Introduction to TQM

Page 4: Quality in Services

Key Elements of Quality in Services

• Services encompass various aspects such as:

  • Food preparation

  • Environment

  • Atmosphere

  • Price

  • Menu selection

• Importance of positive language

• Customization of the customer journey

• Customer-centric approach

Page 5: Definition of Quality

Understanding Quality

• "Quality" generally equated with "good."

• Brands frequently label products as "high quality" without precise definitions.

• Quality often appears in marketing, not in core business processes or policy.

Page 6: Development of Quality Concept

Historical Definitions of Quality

• Juran (1951): Quality as "fitness for purpose or use" from the customer’s perception.

• Deming (1986): Quality should address consumer needs, both current and future.

Page 7: Diverse Definitions of Quality

Perspectives on Quality

• Fred Smith: Quality is performance meeting customer expectations.

• Boeing: Quality relates to consistently meeting customer needs.

• GSA: Emphasizes customer needs fulfillment at all times.

• DOD: Advocates for doing things right the first time, focussing on continuous improvement.

Page 8: The Dynamic Nature of Quality

Defining Quality

• Quality is a dynamic state involving products, services, people, processes, and environments.

• It meets or exceeds expectations and delivers superior value for customers and organizations.

Page 9: Common Elements of Quality

Synthesis of Quality Definitions

• Meeting or exceeding customer expectations is central to quality.

• Quality encompasses products, services, people, processes, and environments.

• Quality is continually evolving; standards today may differ from those in the future.

Page 10: Consumer Choices and Quality

Factors Influencing Product Selection

• Example: Choosing a product based on award recognition in a supermarket.

• Brand distinction impacts consumer decisions, such as choosing between service providers.

Page 11: Importance of Quality for Business

Reasons for Prioritizing Quality

• Globalization: Businesses must compete internationally.

• Technology: Advancements necessitate quality.

• Telecommunications/Transportation: Increased connection affects quality expectations.

• Sustainability: Quality is crucial for long-term success, retaining customer loyalty, and enabling premium pricing.

Page 12: Interrelationships of Quality

Quality Impacts

• Quality influences market share, profit, sustainability, competitive advantage, customer and employee satisfaction, creativity, agility, and innovation.

• Quality includes not just documentation but a culture, tools, techniques, and strategy.

Page 13: The Pursuit of Excellence

Quality's Aspirational Nature

• Quality involves the continuous strive for excellence across stakeholders.

• Meeting expectations of customers, suppliers, staff, and communities is paramount.

Page 14: Significance of Quality

Why Quality Matters in Business

• Quality is crucial for:

  • Competitiveness and survival

  • Global reach

  • Cost-effectiveness

  • Customer retention and profit increase

• It's regarded as the mark of world-class businesses.

Page 15: Total Quality Management (TQM)

Overview of TQM

• TQM centers around quality as an organizational priority.

• It integrates management techniques with ongoing process improvement aimed at customer satisfaction.

Page 16: Views on Quality

Comparative Perspectives

• Traditional View vs. Quality View:

  • Quality viewed as productivity conflicts in traditional management.

  • Quality improvement aligns with productivity gains.

• Quality Definition:

  • Traditional view focuses on specifications; quality view emphasizes exceeding expectations.

Page 17: Key Elements of Total Quality

Strategic Market Approach

• Sustainable competitive advantage requires integrating quality into the organization's core.

• Continuous improvement is essential for maintaining excellence.

Page 18: Customer Focus in Total Quality

Understanding Customer Demands

• Importance of internal and external customer definitions.

• Emphasis on customer satisfaction and journey.

• Incorporating the Voice of Customer (VOC) in design processes.

Page 19: Scientific Approach to Quality

Methodologies in Quality Management

• Blend of soft and hard management techniques, problem-solving methods, and performance monitoring to achieve quality.

Page 20: Long Term Commitment to Quality

Cultural and Management Commitment

• Creating a culture centered around innovation and quality.

• Essential for senior management to commit long-term to quality initiatives.

Page 21: Teamwork in Quality Management

Collaborative Efforts

• Cross-functional teamwork is critical for achieving organizational goals.

Page 22: Continual Process Improvement

The Changing Standards of Quality

• Quality must evolve continuously; ongoing improvements are essential.

Page 23: Employee Education and Training

Building Skills

• Emphasis on developing both soft and hard skills in the workforce.

• Promoting logical and critical thinking to foster employee growth.

Page 24: Freedom Through Control

Employee Empowerment

• Importance of involving employees in decision-making processes.

Page 25: Employee Involvement and Empowerment

Real Voices Matter

• Distinction between involving versus empowering employees in quality initiatives.

Page 26: Unity of Purpose

Cohesion Across Departments

• Departments must work collaboratively to achieve shared goals.

Page 27: Peak Performance in TQM

Achieving Organizational Excellence

• Effective TQM practices lead to peak performance across all organizational levels.

Page 28: Obsession with Quality

Commitment to Continuous Improvement

• Attitude of constant inquiry: "How can we improve this?"

Page 29: Assignment 1

Reflective Questions

• Explore relationships:

  • Teamwork vs. unity of purpose

  • Employee empowerment vs. freedom through control

  • Strategic focus vs. long-term commitment.

Page 30: Total Quality Pioneers

Contributions of Influential Figures

• Overview of Deming's contributions, including the Deming Cycle, fourteen points, and seven deadly diseases of management.

Page 31: The Deming Cycle

Linking Production and Consumer Needs

• Focuses on cooperative efforts across departments to meet consumer needs effectively.

Page 32: PDCA Cycle

The Four Steps of Continuous Improvement

• Plan: Research and product planning.

• Do: Product production.

• Check: Verify accordance with plans.

• Act: Market analysis of product reception.

Page 33: Deming Cycle Visual Representation

The Conceptual Framework

• Visual depiction of the plan-do-check-act cycle.

Page 34: Step-by-Step Process of Deming Cycle

Operational Guidance

• Conduct consumer research, production, checking, marketing, and analyze product reception.

Page 35: Deming's 14 Points for Quality Improvement

Promoting Quality as a Core Principle

• List of key points emphasizing leadership, quality from the start, continuous improvement, and breaking down barriers.

Page 36: Management's Fault Diagnosis

Analysis of Management Shortcomings

• Identifies detrimental practices such as a lack of constancy, reliance on short-term profits, and ineffective performance evaluations.

Page 37: Juran's Contributions

Notable Principles and Frameworks

• Overview of Juran’s foundational principles in quality improvement: three basic steps, ten quality improvement steps, and the Pareto principle.

Page 38: The Pareto Principle

Understanding Quality Issues

• 80% of problems arise from 20% of causes; critical management point for focus.

Page 39: Juran's Three Basic Steps to Progress

Framework for Continuous Improvement

1. Structured and urgent improvements.

2. Extensive training programs.

3. Leadership commitment from higher management.

Page 40: Juran's Ten Steps to Quality Improvement

Roadmap for Quality Enhancement

1. Build awareness of improvement needs.

2. Set and organize goals.

3. Provide training and implement problem-solving projects.

Page 41: The Juran Trilogy

Quality Management Framework

• Consists of Quality Planning, Control, and Improvement.

Page 42: Quality Planning

Steps to Meet Customer Expectations

1. Identify customers and their needs.

2. Develop appropriate systems/processes.

3. Operationalize the plans across levels.

Page 43: Quality Control Processes

Ensuring Standards are Met

1. Assess actual quality.

2. Compare against goals.

3. Address performance discrepancies.

Page 44: Quality Improvement

Continuous Enhancement Approach

1. Build infrastructure for quality improvements.

2. Identify areas needing improvement.

3. Empower project teams to solve problems.

Page 45: Quality Control Definition

Focus on Requirement Fulfillment

• Distinction between quality assurance processes and inspections.

Page 46: Quality Assurance vs. Quality Control

Comparative Analysis

• Quality assurance focuses on prevention; quality control emphasizes defect identification.

Page 47: Crosby's Contributions

Zero-Defects Management

• Emphasis on prevention and the significance of Six Sigma.

Page 48: Future of Quality Management

Essential Characteristics for Success

• Organizations should maintain a commitment to customer value and continuous improvement principles.

Page 49: Sustained Growth Objectives

Organizational Commitment

• Focus on customer satisfaction, effective human resources, and quick adaptation to change.

Page 50: Japan vs. USA in Quality Practices

Evolution After World War II

• Japanese companies initially offered low-quality products but pivoted to quality improvements.

Page 51: Resurgence of American Companies

Adaptation and Quality Management

• U.S. companies began to embrace quality principles, regaining global competitiveness.

Page 52: Discussion Question

Reflection Topic

• Inquiry into the reasons behind the slow adoption of quality principles in the U.S.

Page 53: Deming, Juran & Crosby

Foundational Figures in Quality Management

• Overview of prominent contributors to quality management principles.

Page 54: Conclusion

Summation of Quality Importance

• Closing statement on the significance of quality in management.