27: Quality Management

Difference between quality control & quality assurance

Quality assurance system

Eva: total quality management

Eva: benchmarking in quality management

Quality control or assurance?

Quality = product satisfy customers expectation

Quality depends on target market expectation

Shouldn’t make product that exceeds customer expectation, cause it’s expensive and customer doesn’t recognize the exceeding quality

Market research establish Quality standards (minimum expectation of quality)

Quality help reduce advertisement cost → quality product help make a good brand image itself

→ prolong product life cycle

Quality control methods

Quality control: check finished product quality

Quality assurance: guidelines/procedure to make high-quality product

Quality control

Skilled inspector is expensive, repetitive job → demotivated

Worker hate inspector cause they keep searching for faults, mistrust and low morale

Worker think quality is not their responsibility → lack of responsibility, demotivating, low quality output

Often check for finished product, take long time to find a problem with lots of production method

Quality assurance

Establish quality standards and targets for each stage of production

Check component, material upon buying, not at the end of the process

Employee self-check product, responsible, job enrichment

Can spot faults right after each process

Remove cost of final inspection

Gain accreditation (acknowledgement) from quality assurance organization → can use to advertise

Total quality management (TQM)

Require involvement of every employee on product quality

Often requires change in working culture → everyone needs to think that quality is their responsibility

Internal customer : other employee that depend on the quality of work being done by other

Zero defects: product meet customer expectation every time

Fit with Herzberg job enrichment (responsibility, challenging work)

Everyone needs to be committed

Boss need to delegate and empower employees

Benchmarking

Compare ones to the best in industry

Internal benchmarking: identify best-performing departments

Benchmark performance indicator (BPI): areas of business to be compared to other business

Help identify root problem rather than inspect finished product

Area of greatest customer needs is identified

Involve employees, bring new idea

Obtain data of other business, this data might be classified (lawsuit of privacy from other company)

Copy other company’s strategy doesn’t take into account your own USP