Monday, 9 July 2012

PROCESS EXCELLENCE - QUALITY PERSPECTIVE..


KVV, Satyanarayana" <kvvsatyanarayana@tuv-nord.com>
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+91 (040) 30431221
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satya@tuv-nord.com


The Golden   saying “Customer is King” is truer today than ever before. As the quality of life improves, demand   and    expectations all over the world for Consistent services & products is turning out to be the order of the day.

Quality plays a major role in the survival of any business today. Quality is given equal importance, irrespective of whether it is manufacturing set up, services or any other enterprise. Quality is an outcome of the organization’s understandings of the fundamental inter-connectedness of structure, processes and outcome.
An organization needs to design excellent   processes to achieve high quality of   product   or service.

Success in the 21st Century is all about performing with passion & perfection, leading to excellence in all processes that we undertake.

Any business entity has three key functions, namely, Marketing, Operations and Finance. Managers & Leaders have   challenging goals particularly, in operations.
Operational excellence in terms of Productivity and Customer delight   are the   drivers to sustained outperformance.
To achieve excellence in operations, there are certain proven tools   techniques      methodologies and systems such   as

  • Standardization and simplification
  • Reliability and redundancy
  • Value engineering
  • Ergonomic considerations
  • JIT,
  • Group Technology
  • Work measurement & Time study
  • Work sampling,
  •  learning curves
  • total productive maintenance
  • 5 S concept
  • Quality circles
  • Management  systems   (  ISO9001,  EMS 14001, ISMS 27001  CMMI, OHSAS18001)
  •  Process  management  coupled   with   PDCA
  • 7   QC  TOOLS
  • FMEA
     Brief   note   on few   of the   above mentioned are:
5S-   This   is  the  basic  foundation   initiative   to   surface  out  abnormalities  either  in   Industries  or  in services  and  for   Better workplace management
5S is    Japanese   technique   comprising   the following   five steps
      Seiri. (sorting), Seiton (Straightening or orderly arrangement), Seiso (Shining &
      cleaning machines and work  place), Seiketsu (Standardising & personal upkeep)
      & Shitsuke. (Sustaining the practice).
     Seven Wastes- These  are  sometimes  are  called  as   7  deadly  disease which 
      an  organization must avoid.   
        Overproduction: reduce by producing only what is needed as & when it is needed.
        Waiting: synchronize the workflow.
        Transportation: minimize transport with better layouts.
        Processing: “Why do we need this process at all?”
        Stock: reduce inventories.
        Motion: reduce wasted employee motions
        Product defect: Focus on doing it right first time.
 By    avoiding   the above, productivity  and  operational  excellence  would   certainly   improve on sustainable  basis.

       T P M (Total   productive   maintenance)- To prevent equipment related losses viz.,
          Break down loss
          Set up and adjustment loss
          Speed loss
          Defective work loss
      7QC  TOOLS  :The QC tools are techniques in QC activities for discovering problems, organizing information, generating ideas, analyzing causes, taking action, effecting improvements and establishing controls   to  improve  performance.
 The seven tools used for, Generation of ideas, Decision making, Data presentation, Data collection, Analysis are:
§  Cause-and-effect or Ishikawa diagrams
§  Histogram
§  Stratification (alternately, flow chart or run chart)
 
  Statistical Process Control (SPC)
          A quantitative method for determining whether a particular process is in or out of control.
          Application  of  this   tool   ensures  the  predictability  and   process  out   stability  and  avoid  inspection 

Kaizen: Kaizen is the Japanese philosophy of continuous improvement by all the    employees in an organization, so that they perform their tasks a little better each day. It is a never ending journey centered on the concept of starting new each day with the principle that the methods can always be improved.


           FMEA: FEMA (Failure Modes and Effects Analysis) is a structured analysis for identifying ways & methods in which the product or processes can fail and then plan to prevent those failures. FMEA is a proactive tool for reducing defects and non-conformities.

      Quality circles: Quality circle is a small group of voluntary members under the
      leadership of their supervisor, trained to identify, analyze and solve work-related
      problems and present their solutions to management, to improve the
      performance of the organization,
Globally, there are a number of awards and recognitions provided by different programs and organizations to encourage the organizations to focus on quality and excellence in processes.
Some of them are:

·         Baldridge National Quality Program- USA

The award is given by the president  of  USA in areas of manufacturing, education,
and health care to recognize the quality and excellence in US firms based on the
following criteria:  leadership; strategic  planning; customer and market focus;
measurement, analysis, and knowledge management; human resource focus;
 process management; and business results.  

·         European Foundation of Quality Management- Europe

The European Foundation of Quality Management is an organization that provides businesses in Europe a model wherein they could gain efficiency, effectiveness and competitive advantage. (2007) The excellence award is given to organizations who have effectively implemented the EFQM Excellence Model on their operations
 
·         Japan Quality Award
Japan Quality Award  is provided by the Japan Productivity Center for Socio-Economic
Development (JPC-SED) to encourage innovation and the transformation
of management systems in Japan into customer-oriented structures.

·         Asia-Pacific Quality Organization (APQO)

APQO Awards is for the  businesses and companies in Asia and the surrounding
 countries in the  Pacific Rim to promote the development in the quality of the goods
services as well as the quality of life of people on an international scale.

·         Australian Organization for Quality

           The Gold Award is given by the Australian Organization for Quality by assessing the
          quality management principles of the nominees on the dimensions of  learning; positivity;
          achievement; leadership; sustainability.

          In India we have many National awards for quality excellence sponsored by pioneering
          organizations. Some of the popular National Quality Awards are:
·                             Golden Peacock Awards:
Golden Peacock Awards, instituted by Institute of Directors in 1992, are now regarded as holy grail of Corporate Excellence worldwide. The Award applications are assessed at 3 three levels by independent assessors and finally by a grand Jury. The Global Awards are finalized by a Jury headed by Dr. Ola Ullsten, former Prime Minister of Sweden. The Awards are bestowed annually and are designed to encourage total improvement in each sector of our business.All institutions whether public, private, non-profit, government, business, manufacturing and service sector are eligible to apply. Leadership Awards are determined through nomination. They provide not only worldwide recognition and prestige but also a competitive advantage in driving business in this tumultuous world under Golden Peacock Award models.

·         The Rajiv Gandhi National Quality Award;
Rajiv Gandhi National Quality Award was instituted by the Bureau of Indian Standards in 1991, with a view to encouraging Indian manufacturing and service organizations to strive for excellence and giving special recognition to those who are considered to be the leaders of quality movement in India.   This award is intended to generate interest and involvement of Indian Industry in quality programmes, drive our products and services to higher levels of quality and equip our Industry to meet the challenges of domestic and International markets.


  • IMC Ramakrishna Bajaj National Quality Award.
The IMC Ramkrishna Bajaj National Quality Awards was instituted in 1996 to give special recognition to excellence in organizations.  The Award Criteria emphasize : openness and transparency in governance and ethics: the need to create value for customers and the business: and the challenges of rapid innovation and capitalizing on your knowledge assets. Whether a business is small or large, is involved in service, manufacturing, health care, education,  or has one office or multiple sites across the globe, the Criteria provide a valuable framework that can help the organization, plan in an  uncertain environment.  The Criteria can also help in aligning resources and approaches such as ISO 9000, Six Sigma, Lean Enterprise System and International Quality Maturity Model, improve communication, productivity, quality, effectiveness and customer satisfaction ; and achieve strategic goals on the journey to the vision.


   CII-EXIM   Model for Business Excellence
CII and Export Import Bank of India have, in 1994, jointly established the CII-EXIM Bank Award for Business Excellence, with the aim of enhancing the Competitiveness of India Inc. The Award is based on the internationally recognized EFQM Excellence Model.


Essentially the model tells us that,  “Excellent results with respect to performance, customers, people and society are achieved through leadership driving policy and strategy, people, partnerships resources, and processes.”
Organizations are assessed on their standing with respect to the above model and the best organization in the respective category wins this prestigious award.

These Quality Awards go a long way in encouraging the organizations in aiming for excellence in their processes and deliverables and stay ahead of their competition.
Apart from their urge to provide the best to their customers in a standardized manner, these awards when achieved, improve the image of the organizations dramatically. Even otherwise, trying for these awards sincerely throws up the weakness areas to be rectified and improved upon thus resulting in long term benefits to the organizations.

There are many approaches to achieving excellence in organizations.  However the top management on their journey to achieving excellence needs criteria of framework that would enable them to measure their performance.  This framework should be universally acceptable, objectively measure performance, be easily understandable and indicate the quality of management so that the gaps in the achievements can be identified and suitable actions initiated.  But, whatever be the framework or model, some elements remain fundamental in relation to performance to excellence in organizations.
Process excellence comes by way of:

--Challenging the status quo and effecting change by using learning to create innovation and improvement opportunities

-- Maximizing the contribution of employees through their development and involvement

-- managing the organization through a set of interdependent and interrelated systems, processes and facts   &

- a  leadership  that is focused on  pursuit of excellence as a  strategy.

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