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Dr.K.Baranidharan
Present by…
Total Quality
Management
TQM
213 July 2013
DEMING
CONTRIBUTIONS
3
Which Quality Guru was a key player, a
mastermind in Total Quality Management
programs?
Why, Dr. W. Edwards Deming, of course!
4
W. Edwards Deming
“everything is the
fault (or credit)
of top management.”
5
W. Edward Deming
• Received a Ph.D. in physics and trained as a
statistician
• Worked for Western Electric in the 1920s and 30s
• After World War II helped Japan implement his
statistical quality control
• Deming became known in 1980 when the
broadcast program entitled If Japan Can…Why
Can’t We?
• Credited with having the greatest influence on
quality management
• Quality philosophy focused on reducing
uncertainty and variability
Slide 3.3
6
W. Edwards Deming
• Takes a systems and leadership
approach to quality. Concepts
associated with his approach
include:
–14 Points
–7 Deadly Diseases
–Deming cycle (Plan-do-check-act)
–System of Profound Knowledge
7
1.Create a constant purpose toward
improvement.
• Plan for quality in the long term.
• Resist reacting with short-term solutions.
• Don't just do the same things better –
find better things to do.
• Predict and prepare for future challenges,
and always have the goal of getting
better
8
2.Adopt the new philosophy.
o Embrace quality throughout the
organization.
o Put your customers' needs first, rather than
react to competitive pressure – and design
products and services to meet those needs.
o Be prepared for a major change in the way
business is done. It's about leading, not
simply managing.
o Create your quality vision, and implement
it.
9
3.Stop depending on inspections.
 Inspections are costly and unreliable – and
they don't improve quality, they merely
find a lack of quality.
 Build quality into the process from start to
finish.
 Don't just find what you did wrong –
eliminate the "wrongs" altogether.
 Use statistical control methods – not
physical inspections alone – to prove that
the process is working.
10
4.Use a single supplier for any one item.
 Quality relies on consistency – the less variation
you have in the input, the less variation you'll
have in the output.
 Look at suppliers as your partners in quality.
Encourage them to spend time improving their
own quality – they shouldn't compete for your
business based on price alone.
 Analyze the total cost to you, not just the initial
cost of the product.
 Use quality statistics to ensure that suppliers meet
your quality standards.
11
5.Improve constantly and forever.
 Continuously improve your systems and
processes. Deming promoted the Plan-Do-
Check-Act approach to process analysis and
improvement.
 Emphasize training and education so
everyone can do their jobs better.
 Use kaizen as a model to reduce waste and
to improve productivity, effectiveness, and
safety
12
6.Use training on the job.
 Train for consistency to help reduce
variation.
 Build a foundation of common
knowledge.
 Allow workers to understand their
roles in the "big picture."
 Encourage staff to learn from one
another, and provide a culture and
environment for effective teamwork.
13
7.Implement leadership.
 Expect your supervisors and managers to
understand their workers and the processes they
use.
 Don't simply supervise – provide support and
resources so that each staff member can do his or
her best. Be a coach instead of a policeman.
 Figure out what each person actually needs to do
his or her best.
 Emphasize the importance of participative
management and transformational leadership.
 Find ways to reach full potential, and don't just
focus on meeting targets and quotas
14
8.Eliminate fear.
• Allow people to perform at their best by ensuring that
they're not afraid to express ideas or concerns.
• Let everyone know that the goal is to achieve high
quality by doing more things right – and that you're
not interested in blaming people when mistakes
happen.
• Make workers feel valued, and encourage them to look
for better ways to do things.
• Ensure that your leaders are approachable and that
they work with teams to act in the company's best
interests.
• Use open and honest communication to remove fear
from the organization.
15
9.Break down barriers between departments.
o Build the "internal customer" concept –
recognize that each department or function
serves other departments that use their
output.
o Build a shared vision.
o Use cross-functional teamwork to build
understanding and reduce adversarial
relationships.
o Focus on collaboration and consensus instead
of compromise.
16
10.Get rid of unclear slogans.
 Let people know exactly what you want –
don't make them guess. "Excellence in
service" is short and memorable, but what
does it mean? How is it achieved? The
message is clearer in a slogan like "You can
do better if you try."
 Don't let words and nice-sounding phrases
replace effective leadership. Outline your
expectations, and then praise people face-to-
face for doing good work.
17
11.Eliminate management by objectives.
 Look at how the process is carried out, not
just numerical targets. Deming said that
production targets encourage high output
and low quality.
 Provide support and resources so that
production levels and quality are high and
achievable.
 Measure the process rather than the
people behind the process.
18
12.Remove barriers to pride of
workmanship.
 Allow everyone to take pride in their
work without being rated or compared.
 Treat workers the same, and don't make
them compete with other workers for
monetary or other rewards. Over time,
the quality system will naturally raise
the level of everyone's work to an
equally high level
19
13.Implement education and self-
improvement.
 Improve the current skills of
workers.
 Encourage people to learn new skills
to prepare for future changes and
challenges.
 Build skills to make your workforce
more adaptable to change, and
better able to find and achieve
improvements. 20
14.Make "transformation" everyone's job.
 Improve your overall organization by
having each person take a step toward
quality.
 Analyze each small step, and understand
how it fits into the larger picture.
 Use effective change management
principles to introduce the new
philosophy and ideas in Deming's 14
points.
21
Slide 3.5
Deming Chain Reaction
Improve quality
Costs decrease because of
less rework and mistakes
Productivity improves
Capture market with better
quality and lower price
Stay in business and provide more jobs
22
QUALITY GURUS
Dr. DEMING.
PLAN
CHECK
DOACT
The Deming Cycle or PDCA Cycle
Plan a change to the process. Predict the
effect this change will have and plan how
the effects will be measured
Implement the change on
a small scale and measure
the effects
Adopt the change as a
permanent modification
to the process, or
abandon it.
Study the results to
learn what effect the
change had, if any.
23
QUALITY GURUS
Deming’s 7 Deadly Sins
• Lack of constancy of purpose
• Emphasis on short term results
• Evaluation-- merit rating, annual review
• Mobility of management
• Relying on visible figures alone
• Excessive medical cost
• Excessive legal costs
24
Slide 3.6
Deming’s System of Profound
Knowledge
• Appreciation for a system
• Understanding variation
• Theory of knowledge
• Psychology
25
Appreciation for a Systems
A system is a set of functions or activities
within an organization that work together
for the aim of the organization.
• Components must work together
• Management must optimize the system
• Every system must have a purpose
26
Knowledge of Statistical theory
•Knowledge and
understanding of variation,
process capability, control
charts, interaction and loss
functions.
27
Theory of Knowledge
• Knowledge is not possible without theory
• Experience alone does not establish a theory,
it only describes
• Theory shows a cause and effect relationship
that can be used for prediction
28
Knowledge Psychology
• Sincere trust and belief in people
• Understanding of how people work in systems
• People are motivated intrinsically and
extrinsically; intrinsic motivation is the most
powerful
• Fear is demotivating
• Managers should develop pride and joy in
work
29
Dr.K.Baranidharan
THANK YOU

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Deming's 14 Points for Quality Management

  • 4. Which Quality Guru was a key player, a mastermind in Total Quality Management programs? Why, Dr. W. Edwards Deming, of course! 4
  • 5. W. Edwards Deming “everything is the fault (or credit) of top management.” 5
  • 6. W. Edward Deming • Received a Ph.D. in physics and trained as a statistician • Worked for Western Electric in the 1920s and 30s • After World War II helped Japan implement his statistical quality control • Deming became known in 1980 when the broadcast program entitled If Japan Can…Why Can’t We? • Credited with having the greatest influence on quality management • Quality philosophy focused on reducing uncertainty and variability Slide 3.3 6
  • 7. W. Edwards Deming • Takes a systems and leadership approach to quality. Concepts associated with his approach include: –14 Points –7 Deadly Diseases –Deming cycle (Plan-do-check-act) –System of Profound Knowledge 7
  • 8. 1.Create a constant purpose toward improvement. • Plan for quality in the long term. • Resist reacting with short-term solutions. • Don't just do the same things better – find better things to do. • Predict and prepare for future challenges, and always have the goal of getting better 8
  • 9. 2.Adopt the new philosophy. o Embrace quality throughout the organization. o Put your customers' needs first, rather than react to competitive pressure – and design products and services to meet those needs. o Be prepared for a major change in the way business is done. It's about leading, not simply managing. o Create your quality vision, and implement it. 9
  • 10. 3.Stop depending on inspections.  Inspections are costly and unreliable – and they don't improve quality, they merely find a lack of quality.  Build quality into the process from start to finish.  Don't just find what you did wrong – eliminate the "wrongs" altogether.  Use statistical control methods – not physical inspections alone – to prove that the process is working. 10
  • 11. 4.Use a single supplier for any one item.  Quality relies on consistency – the less variation you have in the input, the less variation you'll have in the output.  Look at suppliers as your partners in quality. Encourage them to spend time improving their own quality – they shouldn't compete for your business based on price alone.  Analyze the total cost to you, not just the initial cost of the product.  Use quality statistics to ensure that suppliers meet your quality standards. 11
  • 12. 5.Improve constantly and forever.  Continuously improve your systems and processes. Deming promoted the Plan-Do- Check-Act approach to process analysis and improvement.  Emphasize training and education so everyone can do their jobs better.  Use kaizen as a model to reduce waste and to improve productivity, effectiveness, and safety 12
  • 13. 6.Use training on the job.  Train for consistency to help reduce variation.  Build a foundation of common knowledge.  Allow workers to understand their roles in the "big picture."  Encourage staff to learn from one another, and provide a culture and environment for effective teamwork. 13
  • 14. 7.Implement leadership.  Expect your supervisors and managers to understand their workers and the processes they use.  Don't simply supervise – provide support and resources so that each staff member can do his or her best. Be a coach instead of a policeman.  Figure out what each person actually needs to do his or her best.  Emphasize the importance of participative management and transformational leadership.  Find ways to reach full potential, and don't just focus on meeting targets and quotas 14
  • 15. 8.Eliminate fear. • Allow people to perform at their best by ensuring that they're not afraid to express ideas or concerns. • Let everyone know that the goal is to achieve high quality by doing more things right – and that you're not interested in blaming people when mistakes happen. • Make workers feel valued, and encourage them to look for better ways to do things. • Ensure that your leaders are approachable and that they work with teams to act in the company's best interests. • Use open and honest communication to remove fear from the organization. 15
  • 16. 9.Break down barriers between departments. o Build the "internal customer" concept – recognize that each department or function serves other departments that use their output. o Build a shared vision. o Use cross-functional teamwork to build understanding and reduce adversarial relationships. o Focus on collaboration and consensus instead of compromise. 16
  • 17. 10.Get rid of unclear slogans.  Let people know exactly what you want – don't make them guess. "Excellence in service" is short and memorable, but what does it mean? How is it achieved? The message is clearer in a slogan like "You can do better if you try."  Don't let words and nice-sounding phrases replace effective leadership. Outline your expectations, and then praise people face-to- face for doing good work. 17
  • 18. 11.Eliminate management by objectives.  Look at how the process is carried out, not just numerical targets. Deming said that production targets encourage high output and low quality.  Provide support and resources so that production levels and quality are high and achievable.  Measure the process rather than the people behind the process. 18
  • 19. 12.Remove barriers to pride of workmanship.  Allow everyone to take pride in their work without being rated or compared.  Treat workers the same, and don't make them compete with other workers for monetary or other rewards. Over time, the quality system will naturally raise the level of everyone's work to an equally high level 19
  • 20. 13.Implement education and self- improvement.  Improve the current skills of workers.  Encourage people to learn new skills to prepare for future changes and challenges.  Build skills to make your workforce more adaptable to change, and better able to find and achieve improvements. 20
  • 21. 14.Make "transformation" everyone's job.  Improve your overall organization by having each person take a step toward quality.  Analyze each small step, and understand how it fits into the larger picture.  Use effective change management principles to introduce the new philosophy and ideas in Deming's 14 points. 21
  • 22. Slide 3.5 Deming Chain Reaction Improve quality Costs decrease because of less rework and mistakes Productivity improves Capture market with better quality and lower price Stay in business and provide more jobs 22
  • 23. QUALITY GURUS Dr. DEMING. PLAN CHECK DOACT The Deming Cycle or PDCA Cycle Plan a change to the process. Predict the effect this change will have and plan how the effects will be measured Implement the change on a small scale and measure the effects Adopt the change as a permanent modification to the process, or abandon it. Study the results to learn what effect the change had, if any. 23
  • 24. QUALITY GURUS Deming’s 7 Deadly Sins • Lack of constancy of purpose • Emphasis on short term results • Evaluation-- merit rating, annual review • Mobility of management • Relying on visible figures alone • Excessive medical cost • Excessive legal costs 24
  • 25. Slide 3.6 Deming’s System of Profound Knowledge • Appreciation for a system • Understanding variation • Theory of knowledge • Psychology 25
  • 26. Appreciation for a Systems A system is a set of functions or activities within an organization that work together for the aim of the organization. • Components must work together • Management must optimize the system • Every system must have a purpose 26
  • 27. Knowledge of Statistical theory •Knowledge and understanding of variation, process capability, control charts, interaction and loss functions. 27
  • 28. Theory of Knowledge • Knowledge is not possible without theory • Experience alone does not establish a theory, it only describes • Theory shows a cause and effect relationship that can be used for prediction 28
  • 29. Knowledge Psychology • Sincere trust and belief in people • Understanding of how people work in systems • People are motivated intrinsically and extrinsically; intrinsic motivation is the most powerful • Fear is demotivating • Managers should develop pride and joy in work 29