Total Quality Management

Total Quality Management - is an extensive and structured organization management approach that focuses on continuous quality
improvement of products and services by using continuous feedback.

Joseph Juran - was one of the founders of total quality management.
Japan (1954) – TQM originated
Total Quality Management:

Focus on customer/ Employee involvement
Communication/ Continuous improvement
Process Centered/ Integrated system
Strategic and Systematic Approach/ Decision making based on facts
Practical approach TQM:

Train senior management on total quality management principles and ask for their commitment with respect to its roll-out.
Assess the current culture, customer satisfaction and the quality system.;
Senior management determines the desired core values and principles and communicates this within the organization.
Develop a basic total quality management plan using the basic starting principles mentioned above.
Identify and prioritize customer needs and the market and determine the organization’s products and services to meet those needs.
Determine the critical processes that can make a substantial contribution to the products and services.
Create teams that can work on process improvement for example quality circles.
Managers support these teams using planning, resources, and by providing time training.
Management integrates the desired changes for improvement in daily processes. After the implementation of improved processes,
standardization takes place.;
Evaluate progress continuously and adjust the planning or other issues if necessary.
Stimulate employee involvement. Awareness and feedback lead to an overall improvement of the entire process. Support this for example by
means of a reward model, i.e. Management by Objectives, and recognition.
ISO 9001:2015 - ISO 9001:2015 certification is an integral part of an organization’s efforts towards the broader aim of sustainable development.
ISO 9001:2015:
Customer focus
Leadership
Engagement of people
Process approach
Improvement
Evidence-based decision-making
Relationship management
Difference between ISO 2015 and 2008:

Identify both external and internal issues
Greater emphasis on leadership than management
Focus on organizational planning
Evaluation of resources
Open-communication with customers
Identifies the ‘what’ ‘how’ and ‘when’ of the monitoring and measurement
Improvement
Implementing an ISO:
Operate more efficiently
Meet statutory and regulatory requirements
Reach new markets
Identify and address risks
INTRODUCTION TO QUALITY MANAGEMENT SYSTEMS IN THE IT-BPM INDUSTRY (102_003)
ISO= International Organization for Standardization

Worldwide federation of national standards bodies
Requires approval by at least 75% of the members voting
8 principles:
Customer focus
Leadership
Involvment of people
Process approach
System approach to management
Continual improvement
Factual approach to decision making
Mutually beneficial supplier relationships
Internal audit – done by quality team independent of the operations organization:
A company may decide to seek certification for various reasons:

Contract with buyers
Premium
Context of a risk management
Defined/unambiguous set of requirements
“never ending” goal of qm
COPC – Customer Operations Performance Center Inc.

Designs business processes for customer support centers and business process org.
Provides training, consulting, certifications
Customer Service Providers Standards (1996)
Vendors Management Organization Standard (2002)
Outsource Service Provider Standard (2011)
Healthcare Service Provider Standard (2011)
Original CSP Standard developed in 1996, based on Malcolm Baldridge National Quality Award criteria and framework
COPC Certification
Full certification: comprehensive system
Managing leadership and planning
Procesess
People
Performance
Key Areas:
Balancing service, quality and cost
Setting high-performance benchmark targets
Using objective data to monitor results
Setting and striving for realistic goals
Consistently meeting performance requirements and client expectations
Four Critical work processes that can be verified by COPC

Quality
Customer Satisfaction
Workforce management
Recruiting, hiring and training
CMMI – Capability Maturity Model Integration

Process changes to turn weakenesses into strengths.
Applies to teams, work groups, projects, divisions and entire org.
CMMI Models
CMMI-ACQ (Acquisition)
CMMI-SVC (Service)
CMMI-DEV (Development)
CMMI Maturity Levels

1: Initial
2: Managed
3: Defined
4: Quantitatively Managed
5: Optimizing
SEI – Software Engineering Institute

SCAMPI – Standard CMMI Appraisal Method for Process Improvement
PARS – Published Appraisal Results
Benefits of SCAMPI
Identifies strengths and weaknesses of processes
Assesses how closely the processes follow CMMI practices
Mitigates risks for product/acquisition, development and monitoring
Public presentation of results of appraisal
Assures customers of continued soundness of one’s processes
Facilitates assessment of prospective supplier and partners
Facilitates assessment of competitors for more effective competition
eSCM-SP – eSourcing Capability Model for Service Providers
eSourcing Capability Model – Helps sourcing organizations manage and reduce their risk
84 Practice dimensions:
Sourcing Life-cycle
Capability area
Capability level
eSCM-SP Capability Levels

1: base, provides a service
2 has procedurs to enable consistent meeting of client requirements
3 manages performance consistently across engagements
4 adds value to its service through innovation
5 sustains excellence over a period of at least two years
PQA – Philippine Quality Award

Created by Executive Order 448 on October 3, 1997 Fidel
Sets a standard of excellence to help Filipino organizations achieve world-class performance
MBNQA – Malcolm Baldrige National Quality Award
PQA Objectives
Establish Standards
Formulate assessment process
Recognize champions
PQA Levels of Recognition

Philippine Quality Award for Performance Excellence
Recognition for Mastery in Quality Management
Recognition for Proficiency in Quality Managenet
Recognition for Commitment to Quality Management
PQA Criteria
Leadership
Strategic Planning
Customer and Market Focus
Information and Analysis
Human Resource Focus
Process Management
Business/Organization Results
(102_001)
Processes – A collection of activities that takes one or more kinds of input and creates an output
Input ( time, energy and money) output (date, material)
Business Processes - is a series of steps specifically designed to produce a product or service

Organizational objective – achievement
TQM - Total Quality Management

QMS – Quality Management Systems
Is an organization’s collective documentation of processes, policeis, plans, and practices
Process Improvement – is a series of actions taken to identify, analyze and improve existing processes within an organization
Use specific methodologies, standard and tools
Common Process Improvement Methodology

Total Quality Management
Lean Six Sigma
Quality Management System Standards and Certifications
Total Quality Management – involves all stakeholders as well as the customers in continuously improving product quality.
(ISO, COPC, CMMI, eSCM-SP)
Lean Six Sigma: Eliminate the seven kinds of wastes

Defects
Overproduction
Transportation
Waiting
Inventory
Motion
Over-Processing
Methodology – Provides a framework which includes the steps to be completed, resources required, team composition, tollgates and other
project management requirements.
(102_004)
RCA – Root Cause Analysis
Application of RCA
Resolving customer complaints
Correcting result findings from internal audit
Recurring problems
RCA involves 4 critical steps:

1. Define the problem and identify team ( when, what, how much, who, where)/ (project lead, core team members, additional resources)
2. Determine main causes
3. Select best solutions
4. Create action plans
2nd step: Brainstorming , Fishbone Diagram , 5 why’s
Brainstorming – Process in which a group quickly generates as many ideas as it can on a particular problem
Utilize collective brainpower to generates many ideas in a short period of time
Fishbone Diagram - Created by Kaoru Ishikawa

Helps arrive at common understanding of problem
Helps systematically analyze cause and effect
Fishbone Categories
Measurement
People
Machine
Method
Material
Environment
5 Why’s – Start with the problem, analyze what the caused the problem , ask WHY until the root cause is found
Repeat 5 times

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Total Quality Management

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Total Quality Management - is an extensive and structured organization management approach that focuses on continuous quality

improvement of products and services by using continuous feedback.

Total Quality Management:

Practical approach TQM:

Difference between ISO 2015 and 2008:

INTRODUCTION TO QUALITY MANAGEMENT SYSTEMS IN THE IT-BPM INDUSTRY (102_003)

ISO= International Organization for Standardization

A company may decide to seek certification for various reasons:

COPC – Customer Operations Performance Center Inc.

Four Critical work processes that can be verified by COPC

CMMI – Capability Maturity Model Integration

CMMI Maturity Levels

SEI – Software Engineering Institute

eSCM-SP Capability Levels

PQA – Philippine Quality Award

MBNQA – Malcolm Baldrige National Quality Award

PQA Levels of Recognition

Business Processes - is a series of steps specifically designed to produce a product or service

TQM - Total Quality Management

Common Process Improvement Methodology

Lean Six Sigma: Eliminate the seven kinds of wastes

RCA involves 4 critical steps:

2nd step: Brainstorming , Fishbone Diagram , 5 why’s

Fishbone Diagram - Created by Kaoru Ishikawa

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