OM CH 5 Total Quality Management
Total Quality Management
TQM is an integrated effort designed to improve quality performance at every level of the organization. Customer-defined quality is the meaning of quality as defined by the customer.
conformance to specifications, fitness for use, value for price paid, support services, psychological criteria
Conformance to specifications
measures how well a product or service meets the targets and tolerances determined by its designers.
Fitness for use
evaluates performance for intended use.
Value for Price Paid
evaluation of usefulness vs. price paid.
quality of support after sale.
ambiance, prestige, friendly staff.
conformance to specifications, performance, reliability, features, durability, serviceability
Conformance to specifications
which is the degree to which a product characteristic meets preset standards.
such as acceleration of a vehicle.
that the product will function as expected without failure.
the extras that are included beyond the basic characteristics.
the expected operational life of the product.
how readily a product can be repaired.
intangible factors, consistency,responsiveness to cusomer needs, courtesy/friendliness, timeliness/promptness, atmosphere
makes defining quality difficult.
the degree to which the service is the same each time.
Responsiveness to customer needs
needs attentive to needs and complaints.
in resolving complaints.
is less costly *maybe by a factor of 10
Quality control costs
costs necessary for achieving high quality.
are costs of preparing and implementing a quality plan or preventing poor quality from occurring.
are costs of testing, evaluating, and inspecting quality or of uncovering defects.
Quality failure costs
cost consequences of poor quality.
Internal failure costs
are costs of scrap, rework, and material losses or from discovering poor product quality before the product reaches the customer.
External failure costs
are costs of failure at customer site, including returns, repairs, and recalls or that is associated with quality problems that occur at the customer site.
W. Edwards Deming
stressed management’s responsibility for quality; developed “14 points” to guide companies in quality improvement. 80% of the problems are identified in the process area. The “father of quality control.”
Phillip B. Crosby
coined the phrase “quality is free”; introduced concept of zero defects. Developed the phrase “do it right the first time”, and the notion of zero defects, arguing that no amount of defect should be considered acceptable.
TQM Philosophy (focus/concepts)
Customer focus, continuous improvement, employee empowerment, use of quality tools, product design, process management, and managing supplier quality
is the goal to identify and meet customer needs.
is a philosophy of never-ending improvement.
is the concept that employees are expect to seek out, identify, and correct quality problems.
is ongoing employee training in the use of quality tools.
is when products need to be designed to meet customer expectations.
is when quality should be built into the process; sources of quality problems should be identified and corrected. Intermittent/Repetitive.
Managing supplier quality
is when quality concepts must extend to a company’s suppliers.
Deming Wheel (PDSA)
cycle is a diagram that describes the activities that need to be performed to incorporate continuous improvement into the operation.
managers must evaluate the current process and make plans based on any problems they find.
implementing the plan.
study the data collected in the do phase.
act on the basis of the results from the first three phases.
stresses that quality is an organizational effort.
is a team of volunteer production employees and their supervisors
Cause-and-effect (fishbone) diagram
is a chart that identifies potential causes of particular quality problems.
is a schematic of the sequence of steps involved in an operation or process.
is a list of common defects and the number of observed occurrences of those defects.
are used to evaluate whether a process is operating within set expectations.
are graphs that show how two variables are related to each other.
is a technique used to identify quality problems based on their degree of importance. 80/20 Rule 80% of your problems are caused by 20% of your problems.
is a chart that shows the frequency distribution of observed values of a variable.
Quality function deployment (QFD)
is a tool used to translate the preferences of the customer into specific technical requirements.
we need to survey our customers to find out specifically what they want in a product.
an evaluation of how the product compares to those of competitors.
The relationship matrix
the strength of the relationship between customer requirements and product characteristics.
The trade-off matrix
shows how each product characteristic is related to the others and thus allows us to see what trade-offs we need to make.
evaluate competitors” products relative to the specific product characteristic and to set targets for our own product.
is the probability that a product, service, or part will perform as intended. No product is 100% certain to function properly. Reliability of a system is the product of component reliabilities.
ISO 9000 Standards
is a set of international quality standards and a certification demonstrating that companies have met all the standards specified.
ISO 14000 Standards
is a set of international standards and a certification focusing on a company’s environmental responsibility.
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