1.introduction to quality & total quality management
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Transcript of 1.introduction to quality & total quality management
TOTAL QUALITY
MANAGEMENT
By: -Hakeem–Ur–Rehman
Certified Six Sigma Black Belt (SQII – Singapore)IRCA (UK) Lead Auditor ISO 9001
MS–Total Quality Management (P.U.)MSc (Information & Operations Management) (P.U.)
IBIT–PU
T MQUNDERSTANDING QUALITY & TQM CONCEPTS
1
WHAT IS TQM? TOTAL: Everyone associated with the company is involved
in CONTINUOUS IMPROVEMENT (including its customers &suppliers if feasible)
QUALITY: Customer’s expressed and implied needs andrequirements are met fully
MANAGEMENT: Executives are fully committed.
TQM is a system approach for the continuous improvement ofall organizational processes through total participation of allemployees, resulting in high quality products and services toattain customer satisfaction.
2
TQM: PHILOSOPHY “DO THE RIGHT THINGS, RIGHT THE FIRST TIME, EVERY TIME”
Marketing
Total Quality
Management
System
Design
Purchasing
Production
Warehousing
Distribution / Service
Learning & Knowledge Mngt.
DELIGHTED CUSTOMER
TOTAL QUALITY MANAGEMENT (TQM)
&
TOTAL ORGANIZATIONAL EXCELLENCE (TOE)
3
WHO DETERMINES QUALITY?
THE CUSTOMER“Any one who receive or is affected by the
product, service, or process.”
CUSTOMER IS GOD(CHINESE SAYING)
CUSTOMER IS KING(JAPNESSIES SAYING)
4
CUSTOMERS’ NEEDS
• EXPECTED NEEDS– Are typically what one gets by just asking customers
what they want.
• STATED NEEDS– Are the obvious / compulsory requirements. For example,
if meal is served hot, customers hardly notice it. If it'scold or too hot, dissatisfaction occurs. Expectedrequirements must be fulfilled.
• LATENT NEEDS– Beyond the customer's expectations.
– If provided , customer would be excited
– If not ,they would hardly complain
TQM: A “CULTURAL” CHANGE Responsibility is pushed down to “empower” the
people who know the most about the job,process or service.
TQM focus is on the process;
TQM separates the improvement process frompeople personalities and egos. “Top-down”management styles disappear.
Reporting levels are reduced/streamlined.
Management’s role shifts to more emphasis oncoaching.
Jobs are not eliminated, but job content maychange
6
PROCESS IMPROVEMENT CYCLE
7
PDCA CYCLE
PLAN
DO
CHECK
ACT
DEVELP AN IMPROVEMENT PLAN Define the problem Formulate critical success factors
related to the vision Formulate objectivesDefine performance measures &
targets
IMPLEMENTANT THEIMPROVEMENT PLANON THE LIMITEDSCALE Collect data Train those involved Describes the business
processes Formulate project teamCHECK IF IT WORKS
Evaluate the trail project Provide Feedback What have we learned?
IMPLEMENT THEVERIFIEDIMPROVEMENTS Document them in
standard procedures Train those involved Repeat the cycle
PDCA CYCLE
THE DEMING CHAIN
REACTION
8
Improve Quality
Costs decrease because of less rework, fewer mistakes, fewer delays, snags, better use of machine-time and materials Productivity Improves
Productivity Improves
Capture the market with better quality and lower price
Stay in business
Provide jobs and more jobs
9
TQM EVOLUTION
QUALITY CONTROL VS. INSPECTION
PRODUCTIONTESTING
LABS
ADMIN,
QAPROCESSMAINT.
FINANCEPROCESS
MIXED
PRODUCT
C/A
Process and/or
Systems
Fixing
Cycle B
PRODUCT/
SERVICE
FIXING
Cycle ANotOK
Measu-
rementOK
Standard
CORRECTIVE ACTIONS: Action taken to
eliminate the cause of a detected nonconformity or
other undesirable situation. (ISO 9000:2000)
The operational techniques and activities that are used to fulfill the requirements forquality. (ISO–9000)
This general area may be divided into two main sub areas:
– Statistical Process Control
– Acceptance Sampling Plans
INSPECTION + Corrective action
Product
Fixing
OK
Not
OK
PRODUCTPerformance
PROCESSES
Product, Process or
Systems Fixing &
Improvement
Customers
QUALITY CONTROL & QUALITY ASSURANCE
data
PROCESSPerformance
dataActions
Actions
DE
SIG
N
Market
Customer
Legal
Benchmarks
Process
Financial
PREVENTIVE ACTIONS: Action
taken to eliminate the cause of a
potential nonconformity or other
potentially undesirable situation.
(ISO 9000:2000)
Quality Assurance addresses the entire life cycle of a product, starting from the initialproduct identification to final inspection, reliability in use and customer satisfaction.
QUALITY ASSURANCE: All those planned and systematic activities implemented to provideadequate confidence that an entity will fulfill requirements for quality.
QUALITY CONTROL VS
QUALITY ASSURANCE
Quality Control
• Product
• Reactive
• Line function
• Find Defects
Quality Assurance
Process
Proactive
Staff function
Prevent defects
12
Product
Fixing
OK
Not
OK
PRODUCTPerformance
PROCESSES
Product, Process or
Systems Fixing &
Improvement
Customers
INSPECTION,QC , QA & QM
data
FIELDPerformance
Product , Process or
Systems Fixing
& Improvement
data
Actions
PROCESSPerformance
dataActions
Actions
DE
SIG
N
Market
Customer
Legal
Benchmarks
Process
Financial
An ongoing effort to provide Products / services that meet or exceed customerexpectations through a structured, systematic process for creating organizationalparticipation in planning and implementing quality improvements.
EIGHT QUALITY MANAGEMENT PRICINIPLES
8 QUALITY
MANAGEMENT
PRINCIPLES
Mutually beneficial
supplier relationship
Customer-focus
Factual Approach
to Management
Leadership
Involvement of
People
Process Approach
System approach to
management
Continual
Improvement
14
WHAT IS QUALITY ? Fitness for Use or purpose
Juran
Quality is conformance to the requirements.
Crosby
Q=P/E
– Q= Quality
– P= Performance
– E= Expectations
Q<1 Performance does not meet expectations
Q=1 Performance equals expectations
Q>1 performance is better than expectations
WHAT IS GRADE?
Category or rank given to differentquality requirements for products,processes, or systems having thesame functional use.
16
WHAT IS QUALITY? David Garvin found that most definitions of quality were
either TRANSCENDENT, PRODUCT–BASED, USER–BASED, MANUFACTURING–BASED, or VALUE–BASED.
TRANSCENDENT: “Level of Excellence”
PRODUCT BASED: “Product Attributes”
USER BASED: “Fitness for intended use”
VALUE BASED: “Quality Vs Price”
MANUFACTURING BASED: “Conformance to specifications”
17
QUALITY PERSPECTIVES
Distribution
Customer
products
and
services
needs Marketing
Design
Manufacturing
TRANSCENDENT &PRODUCT-BASED USER-BASED
MANUFACTURING-BASED
VALUE-BASED
Information flowProduct flow
18
EIGHT DIMENSIONS OF PRODUCT QUALITY
19
Garvin (1987) provides eight components or dimensions ofquality
1 Performance Will the product do the intended job?
2 Reliability How often does the product fail?
3 Durability How long does the product last?
4 Serviceability How easy is it to repair the product?
5 Aesthetics What does the product look like?
6 Features What does the product do?
7 Perceived Quality What is the reputation of the company orits product?
8 Conformance to Standards
Is the product made exactly as thedesigner intended?
SERVICE QUALITY DIMENSIONSParasuraman, Zeithamel, & Berry: Three marketing professors from Texas A& M University, published a widely recognized set of service qualitydimensions.
Tangibles
Service Reliability
Responsiveness
Assurance
Empathy
Availability
Professionalism
Timeliness
Completeness
Pleasantness20
TIME
WHAT IS QUALITY?Differing Functional Perspectives on Quality
Functional Perspectives include: Supply Chain Engineering Operations Strategic Management Marketing Financial Human resource
21
ORGANIZATION’S OUTPUT Vs OUTCOME
CO
MP
AN
Y
Quality of Sales
Quantum of Sales
OUTCOME
OUTPUT
EXAMPLE
POST OFFICE Number of Letters Number of Post Offices Number of Transactions
Delivery Rate Damage Rate Transactions/day/person
UNIVERSITY Number of Students Number of Teachers Number of Programs Number of Branches
Graduate Competency Rate Job Placement Rate Difference in Market Salary % of Satisfied Graduates % of Satisfied Employers
PRODUCTION DEPT.
Number of items Produced Types of Product Produced
% Defectives / Rejected Cost of Production/item Number of items/unit time
TESTINGDEPT.
Number of tests Types of Tests
Measurement Error % Delays of tests Cost of unit test
HRD Number of persons hired Number of Trainings
Core Competence Duration of vacant posts % of Poor Hiring
OUTPUT OUTCOME
Quality Objectives
QUESTIONS
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