Total Quality

Management (TQM)
Antony
TQM Framework (Elements of
TQM)
Two Groups
TQM Principles and practices
TQM tools and techniques
TQM
TQM Contribution of Quality Guru TQM
elements
TQM Elements
TQM Principles and practices
TQM tools and Techniques
TQM Principles and Practices
A. Principles and Practices
1. Leadership
Quality Council, Quality statement, Strategic planning
2. Customer focus
Customer complaints, Customer retention
3. Employee involvement
Empowerment, Team and teamwork, Recognition and
reward, Performance appraisal
4. Supplier partnership
Sourcing, Supplier selection and rating
TQM Principles and Practices
B. Approach
1. Continuous process improvement
Juran trilogy, PDSA Cycle, Kaizen, 5s housekeeping
2. Innovation
3. Management by fact
C. Performance measure
1. Quality costs and awards

TQM Tools and Techniques
A. Seven Tools of Quality
Flowchart
Check sheet
Histogram
Pareto Diagram
Cause and effect diagram
Scatter Diagram
Control chart
TQM Tools and Techniques
B. New Seven Management tools
Affinity Diagram
Relationship diagram
Tree Diagram
Matrix diagram
Matrix data analysis diagram
Decision Tree
Arrow Diagram

TQM Tools and Techniques
C. Six Sigma Process capability
D. Benchmarking
E. Failure mode and effect analysis
F. Quality circles
G. Quality function deployments
H. Total Preventive maintenance
I. Taguchi Methods
J. Sampling plans
K. Experimental design

TQM Tools and Techniques
L. Quality Management Systems
ISO 9000 Series of Standards
Environmental Management Systems
ISO 14000 Series of Standards

Pillars of TQM
Four Pillars of TQM- House
Employee involvement, Structures, Stepwise, discipline,
Consistency
Act Plan

Check Do
M
Q
T
Q
Problem
Solving
Discipline
Interperso
nal Skills
Team
work
Quality
improvem
ent
Process
Evaluation of TQM
Quality Quality Control
Statistical Quality
Control
Total Quality Control Quality Assurance TQM
Principles of TQM
Customer requirement must be met first time, every time
There must be agreed requirements, for both internal and external customers
Everybody must be involved, from all levels and across all functions
Regular communications (both formally and informally) with staff at all level
Two way communication at all levels must be promoted
Identifying training needs and relating them with individual capabilities and
requirements is must
Top managements participation and commitment is must
A Culture of continuous improvement must be established
Emphasis should be placed on purchasing and supplier management
Every job must add value
Quality improvement must eliminate wastes and reduce total costs
There must be a focus on prevention of problems
A culture of promoting creativity must be established
Performance measures is a must at organization, department and individual
level, it helps to access and meet objectives of quality
Focus on team work
Barriers(Obstacles or Impediments) to TQM
implementation
Lack of management commitment
Lack of faith in and support to TQM activities among management personal
Failure to appreciate TQM as a cultural revolution (Inability to change
organization culture)
Misunderstanding about the concepts of TQM
Improper planning
Lack of employees commitment
Lack of effective communication
Lack of continuous training and education
Lack of interest or incompetence of leaders
Inefficient measurement techniques and lack of access to data and results
Non-application of proper tools and techniques
Inadequate use of empowerment and teamwork
Inadequate attention to internal and external customers
Delay or non-implementation of quality improvement teams recommendations

Benefits of TQM
Tangible benefits
Improved product quality
Improved productivity
Reduced quality costs
Increased market and customers
Increased profitability
Reduced employee grievances
Benefits of TQM
Intangible benefits
Improved employee participation
Improved teamwork
Improved working relationships
Improved customer satisfaction
Improved communication
Enhancements of job interest
Enhanced problem solving capacity
Better Company image
Contributions of Quality Gurus
Early 1950s Americans
Walter Shewhart
W. Edwards Deming
Joseph M. Juran
Philip Crosby
Armand Feigenbaum
Late 1950s Japanese
1970s 1980s Western Gurus
Walter A Shewhart
Contribution
Statistical Control Chart
PDSA Cycle
Popularized by Deming

W. Edward Deming
Deming, An American Senior Quality Guru
1928 PhD- Mathematical Physics
1946 Sharing his expertise in statistical quality
control - World War II, (went Japan to help
nation recover)
1951 Japanese Deming Prize for Quality
1956 Awarded the Shewhart medal
1960 Awarded by Japanese Emperor with the
Second Order of the Scared Treasure for his
teaching
Demings Contribution
Demings 14 Points on route of quality
Deming Cycle (or PDCA Cycle)
Seven deadly diseases of management
System of profound knowledge
Demings 14 points
Create Constancy of purpose toward improvement of product and service
Adopt the new philosophy
Cease dependence on inspection to achieve quality
End the practice of awarding business on the basis of price tag
Improve constantly and forever the system of production and services
Institute training
Institute leadership
Drive out fear
Break down barriers between departments
Eliminate slogans, exhortation, and target for the work force
Eliminate work standards on the factory floor
Remove barrier to pride of workmanship
Institute a vigorous program of education and self improvement
Accomplish the transformation (Put everybody in the company to work
Deming cycle (or PDCA Clycle)
PLAN, DO, CEHCK, ACT (PDCA) Cycle
Deming cycle or Deming Wheel
ACT PLAN



CHECK DO
Plan What is needed
Do it
Check that works
Act to Correct problems or improve
performance
Seven Deadly Diseases
Unforgivable sins or deadly diseases
Lack of consistency of purpose
Emphasis on short term profits
Reliance on performance appraisal and merits
Staff mobility
Excessive medical costs
Excessive legal costs
System Profound Knowledge
Four elements
Appreciation for a system
Knowledge of statistical theory
Theory of knowledge
Knowledge of psychology
II TQM Leadership
It is a process of influencing others towards the
accomplishment of goals
Characteristics or Behavior of
Quality Leaders
The Customers first
Value people (take care of the development of people skills, capabilities)
Build supplier partnership
Empower people (Train and coach the people, rather than directing and supervising
them)
Demonstrate involvement/commitment
Strive of excellence (Continuous improvement rather than maintenance)
Explain and deploy policy
Improve communication
Promote teamwork
Benchmark continuously (Learn from problem, create learning effect through
innovation)
Establish System (Establish organizational systems to support quality effort)
Encourage Collaboration (Encourage collaboration rather than competition)

Leadership style for Effective Leaders
Directing style of leaderships
Consulative style of leaderships
Leader seek input from those working under him
Encourage participation
Seeks the advice, Suggestions and input from others and take final decision
Participative style of leaderships
Delegating style of leaderships




Requirements of Effective Leaderships
Vision
Empowerment -(authorization-empower employees to assume ownership of
problems or opportunities and to be proactive in implementing improvements.)
Intuition (Follow their intuition, must prepared to make difficult decision)
Self-understanding (identify the relationships with employees within the
organization)
Value congruence (Quality of Agreeing)- integrate their values into company
system(trust, respect of individual, openness, teamwork, integrity and commitment)

Leadership Roles
Flexibility
Stability
Externally Oriented Internally Oriented
Develops skills of people
Has a careful, helpful and systematic approach
Gives compliments and honour to whom honour is due
Realizes teamwork
Participatory decision making
Reaches consensus (agreement)
Openness, involvement and
solidarity
Watches over and guides achievements
Take care of details and documentation
Check if people stick to the rules
Organize and coordinates efforts of personnel
Is focused on delegation of tasks
Pays attention to technological issues
Develop policy and rules
Formulate plans
Identifies bottlenecks
Promote a productive working
environment
Commands great involvement and
personal dedication
Time/Stress Management
Make Continuous improvements possible
Has a vision of the future
Recognize important trends
Anticipates changes
Uses power and influences people
Can negotiate effectively
Has image, reputation, and
persuasive power
Role of Senior Management (Role of TQM
Leaders) (Responsibility)
To study and investigate the TQM concepts and issues
To set clear quality policies and provide challenging tasks
To establish priority of quality and customer satisfaction as the basic
policy and determine the long term goals
To bring a cultural charge required for the TQM effort
To establish the TQM vision for the future and communicate to all involved
To become coaches and cheer leaders for encouraging and supporting the
managers during the transition phase of the transformation change
To stimulate employees to be involved
To teach employees to realize that the company interest and their interest and
geared into one another
To attend TQM training programs
To create coordination and harmony among and within departments
To mentor whether quality improvement programs are conducted as planned
To create a basic of trust, respect and open communication, which ensures
individual participation and continuous improvement

Quality Council
Quality council is a team to provide overall direction for achieving the total
quality culture
The quality council includes CEO and Senior managers of the
functional areas -research,manufacturing,finance,sales ,marketing etc.
and one co-ordinator and a union representative.
Duties
To develop the Quality statements eg. Vision, Mission, Quality policy statements,
Core values etc.
To develop strategic long-term plans and annual quality improvement programme.
Make a quality training programme
Monitor the costs of poor quality.
Determine the performance measures for the organisation
Always find projects that improve the processes and produce customer satisfaction.
Establish work-group teams and measure their progress.
Establish and review the recognition and reward system for the TQM system

Responsibilities of QC Coordinator
To develop two way trust
To propose team requirement to the council
To share quality expectation with team
To empower the team
To brief the council on team progress

Quality Structure
Corporate Quality
Council
Quality Sub
Council Division #3
Quality Sub
Council Division #2
Quality Sub
Council Division #1
Process improvement team
&
Other Project Improvement Team
Chair Person: CEO
Member: Senior Managers
Who head
Specific function
Chair Person: Senior Managers
of main function of
concerned division
Quality Statements
Provide overall direction for achieving the total
quality culture
Elements
Vision statement a short declaration of what the organization
hopes to be tomorrow.
Mission statement a statement of purpose who we are, who are
our customers, what we do , and how we do it.
Key Elements
Obligation (duty) of stakeholders
Scope of the business
Source of competitive advantage
View of the future
Quality policy is a guide for everyone in the organization ,how
they should provide products and services to the customers.


Strategic Planning
Strategic Planning
Set the long-term direction of the organization in
which it wants to proceed in future

Present
Vision
of
future
Strategic Plan
Strategic Planning Cycle
Determination of Customer Positioning
Identification of Customer Needs
Predict the future
Gap Analysis (Comparison of various alternative)
Closing the Gap (Selecting best alternative)
Alignment
Implementation
Reevaluate and review
Customer Satisfaction
The customer is the king
Quality is what customer wants
Customer satisfaction model

Company offer
Customer Satisfaction
Customer needs
Who are the customers
The most people in the business
Not dependent on organization
Organization depends on them
Not an interruption to work but are the purpose of it
Doing favor when they seek business not vice versa
A part of business, not out siders
Life blood of business
People who come with their need and jobs
Deserve the most courteous and attentive treatment

Types of Customers
Internal
The customers inside the company are called internal customers
External
The customers outside the company are called internal customers
Purchaser
End user/ultimate customer
Merchants
Processors
Supplier
Potential customer not currently using but will use
Hidden customer media, policy makers
Customer supplier chain
Internal customer supplier chain




C/S
C/S
C/S
C/S
C- Internal Customer
S- Internal Supplier
Customer perception of Quality
Performance
Fitness for use
Availability
Reliability
Maintainability
Features
Service
Warranty
Price
Reputation



Before Purchase At point of purchase After purchase
Company brand name and
image
Performance and specification Ease of installation and use
Previous Experience Comments of Sales people Handling of repairs claims,
warranty
Opinions of friends Warranty previous Spare parts availability
Store reputation Service and repair policies Service effectiveness
Published test results Support program Reliability
Advertised price for
performance
Quoted price for performance Comparative performance
Customer perception of Quality
Identifying Customer Needs
Surveys, focus group, market research program, studies
Routine communication, such as sales, service calls and reports,
management reviews, house publication
Tracking customer complaints, incident reports, letters,
telephone contacts
Customer meetings
User conferences for the end user
Information on competitors products
Personal visits to customer location
Personal experience dealing with the customer and product
Employees with special knowledge of the customer
Government or independent laboratory data
Experience and planning process
Kano Model of Customer Satisfaction
Customer Complaints
What is Customer Complains?
Why is customer feedback/Customer complaint Necessary?
Sources for Customer Complaint
Related to product itself
Related to after sales service
Common Customer feedback collection tools
Customer cards
Customer questionnaire (online, phone and mail surveys)
Post transaction surveys, Report or feed back cards
Focus groups, Social media
Toll free telephone numbers, Customer visits
Employee feedback

Customer Complaints flow chart

Service Quality or Customer Service
Provided
Before the sale of the product
During the sale of the product
After the sale of the product
Service Quality or Customer Service
Elements of Customer Service
Organization
Identify each market segment
Write down the requirement
Communication the requirement
Organize processes
Organize physical spaces
Customer care
Meet the customer expectation
Get the customers point of view
Deliver what is promised
Make the customer feel values
Respond to all complaints
Over-respond to the customer
Provide clean and comfortable customer reception area

Service Quality or Customer Service
Elements of Customer Service
Communication
Optimize the trade-off between time and personal attention
Minimize the number of contact points
Provide pleasant, knowledge, enthusiastic employees
Write documents in customer friendly language
Front-line people
Hire people who like people
challenge them to develop better methods
Given them the authority to solve problems
Serve them as internal customers
Be sure they are adequately trained
Recognize the reward and performance
Leadership
Lead by example
Listen to front line people
Strive for continuous process improvement
Employee Involvement
Employee Motivation
Employee Empowerment (ability or authority)
Concept of empowerment
Empowerment Defined
It is environment in which people have ability, the confidence,
and the commitment, to take the responsibility and ownership
to improve the process and initiate the necessary steps to
satisfy customer requirements within well-defined boundaries
in order to achieve organizational values and goals

Employee Involvement
Employee Empowerment (ability or authority)
General Principles for empowering employments
Tell the people what their responsibilities are
Give them authority equal to the responsibility assigned to
them
Set the standards of excellence
Provide them with training
Give them knowledge and information
Provide them with feedback on their performance
Trust them
Allow them to fail but guide them and counsel them when
needed
Treat them with dignity and respect


Employee Involvement
Employee Empowerment (ability or authority)
Condition to create the empowered environment
Everyone must understand the need for change
The system needs to change to the new paradigm
The organization must provide information, education, and
skill to its employees
Characteristics of empowered employees
Identified by Hubert Rampersad
They feel responsible for their own task
They are given a free hand in their work
They balance their own goals with those of organization
They are well trained, equipped, creative, and customer oriented
They are challenged and encouraged
They are critical, have self esteem and are motivated
They monitor and improve their work continuously
They find new goals and change challenges


Employee Involvement
Team and Team work
What is meant by a Team and Team work
Benefits of Teamwork
Improved solution to quality problems
Improved ownership of solution
Improved communication
Improved integration
Types of Team
Process improvement team
Cross function team
Natural work team
Self directed/Self managed work team
Quality
Council
Business Process Team
Cross Functional Team
Process
Improvement
Team
Work
Group
Process
Improvement
Team
Work
Group
Process
Improvement
Team
Work
Group
Process
Improvement
Team
Work
Group
Process
Improvement
Team
Work
Group
The use of the teams throughout an organization
Employee Involvement
Team and Team work
Characteristics of Successful teams
Spencer (quality Council)
Team Charter (Document that define the teams mission boundaries..)
Team Composition (ten meb. team, with diff. skills)
Training
Ground Rules
Clear Objectives
Accountability
Well defined decision procedures
Resources
Trust
Effective problem-solving
Open communication
Appropriate Leaderships
Balanced Participation
Cohesiveness (Comfortable working with each other..)
Employee Involvement
Team and Team work
Elements of Effective Team Work
Effective
Teams
1. Team
Purpose
2. Team role
and
responsibilities
3. Team
Activities
4. Team
Effectiveness
5. Team
Decision
6. Team
results
7. Team
Recognition
Employee Involvement
Team and Team work
Team Management Wheel - Activites
Team
Innovating
Promoting
Developing
Organising
Producing
Linking
Inspecting
Maintaining
Advising
Employee Involvement
Team and Team work
Role of Team Members
Stages of Team Development
Forming Stage (
Storming Stage ( (Initial agreement, role, personal need)
Norming Stage (developing formal and informal relationships)
Performing Stage
Maintenance Stage
Evaluating Stage
Barriers to team progress
Insufficient Training
Incompatible rewards and compensation
First-line supervisor resistance
Lack of planning
Lack of management support
Access to information systems
Lack of Union Support

Employee Involvement
Team and Team work
Barriers to team progress
Project scope too large
Project objectives are not significant
No clear measures of success
No time to do improvement work

Employee Involvement
Recognition and Rewards
What is meant by recognition
It is a process whereby management shows acknowledgement of an
employees outstanding performance
Reward
Salary, Commission, cash bonus, gain sharing..
Why should one recognize the employees
Types of rewards
Intrinsic
Feeling of accomplishments (achievement or skills)
Extrinsic
Pay or compensation issues

Rewards Richard S. Allen, Ralph H. Kilmann
Intrinsic rewards
Non-monetary form of recognition
Celebration to acknowledge achievements
Regular expression of appreciation by managers
360 degree performance appraisals (Feedback based)
Formal suggestion system available for individual
Development based performance appraisals
Quality based promoters

Rewards Richard S. Allen, Ralph H. Kilmann
Extrinsic Rewards
Profit sharing
Gain sharing (Performance based)
Employment security
Compensation Time
Individual based performance systems
Quality based performance appraisals

20 ways to recognize the people Steve Smith
Send letter to improve team members, thanking them
Develop the behind the scenes awards (not in time line)
Create a best idea of the year booklet
Feature the quality team of the month- put picture
Recognize your peers at staff meeting
Let people attend meeting when you are not available
Create opportunities to meet external customer
Invite the team for tea or lunch
Create a visibility wall to display information, posers, pictures..
Group ideas meeting give credit
Mention someones outstanding work or idea during meeting
20 ways to recognize the people Steve Smith
Take interest in employees development training
Get your teams pictures in the company news paper news letter
Write letter to praise
Ask people to help you consider , difficult
Send them to special seminar, workshop, meeting,
Ask boss to send a letter ackl thanks
Honor outstanding contribution with awards
Gift
Promotion

Performance Appraisal
Process
1. Establish performance standards
2. Communicate performance
3. Measure Actual performance
4. Compute actual performance with standards
5. Discuss the appraisal with the employee
6. Initiate corrective action
1. Benefits

Continuous process Improvements
Continuous improvement in
The area of cost
Reliability
Quality innovation
Efficiency
And business effectiveness


Input and Output Process Model
PROCESS
People
Equipment
Method
Procedures
Environment
Materials

INPUT
Materials
Money
Data
Information etc
Conditions
Feedback
OUTPUT
Product
service

Five basic ways of improving the process
The reduce resources
To reduce errors
To meet or exceed customer needs
To make process safer
To make the process more satisfying to the person
doing it
Juran Triaogy
Juran divide the Quality management into
Managerial processes
Quality Planning
Quality Control
Quality Improvement

It means managing for quality is achieved by the
use of the three managerial processes of plainning,
control and improvement
Jurans Quality control process
Juran Trilogy Diagram
Types of Quality Problems
Compliance Problems
Unstructured Problems
Efficiency Problem
Process Design problem
Product design problem
Improvement Strategies 4Rs of Total
improvement
Repair Strategy
Fixing things right
First level identify the problem and eliminate root
cause
Second level fault product, repaired or replaced
Refinement Strategy
Incremental basis service
Renovation Strategy major or break through
improvements, taken by team , costly
Reinvention Strategy re-engineering
PDSA CYCLE Deming Wheel
PLAN, DO, CEHCK, ACT (PDCA) Cycle
Deming cycle or Deming Wheel
ACT PLAN



CHECK DO
PHASES
Plan What is needed
Do it
Check that works
Act to Correct problems or improve
performance
Continuous Process Improvement Cycle
A P
C D
Benefits of PDSA Cycle
Daily routine management
Problem solving process
Project management
Continuous Development
Vendor development
HR Development
New product Development
Process Trials
5W2H Method
5S House Keeping
Used to establish and maintain a productive and
quality environment in an organization
5s invented in Japan
SEIRI
SEITON
SEISO
SEIKETSU
SHITSUKE
Objectives of 5S
To create a neat and clean work place
To systemize day-to-day working
To improve work efficiency
To standardize work practices
To improve work discipline
To improve the quality of work and products
SEIRI:SORTING
Consequences of not following SEIRI
The wanted is hard to find.
More space is demanded
Unwanted item cause misidentification
Misidentification cause error on operation
Maintenance cost of the equipment increases

- In office or home or factory floor
SEIRI Separating Wanted and Unwanted
Separating Wanted and Unwanted
Junk and Waste Repairable Wanted items
No Use Repair
Discard To Next Step
SEIRI Sorting and Evaluation Criteria
SEITON Systematize
Everything in proper order so that it can be easily
picked up for use
A place for everything and everything in its place
SEISO: Shine
To clean the work place thoroughly so that there is
no dust/dirt/scrap anywhere
SEIKETSU Standardize
Maintain a high standard of work place organization
and house keeping at all times
SHITSUKE SELF DISCIPLINE
Self-discipline, especially with regard to safety rules
and punctuality
Factors in implementing 5S
Participating by all
Top management commitment
Should be self sustaining
Banner, slogan poster attention for every one
Review the program
Benefits in implementing 5S

KAIZEN
Japanese Word Continuous improvement or
improvement over improvement
Kaizen vs Kairyo

Many Small improvements
One Great improvement
Kaizen vs Kairyo
Kaizen Kairyo
Effect Long term and long lasting but
undramatic
Short-term but dramatic
Pace Small Steps Big Steps
Time frame Continuous and incremental Intermittent and non incremental
Change Gradual and constant Abrupt and volatile
Involvement Everybody Select few champions
Approach Collectivism, group effort Rugged individualism,
Mode Maintenance and improvement Scrap and rebuild
Spark Conventional know-how and
state of the art
Technological breakthrough, New
invention, new theories
Practical Requirement Requires little investment Require large investment
Effort Orientation People Technology
Evaluation Criteria Process and efforts for better
results
Results and profits
Advantage Work well in slow growth
economy
Better suited to fast growth
Various Aspect of Kaizen
KAIZEN
(Continuous
Improvements)
Process
Driven
Total employee involvements (Quality
circles, Suggestion systems, team work)
Good labor Management relation
Effective Leaderships, Cross
Communication
Adaptability to changing
environment
Visibility and
control
Reducing wastes
Customer Orientation
Standardization
Quality awareness,
Quality control
Kaizen - Features