Presentation on Quality Guru Edward Deming

QUALITY IS EVERYONE'S RESPONSIBILITY.

PRESENTED BY- ABHINAV KORANGA ANAND SINGH ANSHUMAN PANDEY ANKUR SIKDAR

W EDWARDS DEMING (1900-1993)

THE KEY TO QUALITY: REDUCING VARIATION

considered to be the Father of Modern Quality

DEMINGS APPROACH

WE HAVE LEARNED TO LIVE IN A WORLD OF MISTAKES & DEFECTIVE PRODUCTS AS IF THEY WERE NECESSARY TO LIFE. IT IS TIME TO ADOPT A NEW PHILOSOPHY IN AMERICA.

INTRODUCTION
known as the father of the Japanese postwar industrial revival leading quality guru in the United States. Trained as a statistician, his expertise was used by US during World War II to improve the quality of war materials. After WW II he was invited to Japan to shift the perception of world about Japanese products

Japan showed the results in just 4 years Later he became a revered counselor for Japan and was later awarded the Second Order of the Sacred Treasure by the former Emperor Hirohito. Japanese scientists and engineers named the famed Deming Prize after him His work is outlined in two books: Out of the Crisis and The New Economics, in which he spells out his System of Profound Knowledge.

W EDWARDS DEMING

Out of the Crisis (1984)

having a satisfied customer is not enough profit in business comes from

repeat

customers
that boast about your product and

customers

service
customers

that bring friends with them

necessary to anticipate customer needs

W EDWARDS DEMING

Core element is the management circle planning do/implementation check/study action PDCA (or PISA) cycle Continuous improvement (Kaizen) teamwork and competence in problem solving

DEMING PHILOSOPHY SYNOPSIS

Dr. W. Edwards Deming taught that by adopting appropriate principles of management, organizations can increase quality and simultaneously reduce costs.The key is to practice continual improvement and think of manufacturing as a system, not as bits and pieces.

Dr. Deming's philosophy was summarized with the following 'a'-versus-

'b' comparison:
Quality = Results of work efforts Total Costs

(a) When people and organizations focus primarily on quality, defined by the following ratio, quality tends to increase and costs fall over time.

(b)When people and organizations focus primarily on costs, costs tend to rise and quality declines over time.

THE DEMING SYSTEM OF PROFOUND KNOWLEDGE

System of Profound Knowledge, consisting of four parts: Appreciation of a system: understanding the overall processes involving suppliers, producers, and customers (or recipients) of goods and services Knowledge of variation: the range and causes of variation in quality, and use of statistical sampling in measurements Theory of knowledge: the concepts explaining knowledge and the limits of what can be known Knowledge of psychology: concepts of human nature.

QUOTES GIVEN BY QUALITY GURU DEMING

The result of long-term relationships is better and better quality, and lower and lower costs. "There is no substitute for knowledge. "You can expect what you inspect. Acceptable Defects: Rather than waste efforts on zero-defect goals Learning is not compulsory...neither is survival. He said Quality is no longer an option, but a positive requirement for any business to survive today. Quality now is not just about meeting certain specifications but implies meeting and exceeding customer expectations.

W. Edwards Deming
Focus on bringing about improvements in product and service quality by reducing uncertainty and variability in goods and services design and associated processes (the beginning of his ideas in 1920s and 1930s). Higher quality leads to higher productivity and lower costs.

14 Points management philosophy.

Deming Cycle Plan, Do, Study, and Act.

Total Quality Management

Doing things right..

.FIRST time.

PRINCIPLES OF TOTAL QUALITY

1.

A focus on customers and stakeholders,

2.

A process focus supported by continuous

improvement and learning, and

3.

Participation and teamwork by everyone in the

organization

THE DEMING CYCLE

The Deming cycle, or PDSA cycle, is a continuous quality improvement model consisting of a logical sequence of four repetitive steps for continuous

improvement and learning: Plan, Do, Study (Check)

and Act.

The PDCA cycle is also known as the Deming Cycle, or as the Deming Wheel or as the Continuous Improvement Spiral.

2. THE DEMING CYCLE

PDCA Cycle
Plan

Act

Do

Check

PLAN
identifying problems required changes important results

Ideas for solving the problems

Plan

Act

Do

Check

DO

implement the plan, changes measure the performance

Plan

Act

Do

Check

CHECK

check the achieved results assess the measurements anaylze the results

Plan

Act

Do

Check

ACT

defining standards implementing changes

start again with the PDCA Cycle

Plan
Act Do

Check

BENEFITS OF THE PDCA CYCLE

daily routine management-for the individual and/or the team, problem-solving process, project management,

continuous development,
vendor development, human resources development, new product development, and process trials.

PDCA CYCLE REPEATED TO CREATE CONTINUOUS IMPROVEMENT

Performance

Plan Act

Do
Check

Continuous improvement

Time

DR. W. EDWARDS DEMINGS 14 POINTS

POINT 1:CREATE CONSTANCY OF PURPOSE FOR CONTINUAL IMPROVEMENT OF PRODUCTS AND SERVICE

Do

you

have

clear

goals

for

the

organization

communicated to all employees?

POINT 2:ADOPT THE NEW PHILOSOPHY CREATED IN JAPAN

How can everyone be empowered, feel a sense of

ownership and share in the companys success?

POINT 3:CEASE DEPENDENCE ON MASS INSPECTION BUILD QUALITY INTO THE PRODUCT

With everyone participating our goals are to deliver perfect quality to our customers

POINT 4:END LOWEST TENDER CONTRACT: REQUIRE MEANINGFUL QUALITY ALONG WITH PRICE

We want to develop long term beneficial relationships with our suppliers.

POINT 5:IMPROVE CONSTANTLY AND FOREVER EVERY PROCESS FOR PLANNING, PRODUCTION AND
SERVICE

At all levels, everyone should be involved in continuous improvement activities every single day.

POINT 6:INSTITUTE MODERN METHODS OF TRAINING ON THE JOB FOR ALL, INCLUDING MANAGEMENT

If all employees are learning and growing every day, competition will be only a figment of our imagination.

POINT7:ADOPT AND INSTITUTE LEADERSHIP AIMED AT HELPING PEOPLE DO A BETTER JOB

The leaders select the music, set the tone and insure that everyone is on board at every moment.

POINT 8:DRIVE OUT FEAR ENCOURAGE EFFECTIVE TWO-WAY COMMUNICATION

Ask your associates what they fear and then do whatever is necessary to get rid of it.

POINT 9:BREAK DOWN BARRIERS BETWEEN DEPARTMENTS AND STAFF AREAS RELATIONSHIPS

Find ways to open communications between suppliers, customers and all employees.

POINT 10:ELIMINATE EXHORTATIONS FOR THE WORKFORCE THEY ONLY CREATE ADVERSARIAL

Value is placed on doing and demonstrating.

POINT 11: ELIMINATE QUOTAS AND NUMERICAL TARGETS SUBSTITUTE AID AND HELPFUL LEADERSHIP

The method is balancing technology with peoples needs and

aspirations and eliminating those non-value adding wastes.

POINT 12: REMOVE BARRIERS TO PRIDE OF WORKMANSHIP INCLUDING ANNUAL APPRAISALS AND MANAGEMENT BY OBJECTIVES

Why come to work if it is not joyous?

POINT 13:ENCOURAGE EDUCATION AND SELF IMPROVEMENT FOR EVERYONE PRINCIPLES

Ask and plan now for an ongoing continuous educational process to help everyone become the best that they possibly can be.

POINT 14:DEFINE TOP MANAGEMENT PERMANENT COMMITMENT TO EVER IMPROVING QUALITY AND PRODUCTIVITY AND THEIR OBLIGATION TO IMPLEMENT ALL THESE

SEVEN DEADLY DISEASES

Deming identifies seven deadly diseases that cause the decline of American industry.

The "Seven Deadly Diseases" include:Lack of constancy of purpose Emphasis on short-term profits

Evaluation by performance, merit rating, or annual review of performance

Mobility of management Running a company on visible figures alone Excessive medical costs Excessive costs of warranty, fueled by lawyers who work for contingency fees

DEMING PRIZE

The Deming Application Prize Given to companies or divisions of companies that have achieved distinctive performance improvement through the application of TQM in a designated year.

The Deming Prize for Individuals Given to individuals who have made outstanding contributions to the study of TQM or statistical methods used for TQM, or individuals who have made outstanding contributions in the dissemination of TQM.

The Quality Control Award for Operations Business Units

Given to operations business units of a company that have achieved distinctive performance improvement through the application of quality control/management in the pursuit of TQM in a designated year.

AWARDS AND HONOURS

In 1960, the Emperor of Japan bestow on Dr. Deming the Second Order Medal of the Sacred Treasure. In 1956, American Society for Quality Control awarded him the Shewhart Medal In 1983, Dr. Deming received the Samuel S. Wilks Award from the American Statistical Association and election to the National Academy of Engineering. In 1987, President Reagan honored him with the National Medal of Technology. In 1988, the National Academy of Sciences lauded him with the Distinguished Career in Science award. In 1991, he was inducted into the Automotive Hall of Fame.

CONCLUSIONS

The problem areas of TQM implementation correctly identified by the proposed PDSA method.

The model allows tracking of TQM programs and departments that are substantially impacting the TQM implementation in the company.

Specific recommendations were proposed to bring about improvements in those least developed TQM programs.

SOURCES
Google books
Evans James R./ Lindsay, William M. The Management & Control of Quality, 7. Edition, Thomson South-Western, 2008 TSO Release, Control and Validation, 1.Edition, The Stationary Office, 2009 Kster, Dieter Marketing und Prozessgestaltung, 1.Auflage, Gabler, Wiesbaden

Other sources
Eissler, Ralf Qualittsmanagement, 1.Auflage, Konstanz http://www.balancedscorecard.org/thedemingcycle/tabid/112/default.aspx