The document outlines the PDSA cycle, a management model for continuous improvement developed by W. Edwards Deming, emphasizing the need for a systematic approach to improve products and processes. It details the four elements of the System of Profound Knowledge: appreciation for a system, knowledge of variation, theory of knowledge, and knowledge of psychology, and provides steps for developing an effective management system, including setting standards, defining organizational strategy, and conducting regular reviews and trainings. Overall, it serves as a guide for managers to enhance their organizations through structured processes and effective communication.

1. STRATEGICQUALITYMANAGEMENT
 The PDSA Cycle and Profound Knowledge
 Developing a Management System
PRESENTER: NOIMEE T. AGRAMON
PROFESSOR: JOSEFINA BITONIO, DPA

2. THE PDSA CYCLE
What is PDSA Cycle (Plan-Do-Study-Act)
• The Deming Cycle or PDSA Cycle or
Shewhart Cycle (named after Walter
Shewhart) is a four stage change
management model used by companies
for continuous improvement and
incremental problem solving.
• It is a systematic process for gaining
valuable learning and knowledge for the
continual improvement of a product,
process, or service

3. THE PDSA CYCLE

4. SYSTEM OF PROFOUND
KNOWLEDGE
• It was devised by Dr. W Edwards
Deming.
• An effective Theory of
Management. It is a framework
of thought and guide for action
that any leader wishing to
transform their organization
into one that will thrive and
survive through the current
century.

5. SYSTEM OF PROFOUND KNOWLEDGE
FOUR ELEMENTS
1. Appreciation for a System
• Deming wrote that "A System is a network of
interdependent components that work
together to try to accomplish the aim of the
system."

6. SYSTEM OF PROFOUND KNOWLEDGE
FOUR ELEMENTS
2. Knowledge of variation
• Effective managerial action
also demands a knowledge of
variation. Deming said:
"Variation there will always be,
between people, in output, in
service, in product.

7. SYSTEM OF PROFOUND KNOWLEDGE
FOUR ELEMENTS
3. Theory of knowledge
PREDICT
• Make a Guess
• What will happen Next?

8. SYSTEM OF PROFOUND KNOWLEDGE
FOUR ELEMENTS
• What motivates your
employees?
• Shouldn’t you find out before
they run away?
4. Knowledge of Psychology

9. DEVELOPING A MANAGEMENT SYSTEM
Develop and Write Procedures
• One of the basics of developing a management
system is the need to establish a set of business
procedures for your company, including employee
conduct, safety and customer service procedures.
You must write these procedures down in a format
that's accessible to your employees and certain
business partners. Setting clear guidelines for you
and your stakeholders to read and follow is a key
step in proper business management.
• A management system is a process by which you effectively manage the
functions of a company, including employees, customer service, reputation
and the business activities as a whole. The responsibility for building this
management system falls on your shoulders, as owner and manager. Start
with the basics of building a strong system, and then improve upon that
system as your business grows.

10. DEVELOPING A MANAGEMENT SYSTEM
Review System
• Another key element of building a management system is
the review process. You must perform regular audits of the
system to ensure it's running smoothly. For instance,
regular and timely employee performance appraisals allow
you to monitor the progress of your workers, identify
weaknesses and encourage increased productivity. Barrie
Gross, founder of a human resource training company,
notes that "mastering the review process is one of the
indicators of a manager's competence."
Information Management
• Another key element of building a management system is the proper handling and
disbursement of information at your company. You must establish a system that
allows information to flow freely to your customers, employees and suppliers.
• Training and educating yourself and your employees is another
basic of building an effective management system. Ongoing
training is key to managing the workplace effectively because it
keeps you updated on the latest skills and knowledge you need to
remain competitive.

11. THE BASICS OF BUILDING AN EFFECTIVE
MANAGEMENT SYSTEM
1. Set the standards for your "way we do it here"
• Identify the standards—from your overall Strategic Objective
through every small subsystem—for how you and your team do the
work of your business. This also includes your standards,
agreements and protocols for how the people in your business
communicate and work together. That way, you can build trust and
accountability throughout your organization.
2. Define your organizational strategy
• For this, you’ll need to develop an organizational chart that
displays every position in your business and how they
interrelate, as well as a strategic plan for how those positions
work together to deliver your Strategic Objective.

12. THE BASICS OF BUILDING AN EFFECTIVE
MANAGEMENT SYSTEM
3. Write position contracts for every role
• This isn’t a job description. It’s a basic agreement between managers and
employees for each position’s individual accountabilities, standards and
the resources they’ll need to succeed.
4. Have regular employee-focused one-on-ones
• Weekly Employee Development Meetings give each team member
the chance to express anything that may be getting in their way.
This is structured development time—both for an employee’s
individual growth, as well as managers and employees to build
effective relationships.
5. Hold a regular company meeting
• If you don’t introduce and regularly revisit your vision and
strategic development process for the business, don’t expect
your team to know it. Whether it’s weekly, monthly or quarterly,
host a valuable all-team meeting to share critical high-level
updates so you can gain their full commitment to move forward
with you.

13. THE BASICS OF BUILDING AN EFFECTIVE
MANAGEMENT SYSTEM
6. Systematize your operations
• First, you need to identify the big picture systems your
business needs, and the subsystems that comprise them, so
you can see every activity that makes up your business
operations. Then, design and document each system so that
any current and future employee can step right in and run it.
7. Create operations manuals
• Once you’ve set the standards for your way we do it here,
create position-specific manuals and a team handbook so
that every employee know the functions of their unique
roles.

14. THE BASICS OF BUILDING AN EFFECTIVE
MANAGEMENT SYSTEM
6. Systematize your operations
• First, you need to identify the big picture systems your business needs,
and the subsystems that comprise them, so you can see every activity
that makes up your business operations. Then, design and document
each system so that any current and future employee can step right in
and run it.
7. Create operations manuals
• Once you’ve set the standards for your way we do it here, create
position-specific manuals and a team handbook so that every
employee know the functions of their unique roles.

15. REFERENCES:
https://www.ahrq.gov/health
literacy/improve/precautions/tool2b.html#:~:text=The%20Plan%2DDo%2DStudy%2D,on%20it%2
C%20and%20testing%20again.
https://www.england.nhs.uk/wp-content/uploads/2022/01/qsir-pdsa-cycles-model-for-
improvement.pdf
https://deming.org/explore/pdsa/
https://deming.org/explore/sopk/
https://medium.com/10x-curiosity/system-of-profound-knowledge-ce8cd368ca62
https://www.quality.org/knowledge/applying-deming-system-profound-knowledge
https://en.wikipedia.org/wiki/Management_system
https://www.dqsglobal.com/en-ph/about/certification/system-certification/what-is-a-
management-system
https://www.emyth.com/inside/build-an-effective-management-system-for-your-business
https://syndicode.com/blog/how-to-build-a-learning-management-system/