lesson 1 Flashcards
This can be defined in various
ways.
Quality
QUALITY
Does the product or service meet the design specifications?
Conformance to Specifications
QUALITY
Is the product or service suitable for its
intended purpose?
Fitness for use
QUALITY
Is the product or service worth its
price?
Value for Price Paid
QUALITY
Are support services available and
of good quality?
Support Services
QUALITY
Is the product or service
appealing? Does it have reputation or brand value?
Psychological Criteria
What are the Dimension of Quality?
• Performance
• Features
• Reliability
• Durability
• Serviceability
• Aesthetics
• Perceived Quality
DIMENSION OF QUALITY
How well does the product work?
Performance
DIMENSION OF QUALITY
What does the product offer beyond basic
functions?
Features
DIMENSION OF QUALITY
Consistency of product performance over time.
Reliability
DIMENSION OF QUALITY
How long does the product last?
Durability
DIMENSION OF QUALITY
Ease of repair.
Serviceability
DIMENSION OF QUALITY
How the product looks, feels, sounds, etc.
Aesthetics
DIMENSION OF QUALITY
Reputation or how the customer views the brand.
Perceived Quality
What are the Cost of Quality?
• Prevention Cost
• Appraisal Cost
• Internal Failure Cost
• External Failure cost
COST OF QUALITY
Costs associated with preventing defects.
Prevention Cost
COST OF QUALITY
Costs of inspecting and testing to ensure quality.
Appraisal Cost
COST OF QUALITY
Costs of defects found before the product reaches the customer.
Internal Failure Cost
COST OF QUALITY
Costs of defects found after the product reaches the customer.
External Failure Cost
This is a holistic approach to long-term
success that views continuous improvement in
all aspects of an organization as a process and
not as a short-term goal.
TQM or Total Quality Management
PRINCIPLES OF TQM
The primary focus is to meet and exceed customer expectations.
Customer Focus
PRINCIPLES OF TQM
Organizations should constantly work on improving manufacturing and quality procedures.
Continuous Improvement
PRINCIPLES OF TQM
Employees are trained in quality measurement tools and then entrusted to use them for their day-to-day work.
Employee Empowerment
PRINCIPLES OF TQM
Tools like flowcharts, control charts, and Pareto charts help in understanding and measuring quality issues.
Using of Quality Tools
PRINCIPLES OF TQM
Products should be designed to meet customer expectations and needs.
Product Design
PRINCIPLES OF TQM
Ensure processes are efficient and meet the required quality standards.
Process Management
BENEFITS OF TQM
Customers return and recommend the product or service.
Customer Loyalty
BENEFITS OF TQM
Quality often leads to a competitive advantage and thus higher market share and
revenues.
Higher Revenues
BENEFITS OF TQM
Engaged employees who are a part of quality initiatives feel a sense of
ownership.
Improved Employee Morale
BENEFITS OF TQM
Reduction in waste and optimization of resources.
Operational Efficiency
BENEFITS OF TQM
Being known for high-quality products/services enhances brand image.
Brand Reputation
What are the Principles of TQM?
• Customer Focus
• Continuous Improvement
• Employee Empowerment
• Use of Quality Tools
• Process Management
• Product Design
What are the Benefits of TQM?
• Customer Loyalty
• High Revenues
• Improved Employee Morale
• Operational Efficiency
• Brand Reputation
What are the Challenges in Implementing TQM?
• Resistance to Change
• Lack of Leadership Commitment
• Misunderstanding about TQM
CHALLENGES IN IMPLEMENTING TQM
Employees may resist the changes necessary for TQM implementation.
Resistance to Change
CHALLENGES IN IMPLEMENTING TQM
TQM requires strong leadership to drive change.
Lack of Leadership Commitment
CHALLENGES IN IMPLEMENTING TQM
There might be misconceptions or lack of understanding about what TQM entails.
Misunderstanding about TQM
A product’s ability to meet or exceed customer
expectations. This can encompass aspects like functionality, reliability, durability, aesthetics, and other attributes.
Product Quality
Pertains to the comparison of perceived
expectations with actual service performance. It encompasses reliability, responsiveness, assurance, empathy, and tangibles.
Service Quality
The efficiency and effectiveness of a process,
aiming for minimal waste and maximum value.
Process Quality
Meeting defined specifications or
criteria, like ISO standards.
Conformance to Standards
Products or services must meet the intended purpose.
Fitness for Purpose
HISTORY OF QUALITY
Before the industrial revolution, artisans and craftsmen took personal responsibility for the
quality of their hand-made products.
Craftsmanship Era
HISTORY OF QUALITY
Mass production started, and the
need for quality control in factories became apparent.
Industrial Revolution
HISTORY OF QUALITY
Quality inspection was emphasized.
Workers were responsible for producing and inspecting their own work.
Early 20th Century
HISTORY OF QUALITY
Quality control concepts were introduced
to Japan by Americans like W. Edwards Deming and Joseph M. Juran. This contributed to Japan’s rapid economic recovery and growth in the latter half of the 20th century.
Post-WWII Era
HISTORY OF QUALITY
Quality control concepts were introduced
to Japan by Americans like W. Edwards Deming and Joseph M. Juran. This contributed to Japan’s rapid economic recovery and growth in the latter half of the 20th century.
Post-WWII Era
HISTORY OF QUALITY
As Japanese products began to
dominate global markets due to their high quality and reliability, Western companies took note and started implementing Total Quality Management (TQM).
1970s–1980s
HISTORY OF QUALITY
The focus shifted to Six Sigma, a set of
techniques and tools for process improvement, introduced by Bill Smith at Motorola.
1990s
HISTORY OF QUALITY
With the advent of globalization and
digital technologies, quality management has
incorporated concepts from agile methodologies, lean manufacturing, and more, with a focus on continuous improvement and customer satisfaction.
21st Century
IMPORTANCE OF QUALITY
Quality products or services lead to satisfied customers, which in turn can lead to repeat business, positive reviews, and referrals.
Customers satisfaction
IMPORTANCE OF QUALITY
In a competitive marketplace, the quality of products or services can be a unique selling proposition.
Competitive Advantage
IMPORTANCE OF QUALITY
Poor quality often results in rework, returns, or complaints. Ensuring good quality from the beginning can reduce these costs.
Cost Efficiency
IMPORTANCE OF QUALITY
In many industries, meeting quality standards is not just about customer satisfaction but also about complying with regulations and
ensuring safety.
Compliance and Safety
IMPORTANCE OF QUALITY
In the age of social media and online reviews, maintaining consistent quality is imperative to uphold and enhance a brand’s reputation.
Brand Reputation
IMPORTANCE OF QUALITY
Quality processes and systems can improve operational efficiency by reducing waste, improving resource utilization, and streamlining operations.
Operational Efficiency
What are the Importance of Quality?
• Customer Satisfaction
• Competitive Advantage
• Cost Efficiency
• Compliance and Safety
• Brand Reputation
• Operational Efficiency
According to him, he believed in a system-focused approach to quality. He maintained that the majority of quality problems were the result of processes and systems, rather than employee
W. Edwards Deming
According to him, philosophy centered
around the idea that quality should be
viewed in terms of fitness for use rather
than mere conformance to specifications.
Joseph M. Juran
He believed in a more absolute and uncompromising view of quality. For him, quality meant conformance to requirements, not elegance or luxury.
Philip B. Crosby
QUALITY TRILOGY
Designing products and
processes that align with customer needs.
Quality Planning
QUALITY TRILOGY
Monitoring processes to
maintain desired performance levels.
Quality Control
QUALITY TRILOGY
Taking actions to
elevate performance levels to an even higher
standard.
Quality Improvement
Also known as the 80/20 rule, Juran observed that in many cases, 80% of problems are caused by 20% of the causes.
Pareto Principle
Juran emphasized that organizations should
quantify the cost of poor quality to understand its impact better.
Cost of Poor Quality
Juran emphasized that organizations should
quantify the cost of poor quality to understand its impact better.
Cost of Poor Quality
he notion that organizations should aim for a
standard of performance that results in zero defects.
Zero Defects
he notion that organizations should aim for a
standard of performance that results in zero defects.
Zero Defects
Crosby argued that it’s cheaper to do it right the first time than to fix it later. Therefore, the cost of ensuring quality is always less than the cost of correcting mistake.
Quality is Free
What do you call these?
• Quality is defined as conformance to requirements, not as
‘goodness’ or ‘elegance’.
• The system for achieving quality is prevention, not appraisal.
• The performance standard is zero defects, not ‘close enough’.
• The measurement of quality is the cost of nonconformance, not
indices.
The Four Absolutes of Quality Management
It is a direct outcome of process
optimization and continuous improvement. By
consistently focusing on improving quality, TQM aims to reduce wastage, rework, and inefficiencies, leading to increased productivity.
Productivity
It refers to the capability of an organization to
provide products or services that meet or exceed market standards compared to its rival.
Competitiveness
It refers to the capability of an organization to
provide products or services that meet or exceed market standards compared to its rival.
Competitiveness
It pertains to the long-term planning that integrates quality as a core component. The strategic alignment of TQM principles ensures that the organization remains adaptable, resilient, and customer-centric.
Strategy
