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Operations Management: Honda's Quality Management - Essay Example

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Operations Management: Honda's Quality Management Table of Contents Operations Management: Honda's Quality Management 1 Table of Contents 2 Executive Summary 3 Introduction 3 Company Overview 4 Literature Overview 5 TQM Implementation By Honda 8 Benefits of TQM 8 Bottlenecks in implementing TQM 9 Suggestions 10 Conclusion 11 Executive Summary Implementation of Total Quality Management (TQM) demands stringent and effective changes all through the company…
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Operations Management: Hondas Quality Management
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Download file to see previous pages Few companies are satisfied in being as good as their competitors whereas others strive for excellence. Implementation of TQM demands stringent changes in all the other supporting departments of operations management. All the supporting process including product designing, job responsibilities, production process and product delivery have to be redesigned in such a way that in minimal time maximum quality work can be shaped. This report analyses the TQM implementation in Honda Motors in brief. Introduction Total quality management deals with implementing small steps to make the quality of the product better and to gain the most out of the limited resource. TQM focuses mainly on cutting down specific expenditures that leads to minimisation of profit. A company that decides to implement TQM has to first recognise those process which are not productive and do not play much role in adding to the quality of the product. Producing a product without wasting any resource including time in such an efficient way that the product has excellent quality is the main purpose of TQM. To implement TQM first the company has to rearrange the process that is directly related to the production and the delivery of the product (Rawlins, 2008, p.25). Honda Motors an established Japanese Automaker was one of the first companies to recognise the importance of TQM in increasing the quality quotient of their products. The TQM applied by Honda helped the automaker to save a lot of money which was spent on inventory and production process. The Japanese Automakers created a team of engineer who worked with one of their main suppliers Parker Hannifin. The team of selected engineers from Hondo Motors went to the Cleveland based plant of Parker Hannifin Corp. and helped them cut down on process which were both time and money consuming. The engineers worked in six plants and were able to install process that earned efficiency of worth $ 1.6 million per year. Most of the changes that were instilled were very basic yet effective in nature. Focus was given on cutting the number of time each part was dealt with. The new layout had cut down the time of several processes which used to previously take 19 days to 5 minutes. The Honda team worked with all the plants of their suppliers and made them more effective. Making the layout process of their supplier’s plant fast and effective ultimately helped Hondo motors to be more efficient have better quality(Thornton & Spence,1994,p.8). Company Overview Honda Motor Co. Ltd was established on September 24, 1948 in Japan. The current CEO of the company is Takanobu Ito. The company has around 176,815 employees world wide. They have operations well spread across the globe. The head office is based in Japan but they have operational set up in most countries. Honda Motors has around 390 subsidiaries. The main products of the company are Motorcycles, Automobiles and Power products. The company functions with the basic principle of respect for all beings. The company also emphasises on the three specific joys, the joy of purchasing, the joy of selling and the joy of creating something new. The company has always valued the efficiency of operation system. Hondo Motors was one of the first few companies to implement programs to make their process more efficient. Hondo Motors ...Download file to see next pagesRead More
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