Quality means fitness for use. Quality Trilogy: Q planning – Q control – Q improvement
Deming 14 points for management: 1."Create constancy of purpose towards improvement". Replace short-term reaction with long-term planning. 2."Adopt the new philosophy". The implication is that management should actually adopt his philosophy, rather than expect the workforce to do so.3."Cease dependence on inspection". If variation is reduced, there is no need to inspect manufactured items for defects, because there won't be any. 4."Move towards a single supplier for any one item." Multiple suppliers mean variation between feedstocks. 5."Improve constantly and forever". Constantly strive to reduce variation. 6."Institute training on the job". If people are inadequately trained, they will not all work the same way, and this will introduce variation. 7."Institute leadership". Deming makes a distinction between leadership and mere supervision. The latter is quota- and target-based. 8."Drive out fear". Deming sees management by fear as counter- productive in the long term, because it prevents workers from acting in the organisation's best interests. 9."Break down barriers between departments". Another idea central to TQM is the concept of the 'internal customer', that each department serves not the management, but the other departments that use its outputs.10."Eliminate slogans". Another central TQM idea is that it's not people who make most mistakes - it's the process they are working within. Harassing the workforce without improving the processes they use is counter-productive. 11."Eliminate management by objectives". Production targets encourage the delivery of poor-quality goods.12."Remove barriers to pride of workmanship". Many of the other problems outlined reduce worker satisfaction. 13."Institute education and self-improvement". 14."The transformation is everyone's job".
Seven Deadly Diseases of Management: Lack of constancy of purpose to plan product and service that will have a market and keep the company in business, and provide jobs; Emphasis on short-term profits: short-term thinking; Lack of personal review systems, or evaluation of performance, merit rating, annual review; Mobility of management; Use of visible figures only for management, with little or no consideration of figures that are unknown; Excessive medical costs; Excessive costs of liability.
Deming’s Chain reaction: Improve quality - Costs decrease because of less rework, fewer mistakes, fewer delay, and better use of time and resources - Productivity improves - Capture the market with better quality and lower price - Stay in business - Provide jobs and more jobs - Return on investments.
Crosby: Quality means conformance to specifications: “Zero defects”, which means “doing right the first time” and any time, if possible; “Quality is free”, and non-quality does cost within organization.
Feigenbaum: Total Quality Control - Theory of 9Ms: Markets; Money; Management; Men and women; Motivation; Materials; Machines and mechanization; Modern information methods; Mounting product requirements.
Ishikawa: Cause and Effect Diagram or “Fishbone Diagram”; Company Wide Quality Control (CWQC), the Japanese version for Total Quality Control.
TOTAL QUALITY: A people-focused management system that:
- aims at continual increase in customer satisfaction at continuallylower real cost;
- aims to meet customer’s requirements at theexpected time and the right place, and
- aims to obey applicable regulations.
• Find out what customers really want and design goods and services to meet these needs;
• Learn how to provide this output as efficiently as possible by eliminating both time and cost;
• Continue to enhance the process by looking for improvements.
TQ approach refers to the following: It works horizontally across functions and departments; It involves all employees, top to bottom; It extends backward and forward to include the supply chain and the customer chain; It stresses learning and adaptation to continual change as keys to organizational success.
The EFQM Excellence Model was introduced at the beginning of 1992 as the framework for organizational self-assessment and as the basis for judging entrants to the European Quality Award.
A tool for Self-Assessment / A way to Benchmark with other organisations / A guide to identify areas for Improvement / The basis for a common Vocabulary and a way of thinking / A Structure for the organisation's management system.
Concepts of excellence: Achieving Balanced Results Excellent organisations meet their Mission and progress towards their Vision through planning and achieving a balanced set of results that meet both the short and long term needs of their stakeholders and, where relevant, exceed them. Focus is on developing the key set of results required to monitor progress against the vision, mission and strategy, enabling leaders to make effective and timely decisions. Leading with Vision, Inspiration and Integrity Excellent organisations have leaders who shape the future and make it happen, acting as role models for its values and ethics. The focus is on the ability of leaders to adapt, react and gain the commitment of all stakeholders to ensure the ongoing success of the organisation. Adding Value for Customers Excellent organisations know that customers are their primary reason for being and strive to innovate and create value for them by understanding and anticipating their needs and expectations. Focus is on clearly defining and communicating the value proposition and actively engaging customers in the product and service design processes. Managing by Processes Excellent organisations are managed through structured and strategically aligned processes using fact-based decision making to create balanced and sustained results. The focus is on how the processes are designed to deliver the strategy, with end to end management beyond the “classic” boundaries of the organisation. Succeeding through People Excellent organisations value their people and create a culture of empowerment for the balanced achievement of organisational and personal goals. The focus is on creating a balance between the strategic needs of the organisation and the personal expectations and aspirations of the people to gain their commitment and engagement. Nurturing Creativity and Innovation Excellent organisations generate increased value and levels of performance through continual and systematic innovation by harnessing the creativity of their stakeholders.The concept recognises the need to develop and engage with networks and the need to engage all stakeholders as potential sources of creativity and innovation. Building Parnerships Excellent organisations seek, develop and maintain trusting relationships with various partners to ensure mutual success (with customers, society, key suppliers, educational bodies or Non-Governmental Organisations).The concept includes partnerships beyond the supply chain and recognises that these should be based on sustainable mutual benefits to succeed. Taking Responsibility for a Sustainable Future Excellent organisations embed within their culture an ethical mindset, clear values and the highest standards for organisational behaviour, all of which enable them to strive for economic, social and ecological sustainability. The concept focuses on actively taking responsibility for the organisation’s conduct and activities and managing it’s impact on the wider community.
Levels of excellence: Committed to Excellence, which demonstrates that an organization has started out and passed the first hurdle of commitment. The emphasis is on helping organizations understand their current level of performance and to establish improvement priorities. Recognized for Excellence, which indicates a well-managed organization on the way to advanced organizational excellence. This level offers applicants the benefits of a structured approach to identify organizational strengths and areas for improvement. European Quality Award Level, at Finalist, Prize winner or Award Winner itself, which designates organizations that aspire to achieve European best or world-class levels. Europe’s most prestigious Award for organizational excellence. It is the top Level of the EFQM Levels of Excellence.
RADAR: The management methodology, which defines the learning cycle necessary for effective change management, and provides a scoring framework for evaluating the consistency between organisational activities and objectives. The acronym ‘RADAR’ stands for: Results, Approach, Deployment, Assessment and Refinement.
Leadership: Develop the mission, vision, values and ethics and act as role models; Define, monitor, review and drive the improvement of the organisation’s management system and performance; Engage with external stakeholders; Reinforce a culture of excellence with the organisation’s people; Ensure that the organisation is flexible and manages change effectively.
Strategy: Is based on understanding the needs and expectations of both stakeholders and the external environment; Is based on understanding internal performance and capabilities; Strategy and supporting policies are developed, reviewed and updated to ensure economic, societal and ecological sustainability; Strategy and supporting policies are communicated and deployed through plans, processes and objectives.
People: People plans support the organisation’s strategy; People’s knowledge and capabilities are developed; People are aligned, involved and empowered; People communicate effectively throughout the organisation; People are rewarded, recognised and cared for.
Partnerships and Resources: Partners and suppliers are managed for sustainable benefit; Finances are managed to secure sustained success; Buildings, equipment, materials and natural resources are managed in a sustainable way; Technology is managed to support the delivery of strategy; Information and knowledge are managed to support effective decision making and to build the organisational capability.
Processes, Products, Services: Processes are designed and managed to optimise stakeholder value; Products and Services are developed to create optimum value for customers; Products and Services are effectively promoted and marketed; Products and Services are produced, delivered and managed; Customer relationships are managed and enhanced.
Customer results: Comprehensively measure and achieve outstanding results with respect to organization’s customers. Perception Measures: Reputation and image, Product and service value, Product and service delivery, Customer service, relationship and support, Customer loyalty and engagement. Performance Indicators: Products and services delivery, Customer service, relationships and support, Complaints and compliments, External recognition.
People results: Comprehensively measure and achieve outstanding results with respect to organization’s people Perception Measures: Performance Indicators:
Society results: Comprehensively measure and achieve outstanding results with respect to society
Key results: Comprehensively measure and achieve outstanding results with respect to the key elements of organization’s policy and strategy.
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