Understanding Quality

and
Total Quality Dr. Sajjad Ahmad Baig

Management (TQM)
Concepts

PRODUCTION ENGINEERING & OPERATIONS MANAGEMENT LAB 1

What is Total Quality Management (TQM)?
• Total Quality Management (TQM):
• A system approach for the continuous improvement of all organizational
processes,
• Through total participation of all employees,
• Resulting in high quality products and services to attain customer
satisfaction.

• TQM: PHILOSOPHY

• “DO THE RIGHT THINGS, RIGHT THE FIRST TIME, EVERY TIME”

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Total Quality Management Definition

❑Everyone associated with the company is involved

Total in CONTINUOUS IMPROVEMENT (including
its customers & suppliers if feasible)

❑Degree of excellence a product or service provides.

Quality ❑Customer’s expressed and implied needs and
requirements are fully met.

Management ❑Management/Executives are fully committed.

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 • Responsibility is pushed down to
“empower” the people who know the most
about the job, process or service.
• TQM focus is on the process;
TQM: A • TQM separates the improvement process
from people personalities and egos. “Top-
“Cultural” down” management styles disappear.
Change • Reporting levels are reduced/streamlined.
• Management’s role shifts to more emphasis
on coaching.
• Jobs are not eliminated, but job content may
change.
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• And spend in the way of Allah and do not throw [yourselves] with your
[own] hands into destruction [by refraining]. And do good; indeed, Allah
loves the doers of good.“((Surah Al-Baqarah, 2:195)

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 Process Improvement Cycle
DEVELP AN IMPROVEMENT PLAN
PDCA CYCLE ❑ Define the problem
(Deming, 1985)
❑ Formulate critical success factors related to
PLAN
the vision
❑ Formulate objectives
IMPLEMENT THE VERIFIED ❑Define performance measures & targets
IMPROVEMENTS
❑ Document them in standard
procedures PDCA
❑ Train those involved ACT DO
CYCLE
❑ Repeat the cycle
IMPLEMENTANT THE IMPROVEMENT
PLAN ON THE LIMITED SCALE
❑ Collect data
CHECK IF IT WORKS CHECK ❑ Train those involved
❑ Evaluate the trail project ❑ Describes the business processes
❑ Provide Feedback ❑ Formulate project team
❑ What have we learned?
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What is Quality?
❑Fitness for Use or purpose
❑Dr. Joseph M. Juran
(quality trilogy)

❑Quality is conformance to the requirements.

❑Dr. Philip Crosby
(zero defects and cost of quality)

❑Quality should be aimed at the needs of the

consumer, present and future.
❑ Dr. Edward W. Deming
(management philosophy and systems)

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What is Quality?
• David Garvin found that most definitions of quality were either TRANSCENDENT, PRODUCT–BASED,
USER–BASED, MANUFACTURING–BASED, or VALUE–BASED.
• TRANSCENDENT:
• “Level of Excellence”
• PRODUCT BASED:
• “Product Attributes”
• USER BASED:
• “Fitness for intended use”
• VALUE BASED:
• “Quality Vs Price”
• MANUFACTURING BASED:
• “Conformance to specifications”

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 • THE CUSTOMER
• “Any one who receive or is affected
by the product, service, or process.”
Who
• CUSTOMER IS GOD
determines • (CHINESE SAYING)

Quality? • CUSTOMER IS KING

• (JAPNESSIES SAYING)

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TQM & TOE (Total Organization Excellence)
Marketing
Design
Purchasing
Total Quality
Management Production
System Warehousing
Distribution / Service
Learning & Knowledge Mngt.

DELIGHTED CUSTOMER
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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.
• Fitness for purpose.
• Meeting customer requirements.
• Conformance to specifications.
• Taguchi says, total financial loss generated by a product to the society from its
poor quality.

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Quality System & Quality Management System
• Quality System is the organizational structures, responsibilities,
process, and resources for implementing Quality Management.
• Quality Management System is a systematic set of operating
procedures which is company wide, documented, implemented and
maintained, which meets customers requirements and satisfaction,
while ensuring growth in business in a consistent manner.

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TQM Frame Work
Shewhart
Deming Benchmarking
Juran Quality Management Systems
Ishikawa Quality Function Deployment
Crosby Statistical Process Control
Taguchi Taguchi’s Quality Engineering

Leaders Tools and

Gurus Techniques

Principles and Product or Customer

Practices Service
Realization

People and Relationships: Approach:

Leadership Continuous Process Improvement
Customer Satisfaction
Employee Involvement Measure:
Supplier Partnership Performance Measures
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Customer Needs
❑EXPECTED NEEDS
❑Are typically what one gets by just asking customers what they want.
❑STATED NEEDS
❑Are the obvious / compulsory requirements. For example, if meal is
served hot, customers hardly notice it. If it's cold or too hot,
dissatisfaction occurs. Expected requirements must be fulfilled.
❑LATENT NEEDS
❑Beyond the customer's expectations.
❑If provided , customer would be excited
❑If not ,they would hardly complain

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Quality measurement?
PEOPLE PROCESS PERFORMANCE

❑Q=P/E
❑Q= Quality
❑P= Performance
❑E= Expectations
❑If performance is equal to
expectation, then Q = 1.
❑If it is one or above, then product is
perceived to be of good quality.
❑If Q is less than 1, then it is
perceived to be of bad quality.

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What is Grade?

Category or rank given to different quality requirements

for products, processes, or systems having the same
functional use.
(ISO 9000:2000)

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8 Dimensions of Product Quality

(Ref: Garvin 88)

Performance

Perceived Quality Features

Aesthetics Reliability

Serviceability Conformance

Durability
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Product Quality Dimensions
1. PERFORMANCE: primary operating characteristics of the product or
service; they are usually measurable
2. FEATURES: additional characteristics that enhance the product/services
appeal to the user
3. RELIABILITY: likelihood that a product will not fail within a specific time
period
4. CONFORMANCE: precision with which the product or service meets the
specified standards (AQL)
5. DURABILITY: measures the length of a product’s life
6. SERVICEABILITY: speed with which the product can be put into service
when it breaks down, as well as the competence and behavior of the
serviceperson. (MTTR)
7. AESTHETICS: subjective dimension indicating the kind of response a user
has to a product. It represents the individual’s personal preference-the way an
individual responds to the look, feel, sound, taste, and smell
8. PERCEIVED QUALITY: a subjective dimension; it is the quality
attributed to a good or service based on indirect measures

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Service Quality Dimensions
❑Parasuraman, Zeithamel, & Berry: Three marketing professors
from Texas A & M University, published a widely recognized
set of service quality dimensions.
❑Tangibles
❑ Service Reliability
❑ Responsiveness
❑ Assurance
❑ Empathy TIME
❑ Availability
❑ Professionalism
❑ Timeliness
❑ Completeness
❑ Pleasantness

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Perceived Service Quality
Word of Personal Past
mouth needs experience

Service Quality Service Quality Assessment

Dimensions Expected 1. Expectations exceeded
ES<PS (Quality surprise) ☺
Reliability service
Responsiveness
2. Expectations met
Assurance
ES~PS (Satisfactory quality)
Empathy Perceived
3. Expectations not met
Tangibles service
Time ES>PS (Unacceptable quality) 
Timeliness

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Service Quality Gap Model
CUSTOMER WORD OF MOUTH PERSONAL NEEDS PAST EXPERIENCE

Expected Service

GAP – 5

Perceived Service
✓ Insufficient relationship focus
✓ Lack of upward communication
✓ Inadequate market research orientation
GAP – 1

Service Delivery (including

External Communications
pre and post contract
COMPAY

GAP – 3
✓ Deficiencies of human resource policies

to Customers
✓ Failure to match supply and demand
✓ Customers not fulfilling roles

Translation of Perceptions into

GAP – 2 service Quality Specifications
✓ Absence of customer driven standards
✓ Inadequate service leadership
✓ Poor service design
Management Perceptions of
Customer Specifications
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Eight Quality Management Principles
Customer-focus
understand their needs
Mutually beneficial
supplier relationship Leadership
Establish direction

8 QUALITY
Factual Approach MANAGEMENT Involvement of People
to Management PRINCIPLES

Process Approach
Continual Activities and resources are
Improvement managed and controlled as a
System approach to process
management
Identify, understand and manage
interrelated processes as a system
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QUESTIONS

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