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Introduction to Quality Management

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American Companies Catch Up. Business Process Reengineering ... sign on the back wall of a small printing company in Delaware. The Road to Meet The Customer II ... – PowerPoint PPT presentation

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Title: Introduction to Quality Management


1
Introduction to Quality Management
  • Yanni Papadakis

2
Outline
  • Quality
  • Definitions of
  • Quality and Production
  • History of Quality Management
  • Customer Driven v. Market Driven Strategy
  • Quality Quotes

3
Quality Definitions
  • Examples
  • Shoe size 10 /- 1/16in
  • Wool COLOR Light Red
  • Definition 1 Conformance to Specifications
  • Products are within (good) or out of (bad) specs
  • Definition 2 Deviation from ideal target
  • Some quality costs always occur
  • Quality costs can only be reduced, not eliminated
  • The more one knows what they are doing the less
    the quality costs

4
Production Quality Definition 1 - Traditional
Input Raw Material
Stage 1
Stage 3
Stage 2
Output Finished Product
PRODUCTION
Within Specifications
INSPECTION
Out of Specifications REWORK SCRAP
OBJECTIVE Separate Acceptable from Defective Items
5
Production Quality Definition 2 - TQM
Input Raw Material
Stage 1
Stage 3
Stage 2
Output Finished Product
PRODUCTION
OBJECTIVE Eliminate Causes of Defects Irreversibl
e Progress
MULTIPLE INSPECTIONS Inspect Process not Product
6
History of Quality Management
  • Quality was always a business priority
  • 19th Century Quality necessary for smooth
    commerce
  • 20th Century (before 1960s) Inspect Quality
    After Production
  • Modern Methods of Production
  • Interchangeable parts
  • Statistical Sampling Systematic Inspection
  • Quality Requires Organization-wide Coordination

7
History of Quality Management
  • 1980s and after Build Quality in Production
    Process Intense Competition from Japanese
    Producers
  • Total Quality Management
  • ISO 9000
  • 6 sigma
  • 1990s and after American Companies Catch Up
  • Business Process Reengineering
  • Market v Customer Driven Strategy
  • Quality Costing

8
Quality Gurus
  • W. Edwards Deming
  • Business Statistics Professor at NYU
  • Adviser in sampling techniques to the Supreme
    Command of the Allied Powers, Tokyo, 1947 and
    1950
  • Adviser of Many Foreign Governments
  • Recognized in USA in the 1980s
  • Bad Quality is due to Bad Management
  • Minority of Quality Problems due to Bad Execution
  • Quality reporting and Organizational Dysfunction
  • Do not inspect but build quality in the product

9
Quality Gurus
  • Joseph M. Juran
  • Fitness for use
  • Zero Defects
  • Philip B. Crosby
  • Quality is free
  • Zero defects
  • Genichi Taguchi
  • Robust Process Design

10
Quality and Business Strategy
  • Customer Driven Strategy
  • Anticipate Customer Needs
  • Be the best in Servicing Customer
  • Quality is the Organizing Principle of Business
  • Market Driven Strategy
  • Do not offer to customers product attributes that
    are not profitable to offer
  • In business to make money not to serve customer
  • Anticipate Market Changes
  • Not good as Organizing Principle
  • This is how the executive board should think
    Quality Management

11
Quality Quotes source GNU Fortune Cookies
  • Bridging the Gap Between Buyer and Seller

12
The Road to Meet The Customer I
  • Everyone who comes here wants three things
  • 1. They want it quick.
  • 2. They want it good.
  • 3. They want it cheap.
  • I tell 'em to pick two and call me back.
  • -- sign on the back wall of a small printing
    company in Delaware

13
The Road to Meet The Customer II
  • Allen's Axiom When all else fails, read the
    instructions.

14
Do We Need Quality Management?
  • Left to themselves,
  • things tend to go from bad to worse

15
Quality Attributes Are Interdependent
  • Your manuscript is both good and original,
  • but the part that is good is not original and the
  • part that is original is not good.
  • -- S. Johnson
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