Total Quality Management

QUALITY
Different meaning could be attached to the word
quality under different circumstances. The word quality
does not mean the quality of manufactured product
only.
It may refer to the quality of the process (i.e., men,
material, and machines) and even that of management.
Where the quality manufactured product referred as or
defined as
“Quality of product as the degree in which it fulfills the
requirement of the customer. It is not absolute but it
judged or realized by comparing it with some
standards”
Definition

Crosby defined as “Quality is conformance to requirement or

specifications”.

Juran defined as “Quality is fitness for use”.

“The Quality of a product or service is the fitness of that product

or service for meeting or exceeding its intended use as required
by the customer.”
Fundamental Factors Affecting Quality
The nine fundamental factors (9 M’s), which are affecting the
quality of products and services, are:

 Markets
 Money
 Management
 Men
 Motivation
 Materials
 Machines
 Mechanization
 Modern information methods
 Mounting product requirements
QUALITY CONTROL
Quality Control (QC) may be
defined as a system that is
used to maintain a desired
level of quality in a product
or service. It is a systematic
control of various factors
that affect the quality of the
product.

It depends on materials,
tools, machines, type of
labour, working conditions
etc.
Stages in Quality Control
Following are the steps in quality control process:
1. Formulate quality policy.
2. Set the standards or specifications on the basis of customer’s
preference, cost and profit.
3. Select inspection plan and set up procedure for checking.
4. Detect deviations from set standards of specifications.
5. Take corrective actions or necessary changes to achieve
standards.
6. Decide on salvage method i.e., to decide how the defective parts
are disposed of, entire scrap or rework.
7.Coordination of quality problems.
8. Developing quality consciousness both within and outside the
organization.
9. Developing procedures for good vendor-vendee relations
Benefits of Quality Control
• Improving the quality of products and services.
• Increasing the productivity of manufacturing
processes, commercial business, corporations.
• Reducing manufacturing and corporate costs.
• Determining and improving the marketability of
products and services.
• Reducing consumer prices of products and services.
• Improving and/or assuring on time deliveries and
availability.
• Assisting in the management of an enterprise.
History of Quality
From 5th to 15th Century (Middle Ages)
During the Middle Ages, quality was to a large extent controlled by
the long periods of training required by the guilds. This training
instilled pride in workers for quality of a product.

Industrial Revolution Period (1760-1820)

The concept of specialization of labor was introduced during the
Industrial Revolution. As a result, a worker no longer made the
entire product, only a portion. This change brought about a decline
in workmanship. Because most products manufactured during that
early period were not complicated, quality was not greatly affected.
In fact, because productivity improved there was a decrease in cost,
which resulted in lower customer expectations. As products became
more complicated and jobs more specialized, it became necessary
to inspect products after manufacture.
In 1924, W. A. Shewhart of Bell Telephone Laboratories developed
a statistical chart for the control of product variables. This chart is
considered to be the beginning of statistical quality control. Later
in the same decade, H. F. Dodge and H. G. Romig, both of Bell
Telephone Laboratories, developed the area of acceptance
sampling as a substitute for 100% inspection. Recognition of the
value of statistical quality control became apparent by 1942.

In 1946, the American Society for Quality Control was formed.

Recently, the name was changed to American Society for Quality
(ASQ). This organization, through its publications, conferences,
and training sessions, has promoted the use of quality for all
types of production and service.
In 1950, W. Edwards Deming, who learned statistical quality control
from Shewhart, gave a series of lectures on statistical methods to
Japanese engineers and on quality responsibility to the CEOs of the
largest organizations in Japan.

Joseph M. Juran made his first trip to Japan in 1954 and further
emphasized management’s responsibility to achieve quality. Using
these concepts the Japanese set the quality standards for the rest
of the world to follow.
In 1960, the first quality control circles were formed for the
purpose of quality improvement. Simple statistical techniques
were learned and applied by Japanese workers.
By the late 1970s and early 1980s, U.S. managers were making
frequent trips to Japan to learn about the Japanese miracle.
These trips were really not necessary—they could have read the
writings of Deming and Juran. Nevertheless, a quality renaissance
began to occur in U.S. products and services,

and by the middle of 1980 the concepts of TQM were being

publicized.
In the late 1980s the automotive industry began to emphasize
statistical process control (SPC). Suppliers and their suppliers
were required to use these techniques. Other industries and the
Department of Defense also implemented SPC. The Malcolm
Baldrige National Quality Award was established and became the
means to measure TQM.
Emphasis on quality continued in the auto industry in the 1990s
when the Saturn automobile ranked first in customer satisfaction
(1996).

In addition, ISO 9000 became the worldwide model for a quality

management system.

ISO 14000 was approved as the worldwide model for

environmental management systems.
Importance of Quality Management 
 Consistent quality
 Ensures long lasting efficiency
 Higher productivity levels
 Attracts a loyal set of customers
 Beat the competition in the market
 Enhanced brand value
 Customer Satisfaction:
 Reduced risks
 Less human errors
 Increased revenues and profits
 Walter A. Shewhart Edwads Deming Ronald Fisher Philip Crosby

Gurus of Total Quality

Management
Genichi Taguchi Kaoru Ishikawa Joseph M. Juran Armand V. Feigenbaum
Shewhart
Walter A. Shewhart, PhD, spent his
professional career at Western Electric
and Bell Telephone Laboratories, both
divisions of AT&T. He developed
control chart theory with control
limits, assignable and chance causes of
variation, and rational subgroups.

In 1931, he authored Economic Control

of Quality of Manufactured Product,
which is regarded as a complete and
thorough work of the basic principles
of quality control. He also developed
the PDSA (Plan – Do – Study – Act)
cycle for learning and improvement.
Ronald Fisher
In the conventional sense, Fisher is not known as a quality guru.
However, he created a solid foundation of statistical methods, such
as design of experiments (DOE) and analysis of variance (ANOVA) in
the 1930s.

DOE is one of the most powerful tools used by many organizations in

problem solving and process improvements.

Analysis of variance became widely known after being included in his

book Statistical Methods for Research Workers in 1925.

Fisher also published The Design of Experiments in 1935 and

Statistical Tables in 1947.
Deming
W. Edwards Deming, PhD, was a protégé of Shewhart. In 1950, he
taught statistical process control and the importance of quality to
the leading CEOs of Japanese industry.

He is credited with providing the foundation for the Japanese

quality miracle and resurgence as an economic power. Deming is
the best-known quality expert in the world.

His 14 points provide a theory for management to improve quality,

productivity, and competitive position. He has authored a number
of books including Out of the Crisis and Quality, Productivity,and
Competitive Position as well as 161 scholarly studies.
Juran
Joseph M. Juran, PhD worked at Western Electric from 1924 to
1941. There he was exposed to the concepts of Shewhart.

Juran traveled to Japan in 1954 to teach quality management. He

emphasized the necessity for management at all levels to be
committed to the quality effort with hands-on involvement. He
recommended project improvements based on return on
investment to achieve breakthrough results.

The Juran Trilogy for managing quality is carried out by the three
interrelated processes of planning, control, and improvement.

In 1951, the first edition of Juran’s Quality Control Handbook was

published.
Feigenbaum
Armand V. Feigenbaum, PhD, argues that total quality control is
necessary to achieve productivity, market penetration, and
competitive advantage.

Quality begins by identifying the customer’s requirements and

ends with a product or service in the hands of a satisfied customer.

In addition to customer satisfaction, some of Feigenbaum’s quality

principles are genuine management involvement, employee
involvement, first-line supervision leadership, and company-wide
quality control.

In 1951, he authored Total Quality Control.

Ishikawa
Kaoru Ishikawa, PhD, studied under Deming, Juran, and
Feigenbaum. He borrowed the total quality control
concept and adapted it for the Japanese.

In addition, he authored SPC texts in Japanese and in

English. Ishikawa is best known for the development of
the cause and effect diagram, which is sometimes called
an Ishikawa diagram.
He developed the quality circle concept in Japan,
whereby work groups, including their supervisor, were
trained in SPC concepts. The groups then met to identify
and solve quality problems in their work environment.
Crosby
Phillip B. Crosby authored his first book, Quality is Free, in 1979,
which was translated into 15 languages. It sold 1.5 million copies and
changed the way management looked at quality.

He argued that “doing it right the first time” is less expensive than
the costs of detecting and correcting nonconformities.
In 1984, he authored Quality Without Tears, which contained his
four absolutes of quality management.

These absolutes are:

 quality is conformance to requirements,
 prevention of nonconformance is the objective not appraisal,
 the performance standard is zero defects not “that’s close
enough,” and the
 measurement of quality is the cost of nonconformance.
Taguchi
Genichi Taguchi, PhD, developed his loss function concept that
combines cost, target, and variation into one metric. Because the
loss function is reactive, he developed the signal to noise ratio as a
proactive equivalent. The cornerstone of Taguchi’s philosophy is the
robust design of parameters and tolerances. It is built on the
simplification and use of traditional design of experiments
Masaaki Imai
Imai Masaaki, born 1930) is a
Japanese organizational
theorist and management
consultant, known for his
work on quality management,
specifically on Kaizen.

Shigeo Shingo
Shingō Shigeo, 1909–1990), born in
Saga City, Japan, was a Japanese
industrial engineer who was
considered as the world’s leading
expert on manufacturing practices
and the Toyota Production System.
Impact of quality on business performance

1. Increased loyalty of customers

2. Improved market shares
3. Increased price of the company shares in the stock
exchange
4. Decreased service calls from customers
5. Good price for the products / services in the market
6. Enhanced productivity of the company
Product Quality Vs, Service Quality
Product manufacturing companies
- Automobile Manufacturing
-Furniture Manufacturing
-Chemical Companies
Service Providing Companies
-Hotels
-Hospitals
-Transport Companies
-Event Management Companies
-Insurance Companies
-Legal Services
-Beauty Parlours
-Banks
-Postal Services etc
Factors which are responsible for variation in services

Characteristics and behavior of the person providing the

services
Reputation of the organization which provide services
Difficulty in defining the measures of output of services
Requirement of simultaneous presence of customer and
service provider
Tolerance specification is not available for services
Services can not be stocked
Intangibility of service makes it to give exact expectation and
hence difficult to define customer requirements.