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TOTAL QUALITY MANAGEMENT
Total Quality Management
TQM
• Total - Made up of the whole
• Quality - degree of excellence a product or
service provides
• Management - Act, art or manner of planning,
controlling, directing,….
Therefore, TQM is the art of managing the
whole to achieve excellence.
Introduction of TQM
Concept was first developed by
W. Adward Deming,
Joshep Juran & A.V Feiganbaun.
Comprehensive approach for improving product
quality and get customer satisfaction.
Management philosophy of improving
product quality through
everyone commitment &
N involvement to
satisfied customer need.
Total Quality Management
What’s the goal of TQM?
“Do the right things right the first
time, every time.”
Total Quality Management
Another way to put it
• At it’s simplest, TQM is all managers leading
and facilitating all contributors in everyone’s
three main objectives:
(1) Total client satisfaction.
(2) Employee involvement.
(3) continuous improvements.
Customer satisfaction:
• Is a relative concept varies from one customer
to another customer i.e. the customer may be
satisfied with today’s product but may not be
satisfied in future.
• Each person defines quality in relation to his
or her own needs and means at a particular
point of time.
Employee involvement
• In quality management is crucial in achieving and
sustaining high level in quality.
• Employee have to be empowered to take preventive
and if necessary corrective actions without
management approval.
• Employee must be involved in quality by encouraging
them to use quality control tools and techniques to
track performance and identify areas needing
improvement.
• Employee training and motivation are essential for
achieving and sustaining high level of service quality.
Continuous improvement
• Is a never ending process and is driven by knowledge and
problem solving.
• The producer must specify the quality attributes of the
product or service as carefully as possible and then to meet
those specifications.
• While improving the process overtime, producer should
continuously strive to improving quality that is doing better
job of meeting customer needs by reducing variability in all
processes and introducing new products when needed.
• As producer gain a better understanding of customer
expectation and as better technology becomes available,
quality can be continuously improved.
Total Quality Management
Quality Throughout
• “A Customer’s impression of quality begins with
the initial contact with the company and
continues through the life of the product.”
– Customers look to the total package - sales, service
during the sale, packaging, deliver, and service after
the sale.
– Quality extends to how the receptionist answers the
phone, how managers treat subordinates, how
courteous sales and repair people are, and how the
product is serviced after the sale.
• “All departments of the company must strive to
improve the quality of their operations.”
Total Quality Management
Basic Tenets of TQM
• 1. The customer makes the ultimate
determination of quality.
• 2. Top Management must provide leadership and
support for all quality initiatives.
• 3. Preventing variability is the key to producing
high quality.
• 4. Quality goals are a moving target, thereby
requiring a commitment toward continuous
improvement.
• 5. Improving quality requires the establishment
of effective metrics. We must speak with data
and facts not just opinions.
Total Quality Management
Value-based Approach
• Manufacturing
Dimensions
– Performance
– Features
– Reliability
– Conformance
– Durability
– Serviceability
– Aesthetics
– Perceived quality
• Service Dimensions
– Reliability
– Responsiveness
– Assurance
– Empathy
– Tangibles
BENEFITS OF TQM
1. Advantages unique to TQM:
• It makes the company a leader.
• Fastens the team work.
• Makes the company more sensitive to customer needs.
• Makes the company adapt more readily to changes.
2. Benefits to company
• Quality improves.
• Increased productivity.
• Staffs are more motivated.
• Cost reduced.
3. Benefits to customer
• Fewer problems with product/services.
• Better customer care.
• Greater satisfaction.
4. Benefits to staff
• Empowerment.
• More training and more skills.
• More recognition of achievement.
COMPETITIVE BENEFIT OF TQM:
TQM IMPROVES PROFITABILITY:
Tools of TQM
Tools of
TQM
Bench-marking
Tools of TQM:
Right First Time: Quality conscious at start
Bench Marking: Measuring and comparing an
organizational business process and practices
against those of the best organization.
Outsourcing: It is process of contracting out
some function of an organization to out-side
firms who can it cheaper and better.
contd….
ISO 9000(International organization for standardization ):
Which sets out the criteria for world quality management
system. It covers product testing, employee training, record
keeping, suppliers relation, repair polices & procedures.
Speed: TO survive and win. They can gain competitive
advantage by being better, smarter, and faster than their
competitors at doing valuable things for their customer.
Statistical quality control: The technique follows sampling
of activities in the process and sampling of final products.
This process ensures maintaining standard of quality on the
basis of accepting sampling procedure.
19
Quality circles
• Teams of workers and supervisors that meet regularly to
address work-related problems involving quality and
productivity.
• Developed by Kaoru Ishikawa at University of Tokyo.
• Became immediately popular in Japan as well as USA.
• Lockheed Missiles and Space Division was the leader in
implementing Quality circles in USA in 1973 (after their visit
to Japan to study the same).
S. P. Robins:- “Quality circle is work group of employees who
meet regularly to discuss quality problems, investigate causes
of the problems, recommends them to implement.”
Fig: structure of QC
Objectives of QC:
To enhanced quality of and productivity
Promotes efficiency
Encourage team work
Increase employee moral & motivation
Improve open communication & human
relation by empowering the employees.
Problem solving process in QC:
Problem
identification
Problem
prioritizations
Problem
analysis
Implementation
of decision
making
Decision by
management
Solution
recommendation
TQM

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TQM

  • 2. Total Quality Management TQM • Total - Made up of the whole • Quality - degree of excellence a product or service provides • Management - Act, art or manner of planning, controlling, directing,…. Therefore, TQM is the art of managing the whole to achieve excellence.
  • 3. Introduction of TQM Concept was first developed by W. Adward Deming, Joshep Juran & A.V Feiganbaun. Comprehensive approach for improving product quality and get customer satisfaction. Management philosophy of improving product quality through everyone commitment & N involvement to satisfied customer need.
  • 4. Total Quality Management What’s the goal of TQM? “Do the right things right the first time, every time.”
  • 5. Total Quality Management Another way to put it • At it’s simplest, TQM is all managers leading and facilitating all contributors in everyone’s three main objectives: (1) Total client satisfaction. (2) Employee involvement. (3) continuous improvements.
  • 6. Customer satisfaction: • Is a relative concept varies from one customer to another customer i.e. the customer may be satisfied with today’s product but may not be satisfied in future. • Each person defines quality in relation to his or her own needs and means at a particular point of time.
  • 7. Employee involvement • In quality management is crucial in achieving and sustaining high level in quality. • Employee have to be empowered to take preventive and if necessary corrective actions without management approval. • Employee must be involved in quality by encouraging them to use quality control tools and techniques to track performance and identify areas needing improvement. • Employee training and motivation are essential for achieving and sustaining high level of service quality.
  • 8. Continuous improvement • Is a never ending process and is driven by knowledge and problem solving. • The producer must specify the quality attributes of the product or service as carefully as possible and then to meet those specifications. • While improving the process overtime, producer should continuously strive to improving quality that is doing better job of meeting customer needs by reducing variability in all processes and introducing new products when needed. • As producer gain a better understanding of customer expectation and as better technology becomes available, quality can be continuously improved.
  • 9. Total Quality Management Quality Throughout • “A Customer’s impression of quality begins with the initial contact with the company and continues through the life of the product.” – Customers look to the total package - sales, service during the sale, packaging, deliver, and service after the sale. – Quality extends to how the receptionist answers the phone, how managers treat subordinates, how courteous sales and repair people are, and how the product is serviced after the sale. • “All departments of the company must strive to improve the quality of their operations.”
  • 10. Total Quality Management Basic Tenets of TQM • 1. The customer makes the ultimate determination of quality. • 2. Top Management must provide leadership and support for all quality initiatives. • 3. Preventing variability is the key to producing high quality. • 4. Quality goals are a moving target, thereby requiring a commitment toward continuous improvement. • 5. Improving quality requires the establishment of effective metrics. We must speak with data and facts not just opinions.
  • 11. Total Quality Management Value-based Approach • Manufacturing Dimensions – Performance – Features – Reliability – Conformance – Durability – Serviceability – Aesthetics – Perceived quality • Service Dimensions – Reliability – Responsiveness – Assurance – Empathy – Tangibles
  • 12. BENEFITS OF TQM 1. Advantages unique to TQM: • It makes the company a leader. • Fastens the team work. • Makes the company more sensitive to customer needs. • Makes the company adapt more readily to changes. 2. Benefits to company • Quality improves. • Increased productivity. • Staffs are more motivated. • Cost reduced.
  • 13. 3. Benefits to customer • Fewer problems with product/services. • Better customer care. • Greater satisfaction. 4. Benefits to staff • Empowerment. • More training and more skills. • More recognition of achievement.
  • 16. Tools of TQM Tools of TQM Bench-marking
  • 17. Tools of TQM: Right First Time: Quality conscious at start Bench Marking: Measuring and comparing an organizational business process and practices against those of the best organization. Outsourcing: It is process of contracting out some function of an organization to out-side firms who can it cheaper and better. contd….
  • 18. ISO 9000(International organization for standardization ): Which sets out the criteria for world quality management system. It covers product testing, employee training, record keeping, suppliers relation, repair polices & procedures. Speed: TO survive and win. They can gain competitive advantage by being better, smarter, and faster than their competitors at doing valuable things for their customer. Statistical quality control: The technique follows sampling of activities in the process and sampling of final products. This process ensures maintaining standard of quality on the basis of accepting sampling procedure.
  • 19. 19 Quality circles • Teams of workers and supervisors that meet regularly to address work-related problems involving quality and productivity. • Developed by Kaoru Ishikawa at University of Tokyo. • Became immediately popular in Japan as well as USA. • Lockheed Missiles and Space Division was the leader in implementing Quality circles in USA in 1973 (after their visit to Japan to study the same). S. P. Robins:- “Quality circle is work group of employees who meet regularly to discuss quality problems, investigate causes of the problems, recommends them to implement.”
  • 21. Objectives of QC: To enhanced quality of and productivity Promotes efficiency Encourage team work Increase employee moral & motivation Improve open communication & human relation by empowering the employees.
  • 22. Problem solving process in QC: Problem identification Problem prioritizations Problem analysis Implementation of decision making Decision by management Solution recommendation