The Deming Prize Yu Qi Eric Su What we will cover • What is the Deming Prize? – Who is Dr. Deming? – History • Deming Prize vs. Quality Awards – The Deming Prize – Differences • Qualifying for the Deming Prize – Who qualifies – Deming Application Prize – How to Apply – How to win • Winners What is the Deming Prize? • Who was W. Edwards Deming? •History of the Deming Prize? Who was Dr. W. Edwards Deming? Dr. W. E. Deming was one of the world’s leaders of Quality management. Had great impact on American and Japanese industries. Who was Dr. W. Edwards Deming? Based ideas on continuous improvement 1900 - 1994 History • Established in 1951 • JUSE • Purpose History Dr. Deming was in Japan giving lectures on statistical process control and was recorded for distribution and profit. Funds were donated to JUSE History Kenichi Koyanagi, the managing director of the Japanese Union of Scientists and Engineers (JUSE), used those funds to create the Deming prize to individuals or organizations in 1951. History The purpose of the Deming Prize was to recognize those who excelled in quality control and as a way of driving quality control. It was also established to thank Dr. Deming for his accomplishments and impact in the Japanese industry. Deming Prize vs. Quality Awards • What the Deming award concentrates on • Differences Deming Prize Concentrates on : • Policy • Organization and operations • Collection and use of information • Analysis • Planning for future • Education and training • Quality assurance • Quality effects • Standardization • Control Differences • Baldrige Award concentrates more on customers and human resource • European Quality Award more on satisfaction •Deming Prize Effective planning and implementing of a firms organization and operations Qualification • • • • Who qualifies Deming Application Prize How to apply How to win Who Qualifies • Award available to individuals and organizations, whereas others do not (such as Baldrige only for organizations) • Deming Prize for Individuals available every year. Deming Application Prize • No limit to winners • Annually presented to companies that show improvement in the field of total quality management • No industry barrier • Divisions of a company How to Apply • A firm examines itself based on these viewpoints: – How well you implement TQM – No unnecessary rules and regulations – Understands and used TQM and statistical thinking – Examination of production and nonproduction divisions of firm tested the same way How to Apply • Based on a 100 point scale – Executive Session must be 70% or higher – Examined Session must be 50% or higher – Company Average must be 70% or higher How to Win • The following viewpoints are used to determine if the company should receive the prize. How to Win 1.Based on clear management leadership, management principles, type and scope of industry, and business environment, applicant has established business objectives that are challenging and customer oriented. How to Win 2. TQM must be implemented properly in the viewpoint 1 mentioned previously, while achieving company goals and strategies. 3. Outstanding results obtained for business objectives and strategies as an outcome of viewpoint 2, in the manner stated in viewpoint 1. Winners • Winners of the Deming Prize for individuals have been Japanese as of 1999 • Majority of Deming Application Prize winners also Japanese firms until the last decade. • U.S. winners: – AT&T Power Systems – Lucent Technology Power Systems Pop Quiz? 1. Who is able to qualify for the Deming Application Prize? 2. How many possible winners are there a year? 3. What U.S. Firms have won a Deming Prize? Summary The Deming Prize was created in 1951 by the Japanese Union of Scientist and Engineers. For commemorating Dr. Deming and recognizing those with outstanding quality management. Deming Prize available for individuals and firms in any field. Scoring for winners are on a 100 point scale.