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Companywide Assessment of Quality Chapter 2

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Page 1: Companywide Assessment of Quality Chapter 2. Fig. 2-1

Companywide Assessment of Quality

Chapter 2

Page 2: Companywide Assessment of Quality Chapter 2. Fig. 2-1

Fig. 2-1

Page 3: Companywide Assessment of Quality Chapter 2. Fig. 2-1

Fig. 2-2

Page 4: Companywide Assessment of Quality Chapter 2. Fig. 2-1

Fig. 2-6

Page 5: Companywide Assessment of Quality Chapter 2. Fig. 2-1

ISO 9000 Relationship

• ISO 9000 and TQM are not completely interchangeable: – ISO 9000 is compatible with, and can be a

subset of TQM; – ISO 9000 is frequently implemented in a non-

TQM environment; – ISO 9000 can improve operations in a

traditional environment; – ISO 9000 may be redundant in a mature TQM

environment; and – ISO 9000 and TQM are not in competition.

Page 6: Companywide Assessment of Quality Chapter 2. Fig. 2-1

Origin of ISO9000

• Developed in response to the need to harmonize dozens of national and international standards relating to quality.

• Management of the system – Satisfying customer’s quality requirements– Complying to regulations or– Meetng environmental objectives

Page 7: Companywide Assessment of Quality Chapter 2. Fig. 2-1

ISO 9000 series and 14000 Series: 8 Quality Management Principles

• Principle 1: Customer Focus• Principle 2: Leadership• Principle 3: Involvement of

people• Principle 4: Process approach

Page 8: Companywide Assessment of Quality Chapter 2. Fig. 2-1

Quality Management Principles

• Principle 5: System approach to management• Principle 6: Continual improvement• Principle 7: Factual approach to

decision making• Principle 8: Mutually beneficial

supplier relationships

Page 9: Companywide Assessment of Quality Chapter 2. Fig. 2-1

Motivations for Implementing ISO9000

To improve operations To improve or create a quality

management system To improve the consistency of quality To improve customer satisfaction To improve competitive posture To conform to the requirements of

customers.

Page 10: Companywide Assessment of Quality Chapter 2. Fig. 2-1

What is ISO 9000, 9001, 9002?

• ISO 9000 Standards• Covers all technical fields• Not limited for any particular discipline,

organization size, etc.• An organization can be certified against one of

these 3 quality systems

Page 11: Companywide Assessment of Quality Chapter 2. Fig. 2-1

ISO 9001

• For organizations whose business processes include:–Design and Development–Production– Installation– Servicing (after market service)

Page 12: Companywide Assessment of Quality Chapter 2. Fig. 2-1

ISO 9002

• For organizations whose business processes include:–Production– Installation– Servicing–NOT design control

Page 13: Companywide Assessment of Quality Chapter 2. Fig. 2-1

ISO 9003

• For organizations whose business processes include:– Inspection– Testing– BUT NOT• Design control• Process control• Purchasing• Or servicing

Page 14: Companywide Assessment of Quality Chapter 2. Fig. 2-1

To Pursue ISO Certification

• Develop a quality system that meets requirements specified under one of the 3 standards

• Need to invite an accredited external auditor to evaluate the effectiveness of your system

• Requirements

Page 15: Companywide Assessment of Quality Chapter 2. Fig. 2-1

Costs

• Consultants ($10,000-20,000)• Time spent documenting• Fees

Page 16: Companywide Assessment of Quality Chapter 2. Fig. 2-1

ISO 14000

• Concerned with “environmental management”

• What does organization do to “Minimize harmful effects” on environment caused by it activities.

Page 17: Companywide Assessment of Quality Chapter 2. Fig. 2-1

ISO 14000 Benefits

• Reduce raw material/resource use• Reduce energy consumption• Improve process efficiency• Reduce waste and deposal costs• Utilization of recoverable resources

Page 18: Companywide Assessment of Quality Chapter 2. Fig. 2-1
Page 19: Companywide Assessment of Quality Chapter 2. Fig. 2-1

Malcolm Baldrige Award Purpose

• To help improve organizational performance practices, capabilities, and results

• To facilitate communication and sharing of best practices information among U.S. organizations of all types

• To serve as a working tool for understanding and managing performance and for guiding organizational planning and opportunities for learning.

Page 20: Companywide Assessment of Quality Chapter 2. Fig. 2-1

20

Quality Assessment

• The Malcolm Baldrige National Quality Award evaluates candidates for the award according to criteria in several categories as follows: Leadership Strategic planning Customer and market focus Measurement, analysis and knowledge

management Human resource focus Process management Business results

David GoetschQuality Management, 5e

Copyright ©2006 by Pearson Education, Inc.Upper Saddle River, New Jersey 07458

All rights reserved.

Page 21: Companywide Assessment of Quality Chapter 2. Fig. 2-1

Organizational Profile: Environment, Relationships, and Challenges

1:

Leadership

2: Strategic Planning

3:Focus on Patients,

Other Customers,

and Markets

5: Human Resource

Focus

6: Process Management

7: Results

4: Measurement, Analysis, and Knowledge Management

Page 22: Companywide Assessment of Quality Chapter 2. Fig. 2-1

Case Study

• You will have a PDF file of the Balridge resource criteria booklet

• You will have a Comment matrix template • You will have a key factor worksheet• Each assignment you will review the case

study and:– Using bullet points fill in the section (both

strengths and OFIs)– Turn in just that section as homework

Page 23: Companywide Assessment of Quality Chapter 2. Fig. 2-1

Any questions?


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