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Total Quality Management - TQM

What does TQM mean?What does TQM mean?

Total Quality Management means that Total Quality Management means that the organization's culture is defined the organization's culture is defined by and supports the constant by and supports the constant attainment of customer satisfaction attainment of customer satisfaction through an integrated system of through an integrated system of tools, techniques, and training. This tools, techniques, and training. This involves the continuous improvement involves the continuous improvement of organizational processes, resulting of organizational processes, resulting in high quality products and services.in high quality products and services.

Elements of TQMElements of TQM

LeadershipLeadership Top management vision, planning and Top management vision, planning and

support.support. Employee involvementEmployee involvement

All employees assume responsibility for the All employees assume responsibility for the quality of their work.quality of their work.

Product/Process ExcellenceProduct/Process Excellence Involves the process for continuous Involves the process for continuous

improvement.improvement.

Elements of TQMElements of TQM

Customer Focus on “Fitness for Use”Customer Focus on “Fitness for Use” Design qualityDesign quality

Specific characteristics of a product that determine Specific characteristics of a product that determine its value in the marketplace.its value in the marketplace.

Continuous ImprovementContinuous Improvement A concept that recognizes that quality A concept that recognizes that quality

improvement is a journey with no end and improvement is a journey with no end and that there is a need for continually looking that there is a need for continually looking for new approaches for improving quality.for new approaches for improving quality.

Conformance qualityConformance quality The degree to which a product meets its design The degree to which a product meets its design

specifications.specifications.

TQM & organizational Cultural Change

Traditional Approach

Lack of communication

Control of staff

Inspection & fire fighting

Internal focus on rule

Stability seeking

Adversarial relations

Allocating blame

TQM

Open communications

Empowerment

Prevention

External focus on customer

Continuous improvement

Co-operative relations

Solving problems at their roots

CharacteristicsCharacteristics

1.Totality – Integration of all areas ,functions ,activities and 1.Totality – Integration of all areas ,functions ,activities and employees are important.employees are important.

2.Documentation – Information should be documented and 2.Documentation – Information should be documented and it help the employees in visualizing their work it help the employees in visualizing their work assignments and responsibilities in the quality activity.assignments and responsibilities in the quality activity.

3.Improvements – The Improvement of quality activities 3.Improvements – The Improvement of quality activities helps in achieving highest levels of quality and helps in achieving highest levels of quality and competitiveness in operations, products and services.competitiveness in operations, products and services.

4.Foundation – The organization must have a solid 4.Foundation – The organization must have a solid foundation. Good organizational systems equip foundation. Good organizational systems equip management and employees of the company to come to management and employees of the company to come to grips to customer requirements and satisfaction.grips to customer requirements and satisfaction.

ObjectivesObjectives

Making the organization market and customer Making the organization market and customer focusedfocused

Guiding the organization by its values, vision, Guiding the organization by its values, vision, mission, and goals set through ‘strategic mission, and goals set through ‘strategic planning process’.planning process’.

Changing the organization from function focused Changing the organization from function focused to customer focused, where customer priorities to customer focused, where customer priorities come first in all activities.come first in all activities.

Making the organization flexible and learning Making the organization flexible and learning oriented to cope with changeoriented to cope with change

Making the organization believe in – and Making the organization believe in – and seek– continuous improvement as a new way of life. seek– continuous improvement as a new way of life.

Creating an organization where people are at the Creating an organization where people are at the core of every activity, and are encouraged and core of every activity, and are encouraged and empowered to work in teams.empowered to work in teams.

Promoting a transparent leadership process to lead Promoting a transparent leadership process to lead the organization to excellence in its chosen field the organization to excellence in its chosen field of businessof business

Fundamentals of TQMFundamentals of TQM

Focus on CustomerFocus on Customer

Management by factManagement by fact

Focus on preventionFocus on prevention

Principle of PDCA cyclePrinciple of PDCA cycle

Employee involvementEmployee involvement

Key Activity AreasKey Activity Areas

Preproduction Quality EvaluationPreproduction Quality Evaluation

Quality PlanningQuality Planning

Quality Evaluation of Product and ProcessQuality Evaluation of Product and Process

Quality Information SystemQuality Information System

Quality Training and OrientationQuality Training and Orientation

Post production Quality ServicePost production Quality Service

Total Quality Management

Total Quality ManagementTotal Quality Managementand Continuous Improvementand Continuous Improvement

TQM is the management process used to TQM is the management process used to make continuous improvements to all make continuous improvements to all functions.functions.

TQM represents an ongoing, continuous TQM represents an ongoing, continuous commitment to improvement.commitment to improvement.

The foundation of total quality is a The foundation of total quality is a management philosophy that supports management philosophy that supports meeting customer requirements through meeting customer requirements through continuous improvement.continuous improvement.

Total Quality Management

The TQM SystemThe TQM System

CustomerFocus

ProcessImprovement

TotalInvolvement

LeadershipEducation and Training Supportive structureCommunications Reward and recognition

Measurement

ContinuousImprovement

Objective

Principles

Elements

TQM GURUSTQM GURUS

1,W.EDWARDS DEMING1,W.EDWARDS DEMING

2,JOSEPH M.JURAN2,JOSEPH M.JURAN

3,GENICHI TAGUCHUI3,GENICHI TAGUCHUI

4,PHILIP B.CROSBY4,PHILIP B.CROSBY

1.1. Create constancy of Create constancy of purpose.purpose.

2.Adopt a new philosophy.2.Adopt a new philosophy.3. Cease mass inspection.3. Cease mass inspection.4. End awarding business on 4. End awarding business on

the basis of price tag.the basis of price tag.5. Constantly improve the 5. Constantly improve the

system.system.6. Institute training on the job.6. Institute training on the job.7. Improve leadership.7. Improve leadership.

8.8. Drive out fear.Drive out fear.9.9. Break down barriers Break down barriers

between departments.between departments.10.Eliminate slogans.10.Eliminate slogans.11.Eliminate work standards.11.Eliminate work standards.12. Remove barriers to pride.12. Remove barriers to pride.13. Institute education and 13. Institute education and

self-improvement.self-improvement.14. Put everybody to work.14. Put everybody to work.

Deming’s 14 Points for Management

Crosby's 14 Steps to Crosby's 14 Steps to Quality ImprovementQuality Improvement

1,Management is 1,Management is committed to qualitycommitted to quality – and this is clear to – and this is clear to allall

2,Create quality improvement teams – with (senior) 2,Create quality improvement teams – with (senior) representatives from all departments.representatives from all departments.

3,Measure processes3,Measure processes to determine current and potential to determine current and potential quality issues.quality issues.

4,Calculate the cost of (poor) quality4,Calculate the cost of (poor) quality

Crosby's 14 Steps to Crosby's 14 Steps to Quality ImprovementQuality Improvement

5,Raise quality awareness5,Raise quality awareness of all employees of all employees

6,Take action to correct quality issues6,Take action to correct quality issues

7,Monitor progress7,Monitor progress of quality improvement – of quality improvement – establish a zero defects committee.establish a zero defects committee.

8,Train supervisors in quality improvement8,Train supervisors in quality improvement

Crosby's 14 Steps to Crosby's 14 Steps to Quality ImprovementQuality Improvement

9,Hold “zero defects” 9,Hold “zero defects” daysdays

10,Encourage employees to create their own quality 10,Encourage employees to create their own quality improvement goalsimprovement goals

11,Encourage employee communication with 11,Encourage employee communication with management about management about obstacles to qualityobstacles to quality

12,Recognize participants’ effort12,Recognize participants’ effort

13,Create 13,Create quality councilsquality councils

14,Do it all over again – quality improvement does 14,Do it all over again – quality improvement does not endnot end

Juran’s Ten Steps to Juran’s Ten Steps to Quality ImprovementQuality Improvement

1,Build awareness of the need and opportunity for 1,Build awareness of the need and opportunity for improvementimprovement

2,Set goals for improvement2,Set goals for improvement

3,Organize to reach the goals3,Organize to reach the goals

4,Provide training4,Provide training

5,Carry out projects to solve problems5,Carry out projects to solve problems

6,Report progress6,Report progress

7,Give recognition7,Give recognition

8,Communicate results8,Communicate results

9,Keep score9,Keep score

10,Maintain momentum by making annual improvement part 10,Maintain momentum by making annual improvement part of the regular systems and processes of the companyof the regular systems and processes of the company

Genichi Taguchi ‘s eight point approachGenichi Taguchi ‘s eight point approach

1,Identify main functions, side effects and future modes.1,Identify main functions, side effects and future modes.2,Identify noise factors and the testing conditions for evaluating 2,Identify noise factors and the testing conditions for evaluating

quality loss.quality loss.3,The quality characteristics to be observed should be identified 3,The quality characteristics to be observed should be identified

and the objective function to be optimised.and the objective function to be optimised.4,The control factors and alternate levels be identified.4,The control factors and alternate levels be identified.5,Design the matrix experiment and define the data analysis 5,Design the matrix experiment and define the data analysis

procedure.procedure.6,Conduct the matrix experiment.6,Conduct the matrix experiment.7,Analyse data, determine optimum levels for the control factors 7,Analyse data, determine optimum levels for the control factors

and predict performance under these levels.and predict performance under these levels.8, Conduct the verification experiment and plan future actions.8, Conduct the verification experiment and plan future actions.

Quality System StandardsQuality System Standards

The quality systems are the organizational structures, The quality systems are the organizational structures, responsibilities ,procedures ,processes and resources for responsibilities ,procedures ,processes and resources for implementing quality management. The quality system implementing quality management. The quality system should function as to provide proper confidence that:should function as to provide proper confidence that:

The system is well understand and effective.The system is well understand and effective.

The products or services actually do satisfy customer The products or services actually do satisfy customer expectations.expectations.

The emphasis is placed on problem-prevention rather than The emphasis is placed on problem-prevention rather than dependence on detection ,after occurrence.dependence on detection ,after occurrence.

ISO (INTERNATIONAL ORGANISATION FOR ISO (INTERNATIONAL ORGANISATION FOR STANDARDISATION)STANDARDISATION)

The International Organization for Standardisation The International Organization for Standardisation (ISO) is a specialised agency for standardisation. It is (ISO) is a specialised agency for standardisation. It is a world wide federation of national standards bodies in a world wide federation of national standards bodies in more than 100 countries. The primary objective of ISO more than 100 countries. The primary objective of ISO is coordination and unification of international is coordination and unification of international standards. The Bureau of Indian Standards (BIS) is standards. The Bureau of Indian Standards (BIS) is the national standards body of India represented on the national standards body of India represented on ISO.ISO.

ISO Family of StandardsISO Family of Standards

ISO9000:Quality Management and Quality Assurance ISO9000:Quality Management and Quality Assurance Standards- Guidelines for selection and use.Standards- Guidelines for selection and use.

ISO 9001:Model for quality Assurance in Design ISO 9001:Model for quality Assurance in Design /Development ,Production ,Installation and Servicing./Development ,Production ,Installation and Servicing.

ISO 9002:Model for Quality Assurance in Production ISO 9002:Model for Quality Assurance in Production and Installationand Installation

ISO 9003:Model for Quality Assurance in Final ISO 9003:Model for Quality Assurance in Final Inspection and Test.Inspection and Test.

ISO 9004:Quality Management and Quality System ISO 9004:Quality Management and Quality System Elements.Elements.

QUALITY CIRCLEQUALITY CIRCLE

Quality circleQuality circle

"Quality Circle is a small group of employees who work-in "Quality Circle is a small group of employees who work-in same work area or doing a similar type of worksame work area or doing a similar type of work

who voluntarily meet regularly for about an hour every who voluntarily meet regularly for about an hour every week to identify, analyze and resolve work related week to identify, analyze and resolve work related problems, leading to improvement, In their total problems, leading to improvement, In their total performance and enrichment of their work life."performance and enrichment of their work life."

3 major quality concepts3 major quality concepts

Quality circle is a form of participant Quality circle is a form of participant management.management.

Quality circle is a human resource Quality circle is a human resource

devolvement technique.devolvement technique.

Quality circle is a problem solving Quality circle is a problem solving technique.technique.

ObjectivesObjectives

Change in attitudeChange in attitude

Self development Self development

Development of team spiritDevelopment of team spirit

Improved organizational cultureImproved organizational culture

Help in improving the productivity Help in improving the productivity

Promote individuals self-developmentPromote individuals self-development

Enhanced interest in jobs.Enhanced interest in jobs.

Benefits of QCBenefits of QC

Improving human relationsImproving human relations

Participative cultureParticipative culture

Solving quality problemsSolving quality problems

Reducing defectsReducing defects

Improving productivityImproving productivity

Problem prevention attitudesProblem prevention attitudes

Improved communicationImproved communication

Leadership developmentLeadership development

BenchmarkingBenchmarking

Benchmarking is a systematic method by Benchmarking is a systematic method by which organizations can measure which organizations can measure themselves against the best industry themselves against the best industry practices. It is the search for best practices. It is the search for best practices that will lead to superior practices that will lead to superior performance.performance.

Varieties of benchmarkingVarieties of benchmarking

Internal BenchmarkingInternal Benchmarking

External BenchmarkingExternal Benchmarking

Competitive BenchmarkingCompetitive Benchmarking

Industry BenchmarkingIndustry Benchmarking

Process BenchmarkingProcess Benchmarking

Performance BenchmarkingPerformance Benchmarking

Strategic PerformanceStrategic Performance

AdvantagesAdvantagesUnderstanding companiesUnderstanding companies

Attainment of competitive positionAttainment of competitive position

Meet requirements of usersMeet requirements of users

Establishing goalsEstablishing goals

Improvement in qualityImprovement in quality

Determination of training needs of employeesDetermination of training needs of employees

Improvement of overall performance of the Improvement of overall performance of the companycompany

LimitationsLimitations

1.The best in class performance is not static.1.The best in class performance is not static.

2.Not provide instant sollutions2.Not provide instant sollutions

3.Chance of conflict3.Chance of conflict

4.Lack of planning and leadership4.Lack of planning and leadership

BUSINESS PROCESS BUSINESS PROCESS REENGINEERINGREENGINEERING

Reengineering is a systematic critical examination of Reengineering is a systematic critical examination of existing ways of doing things in an organisation with a existing ways of doing things in an organisation with a newer and better ways of doing business. They exercise newer and better ways of doing business. They exercise help in making the function faster , cost effective and help in making the function faster , cost effective and qualitative. It brings out deficiencies of existing system qualitative. It brings out deficiencies of existing system and attempts to maximise productivity through and attempts to maximise productivity through restructuring and reengineering human resources as well restructuring and reengineering human resources as well as departments.as departments.

Phases of ReengineeringPhases of Reengineering

1, Realisation – Assessment and understanding 1, Realisation – Assessment and understanding organization needs , challenges, threats etc.. organization needs , challenges, threats etc..

2, Requirements – Requirements of customers, 2, Requirements – Requirements of customers, suppliers, owners ,products and services. suppliers, owners ,products and services.

3, Rethink – Examining of organization’ s current 3, Rethink – Examining of organization’ s current objectives and underlying assumptions.objectives and underlying assumptions.

4, Redesign – Analysis of the way the organization 4, Redesign – Analysis of the way the organization produces the products ,the way the jobs are produces the products ,the way the jobs are structured.structured.

Reengineering ProcessReengineering Process

1, Preparing for change – This step prepares 1, Preparing for change – This step prepares foundation for the future activityfoundation for the future activity

2, Planning for changes – Enables the management to 2, Planning for changes – Enables the management to forsee the future changes and plan the things to forsee the future changes and plan the things to carry out those changes.carry out those changes.

3, Designing change - This step provides a mean to 3, Designing change - This step provides a mean to identify , assess, map and ultimately redesign identify , assess, map and ultimately redesign business processes. business processes.

4, Evaluating change – Evaluate past activities and 4, Evaluating change – Evaluate past activities and develop objectives and priorities for the coming year.develop objectives and priorities for the coming year.

Six SigmaSix Sigma

Six Sigma is a philosophical benchmark or standard of excellence proposed by Philip Crosby. It provides techniques and tools to improve the capability and reduce the defects in any process. This strategy measures the degree to which any process , has deviated from its mean without causing errors in the operation.

Advantages of Six SigmaAdvantages of Six Sigma

Indicate the extent to which a process can vary without Indicate the extent to which a process can vary without causing errors in the operations.causing errors in the operations.

Aims to achieve zero defects product.Aims to achieve zero defects product.

Eliminates causes of defects in the operations.Eliminates causes of defects in the operations.

Extensive training to the project team.Extensive training to the project team.

Aims to improve process performance.Aims to improve process performance.

Improves the work system ,training and the work Improves the work system ,training and the work environment.environment.

Decreases the cost of inspection and reduces the Decreases the cost of inspection and reduces the rework.rework.

Key Roles for Implementing Six SigmaKey Roles for Implementing Six Sigma

1,Executive Leadership - Top management will be assigned 1,Executive Leadership - Top management will be assigned for setting up the vision for implementing six sigma. for setting up the vision for implementing six sigma.

2,Champions -Take responsibility for implementing six sigma.2,Champions -Take responsibility for implementing six sigma.

3,Master Black Belts – Devote hundred percent of their time 3,Master Black Belts – Devote hundred percent of their time for implementing six sigma.for implementing six sigma.

4,Black Belts – Implement six sigma in specific projects.4,Black Belts – Implement six sigma in specific projects.

5,Green Belts – Implement six sigma along with their other 5,Green Belts – Implement six sigma along with their other job responsibilities.job responsibilities.

KAIZENKAIZEN

KAIZEN is a philosophy or practice that KAIZEN is a philosophy or practice that focuses upon continuous improvement of focuses upon continuous improvement of processes in manufacturing, engineering, processes in manufacturing, engineering, game development, and business game development, and business development. It is a daily process , the development. It is a daily process , the purpose of which goes beyond simple purpose of which goes beyond simple productivity improvement.productivity improvement.

ElementsElements

1, Teamwork1, Teamwork

2, Personal discipline2, Personal discipline

3,Improved morale3,Improved morale

4,Quality circles4,Quality circles

5,Suggestions for improvement5,Suggestions for improvement

AJITH MK