...TOTAL QUALITY MANAGEMENT TOOLS ADOPTED BY THE VOLVO COMPANY Submitted by, Sharath 4SX12MBA52 MBA Section ‘C’ Submitted to, Mr. Karthik. K Lecturer MBA department Sahyadri College Date of submission: 17-04-2014 Table of Contents 1.0 Company introduction 4 2.0 Total quality management meaning 4 3.0 six sigma concept 4 3.1 steps taken by to Implement it 4 4.0 PRQP Advanced production quality planning 8 4.1 Responsibility’s in APQP 9 4.2 APQP Planning 9 4.3 APQP Review 10 5.0 Quality management in PPAP (production part approval process) 11 6.0 The 8D framework 12 6.1 Background of 8D 12 6.2 What is 8D? 12 6.3 The 8 discipline 12 7.0 The QJ process 14 7.1 Identify new QJ 14 7.2 Open New QJ 14 7.3 Investigate QJ 15 7.4 Develop solution 15 7.5 implement solution 16 7.6 Follow up 16 8.0 poka-yoke 17 9.0 Specification paper 17 10.0 Warning light 17 11.0 Scanner 17 Table of Figures Figure 1: six sigma improvement process transactional tasks 6 Figure 2: Process Input and Output 7 Figure 3: An example of APQP planning 10 Figure 4: This picture illustrates how to match Volvo GDP at part level with supplier 11 Figure 5: chart showing PPAR process 12 Figure 6: The eight steps in 8D 14 Abstract Maintaining quality in production...
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...Product and Service Strategies Marketing Mix * Blending of the four strategy elements—product, distribution, promotion, and price—to fit the needs and preferences of a specific target market * Marketers develop strategies to sell both tangible goods and intangible services What is a Product? * People buy want satisfaction, not objects * Product - Bundle of physical, service, and symbolic attributes designed to satisfy a customer’s wants and needs What are Goods and Services? * Services - Intangible tasks that satisfy the needs of consumers and business users * Goods - Tangible products that customers can see, hear, smell, taste, or touch * Goods–services continuum - Spectrum along which goods and services fall according to their attributes, from pure good to pure service Figure 12.1 – Goods-Services Continuum Characteristics of Services * Intangible * Inseparable from the service providers * Perishable * Cannot be standardized * Buyers play important roles in the creation and distribution of services * Wide variations in service standards Figure 12.2 – World’s Most Admired Companies Importance of the Service Sector * The service sector makes up more than three-fourths of the U.S. economy * Backshoring - Firms return much of their offshore work to the U.S. to save money and improve customer service efficiency * Homeshoring - Hiring workers to do jobs from their homes * Most service firms emphasize...
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...Britannia's business was flourishing. But, more importantly, Britannia was acquiring a reputation for quality and value. As a result, during the tragic World War II, the Government reposed its trust in Britannia by contracting it to supply large quantities of "service biscuits" to the armed forces. As time moved on, the biscuit market continued to grow… and Britannia grew along with it. In 1975, the Britannia Biscuit Company took over the distribution of biscuits from Parry's who till now distributed Britannia biscuits in India. In the subsequent public issue of 1978, Indian shareholding crossed 60%, firmly establishing the Indianness of the firm. The following year, Britannia Biscuit Company was re-christened Britannia Industries Limited (BIL). Four years later in 1983, it crossed the Rs. 100 crores revenue mark. On the operations front, the company was making equally dynamic strides. In 1992, it celebrated its Platinum Jubilee. In 1997, the company unveiled its new corporate identity - "Eat Healthy, Think Better" - and made its first foray into the dairy products market. In 1999, the "Britannia Khao, World Cup Jao" promotion further fortified the affinity consumers had with 'Brand Britannia'. Britannia strode into the 21st Century as one of India's biggest brands and the pre-eminent food brand of the country. It was equally recognised for its innovative approach to products and marketing: the...
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...1. Introduction Quality is the main focus of a number of products. Companies are facing tough competition in the consumer market and people are becoming more and more critical of their products and give the buying process considerable thought so that they can choose the best product there is. In order to keep up with the criticality of the customers, the companies have to produce the products up to the tough expectations of the customers in order to compel the customer to purchase the products of the company. To increase the quality of the products, the companies have to heavily invest in reducing the number of faults in their products and to do this, they have to improve their workforce, their methods of operations to increase the accuracy...
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...customers by providing a variety of quality products. The main objective of a garage door company is to change the perception of garage doors and improve the quality of life. A company should be able to turn its competitive products into profits. A garage company should fuse its marketing strategies with the competitive products in order to develop a competitive advantage in the market. The relevant set of competitive products for a garage company includes; residential garage doors, commercial sectional doors, garage door openers and mini storage doors. A garage door company usually has a set of determinant attributes that define the product space in which positions of current offerings are located. Differentiating goods along specific features and details is a very important marketing strategy for a garage door company in defending its price from going down the price spectrum. One of the determinant attributes is difference in quality of the products. Difference in quality as perceived by the customer plays an important role in the decisions to purchase. Consumers have their perception on the features of the product and this determines the product space. The type of the product is another determinant attribute. The product can either be a necessity or a luxury good but the nature of the need has to be satisfied. The price of the product determines the product space in the market. Customers believe that products that are highly priced are of high quality which may not be necessarily...
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...Total Quality Pioneers Paper Jaime Martinez MGT/449 8/23/2011 Lawrence Holzer People often say that quality is in the eyes of the beholder, but consumers have the final say concerning the quality of an organization. "Quality is a dynamic state associated with products, services, people, processes, and environments that meets or exceeds expectations and helps produce superior value" (Goetsch & Stanley, 2010, p. 5). W. Edwards Deming was a quality pioneer in the United States who developed the Deming Cycle, which linked the production of products with consumer needs. He also focused on the resources and departments (research, design, production, marketing) cooperation to meet those needs. This paper will define quality and its elements, explain why the elements of quality are useful in today’s environment, and what the future will foresee about quality. Without good quality of a goods and services any organization is sure to fail. According to Bexcellence (2009), "[The meaning of quality differs depending upon circumstances and perceptions. For example, quality is a different concept when focusing on tangible products versus the perception of a quality service]" (What Is Quality, Para. 2). The Deming's cycle defines five key elements of quality which are plan, do, check, act, analyze. The first element is planning, which means an organization must do consumer research and use it to plan their product. The second element is do, which simply means to produce...
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...blend of the four strategy elements—product, distribution, promotion, and price—to satisfy the target market o Other variables of the marketing mix—distribution channels, promotional plans, and pricing decisions—must accommodate the strategy selected o Marketers develop strategies to promote both tangible goods and intangible services ▪ Any strategy begins with investigation, analysis, and selection of a particular target market ▪ It continues with the creation of a marketing mix designed to satisfy that segment o Strategies to promote goods are often quite different from those designed to promote services • What is a product? o We tend to think of products as items, but services, as well as physical goods, are products o The concepts that goods are used for—such as providing entertainment, allowing communication, or performing certain tasks—are also considered products o Marketers now realize that people buy want satisfaction rather than objects—i.e., a television set and its cable programming are two separate products o Marketers think of a product as a compilation of package design and labeling, brand name, price, availability, warranty, reputation, image, and customer-service activities o So a product is a bundle of physical, service, and symbolic attributes designed to satisfy a customer’s wants and needs • What are goods and services? o Services...
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...introduction Quality tourism is a tourism brand build for traditional tourism line confusion. It's a mass tourism without deliberate deception. The value of tourism is based on the material requirements and it’s not the main factor affecting the quality of tourism. The definition of "quality": The tourism products through the development of tourism industry and the use of tourism resources to attract tourists. The industry provided a variety of services to the tourists. (http://baike.baidu.com/link?url=GR_CGureUMLLn9ep9-5Rguuyj5URj_Jv1uVGq5vak1KqlNfTvUpPNcEnMqZl1PxcUY_C0S57IzikfPuuhyY_mq ) Therefore, evaluation of the quality of the tourism product is equivalent to the customer experience in the travel process and customer service for the journey. When the customers perception of service is equal to or exceeds the expectations of the service, they will be satisfied; If it lower than expected, it will considered low quality. To estimate the stand or fall of the quality of service is based on the customer feelings. The factors that cause customers to feel good or bad are mainly come from the following categories: 1. The differences of customer's expectations for service and business expectations for the interpretation. 2. The differences of consumers and businesses to understand the quality of service awareness. 3. Quality of service standards and specified corporate customer expectations difference. 4. The service provided by the companies failed...
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...awarded for good presentation and thoroughness in your approach. Referencing Code: If you use some code, or ideas for code, which are taken or adapted from another source (book, magazine, internet, discussion forum, etc), then this must be cited and referenced using the Harvard Name convention within your source code. Failure to reference code properly is considered as plagiarism. Complete this cover sheet and attach it to your project. * This project is to be attempted by an individual. Student declaration: | I declare that: | 0 We understand what is meant by plagiarism 1 The implication of plagiarism have been explained to us by our lecturer 2 This project is all our work and we have acknowledged any use of the published or unpublished works of other people. | Student’s Signature: | Date: 26 NOVEMBER 2012 | Intake | UC2F1208BIS | Project Title | Question 2 | Name | LAI JIUNN JINN | TP026057 | Hand in Date | 26 November 2012 | Lecturer | Ms.DARLINA BINTI AWANG MOHDAR | Word count | 2107 words | Table of Contents Page Abstract 2 Introduction 3 What is Quality? 4 Importance of Quality 5 Customer Satisfaction 6 Personal experience 7 Recommendation 9 Conclusion 10 References 11 Abstract My purpose of this research is to discuss how good or bad quality can affect customer satisfaction and their experiences. At the same time, I go in depths study the reaction of customer’s decision when the particular product met, exceeded...
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...Introduction – Quality Producing and deliver high quality goods or service is a must for any businesses. No consumers would buy poor quality goods or pay to experience poor quality service. However most consumers have a difficult time defining quality. For examples every consumers have different opinion on the quality of the sports outfit of Nike. Some may said Nike quality is better than Reebok and others may disagree. So till today quality does not have any single universal definition (Reid & Sanders, 2005). Some may view quality as performance to standards while others view it as meeting the customer’s needs or satisfying the customer (Reid & Sanders, 2005). In common, there are a series of characteristic to define quality which are (1) conformance to specifications, (2) fitness for use, (3) value for price paid, (4) support services and (5) psychological criteria. (1) Conformance to specifications measures how well the product or service meets the targets and tolerances determined by its designers (Reid & Sanders, 2005). For example if a Nike said that their sport shoes are made in light blue color but turnout navy blue then it would not consider in good quality. (2) Fitness for use focuses on how well the product performs its intended function or use (Reid & Sanders, 2005). For example if Nike watches claim to be waterproofs for 5m but turnout the real watches malfunction in 1m then it would not consider in good quality. (3) Value for price paid is a definition of quality that...
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...acknowledged. Signature: ……………………. Date: …………… 1. Introduction: Operations management is concerned about overseeing, redesigning and designing business operation in service or production of goods, efficient use of resources and effectively meeting of customer requirements. Operations management also cover the process which converts inputs into outputs like inputting raw materials or energy and labor and getting goods and services. It considers the utilization, development and acquisition of resources that organizations need to deliver services and goods their customers want. The works and jobs responsibility of operation management starts from strategic planning and ends at operational and technical levels. Operation management use various technology and ideas to reduce production and operating cost and increase productivity, improve customer services, increase product quality and improve flexibility to fulfill customer demands and needs. "The typical organization consists of the integration of many different functions," wrote Howard J. Weiss and Mark E. Gershon in Production and Operations Management. "The two most obvious functions are to provide the product or service and to sell the product or service. Operations management focuses on the function of providing the product...
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...costs in the operations function include; input costs, labour costs, processing costs, inventory costs and quality management costs. Cost leadership involves aiming to have the lowest costs or to be the most price-competitive in the market. A key aspect to cost leadership is that although trading with the lowest cost, the overall business should still be profitable. One aspect of cost leadership arises from a business creating economies of scale. Economies of scale refers to cost advantages that can be created as a result of an increase in scale of business operations. Typically the cost savings come from being able to purchase lower cost per unit and from efficiencies created through improved use of technology and machinery. Goods/services differentiation is a key strategy applied by operations managers. Product differentiation means distinguishing products in some way from its competitors. Ways a product could be differentiated include: varying the actual product features, varying product quality, varying any improved features, varying the amount of time spent on a service, varying level of expertise brought to a service, varying qualifications and experience of the service provider and varying the quality of materials/ technology used in service delivery. For both goods and services, differentiation can be created from cross branding or strategic alliances. Goods and/or services in different industries Operations...
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...customers and maximising quality of the good and service. Operating since 1983, Bob and Pete’s 100% Yum is a family owned, authentic bakery wholesaler. Operating for 25 years, Simon Johnson is a wholesaler of luxury and high end foods, valuing the experience and quality of foods. Both in the food industry, the businesses respond to these influences through the variety of similar and different strategies. The operations process is influenced by technology, quality expectations and globalisation. Similarly, B&P and SJ respond to these influences by the strategies of using leading edge and established technology, inventory management quality management outsourcing and the design and development of new products. 2. Technology Technology is the design, construction and application of innovative devices, methods and machinery upon the operations process. If technology is responded to efficiently, businesses applying efficient strategies to improve efficiency and quality, as machines make manufacturing more accurate. SJ strategically use leading edge technology, which is the most advanced or innovative technology at any point in time. For example, SJ use new technologies of temperature controlled transportation in ships and trucks. Specifically important for their imported perishable goods such as ham and cheese to sustain quality but ensuring products are consistently at a temperature of -4 degrees Celsius; overall improving the operations process as quality, speed, dependability...
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...competitors in the minds of the customers. It also refers to the state or condition that make a business more successful than the businesses it is competing with, or a particular thing that makes it more successful such as having a higher sales through offering low or affordable goods and services. Most of the businesses operate in competitive markets: businesses have to take on and see of rivals or competitors.ALDI, a grocery discounter is one of these businesses or companies. ALDI uses a low cost strategy through providing good quality products at affordable prices. So, ALDI’s strategy certainly and absolutely leads to a competitive advantage for through a low cost strategy it can lead to a strong market share for the reason that the main target of most of the consumers are those products with high quality offered at low price. It can also stimulate a greater demand towards the consumers: the reason why most of the customers or consumers are attracted to it. In addition, despite the low cost that they are offering their customers or consumers, quality is still not compromised with the amount which attracts the customers the most. Another is that goods and services offered at low prices with high quality is seldom present within the market another reason why the said strategy used by ALDI to generate sales results to a competitive advantage over those competitors. ALDI Company achieves its low cost strategy by using various methods. The first method they took is by buying...
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...MANAGEMENT The role of operations managementThe creation of goods and the provision of services by businesses. The transformation of inputs into outputs or products to be sold. This involves: * planning activities * purchasing inputs * managing inventory * selecting and implementing manufacturing processes * Developing strategies to gain a sustainable competitive advantage. | The strategic role of managementA strategic decision is one that affects the business in the long term. The strategic goals areto improve: * productivity * efficiency * quality of outputsTherefore, all strategic decisions will focus on lower costs to an industry benchmark through efficiency and producing a good or service that is different to and competitive against rivals in the market. There are 3 types of strategies that are commonly used by businesses to gain and maintain a competitive advantage. These are: * cost leadership * product differentiation * market segmentationcost leadershipA cost leadership strategy is where a business aims to be the lowest cost manufacturer within its industry. The products are the basic, no-frills type with fewer features, perhaps lower quality and using low-cost packaging. Low costs can be achieved through: * economies of scale in production and distribution, * access to cheaper raw materials * exclusive access to a large source of low cost inputs * Distributing the product using dealers who work with lower profit margins.The issues...
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