Muhammad Kashif

QUALITY CIRCLES

“Quality begins on the inside... and then works its way out in a

circular manner”

Quality circle

DEFINITION“Quality circle refers to small group of employees, belonging to the same work area who meet voluntary and regularly to discuss Productivity, Quality problems, identify, analyze and resolve problems related to their work area”

Other Names of Quality Circles Small Groups Action Circles Excellence Circles Human Resources Circles Productivity Circles

Quality Circles

Quality Circles

¨ Group of 6-12 employees from same work area¨ Facilitator trains & helps with meetings¨ Meet on regular basis¨ Solve problems related to work¨ Voluntary group of persons¨ Work on similar tasks¨ Share area of responsibility

Quality Circles

History of Quality Circles

• First Quality circles was established in QCC Head Quarters in Japan in 1962, by Japanese Union of Scientists and Engineers (JUSE) and the man who initiated the idea is Dr. Kaoru Ishikawa.

• 1962: First annual QC Conference for Foremen was held in Japan.• 1970: Registered Quality Circles grew to 30000 in Japan.• 1974: Lockheed Company, USA started Quality Circle movement• 1977: International Association of Quality Circles (IACC) was formed

in USA• 1980: 230 companies in USA had Quality Circles• 1980: BHEL, Hyderabad first in India to start Quality Circles

• 1982: Quality Circle Forum of India (QCFI) was founded • 1983: There were more than 500,000 known Quality Circles

active in the world• 1983: Tata Motors (formerly Telco) started Quality Circles.• 1985: BHEL had 1411 Circles covering around 13362 members• 2009: There are now Quality Circles in most East Asian

countries, it was recently claimed that there were more than 20 million Quality Circles in China.

History of Quality Circles

Quality Circle is one of the employee participation in decision

making and problem solving improves the quality of work.

Quality Circle implies the development of skills, capabilities,

confidence and creativity of the people.

It creates conditions and environment of work that stimulates

commitment towards excellence.

Quality Circles utilize the potential of people for improvement in

quality.

WHY Quality Circles

• All members of a Circle need to receive training

• Members need to be empowered• Members need to have the support of Senior

Management

How Do Quality Circles Work

Managing people (grass root level)Respected and are involved in decisionsPeoples’ capabilities to solve work-area

problems

Philosophy

CONCEPTS OF Q.C

Usman Khalid Abbasi

Objectives of Quality Circles

• Promote job involvement • Improve communication .• Promote leadership qualities • Reduce errors. • Develop harmonious manager, supervisor and worker relationship • Improve productivity • Increase employee motivation• Job satisfaction• Problem solving capacity• Participation• Self-discipline

CHARACTERISTICS Of QUALITY CIRCLE

• Small group of employees – optimum of 8-10 members

• Members are from same work area or doing similar type of job

• Membership is voluntary

• Meet regularly for an hour every week

• They meet to identify, analyze, and resolve work related problems

• Resolve work related problems, leading improvement in their

total performance.

THE IMPACT OF QUALITY CIRCLE

• Improvement of human relations and workplace morale.

• Promotion of work culture.• Enhancement of job interest .• Effective team work .• Reducing defects and improving quality.• Improvement of productivity.• Enhancing problem solving capacity .• Improving communication & interaction.

Structure of Quality Circle

Top management

Steering Committee

Coordinator

Facilitator

Leader

Member

Top Management

Steering Commit

tee

Coordinator

Facilitator

Leader

Members

Non QC Membe

rs

The Success of the quality circle depends solely on the attitude of the top management and plays an important role to ensure the success of implementation of quality circles in the organization.

Top Management

Steering Committee

Coordinator

Facilitator

Leader

Members

Non QC Membe

rs

Steering committee called middle management consists of chief executive heads of different divisions or a coordinator plays a positive role in quality circle’s activities for the success of the efforts.

Top Management

Steering Commit

teeCoordinator

Facilitator

Leader

Members

Non QC Membe

rs

Coordinator, who also acts as a facilitator, is an individual responsible for coordinating and directing the quality circles activities within an organization and carries out such functions as would make the operations of quality circles smooth, effective and self-sustainable.

Top Management

Steering Commit

tee

Coordinator

FacilitatorLeader

Members

Non QC Membe

rsFacilitator acts as a catalyst, innovator, promoter and teacher and is nominated by the management.

Communicating with all levels of management and obtaining their support.

Facilitating the training of leaders and members.

Ensure objectivity in the activities.

As a mediator in problem solving.

Evaluating the cost and benefits.

Top Management

Steering Commit

tee

Coordinator

Facilitator

LeaderMembers

Non QC Membe

rs

Leader is chosen by the members from amongst them. He may be foreman / supervisor/ charge man or any other member. Member can decide on the leader for each project. Leader is responsible for the effective performance of his circle. He must be prepared to face challenge to his ideas.

Top Management

Steering Commit

tee

Coordinator

Facilitator

Leader

Members Non Members

Members of the quality circles are a small group of people from the same work area or doing similar type of work whereas non-members are those who are not the members of the QC but provide suggestions. Members are expected to;

i. Attend meetings regularly;ii. solving work-related problems;iii. Participating in management presentations

How Can They be used in an Organization?

• Increase Productivity• Improve Quality• Boost Employee Morale

How Do Quality Circles Operate?

• Appointment of a steering committee, facilitator and QC team leaders.

• Formation of QCs by nomination/voluntary enrolment of QC members.

• Training of all QC members (by an expert consultant).

• Training of non-participating employees (by an expert consultant).

Education of QC members

• QC members must make it a habit to study• Read text books as many times as possible and make the best

use of them• Develop the habit of getting as much data as possible from as

many sources as possible and utilize them to the maximum extent

• Knowledge is not sufficient, but the application of knowledge is more important

• Apply the techniques in such a simple manner that everyone can understand

Code of Conduct for QC

• Attend all meetings and be on time. • Listen to and show respect for the views of other members. • Criticize ideas, not persons. • Help other members to participate more• Encourage the ideas of others. • Every member is responsible for the team’s progress. • Friendly attitude. • Pay attention- avoid disruptive behavior. • Objectives and causes first, solutions next.

Procedure For Quality Circles Meetings

• The leader explains the problem.• The members pool ideas.• The suggestions are recorded. • The participants in the consultation are free to make

amendments and additions.• The suggestions are evaluated and weighted according to their

feasibility and practicability.• Suggested decisions are formulated and recorded jointly• The managing directors in the enterprise are informed of the

results of the consultation in the quality circle. Different solutions are suggested and argued.

Quality Circle Leader initiates and takes the following actions:• He prepares an agenda and circulates to all members to attend

meetings.• He invites Facilitator for meetings wherever necessary.• He explains the agenda and asks all the members to participate.• He tries to accommodate different view points of members and

ensure that focus is not lost.• The meetings should be conducted as scheduled.• He ensures that the decision on problem solving by way of consensus.• He summarizes discussions at the end of the meeting.• Minutes of the meeting is prepared and submitted to the facilitator

How QC Meetings are Conducted

Factors for the Success of QC activities

Make a master plan and divide into elementsStudy, discuss and solve the problem with the

co-operation of all the members so that their commitment is assured for the implementation

Constantly review the progress and the status of the solution

• Promote personal and leadership development• Improve communication within the organization• Increase employee motivation• Improve quality • Better co-operation• Participative management• Encourage creativity

Benefits of Quality Circles

• Inadequate Training• Lack of Management commitment & support• Resistance by middle management• Resistance by Non- participants• Lack of clear objectives• Different activities of members of quality circle• Quality Circles are not really empowered to make decisions• Failure to get solutions implemented.

Problems of Quality Circles

Quality Circle Activities at Toyota Motor Corporation

Toyota Motor Corporation introduced total quality circle or TQC in 1961. Fours years later, the company was awarded the Deming Application Prize for their efforts.

TMC began Quality Circles activities in 1964 in pursuit of the Deming Prize and has continued to sustain them for more than 40 years since then.

In 1993 the company deployed its New Quality Circle Activities. Toyota has 4,800 QC registered and ongoing in 2001. Global Quality Circle activities were implemented in 2004.

Quality Circle Activities at Toyota Motor Corporation

Toyota Motor Corporation carries out their QC activities with three aims in mind.

The first is to develop the abilities of individuals in the workforce and empower them to self-fulfillment.

The second to develop an attitude of mutual respect among members and create a motivating environment.

Third, contribute to corporate development by fostering continuous improvement of the workplace.

QUALITY CIRCLE OPERATION CYCLE

Problem identification

Problem selection

Problem analysis

Generate alternative solutions

Select best solution

Prepare plan of action

Present solution to management

Implementation

Review and follow up

How Quality Circle differs from other Concepts ?

Everybody participates and contributes in the process of decision-making

Problems are chosen, not given Decision by consensus, not by majority Performance-oriented, not problem-oriented Bottom-up approach Management-blessed, not management-directed Members are responsible from the identification of a

problem to implementation of the solution.

EXAMPLES OF QUALITY CIRCLE

PUBLIC WORKS DEPARTMENTS (PWD) Maharashtra

The concept of quality circle was launched in the public works

department (PWD) of govt. of Maharashtra from November 1997. Mumbai Region : 17 quality circles have been formed and 22

problems have been solved. Pune Region : 48 quality circles formed and solved 8 problems Nashik Region : 9 quality circles formed and solved 3 problems. Aurngabad Region : 21 quality circles formed and solved 7

problems. Nagpur Region : 47 quality circles formed and solved 57 problems.

• BHEL -1980 –Mr.S.R.Udapa (GM Operations) 1st Indian to start quality circle• Hero Honda motors “Sunrise Quality circle”• Lucas TVS, Chennai “honey bee quality circle”• Tata Refectories, Orissa “Niharika quality circle”

EXAMPLE OF QUALITY CIRCLE

Organization• 8 to 10

members, same area moderators

Training• Group

Processes• Data collection• Problem

Analysis

Problem ID• Brainstormi

ng• List

alternatives• Consensus

Problem Analysis• Data

collection & Analysis

• Cause & effect

Solution• Problems• Result

Presentation• Implementati

on• Monitoring

CONCLUSION• Quality circle is implemented to all

organisation where there is scope for group based solution of work related problems.

• Qc is aim to achieve the objectives basically through development of people.

• They are applicable for variety of organizations.• Quality Circles are not limited to

manufacturing firms only. • Quality Circles are relevant for

factories, firms, schools, hospitals, universities, research institutes, banks, government offices etc.