Module 1

Modern Quality Management

CustomerDriven Definitions of Quality

1. 2. Conformance to specifications (requirements)- Philip Crosby Quality should be aimed at the needs of the customer, present and future. Fitness for use - Juran The totality of features and characteristics of a product or service that bear on its ability to satisfy stated or implied needs ISO 840:Quality Vocabulary Psychological impression (image, aesthetics)

3. 4.

5.

QUALITY What it stands for?

Q : Quest for excellence U : Understanding customers needs A : Action to achieve customers appreciation L : Leadership determination to be a leader I : Involving all people T : Team spirit to work for a common goal and Y : Yardstick to measure progress

Total Quality management (TQM)

Total Made up of the whole (or) Complete.
Quality Degree of Excellence a product or service provides to the customer in present and future. Management Act , art, or manner of handling , controlling, directing, etc.

TQM is the art of managing the whole to

achieve excellence.
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TQM
TQM requires that the company maintain this quality standard in all aspects of its business. This requires ensuring that things are done right the first time and that defects and waste are eliminated from operations

Evolution of quality Era

Evolution
TQM

TQC &CWQC TQC SQC Inspection Foreman Craftsman

Years
1900 1920 1940 1960 1980 1990 2000 6

Evolution of quality Means & Focus

1975 1980 1985 1990 1995 2000

Productivity Quality Circle Quality of Work life

Quality

Total Quality

TQC/TQM

Employee Involvement

Self Self Directed Directed/Managed Teams Employees Teams Empowerment

Operation

Customers

Innovations7

Kanos Model

New and Old Cultures

Quality Element Definition -Product Priorities -Service &Cost Decisions- Short Emphasis- Detection TQM Customer Quality Long Prevention

New and Old Cultures

ErrorsResponsibilityProblem Solving ProcurementManagers Role Operations QC Managers Price Plan Assign Enforce System Every Body Teams Partners/JIT Delegate Coach

Mentor

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Dimensions of Quality
Durability- Useful life ,include repair. Service-Resolution of problems, ease of repair.

Response- Human relations with Customers.

Aesthetics-Sensory Features. Reputation- Past performance, Company Image.
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Service Quality
Reliability Responsiveness Competence Access Courtesy Communication Credibility Security Understanding Tangibles
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Obstacles
Top management commitment Changing Organization Culture

Improper planning Continuous Training & Education

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Obstacles
Organization Structure & Departments

Datas & Facts For Effective Decisions

Internal & External Customers-Dissatisfaction Empowerment & Teamwork

Continuous Improvement
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Benefits
1.Improved Quality 2.Employee Participation

3.Team Work
4.Internal & External Customer Satisfaction 5.Productivity ,Communication

6.Profitability & Market Share

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Principles of Total Quality

1. Focus on the customer (Both internal & external) 2. Participation and Team work 3. Employee involvement and empowerment 4. Continuous improvement and learning.

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What is Total Quality Management (TQM)?

A philosophy that involves everyone in an organisation in a continual effort to improve quality and achieve customer satisfaction. Six Basic Concepts in TQM Top management commitment and support. Focus on both internal and external customers. Employee involvement and empowerment. Continuous improvement (KAIZEN) Partnership with suppliers Establishing performance measures for processes.
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Scope of TQM
1. A set of management practices 2. A wide variety of tools and techniques 3. Are integrated organizational infrastructure

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Total Quality Management

New Thinking About Quality Old Quality is small q New Quality is Big Q About products About organisations Technical Strategic For inspectors For everyone Led by experts Led by Management High grade The appropriate grade About control About improvement
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Modern Quality Management

W. Edwards Deming (USA) [U.S. statistician & consultant known as father of quality control] Quality Gurus and their Philosophies Demings 14 Points for Quality Management Demings Seven Deadly Diseases and Sins

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Deming Wheel/Deming Cycle/PDCA Cycle

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Demings Triangle (3 Axioms)

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Demings 14 point Methodology

1. 2. 3. 4. 5. 6. 7. 8. Constancy of purpose The new philosophy Cease the dependence of inspection End awarding lowest tender contracts Improve every process Institute training on the job Institute leadership Drive out fear
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Demings 14 point Methodology

9. Break down barriers 10. Eliminate exhortations 11. Eliminate arbitrary numerical targets 12. Permit pride in workmanship 13. Encourage education 14. Commitment

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Demings seven deadly diseases and sins

1. 2. 3. 4. 5. 6. Lack of constancy of purpose Emphasis on short-term profits Over reliance on performance appraisals Mobility of management (Job hopping) Overemphasis on visible figures Excessive medical costs for employee health care 7. Excessive costs of warranty and legal costs
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The Deming Prize

Japanese Government started in 1951 JUSE (Japanese Scientists and Engineers) awards Deming prize to a company or its division based on the distinctive performance improvements achieved by it through the application of Company Wide Quality Control (CWQC)

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Strengths and Weaknesses

Strengths 1.Management comes before technology 2.Leadership and motivation of employees are recognized as important 3. Statistical and Quantitative methods Weaknesses 1. No clear Deming method to achieve total Quality 2. The principles and methods have nothing to say about intervention in situations that are political and coercive in nature.
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Joseph Juran
Defined quality as fitness for use (product performance that results in customer satisfaction, freedom from product deficiencies, which avoids customer dissatisfaction) Top management commitment Costs of quality (COQ) Quality triology 10 steps for quality improvement Universal breakthrough sequence.
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a. b. c. d. e.

Costs of Quality
1. 2. 3. 4. i. ii. iii. Prevention costs Appraisal cost Internal failure costs External failure costs Quality Triology Quality planning Quality control and Quality improvement
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Quality Trilogy

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Quality Trilogy
Quality Planning 1. Identify customers both internal and external 2. Determine the customer needs 3. Develop product features that respond to customer needs 4. Establish quality goals that meet the needs of customers and suppliers( with minimum cost). 5. Develop a process that can produce the needed product features. 6. Prove process capability
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Quality Trilogy
Quality Control 1. Choose control subjects 2. Choose units of measurements 3. Establish measurements 4. Establish standards of performance 5. Measure the actual performance 6. Interpret the difference between actual performance and standard performance 7. Take action on the difference
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Quality Trilogy
Quality Improvement 1. Prove the need for improvement 2. Identify the specific project for improvement 3. Organise for diagnosis for discovery of causes 4. Find the causes 5. Provide remedies 6. Prove that the remedies are effective under operating conditions 7. Provide control mechanism to hold the gains
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Quality Habit
Emphasizes on objective results and the lessons that those results teach Stages : 1. Establish specific goals 2. Establish plans for reaching these goals 3. Assign clear responsibilities for meeting the goals 4. Base rewards on results
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Universal breakthrough sequence

1. 2. 3. 4. 5. 6. 7. Proof of need Proof identification Organising for improvements Diagnostic journey Remedial action Resistance to change Holding onto gains
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10 steps for quality improvement (Jurans formula)

1. Build an awareness of the need and give an opportunity for improvement 2. Set goals for improvement 3. Organise to reach the goals (establish a quality council, identify problems, select projects, appoint teams, designate facilitators) 4. Provide training 5. Carry out projects to solve problems 6. Report progress
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10 steps for quality improvement (Jurans formula)

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 company.

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Philip Crosby
Philip B Crosby (USA): (Management consultant and director of Crosbys Quality College. Wrote a book titled Quality is free of which 1 million copies were sold) Definition- Quality is conformity to requirements, not goodness Quality Philosophies i. Quality is free ii. Zero defects (Performance standard) iii. 6 Cs Comprehension, Commitment, Competence, Correction, Communication, Continuance. iv. Four absolutes of Quality v. 14 steps for quality improvement vi. Quality Vaccine/Crosby Triangle.
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14 steps for Quality Improvement

1. 2. 3. 4. 5. 6. 7. Management commitment Quality improvement team Quality measurement Cost of quality Quality awareness Corrective action Zero defect planning
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14 steps for Quality Improvement

8. Supervisor training 9. Zero defect day 10. Goal setting 11. Error-cause removal 12. Recognition 13. Quality councils 14. Do it over again
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Armand V. Feigenbaum (USA)

a. Concept of TQC (Total Quality Control) b. Quality at the source c. Three steps to quality Quality leadership, Modern quality technology, Organisational Commitment. d. SQC and CWQC (Company-Wide Quality Control)

Kaoru Ishikawa & Genichi Taguchi

Kaoru Ishikawa (Japan) - Japanese Quality Authority
Quality circles Ishikawa diagram for problem solving Quality training Root cause elimination Total employee involvement Customer focus Elimination of inspection C.W.Q.C. Japanese quality strategy.

Genichi Taguchi (Japan)

Quality Engineering Taguchi Methods focus on a statistical method which distinguishes bad parts from the good. Taguchis quality loss function (L = cd ) [L=LossC = Constant d = deviation i.e., x T]

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Genichi Taguchi
Study all factors that can hamper uniformity between products and their long-term stable performance and build in safeguard at the product design stage itself (in other words, robust design).

Shigeo Shingo
Masaki Imai (Management Consultant of Japan) (Continuous improvement) Shigeo Shingo (Japan) Poka Yoke means Fail proofing or Fool-proofing to reduce defects to zero (Handle errors as they occur) JIT, Zero defect, minimizing machine setup time through proper design equipment. Dr. Walter Shewhart (USA) : (Statistician at Bell Laboratories) Statistical Quality Control : (a) SPC control charts (b) Acceptance sampling (with Dodge & Romig)
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Total Quality Management Program

1. 2. 3. 4. 5. 6. 7. 8. Top management commitment and involvement Customer involvement Designing products for quality Designing and controlling production processes Developing supplier partnerships Customer service, distribution, installation Building teams of empowered employees Benchmarking and continuous improvement (Kaizen)
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Process Management
Process management involves design, control and improvement of key business process. 4 category of business processes are: 1. Design processes product design (or service design) and design of production/delivery processes that create and deliver products 2. Process design (conversion processes) 3. Support processes (purchase, stores, quality control, marketing, maintenance, finance etc) 4. Supplier processes/partnering process (vendor development)
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5 W 2 H Approach to Process Improvement

1. 2. 3. 4. 5. 6. 7. What is being done? Why is this necessary? Where is it being done? When is it done? Who is doing it? How is it being done? How much does it cost now?
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Process Improvement Methods

1. Work simplification 2. Planned methods change Kaizen enhances quality through: 1. Improvement in supplier relations 2. New product planning and development 3. Improvement in employee safety 4. Reduction in cost 5. Meeting delivery schedules 6. Employer skill development
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Activities Falling Under Kaizen Umbrella

1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. Customer orientation Total quality control Robotics Advanced technology (NC, CNC machines) Quality circles Automation Automation Discipline in workforce Discipline in workforce Total productive maintenance Kanban (JIT) Quality improvement Zero defect program Quality improvement teams Co-operation (labour management relation) New product development Productivity improvement
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Benchmarking
Bench marking : Measuring a companys performance against that of best-in-class companies, determining how the best-in-class achieve those performance levels and using the information as a basis for the companys targets, strategies and implementation. 3 Types of Benchmarking Performance benchmarking Process benchmarking Strategic benchmarking
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Business Process Reengineering (BPR)

Business Process Reengineering: The fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical contemporary measures of performance such as cost, quality, service and speed.

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Kaizen Movement or Japanese 5 S Approach

1. 2. Seiri Straighten-up Avoid unnecessary materials, tools, machinery, documents etc. Seiton putting things in order Everything should be in its place and there should be place for everything (good house keeping) Seiso clean-up Every individual should clean-up his work place everyday after the work. Seiketsu (Personal cleanliness) Healthy body healthy mind. Shitsuke (discipline) Every worker & manager has to follow rules and procedures in the work place.
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3.
4. 5.

3 MUs Check List (of Kaizen)

1. Muda (Waste) 2. Muri (Strain) 3. Mura (Discrepancy)

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Quality Circles (QC)

Quality circle: A small group of employees who meet regularly to undertake work-related projects designed to improve working conditions, have mutual self-development and to advance the company, all by using quality control concepts.

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Quality Management systems

1. ISO 9000 series of standards 2. QS 9000 3. ISO 14000

QS 9000
Chrysler, Ford and General Motors developed in 1994 for their quality expectations from the suppliers of production and service parts and developing materials. QS uses ISO 9001 as its foundation, but its requirements are much broader.

QS 9000
1.Common requirements, which include the exact test of ISO 9001 and the addition of automotive/heavy trucking requirements 2. Additional requirements covering production part approval process, continuous improvement and manufacturing capabilities 3.Customer-specific requirements unique to chrysler, Ford and General Motors.

ISO 14000
1. Protect, human health and environment from the potential impacts of their activities, products and services 2. Assist in maintaining and improving the quality of the environment 3. Meet customers environmental expectations 4. Maintain good public and community relations

ISO 14000
5. Satisfy investor criteria and improve access to capital 6. Provide insurance at a reasonable cost 7. Gain an enhanced image and market share 8. Satisfy vendor certification criteria 9. Improve cost control 10. Limit liabilities

ISO 14000
11. Provide resource conservation 12. Provide effective technology development and transfer 13. Provide confidence to interested parties (and share holders) that a. Policies, objectives and targets are met b. Emphasis is on prevention first c. Reasonable care and regulatory compliance regularly occur d. System design includes continual improvement

Quality Certification
Quality Systems

A quality system is defined as "The collective plans, activities and events that are provided to ensure that a product, process or service will satisfy given needs".

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ISO 9000
ISO 9000: A set of international standards on quality management and quality assurance, critical to international business ISO 14000: A set of international standards for assessing a companys environmental performance

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ISO 9001 : 2000

The Indian standard (second revision) which is identical with ISO 9001 : 2000 "Quality Management Systems Requirements" issued by International organisation for Standardisation (ISO) was adopted by the Bureau of Indian Standards (BIS) on the recommendation of the Quality Management Sectional Committee and approval of the Management and Systems Division Council
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Process Approach
ISO 9001 : 2000 promotes the adoption of a process approach when developing, implementing and improving the effectiveness of a quality management system, to enhance customer satisfaction by meeting customer requirements.

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