Download - TQM
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BAHRIA UNIVERSITY ISLAMABADDepartment of Management Sciences
Subject: Total Quality ManagementCredit Hours: 3 hours per week
Course Outlines MODULE – I
THE TQM PHILOSOPHIES AND CONCEPTS.
Introduction to Quality. Introduction, The Definitions of Quality, Historical
Evolution of Quality, The Emergence of TQM Philosophy, TQM as a Competitive
Business Quality Philosophy, TQM in Manufacturing and Services.
The TQM Concepts. The Definition of TQM, The TQM Concepts, Dr William
Edwards Deming’s Concepts of TQM, Joseph M. Juran’s Steps of TQM, Phillips
B. Crosby’s Concepts of TQM, A.V. Feigenbaum’s Philosophy of TQM, Dr Kaoru
Ishikawa’s Commitments of TQM, Dr. Genichi Taguchi’s Principles of TQM, John
S. Oakland’s Approaches of TQM, Dr Nawar Khan’s Contributions to TQM, The
Synthesis of Common Concepts and Principles of TQM Philosophy, The
Common Concepts (Factors and Elements) of TQM Philosophy.
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MODULE –II
THE TQM TOOLS AND TECHNIQUES
The TQM Transformation Strategy. Introduction, Transformation Strategy of TQM
Philosophy, The Difficulties in Transformation, TQM Tools and Techniques.
The TQM Tools and Technique. Introduction, The Role of TQM Tools and Techniques in
Quality Management, The Power of Quality Tools and Techniques, Achievements
through Application of TQM Tools and Techniques, Selecting the Right Quality Tools
and Techniques for the Right Purpose, Classification and Functions of TQM Tools and
Techniques, Forms of TQM Tools and Techniques, Types of TQM Tools and
Techniques, The Impact of TQM Tools and Techniques on Processes, Affiliation of the
TQM Tools and Techniques, Discussion of a few TQM Tools and Techniques, Selection
and Implementation of TQM Tools and Techniques,
Six - Sigma Quality.
Introduction, Design Specification, Six - Sigma Quality, Six - Sigma (Metrics) in
Practices, Six - Sigma (Metrics) versus Six - Sigma (Technique), Implementation
Methodology of 6-Sigma Technique, Process Capability, Process Capability Indices,
Quality Improvement Mechanism, The Vital Role of Technology, The Status of Six -
Sigma Technique and Technology in the Country.
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MODULE –III
QUALITY MANAGEMENT SYSTEMS
The Development of a Quality Management System. Introduction, The Quality
Evolution, The First Stage – Inspection, The Second Stage – Quality Control (QC), The
Third Stage – Quality Assurance System (QAS), The Fourth Stage – Quality System
Accreditation (QSA), National Quality Improvement Initiatives.
A Quality Management System Standard. Introduction, Principles of Quality
Management System Standard, Clauses of ISO 9001:2000 Quality Management
System Standard, Detail Descriptions of each Clause of the Quality Management
System Standard – Requirements, Correspondence Between ISO 9000:1994 and
Version 2000, ISO 9000 Quality Management System Standard Documentation, ISO
9000 Quality Management System Audits, ISO 9000 Quality Management System
Certification, Choosing an Accredited Certification Organization, ISO 9000
Continuous Quality Improvement Model, Others Quality Management system
Standards, ISO 9000 Quality Management System Standard and Pakistan National
Quality Award, Implementing the ISO 9000 Quality Management System Standard,
Benefits of ISO 9000 Quality Management System Standard Certification, Update on
ISO 9001:2008.
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MODULE – IV
THE TQM AWARD MODELS
The Fundamentals of a TQM Assessment Award Model. Introduction, Major
Attributes of a TQM Assessment Award Model, Validation of a TQM Model,
The Validation Process, A Complete TQM Philosophy Model.
The TQM Award Models. Introduction, Types of TQM Models, Conceptual
Models, Implementation Models, Assessment Models, The Existing TQM
Assessment Models, Criteria Set of Different National Quality Awards, The
Best Known TQM Assessment Award Models.
The Best Known TQM Assessment Award Models. Introduction, The
Deming Prize, The Malcolm Baldrige National Quality Award, The European
Quality Award, The International Quality Award, The Pakistan National
Quality Award, TQM (IQA Factors and Elements) can Lead to CBP, The TQM
House Based on the IQA Model, TQM Philosophy Challenges and the
National Initiatives.
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Recommended Books 1.Nawar Khan (1999). Total Quality Management – Concepts, Tools, Systems and Awards
2. A. C. Parkinson, First year Engineering Drawing
3. Inspection and Gauging, Clifford W Kennedy and Donald E Andrews, New Yark4. Vincent, K.O. and Ross, E. J. (1995). Principle of Total Quality, London Kogan Pages 5. Evans, James R. and Lindsay, William M. (1999). The Management and Control of Quality. 4th edition New York West Publishing Company. Besterfiled, D.H., Michna, C.B., Besterfield, G.H. and Sacre, B.M (1999). Total Quality Management, Pearson Education,Inc SingaporeGrading:
a. Quizzes / Homework 10%
b. Mid Term Exam 30%
c. Term Project 10%
d. Final Exam 50%
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TOTAL QUALITY MANAGEMENT
T=TOTALITY:- This means participation, involvement and commitment of all personnel directly responsible for quality of a process at a primary level, or indirectly supporting that quality function at secondary or tertiary level. Every one, at all levels of hierarchy from top (Chief Executive Officer ‘CEO’ or General Manager ‘GM’ or President of an organization) to the bottom level (shop floor workers and supervisors) of an organization (an enterprise, a company, or an institution etc), in all functions of the business (like human resource management, marketing, financing, legal, sale, purchase and production etc), in all the production or provision processes and in all departments and divisions of an enterprise to contribute to the quality cause of products or services, its management and continuous improvements in all its forms and context.
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• The second alphabet ‘Q’ stands for Quality. This big ‘Q’ quality concept differs from the small ‘q’ quality. The misconception of ‘q’ quality persists in the past in which quality was considered as the major responsibility of producers (operators), inspectors and of their respective department. Other functions (departments) were considered peripheral or secondary and mostly were not held responsible for the poor quality and high cost of the products produced or services provided. Now the big ‘Q’ quality concept holds every one responsible, at all levels, in all processes, in all departments and in all functions of a business. They must contribute to the quality of a product or service either in a direct or indirect role but if not, then their job descriptions need review and revision. If still their role is not justified, then they are not required in that department or division or even in the organization. No one is exempted from the responsibility to contribute towards quality at their respective level and scope.
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• As such, the big ‘Q’ quality concepts also brought a new definition to quality as Total Quality instead of partial quality as existed in the past, like manufacturing based quality definition, user based quality, fitment based quality and customer’s satisfaction based quality definition etc (Evan & Lindsay, 2005). Quality can now be defined in a generic term of totality as ‘totality of characteristics of an entity that bear on its ability to satisfy the stated and implied needs of customers’. An entity can be an activity, a process, a product, or / an organization.
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Quality Characteristics / Parameters / Variables of any Entity (Product / Service)
Followings are the generic characteristics / parameters
of any entity as applicable:
• Specification, Dimension, Strength, Functionality,
Survivability, Sustainability, Time, Precision, Cost,
Performance, Utility, Intended deliverable, Aesthetic
Appearance, Acceptability, Cultural, Impact,
Marketability, Stability, Usability, Social impact,
Influence, Knowledge Base Integration with existing
service, Color, Shape, Durability, Flexibility, Life cycle,
Weight, Size, Interactive, Easily accessible, Consistent,
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Cannibalization, Long lasting, Cost effective,
Harmless, Easily manageable, Environmental
protocols, Meet ethical values, Address
religious issues, Address cultural issues, Local
standards, International standards, Reliability,
Material Taste, Smell, Fitness, Traceability,
Availability, Re-usability, Documentation
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Customer Satisfaction User Friendly In-
time response Packing Consistency
Maintainability Specification Efficiency
Portability Soundless Conformance Width
Depth Length Height Security Safety
Speed Serviceability Strength Accuracy
Simplicity Operateability Power
consumption Measurability
Transformability Presentation Back up
supportability Light weight Economical
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Water proof, Shelf life, Preciseability,
Breakability, Manageability,
Competitiveness, Under warranty,
Pressure, sustainability, Good heat ability,
Less carbon Dioxide, Non combustible,
Purity, Supportable, Motivational, Robust
/Toughness, Firmness, Comfortable, Long
lasting, Having resale value
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DESIGN SPECIFICATIONS
• PARAMETERS / variables. Already discussed in the preceding slide.
• LIMITS. These are the two extreme permissible value limits for
parameters. The upper limit for a parameter is the largest value permitted
for that particular variable and the lower limit for a parameter is the
smallest value permitted for that parameter. The limits of value for a
parameter are derived from the combination of the design values with the
limits of tolerance.
• TOLERANCE. The tolerance on a parameter is the margin of error
allowed on it for reasonable inaccuracy in workmanship and applications.
It is the total permitted variation in the actual value of that parameter. The
difference between the two limits of value (Upper Tolerance Limit, UTL
and Lower Tolerance Limit, LTL) for a parameter gives the tolerance. The
greater the tolerances that can be allowed, the more cheaply can the work
be produced.
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• ACCURACY. Accuracy is defined as the closeness of agreement
between an observed value and an accepted reference value. The lack of
accuracy reflects a systematic bias in the measurement such as a gauge
out of calibration, worn out, or used improperly by the operator. Accuracy
is measured as the amount of error in a measurement in proportion to the
total size of the measurement. One measurement is more accurate than
another if it has a smaller relative error.
• PRECISION. Precision, or repeatability, is defined as the closeness of
agreement between randomly selected individual measurements.
Precision, therefore, relates to the variance of repeated measurements.
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• The third alphabet ‘M’ stands for Management; which represents all actions of the overall system that determine the quality mission, policy, objectives and responsibilities and implement them by incorporating quality planning, strategy, control, assurance and improvements within the quality system.
BASIC MANAGERIAL FUNCTIONS• PLANNING• ORGANIZING• STAFFING• LEADING• CONTROLLING
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• Hence, the TQM Philosophy is considered as a management approach of an organization focused on quality, embedded in its business strategy, based on the participation, involvement and commitment of all its members at all levels of hierarchy and aimed at long term success through customer satisfaction and gives benefits to all members of the organization, stakeholders and to the society at large. In its simplest form, TQM is a Continuous Quality Improvement (CQI) in all its forms and manifestations.
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• The TQM philosophy was considered by some quality experts and gurus as the business quality miracle of the 20th century because of its engulfing and long term effects on all functions of an organization with particular reference to the business position in a fiercer economic competitive era. They are also of the opinion that such a mega phenomenon of the 20th century can not truly be represented by this three alphabet acronym of TQM; however, they have not yet suggested or given hint for any substitute title.
A GENERIC MODEL OF PRODUCTION SYSTEM (Manufacturing /service)
TOTAL TRANSFORMATION PROCESS
TOTAL INPUTS1. MEN 2. MATERAIL3. MACHINES4. MONEY
TOTAL OUTPUTS
1. PRODUCTS
2. SERVICES
TOTAL TRANSFORMATION FROM INPUTS TO OUTPUTS
SOURCES OF VARIATION IN PRODUCTION PROCESSES
Inputs OutputsProcess
Operators Methods
Materials
Tools
Machines Environment
MeasurementInstruments
Human InspectionPerformance
VARIATIONS
• Production processes face variation in:– Strength, thickness or moisture content
of materials– Strength & composition of cutting tools– Measurement gauges used– Human inspection capabilities
• Variation occurs at random, but combined effect can be predicted statistically
• Common causes of variation – factors present as natural parts of process
• Result from design of system
Special causes of variation (assignable causes)
• Arise from external sources not inherent in the process– Bad material batch from supplier– Poorly trained operators– Excessive tool wear– Improper calibration of equipment
• Unnatural variation – easily detectable• Economical to correct
• System governed only by common causes is stable
• Understanding of differences between common & special causes
• Less variation benefits:– Producers (higher productivity due to
less inspection, scrap & rework)– Customers (products with similar
quality characteristics)
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OTHER QUALITY DEFINITIONS
• Perfection• Consistency• Eliminating waste• Speed of delivery• Compliance with policies & procedures• Providing good, usable products• Doing it right the first time• Delighting or pleasing customers• Total customer service & satisfaction
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JUDGEMENTAL CRITERIA
• Quality = superiority or excellence
• “Goodness of a product”
• “You just know it when you see it”
• little practical value to managers
• No means through which quality can be measured for decision making
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PRODUCT-BASED CRITERIA
• Quality is a function of a specific, measurable variable
• Higher amount of product characteristics = higher quality
• Quality is mistakenly related to price
• Higher the price, higher the quality (Not necessarily true)
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USER-BASED CRITERIA
• Quality is determined by what customer wants
• Quality = Fitness for intended use
• How well the product:– Performs its intended purpose– Meets consumers’ needs
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VALUE-BASED CRITERIA
• “Quality is the degree of excellence at an acceptable price and the control of variability at an acceptable cost.”
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VALUE-BASED CRITERIA
• Purchase decision involves trading off the quality against the price
• Because many of the attributes of quality are subjective assessments, therefore most of these definitions are subjective
• Unlike manufacturing and product-based approaches
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VALUE-BASED CRITERIA
• Offering greater satisfaction at comparable price
• Procter & Gamble brought in VALUE PRICING
• Consumer brand loyalty• More consistent sales• Improvement of product characteristics• Internal efficiencies
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MANUFACTURING BASED CRITERIA
• Quality = Conformance to specifications• Quality is
“about manufacturing a product that people can depend on every time
they reach for it”• Achieved at Coca-Cola through rigorous
quality & packaging standards
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PRINCIPAL QUALITY DIMENSIONS /
CHARACTERISTICS
1. Performance
2. Features
3. Reliability
4. Conformance
5. Durability
6. Serviceability
7. Aesthetics
8. Perceived quality
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Performance
• a product’s primary operating characteristics. Example: A car’s acceleration, braking distance, steering and handling
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Features
• the “bells and whistles” of a product. A car may have power options, a tape or CD deck, antilock brakes, and reclining seats
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Reliability
• the probability of a product’s surviving over a specified period of time under stated conditions of use. A car’s ability to start on cold days and frequency of failures are reliability factors
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Conformance
• the degree to which physical and performance characteristics of a product match pre-established standards.
• car’s fit/finish, freedom from noises can reflect this.
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Durability
• the amount of use one gets from a product before it physically deteriorates or until replacement is preferable.
• For car - corrosion resistance & long wear of upholstery fabric
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Serviceability
• speed, courtesy, competence of repair work.
• auto owner -access to spare parts.
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Aesthetics
• how a product looks, feels, sounds, tastes, or smells.
• car’s color, instrument panel design and “feel of road” –
• make aesthetically pleasing
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Perceived quality
• Subjective assessment of quality resulting from image, advertising, or brand names.
• car, - shaped by magazine reviews-manufacturers’ brochures
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QUALITY IN SERVICES
Service is “ a social act which takes place in direct contact between the customer and representatives of the service company ”
Service quality includes quality of:
Core services
Facilitating services
Improvement in customer services
Cost of acquiring new customers is higher than cost of retaining customers
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SERVICE AS A PRODUCTION SYSTEM
Application of Deming’s view of production systems
Determination of:
Customers & suppliers
Inputs & outputs
Key processes
Research requirements
Meeting or exceeding customer expectations
Develop performance standards & specifications
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SERVICE AS A PRODUCTION SYSTEM
Higher Education as a Production System
SUPPLIERSfamilieshigh schoolscollegesbusinesses
CUSTOMERSgraduate schoolsbusinessesfamiliessocietystudents
customerresearch
design and redesign
INPUTSstudentsfacultysupport staff
OUTPUTSable studentsnew knowledgeresearch findings
Teaching, counseling,scientific research
PROCESSES
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UNIQUE DIMENSIONS OF SERVICES
Time
Timeliness
Completeness
Courtesy
Consistency
Accessibility & convenience
Accuracy
Responsiveness
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REQUIREMENTS OF SERVICES
Each customer has different requirements
Higher degree of customization needed
Intangible output
Services are produced & consumed simultaneously
Quality has to be trained & built into the service
Customers are involved in the service process
Labor intensive
Human interaction necessary
Large volumes of customers have to be handled
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COMPONENTS OF SERVICE SYSTEM QUALITY
Challenge of managing quality
Determining standards for intangible quality characteristics
Set judgmentally & then tested
Determinants of perceived service quality:
Employee performance & behavior
Service transaction speed
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ROLE OF EMPLOYEES
Quality of human interaction used as an evaluating tool by customers
Higher the employee job satisfaction, higher the customer satisfaction
“If we take care of our employees, they will take care of our customers”
Front-line employees have direct contact with customers
Should be given rewards, higher pays, training & authority
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ROLE OF INFORMATION TECHNOLOGY
Processing large volumes of information
Meeting customer demand of quicker service
Used to better serve customers
Easier for customers to do business with a company
Lesser use of human force
Less personal interaction – quality ‘may’ decrease
Service providers must find the right balance
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ROLE OF INSPECTION AND INSPECTORInspection is the critical examination of parametres of any entity
Basic inspection start from human senses like, seeing, feeling, touching, tasting and hearing.
Technology help in enhancing human capability like mechanical instruments and gauges, electrical and electronics gadgetry and even the hybrid arrangement
There are different types of inspections, mostly based on time and place, like IN inspection, Stage inspection and Final inspection etc
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DEMING’S UNIVERSAL FOURTEEN POINTS FOR MANAGEMENT ARE SUMMARIZED AS FOLLOWS:
• CREATE CONSISTENCY OF PURPOSE WITH A PLAN.
• ADOPT THE NEW PHILOSOPHY OF QUALITY.
• CEASE DEPENDENCE ON MASS INSPECTION.
• END THE PRACTICE OF CHOOSING SUPPLIERS BASED
SOLELY ON PRICE.
• IDENTIFY PROBLEMS AND WORK CONTINUOUSLY TO
IMPROVE THE SYSTEM.
• ADOPT MODERN METHODS OF TRAINING ON THE JOB.
• CHANGE THE FOCUS FROM PRODUCTION NUMBERS
(QUANTITY) TO QUALITY.
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•DRIVER OUT FEAR.
•BREAK DOWN BARRIERS BETWEEN DEPARTMENTS.
•STOP REQUESTING IMPROVED PRODUCTIVITY WITHOUT
PROVIDING METHODS TO ACHIEVE IT.
•ELIMINATE WORK STANDARDS THAT PRESCRIBE NUMERICAL
QUOTAS.
•REMOVE BARRIERS TO PRIDE OF WORKMANSHIP.
•INSTITUTE VIGOROUS EDUCATION AND RETRAINING.
•CREATE A STRUCTURE IN TOP MANAGEMENT THAT WILL
EMPHASIZE THE PRECEDING THIRTEEN POINTS EVERY DAY.
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JURAN’S TEN STEPS TO QUALITY IMPROVEMENT ARE
• BUILD AWARENESS OF OPPORTUNITIES TO IMPROVE.
• SET GOALS FOR IMPROVEMENT.
• ORGANIZE TO REACH GOALS.
• PROVIDE TRAINING.
• CARRY OUT PROJECTS TO SOLVE PROBLEMS.
• REPORT PROGRESS.
• GIVE RECOGNITION.
• COMMUNICATE RESULTS.
• KEEP SCORE.
• MAINTAIN MOMENTUM BY MAKING ANNUAL IMPROVEMENT PART OF
THE REGULAR SYSTEMS AND PROCESSES OF THE COMPANY.
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CROSBY CONCEPTS
1. MANAGEMENT COMMITMENT. TOP MANAGEMENT MUST BECOME
CONVINCED OF THE NEED FOR QUALITY AND MUST CLEARLY
COMMUNICATE THIS TO THE ENTIRE COMPANY BY WRITTEN
POLICY, STATING THAT EACH PERSON IS EXPECTED TO PERFORM
ACCORDING TO THE REQUIREMENT OR CAUSE THE REQUIREMENT
TO BE OFFICIALLY CHANGED TO WHAT THE COMPANY AND THE
CUSTOMERS REALLY NEED.
2. QUALITY IMPROVEMENT TEAM. FORM A TEAM COMPOSED OF
DEPARTMENT HEADS TO OVERSEE IMPROVEMENTS IN THEIR
DEPARTMENTS AND IN THE COMPANY AS A WHOLE.
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3. QUALITY MEASUREMENT. ESTABLISH MEASUREMENTS
APPROPRIATE TO EVERY ACTIVITY IN ORDER TO IDENTIFY
AREAS IN NEED OF IMPROVEMENT.
4. COST OF QUALITY. ESTIMATE THE COSTS OF QUALITY IN
ORDER TO IDENTIFY AREAS WHERE IMPROVEMENTS WOULD
BE PROFITABLE.
5. QUALITY AWARENESS. RAISE QUALITY AWARENESS AMONG
EMPLOYEES. THEY MUST UNDERSTAND THE IMPORTANCE OF
PRODUCT CONFORMANCE AND THE COSTS OF NON
CONFORMANCE.
6. CORRECTIVE ACTION. TAKE CORRECTIVE ACTION AS A
RESULT OF STEPS 3 AND 4.
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7. ZERO DEFECTS PLANNING
ALL LEVELS OF MANAGEMENT MUST BE TRAINED IN HOW TO
IMPLEMENT THEIR PART OF THE QUALITY IMPROVEMENT PROGRAM.
8. SUPERVISOR TRAINING
FORM A COMMITTEE TO PLAN A PROGRAM APPROPRIATE TO THE
COMPANY AND ITS CULTURE.
9. ZERO DEFECTS DAY
SCHEDULE A DAY TO SIGNAL TO EMPLOYEES THAT THE COMPANY
HAS A NEW STANDARD.
10.GOAL SETTING
INDIVIDUALS MUST ESTABLISH IMPROVEMENT GOALS FOR
THEMSELVES AND THEIR GROUPS.
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11. ERROR CAUSE REMOVAL
EMPLOYEES SHOULD BE ENCOURAGED TO INFORM MANAGEMENT
OF ANY PROBLEMS THAT PREVENT THEM FROM PERFORMING
ERROR-FREE WORK.
12. RECOGNITION.
GIVE PUBLIC, NON-FINANCIAL APPRECIATION TO THOSE WHO MEET
THEIR QUALITY GOALS OR PERFORM OUTSTANDINGLY.
13. QUALITY COUNCILS
COMPOSED OF QUALITY PROFESSIONALS AND TEAM
CHAIRPERSONS, QUALITY COUNCILS SHOULD MEET
REGULARLY TO SHARE EXPERIENCES PROBLEMS, AND
IDEAS.
14. DO IT ALL OVER AGAIN
REPEAT STEPS 1 TO 13 IN ORDER TO EMPHASIZE THE
NEVER ENDING PROCESS OF QUALITY IMPROVEMENT.
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AV FEIGENBAUM PHILOSOPHY
• FEIGENBAUM IS BEST KNOWN FOR COINING THE PHRASE
TOTAL QUALITY CONTROL IN THE UNITED STATES
FEIGENBAUM’S PHILOSOPHY IS SUMMARIZED IN THIS THREE
STEPS TO QUALITY AS FOLLOWS.
1. QUALITY LEADERSHIP. A CONTINUOUS MANAGEMENT EMPHASIS
IS GROUNDED ON SOUND PLANNING RATHER REACTION TO
FAILURES MANAGEMENT MUST MAINTAIN A CONSTANT FOCUS
AND LEAD THE QUALITY EFFORT.
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2. MODERN QUALITY TECHNOLOGY.
THE TRADITIONAL QUALITY DEPARTMENT CANNOT RESOLVE 80 TO
90 PERCENT OF QUALITY PROBLEMS. THIS TASK REQUIRES THE
INTEGRATION OF OFFICE STAFF AS WELL AS ENGINEERS AND
SHOP FLOOR WORKERS IN THE PROCESS WHO CONTINUALLY
EVALUATE AND IMPLEMENT NEW TECHNIQUES TO SATISFY
CUSTOMERS IN THE FUTURE.
3. ORG COMMITMENT.
CONTINUOUS TRAINING AND MOTIVATION OF THE ENTIRE
WORKFORCE AS WELL AS INTEGRATION OF QUALITY IN BUSINESS
PLANNING INDICATE THE IMPORTANCE OF QUALITY AND PROVIDE
THE MEANS FOR INCLUDING IT IN ALL ASPECTS OF THE FIRM’S
ACTIVITIES.
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DR KAORU ISHIKAWA PHILOSOPHY• AN EARLY PIONEER IN THE QUALITY REVALUATION IN JAPAN, KAORU
ISHIKAWA WAS THE FOREMOST FIGURE IN JAPANESE QUALITY
KAORU ISHIKAWA WAS INSTRUMENTAL IN THE DEVELOPMENT OF
THE BROAD OUT LINES OF JAPANESE QUALITY STRATEGY, CONCEPT
OF CWQC, THE AUDIT PROCESS USED IN THE DETERMINING
WHETHER A COMPANY WILL BE SELECTED TO RECEIVE THE DEEMING
AWARD, TEAM-BASED PROBLEM SOLVING AND A VARIETY OF
PROBLEM-SOLVING TOOLS THAT HE THOUGHT ANY WORKER COULD
USE. DR. KAORU ISHIKAWA ALSO INFLUENCED THE DEVELOPMENT
OF A PARTICIPATIVE, BOTTOM-UP VIEW OF QUALITY, WHICH BECAME
THE TRADEMARK OF THE JAPANESE APPROACH TO QUALITY
MANAGEMENT.
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SOME KEY ELEMENTS OF DR. KAORU ISHIKAWA PHILOSOPHY
• QUALITY BEGINS WITH EDUCATION AND ENDS WITH EDUCATION.
• THE FIRST STEP IN QUALITY IS TO KNOW THE REQUIREMENTS OF
CUSTOMERS.
• THE IDEAL STATE OF QUALITY CONTROL OCCURS WHEN
INSPECTION IS NO LONGER NECESSARY.
• REMOVE THE ROOT CAUSE, NOT THE SYMPTOMS.
• QUALITY CONTROL IS THE RESPONSIBILITY OF ALL WORKERS AND
ALL DIVISIONS.
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• DO NOT CONFUSE THE MEANS WITH THE OBJECTIVES.
• PUT QUALITY FIRST AND SET YOUR SIGHTS ON LONGER-TERM
PROFITS.
• MARKETING IS THE ENTRANCE AND EXIT OF QUALITY.
• TOP MANAGEMENT MUST NOT SHOW ANGER WHEN FACTS ARE
PRESENTED BY SUBORDINATES.
• NINETY-FIVE PERCENT OF PROBLEMS IN A COMPANY CAN BE
SOLVED WITH SIMPLE TOOLS FOR ANALYSIS AND PROBLEM
SOLVING.
• DATA WITHOUT DISPERSION INFORMATION (VARIABILITY) IS
FALSE DATA.
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COMMON FACTORS AND ELEMENTS
S. No TQM FACTORS TQM ELEMENTS
1 Top Management Role
1.1 Leadership
1.1.1 Vision
1.1.2 Style
1.1.3 Driving Force
1.2 Commitment
1.3 Involvement and Participation
1.4 Team Work
1.5 Communication
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2 Customer and Market Focus
2.1 Customer Focus
2.2 Marketing
3 Policy
3.1 Quality Policy
3.2 Quality Mission and Objectives
4 Planning
4.1 Long Term Quality Planning
4.2 Short Term Quality Planning
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5 Quality Assurance
5.1 Quality Management System
5.2 Information and Data Management
5.3 Quality Losses
5.4 Cross Functional Management
5.5 Processes
5.6 Standardization
5.7 Products and Services
5.8 Measurement and Control
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5.8.1 Measurement
5.8.2 Control
5.9 Audit
5.10 Integrated System Approach
5.10.1 Suppliers
5.10.2 Company
5.10.3 Distributors
5.10.4 Customers
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6 Resources Management
6.1 Human Resource
6.1.1 Human Resource Management
6.1.2 Education
6.1.3 Training
6.1.3.1 Quality Training
6.1.3.2 Job Training
6.1.4 Involvement
6.1.5 Participation
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6.1.6 Team Work
6.1.7 Empowerment
6.1.8 Reward and Recognition
6.1.9 Motivation
6.2 Financial Resources
6.3 Material Resources
6.3.1 Technology and Equipment
6.3.2 Support and Maintenance
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7 Quality Culture
7.1 Quality Awareness
7.2 Corporate Quality Culture
8 Protection
8.1 Health and Safety
8.2 Environment
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9 Continuous Improvement
9.1 Review
9.2 Improvement Activities
9.3 Creativity, Innovation and Design
10 Satisfaction of the Stakeholders
10.1 Customers
10.2 Employees (Including Management)
10.3 Society
10.4 Shareholders
10.5 Government
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TQM PHILOSOPHY
MANAGEMENT
THEORY
CONCEPTS
MINDSETS
APPROACHES
LAWS PRINCIPLES
MANAGEMENT PRACTICES
THEORIES
OPERATIONALIZATION
PLANNING
ROOT CAUSE ANALYSIS
DATA COLLECTION
STRATEGY
PROBLEM SOLVING
GRAPHICS
RULES
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TQM PHILOSOPHY
THEORITICAL/
ABSTRACT KNOWLEDGE
(PSYCHOLOGY/PHYSIOLOGY/ SOCIALOGY/ SCIENTIFIC
MANAGEMENT)
GURUSPEERS
SCHOLARS PROPONENTS
PRACTICAL/
REAL KNOWLEDGE
TRANSFORMATION
TOOLS
TECHNIQUES
SYSTEMS
AWARDS
STANDARDS
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Summarized Scored Criteria Set of DP Model (2005)
S. NoFactors Weighted Score
(%)
1. Management Policies and their Deployment 20
2. New Product Development, Work Process Innovation
20
3. Maintenance and Improvement 20
4. Management Systems 10
5. Information Analysis and Utilization of IT 15
6. Human Resource Development 15
Total Score 100
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1. Management policies and their Development
(20)
2. New product development Work process Innovation (20)
5. Information analysis and
utilization of IT (15)
3. Maintenance and Improvement
(20)
6. Human Resource
Development (15)
Core Quality System (50)
4. Management System (10)
THE DP FRAMEWORK
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MBNQA CRITERIA SET (2004) (Factors only) (1000 marks)
1. Leadership (12%)
2. Strategic Planning (8.5%)
3. Customer and Market Focus (8.5%)
4. Measurement, Analysis and Knowledge Management (9%)
5. Human Resource Focus (8.5%)
6. Process Management (8.5%)
7. Business Results (45%)
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77
MBNQA FRAMEWORK
78
79
80
EQA CRITERIA SET (2004) (FACTORS ONLY) (1000 MARKS)
1. LEADERSHIP (10%)
2. POLICY AND STRATEGY (8%)
3. PEOPLE (9%)
4. PARTNERSHIP AND RESOURCES (9%)
5. PROCESSES (14%)
6. CUSTOMER RESULTS (20%)
7. PEOPLE RESULTS (9%)
8. SOCIETY RESULTS (6%)
9. EY PERFORMANCE RESULTS (15%)
81
82
SUMMARIZED SCORED CRITERIA SET OF PNQA MODEL
S No Main Factors Weightage (%)
Marks
1 Top Management Leadership and Management of Quality 17 170
2 Use of Quality Data and Information 10 100
3 Human Resource Management 15 150
4 Customer Focus and Satisfaction 10 100
5 Quality Assurance of External Suppliers 10 100
6 Process Management 10 100
7 Business Results 28 280
Total 100 1000
83
ProcessManagement
6.0
HumanResource
Management3.0
QualityAssurance of
ExternalSuppliers
5.0
Use of QualityData &
Information2.0 %
CustomerFocus andSatisfaction
4.0
BusinessResults
7.0
TopManagement
Leadership AndManagement of Quality
1.0
THE PNQA MODEL FRAMEWORK
84
UQA CRITERIA SET (2004) (Factors only) (1000 marks)
1. TOP MANAGEMENT ROLE (13.5%)
2. CUSTOMER AND MARKET FOCUS (4.3%)
3. POLICY (3.2%)
4. PLANNING (2.4%)
5. QUALITY ASSURANCE (21%)
6. RESOURCES MANAGEMENT (13.3%)
7. QUALITY CULTURE (5%)
8. PROTECTION (2.8%)
9. CONTINUOUS IMPROVEMENT (7.5%)
10. SATISFACTION OF THE STAKEHOLDERS (27%)
85
SEQUENCE TQM FACTORS SCORE % EQUIVALENT MARKS
1. Top Management Roles 13.5 135
2. Customer and Market Focus 4.3 43
3. Policy 3.2 32
4. Planning 2.4 24
5. Quality Assurance 21 210
6. Resources Management 13.3 133
7. Quality Culture 5 50
8. Protection 2.8 28
9. Continuous Improvement 7.5 75
10. Satisfaction of the Stakeholders
27 270
TOTAL SCORE 100 1000
86
CBP
TOP M
AN
AG
EMEN
T RO
LE
CUSTOMER AND MARKET FOCUS
POLICY
PLANNING
RESOURCES MANAGEMENT
QUALITYASSURANCE
QUALITYCULTURE
PROTECTION
CONTINUOUS IMPROVEMENT
SATISFA
CTIO
N O
F TH
E STAK
EHO
LDER
S
1234
FINAL FRAMEWORK OF THE TQM IQA MODELFRAMEWORK OF UQA
87
DETAILED SCORES OF THE TQM UQA MODEL CRITERIA SET (FACTORS AND ELEMENTS)
S. No TQM FACTORS TQM ELEMENTS SCORE %
EQUIVALENT MARKS
1 Top Management Role 13.5 135
1.1 Leadership 7.3 73
1.1.1 Vision 3.6 36
1.1.2 Style 1.2 12
1.1.3 Driving Force 2.5 25
1.2 Commitment 2 20
1.3 Involvement and Participation
1 10
1.4 Team Work 1.6 16
1.5 Communication 1.6 16
88
2 Customer and Market Focus
4.3 43
2.1 Customer Focus 2.5 25
2.2 Marketing 1.8 18
3 Policy 3.2 32
3.1 Quality Policy 1.8 18
3.2 Quality Mission and Objectives
1.4 14
4 Planning 2.4 24
4.1 Long Term Quality Planning
1.5 15
4.2 Short Term Quality Planning
0.9 9
89
5 Quality Assurance 21 210
5.1 Quality Management System
2.9 29
5.2 Information and Data Management
1.3 13
5.3 Quality Losses 2 20
5.4 Cross Functional Management
0.9 9
5.5 Processes 1.7 17
5.6 Standardization 1 10
5.7 Products and Services 2..2 22
5.8 Measurement and Control 4.5 45
90
5.8.1 Measurement 2.4 24
5.8.2 Control 2.1 21
5.9 Audit 1.5 15
5.10 Integrated System Approach
2.9 29
5.10.1 Suppliers 0.5 5
5.10.2 Company 1.4 14
5.10.3 Distributors 0.5 5
5.10.4 Customers 0.5 5
91
6 Resources Management 13.3 133
6.1 Human Resource 9. 3 93
6.1.1 Human Resource Management
2 20
6.1.2 Education 1 10
6.1.3 Training 1.5 15
6.1.3.1 Quality Training 0.9 9
6.1.3.2 Job Training 0.6 6
6.1.4 Involvement 0.5 5
6.1.5 Participation 0.5 5
92
6.1.6 Team Work 0.5 5
6.1.7 Empowerment 1.1 11
6.1.8 Reward and Recognition 1 10
6.1.9 Motivation 1.2 12
6.2 Financial Resources 2 20
6.3 Material Resources 2 20
6.3.1 Technology and Equipment 1.3 13
6.3.2 Support and Maintenance 0.7 7
93
7 Quality Culture 5 50
7.1 Quality Awareness 2.9 29
7.2 Corporate Quality Culture
2.1 21
8 Protection 2.8 28
8.1 Health and Safety 1.8 18
8.2 Environment 1 10
94
9 Continuous Improvement
7.5 75
9.1 Review 2 20
9.2 Improvement Activities 4.1 41
9.3 Creativity, Innovation and Design 1.4 14
10 Satisfaction of the Stakeholders
27 270
10.1 Customers 14.3 143
10.2 Employees (Including Management)
4.5 45
10.3 Society 1.9 19
10.4 Shareholders 3.7 37
10.5 Government 2.6 26
TOTAL SCORE 100 1000
95
OTHER NATIONAL QUALITY AWARD MODELS
• THE DEMING PRIZE (DP)
• MALCOLM BALDRIGE NATIONAL QUALITY AWARD (MBNQA)
• EUROPEAN QUALITY AWARD (EQA)
• UK QUALITY AWARD (UKQA)
• AUSTRALIAN QUALITY AWARD (AQA)
• IRISH QUALITY AWARD (IQA)
• SCOTLAND QUALITY AWARD
• SWEDISH QUALITY AWARD
• THE NORTHERN IRELAND QUALITY AWARD
• SINGAPORE QUALITY AWARD (SQA)
• CONDT…
96
OTHER NATIONAL QUALITY AWARD MODELS
• RAJIV GHANDI NATIONAL QUALITY AWARD (RGNQA)
• NEW ZEALAND NATIONAL QUALITY AWARD (NZQA)
• CANADIAN AWARD FOR EXCELLENCE (CAE)
• FRENCH QUALITY AWARD (FQA)
• CONFEDERATION OF INDIAN INDUSTRY (CII-EXIM) AWARD
• NETHERLANDS QUALITY AWARD (NQA)
• BRAZILIAN NATIONAL QUALITY AWARD.
97
SATISFACTION OF THE STAKEHOLDERS
TOP MANAGEMENT
ROLE
PROTECTION
CU
ST
OM
ER
&M
AR
KE
T F
OC
US
PO
LIC
Y
PL
AN
NIN
G
RE
SO
UR
CE
SM
AN
AG
EM
EN
T
QU
AL
ITY
A
SS
UR
AN
CE
QU
AL
ITY
C
UL
TU
RE
CO
NT
INU
OU
SIM
PR
OV
EM
EN
T
THE HOUSE OF TQM
98
QUALITY AWARD WEB SITES
1.http://www.juse.or.jp
2.http://www.efqm.org
3.http://www.quality.nist.gov