Quality management

Quality management

Slovak University of TechnologyFaculty of Material Science and Technology in Trnava

Definition of Quality

What is the quality ? Quality is conformance to requirements

Other definitions:Quality is fitness for useQuality is meeting customer expectations

Explames of Quality Charakteristic

Product

Service


Product- Performance- Reasonable price- Durability- Available- Serviceability- Ease of use- Simplicty of deign


Product

- Safe- Reliable- Maintainable- Aesthetics- Ease of disposal


Service- Responsiveness- Reliable- Comppetene- Accuracy- Courtesy- Ceredibility- Security- Understanding the costumer


Service- Completeness- Communication- Available- Safe access- Timeliness

Definition

Quality Is a characteristic of a product (good or

service). It may be measured directly as compliance to some standard or indirectly by customer appreciation or impact.

Definition of Quality

ISO 9001:2000 defined quality than:

Definition

Quality management

Is a method for ensuring that all the activities necessary to design, develop and implementing a product or service are effective and efficient with respect to the system and its perfarmance

Definition

Quality management system (QMS)

A set og policies, processes and procedures required for planning and execution (product/development/service) in then core business area of an Organisation.

Definition

Total quality management (TQM)

A customer focused management philosophy that seeks to continuously improve business processes using analytical tools and teamwork involving all employees. There are several TQm models, the EFQM, the Malcolm Baldridge, ISO 9000 being the most commonly used

The quality philosophies (gurus)

What is a quality guru?

Is a good person, a wise person and a teacher.

The gurus mentioned in this section have done, and continue to do, that in some cases, even after their death


There have been three gruops gurus since the 1940s:

Early 1950s – American who took the mesage of quality to Japan

Late 1950s – Japanese who developed new concepts in response to the Amwericans

1970s – 1980s Western gurus who followed the Japanese industrial success


The Americans who went to Japan

W.Edwards Deming

Joseph M. Juran

Philip B. Crosby

The Americans guru

W.E.Deming

14 points for transformation of Western management

PDCA cycle

Deployment the Strategy of quality

Deming

14 point plan for Western management: Constatncy of purpose The new philosophy Cease mass inspection End „lowest price“ purchasing Constantly improve systems Train everyone Institute leadership

Deming

14 point plan for Western management:Drive out fearBreak down barriersEliminate exportationsEliminate targetsPermit pride of workmanshipEncourage educationTop managements commitment

The Americans guru

J.M. Juran

Two different of quality The Juran Trilogy: Three basic managerial

processes: quality planning, quality control and quality improvement

Three levels of quality management The Jurans spirals

J.M.Juran

7 steps program:Establish quality policies and quidesEstablish quality goalsDesign quality plans to reach those goalsAssign responsibility for the plansProvide necessary resourcesRewiev progress against goalsEvaluate manager performance vs.goals

Joseph M. Juran

- he pursued a varied career as an engineer, executive, government administrator, university professor, labor arbitrator, corporate director, and consultant.

- Specializing in managing for quality, he is the editor of Juran`s Quality Handbook.

- Juran defines quality as consisting of two different, bud related concepts:

Joseph M. Juran

One from of quality is income oriented and consists of those features of the product that meet costumer needs and thereby produce income.

A second from of quality is cost oriented and consist of freedom from failures and deficiencies.

Joseph M. Juran

Juran`s quality planning road map consists of the following steps:

- determinate quality goals

- Identify costumers

- Discover costumers` needs

Joseph M. Juran

- Translate from costumer language to products having desired features

- Develop processes able to produce the product

- Transfer the process, with appropriate controls, to operations

Joseph M. Juran

Control takes place at all levels, from the CEO down to the workers, and all use the same feedback loop, witch is the following:

- Measure performance

- Compare performance to the goal

- Take action if there is a gap

Joseph M. Juran

Juran presented a structured approach for improvement in his book Managerial Breakthrough and included a list of responsibilities that upper managers should not delegate:

- Create awareness of the need and opportunity for improvement

- Make quality improvement a part of every job description

Joseph M. Juran

- Create an infrastructure – a quality council who selects projects for improvement and established teams

- Provide training in quality improvement methods

- Regularly review improvement progress

Joseph M. Juran

- Give recognition to improvement teams- Use the results to spread the word on the power

of the efforts- Revise the reward system to enforce the rate of

improvement- Maintain momentum by enlarging the business

plan to include goals for quality improvement

Joseph M. Juran

Juran also defines three levels of quality management:

- Strategic quality management

- Operational quality management

- The workforce

Joseph M. JuranJuran defines TQM as a collection of certain

quality-related activities:- Quality becomes a part of each upper

management agenda- Quality goals enter the business plan- Stretch goals are derived from benchmarking –

focus is on the costumer and on meeting competition, and there are goals for annual quality improvement

- Goals are deployed to the action levels

Joseph M. Juran

- Training is done at all levels- Measurement is established throughout - Upper managers regularly review progress

against goals- Recognition is given for superior performance- The reward system is revised

The Americans guru

P.B.Crosby

Defines absolutes of quality management

14 points improvement quality management

Zero defect

Crosby

5 absolutes of qualityQuality means conformance, not goodness or

eleganceThere is no such thing as a quality problem It is always cheaper to do the job right the first

timeCost od quality is the only measure of

performanceZero defect is the only perfomance standart

Crosby

14 step process:Management commitmentQuality improvement teamQuality measurementCost of qualityQuality awarenessCorrective actionZero defects

Crosby

14 step process: Training Zero defects day Goals setting Error cause removal Recognition Quality councils Do it over again

The Japanese guru

Kaoru Ischikawa

Autored the Guide to Quality Control

The autor the Ishikawa diagram and the assembly and use of the „seven basic tools of quality“

Kaoru Ishikawa

He was an early student of Deming and a member of the Union of Japanese Scientists and Engineers. He authored:

Guide to quality control – to help training of foremen and middle managers in Japan of the operation of quality circles.

Quality standards

History of ISO 9000

1987 version

1994 version

2000 version

Quality standards

Industry specific interpretations

AS 9000 – Aerospace Basic Quality System standards

PS 9000 – Pharmaceutical Packaging Materials

QS 9000 – American automotive manufacturers (GM, Ford, Chrysler)

ISO /TS 16949:2002 – American and European automotive manufacturers

Quality standards

Industry specific interpretations

TL 9000 – is the Telecom Quality management and Measurement System Standard

ISO 13 485:2003 – medical industrys equivalent of ISO 9001:2000

ISO series 9000 – 1987 version

The three models for quality management systems:

ISO 9001:1987 Model for quality assurance in design, development, production, installation, and servicing

ISO 9002:1987 Model for quality assurance in production, installation and servicing

ISO 9003:1987 Model quality assurance in final inspection and test


ISO 9000:94

emphasized quality assurance via preventative actions, instead of just checking final product, and continued to require evidence of compliate with documented procesures.


ISO 9001:2000 combines the three standards ISO 9001, ISO 9002, ISO 9003

Now called ISO 9001:2000 The 2000 version

sought to make a radical change in thinking by actually placing the oncept of process management front and centre

Is to improve effectiveness via process perfoermance metrics – numerical measurement of the efectiveness of tasks and acitvities

Standards ISO series 9000:2000

Assist an organization in developing, implementing, registering, and sustaining a appropriate QMS function independent of the specific product and /or services


Includes eight principles that when followed should improve organizational performance


8 principles QMS: Customer focus Leadreship Involvement of People Continual Improvement Process Approach Systems Approach Factual Deision Making Mutually Beneficial Supplier Relationships

8 principles QMS

Principle 1: Customer focus

Organizations depend on their customers and therefore should understand current and future customer needs, should meet customer requirements and strive to exceed customer expectations.

8 principles QMS

Principle 1: Customer focus Key benefits: Increased revenue and market share obtained

through flexible and fast responses to market opportunities.

Increased effectiveness in the use of the organization's resources to enhance customer satisfaction.

Improved customer loyalty leading to repeat business.

8 principles QMS

Principle 1: Customer focus Applying the principle of customer focus

typically leads to: Researching and understanding customer needs

and expectations. Ensuring that the objectives of the organization

are linked to customer needs and expectations.

8 principles QMS

Communicating customer needs and expectations throughout the organization.

Measuring customer satisfaction and acting on the results.

Systematically managing customer relationships. Ensuring a balanced approach between

satisfying customers and other interested parties (such as owners, employees, suppliers, financiers, local communities and society as a whole).

8 principles QMSPrinciple 2: Leadership Leaders establish unity of purpose and

direction of the organization. They should create and maintain the internal environment in which people can become fully involved in achieving the organization's objectives.

Key benefits: People will understand and be motivated

towards the organization's goals and objectives. Activities are evaluated, aligned and

implemented in a unified way. Miscommunication between levels of an

organization will be minimized.

8 principles QMS

Principle 2: Leadership Key benefits: People will understand and be motivated

towards the organization's goals and objectives. Activities are evaluated, aligned and

implemented in a unified way. Miscommunication between levels of an

organization will be minimized.

8 principles QMS

Applying the principle of leadership typically leads to:

Considering the needs of all interested parties including customers, owners, employees, suppliers, financiers, local communities and society as a whole.

Establishing a clear vision of the organization's future.

Setting challenging goals and targets.

8 principles QMS Creating and sustaining shared values, fairness

and ethical role models at all levels of the organization.

Establishing trust and eliminating fear. Providing people with the required resources,

training and freedom to act with responsibility and accountability.

Inspiring, encouraging and recognizing people's contributions.

8 principles QMS

Creating and sustaining shared values, fairness and ethical role models at all levels of the organization.

Establishing trust and eliminating fear. Providing people with the required resources,

training and freedom to act with responsibility and accountability.

Inspiring, encouraging and recognizing people's contributions.

8 principles QMS

Principle 3: Involvement of people

People at all levels are the essence of an organization and their full involvement enables their abilities to be used for the organization's benefit.

8 principles QMS

Key benefits: Motivated, committed and involved people within

the organization. Innovation and creativity in furthering the

organization's objectives. People being accountable for their own

performance. People eager to participate in and contribute to

continual improvement.

8 principles QMS

Applying the principle of involvement of people typically leads to:

People understanding the importance of their contribution and role in the organization.

People identifying constraints to their performance.

People accepting ownership of problems and their responsibility for solving them.

8 principles QMS

People evaluating their performance against their personal goals and objectives.

People actively seeking opportunities to enhance their competence, knowledge and experience.

People freely sharing knowledge and experience.

People openly discussing problems and issues.

8 principles QMS

Principle 4: Process approach A desired result is achieved more efficiently

when activities and related resources are managed as a process.

Key benefits: Lower costs and shorter cycle times through

effective use of resources. Improved, consistent and predictable results. Focused and prioritized improvement

opportunities.

8 principles QMS

Key benefits:

Lower costs and shorter cycle times through effective use of resources.

Improved, consistent and predictable results. Focused and prioritized improvement

opportunities.

8 principles QMS

Applying the principle of process approach typically leads to:

Systematically defining the activities necessary to obtain a desired result.

Establishing clear responsibility and accountability for managing key activities.

Analysing and measuring of the capability of key activities.

8 principles QMS

Identifying the interfaces of key activities within and between the functions of the organization.

Focusing on the factors such as resources, methods, and materials that will improve key activities of the organization.

Evaluating risks, consequences and impacts of activities on customers, suppliers and other interested parties.

8 principles QMS

Principle 5: System approach to management

Identifying, understanding and managing interrelated processes as a system contributes to the organization's effectiveness and efficiency in achieving its objectives.

8 principles QMS

Key benefits: Integration and alignment of the processes that

will best achieve the desired results. Ability to focus effort on the key processes. Providing confidence to interested parties as to

the consistency, effectiveness and efficiency of the organization.

8 principles QMS

Applying the principle of system approach to management typically leads to:

Structuring a system to achieve the organization's objectives in the most effective and efficient way.

Understanding the interdependencies between the processes of the system.

Structured approaches that harmonize and integrate processes.

8 principles QMS

Providing a better understanding of the roles and responsibilities necessary for achieving common objectives and thereby reducing cross-functional barriers.

Understanding organizational capabilities and establishing resource constraints prior to action.

Targeting and defining how specific activities within a system should operate.

Continually improving the system through measurement and evaluation.

8 principles QMS

Principle 6: Continual improvement

Continual improvement of the organization's overall performance should be a permanent objective of the organization.

8 principles QMS

Key benefits: Performance advantage through improved

organizational capabilities. Alignment of improvement activities at all levels

to an organization's strategic intent. Flexibility to react quickly to opportunities.

8 principles QMS

Applying the principle of continual improvement typically leads to:

Employing a consistent organization-wide approach to continual improvement of the organization's performance.

Providing people with training in the methods and tools of continual improvement.

8 principles QMS

Making continual improvement of products, processes and systems an objective for every individual in the organization.

Establishing goals to guide, and measures to track, continual improvement.

Recognizing and acknowledging improvements.

8 principles QMS

Principle 7: Factual approach to decision making

Effective decisions are based on the analysis of data and information

8 principles QMS

Key benefits:

Informed decisions. An increased ability to demonstrate the

effectiveness of past decisions through reference to factual records.

Increased ability to review, challenge and change opinions and decisions.

8 principles QMS

Applying the principle of factual approach to decision making typically leads to:

Ensuring that data and information are sufficiently accurate and reliable.

Making data accessible to those who need it. Analysing data and information using valid

methods. Making decisions and taking action based on

factual analysis, balanced with experience and intuition.

8 principles QMS

Principle 8: Mutually beneficial supplier relationships

An organization and its suppliers are interdependent and a mutually beneficial relationship enhances the ability of both to create value

8 principles QMS

Key benefits:

Increased ability to create value for both parties. Flexibility and speed of joint responses to

changing market or customer needs and expectations.

Optimization of costs and resources.

8 principles QMS

Applying the principles of mutually beneficial supplier relationships typically leads to:

Establishing relationships that balance short-term gains with long-term considerations.

Pooling of expertise and resources with partners.

Identifying and selecting key suppliers.

8 principles QMS

Clear and open communication. Sharing information and future plans. Establishing joint development and improvement

activities. Inspiring, encouraging and recognizing

improvements and achievements by suppliers.


The basic ISO 9000:2000 series consists of three documents. They are:

ISO 9000:2000 QMS. Fundamentals and vocabulary

ISO 9001:2000 QMS. Requirements

ISO 9004:200 QMS. Guidelines for performance improvements.

ISO 9001:2000

QMS adresses: Identifying and sequencing processes Monitoring, measuring and analysing processes Documenting the QMS: quality manual,

procedures, instructions, records Controlling documents and records

ISO 9001:2000

Management responsibility addresses: Top management evidecne of comitment to the

QMS: comunicating, quality policy, quality objectives, management reviews, availability of resources

Top management support of customers focus Quality planning Responsibility of management representative

ISO 9001:2000

Resource management addresses:

Providing resources Ensuring competence, awareness, and training

of human resources Providing suitable infrastructure and work

environment

ISO 9001:2000

Processes for producing products and services (product realization) addresses:

Planning for product realization Requirements for customer – related processes Requirements for designing and developing

product Purcharing processes Controlling production and services Controlling device used for monitoring and

measuring

ISO 9001:2000

Processes for measurement, analysis and improvement addresses:

Monitoring and measuring relative to satisfaction of customer, auditing of QMS, and monitoring, measuring and controlling product

Analysing data Continually improving (corrective and preventive

action)

ISO 9001:2000

When using ISO 9001:2000 as a systems model, remebmer the following things:

8 quality management principles Recognize that customer requirements The information from the customer The organisation have resources available for

required activities, products processes are identified and documented

ISO 9001:2000

When using ISO 9001:2000 as a systems model, remebmer the following things:

Information from production output activities and feedback from customers provide indicators

Results from the management reviews are integrated int the management of resources, product activities

ISO 9001:2000

The benefits from implementation and certification of an ISO 9001 QMS:

Reduction in waste, rework and redundancy Reduction in potential for external failures Cost reductions Increased productivity

ISO 9001:2000

The benefits from implementation and certification of an ISO 9001 QMS:

Improved performance More orderly method of doing business Improvement customer satisfaction – ordered

audits Marketing edge over suppliers that do not have

a certified QMS

ISO 9001:2000

Some of the comments and criticismus of the ISO 9001:2000:

There is a tendency to overdo the quantity and complexity level of procedures

The standards makes no assurances about a companys products

Confusion often exists as to what should be includes in the quality manual

ISO 9001:2000

Some of the comments and criticismus of the ISO 9001:2000:

Understanding the difference between objective evidence and records is confusing

Failing to realize that product realization processes are different than quality QMS processes

Lack of understanding as to the difference between monitoring and measuring

ISO 9001:2000

Documenting the QMS:

Document: information and its supporting medium

Manual of quality: document describing the system of managing the organization

Plan of quality: document specifying what methods and related sources have to be used, who has to use them in a specified project, product in the process or in the agreement

Record: document describing achieved results, providing the proof of performed actions

Documenting the QMS

The QMS can be different from organization to organization by the following:

Size of organization and type of activity Difficulty of processes and their interactions Workers comptency and qualification

Documenting the QMS

Pyramids of quality:

Level A: policy and objectives of quality,

Quality manual

Level B: Quidelines: documented of processes and activities QMS

Level C: instructions and other documents of the QMS quality plan, records, forms

Documenting the QMS

Purpose and benefit of documenting QMS:

Describe the QMS of organization Provides information to the groups with shared

assignments It arrenges to the employees the commitment of

quality management

Documenting the QMS


It helps employees to understand their position withing the framework of organization

Provides understanding between employees and management

It sets objectives to achieve given requirements

Documenting the QMS


It says how to do things achieve given requirements

It sets clear and effective frame of activity It provides stability of operation based on the

documented processes

Documenting the QMS


It demostrates its possibilities to interested partied

It provides tha basic to audit the QMS It provides tha basis to evaluate the effect and

convenience of the QMS

Process management

ISO 9001model promoted the adoption of the process approach when developing, maintaining, and improving activities and services.

Proces defined as:

Any activity that transforms inputs into outputs.

Process management

PM is using:

a collection of practices Techniques and tools to implementing Sustain and improve process effectiveness

Process management

PM includes:

Planning and setting goals, Establishing controls Monitoring and measuring performance Documenting, Improvining cycle time, continually improving

Process management

Process goals (PG) and objectives (PO):

PG are aims, intents, targets or ends PG linked to the strategic plan of the

organization

Process management

PO represent the intende actions that are needed to achieve the process goals

PO may be supported by product or service specifications, work orders and so on

PO may also be based on maintaining the gains in a stable process or the objectives may support the resoution of a previous performance problem or deficiency

Process management

Process objectives are monitored, measured, and reported for decisions as to actions needed.

Guidelines includes: It must be know what value is desired, what to

measure, how to measure it, unit of measure, device/method to be udes

How objectives are monitored is a function of who does itm how often it is to be done

Process management

Process analysis:

Design a new process or change to a process To prepare for an audit of a process or system As part of the building project plans for a new

facility To aid in planning a preventive action

Process management

Process analysis:

As a diagnostic technique for locating possible problem areas

As a tool for identifying non value added steps As a technique for comparing before and after

changes to a process As a technique for helping quality improvement

teams to understand a process

Process management

Process maping/flowcharting used:

To comunicate and create understanding of a process flow

To identify non value added steps for potential elimination or modifiction

To serve as a procedure on how to perform a task or job

Process management

Process maping/flowcharting used:

To serve as a part of the istructional material aused training a new performer

To envision the flow of a new or redesigned process

To serve as a simulator tool for a hypothecal walk through of a process

Process management

What to look for in the Process map:

Branching steps exceed the number of steps in the main flow

Checking steps are missing or excessive Steps take the process flow back and forth

between different work units Important steps are missing There are steps that add no value to the end

product or service

Process management

There are redundant steps Steps may need to be decomposed into several

steps There are dead ends There are disconnects Flow is too difficult to understand, confuses

performens

Quality improvement

Quality improvement action taken to improve a product, process or system that is not associated with nonconformity.

It requires a defined process for continual improvement and reduction in manufcturing variation.

Quality improvement

Defined processes may include:

Kaizen Six sigma PDCA Cycle Statistical process control

KAIZEN

Is a Japanese word:

Kai – means change or school

Zen – means good or wisdom

It has come to mean a continual and incremental improvement (as opposed to reengineering)

KAIZEN

In a kaizen event a cross-functional team focuses: on a target process, studies it, collects and analyzes data, discusses improvement alternatives, and implements changesThe intense event may consume three to five

consutive days.

SIX SIGMA

A process improvement initiative that uses a variety of techniquies and tools all focused on producing defect-free products and services.

Statisticaly speaking – sigma is a term indicating, to what extent a process varies from perfection

SIX SIGMA

The quantity of units processed divided into the number of defects actually occuring, multiplied by one milion results in defects per milion. Adding a 1,5 sigma shift in the mean results in the following defects per milion

SIX SIGMA

Six sigma , as a philosophy, translates to the organizational belief that it is posible to produce totally defect free product or services – albeit more a dream than a reality for most organisations.

PDCA Cycles

The problem solving model presented a general proces improvement model the plan – do - check – act (PDCA) cycle.

P - Plan – study the situation

- determine what needs to be done

- develop a plan and measurement

process for what needs to be done

PDCA Cycles

D – Do: implement the plan

C – Check: - determine whether the plan worked - study the resultsA – Act: - if it worked, instiutionalize/ standartize the change - if it didnt, try somthing else - continue the cycle

STATISTICAL PROCESS CONTROL (SPC)

Simply comparing the results of a process to itself over time is not sufficient i an environmental where external competitive pressures and an internal desire for continual improvement exist.

The focus of this section is on how to effectively analyze information to enable the organization to manage and improve processes – whether at the strategic or operational level.


Types of Control Charts:

A control charts id used to determine whther or not a process is stable, which means that it has predictable performance. By monitoring the output of a process over time, a control chart can be udes to assess whether the application of process changes or other adjustments have resultes in improvements


Types of Control Charts: Individuals and moving range (X/MR), used

when the sample size is one Average and range or average and standard

deviation (x-bar/R or x- bar/s) used when the sanple size is a rational subgroup

Exponentially weigted moving average (EWMA), used for smoothing out short term variance in order to detect longer – term trends


Cumulative sum (CUSUM), used to detect very small changes that occur over time

Hotellings t-squared, used to analyze multiple variables on one chart

Attribute – type control charts include: np charts, used to chart number of defective

units where sample size is constans


p charts, used for tracking fraction of units defective, where sample size is not constant

c charts, used to chart number of defects in a constant sample size

u charts, for number of defects where sample size is changing

Quality methods and tools for improve

Quality tools a techniques:

7 classic quality tools

7 new quality tools

7 classical quality tools

Flowchart Check list Cause and Effect Diagram (Ishikawa diagram) Pareto Chart Control Charts Histogram Scatter Diagrams

The quality costs

Is a method used by organization to show the financial impact of quality activities.

These costs must be true measure of the quality effort. Such an analysis provides:

A method of assessing the effectiveness of the management of quality

A means of determining problem areas, opprtunities, savings and action priorites

The quality costs

Prevention costs: Product or service requirements – setting

specification or incoming materials, proesse, finished products/services

Quality planning – creation of plans for quality, reliability, operational, production, inspection

Quality assurance – creation and maintenance of the QMS

Training – deelopment, preparation and maintenance of programmes

The quality costsAppraisal costs are associated with the suppliers

and customers evaluation of purchased materials, processes, products ad services to ensure they conform to speifications. They could include:Verification – checking of incoming material,

process set-up, products againts agreed specifications

Quality audits – check that the QMS is functioning correctly

Vendor rating – assessment and approval of suppiers, for products and services

The quality costs

Failure costs can be split into those resulting form:

Internal failure costs

External failure costs

Total cost of quality

The quality costs

PAF model (Process Cost Model):

COQ (cost of quality)

COC (cost of conformance)

CONC (cost of non conformance)

COQ = COC + CONC

Total Quality Management (TQM)

Definitions:

Total: Everyone should be involved

Quality: customers should be provided with an uniform quality product that meets their expectations

Management: the way Total Quality is conducted

TQM definitions

„Is the set of management processes and systems that create delighted customers through empowered employees, leading to hogher revenue and lower cost.“

The Juran Institute, Inc.

TQM - principles

Commitment of everybody in the organization The companys success depends on the

participation of everybody Opportunities for complete participation by

everybody Opportunities to do their job propertly

TQM pre-requisites

Leadership from the top Effective management of the cost of quality Focus on customer satisfaction Continuous improvement of everyone in quality

improvement

TQM

Leaders:

W.E.Deming J.M.Juran K. Ishikawa A.V. Feigenbaum P.B. Crosby

TQM - Feigenbaum

10 benchmarks of Quality:

Q is a company – wide processQ is what the customer says it isQ and cost are sum not a differenceRequires individual and teamworkQ is a way of managing

TQM - Feingenbaum

10 bechmarks of QualityQ and innovation are mutually dependentQ is an ethicRequires continuous improvement Is the most cost – effective, least capital –

intensive route to productuvity Is implemented with a tot system connected

with customers and suppliers

Quality Plans

A quality plan is a document, or documents, that specify quality standards, practices, resources, specifications, and the sequence of activities relevant to a particular product, service, project, or contract.

Quality Plans

Quality plans shoul define:

Objectives to be attained

Steps in the processes that constitute the operating practice or procedures of the organization

Quality Plans

Allocation of responsibilities, authority, and resources during the different phases of the process or project

Specific documented standards, practices, procedures, and instuctions to be applied

Quality Plans Suitable testing, inspection, examination, and

audit programs at appropriate stages

A documented procedure for changes and modifiacations to a quality plan as work proceeds

A method for measuring the achievement of the quality objecitves

Other actions necessary to meet the objectives

Benefits of TQM

Following are some of the direct and indirect benefits that may result form TQM:

Strengthened competitive position

Adaptability to changing or emerging market conditions and to emvironmental and other goverment regulations

Higher productivity

Enhanced maket image

Benefits of TQM

Elimination of defects and waste

Reduced costs and better cos management

Higher profitability

Improved costumer focus nad satisfaction

Increased costumer loyalty and retention

Benefits of TQM

Increased job security

Improved employee morale

Enhanced shareholder and stakeholder value

Improved and innovative processes

TQM Implementation Approaches

Following is a generic model for implementing TQM:

Top management learns abou and decides to commit to TQM


The ornganization assesses current culture, customer stisfacton, and quality management system

Top management identifies core values and principles to be used, and communicates them


A TQM master plan is developed on the basis of steps 1,2 and3

The organization identifies nad prioritizes costumer demands and aligns products and services to meet those demands

Management maps the critical processes through which the organization meets its costumer` needs


Management oversees the formation of teams for process improvement efforts

The momentum of the TQM effort is managed by steering committee

Managers contribute individually to the effort through hoshin planning, training, coaching or other methods


Daily process management and standardization take place

Progress is evaluated and the plan is revised as needed

Constant employee awareness and feedback on status are provided and a reward / recognition process is estabilished

Kaoru Ishikawa

What Is Total Quality Control? The Japanese Way – he defines total quality control in the following ways>

- Quality control (QC) is the responsibility of all workers and all divisions

- Total quality control (TQC) is a group activity and cannot be done by individuals – teamwork

- TQC will not ail is all members cooperate, form the president down to line workers and sales personnel

Kaoru Ishikawa

- In TQC, middle management will be frequently talked about and criticized – be prepared

- QC circle activities are a part of TQC- Do not confuse objectives with the means to

attain them- TQC is not a miracle drug, its properties are

more like those of Chinese herb medicine

Kaoru IshikawaTo achieve total quality control, a thought revolution

must occur:- Quality first – not short-term profit first- Consumer operation – not producer operation- The next process is your costumer – break down the

barrier of sectionalism- Use facts and data to make presentations –utilize

statistical methods- Respect for humanity as a management philosophy –

full participatory management- Cross-function management

Kaoru Ishikawa

Ishikawa advocated four types of audit:

1. Audit by the president

2. Audit by the head of the unique –for example, division head or branch office manager

3. QC audit by the QC staff

4. Mutual QC audit

The seven classic quality tools

1. Flowchart

2. Check sheet

3. Cause-and-effect diagram

4. Pareto Chart

5. Control Charts

6. Histograms

7. Scatter Diagrams

Flowchart

Is a map of the sequence of steps and decision points in a process.

Flowcharting a process is a good starting point for a team, as it helps the group gain a common understanding of what is involved in the process.

Each team member typically has a perspective based on his/her own role, but may not have a full understanding of the entire process.

Can also point out missing, redundant, or erroneous steps.

Flowchart

An example of a flowchart is shown in Figure

Flowchart

A flowchart may be used to:

- Document the as-is condition of a process

- Reflect changes that are to be made to a process

- Design an entirely new process

Check Sheet

Is a tool for gathering information on root causes.

With most of the tool, it facilitates the use of facts, rather than just opinions, in talking about and solving problems.

Check Sheet

Check sheets are used to gather data on the frequency of occurrence of particular events or defects.

Some applications a more visually oriented data collection device.

Check Sheet

The check sheet in figure illustrates at a glance what the largest problems are in terms of frequency of occurrence.

Cause-and-Effect Diagram

Also called an Ishikawa diagram Alternatively called fishbone diagram Is used to show the many different causes that may

contribute to a particular problem The problem, is started in a box at the right side of

the chart and likely causes are listed around major categories that can lead to the effect

The four Ms are categories of problem sources typically used for manufacturing problems

Cause-and-Effect Diagram For service processes the four Ps are often

used. Provides a way of organizing what may be a

long list of potential causes. The items for the diagram may be created

through a brainstorming session or by a review of the process flowchart to explore what can go wrong at each step

Is completed, data must be gathered to determine which of the causes is most likely to be acting on the problem being studied.

Cause-and-Effect Diagram

Figure shows some of the reasons that outpatient clients may not be able to locate the X-ray department in a hospital

Pareto Chart

Could also be used by a supervisor within each of the higher-cost work centers to pinpoint the particular machines that are the primary sources of trouble.

Note that although the z-axis of a Pareto chart is often the frequency of a problem.

It is also important to do a similar analysis based on costs

Control Charts Are a refinement of the original run chart Serves two vital purposes as a data-gathering

tool It shows when a process is being Influenced by special causes, creating an out-of-

control condition It indicates how a process behaves over time Should be examined for nonrandom patterns in

data points As analysis of patterns can indicate what source

of variation is most liklely

Pareto Chart and Control Chart

Pareto chart

Control chart

Histograms

While control charts allow seeing how a process performs over time

Provides a graphical picture of the frequency distribution of the data

Allows detection of distributions that do not demonstrate a typical bell-shaped curve

Show how the process spread and central tendency relate to process specifications

Histograms

A histogram is shown in figure

Scatter diagrams

Shows whether or not there is a correlation between two variables

Correlation does not necessarily mean a direct cause and effect relationship

If it appears that values for one of the variables can be predicted based on the value of another variable

Scatter diagrams

- Shows whether or not there is a correlation between two variables.

- Correlation does necessarily mean a direct cause and effect relationship

- If it appears thet values for one of the variables can be variables can be predicted based on the value of another variable, then there is correlation

Scatter diagrams

Scatter diagram

Statistical Process Control

- The results of a process to itself over tine is not sufficient in an environment where external competitive pressures

- The focus of this selection is on how to effectively analyze information

- The organization to manage and improve processes – whether at the strategic or operation level


Types of Control Charts

- Control charts is used to determine whether or not a process is stabile

- By monitoring the output of a process over time


- A control charts can by used to assess whether the application of process changes

- If the process produces measurable pats


There are many types of control charts:• Individuals and moving range (X/MR)

• Average and range or average and standard deviation (x-bar/R or x-bar/ s)

• Exponentially weighed moving average (EWMA)

• Hotelling`s t-squared, used analyze multiple variables on chart


• Hotelling`s t-squared, used analyze multiple variables on chart

• Cumulative sum (CUSUM)


Attribute-type control charts include:

• np charts

• p charts

• c charts

• u charts


• np charts – used to chart number of defective units where sample size

• p charts – used for tracking fraction of units defective, where sample size is not constants

• c charts – used to chart number of defects in a constant sample size

• u charts – for number of defects where sample size is changing


Four guidelines are used as a basic test for randomness in control charts:

- The points should have no visible pattern- Approximately two-thirds of the points should be

close to the centerline- Some points should be close to the outer limit- An approximately equal number of points should

fall above and bellow the centerline


- Control charts are also based on the concept of statistical probability

- Control limits are based on the distribution for the type of data being analyzed

- Control chard can be used for both analysis of a process

- For process control purposes an alternative to control charts, pre-control, can sometimes be used

Pre-control

- Is an alternative to statistically based control charts

- The specification range into four equal zones- zones: Green zone – good Yellow zone – caution Red zone - defect

Pre-control

- Is often used when a process is just being started

The rules for pre-control:• Include both sampling frequency • With the sample frequency being varied

according to how well the process

Process Improvement Model

1. Select the process to improve

2. review current performance

3. Identify improvement needs or opportunities

4. Implement process changes

5. Evaluate progress


1. This is done trough analysis of feedback from customers

2. Current performance measures are reviewed to ensure that they are adequate

3. Areas of the process where improvement would be most beneficial are selected

4. A plan is developed and communicated regarding changes in the process steps

5. Process performance is again reviewed to see heather the desired impact was achived


Steps for problem are : Leadership Strategic Customer Involvement Process Data Prevention


Leadership – senior executives should oversee the process of continual improvement

Strategic – improvements should be targeted primarily at those processes that will provide a strategic gain

Costumer – process changes should be based on and/or take into account costumer feedback

Involvement – because of their knowledge and responsibility


Process – approach all projects from the view that what is to be improved is a process that transforms inputs into outputs

Data – decisions such as what processes to improve and what to change to make it better

Prevention – because the idea is to create processes that are able to meet or exceed requirements

Documentation hierarchy

A quality management system documentation hierarchy

Procedures and Work Instructions

In documenting procedures are addressed:- Documentation is to conform to a standard- Documentation appropriately deployed and kept

up to date- Documented system being followed by the

people who produce the work- Are the required records kept- Documentation system periodically assessed for

effectiveness

Procedures and Work Instructions

Variations include:- Outline with bulleted text- Process map with annotations- Process map with adjacent outline text- Photographs depicting different stages in

process with outline text- Checklists

The EFQM Excellence Model

Regardless of sector, size, structure or maturity, to be successful, organisations need to establish an appropriate management framework.

The EFQM Excellence Model was introduced at the beginning of 1992 as the framework for assessing organisations for the European Quality Award. It is now the most widely used organisational framework in Europe and it has become the basis for the majority of national and regional Quality Awards.


The EFQM Excellence Model is a practical tool that can be used in a number of different ways:

As a tool for Self-Assessment As a way to Benchmark with other

organisations As a guide to identify areas for Improvement As the basis for a common Vocabulary and

a way of thinking As a Structure for the organisation's

management system


The EFQM Excellence Model is a non-prescriptive framework based on 9 criteria:

Five of these are 'Enablers' Four are 'Results'. The 'Enabler' criteria cover what an organisation

does. The 'Results' criteria cover what an organisation

achieves. 'Results' are caused by 'Enablers' and 'Enablers'

are improved using feedback from 'Results'.


The Model, which recognises there are many approaches to achieving sustainable excellence in all aspects of performance, is based on the premise that:

„ Excellent results with respect to Performance, Customers, People and Society are achieved through Leadership driving Policy and Strategy, that is delivered through People, Partnerships and Resources, and Processes“.


The EFQM Model is presented in diagram form below. The arrows emphasise the dynamic nature of the Model. They show innovation and learning helping to improve enablers that in turn lead to improved results.


Results orientation Excellence is a constant exercise in keeping the

interest of all stake holders in balance. These stake holders are the share holders or budgetproviders, people, customers, suppliers, partners and the society in general. Only in case we have concrete measurable results, we can say we did well.


Customer focus The customer ( and only the customer) finally

judges the quality of goods and service. Marketparticipation and customerloyalty are best considered through the eye of actual and potential customers: do we deliver what they need?


Leadership and constancy of purpose

Good leaders determine a clear objective for the organisation. They take care both of an environment and an organisation in which people can perform in excellence.


Management by processes and facts

You can only take the right decisions when you base yourself on the right figures. Besides this you make sure that processes are completely understood and mastered.


People development and involvement

People perform best in an organisation with clear values and a culture of trust and empowerment.


Continuous learning, innovation and improvement

The performance of an organisation is at its most when knowledge is managed and shared and when there is a culture directed to constant learning, innovation and improvement.


Partnership development

An organisation performs more efficiently when the relationships with other organisations are held in a win-win balance. Automatically there is trust, participating knowledge and a certain integration between both partners.

Public responsibility

In the long run every organisation benefits from acting ethically. Try to exceed the expectations and the norm of society!

Quality management

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