Leaders in the Quality Revolution l W Edwards

Leaders in the Quality Revolution l W. Edwards Deming l Joseph M. Juran l Philip B. Crosby l Armand V. Feigenbaum l Kaoru Ishikawa l Genichi Taguchi 1

Who’s Who? b a Deming ____ Juran ____ c Crosby ____ 2

Deming Chain Reaction Improve quality Costs decrease Productivity improves Increase market share with better quality and lower prices Stay in business Provide jobs and more jobs 3

Deming’s System of Profound Knowledge l Appreciation for a system l Understanding variation l Theory of knowledge l Psychology 4

Systems l Most organizational processes are crossfunctional l Parts of a system must work together l Every system must have a purpose l Management must optimize the system as a whole 5

Variation (1 of 2) l Many sources of uncontrollable variation exist in any process (common variation) l Causes for special (assignable) variation can be recognized and controlled l Statistical methods can be used to identify and quantify variation to help understand it and lead to improvements 6

Variation (2 of 2) l Failure to understand these differences can increase variation in a system l Excessive variation results in product failures, unhappy customers, and unnecessary costs l Improvement includes elimination of assignable variation and reduction of common variation 7

Common vs. Assignable Variation Cause of Variation Common Variation Assignable Variation Required Action Change the process Fix the process Improvement Opportunities 80 -90% 10 -20% Responsibility Managers, specialists, workers Workers 8

Theory of Knowledge l Knowledge is not possible without theory l Experience alone does not establish a theory, it only describes l Theory shows cause-and-effect relationships that can be used for prediction 9

Psychology l People are motivated intrinsically and extrinsically l Fear is demotivating l Managers should develop pride and joy in work l Managers should have sincere trust and belief in people 10

Deming’s 14 Points (Abridged) (1 of 2) 1. Create and publish a company mission statement and commit to it. 2. Learn the new philosophy. 3. Understand the purpose of inspection. 4. End business practices driven by price alone. 5. Constantly improve production/service systems. 6. Institute training. 7. Teach and institute leadership. 11

Deming’s 14 Points (2 of 2) 8. Drive out fear and create trust. 9. Optimize team and individual efforts. 10. Eliminate exhortations for work force. 11. Eliminate numerical quotas and M. B. O. Focus on improvement. 12. Remove barriers that rob people of pride of workmanship. 13. Encourage education and self-improvement. 14. Take action to accomplish the transformation. 12

Juran’s Quality Trilogy l Quality planning l Quality control l Quality improvement www. juran. com 13

Phillip B. Crosby Quality is free. . . : “Quality is free. It’s not a gift, but it is free. What costs money are the un-quality things -- all the actions that involve not doing jobs right the first time. ” 14

Philip B. Crosby Absolutes of Quality Management: l Quality means conformance to requirements l Problems are functional in nature l There is no optimum level of defects l Cost of quality is the only useful measurement l Zero defects is the only performance standard www. philipcrosby. com 15