TQM: Total Quality Management - Presentation

Hayat Alyaqout

T.Q.M

T.Q.M

Total Quality Management

What is Quality The goodness or badness of a result Fitness for Purpose the degree of excellence a thing possesses. The degree in which all properties of a product,

process or service conform to requirements. Quality without an adjective most often means

quality better than normal, as contrasted with normal quality.

E.g. “That’s a quality product” Quality = Meeting and exceeding customer’s

expectations

Quality Management

That aspect of the overall management function that determines and implements the quality policy

TQM TQM is an approach to management that

seeks continual improvement in everything we do.

It is concerned with the performance

TQM stresses the creative involvement of everyone from the Chief Executive Officer down, in the quest for quality.

Q Circles is centered around employees, TQM is encompasses the whole org = Total

Total Quality Management is a structured system for satisfying internal and external customers and suppliers by integrating the business environment, continuous improvement, and breakthroughs with development, improvement, and maintenance cycles while changing organizational culture.

exceed customer expectations and achieve strategic business objectives.

TQM used by profit and not-for-profit orgs

TQM Principles & Characteristics

Quality Pays

Focus on the Customer

Involving and Empowering People

Process- oriented rather than product-oriented

“Excellence is the journey rather than the destination”

Continual Improvement of Process, Product and Service

Involves the whole Org (total)

TQM = Competitiveness

+ Quality =

Less defects Better time management Better resources management

= + competitiveness + cost effectiveness

TQM Levels Integrating quality throughout the company

(up- bottom and bottom-up)

That is on each of the following levels: organizational level Process Level Job/performer level

A bit of History First introduced the idea to the

Japanese through the introduction of Statistical Quality Control methods

in the 1960s, an NBC program was broadcasted titled "if Japan can do it, why can't we? " and from there, the TQM model started in the United States. Motorola was the initiator of the Six Sigma program

Deming’s Theory:

Deming has 14 quality points but can be summed up in 4 main points (cycle):

1. Plan: Identify the Problem and develop the plan for improvement

2. Do: Implement the plan on a test basis

3. Study/Check: Access the plan is it working

4. Act: Institutionalize improvement continue the cycle

Misconceptions…

On the early 1950s management used to think that quality is costly and in order to achieve higher quality management should spend lots of money.

Nowadays, Quality insures great reduction of cost in manufacturing and service. When you improve quality you actually reduce scrap and inspection and reduce cycle time of making the product

meaning that there is no WIP (work in progress) stuck at the assembly line and hence less holding costs.

A.Cost

If a company sees itself paying lots of money for quality programs that means they are failing to provide quality, because quality is free.

Quality is free because it's more of a discipline that every level on the organization should understand. Organizations levels are classified : Management level, Process Level, Performer/job Level

Misconceptions

Quality has nothing to do with the company age. We still can see very old companies that can't even meet the quality standards.

Some examples are Ford Motors, started producing on the 1920s yet still their rate of quality is 90% compared to Toyota 100%.

B. Company’s Age

The managers and the others

Quality is something everyone in the organization has to commit to not only a management responsibility.

The trap that most companies fall in is that they think quality is a tangible thing that can be seen in products, while quality is something that have to be seen in employees, products and processes

Misconceptions

Tangibility

Now everybody is considering quality as a culture in their

companies

Now companies all over the world have logos and goals that support quality as their main drive

Now every company uses sophisticated approaches to quality like Control charts, DoE (Design of Experiments), and populations sampling.

Early on the days quality was achieved through inspections which was costly and not efficient.

Examples Motorola has a logo on cards distributed

to every employee to carry with them every where that says" total customer satisfaction" and " six sigma in everything we do".

Ritz Carlton logo is " we are ladies and gentlemen serving ladies and gentlemen".

TOYOTA company " Quality is doing it right the first time". Trust TOYOTA products as well, they go out of the factory with 100% rate of success.

Quality Perception

Quality perception is relative Criteria: reliability, durability , cost The meaning of quality must be linked to

the customer him/herself. meeting or exceeding customers

expectations.

Six Sigma Sigma itself refers to the degree of variation

from the mean (average specified). Most companies of the world operate at 3.5

sigma level. The highest level of sigma that companies try

to reach to save on quality is Six Sigma. Six Sigma means 3.4 units defected per

million produced.

Motorola is the leading company in using Six Sigma and they are operating at 5.7 Sigma ( meaning 117 defects per million produced).

in every company there are teams dedicated to serve quality and those are from top to bottom: Master black belts, black belts, green belts. There only job is to improve quality through manufacturing processes.

Methods to Measure

TQM uses statistical methods that quality reduces cost instead of increasing it because less rework and scrap is streamed.

Quality Control charts specify upper and lower control limits and describes the process variation. if the chart exceeds or falls beyond the control limits that means our process is not well performed

Testing of the product under several factors to see what factors have greater influence on the product to satisfy them and make higher quality products.

Population sampling allows us to do sampling perfectly in such that we make best use of random testing

TQM in Libs Non-for=profit New competitors Customer satisfaction

3 things:

1. Customer-centered

2. importance of watching processes

3. involvement of everyone

TQM Failure

1. Thinking it’s a “quick fix”

2. Paying lips service

3. Impatience ( Japan 1950-1970)

A story of quality builder

Building Quality