Total Quality Management - TQMStandards and TQM
Total Quality Management
TQM is a philosophy which applies equally to all parts of the organization.
TQM can be viewed as an extension of the traditional approach to quality.
TQM places the customer at the forefront of quality decision making.
Greater emphasis on the roles and responsibilities of every member of staff within an organization to influence quality.
All staff are empowered.
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Employee involvement
All employees assume responsibility for the quality of their work.
Product/Process Excellence
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Continuous Improvement
A concept that recognizes that quality improvement is a journey with no end and that there is a need for continually looking for new approaches for improving quality.
Customer Focus on “Fitness for Use”
Design quality
Specific characteristics of a product that determine its value in the marketplace.
Conformance quality
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A fundamental concept of TQM
from BS 7850 - a ‘Process’
“A set of inter-related resources and activities which transform inputs into outputs.” (ISO 8402).
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Controls
Process
Outputs
Inputs
Resources
(Source: BS 7850: 1992, “Total Quality Management”)
As customer
Process owner
As customer
As supplier
Process owner
As supplier
Process 1
Process 1
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Expectations > perceptions
Expectations = perceptions
Expectations < perceptions
Perceived quality is governed by the gap between customers’ expectations and their perceptions of the product or service
Customers’ expectations of the product or service
Source: Slack et al. 2004
Gap
Technical Quality versus Functional Quality
Technical quality — the core element of the good or service.
Functional quality — customer perception of how the good functions or the service is delivered.
Expectations and Perceptions
Customers’ prior expectations (generalized and specific service experiences) and their perception of service performance affect their satisfaction with a service.
Satisfaction = (Perception of Performance) – (Expectation)
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Source: Parasuraman, Zeithman and Berry. 1985
Previous
Experience
Customer’s own specification of quality
Management’s concept of the product or service
organization’s specification of quality
The actual product or service
Gap 1
Gap 2
Gap 3
Gap 4
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Continuous Improvement
Philosophy that seeks to make never-ending improvements to the process of converting inputs into outputs.
Kaizen: Japanese
Causes of TQM Implementation Failures
Lack of focus on strategic planning and core competencies.
Obsolete, outdated organizational cultures.
Lack of a formalized strategic plan for change.
Lack of a customer focus.
Poor inter-organizational communication.
Lack of employee trust in senior management.
View of the quality program as a quick fix.
Drive for short-term financial results.
Politics and turf issues.
Programs may not be linked to strategies
Quality-related decisions may not be tied to market performance
Failure to carefully plan a program
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Time
Performance
“Continuous”
improvement
Plan
Do
Check
Act
Malcolm Baldrige National Quality Award (MBNQA) (United States)
Deming Prize (Japan)
ISO9000 certification
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Customers
Key:
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Involves everyone