Total Quality Management

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1 Total Quality Management 1

2 Chapter 12: Total Employee involvement 2

3 Human factor is very important in implementation of any process or principle. It is all the more important in Quality Management. Organization consists of a number of people working for a purpose. Each and every employee and department has a role to play. Everybody s role is important. 3

4 Organization becomes most effective when all the employees and all the departments work together harmoniously towards common goal and company objectives. 4

5 The issues are: How do we get everybody to work together How do we maintain their involvement How do we make them contribute their best How do we create satisfaction in them How do we improve continuously 5

6 The beliefs are: Employees are not just the resources, they are the very purpose Company hires the total man, not just hands Problems are with system and not with people People will be able to improve systems and solve problems Aim is to utilize full potential of all the employees Total employee involvement is essential for customer satisfaction. 6

7 People orientation From Individual Managing Delegation Control Problem management To Team Involving and leading Participation and consensus Empowerment Problem solving Traditional pyramid structure Flattened structure 7

8 Elements of Employee Involvement Problem solving at the lowest level Meet conditions for empowerment Team building Revised organizational structure Value-Action-Measurement-REWARD 8

9 Problems are best solved at the lowest level Most timely Lowest cost Solution at the source of problem Shortest path of communication Data not distorted Best for prevention in future Least political involvement Provide direct satisfaction 9

10 Total quality management needs higher levels of employee involvement. It refers to any activity by which employees participate in work related decisions and improvement activities with the objective of tapping the creative energies of all employees and improving their motivation. 10

11 The range of activities is: Sharing of information Providing input on work related issues Making suggestions Self directed responsibilities such as setting goals, making business decisions and solving problems often in cross functional teams. 11

12 Employee involvement should begin with a personal commitment to quality. The employees who accept and commit to quality philosophy are more apt to learn quality tools and techniques and use them in their daily work. 12

13 As the employees begin to see the benefits of commitment to quality, they will be more willing to work in teams. This team interaction, in turn, reinforces personal commitment, driving a never ending cycle of improvement. 13

14 Suggestion Schemes This is one of the easiest ways to involve employees on an individual basis. An employee suggestion scheme is a management tool for submission, evaluation and implementation of an employee s idea to save cost, improve quality, safety, process etc. Companies reward employees for implemented suggestions. 14

15 Empowerment It means giving people authority to make decisions on what they feel is right, have control over their work, take risks and learn from mistakes. Empowerment requires a sincere belief and trust in people. 15

16 Empowerment At Motorola, sales representatives have authority to replace defective products up to six years after purchase. This is a decision which earlier required top management approval. Empowerment builds confidence in people, generates commitment and pride, better experience and opportunity to advance their careers. 16

17 Training and education: Companies committed to TQM have to invest heavily in this area. The leaders in quality viz. Deming, Juran, Crosby actively promoted training and education. It includes: Quality awareness, Leadership, Project management, Communications, Team work, Problem solving, Interpreting and using data, Meeting customer requirements, Process analysis, Process simplification, Waste reduction, Cycle time reduction, Error proofing, Employee efficiency and effectiveness and Safety. 17

18 Other factors influencing the employee involvement are: Compensation and recognition Health, safety and employee support services Career development Performance appraisal Measuring employee satisfaction and HRM effectiveness 18

19 Top Management Commitment The various factors that contribute to the success of Quality Management practices are: Involvement / interest of EMPLOYERS. Training on quality practices Top management commitment Conducive work culture Facilities for implementing quality practices. 19

20 Top Management Commitment Among the above five factors, the absence of top management commitment will cause failure. Even if any other factor is missing, then there will be drastic reduction in efficiency of implementation. 20

21 The CEO will have to initiate quality related activities in the organization. He has to allocate enough funds for these activities. He has to arrange training on quality management principles to everyone in the organization including him. 21

22 In every meeting, he has to talk about quality and express his personal commitment. He has to initiate an award scheme for quality work. CEO himself will follow quality practices. He should get involved in day to day quality activities. 22

23 He should avoid trusting only a few people and expect them to initiate quality activities. He should avoid putting other factors such as return on investment, productivity, profitability etc. above the quality initiatives. He has to enforce the quality activities on everyone. Doing things that will produce definite results is also a mark of commitment. 23

24 Leadership Anyone who occupies a top level chair need not be necessarily a leader. It was believed that leader has to be born. But now-a- days it has been proved that a leader can be made. A leader should possess certain qualities which are essential for leadership. 24

25 Leadership means doing right things while management is doing things right. Efficiency is the main criteria for a manager, while effectiveness is the criteria for a leader. Leadership is influencing the people so that all of them do the right things, right way at the right time, willingly and on their own, so that the organization grows and the purpose is fulfilled. 25

26 A leader has the responsibility of leading teams working in a complacent and hostile world and disturbances are on the rise. He has to be highly creative to be fruitful as a leader. It can t be expected that the leader will be charismatic. Unless people are convinced, they won t fall in line with the leader. Hence people-building is a prime area wherein leaders have to excel. He has to improve their self esteem and self worth. 26

27 Then he has to train them to work as a team. Then using the team, he has to achieve the targets. He has to excel in conflict resolution and crisis management. Leading is a dynamic process, requiring constant thinking on appropriateness of the process. Leader should have cool temperament, maturity, endurance, tact, decisiveness and integrity. 27

28 Twelve guidelines for effective leadership: 1. Give priority attention to external and internal customers and their needs 2. Empower rather than control the subordinates 3. Emphasize improvement rather than maintenance 4. Emphasize prevention rather than cure 5. Encourage collaboration rather than competition 28

29 Twelve guidelines for effective leadership: 6. Train and coach rather than direct and supervise 7. Learn from problems 8. Continually improve communications 9. Continually demonstrate commitment to quality 29

30 Twelve guidelines for effective leadership: 10. Choose suppliers on the basis of quality, not price 11. Establish organizational systems to support quality effort 12. Encourage and recognize team effort. 30

31 Commanding and controlling in leadership: For effective controlling: Define clear cut objectives for every job Make the people involved to understand the objectives, which should be in writing Give them instructions on what to do and how to do. 31

32 Commanding and controlling in leadership: For effective controlling: Assess the progress Assess the performance Informal meetings to let them know their progress and corrective actions to be taken 32

33 Commanding and controlling in leadership: For effective controlling: Curb any disturbance Analyze and find out the reasons for failure if any. Redefine the objectives, do s and don ts and appraisal method. 33

34 For effective commanding: Tell what to do Tell where to go Tell what to take If what is expected is not happening, tell what the recommended remedial measures are. Give knowledge about the situation and surroundings 34

35 Caution with concern about the possible danger Assure help Tell about the qualities required to fulfill the job Encourage them Announce reward for successful completion 35

36 Change Management Every organization needs to change itself to meet various challenges either externally imposed or self imposed. Resistance to change: Whenever any change is introduced, it surely upsets many people. Changes are not accepted without resistance: 36

37 I don t understand It is against my ideals Old is gold This has failed elsewhere the new man does not know anything this is against norms As it is, everything is OK I am fed up this won t work here My workload will increase what do I get from this? ego 37

38 The personal qualities required to overcome this resistance are: Self esteem Positive thinking Open mind Unselfish attitude 38

39 The personal qualities required to overcome this resistance are: Company interest above self interest Confidence in others Willingness to take risk 39

40 The personal qualities required to overcome this resistance are: Boldness Unegoistic personality Creativity 40

41 Steps to be followed while introducing a change: Define the change State how appropriate the change is Make everyone know the benefits Collect the earlier success stories about benefits from the change 41

42 Steps to be followed while introducing a change: CEO should be thoroughly convinced about the change Prepare schedule for the change Involve everyone 42

43 Steps to be followed while introducing a change: Introduce in one department first, let everyone see the benefits Have many meetings and training sessions 43

44 Motivational strategies People implementing the quality processes have to be highly motivated. It can come from others, such as superior s encouragement. But it is desirable that motivation is present in every individual practicing quality management. This motivation is a result of self esteem and positive thinking. 44

45 Team Work All members actively participate Members communicate openly Conflict is effectively managed No domination by one or two members Decisions are critically analyzed All members share team leadership Disruptive behavior is confronted by the team Team membership is rewarding and enjoyable 45

46 Characteristics of a team are: Focus on goal Members contribute voluntarily Climate of trust and openness Interdependent work Two way communication 46

47 Characteristics of a team are: Motivated to learn while performing Give and take policy Conflicts are automatically solved Members participate in decision making Harmony with systematic procedure Synergetic effect 47

48 The Prime Objectives of the team leader are: As he fulfills the task, he should ensure that every individual has a gain which should be in terms of his personal development/ personality development. He should work towards getting synergetic effect. This requires working together. The leader should develop teams to work in unison. Think about the tasks and delegate the work to the members. 48

49 The Prime Objectives of the team leader are: Take care of team members Personal focus: self needs Take care of members Social focus: Keeping people happy will be the motto. Look after members Professional focus: Output, target and efficiency All the three focuses should be present for a team to be effective. 49

50 Factors that influence togetherness: Physical proximity Common work area Social/personal homogeneity Communication: Listening is the most important quality and also most important component of communication. Role clarity Leader s interest / intention Prevailing culture Clarity of the purpose 50

51 Stumbling blocks: Ego Selfishness Blaming culture Heterogeneity Ineffective leader 51

52 A decision can be implemented By autocratic rule By Majority voting By Consensus 52

53 Consensus is defined as: Everyone understands the decision Can live with the decision Support the decision The decision does not disturb you ethically and morally A big consensus is composed of a series of little, tiny agreements The power of consensus comes from inclusion Consensus decisions are self implementing and need little monitoring 53

54 TOTAL EMPLOYEE INVOLVEMENT! 54

55 THANK YOU 55

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