TQM

1. TQM UNIT IV

2. Introduction • Total – Made up of the whole(or) Complete. • Quality – Degree of Excellence a product or service provides • Management– Act ,art or manner of handling, controlling, directing, etc. TQM is the art of managing the whole to achieve excellence.

3. Evolution of quality Era Evolution TQM TQC &CWQC TQC SQC Inspection Foreman Craftsman Years 1900 1920 1940 1960 1980 1990 2000

4. Basic Approach Requires six basic concepts: • A committed and involved management to provide long-term top - to - bottom organizational support. • An unwavering focus on the customer, both internally and externally. • Effective involvement and utilization of the entire work force.

5. Basic Approach • Continuous improvement of the business and production process. • Treating supplier as partners. • Establish performance measures for the processes.

6. Companies implemented TQM • TVS Group. • Boeing Aircraft • Reliance • Tata L & T HMT • ITI

7. Guru’s of TQM • Walter. A. Shewhart - TQC & PDSA • W. Edwards Deming - 14 Points & PDCA • Joseph. M. Juran - Juran’s Trilogy • A. Feiganbaum - Customer requirement, CWQC, Employee Involvement, TQC.

8. Guru’s of TQM • Kaoru Ishikawa - Disciple of Juran & Feigenbaum. TQC in Japan, SPC, Cause & Effect Diagram,QC. • Philips. B. Crosby - Four Absolutes-Quality-Req, Prevention of NC, Zero Defects & Measure of NC. • Taguchi. G. - Loss Function.

9. W. Edwards Deming • Focus on bringing about improvements in product and service quality by reducing uncertainty and variability in goods and services design and associated processes (the beginning of his ideas in 1920s and 1930s). • Higher quality leads to higher productivity and lower costs. • “14 Points” management philosophy. • Deming Cycle – Plan, Do, Study, and Act.

10. Deming’s 14 points for management • Point 1: Create and publish Vision and Demonstrate Commitment • Point 2: Learn the new Philosophy • Point 3: Understand purpose of Inspection • Point 4: Stop Making Decisions Purely on the Basis of Cost • Point 5: Improve Constantly and Forever the system • Point 6: Institute Training • Point 7: Teach and Institute Leadership

11. Deming’s 14 points for management • Point 8: Drive Out Fear. Create trust. Create a climate for innovation • Point 9: Optimize the Efforts of Teams , Groups and staff areas • Point 10: Eliminate Exhortationsfor the workforce • Point 11: a) Eliminate Numerical Quotas for the work force b) Eliminate management by objectives • Point 12: Remove Barriers to Pride in Work • Point 13: Encourage Education and Self-Improvement • Point 14: Take Action to accomplish the transformation.

12. The Deming Cycle • Plan: study current situation • Do: implement plan on trial basis • Study: determine if trial is working correctly • Act: standardize improvements

13. Joseph Juran • Wrote Quality Control Handbook in 1951, a comprehensive quality manual. • Defined quality as “fitness for use.” • Advocated use of quality cost measurement. • Quality Trilogy: quality planning, quality control, and quality improvement

14. Philip B. Crosby • Wrote Quality is Free in 1979, which brought quality to the attention of top corporate managers in the U.S. • Crosby’s Absolutes of Quality Management include: • Quality means conformance to requirements, not elegance. • Quality comes from prevention. • The only performance standard is Zero Defects (ZD). • The only performance measurement is the expense of nonconformance.

15. Quality Circle • What is Quality Circle..? • Quality Circle is one of the employee participation methods. It implies the development of skills, capabilities, confidence and creativity of the people through cumulative process of education, training, work experience and participation. It also implies the creation of facilitative conditions and environment of work, which creates and sustains their motivation and commitment towards work excellence. Quality Circles have emerged as a mechanism to develop and utilize the tremendous potential of people for improvement in product quality and productivity.

16. Quality Circle • Quality circles were first established in Japan in 1962, and Kaoru Ishikawa has been credited with their creation. • The movement in Japan was coordinated by the Japanese Union of Scientists and Engineers (JUSE) • The use of quality circles then spread beyond Japan. Quality circles have been implemented even in educational sectors in India and QCFI(Quality Circle Forum of India) formulated in 1982, is promoting such activities.

17. Characteristics of QC • Small group of employees (optimum of 8-10 members) • Members are from same work area or doing similar type of job. • Membership is voluntary • Meet regularly for an hour every week • They meet to identify, analyze, and resolve work related problems • Resolve work related problems, leading improvement in their total performance. • Quality circle enrich the work life of the employees

18. Structure of Quality Circle Top management Steering committee Coordinator Facilitator Leader Members

19. Roles and Responsibility • Top management: The success of the quality circles depends solely on the attitude of the Top management and plays an important role to ensure the success of implementation of quality circles in the organization. • Steering committee: Called middle management consists of chief executive heads of different divisions or a coordinator plays a positive role in quality circles activities for the success of the efforts

20. Roles and Responsibility • Coordinator: also acts as facilitators is an individual responsible for coordinating and directing the quality circles activities within an organization and carries out such functions. • Facilitator: Acts as a catalyst, innovator, promoter and teacher and is nominated by the management

21. Roles and Responsibility • Leader: Of the quality circles is chosen by the members among themselves and they may decide to have a leader by rotation since the members are the basic elements of the structure of quality circle • Members: Of the quality circles are the small group of people from the same work area or doing similar type of work whereas non-members are those who are not members of the quality circle but may be involved in the circle recommendation.

22. THE IMPACT OF QUALITY CIRCLE • Improvement of human relations and workplace morale • Promotion of work culture • Enhancement of job interest • Effective team work • Reducing defects and improving quality • Improvement of productivity • Enhancing problem solving capacity • Improving communication & interaction • Catalyzing attitude change • Promotion of personal & leadership development

23. Organizations Implementing Quality Circle • BHEL-1980 Mr. S.R. Udapa (GM Operations) 1st Indian to start quality circle • Hero Honda motors ‘Sunrise Quality circle’ • Lucas TVS, Chennai ‘honey bee quality circle’ • Tata Refectories (located in Orissa) ‘Niharika quality circle’ (saved Rs.4000 Crore p.a) • Kudhremukh - Iron Ore Plant (located in Karnataka) ‘Soorthy Quality Circle’ in 2001. • Samsung India has bagged award in the ‘Distinguished Category’ at the International Quality Circle Convention 2002 organised by the Quality Circle Forum of India in Lucknow

24. Quality Circles Hindustan Antibiotics, Durgapur steel plant, Crompton greaves, National textile corporation, State bank of Hyderabad, IIM Calcutta, Air India, Indian Airlines, Apollo hospital chennai, outh Eastern Railways, Bank Of Baroda, State Bank of India

25. Different Names Human Resource circles Action circles Magic circles The quality seekers The Power Minded Circles Mac circles Employees circles In India--- Quality control circles (as per their origin in Japan) Productivity circles (Some Indian Organizations) Employees Participation circles (at Shriram Fibres chennai) Small group Activities (SGAs) (at Telco and Eicher) Shop Improvement teams (In some PSUs in India) Thinking at work Circles (at JK synthetics) Quality circles (at BHEL)

26. Quality Circle Forum of India • Non Profit, National body, Established in April 1982 • Journal - Quality circle India • Booklets - Quality circle at a glance (in ten languages) Quality Circle Manual • Video cassettes and CDs • Training programs, Conferences, Workshops, In-plant presentations, appreciation programmes

27. Recent news on Quality Circle The Hindu Date: 24-04-2010 BHUBANESWAR: Smelter plant of National Aluminium Company Limited (NALCO) won the gold, while Basundhara of OCL India emerged runner-up on Total Productive Maintenance (TPM) standard at All Orissa quality circle convention that concluded here on Thursday. TATA Steel, Joda, Balasore Alloys, Balgopalpur, Alumina Refinery, NALCO, Hirakud Power and HINDALCO were awarded for meritorious performances. The All Orissa quality circle convention, the f lagship event on quality in the State, was organised by NALCO for the 15th successive year. It is organised with the aim of spreading the quality movement in the State. As many as 17 organisations of Orissa participated in the convention this year.

29. SIX SIGMA • Six Sigma is a business concept that answers customer’s demand for high quality and Defect-free Business process. • Six Sigma was born in Motorola and developed by Mikel J. Harry. • Motorola won Malcolm Baldridge Quality Award. • Six Sigma is carried out as projects and mostly uses DMAIC method

30. Eg: Godrej -G E Assembly Plant • Defective Components were coming at the rate of 3,00,000 for one Million Parts. • Applying Six Sigma saved Rs 4 Crores • Mr. Vijay Krishna, C.E.O, Godrej-G E. “We’re not talking about intangible savings here. Six Sigma has given us the power to measure and control costs. And that goes straight to our bottom line”

31. Process capability Process capability is simply a measure of how good a metric is performing against established standard(s).

32. CONCEPT OF SIX SIGMA

33. CONCEPT OF SIX SIGMA USL Process LSL Cp = Design Width / Process Width Mean Cp = USL –LSL / UCL - LCL

34. SIGMA SCALE OF DEFECTS(1.5 σ shift)

35. Six Sigma Implementation Five-phases process 1.Establishing Management Commitment 2.Information Gathering 3.Training 5.Business Process to Be improved are chosen 4.Developing Monitoring Systems 6.Conducting Six Sigma Projects Continuous Improvement

36. Processvariation LSL USL • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • Regression Upper/Lower specification limits Six Sigma - Three Dimensions Define Analyze Improve Control Measure Driven by customer needs Methodology Process Map Analysis Led by Senior Mgmt Tools Organization Enabled by quality team. Pareto Chart

37. DMAIC PROCESS Measure Define DMAIC Analyze Control Improve

38. Quality Function Deployment (QFD) • QFD was developed in Japan in the late 1960s by Professors Shigeru Mizuno and Yoji Akao. • At the time, statistical quality control, which was introduced after World War II, had taken roots in the Japanese manufacturing industry. Why use QFD? • To improve the communication of customer wants throughout the organization. • To improve the completeness of specifications and to make them traceable directly to customer wants and needs.

39. QFD means • QFD links the needs of the customer (end user) with design, development, engineering, manufacturing, and service functions. • QFD empowers organizations to exceed normal expectations and provide a level of unanticipated excitement that generates value.

40. expected quality and exciting quality • "Expected" quality or requirements are essentially basic functions or features that customers normally expect of a product or service. • "Exciting" quality or requirements are sort of "out of ordinary" functions or features of a product or service that cause "wow" reactions in customers

41. What is QFD? • Quality Function Deployment (QFD) is a systematic process for motivating a business to focus on its customers. • It is used by cross-functional teams to identify and resolve issues involve in providing products, processes, services and strategies which will more than satisfy their customers.

42. What is QFD? • Understanding Customer Requirements • Quality Systems Thinking + Psychology + Knowledge • Maximizing Positive Quality That Adds Value • Comprehensive Quality System for Customer Satisfaction • Strategy to Stay Ahead of The Game

43. Which industry and business are using QFD? QFD has been applied in virtually every industry and business • aerospace, • manufacturing, • software, • communication, • IT, • chemical and pharmaceutical, • transportation, • defense, • government, • R&D,

44. Why is a conventional design process not sufficient? • Conventional design processes focus more on engineering capabilities and less on customer needs

45. House of Quality The House of Quality is an assembly of several deployment hierarchies and tables, including the Demanded Quality Hierarchy, Quality Characteristics Hierarchy, the relationships matrix, the Quality Planning Table, and Design Planning Table. It is a table that connects dots between the Voice of the Customer and the Voice of the Engineer

46. House of Quality

47. BENEFITS OF QFD • Improves Customer Satisfaction • Reduces Development Time • Improves Team Work • Reduces Cost • Quick New Product Release • Documentation • Critical Quality Features • Right Technology

48. Total Productive Maintenance (TPM) Definition Maintenance is defined as the management, control, execution and quality assurance of activities which ensure the achievement of optimum availability and performance of a plant in order to meet business objectives.

49. TPM - Meaning TPM is a partnership between the maintenance and production organization to improve product quality, reduce waste, reduce cost, increase equipment availability and improve maintenance state.

50. TYPES OF MAINTENANCE • Corrective (or) breakdown maintenance It implies that repairs are made after failure of machine or equipment • Scheduled (or) Routine maintenance It is a stitch-in-time procedure aimed to avoiding breakdowns • Preventive maintenance It is carried out before the failure arises (or) prior to the equipment actually breakdowns. E.g. Overhauling & Periodic upkeep. • Predictive maintenance Equipment Condition evaluated periodically and maintenance carried out.