Kaizen and Total Quality Management is a Japanese management method. Eight Principles of Quality Management (TQM) Company CredoBe the best that you can be

Many followers Total Quality Management (TQM), following Edward Deming's lead, suggest that TQM and performance appraisals are incompatible. Indeed, on Deming's list, "performance appraisal, merit appraisal, and annual appraisal" comes third in his "Seven Deadly Diseases." Why can't TQM and performance appraisal coexist?

Most importantly, certification contradicts the fundamental values ​​and principles of TQM. TQM requires customer focus, systems thinking, understanding the need for change, teamwork, improving methods and understanding the process of personal motivation and learning. It is precisely these TQM requirements that performance appraisal undermines. TQM requires understanding, controlling and improving processes in the interests of the customer. Performance appraisal aims to manage an individual's behavior to satisfy the manager. These two approaches represent a fundamental choice for managers: one or the other, but not both.

While the beating TQM has recently become fashionable in American business periodicals, Total Quality Management is alive and well. Companies like Harley Davidson, Motorola and Xerox those who understand TQM do not participate in its bashing. The death of TQM has not been heard of in Japan either. So we are witnessing the American appetite for whimsy. Those who never understood that quality comes first are now declaring it dead.

Total quality is a compelling and simple approach to management. When used wisely, Total Quality Management, however, will fundamentally change the way a manager typically thinks about the nature of the job and the purpose of management. This fundamental change requires leaders abandon the old set of initial premises- the old paradigm - and struggling to understand, internalize and apply the new approach - what Brian Joyner calls fourth generation management. Deming says, “Nothing less than a transformation of the Western approach to management is required.” Many managers have learned rhetoric and learned how to apply TQM tools in their companies. But relatively few of them deeply appreciated how different the approach required Total Quality Management from managers.

"I believe most of what he teaches Deming,” is usually heard from managers. "I agree with ten or twelve of his fourteen points." While joining ten or twelve is still better than nothing, these managers fail to see that all fourteen points are interdependent as a whole. If you pull out one line in this tapestry, it will unravel. What do people reject about Deming? Typically, this is point 12: “Remove barriers that deny employees their right to pride in their work. This means, in particular, the abolition of annual merit ratings and management by objectives. The responsibilities of managers must be transferred from quantitative to qualitative indicators.”

Deming's deadly illnesses include: "... performance appraisal, merit appraisal, or annual appraisal." Why is performance appraisal, which often leads to some increase in salary or other reward, on Deming's prohibited list? Why is time-honored American business practice viewed as inconsistent with total quality? And if businesses don't evaluate employee performance, what should they do, huh?

Principles at the heart of quality

There are principles at the heart of quality that provide the basis for a new philosophy and, indirectly, serve as the basis for the abandonment of certification. These are the principles drawn from the teachings of Deming and other founders of Total Quality:

Principle 1

ClientsAndtheirneedsformourorganizationAndherwork,ANotvice versa.

• We must know our business and who our customers are.
• We must know the needs and interests of our clients. We need to understand what they experience when they use our products and services.
• Our deep understanding of our customers guides the development of our products and services. Consistent modernization and improvement are also responses to customer requirements.
• Our decisions, plans and improvements we have to introduce are determined by the benefits that will be available to our customers.

Principle 2

QualityproductsAndservicesdeterminedqualitysystems,processesAndmethods.

• Customer needs must be understood in terms of the systems, processes, materials, equipment and methods needed to do what customers need, how and when they need it.
• We must build quality in the system so reliably that control of the final product is no longer required.
• Exhortations, threats, maintaining good spirits, rewards and punishments have nothing to do with the production of quality goods and services.
• More than 95 percent of our quality problems come from the system. If every employee and manager becomes the best, we will eliminate only a small part of the existing quality problems.
• Improvement efforts should be focused on the system, processes and methods, not on individual employees. These efforts are aimed at improving attentiveness, accuracy, speed, etc. individual workers, without changing the system, processes and methods are only weak strategies with little short-term results.
• Managers must understand their systems, processes and practices in terms of capabilities and variability. Data collected about how systems and processes change over time can help leaders understand how work gets done in their organization. When managers do not understand the changes inherent in their systems and processes, they leave themselves vulnerable to some serious problems:
  • They miss trends where trends exist.
  • They see trends where there are none.
  • They explain to employees - individually or collectively - the problems that are inherent in the system, and this will continue no matter how employees do their jobs.
  • They will not understand the results of past performance and will not be able to predict future results.

Principle 3

QualitylocatedVfocusall-consumingattentionorganizations.

• In the new era of competitiveness, competitive strategy is based on quality. As described above, this quality is determined by the customer's requirements and is part of the system.
• An organization's plans and decisions begin and end with quality. Every aspect of the business is understood through its contribution to quality. Organizations seek to reduce costs, increase productivity, lower prices, or increase market share. But if they do this without first providing the quality the customer requires in the products/services they produce and their systems, processes and methods, they are providing only short-term benefits rather than long-term survival and prosperity. This is, indeed, the story of the decline of many American businesses. Quality must be an integration strategy for the US economy if it is to regain its dominance in the global marketplace.

Principle 4

Organizationachievesqualitydevelopmentmethodsimprovements.

• It is not enough to know how to improve. Profits will go to those who learn to improve faster than their competitors.
• The needs for improvement are so broad and constant that every person in the organization must be aware of wellness practices and be involved in improvement efforts.
• We must understand the difference between improvements and changes. We also need to understand the difference between improvement and replacement. We must learn to start where we are and use logic and data to understand and improve ourselves.
• Improvement will ultimately only occur when the underlying causes of system problems have been identified and addressed. For example, improving the Chernobyl nuclear power plant involves more than cleanup and repair work at the accident site. It must include decisions about the policies, practices and technologies in Russian nuclear power that caused the Chernobyl accident and may lead to other natural disasters like this one. When we are satisfied with finding the guilty people, we will never look for systemic causes, and the problem will likely happen again with new culprits.

Principle 5

Organization,ensuring quality management,directsAndfocusesmyenergy.

• Leaders must formulate and communicate to the organization's employees a clear and consistent purpose, mission, values, and philosophy. To tell everyone “who we are, what we do, how we do it” and “what legacy we will leave for those who follow us.”
• The operations, tasks and methods of daily work are no longer considered as an art form. The only sure way is to set any recurring tasks as standard. This is documented and everyone is trained to do this work only this way. Attempts to find the best method are made outside of daily activities.
• We use data to identify the most important business issues and improve priorities. Of all the things worth doing, we select only a few priorities and follow through on them. We strive for complete solutions to only important problems, not quick solutions to many.

Principle 6

Existsnewparadigmleadership.ManagersshouldformulateWhatMeanslead.

• Leaders must have the customer's point of view.
• Leaders must have a systems perspective.
• Leaders must have a statistical point of view.
• Leaders must have the employee's perspective.

In order for the Kaizen philosophy to work in business, Japanese managers back it up with practical tools for optimizing jobs, quality control, submitting rationalization proposals, careful use of resources, etc.

The Japanese economic miracle is the unprecedented growth of the Japanese economy from the mid-50s until the oil crisis of 1973 - about 10% per year. Japan, previously known in the world as a producer of low-quality waste products, has turned its image around and become a competitor to leading American corporations.

The Japanese attribute the rise of their economy to the use of kaizen as a way of thinking and approach to management. It is interesting that the Americans themselves brought ideas for improving product quality to Japan.

Kaizen: Definition, Origin and History

In 1946, America sent its best engineers to lecture on quality and share their experiences with Japanese industrialists. In 1950, lectures in Japan were given by W. Edwards Deming, the founder of the modern quality movement. The Japanese implemented his ideas so effectively that 20-30 years later American delegations came to adopt the Japanese experience.

William Edwards Deming is an American scientist, developer of statistical quality control methods, and management and quality management consultant. Co-author of the Shewhart-Deming Cycle (PDCA). It is directly related to the revival of the Japanese economy.

The term "kaizen" as a direction of management became widely known in 1986, after the publication Masaaki Imai "Kaizen: the key to the success of Japanese companies." Then the whole world learned what kaizen is and that Japan owes its success to it.

Kaizen management approaches differ sharply from management methods accepted in the West. In Japan, people and the production process are of particular importance, while in the West, company management is focused on the product and results. Let's look at the basic principles of kaizen.

Consumers

The most important link in the production chain, and all the company’s efforts are aimed at ensuring that it receives a quality product at a low price. It is important to anticipate market demands and adapt production to changing needs. Customer feedback is one of the important components of kaizen.

Employees

The most valuable asset of the company, without their support kaizen is impossible. Relations with personnel at Japanese enterprises are built in such a way that the employees themselves are interested in producing high-quality and competitive products. Here, the welfare of the enterprise means the welfare of the employee.

The pursuit of excellence is supported by five systems for forming relationships between a person and an organization:

• lifetime employment system
• on-the-job training system
• rotation system
• merit system
• reward system.

Management

Kaizen prefers leadership as opposed to Western formal bosses. Japanese managers earn authority not by a sign on the office door, but by their knowledge, experience, decisions made, and personal example. They are open to their subordinates, spend a lot of time at work, and communicate freely with employees of any level.

It is impossible to deploy kaizen in a company without the support of top management: improvement goals are set at the top level and unfold from top to bottom. The implementation of the plans requires decision making and investment. The higher a manager is in the hierarchy, the more improvement actions are expected of him.

Focus on process rather than results

Kaizen is based on process thinking, because... Improving processes leads to improved results. In Japan, employee efforts are valued, even if this does not directly save the company.

In the West, employees are focused on getting results at any cost. Any rationalization proposal is considered from the perspective of making a profit in the next quarter.

Gradual development plus innovation

Western companies prefer leapfrog development through innovation, without worrying about minor improvements. The Japanese combine kaizen and innovation to achieve long-term growth.

Building quality into the process

Quality is an important element of kaizen. The Japanese realized that checking finished products for defects is a waste of time and money, because... does not lead to improved quality. Therefore, they began to build quality into all stages of production, from product development and selection of suppliers to delivery of goods to consumers.

The next process is the consumer

Any production of goods or services can be divided into a chain of processes. In kaizen, each subsequent process is usually considered as an end consumer. Therefore, the next production link will never receive defective parts or inaccurate information.

Differences between the Japanese kaizen approach and traditional management in Western companies

	Kaizen	Western management style
Focus on		Result
Development	Gradual, manifesting itself over time, sometimes plus innovation	Spasmodic, only due to innovation
Resources	Lean use of resources	Irrational use of resources - while there is profit, there is no point in optimizing costs
Relationships in the team	Mutual assistance, support, knowledge exchange	Individualism, competition between individuals and departments
Management		A boss with authority
Favorable environment for use	Slow economic growth with a lack of resources	Economic boom, resources in abundance
Perspective	Long-term	Short term

Kaizen goals

The Japanese resorted to kaizen and its methods to overcome the post-war devastation. As a result, the country not only recovered from hostilities, but also became the world's leading manufacturer of high-quality competitive products - cars, equipment, electronics. And this is in the absence of resources, a small territory and relative isolation from the world. This is a side effect of kaizen.

The main goal of kaizen management is customer satisfaction.

To achieve this, top management sets clear priorities for product quality, cost and delivery discipline, and deploys them from top to bottom throughout the enterprise.

In addition to customer satisfaction, the Kaizen technique allows you to:

• improve product quality and at the same time reduce prices
• increase company profits
• motivate staff and maximize their potential
• remain competitive in the market for decades
• rational use of limited and expensive resources.

In my opinion, kaizen is also an end in itself - improvement for the sake of improvement, because this is precisely what many see as the meaning of human existence.

Application of methods in the kaizen concept

In practice, kaizen is implemented through practical tools and techniques. Let's look at some of them.

Total Quality Management (TQM - Total Quality Management)

Management philosophy of improving product quality, reducing costs, and satisfying consumers and company employees. The most important and large-scale kaizen tool.

Just-in-time production system ()

A production organization method developed by Toyota Vice President Taiichi Ohno in 1954 and used in the company's production system.

Its essence is that the parts needed for production are supplied to the assembly line within a strictly defined time frame and in the required quantity. Finished products are produced in small batches and are not stored, but are immediately shipped to consumers.

Thus, the company avoided maintaining warehouses, which was impossible given limited expensive resources and territory, and also increased the quality and speed of assembly, completely optimizing the production process.

(TPM - Total Productive Maintenance)

TRM is the concern of each employee about the entrusted equipment and workplace. Caring for the machine maintains its functionality for a long time and allows you to anticipate possible breakdowns. The actions of workers are supported by the development of standards for the operation of equipment, organization and order in the workplace, identification of problems, and minor repairs.

Proposal system

The Japanese adopted the practice of submitting proposals to improve production from the United States. There are two options for the methodology - individual proposals and small group proposals. The system of proposals supports kaizen and creates a sense of involvement of workers in the fate of the company.

Japanese management strongly supports employee proposals and gives bonuses and gratitude for their initiative. The record number of proposals submitted to one company by one person in one year was 16,821.

Small group work

Right on the shop floor, groups of 6-10 people are looking for ways to improve the quality of processes and products, reduce downtime and reduce material consumption. Such voluntary associations first appeared in 1962 as study groups that studied the theory of quality control and began to apply what they learned in their workplaces.

The most common small groups are quality control circles and QC circles. The area of ​​responsibility of QC circles is usually limited to the workplace - reducing resource costs, increasing labor safety and increasing productivity. QC Circles use seven statistical tools to analyze problems and how to solve them: Pareto charts, cause and effect charts, histograms, control charts, scatter plots, graphs, and checklists.

At the time of writing the book about kaizen (1986), 170 thousand QC circles were officially registered in Japan, and about the same number operated unofficially.

Members of QC circles receive satisfaction from influencing the work process and participating in improvement; the element of creativity and initiative has a positive effect on the corporate culture.

The photo shows the work of QC circles at the Toyota plant in Indonesia then and now

Another tool created at Toyota as part of the Just-in-Time methodology. Kanban are tags that are attached to containers of production parts. The container moves along the assembly line and workers select the necessary parts. When all parts have been selected, the empty container is returned for the next batch, and the tag serves as a requisition form. Essentially, it is a communication system between production and warehouse workers that minimizes the storage of parts in production.

Zero defects (ZD - zero defects)

The zero defects program was developed by the American Philip Crosby. Its essence is that no level of defects in production is acceptable. The number of defects should be zero.

This goal is achieved as follows:

• it is necessary to prevent the occurrence of defects, and not to find and correct them
• Efforts must be made to reduce the number of defects
• the consumer deserves a defect-free product, and it is the manufacturer's responsibility to provide it
• management must clearly set goals for improving product quality
• quality is determined not only in the production process, but also by the activities of non-production personnel
• Quality assurance must be subject to financial analysis.

Advantages and disadvantages of Kaizen

The benefits of kaizen are obvious:

1. better product quality at lower costs
2. customer satisfaction
3. rational use of resources and equipment
4. atmosphere of mutual assistance and cooperation
5. employee motivation.

But why then don’t all companies arm themselves with kaizen techniques? Kaizen is not so easy to implement; to do this, you need to restructure not only the production process, but also your thinking.

Here are the challenges companies face on their path to excellence:

1. process improvement requires investments that will not pay off immediately
2. it takes a long time to see the effect - 3-5 years
3. Kaizen is not suitable for a rapidly developing economy
4. it is very difficult to involve employees at all levels
5. human factors interfere - laziness, greed, dishonesty
6. Western companies do not have practices of lifelong employment, horizontal rotation, or combining several functions
7. Employees' suggestions for improvement are not taken seriously.

Kaizen in practice

The Kaizen philosophy is supported by many Japanese corporations - Toyota, Mitsubishi, Nissan, Philips. As an example of a kaizen follower, I would like to cite a Western company - Nestlé S.A.

Nestlé

Swiss multinational food and beverage manufacturer. Its product line includes baby food, medical nutrition, bottled water, breakfast cereals, coffee and tea, candy, frozen food, snacks and pet nutrition.

The corporation has not left the list of Fortune 500 companies for 22 years; in 2016, it took 66th place with a profit of $9,423 million. In the previous year, it took 70th place, and a year earlier - 72nd.

Lean production and zero waste are Nestlé's primary mission. The ideas of kaizen are clearly visible in Nestlé’s Corporate Principles and Nestlé’s Quality Policy.

The company's top management undertakes to strive for the highest quality and safety of products in the following ways:

• Fostering a culture of quality to develop, manufacture and deliver zero-defect products and services that our customers trust.
• Compliance with current legislation and international requirements.
• Continuously improve the quality management system to ensure product safety, prevent quality incidents and eliminate defects.
• Encouraging participation and dissemination of responsibility for quality among employees and partners through standards, education, training and mentoring, supervision and effective communications.

To create value and earn consumer trust, Nestlé implements 4 principles:

Nestlé Waters uses different methods to understand where it is best to open a new factory. Techniques such as Value Stream Mapping illustrate the flow of materials and information required to deliver the final product to the consumer. Thus, new factories are opened where they will initially work most efficiently.

Total Quality Management: definition and essence

Total Quality Management is a term closely related to kaizen. Speaking about what Total Quality Management is, Masaaki Imai calls it “the main highway leading to kaizen” and often equates these concepts.

TQM is kaizen implemented using a systematic approach and statistical methods. They transform the company's problems into concrete numbers.

TQM are activities aimed at improving quality: they involve top and middle management, foremen and workers, employees of non-production departments. These activities relate to marketing research, design and development of new products, production, sales, relationships with suppliers and consumers, personnel training, etc.

In Japan TQM implementation starts with people— when the organization’s employees are imbued with the desire for quality and have mastered kaizen thinking, then they can begin to improve production and management processes.

While in the West there are special positions or departments for quality control, in Japan quality control is everyone's business. Employees at all levels are constantly trained to ensure effective quality control. In addition, TQM is supported at the government level.

TQM principles

One of the founders of the TQM movement, Professor Kaoru Ishikawa, formed six features of total quality management in Japan:

1. TQM is applied throughout the company with the participation of all employees.
2. The importance of education and training.
3. Work of QC circles.
4. Regular TQM audits by senior management or external organizations.
5. Use of statistical methods.
6. State support for TQM.

The Total Quality Management methodology contrasts sharply with the approaches of traditional quality management:

Principles of traditional quality management	TQM principles
Customer satisfaction	Satisfaction of consumers, employees and society as a whole
Actions to improve product quality	Actions to improve the quality of processes and systems
Corrective impact on quality	Preventive effect on quality
Quality management training for quality control department employees only	Quality management training for all employees
Only the quality control department is responsible for quality	All employees are responsible for quality
Solving only urgent quality problems, “plugging holes”	Finding and solving chronic problems
Dedicated solution to quality problems	Employee interaction when solving quality problems

W. Edwards Deming was directly involved in the formation of the TQM concept. He formulated a 14-point algorithm of actions for implementing the TQM concept:

1. Ensure consistency in product and service improvement goals.
2. Adopt a new philosophy.
3. Eliminate reliance on inspections to achieve quality.
4. Stop choosing partners solely based on price. Instead, reduce your overall cost by working with a single supplier.
5. Continually and forever improve every planning, production and service process.
6. Introduce on-the-job training.
7. Encourage leadership.
8. Get rid of fears.
9. Break down barriers between staff from different functional areas.
10. Eliminate slogans, appeals and targets for the workforce.
11. Eliminate numerical quotas for the workforce and numerical targets for managers.
12. Remove barriers that prevent people from taking pride in workmanship and eliminate annual rankings or merit systems.
13. Organize a vigorous training and self-improvement program for everyone.
14. Engage everyone in the company in the transformation effort.

Advantages and disadvantages of TQM

The most obvious advantage of TQM is improving the quality of products. But since total quality management affects all processes in an enterprise, the effect of its application is much wider than a product without defects.

Here's the return you can get from TQM:

• improving product quality
• customer satisfaction and loyalty
• reduction in production costs
• company profit growth
• the company's adaptability to sudden environmental changes
• motivating employees through involvement in the company's activities
• strengthening corporate culture.

Despite the positive effect, the implementation of TQM requires significant costs and effort. Critics of the concept call the following disadvantages:

• large financial investments at the initial stages associated with staff training and hiring quality consultants
• spending time on establishing communication processes and creating a new corporate culture
• formalization of the production process due to the introduction of new standards and rules
• difficulties in ensuring the required level of staff involvement
• no effect in the short term
• lack of adaptation of the approach to the service sector, small businesses, and the non-profit sector.

TQM in practice

As an example of Total Quality Management, I would like to cite the Indian company, the flagship company of the CK Birla Group. In 2015, she received the Deming Award, an honorary prize in quality management.

NEI manufactures bearings under the NBC Bearings brand for the automotive and railroad industries. The production capacity of NEI's four factories is designed to produce thousands of sizes of bearings. It is the only bearing manufacturer in India that has its own research and development center. The company's products are exported to 21 countries, including the USA, Germany, Japan and Australia, and are used in products of the Honda, Suzuki, and Daimler brands.

NEI puts consumers first and always adapts to changing market needs. The company adheres to the “Zero Defects” concept in production and supply. The defect rate is currently 100 parts per million, and NEI plans to reduce it to 50 parts per million over the next three years and keep it below 10 parts per million in the future.

Company credo
Be the best you can be
Be the best that you can be.

Kaizen in IT

Kaizen philosophy is not only suitable for manufacturing enterprises. Kaizen principles form the basis of modern flexible development methodologies and are actively used by teams all over the world.

Scrum.

The creators were inspired by the practices of Japanese enterprises and many kaizen principles are the basis of their methodology: the PDCA cycle, constant analysis of activities, elimination of interference, mutual support and openness of information.

Lean.

Development is a lean production method adapted for IT, one of the kaizen tools. Where developers work, it is just as important to eliminate downtime and waste as in production. Lean is based on constant learning, elimination of losses, informed decision-making, quick delivery of the product to the customer, team motivation, and lean principles.

Kanban.

- another methodology that has migrated from workshops to developers’ offices. Initially, this is one of the tools of the “just in time” concept.

is based on the principles:

1. development begins with existing methods, which are changed for the better in the process
2. the team agrees in advance to make important changes
3. initiative is encouraged
4. roles and responsibilities in the team are clearly distributed. It also has quite a lot in common with kaizen ideas.

Remember and you will understand where all modern methods of creating a quality product come from.

Likewise, the principles of TQM have found application
in software development: quality is built into the process creating a software product at the stage of collecting customer requirements.

Applications

There are many project management services that allow you to control the work of production, IT teams and digital agencies that profess Kaizen or Total Quality Management. And there is Worksection.

The Saas service allows you to establish such transparent communication between management and the team, between the company’s client and the contractor, right down to the hired freelancer, that quality control and continuous improvement of the product are inevitable.

Quality management

1. Basic principles of the Total Quality Management (TQM) system.

INTRODUCTION………………………………………………………………………………..….…..3

1. MODERN METHODS OF QUALITY MANAGEMENT……....……4

2. CONCEPT "TQM"……………………………………………………….……...7

2.2. BASIC PRINCIPLES OF TQM……………………………………………………………...8

3. METHODOLOGY OF “TOTALE QUALITY MANAGEMENT”……12

3.1. TECHNOLOGY FOR DEPLOYING QUALITY FUNCTIONS

(QFD-QUALITY FUNCTION DEPLOYNENT)…………………………….….…12

3.2. FUNCTIONAL - COST ANALYSIS (FSA). ………………13

3.3. FMEA – ANALYSIS (FAILURE MODE AND EFFECTS ANALYSIS)………..13

3.4. FUNCTIONAL – PHYSICAL ANALYSIS (FFA)………………......….16

4. IMPLEMENTATION OF THE SYSTEMTQM………………………………………………………...19

CONCLUSION……………………………………………………………..……23

LITERATURE………………………………………………………………………………..…..24

INTRODUCTION

When talking about quality systems, quality assurance and continuous improvement, one cannot ignore such a concept, now popular all over the world, as Total Quality Management (TQM).

What is Total Quality Management (TQM)?

Today, probably no more than one in ten entrepreneurs can answer this question. And very few people think about applying this concept to harsh reality, planting it on the still weak tree of the Belarusian economy.

TQM is total quality management; it is a strategy that will determine approaches to quality management in the 21st century. Leading companies in Japan and Western Europe are already implementing this strategy in practice, demonstrating to the world the enormous capabilities of TQM. Adopt the TQM methodology - ensure the continuous participation of each employee in the quality improvement process, switch to new principles of activity in the field of quality management. This means gaining significant advantages in 21st century business. This means becoming the best.
The TQM strategy is simple and at the same time universal - to find out the needs of the consumer and satisfy them. This is the secret of success. Of course, you cannot expect that everything can be changed very quickly and without problems. The implementation of this system is a long process that takes years to master. It requires significant effort to master the subtleties, develop an appropriate belief system and implement it.

1. MODERN METHODS OF QUALITY MANAGEMENT.

There are various concepts of quality management. The main concept is the concept of total quality management "TQM", the ideology of which was developed by American scientists Walter Shewhart and William Edward Deming.

The main idea of ​​Shewhart's concept is “improving quality by reducing process variability.” The reasons for variability can be general or special. Shewhart pointed out the importance of continuously and consciously eliminating variation from all processes in the production of products and services. In 1924, the scientist developed the concept of production control, associated with the invention and subsequent use of statistical control cards: “Shewhart control cards”. Statistical control methods allow you to focus your efforts on increasing the number of suitable products by minimizing variation as much as possible.

Fig.1. Control card

Shewhart was the first to propose a cyclic model that divides quality management into 4 stages: 1. Planning (Plan), 2. Implementation (Do), 3. Check (Check), 4. Corrective actions (Action). This model is most widespread in Japan.

In turn, E. Deming developed and proposed a program aimed at improving the quality of work, which is based on 3 pragmatic axioms:

1. Any activity can be considered as a technological process, which means it can be improved. 2. Production should be considered as a system in a stable or unstable state, so solving specific problems is not sufficient - anyway, you will only get what the system gives. Fundamental changes to the process are needed. 3. The top management of the enterprise must in all cases accept responsibility for its activities. In 1982, edited by E. Deming, the book “Quality, Productivity and Competitiveness” was published, containing 14 postulates that allow you to organize production work correctly. These postulates allow us to conclude that with a high degree of management responsibility, constantly improving the quality of products and each process separately, with the inadmissibility of inconsistencies and continuous training of all employees, it is possible to significantly reduce the costs of the enterprise. Reduced costs, increased productivity and team success in the market are natural consequences of improved quality. Speaking about modern methods of quality management, one cannot fail to mention the concept of Joseph Juran, who developed a spatial model that defines the stages of continuous development of quality management work, called the “Juran spiral”. This spiral looks like this:

1. Market research.

2. Development of design specifications.

3. Design and engineering work.

4. Drawing up technical specifications.

5. Development of technologies and preparation of production.

6. Logistics.

7. Manufacturing of tools and instrumentation.

8. Production.

9. Control of the production process.

10. Control of finished products.

11. Product performance testing. 11.1 Packaging and storage.

13. Maintenance.

14. Disposal.

15. Market research. According to Juran's concept, continuous improvement is moving up a ladder. This concept is called "AQL - annual quality improvement". Its idea is to achieve high competitive and long-term results. The main principles are:

1. planning for quality improvement at all levels and in all areas of the enterprise.

2. development of measures aimed at eliminating and preventing errors

3. transition from administrative to systematic management of all activities in the field of quality.

Another scientist who dealt with quality management problems was F. Crosby, who developed the concept of ZD (zero defects) - “defect-free manufacturing”. This concept is based on the following provisions:

1. Focus on preventing defects rather than correcting them.

3. Justification of consumer needs for defect-free products.

4. Formation of clear goals in the field of quality improvement for a long period.

5. Understanding that the quality of a campaign’s work is determined not only by the quality of production processes, but also by the quality of the activities of non-production departments.

6. Recognition of the need to finance the analysis of quality activities. A key principle of a zero-defect manufacturing program is that no defects other than zero will be tolerated. Scientist Armand Feigenbaum developed the theory of integrated quality management. The main idea of ​​which is total quality management, which affects all stages of product creation and all levels of enterprise management in the implementation of technical, economic, organizational and socio-psychological measures. The author of the Japanese version of integrated quality management, Kaoru Ishikawa, highlighted the following conceptual provisions:

1. The main feature is the participation of workers in quality management;

2. It is necessary to introduce regular internal audits of the functioning of the quality system;

3. Continuous training of personnel;

4. Widespread introduction of statistical control methods.

2. CONCEPT "TQM».

During the transition economy of the Republic of Belarus, it is necessary to introduce consumer-oriented market methods for managing the quality of goods and services in all spheres of life. The quality management method, called Total Quality Management (TQM) or, in Russian, “Total Quality Management,” has long been widely used in a number of industrialized countries to continuously improve the quality of products and services. Bove and Till define TQM as follows: "Total Quality Management is an organizational philosophy that is based on the pursuit of quality and management practices that lead to total quality, hence quality is not something you have to track or add to stage of the production process, it is the very essence of the organization."

Quality can be represented as a pyramid:

Rice. 2. Quality pyramid. At the top of the pyramid is TQM - total quality management, which involves high quality of all work to achieve the required product quality. First of all, this is work related to ensuring a high organizational and technical level of production and proper working conditions. The quality of work includes the validity of management decisions and the planning system. Of particular importance is the quality of work directly related to product release (quality control of technological processes, timely detection of defects). Product quality is a component and consequence of work quality. Here the quality of suitable products and the consumer’s opinion are directly assessed.

Rice. 3. The main components of TQM.

TQC – Total Quality Management;

QA – Quality Assurance;

QPolicy – ​​Quality Policy;

QPIanning – Quality Planning; QI – Quality Improvement.

Development of Japanese TQM philosophy

Japanese companies pay special attention to the total training of personnel (from workers to top management) on quality issues, considering this the most important necessary element of the modern quality ideology.

In this regard, they adhere to a number of principles:

• from the moment of personnel selection - companies recruit employees with development potential and the expectation that any of them will be able to contribute to achieving the company’s goals;
• raising the qualifications of all personnel to a level that allows them to independently solve their own problems;
• natural movement forward - its routes include: personnel management, development planning, administrative management;
• performance indicators - they are set in two areas: business needs and people needs;
• structuring the company's policy - from the annual policy established at the level of the general director, the actions of managers follow, so that the latter understand the current conditions at the macro level.

Quality management in the USA

Throughout the 80s, many am. Companies faced serious competition problems. All sorts of solutions have been tried:

• restrictive legislation;
• high tariffs and quotas on some types of products;
• a program appeared: “Buy American!!!”

As a result, most senior managers realized that the most effective response to the challenge of competitors is COMPETITIVENESS!

At this time, society was under the impression of Sir W. Churchill's statement: “You can always count on the Americans to do everything right after they have tried all other options.”

Companies have begun to move from departmental quality improvement projects to the strategic level. They began to compare process indicators both internally and from external firms that were the best in their industry.

Let's look at three critical impulses that motivate organizations to make serious efforts to ensure quality.

1. Crises . Many companies lost a very significant part of the market and were forced to close production lines (There is currently no American manufacturer of color televisions in the USA!).
2. Consumers . They demand rapid and dramatic improvements in quality. “If we can buy something of much better quality for the same money, then we will do so!”
3. Cost . At first, many companies found a lot of opportunities to reduce the number of defects, rework and waste. Next, cycle times were reduced, which helped reduce inventories.

Today, Americans have come to the conclusion (for themselves) that there are three levels of maturity for a company:

1. Strategic planning and quality. Such companies integrate quality management activities into both strategic planning and annual business operations. QM concepts, tools and methods clearly appear to be means to achieving strategic and operational goals.
2. Strategic quality management . Taking business results as a basis, companies immediately identified three main priorities: customer, cost and cycle time. We quickly discovered that using all methods together is much more effective than separately.
3. Strategic goal and quality . When a company has thoroughly developed a wide range of concepts, methods, and quality assurance tools and has implemented them, it is ready to begin exploring competitive goals...

European Quality Policy

Competition, naturally, has not left “old” Europe unattended. The World Competition Report provides information on various elements of the competitive situation in Europe. Many studies of the impact of quality systems on the commercial activities of companies indicate that the implementation of QM strategies contributes to improved company performance and that neither European industry nor European public organizations can neglect these data.

Projection of Deming's principles onto Russian companies

Well, now about the main thing!!! What are our (Russian) problems in MK?

• how bad things are with us;
• what a huge potential our industry has.

Let us finally return to Deming’s book “Overcoming the Crisis,” where he formulated his famous 14 principles of TQM.

Let's project Deming's 14 principles onto Russian practice.

Deming's principles	Projection on Russian practice
1. Constancy of purpose . Set a goal for continuous improvement of products and services and be steadfast and persistent in achieving it, allocating resources to ensure not only immediate profitability, but also long-term goals and needs to achieve competitiveness, maintain the enterprise and provide people with jobs.	As a rule, there are no long-term goals; all managers are busy with current problems. Consistency manifests itself in resistance to necessary changes, in the desire to act in accordance with established stereotypes. In Russia we need to achieve permanent changes for the better.
2. New philosophy. Adopt a new philosophy. We are in a new economic era started in Japan. We can no longer tolerate the usual levels of delays, errors, defects in materials, and faulty workmanship. A transformation of Western management style is needed to stop the continuing decline of the economy.	The new philosophy is missing at the level of both the country and most companies. There are no ideas for transformation. Pagan mentality: idols, enemies, dark forces - oligarchs, conspiracies, xenophobia. The TQM philosophy is known only to a few companies that form their mission, values, and guiding principles. Teach, study the philosophy of Total Quality - the basis of management leading to prosperity.
3. End mass control envy. . Eliminate the need for mass testing and inspection as a way to achieve quality primarily by “building” quality into products. Demand statistical evidence of “embedded” quality in both manufacturing and purchasing functions.	A good recipe, but what can replace quality inspection... Today this is practically the only method of quality assurance. Statistical methods have not been mastered, are used extremely rarely, quality clubs and groups are not used, and the involvement of management and staff is low. One quality control department is assigned to the “fight against quality”, the quality control department head is made deputy. gene. dir. In terms of quality, they are given the task of implementing ISO 9 standards. Start replacing inspection and product quality control with statistical quality management methods, involving workers, engineers, and senior managers.
4. End the practice of purchasing at the cheapest price. End the practice of evaluating and selecting suppliers based solely on the cost of their products. Instead, demand serious evidence of quality along with the price. Reduce the number of suppliers of the same product by eliminating the services of those who could not statistically confirm its quality. Strive to obtain all supplies of a given component from only one manufacturer, based on establishing long-term relationships of mutual loyalty and trust. The goal in this case will be to minimize total, and not just initial costs. As a result, procurement and procurement departments will have new responsibilities that they must carefully understand.	Problems of procurement and relations with suppliers are solved differently: deliveries - through numerous intermediaries, criminalization of the procurement sector (through bribes), offsets - as a way of transferring income. It is extremely rare that consumers, when introducing full-fledged quality requirements into contracts, cannot influence monopolistic suppliers, for example, metals and raw materials. Registers of approved suppliers are not maintained. Systematic work with suppliers is just beginning in a number of companies. Buyers, move from the rear to the forefront, take responsibility for the quality of supplies!
5. Improve every process. Constantly improve, today and always, all your planning, production and service processes. Constantly look for problems in order to improve all activities and functions in the company, improve quality and productivity and thereby constantly reduce costs. Continuous improvement of the system, including development and design, supply of components and materials, maintenance and improvement of equipment operation, management and organization methods, training and retraining of personnel is the primary responsibility of management.	Process thinking and process approaches are actually not developed. By processes we mean only technological ones. Statistical methods for quality improvement, such as the 7 simple Japanese methods, are practically not used. We can talk about the statistical illiteracy of the staff of most companies. There are very few examples of process improvement. However, where processes are systematically improved, the results are impressive. Where possible, we should talk about replacing Taylor systems with Shewhart systems.
6. Introduce training and retraining of personnel into practice. At the same time, use modern approaches for all employees, including leaders and managers, in order to better utilize the capabilities of each of them. Keeping up with changes in materials, methods, product designs, equipment, technology, functions and service methods requires new skills and abilities.	A number of enterprises pay great attention to this. The problem is what to teach and who will teach. Training programs are random and not tailored to the strategic goals of the company. Russian teachers, with rare exceptions, do not know market mechanisms and foreign experience (first-hand), foreign ones do not understand the processes of Russian reality. Not many Russian company managers understand that staff training is an excellent investment. In Russia, where there is no labor migration, the efficiency of investments in education, training and retraining of personnel is close to that of Japan.
7.Establish leadership. Understand and practice leadership as a way of working to help employees perform their jobs to the best of their ability. Managers at all levels should be responsible not for bare numbers, but for quality. Improved quality automatically leads to increased productivity. Managers and managers must ensure that immediate action is taken at the first sign of defects, faulty or malfunctioning equipment, poor tools, unclear work instructions and other factors detrimental to quality.	There are leaders in management, but, as a rule, only at the top level. In general, leadership is not encouraged; moreover, general directors believe that enterprises should have only one leader, him. As an institution, leadership is suppressed. Managers do not know how to work with numbers (data), the data is not collected and processed in the right way. Management is carried out at the level of intuition, sensations, opinions, premonitions, but not facts. Russian company managers work without relying on information, at their own peril and risk. It's time to learn how to work with data.
8. Banish fears. Encourage effective two-way communication and other means to eradicate fear, apprehension and hostility within the organization so that everyone can work more effectively and efficiently.	An excellent principle, however, a person without a goal, without morals, without principles and without fear is even more dangerous than a person suppressed by fear. The Russian thesis should sound like this: “Replace fear of management with clarification of goals and objectives, corporate values, education of morality, ethical rules of behavior; focus your efforts on creating a corporate culture based on cooperation, respect, trust, creativity, and initiative.”
9. Break down barriers between divisions, services, departments. People from different functional departments must work in teams in order to resolve problems that may arise during the course of work.	Great principle. In Russia, however, there are not barriers, but barricades, and local wars are going on. Designers are at war with technologists and production workers, quality control department is at war with everyone, suppliers work behind enemy lines, not forgetting about themselves. The Russian thesis is to stop the war between units, dismantle the barricades...
10. Refuse empty slogans and appeals, which require workers to produce defect-free products, new levels of productivity, etc. etc., they say nothing about methods for achieving these goals. Such calls only cause hostility; Most of the poor quality and productivity problems are system-related and thus beyond the ability of ordinary workers to resolve.	It is stupid to turn to performers when their share of quality problems is 4-15%, and management and the system it built are responsible for the rest. But when more than 50% of quality problems are the responsibility of performers, appeals and slogans are needed as a means of involving personnel in the QM system. But first you need to start working with actual data on the quality of products and processes, then vague slogans will change to specific and understandable ones. Slogans and appeals should be illustrations of the goals and objectives of the company and its divisions, explanations of the quality policy, business philosophy, code of ethics, etc. Note that the style of Deming’s 14 principles itself is close to appeals.
11. Eliminate arbitrary quantitative norms and assignments. Replace them with support and assistance from higher-ups in order to continuously achieve improvements in quality and productivity.	Our standards, quotas, tolerances, and requirements have one more drawback, although what Deming writes about is fully present. Employees are in constant struggle with managers over the boundaries of norms and tolerances, trying to make them softer, and almost always win. Managers are retreating on all fronts, and this is understandable, because... they did not have and do not have clear goals and objectives. They love uncertainty; in this muddy water their incompetence is not visible. The defeat of managers in the struggle to improve quality is obvious. Managers, move from the forced establishment of norms and requirements to cooperation and assistance to employees.
12. Give employees the opportunity to be proud of their work. Removing these barriers involves, among other things, eliminating annual performance reviews and “management by objectives” practices. And again, the responsibilities of managers, supervisors, and foremen must be redirected from achieving purely quantitative indicators to achieving quality.	Great, but first give them a chance to work. Do not change their tasks until they have completed the previous one, do not move them from place to place. Provide materials, tools and everything necessary. Do not place empty containers in the path of local traffic. Give workers and employees the opportunity to work by setting specific goals for them - this is the first commandment of Russian managers that they must learn.
13. Encourage the pursuit of education and self-improvement Establish a vigorous program of education and self-development support for all employees. An organization needs not just people, but workers who improve themselves through education. The source of successful progress towards competitiveness has always been knowledge.	Great, but first of all, we need to start learning from the managers themselves. Their illiteracy, especially in matters of management, can only be compared with the illiteracy of designers in marketing. The desire to learn from them is extremely rare; therefore, encouraging employees and workers to educate themselves is hypocritical and dangerous for the managers themselves. They must finally accept at least half of the responsibility (the other half lies with politicians) for the economic situation in the country and the poverty of the bulk of the population. Russian managers! Encourage your desire for self-education and self-improvement! Be an example for all employees.
14. Commitment to quality improvement and effectiveness of senior management. Clearly identify top management's unwavering commitment to continuous quality improvement and their commitment to implement all of the principles discussed. But this is not enough. BP must also know what exactly it is that they are committed to and what they must do. Form a BP structure that will provide daily impetus for progress towards the 13 principles discussed and effectively implement transformations. Support here is not enough; concrete actions are needed.	The administration of many Russian companies, embarking on the path of quality, considers it sufficient to publicly declare their commitment to quality, sign a quality policy, and then entrust the creation of a QMS to engineers from the quality department and the standardization department, although the QMS has almost nothing to do with the latter department. The main thing is to adhere to Deming's principle.

Deming's 14 Principles for Managers - These are provisions developed by E. Deming that serve to help management, especially small and medium-sized firms, understand the problems of the organization.

Annotation. Deming's 14 principles for management are widely recognized as a management philosophy that has spawned a new way of looking at business. They have long been helping the leaders of many countries in their work, regardless of the level of development of market relations and the characteristics of the national stereotype; they are international.

The universality of the 14 basic principles for a manager lies not in a rigid statement of the manager’s actions in a given situation, but in the possibility of a flexible interpretation of the provisions. These principles show exactly the stones on which most leaders stumble. Of course, you can disagree with something, some provisions cause a sharply negative reaction from a number of managers, let’s try again to read what may be the way out of the crisis for your company. Deming saw it in the fact that the path to success is achieved not by administrative influences or the introduction of various systems of material interest, but by unlocking the potential of each employee and creating opportunities for their implementation

1. Achieve a consistent goal of continuously improving the products and services delivered to the community. Set a goal and be steadfast and persistent in achieving your goal of continuous improvement of products and services, allocating resources so that long-term goals and needs are met, not just short-term profitability, to achieve competitiveness, maintain the enterprise and keep people employed.

2. Give up the old production philosophy that allows for low-quality products. Adopt a new philosophy. We are living through a new economic era. Western management must recognize the challenge, examine its responsibilities, and take leadership of change.

1. Eliminate the need for mass inspections as a way to achieve quality. Eliminate (destroy) the need (need) for mass testing and inspection as a way to achieve quality, primarily by “building” quality into products. Demand statistical evidence of “embedded” quality in both manufacturing and purchasing functions. Expensive and ineffective mass control becomes unnecessary, since the very possibility of marriage in the bud is destroyed.
2. Stop the practice of rewarding work with partners based only on its final cost. Put an end to purchasing at the lowest prices. Instead, minimize overall costs and require strong evidence of product quality along with price. Strive to obtain all supplies of a given component from a single manufacturer based on establishing long-term relationships of mutual loyalty (fidelity) and trust. (NOTE: The purpose of this principle is to reduce variation.)

5. Continuously improve every process. Constantly improve, today and always, all processes: planning, production and service delivery systems. Constantly look for problems in order to improve all activities and functions in the company, increase quality and productivity, and thus constantly reduce costs. Continuous improvement of the system, which includes development and design, supply of components and materials, maintenance and improvement of the enterprise, training and retraining of personnel, is the primary responsibility of management. Problems are special and general causes of variability.

6. Introduce modern methods of training and education of personnel in the workplace. Introduce modern approaches to training or retraining for all workers in order to better use the capabilities of each of them. Keeping up with changes in materials, methods, product design, equipment, technology, functions and service methods requires new skills and abilities. Training should be as much a part of the work process as production itself. Taking root and spreading improvements is the result of learning (NOTE: This point is about learning how to do things).

1. Encourage leadership that is focused on helping people do their best work. Understand and practice leadership as a way of working to help employees do their best work.
2. Encourage effective two-way exchange of information, any other measures to drive fear out of the organization. Encourage effective two-way communication and use other means to eliminate fear, apprehension, and hostility within the enterprise so that everyone can work more effectively and efficiently for the benefit of the company. True collaboration (between employee and manager) achieves much more than isolated individual efforts.
3. Break down barriers between departments and different areas of management. People involved in research, design, sales and production must work as a team to anticipate production and use problems that may be encountered in a product or service.
4. Refuse empty slogans and appeals. Throw away the slogans, exhortations and target plans for workers demanding zero defects and new levels of productivity. Such appeals only create adversarial attitudes, which represent much of the cause of poor quality and low productivity in relation to the entire system, and therefore lie beyond the capabilities of the workforce.
5. Eliminate work standards that impose quotas for workers and quantitative goals for managers. 1). Eliminate work instructions and standards that set arbitrary quotas for workers and quantitative targets for managers. (see what the goals should be) 2). Cancel control by objects. Eliminate management by quantity, numerical goals. Replace the manual if necessary.

12. Remove barriers that deny workers and managers their right to pride in their work. 1). Remove the obstacles that deprive the worker of his right to be proud of the results of his work. The responsibility of management should be directed not at transparent numbers, but at quality. 2). Remove barriers that deny people in management and engineering the right to be proud of their results. This involves abandoning annual certifications (evaluations of employee performance) and facility management.

13. Create an effective education program and encourage self-improvement for all employees. Introduce an effective education and self-improvement program for all employees. The source of successful progress in achieving competitiveness is knowledge. (NOTE: This point is about education plus a new concept - self-improvement. Compare with point 6).

14. Clearly define top management's unwavering commitment to continuous improvement in quality and productivity. Commit everyone in the company to work towards making the change happen. Transformation is everyone's business. Top management is required to implement all of the principles discussed above. Establish a structure in senior leadership that will provide daily impetus for progress toward the 13 principles discussed above, and take action to effect change.

See also

Total Quality Management - Total Quality Management (TQM)

Quality management

Deming's 14 Principles for Managers

1. Deming E. Exiting the crisis: a new paradigm for managing people, systems and processes. - M: Alpina Business Books, 2007.

1. Niv G. Organization as a system: principles of building a sustainable business by E. Deming. - M: Alpina Business Books, 2007.

3. Efficiency and quality management./Translated from English. / Ed. Prokopenko I., Norta K.. In 2 volumes - M.: Delo, 2001.