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Systems

Systems. Introduction Understand that type of mgt. systems influence achievement/outcomes of quality Need to know Rule of thumb approach (holistic) towards integrated systems & operations Using QMS based on International standards and quality awards frameworks

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Systems

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  1. Systems Introduction Understand that type of mgt. systems influence achievement/outcomes of quality Need to know Rule of thumb approach (holistic) towards integrated systems & operations Using QMS based on International standards and quality awards frameworks Introduction to ISO 14000 environmental standards Topic 9

  2. Systems Overview Achievement of quality is a management issue Poor quality results from mgt imposed system failure rather than fault of employees Research has shown that Management responsible for:80% of quality problems –Juran, 94% of quality problems -Deming “Structure influences behavior…when place in same system people produce similar results. When there are problems or performance fails, appears easy to “blame” someone or something. Even though we know system cause crisis not external forces or individual mistakes” –Senge (1992:40,42) Topic 9

  3. Systems Importance of systems in QM Used by O &S in their QM model as part of “hard mgt” necessities (System,Teams &Tools) Incorporated by AS/NZS ISO 9000 in one of its 8 quality principles as “system approach to mgt” and will lead to success if designed & implemented to address all needs The key to success is implementing and maintaining a mgt system that is designed to continually improve performance by addressing the needs of all interested parties. Topic 9

  4. Systems What are systems? QM definitions are similar to Management systems with the word “quality” added in QM AS/NZS ISO 9000 includes QMS (ISO 9001), Financial MS, ENVS (ISO 14001) and even OHSAS 18001 in its definition of “Management System” Parts of “Management System” may be integrated in to a single system System approach depends on the components of a quality system(Org structure, responsibilities, procedures, processes & resources). How the components interact are affected by being a system. However, improving one component will not necessary improve system as a whole . Topic 9

  5. Systems What are systems? Holistic view by Beckford, Oakland & Sohal : Quality more than meeting external client’s needs Quality is not only achieved via independent functional units however effective they are individually Quality cannot be measures in purely technical terms rather it is recognized as property of the total organization Quality is inherent in each process and each interaction within the system and organization's dealings & environment Eg. Product admired for apparent quality but environmentally damaging or abuse of employees occurred – “Therefore it cannot be considered a quality organization” Topic 9

  6. TQM Model Oakland & Sohal The Components of Quality Management Systems: Int’l std Teams Teams: QCC,QIT,CAT Tools: Flow Chart, Pareto, Cause & effect, Chklist Culture Comms Core Process CustomerSupplier Tools Systems Commitment Topic 9

  7. Systems Quality Management Systems Definition by James (1996:284) in terms of “…support mechanism for effective conduct of quality related activities in an organization..” Can be related to an International standard (ISO) or a company developed format Be related to award framework -Singapore Quality Award -Malcolm Baldridge National Quality Award -ABEF- The Australian Business Excellence Framework -The European Quality Assessment Award Topic 9

  8. System 7 categories Systems Process Mgt 5 • Goal • Customer satisfaction • Customer satisfaction • relative to competitors • Market share gain • Customer retention Customer focus & satisfaction 7 “Driver” HR Delvpt & Mgt 4 Malcolm Baldridge National Quality Award (Oakland & Sohal 1996:96) Leadership1 Business Results 6 Strategic Planning 3 • Measures of Progress • Product & service Quality • Productivity improvement • Supplier performance • Waste reduction • /elimination • Financial results Information & Analysis 2 Topic 9

  9. Systems The Australian Business Excellence Framework award –ABEF Introduced in 1987- “to help Australian companies meet challenges of the Global environment” Assist organizations to implement a planned & Structured approach to achieve competitive advantage, increased productivity & enhanced innovation ability Focuses on Seven Organizational critical success categories Leadership & Innovation Strategy and Planning Processes Data, Information and Knowledge People Customer & market focus Processes, products and services Business results Topic 9

  10. Systems Features: Emphasis on processes, results are achieved through the leadership & enablers, built criteria/self assessment model with review framework. Focuses On relationship between processes, people, and performance The European Quality Assessment Model (Oakland & Sohal 1996:97) 9 categories Business Results Leadership People Mgt Processes People satisfaction Policy & Strategy Customer satisfaction Resources Impact on society Results Enablers Topic 9

  11. Systems Topic 9

  12. Systems Quality Management Systems AS/NZS ISO 9000 QMS are similar in principles to the excellence models discussed earlier and their common principles are: Enable org to identify SWOT - documented Contain provisions for evaluation against generic models – TQM models Provide a basis for continuous improvement Contain provision for external recognition – External Audit certification Topic 9

  13. The Components of Quality Management – 8 Principles ISO 9000 Standards QMS (http://www.isoeasy.org) Customer-focused organisation Leadership Involvement of people Process approach Systems approach to Mgt Continual Improvement A Factual approach to decision making Mutually beneficial supplier relationship Topic 9

  14. Systems Features of ISO 1400 Developed by ISO technical committee Support UN’s objective on environment Common platform with ISO 9000 Y2K stds Allows organizations to develop procedures that comply with environmental regulations/reqmts Realized/Additional benefits in terms of: Reduced cost savings on wastage mgt Savings in consumption of energy and materials Lower distribution costs Improved corporate image Framework for continuous improvement of environmental performance, materials, Framework for CI, improved corporate image, etc Topic 9

  15. Systems Self Assessment Questions Why is the achievement of quality substantially in the hands of management? Why a holistic approach to quality & quality management is essential? Compare & contrast the requirements of 2 quality award frameworks with Oakland & Sohal Mgt. model and the ISO 9000 Y2K quality principle. In what ways are they similar/dissimilar? Topic 9

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