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Productivity & Total Quality Management
- 2. A relationship between output generated and input usedA critical determinant of cost efficiency A method to determine the capacity utilization A key source of economic growth and competiveness Determines what we produce and what we have to spent to produce Output Input WHAT IS PRODUCTIVITY
- 3. MODESOF CALCULATINGPRODUCTIVITY A. TOTAL FACTOR PRODUCTIVITY Productivity = Quantum of Output Produced Quantum of Input Used B. INDIVIDUAL FACTOR PRODUCTIVITY (a) Capital Productivity = Output Capital Employed (b) Labour Productivity = Output Man-Hours Worked
- 4. (c)Material Productivity = Output Raw Material Consumed (d)Machines Productivity = Output Machine-Hours Worked (e) Land Productivity = Output Area of Land Used
- 5. “Qualityisaboutmeetingtheneedsandexpectations ofcustomers” Quality management is the act of: • Overseeing all activities and tasks needed to maintain a desiredlevel of excellence. • Determination of a quality policy • Creating and implementing quality planning and assurance • Quality control and quality improvement
- 6. Structural characteristics Sensory characteristics Time-oriented characteristics Ethical characteristics Variables Nonconformity Attribute Defect Specification Standard Quality of design Quality of conformance Quality of performance CHARACTERISTICS
- 9. PHILOSOPHIES REGARDING QUALITY – Quality is considered as a ‘never ending’ improvement – Success of TQM mainly depends on the achievement of internal as well as external customer satisfaction – Continuously improve quality as per the expectations of the customers Design Conformance Better performance Quality
- 10. TOTALQUALITY MANAGEMENT Focusing on customers satisfaction Provides best quality product at lowest possible price Prevention of defects, target is zero defects
- 11. TOTAL Responsibility for achieving Quality rests with everyone Recognises the necessity to develop processes across the business QUALITY Prime task is to understand the needs of the customer This will retain current customers and assist in acquiring new ones MANAGEMENT Top management lead to achieve quality for customers Introducing and maintaining a continuous improvement culture
- 12. Customer – oriented Philosophy Continuous Process Defect – Free Approach Commitments from top management Employee Involvement Synergy in Teamwork Training at all Levels Recognition and rewards TQM techniques FEATURESOFTQM
- 13. Focus on Customers Involvement of Employees Improvement of Processes Creation of quality management envtDevelopment of Teamwork Practice of quality control Tool & Techniques Bench - marking Focus on Supplier Relationship 8 PILLARS
- 14. – The “cost of quality” isn’t the price of creating a quality product or service. It’s the cost of NOT creating a quality product or service – Every time work is redone, the cost of quality increases – Cost of quality refers to the costs that are incurred to prevent, detect and remove defects from products COSTOFQUALITY
- 15. Cost of Quality Cost of Poor Quality Internal Failure Costs External Failure Cost Cost of Good Quality Prevention Cost Appraisal Cost
- 16. DEMINGANDHISCONTRIBUTION William Edwards Deming (1900-1993) – Leading management thinker in the field of quality – He was a statistician and business consultant – His methods helped Hasten Japan’s recovery after the Second World War – Credited with having the greatest influence on the quality management – Quality philosophy focused on reducing uncertainty and variability
- 17. 14PRINCIPLESBYDEMING’s 1 • Create purpose for improvement 2 • Adopt the new philosophy 3 • Cease depending on inspection to achieve quality 4 • Work with one supplier to reduce cost 5 • Continuous improvement 6 • On-The-Job training 7 • Leadership 8 • Drive out fear 9 • Break down silos 10 • No slogans 11 • No quotas or numerical goals 12 • Remove annual ratings or merit system 13 • Institute education and self-improvement programs 14 • Involve all workers in the transformation
- 18. JURAN’S PHILOSOPHY – Defines quality as fitness for use in terms of design, conformance, availability, safetyand field use – This concept incorporates the view point of customer – Juran’s philosophy involves adapting the existing management system rather than instituting an entirely new system – He believes that 80% or more of the defects produced by a system are management controllable not operator controllable
- 19. o Establish quality goals o Identify the customers o Determine the customer’s needs o Develop product features o Develop processes o Establish process controls and transfer the resulting plans to the operating forces o Evaluate actual quality performance o Compare actual performance to quality goals o Locate deviations and their cause and take corrective actions o Establish the infrastructure o Identify the specific needs for improvement o For each project establish a project team o Provide the resource, motivation, and training needed by the team QUALITY PLANNING QUALITY IMPROVEMENT QUALITY CONTROL JURANS’S TRILOGY
- 20. JURAN’S 10-POINT PROGRAM 1)Build awareness of opportunity to improve 2) Set goals for improvement 3) Organise to reach goals 4)Provide training 5) Carryout projects to solve problem 6) Report progress 7) Give recognition 8) Communicate results 9) Keeps core 10)Maintain momentum
- 21. PHILIPCROSBYPHILOSOPHY – “Doing It Right the First Time”, was his answer to the quality crisis – He defined quality as full and perfect conformance to the customer’s requirements – There is no such thing as quality problem – The only performance measurement is the cost of quality, which is the expense of non-conformance – The only performance standard is “Zero Defects”
- 22. 14STEPS BY PHILIP CROSBY • Management CommitmentStep 1 • Quality Improvement TeamStep 2 • Quality MeasurementStep 3 • Cost of Quality EvaluationStep 4 • Quality AwarenessStep 5 • Corrective ActionStep 6 • Establish an Ad Hoc Committee for the Zero Defects Program Step 7 • Supervisor TrainingStep 8 • Zero Defects DayStep 9 • Goal SettingStep 10 • Error Cause RemovalStep 11 • RecognitionStep 12 • Quality CouncilsStep 13 • Do It Over AgainStep 14
- 23. Gradual Process 5S Wide Applicability Less Resistance Team Building Less Capital Investment A Learning Experience Far – reaching Implications Quality Control Techniques FEATURES
- 24. Define the Problem Define Continuous Improvement Objectives Convert Objectives into Action Assign Teams Define the Process Define the Sources of Variability Minimise the Variability Implement the Project and Follow- up PROCESS
- 25. PRODUCT QUALITY It isthevalueofa producttocustomers Performance Features Reliability Conformance Durability Serviceability Aesthetics Perceived Quality
- 26. It measures the customer perception of the quality of a service experience to customer expectations for that experience SERVICEQUALITY Reliability Responsiveness Assurances Empathy Tangibles
- 28. GAP Customers’ expectations VS Management perceptions Management perceptions VS Service specifications Service specifications VS Service delivery Service delivery VS External communication The Discrepancy between Customer expectations and their perceptions to the Service delivered 1 2 3 4 5
- 29. QUALITYASSURANCE – All those planned or systematic actions necessary to provide adequate confidencethat a product or service will satisfygiven requirementfor quality – The objective of quality assuranceis to constantly monitor the effectiveness of the quality philosophyof the company
- 31. QUALITYCIRCLE – A Quality Circle is a participation management technique to manage and improve the quality of the entire organization. – Quality circles are made of groups of employees (normally 6 to 12) who perform similar tasks or share an area of responsibility
- 32. Goals Membership Organisation Scope of Problem Frequency of Meeting Training and Development Emphasis on Group Effort Rewards Operational cycle CHARACTERISTICSOF QUALITYCIRCLES
- 33. Finding the problem Selecting the Problem Analysing the Problem Locating the Causes Collecting and Analysing the Data Generating Alternative solutions Presentation of the Management Management Scrutiny and Approval Execution and Follow-up PROCESS
- 35. INTRODUCTIONTO ISHIKAWAFISHBONE DIAGRAM akaCAUSEANDEFFECT DIAGTRAM ▪It is named for its resemblance to a fish backbone and ribs ▪A visualizing tool for categorizing the potential causes of a problem in order to identify its root cause
- 38. Adopts simple methodology Helps determine the root cause of problem/ quality Helps collect data for maximal improvementShows possible causes of variation Encourages group participation Brainstorming sessions ADVANTAGES
- 39. Shresti Ande - 03 Sapna Kanojia – 18 Prachi Manik – 22 Vignesh Mohan – 24 Premkumar Raikar – 29 Devangi Rane – 30 Preet Rathod – 31 Prathamesh Sarode – 33 Sakshi Sharma – 37 Manav Thapar – 43 Shivani Thapar – 44 Vishwanathan Pillai – 46 Anchita Betrabet – 50 Raghav Bhamri – 55 Vaibhav Bhatt – 56 Karan Jain - 62 Prathamesh Malunjkar – 66 Muthupandi Nadar – 69 Nikhil Kunder – 72 Akhil Nischal – 73 Sabitha Sailappan – 81 Nami Seghal – 82 PRESENTERS