Quality management

QUALITY MANAGEMENT

Total quality management TQM

What is Quality

• Quality of products or services are not determined by producing companies.

• Determined by customers.• It is customers perception of the degree to

which the product or service meets his/ her expectations.

• Need to know about dimensions, determinants and costs of quality to understand about the nature of quality.

Dimensions of product quality• Performance - how well the product or service performs

customers intended use. Eg. Speed of the printer.• Features- the special characteristics that appeal to customers.• Reliability – likely hood of break down• Serviceability- speed, cost of repairs.• Durability- length of time or amount of use before needing to

be replaced or repaired.• Appearance – effect on human senses, the look, feel, taste,

smell, or sound.• Customer service – treatment received before, during and after

sale.• Safety - how well product protect user before, during and after

use.

Determinants of quality

• Quality of design – Determine what its customers wants after identifying the customers.

• Quality capability of production processes.• Quality of conformance• Quality of customer service.• Organization quality culture.

Costs of quality

• Costs associated with service and quality.• Some costs associated with preventing poor

quality, some costs occur after poor quality occurs.

• Scrap and rework• Defective products in hands of customers.• Detecting defects• Preventing defects.

Traditional quality management.

• Rigorous inspection system, discard bad quality product.

• But still bad products are produced.• DO IT RIGHT THE FIRST TIME.• Product of superior quality will come out and

inspection do not discard rather give feed back on output.

• Again inspection is human error prone and hence this way was abandoned.

Total quality management TQM• Organisation structures, organisational climates, with

product quality programs becoming global leaders in quality, and such efforts referred as TQM.

• Six sigma in motorola• Xerox – leader ship through quality• Intel – perfect design quality• HP- Total quality control• Objective is build an organization that produces products and

services that are considered best in class by its customers. • Means every piece of business done right at first time, and

every piece of business continue to improve.

Elements of TQM

• Top management commitment and involvement .• Customer involvement• Designs products for quality• Design production process for quality• Control production process for quality.• Developing supplier partnerships• Customer service, distribution, installation.• Building teams of empowered employees.• Bench marking and continuous improvement.

Quality product function• System for identifying customer wants and

eliminating wasteful product features. • Every possible customer expectation is listed.• Expectation are broken into more and more

product features'.• Also involves a weighting of customer demands

and customer rating of product functional characteristics compared to competitors.

• Aim to identify product characteristics that need improvement.

Designing products for quality• Designing for robustness – means it should work in all undesirable

conditions.• Designing for production – means minimum parts with less

complication, faciliating easier assembly.• Designing for reliability- each part of a product is designed for

given level of component reliability, • the probability that a type of part will not fail in a given time period

or no of trials under ordinary conditions of use.• Measured by CR= 1-FR ( FR – Failure rate)• FR = No of failures/ number tested.• FRn = number of failures/ unit hours of operation.• MTBF ( meantime between failures)• MTBF = 1/ FRn or Unit hours of operation/ no of failures.• Example automobile tyre with 20000 mile span , 1% fail with in

span , we call tyre has reliability level of 0.99

System reliability• When component parts are combined into product , the

combined reliability forms the basis of product or system reliability (SR)

• When critical components those which can directly cause products to fail are combined into product - SR is product of individual CR.

• SR = CR1 x CR2 x CR3 x CR4 = 0.99 ^ 4. how to increase the reliability of products.• Overdesign – means enhancing the design to avoid particular

type of failure.• Design amplification - means reduction of the number of

interacting components. • Provide redundant components , components with low

reliability will have back up. Approached in electronic industry .

Designing and controlling production processes.• Production process is internal customer.• Production variation can be obstacle in making

products that are acceptable to customers.• Two types are controllable and uncontrollable.• Controllable like machine malfunctions, bad

materials, incorrect work methods can be reduced with diligence from workers and management.

• Uncontrollable like friction, vibration, chance variation, other natural causes can be reduced by redesigning or replacing existing production processes.

PROCESS CAPABILITY• Production process ability to produce

products within the desired expectation of customers.

• PCI ( PROCESS CAPABILITY INDEX) Is the measure of process capability.

Developing supplier partnerships.• Suppliers important aspects of TQM program.• Ford had Q-I list ( quality interface list) Customer service , distribution, installation.• Packaging, shipping and installation must be included in TQM

because of poor product performance. Building teams of empowered employee.• Employee training, work teams, empowerment, quality at source,

and quality circles. • Training at all levels from shop floor to board room.• Mandatory that the management draw out and apply all the ability

and energy of their employees. Employees from blue collar workers, office workers, managers, engineers, scientists, form core resource which is the power of achieving excellence in superior product quality.

• Employees should come forward to accept responsibility.• But managers should give authority to act.

Quality at source.• Aim to put the production worker in the

drivers seat in controlling product quality. • Every workers job becomes a quality control

station, identifying their own defects and reworking them into non defectives and correcting any causes of defects.

• Statistical quality techniques at work station• Worker empowered to stop production line to

avoid producing defective parts.

QC Circles• Workers and managers average around nine memebrs

are organised into quality circles. • Small group of employees analyse their quality

problems, work to solve the problems and implement programs to improve product quality.

• 1. assign product quality assignment to production worker.

• 2. can lead production worker more committed to quality.

• 3. QC person can work on the way which can direct impact on quality than passing to some one.

• 4. it removes obstacle to co-operation between QC D and production.

QC Circles features.• QC circle volunteer to meet regularly • to undertake work related product, to advance the

company, improve working conditions, and spur mutual self development

• Often meet away from job , combine meetings with social or atheletic activities.

• Tend to select their own projects for investigation and depend on management for implementing recommendation.

• Areas can be productivity, tool design, safety, maintenance, enviroment protection.

• Membership is voluntary, no direct cash incentives.• Members give reason as personal satisfaction and

recognition given at regional and national meetings.

BENCH MARKING AND CONTINUOUS IMPROVEMENT.

• Practice of establishing international standards of performance by looking to how world class companies run their businesses.

• Once bench mark is set plan should be developed towards best practices, essential element of TQM is set in motion that is continuous improvement.

• Accept modest beginnings, make small incremental improvements towards excellence.

• Gradual changes avoid frustuation and abondonment is avoided.

Quality management in services.• TQM in services is not with out difficulties.• Eg, determine the quality of flight attendant.• Standards don’t exist many times.• Rather customer set their own standards, comparing the service

they receive with service they wished to receive . • Another complicating factor is that perceived quality of some

services is affected by sorroundings . • Quiet, soft music, • pleasant décor, • comfortable furniture, • convenient parking, • friendly servers,

• cleanliness of facilities,• All the above factors can determine the

perceived quality of services more than the actual quality of the service.

• Hospitality industry invest heavily in designing and maintaining facilities.

• Services are labor intensive and they tend to come in direct contact with customers, the performance of service employees determines in large part of quality of services.

Elements of quality program in services.• 1. Customer surveys through questionnaire and interview. • 2. mystery shoppers. Employees pretend to customer and

monitor quality. • 3. statistical control charts to monitor thins the amount of

time , taken to process customer checkin, billing, food delivery.

• 4. Service recovery. Actions taken to resolve problems, alter negative attitutes, and retain customers who are dissatisfied with quality of service.

• examples are refunds for service provided, service again free of charge, coupons of free service in future, telephone calls from managers, letters of apology from management and other free products.