Business Development and Quality

Management
EH2030

Project report Reflection

10-12-2009

Responsible for the course: Lars Sorqvist, Evelina Ericssion, Erik Johansson.

Student: Varaha Venkata Satyam Naidu Palli (vvsnpa@kth.se)

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SIX SIGMA:

Six Sigma is a statistical concept to improve quality through repetitive efforts for
improvement of productivity. Consistently reducing defects to industry standard levels hold
key to it. It is focused on Leadership Modes and DMAIC (Define Measure Analyze Improve
and Control). Many companies like GE and Motorola attribute their success to Six Sigma
Method. Analysis of the methodology in the light of Pareto, FMEA and Capability Analysis is
suggestive of this being not very different from other quality management tools. The study
suggests that to reap the benefits of this methodology a structured and organized
implementation with support from senior management is required.

LEAN PRODUCTION:

This methodology is based on increasing productivity through reducing cost. Efficient Waste
Management, improved Design and improved Supply-Chain Management hold key this
methodology. It is based on four main elements and implemented using fourteen principles.
Using this concept Japanese Automobile companies have significantly improved productivity
and could perform better than American Automobile companies. Study of Scania Production
System is suggestive of improved result through implementation of Lean Values Lean
Principles and Lean Methods.

BUSINESS EXCELLENCE MODEL:

This is study of Swedish Institute for Quality, SIQ and is compared with EFQM Excellence
Model (European Foundation of Quality Management) . SIQ is built around three elements
systematic structure and culture and works based on four phase model which involves
Preparation Mapping, Assessment and Continuous Improvement. A detailed study of SIQ
with respect to EFQM suggests that SIQ is too comprehensive and detailed methodology. In
the paper stress has been given on continuous learning by employees. It is also indicated that
for a quality process to mature it needs time and patience.

ISO 9000:

The ISO 9000 is a certification of management system in organization and it explains the
ways to document the day to day operations and its improvements. Further learning and
investigation of standards based on 20 elements. it involves the customer requirements and
quality assurance of the product in any business of all nations. ISO 9001:2008 implemented
by five sections, these are explains about Quality Management Systems, Management
Responsibility, Resource Management, Product Realization and Measurement Analysis and
Improvements. Responsibilities are structured as three levels and it explains the Quality
Manual with procedures, Specific work instructions, level three deals the Forms, records, and
other supporting documents. And also it describes the control of Documents, records,
Internal audits, Nonconforming Product / Service, Corrective and preventive Actions. And it
help market participants to compare and judge value chain neighbours with respect to
choosing the one that is best suitable to supply in economical perspective.

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PROCESS ORIENTATION AND PROCESS MANAGEMENT:

It has been analyzed that how the process management and process orientation result in
improved organizational efficiency. It has been shown that during process modeling for an
organization boundary and control points must be developed along with a robust feedback
mechanism. Organizational Structure and Management Leadership also play critical role in
process development and its effective implementation. Process Re-Engineering and
Innovative Process Development hold key to success of organizations.

CUSTOMER ORIENTATION AND MEASURE MENT OF CUSTOMER SATISFACTION:

Customer Focus Orientation holds key to success in turbulent market. Closely tracking
changing customer behavior is important to keep customer satisfied. Ways to measure
Customer have been discussed in the paper. Case studies on customer satisfaction by various
brands have been discussed. Oral-B has established its brand as quality dental hygiene
product and has innovatively tracked customers needs and tried to capture market in
innovative ways.

ANALYSE VARIATION WITH SPC (Statistical Process Control):

SPC is closely associated with TQM and helps in assessment of quality processes. SPC tracks
the quality processes and can be used to signal when processes have moved away from target.
A detailed illustration on the way SPC is implemented in given in the paper. It has been
shown that this helps in market investigation of customer needs and in company follow up on
customer satisfaction. Companies long term strategies can be aligned and achieved through
implementation of SPC.

PRODUCT DEVELOPMENT:

A concept of product development has been introduced. Ways of improving quality of

processes of product and services have been done. This can be done either through looking
for possible improvements in already commercialized products of a company or looking for
quality of product during product development. Implementation of Six Sigma and Lean
Concept during product development has been discussed in detail. In the end a detailed
comparison on these two concepts has been done on Principles and Practices. The paper
suggests that combination of the two methodologies must be used for better quality
management.

Studying all the papers is helpful in giving deeper understanding into different perspectives
of quality management. Different approaches of quality management have evolved in
different ways depending upon the circumstances in different parts of world. Papers help in
understanding the implementational details of different methodologies of quality
management and choosing right processes based on the nature of organization. Significance
of Quality in improving company's productivity has been shown. Different standardization
methods have different values.