Quality circles are voluntary groups composed of employees who meet regularly to identify, analyze, and develop solutions to work-related problems. They are designed to improve organizational performance and motivate employees. Quality circles utilize techniques like brainstorming, flowcharts, checksheets, and cause-and-effect diagrams to systematically identify issues, analyze root causes, and develop solutions. When implemented effectively with management support, quality circles can result in benefits like improved employee engagement, problem-solving skills, communication, quality, productivity, and workplace morale.

1. [ADMINISTRTAIVE OFFICE MANAGEMENT] September 11, 2012
INTRODUCTION OF QUALITY CIRCLES
Quality circle is a volunteer group composed of workers (or even students),
usually under the leadership of their supervisor (or an elected team leader), who are
trained to identify, analyze and solve work-related problems and present their solutions
to management in order to improve the performance of the organization, and motivate
and enrich the work of employees. When matured, quality circles become self-
managing, having gained the confidence of management.
Quality circles are one of the newest various techniques used successfully to
improve employee productivity. A voluntary group of eight to twelve employees who
perform similar or related work is a circle. Their duties are to meet on a regular basis to
identify, analyze and develop solutions to a variety of their work-related problems.
Usually the meetings are held on company time and often schedule weekly for
approximately one hour. The success of quality circles is affected in part by the manner
in which these meetings are organized and operated. However, before the employees
become involved with a circle, they should thoroughly understand the purpose,
composition and benefits of the concept.
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Each group of quality circles will have a leader. So, the quality circles leader,
who is responsible for conducting the weekly article meeting, is typically the supervisor
of a work unit. The leader will help the members to define, analyze and solve work-
related problems, by having a good grasp of the nature of the problem brought before
the group. Instead, during the meeting, the leader will have the same position with other
employees, so the meeting will run smoothly and successfully. As the leader are same
like others employees, they will be not afraid to share ideas.
Besides that, a facilitator, who is responsible for working with the quality circles
and coordinating the activities involved in using the techniques will be appoint by most
organizations. Furthermore, the facilitator also responsible for providing training
experiences for the circle leaders as well as for preparing a variety of written materials
for use in improving the effectiveness of the techniques.
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THE PHILOSOPHY OF QUALITY CIRCLE
The Philosophy of Quality Circle is based on the concepts of Participative
Management and Humanistic Management. Humanistic Management refers to
management that gives importance to people and their feelings. This is because people
are the most valuable asset of a department. Participative Management means that
worker regardless of his/her position in the organization is given the opportunity to make
meaningful contribution to the department. Quality Circle is, therefore a mechanism
whereby workers are able to participate in the problem-solving process leading to
improvement of quality and productivity in their department.
HISTORY OF QUALITY CIRCLE
The history of Quality Circles were first established is in Japan in 1962, and
Kaoru Ishikawa has been credited with their creation. The movement in Japan was
coordinated by the Japanese Union of Scientist and Engineers (JUSE). The use of
Quality Circle then spread beyond Japan. Quality Circles have been implemented even
in educational sectors in India and Quality Circle Forum of India (QCFI) is promoting
such activities.
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NEED OF QUALITY CIRCLE
The need for public and private businesses to improve quality of services is no
longer an option but a necessity. Since the early 1960‟sbusinesses across the Globe
have been searching for ways to improve overall operational efficiency. This trend has
been more heightened with the onset of free open trade and Customers demanding so
much more for their dollars. Some organizations have successfully implemented the use
of quality circles as part of an ongoing improvement programmed. Others have
experimented with quality circles with the best intentions and faced several obstacles,
but what is true is that this type of participatory management brings several benefits to
all concerned.
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OBJECTIVE OF QUALITY CIRCLE
 Change in Attitude.
From "I don‟t care" to "I do care." Continuous improvement in quality of work life
through humanization of work.
 Self Development
Bring out „Hidden Potential‟ of people. People get to learn additional skills.
 Development of Team Spirit
Individual Vs Team – "I could not do but we did it"
Eliminate inter departmental conflicts.
 Improved Organizational Culture
Positive working environment. Total involvement of people at all levels. Higher
motivational level. Participate Management process.
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CONCEPTS OF QUALITY CIRCLE
It is based upon the human resource management considered as one of the key
factors in the improvement of product quality and productivity.
It has three major attributes which are;
1. Quality circle is a form of Participative Management.
2. Quality circle is a Human Resource Development Technique.
3. Quality circle is a Problem Solving Technique.
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HOW TO USE THE CONCEPTS?
In the Quality circles process there are three main parts to go through. The steps
are identifying, analyzing, and solving quality-related issues. After the quality circle is
set up the next step would be to train the group. The training is to make sure all the
voluntaries understand the order and meaning of the steps and how to go through them.
Following training is the first real step in the Quality circle process-problem identifying.
At this step the members of the group are free to brainstorm about the problems
they face in the workplace. Within this brainstorming session there are no bad ideas.
After the members have some up with everything they can think of they go through the
list and analyze each problem individually.
This step of problem analysis is to look closer at one problem at a time and
having everyone's input on how to solve it. This step involves opinions from the
members and research. The opinions are important because the members in this group
are the ones who are faced with the problems at hand. The research can help to show
the member what the result or effect will be with the way they may choose to solve a
problem. After they are done with the analysis and come up with the solution they have
entered the next step.
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The last step in quality circles is the solution. The members prepare how they
intend to solve the problem that was first presented in the brainstorming. The solution is
explained in how it works and what the solution results should be. Those results are
then showed to the mangers and group as a whole in a presentation type of meeting.
The three steps of identifying, analyzing, and solving are all very important in completing
the process of a quality circle
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THE PROCESS OF QUALITY CIRCLE
ORGANIZATION
8 - 10 members
Same area Moderator
TRAINING
PRESENTATION
Group Process
Implementation
Data Collection
Monitoring
Problem Analysis
PROBLEM
SOLUTION IDENTIFYING
PROBLEM
List Alternatives
Problem Results Consensus
Brainstorming
PROBLEM ANALYSIS
Cause & Effect
Data Collection &
Analysis
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THE ADVANTAGES AND DISADVANTAGES OF QUALITY CIRCLES
THE ADVANTAGES OF QUALITY CIRCLES ARE AS FOLLOWS:
i) They help employees become more productive.
 By having quality circles, employees will become more productive as
they could discuss and changes their ideas during doing their duties
and having more enthusiasm to done their job.
ii) They increase the opportunities for employees to grow and develop.
 Company can look forward for the potential employees and less
potential employees, so the company wills growth successfully and
known by the world.
iii) They are economical to use.
 Quality circles are not normally paid a share of the cost benefit of any
improvements but usually a proportion of the savings made is spent
on improvements to the work environment.
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iv) They help increase job satisfaction.
 Quality circles can help enrich the lives of workers or students and aid
in creating harmony and high performance as they can share and
change ideas among them.
v) They improve the communication between management and employees.
 Communication skills between management and employees can be
improved.
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THE DISADVANTAGES OF QUALITY CIRCLES:
i) Some circles try to deal with problems outside the member‟s areas of
expertise thus reflecting poorly on the concept.
 The quality circle can come up with good ideas and management will
fail to implement them.
ii) Some circles lack top management support, although they have the support
of lower level management, which they likely will result in their being less
successful than they should or could be.
 A group of employees, while possibly right on the points they are
making, simply do not have the power to make the necessary
changes they are suggesting.
iii) Some supervisors whose subordinates participate in quality circles believe
their authority is usurped by the process.
 The employees might want to hold the higher position in the circles so
he or she will being more respected than the others.
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ORGANIZATIONAL OF QUALITY CIRCLE
THE STRUCTURE OF QUALITY CIRCLE
TOP
MANAGEMENT
STEERING
COMITTEE
COORDINATOR
FACILITATOR
LEADER
MEMBERS
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Members
 Members are the basic element of the structure of quality circle.
 Voluntarily join other employees of the same work area or those engaged in
similar type of work to become members of quality circle, and participate in small
group activities.
 Contribute towards building of a cohesive group culture through which they try to
achieve the highest standards of performance.
 Take part in management presentations.
Leaders
 Leader is chosen by the members from amongst them.
 He may be foreman/ supervisors/ charge man or any other man.
 Member can decide on the leader for each project.
 Leader is responsible for the effective performance of this circle.
 He must be prepared to face challenges to each of his ideas.
Facilitator
 Facilitator is usually a manager of the shop/ department/ sections.
 He is responsible for guiding and directing the activities of the quality circle in his
area and enthuse other executives to get involved in supporting quality circle
activities.
 He publishes the concepts; enlist volunteer members, and providing training for
members.
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Coordinator
 Coordinator also acts as facilitators is an individual responsible for coordinating
and directing the quality circles activities within an organization and carries out
such functions.
Steering Committee
 Apex body at the highest level of the unit division which oversees the functions of
quality circle in the unit division and serves as an advisory body for quality circle.
PURPOSE OF STERING COMMITTEE:-
 Identify overall quality circle objectives.
 Encourage quality circle activity by providing plan resources to
make circle activity possible.
 Authorizing circle actions as well as establishing policies and
guidelines.
 Suggest areas for suitable quality circle attention.
Top Management
 The success of the quality circles depends solely on the attitude of the Top
Management and plays an important role to ensure the success of
implementation of quality circles in the organizations.
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16. [ADMINISTRTAIVE OFFICE MANAGEMENT] September 11, 2012
BASIC PROBLEM SOLVING TECHNIQUES
The following techniques are most commonly used to analysis and solved work
related problems;
 Brainstorming
 Check Sheets
 Data Analysis
 Data Collection
 Flow Diagram
 Ishikawa Diagram
 Pareto Diagram
The tools used for data analysis are:-
 Bar Charts
 Circle Graphs
 Control Charts
 Histograms
 Line Graphs
 Scatter Plot
 Tables
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BRAINSTORMING
Brainstorming is a group participative technique. It unlocks and discloses the
untapped creative talents and resources in people. It is also a technique for gathering
the greatest number of ideas, which in turn spark enthusiasms and originality amongst
the member of the Quality Circle. Brainstorming are usually been used when the circle
wants to identify a problem, investigate the cause and find a solution.
THE PARETO CHART
Vilfredo Pareto (1848-1923) is an Italian economist. His philosophy of 20% of
the population has 80% of the wealth has been used and translated by the Juran as
“vital few, trivial many. He noted that 20% of the quality problems caused 80% of the
dollar loss. The usage of the Pareto Chart is to determine the priority for quality
improvement activities. Besides that it also provide tool for visualizing the Pareto
principles and determining which problem should be solved first and lastly it also
provides a before – and – after comparison.
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THE ISHIKAWA DIAGRAM
It is referred to as cause – and effective diagram, tree diagram, or fishbone
diagram. The Ishikawa diagram displays the factors that affect a particular quality
characteristic, outcome or problem. It is the typically result of brainstorming. And the
main goal represented by the trunk of the diagram, and primary factor represented as
branches. The major causes might be summarized under the categories referred to as
people, methods, materials, procedures, machinery, environment, and/or policies.
However, a Quality Circle may use any major category that emerges or helps people
think creatively. From this well-defined list of possible causes, the most likely are
identified and selected for further analysis. When examining each cause, look for things
that have changed deviations from the norm of patterns. For each cause, ask “why does
it happen?” and list the responses as branches off the major causes. This way, a
Quality Circle looks for causes that appear repeatedly and will reach a tem consensus.
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FLOW CHART
Flowcharts are a graphical description of how work is done, and are used to
describe processes that are to be improved. Flowcharts provide excellent
documentation of a program and can be useful for examining how various steps in a
process are related to each other. Sometimes it is helpful to draw two flowcharts one
with the actual steps in a process and one with how the process should work.
Comparing the two charts will show where there are differences and where problems
generally arise. Like what Dr. W. Edwars Deming had once said “Draw a flowchart for
whatever you do. Until you do, you do not know what you are doing, you just have a
job.”
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CHECKSHEET
Check sheets form a systematic means of collecting and analyzing data. They
are special types of data collection forms, and facilitate an organized way of data
presentation. Above is the sample of check sheet showing defect type and
corresponding shift in which each occurs and its frequency.
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21. [ADMINISTRTAIVE OFFICE MANAGEMENT] September 11, 2012
THE IMPACT OF QUALITY CIRCLE
 Improvement of human relations and workplace morale.
 Promotion of work culture.
 Enhancement of job interest.
 Effective team work.
 Reducing defects and improving quality.
 Improvement of productivity.
 Enhancing problem solving capacity.
 Improving communication and interaction.
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22. [ADMINISTRTAIVE OFFICE MANAGEMENT] September 11, 2012
QUALITY CIRCLE ADOPTION
STAGES OF ADOPTION
The quality circles programs have to be introduced very cautiously with care. So,
that it can receive the acceptability and appreciation of one and all.
This program can be adopted in the following stages:-
1. Evaluation of Feasibility.
 A study of the organization is first necessary to understand its
culture and general health, so as to determine the practical
feasibility of introducing circles.
 It is advisable to call in and outside consultant or agency to carry
out the evaluation in an unbiased manner.
2. General Awareness Programs.
 Before circles can be started people in the introducing these ideas
at all levels have to make aware about it.
 This awareness exercise may consist of informal discussions in
suitable groups, talks to large gatherings, seminars, distribution of
brochures and publicity literature on Quality Circles, prepared in
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the local languages of workers, slide shows, video shows and
films.
3. Planning and Organization of Circles.
 Having created the necessary awareness amongst all personnel,
the areas in which circles are to be immediately formed are
decided and accordingly, leaders and facilitators are chosen and a
steering committee is formed.
 It should be made explicitly clear that circles are not substitutes for
the task plant council or suggestion scheme.
 They are voluntary not management inspired or management
nominated.
4. Orientation of Facilitators and Leaders.
 It is necessary to impart suitable guidelines to facilitators and
instructions and training to leaders regarding the operation of
circles.
 This can be arranged in group either by the experienced and
senior staff of the company or by an outside consultant.
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5. Adoption of Circles.
 The leader of the circles can informally discuss the probable
points of problems to be taken up and prepare the agenda in
advance. Efforts should be made to select and discuss such
problems which can bring out the innovative ability and potential
capacity of workers.
 All required help in the form of data, documents, and reports,
assistance for analytical study by other knowledgeable staff or
training inputs from outside experts should be made available to
circles as per their requirements.
6. Monitoring and Review of Activities.
 The suggestions and recommendations given by the Quality Circle
from time to time, have to be studied and appropriate actions
taken for their speedy implementation.
 It has to be ensure that Quality Circle once started, function
smoothly and perform well for which cooperation from all
concerned must be available.
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AREAS OF INTEREST TO QUALITY CIRCLE
 Quality improvement.
 Efficiency improvement in service organization.
 Cost reduction.
 Process control during manufacturing.
 Safety in materials handling and equipment operations.
 Equipment and manpower utilization.
 Reduction in work in progress.
 Job improvement.
 Reduction in machine maintenance problems.
 Reduction in human errors.
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ESSENTIAL REQUIREMENTS FOR THE SUCCESS OF CIRCLES.
1. Support from the top management and cooperation from the middle
management is an essential request for the success of circle. Half
hearted support is not adequate.
2. Management should be not expecting immediate results and short terms
benefit from the circle. It should also be made clear that quality circle do
not dilute the responsibilities or authority of different function. They may
only reduce their burden and make things easier.
3. Circle should not be taken as forums for grievances or personal
problems. Such problems should always be discouraged by the leaders.
For this purpose, the agenda of meeting must be decided earlier. The
members should accept the role of the leaders and appreciate the basic
purpose of these circles.
4. A reasonably good climate spirit of cooperation and feeling of confidence
between the workers and the management must exist. Workers should
feel that improvement of the company‟s. Performance is not the
responsibilities of the manager only but workers also play a vital role in
this direction.
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5. Persons participating in the circle should be encouraged at appropriate
times by the management.
6. Training of leaders and circle members as of utmost important and this
should be arranged by the management in best possible way.
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28. [ADMINISTRTAIVE OFFICE MANAGEMENT] September 11, 2012
THE COMPANY THAT INVOLVED IN QUALITY CIRCLES
There are lots of company who are involves in improving their quality circle.
However, we have taken an example of quality circle from the Toyota Motor Company.
As we could see, Toyota is one of company whom are very highly contributed in
doing the quality circle. Starting from the products, workers, or the model of their car we
could see that there are many improvement in Toyota products.
Let say from quality, it's what every Toyota has in common. From the hood to
the trunk, and everything in-between, quality is built right in. Their build it in because
vehicles can't be renowned for their reliability and durability without it. Over 80% of
Toyotas sold in Canada in the last 20 years are still on the road today.
The human factor of quality circle in Toyota is has come to the philosophy of
continuous improvement which is known as Kaizen (in Japanese). Kaizen is nowhere
more evident than in the hundreds of quality circles. This is because, the quality circles
are constantly improving in all aspects of the production system by looking for and
addressing the root that will cause problems and fixing it so it will not going to come
back.
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In Toyota Camry plant in Kentucky, members of a quality circle in the stamping
area challenged a standard practice in the automobile industry, figured out how to use
an extra few feet on every roll of steel, and saved the company more than $100 00
annually. This is a good example of why Toyota can keep improving upon the best
quality in the industry, and still maintain the affordable price for everyone.
Toyota‟s industry-leading suggestion system is a fertile source of ideas for
improvement. At Toyota Motor Manufacturing in Kentucky, over the course of a year
almost 40, 000 suggestions are received of which fully 99% are implemented. When a
team members feel that they can express their ideas and have them implemented, they
will participated enthusiastically in the concepts of continuous improvement and that is
how Toyota‟s improved their quality circles.
For example; one suggestion that has been resulted in the construction of a
special seats, synchronized with the assembly line which allows the team members to
see more easily and work in a very comfortable zone with the wheel wells. Despite the
fact that the financial aspect of the program is downplayed, the combined hard dollar
and labor savings from the suggestions system of quality circles has saves the tens of
millions dollars of the Toyota Motor Company.
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30. [ADMINISTRTAIVE OFFICE MANAGEMENT] September 11, 2012
Other than the Toyota Motor Company, Xerox also is one of the large firms who
are using the quality circle to improve their relations with others. Xerox has an annual
teamwork day and because of a past teamwork day were able to prevent 65 000 tons of
waste going out to a landfill. Their solution at the time of seeing the problem with the
about of waste they were producing was a recycling program which is worked. This
concept has been shown to improve work productivity, save money and even to save
lives. Xerox did a good thing by improving the world by making less waste.
Lastly the third company that we had discovered who are successfully used the
Quality circle is BHEL which is one of the largest company in INDIA. BHEL‟s
Tiruchirapalli Plant : A large heavy engineering units manufacturing boiler‟s and an entire
range of equipments required for a thermal power unit. BHEL pioneer in implementing
the quality circles in INDIA. Introduced in 1984 at the Tiruchirapalli Plant. The impacts
of Quality Circles in BHEL are cohesive team work and team spirit. Work itself is more
enjoyable, improvement in interpersonal and intergroup relations, improvement in the
quality of workmanship within the work group, greater and prompter response to
suggestions given, attitudinal towards workers changes, a greater sense of belonging to
the group and the organization as a whole positive approach and lastly mutual trust.
Which is as the results the positive impact at the plant lead to the encouragement of the
Quality Circle concepts and 10% increases in the number of Quality Circles at BHEL.
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ARTICLE
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Xerox Takes Step Toward Zero Waste, Partners
With Close the Loop
Nov 15, 2010
NORWALK, Conn. -- Xerox Corporation launched a new return and recycling
program that aims to simplify the way customers return toner and supplies and
expands the company‟s effort to keep billions of pounds of waste out of landfills.
Xerox is partnering with Close the Loop, one of the world‟s largest recyclers of
imaging supplies that specializes in cartridge returns. Close the Loop will collect
customers‟ returns and manage the recycling on behalf of Xerox using a
patented material separation process that recovers used materials for reuse in
new printer cartridges and other products.
Similar to Xerox‟s Eco Box program in Europe, customers in the United States
will place used supplies into a collection box. When the box is full, customers
print a free-of-charge shipping label and send the box to Close the Loop.
Instructions are printed on the boxes, which are available in the United States
starting immediately. Customers can order the boxes through the redesigned
return and recycling website, http://www.xerox.com/gwa. The website also
includes instructions and provides several features that make choosing and using
a returns process more convenient, including bundling returns together and other
options.
This new effort is an extension of Xerox‟s Green World Alliance program, an
initiative launched in 1999 that established the company as a global leader in
waste reduction and environmental stewardship
. "During the past 12 years, our collaboration with customers has kept more than
143 million pounds of cartridges, bottles, and waste toner out of landfills,” said
Patricia Calkins, vice president, Sustainability, Environment, Health & Safety. “As
we continue to make it easier for customers to participate in our remanufacturing,
reuse and recycling efforts, we get closer and closer to our ultimate goal of zero
waste.”
"Close the Loop also is working toward zero waste," said Jim Tocash, company
president. The company returns cartridge component parts to the marketplace as
useable raw materials so nothing goes to the landfill. “Xerox is on the forefront of
zero waste initiatives – and was there long before it was popular,” Tocash said.
“Our role at Close the Loop is to make the returns process that much simpler so
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33. [ADMINISTRTAIVE OFFICE MANAGEMENT] September 11, 2012
more customers join in on the effort. Working together with Xerox we push the
goal of zero waste forward to minimize our impact on the environment.”
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34. [ADMINISTRTAIVE OFFICE MANAGEMENT] September 11, 2012
OUR BUSINESSES > TATA COMPANIES > TATA STEEL > MEDIA RELEASES
December 18, 2002
Tata Steel selected best private sector
organization promoting quality circle
movement
Jamshedpur: The Quality Circle Forum of India is an apex
body to promote and recognize quality circle movement in
the country. It conducts chapter level and national level
conventions on QC every year. This year, QCFI is hosting
the International Level Convention at Luck now in India in
which about 3000 delegates from all over the world will
participate. A total of 375 case studies from all over the
world will be presented in this convention. Along with two
papers, 14 circles of Tata Steel, will also present their case
studies, which will be recognized in this convention.
From this year, some new awards have been introduced for
recognizing organizations from public sector, private sector,
service sector and small scale industries who are promoting
the QC movement. Tata Steel has been selected the Best
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Private Sector Organization in the country for this award.
With a humble beginning in early 90s when there were very
few circles, today, Tata Steel has more than 7500 registered
quality circles. More than 96% of its employees are involved
in this improvement initiative. This year, these circles have
solved more than 14000 problems resulting in significant
improvement in quality, productivity, cost, safety, etc. Many
of the circles have participated in chapter level, national level
and international level competitions and have brought laurels
to the company.
This award will be presented on 19th December 2002 at
Luck now in the valedictory session the International
Convention by H.E. Sri PS Rama Mohan Rao, governor of
Tamil Nadu. Mr AN Singh, Dy MD (corporate services) along
with Mr KNP Singh, honorary secretary, TWU and vice
chairman, JWQC will receive this award on behalf of the
company.
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RECOMONDATION
As the quality control has give lots of benefits to this three companies, we are
suggesting that they should continue to keep this system in order for them to keep
improving the quality of their workers skills and also with their products outcome. Thus,
quality circle does give benefits to the company rather than disadvantages.
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37. [ADMINISTRTAIVE OFFICE MANAGEMENT] September 11, 2012
CONCLUSION
As a conclusion, we could say that Quality Circle is implemented to all
organization where there is a scope for group based solution of work related problems.
Besides that, the quality control aims are to achieve the objectives basically through the
development of people, and as the most important asset of an organization. Quality
Circles also are not limited to manufacturing firms only. This is because, they are
applicable for variety of organizations where there is scoped for group based on the
solutions of work related problems. These, quality circles are relevant for factories,
firms, school, hospitals, universities, research institutions, banks, government office and
etc.
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REFERENCES
Toyota and Honda endorse Quality Circles on global scale! Retrieved on
September 10, 2012 from http://www.hutchins.co.uk/NW_Toyota.aspx.
The Human Factor, Quality Circles. Retrieved on September 10, 2012 from
http://www.toyota.ca/cgi-
bin/WebObjects/WWW.woa/5/wo/Home.Vehicles.Quality-
Kcze2uf0JCpyh9UCVTJ1Jg/3.9?v300175e.html
Quality Circle. Retrieved on September 10, 2012 from
http://en.wikipedia.org/wiki/Quality_circle
Human Resources Development and Quality Circle. Retrieved on September 10,
2012 from http://www.scribd.com/doc/32975266/Human-resource-
development-and-Quality-circle-by-Hina-Rashmi-Chandni-student-of-IIBM-
Patna
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