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To Satisfy Customers
Requirements Continuously
Prof M. Ramani
Meaning of Quality
Websters Dictionary
Dimensions of Quality
Definitions of Quality
Quality means fitness for use
- quality of design
- quality of conformance
Quality is inversely proportional
to variability.
Prof M. Ramani
Meaning of Quality:
Consumers Perspective
Fitness for use
how well product or
service does what it is
supposed to
Quality of design
designing quality
characteristics into a
product or service
A Mercedes and a Ford
are equally fit for use,
but with different design
dimensions
Prof M. Ramani
Dimensions of Quality:
Manufactured Products
Performance
Features
Reliability
Dimensions of Quality:
Manufactured Products (cont.)
Conformance
Durability
Serviceability
Prof M. Ramani
Dimensions of Quality:
Manufactured Products (cont.)
Aesthetics
Safety
Perceptions
Dimensions of Quality:
Service
Time and Timeliness
How long must a customer wait for
service, and is it completed on time?
Is an overnight package delivered
overnight?
Completeness:
Is everything customer asked for
provided?
Is a mail order from a catalogue
company complete when delivered?
Prof M. Ramani
Dimensions of Quality:
Service (cont.)
Courtesy:
How are customers treated by
employees?
Are catalogue phone operators nice and
are their voices pleasant?
Consistency
Is the same level of service provided to
each customer each time?
Is your newspaper delivered on time every
morning?
Prof M. Ramani
Dimensions of Quality:
Service (cont.)
Accessibility and convenience
How easy is it to obtain service?
Does a service representative answer you calls quickly?
Accuracy
Is the service performed right every time?
Is your bank or credit card statement correct every
month?
Responsiveness
How well does the company react to unusual situations?
How well is a telephone operator able to respond to a
customers questions?
Prof M. Ramani
Meaning of Quality:
Producers Perspective
Quality of Conformance
Making sure a product or service is
produced according to design
if new tires do not conform to
specifications, they wobble
if a hotel room is not clean when a guest
checks in, the hotel is not functioning
according to specifications of its design
Prof M. Ramani
Meaning of Quality:
A Final Perspective
Consumers and producers
perspectives depend on each
other
Consumers perspective: PRICE
Producers perspective: COST
Consumers view must
dominate
Prof M. Ramani
Meaning of Quality
Meaning
Meaning of
of Quality
Quality
Production
Production
Producers
Producers Perspective
Perspective
Consumers
Consumers Perspective
Perspective
Quality
Quality of
of Conformance
Conformance
Quality
Quality of
of Design
Design
Conformance
to
specifications
Cost
Quality characteristics
Price
Fitness
Fitness for
for
Consumer
Consumer Use
Use
Prof M. Ramani
Marketing
Marketing
Definition TQM
15
Prof M. Ramani
Definition of quality
Prof M. Ramani
Costs
Costsassociated
associatedwith
with
controlling
controllingquality.
quality.
Prof M. Ramani
QualityCost
Relationship
Cost of quality
Difference between price of
nonconformance and conformance
Cost of doing things wrong
20 to 35% of revenues
Profitability
In the long run, quality is free
Prof M. Ramani
Activities
Activitiesthat
thatseek
seekto
to
prevent
defects
in
the
prevent defects in the
products
productsor
orservices
servicesbeing
being
produced.
produced.
Certifying
CertifyingSuppliers
Suppliers
Designing
Designingfor
for
Manufacturability
Manufacturability
Quality
QualityTraining
Training
Quality
QualityEvaluations
Evaluations
Process
ProcessImprovements
Improvements
Prof M. Ramani
Appraisal
Appraisal
Activities
Activitiesfor
forinspecting
inspecting
inputs
and
attributes
inputs and attributesof
of
individual
individualunits
unitsof
ofproduct
product
and
andservice.
service.
Inspecting
InspectingMaterials
Materials
Inspecting
InspectingMachines
Machines
Inspecting
InspectingProcesses
Processes
Statistical
StatisticalProcess
ProcessControl
Control
Sampling
Samplingand
andTesting
Testing
External
External Failure
Failure
Costs
Costs associated
associated
with
with defects
defects in
in
processes
processes and
and
products
products that
that are
are
detected
detected after
after
delivery
delivery to
to
customers.
customers.
Warranty
Warranty Repairs
Repairs
Field
Field Replacements
Replacements
Product
Product Liability
Liability
Restoring
Restoring
reputation
reputation
Prevention Costs
Quality planning costs
Product-design costs
costs of designing
products with quality
characteristics
Process costs
costs expended to
make sure productive
process conforms to
quality specifications
Prof M. Ramani
Training costs
costs of developing and
putting on quality
training programs for
employees and
management
Information costs
costs of acquiring and
maintaining data
related to quality, and
development of reports
on quality performance
Appraisal Costs
Inspection and testing
Operator costs
Scrap costs
costs of poor-quality
products that must be
discarded, including labor,
material, and indirect costs
Rework costs
Price-downgrading
costs
costs of discounting
poor-quality products
that is, selling products
as seconds
Product liability
costs
litigation costs
resulting from
product liability and
customer injury
Prof M. Ramani
Why Quality
Quality Up
Processing
Time down
Image up
Service
cost down
Sales
Volume up
Price(?)
Competition
down
Rework &
Scrap cost
down
Inspection &
test cost down
Scale
Economies
up
Revenue
up
Inventory
Down [assume-goods sold]
Complaint &
Warranty cost
down
Productivity
Up---meaning?
Operation
Cost down
Profits up
Prof M. Ramani
Capital
cost down-?
Prof M. Ramani
Barriers in TQM
The various roadblocks in implementing TQM are:
Lack of management commitment.
Lack of faith in and support to TQM activities
among management personnel.
Failure to appreciate TQM as a cultural revolution.
In other words, inability to change organizational
culture.
Misunderstanding about the concept of TQM.
Improper planning.
Lack of employees commitment.
Lack of effective communication.
Barriers in TQM
Lack of continuous training and education.
Lack of interest or incompetence of leaders.
Ineffective measurement techniques and lack of
access to data and results.
Non-application of proper tools and techniques.
Inadequate use of empowerment and team work.
Inadequate attention to internal and external
customers.
Delay
or
non-implementation
of
quality
improvement teams recommendations.
Benefits of TQM
Tangible
Benefits
Improved product
quality
Improved productivity
Reduced quality costs
Increased market and
customers
Increased profitability
Reduced employee
grievances
Intangible Benefits
Improved employee
participation
Improved teamwork
Improved working
relationships
Improved customer
satisfaction
Improved communication
Enhancement of job
interest.
Enhanced problem-solving
capacity.
Better company image
Quality Management
Gurus
CONTRIBUTIONS BY QUALITY
GURUS
To
fully
understand
the
TQM
movement, we need to look at the
philosophies of notable individuals
who have shaped the evolution of
TQM.
Their
philosophies
and
teachings have contributed to our
knowledge and understanding of
quality today.
Outline
We have eight Gurus :
1. Deming
2. Juran
3. Crosby
4. Feigenbaum
5. Ishikawa
6. Garvin
7. Shingo
8. Taguchii
_ Despite there are eight gurus in assessing total quality
management , but there are differences in their opinions
Walter A. Shewhart
Walter A. Shewhart was a statistician at Bell Labs
during the 1920s and 1930s. Shewhart studied
randomness and recognized that variability
existed in all manufacturing processes. He
developed quality control charts that are used to
identify whether the variability in the process is
random or due to an assignable cause, such as
poor workers or miscalibrated machinery. He
stressed that eliminating variability improves
quality. His work created the foundation for
todays statistical process control, and he is often
referred to as the grandfather of quality control.
Deming
1.
2.
3.
4.
5.
Deming
1. Statistical process controlling: its a process which aims
at achieving good quality during manufacture through
prevention rather than detection .
* It is concerned with controlling the process (machine)
which make the product through inspecting the machine
rather than the product itself.
. For example why the salesman cant sell the same amount
every month ?
. SPC will answer this question by discovering and
analyzing these items :-
Deming
1. Common causes : which inherent to the process as
Machine fails
2. Special causes : Not inherent to the process and should be
defined such as poor performance
3. Natural Variation: producing certain amount of defects
4. Significantly different variation: Discovering exactly
where it is by management.
Note. Deming said :
*80% depends on management
*20% depends on employee
Deming
2.
Deming
** Deming 14 points , I will mention some:
1. Create constancy of purpose to improve product and service.
2. The new age of quality requires a commitment continuously to
improve .
3. Constantly improve , Use the PDCA cycle
4. Dont have silly slogans that mean nothing
5. Supervision must change from chasing to coaching and
support
6. Remove Barriers that prevent employees having pride in their
work , Barriers such as time pressure and focus on profit rather
than quality
Demings cycle
Joseph Juran
Juran Ideas are :
1.
2.
3.
4.
5.
6.
7.
Quality definition
Breakthrough concept
Internal customer
Quality Trilogy
Pareto analysis
Cost of quality
Quality council
Joseph Juran
1. Quality definition : ( Fitness of purpose)
The statement is not that much easy , as it requires asking
many questions like :
. What is the real purpose ?
. Are customer internal or external users ?
. Who are the possible customers ?
Joseph Juran
2. Breakthrough : sequences of process improvements ,
which take two journeys
journey from symptom to cause
journey from cause to remedy
3. Internal customers : quality is associated with customer
satisfaction and dissatisfaction
Satisfaction : occurs when the product has superior
performance and features
Dissatisfaction : when we have defects and deficiencies
Joseph Juran
Customer satisfaction has two dimensions:
Internal : Building the product and the service correctly
External : matching customer requirements and meet their
expectations
4. Quality council : A group of experts who are responsible for
supervising in the application of quality
*Juran Big (Q) : quality doesnt the concern of the production
or the total quality within the organization , but it extends to
link between organization departments, operations and
services .
Joseph Juran
5. Juran quality cost :
*Appraisal
Joseph Juran
*
Joseph Juran
7. Quality Trilogy :
Quality planning : *determine the organization internal and
external customers * determine customer needs ,
requirements and expectations * design the product to
achieve customer satisfaction * prepare a design to achieve
a good quality
Quality controlling : *determine variation and make decisions
* measure performance and results
*compare the results with the stated objectives .
Quality improvements : * define quality goals * train the
workers * develop a problem solving statement
Crosby
Crosby
3. The performance is zero defects: make the requirement
right from the first time , and make the quality accepted by a
number of standard items .
4. The measurements of quality is the price of NONconformance : because cost quality is the prime motivation
for management .
_CROSBY quality costs :
* Price of NON conformance :(all the costs involved in not
getting the product or a service right .
* Price of conformance : costs for doing things right
Crosby
Crosby has 14 points like Deming , like :
- Management commitment
- Building awareness
- Educating employees
- Quality councils
And others but the main difference between Deming and
crosby is that :
**Deming focus on quality management .
**Crosby focus on action plan and implementation process .
David A. Garvin
David A. Garvin is the Professor of
Business Administration at the
Harvard Business School.
"If quality is to be
managed, it must first
be understood."
Kaoru Ishikawa
Kaoru Ishikawa
Kaoru Ishikawa was a Japanese
professor and influential quality
management innovator best
known in north America for the
Ishikawa or cause and effect
diagram (also known as fishbone
diagram) that are used in the
analysis of industrial process.
Quality Contributions
User Friendly Quality Control
Fishbone Cause and Effect
Diagram - Ishikawa diagram
Implementation of Quality Circles
Emphasized the 'Internal
Customer'
Shared Vision
Ishikawa diagram
The Ishikawa diagram (or fishbone diagram or also
cause-and-effect diagram) are diagrams, that
shows the causes of a certain event. A common
use of the Ishikawa diagram is in product design.
Also it reveals key relationships among various
variables,
Categories of causes
The 6 M's
Machine, Method, Materials, Maintenance, Man
and Mother Nature (Environment)
(recommended for the manufacturing industry.
The 8 P's
Price, Promotion, People, Processes,
Place/Plant, Policies, Procedures, and Product
(or Service) (recommended for the
administration and service industries).
The 4 S's
Surroundings, Suppliers, Systems, Skills
(recommended for the service industry(
Shigeo Shingo
Shigeo Shingo
Shigeo Shingo, born in Saga City, Japan, was a
Japanese industrial engineer who distinguished
himself as one of the worlds leading experts on
manufacturing practices and The Toyota
Production System. Shingo is known far more in
the West than in Japan.
Shigeo Shingo is strongly associated with Just-inTime manufacturing, and was the inventor of :
1) The single minute exchange of die
(SMED) system, in which set up times are
reduced from hours to minutes, and
2) The Poka-Yoke (mistake proofing)
system. In Poka Yoke, defects are
examined, the production system
stopped and immediate feedback given
so that the root causes of the problem
may be identified and prevented from
occurring again.
Shigeo Shingo
He distinguished between errors, which are
inevitable, and defects, which result when
an error reaches a customer, and the aim of
Poka-Yoke is to stop errors becoming
defects. Defects arise because errors are
made and there is a cause and effect
relationship between the two.
Poke-yoke
Zero quality control is the ideal production
system and this requires both Poka-Yoke and
source inspections.
Gen'ichi Taguchi
Gen'ichi Taguchi
Taguchi methodology
Taguchi methodology is fundamentally a
prototyping method that enables the
designer to identify the optimal settings to
produce a robust product that can survive
manufacturing time after time, piece after
piece, and provide what the customer
wants. Today, companies see a close link
between Taguchi methods, which can be
viewed along a continuum, and quality
function deployment (QFD).
Taguchi contributions:
Taguchi has made a very influential
contribution to industrial statistics. The key
elements of his quality philosophy are:
Taguchi loss function: used to measure
financial loss to society resulting from poor
quality;
The philosophy of off-line quality control:
designing products and processes so that
they are insensitive to parameters outside
the design engineer's control; and
Innovations in the statistical design of
experiments: notably the use of an outer
array for factors that are uncontrollable in
real life, but are systematically varied in
System design;
Parameter design; and
Tolerance design
System design
This is design at the conceptual level, involving
creativity and innovation.
Parameter design
Once the concept is established, the nominal
values of the various dimensions and design
parameters need to be set. Taguchi's radical
insight was that the exact choice of values
required is under-specified by the performance
requirements of the system. This allows the
parameters to be chosen so as to minimize the
effects on performance arising from variation in
manufacture, environment and cumulative
damage. This is sometimes called robustification.
Tolerance design
With a successfully completed
parameter design, and an
understanding of the effect that
the various parameters have on
performance, resources can be
focused on reducing and
controlling variation in the critical
few dimensions