Professional Documents
Culture Documents
Competitive Edge
Management Consultants
FICCI CE
Index
TQM Best practices of global leaders :- 8-46
Honda
Hewlett Packard
Ford
Motorola
American Express
Index
Effective Leadership - Best Practices 60-62
Index
Index
Honda Experience
FICCI CE
Honda Experience
Brief History
Honda Experience
3 Joys
Quality objective
TQM - Methodology
Hewlett Packard
FICCI CE
HP-Problems
TQM implementation
10X
Phenomenal results
Results
Ford
FORD Quality Policy
The concept of Ford Quality Excellence emphasizes the
importance of quality in everything we do. To us Quality
comes first. To achieve customer satisfaction, the quality
of our products and services must be our number one
priority.The fundamental precepts of Ford Quality
Excellence are :
FICCI CE
Ford
Quality is determined by the customer, the customer wants
products and services that throughout their life, meet his or
her own needs and expectations at a cost that represents
value.
Quality excellence can best be achieved by preventing
problems rather than by detecting and correcting them
after they occur.
FICCI CE
Ford
Ford
Ford
Motorola
FICCI CE
Motorola
Motorola
Motorola
Motorola
Key initiatives
Six sigma quality
Total cycle-time reduction
Product, manufacturing and environmental
leadership
Profit improvement
Empowerment for all in a participative,
cooperative and creative manner.
And creative workplace
FICCI CE
American
Express
Vision : Be the worlds most respected service brand
FICCI CE
American
Express
FICCI CE
Reasons of failure
Materialistic approach
Ritualistic approach
Spiritualistic approach
Balancing act
Reasons of failure
Reasons of failure
Reasons of Failure
TQM overly complicated by Statistical Process
Control techniques. Employees did not see much
purpose.
Clashes with other initiatives. Failure to link TQM
strategically with business goals.
Since TQM has a lot to do with downsizing and
delayering, the middle management did not
support.
Many initiatives were left half way because they
did not result in improved profits.
FICCI CE
Reasons of Failure
Although TQM was conceptually applicable to all
depts./ functional areas , in actual practice it was
confined to Quality Assurance or Quality control of
product or service.
Failure to deploy the quality policy throughout the
workforce.
Too many project improvement teams with lost focus.
Lack of proper understanding of customers and
competition.
Inefficient processes or inadequate process capability.
FICCI CE
1. Effective Leadership
2.Customer satisfaction Management
3. Building quality culture
4. Developing high performing processes
5. Improving product quality and reliability
FICCI CE
Continuous Improvement
FICCI CE
Customer Satisfaction
Product
Performance
Reliability
Durability
Serviceability
Aesthetics
Perceived quality
FICCI CE
Service
Accessibility
Reliability
Tangibles
Responsiveness
Empathy
Assurance
FICCI CE
How to exceed
customer expectations
FICCI CE
Performance
Needs Needs
Basic
Very dissatisfied
FICCI CE
Perceived Customer
value satisfaction
Customer
Customer
loyalty
expectations
FICCI CE
Customer satisfaction
International
Surveys Customer marketing
satisfaction Review actions
dept Emerging issues
Administration
Action plan
Complaints
Issue Domestic
identification Marketing
Customer
Prioritization
Critical Ownership Technical
Situations
Delivery
Other
Service
QFD
QFD
Technical
requirements
Operational goals
FICCI CE
Importance
Customer Requirements on 10 point
scale
Very Important
Moderately Important
Slightly important
FICCI CE
Technical Requirements
FICCI CE
Complaints
Customer competitive
evaluation on 5 point scale( 5 high , 1 low )
Rank
1 2 3 4 5 Action
Customer Requirements
Technical Requirements
Strong relation
Moderate relation
Weak relation
Rank
Customer Requirements
FICCI CE
QFD Matrix overview after step 4
Competitive evaluation
Rank
Customer Requirements
FICCI CE
Technical Requirements
Competitive evaluation
Rank
Customer Requirements
5
Competitive 4
Technical Competitor assessment
3
Assessment 2 Our assessment
1
FICCI CE
Step 6 : Mention operational targets or action points
Technical Requirements
Competitive evaluation
Competitive
Technical
Assessment
Operational
New Product
Targets
FICCI CE
Classification of needs
4 Easy to drive
Easy to drive Durable
Excellently finished Quiet riding
Quiet riding Smooth ride
Classic styling Protects driver
Smooth riding Excellently finished
3
New Car
QFD - Conclusion
not a sprint
FICCI CE
Re
co gni
tio
na
nd
Commitment r ew
Pro ard
Qualit c ess s
y action ow
ner
shi
p
Intern Con
al tQinuu
and ex aoliutsy i
ternal mwporrok
custom veenmvi
e r focuemployees Q u a lit ernot nm
Organization loyalty to s y r ent
esu
l ts
Top down leadership Vision mission and quality policy
FICCI CE
HR Best practices
HR Best practices
HR Best practices
HR Best practices
HR Best practices
HR Best practices
Create a work culture that is transparent, open to
new ideas and promotes lot of creativity and
innovation.
Equipment
&
Technology Continuos
Quality
Right
Empowerment
Measurement
Zero
Prevention
SPC
PDCA
5TPM
first
improvement
Defects
Principles
S
Tools
time
Quality of raw
material / suppliers Processes
Quality
Benchmarking
BPR
Techniques
Competent
people
Product
quality
FICCI CE
Process Improvement
Operational Process
Analysis of improvement
process Principles
A D
C
FICCI CE
Analysis of a Process
Who?
What?
How?
Where?
FICCI CE
Redistribution of task
Elimination of waste and unnecessary task
Proper utilization of skills
Consolidation of group activities
Elimination of wasted efforts
Correct skill deficiencies
Task dependencies
Time utilization
FICCI CE
Simplification of tasks
Prioritization of task elements
Elimination of excessive delays and transportation
Rearrangement of work stations
Use of faster methods and tools
Change in processing time
Work load balancing
Performance assessment
FICCI CE
Principles of process
improvement
Waste Reduction
Process Simplification
Cycle-time reduction
Process measures
Waste reduction
Value-added assessment
Minimize checks and inspections
Minimize administrative tasks
Minimize storage and transportation activities
FICCI CE
Process Simplification
FICCI CE
Process simplification
New Process
Assemble Self
Inspect
computer parts unit
sub-assembly Quality
Waste
Cycle-time reduction
Profit
Strategies Sales
Customer satisfaction
Profit
Sales
Customer satisfaction
Strategies
Performance
measures
Foolproofing
Types of error
Types of error
Principles
of
foolproofing
FICCI CE
A. Prevention of occurrence
Prevention of occurrence
Elimination
Replacement
Facilitation
B. Minimization of effects
FICCI CE
B. Minimization of effects*
Detection
The concept of detection is that even if a human
error occurs, the deviations from standard states
caused by it can be detected and corrected in the
succeeding operation steps. The methods of
correcting the detected deviations are classified
into two types :
1. Operators are informed or find by themselves the
deviations and take necessary corrective action.
2. The deviations are automatically corrected without
operators
FICCI CE
Detection
Mitigation
Product Reliability
Accelerated Testing.
Six Sigma
INPUTS OUTPUTS
Criteria
of evaluation Results
Ideas
Daydreaming Better
Observing Faster
Brainstorming Cheaper
Aesthetic
FICCI CE
1. Preparation
2. Incubation
3. Illumination
4. Verification
FICCI CE
Preparation
Incubation
Illumination
Verification
Barriers to creativity
8. Measures of Quality
FICCI CE
Measures of Quality
Employee related
Employee satisfaction
Awards presented
Internal promotions
Turnover
Safety and health
Suggestions received and implemented
FICCI CE
Operations related
Operations related measures can be classified further
into following categories :-
Marketing
Purchase
Manufacturing
Product Engineering
Quality Assurance
Product reliability
Accounting
FICCI CE
Marketing
Purchase
1. Premium freight cost/ demurrage charges.
2. Down - time because of parts shortages.
3. Number of Off specification parts used to keep
line going.
4. Cycle time from start of purchase request until
items in house.
5. Excess inventory.
6. Percentage of purchased material rejected on
receipt.
FICCI CE
Manufacturing
Product Engineering
Quality Assurance
Product Reliability
Accounting
Customer related
Financial measures
Market share
Sales per employee
Return on assets
Return on sales
FICCI CE
General
General H.LAL : General H.Lal is a mechanical Engineer . In 1971 he
joined
joined Defence
Defence Quality
Quality Organization
Organization and
and held
held important
important appointments
appointments till
till
in
in 1987
1987 hehe reached
reached the highest position of Director General, Defence
Quality
Quality Assurance
Assurance Organisation.After
Organisation.After retirement
retirement he
he was
was appointed
appointed as
Director
Director General , Bureau of Indian Standards. In addition to standards he
pioneered
pioneered thethe Quality
Quality movement
movement in in India.
India. By
By his
his sustained efforts
through
through TVTV ,, media
media and seminars he brought Quality into national focus.
focus.
He
He isis internationally
internationally recognised
recognised quality expert and his new book ISO
9000
9000 :: Guidelines
Guidelines for
for developing
developing countries has recently been published
by
by ISO
ISO and UNCTAD/GATT. He is the chairman of MSD Council Council of
of BIS
BIS
which
which formulates
formulates national
national standards
standards of
of quality
quality management
management .. He
He is
is also
also
the
the adviser
adviser to to the
the UNITED
UNITED NATIONS
NATIONS DEVELOPMENT
DEVELOPMENT
ORGANIZATION(
ORGANIZATION( UNIDO UNIDO ).).
He
He is
is at
at present the Director
Director General
General , FICCI
FICCI Quality
Quality Forum.
Forum.
FICCI CE