Lec 09-TQM-BBA-RIU

4/11/2012

1

1

TQM for Managers

Sohaib Saleem

4/11/2012

2

2

Common sense is

not so common

(Voltaire)

4/11/2012

3

3

Never doubt that a small group of

thoughtful committed people can change

the world: indeed it's the only thing that

ever has!" Margaret Mead

4/11/2012

4

4

There are those who make things happen. There are those who watch things happen. And there are

those who wonder what happened

4/11/2012

5

5

A man who wants to lead the orchestra must turn his back on the

crowd. James Crook

4/11/2012

6

6

TQM is fundamental shift from what has gone before.

Systematic analysis, pre-planning, & blueprinting of operations remains essential, but focus switches from

process driven by external controls through procedure compliance &

enhancement to process of habitual improvement, where control is embedded within & is driven by

culture of org.

4/11/2012

7

7

TQM is an

approach for continuously improving quality of

goods & services delivered through participation of all levels & functions of

org.

4/11/2012

8

8

TQM Continuous Improvement

Philosophy based on quest for progress &

improvement.

Looks for continual improvement in areas

of:

Cost, reliability, quality, innovation,

efficiency & Business Effectiveness.

4/11/2012

9

9

Main driving force is belief & commitment

(Quality driving force)

with Strategic & Operational Objectives as outputs.

Dynamic way to perform with determination to

improve in all areas.

4/11/2012

10

10

Quality

Assurance

Process

Control

Facility

mgmt

Operations

planning

Product

design

Marketing Training Financing

Management

Forecasting

Supplies

Customer

relation

Technology

adaptation

Production

System Integration

of

Quality function

TQM: Integrated Organizational System

4/11/2012

11

11

Role of Engg in Traditional Org System

Model

Distribution

Assembly/

inspection

Manufacturing

R&D

Marketing Engineering

component

HR

component

Finance

component

No

Value

added

Value

Adding

activities

Productive section Support section

4/11/2012

12

12

Engineer As Manager

Engrs tend to aspire to career in mgt once

Progressed well enough in their jobs.

Transition of Engg specialist

from Technical role to Managerial role

leads to dramatic change

in time utilization as far as

Skills & Knowledge

are concerned.

4/11/2012

13

13

From Engrs To Mgrs: Growing Role

Technical

85%

Technical

30%

Decision-making

60%

Others 5%

Decision-making

8%

Supervising

2%

Supervising

1%

Others

9%

Technical

Specialist Manager

4/11/2012

14

14

Integrated Model of Organizational Process

Inputs

Sub-processes

Value

added mgt

activities

Outputs

to internal & external

customers

4/11/2012

15

15

Propagation Cycle for Productivity Improvement

Input Output Process Process Output Process Output

Input VA2

VA1

VAn

Input

4/11/2012

16

16

Operations

Product development

Customers

Marketing

Further product

development

etc

Customers

Spiral of Progress in Quality

4/11/2012

17

17

The Oakland Model on TQM

Team

Tools Systems

Commitment

4/11/2012

18

18

Integrated TQM Model Based

on Actions Approach

TQC

Mission statement

Continuous quality

improvements

Mgt

commitment

Customer

focus

Total

participation

Statistical

quality

control

Systematic

problem

Solving focus

4/11/2012

19

19

TQM

i. Mission to succeed by working very

closely with customers & meeting their

requirements with intended commitment

to better standard & levels of service (s)

all time.

ii. TQM has to be driven by champions at

highest level possible. Senor mgt

commitment is major prerequisite for

success.

4/11/2012

20

20

TQM

iii. Orgs:Lean & fit for external battles of

changes

in market place.

Achieved by Q systems which introduce:

a. Discipline &

b. monitor performance

iii. Reliance on:

a.Human machine &

b. Peoples creativity in order to succeed.

4/11/2012

21

21

TQM strongly emphasis need to

focus on :

every single aspect of business from

point of view of: Adding Value.

Nothing is perpetual, nothing is just

supportive, everything adds value.

4/11/2012

22

22

TQM does not just over-emphasize front end

activities such as marketing, which is

traditionally considered to be key link in customer-

supplier chains.

4/11/2012

23

23

TQM presents customer-supplier

chain in much wider context,

Where meeting customer

requirements becomes overall

organizational objective.

4/11/2012

24

24

Oakland Model of TQM

Mgt commitment: Identifies- Role of leading &

introducing change has to stem from senor mgt team.

Their commitment has to be reflected by:

Levels of investment in required area:

Amount of risk taken for achievement of success.

4/11/2012

25

25


Customer-supplier: Component is Heart of Oakland

pyramid. Reflects:

1. Process ownership,

2. Process mgt &

3. Process improvement propelled throughout

chain.

Systems: Approach of having documented sets of

procedures & standards of doing things right

first time & every time.

4/11/2012

26

26


SPC Tools: Imp aspects of TQM

need to continuously measure & control conformance

to customer requirements &

agreed standards &

correct quickly defective measures &

keep performance.

Team work: Means

Culture based on continuous improvement to be

1. instigated,

2. Encouraged &

3. implemented throughout org.

4/11/2012

27

27

Integrated Model Based on Actions

Approach

Model proposes that continuous

improvement in quality to come from:

Integrated approach of controlling

quality

via action plans in

different operations of

business cycle.

4/11/2012

28

28

Integrated Model Based on Actions Approach

5 important element in this model:

Customer focus: Customer may be ultimate

consumer external to org or internal user receiving

internal service. Customer focus therefore means

that all individuals in org have to focus on quality

of process in delivering services to customer

(internal & external).

4/11/2012

29

29


Mgt Commitment: -in form of:

Changing Attitudes & Expectations &

Establishing systems for:

Q measurement & Control.

Can also be in form of setting goals- Achievable &

Challenging to orgs future

& In providing:

Right Resources,

Skills, etc.

4/11/2012

30

30


Total Participation:

People at grassroots level produce goods & services that:

Benefit end customer.

Workers who best understand problems associated with

product/service delivery cycle

Should be ones to be encouraged to improve process.

Participation : Means by which intangibles like:

Morale,

sense of belonging &

responsibility - improved.

4/11/2012

31

31


Statistical Quality Control:

Use of various statistical techniques to analyze collected data

& solve various problems

Systematic Problem-Solving Process:

Based on customer focus element & relies on:

Plan-Do-Check-Action (PDCA) cycle to improve whole

business process.

Info- obtained from:

Customer feedback, survey & other info

4/11/2012

32

32

8 Components of Successful TQM

Model looks at organizational &

HR factors more closely than at

Techniques,

Systems & Standards.

Changing Organizational Culture:

Agreed : Power of orgs should be distributed to

instigate sense of belonging &

feelings of loyalty & commitment throughout.

4/11/2012

33

33


Changing Orgl Culture involves 5 Points

1. Making mgt commitment genuine & evident.

2. Process has to be kept serious, but people should

be allowed to have fun

3. Every aspects of process should be make positive.

It is punitive, it will go underground.

4/11/2012

34

34


4. Every level of mgt & supervision to be

make fully conversant with notion of:

How to achieve Quality.

5. Requirements have to be:

Make explicit to be easily understood by

all parties.

4/11/2012

35

35


Involving employee:

Employee involvement depends very much on changing

organizational culture.

Role of employees

As glue which holds org together.

Play role in decision-making,

Their advice has to besought,

They should be encouraged to state their Opinions,

forums & gatherings between mgt &

Workers are encouraged, etc.

4/11/2012

36

36

A Model on the Eight

4/11/2012

37

37


Building incentives:

To strengthen orgs overall P & Q,

various employee incentive program introduced.

Incentives based on:

modified/improved suggestion systems,

profit sharing programs,

autonomous work groups

4/11/2012

38

38

Satisfying customer:

Developing culture based on

working hard to improve quality of

operations by

Improving system rather than

Blaming individuals.

4/11/2012

39

39


Eliminating Barriers:

Eliminate bureaucracy,

Focus on processes,

control mechanisms &

Ensure Lines of Authority & Responsibility

means of facilitating implementing TQM

Rather than:

Hindering it.

4/11/2012

40

40

8 Eight Components of Successful TQM

Using Tech & Innovation: Tech: forefront of improving quality.

Product/service provided in any standard or form

customer requires.

Tech Provide orgs with flexibility to:

React to changes &

Can ensure continuous flow of info

Improve communication processes vital for

Life of any Business.

4/11/2012

41

41


Working With Suppliers & Contractors:

Good Supplier-customer Relationships:

Facilitate Process of Discussing various aspects of:

Customer service &

Client problems.

Evaluation of Causes of Errors

leads to Elimination of Systemic Problems.

Links be Conducive to Positive Product(service)

development/customer set-up.

4/11/2012

42

42


Measuring progress:

TQM measurement -related to How good orgs being

controlled & led.

To strive for Q & P improvements, some yardsticks

in areas of:

i. Good understanding of org as system & its various

processes/activities.

ii. Various goals & obj for performance improvement

have to be clearly defined & identified.

iii. Progress recorded, analyzed & measured in all

aspects of org.

4/11/2012

43

43

TQM: Building Blocks

Quality planning

Leadership

Vision for world class

competitiveness

SP

C,

SQ

C,

BS

57

50

Use

r-su

pp

lier

Ch

ain

Mg

t co

ntr

ol

syst

ems:

OP

T/M

RP

II/J

IT

Pro

cess

fle

xib

ilit

y

FM

S,

CN

C, A

MT

, C

IM,

CA

DC

AM

Wo

rkp

lace

des

ign

:

La

yo

ut,

met

ho

ds,

er

go

no

mic

s, s

afe

ty

Continuous improvement Added value mgt activity Employee involvement

TQ:

foundations

TQ: Top

TQ: Pillars

Documents

Lec 09-TQM-BBA-RIU