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TQM and Continuous Improvement1. Signs of Un-quality2. Quality Defined3. TQM Defined4. Traditional vs. TQM Culture5. TQM: How It Is Achieved6. Tools for Generating Ideas7. Five-phase Approach to
Implementation8. The Malcom Baldrige Quality Award
Signs of Un-Quality
ProcessTime
Increases
ProcessTime
Increases
Number ofInspectionsIncreases
Number ofInspectionsIncreases
Number ofMeetingsIncreases
Number ofMeetingsIncreases
CustomerComplaints
Increase
CustomerComplaints
Increase
ExperiencedWorkersLeave
ExperiencedWorkersLeave
Micro-Management
Micro-Management
Quality. . .
. . . Is a dynamic state associated with products, services, people, processes, and environments that meet or exceed current expectations.
TQM: A Definition
TQM is a team-based cooperative form of doing business that relies on talents and capabilities to continually improve quality and productivity.
Two Key Philosophies:
۰Continuous Improvement
Traditional vs. TQM Culture
Aspect Traditional TQM
ObjectivesObjectives Short term,Inconsistent
Short term,Inconsistent
Long and short term,consistent
Long and short term,consistent
ManagementManagement Open, encouragesemployee input
Open, encouragesemployee input
Issue orders,enforce
Issue orders,enforce
Coach, remove barriers,build trust
Coach, remove barriers,build trust
CustomerRequirements
CustomerRequirements
Not highest priority,may be unclear
Not highest priority,may be unclear
Highest priority,identify and understand
Highest priority,identify and understand
MissionMission Maximize ROIMaximize ROI
Traditional vs. TQM (cont.)
ProblemsProblemsAssign blame,
punishAssign blame,
punishIdentify and
resolveIdentify and
resolve
Problem solvingProblem solvingNot systematic,
individualsNot systematic,
individualsSystematic,
teamsSystematic,
teams
ImprovementImprovement ErraticErratic
AdversarialAdversarial PartnersPartners
JobsJobsNarrow,
specializedNarrow,
specializedBroad, more
generalBroad, more
general
FocusFocus ProductProduct
Aspect Traditional TQM
Elements of TQM۰Continuous improvement
۰Competitive benchmarking
۰Employee empowerment
۰Team approach
۰Decisions based on facts, not emotions
۰Knowledge of tools
۰Supplier quality
Tools for Generating Ideas
۰Brainstorming
۰Quality Circles
۰Benchmarking
Benchmarking
۰What Organization Does It the Best?
۰How Do They Do It?
۰How Do We Do It Now?
۰How Can We Change to Match or Exceed the Best?
Tools for Generating Ideas
۰Brainstorming
۰Quality Circles
۰Benchmarking
۰The 5W2H approach
The 5W2H Approach۰What?
۰Why?
۰Where?
۰When?
۰Who?
۰How?
۰How Much?
Five-Phase Approach to Implementation
Phase 1:Preparation
Phase 1:Preparation
Phase 2: PlanningPhase 2: Planning
Phase 3:Phase 3:
Phase 4: ImplementationPhase 4: Implementation
Phase 5: DiversificationPhase 5: Diversification
Phase 1: Preparation
۰Develop A Vision Statement
۰Develop Goals
۰Outline Policy
۰Communication
۰Empowerment
Phase 2: Planning۰Forming A Team
۰Training
۰Identifying Expectations
۰Identifying Obstacles
۰Selecting & Training A Coordinator
۰Prioritizing
۰Identifying Support Services
Phase 3:
۰Customer Survey
۰Organizational Assessment
۰TQM Planning Inventory
۰Training Feedback
Phase 4: Implementation
۰Selecting & Training Support Personnel
۰Training Management & the Workforce
۰Executive Reinforcement
۰Controlling
Phase 5: Diversification
۰Supplier Involvement
۰Competitive Analysis
۰Select Strategic Suppliers
۰Certify Suppliers
۰Networking
Baldrige Award Criteria Framework
SeniorExecutive
Leadership
SeniorExecutive
Leadership
Quality andOperational
Results
Quality andOperational
Results
Informationand Analysis
Informationand Analysis
CustomerFocus and
Satisfaction
CustomerFocus and
Satisfaction
StrategicQuality
Planning
StrategicQuality
Planning
HumanResource
Developmentand
Management
HumanResource
Developmentand
Management
Managementof ProcessQuality
Managementof ProcessQuality
“Driver”“Driver”
SystemSystemGoalGoal
•Customer Satisfaction•Customer satisfaction relative to competitors•Market Share
Measures ofProgress
Measures ofProgress
•Product and service quality•Internal quality and productivity•Supplier quality
Baldrige Award WinnersMotorola’s quality control problems:
۰poorly designed assemblies
۰incorrect parts ordered or shipped by suppliers
۰defective or damaged parts from suppliers
۰machinery incapable of operating within control limits
۰insufficient training
Baldrige Award Winners
AT&T’s Three Priorities for Quality
۰First, to step up their efforts to have the best quality in the world.
۰Second, to keep striving for an operating style and behavior that focused more sharply on customer needs.
۰Third, to continue to develop into a truly global corporation.
Baldrige Award Winners
“We listen, we learn, and we act constantly so that the quality of our products and services will keep improving.”
Globe Metallurgical, Inc.
Baldrige Award Winners
Total Quality is “performance leadership in meeting customer requirements by doing the right things right the first time.
We’ve developed a culture where employees involved in quality are the norm. The Total Quality attitude is so pervasive that it’s those who don’t participate who are the exception.
Westinghouse Electric
Baldrige Award WinnersLeadership through quality was a long-term
process meant to change the way our people worked and managed so they could continuously improve the way they met the requirements of the customers.
The Baldrige process is valuable because it forces you to look at your company the way the customer sees it - not the way you think it is.
Xerox
Baldrige Award Winners
You can’t simply place people on teams and expect the outcome to be favorable. In order to achieve success, you need to create an atmosphere that is conducive to teamwork and establish some guidelines.
The Wallace Company
Baldrige Award Winners
A business can survive only through improvement. The Baldrige forces you to stay on your toes.
It’s a beautiful system. I think companies will take it seriously, use it primarily as a tool for improvement, and work hard to reap tremendous benefits in a short period of time.
Granite Rock
Baldrige Award WinnersEight great benefits Baldrige has brought:1. More aggressive, strategic goal setting.2. Enhanced quality awareness.3. Improved customer awareness.4. Better benchmarking.5. Development of new, quality-driven operations.6. Improved supplier management.7. Stronger employee participation and
recognition.8. Problem-solving through teambuilding.
Ten Commandments of Continuous Improvement
1. Put the customer first.2. 3. Design quality into products
and services.4. Improve everything, continually.5. Create and support a safe and
open work environment.
Ten Commandments of CI (cont.)
6. Do not shoot the messenger. 7. Stop imitating the Japanese. 8. 9. Do not sacrifice long-term
improvements for short-term profits.
10. Quality is not enough.
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