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15.1 Defining Quality and TQM

To some people, a high-quality product is one that is stronger, will last longer, is built heavier, and is, in general, more durable than other products. In some cases, this is a good definition of a quality product—but not always. A good circuit breaker, for example, is not one that lasts longer during periods of high current or voltage. So the quality of a product or service is the degree to which the product or service meets specifications. Increasingly, definitions of quality include an added emphasis on meeting the customer’s needs. As you can see in Table 15.1, the first and second definitions are similar to ours.

Table 15.1 Several Definitions of Quality

“Quality is the degree to which a specific product conforms to a design or specification.”

“Quality is the totality of features and characteristics of a product or service that bears on its ability to satisfy stated or implied needs.”

“Quality is fitness for use.”

“Quality is defined by the customer; customers want products and services that, throughout their lives, meet customers’ needs and expectations at a cost that represents value.”

“Even though quality cannot be defined, you know what it is.”

Total quality management (TQM) refers to a quality emphasis that encompasses the entire organization, from supplier to customer. TQM emphasizes a commitment by management to have a companywide drive toward excellence in all aspects of the products and services that are important to the customer. Meeting the customer’s expectations requires an emphasis on TQM if the firm is to compete as a leader in world markets.

This emphasis on quality means that the company will seek continuous improvement in every aspect of the delivery of products and services.

History How Quality Control Has Evolved

In the early nineteenth century, an individual skilled artisan started and finished a whole product. With the Industrial Revolution and the factory system, semiskilled workers, each making a small portion of the final product, became common. With this, responsibility for the quality of the final product tended to shift to supervisors, and pride of workmanship declined.

As organizations became larger in the twentieth century, inspection became more technical and organized. Inspectors were often grouped together; their job was to make sure that bad lots were not shipped to customers. Starting in the 1920s, major statistical QC tools were developed. W. Shewhart introduced control charts in 1924, and in 1930, H. F. Dodge and H. G. Romig designed acceptance sampling tables. Also at that time, the important role of QC in all areas of the company’s performance became recognized.

During and after World War II, the importance of quality grew, often with the encouragement of the U.S. government. Companies recognized that more than just inspection was needed to make a quality product. Quality needed to be built into the production process.

After World War II, an American, W. Edwards Deming, went to Japan to teach statistical QC concepts to the devastated Japanese manufacturing sector. A second pioneer, J. M. Juran, followed Deming to Japan, stressing top management support and involvement in the quality battle. In 1961, A. V. Feigenbaum wrote his classic book Total Quality Control, which delivered a fundamental message: Make it right the first time! In 1979, Philip Crosby published Quality Is Free, stressing the need for management and employee commitment to the battle against poor quality. In 1988, the U.S. government presented its first awards for quality improvement. These are known as the Malcolm Baldrige National Quality Awards.

A method of quality management called Six Sigma was developed in the electronics industry. The goal of Six Sigma is continuous improvement in performance to reduce and eliminate defects. Technically, to achieve Six Sigma quality, there would have to be fewer than 3.4 defects per million opportunities. This approach to quality has been credited with achieving significant cost savings for a number of companies. General Electric estimated savings of $12 billion over a 5-year period, and other firms have reported savings in the hundreds of millions of dollars.

Today, companies strive to be ISO 9000 certified, as this is an international quality standard that is recognized worldwide. ISO 9000 was developed by the International Organization for Standardization (ISO), the world’s largest developer and publisher of international standards.

Source: Trevor S. Hale.

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Table of Contents for 15.1 Defining Quality and TQM

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Table of Contents for
15.1 Defining Quality and TQM