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Quality Management

for Organizational
Excellence
Lecture/Presentation Notes

By:
Dr. David L. Goetsch and Stanley Davis
Based on the book
Quality Management for Organizational Excellence
(Sixth Edition)

Quality Management, 6th ed. 2010 Pearson Higher Education,


Goetsch and Davis Upper Saddle River, NJ 07458. All Rights Reserved.
1
The Total Quality Approach to
Quality Management

MAJOR TOPICS
What is Quality?

The Total Quality Approach Defined


Two Views of Quality
Key Elements of Total Quality

Total Quality Pioneers

Quality Management, 6th ed. 2010 Pearson Higher Education,


Upper Saddle River, NJ 07458. All Rights Reserved.
Goetsch and Davis 2
What is quality?
Quality has been defined in a number of ways. When viewed from a
consumers perspective, it means meeting or exceeding customer
expectations.

The Total Quality Approach Defined


Total quality is an approach to doing business that attempts to
maximize an organizations competitiveness through the continual
improvement of the quality of its products, services, people,
processes, and environments.

Quality Management, 6th ed. 2010 Pearson Higher Education,


Upper Saddle River, NJ 07458. All Rights Reserved.
Goetsch and Davis 3
Two Views of Quality

Traditional View Total Quality perspective


Productivity vs Always conflict-cannot have Lasting productivity gains are
quality both made only as a result of quality
improvements
How quality is Meeting customer specifications Satisfying customer needs &
defined exceeding customer
expectations
How quality is Establishing an acceptable level Establishing high-performance
measured of nonconformance & benchmarks for customer
measuring against that satisfaction & continually
benchmark improving performance
How quality is Quality is inspected into the Quality are determined by
achieved product product & process design &
achieved by effective control
techniques

Quality Management, 6th ed. 2010 Pearson Higher Education,


Upper Saddle River, NJ 07458. All Rights Reserved.
Goetsch and Davis 4
Two Views of Quality (Continued)

Traditional View Total Quality perspective


Attitude Defects are an expected part of Defects are to be prevented
toward defects producing a product. Measuring using effective control systems
defects per hundred is an & should be measured in defects
acceptable standard per million (Six Sigma)
Quality as a Quality is a separate function Quality should be integrated
function throughout the organization-
everybodys responsibility
Responsibility Employees are blamed for poor At least 85% of quality problems
for quality quality are managements fault
Supplier Short term & cost driven Long term & quality oriented
relationships

Quality Management, 6th ed. 2010 Pearson Higher Education,


Upper Saddle River, NJ 07458. All Rights Reserved.
Goetsch and Davis 5
Key Elements of Total Quality
strategically based,
customer focus,
obsession with quality,
scientific approach,
long-term commitment,
teamwork,
employee involvement and empowerment,
continual process improvement,
bottom-up education and training,
freedom through control, and
unity of purpose.

The rationale for total quality can be found in the need to


compete in the global marketplace. Countries that are
competing successfully in the global marketplace are seeing
their quality of living improve. Those that cannot are seeing
theirs decline.

Quality Management, 6th ed. 2010 Pearson Higher Education,


Upper Saddle River, NJ 07458. All Rights Reserved.
Goetsch and Davis 6
Total Quality Pioneers
W. Edward Deming is best known for his
Fourteen Points,
the Deming Cycle, and
the Seven Deadly Diseases.
The Deming cycle:
Plan conduct consumer research & use it in planning
the product
Do produce the product
Act check the product to make sure it was produced
in accordance with the plan
Analyze analyze how the product is received in the
marketplace in terms of quality, cost & other criteria

Quality Management, 6th ed. 2010 Pearson Higher Education,


Upper Saddle River, NJ 07458. All Rights Reserved.
Goetsch and Davis 7
Total Quality Pioneers

Joseph M. Juran is best known for

Jurans Three Basic Steps to Progress,


Jurans Ten Steps to Quality Improvement,
the Pareto Principle organizations should
concentrate their energy on eliminating the vital
few sources that cause the majority of problems
The Juran Trilogy three primary functions:
quality planning, quality control, quality
improvement

Quality Management, 6th ed. 2010 Pearson Higher Education,


Upper Saddle River, NJ 07458. All Rights Reserved.
Goetsch and Davis 8
Total Quality Pioneers

Philip B. Crosby is best known for

His advocacy of zero defects management and


prevention
Quality Vaccine determination, education &
implementation
Crosbys Fourteen Steps to Quality Improvement

Quality Management, 6th ed. 2010 Pearson Higher Education,


Upper Saddle River, NJ 07458. All Rights Reserved.
Goetsch and Davis 9

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