UNIT I TQM- HISTORY AND

EVOLUTION
1

Deepthi. K

What is Quality ?
2

Quality is the ability of a

product to consistently meet
or exceed customer
expectations
Deepthi. K

Most common definitions of Quality

3
Meeting Customer requirements whether stated or implied.

Through the totality of a Product or Service.

By conforming to a specified standard.

At a given time over a period of time.

At a price the customer can afford and is willing to pay.

Deepthi. K

Dimensions Of Quality
Performance
Aesthetics
Serviceability
Features
Reliability
Durability
Quality of
conformance
Fitness for use

How
How consistently
consistently
and
well
aa product
and
well
product
The
appearance
of
The appearance
of
functions
functions
tangible
products
tangible
products
Measures
the
Measures
the ease
ease of
of
(style,
beauty)
Characteristics
of
(style,
beauty)and/or
Characteristics
of aa
maintaining
maintaining
and/or
The
probability
that
the
product
that
differentiate
The
probability
that
the
product
that
differentiate
repairing
the
product
repairing
the product
product
or
service
will
functionally
similar
product or service
will
functionally
similar
perform
its
products
perform
its intended
intended
products
The
length
of
aa
The
length for
of time
time
function
aa specified
function
for
specified
A
measure
of
how
aa
A
measure
of
how
product
functions
product
functions
length
of
time
length
of
time
product
meets
product meets its
its
The
suitability
of
The
suitability
specification
specification of
the
the product
product for
for
carrying
carrying out
out its
its
advertised
advertised function
function Deepthi.K

Cost of Quality
5

COST OF
QUALITY

Deepthi. K

Cost of Quality
6
Cost of Conformance

PREVENTION COST
The cost of any action taken
to investigate, prevent or
reduce the risk of a nonconformity.

APPRAISAL COST
The costs associated with
measuring, checking, or
evaluating products or
services to assure
conformance to quality
requirements.

Cost of Non-Conformance
(Cost of Poor Quality)
INTERNAL FAILURE
COST
Cost incurred when products
and services do not conform
to specifications.

EXTERNAL FAILURE
COST
The costs arising after
delivery of product or service
to the customer due to nonconformities or defects.

Deepthi. K

Examples
7
PREVENTION COST
- Training cost
- Quality planning cost
- Quality system design cost
- Quality improvement
projects

APPRAISAL COST
- Inspection & test cost
- Laboratory expenses
- product/process audits,etc.

INTERNAL FAILURE
COST
- Rejection cost
- Rework/Repair cost
- Re-testing costs,
etc.

EXTERNAL FAILURE
COST
-

Warrantee Expenses
Claims
Returns/Replacements
Complaints handling, etc.

Deepthi. K

Cost of Defects
8

Rework
Scrap
Warranty Cost
Inspection Cost

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Garvins 8 Quality Dimensions

9

1.Product
performance
2.Features
3.Reliability
4.Conformity
5.Durability
6.Serviceability
7.Aesthetics
8.Perceived quality
Deepthi. K

Dimensions of Quality - Product

10

1. Performance
Basic operating characteristics
2. Features
Extra items added to basic features
3. Reliability
Probability product will operate over
time
4. Conformance
Meeting pre-established standards
5. Durability
Life span before replacement

Deepthi. K

Dimensions of Quality - Product

11

Deepthi. K

Service Quality
12

Convenience
Reliability
Responsiveness
Time
Assurance
Courtesy
Tangibles

Deepthi. K

Examples of Service Quality

13

Dimension

Examples

1. Convenience

Was the service center conveniently located?

2. Reliability

Was the problem fixed?

3. Responsiveness

Were customer service personnel willing and

able to answer questions?

4. Time

How long did the customer wait?

5. Assurance

Did the customer service personnel seem

knowledgeable about the repair?

6. Courtesy

Were customer service personnel and the

cashier friendly and courteous?

7. Tangibles

Were the facilities clean, personnel neat?

Timeline showing the differences between Old & New

concepts of quality
14

Deepthi. K

Evolution of TQM
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1. Between World War I & II

Walter A Shewhart

He developed a statistical
methods
applied
to
manufacturing.

The beginning of statistical

quality control.

2. Post 1940s to 1950s

W. Ewards Deming &

Joseph M Juran
Increased emphasis on process
improment.
A variation in the production process
leads to variation in end product

3. 1960s

Deming, Juran & Feigenbaum

Total Quality Control emerged in
USA.

Deepthi. K

Evolution of TQM
16
4. 1960s to 1970s

Deming, Ishikawa & Taguchi

Japanese emerged as world
quality leaders.

5. 1960s to 1970s

Cross By
He started the Zero defect
movement in USA.
He wrote a book called Quality is
Free

6. 1980s to 1990s

Deming, Ishikawa,Taguchi &

Cross By
TQM emerged in developed
nations

7. 1990s onwards

Indian firms are slowly adapting

the TQM philosophy..

Deepthi. K

TQM
17

Total
Quality

- made up of the whole

- 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.
excellence
T

A philosophy that involves everyone in an

organization in a continual effort to improve quality
and achieve customer satisfaction
Deepthi. K

Quality Gurus
18

Three groups of gurus

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Walter A. Shewhart
19

Grandfather of quality control

Contributed to understand the
process of variability
Developed concept of statistical
control charts

Deepthi.
Deepthi.
KK

Deming
20
Father of quality control
Stressed managements responsibility for quality,
developed 14 points to guide companies in quality
improvement
The Demings Philosophy
1.The theory of variations
2.The theory of Knowledge and
3.The theory of psychology
Deming's Seven Deadly Diseases
W.Edwards Deming is best known for his
management
philosophy
establishing
quality,
productivity, and competitive position.
15% of quality problems are actually due to worker
error 85% of quality problems are caused by systems
and errors

Deepthi. K

Deming Wheel
21

PLAN : What is needed

Do

: It

Check : That it works

Act

: To correct any
problem or
improve
performance.

Deepthi. K

Juran
22
Joseph Juran recognized the common approach to total quality management.
Developed concept of cost of quality
Originated idea of quality trilogy

Quality planning
Quality control
Quality improvement

And believes quality must start at the top

The key steps in implementing company-wide strategic goals are: Identify
customers and their needs both internal and external and work to meet
those needs
Create measures of quality, establish
optimal quality goals and organize to meet them
Create processes capable of meeting quality goals in real operating
conditions Defined quality as fitness for use

Deepthi. K

Feigenbaum
23
Is an American quality control expert and businessman. He contributed the
concept of Total Quality Control in his book of the same name, later known as
Total Quality Management (TQM).

Feigenbaum defined total Quality control as an effective system for

integrating the quality development, quality maintenance, and quality
improvement efforts of the various groups in an organization so as to enable
production and service at the most economical levels which allow full
customer satisfaction

Feigenbaum is also know for his concept of the "hidden" plant the idea that
so much extra work is performed in correcting mistakes that there is effectively
a hidden plant within any factory
Feigenbaum believes that there are three elements to quality:
Modern Quality Technology
Organizational Commitment
Quality Leadership

Deepthi. K

Kaoru Ishikawa
24

Developed

cause-and-effect diagrams
Identified concept of internal customer
Introduced the concept of quality circles

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Taguchi
25

Focused on product design quality

Developed Taguchi loss function
Costs of quality increase as a quadratic function as
conformance values move away from target.
Robust Design
A design that results in a product that can perform over a
wide range of conditions

Deepthi. K

CrosBy
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Mr. Crosby defined quality as a conformity to certain specifications set
forth by management and not some vague concept of "goodness." These
specifications are not arbitrary either; they must be set according to
customer needs and wants.
He Developed the phrase Do it right the first time

Crosbys four absolutes are :

1.The definition of quality is conformance to requirements
2.The system of quality is prevention
3. The performance standard is zero defect
4. The measurement of quality is the price of
Nonconformance .

Deepthi. K

Shegio Shingo
27

Deepthi. K

CUSTOMER & COSTOMER SATISFACTION

28

A customer is defined as one who

purchases a product or service

Customer Satisfaction, is a measure

of how products and services
surpasses customer expectation
Deepthi. K

Determinants of Customer Satisfaction

29

Dead on Arrival (DoA): is the percentage of product delivered

that dont work at their arrival time at customers site.

Complaint Handling: is about finding the sources of

dissatisfaction and conducting root cause analysis. The two
main significant components of total customer service.

Infant Morality and Mean Time Between Failure(MTBF):

Infant Morality- refers to the failure of a product within a short

period of time or immediately after its installation and first usage.
Mean Time Between Failure(MTBF)- Refers to the mean time
between the failures of a repairable product.

Deepthi. K

BATH TUB CURVE FOR FAILURE PATTERN

30

The first part is a decreasing failure rate , known as

early failures.
The second part is a constant failure rate, known as
random failures.
The third part is an increasing failure rate, known as
wear-out failures.

Deepthi. K

CUSTOMER SATISFACTION MODEL

31
There are two models to measure customer satisfaction.
Kanos Model
Teboul Model
Kanos Model

Deepthi. K

Teboul Model
32

Company
offer

Total
Satisfaction

Customer
needs

Deepthi. K

33

ISO 9000 is composed of 5 different, but

related parts:
ISO 9000, 9001, 9002, 9003 and 9004
ISO 9000 and 9004 are guidelines, while
ISO 9001, 9002, and 9003
are the
categories in which a company may apply for
certification

Deepthi. K

STANDARD

CONTENT

APPLICATION

ISO 9000

Provides definition and concepts.

Explains how to select other
standards for a given business

All industries including software

development

ISO 9001

Quality assurance in design,

development, production,
installation and servicing

Engineering and construction firms,

manufacturers that design, develop,
install and service products

ISO 9002

Quality assurance in production and

installation

Companies in the chemical process

industries that are not involved in
product design or after sales service

ISO 9003

Quality assurance in test and

inspection

Small shops, divisions within a firm,

equipment distributors that inspect
and test supplied products

ISO 9004

Quality management and quality

system elements

All industries

Quality Awards
35

Malcolm Baldrige National Quality

Award ( MBNQA).
European Foundation For Quality
Management (EFQM).

Deepthi. K

Malcolm Baldrige National Quality Award

( MBNQA)
36

Deepthi. K

Malcolm Baldrige National Quality Award

( MBNQA)
37

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Deepthi. K

European Foundation For Quality Management

39

Deepthi. K

Deepthi. K