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Note 4 - SQM - Quality Process Management in organisations

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The rise of Japanese manufacturing - History of Hoshin Kanri - Four Phases of PDCA Cycle - The Three Quality Gurus - Themes of Quality Gurus - Benefits of HOSHIN PLANNING

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Note 4: Quality Processes in Organisations: Manufacturing and Services
Lecture aims

Quality Management in Manufacturing: From Japan to the USA

The rise of Japanese manufacturing

During the 1950s, Japan had a reputation for poor quality. However, by 1970s Japanese firms were
world leaders in manufacturing. This is due to a strategy of continual improvement – especially in
production.

In the USA, firms began to notice changes in methods. In 1963, Hewlett Packard– developed total
quality management for manufacturing firms. Hewlett-Packard became first US company to
introduce quality strategy throughout the organisation. In 1985, Hewlett Packard adopted Japanese
approach to quality come with the name ‘Hoshin Kanri.' Strategic planning method for up to 5
years was developed.

History of Hoshin Kanri:
After World War II, Japan was faced with the difficult task of rebuilding its economy and
infrastructure without rebuilding the national army. ( due to US interference)
Hoshin Kanri is a planning process that was developed by the Japanese, and it is based on the US
techniques of managing qualities by Objectives and the classical Plan-Do-Check (study)-Act
(PDCA) improvement cycle by Deming.
Background of
Plan-Do-Check-Act Cycle by W. Edwards Deming (1950’s)
Walter Shewhart created the Plan Do Check Act (PDCA) cycle. It was titled the Shewhart Learning
and Improvement cycle. His aim was to combine management thinking with statistical analysis. The
four continuous steps: Plan, Do, Check and Act draw upon the notion that constant evaluation of
management practices, as well as the willingness of management to adopt and disregard
unsupported ideas, are key practices for the evolution of a successful enterprise. W Edwards
Deming then suggested changing the acronym to PDSA: Plan Do Study Act. The concept was
similar to Shewhart, one based on the continuous evaluation (study) and improvement.

Four Phases of PDCA Cycle:
Plan a change aimed at improvement
Do – Carry out the change
Check/Study the results
Act - Adopt, adapt, or abandon

- To think about Planning: Think about where you are now and where you need to be what you want
to achieve, who will be responsible for what, how you will achieve your aims, and how you will
measure your success.
- To measure performance: Co-operate with anyone who shares your workplace and coordinate
plans with them.

- To Do:
Organise activities to deliver the plan. In particular, aim to:
Involve workers and communicate, so that everyone is clear on what is needed and can discuss
issues - develop positive attitudes and behaviours
Provide adequate resources, including competent advice where needed.

Map out a trial run

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