Total Quality Management - TQM

A presentation by:NIKHIL KADAM (MS1112066) CHANDAN JAGTAP (MS1112065) SACHIN METHREE (MS1112072) AJIT MANGARULKAR (MS1112071) UMESH PANASKAR (MS1112076)

Total Quality Management

TQM is a philosophy which applies equally to all parts of

the organization. TQM can be viewed as an extension of the traditional approach to quality. TQM places the customer at the forefront of quality decision making. Greater emphasis on the roles and responsibilities of every member of staff within an organization to influence quality. All staff are empowered

Total Quality Management

Doing things right..

.FIRST time.

British Standards on TQM

BS 7850-1:1992 Total quality management. Guide to management principles. BS 7850-2:1994, ISO 9004-4:1993 Total quality management. Guidelines for quality improvement

Elements of TQM
Leadership Top management vision, planning and

support. Employee involvement All employees assume responsibility for the quality of their work. Product/Process Excellence Involves the process for continuous improvement.

elements of tqm continued

Continuous Improvement -A concept that recognizes that quality improvement is a journey with no end and that there is a need for continually looking for new approaches for improving quality. Customer Focus on Fitness for Use -Design quality Specific characteristics of a product that determine its value in the marketplace. -Conformance quality The degree to which a product meets its design specifications.

A fundamental concept of TQM from BS 7850 - a process

A set of inter-related resources and activities which transform inputs into outputs. (ISO 8402). Any activity that accepts inputs, adds values to these inputs for customers, and produces outputs for these customers. The customers may be either internal or external to the organization. (BS 7850)

"The Simple Process"

Controls

Inputs

Process

Outputs

Resources

Changing Role of the Process Owner

Process 1 Input from supplier As customer Process owner Output As supplier Input As customer Process owner As supplier Output to customer Process 1

(Source: BS 7850: 1992, Total Quality

Management)

TQM & organizational Cultural Change

Traditional Approach
Lack of communication
Control of staff

TQM

Open communications
Empowerment

Inspection & fire fighting Prevention

Internal focus on rule

Stability seeking Adversarial relations

External focus on customer

Continuous improvement Co-operative relations

Allocating blame

Solving problems at their roots

Expectations > Customers expectations for the product or service Gap Customers perceptions of the product or service

perceptions Customers expectations of the product or service Customers perceptions of the product or service Expectations = perceptions Gap Customers expectations for the product or service Expectations < perceptions Customers perceptions of the product or service

Perceived quality is poor Perceived quality is good

Perceived quality is governed by the gap between customers expectations and their perceptions of the product or service

Additional views of Quality in Services

Technical Quality versus Functional Quality Technical quality the core element of the good or

service.
Functional quality customer perception of how

the good functions or the service is delivered.

Expectations and Perceptions Customers prior expectations (generalized and

specific service experiences) and their perception of service performance affect their satisfaction with a service.
Satisfaction = (Perception of Performance)

a gap model of quality

Previous Experience Word of mouth communications Image of product or service

Customers expectations concerning a product or service Customers own specification of quality Gap 1

Customers perceptions concerning the product or service Gap 4

The actual product or service

Managements concept of the product or service Gap 2

organizations specification of quality

Gap 3

Continuous Improvement
Philosophy that seeks to make never-ending

improvements to the process of converting inputs into outputs.

Kaizen: Japanese

word for continuous improvement.

Implementing TQM
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

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.

Some criticisms of TQM

1. Blind pursuit of TQM programs 2. Programs may not be linked to

strategies 3. Quality-related decisions may not be tied to market performance 4. Failure to carefully plan a program

PDCA Cycle repeated to create continuous improvement

Performance

Plan Act

Do
Check

Continuous improvement

Time

Recognizing and rewarding Quality

Promotion of high quality goods and services
Malcolm Baldrige National Quality Award (MBNQA)

(United States)
Deming Prize (Japan) European Quality Award (European Union) ISO9000 certification

The integrated framework of the Baldrige Award criteria

Continual improvement of the quality management system

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

Resource management
Requirements

Measurement, analysis and improvement

Satisfaction

Input
Key: Value adding activity information flow

Product realisation

Output

Product

Overview of the EFQM Excellence Model

Quality Award common elements

All take holistic approach Customers/people

Measurable characteristics
Visible Basis taken from TQM

Summary
TQM a way of working Involves everyone

High prominence on customer

Awards based upon TQM