Total Quality Management AN INTRODUCTION TO THE WORKS

Total Quality Management AN INTRODUCTION TO THE WORKS OF W. EDWARDS DEMING

I JUST WANT MY PHONE CALL I Just Want My Phone Call

D E M I N G

Dr. W. Edwards Deming (1900 -1993) • B. S. Electrical Engineering • M. S. /Ph. D. Mathematics / Physics • Asked by Gen Mac. Arthur to help JUSE • Statistical Process Control • Father of Total Quality Management • Japanese consider him to be the MOST INFLUENTIAL NON-JAPANESE person In the history of Japan. The Deming System of PROFOUND KNOWLEDGE

Replace MANAGER or SUPERVISOR With LEADER

The 14 Points of Dr. Deming 1. Create Constancy of Purpose for improving Products and Services: Become Competitive Stay in Business Create jobs

Quality is EVERYONE’S Responsibility - W. Edwards Deming

The 14 Points of Dr. Deming 2. Adopt the New Philosophy The World is Interconnected We Compete with EVERYONE LEADERSHIP must accept the Challenge

We Must Continuously Improve In order to Stay in Business

The 14 Points of Dr. Deming 3. Cease Dependency on INSPECTION to achieve QUALITY ELIMINATE the need for INSPECTION on a mass basis Build QUALITY into the product in the first place

I haven’t found anything wrong…yet…. But it’s OK for you to go ahead and WORRY a bit longer…

By the time You INSPECT it… It’s TOO LATE!!! The Bear Has Already Eaten it!!!

Inspection is: • Too Late • Ineffective • Too Costly

Build QUALITY Into the Product BEFORE IT IS INSPECTED

“Why not make the work EASIER and MORE INTERESTING so that … PEOPLE DO NOT HAVE TO SWEAT? The Toyota style is NOT to create results by WORKING HARD. It is a SYSTEM that says there is NO LIMIT to people’s CREATIVITY. People don’t go to Toyota to ‘work’ they go there to ‘THINK’” – Taiichi Ohno

"IMPROVEMENT usually means doing something that WE HAVE NEVER DONE BEFORE. " - Shigeo Shingo

Without Data… You’re just another person with AN OPINION

Would any company buy a payroll system if it: • Did not have any customer support? • Referred you to a blog site if you had questions? • Required a full-time I. T. person (but no one was told that)? • Really was an H. R. system that really wasn’t a good payroll system? • Required lots of man-hours to keep it running? • Did not update properly?

How much is that in-house system REALLY Costing Us?

The 14 Points of Dr. Deming 4. End the Practice of awarding business on the basis of price tag alone Instead, minimize TOTAL cost Move toward a SINGLE SUPPLIER Develop long-term RELATIONSHIP of TRUST & LOYALTY

If you can’t DESCRIBE WHAT YOU ARE DOING As a PROCESS… Then you DON’T KNOW WHAT YOU ARE DOING

I Understand The Problem. I Have A PLAN. NOW… YOU just DO what I TELL YOU!

LEADERSHIP Is the SINGLE-MOST IMPORTANT ELEMENT Of ANY ORGANIZATION

The 14 Points of Dr. Deming 5. BE FOREVER IMPROVING THE SYSTEM Improve QUALITY Improve PRODUCTIVITY Constantly DECREASE COSTS

The 14 Points of Dr. Deming 6. Institute TRAINING on the Job How many mistakes can be attributed to lack of training? “Training Costs Too Much” “We Can’t Stop to Train You!”

Keep Everyone On Their Toes!

I work so much better if I know that you are going to YELL at me!

The 14 Points of Dr. Deming 7. Institute LEADERSHIP Leaders exist to help the people under them DO A BETTER JOB Re-cast Supervisors/Managers Servant Leadership

TAYLOR vs DEMING

TAYLOR DEMING Top-Down Management vs Servant Leadership Leader sets expectations Worker Bees are Highly Trained Leader sets goals Worker Bees are in charge of Quality Middle management takes directives and sends it to the Worker Bees make changes Middle Management helps Worker Bees implement their ideas Leaders serve Middle Management and Worker Bees have no SAY-SO Worker Bees are not allowed to improve the system

Do You Believe This?

The 14 Points of Dr. Deming 8. DRIVE OUT FEAR No one can work effectively in an environment of fear Love, Loyalty, Cooperation Mistakes are the fault of the SYSTEM

Do YOU Ever Feel Like THIS?

NO ONE Can Work To Their POTENTIAL In An Atmosphere Of FEAR

The 14 Points of Dr. Deming 9. Break down Barriers between Departments H. R. , Accounting, Sales, Top Brass need to love Payroll We need to work together

Your SYSTEM Is PERFECTLY DESIGNED To give you THE RESULTS you are NOW GETTING.

The Answer to EVERY Problem is NOT: • More Money • Better Technology • Trying Harder • Working Longer

The Answer To EVERY PROBLEM Is LEADERSHI P

The 14 Points of Dr. Deming 10. Eliminate Slogans, Exhortations, and Targets for the Workforce Stop asking for ZERO DEFECTS EXHORTATIONS create STRIFE MISTAKES are the fault of the SYSTEM The SYSTEM is Beyond the Control of the Worker Bee; LEADERSHIP is the answer!

The 14 Points of Dr. Deming 11. ELIMINATE: Quotas Management by Numbers Management by Numerical Goals Subsitute LEADERSHIP

Quality is… Pride of Workmanship

People want to work for MORE than a PAYCHECK

The 14 Points of Dr. Deming 12. Pride of Workmanship People want to work for more than a paycheck Leaders change goal to QUALITY versus sheer numbers Eliminate merit pay or numerical rewards Subsitute LEADERSHIP

Always be improving ALWAYS…ALWAYS…ALWAYS…AL WAYS…

The 14 Points of Dr. Deming 13. Institute a vigorous program of EDUCATION and SELF-IMPROVEMENT Does not have to be about the job People have minds that must always be moving, always learning Cross-Training is essential If everyone is working at 100%, then you are falling behind

Continuous Process Improvement Includes YOU

GET A WORKOUT BUDDY

L E A R N T O B A L L R O O M D A N C E

The 14 Points of Dr. Deming 14. TRANSFORMATION: Everybody’s job; Every Day REWARD people who HELP OTHER PEOPLE institute their ideas for improvement Begins at the TOP

“ If You Are a PEO WHO IS TRAINING WHOM? Who is the Expert? ”

Set Healthy Boundaries

“ Teach your Team to HAVE SOME SELF- ” RESPECT Set Healthy Expectations

Why Are We Inputting Time Sheets By Hand? Coach Your Team

Why Are Our PEO Clients Using Their Own System? Coach Your Customers

What Is The GOAL?

Everyone working at 100% Capacity all the time… GOOD OR BAD?

If EVERYONE Is ALWAYS Working at 100% Capacity Then I can 100% GUARANTEE That… You are ALWAYS going to be BEHIND…

Bought Some Non. Productive Wineries In the Russian River Valley

Foley’s business philosophy is a practical form of Deming, learned the hard-nosed way, always: • REFINING THE PROCESS • Digging out the ROOT CAUSE of flaws.

Craig Barber President American Blue Ribbon Holdings

Bill Foley’s Key To Continuous Improvement Is To Constantly Ask Questions

It’s hard to make ANYTHING FOOL-PROOF Because FOOLS Are so INGENIOUS

The Enemy Of Quality Is… Uncontrolled Variation

In dealing With people Recognize, Appreciate, And Value: Individuality, Preferences, Talents, Learning Styles

But In Dealing With PAYROLL The GOAL Of QUALITY is to ELIMINATE VARIATION