Week 2 Quality

• QUALITY can be a confusing concept, partly because people view quality subjectively and in relation to differing criteria based on their individual roles in the production-marketing value chain.
• Quality can be defined from six different perspectives:

  • Transcendent

  • Product

  • User

  • Value

  • Manufacturing

  • Customers
• TRANSCENDENT PERSPECTIVE – defined as the goodness of a product. It is often loosely related to the aesthetic characteristics of products that are promoted by marketing and advertising.
• PRODUCT PERSPECTIVE – it implies that larger numbers of product attributes are equivalent to higher quality, so designers often try to incorporate more features into products, whether they want them or not.
• USER PERSPECTIVE – leads to a user-based definition of quality-fitness for intended use, or how well the product performs its intended function.
• VALUE PERSPECTIVE – the relationship of product benefits to price.
• MANUFACTURING PERSPECTIVE – provides an unambiguous way to measure quality and determine if a good is manufactured or a service is delivered as it was designed.
• CUSTOMER PERSPECTIVE – the totality of features and characteristics of a product of service that bears on its ability to satisfy given needs
• Modern quality assurance methods actually began millennia ago in China during Zhou Dynasty. Inspection at various stages by the workers themselves was important in establishing responsibility for quality
• Many began to use the term BIG Q to contrast the difference between managing for quality in all organizational processes as opposed to focusing solely on manufacturing quality (LITTLE Q).
• TOTAL QUALITY MANAGEMENT – is a people-focused management system that aims at continual increase in customer satisfaction at continually lower real cost
• PERFORMANCE EXCELLENCE can be defined as an integrated approach to organizational performance management
• GLOBAL RESPONSIBILITY – an organization must be fully aware of global impact of its local decision and realize that as demand grows for the planet’s finite resources, waste is increasingly unacceptable.
• CONSUMER AWARENESS – organizations must be quick when responding to their customers’ concerns and match their products to customers’ wants and needs, or risk having their customers defect to a competitor.
• CONSUMER AWARENESS – organizations must be quick when responding to their customers’ concerns and match their products to customers’ wants and needs, or risk having their customers defect to a competitor.
• GLOBALIZATION – firms have to contend with a growing number of competitors and sources of lower-cost labor and assume the risks associated with global supply chains.
• INCREASING RATE OF CHANGE – the threat lies in the possibility that humanity won’t be able to adapt to the disruptions that accompany technological advances.
• WORKFORCE OF THE FUTURE – competition for talent will increase, and along with technological advances, will change how and where work is done.
• AGING POPULATION – as people live longer, organizations face higher costs for health care and social welfare programs.
• TWENTY-FIRST CENTURY QUALITY – Quality is moving beyond the organization’s walls to

  encompass a customer’s entire experience with the organization rather than just the quality

  of the product or service.
• INNOVATION – the pursuit of something different and exciting. Innovation lies at the heart of

  organizational survival.
• SERVICE ORGANIZATIONS – include all nonmanufacturing organizations such as

  hotels, restaurants, financial and legal services, and transportation, except such

  industries are agriculture, mining, and construction.
• DR. WILLIAM EDWARDS DEMING He made a significant contribution to Japan's later reputation for innovative high- quality products and its economic power
• Dr. Joseph M. Juran

  Stated that;

  “Quality does not happen by accident, it has to be planned.”

  “Management controllable defects account for over 80% of the total quality problems”-quality cannot be consistently improved unless the improvement is planned.
• Malcolm Baldrige National Quality Award

  • Award for excellence through implementation of quality improvement programs
• Ritz-Carlton first won the award in 1992, and again in 1999
• TOTAL QUALITY CONTROL (TQC) = System for integrating quality development, maintenance, and improvement into the groups of an organization
• Armand Feigenbaum

  • Quality control covers defining customers’ needs to obtaining their feedbacks to ensure satisfaction

  • Quality is controlled in the process, not simply after production
• Philip Crosby

  Believed that:

  • The only performance measurement is the cost of quality -i.e price of non conformance, cost of quality is always a measurable item, quantitative approach

  • The only performance standard is zero defects -i.e. perfection is the target, quantitative approach to quality
• Genichi Taguchi

  The two founding ideas of his quality work are essentially quantitative:

  • First is a belief in statistical methods to identify and eradicate quality problems.

  • The second rests on designing products and processes to build quality in, right from the

  outset.
• • Karou Ishikawa

  (fish bone/cause and effect diagram)