Subject Title: Tour and Travel Management

Course/Level: 1HRM2/1TM

INTRODUCTION TO QUALITY HISTORY OF TOTAL QUALITY MANAGEMENT

In the recent years, tourism and hospitality sectors had seen greater growth
on the consumption habits of consumers and guests relating to travel, food,
accommodation and leisure making it one of the fastest growing sectors.
With such, increasing attention has been given to management, marketing
and technology advancement of industries in these areas.

Importance of Quality
 1920s - Some of the first seeds of quality management were planted as
 Quality is uniquely positioned to accelerate organizational growth the principles of scientific management swept through U.S. industry.
through better execution and alignment Businesses clearly separated the processes of planning and carrying out
 Quality provides the voice of the customer critical to developing the plan, and union opposition arose as workers were deprived of a
innovative products and services. voice in the conditions and functions of their work. The Hawthorne
 Quality can provide an organization with a competitive edge experiments in the late 1920s showed how worker productivity could be
 “No quality, no sales. No sales, no profit. No profit, no jobs.” impacted by participation.
 1930s - Walter Shewhart developed the methods for statistical analysis
Why Quality? and control of quality.
Reasons for quality becoming a cardinal priority for most organizations:  1950s – W. Edwards Deming taught methods for statistical analysis and
 Competition – Today’s market demand high quality products at low control quality to Japanese engineers and executives. This can be
cost. Having `high quality’ reputation is not enough! Internal cost of considered as the origin of TQM.
maintaining the reputation should be less.
 Changing customer – The new customer is not only commanding Joseph M. Juran taught the concepts of controlling quality and
priority based on volume but is more demanding about the “quality managerial breakthrough.
system.”
Armand V. Feigenbaum’s book Total Quality Control, a forerunner for
 Changing product mix – The shift from low volume, high price to high
the present understanding of TQM, was published.
volume, low price have resulted in a need to reduce the internal cost of
poor quality. Philip B. Crosby’s promotion of zero defects paved the way for quality
 Product complexity – As systems have become more complex, the improvement in many companies.
reliability requirements for suppliers of components have become more
stringent.  1968 – The Japanese named their approach to total quality
 Higher levels of customer satisfaction – Higher customers’ expectations “companywide quality control”. It is around this time that the term
are getting spawned by increasing competition. quality management systems arise.

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Subject Title: Tour and Travel Management
Course/Level: 1HRM2/1TM

Kauro Ishikawa’s synthesis of the philosophy contributed to Japan’s 2. Quality control – process of meeting quality goals during operations.
ascendancy as a quality leader. Control parameters. Measuring the deviation and taking actions.
3. Quality improvement – process for breaking through to
 Today – TQM is the name for the philosophy of a broad and systematic unprecedented or unknown levels of performance. Identify areas of
approach to managing organizational quality. improvement and get the right people to bring about the change.

Quality standards such as the ISO 9000 series and quality award  PHILIP CROSBY – preached that “quality is free”. He believed that an
programs such as the Deming Prize and the Malcolm Baldrige National organization can reduce overall costs by improving the overall quality of
Quality Award specify principles and process that comprise TQM. its processes.

TQM as a term to describe an organization’s quality policy and Crosby’s Absolutes of Management
procedure has fallen out of favor as international standards for quality  Quality means conformance to requirements not elegance.
management have been developed. Crosby believed that quality is a concrete measure of how well a
LEADERS IN QUALITY REVOLUTION product or service meets its specified criteria.
 There is no such thing as quality problem. Crosby believed that
 WALTER SHEWHART – developed statistical control methods to quality problems should be identified by the people who
distinguish between random and nonrandom variations in industrial created them.
processes to keep processes under control. He also developed the  There is no such thing as economics of quality: it is always
“plan-do-check-act” (PDCA) cycle that emphasizes the need for cheaper to do the job right the first time. He believed that it is
continuous improvement. He is known as the “Father of Statistical always cheaper to do the job right the first time, rather than
Process Control”. fixing mistakes later.
 JOSEPH M. JURAN – emphasized the importance of producing quality  The only performance measurement is the cost of quality: the
products through an approach focused on quality planning, controlling, cost is non-conformance. Where: Cost of quality (COQ):
and improvement. He defined product quality as “fitness for use” as Measures the financial impact of defects or failures in
viewed by the customer in: quality of design, availability, quality of quality. Cost of non-conformance, (CONC): The cost of fixing
conformance, safety, and field use. He also categorizes cost of quality defects or reworking products that don't meet quality
as: cost of prevention, cost of detection/appraisal, and cost of failure. standards. Cost of conformance, and (COC): The cost of making
sure products meet requirements.
Juran’s Quality Trilogy
Crosby’s Basic Elements of Improvement
1. Quality Planning – process of preparing to meet quality goals.  Determination – commitment by the top management
Involves understanding customer needs and developing product  Education – of the employees towards Zero Defects
features.

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Subject Title: Tour and Travel Management
Course/Level: 1HRM2/1TM

 Implementation – of the organizational process towards zero at work. He believed that employees at all levels of an organization
defects. should participate in quality improvement efforts. He also
advocated the use of simple visual tools and statistical techniques.
 ARMAND FEIGENBAUM – proposed the concept of “total quality Ishikawa believed that total quality could be achieved by collecting
control”, “making quality everybody’s responsibility”. and analyzing factual data using statistical techniques, simple visual
tools, and teamwork.
Three Steps of Quality
 Quality Leadership, with strong focus on planning
 Modern Quality Technology, involving the entire work force
 Organizational Commitment, supported by continuous training
and motivation.

 KAORU ISHIKAWA – developed problem-solving tools such as

cause-and-effect or Fishbone Diagram, which helps to Identify all
potential or probable causes and select the best cause which
contributes to the problem/effect.

He is called as the Father of Quality Circles wherein small groups of

employees who voluntarily met to improve quality and productivity