Total Quality Management TQM

Total Quality Management - TQM

The quality journey continues..
By : Avinash kumar
Abhay sinha Danish Hizam Monika senger
Standards in Action
www.bsieducation.org/standardsinaction
Session Plan
Introduction to concepts of TQM Standards and TQM TQM Reasons for failure Measurement of Quality
Standards in Action
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.
Standards in Action
Total Quality Management

Doing things right..
.FIRST time.
Standards in Action
Internetix (2005)
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.

Standards in Action
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.
Standards in Action
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.
Standards in Action
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)
Standards in Action
"The Simple Process"

Controls
Inputs
Process
Outputs
Resources
(Source: BS 7850: 1992, Total Quality Management)
Standards in Action
Changing Role of the Process Owner

Process 1 Input from supplier As customer
Process owner
Output As supplier Input
Process 1
As customer Process owner As supplier Output to customer
(Source: BS 7850: 1992, Total Quality Management)

Standards in Action
TQM & organizational Cultural Change

Traditional Approach Lack of communication TQM
Open communications
Empowerment Prevention
Control of staff
Inspection & fire fighting Internal focus on rule
External focus on customer

Continuous improvement Co-operative relations
Stability seeking
Adversarial relations Allocating blame
Standards in Action
Solving problems at their roots
Perceived quality is governed by the gap between customers expectations and their perceptions of the product or service
Customers expectations for the product or service
Customers expectations of the product or service
Gap Customers perceptions of the product or service
Gap Customers perceptions of the product or service Customers expectations for the product or service
Expectations > perceptions
Expectations = perceptions
Expectations < perceptions
Perceived quality is poor

Standards in Action
Perceived quality is good

Source: Slack et al. 2004
Customers perceptions of the product or service
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)
Standards in Action

Previous Experience Word of mouth communications Image of product or service
A Gap model of Quality
Customers expectations concerning a product or service Customers own specification of quality Gap 1
Customers perceptions concerning the product or service Gap 4
The actual product or service
Managements concept of the product or service Gap 2
organizations specification of quality
Gap 3
Standards in Action
Source: Parasuraman, Zeithman and Berry. 1985
Continuous Improvement
Philosophy that seeks to make never-ending improvements to the process of converting inputs into outputs.
Kaizen: Japanese word for continuous improvement.
Standards in Action
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.
Standards in Action
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.
Standards in Action
Some criticisms of TQM

1. 2. 3. 4. Blind pursuit of TQM programs Programs may not be linked to strategies Quality-related decisions may not be tied to market performance Failure to carefully plan a program
Standards in Action
PDCA Cycle repeated to create continuous improvement

Performance
Plan Act
Do
Check
Continuous improvement
Standards in Action
Time
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
Standards in Action
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)
Standards in Action
Continual improvement of the quality management system

Customers (and other interested parties)
Customers (and other interested parties)
Management responsibility
Resource management
Requirements
Measurement, analysis and improvement
Satisfaction
Input
Key: Value adding activity information flow
Product realisation
Output
Product
Standards in Action
Source: BS EN ISO 9001:2000
Overview of the EFQM Excellence Model
Standards in Action
Quality Award common elements

All take holistic approach Customers/people Measurable characteristics Visible Basis taken from TQM
Standards in Action
Summary
TQM a way of working Involves everyone High prominence on customer Awards based upon TQM
Standards in Action

Total Quality Management TQM

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Total Quality Management - TQM