The Juran Institute

1. The Juran Institute

2. Topics that will be covered • History of the Juran Institute • Main focuses • What can be learned through following practices of the Juran Institute • Impact of Juran Institute

3. What is Quality? • Quality is an idea that changes with time

4. Joseph M. Juran • Grew up in Romania • Immigrated to the U.S. at the age of 7 • Went to the University of Minnesota • Studied electrical engineering

5. History of the Juran Instituteearly years • Joseph M. Juran – 31 years of independent consulting • Founded Juran Enterprises in 1979 • Juran on Quality Improvement was available one year later on the market

6. History of the Juran Institutecontinued • 1982 – Juran Enterprises changed its name to Juran Institute • 1988 – Juran Institute goes international to the Netherlands, Toronto, Madrid, and North Sydney.

7. Main Focuses of the Juran Institute • Reducing defect and failure rates • Why is it important? • Competing in costs in a global market

8. Main Focuses of the Juran Institute • Costs of poor quality • Costs are often more than you originally estimate • By cutting costs, you can greatly improve your company

9. Main Focuses of the Juran Institute • Upper management buy-in • Why is this important? • Becoming a champion of Quality Improvement instead of delegating

10. Brainstorming Exercise: • How can the practices of the Juran Institute be used in your organization?

11. What can be learned through the Practices of the Juran Institute • Quality is the key to success in organizations • Strategic quality planning as a means to an end, not the goal itself

12. A Juran Example • Juran – 1920’s • Inspectors were scrapping 15% of circuit breakers produced • Juran improved resistance in wire coil used in production, and increased resistance by adding more length. • Defects dropped to almost zero. • They increased production by 15 percent, without having to add machines, materials, or labor. • Improvement through improving the process

13. Other examples • 1970’s - Xerox’s market share was 85% • Early 1980’s – Xerox market share had dropped to around 15% • Why? • Quality management

14. Other examples • Ritz Carlton Hotels • Goes above and beyond • Takes note of customer preferences • Dazzles customers with high quality • Creates customer loyalty

15. Other examples • Baystate Medical Center • Used the Juran Quality Improvement Model to examine Neuromuscular Blocking Agents (NMBAs) in critical care units • Results: Average Daily Cost reduction of $147 per patient. • Annual cost reduction of $38,808

16. Exercise • Examine one area in your company that could be improved using the Juran Institute’s Quality Improvement Model. • Identify chief causes for low quality. • Work with your co-workers to improve this process. • Were your results significant?

17. Summary • Quality is key to success in today’s market • The Juran Institute was founded under principles of high quality practices. • Quality improvements can be made in any industry, no just manufacturing • Higher quality creates loyal customers, and decreases costs.

18. Readings List • Blackiston, Howland. “Juran institute: A Barometer of Trend in Quality Management”. National Productivity Review. Pg. 15. 1996. • Giuliano, Karen K.; Goerdt, Paul; Higgigns, Thomas; Elliot, Sheila; Anderson, Terri; Circeo, Lori; McGee, William. “Using the Juran Quality Improvement Model to Improve the Management and Reduce Costs in Patient on Neuromuscular Blocking Agents (NMBS) in the Intensive Care Unit”. Critical Care Medicine. Vol 26. p 88A. 1998.

19. Readings Listcontinued • Butman, John. “Juran, A Lifetime of Influence”. John Wiley & Sons. 1997. • Juran, Joseph M. “Architect of Quality”. McGraw—Hill. 2004. • Juran, J.M. “A call to action: the summit”. Carlson School of Management, University of Minnesota-Minneapolis, Minnesota. 26 June 2002.