quality 30

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Two views on errors Two views on errors Most errors go unreported and unresolved because Most errors go unreported and unresolved because they are either felt to be insignificant or for fear they are either felt to be insignificant or for fear of blame and retribution of blame and retribution Very few people care enough about their own or Very few people care enough about their own or another’s organisation to report correctable errors another’s organisation to report correctable errors

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Page 1: Quality 30

Two views on errorsTwo views on errors

Most errors go unreported and unresolved because they are Most errors go unreported and unresolved because they are either felt to be insignificant or for fear of blame and either felt to be insignificant or for fear of blame and retributionretribution

Very few people care enough about their own or another’s Very few people care enough about their own or another’s organisation to report correctable errorsorganisation to report correctable errors

Page 2: Quality 30

Two journeys to quality Two journeys to quality

From symptom to causeFrom symptom to cause

- the diagnostic journey- the diagnostic journey

From cause to remedyFrom cause to remedy

- the remedial journey- the remedial journey

Page 3: Quality 30

Three brave questions for customersThree brave questions for customers What are we doing that you like?What are we doing that you like?

What should we do that we are not yet?What should we do that we are not yet?

What are we doing that needs to be done better?What are we doing that needs to be done better?

Source: DentonSource: Denton

Page 4: Quality 30

Three issues on quality and Three issues on quality and customerscustomers

Nine out of ten dissatisfied customers don’t complain, Nine out of ten dissatisfied customers don’t complain, they just go elsewherethey just go elsewhere

Over three quarters of customers will pay more for a quality Over three quarters of customers will pay more for a quality serviceservice

Attracting new customers can cost up to four times as much as Attracting new customers can cost up to four times as much as retaining themretaining them

Page 5: Quality 30

Three key quality issuesThree key quality issues

The bitterness of poor quality remains long after the sweetness The bitterness of poor quality remains long after the sweetness of low price is forgottenof low price is forgotten

Quality is the art of getting people to buy your product or Quality is the art of getting people to buy your product or service more than onceservice more than once

The cost of quality is the expense of doing things wrongThe cost of quality is the expense of doing things wrong

Page 6: Quality 30

Three elements of quality costsThree elements of quality costs

Costs of errorsCosts of errors

Inspection costsInspection costs

Prevention costsPrevention costs

Page 7: Quality 30

The 4 ‘C’s of the Best Value The 4 ‘C’s of the Best Value Quality modelQuality model

Challenge purpose Challenge purpose

Compare performanceCompare performance

Consult the communityConsult the community

Compete with othersCompete with others

Page 8: Quality 30

Four quality essentialsFour quality essentials Costs go down as we reduce variation in what we produce or deliver.Costs go down as we reduce variation in what we produce or deliver.

Concern for meeting customer needs will show in what we do, not just Concern for meeting customer needs will show in what we do, not just what we say.what we say.

To improve a process we need to know what causes its variation.To improve a process we need to know what causes its variation.

A climate in which we feel unthreatened when reporting bad news is an A climate in which we feel unthreatened when reporting bad news is an absolute must.absolute must.

Source: Andrew GibbonsSource: Andrew Gibbons

Page 9: Quality 30

Four absolutes of quality Four absolutes of quality managementmanagement

Conformance to requirementsConformance to requirements

Prevention not appraisalPrevention not appraisal

Zero defectsZero defects

Measuring the cost of non-conformanceMeasuring the cost of non-conformance

Source: Philip CrosbySource: Philip Crosby

Page 10: Quality 30

Four specific quality costsFour specific quality costsPrevention costs: including quality planningPrevention costs: including quality planning

Appraisal costs: including inspectionAppraisal costs: including inspection

Internal failure costs: including scrap and reworkInternal failure costs: including scrap and rework

External failure costs: including warranty and complaintsExternal failure costs: including warranty and complaints

Source: FeigenbaumSource: Feigenbaum

Page 11: Quality 30

Four steps to quality control Four steps to quality control Setting quality standardsSetting quality standards

Appraising conformance to the standardsAppraising conformance to the standards

Acting when standards are exceededActing when standards are exceeded

Planning improvements in the standardsPlanning improvements in the standards

Source: FeigenbaumSource: Feigenbaum

Page 12: Quality 30

Four quality fundamentalsFour quality fundamentals Understanding and fulfilling requirementsUnderstanding and fulfilling requirements

The need to consider process in terms of added valueThe need to consider process in terms of added value Obtaining the results of process performance and Obtaining the results of process performance and

effectivenesseffectiveness Continual improvement of process based on effective Continual improvement of process based on effective

measurementmeasurement

Source: BSISource: BSI

Page 13: Quality 30

Four levels of denying our ability to resolve Four levels of denying our ability to resolve

problemsproblems The problem does not existThe problem does not exist

The problem is not importantThe problem is not important The problem cannot be solvedThe problem cannot be solved I cannot solve the problemI cannot solve the problem

Page 14: Quality 30

Four costs of qualityFour costs of quality Conformance costsConformance costs

Prevention costsPrevention costs

Appraisal costsAppraisal costs

Non-conformance costsNon-conformance costs

Internal failureInternal failure

External failureExternal failure

Source: Steve BallSource: Steve Ball

Page 15: Quality 30

Four thoughts on qualityFour thoughts on quality Quality cannot be inspected in, it can only Quality cannot be inspected in, it can only

be created by designbe created by design

Most organisations are unaware of the true costs of getting things wrongMost organisations are unaware of the true costs of getting things wrong

Up to 85%of quality problems are created Up to 85%of quality problems are created

by people who never touch the product or provide the serviceby people who never touch the product or provide the service

The price of poor quality can amount to The price of poor quality can amount to

20-40% of turnover20-40% of turnover

Page 16: Quality 30

Five steps to root causes of poor Five steps to root causes of poor qualityquality

What goes wrong?What goes wrong?

What are the symptoms?What are the symptoms?

What are the effects?What are the effects?

What are the real causes?What are the real causes?

What will resolve the problem? What will resolve the problem?

Page 17: Quality 30

Five elements of the EPDCA quality Five elements of the EPDCA quality cyclecycle

EE valuate valuate

PP lan lan

DD o o

CC heck heck

AA mend mend

Page 18: Quality 30

Benchmarking: six categories of Benchmarking: six categories of

organisational effectiveness organisational effectiveness World classWorld class

Potential winnersPotential winners VulnerableVulnerable PromisingPromising

\\ Room for improvement Room for improvement Could do betterCould do better

Source: HansonSource: Hanson

Page 19: Quality 30

The ACCEPT model of total quality

A im for customer satisfaction

C ommunicate and co-ordinate all activities

C o-operate at all levels and across functions

E mpower all employees

P romote the use of problem solving tools

T raining for quality is forever

Source: Gatchalian

Page 20: Quality 30

Seven signs of poor qualitySeven signs of poor quality ComplaintsComplaints

Wasted timeWasted time

FrustrationFrustration

HassleHassle

ConfusionConfusion

OverloadOverload

UnderloadUnderload

Source: Steve SmithSource: Steve Smith

Page 21: Quality 30

Eight steps in the rational decision making Eight steps in the rational decision making

modelmodel Know your climate and parametersKnow your climate and parameters

Define the problemDefine the problem

Collect dataCollect data

Analyse the dataAnalyse the data Generate possible solutionsGenerate possible solutions

Select the best solutionSelect the best solution Implement the decisionImplement the decision Review and learnReview and learn

Page 22: Quality 30

Seven steps to solving problemsSeven steps to solving problems Identify Key areasIdentify Key areas

Analyse SymptomsAnalyse Symptoms

To find CausesTo find Causes

Generate AlternativesGenerate Alternatives

Make DecisionsMake Decisions Anticipate TroubleAnticipate Trouble Prevent RecurrencePrevent Recurrence

Page 23: Quality 30

Eight key quality issuesEight key quality issues Quality leads to lower costs and inspection is too lateQuality leads to lower costs and inspection is too late

The Boardroom has ultimate responsibility for qualityThe Boardroom has ultimate responsibility for quality

Most defects are caused by the systemMost defects are caused by the system

No process is optimised, it can always be improvedNo process is optimised, it can always be improved

Fear degrades processes – provide job securityFear degrades processes – provide job security

Managers must do more than respond to system failureManagers must do more than respond to system failure

Build long term relationships with trusted suppliersBuild long term relationships with trusted suppliers

Prevention of variation and failure is the key Prevention of variation and failure is the key

Source: W E DemingSource: W E Deming

Page 24: Quality 30

Eight dimensions of qualityEight dimensions of quality PerformancePerformance

FeaturesFeatures

ReliabilityReliability

ConformanceConformance

DurabilityDurability

ServiceabilityServiceability

AestheticsAesthetics

Perceived qualityPerceived quality

Page 25: Quality 30

Eight poor management styles for real Eight poor management styles for real qualityquality

Emphasis on short term profitabilityEmphasis on short term profitability

Clamping down on cost but tolerating high waste levelsClamping down on cost but tolerating high waste levels

A ‘take it or leave it’ attitude towards customersA ‘take it or leave it’ attitude towards customers

Treating employees as productive robotsTreating employees as productive robots

Competing on price not sufficiently on qualityCompeting on price not sufficiently on quality

Buying at the lowest priceBuying at the lowest price

Anti - change but changing arbitrarily when forcedAnti - change but changing arbitrarily when forced

Macho management – the crisis manager Macho management – the crisis manager

Source: UK Dept of Trade and IndustrySource: UK Dept of Trade and Industry

Page 26: Quality 30

Nine parts to Juran’s ‘Quality route map’Nine parts to Juran’s ‘Quality route map’ Identify who are our customersIdentify who are our customers

Determine the specific needs of those customersDetermine the specific needs of those customers

Translate those needs into our languageTranslate those needs into our language

Develop products that respond to those needsDevelop products that respond to those needs

Optimise product features to meet our needs tooOptimise product features to meet our needs too

Develop processes able to produce the productsDevelop processes able to produce the products

Fine tune and optimise the processFine tune and optimise the process

Improve the process under operating conditionsImprove the process under operating conditions

Transfer the process to operationsTransfer the process to operations

Source: Joseph JuranSource: Joseph Juran

Page 27: Quality 30

The nine elements of the The nine elements of the Business Excellence model Business Excellence model

Five Five enablers:enablers:

LeadershipLeadershipPeoplePeoplePolicy and strategyPolicy and strategyPartnership and resourcesPartnership and resourcesProcessesProcesses

Four Four results:results:PeoplePeopleCustomersCustomersSocietySocietyKey performance indicatorsKey performance indicators

Page 28: Quality 30

List List 1515

reasons for reasons for bad bad

decisionsdecisions

Page 29: Quality 30

” ”The cost of quality is the expense of The cost of quality is the expense of

doing things wrong” doing things wrong”

Source: UK Department of Trade and IndustrySource: UK Department of Trade and Industry

Page 30: Quality 30

What does the word What does the word qualityquality

mean to you? mean to you?