The document provides an overview of quality management, including its definition, evolution, and various tools and techniques. It discusses that quality management aims to meet customer expectations and ensure customer satisfaction. The document then outlines several quality management approaches that have evolved over time, such as inspection, statistical process control, design of experiments, Taguchi's robust design method, ISO standards, Six Sigma, and Kaizen. It also provides a case study of Toyota's quality management system and its implementation of Lean and continuous improvement practices.

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DEPARTMENT OF COMMERCE
BHANJA BIHAR
BERHAMPUR,ODISHA
1
Objective of the study
To provide an Overview of the meaning of quality management
and its evolution including various tools and techinques for
quality control.

2. Leveraging Product Quality For
Ensuring Sustainability
Presented by:
(Group 2)
Saroj Ku. Behera(03)
Sneha Kumari(26)
Gopal Acharya(21)
about
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Under the Guidance of:
B. Venkataeswara Rao
Maheshwar Sethi
Shakti Ranjan Dash

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QUALITY MANAGEMENT –AN OVERVIEW
QUALITY
QUALITY MANAGEMENT
NEED AND OBJECTIVES OF QUALITY
MANAGEMENT
EVOLUTION OF QUALITY MANAGEMENT
SIX SIGMA
KAIZEN THEORY
TOYOTA PRODUCTION SYSTEM -Case Study
CONCLUSION
3

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Quality Management : An Overview
overview
Quality
Quality is the ability of a product or service to consistently meet or exceed
customer expectations.
The totality of features and characteristics of a product or services that bear on
its ability to satisfy stated or implied needs of the customer.
Quality- What is It?
“The degree of excellence of a thing”
Fitness for consumer use- meet or exceed customer expectations.
“The totality of features and characteristics that satisfy needs”
(American Society for Quality Control- ASQ)
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Quality Management
Quality Management is the art of overseeing all activities and tasks needed to maintain
a desired level of excellence.
In general, quality management focuses on long term goal through the
implementation of short-term initiatives.
Process of Quality Management
1
• PLANNING
2
• QUALITY ASSURANCE
3
• QUALITY CONTROL
4 • QUALITY IMPROVEMENT

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Needs Of Quality Management
Ensures superior quality products and services
Essential for customer satisfaction leading to customer loyalty.
It ensures increased revenues and higher productivity.
It helps organisations to reduce waste and inventory.
Objectives Of Quality Management
Customer satisfaction
Improve market share
Performance superiority
-speed
-cost
-quality
-dependability
-flexibility

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The ISO defines “An inspection is an activity such as measuring,examining,testing one or more
characteristics of a product or service and comparing the results with specified requirements of
the consumer or not”.
Inspection(1930)
Types of inspection
Pre-production inspection
During production inspection
Final random inspection
Container loading inspection

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Statistical Process Control (SPC)
Statistical Process Control (SPC) is an industry standard methodology for measuring and controlling
quality during the manufacturing process. Attribute data(measurements) is collected from products
as they are being produced.

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Design of Experiments (DOE-1940)
Design of experiments (DOE) is a systematic method to determine the relationship between factors
affecting a process and the output of that process. In other words, it is used to find cause-and-effect
relationships. This information is needed to manage process inputs in order to optimize the output.

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Taguchi Robust Design(1975)
•Robust Product design as a concept, developed by Dr. Genichi taguchi
•It is defined as reducing variation in various product characteristics.
•In other words, making the product or process insensitive to variation
This variation(some time called noise) can come form a varity of factors.
Dr. Genichi Taguchi
the design of a new product any design activity can be called as robust. If it leads the product
To have longer life
To be more consistent with use
To perform consistently as temperature and other conditions change.

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Quality Management System (1985)
Total Quality Management (TQM)
ISO 9000
The ISO 9000 family of quality management system standatds is designed to help
organisations ensure that they meet the needs of customer and other stakeholder while
meeting statutory and regulatiry requirement related to a product or service.
ISO 14000
The ISO 14000 is a family of standards related to environment management that exist to help
organisations:
(a)minimise how their operations negatively affect the environment.
(b)comply with applicable laws,regulations and other evironmently oriented requirements.
(c)continually improving in the above
KEY DIFFERENCE BETWEEN ISO 9000 AND ISO 14000
ISO 9000
It provides series of standards
relating to quality assurance
requirements and quality
management guidance.
ISO 14000
It provides series of standards
relating to environmental
management tools and systems.

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Six sigma
Meaning of Six Sigma
Six sigma is a management technique developed by motorola in 1986
It is purely a scientific method used for process improvement and this method is known as DMAIC.
Main focus is on quality improvement and reduction of waste + defects, it targets to bring down
the error rate to 3.4 errors per milion opportunities(PMO)
Resulting in better,faster,cost effective product and services
Types of Quality
Quality traditionally is conformance to internal requirements,which is expressed as
Quality
Potential Quality Actual Quality
(It is a maximum possible value
added per unit of input)
(Current value added per
unit of input)
Potential Quality – Actual Quality= Waste
( PQ) (AQ)
This is where Quality Management apply different tools and techniques to raise AQ to PQ

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What is Six Sigma ?
Six sigma is a rigorous,focused, highly effective implementation of proven principles and techniques
which aims at virtually error free business performance target to 3.4 DPMO
This is done using DMAIC Process improvement model
What is sigma?
Sigma is a greek alphabet measure the variability of any process using sigma level.
SIGMA LEVEL DEFECT RATE YIELD
2 Sigma 308,770 DPMO 69.10000%
3 Sigma 66,811 DPMO 93.33000%
4 Sigma 6,210 DPMO 99.38000%
5 Sigma 233 DPMO 99.97700%
6 Sigma 3.44 DPMO 99.99966%

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The main focus of six sigma is to reduce defects and variations in the processes.DMAIC (Execution) and
DMADV (design process) are the models used in most six sigma initiatives. DMADV is the model for
designing processes while DMAIC is used for improving the process.
Execution of this methodology
 DMADV
Define:Determine the project goals and the requirement of customer.
Measure:Assess customer needs and satisfaction.
Analyse:Examine process options to meet customer requirements.
Design:Develop the process to meet customer requirement.
Verify: Check the design to ensure that it”s meeting customer needs.

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 DMAIC
Define:Defining the goals of improvement activities.
Measure:Measure the existing system.
Analyse:analyse the system and analyse the ways to eliminate the gap between the current
system and desired system.
Improve:Improve system accordingly.
Control: establish standards and controls to sustain improvements in the long run.

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Six Sigma works for
Plant ManagersCustomer Sales person
Anyone
•Improve forecast
•Reliability
•Better Pricing Strategy

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Top Companies who have successfully adopted Six Sigma strategies include:

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Kaizen Theory:
Kaizen is a japanese term that meams continuous improvement,taken from the word “kai” which
means continuous and “Zen” which means Improvement.Some translate “kai” to mean chage
and “Zen” to mean good.or for better. Kaizen is one of the most commonly used words in japan.
Masaaki Imai is known as the developer of kaizen.
KAI+ZEN=CONTINUOUS IMPROVEMENT
“KAI”-Good
“ZEN”-Change
KAIZEN-Good Change or Continual Improvement
Kaizen means making changes for better on a continual, never-ending basis..
It aims to eliminate waste (defined as “activities that add cost but do not value”)
An appproach for improvement of quality and productivity
Improvement from daily management and operation
Starts with small improvement
Humanized approach to workers
-Motivates employees, creating sense of belonging and sense of fulfillment.
-Eliminates hard work

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Kaizen Theory:
History
First made popular by toyata as part of their Toyota Production System(TPS)
in the 1970s
“Discovered” and described in books in the west starting in the 1980s

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Kaizen Implementation concept:
Some of these concepts inspired by kaizen are:
Kaizen cycle (PDCA)
5s

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Kaizen Implementation concept:
5s
Sort: keep only necessary items in the workplace
Set in order: arrange items to promote efficient workflow
Shine: clean the work area so it is neat and tidy
Standardise: set standards for consistently organised workplace
Sustain: maintain the review standards
Benefits of kaizen
Empowers emplyoees,enriches the work experience and
brings out the bestIn every person
Promote personal growth of employees and the company
Improve quality,safety,coct structure,delivery and customer service / satisfaction

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TOYOTA PRODUCTION SYSTEM:
Company profile
Toyota, is a Japanese multinational automotive manufacturer
headquartered in Toyota, Aichi, Japan.
Founder: Kiichiro Toyoda
C.E.O: Akio Toyoda
Founded:28 August 1937, Japan
HISTORY
Toyota Motor Corporation is a japanese mulitinational automative manufacturer headquarted in
toyata,Aichi,Japan.
The company was founded by Kiichiro Toyoda in 1937, as a spinoff from his father`s toyota industries
to create automobiles.

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About Toyota:
Founded:August 28,1937 ; 80 years a go
Founder: Kiichiro Toyoda
Headquater:toyota.Aichi,japan
Revenue:28.40 trillion (yen) (2016)
Operating Income: 2.85 trillion (2016)
Profit: 2.31 trillion (2016)
Total Assets:47.42 trillion (2016)
Total Equity:17.22 trillion (2016)
Number of Emplyee:3,48,877 (2016)

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GLOBAL BRAND EQUITY & IDENTITY:

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MARKET SEGMENTATION:
Toyota motor corporation (TMC) is a widely recognised car manufacturer around the
world.Currently, Toyota is the top carmaker in the world in both production number and sales.
Segmentation Followed By Toyota
1. Demographic Segmentation: Based on nationality,Gender and age
2. Psychographic Segmentation:Based on life style and social value.
Development Strategies
•The company has a keen focus on developing a clean energy car.
•In 1997, Toyota launched the prius, the first mass produced hybrid car, for $19,995.
•The prius family totalled global cummulative sales of 6.3 million units in january 2017.
representing 61% of the 10 million hybrids sold worldwide by toyota since 1997.

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Product Strategies:
Prduct customisation
Fuel efficient
Desinig and Safety
Quality,Reliability and Durability
Product mix

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Manufacture & Pricing Strategies:
The company aims at lean manufacturing and continuous improvement. It has well equipped plants which can
make large number of vehicles simultaneously to increase the pace of production.
The company follows a value based pricing strategy which focuses on market competitiors and conditions`

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Distribution Strategy:
•The main target is to provide access of products at places where targeted customers can easily access it.
•Chains of dealership and retailer are main distribution channels across the globe.
Toyota In India
•In india, The company works in a joint ventures with kirloskar Group.
•Toyota kirloskar motor is a subsidiary of toyota motor corporation of japan
•It is currently the 4th largest car maker in india
Customer satisfaction is main priority of ythe company. There were many times when they called back
certain vehicles due to minor problem in them.
To satisfy the needs of each segment customer, the company manufactures a whole lot of diffeent
products ranging from luxury segment to pickup trucks.
Customer Satisfaction

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Promotion:
The following are main channels of product promotions-
TV ads, newspapers,social media,websites etc
Individual customer interactions.
The following are a few key points of the company’s success-
Lean manufacturing and continuous improvement.
Unique marketing strategies
Proper market segmentation
Customer satisfaction is top priority.
Integrated manufacturing units.

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CONCLUSION:
In order to meet the customer requirements the firm should adopt these quality
control tools.The implementation of these tools and techniques provide better quality
products and services as well as focuses on the external environment to meet the cut-
throat competition.

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GPL PC
Source:books,youtube,websites,wikipedia