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    Chapter 2

    Managing Quality

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    Foodservice Organizations, 5th editionSpears & Gregoire

    2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Quality in the Foodservice System

    Quality

    Approach to business not a program

    Defined by customer through satisfaction

    Aimed at performance excellence Increases customer satisfaction

    Reduces cycle times and costs

    Eliminates errors and rework Quality customer service is goal of profit

    and non-profit organizations

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    Foodservice Organizations, 5th editionSpears & Gregoire

    2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Dr. Demings 14-Point System

    Developed 14-point system to help

    companies increase quality

    1.Improvements of products & services

    2.Adopt new philosophy of quality3.Cease dependence on inspection

    4.Do not choose supplier solely on price

    5.Constantly improve production & service systems

    6.Extensive on-the-job training

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    Foodservice Organizations, 5th editionSpears & Gregoire

    2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Dr. Demings 14-Point System

    7.Shift from production numbers to quality

    8.Drive out fear

    9.Break down barriers among departments

    10.Eliminate slogans & targets for workplace11.Eliminate numeric quotas for workforce

    12.Do not rob employees of pride or workmanship &

    eliminate annual ratings

    13.Program of education & self-improvement14.Work to accomplish preceding points

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    Foodservice Organizations, 5th editionSpears & Gregoire

    2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Management Approach

    Evaluating operations with goal of

    improving performance

    Quality assurance (QA)

    Total quality management (TQM)

    Continuous quality improvement (CQI)

    Six Sigma

    Reengineering

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    Foodservice Organizations, 5th editionSpears & Gregoire

    2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Quality Assurance

    Output oriented

    Defining measurable quality standards

    Controls in place to ensure standardsare met

    Reactive process

    Predicated on follow-up and inspection

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    Foodservice Organizations, 5th editionSpears & Gregoire

    2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Process Improvement

    Shift from individual tasks by individual

    employees to entire processes of several

    tasks by multiple employees

    Total quality management and

    reengineering commonly applied to

    these efforts

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    Foodservice Organizations, 5th editionSpears & Gregoire

    2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Total Quality Management

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    Foodservice Organizations, 5th editionSpears & Gregoire

    2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Total Quality Management

    Goal of improving performance of

    organization in response to customer

    needs and expectations

    Originated in manufacturing industries

    Now applied in colleges, universities,

    governmental agencies, nonprofit

    organizations, restaurants, clubs, & schools

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    Foodservice Organizations, 5th editionSpears & Gregoire

    2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Total Quality Management

    Helps organization focus on customer by

    identifying and satisfying their needs and

    expectations

    Customeranyone affected by a product orservice

    External Customeraffected by product but do not

    belong to organization that produces it

    Internal Customeraffected by product and dobelong to organization that produces it (employee)

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    Foodservice Organizations, 5th editionSpears & Gregoire

    2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Total Quality Management

    Encourages employee participation

    Identifying problem & finding solution

    Empowermentmanagers allow

    employees to act independently within

    their job descriptions

    Employees are permitted to make decisions

    in their area of work

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    Foodservice Organizations, 5th editionSpears & Gregoire

    2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Total Quality Management

    Involves teams of employees, leader, &

    facilitator to accomplish change

    Team projects aimed at improving product

    or service quality while reducing cost

    Facilitators teach communication, contribute

    information, challenge decisions, & share

    experiences

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    Foodservice Organizations, 5th editionSpears & Gregoire

    2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Total Quality Management

    Number of steps varies, usually includes:

    Identifying a problem

    Determining causes

    Developing measurable improvement Selecting & implementing best solution

    Collecting data to statistically measureresults

    Refining the solution

    Repeating the cycle

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    Foodservice Organizations, 5th editionSpears & Gregoire

    2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Total Quality Management

    Tools assist with identifying problems &

    guiding decision on changes needed

    Benchmarking

    Plan-do-check-act cycle

    Cause and effect diagrams

    Control charts

    Pareto analysis

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    Foodservice Organizations, 5th editionSpears & Gregoire

    2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Benchmarking

    Compare ones performance with best

    in class

    Assist managers to focus improvement

    efforts

    Companies, such as Press Ganey

    Associates, Inc, compile data for this

    comparison

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    Foodservice Organizations, 5th editionSpears & Gregoire2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Plan-Do-Check-Act Cycle

    Model for coordinating process

    improvement efforts

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    Foodservice Organizations, 5th editionSpears & Gregoire2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Cause and Effect Diagrams

    Illustrate factors that may influence or

    cause a given outcome

    Termed Ishikawa or fishbone diagrams

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    Foodservice Organizations, 5th editionSpears & Gregoire2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Control Charts

    Graphical record of process performance

    over a period of time

    Values of upper & lower control limits are

    drawn to help identify potential problems

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    Foodservice Organizations, 5th editionSpears & Gregoire2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Pareto Analysis

    80% of given outcome typically results

    from 20% of an input (a.k.a 80-20 rule)

    Vital few and trivial many

    Vital few causes, if identified and

    corrected, can have greatest impact on

    improving quality

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    Foodservice Organizations, 5th editionSpears & Gregoire2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Six Sigma

    Data-driven approach & technique foreliminating defects in any process, no morethan 3.4 defects per million opportunities

    DMAICS approach to quality improvement Define project goals

    Measure current performance of process

    Analyze and determine causes of defects

    Improve process by eliminating defects

    Control future process performance

    Standardize process for the future

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    Foodservice Organizations, 5th editionSpears & Gregoire2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Reengineering

    Rethinking & radical redesign of

    business processes to achieve dramatic

    improvements in performance

    Improving processes core to business

    rather than individual tasks

    Processend-to-end set of activities

    together create value for customer

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    Foodservice Organizations, 5th editionSpears & Gregoire2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    ISO 9000 Standards

    International standards on qualitymanagement

    Based on 8 principles

    Customer focus Leadership

    Involvement of people

    Process approach

    Systems approach to management Continual Improvement

    Mutually beneficial supplier relations

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    Foodservice Organizations, 5th editionSpears & Gregoire2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    External Recognition of Quality

    Individuals can receive certification

    Certified Quality Manager (CQM)

    Certified Quality Engineer (CQE)

    Certified Reliability Engineer (CRE)

    Organizations can be recognized

    Ohio Governors Award for Excellence

    Michigan Quality Leadership Award

    Missouri Quality Award

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    Foodservice Organizations, 5th editionSpears & Gregoire2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Malcolm Baldrige National Quality Award

    Recognize companies for achievements

    in quality & performance

    Promotes sharing of information on

    successful performance strategies

    Managed by U.S. Commerce

    Departments National Institute of

    Standards and Technology

    Open to business in U.S. or its territories

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    Foodservice Organizations, 5th editionSpears & Gregoire2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Malcolm Baldrige National Quality Award

    3 awards may be given each year in 5

    categories:

    Manufacturing

    Service

    Small business

    Education

    Health care

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    Foodservice Organizations, 5th editionSpears & Gregoire2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Malcolm Baldrige National Quality Award

    Criteria consists of 7 categories

    Leadership

    Strategic planning

    Customer and market focus

    Information and analysis

    Human resource focus

    Process management

    Business results

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    Foodservice Organizations, 5th editionSpears & Gregoire2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Joint Commission on Accreditation

    of Healthcare Organization

    Published original quality assurance

    standards for hospitals

    Independent, non-profit organization to

    set standards & accredit healthcare

    organizations

    Stimulating healthcare field to attain

    ever-high standards and provide care to

    American people

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    Foodservice Organizations, 5th editionSpears & Gregoire2004 Pearson Education, Inc.Upper Saddle River, New Jersey 07458

    Joint Commission on Accreditation

    of Healthcare Organization

    JCAHO standards:

    Address performance expectation in key

    functional areas (patient assessment,

    patient care, environment, etc.) Focus on what organization does, not what

    it has

    Developed in consultation with healthcareexperts, purchasers, & consumers

    Standards are scored using 5-point scale