Organizations throughout the world are increasingly resorting to the tried-and-true bastions of quality control and quality management as they strive to perfect their operations and stay competitive. Lean Six Sigma (LSS) has long been a cornerstone of quality management best practices, with impressive results across a wide range of sectors and critical business processes.
It is a data-driven business management methodology that aims to improve product quality and process excellence by decreasing waste and increasing the value of every stage of the product or service lifecycle.
According to a recent study, about 20% of companies intend to use cross-functional quality processes and teams across design, manufacturing and service. For years, practitioners of Lean Six Sigma and other quality management methodologies have prospered.
To understand Real-world quality management, consider the following:
- The act of managing all activities and duties required to achieve a specified degree of perfection is known as quality management.
- Quality management entails establishing a quality strategy, developing and implementing quality assurance and planning, as well as quality control and improvement.
- Total Quality Management (TQM) necessitates collaboration among all stakeholders in a business to improve processes, products, services and the company's culture.
The overall quality approach explains the culture, mindset and organization that commits to providing better products and services that meet the needs of customers. Total quality management is a management technique that entails the process of improving employer-employee connections and consumer-business relationships in order to achieve better results in the production of goods and services. Let's take a look, how the concepts are managed in real-world situations.
What is the concept of quality management?
The act of overseeing various operations and duties inside a company to guarantee that the products and services given, as well as the means employed to produce them, are consistent is known as quality management. It assists the company in achieving and maintaining a targeted level of quality.
There are four main components to quality management, which are as follows:
- Quality Planning - The process of determining the project's quality criteria and determining how to meet them.
- Quality Improvement - The deliberate alteration of a process in order to improve the outcome confidence or reliability.
- Quality Control - The ongoing endeavor to maintain the integrity and dependability of a process in reaching a goal.
- Quality Assurance - The systematic or planned actions required to provide sufficient reliability so that a certain service or product meets the defined requirements.
Quality management is to guarantee that all stakeholders in an organization collaborate to improve the company's procedures, products, services and culture in order to achieve long-term success based on customer satisfaction.
Quality management is a set of guidelines produced by a team to ensure that the products and services they produce meet the appropriate standards or are suitable for a certain purpose.
- The process begins when the organization establishes quality goals that are agreed upon by both the client and the organization.
- After that, the organization determines how the goals will be measured. It performs the steps required to assess quality. It then finds and corrects any quality concerns that have arisen.
- The final step is to report on the overall degree of quality that has been attained.
The procedure ensures that the team's products and services meet the consumers' expectations.
Methods for Improving Quality
Product improvement, process improvement and people-based improvement are the three components of quality improvement approaches. There are a variety of quality management strategies and procedures that can be used.
Kaizen, Zero Defect Programs, Six Sigma, Quality Circle, Taguchi Methods, Toyota Production System, Kansei Engineering, TRIZ, BPR, OQRM, ISO and Top-Down & Bottom-Up methodologies are just a few of them.
Example of Quality Management
Toyota Corporation's application of the Kanban system is a shining example of excellent quality management. Kanban is an inventory control technique created by Taiichi Ohno to assist in minimizing the accumulation of surplus inventory on the manufacturing line at any given time by providing visibility to both suppliers and purchasers.
Toyota adopted the notion to implement their Just-in-Time (JIT) system, which lets suppliers synchronize raw material orders with production schedules directly. Toyota's manufacturing line improved efficiency by ensuring that the corporation had just enough inventory on hand to match client orders as they came in.
Improving the quality of manufacturing and the supply chain
Manufacturing enterprises are among the best examples of how Lean Six Sigma can aid in the development of high-quality products. For example, in North America, 3M recently used LSS principles in their design and manufacturing capabilities for compressed natural gas systems.
They used cutting-edge materials, technology and Lean Six Sigma experience to improve the overall quality and durability of their natural gas tanks, making them 30% lighter and with 10% more storage than competing tank types. 3M has also devised a long-term strategy to accomplish financial and customer goals by using Lean Six Sigma across manufacturing, supply chain and even customer service.
Manufacturers benefit not only from supplying higher-quality products to customers (with fewer flaws to rectify) but also from the speed with which they can handle issues that arise once they reach the end consumer. This ongoing plan includes quality management as a key component.
The Construction Industry's Quality Management
Construction is a one-time yet creative activity, therefore it's important to keep in mind that it's costly and time-consuming to reproduce a structure (or similar). TQM is used to reduce costs and increase productivity and it is possible to track efforts if results improve. Quality in the construction sector is determined by the level of satisfaction of the designer, builder and homeowners.
Getting Rid of Defects in Pharmaceuticals
Companies that create products that have an influence on the health and safety of daily consumers have a responsibility to ensure that the creation and testing of these items are done in a way that minimizes risk.
Pharmaceutical companies come under this group and they are required by law to ensure that their products are safe. Lean Six Sigma concepts, according to a recent LinkedIn article, may help firms attain this level of confidence in their processes to the point where they are nearly error-free.
LSS is used by pharmaceutical companies to implement end-to-end product testing, predict and eliminate errors during the development and testing life cycles and, as a result, improve product quality and meet compliance requirements. LSS assists them in reducing the risk of passing on tainted or ineffective medications, which can have serious health consequences for patients.
Onboarding Procedures in Healthcare
Long and complicated business processes are well-known in the healthcare industry. One example is Johns Hopkins All Children's Hospital (JHACH), which had a slow and inefficient provider enrollment process (taking up to six months to onboard providers).
JHACH patients who rely on those providers have had their visits with physicians delayed or they have had to see a whole new physician, resulting in dissatisfied patients and low customer satisfaction with the process.
JHACH boosted the number of hospital-employed providers who are active with health plans by nearly 30% by using the Lean Six Sigma workflow, consolidating departments and building a monitoring tool to monitor every stage of the process.
In the long run, the key to hospital business is cost and quality treatment. These principles should be followed by organizations for the best results.
- The patient should come first and the organization should prioritize the customer's needs; treatment should be the top priority.
- A good and engaging leader is in demand and a good leader should always be cautious and able to keep employees engaged in the organization's goals.
- Employee participation means that each employee, even doctors, should feel responsible for their work and become involved in it; only then can the organization benefit from the business.
- The organization must prioritize improvement and conduct regular audits in order to improve the environment.
Software Products of Higher Quality
Software quality assurance (QA) engineers play a critical role in ensuring that software solutions meet stringent quality standards and perform as expected. Certification as a Certified Tester Foundation Level (CTFL) is a requirement for anyone working in the software development and testing industry.
However, actions can be taken to increase quality earlier in the development lifecycle. Lean Six Sigma can assist businesses in reducing waste and superfluous cycles, allowing them to produce items faster and with higher quality.
Among the most essential areas where LSS can help are:
- Value stream analysis is used to discover and eliminate non-value contributed operations.
- Establishing a strategy for obtaining customer feedback and approval on requirements prior to the commencement of development work.
- Establishing a knowledge management system in which all reusable components are stored in a knowledge base and can be accessed later.
- Benchmarking with other team members in order to implement best practices without having to reinvent the wheel every time.
- Resource usage to determine what is being overused and underutilized and to take corrective or preventive measures.
Quality Oriented Culture
Total Quality Management (TQM) is a phrase used by quality experts to describe the use of quality concepts at all levels of a business. While TQM has typically implied widespread use of process tools and analytical procedures, the definition has broadened to include the entire organization's larger cultural norms.
The extension of TQM to cover both explicit efforts by people to enhance Quality and the underlying beliefs, philosophies and behaviors on which those efforts are based are referred to as Culture of Quality.
A successful Quality Culture is one in which the organization's core Quality values, such as a focus on responding to customer needs and the importance of data-based decision-making and workers' basic assumptions about the nature of human relationships and their places in the world, such as the value of collaborative relationships among people with common goals and the importance of developing long-term personal connections, are closely integrated.
Because core values are overtly expressed and understood at all levels of the organization, they are relatively easy to measure. Even the people who hold basic ideas typically resist explicit analysis, making participation at this level challenging.
A Culture of Quality can only be achieved when leaders and employees have a common understanding of not only the core values and processes they utilize and promote but also their underlying assumptions about the nature of work and human interactions on which those core values are based.
Quality Management Principles
The International Standard for Quality Management adheres to a number of quality management concepts. Top management uses these ideas to guide an organization's procedures toward higher performance. They are as follows:
1) Customer Service Focus
The fundamental goal of every firm should be to satisfy and surpass the expectations and needs of its consumers. When a company can understand and cater to its consumers' current and future demands, it builds client loyalty, which leads to increased income.
The company is also capable of identifying and satisfying new consumer opportunities. When business operations are more efficient, quality improves and more customers are able to be satisfied.
2) People's Participation
Another important aspect is employee involvement. Whether full-time, part-time, outsourced, or in-house, management engages employees in developing and delivering value. Employees should be encouraged to continually develop their abilities and maintain consistency in their work.
Empowering employees, including them in decision-making and acknowledging their accomplishments are all part of this philosophy. People work to their full potential when they feel valued, as it enhances their confidence and motivation. Employees feel empowered and accountable for their actions when they are fully involved.
3) Leadership
Good leadership leads to the success of an organization. Great leadership creates a sense of purpose and togetherness among employees and shareholders. Creating a vibrant corporate culture creates an internal climate in which people may completely fulfill their potential and actively participate in attaining company goals.
Employees should be involved in the development of clear organizational goals and objectives by leaders. Employees are motivated as a result and their productivity and loyalty may improve dramatically.
4) Approach to the Process
According to the process approach principle, an organization's performance is critical. The approach principle focuses on improving organizational processes' efficiency and effectiveness.
The concept assumes that good processes lead to increased consistency, faster actions, lower costs, waste elimination and continual improvement. When leaders can manage and control the organization's inputs and outputs, as well as the processes that produce the outputs, the organization benefits.
5) Continuous Enhancement
Every organization should have a goal to actively participate in continuous development. Businesses that continuously improve see a higher performance, organizational flexibility and the ability to seize new possibilities. Businesses should be able to constantly establish new procedures and adapt to changing market conditions.
6) Making Decisions Based on Evidence
Businesses should use a data-driven approach to decision-making. Businesses that base their decisions on verified and studied data have a better understanding of the market. They may complete tasks that provide the necessary results and justify their previous actions.
Factual decision making is critical for understanding the cause-and-effect relationships of various things and explaining probable unintended repercussions and results.
7) Management of Relationships
Creating mutually beneficial relationships with suppliers and retailers is the goal of relationship management. A company's performance can be influenced by a variety of stakeholders.
To maximize their impact on the company's success, the organization should manage the supply chain process well and enhance the relationship between the organization and its suppliers. When an organization effectively manages its relationships with interested parties, it is more likely to achieve long-term business success and collaboration.
The Advantages of Quality Management
- It assists an organization in achieving more consistency in the tasks and activities associated with the production of products and services.
- It enhances process efficiency, minimizes waste and makes better use of time and other resources.
- It contributes to increased consumer satisfaction.
- It enables enterprises to efficiently sell their products and enter new markets.
- It makes it easier for organizations to integrate new personnel, allowing them to manage growth more smoothly.
- It enables a company to constantly enhance its goods, processes and systems.
Conclusion
Customers understand the importance of quality in products and services. Suppliers know that quality can be a key differentiator between their own and competitors' offers (quality differentiation is also called the quality gap).
The quality gap between competing products and services has narrowed dramatically during the last two decades. This is due in part to manufacturing contracting (also known as outsourcing) to nations such as China and India, as well as the internationalization of commerce and competition.
In order to fulfill worldwide standards and client needs, these countries, among many others, have upgraded their own quality requirements. Quality culture, the relevance of knowledge management and the role of leadership in promoting and achieving high quality have all become more prominent themes.
Systems thinking, for example, is bringing more holistic methods to quality management, in which people, processes and products are all examined together rather than as separate components in quality management.
Quality culture has been acknowledged by government agencies and industrial organizations that regulate products as a way to help enterprises develop those items. According to a survey of more than 60 global organizations, companies with a bad quality culture had increased costs of $67 million per year for every 5000 employees compared to companies with a good quality culture.
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