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The frog in the potThe frog in the potThe frog in the potThe frog in the pot
??
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WHY TQM IS ESSENTIAL ?
• ORGANISATION GROWS, EMPLOYEE TOO
GROWS.
•BRINGS ABOUT A CHANGE IN WORK – CULTURE
• RESULTS IN OPENNESS IN THE COMPANY
• INCREASES JOB SATISFACTION
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BUSINESS IS LIKE RIDING A BICYCLE!
EITHER YOU KEEP MOVING OR
YOU FALL DOWN!!!!
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LET US FACE TODAYS’ REALITY
THE WORLD IS CHANGING FAST
Concern for Human Rights
Growing literate and knowledge oriented
society
Political Realignments
Emergence of new Economic Powers
Concern for Ecology
Global Markets
Govt..
Policy (Liberalisation)
C
H
AO
SHuman
Spirit of Innovators
Information Age & Impact of
Telecom
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HOW CHAOS IMPACTS SOCIETY
Changes in the Environment Manifested in New Behaviour of Innovators
WHERE DO WE WANT TO BE ?
Observation / Experiencing by Masses / Society
No Impact/Wait attitudeAnxiety
+ Reactive State
Positive Restlessness + Proactive State
The Common Man Implementers
The Blockers - High Resistance to Change
The Leaders Innovators
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CEO MODEL FOR MANAGEMENTEMPLOYEES
CEO
MODEL
OWNERS
• PROFITABLE
GROWTH
• RETURN ON INVESTMENT
CUSTOMERS
• RELIABLE PRODUCTS & SERVICES
•VALUE FOR MONEY
• JOB
SATISFACTION
& GROWTH
• QUALITY OF
LIFE
•ALL THE THREE ARE IMPORTANT TO ANY BUSINESS.
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ELEMENTS OF TQM
• PEOPLE INVOLVEMENT
• APPROPRIATE PROCESS / TECHNOLOGY
(COST - EFFECTIVE)
• PROBLEM SOLVING TOOLS / PROCEDURES
(FOR ACHIEVEMENT OF QUALITY CUSTOMER
SATISFACTION)
• CONTINUOUS IMPROVEMENT
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TOTAL MEANS ….
• QUALITY OF ALL PRODUCTS & SERVICES
• QUALITY IN ALL FUNCTIONS & ALL INDIVIDUALS
• QUALITY ALL THE TIME
• QUALITY IN ALL ASPECTS OF DOING THE BUSINESS
BODY, MIND & INTELLECT TOGETHER
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TQM - A DEFINITION
TQM is an integrated organizational approach
in delighting customers (external & internal)
by meeting their expectations on a
continuous basis through everyone involved
with the organization working on continuous
improvement in all products, services and
processes along with proper problem solving
methodology.
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TEI
• LEADERSHIP
• TEAM WORK
• CONSENSUS
• EMPOWERMENT
TQC
• SERVICE CONTROL
• SERVICE QUALITY
• TOOL & TECHNIQUES
• KAIZEN
TWE
• IDENTIFICATION
• ELINIMATION
• VALUE CHAIN
• METHODS
CUSTOMER SATISFACTION
CONTINUOUS IMPROVEMENT
TOTAL QUALITY MANAGEMENT
WORLD CLASS STRATEGY
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COST SUBTRACTION PRINCIPLE
1. COST + PROFIT = PRICE (STATUS QUO)
2. PRICE - COST = PROFIT (SUBSTRACTION PRINCIPLE 1)
3. PRICE - PROFIT = COST (SUBSTRACTION PRINCIPLE 2)
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TARGET IS LOWEST COST
&
THE CONSTRAINTS AREPRICE / QUALITY / PROFIT / DELIVERY
WASTE - ELIMINATION
IS TODAY’S SOLUTION TOFAST CHANGING ENVIRONMENT
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DEFINITION OF WASTEToyota defines waste as “anything other than the minimum amount of equipment, material, parts and working time absolutely essential to production”.
The Americans define it as “anything other than the absolute minimum resource of industrial machines, manpower required to add value to the product”.
Absolute minimum resources mean, for example
• One supplier
• No people, equipment, or space dedicated to rework
• No safety stock
• No excess lead times
• No people doing jobs that do not add value
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SEVEN DEADLY SINS, ACCORDING TO TOYOTA
1.Waste is processing that does not add value to the product. (Ex.: Inspection,testing, clearing, sorting, counting, packaging) 2.All inventory is waste. {Ex. : Stock, work-in-progress inventory) 3.All over-production is waste. (Ex. : Production exceeding demand.)4.Transportation is waste.(Ex.:logistics, product movement, shipping etc.)5.Unneeded motion is waste. (Ex. :unnecessary steps, walking) 6.Waiting and delays are waste. {Ex. :machine downtime, too much test time, unavailability of parts.)7.Defective product is a waste.
It costs 5 times more to get a new customer than it does to keep a current customer.
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9 WASTES IN OPERATIONAL ENVIRONMENT
EXCESS OF HUMAN RESOURCES
OVER PRODUCTION
WAITING
MATERIAL MOVEMENT AND HANDLING
INS
PE
CT
ION
&
TE
ST
ING
STARTUP & SET UP
DOWN TIME
LOW QUALITY
INV
EN
TO
RY
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• HOUSE KEEPING
• VISUAL CONTROL
• JIDOKA / ANDON / POKAYOKE
• TOTAL PRODUCTIVE MAINTENANCE [TPM]
• SET-UP TIME REDUCTION [SMED- Single minute exchange of die]
• DEMAND PULL + KANBAN
• HANDLING / TRANSPORTATION / LOGISTICS
• SCHEDULING
• BUSINESS PROCESS REENGINEERING
• CYCLE TIME REDUCTION AND TOTAL SUPPLIER PARTNERSHIP
TWE METHODS
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HOUSE KEEPING
House Keeping is a process where in everyone in the company is committed and involved in upkeep of the work place and cleanliness of M/c, Material & Information etc., that only needed material and information is kept and fastest accessibility is ensured.
WHAT IS HOUSE KEEPING ?
• Systematic approach to a better workplace.• Involves arrangement, cleanliness, discipline& maintenance of standards.• Assigns a place for everything and ensures everything is in its place. • Is everybody’s responsibility.• Is the starting point of any improvement activity.• Means easy retrieval of information.
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PRINCIPLES OF HOUSE KEEPING “5S”
SEGREGATION (SEIR)
ARRANGEMENT (SEITON)
CLEANLINESS (SEISO)
MAINTENANCE OF STANDARDS (SEIKETSU)
DISCIPLINE (SHITSUKE)
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HOUSE KEEPING - 6 ‘S’s.
(Indianised!)
1. SORT IN / SORT OUT - Segregate
2. SET LIMITS - Arrange properly
3. SHARE - The Information
4. SHINE - Cleanliness
5. STANDARDISE
6. SELF-DISCIPLINE
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WHAT IS VISUAL CONTROL ?
VISUAL CONTROL COMMUNICATES REQUIRED IMPORTANT INFORMATION TO PEOPLE WHO NEED IT
IT GRABS ONE OR MORE OF OUR SENSES IN ORDER TO:• ALERT US TO AN ABNORMALITY• HELP US RECOVER QUICKLY• PROMOTE ADHERENCE AND PREVENTION• ENABLE SUCCESSFUL SELF MANAGEMENT
A VISUAL CONTROL REDUCES ERRORS AND WASTE BY MAKING PROBLEMS VISIBLE. IT IDENTIFIES THE GAP BETWEEN THE STANDARD AND ACTUAL PERFORMANCE AND TELLS US HOW TO RESPOND.
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JIDOKA
Reducing dependence of Human presence/supervision
Evolution toward jidoka [automation]
Old Days : Operator handles a large part of the work
Operator watches machine most of the time Pre-Jidoka
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ANDON [TROUBLE LIGHT]
JIDOKA : OBSOLETE OPERATOR IS ASSIGNED TO A GREATER CHALLENGE
AUTOMATIC FEED
AUTOMATIC EJECTION
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ANDON
INDICATION TO
STOP WORK / LINE OPERATION IN CASE OF ANY PROBLEM
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EXAMPLES OF ANDON
1. FIRE ALARM IN AN OFFICE
2. THEFT ALARM IN A BANK
3. MACHINE BREAK DOWN SIGNAL SYSTEM
4. MATERIAL SHORTAGE SIGNAL FROM THE
ASSEMBLY LINE
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WHAT IS MISTAKE PROOFING (POKA-YOKE)?
HUMAN ERRORS ARE USUALLY INADVERTENT POKA-YOKE DEVICES HELP TO AVOID ERRORS AND REDUCE
DEFECTS POKA-YOKE HELPS BUILD QUALITY INTO THE PROCESSES
POKA-YOKE
Zero Defects
YOUKEERU : TO AVOID POKA : INADVERTENT ERRORS
POKA-YOKE IS A TECHNIQUE FOR AVOIDING SIMPLE HUMAN ERRORS AT WORK. BY TAKING OVER REPETITIVE TASKS OR ACTIONS THAT DEPEND ON VIGILANCE OR MEMORY, POKA-YOKE CAN FREE A WORKER’S TIME AND MIND TO PURSUE MORE CREATIVE AND VALUE ADDING ACTIVITIES.
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POKA - YOKE
1 2 3 4 5 6 7
FILES IN PROPER ORDER
1 2 3 4 5 6 7
FILES NOT IN PROPER ORDER
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SIX BIG LOSSES IN EQUIPMENT
1. BREAKDOWN DUE TO EQUIPMENT FAILURE2. SETUP AND ADJUSTMENT3. IDLING AND MINOR STOPPAGES4. REDUCED SPEED5. DEFECTS IN PROCESS AND REWORK6. STARTUP LOSS YIELD
OVERALL EQUIPMENT EFFECTIVENESS=
AVAILBILITY X PERFORMANCE RATE X QUALITY RATE
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TYPES OF MAINTENANCE
1. PREVENTIVE MAINTENANCE
2. PREDICTIVE MAINTENANCE