A person needs to remember President G. Bush world economic speech when he said, and I quote” Competitiveness does not mean protectionism. However trying to improve quality and productivity at home” to understand the scope of Deming’s philosophy in the success of cooperate life. Traditionally, most companies used to apply performance appraisal practices in order to archive their goals. Thanks to Deming the founder of the current management elements who sometimes is fondly referred as, and I quote the “Messiah of Management”. According to the global economic research studies that have been conducted in the recent years, most of the global companies are striving to reposition themselves in the competitive world market. According to the Edward Deming’s philosophy, the 14 elements can effectively provide best means for these companies to reposition themselves in providing effective and quality services. Many a times the Company Quality Profile has advocated for these elements and approves them to archive the required standards. To evaluate the operational power of these elements, a deep scan should be carried out on several sections of the company’s profile to inspect the CQP based on these elements. The purpose of this report is mainly to determine effects of Deming’s philosophy in the Company Quality Profile when effectively applied (Dalgleish, S.2004. 22)
Over years, Dr. Edward Deming has been accredited with a strong philosophy system that has created a strategic and responsible formula to create Japanese institutions in the world market. In his philosophy, Deming stresses on the need for top management, better customer services, the positive involvement of the employees and reasonably close attention to the whole company running process as a vital element for success. The philosophy of 14 elements in manufacturing entails more than the application of statistical methods. The concept includes all of the external and internal sections of the organization. The philosophy expands the view of the business process from the tradition methods of operation in manpower, machines and materials to an improved modern competitive position in the world market. Thus, these philosophies are designed to elevate all aspects of the business. In regard to the quality tools and methodologies available in the contemporary service environment, the philosophy can bring changes by establishing the company’s quality profile through the following methods (Lloyd, B. 2004. 432).
First Concept: Company Strategy.
The concept employs the following Deming’s elements:
- Point 1: Create consistency of design
- Point 2: Adopt the new philosophy
- Point 14: Involve everyone in accomplishing the business transformation.
This idea of company’s strategy addresses the duration at which most of the global companies require to achieve best results. To compete effectively, most businesses need to adopt operating philosophy elements which address long-term goals. These elements will provide a positive sense of purpose and better framework within which managers and other stakeholders may operate. Company strategy using the three points will establish a strategy to improve quality and productivity while decreasing the cost of operation. The management team therefore must make a long-term plan on how to achieve the product quality. They must also provide an environment conducive and a better structure to implement the three elements for continual improvement. The philosophy advocates that every key aspect of the business such as manpower, materials and technology should be effectively involved in the change process (Dalgleish, S.2004. 22).
Second Concept: Human Resource Management
- Point 8: Drive out fear
- Point 4: Break Down the organization Barriers
- Point 12: Facilitate the pride of workmanship.
Empirical study analysis has revealed that most of the global service companies usually treat their manpower as any other mere factors of production. Most of these companies have failed to provide effective communication to their employees on the companies’ goals and objectives. The results are that most of the employees fail to commit themselves in the necessary activities of the business. Some of them feel powerless and do not employ their ideas while carrying out the task. They fear pointing out the various challenges they face while carrying out the business tasks. Such kind of intimidation mechanism usually impairs the economic progress of the business to greater standards (Gruska, 2000. 99).
Human resource management theory mainly emphasizes the value of employees as a vital asset of the business. It advocates for the empowerment of the employees. The organization must value their position in archiving the goals of the company. The top management must eliminate unnecessary intimidation and fear to their juniors. Employees must be provided with the necessary resources that will enable them to carry out their role. They must understand the company’s goals and objectives in both short-term and long-term circumstances. The company must provide an environment conducive for openness and reward for any positive move. The company must also advocate for exposure of any problem that has occurred and should be understood and corrected in appositive manner (Butterfield, R. 1991.50).
Third Concept: Measurement of Results
- Point 10: Eliminate arbitrary numerical goals
- Point 11: Use statistical methods for continual improvement.
This theory of measurement of results mainly advocates for provision of alternative methods on the numerical goals to continue with the improvements. It eliminates the setting of slogans and posters to motivate employees and believes they are the great source of frustrations. Managers need to use the standard statistical methods such as control charts and performance contract to determine the company’s’ growth. The employees need to be shown the fruits of their efforts to motivate them for further development. This approach will minimize any form of negativity and inspire positivity for continuity and organizations’ growth (Butterfield, R. 1991.50).
Fourth Concept: Training and Supervision
- Point 6: Institute modern methods of training
- Point 7: Focus on Supervision
- Point !3: Institute education and Training
The training and supervision concept, advocates for the need of proper orientation to the new employees to align them to the company’s’ philosophy. The orientation should clearly spell out the companies’ goals and the role of employees to make them feel as an integral part of the organization (Steingard, D.1993. 27). The managers need to understand that initial orientation provides better stand for training rather than erasing improper concepts mastered afterward. It is also important to note that experiences and skills gained informally while working may not be relied on. Carter 2001, in his economic research, notifies that most of the global organizations are over managed and are efficiently under-led. The supervisors should apply relevant tools to determine whether the employees have mastered the concepts and are applying the necessary skills to achieve quality work. The managers must provide a long term view of better training and guidance as the workers commit themselves to the understanding of the concepts and apply them appropriately. Application of this concept effectively is expected to provide a continual of quality production in the company (Butterfield, R. 1991.50).
Fifth Theory: Quality Assurance
- Point 3: Replace mass inspection with statistical monitoring
- Point 5: Constant improvement.
The quality assurance concept strictly adheres to non-compromising of the quality of the product during and after production. It advocates for the inspection of the quality of the product during the building processes. Deming in his analysis proves that the continual inspection usually focuses on the negative parts of production without offering a room for improvement. This view may make the company fail in achieving the required quality standards. This concept mainly directs the company’s efforts towards long-term process of development rather than the short-term aspect of inspection and detection. The stipulated Statistical Quality Control (SQC) has clearly provided a rational means of detecting, analyzing and improving this process. The concept requires that everyone to be involved in the quality improvement and default detection rather than the managers alone. The quality assurance concept eliminates the involvement of the unnecessary defect correction and inspection. Thus, reducing the operational cost and increases the quality and competitive edge in many companies (Dalgleish 2004, 22).
Sixth Theory: Purchasing Policies
- Point 4: Stop awarding business on basis of price
Dalgleish 2004, in his study argued that, and I quote “Purchasing the lowest price materials is frequently confused with the lowest quality”. In his dimension, to make buying at the price as the basis is a short term mechanism of thinking since lower quality materials usually results in poor product since they always create defects and several problems. The purchasing policies concept advocates for the need of the clear understanding of the purchased materials before decision are made. The purchasing departments need to use one reliable source of purchase to ensure they do not compromise with the quality of the product. It is important to note that workings with this single source vendor need openness and trust to continue providing the necessary environment for quality provision and disastrous interruption during production (Connor, P. 1997. 502).
Total quality is the principles of Deming’s philosophy. He recognizes how quality is vital in all parts of the company. His idea is quite important part of the modern management. Organizations that have embraced technology, globalization and quality have managed to archive better competitive edge than others. These include; Toyota, Fuji and Sony who have adopted to provide superior quality products, unlike their global competitors. All these achievements are due to the application of Deming’s principles. Documentary reports indicate that, in 1970s, the European companies realized the need to embrace quality revolution in order to stand the stiff competition side (Lloyd, B. 2004. 430).
Traditional appraisal systems mainly were used to achieve two purposes. One was to evaluate the performance to be used in determining payments, transfers, promotions, and retention of employees. The other important use of appraisal was to provide a development function by identifying the sections of employees’ improvement and weakness to devise the proper mechanisms of potential performance. Nevertheless, for many years several managers believed that the traditional appraisal could achieve production quality. Over 75% of the American companies approve that the traditional appraisal failed to achieve quality production but only acted as an element of compensation, staff planning, promotion and decision making. This theory has made most of the American organization to sluggish behind in the competitive market. Thus, most of these companies decided to adopt the Deming’s philosophy in order to achieve the current robust results (Butterfield, r. 1991. 50).
Deming has successfully managed to eliminate the American traditional theory of appraisal system. He criticized the rewarding of “win–lose” system but rather supported the “win-win” system thus emphasizing on the quality as the hallmark rank. He manages to replace the traditional theories of win-lose reward with the modern system that promotes support and cooperation. Today, it is a win-win situation in most of the American companies which have adopted the Deming’s management approach. Many of these companies have achieved a remarkable improvement in their product sale, market share, employee morale, customer’s satisfaction, operating cost, and competitive edge in the business (Anderson, J. 1994. 472)
In conclusion, as observed in several instances, the world of management is continuously buffeted by different challenges and changes. It is important to view Damping’s 14 elements as strong enough to stand the test of time in the modern and achieve outstanding results if applied appropriately. The 14 points are elegant and effective source of thought and guide to help the positive leader wishing to transform their company to go ahead. These principles were devised by the Japanese in the 20th century and approved to place them in the current world economic power. The elements need investment both in time and resources, but the output is worthwhile. This has made most of the companies adopt the flier of Deming’s points and achieve extraordinary results.
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