Operations Management and TQM

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OPERATIONS MANAGEMENT AND TQM  Armand Feignbaum

 Philip B. Crosby
Quality Management  Kaoru Ishikawa
What does the term quality mean?  Genichi Taguchi
 Quality is the ability of a product or service to consistently meet or exceed
customer expectations. Key Contributors to Quality Management
Contributor Known for
Evolution of Quality Management Deming 14 points; special & common causes of
variation
 1924 - Statistical process control charts
Juran Quality is fitness for use; quality trilogy
 1930 - Tables for acceptance sampling
Feignbaum Quality is a total field
 1940’s - Statistical sampling techniques
Crosby Quality is free; zero defects
 1950’s - Quality assurance/TQC
Ishikawa Cause - and effect diagram s; quality
 1960’s - Zero defects circles

 1970’s - Quality assurance in services Taguchi Taguchi loss function

Quality Assurance vs. Strategic Approach


Quality

 Quality Assurance
 Emphasis on finding and correcting defects before reaching market
 Strategic Approach
Dimensions of Quality
 Proactive, focusing on preventing mistakes from occurring
 Performance - main characteristics of the product/service
 Greater emphasis on customer satisfaction
 Aesthetics - appearance, feel, smell, taste
 Special Features - extra characteristics
The Quality Gurus
 Conformance - how well product/service conforms to customer’s
 Walter Shewhart
expectations
o “Father of statistical quality control”
 Reliability - consistency of performance
 W. Edwards Deming
 Joseph M. Juran
 Durability - useful life of the product/service
 Perceived Quality - indirect evaluation of quality (e.g. reputation)  Courtesy
 Serviceability - service after sale
Examples of Service Quality
Examples of Quality Dimensions
Dimension (Product) (Service)
Automobile Auto Repair
1. Performance Everything works, fit & All work done, at agreed
finish price
Ride, handling, grade of Friendliness, courtesy,
materials used Competency, quickness
2. Aesthetics Interior design, soft touch Clean work/waiting area

3. Special features Gauge/control placement Location, call when ready


Cellular phone, CD Computer diagnostics
player
Dimension (Product) (Service)
Automobile Auto Repair
5. Reliability Infrequency of breakdowns Work done correctly,
ready when promised

6. Durability Useful life in miles, resistance Work holds up over Determinants of Quality
to rust & corrosion time
 Quality of design
7. Perceived Top-rated car Award-winning service  Intension of designers to include or exclude features in a product or
quality department
service
8. Serviceability Handling of complaints and/or Handling of complaints
requests for information  Quality of conformance
 The degree to which goods or services conform to the intent of the
Service Quality designers
 Tangibles
 Convenience
 Reliability
 Responsiveness The Consequences of Poor Quality
 Time  Loss of business
 Assurance  Liability
 Productivity
 Costs

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