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CHAPTER 3: STRATEGIC QUALITY PLANNING (STRATEGY CONTENT (Strategy planning…
CHAPTER 3: STRATEGIC QUALITY PLANNING
STRATEGY CONTENT
Strategy planning takes a broad view of planning process
9) Improvement activities are both within and across functional area
8) Improvement activities are focused on activities CSF
7) Everyone knows how his or her day-to-day activities align with CSF, mission, vision, goals, objective
5) Focus in on processess
6) Alignment exists between CSF, mission, vision, goals, objective and day-to-day analysis
4) Goals and objective are based on data and are riven by trend or pattern analysis
3) Goals and objectives are process and results oriented
2) Leaders determine critical success factors
1) Focus on customers
Principal findings from the internal and external assessment
1) Strengths and weakness
2) Customer information
3) Economic environment information
4) Competition information
5) Government requirements
6) Technological environment
Mission
-Definition of products and services, markets, customer needs and distinctive competencies
Vision
Where the organization is headed and what it intends to be
Content variables
1) Time
2) Leadership
5) Generic strategic (cost, differentiation and focus)
3) Quality costs
4)Order winners
6) Quality as a core competency
2 Aspects of time
1) Time time it takes to achieve business goals as a result of quality
2) The speed at which companies improve
Why is quality planning important
Quality improvement involves identifying potential improvements, prioritizing areas for improvement and planning the implementation of project and improvement
Quality improvement is a planned managerial activity
LEADERSHIP FOR QUALITY
5 Leadership power
1) The power of expertise
2) Reward power
3) Coercive power
4) Referent power
5) Legitimate power
Principles of leadership for quality
1) Customer focus
2) Recognizing the structure of work
4) Freedom through control
5) Unity of purpose
6) Looking fr faults in systems
7) Teamwork
8) Continuing education and training
3) Obsession with quality
QUALITY AND ETHICS
1) Quality appears to be good business
2) Quality is also good ethics
3) it is unethical to ship defective products knowing to a customers
4) Reliable products and low defect rates reflect an ethical approach of management's care for its customers
QUALITY AS STRATEGY
These strategies are
1) Cost of quality
3 Dimensions of costs of quality
i) PAF paradigm:
a) Prevention cost
b) Appraisal costs
c) Failure costs
ii) Accounting for quality-related costs (AQRC)
AQRS are all about the calculation of incurred costs
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iii) Lundvall-Juran quality cost model
Using the law of diminshing marginal returns, quality costs can be modeled to show the tradeoffs between these costs= called Lundvall - Juran Model
2) Differentiation trough quality
i) The product price is signifiicantly above the average market price for such product
ii) It might be a very expensive, brand-name that the customer want
iii) Chances are that such a product benefits from differentiation
iv) Differentiation is achieved by a competitor if the consumer perceives the product or service to be unique in an important way
Focus trough quality
i) Focus the product
ii) Product that is particularly regional or is marketed to a particular segment of the population
iii) The limited customer group or a segment of the market is the object of the focus strategy
iv) By focusing on the particular group of customer will the organization will get more business
QUALITY LEAD TO BATTER BUSINESS IN TERMS OF
1) Quality and price
2) Quality and cost
3) Quality and productivity
4) Quality and environment
DEPLOYING QUALITY
A mature strategic quality planning
1) The strategic planning process contains quality concerns at every step of the process
2) Using professional facilitators, the strategic management team reviews the current years performance against projectios
3) The team makes adjustments to the current years plan
4) Once completed, the mission, vision and values are reviewed and updates
NUR SYAFIQAH NASUHA BINTI SHAHARUDIN (236885)