Logistics & supply chain management

PRODUCTION & OPERATIONS MANAGEMENTTOTAL QUALITY MANAGEMENT#PRODUCTION & OPERATIONS MANAGEMENTWhat is TQM?Total customer satisfaction as the objectiveTotality of functionsTotal range of products and services offered by the organisationAddressing all aspects and dimensions of qualityAddressing the quality aspect in everything:ProductsServicesProcessesPeopleResourcesInteractions..contd#PRODUCTION & OPERATIONS MANAGEMENTWhat is TQM?Satisfying all customers internal & externalAddressing the total organisational issue of retaining customers and improving profits as well as generating new business for the futureInvolving everyone in the organisation in the attainment of the said objectiveDemanding total commitment from all in the organisation towards the achievement of the objective#PRODUCTION & OPERATIONS MANAGEMENTTotal Customer SatisfactionThe traditional view of quality has been either corrective (quality control) or preventive (quality planning)Preventive ensures less of corrective or bad products going beyond a pointThis leads to the cost of qualityTQM is focussed intensely on the customer, his requirements, preferences and expectationsTQM studies as to how the customer interacts either by design or default with the product/services and how satisfied is he with these interactionsImportant to note that any interface or interaction could be a potential customer#PRODUCTION & OPERATIONS MANAGEMENTTotality of FunctionsWhen any focussed job has to be done, the entire organisations concentration and energy must be behind itEvery functional department has to be fully and actively involvedThey are inter-related and inter-dependent and hence must function like a symphony#PRODUCTION & OPERATIONS MANAGEMENTTotal Range of Products & ServicesTQM benefits will accrue both to the customers as well as the organisation when it is applied to the entire range of products and/or services#PRODUCTION & OPERATIONS MANAGEMENTAll Dimensions of QualityThese include:PerformanceFeaturesAestheticsReliabilityDurabilityServiceabilitySafetyUser-friendlinessCustomisabilityEnvironment friendliness.contd#PRODUCTION & OPERATIONS MANAGEMENTAll Dimensions of QualityAlso included are:ResponsivenessCourtesyCommunicationCompetenceReliabilityCredibilitySecurity Normally a customer may not demand all these aspects and in many cases may not even be aware of the sameHence it is the organisations responsibility to identify and implement the same#PRODUCTION & OPERATIONS MANAGEMENTQuality Instilled into EverythingProducts, services, processes, people, resources and interactions should all be of the highest quality and should suitably meet the customers needs and expectations#PRODUCTION & OPERATIONS MANAGEMENTSatisfy both Internal and External CustomersPrimarily quality is regarding satisfying the external customerHowever since usually there are many processes involved in manufacture of any product or delivery of any service there are many internal customers involvedHence internal satisfaction if essential to achieve external satisfaction#PRODUCTION & OPERATIONS MANAGEMENTRetain Customers, Increase Profits & Generate New BusinessTQM is for the organisations survival and continued contribution to the economy and society through its healthy existenceFor this it has to at least retain its customers as well as keep an eye on its ROITQM should spur the company towards development of additional customers and generating new business#PRODUCTION & OPERATIONS MANAGEMENTTotal Involvement in the OrganisationEven the best processes and systems require people to execute themHence the need to develop technical and/or interaction skills of employees specific to their jobsNeed to keep employees informed about related aspects such as:Specific customer needs and/or expectationsSpecific market developments and changesOrganisations mission and goalsCritical requirements/factors for qualityProcesses that an employee may operate or interact withAny employees specific roles, responsibilities and authoritiesMetrics that are used to measure performanceRules and regulations (statutory)Values important to the organisation.contd#PRODUCTION & OPERATIONS MANAGEMENTTotal Involvement in the OrganisationIn general expand the employees knowledge base regarding the market in general, its trends , the competition, their organisations role in the market and society and the organisational culture and philosophyThis can be done through:TrainingProviding informationEducation ( both formal & informal)#PRODUCTION & OPERATIONS MANAGEMENTOrganisational CultureThis is what ultimately inspires, guides and supports an employee in the performance of his tasks effectively#PRODUCTION & OPERATIONS MANAGEMENTLeadership & CommitmentThe right organisational culture requires a committed leadershipUltimately it is the leadership quality and the level of commitment that will prevail#PRODUCTION & OPERATIONS MANAGEMENT