HUMAN RESOURCES

YEAR 2
TQM YEAR 4

Total Quality Management

 Yearly investments of

< $250,000 will create little

improvement
Yearly investments above
$750,000 pushes into
diminishing returns
Investments of >
$1,000,000 in a year
produces no absolutely
additional benefits
Investing more than
$2,000,000 in the same
initiative over 2- 3 year
period creates little or no
additional improvement

Process Management
Initiatives

These initiatives improve business procedures,

resulting in improved efficiencies and cost
structures

CPI (Continuous Process Improvement) Systems

-Reduces Material cost and to a lesser degree Labor costs
Vendor/JIT (Just in Time [Inventory]) - Reduces
Material costs and Administrative overhead
QIT (Quality Initiative Training) - Reduces Labor costs
Channel Support Systems Increases the effectiveness of
the Sales Budget, and therefore demand
Concurrent Engineering - Reduces R&D cycle time, the
time needed to move products on the Perceptual Map and
to change MTBF specifications.

Continuous Process
Improvement

A process is a series of progressive and

interdependent steps by which an end is
attained.
Continuous Process Improvement (CPI) is a
strategic approach for developing a culture of
continuous improvement in the areas of:

reliability
process cycle times
costs in terms of less total resource consumption
quality, and productivity.

Deployed effectively, it increases quality and

productivity, while reducing waste and cycle
time.

Just in Time Inventory

Just-in-Time inventory system is designed to

ensure that materials or supplies arrive at a
facility just when they are needed so that
storage and holding costs are minimized.
The Just-in-Time system requires
considerable cooperation between the
supplier and the customer.

The customer must specify what will be needed,

when, and in what amounts.
The supplier must be sure that the right supplies
arrive at the agreed-on time and location.

Quality Initiative
Training

Leaders of quality initiatives (project managers,

managers, and senior leaders) develop useful
and relevant knowledge and skills to ensure
that company resources and efforts are utilized
in the most effective manner.
Leaders gain useful and skill based learning in
these core quality leadership areas:

Leading Teams Through Quality Initiatives

Quality Philosophies and Approaches and Lessons
Learned at Other Firms
Customer Needs and Expectations
Quality Improvement Management Systems
Ethical Decision Making

Channel Support
Systems

Support system to facilitate information sharing that

increases productivity and profitability, untangling
the web that once blocked the transfer of
information.

Predictive modeling. Determine how to market the right

product to the right person at the right price and the right
time.
Customer, product and business line profitability.
Identify the customer, product, organization and business line
profitability bottom line.
Product development and creation. Determine what
products will sell; define the distinctive product
characteristics and pricing.
Target marketing. Sell the right product to the right person
at the right time at the appropriate return.
Sales execution and tracking. Collect information
pertaining to who sells what product to whom, when and
where.

Concurrent Engineering

Concurrent engineering is a business strategy

replaces the traditional product development process with one in which tasks are
done in parallel
there is an early consideration for every aspect of a product's development process.

Concurrent engineering provides a collaborative, co-operative,

collective and simultaneous engineering working environment.
The concurrent engineering approach is based on five key
elements:

a process
a multidisciplinary team
an integrated design model
a facility
a software infrastructure

TQM Initiatives

These initiatives improve product quality while

reducing the time and resources required to design,
manufacture, warehouse and ship products.

Benchmarking - Reduces Administrative overhead

Quality Function Deployment Effort - Reduces R&D

cycle time and enhances the effectiveness of the Promo
and Sales Budgets

CCE (Concurrent Engineering)/6 Sigma Training Reduces Material costs and Labor costs.

GEMI TQEM Sustainability Initiatives - Reduces

Material costs and Labor costs.

Benchmarking

A process in which organizations evaluate various

aspects of their processes in relation to best
practice, usually within their own sector.

This allows organizations to develop plans on

how to adopt such best practice, usually with the
aim of increasing some aspect of performance.

Benchmarking may be a one-off event, but is

often treated as a continuous process in which
organizations continually seek to challenge their
practices.

Benchmarking Procedure

Identify your problem areas

Identify other industries that have similar

Identify organizations that are leaders in these

areas

Survey companies for measures and

Visit the "best practice" companies to identify

leading edge practices

Implement new and improved business practices

Quality Function
Deployment Effort

Flexible and comprehensive group decision

making technique used in product or service
development, brand marketing, and product
management.

QFD transforms customer needs into engineering

characteristics of a product or service, prioritizing each
product/service characteristic while simultaneously
setting development targets for product or service
development.

QFD can strongly help an organization focus on the

critical characteristics of a new or existing product or
service from the separate viewpoints of the customer
market segments, company, or technologydevelopment needs.

Six Sigma Training

Six Sigma is a management technique that aims

to develop and deliver near perfect products and
services.
"Six Sigma" refers to statistical constructs that
measure how far a given process deviates from
perfection.
Processes are designed from the perspective of
the customer and are enabled by a commitment
to thinking in terms of processes across the
organization.
Metrics such as performance, reliability, price,
on-time delivery, service and accuracy provide
the targets.