Honda presentation

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Honda presentation

  1. 1. TOTAL QUALITY MANAGEMENT
  2. 2. introductionHonda Motor Company, Ltd is a Japanese publicmultinational corporation primarily known as amanufacturer of automobiles and motorcycles.Honda has been the worlds largest motorcyclemanufacturer since 1959, as well as the worlds largestmanufacturer of internal combustion engines Honda surpassed Nissan in 2001 to become thesecond-largest Japanese automobile manufacturer.Honda is the sixth largest automobile manufacturer inthe world.The company achieved the number one position amongall mass production cars sold in the USA
  3. 3. Type: Public companyIndustry: Automotive, AviationFounded on 24 September 1948Founder(s): Soichiro Honda, Takeo FujisawaHeadquarters: Minato, Tokyo, JapanKey people: Takanobu Ito (President, CEO, &Representative Director)
  4. 4. productsAutomobiles,MotorcyclesScooters ,ATVs, Electrical Generators, Water pumps,Lawn and Garden Equipments , Tillers,Outboard motors,Robotics,Jets,Jet Engines,Thin-film solar cells
  5. 5. statsRevenue: US$ 107.82 billion (2011)Operating income: US$ 6.87 billion (2011)Net income: US$ 6.44 billion (2011)Total assets: US$ 139.61 billion (2011)Total equity: US$ 53.69 billion (2011)Employees:179,060 (2011)Subsidiaries: Acura, Honda Aircraft Company
  6. 6. Current market positionWith high fuel prices and a weak U.S. economy in June2008, Honda reported a 1% sales increase while its rivals, includingthe Detroit Big Three and Toyota, have reported double-digit losses.Hondas sales were up almost 20 percent from the same month lastyear. The Civic and the Accord were in the top five list of sales. Analysts have attributed this to two main factors. First, Hondasproduct lineup consists of mostly small to mid-size, highly fuel-efficient vehicles. Secondly, over the last ten years, Honda has designed its factoriesto be flexible, in that they can be easily retooled to produce anyHonda model that may be in-demand at the moment.At the 2008 Beijing Auto Show, Honda announced that they werelooking to develop an entry-level brand exclusively for the Chinesemarket similar to Toyotas Scion brand in the USA
  7. 7. Cutting-edge technology Their fundamental design philosophy seeks to maximise space and comfort for people, while minimising the space required for mechanical components. With this aim in mind, Hondas R&D activities include product-specific development and fundamental research. Some of the technologies include, Combi Break System HondaMatic Transmission Fuel Injection System Idle Stop System Honda Fuel Cell Vehicle, Honda FCX
  8. 8. Management policyHonda works to ensure that the products andservices result in 3 joys:Joy for people who buy them.Joy for those who sell them andJoy for people who produce them.
  9. 9. QUALITY OBJECTIVEMaintain an international viewpoint , we arededicated to supplying products of the highestefficiency yet at a reasonable price forworldwide customer satisfaction.
  10. 10. Honda products
  11. 11. TOTAL QUALITY MANAGEMENTTotal quality management or TQM is an integrativephilosophy of management for continuously improvingthe quality of products and processes.TQM functions on the premise that the quality ofproducts and processes is the responsibility of everyonewho is involved with the creation or consumption of theproducts or services offered by an organization.In other words, TQM capitalizes on the involvement ofmanagement, workforce, suppliers, and evencustomers, in order to meet or exceed customerexpectations
  12. 12. Honda’s quality cycle
  13. 13. Honda’s quality enHancement system
  14. 14. TQM AT HONDA
  15. 15. TQM METHODOLOGY AT HONDATo implement TQM, the CEO has strengthened : Customer focused viewpoint. Increased efficiency. Cost cutting efforts. Delegation of authority. Expediting daily operations. New product development.
  16. 16. PDCA CYCLEBasic principle of TQM is to bridge the gapbetween ―Target‖ and ―Status quo‖.PDCA cycle to bridge the gap :Make initial plan.Implement the plan.Analyse the outcome.Recognise new problems and improve theprocess of operation.Repeat process till target is achieved.
  17. 17. Implementing quality management educationIn Japan, Honda offers a training curriculumdivided into four courses according to in-housequalifications and the extent of individualworkers quality control responsibilities in orderto improve associates quality assurance skills.The Honda QC Basic Course (HBC), which wasfirst offered 40 years ago, provides an example ofhow Honda is working to train its personnel to beleaders in improving quality.
  18. 18. CONCLUSIONHonda operates a TQM system. Its philosophy is to push qualityback to the supplier, expecting the products to arrive defect free toHonda’s defined level. But this won’t ever stop the company fromchecking.―With the tolerances and the complexity of some of thecomponents, we’ve found that some suppliers are not always able toguarantee meeting our specs – so we rely heavily on inspection. Forthe more critical components, particularly safety criticalcomponents, we carry out 100% inspection,‖ says Honda.Operations Director, Professor Gary Savage, adds: ―Last seasonHonda recorded zero stoppages due to reliability of the chassis. TheTQM system clearly contributed significantly to this. Our aim nowis to maintain this record as we move forward – and the system andprocesses will develop in order to facilitate this aim.‖
  19. 19. TOKYO—Honda Motor Co. said it would voluntarilyrecall 962,000 cars world-wide to repair problems withpower window.The car maker said no serious injuries or fatal accidentshave been reported as a result of the problems. Thecompany estimated it would spend ¥1.29 billion ($16.8million) in Japan for the recall.Honda, Japans third-biggest car maker byvolume, recalled more than 2.3 million vehicles in earlyAugust, citing problems with automatic transmissions.A Honda spokeswoman said there were nine reportedcases of vehicles catching on fire in Japan and Chinabecause of the power-window problem. She also saidtwo people reported light burns after touchingoverheated switches.

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