company wide quality management

8/12/2019 Company Wide Quality Management

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COMPANY WIDE QUALITY MANAGEMENT


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IMPORTANCE OF QUALITY

Fundamental Concern of Management Worldwide

a) Quality

b) Delivery

c) Cost


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CONCEPT OF QUALITY

Responses on Definition of Quality:

1. Perfection2. Consistency

3. Eliminating Waste

4. Speed of Delivery

5. Compliance with Policies and Procedures6. Providing a Good, Usable Product

7. Doing it Right First Time

8. Delighting or Pleasing Customers

9. Total Customer Service or Satisfaction


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WHAT IS QUALITY?

Most Managers agree to pursue quality is to satisfy customers.

American Society for Quality (ASQ) and American National

Standards Institute (AWSI) define quality as

the totality of features and characteristics of a product that bears

on its ability to satisfy stated or implied needs of customer.

Fitness for use.

Meeting or exceeding customers satisfaction.

Conformance to requirements.


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DEFINING QUALITY

Conformance To Specifications

- does the product/service meet targets and specifications defined bydesigners.

Fitness for Use

- Evaluates performance for intended use

Value for Price Paid

- Evaluation of usefulness Vs price paid

Support Services

- Quality of support after sale


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Dimensions of Quality:

Manufactured Products Performance

basic operating characteristics of a product; how well

a car is handled or its gas mileage Features

extra items added to basic features, such as astereo CD or a leather interior in a car

Reliability probability that a product will operate properly

within an expected time frame; that is, a TV will workwithout repair for about seven years


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Conformance degree to which a product meets preestablished

standards

Durability how long product lasts before replacement

Serviceability

ease of getting repairs, speed of repairs, courtesy andcompetence of repair person


Manufactured Products (cont.)


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Aesthetics how a product looks, feels, sounds, smells, or

tastes

Safety

assurance that customer will not suffer injuryor harm from a product; an especiallyimportant consideration for automobiles

Perceptions subjective perceptions based on brand name,

advertising, and the like


Manufactured Products (cont.)


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Service

Time and Timeliness

How long must a customer wait for service, and is it

completed on time?

Is an overnight package delivered overnight?

Completeness:

Is everything customer asked for provided?

Is a mail order from a catalogue company completewhen delivered?


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Accessibility and convenience

How easy is it to obtain service?

Does a service representative answer you calls quickly?

Accuracy

Is the service performed right every time? Is your bank or credit card statement correct every month?

Responsiveness

How well does the company react to unusual situations?

How well is a telephone operator able to respond to a customers

questions?


Service (cont.)


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TQM

Total - Made up of the whole

Quality - degree of excellence a product or

service provides

Management - Act, art or manner of planning,

controlling, directing,.

Therefore, TQM is the art of managing the

whole to achieve excellence.

What is TQM


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Total Quality Management

What is TQM?

A systems approach to management that aims to continuously increase value

to customers by designing and continuously improving organisational processes and

systems.

Processes: group of activities that take an input, add value to it and provide

an output.

Systems : collection of processes and resources

Management creation and continuous improvement of organizational systems

that when used by organizational members lead to increased value for customers.

Continuous Improvement: Constant refinement of and improvement of productsservices and systems.

Employee Involvement: Participation and involvement of employees in

their jobs and continuous improvement.


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What does TQM mean?

Total Quality Management means that the

organization's culture is defined by and

supports the constant attainment of customer

satisfaction through an integrated system oftools, techniques, and training. This involves

the continuous improvement of organizational

processes, resulting in high quality productsand services.


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Total Quality Management

TQMis a management philosophyembracing

all activities through which the needs and

expectations of the customer and the

community and the objectives of the

organisationare satisfiedin the most efficient

and effective way by maximising the potential

of the employees in a continuous drive for

improvement


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THE TQM SYSTEM

Continuous Improvement versus

Traditional Approach

Market-share focus

Individuals

Focus on who and why

Short-term focus

Status quo focus

Product focus Fire fighting

Customer focus

Cross-functional teams Focus on what and how

Long-term focus

Continuous improvement

Process improvement focus Problem solving

Traditional Approach Continuous Improvement


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TQM PhilosophyWhats Different? (continued)

UnderstandingQuality Tools Ongoing training on analysis, assessment, and correction,

& implementation tools

Team Approach Teams formed around processes8 to 10 people

Meet weekly to analyze and solve problems

Benchmarking Studying practices at best in class companies

Managing Supplier Quality Certifying suppliers vs. receiving inspection


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3 Problem handling Emphasis on prevention of problems.A structure approach to identifying

and solving the problem.

Problems are fought as theyoccur fighting fire

approach.

4 Quality

improvement

action

Quality improvement is a continuous

activity.

No organisational activity.

5 Priority Quality is topmost priority The first priority is to profit

6 Focus Focus on customer satisfaction Focus on management

requirements


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7 Organization Networking across and

among the functions

Hierarchical -

vertically

8 Span of Control Large span of control with

authority almost pushed

down to the lowest level.

Short span of

control and many

layers of authority.

9 Production Schedule Economy to time, justin

time production, quickcustomer

Long production

runs for low costand high efficiency

10 Communication Conveyed with action Conveyed by slogan

11 Responsibility for quality With Top management Delegated to

subordinates


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12 Perception of

Quality

Quality is considered

multidimensional and the

dimensions are customer oriented.

Quality is defined in

terms of single

dimensions, that is

conformance to

specifications.13 Employee Employees are motivated and are

given significant role regardless of

level to find better ways to work.

Emphasizes on monolithic

work pattern .

Opportunities for

participation does not

exist.

14 Work Force Multiskilled work force with job

rotation

Emphasis on division of

labour


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BASIC PRINCIPLES/APPROACHES OF TQM

Approach Management Led

Scope Company Wide

Scale Everyone is responsible for Quality

Philosophy Prevention not Detection

Standard Right First Time

Control Cost of Quality

Theme On going Improvement


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Evolution of Quality Management

Inspection

Quality

Control

Quality

Assurance

TQM

Salvage, sorting, grading, blending, corrective

actions, identify sources of non-conformance

Develop quality manual, process performance

data, self-inspection, product testing, basic

quality planning, use of basic statistics,

paperwork control.

Quality systems development, advanced quality

planning, comprehensive quality manuals, use of

quality costs, involvement of non-production

operations, failure mode and effects analysis, SPC.

Policy deployment, involve supplier & customers,

involve all operations, process management,

performance measurement, teamwork, employee

involvement.


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Shewhart

Deming

Juran

Feigenbaum

Ishikawa

Crosby

Taguchi

Benchmarking

Information Technology

Quality Management Systems

Environmental Management

System

Quality Function Deployment

Quality by Design

Failure Mode & Effect Analysis

Products & Service Liability

Total Productive Maintenance

Management Tools

Statistical Process Control

Experimental DesignTaguchis Quality Engineering

GURUS Tools &

Techniques

Principles &

PracticesCustomerProducts or Service

Realization

People & Relationships: Approach:

Leadership Continuous Process Improvement

Customer Satisfaction

Employee Involvement Measure:

Supplier Partnership Performances Measures


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W Edwards Deming

regarded by the Japanese as the chief

architect of their industrial success

all processes are vulnerable to loss of quality

through variation: if levels of variation are

managed, they can be decreased and quality

raised

quality is about people, not products


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W Edwards Deming

Core element is the management circle

planning

do/implementation check/study

action

PDCA (or PDSA) cycle

Continuous improvement (Kaizen)

teamwork and competence in problem solving


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Improve Quality

Productivity improves

Provide jobs and

more jobs

Demings Chain Reaction

Cost decreases because

of less rework, fewer

mistakes, fewer delays,

snags, better use of

machine time and

materialsStay in business

Capture the market with

better quality and lower price


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Joseph Juran

structure CWQM concept:

Company-Wide Quality Management

essential for senior managers to

involve themselves

define the goals

assign responsibilities

measure progress


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Joseph JURAN

Quality PLANNING consists of:

Identifying customers and their needs

Establishing optimum quality goals

Creating measurements of quality

Plan to meet quality goals under operating

conditions

Produce continuing results


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Philip CROSBY

Quality is defined as conformance to

requirements

Traditional quality control represent failure Manufacturing companies spend 20%

revenues doing things wrong so

Do it Right First Time Zero Defects


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PRINCIPLES AND PRACTICES

Leadership

To give priority attention to internal and external customersand their needs.

Empower rather than control subordinates

Emphasize improvement rather than maintenance Emphasize prevention

Encourage collaboration rather than competition

Train and coach rather than direct and supervise

Learn from problems which are opportunities

Continuously try to improve communications

Continuously demonstrate commitment to quality

Chose suppliers on the basis of quality

Establish organisational systems to support quality effort

Encourage and recognise team effort.

QUALITY STATEMENTS


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General Guidellines

a) Involve as many employees

b) Should project growth and development

c) should be realistic

Should have following characteristics

a) Future oriented

b) Creativec) Setting high standards of excellence

d) Inspire enthusiasm and encourage commitments

e) Very clear and challenging

STEPS


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STEPS

1) What will be organization in 10 years Vision

2) How to reach it? Mission

3) Why the department exists and

what are broad expected outcomes? Objectives

4) Specific, measurable, attainable, realistic and

time bound break up of outcomes of department Goals

5) Break up of above into

individual specific short term outcome Targets

6) What to do, how to do , sequence of actions of every individual Action Plan


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CUSTOMER SATISFACTION

Customer satisfaction major purpose of Quality Management System

Customer satisfaction is subjective and hard to measure

Internal and external customer

A simple definition of customer satisfaction

Company

offer

Customer Needs

Total satisfaction is reached when the offer matches the need or the circle is

superimposed on the square.

Customer Perceptions of Quality


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p y

One of basic concepts of TQM philosophy is continuous process

improvement

This concept implies that there is no acceptable quality level becausecustomer needs, values expectations are constantly changing and more

demanding

ASQ Survey on end user perceptions of important factors that influenced

purchases showed following ranking:

1) Performance

2) Features

3) Service

4) Warranty5) Price

6) Reputation

company wide quality management

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