Introduction to Total Quality ManagementIntroduction to Total Quality Management

Team MembersTeam Members► Kanwal ShafiqueKanwal Shafique► Khawaja Muhammad ZaheerKhawaja Muhammad Zaheer

Masters of Commerce (M.Com.), IMPCC, H-8/4, Masters of Commerce (M.Com.), IMPCC, H-8/4, Islamabad, University of the PunjabIslamabad, University of the Punjab

OutlineOutline1.1. TQM definedTQM defined

2.2. Historical Stirrings/Gurus of Historical Stirrings/Gurus of TQMTQM

3.3. Basic ApproachesBasic Approaches

4.4. Quality Culture in PakistanQuality Culture in Pakistan

5.5. ReferencesReferences

TQM definedTQM defined

► An enhancement to the traditional way of doing An enhancement to the traditional way of doing business.business.

► Comprises three words:Comprises three words:1.1. TotalTotal – Made up of the whole – Made up of the whole2.2. QualityQuality – Degree of excellence a product or service – Degree of excellence a product or service

providesprovides3.3. ManagementManagement - Art and science of achieving - Art and science of achieving

organizational goals through planning, leading, organizational goals through planning, leading, organizing and controlling the resourcesorganizing and controlling the resources

► ““It is the application of quantitative methods and It is the application of quantitative methods and human resources to all the processes within an human resources to all the processes within an organization and exceed customer needs now and in organization and exceed customer needs now and in future”future”

Various Schools of ThoughtVarious Schools of Thought

►Walter A. ShewhartWalter A. Shewhart►W. Edward DemingW. Edward Deming► Joseph M. JuranJoseph M. Juran►Armand V. FeiganbaumArmand V. Feiganbaum►Kaoru IshikawaKaoru Ishikawa►Philip B. CrosbyPhilip B. Crosby►Genichi TaguchiGenichi Taguchi

Walter A. ShewhartWalter A. Shewhart

► Walter A. Shewhart, PhD spent his Walter A. Shewhart, PhD spent his professional career at Western Electric & Bell professional career at Western Electric & Bell Telephone Laboratries, both divisions of AT&TTelephone Laboratries, both divisions of AT&T

Contributions:Contributions:► Control chart theory with control limitsControl chart theory with control limits► Chance causes of variationChance causes of variation► Rational subgroupsRational subgroups► PDSA cycle of learning and improvementPDSA cycle of learning and improvementPublications:Publications:► ““Economic Control of Quality & Manufactured Economic Control of Quality & Manufactured

ProductProduct” 1931” 1931

W. Edward DemingW. Edward Deming

► W. Edward Deming, PhD, the best known quality W. Edward Deming, PhD, the best known quality expert in the world. He was protégé of Schewhart.expert in the world. He was protégé of Schewhart.

Contributions:Contributions:► Taught Statistical Process Control (SPC) to leading Taught Statistical Process Control (SPC) to leading

Japanese CEOs in 1950s, thus becoming chief Japanese CEOs in 1950s, thus becoming chief architect of Japanese quality miraclearchitect of Japanese quality miracle

► ““Deming’s 14 Points” – a theory for management to Deming’s 14 Points” – a theory for management to improve quality, productivity and competitive improve quality, productivity and competitive positionposition

Publications:Publications:► ““Out of the CrisisOut of the Crisis””► ““Quality, Productivity and Competitive PositionQuality, Productivity and Competitive Position””► 161 scholarly studies and many other books 161 scholarly studies and many other books

Joseph M. JuranJoseph M. Juran

► Joseph M. Juran, PhD, worked at Western Electric Joseph M. Juran, PhD, worked at Western Electric (1924-41), in 1954 traveled to Japan where he (1924-41), in 1954 traveled to Japan where he taught Quality Managementtaught Quality Management

Contributions:Contributions:► Emphasized on committed management at all Emphasized on committed management at all

levels for quality, recommended project levels for quality, recommended project improvement based on ROIimprovement based on ROI

► ““The Juran Trilogy for Managing Quality” – three The Juran Trilogy for Managing Quality” – three interrelated processes of planning, control and interrelated processes of planning, control and improvementimprovement

Publication:Publication:► ““Juran’s Quality Control HandbookJuran’s Quality Control Handbook”, 1951”, 1951

Armand V. FeiganbaumArmand V. Feiganbaum

► Armand V. Feiganbaum, PhD, an Armand V. Feiganbaum, PhD, an American quality control expert and American quality control expert and businessman. He devised the concept businessman. He devised the concept of Total Quality Control, later known as TQM. of Total Quality Control, later known as TQM.

Contributions:Contributions:► Feigenbaum’s quality principles – Customer Feigenbaum’s quality principles – Customer

satisfaction, Genuine management satisfaction, Genuine management involvement, Employee involvement, First-involvement, Employee involvement, First-line supervision leadership & Company-wide line supervision leadership & Company-wide quality controlquality control

Publication:Publication:► ““Total Quality ControlTotal Quality Control”, 1951”, 1951

Kaoru IshikawaKaoru Ishikawa

► Kaoru Ishikawa, PhD studied under Deming, Kaoru Ishikawa, PhD studied under Deming, Juran and FeiganbaumJuran and Feiganbaum

Contributions:Contributions:► Best known for Cause & Effect diagram – Best known for Cause & Effect diagram –

also referred to as Ishikawa diagramalso referred to as Ishikawa diagram►Developed “Quality Circles” concept – Developed “Quality Circles” concept –

groups containing supervisors and workers groups containing supervisors and workers trained in SPC regularly meet to identify and trained in SPC regularly meet to identify and solve quality problemssolve quality problems

Publications:Publications:► Authored SPC texts in Japanese and EnglishAuthored SPC texts in Japanese and English

Philip B. CrosbyPhilip B. Crosby

► Philip B. Crosby was a businessman and author who Philip B. Crosby was a businessman and author who contributed to management theory and quality contributed to management theory and quality management practicesmanagement practices

Contributions:Contributions:► He argued, “He argued, “doing it right the first time is less doing it right the first time is less

expensive than costs of detecting and correcting expensive than costs of detecting and correcting nonconformitiesnonconformities””

► Four Absolutes of Quality ManagementFour Absolutes of Quality ManagementPublications:Publications:► Seminal work “Seminal work “Quality is FreeQuality is Free”, 1979, translated ”, 1979, translated

into 15 languages, 1.5 million copies soldinto 15 languages, 1.5 million copies sold► ““Quality Without TearsQuality Without Tears”, 1984”, 1984

Genichi TaguchiGenichi Taguchi

►Genichi Taguchi, PhD, was an engineer Genichi Taguchi, PhD, was an engineer and statistician.and statistician.

Contributions:Contributions:►Developed “loss function” – combines Developed “loss function” – combines

cost, target and variation into one cost, target and variation into one metricmetric

►Cornerstone of Taguchi’s philosophy – Cornerstone of Taguchi’s philosophy – robust design of parameters and robust design of parameters and tolerancestolerances

TQM FrameworkTQM Framework

Basic ApproachesBasic Approaches

TQM requires six basic concepts:TQM requires six basic concepts:1.1. A committed and involved management to provide A committed and involved management to provide

long-term to bottom organizational supportlong-term to bottom organizational support2.2. An unwavering focus on the internal as well as An unwavering focus on the internal as well as

external customerexternal customer3.3. Effective involvement and utilization of the entire Effective involvement and utilization of the entire

work forcework force4.4. Continuous improvement of the business and Continuous improvement of the business and

production processproduction process5.5. Treating suppliers as partnersTreating suppliers as partners6.6. Establish performance measures for the processes Establish performance measures for the processes

1. Committed & Involved 1. Committed & Involved ManagementManagement

►Management’s participation in quality program Management’s participation in quality program of the organization through quality council that of the organization through quality council that develops a clear vision, set long-term goals and develops a clear vision, set long-term goals and direct the programdirect the program

► Annual quality improvement program is Annual quality improvement program is established and involves input from the entire established and involves input from the entire workforceworkforce

►Managers participate on quality improvement Managers participate on quality improvement teams and also act as coaches to other teamsteams and also act as coaches to other teams

► TQM is a continual activity that must be TQM is a continual activity that must be entrenched in the culture, it isn’t one shot entrenched in the culture, it isn’t one shot program. It must be communicated to all program. It must be communicated to all people people

2. Unrelenting Customer 2. Unrelenting Customer FocusFocus

► The key to an effective TQM program is its The key to an effective TQM program is its focus on the customerfocus on the customer

► An excellent place to start is by satisfying An excellent place to start is by satisfying internal customersinternal customers

►We must listen to “the voice of the We must listen to “the voice of the customer” and emphasize design quality customer” and emphasize design quality and defect preventionand defect prevention

►Do it right the first time and every time, for Do it right the first time and every time, for customer satisfaction is the most important customer satisfaction is the most important consideration consideration

3. Organization-wide 3. Organization-wide ChallengeChallenge

► TQM is everyone’s responsibilityTQM is everyone’s responsibility► All personnel must be trained in TQM, SPC and All personnel must be trained in TQM, SPC and

other appropriate quality improvement skills so other appropriate quality improvement skills so they can effectively participate on project teams they can effectively participate on project teams including internal customers and suppliersincluding internal customers and suppliers

► Those affected by the plan must be involved in its Those affected by the plan must be involved in its development and implementationdevelopment and implementation

► Changing behavior should be the goal. People must Changing behavior should be the goal. People must not come to do their job simply but to think how to not come to do their job simply but to think how to improve itimprove it

► People must be empowered at the lowest possible People must be empowered at the lowest possible level to perform processes in an optimum mannerlevel to perform processes in an optimum manner

4. Continuous Improvement4. Continuous Improvement

► There must be a continual striving to improve There must be a continual striving to improve all business and production processesall business and production processes

► Quality improvement projects such as on-Quality improvement projects such as on-time delivery, order entry efficiency, billing time delivery, order entry efficiency, billing error rate, customer satisfaction, cycle time, error rate, customer satisfaction, cycle time, scrap reduction and supplier management scrap reduction and supplier management are good places to begin withare good places to begin with

► Technical techniques such as SPC, Technical techniques such as SPC, benchmarking, quality function deployment, benchmarking, quality function deployment, ISO 9000, and designed experiments are ISO 9000, and designed experiments are excellent for problem solving excellent for problem solving

5. Supplier Partnership5. Supplier Partnership

► Supplier quality must be outstanding Supplier quality must be outstanding because on the average 40% of the sales is because on the average 40% of the sales is purchased product or servicepurchased product or service

► A partnering relationship rather than an A partnering relationship rather than an adversarial one must be developedadversarial one must be developed

► Both parties have as much to gain or loose Both parties have as much to gain or loose based on the success or failure of based on the success or failure of product/serviceproduct/service

► The focus should be on quality and life-cycle The focus should be on quality and life-cycle costs rather than pricecosts rather than price

► Suppliers should be few in number so that Suppliers should be few in number so that true partnering can occurtrue partnering can occur

6. Performance Measures6. Performance Measures

►Performance measures such uptime, Performance measures such uptime, percent nonconforming, absenteeism percent nonconforming, absenteeism and customer satisfaction should be and customer satisfaction should be determined for each functional areadetermined for each functional area

►These measures should be posted for These measures should be posted for everyone to seeeveryone to see

►Quantitative data are necessary to Quantitative data are necessary to measure the continuous quality measure the continuous quality improvement activityimprovement activity

Summing upSumming up

► The purpose of TQM is The purpose of TQM is to provide a quality to provide a quality product and/or service product and/or service to customers, which to customers, which will in turn, increase will in turn, increase productivity and lower productivity and lower cost.cost.

► TQM requires a cultural TQM requires a cultural changechange

► In a nutshell, TQM In a nutshell, TQM approaches are approaches are foundations on which foundations on which the impressive edifice the impressive edifice of TQM standsof TQM stands

Quality in PakistanQuality in Pakistan

► The Pakistan Standards and Quality Control Authority, The Pakistan Standards and Quality Control Authority, under the Ministry of Science and Technology, is the under the Ministry of Science and Technology, is the national standardization body. In performing its duties national standardization body. In performing its duties and functions, PSQCA is governed by the PSQCA Act, and functions, PSQCA is governed by the PSQCA Act, 1996. PSQCA came into operation since 1st December 1996. PSQCA came into operation since 1st December 2000, working with 81 scientists/engineers and 254 2000, working with 81 scientists/engineers and 254 supporting staff as self-finance organization, been given supporting staff as self-finance organization, been given the task of not only formulation of Pakistan Standards, the task of not only formulation of Pakistan Standards, but is also responsible for promulgation thereof. but is also responsible for promulgation thereof.

► PSQCA is a member of International Organization for PSQCA is a member of International Organization for Standardization (ISO), International Electro-technical Standardization (ISO), International Electro-technical Commission (IEC), and International Organization of Commission (IEC), and International Organization of Legal Metrology (OIML).Legal Metrology (OIML).

► PSQCA has also been established to advise the PSQCA has also been established to advise the Government on standardization policies, programs and Government on standardization policies, programs and activities to promote industrial efficiency and activities to promote industrial efficiency and development, as well as for consumer protection. development, as well as for consumer protection.

VisionVision""I would like Pakistan to become a I would like Pakistan to become a

synonym and hallmark for standards synonym and hallmark for standards and quality in the market-place of the and quality in the market-place of the worldworld""Quaid-e-Azam Muhammad Ali Jinnah – April 27, Quaid-e-Azam Muhammad Ali Jinnah – April 27, 19481948

MissionMission"To provide sustainable industrial quality "To provide sustainable industrial quality

infrastructure for global compatibility infrastructure for global compatibility and market place through standards and market place through standards and conformity assessment" and conformity assessment"

ReferencesReferences

1.1. Total Quality Management by Dale H. Total Quality Management by Dale H. Besterfield et. al, 3Besterfield et. al, 3rdrd Edition Edition

2.2. WikipediaWikipedia

3.3. Pakistan Standards and Quality Pakistan Standards and Quality Control Authority - Control Authority - http://www.psqca.com.pk/http://www.psqca.com.pk/

https://www.slideshare.net/khawajazaheerhttps://www.slideshare.net/khawajazaheer