QUALITY MANAGEMENT
AND
QUALITY CONTROL
QUALITY
Degree of Excellence
- refers to how good something is compared to
other similar things
Mostly a SUBJECTIVE and PERCEPTUAL
attribute
- quality is about meeting the needs and
expectation of customers
Customers needs and expectations: e.g.
1. Performance ( fit for purpose )
2. Appearance
3. Availability & Delivery
4. Reliability / Durable
5. Price / Value for money
QUALITY
If a product or service meets all those needs
– then it passes the quality test
If it doesn’t – then it is sub-standard
Why Is Quality Important for a
Business?
Meet Customer Expectations
- Regardless of what industry you’re involved in,
your customers aren’t going to choose you solely
based on price, but often on quality.
Quality is Critical to Satisfy Customers
- Quality is critical to satisfying your customers
and retaining their loyalty so they continue to buy
from you in the future. If you fail to meet
customers' expectation, they will quickly look for
alternatives.
Establish Your Reputation
- Quality reflects on your company’s reputation.
Why Is Quality Important for a
Business?
Manage Costs Effectively
- Poor quality increases costs.
Examples of Poor Quality:
o Product Fails – breakdown or unexpected wear
or tear
o Product does not perform as promised
o Product is delivered late
o Poor instructions / directions for use
o Unresponsive customer service
Why Is Quality Important for a
Business?
Cost of Poor Quality
Many costs of poor quality, including:
- Lost customers
- Cost of reworking
- Cost of replacements / refunds
- Wasted material
Poor quality is a source of competitive
disadvantage
- If competitors are achieving higher quality,
then a business will suffer
QUALITY MANAGEMENT
act of overseeing different activities and
tasks within an organization to ensure that
products and services offered, as well as the
means used to achieve them, are consistent
It helps to achieve and maintain a desired
level of quality within the organization.
also referred as TOTAL QUALITY
MANAGEMENT
KEY COMPONENTS OF QUALITY
MANAGEMENT
Quality Planning – The process of identifying the
quality standards relevant to the project and
deciding how to meet them.
Quality Improvement – The purposeful change
of a process to improve the confidence or reliability
of the outcome.
Quality Control – The continuing effort to uphold
a process’ integrity and reliability in achieving an
outcome.
Quality Assurance – The systematic or the
planned actions necessary to offer sufficient
reliability that a particular service or product will
meet the specified requirements.
PRINCIPLES OF
QUALITY MANAGEMENT
1. Customer Focus
The primary focus of any organization should be to
meet and exceed the customers’ expectations and
needs. When an organization can understand the
customers’ current and future needs and cater to
them, it results in customer loyalty, which in turn
increases revenue. The business is also able to get
new customer opportunities and satisfy them.
When business processes are more efficient, quality
is higher and more customers can be satisfied.
PRINCIPLES OF
QUALITY MANAGEMENT
2. Leadership
Good leadership results in an organization’s
success. Great leadership establishes unity and
purpose among the workforce and shareholders.
Creating a thriving company culture provides an
internal environment that allows employees to fully
utilize their potential and get actively involved in
achieving its objectives. The leaders should involve
the employees in setting clear organization goals
and objectives. It motivates employees, who can
significantly improve their productivity and loyalty.
PRINCIPLES OF
QUALITY MANAGEMENT
3. Engagement of People
Staff involvement is another fundamental principle.
The management engages staff in creating and
delivering value whether they are full-time, part-
time, outsourced or in-house. An organization
should encourage the employees to constantly
improve their skills and maintain consistency. This
principle also involves empowering the employees,
involving them in decision making and recognizing
their achievements. When people are valued, they
work to their best potential because it boosts their
confidence and their motivation. When employees
are wholly involved, it makes them feel empowered
PRINCIPLES OF
QUALITY MANAGEMENT
4. Process Approach
The performance of an organization is crucial
according to the process approach principle. The
approach emphasizes on achieving efficiency and
effectiveness in the organizational processes. The
approach entails an understanding that good
processes result in improved consistency, quicker
activities, reduced costs, waste removal and
continuous improvement. An organization is
enhanced when leaders can manage and control the
inputs and the outputs of an organization, as well as
the processes used to produce the outputs.
PRINCIPLES OF
QUALITY MANAGEMENT
5. Continuous Improvement
Every organization should come up with an
objective to be actively involved in continuous
improvement. Businesses that improve continually
experience improved performance, organizational
flexibility and increased ability to embrace new
opportunities. Businesses should be able to create
new processes continually and adapt to new market
situations.
PRINCIPLES OF
QUALITY MANAGEMENT
6. Evidence-based Decision Making
Businesses should adopt a factual approach to
decision-making. Businesses that make decisions
based on verified and analyzed data have an
improved understanding of the marketplace. They
are able to perform tasks that produce desired
results and even justify their past decisions. Factual
decision making is vital to help understand the
cause-and-effect relationships of different things
and even explain potential unintended results and
consequences.
PRINCIPLES OF
QUALITY MANAGEMENT
7. Relationship Management
Relationship management is about creating
mutually beneficial relations with supplier and
retailers. Different interested parties can impact the
company’s performance. The organization should
manage the supply chain process well and promote
the relationship between the organization and its
suppliers to optimize their impact on the company’s
performance. When an organization manages its
relationship with interested parties well, it is more
likely to achieve sustained business collaboration.
BENEFITS OF
QUALITY MANAGEMENT
It helps an organization achieve greater
consistency in tasks and activities that are involved
in the production of products and services.
It increases efficiency in processes, reduces
wastage and improves the use of time and other
resources.
It helps improve customer satisfaction.
It enables businesses to market their business
effectively and exploit new markets.
It makes it easier for businesses to integrate new
employees and thus helps businesses manage
growth more seamlessly.
It enables a business to continuously improve their
QUALITY MANAGEMENT
Bottom Line
Quality management in businesses is vital to
ensure consistency in its processes as well as
its products and services. In business,
customer satisfaction is key. As a customer’s
main concern is the quality of the products or
services they purchase, the supplier’s main
goal should always be to ensure that what
they produce is of consistent and fine quality.
QUALITY CONTROL
a process through which a business seeks to
ensure that product meets the required quality
standards
MAIN OBJECTIVE – to ensure that the business is
achieving the standards it sets for itself
mainly about “detecting” defective output –
rather than preventing it
involves setting standards about how much
variation is acceptable
How QUALITY CONTROL works?
Inspection
- an activity such as measuring, examining,
testing or gauging one or more characteristics of a
product and comparing the results with specified
requirements in order to determine any needs for
corrective actions in the manufacturing process
and determining if they are within the
specifications for the final product
QUALITY CONTROL process
IQC - Incoming Quality Control
Incoming quality control is the process to inspect
the raw and component materials from suppliers
upon arrival. When detective parts are found, you
need to negotiate with the supplier for return or
exchange, and the final purpose is to make sure
your product quality will not be affected.
IQC - Incoming Quality
Control
QUALITY CONTROL process
QUALITY CONTROL process
IPQC - In-process Quality Control
IPQC refers to the quality control during the
assembly process. It is very important because
you can detect and handle the problem that
occurs ahead of time.
IPQC - In-process Quality
Control
QUALITY CONTROL process
QUALITY CONTROL process
OQC - Outgoing Quality Control
OQC is the inspection of products before
shipping. It's a crucial step in ensuring the
shipment is defect-free.
OQC - Outgoing Quality
Control
QUALITY CONTROL process
Benefits of
QUALITY CONTROL
1. Encourages quality consciousness
The most important advantage derived by
introducing quality control is that it develops and
encourages quality consciousness among the
workers in the factory which is greatly helpful in
achieving desired level of quality in the product.
Benefits of
QUALITY CONTROL
2. Satisfaction of consumers
Consumers are greatly benefited as they get
better quality products on account of quality
control. It gives them satisfaction.
Benefits of
QUALITY CONTROL
3. Reduction in production cost
By undertaking effective inspection and control over
production processes and operations, production
costs are considerably reduced. Quality control
further checks the production of inferior products
and wastages thereby bringing down the cost of
production considerably.
Benefits of
QUALITY CONTROL
4. Most effective utilization of resources
Quality control ensures maximum utilisation of
available resources thereby minimising
wastage and inefficiency of every kind.
Benefits of
QUALITY CONTROL
5. Improved techniques and methods of
production
By supplying technical and engineering data for the
product and manufacturing processes, improved
methods and designs of production are ensured by
quality control.
Benefits of
QUALITY CONTROL
6. Effective advertisement
Organisations producing quality products have
effective advertisement. They win the public
confidence by supplying those better quality
products.
Benefits of
QUALITY CONTROL
7. Increased sales
Quality control ensures production of quality
products which is immensely helpful in attracting
more customers for the product thereby increasing
sales. It is greatly helpful in maintaining existing
demand and creating new demand for the product.
It has been rightly pointed out that quality control is
a powerful instrument with the help of which
markets both at home and abroad can be expanded.
