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QUALITY AWARDS
- to stimulate efforts to improve quality, to recognize quality achievements, and to
publicize successful programs
The Baldrige Award
- annual award given by the U.S. government to recognize quality achievements of
U.S. companies
- named after the late Malcolm Baldrige (an industrialist and former secretary of
commerce)
- administered by the National Institute of Standards and Technology
Baldrige Core Values and Concepts
The criteria for the Baldrige Award are related to the following set of core
values and concepts:
Visionary Leadership
- An organizations senior leaders need to set directions and create a
customer focus, clear and visible values, and high expectations.
- Leaders need to ensure the creation of strategies, systems, and
methods for achieving excellence, stimulating innovation, and building
knowledge and capabilities.
Customer-Driven Excellence
- Being customer-driven is a strategic concept directed toward customer
retention, market share gain and growth
- Includes not only defect and error reduction, meeting specifications,
and reducing complaints, but also how well the organization is able to
recover from defects and mistakes
Organization and Personal Learning
- Organizational Learning refers to continuous improvement of existing
approaches and processes and adaptation to change, leading to new
goals and/or approaches.
- Organizations invest in employee personal learning through education,
training, and opportunities for continuing growth. Opportunities might
include job rotation and increased pay for demonstrated knowledge
and skills
Valuing Employees and Partners
- valuing employees means committing to their satisfaction, development
and well-being
Major challenges in the area of valuing employees include:
1. demonstrating your leaders commitment to your employees
2. providing recognition opportunities that go beyond the normal
compensation system
3. providing opportunities for development and growth within your
organization

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4. sharing your organizations knowledge so your employees can

better serve your customers and contribute to achieving your
strategic objectives
5. creating an environment that encourages risk taking
- Organizations need to build internal and external partnerships to better
accomplish overall goals. Internal partnerships might include
partnership with employees, creating network relationships among your
work units to improve flexibility, responsiveness, and knowledge
sharing. External partnerships might be with customers, suppliers, and
education organizations.
Agility
- quick introductions of new or improved products and services
- faster and more flexible response to customers
- rapid changeover from one process to another
Managing for Innovation
- makes meaningful change to improve an organizations products,
services, and processes.
- Should focus on leading your organization to new dimensions of
performance
Management by Fact
- Data and analysis support a variety of purposes, such as planning,
reviewing your overall performance, improving operations, and
comparing your performance with competitors
Social Responsibility
- An organizations leadership needs to stress its responsibilities to the
public and needs to practice good citizenship
- Business ethics and protection of public health, safety, and the
environment
Focus on Results and Creating Value
- Results should be focused on creating and balancing value for all your
stakeholders customers, employees, stockholders, suppliers and
partners, the public and the community

The European Quality Award

- is the Europes most prestigious award for organizational excellence
Award winner:
- the European Quality Award is presented annually to the organization judged to
be the best in each of the award categories, providing they also meet all the
requirements set annually by the award jurors
- award winners are exceptional organizations they are European or global role
models in their approaches and the results they achieve

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Prize winners
- Prizes are presented annually to organizations that excel in some of the
fundamental concepts of excellence
- Are intended to identify role models
- Special prizes in each category in the following areas:
Leadership and constancy of purpose
Customer focus
Corporate social responsibility
People development and involvement
Results orientation
Finalists
- Each year, several finalist may be declared in each category
- Finalists are organizations that demonstrate a high degree of excellence in the
management of quality as their fundamental process for continuous improvement
Recognized for excellence
- this indicates that the organization is well managed and aspires to achieve role
model status
The Deming Prize
- named in honor of the late W. Edwards Deming
- awarded annually to firms that distinguish themselves with quality management
programs
- typically given to Japanese firms
- companies that win the Deming Prize tend to have quality programs that are
detailed and well-communicated throughout the company
QUALITY CERTIFICATION
International Organization for Standardization (ISO)
- promotes worldwide standards for the improvement of quality, productivity, and
operating efficiency throughout a series of standards and guidelines

ISO 9000
- a standard that defines the requirements for Quality Management Systems.
- concerns what an organization does to ensure that its products or services
conform to its customers requirements

ISO 14000
- a standard that defines the requirements for Environmental Management
Systems
- concerns what an organization does to minimize harmful effects to the
environment caused by its operations

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With certification comes registration in an ISO directory that companies seeking

suppliers can refer to for a list of certified companies.
A key requirement for registration is that a company review, refine and map
functions such as process control, inspection, purchasing, training, packaging, and
delivery.
Eight quality management principles form the basis of ISO 9000
Customer focus
Leadership
Involvement of people
A process approach
A system approach to management
Continual Improvement
Use of factual approach to decision making
Mutually beneficial supplier relationships
The standards for ISO 14000 certification bear upon three major areas:
Management systems systems development and integration of environmental
responsibilities into business planning
Operations consumption of natural resources and energies
Environmental systems measuring, assessing, and managing emissions,
effluents, and other waste streams
TOTAL QUALITY MANAGEMENT
As defined by the International Organization for Standardization (ISO):
"TQM is a management approach for an organization, centered on quality, based on the
participation of all its members and aiming at long-term success through customer
satisfaction, and benefits to all members of the organization and to society."
Three key philosophies:
1. continuous improvement
2. involvement of everyone in the organization
3. goal of a customer satisfaction
In Japan, TQM comprises four process steps, namely:
1. Kaizen Focuses on "Continuous Process Improvement", to make processes
visible, repeatable and measurable.
2. Atarimae Hinshitsu The idea that "things will work as they are supposed to" (for
example, a pen will write).

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3. Kansei Examining the way the user applies the product leads to improvement
in the product itself.
4. Miryokuteki Hinshitsu The idea that "things should have an aesthetic quality"
(for example, a pen will write in a way that is pleasing to the writer).
TQM approach:
1. Find out what customers want surveys, interviews
2. Design a product or service that will meet or exceed what customers want
3. Design processes that facilitate doing the job right the first time. determine
where mistakes are likely to occur and try to prevent them
4. Keep track of results, and use them to guide improvement in the system. Never
stop trying to improve
5. Extend these concepts to suppliers and distributors.

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