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1. Total Quality Management - TQM
Total Quality Management - TQM
The quality journey continues……..
Author:
Dr Rhys Rowland-Jones
Standards in Action
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2. Total Quality Management - TQM
Session Plan
• Introduction to concepts of TQM
• Standards and TQM
• TQM Reasons for failure
• Measurement of Quality
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3. Total Quality Management - TQM
Total Quality Management
• TQM is a philosophy which applies equally to all parts of the
organization.
• TQM can be viewed as an extension of the traditional approach
to quality.
• TQM places the customer at the forefront of quality decision
making.
• Greater emphasis on the roles and responsibilities of every
member of staff within an organization to influence quality.
• All staff are empowered.
Standards in Action
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4. Total Quality Management - TQM
Total Quality Management
Doing things right…..
….FIRST time.
Standards in Action
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Internetix (2005)
5. Total Quality Management - TQM
British Standards on TQM
BS 7850-1:1992
• Total quality management.
Guide to management principles.
BS 7850-2:1994,
ISO 9004-4:1993
• Total quality management. Guidelines for quality
improvement.
Standards in Action
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6. Total Quality Management - TQM
Elements of TQM
• Leadership
– Top management vision, planning and support.
• Employee involvement
– All employees assume responsibility for the quality of their work.
• Product/Process Excellence
– Involves the process for continuous improvement.
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7. Total Quality Management - TQM
Elements of TQM
• Continuous Improvement
– A concept that recognizes that quality improvement is a journey
with no end and that there is a need for continually looking for new
approaches for improving quality.
• Customer Focus on “Fitness for Use”
– Design quality
• Specific characteristics of a product that determine its value in the
marketplace.
– Conformance quality
• The degree to which a product meets its design specifications.
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8. Total Quality Management - TQM
A fundamental concept of TQM
from BS 7850 - a ‘Process’
• “A set of inter-related resources and activities which
transform inputs into outputs.” (ISO 8402).
• “Any activity that accepts inputs, adds values to these
inputs for customers, and produces outputs for these
customers. The customers may be either internal or
external to the organization.” (BS 7850)
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9. Total Quality Management - TQM
"The Simple Process"
Controls
Inputs Proces Outputs
s
Resources
(Source: BS 7850: 1992, “Total Quality Management”)
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10. Total Quality Management - TQM
Changing Role of the Process Owner
Process 1
Input from As customer
supplier
Process owner Process 1
Output Input
As supplier As customer
Process owner
Output to
As supplier customer
(Source: BS 7850: 1992, “Total Quality Management”)
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11. Total Quality Management - TQM
TQM & organizational Cultural Change
Traditional Approach TQM
Lack of communication Open communications
Control of staff Empowerment
Inspection & fire fighting Prevention
Internal focus on rule External focus on customer
Stability seeking Continuous improvement
Adversarial relations Co-operative relations
Allocating blame Solving problems at their roots
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12. Total Quality Management - TQM
Perceived quality is governed by the gap between customers’
expectations and their perceptions of the product or service
product or service
perceptions of the
Gap Gap
expectations for
the product or
expectations of
perceptions of
the product or
the product or
Customers’
Customers’
for the product
Customers’
Customers’
perceptions of
the product or
expectations
service
Customers’
Customers’
service
service
or service
service
Expectations > Expectations = Expectations <
perceptions perceptions perceptions
Perceived quality Perceived quality is
is poor good
Standards in Action
www.bsieducation.org/standardsinactio Source: Slack et al. 2004
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13. Total Quality Management - TQM
Additional views of Quality in Services
• Technical Quality versus Functional Quality
– Technical quality — the core element of the good or service.
– Functional quality — customer perception of how the good functions or
the service is delivered.
• Expectations and Perceptions
– Customers’ prior expectations (generalized and specific service
experiences) and their perception of service performance affect their
satisfaction with a service.
• Satisfaction = (Perception of Performance) – (Expectation)
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14. Total Quality Management - TQM
Previous Word of mouth Image of product
Experience communications or service
Customer’s Customer’s
expectations perceptions
concerning a concerning the
product or service product or service
A “Gap” model
of Quality Customer’s own
Gap 4
specification of
quality
The actual product
Gap 1 or service
Management’s organization’s
concept of the specification of
product or service quality
Gap 3
Gap 2
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Source: Parasuraman, Zeithman and Berry. 1985
15. Total Quality Management - TQM
Continuous Improvement
• Philosophy that seeks to make never-ending
improvements to the process of converting inputs into
outputs.
• Kaizen: Japanese
word for continuous
improvement.
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16. Total Quality Management - TQM
Implementing TQM
• Successful Implementation of TQM
– Requires total integration of TQM into day-to-day operations.
• Causes of TQM Implementation Failures
– Lack of focus on strategic planning and core competencies.
– Obsolete, outdated organizational cultures.
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17. Total Quality Management - TQM
Obstacles to Implementing TQM
• Lack of a company-wide definition of quality.
• Lack of a formalized strategic plan for change.
• Lack of a customer focus.
• Poor inter-organizational communication.
• Lack of real employee empowerment.
• Lack of employee trust in senior management.
• View of the quality program as a quick fix.
• Drive for short-term financial results.
• Politics and turf issues.
Standards in Action
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18. Total Quality Management - TQM
Some criticisms of TQM
1. Blind pursuit of TQM programs
2. Programs may not be linked to strategies
3. Quality-related decisions may not be tied to market
performance
4. Failure to carefully plan a program
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19. Total Quality Management - TQM
PDCA Cycle repeated to create continuous
improvement
Performance
Plan
Do
Act
Check
“Continuous”
improvement
Time
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20. Total Quality Management - TQM
Recognizing and rewarding Quality
• Promotion of high quality goods and services
– Malcolm Baldrige National Quality Award (MBNQA) (United
States)
– Deming Prize (Japan)
– European Quality Award (European Union)
– ISO9000 certification
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21. Total Quality Management - TQM
The integrated framework of the Baldrige Award criteria
Source: 2004 Criteria for Performance Excellence, U.S. Dept. of Commerce, Baldrige National Quality Program, National Institute of Standards and Technology, Gaithersburg, MD 20899. (www.quality.nist.gov)
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22. Total Quality Management - TQM
Continual improvement of the quality management system
Continual improvement of the quality management system
Customers Customers
(and other Management (and other
interested responsibility interested
parties) parties)
Measurement,
Resource
analysis and
management improvement
Satisfaction
Requirements
Input
Product Output
Key: Product
Value adding activity realisation
information flow
Standards in Action
www.bsieducation.org/standardsinactio Source: BS EN ISO
n 9001:2000
23. Total Quality Management - TQM
Overview of the EFQM Excellence Model
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24. Total Quality Management - TQM
Quality Award common elements
• All take holistic approach
• Customers/people
• Measurable characteristics
• Visible
• Basis taken from TQM
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25. Total Quality Management - TQM
Summary
• TQM – a way of working
• Involves everyone
• High prominence on ‘customer’
• Awards based upon TQM
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