Final Project

Submitted to:Dr.K.V. Narrasimha m Lecturer Total Quality

Submitted by:Abhishek Pathak MBA Semester IV Section VI HR & Marketing

Demings 14
If we use the words Total Quality Management (TQM) to refer to a specific package of quality measures rather than using them in their wider sense, then the name to which they are sometimes attributed is that of Deming. Deming has laid down a 14-point plan for the achievement of TQM. W Edwards Deming was an American statistician who was credited with the rise of Japan as a manufacturing nation, and with the invention of Total Quality Management (TQM). Demings "Out of the crisis" book was published in 1982. In this book, Deming set out 14 points which, if applied to US manufacturing industry, would he believed, save the US from industrial doom at the hands of the Japanese. Although Deming does not use the term Total Quality Management in his book, it is credited with launching the movement. Most of the central ideas of TQM are contained in "Out of the crisis". The Deming Method represents a philosophy or holistic worldview applied to change. The authors' extensive research has identified examples ranging from a New York inner-city high school to the U.S. Department of the Navy. They include the Ford, Xerox, and Motorola corporations. All demonstrate how Deming's ideas can and do work in such wide-dispersed areas as education, health care, manufacturing, and war. The 14 points seem at first sight to be a rag-bag of radical ideas, but the key to understanding a number of them lies in Deming's thoughts about variation. Variation was seen by Deming as the disease that threatened US manufacturing. The more variation - in the length of parts supposed to be uniform, in delivery times, in prices, in work practices - the more waste, he reasoned. These 14 points can be implemented by each and every individual or organisations in their day to day functioning. In this project I have tried to present the application of these 14 points in the educational context in the Universities of our country.As I have completed my education from

BENARAS HINDU UNIVERSITY(BHU) which is one of the most prestigious university of our country,hence I have presented the application of the Demings 14 points by B.H.U. From this premise, let us see how the following 14 points are applied by the Benaras Hindu university for management, which we have paraphrased here: 1."Create constancy of purpose towards improvement". Replace short-term reaction with long-term planning. 2."Adopt the new philosophy". The implication is that management should actually adopt his philosophy, rather than merely expect the workforce to do so. 3."Cease dependence on inspection". If variation is reduced, there is no need to inspect manufactured items for defects, because there won't be any.

4."Move towards a single supplier for any one item." Multiple suppliers mean variation between feedstock. 5."Improve constantly and forever". Constantly strive to reduce variation. 6."Institute training on the job". If people are inadequately trained, they will not all work the same way, and this will introduce variation. 7."Institute leadership". Deming makes a distinction between leadership and mere supervision. The latter is quota- and target-based. 8."Drive out fear". Deming sees management by fear as counter- productive in the long term, because it prevents workers from acting in the organisation's best interests. 9."Break down barriers between departments". Another idea central to TQM is the concept of the 'internal customer', that each department serves not the management, but the other departments that use its outputs. 10."Eliminate slogans". Another central TQM idea is that it's not people who make most mistakes - it's the process they are working within. Harassing the

workforce without improving the processes they use is counter-productive. 11."Eliminate management by objectives". Deming saw production targets as encouraging the delivery of poor-quality goods. 12."Remove barriers to pride of workmanship". Many of the other problems outlined reduce worker satisfaction. 13."Institute education and self-improvement". 14."The transformation is everyone's job". Let us understand the concept and application of the points 5,6,7,8 one by one and see that how we can achieve and implement it.

Point 1: Create constancy of purpose toward improvement of the product and service so as to become competitive, stay in business and provide jobs.
The university management at BHU is concerned about running the business on a day-to-day basis and the other must be to look after the future of the business. The latter requires constancy of purpose and dedication to improvement. Top management must spend time to innovate, put resources into research and education, constantly improve the design of the product and service, and put resources into maintenance of equipment, furniture and fixtures. HOW BHU IMPLEMENTS/ACHIEVE THIS 1) Put resources for a long term planning - resources have to be allocated for a long term planning with thew faith that there will be a future.this faith has to be demonstrated continuously on a day to day basis by top

management in order to motivate employees and convince them of the seriousness of their efforts. 2) Balance on allocation of efforts the right balance has to be found out in the allocation of efforts for dealing, on the one hand with the problems of today and on the other hand with the problems of tomorrow. 3) Investment in innovative methods and techniques. Investment in innovative methods and techniques in new skills and materials in research and education and in continuous improvement in the design of products and services are the elements that can demonstrate con-stancy of purpose for survival today and tomorrow. 4) Continuous research without continuous research a manufacturer cannot think of staying ahead of its competitors.

Point 2: Adopt the new philosophy

Benaras Hindu University believes that we are in a new economic age. We no longer need live with commonly accepted levels of delay, mistake, defective material and defective workmanship. Deming's new philosophy is simple. The levels of error that could be tolerated yesterday cannot be tolerated today. Deming stresses that only management is in the position to do something about the vast majority of errors and it is management's task to remove the obstacles that prevent the worker from doing the job correctly. HOW TO IMPLEMENT/ACHIEVE THIS 1) Constant movement there should be a constant movement in the direction of the philosophy of ever improving quality in all systems and processes.to start with the current management systems style and operating attitudes have to be realistically examined in order to determine whether they support or inhibit continuing improvement in quality and productivity.

2) Change in managerial style top managers have to bold enough to accept that a total transformation in needed in their current style of management. managers have to be humble enough to admit that the days when the management only needed to think and the workforce only needed to do, have passed .a company trying to survive on the intelligence of only a handful of managers has no chance in the new economic age. 3) Top management must learn new philosophy top management and everyone in the organisation must learn the new philosophy.organisation must seek never-ending improvement and refuse to accept nonperformance.

Point 3: Cease dependence on mass inspection; require, instead, statistical evidence that quality is built in.
The problem with mass inspection is that it is an attempt to control the product rather than the process, and in any case, mass inspection is frequently subject to high levels of inaccuracy. In short, it is too late, ineffective and costly. BHU is such a huge University that the Routine 100 percent inspection to improve quality is practically not possible and is equivalent to planning for defects, acknowledgment that the process has not the capability required for the specifications. Inspection to improve quality is too late, ineffective, costly. When product leaves the door of a supplier, it is too late to do anything about its quality and in case of educational context it is not only late but harmful and misleading as well. Quality comes not from inspection, but from improvement of the production process. Inspection, scrap, downgrading and rework are not corrective action on the process.

HOW TO IMPLEMENT/ACHIEVE THIS 1) Statistical evidence should be used - Statistical evidence is required of self and supplier.every effort should be made to reduce and then eliminate acceptance sampling. Mass inspection in managing for failure and defect prevention is managing for success. 2) Build quality at development stage the quality should be developed at designing stage through off line quakity control , and maintain it or improve further during normal production through on line quality control of the process that produces the product. 3) Replace practice of mass inspection the practice of mass inspection has to be replaced by defect prevention and defect detection should take over continuous improvement.stastical evidence can be utilised to build in quality in both manufacturing and purchasing functions.

Point 4: End the practice of awarding business on the basis of price tag alone.
At BHU the practice of awarding business on the basis of price tag is totally no no. Instead, they university management emphasizes on minimizing total cost. They believe in Move toward a single supplier for any one item on a long-term relationship of loyalty and trust. About 110 years ago, John Ruskin made the following remarks about quality and prices: On quality: "There is scarcely anything at all which someone, somewhere, can't make in a poorer quality and sell more cheaply, and people who only look at the price are this man's legitimate victims."

On prices: "It's unwise to pay too much, but far worse to pay too little. When you pay too much, all you loose is some money - which's all. When you pay too little, then sometimes you loose everything because what you buy isn't able to do what it was bought for. Common business practice makes it impossible to pay a bit and to get a lot - quite simply, it can't be done. If you accept the lowest offer, then you would be wise to insure yourself against the risk you run - and if you do that, then you can afford to pay for the better product anyway." We can no longer leave quality, service and price to the forces of competition for price alone - not in today's requirements for uniformity and reliability. Price has no meaning without a measure of the quality being purchased. Without adequate measures of quality, business drifts to the lowest bidder, low quality and high cost being the inevitable result. HOW TO IMPLEMENT/ACHIEVE THIS 1) End low tender contracts like every individual in all managerial ranks, the purchasing managers have a new job to perform in the new economic age. They must end lowest tender contracts instead they should always require meaningful measures of quality for the supplies. 2) The supplier should contain statistical control evidence initial specifications and the price of incoming materials do not tell the story about performance .the supplier that should be trusted are the ones that can provide evidence of sustained stastical control. A spc chart showing past and current performance levels can provide this evidence. 3) Stick to a single supplier it is probably worthwhile to stick to a single supplier for any one item in a long-term business association of a loyalty and trust. Looking forward to long term business with the purchaser, the supplier will be encouraged and more easily convinced to adopt a philosophy of continuing improvement, open and honest communication and feedback, and prompt delivery for quality supplies at a price reflecting the true value of the materials.

Point 5:

Improve constantly and forever the system of Production and service.

Nobody is perfect. There is always room for improvement. Especially if you are in an Education busines.It is more of a social institution than a commercial one.It is more responsible for its acts towards the society than any other commercial organization. Improve constantly and forever the system of production and service to improve quality and productivity and thus constantly decrease costs. The road to improvement has no end. There is always a way to do things better and at lower cost. Innovation does not come from the client, it comes from the producer. Nobody asked for an automobile, a telephone, a radio, a television set, a copy machine. Ideas are always generated in the heads of the producer. Deming introduced the P.D.S.A.-cycle for continual improvement in Japan in 1950. Today, this simple model for continual improvement is as vital as ever.

We should always access and evaluate ourselves, we should find the problems; constantly improve the performance standards and methods and processes for execution of service or work by us. There should be continual reduction of waste and continual improvement of quality in every activity so as to yield a continual rise in productivity and a decrease in costs as well as wastage. As a student we should always try to perform better than our past performance and should always try to innovate new methods and techniques for execution of our work. We should never be satisfied with our work as by doing that we are stopping ourselves from performing better than past work. Hence in this way we can achieve and implement this point of Deming in our lives.

Point 6:

Institute Training
Training educates a person. Training is like practice which makes a man perfect. Institute training on the job is very important. Training must be totally reconstructed. Management needs training to learn about a company, all the way from incoming material to customer. Modern methods of training and education for all should be instituted. Modern methods of on-the-job training use control charts to determine whether a worker has been properly trained and is able to perform the job correctly. Statistical methods must be used to discover when training is complete. In Japan, a manager starts his career with a long internship (4 to 12 years) on the factory floor and in other duties of the company. He knows by personal experience the problems in production, procurement, accounting, distribution, and sales.

As we know that People learn in different ways. Some have difficulty to learn by written instructions (dyslexia). Others have difficulty to learn by the spoken word (dysphasia). Some people learn best by picture, others by imitation, others by a combination of methods. We should try to figure out which training best suits us and than go for it, else it will be a total wastage.We should also be open to new methods of training and should not be reluctant in adopting new methods of training.

Point 7:
Adopt and institute Leadership

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The institutions who create leaders are of highest quality and BHU is famous for giving our country many renowned leaders.A leader is a person who influences people with his thoughts and knowledge, persons who get influenced are his followers. This means that the leader leads from the front. This is why Deming said, Institute leadership. The aim of leadership should be to help people, machines and gadgets to do a better job. Supervision of management is in need of overhaul, as well as supervision of production workers. Institute modern methods of supervision. The emphasis of production supervisors must be to help people to do a better job. Improvement of quality will automatically improve productivity. Management must prepare to take immediate action on response from supervisors concerning problems such as inherited defects, lack of maintenance of machines, poor tools or fuzzy operational definitions.

It is part of a supervisor's job to coach the people that are being supervised.
"Can there be total quality without top management? No, never! Every successful total quality effort has included the active participation of the top management. We know of no exceptions. For quality to become a way of life, top management must carry out specific actions. These actions cannot be delegated. Top management must develop a strategic plan, review and approve the organization's quality policy, provide the resources, create and participate in quality councils and quality efforts. Achieving total quality demands top management be leaders, not cheerleaders." Quality comes from the top. Experience shows that at least 90% of all mistakes have their origin in the system which only management can change. Actions guided by profound knowledge are required. We should try to evolve the leadership skills in ourselves. We should always try to face the problem and try to lead from front in crisis situation and should never try to avoid or run away from such situation. Leading from front would not only improve our confidence but would also encourage and motivate our team members and

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colleagues as well. This will result in strong and effective performance and a quality work.

Point 8: Drive out Fear

Fortune favors the brave God help those who help themselves There can be n number of quotes which tell us that Fear is a barrier to improvement so drive out fear by encouraging effective two-way communication and other mechanisms that will enable 'everybody to be part of change, and to belong to it'. The results of fear can be seen in inspection: operators may record incorrectly the results of inspecting their own work for fear of exceeding the quota of allowable defects and inspectors may falsify results to avoid the wrath of their colleagues. Drive out fear, so that everyone may work effectively for the company. Joy in work, Innovation - not just improvement and cooperation are the three basic ingredients for a successful quality journey. The opposite of joy in work is fear in work. Nobody can do their best unless they feel secure. Deming has repeatedly emphasized that "drive out fear" should be the first of the 14 points management should start to implement, since it is the prerequisite for the implementation of at least 9 other points. Fear prevents an organization from developing its full potential. Fear leads to loss. An organization managed by fear will ultimately fail.

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The leadership style of Adolf Hitler during the Second World War provides a dramatic example. Western observers have no doubt that, in the decisive phases of the war, Adolf Hitler only received the information his subordinates knew would please him. He was therefore incapable of running the war which inevitably resulted in his defeat. Similar observations could be made during the War in the Gulf. Fear is endemic in modern organizations. Fear has many forms as some of the following examples show:

Fear of losing your job if the firm cuts back Fear of not being good enough in general Fear that a colleague will be promoted over your head Fear that the annual performance rating will not qualify for a raise Fear of not always having an answer when the boss asks a question Fear of losing face in front of colleagues

For Deming, education and knowledge are the essential means of combating fear. Seven factors out of more than 70 proved to have a significant effect on security.

Perceived responsibility in the job Consideration Feedback Job stability Management's professional qualifications Cooperation Information

So we can learn from this point that problems are part of life and running away from it is not its solution. The successful people are those who not only face the problem with a straight face but also eradicate it from its root. Fear should be driven away as far and as quickly as possible.

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Point 9:Break down Barriers between Departments

BHU endorses the view of Breaking down the barriers between departments. People in research, design, sales and production must work as a team to foresee problems of production and in use that may be encountered with the product or service. Restrictions and barriers always lead to less than optimum results. Deming recommends therefore to break down barriers between departments. Employees in departments and divisions such as product development, sales and production must work together to have any chance of anticipating quality problems. Organizations are to function as systems. Restrictions and barriers destroy the systems

Point 10: Eliminate Slogans

Eliminate slogans, exhortations and targets for the work force that ask for zero defects and new levels of productivity. "Your work is your self-portrait." Would you sign that? No - not when you give me defective canvas to work with, paint not suited to the job, brushes worn out, so that I can not call it my work.

"Do it right the first time!" "Getting better together!" "Be a quality worker!"

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"Take pride in your work!"

are directed at the wrong people. They arise from management's supposition that the production workers could, by putting their backs into the job, accomplish zero defects, improve quality, improve productivity and all else that is desirable. The charts and posters take no account of the fact that most of the trouble comes from the system. Exhortations and posters generate frustration and resentment. They advertise to the production worker that the management is unaware of the barriers to pride in workmanship.

Point 11: Eliminate Work Standards

Eliminate work standards (quotas) on the factory floor. Substitute leadership. Eliminate management by objective. Eliminate management by numbers, numerical goals. Substitute leadership. Deming strictly opposes the application of standards for the work force. In "Out of the Crisis" we read: "A quota is a fortress against improvement of quality and productivity. I have yet to see a quota that includes any trace of a system by which to help anyone to do a better job. A quota is totally incompatible with never-ending improvement. There are better ways. Piece work is even more devastating than work standards. Incentive pay is piece work. The hourly worker on piece work soon learns that he gets paid for making defective items and scrap - the more defectives he turns out, the higher the pay for the day. Where is his pride of workmanship?" Internal goals set in management of a company without a method are a burlesque.

Decrease costs of warranty by 10 percent next year Increase sales by 10 percent next year

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Improve productivity by 3 percent next year

A natural fluctuation in the right direction is interpreted as a success. A fluctuation in the opposite direction sends everyone scurrying for explanations and into bold forays whose only achievements are more frustration and more problems.

Point 12: Remove Barriers to Pride of Workmanship

Remove barriers that rob the hourly worker of his right to pride of workmanship. The responsibility of supervisors must be changed from stressing sheer numbers to quality. Remove barriers that rob people in management and engineering of their pride of workmanship. This means, inter alia, abolishment of the annual merit rating and of management by objective. In the past, craftsmen were skilled workers and production was flexible and varied to suit the customer. Pride was a natural part of the work. No selfrespecting craftsman would allow shoddy workmanship. He would never deliver a product which did not live up to the high standards of his craft. Under such a system, quality is built into the product and quality control is relatively easy. This does not mean that we should turn the clock back to an earlier age. Mass production is here to stay. But today as well as in the past, pride remains the biggest motivator of all. Dick Nunis, former Disney president is in no doubt: "There are really only two words which make things work around here ... quality and pride. If you design, build, make and maintain quality, people will be proud of what they do. "

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Walt Disney himself fully appreciated the importance of people: "You can dream, create, design and build the most wonderful place on earth ... but it takes people to realize a dream."

Point 13: Encourage self-improvement

Encourage education and self-improvement for everyone. Point 6 dealt with training. While training is specific, i.e. targeted at the skills required for the job, education is general, its aim being to improve employees' general knowledge. A study carried out by Price Waterhouse, an international firm of consultants, shows that most investment in education goes on managers and specialists. Personnel at manager and executive levels used on average twice as many working days on supplementary courses as office staff and those paid by the hour. We know today that investment in employees, even those paid by the hour, can have much greater effect than investing in machines. Investing in employees is a prerequisite of one of the sides of the new management pyramid: continuous improvement of products, services and processes. This effect can never be achieved through investments in machines alone.

Point 14: Accomplish the Transformation

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Benaras Hindu University puts everybody in the organization to work to accomplish the transformation. The transformation is everybody's job. There is more to this point than meets the eye. Deming recognizes the difficulty of implementing the 13 previous points so, in this last point, he presents a seven point plan for action to implement the philosophy. 1. Management must agree on the meaning of the 13 points. 2. Management must have the courage to break with tradition. 3. In building up a new quality organization, a manager for quality improvement who has direct access to top management must be appointed. 4. Management must, as quickly as possible, build up an organization in order to carry out the continuous improvements throughout the firm. 5. Management must explain why the changes are necessary and that they will involve everybody in the company. 6. Management must explain that every activity, every job has its own customers and suppliers. 7. Management must ensure that every employee in the company participates actively in a team (work team, quality circle).

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