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1,TotalQualityManagement,PartI:ContentandProcess,2,Outline,IntroductionWhatisQuality?HowisQualityManagementdeveloped?TQMcontentWhatisTQMdied1993Engineerhowever,everyfirmthatpursuesqualityimprovementwillusehistools.,53,KaoruIshikawas11points,Qualitybeginswitheducationandendswitheducation.The1ststepinqualityistoknowtherequirementsofthecustomer.Theidealstateofqualitycontroliswheninspectionisnolongernecessary.Removetherootcauses,notthesymptoms.QualitycontrolistheresponsibilityofallworkersandalldivisionsDonotconfusethemeanswiththeobjectives,Putqualityfirstandsetyoursightsonlong-termobjectives.MarketingistheentranceandexistofqualityTopmanagementmustnotshowangerwhenfactsarepresentedtosubordinates95%oftheproblemsinacompanycanbesolvedbytheseventoolsofqualitycontrol.Datawithoutdispersioninformationcasefalsedata.,54,ArmandFeigenbaum,FeigenbaumsprimarycontributiontoqualitythinkinginAmericawashisassertionthattheentireorganizationshouldbeinvolvedinimprovingquality.HewasthefirstintheU.S.tomovequalityfromtheofficesofthespecialistsbacktooperatingworkers.Thisoccurredinthe1950s.ContributionsThree-stepprocesstoimprovingquality.Fourdeadlysinsthatimpedequalityimprovement.Nineteenstepsforimprovingquality.,55,ArmandFeigenbaum,Feigenbaumproposesathree-stepprocesstoimprovingquality.,QualityImprovement,OrganizationalCommitment,QualityTechnology,Motivatedbyleadership,Includesstatisticsandmachinerythatcanimprovequality,Includeseveryoneinthequalitystruggle,56,ArmandFeigenbaum,FourDeadlySins(MajorImpedimentstoImprovingQuality)Hothousequalityreferstothosequalityprogramsthatreceivealotofhooplaandnofollow-through.WishfulthinkingoccurswiththosewhowouldpursueprotectionismtokeepAmericanfirmsfromhavingtocompeteonquality.Producingoverseasisapanaceasometimesundertakenbymanagerswhowishthatoutofsight,outofmindcouldsolvequalityrelatedproblems.Confiningqualitytothefactorymeansthatqualityhashistoricallyjustbeenviewedasashopfloorconcern.,57,Feigenbaums19steps,TotalqualitycontrolisdefinedasasystemofimprovementBigQqualityismoreimportantthanlittleqqualityControlisamanagementtoolwithfourstepsQualitycontrolrequiresintegrationofuncoordinatedactivitiesQualityincreasesprofitsQualityisexpected,notdesiredHumanaffectqualityTQCappliestoallproductsandservicesQualityisatotallife-cycleconsideration,ControltheprocessATQsysteminvolvestheentirecompany-wideoperatingworkstructureTherearemanyoperatingandfinancialbenefitsofqualityThecostsofqualityareameansformeasuringqualitycontrolactivitiesOrganizeforqualitycontrolManagersarequalityfacilitators,notqualitycopsUsestatisticaltoolsAutomationisnotapanaceaControlqualityatthesource,58,PhilipCrosby,CrosbybecameverywellknownforhisauthorshipofthebookQualityisFree.Theprimarythesisofthisbookwasthatquality,asamanagedprocess,canbeasourceofprofitforanorganization.Crosbyspecifiesaqualityimprovementprogramconsistingoffourteensteps.ThesestepsunderlietheCrosbyzerodefectsapproachtoqualityimprovement.Hisapproachemphasizesthebehavioralandmotivationalaspectsofqualityimprovementratherthanstatisticalapproaches.,59,CrosbysFourAbsolutes,ThedefinitionofQuality=conformancetorequirementsThesystemofcausingQuality=preventionTheperformancestandardforQuality=zerodefectsThemeasurementofQuality=priceofnonconformance,60,Crosbys14stepstowardsQuality,MakeitclearthatmgtiscommittedtoqualityFormqualityimprovementteamsfromeachdepartmentDeterminehowtomeasurewherecurrentandpotentialqualityproblemslieEvaluatethecostofqualityandexplainitsuseasamgttoolRaisethequalityawarenessandpersonalconcernofallemployeesTakeformalactionstocorrectproblemsidentifiedthroughpreviousstepsEstablishacommitteeforthezero-defectsprogramTrainallemployeestoactivelycarryouttheirpartofthequalityimprovementprogram,9.Holda“zero-defectsday”toletallemployeesrealizethattherehasbeenachange10.Encourageindividualstoestablishimprovementgoalsforthemselvesandtheirgroups11.Encourageemployeestocommunicatetomgttheobstaclestheyfaceinattainingtheirimprovementgoals12.Recognizeandappreciatethosewhoparticipate13.Establishqualitycouncilstocommunicateonaregularbase14.Doitalloveragain,61,GenichiTaguchi,TheTaguchimethodwasfirstintroducedbyDr.GenichiTaguchitoATprovidethedirectionandcommunicatethelong-termgoalsforCustomerSatisfaction,EmployeeMotivationandSatisfaction,MarketShare,ROA,andProductivity.,TheStrategicContractandAnnualPlandescribethegoals,boundaries,anddirectiontoprovideexternalandinternalcustomerswithinnovativeproductsandservicesthatanticipateandfullysatisfycustomerrequirements.,1.2,ManagingForResults,TheManagingForResults(MFR)Processisthewaywedeployourvisionandlong-termgoals,andsetannualobjectivesbyconductingdiagnosisusinggapanalysis.,AnnualobjectivesareestablishedfromtheBusinessAssessmentdiagnosisandarecongruentwithsupportorganizations.PerformanceismeasuredagainstannualobjectivesinOperationsReviews,AnnualPlanReviews,andStrategyReviews.Allemployeeshaveobjectivesandunderstandhowtheylinktotheirorganizationobjectives.,1.3,BehavioursandQualityValues,ManagementlivestheXeroxQualitypolicy,continuouslypromotingandensuringitsapplicationinpursuitofcustomervalueandbusinessresults.,ContinuousimprovementinmanagementlivingtheXeroxpolicyisconfirmedbyemployeefeedbackinESMThepercentageofmanagersatninerolemodMRPcontinuouslyimproves.TheorganizationannualBecontinuousimprovement.The8CulturalDimensionsatheunitManagementPerPlanningdocumentation,1.4,Fact-basedManagement,Managementroutinelyuses,inspectsfor,andcoachesothersintheuseoffactualdataindiagnosis,rootcauseais,decisionmaking,andinestablishinggoalsforcontinuousimprovementabreakthroughproductivity.,F,1.5,Empowerment,AnEmpowermentinfrastructureandenvironmentisunitstoprovidedirection,esanddeployinformationtgroups.,1.6,Communication,Anorganizationalc,1.ManagementLeadership,Xeroxmanagementdisplaysacustomerfocus;exhibitsrolemodelbehavior;establishesclearlong-termgoalsandannualobjectives;establishesstrategicboundaries;andprovidesanempoweredenvironmenttoachieveworld-classproductivityandbusinessresults.,Practice,Whichmetricsareusedtodeterminesuccess,Whatistobeachieved,EvaluationCriteriaandRatingMechanism,1,RATING,2,3,4,5,6,7,LITTLEPREVENTATIVEEFFORT,NATIONAL&WORLDCLASSLEADERS,RATING,RESULTS,APPROACH,PERSUASIVENESS,1,Anecdotalorgeneralizationorguess,Anecdotal,nosystemevidentordocumented,Anecdotal,isolatedmaynotbetrueatalllevels,7,Excellent(worldclass)resultsGoodtoexcellentinsupportareasSustainedresults(2-5years),Sound,systematicpreventionbasedrefinedthroughevaluation/improvementcyclesExcellentintegration,CoreareasandsupportareasFulldeploymentManagement,employeesandcustomersworktheproblem,BSAResultsSummary,108,XeroxRatingCriteria,SomecoreareasofbusinessManagementoremployeesworktheproblem,Fromsometomanysupportareas,CoreareasandsupportareasFulldeploymentManagementemployeesandcustomersworktheproblem,Anecdotalorgeneralizationorguess,Anecdotal,nosystemevidentordocumented,Anecdotalisolated,maynotbetrueatalllevels,Sporadictrends,Sloppyorover-bureaucratic,Theorynotpractice,Somepositivetrendsinsomeoftheareasdeployed,Beginningsofsystematicpreventionbasis,Soundsystematicpreventionthatincludesevaluation/improvementcyclesSomeevidenceofintegrationintomanagementprocess,CoreareasofbusinessManagementoremployeesworktheproblem,GoodinmajorareasPositivetrendsfromsometomanysupportareasEvidencethatmostresultsarecausedbyapproach,Soundsystematicpreventionbasiswithsomeevidenceofrefinementthoroughevaluation/improvementcyclesSoundevidenceofintegrationintomanagementprocess,Coreareasofabusiness,plussomesupportareas,GoodtoexcellentinmajorareasClearevidencethatmostresultsarecausedbyapproach,Goodintegration,Excellent(worldclass)resultsinmajorareasGoodtoexcellentinsupportareasSustainedresult(2-5years),Soundsystematicpreventionbasisrefinedthoroughevaluation/improvementcyclesExcellentintegration,Results,Approach,Pervasiveness,Rating,1,2,3,4,5,6,7,PositivetrendsinmostmajorareasEvidencethatsomeresultsarecausedbyapproach,109,SummaryDocumentation,ELEMENTASSESSMENTSUMMARY,Item:DesiredState:Owner:,Rating:,9293,PERFORMANCE,CONTRIBUTINGFACTORS,IMPROVEMENTAREAS,STRENGTHS,ACTIONS,WHATWHOWHENSTATUS,SELF-ASSESSMENTSUMMARYUADRANT,Item:DesiredState:Owner:,Rating:,9293,PERFORMANCE,CONTRIBUTINGFACTORS,IMPROVEMENTAREAS,STRENGTHS,ACTIONS,WHATWHOWHENSTATUS,BSAResultsSummary&Quadrant,ClosingtheGap,RegularreviewsCommunication,5.Implementation,Basedonimpacttoachievingobjectives,2.Selection,1.Self-Assessment,1,2,3,4,5,6,7,ImprovementContinuousBreakthrough,4.GapClosure,ActionPlanning,Target,Result,AchievedDate,3.GapAnalysis,ManagementLeadership,HumanResourceManagement,BusinessProcessManagement,CustomerandMarketFocus,InformationUtilizationandQualityTools,BusinessResults,ProblemStatement,RootCause,Plan,Actual,Year1,Year2,SelfAssessment,Gap,Diagnosis,Gap,ProcessChange,HumanResourceManagement,BusinessProcessManagement,CustomerandMarketFocus,InformationUtilizationandQualityTools,BusinessResults,ManagementLeadership,Results,ContinuousImprovement-YearafterYear,ManagementLeadership,ManagementLeadership,HumanResourceManagement,BusinessProcessManagement,CustomerandMarketFocus,InformationUtilizationandQualityTools,Results1994,ManagementLeadership,Results1995,HumanResourceManagement,BusinessProcessManagement,CustomerandMarketFocus,InformationUtilizationandQualityTools,Results1996,HumanResourceManagement,BusinessProcessManagement,CustomerandMarketFocus,InformationUtilizationandQualityTools,Year1,Year2,Year3,116,ThefourphasesofTQMjourney(Easten&Jarrell2000),Phase0:pre-deploymentPhase1:internalfocuseddeploymentPhase2:refinementandexpansionofcoreapproachPhase3:integrationandfocusonhighlevelprocesses,117,Phase0:Pre-deploymentperiod,2-5yearsPlanningmeetingsCreationoftaskforcestostudythecompetitivesituationsStudytripstotoothercompaniesTrainingofalimitednumberofexecutivesDevelopmentofvision&missionMeetingswithgurusandconsultantsInternalannouncementofthenewprogramUnderstandcustomerdissatisfaction,118,Phase1:Internalfocus,1-3yearsFocusonproductionprocessWidespreadtrainingFormworkimprovementteamsfocusingoneliminationofdefectsFormparallelstructure:QualityCouncilsorSteeringCommitteeSupplierperformancetrackingsystemsCustomersurveydamagecontrol,adhocDevelopqualitymetricsOnetime,adhocactivities,119,Phase2:Revisiting(1),Atleast3yearsProcessmanagement(PM)oftennotfullyunderstood,muchlessdeployedProcessdocumentationout-of-dated&bureaucraticCriticalissuesinprocesscontrolhasnotbeenidentifiedProcessoperatorshavenotbuy-inProcessstandardizationandcontrol,theirrelationshiptoemployeeinvolvementwereeithermisunderstoodbymanagementorineffectivelyimplemented,120,Phase2:Revisiting(2),ProcessstandardizationandcontrolStartrealizingtheroleofmanagers,supervisorsandtechnicalstaffinprocessmanagement,improvement,andteamworkTrainingonmanagementandsupervisionskillsFillingthegapofPhase1Relyonmultiplequalityapproaches,121,Phase2:Revisiting(3),StartaddressingproductdevelopmentusingtoolssuchasQualityFunctionDeployment(QFD),DesignofExperiment(DOE),FailureModeandEffectsAnalysis(FMEA)Creationofcross-functionaldesignteamsSystematicallymeasuringcustomersatisfactionandmapbacktheresultstodriveprocessimprovementandproductdevelopmentSuppliermanagementsystemisinplaceReductioninnumberofsuppliersJointsupplierimprovementinitiatives,122,Phase2:Revisiting(4),ProcessmanagementandimprovementextendtootherkeyprocessesDevelopmentofrewardandrecognitionsystemDeploymentorrefinementofstretchgoalsDevelopmentofqualityreportingsystemRefinementofworksinPhase1Expandeffortstomoredifficultwork,123,Phase3:Integration(1),IntegrationofTQMintobothtacticalandstrategicdecisionmakingFormalizedproductdevelopmentprocessCross-functioninvolvementbecomesthenaturalwayofmanagingCustomermanagingsystemintegratecustomerinformationfromvarioussourcesSpecificapproachesaredevelopedforanticipatingfuturecustomerrequirementswhichisalsointegratedintokeyprocessesTruecustomerpartnershipsaredevelopedwithsomecustomers,124,Phase3:Integration(2),TheTQMapproacheshaveextendedtomaintenanceMajorsuccessofbusinessprocessimprovementCustomerserviceprocesseshavebeenrefinedthroughseveralcyclesofrefinementProblemsolvinganduseofadvancedanalysismethodsstarttobecomeeffectiveSelf-managedteamsmaybeunderwayHighlyeffectivestrategydeploymentprocessUndertakebenchmarking,125,Summary,ManycompanieswithadvancedTQMstatushavemultipledeploymentphasesMostcompaniesgothroughaphaseofseveralyearspre-deploymentbeforetheactualcompany-widedeploymentSeniormanagementmustpreparedforthefactthattheTQMeffortswillbeunderwaylongerthantheyexpect.ThepopularityofCrosbysapproach,126,CostsofQuality(COQ),Preventioncosts-reducingthepotentialfordefectsAppraisalcosts-evaluatingproducts,parts,andservicesInternalfailure-producingdefectivepartsorservicebeforedeliveryExternalcosts-defectsdiscoveredafterdelivery,

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