Deming prize

From CEOpedia | Management online

Deming prize is an annual award that recognizes individuals and enterprises for their achievements in the field of Total Quality Management. An award was established in 1951 by the Union of Japanese Scientists and Engineers (JUSE) to honor William Edwards Deming, who is widely respected for his contribution to development of post-war Japan.

Deming's award was the first pro-quality award in the World. Ever since it was established, it has been a model for many national and international awards (ex: Baldrige's Award, European Quality Award). Prestigious Deming's award is regarded as a symbol of the Japanese concern for quality.

Evaluation criteria

Policy

  • methods of establishing justifiable and consistent policies,
  • using of statistical methods,
  • transmission of policies,
  • review of the results,
  • relation between policies and planning (long and short-term).

Organisation

  • the range of the responsibility and authority,
  • cooperation between departments of the enterprise,

Education and dissemination

  • quality-and-control consciousness, level of understanding the matter,
  • teaching of statistical methods,
  • activity of quality circles.

Collection, dissemination and use of information on quality

  • a method of collecting and providing organisational units with information on quality,
  • the speed of information transmission,
  • data processing, statistical analysis and utilisation of results.

Analysis

  • identification of critical issues with regard to product and process,
  • a method of analysing these problems,
  • utilisation of statistical methods in the analysis,
  • linkage with proper technology,
  • analysis of quality and process,
  • utilisation of analytical results,
  • affirmation of improvement suggestions.

Standardisation

  • methods and outcome of establishing, revising and abolishing standards,
  • content of standards,
  • using of statistical methods,
  • accumulation of technology,
  • utilisation of standards.

Control

  • systems of quality control,
  • control items and points,
  • utilisation of statistical methods (ex. control charts),
  • contribution to performance of quality circle activities,
  • conditions of control activities,
  • state of matters under control.

Quality assurance

Effects

  • effects obtained in terms of product quality,
  • the degree of product's improvement in terms of quality, quantity and costs,
  • convergence between expected and actual effect.

Planning for future

  • analysis of strengths and weaknesses of the company: understanding of present conditions and specificity, correcting defects, planning the promotion of TQM, specify a relation between current state and long-term plans.

Evaluation criteria emphasises the importance of using statistical methods in managing process and engaging employees in the process of development.

Examples of Deming prize

  • Toyota Motor Corporation was awarded the Deming Prize in 1965 for their commitment to quality and continual improvement. This was the first time the prize was given to a company outside of Japan.
  • Canon Inc. was awarded the Deming Prize in 1981 for their efforts in developing and implementing quality control systems.
  • 3M Company was awarded the Deming Prize in 1992 for their sustained commitment to quality and continuous improvement.
  • Ford Motor Company was awarded the Deming Prize in 1996 for their successful implementation of Total Quality Management (TQM) principles.
  • Hitachi Ltd. was awarded the Deming Prize in 2007 for their commitment to Quality Assurance, Quality Control, and the development of improvement systems.
  • Hewlett-Packard Company was awarded the Deming Prize in 2009 for their successful implementation of TQM principles and practices.
  • Nippon Telegraph and Telephone Corporation was awarded the Deming Prize in 2011 for their commitment to quality improvement and customer satisfaction.
  • FUJIFILM Holdings Corporation was awarded the Deming Prize in 2013 for their successful implementation of TQM principles and practices.
  • Tata Consultancy Services was awarded the Deming Prize in 2015 for its commitment to continuous improvement and customer satisfaction.

Advantages of Deming prize

The Deming Prize is an excellent way to recognize and incentivize the implementation of Total Quality Management. Here are some of its advantages:

  • It is a prestigious award that recognizes the achievements of individuals and organizations in the field of Total Quality Management.
  • The award is named after William Edwards Deming, who is highly respected for his contribution to the development of post-war Japan.
  • The award has been given out since 1951, and has become a symbol of excellence in the field.
  • It encourages organizations to strive for excellence and continuously improve their processes for better results.
  • The award can be used as a benchmark to measure the progress of organizations in their quality improvement initiatives.
  • Winning the award brings recognition and prestige, which can be a great motivation for companies to continue their quality improvement efforts.

Limitations of Deming prize

The Deming Prize has several limitations which include:

  • It is only awarded to individuals and organizations in the Japan region. This means that those outside the region are not eligible to receive the award.
  • It is only awarded to organizations or individuals who have achieved excellence in Total Quality Management. This means that those who have achieved excellence in other areas are not eligible for the award.
  • The award is only given to organizations or individuals who have made a significant contribution to the development of post-war Japan. This means that those who have made contributions to other regions are not eligible for the award.
  • The award is only given to those who have achieved excellence over a sustained period of time. This means that organizations or individuals who have achieved excellence over a short period of time are not eligible for the award.

Other approaches related to Deming prize

In addition to the Deming Prize, there are several other approaches that can be used to recognize individuals and organizations for their achievements in the field of Total Quality Management. These include:

  • The Malcolm Baldrige National Quality Award: Established by the United States Congress in 1987, this award recognizes businesses and organizations for their performance excellence and quality achievements.
  • The European Quality Award: This award was established in 1992 by the European Foundation for Quality Management (EFQM). It recognizes organizations that demonstrate outstanding performance in the areas of quality, innovation, and customer satisfaction.
  • The Shingo Prize: This award was established in 1988 by the Shingo Institute at Utah State University. It recognizes organizations that practice principles of Lean Manufacturing and Operational Excellence.
  • The Quality World Awards: Established in 1992, this award recognizes individuals and organizations that have made significant contributions to the field of quality management.

In summary, there are several approaches that can be used to recognize individuals and organizations for their achievements in the field of Total Quality Management, including the Deming Prize, the Malcolm Baldrige National Quality Award, the European Quality Award, the Shingo Prize, and the Quality World Awards.


Deming prize — recommended articles
William Edwards Deming — Armand Feigenbaum — Joseph M. Juran — ISO 9001 — Malcolm Baldrige National Quality Award — Silvestro model — Total Quality Management — Quality management system — Philip B. Crosby

References

Author: Dominika Wiśniowska

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