BUS300: Operations Management

CROSBY

One of Crosby's strengths is his emphasis on transforming the culture of the organization. He provides a structured roadmap for attaining management commitment He advocates individual commitment to quality at each level of the organization. Crosby provides education on the concepts of quality management but realizes that each organization must create its own quality improvement process plan. His approach is effective in transmitting the need to change attitudes and behaviors and has been successful in getting organizations started -- one reason why Crosby appeals to many managers. Second, Crosby has a structured training program for managers that is taught at the Quality College. Many managers generally find this approach easy to subscribe to and therefore choose to begin quality improvement using Crosby's approach. His approach emphasizes measuring the cost of doing things wrong versus the cost of doing things right die first time and does not emphasize a statistical basis for reduction of variation. As a result, organizations that do not focus on statistical methods may not be able to achieve improvements beyond initial cost reductions.

According to Andrea Gabor, author of The Man Who Discovered Quality, "Until recently (1990), Crosby downplayed the role of statistics. After Dealing's popularity gave new credence to the importance of variation control in the late 1980s, Crosby is said to have begun teaching more of the subject at his seminars". In fact, Crosby founded Integrity Systems, Inc., a subsidiary of PCA, to provide clients with training packages in statistical process control.

Crosby advocates programs such as "Zero Defects Day," which has been widely misunderstood and viewed by some critics as merely a motivational program with only short-term benefits. Again, "Zero Defects Day" is intended to be a time when management reaffirms its commitment to quality.

DEMING

One of the main strengths of the Deming's philosophy is his view of organizations as systems and the use of statistical thinking to understand how systems function. The application of the PDCA cycle and quantitative methods to analysis and reduction of variation in all work processes is another important contribution, as is the distinction be makes between special and common causes of variation.

Most importantly, however, Deming stresses that management and leadership issues need to be addressed to create quality in products and services. The history of quality efforts in this country has taught us that to effect major changes in business, it is imperative to create an organizational culture dedicated to quality. This can only be achieved through changing the attitudes of top leadership. Deming's approach emphasizes leadership responsibilities, and he provides leaders with the 14 Points.

Although Deming stresses the adoption of his 14 management principles as the roadmap for change, he does not provide a sequenced implementation plan. Such a plan makes little sense in terms of his theory, but most managers are not taught to use theory. Consequently, they are frustrated when they do not find a prescribed "linear sequence" of activities that can serve as a "cookbook" to success.

Deming's approach is associated with the application of SPC. He says that a knowledge of statistics is necessary, but not sufficient The use of statistics is just one aspect of his broad management philosophy. Nevertheless, there are some who believe that by applying SPC they are implementing the Deming philosophy.

Finally, the application of the PDCA cycle is seen by many as a problem-solving tool instead of a means to continuous process improvement. Typically, any problem in understanding the power of the PDCA cycle can be tracked back to a lack of understanding about this essential difference. As described by Deming, problem solving is similar to "putting out a fire," that is, removing problems to put the process right back where it was, but that such action does not make the process better. 

JURAN

Juran has developed an approach in which problems are thought of as projects, and all improvements can be made project by project Juran advocates the annual formation of teams to analyze problems and find solutions to them. His approach has been successful in organizations in which upper management has been heavily involved and has led the effort Like Deming, he also emphasizes the use of graphics and statistical methods. Juran has devoted more than 300 pages in his Quality Control Handbook (1988) to statistical methods, and he views them as essential tools.

Juran's project-by-project approach is effective since it helps to focus improvement on specific areas. This approach can provide short-term results within the framework of a long-term strategy. This approach also builds teamwork and communication in the organization. Although emphasis is on projects, Juran ultimately provides a systems approach to quality through the spiral of progress, which links all of the functions necessary to launch a product or service.

One of the processes addressed by the "Juran trilogy" concerns problem solving and removal of problem causes. If managers give emphasis to this aspect of the trilogy, project teams then become firefighters instead of teams working toward prevention and process improvement. When upper management doesn't focus on the planning process of the trilogy, they are not able to prevent new problems from occurring and are not able to initiate continuous improvement and strategically direct the course of the organization.

The setting of broad improvement goals by management could lead the organization to fall back into the practice of managing by objectives. The "trilogy" approach is only as good as the managers who are trying to optimize the system (e.g., selecting the projects, priorities, and goals).