Introduction To Quality Management – Topic 1

1. Introduction To Quality Management – Topic 1 Overview of Quality and Quality Management :- What is Quality? 4 dimensions: need, role, barriers and thinking/development of quality approaches What is service Quality? What is Quality Management? What is Quality by Design? What is ISO 9000 QMS? Topic 1

2. Introduction To Quality Management – Topic 1 Overview of Quality and Quality Management :- Quality means different things to different people. E.g. Delivery on time, Meeting customers’ requirement, productivity, reduced labor costs,meeting suppliers requirements, competitiveness, branding, reliability, technology, Profit,fitness for purpose/use, delighting the customer, good marketing/tendering, functionality, compliance to specifications, meeting company goals and objectives, commitments, etc Topic 1

3. Introduction To Quality Management – Topic 1 Overview of Quality and Quality Management :- Service Quality is, Fitness of use/customer expectation, Consistency to delivery (conformance) and Design quality subject to Continuous Improvement. Quality by design- before the Product Line, In the PL, End of the PL Topic 1

4. Introduction To Quality Management – Topic 1 Overview of Quality and Quality Management :- QM is the planning, organizing, Controlling/Monitoring and directing of processes to ensure the objective are met. Whereas, TQM is more than QM in terms of system approach, communications, commitment, policy, culture, control, leadership (Oakland & Sohal1996) in order to improve competitiveness, effectiveness, focuses on prevention not detection. Topic 1

5. Introduction To Quality Management – Topic 1 Overview of Quality and Quality Management :- ISO 9000 QMS: Foundation for quality excellence Documentation of Procedures Consistency of Service Quality Framework for Service Benchmarking Basis for Knowledge enhancement Continuous Improvement Topic 1

6. Introduction To Quality Management – Topic 1 Reasons why QM is Important to the Construction Industry (3 main reasons for pursuit of quality) :- refer/read to Beckford, J 1998: Quality A critical Introduction Chap 1 Economic : Business initiatives, growing markets, Tiger vs. emerging economies, relocate ops to cheap labor countries (e.g. Sony, Nissan), better services, supply and demand, productivity and reliability issues, mergers & acquisitions, imperative for Organization economic survival (reduced costs, increased productivity, Competitive and comparative advantage) Manufacturing drives service sector – product and manufacturing cycle. Topic 1

7. Introduction To Quality Management – Topic 1 Reasons why QM is Important to the Construction Industry :- Social :Post-war era and recognition of quality on mgt platforms (Mayo, Herzberg & McGregor – different ways of designing & managing jobs/orgs) Unemployment levels cause by achieving quality?? - Minimize waste of talent, costs of defects, wastages and maintenance. E.g , zero defects, no rework or rectification. Efficient systems. In USA 25% of bldg cost due to waste and defects, Failures in design in UK amounted to > £ 1Bn Studies showed 10% improvement in construction efficiency adds 2.5% to GDP (Australia, CIDA1993) Topic 1

8. Introduction To Quality Management – Topic 1 Reasons why QM is Important to the Construction Industry :- Ethical : Emergence of environmental movements. Minimize environmental damage, Global warming. Proper Waste and dumping of waste designs. Whose responsibility? At national and organization levels. At manager and individual level Topic 1

9. Introduction To Quality Management – Topic 1 Contd- Reasons why QM is Important to the Construction Industry :- Other Factors: Technological impact : innovation, export technology, state-of the art materials and equipment, Internet Technology, disruptive technologies. Legal & Political : Privatization & deregulations, reforms National reputation. Govt. Incentives for exporting services and Knowledge-based global economy. Regulations and statutory requirements. Question: To what extend does the imperatives of economic,social, environmental,ethical, technological and Political/Legal have for quality apply in your country/Industry? Topic 1

10. Introduction To Quality Management – Topic 1 Economic equations: Old way, Cost + Profit = Price (customer use to pay this) New way, Price (upfront) – Cost(end of project) = Profit, (can result in negative if no profit at end of project) Advocated 3rdway, Price – Profit = Cost, (based on cost performance budgets). E.g. Coy profit = tender cost – awarded costs to supplier/subcontractor or project procurement profit = budget costs-awarded costs What are the key differences in the above application of the economic equations?. Give examples related to your work experience Topic 1

11. Introduction To Quality Management – Topic 1 Different views of of QM practices:- Reluctance to accept due to lack of understanding, knowledge and awareness Reluctance to accept due to Org resistance to change Perception/mindset that QM only suitable for Manufacturing/assembly line environment Construction vs. Manufacturing. E.g. One-off projects vs. mass production. Permanent vs. Temp workforce Compare and contrast the different views/perspectives of QM in the Singapore construction industry? In relation to your organization's goals and objectives Topic 1

12. Introduction To Quality Management – Topic 1 QM terminology (What are the commonalities or differences in the terminologies or definition?.Do you practice/use such terminologies in your organization?. Gives examples.) QC: “The operational techniques and activities that are used to fulfill requirement for quality” i.e. the control techniques and activities to ensure a product or service meets specification. E.g. design checks, testing equipment, Material and functional tests. Topic 1

13. Introduction To Quality Management – Topic 1 QM terminology QA: “All those planned and systematic actions necessary to provide adequate confidence that a product or service will satisfy given requirement for quality. Different from QC in that it is a preventive function and does not control. Topic 1

14. Introduction To Quality Management – Topic 1 QM terminology ISO 9000 definition :AS/NZS ISO 8402:1994 “Quality management includes both quality control and quality assurance, as well as the additional concepts of quality policy, quality planning, and quality improvement. Quality management operates throughout the quality system.” ISO 9000 Y2K stds. defines QM as a “complete set of processes used in QM system Topic 1

15. Introduction To Quality Management – Topic 1 QM terminology QM and TQM similarities : TQM is the management approach that achieves continuous incremental improvement in all processes, goods and services through the creative involvement of all people (CIDA 1993) Topic 1

16. Introduction To Quality Management – Topic 1 QM terminology Kubal 1994: “TQM is a management processes of continuous internal improvement throughout an organization that ultimately results in improvements in the finished product” Topic 1

17. Introduction To Quality Management – Topic 1 QM terminology Oakland & Sohal, 1996:” TQM is a comprehensive approach to improving competitiveness, effectiveness and flexibility through planning, organizing and understanding each activity, and involving each individual at each level” Topic 1

18. Introduction To Quality Management – Topic 1 QM terminology Stebbing 1990: Continuous improvement cycle as the “Quality Management //wheel of Plan, Train,Action, Monitor, Improve and Review (similar toTQM PDCA cycle) CWQC – Company wide quality control TQC – Total quality control Topic 1

19. Introduction To Quality Management – Topic 1 Summary Different views and definitions of QM/TQM, However CI is common in most of the research/practices. Suggested Paradigm shift in thinking beyond ISO 9000 QM platforms supporting ISO 9000 QMS or TQM Importance of QM in construction Industry. Discuss/list the key differences of QC, QC, QCC, TQM, JIT, Business Process Re-engineering(BPR), ISO 9000 QMS, Singapore Quality Award? What is Design for quality, conformance of quality and fitness for purpose? Topic 1

20. Introduction To Quality Management – Topic 1 Assessment Questions:- (Give examples of non-conformances and corrective actions taken that you have encountered in your organization) Identify and summarize 3 reasons why QM is important to the construction industry. Compare and contrast 3 economic equations and use them to justify why the construction industry needs to take a QM approach to the way it operates. Topic 1

21. Introduction To Quality Management – Topic 1 Assessment Questions:- ( jot down your answers for week 2 class discussion on 12 Sep) Explain why views within the construction industry are wrong in thinking that QM is applicable only to an assembly line environment and is not applicable to construction. Argue why there is more commonality to be found behind the various quality definitions, terms and approaches than might generally be understood. Topic 1