8/18/2019 Deming’s Contribution on Total Quality Management.pptx
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Welcome to ourPresentation
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We are “Challenge
Accpeted”
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Our Presentation is on“Deming’s Contributionon
Total QualityManagement”
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Total Quality Management
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Total !uality management can besummari"ed as a management system#or a customer$#ocused organi"ation
that in%ol%es all employees incontinual impro%ement using strategy&data& and e'ecti%e communications tointegrate the !uality discipline into theculture and acti%ities o# theorgani"ation
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(ac)ground o# Deming
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• Dr W *d+ards DemingAmerican ,tatistician& Pro#essor& Author& -ecturer&and Consultant
• (orn on October ./& .011 in ,iou2 City 3o+a• (, in electrical engineering #rom the 4ni%ersity o#
Wyoming .05.
• M, in Mathematics 6 Mathematical Physics #rom
the 4ni%ersity o# Colorado .057
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• P8D in in Mathematics 6 Mathematical Physics#rom 9ale .05:
• Mathematical physicist at the 4nited ,tatesDepartment o# Agriculture ;.050?
• ,tatistical Ad%isor 4, Census (ureau .0>7$.0/7
• Pro#essor o# ,tatistics at @9 4ni%ersity .0/$.00>
• As a census consultant under general DouglasMacArthur& he taught statistical control methodsto Bapanese business leaders
• 3n .0/
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• Credited +ith enabling Bapan to become a +orldbusiness po+er by the .0:1’s due to image o#!uality
• rom .0
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Deming’s Contribution in4,
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Deming in 4, Census(ureau
Introducing the quality control to mass production
Developed management theory while working in Japan asan economic consultant
His ideas took hold in the U.S & many major corporationegan to incorporate quality control into their usiness
!"ter completion o" his #hD in $%'( he egan working "orthe "ederal govt.
)orked as a chie" mathematician & advisor in sampling &survey techniques "or U.S *ensus +ureau,$%-%$%/01
Introduced the process o" S#* to monitor the mammothoperation o" key punching data "rom censusquestionnaires onto million o" punch card
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Deming’s +or)s duringWW33
! memer o" the "iveman emergency technical committee during the ))II.
Developed a national program o" ' & $2 day courses to teach statistical quality controltechniques over $2(222 engineers at company that were suppliers to the military.
!"ter ))II( the U.S war dept. created a team o" management scientists to help to reuildJapan3s industrial capacity4 Deming was one o" the team memers.
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3nstitute o# Deming
Founded in 1993 inWashington D.C
Aim is to fosterunderstanding the Demingsystem of profoundknowledge to advancecommerce prosperity !peace
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Deming 6 4, industries
• Dr Deming’s teaching made a !uality re%olutionon 4, managers
• Demand #or his ser%ice increased by “ i# Eapancan+hy can’t +eF”
• ord motor company +as the .st 4, company tosee) his help
• -ater it became the most protable
• Gernay laboratories& graduate school o# Columbia6 marshall industries had +or)ed +ith him
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Achie%ements in 4,A
• 8is ideas o# hard +or)& sincerity& decency 6personal responsibility has changed the 4,management dramatically
The
ShewhartMedal
• .07
NationalMedal of
Technolog
y
• .0:<
Automotiv e Hall of
Fame
• .00.
A+ards 6hon
ors
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Publications in 4,
1st book was published bythe MT center for
advanced engineering
!New "conomics! # $Free perfect # now!
last book was $The neweconomics for industry%
government # education”
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Wor) in Bapan
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• Hno+n as sa%ior o# Bapanese industry #or !ualitycontrol techni!ue
• 8elped B4,* to increase producti%ity and rebuild Bapan’s +ar shattered economy
• Trained hundreds o# engineers& managers andscholars in ,PC and concept o# !uality
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• 3n the .0
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• 3mpro%ed !uality along +ith lo+er costhelp Bapanese to capture large portion o#+orld mar)et share
• The Bapanese established The DemingPri"e in .07.
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Deming ,e%en Deadly
Diseases
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• -ac) o# constancy o# purpose to plan product andser%ice that +ill ha%e a mar)et and )eep thecompany in business& and pro%ide Eobs
• *mphasis on short$term protsJ short$termthin)inged by #ear o# un#riendly ta)eo%er& andby push #rom ban)ers and o+ners #or di%idends
• Personal re%ie+ systems& or e%aluation o#per#ormance& merit rating& annual re%ie+& orannual appraisal& by +hate%er name& #or peoplein management& the e'ects o# +hich are
de%astating
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• Mobility o# managementL Eob hopping
• 4se o# %isible gures only #or management& +ith
little or no consideration o# gures that areun)no+n or un)no+able
• *2cessi%e medical costs
• *2cessi%e costs o# liability
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Deming’s PDCA Wheel
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PDCA model is a basic tool that helps tocontinuously impro%e the processes in theorgani"ation Also it is used to sol%e the !uality
problems as +ell as implement the ne+ solutionsand ideas The PDCA Cycle is a chec)list o# the #oursteps +hich you must go through to get #romnding and reali"ing the problemI to sol%ing the
problem I 3t is also )no+n as the Deming cycle or+heel
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The Deming ,ystem o#Pro#ound Hno+ledge
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• TNA@,ONMAT3O@ PNOC*,,J• The rst step is trans#ormation o# the indi%idual This trans#ormation is
discontinuous 3t comes #rom understanding o# the system o# pro#ound )no+ledge
The indi%idual& trans#ormed& +ill percei%e ne+ meaning to his li#e& to e%ents& to
numbers& to interactions bet+een people”
• Once the indi%idual understands the system o# pro#ound )no+ledge& he +ill apply its
principles in e%ery )ind o# relationship +ith other people 8e +ill ha%e a basis #or Eudgment o# his o+n decisions and #or trans#ormation o# the organi"ations that he
belongs to”
"he individual once transformed will#
• ,et an e2ampleL
– $e a good listener %ut will not compromise&
– Continually teach other people& and
– 'elp people to pull away from their current practices and %eliefs and
move into the new philosophy without a feeling of guilt a%out the past.(
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Appreciation ofa system
Theory ofknowledge
Knowledge of psychology
Knowledge ofvariation
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Deming e2plainedJ
• One need not be eminent in any part nor in all #our
parts in order to understand it and to apply it “• The %arious segments o# the system o# pro#ound
)no+ledge proposed here cannot be separated They
interact +ith each other Thus& )no+ledge o# psychology
is incomplete +ithout )no+ledge o# %ariation”• A manager o# people needs to understand that all
people are di'erent This is not ran)ing people 8e
needs to understand that the per#ormance o# anyone is
go%erned largely by the system that he +or)s in& theresponsibility o# management
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The Appreciation of a system&
3n%ol%es understanding ho+ interactions ;ie&
#eedbac)? bet+een the elements o# a system canresult in internal restrictions that #orce the system
to beha%e as a single organism that automatically
see)s a steady state 3t is this steady state that
determines the output o# the system rather than
the indi%idual elements
Thus it is the structure of the organi)ation
rather than the employees& alone& +hich holds
the )ey to impro%ing the !uality o# output
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The 'nowledge of variation&
• 3n%ol%es understanding that e%erything measuredconsists o# both normal %ariation due to the e2ibilityo# the system and o# special causes that createde#ects
• *uality in%ol%es recogni"ing the di'erence to eliminate
special causes +hile controlling normal %ariation
• Deming taught that ma)ing changes in response tonormal %ariation +ould only ma)e the systemper#orm +orse 4nderstanding %ariation includes themathematical certainty that %ariation +ill normallyoccur +ithin si+ standard deviations o# the mean
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Deming’s ./ Hey Principles
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Constancy o# Purpose
Create constancy o# purpose to+ard impro%ement o# product andser%ice& +ith the aim to become competiti%e
Words #rom Deming
$(oing your best is not good enough) *ou have to know
what to do) Then do your best)!
“ Today’s short$term measures ha%e long term impacts” ,o allocate resources to provide for long range needs
rather than short term pro+tability
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Adopt the new philosophy
Adopt the new philosophyWords #rom Deming
We are in a ne+ economic ageWestern management must a+a)ento the challenge& must learn theirresponsibilities& and ta)e on
leadership #or change
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Adopt the new philosophy
W hy? What’s wrong with the old philosophy?
In old philosophy
Quality and producti%ity ha%e an in%erse relationship
New philosophy
Quality and producti%ity ha%e an true relationship
Focus on customer not thecompetition.
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Cease the need #or massinspection
Words #rom Deming
Cease dependence on inspection to achie%e!uality *liminate the need #or massi%e
inspection by building !uality into the product inthe rst place
,e-uire statistical evidence of built in -uality in bothmanufacturing and purchasing functions
Neplacing mass inspection +ith @e%er$*ndingimpro%ement
De%elop a plan that minimi"es the total cost o# incoming materials and nal product
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*nd lo+est tender contracts
"nd the practice of awarding business solely on the basisof price tag) nstead re-uire meaningful measures of-uality along with price)
,educe the number of suppliers for the same item by
eliminating those that do not -ualify with statisticaland other evidence of -uality)
T he aim is to minimi.e total cost% not merely initial cost%by minimi.ing variation)
T his may be achieved by moving toward a single supplier for any one item% on a long term relationshipof loyalty and trust)
/ hy do this0 The short answer is
,educe variation
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3mpro%e e%ery process
Words #rom Deming
mprove constantly and forever every process for planning% production and service) Searchcontinually for problems in order to improveevery activity in the company% to improve -ualityand productivity and thus to constantly decreasecosts) t is management2s 3ob to work continuallyon the system 4design% incoming materials%
maintenance% improvements of machines%training% supervision% retraining5)
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3mpro%e e%ery process
3mpro%e constantly and #ore%er the system o#production and ser%ice& to impro%e !uality andproducti%ity
*mphasis on con#ormance to standards canobstruct continuous impro%ement
The Deming Cycle is )ey to continuous impro%ement1. !AN
". #$%. &'(&K
). A&T
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3nstitute Training on the Bob
• 3nstitute +or)er training that #ocuses onthe pre%ention o# !uality problems andthe use o# statistical !uality control
techni!ues Teach employees how to performon the job
Keep them updated with the
changes in material, methods,product design etc
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3nstitute -eadership
• 3nstitute leadership amongsuper%isors to help employeesper#orm better
Deming asks himself and then
answers:
“Why leadFPeople happier&!uality up&producti%ity up&
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Dri%e out #ear
• Dri%e out #ear& so that e%eryone may +or) e'ecti%ely #or thecompany
Deming has given much importance
to this point since it affects nine other
points:break down departmental barriers
cease dependence on mass inspection
institute education and training
institute training
eliminate slogans and ehortations
end awarding business on price!tag
eliminate work standards
continuous improvement
remove barriers
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(rea) do+n barriers
• (rea) do+n barriersbet+een departments
People in research&design& sales& andproduction must +or)as a team& in order to
#oresee problems o#production and usagethat may beencountered +ith the
product or ser%ice
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*liminate e2hortations
• *liminate slogans& e2hortations& andtargets #or the +or) #orce as)ing #or "erode#ects and ne+ le%els o# producti%ity
"uch ehortations only
create adversarial
relationships, because the
bulk of the causes of low
#uality and low productivitybelong to the system and
thus lie beyond the power
of the work force$
*li i t h t ti
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*liminate e2hortations;cont?Deming himself says:
“Posters that e2plain to e%eryone on the
Eob +hat the management is doing month
by month to ;#or e2ample? purchase better
!uality o# incoming materials #rom #e+er
suppliers& better maintenance& or topro%ide better training& or statistical aids
and better super%ision to impro%e !uality
and producti%ity& not by +or)ing harder but
by +or)ing smarter& +ould be a totally
di'erent storyJ they +ould boost morale
People +ould then understand that the
management is ta)ing some responsibility
#or hang$ups and de#ects& and is trying to
remo%e obstacles”
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*liminate arbitrary numericaltargets
• *liminate numerical !uotas that employeesattempt to meet at any cost +ithout regard to!uality
%liminate work standards
uotas' on the factory floor$
%liminate management by
objective$
%liminate management by
numbers and numerical
goals$
(nstead substitute
with leadership
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Permit pride in +or)manship
• *nhance +or)er’s pride& artisanry and sel#$esteem by impro%ing super%ision and theproduction process so that employees canper#orm to their capabilities
Deming epresses this in terms of an e#uation like
)y ) *y+ -.here,
the individual component
y the system contribution
“What do you ha%e +ithout pride o#+or)manshipF Bust a Eob& to get some
money There’s not much Eoy in that”
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*ncourage education
• 3nstitute a %igorous program o# educationand sel#$impro%ement& #rom topmanagement to do+n& so that continuous
impro%ement is achie%edTraining for a skill is finite/ it ends whenability has reached a stable state$ (n
comparison, education is never!ending$
So, where do you draw the line?Deming simply wouldn0t draw the line$
1ord ecludes basketball!!! Deming would
not22
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Top management commitment toaction
• De%elop a commitment #rom the topmanagement to implement the top .> points
3ut everybody in the company to work to accomplish the
transformation$ The transformation is everybody4s job$
"ome final words from Deming:
“Quality is made in the boardroom”
“-imitations on !uality are also madein the boardroom”
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Than) 9ou
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