Total Quality Management

History of TQM Total Quality Management Quality Assurance Benefits of TQM Quality costsCustomer Satisfaction Relationship Market Tools for Customer feedback Customer Complaint Service QualityTotal Employee Involvement Motivation Theories of MotivationContinuous Improvement Process Process Juran Triology PDSA Cycle Kaizen

Presentation Contents

1930’s, Walter Shewhart, developed Statistical analysis & quality control

1950’s, Deming taught methods to japanese engineers & executive

Juran, taught controlling quality & managerial breakthrough

Philip Crosby’s, promotion of zero defects

Today, Quality standard & systematic approach to managing organizational activity

History of TQM

What is TQM?

= Continuous process of improvement of goods and services

ISO 9000 defines quality, Preventing Mistakes/Defects

Avoiding problems

Quality Assurance

Greater Customer loyaltyMarket share improvementHigher stock pricesGreater productivity

Benefits of TQM

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Prevention cost ( Prevent defects)

Cost of Appraisal (Identify poor quality)

Internal failure cost (During production process)

External failure cost (After production process)

Quality Costs

Customer, the one who uses product or service, purchases or influences the product or service.

Internal customer

External customer

Customer Satisfaction

Building relation with customers.

Relationship Marketing

Comment CardSurveyInterviewFocus group

Tools for Customer feedback

THE FEEDBACK OBTAINED IN ALL ABOVE CASES IS PROACTIVE

CUSTOMER COMPLAINT IS REACTIVE BUT VERY USEFUL

IMPROVE THE PRODUCTS/SERVICES

IN FACT COMPLAINTS GIVE THE ORGANIZATION A SECOND CHANCE TO WIN!!

Customer Complaint

The degree to which a provided activity promotes customer satisfaction

QoS used in technologies (Electronic & Networking) in order to improve the quality of network users.

Service Quality

System of direct participation of employees to organization

Deeply involves (Critical basis)Using their brain power in problem solvingLearningSystematic search for opportunities

Total Employee Involvement

Internal and external forces influences that drive an individual to achieve certain goals.

Motivation

Theory “X” Sigmond Frend; It assumes that employees cannot be trusted and supervised all the time.

Avoid workNo ambition No initiativeDo not take responsibilitiesNeeds security

Theories of Motivation

Theory ‘Y’: (Douglas Mc Gregor)Employees seek freedom to do difficult and

challenging jobs, all by themselves.Want to learnWork is a natural activityHave self disciplineDevelop themselvesHave self confidence

Theory ‘Z’: (Abraham Maslow)Good qualities are inherent in people at least

at birth, He believes that five basic human needs that motivate the employees are:

Self actualization needsEsteem needs Love needsSafety needsPhysiological needs

Teamwork, Group of members work with assigned tasks.

Training and development, Familiarity in understanding nature of job

Experienced recruits need more orientation

Training is not a one time activity

Recognition and rewards, Reward teams, rather than individual Performance appraisal,

Promotion

Granting of additional increments

Transfers

Training

Empowerment,

Increase their potentialities

Sets of related tasks or activities by which work is accomplished.

A process can be improved to better meet the needs of the customer and that an organization should constantly strive to make those improvements.

Continuous Process Improvement

To attain quality you must begin by establishing the vision, policiesand goals of the organization. Converting these goals into results is done through three managerial processes called the JURAN TRILOGY.

The Juran Trilogy

The Juran Trilogy

“Quality does not happen by accident, it must be planned.”

1. Quality Planning:

The structured process for designing

-products and services that meet new goals

The Juran Trilogy

2. Quality Control:

A universal managerial process for

conducting operations so as to provide stability—toprevent adverse change andto “maintain the status quo”

The Juran Trilogy

3. Quality Improvement:

The process for creating breakthroughlevels of performance by eliminating defects.

PLAN – prepare the changeDO – implement the changeSTUDY – monitor and analyze impact of the

changeACT – revise and standardize the change

The PDSA Cycle

Japanese term – “Kai”- meaning continuous

“zen”- meaning improvement

Our way of life—be it our working life, our social life, or our home life deserves to be constantly improved.

Kaizen