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CEFICCI

Competitive EdgeManagement Consultants

TQM

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Corporate Life-cycle

Stability

Aristocracy

Recrimination

Bureaucracy

Death

Continuous

improvement

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1.Higher production due to

improved cycle time and reduced

errors and defects

2.Increased use of machine and

resources.

3.Improved material use from

reduced scrap and rejects

4.Increased use of personnel

resources

5.Lower level of asset

investments required to support

operations.

6.Lower service and support costs

for eliminated waste, rework and

non value added activities.

QUA

LITY

Higher productivity Increasedprofitability

due to :

Larger sales

Lower production costs

Faster turnover

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1-10-100 Rule

1

10

100

Rs

Rs

Rs

Rs

Rs

Prevention

Correction

Failure

Stages

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Management of processes

1 2 3 4 CustomerWork

Processes are managed vertically , but work flows horizontally.

We must get information from users of our output to manage our processes

Have a system of tracking products or order completion through various processes

Institute interprocess coordinating mechanism for smooth work flow

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Process vs. system optimization

Improving some processes may not bring any benefits, in fact it may result in

more losses e.g producing components at higher rate that can not be assembledby the next process will increase cost.

Prioritize processes depending on the constraint they offer to the throughput

1 3 52 4

12

34

5

Throughput

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While considerable attention has been given to the technical side of

quality, there is an increasing need of the importance of the human

side to total quality.

The human side of quality

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Operational Management

Quality System

Organisational structure

Customer requirement

Standard methods/procedures

Quality dataTools & techniques

Customer

Satisfaction

Business

Results

Strategic quality planning

Policy deployment

Customer focus

Participative Mgt. CultureTQM review & rewards

Quality planning

Resource Management

Process measurement and control

Quality improvement

Training & motivation

Process

Quality

Executive

Leadership

TQM MODEL

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FQM Model

LEADERSHIP

10 %

People

Management 9%

Policy &

Strategy 8 %

Resources 9%

PROCESSES

14 %

People

Satisfaction 9 %

Customer

Satisfaction 20 %

Impact on

Society : 6 %

BUSINESS

RESULTS

15 %

ENABLERS 50 % RESULTS 50 %