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Table of Contents Section: Introduction Chapter 1 Introduction Introduction Different Aspects of Quality Implications of Quality Quality Control Consequences of Poor Quality Cost of Quality Optimum Quality Cost Evolution of Modern Concepts 1. 1 I. 1 ie ir 1 1 1.9 Quality Gurus oeU ADRES Section: Basic Tools of TQM Chapter 2 Total Quality Management 2.1 TQM: What It Is Gs Seven Basic Tools of TQM Chapter 3 Seven Basic Tools of TQM 3.1 Check Sheet 3.2 Stratification Analysis 3.3. Histogram Be Pareto Chart 3.5 Process Flow Chart Cause-Effect Diagram 3.6.1 Procedure of constructing a CE diagram 3.6.2 Types of CE analysis 3.6.2.1 Cause enumeration 3.6.2.2 Process analysis 3.7. Scatter Diagram 3.7.1 Some considerations 3.8 Control Chart 3.8.1 Types of control charts 3.8.2 Description 30 30 32 34 37 40 41 41 41 42 42 45 48 49 49 50 Section: Other Tools of TQM Chapter 4 Other Philosophies and Tools of TQM 4 42 43 44 45 4.6 47 48 49 Kaizen 4.1.1 Kaizen policy and goal 4.1.2 Tools used in Kaizen PDCA Cycle Quality Function Deployment (QFD) 43.1 Background ' 43.2 Customer requirements identification 43.3 Methodology 43.4 QED process Quality Circle (QC) 44.1 Background , 4.4.2 Requirements for successful implementation 4.4.3 Some cases of successful implementations 443.1 Healthcare 443.2 Academics 4.43.3 Public Administration 4 Manufacturing 4. KC Analysis 4.5.1 Determining candidates 45.2 Finding the root cause 45.3 Toresolve or not to resolve Supplier Development 4.6.1 Long-term partnerships 4.6.2 Barriers to developing partnership 4.6.3 A cultural implication 4.6.4 Setting partnership arrangement 465 The most critical point in partnership Benchmarking 4.7.1 Background 472 Whatitis 4.7.3 Some burning issues of benchmarking Business Process Reengineering (BPR) 4.8.1 Whata business process is 48.2 How does BPR differ from TOM 483 Risks of and baniers to BPR 484 Relation between BPR & It 48.5 BPR methodology 48.6 Why BPR projects fail Brainstorming 4.9.1” Application areas 4.9.2 Basic ethical rules to remember $ret 4.10 lure Mode and Effect Analysis (FMEA) 104 4.10.1 What itis 104 4.10.2. Types of FMEA 104 4.10.3 Methodology 10S 4.10.4 Goals of FMEA 106 4.10.5 Benefits of FMEA 107 4.10.6 Development of a design FMEA 107 4.10.7 Development of a process FMEA 107 4.10.8 Analysis of failure data 108 4.10.9 Recommended actions for design and process 108 FMEA 4.10.10 Remarks from some examples 108 4.10.11 Some recommendations 109 4.10.12 Concluding remarks 110 Chapter5 Organizational Assessment and Quality Awards M2 5.1 Introduction 5.2 Award Systems 5.3 Deming Prize 5.4 The Malcolm Baldrige National Quality Award (MBNQA) 5.5 The European Quality Award (EQA) 5.6 Shingo Prize 5.7 Self-assessment 5.7.1 Assessment guidelines 5.7.2 Questionnaire Section: Statistical Quality Control 127 Chapter 6 Statistical Quality Control 129 6.1 Introduction 129 62 Objectives of SQC 129 63 Implications of Statistics 130 Chapter 7 Processes 132 7.1 Definition of Process 132 7.2 Feedback Loop 134 7.3. Variation in a Process 134 7.4 — Measures of Process Goodness fas Chapter 8 Process Capability Analysis ne 8.1 Introduction 136 OS 8.2 83 84 BS Basic Concepts of Process Capability Process Potemtial Index Process Performance Index Process Centering Index Chapter 9 Control Chart Principles 9.1 9.2 9.3 94 95 96 Introduction Sources of Variation Basics of Control Chart Operating Characteristics Curve Errors in Control Chart Types of Control Charts Chapter 10 Control Charts for Attributes 10.1 10.2 10.3 10.4 10.5 10.6 Introduction The Basics of p Chart (Fraction Non-conforming) 10.2.1 Setting the control limits 10.2.2 Constructing p control chart The np Control Chart Control Charts for Nonconformities The ¢ Chart The u Chart 10.6.1 Variable control limits Chapter 11 Control Charts for Variables Ld Introduction 11.3 114 The X-S Chart 11.3.1 The concepts of X and S charts Control Charts for Individual Measurements Chapter 12 Special Type of Control Charts 12.1 12,2 12.3 12.4 12.5 Introduction The CUSUM Chart Weighted Average Charts Moving Average (MA) Chart Exponentially Weighted Moving Average (EWMA) K Chapter 13 Introduction to Acceptance Sampling 13.1 13.2 What It Means Advantages and Disadvantages 36 136 140 144 146 146 146 147 152 153 158 160 160 161 164 164 167 167 169 174 174 181 181 181 190 190 192, 196 196 196 199 199 203 207 207 208 ‘Types of Sampling Some Definitions Related to Sampling Plans Parameters and Symbols Used Acceptance Single Sampling Plans Double Sampling Plans Multiple Sampling Plan Sequential Sampling Plan Military and ANSI Standards 13.1.1 Type of inspection and rule of switching 1311.2 Inspection level Section: Quality by Design 229 Xouarer 14 Reliability Theory 231 14.1 Defin 231 14.2 Why Reliability is Important 231 14.3 How Product's Reliability Can Be Improved 232 14.4 Reliability Redefined 233 14.5 Reliability of a System 233 14.6 Series System 234 14.7 Parallel System 235 14.8 _ Reliability as a Function of Time 236 Chapter 15 Six Sigma Management 241 15.1 Definition 241 15.2 Normal Distribution Assumption 241 15.3 Relationship Between VoP and VoC 242 154 1.5-Sigma Shift in The Mean 245 15.5 Does Six Sigma Matter ? 248 15.6 The DMAIC Model for Improvement 248 15.7 Few Examples of Six Sigma DMAIC Program 249 15.8 Certification Schemes on Six Sigma 252 159 A Case Study of Six Sigma: Cummins Inc., USA 233 Chapter 16 Taguchi Loss Function 287 16.1 Introduction 237 16.2 _ Inside History 257 16.3 Quality Loss Function 258 164 Traditional Goal Post View of Quality 260 16.5 Continuous Improvement View of Quality 262 166 An Example of Tolerance Design 268 | Chapter 17 Design of Experiments (Dok) Section: Chapter 18 Introduction Multi Vari Chart , 17.2. Basics of Multi Vari Chart Variables Search 17.3. Introduction 17.3.1 Basic algorithm Factorial Analysis principle Methodology Supplementary Topics on Quality Management Defect Prevention Program Zero Quality Control 18.1 What ZQC Is Seven Wastes in Industrial Prod 18.2 What It 18.2.1 What seven wastes are 18.2.2. Controlling seven wastes tion Jut In Time (JIT) 18.3 What JIT Is Lean Manufacturin 18.4 What It Is Poka-yoke Systems: Mistake-proof, Fail-proof Mechanisms 18.5 What It Is 18.5.1 Some examples of Poka-yoke SMED: Single Minute Exchange of Dies 18.6 Introduction 18.6.1 Historical development 18.6.2 Formal method 287 287 287 288 288 288 289 291 291 292 292 293 293 294 294 204 295 296 The 18.7 Philosophy What Its 18.7.1 What these are 18.7.2. How to achieve 5S N Chapter 19 Total Productive Manufacturing 19.1 19,2 Introduction Total Productive Manufacturing (TPM) x Chapter 20 Total Productive Maintenance (TPM) 20.1 20.2 20.3 20.4 20.5 20.6 20.7 20.8 20.9 20.10 Introduction History of TPM Benefits and Objectives of TPM Goals of TPM Types of Maintenance ‘TPM Versus TQM Characteristics of TPM Eight Pillars of TMP Steps in TPM Implementation : A Case Conclusion Section: Compliance System Chapter 21 Introduction to ISO9000 21.1 21.2 21.3 21.4 21.5 21.6 21.7 21.8 21.9 21.10 What It Is Application Base Principles behind the system Documentation System Audit and Certification Major Clauses (ISO9001:2008) Historical Evolution New Version IS09001:2015 Key elements of new version Clauses (Sections) of new version Tables Table A: Standard Normal Distribution Table B: Factors used in 30 Quality Control Charts Table S-1 ampling Plan Table (MIL-STD 105D / ANSI Z 1.4) Table S-2: Single Sampling Plan (MIL-STD 105D and ANSI Z1.4) Table S-3: Double Sampling Plan (MIL-STD 105D and ANSI Z1.4) 297 297 297 300 301 301 301 303 303 304 305 306 307 309 309 317 318 319 INTRODUCTION . Chapter 1 | Introduction The business world has witnessed a change in the trend and fashion of business in the 21st Century. “Quality” has become a common norm for success in business. The ‘Quality revolution’ began in Japan after World War Il, and las now,spread to North America and other parts of th® world. But the level of success in Japan and otacr countries differ significantly. It is partly because of difference in societal culture, and partly because of difference in organizational culture and organizational behavior. Bau, lon, ~ TY Introduction fe ni . vey There are hosts of opinions as to how to define quality. Traditionally producers think 2 about quality as a determinant of producer, more specifically determinant of engineers ty and marketing professionals. But the new concept of quality differs here{It defines 9%, " a om quality as a inant of customer} more specifically level of customer sttisfaction determines level of quality. Broadly speaking, customers want see a result from the “az, Product or service what they pay for Bex, In general (analy refers to the characteristics of a product or service that defines its Stidity to consistently feet or exceed customer expectations) The characteristics are added to the product or service through out its value chain, right from materials procurement, up to customer _use. As such, all the departments SF an organization have some roles to play in determining quality of the product or service. Some others have defined quality as “Fitness for use”, which typically means its performance, conformance, safety, durability and reliability. 4 Y Quality emerged as a major factor in business success after World War Il, when Japanese opted for fighting in three fronts ~ quality, productivity and price. Prior to this, the US business organizations tended 1 focus om oaly-price- quality being a distant second factor. The success of Japanese changed the whole coinplexion of business in the world. People started realizing the utmost necessity of quality as the primary success factor. In fact, the Japanese injected a revolutionary idea that increased quality means decreased cost, a completely opposite idea commonly prevailing those days, even parily now-a-days. The Japanese got an upper-hand, by taking a significant lead in the world business and capturing a significant share of the U.S. market. For instance, in the automotive sector, two leading Japanese manufacturers, Honda and Toyota, now account for around 20 percent of the auto sales even in the United States. Both Honda and Toyota have built a reputation for quality and reliability in their cars. § manufacturers ‘The perceptions about quality among Japanese and the counterpart US mant e, whi companies vary wvidely, n fact, it is a basie difference. For example, while miny is ere neasure poor quality in terms of defectives per hnudred, many YaParve. eT og Achieved such 'a high level of quality that they measure poor quaNty defectives per million units produ ¢ - cost and quality. The main formance) obtained from the the price and performance of terest in two parameter: ‘There may be conflict of it n theme is whether the customers ‘value’ the service (Per product against the price they pay. A balance between | the product is the focal point of “quality”. As an example, a gear manufacturer was thinking of two ee ees ae ed for producing gear cast is not sufficient to melt and add Nickel. I that case he gears can not withstand high pressure and elevated temperalire 1 © in use, but price aerate low, On the other hand, a new high capacity fumave can be proses 27S ceirmelt Nickel for mixing with other materials to produce gear cast. This gear cen withstand high pressure and temperature, but price goes uP- ‘The customer for the gear was contacted by the manufacturer's sales departmen’ 19 order to identify customer's requirements. It was learnt that the function for which i is being used, does not operate under high pressure and temperature while in use, bit price is very important, The manufacturer's decision, therefore, was in favor of the eimrent furnace, and gear cast without Nickel, which became the company’s “quali product, Thus, customer’s requirements were reflected back into the product. 1.2 Different Aspects of Quality Customers are interested in various aspects of quality depending upon requirements, which may vary widely from case to case. It is hard to identify any specific aspect as being the sole characteristic of quality. In many cases, customers may not have clear idea about what aspect to look in to. Nevertheless, a customer generally has perceived ideas about quality, depending upon some commonly considered views. However, whatever is done, one must always keep in mind that commitment to quality is actually ensured at design stage, which involves decisions regarding specific characteristics or aspects of a product or service such as shape, size, aesthetics, and so ‘on. The designer has to decide about target quality against cost through an efficient quality plan, The ‘Quality of Design’ refers to level of quality that can be achieved without increasing committed cost. An efficient design means better “Quality of Design’. This is done by the designer by including or excluding certain features in a product or service. Design decisions must take into account customer wants, production or service capabilities, safety and liability (both during production and after delivery), costs, and other similar considerations. Customer wants may be seterined by collecting information through customer survey, a marketing research tool. ‘Manufacturability’ is another important thing to think about while ing desi a ; reparing design. A good design may be such that it becomes difficult to paamntuctire eee) vi AMSA Ite = “ \ #)The commonly considered . ———— OY 2. * Performance ~ This refers to appropriate Finetional increasing the chance of failure and cost as well. Designers must kc closely with es of operation the equipment, capacity, and skills neces design, sof q) of the prodtict, or “oy, Whether the product performs satisfactorily as desired or expected by the {, Customer. This refers to not only the target output, but also up-to-the-mark evel of output. as planned by the producer. * Conformance — Each product should have a fpeciticationyeither stated by the customer, or designed by the producer. Conformance refers to how % well or accurately a product or service corresponds to designed specifications. Conformance means [*as per specicatiorsy. Out of specific mn situation is termed “defective” to mean NOTFcoMformance. This adherence is important from customer point of view. Any deviation from specification creates customer dissatisfaction. Conformance is affected* by process capability, operator skills, training, and motivation: manufacturability; monitoring process to assess conformance, corrective and preventive action, etc. + Reliability — This refers to the ability of an item to perform a required “Function under stated conditions for a period of time. It i red tht terms of probability of performance. This may also mean gonsistency of = cperformant over a period of time. — % © Durability — This refers to useful fiechnicat uf or longevity of ~& performance of the product or service. However, technical life may be shorter than economic life of the product. © Innovative features - Extensive research on product has led towards frequent introduction of innovative features in product line. This hora jum_made product life cycle shorter. Innovative feature refers to jextrd {useful characteristicSpof the product, more than the desired primary ones. * Service after sale - For many years, service after sales had been considered as an extra business, or an optional aspect. But, now-a-days, because of increased focus on customer satisfaction, service after sales is considered as part of the product. Handling of customer complaints, or checking on customer satisfaction, warranty, etc. are considered as after- sales-service, Truly speaking, increased competition brings better after-sales service as a follow-up activity to sales. eee, 4 “a @Maintainability / Serviceability ~ Maintenance and servicing of fee... engineering products are of importance now-a-days to a large cross-section of customers. Products should he designed in such a way that ig options for maintenance and servicing. fof customer's quality requirements © Ease of use — One of the recent trend is ease of use of product, Customers never like a product whic to use, Thus, ease of use has become on It must be noted that quality does not mean technical coro From technology point of view, a product may be technologically escent, Put may not be a "good quality product” if it is difficult to i customers because of technological complexity. While in use, base of ct ctions are tant. Customers. patie use’ and clear-cut user instructions are import . : clients, of other users must be clearly informed on what they should or should not do, #+ Aesthetics ~ Aesthetics of product, especially in case of consumer goods, is of utmost importance to customers. Thus, aesthetics is also an important aspect of quality, © Others — Now-a-days, many other aspects, such as safety, health issues. etc. are considered as part and parcel of quality. Fo*“instance, customers are increasingly becoming interested to know whether a product contains more than a safe range of chemical, which is detrimental to health. In addition to above aspects of quality, there are many other producvservice specific aspects as well. 1.3. Implications of Quality There are several things which have direct im ‘and use it, or they are responsible for delivering it. In other words, these are the key clements that have direct relation with quality. The basic elements those have implications with quality are of four categorie: plications with quality. Either they want 1. Customers ~ They are the ultimate users or benef any quality management drive should focus gn’ this quality plan aries of quality. As such, element while preparing a Processes ~ This element is res, onsible for transforming the iny i 1 puts to quality used to think that the process is the only factor 3. Employes ~ Now-a-days, role o valued highly. Employees are con be kept satisfied in order to del trained regularly, with high degre reemibloyee in delivering quality product is dered as intemal customers, who need. to ver quality produet, Th ® of motivation and ski,” “NY Should be Aweenjere ac#t p! = 4. Materials — Role of suppliers in delivering quality goods is now well recognized. A good manufacturing process does not have much to contribute to quality if supplicd materials are not of good quality. That's why the Japanese producers now extend their quality activitie premises, up to the suppliers’ Quality Control 4 S$ te 7 Ps In management, control is the next step of planning. Once the plan is implemented for execution, if needs to be monitored to ensure stipulated outcome. This is where certain degree of control is required (The activities required for act planned of desired quality target, for confornrance, is termed quality “control” /it is quite similar to production control in the shop floor, or budget control in the financial year, or cost control in project management. 1h ar soma Sr 5 such control: 1. Seuting benclimarks = nine he eure uly wget ems of a trade- off between cost ahd” quality characteristieshaspects (sue as performance, reliability, etc.). While setting benchmarks, or standards, manufacturability of machineries and equipment, and skill of manpower need to be taken into account. 2. Appraising conformance. Regular monttoringland evaluation are essential for measuring key characteristics of quality, preferably in quantitative terms, which should be followed by appraisal for ensuring conformance as per specifications. 3. Acting when necessary. If conformance appraisal shows deviation from the benchmarks, or stipulated output, necessary correct measures should be taken in order to avoid such occurrence. Necessary diagnosis must be performed to identify and subsequently remove their causes throughout the complete value chain functions, such as, procurement, design, production, maintenance, delivery, logistics, etc., which influence customer satisfaction. 4. Planing for improyenents. As contr funetions have significant impact on quality, necessary plans must be formulated for future better quality control. This seems fairly similar to Plan-Do-Check-Act (PDCA) cycle of TQM, which has been discussed thoroughly in TQM section of this book. Effective and efficient control is the key in management success. If control fails, the organization fails to operate, 1.5 Consequences of Poor Quality The consequences of poor quality are grave and of many folds in business term. Poor quality means many things, which ate sometimes irrecoverable. Some are worth explaining: Sheulsyi Rion BMP AIQUAD CAMER 7 TD) ZEMBAIGUAD GAMER IS 1. Lower Productivity 2. Loss of productive time 3. Loss of material 4. Loss of business 3. Liability Productivity. and quality are closely related, thus, inseparable. Since, poor quality means rework and rejection, it adversely affects productivity in manufacturing process. Studies have shown that garments companies in Bangladesh have rework cate ns 10% loss in productivity (thoug’ h approximately as high as 10%, whi straight forward). productivity calculation is not th very high for many reasons, one being the Productivity in Japanese industries is : philosophy — *Right the First Time’, which means no defectives at all, even no loss of time through trial and error. In many cases, the defective products can not be reworked for further use. This may mean rejection, which not only means loss of material, but also loss of other resources and useful time spent in producing those products. The most severe problem of bad quality is loss of business. Failure of a product while in use can severely damage the organization’s image, which is detrimental for business. A potentially devastating consequence to the bottom line is the reaction of the consumer who receives a defective or otherwise unsatisfactory product or service. A recent study showed that, while a satisfied customer will tell a few people about his or her good experience, a dissatisfied person will tell an average of 19 others. Loss of image can be detrimental to organization's survival, It must be remembered that image or brand is created over the years of reputation, while one or two defective products may destroy the image in a moment. Poor quality increases certain other costs. These include liability costs in terms of warranty cost, replacement and repair cost after purchase, and any other costs expended in transportation, inspection in the field, and payments to customers or discounts used to offset the inferior quality. In some instances, the costs can be substantial, Liability claims and legal expenses are perhaps obvious. Other costs can also be substantial. ‘The following section provides further detail on costs associated with quality E : 4 Cost of Quality Quality is considered as a major source of i i Qualit a ce of increase in cost, though ii ijorit ; ed as a mi , though in majo situations those are not visible enough, Like all things, there is a price oe 4 ' . for quality — ‘for achieving it’, as well as ‘for loosine ir" r in to two fundamental areas: ‘or loosing it’ also. This total cost can be split + Non-conformance ~ This cost is ‘for loosing quality’. This area covers the price paid by not having quality systems, ora quality product/service, Cost for a non-conformance incurs because of several reasons, which are: 1, Rework Doing the job over ag: “time. because it wasn't right the first 2. Scrap — Throwing away the outputs of production process, because it is co not up to the required standard, 3. Sounsime — Not being able to do the job, because a machine is out of order, * Conformance - This cost incurs ‘for achieving quality’. Conformance is an aim of quality assurance, whith~meansit~has-been produced as. per Fequirements. But the requirements are achieved at a price. Cost of Conformance occurs because of several reasons, which are: 1. Planning — Well structured plan for prevention of defects, in order to do the’ right things the first time. It includes also continuous improvement plan as well. Documentation — A paperwork, which includes written instructions, standard operating procedures (SOP), technical records et. 3. Training — Continuous training to keep the workforce up-to-date on recent developments on quality, to interpret and follow basic operating procedures, etc, 4, Auditing — Intemal and external audit to ensure conformance to requirements and any improvements required. 5. Inspection — Regular invigilation to sort out conforming and nonconforming items. Different kinds of cost elements are associated with various types of quality issues. Those costs can be classified as below (Figure 1.1): Prevention Cost of contrl << Z (conformance) Appraisal Cost of quality ~~ Internal failure Cost of failure to control (nonconformance) eee ite Figure 1.1: Classification of cost of quality. iefects) or non- Prevention cost ~ This cost covers activities for( avoidinr conform Prevention includes activities that prevent recurrence: of defect generating causes. Prevention is certainly better than correction. Prevention costs include id administration systems working for prevention 1, quality control procedures, better an and’ production phases to preventive maintenance, such costs as planning planning, working with vendors, trait equipment, extra attention in both the des decrease the probability of defective workmansh poka-yoke, ete, Appraisal cost — This cost covers activities odied ott Slefects, identify effectiveness of current quality management systei-and“identify areas for mprovement. Quality appraisal means quality evaluation. Appraisal includes audit, calibration, measurement, inspection, testing, and other related activities intended to uncover defective products or services, or to assurance of conformance. Appraisal costs include inspection, testing and auditing costs, which are often too high to be ignored. Internal failure — This covers cost elements that are bmn by the organization itself, such as rework, scarp, redesign, modifications, corrective actions, downtime, ete. External failure — This covers cost elements that are (borne 3 (although the ultimate impact goes on the producer in terms of loosing business), such as{product failure in use, warranty loss, administrative cost t deal with customer'complaints, loss of go Let’s discuss the issues of internal and.external failures in more detail. Operational failures of products because of defective parts are not uncommo: in many industries, They occur either in production, testing, or in use. Failur costs are incurred by defective parts or products, or faulty services. Failure costs may further be classified in to two types: Internal failure an external failure costs. Internal failures are those that are identified in th production process, whereas external failures are those that are identi i lent delivery to the customer, ic. in use. tified afte Intemal failures occur for a variety of reasons, including substandard or low quality materials from vendors, incorrect machine setups, faulty equipmen inappropriate methods of processing, carelessness, lack of attention, and foal or improper material handling procedures. The costs of interval. failure include lost production time, lost resources, scrap, rejection, rework, possib! equipment damage, possible employee injury, ete, ; a External failure means defectives or poor service that go undetected by the producer, but becomes evident while in use. Resulting costs include warranty work, handling of complaints, replacements, liability, and more importantly loss of customer goodwill. As stated earlier, a common rule of thumb about loss of goodwill is ~ “while a satisfied customer tells three or four others, a dissatisfied customer tells eight or nine others” 1.7 Optimum Quality Cost s defect level drops, failure costs decline while appraisal plus prevention costs increase, This apparent tradeoff suggests that an optimum quality level exists, and that attempts to further improve quality above this level will increase total cost and decrease financial performance, Proponents of this view therefore argue that striving for zero defects (ZD) through a program of continuous improvement (Cl) is not always in a company’s best economic interest, Joseph Juran discussed the concept of optimum quality in the following manner (Figure 1.2). Total cost Failure cost Minimum cost ~ Prevention and appraisal cost Cost per good unit of products 100% defective 100% good Quality level @ ———————> Figure 1.2: Quality costs (Juran Model). Juran describes the curve in three zones: the upper part being the ‘zone of perfectionism’, the middle part the ‘zone of indifference’ and the lower part the ‘zone of improvement projects’. Itis the zone of perfectionism that troubles the proponents of zero defects, where any further very small scale improvement may require exponential increase in prevention cost, and thus total cost as well. Beyond the point of minimum cost, any further improvement will require too high investment in prevention activities, and thus increase in total cost. Hence, 100% good quality level may not be of interest to the u Company in terms of cost. If this is true, then zero defect concept is not economically beneficial Nevertheless, other experts of quality do not completely agree with this explanation They view that minimum cost is achieved at the point of *100% good quality”, as shown in Figure 1.3. In th Ww, prevention and appraisal cost flattens out after a certain degree of perfectionism is achieved. Hence, total cost does not increase any more. Failure cost Minimum cost Prevention and appraisal cost Cost per good unit of products Gt 00% detective 100% good “G Quality Level g ———————> Figure 1.3: Quality costs (alternative view). Evolution of Modern Concepts The recent view of quality management has arrived at this stage through a long history of evolution. Several experts contributed in revolutionary manners, which completely reshaped the ideas of quality management what people used to think for a ong time. In many cases, the new ideas are just the opposite side of the coin, For a long time, people used to think that quality is an issue to be dealt by quality control and production departments. This vital function was really confined within the functional boundary of these two departments. The quality control was heavily inspection-based before its final delivery to customers. In this kind of mass inspection system, emphasis was on finding and correcting problems, known as rework. Two major problems, related to this kind of system are : firstly, time required for heavy- inspection, and manpower required incur considerable costs; secondly, in many cases, hidden problems could not be found before the end of the line. In the 1950s, the philosophies of quality management went through a revolutionary change. Before that, people used to think suppliers as adversaries, who need to be 12 dealt with strong hand through tough negotiation. The raw material suppliers" stake | and interest in product quality was not of inter other hand, suppliers? producers too, est to the suppliers themselves. On the contribution to quality and role was not recognized by the But from late 1950s and early 1960s, the philosophies went through a breakthrough | change. The philosophy of ‘mutual benefits’ of suppliers and producer got footage: | Many companies, especially those Japanese, shifted their concentration from detecting defects in the production process, to prevention, company-wide. Price tag- based supplier selection was shifled to long-term relation-based supplier selection Moreover, quality is no longer the exclusive domain of the quality control department. Instead, it is the responsibility of everybody in the organization. Suppliers are being treated as partners in the venture. In this more enlightened approach; price is only one of several considerations that are taken into account when dealing with suppliers. These completely revolutionary ideas were imparted by several Quality Gurus, which are discussed in later sections in this chapter. fo four domains : As outlined earlier, quality was totally inspection-based. Inspection aimed at sorting and grading the output. In this stage, the corrective action took place at the end of the production line, when wastes were already created, and corrective action was impossible. The complete evolution of quality may be divided in * Early stage: Inspection-based quality ‘© The next stage: Statistical Quality Control People started realizing that heavy inspection-based systems are_often time and_expensive. The new idea was{sampling-bas« where random —~ samples used to be taken for further statistical analysis-to-evaluate the ability of the processes. This is known as Statistical Process Control and Statistical Quality Control (SPC/SQC). Necessary actions used to be taken when the system goes out of the limits, But still then, involvement of all in the organization was not thought of. The idea was still limited to quality and prodyatian departments. © The third stage: Quality Assurance AM rQ Adbun “TY wy pres A new idea evolved which says — one ci ive early assurance if a process is. diagnosed as being capable. Quality assurance (QA) Blase in Which stress was on “Coro | providing some advance assurance of quality of the service/products that it would fulfill the requirements of customers, received acceptance. 1a «Last and current stage: Total Quality Management (TQM) The most modern idea of quality says ~ quality is not the responsibility of two departments only, rather a responsibility of ail in the organization. When the © the definition of quality, the shment. This is Total Quality philosophy of ‘Customer satisfaction’ bec ation-wide quality Management got establis Man ovement. Management (TQM), which advocates for end-tess continuous impr i ese stages of evolution: The following table (Table 1.1) summarizes the views of these sages of Table 1.1: Summary of evolution. a Stage 4 ] Criteri | Inspection : Objecive Measurement of | Statistical ees specifications for | Process Control i a cnet ternal conformance | foranalyzing | foradva ee process assurance, exten capability documentation | satisfaction and audit ne Responsibility] Quality control | Quality eonirol | All departments | Top mats for quality | and production | and production lee ara departmentd | ¢eparimentt including external stakeholders (e.g . suppliers, etc.) fo Quality Gurus Guru, though a Sanskrit word, is now used frequently, to mean expert, in quality control, In the history of evolution of modem quality management, hundreds of individuals contributed with theories and practice. Some of their ideas and philosophies were revolutionary and brought break-through changes. Those revolutionary change makers are widely known, and have been accorded a “guru-like” status. Among the five most influential and widely known quality gurus are: W. Edwards Deming, J. M. Juran, Philip Crosby, Kaoru Ishikawa, Walter Shewhart and Shigeo Shingo. LW Edwards Deming Dr. Edward Deming is, perhaps, the most widely recognized quality guru. Initially, he was a Professor of Statistics at New York University in the USA during 1940s, He preached application of statistics in managing quality, but unfortunately he didn’t have many admirers. With much anguish, he went to Japan after World War II to help the Japanese in improving quality and productivity. Some drastic changes took place. First of all, the Japanese were very interested in listening o him. Secondly, they were eager in doing what ever possible to regain their positions back in the world business Deming presented 4 series of lectures on quality issues, This impressed the Jay anese so much that, in 1951, they established the Deming Prize, which is awarded armuall to the firms, excellent in practicing quality management programs. ¥ 14 ee The philosophies of Deming brought tremendous success in Japanese business and industry. Then after, he was regarded with reverence by the Japanese, although he was largely unknown to business and academic society in the United States, He stayed in Japan for almost 30 years with high level of recognition, with just the opposite scenario in his own country, the United States, Finally, in the late 80s, he was drawn to the attention of the US busin ed with due respect to his own country for a series of heavily attended lectures. Afterwards, many US companies started applying the philosophies of Deming, From his long practical observation and thinking, Deming compiled a now-famous list of 4 points, what he believes are the prescription needed to achieve quality in an organization. Surprising though, all the 14 points are management-oriented and none are technical in nature, though people used to think that quality control is technical in nature, It is indeed, but his basic message is that the cause of inefficiency and poor quality is the system, not the employees, and that it is management's responsibility to Correct the system in order to achieve desired results. In addition to the 14 points, he Stressed the need to reduce variation in the process parameters (deviation from a standard). In order to accomplish this, Deming emphasized the importance of distinguishing between special causes of variation (ie., that is identifiable and correctable), and common causes of variation (j.e., that is natural and thus random). 2, Walter A. Shewhart Shewhart was bom in New Canton, Illinois, USA on 18th March 1891. His schooling in physics at the Universities of Illinois and California led him to his doctorate and a brief spell as an academician, In 1918, Shewhart joined the Western Electric Company, a manufacturer of telephony hardware for Bell Telephone. Bell Telephone’s engineers had been working to improve the reliability of their transmission systems. Because amplifiers and other equipment had to be buried underground, there was a business need to reduce the frequency of failures and repairs. Bell Telephone had already realized the importance of reducing variation in a manufacturing process, the basis of all Jean production. Moreover, they had realized that continual process-adjustment in reaction to non- conformance actually increased variation and degraded quality. In 1924, Shewhart framed the problem in terms of "assignable-cause" and "chance-cause” variation and introduced the "control chart" as a tool for distinguishing between the two. Shewhart stressed that bringing a production process into a state of "statistical control", where there is only chance-cause variation, and keeping it in control, is necessary to predict future output and to manage a process economically. Shewhart worked to advance the thinking at Bell Telephone Laboratories from their foundation in 1925 until his retirement in 1956, publishing a series of papers in the Bell System Technical Journal. In 1932 ES Pearson read a paper to an Ordinary meeting of the Royal Statistical Society in London, England describing Shewhart's ideas in mathematical terms, Shewhart’s charts were adopted by the American Society for Testing Materials (ASTM) in 1933 and advocated to improve production during World War II in American War Standards Z1.1-1941, Z1.2-1941 and Z1.3-1942. It was during this period that W Edward Deming founded a systematic critique of data-based 15 ning went on to Japanese, and hts. Following the war, Dé an industrial consultant to ystematie strategy for in Japanese management, premised on Shewhart champion Shewhart's methods, working latterly US, corporations from 1950. to 19 business improvement was responsible fer 090, Deming’s 1 dramatic increase prodluctivity over that period Je, combining J Improvement cy This cycle contains four fecmmonly referred to as the improvement. The Shewhart Cycle Learning and oth ereative management thinking with statistical anal continuous steps: Plan, Do, € heck and Act. These steps PDCA cacle), Shewhart believed, ultimately Head to total Wt n evele draws its structure from the notion that constant ion of management practices, as well as the willingness of ment to adopt and disregard unsupported ideas, are keys to the evolution o sful enterprise. However, the cyele was developed and made popular by Edward D ny it (PDCA Cycle) is known as Deming Wheel. He also developed the ing. This is sears he was editor of the Wiley Series in Mathematical Statistics. He died For twenty y March 1967. at Troy Hills, New Jersey, USA on 11th 3. Joseph Juran ‘orn in Braila, Romania in December, 1904 in the poor s later, Jakob left Romania for America. By 1912. he f the family to join him in Minnesota, USA. Despite an opportunities, the family continues in poverty. Joseph Moses Juran was bi family of Jakob Juran. Five year earned enough to bring the rest of this hopeful emigration and Americ is affinity for knowledge; in school, his level of Young Joseph Juran demonstrates hit exceeds the average that he eventually mathematical and scientific proficiency so Skips the equivalent of four grade levels. In 1920, he enrolls at the University of Minnesota, the first member of his family to pursue higher education. By 1925, he had received a B.S. in electrical engineering and is working with Western Electric in the Inspection Department of the famous Hawthome Works in Chicago. The complexity of this enormous factory, manned by 40,000 workers, presents Juran with his first challenge in management, In 1926, a team of Quality Control pioneers from Bell Laboratories brought a new program to Hawthome Works [‘division of labor’ — Frederick Taylor, the father of scientific management]... The program, designed to implement new tools and techniques, required a training program. From a group of 20 trainees, Juran became one of two engineers for the Inspection Statistical Department, one of the first of such divisions created in American industry. By 1937, Juran was the chief of Industrial Engineering at Western Electric's home office in New York. His work involved visiting other companies and discussing slaheds of quality management. using World War Il, Juras temporary leave of absence from Western Electric stretched through four years. During that time, he served in Washington, D.C. as an assistant administrator for the Lend-Lease ” ‘Administration, He and his team improved the efficiency of the process, eliminatin excessive paperwork and thus hastening the arrival of supplies to the United States 16 overseas friends. Juran fi Westem Electric. Rather, quality management, inally left Washington in 1945, but he didn't return to he chose to devote the remainder of his life to the study of As early as 1928, Juran had written a pamphlet entitled "Stati to Manufacturing Problems.” By the end of the war, he was a well-known and highly- regarded statistician and industrial engineering theorist. After he left Western Electric, Juran became Chairman of the Department of Administrative Engineering at New York University, where he taught for many years, He also created a thriving consulting practice, and wrote books and delivered lectures for American Management Association. It was his time with NYU and the AMA which allowed for the development of his management philosophies which are now embedded in the foundation of American and Japanese management. I Methods Applied Joseph Juran made many contributions to the field of quality management in his 70+ active working years. His book, the “Quality Control Handbook”, is a classic reference for quality engineers. The book was first released in 1951, and is still considered as the standard reference work for quality professionals. He revolutionized the Japanese philosophy on quality management and in no small way worked to help shape their economy into the industrial leader it is today. Dr. Juran was the first to incorporate the human aspect of quality management, which is referred to as Total Quality Management. The process of developing ideas was a gradual one for Dr. Juran. Top management involvement, the Pareto principle, the need for widespread training in quality, the definition of ‘quality is fitness for use’, the project-by-project approach to quality improvement--these are the ideas for which Juran is best known, and all emerged gradually. The following table outlines the major poinis of Dr. Juran's quality management ideas, popularly known as ‘Quality Trilogy’: foi Durr if eystomers. (Detprnine) ‘those customers. Quality feng ) Develop a product Optimize the prod ur language. at can respond to those needs. | customer needs. leant > Develop a process which is able to produce the product. Inyrongnent) © Optimize the process. features so as to meet our needs and | + Prove that the process can produce the product under lquatity oe) operating conditions with minimal inspection. + Transfer the process to Operations. 17 The Union of Japanese Scientists and E: 1d Dr. Juran to Japan, to teach them the principles of quality management as they rebuilt 1! Along with W. Edwards Deming, his more colorful and pethaps better-known American colleague, Juran received § sure avrard from Emperor Hirohito of Japan. Dr, Juran published his lectures trom Japan in his book “Managerial Breakthrot in 1964, Dr. Juran worked (© promote quality management into his 90's, and only recently retired from ivs semicpublic life. The xploring the social and h he founded, continues his work, of quality improvement. Juran Foundation, whi industrial i 4. Kaoru Ishikawa Kaoru Ishikawa was born in Tokyo in 1915. He was the eldest of the eight sons of Ichiro Ishikawa. In 1939, he graduated University of Tokyo with an Engineering degree in applied chemistry. His first job was as a naval technical officer during 1939- 1941. Then he moved on to work at the Nissan Liquid Fuel Company until 1947. Later on, Ishikawa started his new career as an associate professor at the University of Tokyo. In 1949, Ishikawa joined the Union of Japanese Scientist and Engineers (JUSE) quality control rescarch group. In post World War, II era, Japan was looking to transform its industrial sector that was known in North America as a producer of cheap wind-up toys and poor cameras. It was his skill at mobilizing many people for ‘common good that was largely responsible for Japan's quality initiatives. He was able to translate, integrate and expand the concepts of Dr. Deming and Dr. Juran into the Japanese system. ‘Although Kaoru Ishikawa was a Japanese, he was best known as an influential quality management innovator in North America, specially for the Ishikawa or cause and effect diagram (also known as Fishbone Diagram) that are used in the analysis of industrial process. He is considered one of the Quality Gurus. After becoming a full professor in the Faculty of Engineering at The University of Tokyo in 1960, Ishikawa introduced the concept of Quality Circle in 1962, in conjunction with JUSE. It was natural extension training to all levels of an organization (the top and middle managers having already been trained). Although many companies were invited to participate, only one company, Ni Telegraph accepted. Quality Circles soon became vey eae ‘tioned important link in a company's TQM System. Ishikawa wrote two books on quality circles (QC Circle Koryo and How to Operate QC Circle Activities). ’ Among his efforts to promote quality were, the Annual Qualit , ity Control Conf for Top Management (1963) and several books on Quality Control (the Guide to Quali Contd was translated into English). He was the chairman of the editorial of the monthly Statistical Quality Control. Ishi i i intemational standerdzation activities Fhikewn a ineplved in ir 48MP Al QUAD CAME Saad 18 Kaons Ishikawa wanted to change the way people think about work. He urged managers to resist becoming content with merely improving a product's quality, insisting that quality improvement can always go one step further. His notion of company-wide quality control called for continued customer service. This meant that 2 customer would continue receiving service even after receiving the product. This service would extend across the company itself in all levels of management, and even beyond the company to the everyday lives of those involved. According to Ishikawa, quality improvement is a continuous process, and it can always be taken one step further. With his cause and effect diagram (also called the "Ishikawa" or "fishbone” diagram), this management leader made significant and specific advancements in quality improvement. With the use of this new diagram, the user can see all possible causes of a result, and hopefully find the root of process imperfections. By pinpointing root Problems, this diagram provides quality improvement from the "bottom up.” Dr. W. Edwards Deming - one of Ishikawa's colleagues - adopted this diagram and used it to teach Total Quality Control in Japan. Both Ishikawa and Deming use this diagram as One the first tools in the quality management process. Ishikawa also showed the importance of the seven quality tools: control chart, run chart, histogram, scatter diagram, Pareto chart, and flowchart. Additionally, Ishikawa explored the concept of quality circles-- a Japanese philosophy which he drew from obscurity into world wide acceptance. .Ishikawa believed in the importance of support and leadership from top level management. He continually urged top level executives to take quality control courses, knowing that without the support of the management, these programs would ultimately fail. He stressed that it would take firm commitment from the entire hierarchy of employees to reach the company's potential for success. Another area of quality improvement that Ishikawa emphasized is quality throughout a product's life cycle ~ not just during production. Although he believed strongly in creating standards, he felt that standards were like continuous quality improvement programs -- they too should be constantly evaluated and changed. Standards are not the ultimate source of decision making; customer satisfaction is. He wanted managers to consistently meet consumer needs; from these needs, all other decisions should ‘stem. He died in 1989. 5. Philip Crosby Philip Crosby was Born in West Virginia in 1926. After serving in World War II and the Korean War, he has worked for Crosley, Martin-Marietta and ITT where he was corporate vice president for 14 years. Philip Crosby Associates, Inc., founded in 1979, was his management consulting firm that served hundreds of companies. Since retiring in 1991 he founded Career IV, Inc., Philip Crosby Associates II, Inc. and the Quality College. Phil Crosby died in August, 2001, but his legacy will live on in better quality in thousands of organizations. He is not in the category of Dr. Deming and Dr. Juran, who belong to a separate class with great brains of the quality revolution. However, Where Phil Crosby excelled was Be 19 ere mortals could understand. His books, to read, so people read them. in finding a terminology for quality that m figuring out how much it "Quality Without Tears” and "Quality is Free” were easy He popularized the idea of the "cost of poor quality”, that really costs to do things badly. Philip Crosby's ideas came from his experience on an a tae not unlike the focus of the modern Six assembly line. He focused on zero defects, . Sigma Quality movement. Mr. Crosby was quick to point out, however, thet zero defect is not something that originates on the assembly line. To create a manufacturing process that has zero defects management must set the tone and atmosphere for employees to follow. If management does not create a system by which zero defects are clearly the objective then employces are not to blame when things go astray and defects occur. The benefit for companies of such a system is a dramatic decrease in wasted resources and time spent producing goods that consumer's do not want, Mr. Crosby defined quality as a conformity to certain specifications set forth by management and not some vague concept of "goodness." These specifications are not arbitrary either; they must be set according to customer needs and wants. As he explained, four ‘Absolutes of Quality Management’ are - 1. Quality is defined as conformance to requirements, not as ‘goodness’ or ‘elegance’. 2. The system for causing quality is prevention, not appraisal, 3. The performance standard must be Zero Defects, not "that's close enough". 4, The measurement of quality is the Price of Nonconformance, not indices. Two key points spelled out by him are: 1. Top management commitment towards quality i : ; quality isa must. 2. Make it (or do it) right the first time. 7 The idea behind his ‘quality-is-free’ concept i - pt is that the costs of i igh that any effort spent behind quality improvement will be Tower thaa hat? 2 6 Shigeo Shingo Dr. Shigeo Shingo was the pi I : 4 Pioneer of many rev uti “ philosophies, such as, Zero Quality Control (290), da ena aly tools and laintenance 20 (TPM), Pokayoke (Mistake-proof systems), Single Minute Exchange of Dies {SMED), etc. These tools not only have connection to quality control, but also have implications in operations management By 1959, Dr. Shigeo had gained notable fame as an “engineering genius” from his work in developing Just-In-Time (JIT), and consequently the Toyota Production System, The following table summarizes the main contributions of the quality gurus: Contributor Known for Deming [M4 points; special and common causes of variation Juran ‘Quality is fitness for use; quality trilogy ) ZCrosby Quality ig freepzero defe Ishikawa _|\Cause-an uality circles) ‘Shewhart ‘Control charts Se Shingo ZQC, TPM, Pokayoke, SMED, ete. In addition to the above main contributions, they added values to many other concepts of modern quality management. 2 eo oO Qo MB, BASIC TOOLS OF TQM Total Quality Management 21 TOM: What It Is a aerate Quality, Management (TQM) has become a buzz-word now-a-days. It philosophy abasg ion Wide effort to achieve quality, It can accurately be described as a Erilosophy sbout fuality that suggests for involving everyone in the organization in a ae Pstcnds to suppliers as well as to customers. In fact, in TQM, the satisfaction is the cajun 2s the business is driven by customers. As such, customer chief exeenthe nuit driving force, Everyone in the organization, from the top most ecutive, up to the bottom most workers, has to take part in this endeavor. The top management additionally must have sincere and utmost commitment towards achieving The reason for this breadth of scope i ity, being j ‘ pees pe is that quality, being judged by ‘customer Satisfaction’, is affected by the activities of all the departments in the organization, considering the internal staff as Internal Customer, an explanation being given below: 1. (Marketin; direct contact/with the external customers. As such, they are in a Better ting ha to serve the’ purp. r ose of customers. They can identify customer requirements for input to design and production process. 2. [Bnginedting converts the marketing evaluation_and_customer requirements to exact design specifications or requirements. 3. @Piirchasin@yemains responsible for selecting right quality materials, at right time “from right suppliers. 4. facturing Engineering is responsible for selecting appropriate processes, 5. Produstion Activity Conirol (PAC) or Shop Eloor Control (SFC} are responsible for effective inspection and functional (teSt-check to ensure, conformance to speciffcations. in order to ensure quality and-sustomer requirements during delivery. oo d_ remains responsible for ensuring proper i; uy installing the product according to proper instructions and maintaining it through service for final satisfaction of customers. 25 ‘Ocess parameters and processing tools which safisfy the design spevifications; — ~~) ») ) MNCTOAlis responsible for packaging ahd transportation) and delivery _ Chapter 2 A This is why real quality control cannot be accomplished by concentrating on inspection alone, oF product design alone, or rejects troubleshooting alone, or operator education alone, or supplier control alone, or statisti ysis alone, or reliability studies alone— important as each individual element is As discussed earlie! traditional quality control system emphasizes on inspection activity, 1s and segregating those such that the products can not s", whereas the theme of the new approach is “make them right the first time”, uphasis is on defect prevention, rather than on correction, so that routine inspection Will not be needed to a large extent. Ayweacl, The TQM approasifean be described as follows: 4 oa *ay( 1, Aidan whol customers want. This might involve the use of surveys, focus groups, interviews, or some other technique that integrates the customer’s voice in the decision-making process. Ao 7 OSS «2, [asigna product pr service that will meet (or exceed) what customers want, { will meet (or exceed) what customers want, Make it easy fo use, and easy to produce. meee 3. Design afproduction process it facilitates doing the job right the first time. a Determine where mistakes-are likely to occur and try to prevent them. When Pieveng mistakes do occur, find out why so that they are less likely to occur again. be jo7is 14h *__ Strive to “mistake-proof” the process. Proen OF res y. 4 Keep track of results tind use those to guide improvement in the system. 3 Never stop tryilig to improve. . which aims at “finding bad pi P 5. Extend these concepts to suppliers and to distribution. The above sequential steps can form a systematic TQM tool, known as Quality Function Deployment (QFD), to be discussed in a later chapter. —_—— Chacecler OFFS > sain distinguishi Charactrists of TOT are ; eee 1, Continual improvement: The quest for quality and better service to the customer should be @ continual, never-ending journey. Quality has no finish-ling? unlike a 100 meter sprint race. Competitors will seek to provide better” service, and customers will come to expect better service. , 2. Customer facus: Customer is the main focal point, and thus customer satisfaction is the ultimate driving force of business. For higher customer’ satisfaction, customer requirements should be identified as the first step to designing other activities. 26 3. Organization-wide activity: As opposed to he idea of traditional thinking, quality is the responsibility of all in the organization. Everybod in the organization has some roles to play for customer satisfaction. And thus, involvement of all in the organization is a must Employee empowerment: Giving workers the responsibility for improvements, and the authority to make changes to accomplish them, provides. strong motivation for employees, and puts decision making into the hands of those who are closest to the job and have considerable insight into problems and solutions This concept gives birth of Quality Circle (QC). Team approach: The use of teams for problem solving, and to achieve consensus, takes advantage of group dynamics, gets people involved, and promotes a spirit of cooperation and shared values among employees. This is also in line with the concepts of quality circle. Competitive benchmarking: ‘This means idemifying companies or other Organizations that are the best at something and then modeling own organization after them. The company need not be in the same line of business. For example, Xerox used the mail order company L. L. Bean to benchmark order filling. Knowledge of tools. Everyone in the organization is trained in the use of quality Control and improvement tools. Regular training programs on various knowledge tools are required for building not only knowledge base, but algo raise the motivation levels of the employees. Training need identification is thus necessary. (internal and external customers: The entire organization must be subject to the Search for. improved ways of performing: untouchable. TotHing should be regarded as sacred or A view that is sometimes helpful is to consider the internal customers (who are the employees of the organization itself), and strive to satisfy them. That is, every activity in an organization has one or more~“customers” who receive their output. By thinking in terms of what is needed to satisfy these customers, itis very often possible to improve the system, and in doing so, increase the satisfaction of the ultimate customer (the external customers). Long-term relationship with the (suppliers ‘uppliers are regarded as partners in the process, and long-term relationships are encouraged. This gives suppliers a vital stake in providing quality goods and services. Suppliers, too, are expected to Provide quality at the source, thereby reducing or eliminating the need te inspect deliveries from suppliers. It would be incorrect to think of TQM as merely a collection of techniques. Rather, TQM reflects a different way of viewing the entire way of life of the peo ple in the organization 27

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