Total quality management

Last updated

Total quality management (TQM) consists of organization-wide efforts to "install and make permanent climate where employees continuously improve their ability to provide on demand products and services that customers will find of particular value." [1] "Total" emphasizes that departments in addition to production (for example sales and marketing, accounting and finance, engineering and design) are obligated to improve their operations; "management" emphasizes that executives are obligated to actively manage quality through funding, training, staffing, and goal setting. While there is no widely agreed-upon approach, TQM efforts typically draw heavily on the previously developed tools and techniques of quality control. TQM enjoyed widespread attention during the late 1980s and early 1990s before being overshadowed by ISO 9000, Lean manufacturing, and Six Sigma.

Contents

History

In the late 1970s and early 1980s, the developed countries of North America and Western Europe suffered economically in the face of stiff competition from Japan's ability to produce high-quality goods at competitive cost. For the first time since the start of the Industrial Revolution, the United Kingdom became a net importer of finished goods. The United States undertook its own soul-searching, expressed most pointedly in the television broadcast of If Japan Can... Why Can't We?. Firms began reexamining the techniques of quality control invented over the past 50 years and how those techniques had been so successfully employed by the Japanese. It was in the midst of this economic turmoil that TQM took root.

The exact origin of the term "total quality management" is uncertain. [2] It is almost certainly inspired by Armand V. Feigenbaum's multi-edition book Total Quality Control ( OCLC   299383303) and Kaoru Ishikawa's What Is Total Quality Control? The Japanese Way ( OCLC   11467749). It may have been first coined in the United Kingdom by the Department of Trade and Industry during its 1983 "National Quality Campaign". [2] Or it may have been first coined in the United States by the Naval Air Systems Command to describe its quality-improvement efforts in 1985. [2]

Development in the United States

In the spring of 1984, an arm of the United States Navy asked some of its civilian researchers to assess statistical process control and the work of several prominent quality consultants and to make recommendations as to how to apply their approaches to improve the Navy's operational effectiveness. [3] The recommendation was to adopt the teachings of W. Edwards Deming. [3] [4] The Navy branded the effort "Total Quality Management" in 1985. [3] [Note 1]

From the Navy, TQM spread throughout the US Federal Government, resulting in the following:

The US Environmental Protection Agency's Underground Storage Tanks program, which was established in 1985, also employed Total Quality Management to develop its management style. [8] The private sector followed suit, flocking to TQM principles not only as a means to recapture market share from the Japanese, but also to remain competitive when bidding for contracts from the Federal Government [9] since "total quality" requires involving suppliers, not just employees, in process improvement efforts.

Features

There is no widespread agreement as to what TQM is and what actions it requires of organizations, [10] [11] [12] however a review of the original United States Navy effort gives a rough understanding of what is involved in TQM.

The key concepts in the TQM effort undertaken by the Navy in the 1980s include: [13]

The Navy used the following tools and techniques:

Notable definitions

While there is no generally accepted definition of TQM, several notable organizations have attempted to define it. These include:

United States Department of Defense (1988)

"Total Quality Management (TQM) in the Department of Defense is a strategy for continuously improving performance at every level, and in all areas of responsibility. It combines fundamental management techniques, existing improvement efforts, and specialized technical tools under a disciplined structure focused on continuously improving all processes. Improved performance is directed at satisfying such broad goals as cost, quality, schedule, and mission need and suitability. Increasing user satisfaction is the overriding objective. The TQM effort builds on the pioneering work of Dr. W. E. Deming, Dr. J. M. Juran, and others, and benefits from both private and public sector experience with continuous process improvement." [14]

British Standards Institution standard BS 7850-1:1992

"A management philosophy and company practices that aim to harness the human and material resources of an organization in the most effective way to achieve the objectives of the organization." [15]

International Organization for Standardization standard ISO 8402:1994

"A management approach of an organisation centred on quality, based on the participation of all its members and aiming at long term success through customer satisfaction and benefits to all members of the organisation and society." [16]

The American Society for Quality

"A term first used to describe a management approach to quality improvement. Since then, TQM has taken on many meanings. Simply put, it is a management approach to long-term success through customer satisfaction. TQM is based on all members of an organization participating in improving processes, products, services and the culture in which they work. The methods for implementing this approach are found in the teachings of such quality leaders as Philip B. Crosby, W. Edwards Deming, Armand V. Feigenbaum, Kaoru Ishikawa and Joseph M. Juran." [17]

The Chartered Quality Institute

"TQM is a philosophy for managing an organization in a way which enables it to meet stakeholder needs and expectations efficiently and effectively, without compromising ethical values." [18]

Baldrige Excellence Framework

In the United States, the Baldrige Award, created by Public Law 100–107, annually recognizes American businesses, education institutions, health care organizations, and government or nonprofit organizations that are role models for organizational performance excellence. Organizations are judged on criteria from seven categories: [19]

  1. Leadership
  2. Strategy
  3. Customers
  4. Measurement, analysis, and knowledge management
  5. Workforce
  6. Operations
  7. Results

Example criteria are: [20]

  • How do you obtain information on your customers’ satisfaction relative to their satisfaction with your competitors?
  • How do you select, collect, align, and integrate data and information for tracking daily operations?
  • How do you manage your workforce, its needs, and your needs to ensure continuity, prevent workforce reductions, and minimize the impact of workforce reductions, if they do become necessary?

Joseph M. Juran believed the Baldrige Award judging criteria to be the most widely accepted description of what TQM entails. [10] : 650 

Standards

During the 1990s, standards bodies in Belgium, France, Germany, Turkey, and the United Kingdom attempted to standardize TQM. While many of these standards have since been explicitly withdrawn, they all are effectively superseded by ISO 9000:

Legacy

Interest in TQM as an academic subject peaked around 1993. [2]

The Federal Quality Institute was shuttered in September 1995 as part of the Clinton administration's efforts to streamline government. [21] The European Centre for Total Quality Management closed in August 2009. [22]

TQM, as a vaguely defined quality management approach, was largely supplanted by the ISO 9000 collection of standards and their formal certification processes in the 1990s. Business interest in quality improvement under the TQM name also faded as Jack Welch's success attracted attention to Six Sigma and Toyota's success attracted attention to lean manufacturing, though the three share many of the same tools, techniques, and significant portions of the same philosophy.

TQM lives on in various national quality awards around the globe. [23]

See also

Explanatory footnotes

  1. ↑ The Navy rebranded its effort "Total Quality Leadership" in 1990. [3]

Related Research Articles

A quality management system (QMS) is a collection of business processes focused on consistently meeting customer requirements and enhancing their satisfaction. It is aligned with an organization's purpose and strategic direction. It is expressed as the organizational goals and aspirations, policies, processes, documented information, and resources needed to implement and maintain it. Early quality management systems emphasized predictable outcomes of an industrial product production line, using simple statistics and random sampling. By the 20th century, labor inputs were typically the most costly inputs in most industrialized societies, so focus shifted to team cooperation and dynamics, especially the early signaling of problems via a continual improvement cycle. In the 21st century, QMS has tended to converge with sustainability and transparency initiatives, as both investor and customer satisfaction and perceived quality are increasingly tied to these factors. Of QMS regimes, the ISO 9000 family of standards is probably the most widely implemented worldwide – the ISO 19011 audit regime applies to both and deals with quality and sustainability and their integration.

<span class="mw-page-title-main">Quality control</span> Processes that maintain quality at a constant level

Quality control (QC) is a process by which entities review the quality of all factors involved in production. ISO 9000 defines quality control as "a part of quality management focused on fulfilling quality requirements".

<span class="mw-page-title-main">W. Edwards Deming</span> American engineer and statistician (1900–1993)

ន

The Malcolm Baldrige National Quality Award recognizes U.S. organizations in the business, health care, education, and nonprofit sectors for performance excellence. The Baldrige Award is the highest formal recognition of the performance excellence of both public and private U.S. organizations given by the President of the United States. It is administered by the Baldrige Performance Excellence Program, which is based at and managed by the National Institute of Standards and Technology (NIST), an agency of the U.S. Department of Commerce.

Six Sigma (6σ) is a set of techniques and tools for process improvement. It was introduced by American engineer Bill Smith while working at Motorola in 1986.

In sales, commerce, and economics, a customer is the recipient of a good, service, product or an idea - obtained from a seller, vendor, or supplier via a financial transaction or exchange for money or some other valuable consideration.

A business process, business method or business function is a collection of related, structured activities or tasks by people or equipment in which a specific sequence produces a service or product for a particular customer or customers. Business processes occur at all organizational levels and may or may not be visible to the customers. A business process may often be visualized (modeled) as a flowchart of a sequence of activities with interleaving decision points or as a process matrix of a sequence of activities with relevance rules based on data in the process. The benefits of using business processes include improved customer satisfaction and improved agility for reacting to rapid market change. Process-oriented organizations break down the barriers of structural departments and try to avoid functional silos.

<span class="mw-page-title-main">American Society for Quality</span> Knowledge-based global community of quality professionals

The American Society for Quality (ASQ), formerly the American Society for Quality Control (ASQC), is a society of quality professionals, with nearly 80,000 members.

Quality management ensures that an organization, product or service consistently functions well. It has four main components: quality planning, quality assurance, quality control and quality improvement. Quality management is focused not only on product and service quality, but also on the means to achieve it. Quality management, therefore, uses quality assurance and control of processes as well as products to achieve more consistent quality. Quality control is also part of quality management. What a customer wants and is willing to pay for it, determines quality. It is a written or unwritten commitment to a known or unknown consumer in the market. Quality can be defined as how well the product performs its intended function.

<span class="mw-page-title-main">Business process re-engineering</span>

Business process re-engineering (BPR) is a business management strategy originally pioneered in the early 1990s, focusing on the analysis and design of workflows and business processes within an organization. BPR aims to help organizations fundamentally rethink how they do their work in order to improve customer service, cut operational costs, and become world-class competitors.

Noriaki Kano is a Japanese educator, lecturer, writer, and consultant in the field of quality management. He is the developer of a customer satisfaction model whose simple ranking scheme distinguishes between essential and differentiating attributes related to concepts of customer quality. He is a professor emeritus of the Tokyo University of Science. He was Visiting Professor at the University of Rome III during the academic year 2010-2011.

William B. Smith, Jr. was the "father of Six Sigma". Born in Brooklyn, New York, Smith graduated from the U.S. Naval Academy in 1952 and studied at the University of Minnesota School of Management. In 1987, after working for nearly 35 years in engineering and quality assurance, he joined Motorola, serving as vice president and senior quality assurance manager for the Land Mobile.

IATF 16949:2016 is a technical specification aimed at the development of a quality management system which provides for continual improvement, emphasizing defect prevention and the reduction of variation and waste in the automotive industry supply chain and assembly process. It is based on the ISO 9001 standard and the first edition was published in June 1999 as ISO/TS 16949:1999. IATF 16949:2016 replaced ISO/TS 16949 in October 2016.

Zero Defects is a collaborative programme or philosophy within an organisation, whereby everyone works together towards the ideal goal of there being no defects in quality. As a management-led program to eliminate defects in industrial production, the concept enjoyed brief popularity in American industry from 1964 to the early 1970s. Quality expert Philip Crosby later incorporated it into his "Absolutes of Quality Management" and it enjoyed a renaissance in the American automobile industry—as a performance goal more than as a program—in the 1990s. Although applicable to any type of enterprise, it has been primarily adopted within supply chains wherever large volumes of components are being purchased.

<span class="mw-page-title-main">Joseph M. Juran</span>

Joseph Moses Juran was a Romanian-born American engineer, management consultant and author. He was an advocate for quality and quality management and wrote several books on the topics. He was the brother of Academy Award winner Nathan Juran.

In business, engineering, and manufacturing, quality – or high quality – has a pragmatic interpretation as the non-inferiority or superiority of something ; it is also defined as being suitable for the intended purpose while satisfying customer expectations. Quality is a perceptual, conditional, and somewhat subjective attribute and may be understood differently by different people. Consumers may focus on the specification quality of a product/service, or how it compares to competitors in the marketplace. Producers might measure the conformance quality, or degree to which the product/service was produced correctly. Support personnel may measure quality in the degree that a product is reliable, maintainable, or sustainable. In such ways, the subjectivity of quality is rendered objective via operational definitions and measured with metrics such as proxy measures.

A continual improvement process, also often called a continuous improvement process, is an ongoing effort to improve products, services, or processes. These efforts can seek "incremental" improvement over time or "breakthrough" improvement all at once. Delivery processes are constantly evaluated and improved in the light of their efficiency, effectiveness and flexibility.

Shoji Shiba is an international expert in Total Quality Management (TQM) and Breakthrough Management. Globally he is best known for developing the "Five Step Discovery Process" for Breakthrough Management. In the recent years he has been guiding the transformation of the Indian manufacturing industry.

Total productive maintenance (TPM) started as a method of physical asset management focused on maintaining and improving manufacturing machinery, in order to reduce the operating cost to an organization. After the PM award was created and awarded to Nippon Denso in 1971, the JIPM, expanded it to include 8 pillars of TPM that required involvement from all areas of manufacturing in the concepts of lean Manufacturing. TPM is designed to disseminate the responsibility for maintenance and machine performance, improving employee engagement and teamwork within management, engineering, maintenance, and operations.

Operations management for services has the functional responsibility for producing the services of an organization and providing them directly to its customers. It specifically deals with decisions required by operations managers for simultaneous production and consumption of an intangible product. These decisions concern the process, people, information and the system that produces and delivers the service. It differs from operations management in general, since the processes of service organizations differ from those of manufacturing organizations.

References

  1. ↑ Ciampa, Dan (1992). Total Quality: A User's Guide for Implementation. Reading, Massachusetts: Addison-Wesley. p. xxii. ISBN   9780201549928. OCLC   634190702.
  2. 1 2 3 4 Martínez-Lorente, Angel R.; Dewhurst, Frank; Dale, Barrie G. (1998), "Total Quality Management: Origins and Evolution of the Term", The TQM Magazine, Bingley, United Kingdom: MCB University Publishers Ltd, vol. 10, no. 5, pp. 378–386, CiteSeerX   10.1.1.574.2414 , doi:10.1108/09544789810231261, hdl:10317/441
  3. 1 2 3 4 Houston, Archester; Dockstader, Steven L. (1997), Total Quality Leadership: A Primer (PDF), Washington, D.C.: United States Navy, pp. 10–11, OCLC   38886868, 97-02, retrieved 2013-10-19
  4. ↑ McDaniel, Delora M.; Doherty, Linda M. (February 1990), Total Quality Management Case Study in a Navy Headquarters Organization, San Diego, California: Navy Personnel Research and Development Center, p. 1, OCLC   227755405, NPRDC-TN-90-10, archived from the original on October 21, 2013, retrieved 2013-10-20, Effective implementation of Total Quality Management (TQM) to improve quality and productivity is based upon the philosophy and management principles of W. Edwards Deming.
  5. ↑ United States Department of Defense (1989), Total Quality Management: A Guide for Implementation, Springfield, Virginia: National Technical Information Service, OCLC   21238720, DoD 5000.51-G
  6. ↑ Total Army Quality Management, Washington, D.C.: United States Army, 1992-06-12, Army Regulation 5–1, retrieved 2013-10-19
  7. ↑ Nelson, Robert T. (1991-01-10), COAST GUARD TOTAL QUALITY MANAGEMENT (TQM) GENERIC ORGANIZATION (PDF), Washington, D.C.: United States Coast Guard, COMDTINST 5224.7, retrieved 2013-10-19
  8. ↑ Brand, Ron (April 24, 2013). "Transcript of 'The Underground Storage Tank Program's Early Management Challenges' video" (PDF). EPA Alumni Association. Retrieved August 26, 2018.
  9. ↑ Creech, Bill (1994), The Five Pillars of TQM: How to Make Total Quality Management Work for You, New York: Truman Talley Books/Dutton, p.  153, ISBN   9780525937258, OCLC   28508067, ...the DOD took steps to extend its reach to the thousands of vendors who sell to the department... Thus was born the DOD's TQM outreach program to all its vendors, large and small. And the TQM banners went up all over America.
  10. 1 2 Juran, Joseph M. (1995), A History of Managing for Quality: The Evolution, Trends, and Future Directions of Managing for Quality, Milwaukee, Wisconsin: ASQC Quality Press, p.  596, ISBN   9780873893411, OCLC   32394752 , retrieved 2013-10-20
  11. ↑ Holmes, Ken (1992), Total Quality Management, Leatherhead, United Kingdom: Pira International, Ltd., p. 10, ISBN   9781858020112, OCLC   27644834, Ask ten people what TQM is and you will hear ten different answers. There is no specification or standard for it, or certification programme to proclaim that you have it. What we understand by TQM probably depends on which of the thought leaders, (often referred to as 'gurus') we have come across.
  12. ↑ Creech, Bill (1994), The Five Pillars of TQM: How to Make Total Quality Management Work for You, New York: Truman Talley Books/Dutton, p.  4, ISBN   9780525937258, OCLC   28508067, In fact, the term TQM has become so widely used that it has become the number one buzzphrase to describe a new type of quality-oriented management. Thus, the name TQM now covers a very broad tent encompassing all sorts of management practices. In my management advisory activities I run into scores of these different programs all parading under the same name. Few are alike, and those varied programs have a wide variety of features—a mixture of the old and the new—with, in more cases than not, very little of the new. ... However, I have forewarned you there are almost as many different TQM programs as there are companies that have started them because that creates confusion about what to do in your own case.
  13. ↑ Houston, Archester (December 1988), A Total Quality Management Process Improvement Model (PDF), San Diego, California: Navy Personnel Research and Development Center, pp. vii–viii, OCLC   21243646, AD-A202 154, archived (PDF) from the original on October 21, 2013, retrieved 2013-10-20
  14. ↑ TOTAL QUALITY MANAGEMENT MASTER PLAN, Washington, D.C.: United States Department of Defense, August 1988, p. 1, OCLC   831675799, ADA355612, archived from the original on October 21, 2013, retrieved 2013-10-19
  15. ↑ Hoyle, David (2007), Quality Management Essentials, Oxford, United Kingdom: Butterworth-Heinemann, p. 200, ISBN   9780750667869, OCLC   72868446 , retrieved 2013-10-19
  16. ↑ Pfeifer, Tilo (2002), Quality Management: Strategies, Methods, Techniques, Munich, Germany: Carl Hanser Verlag, p. 5, ISBN   9783446220034, OCLC   76435823 , retrieved 2013-10-19
  17. ↑ "Quality Glossary - T". asq.org. Milwaukee, Wisconsin: American Society for Quality . Retrieved 2013-10-19.
  18. ↑ "Factsheet: Total quality management (TQM)". www.thecqi.org. London, England: The Chartered Quality Institute. Archived from the original on 2014-07-03. Retrieved 2013-10-19.
  19. ↑ "2015–2016 Baldrige Excellence Framework". www.nist.gov. Gaithersburg, Maryland: National Institute of Standards and Technology. 2009-08-27. Retrieved 2015-01-10.
  20. ↑ 2011–2012 Criteria for Performance Excellence (PDF), Gaithersburg, Maryland: National Institute of Standards and Technology, 2011-01-12, retrieved 2010-10-20
  21. ↑ Dusharme, Dirk (August 1995), "Federal Quality Institute Set to Close", Quality Digest, Red Bluff, California: QCI International, ISSN   1049-8699, OCLC   17469778 , retrieved 2013-10-19
  22. ↑ "European Centre for Total Quality Management". www.brad.ac.uk. Bradford, United Kingdom: University of Bradford . Retrieved 2013-10-19. The European Centre for TQM has ceased to exist as from the end of August 2009. For all information related to ECTQM and its activities, please contact Professor Mohamed Zairi.
  23. ↑ Vokurka, Robert J; Stading, Gary L; Brazeal, Jason (August 2000). "A Comparative Analysis of National and Regional Quality Awards". Quality Progress. 33 (8): 41. ISSN   0033-524X. Archived from the original on 2018-12-16. Retrieved 2014-05-05.

Further reading

This page is based on this Wikipedia article
Text is available under the CC BY-SA 4.0 license; additional terms may apply.
Images, videos and audio are available under their respective licenses.