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TQM Report
TQM Report
TQM Report
(MGTB3123)
PROJECT REPORT
PROFESSOR M. HAFIZ ADNAN KHAN
Date of submission:
, 2024
Quality
Standards of
3
Organization
s
Certificate
We solemnly declare that the project report titled "Quality Standards of 3 organizations"
submitted by us for the completion of TQM course is an authentic and original work carried
out under the guidance of Professor Hafiz Adnan Khan. We affirm that this report has not
been submitted earlier for any other academic purpose, and the sources of information and
data used in the preparation of this report have been duly acknowledged. We take full
responsibility for the accuracy and completeness of the content presented in this report.
Furthermore, we acknowledge that any attempt to misrepresent or falsify the information
contained herein may result in serious consequences, including academic penalties and
disciplinary action. We understand and adhere to the ethical standards and guidelines set forth
by the institution.
Acknowledgements
We would like to express our sincere gratitude to all those who have contributed to the
successful completion of this project. First and foremost, we extend our heartfelt appreciation
to our supervisor Hafiza Muhammad Adnan Khan, whose guidance, and valuable insights
have been instrumental throughout this journey.
We are also grateful to our colleagues and peers who generously shared their perspectives,
engaged in meaningful discussions, and provided constructive feedback, enhancing the
overall quality of the work. Additionally, we want to acknowledge the wealth of knowledge
and inspiration drawn from the vast body of literature and research in the field.
Finally, our sincere thanks go to our families and friends for their unwavering
encouragement, understanding, and patience during the course of this undertaking. Their
support has been a source of strength, motivating us to persist and excel in the pursuit of this
endeavor.
This acknowledgment is a reflection of the collective effort and support that has made this
project possible. We are truly fortunate to have such a remarkable network of individuals
who have contributed to its successful completion.
Executive Summary
This report delves into the quality standards upheld by Shan Foods, Honda Atlas Pakistan,
and Nayapay. Shan Foods maintains a rigorous approach to quality assurance in its food
production, adhering to global safety standards and fostering continuous improvement.
Honda Atlas Pakistan exemplifies quality in automotive manufacturing through systematic
quality control measures and a customer-centric ethos, ensuring the reliability and excellence
of its vehicles. Similarly, Nayapay, a fintech startup, prioritizes quality in its digital payment
solutions, employing agile methodologies and stringent security protocols to deliver
trustworthy and user-friendly services. Despite operating in diverse sectors, these
organizations underscore the significance of Total Quality Management in achieving
operational excellence and customer satisfaction in their respective industries.
Table of Contents
Shan Foods...........................................................................................................................................1
1.1 Objectives:............................................................................................................................1
1.2 Total Quality Management (TQM) Overview:..................................................................1
1.3 Importance of TQM in the Food Industry:........................................................................2
1.4 Quality Management Practices at Shan Foods:.................................................................2
1.5 Continuous Improvement Initiatives:................................................................................3
1.6 TQM Tools and Techniques Used by Shan Foods:............................................................4
1.7 Quality Culture and Leadership at Shan Foods:...............................................................5
1.8 Supplier Quality Management:..........................................................................................6
1.9 Customer Focus and Satisfaction:......................................................................................8
1.10 Continuous Improvement and Innovation:........................................................................8
1.11 Quality Circles:....................................................................................................................9
1.12 Sustainability and Environmental Management:............................................................10
1.13 Environmental Impact Assessments:...............................................................................11
1.14 Global Certifications and Awards:...................................................................................11
The Ripple Effect: New and Positive ideas can Influence Change.................................................13
Personal Change....................................................................................................................13
Societal Change......................................................................................................................14
The effect of positive thinking on resilience and life satisfaction of older adults: a randomized
controlled trial...................................................................................................................................16
Positive Thinking, School Adjustment and Psychological Well-being among Chinese College
Students..............................................................................................................................................16
Cognitive Transformation.................................................................................................................17
Personal Life..........................................................................................................................17
Professional Life....................................................................................................................18
Empowering yourself through the inflow of new thoughts.............................................................19
Creativity as Competitive Advantage..............................................................................................20
Embracing new ideas in Management Practices.............................................................................23
Entrepreneurial Success Through Innovative Thinking................................................................25
The Role of the Entrepreneur in Innovation and in Economic Development...............................28
Ethical Dimensions of Innovation.....................................................................................................29
Challenges Faced While Embracing New Thoughts.......................................................................31
Benefits of new thoughts to the firms...............................................................................................32
Conclusion..........................................................................................................................................34
References..........................................................................................................................................35
Annexure............................................................................................................................................36
Shan Foods
Shan Foods is a leading multinational company headquartered in Karachi, Pakistan,
specializing in the production and distribution of packaged spices, recipe mixes, and ready-
to-cook products. Established in 1981 by Sikander Sultan, Shan Foods has grown from a
small cottage industry to a global brand, exporting its products to over 80 countries
worldwide. The company's success is attributed to its commitment to quality, innovation, and
customer satisfaction.
1.1 Objectives:
The primary objective of this section is to conduct a comprehensive analysis of Shan Foods'
Total Quality Management (TQM) practices. Specifically, the report aims to:
Examine the use of TQM tools and techniques within the organization.
This section will provide insights into Shan Foods' TQM strategies and identify areas for
further improvement.
Data-Driven Decision Making: Using data and metrics to identify opportunities for
improvement.
Enhanced Customer Trust: By prioritizing quality and safety, food companies build
trust and loyalty among customers.
Operational Efficiency: TQM methodologies such as Lean and Six Sigma help
optimize processes, reduce waste, and improve productivity.
In the following sections, we will explore how Shan Foods implements TQM principles to
uphold its commitment to quality excellence.
Shan Foods employs rigorous quality control measures throughout the production process to
ensure that its products meet the highest standards of quality and safety. Key quality control
practices include:
Raw Material Inspection: Incoming raw materials undergo thorough inspection and
testing to verify quality specifications and compliance with standards.
Sanitation and Hygiene Standards: Shan Foods maintains strict sanitation and
hygiene standards in its manufacturing facilities to prevent contamination and ensure
product safety.
In addition to quality control measures, Shan Foods has established robust quality assurance
processes to systematically manage and improve product quality. Key components of the
company's quality assurance framework include:
Quality Audits: Regular internal audits are conducted to assess adherence to quality
standards and identify areas for improvement. External audits by certification bodies
further validate the effectiveness of Shan Foods' QMS.
Root Cause Analysis: When quality issues arise, Shan Foods conducts thorough root
cause analysis to identify underlying causes and implement corrective actions to
prevent recurrence.
Shan Foods utilizes Statistical Process Control (SPC) techniques to monitor and control the
quality of its manufacturing processes. SPC involves the use of statistical methods to analyse
process data and detect variations that could lead to defects or deviations from specifications.
Key SPC tools used by Shan Foods include:
Control Charts: Control charts are used to graphically display process data over time
and identify trends, patterns, and out-of-control conditions.
Process Capability Analysis: Shan Foods conducts process capability studies to assess
the ability of its manufacturing processes to meet customer requirements and
specifications.
Shan Foods embraces the Six Sigma methodology to systematically improve process
performance and reduce variation. Six Sigma principles emphasize data-driven decision
making and the application of statistical tools to achieve.
Define, Measure, Analyse, Improve, Control (DMAIC): Shan Foods employs the
DMAIC framework to address quality issues and optimize processes systematically.
Process Mapping: Process mapping techniques such as Value Stream Mapping (VSM)
are used to visualize and streamline production processes, identifying opportunities
for waste reduction and efficiency improvement.
Design of Experiments (DOE): DOE techniques are utilized to optimize process
parameters and identify the most significant factors affecting product quality and
performance.
Kanban System: Shan Foods utilizes the Kanban system to control inventory levels
and facilitate smooth production flow, ensuring that materials are replenished only
when needed.
At Shan Foods, quality is not just a departmental responsibility but a core value embraced by
top management. The company's leadership demonstrates a strong commitment to quality
excellence by:
Setting Clear Quality Objectives: Top management sets clear quality objectives and
communicates them throughout the organization, emphasizing the importance of
quality in achieving business success.
Training and Development Programs: Shan Foods invests in comprehensive training and
development programs to enhance the capabilities of its workforce in quality management
and related areas. These programs include:
Shan Foods follows stringent criteria for selecting suppliers to ensure the quality and
reliability of raw materials and ingredients. Key criteria considered during supplier selection
include:
Quality Standards: Suppliers must adhere to strict quality standards and
certifications, such as ISO 22000, HACCP, and GMP (Good Manufacturing
Practices).
Product Quality: Shan Foods evaluates the quality of suppliers' products through
rigorous testing and inspection to ensure they meet the company's specifications and
requirements.
Compliance and Ethics: Suppliers are expected to comply with all relevant
regulations and ethical standards, including labour practices, environmental
regulations, and business ethics.
Once selected, suppliers undergo regular evaluation and monitoring to assess their
performance and ensure ongoing compliance with quality standards. Shan Foods conducts:
Quality Audits: Shan Foods conducts on-site audits of supplier facilities to verify
compliance with quality standards, identify potential risks, and address any non-
conformities.
Shan Foods believes in fostering collaborative relationships with its suppliers based on trust,
transparency, and mutual benefit. The company engages with suppliers in:
Long-Term Partnerships: Shan Foods seeks to build long-term partnerships with its
suppliers, recognizing the value of stability and continuity in the supply chain.
Shan Foods places a strong emphasis on understanding the needs and preferences of its
customers to deliver products that exceed their expectations. The company conducts:
Market Research: Shan Foods conducts market research and consumer surveys to gain
insights into customer preferences, trends, and purchasing behaviour.
Shan Foods has established effective mechanisms for handling customer complaints and
resolving issues in a timely and satisfactory manner. The company:
Customer Service Hotline: Shan Foods operates a dedicated customer service hotline
where customers can report complaints, provide feedback, and seek assistance
regarding product-related issues.
Complaint Resolution Process: Shan Foods has a structured process in place for
handling customer complaints, including investigation, resolution, and follow-up to
ensure customer satisfaction.
Gemba Walks: Managers and supervisors conduct Gemba walks to observe work
processes firsthand, identify inefficiencies, and engage employees in problem-solving
and improvement activities.
Recognition and Reward: Shan Foods recognizes and rewards employees for their
contributions to continuous improvement, reinforcing a culture of excellence and
innovation.
Implementation of Solutions: Once solutions are identified and agreed upon, Quality
Circle members work collaboratively to implement and monitor the effectiveness of
the proposed changes.
Product Development and Innovation: Shan Foods places a strong emphasis on product
development and innovation to meet evolving consumer preferences and market trends. The
company:
Invests in Research and Development (R&D): Shan Foods allocates resources to
R&D initiatives aimed at developing new products, improving existing formulations,
and exploring innovative packaging solutions.
Consumer Insights: The company conducts market research and consumer surveys
to gain insights into emerging trends, preferences, and culinary habits, which inform
its product development efforts.
New Product Launches: Shan Foods regularly introduces new products and flavour
variants to cater to changing consumer preferences and expand its product portfolio.
These launches are supported by marketing campaigns to generate awareness and
drive consumer adoption.
Waste Reduction: Shan Foods adopts waste reduction strategies such as recycling,
composting, and waste-to-energy initiatives to minimize the generation of waste and
promote resource conservation.
Shan Foods is dedicated to sourcing raw materials and ingredients in a sustainable and
responsible manner. The company:
Certifications:
1. ISO 9001:2015:
Shan Foods has been awarded the ISO 9001:2015 certification for its quality management
system, demonstrating its adherence to international standards and commitment to continuous
improvement.
2. ISO 22000:2018:
Shan Foods holds the ISO 22000:2018 certification for its food safety management system,
ensuring the safety and quality of its products throughout the production process.
3. HACCP Certification:
Shan Foods has received Hazard Analysis and Critical Control Points (HACCP) certification,
validating its rigorous approach to food safety and hazard prevention in food production.
4. GMP Certification:
Shan Foods complies with Good Manufacturing Practices (GMP) standards, which are
essential for ensuring the quality, safety, and hygiene of food products.
5. Halal Certification:
Many of Shan Foods' products are certified as Halal, meeting Islamic dietary requirements
and catering to Muslim consumers worldwide.
Awards:
Shan Foods has been honoured with the Achievement Award by the Federation of Pakistan
Chambers of Commerce and Industry (FPCCI) for its outstanding contribution to the food
industry and excellence in business operations.
Shan Foods has been recognized with the Brands of the Year Award, celebrating its brand
excellence and consumer trust in the Pakistani market.
Shan Foods has received awards for its exceptional export performance, acknowledging its
success in penetrating international markets and promoting Pakistani cuisine globally.
The company has been honoured with the Best Export Performance Award by various
industry bodies and trade associations for its significant contributions to Pakistan's export
industry.
Shan Foods has been a recipient of the Consumer Choice Award, reflecting its popularity and
preference among consumers for high-quality and flavourful food products.
These certifications and awards underscore Shan Foods' commitment to maintaining the
highest standards of quality, safety, and customer satisfaction while also recognizing its
achievements and contributions to the food industry both domestically and internationally.
Naya Pay
Introduction to Nayapay:
Naya pay is a digital payment platform that give services by enabling secure,
convenient, and innovative payment solutions. Nayapay aims to revolutionize the payment
industry with cutting-edge technology and customer-centric approach. Nayapay prioritizes
customer satisfaction, ensuring ease of use, security, and convenience. By multilingual
support and personalized services cater to diverse customer needs. To dedicate customer
service team available round-the-clock to address queries and concerns.
In 2017 The company expanded its services to include online payment processing, partnering
with major banks and financial institutions.
In 2018 Nayapay introduced its mobile payment app, which became a huge success, with
millions of downloads and transactions.
In 2019 The company received significant funding from investors, enabling further expansion
and innovation.
Features:
User-friendly interface
Multi-language support
Real-time transaction processing
Advanced security measures
Scalable infrastructure
2. Digital Wallet
Nayapay's digital wallet allows users to store and manage funds securely.
Features:
Features:
Features:
User-friendly interface
Real-time transaction processing
Advanced security measures
Multi-language support
Easy fund transfers
5. Payment Gateway
Nayapay's payment gateway enables businesses to accept online payments securely.
Features:
Features:
Real-time monitoring
Machine learning algorithms
Advanced analytics
Collaborative filtering
Continuous updates and improvement
1.22 Quality Management and Customer Focus:
Nayapay strives to exceed customer expectations. By offering multilingual support to
cater to diverse customer needs. They continuously collect and incorporates customer
feedback. To offers a personalized services to meet individual customer needs. As. they map
and optimizes their customer journey by:
So, that they prioritizes security and fraud prevention. By building a culture of innovation and
experimentation. That dedicated team and resources and collaborative environment will help
their company to further grow.
PCI-DSS compliance
GDPR compliance
AML and CFT regulations
Regular audits and assessments
Regular security updates and patches
1.26 Risk Management:
Naya pays identifies and mitigates potential risks by:
Multi-factor authentication
Role-based access control
Regular password management
Biometric authentication
Recovery and post-incident activities
1.28 Awards and Recognition:
2.2. Awards:
Nayapay has received numerous industry awards for its innovative solutions and
services.
The company was incorporated on November 04, 1992 and joint venture agreement was
signed on August 05, 1993. The ground breaking ceremony was held on April 17, 1993 and
within a record time of 11 months, construction and erection of machinery was completed.
The first car rolled off the assembly line on May 26, 1994. Official inauguration was done by
the then President of Pakistan, Sardar Farooq Ahmad Khan Leghari. Mr.Kawamoto,
President of Honda Motor Company Limited Japan was also present to grace the occasion.
The company is listed in Karachi, Lahore, and Islamabad Stock Exchanges.
On July 14, 1994, car bookings started at six dealerships in Karachi, Lahore, and Islamabad.
Since then the dealerships network has expanded and now the company has thirty-seven 3S
(Sales, Service and Spare Parts), twenty 2S (Service and Spare Parts), and five 1S (Spare
Parts) authorized dealerships network in all major cities of Pakistan.
All dealerships are constructed in accordance with the standards defined by Honda World
over.
Percentage of local parts conforms to the government's policy. Local vendors are
continuously patronized to develop parts locally. The quality of local parts is thoroughly
checked to meet stringent international standards.
They are always strive to give outstanding service to our valued customers. In addition to
providing regular service to customers, the company also regularly conducts Service
Campaigns to facilitate customer's need for service. This has given our customers absolute
confidence in our cars which is clearly evident from the ever-increasing sale volumes.
It is the constant endeavor of Honda Atlas Cars (Pakistan) Limited to achieve No .1 Customer
satisfaction. Honda Atlas Cars (Pakistan) Limited is committed to meet customer
expectations and to provide good value for money.
Currently, they are offering Honda Accord, Honda CR-V, Honda Civic (Three variant),
Honda HR-V (Two variants), Honda BR-V, and Honda City (Three variant) in wide range of
colors with advanced technological features.
Honda Atlas Cars Pakistan Limited traces back to its establishment as a joint venture between
Honda Motor Company Limited Japan and the Atlas Group of Companies in Pakistan.
The joint venture was formed between Honda Motor Company Limited Japan
and the Atlas Group of Companies, which is a prominent conglomerate in
Pakistan with interests in various sectors.
Initially, the focus was on assembling the Honda Civic, one of Honda's iconic
models known for its reliability and performance.
As Honda Atlas Cars Pakistan Limited gained traction in the Pakistani market,
it expanded its product lineup to offer a wider range of vehicles.
The Honda City, a popular compact sedan, was introduced to cater to the
needs of urban consumers.
Subsequently, other models such as the Honda Accord, a midsize sedan, and
the Honda BR-V, a compact SUV, were also launched to further diversify the
company's portfolio.
Honda Atlas Cars Pakistan Limited has made significant investments in its
manufacturing facilities to enhance production capacity and introduce
advanced technologies.
Through its collaboration with Honda Motor Company Limited Japan, the
company has benefited from the transfer of technology, enabling it to produce
vehicles that meet global quality standards.
Over the years, Honda Atlas Cars Pakistan Limited has solidified its position
as one of the leading automotive manufacturers in Pakistan.
Honda Atlas Cars Pakistan Limited actively engages in CSR initiatives aimed
at supporting education, healthcare, environmental sustainability, and
community development initiatives in Pakistan.
Like any other automotive manufacturer, Honda Atlas Cars Pakistan Limited
has faced challenges such as changes in market dynamics, regulatory
requirements, and economic fluctuations.
Honda Atlas Cars Pakistan Limited has faced several challenges and issues, common to the
automotive industry as well as specific to the Pakistani market. Some of these issues include:
4. Supply Chain Disruptions: Disruptions in the global supply chain, such as shortages
of raw materials, components, or disruptions in logistics, can impact production
schedules and increase costs.
8. Safety Concerns: Ensuring vehicle safety and compliance with safety regulations is
paramount. Any issues related to vehicle safety can lead to reputational damage and
legal liabilities.
Continuous Improvement:
Training Programs: HAC could invest in comprehensive training programs for all
employees, from assembly line workers to management. This ensures everyone
understands TQM principles and their role in achieving quality standards.
Empowerment: Employees could be empowered to make decisions related to their
tasks and identify quality issues. This fosters a sense of ownership and accountability
for quality.
Teamwork: HAC might promote teamwork and cross-functional collaboration
between departments. This ensures open communication and a holistic approach to
quality throughout the organization.
Supplier Selection: HAC could establish stringent criteria for selecting suppliers who
can consistently provide high-quality components. This might involve audits and
performance evaluations.
Collaboration: Developing strong collaborative relationships with suppliers is
crucial. HAC could work with them on continuous improvement initiatives to ensure
consistent quality throughout the supply chain.
Parts Inspection: Implementing a robust system for inspecting incoming parts can
prevent defective components from being used in vehicle assembly.
Customer Focus:
Voice of the Customer (VOC): HAC could actively gather customer feedback
through surveys, focus groups, and social media engagement. Analyzing this feedback
(VOC) allows them to identify customer needs and preferences, informing product
development and service improvements.
Customer Satisfaction Surveys: Regularly measuring customer satisfaction through
surveys helps HAC track their progress and identify areas where customer experience
can be enhanced.
Warranty and After-Sales Service: A comprehensive warranty program and
efficient after-sales service are essential for building customer trust and loyalty. HAC
might focus on prompt resolution of customer concerns and ensuring the availability
of spare parts.
By effectively implementing these TQM principles, Honda Atlas Cars can achieve:
Quality standards
Use of electronic control systems in vehicles has grown dramatically in recent years
as part of an effort to achieve more environmentally friendly designs and improve driver and
passenger convenience and comfort, creating a need for effi cient inspection methods to
assure the quality of these components. To this end, Honda has installed line end testers
(LETs), an inspection and diagnostic system developed in-house, at production plants in
Japan and overseas. Although the LET was initially deployed to perform diagnostics of
emissions purification systems and parts in order to comply with U.S. emissions regulations,
Honda extended the capabilities of the second generation of the device to accommodate the
recent evolution of electronic control systems, allowing its use in shipping quality inspections
of all electronic control systems, from switches and instruments to air conditioner, audio,
engine, and transmission operation. Thanks to these innovations, inspections that have
traditionally depended on the human senses of smell, sight, and hearing can now be
performed quantitatively by means of communications with electronic control components,
dramatically increasing the precision and effi ciency with which inspections can be
conducted. Honda is continuing to quantify shipping quality assurance for electronic control
systems by working to implement further enhancements in the precision and effi ciency of
sensory inspections
Certification
Awards
2006-07 Brand of the Year Award: HACPL won this award from the Federation of
Pakistan - Chamber of Commerce and Industry
2006-07 Brand of the Year Award: HACPL won this award from the Federation of
Pakistan - Chamber of Commerce and Industry
2014 PakWheels Car Awards: HACPL won the "Car of the Year" and "Most Fuel
Efficient Car" awards from Pakistan's most popular automotive website, PakWheels
2014 Honda Global Best Quality Awards: HACPL's Engine Assembly Department
won the Gold Award for best quality
2017 and 2018 PSX Top 25 Companies Award: HACPL won this award from the
Pakistan Stock Exchange
2018 Best Quality Awards: HACPL won the Gold award in the best quality category
at the Best Quality Awards held at its factory
2020 Best Corporate and Sustainability Report Award: HACPL won this award
Recommendations
1. **Enhance Supplier Quality Management**: Strengthen relationships with suppliers by
implementing joint development projects and ensuring compliance with stringent quality
standards.
2. **Invest in Employee Training**: Regularly update training programs to include the latest
TQM tools and techniques, ensuring employees are well-equipped to maintain high quality
standards.
3. **Adopt Advanced Data Analytics**: Utilize big data and AI for predictive analytics to
anticipate and mitigate potential quality issues before they arise.
Diagram A2:
Table A4:
Top 10 Innovative Companies of 2023