Quality Management 2v643
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Quality Management, 6th ed. Goetsch and Davis
1
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Quality Management for Organizational Excellence Lecture/Presentation Notes By: Dr. David L. Goetsch and Stanley Davis Based on the book Quality Management for Organizational Excellence (Sixth Edition)
Quality Management, 6th ed. Goetsch and Davis
2
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
MAJOR TOPICS What is Quality? The Total Quality Approach Defined Two Views of Quality Key Elements of Total Quality Total Quality Pioneers Keys to Total Quality Success
Quality Management, 6th ed. Goetsch and Davis
The Future of Quality Management in 21st Century 3
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Quality Fred smith: performance to the standard expected by the customer
Boeing:providing our customer with product and service that consistently meet thier needs and expectations
The US department of defense :doning the right thing right the first time ,always striving for improvment ,and always satisfaying the customer. Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc.
Quality is a dynamic state associated with product , services ,people, processses, and environments that meet Customer needs and expectations and help produce superior value
Quality Management, 6th ed. Goetsch and Davis
5
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
1
• Quality appllies to products, services,people, processses, and environments.
2
• Quality is an ever changing state.
3
• Quality must give superior value to the customer (superior value has 3 elements: superior Quality , superior cost, superior service)
Quality Management, 6th ed. Goetsch and Davis
6
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
The Total Quality Approach Defined Total quality is an approach to doing business that attempts to maximize an organization’s competitiveness through the continual improvement of the quality of its products, services, people, processes, and environments
These elements distiguish TQ approach from traditional ways of business.
Quality Management, 6th ed. Goetsch and Davis
7
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Stategically based1. Employee involvment and empowerment
Customer focus
Obsession with quality
Unity of purpose
Freedom through control
characteristics of the TQ approach
Education and training
Long term commitment
Continual process improvment Quality Management, 6th ed. Goetsch and Davis
Scientific approach to DM and problem solving
Teamwork
8
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Three legged stool of TQ
Quality Management, 6th ed. Goetsch and Davis
9
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
The Total Quality Approach to Quality Management (Continued) The rationale for total quality can be found in the need to compete in the global marketplace. Countries that are competing successfully in the global marketplace are seeing their quality of living improve. Those that cannot are seeing theirs decline.
Quality Management, 6th ed. Goetsch and Davis
10
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Two views of Quality Traditional view of Quality Measure process performance in defective parts per hundred of products( acceptable benchmark) Focused on after the fact
Employees are ive
Expected one improvement per employee per year Focus on short time profit Productivity and Quality are always in conflict Customer satisfaction Quality Management, 6th ed. Goetsch and Davis
Quality is inspected into product
Total Quality
Measure process performance in defective parts per million of products( high perf 31 ormance benchmark) Continual improvement of product ,process and people in order to prevent the problems before they occurs Employees are empowered to think and make decisions‐ % 85of problems are manegment’s fault) Expected at least 10 improvement per employee per year Focus on long time profit Productivity made as aresult of Quality improvement Satisfying customer need and exceed expectation © 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
11Quality is determined
by product ,prosess and
Key elements of TQ 1.
One
Two
.Stategically based • TQ organazations have stratigic plan that contain: vision , mission,objectives, activites • The stratigic plan desiged to give it sustanable competative advantege in the marketplace.
2. Customer focus • Customer is the driver internally and externally • internally- Customer is defined the quality of product • Externally- Customer is defined the quality of people,process and environmen.
Quality Management, 6th ed. Goetsch and Davis
12
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Three
Four
Quality Management, 6th ed. Goetsch and Davis
3. Obsession with quality • Becouse Customer is the driver the organazation become obsessed with meeting or excedding his expectation
4. Scientific approach • Employees are empowered • Scientific approach used in structuring work and DM and problem solving
13
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Five
Six
Quality Management, 6th ed. Goetsch and Davis
long term commitment • Organization fail if implement quality after short time seminar.
Teamwork • The best compatative effort are within department
14
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Seven
Eight
Quality Management, 6th ed. Goetsch and Davis
Continual process improvment • To improve quality , we must improve the system
Education and training • Needed to improve people continually
15
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Key elements of TQ
Nine
Freedom through control • Need to empower people • Detractors see employee involvement as loss of management control
Ten
Unity of purpose • Historically management and labor are adversare . • To apply TQ they must be have unity of perpose • Now ,labor are important in wages, benefits ……..
Quality Management, 6th ed. Goetsch and Davis
16
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Key elements of TQ Employee involvement and empowerment Eleven
1. Increase likehood of good decision 2. Promote ownership of decision
Quality Management, 6th ed. Goetsch and Davis
17
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
The Total Quality Pioneers W. Edward Deming is best known for his Fourteen Points, the Deming Cycle, and the Seven Deadly Diseases. Joseph M. Juran is best known for Juran’s Three Basic Steps to Progress, Juran’s Ten Steps to Quality Improvement, the Pareto Principle, and the Juran Trilogy. Philip B. Crosby Armand V. Feigenbaum Other Japanese experts Quality Management, 6th ed. Goetsch and Davis
18
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
W. Edward Deming Contribution •
Poor family
•
Working as janitor
•
Earned Bsc in engineer , master and PhD Physics
•
The man who discover quality
•
1940 Japan (Toshiba company) accept deming’s view
•
1980 U.S
Quality Management, 6th ed. Goetsch and Davis
19
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
The Deming Cycle
Quality Management, 6th ed. Goetsch and Davis
20
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
The Deming 14 Points
Quality Management, 6th ed. Goetsch and Davis
21
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
The Deming 14 Points 1. Constancy of purpose: 2. The new philosophy:leadership 3. Cease dependence on mass inspection: 4. End lowest tender contracts: 5. Improve every process: 6. Institute training on the job: 7. Institute leadership of people: 8. Drive out fear: 9. Break down barriers: 10. Eliminate slogan: 11. Eliminate arbitrary numerical targets: 12. Permit pride of workmanship: Remove the obstacles 13. Encourage education: 14. Top management commitment and action: Quality Management, 6th ed. Goetsch and Davis
22
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
The Deming 7 Deadly Disease
Quality Management, 6th ed. Goetsch and Davis
23
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Joseph M. Juran Contribution Juran’s Three Basic Steps to Progress, Juran ‘s Ten Steps to Quality Improvement, the Pareto Principle,
Juran Trilogy
Quality Management, 6th ed. Goetsch and Davis
24
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Juran’s Three Basic Steps to Progress,
Quality Management, 6th Goetsch and Davis
Improve structure Training program ed. Commitment and 25leadership
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Juran ‘s Ten Steps to Quality Improvement,
Quality Management, 6th ed. Goetsch and Davis
26
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
the Pareto Principle,
Organization put their energy to elimenate source of problems
Juran and Deming believe that problems come from management Quality Management, 6th ed. Goetsch and Davis
27
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Juran Trilogy
Quality Improvement
Quality Planning Quality Control
Quality Management, 6th ed. Goetsch and Davis
28
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Crosby’s contribution Crosby define Q as conformance
•
He advocate zero defect management
•
Determination
Quality Management, 6th ed. Goetsch and Davis
Education
29
Implementation
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Crosby’s 14 steps to Quality improvement
Quality Management, 6th ed. Goetsch and Davis
30
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
1. 2. 3. 4. 5.
Common errors made when starting quality initiatives include: senior management delegation and poor leadership team mania the deployment process a narrow, dogmatic approach confusion about the differences among education, awareness, inspiration, and skill building.
Quality Management, 6th ed. Goetsch and Davis
31
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
The Future Of Quality Management in the 21st Century
Trends affecting the future of quality management include: 1.
increasing global competition
2.
increasing customer expectations
3.
opposing economic pressures
4.
new approaches to management.
Quality Management, 6th ed. Goetsch and Davis
32
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Quality Management characteristics for the future 1.
Total commitment
2.
Market driven
3.
Commitment to leading people
4.
Four objectives:1.customer satisfaction 2.cost leadership 3.Effective HR 4.integration with the supplier base.
5.
Fundamental improvement
Quality Management, 6th ed. Goetsch and Davis
33
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Obstacles to the success of TQ One Two Three
Four Fo
• Inadequate HR development • Lack of planning for Q • Lack of leadership for Q • Inadequate resources for Q
Five • Lack of customer focus of Q Quality Management, 6th ed. Goetsch and Davis
34
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
1
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Quality Management for Organizational Excellence Lecture/Presentation Notes By: Dr. David L. Goetsch and Stanley Davis Based on the book Quality Management for Organizational Excellence (Sixth Edition)
Quality Management, 6th ed. Goetsch and Davis
2
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
MAJOR TOPICS What is Quality? The Total Quality Approach Defined Two Views of Quality Key Elements of Total Quality Total Quality Pioneers Keys to Total Quality Success
Quality Management, 6th ed. Goetsch and Davis
The Future of Quality Management in 21st Century 3
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Quality Fred smith: performance to the standard expected by the customer
Boeing:providing our customer with product and service that consistently meet thier needs and expectations
The US department of defense :doning the right thing right the first time ,always striving for improvment ,and always satisfaying the customer. Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc.
Quality is a dynamic state associated with product , services ,people, processses, and environments that meet Customer needs and expectations and help produce superior value
Quality Management, 6th ed. Goetsch and Davis
5
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
1
• Quality appllies to products, services,people, processses, and environments.
2
• Quality is an ever changing state.
3
• Quality must give superior value to the customer (superior value has 3 elements: superior Quality , superior cost, superior service)
Quality Management, 6th ed. Goetsch and Davis
6
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
The Total Quality Approach Defined Total quality is an approach to doing business that attempts to maximize an organization’s competitiveness through the continual improvement of the quality of its products, services, people, processes, and environments
These elements distiguish TQ approach from traditional ways of business.
Quality Management, 6th ed. Goetsch and Davis
7
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Stategically based1. Employee involvment and empowerment
Customer focus
Obsession with quality
Unity of purpose
Freedom through control
characteristics of the TQ approach
Education and training
Long term commitment
Continual process improvment Quality Management, 6th ed. Goetsch and Davis
Scientific approach to DM and problem solving
Teamwork
8
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Three legged stool of TQ
Quality Management, 6th ed. Goetsch and Davis
9
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
The Total Quality Approach to Quality Management (Continued) The rationale for total quality can be found in the need to compete in the global marketplace. Countries that are competing successfully in the global marketplace are seeing their quality of living improve. Those that cannot are seeing theirs decline.
Quality Management, 6th ed. Goetsch and Davis
10
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Two views of Quality Traditional view of Quality Measure process performance in defective parts per hundred of products( acceptable benchmark) Focused on after the fact
Employees are ive
Expected one improvement per employee per year Focus on short time profit Productivity and Quality are always in conflict Customer satisfaction Quality Management, 6th ed. Goetsch and Davis
Quality is inspected into product
Total Quality
Measure process performance in defective parts per million of products( high perf 31 ormance benchmark) Continual improvement of product ,process and people in order to prevent the problems before they occurs Employees are empowered to think and make decisions‐ % 85of problems are manegment’s fault) Expected at least 10 improvement per employee per year Focus on long time profit Productivity made as aresult of Quality improvement Satisfying customer need and exceed expectation © 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
11Quality is determined
by product ,prosess and
Key elements of TQ 1.
One
Two
.Stategically based • TQ organazations have stratigic plan that contain: vision , mission,objectives, activites • The stratigic plan desiged to give it sustanable competative advantege in the marketplace.
2. Customer focus • Customer is the driver internally and externally • internally- Customer is defined the quality of product • Externally- Customer is defined the quality of people,process and environmen.
Quality Management, 6th ed. Goetsch and Davis
12
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Three
Four
Quality Management, 6th ed. Goetsch and Davis
3. Obsession with quality • Becouse Customer is the driver the organazation become obsessed with meeting or excedding his expectation
4. Scientific approach • Employees are empowered • Scientific approach used in structuring work and DM and problem solving
13
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Five
Six
Quality Management, 6th ed. Goetsch and Davis
long term commitment • Organization fail if implement quality after short time seminar.
Teamwork • The best compatative effort are within department
14
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Seven
Eight
Quality Management, 6th ed. Goetsch and Davis
Continual process improvment • To improve quality , we must improve the system
Education and training • Needed to improve people continually
15
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Key elements of TQ
Nine
Freedom through control • Need to empower people • Detractors see employee involvement as loss of management control
Ten
Unity of purpose • Historically management and labor are adversare . • To apply TQ they must be have unity of perpose • Now ,labor are important in wages, benefits ……..
Quality Management, 6th ed. Goetsch and Davis
16
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Key elements of TQ Employee involvement and empowerment Eleven
1. Increase likehood of good decision 2. Promote ownership of decision
Quality Management, 6th ed. Goetsch and Davis
17
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
The Total Quality Pioneers W. Edward Deming is best known for his Fourteen Points, the Deming Cycle, and the Seven Deadly Diseases. Joseph M. Juran is best known for Juran’s Three Basic Steps to Progress, Juran’s Ten Steps to Quality Improvement, the Pareto Principle, and the Juran Trilogy. Philip B. Crosby Armand V. Feigenbaum Other Japanese experts Quality Management, 6th ed. Goetsch and Davis
18
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
W. Edward Deming Contribution •
Poor family
•
Working as janitor
•
Earned Bsc in engineer , master and PhD Physics
•
The man who discover quality
•
1940 Japan (Toshiba company) accept deming’s view
•
1980 U.S
Quality Management, 6th ed. Goetsch and Davis
19
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
The Deming Cycle
Quality Management, 6th ed. Goetsch and Davis
20
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
The Deming 14 Points
Quality Management, 6th ed. Goetsch and Davis
21
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
The Deming 14 Points 1. Constancy of purpose: 2. The new philosophy:leadership 3. Cease dependence on mass inspection: 4. End lowest tender contracts: 5. Improve every process: 6. Institute training on the job: 7. Institute leadership of people: 8. Drive out fear: 9. Break down barriers: 10. Eliminate slogan: 11. Eliminate arbitrary numerical targets: 12. Permit pride of workmanship: Remove the obstacles 13. Encourage education: 14. Top management commitment and action: Quality Management, 6th ed. Goetsch and Davis
22
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
The Deming 7 Deadly Disease
Quality Management, 6th ed. Goetsch and Davis
23
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Joseph M. Juran Contribution Juran’s Three Basic Steps to Progress, Juran ‘s Ten Steps to Quality Improvement, the Pareto Principle,
Juran Trilogy
Quality Management, 6th ed. Goetsch and Davis
24
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Juran’s Three Basic Steps to Progress,
Quality Management, 6th Goetsch and Davis
Improve structure Training program ed. Commitment and 25leadership
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Juran ‘s Ten Steps to Quality Improvement,
Quality Management, 6th ed. Goetsch and Davis
26
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
the Pareto Principle,
Organization put their energy to elimenate source of problems
Juran and Deming believe that problems come from management Quality Management, 6th ed. Goetsch and Davis
27
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Juran Trilogy
Quality Improvement
Quality Planning Quality Control
Quality Management, 6th ed. Goetsch and Davis
28
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Crosby’s contribution Crosby define Q as conformance
•
He advocate zero defect management
•
Determination
Quality Management, 6th ed. Goetsch and Davis
Education
29
Implementation
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Crosby’s 14 steps to Quality improvement
Quality Management, 6th ed. Goetsch and Davis
30
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
1. 2. 3. 4. 5.
Common errors made when starting quality initiatives include: senior management delegation and poor leadership team mania the deployment process a narrow, dogmatic approach confusion about the differences among education, awareness, inspiration, and skill building.
Quality Management, 6th ed. Goetsch and Davis
31
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
The Future Of Quality Management in the 21st Century
Trends affecting the future of quality management include: 1.
increasing global competition
2.
increasing customer expectations
3.
opposing economic pressures
4.
new approaches to management.
Quality Management, 6th ed. Goetsch and Davis
32
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Quality Management characteristics for the future 1.
Total commitment
2.
Market driven
3.
Commitment to leading people
4.
Four objectives:1.customer satisfaction 2.cost leadership 3.Effective HR 4.integration with the supplier base.
5.
Fundamental improvement
Quality Management, 6th ed. Goetsch and Davis
33
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
Obstacles to the success of TQ One Two Three
Four Fo
• Inadequate HR development • Lack of planning for Q • Lack of leadership for Q • Inadequate resources for Q
Five • Lack of customer focus of Q Quality Management, 6th ed. Goetsch and Davis
34
© 2010 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
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