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The Total Quality Approach to Quality Management
24

The Total Quality Approach To Quality Management

Jan 20, 2015

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Page 1: The Total Quality Approach To Quality Management

The Total Quality Approach to Quality Management

Page 2: The Total Quality Approach To Quality Management

Lecture Outline

What is Quality?

The Total Quality Approach

Two Views of Quality

Elements of Total Quality

The Deming Cycle

Total Quality Efforts Succeed

Six-Sigma Concept

The Future of Quality Management

Page 3: The Total Quality Approach To Quality Management

What is Quality?

Quality involves meeting or exceeding customer

expectations.

Quality applies to products, services, people,

processes, and environments.

Quality is an ever-changing state (i.e., what is

considered quality today may not be good

enough to be considered quality tomorrow).

Page 4: The Total Quality Approach To Quality Management

What is Quality?

Quality is a dynamic state

associated with products,

services, people, processes and

environments that meets or

exceeds expectations.

Page 5: The Total Quality Approach To Quality Management

The Total Quality Approach

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,

processes and

environments.

Page 6: The Total Quality Approach To Quality Management

Characteristics of the Total Quality

Employee involvement and empowerment

Unity of purpose

Education and training

Continual process improvement

Teamwork

Long-term commitment

Scientific approach to decision making and problem solving

Obsession with quality

Strategically based

Page 7: The Total Quality Approach To Quality Management

Japanese Strategies

The upper managers personally take charge of leading

the revolution.

All levels and functions under go training in managing

for quality.

Quality improvement should be taken at a continuing,

revolutionary pace.

The workforce is enlisted in quality improvement

through the Quality Control (QC) concept.

Page 8: The Total Quality Approach To Quality Management

Two Views of Quality

Traditional View

• Process performance = defective parts per hundred produced.

• Focused on after-the-fact inspections of products.

• Employees are passive workers who followed orders.

• One improvement per year per employee

• Focus on short term profits

Total Quality View

• Process performance = defective parts per million produced.

• Continuous improvement of products, processes and people.

• Employees are empowered to think and make recommendations.

• At least 10 improvements per employee per year

• Focus on long term profits and continual improvement.

Page 9: The Total Quality Approach To Quality Management

Two Views of Quality

Traditional View

• Productivity versus quality.• Productivity and

quality are always in conflict. You cannot have both.

• How quality is defined• Meeting customer

specifications.• How quality is

measured• Establishing an

acceptable level of nonconformance and measuring against the bench mark.

Total Quality View

• Lasting productivity gains are made only as a result of quality improvements

• Satisfying customer needs and exceeding customer expectations

• Establishing high-performance bench marks for customer satisfaction and then continually improving performance.

Page 10: The Total Quality Approach To Quality Management

Lecture Outline

Traditional View• How quality is achieved

• Quality is inspected into

the product.

• Attitude towards

defects

• Defects are an expected

part of producing a

product.

• Quality as a function

Total Quality View• Quality is determined by

product design and

achieved by effective

control techniques

• Defects are to be

prevented using effective

control systems

• Quality should be fully

integrated throughout the

organization, i.e. it should

be every body’s

responsibility.

Page 11: The Total Quality Approach To Quality Management

Elements of Total Quality

Customer Focus

“Customer is the driver”.

External customers: define the quality of the

product or service delivered.

Internal customers: define the quality of

people, processes, and environment associated

with the products or services.

Strategically Based

Comprehensive strategic plan with following elements: vision, mission,

broad objectives and following activities

Provides sustainable competitive advantage in the marketplace.

Page 12: The Total Quality Approach To Quality Management

Elements of Total Quality

Scientific ApproachHard data are used in establishing

benchmarks, monitoring performance, and making

improvements.

Decision making and problem solving is based on scientific

principals.

Obsession with Quality

All personnel at all levels approach all aspects of the job from the

perspective of “How can we do this better?”.

“Good enough” is never good enough.

Page 13: The Total Quality Approach To Quality Management

Elements of Total Quality

Long-term

Commitmen

t

•Qualit

y

impro

veme

nt is

NOT

anoth

er

mana

geme

nt

innov

ation

but a

whole

NEW

way

of

doing

busin

ess

that

requir

es an

entirel

y new

corpor

ate

cultur

e.

Teamwork

•Intern

al

comp

etitive

ness

vs.

Extern

al

comp

etitive

ness

Continual

Process Improvemen

t

•Contin

ually

impro

ve

syste

ms

(envir

onme

nts)

where

produ

cts

are

devel

oped

and

servic

es are

delive

red by

peopl

e.

Page 14: The Total Quality Approach To Quality Management

Elements of Total Quality

Education

and Training

•Best way to improve people on a continual basis.

•Train hardworking people “How to work smart?”

Freedom through Control

•Involving and empowering employees to simultaneously bring more minds to bear on the decision-making process and increase the ownership employees feel about decisions that are made.

•Well-planned and carried-out controls (not loss of management control).

Page 15: The Total Quality Approach To Quality Management

Elements of Total Quality

Unity

of

Purp

ose

•Internal

politics have

no place in a

total quality

organization,

rather

collaboration

is the norm.

•Unity of

purpose has

nothing to do

with Labor

Unions.

Empl

oyee

Invol

veme

nt

and

Empo

werm

ent

•Basis for

involving

employees

•To increase

the

likelihood of

a good

decision or

a better

plan;

• To promote

ownership

of decisions

by involving

the people

who will

have to

implement

them.

•Empowerme

nt means not

just involving

people but

involving

them in

ways that

give them a

real voice.

Page 16: The Total Quality Approach To Quality Management

The Deming Cycle OutlineConduct consumer research and use it in

planning the product (PLAN).

Produce the product (DO).

Check the product to make sure it was

produced in attendance with the plan

(CHECK).

Market the product (ACT).

Analyze how the product is received in the

market in terms of quality, cost and other

criteria (ANALYZE)

THE DEMING CYCLE

PLAN

DO

CHECKACT

ANALYZE

Page 17: The Total Quality Approach To Quality Management

Juran’s Contributions

• The Pareto Principle

– 80/20 Rule: 80% of the trouble comes from 20% of the

problems.

• The Juran Trilogy QUALITY CONTROL

QUALITY IMPROVEMENT

QUALITY PLANNING

Page 18: The Total Quality Approach To Quality Management

Juran’s Contributions

•Determine who the customers are:

•Identify customers’ needs.

•Develop products with features that respond to customer needs.

•Develop systems and processes that allow the organization to produce these features.

•Deploy the plans to operational levels.

Quality Planning

•Assess actual quality performance.

•Compare performance with goals.

•Act on differences between performance and goals.

Quality Control

•Develop the infrastructure necessary to make annual quality improvements.

•Identify specific areas in need of improvement, and implement improvement projects.

•Establish a project team with responsibility for completing each improvement project.

•Provide teams with what they need to be able to diagnose problems to determine root causes, develop situations, and establish control that will maintain gains made.

Quality Improveme

nt

Page 19: The Total Quality Approach To Quality Management

Total Quality Efforts Succeed

The Successful Organizations Avoid

These Errors• Team mania.

• Deployment process.

• Taking a narrow, dogmatic approach.

• Senior management delegation and poor leadership.

• Confusion about the differences among education, awareness,

inspiration, and skill building

Page 20: The Total Quality Approach To Quality Management

Six Sigma Concept

A Six-step Protocol for Process Improvement

• Identify the product characteristics wanted by the customers.

• Classify the characteristics in terms of their criticality.

• Determine if the classified characteristics are controlled by part and/or process.

• Determine the maximum allowable tolerance for each classified characteristic.

• Determine the process variation for each classified characteristic.

• Change the design of the product, process, or both to achieve a Six Sigma processes performance.

Page 21: The Total Quality Approach To Quality Management

Six Sigma Concept

• Six Sigma is an extension of total quality management which has the aim of taking process and product quality to levels where all customer requirements are met.

What is Six Sigma?

• By improving process performance.• Or, Without improving the process at all if the

specifications describing acceptable product can be loosened enough to correspond to the original process’s ± 6 sigma points.

How is Six Sigma Achieved?

Page 22: The Total Quality Approach To Quality Management

The Future of Quality Management

• Demanding global customers.

• Shifting customer expectations.

• Opposing economic pressures.

• New approaches to

management.

Future Trends

Page 23: The Total Quality Approach To Quality Management

The Future of Quality Management

• A total commitment to continually increasing value for customers, investors, and employees.

• A firm understanding that quality is defined by customers, not the company.

• A commitment to leading people with a bias for continuous improvement and communication.

• A recognition that sustained growth requires the simultaneous achievement of four objectives all the time, forever: (a) customer satisfaction, (b) cost leaderships, (c) effective human resources, and (d) integration with the supplier base.

• A commitment to fundamental improvement through knowledge, skills, problem solving and teamwork.

Quality Management Characteristics for the Future

Page 24: The Total Quality Approach To Quality Management

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