By Hukma Ram Kherwa Food and Agri Business School, Hyderabad Mobile No. +91-9912202562 Email: - hkherwa@gmail.

com

The concept of TQM and six sigma

TQM

Older concept

Six New concept Sigma

What is TQM?
Total quality management or TQM is an integrative

philosophy of management for continuously improving the quality of products and processes. TQM functions on the premise that the quality of products and processes is the responsibility of everyone who is involved with the creation or consumption of the products or services offered by an organization.

Cont
Total: - made up of the whole
Quality: - degree of excellence a product or service

provides Management: - act, art or manner of planning, controlling, directing, Therefore, TQM is the art of managing the whole to achieve excellence. In other words we can say do the right things right the first time, every time.

The TQM system

Objective Principles Elements
Continuous improvement

Customer focus Process improvement Total involvement

Leadership, Education & training, Communications, Measurement, Supportive structure, Rewards and recognition

Productivity and TQM

Traditional view
Quality can not be improved without significant losses in productivity Improved quality leads to improved productivity

TQM view

Difference between TQM & Six sigma

The main difference between Total quality

management and Six Sigma (a newer concept) is the approach. At its core, Total Quality Management (TQM) is a management approach to long-term success through customer satisfaction. In a TQM effort, all members of an organization participate in improving processes, products, services and the culture in which they work.

TQM Flow chart

Guidelines for TQM

Total quality management transcends the product quality approach, involves everyone in the organization, and encompasses its every function: administration, communications, distribution, manufacturing, marketing, planning, training, etc. There are many guidelines of total quality management around to create the TQM diagrams. Though the different organization has the different total quality management criterion, in general guideline of total quality management should contain the following items. TQM is a customer focused approach It is company wide strategy and involves everyone in the organization Aims at satisfying the customer or delighting them Provides best quality product and satisfy them in a cost effective manner Fundamental changes in basic beliefs and practices Prevention of defects is the way and the target is zero defects Total quality management is methodical Provides meaningful measures of performance that guide the self-improvement efforts of everyone involved

5 Principle of TQM
Produce quality work the first time
Focus on the customer Have a strategic approach to improvement

Improve continuously
Encourage mutual respect and team work

TQM History
QM was started in 1987 and has recently

been reorganized into CCI (an acronym for Commitment to Continuous Improvement). The initiatives for their TQM process were obtained from their customers by using a simple questionnaire
Motorola Motorola has a successfully working TQM pr

ocess. Motorolas fundamental objective is Total Customer Satisfaction. They have won the Baldrige award and are corporate leaders in TQM.

Tools of TQM
Statistical quality control: - The technique follows

sampling of activities in the process and sampling of final products. This process ensures maintaining standard of quality on the basis accepting sampling procedure. Right first time: - Quality conscious at start Bench marking: - Measuring and comparing an organizational business process and practices against those of the best organization. Out sourcing: - It is process of contracting out some function of an organization to out-side firms who can it cheaper and better.

Cont
ISO 9000 (International organization for standard): -

Which sets out the criteria for world quality management system. It covers products testing, employee training, record keeping, suppliers relation, repair policies and procedures. Timing: Speed: - To survive and win. They can gain competitive advantage by being better, smarter, and faster than their competitors at doing valuable things for their customers.

Objectives of the TQM

To enhanced quality of and productivity
Promotes efficiency Encourage team work

Increase employee moral & motivation

Improve open communication & human relation

empowering the employee.

Problem solving process in quality control

Problem identification
Problem prioritizations Problem analysis

Solution recommendation
Decision by management Implementation of decision making

What is six sigma?

Six Sigma is a business management strategy,

originally developed by Motorola in 1986. Six Sigma seeks to improve the quality of process outputs by identifying and removing the causes of defects (errors) and minimizing variability in manufacturing and business processes. A six sigma process is one in which 99.99966% of the products manufactured are statistically expected to be free of defects (3.4 defects per million).

Why Six Sigma?

Six Sigma impacts BOTTOM LINE (Profits) :
Six Sigma has generated bottom-line results for all types of organizations in hundreds of cases! Six Sigma drives STRATEGY execution: Are you confident that the activities in your organization are properly

prioritized and powerfully aligned with strategy? In today's demanding business environment, organizations need reliable management systems capable of aligning strategy and delivering breakthrough results. Six Sigma generates robust, FLEXIBLE business process:
Can you see how much opportunity for success is latent in every process in your business? Everyone knows that building competitive advantage requires consistently meeting and exceeding customer requirements for products, services, and prices.

Cont
Six Sigma Improves HUMAN PERFORMANCE across entire organization:
Do you know how to get every individual in your organization focused on a common goal? Now that's a challenge in an organization of any size! Six Sigma provides companies with a common vehicle and language to frame business goals, focus organizational energy, and drive results. Its implementation

involves building human capability with common approaches and tools to address business process issues. Six Sigma is highly SCALABLE: Wondering how many Black Belts and Green Belts you need to be a "Six Sigma company?" Better to focus on the business improvements you need most, and determine how many projects you can manage effectively. A focused set of projects is the key to achieving improved business results! Six Sigma is a low risk INVESTMENT: Think Six Sigma is too expensive or risky for your organization? Not when the training provided for building organizational capability is directly linked to real-time improvement projects!

5Cs driving market share

Methods
DMAIC is used for projects aimed at improving an

existing business process. DMADV is used for projects aimed at creating new product or process designs. DMAIC stand for Define, Measure, Analyze, Improve and Control. DMADV stands for Define, Measure, Analyze, Design detail and Verify the design.

DMAIC Method
Define the problem, the voice of the customer, and the

project goals, specifically. Measure key aspects of the current process and collect relevant data. Analyze the data to investigate and verify cause-andeffect relationships. Improve or optimize the current process based upon data analysis. Control the future state process to ensure that any deviations from target are corrected before they result in defects

DMADV Method
Define design goals that are consistent with customer

demands and the enterprise strategy. Measure and identify CTQs (characteristics that are Critical To Quality), product capabilities, production process capability, and risks. Analyze to develop and design alternatives, create a highlevel design and evaluate design capability to select the best design. Design details, optimize the design, and plan for design verification. This phase may require simulations. Verify the design, set up pilot runs, implement the production process and hand it over to the process owner(s).

What is the aim of six sigma?

Six sigma prime motive is to make the company excel

in the products and services. The concepts lies on the customer satisfaction. It aims towards the best quality as far as products and services are concerned.

About six sigma belts

There are four levels in six sigma training. Yellow belt: - This is the lowest level of six sigma. The person

trained at this level holds the responsibility of smaller process improvement but is not in charge of a team under him. Green belt: - Under this level person gets an opportunity to head and lead project. Black belt: - At this level the person in charge needs to be responsible in six sigma implementation at all levels. He has the many team under him and he guides and train them to achieve the goals successfully. He leads the teams and providing the training to yellow and green belt. Master black belt: - This is the highest level and expert is the mentor of black belts. He is the person who is responsible for implementation of six sigma processes at all levels.