ch3 qmtools

8/13/2019 Ch3 QMTools

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Chapter - 3

Quality ManagementPractices,

Tools and Standards


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Management Commitment

Should have strategic plans with long-term

focus

Should satisfy the customer and investor

by delivering quality products

Can be accomplished by having a Quality

Program like TQE, TQM or Six Sigma etc.

Eg. Ford Motor Company follow Total

Quality Excellence program


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Total Quality Excellence (TQE)

A system that integrates all aspects of the

company and its suppliers into strategic

decision making on diff. functions of a

company

It is based on Fords vision of being a low

cost producer of the highest quality

products and services which provide thebest customer value


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TQEConcepts, Functional Areas

Quality should be defined by customer

Quality is achieved through prevention ofproblems and not detection

Vendor-Vendee concept, (Internal and ExternalCustomer)

All employees, suppliers, dealers and part of thecompany (Demings extended process)

Quality improvement is never ending Functional Areas includes Engineering, Delivery

and Commercial Performance


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TQEContd..

Embraces the system approach

Relies on partnership betweenmanufacturer and supplier

Ford developed Q101 Preferred QualityAward for suppliers

Emphasize on Process control, Customer

feedback and Documentation includingmanagement developed documentationfor design and change control


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Total Quality Management (TQM)

Management Commitment Must exists at all levels of the company

Creates policy at top level, implements at middle leveland quality mgt tools and techniques are used atoperation level

Customer Satisfying customer needs is the driving force

Direct feedback using a data driven approach is thebest way to identify customer needs

Key principle is that are customers are both internaland external


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TQMContd..

Customer surveys are used to find thediscrepancies between expectation andsatisfaction and taking measures to eliminate iscalled Gap Analysis

Process Vendors are part of the process

Cross functional team, with authority to solve problemand improve the process

Use of technical tools and techniques andmanagement tools is necessary to improvecontinuously


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TQMContd..

People Involving employees in the decision making process

(Empowerment)

Ownership and motivation are necessary to makeemployee get a sense of pride

Communication Open channel of communication

Emphasis is on Information sharing betweendepartments

Change from role of management of coordination andcontrol to that of coaching and caring


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TQMContd..

Culture Links the human element and the companys vision

They are the beliefs, values, norms and rules thatprevail within an company

Culture should embrace a participative style ofmanagement

Vision Tells about what company wants to be

It is general and outlines the scope and purpose oforganization

Should be motivational and make people worktowards the goal


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TQMContd..

Mission Derived from vision

More focused and defines the areas of concentration

No mention about time frame Quality Policy

Framed by senior management, it is the companysroad map

Indicates what to be done, but different fromprocedures and instructions

Eg. quality is the basic business principle at Xerox

Outcome is the performance standard


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Six Sigma Quality

Developed by Motorola

Uses quantitative goals, based on the measureof process variation ()

For a process output given by normaldistribution Mean is the measure of location of process

The no. of non-conforming product will be 2700ppm

(1350ppm on each tail) Assume a product with 1000 processes or parts, then

the no. of defects per product will be 2.7!!! (only 7 out100 will be defect free)


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Six SigmaContd..

For defect free product, the process spread given by (+/-3 ) has to be significantly less than that between USLand LSL

Focus of Six sigma is to reduce the process variationsuch that the spec. limits are 6 from the mean

If process is stable and remains centered, the proportionof defective will be 0.001ppm on each tail (Ideal)

Even for a shifts by 1.5 from the mean, no. of defectswill be 3.4ppm on each tail

For the example above there will be 0.0034 defect perproduct and the yield will be 99.66%

Requires a fundamental change in managementphilosophy and culture


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Quality Function Deployment

(QFD)

A planning tool that focus on designingquality into a product

A system that involves cross functional

team and takes care of complete cycle ofproduct development

Helps to translate customer needs into

technical requirements of products Called as House of Quality, Matrix product

planning, Customer drive


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QFD - Advantages

Evaluates competitor from 2 perspectivesCustomer and Technical

Used to identify the degree of

improvements needed in the product andprocess

Reduces the product development time as

it reduces product redesign Improves the communication between

different department


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QFD - Process

It is used to take the voice of customer and translate itinto a set of product and process parameters and can bedeployed through a 4-phase process Product planning

Part / Subsystem deployment Process planning

Production planning

It is based on a structure called House of Quality (HOQ)

Objective Delineates the scope of the project

Only one task is specified in the objective


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QFDProcess (Contd..)

What Voice of the customer, which express their needs and

wants

Rating Scale of 1 to 5 is used to give prioritize the wants (1

Least and 5Most Important)

Customer competitive assessment To identify the relative position of the organization

w.r.t competitors for each needs

Helps to identify the strength and weakness of thecompany and thereby close the gap


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Technical Descriptors (Hows) All possible technical / engineering requirements are

found through Brainstorming

Done by a cross-functional team

Target goals May or may not be used

Uses symbols

Co-relationship matrix

Forms the roof of HOQ 4 levels of relationshipstrong positive, positive,

negative, strong negative

Used for determining the trade-off between Hows


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Technical Competitive Assessment

Similar to that of customer assessment of competitor

Done by a technical staff of the company

Used to set objective values for the technicaldescriptors

Relationship matrix

A mechanism to analyse how each technical

descriptors will help in achieving What Represented by 0 to 5, where 0 is no relationship 1

low, 3medium and 5 - High


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Absolute and relative scores are calculated,based on which prioritization of needs is done

In next phase, the Hows will become What

Disadvantages Enormous amount of information must be gathered

QFD process is implemented in phases and hence

time consuming


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Innovative Adaptation &

Performance Evaluation

Innovation Cut costs, reduce lead

time, improveproductivity, save

capital and humanresources and henceincreased revenue

Do not happen veryoften

Result in a steepincrease in quality

High risk strategy

ContinuousImprovement Any one such

improvement takes

place Happens very

frequently

Leads to slow and

steady increase inquality

Eg. Benchmarking


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Benchmarking (BM)

Practice of identifying best practices inindustry and thereby setting goals toemulate them

Facilitates continuous improvement Started by Xerox in the year 1970 by R.C.

Camp

Steps for BM differs from company tocompany due to different operatingconcerns


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Benchmarking - Requirements

Not just merely identifying best practices, it

should be how practices can be adapted

It needs Management commitment and

should motivate employees with rewards

Training is a must on process mapping,

flowcharting

All resources should be made available

Hard and Soft systems should mesh


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Why Benchmarking?

Thorough understanding of companys own

processes

Identify Non Value Added activities

Enable comparison of performance measures(PM) in different dimensions with spider chart

Provides an effective way to manage change

and also a roadmap to adapt best practices Impact of technological development

Reduce cycle time, which in turn related to PM


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Quality Audit

To examine the effectiveness of management

control programs and also to identify problems

3 parties are involvedClient, Auditor and

Auditee AuditorInternal and External

Purpose

Suitability Quality Audit: Evaluation of Qualityprogram against reference standard

Conformity Quality Audit: Evaluation of operations,

activities within the quality system w.r.t procedures


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Quality AuditContd..

Product Audit

Assessment of final product or service on its ability to meet

customer needs

Involves conducting periodic test on products or obtain info.

from customers Separate from decision on product acceptance or rejection

and hence not part of the inspection system

Audit Quality

Influenced by independence and objectivity of the auditor

Depends on being a external or internal auditor

For suitability audit, external is most preferable


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Types System Audit

Most extensive

Evaluation of the quality program documentation w.r.treference standard

Includes evaluation of activities and operations that arefollowed to meet the desired quality objectives

Process Audit In depth evaluation of one or more processes

Takes less time

More focussed and less costly Used generally in process industries like chemical industries

Done when there is need for process improvement or whenthere is unexpected output


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Methods Location oriented

All functions are audited in that particular location

Examines the action and interaction of the elements in the

quality program at that location and may be used to identifydiscrepancies between location

Function oriented Examine and evaluate activities related to a particular

element or function within a quality program at all locations

Successive visits to each location is necessary to completethe audit

Utility of quality audit is derived only when remedialactions are taken


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Tools for Continuous Quality

Improvement

Called as 7 QC tools

For solving the problems and involves data collection,

analysis, hypothesis and validation

Check sheets A systematic record keeping or data collection

Observations are recorded as they happen and

reveals pattern or trends

Pareto Diagram helps to prioritize the problem by arranging them in

decreasing order of importance


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ImprovementContd..

Flow charts Shows the sequence of events

Mostly used in manufacturing and service operationsto describe working procedures

Valuable process information can be obtained inaddition to identifying problematic areas

Cause and Effect diagram Explores possible causes of problem due to men,

machine, material and method To identify root cause, each cause may be further

broken down


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ImprovementContd..

Histograms Displays large amount of data that are difficult to

interpret in raw form

Provides summary of data and also reveals whether

the process is centered, the degree of variation etc. Used to identify process capability relative to

customer requirements

Scatter Plots

Shows the relationship between two variables Used as a follow up to cause and effect analysis to

find whether a stated cause has impact on quality


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ImprovementContd..

Control charts Distinguishes special (assignable) causes of variation

from common causes

Used to monitor and control a process on a ongoing

basis Plots a selected quality characteristic, found from

subgroups of observations, as a function of samplenumber

Central line on the control chart is the average valueof the characteristic

Two limits, UCL and LCL are used to detect whetherthe process goes out of control


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The Seven New Quality Tools

Affinity Diagrams

Interrelationship Diagrams

Tree Diagrams Matrix Diagrams

Matrix Data Analysis

Process Decision Program Charts Arrow Diagrams


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International Standards

ISO 9000 or ANSI/ASQC Q9000 Series

standards which emphasize on customer

satisfaction and continuous quality improvement

ISO 9004 / ANSI/ASQC Q9004 Used for internal quality assurance

Guides organization in quality management system

Provides guidance on the technical, administrative

and human factors affecting the quality of products

Emphasis - establishing functional responsibilities,

assessing potential risks and benefits etc.


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International StandardsContd..

ISO 9001 - 9003 / ANSI/ASQC Q9001 - 9003

Used for external quality assurance

ISO 9001: design, production, installation and

servicing (Most stringent) ISO 9002: production and installation

ISO 9003: final inspection and test (least stringent)

Objective is to meet the purchasers needs, show

management that quality is achieved and provideconfidence to the purchaser that delivered product or

service is of high quality


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Quality Policy

Overall quality intentions and direction of an company

Expressed by top management

Forms a part of corporate strategy Quality Management

Aspect of overall management function that

determines and implement quality policy

Includes strategic planning, allocation of resources,quality planning, evaluation, operation etc.

Responsibility of the top management


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Quality System Organizational structure, responsibilities, procedures, processes

and resources for implementing quality mgt.

Should be only meet to the quality objectives

Quality Control Operational techniques & activities used to fulfil the requirementsof quality

Focus of activity is to monitor a process and eliminate the causeof unsatisfactory performance

Quality Assurance All those planned & systematic actions that provide a confidencethat product will satisfy the given requirements of quality

Serves as a management tool


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Features of ISO 9001(Quality

System)

It is a standard specifying quality systemrequirements, between vendor and vendee toshow the vendors capability to design andsupply the product

Aimed at preventing nonconformity at all stagesfrom design to servicing

Management Responsibility

Should define a quality policy that gives goal andobjectives for attaining quality

Should provide org. structure, responsibility, authority,resources etc. for different activities


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System)

Quality system principles

Must ensure product conformance to requirements

Standards to be developed for: acceptability,

measurement procedures, production processes,installation, test procedures, quality plans, quality

manuals etc.

Contract Review

Makes vendor to review each contract and ensure therequirements are adequately defined and

documented


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System)

Design Control Establish and maintain procedures to control and

verify the design for the meeting the needs

Ensure that output meet the design input, conforming

to regulatory requirements and identify thosecharacteristics that are crucial and safe for properworking

Document Control

Ensures availability of latest document at all locations,where they are essential for operations

Obsolete documents should be removed


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System)

Purchasing

Vendor selection

Vendor rating and certification

Verification of incoming product Vendor quality survey report

Product Identification and Traceability

Procedures for identifying the product from applicable

drawings and documents

Traceability related to an individual product or batch,

which should have a unique identification


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System)

Process Control To identify and plan production & installation process

to operate under controlled condition

Documentation of work instructions

Monitoring the product and process characteristics

Product Verification Done through inspection and testingin-process as

well as final inspection

Non-conforming products should be identified

Final inspection should be based on quality plan

Procedures and records to be maintained


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System)

Measuring and Test Equipment

Should be appropriate and calibrated

Environmental condition, handling, preservation,

storage etc to be documented Scheduling of recalibration to be maintained

Corrective Action

Procedures for corrective action should be

documented Analysis of processes, work operations, customer

complaints etc to be done and prevent recurrence


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System)

Post production handling function

Procedures for storage, packing and delivery

Area for storage and appropriate methods for

authorizing receipt and dispatch Packing and Preservation should confirm to

requirements

Quality Records

Procedures for identification, collection, indexing,filing, storage, maintenance and disposition

Retention time to be established

f SO 9001(Q


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System)

Internal Quality Audit Scheduling of audits

Results of the audits to be documented

Corrective action initiated should also be documented

Training Procedures for identifying the training needs and

appropriate records to be maintained

Servicing and Statistical Techniques Procedures for performing servicing and use of

statistical techniques for acceptability of processcapability and product characteristics


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Vision:Defines the desired or intended future state of

an organization or enterprise in terms of its fundamental

objective and/or strategic direction. Vision is a long term

view, sometimes describing how the organization would

like the world in which it operates to be. For example acharity working with the poor might have a vision

statement which read "A world without poverty"

Mission:Defines the fundamental purpose of an

organization or an enterprise, succinctly describing whyit exists and what it does to achieve its Vision

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