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GE2022-TOTAL QUALITY MANAGEMENT
UNIT I-INTRODUCTION
Introduction, Need for quality, Evolution of quality, Definition of quality, Dimension of Manufacturing and Service quality, Basic concepts of TQM, Definition of TQM, TQM frame work-contribution of Deming, Juran and Crosby-barries of TQM s.no Topic. No particulars Page no 1 1.1 Introduction-^ Need for quality^ 1 2 1.2 Evolution of quality^ 2 3 1.3 Definition of quality^ 4 4 1.4 Dimensions of manufacturing and service quality^ 6 5 1.5 Basic concepts of TQM^ 7 6 1.6 Definition of TQM^ 8 7 1.7 TQM Framework^ 12 8 1.8 Contributions of Deming, Juran and Crosby^ 12 9 1.9 Barriers to TQM^ 17 1.1 INTRODUCTION: Quality is important to businesses but can be quite hard to define. A good definition of quality is: "Quality is about meeting the needs and expectations of customers"
Customers want quality that is appropriate to the price that they are prepared to pay and the level of competition in the market. Key aspects of quality for the customer include: Good design – looks and style Good functionality – it does the job well Reliable – acceptable level of breakdowns or failure Consistency Durable – lasts as long as it should Good after sales service Value for money 'Value for money' is especially important, because in most markets there is room for products of different overall levels of quality, and the customer must be satisfied that the price fairly reflects the quality. Some products and services are marketed as 'basic', having none of the extra features and benefits of more expensive alternatives. Good examples would be Easyjet and George at Asda clothing ranges. Even though it may be 'low quality' in terms of style or features, these products still give good value for money for their overall level of quality. For the firm, good design is fundamental, so that the product can be produced efficiently, reliably and at the lowest possible cost. Quality helps determine a firm's success in a number of ways: Customer loyalty – they return, make repeat purchases and recommend the product or service to others. Strong brand reputation for quality Retailers want to stock the product As the product is perceived to be better value for money, it may command a premium price and will become more price inelastic Fewer returns and replacements lead to reduced costs Attracting and retaining good staff These points can each help support the marketing function in a business. However, firms have to work hard to maintain and improve their reputation for quality, which can easily be damaged by a news story about a quality failure. 1.2 NEED FOR QUALITY:
the build process and communication between internal processes to final despatch to customer). Analyzing this should give a indication of the level of quality from start to finish.
2. TARGETS: From analyzing the state of quality within an organisation, the next step is to set clearly identifiable targets for the business. These targets should set for a realistic time frame. Do not expect to resolve all quality issues within your business in a one to three year period, developing and harnessing a properly structured quality strategy will take 5-10 years to reap real rewards. Do not go for short-termism, this has been a major problem for UK industry, we must start working towards longer time spans. 3. SMALLER TARGETS: From using the targets for where you want your business to be, start developing smaller realistic targets which will be achievable. 4. PLAN AGAIN : This will involve further breaking down into smaller targets which will again smaller and more manageable steps, as Wellemin states 'For each activity it will be necessary to (a) Identify the gap, (b) Identify the output, (c) Identify and agree customer needs, (d) Translate these needs into product specification, (e) Identify the steps in the work place, (f) Select and agree measurement criteria, (g) Determine the capabilities and resource requirements' 5. MANAGE THE PROCESS: From setting the targets, it becomes essential that the implementation is carefully managed, and that the business itself focuses on ensuring the quality plans are adhered to. The business also needs to ensure that quality is incorporated into all facets of its activities. 6. COMMUNICATION: The biggest downfall of implementing any form of strategy has been the lack of communication. There is no point in introducing a new strategy unless all the people who are affected by it are aware of the implications it imposes upon them. Make sure everyone is aware, ensure appropriate feedback loops are in place. 7. REVIEW: Have constant reviews, make sure the target set are achievable and can be met, if needs be re-arrange the targets, make sure all problems are raised, monitored and corrected. A quality strategy must be an evolutionary process that grows with the business. Quality is a concept that should be applied to an organization as a whole. Quality should be applied to every process, which the organization carries out, from getting the raw materials from suppliers, through every stage of the production cycle or service provision.
A Quality strategy should be developed in a coherent strategy, where the ideal of employees, sections and departments should be seen as 'internal customers' is present. Because at the end of the day, ever improving internal quality will result in there being reduced cost benefits, and better still higher quality levels in the products and services of an organization, when it reaches the consumer. Exam guidelines PART-A Define Quality ,meaning of quality PART-B Questions on need of quality 1.3. EVOLUTION OF QUALITY: Time Events Until 1960s Prior to the 20 th century Quality is an art Demands overcome potential production An era of workmanship F.Taylor 1900s The scientific approach to management resulting in rationalization of work and its break down leads to greater need for standardization, inspection and supervision Shewart 1930s Statistical beginnings and study of quality control. In parallel, studies by R A Fisher on experimental design; the beginning of control charts at western Electric in USA Late 1930s Quality standards and approaches are introduced in France and Japan. Beginning of SQC, reliability and maintenance engineering 1942 Seminal work by Deming at the ministry of war in USA on quality control and sampling Working group setup by Juran and Dodge on SQC in US army Concepts of acceptance sampling devised 1944 Daodge and Deming carried out seminal research on acceptance
process optimization Exam guidelines PART-A PART-B Questions on evolution of quality 1.4 DEFINITION OF QUALITY: According to ISO 9000:2000 , it is defined as the degree to which a set of inherent characteristics fulfills requirements.
- Degree means the quality can be used with adjectives such as poor, good and excellent.
- Inherent is defined as existing in something, especially as a permenant characteristic.
- Characteristics can be quantitative or qualitative.
- Requirement is a need or expectation that is stated; generally implied by the organization, its customers and other interested parties or obligatory. It can be quantified as follows: Q = P / E where Q = Quality P / E = 1(Satisfied) P = Performance P / E > 1(Delighted) E = Expectation P / E < 1(Dissatisfied) Quality can also be defined in various ways and some of the important definitions of quality are given below.
- Quality should be aimed at the needs of the consumer, present and future. (given by DEMING)
- “Quality is fitness for use.” (given by JURAN,1974)
- “Quality is conformance to requirements or specifications.” (given be CROSBY 1979)
- “Quality is in its essence, a way of managing the organisation.” (given by FEIGENBAUM) Exam guidelines PART-A Definition of quality PART-B
1.5 DIMENSIONS OF MANUFACTURING QUALITY:
According to David A.Garvin of Harvard Business school, Quality has nine different dimensions. They are:
- Performance
- Features
- Conformance
- Reliability
- Durability
- Service
- Response
- Aesthetics
- Reputation Performance: It is the primary characteristics of a product, such as brightness of the picture. Extent to which a manufactured product able to function. Features: Secondary characteristics, added features, such as remote control. It is the one that supplement products basic functioning. Conformance: Meeting specifications or industry standards, workmanship. Reliability: Consistency of performance over time, average time for the unit to fail. Durability: It is the measure of product life, includes repair. Service: Diagnose, solve problems and complaints, easy of repair. Response: Human-to-human interface, such as the courtesy of the dealer. Aesthetics: Sensory characteristics, such as exterior finish. Reputation: Service Features Performance Cost
3. Effective involvement and utilization of the entire work force: Also called “Employee Involvement” (or) “Respect for People”. TQM is teamwork. Total quality recognises that each person is responsible for the quality of his work and for the work of the group. All employees must be trained in TQM, Statistical Process Control (SPC), and other appropriate quality improvement skills so that they can effectively participate on quality teams. People must come to work not only to do their jobs, but also to think about how to improve their jobs. 4. Continuous improvement: There must be continuous striving to improve all business and production processes. A person should be thinking in an optimistic way of doing jobs and always good in better use of company resources. Quality improvement projects such as on-time delivery, order entry efficiency, customer satisfaction, supplier management are good places to begin. Technical techniques (SPC, Benchmarking, QFC, etc.,) are good for problem solving**.
- Treating suppliers as partners:** Since the suppliers influence the company’s quality, therefore a partnering relationship should be developed between the management and the suppliers. The supplier quality must be outstanding. Both parties have as much to gain or lose based on the success or failure of the product or service. The focus should be on quality and life-cycle costs rather than price. Suppliers should be few in number, so that true partnering can occur. 6. Establishing performance measures: Quantitative data are needed to measure the continuous quality improvement activity. Therefore performance measures such as productivity, sales turnover, customer satisfaction, etc., should be calculated for each functional area. These results can be used for further improvement activities. Quality, Cost, Delivery Cycle: 1960’s 1980’s 2000’s
Cost Delivery Quality Delivery Quality Cost Quality Cost Delivery Evolution of TQM: The TQM philosophy has evolved from quality in the sequence CHARACTERISTICS OF TQM:
- TQM is a customer oriented.
- TQM required a long term commitment for continuous improvement of all process.
- TQM is teamwork.
- TQM requires the leadership of top management and continuous involvement.
- TQM is a strategy for continuous improving performance at all levels and in all areas of responsibility. PRINCIPLES OF TQM:
- Customer oriented.
- Everybody must be involved, from all levels and across all functions.
- Regular communication is must. Two way communications must be promoted.
- Top management’s participation and commitment is must.
- There should be focus on teamwork.
- Identifying training needs and relating them with individual capabilities and requirements is must.
- A culture of continuous improvement must be established. Requires leadership of top management.
- Every job must add value.
- Emphasis should be placed on purchasing and supplier management. Quality Quality control Statistical Quality control(SQC) Total Quality control(TQC) Quality assurance (QA)
TQM
TQM is used to improve the whole organisation stepwise, structured and systematically accordingly to hard work, discipline intensive training and consistent implementation of techniques and resources. These quality principles form the foundation of TQM. Exam guidelines PART-A Questions on concept, characteristics and principles of TQM PART-B Questions on basic concept, characteristic of TQM, principles of TQM and pillars of TQM. 1.7 Definition of TQM: It is the management approach for an organisation, centred on quality, based on the participation of all its members and aiming at long-term success through customer satisfaction, and benefits to all members of the organisation and to society. – ISO Exam guidelines PART-A Question on Define TQM according to ISO 1.8 TQM FRAME WORK Employee involvement, Structured, Stepwise, Discipline, Consistency
DEMING PHILOSOPHY:
1. Create and Publish the Aims and Purposes of the Organization: Management must demonstrate constantly their commitment to this statement. It must include investors, customers, suppliers, employees, the community, and a quality philosophy. The statement is a forever-changing document that requires input from everyone. Organizations must develop a long-term view of at least ten years and plan to stay in business by setting long-range goals. Resources must be allocated for research, training, and continuing education to achieve the goals. A family organizational philosophy is developed to send the message that everyone is part of the organization. 2. Learn the New Philosophy: Top management and everyone must learn the new philosophy. Organizations must seek never-ending improvement and refuse to accept non- conformance.
Variation is expected, but there must be a continual striving for its reduction using control charts. Responsibilities are assigned to teams to remove the causes of problems and continually improve the process.
6. Institute Training: Each employee must be oriented to the organization’s philosophy of commitment to never-ending improvement. Management must allocate resources to train employees to perform their jobs in the best manner possible. Everyone should be trained in statistical methods, and these methods should be used to monitor the need for further training. 7. Teach and Institute Leadership: Improving supervision is management’s responsibility. They must provide supervisors with training in statistical methods and these 14 points so the new philosophy can be implemented. Instead of focusing on a negative, fault-finding atmosphere, supervisors should create a positive, supportive one where pride in workmanship can flourish. All communication must be clear from top management to supervisors to operators. 8. Drive Out Fear, Create Trust, and Create a Climate for Innovation: Management must encourage open, effective communication and teamwork. Fear is caused by a general feeling of being powerless to control important aspects of one’s life. It is caused by lack of job security, possible physical harm, performance appraisals, poor supervision, and not knowing the job. Driving fear out of the workplace involves managing for success. Management can begin by providing workers with adequate training, good supervision, and proper tools to do the job. When people are treated with dignity, fear can be eliminated and people will work for the general good of the organization. 9. Optimize the Efforts of Teams, Groups, and Staff Areas: Management must optimize the efforts of teams, groups, and staff areas to achieve the aims and purposes of the organization.
Barriers exist internally among levels of management, among departments, within departments, and among shifts. Externally, they exist between the organization and its customers and suppliers. These barriers exist because of poor communication, competition, fear, and jealousies. To break down the barriers, management will need a long-term perspective. All the different areas must work together. Attitudes need to be changed; communication channels opened; project teams organized; and training in teamwork should implement. 10.Eliminate Exhortations for the Work Force: Exhortations that ask for increased productivity without providing specific improvement methods can handicap an organization. They do nothing but express management’s desires. They do not produce a better product or service, because the workers are limited by the system. Goals should be set that are achievable and are committed to the long-term success of the organization. Improvements in the process cannot be made unless the tools and methods are available. 11.(a) Eliminate Numerical Quotas for the Work Force: Instead of quotas, management must learn and institute methods for improvement. Quotas and work standards focus on quantity rather than quality. They encourage poor workmanship in order to meet their quotas. Quotas should be replaced with statistical methods of process control. Management must provide and implement a strategy for never-ending improvements and work with the work force to reflect the new policies. (b) Eliminate Management by Objective: Instead of management by objective, management must learn the capabilities of the processes and how to improve them. Internal goals set by management, without a method, are a burlesque. Management by numerical goal is an attempt to manage without knowledge of what to do. 12.Remove Barriers That Rob People of Pride of Workmanship:
- Quality Control
- Quality Improvement These are based on financial process such as budgeting (planning), expense measurement (Control) and cost reduction (improvement). These three managerial process identified by Dr.Juran is referred as the Juran’s Quality trilogy concept. BARRIERS TO TQM IMPLEMENTATION:
- Lack of management commitment.
- Improper planning.
- Lack of faith in and support to TQM activities among management personnel.
- Lack of employee’s commitment.
- Failure to appreciate TQM as a cultural revolution.
- Inadequate use of team.
- Lack of effective communication.
- Lack of training and education.
- Misunderstanding of TQM concept.
- Lack of interest.
- Ineffective measurement techniques and lack of access to data and results.
- Non-application of proper tools and techniques.
- Inadequate use of empowerment and team work.
- Inadequate attention to internal of external customers.
- Delay of quality improvement team’s recommendation. Exam guidelines PART-A Questions on jurans quality planning,quality planning and quality improvement. PART-B Questions on barriers of TQM implementation, contribution of jurans and Crosby for quality implimentation 1. What is quality? (a).Meet the needs of customers, (b). Meet the needs of employers,(c).Meet the needs of employees,(d).Meeting needs of suppliers. 2. Which is the key aspect of quality?
(a).Customers (b). Advertisement,( c). Good design (d). After sales service
3. TQM stands for a. Total quality management, b. Total quantity management, c. Technology quality management, d. Traditional quality management 4. According to wellemin quality is translate --------------- needs into product specification a.employer, b.employee, c.customer, d.supplier 5. In terms of quality aspects good design is refers (a)lasts as long as it should (c) acceptable level of breakdowns or failure (b) it does the job well (d) looks and style 6. In terms of quality aspects reliability refers (a) Lasts as long as it should (c) acceptable level of breakdowns or failure (b) it does the job well (d) looks and style 7. When Mr. Deming visited Japan at the invitation of K Ishikawa. a.1945, b.1950, c.1935, d. 1960. 8. Q = P / E a. where Q = Quality b. where Q = quantity c. where Q= quality p=performance p=performance p= preference E= Expectation E= expectancy E=emergency 9. Acoording to Juran quality is ---------------- a. Fitness for use. b. preference for use, c. product specification, d.conformance to requirements 10. .According to Crosby quality is ---------------- a. Fitness for use. B.preference for use, c. product specification, d.conformance to requirements 11. According to David A. Garvin how many dimensions in quality a.Ten, b .nine c.eight, d.seven 12. Which is the first step in quality dimension? a. Performance b. Features, c. Conformance, d. Reliability 13. Aesthetics is a. Sensory characteristics, such as exterior finish, b. Diagnose, solve problems and complaints, easy of repair c. Meeting specifications or industry standards, workmanship d. It is the measure of product life, includes repair. 14. SPC stands for
