class objectives total quality management - ceecis.org foof presentation.pdf · • the juran...

Total Quality ManagementTotal Quality Management

FScN FScN 4131 Food Quality4131 Food Quality

Class ObjectivesClass Objectives

■■ Basic concepts on TQMBasic concepts on TQM

■■ Compare TQM philosophiesCompare TQM philosophies

■■ Describe the TQM processDescribe the TQM process

TQM DefinitionsTQM Definitions

■■ Total: Everyone should be involvedTotal: Everyone should be involved

■■ Quality: customers should be provided Quality: customers should be provided with an uniform quality product that with an uniform quality product that meets their expectationsmeets their expectations

■■ Management: the way Total Quality is Management: the way Total Quality is conductedconducted


■■ “Is the set of management processes “Is the set of management processes and systems that createand systems that create delighted delighted customerscustomers through through empowered empowered employeesemployees, leading to , leading to higher revenue higher revenue and lower costand lower cost””

•• The The Juran Juran Institute, Inc.Institute, Inc.


■■ “TQM is pure pragmatism”“TQM is pure pragmatism”•• Hutchins, Achieve Total Quality, 1992Hutchins, Achieve Total Quality, 1992

■■ “TQM is not a destination, but a journey “TQM is not a destination, but a journey toward improvement”toward improvement”

•• Hunt, Managing for Quality, 1991Hunt, Managing for Quality, 1991


■■ Total Quality: Total Quality:

“Total dedication to the customer”“Total dedication to the customer”

■■ Goal: Goal:

“Seek business excellence and “Seek business excellence and competitive leadership to satisfy our competitive leadership to satisfy our customers expectations”customers expectations”

TQM PreTQM Pre--requisitesrequisites

■■ Leadership from the topLeadership from the top■■ Effective management of the cost of Effective management of the cost of

qualityquality■■ Focus on customer satisfactionFocus on customer satisfaction

■■ Continuous improvement in all aspects Continuous improvement in all aspects of all operationsof all operations

■■ Complete involvement of everyone in Complete involvement of everyone in quality improvementquality improvement

TQM PrinciplesTQM Principles

■■ Commitment of everybody in the Commitment of everybody in the organizationorganization

■■ The company’s success depends on the The company’s success depends on the participation of everybodyparticipation of everybody

■■ Opportunities for complete participation Opportunities for complete participation by everybodyby everybody

■■ Opportunities to do their job properlyOpportunities to do their job properly

TQM ComponentsTQM Components

Tools and Techniques

People

Strategies Customer

TQM Leaders TQM Leaders

■■ W. E. DemingW. E. Deming■■ J. M. J. M. JuranJuran

■■ K. IshikawaK. Ishikawa■■ A. V. A. V. FeigenbaumFeigenbaum■■ P. B. CrosbyP. B. Crosby

TQM Leaders: DemingTQM Leaders: Deming

■■ Central belief:Central belief:

94% of problems due to management94% of problems due to management

6% ascribed to workers6% ascribed to workers■■ Results of Total Quality:Results of Total Quality:

-- Higher productivityHigher productivity

-- Lower costsLower costs

-- Increased market shareIncreased market share

-- LongLong--term stabilityterm stability


■■ The Deming circleThe Deming circlePLAN

DOACT

CHECK


■■ 14 point plan for Western management:14 point plan for Western management:

1. Constancy of purpose1. Constancy of purpose

2. The new philosophy2. The new philosophy

3. Cease mass inspection3. Cease mass inspection

4. End “lowest price” purchasing4. End “lowest price” purchasing

5. Constantly improve systems5. Constantly improve systems

6. Train everyone6. Train everyone

7. Institute leadership7. Institute leadership


■■ 14 point plan for Western management:14 point plan for Western management:

8. Drive out fear8. Drive out fear

9. Break down barriers9. Break down barriers

10. Eliminate exhortations10. Eliminate exhortations

11. Eliminate targets11. Eliminate targets

12. Permit pride of workmanship12. Permit pride of workmanship

13. Encourage education13. Encourage education

14. Top management’s commitment14. Top management’s commitment

TQM Leaders: TQM Leaders: JuranJuran

■■ Management is responsible for quality Management is responsible for quality failure and quality improvementfailure and quality improvement

■■ Philosophical trilogy: quality planning, Philosophical trilogy: quality planning, quality control and quality improvementquality control and quality improvement

■■ Introduces the term “internal customers” Introduces the term “internal customers”

TQM Leaders: TQM Leaders: JuranJuran

■■ 77--Step program:Step program:

1. Establish quality policies and guides1. Establish quality policies and guides

2. Establish quality goals2. Establish quality goals

3. Design quality plans to reach those goals3. Design quality plans to reach those goals

4. Assign responsibility for the plans4. Assign responsibility for the plans

5. Provide necessary resources5. Provide necessary resources

6. Review progress against goals6. Review progress against goals

7. Evaluate manager performance vs. goals7. Evaluate manager performance vs. goals

TQM Leaders: TQM Leaders: FeigenbaumFeigenbaum

■■ Control has 4 steps:Control has 4 steps:

1. Setting quality standards1. Setting quality standards

2. Appraising conformance to standards2. Appraising conformance to standards

3. Acting when the standards are 3. Acting when the standards are exceededexceeded

4. Planning for improvement in the 4. Planning for improvement in the standardsstandards


■■ 10 benchmarks of Quality:10 benchmarks of Quality:

1. Q is a company1. Q is a company--wide processwide process

2. Q is what the customer says it is2. Q is what the customer says it is

3. Q and cost are a sum not a difference3. Q and cost are a sum not a difference

4. Requires individual and teamwork4. Requires individual and teamwork

5. Q is a way of managing5. Q is a way of managing


■■ 10 benchmarks of Quality:10 benchmarks of Quality:6. Q and innovation are mutually dependent6. Q and innovation are mutually dependent7. Q is an ethic7. Q is an ethic8. Requires continuous improvement8. Requires continuous improvement9. Is the most cost9. Is the most cost--effective, least capitaleffective, least capital--

intensive route to productivityintensive route to productivity10. Is implemented with a total system 10. Is implemented with a total system

connected with customers and suppliersconnected with customers and suppliers

TQM Leaders: CrosbyTQM Leaders: Crosby

■■ 5 absolutes of quality:5 absolutes of quality:

1. Quality means conformance, not 1. Quality means conformance, not goodness or elegancegoodness or elegance

2. There is no such thing as a quality 2. There is no such thing as a quality problemproblem

3. It is always cheaper to do the job right 3. It is always cheaper to do the job right the first timethe first time


■■ 5 absolutes of quality:5 absolutes of quality:

4. Cost of quality is the only measure of 4. Cost of quality is the only measure of performanceperformance

5. Zero defects is the only performance 5. Zero defects is the only performance standardstandard


■■ 1414--step process:step process:

1. Management commitment1. Management commitment

2. Quality improvement team2. Quality improvement team

3. Quality measurement3. Quality measurement

4. Cost of quality4. Cost of quality

5. Quality awareness5. Quality awareness

6. Corrective action6. Corrective action

7. Zero defects7. Zero defects

TQM Leaders: CrosbyTQM Leaders: Crosby■■ 1414--step process:step process:

8. Training8. Training

9. Zero defects day9. Zero defects day

10. Goal setting10. Goal setting

11. Error cause removal11. Error cause removal

12. Recognition12. Recognition

13. Quality councils13. Quality councils

14. Do it over again14. Do it over again

TQM Leaders: ComparisonTQM Leaders: Comparison

■■ All but Crosby rely on StatisticsAll but Crosby rely on Statistics■■ Deming, Deming, Juran Juran and Ishikawa blame and Ishikawa blame

management for the lack of quality, management for the lack of quality, Crosby blames workers.Crosby blames workers.

■■ Zero defects: Crosby in favor, Deming Zero defects: Crosby in favor, Deming against itagainst it

Vision

Commitment

Quality Council

Education

Organization

Quality improvementteams

Quality costmeasurement

Awareness Training

Target identification

Goal settingInvestigation

Corrective action

Quality Improvement

Quality audit

Recognition

TQM Process: Management CommitmentTQM Process: Management Commitment

■■ Vital for TQMVital for TQM■■ Should be visible and by exampleShould be visible and by example

■■ Should be transmitted to each Should be transmitted to each employeeemployee

■■ Ultimate goal: satisfy customers!Ultimate goal: satisfy customers!■■ May need selling argumentsMay need selling arguments

TQM Process: Quality CouncilTQM Process: Quality Council

■■ Coordinates all corporate efforts to TQMCoordinates all corporate efforts to TQM■■ Members from each unit of the Members from each unit of the

companycompany■■ Develops strategic plansDevelops strategic plans

■■ Addresses key questions for Addresses key questions for implementationimplementation

■■ Responsible of the TQM Mission Responsible of the TQM Mission StatementStatement

TQM Process: EducationTQM Process: Education

■■ On the business’ own interpretation and On the business’ own interpretation and implementation of TQMimplementation of TQM

■■ Will require continuityWill require continuity■■ Needs to define who, what, how, how Needs to define who, what, how, how

much, and who is responsiblemuch, and who is responsible

■■ ReRe--education is necessaryeducation is necessary

TQM Process: OrganizationTQM Process: Organization

■■ Using the company’s structure an Using the company’s structure an organization for quality should be organization for quality should be developed based on:developed based on:-- ObjectivesObjectives-- DelegationDelegation-- AccountabilityAccountability-- Achievement measurementAchievement measurement-- Efficient communicationEfficient communication

TQM Process: Quality cost measurementTQM Process: Quality cost measurement

■■ Methods to measure, document and Methods to measure, document and analyze the cost of quality are requiredanalyze the cost of quality are required

TQM Process: TrainingTQM Process: Training

■■ What is the difference between What is the difference between Education and Training? Education and Training?

TQM Process: TrainingTQM Process: Training

■■ Thorough learning of tools and Thorough learning of tools and techniques for quality improvement techniques for quality improvement

TQM Process: Target identificationTQM Process: Target identification

■■ Identify areas of priorityIdentify areas of priority

■■ Including goals to achieveIncluding goals to achieve

TQM Process: Quality improvement TQM Process: Quality improvement teams (QIT)teams (QIT)

■■ Functions:Functions:

1. Implement unit TQM1. Implement unit TQM

2. Solve problems identified by goal 2. Solve problems identified by goal settingsetting

3. Address local issues3. Address local issues

TQM Process: Quality improvement TQM Process: Quality improvement teams (QIT)teams (QIT)

■■ CharacteristicsCharacteristics-- IntradepartmentalIntradepartmental

-- Membership is open based on knowledge Membership is open based on knowledge of the operationof the operation

-- The leader should know the businessThe leader should know the business

-- Membership is finiteMembership is finite

TQM Process: Investigation and TQM Process: Investigation and corrective actioncorrective action

■■ To reach the targets, the QIT should set To reach the targets, the QIT should set a system of:a system of:-- ProceduresProcedures

-- FormsForms

-- DocumentationDocumentation

TQM Process: Quality AuditTQM Process: Quality Audit

■■ Feedback mechanism of TQMFeedback mechanism of TQM■■ Conducted by the quality council or Conducted by the quality council or

senior managerssenior managers■■ Goals:Goals:

-- Verify reported quality improvementsVerify reported quality improvements

-- Verify the achievement of goalsVerify the achievement of goals

-- Confirm that improvements match targetsConfirm that improvements match targets

TQM Process: AwarenessTQM Process: Awareness

■■ Continuous communication about the Continuous communication about the TQM status and advancesTQM status and advances

■■ Employs communication toolsEmploys communication tools■■ Compatible with the company’s cultureCompatible with the company’s culture

TQM Process: Recognition TQM Process: Recognition

■■ Achievements of individuals and groups Achievements of individuals and groups should be made publicshould be made public

■■ Financial rewards should be includedFinancial rewards should be included

TQM DiscussionTQM Discussion

■■ How would you decide which philosophy How would you decide which philosophy or system to use?or system to use?

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