GROUP 1

The Primary Elements of TQM

Quality is a necessary parameter which helps organizations outshine their competitors and survive the fierce
competition.

The achievement of TQM depends on following eight elements which are further classified into following four
groups.

Foundation

The entire process of total quality management is built on a strong foundation of ethics, integrity and trust. TQM
involves every single employee irrespective of his designation and level in the hierarchy.

 Ethics- ethics is a combination of written and unwritten codes of principles that govern decisions and actions
within a company. It is an understanding of the difference of good and bad decision making and behavior at the
business world. It boils down to following the code of conduct of organization and adheres to rules and
regulations. It describes the actions of individuals within an organization as well as those of the organization as a
whole.
 Integrity- integrity is the consistency of actions, values, methods, measures, principles, expectation and outcomes
at workplace. There is a need to respect organization’s policies. Avoid spreading unnecessary rumors about
fellow workers, TQM does not work in an environment where employees criticize and backstab each other.
 Trust- trust is one of the most important factors necessary for implementation of TQM because it builds a
cooperative environment. It is a relationship based on reliance. Employees need to trust each other to ensure
participation of everybody and allows empowerment that encourages the pride of ownership and commitment.
Trust fosters individual risk-taking for continuous improvement and is essential to ensure customer satisfaction.
Trust improves relationship among employees and eventually helps in better decision making which further helps
in implementing TQM successfully.

Building Bricks

Bricks are placed on a strong foundation to reach the roof of recognition. The foundation needs to be strong
enough to hold the bricks and support the roof. Leadership, teamwork and training are the building bricks of TQM

 Leadership- leadership provides a direction to the entire process of TQM. It is about raising the aspirations of
followers and enthusing people with a desire to reach the goals. Leadership in TQM requires the manager to
provide an aspiring vision, make strategic decision and instill values that guide subordinates. TQM needs to have
a supervisor who acts as a strong source of inspiration for other members and can assist them in decision
making. A leader himself needs to believe in the entire process of TQM for others to believe in the same. Proper
downloads, brief about TQM must be given from to time to employees t help them in its successful
implementation. TQM initiatives have to be introduced and led by the top management.
 Teamwork- team work is a crucial element of TQM. Rather than working individually, employees need to work in
team. When individuals work in unison, they are in a position to brainstorm ideas and come up with various
solutions which would improve existing processes and systems. Team members ought to help each other to find a
solution and put into place.

Teamwork offers contiguous improvement in processes and operations. The teams may be:

 Problem solving- these are temporary and formed to solve certain problems, identify and overcome
causes of those problems. They generally last form one week to three months.
 Quality Improvement- these are temporary teams with the purpose of dealing with specific problems that
often recur. These trams are set up for a period of three to twelve months.
 Natural work- these teams consist of small groups of skilled workers who share tasks and responsibilities.
These teams use concepts such as employee involvement teams, self-managing and quality circles.
 Training- employees need to be trained on TQM to become highly productive. Manager need to make their fellow
workers aware of the benefits of TQM and how would it make a difference in their product quality and eventually
yield profits for their organization. Employees need to be trained on interpersonal skills, the ability to work as a
team member, technical know-how, decision-making, problem solving kills and so on. Training enables employees
to implement TQM effectively within their departments and also make them indispensable resources.

Binding Mortar

Binding mortar binds all the elements together. Communication binds everything together, starting form the
foundation and going up to the roof. Communication is the vital link between all the TQM elements and must be prevalent
in an organization in order for TQM to work the way it should. The channels of communication need to be credible and
easily interpreted for all members of the organization.

Communication binds employees and extracts the best out of them. Information needs to be passed on from the
sender to the recipient in its desired form. Small misunderstandings in the beginning lead to major problems later on.
Employees need to interact with each other to come up with problems existing in the system and find their solutions as
well. Three types of communication tales place between employees.

 Downward Communication- this is the dominant form of communication in an organization. Presentation and
discussions are two examples of this form of communication. Flow of information takes place from the
management to the employees. The supervisors are able to make the employees clearly understand TQM using
this type of communication.
  Upward communication- flow of information takes place from the lower-level employees to the top level
management. The lower-level employees are able to offer suggestions on the effects of TQM to the upper level
management using this type of communication. Supervisors should listed effectively and incorporate the insights
and constructive criticisms offered by the employees in correcting the situations that arise through the use of
TQM. This creates a level of trust between supervisors and employees. This is also similar to empowering
communications, where supervisors listen to others.

 Sideways/Lateral Communications- communication also takes place between various departments. This type of
communication is important because it breaks down barriers between departments. It also allows a more
professional dealing with customers and suppliers.

Roof

It includes recognition which brings greater internal customer satisfaction which in turn leads to external customer
satisfaction in the organization. There can be a huge change in self-esteem, productivity and quality when the contributors
are recognized.

Recognition is the final element of TQM. Recognition is the most important factor which acts as a catalyst and
drives employees to work hard as a team and deliver their lever best. Every individual is hungry for appreciation and
recognition. Employees who come up with improvement ideas and perform exceptionally well must be appreciated in front
of all. They should be suitably rewarded to expect a brilliant performance form them even the next time. The most
important responsibility on a supervisor is that of according recognition to the employees.

Core Concept of TQM

Each of the following core concepts of TQM can be used to drive the process of continuous improvement and to
develop a framework for quality improvements over many years.

 Customer satisfaction- TQM is centered in the requirements of the customer. In order to meet customer
requirements, it is imperative to listen to them and do what is agreed upon. Companies have t give identical
importance to the internal as well as the external customer. A better technique for companies to use their
customers is to learn what is significant to them and then, equal their performance to the customer’s satisfaction.
Many forward-looking companies of the world have started the process of carrying out a survey known as a
“energy meter” which reflect the satisfaction, morale, and motivation levels of employees and develops the model
of “employee ship” with core stress on the principles of customer satisfaction. Further, in the external front,
surveys are carried out among the customers for identifying their satisfaction, expectations and the causes for low
customer satisfaction. For that reason, the satisfaction index is compiled and product qualities are monitored to
improve customer satisfaction.

 Internal customer Satisfaction- customer is not only external customers, but the people outside who are end user
of a firm’s product and services. There is also the internal customer, the person within the company who receives
the work of another and adds his contribution to the product or services before passing it on to someone else.

It is essential to attain a successful internal working relationship in order to satisfy the needs of the
external customer. If the internal customers’ requirement agreed and met, a chain of quality is built that reaches
out to the external customer. Whether an organization supplies products or services, the people it supplies
internally are as real as its external customer. Therefore, they also require speed, efficiency and accuracy. That’s
why the idea of the internal customer can be used as a highlight for improvement.

 All Work is Process- another possible focal point of improvement is that of business process. A process is a
combination of methods, materials, manpower and machines that work collectively to produce a product or
service. All processes include natural variability and one approach to quality improvement is to progressively
reduce variation. First, this can be don by removing variation due to special cause and secondly by driving down
the common cause of variation, thus bringing the process under control and improving the capability.

 Measurement- in order to improve, one must first measure one’s present performance. This will help one focus
both on satisfying internal customers and meeting the requirements of external customer. There are seven
generic ways in which the quality of outputs can be measured.

 Defects-work not up to specification

 Rework-work requiring correction
 Scrap-work thrown away
 Lost items-work done again
 Backlogs-work behind schedule
 Late deliveries-work after agreed time
 Surplus items-work not required

 Synergy in teamwork- the idea of synergy in teamwork, where the whole is greater than the sum of the parts, is a
key concept of TQM. Here, it is used to promote collaborations, consensus, “creative conflict” and team winning.
One of the strengths if using teams for TQM is that they can merge the mutually restricted individual qualities
needed for running business today. Teamwork can provide opportunities for people to work together t reach
quality improvement. People who work on their own or in a small group often have a compartmentalized picture of
their organization and the work that it does. they are quite strange with the work done even by people who are in
their vicinity. Bringing people together within teams with the common goals of quality Improvement aids
communication between people, departments and functional activities.
 Teamwork gradually breaks down the communication barriers and acts as platforms of change. Teamwork also
enables a group of people to work as a task force as seen in cross-functional teams, committees and others
which look at cross-functional problems, solving problems and identifying and adopting new ways of doing things.
In this connection, quality circles and quality improvement tools facilities team-building process in organizations.

 People make Quality- most of the quality problems within an organization are not usually within the control of an
individual employee. The system often comes in the way of employees who are trying to do god job. In such a
situation, motivation by itself cannot work. Therefore, managers are required to ensure that all necessary is
prepared to let people to produce quality. This creates an environment where people are eager to take
responsibility for the quality of their own work. Releasing the talents of everyone within the organization in this
way can generate a culture for quality improvement.

 Continuous improvement cycle- the continuous cycle of instituting customer requirements, meeting and
measuring them, measuring success and continuing the improvement can be used both externally and internally
to stimulate quality improvements. The contiguous improvements cycle used over and over again will lead to a
fresh “chemistry” within the organization so that the culture starts to change to one of the continuous
improvements.

 Prevention- at the heart of TQM is the conviction that it is possible to achieve defect-free works most of the time.
This is termed “right first time, every time” or zero defects. The “right first time, every time” or zero defects policy is
the results of an emphasis on prevention, and the diligent use of measurement, process controls and the data-
driven elimination of waste and error. It serves as a goal for continuous improvement. Preventions the goal of all
quality assurance. Though planned and systematic action such as documentation of work processes or cost of
quality audits, quality assurance prevents quality problems.

Benefits of TQM
There are many benefits of TQM. Essentially, TQM refers to the total quality in fulfilling the needs of the
customers, the quality of the products and the quality of life. Having these focuses leads to better business results and
also benefits business in several different ways. Here are some benefits of TQM:

 Creates a good corporate culture- TQM is an approach where the customer is the center point of the business
rather than the department, therefore, quality is transformed from an issue of the product department t to a
strategic business entity to meet global challenges. The TQM philosophy revolves around developing a culture
that supports total commitment to customer satisfaction through continuous improvement.

 Better reviews from customers- another benefit of TQM is that customers and clients are highly satisfied with the
performance. Given the quality assurance testing procedures, the products if the company will constantly meet
the requirements and needs of clients and customers. Therefore, the customers stay with the company longer,
deepen their relationship with the company and demonstrate less price sensitivity while recommending the
company’s products or services to others. Customer satisfaction and high-performance results also possibly lead
to high reviews in different publications and newspaper which further enchases the image of the company and in
turn that of the business.

 Better performance form employees- through TQM, there is often more attention placed on meeting the needs of
the employees or internal customer. The training given to the employees as part of the program can boost
employee morale at the workplace resulting in employees working harder to achieve the goals of TQM.
 GROUP 2

Dimension of Product Quality

Quality is multidimensional. Product and service quality are comprised of a number of dimensions which
determine how customer requirements are achieved. Therefore, it is essential that companies consider the entire
dimension that may be important to their customers. Evaluating all dimensions of a product or service helps to determine
how well the service is given against meeting the customer requirements.
Dimension of Product Quality
At a strategic level there are eight dimensions of product quality management that can be used to evaluate quality
characteristics. David Garvin of the Harvard Business School developed a system of thinking about quality of products.
Some of the dimensions are mutually reinforcing, whereas others are not which means improvement in one may be at the
cost of others. Understanding the trade-offs preferred by customers among these dimensions can help build a competitive
advantage.
Performance (will the product do the intended job?)
Performance consists of the primary operating characteristics of a product. For an automobile, performance would
include traits like acceleration, handling, cruising speed, and comfort; for a television set, performance means sound and
picture clarity, and the ability to receive distant stations.
This dimension of quality involves quantifiable attributes, so brands can typically be ranked objectively on
individual aspects of performance. Overall performance rankings, however, are harder to develop, particularly when they
entail benefits that not all consumers require.
Performance is regularly a basis of disagreement between customers and suppliers, predominantly when
deliverables are not sufficient described within specifications. The performance of a product frequently controls the
profitability or status of the end-user. As such, many contracts or specifications take in damages associated to poor
performance. The issue of whether performance differences are quality difference may be based on circumstantial
preferences. However, preferences are based on functional requirements, not taste. Some performance standards are
founded on personal preferences, but the preferences are so universal that they have the force of an objective standard.
Features (what does the product do?)
Features are added characteristics that boost the attraction of the product or service to the user. They are all the
qualities and characteristics of a product like its size, shape, materials, and its functionalities and capabilities. Some
examples of features include free drinks on a plane, permanent-press cycle on a washing machine and automatic tuners
on a color television set.
Features are often a secondary aspect of performance. Features are the “bells and whistles” of products and
services, those characteristics that add values to their basic functioning. The line separating primary performance
characteristics form secondary features is often not easy to illustrate.
Features of a product that are mentioned most are the qualities that make the product saleable or that make it
stand out from its competitors such as it is longer-lasting or more durable, it is cheaper to operate, it is made of higher
quality materials or it is better built, it has a special function that its competitors do not and so forth.
Reliability (How often does the product fail?)
Reliability is the likelihood that a product will not fail inside a particular time period. This is a key element for users
who need the product to work with no failures. This dimension reflects the likelihood of a product malfunctioning or failing
within a specified time period.
Reliability normally becomes more significant to consumers as downtime and maintenance become more
expensive. Farmers, for instance, are especially sensitive to downtime during the short harvest season. Reliable
equipment can mean the difference between a good year and spoiled crops. However, consumers on other markets are
more familiar than ever to product reliability too. Computers and copying machines certainly compare on reliability.
Reliability may be directly connected to performance. A reliability deficiency will eventually lead to impaired or lost
performance, compromised safety and the need for restorative actions like diagnosis, repair, spare replenishment and
maintenance. High reliability products will operate longer, allowing resources to be focused on improving performance.
Reliability addresses the probability of a product or service. Among the most common measures of reliability are
the mean time between failures, and the failure rate per unit time. Since these measures necessitate a product to be in
use for a specified period, they are more relevant to durable than to products and services that are consumed instantly.
Mean time between failures (MTBF) is literally the average time elapsed form one failure to the next. Usually,
people think of it as the average time that something works until it fails and needs to be repaired (again). For instance, the
MTBF for a particular type of automatic nozzle on gas pumps might be 18 months. This means that on the average, a
failure will occur every 18 months. The MTBF is beneficial in creating preventive maintenance policies.
 Mean Time between Failures= (total up time)/ (number of breakdown)
Failure rate is the frequency with which a component fails, expressed in failures per unit of time. It is often denoted by the
Greek Letter (lambda). The failure rate of a system usually depends on time, with the rate varying over the life cycle of the
system. For example, an automobile’s failure rate in its fifth year of service may be many times greater than its failure rate
during its first year of service. One does not expect to replace a pipe, overhaul the brakes, or have major transmission
problems in a new vehicle. Failure rates are important factors in the insurance, finance, commerce and regulatory
industries and fundamental to the design of safe systems in wide variety of applications.
Failure rate= Number of failures/number of units tested x total length of time
Conformance (is the product made exactly as the designer intended?)
Conformance depicts to what extent a product’s design and operating characteristics meet established standards.
This dimension owes the most to the traditional approaches to quality pioneered by experts like Juran.
All products and services involve specifications of some sort. When products are developed, these specifications
are set and a target is set, for instance the materials used or the dimension of the product. Not only the target but also the
tolerance (the range of permitted deviation from the target) is defined. One problem with this approach is that there is little
interest in whether the specifications have been met exactly as long as the tolerance limits are met.
On the other hand, this can lead to the so-called “tolerance stack-up”. When two or more parts are to be fit
together, the size of their tolerances often determine how well they will match. Should one part fall at a lower limit of its
specification and a matching part at its upper limit, a tight fit is unlikely. The link is likely to wear more quickly.
Durability (how long does the product last?)
Durability is a measure of how much use a person gets form a product before it breaks down to such a point that
replacement makes more sense than continual repair.
It measures the length of a product’s life. When the product can be repaired, estimating durability is more
complicated. The item will be used until it is no longer economical to operate. This happen when the repair rate and the
associated costs increase significantly. Technically, durability can be defined as the amount of use one gets form a
product before it deteriorates.
This approach to durability has two important implications. First, it suggests that durability and reliability are
closely linked. A product that often fails is likely to be scrapped earlier than one that is more reliable. Repair cost will be
correspondingly higher and the purchase of a competitive brand will look that much more desirable. Second, this approach
implies that durability figures should be interpreted with care. An increase in product life may not be the result of technical
improvement or the use of longer –lived materials. Rather, the underlying economic environment simply may have
changed.
Three types of durability testing are:
1. Vibrations testing- in vibration testing, the vibration environment to which products will be exposed to in real use is
reproduced. Products are tested in this environment to judge their durability or check for improvements. There are
two types of vibration testing:
 Vibration Experiment- vibration testing that is used to test a sample or representative model of volume
production. It is used to improve the product design
 Vibration Stress Screening- all production products are tested to eliminate faulty units and approved good
units. It may be compulsory in certain industries
2. Shock test- shock testing replicates events to determine if structures can withstand sudden applied forces. Shocks
are characterized by their short duration and sudden occurrence.
3. Climatic testing- materials can deteriorate over time, ageing prematurely due to either high or low temperature
extremes, while humid conditions may lead to condensation which can be damaging to biological items, industrial
products, materials and electronic devices and components. A climatic test makes use of an environmental test
chamber which artificially replicates the conditions under which machinery, materials, devices or components
might be exposed.
Serviceability (how easy is it to repair the product)
Serviceability involves the customer’s ease of obtaining repair service like access to service centers and/or ease
of self-service; the responsiveness of service personnel like the ease of getting an appointment and willingness of repair
personnel to listen to the customer; and the reliability of service like whether the service is performed right the first time.
Competence and ease of repair is the speed with which the product can be put into service when it breaks down, as well
as the competence and the behavior of the service personnel.
Some variable of serviceability reflects differing personal standards of acceptable service. Others can be
measured quite objectively. Customer may continue to be displeased even after completion of repairs. Ultimately,
profitability is likely to be affected as well. Companies vary extensively in their techniques to complaint handling and in the
value, they attach to this element of serviceability.
Aesthetics (what does the product look like?)
Aesthetics means how a product looks, feels, sounds, tastes or smells. It is obviously an issue of personal
judgment and an indication of individual preferences. Though, there emerge to be some patterns in consumers’ rankings
of products with taste as the starting point. High quality was most often associated with “rich and full flavor, tastes natural,
tastes fresh, good aroma and looks appetizing.
Aesthetics also refers to the “outside” feel of the products. The aesthetics dimension differs from subjective criteria
pertaining to “performance” in that aesthetic choices are not nearly universal. Not all people prefer “rich and full” flavor or
even agree on what that means. Companies therefore have to search for niche. On this dimension of quality, it is
impossible to please everyone.
Perceived Quality (what is the reputation of the company or its product?)
Perceived quality is the individuals’ subjective appraisal of products or service’s attributes; indirect measures may
be their only basis for comparing brands. Consumer does not always have comprehensive information about a products or
service’s attributes. A product’s durability, for instance can rarely be observed openly and is usually must be inferred from
various tangible and intangible aspects of the product. In such situation, images, advertising and brand names can be
vital. Perception is not always reality. Sometimes customers perceived products and services as they see them in
advertising.
Reputation is the primary stuff pr perceived quality. Its power comes from an implicit comparison that the quality of
products today is analogous to the quality of products of yesterday, or the quality of goods in a new product line is similar
to the quality of a company’s established products.
Dimension of Service Quality
Service is normally described as an experience felt by the consumer. In a restaurant for instance, the way the
customer is treated is considered as a service. Services are frequently intangible in nature. The quality of service is
evaluated by how well the customer is contented with the service. Service quality is about comparing performance with
the customer expectations. Service quality also leads to customer contentment and interrelated. The key to preserve
customers is to be aware of their needs and fulfill those needs. Making customers purchase the services continually
needs focus on dimension of service quality. There are five dimensions of service of quality and specified below:

Tangibles
The Tangibles dimension of quality is associated to the environment in which the service is rendered to the
customers. This is the equivalent of physical characteristics of quality of goods. Since services are tangible, customers
draw from their perception of service quality by comparing the tangible associated with these services provided, it consists
of the appearance of the physical characteristics of facilities, equipment, consumable goods and personnel used in or
related with the service rendered.

Reliability
Reliability is the ability to perform the promised service dependably and accurately to customers on specific
service. It is all about what is promised about delivery, service provision, problem resolution and pricing and what is
delivered. Like, Cebu Pacific airline in the Philippines has proved to be most successful low-cost carrier in the world with
fun-filled air travel.

Responsiveness
Responsiveness is the willingness to help customer and provide prompt service. This dimension emphasizes
attentiveness and promptness in dealing with customer’s requests, questions, complaints and problems. Responsiveness
is communicated to customers by span of time that have to hang around for help, answers to questions or attention to
problems. Responsiveness also captures the impression of flexibility and ability to tailor the service to customer needs.
The willingness to help the customer promptly in case of special and unforeseen requirements is another way of
showing responsiveness. Helping a customer for instance who falls sick when staying in the hotel is a good example of
responsiveness.

Assurance
Assurance is defined as employees’ knowledge of courtesy and the ability of the firm and its employee to insure
trust and confidence. This dimension of service quality is connected to the competence of the service employee. The
employees must be competent to gain the trust of customers.

This dimension is likely to be predominantly significant for the services that the customers perceive as involving
high rising and/ or about which they feel uncertain about the ability to evaluate. Trust and confidence may be embodied in
the person who relates the customer to the company, like the marketing department. Thus, employees are aware of the
value to create trust and confidence from the customer to gain competitive advantage and for customers’ loyalty.

Empathy
Empathy refers to caring attitude that an organization provides towards customer. This dimension of service
quality calls for individual attention to customer, so as to make them feel exceptional and to show to the customer that the
company does best to satisfy his needs. Empathy is an additional plus that the trust and confidence of the customers and
at the same time increase the loyalty. In this competitive world, the customer’s requirements are rising day after day and it
is the companies’ duties to their maximum to meet the demands of customers, else customer who do not receive
individual attention will search elsewhere.
This is being able to understand the needs of the customer as an individual and meet the special requirement of
the customer. This is more about customizing the service and the general service provider behavior for each customer,
rather than proving a uniform high-quality treatment to all. True empathy means understanding the special characteristics
and needs of individual customer and modifying service to them accordingly.
 GROUP 3

In order to fully understand the TQM Movement, there are philosophies of notable individuals who have shaped
the evolution of TQM. Their qualitative and quantitative contribution has been critical in the emergence and development
of contemporary knowledge regarding quality. Their common thrust is toward the concept of continuous improvement of
every output, whether a product or service by removing unwanted variation and improving underlying work processes.
Their philosophies and teachings have contributed to the knowledge and understanding of quality.
Dr. William Edwards Deming (14th October, 1900-20th December 1993)
Dr. William Edwards Deming is often referred to as the “Father of quality Control.” Deming Is best known for
initiating a transformation in the Japanese manufacturing sector in the after effects of World War II, which enabled it to
become a big player in world market. The Deming prize, the highest award quality in Japan, is named in his honor. He is
also known for his 14 points, for the Deming chain reaction and for theory of profound Knowledge. He also modified the
shewhart PDSA (Plan, do, study, act) Cycle to what is now referred to as Deming cycle (Plan, do, check, act).
Deming does not define quality in a distinct phrase. He said that only the customer can define the quality of any product or
service. Quality is a relative term that will adjust in meaning based on the customer’s needs. Deming approach to TQM is
mainly concentrated on the creation of an organizational system that is. Based on cooperation and learning for facilitating
the implementation of process management practices, which, in turn, leads to continuous improvement of processes,
products, and services as well as to employee fulfillment, both of which are critical to customer satisfaction, and ultimately,
to firm survival.

Deming Stressed the responsibilities of top management to be the leader in changing process and system, he
said that leadership plays an important role in ascertaining the success of quality management. It is the top
management’s responsibility to create and communicate a vision to move the firm toward continuous improvement. Top
management is in charge for most quality problems. Top management should give employee clear standards for what is
considered acceptable work, and provide the methods to achieve it. These methods include an appropriate working
environment.

Deming’ 14-point methodology

1. Constancy of purpose- Create firmness of purpose for continual improvement of products and service and
distribute resources to accommodate long term needs rather than short-term Profitability with a plan to become
competitive, stay in business and provide jobs.
2. The new Philosophy- Espouse the new philosophy for one can no longer allow delays, mistakes and faulty
workmanship. Transformation of the Western management style is necessary to bring to an end the continued
decline in the industry.
3. Cease dependence on inspection- remove the need for mass inspection as a technique to attain quality by
building quality into the product in the first place. Insist statistical evidence of built-in quality in both manufacturing
and purchasing functions.
4. End lowest tender contracts- reduce total cost. Many companies and organizations grant contracts to the lowest
bidder as long as they meet certain requirements. However, low bids do not promise quality. Unless the quality
aspects are carefully thought of, the effective price per unit that a company pays its vendors may be understated
and, in some cases, indefinite. Deming advise businesses to utilize single-sourcing for long-term relationships
with a few suppliers leading to loyalty and opportunities for shared improvement. Suing several suppliers has
been acceptable for reasons like providing protection against strikes or natural disasters or making the suppliers
compete against each other on cost. However, this approach has overlooked hidden costs like increased travel to
visit suppliers, loss of volume discounts, increased set-up charges resulting in higher unit costs, and increased
inventory and administrative expenses. In addition, always changing supplier only on the base of price increases
the deviation in the material supplied to production, since each supplier’s process is different.
5. Improve every process- management’s job is to constantly make better the system with contribution from workers
and management. Deming was a follower of Wlater A. Shewart, the developer of control charts and the
continuous cycle of process improvement known as the Shewhart cycle. Deming popularized the Shewhart Cycle
as the Plan-Do-Check-Act (PDCA) or Plan-Do-Study-Act (PDSA) cycle. Therefore, it is also often referred to as
the Deming cycle. In the planning stage, chances for improvement are acknowledge and operationally defined.
The theory and course of action developed in the earlier stage is tested in the doing stage, on a small range
through performing trial runs in a laboratory or prototype setting. The results of the testing phase are examined in
the check/study stage using statistical methods. In the action stage, a decision is prepared about in the pilot
stage, and then the plan will be implemented. Or else alternative plans are developed. After complete scale
implementation, customer and process feedback will once more be taken and the process of continuous
improvement continues.
6. Institute training on the job- introduce up to date methods of training on the job, incorporating management to
make greatest use of all employees. Fresh skills are essential to sustain changes in materials, methods, product
design, machinery, techniques and service.
7. Institute Leadership- espouses and introduce leadership, aimed at helping people carry out a better job. The
responsibility of managers and supervisors must be altered to highlight on quality rather than quantity. This will
automatically increase productivity. The management has to make sure that urgent action is taken on reports of
inherited defects, maintenance requirements, poor tools, fussy operational definitions and other conditions
damaging to quality.
 8. Drive out fear- builds a fear-free environment where everyone can contribute and work effectively. There is a
financial loss related with fear in an organization. Employees strive to satisfy their superiors because they believe
that they might lose their jobs. They are cautious to ask questions about their jobs, production methods, and
process parameters. If a supervisor or manager reflects the feeling that asking such questions is a squander of
time, then employees will be more focused about satisfying their supervisors than meeting long-term goals of the
organization. For that reason, creating an environment of trust is a significant task of management.
9. Break down barriers- people should work cooperatively with reciprocal trust, respect, and appreciation for the
needs of others in their work. Internal and external organizational barriers hamper the flow of information, put off
entities from perceiving organizational goals, and encourage the quest of subunit goals that are not essentially
align with the organizational goals. Barriers between organizational levels and departments are internal barriers.
External barriers are between the company and its suppliers, customers, investors, and community. Barriers can
be removed using better communication, cross-functional teams and changing attitudes and cultures.
10. Eliminate exhortations- do away with the use of slogans, posters and exhortations demanding zero defects and
new level of productivity from the workforces, with no commensurate methods provided. Such exhortations only
form adversarial relationships. The volume of the cases of low quality and low productivity belong to the system;
thus, lie outside the power of the workforce.
11. Eliminate arbitrary numerical targets- remove work standards that stipulate numerical quotas for the workforce
and the numerical goals for people in the management. Replace these with aids and useful supervision and
employ statistical methods for continual improvement of quality and productivity.
12. Permit pride of workmanship- eliminate the barriers that steal from hourly workers and people in the management
of their rights to pride of workmanship. This implies the eradication of the annual merit rating and management by
objectives. Again, the responsibility of managers, supervisors and foremen must be changed from absolute
numbers of quality.
13. Encourage education- Deming’s philosophy is founded on long-term, continuous process improvement that
cannot be carried out without properly trained and motivated employees. This point tackles the need for ongoing
and continuous education and self-improvement for the whole organization. This educational investment serves
the following objectives.

a) It leads to better motivated employees

b) It communicates the company goals to the employees
c) It keeps the employees up to date on the latest techniques and supports teamwork
d) Training and retraining offer a mechanism to ensure enough performance as the job responsibilities
change and
e) Through increasingly job loyalty, it lessens the number of people who “job-hop”.
14. Top management’s commitment- a clearly defined commitment by the top management to constantly improve
quality and productivity and strengthening of obligations to put into practice all these principles is always
advantageous to the workforce and the organization. Form a structure in the top management whose main task
will be to push these 13 points continually and take action in order to achieve the change.

Deming’s 7 Deadly Diseases

Deming’s seven deadly disease recaps the factors that he believes can slow down the transformation that the
fourteen points can bring about. The seven deadly diseases are:

1. Lack of constancy of purpose to plan products and services that have a market sufficient to keep the company in
business and provide jobs.
2. Stress on short-term profit; short-term thinking that is driven by a fear of unfriendly takeover attempts and
pressure from bankers and shareholders to generate dividends.
3. Personal review systems for managers and management by objectives with no methods or resources provided to
achieve objectives; includes performance evaluations, merit rating, and annual appraisals.
4. Job-hopping by managers
5. Using only evident data and information in decision making with little or no considerations given to what is
unknown or cannot be known.
6. Extreme medical costs.
7. Too much costs of liability driven up by lawyers who work on contingency fees.

Philip Crosby (18th June, 1962-19th August, 2001)

Philip Crosby came to national prominence with the publication of his book Quality is Free in 1979. He established
the absolutes of quality management, which states that the only performance standard is zero defects and the basic
elements of improvements.
While Crosby, like Deming and Juran stresses on the importance of the management’s commitment and error-
cause removal, some aspects of Crosby’s approach to quality are quite different from Deming’s. Zero defects, the heart to
Crosby’s philosophy, was censured by Deming as being directed at the wrong people and forming worker frustration and
bitterness. Goa setting, vital to Crosby’s theory was also scorned for leading to unhelpful accomplishment. The truth is that
Deming was most likely reacting to the wrong use of slogans and goals. Deming may not have censured them if they had
always been used correctly within the Crosby system.
 The essence of Crosby’s teaching is contained in what he calls the” four absolutes of quality”.
1. The definition- quality is conformance to requirements, not goodness
2. The system-prevention, not appraisal
3. The performance standard-zero defects
4. The measurement- the price of non-conformance to requirements, not quality circles.
He developed a 14-step methodology.
1. Management commitment- to make clear the management’s position on quality
2. Quality improvement team- to carry out the quality improvement program.
3. Quality measurement- to exhibit exiting and possible non-conformance problems in the way that permits
objectives evaluation and remedial action
4. Cost of quality- to identify the components of the cost of quality, and give details on its application as a
management tool.
5. Quality awareness- to give a method of elevating individual concern among the personnel in the company
towards the conformance of the product and service, and the status of the company on the subject of
quality.
6. Corrective action- to offer a systematic method of deciding the problems recognized through actions taken
in the past.
7. Zero defect planning- to study the different activities that must be performed as groundwork for officially
initiating the zero defects program.
8. Supervisor training- to name the type of training that supervisor required to energetically perform their
roles with regard to the quality improvement program.
9. Zero defect day- to produce an event that will allow all employees appreciate, through a personal
experience, that there has been change.
10. Goal setting- to twist premises and commitments into action by persuading individuals to set improvement
goals for themselves and their groups.
11. Error-cause removal- to offer individual employees a way of communicating to the management, the
situations that make it not easy for employees to fulfill the promise to improve.
12. Recognition- to be thankful for those who contribute
13. Quality councils- to bring collectively professionals in the realm of quality for planned communication on a
customary basis with the workforce and management alike.
14. Do it over again- to accentuate that the quality improvement never ends
Dr. Joseph Moses Juran (24th December,1904-28th February, 2008)
Dr. Joseph Juran Assisted the Japanese in their reconstruction processes after World War II. Juran First became
well-known in the US as the editor of the Quality Control Handbook (1951) and alter for his paper Introducing the quality
trilogies which are quality planning, quality control and quality improvement.
1. Quality planning- This involves identifying the customers’ needs and expectations, proposing products and
service, setting goals, giving training, implementation of projects, reporting, recognizing, and communicating
outcome and improvements in systems.
2. Quality control- this concerns creating standards, naming measurements and methods thereof, contrasting result
with actual standards and construing the differences and talking action on differences.
3. Quality improvement- this is about the use of structured annual improvements projects and plan, needs of
improvements, organizing to guide the projects, detecting the cause, giving and verifying remedies and
establishing control to keep up gains made.
Juran defined quality as “fitness for use” and also developed the idea of cost of quality. Juran propounded the following
message on quality:
1. Quality control must be essential part of management
2. Quality Is no mistake
3. Quality must be planned
4. There are no shortcuts to quality
5. Make use of problems as source of improvement

Juran’s formula consists of:

1. Create an awareness about the need and propose an opportunity for improvement
2. Set goals for improvements
3. Systematize paths to attain the goals (begin a quality council, identify problems, choose projects, assign teams,
delegate facilitators and so on)
4. Give training
5. Do projects to resolve problems
6. Inform progress
7. Provide recognition
8. Communicate outcome
9. Keep score
10. Uphold thrust by making yearly improvements component of the regular systems and processes of the company
In his view, the approach to managing for quality consists of:
1. The irregular problem is detected and acted upon by the process of quality control;
2. The constant problem needs a special process, namely, quality improvement;
3. Such a=constant problems are traceable to a poor-quality planning process.
Constant problems require the principle of “breakthrough”, whole irregular problems require the principle of “control”. He
further elaborates the sequence of activities required “breakthrough” and “control”. Breakthrough activities or quality
improvement include:
1. Breakthrough in attitudes- persuading those responsible that a change in quality level is advantageous and
practical;
2. Discovery of the vital few projects-determining which quality problem areas are essential;
3. Organizing for breakthrough in knowledge- defining the organizational system for attaining the knowledge for
accomplishing a breakthrough;
4. Formation of a steering arm- defining and staffing a system for directing the study for quality improvement;
5. Formation of a investigative arm-defining and staffing a system for executing the technical inquiry;
6. Diagnosis- collecting and examining the facts necessary and proposing the action desirable;
7. Breakthrough in cultural pattern- determining the effect of anticipated change on the people involved and looking
for ways to rise above opposition to change;
8. Breakthrough in performance-getting agreement to take action;
9. Transition to the new level- implements the change.
“Control” activities include:
1. Establish the quality goal
2. Identify customers
3. Discover customer needs
4. Develop product features
5. Develop process features
6. Establish process controls and transfer to operations
Dr. Walter Andrew Shewhart (18th March, 1981-11th March, 1967)
Dr. Walter Andrew Shewhart the “Grandfather of Quality Control” was a giant among giants in the quality
movement during the first half of the 20 th century. His mentoring of other engineers at Western Electric and his
groundbreaking work with control charts arguably led a quality revolution and launched the quality profession.
Walter Andrew Shewhart was born to Anton and Esta Barney Shewhart on March 18, 1891, in New Canton, IL.
Shewhart died on March 11, 1967, in Troy Hills, New Jersey. He received from the University of Illinois both bachelor’s
and master’s degrees. In 1914, he married Edna Hart and moved to California where he earned his doctoral degree in
physics while studying as a Whiting fellow at the University of California, Berkeley, in 1917. He had short stints of teaching
at University of Illinois, University of California at Berkeley, and La Crosse State Teachers College (renamed Wisconsin
State University), but his academic career was brief.
In 1918, Shewhart joined the inspection engineering department of the Western Electric Co. in Hawthorne, IL.
Western Electric manufactured telephone hardware for Bell Telephone Co. Although no one could have realized it at the
time, Shewhart would alter the course if industrial history.
Shewhart washart of a group of people who were all destined to become famous in their time. This group included
Harold Dodge and Harry Romig, known for their work on product sampling plans. George D. Edwards, who became the
first president of the American Society for Quality Control (renamed American Society for Quality) in 1997, was Shewhart’s
Suprevisor.
Shewhart mentored several during his tenure, including Joseph M. Juran. During the summers of 1925 and 1926,
W.Edwards Deming worked as an intern at the Hawthorne, Il, plant where he became interested in SHewhart’s work.
By 1924, shewhart determined the problem of variablitiy in terms of assignable cause and chance cause (Deming
named this as common cause). In May 16, 1924, shewhart prepared a message of less than one page in length and
forwarded it ti his manager, George Edwards. About 1/3 of the page was devoted to a plain diagram that people would
today recognize as a control chart. This memorandum set forth the essential principles and considerations that became
known as process quality control.
Shewhart’s principle was that bringing a process into a state of statistical control would permit the distinction
between assignable (such as unskilled workers or equipment not being calibrated) and chance cause variations. Through
keeping the process in control, it would be likely to forecast output and to cheaply manage processes. This was the birth
of the modern scientific study of process control.
Shewhart developed what came to be known as the Shewhart cycle: Plan-Do-Study-Act (PDSA) or plan-Do-
Check-Act (PDCA) to manage the effects of variations. He stressed that eliminating variability improved quality. His work
created the foundation for statistical process control measures used today.
Dr. Armand Feigenbaum (born in 1922)

Armand Feigenbaum is given the credit to the formation of the idea of total quality in his book Quality Control-
Principles, Practice and Administration (1961) and his article Total Quality Control (1956). The Japanese version of this
concept is called Company-wide Quality Control, while it is termed Total Quality Management (TQM) in the United States
and elsewhere. He was also the first to classify quality costs as costs of prevention, appraisal and internal and external
failures. Feigenbaum philosophy is summed up his three steps to quality which has been described as follow:

1. Quality leadership- this is apparent when the management stresses on sound planning rather than reacting to
failure. The management must maintain a constant focus and lead the quality effort.
2. Modern quality technology- the traditional quality development processes cannot resolve 80%-90% of quality
problems. This task involves integration of office staff, engineers as wel as the shop-floor workers who continually
assess and apply latest techniques to satisfy customers in the future.
3. Organizational commitment- continuous training and motivation of the whole workforce as well as a combination
of quality in business planning stage indicates the significance of quality and offers the means for including it in all
respects of the organization’s activities.

Feigenbaum 10 point on TQM include:

1. Quality is consciousness programmed not only a technical function.

2. Quality is not what an engineer or marketer says but it is that what the customer speaks of.
3. Quality and cost are a sum, not differences.
4. Quality must be organized to identify everybody’s job in the organization
5. Quality is a technique of managing an organization. Good management means continuous stress on the quality.
6. The quality improvement highlighting must take place all through all activities of the organization.
7. Quality is realized through assistance and contribution of each and every person related to the organization. It is
also ethic
8. Continuous quality improvement needs extensive range of new and existing quality technology of information
applications.
9. Total quality program approach leads to productivity and is most effective and less capital intensive.
10. Quality comes; it is clear, customer oriented, effective and structured.

Feigenbaum defines quality as the “total composite product and service characteristics of marketing, engineering,
manufacture and maintenance through which the product and service in use will meet the expectations of the customer”.
Effective total quality control needs, therefore, a high degree of functional integration.
One of the more well-known concepts developed by Feigenbaum was that of the “hidden plant”. He maintained
that within every company or factory a proportion of the capacity was wasted by not getting it right first time.

Quality control underlining that human relation was a fundamental issue in quality control activities, and such
things as statistics and preventive measures were only a fraction of the whole equation.

Prof. Kaoru Ishikawa (13th July, 1915-16th April, 1989)

Prof. Kaoru Ishikawa is the (Father of the quality circles” For his role in launching Japan’s quality movement in
1960s. he is recognized with developing the Idea of company-wide quality control in Japan. He established the use of
quality circles and championed the use of quality tools to know the root causes of problems. He developed one of those
tools, the cause-and-effect diagram, which is also known as the Ishikawa diagram or the fishbone diagram.
For Ishikawa quality is the” development, design, production and service of a product that is most efficient, most
helpful, and constantly acceptable to the consumer”. He advocates employee contribution as the input to the successful
implementation of TQM. He states that quality starts and culminates with education. In his book “what is Total Quality
Control?” Ishikawa said that the seven basic tools were “indispensable for quality control”. These tools are:
1. Process flow chart
2. Check sheet
3. Histogram
4. Pareto chart
5. Cause-effect diagram (Ishikawa diagram)
6. Scatter diagram
7. Control chart
Ishikawa believed that with these tools, managers and stuff could deal with and solve the quality problems facing
them. Ishikawa was the first quality guru to accentuate the importance of the internal customer, the next person in the
production process.
He influenced the development of participative, bottom-up view of quality which became the trademark of the
Japanese approach to quality management. Some of the key elements are:
1. Quality starts with education and culminate with education
2. The first step in quality is to know the customers’ requirements
3. The perfect stat of quality control happens when inspection is no longer compulsory
4. Take out the root cause, not the symptoms.
5. Quality control is the duty of all workers and all divisions.
6. Do not mistake means with the objectives.
7. Set quality first and set sights on long term profits
8. Market is the entry and way out of quality.
9. Top management must not demonstrate annoyance when facts are presented by subordinates
10. 99% of problems in a company can be resolved with easy tools for analysis and problem-solving
11. Data without dispersion information (variability) are fake data.
Ishikawa’s concept of total quality contains six fundamentals’ principles:
1. Quality first- not short-term profit first
2. Customer orientation-not producer orientation
3. The next step is your customer-breaking down the fence of sectionalism
4. Using facts and data to make presentations- use of statistical methods
5. Reverence for humanity as a management philosophy, full participatory management
6. Cross-functional management
Genichi Taguchi (1st January, 1924- 2nd June, 2012)
Dr. Taguchi was born in Japan and completed his graduation in the subject of Mechanical Engineering and
obtained PH. D in the year 1962. He is a Japanese quality expert known for his world in the area of product design. He
estimated that 80% of all defective items are caused by poor product design. Taguchi stressed that companies needed to
center their quality efforts on the design stage, as it was much less expensive and easier to make changes during this
stage later in the production.
Taguchi defines quality as the “loss imparted to the society from the time a product is shipped”. Examples of loss
include failure to reach ideal performance, failure to meet the customer’s requirements, breakdowns, and harmful side
effects caused by products. This means that the smaller the loss, the more desirable the product. The key elements of
Taguchi’s quality concepts are briefly stated below:
1. Quality improvement should focus on reducing the variation of the product’s key performance characteristics
about their target values.
2. The loss suffered by a customer due to a product’s performance variations is often just about proportional to the
square of the deviation of the performance characteristics from its target value.
3. The ultimate quality and cost of manufactured products are determined to a great extent by the engineering
design of the product and the manufacturing process.
4. A products or process’s performance variation can be lessened by exploiting the non-linear effects of the product
or process parameters on the performance characteristics.
5. Statistically planned experiments can be used to name the setting of product/ process parameters that reduce
performance variation.
Taguchi’s eight-point approach
1. Determine the main functions, side effect and loss modes
2. Determine the noise factors and the testing conditions for evaluating failure of quality
3. Determine the quality characteristics to be observed and the objective functions to be optimized.
4. Determine the control factors and their alternative levels.
5. Blueprint the matrix requirements and define the data analysis procedure
6. Carry out the matrix
7. Examine the data, identify optimum levels for the control factors and foresee performance under these levels.
8. Perform the confirmation experiment and prepare future actions.
Dr. Shingo Shigeo

Dr. Shingo Shigeo is the greatest contributor to modern manufacturing practices. While his name has modest
recognition in the western hemisphere, his teachings and principles have formed the backbone of efficient engineering
practices. In applying his experience and expertise in the field of industrial engineering, Dr. Shigeo was able to give a
better way of life for both the operators and the companies. His policies have earned reputation through outcome in
manufacturing among the companies that have implemented these teachings. In view of his contributions, Utah State
University founded the Shingo Prize for excellence in manufacturing in 1988. This rice encourages world-class
manufacturing and distinguishes companies that accomplish superior customer satisfaction and business results, and has
been matched up to a Nobel Prices for manufacturing.

Dr. Shigeo ‘s teachings can be classified into three concepts listed below.
1. Just in time (JIT) - the JIT manufacturing concept was originated in part due to the contribution of Dr. Shigeo and
Taichi Ohno of Tokyo Motor Corporations form 1949-1975. During this period Dr. Shigeo took responsibility of
industrial engineering and factory improvement training at Toyota Corporation. This is commonly referred to as JIT
or the Toyota Production System. The essential element in developing JIT was the use of the Ford System along
with the consciousness that factory workers had more to contribute than just muscle power. JIT is about supplying
customers with what they want when they want it. The aim of JIT is to diminish inventories by producing only what
is necessary when not is necessary. Orders are pulled through the system when prompted by customer orders,
not pushed through the system in order to attain economies of scale with the production of larger batches.
2. Single minute exchange of dies (SMED) - it is a system for speedy changeovers between products. The target is
to make simpler materials, machinery, process and skills to significantly decrease changeover times form hours to
minutes.
3. Zero quality control (ZQC) - the ZQC concept is based on the theoretically ideal scenario. However, quality
improvement can be made using these principles and concepts. DR. Shigeo’ basic idea was to implement error-
proofing devices in the assembly line to abolish the likelihood of flawed operations. In addition, his accent was on
targeting the root cause of defect whenever a defect took place, thereby almost abolishing the requirement for
statistical process control. The famous equation in the spirit of Zero Quality Control concepts formulated by the
Japanese quality guru Dr. Shingo Shigeo.
Poka-yoke Technique to Correct Defects+ Source Inspection to Prevent Defects=Zero Quality Control
This technique by Dr. Shigeo makes use of the following engineering principles:
a) 100% inspections done at the starting place instead of sampling inspections
b) Instant feedback from consecutive quality checks and self-checks
c) Poka-yoke designed manufacturing devices-poka yoke relates to stopping process as soon as a defect happens,
searching the defect source and avoiding it from occurring once more so that there will be reduced reliance on
statistical quality inspections and the production process will have zero defects.
Masaki Imai
Masaki Imai is the founder and president of Kaizen Institute who threw the word “Kaizen”. Kaizen refers to
continues or on-going improvement” in Japanese. Kaizen was originally introduced to the West by Masaki Imai in his book
Kaizen:
Kaizen is continuous improvement that is based on certain guiding principles:
1. Good processes carry good results
2. Go see for yourself to grab the present situation
3. Speak with data, direct by facts
4. Take action to contain and remedy root causes of problems
5. Work as a team
6. Kaizen is everyone’s business
Kaizen is an inseparable aspect of TQM which is mandatory in all activities of the organization. Kaizen has to essentially
carryout with small, step by step contiguous improvement. Smaller and continuous improvements are more realizable,
predictable, controllable and acceptable. Kaizen philosophy believes that people at all levels, together with the lowermost
kevels in the organizational hierarchy, can add to improvements. This is possible because Kaizen asks for simply little
improvements.
In order to carry on in an increasingly competitive world, top management must adopt a just-in-time approach and
drive change down the hierarchy without yielding to opposition. The key ideas associated with JIT were developed at the
Toyota Motor Company under the leadership of founder Eiji Toyoto whose father had founded the successful Toyota
Spinning and weaving company. JIT is the management philosophy that endeavors to get rid of sources of manufacturing
waste and producing the right part in the right place at the right time.
 GROUP 4
Kaizen

Kaizen is a philosophy that calls for people and their organizations to experience on going improvement at every level.
Through focusing on small, incremental change rather than dramatic innovation, Kaizen seeks to construct effective and
efficient processes and quality outputs.

Kaizen at the workplace means continuing improvement involving everyone, managers and workers alike. The Kaizen
business strategy involves everyone in an organization working together to make improvements without large capital
investments.

KAIZEN CONCEPTS

Kaizen is a Japanese word meaning continuous improvement. It is made up of two characters which are “kai”, meaning
“change”, and “zen”, which meaning “good”. It is used to describe a company culture where everyone, from the CEO to
the front desk clerk, regularly evaluates his work and thinks of ways to improve it. The concept is the small steps on a
customary basis will lead to large improvements in due course. Kaizen entails relatively little expense.

Kaizen originated in Japan as a result of World War II. Ironically, it evolved in part from American business leaders like Dr.
W. Edwards Deming who came to help restore the country. It was first introduced by a 1951 training film created by the
American Economic and Scientific Section (ESS), although Dr. Deming is largely created for instituting the principles of
Kaizen in Japan. Kaizen’s elimination of waste through maintenance and improvement of processes became fundamental
to Japanese management philosophy. It has since stretch around the world to companies and organizations wishing to
follow the success of Japanese business.

Toyota has been known as the initial company that has started Kaizen. The application that Toyota used was called
“Toyota Production System”, where all line personnel are expected to discontinue their moving production line in the case
of any irregularity, and suggestions for improvement are awarded reward. They succeeded eradicating all the wastes,
kaizen is used for placing the terms as productivity, total quality control (TQC), zero defects (ZD), and just-in-time (JIT).
Therefore, kaizen is a main concept for all these practices.

A lot of people have misunderstood about kaizen. People have the stereotype that kaizen can make dramatically change
immediately, and bring profits right away. However, this is not true. Improvements under kaizen are small and
incremental, but the kaizen will bring the huge result over time. Japanese management and western management are
different from the concept of the management. For western management, they are inclined to focus on the worship of
innovations which is pretty much relying on the changes in the technological breakthroughs. On the other hand, for the
Japanese management, kaizen is not usually remarkable incident. However, innovation is one-shot improvement and its
consequence are often problematic. While the kaizen process, which is based in common sense, low-cost approaches
and low risk approach, guarantees gradual progress that pays of overtime.

There are two type of kaizen which are gemba (Actual workplace) kaizen and teian (plan) kaizen. Gemba and teian kaizen
both intend to develop higher production and quality standards. Gemba kaizen is an action-oriented approach and refers
to improvement activities that are carried out I the actual workplace, like on the shop floor or on the manufacturing line.
Gemba kaizen involves all aspect of daily work that can be improved. Te heart of gemba lies in small changes that will
transform the overall success of the company not automatically right away but in the long run. Gemba kaizen methods are
quality circles and suggestion systems. In the quality circles, a specialized team develops and design ideas concerning
how to improve the company’s performance. Suggestion systems encourage employees to submit suggestions for
improving work process and customer satisfaction. Teian kaizen, on the other hand, represents theory-based approach
and refers to strategic improvements that are prejudiced by top management here, the implementation of latest processes
and practices play the dominant role. The overall goals of teian kaizen are improved business and manufacturing
practices. The most prominent teian kaizen methods include total quality control and in-just-time management.

It is also essential that management is trained and be behind the effort. Kaizen will is aimed resort in many more
suggestion for improvements and changes and will take away from a strict focus on moving items quickly through the
existing production process. Management must be prepared to recognize some time away from current work to focus on
changes with longer range impact.

Management has two major components which are maintenance. The objective of the maintenance function is to maintain
currents technological, managerial, and operating standards. The improvement function is aimed at improving current
standards. Under the maintenance function, the management must first establish policies, rules, directives and standards
operating procedures (SOPs) and then work towards ensuring that everybody follows SOP. The latter is achieved through
a combination of discipline and human resource development measures.

Under the improvement function, management works constantly towards modifying the existing standard, once they have
been mastered, and establishing higher once. Improvement can be broken down between innovation and kaizen.
Innovation involves a drastic improvement in the existing process requires large investments and big efforts. Kaizen
signifies small improvements as a result of coordinated continuous efforts by all employees.

Initiating and implementing TQM programs need great quantity of planning and research. Managers are required to
acquire training in various TQM practices prior to implementing the same. There are costs involve with the whole process
of TQM at the beginning of every financial year.

A manager needs to work closely with the senior management, human resource professional to develop perfect
implementation strategies. A manager has to act as a bridge between the senior management and the entire workforce.
 1. The role of a manager is to act as a facilitator at the work place. It is the duty of a manager to assist employees in
implementing TQM. As a manager, it Is also his responsibility to choose and assign right individuals who can work
as line manager and take charge of the whole project. The employees to be selected must be reliable and diligent
and capable as much as necessary to handle a key project like TQM. It is the manager’s responsibility to allocate
resources for TQM, schedule time for different training programs and be grateful for employees who come up with
variety of improvement ideas and strategies which would aid the organization bring better quality products.
Further train subordinate to guarantee smooth implementation of TQM without any obstacle

2. A manager must communicate the benefits of total quality management to all other member of the organization.
Call employees on common platform and address the benefits and importance of TQM. Make them understand
how successful implementation of TQM programs would give away to high quality products which would benefits
the organization and the employees as well the manner in which process are addressed is a key element of
kaizen. While in the west, innovation of radical change is often sought, kaizen hunts for constant incremental
change, which generates remarkable results eventually. Since the changes in kaizen are small, errors can
effortlessly be corrected with no involvement of much risk or expense. This is likely to make kaizen processes less
wasteful than innovation, where error can have tremendous loss effects.

PDC/ASDCA Cycles

Central to the philosophy of kaizen are two cycles that involve processes for improvement and for maintenance:
Plan-do-check-act (PDCA) and standardize-Do-Check-Act (SDCA). When improving processes, the following are
phases:

1. Planning phase: planning is the most vital phase of total quality management. In this phase employees have
to come up with their problems and queries which need to be addressed. They need to come up with their
various challenges they face in their day-to-day operations and also analyze the problem’s root cause
employees are required to do necessary research and collect relevant data which would help them find
solutions to all problems.

2. Doing phase- in the doing phase, employees develop a solution for the problems defined in planning phase.
Strategies are devised in implemented to overcome the challenges faced by employees. The effectiveness of
solutions and strategies is also measured in this stage.

3. Checking phase- checking phase is the stage where people actually do a comparison analysis of before and
after data to confirm the effectiveness of the processes and measure the result.

4. Acting phase: in this phase employees document their result and prepare

Standardization seeks to stabilize processes so they can be improved. Through understanding if a failure
occurred because of a poor or non-existent standard wasn’t followed, managers can implement specific
actions to correct it. Once a standard is put into place and put into practice, it can become the focus of the
PDCA cycle

The SDCA cycle ensures that improvement that have been done using kaizen works well and improvement
do not slide back. SDCA prevents the deterioration and therefore it is extremely important that both that
SDCA and PDCA cycles are well established. Improvement without standardization is still born to say the
least.

Standard is the best, safest easiest way, to achieve and maintain a defined quality level.

Standard should be:

1. Be simple clear and conspicuous

2. Be the best, easiest, safest way-should only have one at a time
3. Preserve know- how
4. Be guide-lines that enable performance
5. Measurement of task delegated
6. Assure quality, cost, delivery and safety
7. Show relationship between cause and effect

Putting quality first

Kaizen also talks about improving performance in terms of three dimensions which are quality, cost, delivery (QCD).
Quality is typically among the most essential criteria customer use to make the purchase. Quality is usually customer
defined and referred to as perceived characteristics and features of a product. This includes the quality of processes that
go into it.

Kaizen requires that quality is a primary goal. There could be so many goals for the firms to achieve such us goals of
quality, cost, delivery. However, the firm should always put quality first priority. Kaizen recognizes that without a quality
product, organizations will not to be able to complete. If managers make some changes on delivery to make it cheaper or
cutting costs somehow, and it ends up making the quality worse, they risk sacrificing not only quality but the life of the
business as well.

Cost is generally looked at coming from the manufacturer’s viewpoint, as the overall cost of making and selling a product.
An important factor, here is the elimination of waste in many aspects of work, such us production, inventory, repair.
Rejects, motion, processing and so on.

Delivery refers to bringing the necessary quantity of products in the right place at the right time. The company may offer
better prices using reduced cost and attractive delivery terms. However, this does not guarantee competitiveness, if the
quality of goods and services falls short of consumer expectations. Some cost-oriented managers do not resist the lure of
cutting cost at the expense of quality. This could work well in the short-term, but would likely to endanger not only
profitability, but also reputations and market position of the product in the long term.

The Next Process is Customer

The last concept of kaizen is that the next process is the customer. This means that all workers think that the next process
Is the customers. So, all workers in any process on no account pass on flawed parts or imprecise pieces of information to
those in next process particularly when the organization has a strong commitment to consumer satisfaction. If all workers
have to be cautious on what that are doing, the customer get the high-quality product and service as result.

Kaizen promotes the concept of internal and external customers. Through regarding every process in a series as a
customer of the preceding process, every stage of production can be concentrated for a quality result. Of each internal
customer is delivered high quality goods, the external customer will have a high-quality product to purchase.

Kaizen views the whole work in a specific organization as a series if interrelated processes where each consists of a
supplier and a customer. The supplier provides the process with inputs such as materials and or information. The supplier
can be another process within the organization or someone outside the organization. Same goes to the customer; the
customer is either someone in the organization (internal customer) or the final customer in the market (external customer).
The customer receives or deals with the output of the process. Having this in mind, all individuals within an organization
deal with customer either internal or external ones. That is the next process is always regarded as customer. Through
this, kaizen tries to set up a natural commitment to on-going process improvement throughout the organization to ensure
that external customers will always receive high quality products.

Kaizen Systems

Next, the systems of kaizen have to be understood. Kaizen encompasses many of the components of Japanese business
that have been seen as a part of their success. Total quality control/total quality management, just-in time delivery, total
productive maintenance, suggestion system, policy development, suggestion systems, and small-group activities are all
included within the kaizen system of running business.

TQM Control
Total quality control (TQC) and total quality management (TQM) are widely used in manufacturing, education, government
and service industry now. TQC/TQM have been developed as a strategy to help management in becoming more
competitive and profitable through helping it to improve in all phases of business. TQM necessitates that the company
uphold some quality standard in all phases of its business. These needs ensuring that things are completed right the first
time and that defects and waste are removed from operations.
TQC is a management tool for improving total performance. TQC means organized Kaizen activities involving everyone in
a company. Managers and workers alike should be part of a totally systematic and integrated effort toward improving
performance at every level. It is geared towards increased customer satisfaction through satisfying such corporate cross-
functional goals as quality, cost, scheduling manpower development, and new product development.
In Japan, TQC activities are not limited to quality control alone. Elaborate system of Kaizen strategies has been
developed as management tools within the TQC approach. TQC in Kaizen is a movement intended at improvement of
managerial performance at all levels.
According to the Japan Industrial Standards, “implementing quality control effectively necessitates the corporation of all
people in the company, including top management, managers, supervisors, and workers in all areas of corporate activities
such as market research and development, product planning, design preparation for production, purchasing, vendor
management, manufacturing, inspection, sale and after-sale services, as well as financial control, personnel
administration, and training & education. Quality control carries out in this manner is called company-wide quality control
or total quality control (TQC)”.

Quality control in Japan deals with quality of people. It is the fundamental concept of the Kaizen- style TQC. Building
quality into its people brings a company a half-way towards producing quality products
JIT Production System
Many people have misconstrued Just-in-Time (JIT) production. In one of most frequent misunderstandings, a company
expects its suppliers to deliver just-in-time. However, JIT production has something with internal process. JIT is a
revolutionary way to trim down cost while at the same time meeting the customer’s delivery needs. For example, new
stock will be ordered automatically when stock reaches the re-order point level. So, this system ensures that the firm can
maintain the minimum required number of stocks every day, which saves a lot of inventory costs. Also, the firm can meet
the customer’s delivery needs.
Elements of JIT
1. Make stable and level the Master Production Schedule (MPS) with uniform plant loading create a uniform load on
all work centres through regular daily production and mixed model assembly.
2. Decrease or eliminate set up times. Aspire for single digit set up times less than 10 minutes or one touch setup.
This is done through better planning, process, redesign, and product redesign.
3. Trim down lot sizes. Decreasing set up times allows economic production of smaller lots, close cooperation with
suppliers which is necessary to realize reduction.
4. Shrink lead times. Production lead times can be reduced by moving work stations close together, applying group
technology and cellular manufacturing concepts, reduce wait-in-line length and improving the coordination and
cooperation between successive processes. Delivery lead times can be decreased through close cooperation with
suppliers, perhaps by inducing suppliers to be located very near to the factory.
5. Preventive maintenance. Use of machine and worker idle time to preserve equipment and avoid breakdown.
6. Flexible work force. Workers should be trained to work on several machines, to carry out maintenance tasks, and
to do quality inspections.
7. Oblige supplier quality assurance and execute a zero-defect quality program. Small lots (single unit) conveyance.
Make use of a control system like Kanban system (or other signalling system) to transport parts between work
stations in smaller quantities. In its better sense, JIT with Material Requirements Planning (MRP) system is used
to transport the parts between workstations.
Total Productive Maintenance
In industry, total productive maintenance (TPM) is a system of maintaining and improving the integrity of production and
quality systems through the machines, equipment, processes and employees that add business value to an organization.
TPM focuses on maintaining all equipment in top working conditions to avoid breakdowns and delays in manufacturing
processes.
The term total productive maintenance is attributed to Nippodenso, a company that created parts for Toyota. However,
Seiichi Nakajima is regarded as the father of TPM because of his numerous contributions to TPM.
One of the main objectives of TPM is to increase the productivity of plant and equipment with a modest investment in
maintenance. Total quality management (TQM) and total productive maintenance (TPM) are considered as the key
operational activities of the quality management system. In order for TPM to be effective, the full support of the total
workforce is required. This should result in accomplishing the goal of TPM: “Enhance the volume of the production,
employee, morale and job satisfaction.”
Total Productive Maintenance (TPM) is a modern Japanese concept. The origin of TPM can be traced back to 1951 when
preventive maintenance was initiated in Japan. However, the concept of preventive maintenance was taken from USA.
Nippondenso was the first company to begin plant wide preventive maintenance in 1960. Preventive maintenance is the
concept wherein, operators produced goods using machines. However, with the automation of Nippondenso,
maintenance became a problem as more maintenance personnel were required. So, the management decided that the
routine maintenance of equipment would be carried out by the operators which are termed as autonomous maintenance,
one of the features of TPM. Maintenance group took up only essential maintenance works.
Thus, Nippodenso which already followed preventive maintenance also added autonomous maintenance made by
production operators. The maintenance crew went in the equipment modification for improving reliability. The
modifications were made or incorporated in new equipment which leads to maintenance prevention. Thus, preventive
maintenance along with maintenance prevention and maintainability improvement was to get the most out of plant and
equipment effectiveness to attain optimum life cycle cost of production equipment.
By then Nippodenso had made quality circles, involving employees’ input. Thus, all employees took part in implementing
productive maintenance. Based on these developments Nippodenso was awarded the distinguished plant prize for
developing and implementing TPM, by the Japanese Institute of Plant Engineers (JIPE). Thus, Nippodenso of the Toyota
group became the first company to achieve the TPM certification.
Another objective of TPM is to increase the overall equipment effectiveness (OEE) of plant equipment. TPM also
addresses the causes for accelerated deterioration while creating the correct environment between operators and
equipment to create ownership.

OEE has three factors which are multiplied to give one measure called

OEE Performance x Availability x Quality = OEE

Each factor has two associated losses making 6 in total, these 6 losses are as follows:
1. Performance-running at reduced speed and minor tops
2. Availability-breakdowns and product changeover
3. Quality- start-up rejects and running rejects
The eight pillars of TPM are mostly focused on proactive and preventive techniques for improving equipment reliability:

1. Focused Improvement
2. Autonomous maintenance
3. Planned maintenance
4. Quality maintenance
5. Cost deployment
6. Early equipment management
7. Training and education
 8. Safety health environment

Types of Maintenance

1. Breakdown Maintenance- it means that people waits until equipment fails and repair it. Such a thing could be
used when the equipment failure does not significantly affect the operation or production or generate any
significant loss other that repair cost.
2. Preventive Maintenance- it is a daily maintenance (cleaning, inspection, oiling and re-tightening), design to retain
the healthy condition of equipment and prevent failure through the prevention of deterioration, periodic inspection
or equipment condition diagnosis, to measure deterioration. It is further divided into periodic maintenance and
predictive maintenance. Just like human life is extended by preventive medicine, the equipment service life can be
prolonged by doing preventive maintenance.
a. Periodic Maintenance (Time based maintenance-TBM)- time based maintenance consists of
periodically inspecting, servicing and cleaning equipment and replacing parts to prevent sudden
failure and process problems.
b. Predictive Maintenance- this is a method in which the service life of important part is predicted based
on inspection or diagnosis, in order to use the parts to the limit of their service life.
3. Corrective Maintenance- it improves equipment and its components so that preventive maintenance can be
carried our reliably. Equipment with design weakness must be redesigned to improve reliability or improving
maintainability.
4. Maintenance Prevention- it indicates the design of new equipment. Weakness of current machines are sufficiently
studied (on site information leading to failure prevention, easier maintenance and prevents of defects, safety and
ease of manufacturing) and are incorporated before commissioning a new equipment.
Policy Development
People follow policies, good or bad. The need, therefore, is for organizations in developing countries to realize the
importance of clear, well-defined policy statements on quality, reflecting management’s commitment and orientation and
to propagate them through various modes, such as circulation of documents, newsletter, training, meetings, pledge cards
and personal contacts.
It needs to state the level of defects or errors that is acceptable. The policy also needs to state the relationship between
the company and the customer. The policy should be direct and concise and should clearly define management’s
commitment to quality. The policy on quality has to be a statement that will not be misunderstood. It has to cover
conformance to requirements, time and money.
Once the policy is written, management needs to determine how to explain it to employees. The best methods are for top
executives to meet personally with groups of employees to explain the policy. This also ensures that the commitment and
interest of top management is properly understood by all.
Suggestions Systems
Suggestion system is regarded as individual-oriented kaizen. Suggestion system encourages all workers to talk about
their suggestions orally with supervisors and out them into action right away, even before submitting suggestions forms.
The suggestion system is an integral part of an established management system that aims at involving employees in
kaizen. The number of worker’s suggestion is regard as important criteria in reviewing the performance of the worker’s
supervisor and the manager of the supervisor.
The three stages of the suggestion system

1. Encouragement- in the first stage, management should make every effort to help the workers provide
suggestions, no matter how primitive, for the betterment of the worker’s job and the workshop. This will help the
workers look at the way are doing their jobs.
2. Education- in the second stage, management should stress employee education so that employees can provide
better suggestions. In order for the workers to provide better suggestions, they should be equipped to analyze
problems and the environment.
3. Efficiency-only in the third stage after the workers are both interested and educated, should management be
concerned with the economic impact of the suggestions.

Small Group Activities

A kaizen includes small-group activities-informal and voluntary groups organized to carry out specific tasks in a workshop
environment. The quality circles are the most popular type. Quality circles are designed to address not only quality issues
but also such issues as cost,safety and productivity. Quality circles are regarded as group-oriented kaizen activities.

Small group activity (SGA) is also known as focused or continuous improvement in English. SGA finds its origin in the
Japanese industry where it is called Quality Circles (QC). SGA is a method for problem solving in teams by structurally
searching for the root causes and eliminating them. After standardization of the solution the reoccurrence of the problem
is prevented. The feeling of ownership is intensified because those who are directly involved solve the problem in a
multifunctional team.

The members of the team learn to use techniques (cause and effect diagram, Fishbone-diagram) to find and eliminate
root cases. The tram is also taught communication skills, working in teams and decision making, in order to use each
other’s knowledge and experience.
 GROUP 5

Pareto diagram

There are several basic tools of quality can be used singularly or in tandem to investigate a process and identify areas for
improvement, although they do not all necessarily need to be used. If a process is simple enough or the solution obvious
enough any one may be all that is needed for improvement. They provide a means for doing so based on facts, not just
personal knowledge, which of course can be tainted or inaccurate. Ishikawa advocated teaching these basic tools to every
member of a company as a means to making quality endemic throughout the organization. Different tools are used for
different problem-solving opportunities and may of the tools can be used in different ways.

1. Pareto Diagram/Chart

Vilfredo Pareto was an economist who noted that a few people controlled most of a nation’s wealth. “Pareto’s Law” has
also been applied to many other areas, including defects, where a few causes are responsible for most of the problems

The Pareto Principle is based upon the principle which states that 80% of a problem is attribute to 20% of its cause, or
inputs. A Pareto Chart organizes and displays information in order to demonstrate the relative importance of various
problems or causes of problems. It is a vertical bar chart with items organized in order from the highest to the lowest,
relative to a measurable effect such as frequency, cost and time.

It is simple to observe how to prioritize improvements efforts looking at the number of defects from the largest to the
smallest occurrences. The most major problems stand out and can be targeted first.

Pareto charts can help prioritize quality problems and separate the “vital few” problems from the “trivia many” by plotting
the frequencies and corresponding percentages of a categorical variable, which show how to focus efforts and resources.

2. Cause-and-Effect diagram

First used by Ishikawa in the 1940s, a cause-and-effect diagram, also known as a fish-bone diagram is employed to
identify the underlying symptoms of a problems or “effect” as a means of finding the root cause. The structured nature of
the method forces the user to consider all the likely causes of a problem, not just the obvious ones. Through the
combination of brainstorming techniques with graphical analysis it is also useful in sorting out the complicated
relationships that may, in combination, drive the problem.

It is called cause and effect diagrams after its function and fishbone diagram after its appearance. Its function is to identify
the factors that are causing and undesired effect (defects) for improvement action, or to identify the factors needed to
bring about a desired result (a winning proposal). The factors are identified by people familiar with the process involved.
As a starting point, major factors should be designated using the “four M’s”: Method, Manpower, Material and Machinery;
or the four P’s”: Policies, Procedures, People and Pant. Factors can introduction to the statistical design of experiments.

In order to use cause and effect diagram as a tool, there is a need to first identify the problem one is trying to solve and
simply write it in the box (head of the fish) to the right. Next, he will list the major cause of the problem on the spine of the
fish. Causes are then identified during brainstorming with a group familiar with the problem.
 3. Control Charts

Dating back to the work of Shewhart and Deming, there are several types of control chart. They are practically complex
statistical tools that measure how a process changes over time. Through plotting this data against pre-defined upper and
lower control limits, it can be determined whether the process is steady and under control, or if it i consistent or when
there are high or low outliners in the occurrences of data.

Control chart focuses on monitoring performance overtime by looking at the variation in data points and, distinguishes
between common cause and special cause variations. The Dow Jones Industrial Average is a good example of a control
chart.

Control chart is used to monitor processes that are in control, using means and ranges. It represents data, like sales,
volume, customer complaints in chronological order, showing how the values change with time. In a control chart each
point is given individual significance and is joined to its neighbors. Above and below the mean, Upper and Lower Warning
and Action lines (UWL, LWL, UAL, LAL) are drawn. These act as signals or decision rules, and give operators information
about the process and its state of control. The charts are useful as historical record of the process as it happens, and as
an aid to detecting and predicting change.

Control charts are the most complicated of the basic tools of TQM, but are based on simple principles. The charts are
made by plotting in sequence the measured values of samples taken from a process. For example, the mean length of a
sample of rods from a production line, the number of defects in a sample of product, the miles per gallon of automobiles
tested sequentially in a model year, and so on. These measurements are expected to vary randomly about some mean
with a known variance. From the mean and variance, control limits can be established.

Control Limits are valuing that sample measurements are not expected to exceed unless some special cause changes the
process. A sample measurement outside the control limits therefore indicate that the process is no longer stable, and is
usually reason for corrective action.

4. Histogram

Histograms are a form of bar chart. They are used to measure the frequency distribution of data that is normally grouped
together in ranges or “bins”. Most frequently they are used to tell the different regularity of occurrence in long lists of data.
For instance in the list 2,2,3,3,3,3,4,4,5,6 the number 3 occurs the most frequently. However, if that list comprises several
hundred data points, or more it would be difficult to ascertain the frequency. Histograms provide an effective visual means
of doing so.

Histograms shows patterns that fall within typical process conditions. Changes in a process should trigger new collection
of data.
 5. Scatter diagram

A scatter diagram is used to identify whether there is a relationship between two variables. It does not prove that one
variable directly affects the other, but is highly effective in confirming that a relationship exists between the two. Variables
often represent possible causes and effect.

A scatter diagram is a graphical representation of how one variable changes with respect to another. The variables are
plotted on axes at right angles to each other and the scatter in the points gives a measure of confidence in ant correlation
shown.

They show whether tow variable is related, or prove that they are not, the type of relationship if any, between the variables
and how one variable might be controlled, by suitably controlling the other. They also make predictions of values lying
outside the measured range.

6. Check Sheet
The Check Sheet is a simple document that is used for collecting data in real time and at the location where the data is
generated. The document is typically a blank form that is designed for the quick, easy, and efficient recording of the
desired information, which can be either quantitative or qualitative. When the information is quantitative, the check sheet
is sometimes called a tally sheet. The check sheet is one of the seven basic tools of quality control made popular by Dr.
Kaoru Ishikawa.

A defining characteristic of a check sheet is that data is recorded by making marks (“checks”) on it. A typical check sheet
is divided into regions, and marks made in different regions have different significance. Data is read by observing the
location and number of marks on the sheet. Five basic types of check sheets include:

Classification check sheet: A trait such as a defect must be classified into a category. If you just kept track of the total
defects, you would know that you had 101 total defects. That is somewhat useful but that, in and of itself, does not provide
much insight as to which day is the worst day or which source of defects is in the worst shape, etc. With a classification
check sheet, it provides a visual overview of the problem areas.

7. Stratification
Stratification analysis is a quality assurance tool used to sort data, objects, and people into separate and distinct groups.
Separating your data using stratification can help you determine its meaning, revealing patterns that might not otherwise
be visible when it’s been lumped together.

Whether you’re looking at equipment, products, shifts, materials, or even days of the week, stratification analysis lets you
make sense of your data before, during, and after its collection.

To get the most out of the stratification process, consider which information about your data’s sources may affect the end
results of your data analysis. Make sure to set up your data collection so that that information is included.