ALLAMA IQBAL OPEN UNIVERSITY

Course Quality Management

Level COL.MBA/MPA

Course Code 5575

Topic Assigned Challenges of Quality Professionals

Name of Tutor

Name of Student Syed Umair Rizvi

Roll No BN527843

Semester Spring-2018

Page 1 of 21
Introduction

Quality assurance (QA) is a way of preventing mistakes and defects in manufactured

products and avoiding problems when delivering solutions or services to customers; which
ISO 9000 defines as "part of quality management focused on providing confidence that
quality requirements will be fulfilled". This defect prevention in quality assurance differs
subtly from defect detection and rejection in quality control, and has been referred to as a
shift left as it focuses on quality earlier in the process i.e. to the left of a linear process
diagram reading left to right.

The terms "quality assurance" and "quality control" are often used interchangeably to refer to
ways of ensuring the quality of a service or product. For instance, the term "assurance" is
often used as follows: Implementation of inspection and structured testing as a measure of
quality assurance in a television set software project at Philips Semiconductors is described.
The term "control", however, is used to describe the fifth phase of the Define, Measure,
Analyze, Improve, Control (DMAIC) model. DMAIC is a data-driven quality strategy used
to improve processes.

Quality assurance comprises administrative and procedural activities implemented in a

quality system so that requirements and goals for a product, service or activity will be
fulfilled. It is the systematic measurement, comparison with a standard, monitoring of
processes and an associated feedback loop that confers error prevention. This can be
contrasted with quality control, which is focused on process output.

Quality assurance includes two principles: "Fit for purpose" (the product should be suitable
for the intended purpose); and "right first time" (mistakes should be eliminated). QA includes
management of the quality of raw materials, assemblies, products and components, services
related to production, and management, production and inspection processes. The two
principles also manifest before the background of developing (engineering) a novel technical
product: The task of engineering is to make it work once, while the task of quality assurance
is to make it work all the time.

Historically, defining what suitable product or service quality means has been a more
difficult process, determined in many ways, from the subjective user-based approach that
contains "the different weights that individuals normally attach to quality characteristics," to

Page 2 of 21
the value-based approach which finds consumers linking quality to price and making overall
conclusions of quality based on such a relationship.

Quality Management Goals and Challenges

Mehul and I began our interactive session by discussing some our findings on contemporary
goals and challenges in quality management. The crowd of about 80 quality and supply chain
professionals from across the U.S. and around the globe were eager to hear about new trends,
but also to engage with their counterparts and talk about some of the obstacles they faced in
their own quality programs.

In advance of the session we polled attendees to learn about what they view as some of their
key challenges, and then we were able to compare audience responses to our research
findings. What we learned is that the top goals and challenges attendees said they were facing
are very much in line with the results of our recent survey on quality management. Here are
some of the key takeaways:

 Financial goals: We asked participants to share what they thought were their
organization's top financial objectives. The answer was a resounding “grow revenue,”
with about 67% of respondents indicating this was their top financial goal. This aligns
well with the findings of our 2013 quality survey, where well over half of all
respondents indicated it was also the top priority.

It is interesting to see how different this result is today compared to what it would
have been five years ago. At the height of the global economic downturn, we would
have seen organizations more focused on cutting costs. Now, we’re seeing a more
aggressive character to the market, with a higher level of comfort with economic
conditions and a focus on building revenue.

 Operational objectives: When asked what their top operational objectives were, just
under 70% of the audience stated improving manufacturing efficiency was the
number-one goal. This was also the result of our quality survey, where most
manufacturers said efficiency improvements ranked number one.
 Quality focus: The LNS team asked participants what their top quality management
priorities were. Here we had an interesting split. About a third ranked “reducing the

Page 3 of 21
  total cost of quality” as number one, while another third said “reducing non-
conformances in manufacturing” was their top quality objective. We saw a similar
result in our quality survey, though batch manufacturers tended to place a higher
importance on reducing non-conformances, with 28% ranking it number one, as
opposed to process manufacturers, where only 14% called it a top priority.

Quality Challenges Resonate Across Industries

After discussing top-ranking goals, we had the opportunity to dive a little deeper into some of
the key challenges organizations are facing these days. As with our quality survey, we found
four key issues resonated with all attendees.

1. The Cultural Divide

As with our quality survey, we see there’s a serious cultural gap pervading manufacturing
these days, and it lies in the fact “quality” is widely viewed as a department more than a
companywide responsibility. Though proper quality management actually pervades all
aspects of an organization, right across the value chain–from design, to manufacturing, to
customer service and beyond–too often quality professionals think it just isn’t taken seriously
enough.

Interestingly, this speaks towards overall quality management effectiveness, but also to that
critically important aspect of an organization that can be elusive to define, and even harder to
correct: corporate culture. Clearly, quality management professionals view themselves as in
something of a box, apart from the rest of their companies, when in fact their work needs to
pervade all aspects of corporate activity. So now that this is coming to light, we expect
organizations should begin to tune in from the top down and start to look at change
management programs that help integrate quality performance into all aspects of corporate
activity, end to end.

2. Poor Measurement of Metrics

Between our discussion at the session and recent survey results, it is clear: manufacturers
don’t feel they are getting the right data. We’ve talked about the ‘noise’ that’s created when
too much data is collected, or when irrelevant data land in the wrong hands. Manufacturers

Page 4 of 21
are feeling increasing strain trying to sift through the flood of data they are collecting to find
the most important metrics that can actually improve performance correct issues.

This aligns well with the trend we’re seeing with Big Data: with more and more information,
with torrents of data, it’s becoming harder and harder to determine which metrics actually
matter. This is a nascent challenge for manufacturing, and we expect it will continue to grow
as we gain access to more and more performance data surrounding every link in the value
chain.

3. Disparate Systems = Desperation for Data

Another resonant concern we heard at the conference is that organizations are struggling to
handle a variety of disparate systems and data sources across their quality programs. As we
know, SPC software is but one piece of the quality management pie, and the right software
should play well with its counterparts across the quality software spectrum.

However, this seems to rarely actually occur, and businesses continue to grapple with the
need to better integrate legacy systems with newly acquired software and emerging
applications. However, as quality leaders become increasingly cognizant of these issues, we
expect to see strategies that take these factors into account.

4. Supply the Supplier Data

If we thought businesses are having a tough time getting their own systems to play well
together, imagine the challenge of getting supplier systems on board. It is no secret that end-
to-end visibility into quality management is becoming a greater concern for many industries–
particularly life sciences and food and beverage, where such visibility is becoming more a
key requirement of doing business than a ‘nice to have’–and this trend isn’t going anywhere
anytime soon. Yet getting timely, relevant, accurate supplier data is still a top-of-mind
challenge for industries across the spectrum and streamlining the collection and availability
of this data will be a key consideration in the months and years ahead.

Top 8 challenges with quality management

1. Too much theory
Organizations that are striving for perfection often go overboard. In an attempt to implement
the “perfect” Quality Management System, they often focus more on theory than on putting
theory into practice.
Page 5 of 21
The perfect QMS doesn’t exist, but every QMS can and should be improved over time. When
designing a QMS, make sure it is practical for the company. Theory is useless when you
don’t put it into practice. Focus on the theory, but focus even more on the implementation of
that theory and the added value for your organization.

2. Too much documentation

Many organizations create way too many documents; sometimes even to such an extent that
the documentation starts hindering the functioning of the Quality Management System. In
such cases, employees can get lost in the documentation and they may lose interest in the
QMS. As a result, the QMS will not yield the expected results.

Lesson 2: The objective of a QMS is not to create paperwork, but to formalize the right
information (to be more efficient) at the right time. Make sure that your documentation
supports the communication of information, proof of compliance (evidence of results
achieved) and knowledge sharing and that it never hinders your daily operations.

3. Too many details

Organizations often want their documentation to include as many details as possible.
Evidently, this takes time and resources, and will result in a more difficult application of the
documentation.

Lesson 3: Make sure that your documentation is compliant with all the laws and regulations
and that it supports (and doesn’t hinder) the different activities of your company. Some
documents may require a high level of detail, others don’t. It is up to you to choose the
appropriate level of detail for your situation. Think lean: include all and only the most
important information at the right time.

4. Too much rigidity

If your Quality Management System is too rigid and inflexible it will be difficult to improve
when necessary. As a result, it may not guarantee the best results for the future.

Lesson 4: Customer requirements and organizations are constantly evolving. Therefore,

Quality Management Systems must evolve as well. They must be improved over time to
remain consistent with the changing circumstances of your business. This will improve your
performance and enable you to seize new opportunities.

Page 6 of 21
5. Not enough implication and communication
From time to time, a Quality Management System is only supported by the Quality
Manager(s). In such cases, colleagues often think that the QMS ‘belongs’ to the people who
created it and -as a consequence – they don’t actively contribute to the quality system.
Instead, they just ‘follow’ the QMS whenever necessary.

Lesson 5: Make sure your staff members clearly understand their role and responsibilities in
the Quality Management System. Otherwise they won’t feel part of the system. You need the
full support of your entire organization to get the desired results.

It takes great leadership and communication skills to get the most from a QMS. If you inform
your staff about successes and challenges it will serve as a motivation, and if you share
lessons learned it will start discussions that will prevent you from making the same mistakes
again.

6. Not enough motivation

When organizations implement a QMS because of external factors only (e.g. a client
demands a certified QMS, competitors have an advantage because they are certified and you
are not), it will be hard to get the best results from your QMS.

Lesson 6: Top management and staff should be fully on board and intrinsically motivated to
get the best results from your QMS. Everyone must feel responsible for the overall quality of
the product(s) or service(s) you offer and everyone should know his/her role in the QMS.

7. Not suitable enough

Sometimes a Quality Management System is ‘delivered’ as a ‘ready to use’ system.
However, if a QMS is out of sync with the company’s strategy and operations, it will be very
difficult to get the results you want.

Lesson 7: Quality Management Systems such as ISO 9001 are based on the obligation of
results but not on the obligation of how to reach them. It is up to the company to choose the
way that suits them most, so set up your Quality Management System in a way that fully
supports your staff, processes and business.

Page 7 of 21
8. Not enough attention to customers
We often see that companies are focused on quality but not so much on customer satisfaction.

Lesson 8: Without your customers, there is no business. Never forget that Quality
Management Systems such as ISO 9001 are based on customer satisfaction. The goal is to
achieve and maintain customer confidence. Therefore, it is necessary to know your
customers’ requirements and expectations and to measure your customers’ satisfaction
continuously.

How to successfully implement a Quality Management System

The following 8 tips may help you to successfully implement your next Quality Management
System:

 Implement a QMS that is practical for your business

 Develop effective document management in line with your activities
 Use a level of detail that is appropriate for your activities
 Stay aware of changes to continually improve your system
 Involve your staff and communicate their roles and responsibilities
 Make sure all stakeholders are intrinsically motivated
 Set up a system that suits you
 Stay focused on customer satisfaction

Important Sub Topic

Literature Review:

TQM is the process of practicing the quality tools and techniques to improve the quality of
processes and products continuously. Continuous improvement practices increases the
quality of products and satisfies the customers. Any auto company serves more number of
customers, so the understanding of customer requirements is a factor of TQM and it helps in
finding the updated customer needs. The best practices of organizational culture values
positively impacted the critical success factors of TQM and improved the quality,
performance of hospital services and improved the client’s satisfaction. In a case study, it
Page 8 of 21
was found that, the ISO 9000 certification influences the organizational performance and
further practices of TQM will enhance the growth in quality and gained manufacturing
excellence awards.
Here is a case study to know the effectiveness of participating in quality award processes.
Found that participation in quality award process strengthened their quality improvement
process and gained quality awards. Bench marking practices is one of the TQM techniques,
practiced in this case study it is suggested that bench marking visits are a cost to business and
should therefore be designed and executed with out most care to achieve desired outcomes.
Theoretical studies said that joint implementation of JIT and TQM in the industries are
outperforming in improving the quality of products and processes as well as customer
satisfaction.
This case study is conducted to know the propensity of employees to stay in the TQM
Company. It was found that by proper training the employees on TQM elements, there is no
chance of leaving employees from the existing company due to the TQM implementation
process.
In different case studies at different company’s ranges from auto manufacturing, Xerox
companies to service organization etc; on leadership role in TQM implementation process.
Found that the strong leadership practices helped the various organization in improving the
quality and performance, through successfully implementing TQM.
A case study is conducted at XYZ Company to identify CSF’s and problem faced during the
ISO 9000 certification maintenance process for its sustainability. The problems avoided
through best practices of TQM such as the committed leadership of top management changed
the OC, attitudes, behavior of the employees through various supportive actions such as
training, team building, suggestion schemes and reward systems. This case study suggested
that by identifying and best performing the CSF’s of TQM will helps in solving the problems
and improves the sustainability of ISO 9000 certification maintenance process. A case study
conducted on industries in Pakistan to know the level of usage of TQM tools and technique
and to know the level of training given to the employees to improve their quality
performances. Most of the Pakistani industries (manufacturing, service and corporate) are
small in size, having ISO 9000 certification were enthusiastically practicing TQM tools and
techniques and training their employees on TQM philosophy to enhance their productivity
and improve their quality of products and processes. These small industries are not only

Page 9 of 21
practicing simple TQM tools but also advanced TQM tools and techniques such as QFD,
DOE etc; to gain the competitive edge and customer satisfaction.

A case study at pharmaceutical industries to implement the QM

philosophy

With an exhaustive literature survey they have identified CSF’s and TQM tools and
techniques practiced effectively and implemented successfully. During the implementation
process they faced the various barriers such as lack of management support, lack of
cooperation between the employees, lack of understanding team building approach etc.
The pharmaceutical industries are successfully implemented TQM and gained competitive
strength, increased productivity, reduced quality costs and increased sale and profits. With
these extensive literature studies it was found that implementation of TQM elements plays
vital role in gaining the competitive edge and customer satisfaction.

Gaps observed in the literature and fill those gaps through this case study:

Most of the case studies have been conducted outside countries and have showed the positive
results on TQM implementation process.
There is a need of Pakistani industries should give importance to TQM philosophy and its
implementation process, specifically in the auto industries.
Specific TQM frameworks for auto companies are limited in the literature.
Designed a specific TQM framework for Pakistani auto companies through this case study
work at an XYZ company.
Mainly the lack of knowledge on CSF’s of TQM and its positive impact on organizational
performances by Pakistani auto industries.
Designed a framework comprises of different CSF’s of TQM through this case study.
Lack of confidence on TQM benefits by the top management of the companies.
Lack of training on TQM tools and techniques
Lack of improving customer satisfaction methods in the companies.
Used training methodology to gain the confidence on TQM philosophy and its
implementation benefits.
Page 10 of 21
About the Company

XYZ auto-company is having more than 1000 employees all together. It is located in one of
the Provincial capitals of Pakistan. It has a quality department headed by Sr. manager and
having managers, engineers, supervisors and inspection operators and altogether 100
employees in the quality department. The quality department has its sub departments in all
manufacturing shop floors. Such as quality sub dept. in press shop, machine shop, polishing
and assembly etc.
Quality team work towards minimizing the defect part flow rate from one shop floor to the
shop floor by conducting intermittent inspection of processes, product dimensions and
specifications. Periodical inspection reports were developed and sent to the Sr. Management
and Top management. Continuous monitoring of processes, machinery and products
enhances the satisfaction level of all the employees, management and finally the customers.
The quality team of the company works towards, achieving the zero defect policy by
implementing and best practicing TQM tools and techniques.
Head of the Department of quality conducts meetings with other dept. Sr. Managers and
Managers about the quality improvement processes, quality tools to be utilized by the shop
floor levels, the importance of quality tools and their effectiveness on the quality
improvement of products and processes. He also discusses about the support and
requirements if any needed by the manufacturing team to gain the skills and knowledge about
the TQM tools and techniques and their practices.
Head of the Department of the quality also conducts the brain storming sessions for quality
improvement in all the processes starting from supplier inputs, manufacturing processes,
products, policies, customer satisfaction principles and methods. In this brain storming
session all the specific field experts will be participated in conducive environment to get the
solid inputs to the quality improvement and quality development processes. The suggested
and finalized minutes of meeting will be sent to the members of the committee and top
management. After getting the feedback and suggestions from the top management the
development process will be initiated by the quality department.

Page 11 of 21
QM Framework and Implementation Plan

One of the outcomes of the brainstorming session was TQM implementation in the company.
The specific field or critical areas of TQM have been identified in the brainstorming sessions.
The identified areas also known as critical success factors (CSF’s) of TQM. These factors
also again classified as “Soft elements of TQM” and “Hard elements of TQM”. The soft
elements are human and cultural development activities for understand about the TQM and
tries to support the TQM implementation process. The hard elements are to be best practiced
and performed during the TQM implementation process. With this understanding about TQM
elements, designed a TQM framework for this case company according to the company
requirements and policy. The framework comprises of various factors having great value
according to the literature studies. In most of the literature and also in the company
brainstorming session identified factors of TQM are to be implemented and best practiced for
gaining the manufacturing excellence, improving the quality and productivity.
The TQM framework CSF’s are as follows:
• Top management support.
• Supplier quality improvement (input materials quality)
• Leadership development
• Manufacturing process management (products quality)
• Training and involvement of employees
• TQM tools and techniques
• Customer satisfaction (Output products quality)
These CSF’s have been further divided in to soft and hard TQM elements for the ease of
understanding and implementation purpose.
Soft TQM Elements
• Top management support
• Leadership development
• Training and involvement of employees Hard TQM Elements

Hard QM Elements

• Supplier quality improvement

• Manufacturing process management
Page 12 of 21
• TQM tools and techniques
• Customer satisfaction
With the above factors a simple TQM framework has been framed to better understanding
and best practicing to gain the manufacturing quality excellence awards has been shown in
the figure 1: In the case study process the following questions have been asked with
responsible top management and middle management team.
Top Management Support for QM Framework to be Implemented

Top management of XYZ Company is comprised of Management Director, Executive

Director, GM’s, DGM’s of different departments. Top management also conducted a meeting
to discuss the proposed TQM model to be implemented. Positive direction came from the top
management meeting and accepted to support the proposed model or framework. Top
management has taken the decision to implement the proposed model. Top management
nominated some names of managers, engineers, supervisors and employees to form a quality
circle or TQM implementation team headed by a head of the dept. of quality. Top
management has assured to support in all respects to implement the TQM excellence model
successfully. The top management suggested providing the development reports every week
end by the leader of the TQM team. The TQM implementation team head accepted the
responsibility and planned to start the work of TQM implementation process.

Leadership Development Program for QM Team Members

In this leadership development program, the TQM team planned to take the training on TQM
implementation process and roles to be played by the leaders during the TQM
implementation. The team has been undergone training in two phase. In first phase the
training took place at the institute where the theoretical training and software package
training will be given. Some of the leadership activities, behavioral aspects and cultural
aspects to be improved by the leaders also covered in this training. The second phase of
training was took place at already TQM implemented company. Where the training was took
place to know the barriers, problems, bottlenecks faced by the industry and also how they
have been rectified. Most of the Sr. Managers of the industry took training classes and shared
their experiences, like resistance from the employees, lack of resources, lack of middle
management support etc; have been covered.
Page 13 of 21
The following questions have been cleared during the training process:
What types of TQM tools and techniques have to be implemented?
Which type of software packages they are using to improve the quality of process?
In this training and development process, they spared two days especially for the leadership
improvement program. The leaders have been given training on the roles to be played by the
leaders, how to motivate the employees, how to involve the employees in problem solving
techniques and how to participate actively in productivity and performance improvement etc;
How to reduce the bossism or old leadership of autocratic behavior of the managers and how
to improve the cooperative leadership skills have been explained very well with some case
examples.
With these two phases of training and development the TQM team has been gained the
knowledge and skills in:
• TQM tools and techniques
• Software utilized in quality improvement
• Leadership roles to be played
• TQM implementation procedures
• Changed managerial behaviors etc.

Training and Involvement of Employees in QM Implementation Process

The training was given to all the employees on TQM procedures, tools, techniques, quality
monitoring systems and explained the advantages of TQM implementation processes.
Training also emphasized on the satisfaction of internal and external customers. In the
training process specific training has been given to the employees to actively participate in
problem solving skills and continuous quality improvement processes. Some of the
employees, who are working in quality dept., were given specialized training in data
collection, data analysis and carrying out statistical process control techniques. In the TQM
implementation training employees have been motivated to learn cooperative working, take
individual responsibilities and learn safety habits and changed working habits. The TQM
implementation process motivated the employees to participate in suggestion scheme through
filled in format. The recognized employees have been given training on conducting DOE and
SPC techniques to improve the standards of product specifications.

Page 14 of 21
Suppliers Quality Improvement Measures

The costs of input materials (raw materials) are more than the operational costs in the
industry. So, the quality of input materials considered as highly important to the company.
Supplier quality improvement process plays very important role in reducing the quality costs
and improving the quality of input materials. Supplier quality may be improved by the
following methods:
Involving the suppliers in the new product development process:
• Training the suppliers on the quality systems
• Frequent visits to the suppliers companies
• Financial and technical support to implement TQM
• Timely payments to suppliers
• Transference in information sharing
Some of the nearest and reliable suppliers will be continuously helped by providing technical
guidance to produce the goods to conformance to requirements. The suppliers are also
supported to best practice the TQM tools and techniques, such as histogram, perato diagram,
control charts, cause and effect diagram to eliminate the cause of variations in the
manufacturing processes. By developing and maintaining long term relationships with
suppliers, frequent deliveries, improved quality and reduced cost of input materials has been
achieved in the company.

Manufacturing Process Management Measures for Quality Improvement

Managing the processes to the required levels leads to produce improved quality of products,
optimum utilization of quality tools to reduced percentage of rejection levels, reduced
percentage of rework levels, minimize wastage, improved satisfaction of employees,
improved employee productivity and so on. The company TQM team decided to implement
the manufacturing process management technique to gain the manufacturing excellence
awards.
The main functions of manufacturing process management are:
• Process planning
• Process design
• Process control
• Process measurement
Page 15 of 21
Always the TQM team followed the process planning procedure to produce any product.
Processes are planned to produce optimally with required quality. A good process design
helps in reducing the process defects. A systematic approach for process planning is essential
for achieving the process goals. That is planning the processes, design the processes, control
the processes and measure the processes systematically to produce the products with
specified quality standards. Close control of processes are achieved by continuously
measuring the process variations and make the adjustments in the processes if any variations
are falling outside the controlling limits. TQM tools and techniques, such as SPC and
preventive maintenance techniques have been extensively utilized to improve the process
quality and improve the machine efficiency.

Best Practices of QM Tools and Techniques to Improve the Quality of Processes and
Products Continuously

During management development and employee training program all the managers and
employees have been given training on the TQM tools and techniques. Now these tools and
techniques have to be practiced in the manufacturing quality improvement process. Most of
the TQM tools and techniques observed in the literature are as follows:
• Statistical quality control
• Statistical process control
• Control charts
• Data collection and analysis
• Histogram
• Pareto charts
• Stratification diagram
• Scatter plots
• Cause and effect diagram
• FMEA
• Bench marking
These tools and techniques are utilized to control the process quality, product quality, quality
of cutting tools, raw materials quality and to achieve the benchmark standards etc;. By best
practicing these tools and techniques systematically the products produced met the customer
requirements and satisfied the customers. The bench marking process is also one of the TQM

Page 16 of 21
techniques to improve the quality and improve the production targets. In the auto company
the bench marking practices are properly implemented to enhance the technology up
gradation, increase production capabilities, to improve quality standards and to satisfy the
end customers with innovative products.

Customer Focus and Customer Satisfaction Measures

XYZ auto-company supplies its parts and components to three large scale auto companies.
Company gets orders in frequent intervals depending up on the performance of company
products, quality of products and quality systems followed in the company. The aim is to
keep these three customers as our regular customers and in further planned to increase the
new customer base. Due to the competitiveness, all the customers are looking for best
suppliers, certified suppliers, quick deliverable suppliers, cost cutting suppliers and award
winning suppliers etc. The objective is to become the number one suppliers to at least 5 to 7
companies. To become a regular supplier to these 7 companies, our company should be TQM
implemented company or best practicing the quality award models. Now our company is in
the process of TQM implementation and customer satisfaction is one of the criteria of
company.

The company is planning to utilize the following customer satisfaction criteria:

• Conducting customer surveys

• Customer requirement survey
• Customer feedback analysis
• Customer complaint analysis
• Customer product analysis
• Customer final products analysis
• Customer relationship management
• Customer satisfaction index determination
• Commitment to customers
The company TQM implementation team has suggested above techniques to be practiced by
the marketing and sales departments. Weekly reports on customer satisfaction criteria should
be sent to the TQM team by the marketing and sales personnel. Regular customer feedback

Page 17 of 21
surveys have been conducted to assess the customer satisfaction levels and accordingly the
products quality has been improved. Identification of customer requirements with personal
contact and participating in the new product development processes are the company best
practices.
In this way the auto company has implemented TQM and satisfied the customers and gained
the manufacturing excellent awards.
The company also identified the thrust areas of customer satisfaction index (CSI) are as
follows:
• Product quality
• Product price
• Product delivery and
• Product safety

QM Implementation Outcome
After TQM implementation the materials and products with required quality flowing from
suppliers plants to manufacturing and manufacturing plants to end customers. All the quality
systems are implemented, so the quality has become the first priority in all the operations.
Suppliers are supplying the materials with required quality, in required time and with
required prices. Quality costs, quality systems in the supplier plants are always monitored
and controlled to the TQM standards. All the suppliers are encouraged to give importance to
quality, encouraged to get ISO 9000:2008 certification and to implement TQM. The suppliers
are encouraged to produce the goods world class to satisfy their customers. Manufacturing
processes are fully controlled by implementing TQM philosophy, trained manpower,
preventive maintenance, benchmarking practices etc; Manufacturing practices are updated
with enhanced techniques to improve their products quality to the world class quality. TQM
tools and techniques are implemented and best practiced to reduce the defects, minimize
wastage, control the processes, improve the production targets, reduce the machine down
time, improve the productivity and over all performance of the organization. Seven quality
improvement tools such as SPC, Pareto analysis etc; are utilized in the manufacturing and
service operations to minimize the variations in the processes and products. With improved
leadership skills the Sr. managers are performing well in getting the work done by all the

Page 18 of 21
employees in a cooperative environment. With the cooperative leadership style the managers
are able to solve the problems easily.
This TQM trained managers are performing the leadership roles in a different way that is
cooperative way to improve the quality and productivity of the employees. The leaders are
striving to improve the quality of suppliers and satisfying the customers. Leaders are always
in contact with customers to know their requirements and to get the feedback about their
products and services. Leaders in continuous improvement process, conducts various surveys
to know the changed needs of the customers. Leaders take the individual responsibility to
delight all their customers with the innovative products. Leaders constantly monitor the
customer complaints to enhance their service levels by attempting the complaints with in 24
hrs time. After TQM implementation and best practicing the customer satisfaction
techniques, the customer satisfaction index has been increased. Some of the TQM principles
have been taken serious and practiced better to enhance the customer satisfaction index. The
TQM principles includes the customer is king, customer should be treated as our own
employee, customers are the best, customer enhances the financial capabilities etc; So our
TQM trained leaders played gigantic role in satisfying the customers, retaining the customers
and enhancing the customer base. The company customers are satisfied with our quality
improved products, services, lower prizes and innovativeness in our products.

Results after QM Implementation

In the TQM implementation case study, we have utilized seven quality tools and techniques
extensively to improve the quality performances of the company.
After TQM implementation and best practicing the soft and hard TQM elements the
following results have been achieved:
• Improved leadership skills
• Improved supplier quality (reduced raw materials rejection to 4% to 1.5%)
• Frequent delivery of supplies (every alternate day)
• Reduced inventory (5 days to 2 days)
• Improved manufacturing processes (5% efficiency)
• Improved customer satisfaction
• Improved employee satisfaction
• Reduced defect rate (from 6.34% to 1.4%)

Page 19 of 21
• Reduced variations in the processes (2%)
• Reduced quality costs (from 3% to 1%)
• Reduced machine breakdown time (from 24 hrs to 8 hrs)
• Improved productivity and performance (30%)
• Increased sales (16%)
• Improved cultural habits and cooperative working etc.

Conclusions

During the case study research process identified critical success factors of TQM through
extensive literature study conducted and through brainstorming sessions in the company.
Now the case study is conducted at XYZ auto-company to know the effects of implementing
critical success factors of TQM and best practicing the TQM tools and techniques. It was
observed that the soft elements of TQM practices improve the strength for implementing
hard elements of TQM. The hard elements of TQM practices improves the quality and over
all performance of the company. All the critical success factors of TQM are to be best
practiced to gain the manufacturing excellence and quality improvement awards. It was
proved in this case study. TQM implementation and best practices of TQM tools and
techniques gained various advantages like reduced quality costs and improved customer
satisfaction.

The improved leadership skills of managers and supervisors played different role in
motivating the employees to participate in decision making process and daily problem
solving activities. Maintaining best relationship with suppliers, quality of supply services
have been improved, quality of raw materials have been received in time, reduced quality
problems from suppliers, quality management systems have been implemented in the
suppliers companies, so that the over all supply performance index is improved steeply. The
TQM implementation has impacted positively in the manufacturing quality improvement.
Employees are encouraged to participate in suggestion scheme and awarded for their best
suggestions. Employees are trained on new technology, new quality tools to improve their
quality performances. In the beginning of training process employees were scared about new
tools and technology, but later they understood the concept very well and now employing

Page 20 of 21
these tools and technology well in working. Improved morale boosts the employee
participation level. Employee satisfaction increased many fold through TQM training
process. Product rejection, rework and scrapings were reduced drastically by best practicing
the TQM tools and techniques by the shop floor employees. The TQM implementation
process provides the in depth knowledge to all the stake holders of the company about the
benefits they are going to get in future. TQM implementation has gained the competitive
edge and customer satisfaction. Tangible and intangible benefits also gained by company
after TQM implementation. Committed leadership of top management, supportive leadership
of middle management and total involvement of employees have made TQM a successful
endeavor in the company.
There were so many benefits by implementing TQM philosophy in auto companies in
Pakistan. Still there is gap in understanding the TQM philosophy and its implementation
procedure. There is an essential thing we identified is that, some certificate should be issued
for TQM implementation so that the industries should get the interest in implanting TQM
philosophy.

Page 21 of 21