Download - Total Quality Management - QPSP
TQM in PracticeTQM in Practice
Quality & Productivity Society of Pakistan
Get to Know You
NameEducation OrganizationExperience
Be on time
Keep confidences
Focus on the issues
Participate positively
Adult Rules
You can sleep Phone on silent mode Drink / Toilet
Learning Learning ObjectivesObjectives
What is Quality?
Purpose of TQM
What is TQM
TQM Evolution
Major Contributors to TQM
TQM Principles
TQM Applications / Tools
Current Global Scenario
How do you feel if you receive How do you feel if you receive a defective product?a defective product?
How do people feel if they receive a defective product?
Although it is one of the many distributed products, it is the only one for the person who received .
What is Quality?What is Quality?
QualityQuality
Fitness for Use(Juran 1988)
Quality is conformance to requirements or specifications (Crosby 1979)
Quality is fitness for use (Juran 1988)
Quality should be aimed at the needs of the consumer, present and future (Deming, 1986)
QualityQuality
DEMING SAID…
“Reduced variation is Quality.”
Integrated QualityIntegrated Quality
QualityQuality
CustomerRequirements
ProcessCapability
CostCost
Selling Price
Production Cost
DeliveryDelivery
Customer Schedule
Process Speed
Supplier
Customer
CustomersCustomers
“Anyone who thinks customers are not important should try doing BUSINESS without
them for a week”
Source : Unknown
Types of CustomersTypes of Customers
External Customers Final Customers/End-Users Intermediate
Internal Customers
● By materializing permanent, continuous customer satisfaction, ensure long-term, healthy profit for the business and promote the growth ● The “purposes” include the satisfaction of employees, convenience to the societies, and improved profits to business associates, shareholders and all other parties related to the business.
Business PurposesBusiness Purposes
Competitive Advantage
The ability of a firm to win consistently over the long term in a competitive situation.
Competitive advantage is created through the achievement of five qualities
Non-substitutability Appropriability
Superiority Inimitability Durability
1 Production of perfect, defect-free products
2 Development of new products/new technologies
3 Reduction of production costs
4 Labor-saving via introduction of advanced production technologies
5 Consumption of less material and energy in production
6 Elevation of customer satisfaction (CS)
7 Prevention of product-liability (Warranties)
8 Improvement of financial structure
9 Environmental protection, pollution prevention
10 Tributes to mankind, elevation of employee satisfaction (ES)
Competitive Advantage
Why TQM is RequiredWhy TQM is Required
Total Quality Total Quality ManagementManagement
TQM
Made up of the wholeMade up of the wholeTotal
Therefore, TQM is the art of managing Therefore, TQM is the art of managing the whole to achieve excellencethe whole to achieve excellence.
Management
Quality Degree of excellence a Degree of excellence a product or service product or service providesprovides
Art of Planning, Art of Planning, Organizing, Organizing, Controlling etc.Controlling etc.
All personsAll persons
Of all divisionsOf all divisions
At every stratum At every stratum
MBO, Kaizen, QC Circle, 5S, TPM MBO, Kaizen, QC Circle, 5S, TPM
SQC,SPC, FMEA, MSA, OEESQC,SPC, FMEA, MSA, OEE
Q(Quality):Quality improvementQ(Quality):Quality improvement
C(Cost):Cost reductionC(Cost):Cost reduction
D(Delivery):Delivery executionD(Delivery):Delivery execution
S(Safety):Safety maintenanceS(Safety):Safety maintenance
E(Environmental):Environmental protection E(Environmental):Environmental protection M(Morale):Morale boostingM(Morale):Morale boosting
SystemSystem
MethodMethod
PurposePurpose
TQ
M m
eansT
QM
means
Meaning of TQMMeaning of TQM
Systematic activities of operating the whole units of a company effectively and efficiently to supply goods and services of quality satisfactory to customers at right time and at right price, thus contributing to attaining Business Purposes.
Definition of TQMDefinition of TQM
History of TQMHistory of TQM
Three Major Mfg SystemsThree Major Mfg Systemsfrom 1800 to 2000from 1800 to 2000
1800 1900 2000
Machine tools, specialized machine tools, Taylorism, SPC, CNC, CAD/CAM
Interchangeable Parts at U.S. Armories
Mass Production at Ford
Toyota Production System
Key Elements for New Mfg SystemsKey Elements for New Mfg Systems
Element/
System
Need of Society
Enabling Technology
Leader
Interchange-able Parts
Military Machine
Tools,
Division of
Labor
Roswell Lee/
John
Hall
Mass
Production
Trans-
portation
Moving
Assembly
Line,etc
Henry
Ford
Toyota Production System
Post War CNC, Integration of Labor
Taiichi
Ohno
Operator
Quality Control
Foreman
TQM
1900 1918 1920 1980
Evolution
1940
Quality Assurance
TQM EvolutionTQM Evolution
TQM GurusTQM Gurus
Major Contributors to the development of TQM
Dr Edwards Deming Dr Joseph Juran Philip Crosby Armand Feigenbaum Prof. Kaori Ishikawa Genichi Taguchi Masaaki Imai
Deming
Statistician by training Contributions include
14 points for Management The PDCA cycle (Shewhart cycle)
Juran
Involvement of people within Quality Placed emphasis on training process
supervision and operators Primary focus to reduce Cost of
Quality Juran suggests a 10 point plan
Crosby
First to popularize Quality for top management Claimed that all Quality improvement pay for
themselves I.e. that Quality is Free Defines quality as conformance to requirements The only performance indicator is the cost of
quality The only performance standard is zero defects
Feigenbaum
Originator of ‘Total Quality’ conceptDefinition of Quality costs (1956)
Appraisal costsPrevention costsFailure costs
Developed 10 benchmarks for quality success
Ishikawa
Developed several tools and techniques for application Ishikawa cause and effect diagram Defined the seven basic tools of quality
management
Taguchi
Developed concept of the ‘Loss Function’Deviation from target value causes losses
Internal - increased cost of manufacture, increased cost of supply
External - Customer dissatisfaction, warranty costs, loss of reputation & ultimately loss of market
Taguchi implies that Design has a vital Quality function
Imai
Known for the development of ‘Kaizen philosophy (1986)
Focus of improvement activities to the factory shop floor
TQM
Strategic Business
Policy Management
Business Elements
Management
day-to-day Management
Strategic QC Circle
Activities
Activities Conducive to Better Corporate Management
Various ActivitiesTQM
ISO 9001, 14001, 17025, ISO/TS 16949, SA 18001 etc.
KAIZEN, 5S, QCC
TPM, SPC
Six SigmaImprovement in the Quality of
Corporate Management
JIT
and so on
Fusion
TQM as All-Around Activities
MBO, COQ
Application by Management
Many companies now interested in process improvement Statistical Process Control (SPC) Six-sigma quality improvement programmes Benchmarking process performance Business Process Re-engineering
Break
TQM ApplicationTQM Application
TQM FOR TOP MANAGEMENT
Strategic Quality Management (SQM)Competitive Advantage
Strategic Management
Process
Determine strategic intent
Define organizational mission
Analyze environment
Set objectives
Determine requirements
Assess resources
Develop action plans
Implement plans
Monitor outcomes
Strategic Planning Feedback
KPIs Associated with the Cost Leadership Strategy
Objective Setting through SWOT
SWOT ANALYSIS
Internal Strengths Weaknesses
External Opportunities Threats
OTOTSWSW
1.1. In-House WastageIn-House Wastage
2.2. In-House ReworkIn-House Rework
3.3. In-House RejectionsIn-House Rejections
4.4. Warranty – OEMs & Dealers Warranty – OEMs & Dealers
5.5. Receiving Inspection RejectionReceiving Inspection Rejection
TQM AWARDS & FRAME WORKS
Certifications
•ISO 9001:2000 •ISO 14001:2004•ISO 22000:2005 •OHSAS 18001:2007 •SA 8000•ISO 17025•ISO/TS 16949
Awards
•Malcolm Baldrige National Quality Award•EFQM•Deming Award•Corporate Excellence Award – MAP
Operational Excellence
•Lean Management•Six Sigma•Total Productive Maintenance
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PILLARS OF TPM
TPM
Overall Equipment Effectiveness = Availability x Performance x Quality
Yield
Overall Equipment Effectiveness = Availability x Performance x Quality
Yield
Elements of OEE
Availability = Operating Time Total Time Available
Availability = Operating Time Total Time Available
Performance = Ideal Cycle time x No. of Parts Produced Operating Time
Performance = Ideal Cycle time x No. of Parts Produced Operating Time
Quality = Good Parts .
Total Parts Produced
Quality = Good Parts .
Total Parts Produced
TQM FOR WORK FORCE
KAIZENs – KAIZEN BlitzQC CirclesPoke Yoke
3KAIZEN System
KAIZEKAIZENN
KAIZEN Form, Manual & Criteria
KAIZEN Awareness Sessions
Two Monthly Routine KAIZEN CeremonyCash Award & Certificate
Bi-Annual Best KAIZEN CeremonyCash Award
Shield
Aim is Thinking Aim is Thinking WorkersWorkers
It’s not the tip of the iceberg
that’s the problem….It’s what you can’t see…
10% Visible to managers
30% Visible to foremen
60% Visible to workers
Principle of iceberg
Iceberg over water surface
Water surface
Iceberg under water
Examples
Examples
5QC Circles
QC QC CirclesCircles
QC Circle Registration Form
QC Story Awareness Sessions
Bi - Annual Routine QC Circles CeremonyCash Award
Certificate
Annual Best QC Circle CeremonyCash Award
ShieldAim is Let’s Join Aim is Let’s Join
HandHand
TQM FOR BUSINESS PARTNERS
Vendor Development Activity
What we DiscussedWhat we DiscussedWhat is Quality?
Purpose of TQM
What is TQM
TQM Evolution
Major Contributors to TQM
TQM Principles
TQM Applications / Tools
JURAN SAID…
“All quality improvement occurs on a project-by-project basis and in no other way.”