Total Quality Management

Introduction

Basic Concepts of Quality and TQM
Introduction to Quality
Meaning of Quality
Quality is a judgment by customers or
users of a product or service. That is
quality is a customer determination,
not an engineers determination or
managers determination.
Quality definition
Quality is fitness for use. -Juran
Quality is conformance to
requirements. -Crosby
Quality is the totality of features and
characteristics of a product or service,
that bear on its ability to satisfy stated
and implied needs of the customer -
ISO
Quality can be quantified as
follows
Q=P/E
Where Q=Quality P=Performance
and E=Expectations
If Q is greater than 1.0, then the
customer has a good feeling about the
product or service.
Different views of Quality
From the users point of view
The product/services usefulness in
meeting the needs and expectations and
its reliability, safety, durability and so on
From the production point of view
The quality of a product is measured by
the quality of its performance which
depends on the quality of design and the
quality of conformance


Japanese Quality chain
reactions


Improve
Quality
Costs decrease due to fewer
defects, lesser rework, fewer
delays and better use of men,
machine and material
Improved
Productivity
Capture
market with
better
quality and
lower prices
Stay in
business
Provide
more jobs
The Deming quality chain reaction
Dimensions of Product Quality
Dimensions of Service Quality
Reliability
Responsiveness
Assurance
Empathy
Tangibles
Other dimensions
Time
Timeliness
Completeness
Courtesy
Consistency
Accessibility and
convenience
Accuracy
Competence
Access
Communication
Credibility
Security


Why TQM
The Intense Competitive environment
Increase customer consciousness all
over the world
Need for earning profit instead of
making profit
Crucial role played by organizational
issues, such as Leadership, Human
Resource, revolution of Information
etc., in quality management
Total Quality Management
Total- Made up of the whole

Quality-Degree of excellence a
product or Service provides

Management Act, art, or manner of
handling, controlling, directing
TQM Definition
TQM is the management approach of
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.
Characteristics of TQM

Management philosophy to guide a process
of change
Customer oriented management system
Starts at the top; it requires the leadership of
top management and continuous
involvement
Team work; it requires organization-wide
involvement
Calls for planning
Strategy for continuous improving
performance at all levels and in areas of
responsibility
Aims at meeting the dynamic needs of the
customer and creates a loyal and diversified
customer base
Basic concepts of TQM
Top Management Commitment
Focus on the customer
Effective involvement and utilization of
the entire work force
Continuous improvement
Treating suppliers as partner
Establishing performance measure
for the processes
Pillars of TQM
Problem solving discipline
Interpersonal skills
Team work and
Quality improvement process
(Employee involvement, Structured,
Stepwise, discipline, consistency)
Evolution of TQM
Quality
Quality
Control (QC)

Statistical
Quality
control
Total Quality
Control
Quality
Assurance
TQM
Principles of TQM
Customers requirements must be the first
time, every time
There must be agreed requirements, for
both internal and external customers
Everybody must be involved, from all
levels and across all functions
Regular communication (both formally
and informally) with staff at all levels is
must. Two way communication at all
levels must be promoted
cont
Identifying training needs and relating them
with individual capabilities and
requirements is must
Top managements participation and
commitment is must
A culture of continuous improvement must
be established
Emphasis should be placed on purchasing
and supplier management
Every job must add value
Quality improvement must eliminate
wastes and reduce total cost
Cont
There must be a focus on the
prevention of problems
A culture of promoting creativity must
be established
Performance measure is a must at
organization, department and individual
levels. It helps to assess and meet
objectives of quality
There should be focus on team work
Barriers to TQM
implementation
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
Cont
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
Inadequate attention to internal and
external customers
Delay or non-implementation of quality
improvement teams recommendations.
Benefits of TQM
Tangible Benefits Intangible Benefits
Improved product quality Improved employee participation
Improved productivity Improved teamwork
Reduced quality costs Improved working relationships
Increased market and customers Improved customer satisfaction
Increased profitability Improved communication
Reduced employee grievances Enhancement of job interest
Enhanced problem-solving capacity
Better company image
Contributions of Quality Gurus:
Walter A. Shewart
W. Edwards Deming
Joseph M. Juran
Philip Crosby
Masaaki Imai
Armand V.Feigenbaum
Kaoru Ishikawa
Genichi Taguchi & Shingeo Shingo
Walter A. Shewart

Statistical control charts
PDSA cycle
W. Edwards Deming

Demings Contribution
1. Demings 14 points on route to
quality
2. Deming cycle (or PDCA cycle)
3. Seven deadly disease of
management and
4. System of profound knowledge

Demings 14 points
1. Create constancy of purpose toward
improvement of product and service
2. Adopt the new philosophy
3. Cease dependence on inspection to
achieve quality
4. End the practice of awarding business
on the basis of price tag
5. Improve constantly and forever the
system of production and service
6. Institute training
7. Institute leadership cont


Demings 14 points
8. Drive out fear
9. Break down barrier between
departments
10. Eliminate slogans, exhortations and
targets for work force
11. Eliminate work standards (quotas) on
the factory floor-Eliminate
management by objectives
12. Remove barriers to pride of
workmanship
13. Institute a vigorous program of
education and self-improvement
14. Accomplish the transformation


2. Deming PDCA cycle
Plan- what is needed
Do-it
Check- that it works
ACT- to correct problems or improve
performance
3. Seven deadly diseases of
management
Lack of consistency of purpose
Emphasis on short term profits
Reliance on performance appraisal
and merits
Staff mobility
Reliance on financial figures
Excessive medical costs
Excessive legal costs
4. System of profound
knowledge
Four elements of system of profound
knowledge
Appreciation for a system
Knowledge of statistical theory
Theory of knowledge
Knowledge of psychology
Jurans contributions
1. Internal customers

Suppliers
Process

Customer
2. Cost of quality
i) Failure cost: Scrap, rework,
corrective actions, warranty claims,
customer complaints and loss of
customer
ii) Appraisal costs: inspection,
compliance auditing and
investigations
iii) Prevention costs: Training,
preventive auditing and process
improvement implementation

Jurans quality trilogy
Quality planning
Identify the customers
Determine the customers needs
Establish quality goods
Develop a process
Prove process capability
Quality control
Choose control subjects (what to control?)
Choose units of measurement
Establish measurement
Establish standards of performance
Measure actual performance
Interpret the difference (actual vs. standard)
Take action on the difference

Quality improvement
Prove need for improvement
Identify specific projects for improvement
Organize to guide the projects
Organize for diagnosis-for discovery of
causes
Diagnose to find the causes
Provide remedies
Prove that remedies are effective under the
operating conditions
Provide for control to hold gains

Jurans 10 steps for quality
improvement
Build awareness of the need and opportunity for
improvement
Set goals for improvement
Organize to reach the goals
Provide training
Carry out projects to solve problems
Report progress
Give recognition
Communicate results
Keep score
Maintain momentum by making annual
improvement part of the regular systems and
processes of the company
The breakthrough concept
journey from symptoms to cause and
the journey from cause to remedy
Philip Crosby
Zero Defects and Do it right first time
Crosbys Contributions
1. Four Absolutes of quality
2. Fourteen steps to quality
management and
3. Crosbys quality vaccine
1. Crosbys absolutes for quality
management
First Absolute: The definition of quality is
conformance to requirements, not
goodness
Second Absolute: the system for causing
quality is preventive, not appraisal
Third Absolute: the performance
standard must be zero defect, not thats
close enough
Fourth Absolute: The measurement of
quality is the price of non-conformance,
not indexes
Crosbys Fourteen steps for
quality improvement
Establish and ensure management
commitment
Form quality improvement teams for
quality improvement process planning
and administration
Establish quality measurements
Evaluate the cost of quality and explain
its use as a management tool to
measure waste
Raise quality awareness among all
employees
Take actions to correct problems
identified through previous steps
Establish a zero defects committee and
programme
Train supervisors and managers on their
role and responsibilities in the quality
improvement process
Hold a zero defects day to reaffirm
management commitment
Encourage individuals and groups to set
improvement goals
Obstacle reporting(i.e, encourage
employees to communicate to
management any obstacles they take in
attaining their improvement goals)
Recognize and appreciate all
participants
Establish quality councils to discuss
quality matters on a regular basis
Do it all over again to demonstrate that
the improvement process never ends
3. Crosbys Quality Vaccine
Integrity
Systems
Communication
Operations
Policies

Masaaki Imai Contribution
Imai has brought together the
management philosophies, theories
and tools as a single concept known
as Kaizen
Kaizen-Continuous improvement or
improvement over improvement
Kairyo- (western philosophy)
describes improvement through
innovation i.e., improvement in one or
two great jumps.
Armand V. Feigenbaum
1. Industrial cycle- Quality is everybodys job
2. Hidden plant and
3. Crucial elements of total quality
1. Quality is the customer perception of what quality is, not
what a company thinks it is
2. Quality and cost are the same, not different
3. Quality is an individual and team commitment
4. Quality and innovation are interrelated and mutually
beneficial
5. Managing quality is managing the business
6. Quality is principal
7. Quality is not a temporary or quick fix but a continuous
process of improvement
8. Productivity gained by cost effective demonstrably
beneficial quality investment
9. Implement quality by encompassing suppliers and
customers in the system

Kaoru ishikawa
Company wide quality benefits
1. Reduced defects
2. Improved product quality
3. Quality improvement becomes the norm
4. Increased reliability
5. Reduced costs
6. Increased quality of production
7. Waste is identified and reduced
8. Rework is identified and reduced
9. Improvement techniques are established
and continually improved

10. Inspection and after the fact expenses
are reduced
11. Contracts are rationalized
12. Sales and market opportunities are
increased
13. Company reputation is increased
14. False and inaccurate data is reduced
15. Meeting are more effective and
focused
16. Repairs and maintenance are
rationalized
17. Improvement in human relations
18. Company loyalty is increased
19. Intradepartmental barriers are broken
down and communication becomes
easier.
2. Quality circles
3. Cause and effect diagram

Shingeo shingo
1. Shingos contributions
1. Zero quality control
2. Poka-Yoke
identification of the need
identification of possible mistakes
management of mistakes before satisfying
the need
and

3. JIT related concepts


1. Define quality as per Juran, Crosby and
Deming
2. Define TQM
3. What are the elements of TQM?
4. What is a PDCA cycle?
5. Name any six quality gurus.

1. What do you mean by product and
service quality? Select a product or
service and describe how the dimensions
of quality influence its acceptance.

2. Brief the history of evolution of TQM.
Describe the various contributions of
Deming.