1. Deming’s 14 Principles W. EDWARDS DEMING

2. THE DEMING CHAIN REACTION Improve Quality Costs decrease because of less reword, fewer mistakes, fewer delays, snags, better use of machine time and materials Productivity Improves Capture the market with better quality and lower price Stay in business Provide jobs and more jobs

3. Feedback on Deming Seminars Union Representative “I think our plant is far from this way of management. Management is not willing to change and that’s what it will take” “Sounds too good to be true…Fear has always been and it will be a factor affecting employee efficiency” “I think in most cases in the past, management says one thing on the one hand and business goes on on the other” “The concepts presented in this seminar will have to be implemented by upper management. We have no communication with upper management” Engineer Tool setter Product designer

4. Create constancy of purpose for the improvement of product an service.

5. Innovation Put Resources into Research and Education Put Resources into Research and Education Continuous Improvement of Products and Services Continuous Improvement of Products and Services Invest in Maintenance of Equipment Furniture and Fixtures, and in New Aids to Production in the Office and in the Plant Invest in Maintenance of Equipment Furniture and Fixtures, and in New Aids to Production in the Office and in the Plant McGraw-Hill/Irwin©2006 The McGraw-Hill Companies, Inc. All rights reserved. Create constancy of purpose for the improvement of product an service.

6. Adopt the new philosophy.

7. Cease dependence on mass inspection.

8. Old Way New Way INSPECT BAD QUALITY OUT BUILD GOOD QUALITY IN Cease dependence on mass inspection.

9. End the practice of awarding business on price tag alone.

10. Improve constantly and forever the system of production and service.

11. Institute training and retraining

12. Institute leadership

13. Drive out fear.

14. Break down barriers between staff areas.

15. Eliminate slogans, exhortations, and targets for the workforce.

16. Eliminate numerical quotas.

17. Remove barriers to pride of workmanship.

18. Institute a vigorous program of education and retraining.

19. Take action to accomplish the transformation.

21. Deming’s 7 Deadly Diseases and Some Obstacles W. EDWARDS DEMING

22. Lack of Constancy and Purpose

23. Emphasis on Short-term Profits

24. Evaluation of Performance, Merit Rating, or Annual Review

25. Mobility of Top Management

26. Running a company on Visible Figures alone (‘counting the money’)

27. Excessive Medical Costs

28. Excessive Costs of Warranty, fueled by Lawyers that work on contingency fees

29. OBSTACLES (1 of 2) Neglect of long-range planning and transformation The supposition that solving problems, automation, gadgets, and new machinery will transform industry Search for examples Our problems are different Obsolescence in schools Reliance on quality control departments Blaming the workforce for problem

30. OBSTACLES(2 of 2) Quality for inspection False starts The unmanned computer Meeting specifications Inadequate testing of prototypes “Anyone that comes to try to help us must understand all about our business”