tqm ge 2022 unit – 1
TRANSCRIPT
QualityQuality is an attribute of a product or service that fulfils or exceeds human expectationAs per ISO 9000:2000 Quality means “The degree to which a set of inherent characteristics fulfils requirements”Oxford dictionary – “Quality is the degree of excellence”Fitness for use, fitness for purpose, customer satisfaction or conformance to requirementsQ = P/E,
Where, Q- Quality, P – Performance, E – ExpectationQ >1, Satisfaction
Need/Importance of QualityProvides competitive edgeReduces cost due to return, rework & scrapIncreases profit, productivity, brand image, product image & company good willGenerates satisfied customersHigh employee morale & improves productivity
Evolution of Quality1924 – W.A. Sehwart of Bell Telephone Laboratories – chart for control of product variables1942 – Statistical Quality Control1946 – ASQ – American Society for Quality Control1950 – Edward Deming – Lectures at Japan about quality1954 – Joseph Juran – at Japan Management’s responsibility to achieve quality1960 – Quality control circles1970 – US managers went to Japan to learn quality
Continued1980 – Concepts of TQM introduced1990’s – Rankings based on customer satisfactionISO 9000 – world wide Quality Management SystemISO 14000 – Environmental Management System
Definition TQM – Enhancement of traditional way of doing business
Proven technique to survive in world class competitionTotal – made up of the wholeQuality – degree of excellence a product or service producesManagement – Act, art, or manner of handling, controlling, directing, etc.
Dimensions of QualityPerformance – primary product characteristics. Eg – Usage, gaming
Features – Secondary characteristics. Eg – Camera, etc
Conformance - meeting specific standards
Reliability – Consistency of performance over a period
Durability – Useful life including repair
Service – Resolution of problems, service
Response – Human to human interface
Aesthetics – Sensory characteristics – Exterior finish
Reputation - Past performance
Dimensions of Service QualityReliabilityResponsivenessAssuranceEmpathyTangiblesOther Dimensions – Time, completeness, courtesy, consistency, accessibility, etc.
Characteristics of TQMManagement philosophy – guide to change
Customer oriented management system
Starts at the top – needs management commitment
Teamwork
Calls for planning
Continuous performance improvement at all levels
Achieving results by process based approach
Recognizes customer – supplier relationship
Considers supplier as a partner
Emphasizes importance of measurement
Interlinks various sub systems of the organization
Aims at meeting the dynamic needs of the customer
Aims to instil ‘prevention not an inspection’ ethic
Basic concepts of TQM1. Top management commitment
2. Focus on the customer
3. Effective involvement & utilization of entire workforce
4. Continuous improvement
5. Treating suppliers as partners
6. Establishing performance measures for the processes
Principles of TQMCustomer requirements should be met
Agreed requirements from internal & external customers
Everybody should be involved from all levels
Regular two way communication between all
Identifying training needs & relating them with individual capabilities
Top management’s participation & commitment
Culture of continuous improvement
Emphasis on purchase & supply management
Every job must add value
Eliminate waste & reduce total costs
Focus on prevention of problems
Culture of promoting creativity
Performance measures must
Focus on team work
Barriers to implement TQMLack of management commitment
Lack of faith & support to TQM among management personnel
Inability to change organizational culture
Misunderstanding concepts of TQM
Improper planning
Lack of employee commitment
Lack of effective communication
Lack of continuous training & education
Lack of interest or incompetence of leaders
Ineffective measurement techniques
Non application of proper tools & techniques
Inadequate use of empowerment & team work
Inadequate attention to internal & external customers
Delay or non improvement of quality team’s recommendation
Potential benefits of TQMTANGIBLE BENEFITS
Improved product quality
Improved productivity
Reduced quality costs
Increased market & customers
Increased profitability
Reduced employee grievances
INTANGIBLE BENEFITS
Improved employee participation
Improved team work
Improved working relationships
Improved customer satisfaction
Improved communication
Enhancement of job interest
Enhanced problem solving
Better company image
W. Edward Deming Deming – American senior quality guru
1928 – awarded doctorate in mathematical physics
1946 – expertise in SQC – was sent to Japan after WWII
1951 – after having impressed by his contribution, Japanese established the Deming Prize – annually awarded to firms that distinguish themselves with QMS
1956 – awarded the Shewart medal by American Society for Quality Control
1960 – Awarded by the Japanese Emperor with the Second Order
Published more than 200 books on Quality
Deming’s Contributions1. Deming’s 14 points on route to quality
2. Deming cycle or PDCA
3. Seven deadly diseases of Management
4. System of profound knowledge
Deming’s 14 Points1. Create constancy of purpose towards improvement of product & service
2. Adopt the new philosophy
3. Cease the dependence on inspection to achieve quality
4. End the practice of rewarding business based on price tag
5. Improve constantly and forever the system of production & service
6. Institute training on the job
7. Institute leadership
Continued8. Drive out fear
9. Break down barriers between departments
10. Eliminate slogans, exhortations and targets on workforce which ask for zero defects and new levels of productivity
11. Eliminate work standards (quota) on the factory floor
12. Remove barriers to pride of workmanship
13. Institute a vigorous program of education & self improvement
14. Put everybody on the company to accomplish the transformation
2. Deming Cycle or PDCA CycleSystematic approach to problem solving by Deming
Universal improvement method – idea to constantly improve
Reduces the difference between customer requirement & performance of the process
The cycle repeats itself
3. Seven Deadly diseases of Western Management
1. Lack of consistency of purpose
2. Emphasis on short term profit
3. Reliance on performance appraisal & merits
4. Reliance on financial figures
5. Staff mobility
6. Excessive medical costs
7. Excessive legal costs
4. System of Profound Knowledge
According to Deming, the four ingredients of the system of profound knowledge necessary to learn & practice are:
1. Appreciation for a system
2. Knowledge of statistical theory
3. Theory of knowledge
4. Knowledge of pshycology
Joseph M. JuranBorn in Romania (1904/0 and emigrated to America in 1912
1951 – “Quality Control Handbook”
Mid 1950 – Travelled to Japan to conduct seminar on planning, organizational issues, management responsibility for quality, etc.
Authored hundreds of papers & books
Awarded 30 medals & fellowships worldwide including Japanese Second Order of the Sacred Treasure by the Emperor
Juran’s Contributions1. Internal Customer
2. Cost of Quality
3. Quality Triology
4. Juran’s 10 step for Quality Improvement
5. The Breakthrough concept
1. Internal CustomerEnd person alone is not the customer
Each person along the chain is a customer – from product designer to final user
The person will be a process carrying out transformation activity
Juran’s “three role model”
Each participant played 3 roles
2. Cost of Quality Juran classified cost of quality into three classes:
i. Failure costs – scrap, rework, corrective actions, warranty claims, customer complaints, loss of customer
ii. Appraisal costs – Inspection, compliance auditing & investigation
iii. Prevention costs – training, preventive audit, & process improvement implementation
3. Juran’s Quality TriologyJuran viewed quality as fitness for use
Divided quality planning into 3 parts:
i. Quality Planning
ii. Quality Control
iii. Quality Improvement
4. Juran’s 10 steps for Quality Improvement
1. Build awareness of the need & opportunity for improvement
2. Set goals for improvement
3. Organize to reach the goals
4. Provide training
5. Carry out projects to solve problems
6. Report Progress
7. Give recognition
8. Communicate results
9. Keep score
10. Maintain momentum by maintaining annual improvement
5. The Breakthrough ConceptJuran’s breakthrough concerns with product/service life cycle
It is split into two areas:
i. Journey from symptom to cause
ii. Journey from cause to remedy
3. Philip CrosbyAmerican quality guru
Best known for ‘Zero Defects’ & ‘Do it right first time’
Written many books – “Quality is free”, “Quality without tears”, “Lets talk Quality and Leading: the art of becoming an Executive”
Founder of Carrer IV, Philip Crosby Associates Inc & Quality College
Crosby’s Contribution1. Four absolutes of quality
2. 14 steps to quality management &
3. Crosby’s quality vaccine
2. Crosby’s 14 Steps Proposed 14 steps to quality improvement process:
1. Establish & ensure management commitment
2. Form quality improvement teams (QIT) for quality improvement process, planning & administration
3. Establish Quality Measurements
4. Evaluate the cost of quality & explain its use as management tool to measure waste
5. Raise quality awareness among all employees
6. Take actions to correct problems identified in previous steps
7. Establish zero defects committee & program
Continued8. Train supervisors & managers in their roles & responsibilities in quality improvement
process
9. Hold zero defects day to reaffirm management commitment
10. Encourage individuals & groups to set improvement goals
11. Obstacle reporting
12. Recognize & appreciate all participants
13. Establish Quality Council
14. Do it all over again to demonstrate that improvement is a never ending process