TOTAL QUALITY APPROACH to QUALITY MANAGEMENT LECTURE (2) TOTAL QUALITY APPROACH to QUALITY MANAGEMENT

Major Topics The Total Quality Approach Defined Key Elements of Total Quality Total Quality Pioneers Why Total Quality Effort Succeed Quality Concept Application The Future of Quality Management

The Total Quality Approach Defined Total Quality is an approach to doing business that attempts to maximize the competitiveness of an organization through the continual improvement of the quality of its products, services, people, process, and environments

Key Elements of Total Quality Strategically Based Customer Focus Obsession with Quality Scientific Approach Long term Commitment Team Work Continual Process Improvement Education and Training Freedom Through Control Unity of Purpose Employee Involvement and Empowerment

The Quality Pioneer Quality Pioneers Joseph M. Juran Philip B. Crosby W.Edwards Deming

Deming’s Contributions 1 PLAN Conduct consumer research and use it in planning the product 2 DO Produce the product 3 CHECK Check the product to make sure it was produced in accordance with plan 4 ACT Market the product 5 ANALYZE Analyze how the product is received in the marketplace in terms of quality, cost, and other criteria

Deming’s Fourteen Points 1 Create constancy of purpose toward the improvement of products and services in order to become competitive. 2 Adopt the new philosophy 3 Stop depending on inspection to achieve quality 4 Stop awarding contracts on the basis of low bids 5 Improve continuously and forever the system of production and service, to improve quality 6 Institute training on the job 7 Institute leadership 8 Drive out fear so that everyone may work effectively 9 Break down barriers between departments so that people can work as a team 10 Eliminate slogans 11 Eliminates quotas and management by objectives 12 Remove barriers that employee of their pride of workmanship 13 Institute a vigorous program of education and self improvement 14 Make the transformation everyone’s job and put everyone to work on it Deming’s Fourteen Points

Juran’s Contributions Juran’s Three Basic Steps to Progress Juran’s Ten Steps to Quality Improvement The Pareto Principle The Juran Trilogy (Q-Planning, Q-Control, Q-Improvement)

Juran’s Three Basic Steps to Progress 1. Achieve structured improvements on a continual basic combined with dedication and sense of urgency. 2. Establish an extensive training program. 3. Establish commitment and leadership on the part of higher management.

Juran’s Ten Steps to Quality Improvement 1. Build awareness of both the need for improvement and opportunities for improvement 2. Set goals for improvement. 3. Organized to meet the goals that have been set. 4. Provide training 5. Implement projects aimed at solving problems. 6. Report progress. 7. Give recognition. 8. Communicate results. 9. Keep score 10. Maintain momentum by building improvement into company’s regular system Juran’s Ten Steps to Quality Improvement

The Pareto Principle This Principle is sometimes called 80/20 rule :80% of the trouble comes from 20% of the problems

The Juran Trilogy Q-Planning 1. Determine who the customers are 2. Identify customers’ need 3. Develop product with features that respond to customer needs 4. Develop systems and processes that allow the organization to produce these features Q-Control 1. Access actual quality performance 2. Compare performance with goals 3. Act on differences between performance and goals Q-Improvement) 1. Develop the infrastructure necessary to make annual quality improvement 2. Identify specific areas in need of improvement, and implement improvement projects 3. Establish a project team with responsibility for completing each improvement project 4. Provide teams with that they need to be able to diagnose problems to determine root causes, develop solutions, and establish controls that will maintain gains made. The Juran Trilogy

Crosby’s Contributions Three Quality Vaccine Determination Education Implementation Crosby’s Fourteen Steps

Crosby’s Fourteen Steps Make it clear that management is committed to quality for the long term. Form cross-departmental quality teams. Identify where current and potential problem exist. Assess the cost of quality and explain how it is used as a management tool. Increase the quality awareness and personal commitment of all employees. Take immediate action to correct problem identified. Establish a zero defect program. Train supervisors to carry out their responsibilities in the quality program. Hold a Zero Defects Day to ensure all employees are aware there is a new direction. Encourage individuals and teams to establish both personnel and team improvement goals. Encourage employees to tell management about obstacles they face in trying to meet quality goals. Recognize employees who participate. Implement quality councils to promote continual communication. Repeat everything to illustrate that quality improvement is a never-ending process. Crosby’s Fourteen Steps

Quality Concept Application Work Process Inspection INPUT OUTPUT Supplier Customer waste Product Management Traditional View

Quality Concept Application Work Process People Process INPUT OUTPUT Supplier Customer Information Modern View

Why Total Quality Efforts Succeed Senior management delegation and poor leadership Team mania Deployment process Taking narrow, dogmatic approach Confusion about the difference among education, awareness, inspiration, and skill building The Successful Organization Avoid These Error

THE FUTURE OF QUALITY MANAGEMENT Demanding global customers Shifting customer satisfactions Opposing economic pressure New approaches to management

Quality Management Characteristics for The Future A total commitment to continually increasing value for customers, investors, and employees A firm understanding that market driven means that quality is defined by customers, not the company A recognition that sustained the simultaneous achievement of four objectives all the time, forever: (1) customer satisfaction, (2) cost leadership, (3) effective HR, (4) integration with the supplier base

Quality TIP “In fact, customer satisfaction is regarded as the only relevant objective for ensuring stable and continuously increasing business”