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MGMT 19105

MGMT 19105. Quality Management . The Course. Exam Preparation Weekly summaries. Assignment 1 Organisation? Progress? Ask for help early!. Module 3 – Quality & Ethics. TRUST

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MGMT 19105

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  1. MGMT 19105 Quality Management

  2. The Course • Exam Preparation • Weekly summaries. • Assignment 1 • Organisation? • Progress? • Ask for help early!

  3. Module 3 – Quality & Ethics TRUST • Achieving quality through the efforts of people either involves supervising them relentlessly; or it involves trusting them. • Employees who trust management are more likely to commit themselves to the organisation’s goals. • There is either a virtuous or a vicious cycle at work… • Trusting invites trust and commitment. • Suspicion invites grudging acceptance or rebellion.

  4. Module 3 – Quality & Values Common TQM Values • Meeting or exceeding customer needs. • Respecting employees and management. • Participation in problem solving. • Rigorous data collection and analysis. • Simple presentation of information.

  5. Week 4 Quality and Organisational Culture

  6. Module Objectives 1. Define organisational culture with regard to quality; 2. Understand and explain the difficulty of ‘creating’ culture change; 3. Identify a process that can contribute to the establishment of a pro-quality culture; and 4. Describe the influence of leaders with regard to organisational culture.

  7. Readings Study Guide Module 4 Textbook Goetsch & Davis 2006Chapter 6. Quality Culture: Changing Hearts, Minds, and Attitudes Electronic journal articles • McManus, K 2003, ‘The challenge of changing culture’. • Walters, J 2005, ‘Fostering a culture of deep inquiry and listening’. • Scott, T, Mannion, R, Davies, HTO and Marshall, MN 2003 ‘Implementing culture change in health care: theory and practice’. • Lloyd, J 2005, ‘How to build a high-performance facility management organisation’. (Available on Proquest)

  8. Organisational Culture Small Group You are a senior manager, and are interested in creating a quality organisation. You have heard that the right sort of organisational culture is critical in a quality organisation. Q. What does ‘organisational culture’ mean?

  9. Organisational Culture The common behaviour and internalised codes of conduct that guide people's daily actions. (Rao et al 1996, page 445) Every organisation has one. [It] is the everyday manifestation of it underlying values and traditions. (Goetsch & Davis, 2006)

  10. Organisational Culture Basic assumptions – explains how we think and feel. Values – tells us what is important. Norms – unwritten rules of behaviour. Artefacts – physical things representing culture. Cummings and Huse (1989, p. 421)

  11. Creating Culture or Encouraging Culture Change? • Goetsch and Davis (2006) use the word ‘create’ when considering the achievement of an appropriate culture regarding quality. • The author of the Study Guide is concerned that culture ‘exists’, it is not ‘created’. • McManus (2005, electronic journal article) uses the term ‘shift’ for influencing organisational culture; and suggests that culture must be a topic in all leadership discussions.

  12. The TQM Culture “The most important aspect of organisational change is that the ongoing capacity to satisfy, and where necessary, delight customers requires the organisation to be imbued with the attitudes, values and mores of a 'quality' organisation.” Ken Dooley, Senior Lecturer, CQU

  13. TQM & Culture Small Group You are still a senior manager interested in creating a quality organisation. You have heard about TQM, and the unique culture of a TQM organisation. Q. Describe the culture of a TQM organisation.

  14. Quality Culture Tony Daniels, Managing Director, Tubemakers: 'We need to radically restructure our approach to business in general and Total Quality Management in particular. We could do a lot better with a Total Quality Management culture.' (Gilmour & Hunt, 1995, page 34) Judy Hopper, Senior Project Manager of J N Almgren Pty Ltd UNA): ‘Total Quality Management needs to be adopted as a way of life. It is a cultural change.’ (Gilmour & Hunt, 1995, page 504)

  15. Quality Culture Small Group Group 1.Using Goetsch & Davis 2006 (pages 176-178), describe a traditional organisation culture. Group 2.Using Goetsch & Davis 2006 (pages 176-178), describe a quality organisation culture.

  16. Quality Culture Peter Gilmour and Blair Hunt on IBM: 'As a result of IBM's long-term commitment to quality management, a quality culture is developing throughout the organisation. This ‘bank account of goodwill' and trust needed to be built up in order for employees to accept and understand the massive changes that have taken place and which will continue in the future.' (Gilmour & Hunt, 1995, page 394)

  17. Quality Culture Walters (2005) (Electronic Journal Article) suggests the need for a culture that includes: • Integrity • Leadership • Adaptability • Creativity • Engagement • Respect • Camaraderie

  18. Developing a Quality Culture Small Group You are still a senior manager wanting a quality organisation. You are ready to start planning to influence the organisation's culture. Q. What will you do to develop the right organisational culture?

  19. Developing a Quality Culture • How a quality culture is expressed is determined by the circumstances of the organisation. • There will not be a prescription. • There are many common features – 'right first time every time', and 'everyone is responsible for their own quality'. • Each organisation must look at its own values, attitudes, beliefs. • 'Culture' can be introduced in a definite and precise way using methodical approaches.

  20. Developing a Quality Culture FOCUS ON… • Formal statements of organizational philosophy, charters, creeds, and materials used for recruitment and selection, and socialisation. • Design of physical spaces, facades, and buildings. • Deliberate role modelling, teaching and coaching by leaders. • Explicit reward and status system, promotion criteria. • Stories, legends, myths and parables about key people and events. EH Schein 1983 The Role of the Founder in Creating Organizational Culture

  21. Developing a Quality Culture STEPS IN THE CONVERSION TO QUALITY… • Identify the changes needed. • Put the planned changes in writing. • Develop a plan for making the changes. • Understand the emotional transition process. • Identify key people and make them advocates. • Take a ‘hearts and minds’ approach. • Apply courtship strategies. • Support, support, support. (Goetsch & Davis 2006, pages 189-192)

  22. Developing a Quality Culture • A choice must be made between “reform of the culture [and] radical transformation”.(Particularly important for organisations which have persisted for generations through ‘cultural continuity’.) • Most organisations do not have a single unified culture – they consist of many subcultures.(Eg, flight attendants have a different culture to baggage handlers.) (Scott, Mannion, Davies & Marshall 2003, electronic journal article.)

  23. The Australian Context "There's a phrase that every Australian knows. The three words synonymous with the most optimistic qualities of our national spirit. It's a phrase heard less often these days perhaps, but one that's still reached for whenever adversity presents itself. "She'll be right". (John Spalvins, Managing Director, Adelaide Steamship Company)

  24. The United States Context • In In Search of Excellence Peters and Waterman identified eight organisational characteristics which can be seen in excellent companies. • One of these is: ‘Hands-On, Value-Driven’. • Peters and Waterman identified 10 'beliefs' which reflect a Hands-On, Value-Driven culture……

  25. In Search of Excellence • A belief in the importance of enjoying one's work. • A belief in being the best. • A belief that people should be innovators and take risks, without feeling that they will be punished if they fail. • A belief in the importance of attending to details. • A belief in the importance of people as individuals. • A belief in superior quality and service.

  26. In Search of Excellence • A belief in the importance of informality to improve the flow of communication. • A belief in the importance of economic growth and profits. • A belief in the importance of 'hands-on' management; the notion that managers should be doers, not just planners and administrators. • A belief in the importance of a recognised organisational philosophy developed and supported by those at the top.

  27. Maintaining a Quality Culture Small Group You are still a senior manager, and your organisation has progressed well in developing into a quality organisation. Q. What will you do to maintain your quality organisational culture?

  28. Maintaining a Quality Culture Don’t stop with implementation. We are just getting started… • Maintain an awareness of quality as a key cultural issue. • Make sure there is plenty of evidence of management’s leadership. • Empower employees and encourage self-development and self-initiative. • Keep employees involved. • Recognise and reward the behaviours that nurture and maintain the quality culture. (Frank Gryna, from Goetsch & Davis 2006, pages 192-193)

  29. Conclusion • Recap of Module 3 • Module Introduction • Organisational Culture • Encouraging Culture Change • TQM/Quality and Culture • Developing a Quality Culture • The Australian Context • The USA Context • Maintaining a Quality Culture

  30. Next Week • Week 5“Quality and the Customer”. • Study Guide • Goetsch & Davis (2006)Chapter 7. Customer Satisfaction, Retention and Loyalty • Four (4) electronic journal articles (Proquest)

  31. Questions?

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