Summary Of One Page – Essay Example
Deming’s 14 Points The summary of the 14 points of Management Principles are based on the W. Edward Deming’s Theory of Management (Chapter 2) and examples are shown to illustrate how it is related to managing a system effectively.
1. Create constancy in purpose towards improvement. Constancy in purpose, to me, means the goals and missions put forward by the organization that should be properly understood by everyone. Goals and missions are unvarying and are obliged to be followed in day to day activities of the organization. For instance, the business aims to be competitive, to stay in business and to provide jobs. Organization at this point has developed a constant purpose of working towards improvement of product and services. It should not change policy from one to another frequently that will disorient employees.
2. The New Philosophy. Because of technological and communication developments, changes in management philosophy come in place. Thus, adopting new philosophies require that everybody concerned must be aware and get closer of understanding the truth. This means, As Deming, contends that “now the Western management must be awaken to accept the challenge, learn its responsibilities and musts take on leadership for change”. Thus, adopting new philosophy means adopting something new, and that management should make the employees be aware of the reasons in order to believe in it.
3. Cease dependence on inspection. . Deming suggests “eliminating the need for inspection on a mass base by building quality in the product in the first place”. Generally, inspection is part of the manufacturing and service process to ensure there are no defects in the products, but to Deming, this is a costly process and he believes there is an efficient way to address this problem. He objects of mass inspection as a means of defection because it only separates the good from the bad and does not offer any solution to make the process better. He argues that mass inspection does nothing to improve the quality of the product. For example, the duty of the Quality Control Dept. is to look for defects in the product, isolate it and rejects bad products and nothing at this end is done by the Department to correct the system. Deming suggests of continuous improvement that is based on statistical evidence of quality done through routine monitoring of sample items. He believes that the continuous improvement method will improve defect detection and eliminate its dependence on mass inspection.
4. "Move towards a single supplier for any one item.”Deming’s hopes to end the practice of awarding business based on the price tag. He suggests of ways of ending this practice which is based on three scenarios. First, is when all suppliers are all equal in terms of quality and service, and the only consideration is the lowest price, in which the practice of awarding business based on the price tag is advantageous. Second, is when all suppliers offer identical price, but one supplier provides better service. In this scenario, the better service becomes the determinant for choosing the supplier. Third, is when the purchaser listens to the best advice given by supplier and makes changes based on that advice. In this concern, price is not only the basis of awarding the business. In this, we can conclude that buying products is not always based on the lowest tag price. Our own purchasing decisions are often times based on trust and loyalty to products because we measure quality along the price.
5. “Improve constantly and forever”. Here, Deming’s philosophy shows of the need for constantly improving the system of production and service, improving quality and productivity that will reduce cost. I always believe that there is a room for improvement, and for that we should improve every process to aspire for perfection, although, admittedly, perfection is a dream. Today, we are faced with rapid changes in technology, and so if we do not improve in the process of production and management, our business can easily be overtaken by competitors. For example, improvement can occur constantly in the organization by being open to new ideas and research in order to be step ahead of competitors. The change should come in the system of production and service before it becomes an end product. For instance, a change in the color, design and taste of a food product can bring in more demand than the former one.
6. “Institute training on the job” Deming considers employees as asset in management, and as such, it should provide an enjoyable environment for them. Training is important both to employees and management because well trained and energized employees can stimulate growth of the company. According to Irons (2007) one of the best ways to encourage support and commitment of the workforce is by providing them professional development and training opportunities. Irons argues that when employees are allowed to develop new skills, increase their networking activities and participation as well as developing leadership opportunities, the business work environment becomes filled with enthusiasm, creativity and energy.
7.”Institute leadership” Leadership is a kind of behavior one uses when he directs the activities of a group towards a desired goal. The aim of leadership in our study of Deming, is to direct people and the machines to do a better job. Thus, a leader is someone who sets a direction and encourages people to follow it, but how they set this direction depends on many factors in the organization. First, the leader must understand that the organization is an interrelated component of a system, each with an aim that should support the organization. As such, a leader must have an understanding of the cause and effect of variances that fall out of the system and do something to control it.
8. “Drive out fear so that everyone may work effectively for the company”. Deming insinuates here that when there is fear in the employees, work is affected and consequently, the functioning in the organization. Fear comes from various reasons, some are work related, and others are personal and health reasons. Work related fears can be driven out thru trainings, communications and change of management system. For instance, some identified fears are job insecurities, ignorance of company goals, poor supervision, lack of proper training, and other blames that comes from the system itself. But the most important factor is identifying the fear so that proper measures can be adopted to drive them out.
9. “ Break down barriers” The organization is composed of other departments such as production, research sales and administration that has its own targets to pursue. However, these are interrelated and therefore must support one another for a common goal.
10.” Eliminate slogans”. Slogans are cute but they do not motivate employees to work and improve their targets and work ethics. Slogans are meaningless because it does not show the process. Examples of meaningless slogans are “Zero defects”, “Do it right the first time” do not inspire employees but rather create resentment from employees.
11. Eliminate work standards (numerical quotas) on the factory floor. Work standards or numerical quotas are management measure to predict production; it is a piece work standard that has a damaging effect to quality and productivity. Workers focus on the quantity rather than quality in order to reach their quota. Deming suggests elimination of work quotas because he believes this method does not improve quality of work and does not lead to work improvement. To eliminate work standards, Deming advocates that standards should not be too high so as not to put pressure on employees. It neither should it be too low because it is also counterproductive; people who have met their quota early will have nothing to do any more.
12."Remove barriers to pride of workmanship". There are barriers that prevent employees in taking pride of their work that are mostly found in the system of management. These barriers take out the joy and satisfaction of employees from their work performance. For instance, when they are being blamed for the faulty system, faulty equipment and machines, inadequacy of training and supervision, and when they do not properly understand their mission. In removing these barriers, communication plays an important role between employees and management.
13. “Institute education and self-improvement". Deming suggests here that management must have a continuing program for training and education of employees for their personal development. This should not be confined to employees alone but also to leaders who should be equipped with methodologies of proper supervision, leadership and management.
14. "The transformation is everyones job”. Here, Deming proposes that transformation in management is not the sole responsibility of employees. It should come from the hierarchy in the management and policy makers that spells out the policy that should be implemented. This policy change must be communicated down to the floor level so that everyone will be committed to the transformation.
W. Edward Deming’s Theory of Management. Chapter 2. Foundations of Quality Management, pp. 37-50
Irons, Kodley C. 2007. Why employee training is so important. Associated Content, Business & Finance. Viewed 04 September 2005 from http://www.associatedcontent.com/article/109127/why_employee_training_is_so_important.html?cat=3