TQM Unit 2

GE8077 - TQM
UNIT 2 – TQM Principles

Leadership
• Ability of an individual or a group of people to influence
and guide followers or members of an organization,
society or team.
• Leaders are seen as people who make sound and
sometimes difficult decisions
• They articulate a clear vision, establish achievable
goals and provide followers with the knowledge and
tools necessary to achieve those goals.
Characteristics of Quality Leaders
• Give priority attention to external and internal customers’ needs
• Empower, rather than control, subordinates
• Emphasize improvement rather than maintenance
• Emphasize prevention; must be a balance between preventing
problems and developing better, but not perfect, processes
• They encourage collaboration rather than competition
• Train and coach, rather than direct and supervise
• Learn from problems; Problems are treated as opportunity
rather than minimizing or covering up
12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 2
Characteristics of Quality Leaders
• Continually try to improve communications
• Continually demonstrate their commitment to quality
• Choose suppliers on the basis of quality, not price. Suppliers
are encouraged to participate on project teams and become
involved
• Establish organizational systems to support the quality effort –
Quality councils, work groups, project teams etc
• Encourage and recognize team effort – Award, reward,
appreciation based on accountability and quality of work

Leadership Concepts
Effective leader understands that,
• 1, People, need security and independence at the same time.
• 2. People are sensitive to external rewards and punishments and
yet are also strongly self-motivated.
• 3. People like to hear a kind word of praise. Catch people doing
something right, so you can pat them on the back.
• 4. People can process only a few facts at a time; thus, a leader
needs to keep things simple.
• 5. People trust their gut reaction more than statistical data.
• 6. People distrust a leader’s rhetoric if the words are inconsistent
with the leader’s actions
12/12/2023
.
Prof. S.P. Vijayanand, OIT552 - Cloud Computing 4
Leadership roles

Role of Senior management
• Study and investigate TQM concepts and issues
• Set clear quality policies and provide challenging tasks
• Establish customer satisfaction as a long term goal
• To become coaches and cheer leaders for encouraging and
supporting the managers during transition phase of the
transformation
• To stimulate employees to be involved
• To attend TQM training programs
• To up hold norms and issues
Role of Senior management
• To create a basic of trust, respect and open communication that
ensures individual participation and continuous improvement.
• To monitor whether quality improvement programs are
conducted as planned.
• Strategic Quality planning
• Set long term direction for the organization in which it wants to
proceed in future.

Strategic Quality planning

Quality Statements
• VISION STATEMENT: It is a short declaration of what an
organization aspires to be tomorrow. It is an ideal state which
may never be achieved.
• MISSION STATEMENT: Describes the function of the
organization. It provides the clear statement of purpose for the
employees, customers and suppliers.
• QUALITY POLICY STATEMENT: It is a guide for everyone in
the organization as to how they provide products and services
to the customer. Written by the CEO feedback from workforce
and approved by quality council.

Quality Council
• A quality council is established to provide overall direction.
• The council is composed of Chief Executive Officer, Senior Managers,
Coordinator or Consultant
A representative from the Union Duties of the council are
• Develop the core values, vision statement, mission statement and
quality policy statement
• Develop the strategic long term plan with goals and Annual Quality
Improvement Program with objectives

Quality Council
• Create the total education and training plan
• Determine and monitor the cost of poor quality
• Determine the performance measures
• Determine projects those improve the process
• Establish multifunctional project and work group teams
• Revise the recognition and rewards system

Quality Council
A typical meeting agenda will have the following items
• Progress report on teams
• Customer satisfaction report
• Progress on meeting goals
• New project teams
• Benchmarking report
• Within three to five years, the quality council activities will become
ingrained in the culture of the organization.

Employee Involvement
• It is the total involvement from every person at all levels in the
organization
ASPECTS OF EMPLOYEE INVOLVEMENT

• 1. Employee motivation
• 2. Employee Empowerment
• 3. Teams and Team work
• 4. Recognition and Reward Schemes
• 5. Performance Appraisal
Employee Motivation
• It is the process of stimulating people or attempting to influence
other to do your will or accomplish desire goals through the
possibility of reward
• 1. Improves employee involvement
• 2. Reduces absenteeism and increases turn over
• 3. Promotes job satisfaction

Employee Motivation – Maslow’s Need Theory

Employee Motivation – Herzberg’s 2 Factor
Theory
• 1. Motivation Factor:
People are motivated by recognition, responsibility,
achievement, advancement and the work itself. These are called
as motivators
• 2. Dissatisfies or Hygiene Factor:
Low salary, minimal fringe benefits, poor working
conditions, ill defined organizational policy, mediocre technical
supervision are dissatisfies which implies they are preventable

Employee wants & Empowerment
• Good pay factor is normally in the middle of ranking.
• Normal Wants are interesting work, appreciation, involvement, job
security, Good pay, Promotion/growth, Good working conditions,
Loyalty to employees, Help with personal problems arid Tactful
Discipline.
EMPLOYEE EMPOWERMENT.
• It is an environment in which people have the ability, the confidence
and the commitment to take his responsibility and ownership to
improve the process and initiate the necessary steps to satisfy
customer requirements within well-defined boundaries in order to
achieve organizational values and goals.
• Job Enrichment: Quality, Limited autonomy & Empowerment
• Job Enlargement: Quantity, autonomy & Empowerment
Characteristics of Empowered Employee
• 1. Tell people what their responsibilities are.
• 2. Given the authority equal to the responsibility assigned to
them.
• 3. Set standards of excellence.
• 4. Give them knowledge information and feedback.
• 5. Trust them and treat them with dignity and respect
Empowered environment conditions
• System need to change, Everyone should understand the need
to change, Provide information, education and skill to employees

Team and Team work
• A team can be defined as a group of people working together to
achieve common objectives or goals.
• Team work is the cumulative actions of the team during which
each member of the team subordinates his individual interest
and opinions for the fulfilling of objectives of the group.
• Working in a team encourages personal growth, increases job
satisfaction, and reduces stress
• People are more likely to take calculated risks that lead to
innovation if they have the support of a team behind them

Advantages of Team work
1.A greater variety of complex issues can be tackled by pooling
expertise and resources
2.Problems are exposed to a greater diversity of knowledge, skill
and experience
3.The approach boosts morale and ownership through
participative decision making
4.Improvement opportunities that cross departmental or
functional boundaries can be more easily addressed
5.The recommendations are more likely to be implemented than
if they come from an individual
Types of Teams
• Process improvement team:
• Involved in improvement of sub processes or processes.
• Usually has 6-10 members.
• Disbanded when the objective is reached.
• May include the local supplied and customer depending on the location
• Cross functional teams:
• 6-10 members temporary team.
• Members are Top management level from various functional areas of
management.
• Discuss complex problems and break down into smaller parts to refer it
to various departmental teams for further solution.

Types of Teams
• Natural work teams:
• Not voluntary and the total work unit is part of the team.
• Manager also a part of the team and the management selects the
projects to be improved.
• Managers must also ensure that the entire team is comfortable with
each other.
• Self directed / self managed work team:
• Extension of natural work teams but here the group of individuals is
empowered not only to do work but manage it.
• No manger will present but a coordinator (Which will be normally
rotated among members) will be appointed.
• Additional responsibilities of the team hiring/ dismissal, performance
evaluation, customer relations, supplier relations,recognition/rewards
12/12/2023and training. Prof. S.P. Vijayanand, OIT552 - Cloud Computing 22
Characteristics of successful team
• 1. Sponsor:
• In order to have effective liaison with quality council, there should be
sponsor.
• The sponsor is a person from the quality council, he is to provide
support to the organization
• 2. Team Charter:
• A team charter is a document that defines the team‘s mission
boundaries, the background of the problem, the team‘s authority and
duties and resources.
• It also identifies the members and their assigned roles – leader,
recorder, time keeper and facilitator.

• 3. Team Composition:
• Not exceeding 10 members except natural work team and self
managed teams.
• 4. Training:
• The team members should be trained in the problem solving
techniques team dynamics and communication skills
• 5. Ground Rules:
• The team should have separate rules of operation and conduct.
Ground rules should be discussed with the members, whenever
needed it should be reviewed and revised

• 6. Clear objectives, Accountability :
• Periodic status report should be submitted to quality council for review
• 7. Well defined decision procedure, Resources:
• Adequate information should be provided
• 8. Trust by the management, Effective problems solving:
• Not by hunches or quick fires
• 9. Open communication, Appropriate Leadership, Balanced
participation and Cohesiveness

Stages of Team Development
• Forming stage- Initial stage with only group of individuals and
no team work. Team purpose, roles are created.
• Storming Stage -Initial agreement roles are challenged.
Hostilities, emerge which may be resolved
• Norming Stage-Formal informal relations get established.
• Performing Stage -Team operates in a successful manner with
trust, openness, healthy conflict and decisiveness among the
members.
• Maintenance stage – Functioning should not deteriorate with
time Evaluating Stage – Evaluating team performance
Team work
• Elements of Effective Team - Regular scheduling with a fixed
time limit, purpose, role and responsibilities, activities, decision,
results and recognition.
• Team Management Wheel
• To make a lean more effective a team management wheel has
been evolved.
• The activities are advising, innovating, promoting, developing,
organization, producing, inspecting, maintaining and linking.
• The roles of wheel are advisor, explore, organizer and
controller.
Recognition and Reward
• Recognition is a process whereby management shows
acknowledgement (Verbal / written) of an employee outstanding
performance.
• Recognition is a form of employee Positive motivation.
• Reward is a tangible one such as increased salaries,
commission, cash bonus, gain sharing, coupon for dinner,
groceries, theatre etc., to promote desirable behavior.
• The employees are recognized to improve their morale, show
the company's appreciation for Better Performance, create
satisfied and motivated workplace and stimulate creative efforts.

DIFFERENT WAYS TO RECOGNIZE THE EMPLOYEES
• Send thank letter whenever possible
• Develop behind the scenes award
• Create the best ideas of the year booklet
• Feature the quality team of the month and put their picture in prominent
place
• Honor peers by recognizing them
• Allow people to attend meetings in your name when you are not
available
• Involve teams with external customers and suppliers by visiting them
• Invite a team for coffee or lunch whenever possible
• Create a visibility will displaying posters, pictures, to thank the
contributions of employee
• Credit the team to higher authorities when their ideas are accepted
DIFFERENT WAYS TO RECOGNIZE THE EMPLOYEES
• Take interest in employee‘s development
• Get the team picture in company newspaper
• Mention the ideas of others during your meetings, so that they are
recognized
• Write a letter of praise to contributed team member and copy to boss
• Ask people to help you with the project which is difficult but challenging
• Send a team to special seminars, workshops to cover topics they are really
interested in
• Ask your boss to send a letter of acknowledgement and thanks
• Honor outstanding contribution with awards
• Have a stock of small gifts to give to people on the spot whom you catch
doing things right
• Promote or nominate for promotion, those people who contribute most
Performance Appraisal
• It is a systematic and objective assessment or evaluation of
performance and contribution of individual
• Needs Identifying employees for salary revision, promotion,
transfer, demotion, lay off
• to determine training needs of employee
• to take organizational inventory of people
• to know personal strength and weakness of individuals
• to validate the selection procedure

Advantages of Appraisal
• 1. Provides a feedback to identify employees for salary revision,
transfer, lay-off
• 2. Helps in determining training needs of employee
• 3. Provides organization inventory of people
• 4. Helps to evaluate personal strength and weakness of
individuals
• 5. To validate the selection procedure.
• 6. Provide the basis for promotion, demotion etc
• 7. May provide some information on external factors like family
circumstances, health, financial or personal matters that may be
affecting the performance
Continuous Process improvement
• Quality-based organizations should strive to achieve perfection
by continuously improving the business and production
processes.
• Of course, perfection is impossible because the race is never
over; however, we must continually strive for its attainment.
• Improvement is made by
• Viewing all work as a process, whether it is associated with production
or business activities.
• Making all processes effective, efficient, and adaptable.
• Anticipating changing customer needs.
• Controlling in-process performance using measures such as scrap
reduction, cycle time, control charts,and so forth.
• Maintaining constructive dissatisfaction with the present level of
performance.
• Eliminating waste and rework wherever it occurs.
• Investigating activities that do not add value to the product or service,
with the aim of eliminating those activities.
• Eliminating nonconformities in all phases of everyone’s work, even if
the increment of improvement is small.
• Using benchmarking to improve competitive advantage.
• Innovating to achieve breakthroughs.

• Incorporating lessons learned into future activities.
• Using technical tools such as statistical process control (SPC),
experimental design, benchmarking, quality function deployment
(QFD), and so forth.
• Continuous process improvement is designed to utilize the
resources of the organization to achieve aquality-driven culture
• An organization attempts to reach a single-minded link between
quality and work execution by educating its constituents to
“continuously” analyze and improve their own work, the
processes, and their work group.
Input / output Process model

PDSA Cycle
• PDSA, or Plan-Do-Study-Act, is an iterative, four-stage
problem-solving model used for improving a process or carrying
out change.
• When using the PDSA cycle,
it's important to include internal
and external customers; they can
provide feedback about
what works and what doesn’t

PDCA Cycle
• First, plan carefully what is to be done.
• Next, carry out the plan (do it).
• Third, study the results—did the plan work as intended, or were
the results different?
• Finally, act on the results by identifying what worked as planned
and what didn’t.
• Using the knowledge learned, develop an improved plan and
repeat the cycle.

PDCA Cycle
PLAN
• Identify the problem, plan and STUDY / CHECK
opportunities • Check results
• Observe and analyze • Compare with goals
• Isolate the real causes
• Determine corrective actions ACT
DO • Standardize and consolidate
• Prepare • Prepare next stage of planning
• Apply
• Check application
PDCA Cycle
BENEFITS OF PDSA CYCLE
• Daily routine management for the individual and or the team
• Problem solving process
• Project management
• Continuous development
• Vendor development
• Human resource management
• New product development
• Process trials

5S
• 5S is a system to reduce waste and optimize productivity
through maintaining an orderly workplace
• The 5S pillars, Sort (Seiri), Set in Order (Seiton), Shine (Seiso),
Standardize (Seiketsu), and Sustain (Shitsuke), provide a
methodology for organizing, cleaning, developing, and
sustaining a productive work environment
• Objective of 5S - Create a neat and clean work place, Create
systemize day to day working, Improve work efficiency,
Standardize work practice, Improve work discipline, Improve
the quality of work and products

5S

5S
• Factors in implementing 5S
• Participation by all - Should be understood and practiced by
all employees
• Top management commitment – CEO and Senior
management team need personally commitment practice and
supervise the program
• Should be self sustaining – Banners, slogan posters and new
tutors should be fully utilized to draw attention of every one
• Review the program – Every month group of people from
different areas of responsibilities plan and evaluate each zone
5S
Benefits • Better quality awareness
• Work place becomes proud • More usable space
place to work • Less Material handling time
• Results in good image and- • Less production cost
generates business
• Preventive maintenance
• Operations become easier and
safer in work place • High employee involvement
• Disciplined people • Less accidents
• Improve productivity' and • More time to improvement.
morality
Kaizen
• Kaizen is an approach to creating continuous improvement
based on the idea that small, ongoing positive changes can
reap significant improvements.
• It is based on cooperation and commitment

Supplier Partnership
• A commitment to continuous quality improvement cannot be
translated into reality without treating supplier as partner
• Supplier Partnering is defined as a continuing relationship,
between a buying firm and supplying firm, involving a
commitment over an extended time period, an exchange of
information, and acknowledgement of the risks and rewards of
the relationship.
• The relationship between customer and supplier should be
based upon trust, dedication to common goals and objectives,
and an understanding of each party’s expectations and values

Principles of customer / supplier relationship
• Both the customer and the supplier are fully responsible for the
control quality
• Both the customer and the supplier should be independent of each
other and respect each other‘s independence
• The customer is responsible for providing the supplier with clear and
sufficient requirements so that the supplier can know precisely what
to produce
• Both the customer and the supplier should enter into an non
adversarial contract with respect to quality, quality, price, delivery
method and terms of payments
• The supplier is responsible for providing the quality that will satisfy
the customer and submitting necessary data upon the customer‘s
request
Principles of customer / supplier relationship
• Both the customer and the supplier should
• decide the methods to evaluate the quality of the product or service
to the satisfaction of both parties
• establish in the contract the method by which they can reach an
amicable settlement of any disputes that may arise
• continually exchange information, sometimes using multifunctional
teams, in order to improve the product or service quality
• perform business activities such as procurement, production and
inventory planning, clerical work and system so that an amicable
and satisfactory relationship is maintained
• When dealing with business transactions both the customer and
the supplier should always have the best interest of the end
user in mind
Supplier Partnership
• Benefits
• Improved Quality
• Reduced cost
• Increased Productivity
• Increased efficiency
• Increased market share
• Increased opportunity for innovation
• Continuous improvement of products/services

Key Elements to Partnering
• 1. Long-term commitment: Long-term commitment provides
both customer and supplier the much needed environment to
achieve the planned objectives. Because to set up and solve
the problem of continuous improvement, both parties may
require the sufficient time.
• 2. Trust : Mutual trust between two parties forms the basis for
a strong working relationship. Trust enables the partners to
effectively combine their resources and knowledge. It results in
a ‘win-win’ situation for both partners.

• 3. Shared vision : Both the customers and suppliers have the
common goal i.e., to satisfy the end user. In order to ensure this
goal, both particles should share and understand their goals
and objectives.
• Three types of supplier sourcing are:
• Sole sourcing
• Multiple sourcing
• Single sourcing
• Sole Sourcing - use of only one supplier for the organization.
The organization does not have any choice. It is forced to use
only one supplier. (Pattents, Tech Specs, location, only
producer etc)
• Multiple Sourcing - use of two or more suppliers for an item.
• The basic concept of multiple sourcing is that competition will
result in better quality, lower costs, and better service.
• The selection of suppliers from various alternatives is based on
their performance in terms of prices, quality and delivery.
• Single Sourcing - use of one supplier for an item when several
sources are available. It leads to long-term partnering
relationship.
• The suppliers should be treated as partners to achieve the
same quality level as attained within the organization.
Supplier Selection
• The suppliers should be selected with the following ten conditions
• The supplier should
• understand clearly the management philosophy of the organization
• have stable management system
• maintain high technical standards
• provide the raw materials and parts which meet quality specifications required
by the purchaser.
• have the required capability in terms of production
• not leak out the corporate secrets.
• quote right price and should meet the delivery schedule

Supplier Selection
• The supplier should
• accessible with respect to transportation and communication
• be sincere in implementing the contract provisions.
• have an effective quality system such as ISO / QS 9000.
• be renowned for customer satisfaction.
Supplier Certification
• A certified supplier is one which, after extensive investigation, is
found to supply material of such quality that is not necessary to
perform routine testing

Supplier Certification
• The Eight criteria for supplier certification are
• No product related lot rejections for at least 1 year
• No non-product related rejections for at least 6 months
• No production related negative incidents for at least 6 months
• Should have passed a recent on-site quality system evaluation.
• Having a fully agreed specifications.
• Fully documented process and quality system.
• Timely copies of inspection and test data
• Process that is stable and in control

Supplier Rating
• Supplier rating is a system for recording and ranking the
performance of a supplier in terms of a variety of issues, which
may include delivery performance and the quality of the items.
• It is essential to effective purchasing.
• It provides overall rating of the supplier performance.
• Supplier rating is also known as scorecard system.
• Supplier rating is usually determined by quality, price,
performance, and performance capability
End of UNIT II

TQM Unit 2

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

TQM Unit 2

Uploaded by

Copyright:

Available Formats

GE8077 - TQM

UNIT 2 – TQM Principles

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 3

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 5

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 7

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 8

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 9

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 10

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 11

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 12

ASPECTS OF EMPLOYEE INVOLVEMENT

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 14

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 15

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 16

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 18

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 19

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 21

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 23

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 24

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 25

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 28

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 32

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 36

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 38

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 39

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 40

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 42

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 43

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 44

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 47

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 48

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 51

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 52

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 55

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 56

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 57

12/12/2023 Prof. S.P. Vijayanand, OIT552 - Cloud Computing 58

You might also like