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Total%20Quality%20Management

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Statistical Quality Control ... Cease dependence on mass inspection to achieve quality ... Malcolm Baldridge National Quality Award ... – PowerPoint PPT presentation

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Title: Total%20Quality%20Management


1
Total Quality Management
  • Lecture 2

2
Types of Quality Control
  • Product Quality Control
  • Product Control focuses on the output
  • Process Quality Control
  • Process Control focuses on the input

3
Product/Process Control
  • Emphasizes defect detection
  • Is after the fact
  • High proportion of cost incurred
  • Compares product/service to specification
  • External to process
  • Reactive
  • Emphasizes prevention
  • Minimizes potential for defects
  • Reduce costs
  • Compares process results to past process
    performance
  • Variation oriented
  • Proactive

4
Total Quality Management (TQM)
  • Customer expectations in the new economy
  • Products/services must be delivered quickly
    (Fast)
  • Products/services must have no defects (Right)
  • Products/services must be inexpensive (Cheap)
  • Products/services must be easy to use (Easy)
  • Focus of the organization is to meet or exceed
    the expectations of its customers.

5
TQM
  • Statistical Quality Control
  • looking for defects in parts or products selected
    through sampling techniques
  • Statistical Process Control
  • using statistics to monitor production and making
    corrections when the process is out of control
  • Zero-Defects (six sigma)
  • working to eliminate essentially all defects

6
Japanese Model compared to U.S.
  • Traditional Japanese management is becoming
    Westernized
  • Mainly applies to larger Japanese corporations

7
Employment
  • Japan Lifetime employment
  • U.S. Short term employment

8
Careers
  • Japan Non-Specialized career path
  • Life long job rotation
  • U.S. Specialized careers

9
Evaluation Promotion
  • Japan Group evaluation promotion
  • U.S. Individual evaluation promotion

10
Decision Making
  • Japan Participative decision making
  • U.S. Individual decision making
  • Teams

11
Participative Decision Making
  • Newest member of department is given charge of
    decision process
  • Meets several times with every member of the
    department

12
Participative Decision Making
  • 1) I believe that you understand my point of view
  • 2) I believe that I understand the other points
    of view

13
Participative Decision Making
  • 3) Whether or not I agree with the decision, I
    will support it, because it has been arrived at
    in a fair and open manner

14
Benefits to New Member
  • Gets to know other everyone else
  • Acquires an in-depth knowledge of an issue

15
Benefits to Department
  • New member becomes a valuable asset to the
    department and a resource to others

16
Auto Industry
17
Auto Industry Differences
  • Japan vs. U.S. practices

18
of suggestions per worker per year
  • Japan 329
  • U.S. 2

19
Training Hours
  • Japan 370
  • U.S. 46

20
Tangible/Intangible Costs
  • Rework/repair
  • Scrap/discarded material
  • Overtime to remake products
  • Returns/warranty costs
  • Time spent waiting
  • Lost reputation
  • Lost potential sales
  • Lost opportunity for new markets
  • Inability to attract good employees

21
Demings 14 Points for Management
  • Create constancy of purpose for improvement of
    product and service
  • Adopt the new philosophy
  • Cease dependence on mass inspection to achieve
    quality
  • End the practice of awarding business on the
    basis of price tag

22
Demings 14 Points for Management (cont.)
  • Improve constantly
  • Institute training on the job
  • Institute leadership
  • Drive out fear
  • Break down barriers between departments

23
Demings 14 Points for Management (cont.)
  • ?? Eliminate slogans, exhortations, and
    targets for the work force.
  • ?? Eliminate work quotas
  • ?? Remove barriers that rob workers of pride
    of workmanship.
  • ?? Institute a vigorous program of education
    and self-improvement
  • ?? Put everyone to work transforming the company

24
Malcolm Baldridge National Quality Award
  • An annual award administered by the U.S.
    Department of Commerce and given to
    manufacturing, service, or small business
    companies that meet the following 7 criteria
  • leadership
  • information and analysis
  • strategic planning
  • human resource development and management
  • process management
  • business results
  • customer focus and satisfaction
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