1. © 2007 Pearson Education 16- 1 Managing Quality Integrating the Supply Chain S. Thomas Foster Chapter 16 Implementing and Validating the Quality System

2. © 2007 Pearson Education 16- 2 Strategic Quality Planning Implementing and Validating the Quality System Chapter 16  Building Blocks for the system of quality improvement  Internal validation: documenting and assessing the quality system  Quality audits  Externally validating the quality system

3. © 2007 Pearson Education 16- 3 Strategic Quality Planning Implementing and Validating the Quality System Building Blocks for the system of quality improvement  People  Organizational learning and knowledge  Culture  Closeness to Customers  Information and finance  The three spheres of quality  The integrative approach  Alignment between the quality system and strategy

4. © 2007 Pearson Education 16- 4 Strategic Quality Planning Implementing and Validating the Quality System Building Blocks for the system of quality improvement  People  People represent the core of the firms capabilities  For a quality system to function effectively employees must understand that they are integral to the system

5. © 2007 Pearson Education 16- 5 Strategic Quality Planning Implementing and Validating the Quality System Building Blocks for the system of quality improvement  Organizational learning and knowledge  Knowledge is the capital that fuels outstanding quality results  Outstanding customer service results from providing employees with outstanding training and knowledge

6. © 2007 Pearson Education 16- 6 Strategic Quality Planning Implementing and Validating the Quality System Building Blocks for the system of quality improvement  Closeness to Customers  Companies that value knowledge will gather data about customers and will study and understand customer needs  Customer retention is closely relat5ed to profitability

7. © 2007 Pearson Education 16- 7 Strategic Quality Planning Implementing and Validating the Quality System Building Blocks for the system of quality improvement  Information and Finance  Well-designed information systems … become the institutional memory for customer needs  Financial resources are needed to provide the infrastructure and services that customers want

8. © 2007 Pearson Education 16- 8 Strategic Quality Planning Implementing and Validating the Quality System Building Blocks for the system of quality improvement  The three spheres of quality  Quality planning and management  Quality assurance  Quality control

9. © 2007 Pearson Education 16- 9 Strategic Quality Planning Implementing and Validating the Quality System Building Blocks for the system of quality improvement  The integrative approach  All building blocks must be in place in all functional areas and throughout all levels of the organization

10. © 2007 Pearson Education 16- 10 Strategic Quality Planning Implementing and Validating the Quality System Building Blocks for the system of quality improvement  Alignment between quality systems and strategy  The design of the quality system must have focus

11. © 2007 Pearson Education 16- 11 Strategic Quality Planning Implementing and Validating the Quality System Internal validation: Documenting and Assessing the Quality System Four Stages  Surveying  Categorizing  Investigating  Evaluating

12. © 2007 Pearson Education 16- 12 Strategic Quality Planning Implementing and Validating the Quality System Internal validation: Documenting and Assessing the Quality System Four Stages  Surveying  Categorizing  Investigating  Evaluating Generate list of strengths and weaknesses

13. © 2007 Pearson Education 16- 13 Strategic Quality Planning Implementing and Validating the Quality System Internal validation: Documenting and Assessing the Quality System Four Stages  Surveying  Categorizing  Investigating  Evaluating Reconceptualize list in terms of resources and capabilities

14. © 2007 Pearson Education 16- 14 Strategic Quality Planning Implementing and Validating the Quality System Internal validation: Documenting and Assessing the Quality System Four Stages  Surveying  Categorizing  Investigating  Evaluating Determine where potential competitive advantage lies

15. © 2007 Pearson Education 16- 15 Strategic Quality Planning Implementing and Validating the Quality System Internal validation: Documenting and Assessing the Quality System Four Stages  Surveying  Categorizing  Investigating  Evaluating Choose the appropriate generic strategy for the firm

16. © 2007 Pearson Education 16- 16 Strategic Quality Planning Implementing and Validating the Quality System Quality Audits  Preparation. develop lists of questions, gather materials, form lists of candidates  Audit team selection. Select the right team members for the team  Develop checklists containing the questions to be studied in the audit

17. © 2007 Pearson Education 16- 17 Strategic Quality Planning Implementing and Validating the Quality System Quality Audits Types of audits  Operational audits  assist all members of management in the effective discharge of their of their responsibilities

18. © 2007 Pearson Education 16- 18 Strategic Quality Planning Implementing and Validating the Quality System Quality Audits Types of audits  Performance audits  Supplier audits  Certification audits  Award audits  Consultant audits  Presidential audits

19. © 2007 Pearson Education 16- 19 Strategic Quality Planning Implementing and Validating the Quality System Quality Audits Types of audits  Qualitative and quantitative elements in audits  Qualitative audits compare current practice against structural measures  Quantitative audits actions such as reviewing quality control checksheets to model trends

20. © 2007 Pearson Education 16- 20 Strategic Quality Planning Implementing and Validating the Quality System Externally Validating the Quality System  Establish a purpose  Make a plan  Collect data  Document findings  Evaluate strengths and areas for improvement  Develop improvement strategy

21. © 2007 Pearson Education 16- 21 Strategic Quality Planning Implementing and Validating the Quality System Summary  The audit process and Baldridge self- assessment … provide a means for top management to improve its leadership in the area of quality management

22. © 2007 Pearson Education 16- 22 Strategic Quality Planning Implementing and Validating the Quality System Summary  Companies … should recognize that these approaches are not short term fixes. They require long term commitment and support