1. DEMING CYCLE AND
ITS 14 PRINCIPLES
PRESENTED BY
ARUP DASGUPTA
NU/MN-02/10

2. What this presentation will cover
• Dr. Deming’s Biography
• Deming cycle
• Deming’s 14 Key principles

3. Dr. Deming Biography
• Born October 14, 1900 in Sioux City Iowa
• Died December 20, 1993
• PHD in in Mathematics & Mathematical Physics from Yale
1928
• Professor of Statistics at NY University 1946-1993
• 1947 – taught Japanese engineers and managers
statistical process controls – the message: improving
quality will reduce expenses while increasing productivity
and market share.
• Credited with enabling Japan to become a world business
power by the 1980’s due to image of quality
• 1979-1982 – worked for Ford Motor Co. credited for making
Ford the most profitable US Auto manufacturer by 1986

4. • The Deming cycle, or PDSA cycle, is a continuous quality
improvement model consisting of a logical sequence of
four repetitive steps for continuous improvement and
learning: Plan, Do, Study (Check) and Act.
• The PDCA cycle is also known as the Deming Cycle, or
as the Deming Wheel or as the Continuous
Improvement Spiral.
• The PDCA cycle was in fact originally developed by
Walter A. Shewhart, a Bell Laboratories scientist who
was Deming's friend and mentor, and the developer of
Statistical Process Control (SPC) in the late 1920s. So
sometimes this is referred to as the "Shewhart
Cycle". There are also several recent variations on this
concept.

5. W E Deming – PDCA Cycle

6. Deming’s 14 Key principles
 The System of Profound Knowledge is the basis for application
of Deming's famous 14 Points for Management.
 Deming offered fourteen key principles for management for
transforming business effectiveness.
 The points were first presented in his book Out of the Crisis.
 Although Deming does not use the term in his book, it is
credited with launching the Total Quality Management
movement

7. Deming’s 14 Key principles – 1
Constancy of Purpose
Create constancy of purpose for continual
improvement of products and service to
society, allocating resources to provide for
long range needs rather than only short Term
profitability, with a plan to become
competitive, to stay in business, and to provide
jobs.

8. Deming’s 14 Key principles – 2
Adopt the new philosophy
We are in a new economic age, created in
Japan. We can no longer live with commonly
accepted levels of delays, mistakes, defective
materials, and defective workmanship.
Transformation of Western management style
is necessary to halt the continued decline of
business and industry.

9. Deming’s 14 Key principles – 3
Cease the need for mass inspection
Eliminate the need for mass inspection as the
way of life to achieve quality by building quality
into the product in the first place. Require
statistical evidence of built in quality in both
manufacturing and purchasing functions.

10. Deming’s 14 Key principles – 4
End lowest tender contracts
End the practice of awarding business solely on
the basis of price tag. Instead require
meaningful measures of quality along with
price. Reduce the number of suppliers for the
same item by eliminating those that do not
qualify with statistical and other evidence of
quality. The aim is to minimize total cost, not
merely initial cost, by minimizing variation.
This may be achieved by moving toward a
single supplier for any one item, on a long
term relationship of loyalty and trust.

11. Deming’s 14 Key principles – 5
Improve every process
Improve constantly and forever the system of
production and service, to improve quality and
productivity, and thus constantly decrease costs.
Deming’s 14 Key principles–6
Institute training on the job
Institute modern methods of training on the job for all,
including management, to make better use of every
employee. New skills are required to keep up with
changes in materials, methods, product and service
design, machinery, techniques, and service.

12. Deming’s 14 Key principles – 7
Institute leadership
Institute leadership - the aim of supervision should be
to help people and machines and gadgets to do a
better job. Supervision of management is in need of
overhaul, as well as supervision of production
workers.
Deming’s 14 Key principles –8
Drive out fear
Encourage effective two way communication and
other means to drive out fear throughout the
organization so that everybody may work effectively
and more productively for the company.

13. Deming’s 14 Key principles – 9
Break down barriers
Break down barriers between departments. People in
research, design, sales, and production must work as
a team, to foresee problems of production and in use
that may be encountered with the product or service.
Deming’s 14 Key principles – 10
Eliminate exhortations
Eliminate slogans, exhortations, and targets for the work
force asking for zero defects and new levels of
productivity. Such exhortations only create adversarial
relationships, as the bulk of the causes of low quality
and low productivity belong to the system and thus lie
beyond the power of the work force.

14. Deming’s 14 Key principles – 11
Eliminate arbitrary numerical targets
Eliminate work standards (quotas) on the factory
floor. Substitute leadership. Eliminate management
by objective. Eliminate management by
numbers, Numerical goals. Substitute aids and
helpful leadership in order to achieve continual
improvement of quality and productivity.
Deming’s 14 Key principles – 12
Permit pride in workmanship
Remove barriers that rob the hourly worker of his right
to pride of workmanship.

15. Deming’s 14 Key principles -13
Encourage education
Institute a vigorous program of education and self-
improvement,. What an organization needs is not just
good people; it needs people that are improving with
education.
Deming’s 14 Key principles – 14
Top management commitment to action
Put everybody in the company to work to accomplish
the transformation. The transformation is everybody's
job.

16. Cont…..
Clearly define top management's permanent commitment to
ever improving quality and productivity, and their obligation
to implement all of these principles. Indeed, it is not enough
that top management commit themselves for life to quality
and productivity. They must know what it is that they are
committed to—that is, what they must do. Create a structure
in top management that will push every day on the preceding
13 Points, and take action in order to accomplish the
transformation. Support is not enough: action is required!

17. References
• The Deming Guide to Quality and Competitive Position
– Howard S. Gitlow, Shelly J. Gitlow
• Wikipedia
– W. Edwards Deming
• Deming’s 14 points in Project Management
– Josh Nankivel

18. THANK YOU