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EVOLUTION OF
QUALITY IN XEROX
Presented by,
Group 1
Jappreet S. Bhatia
Lokesh Yadav
Deepak Jain
• Xerox Corporation – 1906 and 1959 - Xerox 914
• Manufactures color and black-and-white printers,
multifunction systems, ...
XEROX HISTORY
1959 1972 1979 1980 1983 1989 1990s
Continuous
Improvement
AWARDS
• The Deming Award (Japan) In 1980
• The Malcolm Baldridge National Quality Award In 1989
• The European Quality Aw...
ISSUES IN CASE
• During the 1970s, however, IBM and Kodak entered the
high-volume copier business—Xerox’s principal market...
CONTD …
• In comparing itself with its competition, Xerox
discovered that it had nine times as many suppliers, twice
as ma...
LEADERSHIP THROUGH QUALITY
PROGRAM AT XEROX
In 1983, company president David T. Kearns became convinced
that Xerox needed ...
THE PLAN - LEADERSHIP THROUGH QUALITY
• 1983-the year of start-up activities
• 1984- the year of awareness and understandi...
XEROX QUALITY POLICY STATEMENT
Kearns and the company’s top 25 managers wrote the Xerox
Quality Policy, which states:
“Xer...
OBJECTIVES ACHIEVED
• To instill quality as the basic business principle in Xerox,
and to ensure that quality improvement ...
4 GOALS PREVAILED IN XEROX
• Customer goal
- to become an organization with whom customers are
eager to do business
• Empl...
1983 XEROX IMPERATIVE
BENCHMARKING
• Benchmarked more than 200 processes with those of non
competitive companies
• Ideas for improving productio...
XEROX ‘S BENCHMARKING MODEL
Planning
Analysis
Integration
Action
Maturity
IMPORTANT SUPPORTING ELEMENTS
Recognition
and
Reward
Tools
and
Processes
Transition
Team
Training Communi-
cation
Senior
M...
RESULTS OF LEADERSHIP THROUGH
QUALITY
o Rejection rate fell from 10,000 ppm to 300 ppm
o No inspection was required for th...
Xerox’s Outcome
Initially:
• Failed to focus adequately on core work processes
and statistics.
• Plan was not integrated w...
WHAT XEROX DID RIGHT
1. It made an appropriate diagnosis of how to cure the ills of the
company.
2. Quality was the right ...
5. Information systems use was effectively aligned with
its business objectives and processes to achieve them
6. Executive...
RESTRENGTHENING QUALITY
INFORMATION SYSTEMS
SUPPORT
• Xerox had over 375 major information systems supporting
the total business.
• Over 175 of th...
XEROX’S LEAN SIX SIGMA
Performance excellence process
• Supports clearer, simple alignment of corporate
direction to indiv...
XEROX’S LEAN SIX SIGMA
Market trends and Benchmarking
• Reinforce market focus
• Disciplined approach
• Encouraging employ...
Performance excellence process
WHATLESSONSMIGHTTHISEXPERIENCE—PARTICULARLYIN
RESPONDINGTOTHENEWCRISIS-HAVEFOROTHER
ORGANIZATIONS?
• Decreased focus on qu...
LEARNING'S
• Customer focused employees
• Quality
• Participation, speed, teamwork based on trust and learning
• Process i...
“QUALITY IS A RACE WITHOUT A FINISH
LINE” AT XEROX
Quality is a never ending process
New technology
Skill full employee...
AT MOTOROLA
• Flexible Manufacturing
• 1981 launched a project to improve the quality
• Learnt it from Dominos Pizza
• 200...
THANK YOU
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Evolution of-quality-in-xerox

tqm and six sigma implementation in xerox

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Evolution of-quality-in-xerox

  1. 1. EVOLUTION OF QUALITY IN XEROX Presented by, Group 1 Jappreet S. Bhatia Lokesh Yadav Deepak Jain
  2. 2. • Xerox Corporation – 1906 and 1959 - Xerox 914 • Manufactures color and black-and-white printers, multifunction systems, photo copiers, digital production printing presses • New players- IBM Kodak, Canon, and Sevin • David T. Kearns took over as the CEO • “Leadership Through Quality” in 1983 and Lean Six Sigma in 2003 • Goal was to achieve superiority in quality, product reliability and cost XEROX
  3. 3. XEROX HISTORY 1959 1972 1979 1980 1983 1989 1990s Continuous Improvement
  4. 4. AWARDS • The Deming Award (Japan) In 1980 • The Malcolm Baldridge National Quality Award In 1989 • The European Quality Award In 1992
  5. 5. ISSUES IN CASE • During the 1970s, however, IBM and Kodak entered the high-volume copier business—Xerox’s principal market. Several Japanese companies introduced high-quality low- volume copiers, a market that Xerox had virtually ignored, and established a foundation for moving into the high- volume market • Xerox was soon losing market share to Japanese competitors, and by the early 1980s it faced a serious competitive threat from copy machine manufacturers in Japan; Xerox’s market share had fallen to less than 50 percent
  6. 6. CONTD … • In comparing itself with its competition, Xerox discovered that it had nine times as many suppliers, twice as many employees, cycle times • That were twice as long, 10 times as many rejects, and seven times as many manufacturing defects in finished products. It was clear that radical changes were required
  7. 7. LEADERSHIP THROUGH QUALITY PROGRAM AT XEROX In 1983, company president David T. Kearns became convinced that Xerox needed a long-range, comprehensive quality strategy as well as a change in its traditional management culture . The strategy for cultural change in Xerox that enables and empowers people with quality tools and processes to, 1. Meet customer requirements 2. Achieve business priorities 3. Continuously improve
  8. 8. THE PLAN - LEADERSHIP THROUGH QUALITY • 1983-the year of start-up activities • 1984- the year of awareness and understanding • 1985- the year of transition and transformation • 1986 the year when results would achieved • 1987 the year of approaching maturity
  9. 9. XEROX QUALITY POLICY STATEMENT Kearns and the company’s top 25 managers wrote the Xerox Quality Policy, which states: “Xerox is a quality company. Quality is the basic business principle for Xerox. Quality means providing our external and internal customers with innovative products and services that fully satisfy their requirements. Quality is the job of every Xerox employee”
  10. 10. OBJECTIVES ACHIEVED • To instill quality as the basic business principle in Xerox, and to ensure that quality improvement becomes the job of every Xerox person. • To ensure that Xerox people, individually and collectively, provide our external and internal customers with innovative products and services that fully satisfies their existing and latent requirements. • To establish, as a way of life, management and work processes that enable all Xerox people to continuously pursue quality improvement in meeting customer requirements
  11. 11. 4 GOALS PREVAILED IN XEROX • Customer goal - to become an organization with whom customers are eager to do business • Employee goal - to create an environment where everyone can take pride and feel responsible • Business goal - to increase profits and to grow faster • Process goal - to use leadership through quality in Xerox
  12. 12. 1983 XEROX IMPERATIVE
  13. 13. BENCHMARKING • Benchmarked more than 200 processes with those of non competitive companies • Ideas for improving production scheduling – Cummins engine company • Improving distribution system – L.L.Bean (Logistics co.) • Improving billing processes – American Express • More than 40,000 surveys were mailed in one month to understand the customer satisfaction level, and resolved the dissatisfaction within no time
  14. 14. XEROX ‘S BENCHMARKING MODEL Planning Analysis Integration Action Maturity
  15. 15. IMPORTANT SUPPORTING ELEMENTS Recognition and Reward Tools and Processes Transition Team Training Communi- cation Senior Management Behavior Xerox is a Total Quality Company
  16. 16. RESULTS OF LEADERSHIP THROUGH QUALITY o Rejection rate fell from 10,000 ppm to 300 ppm o No inspection was required for the supplied parts o Number of suppliers were cut down drastically o Cost of purchase was reduced to 45 percent o Production time reduced by 60 percent o Quality improved by 93 percent o Customer satisfaction and employee satisfaction resulted in increased market share and more profits
  17. 17. Xerox’s Outcome Initially: • Failed to focus adequately on core work processes and statistics. • Plan was not integrated with business processes. • Not tuned to the company culture and the need to change it. • Did not pick the right quality czar at the start. • Did not push the operating units hard enough.
  18. 18. WHAT XEROX DID RIGHT 1. It made an appropriate diagnosis of how to cure the ills of the company. 2. Quality was the right process for the right solution at the right time. 3. The necessary commitment was made by senior management. 4. A constituency was built starting at the top in a very calculated and deliberate way. 5. Employee compensation was tied to quality. 6. The pursuit of the Baldridge Award was an energizing effort within the company
  19. 19. 5. Information systems use was effectively aligned with its business objectives and processes to achieve them 6. Executive compensation was tied to quality. 7. Innovations and successes of the TQM program were well publicized. 8. The pursuit of the Baldridge Award was an energizing effort within the company. 9. It achieved measured results.
  20. 20. RESTRENGTHENING QUALITY
  21. 21. INFORMATION SYSTEMS SUPPORT • Xerox had over 375 major information systems supporting the total business. • Over 175 of these systems related specifically to the management, evaluation and planning of quality. • The validity, accuracy and timeliness of information systems are assured by the use of a Data Systems Quality Assurance process during the design, construction and major upgrade of each information system.
  22. 22. XEROX’S LEAN SIX SIGMA Performance excellence process • Supports clearer, simple alignment of corporate direction to individual objectives • Clear links to market trends, benchmarking, lean Six Sigma • Supports a simple business model – “Baldrige type” DMAIC • Define, measure , analyze , improve , control • Based on six sigma with speed and focus • Capture opportunities
  23. 23. XEROX’S LEAN SIX SIGMA Market trends and Benchmarking • Reinforce market focus • Disciplined approach • Encouraging employees • Strong linkage between Performance excellence process and DMAIC Behaviors and Leadership • Reinforce customer focus • Expands interactive skills to have more team effectiveness • Faster decision making • Supports leadership skills
  24. 24. Performance excellence process
  25. 25. WHATLESSONSMIGHTTHISEXPERIENCE—PARTICULARLYIN RESPONDINGTOTHENEWCRISIS-HAVEFOROTHER ORGANIZATIONS? • Decreased focus on quality by top management • Technology downturn • Led to quality renewal • New Quality in 2001 and onwards • Lean Six Sigma
  26. 26. LEARNING'S • Customer focused employees • Quality • Participation, speed, teamwork based on trust and learning • Process is objective aligned to the company’s direction • Benchmarking, both internal and external • DMAIC- desire, measure, analyze, improve and control • Lean Six Sigma
  27. 27. “QUALITY IS A RACE WITHOUT A FINISH LINE” AT XEROX Quality is a never ending process New technology Skill full employees and management Lean six sigma just a part
  28. 28. AT MOTOROLA • Flexible Manufacturing • 1981 launched a project to improve the quality • Learnt it from Dominos Pizza • 2002 won The Baldrige Award • QSR • Competitive Benchmarking
  29. 29. THANK YOU

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