total quality management (tqm)

TQM(Total Quality Management)

Engr. Abdun [email protected] ConsultantCentre for Management DevelopmentSEL Centre (6th Floor), 29-West Panthapath, Dhaka-1205, Bangladesh [email protected]

Engr. Abdun Noor, Centre for Management Development, [email protected]

Course ObjectivesAt the end of the course the participants will be able to:Appreciate the concept of Total Quality Management (TQM)Explain implementation techniques of TQMImplement TQM in their respective organizationsImplement KAIZEN & 5-S Techniques in their respective fieldContribute in quality improvement through Quality Control Circle (QCC)


What is TQM?Total

• Complete• Absolute• Everyone

is involved in

Quality

• Characteristic• Nature• Something

that distinguishes

Management

• Administration

• The process of dealing with or controlling things or people


What is Quality?Fitness for useThe extent to which The product and/or service successfully serves the purpose of the customer (which the customer can recognize as beneficial during usage), is called its’ fitness for use.

ISO DefinitionDegree to which a set of inherent characteristics fulfils requirements


What is Quality?Degreerefers to a level to which a product or service satisfies. So, depending upon the level of satisfaction, a product may be termed as excellent, good or poor quality product

Inherent characteristics those features that are a part of the product and are responsible to achieve satisfaction


What is Quality?Requirementsrefer to the needs of customer, needs of organization & those of other interested parties the expectations that may be stated, generally implied or obligatory


What is Quality?Some examples of inherent product characteristics that will fulfill requirements are:

Product / Service

Requirement Inherent Characteristics

Ceiling Fan

Hotel

Car

Air delivery Size & shape of blades, Motor rating

ComfortRoom size, Furniture & layout, Air-conditioning,Lighting

Acceleration & speed

Engine capacity,Engine torque & rpm


What is Quality?


What is Quality?Quality meansmeeting the customer’s (agreed) requirements formal and informalat the lowest cost, first time, every time for the benefit of the customer and the organization


What is Quality?Quality provides competitive advantageCompliance to Requirement

Quality is about Excellence/ Perfection A Moving TargetA Matter of Continuous Improvement

Customer will never give up QualityIn the long run what survives is QUALITYQuality Reduces Cost & Improves Productivity

Quality is an Integral Part of Our Daily Life


What is Quality?Quality in different areas of society:

Area Examples of Quality ComponentsAirlinesHealth Care

Food Services

Consumer ProductsCommunications

On-time, comfortable, low-cost serviceCorrect diagnoses, minimum wait time, low cost, securityGood Taste, free from contamination, fast delivery, good environment.

Properly made, defect-free, cost effective

Clearer, faster, cheaper service


What is Management?Wikipedia:Management in businesses and organizations is the function that coordinates the efforts of people to accomplish goals and objectives by using available resources efficiently and effectivelyBusiness Dictionary:Management consists of the interlocking functions of creating corporate policy and organizing, planning, controlling, and directing an organization's resources in order to achieve the objectives of that policy


What is TQM?

Scientific

Systematic

Company wide

TQM is

Activity

• A company is devoted to customers through its products and services

-Noriaki kano

in Which


What is TQM?ISO Definition:The management approach of an organization, centered on quality, based on the participation of all its members and aiming at long term success through customer satisfaction and benefits to all members of the organization and to societyDennis S. Tachiki :Total Quality Management is a structured system for delighting internal and external customers by integrating the business environment, continuous improvement, & employee Participation


What is TQM?According to ASQ:TQM is a management approach to long–term success through customer satisfactionIn TQM, all members of an organization participate in improving processes, products, services, and the culture in which they work


Why TQM? Strengthened competitive position Adaptability to changing or emerging market

conditions and to environmental and other government regulations

Higher productivity Enhanced market image Elimination of defects and waste Reduced costs and better cost management Higher profitability


Why TQM? Improved customer focus and satisfaction Increased customer loyalty and retention Increased job security Improved employee morale Enhanced shareholder and stakeholder value Improved and innovative processes


Evolution of TQM Our ancestors lived in a natural world

Improvement of quality started with improvement of hand tools

During the Middle -Age Quality to a large extent controlled by the long

periods of training required by the guilds Training instilled pride in workers for quality

product Workmanship was important


Evolution of TQM Industrial Revolution Instituted Specialization of

Labor A worker no longer makes the entire product Decline in workmanship Inspection and test to control deviation Quality control : a regulatory process

Beginning of Statistical Quality Control In 1942, W.A Shewhart developed a Statistical Chart

for control of product variables H. F. Dodge and H.G. Roming : Acceptance

Sampling as a substitute for 100% inspection Inspection and test control deviation


Evolution of TQM In 1946, American Society for Quality Control

was formed: Present name is ASQ Has promoted the use of Quality for all types of

production and service World War - II : Devastated Japanese Economy

1946: Japanese Union of Scientists & Engineers (JUSE)

1949: QC Research Group (Prof. Ishikawa) Training Course on SQC (up to 1989 : 189 courses

attended by 24,270 engineers)


Evolution of TQM 1950 : Dr. W.E. Deming Visited

Japan Training course & seminars for

Top Management in Large Cities Deming Prize : established in 1951

1954 : Mr. Joseph M Juran Visited Japan

1954 : Program in Radio 1956 : Program in Television 1962 : Gemba to QC : a Journal 1962 : Formation of first QCC


Characteristics of TQM A small Quality First-Not short term Profit Customer Orientation - Not Producer Orientation Next Process is Customer Statistical Methods Thoroughgoing Standardization/ Continuous

Systematic Improvement Management that Respect for Humanity Cross Functional Management


A Conceptual Framework of TQMEDUCATION & TRAINING

DEVELOP CONCEPT & ATTITUDE

REALISATION OF MISSION, GOAL, STRATEGY THROUGH

UTLISE TECHNIQUES TO ENSURE Quality

Customer Satisfaction/Delight

Next process is Customer

Working with Facts Everybody’s business

(commitment) Behavior

Modification

ENSURE MIND-SET

BenchmarkingPolicy Management,

Daily Management, QFD

5-S Techniques, Kaizen

Cross-Functional Mgt.QCC, SQC, FMEASuggestion SchemeQuality Assurance ENSURE

INVOLVEMENT & PARTICIPATION

Corrective Measure

Preventive Measure

Continuos Improvement

ENSURE FOOLPROOF & MISTAKE PREVENTION

GLOBALIZATIONNATIONAL POLICIES & REWARD SYSTEM

ENTERPRISEQUALITY DIAGNOSIS

Vision of future roleMissionGoalStrategy

Customer & Employee Satisfaction/ Delight

Top mgt. CommitmentAlign the Organization


Key Elements of TQMComparing with a building, elements of TQM can be divided into four groups according to their function. The groups are:Foundation:

Ethics, Integrity and Trust Building Bricks:

Training, Teamwork and LeadershipBinding Mortar:

CommunicationRoof:

Recognition


Key Elements of TQM

Ethics, Integrity and TrustTraining

TeamworkLeadership

RecognitionCommunication Communication

Communication

Com

mun

icat

ion

Com

munication


Principles of TQM? Produce quality work the first time Focus on the customer Have a strategic approach to improvement Encourage mutual respect and teamwork Improve continuously


Implementation of TQM TQM is an activity in which many people

participate Promoting of TQM is the duty of Top Managers But they need staff to organize it Which means A TQM Promotion Function is

required


Promotion of TQM An existing planning department or president’s/

CEO’s office may take responsibility Or a special TQM Promotion Office may be

established for the task At the same time A TQM Steering Committee

should be set up


Responsibilities of TQM Promotion Office

Drafting quality policies Drafting TQM promotion plans Acting as a secretary for TQM steering

committee Maintaining and promoting a policy management

system Acting as a promotion center for QCC circle

activities Planning and promoting in-house QCC training

and guidance


Responsibilities of TQM Promotion Office

Keeping records of important quality problems & monitoring problems in solving them

Planning, implementing and following up quality diagnoses by top management

Identifying the benefits achieved by promoting quality management


TQM Steering Committee Basically it is a committee that deliberates and

reviews all necessary matters for promoting quality management throughout the company

The committee is chaired by either company’s CEO or another senior executive with responsibility for promoting quality management and it members consist of representatives from various divisions


TQM Steering CommitteeThis committee is responsible forReviewing the quality management promotion plansReceiving and transmitting the information required to implement those plansDeliberating and formulating strategy for developing quality management activities

More vigorously & Effectively


MemberMemberMemberMember

Implementation of TQMSteering Committee

Facilitator FacilitatorFacilitator

Team Leader


Team Leader

Team Leader

Member

Member

Member



Team Leader

Member


What is QCC?The Quality Control Circle (QCC) is aA small groupWithin the same workplaceConduct meeting once a week for half an hourTo perform voluntary quality control activitiesCarries on quality control activities continuously as a part of institution wide quality controlFor self-development and mutual developmentWith all members participating


What is QCC?The Quality Control Circle (QCC) carries onContinuouslyAs a part of company-wide quality control activitiesControl and improvementWithin own workplaceUtilizing quality control techniquesWith all members participating


Objectives of QCC? To build a strong workplace To establish good management To enhance morale To improve human relations To create a culture of improvement at bottom

level To promote voluntary activities To think well and use wisdom To broaden the way of thinking To have better income To improve quality assurance


Considerations of QCC? People are not treated as part of the machinery People can use their wisdom and creativity in the

work they are engaged People can develop their ability as they are given

an opportunity to use their brain People are not isolated from each other. Working

in-groups creates harmonious human relations based on bonds and brother hood


Considerations of QCC? People can mutually educate themselves by

sharing an experience People are given an opportunity to be recognized To display human capabilities fully and

eventually draw out infinite possibilities


Quotation:

“ A Quality Circle will not last long unless the nature of its activities is voluntary and independent.”

- Kaoru Ishikawa


QCC ActivitiesDeming Cycle:It is an iterative four-step management method used in business for the control and continuous improvement of processes and productsIt is also known as the PDCA circle/cycle/wheel, Shewhart cycle, control circle/cycle, or plan–do–study–act (PDSA)

Deming Cycle


QCC Activities

Continuous quality improvement with PDCA

Multiple iterations of the PDCA cycle are repeated until the problem is solved


Responsibilities of Steering Committee

Identify Vision, Mission, Quality policy, Objectives and introducing them to the whole organization

Determining activities for quality promotion and evaluating the improvements

Employ Facilitator to support QCC Evaluating quality assurance, QCC, 5-S etc. Evaluating the presentation of Quality Control

Circles, Award and reward policy Arranging competition, Performing Quality Day

through out the institution


FacilitatorSteering committee will appoint a facilitator to facilitate the Quality Control CirclesOne facilitator will be employed for each & every circle Depending on capability one facilitator may help to more than one circleFacilitation will be additional to routine work


Facilitator is such a personnel who help the QCC to be self-reliant

QCC develop with the support of Facilitator Facilitator will support, help & inspire the QCC

in all circumstances even in critical situations Facilitator must have access to all offices of the

institute Traditionally is selected among mid level

management

Eligibility of Facilitator


Responsibilities of Facilitator Support and advice the QCC as a facilitator Arranging training program & providing training Monitoring the problems of QCC Act as a coordinator between the QCC &

organization Reporting the improvement of QCC in the

steering committee Support & inspire QCC to make presentation


Responsibilities of Facilitator Advise QCC Ensure to have pen, pencil, paper etc. when

needed Primarily act as an observer in the meeting Cordially communicate with the QCC leader &

members Assist to pursue QCC activities


LeaderWho will be the LEADER?Each & Every circle will have a leaderQCC member will select one as a leader among themTeam leadership may be rotated among the membersAccording to necessity deputy leader, even member secretary might be selected


Responsibilities of Leader Conduct meeting Maintain discipline in the QCC Establish a good relationship among the QCC

members Ensuring participation of QCC members without

any hesitation Ensure good team spirit Arranging meeting


Responsibilities of Leader Ensuring that, every member of QCC are aware

about the time and location of the meeting Discuss & take decision Make opening and closing remarks To maintain self-esteem of the members Guide QCC to achieve the goal Maintaining attendance, a record of meeting


Eligibility of the Leader

Might have the Proper knowledge on the activities of the circle

Have the ability to conduct the meeting Cordial attitude to the members


Responsibilities of Members Regularly & Timely attending meeting Master the art of problem solving tools properly Participate in the meeting diligently Listening when other member speak Participate in the management presentation Help the leader in all respect Have positive mind-set and act cordially with

members Maintain discipline


QCC Activities

Plan

Do

Action

Check

Sample Test/Trial & Error test


Challenges of TQM TQM is not a device, but it’s a matter of culture

that’s take time to adopt TQM is for long run, not short term profit Lack of leadership, commitment of the top

management Lack of effective measurement of quality

improvement Resistance of the workforce Lack of proper training/ Inadequate Human

Resource Development


Why TQM Fails? Top management is not concerned for its staff Top management is not committed to the TQM

program The company loses interest in the program after

six months The workforce and the management do not agree

on what needs to happen TQM is imposed on the workforce, which does

not inwardly accept it Processes and progresses are not analyzed,

systems are weak


Characteristics of Successful TQM Comp.

Strive for owner/customer satisfaction and employee satisfaction

Strive for accident-free workplace Recognize the need for measurement and fact-

based decision making Arrange for employees to become involved in

helping the company improve Train extensively Place a strong emphasis on the right kind of

leadership Strive for continuous improvement


5. Provide Quality Training Programs at regular interval

4. Outline the Vision Statement, Mission Statement, & Guiding Principles

3. Create Steering Committee and establish QCCs

2. Educate Upper-Level Management

How to start TQM?1. Obtain CEO/ Top Management Commitment


10. Establish Quality day: yearly competition and rewarding system

9. Monitor, motivate and follow-up regularly

8. Implement Process Improvements, Use the Tools of TQM

How to start TQM?

7. Consider the Employee as an Internal Owner/customer

6. Focus on the Owner/Customer (External) & Surveys


Tips for Successful Implementation of TQM

Start with a great BIG BANG, with bulletins, leaflet (emphasis on pictorial notice) etc.

Whatever the situation is, ensure regular meeting of the QCCs

Attend at the QCC meetings randomly, without notice and guide as necessary

Motivate & follow up regularly No alternative of rewards and recognitions

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