Chapter 2

Introduction to Total Quality

Management

Dr Dao Vu Truong Son

Department of ISE, HCMIU
[email protected]
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Why needs QM?

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The prerequisites of the CIP
1. LEADERSHIP COMMITTMENT
2. TRAINING
3. RECOGNITION
4. PARTICIPATION
5. SYSTEMATIC IMPROVEMENT
6. COMMUNICATION
8. THE EFFORT LASTS for EVER

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• What is a Continuous Improvement
Process?
• A systematic research for the causes of
unwanted symptoms and the gradual therapy
of the causes using specific tools, teamwork,
innovation and communication

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 Continuous Improvement steps
1. Detect symptom (eg increased hand-foot-
mouth- infections)
2. Analyze potential causes (lack of systematic
disinfection, no hands washing etc)
3. Locate most important causes
4. Locate potential solutions Select optimal
solution (systematic disinfection)
5. Correct important causes (apply training of
medical personnel, enforce cleanliness)

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 CIP Principles

1ST principle. We are aiming continuously at the improvement

of the existing situation. CIP is a never ending process

2nd Principle of CIP : The customer decides what is Quality for

him

• 3d principle . Everybody is responsible for the quality if his

(her ) work. We are all quality managers

• 4th principle. Prevention is the key. Prevention comes before

correction

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 CIP Principles
• 5th principle Everybody is committed and involved in idea
generation, identification and resolution of problems through
systematic teamwork.

• 6th principle . Team work relies on cooperation and recognition

of performance as well as commitment and contribution.

• 7th principle. Everybody supports improvement efforts.

Improvement is not a job for the few

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 Customer Focus
• External customers & Internal customers

Just as a defective item would not be passed to an external

customer, a defective item should not be passed to an
internal customer
• An excellent place to start is by satisfying internal
customers. Emphasize design quality and defect prevention

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A working environment supporting free
expression of thought and Innovation.

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IN TEAMS OF FIVE SPECIFY THE
CHARACTERISTICS OF AN
INNOVATIVE IDEAS SYSTEM TO
IMPROVE THE PERFORMANCE OF
YOUR UNIT/GROUP?

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 There are always solutions
We have only to look for them

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The KAI-ZEN process
Zero Defects

How to become Dantotsu ?

Best of the Best

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5 stages to eliminate mistakes
1.Describe the situation –symptom
2. Correct temporarily.
3. Identify causes.
4. Apply corrective action .)
5. Review and improve..

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The technique of 5 WHY’s
5 questions to reach the core cause
1.Why are citizens dissatisfied? Because we do not
provide good service
2.Why are they dissatisfied with service? Because we
delay to provide solutions.
3. Why do we delay? Because there is much
bureaucracy.
4. Why there is much bureaucracy? Because the
procedures are outdated
5. Why are the procedures outdated? Because there is
no systematic process to reform proceduresα
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The Plan-Do-Study-Act Cycle (Shewhart cycle or the
Deming wheel)
Indentify problems,
PLAN make plan for improvement

ACT Never ending! DO

Communicate During implementation,
results to other document all changes and
members, collect data for evaluation
implement new STUDY
procedure Evaluate the data collected

* Tackle the problems one by one (“project by project”)

Benchmarking
Learn how the “best in class” do things
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 New & old cultures
Quality Previous State TQM
Element
Definition Product-oriented Customer-oriented
Priorities Second to service & cost First among equals of
service & cost
Decisions Short term Long term
Emphasis Detection Prevention
Errors Operations System
Responsibility Quality control Everyone
Problem solving Managers Teams
Procurement Price Life-cycle costs,
partnership
Manager’s role plan., assign, control, Delegate, coach, facilitate
and enforce & mentor
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 3 components
TQM

Behavioral Management Technical

component component component
• Quality • Develop mission
& strategy • SPC
cooperation • Experimental
• Mutual trust, • Customer
orientation central Design
respect, support • SOP
• Right man in the • Develop lines of
policy, procedure, • ISO 9000
right place ..
• People structures
management • TQM policy
• Leadership indicators
• Meeting skills • Consistent
evaluation reward
system
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 Why TQM efforts fall?

TQM

Behavioral Management Technical

component component component
Lack of a genuine Lack of top Over and
quality culture management under reliance
support & on SPC
commitment methods

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The Kaoru Ishikawa Tools and
Techniques

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 CIP TOOLS

WORK FLOW DIAGRAM BAR CHART

SCATTER DIAGRAM
CONTROL/TALLY SHEET

PARETO DIAGRAM LINE DIAGRAM

FISHBONE CONTROL CHART 31

Control/Tally sheet

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Histogram

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 Exercise
• In the following list values of lacquer portion
for an assembly line are displayed. First, create
a tally sheet, next a histogram.

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 Challenge?
• Identify the cases and proper course of
action?

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Pareto analysis

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Exercise: Pareto analysis

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 What if Pareto-principle does not work?

Another classification has to be found!

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Cause-effect diagram

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 Exercise: Cause-effect diagram
• Laser printer provides a poor printing quality?

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Scatter graph (correlation diagram)
• Which connection exists between attribute X and Y?

R=0.7 R=0.0 R=-0.7

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 Example of correlation diagram

The more food, the fatter the more umbrellas sold, less
cow cream sold.

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 Be careful with fake correlation!
• There can be a mathematic correlation between the
decline of the number of birds in Europe and the
decline of newborns. Of course, logically speaking,
these incidents are not linked.
• In contrast to proportionality, correlation is just a
random combination. It is only possible to predict an
increase or a decline
– A 200% increase of the cattle feed  10 or 20% weight
gain
– With a constant acceleration, duplication of the hammer
weight causes a doubling in force.
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Exercise. Relationship between
GDP and Diesel price (Germany)

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• R = 0.7854

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 CIP TECHNIQUES AT A GLANCE

BRAINSTORMING
PRIORITIZATIO
N

CONSENSUS USE OF CRITERIA

FORCE FIELD ANALYSIS SURVEYING 50

 How Does A Brainstorm Work?
1.We select the subject
2.We ensure that all the team comprehends the
problem
3.Every team member proposes an idea in turns
4.We do not criticize ideas
5.We record all proposed ideas. We make sure
that all team members agree on the way their
idea has been recorded
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 SURVEYING (LEA EXAMPLE)
European Union North America Middle East/ Gulf
Countries

Scandinavian Countries South America Africa

Asia Other (Example: Australia, etc.). Please Specify: ________________________________

Your opinion is valuable

1) What fields within Lebanese Organisations need improvements in your opinion? (Choose four areas of the below 14 areas and rank them by order of
preference from 1 being the most needing field for improvement, till 4 being the least needing field for improvement)

* Policy and Strategy _______

* HR Management _______

* Leadership _______

* Knowledge and Innovation Management _______

* Benchmarking _______

* Supply Chain Management _______

* Financial Management 52
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PRIORITIZATION of PROBLEMS
1 2 3 PRIORIT
POI POI POI Y
NT NTS NTS
CREATE A CITIZEN SATISFACTION SURVEY III II II 13 (3)

IMPROVE RECEPTION PROCESS III III I 10 (4)

TRAIN EMPLOYEES IN CRITICAL SKILLS I III III 19 (1)

I
IMPROVE THE OFFICE ENVIRONMENT III I 9 (5)
III
CREATE AND DISTRIBUTE OBJECTIVES IIII III 17 (2)

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FORCE FIELD ANALYSIS TO REVEAL IMPROVEMENT
OPPORTUNITIES FOR PUBLIC UNIVERSITY

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Perform a force field analysis for the reasons that support or hinder
the smooth operation of your unit / company

Support Hinder

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The catch-ball approach

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 CATCHBALL EXAMPLE

A.Sales manager asks for 6% discount on the

distribution cost of the product so that he can
increase sales by 30%
B.The distribution manager cannot obtain 6%
reduction of distribution cost, without serious
decline of the service quality.
C.The two parties meet to obtain consensus for
a mutually accepted solutions
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CRITERIA PRIORITIZATION BY A TEAM OF 3 PEOPLE TO REDUCE OPERATIONAL
COSTS
OPTIONS: 1-LOW, 2-MEDIUM, 3–STRONG

SOLUTIONS PROPOSED COST SPEED RESUL PRIORITY

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CREATE ENERGY SAVING 111 111 322 13 (5)
PROGRAM
RE EVALUATE LIST OF 333 222 323 23 (1)
CONSUMABLES
REDUCE CONSUMPTION OF 333 332 121 21 (3)
PAPER
SEEK FOR CHEAPER 333 121 333 22 (2)
PROVIDERS
SIMPLIFY CITIZEN SERVICE 1 1 1 111 323 14 (4)
PROCESS

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