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Total Quality Management (TQM)
The roots of Total Quality Management (TQM) go back to the
teachings of Drucker, Juran, Deming, Ishikawa, Crosby, Feigenbaum
and countless other people that have studied, practiced, and
tried to refine the process of organizational management.
TQM is a collection of principles, techniques, processes,
and best practices that over time have been proven effective.
Most all world-class organizations exhibit the majority of
behaviors that are typically identified with TQM.
No two organizations have the same TQM implementation. There
is no recipe for organization success, however, there are
a number of great TQM models that organizations can use. These
include the Deming Application Prize, the Malcolm Baldrige
Criteria for Performance Excellence, the European Foundation
for Quality Management, and the ISO quality management standards.
Any organization that wants to improve its performance would
be well served by selecting one of these models and conducting
a self-assessment.
The simplest model of TQM is shown in this diagram. The model
begins with understanding customer needs. TQM organizations
have processes that continuously collect, analyze, and act
on customer information. Activities are often extended to
understanding competitor's customers. Developing an intimate
understanding of customer needs allows TQM organizations to
predict future customer behavior.
TQM organizations integrate customer knowledge with other
information and use the planning process to orchestrate action
throughout the organization to manage day to day activities
and achieve future goals. Plans are reviewed at periodic intervals
and adjusted as necessary. The planning process is the glue
that holds together all TQM activity.
TQM organizations understand that customers will only be
satisfied if they consistently receive products and services
that meet their needs, are delivered when expected, and are
priced for value. TQM organizations use the techniques of
process management to develop cost-controlled processes that
are stable and capable of meeting customer expectations.
TQM organizations also understand that exceptional performance
today may be unacceptable performance in the future so they
use the concepts of process improvement to achieve both breakthrough
gains and incremental continuous improvement. Process improvement
is even applied to the TQM system itself!
The final element of the TQM model is total participation.
TQM organizations understand that all work is performed through
people. This begins with leadership. In TQM organizations,
top management takes personal responsibility for implementing,
nurturing, and refining all TQM activities. They make sure
people are properly trained, capable, and actively participate
in achieving organizational success. Management and employees
work together to create an empowered environment where people
are valued.
All of the TQM model's elements work together to achieve
results.
TQM Tools
Here follows a brief description of the basic set of Total
Quality Management tools. They are:
Pareto Principle
The Pareto principle suggests that most effects come from
relatively few causes. In quantitative terms: 80% of the
problems come from 20% of the causes (machines, raw materials,
operators etc.); 80% of the wealth is owned by 20% of the
people etc. Therefore effort aimed at the right 20% can solve
80% of the problems. Double (back to back) Pareto charts can
be used to compare 'before and after' situations. General use,
to decide where to apply initial effort for maximum effect.
Scatter Plots
A scatter plot is effectively a line graph with no line -
i.e. the point intersections between the two data sets are
plotted but no attempt is made to physically draw a line. The
Y axis is conventionally used for the characteristic whose
behaviour we would like to predict. Use, to define the area of
relationship between two variables.
Warning: There may appear to be a relationship on the plot
when in reality there is none, or both variables actually
relate independently to a third variable.
Control Charts
Control charts are a method of Statistical Process Control,
SPC. (Control system for production processes). They enable
the control of distribution of variation rather than
attempting to control each individual variation. Upper and
lower control and tolerance limits are calculated for a
process and sampled measures are regularly plotted about a
central line between the two sets of limits. The plotted line
corresponds to the stability/trend of the process. Action can
be taken based on trend rather than on individual variation.
This prevents over-correction/compensation for random
variation, which would lead to many rejects.
Flow Charts
Pictures, symbols or text coupled with lines, arrows on
lines show direction of flow. Enables modelling of processes;
problems/opportunities and decision points etc. Develops a
common understanding of a process by those involved. No
particular standardisation of symbology, so communication to a
different audience may require considerable time and
explanation.
Cause and Effect , Fishbone, Ishikawa
Diagram
The cause-and-effect diagram is a method for analysing
process dispersion. The diagram's purpose is to relate causes
and effects. Three basic types: Dispersion analysis, Process
classification and cause enumeration. Effect = problem to be
resolved, opportunity to be grasped, result to be achieved.
Excellent for capturing team brainstorming output and for
filling in from the 'wide picture'. Helps organise and relate
factors, providing a sequential view. Deals with time
direction but not quantity. Can become very complex. Can be
difficult to identify or demonstrate interrelationships.
Histogram or Bar Graph
A Histogram is a graphic summary of variation in a set of
data. It enables us to see patterns that are difficult to see
in a simple table of numbers. Can be analysed to draw
conclusions about the data set.
A histogram is a graph in which the continuous variable is
clustered into categories and the value of each cluster is
plotted to give a series of bars as above. The above example
reveals the skewed distribution of a set of product
measurements that remain nevertheless within specified limits.
Without using some form of graphic this kind of problem can be
difficult to analyse, recognise or identify.
Check Sheets
A Check Sheet is a data recording form that has been
designed to readily interpret results from the form itself. It
needs to be designed for the specific data it is to gather.
Used for the collection of quantitative or qualitative
repetitive data. Adaptable to different data gathering
situations. Minimal interpretation of results required. Easy
and quick to use. No control for various forms of bias -
exclusion, interaction, perception, operational, non-response,
estimation.
Check Lists
A Checklist contains items that are important or relevant
to a specific issue or situation. Checklists are used under
operational conditions to ensure that all important steps or
actions have been taken. Their primary purpose is for guiding
operations, not for collecting data. Generally used to check
that all aspects of a situation have been taken into account
before action or decision making. Simple, effective.
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