Importance of TQM and Six Sigma in Industries

Running head: TQM AND SIX SIGMA IN INDUSTRIES
TQM and Six Sigma in Industries
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TQM AND SIX SIGMA IN INDUSTRIES
Table of Contents
Introduction:...............................................................................................................................3
TQM 14 points:..........................................................................................................................3
Six Sigma – Some companies do not use it:..............................................................................5
Role of technology in Six Sigma:..............................................................................................5
Difficulty some companies face in application of Six Sigma:...............................................6
Influence of TQM and Six Sigma on supply chain:...................................................................7
Gap Analysis:.............................................................................................................................7
Steps of operation in flow chart:............................................................................................8
True quality applied:..............................................................................................................8
Global quality:........................................................................................................................9
Function quality:....................................................................................................................9
Steps of recognition of error in flowchart:.............................................................................9
Areas of mistakes:................................................................................................................10
Saving and improving mistakes:..........................................................................................10
Decision tree:...........................................................................................................................11
Quality issue:........................................................................................................................12
Cost issue:............................................................................................................................12
Necessary issue:...................................................................................................................12
Recommendations (Combination of TQM and JIT approach)................................................13
Summary/Conclusion:..............................................................................................................13

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TQM AND SIX SIGMA IN INDUSTRIES
References:...............................................................................................................................14

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TQM AND SIX SIGMA IN INDUSTRIES
Introduction:
The paper delves into the application of total quality management and Six Sigma in
business organisations. Total quality management is defined as management of modes of
operations and culture within organisations, which leads to production of higher quality
products to customers. Six Sigma is a collection of tools and techniques used to improve
manufacturing methods. The industries of today combine this two quality management tools
to obtain high quality products. Multinational companies like Ford Motor Company from the
automobile sector, Philips from electronics sector and Motorola for the telecommunications
sector use TQM. Six Sigma was introduced at Motorola by Bill Smith and Mikel J Harry and
is still in use. Some of the other companies using Six Sigma are Bank of America from the
financial industry, Amazon from ecommerce industry and Caterpilar Inc from the engineering
industry.
TQM 14 points:
Edwards Deming proposed fourteen criteria for TQM, which are as follows:
1. The manufacturing companies should aim towards improvement of their products.
2. They should always adapt to changes in the market and bring about necessary changes in
their operations.
3. The companies should not be dependent on producing high quality products merely to
qualify in quality audit. Quality should be used to gain customer satisfaction.
4. The business organisations should collaborate with a limited number of suppliers
producing high quality raw materials at economic rates instead of working with multiple