Total Quality Management

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Chapter 12:

Total Employee involvement

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• Human factor is very important in implementation of any process or principle.

• It is all the more important in Quality Management.

• Organization consists of a number of people working for a purpose.

• Each and every employee and department has a role to play.

• Everybody’s role is important. 3

Organization becomes most effective when all the employees and all the departments work together harmoniously towards common goal and company objectives.

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The issues are:

• How do we get everybody to work together

• How do we maintain their involvement

• How do we make them contribute their best

• How do we create satisfaction in them

• How do we improve continuously

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The beliefs are:

• Employees are not just the resources, they are the very purpose

• Company hires the total man, not just hands

• Problems are with system and not with people

• People will be able to improve systems and solve problems

• Aim is to utilize full potential of all the employees

• Total employee involvement is essential for customer satisfaction.

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People orientation From

To

Individual Team

Managing Involving and leading

Delegation Participation and consensus

Control Empowerment

Problem management Problem solving

Traditional pyramid structure Flattened structure

Elements of Employee Involvement

• Problem solving at the lowest level

• Meet conditions for empowerment

• Team building

• Revised organizational structure

• Value-Action-Measurement-REWARD

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Problems are best solved at the lowest level

• Most timely

• Lowest cost

• Solution at the source of problem

• Shortest path of communication

• Data not distorted

• Best for prevention in future

• Least political involvement

• Provide direct satisfaction

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• Total quality management needs higher levels of employee involvement.

• It refers to any activity by which employees participate in work related decisions and improvement activities with the objective of tapping the creative energies of all employees and improving their motivation. 10

The range of activities is:

• Sharing of information

• Providing input on work related issues

• Making suggestions

• Self directed responsibilities such as setting goals, making business decisions and solving problems often in cross functional teams.

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Employee involvement should begin with a personal commitment to quality.

The employees who accept and commit to quality philosophy are more apt to learn quality tools and techniques and use them in their daily work.

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As the employees begin to see the benefits of commitment to quality, they will be more willing to work in teams.

This team interaction, in turn, reinforces personal commitment, driving a never ending cycle of improvement.

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Suggestion Schemes

This is one of the easiest ways to involve employees on an individual basis.

An employee suggestion scheme is a management tool for submission, evaluation and implementation of an employee’s idea to save cost, improve quality, safety, process etc.

Companies reward employees for implemented suggestions.

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Empowerment

It means giving people authority to make decisions on what they feel is right, have control over their work, take risks and learn from mistakes.

Empowerment requires a sincere belief and trust in people.

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Empowerment

At Motorola, sales representatives have authority to replace defective products up to six years after purchase. This is a decision which earlier required top management approval.

Empowerment builds confidence in people, generates commitment and pride, better experience and opportunity to advance their careers. .

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Training and education: Companies committed to TQM have to invest heavily in this area.

The leaders in quality viz. Deming, Juran, Crosby actively promoted training and education.

It includes:

Quality awareness, Leadership, Project management, Communications, Team work, Problem solving, Interpreting and using data, Meeting customer requirements, Process analysis, Process simplification, Waste reduction, Cycle time reduction, Error proofing, Employee efficiency and effectiveness and Safety.

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Other factors influencing the employee involvement are:

• Compensation and recognition

• Health, safety and employee support services

• Career development

• Performance appraisal

• Measuring employee satisfaction and HRM effectiveness

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Top Management Commitment

The various factors that contribute to the success of Quality Management practices are:

• Involvement / interest of EMPLOYERS.

• Training on quality practices

• Top management commitment

• Conducive work culture

• Facilities for implementing quality practices.

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Top Management Commitment

• Among the above five factors, the absence of top management commitment will cause failure.

• Even if any other factor is missing, then there will be drastic reduction in efficiency of implementation.

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• The CEO will have to initiate quality related activities in the organization.

• He has to allocate enough funds for these activities.

• He has to arrange training on quality management principles to everyone in the organization including him.

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• In every meeting, he has to talk about quality and express his personal commitment.

• He has to initiate an award scheme for quality work.

• CEO himself will follow quality practices.

• He should get involved in day to day quality activities.

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• He should avoid trusting only a few people and expect them to initiate quality activities.

• He should avoid putting other factors such as return on investment, productivity, profitability etc. above the quality initiatives.

• He has to enforce the quality activities on everyone.

• Doing things that will produce definite results is also a mark of commitment.

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Leadership

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Anyone who occupies a top level chair need not be necessarily a leader. It was believed that leader has to be born. But now-a- days it has been proved that a leader can be made. A leader should possess certain qualities which are essential for leadership.

• Leadership means doing right things while management is doing things right.

• Efficiency is the main criteria for a manager, while effectiveness is the criteria for a leader.

• Leadership is influencing the people so that all of them do the right things, right way at the right time, willingly and on their own, so that the organization grows and the purpose is fulfilled.

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• A leader has the responsibility of leading teams working in a complacent and hostile world and disturbances are on the rise. He has to be highly creative to be fruitful as a leader.

• It can’t be expected that the leader will be charismatic. Unless people are convinced, they won’t fall in line with the leader. Hence people-building is a prime area wherein leaders have to excel. He has to improve their self esteem and self worth. 26

• Then he has to train them to work as a team.

• Then using the team, he has to achieve the targets.

• He has to excel in conflict resolution and crisis management.

• Leading is a dynamic process, requiring constant thinking on appropriateness of the process.

• Leader should have cool temperament, maturity, endurance, tact, decisiveness and integrity.

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Twelve guidelines for effective leadership:

1. Give priority attention to external and internal customers and their needs

2. Empower rather than control the subordinates

3. Emphasize improvement rather than maintenance

4. Emphasize prevention rather than cure

5. Encourage collaboration rather than competition

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Twelve guidelines for effective leadership:

6. Train and coach rather than direct and

supervise

7. Learn from problems

8. Continually improve communications

9. Continually demonstrate commitment to

quality

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Twelve guidelines for effective leadership:

10. Choose suppliers on the basis of quality, not

price

11. Establish organizational systems to support

quality effort

12. Encourage and recognize team effort.

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Commanding and controlling in leadership:

For effective controlling:

• Define clear cut objectives for every job

• Make the people involved to understand the objectives, which should be in writing

• Give them instructions on what to do and how to do.

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Commanding and controlling in leadership:

For effective controlling:

• Assess the progress

• Assess the performance

• Informal meetings to let them know their progress and corrective actions to be taken

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Commanding and controlling in leadership:

For effective controlling:

• Curb any disturbance

• Analyze and find out the reasons for failure if any.

• Redefine the objectives, do’s and don’ts and appraisal method.

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For effective commanding:

• Tell what to do

• Tell where to go

• Tell what to take

• If what is expected is not happening, tell what the recommended remedial measures are.

• Give knowledge about the situation and surroundings

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• Caution with concern about the possible danger

• Assure help

• Tell about the qualities required to fulfill the job

• Encourage them

• Announce reward for successful completion

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Change Management • Every organization needs to change itself to

meet various challenges either externally imposed or self imposed.

Resistance to change:

• Whenever any change is introduced, it surely upsets many people. Changes are not accepted without resistance:

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I don’t understand It is against my ideals Old is gold

This has failed elsewhere the new man does not know anything this is against

norms

As it is, everything is OK I am fed up this won’t work

here

My workload will increase what do I get from this? ego

The personal qualities required to overcome this resistance are:

Self esteem

Positive thinking

Open mind

Unselfish attitude 38

The personal qualities required to overcome this resistance are:

Company interest above self interest

Confidence in others

Willingness to take risk

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The personal qualities required to overcome this resistance are:

Boldness

Unegoistic personality

Creativity 40

Steps to be followed while introducing a change:

• Define the change

• State how appropriate the change is

• Make everyone know the benefits

• Collect the earlier success stories about benefits from the change

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Steps to be followed while introducing a change:

• CEO should be thoroughly convinced about the change

• Prepare schedule for the change

• Involve everyone

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Steps to be followed while introducing a change:

• Introduce in one department first, let everyone see the benefits

• Have many meetings and training sessions

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Motivational strategies People implementing the quality processes have to be highly motivated.

It can come from others, such as superior’s encouragement.

But it is desirable that motivation is present in every individual practicing quality management.

This motivation is a result of self esteem and positive thinking.

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Team Work

All members actively participate

Members communicate openly

Conflict is effectively managed

No domination by one or two members

Decisions are critically analyzed

All members share team leadership

Disruptive behavior is confronted by the team

Team membership is rewarding and enjoyable

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Characteristics of a team are:

• Focus on goal

• Members contribute voluntarily

• Climate of trust and openness

• Interdependent work

• Two way communication

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Characteristics of a team are:

• Motivated to learn while performing

• Give and take policy

• Conflicts are automatically solved

• Members participate in decision making

• Harmony with systematic procedure

• Synergetic effect

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The Prime Objectives of the team leader are:

• As he fulfills the task, he should ensure that every individual has a gain which should be in terms of his personal development/ personality development.

• He should work towards getting synergetic effect. This requires working together. The leader should develop teams to work in unison.

• Think about the tasks and delegate the work to the members.

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The Prime Objectives of the team leader are:

• Take care of team members’ Personal focus: self needs

• Take care of members’ Social focus: Keeping people happy will be the motto.

• Look after members’ Professional focus: Output, target and efficiency

• All the three focuses should be present for a team to be effective.

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Factors that influence togetherness:

• Physical proximity

• Common work area

• Social/personal homogeneity

• Communication: Listening is the most important quality and also most important component of communication.

• Role clarity

• Leader’s interest / intention

• Prevailing culture

• Clarity of the purpose

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Stumbling blocks:

Ego

Selfishness

Blaming culture

Heterogeneity

Ineffective leader

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A decision can be implemented

• By autocratic rule

• By Majority voting

• By Consensus

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Consensus is defined as:

• Everyone understands the decision

• Can live with the decision

• Support the decision

• The decision does not disturb you ethically and morally

• A big consensus is composed of a series of little, tiny agreements

• The power of consensus comes from inclusion

• Consensus decisions are self implementing and need little monitoring

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TOTAL EMPLOYEE INVOLVEMENT!

THANK YOU

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