© Operational Excellence Consulting. All rights reserved.
© Operational Excellence Consulting. All rights reserved.
Total ...
© Operational Excellence Consulting. All rights reserved. 2
Learning Objectives
• Explain the meaning of Total Quality Man...
© Operational Excellence Consulting. All rights reserved. 3
Outline
1. Introduction to TQM
2. Customer Focus
3. Employee I...
© Operational Excellence Consulting. All rights reserved. 4
Changing Scenarios for Organizations
Yesterday Today Tomorrow
...
© Operational Excellence Consulting. All rights reserved. 5
Evolution of Total Quality Management
Business
Excellence
Mode...
© Operational Excellence Consulting. All rights reserved. 6
What is Total Quality Management?
• A management philosophy th...
© Operational Excellence Consulting. All rights reserved. 7
Characteristics of TQM
• Focuses on meeting customers’ needs, ...
© Operational Excellence Consulting. All rights reserved. 8
TQM – Is & Is Not
• A way of management
• Commitment to custom...
© Operational Excellence Consulting. All rights reserved. 9
Increased
Competitiveness
Changing
Product
Mix
Customer
Demand...
© Operational Excellence Consulting. All rights reserved. 10
Total Quality Gurus
Total
Quality
Pioneers
W. E. Deming
Phili...
© Operational Excellence Consulting. All rights reserved.
“In the race for
quality, there is
no finish line.”
David Kearns...
© Operational Excellence Consulting. All rights reserved. 12
Hierarchical
Profit-focused
Piece-meal
Top-down
Organized by ...
© Operational Excellence Consulting. All rights reserved. 13
Holistic Approach to TQM
Source: Adapted from John Oakland
Cu...
© Operational Excellence Consulting. All rights reserved. 14
Source: Alex Trotman, CEO Ford Motor Company
Total Customer
S...
© Operational Excellence Consulting. All rights reserved. 15
PERFORMANCE
FEATURES
RELIABILITY
CONFORMANCE
DURABILITY
SERVI...
© Operational Excellence Consulting. All rights reserved. 16
SERVICE
QUALITY
Time
Timeliness
Completeness
CourtesyConsiste...
© Operational Excellence Consulting. All rights reserved. 17
T
E
C
H
N
O
L
O
G
Y
PRODUCT
INNOVATION
M
A
R
K
E
T
 Core Tec...
© Operational Excellence Consulting. All rights reserved. 18
Paradigm Shift - From a Functional to a Team-
based Organizat...
© Operational Excellence Consulting. All rights reserved.
“Alignment is the necessary
condition before empowering
individu...
© Operational Excellence Consulting. All rights reserved. 20
Teamwork : Resultant of Hoshin Kanri & Total
Employee Involve...
© Operational Excellence Consulting. All rights reserved. 21
Integration of Functional & Horizontal
Organizations
Quality
...
© Operational Excellence Consulting. All rights reserved. 22
Speaking with data is a
prerequisite
in successful process
ma...
© Operational Excellence Consulting. All rights reserved. 23
My
Process
Inputs Outputs
• Input Requirements
• Voice of Pro...
© Operational Excellence Consulting. All rights reserved. 24
BREAKTHROUGH
KAIZEN
(INCREMENTAL)
BENCHMARKING
(COMPETITIVE
P...
© Operational Excellence Consulting. All rights reserved. 25
We See Only the Tip of the Iceberg
Poor quality costs a typic...
© Operational Excellence Consulting. All rights reserved. 26
PAF Model
Cost of Quality (COQ)
Cost of Conformance
( COC )
C...
© Operational Excellence Consulting. All rights reserved. 27
Baldrige Excellence Framework
Leadership
Customers
Strategy
O...
© Operational Excellence Consulting. All rights reserved. 28
EFQM Business Excellence Model
Enablers Results
Leadership
Pe...
© Operational Excellence Consulting. All rights reserved.
“TQC, Japanese
style, is a thought
revolution in
management.”
Dr...
© Operational Excellence Consulting. All rights reserved. 30
Artifacts
Values & Beliefs
Underlying Assumptions
Outward
Vie...
© Operational Excellence Consulting. All rights reserved. 31
Transition from Personal Quality to Total
Quality
Scarcity
Me...
© Operational Excellence Consulting. All rights reserved. 32
Hoshin Kanri Process
Direction of
information flow
Catchball:...
© Operational Excellence Consulting. All rights reserved. 33
PDCA Problem Solving Approach
Select the Theme
Plan the Sched...
© Operational Excellence Consulting. All rights reserved. 34
7 Basic QC Tools
• Stratification
• Check Sheet
• Control cha...
© Operational Excellence Consulting. All rights reserved.
About
Operational Excellence
Consulting
© Operational Excellence Consulting. All rights reserved. 36
About Operational Excellence
Consulting
• Operational Excelle...
© Operational Excellence Consulting. All rights reserved.
To download this presentation,
please visit us at:
www.oeconsult...
Upcoming SlideShare
Loading in …5
×

Total Quality Management (TQM) by Operational Excellence Consulting

19,727 views

Published on

Total Quality Management (TQM) is a holistic approach to long-term success that views continuous improvement in all aspects of an organization as a process and not as a short-term goal. It aims to radically transform the organization through progressive changes in the attitudes, practices, systems and structures.​​​

By teaching this presentation, employees will understand the importance of making a personal commitment to quality, focus on satisfying both internal and external customer requirements, and working as a team to improve quality.

This training presentation includes quality philosophies from key quality leaders such as W. E. Deming, J. M. Juran and Philip Crosby, and provides a summary of process management, steps for TQM implementation, key tools and techniques for total quality as well as the key business excellence and quality management models.

LEARNING OBJECTIVES

​Explain the meaning of Total Quality Management (TQM)
Identify key leaders in the field of quality and their philosophies
Identify characteristics of the TQM philosophy
Describe the key business excellence and quality models
Describe Total Quality leadership attitudes and behaviors
Identify tools and techniques for Total Quality
Define the steps for TQM implementation

CONTENTS

​Introduction to TQM
Customer Focus
Employee Involvement & Empowerment
Process Management
Business Excellence & Quality Management Models
Total Quality Leadership
Implementing TQM
Tools & Techniques for Total Quality

To download this complete presentation, please go to: http://www.oeconsulting.com.sg

Published in: Business, Technology
13 Comments
109 Likes
Statistics
Notes
No Downloads
Views
Total views
19,727
On SlideShare
0
From Embeds
0
Number of Embeds
371
Actions
Shares
0
Downloads
0
Comments
13
Likes
109
Embeds 0
No embeds

No notes for slide

Total Quality Management (TQM) by Operational Excellence Consulting

  1. 1. © Operational Excellence Consulting. All rights reserved. © Operational Excellence Consulting. All rights reserved. Total Quality Management (TQM)
  2. 2. © Operational Excellence Consulting. All rights reserved. 2 Learning Objectives • Explain the meaning of Total Quality Management (TQM) • Identify key leaders in the field of quality and their philosophies • Identify characteristics of the TQM philosophy • Understand the importance of process management and measuring the cost of quality • Describe the key business excellence and quality models • Describe Total Quality leadership attitudes and behaviors • Identify tools and techniques for Total Quality • Define the steps for TQM implementation
  3. 3. © Operational Excellence Consulting. All rights reserved. 3 Outline 1. Introduction to TQM 2. Customer Focus 3. Employee Involvement & Empowerment 4. Process Management 5. Cost of Quality 6. Business Excellence & Quality Management Models 7. Total Quality Leadership 8. Implementing TQM 9. Tools & Techniques for Total Quality 10. Summary & Closing NOTE: This is a PARTIAL PREVIEW. To download the complete presentation, please visit: http://www.oeconsulting.com.sg
  4. 4. © Operational Excellence Consulting. All rights reserved. 4 Changing Scenarios for Organizations Yesterday Today Tomorrow Quality Quality Innovation Control Management & Quality Incremental Continuous Breakthrough Improvement Improvement Improvement Cost Reduction Cost Management Value Creation Use of Data Use of Information Use of Knowledge QCs at rank QCs across IQCs across and file level departments organizations
  5. 5. © Operational Excellence Consulting. All rights reserved. 5 Evolution of Total Quality Management Business Excellence Models Learning Organizations 1940’s 1960’s 1980’s 2000’s1900’s Industrial Engineering Business Process Reengineering Lean & Six Sigma Quality System Total Quality Management Design of Experiments Statistical Process ControlQuality Control
  6. 6. © Operational Excellence Consulting. All rights reserved. 6 What is Total Quality Management? • A management philosophy that Quality and Customers are fundamental business principles for the company • Quality means providing our external and internal customers with products and services that fully satisfy their requirements • It aims at continuous improvement through systematic company-wide employee involvement and teamwork that will deliver the best product and service with Total Customer Satisfaction at the lowest cost
  7. 7. © Operational Excellence Consulting. All rights reserved. 7 Characteristics of TQM • Focuses on meeting customers’ needs, by providing quality products and services at a reasonable cost • Focuses on continuous improvement • Recognizes role of everyone in the organization • Views organization as an integrated system with a common aim • Focuses on the way tasks are accomplished • Emphasizes teamwork
  8. 8. © Operational Excellence Consulting. All rights reserved. 8 TQM – Is & Is Not • A way of management • Commitment to customer satisfaction • Involvement of all – functional & cross-functional teams • Continuous improvement of business processes • Based on facts • Focus on prevention • Proactive improvement from within • A passing fad • Merely conforming to customer requirements • Just the responsibility of the “Quality Department” • Narrow focused & sub- optimization of resources • Based on opinions • Dependence on correction • Reactive – only when there are complaints TQM Is… TQM Is Not…
  9. 9. © Operational Excellence Consulting. All rights reserved. 9 Increased Competitiveness Changing Product Mix Customer Demands Globally Integrated Economy Total Quality Management Impetus for Implementing TQM
  10. 10. © Operational Excellence Consulting. All rights reserved. 10 Total Quality Gurus Total Quality Pioneers W. E. Deming Philip Crosby J. M. Juran A. Feigenbaum K. Ishikawa G. Taguchi
  11. 11. © Operational Excellence Consulting. All rights reserved. “In the race for quality, there is no finish line.” David Kearns, former CEO of Xerox
  12. 12. © Operational Excellence Consulting. All rights reserved. 12 Hierarchical Profit-focused Piece-meal Top-down Organized by Functions Narrow Less Congruent / Reactive Flat and Flexible Customer Focus Integrated and Aligned Top-down and Bottom-up Organized by Teams Broad More congruent / Proactive Traditional Organization TQM Organization7S Structure Strategy System Style Staff Skills Shared Values TQM is a Paradigm Shift
  13. 13. © Operational Excellence Consulting. All rights reserved. 13 Holistic Approach to TQM Source: Adapted from John Oakland Culture Systems Tools Teams Process Customer- Supplier e.g. ISO 9000 Quality System, Business Excellence Models, etc. e.g. Problem Solving Techniques & Tools e.g. Quality Management Team, Quality Improvement Teams, etc.
  14. 14. © Operational Excellence Consulting. All rights reserved. 14 Source: Alex Trotman, CEO Ford Motor Company Total Customer Satisfaction and Loyalty Product Service Product Quality Product Innovation Total Customer Satisfaction
  15. 15. © Operational Excellence Consulting. All rights reserved. 15 PERFORMANCE FEATURES RELIABILITY CONFORMANCE DURABILITY SERVICEABILITY AESTHETICS PERCEIVED QUALITY PRODUCT QUALITY Source: Garvin, David A. (1984). “What does Product Quality Really Mean? Sloan Management Review. Vol. 26, No. 1. Eight Dimensions of Product Quality
  16. 16. © Operational Excellence Consulting. All rights reserved. 16 SERVICE QUALITY Time Timeliness Completeness CourtesyConsistency Accuracy Responsiveness Accessibility & Convenience Source: Parasuraman et al, “SERVQUAL” Eight Dimensions of Service Quality
  17. 17. © Operational Excellence Consulting. All rights reserved. 17 T E C H N O L O G Y PRODUCT INNOVATION M A R K E T  Core Technology  Derivative Technology  Technology Acquisition  Segmentation  Captive market  Brand Loyalty Product Innovation
  18. 18. © Operational Excellence Consulting. All rights reserved. 18 Paradigm Shift - From a Functional to a Team- based Organization Steering Committee Process/ QIT Employee Involvement Team Functional Organization Team-based Organization
  19. 19. © Operational Excellence Consulting. All rights reserved. “Alignment is the necessary condition before empowering individuals will empower the whole team. Empowering the individual when there is relatively low level of alignment worsens the chaos and makes managing the team more difficult.” Peter Senge The Fifth Discipline
  20. 20. © Operational Excellence Consulting. All rights reserved. 20 Teamwork : Resultant of Hoshin Kanri & Total Employee Involvement Top-down focus on creating and improving systems HOSHIN KANRI INTEGRATED WITH Bottom-up focus on total employee involvement in continuous improvement TOTAL EMPLOYEE INVOLVEMENT Teamwork
  21. 21. © Operational Excellence Consulting. All rights reserved. 21 Integration of Functional & Horizontal Organizations Quality Cost Project Team Member Project Team Leader Managing Director Project Management Office Production Material & Logistics Packaging Technology Design Engineering Quality Assurance
  22. 22. © Operational Excellence Consulting. All rights reserved. 22 Speaking with data is a prerequisite in successful process management Sustain Process Improve/Modify Process Yes No Use & Analysis of Information Key Performance Indicators Meet Targets & Goals? • Customer Feedback • Market Data • Product/Service Performance • Operational Results • Supplier Quality Process Plan DoCheck Act Applying Management-by-Fact in Process Management
  23. 23. © Operational Excellence Consulting. All rights reserved. 23 My Process Inputs Outputs • Input Requirements • Voice of Process • Output Requirements • Voice of Customer Plan DoCheck Act My “Supplier” My “Customer” Key Process Elements System Boundary
  24. 24. © Operational Excellence Consulting. All rights reserved. 24 BREAKTHROUGH KAIZEN (INCREMENTAL) BENCHMARKING (COMPETITIVE PARITY)  Improve Quality  Reduce Cost  Improve Speed Increase Value to :  Customers  Stakeholders  Process Owners Process Management CONTINUOUS IMPROVEMENT Continuous Improvement
  25. 25. © Operational Excellence Consulting. All rights reserved. 25 We See Only the Tip of the Iceberg Poor quality costs a typical company 15-20% of sales annually Quality engineering and administration Inspection/test (materials, equipment, labor) Expediting Scrap Rework Rejects Warranty claims Maintenance and service Cost to customer Excess inventory Additional labor hours Longer cycle times Quality audits Vendor control Lost customer loyalty Improvement program costs Process control Opportunity cost if sales greater than plant capacity Less Visible Visible
  26. 26. © Operational Excellence Consulting. All rights reserved. 26 PAF Model Cost of Quality (COQ) Cost of Conformance ( COC ) Cost of Non-Conformance ( CONC ) Prevention Cost Appraisal Cost Internal Failures Cost External Failures Cost
  27. 27. © Operational Excellence Consulting. All rights reserved. 27 Baldrige Excellence Framework Leadership Customers Strategy Operations Workforce Integration RESULTS Measurement, Analysis & Knowledge Management Organizational Profile Source: National Institute of Standards & Technology (NIST)
  28. 28. © Operational Excellence Consulting. All rights reserved. 28 EFQM Business Excellence Model Enablers Results Leadership People Strategy Partnerships & Resources Key Results Processes, Products & Services People Results Customer Results Society Results Learning, Creativity & Innovation
  29. 29. © Operational Excellence Consulting. All rights reserved. “TQC, Japanese style, is a thought revolution in management.” Dr. Kaoru Ishikawa
  30. 30. © Operational Excellence Consulting. All rights reserved. 30 Artifacts Values & Beliefs Underlying Assumptions Outward View Inward View Adapted from: Schein, “Organizational Culture and Leadership”. Quality Mindset Commitment to Quality manifested through espoused shared values. Quality Products & Processes Customer-oriented Response Three Levels of Organizational Culture Total Quality Culture
  31. 31. © Operational Excellence Consulting. All rights reserved. 31 Transition from Personal Quality to Total Quality Scarcity Mentality Abundance Mentality Dependence Independence Interdependence Personal & Professional Development Interpersonal Relationship Managerial Effectiveness Private Victory Public Victory Personal Quality Total Quality • Be Proactive • Begin with the End in Mind • Put First Things First • Think Win-Win • Seek First to Understand Then be Understood • Synergize • Sharpen the Saw Process Quality Organizational Productivity
  32. 32. © Operational Excellence Consulting. All rights reserved. 32 Hoshin Kanri Process Direction of information flow Catchball: Negotiation & Alignment between two levels MD Div Manager Dept Manager Section Manager Engineer Customer Satisfaction Feedback Feedback Feedback Feedback Set up & lead Kaizen team to reduce rejects in Line A-1 To improve quality Improve overall yield Reduce defects Reduce rejects in Line A-1 Policy Owner Objective Means To improve quality Improve overall yield Reduce defects Tools & Techniques for Total Quality
  33. 33. © Operational Excellence Consulting. All rights reserved. 33 PDCA Problem Solving Approach Select the Theme Plan the Schedule Grasp the Present Situation Establish the Target Analyze the Cause & Identify Corrective Action Implement Corrective Action Evaluate the Result Standardize & Follow-up PLAN ACT CHECK DO 1 2 3 4 5 6 7 8 Tools & Techniques for Total Quality
  34. 34. © Operational Excellence Consulting. All rights reserved. 34 7 Basic QC Tools • Stratification • Check Sheet • Control chart (Run chart) • Pareto Chart • Cause & Effect Diagram • Histogram • Scatter Diagram Tools & Techniques for Total Quality
  35. 35. © Operational Excellence Consulting. All rights reserved. About Operational Excellence Consulting
  36. 36. © Operational Excellence Consulting. All rights reserved. 36 About Operational Excellence Consulting • Operational Excellence Consulting is a management training and consulting firm that assists organizations in improving business performance and effectiveness. • The firm’s mission is to create business value for organizations through innovative operational excellence management training and consulting solutions. • OEC takes a unique “beyond the tools” approach to enable clients develop internal capabilities and cultural transformation to achieve sustainable world-class excellence and competitive advantage. For more information, please visit www.oeconsulting.com.sg
  37. 37. © Operational Excellence Consulting. All rights reserved. To download this presentation, please visit us at: www.oeconsulting.com.sg END OF PARTIAL PREVIEW

×