The document discusses various quality management techniques including Total Quality Management (TQM), Six Sigma, Quality Circles, ISO standards, and 5S. It explains that TQM aims to embed quality awareness in all organizational processes. Six Sigma ensures a high process capability with very low defect rates. Quality Circles involve small groups of employees working to improve quality and productivity. ISO 9000 standards provide requirements for quality management systems. The 5S technique refers to organizing and standardizing the workplace. Overall, the document outlines different approaches for organizations to improve quality, reduce waste, and increase productivity.
2. Increase Sales Volume (Increase Market share)
Increase Sale Price
Reduce Purchase cost of Input
Reduce cost of production
Improve quality (Reduce cost of Quality)
Improve productivity
Improve ProfitImprove Profit
3. Productivity is a ratio of The amount of output per
unit of input
(labor, equipment, and capital).
• Number of products / No. of hours taken to produce them
• Revenue generated by employee / Salary of employee
4. System is a set of interactive elements
corresponding to the given inputs to produce the
desired output
Procedure is a set of activities which have to follow
in a systematic format without taking any
shortcuts
Process is a set of activities/operations which
follow the procedures and systems with right RM
and intermittent checking to avoid any lapses.
5. Process is a summation of activities such as
operations, inspection, delays, storage,
transportation and everything else that
happens between the beginning and the end of
the process
8. Six Sigma- (The statistical Representation) is a
process of Quality measurement, which helps the
organization in the improvement of their Quality
Six Sigma is a systematical process which helps the
organization to eleminate the defects which prevent it
from reaching perfection
Six Sigma ensures the QC, TQM and Zero Defect
When a process attains six sigma level it means that
there is no room for the product to fail
Six sigma is professionalizing of the Quality
Management functions
9. SigmaSigma
LevelLevel
% Good% Good PPM/DPPPM/DP
MOMO
Cost of Quality as % ofCost of Quality as % of
SalesSales
22 95.4595.45 4550045500 Over 40%Over 40%
33 99.7399.73 27002700 25 - 40%25 - 40%
44 99.993799.9937 6363 15 - 25%15 - 25%
55 99.99994399.999943 0.570.57 5 - 15%5 - 15%
66 99.99999999.999999 0.0020.002 Less than 1%Less than 1%
10. Total quality management (TQM) is a
business management strategy aimed at
embedding awareness of quality in all
organizational processes. TQM has been widely
used in manufacturing, education, hospitals,
call centers, government, and service
industries, as well as NASA space and science
programs
11. Total Quality Management (TQM) is a
structured system for meeting and
exceeding customer needs and expectations
by creating organization-wide participation in
the planning and implementation of
improvement (continuous and breakthrough)
processes
What is TQM ?What is TQM ?
12. Total: Involve all functions to have customer focus and give
reliable delivery of product+service in line with customer’s
expectations at lowest cost
Quality: Design and manufacture the product+service to
achieve zero defect and 100% customer satisfaction
Management: Lead to achieve quality for customers by
communicating the vision, mission and values to all employees
and creating continuous improvement culture
13. 1. Customer-Focused Organisation
2. Leadership
3. Involvement of People
4. Process Approach
5. SystemApproach to Management
6. Continual Improvement
7. Factual Approach to Decision Making
8. Mutually Beneficial SupplierRelationships
14. Understand customer needs and expectations for
products, delivery, price, dependability, etc.
Ensure a balanced approach among customers and
other stake holders’ (owners, people, suppliers, local
communities and society at large) needs and
expectations.
Communicate these needs and expectations
throughout the organisation.
Measure customer satisfaction & act on results,
Manage customer relationships
15. Be proactive and lead by example.
Understand and respond to changes in the
external environment.
Establish a clear vision of the organisation's
future.
Set challenging goals and targets
Implement a strategy to achieve these goals
and targets.
16. Accept ownership and responsibility to solve
problems.
Actively seek opportunities to make
improvements, and enhance competencies,
knowledge and experience.
Freely share knowledge & experience in teams.
Focus on the creation of value for customers.
Be innovative in furthering the organisation’s
objectives
Make people enthusiastic and proud to be part
of the organisation.
17. Define the process to achieve the desired
result.
Identify and measure the inputs and outputs
of the process.
Identify the interfaces of the process with the
functions of the organisation.
Evaluate possible risks, consequences and
impacts of processes on customers, suppliers
and other stake holders of the process.
18. Define the system by identifying or developing the
processes that affect a given objective.
Structure the system to achieve the objective in the
most efficient way.
Understand the interdependencies among the
processes of the system.
Continually improve the system through
measurement and evaluation, and
Estimate the resource requirements and establish
resource constraints prior to action.
19. Make continual improvement of products,
processes and systems an objective for every
individual in the organisation.
Apply the basic improvement concepts of
incremental improvement and breakthrough
improvement.
Use periodic assessments against established
criteria of excellence to identify areas for
potential improvement.
Continually improve the efficiency and
effectiveness of all processes.
20. Take measurements and collect data and
information relevant to the objective.
Ensure that the data and information are sufficiently
accurate, reliable and accessible.
Analyse the data and information using valid
methods.
Understand the value of appropriate statistical
techniques, and
Make decisions and take action based on the results
of logical analysis balanced with experience and
intuition.
21. 1. Set company strategy, values and culture
2. Identify the customers and understand their expectations
3. Define their specific needs
4. Build the quality in the process from the begining(advocate
prevention & not correction)
5. Reduce chronic waste
6. Reduce variation
7. All levels of the organization must be involved/trained
8. Continually improve the quality of product or service
9. Use structured methodology for process improvement
10. Use a balanced approach
23. 1. Ethics
2. Integrity
3. Trust
4. Training
5. Teamwork
6. Leadership
7. Recognition
8. Communication
24. Ability to be more competitive
Improved market share
Cost reduction
Increased flexibility and responsiveness
Simplified processes
Improved communications
More satisfaction among the workforce
25. 1. Seiri : separate out needed items
2. Seiton: organize workplace for faster retrieval
(fix place for each item)
3. Seison: sweeping/cleaning around work area
4. Seiketsu: keep everything clean for constant
state of readiness
5. Shitsuke: Everyone must understand and
practice the rules in the plant
26. Maintenance is done on the equipments to
keep them running as efficiently as possible for
as long as possible
There are three types of maintenance :
1. Breakdown maintenance (unplanned)
2. Preventive maintenance (planned)
3. Predictive maintenance ( High tech analysis )
28. Quality = fitness for use by the customer
Juran’s Triology: (Quality oriented
Principles)
1. Quality Planning
2. Quality Control
3. Quality improvement
29. Setting Quality standards
Apraising conformance to these standards
Acting when standards are exceeded
Planning for improvements in standards
30. Definition :
For the customer to buy the product/service
with confidence and use it for a long time with
ease and satisfaction, the manufacturer has to
give assurance and also give evidence that the
product will not fail
32. Variation is the main reason of poor Quality
There is no such thing as Quality Problem, it is an
opportunity to improve
There is nothing like economics of Quality,it is cheaper
to do the job right , the first time
The only performance measurement is the cost of
Quality
The only Performance standard is
“ZERO DEFECT”
35. Prevention costs…..High throughout
Appraisal costs……low/same throughout
Internal costs……..initially high, gradually
declining
External costs……initially high, sharply
decline (stability period)
Total Cost……….sharply decline as the
product becomes stable
36. As we keep improving the Quality, the total Cost
of Quality keeps coming down
However if we improve the Quality beyond a
certain point, the prevention cost will sharply
go up and the total cost will also go up
Hence we have to find an economic Balance of
Cost and Quality (six sigma)
37. Customer awareness = keeping customer’s
requirements in mind
These requirements are: Right Quality,
Right Quantity, Right time & Right Cost
The customer delight is far beyond customer
satisfaction
e.g: Taxi keeping newspapers, Telephone
directory, Railway Timetable, etc
38. Why customers Quit ?
1% die natural death
3% relocate
5% move away due to friends contact
9% due to competitive reasons
14% poor quality of product
68% indifferent attitude towards customers
39. Old Definition of Quality:
Products and services are provided exactly as
per the specifications already laid down
New definition of TQM:
Products and services that totally satisfy the
customer needs and expectations in every
respect, on a continuous basis
40. Commitment by senior management and all
employees
Meeting customer requirements
Reducing development cycle times
Just In Time/Demand Flow Manufacturing
Improvement teams
Reducing product and service costs
Systems to facilitate improvement
Line Management ownership
Employee involvement and empowerment
41. Bill Gates:There will be a personal computer on every
desk running microsoft software
Vision Statement should answer:
1. Why did I start this business
2. When I move on from this business, what do
I leave behind
3. What am I providing for my customers
beyond product/service
4. If my business could be everything I dreamed
how would it be
42. The quality of the product is checked to see
the variation
The control in variation wrt the design
spec/dimension is aimed at
More the variation, poorer the quality
Less the variation better the quality
The analysis of variations ( control charts)
give direction for the action to be taken to
control the variation
43. Quality Plan (Quality Assurance Plan)
A Quality plan is a document specifying the quality
management system elements and the resources to
be applied in a specific case
Activities to be considered are:
Product spec,quality and delivery requirements, how
the product/service is created and resources
required,quality verification and records to be kept to
demonstrate conformity
44. Identify who the customers are
Determine the needs of those customers
Translate those needs into our language
Develop a product that can respond to those needs
Optimise the product features so as to meet our needs
and customer’s needs
Optimise the process
Prove that the process can produce the product under
operating conditions
Transfer the process to operation
45. ISO 9000 is a series of International stds
To be used by the cos. wanting to implement in
house quality systems
These stds are developed by international
organization for standardization (ISO)
These promote international trade by providing
one consistent set of requirements recognized
around the world
46. 1. Management
responsibility
2. Quality system
3. Contract review
4. Purchasing
5. Product identification
and traceability
6. Process control
7. Inspection and test
equipments
8. Control of non
conforming products
9. Storage, packing and
delivery
10. Quality records
11. Internal quality
audits
12. Training
13. Statistical
techniques
47. BPR is a management approach aiming at
improvements by identifying and implementing
new ways of carrying out work. Thus elevating
efficiency and effectiveness of the processes
that exist within and across the organization
48. 1. Men
2. Materials
3. Machines
4. Manufacturing conditions
5. Manufacturing process
6. Capability to invest money
7. Management commitment to Quality
8. Product design (Tangible and *Intangible)
9. After sales service (*Safety and Reliability)
50. Answer the phone
Don’t overpromise
Listen to your Customers
Deal with Complaints
Be helpful and knowledgeable
Train the staff to be courteous
Take the extra step
Throw in something extra
51. Service quality has high level of intangibility
Most services are intangible as there are
performances and not objects
Services are perishable , they can not be
inventoried, saved and resold later
The actual performance of service differs from
provider to provider
52. QC is a small group of employees working on similar
jobs, mostly at worker level to perform quality control
and improvement activities within their workplace
These groups work on continuous improvements as a
part of company wide activity
This was started in Japan in 1962 in line with the
conviction of Ishikawa that the workers can
significantly contribute to improve quality and
productivity
Japan attributes phenomenal growth in 1960-1970 to
QC
53. Basic Objectives:
1. Wider contribution towards improvement and
development of the enterprise
2. Respecting humanity and building a happy
and cheerful workplace
3. Exploiting human capabilities fully and
drawing out infinite possibilities
54. 1. Decide on the theme
2. Establish the goals
3. Clarify reasons and their importance
4. Access the current situation
5. Probe the causes and analyze them
6. Establish corrective measures
7. Implement the measures
8. Evaluate results
9. Standardize to prevent slipups
10. Reflection of the results
55. Operational Management
5 ‘S’
BPR
Quality Management
QC ( Quality Circles)
ISO
TPM ( Total Productive Maintenance)
Six Sigma ( For Processes CTQ )
56. Quality Mgmt Systems
Devendra Kumar Bhatt / Aparna Raj
Productivity and Quality Mgmt
Shashikant D Aphale
Vipul Prakashan