UNIT 1 - INTRODUCTION TO QUALITY CONCEPT Quality - - refers to the degree of excellence of a product or service, meeting or exceeding customer expectations. is the degree of excellence exhibited by a product, service, or process, characterized by its ability to consistently meet or exceed customer expectations. It encompasses factors such as performance, reliability, durability, and aesthetics, contributing to customer satisfaction and organizational success. 7. CONSISTENCY - Quality involves delivering uniformity in performance, characteristics, and attributes over time and across different instances of production or service delivery. 8. FITNESS FOR PURPOSE - A high-quality product or service effectively performs the functions it was designed for, meeting the specific needs and intended uses of the customer. HIGH QUALITY – satisfaction KEY ASPECTS OF QUALITY 1. Meeting Standards - Quality often adheres to predefined standards, specifications, or benchmarks, ensuring a level of performance that aligns with established norms. 2. DURABILITY - Quality ensures the longevity and resilience of a product, minimizing wear and tear, and maintaining its performance over an extended period. 3. AESTHETICS - Visual and sensory appeal contribute to quality, enhancing the overall experience and perceived value of a product or service. 4. CUSTOMER SATISFACTION - Quality directly influences customer satisfaction, loyalty, and brand reputation. A high-quality offering delights customers and fosters trust. 5. CONTINUOUS IMPROVEMENT - Striving for quality involves an ongoing commitment to improvement, identifying areas for enhancement and taking corrective measures when necessary. 6. RELIABILITY - A quality product or service consistently performs as expected, with minimal variation or unexpected failures, instilling confidence in its users. QUALITY Products/ Services leads to.... • Impact on Customer Satisfaction: High-quality products and services lead to happier customers and repeat business. • Importance of Quality: Quality is crucial as it directly impacts customer satisfaction, loyalty, and brand reputation. HISTORY OF QUALITY - THE EVOLUTION OF QUALITY MOVEMENT 1) Late 13th century – craftsmanship and guilds 2) Early 19th century – industrial revolution factory system 3) Late 19th century – the taylor system 4) Early 20th century – quality processes and SQC 5) WWII – sampling and standards 6) 1946 – ASQ (then ASQC) formed 7) Mid-20th century – company-wide quality control in Japan 8) Late 20th century – total quality management in US 9) 21st century – Quality 4.0 Late 13th century ✓ quality in the medieval guilds of Europe ✓ The quality movement can trace its roots back to medieval Europe, where craftsmen began organizing into unions called guilds in the late 13th century. ✓ These guilds were responsible for developing strict rules for product and service quality. ✓ Inspection committees enforced the rules by marking flawless goods with a special mark or symbol. Late 19th century ✓ The taylor system ✓ Late in the 19th century the United States broke further from European tradition and adopted a new management approach developed by Frederick W. Taylor, whose goal was to increase productivity without increasing the number of skilled craftsmen. He achieved this by assigning factory planning to specialized engineers and by using craftsmen and supervisors as inspectors and managers who executed the engineers’ plans. Early 19th century ✓ quality in the industrial revolution ✓ Until the early 19th century, manufacturing in the industrialized world tended to follow this craftsmanship model. ✓ The factory system, with its emphasis on product inspection, started in Great Britain in the mid-1750s and grew into the Industrial Revolution in the early 1800s. ✓ American quality practices evolved in the 1800s as they were shaped by changes in predominant production methods. ✓ CRAFTMANSHIP - Since most craftsmen sold their goods locally, each had a tremendous personal stake in meeting customers’ needs for quality. ✓ If quality needs weren’t met, the craftsman ran the risk of losing customers not easily replaced. ✓ Therefore, masters maintained a form of quality control by inspecting goods before sale. ✓ THE FACTORY SYSTEM - The factory system, a product of the Industrial Revolution in Europe, began to divide the craftsmen’s trades into specialized tasks. ✓ This forced craftsmen to become factory workers and forced shop owners to become production supervisors, and marked an initial decline in employees’ sense of empowerment and autonomy in the workplace. ✓ Quality in the factory system was ensured through the skill of laborers supplemented by audits and/or inspections. ✓ Defective products were either reworked or scrapped. WWII ✓ After entering World War II, the United States enacted legislation to help gear the civilian economy to military production. During this period, quality became a critical component of the war effort and an important safety issue. Unsafe military equipment was clearly unacceptable, and the U.S. armed forces inspected virtually every unit produced to ensure that it was safe for operation. This practice required huge inspection forces and caused problems in recruiting and retaining competent inspection personnel. THE HISTORY OF TOTAL QUALITY IN AMERICA ✓ The birth of total quality in the United States was in direct response to a quality revolution in Japan following World War II, as major Japanese manufacturers converted from producing military goods for internal use to producing civilian goods for trade. ✓ At first, Japan had a widely held reputation for shoddy exports, and their goods were shunned by international markets. This led Japanese organizations to explore new ways of thinking about quality. QUALITY PIONEERS Walter Shewhart – and the concept of statistical control W. Edwards Deming’ s contribution to Total Quality Management (TQM) The American Total Quality Management Response Joseph Juran’s focus on quality management and improvement ✓ At first, U.S. manufacturers held onto to their assumption that Japanese success was pricerelated, and thus responded to Japanese competition with strategies aimed at reducing domestic production costs and restricting imports. This, of course, did nothing to improve American competitiveness in quality. DEMING, JURAN AND JAPAN The Japanese welcomed input from foreign companies and lecturers, including two American quality experts: ✓ W. Edwards Deming, who had become frustrated with American managers when most programs for statistical quality control were terminated once the war and government contracts came to an end. The Japanese welcomed input from foreign companies and lecturers, including two American quality experts: ✓ Joseph M. Juran, who predicted the quality of Japanese goods would overtake the quality of goods produced in the United States by the mid-1970s because of Japan’s revolutionary rate of quality improvement. ✓ Japan’s strategies represented the new "total quality" approach. Rather than relying purely on product inspection, Japanese manufacturers focused on improving all organizational processes through the people who used them. As a result, Japan was able to produce higher-quality exports at lower prices, benefiting consumers throughout the world. The American Total Quality Management Response ✓ ISO 9001 Series of quality-management standards ✓ The Baldrige National Quality Award ✓ Malcolm Baldrige National Quality Award ✓ Philippine Quality Award (in PH) Quality Approaches / Philosophies ✓ ✓ ✓ ✓ Total Quality Management (TQM) Six sigma Lean Philosophy ISO Standards Total Quality Management (TQM) ✓ TQM is a management approach that seeks to achieve long-term success through customer satisfaction, involving all employees in continuous improvement efforts. ✓ TQM is a comprehensive management philosophy and approach that encompasses all aspects of an organization's activities with the goal of consistently delivering highquality products, services, and processes that meet or exceed customer expectations. 9. Prevention Over Inspection - TQM recognizes that employees are the driving force behind quality improvement. 10. Strategic Alignment - TQM aligns quality initiatives with the organization's strategic goals and vision. Key elements of TQM include: 1. Customer-centric Focus - TQM starts with a deep understanding of customer needs, preferences, and expectations. SIX SIGMA - 2. Continuous Improvement - TQM promotes an ongoing process of improvement in all aspects of the organization. 3. Employee Empowerment - TQM recognizes that employees are the driving force behind quality improvement. 4. Data-Driven Decision Making - TQM relies on accurate and relevant data for decision-making. 5. Process Optimization - TQM emphasizes the importance of welldefined and efficient processes. 6. Supplier Collaboration - TQM extends the focus on quality beyond the organization's boundaries. 7. Leadership commitment - TQM starts with a deep understanding of customer needs, preferences, and expectations. 8. Training and Development - TQM requires active leadership involvement and commitment. - Six Sigma is a highly disciplined and datadriven approach to quality management and process improvement. It aims to minimize defects and variations in processes, leading to improved quality, increased efficiency, and greater customer satisfaction. Developed initially by Motorola in the 1980s and popularized by companies like General Electric, Six Sigma has become a widely adopted methodology across various industries. The term "Six Sigma" refers to a statistical concept that measures the level of process performance. In a Six Sigma process, the goal is to achieve a level of performance where the number of defects or errors is extremely low, allowing for only about 3.4 defects per million opportunities. 3) 4) 5) LEAN SIX SIGMA - Lean focuses on removing wasteful activities in processes Six Sigma focuses on reducing process defects 6) DMAC 1. Define – clarify the problem and process 2. Measure – quantify the problem and map the process 3. Analyze – determine the root causes 4. Improve – confirm the solutions work 5. Control – ensure the gains are sustained Key principles and elements of Six Sigma 1) Data-Driven Decision Making - Six Sigma heavily relies on data collection, analysis, and statistical tools to identify the root causes of defects and variations. 2) Focus on Variation Reduction - Six Sigma aims to minimize process variations that can lead to defects. It uses statistical methods to 7) 8) understand and control the sources of variability in a process. Roles and Certifications - Six Sigma introduces a hierarchy of roles including Yellow Belt, Green Belts, Black Belts. Process Performance Metrics - Six Sigma uses several metrics, including process capability indices (such as Cp and Cpk) and sigma levels, to quantify process performance and identify areas needing improvement. Customer Focus - Six Sigma places a strong emphasis on understanding customer needs and requirements. The ultimate goal is to deliver products and services that meet or exceed customer expectations. Continuous Improvement - Like other quality management approaches, Six Sigma promotes continuous improvement as a fundamental principle. Project-based approach - Six Sigma projects are structured and data-driven. They follow a defined roadmap (DMAIC or DMADV) and typically involve crossfunctional teams working collaboratively. Cultural Transformation - Implementing Six Sigma often leads to a cultural shift within organizations. It fosters a mindset of accountability, problem-solving, and proactive quality improvement. ISO standards are a series of internationally recognized standards developed by the International Organization for Standardization. These standards provide guidelines, specifications, and best practices for various industries and sectors to ensure quality, safety, efficiency, and interoperability. ISO standards cover a wide range of topics, and each standard is identified by a unique number. ISO 9001 - Quality Management System ISO 14001- Environmental Management System ISO 22000 - Food Safety Management System ISO 45001 - Occupational Health and Safety Management System ISO 50001 - Energy Management System ISO 21001 - Education Organizations Management System As of 30th January 2024, the International Organization for Standardization (ISO) has published 25,176 international standards. Key points on quality concepts: 1. 2. 3. 4. Customer Focus Continuous Improvement Standardization Bottom-line impact
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