...Deming vs. Crosby The act of overseeing all activities and tasks needed to maintain a desired level of excellence is the meaning of quality but no one person has pioneered the meaning of quality more than Philip Crosby and Edward Deming. Organizations of all types, sizes, and demography put a huge amount of time, effort, and money into quality in order to improve their competitive advantage. They also know that nothing can improve their overall productivity while reducing their operating cost if they don’t have a solid quality management process in place. Philip Crosby and Edward Deming are two experts who transcended the word “Quality” and brought it not only to US based companies but, also other companies that operate in the global marketplace. In summarizing and comparing Deming and Crosby’s contrasting strategies for quality management you will find that although being from two different genres, their intrinsic meaning and approach to quality management was quite similar. DEMING The fundamental point in Deming’s theory is basically “The Customer is King” and is the most important part of the production system and value chain. Deming’s approach was simple and didn’t require a lot of thought. The customer should be the most essential point of focus for any business, besides if there was no customer, there would be really no reason for the business to produce a product or service. This type of focus would spawn a very important question to an organization and...
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...quality and the basic principles underlying their approaches, and discuss similarities and differences between them. Also, in this report will be provided brief definitions of Quality Inspection and Assurance, explained meaning of Customer Satisfaction and Continuous Improvement and explanation the importance of Internet marketing. L1.1 Definition of Quality Views on quality from business perspective. Although, quality is defined in many ways, the basic meanings are excellence in a product or lack of manufacturing or service defects. However, different experts define it in they own ways. To Phillip B. Crosby (2004, p.27) quality means "conformance to requirements". Quality must be defined in measurable and clearly stated terms to help the organisation take action based on tangible targets, rather than on experience, or opinions. Deming W....
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...Completion of Chapter 1 Proctor and Gamble – Focus on repeat customers * Practical satisfaction of meeting customer requirements. * Review of modern quality – Skilled craftsman on 1 to 1 basis. Blacksmith.. one on one negotiation face to face relations with customers. * Industrial Revolution – Henry Ford – Mass production. Quality once a post production review. Reactive approach. * Bell System Statistical – Shurart. * WWII Post War l 40’sand 50’s- Beming and Juran concepts fell on deaf ears. This message brought to Japan where concepts were embraced. Outperforming US counterparts. * Fast forward to 1980s… Crisis around globe. Total Quality was reactive approach to crisis. Total quality Shift in vision from reactive little q (reactive post production inspection ) to big Q. – Total Quality approach with no external department but integrated with all responsible for their own quality. Late 80’s-`987 Malcolm Baldrige Award. TQM wasn’t an integrated function at that point. Emergence of quality management - in service industries, government, health care and education. Evolution of quality to the broader concept of performance excellence Growth and adoption of Six Sigma Current and future challenge: continue to apply the principles of quality and performance excellence. Quality is a “race without a finish line”. It is ongoing and continuous. Contemporary Influences on Quality. Globalization Social Responsibility New Dimensions...
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...Toyota Motor Manufacturing, USA, INC. Background In the early 1980’s, Japanese automakers contemplated building cars in North America. Japan’s huge trade imbalance had caused political pressure to mount, while the economic feasibility of such investment had improved with a rapidly rising yen. At that time, however it was unclear whether cars produced outside Japan could live up to their hard-earned reputation of high quality at low cost. This issue was far from settled in 1985 when Toyota Motor Corporation (TMC) unveiled its plan to open and $800 million Greenfield plant in Kentucky. Thus, the company’s endeavor to transplant to unique production system to Bluegrass Country effectively became a live experiment for the world to watch. In July 1988, Toyota Motor Manufacturing, USA. (TMM) began volume production on a 1,300-acre site in Georgetown, near Lexington. The plant had an annual capacity of 200,000 Toyota Camry sedans, which would replace the bulk of Japanese imports of the same model. In 1992, TMM was expected to supply 240,000 of all the new Camry’s, whose sales were up by more than 20% since the model change in fall 1991. The new Camry joined the ranks of midsize family sedans, with constituted one third of the total American car market and returned an average 17% pretax profit margin on margin on a sticker price averaging $18,500. For the first time, in March 1992, TMM started producing wagon versions of the new Camry exclusively within Toyota’s worldwide plant...
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...Chapter One INTRODUCTION BACKGROUND OF THE STUDY The concept of quality has existed for many years, though its meaning has changed dramatically and evolved over time. In the early twentieth century, quality management meant inspecting products to ensure that they met specifications. In the 1940s, during World War II, quality became more statistical in nature. Statistical sampling techniques were used to evaluate quality, and quality control charts were used to monitor the production process. In the 1960s, with the help of so-called “quality expert,” the concept took on a broader meaning. Quality began to be viewed as something that encompassed the entire organization, not only the production process. Since all functions were responsible for product quality and all shared the costs of poor quality, quality was seen as a concept that affected the entire organization. Before the dramatic change, quality was still viewed as something that needed to be inspected and corrected. To survive, companies had to make major changes in their quality programs. Many hired consultants and instituted quality training programs for their employees. A new concept of quality was emerging. One result is that quality began to have a strategic meaning. Today, successful companies understand that quality provides a competitive advantage. They put the customer first and define quality as meeting or exceeding customer expectations. Competition based on quality has grown in importance and has generated...
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...OM: Full Notes Lecture 1: Chapter 1 What is OM? Operations Management is the set of activities that creates goods and services by transforming inputs into outputs. Why is OM important? Text book lists four reasons: * To see how people organize themselves for productive enterprise * To understand how goods and services are provided * To understand what operations managers do * Because it is such a costly part of an organization Productivity Measurement: Outputs Produced Inputs Used Single Factor: One good over one input; ie Output/ Labour Multifactor: Output/(Labour +Material +Energy +Capital +Misc.) The controlled variables that go into productivity are: * Labour * Capital * Management Note: Quality Changes, External Elements, and a lack of Precise Units of Measure may also change productivity without managerial changes. Lecture 2: Hand Puppet Exercise Task Time: * time it takes to complete a given task Cycle Time: * time from the completion of one unit until the completion of the next unit Throughput Time: * time from the start of work at task one, until the completion of work at the final task. Realise that: A. The cycle time is a function of the bottleneck time, and therefore should be very similar in value B. Throughput time will include any wait times that occur for the product at the bottleneck C. Human nature will change the times and data D. It is the manager’s role to reduce bottlenecks...
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...IMPACT OF TOTAL QUALITY MANAGEMENT IN INDIAN PHARMACEUTICAL COMPANIES’ PERFORMANCE Name: Singh Sudhanshu Bala, Roll no.- ITM/BIT/MUMBAI/09/1- 17 2. INDEX Serial No. Title Page No. 1. Title Page 1 2. Index 2 3. Title of the Thesis 3 4. Background of Research 4 5. Objectives 10 6. Scope 11 7. Methodology 11 8. Review of Literature 12 9. Gaps in Literature 14 10. Summary of the Proposal 14 11. Work Plan 16 12. References 17 3. TITLE OF THE THESIS: IMPACT OF TOTAL QUALITY MANAGEMENT IN INDIAN PHARMACEUTICAL COMPANIES’ PERFORMANCE 4. BACKGROUND OF RESEARCH: Total quality management (TQM) - TQM has been defined as an integrated organizational effort designed to improve quality at every level. TQM is also defined as quest of excellence, fitness for use, value for money, customer satisfaction etc. The International Organisation for Standards (ISO) defines TQM as, "TQM is a management approach for an organisation, centered on quality, based on the participation of all its members and aiming at long-term success through customer satisfaction and benefits to all members of the organisation and to society." ISO 8402:1994 TQM acts as an umbrella under which everyone in the organisation...
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...BU385 Midterm 2 Tutors: Dylan Cowley Greg Krikorian Coordinator: Jason Liou Some images used from course and textbook slides. 1 Did you know that… • Your donation DIRECTLY supports an education development project in Latin America? • AND you can go build the project funded THIS SUMMER with us? How to Apply! • www.lauriersos.com: – Visit the ‘Trips’ section to see upcoming opportunities at your school – Click the trip and fill out the online application form. • With questions e-mail outreach@lauriersos.com – If the dates don’t work, e-mail outreach@studentsofferingsupport.ca to see if there is a trip that can work! Interested in an Outreach Trip? • • • • • Come to an information session: Tuesday, November 5th at 10pm P1019 Wednesday, November 6th at 10pm in P1019 More information/ register for a trip: http://laurier.soscampus.com/outreach/ • Questions? • e-mail us: outreachlauriersos@gmail.com • (trips offered in first two weeks of May 2014 and last two weeks of August 2014) 4 JOIN US TODAY! Agenda • Capacity Planning Chapter 5 • Quality Management Chapter 9/10 • Acceptance Sampling Supplement 7 Chapter 5 • Capacity is the upper limit on the load that an operating unit can handle • For instance…a certain machine can only process 500 parts an hour 8 Long-Term Capacity • Impacts the ability to meet future demands (can’t complete an order – loss of profits) • Affects operating costs (if operating at less than capacity...
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...TQM Research Paper Introduction The past two decades have witnessed the rise and fall of countless short-lived fads. Some have attracted a flurry of book, articles, and seminars; others have been completely discredited. Businesses have realized that there is a need to restructure their business practices and become more customer-focused. All recent business approaches and techniques have generally aimed at improving performance, increasing profits, gaining market share, and most importantly satisfying the customer who has become more educated and more demanding than ever. In the last two decades two organizational development models have dominated the business world for a considerable period of time namely Total Quality Management (TQM) and Business Process Reengineering (BPR). Statement of Objective This paper aims to shed a novel light on the two most recent and prominent management approaches, namely TQM and BPR. In an attempt to examine the interaction between radical BPR and incremental TQM with respect to change management, I shall briefly discuss the two constructs and contemplate the roots and basic tenets that underlie each. BPR has been referred to in the literature as “the successor” of TQM and has been treated as an equal. I shall treat the similarities and common grounds among the two, as well as the differences between them. Next, I shall touch upon the weaknesses and highlights that distinguish each, and then move on to construct an integrated model in an...
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...Ahmad, Farhat Abbas, Israr Khan Niazi, Javeria Mehmood, Irum Naz Department of Management Sciences, Mohammad Ali Jinnah University, Islamabad, Pakistan Abstract: Introduction: * Research Objectives: * Financial Sector of Pakistan: Literature Review: * TQM and its Importance: It has been argued that the use of TQM practices has a synergistic impact on organizational performance (Schonberger, 1986; Cobb, 1993). Some studies have found that the use of TQM practices reduces manufacturing process variance, eliminates reworks and scraps, and improves quality performance (see Daniel and Reitsperger (1991), Flynn et al. (1995) and Schmenner and Cook (1985). In addition, there is considerable anecdotal evidence (Crosby, 1984; Hayes and Wheelwright, 1984; Gerwin, 1987; Harmon and Peterson, 1990) on the extent to which TQM initiatives enhance the potential for firms to improve their performance. More recently, empirical evidence suggests that there are direct and indirect relationships between the adoption of TQM practices and firms’ performance levels (Hendricks and Singhal, 2001; Kaynak, 2003). Fortune 1000 companies surveyed indicated that firms achieved greatest success when they pursued both TQM and employment involvement simultaneously. Kevin M. McNeilly and Fredrick A.Russ 1992 Collaboration between managers and non managers between function and between customers and suppliers is an important principal of TQM Kevin M. McNeilly and Fredrick A...
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...Journal of Operations Management 17 Ž1998. 59–75 The TQM Paradox: Relations among TQM practices, plant performance, and customer satisfaction Thomas Y. Choi ) , Karen Eboch Department of Management, College of Business Administration, Bowling Green State UniÕersity, Bowling Green, OH 43403-0270, USA Received 14 January 1997; accepted 17 November 1997 Abstract We empirically examine a mediational model of TQM, in which TQM practices have a direct impact on customer satisfaction and an indirect impact mediated through plant performance. We adopt a survey approach using the data from 339 manufacturing companies. We first establish convergent validity, discriminant validity, and reliability of the constructs. We then examine the model using LISREL 8.10. The results suggest paradoxical relations among TQM practices, plant performance, and customer satisfaction. TQM practices have a stronger impact on customer satisfaction than they do on plant performance. Further, the plant performance, as described in the mediational model, fails to show a significant impact on customer satisfaction. This observation is explained based on an institutional argument that states that loose coupling may occur between TQM practices designed for customer demands and the activities on the plant floor designed for plant performance. q 1998 Elsevier Science B.V. All rights reserved. Keywords: Empirical research; Operation strategy; Interdisciplinary; Quality; Performance; Customer satisfaction; Institutional...
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...develop basic appreciation of quality concepts and learn the tools and techniques to achieve quality. It also gives the totally integrated effort for gaining competitive advantage by continuously improving every facet of an organization’s activities. Pedagogy : Lectures, Assignments, case studies, seminar, MODULE 1 Introduction to TQM: Various definitions of quality and TQM, Core concepts of quality, The masters of quality(W Edwards Deming, Joseph M Juran, Philiph B Crosby, Kaoru Ishikawa, Ginichi Taguchi, Shigeo shingo) Evolution of quality, The Total Quality Management Excellence Model, Strategic Quality Management, Lecture, Numerical Exercises on cost of quality, TPM 1. Basterfield H Dale and others, Total Quality Management, Pearson Education/PHI, Inc. 2006. 2. K.Shridhar Bhat Total Quality Management (Himalaya publishing house 2005). 3. Poornima M Charantimath, Total Quality Management, Pearson Education, 2003. MODULE 2 Continuous process improvement: Concepts of Kaizen, Kaizen vs. Innovation, Kaizen Strategy, House of Quality, Quality Function deployment, Quality Circles. Brain storming, Value analysis, Poka Yoke, Bench marking. Lecture, Case study on Kaizen 1. Imai Masaki, Kaizen, The key to Japan’s Competitive Success, McGraw-Hill, Inc., International Edition, 1991. 2. 3. Heizer and Nathan, Cases in Total Quality Management Manufacturing and services, Thomson South-western, 2004....
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...Zajęcia 4 7.11.2011 Dlaczego zmiana jest trudna? To ciągła konfrontacja z przeciwstawnymi siłami (adaptacja vs. obrona status quo) Strategie reakcji na dysonans między rzeczywistością a naszym wyobrażeniem: * nic nie robić (trzeba umieć odpuścić, pogodzić się) * wywieranie nacisku na otoczenie – wysiłek skierowany na innych (trzeba mieć możliwość wywierania nacisku) * próba zmieniania czegoś w swoim podejściu – wysiłek skierowany na siebie Większość ludzi woli być inicjatorem mimo, iż on ponosi odpowiedzialność za ryzyko. Czasy kryzysu: * atmosfera oczekiwania na zwolnienia * doświadczenie z ciasteczkami – rozdający dostał ciasteczko, które zostało * mit centralnej pozycji (menadżerowie myślą, że wiedzą więcej niż inni) * uwaga kierowana w górę hierarchii (sekretarka wie więcej o szefie niż odwrotnie) Czego potrzebujemy od szefów? (R. Sutton) * przewidywalność * zwiększenie stopnia zrozumienia sytuacji * tworzenie poczucia kontroli i uczestnictwa * współczucie – zwłaszcza w ciężkich czasach (eksperyment Greenberga – przejściowa redukcja wynagrodzeń skutkowała mniejszym stopniem wzrostu kradzieży, gdy menadżer chodził i tłumaczył przyczyny redukcji) Jak komunikować? * wstępna komunikacja o zmianach – rozmrożenie , wyjaśnić dlaczego – przekonać, że zmiana jest nieunikniona i wyjaśnić jaki jest cel * wyjaśnić co dokładnie zmieniamy – szczegóły planu ...
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...ESD Working Paper Series Towards An Integration Of The Lean Enterprise System, Total Quality Management, Six Sigma And Related Enterprise Process Improvement Methods Kirkor Bozdogan Center for Technology, Policy and Industrial Development Massachusetts Institute of Technology Cambridge, MA USA 02139 Tel. 617 253-8540 bozdogan mit.edu ESD-WP-2010-05 August 2010 esd.mit.edu/wps ESD Working Paper Series Towards An Integration Of The Lean Enterprise System, Total Quality Management, Six Sigma And Related Enterprise Process Improvement Methods Kirkor Bozdogan Center for Technology, Policy and Industrial Development Massachusetts Institute of Technology Cambridge, MA USA 02139 Tel. 617 253-8540 bozdogan mit.edu ESD-WP-2010-05 August 2010 esd.mit.edu/wps TOWARDS AN INTEGRATION OF THE LEAN ENTERPRISE SYSTEM, TOTAL QUALITY MANAGEMENT, SIX SIGMA AND RELATED + ENTERPRISE PROCESS IMPROVEMENT METHODS Kirkor Bozdogan # Center for Technology, Policy and Industrial Development, Massachusetts Institute of Technology, Cambridge, MA USA 02139 August 5, 2010 Key Words: Lean manufacturing; just-in-time-production (JIT); Toyota Production System (TPS); lean enterprise system; total quality management (TQM); six sigma; lean six sigma; theory of constraints (TOC); agile manufacturing; business process reengineering (BPR); enterprise change and transformation; evidence-based management practices Abstract: The lean enterprise system, total quality management, six sigma...
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...QUALITY MANAGEMENT MBA 453 PAPER 453 : QUALITY MANAGEMENT Unit – 1 Concept of Quality – Quality as customer delight – Quality as meeting standards – Actual vs Perceived quality – Concept of total quality – Design, inputs, process and output – Need for Quantity – Function of quality – Philosophy of quality – Old vs new – Quality as a problem and as a challenge – 6 sigma concept. Unit – 2 Quality Management : Fundamentals evolution and objectives – Planning for quality – Quality process – Statistical Process Control – (SPC) and acceptance sampling – Quality assurance – Total quality management. Unit – 3 Quality and Productivity – Quality and cost – Is quality of cost – Benefits of quality – Competition in quality – Role of MNCs in emergence of global quality. Unit – 4 Quality System – Total quality control system vs total quality management system – Total Quality Control (TQC) in Japan, US, Europe – Elements of TQC – Just in time, quality circles, quality teams. Unit – 5 Total Quality Management (TQM) – Elements – TQM in global perspective – Global bench marketing – Business Reengineering – Global standards – ISO 900 series – quality manual – Barriers to TQM. Unit – 6 Total Quality Management and Leadership – Implementing TQM – Market choices – Marketing customer requirements – Maintaining competitive advantage - Core competence and strategic alliances for ensuring quality – Quality review, recognition and reward – Quality awards. QUALITY MANAGEMENT UNIT...
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