Monday, June 2, 2014

Unit 5 (P 43): Quality Management:TQM (concept & techniques,

Total quality management : 
 TQM is an integrative philosophy of management for continuously improving the quality of products and processes. It is comprehensive approach to improving product quality and thereby customer satisfaction. It occurs when entire organization culture becomes focused on quality and customer satisfaction through an integrated system of management. The elements essential for TQM process to take are:

  1. Customer oriented approach: It is important to focus on the customer, both internal and external i.e., the employees and the users of the end product. In TQM parlance, the customer is the next process and not just a person who pays for the product or service. This concept helps to strengthen the co-operation within the organization, eliminate internal competition and drives away fear.
  2. Continuous process improvement: There is a beginning to the process of TQM, but there is no end. Checking, rechecking, valuation, revaluation, engineering and re-engineering are essential to ensure continuous improvement.
  3. The use of team: Teamwork is also a key element of TQM. With the use of teams, the business will receive quicker and better solutions to problems. Teams also provide more permanent improvements in processes and operations. In teams, people feel more comfortable bringing up problems that may occur, and can get help from other workers to find a solution and put into place.
  4. Employee involvement: People at all levels make up an organization and their full involvement in quality related issues and decision enables their abilities to be used for an institution's benefit. Quality circle is viewed as a major step to increase worker involvement and a very powerful method of employee empowerment.
  5. Employee Training and Development: “Training is very important for employees to be highly productive. Supervisors are solely responsible for implementing TQM within their departments, and teaching their employees the philosophies of TQM. Training that employees require are interpersonal skills, the ability to function within teams, problem solving, decision making, job management performance analysis and improvement, business economics and technical skills. During the creation and formation of TQM, employees are trained so that they can become effective employees for the company.


Tools/ Techniques of TQM:

  1. Bench marking: searching best practice among competitors that leads to their better performance.
  2. Outsourcing: subcontracting some/ entire job to other organization to bring quality and benefit of specialization.
  3. Speed: It involves not only doing job faster but also rethinking and redesigning the whole business cycle.
  4. ISO 9000: internationally agreed series of standards which sets out the criteria for world class quality management.
  5. Quality Circles: Quality circle is viewed as a major step to increase worker involvement and a very powerful method of employee empowerment.
  6. Kaizen: focus on determining waste and to suggest ways to eliminate waste by self managed work teams.

Deming Management: 
Develop by W. Edward Deming, forwarded following idea for quality management. He emphasized the importance and scope of statistical quality control in the Japanese industry. Deming view for quality management:

  1. To increase quality, organization needs to develop strategic plans.
  2. Manger should realize that mistakes, defects, and poor-quality materials should not be acceptable.
  3. First line manager should be allowed to spend more time working with employees
  4. Management should create where employee report problem and recommendation.
  5. Output should be not only defined in numbers, but also in quality.
  6. Management should train employees to assure standard.
  7. Management need to develop values and norms centered on improving quality.


Principles of Deming Management: By Robert Kreitner

  1. Quality improvements drives the entire economy
  2. The customer always comes first
  3. Do not blame the person fix the system
  4. Plan-do- check- act.( Deming’s PDCA cycle)


The philosophy of W. Edwards Deming has been summarized as follows:

  • "Dr. W. Edwards Deming taught that by adopting appropriate principles of management, organizations can increase quality and simultaneously reduce costs by reducing waste, rework, staff attrition and litigation while increasing customer loyalty. 
  • The key is to practice continual improvement and think of manufacturing as a system, not as bits and pieces."
  • In the 1970s, Dr. Deming's philosophy was summarized by some of his Japanese proponents with the following 'a'-versus-'b' comparison:
  • When people and organizations focus primarily on quality, defined by the following ratio,
  •  Quality tends to increase and costs fall over time.
  • However, when people and organizations focus primarily on costs, costs tend to rise and quality declines over time.

14  techniques suggested by Deming to maintain total quality management.
1."Create constancy of purpose towards improvement". Replace short-term reaction with long-term planning. 
2."Adopt the new philosophy". The implication is that management should actually adopt his philosophy, rather than merely expect the workforce to do so.
3."Cease dependence on inspection". If variation is reduced, there is no need to inspect manufactured items for defects, because there won't be any. 

4."Move towards a single supplier for any one item." Multiple suppliers mean variation between feed stocks. 

5."Improve constantly and forever". Constantly strive to reduce variation. 

6."Institute training on the job". If people are inadequately trained, they will not all work the same way, and this will introduce variation. 
7."Institute leadership". Deming makes a distinction between leadership and mere supervision. The latter is quota- and target-based. 
8."Drive out fear". Deming sees management by fear as counter- productive in the long term, because it prevents workers from acting in the organization’s best interests. 
9."Break down barriers between departments". Another idea central to TQM is the concept of the 'internal customer', that each department serves not the management, but the other departments that use its outputs. 
10."Eliminate slogans". Another central TQM idea is that it's not people who make most mistakes - it's the process they are working within. Harassing the workforce without improving the processes they use is counter-productive. 
11."Eliminate management by objectives". Deming saw production targets as encouraging the delivery of poor-quality goods. 
12."Remove barriers to pride of workmanship". Many of the other problems outlined reduce worker satisfaction. 
13."Institute education and self-improvement". 
14."The transformation is everyone's job". 

Deming has been criticized for putting forward a set of goals without providing any tools for managers to use in order to reach those goals. His inevitable response to this question was: "You're the manager, you figure it out."

Emerging quality management issues and challenges:

  1. Redesign organizational structure:
  2. Workforce diversity
  3. Innovation and change
  4. Motivation of employees
  5. Knowledge management
  6. Technological development
  7. Improving quality of service
  8. Benchmarking
  9. Assurance of TQM


22 comments:

  1. Quality management ensures that an organization, product or service is consistent. It has four main components: quality planning, quality control, quality assurance and quality improvement. Quality management is focused not only on product and service quality, but also the means to achieve it. Quality management therefore uses quality assurance and control of processes as well as products to achieve more consistent quality.

    ReplyDelete
  2. Total quality management(TQM):
    it is a cooperative form of doing business that relies on the talents and contributions of both labour and management to continually improve quality and productivity using teams.


    Techniques of TQM:
    -benchmarking
    -ISO 9000
    -speed
    -outsourcing


    Deming management:
    Develop by W. Edward Deming, forwarded following idea for quality management. He emphasized the importance and scope of statistical quality control in the Japanese industry.
    Deming view for quality management:
    -to increase quality, organization need to develop strategic plans that state goals exactly and spell out how they will be achieved.
    -managers should realize that mistakes, defects, and poor-quality materials should not be acceptable.
    -first-line managers should be allowed to spend more time working with employees and providing them with the tools they need to do the job.
    -management should create an environment in which employees will not be afraid to report problems or recommend improvements
    -output goals and targets should include not only numbers or quotes but also some notion of quality to promote the production of defect-free output.
    -management should assume the responsibilities to train employees in new skills to keep pace with changes in workplace.
    -achieving better quality requires managers to develop organizational values and norms centered on improving quality.


    Principles of Deming Management: By Robert Kreitner
    -Quality improvements drives the entire economy
    -The customer always comes first
    -A person should not be blamed for quality problems; a system of quality management
    -Do not blame the person fix the system
    -Plan-do- check- act.( Deming’s PDCA cycle)


    14 techniques suggested by Deming to maintain total quality management:
    1.constant purpose
    2.new philosophy
    3.give up quality by inspection
    4.seek continuous improvement
    5.train everyone
    6.avoid the constant search
    7.provide real leaderhip
    8.drive fear out of the workplace
    9.promote teamwork
    10.avoid slogan and targets
    11.get rid of numerical quotas
    12.remove barriers that stifle pride in workmanship
    13.education and self-improvement are key
    14.the transformation is everyone's job

    ReplyDelete
  3. Total Quality Management:

    TQM is a cooperative form of doing business that realises on the talents and contributions of both labour and management to continually improve quality productivity using teams.

    Approaches:
    1.Customer-oriented approach
    2.Continuous Process Improvement
    3.The use of team.
    4.Quality circles

    Techniques of TQM:
    1.Benchmarking
    2.ISO 9000
    3.Responsiveness
    4.Outsourcing
    5.Quality circles
    6.Six-sigma
    7.Kaizen

    Other TQM process:
    1.Pareto analysis
    2.Fishbone diagrams
    3.Control Charts
    4.Flow charts

    Deming Management:

    Deming's views on quality management:
    -to increase quality, oraganizations need to develop strategic plans
    -managers should realisethat mistakes, defects, and poor-quality materials should not be acceptable
    -first line managers should be allowed to spend more time working with employees
    -management should create an environment
    -output goals and targets should include not only numbers or quotas but also same notion of quality
    -management should assume the responsibilities to train emloyees in new skills
    -achieving better quality requires managers to develop organizational values and norms centred on improving quality

    techniques suggested by Deming to maintain total quality management:
    1.constant purpose
    2.new philosophy
    3.give up quality by inspection
    4.seek continuous improvement
    5.train everyone
    6.avoid the constant search
    7.provide real leaderhip
    8.drive fear out of the workplace
    9.promote teamwork
    10.avoid slogan and targets
    11.get rid of numerical quotas
    12.remove barriers that stifle pride in workmanship
    13.education and self-improvement are key
    14.the transformation is everyone's job


    ReplyDelete
  4. Total quality management (TQM) consists of organization-wide efforts to install and make permanent a climate in which an organization continuously improves its ability to deliver high-quality products and services to customers.

    ReplyDelete
  5. (TQM) describes a management approach to long–term success through customer satisfaction. In a TQM effort, all members of an organization participate in improving processes, products, services, and the culture in which they work.

    The Primary Elements of TQM;
    Customer-focused
    Total employee involvement
    Process-centered
    Integrated system
    Strategic and systematic approach

    ReplyDelete
  6. TQM is an integrative philosophy of management for continuously improving the quality of products and processes. It is comprehensive approach to improving product quality and thereby customer satisfaction.

    Tools/ Techniques of TQM:
    Bench marking: searching best practice among competitors that leads to their better performance.
    Outsourcing: subcontracting some/ entire job to other organization to bring quality and benefit of specialization.
    Speed: It involves not only doing job faster but also rethinking and redesigning the whole business cycle.
    ISO 9000: internationally agreed series of standards which sets out the criteria for world class quality management.
    Quality Circles: Quality circle is viewed as a major step to increase worker involvement and a very powerful method of employee empowerment.
    Kaizen: focus on determining waste and to suggest ways to eliminate waste by self managed work teams.

    ReplyDelete
  7. total quality management (TQM) describes a management approach to long–term success through customer satisfaction. In a TQM effort, all members of an organization participate in improving processes, products, services, and the culture in which they work.

    ELEMENTS OF TQM
    Customer-focused. The customer ultimately determines the level of quality. No matter what an organization does to foster quality improvement—training employees, integrating quality into the design process, upgrading computers or software, or buying new measuring tools—the customer determines whether the efforts were worthwhile.

    Total employee involvement. All employees participate in working toward common goals. Total employee commitment can only be obtained after fear has been driven from the workplace, when empowerment has occurred, and management has provided the proper environment. High-performance work systems integrate continuous improvement efforts with normal business operations. Self-managed work teams are one form of empowerment.

    Process-centered. A fundamental part of TQM is a focus on process thinking. A process is a series of steps that take inputs from suppliers (internal or external) and transforms them into outputs that are delivered to customers (again, either internal or external). The steps required to carry out the process are defined, and performance measures are continuously monitored in order to detect unexpected variation.

    Integrated system. Although an organization may consist of many different functional specialties often organized into vertically structured departments, it is the horizontal processes interconnecting these functions that are the focus of TQM.
    Micro-processes add up to larger processes, and all processes aggregate into the business processes required for defining and implementing strategy. Everyone must understand the vision, mission, and guiding principles as well as the quality policies, objectives, and critical processes of the organization. Business performance must be monitored and communicated continuously.
    An integrated business system may be modeled after the Baldrige National Quality Program criteria and/or incorporate the ISO 9000 standards. Every organization has a unique work culture, and it is virtually impossible to achieve excellence in its products and services unless a good quality culture has been fostered. Thus, an integrated system connects business improvement elements in an attempt to continually improve and exceed the expectations of customers, employees, and other stakeholders.
    Strategic and systematic approach. A critical part of the management of quality is the strategic and systematic approach to achieving an organization’s vision, mission, and goals. This process, called strategic planning or strategic management, includes the formulation of a strategic plan that integrates quality as a core component.

    Continual improvement. A major thrust of TQM is continual process improvement. Continual improvement drives an organization to be both analytical and creative in finding ways to become more competitive and more effective at meeting stakeholder expectations.

    Fact-based decision making. In order to know how well an organization is performing, data on performance measures are necessary. TQM requires that an organization continually collect and analyze data in order to improve decision making accuracy, achieve consensus, and allow prediction based on past history.

    Communications. During times of organizational change, as well as part of day-to-day operation, effective communications plays a large part in maintaining morale and in motivating employees at all levels. Communications involve strategies, method, and timeliness.
    These elements are considered so essential to TQM that many organizations define them, in some format, as a set of core values and principles on which the organization is to operate.

    TOOLS FOR TQM
    Benchmarking
    Speed
    ISO 9000
    Kaizen
    Out sourcing
    Quality circles

    ReplyDelete
  8. This comment has been removed by the author.

    ReplyDelete
  9. W. Edwards Deming offered 14 key principles for management to follow for significantly improving the effectiveness of a business or organization. Many of the principles are philosophical. Others are more programmatic. All are transformative in nature. The points were first presented in his book Out of the Crisis. Below is the condensation of the 14 Points for Management as they appeared in the book.

    1. Create constancy of purpose toward improvement of product and service, with the aim to become competitive and to stay in business, and to provide jobs.

    2. Adopt the new philosophy. We are in a new economic age. Western management must awaken to the challenge, must learn their responsibilities, and take on leadership for change.

    3. Cease dependence on inspection to achieve quality. Eliminate the need for inspection on a mass basis by building quality into the product in the first place.

    4. End the practice of awarding business on the basis of price tag. Instead, minimize total cost. Move toward a single supplier for any one item, on a long-term relationship of loyalty and trust.

    5. Improve constantly and forever the system of production and service, to improve quality and productivity, and thus constantly decrease costs.

    6. Institute training on the job.

    7. Institute leadership : The aim of supervision should be to help people and machines and gadgets to do a better job. Supervision of management is in need of overhaul, as well as supervision of production workers.

    8. Drive out fear, so that everyone may work effectively for the company.

    9. Break down barriers between departments. People in research, design, sales, and production must work as a team, to foresee problems of production and in use that may be encountered with the product or service.

    10. Eliminate slogans, exhortations, and targets for the work force asking for zero defects and new levels of productivity. Such exhortations only create adversarial relationships, as the bulk of the causes of low quality and low productivity belong to the system and thus lie beyond the power of the work force.

    Eliminate work standards (quotas) on the factory floor. Substitute leadership.
    Eliminate management by objective. Eliminate management by numbers, numerical goals. Substitute leadership.
    11. Remove barriers that rob the hourly worker of his right to pride of workmanship. The responsibility of supervisors must be changed from sheer numbers to quality.

    12. Remove barriers that rob people in management and in engineering of their right to pride of workmanship. This means, inter alia, abolishment of the annual or merit rating and of management by objective.

    13. Institute a vigorous program of education and self-improvement.

    14. Put everybody in the company to work to accomplish the transformation. The transformation is everybody's job.

    ReplyDelete
  10. Total Quality Management (TQM) refers to management methods used to enhance quality and productivity in business organizations. TQM is a comprehensive management approach that works horizontally across an organization, involving all departments and employees and extending backward and forward to include both suppliers and clients/customers.

    Tools/ Techniques of TQM:
    • Bench marking
    • Outsourcing
    • Speed
    • ISO 9000
    • Quality Circles
    • Kaizen

    Elements required for TQM:
    • Customer oriented approach
    • Continuous process improvement
    • The use of team
    • Employee involvement
    • Employee Training and Development

    Deming Management:
    • To increase quality, organization needs to develop strategic plans.
    • Manger should realize that mistakes, defects, and poor-quality materials should not be acceptable .
    • First line manager should be allowed to spend more time working with employees
    • Management should create where employee report problem and recommendation.
    • Output should be not only defined in numbers, but also in quality.
    • Management should train employees to assure standard.
    • Management need to develop values and norms centered on improving quality.

    Deming’s 14 principle of TQM
    • Create constancy of purpose towards improvement
    • Adopt the new philosophy
    • Cease dependence on inspection
    • Move towards a single supplier for any one item
    • Improve constantly and forever
    • Institute training on the job
    • Institute leadership
    • Drive out fear
    • Break down barriers between departments.
    • Eliminate slogans
    • Eliminate management by objectives
    • Remove barriers to pride of workmanship
    • Institute education and self-improvement
    • The transformation is everyone's job


    ReplyDelete
  11. Total quality management (TQM) consists of organization-wide efforts to install and make permanent a climate in which an organization continuously improves its ability to deliver high-quality products and services to customers. While there is no widely agreed-upon approach, TQM efforts typically draw heavily on the previously developed tools and techniques of quality control. TQM enjoyed widespread attention during the late 1980s and early 1990s before being overshadowed by ISO 9000, Lean manufacturing, and Six Sigma.

    ReplyDelete
  12. Total Quality Management:

    TQM is a cooperative form of doing business that realises on the talents and contributions of both labour and management to continually improve quality productivity using teams.

    Approaches:
    1.Customer-oriented approach
    2.Continuous Process Improvement
    3.The use of team.
    4.Quality circles

    Techniques of TQM:
    1.Benchmarking
    2.ISO 9000
    3.Responsiveness
    4.Outsourcing
    5.Quality circles
    6.Six-sigma
    7.Kaizen

    Other TQM process:
    1.Pareto analysis
    2.Fishbone diagrams
    3.Control Charts
    4.Flow charts

    Deming Management:

    Deming's views on quality management:
    -to increase quality, oraganizations need to develop strategic plans
    -managers should realisethat mistakes, defects, and poor-quality materials should not be acceptable
    -first line managers should be allowed to spend more time working with employees
    -management should create an environment
    -output goals and targets should include not only numbers or quotas but also same notion of quality
    -management should assume the responsibilities to train emloyees in new skills
    -achieving better quality requires managers to develop organizational values and norms centred on improving quality

    techniques suggested by Deming to maintain total quality management:
    1.constant purpose
    2.new philosophy
    3.give up quality by inspection
    4.seek continuous improvement
    5.train everyone
    6.avoid the constant search
    7.provide real leaderhip
    8.drive fear out of the workplace
    9.promote teamwork
    10.avoid slogan and targets
    11.get rid of numerical quotas
    12.remove barriers that stifle pride in workmanship
    13.education and self-improvement are key
    14.the transformation is everyone's job

    ReplyDelete
  13. Total Quality Management(TQM): TQM is cooperative form of doing business that relies on the talents and contributions of both labour and management to continually improve quality and productivity using teams.

    Approaches:
    1.Customer-oriented approach
    2.Continuous Process Improvement
    3.The use of team.
    4.Quality circles

    Techniques of TQM:
    1.Benchmarking
    2.ISO 9000
    3.Responsiveness
    4.Outsourcing
    5.Quality circles
    6.Six-sigma
    7.Kaizen

    Elements required for TQM:
    1. Customer oriented approach
    2.Continuous process improvement
    3. The use of team
    4.Employee involvement
    5.Employee Training and Development

    14 techniques suggested by Deming to maintain total quality management:
    1.constant purpose
    2.new philosophy
    3.give up quality by inspection
    4.seek continuous improvement
    5.train everyone
    6.avoid the constant search
    7.provide real leaderhip
    8.drive fear out of the workplace
    9.promote teamwork
    10.avoid slogan and targets
    11.get rid of numerical quotas
    12.remove barriers that stifle pride in workmanship
    13.education and self-improvement are key
    14.the transformation is everyone's job

    ReplyDelete
  14. Total Quality Management (TQM) refers to management methods used to enhance quality and productivity in business organizations. TQM is a comprehensive management approach that works horizontally across an organization, involving all departments and employees and extending backward and forward to include both suppliers and clients/customers.

    TQM is only one of many acronyms used to label management systems that focus on quality. Other acronyms include CQI (continuous quality improvement), SQC (statistical quality control), QFD (quality function deployment), QIDW (quality in daily work), TQC (total quality control), etc. Like many of these other systems, TQM provides a framework for implementing effective quality and productivity initiatives that can increase the profitability and competitiveness of organizations.

    ReplyDelete
  15. TQM is a cooperative form of doing business that realises on the talents and contributions of both labour and management to continually improve quality productivity using teams.

    Approaches:
    1.Customer-oriented approach
    2.Continuous Process Improvement
    3.The use of team.
    4.Quality circles

    Techniques of TQM:
    1.Benchmarking
    2.ISO 9000
    3.Responsiveness
    4.Outsourcing
    5.Quality circles
    6.Six-sigma
    7.Kaizen

    Other TQM process:
    1.Pareto analysis
    2.Fishbone diagrams
    3.Control Charts
    4.Flow charts

    ReplyDelete
  16. Total Quality Management(TQM): TQM is cooperative form of doing business that relies on the talents and contributions of both labour and management to continually improve quality and productivity using teams.

    Approaches:
    1.Customer-oriented approach
    2.Continuous Process Improvement
    3.The use of team.
    4.Quality circles

    Techniques of TQM:
    1.Benchmarking
    2.ISO 9000
    3.Responsiveness
    4.Outsourcing
    5.Quality circles
    6.Six-sigma
    7.Kaizen

    Deming Management:
    • To increase quality, organization needs to develop strategic plans.
    • Manger should realize that mistakes, defects, and poor-quality materials should not be acceptable .
    • First line manager should be allowed to spend more time working with employees
    • Management should create where employee report problem and recommendation.
    • Output should be not only defined in numbers, but also in quality.
    • Management should train employees to assure standard.
    • Management need to develop values and norms centered on improving quality.

    Deming’s 14 principle of TQM
    • Create constancy of purpose towards improvement
    • Adopt the new philosophy
    • Cease dependence on inspection
    • Move towards a single supplier for any one item
    • Improve constantly and forever
    • Institute training on the job
    • Institute leadership
    • Drive out fear
    • Break down barriers between departments.
    • Eliminate slogans
    • Eliminate management by objectives
    • Remove barriers to pride of workmanship
    • Institute education and self-improvement
    • The transformation is everyone's job

    ReplyDelete
  17. Quality management ensures that an organization, product or service is consistent. It has four main components: quality planning, quality control, quality assurance and quality improvement. Quality management is focused not only on product and service quality, but also the means to achieve it. Quality management therefore uses quality assurance and control of processes as well as products to achieve more consistent quality.

    ReplyDelete
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