TQM CSTUDY F&O.pdf

5/28/2018 TQM CSTUDY F&O.pdf

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I. POINT OF VIEW IN ANALYZING THE CASE

We are analyzing the case from the point of view of the companys CEO that desires to pursue the

Baldrige criteria in replacement of its current philosophy which is Demings 14 points.

II. MAJOR PROBLEMS

Adapting the Baldrige focus and commencing a process of self-assessment against the criteria to identify

opportunities for improvement, are the major problems of TecSmart since the entirety of the company is

accustomed to Demings 14 points when it comes to management

III. OBJECTIVES IN ANALYZING THE CASE

To seamlessly adapt the Baldrige Focus To identify opportunities that will lead to improvement

IV-A. FACTS OF THE CASE

A. TecSmart manufactures and designs electronic power supplies for OEM (Original EquipmentManufacturers) in computer, medical and office products

B. TecSmart focuses on Quality, Service & Values.C. Quality journey started in the mid-1980s and was based on Demings 14 points.D. TecSmarts employees are sent to Deming seminars, to continually ace the 14 points.E. The current CEO decides to pursue a Baldrige focusF. Senior leaders set company objectives and guide cross-functional teams. They also participate in

quarterly communications with all the employees. They also teach in TecSmart University.

G. TecSmart sets six sigmas for most of its processesH. All employees are trained in a five-step problem-solving processI. All employees receive customer relationship trainingJ. Vice president of sales handles all the complaintK. Cross functional teams guide product developmentL. Average employee receives 72 hours of quality training


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WITH ADVANTAGES AND DISADVANTAGES

IV-B. ASSUMPTIONS

ompetition- Is there a risk of any new entrant to the market or current competitor while the company isat its full scale shift of philosophy?

ompany Personnel- Is the company recruiting sufficient flexible staff? Are companys benefits enough tocater the needs of its workforce? What will be the reaction of the employees when the top management

decided to pursue the Baldrige focus? Will it decrease their effectiveness? Will it hinder their skills since

they are not accustomed to Baldrige?

SuppliersWill there be a bad initial reaction from the suppliers when the said philosophy shift takesplace? Will the new philosophy overran normal supplying functions?

V. BEST ALTERNATIVE COURSES OR ACTIONS

Alternative Course #1Add extra hours of internal quality/service-related training of the employees with regards to the

adaptation of the Baldrige Philosophy

Pros:

1. Additional training would enhance employees understanding of the BaldrigeFocus2. Since a new philosophy would be applied, adding extra hours of training would reduce the

employeesconfusion concerning Baldrige

Cons:

1. Additional hours of training might be against the will of the employees

2. It would be more expensive

Alternative Course #2Make the employees become accustomed to the Baldrige focus as well as the Deming's 14

points for the training of the employees and the improvement of the company

Pros:

1. It can help improve the company since both of them provides different sets of strengths.

2. Applying both can generate good result for the company if done appropriately

Cons:

1. Employees will more likely be confused with the addition of a new philosophy

2. It is time consuming and more costly


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Alternative Course #3Retain their former philosophy which is the Deming's 14 points

Pros:

1. The Deming philosophy already proved that it would bring success to the company

2. The quality of the Deming's 14 points had already been tried and tested by the company as

well as the employees since the said philosophy carried the company into the 21st century

3. The flow of activities in the company will run smoothly since the management technique that

will be implemented is still the Demings 14 point, a philosophy where the companys

employees are very familiar.

Cons:

1. The company will not innovate

2. The employees will not grow as a flexible company personnel

VI. BEST ALTERNATIVE

The first proposed course is the best alternative which is:

MaketheemployeesbecomeaccustomedtotheBaldrigefocusaswellastheDeming's14pointsforthe

trainingoftheemployeesandtheimprovementofthecompany

We chose the second alternative because we find it suitable for the company. TecSmart Electronics is

known for its good quality products as well as its good and improving relationships internally. The current

CEO seeks improvement which made them pursue a new philosophy that could replace or compliment

Demings 14 points. The alternative clearlysuggest that the company should now make the employees

accustomed to the Baldrige focus, but they cannot immediately replace the current philosophy that they

are using now. The sudden change would likely confuse the employees, which may result to process

disruptions or even hinder their effectiveness. For that reason, we recommend that they help the whole

company adapt both of the philosophies, since both philosophies provide different strengths that can

help improve the company. And besides, if all employees adapt both philosophies, then the number oftheories they can utilize in different processes would increase, thus making them more innovative and

flexible. The proposed alternative might take a year to be implemented, but then the company can

expect a great improvement in their operations, if and only if, the said adaptation was done properly.


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VII. PROPOSED ACTION PLAN

ActivityTime Frame Responsibility

Start Completion Direct Support

Study both of the philosophies

and determine its strengths as

well as the differences.Month 1 Month 2

Company

Researchers

Top

management

Find a training agency or

someone to conduct seminars to

the employees regarding the

two philosophies.

Month 2 Month 4Top

management

Training

Agencies

Work out the costs for the

training and find a way to

minimize them.Month 4 Month 5

Top

management

Company

Financial

consultants

Notify the employees about the

changes that will be made.Month 6 Month 7

Top

ManagementEmployees

Contact the training agency or

the persons to conduct seminars

to the employeesMonth 7 Month 8

Top

managementTrainers

Send the employees to the

seminars or both philosophiesMonth 8 Month 12

Top

ManagementEmployees

Ensure if the employees

improved by surveying them

regularly

Month 12 Month 13-14 TopManagement

Employees


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VIII. ANSWERS TO DISCUSSION QUESTIONS

1. Discuss how the practices that TecSmart identified supports Demings 14 Points.1. Create andpublishto all employeesa statementof the aims andpurposes of the

company or other organizations. Themanagementmust demonstrate constantly their

commitmenttothisstatement

It is evident that TecSmart has a focus on Quality, Service & Value. This is alsoreinforced by making plans and disseminating it down the organization, wherein

leadership team can focus on three key values. By holding quarterly communications

meeting, senior leaders can reinforce their statement of purpose.

2.Learnthenewphilosophy,topmanagementandeverybody

It is evident that TecSmart has a focus on Quality, Service & Value. This is also

reinforced by making plans and disseminating it down the organization, wherein

leadership team can focus on three key values. By holding quarterly communications

meeting, senior leaders can reinforce their statement of purpose.

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2. How did these practices support the Baldrige criteria? Specifically, identify which of thequestions in the criteria each of these practices address.

1 Leadership Senior leaders guide cross functional teams Senior leaders participate in quarterly communication meetings with

employees.

2 Strategic planning Senior management set company objectives Each department operates to serve company's objective

3 Customer and Market focus All employees received CRM Training. Customer satisfaction data is acquired from sales representatives. All complaints were handled by Vice president of sales Meetings were held with customers to identify requirements of their

products

4 Information and analysis Senior management set company objectives Each department operates to serve company's objective

5 Human resource focus All employees were involved to discuss problems & issues All employees were trained for handling problems

6 Process management Company collects operational data in every dept to evaluate information

requirements

Company has set Six sigma goals for its processes All employees trained in 5 step problem-solving process


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3. What are some of the obvious opportunities for improvement relative to Baldrigecriteria? What actions would you recommend that TecSmart do to improve its pursuit of

performance excellence using the Baldrige criteria?

TecSmart Electronics has so many obvious strengths. However, strategic planning

(Category 2) appears to be an area where some improvement could take place. No

mention is made of how goals are set, benchmarks are chosen, or cycles of improvement

in the planning process take place. In pursuing performance excellence through Baldrige

criteria, all of the categories must be practiced thoroughly by TecSmart Electronics

employees and the top management, since the said philosophy is new to them. The

company should also perform a quarterly survey on how Baldrige Focus affects their

performance to asses

Documents

TQM CSTUDY F&O.pdf