Key Principles of TQM as a Management Philosophy
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Quality is the primary goal of the organization
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Quality must be defined by the customer
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Customer satisfaction drives the organization
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Variation is the natural enemy of quality
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Change is continuous and is accomplished through teamwork
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Top management must be committed to improving quality
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Contractors must be included in any TQM effort
Comparison of Traditional Management with TQM
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Traditional American Management Principles
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Total Quality Management (TQM) Principles
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| The organization has multiple competing goals.
Financial concerns drive the organization.
Management and professionals determine what quality is.
The focus is on the status quo--"if it ain't broke don't fix it."
Change is abrupt and is accomplished by champions battling the
bureaucracy.
Employees and departments compete with one another
Decisions are based on "gut feelings." It is better to do something
than to do nothing.
Employee training is considered a luxury and a cost.
Organizational communication is primarily top-down.
Contractors are encouraged to compete with each other on the basis
of price.
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Quality is the primary organizational goal.
Customer satisfaction drives the organization.
Customers determine what quality is.
The focus is on continuous improvement--"Yes it working but how can
we make it work better."
Change is continuos and is accomplished by teamwork.
Employees and departments cooperate with one another.
Decisions are based on data and analysis. It is better to do nothing
than to do the wrong thin.
Employee training is considered essential and an investment.
Organizational communication is top-down, bottom-up, and sideways.
Long-term relationships are developed with contractors who deliver
quality products and services |
Gaps in Service Quality
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Customer Information Gap. The gap between the customer's
expectations and management's perceptions of those expectations.
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Standards Gap. The gap between management's perceptions
of customer expectations and the organization's service quality specifications.
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Service Performance Gap. The gap between quality specifications
and actual service delivery.
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Communications Gap. The gap between
actual service delivery and external communications about service.
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Service Quality Gap. The gap between customers' normative
expectations for the service and their perceptions of the service performance.
Characteristics of Services
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Services produce intangible outputs
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Services produce non-standard outputs
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Services are produced and consumer at the same time
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Services involve a personal relationship
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Customers are part of the service delivery process
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Standards of quality will vary with individual consumers
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The consumer often doesn't pay for the service (unique to
many human services
Components of quality
Accessibility: Can the customer obtain the services
they need when they need them?
Appropriateness: Is the service provided the one
needed by the customer?
Timeliness: Is the service provided when it is
needed?
Effectiveness: Is the service provided without
error?
Efficacy: Does the service have the potential to
meet the customer's need?
Efficiency: Does the service produce the desired
effect with the minimum amount of effort, expense, waste?
Continuity of service: Are the services coordinated
among providers and across organizations and time?
Safety of the environment: Is the service delivery
environment free from danger or hazard?
Customer perspectives: Are customers involved in
making decisions that directly effect them?
TQM Data Collection Techniques
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Customer satisfaction surveys
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Citizen or community surveys
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Tracking specific customer complaints
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Test marketing and demonstration projects
Analytic Tools of TQM
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Cause and Effect Diagrams (Fishbone)
Cause and Effect Diagram Shwing Causes of High
No-Show Rate
Standardized Flowchart Symbols
Flowchart Showing Process of Psychological Testing
Pareto Chart Showing Reasons for Non-Mutual Termination
Histogram Showing Number of Clients on Wait List
Run Chart Showing Average Length of Time to Complete
Psychological Testing During Previous 12 Months
Control Chart for Minutes in Waiting Room
Scatter Diagram Showing Relationship
Between Workload and Error Rate
Guidelines for Conducting Brainstorming Sessions
1. The goal is to generate as many ideas as possible.
2. All members are encouraged to participate.
3. One idea at a time is presented.
4. All ideas are recorded.
5. No criticism or evaluation of ideas is permitted.
TQM vs. Re-engineering
TQM
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Work within existing frameword (first-order change).
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Continuous incremental improvement.
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Cross functional work groups comprised of specialists.
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All levels of the organization are involved in change (improvement).
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Analysis can be low-tech and simple.
Re-engineering
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Fundamentally alters existing forameworks (second order change).
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Dramatic improvements in quality through radically re-designing
critical processes.
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Work performed by generalists (case workers).
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Change is performed by consultants and specialists.
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High-tech information management is central to re-engineering.
Similarities Between TQM and Re-engineering
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Attention to consumer (of process)
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Importance of work group and teamwork
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Greater decision-making where the work is done
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Minimize supervision for quality control
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