1

Total Quality Management

Presented by:

Neha Singh – 11
Nitish Kohli – 12
Quality is a Journey,
not a Destination
2
 Total Quality Management
3
 An emphasis on Quality that encompasses the entire company……
 Continuous Improvement
 Employee empowerment, quality circles
 Benchmarking - best at similar activities, even if in different industries
 Just In Time - requires quality of suppliers
 TQM Tools - allow you to measure progress
Total Quality Management
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 Doing things right…..



 ….FIRST time.
 Quality Circle
5

Organization
8-10 members
Same area
Supervisor/moderator

Training
Presentation Group processes
Implementation Data collection
Monitoring Problem analysis

Problem
Solution Identification
Problem results List alternatives
Consensus
Brainstorming
Problem Analysis
Cause and effect
Data collection and
analysis
 6

Fundamental Concepts
Customer focus


Continuous improvement


Value of every Associate


 Customer Focus
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The goal is to make the product work.
Customers are the ones who ensure it.
Thus, all organizations only exist to provide goods
and services to customers.
 Continuous Improvement
8

 Philosophy that seeks to make never-ending improvements

to the process of converting inputs into outputs.
 Improvements are being made everywhere.
 Rapid change has become a way of life.
 The Deming Cycle or PDCA Cycle
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Performance

Plan
Do
Act
Check

“Continuous”
improvement

Time
 Continual
Continualimprovement
improvement of
of the
the quality
qualitymanagement
management system
system
10

Customers Customers
(and other Management (and other
interested responsibility interested
parties) parties)

Measurement,
Resource analysis and
management improvement
Satisfaction
Requirements

Input
Output
Product
Key: Product
Value adding activity realisation
information flow

Source: BS EN ISO
9001:2000
 Value of every Associate
11

 It is an idea to have
each person
 thinking,
 creating ideas,
 challenging authority,
and
 making changes to the
system.
 Hence, empowerment
of employees leads to
success.
 12

Three Strong Forces

 Alignment
Linkage (Process Management or Systems


Thinking)
 Replication
 Alignment
13
 There has been a new understanding of the importance of strategy.
 This strategy must include:
 A clear vision of where the company is going
 Clear definitions of the small number of key objectives that must be
achieved
 Translation of these key objectives throughout the entire organization
 Linkage(Process Management)
14

 Linking activities across all

functions and departments
in the company is critical
for TQM.
 With this critical emphasis on
linkage (or process
management) the worlds of
total quality management
and re-engineering
converge.
 Replication
15

The results of quality improvement projects are made

known widely throughout the organization.
Those with similar problems or opportunities will
hear about the project, obtain the information they
need, and act.
 16

Critical Processes
 Quality Planning
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The logical place to start

is quality planning.
Quality planning
consists of a universal
sequence of events—a
quality planning
roadmap.
 Quality Control
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 Quality control relies on five
basics:
 a clear definition of quality
 a target, a clear goal
 a sensor, a way to measure actual
performance
 a way to interpret the
measurement and compare
with the target
 a way to take action, to adjust the
process if necessary.
 Quality Improvement
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The quality improvement process is directed at long-

standing performance levels.
The quality improvement process questions whether
this is the best that can be attained.
 The Quality System
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Best defined by ISO Standard 9004-1, the quality

system is a critical building block for total quality
management.
 TQM & Organizational Cultural Change
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 Traditional Approach  TQM
 Lack of communication  Open communications
 Control of staff  Empowerment
 Inspection & fire fighting  Prevention
 Internal focus on rule  External focus on
 Stability seeking customer
 Adversarial relations  Continuous improvement
 Allocating blame  Co-operative relations

  Solving problems at their

roots

 22

The Evolution of Total Quality

 Product Quality
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All organizations began their quality management

efforts with a focus on product quality.
 Product Process Quality
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It was the creation of the control chart that made it

clear how easily process control could be
transferred to the operating forces.
This would reduce the reliance on final inspection
and free up numerous people for productive work.
In this way product quality could be improved and
costs driven down at the same time.
 Service Quality
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 At the third stage, the customer was no longer just
interested in the quality of the car.
 Other important issues came up
 Service provided by the dealers,
 availability of parts,
 roadside assistance,
 the sales experience,
 financing,
 leasing, and so on.
 Service Quality Process
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In the 1980s a new focus on quality occurred.

Pioneered by IBM, companies started focusing on
the costs of providing the quality of these services
—or business process quality management or
improvement.
 Business Planning
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 In the past few years it has been observed that many companies are
starting to integrate quality management into their business planning
cycles.
 This integration of the quality goals with the financial goals has been a
major thrust of the leading companies.
 Recently this integration was listed as the major effort currently
underway by the respondents to the Business Roundtable survey on
TQM.
 28

Results of Total Quality

 Lower Costs
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Higher quality can mean lowering costs by
 reducing errors,
 reducing rework, and
 reducing non-value-added work.
 Higher Revenues
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Higher quality can mean

 better satisfied customers,
 increased market share,
 improved customer retention,
 more loyal customers,
 and even premium prices.
 Delighted Customers
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“Delighted” customers are

 customers who buy over and over again,
 customers who advertise your goods and services,
 customers who check you first when they shop.
 Empowered Employees
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Empowered employees
 are in self-control,
 they measure their own work processes,
 interpret the measurements,
 compare these measurements to goals, and
 take action.
 Implementing TQM
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 Successful Implementation of TQM
 Requires total integration of TQM into day-to-day operations.
 Causes of TQM Implementation Failures
 Lack of focus on strategic planning and core competencies.
 Obsolete, outdated organizational cultures.



 Obstacles to Implementing TQM
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 Lack of a company-wide definition of quality.
 Lack of a formalized strategic plan for change.
 Lack of a customer focus.
 Poor inter-organizational communication.
 Lack of real employee empowerment.
 Lack of employee trust in senior management.
 View of the quality program as a quick fix.
 Drive for short-term financial results.
 Politics and turf issues.
 Six Sigma
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 A process for developing and

delivering near perfect
products and services
 Measure of how much a
process deviates from
perfection
 3.4 defects per million
opportunities
 Champion
 an executive responsible for
project success
 Black belts & Green Belts
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Black Belt
 project leader

Master Black Belt

 a teacher and mentor for
Black Belts
Green Belts
 project team members


 Six Sigma: DMAIC
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MEASUR
MEASUR ANALYZ
ANALYZ IMPROV
IMPROV CONTRO
CONTRO
DEFINE
DEFINE E
E E
E E
E LL

67,000
67,000 DPMO
DPMO
cost
cost == 25%
25% of
of
sales
sales 3.4
3.4 DPMO
DPMO
 Baldrige Award
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Created in 1987 to stimulate growth of quality

management in the United States
Categories
 Leadership
 Information and analysis
 Strategic planning
 Human resource
 Focus
 Process management
 Business results
 Customer and market focus


The integrated framework of the Baldrige award criteria
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 Other Awards for Quality
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 National individual awards  International awards
 Armand V. Feigenbaum  European Quality Award
Medal  Canadian Quality Award
 Deming Medal  Australian Business
 E. Jack Lancaster Medal Excellence Award
 Edwards Medal  Deming Prize from Japan
 Shewart Medal 
 Ishikawa Medal

 Summary
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 TQM – a way of working

 Involves everyone
 High prominence on ‘customer’
 Awards based upon TQM
 Bibliography
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 Joseph M. Juran & A. Blanton Godfrey, Juran’s Quality

Handbook, 5th Edition, McGraw Hill Publications
 http://en.wikipedia.org/wiki/Total_quality_management
 http://www.authorstream.com/Presentation/surn-78153-total-qua
 http://www.slideworld.com/pptslides.aspx/TOTAL-QUALITY-MA
 http://www.scribd.com/doc/7480319/TOTAL-QUALITY-MANAG
 http://www.wiley.com/college/sc/reid/chap5.pdf
 http://www.scribd.com/doc/6613383/TQM-NOTES
 http://www.cartoonstudio.co.uk/Pages/kmeters1.html