15 Total quality management D.J. Rose, Campden and chorleywood Food Research Association 15.1 Introduction Organisations looking to develop their business operations through the current volatile economic climates need to establish clear objectives as to how the various elements of the business need to perform to ensure continuing growth and viability. In order to achieve these objectives it is further imperative to have mechanisms in place to monitor performance and also to provide a process by which change can be implemented in those areas of activity which need strengthening. Total Quality Management(TQM) is a management tool which provides that opportunity In its broadest sense TQM provides a business system by which the whole organisation can be harnessed to meet the needs of customer requirements. It is important to emphasise that TQM is not merely a technical standard but encompasses both the technical and business operations. The fundamental requirement for a successful TQM system is to have good management practices, TQM alone cannot provide this and any systems implemented will only ever be as successful as the staff involved The purpose of this chapter is to describe the key elements that need to be considered when setting up a Total Quality Management system. It provides information on the typical range of quality systems that may already be in place within an organisation and looks at how these can be used to bring together all of the requirements necessary to achieve a TQM system. It further explains the ke steps necessary to begin development of the system and the implementation process required. Finally the key monitoring processes needed to confirm successful implementation and for continued improvement and devel the system are explained
15.1 Introduction Organisations looking to develop their business operations through the current volatile economic climates need to establish clear objectives as to how the various elements of the business need to perform to ensure continuing growth and viability. In order to achieve these objectives it is further imperative to have mechanisms in place to monitor performance and also to provide a process by which change can be implemented in those areas of activity which need strengthening. Total Quality Management (TQM) is a management tool which provides that opportunity. In its broadest sense TQM provides a business system by which the whole organisation can be harnessed to meet the needs of customer requirements. It is important to emphasise that TQM is not merely a technical standard but encompasses both the technical and business operations. The fundamental requirement for a successful TQM system is to have good management practices, TQM alone cannot provide this and any systems implemented will only ever be as successful as the staff involved. The purpose of this chapter is to describe the key elements that need to be considered when setting up a Total Quality Management system. It provides information on the typical range of quality systems that may already be in place within an organisation and looks at how these can be used to bring together all of the requirements necessary to achieve a TQM system. It further explains the key steps necessary to begin development of the system and the implementation process required. Finally the key monitoring processes needed to confirm successful implementation and for continued improvement and development of the system are explained. 15 Total quality management D. J. Rose, Campden and Chorleywood Food Research Association
430 Chilled foods 15.1.1 Defining quality Despite the preponderance of quality assurance texts, quality standards, and definitions of quality, many people are still confused by the term quality. In the early incarnations of quality management, quality assurance and quality control were often used synonymously. However the importance of differentiating between reactive quality management (quality control) and pro-active quality management(quality assurance)was quickly realised. More importantly the benefits to be derived from the wide ranging implications of quality assurance were soon realised and capitalised upon by practitioners. The concept of TQM akes the now more familiar quality assurance requirements, as exemplified by BS5750/ISO9000, one step further and seeks to view ALL operations and processes that a company utilises as being inherently important to their overall business performance and quality of service parameters According to BS 7850, Total Quality Management may be defined as follows Management philosophy and company practices that aim to harness the human and material resources of an organisation in the most effective way to achieve the objectives of the organisation. On a slightly different tack, Margaret Thatcher once paraphrased quality very succinctly, The combinations of features in a product which ensures that customers come back for a product which does not However, it is important to realise that the objectives of the organisation can be multifaceted and reflect other primary business needs as well as the more obvious product quality issues. TQM systems should therefore be capable of ncorporating objectives as diverse as customer satisfaction, business growth profit maximisation, market leadership, environmental concerns, health and safety issues and reflect the companys position and role within the local community. One over-riding principle must be for the TQM system to ensure compatibility with the needs of current legislation in all its guises- food safe business practices, environmental and waste, employment rights and health and safety The need to meet the ever-increasing demands of customers for improved reliability and quality of product have fuelled the need to consider TQM systems. Supplying just-in-time manufactured products with short shelf-lives to the retail outlet in a reliable and dependable manner, pressure on margins to provide cheap yet wholesome foods, and the continuing need to provide evidence of safe food production have all added to the requirement to consider the totality of the chilled food business operation Unfortunately for staff tasked with considering TQM systems there has been much confusing literature produced on the subject. Various titles have been used to describe TQM systems, e.g. Continuous Quality Improvement, Total Qual Total Business Management, Company Wide Business Management, Cost Effective Quality Management, Integrated Management Systems. Suffice it to say that the objectives of the various schemes have all been synonymous and I refer the reader back to the definition of TQM given earlier from BS 7850. The hallenge to practitioners of TQM is usually not with the title given to the
15.1.1 Defining quality Despite the preponderance of quality assurance texts, quality standards, and definitions of quality, many people are still confused by the term quality. In the early incarnations of quality management, quality assurance and quality control were often used synonymously. However the importance of differentiating between reactive quality management (quality control) and pro-active quality management (quality assurance) was quickly realised. More importantly the benefits to be derived from the wide ranging implications of quality assurance were soon realised and capitalised upon by practitioners. The concept of TQM takes the now more familiar quality assurance requirements, as exemplified by BS5750/ISO9000, one step further and seeks to view ALL operations and processes that a company utilises as being inherently important to their overall business performance and quality of service parameters. According to BS 7850, Total Quality Management may be defined as follows – ‘Management philosophy and company practices that aim to harness the human and material resources of an organisation in the most effective way to achieve the objectives of the organisation.’ On a slightly different tack, Margaret Thatcher once paraphrased quality very succinctly, ‘The combinations of features in a product which ensures that customers come back for a product which does not.’ However, it is important to realise that the objectives of the organisation can be multifaceted and reflect other primary business needs as well as the more obvious product quality issues. TQM systems should therefore be capable of incorporating objectives as diverse as customer satisfaction, business growth, profit maximisation, market leadership, environmental concerns, health and safety issues and reflect the company’s position and role within the local community. One over-riding principle must be for the TQM system to ensure compatibility with the needs of current legislation in all its guises – food safety, business practices, environmental and waste, employment rights and health and safety. The need to meet the ever-increasing demands of customers for improved reliability and quality of product have fuelled the need to consider TQM systems. Supplying ‘just-in-time’ manufactured products with short shelf-lives to the retail outlet in a reliable and dependable manner, pressure on margins to provide cheap yet wholesome foods, and the continuing need to provide evidence of safe food production have all added to the requirement to consider the totality of the chilled food business operation. Unfortunately for staff tasked with considering TQM systems there has been much confusing literature produced on the subject. Various titles have been used to describe TQM systems, e.g. Continuous Quality Improvement, Total Quality, Total Business Management, Company Wide Business Management, Cost Effective Quality Management, Integrated Management Systems. Suffice it to say that the objectives of the various schemes have all been synonymous and I refer the reader back to the definition of TQM given earlier from BS 7850. The challenge to practitioners of TQM is usually not with the title given to the 430 Chilled foods
Total quality management 431 system, but rather to understanding their business well enough to identify all of TOMey elements required to be set up and managed within the umbrella of This analysis of the key business processes may be achieved by a variety of different means. Most critical to the analysis is the ability to collect suitable and useable data which reflects the process. The use of data collection forms performance data, market research, productivity information or financial data may all be appropriate. Analysis of the data to extract useful and usable outputs may be performed by a variety of different techniques. BS 7850 recommends affinity diagrams, brainstorming sessions, cause and effect diagrams, flow charts and tree diagrams to analyse non-numerical data. Control charts, histograms, Pareto diagrams and scatter diagrams may be useful for numerical data. By understanding all of its business processes companies are able to define the orocess, implement controls, monitor performance and measure improvements This is the fundamental basis of Total Quality Management 15.1.2 Quality assurance systems The foundation for any quality system is to be found in the fundamental principles of Good Manufacturing Practice(GMP). The technical requirements for GMP for chilled food operations are addressed elsewhere in this book. There are also many guidelines available for the manufacture, handling and preparation of chilled foods(Department of Health, 1989, Institute of Food Science and Technology, 1990; Chilled Food Association, 1995, and 1997 National Cold Store Federation, 1989). All focus on the key technical requirements for safe, hygienic, good manufacturing practices, allied to good storage, handling and distribution practices. In this context, these can be considered the fundamental technical objectives or standards to be achieved Currently a large number of targeted quality assurance systems have found favour throughout the Chilled Food Industry The most prevalent of the formal quality systems is still the BS EN ISo 9000 (BS5750) suite of standards incorporating specifically BS EN ISO 9002 for luction facilities and Bs en Iso 9001 for production operations incorporating new product development activities. ISo 9000 systems provide he advantage of laying down formal management controls for production activities, but also can easily be extended to other critical business activities such as purchasing, sales and distribution. Many operations have already extended their iso 9000 systems into a TQM system by encompassing their other critical business processes Manufacturing production sites have now also been forced to consider the requirements necessary to meet the requirements of Hazard Analysis Critical Control Point(HACCP) systems based on Codex Alimentarius definitions. As well as providing the key control measures necessary to understand the mechanics of producing safe food, HACCP systems also provide the basis around which to build production control systems and to ensure product quality
system, but rather to understanding their business well enough to identify all of the key elements required to be set up and managed within the umbrella of TQM. This analysis of the key business processes may be achieved by a variety of different means. Most critical to the analysis is the ability to collect suitable and useable data which reflects the process. The use of data collection forms, performance data, market research, productivity information or financial data may all be appropriate. Analysis of the data to extract useful and usable outputs may be performed by a variety of different techniques. BS 7850 recommends affinity diagrams, brainstorming sessions, cause and effect diagrams, flow charts and tree diagrams to analyse non-numerical data. Control charts, histograms, Pareto diagrams and scatter diagrams may be useful for numerical data. By understanding all of its business processes companies are able to define the process, implement controls, monitor performance and measure improvements. This is the fundamental basis of Total Quality Management. 15.1.2 Quality assurance systems The foundation for any quality system is to be found in the fundamental principles of Good Manufacturing Practice (GMP). The technical requirements for GMP for chilled food operations are addressed elsewhere in this book. There are also many guidelines available for the manufacture, handling and preparation of chilled foods (Department of Health, 1989; Institute of Food Science and Technology, 1990; Chilled Food Association, 1995, and 1997; National Cold Store Federation, 1989). All focus on the key technical requirements for safe, hygienic, good manufacturing practices, allied to good storage, handling and distribution practices. In this context, these can be considered the fundamental technical objectives or standards to be achieved. Currently a large number of targeted quality assurance systems have found favour throughout the Chilled Food Industry. The most prevalent of the formal quality systems is still the BS EN ISO 9000 (BS5750) suite of standards incorporating specifically BS EN ISO 9002 for production facilities and BS EN ISO 9001 for production operations incorporating new product development activities. ISO 9000 systems provide the advantage of laying down formal management controls for production activities, but also can easily be extended to other critical business activities such as purchasing, sales and distribution. Many operations have already extended their ISO 9000 systems into a TQM system by encompassing their other critical business processes. Manufacturing production sites have now also been forced to consider the requirements necessary to meet the requirements of Hazard Analysis Critical Control Point (HACCP) systems based on Codex Alimentarius definitions. As well as providing the key control measures necessary to understand the mechanics of producing safe food, HACCP systems also provide the basis around which to build production control systems and to ensure product quality Total quality management 431
432 Chilled foods in the operation Documentation of HACCP plans to meet the seven fundamental principles of HACCP as laid out by Codex Alimentarius is also required. These documented plans, together with associated operational procedures, records of operation and evidence of maintenance of the critical control points, often form enough of a basis for production activities to be controlled and managed by using the HACCP plans as a quality system-see principle 7: ' Establish documentation concerning all procedures and records appropriate to these principles and their More recently businesses have needed to consider the impact of their operations on the environment. Moves to standardise environmental control and management have been formalised within ISo 14001. This international standard 'Environmental Management Systems- Specification for Guidance and Use has strong links to Iso 9001 and covers issues such as policy statements, process control, system structure, training, awareness and compe tence, system documentation, checking and corrective action, preventive action, record keeping, system auditing and management review. The stated aim of Iso 14001 is to ' provide organisations with the elements of an effective environmental management system which can be integrated with other management requirements. This approach is an obvious lead in to the concept of incorporating environmental objectives within a TQM system Yet more recently, safety systems have been targeted for incorporation within he suite of quality system functions and Bs 8800(Guide to Occupational Health and Safety Management Systems') provides a framework within which to manage safety systems and safety training activities. Given the increasing importance of staff occupational safety and the need to minimise exposure to potential litigation, manufacturers are well advised to treat this area of activity seriously. Companies may also have an interest in other systems related to staff training-i.e the Investors in People standard within the UK, organised through local Training and Enterprise Councils, which requires proper evidence of structured training programs for staff, records of all training activities and clear benefits being derived from both staff and employers from In a critical key development the British Retail Consortium(BRC)has issued its core Technical Standard for Companies Supplying Retailer Branded ood Products. This standard is being used by a large number of UK retailers as the definitive standard for suppliers and terms of business are being agreed which include the requirement for companies to meet this standard. The BRC standard itself focuses on a large number of essential and recommended good manufacturing practices and is underpinned by the need to establish supporting nanagement systems to back up these manufacturing practices. In essence 6 key areas are involved, HACCP systems, quality management systems, factory environmental standards, product control, process control and personnel lementation of the standard is being handled through third-party inspection whose remit is to ensure compliance of the operating site
in the operation. Documentation of HACCP plans to meet the seven fundamental principles of HACCP as laid out by Codex Alimentarius is also required. These documented plans, together with associated operational procedures, records of operation and evidence of maintenance of the critical control points, often form enough of a basis for production activities to be controlled and managed by using the HACCP plans as a quality system – see principle 7: ‘Establish documentation concerning all procedures and records appropriate to these principles and their application.’ More recently businesses have needed to consider the impact of their operations on the environment. Moves to standardise environmental control and management have been formalised within ISO 14001. This international standard ‘Environmental Management Systems – Specification for Guidance and Use’ has strong links to ISO 9001 and covers issues such as policy statements, process control, system structure, training, awareness and competence, system documentation, checking and corrective action, preventive action, record keeping, system auditing and management review. The stated aim of ISO 14001 is to ‘provide organisations with the elements of an effective environmental management system which can be integrated with other management requirements’. This approach is an obvious lead in to the concept of incorporating environmental objectives within a TQM system. Yet more recently, safety systems have been targeted for incorporation within the suite of quality system functions and BS 8800 (‘Guide to Occupational Health and Safety Management Systems’) provides a framework within which to manage safety systems and safety training activities. Given the increasing importance of staff occupational safety and the need to minimise exposure to potential litigation, manufacturers are well advised to treat this area of activity seriously. Companies may also have an interest in other systems related to staff training – i.e. the Investors in People standard within the UK, organised through local Training and Enterprise Councils, which requires proper evidence of structured training programs for staff, records of all training activities and clear benefits being derived from both staff and employers from their training programme. In a critical key development the British Retail Consortium (BRC) has now issued its core Technical Standard for Companies Supplying Retailer Branded Food Products. This standard is being used by a large number of UK retailers as the definitive standard for suppliers and terms of business are being agreed which include the requirement for companies to meet this standard. The BRC standard itself focuses on a large number of essential and recommended good manufacturing practices and is underpinned by the need to establish supporting management systems to back up these manufacturing practices. In essence 6 key areas are involved, HACCP systems, quality management systems, factory environmental standards, product control, process control and personnel. Implementation of the standard is being handled through third-party inspection bodies whose remit is to ensure compliance of the operating site with the 432 Chilled foods
Total quality management 433 standard. In some cases, as for the European Food Safety Inspection Service (EFSIS), the inspection bodies have incorporated the brC standard within their own inspection standard to provide and even more rigorous examination of the All of the quality systems mentioned above have essential core elements and similarities. Most importantly the critical elements of control can easily be related to the core business functions of the site. These. taken hand in hand with the key legal, safety and environmental control measures all sites are obliged to adopt, offer a comprehensive and complete set of frameworks within which to develop a total quality management system 15.2 The scope of a quality system This section summarises the essential business processes to be considered when addressing Total Quality Management systems concerned with the production of chilled foods. The next deals with the necessary administrative detail of developing the quality system 15.2.1 Raw materials, purchasing and control Raw and packaging materials should be purchased to agreed specifications and from suppliers capable of achieving those specifications should be audited for quality and safety Raw materials should be stored under hygienic conditions that prevent contamination by microorganisms, insects and other pests Stock control systems should be used for minimising storage times. Coding systems should be used to ensure traceability Inspection of raw and packaging materials should complement the suppliers quality systems Control and release should be under the responsibility of a competent technical perso Non-conforming raw materials should be recorded and investigated to identify and rectify problems 15.2.2 Process control The HACCP approach should be used to identify critical control points as part of developing process specifications and to determine monitoring The HACCP plan must be suitably verified and the control points demonstrated to be sufficient to control the product The arrangement of plant should minimise the likelihood of cross- contamination Plant should be hygienically designed
standard. In some cases, as for the European Food Safety Inspection Service (EFSIS), the inspection bodies have incorporated the BRC standard within their own inspection standard to provide and even more rigorous examination of the operating site. All of the quality systems mentioned above have essential core elements and similarities. Most importantly the critical elements of control can easily be related to the core business functions of the site. These, taken hand in hand with the key legal, safety and environmental control measures all sites are obliged to adopt, offer a comprehensive and complete set of frameworks within which to develop a total quality management system. 15.2 The scope of a quality system This section summarises the essential business processes to be considered when addressing Total Quality Management systems concerned with the production of chilled foods. The next section deals with the necessary administrative detail of developing the quality system. 15.2.1 Raw materials, purchasing and control • Raw and packaging materials should be purchased to agreed specifications, and from suppliers capable of achieving those specifications. Suppliers should be audited for quality and safety. • Raw materials should be stored under hygienic conditions that prevent contamination by microorganisms, insects and other pests. • Stock control systems should be used for minimising storage times. Coding systems should be used to ensure traceability. • Inspection of raw and packaging materials should complement the suppliers’ quality systems. • Control and release should be under the responsibility of a competent technical person. • Non-conforming raw materials should be recorded and investigated to identify and rectify problems. 15.2.2 Process control • The HACCP approach should be used to identify critical control points as part of developing process specifications and to determine monitoring programmes. • The HACCP plan must be suitably verified and the control points demonstrated to be sufficient to control the product. • The arrangement of plant should minimise the likelihood of crosscontamination. • Plant should be hygienically designed. Total quality management 433