BONUS Quality Managment-&-Business Excellence Overview Chp 11

7/31/2019 BONUS Quality Managment-&-Business Excellence Overview Chp 11

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Total Quality

Management

and the

Transition To Business

Excellence

Dr. Rick L. EdgemanSIX SIGMA BLACK BELT

Professor & Chair

Department of Statistics415 Brink Hall

University of Idaho

Moscow, Idaho 83844-1104

[email protected]


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The TQM philosophyderives from onefoundational idea:

everything must be gearedtowards customer

satisfaction, the engine

which drives the companyand on which its futuresurvival depends.


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ImproveContinuously

Focus onCustomers

Base Decisionson Fact

Let Everybodybe Committed

Focus onProcesses

Top Management

Commitment

Methodologies

Bench-marking

Quality FunctionDeployment

EmployeeDevelopment

QualityCircles

ProcessManagement

SupplierPartnership

Design of

Experiment

Self-

assessment

PolicyDeployment

Aim: Increase external and internal customer satisfactionwith a reduced amount of resources

Total QualityManagement

ToolsControlCharts

IshikawaDiagram

TreeDiagram

Relation

Diagram

ProcessMaps

Criteria ofMBNQA

QualityHouse

ISO9000

SixSigma

Hypothesis

testing

Values

FactorialDesign

Matrices

Total Quality Management (TQM) can be seen as a continuously evolved management system, consisting of values, methodologies and tools. The

aim of the system is to increase external and internal customer satisfaction with a reduced amount of resources. It is important to note, that the

techniques and tools in the figure are just examples and not a complete list. In the same way the values may also vary a little between different

organisations and over time. (From Hellsten & Klefsj, 2000.)


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What is Quality?

A Customer-Centric View

Continuous Satisfaction ofCustomer Requirements


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What is

Quality Management?

Achievement of Quality at Low Cost.


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What is

Total QualityManagement?

Attainment of

Total QualityThrough EveryonesCommitment on a Daily Basis


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SO ..

Qualityis a state in which value entitlement isrealized for the customer and provider in every aspect

of the business relationship.

Business qualityis highest when the costs are atthe absolute lowest for both the producer & consumerand is most readily attained when the entirety of the

organizations human resource is engaged..


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Anything Else is Just a Killer

Renaults

Five Principles of a New Culture


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Fundamentally, organizational culture

can be thought of as

the way we do things around here.


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The Customer is the Ultimate Judge of Value

The Search for aLean

ApproachControlling the Process Means Reducing Dispersion

Involving & Empowering People

The Spiral of Continuous Improvement

QualityCulturePrinciples


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Progress Through S-PDSA

People

Processes

Reducing Waste

Cost

Delivery

Quality


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Performance


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an overall way of working

that balances stakeholder interests and

increases the likelihood of

sustainable competitive advantageand hence long-term organizational success

through operational, customer-related, financial

and marketplace performance excellence.

Edgeman, Dahlgaard, Dahlgaard & Scherer, 1999


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An Aligned Approach to Organizational

Performance Management That Results In:

Delivery of Ever-Improving Value to Customers, Resulting in

Marketplace Success;

Improving Organizational Effectiveness and Capabilities; and

Organizational and Personal Learning.

Harry Hertz

15 Sept. 2000


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The comprehensive, systematic, and

regular review of an organizations activities

and results against a specified model.Purpose:

Identification of strengths, weaknesses andopportunities for improvement.

The Principal Use of Excellence Models


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Business Excellence Principles

Leadership & Constancy of Purpose Customer Focus

Results Orientation

Management by Processes & Facts

People Development & Involvement

Continuous Learning, Innovation &

Improvement

Partnership Development

Public Responsibility


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European Quality Award Excellence Criteria

People

Processes

Leadership

Policy & Strategy

Key Performance Results

Partnerships & Resources

Customer ResultsSociety Results

People Results


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Input Transform Output

The EQA Excellence Model as an

Input-Transform-Output-Inform Model


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From TQM to Business Excellence

Leadership


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Quality Awards Around the World

Programs in place

No programs


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ISO 9000:2000

Quality system standards adopted byInternational Organization for Standardization

in 1987; revised in 1994 and 2000

Technical specifications and criteria to be usedas rules, guidelines, or definitions of

characteristics to ensure that materials,

products, processes, and services are fit fortheir purpose.


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Objectives of ISO Standards (1 of 2)

Achieve, maintain, and continuously improve

product quality

Improve quality of operations to continually

meet customers and stakeholders needs

Provide confidence to internal management

and other employees that quality

requirements are being fulfilled


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Objectives of ISO Standards (2 of 2)

Provide confidence to customers and other

stakeholders that quality requirements are

being achieved

Provide confidence that quality system

requirements are fulfilled


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Structure of ISO 9000 Standards

Four major sections:

Management Responsibility

Resource Management

Product Realization

Measurement, Analysis, and Improvement


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ISO 9000:2000 Quality

Management Principles1. Customer Focus

2. Leadership

3. Involvement of People

4. Process Approach

5. System Approach to Management

6. Continual Improvement7. Factual Approach to Decision Making

8. Mutually Beneficial Supplier Relationships

BONUS Quality Managment-&-Business Excellence Overview Chp 11

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