Edward Deming is the fellow who worked hard to put quality back into manufacturing in America over the past three decades.
Dr. Deming is famous in the world of quality for his White Bead Company demonstration. In this demonstration he presents the idea that inspection at the end of the white bead manufacturing line cannot reduce the 10% red bead (errors) output. The reduction of the red bead count must take place by controlling the inputs and process not by making improvements to the inspection process.
His premise that efforts to change the process itself will improve the results, not better inspection regime. Deming created his 14 points to improve quality these 14 points is the repeated admonishment to institute leadership.
Condensation of the 14 Points for Management
Origin of the 14 points.
The 14 points are the basis for transformation of American industry. It will not suffice merely to solve problems, big or little. Adoption and action on the 14 points are a signal that the management intend to stay in business and aim to protect investors and jobs. Such a system formed the basis for lessons for top management in Japan in 1950 and in subsequent years. The 14 points apply anywhere, to small organizations as well as to large ones, to the service industry as well as to manufacturing. They apply to a division within a company.
The 14 points.
- Create constancy of purpose toward improvement of product and service, with the aim to become competitive, stay in business and to provide jobs.
- Adopt the new philosophy. We are in a new economic age. Western management must awaken to the challenge, must learn their responsibilities, and take on leadership for change.
- Cease dependence on inspection to achieve quality. Eliminate the need for massive inspection by building quality into the product in the first place.
- End the practice of awarding business on the basis of a price tag. Instead, minimize total cost. Move towards a single supplier for any one item, on a long-term relationship of loyalty and trust.
- Improve constantly and forever the system of production and service, to improve quality and productivity, and thus constantly decrease costs.
- Institute training on the job.
- Institute leadership. The aim of supervision should be to help people and machines and gadgets do a better job. Supervision of management is in need of overhaul, as well as supervision of production workers.
- Drive out fear, so that everyone may work effectively for the company.
- Break down barriers between departments. People in research, design, sales, and production must work as a team, in order to foresee problems of production and usage that may be encountered with the product or service.
- Eliminate slogans, exhortations, and targets for the work force asking for zero defects and new levels of productivity. Such exhortations only create adversarial relationships, as the bulk of the causes of low quality and low productivity belong to the system and thus lie beyond the power of the work force.
- Eliminate work standards (quotas) on the factory floor. Substitute with leadership. Eliminate management by objective. Eliminate management by numbers and numerical goals. Instead substitute with leadership.
- Remove barriers that rob the hourly worker of his right to pride of workmanship. The responsibility of supervisors must be changed from sheer numbers to quality. Remove barriers that rob people in management and in engineering of their right to pride of workmanship. This means, inter alia, abolishment of the annual or merit rating and of management by objectives.
- Institute a vigorous program of education and self-improvement.
- Put everybody in the company to work to accomplish the transformation. The transformation is everybody’s job.