ASSIGNMENT DRIVE SUMMER 2014

PROGRAM MBADS (SEM 3/SEM 5) MBAFLEX/ MBA (SEM 3) PGDTQMN (SEM 1)

SUBJECT CODE & NAME - QM0010 FOUNDATION OF QUALITY MANAGEMENT
BK ID B1240 CREDITS 4 MARKS 60
Q. No 1 Explain the approaches and dimensions to Quality. Discuss Juranss views on
Quality.
(Approaches to Quality, Dimensions of Quality, Jurans views on Quality) 3+3+4=10
Answer: Approach to Quality:
David. C. Garvin, Harvard Business School professor has identified several approaches to Quality in
his book Managing Quality. Each of the approaches has different implications for Quality control
and improvement. He has presented five approaches to Quality and relates them to the eight
dimensions of Quality.
Five Approaches to Quality:
A. Transcendent Approach: Quality is recognized through learning and experience defined in
terms of innate excellence.
B. Product Based Approach: Quality is precise and measurable; it can be ranked on various
attributes and is an inherent part of the product.
C. User Based Approach: Quality reflects personal, idiosyncratic view, reflected in customer
demand curves in marketing; quality is the ideal combination of attributes for maximizing consumer
satisfaction.
D. Manufacturing Based Approach: Focus on engineering and manufacturing practices;
quality is defined as conformance to specifications; reduce costs by reducing the number of
deviations
E. Value Based Approach: Quality is defined as performance or conformance at an acceptable
cost; this is the notion of affordable excellence.
Eight Dimensions of Quality:
1. Performance: Primary operating characteristics; combines product and user based approach
relationship between performance and quality reflects individual reactions to objective
characteristics.
2. Features: Characteristics that is secondary to basic functioning.

3. Reliability: Probability of the product failing within a given time period. Relevant to the mission
critical products and consumer durable goods
4. Conformance: Degree or the extent to which the design and operating characteristics match the
specifications.
5. Durability: Measure of product life; technically, as the amount of use before it deteriorates.
6. Serviceability: The speed and the ease of repair in case the product fails during operation.
7. Aesthetics: Subjective assessment of look and feel; reflects the individual preferences
8. Perceived Quality: Indirect measures of Quality such as brand name, image.

Juranss views on Quality:

Customer satisfaction and loyalty are achieved through two dimensions:
Features and Freedom from deficiencies
a) Features: Some of the examples are: Performance, reliability, accuracy, Ease of use
and others.
Features have a major effect on sales income (through market share, premium price and others). The
total customer satisfaction in some of the industries can be segmented by the level or grade of
quality desired. Luxury hotels, Luxury cars, premium branded apparels can be cited as examples for
this. Features refer to Quality of Design. Increasing the Quality of design generally leads to higher
costs.
b) Freedom from deficiencies: Some of the examples are: Defect free products, right
first time no rework and others.
Freedom from deficiencies has major effect on costs through reductions in scarp, rework,
complaints, and other results of deficiencies. Deficiencies are stated in different terms like errors,
defects, failures, off-specifications and others. Freedom from deficiencies refers to Quality of
Conformance. Increasing the quality of conformance usually results in lower costs. In addition,
higher conformance means fewer complaints and therefore decreased customer dissatisfaction.
To summarize, the quality is defined by customer. Features and Freedom from deficiencies are the
main factors deciding the satisfaction levels.

2 Explain Quality Economic Approach and Quality Environmental Approach.

(Explanation of Quality Economic Approach, Explanation of Quality Environmental Approach)
5+5=10
Answer: Quality Economic Approach:
Business conditions are changing and evolving so as the economic environment. In this competitive
environment, organization requires new approaches to survive. Quality is becoming prime priority
for most of the organizations and implementing a quality system requires management commitment
to develop a quality assurance program. This embraces a variety of activities designed to ensure
reliability in the first place, specific quality control measures to monitor quality on a routine basis.
The goal of quality system should be to avoid errors rather than to detect them. The reduction of
correction costs is recognized as a benefit which can be offset against the cost of the system.
The quality economical approach is to provide quality product or service at competitive prices while
reducing wastage, decreasing cost, providing high customer satisfaction, gaining competitive
advantage, provide a vibrant economy that affects in terms of taxation, government spending,
general demand, interest rates, exchange rates, and overall development and growth.
Following are some of the quality economical aspects:
Reduce Cost, Reduce wastage, Gain Competitive advantage.
Quality Environmental Approach:
Industrial and economic development have led to faster depletion of natural resources, forestry,
water, coal, and petroleum etc have given impetus to growth and now with the fast depletion of
resources the crisis is approaching. Pollution, carbon and gaseous emission, are adding to crisis.
Large scale usage of natural resources is not only causing depletion but also leading to wide spread
air, water and noise pollution that is again leading to hazardous health problem and severe
consequences. Emission of hazardous gases are depleting the ozone layer in the atmosphere and
disturbing ecological imbalance. The consequences have alarmed the society, organization and
various other institutions. Now organizations are aware of their environmental and social
responsibility and are taking various measures to safeguard environment. Social responsibility of
business organization is to keep check on issues pertaining to environment. To discharge the
responsibility organizations need to accomplish Environmental Quality policy. Total quality
management provides a model for business excellence by advocating on environment management
as a key business process to create eco-friendly environment and built premises of secure
environment and better working condition. Quality management concentrates on the activity that
lead to environment pollution directly or indirectly and causes harm to environment and health,

hygiene of people in an around the business. It checks the problem and consequences of the
environmental issues and concentrates on the following areas:
1. Generation and discharge of pollutants to the environment, namely air, waste or excessive noise
2. Industrial energy management
3. Management of industrial health, hygiene and safety
4. Management of ecology and forestry

3 Explain Quality Function Deployment (QFD) process and describe why it is also
called House of Quality.
(Meaning of Quality Function Deployment (QFD), QFD Process, Construction of QFD (House of
Quality) 2+4+4=10
Answer.
Quality Function Deployment (QFD)
QFD is a planning process to guide the design, manufacturing and marketing of goods by integrating
the voice of the customer throughout the organization. Through QFD, every design, manufacturing
and control decision is made to meet the expressed needs of customers. It uses a type of matrix
diagram to present data and information.

QFD Process
QFD is basically a set of matrices used to relate the voice of customer to products technical
requirements, component requirements, process control plans and manufacturing operations. The
initial matrix, called, the customer requirements planning matrix is shown in the figure below. This
matrix provides the basis for the QFD concept. The shape of the matrix is similar to a house. Hence,
QFD is also called House of Quality.

Customer requirements planning matrix House of Quality

Construction of QFD (House of Quality) involves 6 basic steps
a) Identify customer requirements
b) Identify technical requirements
c) Relate the customer requirements to the technical requirements
d) Conduct an evaluation of competing products or services
e) Evaluate technical requirements and develop targets
f) Determine which technical requirements to deploy in the subsequent processes.

The House of Quality as developed and discussed so far is the first step. The voice of the customer,
represented by the prioritized technical requirements need to be carried throughout the production /
delivery process. The technical requirements from the first house (QFD) are related to detailed
requirements of subsystems and components. At this stage, target values identifying the best
possible values for fit, function and appearance are determined. At the next stage, process plan
relates the component characteristics to the key process operations. The key process operations are
further analyzed to identify control points there by develop the Quality control plans. The control
plan identifies the critical characteristics that need to be controlled by means of monitoring,
measurement and evaluation on continuous basis to ensure that process continues to meet the
important customer requirements identified in the first house.
Thus, QFD process provides a link from the voice of the customer through design and production
activities, daily management and control. In a way, it provides the basis for deploying more advanced

methodologies like DOE (Design of Experiments) and other statistical process controls. Even though
many practitioners have opined that third and fourth houses provide huge benefits that the first two,
since they are actionable on the shop floors, in practice, many companies have concentrated mostly
on the first two houses.

The 4 Houses of Quality

4 a. Explain Quality Assurance.

b.The quality audit is a management tool used to evaluate, confirm or verify activities
related to quality. A properly conducted quality audit is a positive and constructive
process Discuss.
(Explanation of Quality Assurance, Explanation of the statement) 4+6=10
Answer: a)
Quality Assurance:
Quality Assurance refers to planned and systematic production processes that provide confidence in
a product's suitability for its intended purpose. It is a set of activities intended to ensure that
products (goods and/or services) satisfy customer requirements in a systematic, reliable fashion.
Quality assurance covers all activities from design, development, production, installation, servicing
and other associated activities. This introduces the rule Right first time. PDCA (Plan-Do-Check-

Act) approach is the most widely used concept in Quality Assurance. Quality Assurance is about
improving and stabilizing the production and associated processes to eliminate or limit the defects
from occurring, while the Quality Control is about inspection and testing and preventing the defects
from getting delivered to the customers. However, QA does not necessarily eliminate the
requirement for Quality control in terms of inspection and testing. An enterprise cannot produce all
its input materials, and hence, has to depend on its vendor. An enterprise can make firm
commitments to its suppliers with respect to quantity, quality and time of delivery, on the strength of
the confidence it has in its vendors to keep up the commitment of their suppliers in respect of
quality, quality and time of delivery. This role will rise in its importance and intensity especially
when delivery of products and services earlier and faster than the competitors is a crucial factor in
the economic survival of an enterprise.
b)
The quality audit is a management tool used to evaluate, confirm or verify activities related to
quality. A properly conducted quality audit is a positive and constructive process. It helps to prevent
problems
A quality audit is necessary in order to
Provide objective evaluation of compliance with the established procedures;
Determine the adequacy of the exiting quality systems and procedures in
Verify implementation of corrective action measures;
Assess the progress on different tasks related to quality programme in the enterprise.
ISO 8402 (1986) defines quality audit. It is referred to as a systematic and independent examination
to determine whether quality activities and related results company with planned arrangements and
whether these are implemented effectively and are suitable to achieve objectives.
Following are the three dimensions of quality audit:
a) Are the quality systems and procedures by themselves free from congenital that go counter to the
concepts of quality?
b) Are the existing quality systems and procedures capable of achieving and maintaining the
standards of quality chosen by the enterprise for a product or class of products? This need arises
quite often and they are normally imposed by special market requirements: important major
customer or regulatory agencies.
c) Are the systems and procedures being adhered to and complied with, in day-to-day work?

All these aspects of quality audit need to be taken up together. This process naturally covers the
product and the process also, apart from the systems already referred to. Thus for example, quality
audit while evaluating an inspection/test activity is not concerned with the type of decisionacceptance or rejection arrived at but on the soundness of the procedure adopted for inspection/test:
ability of the very inspection/test method to help in reaching the correct decision.

Audit reports are normally written in standard formats. Prior to writing the reports, the audit
team/auditor explains the findings/observations to the concerned functional heads and area
personnel. Whenever a corrective action is being taken on the spot during the course of the audit,
they are also recorded.

5 a. Discuss the role of Enterprise Decision Making.

b. Discuss the factors that enable service organizations to improve quality of
performance.
(Role of Enterprise Decision Making, Factors that enable service organizations to improve quality of
performance) 5+5=10
Answer: a)
Every Enterprise deal with their own solution space or the solution space inherited from client and
market research or the combination of both, to get the reliable and robust , optimal and requirement
specific solution. But, these solution space itself create conflict some spare. Some time, it leads to the
different way of solution, sometimes; it leads to believe different axioms for the same fact. Even some
times, it happens that mentioned rule not seems to be valid for certain perspectives.
In this case, to get the optimal solution path with low risk, high assurance and good opportunities;
people needs the optimal and clear knowledge of Decision Making. When this process of Decision
Making happens inside the organization, its then not being so easy to take a hand hold decision.
Several perspectives from solution, space and environment, as well as from problem space needs to
be considered, and some time needs to be ignored.
The aspects are may be clients/market need, minimal requirement, clients environment and
believes, people inside the organization and outside the organization, organization policies, work

culture, resources and obviously time management and a lots. From these scenarios the Enterprise
Decision Making Approach can be defined as:
Enterprise Decision Making can be regarded as an outcome of mental processes (cognitive process)
leading to the selection of a course of action among several alternatives Considering organization,
Market and People perspectives. Every decision making process produces a final choice the output
can be an action or an opinion.

b)
Improving Quality in Service Sector
Five vital factors enable service organisations to improve quality of performance:
1. Assess the effectiveness and impact of operating practices
Organisations must first understand employees' perceptions at various levels on the need for
improving service quality. Their support and confidence in the company's efforts for improvement
should be analyzed. This helps to identify steps to be taken by the organization to move forward in its
improvement initiatives. The feedback is an invaluable source of information on the general
expectations and impetus for changes.
2. Teamwork and management support crucial for long-term results
Management support is vital for any quality initiative. But what is not always evident is the necessity
of its continued involvement and support to sustain the efforts. Top management should ensure that
continuous improvement and cooperation are ongoing priorities for all employees. Roles and duties
of managers must be clearly specified with continuous improvement as a vital target. Managers in
the service industry should play a crucial role in critical practices like defining and refining quality
standards, developing and implementing feedback mechanisms, involvement in corrective action
teams and coaching. They must be selected, trained, promoted, appraised and rewarded based on
their ability to foster continuous improvement. Without such a focus, the enthusiasm and support to
improve quality will diminish with time.
3. People drive service quality
Employees are the key ingredients in any long-term quality improvement initiative and they respond
positively when given appropriate support and leadership. Long-term improvements in service
quality can be achieved by systematically addressing the 'human side of quality'. Employees must be
trained to achieve optimal performance, develop effective conflict resolution skills, communication
skills and teamwork. Employee feedback on issues that impact both continuous improvement and

the workplace should be taken. The human element has to be given prime importance to avoid
negative consequences.
4. Quality efforts should continuously improve
Service quality will be enhanced when an organization evolves and matures along with the dynamics
of changing needs. Systematic approaches to long-term quality improvements should be scrutinized
periodically. Corrective action procedures must be modified and streamlined, feedback mechanisms
continually evaluated and improved and quality standards evolved. Without these adjustments,
service quality will stagnate leading to negative consequences.
5. There is no substitute to leadership in service quality
Some vital questions to be addressed by managers of service organisations include:
1. Do I practice continuous improvement on an ongoing basis?
2. Do I encourage my employees to practice the same?
3. Am I providing leadership in addressing persistent quality problems?
4. Am I providing leadership to improve existing quality improvement processes?
5. Are the corrective action procedures and follow-ups being done efficiently?
Answers to these questions are critical and represent an organizations leadership commitment to
long-term continuous improvements.

6 Quality is the buzzword and is dominating business processes and services like
never before. Justify.
(Justify the statement) 10
Answer.
Outsourcing to India is now more about high quality rather than cost. Indian companies are fast
scaling up to match or surpass international quality standards and are ensuring that they stay ahead
through stable quality systems and continuous quality improvement. The Indian BPO industry,
which previously relied on its cost effectiveness to attract customers, now has entirely different
focus- quality standards and is ensuring that they stay ahead through stable quality systems and
continuous quality improvement.
The Indian BPO industry, which previously relied on its cost effectiveness to attract customers, now
has an entirely different focus- quality. Quality is the new buzzword and is dominating business
processes and services like never before. Ninety percent of ITES-BPO companies now have
specialized quality departments that are responsible for ensuring accurate and reliable services to

their customers. Indian Centers are now focused on ensuring standards of quality that are at par
with, if not superior to, their counterparts abroad.
Continuous improvement in quality performance is not possible without having robust transaction
monitoring process. This webinar focuses on important components of transaction monitoring
process. Commonly used techniques in transaction monitoring, sample size for monitoring,
calibration of monitors, design of transaction monitoring checklist, types of errors fatal errors, non
fatal errors. The webinar highlights the analysis of monitoring results and their alignment with end
user satisfaction & dissatisfaction scores and uses statistical tools like correlation, regression
analysis, and pare to analysis.
Benefits
The webinar will help the participants:

Understand all components required for designing robust transaction monitoring process.

Understand how TM analysis can be used for driving overall end user satisfaction &
dissatisfaction.

Understand sampling techniques & data analysis using statistical tools.

Webinar Outline
The webinar will cover the following areas:

Calibration of monitors

Sample size calculation

Process level & Agent level analysis

Different types of accuracy calculations

Best practices in Transaction Monitoring

Audience

This webinar will be useful for:

Operation Heads/Managers/Team Leaders

Quality Heads/ Managers

Quality Team /Internal auditors

Individuals who may be conducting transaction monitoring

Organizations planning for COPC ver 4.3 Certification

Vendor Managers