TOTAL QUALITY MANAGEME NT (TQM)

Total Quality Management TQM is a philosophy which applies equally to all parts of the organization. TQM can be viewed as an extension of the traditional approach to quality. TQM places the customer at the forefront of quality decision making. Greater emphasis on the roles and responsibilities of every member of staff within an organization to influence quality. All staff are empowered.

Elements of TQM Leadership Top management vision, planning and support. Employee involvement All employees assume responsibility for the quality of their work. Product/Process Excellence Involves the process for continuous improvement.

Elements of TQM Continuous Improvement A concept that recognizes that quality improvement is a journey with no end and that there is a need for continually looking for new approaches for improving quality. Customer Focus on “ Fitness for Use ” Design quality Specific characteristics of a product that determine its value in the marketplace. Conformance quality The degree to which a product meets its design specifications.

A fundamental concept of TQM “ A set of inter-related resources and activities which transform inputs into outputs. ” “ Any activity that accepts inputs, adds values to these inputs for customers, and produces outputs for these customers. The customers may be either internal or external to the organization. ”

DIMENSIONS OF QUALITY OR QUALITY CHARACTERISTIC S what the customer looks in a product. DIMENSIONS OF QUALITY FOR PRODUCTS & SERVICES Performance Features Reliability Conformance Durability Serviceability

THE COST OF QUALITY PREVENTION COSTS Quality planning costs Product design costs Process costs Training costs Information costs

INTERNAL FAILURE COSTS Scrap costs Rework costs Process failure costs Process downtime costs Price reduction THE COST OF QUALITY (CONT.)

EXTERNAL FAILURE COSTS Customer complaint costs Product return costs Warranty claim costs Product liability costs Lost sales costs THE COST OF QUALITY (CONT.)

TQM PRINCIPLES Customer-defined quality Management leadership toward quality Strategic quality planning Employee responsibility Continuous quality improvement Cooperation between the employees and the management Use of statistical quality control Training

TQM & organizational Cultural Change Traditional Approach Lack of communication Control of staff Inspection & fire fighting Internal focus on rule Stability seeking Adversarial relations Allocating blame TQM Open communications Empowerment Prevention External focus on customer Continuous improvement Co-operative relations Solving problems at their roots

Customers’ expectations for the product or service Customers’ perceptions of the product or service Customers’ expectations for the product or service Customers’ perceptions of the product or service Gap Perceived quality is poor Perceived quality is good Expectations > perceptions Expectations = perceptions Expectations < perceptions Perceived quality is governed by the gap between customers’ expectations and their perceptions of the product or service Customers’ expectations of the product or service Gap Source: Slack et al. 2004

Customer’s expectations concerning a product or service Customer’s perceptions concerning the product or service Previous Experience Word of mouth communications Image of product or service Customer’s own specification of quality Management’s concept of the product or service organization’s specification of quality The actual product or service Gap 1 Gap 2 Gap 3 Gap 4 A “Gap” model of Quality Source: Parasuraman, Zeithman and Berry. 1985

No. of Occurrences per Month ประเภท ข้อบกพร่อ ง ABC Classification of Defects Group A: Critical Defects Group B: Moderate Defects Group C: Minor Defects 1.Pareto Chart A method for identifying causes of poor quality

2. A Process Chart A diagram showing job operations or a process Brush Body Fibers Fill Trim Inspect Make Box Insert Close Wrap Inspect Reserve Master Pack Stack Master Box Fold Up Plastic Sheet Pallet Deliver

Obstacles to Implementing TQM Lack of a company-wide definition of quality. Lack of a formalized strategic plan for change. Lack of a customer focus. Poor inter-organizational communication. Lack of real employee empowerment. Lack of employee trust in senior management. View of the quality program as a quick fix. Drive for short-term financial results. Politics and turf issues.

PDCA Cycle repeated to create continuous improvement Time Performance “Continuous” improvement Plan Do Check Act

Product Continual improvement of the quality management system Customers (and other interested parties) Requirements Management responsibility Resource management Measurement, analysis and improvement Product realisation Output Satisfaction Input Source: BS EN ISO 9001:2000 Key: Value adding activity information flow Customers (and other interested parties)

3. A Check Sheet A list of causes of quality problems with the number of defects resulting from each cause //// ////// ///// ////// /// // / Defects Cracks Dents Hairlines / // / // Hour

4. A Histogram A bar chart showing the frequency of occurrence of causes of defects Dispersion Length No. of Occurrences

5. A Scatter Diagram A graph showing how two process variables relate to each other Absentees Productivity

6. A Control Chart and Statistical Process Control (SPC) Monitoring of a production process using the statistical quality control technique U CL LCLLCL

Causes MaterialsMethod ManpowerMachine Effect Quality Problems 7. A Fishbone Diagram A chart showing the different categories of problem causes.