Quality in The Medieval Guilds of Europe
Quality in The Medieval Guilds of Europe
The quality movement can trace its roots back to medieval Europe, where craftsmen began organizing into unions called guilds in the late 13th
century. These guilds were responsible for developing strict rules for product and service quality. Inspection committees enforced the rules by
marking flawless goods with a special mark or symbol. Craftsmen themselves often placed a second mark on the goods they produced. At first this
mark was used to track the origin of faulty items. But over time the mark came to represent a craftsman’s good reputation. Inspection marks and
master craftsmen marks served as proof of quality for customers throughout medieval Europe. This approach to manufacturing quality was
dominant until the Industrial Revolution in the early 19th century.
Until the early 19th century, manufacturing in the industrialized world tended to follow this craftsmanship model. The factory system, with its
emphasis on product inspection, started in Great Britain in the mid-1750s and grew into the Industrial Revolution in the early 1800s. American
quality practices evolved in the 1800s as they were shaped by changes in predominant production methods.
Craftsmanship
In the early 19th century, manufacturing in the United States tended to follow the craftsmanship model used in the European countries. Since most
craftsmen sold their goods locally, each had a tremendous personal stake in meeting customers’ needs for quality. If quality needs weren’t met, the
craftsman ran the risk of losing customers not easily replaced. Therefore, masters maintained a form of quality control by inspecting goods before
sale.
The factory system, a product of the Industrial Revolution in Europe, began to divide the craftsmen’s trades into specialized tasks. This forced
craftsmen to become factory workers and forced shop owners to become production supervisors, and marked an initial decline in employees’
sense of empowerment and autonomy in the workplace. Quality in the factory system was ensured through the skill of laborers supplemented
by audits and/or inspections. Defective products were either reworked or scrapped.
Late in the 19th century the United States broke further from European tradition and adopted a new management approach developed by
Frederick W. Taylor, whose goal was to increase productivity without increasing the number of skilled craftsmen. He achieved this by assigning
factory planning to specialized engineers and by using craftsmen and supervisors as inspectors and managers who executed the engineers’ plans.
Taylor’s approach led to remarkable rises in productivity, but the new emphasis on productivity had a negative effect on quality. To remedy the
quality decline, factory managers created inspection departments to keep defective products from reaching customers.
After entering World War II, the United States enacted legislation to help gear the civilian economy to military production. During this period,
quality became a critical component of the war effort and an important safety issue. Unsafe military equipment was clearly unacceptable, and the
U.S. armed forces inspected virtually every unit produced to ensure that it was safe for operation. This practice required huge inspection forces and
caused problems in recruiting and retaining competent inspection personnel.
To ease the problems without compromising product safety, the armed forces began to use sampling inspection to replace unit-by-unit inspection.
With the aid of industry consultants, particularly from Bell Laboratories, they adapted sampling tables and published them in a military standard,
known as Mil-Std-105. These tables were incorporated into the military contracts so suppliers clearly understood what they were expected to
produce.
The armed forces also helped suppliers improve quality by sponsoring training courses in Walter Shewhart’s statistical quality control (SQC)
techniques.
The beginning of the 20th century marked the inclusion of "processes" in quality practices. A "process" is defined as a group of activities that takes
an input, adds value to it, and provides an output. Walter Shewhart began to focus on controlling processes in the mid-1920s, making quality
relevant not only for the finished product but for the processes that created it.
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Shewhart recognized that industrial processes yield data. Shewhart determined this data could be analyzed using statistical techniques to see
whether a process is stable and in control, or if it is being affected by special causes that should be fixed. In doing so, Shewhart laid the foundation
for control charts, a modern-day quality tool.
W. Edwards Deming, a statistician with the U.S. Department of Agriculture and Census Bureau, became a proponent of Shewhart’s SQC
methods and later became a leader of the quality movement in both Japan and the United States.
The birth of total quality in the United States was in direct response to a quality revolution in Japan following World War II, as major Japanese
manufacturers converted from producing military goods for internal use to producing civilian goods for trade.
At first, Japan had a widely held reputation for shoddy exports, and their goods were shunned by international markets. This led Japanese
organizations to explore new ways of thinking about quality.
The Japanese welcomed input from foreign companies and lecturers, including two American quality experts:
W. Edwards Deming, who had become frustrated with American managers when most programs for statistical quality control were terminated
once the war and government contracts came to and end.
Joseph M. Juran, who predicted the quality of Japanese goods would overtake the quality of goods produced in the United States by the mid-1970s
because of Japan’s revolutionary rate of quality improvement.
Japan’s strategies represented the new "total quality" approach. Rather than relying purely on product inspection, Japanese manufacturers focused
on improving all organizational processes through the people who used them. As a result, Japan was able to produce higher-quality exports at
lower prices, benefiting consumers throughout the world.
At first, U.S. manufacturers held onto to their assumption that Japanese success was price-related, and thus responded to Japanese competition
with strategies aimed at reducing domestic production costs and restricting imports. This, of course, did nothing to improve American
competitiveness in quality.
As years passed, price competition declined while quality competition continued to increase. The chief executive officers of major U.S. corporations
stepped forward to provide personal leadership in the quality movement. The U.S. response, emphasizing not only statistics but approaches that
embraced the entire organization, became known as Total Quality Management (TQM).
A core definition of total quality management (TQM) describes a management approach to long-term success through customer satisfaction. In a
TQM effort, all members of an organization participate in improving processes, products, services, and the culture in which they work.
TQM can be summarized as a management system for a customer-focused organization that involves all employees in continual improvement. It
uses strategy, data, and effective communications to integrate the quality discipline into the culture and activities of the organization. Many of
these concepts are present in modern quality management systems, the successor to TQM. Here are the 8 principles of total quality management:
1. Customer-focused: The customer ultimately determines the level of quality. No matter what an organization does to foster quality improvement
—training employees, integrating quality into the design process, or upgrading computers or software—the customer determines whether the
efforts were worthwhile.
2. Total employee involvement: All employees participate in working toward common goals. Total employee commitment can only be obtained
after fear has been driven from the workplace, when empowerment has occurred, and when management has provided the proper
environment. High-performance work systems integrate continuous improvement efforts with normal business operations. Self-managed
work teams are one form of empowerment.
3. Process-centered: A fundamental part of TQM is a focus on process thinking. A process is a series of steps that take inputs from suppliers
(internal or external) and transforms them into outputs that are delivered to customers (internal or external). The steps required to carry out
the process are defined, and performance measures are continuously monitored in order to detect unexpected variation.
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4. Integrated system: Although an organization may consist of many different functional specialties often organized into vertically structured
departments, it is the horizontal processes interconnecting these functions that are the focus of TQM.
Micro-processes add up to larger processes, and all processes aggregate into the business processes required for defining and implementing
strategy. Everyone must understand the vision, mission, and guiding principles as well as the quality policies, objectives, and critical processes
of the organization. Business performance must be monitored and communicated continuously.
An integrated business system may be modeled after the Baldrige Award criteria and/or incorporate the ISO 9000 standards. Every organization
has a unique work culture, and it is virtually impossible to achieve excellence in its products and services unless a good quality culture has been
fostered. Thus, an integrated system connects business improvement elements in an attempt to continually improve and exceed the
expectations of customers, employees, and other stakeholders.
5. Strategic and systematic approach: A critical part of the management of quality is the strategic and systematic approach to achieving an
organization’s vision, mission, and goals. This process, called strategic planning or strategic management, includes the formulation of a strategic
plan that integrates quality as a core component.
6. Continual improvement: A large aspect of TQM is continual process improvement. Continual improvement drives an organization to be both
analytical and creative in finding ways to become more competitive and more effective at meeting stakeholder expectations.
7. Fact-based decision making: In order to know how well an organization is performing, data on performance measures are necessary. TQM
requires that an organization continually collect and analyze data in order to improve decision making accuracy, achieve consensus, and allow
prediction based on past history.
8. Communications: During times of organizational change, as well as part of day-to-day operation, effective communications plays a large part in
maintaining morale and in motivating employees at all levels. Communications involve strategies, method, and timeliness.
Several other quality initiatives followed. The ISO 9000 series of quality-management standards, for example, were published in 1987. The Baldrige
National Quality Program and Malcolm Baldrige National Quality Award were established by the U.S. Congress the same year. American companies
were at first slow to adopt the standards but eventually came on board.
As the 21st century begins, the quality movement has matured. New quality systems have evolved beyond the foundations laid by Deming, Juran,
and the early Japanese practitioners of quality.
Most recently in 2015, the ISO 9001 standard was revised to increase emphasis on risk management.
In 2000, the ISO 9000 series of quality management standards was revised to increase emphasis on customer satisfaction.
Beginning in 1995, the Malcolm Baldrige National Quality Award added a business results criterion to its measures of applicant success.
Six Sigma, a methodology developed by Motorola to improve its business processes by minimizing defects, evolved into an organizational
approach that achieved breakthroughs and significant bottom-line results.
Quality function deployment was developed by Dr. Yoji Akao as a process for focusing on customer wants or needs in the design or redesign of a
product or service.
Sector-specific versions of the ISO 9000 series of quality management standards were developed for such industries as automotive (QS-9000 and
ISO/TS 16949), aerospace (AS9000) and telecommunications (TL 9000) and for environmental management (ISO 14000).
Quality has moved beyond the manufacturing sector into such areas as service, healthcare, education, and government.
The Malcolm Baldrige National Quality Award has added education and healthcare to its original categories: manufacturing, small business, and
service. Many advocates are pressing for the adoption of a "nonprofit organization" category as well.
The birth of modern quality can arguably be pinpointed to the mid-1920s. Walter A. Shewhart, a statistician at Western Electric, began to focus on
controlling processes, making quality relevant not only for finished products, but for the processes that created those products. Shewhart
recognized that all processes yield data that could be analyzed using statistical techniques to determine if a process is stable and in control. His
work laid the foundation for statistical control charts, a landmark modern-day tool that would revolutionize the management of processes and
launch generations of quality experts.
By far, the most important event that followed the war was the Japanese quality revolution. The U.S. DoD asked Juran and Deming, two of the
emerging quality giants of the era, to work with Japan, and, partially due to their efforts, Japan committed to becoming an economic superpower.
Deming taught the Shewhart control charts and the Plan-Do-Check-Act, while Juran focused on managing for quality and the methodology of
annual quality improvement.
Walter A. Shewhart (1891-1967) had a most profound impact on modern quality. He joined Western Electric in Hawthorne, Illinois, and his
pioneering works in statistical process control would alter the course of industrial history. Shewhart’s principle was that bringing a process into a
state of statistical control would allow the discovery and elimination of causes of variation, leading to greater efficiency and effectiveness. With his
first published book, Economic Control of Manufactured Product, this important concept was given to the world and was the birth of the modern
scientific study of process control. Arguably, his most important contribution was mentoring other quality giants, such as Dr. Joseph M. Juran, Dr.
W. Edwards Deming, and a host of others who would have a profound impact on society as a whole.
After graduating from the University of Minnesota, Joseph M. Juran (1904-2008) worked at Western Electric’s famous Hawthorne Plant near
Chicago, where he studied with Walter Shewhart. He left Western Electric after World War II to begin a 60+ year career in research, lecturing,
consulting and publishing of more than 15 technical books and articles too numerous to count. He lectured and taught quality management to tens
of thousands in more than 40 countries, and his first book, Quality Control Handbook, was a landmark work that is still relevant today. His work
with Japanese industry was instrumental in their entrance on the world stage as a competitor of quality products and services. For his
contributions, Japan named a temple in his honor. Dr. Juran was a founding member of the American Society for Quality.
W. Edwards Deming (1900-1993) also worked and trained with Dr. Shewhart at Western Electric and had great success using his principles. After
World War II, the U.S. Department of Defense asked Deming to work with Japan on reconstruction efforts. He refused royalties from courses and
lectures, insisting that all proceeds be used to help the Japanese people. He is considered a national folk hero in Japan and founder of their third
wave of industrial revolution. Their top quality award is named The Deming Prize. Dr. Deming authored more than 200 papers, articles and books,
but is best known for the NBC News white paper “If Japan Can, Why Can’t We?” Broadcast in 1980, it described how the Japanese captured the
auto and electronics markets by practicing continual improvement and thinking of manufacturing as a whole system. The broadcast was credited
with introducing the quality revolution to American managers.
After serving two terms in the U.S. Navy, Philip B. Crosby (1928-2001) worked for several aerospace firms before beginning a career at ITT. In 1979,
he founded Philip Crosby Associates, where he served many organizations large and small. His management courses have been taught in many
languages and in locations around the globe. Many quality experts are viewed as academics, but Crosby was considered a businessman, which
explains why top executives flocked to his Quality College. Crosby believed that quality was a significant part of an organization and that senior
managers must take active leadership roles. He also believed that quality professionals must become more knowledgeable and communicative
about business. He is best known for the “Zero Defects” methodology, his 14 steps to improvement and the four absolutes of quality.
Dr. Armand V. Feigenbaum (1920- ) worked 26 years at General Electric before leaving to form his own company, General Systems. His landmark
book Total Quality Control, published in 1951, is widely accepted around the world as a foundation for quality control. Feigenbaum was the
founding chairman of the International Academy for Quality and is widely recognized as the father of Total Quality Management. He is also known
for the concepts of the “hidden factory” and that “quality is what the customer says it is.” On September 29, 2008, President George W. Bush
presented him with the National Medal of Technology and Innovation, the highest honor for technological achievement that can be bestowed by
the president.
FISHBONE DIAGRAM
Variations: cause enumeration diagram, process fishbone, time-delay fishbone, CEDAC (cause-and-effect diagram with the addition of cards),
desired-result fishbone, reverse fishbone diagram
This cause analysis tool is considered one of the seven basic quality tools. The fishbone diagram identifies many possible causes for an effect or
problem. It can be used to structure a brainstorming session. It immediately sorts ideas into useful categories.
The five whys and five hows techniques constitute a questioning process designed to drill down into the details of a problem or a solution and peel
away the layers of symptoms. The technique was originally developed by Sakichi Toyoda who stated that "by repeating why five times, the nature
of the problem as well as its solution becomes clear."
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The five whys are used for drilling down into a problem and the five hows are used to develop the details of a solution to a problem. Both are
designed to bring clarity and refinement to a problem statement or a potential solution and get to the root cause or root solution.
WHEN TO USE
While both methods are techniques to expand the horizon of a team searching for answers, there are distinct uses for five whys and five hows.
However, both of these two techniques force a team to develop a better and more detailed understanding of a problem or solution and will be
helpful in the root cause analysis process.
Use the five whys technique when you want to push a team investigating a problem to delve into more details of the root causes. The five
whys can be used with brainstorming or the cause-and-effect diagram.
Use the five hows technique to develop more details of a solution to a problem under consideration. The five hows can be used with brainstorming
and a solution-focused cause-and-effect diagram.
Digging For The Root Cause (Six Sigma Forum Magazine) Six Sigma training covers five popular identification tools, including the five whys
technique, because some aspects of these tools are usually overlooked, such as when and where to stop and how to differentiate multiple causes
through a weighing system that prevents loss of focus.
The Art of Root Cause Analysis (Quality Progress) A Master Back Belt discusses the process, the benefits, and the problems of using the five whys
technique for root cause analysis.
Five Whys and a Why Not (Quality Progress) This article discusses adding a "why not?" question to the five whys line of questioning, arguing that
the method will be significantly enhanced while still maintaining the simplicity of the original method.
Why Ask Why? (Quality Progress) Using the five whys technique is valuable to discovering latent causes because identifying them early can prevent
other organizational issues.
Turning ‘Who’ Into ‘How’ (Quality Progress) When things go wrong, the goal should be to move away from trying to determine "who" was at fault
and quickly transition into a problem-solving mindset of "how" to make things better.
The Plan-do-check-act cycle (Figure 1) is a four-step model for carrying out change. Just as a circle has no end, the PDCA cycle should be repeated
again and again for continuous improvement. The PDCA cycle is considered a project planning tool.
What is QMS
A Quality Management System, often called a QMS, is a set of internal rules that are defined by a collection of policies, processes, documented
procedures, and records. This system defines how a company will achieve the creation and delivery of the products and services they provide to their
customers. When implemented in your company, the QMS needs to be specific for the product or service you provide, so it is important to tailor it to
your needs. However, in order to help ensure that you do not miss elements of a good system, some general guidelines exist in the form of ISO
9001:2015 (Quality Management System – Requirements), which are intended to help standardize how a QMS is designed.
ISO 9001 is an internationally recognized set of requirements for creating the rules, policies, processes, and procedures to provide products and
services that meet customer needs, and improve customer satisfaction. The Quality Management System standard is maintained by the International
Organization for Standardization, and is agreed upon by a majority of member countries in this organization so that it can be recognized
internationally and is accepted as the gold standard for the processes to be used worldwide for the QMS.
Customer focus. If you are trying to provide products and services that meet customer needs, you first need to be focused on what these needs
are. This customer focus is the foundation of improving customer satisfaction.
In order for the QMS to succeed, top management needs to provide resources and adequate ongoing review of the system.
Engagement of people. The people who work at your organization are the most important asset, and their knowledge and experience need to be
understood in the QMS.
Process approach. A process is any activity that takes inputs, and creates outputs; these inputs and outputs need not be simply physical; some are
information or energy. Everything we do in an organization is a process, and a system is created when we understand that the inputs for one
process come from a different process, and it is in these interactions that we need to take particular care.
A company will only survive if it gets better over time, so the QMS needs to focus on finding ways to do things better.
Evidence-based decision making. Proper management cannot be done if we don’t know how a process is actually working. By basing our decisions
on facts, we can better manage and improve the QMS.
Relationship management. Sometimes the only way to improve our products and services is to have our suppliers improve their products and
services. In order to make this work, we need to manage the relationship between ourselves and our suppliers.
These Quality Management System principles are found in the document ISO 9000, which is a supporting document for the ISO 9001 requirements.
For this reason, it is advisable to create your QMS by implementing the requirements of a standard that is recognized as providing the agreed
acceptable processes required to ensure customer satisfaction and improvement.
The next big challenge in implementing the Quality Management System is demonstrating the commitment of management by having the overlying
policies defined and communicated to all levels of the organization. Then the QMS can be made to work as a method of ensuring that all necessary
requirements are defined and met, and improvements are made.
How Companies are Using Quality Management Systems Today to Improve Profitability
While the emphasis of a QMS is not placed on profits, proper implementation can and often does increase a company’s bottom line. In fact, many
organizations have successfully used quality management systems to skyrocket their earnings, quite often through the hidden and unconsidered
benefits that may not immediately be seen when looking at the framework of a QMS. These benefits include:
Every business has its own unique set of products, goals, values, and beliefs. Quality management systems should embrace and reflect those
differences. To make this possible, there are many different types of quality management systems, each with their own set of advantages,
disadvantages, and abilities. The following are the most commonly used.
Standardized Systems:
Standardized systems are any quality management systems that follow a set of federal codes and regulations. These include ISO certifications, such
as ISO 9000/9001, ISO 13485, ISO 14000/14001, ISO 14971, ISO 17025, ISO 22000, HACCP, TS 16949; TL 9000; AS9100; cGxP, 21 CFR Part 11, QSR
Title 21 Part 820, A2LA, or OHSAS 18001. Organizations that attempt to follow these standards must meet all criteria and pass detailed audits. In
some industries, it is a requirement. In others, it may provide specific benefits that appeal to the company’s goals and overall objectives.
TQM is a management approach in which quality is emphasized throughout every aspect of a business. The objectives focus on the long-term
development of quality products and service by breaking down each individual process and activity to determine if it contributes or detracts from
the company’s productivity and quality goals. Deviant processes and functions are aligned with the company’s goals, values, and beliefs through
the development of flexible strategies.
CQI is a quality system that is never satisfied. Its focus of continual and constant improvement focuses less on the processes and functions and
places more emphasis on the role that teams and individuals play in the road to quality. Rewards are an integral part of this quality management
system. Its “Plan, Do, Check, Act” approach has been adapted to fit many industries and companies, including those that may not use CQI as their
sole or primary quality management system.
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Six Sigma:
Six Sigma is a disciplined, data-driven approach and methodology that aims for perfection in quality. It focuses on the process of improvement and
reduction of deviation through the application of specifically outlined processes: define, measure, analyze, improve, and control. Used by
multimillion dollar companies such as Motorola and General Electric, aspiring Six Sigma businesses typically undergo intensive and specialized
training processes to learn how this QMS works.
While disorganization can affect nearly any part of a company, document control is often the most critical. Responsible for regulating and
controlling crucial systems, processes, functions, and procedures, documents drive nearly every action within a company. When organizational
issues in this area exist, the tracking, monitoring, updating, accessing, locating, and distributing of those key documents becomes difficult and
tedious. Errors become a tangible problem. Time is wasted. Employees become frustrated, confused, and disgruntled. And your company’s goals
for productivity, quality, and profitability crumble.
Although the competitive market has pushed many companies to improve the quality of their products and services, it has also created a disparity
between the amount of work that must be done and the funds available to employ workers to complete that work. Staffing issues may also be
present in industries with high turnover or accident rates.
Regardless of the reason behind it, businesses that struggle with staffing are likely to experience a number of issues that range from general
employee dissatisfaction and even higher turnovers to unfinished work and an increase in errors. The results are far-reaching and can include issues
like poorer quality, deviation from the quality management system, failed audits, decreased customer satisfaction, and a decline in sales and
profits.
Implementing a quality management system means making a lot of changes—some are big, and some are small. But they all need one key
ingredient to be successful: the cooperation and assistance of your employees. Unfortunately, humans are resistant to change by nature. This can
apply, even when the change is positive. So how do you combat human nature and get your employees on board with all the changes that are
about to happen? The trick is to understand that it is less about changing human nature and more about addressing the core reason behind the
resistance.
You wouldn’t travel to a foreign country without knowing at least some basic language, nor would you venture into a location you’ve never visited
without a map. So why is it that so many businesses attempt to implement a quality management system without a proper plan? Maybe it’s that
they are uncertain of how to create such a plan? Or maybe they are unaware of the need for one? Or maybe they aren’t fully clear on why it is they
want to implement a quality management system in the first place. Regardless of the reason, it is a formula for disaster.
PHILOSOPHIES
• He teach statistical quality control, importance of leadership, customer/supplier partnership, and continuous improvement in Japan
• He advocated the continuous improvement cycle supported by statistical analysis in reducing the uncertainty and variability in design,
manufacturing, and service processes
• Improvement in quality lead to lower costs because it results in less rework, fewer mistakes, fewer delays, & better use of time and
materials.
An organization must define its values, mission, and vision to provide strategic direction for its management and employees.
Deming believed that businesses should not exist simply for profit; they are social entities whose basic purpose is to serve their
customers and employees
Everyone must learn and understand the principles of quality and performance excellence.
• Routine inspection acknowledges that defects are present, encourages a lack of attention to quality by production workers and does not
add value to the product
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• Rework and disposition of defective material decreases productivity and increases cost
• Workers has to take responsibility for their work rather than relying on the for someone else down the production line
• More in-process inspection and the use of statistical tools that would help to eliminate post-production inspection
• Inspection should be used as an information gathering tool for improvement, not as a means of assuring quality
• Understanding and seeking to reduce variation, managers can eliminate many sources of unnecessary inspection, thus reducing non-
value-added costs associated with operations
• Establish long term relationships with fewer suppliers, leading to loyalty and opportunities for mutual improvement
• Multiple suppliers leads to increase in cost of travel to visit suppliers, loos of volume discounts, increase set-up charges resulting to higher
unit costs, increase in inventory and administrative expenses.
• Constantly changing suppliers solely on the basis of price increases the variation in the material supplied to production, because each
supplier process is different.
• Reduced supply base decreases the variation coming into the process, thus reducing scrap, rework, and the need for adjustments to
accommodate this variations.
• Improved design of goods and services comes from understanding the customers needs and continual market surveys and other sources
of feedback, and from understanding the manufacturing and service delivery process.
• Improvement in operation are achieved by reducing the causes and impacts of variation, and engaging all employees to innovate and
seek ways of doing their jobs more efficiently and effectively
• When quality improves, productivity improves and costs decrease (Deming chain reaction)
• Not only does training improve quality and productivity, but it adds to workers morale, and demonstrates to workers that the company is
dedicated to investing in their future
• Training should include tools for diagnosing, analyzing, and solving quality problemsand identifying improvement opportunities
• Supervision is simply overseeing and directing work; leadership means providing guidance to help employees perform better
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• Leadership can help to eliminate the element of fear from the job and encourage teamwork
• No system can work without the mutual respect of managers and workers
• Workers are often afraid to report quality problems because they might not meet their quotas, their incentive pay might be reduced, or
they might be blamed for problems in the system
• Managers are also afraid to cooperate with other departments because the other managers might receive higher performance ratings
and bonuses, or because they fear takeovers or reorganizations
• Internal competition for raises and performance ratings inhibits teamwork and cooperation
• Behavioral change using posters, slogans, and motivational programs are directed at the wrong people
• A well designed system that provides workers with the right tools and environment will lead to higher levels of trust and motivation than
slogans and goals can achieve.
• Standards and quotas do not encourage improvement, particularly if rewards or performance appraisals are tied to meeting quotas.
• Effective organization need to understand the factors that motivate and engage workers and build an environment in which workers take
pride in what they do, understand the meaning of their work, and are rewarded for their accomplishments.
• Many companies understand that elevating the general knowledge base of their workforce returns many benefits.
• Any cultural change begins with top management and includes everyone.
• Changing an organizational culture generally meets with skepticism and resistance that many firms find difficult to deal with, particularly
when many of the traditional management practices Deming felt must be eliminated are deeply ingrained in the organizations culture.
• Believed that the solution to crisis in quality depends on new thinking about quality that includes all levels of managerial hierarchy
• Advocated the use of quality cost accounting and analysis to focus attention on quality problems
• Focused on increasing conformance to specifications through elimination of defects, supported extensively by statistical tools for analysis
• Quality is related to freedom from product deficiencies, which avoids customer dissatisfaction
Pursuit of quality
• The mission of each department in the firm is to achieve high conformance quality
Quality control
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• Proof of the need: information on poor quality, low productivity, or poor service can be translated into cost to justify the need.
• Organization for breakthrough: defines the responsibilities of each member of the group
• Diagnostic journey: data collection, statistics, and other problem solving tools are needed in this stage
• Remedial journey: composed of choosing an alternative that optimizes total cost, implementing remedial action, and dealing with
resistance to change
• Holding the gains: involves establishing the new standards and procedures, training the workforce, and instituting controls
• Emphasized on management and organizational processes to change corporate culture and attitudes
• There is no such thing as a quality problem. The burden of solving it falls on the functional departments and not the quality department.
• There is no such thing as the economics of quality; doing the job right the first time is always cheaper. Costs are all actions that involve
not doing jobs right the first time.
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• The only performance measurement is the cost of quality, which is the expense of non-conformance. A well run quality program can
achieve a cost of quality that is less than 2.5% of sales.
• Popularized the term hidden factory, which describes the portion of plant capacity wasted due to poor quality
• Quality Leadership : a continuous management emphasis is grounded on sound planning rather than reaction to failure. Management
must maintain a constant focus and lead the quality effort.
• Modern Quality Technology: the traditional quality department cannot resolve 80% to 90% of quality problems. This task requires the
integration of office staff as well as engineers and shop-floor workers in the process who continually evaluate and implement new
techniques to satisfy customers in the future.
• Organizational Commitment: continuous training and motivation of the entire workforce as well as an integration of quality in business
planning indicate the importance of quality and provide the means for including it in all aspects of the firms activities
• Promoted greater involvement of all employees from top management to the frontline staff by reducing reliance on quality professionals
and quality departments
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• Advocated on collecting and analyzing factual data using simple visual tools, statistical techniques, and teamwork as the foundation for
implementing total quality
• Best known for developing a quality improvement tool called cause-and-effect diagram
• The ideal state of quality control occurs when inspection is no longer necessary
• Ninety-five percent of problems is a company can be solved with simple tools for analysis and problem solving
Organizations depend on their customers and therefore should understand current and future customers needs, should meet customers
requirements, and strive to exceed customers expectations Researching and understanding customer needs and expectations
Ensuring that the objectives of the organization are linked to customer needs and expectations
Ensuring a balanced approach between satisfying customers and other interested parties (owners, employees, suppliers, financiers, local
communities, and society as a whole)
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Principle 2. Leadership
Leaders establish unity of purpose and direction of the organization. They should create and maintain the internal environment in which
people can become fully involved in achieving the organizations objectives.
Considering the needs of all interested parties including customers, owners, employees, suppliers, financiers, local communities and
society as a whole.
Creating and sustaining shared values, fairness and ethical role models at all levels of the organization
Providing people with the required resources, training and freedom to act with responsibility and accountability
People at all levels are the essence of an organization and their full involvement enables their abilities to be used for the organizations
benefit.
People understanding the importance of their contribution and role in the organization
People accepting ownership of problems and their responsibility for solving them
People evaluating their performance against their personal goals and objectives
People actively seeking opportunities to enhance their competence, knowkledge, and experience
A desired results is achieved more efficiently when activities and related resources are managed as a process
Identifying the interfaces of key activities within and between the functions of the organization
Focusing on the factors such as resources, methods, and materials that will improve key activities of the organization
Evaluating risks, consequences, and impacts of activities on customers, suppliers, and other interested parties.
Identifying, understanding, and managing interrelated processes as a system contributes to the organizations effectiveness and efficiency
in achieving its objectives.
Structuring a system to achieve the organizations objectives in the most effective and efficient way
Providing better understanding of the roles and responsibilities necessary for achieving common objectives and thereby reducing cross-
functional barriers
Targeting and defining how specific activities within a system should operate
Continual improvement of the organizations overall performance should be a permanent objective of the organization
Providing people with training in the methods and tools of continual improvement
Making continual improvement of products, processes, and systems an objective for every individual in the organization
Ensuring that data and information are sufficiently accurate and reliable
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Making decisions and taking action based on factual analysis, balanced with experience and intuition
An organization and its suppliers are interdependent and a mutually beneficial relationship enhances the ability of both to create value.
THE PHILOSOPHIES OF DEMING, JURAN AND CROSBY ARE MORE ALIKE THAN DIFFERENT
• Demonstrates that quality management practices will save, not cost money
• Recognizes the need for and difficulties associated with changing the organizational culture
Legal Basis
Administrative Order No. 161, s. 2006 (Institutionalizing Quality Management System in Government, October 5, 2006)
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Legal Basis
Executive Order No. 605, s. 2007 (Institutionalizing the Structure , Mechanisms and Standards to Implement the Government Quality Management
Program, Amending for the Purpose Administrative Order No. 161, s. 2006 dated February 23, 2007
o directs departments/agencies under the Executive Branch and GOCCs to adopt ISO-QMS and pursue certification
o enjoins SUCs and encourage LGUs, Judiciary, Legislature, and Constitutional Offices to establish ISO-QMS and pursue certification
ISO in Brief
An independent, non-governmental international organization with 164 member countries around the world.
series of Quality Management System standards, designed to facilitate establishment of a business process
most recent versions -ISO 9000:2015 and ISO 9001:2015 (September 2015)
Core standards
ISO 9000:2004 – Managing for the Sustained Success of an Organization- A Quality Management Approach
o CONSISTENCY
o ASSURANCE
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o UNIFORMITY
Quality
ability of the product or service to satisfy stated and implied needs (American Society of Quality).
Quality management
ensures that OUTPUTS , BENEFITS AND PROCESSES meet STAKEHOLDERS’ REQUIREMENTS and are FIT for PURPOSE.
Management system
Everyone is clear about who is responsible for doing what, when, how, why and where
a) needs to demonstrate CONSISTENCY to meet CUSTOMER and applicable STATUTORY and REGULATORY requirements, and
d) helps the organization STAND OUT, gain COMPETITIVE EDGE and GROW
Clause 1. Scope
o Requirements of this international standard are GENERIC and are intended to be applicable to all organizations.
Plan Phase - defining objectives, policies, procedures and processes, including measuring aimed to show whether the processes are delivering the
expected results.
Do Phase - realization of the planned arrangements applying policies and procedures, performing processes and producing records.
Check Phase - results of the DO PHASE are analyzed to determine performance and effectiveness of activities undertaken during the Do Phase.
Act Phase - taking actions according to the results of the Check Phase
Cl
determine the interested parties relevant to the QMS (students, employees, CHED, DBM, COA, alumni, parents,
suppliers, etc.)
inputs and outputs of processes, sequence and interaction of processes, resources needed and responsibilities
(Process Approach)
Quality Procedures
Clause 5. Leadership
inform the organization on the importance of fulfilling customer requirements, compliance with legal and other
requirements, establishing a quality policy and objectives, conducting management reviews and providing needed
resources
high level document containing statements about the general direction of the organization and its commitment to
quality and customer satisfaction
Clause 6. Planning
in order to achieve intended results, enhance desirable effects and achieve improvements after evaluated later for
their effectiveness
establish quality objectives for appropriate functions and departments in the organization
consider the purpose and consequences, integrity of the QMS, availability of resources and allocation of
responsibilities and authorities
Clause 7. Support
o Getting the right resources, the right people and the right infrastructure in place
o 7.1 Resources
Taking into account the capabilities and constraints of existing internal resources and the need to obtain additional
resources from external providers
resources to be obtained include people, infrastructure, environment for operation of the processes, monitoring and
measuring resources, and organizational knowledge
o 7.2 Competence
o 7.3 Awareness
meaning of personal performance (improved performance and implications of poor performance to the QMS)
o 7.4 Communication
what needs to be communicated, when it needs to be communicated, how it should be done, who needs to receive
the communication, and who will communicate
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documents and records required explicitly by the standard and needed by the organization to execute its activities
and processes
provision of processes on distribution, retention, access, usage, retrieval, preservation and storage control and
disposition of such information
Clause 8. Operation
handling inquiries/feedback
keeping documented information regarding results of reviews, authorization of the change and actions taken to
prevent adverse effects
purchasing that includes products and services acquire from suppliers and outsourced processes
sufficient level of documentation (work procedure, work instructions and records, monitoring and measuring
equipment, appropriate infrastructure, etc.)
release of products and services should not be performed until the organization ensures that these are conforming to
the requirements
identifying and controlling nonconforming outputs to ensure that they must be prevented from unintended delivery
or use
checking whether the QMS complies with the requirements of ISO 9001:2015, statutory, regulatory and own
organization’s requirements (not to determine nonconformity)
reviewing the organization’s QMS at planned intervals to ensure its continuing suitability, adequacy, effectiveness and
alignment with the strategic direction of the organization
making decisions regarding opportunities for improvement need for changes in the QMS and resources needed for
the upcoming period
taking actions to control NCs by making corrective actions to remove the cause and prevent recurrence
selecting opportunities for improvement and implement necessary actions to meet customer requirements and
enhance customer satisfaction
Educating the SUCs with the best Quality Assurance (QA) method, in fulfillment of CMO No. 46, Art. 1, Sec.3.
Giving the best value of service to Filipino and foreign students who come to our country in search of quality education