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Total Quality Management

-a continuous improvement process


Quality
“Quality is defined as the totality of characteristics &
features of a product or process which facilitates
realization of given requirements.”

Quality --A Few Definitions


1. Conformance to requirements --Crosby
2. Fitness for use --Japan
3. I know it when I see it --Guaspari
4. Value to someone --Weinberg

"Quality has no meaning except as defined by the desires and needs


of the customers." Deming
What is Total Quality Management
.TQM is a approach to improve the effectiveness &
flexibility of business as a whole.TQM is way of
organizing by involving everyone. A comprehensive,
organization-wide effort to improve the quality of
products and services, applicable to all organizations.
TQM is a comprehensive management system which:
•Focuses on meeting owners’/customers’ needs, by providing quality services at
a reasonable cost.
•Focuses on continuous improvement.
•Recognizes role of everyone in the organization.
•Views organization as an internal system with a common aim.
•Focuses on the way tasks are accomplished.
•Emphasizes teamwork.
Evolution of TQM
• How is customer satisfaction achieved?
Two dimensions: Product features and Freedom from
deficiencies.

• Product features – Refers to quality of design.


Examples in manufacturing industry: Performance,
Reliability, Durability, Ease of use etc.
Examples in service industry: Accuracy, Timeliness,
Friendliness and courtesy, Knowledge of server etc.

• Freedom from deficiencies – Refers to quality of


conformance.
Higher conformance means fewer complaints and
increased customer satisfaction.

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Quality perspectives
Everyone defines Quality based on their
own perspective of it. Typical responses
about the definition of quality would
include:
1. Perfection
2. Consistency
3. Eliminating waste
4. Speed of delivery
5. Compliance with policies and procedures
6. Doing it right the first time
7. Delighting or pleasing customers
8. Total customer satisfaction and service

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Quality levels
At organizational level, we need to ask following
questions:
• Which products and services meet your
expectations?
• Which products and services you need that you
are not currently receiving?
At process level, we need to ask:
• What products and services are most important to
the external customer?
• What processes produce those products and
services?
• What are the key inputs to those processes?
• Which processes have most significant effects on
the organization’s performance standards?
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Quality levels

At the individual job level, we should ask:


• What is required by the customer?
• How can the requirements be measured?
• What is the specific standard for each
measure?

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QUALITY MANAGEMENT
• Quality Planning

• Quality control

• Quality improvement
QUALITY PLANNING
• Determine who the customers are
• Determine the needs of the customer
• Develop product features that responds to
customer’s needs
• Develop processes that are able to produce
those product features
• Fail-safing/Foolproofing : Pokayoke
• Transfer the resulting plan to the operating
forces
QUALITY CONTROL
• Evaluate actual quality performance

• Compare actual performance to quality goals

• Take remedial actions


QUALITY IMPROVEMENT
• Establish the infrastructure to achieve annual quality
improvement
• Identify the improvement projects
• Project teams
• Provide the resources ,motivation, training
- Diagnose the causes
- Stimulate establishment of remedy
- Establish controls to retain the benefits
QUALITY MANAGEMENT
QUALITY PLANNING QUALITY CONTROL QUALITY IMPROVEMENT

COST OF
POOR QUALITY

CHRONIC WASTE

TIME

LESSONS LEARNT
Process improvement tools

Seven QC Tools

1. Flow charts
2. Check sheets
3. Histograms
4. Pareto diagrams
5. Cause-and-effect diagrams
6. Scatter diagrams
7. Control charts
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TQM beliefs
Following are the universal Total Quality Management beliefs:
• Owner/customer satisfaction is the measure of quality
• Everyone is an owner/customer.
• Quality improvement must be continuous.
• Analysis of the processes is the key to quality improvement.
• Measurement, a skilled use of analytical tools, and employee involvement
are critical sources of quality improvement ideas and innovations
• Sustained total quality management is not possible without active, visible,
consistent, and enabling leadership by managers at all levels
• It is essential to continuously improve the quality of products and services
that we provide to our owners/customers.
TQM principles

• People will produce quality goods and services when the meaning of
quality is expressed daily in their relations.
• Inspection of the process is as important as inspection of the product.
• Probability of variation, can be understood by scientific methods.
• Workers work in the system to improve the system; managers work on the
system to improve the system.
• Total quality management must be consistently translated into guidelines
provided to the whole organization.
• Envision what you desire , but start working from where you actually are.
• Cleaner site and safer place to work is also important.
• Accept the responsibility for quality.
• Use the principle of get it right, the first time, every time.
• Understand that quality is a journey, not a destination.
Pitfalls to be avoided in TQM
Many companies have started on the road to quality but failed to achieve success
due to several factors, these are listed as follows:
• Lack of top management support.
• Lack of middle management support.
• Commitment in only one department.
• Short-term commitment .
• Haphazard approach .
• Failure to acquire the services of a competent statistician.
• Measure success and guide program.
• Failure to solicit worker input.
Pitfalls to be avoided in TQM (contd…)

• Over dependence on computerized quality control.

• Funding failure .

• No market research.

• No testing of incoming materials.

• Overselling hourly workers.

• Adversarial management.
Cause-and-Effect Diagram
 Used to identify potential causes for particular quality
problem.
Steps in implementing TQM
1 Obtain CEO Commitment
2 Educate Upper-Level Management
3 Create Steering Committee
4 Outline the Vision Statement, Mission Statement, & Guiding Principles
5 Prepare a Flow Diagram of Company Processes
6 Focus on the Owner/Customer (External) & Surveys
7 Consider the Employee as an Internal Owner/customer
8 Provide a Quality Training Program
9 Establish Quality Improvement Teams
10 Implement Process Improvements
11 Use the Tools of TQM
12 Know the Benefits of TQM
ADVANTAGES OF
TQM

• Helps to face competition


• Reduction in Customer complaints
• Highly Motivated Personnel
• Expansion and Diversification
DISADVANTAGES OF
TQM

• Conservative Attitude of Indian Management


• Master and Servant Relationship
• Attitudes of Indian Society
Quality Management Awards
and Framework

ISO 9000: 2000


Malcolm Baldrige National Quality Award
Deming Prize
Six Sigma
Conclusion :

 Meeting Customer Requirements.

 Reducing Development Cycle Time

 Demand Flow Manufacturing

 Reducing Product and Service Cost

 Improving Administrative System Training


Quality is a Journey,
not a Destination
THANK - YOU