Chapter 1

Introduction To Quality
What is Quality?
 Quality is a subjective term for every
individual
 According to technical usage, quality can
be defined based on two definitions:
3. The characteristics of a product or
service that are able to satisfy stated or
implied needs of people
4. A product or service that is free from any
deficiencies
 W. Edward Deming
 William Edwards Deming, 1900-1993)
was an American statistician, college
professor, author, lecturer, and
consultant.
 Deming is widely credited with improving
production in the United States during
World War II
 “Quality can be defined only in term of
the agent. In other words, it depends on
who judges the quality
Total Quality Management
 an approach to maximize the competitiveness of
an organization through the continual
improvement of its products, services, people,
process and environment.
 According to the U.S. Department of Defense,
Total Quality Management (TQM) refers to
continuous improvement activities involving
everyone in the organization.
 TQM integrates fundamental management
techniques, existing improvement efforts and
technical tools under a disciplined approach
focused on continued process improvement.
Total Quality Management
A. Total
= Everyone, every function, every
activity involved
B. Quality
= Fulfill / meets customer requirements
(internally or externally) with
minimum defects.
C. Management
= Up-Down Approach, led by
management
Why TQM?
 need to compete in the global
marketplace. Business can now transcend
time and space since the world is
becoming borderless.
 Countries that are competing successfully
in the global marketplace are enjoying
increases in their gross national product
(GNP) as well as increases in their quality
of life.
 On the other hand, countries that are not
able to compete in the global marketplace
are seeing their quality of life decline.
Principles of Total Quality
1. Customer and stakeholder focus
2. Participation and teamwork
3. Process focus and continuous
improvement

...supported by an integrated organizational

infrastructure, a set of management
practices, and a set of tools and techniques
1.Customer and Stakeholder Focus

 Customer is principal judge of quality

 Organizations must first understand
customers’ needs and expectations in
order to meet and exceed them
 Organizations must build relationships
with customers
 Customers include employees and society
represent important stakeholders
2. Participation and Teamwork

 Employees must know their jobs and know how to

improve them
 Management must develop the systems and
procedures that foster participation and teamwork
 Empowerment better serves customers, and
creates trust and motivation
 Teamwork and partnerships must exist both
horizontally and vertically
3.Process Focus and Continuous
Improvement

 A process is a sequence of activities that

is intended to achieve some result.

 Process / production system – convert

resources (input ) to product or service
(output)
 Input – material, capital, equipment,
people and energy
Continuous Improvement means:

 Enhancing value through new

products and services
 Reducing errors, defects, waste, and
costs
 Increasing productivity and
effectiveness
 Improving responsiveness and cycle
time performance
Total Quality Pioneers
 Major contributors of the total
quality concept are W. Edwards
Deming, Joseph M. Juran and
Philip B. Crosby
Deming’s Contributions
1. The Deming Cycle
2. Deming’s Fourteen Points
3. Deming’s Seven Deadly Diseases
 Juran’s Contributions
1. Juran’s Three Basic Steps to
Progress
2. Juran’s Ten Steps to Quality
Improvement
3. The Pareto Principle
 This principle was named after Italian economist
Vilfredo Pareto who observed that 80% of income in
Italy went to 20% of the population

 It is a common rule of thumb in business; e.g.,

"80% of your sales comes from 20% of your
clients."

 According to this principle, organizations should

focus on eliminating the vital few sources that cause
the majority of problems.

 Further, both Juran and Deming believe that

systems that are controlled by management are the
systems in which the majority of problems occur.

 The principle is sometimes called the 80/20 rule:

80% of the trouble comes from 20% of the
problems.
4. The Juran Trilogy
 The Juran Trilogy summarizes the three primary
managerial functions. The functions are Quality
Planning, Quality Control and Quality
Improvement.
 Quality Planning. Quality Planning involves
developing the products, systems, and processes
needed to meet or exceed customer expectations.
The following steps are required:
 1. Determine who the customers are.
2. Identify the needs of the customers.
3. Develop products with features that respond to
customer needs.
4. Develop systems and processes that allow the
organization to produce these features.
5. Deploy the plans to operational levels.
 Quality Control. The control of quality involves the
following processes:
 1. Assessing actual quality performance
2. Comparing performance with goals
3. Acting on differences between performance and
goals
 Quality Improvement. The improvement of
quality should be on going and continual:
 1. Develop the infrastructure necessary to make
annual quality improvements.
2. Identify specific areas in need of improvement
and implement improvement projects.
3. Establish a project team with responsibility for
completing each improvement project.
4. Provide teams with what they need to be able to
diagnose problems to determine root causes,
develop solutions, and establish controls that will
maintain gains made.
Crosby’s Contributions:
1. Crosby’s Quality Vaccine
2. Crosby’s Fourteen Steps to Quality
Improvement
Why Total Quality Sometimes Fail?

1. Senior management delegation

and poor leadership
2. Team mania
3. Deployment process
4. Taking a narrow, dogmatic
approach
5. Confusion about difference
among education, awareness,
inspiration and skill-building