our expectations we consider that quality” (Besterfield, 2001, p. 1). ... brings us to
the question: what is Total Quality Management? What is Total Quality ...
Total Quality Management
William M. Norton MIS 462 - Systems Design, Implementation and Project Management October 25, 2005
Norton 2
TABLE OF CONTENTS
INTRODUCTION............................................... 3 DEFINING QUALITY........................................... 3 Nine Dimensions of Quality............................ 4 Brief History of Quality.............................. 6 TOTAL QUALITY MANAGEMENT................................... 7 What is TQM?.......................................... 7 Vision and Organization-Wide Support.................. 8 The TQM Way........................................... 9 TQM STATISTICAL TOOLS with examples........................ 13 Flow Chart............................................ 13 Scatter Diagram....................................... 14 Histogram............................................. 15 Cause and Effect Diagram.............................. 15 Pareto Diagram........................................ 16 CONCLUSION................................................. 17 REFERENCES................................................. 19
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INTRODUCTION One may notice the term “quality” interwoven in just about every television and print advertisement.
Online and brick and
mortar retail stores use the term to describe virtually every product sold.
For example, typical advertisements may read:
“buy our high-quality HDTV’s”, top-quality LCS monitors”, and superior-quality car stereo systems.”
And the list goes on and
on. But quality is much more than a punch line for sales and marketing service
advertisements. means
satisfaction.
the
Developing
organization
is
a
“quality”
committed
product
to
or
customer
Moreover, “quality” can serve as a measure of
success; determining in part whether an organization can compete with rivals by offering high quality products and services at a reasonable price to the consumer.
DEFINING QUALITY But what is quality? Is it something tangible or is it something
perceived?
customers
will
give
If
asked
varied
to
answers.
define Some
what may
quality assert
quality is having a great product that meets their needs.
is, that
While
others may posit that a quality product is one that is more
Norton 4
expensive but will last a long time. In our society, these are generally
accepted
definitions
as
to
what
defines
quality.
Dale E. Besterfield (2001) agrees with these assertions.
He
points out that when customers think of “quality” they usually think of it in terms of an excellent product or service. He [Besterfield] further points out that “when a product surpasses our expectations we consider that quality” (Besterfield, 2001, p. 1).
NINE DIMENSIONS OF QUALITY Besterfield
(2001)
defines
nine
dimensions
of
quality.
They are:
Performance
Reliability
Response
Features
Durability
Aesthetics
Conformance
Service
Reputation
Performance
refers
characteristics
to
such
as
primary display
product
resolution,
speed, bandwidth, etc. Features
refer
to
secondary
product
characteristics such as remote access, remote control, extended warranty, etc.
Norton 5
Conformance
is
meeting
specifications
from
customers or industry. Reliability (MTBF).
is
mean
time
between
failures
How long will the product last before
it fails? Durability product.
refers
to
the
useful
life
of
a
For instance, automobiles have wear
and tear durability and after so many useful miles, an automobile may require repair. Service
is
referring
to
the
ease
to
which
something can be repaired or serviced. Response
is
interface.
defined
as
the
human-to-human
For example, how friendly a sales
representative is to the customers. Aesthetics looks.
is
referring
to
how
the
product
For instance, the painted finish on a
piece of furniture. Reputation is concerned with past performance, such as being ranked number one in customer service.
Norton 6 It is important to understand that these nine dimensions of quality are independent of each other.
More specifically, a
product or service can excel in one dimension and be average in another
(Besterfield,
responsibility organization
to
2001,
determine
should
aim
to
p.
2).
which excel
It
is
quality in.
management’s
dimensions
For
the
example,
Dell
(www.dell.com, 2005) computer distribution company prides itself on
provided
high-performance
prices.
Dell
customer
service
performance
also
prides
and
products
computers itself
support. coupled
on
Dell’s
with
at its
very
standard-setting
offering
top-notch
competitive
of
customer
highservice
creates a competitive advantage which increases the likelihood that Dell will survive for many years to come.
Brief History of Quality In the past, the idea of quality was primarily controlled by the guilds. controlled guilds.
by
Besterfield (2001) explains that quality was the
long
periods
of
training
required
by
the
This long period of guild training “instilled pride in
workers for quality of product” (Besterfield, 2001, p. 3). During the Industrial Revolution however, specialization of labor was introduced and as a result, the worker no longer built the entire product but only a portion of it.
This fragmented
assembly process decreased product cost but at the same time
Norton 7 increasing defect rates. inspect
products
2001, p. 3). system
that
costs,
and
fulfilled
more
As a result, it became necessary to
closely
after
manufacture
(Besterfield,
The need arose for a system of quality control; a could
ensure
increase
by
the
product
customer
concepts
quality,
lower
satisfaction.
and
techniques
development
That
offered
need
by
a
was Total
Quality Management (TQM) system.
TOTAL QUALITY MANAGEMENT In every organization today, there must be some form of quality
control
program
in
program
ensures
high-quality
place.
A
good
products
produced
quality
control
efficiently
as
possible. One such program is Total Quality Management or TQM. Tiffany A Koszalka (2005) writes that TQM activities should be implemented
to
increase
productivity
of
the
organization,
quality, effectiveness of all efforts, and efficiency.
So this
brings us to the question: what is Total Quality Management?
What is Total Quality Management (TQM)? Total
Quality
Management
is
a
“way”
of
doing
business.
Besterfield (2001) points out that TQM is “both a philosophy and a set of guiding principles that represent the foundation of a continuously improving organization.” of
TQM
is
to
provide
a
quality
The fundamental purpose
product
or
service
to
the
Norton 8 customer, which will, in turn, provide increased productivity and
lower
cost
(Besterfield,
2001,
p.
22).
Furthermore,
TQM
forces companies to move towards continuous improvement to match customer
needs
and
provide
unmatched
customer
value
(Isaac,
2004, p. 309). In order to stay competitive, an organization must consider adopting newer business concepts. Koszalka (2005) lists several tenets of TQM that must be adopted in order for TQM to work.
They are:
There must be a common quality vision. There
must
be
a
commitment
to
organizing
for
quality. There
must
be
dedication
to
continuous
improvement. Quality
is
everyone’s
responsibility
not
just
quality control and the CEO. People who work with the system know more about the system thus they should be consulted when a process is being analyzed.
Common Vision and Organization-Wide Support Implementing a TQM program in any organization requires a common vision and support from all employees. Total
Quality
Management
to
be
successful
In order for within
an
organization, there must first be acceptance from senior-level
Norton 9 management.
Koszalka (2005) asserts that top management “must
establish that total quality [TQM] is a top-priority.”
With out
senior-level management support, a TQM program is dead in the water.
For instance, while I was a test engineering technician
at Allied Signal Aerospace production facility in Cheshire, CT, middle-management Leadership/Total
attempted Quality
to
implement
Management
a
(TQL/TQM)
first seeking upper-management blessing.
Total
Quality
program
without
Because of this lack
of “blessing” from upper-management, the program got off to a very
rocky
start.
Upper-management
consisted
of
mature
businessmen who were mentored during the Industrial Revolution’s “our way or the highway” mindset.
They [upper-management] had
great confidence in the traditional methods of doing business and could not and would not entertain the need to change or adopt newer methods.
The TQM Way As
stated
earlier
continuous improvement. be
utilized
for
organization. formalized improvement
or
process.
in
forces
companies
to
move
towards
This continuous improvement concept can
every
But
steps
TQM
function order
phases
to
should
Besterfield
and
process
improve be
upon
taken
(2001)
to
lists
within a
an
process,
manage and
describes each phase within a problem-solving methodology.
the
briefly
Norton 10
These phases are:
1. Identify the opportunity 2. Analyze the current process. 3. Develop the optimal solution(s). 4. Implement changes. 5. Study the results. 6. Standardize the solution. 7. Plan for the future.
Identifying
the
problem
is
fundamental
where improvement or correction is required. step
because
negative
if
the
problem
results
may
occur.
is In
not
to
any
This is a crucial
correctly
other
situation
words,
identified, incorrectly
identifying the problem may result in providing a good solution to the wrong problem (Marakas, 2003, p. 37). Analyzing
the
current
process
or
processes
implies
understanding the process and how it works (Besterfield, 2001, p. 45).
As stated earlier, one of the tenets of TQM is “people
who work with the system know more about the system thus they should be consulted when a process is being analyzed.”
In order
to understand a process or system of processes, management must
Norton 11 consult with the personnel that work with the system on a daily basis. “Nuts and bolts” level employees are a source of valuable information process.
and
can
provide
unique
insight
to
improving
a
Disregarding this potential source of information may
prove to be a mistake. Developing
the
optimal
solution
involves
selecting
an
effective solution from a set of feasible alternatives (Marakas, 2003, p. 37).
With process improvement, there are three paths
the investigative team can go: (1) create a new process that supersedes the existing process (2) combine different processes, or (3) modify the existing process (Besterfield, 2001, p. 47). Once the solution has been chosen, evaluation of the solution is the next step. Implementing implementation implementing 48).
the plan,
the
process
changes obtaining
entails approval,
improvements
preparing and
(Besterfield,
the
actually 2001,
p.
However, implementing a change to a process is not without
uncertainties.
As Marakas (2003) points out uncertainties are
situations that are beyond the control of the decision maker. So, in order to reduce uncertainties the implementation plan must fully describe: 1. Why will it [the solution] be done? 2. How will it be done? 3. When will it be done?
Norton 12 4. Who will do it? 5. Where will it be done? Studying
the
results
requires
measurements
to
be
taken.
Tools such as Pareto diagrams and histograms should be employed to monitor and evaluate the process change, making adjustments when necessary (Besterfield, 2001, p. 49). Once the team is satisfied with the results of the process change, it must be formalized. place
of
employment
when
a
For example, at my previous
process
change
was
formalized,
process documents required permanent “red lining”, operational level management needed to be made aware of the change, and operators required training in the new process.
This can be a
daunting task but properly documenting the change coupled with adequate training is crucial to ensure successful transition to the new process. The objective of future planning is to achieve improved levels of process performance (Besterfield, 2001, p. 49). As mentioned
previously,
TQM
involves
continuous
improvement.
“Continuous improvement means not being satisfied with doing a good job or process but striving to improve that job or process” (Besterfield, 2001, p. 50).
Management must continue to forge
ahead,
to
seeking
processes.
new
ways
improve
upon
organizational
The ultimate goal of continuous improvement is the
Norton 13 attainment
of
near
perfection
thus
ensuring
long-term
survivability.
TQM STATISTICAL TOOLS TQM relies heavily on statistical tools and techniques to improve
processes
within
an
organization.
As
discussed
in
preceding paragraphs, analyzing the results of a process change requires taking measurements.
Some of the more popular tools
for capturing and analyzing measurements data are flow charts, scatter
diagrams,
histograms,
Pareto analysis diagrams. application,
so
cause
and
effect
diagrams,
and
Each of these tools has a different
understanding
the
type
of
information
each
provides is crucial.
Flow Chart A
flow
interaction
chart with
is
a
people
diagram that
that
work
shows
involves.
the A
travel flow
and
chart
documents the process, shows who is responsible for each step, and who the internal/external customer is (Winston, 1997, p. 106). Please see figure 1 below for an example of a flow chart.
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Figure 1. System Flowchart.
Scatter Diagrams Scatter
diagrams
helps
us
recognize
relationships (Winston, 1997, p. 106). this
simplest
way
to
“determine
&
understand
causal
Scatter diagrams are if
a
cause-and-effect
relationship exists between two variables” (Besterfield, 2001, p. 82).
Please refer to figure 2 for an example of a scatter
diagram.
Figure 2. Scatter Diagram
Norton 15
Histograms “A histogram is a chart showing the number of occurrences in
rank
order”
(Winston,
1997,
p.
110).
The
purpose
of
a
histogram is to provide information describing variation in a process, and suggests the shape of the population indicating whether there are gaps in the data (Besterfield, 2001, p. 86). Please refer to figure 3 for an example of a histogram.
Figure 3. Histogram.
Cause-and-Effect Diagrams “Cause and effect diagrams are graphic outlines of probable causes
of
Besterfield
problems” (2001),
(Winston,
1997,
cause-and-effect
p.
111).
diagrams
According are
used
to to
investigate either a “bad” effect and to take action to correct
Norton 16 the
causes
responsible.
or
a
“good”
effect
and
to
learn
those
causes
Please see figure 4 for an example of a cause-and-
effect diagram.
Figure 4. C & E diagram.
Pareto Diagrams Lastly,
Pareto
diagrams
are
used
to
rank
data
classifications in descending order from left to right.
They
are used primarily as a means to identify the most important problems (Besterfield, 2001, p. 74). for an example of a Pareto diagram.
Please refer to figure 5
Norton 17
Figure 5. Pareto Diagram.
CONCLUSION In today’s world of ever-increasing consumer demand, dense competition, and globalization, companies need to ensure that an effective quality program is in place.
Consumers are demanding
more and more that products meet high-levels of performance and reliability
but
at
the
same
time
remain
cost-effective.
In
order for companies to meet these demands, a continuous process improvement mentality must be adopted. (TQM)
provides
for
continuous
methodological steps. factual process.
data
to
Total Quality Management
improvement
through
formalized,
TQM utilizes statistical tools to analyze
reveal
truths
as
to
the
effectiveness
of
a
In order for TQM to work however, organizational-wide
adoption must take place.
This adoption should start at the
executive-level of the company and trickle down to the front-
Norton 18 pine employee.
Through training, patience and determination TQM
can transform a mediocre company into a world class enterprise.
Norton 19
References
Besterfield,
D.
(2001).
Quality
control.
6th
ed.
Upper
Saddle River, NJ: Prentice Hall. Isaac,
G.,
Rajendran,
C.,
&
Anantheraman
R.
(2004).
A
conceptual framework for total quality management in software organizations. Total Quality Management, 15(3), 307-344. Marakas, G. (2003). Decision support systems, in the 21st century. 2nd ed. Upper Saddle River, NJ: Prentice Hall. Koszalka, T. A. (n.d.). Tqm. Retrieved Oct. 25, 2005, from http://soeweb.syr.edu/Faculty/takoszal/TQM.html. Winston, B. (1997). Total quality management, a heartfelt approach to doing things right. 1997 ed.: Regent University, School of Business.