CONCEPT OF QUALITY AND QUALITY MANAGEMENT

GROUP MEMBERS
DINESH K C

INTRODUCTION
experiences of poor quality everyone an airline that has lost a passengers luggage, a dry cleaner that has left clothes wrinkled or stained, poor course offerings and scheduling at your college,

a purchase product that is damaged or broken,

or a pizza delivery service that is often late or delivers the wrong

order.

MEANING OF QUALITY
the totality of features and characteristics of a product that bears on its ability to satisfy the stated or implied needs ASQC.

CONT
Quality concepts apply to products and to services has many scales or characteristics should be aimed at the needs of the customer meeting the product quality characteristics that are important to the customer

DEFINITION OF QUALITY

Jurans Definition of Quality

-Fitness for use -An essential requirement of products is that they meet the needs of those members of society who will actually use them. This concept of fitness for use is universalThe popular term for fitness for use is quality, and our basic definition becomes quality means fitness for use - J. M. Juran

Feigenbaums Definition of Quality

-meet the expectations of the customer -The total composite product and service characteristics of marketing, engineering, manufacturing, and maintenance through which the product and service in use will meet the expectations of the customer - A. V. Feigenbaum

Crosbys Definition of Quality

Quality is conformance to requirements

ISO Definition of Quality

Quality is the totality of features and characteristics of a product or service that bear on its ability to satisfy stated or implied needs

MAJOR QUALITY ERAS

1800s 1930s 1950s 1980s Inspection SQC Quality Assurance Strategic quality management

VIEWs OF HISTORY OF QUALITY

1.Transcendental View of Quality:

I cant define it, but I know when I see it.

2. Product-Based View : viewed as quantifiable and

measurable characteristics or attributes.

3. User-Based View: an individual matter, and products that best satisfy their preferences (i.e. perceived quality) are those with the highest quality. 4. Manufacturing-Based View : concerned primarily with engineering and manufacturing practices and use the universal definition of conformance to requirements. 5. Value-Based View : defined in terms of costs and prices as well as a number of other attributes. Acceptable price

DIMENSIONS OF QUALITY
Performance - basic operating characteristics of a product; how

well a car is handled or its gas mileage Aesthetics - how a product looks, feels, sounds, smells, or tastes Special features - extra items added to basic features, such as a stereo CD or a leather interior in a car Service after sale - ease of getting repairs, speed of repairs, courtesy and competence of repair person

CONT
Safety - assurance that customer will not suffer injury or harm from a product; an especially important consideration for automobiles Reliability - probability that a product will operate properly within an expected time frame; that is, a TV will work without repair for about seven years Durability - how long product lasts before replacement Perception - subjective perceptions based on brand name, advertising, and the like

PRINCIPLES OF QUALITY
(a) Waste elimination. (b) Team work is necessary. (c) Zero defect policy. (d) Measure and search for quality. (e) Reducing number of suppliers. (f) Quality cannot afford weak-link processes. (g) Continuous quality improvement. (h) Everybody must be involved in quality improvement. (i) Innovation in all areas including education and training.

IMPORTANCE OF QUALITY
Lower costs (less labor, rework, scrap)

Motivated employees
Market Share

Reputation
International competitiveness Revenues generation increased (ultimate goal)

APPLICATIONS OF QUALITY CONCEPT

1. Product design, development and research. 2. Purchasing, contract review.

3. Inspection and measurement testing.

4. Service sector. 5. Personal life. 6. Maintenance, terotechnology. 7. HRM-leadership.

8. Handling, storage, packaging and delivery

HISTORICAL DEVELOPMENT OF QUALITY MANAGEMENT.

1. Quality inspection stage. 2. Quality control stage. 3. Quality assurance stage. 4. Total quality management stage.

Cost of Quality
Cost of Achieving Good Quality
Prevention costs
costs incurred during product design

Appraisal costs
costs of measuring, testing, and analyzing

Cost of Poor Quality

Internal failure costs
include scrap, rework, process failure, downtime, and price reductions

External failure costs

include complaints, returns, warranty claims, liability, and lost sales

Prevention Costs
Quality planning costs
costs of developing and implementing quality management program

Training costs
costs of developing and putting on quality training programs for employees and management

Product-design costs
costs of designing products with quality characteristics

Information costs
costs of acquiring and maintaining data related to quality, and development of reports on quality performance

Process costs
costs expended to make sure productive process conforms to quality specifications

Appraisal Costs
Inspection and testing costs of testing and inspecting materials, parts, and product at various stages and at the end of a process Test equipment costs costs of maintaining equipment used in testing quality characteristics of products Operator costs costs of time spent by operators to gar data for testing product quality, to make equipment adjustments to maintain quality, and to stop work to assess quality

Internal Failure Costs

Scrap costs costs of poor-quality products that must be discarded, including labor, material, and indirect costs
Rework costs costs of fixing defective products to conform to quality specifications Process failure costs costs of determining why production process is producing poor-quality products

Process downtime costs costs of shutting down productive process to fix problem Price-downgrading costs costs of discounting poorquality productsthat is, selling products as seconds

External Failure Costs

Customer complaint costs o costs of investigating and satisfactorily responding to a customer complaint resulting from a poor-quality product
Product return costs o costs of handling and replacing poor-quality products returned by customer Warranty claims costs o costs of complying with product warranties

Product liability costs o litigation costs resulting from product liability and customer injury Lost sales costs o costs incurred because customers are dissatisfied with poor quality products and do not make additional purchases

QUALITY TOOLS
tools and techniques used in support of Kaizen and other quality improvement or quality management programmes and philosophies. Based mainly on statistical and manufacturing process tools, Quality Tools are used at all levels of an organization.

The main Quality Tools are: The '5 Whys' - asking 'Why?' at least five times to uncover root cause of a problem. Flowcharts - boxes and arrows method of examining activities, potentially used in brainstorming, also found in business process modelling .

 Fishbone/Ishikawa Diagrams - fishbone-structured diagram for identifying cause/effect patterns, in which primary categories are generally pre-determined according to context.

Run Charts - a graph which plots data/change along a timeline.

 Pareto Charts - a line and bar graph displaying cause/effect ratios, especially biggest relative cause, based on Pareto theory.

Histograms - a bar graph displaying data in simple categories which together account for a total.

Checklists/Checksheets - pre-formatted lists for noting incidence, frequency, etc., according to known useful criteria.

Control/Shewhart Charts - a standard pattern of performance/time for a given process, often in Run Chart format, which acts as a template to check conformance and deviation.

CONT
Scatter Diagram/Scatterplot - a graph which plots points (typically very many individual instances) according to two variables, which produces a useful visual indication of the relationship between the two variables.

QUALITY MANAGEMENT

The act of overseeing all activities and tasks needed to maintain a desired level of excellence. includes creating and implementing quality planning and assurance, as well as quality control and quality improvement. also referred to as total quality management. a systematic set of operating procedures company-wide, documented, implemented and maintained while ensuring the growth of business in a consistent manner

Total Quality Management(tqm)

a management philosophy, a paradigm, a continuous improvement approach to doing business through a new management model. evolved from the continuous improvement philosophy with a focus on quality as the main dimension of business. emphasizing the quality of the product or service predominates.

CONT
Focuses on meeting owners/customers needs by providing quality services at a cost that provides value to the owners/customers. Is driven by the quest for continuous improvement in all operations. Recognizes that everyone in the organization has owners/customers who are either internal or external.

CONT
Views an organization as an internal system with a common aim rather than as individual departments acting to maximize their own performances. Focuses on the way tasks are accomplished rather than simply what tasks are accomplished. Emphasizes teamwork and a high level of participation by all employees.

HISTORICAL DEVELOPMENT OF QUALITY MANAGEMENT.

1. Quality inspection stage.
2. Quality control stage. 3. Quality assurance stage. 4. Total quality management stage.

1. Quality inspection stage

QM started with simple inspection- based systems. one or more characteristics of a product are examined, measured or tested and compared with specified requirement to assess its conformity. System is used to appraise incoming products, manufactured components and assemblies at appropriate points in the production process.

CONT
is undertaken mainly by staff employed specifically for this purpose.

Products which do not conform to specification may be scrapped, reworked or sold as lower quality items. In some cases, inspection is used to grade the finished products.
The system is an after the fact screening process with no prevention content other than, perhaps, the identification of suppliers, operations or workers manufacturing non-conforming products.

2.Quality Control Stage.

Under this , product testing and documentation control become the ways to ensure greater process control and reduced non-conformance. Characteristics performance ,data collection, feedback to earlier stage in the process, and self-inspection. While screening inspection was again the main mechanism for preventing products which were outside the specification from being shipped to customers, quality control measured led to greater process control and a lower incidence of nonconformance.

3.Quality Assurance Stage

In this stage an organization sets up a system for controlling what is being done and the system is audited to ensure that it is adequate both in design and use. A major part of this change is the use of both second party and third party audits to assess the efficiency of the system. characteristics of this stage are - the use of quality manuals, procedures, work instructions, quality planning, quality audits etc. The fundamental difference is that quality assurance is prevention-based while quality control is inspection-based.

4. Total quality management stage

is the highest level, involving the application of quality management principles to all aspects of the business.
Typical of an organization going through a total quality process\ would be ,a clear and unambiguous vision, few interdepartmental barriers, time spent on training, excellent supplier and customer.

CHARACTERISTICS OF TQM
(i) Operation/process leading to end result. (ii) Do your Best as a team. (iii) PDCA cycle-In built Deming improvement cycle. P - Determine goals and targets. D - Do, engage in education and training, and implement work. C - Check the effects of implementation. A - Act, take appropriate action. (iv) Participative management. (v) Reward system should be based on need theory. (vi) Suggestions system should be provide

CONCLUSION
Todays customers demand and expect high quality. Companies that do not make quality a priority risk long-run survival. Worldclass organizations such as General Electric and Motorola attribute their success to having one of the best quality management programs in the world. Companies consider quality to be the critical factor that has resulted in significant increases in sales and market share. Successful companies understand the powerful impact customer-defined quality can have on business. For this reason many competitive firms continually increase their quality standards.

REFERENCE
Chandra, D,etel, Quality Circles, Tata McGraw Hill ,New Delhi 1996. Wakhlu, Bharat, Total Quality, I ed., Wheeler Publishing, New Delhi, 1994 Goetsch, L., David, and Davis, B., Stanley, Introduction to Total Quality, II ed., Prentice Hall,1999 http://en.wikipedia.org/wiki/Total_quality_management http://asq.org/learn-about-quality/history-ofquality/overview/overview.html

Questions????