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Case 4. Bosch - Faisel Mohamed

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INTERNATIONAL OPERATION

MANAGEMENT - CASE 4.
BOSCH

Faisel Mohamed
Case 4. Bosch

1. What is the role of “employee involvement” in Bosch’s quality management system?

For Bosch, Quality is the employees’ responsibility and goal.

The involvement of workers, accountability and decision-making offers a chance for sustained change
in the process. Employees' untapped ideas, innovations and creative thinking can influence success
and failure. Competition is so ferocious that not all the available resources will be unwise.

Employee involvement improves quality and increases productivity, because:

• Employees make better


• Employees make better decisions using their expert knowledge of the process.
• Employees are more likely to implement and support decisions they had a part in making.
• Employees are better able to spot and pinpoint areas of for improvement.
• Employees are better able to take immediate corrective actions.
• Employee involvement reduces labor/management friction by encouraging more effective
communication and cooperation.
• Employee involvement increases morale by creating feeling of belonging to the organization.
• Employees are better able to accept change because they control the work environment.
• Employees have an increased commitment to unit goals because they are involved.

The participation of employees should not be a fad soon to disappear. It is an important way of life
for QM and can differ between competitiveness and business absence. It is a way of life. Employees
are holding their hands, not senior management. When people have a sense that nobody is caring, the
sign over the plant entrance says, "Through these doors we pass our most important asset, our
employees." The sign "None of us knows as much as all of us" might encourage further participation.

The shift in the process will undoubtedly be resisted as corporate culture begins. If people are kept
aware, resistance can be reduced, especially if they see benefits. Change is an inevitable process that
will take place if an organization stays in a competitive environment. People don't just resist change;
they resist change and problems occur when the comfort zone of an individual is disrupted.
2. Is Bosch’s quality system a TQM system?

Yes, Bosch’s quality system is TQM system.

3. Which challenges of quality management will Bosch encounter in global marketplaces?


Can Bosch’s quality principles effectively deal with these global challenges?

The most common quality management issues facing the manufacturing industry today are likely a
reflection of those experienced in a company like Bosch. With ad hoc processes and cultural barriers,
improving quality issues in production and operations management can be a company-wide challenge.

In today’s competitive global environment, quality has never mattered more. So, in order to
gain an edge over competitors, integrating quality management processes into a closed-loop quality
management system (QMS) is crucial. To do so, Bosch needs to stay on top of the most pressing
quality management issues in manufacturing to optimize business performance and market position.

In order to deal with the quality management challenges in global market, Bosch should consider the
following:

1. How has your organization nurtured a culture of quality over the last year?
It is no surprise that incorporating a quality vision into a business culture promotes creativity and
productivity. Leadership is the key ingredient for systematically shaping quality culture. Yet LNS
Research shows that over 50 percent of the managers surveyed said quality is a department and not a
company.

The commitment to culture by a company contributes to more efficient manufacturing operations,


according to a McKinsey report. When management exhibits conduct which promotes a quality
commitment, including the communication of objectives, goals and expectations, quality is an integral
part of culture. It allows employees throughout the company to take over quality issues, not only
through a quality department. Quality initiatives will be short of their potential without executive
support.

2. Have you made advances in assessing metrics and key performance indicators (KPIs)?

Many manufacturing managers remain faced with the capacity to effectively measure quality metrics.
The quality of the data is so high that an organization must have faith in the validity of quality metrics
in order to streamline processes and the cost of production.

To enable QMS success, companies should look for advancements in measuring:

• Cost of good quality


• Cost of poor quality
• Overall equipment effectiveness
• New product introductions (NPIs)

3. Do you still have disparate QMS processes and solutions in place?

Your company has probably seen independent projects arise through various ties across the value
chain. Mitigating non-compliance, implementing remedial and preventive measures and defining
areas for enhancing quality control problems can be burdensome and complicated if specific QMS
approaches are applied in your manufacturing sector. Companies need a robust, fully integrated QMS
for a holistic approach towards quality management in order to achieve consistent overall quality
ecosystem.

4. Is your technology architecture ready to handle exponential data growth?

The importance of data capture for process improvement and critical decisions is perhaps already
known to you. However, data collection is only one part of the equation. Your quality IT architecture
must be able to produce valuable insights in order to provide analytical solutions for mass data
volumes, otherwise known as 'big data.'

You must consider a more sophisticated solution to break down obstacles to silo quality process data
before your company can prepare for this kind of accelerated growth. The way you prepare for big
data analysis in your company will make operations more efficient and agile, while maximizing the
efficiency of production.

5. Is your organization poised to close the loop on quality management?

Closed-loop quality management systems quickly become the new paradigm of leading
manufacturing companies, particularly as quality managers seek to achieve quality throughout the
value chain. Indeed, the quality management systems of a company-wide quality approach recently
started using a quality management software system (EQMS) that combines multiple functions into
one software solution.

The integration of the EQMS solution can lead to innovative solutions for all the above questions by
applying a closed-loop quality management strategy. It can also lead to the notion that the overall
quality of a product is dependent on an integrated view of quality for each employee throughout the
company.

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