TOTAL QUALITY MANAGEMENT www.AssignmentPoint.com
TQM definition Total Quality management is an enhancement to the traditional way of doing business. Analyzing the three words, we have Total - Made up of the whole. Quality – Degree of excellence a product or service provides. Management – Act, art, or manner of handling, controlling, directing, etc. (the way Total quality is conducted) TQM is the art of managing the whole to achieve excellence. www.AssignmentPoint.com
TQM mission www.AssignmentPoint.com
Excellence in IT www.AssignmentPoint.com
Performance review www.AssignmentPoint.com
Proper communication www.AssignmentPoint.com
TQM six basic Concepts Management commitment to TQM principles and methods & long term Quality plans for the Organisation Focus on customers – internal & external Quality at all levels of the work force. Continuous improvement of the production/business process. Treating suppliers as partners Establish performance measures for the processes. www.AssignmentPoint.com
Quality - Definitions Quality is excellence that is better than a minimum standard. It is conformance to standards and ‘fitness of purpose’ Quality is ‘ fitness for use ‘ of the product –Joseph Juran. www.AssignmentPoint.com
Quality and customer expectations Quality is also defined as excellence in the product or service that fulfills or exceeds the expectations of the customer. There are 9 dimensions of quality that may be found in products that produce customer-satisfaction. Though quality is an abstract perception,it has a quantitative measure- Q= (P / E ) , where Q=quality, P= performance(as measured by the Mfgr.), and E = expectations( of the customer). www.AssignmentPoint.com
Quality is not fine-tuning your product at the final stage of manufacturing,before packaging and shipping . Quality is in-built into the product at every stage from conceiving –specification & design stages to prototyping –testing and manufacturing stages. TQM philosophy and guiding principles continuously improve the Organisation processes and result in customer satisfaction. www.AssignmentPoint.com
Quality has to incorporate the following; conformation to specification. fitness for purpose. satisfy the customer. delight the customer. enchant the customer. www.AssignmentPoint.com
The 9 Dimensions of Quality Performance Features Conformance ----------------------------- Reliability Durability Service Response- of Dealer/ Mfgr. to Customer Aesthetics – of product Reputation- of Mfgr./Dealer www.AssignmentPoint.com
The 9 Dimensions of Quality Performance: Primary product characteristics, such as the brightness of the picture. Features: Secondary characteristics, added features, such as remote control. Conformance: meeting specifications or industry standards, workmanship. Reliability: Consistency of performance over time Durability: Useful life, includes repair. Service: Resolution of problems and complaints, ease of repair. Response: Human to human interface, such as the courtesy of the dealer. Aesthetics: Secondary characteristics, such as exterior finish. Reputation: past performance and other intangibles, such as being ranked first. www.AssignmentPoint.com
Benefits of Quality management FIG. Benefits of Quality systems Customer satisfaction System efficiency Increase in Morale of workmen Costs Decrease in Complaints Production time FIG. Benefits of Quality systems www.AssignmentPoint.com
Benefits of Quality management Many industries, service organizations and educational Institutions have implemented quality systems. The benefits are: Reduction in complaints from customers, both internal and external. Reduction in costs of the product. Reduction in production time. Increased system efficiency. Increased morale of workmen. Increased customer satisfaction. www.AssignmentPoint.com
Effects of poor Quality Low customer satisfaction Low productivity, sales & profit Low morale of workforce More re-work, material & labor costs High inspection costs Delay in shipping High repair costs Higher inventory costs Greater waste of material www.AssignmentPoint.com
Efficiency vs. Effectiveness Efficiency is all about how the ‘producer has felt about it. Effectiveness Effectiveness is all about how the ‘user’ has felt about it. www.AssignmentPoint.com
Market Changes MONOPOLIST markets Seller’s market GLOBAL markets Buyer’s market Market more competitive Customer-oriented market Demand is defined by Users. Quality management is a necessity for survival and growth of the organization in a global environment. www.AssignmentPoint.com
Customer types External and Internal customers External – current, prospective and lost customers Internal – Every person in a process is a customer of the previous operation.( applies to design,manufacturing,sales,supplies etc.) [Each worker should see that the quality meets expectations of the next person in the supplier-to-customer chain ] TQM is commitment to customer-focus - internal and external customers. www.AssignmentPoint.com
Customer/supplier chain Outputs to external customers Inputs from external customers Internal customers www.AssignmentPoint.com
Quality statements Vision statement – a short declaration of what the organization hopes to be tomorrow. Mission statement – a statement of purpose –who we are,who are our customers,what we do , and how we do it. Quality policy – is a guide for everyone in the organization ,how they should provide products and services to the customers. www.AssignmentPoint.com