ASSIGNMENT

PROGRAM MASTER OF BUSINESS ADMINISTRATION (MBA)

SEMESTER 5
COURSE CODE & NAME DOMS402, TOTAL QUALITY MANAGEMENT

Assignments Set-1.1
Six Sigma is a business methodology for quality improvement that measures how many defects
there are in a current process and seeks to systematically eliminate them. the Greek letter sigma is
used to denote a standard deviation from the mean. In the 1920s, statistical process control pioneer
Walter Shewhart proposed that in lean manufacturing, three sigma from the mean is the tipping
point that indicates there are too many defects and process improvement is required. This was the
accepted norm for many years until Bill Smith proposed gathering and analyzing data at a more
granular level and making six sigma the point at which a process must be corrected. Because it is
almost impossible to achieve zero defects -- a concept known as infinity sigma -- six sigma allows
for 3.4 defects per million opportunities for a defect to occur. In contrast, three sigma allows for
66,807 defects per million opportunities. Once the necessary data has been gathered, a company
that is implementing Six Sigma methodologies uses statistics to create a baseline sigma. The
baseline illustrates how close -- or how far -- the company is from achieving six sigma and serves as
a measuring stick for assessing future improvement.
The importance of Six Sigma: Six Sigma proponents claim its business strategy benefits include up
to 50% process cost reduction, cycle-time improvement, less waste of materials, a better
understanding of customer requirements, increased customer satisfaction and value stream, and
more reliable products and services. Motorola holds the federal trademark for Six Sigma, and it is
generally acknowledged that Six Sigma can be costly to implement and can take several years
before a company begins to see bottom-line results.
The key sigma principles are the following:
 Customer focus
 Use data
 Improve continuously
 Involve people
 Be thorough
Six Sigma methodologies: The above principles can be applied with one of two improvement
methodologies: Six Sigma DMAIC and Six Sigma DMADV. Each term's name is derived from the
major steps in its process, but each has its own use.
DMAIC (define, measure, analyze, improve, control) is used to correct a process that already exists.
DMADV (define, measure, analyze, design, validate) is used to create a new process.
Here is a step-by-step breakdown of Six Sigma DMAIC:
Define: Identify the project goals and all customer deliverables.
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Measure: Understand current performance.
Analyze: Determine root causes of any defects.
Improve: Establish ways to eliminate defects and correct the process.
Control: Manage future process performance.
Once management understands the potential behind Six Sigma, the following eight steps can help to
implement a sigma project and ensure a clean rollout.
Step 1: Motivate stakeholders by highlighting quality losses.
Step 2: Implement project management and obtain the necessary resources.
Step 3: Educate team members on the Six Sigma management method.
Step 4: Create a Quality control chart and identify priorities.
Step 5: Assign ownership for all team members involved.
Step 6: Ensure measurement of the right metrics and indicators.
Step 7: Perform a root cause analysis to understand the defect.
Step 8: Govern the program to ensure proper implementation and continuous improvement.

Assessment Set- 1.2

A Quality Management System (QMS) enables teams to better deliver on their commitment to
continual product development for the benefit of their customers. A Quality Management System
(QMS) is a framework for product and service development that focuses on continual quality
improvement. The method starts with clear documentation of each team's roles and procedures, then
adds a collaborative way for individuals to deliver on their core competencies—all while regularly
reviewing the process for quality. Ignoring errors does nothing to prevent them from happening
again. It also damages organisational culture by educating employees that quality is unimportant.
Ignoring minor concerns increases the likelihood of failures in core management areas. Accepting
failures also prevent an organisation from imposing quality standards on component vendors and
other suppliers.
A quality management system (QMS) provides an organisation with the tools it needs to address
issues such as:

 Constant changes in customer needs, supplier components, or product outputs throw

communications and planning into disarray.
 A lack of risk knowledge degrades quality, management, and planning.
 Customer usage data, comments, and required modifications are lost, making it impossible for
development to include them in roadmaps and planning.
 Rework grows if changes are discovered late in the manufacturing process.
 Errors are caused by human data entry when modifications are made late in the development
cycle.

The importance of a quality management system is that while change is inevitable, the impact
of change is not. Failures are seen as chances for progress in a QMS framework. The first
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step in change management oversight is to document practices across functional areas.
Organizations that respond to change on a regular basis can increase quality control over
time. ISO 9001, the International Organization for Standardization's international
specification for quality management systems, starts with international standard
documentation so that operational teams can compare expectations to quality objectives and
requirements and continuously evaluate them for improvements. In most organizations,
mistakes and errors are a sign of a larger process issue. The QMS and ISO standards refocus
a team on quality by implementing a technique that can be measured. Implementing any 'new'
management system is difficult in that it requires change for the business, processes and the
people in it.

The basic and overarching structure to implementing any quality management system are:

Design and build - During this phase, quality teams or personnel and management come
together to structure the processes and plans for the management system.
Deploy - Once everything has been planned out,
Control and measure - Controlling and measuring involve internal and external audits as well
as other inspections and check-ups on normal operations
Review and improve - Reviewing and improving involve taking the result of audits and
insights derived from tracking tools to understand how you are performing and make
improvements. Then the whole cycle starts again.

Quality doesn't improve by itself; it requires conscious effort and analyses, and improving
your quality management system is one of the best investments you can make in delivering
quality products and services and quality outcomes for your organization. The requirements
of any type of quality management system. No matter what industry you operate in or what
quality standard to achieve, there are some key elements and components of every quality
management system which you need to have covered:

 The organization’s quality policy and quality objectives

 A quality manual

 Quality procedures and instructions

 Quality data management

 Internal quality processes

 Improvement opportunities

 Quality testing and analysis

Each of these elements combine to create a comprehensive quality management system

which a company can design, update and maintain to improve quality over time.

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Other companies have look towards more modern types of quality management systems,
where all of the above pieces are stitched together in an efficient digital format which enables
companies to more easily meet and maintain those important accreditations.

The 'modules' which are usually included in these software-based types of quality
management include:

Document control - all of those quality documents, policies and procedures and forms which
get used and moved every day in order to document, organize and track what's actually being
delivered on a project or period basis

Equipment and asset management - For most companies, equipment and assets are tightly
connected to quality in that assets and equipment play a critical role in producing or moving
goods and service to customer. If assembly lines and pieces of heavy machinery are breaking
down, then it's hard to deliver quality goods and services.

CAPA management - Some companies and industries have separate systems for managing
corrective and preventative actions, but it's ideal when they live together. Tracking and
implementing corrective and preventative actions is critical to continuous quality
improvement.

Internal audits - Quality and safety are two of the areas of a business which are constantly
under scrutiny and can be audited at any point in time. A good quality assurance audit app
will maintain version control and audit trails of all documents and interactions so that
auditors can see exactly what has happened, and how processes and actions are implemented
daily.

Integrated dashboards and analytics - Tracking quality can be incredibly difficult, but many
quality systems make it possible and relatively easy by bringing all quality data together in
one place. Unlike paper-based management system where data is unstandardized and difficult
to reconcile, these systems automatically aggregate and compile all the data in such a way
that it can be easily displayed to track and predict quality over time.

Assessment Set-1.3

Quality Improvement (QI) is an ongoing and ever-evolving process that requires constant
monitoring, evaluation, and adjustment. It also necessitates a shift in the culture, behavior,
and mindset of the organization and its stakeholders, which can be a difficult and risky
endeavor. Common challenges and risks of QI implementation include resistance to change
from employees, managers, or customers who may be hesitant to accept new methods,
standards, or expectations, or who may fear losing their autonomy, status, or comfort.
Additionally, there may be a lack of leadership and support from senior management or other
key decision-makers who may not fully comprehend, endorse, or communicate the vision,
goals, and benefits of QI, or who may not provide sufficient resources, time, or incentives for
QI initiatives. Furthermore, there may be a lack of skills and knowledge from staff or external
partners who may not have the necessary expertise, training, or tools to implement QI
methods, techniques, or tools, or who may not have access to reliable and relevant data,
information, or feedback. Lastly, there may be a lack of alignment and integration between
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different departments, units, or functions who may have conflicting or competing priorities,
objectives, or processes, or who may not coordinate or cooperate effectively with each other
or with external stakeholders.

To effectively manage the risks and challenges associated with Quality Improvement (QI)
implementation, and to maximize its benefits, organizations should adhere to best practices.
This includes establishing a shared vision, mission, and strategy for QI that is in line with the
organization's overall goals, values, and culture, and communicating the purpose, benefits,
and expectations of QI to all stakeholders. Additionally, it is important to engage and
empower people by involving and consulting employees, managers, customers, and other
stakeholders in the QI process, providing them with the necessary training, tools, and
feedback, and recognizing and rewarding their contributions and achievements. Furthermore,
organizations should adopt a systematic and data-driven approach, utilizing proven QI
methods, techniques, and tools such as Plan-Do-Check-Act (PDCA), Six Sigma, Lean, or
Total Quality Management (TQM), and collecting, analyzing, and using relevant and reliable
data, information, and feedback to measure, monitor, and improve performance and
outcomes. Finally, organizations should foster a culture of continuous improvement,
encouraging and supporting innovation, experimentation, learning, and adaptation, and
creating a positive and supportive environment that values quality, excellence, and customer
satisfaction.

Firstly, SMART goals should be Specific, clearly defining what needs to be accomplished.
Instead of setting a vague goal like "improve patient satisfaction," a specific goal might be to
"reduce patient wait times in the emergency department by 20% within six months." A
specific goal is likely to be achieved as staff are aware of what exactly the team is working
towards.
Secondly, goals should be Measurable, allowing progress to be tracked and evaluated
objectively. This involves identifying specific metrics or indicators that will be used to assess
performance. For example, measurable indicators for the goal mentioned above might include
average wait times, patient throughput rates, and patient satisfaction survey scores. A
measurable goal is one that has a numeric figure to it as this ensures we can appreciate the
change we have made in comparison to where we began.
Thirdly, goals should be Achievable, taking into account the resources, expertise, and
constraints of the organization. Setting overly ambitious goals that are unrealistic or
unattainable can lead to frustration and disengagement among staff. It's important to set goals
that stretch the organization but are still within reach given available resources and
capabilities. Goals that are too easy might also waste resources as staff might be uninspired
by the need for change as the goal is not much different from where things are in the
organization.

Also, goals should be Relevant, aligning with the broader mission, vision, and priorities of
the organization. Quality improvement initiatives should address areas that are of strategic
importance and have the potential to make a significant impact on patient outcomes or
organizational performance. Understanding how the improvement actions aligns with
organizational goals allows for buy-in from senior executives to remove blockers on the
project.

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Finally, goals should be Time-bound, setting a date to evaluate success with clearly defined
deadlines or milestones for achievement. This helps create a sense of urgency and
accountability, motivating teams to stay focused and work towards achieving results within a
specified timeframe.

Assessment Set-2.4

Methods of Collecting Primary Data: Collecting primary data involves gathering information
directly from the source. There are several methods for collecting primary data, each with its
own advantages and limitations.
Surveys: Surveys involve asking individuals or groups to respond to a set of questions. They
can be conducted through interviews, questionnaires, or online forms.
Interviews: This can be structured (with predetermined questions) or unstructured (more
conversational). They can be conducted in person, over the phone, or via video conferencing.

Observation: This method involves watching and recording behaviors, events, or activities. It
can be done in a natural setting or in a controlled environment.

Experiments: Experiments involve manipulating variables to observe the effects and are often
used in scientific research.

Focus Groups: In this method, a small group of individuals is brought together to discuss a
topic of interest, allowing for in-depth exploration of attitudes and perceptions.

Case Studies: Case studies involve in-depth analysis of a single individual, group, or event.
They are often used in psychology, sociology, and anthropology.

Ethnography: Ethnography involves immersing the researcher in the culture or community

being studied to gain a deep understanding of social phenomena. Each method has its own
strengths and weaknesses, and the choice of method depends on the research question,
resources, and the nature of the data being collected.

Preparation and steps Involved in Quality Audits:

 Define the audit scope, objectives, and criteria.

 Select an audit team and appoint an audit lead.

 Notify the auditee and schedule the audit.

Document Review: Examine relevant documents, procedures, and records to understand the
organization's quality management system.

On-Site Audit:
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  Conduct interviews with personnel to gather information.

 Verify processes and practices against established criteria.

 Identify non-conformities and areas for improvement.

Reporting: Document findings, including non-conformities and observations.

Share the report with the auditee for feedback and verification.

Follow-Up:

 Monitor the implementation of corrective actions for identified non-conformities.

 Verify the effectiveness of corrective actions through follow-up audits if necessary.

Closure:

 Finalize the audit report and obtain approval from relevant stakeholders.

 Communicate the audit results to the organization's management.

Continuous Improvement:

 Use audit findings to drive improvements in the quality management system.

Quality audits help organizations ensure compliance with standards, identify areas for
improvement, and enhance overall quality performance.

Assessment Set-2.5

Benchmarking is the process of measuring key business metrics and practices and comparing
them—within business areas or against a competitor, industry peers, or other companies
around the world—to understand how and where the organization needs to change in order to
improve performance. Benchmarking is the process of measuring products, services, and
processes against those of organizations known to be leaders in one or more aspects of their
operations. Businesses are expected to deliver good quality products and services which are
not only defect free, but also which are being manufactured or developed more efficiently
(more cost effective and faster) than before. Hence there is a constant need for continuous
improvement of overall performance within an organization.

There is always a need to improve previous performance metrics of one’s own organization,
or a competitor’s performance or that of the whole industry. We can achieve this continuous
improvement in performance through the process named “Benchmarking”. Benchmarking is
a way of discovering what is the best performance being achieved so far and use that as the
starting reference for raising the performance targets for future. This information can then be
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 used to identify gaps in an organization’s processes and improving them in order to achieve a
competitive advantage.Benchmarking is one of the most fundamental tools and techniques of
modern quality management, which revolves around customer satisfaction, standard
processes and continuous process improvement.

Organizations use benchmarking technique for the following objectives.

 To improve its performance.

 To understand relative cost position and to identify opportunities for improvement

 To gain strategic advantage by focusing on capabilities critical to building strategic

advantage

 To increase the rate of organizational learning since the benchmarking exercise brings
new ideas and facilitates experience sharing

There are three broad classifications of benchmarking namely:

 Internal benchmarking (Improving against own previous standards of performance)

 Competitive Benchmarking (Comparing and raising the performance bar in comparison to

competition)

 Strategic Benchmarking (Comparing world class performance and setting that as the
reference for raising future performance parameters)

Benchmarking involves the following five phases:

1. Planning: It is imperative that the organization does adequate planning before embarking
into the process. It includes planning the following:

 Identify the activities that need to be benchmarked prior to engaging in benchmarking.

 Identify the techniques to be used for data collection from a range of research techniques
available such as informal conversations with customers, employees or suppliers,
exploratory research techniques, re-engineering analysis, process mapping, quality control
variance reports, financial ratio analysis, or simply reviewing cycle times or other
performance indicators.

 Identify and baseline the benchmark performance, a point against which improvement effort
can be measured.

2. Collection of information: Information needs to be collected which include the primary

data and secondary data. Primary data refers to collection of data directly from the
benchmarked organization/organizations itself, while secondary data refers to information

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generated from the media, publications or internet. Data can be collected suitable techniques
as planned.

3. Analysis of data: All collected data is analyzed to understand the gaps in actual and
expected performance. The root causes of all such gaps are analyzed and ascertained for
finding appropriate solutions for the root causes.

4. Implementation: Actual solutions steps are designed for each root cause of the gaps. And
such actions and solutions are being implemented for achieving the improvement in expected
performance. This will involve actual changes incorporated into the benchmarked activities
and processes so that the gaps are not only narrowed down but are also eliminated leading to
the expected performance target achievement.

5. Monitoring: A regular and systematic evaluation of progress made, and improvements

achieved in the key performance indicators from the above implementation has to be carried
out through the benchmarking process. If required, there will be a need to adjust the overall
benchmarking strategy of planning, data collection and implementation of new changes in the
benchmarked activities until expected improvements are achieved.

Assessment Set-2.6

As with most management methods and techniques, implementation and success will vary
from one company to another. While there is not a single agreed upon approach, the most
common TQM definition includes the following eight principles.

1. Customer focus: The first of the Total Quality Management principles puts the focus back
on the people buying your product or service. Your customers determine the quality of your
product. If your product fulfills a need and lasts as long or longer than expected, customers
know that they have spent their money on a quality product. When you understand what your
customer wants or needs, you have a better chance of figuring out how to get the right
materials, people, and processes in place to meet and exceed their expectations.

To implement this TQM principle:

 Research and understand your customers’ needs and expectations.

 Align your organization’s objectives with customer needs.

 Communicate with customers, measure satisfaction, and use the results to find ways to
improve processes.

 Manage customer relationships.

 Find a balance for satisfying customers and other interested parties (such as owners,
employees, suppliers, and investors).

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2. Total employee commitment: You can’t increase productivity, processes, or sales without
the total commitment of all employees. They need to understand the vision and goals that
have been communicated. They must be sufficiently trained and given the proper resources to
complete tasks to be committed to reaching goals on time.

To implement this TQM principle:

 Clearly communicate and acknowledge the importance of each individual contribution to

the completed product.

 Stress that each team or individual accepts ownership and give them the responsibility
and opportunity to solve problems when they arise.

 Encourage employees to self-evaluate performance against personal goals and objectives

and make modifications as necessary to improve workflow.

 Acknowledge successes and optimized performance to build confidence in your

employees and your stakeholders.

 Make responsibilities clear, provide adequate training, and make sure your resources are
used as efficiently as possible.

 Encourage people to continually seek opportunities to learn and move into other roles to
increase their knowledge, competence, and experience.

 Create an environment where employees can openly discuss problems and suggest ways
to solve them.

3. Process approach: Adhering to processes is critical in quality management. Processes

ensure that the proper steps are taken at the right time to ensure consistency and speed up
production.

To implement this TQM principle:

 Use Total Quality Management tools such as process flowcharts to define and delineate
clear roles and responsibilities so everybody knows who does what at certain times.

 Create a visual action plan so everybody can easily see the specific activities that need to
be completed to achieve the desired result.

 Analyze and measure current activities to see where improvements can be made or where
steps in the process are creating bottlenecks.

 Evaluate the impact your processes and activities may have on your customers, suppliers,
and all stakeholders.

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4. Integrated system: Typically, a business has many different departments, each with their
own specific functions and purposes. These departments and functions should be
interconnected with horizontal processes that should be the focus of Total Quality
Management. But sometimes these departments and functions operate in isolated silos.

To implement this TQM principle:

 Promote a work culture focused on quality.

 Use flowcharts and other visual aids to help employees understand how their functions fit
in with the rest of the company.

 Use as-is process analysis to see where improvements can be made.

 Make training available for employees who need to learn new processes and who want to
explore opportunities for advancement.

5. Strategic and systematic approach: Multiple processes within a development or production

cycle are managed as a system of processes to increase efficiency.

To implement this TQM principle:

 Provide your people with the proper training and resources that will help them complete
their individual steps in the process.

 Continually improve processes and products, and upgrade equipment as necessary to

reach goals.

 Make continual improvement a measurable objective for all employees.

 Recognize, acknowledge, and reward innovations and process improvements.

6. Continual improvement: Optimal efficiency and complete customer satisfaction doesn’t

happen in a day—your business should continually find ways to improve processes and adapt
your products and services as customer needs shift. As previously stated, the other Total
Quality Management principles should help your business keep an eye toward continual
improvement.

To implement this TQM principle:

 Implement policies to establish product, process, and system improvements as measurable

goals for individuals, teams, and departments.

 Recognize, acknowledge, and encourage innovation to improve processes and

development.
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 Encourage employees to participate in available training sessions to learn and take on
new and additional roles.

7. Fact-based decision-making: Analysis and data gathering lead to better decisions based on
the available information. Making informed decisions leads to a better understanding of
customers and your market.

To implement this TQM principle:

 Analyze and check data to ensure that it is reliable and accurate.

 Make relevant data available to stakeholders.

 Use valid methods to gather and analyze data.

 Make decisions based on the facts learned from the data in addition to your experience
and intuition.

8. Communications: Everybody in your organization needs to be aware of plans, strategies,

and methods that will be used to achieve goals. There is a greater risk of failure if you don’t
have a good communication plan.

To implement this TQM principle:

 Establish an official line of communication so that all employees know about updates,
policy changes, and new processes.

 Where possible, involve employees in decision-making.

 Make sure everybody in every department understands their roles and how they fit in with
the rest of the company.

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