improvement and implement projects. 5. 9. 8. Report progress. Organize to reach goals. Maintain momentum by making annual improvement part of the systems and processes of the company. 10. establish project team. 2. 2. act on differences between performance and goals). Juran's ten steps to quality improvement are: 1.   Walter A.

He claimed that poor quality costs about 20 percent of the revenue. Quality awareness is raised among all employees. (3) the performance standard is zero defects. and (4) the measure of quality is the price of non-conformance. (2) the system for achieving quality is prevention. Manage commitment. we see several stages of development. Zero defects day is scheduled. not goodness. He pushed for zero defects. top level management must be convinced and committed and communicated to the entire company. Like Deming. to those who meet quality goals. Quality improvement team composed of department heads. He stated that quality is free because prevention will always be lower than the costs of detection. 9. Supervisor training in quality implementation. 4. The first was quality control. 8. Zero defects is planned for. Error causes are removed by having employees inform management of problems. Corrective action is taken. His "absolutes" are: (1) quality is defined as conformance to requirements. Cost of quality is estimated to identify areas of improvement.e. 11. but it is non-financial. Do it all over again (i. 6.Philip Crosby. not appraisal. 7. founded the Quality College in Winter Park. repeat steps one through thirteen). which involved setting up product specifications and then inspect the product fore for leaves the plant.. Florida. author of Quality is Free. Quality measurement are established for every activity. Crosby emphasized meeting customer requirements by focusing on prevention rather than correction. 2. 5. correction and failure. 13. Crosby had fourteen points: 1. 10. The second state is quality . that is. Crosby's method does not dwell on statistical process control and problem solving techniques that the Deming method uses. Goal setting for individuals. not that's close enough. not indexes. oversee improvements. 14. 12. a cost that could be avoided by using good quality practices. Recognition is given. Looking at the history of quality management. 3. Quality councils meet regularly.

At this stage the quality became a total organization effort. In TQM the customer is the center and quality is an organization-wide effort. It effected production. profit. a term actually coined by Feingenbaum in 1983. which involved identifying the quality characteristics and procedures for quantitatively evaluating and controlling them. The next phase is the true total quality control. human interaction and customer satisfaction.assurance.   Kaoru Ishikawa Genichi Taguchi . The fourth stage is total quality management.

. 949480420096:.8..8:702039.3    ":.07.3/1.84797.020398    ":.9.422990/.36:089.9.989057.92502039..422:3..9908947416:...70  6:.981700-0.0.0203990.98/0130/.390.480034:.9079..3  0 7050..3.3/..089.-80/1470.0 3493/008  748- 82094//408349/04389.03 -:998343 13.42292039 9.4899.3336:.02039    ":.3/  9020.943 ./:.43.43974 ./8 4.03943 7.07.943    074/010.9885.9.989.0841/0.90/949003970.80/20093.07.98 8.!5748- .0/.43/89.3.7920390.0.70308887.8412574.80/.02039 080080.8:7041 6:.020392:89-0.3..431472.7  47/.98570.957.0254008    4770.03:0.7/8074/010.041343 .03    074/010.914701470.4898.9900232094/:808 089..88.3 90.557.9.36:.9086:.-84:908.70089..39 %080.2.8    7747.9 .489841/090./14:7900354398   .425.0/80993:5574/:.574.0203941574-028   #0.9.0452039  %01789.4.:70 0 023 748-.243.330/147    $:507.943.3/ .08905.431472..86:.4:/-0.0/-.96:.954476:.98 9450.:94741":.3/574-0284.4770.98 3499.    489416:.1.3.8   ":.08 05:80/147074 /010.4.809931473/.90/9.940033907!.094706:7020398  34944/3088  9088902147.:80 570.07800 2574.990574/:.92. 748-025.9.3/.943 0.4:3.30254008314722.8-04079.03943.90/94/0391.98/.425480/41/05.:8343570.3/903 3850.8200970:.3.0394190 70.3.94389.89.4770.3.43974.98700 14:3/0/90":.9.:894207706:7020398-14.9 8.920.  90 5071472.3..8.980892.088.989058430974:979003  443.02..9.0/:0/   4..70.4/0/-:8344/6:.03943 349.9438.:808.7   49.92574.3..439438.20/9.-4:9 507..

9:.  O 03..88:7.0 .   .3.:..9 .3/6:.0//03913906:.3/..6:..3.4.:8942078...02039 3%"90 ..8..08949.943 57419 :2.:894207890.981.3.347.00.943 /0011479   O .3.6:.439743902 %03095.47:8.943011479 90110.0906:.7.98.90/574/:.47.:23 99889.8089097:0949.399.93.:..9 -0.3/ .33907.949..3/574.90789.9072.92.03907.9.43974 .%.430/-0303-.3.943 %014:7989.20.9.943.0/:708147 6:.