Управление качеством в международных корпорациях. Практикум на английском языке

Practical training

–to plan and carry out the activities of accreditation of calibration and testing labs, of proficiency test suppliers, of certification bodies, of inspection, drilling and others, all of which are necessary for the development of the infrastructure of technological services in the country;

–to manage the Focal Point for Technical Barriers to Trade, responsible for the Brazilian WTO/TBT Enquiry Point, for providing

Brazilian exporters with information on technical requirements, as well as supporting the Brazilian government in all international negotiations on technical barriers to trade;

–to harbor the use of the management technique of quality by the Brazilian enterprises ;

–to foster the presence of Brazil in the international activities related to metrology and quality, plus promoting the interchange with and international bodies.

Strategic Guidelines

Establishing Inmetro as the National Metrology Institute of Brazil faces three basic challenges:

–the creation of the required conditions, according to international parameters,forthefullpracticeofthedutiesrelatedtotheInstitute;that includes a strong institutional and administrative framework, a solid and well equipped laboratory infrastructure, plus an adequate number of highly qualified personnel, both scientifically and technologically;

–to meet the country´s metrological demands, always taking into consideration the competitiveness and productivity of the production sector, plus full occupation of the pertinent spaces;

–expansion of Inmetro´s coordination actions for the metrological activities of the country.

Inmetro´s credibility confirmed

The most recent Inmetro poll carried out by Brazil´s major opinion poll agency – the «Ibope», confirmed that Inmetro´s prestige among the Brazilian population is on the rise, especially on what concerns the evolution of the indicators of competence and trust in the institution.

With reference to the credibility of its «quality seal» on products, the poll showed that 81 % of those researched replied that yes, the seal influences their decision whether or not to buy a certain product. The highest level of approval is in Brazil´s Northeastern region, where 84%ofthepopulationsaystheytrustInmetro.IntheSoutheastBrazil, which includes Rio de Janeiro and Sao Paulo, 77 % say Inmetro is

trustworthy.

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An assessment showed that of the goods surveyed, Fire Extinguisher is the one that deserves the highest average of trust, with 75 % of positive answers. It is followed by motorcyclist helmets, tires, toys, pressure cooker, natural latex rubber condoms,etc.

Tasks

1.Analyze factors influenced the successful conquest of the market in Brazil.

2.Describe measures are being taken to improve and maintain the quality control in Brazil.

3.How do you think human resource management influences the quality of the products? Explain your point of view.

4.To analyze the whole quality management in the Inmetro?

Questions

1.What is the quality certification ?

2.What are the basic infrastructure of quality infrastructure for product certification?

3.What is Asymmetry of information?

4.What are the standards for international trade?

References

1.Singh A. et al, Stabilization and Reform in Latin American: A Macroeconomic Perspective on the Experience Since the Early 1990´s. International Monetary Fund , Washington D.C. 2015.

2.United Nations (UN), a fair globalization: creating opportunities for all, World commission on the social dimension of globalization, New York. 2014.

3.Stiglitz J. E. Globalization and its discontents, W.W.Norton & Company, New York. 2013.

4.Averburg A. The Brazilian Economy in 1994–2014: From the Real Plan to Inflation Targets, The World Economy, 25,925–944, 2014.

5.World Trade OrganizationAnnual Report, Links between trade, standards and the WTO, Geneva. 2015.

6.Akerlof G., The market for ‘lemons’: Quality uncertainty and the market mechanism. Quarterly Journal of Economics 84 (3),488–500, 2013.

7.Spence A. M. Job market signaling,Quarterly Journal of

Economics 87, 2013. 355–374.

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8.Rothschild M., StiglitzJ. E. Equilibrium in competitive insurance markets, Quarterly Journal of Economics 91, 629–649. 2012.

9.O’NeillC.,LargeyA.Theroleofqualitystandards–accreditation in redressing asymmetry of information in health markets, Health Policy 45,2012, 33–45.

14.MULTI-LEVEL SYSTEM OF QUALITY ASSURANCE AND PRODUCT SAFETY: MCDONALD’S EXAMPLE

The purpose of this practice – to discuss and fix bases of multilevel system of quality assurance and product safety, its main principles.

This practice will allow creating competences PK-3: possession of skills of the strategic analysis, development and implementation of strategy of the organization aimed at providing competitiveness; and PK-5: ability to analyze interrelations between functional strategy of the companies for the purpose of preparation of the balanced administrative decisions and also to acquire the following knowledge and abilities:

–knowledge of multi-level system of quality assurance and product safety bases;

–understandingofanorderofitsimplementationinthecompanies’ activity;

–ability to define, what elements multi-level system of quality assurance and product safety consist in and how to use them to develop the company and economy.

Relevance of practice consists in necessity to know bases of multi-level system of quality assurance and product safety.

Theoretical part

Total Quality Management (TQM) programs are an important and prominent approach to management. Nowadays, most large corporations have a program that incorporates some of the practices and principles of total quality management. One of the most important principles of TQM concerns employee involvement or often called as empowerment. It is common for a TQM program to state that employee involvement is very important to its success.

For McDonald’s, total quality management (TQM) involves that the employees are at work on time, are neatly dressed, and are

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clean. The employees must make sure that the customers constantly receive safe food, which implies that the employees must wash their hands often to remain clean. Moreover, the employees must follow certain Standard Operational Procedures, so the customers always receive exceptional quality and service. This includes the employees using plastic gloves when they prepare the food, that the meat and friesareproperlyfried,andthatthevegetablesarethoroughlywashed when used in the food. Another TQM is that the employees rely on teamwork and high energy to get the job done, so that the customers do not have to wait long for their food. Furthermore, McDonald’s management emphasizes that their restaurants should be clean. This involves that the restaurants are tidy, sparkling and spotlessly clean. As McDonald’s illustrates the quality is that the employees delivers fast, accurate and friendly service with a smile.

For TQM programs that do not have management commitment and employee involvement are bound to fail. This will contribute to poor business results and employee turnover. High turnover rates are a challenge for any company in the food service industry, including McDonald’s. Both managers and academics believe that, with commitment from senior management, by involving employees in problem solving, decision making, and business operations, performance and productivity will increase. Employees should be encouraged to control their destiny and participate in the processes of the organization. To be effective, employees should be given power, information, knowledge, and rewards that are relevant to business performance. The Restaurant People Strategy is designed to offer a compelling employment value proposition by providing unique benefits, training and opportunities that meet the needs of today’s workers. McDonald’s benefits program is designed to attract, retain and engage talented people who will deliver strong performance and help McDonald’s achieve our business goals and objectives. These benefits include health and protection such as employee and dependent life insurance, dental, travel and business travel accident insurance; pay and rewards such as base pay and incentive pay, company car, profit sharing, paid holidays and vacation, educational assistance and several other benefits. This will help in higher levels of employee commitment in the countries where the company operate, which in turn, will continuously improve employee retention rates.

The most attractive side of McDonald’s’ activity is the training that stands as background in every single employee. McDonald’s

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corporation started his fortune training people on how to be kind, fast, precise and effective. There is a world–famous Hamburger University which is nearby the headquarters building, in Oak Brooke, Illinois, and serves as a training campus for restaurant managers and company leaders. Because of McDonald’s international scope, translators and electronic equipment enable professors to teach and communicate in 22 languages at one time. McDonald’s also manages ten international training centers, including Hamburger Universities in England, Japan, Germany and Australia. Today, more than 50,000 managers in McDonald’s restaurants have graduated from Hamburger University. McDonald’s believes that his quick–service format would be lost if service at the order desk was not courteous and efficient, to avoid this problem some detailed video tapes have been created to train every single worker who had to have direct contact with the customers. The tapes cover every aspect of dealing with the customers during his 15 seconds at the counter. Crewmen are instructed to initiate each order with a polite question: «May I have your order, please?» The success of these service methods cannot be questioned.

Focus on the customer

Customers are the one who consume goods and services offered by organizations or companies. In other words, all goods and services were provided as to fulfill the demand and the needs of consumer. Besidesthat,customersalsoaretheonlyonewhorankstheeffortand measurer of the satisfaction level of the goods and services offered by the organizations or company. Without customers, the efforts of managingandoperatingtheorganizationsorcompanywillbewasted. Therefore, focus on the customer is an element to measure the total quality management of the organization or company.

McDonald’s brand mission is to be our customer’s favorite place andwaytoeat.McDonald’soperators,suppliersaswellasemployees cooperate to achieve customers need in McDonald’s unique ways. They also have the best ideas with both large scale efficiency and local style through the most dominant grouping of entrepreneurial spirit and System wide position around their Plan to Win. McDonald’s provides the customers with high quality of food and better-quality services in a friendly, hygienic and enjoyable environment at a great value as to make their customers feel good when having McDonald’s foods and beverages.

McDonald’s takes into account of the customers’ nutrition. Researches had being carried out to measure and create a menu

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which match the daily nutrition of their customers. In this busy lives nowadays, McDonald’s concern with the calories consuming and other diet-related concern from the foods they provide as they want their customers to stay within their goals for the day. Besides, McDonald’saimtoinspireandmotivatepeopletolivebalanced,active lives with their Balanced,Active Lifestyles (BAL) efforts by bring in the global theme which is «it’s what I eat and what I do». Furthermore, McDonald’s introduced children’s nutrition meal named Happy Meals which were originally designed for young-age children in suitable portion sizes with essential nutrients such as protein, calcium, iron and vitamins B.

McDonald’s hamburger patties are made with 100 % United States Department of Agriculture (USDA) inspected beef in U.S. the hamburger patties only cook and prepared with salt and pepper which without added any preservatives and fillers. Besides, McDonald’s hamburger buns are made from North American grown wheat flour, the world famous French fries are made from potatoes and cooked in a canola-oil blend. To ensure customers are under protection and satisfaction, McDonald’s improve their food safety and quality standard to the highest rank in the industry. They source their ingredient from suppliers that hold on to strict standards for food safety and quality, including behaves a controlled, well-maintain and clean environment throughout their entire supply chain. They conduct stringent procedures for handling, storage and minimize exposure which will contribute to the presence of microorganisms as to maintain the quality of their food.

Furthermore,McDonald’sapproachtoenvironmentalresponsibility over the pass thirty years, they come out with the solutions that are good for their business system and also to the world in which they operate. The new environmental responsibility of McDonald’s is The 2010 Global Best of Green. This is a progress that demonstrated on multiple fronts including energy, packaging, anti-littering, recycling, logistics, communications, greening the restaurants, greening the workplace, sustainable food and suppliers leadership.

In addition, to enhance the image identifying of McDonald’s in customers from adults to kids, McDonald’s introduce a representative character named «Ronald McDonald», the Chief Happiness Officer of McDonald’s. Ronald was born in 1963 and join McDonald’s as goodwill officer at the same year. Ronald appearance is a clown who wears long sleeve shirt with red and white striped, yellow jumpsuit

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with matching red and white striped high stocking and a big red shoes. Ronald’s job is to entertain the customers and bring fun to their lives as he believes that life is all about having a good time. He also loves to entertaining people of all ages, especially children as he labeled himself has a kind of magical power to make everyone happy and laugh. This McDonald’s character’s first national appearance is in the Macy’s Thanksgiving Day Parade. To increase the acceptance of customers, Ronald now is able to communicate in 31 difference languages.

There are also 24-hour McDonald’s restaurant to serve customers as to improve customer satisfaction. Besides, McDonald’s introduces McValue Lunch from 12noon to 3pm from Monday to Sunday. Nevertheless, McDelivery is available from time to time with only a minimum charge based on every delivery.

Continuous Improvement

To be competitive in market, McDonald has provided more consistent quality and value to their owners or customers. Such goals demand that a continuous improvement (CI) process be established to provide total quality management. So that McDonald give lot attention to the satisfaction level of it customers with improve quality standards such as trained employees, improve product quality and improve performance and exercises a good strategy for its human resources.

First of all, to fulfill the needs of the customers according to their desires or requirement and also to make its product more competitive, McDonald has improved their products quality. Such as improving ingredients and nutrients of food stuff. For food allergies, McDonald consolidated all allergen information into the gradient statement. Besides, according to the nutrition information of McDonald, their product derived from testing conducted in accredited laboratories, published resources or from in formations provided from McDonald’s suppliers. It’s based on standard product formations and serving sizes.

More than that lot expenditure is made in the quality maintenance and improvement researches. McDonalds maintains the following quality rules such as maintaining strict standards of quality and safety, so that the customers can feel comfortable fitting any of the food products into their personal eating styles. Second, is serving a variety of nutritious, high-quality food products and portion size,

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including new salad, fruit, and vegetable offerings Happy Meal Choices. Beside, McDonald providing nutrition information to help customers make smart choices that address their individual lifestyle needs. Furthermore, the company informing the customers about energy balance and fun, practical ways to incorporate physical activity into their everyday lives and motivating kids to be active by engaging Ronald McDonald as ambassador for play and activity. Finally McDonald sponsoring major sports competitions, including the Olympics and the FIFA World Cup soccer matches.

More to the point, McDonald creates connection between the quality of product and the ability of employees by give training to their employees. Employees were having training for it work. For example, thecashieristrainedforallthecashhandling;floormanagerispolished against his degree in the hotel management. Besides, workers in McDonald consist of on–the job–training and largely vocational. More than those new workers were given orientation. McDonald also has a training room for their employees. During the training, trainer is use a series of checklist. It’s is important for McDonald to create quality employees. In addition McDonald uses the strategy “right person on right job” means that allocates resource in different areas according to the abilities, qualifications, and experiences of employees. Beside, McDonalds has different departments for different functions. For example, marketing department consists of marketing experts who perform marketing analysis and finance department consist of finance experts who arrange and manage finance.

AnotherstrategythatMcDonalduseisEmployee’sjobsatisfaction means that provides training opportunities to its employees. So it results in enhanced performance and they become more interested to work in good manner, which gives a good reputation to the organization and trains its employees of all departments to enhance their capabilities and to improve their skills.

A key part of the McDonald’s philosophy is continuous improvement, not only in the restaurants but with its primary and secondary suppliers as well. McDonald has developed a «Supplier Quality Index» (SQI) by which all suppliers are measured. It allows companies to monitor performance of suppliers across the many agricultural and non–agricultural product and services. McDonald also conducts regular audits each supplier including the two plants of Esca Food Solution Ltd. All Esca Food Solution Supplier in turn are subject to audit:

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One in-depth technical audit per year usually taking 2 full days Traceability audits-un announce al-three times each year for

every supplier including farm visits. Animal welfare audits

Product integrity audits

McDonald also introduces a sophisticated system of monitoring performance of its meat suppliers. After that based on a number of Key Performance Indicator (KPI’S), system benchmarks quality performance both against other suppliers and past performance that is operates in real-time. Also, supplier receives a monthly summary report of performance.

Case: Quality Management by Technique of Total Quality Management

Quality Circle

Quality Circle is one of the employee participation methods. It implies the development of skills, capabilities, confidence and creativity of the people through cumulative process of education, training, work experience and participation. It also implies the creation of facilitative conditions and environment of work, which creates and sustains their motivation and commitment towards work excellence. Quality Circles have emerged as a mechanism to develop and utilize the tremendous potential of people for improvement in product quality and productivity.Aquality circle is a small group of 6 to 12 employees doing similar work who voluntarily meet together on a regular basis to identify improvements in their respective work areas using proven techniques for analyzing and solving work related problems coming in the way of achieving and sustaining excellence leading to mutual uplift of employees as well as the organization. Circle members are free to collect data and take surveys. It is «a way of capturing the creative and innovative power that lies within the work force».

The quality circle focuses on making use of people to find solution for management problems. If workers are prepared to contribute their idea, the management must be willing to create a congenial environment to encourage them to do so. As on the McDonald’s team, each person plays an important role. Crew and managers work together, constantly communicating and supporting each other in a team which are busy and challenging but yet always strives to

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be cooperative and fun. McDonald’s employee’s performance is assessed not only on their work plan accomplishments, but also on the extent to which they demonstrate the Global Leadership Competency Model and McDonald’s values.

The concept of quality circle based upon recognition of the value of the workers as a human being, as someone who willingly activisms on his job, his wisdom, intelligence, experience, attitude and feeling. It is based on the human resource management considered as one of the key factors in the improvement of product quality and productivity. Three main attributed:

A form of participation management.

A human resource development technique. A problem solving technique.

The objectives of quality circle are multi–faced. One of the objectives is a change in attitude. It is a continuous improvement in the quality of work life through humanization of work. Based on McDonald believes that good governance is a journey, is not a destination. Accordingly, they commit to review their governance principle at least annually with a view to continuous improvement. Apartfromthatisself-development.Bringoutpeoplewhopotentialbut never been develop. For example, in mid-2006 McDonald introduced the McDonald’s Leadership Institute, a virtual learning community of guidance and resources to support and develop employee leadership and talent. Thus, people will get to learn additional skills. Addition, objective is development of team spirit. Team work is much better than individualism work. With team work its help eliminate inter departmental conflict. Moreover, improved organizational culture is also the main objective. It provides positive working environment with total involvement of people at all level. Thus, higher the motivational level due participate management process. McDonald’s values were recently integrated into their Global Leadership Competency Model, which has in turn, been embedded into their Performance Development System (PDS). As a result, every McDonald’s employee’s performance is assessed not only on their work plan accomplishments, but also on the extent to which they demonstrate the Global Leadership Competency Model and McDonald’s values.

Six Sigma

In the mid-1980s Six Sigma was started. Motorola was started Six Sigma but popularized in the 1990s by Allied Signal and General Electric, the approach between quality management and Six Sigma

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