What is QUALITY?

Different Definitions of Quality

Fred Smith (CEO of Federal Express
-performance to the standard expected by the customer

The General Services Administration (GSA)
-meeting the customers needs the first time and every
time

Boeing
-providing our customers with products and services
that consistently meet their needs and expectations
U.S. Department of Defense (DOD)
-doing the right thing the first time, always striving for
improvement, and always satisfying customers.

Common Elements on Quality
1. Quality involves meeting or exceeding customer
expectations.
2. Quality applies to products, services, people, process and
improvement.
3. Quality is an ever-changing state

Quality is dynamic state associated with products
services, people, processes and environment that
meet oe exceeds expectations.


The Total quality Approach Defined
DOD defines the total quality management as follows:
TQ consists of continuous improvement activities involving
everyone in the organization managers and workers in totally
integrated effort toward improving performance at every level.
This improved performance is directed toward satisfying such
cross functional goal as quality, cost, schedule ,mission, need and
suitability. TQ integrates fundamental management techniques
existing improvements efforts and technical tools under a
disciplined approach focused on continued process improvement.
The activities are ultimately focused on increase customer
satisfaction.

Three Legged Stool of Total Quality
Big Q
1. Products
2. Services
3. People
4. Processes
5. Environments
Customer
Focus
Measures People Process
*SPC *Quality is built in *Continual improvement
*Benchmarking *Quality is expected not inspected
*Good enough is never
enough
* Quality Tools *Employees are empowered
Quality Tip
Nicholas Scheele
What It Is?
Total Quality is an approach to doing business that attempts to maximize the competitiveness of an organization on
through the continual improvement of the quality of its products, services, people, process and environment.
How it is Achieved?
1. Strategically Based 5. Long term commitment 8. Education
and training
2.Customer Focus 6. Teamwork 9. Freedom through control
3. Obsession with quality 7. Continual process improvement 10.Unity of
purpose
4. Scientific approach to decision making and problem solving 11. Employee
involvement


How is total quality different?
The historic development of total
quality

Specifications Traditional Total Quality
1 .Productivity You cannot have both
2. Quality defined Meeting customer specifications
Satisfying customer needs and exceeding customer
expectations.
3. Quality Measurement
Measured by establishing an acceptable level
of non conformance and measuring against
benchmark
Measured by establishing high performance
benchmarks for customer satisfaction and then
continually improving performance.
4. Quality Achievement Inspected o the product
Determined by product and process design and
achieved by effective control techniques.
5. Attitude towards defect
Defects are expected part of producing a
product.
Defects are to be prevented using effective control
systems and should be measured in defects.
6. Quality as a function Quality is a separate function
Quality should be fully integrated throughout the
organization
7. Responsibility to quality Employees are blamed for poor quality
Atleast 85 % of quality problems are management
fault.
8. Supplier relationship Short term and cost driven Long term and quality oriented
Two Views of Quality
Strategically based
Using Strategic Planning in Total Quality Management
Customer focus

What are the Types of customers?
What is the relation of a process vs its customers?
Define customer satisfaction?
How would you define quality with respect to customer satisfaction process?
What is customer defection, why it occurs and how can it be stopped?


Quality and teamwork expert Peter R. Scholtes explains the concept of customer
focus as follows:
Whereas Management by Results begin with profit and loss and return on
investment, Quality Leadership starts with the customer. Under Quality
Leadership, an organizations goal is to meet and exceed customer needs, to give
lasting value to the customer. The return will follow as customers boast of the
companys quality and service. Members of a quality organization recognize both
external customers, those who purchase or use the products or services, and
internal customers, fellow employees whose work depends on the work that
precedes them.
Obsession with quality
Scientific approach
Long term commitment
Teamwork
Continual process improvement
Education and training
Freedom through control
Unity of purpose
EMPLOYEE
INVOLVEMENT AND
EMPOWERMENT
EMPLOYEE
INVOLVEMENT
EMPLOYEE
INVOLVEMENT AND
EMPOWERMENT
EMPLOYEE
EMPOWEWRMENT
Total quality pioneers
Demings contributions
Jurans contributions
Crosbys contributions

THE DEMING CYCLE
Demings fourteen points
Create constancy of purpose toward the improvement of products and services in order to
become competitive, stay in business, and provide jobs.
Adopt the new philosophy.
Stop depending on inspection to achieve quality.
Stop awarding contracts on the basis of low bids.
Improve continuously and forever the system of production and service, to improve quality and
productivity, and thus constantly reduce cost.
Institute training on the job.
Institute leadership.
Drive out fear so that everyone
may work effectively.
Break down barriers between departments so that people can work as a team.
Eliminate slogans, exhortations, and targets for the workplace.
Eliminate quotas and management by objectives.
Remove barriers that job employees of their pride of workmanship.
Institute a vigorous program of education and self-improvement.
Make the transformation everyones job and put everyone to work on it.
Demings Seven Deadly Diseases
1. Lack of constancy of purpose to
plan products and services that
have a market sufficient to keep the
company in business and provide
jobs.
2. Emphasis on short-term profits; short-term thinking that is driven by
a fear of unfriendly takeover attempts and pressure from bankers and
shareholders to produce dividend.
3. Personal review systems for managers and management by
objectives without providing methods or resources to accomplish
objectives.
4. Job hopping- by
managers.
5. Using only visible data and information in
decision making with little or no consideration
given to what is not known or cannot be known.
6. Excessive medical cost.
7. Excessive costs of liability driven up by lawyers that
work on contingency fees.
Jurans contributions
Activities in the area of quality management.
Jurans three basic steps to progress


JURANS TEN STEPS TO QUALITY
1.Build awareness of both the need for improvement and oppurtunities for improvement.
2.Set goals for improvement
3.Organize to meet the goals that have been set.
4.Provide training.
5.Implement projects aimed at solving problems.
6.Report progress
7.Give recognition
8.Communicate result.
9.Keep score.
10.Maintain momentum by building improvement into company's regular process.

THE PARETO PRINCIPLE
Is sometimes called the 80/20 rule.
Named after economist Vilfredo Pareto.
Dr. Juran suggested this principle to applied the idea to the
quality management.

THE JURAN TRILOGY
Juran was one of the first to write about the cost of poor
quality.
which is composed of three managerial processes: quality
planning, quality control and quality improvement.
CROSBYS CONTRIBUTIONS
Started his carrer, in quality later than Deming and Juran.
Was a director of quality at ITT Corporation (1965-1979).
In 1979, Crosby started the management consulting company the Philip Crosby Associates.
an international consulting firm on quality improvement, which he ran until 1992.
Is known for his concepts of "Do it right first time" and "Zero defects".
He defines quality as conformance to requirements which the company itself has established for its
product based directly on customer needs.
He also known for his Quality Vaccine and Crosby's Fourteen Steps to Quality Improvements.

(1926-
2001)
CROSBY'S THE FOUR ABSOLUTES OF QUALITY
MANAGEMENT

Quality must be defined as conformance to requirements-not just as a
good thing to do.
The best way to ensure quality is prevention, not inspection.
The standard for quality must be zero defects not "close is good
enough"
Quality is measured by nonconformance, not indexes.
The most common errors made when starting quality initiatives are:

1. Senior management delegation and poor leadership
2. Team mania
3. Deployment process
4. Taking a narrow dogmatic approach
5. Confusion about the differences among education, awareness,
inspiration, and skill building.
A philosophy focusing on continuous improvement.
Enchancing profitability through improved quality
and efficiency.
Improve the performance of processes to the point
where the defect rate is 3.4 per million or less.
It uses a set of quality management methods,
including statistical methods, and creates a special
infrastructure of people within the organization who
are experts in these methods.



Six Sigma
KEY ROLES FOR SIX SIGMA
Six-step protocol for process improvement
Identify the product characteristics wanted by customers.
Classify the characteristics in terms of their criticality.
Determine if the classified characteristics are controlled by part and/or process.
Determine the maximum allowable tolerance for each classified characteristic.
Determine the process variation for each classified characteristic.
Change the design of the product, process, or both to achieve a Six sigma process performance.
SIX SIGMA:THE NAME
The name six sigma comes from the concept of standard deviation, a statictically derived value
represented by the lowercase Greek sigma ( ).
If six sigma deviates three or four standard deviations away from the mean, the product must
then remade or it will not pass quality inspection.

Statistical View of Six Sigma
Between -1 and +1
Standard Deviation
68.3% (about two thirds)
Between -2 and +2
Standard Deviation
95.5% (about 95%)
Between -3 and +3
Standard Deviation
99.7%



Difference between straight statistics and the motorola cersion.
RELATIONSHIP OF SIX SIGMA TO TOTAL QUALITY
Six sigma is an extension of total quality management.
Both help in improving quality.
HOW IS SIX SIGMA ACHIEVED?
Six sigma can be achieved by improving process performance.
There are two different methodologies for carrying out improvements in processes or operation.




DMAIC DMADV
SIX SIGMA METHODS
Define
Measure
Analyze
Improve
Control
Define
Measure
Analyze
Design
Verify
SIX SIGMA ROAD MAP
1. Appoint a champion
2.Select a cross-functional team
3.Develop quantifiable goals
4.Develop an implementation plan that establishes training, addresses data collection, and
includes a program maintenance plan
5.Coordinate the road map.

HISTORY OF SIX SIGMA
Robert Galvin- Motorola President in 1981.
Jack Welch- CEO ofGeneral electric to six sigma in 1995.
Trends that will shape the future of quality
management:
Demanding customers
Shifting customer value expectations
Economic pressures
New management approaches
QUALITY MANAGEMENT CHARACTERISTICS FOR THE
FUTURE
A total commitment to continually increasing value for customers, investors, and employess.
A firm understanding that market driven means that quality is defined by customers not the company.
A commitment to leading people with a bias fro continuous improvement and communication.
A recognition that sustained growth requires that simultaneous achievement of four objectives
continually forever: a.) customer satisfaction, b.) cost leadership, c.) effective human rrsources, and d.)
integration with the supplier base.
A commitment to fundamental improvement through knowledge, skills, problem solving, and teamwork.

THANK YOU!

Alone, we can do so little but together, we can do so
much.

Helen Keller (1880-1968);
Author, Lecturer, Activist
Cherrylyn Mantuano, Charlene Villapando, Apple Falceso