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Chapter 1 TQM Revised
Chapter 1 TQM Revised
Attendance 11
CHAPTER 1
Introduction to Total Quality Management
Total Quality Management (TQM)
What is Quality ?
Definitions of Quality
Quality means different to different people:
"Quality refers to the amounts of the unpriced attributes contained in each unit of the priced attribute."
III. User-Based Definition:
"Quality is fitness for use." (J.M. Juran, ed., Quality Control Handbook, p2).
IV. Manufacturing-Based Definition:
"Quality [means] conformance to requirements." "Quality is the degree to which a specific product
conforms to a design or specification."
V. Value-Based Definition:
"Quality means best for certain customer conditions. These conditions are (a) the actual use and (b) the
selling price of the product."
What is TQM?
TQM is the enhancement to the traditional way of doing
business.
It is a proven technique to guarantee survival in the world-
class competition.
TQM is for the most part common sense.
Analyzing three words (TQM), 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
the excellence.
What is TQM? (Continued)
TQM is defined as both philosophy and a set of guiding
principles that represents the foundation of a continuously
improving organization.
It is the application of quantitative methods and human
resources to improve all the processes within an organization
and exceed customer needs now and in future.
TQM integrates fundamental management techniques,
existing improvement efforts, and technical tools under
disciplined approach.
Total Quality Management (TQM)
In trying to define TQM is it is well worth considering the relevance and meaning of
the three words in it's title.:
Total - The responsibility for achieving Quality rests with everyone a business no
matter what their function. It recognizes the necessity to develop processes across
the business, that together lead to the reliable delivery of exact, agreed customer
requirements. This will achieve the most competitive cost position and a higher
return on investment.
Quality - The prime task of any business is to understand the needs of the customer,
then deliver the product or service at the agreed time, place and price, on every
occasion. This will retain current customers, assist in acquiring new ones and lead
to a subsequent increase in market share.
Management - Top management lead the drive to achieve quality for customers, by
communicating the business vision and values to all employees; ensuring the right
business processes are in place; introducing and maintaining a continuous
improvement culture.
Total Quality Management (TQM)
Antecedents of Modern Quality Management
Craftsmanship
The birth of the Total Quality Control in US was in direct response to a quality
revolution in Japan following WW-II as Japanese manufacturers converted from
Producing Military Goods for internal use to producing civilian goods for trade.
At first Japan had a widely held reputation for shoddy exports, and their goods
were shunned by international markets. This led Japanese organizations to explore
new ways of thinking about quality.
Deming was the main figure in popularizing quality control in Japan and regarded as national hero in
that country.
He believes that quality must be built I into the product at all stages in order to achieve a high level
of excellence.
His thoughts were highly influenced by Walter Shwartz who was the proponent of Statistical Quality
Control (SQC). He views statistics as a management tool and relies on statistical process control as
means in managing variations in a process.
Total Quality Management (TQM)
W Edwards Deming placed great importance and responsibility on management, at both the individual and
company level, believing management to be responsible for 94% of quality problems. His fourteen point
plan is a complete philosophy of management, that can be applied to small or large organizations in the
public, private or service sectors:
He defined it as:
“An effective system for integrating quality
developm ent, quality m aintenance and quality
im provem ent efforts of the various groups w ithin an
organization, so as to enable production and
service at the m ost econom ical levels that allow full
custom er satisfaction”.
Shigeo Shingo
Shingo is strongly associated with Just-in-Time manufacturing,
and was the inventor of the single minute exchange of die
(SMED) system, in which set up times are reduced from
hours to minutes, and the Poka-Yoke (mistake proofing)
system.
He believes that, as the effective leader walks, at least 3 major activities are
happening:
Several other quality initiatives followed. The ISO 9000 series of quality-management
standards, for example, were published in 1987. The Baldrige National Quality Program and
Malcolm Baldrige National Quality Award were established by the U.S. Congress the same
year. American companies were at first slow to adopt the standards but eventually came on
board.
The major rationale behind establishment of this law was intense foreign competition
especially from Japan.
The award has set a national standard for quality, and hundreds of major corporations used
the criteria in application form as a basic management guide for quality improvement
programs.
Meeting criteria is not an easy matter. A perfect score is 1000
Baldrige Award Points Scale
Examination Categories/Items _____ Point Values
1.0 Leadership 95
1.1 Senior Executive Leadership 45
1.2 Management for quality 25
1.3 Public Responsibility and corporate citizenship 25
We applied for the Award, not with the idea of winning, but with the goal of
receiving the evaluation of the Baldrige Examiners. That evaluation was
comprehensive, professional, and insightful...making it perhaps the most
cost-effective, value-added business consultation available anywhere in
the world today.
Bob Barnett
Executive Vice President
Motorola, Inc.
2003 Baldrige Award Ceremony
Total Quality Management (TQM)
Some Visuals of the Coveted Baldrige National Quality Awards
Total Quality Management (TQM)
Winners of Baldrige National Quality Awards
Total Quality Management (TQM)
Winners of Baldrige National Quality Awards
Total Quality Management (TQM)
Chief Guest Speaking During National Quality Awards Ceremony
Total Quality Management (TQM)
Some Visuals of Baldrige National Quality Awards
Total Quality Management (TQM)
TQM Beyond 2000
As the 21st century begins, the quality movement has matured. The new quality systems
have evolved beyond the foundations laid by Deming, Juran and the early Japanese
practitioners of quality
– In 2000 the ISO 9000 series of quality management standards was revised to increase
emphasis on customer satisfaction. Sector-specific versions of the ISO 9000 series of
quality management standards were developed for such industries as automotive (QS-
9000), aerospace (AS9000) and telecommunications (TL 9000 and ISO/TS 16949) and for
environmental management (ISO 14000).
END OF
CHAPTER 1