Evolution of Total Quality Principles and Other Quality Gurus

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Evolution of Total Quality Principles and
Other Quality Gurus
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Dr. W. Edwards Deming

• Dr. W. Edwards Deming is known as the father of
  the Japanese post-war industrial revival and was
  regarded by many as the leading quality guru in
  the United States.

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• Trained as a statistician, his expertise was used
  during World War II to assist the United States
  in its effort to improve the quality of war
  materials.

"We have learned to live in a world of mistakes
and defective products as if they were necessary
to life. It is time to adopt a new philosophy in
America. (Deming)
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Demings System of Profound Knowledge

• The prevailing style of management must undergo
  transformation. A system cannot understand
  itself. The transformation requires a view from
  outside.

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• The first step is transformation of the
  individual. This transformation is discontinuous.
  It comes from understanding of the system of
  profound knowledge. The individual, transformed,
  will perceive new meaning to his life, to events,
  to numbers, to interactions between people.

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• Once the individual understands the system of
  profound knowledge, he will apply its principles
  in every kind of relationship with other people.
  He will have a basis for judgment of his own
  decisions and for transformation of the
  organizations that he belongs to.

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• The individual, once transformed, will
• Set an example
• Be a good listener, but will not compromise
• Continually teach other people and
• Help people to pull away from their current
  practices and beliefs and move into the new
  philosophy without a feeling of guilt about the
  past

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• Deming advocated that all managers need to have
  what he called a System of Profound Knowledge,
  consisting of four parts
• Appreciation of a system understanding the
  overall processes involving suppliers, producers,
  and customers (or recipients) of goods and
  services.

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• Knowledge of variation the range and causes of
  variation in quality, and use of statistical
  sampling in measurements
• Theory of knowledge the concepts explaining
  knowledge and the limits of what can be known
• Knowledge of psychology concepts of human
  nature.

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Demings 14 Points

• Constancy of purposeCreate constancy of purpose
  for continual improvement of products and service
  to society, allocating resources to provide for
  long range needs rather than only short term
  profitability, with a plan to become competitive,
  to stay in business, and to provide jobs.

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• The new philosophyAdopt the new philosophy. We
  are in a new economic age, created in Japan. We
  can no longer live with commonly accepted levels
  of delays, mistakes, defective materials, and
  defective workmanship. Transformation of Western
  management style is necessary to halt the
  continued decline of business and industry.

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• Cease dependence on mass inspectionEliminate
  the need for mass inspection as the way of life
  to achieve quality by building quality into the
  product in the first place. Require statistical
  evidence of built in quality in both
  manufacturing and purchasing functions.

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• End lowest tender contractsEnd the practice of
  awarding business solely on the basis of price
  tag. Instead require meaningful measures of
  quality along with price. Reduce the number of
  suppliers for the same item by eliminating those
  that do not qualify with statistical
• and other evidence of quality. The aim is to
  minimize total cost, not merely initial cost, by
  minimizing variation. This may
• be achieved by moving toward a single
  supplier for any one item, on a long term
  relationship of loyalty and trust. Purchasing
  managers have a new job, and must learn it.

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• Improve every processImprove constantly and
  forever every process for planning, production,
  and service. Search continually for problems in
  order to improve every activity in the company,
  to improve quality and productivity, and thus to
  constantly decrease costs. Institute innovation
  and constant improvement of product, service, and
  process. It is management's job to work
  continually on the system (design, incoming
  materials, maintenance, improvement of machines,
  supervision, training, retraining).

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• Institute training on the jobInstitute modern
  methods of training on the job for all, including
  management, to make better use of every employee.
  New skills are required to keep up with changes
  in materials, methods, product and service
  design, machinery, techniques, and service.

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•  Institute leadershipAdopt and institute
  leadership aimed at helping people do a better
  job. The responsibility of managers and
  supervisors must be changed from sheer numbers to
  quality. Improvement of quality will
  automatically improve productivity. Management
  must ensure that immediate action is taken on
  reports of inherited defects, maintenance
  requirements, poor tools, fuzzy operational
  definitions, and all conditions detrimental to
  quality.

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• Drive out fearEncourage effective two way
  communication and other means to drive out fear
  throughout the organization so that everybody may
  work effectively and more productively for the
  company.

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• Break down barriersBreak down barriers between
  departments and staff areas. People in different
  areas, such as Leasing, Maintenance,
  Administration, must work in teams to tackle
  problems that may be encountered with products or
  service.

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• Eliminate exhortationsEliminate the use of
  slogans, posters and exhortations for the work
  force, demanding Zero Defects and new levels of
  productivity, without providing methods. Such
  exhortations only create adversarial
  relationships the bulk of the causes of low
  quality and low productivity belong to the
  system, and thus lie beyond the power of the work
  force.

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• Eliminate arbitrary numerical targetsEliminate
  work standards that prescribe quotas for the work
  force and numerical goals for people in
  management. Substitute aids and helpful
  leadership in order to achieve continual
  improvement of quality and productivity.

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• Permit pride of workmanshipRemove the barriers
  that rob hourly workers, and people in
  management, of their right to pride of
  workmanship. This implies, among other things,
  abolition of the annual merit rating (appraisal
  of performance) and of Management by Objective.
  Again, the responsibility of managers,
  supervisors, foremen must be changed from sheer
  numbers to quality.

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• Encourage educationInstitute a vigorous program
  of education, and encourage self improvement for
  everyone. What an organization needs is not just
  good people it needs people that are improving
  with education. Advances in competitive position
  will have their roots in knowledge.

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• Top management commitment and actionClearly
  define top management's permanent commitment to
  ever improving quality and productivity, and
  their obligation to implement all of these
  principles. Indeed, it is not enough that top
  management commit themselves for life to quality
  and productivity.

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Joseph M. Juran

• His major contribution to society was in the
  field of quality management and he is often
  called the "father" of quality. Perhaps most
  importantly, he is recognized as the person who
  added the managerial dimension to
  qualitybroadening it from its statistical
  origins.

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• In 1937, Dr. Juran created the "Pareto
  principle," which millions of managers rely on to
  help separate the "vital few" from the "useful
  many" in their activities. This is commonly
  referred to as the 80-20 principle. Its universal
  application makes it one of the most useful
  concepts and tools of modern-day management. This
  is now referred to as Juran's Pareto Principle.

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• Joseph M. Juran developed the "Juran's trilogy,"
  an approach to cross-functional management that
  is composed of three managerial processes
  quality planning, quality control and quality
  improvement.
• This Trilogy shows how an organization can
  improve every aspect by better understanding of
  the relationship between processes that plan,
  control and improve quality as well as business
  results.

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• Quality Planning --- To determine customer needs
  and develop processes and products required to
  meet and exceed those of the customer needs. The
  processes are called Design for Six Sigma or
  Concurrent Engineering. This can be particularly
  challenging for a planning team, because
  customers are not always consistent with what
  they say they want. The challenge for quality
  planning is to identify the most important needs
  from all the needs expressed by the customer.

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• Identify who are the customers.
• Determine the needs of those customers.
• Translate those needs into our language.
• Develop a product that can respond to those
  needs.
• Optimize the product features so as to meet our
  needs and customer needs.

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• Quality Control --- The purposes of quality
  control is to ensure the process is running in
  optimal effectiveness, or to ensure that any
  level of chronic waste inherent in the process
  does not get worst. Chronic waste, which is a
  cost of poor quality that can exist in any
  process, may exist due to various factors
  including deficiencies in the original planning.
  It could cost a lot of money to the company, from
  rework time to scrap product to overdue
  receivables.

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• If the waste does get worst (sporadic spike), a
  corrective action team is brought in to determine
  the cause or causes of this abnormal variation.
  Once the cause or causes had been determined and
  corrected, the process again falls into the zone
  defined by the quality control limits.
• Prove that the process can produce the product
  under operating conditions with minimal
  inspection.
• Transfer the process to operations.

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• Quality Improvement --- Eliminate waste, defects
  and rework that improves processes and reduces
  the cost of poor quality. The processes have to
  be constantly challenged and continuously
  improved. Such an improvement does not happen of
  its own accord. It results from purposeful
  Quality Improvement or Breakthrough.
• Develop a process which is able to produce the
  product.
• Optimize the process.

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Jurans Ten Steps to Quality Improvement

• Build awareness of the need and opportunity for
  improvement
• Set goals for improvement
• Organize to reach the goals
• Provide training
• Carry out projects to solve problems
• Report progress
• Give recognition
• Communicate results
• Keep score
• Maintain momentum by making annual improvement
  part of the regular systems and processes of the
  company

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Strengths of Jurans Trilogy

• The methodology searches a continuous improvement
  of quality in every aspects of the organization,
  because if the implementation of the methodology
  does not give the desire results it is possible
  to start all over again.

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Strengths of Jurans Trilogy

• The methodology allows the use different quality
  tools to cover the steps of Jurans Trilogy. It
  allows a better understanding of the
  relationships of every stage of the company.
• The methodology is well structured and allows the
  companies that implement it, an easy
  understanding and application.

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Weaknesses of Jurans Trilogy

• To have quality control it is necessary to have a
  trained person with knowledge in statistical
  processes or train a special person to be in
  charge of quality. The program is focus in the
  company process and not in labor force.

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Weaknesses of Jurans Trilogy

• Analyzing the requirements of the program we
  found that the companies who apply the program
  have a complex level of organization. This kind
  of methodologies show results in a long term
  this represents a risk for the company because
  the implementation of the quality program can be
  a waste of time, money and resources.

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Philip Crosby

• Dr. Deming and Dr. Juran were the great brains of
  the quality revolution. Where Phil Crosby
  excelled was in finding a terminology for quality
  that mere mortals could understand. His books,
  "Quality Without Tears" and "Quality is Free"
  were easy to read, so people read them. He
  popularized the idea of the "cost of poor
  quality", that is, figuring out how much it
  really costs to do things badly.

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• Like Frederick Taylor, Philip Crosby's ideas came
  from his experience on an assembly line. He
  focused on zero defects, not unlike the focus of
  the modern Six Sigma Quality movement. Mr. Crosby
  was quick to point out, however, that zero
  defects is not something that originates on the
  assembly line.

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• To create a manufacturing process that has zero
  defects management must set the tone and
  atmosphere for employees to follow. If management
  does not create a system by which zero defects
  are clearly the objective then employees are not
  to blame when things go astray and defects occur.
  The benefit for companies of such a system is a
  dramatic decrease in wasted resources and time
  spent producing goods that consumer's do not want.

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• Mr. Crosby defined quality as a conformity to
  certain specifications set forth by management
  and not some vague concept of "goodness." These
  specifications are not arbitrary either they
  must be set according to customer needs and wants.

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ASSIGNMENT

• DR. H. JAMES HARRINGTON
• DR. KAORU ISHIKAWA
• DR. WALTER A. SHEWHART
• SHIGEO SHINGO
• FREDERICK TAYLOR
• DR. GENICHI TAGUCHI

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Crosby's 14 Steps to Quality Improvement

• Management is committed to quality and this is
  clear to all
• Create quality improvement teams with (senior)
  representatives from all departments.
• Measure processes to determine current and
  potential quality issues.
• Calculate the cost of (poor) quality

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Crosby's 14 Steps to Quality Improvement

• Raise quality awareness of all employees
• Take action to correct quality issues
• Monitor progress of quality improvement
  establish a zero defects committee.
• Train supervisors in quality improvement

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Crosby's 14 Steps to Quality Improvement

• Hold zero defects days
• Encourage employees to create their own quality
  improvement goals
• Encourage employee communication with management
  about obstacles to quality
• Recognize participants effort
• Create quality councils
• Do it all over again quality improvement does
  not end

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Five characteristics of an Eternally Successful
Organization

• People routinely do things right first time
• Change is anticipated and used to advantage
• Growth is consistent and profitable
• New products and services appear when needed
• Everyone is happy to work there

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• The foundation of Crosby's approach is
  prevention. His approach to quality is best
  described by the following concepts (1) Do It
  Right the First Time (2) Zero Defects and Zero
  Defects Day (3) the Four Absolutes of Quality
  (4) the Prevention Process (5) the Quality
  Vaccine and (6) the Six C's.

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Four Absolutes of Quality Management

• Quality is defined as conformance to
  requirements, not as 'goodness' or 'elegance'.
• The system for causing quality is prevention, not
  appraisal.
• The performance standard must be Zero Defects,
  not "that's close enough".
• The measurement of quality is the Price of
  Nonconformance, not indices.

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Four Absolutes

• Quality is conformance to the requirements All
  the actions necessary to run an organization,
  produce a product and or service, and deal with
  customers must be met and agreed. If management
  wants people to do it right the first time, they
  must clearly communicate what it is and help them
  achieve it through leadership, training, and
  fostering a climate of cooperation.

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• The system of quality is prevention The system
  that produces quality is prevention (i.e.,
  eliminating errors before they occur). To Crosby,
  training, discipline, example, and leadership
  produce prevention. Management must consciously
  commit themselves to a prevention-oriented work
  environment.

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• The performance standard is Zero Defects ( Do it
  right the first time ) The attitude of close
  enough is not tolerated in Crosby s approach.
  Errors are too costly to ignore. Leaders must
  help others in their pursuit of conforming to
  requirements by allocating resources for
  training, providing time, tools, etc., to all
  employees.

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• The measurement of quality is the price of
  nonconformance Nonconformance is a management
  tool for diagnosing an organization's
  effectiveness and efficiency.

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Six Cs

• Comprehension
• Commitment
• Competence
• Communication
• Correction
• Continuance