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Philosophies and Frameworks

Mohammed Alamgir
Department of Marketing , University of Chittagong

01/15/2022
 Leaders in the Quality Revolution 
 W. Edwards Deming
 Joseph M. Juran
 Philip B. Crosby
 Armand V. Feigenbaum
 Kaoru Ishikawa
 Genichi Taguchi

Chittagong, 01/15/2022
Who’s Who?

b
a
Deming ____

Juran ____
c
Crosby ____

Chittagong, Saturday, January 15, 2022


Deming Chain Reaction
Improve quality
Key Idea
Costs decrease

The Deming philosophy focuses on Productivity improves


continual improvements in product and
service quality by reducing uncertainty Increase market share with better quality
and variability in design, manufacturing, and lower prices
and service processes, driven by the
leadership of top management. Stay in business

Provide jobs and more jobs

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Deming Chain Reaction

Chittagong, Saturday, January 15, 2022


Deming’s System of Profound Knowledge
• Appreciation for a system-- Appreciation of a system depends on quality
leaders’ understanding of the interconnectedness and interdependence.
• The interconnectedness must be clearly defined and documented for successful flow
or continuous improvement of the process.

• Understanding variation-- No two things are exactly alike, not people, not processes.
Variation is a natural, inevitable part of life.
• Many sources of uncontrollable variation exist in any process
• Almost all variation within a process is due to chance causes, inherent in the design of
the process.
• Excessive variation results in product failures, unhappy customers, and unnecessary costs
• Statistical methods can be used to identify and quantify variation to help understand it
and lead to improvements
• Problems arise when management reacts to common cause or chance variation as if it
were special cause variation.
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Chittagong, Saturday, January 15, 2022
Deming’s System of Profound Knowledge
• Theory of knowledge– The theory of knowledge, as stated here, implies that
system improvement depends on continuous study of the organization.
• Building knowledge through systematic analysis of short-term/long-term results and
revision and extension to the theory provides the learning process.
• Caution: we should not mistake information for knowledge.
• Information without application of the cycle of theory-prediction-action-analysis-adjustment
does not create learning or knowledge and does not improve the process.
• Psychology of change-- People are motivated intrinsically and extrinsically;
• intrinsic motivation is the most powerful
• Fear is demotivating
• Managers should develop pride and joy in work

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Chittagong, Saturday, January 15, 2022
Deming’s 14 Points (Abridged)
(1 of 2)

1. Create and publish a company mission


statement and commit to it.
2. Learn the new philosophy.
3. Understand the purpose of inspection.
4. End business practices driven by price alone.
5. Constantly improve system of production
and service.
6. Institute training.
7. Teach and institute leadership.
8. Drive out fear and create trust.

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Deming’s 14 Points (2 of 2)

9. Optimize team and individual efforts.


10. Eliminate exhortations for work force.
11. Eliminate numerical quotas and M.B.O.
Focus on improvement.
12. Remove barriers that rob people of pride
of workmanship.
13. Encourage education and self-improvement.
14. Take action to accomplish the transformation.

www.deming.org
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Juran’s Philosophy
• Juran’s definition of quality: “fitness for use.”

• This definition of quality suggests that it should be viewed from both external
and internal perspectives; that is, quality is related to

(1) product performance that results in customer satisfaction;


(2) freedom from product deficiencies, which avoids customer
dissatisfaction

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Chittagong, Saturday, January 15, 2022
Juran’s Quality Trilogy

• Quality planning
• Quality control
• Quality improvement

www.juran.com
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Deming & Juran
 Major cultural change
 Languages-
 A detailed program for quality improvement

 Continuous improvement-- Plan-Do-Check-Act


 Breakthrough sequence-
 discovery-organization-diagnosis- corrective
action-control

Chittagong, Saturday, January 15, 2022


Deming & Juran
Senior management must play an active and enthusiastic leadership role in the
quality management process

Advocated a never ending spiral of activities that includes-


 market research,
 product development,
 design,
 planning for manufacture,
 production process control,
 inspection and testing etc.

Chittagong, Saturday, January 15, 2022


Deming & Juran
Similar:

 Focus on top management commitment


 Need for improvement
 The use of quality control techniques
 Importance of training

Deming: Drive out Fear


Juran: “Fear can bring out the best in people”

Chittagong, Saturday, January 15, 2022


Phillip B. Crosby

Quality is free . . .
“Quality is free. It’s not a gift, but it is free. What costs money
are the unquality things -- all the actions that involve not doing
jobs right the first time.”
• Basic elements of improvement: determination-education-implementation
• Crosby’s approach was ‘behavioral’
• Emphasized on management and organizational process rather than statistical
techniques to change corporate culture and attitude

Chittagong, Saturday, January 15, 2022


Philip B. Crosby
Absolutes of Quality Management:

• Quality means conformance to requirements

• Problems are functional in nature


• There is no optimum level of defects

• Cost of quality is the only useful measurement


• Zero defects is the only performance standard-
concentrate on prevention rather than find & fix

www.philipcrosby.com 16
Common issues
• Quality requires a strong upper management commitment
• Quality saves money
• Responsibility is placed on managers, not workers
• Quality is a never-ending process
• Customer-orientation
• Requires a shift in culture
• Quality arises from reducing variance

Chittagong, Saturday, January 15, 2022


A.V. Feigenbaum

Three Steps to Quality


• Quality Leadership, with a strong focus
on planning
• Modern Quality Technology, involving
the entire work force
• Organizational Commitment,
supported by continuous training and
motivation

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Chittagong, Saturday, January 15, 2022
Kaoru Ishikawa
• Instrumental in developing Japanese quality strategy
• Influenced participative approaches involving all workers
• Advocated the use of simple visual tools and statistical techniques

Chittagong, Saturday, January 15, 2022


Genichi Taguchi
• Pioneered a new perspective on quality based on the economic
value of being on target and reducing variation and dispelling the
traditional view of conformance to specifications:

Loss No Loss Loss

0.480 0.500 0.520


Tolerance
Two Fundamental Management Mistakes
1. Treating as a special cause any fault,
complaint, mistake, breakdown, accident or
shortage when it actually is due to common
causes

2. Attributing to common causes any fault,


complaint, mistake, breakdown, accident or
shortage when it actually is due to a special
cause

Chittagong, Saturday, January 15, 2022


Malcolm Baldrige National Quality Award

• Help improve quality in U.S.


companies
• Recognize achievements of
excellent firms and provide
examples to others
• Establish criteria for evaluating
Malcolm Baldrige,
quality efforts former U.S. Secretary
• Provide guidance for other of Commerce

American companies
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Criteria for Performance
Excellence
• Leadership
• Strategic Planning
• Customer and Market Focus
• Measurement, Analysis, and Knowledge
Management
Baldrige
• Human Resource Focus Award trophy

• Process Management
• Business Results
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The Baldrige Framework –
A Systems Perspective

Organizational Profile:
Environment, Relationships, and
Challenges

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2 Human
Strategic Resource
Planning Focus

1 77
Leadership Business
Business
Results
Results
3
Customer & 6
Market
Focus Process
Management

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Measurement, Analysis, and Knowledge Management
Criteria Evolution (1 of 2)
• From quality assurance and strategic quality planning to a focus
on process management and overall strategic planning

• From a focus on current customers to a focus on current and


future customers and markets

• From human resource utilization to human resource


development and management

• From supplier quality to supplier partnerships

Chittagong, Saturday, January 15, 2022


Criteria Evolution (2 of 2)
• From individual quality improvement activities to cycles of
evaluation and improvement in all key areas
• From data analysis of quality efforts to an aggregate, integrated
organizational level review of key company data

• From results that focus on limited financial performance to a focus


on a composite of business results, including customer satisfaction
and financial, product, service, and strategic performance
Self Assessment
A primary goal of the Baldrige program is to encourage
many organizations to improve on their own by equipping
them with a standard template for measuring their
performance and their progress toward performance
excellence.

Boeing Airlift & Tanker


Programs – 1998 winner
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Other Quality Awards
• European Quality Award
• Canadian Awards for Business Excellence
• Australian Business Excellence Award

Chittagong, Saturday, January 15, 2022

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