Session 1

Introduction to Quality
Management
 Meaning of Quality
• “Quality” means those features of products
which meet customer needs and thereby
provide customer satisfaction.
• Related to income
• …..Costs more????
Higher Quality Enables Companies
to…..
• Increase customer satisfaction
• Make products salable
• Meet competition
• Increase market share
• Provide sales income
• Secure premium prices
• Reduce error rates
• Reduce rework, waste
 Meaning of Quality
• freedom from deficiencies—freedom from
errors that require doing work over again
(rework) or that result in field failures,
customer dissatisfaction, customer
claims…..
• ….might cost less????
• So there could be positive quality and
negative quality ……. !!!!!
• Have you heard about-’Fitness for use’
• Product: The output of any process. To many economists,
products include both goods and services.

• Product feature: A property possessed by goods or services

that is intended to meet customer needs.

• Customer: Anyone who is affected by the product or by the

process used to produce the product.Customers may be
external or internal.

• Customer satisfaction: A state of affairs in which customers

feel that their expectations have been met by the product
features.

• Deficiency: Any fault (defect or error) that impairs a product’s

fitness for use. Deficiencies take such forms as office errors,
factory scrap, power outages, failures to meet delivery dates,
and inoperable goods.
• Customer dissatisfaction: A state of affairs in
which deficiencies (in goods or services) result
in customer annoyance, complaints, claims, and
so on.
• Customer satisfaction comes from those
features which induce customers to buy
the product. Dissatisfaction has its origin in
deficiencies and is why customers
complain.
 Concept of “Big Q”
Content of Little Q Content of Big Q

Products Manufactured goods All products, services

Processes Related to manufactured All processes
goods
Industries Manufacturing all

Customer’s view A technological problem Business Problem

How to think about Based on culture of Based on universal triology

quality functional departments
Quality goals Among factory goals In company business plan

COpQ Associated with poor Costs that would disappear if

quality goods everything were perfect

Evaluation of Conformance to Responsiveness to customer

quality manufacturing standards, needs
specs
 Concept of “Big Q”

Content of Little Content of Big Q

Q
Improvement Departmental Company
directed at performance performance

Quality Training For quality dept Company-wide

Coordination By quality Quality council of

manager senior managers
 Financial Effects
• Effect of Income
• Effect on Costs
 Juran Triology
• Quality planning
• Quality control
• Quality improvement

Parallel processes-
Financial planning
Financial control
Financial improvement
Juran Trilogy Diagram
 Quality Journey…..
• Primitive Societies
– The Family
– The Village-Division of labor
– The Village Marketplace-Caveat Emptor(let
the buyer beware)
• Effects of Growth of Commerce
– Quality Warranties
– Quality Specifications
– Measurements
• Artisans and Guilds
– The Guild Hierarchy
– Guilds and quality planning
– Guilds and quality control
– Guilds and quality improvement
– Guilds and external forces
• Inspection and Inspectors
• Government Involvement
– Safety and health of citizens
– Economics of the state
– Consumer protection
• The mark or seal
• Industrial revolution
– The factory system and QC
– Quality Improvement
– Taylor System of scientific management
• Rise of QA
– In village marketplace
– Through audits
– Supplier audits
– Military procurement
– Resistance to mandated QC systems
– Shift of responisbility
• 20th Century and Quality
– Growth in science and technology
– Threats to human safety, health and
environment
– Expansion of government regulation of quality
– Rise of Consumerism
– International competition in quality
 Moving quality to centre stage
• Customer focus
• Quality has top priority
• Strategic quality planning
• Benchmarking
• Continuous improvement
• Training in managing for quality
• Big Q
• Partnering
• Employee empowerment:
• Motivation
• Measurements
• Upper managers took charge with
“RESPONSIBILITIES”