project quality lecture three
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CPUT - BTech Project Management 2
Organizational PhilosophyOrganizational PhilosophyEffective leaders are those that knowinstinctively what to do to make their
customers happy.They create a warm and productiveenvironment for their employees.
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Organizational PhilosophyOrganizational PhilosophyQuality Management gurusArmand V Feigenbaum
W.Edwards DemmingJoseph Juran
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Quality Management gurusQuality Management gurusD r. Armand V. Feigenbaum The originator of Total Quality Control His work centralized around the notion for a
systematic or total approach to quality He argued that total approach to quality
requires the involvement of all functions of thequality process, not only manufacturing
His idea was to build quality into the earlystage rather than inspecting and controllingafter the processes have been completed.
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Quality Management gurusQuality Management gurusD r. Armand V. Feigenbaum His message was to move away from the
concerns of the technical aspect of quality
control and make a focus of quality control asa business method, including administrativeand human relation functions.
Another one of his emphases is that quality
does not mean "best" but "best for thecustomer." He argued that all levels of quality need to be
emphasized.
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Quality Management gurusQuality Management gurusD r. Armand V. Feigenbaum For quality control to achieve its specified
results there is the need for complete supportfrom management as well as the qualitycontrol program must develop gradually fromwithin the organization.
He is known for his thoughts on how qualityprograms are one of the most powerful changeagents for companies today.
As a result of his work, company managementhas assumed the responsibility to makeleadership contributions that will increase theircompanys growth.
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Quality Management gurusQuality Management gurusW . Edwards D eming Known as the father of the Japanese post-war
industrial revival. He believed that the adoption and action of
the fourteen points was a sign thatmanagement intended to stay in business. Demings 14 point plan is a complete
philosophy of management, that can beapplied to organizations in the public, private
or service sectors He was also known for encouraging asystematic approach to problem solving, thePlan, Do, Check, Act (PDCA) cycle which isalso known as the Deming cycle.
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Quality Management gurusQuality Management gurusW . Edwards D eming His Quality Management principles
started the worldwide movementtowards quality in products andservices.
His main argument is that statistical
analysis and control of all the processesand systems are just as important asany of the management duties, such asfinancing, marketing and training.
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Quality Management gurusQuality Management gurusW . Edwards D eming After World War II (1947), Deming was
involved in early planning for the 1951Japanese Census.
He was asked by the Department of the Armyto assist in this census.
During June-August 1950, Deming trainedhundreds of engineers, managers, andscholars in statistical process control (SPC)and concepts of quality.
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Quality Management gurusQuality Management gurusW . Edwards D eming Deming's message to Japan's chief executives:
improving quality will reduce expenses while increasingproductivity and market share.
A number of Japanese manufacturers applied histechniques widely, and experienced unheard of levels of quality and productivity.
The improved quality combined with the lowered costcreated new international demand for Japaneseproducts.
Ford Motor Company was one of the first Americancorporations to seek help from Deming.
In 1981, Ford recruited Deming to help jump-start itsquality movement. Ford's sales were falling. Between1979 and 1982, Ford had incurred $3 billion in losses.
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Quality Management gurusQuality Management gurusW . Edwards D eming He questioned their company's culture and the way its
managers operated. To Ford's surprise, he talked notabout quality but about management.
He told Ford that management actions were responsiblefor 85% of all problems in developing better cars.
After 1982, Ford came out with a profitable line of cars,the Taurus-Sable line.
By 1986, Ford had become the most profitable Americanauto company. Its earnings, for the first time since the1920s had exceeded those of arch rivals General Motors
(GM). Ford had come to lead the American automobile industryin improvements.
Ford's following years' earnings confirmed that its successwas not a fluke for its earnings had continued to exceedGM and Chrysler's.
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Quality Management gurusQuality Management gurusW . Edwards D eming Deming offers a theory of management based
on his famous 14 Points for Management. Management's failure to plan for the future
brings about loss of market, which bringsabout loss of jobs. Management must be judged not only by the
quarterly dividend, but by:innovative plans to stay in business,Protection of investment,Insurance of future dividends, andProvision of more jobs through improvedproduct and service.
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Quality Management gurusQuality Management gurusW . Edwards D eming Long-term commitment to new learning and
new philosophy is required of anymanagement that seeks transformation.
He taught that by adopting appropriateprinciples of management, organizations canincrease quality and simultaneously reducecosts (by reducing waste, rework, staff attrition and litigation while increasing
customer loyalty). The key is to practice continual improvementand think of manufacturing as a system, not asbits and pieces.
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Quality Management gurusQuality Management gurusD emings 14 point plan
1. Create constancy of purpose for continual improvementof product and service
2. Adopt the new philosophy for economic stability3. Stop dependence on inspection to achieve quality4. End the practice of awarding business on the basis of
price alone and minimise total cost by working with asingle supplier
5. Improve constantly and forever every process for
planning, production and service6. Institute training on the job7. Adopt and institute modern methods of supervision and
leadership
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Quality Management gurusQuality Management gurusD emings 14 point plan
8. Eliminate fear9. Break down barriers between departments and
individuals
10. Eliminate slogans, exhortations and targets for theworkforce11. Eliminate numerical quotas for the workforce and
numerical goals for management12. Remove barriers that prevent people from
workmanship and eliminate the annual rating and meritsystem
13. Institute a vigorous programme of education and self-improvement for everyone
14. Put everybody in the organisation to work toaccomplish the transformation
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Demings 14 pointsDemings 14 pointsfor Quality managementfor Quality management
1. Create constancy of purpose for continualimprovement of product and service
Investment in preventative maintenancecan avoid major operational problems. Continuous improvement and innovation
should be a constant in managementstrategies and plans.
The aim is to become competitive, stay inbusiness, and provide jobs.
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Demings 14 pointsDemings 14 pointsfor Quality managementfor Quality management
2. Adopt the new philosophy for economic stability Traditional management methods are no longer
effective for the current management
environment. Innovation is needed in order to lead. Quantity is no longer more important than quality There must be a constant movement towards a
philosophy of continuing quality improvement in allsystems and processes
Adopt a new philosophy of cooperation (win-win)in which everybody wins and put it into practice byteaching it to employees, customers and suppliers
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Demings 14 pointsDemings 14 pointsfor Quality managementfor Quality management
3. Stop dependence on inspection toachieve quality
Quality must be built into the product at theplanning or designing stage and bemaintained or improved further duringproject implementation through qualitycontrol of the processes
Cease dependence on mass inspection toachieve quality.
Instead, improve the process and buildquality into the product in the first place.
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Demings 14 pointsDemings 14 pointsfor Quality managementfor Quality management
4. End the practice of awarding businesson the basis of price alone and
minimise total cost by working with asingle supplier Organisations should avoid lowest tender
contracts, but should always require a
meaningful measure of quality. Move toward a single supplier for anyone item, based on a long-termrelationship of loyalty and trust.
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Demings 14 pointsDemings 14 pointsfor Quality managementfor Quality management
5. Improve constantly and forever every process forplanning, production and service
In order to improve quality and productivity constantly
and to reduce costs, the organisation (the project team)must search for problems proactively and continually. They should never be satisfied with only meeting the
current standards or specifications. They should try and institute a programme of total quality
control for products, processes and services that shouldtake place continually.
This will improve quality and productivity and thusconstantly decrease costs.
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Demings 14 pointsDemings 14 pointsfor Quality managementfor Quality management
6. Institute training on the job Appropriate and sufficient training should be
conducted to assist an organisation to make
better use of its employees. Training and education are the building
blocks for greater consistency of effort. An investment in proper training of all new
employees will ensure that they can startcontributing at optimum levels, knowingexactly what is expected from them.
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Demings 14 pointsDemings 14 pointsfor Quality managementfor Quality management
7. Adopt and institute modern methods of supervisionand leadership
recognize their different abilities, capabilities, and
aspiration. The aim of leadership should be to help people,
machines, and gadgets do a better job. Managers need to be more than just directive, but
should keep abreast of the latest developments
They should be actively involved in improving thesystem that they and their employees work in. Modern leaders need to ensure quality and productivity
by promoting team-work and mutual trust. Provide innovative methods to achieve improvement
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Demings 14 pointsDemings 14 pointsfor Quality managementfor Quality management
8. Eliminate fear Drive out fear so that everyone may work
effectively for the good of the organization. Management through fear is destructive. It impedes production and interferes with
quality work. People cannot perform at their best unless
they are secure and are not afraid to expresstheir opinions.
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Demings 14 pointsDemings 14 pointsfor Quality managementfor Quality management
9. Break down barriers between departments andindividuals
Employees need to work as a team toproactively solve problems before they arise.Destructive competition within the sameorganisation should be replaced with co-operation.A barrier-free atmosphere of mutual trustshould be created in order to achieve theorganisations common objective.
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Demings 14 pointsDemings 14 pointsfor Quality managementfor Quality management
10. Eliminate slogans, exhortations and targets forthe workforce
Avoid unreasonable requests to the work force asking
for zero defects and new levels of productivity. Such exhortations only create antagonisticrelationships because the bulk of the causes of lowquality and production are a fault of the system andare often beyond the power of the work force.
Because most causes of poor quality are systematic,the power to improve quality lies with management,not the workers.
Workers can do little to change the system, butmanagement can.
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Demings 14 pointsDemings 14 pointsfor Quality managementfor Quality management
11. Eliminate numerical quotas for the workforceand numerical goals for management
Eliminate quotas on the factory floor,
eliminate management by objective, andeliminate management by numbers andnumerical goals.
Instead substitute leadership.
The way to improve production is to improvethe system and find out who is havingproblems and work with them to resolve theissues.
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Demings 14 pointsDemings 14 pointsfor Quality managementfor Quality management
12. Remove barriers that prevent people fromworkmanship and eliminate the annual ratingand merit system
Remove barriers that rob hourly workers of their rightto pride in workmanship.
The role of supervisors must be changed frommonitoring numbers to creating quality.
Managers do not understand the issue of pride inworkmanship because they do not focus on the humanprocess behind a product or service.
The appraisal procedure should be replaced by properleadership and communication, and by a counselingand development procedure
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Demings 14 pointsDemings 14 pointsfor Quality managementfor Quality management
13. Institute a vigorous programme of education andself-improvement for everyone
Although this is similar to point six, the objective of this point is that education and improving theknowledge of the workers enables them to understandthe impact of future challenges and to come up withtheir own solutions.Training and development should be continuous tokeep up with new developments and innovativetechniques.
Things change continuously and managers should beaware of this and be trained to take advantage of it.Retraining is a necessary investment, which also helpsto motivate employees towards self-improvement.
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Demings 14 pointsDemings 14 pointsfor Quality managementfor Quality management
14. Put everybody in the organisation to work toaccomplish the transformation
Put everybody in the organization to work toaccomplish quality.
Quality is the job of everybody. Every job in an organisation is part of the
production process, and to achieve thenecessary transformation everyone must becommitted to analysing every step, becauseonly by understanding the role of each jobplays in the companys strategy can theproduction process be improved.
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Quality Management gurusQuality Management gurusD r. Joseph Juran He has also been called the "father" of
quality.
He is recognized as the fore-most person whoadded the human dimension to quality.
He broadened quality from its originalstatistical origin.
His celebrated contributions to the world havebeen in the field of quality management.
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Quality Management gurusQuality Management gurusD r. Joseph Juran His reputation became increasingly
reputable in 1951 when Juranpublished the Quality ControlHandbook, which is still the standardreference work for quality managers.
As a demonstrated authority on quality,Juran was in demand as a consultantand lecturer.
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Quality Management gurusQuality Management gurusD r. Joseph Juran His theories and principles included the three
basic steps to progress, the ten steps to qualityimprovement, the Pareto principle, and the
Juran Trilogy. Jurans trilogy defined the three managementprocesses required by every organization toimprove: Quality control, quality improvementand quality planning.
The Juran Institute was implemented to provideresearch and solutions to allow companies fromdiverse industries to attain the proper tools andtechniques for managing quality.
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Organizational PhilosophyOrganizational PhilosophyMost improvement strategies,methodologies and standards have theirfoundation in the teachings of one or moreof these gurus.They shifted the view of quality assomething that had to be included in theprocess at the end, to the view thatquality is an integral part of the process,on an equal standing with otherdimensions.
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Organizational PhilosophyOrganizational PhilosophyG uruG uru D efintion of QualityD efintion of Quality
Feigenbaum Quality must be defined in termsof customer satisfaction. Due tothe changing needs of customers,
quality is multidimensional anddynamic.
Deming Quality is multidimensional andmust be defined in terms of customer satisfaction. Qualityexists to differing degreesdepending on the customer.
Juran Fitness for purpose
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Organizational PhilosophyOrganizational PhilosophyDetermine who their customers areDetermine the critical key success factors formeeting their customers needs, requirementsand expectationsEstablish effective processes that enable them toprovide products and services that meet theircustomers needs, requirements and expectationsFocus on process measurement and improvement
Provide management with the involvement andcommitment required for organisational success
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