Total Quality Management Flashcards
Total quality management (TQM)
- “An integrative approach to management that supports the attainment of
customer satisfaction through a wide variety of tools and techniques that
result in high-quality goods and services.” - The “bottom-line” or main point of TQM is to improve quality and weave it
into everything the organization does! (as opposed to the old way of
inspecting/controlling only after things have been made or done) - Concept of Continuous Improvement (Kaizen) in meeting customer’s needs
and improving the Value Chain. (Remember the Value Chain from Strategic
Planning! It is important for organizations to add value from R&D to Service
and TQM gives them an opportunity to do so.
Small Batch
- Goods or services produced in very low volumes; concept of a job-shop
Large Batch
- Goods or services produced at high volumes; mass production
Continuous Process
- This is when processes do not really ever stop and most work is automated
Mass Customization
- When technology is used to customize a product or service for low cost
Computer-integrated manufacturing (CIM)
The use of computer-aided design and computer-aided manufacturing to sequence and optimize a number of production processes.
Flexible factories
Manufacturing plants that have short production runs, are organized around
products, and use decentralized scheduling.
Just-in-time (JIT)
A system that calls for subassemblies and components to be manufactured in very small lots and delivered to the next stage of the production process just as they are needed.
Customer Relationship Management
Customer relationship management (CRM) is a multifaceted process,
typically mediated by a set of information technologies, that focuses on creating two-way exchanges with customers so that firms have an intimate knowledge of their needs, wants, and buying patterns.
Quality Control
is a process that measures and determines the quality level of products or services” (Reactive)
Quality Assurance
is a complete system to assure the quality of products/services. It is not only a process, but a complete system of management that included control” (Proactive)
Quality Audit
is the “Periodic, independent, and documented examination and verification of activities, records, processes, and other elements of a quality system to determine their conformity with the requirements of a quality standard such as ISO 9000.”
The Concept of Reengineering.
Based around the idea of cutting costs by focusing on what
the customer wants and how the Value Chain can be improved. “If you were the customer, how would you like us to operate?” from the text.
“Reengineering is not about making minor organizational changes here and there. It is about completely overhauling the operation, in revolutionary ways, to achieve the
greatest possible benefits to the customer and to the organization.”
Six Sigma-
focuses on the statistical sign for standard deviations (sigma), which at “6” would translate into less than 3.4 defects/mistakes per million. Developed at Motorola and made popular by GE, the 6 sigma system approach requires fundamental changes in organizational processes and relationships with customers
and suppliers.
ISO 9001
Established by the International Standards Organization and used globally, this quality standards process revolves around eight principles (see. More internally driven and revolves around certification by ISO through External Audits.