Total Quality Management (TQM)

Presented By:
Vimal Singh
Assistant Professor,
NIFT, Gandhinagar

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 Introduction to TQM
• Total quality management is a management’s approach towards the quality; it
can be in regard to products, customer satisfaction and employee’s
satisfaction.

• The concept of TQM was developed by an American W. Edwards Deming and

i.e., why it is called as Deming’s concept of TQM .

• He introduced this concept for improving the quality of various products and
services.

• TQM works on one belief that mistakes can be avoided and defects can be
prevented.

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 Introduction to TQM
• Total Quality Management, as its name implies, is related to the monitoring of
quality throughout the organization by everyone in that organization.

• This means that if problems are spotted during the production process, it is
the responsibility of that person to solve the problem before it goes any
further through the process.

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 Introduction to TQM
TQM is for the most part common sense. Analyzing the three words, we have

• Total ‑ Made up of the whole

• Quality‑ Degree of excellence a product or service provides

• Management‑ Act, art, or manner of handling, controlling, directing, etc.

• Therefore, TQM is the art of managing the whole to achieve excellence.

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 Guru’s of TQM
1- Dr. Walter Shewhart:
• He developed the Plan, Do, Check, Act (PDCA) cycle (known as
“Plan-Do-Study-Act” in some circles) as well as theories of process control
and the Shewhart transformation process.
• Known as “Father of statistical quality control”

2- Dr. W. Edwards Deming

• He developed his complete philosophy of management, which he
encapsulated into his “fourteen points” and the “seven deadly diseases of
management”.
• Deming greatly helped to focus the responsibility of quality on management
and popularized the PDCA cycle, which led to it being referred to as the
“Deming Cycle”(also know as “Shewhart Cycle”)
• Invent the quality Circle.

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 Guru’s of TQM

3- Dr. Joseph M. Juran

• He developed the quality trilogy – quality planning, quality improvement,
and quality control.

4- Armand V. Feigenbaum
• He developed the idea of total quality control based on three steps to
quality consisting of quality leadership, modern quality technology, and an
organizational commitment to quality.

5- Dr. Kaoru Ishikawa

• He developed the Ishikawa diagram, also known as the fishbone or
cause-effect diagram. He was known for popularizing the seven basic tools
of quality and the philosophy of total quality.

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 Guru’s of TQM
6- Dr. Genichi Taguchi
• He developed the “Taguchi methodology” of robust design, which focused
on making the design less sensitive to variation in the manufacturing
process, instead of trying to control manufacturing variation.
• This idea of “designing in quality” has become an important tenant of six
sigma today.
7- Shigeo Shingo
• Shigeo Shingo developed lean concepts such as Single Minute Exchange of
Die (SMED) or reduced set-up times instead of increased batch sizes, as well
as Poka-Yoke (mistake proofing) to eliminate obvious opportunities for
mistakes.
• He also worked with Taiichi Ohno to refine Just-In-Time (JIT) manufacturing
into an integrated manufacturing strategy, which is widely used to define
the lean manufacturing used in the Toyota production system (TPS).

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 Guru’s of TQM
8- Philip B. Crosby
• He developed the idea of Cost of Poor Quality (COPQ) to explain how
“quality is free”.
• He popularized “zero defects” to define the goal of a quality program as the
elimination of all defects and not the reduction of defects to an acceptable
quality level.
9- Dr. Eliyahu M. Goldratt
• He developed the Theory of Constraints which focuses on a single element
in a process chain as having the greatest leverage for improvement (i.e., “1%
can have a 99% impact”).
• This compares to the Pareto principle which states that 20% of the factors
have an 80% effect on the process.
10-Taiichi Ohno
• He developed the seven wastes (muda), which are used in lean to describe
non-value-added activity.
• He developed various manufacturing improvements with Shigeo Shingo that
evolved into the Toyota Production System.

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 PRIMARY ELEMENTS OF TQM
Here are the 8 principles of total quality management:

1. 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, or upgrading computers or software—the
customer determines whether the efforts were worthwhile.
2. 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 when 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.

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 PRIMARY ELEMENTS OF TQM
Here are the 8 principles of total quality management:
3. 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 (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.
4- 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.

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 PRIMARY ELEMENTS OF TQM
Here are the 8 principles of total quality management:

5- 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.
6- Continual improvement:
• A large aspect of TQM is continual process improvement.

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 PRIMARY ELEMENTS OF TQM
Here are the 8 principles of total quality management:
7- 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
analyse data in order to improve decision making accuracy,
achieve consensus, and allow prediction based on past
history.
8- 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.
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 TQM Benefits
• Strengthened competitive position
• Adaptability to changing or emerging market conditions and to
environmental and other government regulations
• Higher productivity
• Enhanced market image
• Elimination of defects and waste
• Reduced costs and better cost management
• Higher profitability
• Improved customer focus and satisfaction
• Increased customer loyalty and retention
• Increased job security
• Improved employee morale
• Enhanced shareholder and stakeholder value
• Improved and innovative processes
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 HISTORY OF TOTAL QUALITY MANAGEMENT

1920s •Some of the first seeds of quality management were planted as the principles of scientific management swept through U.S.
industry.
•Businesses clearly separated the processes of planning and carrying out the plan, and union opposition arose as workers were
deprived of a voice in the conditions and functions of their work.
•The Hawthorne experiments in the late 1920s showed how worker productivity could be impacted by participation.

1930s •Walter Shewhart developed the methods for statistical analysis and control of quality.
Edwards Deming taught methods for statistical analysis and control of quality to Japanese engineers and executives. This can be considered
1950s •W.
the origin of TQM.
•Joseph M. Juran taught the concepts of controlling quality and managerial breakthrough.
•Armand V. Feigenbaum’s book Total Quality Control, a forerunner for the present understanding of TQM, was published.
•Philip B. Crosby’s promotion of zero defects paved the way for quality improvement in many companies.

•The Japanese named their approach to total quality "companywide quality control." It is around this time that the term quality management
1968 systems arises.
•Kaoru Ishikawa’s synthesis of the philosophy contributed to Japan’s ascendancy as a quality leader.

is the name for the philosophy of a broad and systemic approach to managing organizational quality.
Today•TQM
•Quality standards such as the ISO 9000 series and quality award programs such as the Deming Prize and the Malcolm Baldrige National
Quality Award specify principles and processes that comprise TQM.
•TQM as a term to describe an organization's quality policy and procedure has fallen out of favor as international standards for quality
management have been developed. Please see our series of pages on quality management systems for more information.

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 HISTORY OF TOTAL QUALITY MANAGEMENT

1920 -30s TQM history

• The history of TQM starts with Elton Mayo’s Hawthorne experiements from
1927 through 1932.
• These experiments showed that workers participation in decision making
improves productivity.
• In the 1930s, the Hawthorne plant of the Western Electric Company studied
lighting levels, workday lengths, and rest period lengths to maximize
productivity.
• This change in behavior from the employees is now called the Hawthorne effect.
It basically states that when workers are involved in studies or decision making,
productivity increases.
• Also during the 1930s, Walter Shewhart developed control charts. which are a
statistical method to control processes.

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 HISTORY OF TOTAL QUALITY MANAGEMENT

1950s TQM History

• Edward Deming taught statistical methods.
• Dr Juran taught quality management techniques to the Japanese.
• Armand Feigenbaun wrote Total Quality Control. This became the first
work that started many Total Quality Management theories.

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 HISTORY OF TOTAL QUALITY MANAGEMENT

1960s TQM History

• In the 1960s Douglas McGregor formed the Theory X and Theory Y

leadership models.

• A Theory X leader applies a negative approach to management. They

assume most workers really do not like to work and try to avoid work.

• A Theory Y leader believes workers want to do a good job. They believe

workers will offer solutions to problems and participate in problem
solving events. An involved employee is a productive employee.

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 HISTORY OF TOTAL QUALITY MANAGEMENT

1970s TQM History

• In 1968 the Japanese shaped the phrase Total Quality Control.

• TQC is a company-wide quality control philosophy.
• This philosophy drove Japan to the world quality leader in the 1970s.
• For the most part, Japan remains the quality leader.
• However the world has significantly closed the gap.

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 HISTORY OF TOTAL QUALITY MANAGEMENT

1980s TQM History

• In the 1980 the U.S. Navel Air Systems coined the TQM phrase.
• The Navy based most of the principles on the Japanese Total Quality
Control philosophy.
• Many companies adopted TQM during the 80s.
• TQM spread like wild fire.
• Many companies saw significant gains in productivity.
• However many companies started the program and failed miserably
because they weren't willing to change.

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 HISTORY OF TOTAL QUALITY MANAGEMENT

1990s TQM History

• In the 1990s' TQM evolved.
• Experts introduce new methods that supported TQM. These include Lean
Manufacturing and Six Sigma.
• Organizations could now become certified to ISO 9001
• The Malcom Baldridge National Quality Award (MBNQA) was created for
the US.
• MBNQA auditors give this award to companies who show the most
outstanding quality management practices.

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 HISTORY OF TOTAL QUALITY MANAGEMENT

2000s TQM History

• In the 2000s, ISO revised ISO 9001 to focus more on business planning,
quality management and continuous improvement.

• Other certification standards were created including AS9100 for

aerospace, TS16949 for automotive, ISO 14001 for environmental,
TL9000 for electronics, and ISO 17025 for laboratories. These standards
all include the ISO 9001.

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 HISTORY OF TOTAL QUALITY MANAGEMENT

2010 TQM History

• ISO revised the ISO 9001 standard in 2015 to include Knowledge

management.(Knowledge management is the process of identifying,
gathering, storing, evaluating and sharing all of the valuable
information organizations create in their day-to-day operations.)

• Although Six Sigma started in the 1990s, it became the

prevalent problem solving process used by Quality professionals.
• The term Lean Six Sigma was born. A combination of Lean thinking, 5S,
and Six Sigma forms the core of Lean Six Sigma. In addition experts start
using Kaizen, Gemba, and Hoshin Kanri concepts.

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 Deming's 14-Point Philosophy
Deming’s 14 Points on Quality Management, or the Deming Model
of Quality Management, a core concept on implementing total
quality management (TQM), is a set of management practices to
help companies increase their quality and productivity.

1. Create constancy of purpose for improving products and

services.
2. Adopt the new philosophy.
3. Cease dependence on inspection to achieve quality.
4. End the practice of awarding business on price alone; instead,
minimize total cost by working with a single supplier.
5. Improve constantly and forever every process for planning,
production and service.
6. Institute training on the job.
7. Adopt and institute leadership.
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 Deming's 14-Point Philosophy
8. Drive out fear.
9. Break down barriers between staff areas.
10. Eliminate slogans, exhortations and targets for the workforce.
11. Eliminate numerical quotas for the workforce and numerical
goals for management.
12. Remove barriers that rob people of pride of workmanship, and
eliminate the annual rating or merit system.
13. Institute a vigorous program of education and
self-improvement for everyone.
14. Put everybody in the company to work accomplishing the
transformation.

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 Juran’s Philosophy

• He stressed on the importance of a broad,

organizational-level approach to quality – stating that total
quality management begins from the highest position in the
management, and continues all the way to the bottom.

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 Juran’s Philosophy
The Juran Quality Trilogy:

• One of the first to write about the cost of poor quality, Juran
developed an approach for cross-functional management that
comprises three legislative processes:

1. Quality Planning:
• This is a process that involves creating awareness of the necessity to improve,
setting certain goals and planning ways to reach those goals. This process has
its roots in the management's commitment to planned change that requires
trained and qualified staff.
2. Quality Control:
• This is a process to develop the methods to test the products for their quality.
Deviation from the standard will require change and improvement.
3. Quality Improvement:
• This is a process that involves the constant drive to perfection. Quality
improvements need to be continuously introduced. Problems must be
diagnosed to the root causes to develop solutions. The Management must
analyze the processes and the systems and report back with recognition and
praise when things are done right.
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 Juran’s Philosophy
Ten Steps to Quality:
Juran devised ten steps for organizations to follow to attain better quality.
1. Establish awareness for the need to improve and the opportunities for
improvement.
2. Set goals for improvement.
3. Organize to meet the goals that have been set.
4. Provide training.
5. Implement projects aimed at solving problems.
6. Report progress.
7. Give recognition.
8. Communicate results.
9. Keep score.
10. Maintain momentum by building improvement into the company's regular
systems.

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 National & international quality awards on TQM

• Companies worldwide are using the criteria of the different awards

policy like:

• Malcolm Baldrige National Quality Award

• The European Quality Award
• The Deming Prize etc

• Rajiv Gandhi National Quality Award

• IMC Ramkrishna Bajaj National Quality Award
• India 5000 Best MSME Awards etc

• The next step is to get managers in the key departments to

acknowledge that another business is doing all or part of their job
better. That becomes easier when the CEO says that he looks at the
benchmarking as an opportunity, not as criticism. Good managers are
energized by that challenge. Next, send groups of managers to visit
the companies with the superior operations 28
Thanks…

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