The document discusses the origins and key figures in the development of Total Quality Management (TQM). It began with W. Edwards Deming introducing his ideas about TQM to Japanese industrialists after World War 2. Implementing Deming's ideas helped Japan's economy and industries recover, allowing them to outcompete American and Western competitors by the 1970s. Other quality gurus like Juran, Crosby, Ishikawa, and Taguchi further developed concepts around quality management. Key aspects of TQM included continuous improvement, statistical process control, quality circles, and mistake-proofing.

2. Cause and Effect Digram: Need for TQM

3. In the 1950’s American industry was enjoying a boom.
Whatever was made could be sold. Few industrialists
heeded the work of this man called Deming and his ideas
about Total Quality . In Japan , however , things were
different . The Japanese economy was depressed . Goods
stamped made in Japan were known for poor quality and
high price.
TQM Origin

4. Japanese industrialists were very receptive to the ideas of Deming on
TQM and set about implementing them. By the mid - 1970’s Japan
was beginning to seriously undermine its American and other western
competitors. First in cars , then in the whole range of goods including
videos, Hi-fi and computers. The rest is a history.

5. Quality Gurus
Deming , Juran and Crosby are some of the
world famous quality gurus . All of them have
come out with their own ideas and concepts on
quality . Their ideas and concepts are briefly
given on the next slides.

6. William Edwards Deming
➢ He is considered to be the father of Japanese quality
management systems.
➢Scientific approach to quality
➢Deming prize, the highest honour for quality in excellence is
named after him.
➢ Deming originated PDCA cycle . He came out with the
new “climate” ( organizational culture ) which primarily
consists of joy in work, Innovation and cooperation.
➢He referred to this new climate as Win - Win as opposed to
I win : You Lose .

7. PLAN
D0
CHECK
ACT
PDCA cycle
The PDCA cycle
is
also known as
the
Deming cycle

8. Evolution of TQM philosophies
The Deming Philosophy
Definition of quality, “A product or a service possesses
quality if it helps somebody and enjoys a good and
sustainable market.”
Improve quality
Decrease cost
because of less
rework, fewer
mistakes.
Productivity improve
Capture the
market with
better quality
and reduced
cost.
Stay in business
Long-term
competitiv
e strength

9. Demings’ - 14 point Agenda for quality
improvement
1. Create and publish to all employees a statement of the aims and
purposes of the company or organization. The management must
constantly demonstrate their commitment to this statement
2. Learn the new philosophy.
3. Understand the purpose of inspection – to reduce the cost and
improve the processes.
4. End the practice of awarding business on the basis of price tag
alone..
9

10. Demings’ - 14 point Agenda
5. Improve constantly and forever the system of production
and service
6. Institute training
7. Teach and institute leadership.
8. Drive out fear. Create an environment of innovation.
9. Optimize the team efforts towards the aims and purposes of
the company.
10. Eliminate exhortations for the workforce.
10

11. Demings’ - 14 point Agenda
11. A) Eliminate numerical quotas for production,
instead learn and institutes methods for
improvement
B) Eliminate Management by Objetives, instead
learn the capabilities of processes and how to
improve them.
12. Remove the barriers that rob pride of workmanship.
13. Encourage learning and self-improvement.
14. Take action to accomplish the transformation.

12. The Deming philosophy
◆ “A System of Profound Knowledge”
1. Appreciation for a system - A system is a set of functions
or activities within an organization that work together to
achieve organizational goals. Management’s job is to
optimize the system. (not parts of system, but the whole!).
System requires co-operation.
2. Psychology – The designers and implementers of decisions
are people. Hence understanding their psychology is
important.
12

13. The Deming philosophy
3. Understanding process variation – A production process
contains many sources of variation. Reduction in variation
improves quality. Two types of variations- common causes
and special causes. Focus on the special causes. Common
causes can be reduced only by change of technology.
4. Theory of knowledge – Management decisions should be
driven by facts, data and justifiable theories. Don’t follow
the managements fads!
13

14. Joseph M. Juran
ì Juran developed the idea of Quality trilogy : Quality
planning , Quality improvement and Quality control. He
concentrates not only on the end customer , but identifies
other external and internal customers. According to him ,
Quality is “Fitness of use”

15. Jurans’ Detailed Programme for
quality improvement
◆Justifying the need for improvement
◆Identifying the projects for improvement
◆Organizing support for the projects
◆Diagnosing the causes
◆Providing remedies for the causes
◆Proving the remedies are effective under
operating conditions
◆Providing control mechanisms to maintain
improvements
He believed that at any point in time, there must be
several quality improvement projects underway in
all areas of organization

16. Philip B. Crosby
ì Crosby is known for his concepts of
“Do it right first time” and “zero
defects” . He defines quality as
conformance to requirements which the
company itself has established for its
products based directly on customer
needs. He emphasizes prevention
management in every area .
Defects

17. The essence of Crosbys’ Philosophy
It is embodied in what he calls the “absolute quality
Management” The absolutes are:
◆ Absolute I : Definition of Quality is conformance to
Standards
◆ Absolute II: The system of quality is prevention
◆ Absolute III: The performance standard is zero defects
◆ Asolute IV: Measurement of quality is the price of non-
conformance
◆ Absolute V: There is no such thing as a quality problem
Basic Elements of Improvement
◆Determination (commitment by the top management)
◆Education (of the employees towards Zero Defects (ZD))
◆Implementation (of the organizational processes towards ZD)

18. Crosbys’ Findings
◆He noted that most companies spend 20-25% of their
sales on quality costs.
◆On the other hand, a company with a well managed
quality program can achieve cost of quality less than
2.5% of the sales.
◆In long run, firms spend considerably more on
prevention of quality problems rather than correction
of efforts arising out of a bad quality management
program

19. Karou Ishikawa
◆Prominent figure of Japanese quality management
◆He promoted the concept of companywide through use of
quality control (QC) circles.
◆A small number of volunteer workers from the unit of an
organization form a group called quality circles that can be
led by any person a supervisor or a worker.
◆If possible, they go ahead and implement their own ideas
◆He also proposed Fishbone diagram to analyze quality
problems at the workplace

20. 20
Quality circles
◆Teams of workers and supervisors that meet regularly to
address work-related problems involving quality and
productivity.
◆Became immediately popular in Japan as well as USA.
◆Lockheed Missiles and Space Division was the leader in
implementing Quality circles in USA in 1973 (after their
visit to Japan to study the same).
◆Typically small day-to-day problems are given to quality
circles. Since workers are most familiar with the routine
tasks, they are asked to identify, analyze and solve quality
problems in the routine processes.

21. Cause and Effect Diagram
“Fishbone Diagram”
 Purpose:
◦ visual display of information to identify root causes rather than
symptoms.
 To construct:
◦ determine the issue and write problem statement in a box to the right of
diagram
◦ find the main causes and write them on branches flowing to the main
branch (method, equipment, people, material, environment, customer
expectations, money, management, govt. regulations)
◦ identify all possible causes and write them on the diagram as sub-causes
in each category
 Typical Application:
◦ determine the real cause of the problem
◦ check the potential effects of a solution

22. Cause and effect diagram.
EFFECT
Men
Machine
Method Materials
CAUSES
Environment
Systems

23. “Fishbone Diagram !!!!!!!!!!”

24. Shiego Shingo
Poka-Yoke (Mistake proofing)
◆ Approach for mistake-proofing processes using automatic
devises or methods to avoid simple human error.
◆ Developed and refined in the 1960s by the late Shigeo
Shingo, a Japanese manufacturing engineer who
developed the Toyota production system.
◆ Operational angle to achieving zero defects , as proposed
by Crosby
◆ Focused on two aspects:
1. Prediction – Recognizing that a defect is about to occur
and provide a warning.
2. Detection – Recognizing that a defect has occurred and
stop the process.

25. Genichi Taguchi
◆He proposed three stage approach to design process
◆Systems Design : Identifies the basic elements of design such as
the best combination of process and materials
◆Parameter Design : determines the most appropriate, optimizing
set of parameters covering design elements
In this he proposed methods for identifying the “settings” of
each parameter that will minimize variation from target
performance of the project.
◆Tolerance Design: Identifies the components that are sensitive in
terms of affecting the quality of the product and establishes
tolerance limits, which will identify the permitted level of
variation in design

26. Genichi Taguchi
◆ A different method of measuring quality , the loss function
TARGET
MANUFACTURER TOLERANCE
CUSTOMER TOLERANCE
PERFORMANCE CHARACTERISTICS
LOSS

27. Definitions of Quality
◆What is quality?
Dictionary has many definitions: “Essential characteristic,”
“Superior,” etc.
Some definitions that have gained wide acceptance in various
organizations:
“Quality is customer satisfaction,” “Quality is Fitness for Use.”
◆The American National Standards Institute (ANSI) and the
American Society for Quality (ASQ) define quality as:
“The totality of features and characteristics of a product or
service that bears on its ability to satisfy given needs.”

28. 28
Conformance specification
◆This definition focuses on the manufacturing process and
motives of the quality manager to develop mechanisms for
ensuring that specifications are met with
◆As long as specifications are met with It is assumed that
quality objectives are met with
Fulfilling Customer Needs
◆Quality focuses not only on the manufacturing but also on
the process of arriving at specifications, have themselves.
◆It emphasizes the need to have a system of collecting
information regarding customers’ perceptions about the
product and preferences before the specifications arrived at.

29. Fitness for Use
◆In order to develop an understanding, an organization needs to
focus on customer relationships, the design and manufacturing
process.
◆A variation of this definition is minimizing the loss to society.
◆This definition emphasizes a life –cycle approach to building
quality.
◆According to Feignbaum, the underlying principle of total
quality is that, to provide genuine effectiveness, control must
start with the design of the product and end only when the
product has been placed in hands of a customer who remains
satisfied.

30. Garvin – Quality has 8 Dimensions
1. Performance : The customer expects a certain level of
performance from a product. It relates to the operational
characteristics of the product.
2. Features : Features provide additional attributes that enhance
the quality
3. Reliability : The expectation that product will perform for a
period of time in known as reliability.
4. Conformance : Meeting the specifications and standards of
design.
5. Durability : How long the product lasts before it requires a
replacement. Durability and reliability are related

31. Garvin – Quality has 8 Dimensions……
6. Serviceability : The ease with which the product can be
serviced
7. Aesthetics : One can relate this idea to the various feel – good
factors that a customer evaluates before making a choice of.
8. Safety : Safety aspects denote the assurance to the customer
that there are no hazards in using the product.
Other Perceptions : Customers also have a host of subjective
perceptions such as brand name, image, impact of advertising
etc. in his/her assessment of quality.

32. Some important implications for quality
managers
◆Quality is both qualitative and quantitative
◆The changing definitions of quality over time.
◆Quality is a moving Target

33. Quantifiable attributes of quality
Conformance
to specs
Fulfillment of
Customer needs
Fitness For Use
Minimization of
loss to Society
Customer
Firm

34. Total Quality Management
◆ Total quality management (TQM) can be defined as an organization –
wide effort to develop systems, tools, techniques, skills and mindset
required to establish a quality assurance system that is responsive to
emerging marketing needs.
◆ Good TQM Program me consists of the following important elements
a) Role of the top management
b) Employee involvement for continuous improvement
c) Addressing the training requirements of employees
d) Tools and techniques for quality assurance and continuous
improvement.

35. Commitment of Top Management
◆The term “Total” connotes “everyone”, “everywhere” and
“every time”
◆Involving everyone from CEO to the lowest level employee
to play their role in quality assurance.
◆The concept of TQM shifts the role of middle level
managers as problem solvers to production workers in their
efforts towards producing quality goods and services.

36. Management as Filter
Problem Solvers
Workers
Employee Controls the
Cycle
Plan
Do
Check
Act
Management as Enabler
Workers as
Problem Solvers
Direct
employees
perform
Tasks
Management

37. Employee Involvement
◆Process ownership is the transformation of the role of the
employees from a mere function of accomplishing the assigned
tasks to one of taking a conscious role in the overall management
of the process
◆Consider 2 alternative roles for employees
1. Employee will be merely focusing on merely producing a
component using a machine and he may be interested to
maximize the production than ensuring the quality. Specialists
have to look up to the inventory problems and other problems
that pile up in the end which increases the costs

38. Employee Involvement
2. In addition to production, the employee will have the ultimate
responsibility of maintaining all the aspects of the processes.
Therefore, employee involvement is an important aspect of
TQM.
◆ Employee involvement requires employee empowerment

39. “ I met the requirements”
3
9
OEM
OEM
Supplier
Combative non collaborative relationship

40. 40
“Creating the Best Vehicle/Systems with
All the People All the Suppliers All the
Time”
YOU meet the
requirements! Let’s create
the best Vehicle
and
Systems
together.
Partnership - Collaborative relationship

41. Quality improvement through small projects
Identify improvement
Projects
Project 1
Identify the
quality Problem
•Set the Scope
•Measure the
current status
Project 2 Project 3 Project 4
Small group improvement using quality control tools
Quality Improvement through small group improvement projects

42. Addressing Training Requirements
◆Communicating the need for alternative procedures, new
methods of empowerment, and the benefits that are likely to
the organization is just one aspect of training.
◆The other aspect relates to educating all the employers in using
the new quality control tools and techniques to be adopted for
quality management.
◆Middle level managers require the new skills for setting up a
good quality management system at work as :
1. Identifying problem areas
2. Setting Targets for improvement
3. Participating in the improvement process
4. Facilitating the process owners and monitoring and guiding
them over time.

43. Quality Policy at some Organizations
◆GE Healthcare : Quality and continuous improvement is a pert
of the culture. Take responsibility on the projects executed, for
the maintaining the operation of the products delivered, and for
traceability required by the authorities.
◆Sasken : Achieve excellence through commitment and
innovation surpassing the expectations of the customers in this
attempt shall:
1. Set up and implement world class systems and processes
2. Sensitize and raise our quality for improvements to make
quality a way of life
3. Continuously strive for improvements to make quality way of
life
4. Meet all applicable environmental, health and safety standards
and demonstrate on an ongoing basis

44. Quality Management Tools
◆Quality management tools available tools fall under five broad
categories
1. Tools for highlighting quality problem : The most commonly
used tool is the process control chart. An out-of-control
situation points to deteriorating the quality in the process.
2. Tools for Identifying specific improvement opportunities : The
most popular among them include check sheets, histograms,
and Pareto diagrams. Using these tools, it is possible to locate
exactly where the problem lies.
3. Tools for analyzing problems and their root causes: The most
popular tool used in this category is the cause effect
(Fishbone) Diagram and a variation of it known as the cause
and effect diagram action card (CEDAC)

45. 4) Tools for operational planning : Operational planning tools
pertain to prior planning done to minimize quality problems
in operations.
5) Tools for strategic planning : The strategies tools help an
organization link the quality management initiatives to the
requirements in the market place and provide overall
directions for operational planning and improvement
activities.

46. Tools and techniques for TQM
Purpose of the
Tool
Quality Control
Tools
Management
Tools
Highlighting problems
identifying specific
improvement
opportunities
•Control Charts
•Histograms
•Check Sheets
•Pareto Diagrams
•Scatter Diagrams
•Graphs
Analyzing problems and
their root causes
•Cause and Effect
(Fishbone Diagram
•CEDAC
•Affinity Diagram
•Relationship Diagram

47. Tools and techniques for TQM
Purpose of the Tool Quality
Control Tools
Management Tools
Operational Planning
for building quality
into Products and
services
•Tree Diagram
•Matrix Diagram
•Matrix data analysis
•Process Decision
Program Chart (PDPC)
•Arrow Diagram
•Poka Yoke
Strategic Planning •Quality Function
Deployment (QFD)
•Quality costing

48. Histogram
◆The histogram is a simple method of graphically representing the
frequency distribution of multiple attributes of interest.
◆The value of a histogram lies on its ability to graphically portray
the various causes pertaining to the problem as well as the
magnitude of these causes.
◆By initiating another set of data collection activities and plotting
of the histogram, it is possible to trace the causes one step further
and eventually to the root itself.

49. A Histogram
89 18
96 11
103 3
110 1
0
2
4
6
8
10
12
14
16
18
20
47 54 61 68 75 82 89 96 103 110
47
54
61
68
75
82
89
96
103
110

50. Pareto Diagrams
◆A pareto diagram is a method by which clear cut priorities are
established for directing the improvement efforts.
◆A revised representation of histograms clearly establishes
priorities for improvement .

51. Cause and Effect Diagrams
◆The cause and effect diagram, or the fishbone diagram, is a
generic methodology developed to trance the problems to their
root causes.
◆The technique is based on the assumption that good or bad
quality is on account of various causes pertaining to the process.
◆Typically the causes are due to the choice of material, work
method, and equipment used as well as the impact of labour
practices.
◆A fishbone diagram helps the quality improvement team to
analyze problems in a structured manner and identify the root
Causes.
◆This tool enables members of the group to engage in a
brainstorming towards problem solving

52. Cause and Effect Diagram

53. CEDAC
◆A variation in the cause effect diagram is CEDAC where AC =
action cards.
◆In case of CEDAC, this entire process is left open to all
employees of the organization by adding two sets of cards to
the fishbone.
◆Problem cards and the solution cards placed separately in bins
with a visual fishbone structure board.
◆This enables any employee to contribute to problem solving.
◆Any employee who thinks he/she knows the problem will pick
up an appropriate card.
◆He/she will write suggestions and affix it at the appropriate leg
of the fishbone.

54. Poka Yoke
◆It is a Japanese term for mistake proofing of operations.
◆Shingo proposed this method while he improved the Toyota
production system.
◆The basic principle behind this defects that creep into an
operation are usually avoidable.
◆Only to identify careful scrutiny of the process is it possible to
identify the root causes of the defects.
◆The root causes could then be completely eliminated by
redesigning the operations and incorporating methods by
which the process will not allow the errors to happen in the
future.

55. Matrix Diagram
◆The matrix diagram is one of the quality management tools
used in operational planning and for building quality into
products and services.
◆A two dimensional matrix is constructed to analyze the
quality problem and identify areas that require further
improvement
◆Once the two dimensions of the matrix are identified, the
relevant data is collected and represented in the matrix
diagram.
◆Hindustan Motors have used this to enhance the
competitiveness of one of its products, the Hindustan 1035N

56. Quality Function Deployment (QFD)
The four houses of quality
- -
- -
- - - -
Links
customer
needs to
design
attributes
Links
design
attributes to
actions firms
can take
Links
actions to
implement-
ation
decisions
Links
implement-
ation to
process
plans

57. Quality Costing
Categories of Quality Costs
Control Costs Failure Costs
Prevention Appraisal Internal External
Quality Costs

58. Quality
Certifications
& Awards
No Name of the
Award/Certification
Awarding
Agency
Applicable to
whom
Remarks
Some well known Quality Awards
1 Deming Prize Union of Japanese
Scientists &
Engineers (JUSE)
No geographical
restrictions for
applicants.
More than one may
be selected for the
prize.
2 Malcom Baldrige
National Quality
Award
National Institute
of Standards &
Technology
(NIST), USA
Open only for
US corporations
Only one winner
selected for each
category
3 European Quality
Award
European
Foundation for
Quality
Management
(EFQM)
Open only for
European
companies
Only one winner
selected for each
category
4 CII-EXIM Business
Excellence Award
Confederation of
Indian Industries
(CII)
Any company in
India can apply
Only one winner
selected for each
category
5 Rajiv Gandhi National
Quality Award
Bureau of Indian
Standards (BIS)
Indian
companies can
apply
Four categories
(Large scale
manufacturing,
small scale
manufacturing,
service sector,
BEST OF ALL).
Some well known quality certifications
6 ISO 9000 series
ISO 14000 series
(Environmental issues)
QS 9000 series
(Automotive sector)
TL 9000 series
(Telecommunication
Sector)
International
Organization for
Standardization
Any company
can apply for the
certification
Rating agencies
assess and
recommend
certification.
Certificates valid
for three years.
7 OHSAS 18001 An association of
national standards
bodies
Companies can
apply with the
respective
national
standards body.
Deals with
occupational health
& safety
management

59. CII – EXIM Business Excellence Award
Adapted from:
http://www.ciionline.org/Common/201/default.asp?Page=The%20Business%20Excellence%20Model.htm

60. Certification Programs in Software
Industry
◆Capability Maturity Model Integration
(CMMI)
◆People Capability Maturity Model (P-
CMM)
◆Software Acquisition Capability
Maturity Model (SA-CMM)
◆Capability Maturity Model for
Software (SW-CMM)
◆Systems Engineering Capability
Maturity Model (SE-CMM)
◆Integrated Product Development
Capability Maturity Model (IPD-CMM)

61. List of Deming Prize winners
Year Name of the company
1998 Sundaram-Clayton Limited, Brakes Division
2001 Sundaram Brake Linings Ltd.
2002 TVS Motor Company Ltd.
2003 • Brakes India Ltd., Foundry Division
• Mahindra and Mahindra Ltd., Farm Equipment Sector
• Rane Brake Linings Ltd.
• Sona Koyo Steering Systems Ltd.
2004 • SRF Ltd - Industrial Synthetics Business
• Lucas-TVS
• Indo-Gulf Fertilizers Limited
2005
• Krishna Maruti Limited, Seat Division (India)
• Rane Engine Valves Limited (India)
• Rane TRW Steering Systems Limited,
• Steering Gear Division (India)
2007 • Asahi India Glass Limited, Auto Glass Division (India)
• Rane (Madras) Limited (India)
2008 Tata Steel Limited (India)

62. Elements of a Quality Assurance System
•Understand customer
needs
•Translate them to
meaningful measures
for the operating
system
Mechanisms for
identifying quality
problems
Tools & techniques for
the employees
•For tracking problems
to their root causes
•Identifying corrective
measures
Methods for
preventing
recurrence of
problems
Documentation of all
quality related
initiatives for
continuous learning &
improvement
Employee involvement
for continuous focus
on quality
improvement
Quality
Assurance
System
Quality
Certifications &
Benchmarking
exercises
Top Management
Commitment to
Quality

63. Total Quality Management
Chapter Highlights
◆ The resounding success of Japanese
manufacturing firms have invariably been linked to
excellent practices in quality management in the
last 30 years
◆ Much of the progress that organizations made in
quality and productivity management is attributed
to the teachings of quality gurus such as Deming,
Juran, Crosby, Taguchi, Shingo and Ishikawa
◆ A good quality management system must
◼ enable a manager to understand the qualitative attributes that
influence a customer and
◼ have a method of translating these into unambiguous quantifiable
parameters for design and manufacturing

64. Total Quality Management
Chapter Highlights…
◆ A TQM program consists of four components:
◼ top management commitment
◼ employee involvement in continuous improvement initiatives
◼ training and skill development
◼ investment in robust systems
◆ Several tools and techniques are available that help
in
◼ highlighting the problems
◼ identifying specific improvement opportunities
◼ analyzing problems and their root causes
◼ operation and strategic planning for building quality into products and
services
◆ Alternative certification procedures and award
mechanisms are available to recognize excellent
quality management systems in organizations