INDUSTRIAL ENGINEERING &TQM

BY

Ali Akber Kapadia                  Roll No. 08

Prepared in partial fulfillment of the course

Industrial Engineering Concepts

AT

NATIONAL INSTITUTE OF INDUSTRIAL ENGINEERING, MUMBAI

August, 2012

This work aims at summarizing the article
"Industrial Engineering and TQM"
Publish Year :2005
Authors: V.H.Y. Lo, D.Sculli 

Introduction

TQM is defined as the “Management philosophy and company practices which aim to harness the human and material resources of an organization in the most effective way to achieve the objective of the organization”. The application of quality management concepts in a holistic context is relatively new. A considerable time is often required for TQM concepts and ideas to develop and mature into a self-contained discipline. The process can be quite slow when only experience in application forms the main guiding light to further development. However, such developments can sometimes be considerably accelerated if some parallels can be drawn with related disciplines. One of the closest disciplines to TQM is that of industrial engineering (IE); both are directly and indirectly concerned with industrial efficiency, and a cross-comparison of the two can yield some interesting parallels. 

Though the concepts embodied in TQM may be relatively new, the concepts of industrial efficiency embodied in the discipline of IE are almost a century old. One of the most widely accepted definitions of industrial engineering is the one used by the American Institute of Industrial Engineers: 

Industrial Engineering is concerned with the design, improvement, and installation of integrated systems of men, materials, and equipment. It draws upon specialized knowledge and skills in the mathematical, physical, and social sciences, together with the principles and methods of engineering analysis and design, to specify, predict and evaluate the results to be obtained from such a system. 

Parallels between IE and TQM 

From an historical point of view, IE has developed from two main approaches to improving efficiency in the workplace, i.e. motion study and scientific management. Scientific management was at first seen only in terms of time study. Harrington was an advocate of operational efficiency and premium pay for increased productivity. In his book, published in 1911, he put forward 12 principles of efficiency as the basis for effective operations: 

(1) clearly defined ideas; 

(2) problem identification; 

(3) competent counsel; 

(4) reliable and adequate records; 

(5) discipline; 

(6) fair deal; 

(7) common sense; 

(8) despatching; 

(9) standards and schedules; 

(10) standard operations; 

(11) written standard practice instructions; 

(12) efficiency reward. 

Although these 12 principles were established more than 80 years ago, they are still as valid today as they were then. This is because the basic concept of doing a job well holds true today as much as it did then. This basic concept of doing a job well can also be taken as the starting point for quality management. These principles and parallels with TQM are given as follows: 

• The first two principles refer to clearly defined ideas and objectives. Any scientific approach to problem solving must obviously be objective, and a clearly defined objective often goes a considerable way towards solving any problem. This principle broadly translates into strategic quality management as embodied in BS 7850. 

• The next principle refers to competent counsel or expertise. This indirectly states the essential need for training. In terms of TQM, Juran and Gryna support this approach by suggesting that training for quality management should be mandatory. 

• The two IE principles of integrated system design and the availability of reliable and timely information can be mapped into the ISO 9000 series of quality assurance management systems. 

• The IE principle of discipline can be interpreted in terms of the need for standards and quality reference manuals. 

• The IE principle concerned with the need for continuous improvement of any integrated system is related to TQM in terms of the kaizen concepts relating to the need for continuous improvements. 

• Another IE principle uses the words “common sense” to imply that the need for certain actions should be obvious. In general terms, the need for quality and TQM is obvious when viewed from a need to satisfy customers in a competitive market. 

• The IE principle covering the need to monitor and implement changes in integrated systems successfully can be translated into the TQM need for certification of the ISO 9000 series and awards such as the 

USA-based Malcolm Baldrige Award. 

Comparison between IE and TQM

When looking at the development and scope of IE, most of its techniques seem to “fit” well with the modern quality concept of integrating people and physical operating systems, through effective system modification and/or redesign. To be able to design an effective operating system, it is usually necessary to start with an understanding of the strategic goals and current practices of the organization. 

Figure1: Comparison Between IE & TQM

However, some distinctions can be made between IE and TQM. IE techniques have evolved with the direct objective of achieving particular goals in designing, implementing and effectively maintaining operating systems. TQM, on the other hand, is essentially a system whereby the qualities of a product or service are maintained and enhanced through economic considerations. The IE and TQM integrated approaches are illustrated in Figure 1, from which it can be seen that these are almost identical. The nature of the two approaches is such that it is almost impossible to separate them. The main difference can be regarded as one of the “expert approach” versus the “total participation approach”. IE is essentially an expert approach, starting with the intensive professional degree training of industrial engineers. The industrial engineers then conduct studies in the various company departments of the organization by which to achieve efficiencies and quality improvement. However, rapidly developing production technology, plus an increasing complexity of organization, make the expert approach to problem solving more difficult, requiring more time for analysis and redesign. Rapidly changing customer preferences also mean that the industrial engineer will have to spend more time in monitoring and maintaining the improved systems, long after the initial implementation. 

This suggests a need to modify this expert approach towards TQM which directly emphasizes total participation, and also requires that all staff in the organization be “experts” in contributing to, and maintaining, any efficiency and quality improvements achieved. 

The IE approach emphasizes the skills aspects, i.e. practical and reliable improvement methodologies. This includes techniques and scientific know-how for quality improvement such as time and motion study, ergonomics, anthropometry, environmental aspects of noise and illumination, man machine interface, etc. However, IE appears to place relatively less emphasis on people, psychology , and the “soft” systems procedures than does TQM. TQM places more emphases on human considerations, as exemplified by the work of Deming on the principles for transformation, the quality delivery process described by Bank, and the customer-driven project management work of Barkley, all of which appear to be more concerned with human behaviour and thinking than with the “hard” systems aspects.