Management by Objectives & Management by Policy

Iceberg of Ignorance

A brief of a TQM Concept

A. TQM Overview

Total Quality Management (TQM) is both a philosophy and a set of guiding principles that represent the foundation of a continuously improving organization. TQM is the application of quantitative methods and human resources to: improve the material and services supplied to an organization; all the processes within an organization; and the degree to which the needs of the customer are met, now and in the future. TQM integrates fundamental management techniques, existing improvement efforts, and technical tools under a disciplined approach focused on continuous improvement. (DoD5000.51G)

Total Quality is a condition in which the customer is completely satisfied and everyone in the organization is doing the correct things correctly. (QCI International)

Total Quality Management is a management system/philosophy that institutionalizes a never-ending process of improvement, is aimed at satisfying customers' needs, reduces costs through elimination of waste, and involves all of the people in the organization. (John Kirkpatrick)

Dr. Deming never used the words TQM; rather, he spoke of a system of profound knowledge. This knowledge has four related parts: appreciation for a system; statistical theory (understanding variation); theory of knowledge; and psychology.

Genichi Taguchi's views on quality extracted from GM's Highlights of Total Quality Management Philosophies and Applications are:

1. Reduce cost through quality improvement.

2. Measure quality loss must be measured as a system-wide cost on a life cycle basis (i.e., loss to society), not as just the internal costs of non-conformance or defect detection at the time of shipment.

3. Optimize internal and external costs to minimize loss to society.

4. Measure quality as deviations from target values, not specification limits of tolerances.

5. Realize that quality decreases continuously as a quadratic function as process output varies from target, versus the step function mentality that implies that all parts within specification are equally as good.

6. Communicate quality loss in terms of monetary units.

7. Design quality into products and services.

8. Design products and processes to be insensitive to uncontrolled variation (robustness) at the lowest possible cost.

9. Focus on improving the desired product characteristic (signal), regardless of the level of uncontrolled variation (noise), to guide design.

10. Use statistical methods throughout the product life cycle for quality improvement, especially early in the design process when the leverage is the greatest.

11. Lower barriers that inhibit the use of statistical methods by providing simplified techniques that can be quickly taught and applied.

12. Combine engineering methods with statistical methods as part of providing simplified techniques that can be quickly taught and easily applied by all.

Total Quality Management is synonymous with Total Army Quality (TAQ) and quality leadership. Locally-defined, it is a leadership strategy that fosters a broad spectrum of improvement efforts directed at all dimensions of the organization, including culture, health, communications, structure, procedures, outputs, measurements, leadership/management, rewards, and how change is managed. It includes efforts to continuously improve and radically redesign processes and products to meet and exceed expectations, in terms defined by both the internal and external customer.

It is expected that the TQM definition will evolve and expand over time as the organization evolves in the quality transformation.

B. TQM is NOT a Program
Why? Because TQM is not something else we do, it is the way we do what we do. (AMC Quality Corner) To paraphrase, TQM is mission how we do it and how we do it better.

C. Continuous Improvement
An attitude of continuous improvement must prevail. The search for and exploitation of small incremental improvements must become the norm. The acceptance of small wins must become part of our framework. Improve constantly and forever the system of production and service to improve quality and productivity and, thus, constantly decrease costs. (Deming point 5)

The term continuous improvement refers to both incremental and breakthrough improvements. The approach to improvement needs to be embedded in the way the organization functions.
Embedded means:
(1) improvement is part of the daily work of all work units;
(2) improvement processes seek to eliminate problems at their source; and
(3) improvement is driven by opportunities to do better, as well as by problems that must be corrected. Opportunities for improvement include employee ideas, R&D, customer input, and benchmarking or other comparative performance information.
Information may be of several types:
(1) enhancing value to customers through new and improved products and services;
(2) reducing errors, defects, and waste;
(3) improving responsiveness and cycle time performance;
(4) improving productivity and effectiveness in the use of all resources; and
(5) improving the company's performance and leadership position in fulfilling its public responsibilities and serving as a role model in corporate citizenship.

Thus, improvement is driven not only by the objective to provide better products and services, but also by the need to be responsive and efficient both conferring additional marketplace advantages.

Don't bother just to be better than your contemporaries or predecessors. Try to be better than yourself. (William Faulkner)

We realize that we are in a race without a finish line. As we improve, so does our competition and the better we get, the more our customers expect from us. (David Kearns, Xerox)

Japan's Quality Performance

By the late 1960’s/early 1970’s Japan’s imports into the USA and Europe increased significantly, due to its cheaper, higher quality products, compared to the Western counterparts.

In 1969 the first international conference on quality control, sponsored by Japan, America and Europe, was held in Tokyo. In a paper given by Feigenbaum, the term “Total Quality” was used for the first time, and referred to wider issues such as planning, organization and management responsibility.
Ishikawa gave a paper explaining how “Total Quality Control” in Japan was different, it meaning “Company Wide Quality Control”, and describing how all employees, from top management to the workers, must study and participate in quality control. Company wide quality management was common in Japanese companies by the late 1970’s.

The quality revolution in the West was slow to follow, and did not begin until the early 1980’s, when companies introduced their own quality programmes and initiatives to counter the Japanese success. 

Total quality management (TQM) became the centre of these drives in most cases.

In a Department of Trade & Industry publication in 1982 it was stated that Britain’s world trade share was declining and this was having a dramatic effect on the standard of living in the country. There was intense global competition and any country’s economic performance and reputation for quality was made up of the reputations and performances of its individual companies and products/services.

The British Standard (BS) 5750 for quality systems had been published in 1979, and in 1983 the National Quality Campaign was launched, using BS5750 as its main theme. The aim was to bring to the attention of industry the importance of quality for competitiveness and survival in the world market place.
Since then the International Standardisation Organisation (ISO) 9000 has become the internationally recognised standard for quality management systems. It comprises a number of standards that specify the requirements for the documentation, implementation and maintenance of a quality system.

TQM is now part of a much wider concept that addresses overall organizational performance and recognises the importance of processes. There is also extensive research evidence that demonstrates the benefits from the approach. As we move into the 21st century, TQM has developed in many countries into holistic frameworks, aimed at helping organizations achieve excellent performance, particularly in customer and business results.

In Europe, a widely adopted framework is the so-called “Business Excellence” or “Excellence” Model, promoted by the European Foundation for Quality Management (EFQM), and in the UK by the British Quality Foundation (BQF).”

Encrypted from (www.dti.gov.uk/quality/evolution)

Introduction to TQM

Some people says " I know the TQM is"...

but the others says " What is TQM, it's really hard to figure it out"

Perfectly... anybody have their own native way, but is it proofing their abilities or capabilities ?

Here it is..
Let me tell you something about TQM

Previously you must learning the best laid quality management examples has been implemented in the world.

Let say Japan did.

The native condiments came from USA. American gave them to Japanese.

 But Japanese cooked them to be delicious food better than ever been made.

Japanese called it CWQC.

CWQC stand for Company Wide Quality Control. That was the original food.
American dumbfounded. Unbelievable. Japan taken over the quality leader.
Japan absorbed many kind of quality science and knowledge disclosed from the US professors.

US was flustered then people looked for the special recipe secret cooked from the original food.

Was it so delicious ??

What is the secret confidentiality a mixture condiments?

Did you taste it?