5. History
The age of Craftsmanship-
Manufactures directly dealing with customers
- (Middle Ages)
Development of interchangeable component products
- The Blanc’s muskets (1750)
2 years project took 10 years to complete!
6. Gun Making with Interchangeable parts
http://www.uh.edu/engines/epi1252.htm
7. History
The Early 20th Century
Separation of planning from execution (Frederick Taylor)
Quality by inspection
Quality departments (responsibility of quality department)
SQC (Bell Telephone Laboratories- 1920)
War production (II-WW) SQC was strictly imposed.
8. Early History
Post War II
Shortage of goods- Quality not a priority
SQC introduced in Japan by Juran and Deming
- 20 years -
Kaizen helps Japan beat West in Quality and
penetrate in Western Markets
9. Early History
The US Quality Revolution
Government safety regulations
Consumer Products Safety Commission
Product-liability judgments
“If Japan can … Why Can’t We?”
10. Early History
XEROX
- Leadership Through Quality initiative (David Kearns).
Defects per 1000 machines reduced by 78%
Unscheduled maintenance decreased by 40%
Manufacturing cost dropped by 20%
Product development tine decreased by 60%
Overall product quality improved by 93%
Service response time improved by 27%
Won Malcolm National Baldridge Award 1989
Strong growth in 1990’s !
11. Excellace
From Product Quality to Performance Excellence
NASA: Excellence award for quality and productivity (1985)
US Congress: Malcolm Baldrige Quality Award (1987)
President Reagan: Federal Quality Prototype Award (1988)
Florida Power and Light won Deming Prize (1989)
AT&T Won Deming Prize (1994)
12. Little Q and Big Q
q: Manufacturing Quality
Q: Management of Quality
Long-term relationships,
Develop strategy,
Measure performance,
Analyze data,
Reward & train employees,
Design and Deliver product and services
Customer satisfaction
13. Bad Practices
Disappointments and Criticism
Douglas Aircraft
Poor organizational approach
Poor quality strategies
Poor execution of good strategies
Bad Management
14. Quality
Current and Future Challenges -
- Reinterpretation
1. Partnering
2. Learning systems
3. Adaptability and flexability
4. Environmental Stability
5. Globalization
6. Knowledge Focus
7. Customization and differentiation
8. Shifting Demographies
“Quality is a race
without a finish
line” …..
David Kearns
16. Defining Quality
Perfection
Consistency
Eliminating waste
Speed of delivery
Compliance with policies and procedure
Providing a good, usable product
Doing it right the first time
Delighting or pleasing costumers
Total customer service and satisfaction
18. Defining Quality
Product-Based Perspective
- function of some measurable variables
No. of knots/sq in
No. of dots/in
No. of cylinders in an engine
Mistakenly assumed to be related to price!
23. Quality
Costumer Driven Quality
Customers, Consumers and Suppliers
Internal Customers
External Customers
“Our costumers are intelligent: they expect us continuously
evolve to meet their ever-changing needs. They can’t afford to
have a thousand mediocre suppliers in today’s competitive
environment. They want a few exceptional ones”
CEO Fujitsu
Quality is meeting or exceeding customer expectations
24. “Quality in a service or product is not what
you put into it. It is what the client or
customer gets out of it.” – Peter Drucker
"If you don't have time to do it right you
must have time to do it over." – Unknown
"Optimizing processes in a company is like
cultivating good habits at home" –
Unknown
“Productivity and efficiency can be
achieved only step by step with sustained
hard work, relentless attention to details and
insistence on the highest standards of
quality and performance.” - J. R. D. Tata
25. Quality
Total Quality Control
- Total System approach
Total quality is a people-focused management system that aims at
continual increase in costumer satisfaction at continual lower real
cost.
Horizontally and vertically integrated approach stressing learning
and adaptation to continual change. Unyielding and continually
improving effort.
26. Total Quality
Principles of Total Quality
1. Customer & stakeholder focus.
2. Everyone's participation
3. Continual improvement and learning
27. Total Quality
Customer & Stakeholder Focus
Beyond merely meeting specifications
Delighting the customer
External costumers are important
Internal customers are equally important
Knowledge, skills, creativity are key to success.
Motivation, recognition of employees.
28. Total Quality
Participation and teamwork
Empowerment
Freedom and encouragement to make decisions
Horizontal coordination
Involvement in solving systemic problems
(Cross functional boundaries)
29. Total Quality
Process Focus and Continual Improvement
1. Enhancing value through improved products
2. Reducing defects, wastes etc.
3. Increasing productivity and effectiveness
4. Improving responsiveness
Improvement depends on learning.
1. Planning
2. Execution
3. Assessment of progress
4. Revision of plans
30. Quality
Quality and Competitive Advantage
- Ability to achieve market superiority
Characteristics
1. Customer need driven
2. Contributes to success of the business
3. Matches companies unique opportunities
4. Difficult to copy
5. Potential of further improvement
6. Provides direction and motivation to
organization
Product quality
provides
profitability due
to larger market
share and
premium prices.
