Transcript INTRODUCTION TO QUALITY - Pakistan Engineering Council

Introduction to Quality in Project
Special Presentation for
PEC
Dr ALI SAJID
[email protected]
PhD, TI
October 9, , 2008
Leadership & Management Development Associates (LMDA)
House 302, St 14, F 10/2
051-2291794
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
• Nobody Could make a greater
mistake
than he
who did nothing
because he could do a little
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
• When person does good
deed When he or she didn’t
have to, God looks down &
smiles & says “for this
moment alone it was worth
creating world”
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
The trouble with selfmade men is that
they tend to
worship their
creator.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Commencement address by Sir Winston
Churchill at a graduation ceremony:
"Never give up. Never
give up. Never, never,
never."
- this was his entire speech.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
• Three step solution to depression:
- GIVING
- For GIVING
- Thanks GIVING
The growth & development
of people is the highest
calling of leadership."
s- Harvey S. Fireston
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
"Little deeds of kindness,
little words of love, help
to make earth happy like
the heaven above."
Julia A. Fletcher Carney
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
"Don't curse the darkness -light a candle."
Chinese proverb.
Pleasure in the job puts
Perfection in the work
Aristotle
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
• Key to Competitiveness in Projects
–Quality
–Speed
–Value
–Cost
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
What is Quality?
A simpler, more powerful definition came up….
“ Quality is meeting or exceeding customer
expectations ”
“The totality of characteristics of an entity that
bear on its ability to satisfy stated & implied
needs.”
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
What is Quality
Classical Idea
Q: Degree of conformance to a standard
(As a product or service)
Product or Service
Conformance
Specification
or Rule
Modern Idea
Q: User’s Satisfaction or fitness for use
Product
or Service
Build In
July 16, 2015
Give Satisfaction
Product or Service
Specification
or Rule
Reflect
Total Quality Management by Dr. Ali Sajid TI
Quality
means
Pleasing consumers
not
just protecting them
from annoyances
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
What is Quality
Customer
Expectations
Meet/exceed
Features
Freedom from
deficiency
Doing the things right
July 16, 2015
Doing the right thing
Total Quality Management by Dr. Ali Sajid TI
Basic Quality Function
1. DEFECTS / REJECTS
2.
COMPLAINTS
3.
CONSISTENCY
4.
PRECISION
5.
ACCURACY
6.
VARIATION
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
PRINCIPAL QUALITY DIMENSIONS
1.
2.
3.
4.
5.
6.
7.
8.
9.
Performance
Features
Reliability
Conformance
Durability
Serviceability
Aesthetics
Perceived quality
Affordability, Variety, simplicity etc
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
PRINCIPAL QUALITY DIMENSIONS
•
Performance: a product’s primary
operating characteristics. Example: A car’s
acceleration, braking distance, steering
and handling
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
PRINCIPAL QUALITY DIMENSIONS
•
Features: the “bells and whistles” of a
product. A car may have power options, a
tape or CD deck, antilock brakes, and
reclining seats
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
PRINCIPAL QUALITY DIMENSIONS
•
Reliability: the probability of a product’s
surviving over a specified period of time under
stated conditions of use.
A car’s ability to start on cold days and frequency
of failures are reliability factors
• Durability: the amount of use one gets from a
product before it physically deteriorates or until
replacement is preferable.
For car - corrosion resistance & long wear of
upholstery fabric
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
PRINCIPAL QUALITY DIMENSIONS
•
Conformance: the degree to which physical and
performance characteristics of a product match
pre-established standards.
• car’s fit/finish, freedom from noises can reflect
this.
• Serviceability:
• Speed, courtesy, competence of repair work.
• auto owner -access to spare parts.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
PRINCIPAL QUALITY DIMENSIONS
Aesthetics:
how a product looks, feels, sounds, tastes, or smells.
car’s color, instrument panel design and “feel of road” –
make aesthetically pleasing
Perceived Quality:
• Subjective assessment of quality resulting from
image, advertising, or brand names.
• car, - shaped by magazine reviews-manufacturers’
brochures
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
MANUFACTURING BASED CRITERIA
• Quality = Conformance to specifications
• Quality is
“about manufacturing a product that people
can depend on every time they reach for it”
• Achieved at Coca-Cola through rigorous
quality & packaging standards
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
JUDGEMENTAL CRITERIA
•
•
•
•
•
Quality = superiority or excellence
“Goodness of a Product”
“You just know it when you see it”
little practical value to managers
No means through which quality can be
measured for decision making
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
PRODUCT-BASED CRITERIA
• Quality is a function of a specific,
measurable variable
• Higher amount of product characteristics =
higher quality
• Quality is mistakenly related to price
• Higher the price, higher the quality (Not
necessarily true)
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
USER-BASED CRITERIA
• Quality is determined by what customer
wants
• Quality = Fitness for intended use
• How well the product:
– Performs its intended purpose
– Meets consumers’ needs
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
VALUE-BASED CRITERIA
•
•
•
•
Value
“what the customer gets per what it costs the customer”
But customer “gets” more than a physical product.
He or she gets:
– A sense of confidence in a supplier, and
– A sense of assurance that the supplier will be there when
needed
• “Quality is the degree of excellence at an acceptable price
and control of variability at an acceptable cost.”
–
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
VALUE-BASED CRITERIA
• Purchase decision involves trading off the quality against the
price
• Because many of attributes of quality are subjective
assessments, therefore most of these definitions - subjective
• Unlike manufacturing & product-based approaches
Product
Quality
Service
Value
Price
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
DEFINING QUALITY
•
•
•
•
•
•
•
•
•
Perfection
Consistency
Eliminating waste
Speed of delivery
Compliance with policies & procedures
Providing good, usable products
Doing it right the first time
Delighting or pleasing customers
Total customer service & satisfaction
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
WHAT GOOD CAN QUALITY DO ?
•
•
•
•
•
•
Provides competitive advantage
Reduces costs
Lesser returns, rework & scrap
Increases productivity & profits
Generates satisfied customers
“ No Quality, poor service poor service
more waste, delay in delivery”
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
COMPETITIVE ADVANTAGE
• Driven by customer needs & wants
• Provides value to customers -competitors do
not
• Makes significant contribution to success
• Allows Prj to use its resources Effectively
• Durability & dependability – Difficult for
others to copy
• Provides basis for further improvement
• Provides direction & motivation to org
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Quality Evolution in Japan
Determining the customer’s
needs before the customer
becomes aware of them
Fitness to Latent
Requirements
Fitness to
Cost
To build a product that
meets the needs of
customer.
Fitness to
Use
Obtain high quality & low cost
by effective designing of both
the product & processes.
Fitness to
Standards
To build a product that meets
the specifications set by the
designer.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Inspection
• (ISO8402)
– “Activity such as measuring, examining, testing, or
gauging one or more characteristics of an entity and
comparing the results with specified requirements in
order to establish whether conformity is achieved for
each characteristic”
• Application points within the process
• Third party inspection or operator self inspection
• Decisions scrap, rework, modification, concession
– After-the-event screening process
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Inspection
• Lowest level of quality development
– Key product characteristics examined
•
•
•
•
Compared to known standard
Lack of ownership
After the event
Lack of feedback to source
– Inspection will not provide any basis for process improvement
– Debatable if it provides an effective screening against defects
reaching the external customer
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Quality Control
• Defined as (ISO8402)
– “Operational techniques and activities that are
used to fulfil requirements for quality”
– Developed from inspection of methods, systems
and tools & techniques
– More emphasis on feedback
– Main mechanism still inspection based
• Physical characteristics of product
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Quality Control
• QC is the systematic assessment of goods and
services to check their conformance
• It will not improve quality, just highlight when it is
not present
• In many cases QC does not identify the root cause
of the non-conformance
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Quality Control
• The second level of quality development
– Implied use of control systems
• Raw materials, drawing issues, inspection reports
– Development of inspection procedures
• Calibration, limited quality audits
• Use of basic QM tools
– Defect recording and analysis
– Quality costs still unknown
• Limited use of operator self inspection
– Still largely based on goods inwards inspection
• Reliance on inspection to catch non-conforming work
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Quality Control
Systematic Techniques to control quality.
What is Quality Assurance
“Quality assurance includes “all planned &
systematic activities implemented within
the quality system, & demonstrated as
needed, to provide adequate confidence
that an entity will fulfill requirements for
quality”.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
QUALITY ASSURANCE
• Any action directed towards providing consumers
with products (goods & services) of appropriate
quality
• Quality Management
• All activities of the overall management function
that determine the quality policy, objectives and
responsibilities and implement planning, quality
control, quality assurance and quality improvement
within the quality system” (ISO 840)
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
What is Total Quality
Total Quality means quality of work,
quality of service, quality of information,
quality process, quality of organization,
quality of people, quality of company and
quality of objectives.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
DEFINITION OF TOTAL QUALITY
Total Quality describes- State of an org in which
all the activities of all functions are designed &
carried out in such a way that:
• All external customer requirement-met
• while reducing internal Time & Cost,
• & Enhancing “Workplace climate”.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Profile of TQM
TQM is a:
• Scientific
• Systematic
• Company – Wide
Activity in which
A company is devoted to customers through its products and services.
TQM integrates:
Fundamental mgmt techniques,
Existing improvement efforts,
& Technical tools under a disciplined approach
focused on:
Continuous improvement.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Total Quality Management
TQM a philosophy set of guiding principals
that represent foundation of a continuously
improving org.
TQM is
application of (a) Quantitative
methods and (b) HR to improve material &
services supplied to an organization, & all
processes within an org, & degree to which
needs of customer are met, now & in
future.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
A TQM Approach To Management
•
•
•
•
• A unique blending of :
(a) Objective, practical, & quantitative aspects of
management, e.g. Focus on processes & reliance on
quantitative data & statistical analysis for decision-making:
(b) “soft” aspects of mgt, e.g. providing visionary leadership,
promoting a spirit of cooperation teamwork, and practicing
participative management.
Many orgs when deciding to undertake a TQM effort focus on
one or other of these general approaches.
A fully successful effort requires balanced attention to both.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
The Essence of TQM
• Is involving & empowering the
entire workforce to improve the
quality of goods and services
continuously in order to satisfy, and
even delight the customer.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
• TQM tools & technical methods used to accomplish specific
tasks.
• These are means of implementing TQM. Can be used by everyone
in org to:
–
–
–
–
–
identify problem areas,
structure data collection efforts,
analyze data,
focus problem solving efforts on areas of special concern.,
disseminate info throughout org.
These tools are used primarily to collect &
analyze numerical data.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Achieving Total Quality
techniques
philosophy
system
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Meanings of “Total” In TQM
1.
2.
3.
4.
5.
Objectives
Not only quality and environment but also other parameters including
cost, delivery, safety.
Every Department
Not only a manufacturing department but also other departments
including R&D marketing, administration, etc.
Every Echelon
Not only engineers but also top managers, middle managers, supervisors,
workers, and clerks.
Group-Wide
TQM is not lonely implemented by am company but also by all its group
companies.
All The Industries:
Not only in manufacturing industry but also in all the industries such as:
construction, real estate, electric power, city gas, water supply,
transportation, communications, servicing.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
A Manager Who Fails To Provide Resources
And Time For Prevention Activities Is
Practicing False Economy
Concentrate on Prevention, Not Correction
Prevention
Correction
Quality
Prevention has more leverage when improving quality
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Results of Total Quality Management
Delighted
Customer
Empowered Employers
High Revenue
Lower Cost
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Food For Thought
85 percent of opportunities for
improvement in Project comes
from:
(a) changing the systems
(b) Re-engineering work process
© modifying or replacing
equipment.
Dr. Deming
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
• TQM Provides a system of
methods on how to realize
the principle of customer
orientation beyond a slogan.
• Who is a customer
• The ultimate purchaser of a product
or service
• External customers purchase products or
services from other companies/plants
• Internal customers receive goods or
services from within the company
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Customer Satisfaction
Satisfaction
More Features
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Looking at your organization from
you customers’ point of view and
improving processes to enable
you to meet and exceed your
customers’ expectations is the
only way to achieve quality,
because quality is defined by the
customer.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
WHY IS IT IMPORTANT TO MEET
CUSTOMER EXPECTATIONS?
• Needs of customers have to be met
• Understanding of one’s customers leads to
customer satisfaction
• Japanese relate quality to customer
satisfaction
Inadequate Internal Facilities
Poorly Designed Processes
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Poor
Quality
Product
Conventional Wisdom
Quality is meeting conformance
standards.
Quality is an intangible good.
Deming’s Approach
Quality is meeting & exceeding customer
expectation.
Quality is defined by the customer.
Finding and Fixing problems results in Making changes to the system to prevent
improvements, which may or may not problems results in sustainable
be sustainable.
improvements.
Effectiveness & efficiency are
achieved by meeting acceptable
defect levels.
Effectiveness & efficiency are achieved by
continually improving.
Crisis management is the dominant
management mode.
Preventative management.
Performance standards & quotas
improve productivity.
Changes in the process improve productivity.
Decisions are made by “superiors.”
Decisions are made through collaboration
between staff & management.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Top management evaluates the organization
on financial performance.
Top management focuses on process
performance & customer satisfaction as well
as on financial performance.
Process improvement is expensive.
Process improvement leads to lower costs.
Only managers are capable of identifying &
making
Workers know the process best & will suggest
excellent ways to improve it when given a
chance.
Managers command functions & are
concerned with directing & controlling.
Team leaders guide cross-functional
improvement teams & are concerned with
planning & prevention.
Employees receive instruction & information
from above, as deemed appropriate by
management.
Management shares information with
employees on a routine basis & on request.
Leadership for an improvement effort can be
delegated to outside expert.
Leadership for an improvement effort is
provided by executives within the org, who
are accountable for results.
Reviews are necessary only when things go
wrong.
Regularly scheduled performanceimprovement reviews are a key to improved
processes.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
TQ & Traditional Management Practices- I
TQ demands new styles of managing
An entirely new set of skills.
These new styles include:
– Thinking in terms of systems
– Defining customer requirements
– Planning for quality improvement with each customer
– Dealing with customer dissatisfaction
– Ensuring ongoing quality efforts
– Developing a life long learning style
– Team building
– Encouraging openness
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
TQ & Traditional Management Practices
– Encouraging openness
– Creating climates of trust & eliminating fear
– Listening & providing feedback
– Leading & participating in group meetings
– Solving problems with data
– Clarifying goals & resolving conflicts
– Delegating & coaching
– Implementing change
– Making continuous improvement a way of life.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
QUALITY IS FREE !
According to Crosby:
• Quality is not only free, it is profit maker
• Increase of 5% -10% in profitability by
concentrating on quality
• Quality provides a lot of money for free
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
“Quality is never an
accident, it is always the
result of an intelligent
effort”
John Ruskin
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
THREE LEVELS OF QUALITY
Quality must be examined at three levels…
1. The organizational level
2. The process level
3. The performer / job level
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
AT THE ORGANIZATIONAL LEVEL
• Meeting requirements of external customers
• Organization must seek regular customer input
• Use customer-driven performance standards for:
– Setting goals
– Solving problems
– Allocating resources
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
AT PROCESS LEVEL
Must Identify:
•
•
•
•
Products or services the customers desire
Key processes
Core inputs
Organization’s customer-driven
performance standards
• Needs of internal customers
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
AT THE PERFORMER LEVEL
•
•
•
•
•
•
•
Standards of output must be determined
Accuracy
Completeness
Innovation
Timeliness
Cost
Determine how requirements will be
measured
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
Five Questions of Your Quality in Projectrs
1. What is your major product/service?
2. Who are its major users/customers?
3. What are its quality requirements which the
major users/customer demand?
4. What is its most competitive product/service
which is provided by your competitor?
5. What kind of comparative study do you have
between you product/service and you
competitor’s for the quality requirements from
the major users/customers?
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
The lesson Learnt
The Enemy
for Quality,
that is complacent.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
We Are Complacent, Aren’t We?
That’s a good idea.
But
Our Quality has
already
achieved at a certain high level.
Hence, we need not do so
to such a extent.
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI
July 16, 2015
Total Quality Management by Dr. Ali Sajid TI