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Sustainable development of total quality management through Deming’s PDSA cycle
SUSTAINABLE DEVELOPMENT
OF TOTAL QUALITY
MANAGEMENT
THROUGH DEMING’S PDSA
CYCLE
Author: Dr. G. Karuppusami
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Sustainable development of total quality management through Deming’s PDSA cycle
Abbreviations
TQM
CSF
QAP
Total Quality Management
Critical Success Factor
Quality-related Action Program
PDSA
TQMII
Plan-Do-Study-Act
Total Quality Management
Implementation Index
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Sustainable development of total quality management through Deming’s PDSA cycle
What is Quality?
Quality is the totality of features and
characteristics of a product or service
that bear on its ability to satisfy implied
or stated needs.
ANSI/ASQC STD A3-1987.
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What is Quality?
• Feigenbaum (1951) and Abbott (1955) defined quality as ‘value’,
• Levitt (1972) as ‘conformance to specifications’,
• Juran et al. (1974) as ‘fitness for use’,
• Crosby (1979) as ‘conformance to requirements’,
• Taguchi (1981) as ‘the losses a product imparts to the society from
the time the product is shipped’,
• Reeves and Bednar, (1994) as ‘the extent to which a product or
service meets and/or exceeds a customer’s expectations’ which
reflects a shift in focus to customer satisfaction.
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Total quality management
• Ho (1997) defines the term TQM as:
‘Total = everyone associated with the company
is involved in continuous improvement (including
its’ customers and suppliers if feasible);
Quality = customers’ expressed and implied
requirements are met fully;
Management = executives are fully committed’.
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Motivation for the study
The business units are ever increasingly forced
to achieve world-class manufacturing
capabilities in order to compete and, in many
cases, to achieve in the market. One of the
means to achieve the world-class manufacturing
capability is through the practices of Total
Quality Management (Joseph, et al., 1999)
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Full TQM (OR) Partial TQM?
• The problem with TQM is not whether companies
have been converted to the philosophy: many
surveys have shown the philosophy being embraced
by organizations (Yong & Wilkinson, 1999). The
issue relates more acutely to whether these
supposedly TQM companies are actually practicing
‘total or partial TQM’ (Wilkinson et al., 1998).
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Some obstacles to achieving TQM
•
•
•
•
Lack of top management support
Lack of customer focus
Lack of employee empowerment
Lack of training
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Criteria for the study
‘Quality is one of the twentieth century’s
most important management ideas’
(Feigenbaum, 1999)
‘You can’t manage what you don’t measure’
(Wert, 2003)
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Critical Success Factors (CSFs) of TQM
• CSFs are the critical areas of managerial
planning and action that must be practiced to
achieve effective quality management in a
business unit (Saraph et al., (1989)
• CSFs are critical and absolutely essential for
the success of TQM. The process stands a
good chance of ending in failure if these
factors are not part of the management
process.
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CSFs reported by Saraph et al., (1989)
1.
2.
3.
4.
5.
6.
7.
8.
The role of management leadership and quality policy
Role of quality department
Training
Product / service design
Supplier quality management
Process management
Quality data and reporting
Employee relations
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Quality Related Action Programs (QAPs)
• Critical success factors of TQM are latent
variables, which means they cannot be
measured directly. Hence Quality-related Action
Programs (QAPs) are generated that represent
manifestations of these CSFs. QAPs are the
quality management prescriptions.
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QAPs of CSF ‘The role of top management
leadership and quality policy’
1.
2.
3.
4.
5.
6.
7.
8.
Top management responsibility for quality performance
Performance evaluation based on quality
Acceptance of responsibility for quality by major dept heads
Degree of participation by dept heads in quality improvement
process
Consideration of quality as first priority
Discussion of quality related issues in meetings
Extent to which quality goals and policies are understood
Degree of comprehensiveness of quality plan
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CSFs and QAPs of TQM
TQM
CSF 1
QAP 1
QAP 2
QAP 3
CSF n
CSF 2
QAP i
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QAP 1
QAP 2
QAP 3
QAP i
QAP 1
QAP 2
QAP 3
QAP i
Sustainable development of total quality management through Deming’s PDSA cycle
Sustainable development of TQM
• Quinn (2000) describes sustainability as the
development that meets present needs without
compromising the ability of future generations to
meet their own needs.
• Without sustainability, there is little benefit to be
gained from TQM (Curry et al., 2002).
• The focus of maintaining competitive advantage
and performance does not simply emphasize the
present time, but also the future (Zairi, 2002).
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Sustainable development of TQM
Sustainability is defined as ‘the ability of an
organization to adapt to change in the
business environment to capture
contemporary best practice methods and to
achieve and maintain superior competitive
performance’ (Zairi & Liburd 2001).
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PDSA Cycle for sustainable development of TQM
Step 1: Plan for TQM
ACT
PLAN
Step 4: Take
necessary actions to
improve the less
developed programs
of TQM
Step 2: Implement
TQM
DO
STUDY
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Step 3: Study and
measure the level
of TQM
implementation
Sustainable development of total quality management through Deming’s PDSA cycle
TQM Implementation Index (TQMII)
TQM Implementation Index (TQMII) can be
interpreted as the level of TQM implementation
of a company on a unit scale. Input is the
company’s total quality effort. Output is the level
of the performance of the plant. TQMII
measures how well a company has
implemented its TQM.
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Framework for TQMII calculation
• The set of CSFs and QAPs implemented by
the company.
• The list of departments involved in the quality
programs.
• The level of quality consciousness of the
departments.
• The degree to which critical quality factors
and quality action programs applied.
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TQM Implementation space
TQMIIimk
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Notations





i
Dm
m
Zm
Wm
=
=
=
=
=
 Vim =
Index of QAPs
Departments
Index of departments
Ideal weight factor assigned department
Revised normalized weight of
department
Actual performance of quality-related
action programme i in department m
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TQMII Algorithm
Algorithm developed by Kumar et.al.(2004) is adopted.
TQMII algorithm for the firm (or) CSF is as follows.
iI
mM
 V
Wm
im
TQMII 
i 1
m 1
mM
10I
 Zm
m 1
i = 1, 2, 3…..I;
m = 1, 2, 3 …. M,
I = Total number of QAPs of the firm or CSF
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Presentation of a Case
Study to illustrate TQMII
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Case Study
• The suggested PDSA model for TQM implementation
was applied to an automotive ancillary company located
in South India.
• The company is the largest manufacturer of automotive
horns in India and has ISO 9002, ISO 14001, ISO/TS
16949:1999 certifications.
• Thirteen CSFs and 85 QAPs were selected by the expert
committee.
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Case Study – CSFs selected
1. Role of top management and quality policy
2. Supplier quality management
3. Customer focus
4. Process management
5. Product / service design
6. Quality data and reporting
7. Training
8. Employee relations
9. Role of quality department
10. Benchmarking
11. Information technology analysis
12. Lean manufacturing
13. Continuous improvement
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TQMII Calculation – Step 1 (Table 1)
1. Compute each department’s normalized quality
consciousness weight
The calculation for the first the department ‘D1’ is as
follows;
W1= 10×(0.5×2 + 1×4 + 2.5×6 + 3×8 + 3×10) = 7.4
10×10
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TQMII Calculation – Step 2 (Table 1)
2. Compute each department’s quality
consciousness state efficiency.
The calculation for the first the department ‘D1’ is
as follows;
QCSE1= (0.5×2 + 1×4 + 2.5×6 + 3×8 + 3×10) = 0.74
10×10
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TQMII Calculation – Step 3 (Table 2)
3. Compute TQMII of QAPs
i = 1, 2, 3…..I; m = 1, 2, 3 …. M
iI
mM
 V
Wm
im
TQMII 
i 1
m 1
mM
10  Zm
m 1
TQMII of QAP 1 is as follows
= (9×7.4 + 10×6 + 7×5.81 + 10×5.46 + 10×7.92 + 10×7.7 + 8×5.22 + 9×4.74 + 5×6.86)
10(10 + 10 + 7 + 7 + 9 + 10 + 9 + 6 + 7)
= 0.65
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TQMII Calculation – Step 4 (Table 2)
4. Calculate TQMII of the CSF or firm as a whole.
iI
mM
 V
Wm
im
TQMII 
i 1
m 1
mM
10I
 Zm
m 1
I = Total number of QAPs of the firm or CSF,
i = 1, 2, 3…..I;
m = 1, 2, 3 …. M,
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Table 1 Department consciousness matrix
Emergence
Maturity
Sustenance
Normalized Quality
Consciousness weight,
Wm
Quality consciousness
state efficiency for
Department m, QCSEm
Dm
Awareness
Department name
Crisis Management
State of quality consciousness
k=
1
2
3
4
5
Zm
yk =
2
4
6
8
10
X11 =
0.5
1
2.5
3
3
7.40
0.74
Weight
Product engineering
D1
10.00
Quality assurance
D2
10.00
2
2
2
2
2
6.00
0.60
Production planning & control
D3
7.00
0.5
0.5
1
3
5
5.81
0.83
Application Engineering
D4
7.00
0
1
1
6
2
5.46
0.78
Manufacturing Engineering
D5
9.00
0
0
2
2
6
7.92
0.88
Production department
D6
10.00
1
1
1
2.5
4.5
7.70
0.77
Materials department
D7
9.00
1
1
6
2
0
5.22
0.58
Information Technology
D8
6.00
0
1
2
3.5
3.5
4.74
0.79
Sales & Marketing department
D9
7.00
0
0
0
1
9
6.86
0.98
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Table 2. TQMII Calculation
CSFs, QAPs and weights
QAPs
QAPs weight (Ui)
QAPs Index (i)
CSF
Index
Performance weights of departments on each QAPs
Role of Top Management and Quality
Policy
D1
D2
D3
D4
D5
m=
1
2
3
4
5
wm =
7.40
6.00
5.81
5.46
7.92
Zm =
10.00
10.00
7.00
7.00
9.00
9
10
7
10
10
1
Top management responsibility for quality
performance
8.86
2
Performance evaluation based on quality
9.05
7
6
6
10
8
3
Acceptance of responsibility for quality by
major dept heads
8.95
6
8
7
6
10
4
Degree of participation by dept heads in
quality improvement process
8.95
7
9
6
10
10
5
Consideration of quality as first priority
9.33
8
8
7
10
10
6
Discussion of quality related issues in
meetings
8.81
8
10
5
9
10
7
Extent to which quality goals and policies are
understood
8.81
7
8
6
9
10
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V1m =
Sustainable development of total quality management through Deming’s PDSA cycle
Table 2. TQMII Calculation contd…
D9
m=
6
7
8
9
7.70
5.22
4.74
6.86
Zm =
10.0
9.00
6.00
7.00
10
8
9
5
0.65
1
Top management responsibility for quality
performance
8.86
V1m =
2
Performance evaluation based on quality
9.05
7
7
7
7
0.55
3
Acceptance of responsibility for quality by
major dept heads
8.95
9
6
7
6
0.56
4
Degree of participation by dept heads in
quality improvement process
8.95
7
6
6
7
0.58
5
Consideration of quality as first priority
9.33
9
8
7
8
0.63
6
Discussion of quality related issues in
meetings
8.81
7
10
5
7
0.60
7
Extent to which quality goals and policies
are understood
8.81
6
8
6
8
0.57
8
Degree of comprehensiveness of quality
plan
8.67
7
10
5
8
0.60
QAPs
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TQMII of CSFi given
state of quality
TQMII of QAP I given
state of quality
D8
QAPs weight (Ui)
Role of Top Management and Quality Policy
D7
wm =
QAPs Index (i)
CSF
D6
0.59
Sustainable development of total quality management through Deming’s PDSA cycle
TQMII of the selected organization
The combined level of TQM
implementation index in
the selected organization was assessed
as 0.460 on a unit scale
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Recommendations as a result of the Study
• Link the department quality consciousness state efficiency of
TQM implementation program to annual incentive scheme.
• Arrange training program for all the least developed QAPs.
• Encourage exchange of information
departments regarding TQMII.
and
data
among
• Obtain expert advice about the list of CSFs and QAPs selected
for the TQMII analysis.
• Integrate the TQM programs with the procedures of ISO 9002,
ISO 14001, ISO/TS 16949:1999 certifications.
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Conclusions
• The problem areas of TQM implementation correctly
identified by the proposed PDSA method.
• The model allows tracking of TQM programs and
departments that are substantially impacting the TQM
implementation in the company.
• Specific recommendations were proposed to bring
about improvements in those least developed TQM
programs.
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References
1
Crosby, P.B., (1979), Quality Is Free, New American Library, New York, NY
2
Curry, A. and Kadasah, N. (2002), “Focusing on key elements of TQM – evaluation for sustainability”, The TQM
magazine, Vol. 14 No.4, pp 207-216.
3
Feigenbaum, A.V. (1951), Quality control: Principles, Practice, and Administration (New-York: McGraw-Hill).
4
Ho, D.C.K., Duffy, V.G. and Shih, H.M. (2001), “Total quality management: An empirical test for mediation
effect”, International journal of production research, Vol.39 No.3, pp. 529-548.
5
Joseph, I. N., Rajendran, C. and Kamalanabhan, T.J. (1999), ” An Instrument For Measuring Total Quality
Management Implementation in Manufacturing Based Business Units In India”, International journal of
production research, Vol.37 No.10 pp. 2201-2215
6
Juran, J.M., Gryna, F.M., Jr. and Bingham, R.S. (1974), Quality Control handbook, 4th edition, McGraw-hill,
New York
7
Kumar, A., Stecke, K.E. and Motwani , J.G. (2004), ”An analytical framework to measure, benchmark, and
improve the strategic position of an organization using a quality competitiveness index”, International Journal of
Operations and Quantitative Management, Vol.10 No. 2, pp. 1-37.
8
Levitt, T. (1972), “Production line approach to service”, Harvard Business Review, Vol. 50, pp. 41-52
9
Quinn, B. (2000), “Sustaining New Jersey’s industrial future”, Pollution Engineering, Vol. 32 No.13, pp. 25-27.
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Sustainable development of total quality management through Deming’s PDSA cycle
References contd…
10
Reeves, C.A. and Bednar, D.A. (1994), “Defining quality: alternatives and implications”, Academy of
Management Review, Vol. 19, pp. 419-441.
11
Saraph, J. V., Benson, P. G. and Schroeder, R. G. (1989) “An Instrument for Measuring the Critical Factors of
Quality Measurement”, Decision Sciences, Vol. 20 No. 4, pp. 810-29.
12
Taguchi, G., (1981), On-line quality control during production, Japanese standard’s association
13
Wilkinson, A. (1998), “Empowerment”, International Encyclopaedia of Human Resource Management,
pp. 507-17
14
Yong, J. and Wilkinson, A. (1999), “The state of total quality management: a review’’, The International Journal
of Human Resource Management, Vol. 10 No. 1, February, pp. 137-61.
15
Zairi, M. (2002), “Beyond TQM implementation: the new paradigm of TQM sustainability“, Total Quality
management, Vol. 13 No. 8, pp. 1161–1172.
16
Zairi, M. and Liburd, L.M. (2001), “TQM sustainability- a roadmap for creating competitive advantage”,
Integrated management, Proceedings of the 6th International conference on ISO 9000 and TQM, Paisley, Ayr,
Scotland, 17-19 April, pp. 452-461.
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Quality is a Journey,
not a Destination
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Thanks
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