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TOTAL QUALITY MANAGEMENT

Quality Quality can be confusing concept, partly because people view quality subjectively and relation to differing criteria base on individual roles
in production marketing value chain

Quality Defines

1. Perfection
2. Consistency
3. Eliminating waste
4. Speed of Delivery
5. Compliance with policies and procedures
6. Providing a good, usable product
7. Doing it right the first time
8. Delighting or pleasing customers
9. Total customer service and Satisfaction

Six Different Perspectives of QUALITY

1. Transcendent- The view is referred to as the transcendent (transcend, “ to rise above or extend notably beyond ordinary limits”), or
judgemental , definition of quality.
2. Product-The definition of quality is that it is related to quantity of some product attribute, such as the thread count of the shirt or bed
sheet, or the number of different features in an automobile or cellphone.
3. Value-A fourth approach to defining quality is based on value; that is, the relationship of product benefits to price.
4. User-Individuals have different wants and needs, hence different expectations of a product. This lead to a user based definition of quality-
fitness for extended use, or how well the product performs its intended functions.
 5. Manufacturing-Consumers and Organization want consistency in goods and services. Quality define in conformance to specifications.
Specification are targets and tolerance determined by designer of goods and services
6. Satisfaction or customer- Quality define as the totality of features and characteristics of a product or services that bears on its ability to
satify given needs.

Integrating Quality Perspectives in the Value Chain The quality perspectives at different points in the value chain are important to ultimately
create and deliver goods and services

The customers is the driving force for the production of goods and services, and customers generally view quality from either the transcendent or
the product perspective.

Quality Perspective in the Value Chain

HISTORY OF QUALITY MANAGEMENT

● The Age of Craftmanship

● The Early Twentieth Century
● Post World War II
● The U. “Quality Revolution”
● Rapid Growth of Quality in Business
● From Product Quality to Total Quality Management

Early Management Failures

● Poor Strategies
● Flawed Organizational approaches
● Flawed Management System

Performance Excellence
 ● Role of leadership
● Strategic plans
● How data and information's use in decision making
● Improved environmental conditions
● From the perspective , the product focused notion of quality evolved into a new concept called Performance excellence- define as an
integrated approach to organizational management

Emergence of Six Sigma -New approached of quality improvement during 1990’s

-customer focused, result oriented approach

-integrate many traditional quality improvement which are validated and tested over the years.

Globalization of Quality -due to high competition around the world. The global marketplace, domestic and even international organization realized
that, in order to survive in the competition they need to defend on high quality.

● Many countries have mounted efforts to increased quality awareness, including conferences, seminars, radio show, school essay
contest, pamphlet distribution , publications & etc.

Current and Future Challenges The challenge today is to ensure the managers continue to focus on quality management performance
excellence through their organization. A former Xerox president David Kearns observed , Quality is a race without a finish line.

In 2011, The American Society for Quality identified eight key forces that will influence the future of Quality

1. Global Responsibility
2. Consumer Awareness
3. Globalization
4. Increasing rate of change
5. Workforce of the Future
 6. Aging Population
7. Twenty First Century Quality
8. Innovation

QUALITY IN MANUFACTURING

Manufacturing System -Marketing and Sales -Product Design and Engineering -Purchasing and Receiving -Production Planning and Scheduling
-Manufacturing and Assembly -Tool Engineering -Industrial Engineering and Process Design -Finish Goods Inspections and Testing -Packaging,
Shipping, and Warehousing

QUALITY IN SERVICE ORGANIZATION

-Non-Manufacturing organization such as Hotels, Restaurants, Financial and Legal Services and Transportation.

-Today more than 80 percent of the nonfarm in US are working in Service Industry

-In Service Industry were probably 10 years behind manufacturing in implementing quality approach.

-High Turn Over rate due to it pays less compared to manufacturing jobs. -Delivers Intangible products

Contrast with Manufacturing

1. Customer needs and performance standards are often difficult to identify and measure, primarily because the customers define what they
are, and each customer is different.
2. The production of services typically requires a higher degree of customization does manufacturing. Doctors, lawyers, insurance
salespeople, and food service employees must tailor their services to individual customers. In manufacturing, the goal is uniformity.
3. The output of many service systems is intangible, whereas manufacturing produces tangible, visible products.
 4. Services are produced and consumed simultaneously, whereas manufactured goods are produced prior to consumption. In addition,
many services must be performed at the convenience of the customer.
5. Customers often are involved in the service process and are present while being performed, whereas manufacturing is performed away
from the customer
6. Services are generally labor intensive, whereas manufacturing is more capital intensive. The quality of human interaction is a vital factor
for services that involved human contact.
7. Many service organizations must handle large numbers of customer interactions.

Components of Service Quality