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    Quality

    Topic : Dr. W. EdwardsDeming

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    Introduction

    Williams Edward s Deming, 1900 in US - 1993

    Considered to be the founding father of the quality movement

    Doctorate in physics from Yale Teached mathematics and statistics from 1930-1946

    Statistician, worked for the US government for many years

    Was closely involved in post-war development of quality in Japan Deming has been given a lot of the credit for transforming Japan into a

    modern industrial state

    Rose to prominence in Japan

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    Methods

    Deming has Three principal methods:

    1.Philosophy

    Statistical Process Control (SPC) PDCA cycle

    2.The fourteen principles for transformation

    3.The seven point action plan

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    Philosophy

    1. Initial approach: based on statistical methods

    Use of quantitative method

    Management focus on causes of variability in manufacturing

    processes Identify special and common causes of quality problems

    Special causes: relating to operators or machines

    Common causes: Arise from the operation of the system itself;

    responsibility of the management.

    Belief: there are common and special causes of qualityproblems

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    Philosophy

    Use of Statistical Process Control (SPC) to identify special and

    common causes

    Brings the production process under control

    Aim: remove quality problems relating to special causesof failure

    Remaining quality problems are common causes: inherent in the

    design of the production process

    Eradication of special causes enables a shift in focus to common

    causes to improve quality further

    Belief: a quantitative approach to identifying and solving problems

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    Philosophy

    Comments on use of SPC

    The statistically approach brings its own problems Bendell (1989):

    Lack of technical standards, limitations of data

    Human difficulties by employee resistance and management lack ofunderstanding as to their roles in quality improvement

    Demings approach reflects the machine view

    The value of Demings work could be obscured by our ability to

    interpret it.

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    Philosophy2. Systematic approach to problem solving: the Deming, cycle

    Plan, Do, Check, Action

    Plan

    Do

    Check

    Action

    Identify improvements and identify

    ways to achieve the improvements

    Implement necessary actions to

    achieve improvement

    Verify if the implemented changes

    results in improvements

    What we do as a response to

    the observed effect

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    Philosophy

    3. Systematic approach to problem solving: the Deming, cycle

    Plan, Do, Check, Action

    Frequently used in other methodologies (e.g. ISO 9000:2001,

    Oakland)

    Continuous cycle Do it all over again ((Kaizen)

    Belief 1:systematic, methodical approach

    Belief 2:continuous quality improvement action

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    14 Principles

    Do you have clear goalsfor the organizationcommunicated to all

    employees?

    How can everyone be empowered,feel a sense of ownership and sharein the companys success?

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    With everyone participating our goalsare to deliver perfect quality to our

    customers

    We want to develop long termbeneficial relationships withour suppliers.

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    The leaders select the music, setthe tone and insure thateveryone is on board at everymoment.

    Ask your associates what they fearand then do whatever is necessaryto get rid of it.

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    Find ways to opencommunications betweensuppliers, customers and all

    employees.

    Value is placed on doingand demonstrating.

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    The method is balancingtechnology with peoples needs

    and aspirations and eliminatingthose non-value adding wastes.

    Why come to work if it is notjoyous?

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    Ask and plan now for an ongoingcontinuous educational process to helpeveryone become the best that they

    possibly can be.

    Ask Dr. Shingo would alwayssay,

    DO IT!16

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    The seven deadly sins Fundamental beliefs about bad management

    Are the cause to the poor condition of many organizations today

    Must be eliminated

    1. Sin 1: Lack of constancy

    2. Sin 2: Short-term profit focus

    3. Sin 3: Performance appraisal

    4. Sin 4: Job-hopping regular movement of management between

    jobs

    5. Sin 5: The use of visible figures only

    6. Sin 6: Excessive medical cost

    7. Sin 7: Excessive costs of liability (Erstatningskrav)

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    Philosophy

    Summary of Demings philosophy:

    Quantitative, statistically valid, control systems

    Clear definitions of those aspects under the direct control of staff

    that is the special causes and those which are the responsibility

    of managementthe common causes (as high as 94%)

    A systematic, methodical approach

    Continuous improvement

    Constancy and determination

    Quality should be designed into both product and process.(Deming and Crosby)

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    Assumptions

    1. Management processes and attitudes must betransformed in order for sustained improvement to beachieved The management is seen to be responsible and capable of

    undertaking the proposed transformation Deming does not suggest , in organization design terms, how this

    should be achieved

    2. Statistical methods will provide quantitative evidence to

    support changes At the same time he recognizes that some aspects cannot be

    easily measured

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    Assumptions

    3. Continuous improvement is possible and desirable

    If the needs of the customer is fully met and understood,

    where is the benefit in further improvement?

    Long-term view and continuous improvement may not be enough

    Maybe organizations must be built for sudden, catastrophic,

    change.

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    Quotations and concepts ofWilliam Edwards Deming

    "There is no substitute for knowledge.

    "The most important things cannot be measured."

    "Experience by itself teaches nothing. "You can expect what you inspect."

    "Special Causes and Common Causes"

    Acceptable Defects.

    Knowledge is theory. What is a system?

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    Demings seven-point action

    plan An action plan to implement the principles What to do, not how to do it

    1. Management must agree on the meaning of the quality

    program, its implications and the direction to take

    2. Top management must accept and adopt the new philosophy

    3. Top management must communicate the plan and thenecessity for it to the people in the organization

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    Demings seven-point action

    plan4. Every activity must be recognized as a step in a process and

    the customers of that process identified; the customers areresponsible for the next stage of the process Process based work flow, the processes are divided into stages

    At every stage there are customers that must be identified andsatisfied

    5. Each stage must adopt the Deming-Shewart cycle PDCAas the basis of quality improvement Continuous improvement of every stage through the PDCA cycle

    Acceptance of responsibility of the process and authority todevelop and implement changes

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    Demings seven-point action plan

    6. Team working must be created and encouraged to improveinputs and outputs; everyone must be enabled to contribute tothis process Participation in team work can be seen in several levels:

    1. A team culture within each process

    2. Changes in one area may have implications in another: Team culturemust be engendered between process owners

    3. Sharing and developing improvements across processes

    7. An organization for quality must be constructed with the supportof knowledgeable statisticians

    Build an organization which reflects and nurtures the achievementof quality

    Deming suggests the use of statisticians Multidiscipline team shows the collaborate nature of achieving quality

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    Successes and failures

    Overall Deming can be said to have beensuccessful

    Substantial success in Japanese industry

    After Japanese success he was able to turn hisattention to America

    Here he met strong workforce resistance: Deming hadto revise his methods Emphasis from quantitative to qualitative approach

    Coded the Seven Deadly Sins

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    Successes and failures

    Flood (1993) acknowledges the principal

    strengths of Deming:

    1. The systemic logic, particularly the idea of internalcustomer-supplier relationships

    2. Management before technology

    3. Emphasis on management leadership

    4. The sound statistical approach

    5. Awareness of different socio-cultural approach

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    Successes and failures

    Comments on Floods principal strengths:1. The systemic and logical approach is seen through the

    PDCA cycle Both personal and organizational improvement

    2. Prioritization of management before technologyrepresents a reversal of attitudes of many managers Many look for external rather than internal factors as

    responsible for failures (94% belongs to managers)

    3. Recognition of the importance of good leadership andmotivation can be seen to reflect human relationstheory

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    Successes and failures

    Comments on Floods principal strengths:

    4. A strong quantitative base is fundamental toachievement of quality Do betterHow much?/When

    We must know when success is achieved

    Target orientation is motivational

    5. Recognition of different cultural contexts is a vital

    strength Essential in achieving success

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    Successes and failures

    Flood (1993) weaknesses:

    1. Lack of well-defined methodology

    2. The work is not adequately grounded in humanrelations theory

    3. The approach will not help in an organization with

    a biased power structure

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    Successes and failures

    Comments on Floods weaknesses:1. Deming suggests what to do without indicating how

    May be empowering

    Encourages experimentation and debate within each context

    3. Deming is criticized for saying nothing about intervention inpolitical and coercive situations The second principle and the first three point in the action plan call

    on management to accept their responsibility for quality andproductivity and to embrace the new philosophy

    Demings approach rests on the attitude of the management

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    The Deming Prize

    The Deming Prize was created in 1951 by the Japanese Union of Scientist

    and Engineers. For commemorating Dr. Deming and recognizing those with

    outstanding quality management.

    Winners of the Deming Prize for individuals have been Japanese as of 1999

    Majority of Deming Application Prize winners also Japanese firms until thelast decade.

    U.S. winners:

    AT&T Power Systems

    Lucent Technology Power Systems

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    Books written by Edward

    Deming Sample Design in Business Research

    Some Theory of Sampling

    Statistical Adjustment of Data

    On Errors in Surveys

    Quality Productivity and Competitive Position

    The New Economics: : For Industry, Government, Education

    Out of the Crisis

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