Lecture 1(1)
Lecture 1(1)
I teach on various streams in the part time courses. Current modules I teach on include Regulatory,
Innovation, Science and Management modules for the SETU, Carlow including EDI.
Previously worked in consulting for start-up enterprises and have a mixed background in management in
Food and Pharmaceutical Sector.
Qualifications:
• MBA with focus on Sustainability, Innovation and EDI
• MSc in Industrial Pharmaceutical Science
• Post Grad Certificate in Certificate in Quality Analytics for Biopharma
• BSc in Bioscience with Biopharmaceutical
Support and
Active Engage during
learn
Listening sessions
from each other
• Breaks included
• Avoid ‘Googling’ when working in breakout room or tasks try engage your own mind – I want
your opinion not someone on the internets!
• Please be on time to avoid interrupting the class and to get the most from the lecture
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CA02
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COURSE MODULE CONTENT
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Quality
Although there is no universally accepted definition of
quality, enough similarity does exist among the
definitions that common elements can be extracted:
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u What is quality?
Dictionary has many definitions: “Essential
characteristic,” “Superior,” etc.
Patient health and safety are foundational to everything we do. We achieve our
high standards in product quality and safety through proactive and transparent
systems and processes, and clear communications to our patients, providers and
stakeholders about the benefits and risks of our products. We hold ourselves
accountable to one another and strive to create a workforce that embodies
Pfizer’s core values and the principles of quality and integrity.
Concepts
u What is a customer?
Anyone who is impacted by the product or process delivered by an
organization.
External customer: The end user as well as intermediate processors.
Other external customers may not be purchasers but may have
some connection with the product.
Internal customer: Other divisions of the company that receive the
processed product.
u What is a product?
The output of the process carried out by the organization. It may be
goods (e.g. automobiles, missile), software (e.g. a computer code,
a report) or service (e.g. banking, insurance)
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Concepts
u How is customer satisfaction achieved?
Two dimensions: Product features and Freedom from deficiencies.
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Why Quality?
Reasons for quality becoming a cardinal priority for
most organizations:
u Competition – Today’s market demand high quality
products at low cost. Having `high quality’
reputation is not enough! Internal cost of
maintaining the reputation should be less.
u Changing customer – The new customer is not only
commanding priority based on volume but is more
demanding about the “quality system.”
u Changing product mix – The shift from low volume,
high price to high volume, low price have resulted
in a need to reduce the internal cost of poor quality.
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Why Quality?
1. Perfection
2. Consistency
3. Eliminating waste
4. Speed of delivery
5. Compliance with policies and procedures
6. Doing it right the first time
7. Delighting or pleasing customers
8. Total customer satisfaction and service
Quality levels
uAny ideas?
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Total Quality Approach
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FDA CFR Defines Quality as:
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HISTORY AND DEVELOPMENT
OF TOTAL QUALITY
• The total quality movement had its roots in the time and motion
studies conducted by Frederick Taylor in the 1920s
• On the next slide the timeline shows some of the major events in the
evolution of the total quality movement since the days of Taylor. Taylor
is now known as "the father of scientific management.”
• World War II had an impact on quality that is still being felt. In general,
the effect was negative for the United States and positive for Japan.
HISTORY AND DEVELOPMENT
OF TOTAL QUALITY
u Because of the urgency to meet production schedules
during the war, U.S. companies focused more on
meeting delivery dates than on quality. This approach
became a habit that carried over even after the war.
u Quality Gurus
uIndividuals who have been identified as making a
significant contribution to improving the quality of
goods and services.
uWalter A. Shewhart
uW. Edwards Deming
uJoseph M. Juran
uArmand Feigenbaum
uPhilip Crosby
uGenichi Taguchi
uKaoru Ishikawa
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Three of the Quality Gurus Compared
uWalter A. Shewhart
uStatistician at Bell Laboratories
u Developed statistical control process methods to
distinguish between random and nonrandom
variation in industrial processes to keep processes
under control.
u Developed the “plan-do-check-act” (PDCA) cycle
that emphasizes the need for continuous
improvement.
u Strongly influenced Deming and Juran.
Shewhart’s Plan-Do-Check-Act
(PDCA) Cycle
Source: “The PDCA Cycle” from Deming Management at Work by Mary Walton, copyright © 1990
by Mary Walton. Used by permission of G. P. Putnam’s Sons, a division of Penguin Putnam, Inc.
W. EDWARDS DEMING
u Of the various quality pioneers in the United States,
the best known is W. Edwards Deming
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The Deming philosophy
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The Deming philosophy
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The Seven Deadly Diseases
Interestingly, in addition to providing management with his useful
14 principles, Deming also identified what he labelled as the
"Seven Deadly Diseases".
Deming's seven deadly diseases of Management describe the
most serious barriers that management faces to improving
effectiveness and continual improvement.
u Defined
product quality as “fitness for use” as viewed by the
customer in:
u Quality of design
u Quality of conformance
u Availability
u Safety
u Field use
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Juran's Three Basic Steps to Progress
4. Provide training.
6. Report progress
7. Give recognition.
8. Communicate results.
9. Keep score.
u Armand Feigenbaum
u Proposed the concept of “total quality control,”
making quality everyone’s responsibility.
u Stressed interdepartmental communication.
u Emphasized careful measurement and report of
quality costs
u PhilipCrosby
u Preached that “quality is free.”
u Believed that an organization can reduce overall
costs by improving the overall quality of its
processes.
Philip Crosby
Absolute’s of Management
u Quality means conformance to requirements not
elegance.
u There is no such thing as quality problem.
u There is no such thing as economics of quality: it is
always cheaper to do the job right the first time.
u The only performance measurement is the cost of
quality: the cost of non-conformance.
1. Make it clear that management is committed to quality for the long term.
2. Form cross-departmental quality teams.
3. Identify where current and potential problems exist.
4. Assess the cost of quality and explain how it is used as a management fool.
5. Increase the quality awareness and personal commitment of all employees.
6. Take immediate action to correct problems identified.
7. Establish a zero defects program.
8. Train supervisors to carry out their responsibilities in the quality program.
9. Hold a Zero Defects Day to ensure all employees are aware there is a new direction.
10. Encourage individuals and teams to establish both personal and team improvement goals.
11. Encourage employees to tell management about obstacles they face in trying to meet quality
12. Recognize employees who participate.
13. Implement quality councils to promote continual communication.
14. Repeat everything to illustrate that quality improvement is a never-ending process,
History of quality management
u Next 20 odd years, when top managers in USA focused on
marketing, production quantity and financial performance,
Japanese managers improved quality at an unprecedented
rate.
u Market started preferring Japanese products and American
companies suffered immensely.
u America woke up to the quality revolution in early 1980s.
Ford Motor Company consulted Dr. Deming to help
transform its operations.
(By then, 80-year-old Deming was virtually unknown in USA.
Whereas Japanese government had instituted The Deming
Prize for Quality in 1950.)
u Managers started to realize that “quality of management” is
more important than “management of quality.” Birth of the
term Total Quality Management (TQM).
u TQM – Integration of quality principles into organization’s
management systems. 66
The Quality Gurus (cont’d)
u Genichi Taguchi
uEmphasized the minimization of variation.
uConcerned with the cost of quality to society.
uExtended Juran’s concept of external failure.
u Kaoru Ishikawa
uDeveloped problem-solving tools such as the
cause-and-effect (fishbone) diagram.
uCalled the father of quality circles.
Defining the Dimensions of
Quality
uQuality in Goods uQuality in Services
uPerformance uReliability
uFeatures uTangibles
uReliability uResponsiveness
uDurability uAssurance
uConformance uEmpathy
uServiceability
uAesthetics
uPerceived quality
TOTAL QUALITY CHARACTERISTICS
v A total commitment to continually increasing value for customers,
investors, and employees
v A firm understanding that market driven means that quality is defined by
customers, not the company
v A commitment to leading people with a bias for continuous improvement
and communication
v A recognition that sustained growth requires the simultaneous
achievement of four objectives continually forever:
v (a) customer satisfaction,
v (b) cost leadership,
v (c) effective human resources
v (d) integration with the supplier base
v A commitment to fundamental improvement through knowledge, skills,
problem solving, and teamwork
v A commitment to fast-paced, constant learning, and an ability to respond
quickly to changes in the competitive environment
v A commitment to achieving end-to-end collaboration using web-based, on-
demand tools that are fully integrated throughout the supply chain
v A commitment to maintaining an environment in which creativity, critical
thinking, and innovation are not just encouraged and supported, but
demanded
Future of Quality
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The Future of Quality
u There are several trends that will shape the future
of quality management. These trends are as
follows:
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Quality and Global
Competitiveness
u One of the results of World War II combined with
subsequent technological advances was the creation of
the global marketplace.
u Following the war, industrialized countries began looking
for markets outside their own borders. Although the war
gave the world a boost in this regard, it was advances in
technology that really made the global marketplace
possible.
u Advances in communications technology have made
people from all over the world electronic neighbours and
electronic customers.
u Advances in transportation technology allow raw
materials produced in one country to be used in the
manufacture of products in a second country that are in
David L. Goetsch and Stanley
turn, sold to end users in a third country Davis,Seventh Edition (2013) - Quality
Management for Organizational
Excellence:Introduction to Total
Quality
The Cost of Poor Quality
u Few things affect an organization's ability to compete in
the global marketplace more than the costs associated
with poor quality.
u When an organization does what is necessary to improve
its performance by reducing deficiencies in key areas
cycle time, warranty costs, scrap and rework, on-time
delivery, billing, etc.), it can reduce overall costs without
eliminating essential services, functions, product
features, ana personnel.
u Reducing the costs associated with poor quality is
mandatory for companies that hope to compete in the
global marketplace.
u Reducing such costs is one of the principal drivers
behind the total quality concept of continual
improvement.
David L. Goetsch and Stanley
Davis,Seventh Edition (2013) - Quality
Management for Organizational
Excellence:Introduction to Total
Quality
The Characteristics of World
Class Organisations