Course Manual

Development of Productivity
Practitioners: Basic Program
A Self-Paced eLearning Course
(Foundation for Certification of Productivity Practitioners)

Happy Learning!!!
 Brief Introduction on the Manual
1. The course manual 3.
serves as the main
reference material of
anyone participating
4.
in this self-paced
eLearning program.
2. It is important for the
participant to recognize
that the course manual
will guide him/her
in the learning journey
that he/she has to
experience.
The course manual is organized
following the sequential order of
presentation of the modules.
It is advisable that the participant goes
through the modules accordingly (Please
refer to document file on the Overview
of the Design of this eLearning course).
 A participant’s learning journey starts with
Module 1 and ends with the Overall
Assessment or the Concluding Test.
 A participant is expected to complete Module
1 before going to Module 2 and to the
succeeding modules.
 A module starts with a brief
introduction/background and ends with
participant’s reflection on his/her
takeaways/key learnings gained.

The modules are sequentially linked as follows.
Module 1
Introduction to
Productivity,
Quality and
Competitiveness
Satisfying the needs of
customers is the
bottom line of
Productivity & Quality
( P&Q) improvement
efforts of an organization.
The level of P & Q drives
the competitiveness of
organizations /
companies, industries
and sectors and
eventually the
competitiveness of a
nation . P&Q
improvement is a
managed process
(PDCA) and uses various
approaches tools and
techniques.
Module 2
Background of
the Asian
Productivity
Movement
Productivity practitioners
should recognize that
Productivity has become
a movement in Asia and
the Pacific until now,
spearheaded by the Asian
Productivity Organization
(APO) ) which has
contributed significantly
to the socio-economic
development of
member countries. Thus,
the movement must be
sustained to support
economic growth of APO
member economies. One
of the ways towards this
is the development of a
critical mass of
productivity practitioners.
Content
Module 6
Module 5 Introduction
to Total Quality
Module 4 Getting Ready to
Management
Practice Productivity
Module 3 Basics of Through the Basic As the organization
Productivity Tools and Techniques continues in its
The Profile of a Measurement Productivity productivity
Productivity practitioners must improvement
Practitioner It is also important for always strive to journey and in
productivity achieve the desired applying the
practitioners to results of various P&Q tools
Productivity understand that
productivity and and techniques, it
practitioners play a productivity quality needs to adopt a
major role in improvement (PDCA
improvement. management
sustaining the cycle) begins and ends
In line with this,
Productivity with measurement. framework that will
They should know the they must develop integrate and
Movement in an
organization or a basic concepts and competencies on sustain all of its
nation. However they principles of various productivity
improvement
need to continuously productivity improvement tools
measurement, and
initiatives and
develop/enhance and techniques that
have the mindset that efforts.
their Competencies will help an
whatever is managed organization level up This integrating
(Knowledge,
has to be measured.
its performance. framework is Total
Skills/Attitudes &
They should recognize Quality
Behavior) in order to Some of the basic
that productivity Management
play their roles as: measurement plays a tools and techniques
Promoter, Trainer and are discussed here. (TQM) which is also
key role in helping
Consultant on the sustain the impact of called the Business
promotion and Excellence (BE)
the productivity
sustained application movement . framework .
of various P&Q
tools and techniques
 Reminder

Before you proceed to Module 1, please make

sure that you read the Overview of the Design of
this eLearning course which is on a separate file.

The file is entitled Overview of DPP Basic

Program.
 Course Manual

Introduction to Productivity,
Quality and Competitiveness
(Getting Grounded on Basic Concepts and Principles)
 Module 1 – Introduction to Productivity,
Quality and Competitiveness
Introduction

• This module formally starts the roadmap of your

learning journey as a participant. It will enable you
to start building a mindset of productivity and
quality improvement as a way of working life, as an individual
or as a member of a formal organization in the public
or private sector.

• Please remember that acquiring the basic knowledge

on productivity, quality and competitiveness is key towards
building such a mindset.
 Module 1 – Introduction to Productivity,
Quality and Competitiveness
Introduction
• You need to be grounded on the basic concepts and principles to
guide you in your journey towards becoming a certified and full-
fledged Productivity Practitioner.

‒ When you understand the key concepts and principles, you begin
to become consciously aware of the need to always align your
thoughts and actions with what is expected from a Productivity
Practitioner.

‒ You will be able to share with others a common understanding of

productivity and quality particularly at the organizational level.
 Module 1 – Introduction to Productivity,
Quality and Competitiveness

Learning Objectives
At the end of the module, participants will be able to:

1. Define productivity, quality and competitiveness

2. Discuss the Plan-Do-Check-Act (PDCA) Cycle or the
Productivity Management Cycle and
3. Identify the basic P&Q tools and techniques that help
improve productivity and quality in the organization
 Module 1 – Introduction to Productivity,
Quality and Competitiveness

Outline
• Understanding Productivity, Quality and
Competitiveness
− What is Productivity?
‒ What is Quality?
‒ What is Competitiveness?

• The Plan-Do-Check-Act (PDCA) Cycle in Productivity

Improvement or the Productivity Management Cycle

• Introduction to Basic P&Q Tools and Techniques

 Understanding
the Basic Concepts
Of Productivity,
Quality and
Competitiveness
 Module 1 – Introduction to Productivity,
Quality and Competitiveness

• The concept of Productivity could mean different things to many

people depending on who they are and where they are coming
from (e.g. a Businessman, a Production Manager, an Engineer, a
Customer, an Investor, or an Employee or Worker). In other
words, Productivity can be explained in many ways and at
various levels or perspectives (individual, organizational,
enterprise, industry, sector, national or international).

• It is a similar situation if one defines the related concepts of

Quality and Competitiveness.
 Module 1 – Introduction to Productivity,
Quality and Competitiveness

• For a productivity practitioner, however, it would be better to put

this concept in proper context/perspective.

• To begin with, Productivity is usually explained within the

context of an organization/enterprise producing a product or
service, needed/demanded and paid for by customers/clients
matching their expectations/standards, and also satisfying the
expectations of other stakeholders like investors, suppliers,
regulators, etc.

• In producing the product or service, three basic aspects are

involved: Inputs, Processes and Outputs.
 Module 1 – Introduction to Productivity,
Quality and Competitiveness

• INPUTS - are resources used to produce desired

outputs or services. These basically
include: Capital, Labor, Energy, Materials
and other bought-in Services (CLEMS).

• PROCESSES - are ways and means used in production or

in converting the inputs into the desired
outputs.

• OUTPUTS - are the products or services that are

demanded / paid for by customers
or clients
 Introduction to Productivity,
Quality and Competitiveness
Input Process Output
(Resources) (Result)
Quantity of No. of dresses
Materials finished on time

No. of hours
No. of dresses
spent
ironed/steamed
No. of sewers No. of packaged
employed
Sewing of dresses ready for
export.
Cost of fuel/energy dresses
Example is an SME that manufactures children’s dresses for export.
 Module 1 – Introduction to Productivity,
Quality and Competitiveness
Another Example:

Company A needs to procure a product from Company B. Company A has

specific requirements (product should be made of leather, durable, colorful and to
be delivered in 2 weeks).

After 2 weeks, Company B is able to deliver the bags and company A is happy.
This is Productivity. And upon checking the 2 dozen bags one by one, company A
is delighted realizing that the bags are indeed made of leather, durable and
colorful. This is Quality.

Productivity Quality
Customer Company A Customer
Company B
Requirements checks the bags Satisfaction
delivers the Company A
(Company A needs delivered and
product is happy! Company A is
24 bags that are realized that
made of leather, (24 bags) in 2 delighted
they are
durable & colorful; weeks
and to be delivered indeed made of
in 2 weeksl leather, durable
& colorful .
 Module 1 – Introduction to Productivity,
Quality and Competitiveness
From the Example

Understanding P&Q requires us to appreciate that a customer’s requirements (24

bags made of leather, durable, colorful, to be delivered in 2 weeks) serve as basis
to procure INPUTS which are then transformed through a PROCESS to become
OUTPUTS that fulfill and satisfy the customer (Company A).

INPUT PROCESS OUTPUT Customer

Customer/
Satisfaction
Company A’s 24 bags • Manufacturing • Delivered on
Company A is
Requirements made of of finished time (in 2
leather, weeks) delighted
/ Expectations products (24
durable, • Made of with output
bags)
colorful, to leather
be delivered • Durable
in 2 weeks • Colorful
 What is Productivity then?

• The concept of productivity has evolved through time.

However, it is important to anchor oneself on the
universal and basic definitions of productivity.

• Basically, Productivity can be defined as a Technical

concept and as a Social concept which implies the
means and the end goal respectively of productivity
improvement.

• It can also be defined as a Management concept.

 Productivity as a Technical Concept

As a technical concept, Productivity is the ratio of Outputs

produced (which contribute to the accomplishment of the
mission), per unit of resources consumed (Input), compared to a
similar ratio from a base period, with the same or increased
quality.
  OUTPUT
PRODUCTIVITY = ----------------
INPUT

Productivity can be Partial which is the ratio of Output to a single

input or Total which is the ratio of Output to all the inputs used in
the production process.
Productivity as a Technical Concept

PRODUCTIVITY = OUTPUT
INPUT

It is about making the most effective use of

all resources and gaining the maximum
value from them
 Productivity as a Technical Concept
  TOTAL OUTPUT
TOTAL PRODUCTIVITY = ------------------------
TOTAL INPUT

  TOTAL OUTPUT
PARTIAL PRODUCTIVITY = ------------------------
PARTIAL INPUT

TO
TOTAL PRODUCTIVITY (TP) = ------------------------
C+L+E+M+
S

Where TP = total productivity

TO = total output
C = capital input factor
L = labor input factor
E = energy input
M = raw materials and purchased parts input
S = other bought in services
Productivity as a Social Concept
PRODUCTIVITY is above all
AN ATTITUDE OF MIND.
It seeks to CONTINUOUSLY IMPROVE what already exists.
It is based on the CONVICTION that ONE CAN
DO THINGS
BETTER TODAY THAN YESTERDAY
AND BETTER TOMORROW
THAN TODAY, FOR A BETTER
QUALITY OF LIFE

From the report of the Rome Conference

European Productivity Agency, 1958
with modification from
Japan Productivity Center (JPC), Tokyo
 Productivity as a Social Concept

• In short, Productivity is a mindset which seeks to

continually improve what already exists.

• It is a way of life based on the belief that one can do

things better today than yesterday and better
tomorrow than today.

• It aims for a better quality of life for everyone,

hence, it is everybody’s business.
 Productivity as a Management Concept

Productivity Improvement is a managed process. It

does not happen by accident. A productive
organization simply puts one that is Efficient in
converting the inputs to outputs (products/services)
and Effective in fulfilling its mission of satisfying
expectations of customers and other stakeholders.
 Productivity as a Management Concept
EFFICIENCY

M
INPUT PROCESS OUTPUT AT CUSTOMERS’
goods & C EXPECTATIONS
(resources)
services H & Standards for
goods &
services

EFFECTIVENESS

PRODUCTIVITY

PRODUCTIVITY = EFFICIENCY + EFFCTIVENESS

 Approaches to Productivity Improvement

There are two (2) major approaches to productivity

improvement:

• KAIZEN - continuous improvement but

incremental, small steps involving
everyone.

• INNOVATION - breakthrough improvement,

dramatic and attention getter,
involves capital investment.

Desirable progress can be obtained by combining the two (2)

approaches.
 The Productivity Management Cycle
(PDCA Cycle)

Productivity improvement as a systematic and

managed process follows the Plan-Do-Check-Act
Cycle as emphasized by Productivity experts.

The Productivity Management Cycle Chart just

expands the PDCA Cycle to highlight 3 important
aspects: Labor-Management Cooperation, Use of
Productivity Improvement Techniques and
Productivity Gainsharing.
The Productivity Management Cycle
(PDCA Cycle)
 The Productivity Management Cycle
(PDCA Cycle)
In the initial cycle, with no baseline data, the framework starts with
CHECK, assessing the organization’s present state/condition or
productivity level. After assessing or checking, the next step is
ACTION. At this stage the organization looks for counter measures to
remedy the problem or improve the present situation. The next step is
PLAN, wherein the organization will determine what productivity
improvement program or project it will implement. The final step is
DO where an organization will start implementing the planned
productivity methodology or intervention. If the implemented program
results in an increase in productivity level, the management may opt to
share the gains of improvement through productivity gain sharing.
After implementing any productivity improvement
activities/intervention, the organization will again CHECK on the
status of implementation. The cycle continues.
 Ways to Improve Productivity
Basically, there are four (4) ways to improve productivity in an
organization.
1. Producing more output using the same quantity of input

  OUTPUT
PRODUCTIVITY = ----------------
INPUT =

2.Producing the same quantity of output with less

input

OUTPUT =
PRODUCTIVITY = ----------------
INPUT  
 Ways to Improve Productivity
3. Increasing input but the increase in output is higher

 
  OUTPUT
PRODUCTIVITY = ----------------
INPUT

4. Decreasing output but the decrease in input is higher

OUTPUT
PRODUCTIVITY = ----------------
INPUT
 Why Productivity is Important

So, for an organization or nation improved or higher

level productivity leads to: Efficient, Effective and
Economical Use of Resources, Superiority in
Market Competition, Economic Development and
Growth and Better Standard of Living and Human
Welfare.
 Why Productivity is Important?
PRODUCTIVITY
CHAIN

EFFICIENT, BETTER
EFFECTIVE, SUPERIORITY ECONOMIC STANDARD OF
HIGH
ECONOMICAL IN MARKET DEVELOPMENT LIVING AND
PRODUCTIVITY
USE OF COMPETITION AND GROWTH HUMAN
RESOURCES WELFARE

WASTEFUL INFERIORITY
LOW ECONOMIC SOCIAL
USE OF IN MARKET
PRODUCTIVITY SLOWDOWN INSTABILITY
RESOURCES COMPETITION
 What is Quality?

• In improving productivity, there is another related

concept we must be knowledgeable and concerned
about. This is Quality.

• Just like in discussing Productivity, we come

across terms like Quality of Input, Quality of
Output, Quality of Process, or Quality of Working
Life, among others. Hence, the need to be clear
about what Quality means.
 What is Quality?

• Quality is the other side of Productivity. In other

words, as experts put it, Quality is the other side of the
same track.

• Quality drives Productivity, there can be no

Productivity without Quality.

• Productivity & Quality therefore go hand in hand.

 What is Quality?
Definitions of Quality from noted experts:

• Conformance to • Satisfying the needs,

specifications desires and
(Philip B. Crosby) expectations of the customer

• Fitness for use • Delighting the customer

(Joseph M. Juran)

• Pride in workmanship
(W. Edwards Deming)

References:
[1] P. Crosby, Quality is Free: The Art of Making Quality Certain, 1979
www.philipcrosby.com
[2] J. Juran, Quality Control Handbook, 1951
www.juran.com
[3] W.E. Deming, Out of the Crisis, p. 23-24, 1986
www.deming.org/theman/theories/fourteenpoints
 What is Quality?

Quality is the Totality of Features and

Characteristics of a Product or Service
that Bear on its Ability to Satisfy Stated
or Implied Needs of Customers

(ISO 8420)
 What is Quality?

“the degree to which a set of inherent

characteristics of a product or service
fulfill the needs or expectations of
customers”

International Organization for Standardization (ISO)

 Quality Improvement through PDCA
Quality Improvement just like Productivity is managed through the PDCA
Cycle.

A P This is also called the

Deming Wheel that
C D illustrates PDCA as an
upward continuing
movement that connotes
productivity and quality
improvement.
 Historical Background of PDCA

• Dr. Walter A. Shewhart initially introduced the concept as Plan, Do, and
See
• Dr. W. Edwards Deming, a student of Shewhart modified the P-D-S
concept into P-lan, D-o, S-tudy and A-ct (PDSA)
• PDSA was promoted by Deming starting in the 1950’s and
eventually became popular as P-D-C-A
• Deming eventually emerged as a Quality guru or a Quality Management
Authority
• The Shewhart Cycle then has become known as the “Deming Cycle” or
“Deming Wheel” of continuous improvement spiral
 Historical Background of PDCA
• Deming together with another American quality guru,
J.M. Juran went to Japan as part of the U.S. technical
assistance program to Japan after World War II

• Deming taught Quality improvement methods to the

Japanese, including the usage of statistics and the PDSA cycle

• Japan has adapted this concept and developed its own version
known as KAIZEN which means continuous improvement

• KAIZEN has become Japan’s strategy that led to its competitive

edge in technology thereby successfully making a mark in the global
economy.
 Relationship of Productivity and Quality
to Competitiveness

• At this stage you should have a basic appreciation of

Productivity and Quality.

• Now we need to define Competitiveness.

• For this course, we can view or define it at the

firm/organization level or at national level.
 Relationship of Productivity and Quality
to Competitiveness
Firm level competitiveness

• Given a certain product/service and the target market, entrepreneurs

looks at basically 3 aspects:

− Product price competitiveness

− Production process / Technology competitiveness
− Input cost competitiveness

• This means that a company’s product/service must be price

competitive versus competition, and its production process /
technology and production cost must withstand competition.

• The level of competitiveness is driven by productivity and quality

performance.
 Productivity and Quality drives
Competitiveness
Example:
Productivity Quality
Customer Company A Customer
Company B
Requirements checks the bags Satisfaction
delivers the Company A
(Company A needs delivered and
product is happy! Company A is
24 bags that are realized that
made of leather, (24 bags) in 2 delighted
they are
durable & colorful; weeks
and to be delivered Indeed made of
in 2 weeksl leather, durable
& colorful .

As shown in the simple illustration above, when Company A as customer is delighted

with the product manufactured and delivered according to its requirements, there is a
strong possibility that it will be a repeat customer of Company B. Another possibility is
that, there are potential and/or additional customers who will be willing to patronize the
product/service of Company B once they hear the good feedback from Company A.

In this scenario, Company B is poised to become competitive in its market.

 Relationship of Productivity and Quality
to Competitiveness

National level competitiveness

Nowadays, one of the major concerns of governments

worldwide is the level of national competitiveness or
the overall competitiveness of the economy, its
economic sectors, industries and enterprises versus
the rest of the world.
 Productivity and Quality drives
Competitiveness.
CONTINUOUS
IMPROVEMENT C
C S O
C R a
P - lan u
M
u e t P
q i E
A-ct s
s u s T
i t f I
t r a T
e o c I
o INPUT PROCESS OUTPUT
m t V
D-o m
m e i E
n e o N
e t C - heck n E
s r S
r
S
As explained earlier customer’s requirements are the basis for converting INPUTS through a PROCESS into
OUTPUT that will satisfy the customer . And in order to be more COMPETITIVE, the organization must
continuously improve the way it does things through productivity and quality.
 What is Competitiveness then?
Generic definition: Firm level

Competitiveness pertains to the ability and performance of a firm,

sub-sector or country to sell and supply goods and services in a given
market, in relation to the ability and performance of other firms, sub-
sectors or countries in the same market.

www.wikipedia.com

Ability of a firm or a nation to offer products and services that meet

the quality standards of the local and world markets at prices that are
competitive and provide adequate returns on the resources employed
or consumed in producing them.

www.business dictionary.com
 What is Competitiveness?
Generic definition: Firm level

Competitiveness is the ability of an

organization to deliver products and/or services
that meet and satisfy the requirements
of customers, thereby making them
happy and delighted. And thus,
attract potential customers who may either
be an organization or individual.
 What is Competitiveness?
National level definitions:

• World Economic Forum (WEF)

Global Competitiveness Index

• IMD World Competitiveness Yearbook

 What is Competitiveness?

• “We define Competitiveness as the set of institutions,

policies, and factors that determine the level of
productivity of a country. The level of productivity, in
turn, sets the level of prosperity that can be reached by
an economy. The productivity level also determines the
rates of return obtained by investments in an economy,
which in turn are the fundamental drivers of its growth
rates. In other words, a more competitive economy is
one that is likely to grow faster over time.”

Source: World Economic Forum

Global Competitiveness Index
 Preferred Definition of Competitiveness

• For this course it is suggested to learn more about

Competitiveness from the World Economic Forum
definitions and related studies.

• In the WEF definition, Productivity is highlighted as

driver of Competitiveness of nations/economies.

• WEF releases its annual Global Competitiveness

Report which ranks 144 countries in terms of overall
level of Competitiveness.
 The Global Competitiveness Report 2014-2015

• assesses the competitiveness landscape of 144

economies, providing insight into the drivers of
their productivity and prosperity

• the Report series remains the most comprehensive

assessment of national competitiveness worldwide

Source: WEF-Global Competitiveness Index Report, 2014-2015

 Score
World
APO
Country Ranking
2014- 2013- Ranking
2014
2015 2014

Singapore 5.65 5.61 1 2

Global Competitiveness Rankings
Japan 5.47 5.40 2 6
Hong Kong 5.46 5.47 3 7
APO Member Countries
Taiwan ROC 5.25 5.29 4 14
Malaysia 5.16 5. 03 5 20
Rep of Korea 4.96 5.10 6 26 World Economic Forum
Republic of China 4.89 4.84 7 28 (scoring measured on a 1-7 scale)
Thailand 4.66 4.54 8 31
Indonesia 4.57 4.53 9 34
Philippines 4.40 4.29 10 52
Vietnam 4.23 4.18 11 68 2014-2015 (144 countries assessed)
India 4.21 4.28 12 71
2013-2014 (148 countries assessed)
Sri Lanka 4.19 4.42 13 73
Iran, Islamic Rep 4.03 4.07 14 83
Lao PDR 3.91 4.08 15 93
Cambodia 3.89 4.01 16 95
Mongolia 3.83 3.75 17 98
Nepal 3.81 3.66 18 102
Bangladesh 3.72 3.71 19 109
Pakistan 3.42 3.41 20 129
Fiji NO DATA
 The WEF Global Competitiveness Index Framework:
12 Pillars of Competitiveness

• Institutions • Higher Education and

• Innovation Training
• Business Sophistication • Goods Market Efficiency
• Market Size • Labour Market Efficiency
• Technological Readiness
• Infrastructure
• Financial Market
Development
• Macroeconomic Environment

• Health and Primary Education

The Global Competitiveness Index
presents the overall rankings for the
economies covered.

The economies are ranked from the

most to the least competitive.
 What is Competitiveness? (IMD)

“The ability to produce goods and

services that can meet the tests of
domestic and international markets
while promoting and maintaining a
high standard of living and quality of
life of people.”
 Competitiveness Input Factors (IMD)
ECONOMIC Macro-economic evaluation of the domestic economy:
PERFORMANCE Domestic Economy, International Trade, International
Investment, Employment and Prices

GOVERNMENT Extent to which government policies are conducive to

EFFICIENCY competitiveness:
Public Finance, Fiscal Policy, Institutional Framework,
Business Framework and Education

BUSINESS Extent to which enterprises are performing in an

EFFICIENCY innovative, profitable and responsible manner:
Productivity, Labor Market, Financial Markets,
Management Practices and Impact of Globalization

INFRASTRUCTURE Extent to which basic, technological, scientific and human

resources meet the needs of business:
Basic, Technological, & Scientific Infrastructure,
Health & Environment and Value System
 References for more details on Competitiveness

• The World Economic Forum (WEF) and the International

Institute for Management Development (IMD) are very good
sources of information on competitiveness.

• Thus, it is recommended that you go to the following websites

 http://www.weforum.org where you can find and read
relevant articles on the latest, i.e. 2014-2015 Global
Competitiveness Index (GCI) report;
 www.imd.org for the 2014 World Competitiveness Ranking
as reflected on the 2014 World Competitiveness Yearbook
(WCY).
 Productivity drives Competitiveness

• In both WEF & IMD definition of competitiveness, there

are sets of factors that determine the level of productivity
of a country, taking into account its level of development.

• The level of productivity of companies or industries and

sectors significantly affect the level of a country’s
competitiveness; and vice versa .
 By now you should know why
Productivity and Quality are needed
At the national as well as organizational level, Productivity and
Quality Improvements are needed to:

• Improve the country’s competitiveness

• Generate employment opportunities
• Bring about participation, tripartism and collaboration
• Promote Human Capital Development
• Enhance Quality of Life / Working Life
• Help alleviate poverty
• Support sustainable development
• Institutionalize continuous improvement
• Meet customer expectations
• Ensure consistent quality of services deliver
• Improve organizational performance
• Sustain reform initiatives
 The next thing is to know the tools and techniques
to help achieve Productivity and Quality Improvement

• For an organization or an enterprise there are

basic and advanced tools that can be used.

• It is important, however, that one should be clear

about the problem to be addressed. Or be able to
define the problem properly and apply the
corresponding tools or techniques to help solve
the problem.
 The Basic P&Q Tools and Techniques

This self-paced eLearning course focuses only on

three (3) basic tools/techniques that lay the
foundation of productivity and quality improvement.
These are: 5S, Suggestion Scheme and Quality
Circle.

The next slides will give you an overview of what

each tool/technique is. The details of each tool
including the step-by-step process of application are
found in Module 5.
 The various P & Q tools and techniques
could be Categorized as Basic and Advanced
QC-Quality Circle TQM-Total Quality Management
SS-Suggestion Scheme KM-Knowledge Management
BPR-Business Process Re-
LMC-Labor Management Cooperation
IE-Industrial Engineering TQM engineering
BM-Benchmarking
MS-Morale Survey BPR KM
BSC-Balanced Scorecard
ISO 9001:2008-QMS-Quality

Six Management System

Lean Manufacturing

Sigma BM TPM-Total Productive

Maintenance
Basic Lean JIT-Just-In-Time
PM-Preventive Maintenance
ISO Mfg.
SS 9001: PM
QC QMS BSC
5S LMC JIT
TPM
IE TQM KM
MS
Advanced
 Developing a Quality Workplace
Through 5S (Good Housekeeping)
One basic tool is 5S which is very effective in building a mindset of productivity and
quality improvement. It promotes self-discipline in making things organized in the
workplace that leads to smooth and easier way of doing things.

SEIRI SEISO
SORT
SHITSUKE SWEEP
SELF-DISCIPLINE
TAKE OUT
CLEAN YOUR WORKPLACE
UNNECESSARY
ITEMS AND DISPOSE

SEIKETSU
SEITON SANITIZE
SYSTEMATIZE DO THINGS
SPONTANEOUSLY MAINTAIN HIGH STANDARD
ARRANGE NECESSARY ITEMS WITHOUT BEING OF HOUSEKEEPING
IN GOOD ORDER TOLD
OR ORDERED
 Unleashing Improvement Ideas Through Suggestion
Scheme (SS)
This basic P&Q tool enhances two-way communication in organization between
employer and employees. It allows employees to express ideas for improvement
that can be considered by employer in making productivity and quality improvement
actions towards higher productivity.

It is a systematic approach to solicit

ideas for improvement.
 Solving Problems at the Workplace
Thru Quality Circle (QC)
This tool equips employees with a systematic way of solving problems.
This tool helps people in the organization discover that teamwork is very
important in solving problems that significantly affect the level of productivity.

It is a small group of employees from the same

workplace organized to participate in mutual
development and problem-solving activities
that would help improve productivity and
quality of an organization.
 In Conclusion
• Productivity is above all an attitude of mind or a mindset which seeks to
continually improve what already exists.

• Productivity improvement is a managed process (PDCA) or the

continuous process of planning, doing, checking, and taking
improvement actions towards target objectives.

• Productivity and Quality improvement which are 2 sides of the same

track starts and ends with measurement.

• There are major approaches as well as basic and advanced tools and
techniques that can be used in productivity improvement.

• Collaboration, Teamwork and Incentives are also key in Productivity

Improvement efforts.

• Productivity and Quality Improvement drives Competitiveness.

 End of Module 1
Congratulations for finishing your
lessons on Module 1!

You are now ready to take the

quiz to see how far you have
absorbed the content of
this module.

There are 10 questions.

Please tick/encircle the letter of
the correct answer.
 End of Module 1
But wait…
You are encouraged to email to
industry@apo-tokyo.org
if you have questions and/or points for clarification on
any of the lessons
taken up in this Module.
If none, you can proceed to the
Module Quiz.
 End of Module 1
After taking the quiz,
you are encouraged to What are my Top 3
reflect and answer Takeaways or my
the question on this slide.
Write your answers on your Most Significant
productivity journal. Learnings from this
module?