Tqm Princi

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    Dr.SUMATHY MUNIAMUTHU

    ASSOCIATE PROFESSOR

    DEPT. OF MECH., ENGG.,

    VEL TECH

    CHENNAI – 600 062.

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     TOPICS

    Leadership -Strategic quality planning -Quality statements

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     TQM PrinciplesInternational organisation for standardisation (ISO hadesta!lished eight uni"ersally accepta!le principles of

     TQM#

    Custo!r "o#uss!$ or%&'(s&t(o' Identi$cation of customers (Internal and %&ternal

    'nderstanding stated and implied needs e&pectations

    %sta!lishing measures of satisfaction customer needs

    )etermining ho* far customers needs are !eing met at

    presents# %+cient processing of customer complaints

    %sta!lishing customer focus do*n the line including distri!utors

    See,ing customer feed!ac, to impro"e their satisfaction

    %sta!lishing customer supplier quality chain

    In"ol"e customers in the design of products ser"ices#

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     TQM Principles

    L!&$!rs)(*  Leadership esta!lish unity of purpose and direction

    of the organisation#

      Leadership should create and maintain the internal

    en"ironment in *hich people can !ecome fullyin"ol"ed in achie"ing the organisations o!.ecti"es#

     Leadership esta!lish long term "ision and strategy

      /et support of others in a common "ision !y

    appealing to their "alues0 interest0 hopes and dreams#  Search for challenging opportunities to change0 gro*0

    inno"ate0 and impro"e#

     %&periment0 ta,e ris, and learn from the mista,es

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     TQM Principles

    L!&$!rs)(* +#o't$.   1oster colla!ration !y promoting co-operati"e goals

    and !uiding trust#

      Strengthening others !y sharing information and

    po*er and increasing their discretion and "isi!ility   Set an e&ample !y !eha"ing in the *ays that is

    consistent *ith stated "alues#

     Plan small *ins that promote consistent progress and

    !uild commitment#   2ecognise indi"idual contri!ution to the success of

    e"ery pro.ect

      3y forging employees into an empo*ered0 highlymoti"ated team to gi"e direction to*ards organisation

    "ision0 mission and policy

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     TQM PrinciplesI'-o-!!'t o" *!o*!

     People at all le"els are the essence of an organi4ation and their

    full in"ol"ement ena!les their a!ilities to !e used for theorgani4ation5s !ene$t#

     %mployees must !e treated *ith dignity and respect

     They must !e trained to !uild competence *here required

      each employee must ,no* *hat e&actly is required to !e doneand *here possi!le must !e a!le to assess the quality of his *or,

    1ear must !e totally remo"ed from the organi4ation andemployees must !e encouraged to !ring out *ea,ness in thesystem#

    %mpo*er employees to ta,e appropriate action in their area of*or, for impro"ement#

     In case of a mista,e e&amine the system rather than the man topre"ent its recurrence#

      In"ol"e employees in quality plans and dra* upon their intimate

    ,no*ledge of processes for impro"ement#

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     TQM Principles

    I'-o-!!'t o" *!o*! +#o't$.   6ssess employee satisfaction le"el and ta,e appropriate

    measures to impro"e their morale so that they ta,e pridein !elonging to the company

      The greatest contri!ution to the process of TQM aremade !y the people

      People share the "ision0 intellectual0 capital and,no*ledge

     People are the more and more the true assets of anyorgani4ation

     Total quality refers to the quality of human !eha"iour0s,ills and commitment necessary to accomplishorganisational o!.ecti"es#

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     TQM Principles

    Pro#!ss Or(!'t&t(o'  A $!s(r!$ r!sut (s )(!-!$ or! !/!#t(-! 1)!'

    r!&t!$ r!sour#!s &'$ t(-(t(!s &r! &'&%!$ &s &*ro#!ss.

      P&''('% o" *ro#!ss!s to !!t #usto!rr!u(r!!'ts

      Pro#!ss #&*&3((t stu$ &'$ u&(4#&t(o' o"*ro#!ss

     Est&3(s)!'t o" !#)&'(s to 5!!* *ro#!ss u'$!r

    #o'tro   O1'!rs)(* o" *ro#!ss 1(t) "u r!s*o's(3((t o"

    u&(t *ro#!ss or(!'t&t(o'

     V!r(4#&t(o' o" *ro$u#t s!r-(#! "or #o'"or&'#!

      M&('t!'&'#! #&(3r&t(o' o" *ro#!ss !u(*!'ts

    &'$ ('stru!'ts.

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     TQM Principles

    Sst! A**ro) to M&'&%!!'t   Identifying0 understanding and managing a system

    of interrelated processes for a gi"en o!.ecti"eimpro"es the organi4ation5s e7ecti"eness and

    e+ciency#  Clear o!.ecti"es#

     Organisational structure *ith *ell de$ned authorityand responsi!ility

     Planning for quality  Control of functions a7ecting quality

     Co-ordinating of interrelated processes

     6udit mechanism for self regulated organisation

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     TQM Principles

    Co't('uous (*ro-!!'tContinuous impro"ement should !e permanento!.ecti"e of the organi4ation  Measurement of quality

      6nalysis of quality data and in"estigations for noncon$rmities

      See,ing opportunities for impro"ement rather thanreacting to quality pro!lems

     3ench Mar,ing

     Organi4ation for quality impro"ement li,e quality circles0quality impro"ement teams for ta,ing up speci$c pro.ects

      2e"ie* of quality impro"ement pro.ects !y topmanagement#

     2ecognition of signi$cant achie"ements

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     TQM PrinciplesFtu& A**ro) to D!#(s(o' M&5('%

      %7ecti"e decisions are !ased on the analysis of data andinformation

     2ecording of data on8

    Quantitati"e production

     %quipment failures  Process conditions

     )eli"ery performance

     Customer complaints

     Quality costs

     Supplier performance

     %nsuring the data is accurate0 relia!le and accessi!le

     6nalysis of data to understand the impact on organi4ationalperformance and cost implications and for deciding correcti"e

    actions  )ata on results of application of correcti"e actions

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     TQM Principles

    Mutu& 3!'!4#(& su**(!r r!&t(o's)(*s

    6n organi4ation and its suppliers are inter-dependent0and a mutually !ene$cial relationship enhances thea!ility of !oth to create "alue#

      Consideration of quality capa!ility *hile selecti"e"endors#

     Speci$cation of quality on purchase documents

     Clear understanding of supplier needs

      Mutual trust and share responsi!ility andaccounta!ility

     Clear and open communication

     Mutual commitment for continuous impro"ement

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    L%6)%2S9IP

    Dr.SUMATHY MUNIAMUTHU

    ASSOCIATE PROFESSOR

    DEPT. OF MECH., ENGG.,

    VEL TECH

    CHENNAI – 600 062.

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    )e$ning Leadership

     Thin,ing through the organi4ation:s mission0de$ning it and esta!lishing it0 clearly and "isi!ly#

    - Peter )ruc,er0 ;

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    >ho is a Leader?

    6 Leader is a person0 others opt to follo* to aplace they *ould not ha"e gone !y themsel"es

    - @oel 3ar,er

    6 Leader as one *ho instills purposes0 not one*ho controls !y !rute force#

    6 leader strengths and inspires the follo*ers toaccomplish shared goals#

      -@ames Mac/regor 3urns

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    2ole of a Leader in the

    conte&t of TQM8Pro"ide unquestioned leadership

    1ocus on customer results Train all employees

    6chie"e and recogni4e employee participation

    Communicate a!out quality !oth internally and

    e&ternally

    Pro"ide a quality process and quality tools#

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    Characteristics of QualityLeaders They gi"e priority attention to e&ternal and

    internal customers and their needs#

     They empo*er0 rather than control0 su!ordinates#

     They emphasi4e impro"ement rather thanmaintenance#

     They emphasi4e pre"ention#

     They encourage colla!oration rather than

    competition# They train and coach0 rather than direct and

    super"ise#

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    Characteristics of QualityLeaders They learn from pro!lems#

     They continually try to impro"ecommunication#

     They continually demonstrate theircommitment to quality#

     They choose suppliers on the !asis of quality0not price#

     They esta!lish organi4ational systems tosupport the quality e7ort#

     They encourage and recogni4e team e7ort#

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    Leadership Concepts6 leader understands that8

    People need security and independence at the sametime#

    People are sensiti"e to e&ternal re*ards andpunishments and yet are also strongly self moti"ated#

    People li,e to hear a ,ind *ord of praise# Catch peopledoing something right so you can pat them on the !ac,#

    People can process only a fe* facts at a timeA thus aleader needs to ,eep things simple#

    People trust their gut reaction more than statisticaldata#

    People distrust a leader:s rhetoric if the *ords areinconsistent *ith the leader:s actions#

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    Senior management should practice the philosophy ofManagement By Wandering Around (MBWA).

    Delegate problem solving and decision making to the

    loest appropriate level and make the employees think forthemselves.

    !hey should update the knoledge of "uality concepts

     by reading books and articles and attending seminars anddiscussing ith other !#M leaders. !hey should provide a

    clear solution to the subordinates if they have any

    difficulty in solving problems.

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    !hey should provide necessary resources to train the employees

    in !#M tools and techni"ues$ the technical re"uirements of the %ob

    and safety.

    !hey should establish the reard and recognition system and

    should personally participate in the reard and recognitionceremonies. !his activity is an e&cellent opportunity to reinforce the

    importance of the effort and promote !#M.

    Senior managers should be visibly and actively engaged in the

    "uality improvement efforts. !hey should lead by demonstrating$

    communicating and reinforcing the "uality statements. 'n general

    they should spend about onethird of their time on "uality.

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    Ro! o" S!'(or

    M&'&%!!'t They should listen to internal and e&ternal customers

    and suppliers through "isits0 focus groups and sur"eys#

    Communication is an important role played !y thesenior managers# They should create a*areness of theimportance of TQM !y selling themsel"es0 in addition

    to the internal e7orts0 there must !e e&ternal acti"ities*ith customers0 suppliers0 the media0 ad"ertising intrade maga4ines0 and interaction *ith the qualitycommunity#

    3y follo*ing the a!o"e suggestions0 the seniormanagers should !e a!le to dri"e out fear out of theorgani4ation0 !rea,do*n !arriers0 remo"e system road!loc,s anticipate and minimi4e resistance to changeand in general change the culture#

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    ST26T%/IC PL6BBIB/

      Dr.SUMATHY MUNIAMUTHU

    ASSOCIATE PROFESSOR

    DEPT. OF MECH., ENGG.,

    VEL TECH

    CHENNAI – 600 062.

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    IBT2O)'CTIOB

    Strategic Planning sets the long termdirection of the organi4ation in *hich it*ants to proceed in future#

    Present

    Vision

      of

    FutureStrategic Plan

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    )%1IBITIOBStrategic Planning can !e de$ned as the

    process of deciding on o!.ecti"es of theorganisation0 on changes on these o!.ecti"e0

    on the resource used to attain theseo!.ecti"es and on the policies that are togo"ern the acquistion0 use and disposition ofthese resources#

    % planned gro*th rate in sales0di"ersi$cation of !usiness into ne* lines0 typeof products to !e o7ered#

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    In order to integrate quality with the strategic planning

    process, a systematic and sequential procedure has to

    be adopted.

    •Step 1

    Customer Needs The basic step is the identification of customers and their wants

    and needs.

      An organiation must see! its customer"s re#uirements$

    e%pectations and assess future trends before de&eloping a

    strategic plan.

    STRATEGIC PLANNING PROCESS

    (SEVEN STEPS TO STRATEGIC PLANNING)

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    •Step '

    Customer positionThe second step re#uires the planners to determine

    its positioning with regards to its customers.  Various alternati&es such as whether the

    organisation should gi&e up$ maintain or e%pand

    mar!et position should be considered.

      (n order to become successful$ the organisationshould concerntrate and consolidate its position in its

    areas of e%cellence.

    STRATEGIC PLANNING PROCESS

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    •Step ).Predict the future

     Ne%t$ the planners must predict future conditions that will

    affect their product or ser&ice.

    To help predicting the future$ the tools such as

    demographics$ economic forecasts and technicalassessment or pro*ections ma+ be used.

    •Step ,.

    -ap Anal+sis  The planners must identif+ the gaps between the current

      state and the future state of the organisation.

      This concept is also !nown as &alue stream mapping.

    For identif+ing the gaps$ an anal+sis of the core &alues

      and concepts and other techni#ues ma+ be used.

    STRATEGIC PLANNING PROCESS

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    •Step .

    Closing the gaps Now the planners should de&elop a specific plan to

     close the gaps.

     This process is also termed as process impro&ement.

    /+ assessing the relati&e importance and relati&e

    difficult+ of each gap$ planners can close the gaps.

    STRATEGIC PLANNING PROCESS

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    ST0P .

     A2(-N30NT Now the re&ised plan should be aligned with the mission$&ision and core &alues and concepts of the organiation. 4rganisation should embrace #ualit+ as an essential

    ingredient in their &ision$ mission and ob*ecti&es.

    ST0P 5.(3P2030NTAT(4N

     (n order to implement the action plan$ resources must be

    allocated to collecting data$ designing changes and

    o&ercoming resistance to change. Also the planners should monitor and assess the result of

    the strategic plan. Since #ualit+ is a continuous impro&ement process$ one has

    to reassess and renew the strategic plans periodicall+.

     So$ it is a c+clic process.

    STRATEGIC PLANNING PROCESS

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    Customer needs

    Customer positioning

    Predict the future

    -ap anal+sis

    Closing the gap

     Alignment

    6ee&aluate and re&iew

    (mplementation

      Strategic Planning C+cle

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    Quality Council)e"elop0 *ith input from all personnel0 the core "alues0

    "ision statement0 mission statement0 and quality policy

    statement#)e"elop the strategic long term plan *ith goals and the

    annual quality impro"ement program *ith o!.ecti"es#

    Create the total education and training plan#

    )etermine and continually monitor the cost of poor quality)etermine the performance measures for the organi4ation0

    appro"e those for the functional areas0 and monitor them#

    Continually determine those pro.ects that impro"e the

    processes0 particularly those that a7ect e&ternal and internalcustomer satisfaction#

    %sta!lish multifunctional pro.ect and department or *or,group teams and monitor their progress#

    %sta!lish or re"ise the recognition and re*ard system toaccount for the ne* *ay of doing !usiness#

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    Quality statements

    Part of strategic planning process

      ;# ision statement

    -short declaration of *hat an organi4ation

    aspires to !e tomorro*#

    -guidelines for decision ma,ing

      >e *ill !e the the preferred pro"ider of safe0 relia!leand cost e7ecti"e products ans ser"ices that satisfy theelectric related needs of all customer segments#

      1lorida po*er and light

    company

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    Quality statementsD# Mission statement

    6ns*ers the questions *ho *e are0 *ho are

    the customers0 *hat *e do0 and ho* *e do it# Pro"ides clear statement of purpose for

    employees0 customers and suppliers#

      To meet customer:s transportation anddistri!ution needs !y !eing the !est at mo"ingtheir goods on time0 safely and damage free#

      Canadian Bational 2ail*ays#

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    Quality statementsE# Quality policy statements

    /uide for e"eryone in the organi4ation as to ho* theyshould pro"ide products and ser"ice to the customers#

    >ritten !y C%O *ith feed!ac, from the *or,force and

    !e appro"ed !y the quality council#

    Fero& is a quality company# Quality is the !asic!usiness principle for Fero Quality means pro"iding

    our e&ternal and internal customers *ith inno"ati"eproducts and ser"ices that fully satisfy theirrequirements# Quality is the .o! of e"ery employee#

      Fero& Corporation