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    Total Quality Management: TQM: Origins, Evolution & Key Elements

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    bhattacharjeesomnath
    Total quality management (TQM) aims to continuously improve processes through a company-wide focus on quality and customer satisfaction. It involves management and employees at all levels working to prevent defects, reduce variation and waste, and promote continuous learning. Key aspects of TQM include defining quality as meeting customer requirements, viewing production as interconnected processes, using tools like statistical process control and PDCA cycles for continuous improvement, and emphasizing top management leadership and employee involvement.

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    Total Quality Management: TQM: Origins, Evolution & Key Elements

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    bhattacharjeesomnath
    23 views31 pages
    Total quality management (TQM) aims to continuously improve processes through a company-wide focus on quality and customer satisfaction. It involves management and employees at all levels working to prevent defects, reduce variation and waste, and promote continuous learning. Key aspects of TQM include defining quality as meeting customer requirements, viewing production as interconnected processes, using tools like statistical process control and PDCA cycles for continuous improvement, and emphasizing top management leadership and employee involvement.

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    Total quality management (TQM) aims to continuously improve processes through a company-wide focus on quality and customer satisfaction. It involves management and employees at all levels working to prevent defects, reduce variation and waste, and promote continuous learning. Key aspects of TQM include defining quality as meeting customer requirements, viewing production as interconnected processes, using tools like statistical process control and PDCA cycles for continuous improvement, and emphasizing top management leadership and employee involvement.

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    23 views31 pages

    Total Quality Management: TQM: Origins, Evolution & Key Elements

    Uploaded by

    bhattacharjeesomnath
    Total quality management (TQM) aims to continuously improve processes through a company-wide focus on quality and customer satisfaction. It involves management and employees at all levels working to prevent defects, reduce variation and waste, and promote continuous learning. Key aspects of TQM include defining quality as meeting customer requirements, viewing production as interconnected processes, using tools like statistical process control and PDCA cycles for continuous improvement, and emphasizing top management leadership and employee involvement.

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    TOTAL QUALITY MANAGEMENT: TQM

    Origins, Evolution & key elements

    What is Quality?
    Quality is fitness for use
    (Joseph Juran) Quality is conformance to requirements (Philip B. Crosby) Quality of a product or services is its ability to satisfy the needs and expectations of the customer

    Evolution of Quality Management


    Inspection Quality Control
    Salvage, sorting, grading, blending, corrective actions, identify sources of non-conformance

    Develop quality manual, process performance data, self-inspection, product testing, basic quality planning, use of basic statistics, paperwork control.
    Quality systems development, advanced quality planning, comprehensive quality manuals, use of quality costs, involvement of non-production operations, failure mode and effects analysis, SPC. Policy deployment, involve supplier & customers, involve all operations, process management, performance measurement, teamwork, employee involvement.

    Quality Assurance
    TQM

    Demings view of a production as a system


    Receipt & test of materials Suppliers, materials & equipment Design & redesign Consumer Research

    Production, assembly, inspection

    Distribution

    Consumers

    Test of processes, machines, methods, cost

    Demings Chain Reaction


    Improve Quality

    Provide jobs and more jobs Stay in business

    Cost decreases because of less rework, fewer mistakes, fewer delays, snags, better use of machine time and materials

    Productivity improves
    Capture the market with better quality and lower price

    The Deming Cycle or PDCA Cycle


    PLAN

    Plan a change to the process. Predict the effect this change will have and plan how the effects will be measured

    ACT
    Adopt the change as a permanent modification to the process, or abandon it.

    DO
    Implement the change on a small scale and measure the effects

    CHECK
    Study the results to learn what effect the change had, if any.

    W. Edwards Demings 14 Points 1) Create constancy of purpose towards improvement


    of product and services.

    2) Adopt the new philosophy. We can no longer live


    with commonly accepted levels of delays, mistakes, defective workmanship.

    3) Cease dependence on mass inspection. Require,


    instead, statistical evidence that quality is built in.

    4) End the practice of awarding business on the basis of


    price tag.

    W. Edwards Demings 14 Points


    5) Find problems. It is managements job to work
    continually on the system.

    6) Institute modern methods of training on the job.

    7) Institute modern methods of supervision of


    production workers. The responsibility of foremen must be changed from numbers to quality.

    8) Drive out fear that everyone may work effectively for


    the company.

    W. Edwards Demings 14 Points


    9) Break down barriers between departments. 10) Eliminate numerical goals, posters and slogans for
    the workforce asking for new levels of productivity without providing methods.

    11) Eliminate work standards that prescribe numerical


    quotas.

    12) Remove barriers that stand between the hourly


    worker and his right to pride of workmanship.

    W. Edwards Demings 14 Points


    13) Institute a vigorous programme of education and
    retraining.

    14) Create a structure in top management that will push


    everyday on the above 13 points.

    Demings System of Profound Knowledge


    Knowledge about variation

    Appreciation for system

    Theory about knowledge

    Knowledge of psychology

    Joseph M. Juran and the Cost Of Quality


    2 types of costs: Unavoidable Costs: preventing defects (inspection, sampling, sorting, QC) Avoidable Costs: defects and product failures (scrapped materials, labour for re-work, complaint processing, losses from unhappy customers

    Gold in the Mine

    Joseph M. Juran and the Cost Of Quality


    Costs

    Total Costs

    Unavoidable costs

    Avoidable costs 100% defective Point of Enough quality

    What is TQM?
    Constant drive for continuous improvement and learning.

    Management by Fact

    Concern for employee involvement and development

    Result Focus

    Passion to deliver customer value / excellence

    Organisation response ability


    Partnership perspective (internal / external)

    Actions not just words (implementation)

    Process Management

    LEARNING AND TQM


    Learning Process Improvement Quality Improvement

    Customer Satisfaction

    Shareholder Satisfaction

    Employee Satisfaction

    BASIC PRINCIPLES OF TQM


    Approach Scope Scale Philosophy Standard Control Theme Management Led Company Wide Everyone is responsible for Quality Prevention not Detection Right First Time Cost of Quality On going Improvement

    FOUR KEY PRINCIPLES

    Measure quality so you can affect it Focus on a moving customer Involve every employee Think long term - Act short term

    THE CASE FOR QUALITY


    1 Success of competitors who take quality seriously 2 Rising expectations of customers 3 Quality differentiates companies from the competition 4 Narrowing of supplier bases by quality conscious companies
    .

    THE CASE FOR QUALITY


    5 Growing evidence that growth in market share comes from sustained quality.

    6 Cost advantages
    7 High cost of catastrophic failure 8 Inspection poor substitute for right first time

    SEVEN DEADLY SINS OF TQM


    Flight to nowhere

    One size fits all


    Substituting TQM for leadership Inside - Out indicators Mandatory religion Quality kept as a separate activity Teaching to the test Booz-Allen & Hamilton

    IS QUALITY A SOUND INVESTMENT?


    Year 1988 1988 1989 1990 1990 1990 1991 1992 1992 1992 1993 1994 Company Stock Growth (Oct 94) Motorola 373.0% Westinghouse (CNFD) - 49.6% Xerox (BPS) 75.9% General Motors 1.6% Federal Express 10.6% IBM (IBM Rochester) - 34.9% Selectron 526.9% AT&T (UCS) 32.2% AT&T (TSBU) 32.2% Texas Instruments (DS&E) 106.8% Zyta 8.4% Eastman Chemical 18.5% 23016 (91.8% growth) 15911 (32.6% growth)

    Total Stock Value Standard & Poor 500 Stock value


    Source: US Dept. of Commerce Study 1995

    Q
    Project Quality Assurance Project Quality Plan PQP

    Project Quality Plan


    Definition
    The project quality plan is a documented description of the project management system and must be approved by the AEM, in part to demonstrate his commitment to quality but primarily it is the means by which technical and administrative authorities are delegated through out the project. All projects shall have quality plan. Project engineer shall develop and update the PQP.
    .

    Relationships between project quality plans


    PQP ADCO PQP Designer

    PQP construction contractor

    Suppliers quality plans

    Preparation of a project quality plan


    Confirm project objectives
    Plan the project allocate resources
    Identify critical activities Define standards and controls Audits
    AEM/PE/HE

    AEM/PE HE/HC/PE DE/CE/PE QA/SCE/PE PE

    Close-out

    CONTENTS OF TYPICAL PROJECT QUALITY PLAN

    1. COVER SHEET + REVISION CONTROL 1.1 Document purpose 1.2 Policy statement 2.INTRODUCTION 2.1 2.2 2.3 2.4 Background Project Scope Project Objectives & Constraints QA Standards (Consider putting in Document purpose)

    CONTENTS OF TYPICAL PROJECT QUALITY PLAN

    3. EXECUTION STRATEGY 3.1 3.2 3.3 3.4 3.5 3.6 Project Management risks. Critical Activities. Control Strategy. Cost & Schedule. HSE Plan. Commissioning & Hand-over.

    CONTENTS OF TYPICAL PROJECT QUALITY PLAN

    4.ORGANISATION, RESPONSIBILITES & INTERFACES 4.1 Table with names 4.2 External interfaces 4.3 Definition of specific roles and responsibilities.

    5. QUALITY REFERENCE SYSTEM 5.1 Controlling Documents 5.2 Applicable Procedures (Check list based)
    6. INTEGRATION OF CONTRACTORS & SUPPLIERS 6.1 Define Contractor interfaces. 6.2 Contractor + Supplier Quality System.

    CONTENTS OF TYPICAL PROJECT QUALITY PLAN


    7.AUDITS & REVIEWS This section should include schedule for: * PHSER * HAZOP * TECHNICAL REVIEWS * LESSONS LEARNT REVIEW. 8. QUALITY IMPROVEMENT 8.1 LESSONS LEARNT 8.2 CLOSE-OUT REPORT

    * HSEIA * VE * QA AUDITS

    CONTENTS OF TYPICAL PROJECT QUALITY PLAN


    PREPARATION & APPROVALS:
    PREPARE: ENDORSE: APPROVE: Timing The nominated PE, PM or Team leader shall develop the PQP immediately after receiving the PID document and approval of the project in the Business Plan. PE, PM and / or Team Leaders AEM EPM

    Quality is a Journey, not a Destination

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