Quality Circle-A way to Quality Improvement

INTRODUCTION 

People are the greatest assets of an organisation, because, through

people all other resources are converted into utilities. However,
management of ‘People Resources’ has always been a vexed problem
ever since the beginning of organised human activities. A number of
managerial responses have been developed to answer this question.

Participate methods in the workplace are one way to improve both the
work environment for employees and productivity and quality for the
company.

Quality Circle is one of the employee participation methods. It implies the development of skills,
capabilities, confidence and creativity of the people through cumulative process of education, training,
work experience and participation. It also implies the creation of facilitative conditions and environment of
work, which creates and sustains their motivation and commitment towards work excellence. Quality
Circles have emerged as a mechanism to develop and utilize the tremendous potential of people for
improvement in product quality and productivity.

GENESIS OF QUALITY CIRCLES

After the Second World War Japanese economy was in the doldrums. Seeing this disastrous effect of
war, Americans decided to help Japan in improving the quality standards of their products. General
Douglas Mac Arthur who, at that time, was the commander of the occupational forces in Japan took up
the task of imparting quality awareness among Japanese to help them improve their products and the
reliability of manufacturing systems including men, machine and materials. Thus, by 1975, they were
topping the world in quality and productivity. This astonishing and unique achievement in modern history
became an eye – opener to the world. Industrialists and politicians from all over the world started visiting
Japan to know how they have achieved such magical results in such a short span. The answer to this was
painstaking and persevering efforts of the Japanese leaders and workers and the development and
growth of the philosophy of small working groups. This resulted in the Quality Circle concept being
accepted all over the world as a very effective technique to improve the total quality of work life.

DEFINITION

Quality Circle is a small group of 6 to 12 employees doing similar work who voluntarily meet together on a
regular basis to identify improvements in their respective work areas using proven techniques for
analysing and solving work related problems coming in the way of achieving and sustaining excellence
leading to mutual upliftment of employees as well as the organisation. It is "a way of capturing the
creative and innovative power that lies within the work force".

PHILOSOPHY
 Quality Circles is a people – building philosophy, providing self-
motivation and happiness in improving environment without any
compulsion or monetary benefits. It represents a philosophy of
managing people specially those at the grass root level as well as a
clearly defined mechanism and methodology for translating this
philosophy into practice and a required structure to make it a way of
life. It is bound to succeed where people are respected and are
involved in decisions, concerning their work life, and in environments
where peoples’ capabilities are looked upon as assets to solve work-
area problems.

The Quality Circle philosophy calls for a progressive attitude on the part of the management and their
willingness to make adjustments, if necessary, in their style and culture.
If workers are prepared to contribute their ideas, the management must be willing to create a congenial
environment to encourage them to do so.

CONCEPT

The concept of Quality Circle is primarily based upon recognition of the value of the worker as a human
being, as someone who willingly activises on his job, his wisdom, intelligence, experience, attitude and
feelings. It is based upon the human resource management considered as one of the key factors in the
improvement of product quality & productivity. Quality Circle concept has three major attributes:

 Quality Circle is a form of participation management.

 Quality Circle is a human resource development technique.
 Quality Circle is a problem solving technique.

OBJECTIVE

The objectives of Quality Circles are multi-faced.

a) Change in Attitude.
From "I don’t care" to "I do care" 
Continuous improvement in quality of work life through humanisation of work.

b) Self Development
Bring out ‘Hidden Potential’ of people
People get to learn additional skills.

c) Development of Team Spirit

Individual Vs Team – "I could not do but we did it"
Eliminate inter departmental conflicts.

d) Improved Organisational Culture

Positive working environment.
Total involvement of people at all levels.
Higher motivational level.
Participate Management process.

ORGANISATIONAL STRUCTURE
A Quality Circle has an appropriate organisational structure for its effective and efficient performance. It
varies from industry to industry, organisation to organisation. But it is useful to have a basic framework as
a model. The structure of a Quality Circle consists of the following elements.

1. A steering committee: This is at the top of the structure. It is headed by a senior

executive and includes representatives from the top management personnel and human
resources development people. It establishes policy, plans and directs the program and
meets usually once in a month.
2. Co-ordinator: He may be a Personnel or Administrative officer who co-ordinates and
supervises the work of the facilitators and administers the programme.
3. Facilitator: He may be a senior supervisory officer. He co-ordiates the works of several
quality circles through the Circle leaders.
4. Circle leader: Leaders may be from lowest level workers or Supervisors. A Circle leader
organises and conducts Circle activities.
5. Circle members : They may be staff workers. Without circle members the porgramme
cannot exist. They are the lifeblood of quality circles. They should attend all meetings as
far as possible, offer suggestions and ideas, participate actively in group process, take
training seriously with a receptive attitude.The roles of Steering Committee, Co-0rdinator,
Facilitator, Circle leader and Circle members are well defined.

LAUNCHING QUALITY CIRCLES

The major prerequisite for initiating Quality Circles in any organisation is the total understanding of, as
well as complete conviction and faith in the participative philosophy, on the part of the top and senior
management. In the absence of a commitment from the Chief Executive to support the Quality Circle
movement totally, it would be inadvisable to seriously attempt the starting of Quality Circles. The
launching of Quality Circles involves the following steps:

Expose middle level executives to the concept.

Explain the concept to the employees and invite them to volunteer as members of Quality Circles.
Nominate senior officers as facilitators.
Form a steering committee.
Arrange training of co-ordinators, facilitators in basics of Quality Circle approach, implementation,
techniques and operation. Later facilitator may provide training to Circle leaders and Circle members.
A meeting should be fixed preferably one hour a week for the Quality Circle to meet.
Formally inaugurate the Quality Circle.
Arrange the necessary facilities for the Quality Circle meeting and its operation.

TRAINING

Appropriate training for different sections of employees needs to be imparted. Without a proper
understanding of the real concept of Quality Circles, both the workers and management might look at this
philosophy with suspicion. Each group should know beforehand the commitments and implications
involved as well as the benefit that can be obtained from Quality Circles. Such training comprises of :

Brief orientation programme for top management.

Programme for middle level executives.
Training of facilitators.
Training for Circle leaders and members.

PROCESS OF OPERATION

The operation of quality circles involves a set of sequential steps as under:

1 Problem identification: Identify a number of problems.

2 Problem selection : Decide the priority and select the problem to be taken up first.
3 Problem Analysis : Problem is clarified and analysed by basic problem solving methods.
4 Generate alternative solutions : Identify and evaluate causes and generate number of possible
alternative solutions.
5 Select the most appropriate solution : Discuss and evaluate the alternative solutions by comparison in
terms of investment and return from the investment. This enables to select the most appropriate solution.
6 Prepare plan of action : Prepare plan of action for converting the solution into reality which includes the
considerations "who, what, when, where, why and how" of solving problems.
7 Present solution to management circle members present solution to management fore approval.
8. Implementation of solution : The management evaluates the recommended solution. Then it is tested
and if successful, implemented on a full scale.

BASIC PROBLEM SOLVING TECHNIQUES

The following techniques are most commonly used to analyse and solve work related problems.
1 Brain storming
2 Pareto Diagrams
3 Cause & Effect Analysis
4 Data Collection
5 Data Analysis

The tools used for data analysis are :

1 Tables 
2 Bar Charts 
3 Histograms 
4 Circle graphs 
5 Line graphs 
6 Scattergrams 
7 Control Charts

The Quality Circles also are expected to develop internal leadership, reinforce worker morale and
motivation, and encourage a strong sense of teamwork in an organisation.

A variety of benefits have been attributed to Quality Circles, including higher quality, improved
productivity, greater upward flow of information, broader improved worker attitudes, job enrichment, and
greater teamwork.

Problem quality circles often suffer from unrealistic expectations for fast results, lock of management
commitment and support, resistance by middle management, resentment by non participants, inadequate
training, lack of clear objectives and failure to get solutions implemented.
BENEFITS AND LIMITATIONS OF QUALITY CIRCLES

It took more than two decades for the quality control concept to get acceptance in India, after its
introduction in Japan. This may be due to the differences in the industrial context in the two countries.
Japan needed it for its survival in a competitive market. India had a reasonably protected, sellers market,
with consequent lethargy towards efforts to improve quality and productivity. However, with the policy of
liberalisation of economy and privatisation of infrastructure development, contexts changed. The concept
now needs to be looked upon as a necessity.

APPLICABILITY IN GOVERNMENT ORGANISATIONS

The Public Works Department of Government of Maharashtra is responsible for the construction and
maintenance of about 2.00 lakhs km. of road net work in the state and a large number of Government-
owned buildings spread all over the state. The road net work caters for national level traffic to the rural
area traffic. The climatic and geographical features also vary from place to place in the state. The ultimate
customer of the Department is the common man and it is not generally easy to satisfy the ultimate needs
of this user to the fullest extent merely by taking decision at the top management level. The sub-ordinate
officers and staff working in the field and who are well-acquainted with the day-to –day problems in their
work areas, are the best judges to decide upon the line of action. The top management in Maharashtra
P.W.D. realized this need of the time and introduced the concept of Quality Circle as employee
participation method in the organisation. The concept of Quality Circle was launched in the Public Works
Department of Govt. of Maharashtra on 18-11-1997. In a span of about a year 17 Quality Circles have
been formed in Mumbai Region wherein 22 problems have been solved so far. 48 Quality Circles have
been formed in Pune Region wherein, 8 problems have been solved. Nashik Region of the P.W.D. has
formed 9 Quality Circles and solutions to 3 problems have been found out . Aurangabad Region has
formed 21 Quality Circles and solved 7 problems. Nagpur Regions have formed 47 Quality Circles and
have found out solution to 57 problems, so far.

The results of a short period of one year are found to be very encouraging so far and many of these
Circles have already come up with solutions to the various work related problems as evidenced from the
last two state level conventions held at Mumbai and Aurangabad respectively. The presentations by the
various Quality Circles at these conventions bear testimony to the fact that the concept of Quality Circle
has been received with much enthusiasm at the grass root level. These presentations also provide
concrete evidence fulfilling the expected benefits of the Quality Circle . Taking inspirations from these
conventions, more staff of the Department have come forward to form Quality Circles ,emphasising the
fact that Quality Circles have come to stay in the Department.

Some of the problems solved by the Quality Circles in P.W.D. of Maharashtra are as follows:

1 Eliminating delay in issuing observation memos after inspection of site. 

2 Preventing accidents on highways.
3 Reducing electricity bill in office.
4 Avoiding duplication of work.
5 Removal of encroachment from Govt. land.
6 Speeding up pot-hole filling on roads during monsoon.
7 Upkeeping of service records of employees.
8 Maintaining Govt. offices clean.
9 Stream-lining reservation system of Govt. rest houses.
10 Improvement in maintenance of Govt. Hospital at Solapur.

Some of the problems and the solutions thereof are explained briefly below:

1 Delay in issue of observation memos:

The Public Works Department of Maharashtra is divided into six regions each headed by a Chief
Engineer. Each regional Chief Engineer is assisted by a Superintending Engineer, Vigilance & Quality
Circle who with the help of two Executive Engineer and about 6 Deputy Engineers carries out inspection
of the ongoing projects. The samples of the construction material being used on project are collected and
independently tested in the Regional Testing Laboratories to ascertain the level of acceptance. The
findings of the inspections are communicated to the field engineers in the form of ‘observation memo’. It is
contemplated that the Execution Engineer in charge of the project ensures immediate compliance of the
remarks raised in the observation memo and carries out corrective measures in the ongoing project as
well as preventive measures for the future works.

However, very often the observation memos are issued after much delay defeating the very purpose of
the observation memo. This problem was identified by the ‘OMKAR’ Quality Circle formed in the office of
Superintending Engineer, Vigilance & Quality Control Circle, Navi Mumbai. The members used various
tools and methodology, identified the various root causes that led to this problem and finally solved the
problem with requisite foolproofing.

By solving this problem, it became possible to improve the quality of work in the field which ultimately
brightened the image of the Department. The formation of Quality Circle also benefited employees by
providing.

a) A systematic style of education that helped them grow.

b) Freedom to modify their work habits.
c) Opportunity to use their brain for development of the Department; and
d) Opportunity to work as a team.
e) The employees were also motivated to improve work culture, self improvement recognition and
creativity in work.

ii) Preventing accidents on highways:

It was observed that the accident rate on Sion-Panvel Highway passing through New Mumbai had gone
up sharply. The Circle members collected the data from the respective police stations and identified the
important causes of accidents by using Pareto Analysis. They segregated the causes under Man,
Machine, Material &Method . The Circle members found out solutions to the problem such as closing of
central verge at all locations except junction, frequent lane marking, installation of Caution boards,
Providing lay-byes for buses etc. The data collection of accidents for a period three months after
implementation of solutions near Shirvane and Turbhe revealed that the cause of accident had been
eliminated and no more accidents occurred at those locations had been eliminated and no more
accidents accoured at those locations again. This way the Circle members ensured the effectiveness of
the solution implemented. They made presentation to their steering committee for obtaining sanction to
other solutions involving more funds.

CONCLUSION

Quality Circles are not limited to manufacturing firms only. They are applicable for variety of organisations
where there is scope for group based solution of work related problems. Quality Circles are relevant for
factories, firms, schools, hospitals, universities, research institutes, banks, government offices etc. The
P.W.D. of Maharashtra has set an example for the Government organisations marching on the path of
Quality Improvement.
 Quality Circle: A stitch in Time
By
Mr. L.K. Jena
Faculty Member (Human Resource)
ICFAI National College
Near Kambala Tank Road, Rajahmundry-533 105
 

Two atom bombs dropped on Japan during 1945, converted the thriving, industrial empire of Japan
to dust and smoke, with millions killed or maimed. Every one thought it would be centuries before Japan
re-captures its pristine glory, but Japan rose like a phoenix from ashes to become the leading nation of
the world within a short span of time. The power behind this miracle was fierce will, determination and
commitment of Japanese people and their quest for quality. They adopted Quality Circles as ways of
building attitudes to surmount problems, improve quality and to be competitive.

Quality Circle:- A Human Interface

Quality Circles or Quality Control Circles, as they are called in Japan, is a participative philosophy woven
around quality control and problem solving techniques at the bottom level. It epitomizes the policy of
people building, respect for human beings and conceives a participative management culture. This
concept enables the grass-root level employees to play a meaningful and significant role in their
organization. The responsibility for the attainment of Quality depends on all the departments of an
Organization. The main purpose behind Quality Circles is to build the people and produce quality people
towards making quality products or providing quality services. It is to make a 'Man' productive and
knowledge worthy.

 Florida Power & Light (FPL) reduced customer complaints by 60% and improved reliability of
electric services to customers by 40% in 1983. In 1987, the firm was rated by 156 utility CEO's
as the best managed utility in the nation.
 In its remittance banking or lock-box business, First Chicago's accuracy rate is nearly three times
the industry average.
 Xerox has started to regain its market share in copiers from the Japanese.
 Ford now has one of the most popular cars purchased by Americans, the Taurus

The Origin

The concept of Quality Circle is primarily based upon recognition of the value of the worker as a human
being, as someone who willingly activises on his job, his wisdom, intelligence, experience, attitude and
feelings. It is based upon the human resource management considered as one of the key factors in the
improvement of product quality & productivity. Quality Circle concept has three major attributes:

a. Quality Circle is a form of participation management. 

b. Quality Circle is a human resource development technique. 
 c. Quality Circle is a problem solving technique.

Quality circle..Its Composition?

- It's a small group comprising of 6 to 12 employees doing similar work 

- They meet together voluntarily on a regular basis for identifying improvements in their respective work
areas.
- Their aim to achieve and so also to sustain excellence towards mutual upliftment of employees as well
as the organization.

Undercurrent of Quality Circle:-

The objectives of Quality Circles are multi-faced.

a) Change in Attitude.
-From "I don't care" to "I do care" 
-Continuous improvement in quality of work life through humanization of work.
b) Self Development
-Bring out 'Hidden Potential' of people
-People get to learn additional skills.
c) Development of Team Spirit
-Individual Vs Team – "I could not do but we did it"
-Eliminate inter departmental conflicts.
d) Improved Organizational Culture
- Positive working environment.
-Total involvement of people at all levels.
-Higher motivational level.

PROCESS OF OPERATION

The operation of quality circles involves a set of sequential steps as under:-

How to Stitch the Problems through QC:-

1. The use of various techniques must be supported with accurate information and data.   

Data  and information collection or insufficient  data could  lead  to  a  situation where decisions or 
corrective  action  be implemented  effectively. 

Data and information should be collected for the following purposes:-

(a)  To understand the actual situation and to support or reinforce an option; and

( b)  To  established the relationship between the problem  and  its causes..

Data Compilation Method:-

* Data can be collected using five methods, namely:

(a)  Interviews 
(b)  Questionnaires
(c)  Observation
(d)  From reports and
(e)  From complaints by the public..

* The data collected should be recorded information on the date of Collection, method of collection and
the individual who collated the data.  The data must be recorded in a manner which facilitates its use
that is,  it  must be arranged in specific categories. For example, it should be categorized according to
the four management resources namely, man, method, material and machine..
Sampling:- A way to simplify  

26.   In data collection, samples are used. This involves the collection of data  from a small population of
the total population involved.  The sampling techniques generally used are:-

(a)  Random Sampling,

This process involves the random selection of the sample units. The selection can be made by the use of
a random number through table or lists of names to prevent any bias..

(b)  Systematic Sampling

This process involves the systematic selection of the sample to be used. For example, choosing every
tenth name from a list of names..

(c)  Stratified Sampling

This process involves the selection of the sample according to specific categories such as age, sex and
income group, etc..

* QC members may use various techniques in  the  problem-solving process. The effective  techniques
generally are:-

     (a)  Brainstorming;
     (b)  Cause and Effect Analysis;
     (c)  Check sheets;
     (d)  Pareto Analysis;

(a)  Brainstorming

Brainstorming can be defined as the methodology used to encourage every individual in the Circle to
express freely their opinions or give ideas in an open discussion..

Brainstorming can be used to list down all the problem faced by an organization, their causes and the
potential effects if a certain suggestion is implemented..

To ensure the success of the brainstorming process, it is important for the Circle to flow the following
rules:

(i)   The subject for brainstorming should be clear and accurate. For example, members may brainstorm
to identify the causes and reasons why a certain task cannot be completed on schedule..
(ii)  Each member will give only opinion/idea at each turn regardless of the number of ideas he/she may
have..
(iii) A tension-free atmosphere must be maintained to encourage free expression of ideas..
(iv)  Every idea expressed should be written on the black/white board, flip chart or noted down by a
secretary..
(v)   At the end of the brainstorming session, all the ideas expressed should be evaluated one by one
and short listed..
(vi)  Voting is used to list the ideas according to priority.  The prioritization is based on number of votes
received for each idea..

(b)  Cause and Effect Analysis

The Cause and Effect Analysis is also known as the Fish-Bone Analysis.  This technique is used to
analyze problems with the identification of causes of a problem through brainstorming.   This technique
is easy to use   as   it summarizes, arranges and explains all the causes of a problem which has been
identified in the form of a diagram.  It also allows for the identification of many possible causes of a
problem.  There are five steps in the construction of a Cause and Effect Diagram..

Step 1: Identify a Problem

The first step is to identify the problem and to state the problem accurately.  For example the problem
identified is `Reports Cannot be Printed Within The Time Period Specified'.  Start the Cause and Effect
Diagram with an arrow pointing from left to right towards the problem:-

     -----------------------------------------------------------
                                         EFFECT 
              CAUSE--------> Reports Cannot be Printed Within The
                             Time Period Specified
     ----------------------------------------------------------

Step 2: Determine the Main Causes

A problem is caused by various factors.   These  factors  can  be categories  according  to  the resources
of  production  such  as  man, machine, material and method like:-

DETERMINING THE MAIN CAUSES

     Material       Man

            \           \
             \           \
       -------------------------> Reports cannot be printed 
             /           /         On Time
            /           /
      Machine       Method

Step 3: Determine the Sub-Causes under the Main Causes

Through a process of brainstorming, the sub-causes of the problem are identified and entered below the
appropriate main causes.  Where possible, the sub-causes are further broken down into more detailed
sub-sub-causes

DETERMINING THE SUB-CAUSES

     Material       Man

           \           \---------------Attitude
            \           \                       | 
             \           \             going on emergency leave too often 
       --------------------------------> Reports cannot be Printed on time
             /           /                            
            /           /
           /           /
      Machine       Method

For instance, the sub-cause to the main "Man" is "attitude" and "Going on emergency leave too often" is
the sub-sub-cause.  this is because  a negative  attitude results in an officer going on emergency  leave 
too often.   When all  the  sub-causes and the  sub-sub  causes  have  been identified, the Cause and
Effect Diagram will appear as:-

     Material                 Man

            \                           \
             \----Shortage         \---- Lack of manpower
              \   of printing       \---- No detailed checking
               \ supplies           \---------------Attitude

c) Check Sheets:-

Check Sheets are an effective means of gathering data in a helpful and meaningful way. 

Kaoru Ishikawa is often credited with "democratizing statistics."  This relates to his desire to spread
quality control ideas throughout the workplace.  His tools make it easier to comprehend raw data,
making quality improvements simpler.  Check Sheets are a perfect example of this.  Although they can
vary a good deal depending on the type of data being collected, the purpose of the check sheet is
always the same.

"The Check Sheet is used to facilitate the collection and analysis of data.  'Garbage in, Garbage out' is
an old cliché, but it is true.  Therefore, the purpose for which data is being collected must be clear. 
Data reflects facts, but only if they are properly collected.  The number of defects and where they are
found can be recorded and analyzed for causes" (Soin 297).

d) Pareto Analysis:-

Pareto analysis provides the mechanism to control and direct effort by fact, not by emotion. It helps to
clearly establish top priorities and to identify both profitable and unprofitable targets. Pareto analysis is
useful to:

2. Prioritize problems, goals, and objectives

3. Identify root causes
4. Select and define key quality improvement programs
5. Select key customer relations and service programs
6. Select key employee relations improvement programs
7. Select and define key performance improvement programs
8. Address the Vital Few and the Trivial Many causes of nonconformance
9. Maximize research and product development time
10. Verify operating procedures and manufacturing processes
 11. Product or services sales and distribution
12. Allocate physical, financial and human resources

* A Pareto chart is used for: Focusing on critical issues by ranking them in terms of importance and
frequency (example: Which course causes the most difficulty for students? Which problem with Product
X is most significant to the customers?) Prioritizing problems or causes to efficiently initiate problem
solving (example: Which discipline problems should be tackled first? or, what is the most frequent
complaint by parents regarding the school? Solution of what production problem will improve quality
most?) Analyzing problems or causes by different groupings of data (e.g., by program, by teacher, by
school building; by machine, by team) Analyzing the before and after impact of changes made in a
process (example: What is the most common complaint of parents before and after the new principal
was hired?; has the initiation of a quality improvement program reduced the number of defectives?)

Quality management is not a one time effort but a continual long term endeavor which has to be
recognized, reinforced and rewarded by continuous monitoring the ongoing data collection, evaluation,
feedback and improvement programmes. The top management should have to create an atmosphere
where the management and the workers cooperate with each other  for smooth functioning of the
organization.

Bibliography:-

* http://www.mahapwd.com/
* City Montessori's and degree college, Lucknow on "International Conventions on Students Quality
control circles"
* www.hrzone.com the success of quality circle on American Companies
* Schein, Lawrence. "The Road to Total Quality: Views of Industry Experts". Conference Board Research
Bulletin, No. 239, 1990.
* http://www.mampu.gov.my/mampu/
* Soin, Sarv Singh.  TQC essentials.  McGraw-Hill, Inc: New York, 1992. 
* http://www.qualitymanagementsurvival.com/

A quality circle is a volunteer group composed of workers (or even students), usually under the

leadership of their supervisor (but they can elect a team leader), who are trained to identify, analyse 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, true
quality circles become self-managing, having gained the confidence of management.

Quality circles are an alternative to the dehumanising concept of the division of labour, where workers or
individuals are treated like robots. They bring back the concept of craftsmanship, which when operated on
an individual basis is uneconomic, but when used in group form (as is the case with quality circles), it can
be devastatingly powerful and enables the enrichment of the lives of the workers or students and creates
harmony and high performance in the workplace. Typical topics are improving occupational safety and
health, improving product design, and improvement in the workplace andmanufacturing processes.
The term quality circles derives from the concept of PDCA(Plan, Do, check, Act) circles developed by Dr.
W.Edward Deming.

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. [citation needed]

They are formal groups. They meet at least once a week on company time and are trained by competent
persons (usually designated as facilitators) who may be personnel and industrial relations specialists
trained in human factors and the basic skills of problem identification, information gathering and analysis,
basic statistics, and solution generation.[1] Quality circles are generally free to select any topic they wish
(other than those related to salary and terms and conditions of work, as there are other channels through
which these issues are usually considered). [2][3]

Quality circles have the advantage of continuity; the circle remains intact from project to project. (For a
comparison to Quality Improvement Teams, see Juran's Quality by Design.[4]

[edit]History

Quality circles were first established in Japan in 1962; Kaoru Ishikawa has been credited with their
creation. The movement in Japan was coordinated by the Japanese Union of Scientists and
Engineers(JUSE). The first circles were established at the Nippon Wireless and Telegraph Company but
then spread to more than 35 other companies in the first year. [5] By 1978 it was claimed that there were
more than one million Quality Circles involving some 10 million Japanese workers. [citation needed] There are
now Quality Circles in most East Asian countries; it was recently claimed that there were more than 20
million Quality Circles in China.[citation needed]

Quality circles have been implemented even in educational sectors in India, and QCFI (Quality Circle
Forum of India) is promoting such activities. However this was not successful in the United States, as it
(was not properly understood and) turned out to be a fault-finding exercise although some circles do still
exist. ref Don Dewar who together with Wayne Ryker and Jeff Beardsley first established them in 1972 at
the Lockheed Space Missile Factory in California.

There are different quality circle tools, namely:

 The Ishikawa or fishbone diagram - which shows hierarchies of causes contributing to a problem

 The Pareto Chart - which analyses different causes by frequency to illustrate the vital cause,
 Process Mapping, Data gathering tools such as Check Sheets and graphical tools such as
histograms, frequency diagrams, spot charts and pie charts

quality circles are nt the most cost effective way of working i advise other methords rob likes them tho
[edit]Student quality circles
Student quality circles work on the philosophy of Total Quality Management. The idea of SQCs was
presented by City Montessori School (CIshikawa_diagramMS) Lucknow India in 1993 at a conference in
Hong Kong in October 1994. It was developed and mentored by duo engineers of Indian Railways PC
Bihari and Swami Das in association with Principal Dr Kamran of CMS Lucknow India. They were inspired
and facilitated by Jagdish Gandhi the founder of CMS after J. Gandhi's visit to Japan where he learnt
about Kaizen. The world's first student QC was made in CMS Lucknow in India with then 13 year old
student Ms. SuchetaBihari as its leader. CMS conducts international convention on student quality circles
at its location in Lucknow since 1997 which it has repeated every 2 years to the present day. After seeing
its utility, the visionary educationalists from many countries started these circles. The World Council for
Total Quality & Excellence in Education was established in 1999 with its Corporate Office InLucknow and
Head Office at Singapore. It monitors and facilitates student quality circle activities to its member
countries which is more than a dozen.This is considered to be a co-curricular activity. Students Quality
Circles have been established in India, Bangladesh, Pakistan, Nepal, Sri Lanka, Turkey, Mauratius, Iran,
UK (Kingston University), USA, etc.In Nepal Prof. Dinesh P. Chapagain is promoting this innovative
approach through QUEST-Nepal since 1999. Prof. Chapagain has written a book entitled "A Guide Book
on Students' Quality Circle: An Approach to prepare Total Quality People" which is considered as
standard guide book to promote Students' Quality Circles in academia for student's personality
development.[citation needed]

[edit]References

13. ^ Montana, Patrick J.; Bruce H. Charnov (2008). Management (4th ed.). Barron's. ISBN 9780764139314.

14. ^ Hutchins, David C. (1985). The Quality Circles Handbook. New York: Pitman Press. ISBN 9780893972141.
15. ^ Hutchins, David C. (September 2008). HoshinKanri : the strategic approach to continuous improvement.
Burlington, Vermont: Gower. ISBN 9780566087400.

16. ^ Juran, Joseph M. (1992). Juran on quality by design : the new steps for planning quality into goods and services.
New York: Free Press. ISBN 9780029166833.

17. ^ Hutchins, David C. (1999). Just In Time. Farnham, Surrey: Gower Publishing. p. 148. ISBN 9780566077982.

A quality circle is a participatory management technique that enlists the help of employees in solving
problems related to their own jobs. In their volume Japanese Quality Circles and Productivity, Joel E.
Ross and William C. Ross define a quality circle as "a small group of employees doing similar or related
work who meet regularly to identify, analyze, and solve product-quality and production problems and
to improve general operations. The circle is a relatively autonomous unit (ideally about ten workers),
usually led by a supervisor or a senior worker and organized as a work unit." Employees who
participate in quality circles usually receive training in formal problem-solving methods—such
as brainstorming, pareto analysis, and cause-and-effect diagrams—and then are encouraged to apply
these methods to either specific or general company problems. After completing an analysis, they
often present their findings to management and then handle implementation of approved solutions.

Although most commonly found in manufacturing environments, quality circles are applicable to a
wide variety of business situations and problems. They are based on two ideas: that employees can
often make better suggestions for improving work processes than management; and that employees
are motivated by their participation in making such improvements. Thus, implemented correctly,
quality circles can help a small business reduce costs, increase productivity, and improve employee
morale. Other potential benefits that may be realized by a small business include greater operational
efficiency, reduced absenteeism, improved employee health and safety, and an overall better working
climate. In their book Production and Operations Management, Howard J. Weiss and Mark E. Gershon
called quality circles "the best means today for meeting the goal of designing quality into a product."

The interest of U.S. manufacturers in quality circles was sparked by dramatic improvements in the
quality and economic competitiveness of Japanese goods in the post-World War II years. The
emphasis of Japanese quality circles was on preventing defects from occurring rather than inspecting
products for defects following a manufacturing process. Japanese quality circles also attempted to
minimize the scrap and downtime that resulted from part and product defects. In the United States,
the quality circle movement evolved to encompass the broader goals of cost reduction, productivity
improvement, employee involvement, and problem-solving activities.

Background

Quality circles were originally associated with Japanese management and manufacturing techniques.
The introduction of quality circles in Japan in the postwar years was inspired by the lectures of W.
Edwards Deming (1900-1993), a statistician for the U.S. government. Deming based his proposals on
the experience of U.S. firms operating under wartime industrial standards. Noting that American
management had typically given line managers and engineers about 85 percent of the responsibility
for quality control and line workers only about 15 percent, Deming argued that these shares should be
reversed. He suggested redesigning production processes to more fully account for quality control, and
continuously educating all employees in a firm—from the top down—in quality control techniques and
statistical control technologies. Quality circles were the means by which this continuous education was
to take place for production workers.

Deming predicted that if Japanese firms adopted the system of quality controls he advocated, nations
around the world would be imposing import quotas on Japanese products within five years. His
prediction was vindicated. Deming's ideas became very influential in Japan, and he received several
prestigious awards for his contributions to the Japanese economy.

The principles of Deming's quality circles simply moved quality control to an earlier position in the
production process. Rather than relying upon post-production inspections to catch errors and defects,
quality circles attempted to prevent defects from occurring in the first place. As an added bonus,
machine downtime and scrap materials that formerly occurred due to product defects were minimized.
Deming's idea that improving quality could increase productivity led to the development in Japan of
the Total Quality Control (TQC) concept, in which quality and productivity are viewed as two sides of a
coin. TQC also required that a manufacturer's suppliers make use of quality circles.
Quality circles in Japan were part of a system of relatively cooperative labor-management relations,
involving company unions and lifetime employment guarantees for many full-time permanent
employees. Consistent with this decentralized, enterprise-oriented system, quality circles provided a
means by which production workers were encouraged to participate in company matters and by which
management could benefit from production workers' intimate knowledge of the production process. In
1980 alone, changes resulting from employee suggestions resulted in savings of $10 billion for
Japanese firms and bonuses of $4 billion for Japanese employees.

Active American interest in Japanese quality control began in the early 1970s, when the U.S.
aerospace manufacturer Lockheed organized a tour of Japanese industrial plants. This trip marked a
turning point in the previously established pattern, in which Japanese managers had made educational
tours of industrial plants in the United States. Lockheed's visit resulted in the gradual establishment of
quality circles in its factories beginning in 1974. Within two years, Lockheed estimated that its fifteen
quality circles had saved nearly $3 million, with a ratio of savings to cost of six to one. As Lockheed's
successes became known, other firms in the aerospace industry began adopting quality circles.
Thereafter quality circles spread rapidly throughout the U.S. economy; by 1980, over one-half of firms
in the Fortune 500 had implemented or were planning on implementing quality circles.

In the early 1990s, the U.S. National Labor Relations Board (NLRB) made several important rulings
regarding the legality of certain forms of quality circles. These rulings were based on the 1935 Wagner
Act, which prohibited company unions and management-dominated labor organizations. One NLRB
ruling found quality programs unlawful that were established by the firm, that featured agendas
dominated by the firm, and addressed the conditions of employment within the firm. Another ruling
held that a company's labor-management committees were in effect labor organizations used to
bypass negotiations with a labor union. As a result of these rulings, a number of employer
representatives expressed their concern that quality circles, as well as other kinds of labor-
management cooperation programs, would be hindered. However, the NLRB stated that these rulings
were not general indictments against quality circles and labor-management cooperation programs, but
were aimed specifically at the practices of the companies in question.

Requirements for Successful Quality Circles

In his book Productivity Improvement: A Guide for Small Business, Ira B. Gregerman outlined a

number of requirements for a small business contemplating the use of quality circles. First, the small
business owner should be comfortable with a participative management approach. It is also important
that the small business have good, cooperative labor-management relations, as well as the support of
middle managers for the quality circle program. The small business owner must be willing and able to
commit the time and resources needed to train the employees who will participate in the program,
particularly the quality circle leaders and facilitators. It may even be necessary to hire outside
facilitators if the time and expertise does not exist in-house. Some small businesses may find it helpful
to establish a steering committee to provide direction and guidance for quality circle activities. Even if
all these requirements are met, the small business will only benefit from quality circles if employee
participation is voluntary, and if employees are allowed some input into the selection of problems to
be addressed. Finally, the small business owner must allow time for the quality circles to begin
achieving desired results; in some cases, it can take more than a year for expectations to be met.

But successful quality circles offer a wide variety of benefits for small businesses. For example, they
serve to increase management's awareness of employee ideas, as well as employee awareness of the
need for innovation within the company. Quality circles also serve to facilitate communication and
increase commitment among both labor and management. In enhancing
employee satisfaction through participation in decision-making, such initiatives may also improve a
small business's ability to recruit and retain qualified employees. In addition, many companies find
that quality circles further teamwork and reduce employee resistance to change. Finally, quality circles
can improve a small business's overall competitiveness by reducing costs, improving quality, and
promoting innovation.