Battle of the improvement systems
photo credit: The Singapore Idler
In this post I’ll be exploring the differences between ISO 9001, Total Quality Management (TQM) and Six Sigma, along with how both 9001 and TQM could be combined with the power of Six Sigma.
Six Sigma builds upon many of the successful elements of the previous quality improvement strategies and incorporates unique methods of its own. Compared to other quality management and improvement systems, Six Sigma stands out as a methodology for identifying the causes of specific quality problems and solving those problems. Six Sigma can often be used to complement other quality management or improvement systems.
Indeed this paper suggests that Six Sigma should be integrated with established quality concepts whereby quality management systems are the most disseminated approaches. However, it notes that,
“… The challenge is to combine conveniently aspects of both approaches to reach a maximum benefit through a targeted application …”
ISO 9001 is a Quality Management System, which includes specialized quality management standards for specific industries. A Quality Management System is a system of clearly defined organizational structures, processes, responsibilities and resources used to assure minimum standards of quality and can be used to evaluate an organizations overall quality management efforts. An ISO 9001 certification assures a company’s customers that minimum acceptable systems and procedures are in place in the company to guarantee that minimum quality standards can be met.
Comparison with Six Sigma
ISO 9001 and Six Sigma serve two different purposes. ISO 9001 is a quality management system while Six Sigma is a strategy and methodology for business performance improvement.
ISO 9001, with guidelines for problem solving and decision making, requires a continuous improvement process in place but does not indicate what the process should look like while Six Sigma can provide the needed improvement process. Meanwhile, Six Sigma does not provide a template for evaluating an organization’s overall quality management efforts whereas ISO9001 does.
Six Sigma provides a methodology for delivering certain objectives set by ISO such as:
- prevention of defects at all stages from design through servicing;
- statistical techniques required for establishing, controlling and verifying process capability and product characterization;
- investigation of the cause of defects relating to product, process and quality system;
- continuous improvement of the quality of products and services.
Six Sigma supports ISO and helps an organization satisfying the ISO requirements. Further, ISO is an excellent vehicle for documenting and maintaining the process management system involving Six Sigma. Besides, extensive training is required by both systems for successful deployment.
TQM objectives
Total Quality Management (TQM) is a structured system for satisfying internal and external customers and suppliers by integrating the business environment, continuous improvement, and breakthroughs with development, improvement, and maintenance cycles while changing organizational culture. TQM aims for quality principles to be applied broadly throughout an organization or set of business processes. In the book, What Is Six Sigma?
“… In the 1980s, Total Quality Management (TQM) was popular. It too was an improvement-focused program, but it ultimately died a slow and silent death in many companies. …”
Why? Well, in the book The Six Sigma Handbook
“… In many TQM programs of the past people were unable to point to specific bottom-line benefits, so interest gradually waned …”
So how does TQM compare with Six Sigma?
Comparison with Six Sigma
TQM and Six Sigma have a number of similarities including the following:
- A customer orientation and focus
- A process view of work
- A continuous improvement mindset
- A goal of improving all aspects and functions of the organizations
- Data-based decision making
- Benefits depend highly on effective implementation
A key difference between TQM and Six Sigma is that Six Sigma focuses on prioritizing and solving specific problems which are selected based on the strategic priorities of the company and the problems which are causing the most defects whereas TQM employs a more broad based application of quality measures to all of the company’s business processes.
Another difference is that TQM tends to apply quality initiatives within specific departments whereas Six Sigma is cross functional meaning that in penetrates every department which is involved in a particular business process that is subject to a Six Sigma project.
TQM also provides less methodology in terms of the deployment process whereas Six Sigma’s DMAIC framework provides a stronger platform for deployment and execution. For example, Six Sigma has a much stronger focus on measurement and statistics which helps the company define and achieve specific objectives.
Six Sigma is complementary to TQM because it can help to prioritize issues within a broader TQM program and provides the DMAIC framework which can be used to meet TQM objectives.
Is your quality system integrated with Six Sigma or do you apply the principles of TQM in a Six Sigma environment? What have been your experiences? Leave a comment below.
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Comments
By Meikah Delid on November 23rd, 2006 at 3:57 pm
Robert, good discussion you got going here. It’s clear and succinct. Just a clarification:
Six Sigma does not provide a template for evaluating an organization’s overall quality management efforts whereas ISO9001 does. I wonder what you mean by template here. Because I think the project charter or TMAP of Six Sigma can handle this.
At any rate, I believe that all quality management strategies complement each other. In fact,sometimes, an organization’s structure tell us which strategy or combination of strategies will work.
By Meikah Delid on November 23rd, 2006 at 10:57 am
Robert, good discussion you got going here. It's clear and succinct. Just a clarification:
Six Sigma does not provide a template for evaluating an organization’s overall quality management efforts whereas ISO9001 does. I wonder what you mean by template here. Because I think the project charter or TMAP of Six Sigma can handle this.
At any rate, I believe that all quality management strategies complement each other. In fact,sometimes, an organization's structure tell us which strategy or combination of strategies will work.
By robert on November 23rd, 2006 at 4:08 pm
@meikah: Just a point of clarification, what I meant was that if an organisation has an ISO9001 compliant management system installed then there is a requirement for continuous improvement to be demonstrated within this framework. For me six sigma provides a means of evaluating how the ISO9001 system is improving business processes; if an ISO9001 system completely assured quality within a company then there would be no need for six sigma. Clearly it does not so there is a need for the six sigma process. Does this make sense?
By robert on November 23rd, 2006 at 11:08 am
@meikah: Just a point of clarification, what I meant was that if an organisation has an ISO9001 compliant management system installed then there is a requirement for continuous improvement to be demonstrated within this framework. For me six sigma provides a means of evaluating how the ISO9001 system is improving business processes; if an ISO9001 system completely assured quality within a company then there would be no need for six sigma. Clearly it does not so there is a need for the six sigma process. Does this make sense?
By Gas forum on February 21st, 2009 at 8:05 pm
Thanks for the clarification Robert. It makes sense to me.
By bodybuilding on February 21st, 2009 at 8:09 pm
Thanks for your post robert. It was very helpful in understanding things especially on how 9001 and TQM could be combined for Six Sigma.
By Paul on February 21st, 2009 at 8:17 pm
Well written post I learned a lot.
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By Shaun Sayers on October 26th, 2009 at 7:09 am
My firm view is that, for established companies with a half decent management system in place, the only real benefit of ISO 9001 is that it may offer access to contracts that require it as a selection criteria. The base line is set quite low and the standard to which auditors actually audit is often lower still (or at least highly elastic). That said, there is a lot to be said for gaining access to contract opportunities, so let's not knock that
The only other real benefit I've witnessed has been to throw a semblance of order around a disorganises system. I've worked with managers frustrated, for example, with a day to day management attitude where the "system" (if you can call it that) is carried around in the heads of key individuals, Obviously this leave the business quite vulnerable to unexpected absences. ISO 9001 encourages a discipline of a basic documented structure that leaves the business less vulnerable to these things
Beyond that I have found its real benefits limited and i get frustrated when I see exaggerated claims (usually by consultants) about how ISO 9001 WILL reduce costs, increase customer satisfaction and pay for itself very quickly. While I can accept that these can be outcomes, the reality is that no-one can give such guarantees.
By qamanager on October 31st, 2009 at 7:25 am
I agree that ISO 9001 provides a solid framework for a business, although it has to buy into the intent behind it and not just use it as wall paper.
By dayak on December 24th, 2009 at 4:20 pm
I really agreed with Shaun that's he says: The only other real benefit I've witnessed has been to throw a semblance of order around a disorganises system
By qamanager on December 24th, 2009 at 6:05 pm
Shaun speaks a lot of sense doesn't he.
By Bigmuscles on January 8th, 2010 at 2:43 am
I believe anything depends on the company it self. The structure, the business matters etc etc. ISO can be useful to some but it surely would depend on may factors.
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