Total Quality Management

Lecture # 3

LECTURE BASED ON CHAPTER TWO

 Model & Framework of TQM

Early TQM frameworks

In the early 1980s when organizations in the West
started to be seriously interested in quality and its
management there were many attempts to construct
frameworks to help TQM process.
American ‘gurus’ of quality management, such as
Deming, Juran and Crosby, started to try to make
sense of the complexity of issues involved, including
the tremendous competitive performance of Japan’s
manufacturing industry.
 Model & Framework of TQM

Deming, the best known of the “early” pioneers, is credited with

popularizing quality control in Japan in the early 1950s.
Deming developed what is known as the Deming chain reaction,
as quality improves, costs will decrease and productivity will
increase, resulting in more jobs, greater market share, and long-
term survival.
Deming stresses worker pride and satisfaction rather than the
establishment of quantifiable goals.
His overall approach focuses on improvement of the process.
Deming’s 14 points to help management for quality
The key was to integrate the TQM activities, based on the
framework, into organization strategy
 Model & Framework of TQM
Deming’ 14 Points

1) Create consistency of purpose with a plan

Point # 1 suggests that there should be:
 Devotion of purpose for continuous improvement.
 Unwavering commitment to quality must be maintained by management.
 Quality should be at the heart of organization purpose (not short-term profit).
Deming says; profit will follow when quality becomes the objective and purpose

2) Adopt the new philosophy of quality

Point # 2 suggests that; the modern era demands ever-increasing quality as a means of survival
and global competitiveness, therefore:
 Inferior material must be rejected
 Poor workmanship must be rejected
 Defective products must be rejected
 Poor service must be rejected.
 Reduction of defects is to be replaced by elimination of defects.
 The new culture of quality must reflect a commitment to quality and must be supported by all
employees.
 Model & Framework of TQM
Deming’ 14 Points

3) Cease dependence on mass inspection

Cease dependence on inspection to achieve quality.
Eliminate the need for inspection on a mass basis by
building quality into the product in the first place.

4) End the practice of choosing suppliers based on price

Buying from suppliers based on less cost/price is not
necessarily the best way.
Low cost/price defeats the need for a long-term
relationship.
Vendor quality can be evaluated with statistical tools.
 Model & Framework of TQM
Deming’ 14 Points

5) Identify problems and work continuously to

improve the system
Continuous improvement of the system requires seeking
out methods for improvement.
The search for quality improvement is never-ending
results from studying the process itself, not the defects
detected during inspection.
6) Adopt modern methods of training on the job
Training involves teaching employees the best methods of
achieving quality in their jobs and the use of tools such as
statistical quality control.
 Model & Framework of TQM
Deming’ 14 Points

7) Change the focus from production quantity to quality

The focus on volume of production instead of quality
leads to defects and rework that may result in
inferior products at higher costs.
8) Drive out fear
Employees need to feel secure in order for quality to
be achieved.
Fear of asking questions, reporting problems, or
making suggestions will prevent the desired climate
of openness.
 Model & Framework of TQM
Deming’ 14 Points

9) Break down barriers between departments

When employees perceive themselves as specialists
in one function or department without too much
regard for other areas, it tends to promote a climate
of parochialism and sets up barriers between
departments.
Quality and productivity can be improved when
departments have open communication and
coordination based on the common organization
goals.
 Model & Framework of TQM
Deming’ 14 Points

10) Stop requesting improved productivity

without providing methods to achieve it
Continuous improvement as a general goal should
replace motivational or inspirational slogans, signs,
encouragements, and workforce targets.
The major causes of poor productivity and quality
are the management systems, not the workforce.
Employees are frustrated when demanded to achieve
results that management systems prevent them from
achieving.
 Model & Framework of TQM
Deming’ 14 Points

11) Eliminate work standards that prescribe

numerical quotas
Focusing on production numbers, may encourage and reward
people for targets, but it may compromise the quality.

12) Remove barriers to pride of workmanship

A major barrier to pride of workmanship is a merit or appraisal
system based on targets, quotas, or some list of personal traits
that have little to do with incentives related to quality.
This appraisal systems should be replaced by systems that
attempt to overcome obstacles imposed by inadequate material,
equipment, or training.
 Model & Framework of TQM
Deming’ 14 Points

13) Institute vigorous education and retraining

Deming emphasizes training, not only in the methods of the
specific job but in the tools and techniques of quality control,
He also emphasized on teamwork and the quality culture

14) Create a structure in top management that will

emphasize the preceding 13 points every day
An organization that wants to establish a culture based on quality
needs to emphasize the preceding 13 points on a daily basis. This
usually requires a transformation in management style and
structure. The entire organization must work together to enable a
quality culture to succeed.
 Model & Framework of TQM
Juran’s 10 Points

Juran, like Deming, was invited to Japan in 1954 by the Union of

Japanese Scientists and Engineers (JUSE).
He introduced the managerial dimensions of planning, organizing,
and controlling and focused on the responsibility of management to
achieve quality and the need for setting goals.
Juran defines quality as fitness for use in terms of design,
conformance, availability, safety, and field use.
His concept more closely incorporates the point of view of the
customer.
He is prepared to measure everything and relies on systems and
problem-solving techniques.
He focuses on top-down management and technical methods rather
than worker pride and satisfaction.
Juran’s ten steps to quality improvement are as follows:
 Model & Framework of TQM
Juran’s 10 Points

1) Build awareness of need and opportunity for improvement

• Survey the employees / personnel, find why errors / mistakes /
deviations are made
• After a week, select the top ten reasons
• Decide how to make sure those mistake-causing steps aren't
repeated
• Keep track of the number of mistakes being made, make sure they
are decreasing
2) Set goals for improvement
• Establish specific goals to be reached
• Establish plans for reaching the goals
• Assign clear responsibility for meeting the goals
• Base the rewards on results achieved
 Model & Framework of TQM
Juran’s 10 Points

3) Organize to reach the goals

• Establish quality councils
• Identify problems
• Select projects
• Appoint teams
• Designate facilitators
4) Provide training
• Investment in education and training will fetch rewards
5) Carry out projects to solve problems
• Large break-through improvements through interdepartmental or even
cross-functional teams
• Tackle the chronic problems with break-through improvements
• Vital few problems create the breakthroughs
 Model & Framework of TQM
Juran’s 10 Points

6) Report progress
• Progress expected and the actual progress achieved
• Act to improve the operational status to reduce variance
• Information on progress provides confidence on quality improvement
projects
7) Give recognition
• Morale booster
8) Communicate results
• Lesson learnt
• Awareness of the approach taken, possibility to learn and improve
further
• Improvement outlook for people in other areas, to compete with success
 Model & Framework of TQM
Juran’s 10 Points

9) Keep score
• Track progress
• Report achievements & short-falls
10) Maintain momentum by making annual
improvement part of the regular processes
• People oriented
• Team-work
 Model & Framework of TQM
4 absolutes of Philip Crosby

Quality is defined as conformance to requirements,

not “goodness.”
The system for achieving quality is prevention, not
appraisal.
The performance standard is zero defects, not
“that’s close enough.”
 The measurement of quality is the price of non-
conformance, not indexes.
 Model & Framework of TQM
14 Points of Philip Crosby

1) Management commitment
Top management must become convinced of the need for
quality and must clearly communicate this to the entire
company by written policy, stating that each
person is expected to perform according to the requirement
or cause the requirement to be officially changed to what the
company and the customers really need.
2) Quality improvement team
Form a team composed of department heads to oversee
improvements in their departments and in the company as a
whole.
 Model & Framework of TQM
14 Points of Philip Crosby

3) Quality measurement
Establish measurements appropriate to every activity in order to
identify areas in need of improvement.
4) Cost of quality
Estimate the costs of quality in order to identify areas where
improvements would be profitable.
5) Quality awareness
Raise quality awareness among employees. They must understand
the importance of product conformance and the costs of non-
conformance.
6) Corrective action
Take corrective action as a result of steps 3 and 4.
 Model & Framework of TQM
14 Points of Philip Crosby

7) Zero defects planning

Form a committee to plan a program appropriate to the company
and its culture.
8) Supervisor training
All levels of management must be trained in how to implement
their part of the quality improvement program.
9) Zero defects day
Schedule a day to signal to employees that the company has a new
standard.
10) Goal setting
Individuals must establish improvement goals for themselves and
their groups.
 Model & Framework of TQM
14 Points of Philip Crosby

11) Error cause removal

Employees should be encouraged to inform management of any
problems that prevent them from performing error-free work.
12) Recognition
Give public, non-financial appreciation to those who meet their quality
goals or perform outstandingly.
13) Quality councils
Composed of quality professionals and team chairpersons, quality
councils should meet regularly to share experiences, problems, and
ideas.
14) Do it all over again
Repeat steps 1 to 13 in order to emphasize the never-ending process of
quality improvement.
Conceptual Model of TQM
Thank you