tqm unedited

8/8/2019 TQM Unedited

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Total Quality Management

BY-

ABHISHEK K.

AJISHA D.

ANJALI

ANAND MOHAN

AMAL


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Approaches to define Quality

User Based Approach

Defined as Fitness for use

Viewed from users perspective and is dependent onhow well does the product meet needs of the consumer.

Also known as Customer Oriented Approach

Production Based Approach

An outcome of engineering or operational excellenceand is measured in terms of quality of conformance

The producer has specifications and produces theproduct as per the specifications


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Approaches to define Quality

Value Based Approach

Quality is viewed in context of price

Quality is satisfactory, if it provides desired

performance at an acceptable price

Customer looks at the total value proposition

and not the price alone

ice

BenefitsValue

r!


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Attributes of Quality

Performance

Products primary operating characteristics

Features

Augmented product The bells & whistles of theproduct

Reliability

Ability of the product to function at the specified levelof performance

Conformance

Degree to which characteristics of the product meet pre-established standards


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Attributes of Quality

Durability

Length of time a product can be used before itdeteriorates or becomes non functional

Serviceability

Speed, competence & courtesy of providing ASS

Aesthetics

Look, feel sound, taste, smell

Perceived Quality Resulting from advertisement, image, brand name,

earlier use, hearsay


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EVOLUTION of TQM

CRAFTSMEN & ARTISANS(eg. Artists,

Sculptors, working with metals & other materialswho were very Quality-conscious.

TRADESMEN (eg.Masons,Carpenters etc.)

ENGINEERING TRADES & PRACTICES

(eg.Foundry,Smithy, Die-making,Mould-

making,Stamping,Forging,Turning,Milling,

Drilling etc. )


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TQM Evolution

Custom-built Articles/Products having considerable controlover Quality.

Mass- Produced Products with less control over Quality

Quality control Department in Factories.

TQM-based Production facility enhancing theOrganization through Quality techniques to better achieveorganizations goals-eg. Productivity and Profitability withmin.wastage.

ISO Quality Management Systems.


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Evolution of quality Era

91900 1920 1940 1960 1980 1990 2000

Craftsman

Foreman

Inspection

SQC

TQC

TQM

TQC &CWQC

Evolution

Years


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Evolution of quality Means & Focus

10

19751980 1985 1990 1995 2000

Operation Customers Innovations

Quality of

Work life

Quality

Circle

Productivity

Employee

Involvement

Quality

Employees

Empowerment

Total

Quality

Self DirectedTeams

TQC/TQM

Self

Directed/Managed

Teams


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In TQM,

Total Involvement of all levels in the

organization

Quality Conformance to agreed upon

requirements

Management Best use of available resources to

achieve Total Quality


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12

DefinitionTotal Quality Management (TQM) is

a management strategy aimed at

embedding awareness ofquality in all

organizational processes.


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ExplanationTQM requires that the company

maintain this quality standard in all

aspects of its business.This requires ensuring that things

are done right the first time and that

defects and waste are eliminated

from operations.


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Whats the goal of TQM?

Do the right

thingsrightthe first

time,everytime.


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TQM is a comprehensive management

system which

Focuses on meeting owners/customers needs, by

providing quality services at a reasonable cost.

Focuses on continuous improvement.

Recognizes role of everyone in the organization.

Views organization as an internal system with a

common aim. Focuses on the way tasks are accomplished.

Emphasizes teamwork


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TQM focuses on:-

CUSTOMERSATISFACTION

ORGANISATION

STRUCTURE

EMPLOYEEINVOLVEMENT

QUALITYCIRCLES

TRANING

LEADERSHIPQUALITYPOLICY

QUALITY COST

REWARD


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TQM beliefs

Following are the universal Total Quality Managementbeliefs: Owner/customer satisfaction is the measure of quality

Everyone is an owner/customer. Quality improvement must be continuous.

Analysis of the processes is the key to quality improvement.

Measurement, a skilled use of analytical tools, and employeeinvolvement are critical sources of quality improvement ideas andinnovations

Sustained total quality management is not possible without active,visible, consistent, and enabling leadership by managers at alllevels

It is essential to continuously improve the quality of products andservices that we provide to our owners/customers


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Gurus of TQM

Dr. W E Deming Dr. J M Juran Dr. Philip Crosby


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Gurus of TQM

Dr. Kaoru IshikawaDr. Genichi Taguchi Dr. Masaaki Imai


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Gurus of TQM

Dr. Shigeo Shingo Dr. Yoshio Kondo Dr .Armand V. Feigenbaum

Dr. James Harrington


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The Deming philosophy

14 points for management:

1. Create and publish to all employees astatement of the

aims and purposes of the company. The managementmust demonstrate their commitment to this statement.

2. Learn the new philosophy.

3. Understand thepurpose of inspection to reduce the costand improve the processes.

4. End the practice of awarding business on the basis ofprice tagalone.

5. Improve constantly and forever the system of productionand service.


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The Deming philosophy

6. Institute training

7. Teach and institute leadership.

8. Drive out fear. Create an environment of innovation.

9. Optimize the team efforts towards the aims andpurposes of the company.

10. Eliminate exhortations for the workforce.

11. Eliminate numerical quotas for production.

12. Remove the barriers that robpride of workmanship.13. Encourage learning and self-improvement.

14. Take action to accomplish the transformation


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W E Deming PDCA Cycle


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Seven Deadly Sins

Lack of vision and mission as regards quality &process improvement

Emphasis on short term profit

Personal performance appraisal systems

Mobility of management

Running a company on visible figures alone

Customer satisfaction level

Employee morale Relationship with your vendors

Confidence the market has in your company


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Seven Deadly Sins

Excess non-productive expenditure

Excessive cost of warranty


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J M Juran

Developed the idea of trilogy

Quality Planning

Quality Improvement

Quality Control

Conformance to specifications is necessary but not

sufficient requirement of a product. Fitness for use by the consumer of the targeted

market segment is an essential requirement in

addition to conformance


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Jurans 10 Points

Build awareness of need and opportunities forimprovement

Set goals for improvement

Organise the overall improvement programme Provide the training

solve problems through project methodology

Report progress

Give recognition

Communicate results

Keep score

Institutionalise the improvement process


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Philip Crosby

Do it right the first time

Zero Defects

Absolutes of QM Quality is defined as conformance to requirements, not as

'goodness' or 'elegance'

The system for causing quality is prevention, not appraisal Quality is Free

The performance standard must be Zero Defects, not "that's closeenough"

The measurement of quality is the Price of Non-conformance, notindices.

Cost of quality is only the measure of operational performance


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Philip B. Crosbys 14 Points

Make it clear that management is committed to quality.

Form quality improvement teams with representativesfrom each department.

Determine where current and potential quality problems

lie.

Evaluate the cost of quality and explain its use as amanagement tool.

1)

2)

3)

4)


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Raise the quality awareness and personal concern of all

employees.

Take actions to correct problems identified through

previous steps.

Establish a committee for the zero defects programme.

Train supervisors to actively carry out their part of thequality improvement programme.

5)

6)

7)

8)



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Hold a zero defects day to let all employees realise that

there has been a change.

Encourage all individuals to establish improvement

goals for themselves and their groups.Encourage employees to communicate to management

the obstacles they face in attaining their improvement

goals.

Recognise and appreciate those who participate.

9)

10)

11)

12)



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Establish quality councils to communicate on a regular

basis.Do it all over again to emphasise that the quality

improvement programme never ends.

13)

14)



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Quality TQM principles

People will produce quality goods and services when themeaning of quality is expressed daily in their relations.

Inspection of the process is as important as inspection of

the product. Probability of variation, can be understood by scientific

methods.

Workers work in the system to improve thesystem; managers work on the system to improve the

system. Total quality management must be consistentlytranslated into guidelines provided to the wholeorganization.


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Envision what you desire , but start working fromwhere you actually are.

Cleaner site and safer place to work is alsoimportant.

Accept the responsibility for quality.

Use the principle of get it right, the first time,

every time. Understand that quality is a journey, not a

destination


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How to begin Continuous improvement

Start setting goals, and start meeting the goals you haveset.

Management indicate complete commitment to Continuous

Improvement (CI). Identify stages

Establish responsibility

Set the datum

Pre-Plan

Regard each project as part of a cycle Each worker regard himself or herself as a quality

inspector of his or her task


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Reasons to Begin Now

The reasons to begin establishing quality improvementprocesses are several.

For Management

Provides an invaluable problem-solving tool. Dispels negative attitudes.

Management becomes more aware of individuals workenvironment.

Employees gain a sense of participation.

Increases efficiency and productivity.

Reduces turnover rate, tardiness, costs, errors, and scrap &rework.

Improves communications within and among all departments.


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Develops management skills that were nevertaught.

Develops overall company awareness andcompany unity.

Rearranges priorities which once seemed locked inplace.

Builds loyalty to the company. Reveals training requirements in all departments.

Lessens the number of defects


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For employee:

Provides opportunity for personal growth and development.

Increases innovation.

Employees use their knowledge and skills for well-informed

decision- making.

Encourages decision-making at the most appropriate level.

Increases motivation and acceptance of new ideas

Increases job satisfaction.

Recognizes employees for their talents. Develops mutual respect among employees, management and

customers.

Promotes teamwork


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Steps in implementing TQM

Obtain CEO Commitment

Educate Upper-Level Management

Create Steering Committee

Outline the Vision Statement, Mission

Statement & Guiding Principles

Prepare a Flow Diagram of Company Processes

Focus on the Owner/Customer (External) &

Surveys


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Consider the Employee as an Internal

Owner/customer

Provide a Quality Training Program Establish Quality Improvement Teams

Implement Process Improvements

Use the Tools of TQM

Know the Benefits of TQM


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Obtain CEO Commitment.

Educate upper level management.

To educate the upper level management we have toconduct the following: Undergo quality training

Commit to TQM and provide the necessary resources.

Assist in the development.

Serve as a model of expected behaviour.

Actively lead the way.

Drive fear out of the organization

Provide suitable recognition.

Drive decision making and problem resolution


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Create a steering committee.

Upon completion of upper managements

commitment and training, a steering committee

must be created to guide the company through theprocess of implementing TQM.


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Steering committee roles are.

Review and evaluate customer surveys.

Determine processes to be improved.

Appoint task process improvement teams.

Monitor process improvement.

Oversee employee recognition for quality

improvement. Communicate successes and progress


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Outline the Vision Statement, Mission Statement, & Guiding

Principles

Establishing guiding principles:

Important principles to consider including in thecompanys vision statement, mission statement, andguiding principles are as follows:

Owner/customer Satisfaction. Improved Safety.

Elimination of errors and defects.

Doing things right, the first time.

Reputation as the best in the field. Continuous Improvement.

Employee Empowerment


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Prepare a Flow Diagram of Company

Processes:


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Focus on the Owner/Customer (External) &

Surveys Focusing on a customers concerns Several areas to survey, and

to take care to provide or honour, are listed here:

Safe operating procedures

Accident experience Attitude

Professional competence

Technical competence of the work force

Overall responsiveness to owner/customer requests

Planning Condition of equipment

Timeliness


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Successful TQM companies have asked their

owner/customers the following

questions:

How well do we deliver what we promise?

How often do we do things right the first time?

How often do we do things right on time?

How quickly do we respond to your request? How accessible are we when you need to contact us?

How helpful and polite are we?

How well do we speak your language?

How well do we listen to you?

How hard do you think we work at keeping you a satisfied owner/customer?

How much confidence do you have in our products or services ?Etc


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Consider the Employee as an Internal

Owner/Customer

In order to conduct an analysis of the internal processesfollowing steps should be applied:

List several of your internal owners/customers withinyour company

Choose one of these owners/customers to focus on forthe application of this technique

Determine the Output s (products, services, information)that must be provided to this internal owner/customer

Determine the work Processes your company uses to

produce these Outputs Learn how your customers expectations are met and

how satisfaction is measures


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Provide a Quality Training Program

The successful TQM company provides training toemployees in the order illustrated in the list below:

Upper Management

Remaining Management

In-House Trainers & Facilitators

Front-Line Supervisors

Non-Supervisory Employees Team Training

Training of Subcontractors & Suppliers


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Establish quality improvement teams

A quality improvement teams focuses onfollowing areas for improvement:

Increased Employee Value

Informed Employees

Technical Training

Quality Training

Employee Suggestions

Employee Participation

Higher Quality of Artistry

Personal Development


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The quality improvement team tasks are:

Identify the customers of the process

Determine customer expectations

Flowchart the process

Identify all of the inputs and interfaces

Identify the output(s)

Systematically review the procedures currentlybeing used in the process

Collect and analyze available quantitative data


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Determine the need for additional data

Identify the problem(s)

Determine the root cause of the problem Determine potential solutions

Select a trial solution

Present recommendations to the steering committee

Implement the solution on a pilot-project basis Analyze the data to discern if there has been

improvement


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Implement Process Improvements:

The structure approach to process improvement is as follows:

Problem is brought to the attention of the steering committee

Steering committee forms a team to examine the process andmake necessary recommendations for improvement

Team meets, reviews its mission, and determines how oftenit will meet

Training is initiated for team members

Team meets weekly for an hour or two to analyze the

problem and develop a solution Solution is initiated on a pilot basis

Results of pilot study are examined

Solution is implemented company-wide


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Use of Tools:

Seven classical tools of quality and processimprovement, plus one, are presented below.

Flow chart: Portrays all the steps in a process.Helps understand the process.

Cause and Effect Diagram: Portrays possiblecauses of a process problem. Helps determineroot cause

Control Chart: Shows if a process has too muchvariation


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Seven Classical Tools (Contd)

Histogram : Portrays the frequency of occurrence.Check Sheet : Tabulates frequency of occurrence.

Pareto Diagram : Visually portrays problems andcauses in order of severity or frequency. Helpsdetermine which problem or cause to tackle first.

Scatter Diagram : Helps determine if two variablesare related.

Run Chart : Shows variation and trends with time.Provides baseline data, and helps to determine if a

process is improving or not


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Benefits of Quality

Higher customer satisfaction

Reliable products/services

Better efficiency of operations

More productivity & profit

Better morale of work force Less wastage costs

Less Inspection costs

Improved process

More market share

Spread of happiness & prosperity Better quality of life for all.


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The cost of quality:

Why do we implement the information related to

TQM into our companies? To make more money

and/or to stay in business. If you dont implementTQM/CI, it will cost your firm money.

Cost of Quality=Cost of Non-conformance +Cost Prevention


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What are the benefits of TQM? (contd.)

The Cost of non-conformance

Omissions

Errors

Poor Product Quality

Being Late


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The Cost of nonconformance lead us to

Rework

Recalls

Expediting

Removal of punch list items

Time extensions

Litigation costs and damages Penalties and liquidated damages

Increased insurance costs


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Whats it going to cost us to do TQM? you ask.

Well, what is it costing you now NOT to do it? . . .

What is your cost of quality? IF you dont havethe real facts, the truth is you really dont know,

. . . but you probably sense what your cost of

quality is costing you. You can feel it, and its not

a comfortable feeling


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The four types of quality cost are:

Prevention Cost

Cost associated with time spend in planning the

quality system Consists of the following

Process control costs

Information systems costs Training Costs

General Management cost


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Appraisal Costs

Cost incurred on measurement & analysis of data in order todetect & correct problems

Consist of

Cost of maintaining, testing & inspection

Process control costs Internal Failure Cost

Incurred due to non-conformance

Include

Scrap and rework costs

Cost of corrective action

Downgrading costs


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External Failure Cost

Occur when poor products reach customer

Include

Costs of customer complaints and returns

Product recall costs

Warranty claims costs Product liability costs


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Economics of Quality of Conformance

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Internal & External Failure Cost

Prevention & Appraisal Cost

Optimum Total Cost

Total Cost

Obstacles


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Obstacles

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Top management commitment

Changing Organization Culture

Improper planning

Continuous Training & Education


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Obstacles

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Organization Structure & Departments

Datas & Facts For Effective Decisions

Internal & External Customers-Dissatisfaction

Empowerment & Teamwork

Continuous Improvement


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EXAMPLE

Itisthe aim ofABB Kent MetersLtd tosupplyproducts and

services whichcompletelysatisfyourcustomers.Kent MetersMission Statement


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THANK YOU

Quality is a Journey,

not a Destination

tqm unedited

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