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Total Quality Management BUS 3

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Total Quality Management BUS 3 142 Strategic Quality Management Jan 31, 2013 Designing and Assuring Quality Achieving quality results require INTENTIONAL planning ... – PowerPoint PPT presentation

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Title: Total Quality Management BUS 3


1
Total Quality ManagementBUS 3 142
Strategic Quality Management Jan 31, 2013
2
Designing and Assuring Quality
  • Achieving quality results require INTENTIONAL
    planning and execution
  • A business aligns its quality strategy with its
    overall strategy
  • Differentiation on Quality and features
  • Command price premiums
  • If competing on price, must attack costs and
    productivity improved quality address both
  • Organizational Leaders create the atmosphere and
    priority for quality

Quality is the RESULT of coordinated, fact-based,
planning, execution, problem solving, and
continuous improvement
3
Demings Plan-Do-Check-Act
"Continuous improvement is better than delayed
perfection." - Mark Twain
4
An Environment and Culture for Quality
The right LEADERSHIP is critical to building
sustaining a Quality organization
  • Establish quality as a Way of Life and not as a
    project or fad
  • Keep activities focused on superordinate goals
  • Customer and organization long term success
  • Honest and respectful work environment
  • Create an environment for Learning
  • Provide time and dollars for Training
  • Encourage diversity of opinions and problem
    solving approaches
  • Plan-Do-Check-Act
  • Be patient and dont expect immediate results
  • If employees are asked to make suggestions,
    implement the ideas that are offered
  • Follow up to ensure results are achieved or if
    additional measures may be required

5
Beware of goals that are really Wants or Wishes
  • When goals are introduced without the systems,
    processes, and resources to achieve them, one of
    three outcomes will follow
  • People will achieve the goals and positive
    results
  • People will distort the data
  • People will distort the system

Adapted from Donald Wheeler in Foster, Quality
Management, Fifth Edition, Prentice Hall
6
Quality and Productivity
  • A ratio of Inputs and Outputs
  • Total-factor productivity
  • Improvement projects sometimes reduce
    productivity in the early stages, before the
    longer term results are achieved
  • Learning curve
  • Resistance to change
  • One step back for two steps forward
  • Measure against objective standards
  • Yields
  • Cycle time
  • Inventory
  • Profit

7
Money must be spent to enable Quality
Like any other business process, managing quality
requires investment and incurs costs. Diligent
business case development, project management,
and cost management are necessary.
8
Quality Cost Model (Lundvall-Juran Model)
Balances Prevention Costs and Failure Costs. Can
be useful in some cases, but NOT in matters of
Safety or other risk to Human Life
Foster, Quality Management, Fifth Edition,
Prentice Hall
9
Failure Costs (Table 4-4)
Adapted from Foster, Quality Management, Fifth
Edition, Prentice Hall
10
Appraisal Costs (Table 4-3)
Adapted from Foster, Quality Management, Fifth
Edition, Prentice Hall
11
Costs of Prevention (Table 4-2)
Adapted from Foster, Quality Management, Fifth
Edition, Prentice Hall
12
Individual Leadership and Quality
As you develop EXPERTISE and CONFIDENCE in your
profession, you become more equipped to provide
the vision, direction, coaching, and challenge to
your teams and organizations
When people look up to you, and want to follow
you, give them a GOOD REASON to follow
13
Individual Leadership and Quality
  • Pick a leadership style that fits your
    personality and preferences
  • Dont assume that being the boss is a good
    enough reason to be followed
  • Power of Expertise
  • Be excellent at the content of the work being
    done by the people you lead
  • Use your leverage as a skilled leader to make a
    bigger difference over a larger footprint
  • Equip and enable your team to do more than you
    could possibly do yourself
  • Understand how Rewards and Feedback influence
    Performance Quality
  • Dont be afraid to communicate unpleasant news
    it is feedback for better performance
  • Mix positive comments with opportunities for
    improvement
  • Recognize that not all people are self-motivated,
    or are motivated by the same levers
  • Measure the right things

14
Leadership Skills (Table 4-1)
Adapted from Foster, Quality Management, Fifth
Edition, Prentice Hall
15
Supply Chain Strategic Quality Planning

Foster, Quality Management, Fifth Edition,
Prentice Hall
16
Supply Chain Strategic Quality Planning Logistics
  • When shipments take place
  • Modes of transportation
  • How shipping practices can be optimized
  • Outsource warehousing and fulfillment or keep
    in-house
  • Product packaging

Adapted from Foster, Quality Management, Fifth
Edition, Prentice Hall
17
Supply Chain Strategic Quality Planning Suppliers
  • Preferred suppliers
  • Supplier selection
  • Supplier development
  • Sole sourcing / single sourcing / multiple
    sourcing
  • Technology linkage
  • Global sourcing
  • Supplier input to design
  • Supplier cost cutting

Adapted from Foster, Quality Management, Fifth
Edition, Prentice Hall
18
Supply Chain Strategic Quality Planning
Inventory Mgmt
  • Distribution Network
  • Cost
  • Service levels
  • Lead Times
  • Product Life Cycles
  • Perishable and Hazardous Material

Adapted from Foster, Quality Management, Fifth
Edition, Prentice Hall
19
Supply Chain Strategic Quality Planning
Information Flows
  • Data requirements
  • System requirements
  • Security
  • Reliability
  • Visibility upstream and downstream
  • Access upstream and downstream
  • Timing and governance

Adapted from Foster, Quality Management, Fifth
Edition, Prentice Hall
20
Supply Chain Strategic Quality Planning Products
  • Differentiation with competition
  • Variety
  • Manufacturability
  • Components
  • Life cycles

Adapted from Foster, Quality Management, Fifth
Edition, Prentice Hall
21
Supply Chain Strategic Quality Planning Services
  • Service definition along the supply chain
  • Customer requirements
  • Cost
  • Response time
  • Refurbished replacements
  • Repair vs. Replace

Adapted from Foster, Quality Management, Fifth
Edition, Prentice Hall
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