TQM - Chapter 1: Introduction to Total Quality Management

Quality

A lot more than the nonexistence of defects which allow companies to meet customer expectations. Needs-controlled process improvement allowing companies to exceed customer expectations.

Transcendent

Product-based

User-based

Manufacturing-based

Value-based

Approaches to Quality

Transcendent

This approach sees a product or service's quality as an innate, absolute, and universally recognizable characteristic. (IDEAL FORM)

Product-based

This approach sees a products or service’s quality as quantifiable based on certain ingredients or attributes.

User-based

This approach is based on the premise that quality is “in the eye of the beholder” where the beholder is the user.

Manufacturing-based

This approach has a serious weak point. The consumer’s perception of quality is compared with conformance and thus is internally focused.

Value-based

This approach assesses quality regarding costs and benefits: the more benefits outweigh costs, the more a product or service increases in value. Products or services with higher value enjoy higher quality.

Quality Design

Quality of Conformance

Quality of Performance

Quality Types

Quality Design

is all about setting characteristics that the product or service must minimally have to satisfy the requirements of the customer based on market research.

Quality of Conformance

the level of the quality of the product produced and delivered through the production or services process of the organization as per the specifications or design.

Quality of Performance

is the degree to which a project deliverable conforms to the quality standards and criteria that were established at the beginning of the project.

Quality Levels

Quality level involves inspecting a sample size for a given product in a lot and setting the maximum number of acceptable defects.

Organization Level

refers to the encompassing policies, structure, and strategies.

Process Level

the procedure to produce products or deliver a service, can also be called manufacturing process.

Individual level

focuses on each employee’s roles, responsibilities, skills, and actions within the organization.

Custom-craft paradigm

in this paradigm the focus is on the product or service and performance should be exactly as what the customer demands.

Mass Production and Sorting Paradigm

here the focus is on the production rate without direct involvement of the customer. Some examples of this pattern are from automobile parts and readymade buildings for commercial enterprises

Statistical Quality Control Paradigm 

the application of this paradigm together with mechanized production results in low scrap and rework and low production cost.

Total Quality Management Paradigm 

this paradigm focuses on customers and suppliers in addition to mass production and statistical methods.

Tecno-craft Paradigm

this paradigm is the social-technical complement to the custom-craft paradigm to reduce delivery time.

Cost of Quality

method that permits an organization to decide on the level to which its resources are used for activities that avoid poor quality, that assess the quality of the organization’s products or services, and that result from internal and external failures

Prevention Cost

prevention activities lead to reduction of failure and appraisal cost.

Appraisal costs

these costs are associated with measuring and monitoring activities related to quality standards.

Internal failure Costs 

These costs are acquired to treat defects revealed earlier when the product or service is delivered to the customer.

External Failure Costs

These costs are obtained to treat defects exposed by customers.

THE PRIMARY ELEMENTS OF TQM

Ethics

Integrity

Trust

Ethics

a set of principles that govern decisions and actions within a company, highlighting the difference between good and bad behavior in the business world. It involves adhering to the organization's code of conduct, rules, and regulations, describing both individual and organizational actions.

Integrity

involves consistency in actions, values, methods, and expectations. Respecting policies and avoiding rumors are crucial, as TQM doesn't work in a toxic environment.

Trust

fosters a cooperative environment, encourages participation, and fosters individual risk-taking for continuous improvement.

Leadership

Teamwork

Training

Building Bricks