1. Total Quality Management
Chapter 1: Introduction
Atit Patumvan
Faculty of Management and Information Sciences,
Naresuan University
1
2. 2
Agenda
• Definitions
• Basic Approach
• Gurus of TQM
• TQM Framework
Atit Patumvan, Faculty of Management and Information Sciences, Naresuan University
3. 3
Agenda (cont.)
• Awareness
• Defining Quality
• Obstacles
• Benefits of TQM
Atit Patumvan, Faculty of Management and Information Sciences, Naresuan University
4. 4
the art of managing the whole
to achieve excellence
Atit Patumvan, Faculty of Management and Information Sciences, Naresuan University
5. 5
Total Quality Management
• Total - Made up of the whole.
• Quality - Degree of excellence a product or service
provides
• Management - Act, art, or manner of handling,
controlling, directing, etc.
Atit Patumvan, Faculty of Management and Information Sciences, Naresuan University
6. 6
Basic Concepts of TQM
• A committed and involved management to provide long-term top-
to bottom.
• An unwavering focus on the customer, both internally and
externally.
• Effective involvement and utilization of the entire work force.
• Continuous improvement of the business and production process.
• Treating suppliers as partners.
• Establish performance measures for the processes.
Atit Patumvan, Faculty of Management and Information Sciences, Naresuan University
7. 7
Another way to put it
• TQM is all managers leading and facilitating all
contributors in everyone’s two main objectives:
• total client satisfaction through quality products
and services
• continuous improvements to process, systems,
peoples, suppliers, partners, products and
services
Atit Patumvan, Faculty of Management and Information Sciences, Naresuan University
8. 8
TQM vs. Traditional Approach
Quality Element Previous State TQM
Definition Product-oriented Customer-oriented
First among equals of service
Priorities Second to service and cost
and cost
Decisions Short-term Long-term
Emphasis Detection Prevention
Errors Operations System
Responsibility Quality control Everyone
Problem Solving Managers Teams
Procurement Process Life-cycle costs, partnership
Manager’s Role Management Administrative
Atit Patumvan, Faculty of Management and Information Sciences, Naresuan University
9. 9
Guru of TQM
• Walter A Shewhart
• W. Edwards Deming
• Josph M. Juran
• Armand V. Feigenbaum
• Kaoru Ishikawa
• Phillip B Cosby
• Genichi Taguchi
Atit Patumvan, Faculty of Management and Information Sciences, Naresuan University
10. 10
TQM Framework
Tools and
Gurus
Techniques
Principles Product or
Customers
and Practices Services Realization
Approach: Continuous Process Improvement
Measure: Performance Measures
Atit Patumvan, Faculty of Management and Information Sciences, Naresuan University
11. 11
Awareness
Lost in market share Meet
productivity or
Awareness TQM Customer
quality needs needs
Atit Patumvan, Faculty of Management and Information Sciences, Naresuan University
12. 12
Defining Quality
Lost in market share Meet
productivity or
Awareness TQM Customer
quality needs needs
Q = P/E
where Q = quality
P = performance
E = expectations
Atit Patumvan, Faculty of Management and Information Sciences, Naresuan University
13. 13
The Dimensions of Quality
Dimension Meaning and Example
Performance Primary product characteristics
Features Secondary characteristics
Conformance Meeting specifications or industry standards, workmanship
Reliability Consistency of performance over time, average time for the unit to fail
Durability Useful life, include repair
Service Resolution of problems and complaints, ease of repair
Response Human-to-human interface
Aesthetics Sensory characteristics
Reputation Past performance and other intangibles
Atit Patumvan, Faculty of Management and Information Sciences, Naresuan University
14. 14
Obstacle
Lost in market share Meet
productivity or
Awareness TQM Customer
quality needs needs
• Lack of Management Commitment
• Inability to Change Organization Culture
• Improper Planning
• Lack of Continuous Training and Education
• Incomplete Organization Structure and Isolated Individual and Departments
• In effective Measurement Techniques and Lack of Access to Data and Results
• Paying Inadequate Attention to Internal and External Customer
• Inadequate Use of Empowerment and Teamwork
• Failure to Continually Improve
Atit Patumvan, Faculty of Management and Information Sciences, Naresuan University
15. 15
Benefits of TQM
Increase in Sales
Lost in market share Meet
productivity or
Awareness TQM Customer
quality needs needs
Improve productivity
and quality
Atit Patumvan, Faculty of Management and Information Sciences, Naresuan University