Total Quality Management (HU4106) 2
Learning Objectives
Introduction
Benchmarking Definition
Reasons for Benchmark
Process
Decision - what to Benchmark
Understanding Current Performance
Planning
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Benchmarking-Performance Measures And Quality Maintenance-Lecture Slides, Slides of Total Quality Management (TQM)
This lecture is part of lecture series on Total Quality Management course. It was delivered by Prof. Basudha Ahluwalia at Alliance University. Its main points are: Benchmarking, Definition, Reasons, Process, Decision, Current, Planning, Total, Quality, Management
Typology: Slides
2011/2012
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Total Quality Management (HU4106) 2
Learning Objectives^
Introduction
Benchmarking Definition
Reasons for Benchmark
Process
Decision - what to Benchmark
Understanding Current Performance
Planning
Total Quality Management (HU4106) 3
Learning Objectives
Studying Others
Learning from the Data
Using the Findings
Pitfalls
and
Criticisms
of Benchmarking
TQM Exemplary Organisation
NOTE:
Topics in “Blue” are for students to read andunderstand.
Total Quality Management (HU4106) 5
Introduction
2/
Also to understand how these bestpractices differ from their own andimplement change to close the gap.
The essence of benchmarking is theprocess of borrowing ideas andadapting them to gain competitiveadvantage. It is a tool for continuousimprovement.
Total Quality Management (HU4106) 6
Introduction
3/
Benchmarking
is the process of
comparing the cost, cycle time,productivity, or quality of a specificprocess or method to another that iswidely considered to be an industrystandard or best practice.
(net.)
Total Quality Management (HU4106) 8 Benchmarking Concept 2/ What is our performance level? How do we do it? What is others’ performance level? How did they get there?
Creative
Adaptation
Breakthrough Performance
Total Quality Management (HU4106) 9 Reason to Benchmark 1/
Benchmarking is a tool to achievebusiness and competitive objectives.
It is powerful and very effective whenused for the right reasons and alignedwith organisation strategy.
It is not a panacea that would replaceall other quality efforts or managementprocesses.
Total Quality Management (HU4106) 11
Reason to Benchmark
Benchmarking can notify theorganisation if it has fallen behind thecompetition or failed to takeadvantage of important operatingimprovements developed elsewhere.In short, benchmarking can inspireorganisation to compete.
Total Quality Management (HU4106) 12 Reason to Benchmark 4/ Organisations must continue to innovate aswell as imitate. Benchmarking enhancesinnovation by requiring organisations toconstantly scan the external environmentand use the information obtained to improvethe processes. Potentially useful technological break-through can be located and adopted early.
Total Quality Management (HU4106) 14
Process
Organisations that benchmarkadopt the process to best fit theirown needs and culture. However,there are numerous steps in theprocess which vary fromorganisation to organisation, thefollowing
six steps
contain the core
techniques
Total Quality Management (HU4106) 15 Process 2/
Decide what to benchmark.
Understand current performance.
Plan
Study others
Learn from the data
Use the finding.
Total Quality Management (HU4106) 17 Process 4/ From the slides above; Details to be read from the book.
Total Quality Management (HU4106) 18 Deciding What to Benchmark 1/
Benchmarking can be applied tovirtually any business or productionprocess. In deciding what tobenchmark, it is best not to choosetoo large a task in the beginning andshould be completed as soon as youcan.
Total Quality Management (HU4106) 20 Deciding What to Benchmark 3/
The questions that need to be addressedbefore the benchmarking are
Which processes are causing the most trouble?
Which processes contribute most to customersatisfaction and which are the not forming up toexpectations?
what are the competitive pressures impacting
the organisation the most?
What processes or functions have the mostpotential for differentiating our organisation fromthe competitions?
Total Quality Management (HU4106) 21 Deciding What to Benchmark 4/ Critical Success Factors (CSF):