Total Quality Management - TQM

Total Quality Management - TQM

The quality journey continues……..

                          

Author:
Dr Rhys Rowland-Jones

Standards in Action
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Total Quality Management - TQM

Session Plan
• Introduction to concepts of TQM
• Standards and TQM
• TQM Reasons for failure
• Measurement of Quality

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Total Quality Management - TQM

Total Quality Management

• TQM is a philosophy which applies equally to all parts of the

organization.
• TQM can be viewed as an extension of the traditional approach
to quality.
• TQM places the customer at the forefront of quality decision
making.
• Greater emphasis on the roles and responsibilities of every
member of staff within an organization to influence quality.
• All staff are empowered.

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Total Quality Management - TQM

Total Quality Management

Doing things right…..

….FIRST time.
Standards in Action
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Internetix (2005)
Total Quality Management - TQM

British Standards on TQM

BS 7850-1:1992
• Total quality management.
Guide to management principles.

BS 7850-2:1994,

ISO 9004-4:1993
• Total quality management. Guidelines for quality
improvement.

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Total Quality Management - TQM

Elements of TQM
• Leadership
– Top management vision, planning and support.
• Employee involvement
– All employees assume responsibility for the quality of their work.
• Product/Process Excellence
– Involves the process for continuous improvement.

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Total Quality Management - TQM

Elements of TQM
• Continuous Improvement
– A concept that recognizes that quality improvement is a journey
with no end and that there is a need for continually looking for new
approaches for improving quality.
• Customer Focus on “Fitness for Use”
– Design quality
• Specific characteristics of a product that determine its value in the
marketplace.
– Conformance quality
• The degree to which a product meets its design specifications.

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Total Quality Management - TQM

A fundamental concept of TQM

from BS 7850 - a ‘Process’

• “A set of inter-related resources and activities which

transform inputs into outputs.” (ISO 8402).
• “Any activity that accepts inputs, adds values to these
inputs for customers, and produces outputs for these
customers. The customers may be either internal or
external to the organization.” (BS 7850)

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Total Quality Management - TQM

"The Simple Process"

Controls

Inputs Proces Outputs

s

Resources

(Source: BS 7850: 1992, “Total Quality

Management”)
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Total Quality Management - TQM

Changing Role of the Process Owner

Process 1

Input from As customer

supplier

Process owner Process 1

Output Input
As supplier As customer

Process owner
Output to
As supplier
customer

(Source: BS 7850: 1992, “Total Quality Management”)

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Total Quality Management - TQM

TQM & organizational Cultural Change

Traditional Approach TQM
Lack of communication Open communications
Control of staff Empowerment
Inspection & fire fighting Prevention
Internal focus on rule External focus on customer
Stability seeking Continuous improvement
Adversarial relations Co-operative relations
Allocating blame Solving problems at their roots

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Total Quality Management - TQM

Perceived quality is governed by the gap between customers’

expectations and their perceptions of the product or service

product or service
perceptions of the
Gap Gap
expectations for
the product or

expectations of

perceptions of
the product or

the product or

Customers’
Customers’

for the product

Customers’

Customers’
perceptions of
the product or

expectations
service

Customers’

Customers’
service

service

or service
service

Expectations > Expectations = Expectations <

perceptions perceptions perceptions

Perceived quality Perceived quality

is poor is good
Standards in Action
www.bsieducation.org/standardsinaction Source: Slack et al. 2004
Total Quality Management - TQM

Additional views of Quality in Services

• Technical Quality versus Functional Quality
– Technical quality — the core element of the good or service.

– Functional quality — customer perception of how the good functions or

the service is delivered.

• Expectations and Perceptions

– Customers’ prior expectations (generalized and specific service
experiences) and their perception of service performance affect their
satisfaction with a service.

• Satisfaction = (Perception of Performance) – (Expectation)

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Total Quality Management - TQM

Previous Word of mouth Image of product

Experience communications or service

Customer’s Customer’s
expectations perceptions
concerning a concerning the
product or service product or service
A “Gap” model
of Quality Customer’s own
Gap 4
specification of
quality
The actual product
Gap 1 or service

Management’s organization’s
concept of the specification of
product or service quality
Gap 3
Gap 2

Standards in Action
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Source: Parasuraman, Zeithman and Berry.
1985
Total Quality Management - TQM

Continuous Improvement
• Philosophy that seeks to make never-ending
improvements to the process of converting inputs into
outputs.
• Kaizen: Japanese
word for continuous
improvement.

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Total Quality Management - TQM

Implementing TQM
• Successful Implementation of TQM
– Requires total integration of TQM into day-to-day operations.

• Causes of TQM Implementation Failures

– Lack of focus on strategic planning and core competencies.
– Obsolete, outdated organizational cultures.

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Total Quality Management - TQM

Obstacles to Implementing TQM

• Lack of a company-wide definition of quality.
• Lack of a formalized strategic plan for change.
• Lack of a customer focus.
• Poor inter-organizational communication.
• Lack of real employee empowerment.
• Lack of employee trust in senior management.
• View of the quality program as a quick fix.
• Drive for short-term financial results.
• Politics and turf issues.

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Total Quality Management - TQM

Some criticisms of TQM

1. Blind pursuit of TQM programs
2. Programs may not be linked to strategies
3. Quality-related decisions may not be tied to market
performance
4. Failure to carefully plan a program

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Total Quality Management - TQM

PDCA Cycle repeated to create continuous

improvement
Performance

Plan
Do
Act
Check
“Continuous”
improvement

Time
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Total Quality Management - TQM

Recognizing and rewarding Quality

• Promotion of high quality goods and services
– Malcolm Baldrige National Quality Award (MBNQA) (United
States)
– Deming Prize (Japan)
– European Quality Award (European Union)
– ISO9000 certification

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Total Quality Management - TQM

The integrated framework of the Baldrige Award criteria

Source: 2004 Criteria for Performance Excellence, U.S. Dept. of Commerce, Baldrige National Quality Program, National Institute of Standards and Technology, Gaithersburg, MD 20899. (www.quality.nist.gov)

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Total Quality Management - TQM

Continual
Continualimprovement
improvement of
of the
the quality
qualitymanagement
management system
system

Customers Customers
(and other Management (and other
interested responsibility interested
parties) parties)

Measurement,
Resource
analysis and
management improvement
Satisfaction

Requirements

Input
Product Output
Key: Product
Value adding activity realisation
information flow

Standards in Action
www.bsieducation.org/standardsinaction Source: BS EN ISO
9001:2000
Total Quality Management - TQM

Overview of the EFQM Excellence Model

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Total Quality Management - TQM

Quality Award common elements

• All take holistic approach
• Customers/people
• Measurable characteristics
• Visible
• Basis taken from TQM

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Total Quality Management - TQM

Summary
• TQM – a way of working
• Involves everyone
• High prominence on ‘customer’
• Awards based upon TQM

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