TQM and HRM

Total Quality management Linkage with Human Resource Management

1. University of Messina Department of Economics Total Quality Management International Management 2017/2018 Najeebullah Arghistani from Afghanistan Facebook.com/ narghistani , Twitter.com/ narghitani [email protected]

2. It’s not the company-provided lunch that keeps people here. Googlers tell us that there are three reasons they stay: the mission , the quality of the people, and the chance to build the skill set of a better leader or entrepreneur.” – Laszlo Bock, HR, Google

3. “ Empowering people turns Wal-Mart’s culture into a competitive advantage” Michael Bergdahl

4. Total Quality Management Human Resource Management

5. greater value, either by means of lower prices or by providing greater benefits and service that justifies higher prices .  COST (Price) new approaches to new problems can continually emerge- Adaptive Advantage Signal and Time Advantage right information, extract the relevant signals, process rapidly and modulate their organization’s behavior accordingly. QUALITY Competitive Advantage- A company´s ability to achieve market superiority

6. 8 Core Beliefs of Extraordinary Bosses

7. Quality: degree to which a set of inherent characteristics  (3.10.1) of an  object  (3.6.1) fulfils  requirements.   . (ISO 9001:2015) Management: coordinated activities to direct and control an  organization. (ISO 9001:2015) Quality Management: management  with regard to  quality  . (ISO 9001:2015) Total Quality management: TQM is a general philosophy of management that attempts to maximize the competitiveness of an organization through the continual improvement of the quality of its products, services, people, processes and environments. There are many definitions of TQM; interestingly, no single definition can express the whole picture (Eriksson and Hansson, 2003). Definitions :

8. “ TQM and HRM are in pursuit of the same goals-profitability, productivity, a customer-oriented company and a motivated workforce” P.Herbig “To be fully successful and self- sustaining TQM requires an extensive refashioning of HRM practices” R.J.Schonberger “ Successful implementation of various TQM practices are positively related to HRM functions” T.H.Wagner TQM and HRM Linkage

9. Traditional HRM Approach Total Quality HRM Approach Philosophy A fair day’s work for a fair day’s pay. Shared responsibility, Commitment and rewards. Business Objectives Increased productivity, profitability; quality is secondary ; focus on labour . Increased quality, productivity, customer satisfaction , employee satisfaction and loyalty. Quality Objective Adequate quality to remain in business; staff driven approaches to quality improvement. Total quality management and continues improvement at and across every level. Business Information Limited to information on an as – needed basis for job performance. Open books, share board information on profits , productivity, quality, costs, capital

10. Major Constituencies Managers, stockholders, customers, employees. Customers, all employees, stockholders. Education and Training On-the-Job Training, feed back on job performance . Quality and economic education, multiple skill training , problem solving and group process. Reward structure Management designed and administered. Designed and adjusted by management – employee committee; formal, early union involvement . Job Security Labour as a variable cost; layoffs common during business downturns Formal commitment key consideration in all decisions

11. Empowerment The link between HRM and TQM was identified as being in the area of development and empowerment of people and the shift from a contro l based style of management to an empowering management. Attention is focused on coaching and leading . It is generally accepted that a TQM environment fosters employee empowerment. In fact, five of Deming‟s 14 points relate directly to the notion of involvement and empowerment (Rahman, 2002 ). According to the literature , TQM should promote empowerment of front-line employees, giving them more responsibility and information (Schuler and Harris, 1992.

12. Teamwork Teamwork is central to TQM (Aubrey and Felkins , 1988; Kochan et al., 1995; Wilkinson, 1992; Yang 2006). Multidisciplinary teamwork in teams composed of members from different organizational functional areas promotes TQM ( Mohanty and Sethi , 1996; Schonberger , 1994; Simmons et al., 1995 ) It involves the collaboration between managers and non-managers, between functions, as well as with customers and suppliers (Dean and Bowen, 1994). Within the context of TQM, teamwork is an important outcome and a condition for continuous improvement

13. Staffing It is necessary to consider employees behavior , attitudes and values for any TQM program to be successful. Companies have recently doubled the size of their training program and this will increase again as TQM is implemented at various stages throughout the organization. Consequently, companies should recruit employees with good qualifications and the requisite skills and hence facilitate the implementation of TQM (Yang, 2006). Selection methods should be designed to assess TQM; that is, selection should be based on technical abilities, problem resolution and mathematical and statistical abilities (Bowen and Lawler, 1992).

14. Training and Development Essential to the implementation of TQM One of Deming‟s 14 points was that all employees must be trained in quality improvement techniques. Companies committed to TQM invest in training (Mandal et al., 1998; Schonberger , 1994). Samson and Terziovski (1993) believed that training is vital to the internal diffusion of quality ideas and practice. Without it there is no solid foundation for a formal quality program. Employee training is fundamental for many TQM programs such as the adoption of, new quality concepts the set-up and practices of customer satisfaction systems , the use of statistical quality control, or the change of culture or quality control circle (Bowen and Lawler, 1992; Yang,2006).

15. Performance appraisals Essential to the implementation of TQM Carson et al. (1991) argued that formal performance evaluation systems facilitate improved total quality performance. However, companies require a non traditional appraisal system to foster TQM. Soltani (2003), from a study of TQM-oriented organizations, concluded that performance appraisal is mainly used for training and developmental opportunities . it is characterized by being a formal evaluation, each year , and conducted by the employee's supervisor. Traditional and TQM

16. Compensation A controversial issue in the quality management literature. Deming (1986) is opposed to pay incentives, considering that recognition rather than reward is important. individual incentives may inhibit cooperation and teamwork (Snell and Dean, 1994). Consequently, rewards should foster cooperation, employee involvement and teamwork, not emphasize individually oriented compensation (Wilkinson et al., 1994; Yang, 2006). This incentive system may be based in quality criteria (Bowen and Lawler, 1992).

17. QUALITY AS HRD AT

18. Infosys LTD Infosys Limited is an Indian multinational corporation that provides business consulting, information technology and outsourcing services. It has its headquarters in Bengaluru, India. Wikipedia Stock price: INFY (NSE) ₹903.00 +3.40 (+0.38%) Oct 5, 3:59 PM GMT+5:30 - Disclaimer CEO: U. B. Pravin Rao (Aug 2017–) Founded: July 7, 1981, Pune, India Headquarters: Bengaluru, India Revenue: 10.21 billion USD (2017)

19. • Treat employees as customers of the human resource department • Use the job line of every employee to install quality checks • Research workers’ requirements to design benefits and rewards • Use tests and interviews to ensure suitable skills and mindset • Adopt 360 degree appraisal to ensure objectivity of assessment Quality Practices at INFOSYS

20. Scout at the best Engineering Schools Ensure Analytical Skills Ensure Leadership and Communication Skills Train for Sp ecific Technology Ensure Team Spirit and High achieving goals Offer Special Helps to Individuals Offering Stock option after evaluation Use employees feedback to improve work environment Use 360 Degree Appraisal Objectivity Ensure constant training shuttle between projects How Infosys applies quality to HRD

21. Promotion to Module Leader Promotion to Project Leader Promotions Analyze reasons for Resignation Counsel employee on career Plans Negotiate retention or release employees Send reports to employee’s superior and data bank Movement to Technology Stream Resignation Check for abilities to handle large projects and complicated Logistics Check for Managerial Skills, Fairness and ability to meet Deadline Quality Process HRD Process How Infosys applies quality to HRD

22. Quality management can result in a change in the way in which HRM functions operate and possibly in a redefinition of the role of the function”. Quality can, undoubtedly, lead to a reassessment of the performance criteria for human resource managers. There is no single theoretical formalization of total quality, but Deming, Juran and Ishikawa provide the core assumptions , as a "...discipline and philosophy of management which institutionalizes planned and continuous ... improvement ... and assumes that quality is the outcome of all activities that take place within an organization; that all functions and all employees have to participate in the improvement process; that organizations need both quality systems and a quality culture.". Conclusion

23. References: Manufacturing More Effective TQM: Implications for the Management of Human Resources by Wilkinson, Adrian, Marchington , Mick, Dale, Barrie Human Resource Management and Total Quality Management – An Important Aspect in the Bank. Rakesh Kumar IMPROVING EMPLOYEES PERFORMANCE THROUGH TOTAL QUALITY MANAGEMENT Asiya Gul1 , Syed Aamir Saeed Jafery 2 , JAVED RAFIQ 3 and Dr. Hummayoun Naeem4 Quality HR-TQM Model for Higher Education Institutions Noor Azman Ali, Universiti Putra Malaysia Human Resource Issues in Total Quality Management: A Case Study of Kenya Airways Dr . Stephen Nhuta Conceptual Design For a Strategic Human Resources Quality Management System Dr . Sherif A. Mazen (*) Dina I. El- Kayaly (*) IMPACT OF TOTAL QUALITY MANAGEMENTMPLEMENTATION ON EFFECTIVENESS OF HUMANRESOURCE MANAGEMENT IN THE JORDANIAN BANKING SECTOR FROM EMPLOYEES‘ PERSPECTIVE Hilda Ghaleb Madanat,WISE University PROCESS ELEMENT OF TQM AND OPERATIONAL PERFORMANCE OF AIRLINES IN KENYA KANGOGO KIPCHUMBA JACOB CASE STUDYHow HR professionals drive TQM: a case study in an Indian organization Sasmita Palo Unit for Labour Studies, Tata Institute of Social Sciences, Mumbai, India, and Nayantara Padhi School of Management Studies, Indira Gandhi National Open University, New Delhi, India http://www.praxiom.com/iso-definition.htm http://www.workforce.com/1993/08/01/quality-within-the-hr-function/ TQM PRACTICES IN INDIAN ORGANISATIONS Presentation by R.MUKUNDAN Director, TEAM CONSULTANTS Chennai, India https://www.infosys.com

24. Thank you; Grazie شکراً cảm ơn Spasibo Rahmat Merci Faleminderit