Chapter 2

Managing Quality
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Quality in the Foodservice System
Quality
Approach to business not a program
Defined by customer through satisfaction
Aimed at performance excellence
Increases customer satisfaction
Reduces cycle times and costs
Eliminates errors and rework
Quality customer service is goal of profit
and non-profit organizations
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Dr. Demings 14-Point System
Developed 14-point system to help
companies increase quality
1. Improvements of products & services
2. Adopt new philosophy of quality
3. Cease dependence on inspection
4. Do not choose supplier solely on price
5. Constantly improve production & service systems
6. Extensive on-the-job training

Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Dr. Demings 14-Point System
7. Shift from production numbers to quality
8. Drive out fear
9. Break down barriers among departments
10. Eliminate slogans & targets for workplace
11. Eliminate numeric quotas for workforce
12. Do not rob employees of pride or workmanship &
eliminate annual ratings
13. Program of education & self-improvement
14. Work to accomplish preceding points
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Management Approach
Evaluating operations with goal of
improving performance
Quality assurance (QA)
Total quality management (TQM)
Continuous quality improvement (CQI)
Six Sigma
Reengineering
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Quality Assurance
Output oriented
Defining measurable quality standards
Controls in place to ensure standards
are met
Reactive process
Predicated on follow-up and inspection
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Process Improvement
Shift from individual tasks by individual
employees to entire processes of several
tasks by multiple employees
Total quality management and
reengineering commonly applied to
these efforts
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Total Quality Management
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Total Quality Management
Goal of improving performance of
organization in response to customer
needs and expectations
Originated in manufacturing industries
Now applied in colleges, universities,
governmental agencies, nonprofit
organizations, restaurants, clubs, & schools
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Total Quality Management
Helps organization focus on customer by
identifying and satisfying their needs and
expectations
Customer anyone affected by a product or
service
External Customer affected by product but do not
belong to organization that produces it
Internal Customer affected by product and do
belong to organization that produces it (employee)
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Total Quality Management
Encourages employee participation
Identifying problem & finding solution
Empowerment managers allow
employees to act independently within
their job descriptions
Employees are permitted to make decisions
in their area of work
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Total Quality Management
Involves teams of employees, leader, &
facilitator to accomplish change
Team projects aimed at improving product
or service quality while reducing cost
Facilitators teach communication, contribute
information, challenge decisions, & share
experiences
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Total Quality Management
Number of steps varies, usually includes:
Identifying a problem
Determining causes
Developing measurable improvement
Selecting & implementing best solution
Collecting data to statistically measure
results
Refining the solution
Repeating the cycle
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Total Quality Management
Tools assist with identifying problems &
guiding decision on changes needed
Benchmarking
Plan-do-check-act cycle
Cause and effect diagrams
Control charts
Pareto analysis
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Benchmarking
Compare ones performance with best
in class
Assist managers to focus improvement
efforts
Companies, such as Press Ganey
Associates, Inc, compile data for this
comparison
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Plan-Do-Check-Act Cycle
Model for coordinating process
improvement efforts

Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Cause and Effect Diagrams
Illustrate factors that may influence or
cause a given outcome
Termed Ishikawa or fishbone diagrams

Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Control Charts
Graphical record of process performance
over a period of time
Values of upper & lower control limits are
drawn to help identify potential problems

Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Pareto Analysis
80% of given outcome typically results
from 20% of an input (a.k.a 80-20 rule)
Vital few and trivial many
Vital few causes, if identified and
corrected, can have greatest impact on
improving quality
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Six Sigma
Data-driven approach & technique for
eliminating defects in any process, no more
than 3.4 defects per million opportunities
DMAICS approach to quality improvement
Define project goals
Measure current performance of process
Analyze and determine causes of defects
Improve process by eliminating defects
Control future process performance
Standardize process for the future
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Reengineering
Rethinking & radical redesign of
business processes to achieve dramatic
improvements in performance
Improving processes core to business
rather than individual tasks
Process end-to-end set of activities
together create value for customer

Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
ISO 9000 Standards
International standards on quality
management
Based on 8 principles
Customer focus
Leadership
Involvement of people
Process approach
Systems approach to management
Continual Improvement
Mutually beneficial supplier relations
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
External Recognition of Quality
Individuals can receive certification
Certified Quality Manager (CQM)
Certified Quality Engineer (CQE)
Certified Reliability Engineer (CRE)
Organizations can be recognized
Ohio Governors Award for Excellence
Michigan Quality Leadership Award
Missouri Quality Award
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Malcolm Baldrige National Quality Award
Recognize companies for achievements
in quality & performance
Promotes sharing of information on
successful performance strategies
Managed by U.S. Commerce
Departments National Institute of
Standards and Technology
Open to business in U.S. or its territories
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Malcolm Baldrige National Quality Award
3 awards may be given each year in 5
categories:
Manufacturing
Service
Small business
Education
Health care
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Malcolm Baldrige National Quality Award
Criteria consists of 7 categories
Leadership
Strategic planning
Customer and market focus
Information and analysis
Human resource focus
Process management
Business results
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Joint Commission on Accreditation
of Healthcare Organization
Published original quality assurance
standards for hospitals
Independent, non-profit organization to
set standards & accredit healthcare
organizations
Stimulating healthcare field to attain
ever-high standards and provide care to
American people
Foodservice Organizations, 5th edition
Spears & Gregoire
2004 Pearson Education, Inc.
Upper Saddle River, New Jersey 07458
Joint Commission on Accreditation
of Healthcare Organization
JCAHO standards:
Address performance expectation in key
functional areas (patient assessment,
patient care, environment, etc.)
Focus on what organization does, not what
it has
Developed in consultation with healthcare
experts, purchasers, & consumers
Standards are scored using 5-point scale