TOTAL QUALITY MANAGEMENT: TQM Origins, Evolution

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TOTAL QUALITY MANAGEMENTTQMOrigins,
Evolution key elements
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What is Quality?
Quality is fitness for use (Joseph
Juran) Quality is conformance to
requirements (Philip B. Crosby) Quality of a
product or services is its ability to satisfy the
needs and expectations of the customer
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Evolution of Quality Management
Salvage, sorting, grading, blending, corrective
actions, identify sources of non-conformance
Inspection
Develop quality manual, process performance data,
self-inspection, product testing, basic quality
planning, use of basic statistics, paperwork
control.
Quality Control
Quality systems development, advanced quality
planning, comprehensive quality manuals, use of
quality costs, involvement of non-production
operations, failure mode and effects analysis,
SPC.
Quality Assurance
Policy deployment, involve supplier customers,
involve all operations, process management,
performance measurement, teamwork, employee
involvement.
TQM
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Demings view of a production as a system
Consumer Research
Design redesign
Receipt test of materials
Suppliers, materials equipment
Production, assembly, inspection
Distribution
Consumers
Test of processes, machines, methods, cost
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Demings Chain Reaction
Improve Quality
Provide jobs and more jobs
Cost decreases because of less rework, fewer
mistakes, fewer delays, snags, better use of
machine time and materials
Stay in business
Productivity improves
Capture the market with better quality and lower
price
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The Deming Cycle or PDCA Cycle
PLAN
Plan a change to the process. Predict the effect
this change will have and plan how the effects
will be measured
DO
ACT
Adopt the change as a permanent modification to
the process, or abandon it.
Implement the change on a small scale and measure
the effects
CHECK
Study the results to learn what effect the change
had, if any.
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W. Edwards Demings 14 Points
1)
Create constancy of purpose towards improvement
of product and services. Adopt the new
philosophy. We can no longer live with commonly
accepted levels of delays, mistakes, defective
workmanship. Cease dependence on mass inspection.
Require, instead, statistical evidence that
quality is built in. End the practice of awarding
business on the basis of price tag.
2)
3)
4)
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W. Edwards Demings 14 Points
5)
Find problems. It is managements job to work
continually on the system. Institute modern
methods of training on the job. Institute modern
methods of supervision of production workers. The
responsibility of foremen must be changed from
numbers to quality. Drive out fear that everyone
may work effectively for the company.
6)
7)
8)
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W. Edwards Demings 14 Points
9)
Break down barriers between departments. Eliminate
numerical goals, posters and slogans for the
workforce asking for new levels of productivity
without providing methods. Eliminate work
standards that prescribe numerical quotas. Remove
barriers that stand between the hourly worker and
his right to pride of workmanship.
10)
11)
12)
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W. Edwards Demings 14 Points
Institute a vigorous programme of education and
retraining. Create a structure in top management
that will push everyday on the above 13 points.
13)
14)
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Demings System of Profound Knowledge
Knowledge about variation
Appreciation for system
Theory about knowledge
Knowledge of psychology
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Joseph M. Juran and the Cost Of Quality
2 types of costs Unavoidable Costs preventing
defects (inspection, sampling, sorting,
QC) Avoidable Costs defects and product failures
(scrapped materials, labour for re-work,
complaint processing, losses from unhappy
customers
Gold in the Mine
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Joseph M. Juran and the Cost Of Quality
Costs
Total Costs
Unavoidable costs
Avoidable costs
100 defective
Point of Enough quality
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What is TQM?
Concern for employee involvement and development
Management by Fact
Constant drive for continuous improvement and
learning.
Organisation response ability
Passion to deliver customer value / excellence
Result Focus
Partnership perspective (internal / external)
Actions not just words (implementation)
Process Management
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LEARNING AND TQM
Learning
Process Improvement
Quality Improvement
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BASIC PRINCIPLES OF TQM
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FOUR KEY PRINCIPLES

• Measure quality so you can affect it

• Focus on a moving customer

• Involve every employee

• Think long term - Act short term

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THE CASE FOR QUALITY
1 Success of competitors who take quality
seriously
2 Rising expectations of
customers 3 Quality differentiates companies
from the competition 4 Narrowing of
supplier bases by quality conscious
companies .
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THE CASE FOR QUALITY
5 Growing evidence that growth in market
share comes from sustained quality. 6 Cost
advantages 7 High cost of catastrophic
failure 8 Inspection poor substitute for right
first time
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SEVEN DEADLY SINS OF TQM

• Flight to nowhere

• One size fits all

• Substituting TQM for leadership

• Inside - Out indicators

• Mandatory religion

• Quality kept as a separate activity

• Teaching to the test

Booz-Allen Hamilton
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Preparation of a project quality plan
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Quality is a Journey, not a Destination