Throughout history, there have been people who through studies, experiences, observations and much perseverance and perseverance have provided different perspectives on how companies should work, on how to seek the best performance of these and obtain greater profits.
The human being by nature is in constant evolution and adaptation, that he himself sets his guidelines consciously and unconsciously to improve himself and that thanks to his intellect he can generate new theories or models which are showing a log of his overcoming and evolution of your thinking.
This document makes a very brief compilation of the many great people who, thanks to their research and their commitment to knowledge and society, leave us a legacy that throughout the years has remained the essence of that knowledge with some improvements and variations according to the situations in which the human being has found himself.
The gurus and their contributions
A guru is the person who is considered a teacher or spiritual guide, or who is recognized as intellectual authority. (Royal Spanish Academy, 2001).
In this article, the gurus who have provided the foundations on the subject of quality and administration will be presented, of which they have evolved and have been adapted to the demands of today's world, applying practically to all areas where it intervenes and is present the human being.
Scientific management
Frederick Winslow Taylor (1856-1915)
Born on March 20, 1856 in Philadelphia, he graduated as a mechanical engineer and economist; is considered like the father of the Scientific Administration. Taylor's experiences at Midvale, the steel mill where he worked, led him to define guidelines for improving production efficiency. He scientifically analyzed the work they were doing and through his observation began to put the right person in the right position, with the right tools and equipment, and made the worker follow his instructions exactly and motivate him with an economic incentive. He did tests at various positions and saw improvement.
Taylor argued that his four principles of scientific management would bring prosperity to workers and managers alike. The four principles of scientific management are:
- Planning: Replacing the old empirical method with a scientific method to get the job done Preparation: Scientifically selecting the best workers and training them Control: Ensuring that all work is done according to the principles of the science that was developed Execution: Assign functions and share responsibility almost equally between management and workers. Management takes on all the work for which it is better qualified than the workers.
Taylor has a focus more directed towards productivity, considering the worker as the extension of a machine and is dedicated more to the study of times and movements of a company.
Administrative principles
Henri Fayol (1841-1925)
He was born in Istanbul in 1841. He graduated as a civil mining engineer in 1860 and held the position of Engineer in the mines of an important mining and metallurgical group, the Commentry Fourchambault Corporation. Becoming general manager of the company.
Fayol considers that administration is a common activity of all human beings, since it is carried out in whatever areas it is in, in companies, governments and even the home. It also considers that the administration is a universal set of functions that includes planning, organization, direction, coordination and control, so it conceives the organization as a whole.
Fayol divided the industrial and commercial operations into six groups:
- Technical Functions: Related to the production of goods or services of the company Commercial Functions: Related to the purchase, sale and exchange Financial Functions: Related to the search and management of capital Security Functions: Related to protection and preservation of people's assets. Accounting functions: Related to inventories, balance records, costs and statistics. Administrative Functions: Related to the integration of the other five functions. The administrative functions coordinate and synchronize the other functions of the company, always on top of them.
Fayol begins to give the guidelines of the organization chart where he puts at the head of the general management all the administrative functions, which direct the entire organization.
Another contribution of Fayol are his 14 principles of administration where he systematizes the managerial behavior of any organization.
- Division of labor: specialization of people's tasks to increase efficiency. Authority and responsibility: The manager is the authority has the right to give orders and the power to expect obedience from employees; responsibility is a natural consequence of authority and implies the duty to be accountable. Both must be balanced with each other. Discipline: obedience, dedication, energy, behavior and respect for established norms. Unity of command: each employee must receive orders from a single superior. It is the principle of single authority.Unit of management: assigning a boss and a plan to each group of activities that have the same objective.Subordination of individual interests to general ones: general interests must be above particular interests Staff remuneration:There must be, as remuneration, just and guaranteed satisfaction for the employees and for the organization. Centralization: concentration of authority at the top of the organization. Climbing chain: line of authority that goes from the highest to the lowest echelon. It is the principle of command.Order: there must be a place for everything and everything must be in its place, it is the material and human order.Equity - Justice: kindness and justice to achieve the loyalty of the staff.Stability of the staff: the Turnover has a negative impact on the efficiency of the organization. The longer a person stays in a position, the better for the company Initiative - Ability to visualize a plan and personally ensure its success Team Spirit:harmony and union between people are great strengths for the organization.
These principles of administration are the ones that have most governed the way companies are managed.
Bureaucratic organizations
Max Weber (1864-1920)
He was born on April 21, 1864 in Erfurt, Germany. Weber studied organizational activity and described an ideal organization which he called the bureaucracy.
Through the Weber bureaucracy, he sought to establish the structure, stability, and order of organizations through an integrated hierarchy of specialized activities, defined by systematic rules.
Bureaucratic systems were established for the purpose of providing the most efficient means of getting work done. In them, each worker could precisely define her activity and its relationship with other activities. Bureaucrats were the skilled administrators who made organizations work.
Originally, the bureaucracy had the following characteristics:
- Division of work: The activities are dismembered into simple tasks, in such a way that anyone can become someone specialized in that task in a minimum time.Hierarchy of authority: Each hierarchical position contains specific responsibilities and duties, as well as privileges.Rationality: All members of the organization are selected based on the technical qualification that allows them to achieve an adequate performance; promotions are obtained by performance and training Rules and regulations: Administrative decisions are based on rules, discipline and controls related to the fulfillment of official duties, applied impersonally to both the organization's employees and the clients of the organization. Professional commitment: Administrators work for fixed salaries;are trained to carry out administrative activities and try to achieve the best qualification in organizational efficiency and control the activities of employees for this same purpose Written records: In order to establish organizational continuity and achieve uniformity of action, bureaucracies have records that detail the organization's transactions are prepared. Impersonality: Rules and procedures are applied in a uniform and impartial manner.bureaucracies have elaborate records detailing the organization's transactions.Impersonality: Rules and procedures are applied in a uniform and impartial manner.bureaucracies have elaborate records detailing the organization's transactions.Impersonality: Rules and procedures are applied in a uniform and impartial manner.
Human relations movement
George Elton Mayo (1880-1949)
Born on December 26, 1880 in Adelaide, Australia, he graduated in medicine from the University of Adelaide. In 1907 she returned to the university to study philosophy and psychology.
Mayo had a main interest in studying the psychological effects of the worker according to the physical conditions in which his workplace is found. Mayo's idea was that logical factors were less important than emotional factors in determining productive efficiency. Of all the human factors that affect employee behavior, the most powerful are those stemming from worker participation in social groups. Therefore, Mayo concluded that working conditions, in addition to including objective production requirements, should, at the same time, satisfy employees' subjective requirements regarding social satisfaction in their workplace. (Alvarez Medina, 2005).
In 1927, Elton Mayo conducted a series of studies lasting 5 years at Western Electric located in Cicero, Illinois, this study consisted of redesigning the positions, changes in the length of the day and work week, introduction of rest periods and plans of individual salaries, this series of studies was called Hawthome studies, which give rise to the development of organizational behavior; in which different theories have been developed on motivation, leadership, behavior and group formation, among others.
He died on September 7, 1949.
Douglas Mcgregor (1906-1964)
Born in Detroit in 1906, he obtained a BS in Mechanical Engineering from Rangoon Institute of Technology, in 1932 he obtained a BA in psychology from Wayne University, later he obtained his master's degree in 1933 and a doctorate in Experimental Psychology from Harvard University in 1935.
McGregor made two sets of assumptions, Theory X and Theory Y, about human nature. Theory X presents, in essence, a negative view of people. It assumes that women have low ambitions, dislike working, want to shirk responsibilities, and must be closely supervised to work effectively. On the other hand, Theory Y presents a positive vision and assumes that people can manage themselves, accept responsibilities and think that working is as natural as resting or playing. McGregor believed that the assumptions of Theory Y better captured the true nature of workers and that it should guide the exercise of management. (Robbins & Decenzo, Management Fundamentals, 2002).
Quality management
Quality…
The concept of quality has always existed; it is implicit in the laws of nature; Charles Darwin's theory of evolution suggests that nature makes random changes in living beings, mutations that change their characteristics and abilities, adapting them to the demands of the environment, making them of higher quality. According to this theory, those of the highest quality survive and dominate their race, the others tend to disappear. (Izar Landeta & González Ortíz, 2004).
As the human race has evolved, discovering new horizons, adopting different philosophies and developing all kinds of theories, man has realized that through certain actions, he can control quality, and therefore quality is no longer just a matter. of nature but can create it himself.
It is until the period of World War II when quality began to develop as a highly relevant issue, initiating the formalization of its study and application, providing the basis on which many of the companies today build their strategies for job.
Quality, in the workplace is a work style, it is what defines a certain product, service, company, process, system, and so on. Quality is not static, it is dynamic, it is in constant search of improving, satisfying, meeting and exceeding customer expectations.
William Edward Deming (1900-1993)
Born in 1900 in Iowa, United States. He graduated from the University of Wyoming as an electrical engineer, in 1925 he obtained a master's degree in Physics and Mathematics at the University of Colorado and 3 years later he received a doctorate in physics from Yale University.
He is considered a national hero in Japan for his great contribution to Japanese quality promoting a systemic approach to problem solving, in 1951 the Japanese industry instituted the Deming Quality Award, which is awarded to companies that manage to develop knowledge of the quality and reliability of the products.
He died in Washington in 1993.
Contributions
Statistical processes control
Mathematical language with which administrators and operators can understand "what the machines say" and understand the reason for failures through the statistical data of the process.
Deming circle
Deming's Circle or PDCA (Plan, Do, Check, Act) encourages senior management to participate more actively in quality improvement programs. This circle represents the steps of a planned change where decisions are made scientifically:
Plan: Vision, Objectives, Solution theory, Work plan defining strategy to follow.
To do: The work plan is put into practice by establishing a monitoring control using tools such as Gantt Chart or a checklist of tasks performed. You must ensure the knowledge of those involved is sufficient to follow the plan.
Verify: The results obtained are compared with those planned, for this it is necessary to have indicators since what can be measured can be improved. Internal and external auditing tools.
Act: If the desired benefits are achieved, it is important to systematize and document these changes made to ensure continuity of benefits. Otherwise the solution theory is reconsidered.
Deming's 14 points
Quality management culture; workers take pride in their work and take responsibility for quality. They can be implemented in any type of industry.
- Create evidence of the purpose of improving products and services by:
- Innovation Research and education Continuous improvement of product design and customer service Maintenance of facilities and equipment.
The 7 deadly diseases of companies
- Lack of constancy in the purpose of planning a product and service that has a market, that keeps the company in business and that provides jobs. Emphasis on short-term benefits; This emphasis is fueled by fear that the company will be taken over on unfriendly terms and by pressure from bankers and owners for dividends. Performance appraisal, merit rating, or annual review. Management mobility, skipping of Job to job Goes using only visible numbers, taking little or no account of unknown numbers Too many medical costs Excessive liability or warranty costs caused by product or service failure
All these diseases are mainly found in the way Western companies operate, it is not surprising why today more than ever companies are looking for different models and methods to stay in the market, become more competent and increase profits, however it is It is necessary to totally change the approach of an organization, turning the organization as a whole and a chain of reactions, where the leader is the one who must begin to detonate the reactions in a positive direction.
The awakening in Japan: The managers of many companies in Japan observed in 1948 and 1949 that improving quality naturally and inevitably engenders improved productivity. This observation arose from the work of a few Japanese engineers who studied the quality control literature provided by engineers at Bell Laboratories. This bibliography included Walter A. Shewart's book Economic Control of Quality of Manufactured Product. The results were encouraging, indicating that productivity does indeed progress by reducing variation, as prophesied in the methods and logic of Shewhart's book. (Deming, 1989).
In 1950, the Japanese Union of Scientists and Engineers invited Deming to be part of it so that he could transmit his quality knowledge to them, who adopted these concepts as a way of life for the Japanese, and thus, Japan shows the world that quality provides a level of high global competitiveness to companies, directors are not concerned about price: but about their consistency in quality; in customer satisfaction.
Companies such as Toyota, Ford, Sony and AT&T, Procter & Gamble, Ritz Carlton, Harley Davidson among others are companies that have followed the contributions of Edward Deming.
Joseph Moses Juran (1904-2008)
Born on December 24, 1904 in Braila, Romania. In 1924, he graduated from the University of Minnesota as an electrical engineer, shortly after he began working for Western Electric at Hawthome Works. In 1925, Bell Labs invited the Hawthome Works staff to join in the statistical sampling program, leaving Juran as the one in charge of the application of said program.
In 1951 he wrote the Quality Control Manual and, like Deming, traveled to Japan, invited by JUSE1 to give quality seminars.
Juran is mainly focused on administrative matters, placing special emphasis on planning, organization and management responsibilities for quality and on the need to establish improvement goals and objectives. It also states that quality control is an integral part of administrative control.
Juran died on February 28, 2008.
Contributions
Suitability for use
It implies all the characteristics of a product that the user recognizes that they benefit him; therefore the suitability for use will always be determined by the user; and takes into account three factors to achieve the quality of a product.
The quality of design: This ensures that the manufactured product meets the needs of the user, for this it is necessary to carry out a market research, where the characteristics of the product and the needs of the client are defined.
Availability: Refers to the shelf life and performance of the product. The product must fulfill the functions for which it has been designed and if maintenance is required it must be carried out in a simple and friendly way.
Product technical service: This part has to do with the human factor of the company; This service must have an optimal response speed, be complete and competent, so that the client has the confidence of being in good hands.
Quality trilogy
Quality improvement is made up of three types of actions:
Quality control: A process must be under control, that is, that its variation has a normal behavior, since this allows us to observe the parts of the process that must be improved.
Level improvement or significant change (breakthrough): This action is intended to make changes in the process to achieve better quality levels, this action is the responsibility of management.
Quality planning: Changes and new designs are permanently integrated into normal operation. These changes always seek to satisfy the new market requirements.
If the process already exists and you want to improve quality, you will start with quality control, while in a new process, you should start with quality planning.
Quality planning
Juran, in his book Planning for Quality, states that this planning is the preparation process to achieve quality objectives. Quality planning consists of:
- Identify who the customer is Determine the needs of the customers Translate those needs into the language of the company Develop a product that can respond to those needs Optimize the characteristics of the product so that they meet the needs of the company Develop a process that can produce the product Optimize the process Test that the process can produce the product under normal operating conditions Transfer the process to operation
Self-control
85% of quality problems are the responsibility of the administration, since they have not organized the work to bring their collaborators to a state of self-control. Self-control allows the person doing the work to have full control over the planned result. To achieve this self-control it is necessary to obtain the following elements:
- Know what the expected result of the position is. Have the means to know if it is achieving it; It is necessary to have indicators and measurement systems to know the quality that is being produced and to have the information in the precise time. Have the resources to achieve these levels of quality or to correct them, that is, be well trained and have all the tools necessary to be able to carry out the activities and solve the problems if necessary.
Juran believes that quality must start from the top of the organization, which is still difficult to do since the top executives believe that they already know how things should be done.
Armand Vallin Feigenbaum (1922)
Born in 1922 in the United States. Graduated from Union College as an engineer. He earned his master's degree in economics from Massachusetts Institute Technology (MIT). Since 1944 he has worked at General Electric, becoming CEO of this company.
Dr. Armand V. Feigenbaum is the creator of the concept of Total Quality Control, in which he maintains that a systematic approach requires the participation of all the company's departments in the quality process.
The idea is to build quality from the early stages, rather than inspecting and controlling it later. Feigenbaum considers that methods such as statistics or preventive maintenance are only a segment of what Quality Control really is. The quality system is defined as: An effective system to coordinate the maintenance of quality and the efforts to improve of various groups in an organization, in such a way that the cost of production is optimized to allow complete customer satisfaction. (Izar Landeta & González Ortíz, 2004).
Contributions
Feigenbaum defines within the term quality control, the word control as a management tool that consists of four steps:
- Define quality characteristics that are important Establish desired standards for those characteristics Act when standards are exceeded Plan improvements to quality standards
Total quality control programs are highly cost-effective, as their results in customer satisfaction reduce your operating and service costs and improve resource utilization.
Quality costs
Quality costs are defined as all indirect costs incurred by an industry to ensure the customer a quality product, they are divided into:
- Prevention costs Evaluation costs Internal failure costs External failure costs
Phillip Bayard Crosby (1926-2001)
He was born on June 18, 1926 in Wheeling, West Virginia. He graduated in pediatrics, but he did not practice it because it was not to his liking, so he began to work in a manufacturing plant where he began as a quality inspector and reached the Vice Presidency in the telephone company ITT (International Telephone and Telegraph Corp.) still responsible for quality.
Crosby's motto is "do things right from the beginning and zero defects", with this he affirms that if things are done wrong, they must be corrected later and that represents an extra cost for the producer and the customer. Crosby claims that the quality process is achieved through teamwork.
Contributions
The four fundamentals of quality management are:
- Quality is defined as compliance with requirements The system for ensuring quality is prevention, not evaluation The performance standard must be zero defects Quality is measured by the costs of non-compliance, not by performance indicators process.
The 14 Steps of Quality Management
- Establish management or quality commitment Train quality improvement team Train quality staff Establish quality measurements Assess quality costs Create quality awareness Take corrective action Plan zero defect day Celebrate zero defect day Establish goals Eliminate causes of error Giving recognitions Form quality councils Repeat the process
Kaoru Ishikawa (1915-1989)
He was born on July 13, 1915 in Tokyo Japan, in 1939 he graduated from the applied chemistry degree at the University of Tokyo. From 1949 he worked in the promotion of quality control and was a consultant for companies in Japan. In 1960 he obtained his doctorate in engineering at the same university.
His work focuses on data collection and presentation, the use of the Pareto chart to prioritize quality improvements, and the cause-and-effect chart, also called the Ishikawa or fishbone chart.
Ishikawa in his works highlights the difference between Japanese quality and Western quality, which lie in education, religion and writing, in addition to not being influenced by Taylorism. He also points out that for there to be total quality there must be constant training on the subject in the members of the entire company.
Kaoru Ishikawa dies on April 16, 1989.
Contributions
Kaoru Ishikawa points out 7 tools to use to carry out total quality in the company.
- The Pareto chart. Used to prioritize the problems or the causes that generate it. And the 80/20 rule is used where it is explained that 20% of the causes solve 80% of the problem while 80% of the causes only solve 20% of the problem The cause-effect diagram: Also known as a diagram of herringbone, is a graphic representation in which the relationship between the central problem and the possible causes that contribute to it is observed.Stratification: It groups the data according to their concepts or areas, in order to identify the most The control sheet: Also called the Registry, it is used to gather and classify information according to its category of some phenomenon to be studied, so the frequency in which this phenomenon is observed is recorded.The main function of the control sheet is to collect data and thus be able to use it easily and analyze it automatically. Histogram: It is used to show the results generated by system changes; compare the variability of the specification limits, identify abnormalities The scatter plot. Used to verify if two variables are related, it verifies what is indicated in the cause-effect diagram. Control charts. With these graphs we can see if the processes are under control.The scatter diagram. Used to verify if two variables are related, it verifies what is indicated in the cause-effect diagram. Control charts. With these graphs we can see if the processes are under control.The scatter diagram. Used to verify if two variables are related, it verifies what is indicated in the cause-effect diagram. Control charts. With these graphs we can see if the processes are under control.
Genichi Taguchi (1924-2012)
Born on January 1, 1924 in Tokamachi, Japan, during World War II he was recruited into the Department of Astronomy of the Institute of Navigation of the Imperial Japanese Navy.
Taguchi developed his statistical methods of design of experiments applied to the increase of productivity and quality in the industry. He died on June 2, 2012 at the age of 88.
Contributions
Robust design
This design is based on the fact that the customer's quality expectations must be exceeded and thus customer satisfaction will be achieved.
When designing a product, it is believed during production the same quality will be obtained and we do not take into account the variability of the processes. Robust design consists of designing a production process capable of manufacturing the product within a normal range of variation and thus obtaining a quality product that exceeds customer expectations.
The methodology to improve the design of products and their manufacturing processes, simplifies the use of experimental design techniques, making statistical applications practical and simple enough for workers, with a minimum of support from specialists, to integrate them. to your processes.
Actual trends
Peter Ferdinand Drucker (1909-2005)
He was born on November 19, 1909 in Vienna, Austria and is known as the Father of Management or Modern Administration, since since the 40s he used concepts such as privatization, entrepreneurship, management by objectives, knowledge society, among others, which For their time, they were unimaginable concepts, however nowadays they are concepts used naturally already in companies.
The main concepts developed by Drucker are:
- Decentralization as the principle of effectiveness and the key to productivity Emphasis on high quality of personnel management Education, training and development of the administrator for future needs High quality information as the key to successful decision making Emphasis on marketing Need for long planning Term Management based on goal setting Management by results
Even for-profit organizations must be viewed as human and social structures rather than economic structures. (Tecnológico de Monterrey, 2012)
Drucker died on November 11, 2005 in his Claremont, California.
Michael Eugene Porter (1947)
Born in Ann Arbor Michigan in 1947, he graduated as a mechanical and aerospace engineer from Princeton and earned his Master's and Ph.D. in Business Economics from Harvard.
He is currently a professor at Harvard Business School (HBS) and president of the HBS Institute of Strategy and Competitiveness. And he is considered as the Father of Competitive Strategy. (Civano, 2007).
One of Porter's great contributions is the model of the five forces, which has become a basic tool for any management student. According to this model, the company's strategy must not only be in line with direct competitors, but also depend on other external forces of the organizations that must be considered to develop the correct strategy. Develops issues of competitiveness, competitive advantage and innovation such as the value chain, clusters, strategic groups, shared value, among other issues that are increasingly more focused on the social environment of companies and corporations.
CK Prahalad (1941-2010)
Coimbatore Krishnarao Prahalad was born on August 8, 1941 in Madras, India. He studied physics at the University of Madras and while he was studying he was working in a local Union Carbide battery factory.
He traveled to the United States in 1975 to study for his doctorate at Harvard and due to the political situation in his country, he could no longer return to his native country, so he settled in the United States and worked as a professor at the University of Michigan. where he made his greatest academic contributions.
Prahalad's proposals are inclined towards the search for the reduction of poverty, arguing that organizations should stop seeing poverty as a burden or a problem and better address their needs, as a solution he proposes Shared Creation which is aimed at towards economic development and social transformation.
In his book "Fortune at the Base of the Pyramid" he describes 12 principles of innovation for the markets at the base of the pyramid, which are people in poverty:
- Focusing on the study and allocation of prices for the market at the base of the pyramid For innovation, it proposes hybrid solutions, that is, new and old technologies can be mixed Plan logistics and transport operations that are simple and to reach countries and cultures at the base of the pyramid Facilitate packaging and logistics policies to streamline resources and have them at the base of the pyramid Radically readjust product design to market needs in The base of the pyramid Build a simple and versatile logistics and industrial infrastructure that allows reaching the markets at the base of the pyramid Train in service both suppliers and producers at the base of the pyramid Educate customers in the use of the product.Products must be resistant and functional in harsh environments: noise, dust, unsanitary conditions, abuse, electrical blackouts, water contamination Sales processes, products and prices must be as flexible as the needs of consumers and environments Distribution methods should be designed to reach highly dispersed rural markets and highly dense urban markets. Focus on the business structure being flexible, able to adapt quickly and easily to drastic changes in the environment and the market.Products and prices should be as flexible as consumer needs and environments Distribution methods should be designed to reach highly dispersed rural markets and highly dense urban markets Focus on flexible business structure, able to adapt quickly and easily to drastic changes in the environment and the market.Products and prices should be as flexible as consumer needs and environments Distribution methods should be designed to reach highly dispersed rural markets and highly dense urban markets Focus on flexible business structure, able to adapt quickly and easily to drastic changes in the environment and the market.
Prahalad dies on April 16, 2010.
Conclusions
Over time, human beings have become aware of the different needs that society has and this is reflected in the way in which companies have been managed throughout history.
At first it was considered that the human being would feel full and satisfied with the simple fact of having an income and being able to cover their basic needs, however, the conception of the human being as a simple being of work and being superficial has evolved, taking into account more and more their feelings, their needs and their desires. Although at this time we are in a time where people have become consumer and individualistic beings, there are people with that "gift" of beginning to make a constant call to those who are in the high command, both in companies and in government over the great need to put aside our consumerist tendency and return to the human side, to help us as a society, in which we are all parts of the same world where we are not unaware of the present problems,We can both contribute to them and we can also contribute to solutions, and for this it is necessary to change our schemes, to mold our way of conceiving and doing business, not only with the aim of obtaining profits at the cost of everything, but it is It is necessary to work with and for society and the environment, which will generate not only monetary gains, but also the gain of a healthy society and environment.but also the gain of a healthy society and environment.but also the gain of a healthy society and environment.
Thesis proposal:
Design of a manual with the main administrative models for companies in the service area of the city of Orizaba, Veracruz.
Objective:
Establish administrative models aimed at service companies that allow them to better manage their functions.
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