Chapter 2
Quality Management
Operations Management - 6th Edition
Roberta Russell & Bernard W. Taylor, III
Copyright 2009 John Wiley & Sons, Inc.
Beni Asllani
University of Tennessee at Chattanooga
Lecture Outline
What Is Quality?
Evolution of Quality
Management
Quality Tools
TQM and QMS
Focus of Quality
Management—
Customers
Role of Employees in
Quality Improvement
Copyright 2009 John Wiley & Sons, Inc.
Quality in Service
Companies
Six Sigma
Cost of Quality
Effect of Quality
Management on
Productivity
Quality Awards
ISO 9000
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What Is Quality?
Oxford American Dictionary
a degree or level of excellence
American Society for Quality
totality of features and characteristics that satisfy needs without deficiencies
Consumer’s and producer’s perspective Copyright 2009 John Wiley & Sons, Inc.
2-3
What Is Quality:
Customer’s Perspective
Fitness for use
how well product or service does what it is supposed to
Quality of design
designing quality characteristics into a product or service
A Mercedes and a Ford are equally “fit for use,” but with different design dimensions.
Copyright 2009 John Wiley & Sons, Inc.
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Dimensions of Quality:
Manufactured Products
Performance
basic operating characteristics of a product; how well a car handles or its gas mileage
Features
“extra” items added to basic features, such as a stereo CD or a leather interior in a car
Reliability
probability that a product will operate properly within an expected time frame; that is, a TV will work without repair for about seven years
Copyright 2009 John Wiley & Sons, Inc.
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Dimensions of Quality:
Manufactured Products (cont.)
Conformance
degree to which a product meets pre–established standards Durability
how long product lasts before replacement; with care, L.L.Bean boots may last a lifetime
Serviceability
ease of getting repairs, speed of repairs, courtesy and competence of repair person
Copyright 2009 John Wiley & Sons, Inc.
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Dimensions of Quality:
Manufactured Products (cont.)
Aesthetics
how a product looks, feels, sounds, smells, or tastes
Safety
assurance that customer will not suffer injury or harm from a product; an especially important consideration for automobiles Perceptions
subjective perceptions based on brand name, advertising, and like
Copyright 2009 John Wiley & Sons, Inc.
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Dimensions of Quality:
Services
Time and timeliness
how long must a customer wait for service, and is it completed on time?
is an overnight package delivered overnight?
Completeness:
is everything customer asked for provided?
is a mail order from a catalogue company complete when delivered?
Copyright 2009 John Wiley & Sons, Inc.
2-8
Dimensions of Quality:
Service (cont.)
Courtesy:
how are customers treated by employees?
are catalogue phone operators nice and are their voices pleasant?
Consistency
is same level of service provided to each customer each time?
is your newspaper delivered on time every morning? Copyright 2009 John Wiley & Sons, Inc.
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Dimensions of Quality:
Service (cont.)
Accessibility and convenience
how easy is it to obtain service?
does service representative answer you calls quickly?
Accuracy
is service performed right every time?
is your bank or credit card statement correct every month?
Responsiveness
how well does company react to unusual situations?
how well is a telephone operator able to respond to a customer’s questions?
Copyright 2009 John Wiley & Sons, Inc.
2-10
What Is Quality:
Producer’s Perspective
Quality of conformance
making sure product or service is produced according to design
if new tires do not conform to specifications, they wobble if a hotel room is not clean when a guest checks in, hotel is not functioning according to specifications of its design
Copyright 2009 John Wiley & Sons, Inc.