Md Rakib Hasan(Dept:AME)

What is TQM ?

• Total – Everyone is involved in.

• Quality – Continuously improving service to customer.
• Management – With data & profound knowledge.
So , TQM is a management philosophy that seeks to integrate all organizational functions to focus on meeting customer
needs and organizational objectives.

Importance of Total Quality Management

• Quality management ensures superior quality products and services.

• Quality management is essential for customer satisfaction which eventually leads to customer loyalty.
• Quality Management ensures increased revenues and higher productivity for the organization.
• Quality management helps organizations to reduce waste and inventory
Basic Tenets of TQM
1. The customer makes the ultimate determination of quality.
2. Top management must provide leadership and support for all quality initiatives.
3. ‘Preventing variability’ is the key to producing high quality.
4. Quality goals are a moving target, thereby requiring a commitment toward continuous improvement.
5. Improving quality requires the establishment of effective metrics. We must speak with data and facts not just
opinions.
Elements of Total Quality Management
• The success of total quality management depends on following eight elements which are further classified into
following four groups.
1. Foundation

2. Building Bricks

3. Binding Mortar

4. Roof

• Foundation: Integrity, Ethics, Trust

• Building Bricks: Leadership, Team-work, Training

• Binding Mortar: Communication

• Roof: Recognition (Motivation)

Principles of TQM

✓ Management Commitment:
o Plan (drive, direct) • Do (deploy, support, participate) • Check (review) • Act (recognize, communicate,
revise)
✓ Employee Empowerment:
o Training • Suggestion scheme • Measurement and recognition • Excellence team.
✓ Fact Based Decision Making:
o SPC (statistical process control) • DOE, FMEA • The 7 statistical tools • TOPS (Ford 8D – team-oriented
problem solving)
✓ Continuous Improvement:
o Systematic measurement. • Excellence teams • Cross-functional process management • Attain, maintain,
improve standards
✓ Customer Focus:
o Supplier partnership • Service relationship with internal customers • Never compromise quality •
Customer driven standards.

Quality Management Tool

•Check List •Pareto Chart •The Cause and Effect Diagram •Histogram •Scatter Diagram •Graphs •Control Chart

Quality Management Tools

• Check List - Check lists are useful in collecting data and information easily .Check list also helps employees to identify
problems which prevent an organization to deliver quality products which would meet and exceed customer expectations.
Check lists are nothing but a long list of identified problems which need to be addressed. Once you find a solution to a
particular problem, tick it immediately. Employees refer to check list to understand whether the changes incorporated in
the system have brought permanent improvement in the organization or not?

• Pareto Chart - The credit for Pareto Chart goes to Italian Economist - Wilfredo Pareto. Pareto Chart helps employees to
identify the problems, prioritize them and also determine their frequency in the system. Pareto Chart often represented
by both bars and a line graph identifies the most common causes of problems and the most frequently occurring defects.
Pareto Chart records the reasons which lead to maximum customer complaints and eventually enables employees to
formulate relevant strategies to rectify the most common defects.

• The Cause and Effect Diagram - Also referred to as “Fishbone Chart” (because of its shape which resembles the side
view of a fish skeleton)and Ishikawa diagrams after its creator Kaoru Ishikawa, Cause and Effect Diagram records causes
of a particular and specific problem .The cause and effect diagram plays a crucial role in identifying the root cause of a
particular problem and also potential factors which give rise to a common problem at the workplace.
• Histogram - Histogram, introduced by Karl Pearson is nothing but a graphical representation showing intensity of a
particular problem. Histogram helps identify the cause of problems in the system by the shape as well as width of the
distribution.
• Scatter Diagram - Scatter Diagram is a quality management tool which helps to analyze relationship between two
variables. In a scatter chart, data is represented as points, where each point denotes a value on the horizontal axis and
vertical axis.
• Scatter Diagram shows many points which show a relation between two variables.
•Graphs - Graphs are the simplest and most commonly used quality management tools. Graphs help to identify whether
processes and systems are as per the expected level or not and if not also record the level of deviation from the standard
specifications.
Total Quality Management Models
•Deming Application Prize.
•Malcolm Baldrige Criteria for Performance Excellence.
•European Foundation for Quality Management.
•ISO quality management standards.
Continuous Improvement
Continuous Improvement is an ongoing effort to improve products, services or processes. These efforts can seek
“incremental” improvement over time.

– Continually seeking ways to improve operations,

– Not unique to quality
– also applies to other process improvements,
– Never-ending process of achieving small wins.
Continuous or Continual Improvement ?

The terms continuous improvement and continual improvement are frequently used interchangeably. But some quality
practitioners make the following distinction:

• Continual improvement: a broader term preferred by W. Edwards Deming to refer to general processes of improvement
and encompassing “discontinuous” improvements—that is, many different approaches, covering different areas.
• Continuous improvement: a subset of continual improvement, with a more specific focus on linear, incremental
improvement within an existing process. Some practitioners also associate continuous improvement more closely with
techniques of statistical process control.
Steps to Undertaking Continual Improvement

1. Establish a need to improve.

2. Obtain commitment and define the improvement objective.
3. Organize the diagnostic resources.
4. Determine current performance.
5. Carry out research and analysis to discover the cause of current performance.
6. Define and test solutions that will accomplish the improvement objective.
7. Produce improvement plans which specify how and by whom the changes will be implemented.
8. Identify and overcome any resistance to the change.
9. Implement the change.
10. Put in place controls to hold new levels of performance, and repeat the above processes.
Areas for Continuous Improvement

●Machinery ●Materials ●Labor utilization ●Production methods

What is Benchmarking???
•A method for identifying and importing best practices in order to improve performance. •The process of learning,
adapting, and measuring outstanding practices and processes from any organization to improve performance.
Types of benchmarking
▪ Benchmarking can be internal (comparing performance between different groups or teams within an organization) or
external (comparing performance with companies in a specific industry or across industries).
▪ Within these broader categories, there are three specific types of benchmarking:
1) Process benchmarking,
2) Performance benchmarking and
3) Strategic benchmarking.
These can be further detailed as follows:

Process benchmarking - the initiating firm focuses its observation and investigation of business processes with a goal of
identifying and observing the best practices from one or more benchmark firms.
Financial benchmarking - performing a financial analysis and comparing the results in an effort to assess your overall
competitiveness and productivity.
Performance benchmarking - allows the initiator firm to assess their competitive position by comparing products and
services with those of target firms.
Product benchmarking - the process of designing new products or upgrades to current ones.
Strategic benchmarking - involves observing how others compete. This type is usually not industry specific, meaning it is
best to look at other industries.
Functional benchmarking - a company will focus its benchmarking on a single function to improve the operation of that
particular function.
Best-in-class benchmarking - involves studying the leading competitor or the company that best carries out a specific
function.
Energy benchmarking - process of collecting, analyzing and relating energy performance data of comparable activities
with the purpose of evaluating and comparing performance between or within entities.

1. Identify problem areas

• Select the process to be benchmarked
• Benchmarking can be applied to any business process or function and a range of research techniques may be required.
They include informal conversations with customers, employees, or suppliers; exploratory research techniques such as
focus groups; or in-depth marketing research, quantitative research, surveys, questionnaires, re-engineering analysis,
process mapping, quality control variance reports, financial ratio analysis, or simply reviewing cycle times or other
performance indicators.
• Before embarking on comparison with other organizations it is essential to know the organization's function and
processes; base lining performance provides a point against which improvement effort can be measured.
2. Identify other industries that have similar processes
• For instance, if one were interested in improving a particular process or performance, one would identify other fields
that also have same challenges.
3. Identify organizations that are leaders in these areas
• Look for the very best in any industry and in any country. Consult customers, suppliers, financial analysts, trade
associations, and magazines to determine which companies are worthy of study.
4. Survey companies for measures and practices
• Companies target specific business processes using detailed surveys of measures and practices and its used to identify
business process alternatives and leading companies. Surveys are typically masked to protect confidential data by
neutral associations and consultants.
5. Visit the "best practice" companies to identify leading edge practices
• Companies typically agree to mutually exchange information beneficial to all parties in a benchmarking group and
share the results within the group.
6. Implement new and improved business practices
• Take the leading edge practices and develop implementation plans which include identification of specific
opportunities, funding the project and selling the ideas to the organization for the purpose of gaining demonstrated
value from the process.
The Benefits of Benchmarking
Benefits include:
➢ ·Better performance in meeting customer needs & requirements.
➢ ·Establishing effective business goals and objectives.
➢ ·Measuring true productivity.
➢ ·Becoming competitive
➢ ·Identifying & implementing best practice in business processes
What does successful benchmarking require?

In practice, the main requirements for success are:

✔ A strong and active commitment from senior management to lead and implement the benchmarking process
✔ A willingness to change and adapt based on the benchmarking findings.
✔ A realisation that the competition is constantly changing.
✔ An openness to new ideas, creativity and innovativeness in their application to existing processes.
✔ A continuous benchmarking effort.
✔ A willingness to share information with benchmarking partners (e.g. other organisations.

What is Lean?

Lean is a philosophy that seeks to eliminate waste in all aspects of a firm’s production activities: human relations, vendor
relations, technology, and the management of materials and inventory.
Lean manufacturing or lean production, often simply "lean", is a systematic method for the elimination of waste ("Muda")
within a manufacturing system. Lean also takes into account waste created through overburden ("Muri") and waste
created through unevenness in work loads ("Mura").

Objectives of Lean management.

Some commonly mentioned goals are:

• Improve quality: To stay competitive in today's marketplace, a company must understand its customers' wants and
needs and design processes to meet their expectations and requirements.
• Eliminate waste: Waste is any activity that consumes time, resources, or space but does not add any value to the
product or service.
Objectives of Lean management.
• Reduce time: Reducing the time it takes to finish an activity from start to finish is one of the most effective ways to
eliminate waste and lower costs.
• Reduce total costs: To minimize cost, a company must produce only to customer demand. Overproduction increases a
company’s inventory costs because of storage needs.

Principles of Lean Manufacturing

• Elimination of Waste
– Continuous Improvement
•Respect For Humanity
–Levelized Production
»Just In Time Production
•Quality Built-in

Benefits of lean manufacturing

• Improved quality – A lot of the activity in a lean environment is geared towards improving quality. As quality issues
arise, problem solving techniques are used to root cause the problem. From there, mistake proofing is put in place to
strengthen the process and prevent recurrence. As a result, the quality of your product will be improved.
• Improved Visual Management – Another benefit of lean manufacturing is management by sight. If done correctly, your
plant will be set up so you can evaluate an entire area with a visual scan. Any abnormalities will stand out and be easy to
identify as a problem.
• Increased efficiency – Line balancing will ensure each person in the process is working in the most efficient manner.
Standardized work will ensure they are doing it correctly following the same method every time. This leads to repeatability
and increased efficiencies.
• Manpower reductions – One of the major benefits of lean is getting more done with less people. With standardized
work and increased efficiencies, the ability to do the job with less people becomes a very real possibility. This does not
mean you have to send these people to the unemployment line. The concept of lean would have these freed-up people
utilized to perform further kaizen activity, training to enhance skill level, or maintenance of the system once it is
implemented.
• Easier to manage – The work instructions and standardized work let people know what they have to do and when. This
makes managing an area much easier. And problems will still arise. But they will be much easier to deal with in a team
environment where the support groups are eager to help solve problems.
• Total Company Involvement – Lean is meant to involve the whole company. It is not intended to be put into action in
only one area. It is a management philosophy which should include every part of your organization. This helps promote
the concept that everyone in the company is part of the team.
• Problem Elimination – Lean manufacturing forces you to attack an issue and continue to investigate it until it has been
eliminated. Root cause analysis and cross-functional teams are utilized to ensure a problem receives the level of attention
it deserves to correct it.
• Reduced Space – As part of the waste reduction process, space will be created. Reduction of finished and raw inventory
will save space vertically in your racking as well as horizontally across your floor.
• Safer Work Environment – Visual management and 5S will help identify when things are out of place. When unnecessary
elements are removed from the operation, the workplace becomes much more organized. And an organized work
environment is a safe work environment.
• Improved employee morale – This is a benefit that may not be realized during the initial stages of your
implementation (see resistance below). But once the concept of lean starts to get accepted by the employees, you will
see employee morale on the rise. Employee involvement and empowerment will make all members of your company
feel like a contributing part of the team. And the reduction of uncertainty in the workplace, as a result of lean, will
reduce stress in your team members and lead to improved employee morale.
What is 5S???
• Developed by the Japanese, Housekeeping System, helps to Create a Better Working Environment and a Consistently
High Quality Process.
• The 5S‘s are simple but effective methods to organise the workplace.
– Seiri (Organisation/Sort out)
– Seiton (Straighten/ Orderliness)
– Seison (The Cleaning/Shining)
– Seiketsu (Systematise/ Standardize)
– Shitsuke (Sustain)

What is Six Sigma???

Six Sigma is a management philosophy developed by Motorola that emphasizes setting extremely high objectives,
collecting data, and analyzing results to a fine degree as a way to reduce defects in products and services. The Greek letter
sigma is sometimes used to denote variation from a standard. The philosophy behind Six Sigma is that if you measure how
many defects are in a process, you can figure out how to systematically eliminate them and get as close to perfection as
possible. In order for a company to achieve Six Sigma, it cannot produce more than 3.4 defects per million opportunities,
where an opportunity is defined as a chance for nonconformance.
Defects per million chances/opportunities
2 sigma = 308,537
3 sigma = 67,000
4 sigma = 6,200
5 sigma = 233
6 sigma = 3.4

Six sigma Methodologies

• There are two Six Sigma processes: Six Sigma DMAIC and Six Sigma DMADV, each term derived from the major steps in
the process.

✓ Six Sigma DMAIC is a process that defines, measures, analyzes, improves, and controls existing processes that
fall below the Six Sigma specification.
✓ Six Sigma DMADV defines, measures, analyzes, designs, and verifies new processes or products that are trying to
achieve Six Sigma quality.
What is DMAIC?
• Define, • Measure, • Analyze, • Improve & • Control

Define
• Define the Customer, their Critical to Quality (CTQ) issues, and the Core Business Process involved.
• Define who customers are, what their requirements are for products and services, and what their expectations
are,
• Define project boundaries (scope) - the stop and start of the process ,
• Define the process to be improved by mapping the process flow.
Measure
• Measure the performance of the Core Business Process involved.
• Develop a data collection plan for the process ,
• Collect data from many sources to determine types of defects and metrics,
• Compare to customer survey results to determine shortfall.
Analyze
• Analyze the data collected and process map to determine root causes of defects and opportunities for
improvement.
• Identify gaps between current performance and goal performance ,
• Prioritize opportunities to improve ,
• Identify sources of variation.
Improve
• Improve the target process by designing creative solutions to fix and prevent problems.
• Create innovate solutions using technology and discipline,
• Develop and deploy implementation plan.
Control
• This is the last step in the DMAIC methodology.
• Control ensures that any variances stand out and are corrected before they can influence a process negatively
causing defects.
• Control the improvements to keep the process on the new course.
• Prevent reverting back to the "old way“.

What is DMADV?
• Acronym for:
✓ Define the project
✓ Measure the opportunity
✓ Analyze the process options
✓ Design the process
✓ Verify the performance
What is DMADV?
• The DMADV project methodology, known as DFSS ("Design For Six Sigma”)
– Define design goals that are consistent with customer demands and the enterprise strategy.
– Measure and identify CTQs (characteristics that are Critical To Quality), measure product capabilities, production
process capability, and measure risks.
– Analyze to develop and design alternatives
– Design an improved alternative, best suited per analysis in the previous step
– Verify the design, set up pilot runs, implement the production process and hand it over to the process owner(s).

When should six sigma be used?

Its usage depends on the type of business. In general,
“If there are processes that generate a lot of negative customer feedback, whether that customer is internal or
external, the components of six sigma should be considered as a means to study and rectify the problem.”

Benefits of six sigma

• Generates sustained success,

• Sets performance goal for everyone,
• Enhances value for customers,
• Accelerates rate of improvement,
• Promotes learning across boundaries,
• Executes strategic change.