chapter 1.3 quality theory

CHAPTER 1CONCEPT OF QUALITY

Prepared By: Dr. Nadirul Hasraf Mat NayanCourse: BNN 40703

Chapter Overview

CHAPTER 1: CONCEPT OF QUALITY

CHAPTER 1.1: Introduction to Quality

CHAPTER 1.2: Differing Perspective On Quality

CHAPTER 1.3: Quality Theory

CHAPTER 1.4: Global Supply Chain Quality and International Quality Standards

CHAPTER 1.5: The Importance of Quality in Biotechnology

Chapter 1.3Quality Theory

Chapter Overview

CHAPTER 1.3: QUALITY THEORYCHAPTER 1.3.1: What is Quality Theory?

CHAPTER 1.3.2: Leading Contributors to Quality Theory

CHAPTER 1.3.3: Viewing Quality Theory From a Contingency Perspective

CHAPTER 1.3.4: Resolving the Differences in Quality Approaches: An Integrative View

CHAPTER 1.3.5: Theoretical Framework for Quality Management

1.3.1:What is Quality Theory?

• Quality Theory Defined:

• Illustration of a Quality Theory:

Quality theory is a “coherent group of general propositions used as principles of explanation for a class of phenomena.”

For example, it might have been observed that many companies that have implemented quality improvements have experienced improved worker morale.


• Four Elements of a Complete Quality Theory:

What

Where

Why

Who-where-when

Elements of Quality Theory


• Four elements of a Quality Theory: What

The what of a quality theory involves which variables or factors are included in the quality model.

HowThe how of a theoretical quality model involves the

nature, direction, and extent of the relationship between the variables.

WhyThe why is the theoretical glue that holds the quality model together.

Who-Where-WhenThe who-where-when aspect place contextual bounds on the quality theory.


Two Ways to Establish a Quality Theory:i. Inductionii. Deduction

iii. InductionThe process of induction is useful, but it is also subject to observer bias and misperception.

ii. DeductionUsing deduction, researchers propose a quality model based on prior

research and design an experiment to test the theoretical model.

1.3.2: Leading Contributors to Quality Theory

• Leading Contributors to Quality Theory:

i. W. Edwards Demingii. Joseph M. Juraniii.Kaoru Ishikawaiv. Armand Feigenbaumv. Genichi Taguchivi. The Rest of the Pack:

- Robert C. Camp- Tom Peters

1.3.2: Leading Contributors to Quality Theoryi. W. Edwards Deming:

Preeminent Authority: W. Edwards Deming was widely accepted as the world’s

preeminent authority on quality management prior to his death on December 24, 1993.

Deming gained credibility because of his influence on Japanese and American industry.

Contributions:i. Fourteen Points for Managementii. The Seven Deadly Diseasesiii. Emphasized Continual Never Ending Improvement

1.3.2: Leading Contributors to Quality Theory

i. W. Edwards Deming: Deming’s 14 Point for Management:

While Deming espoused the belief that theory was important to the understanding of quality improvement, the closest he ever came to expounding a theory was in his 14 points for management.

Taken as a whole, the 14 points represent many of the key principles that provide the basis for quality management in many organizations.


Deming’s 14 Points for management

1. Create constancy of purpose

2. Adopt a new philosophy.3. Cease mass inspection4. End awarding business

on the basis of price tag.5. Constantly improve the

system.6. Institute training on the

job.7. Improve leadership.

8. Drive out fear.9. Break down barriers.10. Eliminate slogans.11. Eliminate work

standards.12. Remove barriers to

pride.13. Institute education and

self-improvement.14. Put everybody to work.



POINT 1

Create constancy of purpose towards improvement of product and service with the aim to become

competitive and stay in business, and to provide jobs.



POINT 2

Adopt a new philosophy. We are in a new economic age, hence, every managements must awaken to the challenge, must learn its responsibilities, and take on

leadership of change.



POINT 3

Cease dependence on mass inspection to improve quality. Eliminate the need for inspection on a mass basis by building quality into the product in the first

place.

CHAPTER 1.3.2: Leading Contributors to Quality Theory

i. W. Edwards Deming: Deming’s 14 Points for management

POINT 4

End the practice of awarding business on the basis of price tag alone. Instead, minimize total cost.

Move towards a single supplier for any one item, based on a long-term relationship of loyalty and

trust.



POINT 5

Improve constantly and forever the system of production and service, to improve quality and

productivity, and thus constantly decrease cost.



POINT 6

Institute training on the job. People must have the necessary training and knowledge

to do their job.



POINT 7

Improve leadership. The aim of supervision should be to help people, machines, and gadgets to do a

better job. Supervision of management is in need of overhaul as well as supervision of production

workers.



POINT 8

Drive out fear, so that everyone may work effectively for the company.



POINT 9

Break down barriers between department. People in the research, design, sales, and production must work as a team, to foresee problem of production

and use that may be encountered with the product or service.



POINT 10

Eliminate slogans, exhortations嘱托 , and targets for the workforce asking for zero defects and new

levels of productivity. Such exportations only create adversarial relationships, as the bulk of the causes of

low quality and low productivity belong to the system and thus lie beyond the power of the

workforce.



POINT 11

Eliminate work standards on the factory floor. Eliminate management by objectives. Eliminate management by numbers and numeric goals.

Substitute leadership.



POINT 12

Remove barriers to rob workers of their right to pride in the quality of their work. The

responsibility of supervisors must be changed from sheer numbers to quality.



POINT 13

Institute a vigorous program of education and self-improvement. This is a more generalized education

than training on the job. Organizational learning requires a structure that reinforces and rewards

learning.



POINT 14

Put everybody in the company to work to accomplish the transformation. The transformation is everybody's job.

1.3.2: Leading Contributors to Quality Theory Theoretical Model Underlying Deming Method

Visionary Leadership

Internal & External

Cooperation

Learning

Organizational System

Process Management

Causal Direction

Feedback Mechanisms

1.3.2: Leading Contributors to Quality Theory Theoretical Model Underlying Deming Method

Process Management

Continuous Improvement

Employee Fulfilment

Process OutcomesCustomer

Satisfaction


Deming’s 7 Deadly Diseases

1. Lack of constancy of purpose.2. Emphasis on short-term profits.3. Evaluation of performance, merit rating, or

annual review.4. Mobility of management.5. Running company on visible figures alone.6. Excessive medical costs for employee heath care.7. Excessive costs of warrantees.

1.3.2: Leading Contributors to Quality Theoryii. Joseph M. Juran:

Juran’s Approach:

Key Contributions:

Juran tends to take a more strategic and planning-based approach to improvement than does Deming.

Juran promotes the view that organizational quality problems are largely the result of insufficient and ineffective planning for quality.

Juran Trilogy Control Versus Breakthrough Project-by-Project Improvement Pareto Analysis


The Juran’s Trilogy: Three basic processes that are essential for managing to

improve quality.

Planning

Control

Improvement


Control versus Breakthrough: According to Juran, control is a process-related activity

that ensures processes are stable and provides a relatively consistent outcome.

Breakthrough improvement implies that the process has been studied and some major improvement has resulted in large, non-random improvement to the process.

It is important to understand that control and breakthrough-related activities should occur simultaneously.

Control involves gathering data about a process to ensure that the process is consistent.


Project-by-Project Improvement: Juran teaches that improvement in organizations is

accomplished on a project-by-project basis and in no other way.

The project-by-project approach advocated by Juran is a planning-based approach to quality improvement.

Managers must prioritize which project will be undertaken first based on financial return.

This means that analysts must use the language of management, that is, money, in order to help determine which projects should be undertaken.


Pareto Analysis: Juran identified an economic concept that he

applied to quality problems. The economic concept is called Pareto’ Law or

the 80/20 rule. Using Pareto’s Law, we see that the majority of

quality problems are caused by relatively few causes.

1.3.2: Leading Contributors to Quality Theoryiii. Kaoru Ishikawa:

Ishikawa’s Primary Contributions: Perhaps Ishikawa’s greatest achievements was

the development and dissemination of the basic seven tools of quality (B7).

As the developer of these tools, Ishikawa is credited with democratizing statistics.

Ishikawa felt that to be successful, firms must make everyone responsible for statistical analysis and interpretation.

1.3.2: Leading Contributors to Quality Theoryiii. Kaoru Ishikawa:

Ishikawa’s Quality Philosophy: Ishikawa spent his life working to improve

quality in Japan. His ideas were synthesized into 11 points

that made up his quality philosophy. Ishikawa is often overlooked in the U.S,

however, every firm that pursues quality improvement will use his tools.

1.3.2: Leading Contributors to Quality Theoryiv. Armand Feigenbaum:

Feigenbaum’s primary contribution to quality thinking in America was his insertion that the entire organization should be involved in improving quality.

He was the first in U.S to move quality from the offices of the specialists back to operating workers (This occurred in the 1950s).

Contributions:- Three-step process to improving quality.- Four deadly sins that impede quality improvement.- Nineteen steps for improving quality.


Feigenbaum proposes a three-step process to improving quality:

Quality Improvement

Motivated by Leadership

Quality Technology

Organizational Commitment

Includes statistics and machinery that can

improve quality

Includes everyone in the quality struggle


Hothouse Quality refers to those quality programs that receives a lot of hoopla and no follow-through.

Wishful thinking occurs with those who could pursue protectionism to keep firms from having to compete on quality.

Production overseas is a panacea sometimes undertaken by managers who wish that out of sight, out of mind could solve quality related problems.

Confining quality to the factory means that quality historically just been viewed as a shop floor concern.

Four Deadly Sins:

1.3.2: Leading Contributors to Quality Theoryv. Genichi Taguchi: The Taguchi method was first introduced by Dr. Genichi

Taguchi to AT&T Bell Labs in 1980. Due to the increased in acceptance and utilization, the

Taguchi method for improving quality is now commonly viewed to be comparable in importance to the Deming approach, and the Ishikawa concept of quality management.

Unique aspects of the Taguchi Method:- Definition of Quality- Quality loss function- Robust design

1.3.2: Leading Contributors to Quality Theoryv. Genichi Taguchi:

1. The basis for determining the functional relationship between controllable product or service design factors and the outcome of a process.

2. A method for adjusting the means of a process by optimizing controllable variables.

3. A procedure for examining the relationship between random noise in the process and product or service variability.

The Taguchi Method Provides:

1.3.2: Leading Contributors to Quality Theoryv. Genichi Taguchi:

In Taguchi terms, “ideal quality” refers to a reference point for determining the quality level of a product or service.

Normally, when specifications are set, a target is specified with some allowance for variation.

Taguchi stress that any deviation from target specs results in loss to society produced.

Products and services should be designed so that they are inherently defect free and of high quality.

Definition of Quality:

Quality Loss Function

Robust Design

1.3.2: Leading Contributors to Quality Theoryvi. The Rest of The Pack:

The principle pioneer of benchmarking. Benchmarking is the sharing of information

between companies so that both can improve.

Robert C. Camp:

1.3.2: Leading Contributors to Quality Theoryvi. The Rest of The Pack:

Tom Peters is a noted author, consultant, and speaker who is widely recognized.

Peters co-authored the book In Search of Excellence.

The eight practices identifies with excellent firms include a bias for action, getting close to the customer, promoting entrepreneurship, productivity through people, value-driven management, sticking to the core competencies, lean staff, and implementing appropriate amounts of supervision and empowerment.

Tom Peters:

The research for the book involved a case study of several firms and resulted in eight basis practices found in excellent firm.

1.3.3: Viewing Quality Theory From a Contingency Perspective

There is a great deal of contradictory information about how firms should improve quality.

A variety of approaches can work to improve quality.The successful firms adopt aspects of each of the

various approaches that help them improve.The keys to the contingency approach are an

understanding of quality approaches, an understanding of the business, and the creative application of these approaches to the business.

1.3.4: Resolving the Differences in Quality Approaches: An Integrative View

There are many differences between the approaches to quality management espoused by the experts mentioned in this chapter.

However, rather than focusing on differences, it is instructional to review the literature to identify common themes and messages.

Resolving the Differences:


A Categorization of Quality Management Content Variables

CoreLeadership

Employee ImprovementQuality Assurance

Customer RolePhilosophy

Inner RingData Gathering

Strategic Planning

Quality Department Focus Team Approach

Outer RingEnvironmental characteristics

Quality Breakthrough


Core Variables LeadershipEmployee ImprovementQuality AssuranceCustomer FocusQuality Philosophy Breakthrough

Inner and Outer Ring Variables

Information AnalysisStrategic PlanningEnvironment or

InfrastructureTeam ApproachFocus of the Quality

Department

Quality Management Content Variables:


Leadership: The role of the leader in being the champion and major force

behind quality improvement is critical. Employee Improvement: Once the leader is enlightened and motivated to go forward

in the quality effort, employees must then be trained and developed.

Quality Assurance: Quality experts agree that quality can be assured only during

the design phase. Therefore, effort must be invested in designing products, services, and processes so that they are consistently of high quality.



Customer Focus: An understanding of the customer is the key to quality

management efforts. Quality Philosophy: Adoption of a philosophy towards quality improvement is

important. Establishing a clear message provides a company with a map to follow during their quest for improvement.

Breakthrough: The need to make large improvement is not precluded by

continuous improvement. Firms must find ways to achieve radical improvements.



Information Analysis: Fact-based improvement refers to an approach that favours

information gathering and analysis. Strategic Planning: This provides a framework for a rational quality strategy that

will provide alignment with key business factors. Environment or Infrastructure: Quality environment or infrastructure must be created that

supports quality management efforts.



Team Approach: One of the contemporary approaches to quality management

learned from the Japanese is teamwork.

Focus of the Quality Department: As a result of the dispersion of responsibility for quality, the

role of the quality department has changed significantly. Rather than performing the policing function, these

departments are filling more of a coaching role.


1.3.5: Theoretical Framework for Quality Management

Quality management begins with leadership.The quality philosophy influences decision making

concerning quality strategy, quality assurance, and employee improvement.

The customer is the focus of all activities of the firm.Major activities forming the quality system are:

i. Breakthrough Improvementii. Team Buildingiii. Data Gatheringiv. Strategic Planningv. Quality Department Coaching

1.3.5: Theoretical Framework for Quality Management

Quality Assurance

Employee Improvement

Philosophy Development

Leadership

Customer Focus

Quality Department Coaching

Breakthrough

Information Analysis

Strategic Planning

Team Building

chapter 1.3 quality theory

Documents

quality theory chapter

quality management

elements of quality

complete quality theory

quality improvements

quality approaches

importance of quality

concept of quality chapter