Quality Management: An Introduction PDF

QUALITY MANAGEMENT: AN INTRODUCTIO N QUALITY CON C E Pis What T Squality? Dictionary has many definitions: “ Essential characteristic,” “ Superior,” etc. Some definitions that are accepted in various organizations: Quality is customer satisfaction. Quality...

QUALITY MANAGEMENT: AN INTRODUCTIO N QUALITY CON C E Pis What T Squality? Dictionary has many definitions: “ Essential characteristic,” “ Superior,” etc. Some definitions that are accepted in various organizations: Quality is customer satisfaction. Quality is Fitness for Use. QUALITY C O N C E P T S What is TQM? A comprehensive, organization-wide effort to improve the quality of products and services, applicable to all organizations.  QUALITY CONCEPT Anyone who is impacted by the product or process S What is a customer? delivered by an organization. Other divisions of the company that receive the processed product. The end user as well as intermediate processors. Other external customers may not be purchasers but may have some connection with the product.  What is a product? The output of the process carried out by the organization. It may be goods (e.g. automobiles, missile), software (e.g. a computer code, a report) or service (e.g. banking, insurance) How is customer satisfaction achieved? Two dimensions: Product features and Freedom from deficiencies.  Refers to quality of design Examples in manufacturing industry: Performance, Reliability, Durability, Ease of use, Esthetics etc. Examples in service industry: Accuracy, Timeliness, Friendliness and courtesy, Knowledge of server etc.  Refers to quality of conformance Higher conformance means fewer complaints and increased customer satisfaction. (This is related to free from defects.) Reasons for quality becoming a cardinal priority for most organizations: Competition Changing customer Today’s market demand high quality The new customer is not only products at low cost. Having `high commanding priority based on volume quality’ reputation is not enough! but is more demanding about the Internal cost of maintaining the “quality system.” reputation should be less. Product Complexity Changing product mix As systems have become more The shift low volume, high price to high complex, the reliability requirements volume, low price have resulted in a need for suppliers of components have to reduce the internal cost of poor become more stringent. quality. Reasons for quality becoming a cardinal priority for most organizations: Higher level of customer satisfaction Higher customers expectations are getting spawned by increasing competition. Relatively simpler approaches to quality viz, product inspection for quality control and incorporation of internal cost of poor quality into the selling price, might not work for today’s complex market environment. Quality Pe r Everyone s p e c definest i v e Quality s based on their own perspective of it. Typical responses about the definition of quality would include: 1.Perfection 2.Consistency 3.Eliminating waste 4.Speed of delivery 5.Compliance with policies and procedures 6.Doing it right the first time 7.Delighting or pleasing customers 8.Total customer satisfaction and service  QUALITY LEVEL At organization level, we need to ask following questions: Which products and services meet your expectations? Which products and services you need that you are not currently receiving? At process level, we need to ask: What products and services are most important to the external customer? What processes produce those products and services? What are the key inputs to those processes? Which processes have most significant eff ects on the organization's performance standards?  Additional Views of Quality in Services Technical Quality versus Functional Quality Technical Quality - the core element of good or service. Functional Quality - customer perception of how the good functions or the service is delivered. Expectations and Perception - Customers prior expectations (generalized perception of and specifi service c serviceaff performance experiences) and their ect their satisfaction with a service. Satisfaction = (Perception of performance) - (Expectation)  The Quality Quality Gurus Gurus - Individuals who have been identifi ed as making a signifi cant contribution to improving the quality of go o ds and services. Walter A. Shewhart W. Edwards Deming Joseph M. Juran Armand Feigenbaum Philip Crusby Genichi Taguchi Kaoru Ishikawa  The Gurus Compared Crosby Deming Juran Conformance A predictable degree of uniformity and Definition of Quality to Fitness for use dependability at low cost and suited to the specifications market Degree of senior Responsible Less than 20% of quality Responsible for 85% of quality problems management for quality problems are due to responsibility workers Quality has many "scales": use statistics to Performance Avoid campaigns to do Zero defects measure performance in all areas; critical of standard/motivation perfect work zero defects General management Prevention, not Reduce variability by continuous General approach approach to quality, especially infection improvement; cease mass human elements inspection 14 steps to 10 steps to Structure quality 14 points for management quality improvement improvement Source: Modifi ed from John S. Oakland, Total Quality Management (London: Heinemann Professional Publishing Ltd., 1889), pp.291-92  The Gurus Compared (contd.) Crosby Deming Juran Statistical methods of Statistical Process Control Rejects statistically Recommends SPC but warns that quality control must (SPC) acceptable levels of it can lead to tool-driven be used quality approach Continuous to reduce A process, not a program; Project-by-project team approach; Improvement basis varition; eliminate goals improvement goals set goals without methods Employee participation Quality improvement in decision making; Teamwork Team and quality circle approach teams; quality break down barriers council between departments Cost of nonconformance; No optimum; Quality is not free; there is Cost of quality quality is free continuous an optimum improvement Source: Modifi ed from John S. Oakland, Total Quality Management (London: Heinemann Professional Publishing Ltd., 1889), pp.291-92  The G u r u s C o m p a r e d (contd.) Crosby Deming Juran Inspection too late; allows State requirements; supplier defects to enter system Purchasing and goods is extension of business; Problems are complex; carry through ALQs; statistical received most faults due to out formal surveys evidence and control purchasers themselves charts required Yes and buyers' No, critical of Yes, but help Vendor rating quality audits most supplier useless systems improve No, can neglect to Single sourcing of supply Yes sharpen competitive edge Source: Modified from John S. Oakland, Total Quality Management (London: Heinemann Professional Publishing Ltd., 1889), pp.291- 92 THANK YO U [email protected] https://www.facebook.com/yeyenx/