TOTAL QUALITY MANAGEMENT
UNIT I INTRODUCTION
Introduction - Need for quality - Evolution of quality - Definition
of quality - Dimensions of manufacturing and service quality Basic concepts of TQM - Definition of TQM – TQM Framework Contributions of Deming, Juran and Crosby – Barriers to TQM.
Quality Management Gurus
The Quality Gurus
• Quality Gurus
– Individuals who have been identified as making a significant contribution
to improving the quality of goods and services.
• Walter A. Shewhart
• W. Edwards Deming
• Joseph M. Juran
• Armand Feigenbaum
• Philip Crosby
• Genichi Taguchi
• Kaoru Ishikawa
Total Quality Management
"TQM is a management approach for an organization,
centered on quality, based on the participation of all its
members and aiming at long-term success through
customer satisfaction, and benefits to all members of the
organization and to society."
Definition of Quality
They are varied definitions of quality
1. JURAN- defined quality as fitness to use
2. PHILIP CROSBY- Quality is conformance to
requirements
3. CONFORMANCE TO SPECIFICATIONS
4. DEMING- Quality is a predictable degree of
uniformity and dependability, at low cost and
suited to the market
Dimensions of Quality
• Product Quality
• Service Quality
– Performance
– Reliability
– Features
– Tangibles
– Reliability
– Responsiveness
– Durability
– Assurance
– Conformance
– Empathy
– Serviceability
– Aesthetics
– Perceived quality
– Response
Defining the Dimensions of Quality by Garvin
• Product quality
1.
Performance
2.
Features
3.
Reliability
4.
Durability
5.
Conformance
6.
Serviceability
7.
Aesthetics
8.
Perceived quality
9.
Response
1. Performance:
Primary product characteristics
•
Measurable attribute
•
2. Features: Feature are additional characteristics
(secondary characteristics) that enhance the
appeal of the product to the user
3. Reliability: Average time for the product to fail
(consistency of performance over time)
4. Conformance: whether the product is meeting
specifications or industry standards
5.Durability: It measures the length of the
product’s life(useful life) includes repair
6. SERVICEABILITY: Ease of repair
7. Aesthetics: Physical characteristics such as
exterior finish
visual appeal of the product
8. Perceived Quality: Impression of the customer
after using the product, evaluation of quality
gained by past performance of the product
9. Response: Human to human interface such as
quick response to the customer complaints
Dimensions of quality explained with
example- LCD PROJECTOR
SERVICE QUALITY
• RELIABILITY- Ability to perform the promised service
dependably and accurately
• RESPONSIVENESS- Willingness to help customers and
provide quick service
• ASSURANCE- Knowledge and courtesy of employees
and their ability to convey trust and confidence
• EMPATHY- Caring, individualized attention the firm
provides its customers
• TANGIBLES- Appearance of physical facilities,
equipment, personnel, and communication materials
Quality index
• Quality index can be expressed as the ratio
between the product performance(P) and
customer expectation(E).
QI = P/E
QI>1 CUSTOMER DELIGHT
QI<1 CUSTOMER UNSATISFIED
Contributions of Deming, Juran and Crosby
Deming Philosophy
• It is summarizing 14 points that describe what
is necessary for a business to survive and
become competitive
Deming’s 14 Points
1. Constancy of purpose
Create constancy of purpose to improve product and
service
2.Learn new philosophy
•
•
•
Adopt the new philosophy.
We are in a new economic age, created in Japan.
We can no longer live with commonly accepted levels of
delays, mistakes, defective materials, and defective
workmanship. Transformation of Western management style
is necessary to stop the continued decline of business and
industry.
Continuous improvement
Continual improvement
3.Cease dependence on mass inspection
Eliminate the need for mass inspection as the
way of life to achieve quality by building quality
into the product in the first place.
4.End lowest tender contracts
End the practice of awarding business solely on the basis of price
tag. Instead require meaningful measures of quality along with
price.
• Reduce the number of suppliers for the same item by
eliminating those that do not qualify with statistical and other
evidence of quality.
• END AWARDING BUSINESS ON PRICE AND MOVE TOWARDS
SINGLE SUPPLIERS
5. Improve every process
Aim for continuous improvement of the system of
production and service to improve productivity and
quality and to decrease cost
6. Institute training on the job
Institute modern methods of training on the job for
all, including management, to make better use of
every employee.
New skills are required to keep up with changes in
materials, methods, product and service design,
machinery, techniques, and service.
7. Institute leadership
• Adopt and institute leadership aimed at helping people do a
better job.
• The responsibility of managers and supervisors must be changed
from sheer numbers to quality.
8. Drive out fear
Encourage effective two way communication and other
means to drive out fear throughout the organization so
that everybody may work effectively and more
productively for the company.
9. Break down barriers
Break down barriers between
departments and staff areas.
People in different areas, such
as Leasing, Maintenance,
Administration, must work in
teams to tackle problems that
may be encountered with
products or service.
10. Eliminate exhortations
• Eliminate the use of slogans, posters and exhortations for the work
force, demanding Zero Defects and new levels of productivity, without
providing methods.
• Such exhortations only create adversarial relationships; the bulk of the
causes of low quality and low productivity belong to the system, and
thus lie beyond the power of the work force.
11. Eliminate arbitrary numerical targets
Eliminate work standards that prescribe quotas for
the work force and numerical goals for people in
management.
• 12. Permit pride of workmanship
Remove the barriers that rob hourly workers, and people in
management, of their right to pride of workmanship.
• This implies, among other things, abolition of the annual merit
rating (appraisal of performance) and of Management by
Objective. Again, the responsibility of managers, supervisors,
foremen must be changed from sheer numbers to quality.
• 13.Encourage education
Institute a vigorous program of education, and
encourage self improvement for everyone.
• What an organization needs is not just good people;
it needs people that are improving with education.
Advances in competitive position will have their
roots in knowledge.
14. Top management commitment and action
Clearly define top management's permanent commitment to
ever improving quality and productivity, and their obligation to
implement all of these principles. Indeed, it is not enough that
top management commit themselves for life to quality and
productivity.
Juran- Quality trilogy
Quality trilogy
• Quality planning
• Quality control
• Quality improvement
FOURTEEN STEPS to achieve QUALITY PROGRAME -CROSSBY
1.
Establish management commitment.
2.
Form quality improvement team
3.
Establish quality measurements.
4.
Evaluate the cost of quality.
5.
Establish quality awareness .
6.
Take action to correct problems.
7.
Zero Defects planning.
8.
Supervisor/employee training.
9.
Hold a Zero Defects day to establish the new attitude.
10. Encourage the setting of goals for improvement
11. Obstacle reporting
12. Recognition of contributors
13. Establish Quality Councils
14. Do It All Over Again
1. ESTABLISH MANAGEMENT COMMITMENT – whole
management team participate in the programme
2. FORM QUALITY IMPROVEMENT TEAM - To follow the
quality system by multidisciplinary team effort.
3. ESTABLISH QUALITY MEASUREMENT - Analysis of
business quality performance in a meaningful manner.
4. EVALUATE THE COST OF QUALITY - Make sure everyone in
the business understands the need for a quality system,
and the cost to the business
5. RAISE QUALITY AWARENESS - Again make everyone in the
business aware of the impact of quality systems.
6. TAKE ACTION TO CORRECT PROBLEMS- Ensure a system is
in place for analyzing defects in the system and applying
simple cause and effect analysis, to prevent reoccurrence.
7. ZERO DEFECTS PLANNING – establish a committee to
initiate and implement zero defect programme
8. TRAIN SUPERVISORS AND MANAGERS - Get your
supervisors trained in quality improvement programme
9. HOLD A “ZERO DEFECTS DAY” - quality event by which all
members of the effected section become aware that a
change has taken place.
10. ENCOURAGE THE SETTING OF GOALS FOR
IMPROVEMENT - Once a change has been implemented
in a section of the business, the next step is to get the
employees and supervisors in that section to set goals for
improvement to bring about continuous improvement.
11. OBSTACLE REPORTING- to report the management of the
factors which prevent from achieving error free work
12. RECOGNITION OF CONTRIBUTORS - Management must
recognize the employees who participate in the quality
schemes and reward them.
13. ESTABLISH QUALITY COUNCILS – allowing quality
professional and team leaders to communicate and
determine action plan for quality improvement
14. DO IT OVER AGAIN - Continuous improvement means
starting from the beginning again and again.
How It Works
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What is TQM?
TQM is an integrated organizational approach/methodology in
delighting customer (both internal and external) by meeting
their expectations on a continuous basis through everyone
involved with the organization working on continuous
improvement in all products, services and processes.
Basic concepts of TQM
1. Top management commitment
2. Focus on the customer
3. Effective involvement and utilization of the
entire work force
4. Continuous improvement
5. Treating suppliers as partners
6. Establish performance measures for the
processes
1. Top management commitment
• Top management should participate and
completely involve in total quality programme
• They should ensure their complete
commitment through management meetings,
company newsletters
2. Focus on the customer
• Achieving customer satisfaction is the heart of
TQM
• Customers include both internal and external
3. Effective involvement and utilization of the
entire work force
• Total quality recognizes that each person is
responsible for the quality of his work.
• All persons must be trained in TQM, Statistical
Process Control and other appropriate quality
improvement skills
4. Continuous improvement
TQM believes that there is always a better way of
doing things
5. Treating suppliers as partners
Since the suppliers influence the company’s
quality, therefore a partnership relationship
should be developed between the management
and the suppliers
6. Establish performance measures for the processes
• Quantitative data are necessary to measure the
continuous quality improvement activity
• Therefore performance measures such as
productivity, sales turnover, percent nonconforming should be determined for each
functional area.
• These results can be used for further improvement
• PRINCIPLES OF TQM:
• Customers requirements - ( both internal & external) must be
met first time & every time
• Everybody must be involved
• Regular two way communication must be promoted
• Identify the training needs and supply it to the employees
• Top management commitment is must
• Every job must add value
• Eliminate waste & reduce total cost
• Promote creativity
• Focus on team work.
TQM FRAMEWORK
BENEFITS OF TQM
Tangible Benefits
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Improved product quality
Improved productivity
Reduced quality costs
Increased market and 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 capacity
• Better company image
Barriers to TQM implementation
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Lack of management commitment
Lack of faith in and support to TQM activities among management
personnel
Failure to appreciate TQM as a cultural revolution. In other words, inability
to change organizational culture
Misunderstanding about the concept of TQM
Improper planning
Lack of employees commitment
Lack of effective communication
Lack of continuous training and education
Lack of interest or incompetence of leaders
Ineffective measurement techniques and lack of access to data and results
Non-application of proper tools and techniques
Inadequate use of empowerment and team work
Thank You