Philip B' Crosby

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Philip B. Crosby

• Quality Control Guru

By Michael Roberts Joe Prather Blas
Tenorio Andrew Peterson Andrew Sizelove
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Summary

• History
• Philosophy
• Acknowledgements
• Case Study

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History

• Was born in Wheeling, West Virginia on June 18,
  1926
• Crosby is a graduate of the Western Reserve
  University
• One early experience was as quality manager on
  the first Pershing missile programme
• Crosby began his career as a quality professional
  in 1952 after serving in World War II and the
  Korea War.
• Crosby was the corporate Vice president for the
  international Telephone Telegraph, world-wide
  responsibilities for quality .

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History

• 1979, he founded Winter Park-based Philip Crosby
  Associates, Inc. Helped to counsel organization
  and corporations prevent problems rather than fix
  them, through quality processes.
• In 1991, he retired from PCA and founded Career
  IV, Inc., provided training for executives
• In 1997, he purchased the assets of PCA and
  established Philip Crosby Associates II, Inc.
  http//www.philipcrosby.com/pca/index.html

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History

• Crosby wrote 13 books, all of which were
  best-sellers.
• Quality is Free, Quality Without Tears, Running
  Things, The Eternally Successful Organization and
  Leading The Art of Becoming An Executive, Zero
  Defects,
• His first business book, Quality is Free has been
  credited with beginning the quality revolution in
  the US and Europe. It sold over 2.5 million
  copies and was translated into 15 languages.
• He is the creator of the zero defects concept
  of quality management.

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Crosby

• Quality is not only free, its an honest to
  everything profit maker. Every penny you dont
  spend on doing things wrong, over, or instead of,
  becomes half a penny right on the bottom line. In
  these days of Who knows what is going to happen
  to our business tomorrow, there arent many ways
  to make a profit improvement. If you concentrate
  on making quality certain, you can probably
  increase your profit by an amount equal to 5 to
  10 of you sales. Thats a lot of money for free.

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• Crosby advocated the "zero-defects" program
  adopted by the US federal government defining
  quality as "conformance to requirements". He
  emphasized prevention rather than inspection
  (audits) and promoted a definition of quality as
  "meeting the customers requirements the first
  time and every time"

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Crosby's Quality Improvement Process is based
upon the...

• Four Absolutes of Quality Management
• 1. Quality is defined as conformance to
  requirements, not as 'goodness' nor 'elegance'.
• 2. The system for causing quality is prevention,
  not appraisal.
• 3. The performance standard must be Zero Defects,
  not 'that's close enough'.
• 4. The measurement of quality is the Price of
  Non-conformance, not indices.
• http//www.simplesystemsintl.com/quality_gurus
  /P_B_Crosby.htm23

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TQM
Total Quality Management (TQM) is a participative
management style that stresses total staff
commitment to "customer" satisfaction. It is a
holistic approach to managing complex
organizations and replaces top-down management
with decentralized customer-driven decision
making. Total Quality Management is an integrated
management system for creating and implementing a
continuous improvement process -- eventually
producing results that exceed customer
expectations. It is based on the assumption that
90 percent of problems are a result of process,
not employees.
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TQM page 2

• The development of TQM can be traced to several
  consultants including Deming, Juran and Crosby.
  TQM is a process and strategy that in certain
  situations can improve an organization's
  effectiveness and efficiency.

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TQM page 3

• TQM places responsibility for quality problems
  with management rather than on the workers. A
  principal concept of TQM is the management of
  process variation which seeks to identify special
  and common needs. The objective of TQM is the
  continual improvement of processes, achieved
  through a shift in focus from outcomes (or
  products) to the processes that produce them. TQM
  achieves its objective through data collection
  and analysis, flow charts, cause and effect
  diagrams, and other tools which are used to
  understand and improve processes.

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Crosbys Philosophy

• The 5 Absolutes of Quality
• Quality is defined as conformance to
  requirements, not as elegance or goodness
• There is no such thing as a quality problem
• It is always cheaper to do it right the first
  time
• The only performance measure is the cost of
  quality
• The only performance standard is zero defects

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14 Steps to Improvement

• Establish management commitment
• Form a quality team
• Establish quality measures for each activity
• Evaluate cost of quality and indicate where
  corrective actions will lead to profit gains
• Create awareness in employees by training
  supervisors with appropriate materials
• Instigate action by encouraging employees to fix
  defects or ntify someoine who can fix them
• Designate a committee to find how to implement
  zero defects program
• Train employees and supervisors so they
  understand the steps
• Hold a ZD day to demonstrate company commitment
• Employees set goals on a 30, 60 or 90 day
  schedule
• Identify the causes of errors and remove them
  from processes
• Initiate award programs to award employees who
  meet their goals
• Establish Quality Councils and hold regular
  meetings
• Do it all over again.

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Strengths

• Approach is very clear and creative, and is
  supported by several tools that are easy to grasp
• Emphasizes worker participation (not just
  management), worker recognition
• Strong motivator
• Leadership

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Weaknesses

• Considered by some to be gimmicky
• Can be conceived as putting the blame on workers,
  which may lead to negative attitudes
• can mislead supervisors to think they have little
  impact
• 14 step plan is criticized for being too
  management and goal oriented
• Zero Defects can be misleading
• Requires the organization to accept and welcome
  changes

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Crosby Acknowledgements

• Vice President, Quality at International
  Telephone Telegraph (ITT)
• Philip B. Crosby has written numerous books on
  quality management and has had many years of
  experience in this field. He is considered to be
  a leading Guru in quality management. His systems
  have been successfully introduced in many
  organizations, e.g. at ITT which saved 720
  million as a result of implementing his quality
  process program, and at HPA Corporation Appliance
  Division.

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Crosby Acknowledgements (cont)

• Established Crosby College to train business
  people about his version of Quality.
• Famous for coining expression such as "zero
  defects" and "do it right the first time"
• Crosby has synthesized his views on Quality in a
  14-point declaration.
• Strongly humanistic in his views, Crosby tells us
  that we should "always assume that people are
  vitally interested in the quality improvement
  process"
• He then assures us that people will act to
  fulfill our conviction. "Assume the best and that
  is usually what happens" he encourages us.

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Crosby Acknowledgements (cont)

• Phillip Crosby has also played an important role
  in popularizing the quality approach. He
  developed what was named the Quality College in
  1980, where an estimated five million people eve
  attended courses (Lewis and Smith 1994).
• More than 40 years as the developer and innovator
  of the principles of Quality Management
• He is considered the Father of Zero Defects.
• Some of Crosbys own proverbs about quality are
• Supervisors are always right. The supervised are
  always wrong, even when theyre right.
• When only a few know, nothing will ever get
  finished.
• Theres nothing like a serious illness to
  stimulate the creative process.

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Crosby Acknowledgements (cont)

• Crosbys book Quality is Free has been written
  with the intention of convincing the reader that
  quality can be achieved with time, patience, hard
  work, determination and putting the right systems
  in place.
•  
• Crosby considers himself to be a professional
  manager who communicates through writing and
  other means.
•  
• Throughout this book he explains that total
  quality management (TQM) is one of the most
  important ways of increasing the bottom line
  (profits) of a company and that a companys
  target in quality should be to achieve Zero
  Defects.
•  
• In the first part of his book, Making Quality
  Certain, he dealt with the aspect of peoples
  (particularly top management) paradigms in
  relation to quality and communicating with them
  so that these can be altered.

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Crosby Acknowledgements (cont)

• Crosbys concept was developed to help managers
  of small businesses or large organizations see
  how well quality control can work.
•  
• The Quality Management Maturity Grid is used so
  that we know where our organization is at and as
  a means to move from disbelief and doubt to the
  conviction that quality is imperative to the
  success of our organization
• The three systems used by Crosby in his quality
  program are
• Quality Management Maturity Grid - measures
  present systems and pinpoints areas needing
  improvements
• Quality Improvement Program - a fourteen-step
  procedure that was established through his work
  at the ITT Corporation
• Make Certain Program - a person-to-person,
  white-collar-oriented improvement program to
  prevent defects

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Crosby Acknowledgements (cont)

• Crosby states that, when establishing a quality
  improvement process, the requirements would be
• Management participation
• Establishment of a professional quality team
• Quality improvement through prevention of defects
  
• Empowerment of all staff and recognition of all
  involved in this achievement

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Nelson Nameplate Co.

• Location Los Angeles, CA
• Employment Over 300
• Industry Nameplates, graphic overlays

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Company Motto

• Every employee of the company must have a
  complete education in the understanding of
  quality and what it means to him or her and the
  company

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QIP

• Quality Improvement Process was begun in 1990
  based on Crosbys concepts
• Why QIP?
• Appraisal-based ? Prevention/continuous
  improvement based quality system

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ECR

• Error Cause Removal System
• Any employee can identify and easily report
• Problems
• Errors
• Waste
• Opportunity
• Other concerns

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Impact of QIP Over the Past Decade

• Revenue tripled
• Cost of quality decreased from 30 to 18 of
  sales
• Employee turnover dropped fourfold
• Average employment period is now over 10 years
• Increased business for suppliers
• Enabled Nelson to move to a state-of-the-art
  117,000 square foot facility in the fall of 1999.

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Nelson Today

• ISO 9002 certified
• AS 9100 (pursuing)
• QIP leaders changed every two years
• Open book management
• Profit sharing based on team performance

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• Any Questions???

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