Quality Management at All Natural Botanicals

Vincent Li7/4/2012

Purpose and relevance

• Purpose: To introduce concepts and discuss the purpose and goals of QC at ANB.

• Relevance: – Quality function is essential to ANB’s sustained

success. – Everybody can contribute and help to improve

processes.

Agenda

• What is quality?• Cost of Quality and trade-offs• VOC and CTQ• The current state of QC at ANB• The future state of QC at ANB• How to fill the gap and where to start?

QC at ANB

• Raisy mist • Michaels with wrong label• Samples with wrong fragrance• Fragrance oil bottles with coating• Caps with leakage• Labels with wrong printing • And many more…

What is Quality?

• What is quality? Who defines quality?– External view: customer expectations– Internal view: conformance of specifications

• Quality Control vs. Quality Assurance• Detection vs. Prevention• Quality Management System – Defining the structure, responsibilities,

procedures, processes and resources for implementing and coordinating the QMS.

Cost of Quality

• Conformance Costs– Prevention Costs– Appraisal/Detection Costs

• Non-conformance Costs– Internal failure costs– External failure costs

Cost of Quality

Trade-Offs, QM and failure costs

• The ultimate goal is to achieve zero defects while incurring minimal costs of quality

• Trade-off between Conformance and Non-conformance Costs

Total Cost of Quality

Focus on customers

Voice of Customer (VOC)

• Definition: Collection of information representing customer needs and current satisfaction levels

• Purpose– Details customer interests– Creates basic understanding of where gaps exist

between expectations and delivery– Engages customers and process owners in change

process– Opens project team up to possible issues and solutions

Critical To Quality (CTQ)

• Specific to each customer group• Describe a customer need in specific and

measurable details and requirements• Include a need, definition, target, and

specification limits• Are translated from collection of Voice of the

Customer (VOC) information

Supplier communications

• If suppliers are to meet requirements, they must know and understand them.

• Requirements should be clearly spelled out in writing, as well as communicated and reinforced by other means.

A QMS should

• Focus on customers• Focus on process management• Be data and facts driven• Focus on improvement• Align with the company goal and strategy

QC committee

• Who and why?

Purpose of QC committee

• The role of the quality function may include:– Quality Control– Quality Assurance– Quality Management System– Inspection– Training– Auditing– Initiate and participate on problem-solving teams– Supplier quality– Product design

Purpose of committee

• The quality function is not:– A prevention squad– Oriented toward defect detection– A screen or barrier to protect the customer from

problems and defects– Just one more task among many

Goals of committee

• Short term goals vs. long term goals• Small q vs. Big Q• Sub-optimization vs. company optimization

What’s the next step?