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Summary MNO3703 - Total Quality Management

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The perfect summary to study in order to pass TQM the first time.

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TOTAL QUALITY MANAGEMENT
MNO3703
Quality of Design P9
“Quality starts with understanding customer needs and ends when those needs are satisfied.”
Quality of design is a measure of how well the product or service is designed to achieve the agreed requirements.
The most important feature of the design, with regard to achieving quality, is the specification:
1. What type of contract is it?
2. Who is the contracting parties?
3. In which country are they?
4. What type of products are involved?
5. What is the volume?
6. What are the financial aspects?
Quality of conformance to design is the extent to which the product or service achieves the design.

Total Quality Management defined (Deming Award) P23

A set of systematic activities carried out by the entire organisation to effectively and efficiently achieve the
organisation’s objectives so as to provide products and services with a level of quality that satisfies customers, at the
appropriate time and price.

The Baldridge Performance Excellence Program P24

The Malcolm Baldridge National Quality Award (MBNQA) is presented annually, by the US President, to recognise
companies in the USA that have excelled in quality management and quality achievement.

The program aims to:
• Help improve organisational performance practices, capabilities and results
• Facilitate communication and sharing of best practices information
• Serve as a working tool for understanding and managing performance and for guiding, planning
and opportunities for learning.

Baldridge framework of seven categories used to assess organisations:

1. Leadership
• Organisational leadership
• Public responsibility and citizenship
2. Strategic planning
• Strategy development
• Strategy deployment
3. Customer focus
• Customer and market knowledge
• Customer relationships and satisfaction
4. Measurement, analysis and knowledge management
• Measurement and analysis of organisational performance
• Information management
5. Work force focus
• Work systems
• Employee education training and development
• Employee well-being and satisfaction
1

, 6. Operations focus
• Product and service processes
• Business processes
• Support processes
7. Results
• Customer focussed results
• Financial and market results
• Human resource results
• Organisational effectiveness results

The ‘Four Ps’ – a simple model for TQM P27

Performance is achieved, using a business excellence approach, and by planning the involvement of people in the
improvement of processes. This must include:

• Planning - the development and deployment of policies and strategies; setting up appropriate
partnerships and resources; and designing in quality.
• Performance - establishing a performance measure framework – ‘balanced scorecard’ for the organisation;
carrying out self-assessment, audits, reviews and benchmarking.
• Processes - understanding, management, design and redesign; quality management systems;
continuous improvement.
• People - managing the human resources; culture change; teamwork; communications; innovation
and learning.

We must not underestimate the importance of the ‘three Cs’ – Culture, Communication and Commitment. The TQM
model is complete when these ‘soft outcomes’ are integrated into the ‘four Ps’ framework to move organisations
successfully forward.

Total Quality Management approach P32

TQM is an approach to improving the competitiveness, effectiveness and flexibility of a whole organisation.

It is essentially a way of planning, organising and understanding each activity, and depends on each individual at each
level. For an organisation to be truly effective, each part of it must work properly together towards the same goals,
recognising that each person and each activity affects and in turn is affected by others. TQM is also a way of ridding
people’s lives of wasted effort by bringing everyone into the processes of improvement, so that results are achieved in
less time. The methods and techniques used in TQM can be applied throughout any organisation. They are equally
useful in manufacturing, public service, health care, education and hospitality industries.

Quality Policy P34

1. Identify the end customer’s needs.
2. Assess the ability of the organisation to meet these needs economically.
3. Ensure that any bought-in materials meet the required standards of performance and efficiency.
4. Ensure that subcontractors or suppliers share your values and process goals.
5. Concentrate on the prevention rather than detection philosophy.
6. Educate and train for quality improvement and ensure that your subcontractors do so as well.
7. Measure customer satisfaction at all levels, end customer satisfaction as well as between supply chain links.
8. Review the quality management systems to maintain progress.


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