Memo

International Business Management



Question 1

State Deming's 14 points for management.

The 14 points are the basis for transformation of American industry. It will not suffice merely to solve problems, big or little. Adoption and action on the 14 points are a signal that the management intend to stay in business and aim to protect investors and jobs. Such a system formed the basis for lessons for top management in Japan in 1950 and in subsequent years. The 14 points apply anywhere, to small organizations as well as to large ones, to the service industry as well as to manufacturing. They apply to a division within a company.


The Deming's 14 points for management are listed as below:
1. "Create constancy about purpose to improvement". Organizations often do have the long term vision however also have the short term systems, which concentrate on the short term outcomes. Change short term reaction to long term planning having focused to be competitive, staying within business as well as give jobs. Essence of constancy about purpose has been consumer orientation.
2. "Adopt newer philosophy". Implication has been that management must really adopt his philosophy, apart from just expecting workforce for doing so. Meaningful change may just happen from in between concentration on competition not ensure the survival. Concentrate on the consumer, not competition.
3. "Cease dependence on the inspection". When variation has been diminished, there has been no requirement for inspecting the manufactured items for defects, as there would not be any. Eliminate the requirement for inspection on the mass basis through building the quality within the product at 1st place.
4. "Move to one supplier for any single item." Several suppliers mean variation within the feed-stocks.
5. "Improve regularly as well as forever". Regularly strive to diminish the variation.
6. "Institute training on job". When people have been insufficiently trained, they would not all work in...