Submitted by

Pooja H. Sheth -11030241163 Pratik Dighe -11030241165 Pritish Mohanty -11030241166 Sahil Sikka -11030241169 Shantanu Sharma -11030241171

What is TQM?

Total: Made up of the whole

Quality: Degree of excellence of a product or a service

Management: Act, art or manner of planning, controlling, directing,..

Therefore, TQM is the art of managing the whole to achieve excellence. excellence

TQM [Cntd.]

‡Philosophy which applies equally to all parts of the organization. ‡Can be viewed as an extension of the traditional approach to quality. ‡Places the customer at the forefront of quality decision making. ‡Greater emphasis on the roles and responsibilities of every member of staff within an organization to influence quality. ‡All staff are empowered.

Goal of TQM Doing right things right« « for the FIRST time. everytime« .

TQM is all managers leading and facilitating all contributors in everyone s two main objectives: Total client satisfaction through quality products and services Continual improvements to processes. products. people. and services . partners. systems. suppliers.Another way to put it ‡ At it s simplest.

planning and support.Involves the process for continuous improvement.Top management vision.Design quality ‡ ‡ Specific characteristics of a product that determine its value in the marketplace. Product/Process Excellence . The degree to which a product meets its design specifications. Continuous Improvement - A concept that recognizes that quality improvement is a journey with no end and that there is a need for continually looking for new approaches for improving quality. Employee involvement - All employees assume responsibility for the quality of their work. -Conformance quality . ‡ Customer Focus on Fitness for Use .Elements of TQM ‡ ‡ ‡ ‡ Leadership .

Provides leadership .Support For all quality initiatives Preventing Variability Key to producing high quality Quality Goals are a moving target So.Basic Tenets of TQM Customer Ultimate determination of Quality Improving quality needs effective metrics So. more focus should be put on data and facts Top Management: . requires commitment towards continuous improvement .

and training in their use for analyzing. that define and support quality . and solving quality problems Customer: Quality for the customer as a driving force and central concern Culture: Shared values and beliefs. techniques.Three Aspects of TQM Counting: Tools. understanding. expressed by leaders.

Different views of TQM Traditional Approach Lack of communication Control Staff Inspection and fire fighting Internal focus on rule Stability seeking Adversarial relations Allocating Blame Modern Approach Open Communications Empowerment Prevention External focus on customers Continual improvement Co-operative relations Solving problems at their root .

Process based approach .Focus on data and facts .Inspection: An organized examination or formal evaluation exercise .Pro-active approach .Reactive approach .Evolution of TQM Old Concept of Quality: .Root Cause analysis .Sampling is concerned with selection of a subset of individuals from within a population to estimate characteristics of the whole population New Concept of Quality: .

Focused on product design quality W.Developed 14 points to guide in quality improvement . Crosby Kaoru Ishikawa Genichi Taguchi .Introduced the concept of zero defects . Juran Armand V.Quality Gurus Quality Guru Walter A.Defined quality as fitness for use .Stressed management s responsibility for quality .Introduced concept of total quality control .Developed concept of cost of quality .Process Variability .Developed cause-and-effect diagrams .Concept of internal customers . Shewhart Main Contribution . Edward Demming Joseph M. Feigenbaum Philip B.Developed the concept of statistical control charts .

7 deadly diseases as proposed by Deming Lack of constancy of Considered as the ¶Father of Quality approach Evolution«· .

Emphasis on short tem profits .

Evaluation by performance/ merit rating. .

Mobility of management .

Running a company on visible figures only .

Excessive medical costs .

Excessive legal fees .

Deming's 14 points for TQM .

Corelation of Deming's 14 points and 7 deadly diseases .

. The foundation of total quality is a management philosophy that supports meeting customer requirements through continuous improvement.TQM A continual improvement process ‡ ‡ ‡ TQM is the management process used to make continuous improvements to all functions. TQM represents an ongoing. continuous commitment to improvement.

Traditional Approach v/s TQM's Continual Improvement Traditional Approach Continual Improvement ‡ ‡ ‡ ‡ ‡ ‡ ‡ ‡ Market-share focus Individuals Focus on who and why Short-term focus Status quo focus Product focus Innovation Fire fighting ‡ ‡ ‡ ‡ ‡ ‡ ‡ ‡ Customer focus Cross-functional teams Focus on what and how Long-term focus Continual improvement Process improvement focus Incremental improvements Problem solving .

The Deming Cycle .

The TQM Model Objective Principles Elements .

View of the quality program as a quick fix. . Poor interorganizational communication. A customer focus. Drive for shortterm financial results. Politics and turf issues. A formalized strategic plan for change.Obstacles in implementing TQM Lack Of: A company-wide definition of quality.

vision. or mission Operational plans and policies Mechanism for feedback .Strategic implications of TQM Strong leadership Goals.

Causes of TQM Implementation Failures Lack of focus on strategic planning and core competencies. Obsolete.Implementing TQM Successful implementation of TQM Requires total integration of TQM into day-to-day operations. outdated organizational cultures. .

Blind pursuit of TQM programs 2. Programs may not be linked to strategies 3. Failure to carefully plan a program .Some criticisms of TQM 1. Quality-related decisions may not be tied to market performance 4.

Advantages of TQM Reduction of total defects Customer Satisfaction Ease of solving of problems. Cost Savings Continual process & product improvement .

IBM s estimate was that by the implementation. But IBM suffered a loss of $16 billion between 1991 & 1993.4 billion directly to the bottom line. John Fellows Akers. . talked publicly about what the Quality movement could do to reinvigorate American business and held IBM up as an example of how other companies should run their businesses. the president of IBM between 1983 and 1989.IBM was the one of the first companies to implement TQM in the form of Six-sigma. they would add $2.

One of the reasons of failure was over-abundance of training instead what-they-need-when-theyneed form of training. The second reason was the heavy use of Carrot-andStick i. . The reason was the employees at IBM had the misconception that the success of the program meant company would need lesser employees hence would result in the loss of their own jobs..e. a policy of offering a combination of rewards and punishment of induce behavior.

First step was to enhance and change the corporate culture. to improve customer satisfaction. "the better the quality. and over 4 million hours of man hours of work." In 1983. First to improve profits as reflected in higher returns on assets. to improve market share. Xerox implemented a "Quality through Leadership" program. Second. the lower the overall costs. and third. A Company motto was established. . $125 million. The cost of the implemented program was enormous. The program had three main objectives.

Customer satisfaction increased by 40% and customer complaints decreased by 60%. Promotions were based on criteria not related to quality.0% of the annual revenues. By 1989.5%-3. employees are empowered to take responsibility for quality.000 quality improvement teams were formed. . In the total quality control (TQC) concept. and over 7. 75% of Xerox workers participate in the drive for perfect quality. Company expenditure designated for training was increased to2.

‡ ‡ On the other hand. The technical tools of quality improvement may be well developed. but its theory and practice lag far behind. The concept of quality is only dimly understood by the practicing managers. high cost of production. Information Technology (IT) helps TQM organization achieve its goals. Over the past few decades. unfair competition in market are the major constraints in using TQM.Conclusion ‡ TQM attempts to have maximum customer satisfaction through providing quality products and services but uncongenial business environment. .

And the quality journey continues Thank You« .