Lecture 3 & 4.pptsdsdfsadfafafsdsdsdfsadfafafsdsdsdfsadfafafsd

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1. Page  1
Lecture 1
Introduction to TQM

2. Page  2
IntroductionIntroduction
Definition of qualityDefinition of quality
Five Approaches of Defining QualityFive Approaches of Defining Quality
Who determines quality?Who determines quality?
Quality Management SystemQuality Management System
What is Total Quality Management (TQM)What is Total Quality Management (TQM)
History of quality managementHistory of quality management
Customer & Customer SatisfactionCustomer & Customer Satisfaction
The Deming 14 Point PhilosophyThe Deming 14 Point Philosophy
Benefits of TQMBenefits of TQM
Obstacles of TQMObstacles of TQM
TODAY’S AGENDATODAY’S AGENDA

3. Page  3
Why Quality?
Reasons why quality is a cardinal priority
for most organizations.
Competition
Changing customer-the new customer is not
only commanding priority based on volume
but is more demanding about the “quality
system”
Changing product mix – the shift from low
volume high price to high volume, low price
resulted in a need to reduce the internal cost
of poor quality.

4. Page  4
Product complexity- as systems have
become more complex the reliability
requirments for suppliers of components have
bome more stringent
Higher level of customer satisfaction- higher
customer expectations are getting spawned by
increasing competition.

5. Page  5
Six Basic Concepts of TQM
1. A committed and involved management to provide long-
term top-to-bottom organizational support.
2. An unwavering focus on the customer, both internally and
externally.
3. Effective involvement and utilization of the entire work
force.
4. Continuous improvement of the business and production
process.
5. Treating suppliers as partners.
6. Establish performance measures for the processes.

6. Page  6
Elements of Total Quality
Obsession with Quality
▪All personnel at all levels approach all aspects of the job
from the perspective of “How can we do this better?”.
▪“Good enough” is never good enough.
Scientific Approach
▪Hard data are used in establishing benchmarks, monitoring
performance, and making improvements.
▪Decision making and problem solving is based on scientific
principals.

7. Page  7
Elements of Total Quality
Long-term Commitment
▪Quality improvement is NOT another management
innovation but a whole NEW way of doing business that
requires an entirely new corporate culture.
Teamwork
▪Internal competitiveness vs. External competitiveness
Continual Process Improvement
▪Continually improve systems (environments) where
products are developed and services are delivered by
people.

8. Page  8
Elements of Total Quality
Education and Training
▪
▪
Best way to improve people on a continual basis.
Train hardworking people “How to work smart?”
Freedom through Control
▪
▪Involving and empowering employees to simultaneously
bring more minds to bear on the decision-making process
and increase the ownership employees feel about decisions
that are made.
Well-planned and carried-out controls (not loss of
management control).

9. Page  9
Elements of Total Quality
Unity of Purpose
▪Internal politics have no place in a total quality organization,
rather collaboration is the norm.
▪Unity of purpose has nothing to do with Labor Unions.
Employee Involvement and Empowerment
▪
▪Basis for involving employees: 1. to increase the likelihood of a
good decision or a better plan; 2. to promote ownership of
decisions by involving the people who will have to implement
them.
Empowerment means not just involving people but involving them
in ways that give them a real voice.

10. Page  10
The Deming 14 Point Philosophy
The Deming Philosophy
Definition of quality, “A product or a service possesses quality if it helps
somebody and enjoys a good and sustainable market.”
Improve quality
Decrease cost because of
less rework, fewer
mistakes.
Productivity improves
Capture the market
with better quality and
reduced cost.
Stay in business
Long-term
competitive
strength

11. Page  11
Deming’s 14 Point Management
1.Create and publish to all employees a statement of the
aims and purposes of the company. The management
must demonstrate their commitment to this statement.
2.Learn the new philosophy.
3.Understand the purpose of inspection – to reduce the
cost and improve the processes.
4.End the practice of awarding business on the basis of
price tag alone.
5.Improve constantly and forever the system of
production and service.

12. Page  12
6.Institute training
7.Teach and institute leadership.
8.Drive out fear. Create an environment of innovation.
9.Optimize the team efforts towards the aims and purposes of
the company.
10.Eliminate exhortations for the workforce.
11.Eliminate numerical quotas for production.
12.Remove the barriers that rob pride of workmanship.
13.Encourage learning and self-improvement.
14.Take action to accomplish the transformation.

13. Page  13
Benefits of TQM
Improved quality and productivity
Better employee participation and teamwork
Better customer and employee satisfactions
Increase in market share and profitability
Improved communication

14. Page  14
Obstacles to apply TQM
Lack of commitment from the management
Inability or Resistance to change
Improper planning
Lack of continuous training and education
Incompatible organization structure and isolated departments
and individuals
Ineffective performance measures and lack of visibility of data
and results
Inadequate use of Empowerment and teamwork