Page 58 - The Handbook for Quality Management a Complete Guide to Operational Excellence

44 B u s i n e s s - I n t e g r a t e d Q u a l i t y S y s t e m s A p p r o a c h e s t o Q u a l i t y 45

improve in all its activities: greater efficiency, lower rejection rates,
increased customer satisfaction, etc.
7. Factual approach to decision making. None of these principles can be
achieved if the organization does not include methods of gather-
ing information about its systems of interrelated processes. That
information becomes the source for ensuring ongoing customer
satisfaction and implementing continual improve-ment efforts,
both of which result from a properly run organization.
8. Mutually beneficial supplier relationships. The organization cannot
succeed if it allows hostile or uncooperative relationships with its
suppliers. Since suppliers comprise an integral part of the systems
an organization must manage, creating a cooperative relationship
with suppliers must not be minimized.

Whereas the previous standards provided a near-checklist of 20 qual-
ity elements, these elements are now dispersed through five main clauses,
representing a more systems-focused approach (Stapp, 2001):

Clause 4: Quality management system. Includes general requirements,
documentation requirements.
Clause 5: Management responsibility. Includes management commitment,
customer focus, quality policy, planning, administration of the quality
management system, and management review.

Clause 6: Resource management. Includes provision of resources, human
resources, facilities, work environment.
Clause 7: Product realization. Includes planning of realization processes
customer-related processes, design and development, purchasing,
production and service operations, and control of monitoring and
measuring devices.
Clause 8: Measurement, analysis, and improvement. Includes customer
satisfaction measurement, measurement of process and product,
control of nonconformance, analysis of data, continual improvement,
and corrective/preventive action.
In some ways, the new standard makes it easier for organizations to
attain higher levels of performance by adopting other models, such as the
Baldrige criteria, which can now more easily coexist in the organization.

Malcolm Baldrige National Quality Award
Public Law 100-107, the Malcolm Baldrige National Quality Improvement
Act of 1987, signed by President Reagan on August 20, 1987, established
an annual U.S. National Quality Award. The purposes of the award are to
promote awareness of quality excellence, to recognize quality achievements

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