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Tuesday 19 April 2016

Operations: Quality Issues








Developing Effective Operations: Quality

The meaning of quality:                                          

'Quality is about meeting (or exceeding) the expectations of the customer.'
                 
Key targets for quality might include:
                        
Reducing customer complaints.


Improving delivery and punctuality times.

Reducing scrap and wastage rates.

The quality of your shorts:


You may be surprised how much testing is involved. 

Because they are sold in 4,958 stores around the world certain checks must be made to maintain quality standards.

Such as?
                                       

Quality control:

This involves QC inspectors checking work after production or certain activities have taken place.

QC was a method of finding a poor quality product (or a problem) before something is sold to a customer.



By today's standards this could be considered a poor way to manage quality.

Advantages of quality control:


With quality control, inspection is intended to prevent faulty products reaching the customer. 

Highly trained QC workers can help to reduce costs.
Disadvantages of quality control:
Individuals are not necessarily encouraged to take responsibility for the quality of their own work.
If defect levels are very high, the company's profitability will suffer.
Quality assurance:

This involves total quality management (TQM) where all employees have a responsibility for ensuring quality at all stages of production.

The aim is to stop problems occuring rather than finding them after they occur.

Advantages of quality assurance include:
Costs are reduced because there is less wastage and re-working of faulty products as the product is checked at every stage.
It can help improve worker motivation as workers have more ownership and recognition for their work (see Herzberg).
With all staff responsible for quality, this can help the firm gain marketing advantages arising from its consistent level of quality.


Disadvantages of quality assurance:

It may be difficult to change the existing culture within the business. (The way things are done.)

The costs of training staff about the new systems.

Features of TQM:

A philosophy which must start from the top with the most senior executive and spread through the organisation to every employee.

TQM relies on monitoring the business process to find possible improvements.

TQM stresses that teamwork is key to problem solving.

TQM will involve Quality Circles


These are groups of staff specifically brought together to identify potential improvements in the business.

Details here.

Total quality management (TQM). More details here.

Kaizen:

A Japanese business philosophy of continuous improvement of working practices, personal efficiency, etc.

One of the most notable features of kaizen is that big results come from many small changes introduced over time 

Kaizen means everyone is involved in making improvements. 

While the majority of changes may be small, the greatest impact may be 'kaizens' that are led by senior management as transformational projects.

Less waste – inventory is used more efficiently as are employee skills.

People are more satisfied – they have a direct impact on the way things are done.

Improved commitment – team members have more of a stake in their job and are more inclined to commit to doing a good job.

Improved retention – satisfied and engaged people are more likely to stay.

Improved competitiveness – increases in efficiency tend to contribute to lower costs and higher quality products.

Improved consumer satisfaction – coming from higher quality products with fewer faults.

Improved problem solving – looking at processes from a solutions perspective allows employees to solve problems continuously.

Improved teams – working together to solve problems helps build and strengthen existing teams.


 




Quality Assurance from Wisegeek.com

Quality standards:
IS0 9000 on Wikipedia here.