University of Central Punjab

Assignment No. 1
Topic:
Gurus of TQM
Discipline:

BBA-8

Submitted to:

Prof. Rana Murawat

Submitted by:
MUQDAS ISHAQ (S2F18BBAM0010)

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 Table of contents #2

Definition

Founder of TQM

Dr .Eliyahu.M .Goldratt.

Early life

Work

Achievements /theory

Armand V. Feigenbaum

Early life
Contributions

Awards

Achievements

Fredrick Winslow Taylor

History

Valferido Pareto

History

Pareto principle and work

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Define TQM?

Total quality management consists of organization-wide efforts to "install and make permanent
climate where employees continuously improve their ability to provide on demand products
and services that customers will find of particular value.
Founder of TQM?

TQM was developed by William Deming, a management consultant whose work had a great impact on
Japanese manufacturing

Dr. Eliyahu M. Goldratt

Early life :

Born March 31, 1947

Mandatory Palestine

Died June 11, 2011 (aged 64)

Israel

Nationality Israeli

Theory of constraints
Known for Cause and effect thinking
Slayer of paradigms

Scientific career

Fields Theory of constraints

Operations research
Organizational psychology
Management science

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He was an Israeli business management guru. He was the originator of the Optimized Production
Technique, the Theory of Constraints (TOC), the Thinking Processes, Drum-Buffer-Rope, Critical Chain
Project Management (CCPM) and other TOC derived tools.

He was the author of several business novels and non-fiction works, mainly on the application
of the theory of constraints to various manufacturing, engineering, and other business
processes.
The processes are typically modeled as resource flows, the constraints typically represent limits
on flows. In his book The Goal,
the protagonist is a manager in charge of a troubled manufacturing operation. At any point in
time, one particular constraint (such as inadequate capacity at a machine tool) limits total
system throughput, and when the constraint is resolved, another constraint becomes the
critical one. The plot of Goldratt's stories revolve around identifying the current limiting
constraint and raising it, which is followed by finding out which is the next limiting constraint.
Another common theme is that the system being analyzed has excess capacity at a number of
non-critical points, which, contrary to conventional wisdom, is essential to ensure constant
operation of the constrained resource.

Book The Goal:

The Goal is a management-oriented novel by Eliyahu M. Goldratt, a business consultant known for

his theory of constraints, and Jeff Cox, an author of multiple management-oriented novels. The Goal was
originally published in 1984 and has since been revised and republished. This book can be used for case
studies in operations management, with a focus geared towards the theory of
constraints, bottlenecks and how to alleviate them, and applications of these concepts in real life. It is
used in management colleges to teach students about the importance of strategic capacity planning and
constraint management. Time Magazine listed the book as one of "The 25 Most Influential Business
Management Books.

Popular applications and tools :

Theory of Constraints (TOC)

 Drum-Buffer-Rope (DBR) for Production Management

 TOC Thinking Processes
 Critical Chain Project Management (CCPM)
 Throughput Accounting for measuring impact
 The Mafia Offer for Sales & Marketing

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Founding a Successful Startup

Dr. Eliyahu M. Goldratt left the world of academics to found Creative Output, a company that developed
Optimized Production Technology (OPT). OPT was the first software to provide finite capacity scheduling
for production environments. Despite the early success of OPT, Goldratt realized that certain habits and
assumptions held back the software from achieving its full potential.

Forming the Goldratt Group:

Goldratt went on to found Goldratt's Marketing Group, Goldratt Consulting, and Goldratt Schools - which
together formed the Goldratt Group.

The stated purpose of the Goldratt Group was to Make TOC the main way of managing organizations -
an effective platform to improve business productivity in Production, Supply Chain & Distribution,
Project Management & Retail, enhancing the quality of decision-making, improving communication and
stimulating new solutions. 

Other Accomplishments :
Eliyahu was a sought-after consultant and trainer by many of the world’s largest corporations, including
General Motors, Procter & Gamble, AT&T, NV Philips, ABB and Boeing.

The Theory of Constraints Institute

The Theory of Constraints Institute was inaugurated on June 11, 2012, one year after Eli Goldratt passed
away, to carry on his life long goal of teaching the world to think.

2) Armand V. Feigenbaum:

Early life :

April 6, 1920[1]
Born New York City, US

Died November 13, 2014 (aged 94)

Pittsfield, Massachusetts, US

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 Alma mate MIT Sloan School of Management
r

Occupation Engineer and Quality control

He was Director of Manufacturing Operations at General Electric (1958–1968), and was later the
President and CEO of General Systems Company of Pittsfield, Massachusetts, an engineering firm that
helps companies define business operating systems. Feigenbaum wrote several books and served as
President of the American Society for Quality (1961–1963). He worked closely with his brother, Donald
S. Feigenbaum.
Mr. Feigenbaum 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.

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 Quotes :
 Quality is the total composite product and service characteristic of marketing, engineering,
manufacturing, and maintenance through which the product and service in use will meet the
expectations of the customer.”
 “An important feature of a good quality program is that it controls quality at the source.”
 Pursuing excellence, deep recognition that what you are doing is right, is the strongest
motivation in any organization and is the main driver for true leadership qualities.”

Books:
 2009. The Power of Management Innovation: 24 1999. The new quality for the twenty-first
century. The TQM magazine, 11(6), 376-383.

 1998. The future of quality management. Quality Digest, 18, 33-38 for Accelerating
Profitability and Growth . And also so many book he published .

3)Frederick Winslow Taylor:

Early life :

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  Born March 20, 1856

Philadelphia, Pennsylvania, U.S.

Died March 21, 1915 (aged 59)

Philadelphia, Pennsylvania, U.S.

Efficiency expert
Occupatio Management consultant
n

Known for Father of scientific

management, efficiency
movement and industrial
engineering

Frederick W. Taylor was the first man in recorded history who deemed work deserving of systematic
observation and study. On Taylor's `scientific management' rests, above all, the tremendous surge of
affluence in the last seventy-five years which has lifted the working masses in the developed countries
well above any level recorded, even for the well-to-do. Taylor, though the Isaac Newton (or perhaps the
Archimedes) of the science of work, laid only first foundations, however. Not much has been added to
them since - even though he has been dead all of sixty years." (Peter Drucker, Management: tasks,
responsibilities, practices. Heinemann,1973).

In 1909, Taylor published "The Principles of Scientific Management." In this, he proposed that by
optimizing and simplifying jobs, productivity would increase. He also advanced the idea that workers
and managers needed to cooperate with one another. This was very different from the way work was
typically done in businesses beforehand. A factory manager at that time had very little contact with the
workers, and he left them on their own to produce the necessary product. There was no
standardization, and a worker's main motivation was often continued employment, so there was no
incentive to work as quickly or as efficiently as possible.
Taylor believed that all workers were motivated by money, so he promoted the idea of "a fair day's pay
for a fair day's work." In other words, if a worker didn't achieve enough in a day, he didn't deserve to be
paid as much as another worker

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Four Principles of Scientific Management

Taylor's four principles are as follows:

1. Replace working by "rule of thumb," or simple habit and common sense, and instead use the
scientific method to study work and determine the most efficient way to perform specific
tasks.

2. Rather than simply assign workers to just any job, match workers to their jobs based on
capability and motivation, and train them to work at maximum efficiency.

3. Monitor worker performance, and provide instructions and supervision to ensure that
they're using the most efficient ways of working.

4. Allocate the work between managers and workers so that the managers spend their time
planning and training, allowing the workers to perform their tasks efficiently.

Awards:

The Elliott Cresson Medal, also known as the Elliott Cresson Gold Medal, was the highest award given by
the Franklin Institute. The award was established by Elliott Cresson, life member of the Franklin
Institute, with $1,000 granted in 1848. The endowed award was to be "for some discovery in the Arts
and Sciences, or for the invention or improvement of some useful machine, or for some new process or
combination of materials in manufactures, or for ingenuity skill or perfection in workmanship." The
medal was first awarded in 1875, 21 years after Cresson's death.

4)Valferido Pareto

Early life

Born Wilfried Fritz Pareto

15 July 1848

Paris, France

Died 19 August 1923 (aged 75)

Céligny, Switzerland

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He introduced the concept of Pareto efficiency and helped develop the field of microeconomics. He was
also the first to discover that income follows a Pareto distribution, which is a power law probability
distribution. The Pareto principle was named after him, and it was built on observations of his such as
that 80% of the wealth in Italy belonged to about 20% of the population. He also contributed to the
fields of sociology and mathematics, according to the mathematician Benoit Mandelbrot and Richard L.
Hudson:

What Is the Pareto Principle?

The Pareto Principle, named after economist Vilfredo Pareto, specifies that 80% of consequences come
from 20% of the causes, asserting an unequal relationship between inputs and outputs. This principle
serves as a general reminder that the relationship between inputs and outputs is not balanced. The
Pareto Principle is also known as the Pareto Rule or the 80/20 Rule.

The Pareto principle has become a central tenet of quality management. It is the foundation for the
Pareto chart which is used in quality control and Six Sigma practices. This principle has broader
applications as well, including prevention of occupational safety hazards in a manufacturing
environment and resolving errors in product development. I’ve even read about it being used in
research regarding healthcare reform and criminology.

The Pareto principle suggests that most effects come from relatively few causes. In quantitative terms:
80% of the problems come from 20% of the causes (machines, raw materials, operators etc.); 80% of the
wealth is owned by 20% of the people etc. Therefore effort aimed at the right 20% can solve 80% of the
problems.

The Pareto Effect

The 80:20 theory was first developed in 1906, by an Italian economist, Vilfredo Pareto, who observed an
unequal distribution of wealth and power in a relatively small proportion of the total population. This
fact gave rise to the Pareto effect or Pareto’s law: a small proportion of causes produce a large
proportion of results. Thus frequently a vital few causes may need special attention wile the trivial many
may warrant very little. It is this phrase that is most commonly used in talking about the Pareto effect —
‘the vital few and the trivial many’

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