Tqm2

© Robere & Associates (Thailand) Ltd.© Robere & Associates (Thailand) Ltd. TQM-E-REV.1TQM-E-REV.1 SlideSlide 11
Total QualityTotal Quality
ManagementManagement
Presented by:
Robere & Associates

Who is Robere & AssociatsWho is Robere & Associats
• A training andA training and
consulting firmconsulting firm
• Certified AuditorCertified Auditor
• Focused on QualityFocused on Quality
• Many years of industryMany years of industry
experienceexperience

Who are you?Who are you?
• Create a team name….
• Create a “logo”
• What do you want to
learn from today’s
training?

What do you think?What do you think?
• What is TQM?
• If we have QS9000, why is TQM
important?
• What does Quality Mean to you?
• Is improvement important?

CustomerCustomer
ComplaintsComplaints
IncreaseIncrease
QualityQuality
DecreasesDecreases
ProcessProcess
TimeTime
IncreasesIncreases
Number ofNumber of
InspectionsInspections
IncreasesIncreases
ExperiencedExperienced
WorkersWorkers
LeaveLeave
Number ofNumber of
MeetingsMeetings
IncreaseIncrease
BlamingBlaming
FlourishesFlourishes
Micro-Micro-
SIGNS OFSIGNS OF
"UN-QUALITY""UN-QUALITY"

Total Quality Management DefinedTotal Quality Management Defined
"A cooperative form of doing"A cooperative form of doing
business that relies on the talentsbusiness that relies on the talents
and capabilities of both labor andand capabilities of both labor and
management to comanagement to contntinually improveinually improve
quality and productivity usingquality and productivity using
teams"teams"

Philosophy versus ToolsPhilosophy versus Tools
"....regardless of the culture,"....regardless of the culture,
techniques can mold behavior"techniques can mold behavior"
-Schonberger, 1986-Schonberger, 1986

The Challenge of Change
There are two reasons why CEOs ofThere are two reasons why CEOs of
companies adopt a philosophy ofcompanies adopt a philosophy of
TQM:TQM:
1.1. They recognize that there isThey recognize that there is
something to be gained (the CEOsomething to be gained (the CEO
is a visionary)is a visionary)
2.2. They have no choiceThey have no choice

What is ISO-9000?
ISO-9000 is a series of quality standards that
outline the requirements for Quality Management Systems.
1. ISO-9000 - General Guidelines for all the other standards
2. ISO-9001 - A model for companies that manufacture, design
install and service a product or service
3. ISO-9002 - A model for companies like ISO-9001, except they
don't design the product or service
4. ISO-9003 - A model for companies involved with final inspection
and test.
5. ISO-9004 - A quide for the application of the various elements
of QMS.

The Four Stages of ISO Certification
Stage I - Determination of Readiness
Stage II - Preparation Services
Stage III - Documentation Review (on-site)
- Assessment (on-site)
Stage IV - Assessment Review
- Certification
- Registration

Benefits of ISO Certification
• Worldwide Recognition
• Access to EC
• Use of Certification Label
• Registered in Directory
• Improve Quality and
Productivity
• Reduced Cost

Pitfalls or Caveats of ISO-9000 Certification
• Traceability and Universal
Acceptance
• ISO-9000 is not a Panacea

B
abylon
W
eights
and
m
easures
G
uilds
(C
rafts)
Industrial R
evolution
(M
ass
P
roduction)
W
orld
W
ar
II
W
orld
W
ar
I
(M
ilitary
Standards)
B
S
5750
ISO
9000
3000
B.C.
Middle
Ages
1850s 1914 1939 1979 1987-1994
2000
EVOLUTION OF ISO 9000EVOLUTION OF ISO 9000

Four Primary Standards
1. ISO9000: Quality Management Systems –
Fundamentals and Vocabulary
2. ISO9001:Quality Management Quality
Systems - Requirements
3. ISO9004: Quality Management Systems –
Guidance for Performance Improvement.
4. ISO19011: Guidelines for Auditing
Quality Systems

Product/Product/
ServiceService
QUALITY MANAGEMENT SYSTEMQUALITY MANAGEMENT SYSTEM
CONTINUAL IMPROVEMENTCONTINUAL IMPROVEMENT
responsibilityresponsibility
Measurement,Measurement,
analysisanalysis
improvementimprovement
ResourceResource
managementmanagement
SS
aa
tt
ii
ss
ff
aa
cc
tt
oo
nn
CC
uu
ss
tt
oo
mm
ee
rr
CC
uu
ss
tt
oo
mm
ee
rr
RR
ee
qq
uu
ii
rr
ee
mm
ee
nn
tt
ss
OutputOutputInputInput
Quality Management Process ModelQuality Management Process Model
ProductProduct
(and/or service(and/or service))
RRealizationealization
55
88
77
66
Robere & Associates (Thailand)

66 Resource managementResource management
6.1 Provision of resources
(4.1.2.2)
6.2 Human Resources
(4.1.2.1/4.18)
6.3 Facilities (4.9)
6.4 Work Environment (4.9)
88 Measurement, Analysis & ImprovementMeasurement, Analysis & Improvement
8.1 Planning (4.10/4.20)
8.2 Measurement & Monitoring of
product(4.10/4.17/4.20)
8.3 Control of Nonconformity (4.13)
8.4 Analysis of data (4.14/4.20)
8.5 Improvement (4.1.3/4.9/4.14)
55 Management ResponsibilityManagement Responsibility
5.1 Management Commitment (4.1/
4.1.2.2/4.2.1)
5.2 Customer Focus
5.3 Quality Policy (4.1.1)
5.4 Planning (4.1.1/ 4.2.1/4.2.3)
5.5 Administration (4.1.2/4.1.2.1/
4.1.2.3/4.2.1/4.5/4.16)
5.6 Management Review (4.1.3)
77 PProduct realizationroduct realization
7.1 Planning of realization processes
(4.2.3/4.9/4.10/ 4.15/4.19)
7.2 Customer related Process (4.3/4.7)
7.3 Design and/or development (4.4)
7.4 Purchasing (4.6)
7.5 Production & Service Operation
(4.7/4.8/4.9/4.15/4.19)
7.6 Control of measurement devices
(4.11)

Principles of TQMPrinciples of TQM ––
Same as ISO9000:2000Same as ISO9000:2000
1.1. A Customer FocusA Customer Focus
2.2. A Focus on Process as WellA Focus on Process as Well
as the Resultsas the Results
3.3. Prevention versus InspectionPrevention versus Inspection
4.4. Mobilize Expertise ofMobilize Expertise of
WorkforceWorkforce
5.5. Fact-Based Decision MakingFact-Based Decision Making
6.6. FeedbackFeedback

"You can accomplish
anything you want as long
as you let someone else
take the credit."
Dr. Joe Mullins
Personal Communication
March, 1990

Service vs Manufacturing OrganizationsService vs Manufacturing Organizations
• No Product with ExactNo Product with Exact
SpecificationsSpecifications
• Services are PerishableServices are Perishable
• Strong Customer/Client PresenceStrong Customer/Client Presence
• Delivery SystemDelivery System

Five Phases to ImplementationFive Phases to Implementation
Phase 0: PreparationPhase 0: Preparation
Phase 1: PlanningPhase 1: Planning
Phase 2: AssessmentPhase 2: Assessment
Phase 3:Phase 3:
ImplementationImplementation
Phase 4: DiversificationPhase 4: Diversification

The Five Phases toThe Five Phases to
DiversificationDiversification
AssessmentAssessment
PlanningPlanning
PreparationPreparation
PHASE 0PHASE 0
PHASE 1PHASE 1
PHASE 2PHASE 2
PHASE 3PHASE 3
PHASE 4PHASE 4
Schedule andSchedule and
InterrelationshipsInterrelationships
OVERVIEWOVERVIEW
SCHEDULESCHEDULE
OVERVIEWOVERVIEW

Five Phases to ImplementationFive Phases to Implementation
Phase 0:Phase 0:
PreparationPreparation
Phase 2: AssessmentPhase 2: Assessment
Phase 3: ImplementationPhase 3: Implementation
Phase 4: DiversificationPhase 4: Diversification

Commitment to quality isCommitment to quality is
like a commitment tolike a commitment to
religion. It pervadesreligion. It pervades
everything (by necessity).everything (by necessity).
Lee IacoccaLee Iacocca
Chrysler Motors 1984Chrysler Motors 1984

PHASE 0: PreparationPHASE 0: Preparation
Decision to Consider TQM
Key Executive Training
Develop Mission and Vision Statements
Develop Corporate Goals
Outline Corporate Policy
Decision to Proceed/Commit Initial Resources
Speech Prepared

"You've removed most of the"You've removed most of the
roadblocks to success whenroadblocks to success when
you've learnt the differenceyou've learnt the difference
between motion andbetween motion and
direction."direction."
Bill CopelandBill Copeland

Division of ResponsibilitiesDivision of Responsibilities
CEO/PresidentCEO/President
Functional Area ExecutivesFunctional Area Executives
WorkforceWorkforce
And OthersAnd Others
Policy Deployed DownwardPolicy Deployed Downward
Action/Dates to AchieveAction/Dates to Achieve
Tasks UpwardTasks Upward
ObjectivesObjectives
TasksTasks
MeasurementMeasurement
ParametersParameters
Corporate GoalsCorporate Goals
Vision andVision and
MissionMission
StatementsStatements

MISSIONMISSION
STATEMENTSSTATEMENTS
We are the Aeronautical Systems Division,
the center of excellence for research,
development and acquisitions of systems.
We work together to create quality systems
for combat capability to ensure we remain
the best Air Force in the world and preserve
the American way of life forever.
The policy of the Midwestern Steel Division
of Armco is to provide products that
conform to our customer's requirements and
deliver them on time and at a competitive
price. Our name must represent quality to
our vendors, ourselves, and to our
customers.
United States Aeronautical Systems
Division, Wright Patterson AFB, Ohio
Armco,Inc
Midwest Steel Division

VISIONVISION
STATEMENTSSTATEMENTSIn order to improve quality we shall provide
clearly stated requirements, expecting each
person to do the job right the first time, in
accordance with those requirements or cause the
requirements to be officially changed.
We shall strive for excellence in all endeavors. We
shall set our goals to achieve total customer
satisfaction and to deliver error-free competitive
products on time, with service second to none.
We will deliver defect-free competitive products
and services on time to our customers.
Milliken and Company is dedicated to providing
products and services designed to be at a level of
quality which will best help its customers grow and
prosper. Its operational area (Research and
Development, Marketing, Manufacturing,
Administration, Services) will be expected to
perform its functions exactly as written in
carefully prepared specifications.
Bechtel
Ann Arbor Power Division
Burroughs
IBM
Research Triangle Park, Raleigh
Milliken

Team Exercise:Team Exercise:
Define a sample set of Goals, objectivesDefine a sample set of Goals, objectives
and tasks and measurements for theand tasks and measurements for the
assigned Mission Statementassigned Mission Statement
WorkforceWorkforce
Policy Deployed DownwardPolicy Deployed Downward
Action/Dates to AchieveAction/Dates to Achieve
Tasks UpwardTasks Upward
ObjectivesObjectives
TasksTasks
MeasurementMeasurement
ParametersParametersVision andVision and
MissionMission
StatementsStatements

CORPORATE GOALSCORPORATE GOALS
Corporate
Vision
Statement
Goal 0
Goal 1
Goal 2
Goal 3
Goal 4
Goal 5
Goal 6
Implement TQMImplement TQM
Retain TechnicalRetain Technical Excellence &Excellence &
Improve QualityImprove Quality
Increase Productivity ofIncrease Productivity of
Direct Labor ForceDirect Labor Force
Improve Financial ManagementImprove Financial Management
Reduce Cost of Materials &Reduce Cost of Materials &
Material SupportMaterial Support
Maintain Capital PlantMaintain Capital Plant
Reduce Overhead CostReduce Overhead Cost

11
22
33
44
55
Traditional Approach to Quality Control:
Inspection is Primary Tool (Control of
Defects, Not Prevention)
Better Quality = Higher Cost
Quality Control Found Only in
Manufacturing Departments
Significant Scrap and Rework Activity
SPC Used as an
Example, Other Tools
Identified Separately
Balance of
Long-Term
goals with
Short-Term
Objectives
Corporate
Council Set
Up
Adequate
Money and
Time Allocated
to Continuous
Improvement
and Training
TQM
Support
System Set
Up and in
Use
Customer
Rating of
Company is
Known
Customer
Feedback
Used in
Decision
Making
Striving to
Improve
Value to
Customers is
Routine
Behavior
Focus is on
Improving
the System
Continuous
Improvement
is a Natural
Behavior Even
during
Routine Tasks
Use of Cross
-Functional
Improvement
Teams
Constant,
Relative
Improvement
in Quality,
Cost, and
Productivity
Customer
Satisfaction is
Primary Goal.
Customers
Desire Long
Term
Relationship
Direct
Involvement
in Supplier
Awareness
Trgn; Criteria
in Place
Suppliers
Actively
Implementing
TQM
Philosophy
Suppliers
Fully
Qualified in
All
Benchmark
Areas
Training
Plan
Developed
Ongoing
Training
Programs
Top
Management
Understands
and Applies
TQM
Philosophy
Training in
TQM Tools
Common
among All
Employees
Manager
Presents Ideas
and Invites
Questions,
Makes
Decision
Effective
Employee
Suggestion
Program Used
SPC Used in
Mfg
Manager
Presents
Problem and
Gets
Suggestion,
Makes
Decisions
Quality
Related
Employee
Selections and
Promotion
Criteria
SPC Used for
Variation
Reduction
Manager
Defines
Limits; Asks
Group to
Make
Decisions
More Team
than
Individual
Incentives
and Rewards
More Team
than
Individual
Incentives
and Rewards
People
Involvement;
Self-Directing
Work Groups
Gainsharing
(Cross -
Functional
Work Groups)
Statistics
is a
Common
Language
Among All
Employees
BENCHMARKING MATRIXBENCHMARKING MATRIX
Suppliers
Know Your
TQM Direction;
Supplier
Number
Reduction
Started
TQMTQM
CategoryCategory
AA BB CC DD FF GGEE
Top
Management
commitment
Obsession
with
Excellence
Organization
is Customer-
Satisfaction
Driven
Supplier
Involvement
Continuous
Learning
Employee
Involvement
Use of
Incentives
HH
Use of
Tools
HigherQualityHigherQuality

11
22
33
44
55
Traditional Approach to Quality Control:
Inspection is Primary Tool (Control of
Defects, Not Prevention)
Better Quality = Higher Cost
Quality Control Found Only in
Manufacturing Departments
Significant Scrap and Rework Activity
SPC Used as an
Example, Other Tools
Identified Separately
Balance of
Long-Term
goals with
Short-Term
Objectives
Corporate
Council Set
Up
Adequate
Money and
Time Allocated
to Continuous
Improvement
and Training
TQM
Support
System Set
Up and in
Use
Customer
Rating of
Company is
Known
Customer
Feedback
Used in
Decision
Making
Striving to
Improve
Value to
Customers is
Routine
Behavior
Focus is on
Improving
the System
Continuous
Improvement
is a Natural
Behavior Even
during
Routine Tasks
Use of Cross
-Functional
Improvement
Teams
Constant,
Relative
Improvement
in Quality,
Cost, and
Productivity
Customer
Satisfaction is
Primary Goal.
Customers
Desire Long
Term
Relationship
Direct
Involvement
in Supplier
Awareness
Trgn; Criteria
in Place
Suppliers
Actively
Implementing
TQM
Philosophy
Suppliers
Fully
Qualified in
All
Benchmark
Areas
Training
Plan
Developed
Ongoing
Training
Programs
Top
Management
Understands
and Applies
TQM
Philosophy
Training in
TQM Tools
Common
among All
Employees
Manager
Presents Ideas
and Invites
Questions,
Makes
Decision
Effective
Employee
Suggestion
Program Used
SPC Used in
Mfg
Manager
Presents
Problem and
Gets
Suggestion,
Makes
Decisions
Quality
Related
Employee
Selections and
Promotion
Criteria
SPC Used for
Variation
Reduction
Manager
Defines
Limits; Asks
Group to
Make
Decisions
More Team
than
Individual
Incentives
and Rewards
More Team
than
Individual
Incentives
and Rewards
People
Involvement;
Self-Directing
Work Groups
Gainsharing
(Cross -
Functional
Work Groups)
Statistics
is a
Common
Language
Among All
Employees
BENCHMARKING MATRIXBENCHMARKING MATRIX
Suppliers
Know Your
TQM Direction;
Supplier
Number
Reduction
Started
TQMTQM
CategoryCategory
AA BB CC DD FF GGEE
Top
Management
commitment
Obsession
with
Excellence
Organization
is Customer-
Satisfaction
Driven
Supplier
Involvement
Continuous
Learning
Employee
Involvement
Use of
Incentives
HH
Use of
Tools
Where are we?Where are we?

"To be persuasive, we must be believable."To be persuasive, we must be believable.
To be believable, we must be credible.To be believable, we must be credible.
To be credible, we must be truthful."To be credible, we must be truthful."
- Edward R. Murrow- Edward R. Murrow
Famous American NewscasterFamous American Newscaster

- John Morley- John Morley
English Actor and HumoristEnglish Actor and Humorist
"Three things matter in a speech:"Three things matter in a speech:
who says it, how he says it, andwho says it, how he says it, and
what he says, and of the three, thewhat he says, and of the three, the
last matters least."last matters least."

Support Services On Board
Select Processes & Objectives
Identify Critical Processes & Objectives
Approve Plan &
Commit Resources
Draft Implementation Plan
1st Corporate Council Meeting
Train Corporate Council &
TQM Coordinator
Select Corporate Council Members
Select TQM Coordinator

"In the end, all business"In the end, all business
operations can be reducedoperations can be reduced
to three words:to three words: people, propeople, pro
duct, and profitsduct, and profits.. PeoplePeople
comcome first.e first. Unless you've gUnless you've g
ot a good team, you can't dot a good team, you can't d
o much with theo much with the
other two."other two."
Lee IacoccaLee Iacocca
19841984

Some Likely Resistance-to-ChangeSome Likely Resistance-to-Change
IssuesIssues
 Management doesn't care.Management doesn't care.
 I don't believe TQM can work in ourI don't believe TQM can work in our
company.company.
 We do not have the resources to supportWe do not have the resources to support
this initiative.this initiative.
 There is no continuity of leadershipThere is no continuity of leadership
to support this initiative.to support this initiative.

PHASE 2:PHASE 2:
ASSESSMENASSESSMEN
TT

CONTINUOUS ASSESSMENTCONTINUOUS ASSESSMENT
FOR CONTINUOUS IMPROVEMENTFOR CONTINUOUS IMPROVEMENT
Self-Evaluation
Organization Assessment
Customer Surveys
Training Feedback

PHASE 3:PHASE 3:
IMPLEMENTATIOIMPLEMENTATIO
NN

IMPLEMENTATIONIMPLEMENTATION
FOR SUCCESSFOR SUCCESS
1st Success Story
PATs Functioning
Train Workforce
Train Managers
Establish TQM Library
Train Facilitators
Select Organization Facilitators

Training to Support TQM ImplementationTraining to Support TQM Implementation
AwarenessAwareness
OrientationOrientation
SkillsSkills
What is TQM
How can it
help us?
Other who
have
succeeded
What is our plan?
What is my role?
What will be
Expected of me?
PAT
Team Building
Customer Service
Taguchi Methods

TQM ImplementationTQM Implementation
Supporting Skills TrainingSupporting Skills Training
Process Action Team Training
1. Introduction and Overview
2. Information Gathering
3. Analysis and Interpretation
4. Packaging and Presentation
5. Follow up
Skills
Communication
Leadership
Problem-Solving
Goals
Interpersonal
Technical Tools
Group Dynamics

Maintaining MomentumMaintaining Momentum
TQM
Attitude
Time
Uninformed
Optimism
Informed
Pessimism
Hopeful
Realism
Informed
Optimism
Success!
Failure
WHERE MOST FAILWHERE MOST FAIL
Resistance
Conflict
Negative Comments/Attitudes
Change Direction

Meetings Take Too LongMeetings Take Too Long
Application of Cause & Effect Diagram (Fishbone)Application of Cause & Effect Diagram (Fishbone)
PoliciesPolicies ProceduresProcedures
PlantPlantPeoplePeople
MeetingsMeetings
TakeTake
tootoo
LongLong
Defocused
Attention
Second-Stringers
in
Attendance
Presenters
Unprepared
Agenda
Late
Cannot
Arrive
at
Decision
Lousy
Refreshments
Location
X
Cause

DIVERSIFICATIONDIVERSIFICATION
PHASE 4PHASE 4
Subordinate Organizations
Brought into Improvement Process
Suppliers Brought into
Improvement Process
"Suppliers Day"

"Upon the plains of hesitation"Upon the plains of hesitation
bleach the bones of countlessbleach the bones of countless
millions who, on the thresholdmillions who, on the threshold
of victory, sat down to wait, andof victory, sat down to wait, and
awaiting they died."awaiting they died."
- Anonymous- Anonymous

For Information:
paul@robere.compaul@robere.com
(www.robere.com)(www.robere.com)

Tqm2

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