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Total-Quality-Management-Session-1

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									Session 1

What is Quality
FEIGENBAUM (1983) DEFINED QUALITY AS

FOLLOWS

 Quality is total composite product (goods and

services) characteristics, through which the product in use will meet the needs and expectations of the customers.  Concept of quality must start with identification of customer quality requirements and must end only when the finished product is placed into the hands of the customer who remains satisfied through various stages of relationship with the seller

American Society of Quality Control (ASQC) and

American National Standard Institute (ANSI) defined

 Quality is totality of features and characteristics of

Approaches to define Quality
Transcendent Approach  Quality is absolute and universally recognisable.  It is common notion used by laymen  There is no subjective judgement and is estimated by looking at the product Product Based Approach  Attributes of a particular product in a specific category  These attributes are accepted as bench of quality by the industry  Others in the same industry try to produce close to this quality

Approaches to define Quality
User Based Approach Defined as “Fitness for use” Viewed from user’s perspective and is dependent on how well does the product meet needs of the consumer. Also known as Customer Oriented Approach Production Based Approach An outcome of engineering or operational excellence and is measured in terms of quality of conformance The producer has specifications and produces the product as per the specifications

Approaches to define Quality
Value Based Approach Quality is viewed in context of price Quality is satisfactory, if it provides desired performance at an acceptable price Customer looks at the total value proposition and not the price alone

Benefits Value = Pr ice

Attributes of Quality
Performance Product’s primary operating characteristics Features Augmented product – The “bells & whistles” of the product Reliability Ability of the product to function at the specified level of performance Conformance Degree to which characteristics of the product meet pre-established standards

Attributes of Quality
Durability Length of time a product can be used before it deteriorates or becomes non functional Serviceability Speed, competence & courtesy of providing ASS Aesthetics Look, feel sound, taste, smell Perceived Quality Resulting from advertisement, image, brand name, earlier use, hearsay

Evolution of Quality Management

Evolution of Quality Management
Mass Inspection  Inspecting  Salvaging  Sorting  Grading  Rectifying  Rejecting Quality Control  Quality manuals  Product testing using SQC  Basic quality planning Quality Assurance  Emphasis on prevention  Proactive approach using SPC  Advance quality planning Total Quality Control  All aspects of quality of inputs  Testing equipments  Control on processes

Evolution of Quality Management
Company wide Quality Control  Measured in all functions connected with production such as
    

R&D Design Engineering Purchasing, Operations etc

Total Quality Management  Measured in all aspects of business,  Top management commitment  Continuous improvement  Involvement & participation of employees

Evolution of Quality Management

Evolution of Quality Management

Gurus of TQM

Dr. W E Deming

Dr. J M Juran

Dr. Philip Crosby

Gurus of TQM

Dr. Genichi Taguchi

Dr. Kaoru Ishikawa

Dr. Masaaki Imai

Gurus of TQM

Dr. Shigeo Shingo Yoshio Kondo .Armand V. Feigenbaum Dr. Dr Dr. James Harrington

W E Deming
Reduction in process variability by extensive

use of statistics will lead to improvement in quality and increase in productivity Talked about New Climate (organisational culture)
Joy in work Innovation Co-operation

Win-Win approach He proposed a 14 point TQM programme

W E Deming 14 Points

W E Deming – PDCA Cycle

Seven Deadly Sins
Lack of vision and mission as regards quality

& process improvement Emphasis on short term profit Personal performance appraisal systems Mobility of management Running a company on visible figures alone
Customer satisfaction level Employee morale Relationship with your vendors Confidence the market has in your company

Seven Deadly Sins
Excess non-productive expenditure Excessive cost of warranty

Deming’s Prize
Establish in 1950 originally for Japanese

companies for major advances in quality improvement Deming’s Prize is given under Japanese Union of Scientists & Engineers These days Deming’s Prize is awarded to non Japanese companies and even individuals 2001 – Sundram Brake Linings, the world’s first friction material company to win 2008 – Tata Steel is the first integrated steel plant in Asia to win

Malcolm Baldrige National Quality Award
MBNQA is given by United States National Institute of

Standards and Technology Original stated purpose of the award were

 promote quality awareness  recognise quality achievements of the US companies  publicise successful quality strategies

Current award criteria are stated  To help improve organizational performance practices, capabilities and results  To facilitate communication and sharing of the best practice information among US organizations of all types  To serve as a working tool for understanding and managing performance and for guiding planning and opportunities for learning

Malcolm Baldrige National Quality Award
The categories are Leadership Strategic Planning Customer & Market Focus Measurement, Analysis and Knowledge Management Workforce Focus Process Management Results

J M Juran
Developed the idea of trilogy Quality Planning Quality Improvement Quality Control Conformance to specifications is necessary

but not sufficient requirement of a product. Fitness for use by the consumer of the targeted market segment is an essential requirement in addition to conformance

J M Juran’s Trilogy

Juran’s 10 Points
Build awareness of need and opportunities for

improvement Set goals for improvement Organise the overall improvement programme Provide the training solve problems through project methodology Report progress Give recognition Communicate results Keep score Institutionalise the improvement process

Philip Crosby
Do it right the first time Zero Defects Absolutes of QM  Quality is defined as conformance to requirements, not as 'goodness' or 'elegance'  The system for causing quality is prevention, not appraisal – Quality is Free  The performance standard must be Zero Defects, not "that's close enough"  The measurement of quality is the Price of Nonconformance, not indices.  Cost of quality is only the measure of operational performance

Crosby 14 points
Management commitment Quality improvement team Quality measurement Evaluation of cost of quality Quality awareness Corrective action Establish committee for zero defect planning Supervisor training Zero Defect Day Goal Setting Error cause removal Recognition

Cost of Quality
Prevention Cost Cost associated with time spend in planning the quality system Consists of the following
Process control costs  Information systems costs  Training Costs  General Management cost


Cost of Quality
Appraisal Costs  Cost incurred on measurement & analysis of data in order to detect & correct problems  Consist of
 

Cost of maintaining, testing & inspection Process control costs

Internal Failure Cost  Incurred due to non-conformance  Include
  

Scrap and rework costs Cost of corrective action Downgrading costs

Cost of Quality
External Failure Cost Occur when poor products reach customer Include
Costs of customer complaints and returns  Product recall costs  Warranty claims costs  Product liability costs


Genichi Taguchi
His methodologies held ensure customer

satisfaction
Taguchi’s Loss Function Taguchi Method – Design of Experiments

Taguchi’s Loss Function
A quality product is a product that causes a

minimal loss (expressed in money!) to society during it's entire life. The relation between this loss and the technical characteristics is expressed by the loss function

Taguchi’s Loss Function

Kaoru Ishikawa
Simplified statistical techniques for QC Cause and Effect diagrams (Ishikawa

Diagrams or Fish Bone Diagrams) Company wide quality control
quality does not only mean the quality of

product, but also of after sales service, quality of management, the company itself and the human life

Ishikawa Diagram

Ishikawa Diagram
Diagrams which show the causes of a certain

event Three sets of causes 6 M’s
Machine Method Maintenance Man Mother Nature

Ishikawa Diagram
8 Ps Price Promotion Process Place/Plant Policies Procedures Product (or Service) 4 Ss Surroundings Suppliers Systems Skills

Masaaki Imai
Introduced the concept of Kaizen or

continuous improvement

Shigeo Shingo
“Fool-Proofing” or “Poke-Yoke” Source Inspection systems No statistical sampling is necessary Zero defects through good engineering and

process investigation rather than slogans and exhortations

Yoshio Kondo
Emphasised inter-relationship between quality

and people
Creativity – joy of thinking Physical activity – joy of working Sociality – joy of sharing pleasure and pain with

colleagues

Toyota Production System

Toyota Production System
Long – Term Philosophy
Base your Management Decisions on a

Long-Term Philosophy, even at the Expense of Short-Term Financial Goals

14 Principles of TPS
 The Right Process Will Produce the Right Results  Create Continuous Process Flow to Bring Problems to the Surface  Use “Pull” Systems to avoid Over Production  Level out the Work Load (Heijunka)  Build a Culture of Stopping to Fix Problems, to get Quality Right the First

Time

 Standardised Tasks are the foundation for Continuous Improvement and

Employee Empowerment

 Use Visual Control so no Problems are Hidden  Use Only Reliable, Thoroughly Tested Technology that Serves your People

and Processes

14 Principles of TPS
Add Value to the Organisation by Developing Your

People and Partners

Grow Leaders who thoroughly understand the

Work, Live the Philosophy and Teach it to Others

Develop Exceptional People and Teams who follow

your Company’s Philosophy

Respect your Extended Network of Partners and

Suppliers by Challenging them and Helping them Improve
Continue …….

14 Principles of TPS
Continuously Solving Root Problems Drives

Organisational Learning the Situation

Go and See for Yourself to thoroughly Understand Make Decisions Slowly by Consensus, thoroughly

Considering all Options, Implement Decisions Rapidly

Become a Learning Organisation through

Relentless Reflection (Hansei) and Continuous Improvement (Kaizen)

Problem Solving (Continuous Improvement & Learning)

•Continual organizational learning through Kaizen •Go see for yourself to thoroughly understand the situation (Genchi Genbutsu) •Make decisions slowly by consensus, thoroughly considering all options; implement rapidly

People and Partners (Respect, Challenge and Grow Them)

•Grow leaders who live the philosophy •Respect, develop, and challenge your people and teams •Respect, challenge, and help your suppliers

Process (Eliminate Waste)

•Create process “flow” to surface problems •Use pull systems to avoid overproduction •Level out the workload (Heijunka) •Stop when there is a quality problem (Jidoka) •Standardize tasks for continuous improvement •Use visual control so no problems are hidden •Use only reliable, thoroughly tested technology

Philosophy (Long-term Thinking)

•Base management decisions on a long-term philosophy, even at the expense of short-term financial goals

Ka ize n

Ge Ge nch i nb uts u

Problem Solving (Continuous Improvement & Learning)

•Continual organizational learning through Kaizen •Go see for yourself to thoroughly understand the situation (Genchi Genbutsu) •Make decisions slowly by consensus, thoroughly considering all options; implement rapidly

Re Te spec am t & wo rk

Where Most “Lean” Companies are

People and Partners (Respect, Challenge and Grow Them)

•Grow leaders who live the philosophy •Respect, develop, and challenge your people and teams •Respect, challenge, and help your suppliers

Process (Eliminate Waste)

•Create process “flow” to surface problems •Use pull systems to avoid overproduction •Level out the workload (Heijunka) •Stop when there is a quality problem (Jidoka) •Standardize tasks for continuous improvement •Use visual control so no problems are hidden •Use only reliable, thoroughly tested technology

ge

Ch all en

Philosophy (Long-term Thinking)

•Base management decisions on a long-term philosophy, even at the expense of short-term financial goals

“4 P” Model of the Toyota Way
Ge Ge nch i nb uts u

Toyota’s Terms

Problem Solving (Continuous Improvement & Learning)

•Continual organizational learning through Kaizen •Go see for yourself to thoroughly understand the situation (Genchi Genbutsu) •Make decisions slowly by consensus, thoroughly considering all options; implement rapidly

Re Te spec am t & wo rk

People and Partners (Respect, Challenge and Grow Them)

Ka ize

•Grow leaders who live the philosophy •Respect, develop, and challenge your people and teams •Respect, challenge, and help your suppliers

n

Process (Eliminate Waste)

•Create process “flow” to surface problems •Use pull systems to avoid overproduction •Level out the workload (Heijunka) •Stop when there is a quality problem (Jidoka) •Standardize tasks for continuous improvement •Use visual control so no problems are hidden •Use only reliable, thoroughly tested technology

ge

Ch all en

Philosophy (Long-term Thinking)

•Base management decisions on a long-term philosophy, even at the expense of short-term financial goals

Best Quality – Lowest Cost – Shortest Lead Time – Best Safety – High Morale Through shortening the production flow by eliminating waste

Just-in-Time
Right Part, Right Amount, Right Time Take Time Planning Continuous Flow Pull System Quick Changeover Integrated Logistics • • • • •

People & Teamwork
Selection Common Goals Ringi Decision Making Cross – Trained • • • • • • •

Jidoka
(In-station Quality) Make Problems Visible Automatic Stops Andon Person – Machine Separation Error Proofing In-station Quality Control Solve Root Cause of Problems (5 Why’s)

Continuous Improvement Waste Reduction
Genchi Genbutsu 5 Why’s Eyes for Waste Problem Solving • • • •

Leveled Production (Heijunka) Stable and Standardized Processes Visual Management Toyota Way Philosophy

•

• •

Plan

Across Companies
Plan

Company
Plan

Group
Plan

Act

Act

Act

Act

Project

Do

Do

Do

Do

Check

Check Check

Check

Create Flow (Act)

Evaluate Results (Check)

Eliminate Waste

Surface Problems (Plan)

Counter Measures (Do)

Muda Waste

Mura Unevenness

Muri Overburden

• • • •

JIT Jidoke Kaizen Heijunka

NI

Technical • Stability

L

Management

AN M

PEOPLE

Long – term Asset –> Learned Skills Machinery Depreciates -> Loses Value

• True North • Tools to Focus Management Attention • Go and See • Problem – Solving • Presentation Skills • Project Management • Supportive Culture

CA

AG EN EM

TE

CH

People Appreciates -> Continue to Grow

T

PHILOSOPHICAL
Philosophy / Basic Thinking
• • • • Customer First People are most Important Asset Kaizen Go and See -> Focus on Floor • Give feedback to Team Members and Earn Respect • Efficiency Thinking • True (vs. apparent) Condition • Total (vs. Individual) Team Involvement

Learning Enterprise
Re

io n

Next Level of Improvement

gr es

ct

si ng

tis fa

Enabling Systems

Ne

Sa

ed

ed

Sa

Ne

ti s

g

c fa

in

re ss

Clear Expectations

t io n

Pr og

Stability

Stable, Reliable Processes

Fair and Honorable Business Relations

Myth vs Reality Myth
What TPS is Not
 A Tangible recipe for

Reality What TPS Is

 A Consistent way of Thinking  A Total Management Philosophy

Success

 Focus on Total Customer

Satisfaction

 A Management Project or

Program

 An Environment of Teamwork and  Improvement  A Never-ending Search for a  Better Way  Quality Built in Process  Organised, Disciplined  Workplace  Evolutionary

 A set of Tools for

Implementation Floor only

 A system for Production  Implementable in a Short

or  Mid-term Period

Motivational Theories & TPS

5S
Seiri – Sorting Seiton – Straighten or Set in order Seiso – Sweeping, shining or cleaniness Seikestu – Standardising Shitsuke – Sustaining the discpline

Sort
Clear out rarely used Items by Red Tagging

Sustain Use Regular Management Audits to Stay Disciplined

Eliminate Waste

Straighten Organise and Label a Place for Everything

Standardise Create Rules to Sustain the first 3 5’S

Shine Clean It

Casting Time Transportation

Staging

Machining Setup Inspection

Assembly Staging

Raw Material
Value – Added Time Non-Value-Added Time (Waste)

Time

Finished Parts

• Value-added Time is only a Small Percentage of the Total Time • Traditional Cost Savings focuses only on Value-adding Items • Lean Thinking Focuses on the Value Stream to Eliminate Non-Value-Adding Items


								
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