Quality Planning, Assurance and Control in Manufacturing, Industrial Projects and Services Environments

Abstract

The role of quality planning, assurance and control is well established in manufacturing and production environments; however, the same cannot be said for industrial projects and the services environment. It is evident that the tangibility of the output is different and, as a result, evaluated differently. In a project environment, many projects exceed budget, schedule and performance. One may argue that quality planning, control and assurance have a significant role in ensuring projects meet their budget, schedule and performance objectives. In contrast, in a services environment, quality planning, assurance and control procedures are used to ensure that the set of quality criteria meets the customer’s requirements so that the customer gets a better service experience. There are differences in how quality planning, assurance and control are implemented and perceived in these three environments. This chapter explores the differences and similarities in the implementation, perception and maturity of quality planning, assurance and control. This chapter provides interesting opportunities for quality planning, assurance and control in a manufacturing, projects and services environment.

1. Introduction

Let us consider different industry settings such as mining, construction, manufacturing and service. All these industry settings have operations. Operations consist of turning inputs into outputs. Inputs go through a transformation process where inputs are converted to outputs. This is referred to as the operations management input-transformation-output model. While each industry sector differs, the input-transformation-output model is the same. In each of these sectors, inputs are transformed into goods and services the customer pays for. In mining, construction and manufacturing, the products delivered are tangible; for example, in mining, it is the raw materials that are produced, this includes gold, platinum, copper, coal, etc. In construction, the end product is a residential building, a bridge, a dam, etc. These are large physical infrastructure projects. In manufacturing, the end products include, for example, an automobile, a laptop, a mobile phone, etc. In services, on the other hand, the finished product is intangible; it is a service offering which involves the interaction between the service provider and the customer; let us consider the following example: you have had to enquire at a bank because you want a home loan or a mortgage for a vehicle. You will, first, either go on the bank’s website and navigate your way around the website depending on the ease of use; this could be either an easy or difficult experience. The next step will be to complete some personal information online. After that, you will have to interact with another human being. This whole encounter is rather intangible; it depends on the technology you used to access the service platform, as well as the banking platform, and the service you experienced from the banking employee. It will also depend on the information you provide to the banking employee. It becomes each individual’s perception. Your objective was to obtain a loan; while this is tangible, the service experience was intangible and either left you feeling served well or a feeling of mediocre or poor service; therefore, it is difficult to put some tangible quality measure to the service experience. As demonstrated by these examples, it is fairly evident that each of the industry sectors, while they appear different at a conceptual level, may be considered a complex system trying to utilize resources to maximize performance [1].

Complexity arises from the interactions within and between firms [2]. In manufacturing and production, different departments of the firm have to interact internally, and departments also have to interact externally with suppliers and other stakeholders to manufacture the final product. The same can be said for the manufacturing and services industries. These interactions bring about complexity. To ensure that firms can utilize resources to maximize performance, these systems must be subjected to planning, assurance and control activities. Performance in a manufacturing industry may refer to the Sandcone model [3, 4], which speaks to the manufacturing mix criteria of quality, dependability, speed, flexibility and cost. In terms of the projects industry, many authors have suggested an insufficient understanding of the relationship between project management success and project success [5, 6]. However, [6] points out that project success is determined by achieving the project’s overall goals, and [7] argues that project management success is determined by the iron triangle of time, cost and quality. Hence, in this chapter, we will focus on project management and project success as we see both as important. In terms of the services industry, one may refer to the SERVQUAL instrument for measuring service quality [8], which gives 10 dimensions for measuring service quality. To better understand these activities (Quality planning, assurance and control), we look at the Body of Knowledge in quality management in this chapter.

In terms of quality management Total Quality Management (TQM) philosophy is about managing systems through the seven principles of TQM [9]. These seven principles will be discussed in more detail in Section 2. Quality management, among other things, focuses on quality planning, assurance and control. Quality management is well understood and embedded in the manufacturing and production environments. Manufacturers easily relate to TQM philosophies, which are well-rooted in the firm’s culture. However, the same cannot be said for the projects and services environment. In project management, quality management involves, among others, three processes, namely quality planning, quality assurance and quality control [10]. These processes, while at a conceptual level, are the same; in manufacturing industries, they are well embedded, but in the project environment, they are not so well embedded. In manufacturing and production, there is a process of continuous measurement and control, and it is widely accepted every component is strictly quality controlled, which is governed by a quality assurance system and requires careful planning. However, in the project environment, quality planning, assurance and control are accepted as important but are, however, more difficult to implement and hence, this hampers project management success as well as project success. These processes aim to ensure that the project will satisfy the needs for which it was designed and built [9]. While these processes are well defined, they do not seem to have the desired effect as many projects are out of control and many report huge losses [11, 12, 13] moreover, others like [14, 15, 16] also reported that many projects are overdue and over budget. In terms of the services industry, there are fundamental differences compared to the manufacturing industry, which is predominantly responsible for the production of goods. In contrast, the services industry is predominately responsible for the delivery of services and is about the service experience [17]. Distinguishes four attributes in terms of goods and services as follows:

1. Intangibility: Services are much less tangible compared to physical goods. Services relate to experiences, whereas manufacturing is about physical objects, i.e., tangible things that one can see, feel and touch.

2. Inseparability of production and consumption. In manufacturing, goods are produced, delivered and consumed by the customer at some later stage. In services, there is simultaneous creation of the service and the consumption thereof, usually on an ongoing basis.

3. Heterogeneity: In this case, the quality of service varies from one service provider to another service provider, from customer to customer and from day to day.

4. Perishability: Services are about experiences rather than tangible physical objects, and therefore, it cannot be stored and retrieved for usage at a later stage; in other words, it cannot be inventoried; therefore, service providers find it difficult to synchronize supply and demand. Service is a deliverable in terms of the service experience consumed by the customer; however, continued ongoing service is only achievable if the customer has a good service experience.

Quality management in the services industry is strongly affected by these attributes [18]; this is mainly because, firstly, services are about the service experience, it is about how the customer experiences or the customers’ perception of the service encounter, the service experience is about ongoing continuous satisfaction [19]. “Defines the service encounter as the “face-to-face” encounter between a buyer and seller in a service setting.” It is about a win-win or benefit-benefit for the customer and service provider. Moreover, because services are about simultaneous production and consumption, services are not manufactured in a plant and delivered and consumed at some later stage; it is about the interaction between the service provider and the customer. Services have high heterogeneity; as a result, uniform quality will be difficult as it is dependent on the interaction between the customer, the platform of engagement and the service provider, more specifically, the service employee delivering the service [20], as well as the information provided by the customer. Perishability, that is, services cannot be stored and retrieved for usage at a later stage and hence, quality cannot be pre-determined; quality occurs at the point of delivery.

2. Systems thinking, TQM, quality planning, assurance and control

2.1 The firm as a system

Firstly, we recognize that a firm is connected, and there are many interaction points as we live in a networked society [2]. This interaction is necessary due to exchanging goods and services [2] within and between firms. Goods and service exchanges occur within firms as different sections (departments) of the firm interact with each other, and exchanges occur between firms as firms interact with other firms, like suppliers, customers, and other stakeholders. This interaction with other firms leads to connectivity [21]. Defines connectivity as “the property that enables effects to be transmitted through the system”. In Ref. [2] positioned that firms do not exist in isolation; they are connected with other firms by buying and selling goods and services [2]. Therefore, taking a systemic view of the firm is well warranted. In addition, firms require inputs; these inputs are resources and aids. Resources include materials, customers, information, etc. and aids, which include human resources, equipment, facilities, technology, etc. These inputs are transformed through a process, and the raw materials are converted to finished products. This is referred to in operations management as the input-transformation-output model. Figure 1 gives a graphical representation of the input-transformation-output model.

Figure 1.

Input-transformation-output model.

The operations management input-transformation-output model is a conceptual generic model and can be applied to different industry settings; as in the case of this chapter, it applies to the manufacturing, projects and services industries. In the manufacturing industry, let us consider an automobile manufacturing plant. Inputs include materials procured from suppliers in either unprocessed form or finished components from some suppliers; customers who have requirements and need an automobile to provide inputs regarding specifications, quantity, color, etc. Then, there is information on the general market, demand for other vehicles, and customers who may require a similar automobile. Aids will include the human resources required to manufacture, i.e. the engineers, the workforce, and other support staff like procurement, finance, maintenance, etc. Aids also includes the manufacturing facilities, equipment and technology required to produce the automobile. These inputs then go through a transformation process, which in this case is manufacturing, where all the inputs are transformed into the finished product, that is, the automobile, which is then delivered to the end customer.

In a project environment, there are also inputs: materials processed as in the manufacturing industry; there are customers who need and provide specifications, budgets and timelines, which the project firm has to adhere to. There is also other information about the external factors that influence the build of the project. In terms of the projects, industry aids also include human resources, as is in the case of the manufacturing industry. There are also more stakeholders and many different external factors like environmental concerns, weather, etc., which are also aids, but they have a high degree of uncertainty. Equipment and facilities, but these equipment and facilities may have to be transported to different or remote sites. This brings different complexities as opposed to manufacturing. Then, there is also the technology that is used to facilitate the project management process. In this case, the transformation process is project management. A project must be well managed to successfully deliver to the end customer. The delivery is the complete project’s product to be built, be it a residential building, a bridge, a dam, etc.

Let us consider the banking example discussed in Section 1 in the services sector. The inputs consist of information about the customer and the customer’s needs; the materials include the documents provided by the customer, for example, proof of employment, proof of residence, etc. Information includes historical information about the customer’s past performance regarding loan repayments, etc. In this case, aids also include human resources personnel from the bank and the customer, as without customer interaction, the service cannot be delivered. Aids also include the banks’ platform for the interaction, the customer’s technology that is being used to access the bank’s platform and the banking technology that is used to process the loan application. In this case, the transformation process is accessing and either approving or rejecting the loan application. The final deliverable is when the customer receives a loan. In this case, the input-transformation-output model is also applicable.

In summary, we may conclude that in each case, manufacturing, projects and service the firms can be viewed from a systems perspective. There are differences in inputs, transformation process and output deliverables, but the conceptual generic operations input-transformation-output model applies to all three industry sectors. Now that we have established that we can look at these different industry sectors as a system, it will be prudent to take a TQM perspective on the transformation process for each sector.

2.2 Total quality management (TQM)

From a TQM perspective, it is important to first understand the concept of efficiency and effectiveness. These terms are well known in manufacturing they are often not given the right level of attention in the projects and services industries. Effectiveness is about doing the right thing; it is focusing on delivering value; it is about how well one is doing to achieve the target objectives. For example, the target revenue measure for a firm is $100 million per annum at the end of the year; the actual revenue achieved is $80 million, so then you are 80% effective. Considering efficiency, you can make many high-quality products; you do this well, but there is not much market need for this product, so you have been very efficient. You have been efficient because you followed all the right processes and met all the quality requirements. However, you made a product that the market does not need, so while you were efficient, you were not very effective. Manufacturing industries have a good grasp of this concept; however, there is far too much focus on efficiency and insufficient focus on effectiveness in the projects and services industry. Table 1 indicates some of the differences between efficiency and effectiveness.

Basis for comparison	Efficiency	Effectiveness
Definition or meaning	Doing things right	Doing the right thing
Focus is on	Measuring inputs and outputs	Measuring the outcomes resulting from the inputs
Time horizon	Short term	Long term
Approach	Introverted	Extroverted
Ascertainment	Strategy execution	Strategy formulation

Table 1.

Efficiency and effectiveness.

Now that we have a better handle on efficiency and effectiveness, we refer to [10], who lists seven TQM principles for efficiently and effectively managing a system; these principles are depicted in Table 2. These TQM principles apply equally well to manufacturing, projects and service industries. Principle 1 refers to focusing on customer value. This is an effective principle to deliver what the customer wants. Principle 2 speaks of continuous improvement, that is, to continually improve the systems and processes is efficient. Principle 3, managing processes and not people, allows one to focus on team spirit and culture, steering away from being too hard on people. Principle 4 looks for root causes that are separate causes from systems, focusing on the factors causing the problem and not the symptoms of the problem. Principle 5 collects data and uses scientific principles, both quantitative and qualitative methods and techniques in problem analysis, staying away from the blame game, which can have a negative effect on the team and firm culture. Principle 6 recognizes that people are a core resource essential in delivering goods and services. Principle 7 focuses on teamwork to deliver efficiently, that is, doing things right and reducing scrap and waste, among other things and effectiveness by doing the right things by doing what the customer wants.

Principles	Description	Efficiency or effectiveness
Principle 1	Focusing on achieving customer value	Effectiveness
Principle 2	Continuously improve the system and its processes	Efficiency
Principle 3	Manage processes, not just people	Efficiency
Principle 4	Look for root causes to solve and prevent problems	Efficiency
Principle 5	Collect data and use science and analysis	Efficiency
Principle 6	People are the firm’s primary resource	Efficiency
Principle 7	Work in teams to execute processes efficiently and effectively	Efficiency and effectiveness

Table 2.

Seven TQM principles (adapted from [10]).

Now that we have established the groundwork in terms of viewing a firm as a system, adopting the input-transformation-output model, understanding the differences between efficiency and effectiveness and discussing the appropriateness of the TQM model for all three industry settings, our next focus is directed to quality planning, assurance and control in the manufacturing, projects and services industries.

2.3 Definition of the terms quality planning, assurance and control

These definitions are generic and apply to all three industry sectors. The differences and similarities stem from how these concepts are implemented. Quality planning is a proactive process where the role of planning is to establish the criteria so that the product or service that is being delivered will meet the customer’s requirements. A quality plan consists of several documents that together form the specific quality standards, practices, resources, specifications and the sequence of activities to be performed in delivering a product or service [22]. In Ref. [22] emphasizes that a quality plan should include at least the following:

1. Objectives that are to be attained. This includes, for example, characteristics or specifications, uniformity, effectiveness, esthetics, cycle time, cost, natural resources, utilization, yield, dependability, etc.

2. Process steps include the processes that will be used in producing the final product or service.

3. Responsibilities and allocation thereof, as well as areas of responsibility and accountability.

4. Specific documented standards, practices, procedures, and instructions to be applied.

5. Testing and inspection plans, as well as auditing schedules at appropriate stages.

6. A change control procedure for design changes and other changes stemming from changes in customer requirements.

7. A procedure and method for measuring the achievement of quality objectives, including the cost of quality.

The highest-level quality goals and plans must be linked to the strategic objectives of the firm [22]. The essential elements of a quality plan must include quality assurance, quality control and quality management.

Quality assurance provides the overall guidelines and is a systematic process to ensure that the products or services meet the required specifications. Quality assurance is closely linked to international standards like ISO 9000, where many firms use ISO standards to ensure that their quality assurance system is in place and effective. There are many methods for quality assurance in the manufacturing and services industries. ISO Standards are quite widely accepted and used. In the project industries, firms are more likely to adhere to the guidelines in the Project Management Body of Knowledge (PMBOK) guide for effective project management.

Quality control is synonymous with inspection and testing, where inspection is more usually confined to indicators for fitness of use before actual use testing [23]. Testing and inspection are decision functions; they provide decisions concerning the fitness of use for a product or a manufacturing or production process [23].

2.4 Manufacturing: quality planning, assurance and control

As already pointed out, the concept of quality planning, assurance and control in manufacturing and production is well embedded. In manufacturing industries, many firms have adopted a TQM approach, which is a holistic view of quality where quality is essentially linked to the firm’s overall strategy and is fundamental to the firm delivering value to the customer. Quality management is a core competence inclusive of quality planning, assurance and control. From a planning perspective, quality planning is well articulated, and it is a living plan subjected to continuous improvement. Quality assurance is closely coupled with standards like IS0 9000 and other such standards. Quality control is clearly visible with statistical process control (SPC) techniques. Initiatives like quality circles are practiced, and kaizen philosophies are a way of life.

Some techniques in no particular order of merit utilized for continuous process improvement (CPI) are depicted in Table 3. These techniques are widely used in the manufacturing industry and indicate the level of quality maturity in this industry.

#	Ingredients for CPI
1.	Top management drives CPI culture.
2.	Small, highly focused teams.
3.	Kaizen’s attitude pervades the entire workforce.
4.	Qualitative analysis of problems.
5.	Focus on delighting the customer.
6.	In-depth analysis of problem causes.
7.	Consistent improvement of work processes.
8.	Statistical quality control.
9.	Systemic suggestion scheme with rewards.
10.	Quality circles.
11.	CPI is linked to other synergistic projects within the firm.

Table 3.

Ingredients for CPI.

2.5 Projects industry: quality planning assurance and control

Projects, by their very nature, are temporary operational structures which produce a unique product and are subjected to a liability of newness or upgrade and, as a result, have a propensity of failure [24, 25]. Moreover, [26] further argues that projects are temporary operational structures with a defined purpose and timeline. These temporary structures refer to the project organization in terms of how the project is structured or organized to build the project during the build phase. It does not refer to the end product that is being delivered, that is, the residential building, bridge or dam. As already pointed out by [6], project success is related to achieving the project’s overall goals, whereas project management success is related to the dimensions of time, cost and quality. Some authors, like [11, 26], have argued that project delivery quality affects project outcomes and the ability of the project to meet its success criteria. Therefore, projects must have quality incorporated from the outset when the project organization and structure are initially created [27]. Indicated that when setting up a project organization (structure), careful thought needs to be put in place on how the structure will facilitate coordination, communication and control [27]. Further articulates this is because the organizational structures create physical and operational boundaries for decision-making. These boundaries also reduce and increase complexity through choices made in terms of defining relationships and allocating resources, authority and tasks [27]. This is also especially important from a quality planning perspective, as there needs to be a clear demarcation of responsibilities and accountability. By incorporating quality planning in the project organization phase, we will ensure quality is inherent from the outset. The biggest project failures result from verticalizing the project’s component parts. Then, not having an integral quality system to manage the risks on the interfaces between the component parts.

Moreover, [11] describes a project structure as “consisting of at least the following: a proper project plan (e.g. bar chart, network diagram, critical path analysis) and that is a realistic representation of the project; clear separated work packages with clear handover points; clear timelines of communication; an accurate representation of the stakeholders” [28]. Highlighted the importance of project structure, arguing that for a large project to be properly planned and executed, it must be decomposed into smaller segments, such as a work breakdown structure. In this way, it leads to smaller parts which are easier to manage. However, work breakdown structures bring a different level of complexity and risk: managing the interfaces between the different work breakdowns. It is essential to have a quality system incorporating a proper quality plan and a quality assurance and control system to efficiently and effectively manage these interfaces. Inspection and test plans (ITPs) are widely used and accepted in the project industry. ITPs may be viewed as follows: the creation of the ITP is part of the quality planning process, while ensuring that ITPs conform to certain standards and guidelines is the quality assurance component, and monitoring and control is part of the quality control component. These ITPs could, however, further be complemented by integrating them with some of the SPC techniques adopted in the manufacturing industry, as such risks can be better managed and mitigated. In this way, quality planning, assurance and control are built into every section or part of the project.

Projects being temporary organizations are subjected to high levels of uncertainty [29], and this, by its very nature, makes projects difficult to manage and, as such, requires careful organization, structuring, monitoring and control. The project, being a temporary structure by nature, is not static and evolves over the life of the project; therefore, projects must be subjected to proper organization, structuring, planning, monitoring and control. These aspects must be subjected to some kind of quality management. In the construction industry, most firms abide by PMBOK as a basis to guide project planning and execution. While PMBOK reflects and incorporates quality as a dimension, it does not sufficiently give attention to the philosophies of TQM. Projects are subject to risk, and as such, quality should be treated with a higher level of priority. Often, in projects, time and schedule take priority over quality. It would be beneficial to make quality a higher priority so as to reduce the risks associated with poor quality. Risk analysis must likewise be of paramount importance. It must also be emphasized that in a project environment, quality is a requirement in terms of the following:

1. Contract compliance reasons. Noncompliance can lead to expensive litigation.

2. Legal compliance. Noncompliance can lead to penalties, fines or even jail time.

3. Regulatory compliance. Noncompliance can lead to legal issues

4. Company rules. Noncompliance can lead to dismissal.

Therefore, quality is an essential issue. In a competitive world, the firm has to drive higher quality just to remain competitive in the market. So, to be better than your competitors, quality can be differentiated, and once this is recognized, it becomes non-negotiable.

Quality must be embedded in the project from the outset, which is at the project organization stage, which will then follow into the project structure. Quality will then cascade into the smaller sub-structures of the project. In this way, quality planning will be integral to the project organization and structure. Once quality planning is in place, quality assurance can follow, and thereafter, quality monitoring and control can be implemented. However, quality planning does not automatically ensure quality assurance, monitoring, and control. A concerted effort is required to ensure quality assurance is embedded; TQM philosophies can greatly assist in quality assurance as well as in creating a culture of quality. TQM will also help with quality monitoring and control.

2.6 Services industry: quality planning assurance and control

In the services industry, it is about the business experience that is the value derived from the collaborative co-creation in the production of services between the service provider and the customer. This business experience is dependent on value co-creation, relationships and service capability [30] as well as the perception of the customer. The quality dimension is catered for under service capability, where the quality of service is primarily seen from the perspective of the customer [30]. In services, it is about services-dominant logic, which is built on 10 fundamental premises. The 10 premises adapted for a services-dominant logic are quite well published, and the interested reader can refer to [30]. What is important is to understand the nuisances in services which are adapted from [30]; these are as follows:

1. Arrival variability: This implies that service me now is a need for immediate attention, and I do not want to wait in long queues. The difficulty here is in predicting the arrival rates of customers.

2. Requirement variability: This implies that service me the way I want to, that is, give me what I want, in other words, satisfy my needs. This is difficult because every customer is different.

3. Capability variability: Every customer is different; they have a unique set of skills and knowledge, which makes servicing such diversity of expectations challenging.

4. Effort capability: This relates to the level of effort in value co-creation. I, as the customer, do not want to put in too much effort; that is, service my needs and not expect me to be self-serving.

5. Subjective preference variability: This relates to factors that are associated with good service, for example, speed, accuracy, transparency, accessibility, friendliness, efficiency, and effectiveness. These can also be linked to the manufacturing mix criteria discussed earlier.

These nuisances make it difficult to deliver a good quality service; however, customers do not really appreciate these variabilities. Customers demand good service, or they have the option to switch to other service providers, especially in commoditized services, where there are not many barriers to switching from one service provider to the other, and there are low barriers to entry. Therefore, it is extremely difficult for service providers are able to provide good services to their customers. In ensuring that good services are provided, it is important that service providers measure the quality of service both from a quantitative manner and as well qualitative manner, including both lead and lag indicator levels. Each of these measures is next discussed:

1. Ensure that there are quantitative ways in which data can be collected so the demand for services can be predicated. For example, measure queue lengths, the average time customer spends in a queue waiting to be serviced, and when peak service occurs. This is dependent on data collection, and the more reliable the input data, the more reliable the prediction models. Prediction models also have an error factor, and these factors can be large, which makes prediction difficult. Therefore, it is important to combine quantitative and qualitative methods to improve the accuracy of prediction models. Prediction models help in building the capacity which is required to deliver a service.

2. Qualitative methods bring in the human dimension; while good service is measured from a customer perspective using surveys and other qualitative methods, it is important to understand that these qualitative measures are, to a large extent, based on customer perception, and perception is a lag indicator so customers will give you a view of their service experience but this view could also be influenced by a previous service encounter be it a good or bad service experience.

3. Lag indicators are based on customer perception; it is important to note that while these measures are important, it is firstly a perception, and secondly, it is a lag indicator. The customer is either satisfied or not satisfied, and the service encounter has occurred in the past. The next time a customer is serviced will be the time the service provider will have a chance to deliver better service, so whatever service improvements are made by the service provider, the benefits are in the future.

4. Lead indicators, on the other hand, could help predict future demand and can help build additional capacity which is consumed on service delivery; this allows for more resources to be deployed and increases service times through extended hours, all in an endeavor to better service the customer.

In order to ensure that the service provider delivers a good service, it is essential that service quality is inherent in the service systems. This requires planning for quality, assurance that the quality systems are in place and are sufficiently governed and ensuring that quality is controlled. There are tools such as the SERVQUAL instrument for measuring quality [8]. It is important that quality is built into the service processes. Just as is in the case of manufacturing, there are processes, systems, technology and people that also occur in services. While the services industry is different to the manufacturing industry, many of the TQM philosophies apply equally well in this industry. The TQM philosophies apply equally well here; the same can be said about the ingredients for CPI. These are all philosophies, techniques and tools that can be used to improve quality within the service industry.

In the service industry, it is about value co-creation where both the firm (service provider) and the recipient (customer) are involved in a mutual exchange to ensure that the desired service is delivered. The service exchange is about a win-win or benefit-benefit for both the service provider and the customer. This brings about variabilities and different types of measures that have to be considered, which, together with careful planning of quality, can be built and embedded through the entire service system, which, if correctly implemented, will benefit the service provider and the customer.

3. What are the implications for practitioners

3.1 Quality planning, assurance and control in context

Quality does not occur by default; it has to be carefully built into the firm, the project and the service being provided. While there are differences between the three industry sectors we have discussed, each with its own challenges, there is much cross-pollination that can be derived from the TQM philosophies, which, if correctly adopted, will benefit the end customer. The importance of quality planning early on cannot be underestimated. There needs to be a culture of quality that pervades throughout the firm, be it a manufacturing, project firm or services firm. First, one must establish a quality culture, which will then set the foundation for quality planning, assurance and control. Quality assurance and control will not be successful without addressing quality planning at the initial stages. Quality assurance and control can be greatly enhanced through the adoption of TQM.

In terms of TQM, the importance of change management and leadership cannot be over-emphasized. Continuous worker training in quality techniques and quality management will also aid in creating a quality culture throughout the firm. Creating a culture of continuous improvement and a culture of innovation, specifically in terms of how to do things better and, in so doing, improve efficiency and effectiveness. The same goes for leadership and team building; this is an integral part of embedding a quality culture; this becomes critical in environments that are prone to high risk and high uncertainty, like the project environment. Notwithstanding the high-risk and uncertain environments, leadership and team building is also essential in the manufacturing and services industry. In quality management, leadership is key as this sets the tone for quality throughout the firm.

3.2 Tools that can facilitate quality planning, assurance and control

In the manufacturing industry, there are many tools, systems and techniques that can be used to enhance quality planning, assurance and control. The manufacturing industry at large is fairly mature in this area. The manufacturing industry has embraced the ISO standards quite well in terms of ensuring that their quality systems conform to international standards, which are audited, monitored and controlled. In terms of quality control, tools like SPC are widely used and accepted.

In the projects industry, especially in construction projects, many firms have adopted the PMBOK as the Body of Knowledge to guide project management processes. Some project-driven firms have also adopted the ISO standards. We have, however, not seen much attention toward TQM as an approach to facilitate quality assurance and further to this, techniques for CPI can also be better adapted.

In the services industry, there does not appear to be any such standard that firms can use to guide the quality assurance function; however, it may be beneficial to look at capability maturity model integration (CMMI) for services. This will be a good toolset to use in terms of accessing a baseline maturity of services within services firms. CMMI creates the opportunity for continuous improvement and self-benchmarking. CMMI also has a wider toolset that can be used for manufacturing and project management. It will be worthwhile to at least explore the CMMI options. We have also not seen widespread adoption of ISO standards in the services industry.

4. Conclusions

In this chapter, we highlighted the maturity of quality planning, assurance and control in the manufacturing industry. We also highlighted that the projects industry is prone to failure, and many failures can be attributed to poor quality management processes and procedures. Based on this, it is extremely important that quality be given a high priority and that more attention is devoted to quality. There is also a high focus in the projects industry on implementing risk process management in all the project phases. The importance of TPs was also emphasized. There is also an opportunity to address risk as part of the quality, planning and assurance functions. Similarly, in the services industry, quality needs to be integrated into the services culture and be an integral part of the services process, so it is therefore essential that quality planning be integrated early when first developing the service systems and processes.

Quality cannot be an afterthought; the high-level quality objectives must be linked to the overall firm’s strategy. Quality management requires both a top-down and bottom-up approach. Higher quality does not mean a higher cost; it means better control and monitoring of the process whereby faults in the manufacturing, construction or service can be picked up early and reduce the cost of rework.

The importance of quality cannot be overemphasized. Customers demand quality products and services. Customers pay for the quality; it is not an option to sell poor-quality products and/or services. To ensure that good quality products and services are delivered, it is essential that firms strive to integrate TQM philosophies within the wider firm. Finally, it must be recognized that people buy from people, and customers will come back if they are satisfied. There are different customer satisfiers in all three industry sectors; at the end of the day, it boils down to the customers getting what they paid for. Some questions to ponder:

1. Why do you shop at the same place every week?

2. Why do you go to the same hairdresser, man or female

3. Why do you buy petrol at the same petrol station

4. The main answer is you trust them, and you get service know your customer

Acknowledgments

The authors recognize the contribution made Jacobus Johannes Smit, Bohdan Pylypczak and Thomas Eichbaum for reading the initial drafts of this chapter and providing valuable comments on editing, as well as further insights, which helped improve the content and quality of this work. The authors are grateful for their valuable contributions.

Conflict of interest

“The authors declare no conflict of interest.”