project - ipm
TRANSCRIPT
STUDY ABOUT
TOTAL QUALITY MANAGEMENT
A Project Report
Prepared By
U.K.G.V.R. Keerthirathna
CCHRM 2010/SA/11
Course: Certificate in Human Resource Management
September 2010
INSTITUTE OF PERSONNEL MANAGEMENT SRI LANKA (INC.)
Acknowledgement
I would like to express my heartrending gratitude and sincere thanks to everybody who
gave me their kind support to finish this study. I would not be able to complete this study
in such a effective way, without their support though I have dedicated a lot.
I am highly appreciating the devoted service of all the lecturers in the Institute of
Personnel Management, for their right guidance and for offering their knowledge to many
students like me.
I would like to express my gratitude towards my parents and the sister to their kind co-
operation and encouragement which help me in completion of this project.
I would like to express my special gratitude and thanks to the lecturers in University of
Colombo for giving me their attention and time for clarify my doubts.
As well as I express my genuine thanks and appreciation to all my friends and colleagues
who have helped me in proof readings and encourage me to terminate this in provably.
INSTITUTE OF PERSONNEL MANAGEMENT SRI LANKA (INC.)
Executive Summary
In this project report I have presented a detailed report about Total Quality Management
according to the findings I have found in the research time period.
Total quality Management is a philosophy which attempts to instill awareness and drive
toward quality in all parts of a business's operations. Total quality management is a
customer centric business strategy in that its focus on quality always relates to customer
satisfaction with a product or service. The aim of this system is to create long term
success through a base of highly satisfied customers with loyalty to the company due to
the great quality and care taken to ensure all of their needs are met up to their
expectations.
This research report consists with five different sections discussed about the diverse
components about the total quality management.
I have kept back the first topic as “What is Quality”, which describes the term “Quality”
according to various authors and management consultants.
Second topic describes about the total quality management.
Third topic has set aside to illustrate about the Evolution of total quality management.
Next I have illustrate some data about the Toyota Production System (TPS) as a
succeeded company through total quality management philosophy.
At last but not least I have elaborated the role of human resource management in
implementing and controlling total quality management systems.
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What is Quality?
Quality is total composite product (goods and services) characteristics, through
which the product in use will meet the needs and expectations of the customers.
Concept of quality must start with identification of customer quality requirements
and must end only when the finished product is placed into the hands of the
customer who remains satisfied through various stages of relationship with the
seller. –Feigenbaum-
Quality is totality of features and characteristics of product (goods and services)
that bears on its ability to satisfy given need. -American Society of Quality
Control (ASQC) and American National Standard Institute (ANSI)-
Quality is a customer determination based upon a customer's actual experience
with a product or service, measured against his or her requirements -stated or
unstated, conscious or merely sensed, technically operational or entirely
subjective -and always representing a moving target in a competitive market. -
Armand Feigenbaum-
Quality is a transformation in the way we think and work together, in what we
value and reward, and in the way we measure success. All of us collaborate to
design and operate a seamless value-adding system that incorporates quality
control, customer service, process improvement, supplier relationships, and good
relations with the communities we serve and in which we operate - all optimizing
for a common purpose. -Peter Senge et al-
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specificationsss for use. -Joseph Juran & Frank Gryna-
INSTITUTE OF PERSONNEL MANAGEMENT SRI LANKA (INC.)
What is Total Quality Management?
Total Quality Management is an administrative approach centered around consistent
customer satisfaction and continuous improvement of product quality.It focuses on the
satisfaction of the customers and suppliers.
It is a set of management practices throughout the organization, geared to ensure the
organization consistently meets or exceeds customer requirements.TQM places strong
focus on process measurement and controls as means of continuous improvement. In the
Total Quality Management, it has an important aspect of quality and safety of both
product and the production process in the work place.
The origin of TQM comes from the teachings of such quality
leaders as Philip B. Crosby, W. Edwards Deming, Armand
V. Feigenbaum, Kaoru Ishikawa and Joseph M. Juran in the
1950's and has steadily become more popular since the early
1980's. The core concept in implementing TQM is Deming’s
14 points, a set of management practices to help companies
increase their quality and productivity.
1. Create constancy of purpose towards improvement -
Replace short-term reaction with long-term planning.
2. Adopt the new philosophy - The implication is that management should actually
adopt his philosophy, rather than merely expect the workforce to do so.
3. Cease dependence on inspection - If variation is reduced, there is no need to
inspect manufactured items for defects, because there won't be any.
4. Move towards a single supplier for any one item - Multiple suppliers mean
variation between feed stocks.
5. Improve constantly and forever - Constantly strive to reduce variation.
6. Institute training on the job - If people are inadequately trained, they will not all
work the same way, and this will introduce variation.
7. Institute leadership - distinction between leadership and mere supervision.
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8. Drive out fear - management by fear as counter- productive in the long term,
because it prevents workers from acting in the organization’s best interests.
9. Break down barriers between departments - Another idea central to TQM is the
concept of the 'internal customer', that each department serves not the
management, but the other departments that use its outputs.
10. Eliminate slogans - Another central TQM idea is that it's not people who make
most mistakes - it's the process they are working within. Harassing the workforce
without improving the processes they use is counter-productive.
11. Eliminate management by objectives - production targets as encouraging the
delivery of poor-quality goods.
12. Remove barriers to pride of workmanship - Many of the other problems outlined
reduce worker satisfaction.
13. Institute education and self-improvement
14. The transformation is everyone's job
According to Deming's philosophy, productivity improves as variability decreases. So the
organizations use statistical methods to control quality. He promoted the use of statistics
to measure performance in all areas, not only in product specifications. Besides, he
argued that it is not enough to meet specifications; organizations must keep working to
reduce the variations also.
By criticizing the U.S business management approach, Deming implement the Total
Quality management approach as the leader of Total Quality Management philosophy.
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In today’s world, companies that do not consider the quality as their key objective, are
facing great challenge to survive in the global competitive market environment.
Some world class successful organizations like Company, Motorola, Vodafone, Xerox,
HSBC Group, Samsung Group… etc, have the best quality management programs. These
companies were some of the first to implement a quality program called, Six Sigma, which is the
level of defects is reduced to approximately 3.4 parts per million.
Due to it’s high focus on quality and the key objective of total customer satisfaction,
Motorola was one of the first companies to win the Malcolm Baldrige National Quality
Award in 1988.
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Mass Inspection
Quality Control (Acceptance
Sampling)
Quality Assurance
Total Quality Control
Company wide Quality Control
Total Quality Management
Evolution of Total Quality management
The concept of Total Quality Management has been developing through various steps
instead of immerging instead. As I learned through many articles and books, I can
suggest the following points as the main steps in the evolution of total quality
management process.
Mass Inspection
In the mass inspection era organizations did the basic things as Inspecting, Salvaging,
Sorting, Grading, Rectifying, and rejecting their products, in order to meet the quality
requirements.
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Quality Control
In this era organizations implement a system for ensuring the maintenance of proper
standards in manufactured goods, especially by periodic random inspection of the
product. They focused on following steps to assure the control of quality of their goods,
such as Quality manuals, Product testing, Basic quality planning.
Quality Assurance
Organizations introduced the processes of verifying or determining whether products or
services meet or exceed customer expectations.Emphasis on prevention and proactive
approaches as well as advance quality planning.
Total Quality Control
Organizations implemented systems for integrating the quality development,
maintenance, and improvement efforts of the various groups in an organization. So as to
produce marketing, engineering, production, and service at the most economical levels
for full customer satisfaction. Organizations consider on all aspects of quality of inputs,
Testing equipments, and control on processes.
Companywide Quality Control
Measured in all functions connected with production such as Research and development,
Design, Engineering, Purchasing, Operations etc...
Total Quality Management
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Finally organizations reached to the present total quality management philosophy. It
measured in all aspects of business. Such as top management commitment, continuous
improvement, involvement & participation of employees.
Succceeded organization through Total Quality Management
Approach
Toyota Production System (TPS)
Toyota Production System is an integrated socio-technical system,
developed by Toyota, which comprises from total quality
management philosophy and practices. The TPS organizes
manufacturing and logistics for the automobile manufacturer, including interaction with
suppliers and customers. Originally called "Just in Time Production" .This approach
created by the founder of Toyota, Sakichi Toyoda, his son Kiichiro Toyoda, and the
engineer Taiichi Ohno.
It is a Long term Philosophy based on management decisions on a long term Philosophy,
even at the Expense of Short-Term Financial Goals.
Toyota Production System is based on 14 principles which are unique for them.
The Right Process Will Produce the Right Results
Create Continuous Process Flow to Bring Problems to the Surface
Use “Pull” Systems to avoid Over Production
Level out the Work Load (Heijunka)
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Build a Culture of Stopping to Fix Problems, to get Quality Right the First Time
Standardised Tasks are the foundation for Continuous Improvement and
Employee Empowerment
Use Visual Control so no Problems are Hidden
Use Only Reliable, Thoroughly Tested Technology that Serves your People and
Processes
Add Value to the Organisation by Developing Your People and Partners
Grow Leaders who thoroughly understand the Work, Live the Philosophy and
Teach it to Others
Develop Exceptional People and Teams who follow your Company’s Philosophy
Respect your Extended Network of Partners and Suppliers by Challenging them
and Helping them Improve
Continuously Solving Root Problems Drives Organisational Learning
Go and See for Yourself to thoroughly Understand the Situation
Make Decisions Slowly by Consensus, thoroughly Considering all Options,
Implement Decisions Rapidly
Become a Learning Organisation through Relentless Reflection (Hansei) and
Continuous Improvement (Kaizen)
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Toyota Production System House
Role of Human Resource Management
Since the TQM is a companywide huge program, Implementation and control of Total
quality management system is exceptionally stiff fixation without foremost contribution
of the human resource management.HRM acting the main role of implementing TQM in
two essential ways.
Modeling the TQM philosophy and principles within its departmental operations,
the HR department can serve as a beachhead for the TQM process throughout the
company.
Capture the TQM process company-wide by developing and delivering the long-
term training and development necessary for the major organizational culture shift
required by TQM.
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Leveled Production (Heijunka)
Stable and Standardized Processes
Visual Management
Toyota Way Philosophy
Just-in-TimeRight Part, Right
Amount, Right Time
Take Time Planning Continuous Flow Pull System Quick Changeover Integrated Logistics
Jidoka(In-station Quality)
Make ProblemsVisible
Automatic Stops Andon Person – Machine Separation
Error Proofing In-station Quality Control
Solve Root Cause of Problems (5 Why’s)
Best Quality – Lowest Cost – Shortest Lead Time – Best Safety – High Morale
Through shortening the production flow by eliminating wastePeople & Teamwork
Selection Common Goals Ringi Decision Making Cross – Trained
Waste Reduction Genchi Genbutsu 5 Why’s Eyes for Waste Problem Solving
Since the total quality management is a change in the whole corporate culture in
organization, Human resource department has a major exertion in terms of making the
new work climate. According to that human resource management should consider about
the following key points.
An open, problem-solving atmosphere
Participatory design making
Trust among all employees
A sense of ownership and responsibility for goal achievement and problems solving
Self-motivation and self-control
Basically human resource management is accountable for select, recruit, retain, and
motivate employees to entire organization as fulfill the total quality requirements.
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List of References
Stevenson J., Operations Management, 8th Edition, 2005.
Petrick J, Furr D., Total Quality in Managing Human Resources, 1995
Macdonald J., Total Quality Management in a Week, 2003
http://managementhelp.org/quality/tqm/tqm.htm
http://en.wikipedia.org/wiki/Total_quality_management
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