Total Quality Management

Total
T

= Total i.e. company-wide, suppliers, customers

DEFINITION OF QUALITY

The concept and vocabulary of quality are elusive. Different people interpret quality differently. Few can define quality in measurable terms that can be proved operationalized. When asked what differentiates their product or service; The banker will answer service The healthcare worker will answer quality health care The hotel employee will answer customer satisfaction The manufacturer will simply answer quality product

Quality
Ability of a product to satisfy customers need up to a standard.

Definition of TQM
TQM

is the art of managing the whole to achieve excellence. is a philosophy and a set of guiding principles that represent the foundation of a continually improving firm.

TQM

It

is the application of quantitative methods to improve all processes within a firm.

 TO DELIVER HIGHEST VALUE AT LOWEST COST is the main objective of TQM

Do the right things right the first time, every time.

5 Principles of TQM
Produce

quality work the first time. Focus on the customer: 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, upgrading computers or software, or buying new measuring toolsthe customer determines whether the efforts were worthwhile.

Have

a strategic approach to improvement: continuously: Continual improvement drives an organization

mutual respect and teamwork: All

This process, called strategic planning or strategic management, includes the formulation of a strategic plan that integrates quality as a core component.

Improve

to be both analytical and creative in finding ways to become more competitive and more effective at meeting stakeholder expectations.

Encourage

employees participate in working toward common goals.

Tools of TQM
Right

First Time: Quality conscious at start

Marking

Bench

ISO 9000(International organization for standardization ) Quality Circles Statistical Quality Control Kaizen Six Sigma

Benefits of TQM
Improve

quality Employee participation and satisfaction Teamwork and Working relationships Customer satisfaction Productivity Communication Profitability and Market Share

Obstacles to TQM
Lack

of management commitment Improper planning Lack of continuous training and education Incompatible Org structure & isolated departments and individuals Ineffective measurement techniques Paying inadequate attention to customers Inadequate use of empowerment and teamwork Failure to continually improve

Productivity and TQM

Traditional

view:

Quality cannot be improved without significant losses in productivity.

TQM

view:

Improved quality leads to improved productivity.