UCM18E06- TOTAL QUALITY

MANAGEMENT
UNIT – I
Introduction – Need for quality – Historical Development –
Definitions of quality – Dimensions of product and service
quality – Total quality Management – Meaning, Definition, Basic
concepts of TQM – TQM Framework –– Barriers to TQM .
 Meaning and Definition of TQM
• Total – Made up the whole
• Quality – Degree of excellence a product or
service.
• Management- act, art or manner of planning,
directing controlling.,,
TQM- is the art of managing the whole to
achieve excellence.
 Cont.,
• TQM is the integration of all functions and
processes within an organization in order to
achieve continuous improvement of
the quality of goods and services.
• The goal is customer satisfaction.
 Definition
• Total Quality Management is defined as a customer-oriented process and aims for

continuous improvement of business operations. It ensures that all allied works

(particularly work of employees) are toward the common goals of improving

product quality or service quality, (SERQUL Model) as well as enhancing the

production process or process of rendering of services. However, the emphasis is

put on fact-based decision making, with the use of performance metrics to

monitor progress.
 Principles of Total Quality Management
• Commitment from the management:
– Plan (drive, direct)
– Do (deploy, support, and participate)
– Check (review)
– Act (recognize, communicate, revise)
• Employee Empowerment
– Training
– Excellence team
– Measurement and recognition
– Suggestion scheme
• Continuous Improvement
– Systematic measurement
– Excellence teams
– Cross-functional process management
– Attain, maintain, improve standards
 Principles of Total Quality Management

• Customer Focus
– Partnership with Suppliers
– Service relationship with internal customers
– Customer-driven standards
– Never compromise quality
• Process Oriented
– Thinking about the process
– Handling of the process
– Processes which are result oriented
• Decision Making Based on Facts Only and Not on Opinions
– Integrated, strategic and systematic approach to ensure the entire
organization is aligned
– Communication must be open and at all levels of the organization.
 Benefits of Total Quality Management

The benefits arising from the implementation of a Total Quality

Management in an organization are:
-This will increase the awareness of quality culture within
the organization.
– A special emphasis on teamwork will be achieved.
– TQM will lead to a commitment towards continuous
improvement.
Essential requirements for successful implementation
of TQM

• Commitment
• Culture
• Continuous Improvement
• Customer Focus
• Control
• Planning Phase
• Doing Phase
• Checking Phase
• Acting Phase
 Need for Quality
Quality is important because: Quality can
reduce risk or incompatibility issues / increase
compliance, security, safety, productivity and
performance. Quality can increase customer
experience or customer satisfaction or Net
Promoter Score (NPS).
 Beliefs about Total Quality Management

• Satisfaction of the customer/owner is the measure of quality.

• Everyone is an owner.
• Continuous Quality improvement must be there.
• Analysis of the processes is the key to quality improvement.
• Constant TQM is not possible without consistent, active and
enabling leadership by managers at all levels.
• It is important to incessantly improve the quality of the
products and services which we are supposed to provide to
our customers/owners.
Dimensions of product and service
quality
• Garvin proposes eight critical dimensions or categories
of quality that can serve as a framework for strategic analysis:
• Performance,
• features,
• reliability,
• conformance,
• durability,
• serviceability,
• aesthetics, and
• perceived quality.
 Five dimensions
• Suskie describes accreditation and accountability as consisting
of five dimensions or cultures:
• relevance,
• community,
• focus and aspiration,
• evidence, and
• betterment.
 Basic Concept of TQM 
• Customers-orientation (both internal and external),
• Never-ending improvement,
• Statistical control of business processes,
• Upstream preventive maintenance,
• Participative management,
• On going preventive action,
• Cross-functional management and
• Committed leadership and commitment.
 Advantages of quality
management systems
• Greater efficiency and less waste.
• Better and consistent control of major
business processes.
• A better understanding of customer needs.
• Regulation of successful working practices.
• Improved risk management.
• Increased customer satisfaction.
• Improved participation of employees.
• Better internal communication.
 UNIT - II

Leadership – Strategic quality planning, Quality

Councils – Employee involvement – Motivation,
Empowerment, Teamwork, Quality circles
Recognition and Reward, Performance appraisal
– Continuous process improvement – Plan, Do,
Check, Act (PDCA) cycle, 5s.(Sort, set in order,
Shine, standardize and Sustain).
 leadership
• Leaders provide a unity of purpose, while also
establishing the direction of the organization.
• The role of leadership in quality
management forms the backbone of any
improvement strategy. 
• As such, the responsibility of leaders consists
of creating and maintaining the internal
environment.
 Tips to Improve Quality Management Leadership
• Be proactive and lead through example
• Understand and react to fluctuations in the external environment 
• Consider the wants of ALL stake holders
• Establish a clear view of the organization's prospects
• Establish common values and ethical role models throughout the
organization
• Develop trust and eradicate fear
• Equip employees with the needed resources and freedom to strive
for duty and accountability 
• Inspire, motivate and recognize contributions
• Foster open and honest communication
• Teach, train and coach employees
• Develop challenging objectives and targets
 Strategic quality planning
• Strategic quality planning is a systematic
approach to quality assurance and
improvement plans at the top levels of an
organization and linking them with
business strategy. ... (WPM)
• Today, strategic quality planning is not through
of as a separate process, but as an integral
component of strategic business planning.
 seven steps to strategic Quality
Planning
• Discover customer needs.
• Customer positioning.
• Predict the future.
• Gap analysis.
• Closing the gap.
• Alignment.
• Implementation.
 Four stages of quality management?

• The four main components of a quality

management process are
• Quality Planning,
• Quality Assurance,
• Quality Control and
• Continuous Improvement.
 Motivation-involvement
• At the heart of the TQM is the concept of
intrinsic motivation-involvement in decision
making by the employees. 
• Employee involvement is a process for
empowering members of an organization to
make decisions and to solve problems
appropriate to their levels in the organization.
 What is meant by employee
involvement
• The direct participation of staff to help an
organization fulfill its mission and meet its
objectives by applying their own ideas,
expertise, and efforts towards solving
problems and making decisions.
 The benefits of employee
involvement
• You have more motivated employees.
• You retain and attract talent because of your
employee-centric culture.
• You manage change better and welcome it.
• Your employees care more about attaining
business goals.
• You nurture a learning environment.
 employee involvement and
participation
• Employee involvement refers to the
opportunities for employees to take part in
decisions that affect their work, either in their
immediate job (task discretion) or in relation
to wider company issues
(organizational participation)
 Empowerment
• Empowerment improves employee commitm
ent, creativity, productivity, satisfaction
and motivation. ... Appreciation, meaningful
work, a happy and flexible work environment
and a feeling of personal achievement are
powerful motivators. 
• Empowerment is a factor that enables better
performance through these mechanisms.
How does empowerment increase
motivation
• According to the Harvard Business Review,
“when employees feel empowered at work,
it's associated with stronger job performance,
job satisfaction and commitment to the
organization". Broadly speaking, when
employees feel empowered at work, they are
more willing to: Go the extra mile to reach the
company's goals.
Can empowerment lead to greater
job satisfaction?
• Empowerment leads employees to create a
sense of independence, taking ownership of
their work and feeling pride when goals are
met. This leads to job satisfaction and loyalty
 How do you increase employee
motivation?
• Recognize great work. One of the most important factors that
contribute to employee motivation is how often their hard
work is recognized. ...
• Set small, measurable goals. ...
• Celebrate results. ...
• Stay positive. ...
• Stay fueled. ...
• Take regular breaks. ...
• Stay healthy. ...
• See and share the big picture.
 Types of Empowerment
• social,
• educational,
• economic,
• political and
• psychological.
 Teamwork
• Teamwork helps solve problems.
Collaboration within a group can help solve
difficult problems. Brainstorming is a good
opportunity for the team to exchange ideas
and come up with creative ways of doing
things.
 What makes for good teamwork
• A combination of solid leadership,
communication, and access to good resources
contribute to productive collaboration, but it
all comes down to having people who
understand each other and work well
together. Not every team needs that one
superstar player to excel.
 Quality circle
• a group of employees who meet regularly to
consider ways of resolving problems and
improving production in their organization.
 Quality circles in business
• Quality circles are small groups of workers of
different levels in the firm who come together
to discuss and solve problems in
production. ... Employees involved in quality
circles may become more motivated as they
feel valued within the company.
 Reward
Reward is a tangible one, such as increased
salaries, commissions, cash bonus, gain sharing,
etc; to promote desirable behavior.
Intrinsic rewards are related to feelings of
accomplishment of self-worth. 1. Non-monetary
forms of recognition to acknowledge
achievement of quality improvement goals.
 rewards and recognition
• Companies use rewards and recognition to
motivate employees and demonstrate that
they are appreciated.
Often, rewards and recognition take the form
of extra compensation for employees who
carry out the activities in their role description
and meet their objectives.
 Types of Employee Recognition
and Rewards
• Bonuses. There are many types of bonuses, ranging from small
to large.
• Written praise. Writing thank-you notes can not only show
appreciation, but is tangible proof of an employee's
contributions.
• Verbal praise.
• Employee's first day.
• Birthdays.
• Employee Appreciation Day.
• Work anniversaries.
• Project completion.
 Why reward and recognition is
important?
• Employee reward and recognition has been
proven to improve organisational values,
enhance team efforts, increase customer
satisfaction and motivate certain behaviours
amongst members of staff. ... This will ensure
that the lines are not blurred when it comes
to recognising and rewarding outstanding
work and performance.
 What is the purpose of
recognition?
• Recognition helps employees see that their
company values them and their contributions
to the success of their team and the company
overall. This is particularly key when
organizations grow or change. It helps
employees build a sense of security in their
value to the company, motivating them to
continue great work.
What is performance appraisal and
its methods
• A performance appraisal is the periodic assessment
of an employee's job performance as measured by
the competency expectations set out by the
organization.
• The performance assessment often includes both
the core competencies required by the organization
and also the competencies specific to
the employee's job.
 Performance appraisal
• A performance appraisal is a regular review of
an employee's job performance and overall
contribution to a company. Also known as an
annual review, performance review or
evaluation, or employee appraisal,
a performance appraisal evaluates an
employee's skills, achievements, and growth--
or lack thereof.
 Types of performance appraisal
• Management by Objectives (MBO) ...
• 360-Degree Feedback. ...
• Assessment Centre Method. ...
• Behaviorally Anchored Rating Scale (BARS) ...
• Psychological Appraisals. ...
• Human-Resource (Cost) Accounting Method.
What are the types of performance
• 1 – Self-assessment. .
• 2 – Team assessment.
• 3 – Graphic rating scale.
• 4 – 360 degree rating.
• 5 – Forced Choice.
• 6 – Skill Evaluation.
• 7 – Goals and Results.
• 8 – Leader Assessment.
 Continuous process improvement
• The Continual Improvement Process (CIP) is
an ongoing effort to improve products,
services, or processes. It's is a six step
systematic approach to plan, sequence and
implement improvement efforts using data
and elaborates on the Shewhart Cycle (Plan,
Act, Do, Study)
 Five examples of continuous
process improvement
• Ideation and Think Tanks: Initiating regular
think tanks and ideation sessions can benefit
your organization.
• Surveys and Polls
• Monthly Training
• Time Audits
• Catchball
 What is continuous improvement
in the workplace
• A continuous improvement strategy is any policy
or process within a workplace that helps keep the
focus on improving the way things are done on a
regular basis. This could be through regular
incremental improvements or by focusing on
achieving larger process improvements.
 PDCA
• The Deming Cycle, or PDCA Cycle (also known
as PDSA Cycle), is a continuous quality
improvement model consisting out of a logical
sequence of four repetitive steps for
continuous improvement and learning: Plan,
Do, Check (Study) and Act. ... The late Total
Quality Management (TQM) guru and
renowned statistician Edward W.
 PDCA Cycle
.
 What is PDCA principle?
• PDCA (Plan-Do-Check-Act) is an iterative, four-
stage approach for continually improving
processes, products or services, and for
resolving problems. It involves systematically
testing possible solutions, assessing the
results, and implementing the ones that have
shown to work.
 What is PDSA cycle in quality
improvement
• The Plan-Do-Study-Act (PDSA) cycle is
shorthand for testing a change — by planning
it, trying it, observing the results, and acting
on what is learned. This is the scientific
method, used for action-oriented learning.
 5S stands

• 5S stands for the 5 steps of this methodology:

Sort, Set in Order, Shine, Standardize, Sustain.
These steps involve going through everything
in a space, deciding what's necessary and
what isn't, putting things in order, cleaning,
and setting up procedures for performing
these tasks on a regular basis.
 5s of TQM

• They are sort, set, shine, standardize and sustain.

• Lean bases the words on the original

Japanese: seiri, seiton, seiso, seiketsu and shitsuke.
 5S

• 5S stands for the 5 steps of this methodology:

Sort, Set in Order, Shine, Standardize, Sustain.
These steps involve going through everything
in a space, deciding what's necessary and
what isn't, putting things in order, cleaning,
and setting up procedures for performing
these tasks on a regular basis.
 UNIT - III
The seven traditional tools of quality – New management tools –
Six sigma: Concepts, Methodology, applications to
manufacturing, service sector including IT – Bench marking –
Reason to bench mark, Bench marking process – FMEA – Stages,
Types.
 Seven traditional tools of quality
• Stratification.
• Check Sheet.
• Control Chart.
• Pareto Chart.
• Cause & Effect Diagram.
• Histogram.
• Scatter Diagram.
 New Management Tools
• Affinity Diagram [KJ method]
• Interrelationship diagram.
• Tree diagram.
• Prioritization matrix.
• Matrix diagram or quality table.
• Process decision program chart.
• Activity network diagram.
 Six Sigma
• Six Sigma is a quality-control methodology
developed in 1986 by Motorola, Inc. The
method uses a data-driven review to limit
mistakes or defects in a corporate or business
process. ... Six Sigma points to the fact that,
mathematically, it would take a six-standard-
deviation event from the mean for an error to
happen.
 Six Sigma Principles
• Work for the customer. The primary goal of
any change you want to implement should be
to deliver maximum benefit to the customer.
Find your problem and focus on it. ...
• Remove variation and bottlenecks. ...
• Communicate clearly and train team
members. ...
• Be flexible and responsive.
What is Six Sigma and how does it
work?
• Six Sigma aims to improve quality by finding
defects, determining their cause, and
improving processes to increase the
repeatability and accuracy of process results.
“Six Sigma is a methodology and set of tools
that help us measure what we do and then
improve what we do.
 What is an example of Six Sigma?
• There are several areas in which Lean Six
Sigma can be applied to manufacturing
operations. Some examples are: a) Reduce
quality defects (scrap/rework) in
manufacturing processes. z) Improve related
transactional processes: accounting, human
resources, purchasing etc
 What are 6 Sigma tools?
• Six Sigma tools are defined as the problem-
solving tools used to support Six Sigma and
other process improvement efforts. The Six
Sigma expert uses qualitative and quantitative
techniques to drive process improvement.
 Six Sigma tools
• Standard Work. Standard work is the documentation of the
best practices for any process or task at that given
moment. ...
• 5S Workplace Organization. ...
• Control Charts. ...
• Gemba Walks. ...
• Hoshin Kanri. ...
• Kanban. ...
• Problem Solving and Improvement. ...
• A3 Problem Solving.
 Benchmarking
• Benchmarking is the process of comparing the
cost, cycle time, productivity, or quality of a
specific process or method to another that is
widely considered to be an industry standard
or best practice. ...
• The term benchmarking was first used by
cobblers to measure ones feet for shoes.
 Benchmarking in TQM
•   Benchmarking is defined as the process of
measuring products, services, and processes
against those of organizations known to be
leaders in one or more aspects of their
operations.
 What are the four types of
benchmarking?
• There are four main types of benchmarking:
internal, external, performance, and practice.
 What is the concept of
benchmarking?
• Benchmarking is a process of measuring the
performance of a company's products,
services, or processes against those of
another business considered to be the best in
the industry, aka “best in class.” The point
of benchmarking is to identify internal
opportunities for improvement
Benchmarking Process
Failure Modes and Effects Analysis (FMEA)

• Failure Modes and Effects Analysis (FMEA) is a

systematic, proactive method for evaluating a
process to identify where and how it might fail
and to assess the relative impact of different
failures, in order to identify the parts of the
process that are most in need of change.
 What is FMEA in TQM?
• Failure Mode and Effects Analysis, or FMEA, is
a methodology aimed at allowing
organizations to anticipate failure during the
design stage by identifying all of the possible
failures in a design or manufacturing process.
• Developed in the 1950s, FMEA was one of the
earliest structured reliability improvement
methods.
 Is FMEA a quality tool?
• FMEA — failure mode and effects analysis —
is a tool for identifying potential problems and
their impact. Problems and defects are
expensive. Customers understandably place
high expectations on manufacturers and
service providers to deliver quality and
reliability.
 The primary types of
FMEAs include:
• System / Functional FMEAs.
• Design FMEAs.
• Process FMEAs.
• Service FMEAs.
• Software FMEAs.
• Manufacturing FMEAs.
Types of FMEA
Here's an overview of the 10 steps to a Process FMEA.

• STEP 1: Review the process. ...

• STEP 2: Brainstorm potential failure modes. ...
• STEP 3: List potential effects of each failure. ...
• STEP 4: Assign Severity rankings. ...
• STEP 5: Assign Occurrence rankings. ...
• STEP 6: Assign Detection rankings. ...
• STEP 7: Calculate the RPN.
• STEP 8:  Develop the action plan
• STEP 9:  Take action
• STEP 10:  Calculate the resulting RPN
 UNIT - IV

Quality Function Development (QFD) – Taguchi quality

loss function – TPM – Concepts, improvement needs –
Performance measures.
What is meant by Quality Function
Deployment?
• Quality Function Deployment, or QFD, is a
model for product development and
production popularized in Japan in the 1960's.
The model aids in translating customer needs
and expectations into technical requirements
by listening to the voice of customer.
 What is Quality Function Deployment and why is it
important?

• Quality Function Deployment provides

documentation for the decision-making
process. 
• QFD helps to translate customer requirements
into specific offering specifications. Prioritize
possible offering specifications and make trade-
off decisions based on weighted customer
requirements and ranked competitive
assessment.
 What is Quality Function
Deployment in TQM?
• Quality function deployment (QFD) provides
a systematic process for integrating TQM into
new product development activities. 
• QFD combines various design engineering and
managerial tools to create a customer‐
oriented approach to developing new
products.
Major Benefits of Quality Function
Deployment (QFD)
• A systematic way of obtaining information and
presenting it.
• Shorter product development cycle.
• Considerably reduced start-up costs.
• Fewer engineering changes.
• Reduced chance of overnights during design process.
• An environment of team work.
• Consensus decision.
• Everything is preserved in writing.
 Performance Measures
• The five performance measures considered
the most appropriate in TQM environment
are: overall customer satisfaction, number of
complaints, percentage of on‐time delivery,
and average time for complaint resolution and
employee satisfaction.
 Performance measurement
• Performance measurement is the process of
collecting, analyzing and/or reporting
information regarding the performance of an
individual, group, organization, system or
component.
• Definitions of performance measurement tend
to be predicated upon an assumption about
why the performance is being measured.
 What are good performance
measures?
• A good performance measurement system
uses measures over which a manager has
control, provides timely and consistent
feedback, compares
the measures to standards of some form, has
both short- and long-term measures, and puts
the goals of the business and the individual on
an equal level.
 What are the different types of
performance measures?
• Money spent on equipment.
• Number of employee hours worked.
• Number of vehicles.
• Facility costs.
• Total operating expenditures.
• Rental fees.
• Number of full-time employees.
A good performance measurement system should have
the following characteristics

• It should be based on activities over which managers have

control or influence.
• It should be measurable.
• It should be timely.
• It should be consistent in its application.
• When appropriate, the actual results should be compared
with the budgeted results, standards, or past performance.
• The measurements must not favor the manager over the goals
of the entire organization. Often, managers have the ability to
make decisions that favor their individual units but that may
be detrimental to the overall performance of the organization.
 Taguchi quality loss function
• The quality loss function as defined
by Taguchi is the loss imparted to the society
by the product from the time the product is
designed to the time it is shipped to the
customer. In fact, he defined quality as the
conformity around a target value with a lower
standard deviation in the outputs.
How does Taguchi use quality loss
function in industry?
• The Taguchi loss function is graphical
depiction of loss developed by the Japanese
business statistician Genichi Taguchi to
describe a phenomenon affecting the value of
products produced by a company. ... This
means that if the product dimension goes out
of the tolerance limit the quality of the
product drops suddenly.
 How is Taguchi loss function
calculated?
• C = Cost of the deviation in the limit of the
specification (Loss for a unit produced in the
specification limit).
• LES = Upper specification limit.
• L(x)= Quality loss function.
• x = Value of the quality characteristic
(observed).
Formula
 UNIT - V

Need for ISO 9000 – ISO 9001-2008 Quality

System – Elements, Documentation, Quality
Auditing – QS 9000 – ISO 14000 – Concepts,
Requirements and Benefits – TQM
Implementation in manufacturing and service
sectors.
 ISO
• 'International Organization for
Standardization' would have different
acronyms in different languages (IOS in
English, OIN in French for Organisation
internationale de normalisation), our founders
decided to give it the short form ISO. ISO is
derived from the Greek 'isos', meaning equal.
What is an ISO certified company?
• ISO certification ensures that an organization
runs its business using international standards
for products, services and processes. These
can include business management,
environmental policies, or they can be
standards that were developed by the ISO for
specific business sectors.
 Who gives ISO certification?
• Ministry of MSME . The Ministry of MSME has
adopted Quality Management System
(QMS, ISO 9001:2015) for its operations in
Udyog Bhawan, New Delhi as per the
directives of Cabinet Secretariat.
 Why is ISO important?
• ISO 9001 certification outlines
the importance of high-quality goods and
services. ... The ISO certificate helps to
improve your business credibility and
authority as well as the overall efficiency of
the business. When your organization
is ISO certified, it has so many benefits to
include with.
 What is ISO and its benefits?
• Achieving an ISO quality management
certification can pay huge dividends for your
business in improved efficiency, productivity
and customer satisfaction. But
the benefits of ISO go far beyond your
operations to every aspect of the business,
including sales and marketing, strategic
planning and employee engagement.
• The goal of ISO 9000 is to embed a quality
management system within an organization,
increasing productivity, reducing unnecessary
costs, and ensuring quality of processes and
products. ISO 9001 is applicable to businesses
and organizations from every sector.
 QS 9000 – ISO 14000 – Concepts,
Requirements and Benefits
• https://www.slideshare.net/knp_slidess/iso-
9001-2008-qms-awareness