New and old culture of Q
Q Elements
Definition Decisions Responsibility Problem solving Procurement Emphasis Managers Role
Prior to TQM
Product oriented Short term
With TQM
Customer Long term
Quality control Every one Managers Teams Price Life cycle cost & partnership Detection Plan, assign Prevention Delegate, coach, facilitate and mentor
Principles of TQM
Management commitment Customer Focus Continuous Improvement Employee Empowerment
Deming Philosophy
Edwards Deming had proposed fourteen principles towards quality achievement. These principles are summarized as follows:
1.Create and Publish the Aims and Purposes of the Organization
long range goals, resource allocation for innovation, R&D, training and continuous education for the employees.
2. Adopt new philosophy : Focus on the customer satisfaction, prevention of non - conformance, rather than detection and correction, taking leadership for change, are a few of the examples of new philosophy.
3. Understand the Purpose of Inspection:
Eliminate the need for mass inspection by building quality into the product.
Mass inspection is costly and unreliable. Mass inspection is managing for failure and Defect prevention is managing for success To improve the process and reduce its cost, use of statistical techniques should be adopted.
4. Stop Awarding Business Based on Price Alone:
End the practice of selecting the suppliers, based solely on price. Price is meaningless, without quality. Minimize total cost by working with a single supplier, thereby developing a long term ethical and economical relationship, loyalty and trust with the suppliers. 5. Improve constantly and forever the system of production and service to improve quality and productivity and to decrease cost.
6. Institute training on the job. Each employee is to be trained in quality improvement skills, communication skills, statistical methods and problem solving methods. Management must allocate resource to train employees to perform their jobs in the best possible manner. 7. Teach and Institute leadership: Improving Supervision is Managements responsibility. Management must provide supervisors with training on analytical methods. Instead of focusing on a negative, fault-finding atmosphere, Supervisors should create a positive, supportive climate. All communications must be clear from top management to supervisors to operators
8. Drive out Fear, Create Trust, and Create a climate for Innovation:
Fear is caused by lack of job security, performance appraisal by superiors, ignorance of organizational goals, poor supervision and poor knowledge of the job. All the employees are to be treated with dignity - Only then, they can provide ideas and act upon for improvement.
Management must encourage open, effective communication and team work. Management can begin by providing workers with adequate training, good supervision, and proper tools to do the job.
9. Optimize the Efforts of Teams and groups:
Break down barriers between departments, research, design, sales and production . must work together to foresee problems in production .
10. Eliminate slogans, exhortations and numerical targets for the workforce:
Goals - achievable and the methods are known and made available, to all the employees. Improvements in the process cannot be made unless the tools and methods are available
11. Eliminate quotas or work standards:
Quota and work standards give importance to quantity, rather than quality. They encourage poor workmanship in order to meet their quotas Instead of fixing quantity, the management must concentrate on the methods for improvement and quality. Statistical method of Process Control may replace Quotas
12.Remove barriers that rob people of their right to pride of workmanship;
Loss of pride in workmanship occurs in organizations, because of the following reasons: Workers - unaware how to relate their efforts to the organizations missions. They are blamed for system failure. Poor designs leading to waste of product or service. Inadequate training. Punitive supervision. Inadequate or faulty equipments and tools provided for performing the job. When workers feel proud of their work, they will grow fully and successfully, in their job and out of their job.
13.Encourage Education and Self-Improvement
14. Put everyone in the company to work to accomplish the transformation.
Create a structure in top management that will emphasize the preceding thirteen points every day.
The principles may be aptly called, codes of ethics for Quality
Barriers to TQM implementation
Lack of Management commitment Inability to change Organisation culture Improper planning Inadequate use of empowerment Lack of continuous training and education Paying inadequate attention to internal and external customers. Failure to continually improve
Quality Statements Quality statements declare the core values and concepts, vision and mission and quality policies of the organization. Once developed, they are reviewed and updated, some times. These statements form part of strategic planning. Each of the award winning organizations, invariably have a vision of and mission on, what
quality is and how to achieve it. (a) Vision Statement It is a brief declaration on the expectations of an organization. It is the ideal state, which an organization strives continually to achieve. Visions are eternal, inspiratioIndian Overseas Bank We grow with people IBM Service Apple Computing for the masses Disney theme park Happiest place on earth Southern Railway We care
Successful visions provide guidance for decision making. The desired goals revealed by the vision, provide the criterion for effective decision-making. Some organizations strengthen the significance of vision statement by incorporating the same, in the uniforms or badges of the employees and official letter heads. TI is a good company and one reason is that, I am part of it . TI manual. Customers receive what they order, without nonconformities, on time, in the right quantity, booked and billed on time. People enjoy their work. The organization makes a profit . commercial organization.nal and shared fully within the organization, such as, for example:
Benchmarking
Concept of Benchmarking taken the new meaning since 1970s. Companies compared the performance CY LY Parameters like cost, profit, sales volume, expenses, etc..Target In a Market driven hyper competitive Globalised economy The process of identifying, understanding, and adapting outstanding practices and process from organisations anywhere in the world to an organisation to improve its performance .Systematic and continuous measurement process
Benchmarking
Systematic method by which organisations can measure themselves against the best in class org in order to achieve the best of the best.
It is the search for the industry best practices that lead to superior performance.
Benchmarking
Reasons to Benchmark: Helps to set new goals and adopts the best practices Helps to develop the strengths and reduce the weakness Benchmarking is time and cost efficient
Types of Benchmarking:
a) Internal b) Competitive to improve the performance to the level of the competitors c) Functional or process or generic benchmarking certain process which are common across the industry Marketing, Finance, Human Resource, R&D, etc
Re-engineering Reverse engineering
Product Benchmarking (Reverse engineering)
Benchmarking process:
a)Identify what function is to be benchmarked, (CSF) ..PROCESS that causing most trouble, factors that are not performing up to the satisfaction level, critical factors that result in customer satisfaction, areas in which more competition, Process or function that would help to achieve Competitive Advantage. b)Identify best-in -class company c) Identify the data that to be collected d) Analyse the data to arrive at the current performance gap
Benchmarking
e) Communicate the benchmark findings to the employees f) Establish functional goals to achieve objectives g) Develop action plan, implement and monitor the progress.
Example: Benefits of Benchmarking:
Company will become competitive Customer requirements can be taken care of Helps in continuous improvement Understanding the best industry practices
Benchmarking
.. Reasons for failure of Benchmarking:
Lack of commitment, wrong selection process, Not being cost effective, wrong selection of team members and not positioning the benchmarking within a larger strategy
Xerox Case analysis
Xerox 914 First plain copier- 1959.New industry During 1960s high growth.selling all it could produce CA.. STRONG PATENT, GROWING MARKET, LITTLE COMPETITION No focus on customer During 1970s IBM, Kodak,,,,several Japanese companies High Q Low Volume copiers ..ignored Federal Trade commission accused xerox ..illegally monopolizing the copier business 1700 patents to competitors 1980 market share fell down by less than 50 per cent Company would not survive
Xerox Case analysis
Rework, scrap, excessive inspection, lost business costing more than 20 per cent of revenue Comparing with competition In 1983 company president David Kearns need for long range planning TeamQ strategy for Xerox
Benchmarked more than 200 process
Customer satisfaction was important
Malcolm Baldrige National Q award
1989David Q is A Race without Finish Line
PHILIP CROSBY.S 14 POINTS ON TQM The steps developed by P.Crosby are similar to that of Deming. These steps were developed as steps for .Zero defects program. and are also referred to as 14 points on TQM. 1. MANAGEMENT COMMITMENT. The quality movement begins with the top management. The top management should be convinced of the need for quality improvement. They should formulate clear policies, communicate them to all employees, and assign duty and responsibility to every employee. 2. QUALITY IMPROVEMENT TEAM. A team of departmental heads is formed to oversee the improvements in their departments as well as in the organization as a whole. 3. QUALITY MEASUREMENT. Improvement measures are to be established suitable to each activity so that improvements are gauged, and areas in need of improvement are identified. 4. COST OF QUALITY. The cost of quality is estimated to identify the areas where the improvements would be profitable.
5. QUALITY AWARENESS. The quality awareness among the employees is to be raised, so that they understand the importance of product conformance and the costs of non-conformance. 6. CORRECTIVE ACTIONS. Corrective actions are incorporated as per step 3 and 4. 7. ZERO DEFECTS PLANNING. The quality council initiates a program towards this objective. 8. SUPERVISOR TRAINING. All levels of management are to be trained towards the implementation of quality improvement program. 9. ZERO DEFECTS DAY. A day may be arranged to propagate the idea of zero defects. 10. GOAL SETTING. Goals are to be set for the individuals and their groups.
ERROR CAUSES REMOVAL. Employees are encouraged to report any problems which prevent them for implementing error-free activity. 12. RECOGNITION. For the outstanding performance or for meeting the quality goals, the employees should be given public and non . financial appreciation. 13. QUALITY COUNCIL. This council consisting of professionals, and department heads should meet regularly to discuss on the problems and means of solution. 14. DO IT ALL OVER AGAIN. Steps 1 to 13 are repeated to continually improve the quality.
Mission Statement The mission statements explain the following: Who we are? Who are our customers? What we do? and How we do it? It provides a clear statement of the aim for the employees, projected customers and suppliers, as well. The mission statement declares exactly where the organization is going. It answers the basic question namely, How does the organization intend to win in the business? In short, the mission statement defines the organization.s leadership and shows their direction.
Quality Policy Statement This provides a direction to all employees in the organization, as how they should provide products and service to the customers. It is drafted by the chief executive, upon the feedback from the employees and finally gets approved by the quality council
CHECK SHEET
DEFINITION
simple organised way of tracking the frequency of a particular occurrence or event over time
. USES time
to gather data to test a theory to evaluate alternate solutions to verify that whatever improvement process you implement continues to work
of tracking the frequency of The Check Sheet STEPS team agrees on what to observe decide who collects data decide time period for collecting data design Check Sheet collect data compile data in the Check Sheet review Check Sheet
is a simple, organized way of tracking the frequency of a particular occurrence or event over time a particular occurrence or event over time. DEFINITION The Check Sheet is a simple, organized way of tracking the frequency of a particular occurrence or event over time. DEFINITION The Check Sheet is a simple, organized way of tracking the frequency of a particular occurrence or event over time.
Verification & Validation
VERIFICATION The process of evaluating a system or component to determine whether the products of a given development phase satisfy the conditions imposed at the start of that phase. VALIDATION The process of evaluating a system or component during or at the end of the development process to determine whether it satisfies specified requirements. VERIFICATION : Are we building the product right ? VALIDATION : Are we building the right product
Auditing .The systematic and independent examination to determine whether activities and related results comply with planned arrangements and whether these arrangements are implemented efficiently and are suitable to achieve objectives.. Audit Objectives Audits highlight those areas where the process: . is being followed correctly and working effectively . is being followed but is not working effectively . is not being followed AUDIT IS NEVER A FAULT FINDING EXERCISE, ITS ALWAYS A FACT FINDING EXERCISE Compliance Audit versus Adequacy Audit
Internal Failure Costs Scrap Rework Retest Failure Analysis Downtime Yield Losses Downgrading
External Failure Costs Complaint Adjustment Returned Product Warranty Charges Liability Costs Indirect Costs
Appraisal Costs Inspection and Testing of incoming material Product Inspection and Testing Materials and services consumed Maintaining accuracy of test equipment
Preventive Costs Quality Planning & Inspection New Products Review Product Process Design Process Control Burn-In Training Quality Data Acquisition & Analysis
The 5 Ss of Japanese efficiency
5S is the acronym for five Japanese words, seiri, seiton, seiso, seiketsu and shitsuke, which signify order, cleanliness, purity and commitment. The 5S philosophy focusses on effective workplace organisation, helps simplify the workplace environment and reduce waste, while improving quality and safety. Seiri (sort) means to put things in order. Seiton (systematise) means proper arrangement. Seiso (clean) implies keeping things clean and polished in the workplace. Seiketsu implies purity and focuses on maintaining cleanliness and perpetual cleaning. Shitsuke is commitment. This is a typical teaching and attitude towards any undertaking to inspire pride and adherence to standards established for the four components. The principles underlying a 5S programme appear to be common sense -- and they are. But until the advent of 5S, many businesses ignored these basic principles. There is an order and logic to how 5S is carried out, which is: 1. Seiri or sorting Seiri means sorting through everything in each work area. It requires keeping only what is necessary. Materials, tools, equipment and supplies that are not frequently used should be moved to a separate, common storage area. Items that are never used should be discarded. This makes it easier to find the things needed and frees up additional space.
"Tagging" items is a common approach when deciding what is to be thrown away. An area is targeted; items likely to be disposed off are tagged with a red tag and a date. If the item is not used after a certain period of time, say, between one and six months, it is disposed of. Practising seiri at Sona Koyo, for instance, led to the freeing up of an 8x6 ft by removing unwanted rakes. 2. Seiton or systematise This is the next step. It requires organising, arranging and identifying everything in a work area for efficient retrieval and return to its proper place. Commonly used tools are readily available; storage areas, cabinets and shelves are properly labelled; floors are cleaned and painted to make it easier to spot dirt, waste materials and dropped parts and tools; spaces are outlined on the floor to identify work areas, movement lanes, storage areas, finished product areas and so on; and shadows are drawn on the tool boards, making it easy to quickly see where each tool belongs.
In an office, bookshelves are provided for frequently-used manuals, books and catalogues. There are two important parts to systematic organisation -- putting everything in its proper place and setting up a system so that it is easy to return each item to its proper place. The second part is where labelling and identification practices are important. 3. Seiso or shining Once everything from each individual work area to the entire facility is sorted and organised, it needs to be kept that way. Regular cleaning and inspection makes it easy to spot lubricant leaks, equipment misalignment, breakage, missing tools and low levels of supplies. When done on a regular, frequent basis, cleaning and inspecting does not take a lot of time and, in the long run, actually saves times.
Seiketsu or standardise Seiketsu ensures that the first three steps of the 5S programme continue to be effective. The good practices developed in the first three steps need to be standardised. Therefore, organisations must develop a work structure that will support the new practices and turn them into habits
Shitsuke or self-discipline This implies continuous training and maintenance of standards. The organisation must build a formal system for monitoring the results of the programme. A follow-up is a must for the above four steps to continue to be practise. There will have to be continuous education about maintaining standards. When there are changes that will affect the 5S programme -- such as new equipment, new products or new work rules -- it is essential to make changes in the standards and provide training.A good way to continue educating employees and maintaining standards is to use 5Sposters and signs
A good way to continue educating employees and maintaining standards is to use 5S posters and signs.
Juran.s 10 Steps for Quality Improvement. The ten steps enunciated by Juran for quality improvement are given as follows: 1. Build awareness of need and opportunities to improve 2. Set goals for improvement. 3. Organize to reach goals. 4. Provide training. 5. Carryout projects to solve problems 6. Report progress 7. Give recognition 8. Communicate results 9. Keep score. 10. Maintain momentum by making annual improvement part of the regular systems and processes of the organization.
CLAUS MOLLER.S Principles Claus Moller has developed the concept of personal quality as the starting point for quality movement and improvement. He believed that .charity begins at home. and the quality efforts begin with the individual. The twelve principles of Claus Moller are listed as follows: 1. Set personal quality goals
2. Establish own personal quality account Check how satisfied others are with your efforts 4. Regard the next link as a valued customer 5. Avoid errors. 6. Perform tasks more effectively. 7. Utilise the resources well (fully) 8. Be committed 9. Learn to finish what you start 10. Control your stress 11. Be ethical 12. Demand quality.
Thus it is found that in all the theories propounded by various quality gurus, the quality management commitment, and through effective employee involvement, results in the customer satisfaction. The means may vary with individuals or teams, but their coherent efforts converge towards the customers. satisfaction, delight and enchantment as well.
Example 2. For an Educational Institution, the internal customers are: Students Administrative staff Menial staff Maintenance staff (Civil, Elect, Water etc.) Faculty members Technical staff Hostel staff Infrastructure staff
(Transport, Communication etc.) For an educational institution, the external customers are: Parents Industries (employers) Affiliating university Government Sponsors of research projects A.I.C.T.E / U.G.C Foreign Universities Public
Five Elements of Quality Customer Focus Teamwork Continuous Improvement Data-Based or Data Enhanced Decision Making Integrated Planning
Data Based or Data Enhanced Decision Making Quality management, planning, and statistical tools assist in creating data. TQM looks at assessment as a means of identifying areas for improvement. The gap between current level and desirable level is measured in order to close the gap, not to blame someone for the existence of the gap.
Integrated planning
Means moving outside library environment and communicating, collaborating, and cooperating with others in entire organization. Look outward, not inward. Examples - implementing TEKS, TAAS, etc.
