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Total Quality Management

Basic Concepts

Prepared by: Prof Dipesh Maitra

Sem IV - N L Dalmia Institute Of

Management Studies & Research

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Evolution & Significance

Garvin (1988)- evolution of TQM as the 4 major areas ofdevelopment

1. Strategic in nature. 2. Continuous improvement as the drivingforce achieved through- 3. Quality planning & 4.employeeinvolvement.

Strategic component affects levels ofprofitability by reducingcosts & increasing market share

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Focus Of Various TQM models Conceptual framework varies between TQM experts but all agree that it covers allaspects of organizations procedures, systems & processes.

Philip Crosby (1979,1992), author of the popular book Quality is free, may haveachieved the greatest commercial success by promoting his views & founding theQuality College in Winter Park, Florida. He argues that poor quality in the averagefirm costs about 20% of revenues, most of which could be avoided by adoptinggood quality practices. His absolutes of quality are as follows:

1. Quality is defined as conformance to requirements, not goodness.

2. The system for achieving quality is prevention, not appraisal. 3. The performance standard is zero defects, not thats close enough.

4. The measurement of quality is the price of non-conformance, not indexes.

Crosby stresses motivation & planning does not dwell on statistical processcontrol & the several problem solving techniques ofDeming & Juran. He states thatquality is free because the small costs of prevention will always be lowerthan thecost of detection, correction, & failure. Like Deming, Crosby developed 14management principals.

1. Management commitment Top management must become convinced of theneed for quality & must clearly communicate this to the entire company by writtenpolicy, stating that each person is expected to perform according to the requirementsor cause the requirement to be officially changed to what the company & thecustomers really need.

2. Quality improvement team Form a team composed ofdepartment heads tooversee improvements in their departments & in the company as a whole.

3.Quality measurement Establish measurements appropriate to every activity in

order to identify areas in need ofimprovement.

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Focus Of Various TQM models (contd) 4. Cost of Quality Estimate the costs of quality in order to identify areas

where improvements would be profitable.

5. Quality awareness Raise quality awareness among employees. They mustunderstand the importance ofproduct conformance & the costs of non-conformance.

6. Corrective action Take corrective action as a result of steps 3 & 4.

7. Zero defects planning Form a committee to plan a program appropriate to the

company & its culture. 8. Supervisor training All levels of management must be trained in how toimplement their part of the quality improvement program.

9. Zero defects day Schedule a day to signal to employees that the company hasa new standard.

10. Goal setting Individuals must establish improvement goals for themselves &their groups.

11. Error cause removal Employees should be encouraged to inform

management of any problems that prevent them from performing error free work. 12. Recognition Give public, non financial appreciation to those who meet their

quality goals or perform outstandingly.

13. Quality councils Composed ofquality professionals & team chair persons,quality councils should meet regularly to share experiences, problems & ideas

14. Do it all over again Repeat steps 1 to 13 in order to emphasize the never-ending process of quality improvement.

All of these pioneers believe that management & the system, rather than theworkers, are the cause ofpoor quality.

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Focus Of Various TQM models Feigenbaum 1961, 1982

Armand Feigenbaum, like Deming & Juran , achieved visibility through his work withthe Japanese. Unlike the later two, he used a total quality control approach that may

very well be the forerunner of todays TQM. He promoted a system forintegratingefforts to develop, maintain, & improve quality by the various groups in anorganization. To do otherwise, according to Feigenbaum, would be to inspect for &control quality after the fact rather than build it in an earlier stage of the process.

Juran, like Deming, was invited to Japan in 1954 by the Union of Japanese Scientists& Engineers (JUSE). His lectures introduced the managerial dimensions of planning,organizing, & controlling & focused on the responsibility ofmanagement to achievequality & the need for setting goals. Juran defines quality as fitness to use in terms of

design, conformance, availability, safety & field use. Thus, his concept more closelyincorporates the point ofview of the customer. He is prepared to measure everything& relies on systems & problem solving techniques. Unlike Deming, he focuses on topdown management & technical methods rather than worker pride & satisfaction.

Jurans ten steps to quality improvement are as follows:

1. Build awareness of opportunities to improve.

2. Set goals for improvement.

3. Organize to reach goals.

4. Provide training.

5.Carry out projects to solve problems.

6. Report progress.

7. Give recognition.

8. Communicate results.

9. Keep score.

10. Maintain momentum by making annual improvement part of the regular systems& processes of the company.

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Focus Of Various TQM models

Ishikawa 1984 In 1968. Dr. Kaoru Ishikawa wrote a book entitled Gemba no QC Shuho tointroduce quality control techniques & practices to the workers of Japan. It wasdesignated to used for self-study; training of employees by foremen; or in QCreading groups in the Japanese workplace. It is in this book that the seven basicquality control tools were first presented . (Dr. Ishikawa did not call them the sevenbasic quality control tools. This description came later.) In 1971, an Englishtranslation of Dr. Ishikawas book, entitled Guide to Quality Control . Waspublished by the Asian Productivity Organization. This book has been widely usedand is still a valuable resource when using the seven basic tools.

The seven basic quality control tools, as originally identified by Dr. Ishikawa, are:

1.Check sheets.

2. Graphs.

3. Histograms.

4. Pareto Charts.

5. Cause-and-effect diagrams.

6. Scatter diagrams

7. Control Charts.

Imai 1986

Kaizen is a Japanese concept that means continuous improvement. Despite theperception of many US managers that Kaizen is not appropriate for American firms,there is abundant evidence that the concept is entirely in keeping with Americanvalues & norms. The approach offers a substantial potential for improvement if

accompanied by an appropriate human resource effort.

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(Contd) Kaizen. Indeed it is becoming a maxim of good management that humanfactors are the most important dimension in quality & productivity improvement.People really do make quality happen.

Chief executive officers of some of Americas most quality conscious companiesare quick to point out that the best way to achieve organization success is by

involving & empowering employees at all levels. Some even say that employeeempowerment is a revolution that will turn top-down companies into democraticwork places.

Oakland 1989

1.Management commitment. 2. Customer supplier chains. 3. Systems approach ofdocumented sets of procedures & standards Statistical Process Control (SPC). 4.Team work & continuous improvement.

Sohal et.al. 1989

1. Customer focus (internal & external). 2. Management commitment. 3. Totalparticipation, total employees involvement. 4. Statistical Quality Control (SQC). 5.Systematic problem solving process Plan-Do-Check-Act (PDCA) cycle.

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ISO 9000. Simply put, ISO 9000 has come to be the price to do business withEurope says Robert Caine, President of the American Society for QualityControl (ASQC). Ask any business person who has given up trying to gain entry intothe European market what stopped him, & hes likely to answer in code: ISO 9000.

Even if a firm does not do business in Europe or does not plan to do so, it should notignore this accelerating movement to international standards. The movement isexpanding into other areas of the world & into many areas of the U.S. public & privatesectors as well.

ISO 9000 is a set of five worldwide standards that establish requirements for themanagement of quality. Unlike product standards, these standards are for qualitymanagement systems. They are being used by the nations of the European Unionto provide a universal framework for quality assurance primarily through a systemofinternal & external audits. The purpose is to ensure that a certified company hasa quality system in place that will enable it to meet its published quality standards.The ISO standards are generic, in that they apply to all functions & all industries,

from banking to chemical manufacturing. They have been described as the onesize fits all standards.

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ISO 9000 & TQM, - ISO 9000 is not TQM, but is a sub-component of TQM & agood start of TQM path, ISO 9000 is only the minimum required quality standardthat supplier must demonstrate to receive the ISO 9000 accreditation. TQM bycontrast is much more comprehensive. TQM links quality customer satisfaction byrequiring action as mentioned below.

ISO 9000:2000: 8 management principals

1. Customer focus A strong customer orientation (internal & external in allactivities in the organization).

2. Leadership Top managements direct involvement in the delivery of quality.

3. Involvement of people Total company wide participation in the delivery ofquality

4. Process approach. Improve the quality of operations to continually meetcustomers & stakeholders stated & implied needs..

5. System approach to management The systematic analysis of quality problems

focused on continuous improvement of quality performance & the prevention ofquality problems.

6. Continual improvement Achieve, maintain & seek to continuously improveproduct quality (including service in relationship to requirements).

7 Mutually beneficial supplier relationships.

8. Factual approach to decision making.- Provide confidence to customers & otherstakeholders that quality requirements are being achieved in the delivered product.

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QS 9000:1998/TS 16949:2002

1. Development of fundamental of quality systems that provide forcontinuous

.improvement. 2. Emphasizing defect prevention & reduction ofvariation & waste

in supply chain. 3. Emphasize on advanced product quality planning & control plan.

4. Failure Mode & Effect Analysis. 5. Measurement systems & analysis. 6.

Fundamental SPC. 7. Quality system assessment.

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Contribution by Japanese pioneers Shigeo Shingo: He is credited with designing Toyotas JIT production system,

believes that the push process used in the US generates processyield imbalances& inter process delays. Kanban as JIT is called in Japan, means visible record." Itis a means ofpulling parts through the assembly process; production is initiatedonly when a worker receives a visible cue that assembly is needed for the next stepin the process. The worker orders the product from the previous operation so that itarrives just when needed. If one of the key processes fails to produce a quality part,the production line stops. Individual operators are theirown inspectors & arecross trained for a number of tasks. The system is continuously being fine tuned.

Poka Yoke: This is a Japanese word meaning mistake proofing or error

proofing. The errors mainly result due to the assignable causes or the randomcauses. The random errors are predictable, within the control limits, miniscule &tolerable. The causes of the random errors are inherent in the process, itsdesign, machines, etc. and normally they are left unattended as they have gotnegligible effect on the product & the process. The assignable errors are sudden,unpredictable, quite substantial & have quantum effect on the performance ofthe product & the process.

The process defects & variations are directly proportional to the amount of

human factors of either interventions or involvement in the process. Inspection isnot a solution to avoid errors & defects. To reduce the chance of error, we need todevise the system or processes in such a manner that the human element isremoved from the vital input X variable, which are critical for the performance of theproduct or the service output.

1. Concept of Poka-yoke was developed & refined by Shingo. It is an approach formistake proofing using automatic devises to avoid human erroradopted byToyota production system. 2. Focused on two aspects (a) Providing warning &detection (b) recognizing that a defect has occurred & stopping the process. 3.Prevent inadvertent user errors.

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Contribution by Japanese pioneers

Ishikawa See slide no 5.

Taguchi: 1. Statistician & leading consultant to Japanese & American highcompanies. 2. Proposed methods of analyzing quality, known as total loss functionfor poor quality. 3. Costs to society along with manufacturing, after sales-service &other costs. 4. Taguchi developed statistical methods called as offline qualitycontrol which concentrates on the design process. Off line quality control means

optimizing production process to minimize item to item variation in the product &performance. 5. Proved very successful in cutting the defect rates and costs.

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The Juran Trilogy Process improvement involves planning. One of the best approaches is the one

developed by Dr. Joseph Juran. It has three components: 1. Planning 2. Controland 3. Improvement. This is referred as the Juran Trilogy.

Planning. The planning component begins with external customers. Marketingdetermines the external customers, and all organizational personnel (managers,members of multifunctional teams, or work groups) determine the internalcustomers. External customers may be quite numerous, as is the case ofbanksupply organization, where they include tellers, financial planners, loan officers,auditors, managers, and the banks customers. Where there are numerous

customers, a Pareto diagram might be useful to determine the vital few. Once the customers are determined, their needs are discovered. This activity

requires the customers to state needs in theirown words & from theirownviewpoint; however, the real needs may differ from stated needs. For example, astated need may be an automobile, whereas the real need is transportation or astatus symbol. In addition, internal customers may not wish to voice real needsout of fearof the consequences. One might discover these needs by 1. being user ofthe product orservice, 2. Communicating with customers through product orservice satisfaction & dissatisfaction information, or 3. simulation in the laboratory.Because customer needs are stated from theirviewpoint, they should be translatedto requirements that are understandable to the organization & its suppliers.

The next step in the planning process is to develop product and/or service featuresthat respond to customer needs, meets the need of the organization and itssuppliers, are competitive, and optimize the costs of all stakeholders. This steptypically is performed by a multifunctional team. Quality function deployment(QFD), Taguchis quality engineering, and quality by design are some of theapproaches that can be used. It is important that the design team, rather than a

single department approve the final design & the team can be composed of allfunctional areas as well as customers & suppliers.

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The Juran Trilogy The fourth step is to develop the processes able to produce the product and/or

service features. Some of this planning would have occurred during the previousstep. This step is also performed by a multifunctional team with a liaison to thedesign team. Activities include the necessary facilities, training & operation,control & maintenance of the facilities. Of particular concern will be the scalingup from the laboratory or the prototype environment to the real processenvironment. Additional activities include process capability evaluation & processcontrol type & location.

Transferring plans to operations is the final step of the planning process. Once againa multifunctional team with a liaison to the other teams is used. When training isnecessary, it should be performed by members of the process planning team.Process validation is necessary to ensure with high degree of assurance, that aprocess will consistently produce a product or service meeting requirements.

Control. This is used by operating forces to help meet the product, process, andservice requirements. It uses the feedback loop and consists of the following steps:

1. Evaluate actual operating performance.

2. Compare actual performance to goals. 3. Act on the difference.

Statistical process control is the primary technique for achieving control. Thebasic statistical process control (SPC) tools are Pareto diagrams, flow diagrams,causeand effect diagrams, check sheets, histograms, control charts, & scatterdiagrams. In addition, process capability information such as Cp and Cpk are used todetermine if the process is capable and is centered.

Improvement. The third part of the trilogy aims to attain levels of performance that

are significantly higher than current levels.

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The Juran Trilogy

Improvement (contd) Process impro

vements begin with the establishment of aneffective infrastructure such as the quality council. Two of the duties of the council

are to identify the improvement projects & establish the project teams with aproject owner. In addition the quality council needs to provide the teams with theresources to determine the causes, create solutions, & establish controls to holdthe gains. The problem solving method may be applied to improve the process, whilethe quality council is the driverthat ensures that improvement is continuous &never ending. Process improvement can be incremental or breakthrough.

Improvement strategies. There are four primary improvement strategies

repair, refinement, renovation, & reinvention. Choosing the right strategy for theright situation is critical. It is also true that proper integration of the strategies willproduce never ending improvement.

Repair. This strategy is simple anything broken must be fixed. So that it functionsas designed. There are two levels to this strategy. If a customer receives adamaged product, a quick fix is required. This level is a temporary orshort termmeasure. Although short term measures shore up the problem, they should notbecome permanent. The second level occurs when an individual orteam identifies

& eliminates the root causes of the problem & effects a permanent solution. It isimportant to note that the repair strategy does not make the process betterthanthe original design.

Refinement. This strategy involves activities that continually improve a process thatis not broken. Improvement to processes, products & services are accomplished onan incremental basis. Refinement improves efficiency & effectiveness. It shouldbecome an integral part of every employees job. Both individuals & teams can usethis strategy. Typically it relies on doing things just a bit quicker, better, easier, orwith less waste. The change may be so gradual that there is no appearance ofchange.

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The Juran Trilogy Contd. Refinement. The primary benefit to gradual change is that it produces little

resistance from employees. However, because the change is so gradual,management may not recognize & reward the affected employees. Also minorchanges may not be documented or properly communicated.

Organization programs such as process improvement teams, suggestionsystems,& empowerment are combinations of repair & refinement. Theyprovide the mechanism for activities aimed at making these two strategies a part ofthe daily work life.

Renovation. This strategy results in major or breakthrough improvements.

Although the resulting product, service, process, or activity might often appear to bedifferent from the original, it is basically the same. Innovation & technologicaladvancements are key factors in this approach. For example, the process ofdrillinga hole was originally done by hand with a cranking mechanism; however, with theadvent of the electric motor, the electric drill was born. This electric drill has beencontinually refined by improved bits, chucks & materials. More recently, anotherrenovation occurred that was bought about by the development ofrechargeablebatteries. The rechargeable electric drill is basically the same as the old handdrill. Renovation is more costly than the previous strategies and is usuallyundertaken by teams rather than individuals.

Reinvention. This is the most demanding improvement strategy. It is preceded bythe feeling that the current approach will never satisfy customerrequirements. Anew product, service, process or activity is developed using teams based on acomplete understanding of customers requirements & expectations. Reinvention orengineering begins by imagining that the previous condition does not exist inother words, a clean sheet of paper. Then the team uses in-depth knowledge of thecustomers requirements & expectations & invents a new product, service,

process or activity. For example, the process ofdrilling holes using lasers or waterjets was a reinvention.

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The Juran Trilogy

Reinvention. (Contd) This might also be desirable to maintain organization vitality orcompetitive advantage. An organization should use this strategy sparinglybecause ofresistance to change & the fact that any new product, service, process,or activity will probably need to have the bugs removed by repair, refinement &renovation.

Comments. The repair & refinement strategies require that all employees have the

freedom to solve problems & make the increment improvements in their jobs.Repair & refinement improvements; however, they usually are more costly, takelongerto accomplish, & have a greater risk of failure.

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Demings Universal 14 Points For

Management Universal 14 points are summarized below: 1. Create consistency of purpose with a plan The objective is constancy of

purpose forcontinuous improvement. An unwavering commitment to quality mustbe maintained by management. Quality, not short-term profit, should be at the heartof organization purpose. Profit will follow when quality becomes the objective &purpose.

2. Adopt the new philosophy of quality The modern era demands ever-increasing quality as a means of survival & global competitiveness. Inferiormaterial, poor workmanship, defective products, & poor service must be rejected.Reduction of defects is replaced by elimination of defects. The new culture ofquality must reflect a commitment to quality & must be supported by all employees.

3. Cease dependence on mass inspection Quality cant be inspected in; it mustbe built-in from the start. Defects discovered during inspection cannot be avoided

it is too late; efficiency & effectiveness have been lost, as a continuous processimprovement. Continuous process improvement reduces costs incurred by

correcting errors that should not have been made in the first place. 4. End the practice of choosing suppliers based on price Least cost is not

necessarily the best cost.. Buying from a supplier based on low cost rather than aquality/cost basis defeats the need for a long term relationship. Vendor quality canbe evaluated with statistical tools.

5. Identify problems & work continuously to improve the system Continuousimprovements of the system requires seeking out methods for improvement. Thesearch for quality improvement is never-ending & results from studying the process

itself, not the defects detected during inspection..

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Management 6. Adopt modern methods of training on the job Training involves teaching

employees the best methods of achieving quality in their jobs & use the tools suchas statistical quality control.

7. Change the focus from production numbers (quantity) to quality The focuson volume of production instead ofquality leads to defects & rework that mayresult in inferior products at higher costs.

8. Drive out fear Employees need to feel secure in order for quality to be achieved.Fear of asking questions, reporting problems, or making suggestions will preventthe desired climate of openness.

9. Break down barriers between departments When employees perceivethemselves as specialists in one function or department without too much regardforother areas, it tends to promote a climate of parochialism & sets up barriersbetween departments. Quality & productivity can be improved when departmentshave open communication & coordination based on the common organizationgoals.

10. Stop requesting improved productivity without providing methods toachieve it - Continuous improvement as a general goal should replacemotivational orinspirational slogans, signs, exhortations, & work force targets.The major cause of poor productivity & quality are the management systems, notthe work force. Employees are frustrated when exhorted to achieve results thatmanagement systems prevent them from achieving.

11. Eliminate work standards that prescribe numerical quotas Focus onquotas, like a focus on production, may encourage & reward people fornumerical

targets, frequently at the expense of quality.

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Management 12. Remove barriers to pride of workmanship A major barrier to pride of workmanship is

a merit or appraisal system based on targets, quotas, or some list of personal traits that havelittle to do with incentives related to quality. Appraisal systems that attempt to coerceperformance should be replaced by systems that attempt to overcome obstacles imposed byinadequate material, equipment, or training.

13. Institute vigorous education & retraining Deming emphasizes training, not only in themethods of the specific job but in the tools & techniques ofquality control, as well asinstruction in teamwork & the philosophy of a quality culture.

14. Create a structure in top management that will emphasize the preceding 13 pointsevery day An organization that wants to establish a culture based on quality needs to

emphasize the preceding 13 points on a daily basis. This usually requires a transformation inmanagement style & structure. The entire organization must work together to enable a qualityculture to succeed.

DEMINGS SEVEN DEADLY DISASTERS.

1. Lack of consistency of purpose to plan product & services that have a sufficient marketto keep the company in business & provide jobs.

2. Emphasis on short term profits, short term thinking that is driven by a fear of unfriendlytakeoverattempts & pressure from bankers & shareholders to produce dividends.

3. Personal review system for managers & management by objectives without providingmethods orresources to accomplish objectives. Performance appraisals, merit rating, &annual appraisals are all parts of these disasters.

4. Job hoping by managers.

5. Using only visible data & information in decision making with little orno considerationgiven to what is not known orcannot be known.

6. Excessive medical costs

7. Excessive cost of liability driven up by lawyers that work on contingency fees..

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Statistical Process Control -

Concept SPC refers to a control of a process during manufacturing.

A process is said to be in a state of statistical control if the variation wouldoccur in random sampling from stable population. If this is the case, the variationamong the items is attributable to chance & there is no point in seeking specialcauses for individual cases.

But when the process is out of control it should be possible to locate the specificcauses for the variation & removing them to improve the performance of the

process. SQC may be applied to any repetitive process. Such processes are foundnot merely in machine production in a factory but also in management problems.The primary objectives of the SPC are: (a) To keep the manufacturing process incontrol so that the population ofdefective units is not excessive and (b) To assistin determining whether a state of statistical control exists.

Tools. One of the best technical tools for improving product & service quality isstatistical process control (SPC). There are seven basic techniques. The wordstatistical is somewhat of a misnomersince the first four techniques are notreally statistical. Furthermore, this technical tool not only controls the process but

has the capability to improve it as well. 1. Pareto diagram. A Pareto diagram is a graph that ranks data classifications in

descending orderfrom left to right. In this case, the data classification are types offield failure. Other possible data classifications are problems, complaints, causes,types of nonconformities, & so forth. The vital few are on the left & the useful manyare on the right. It is sometimes necessary to combine some of the useful many intoone classification called other . When this category is used it is placed on the farright. The vertical scale is Rupees, or frequency & the percent of each category

can be placed above the column.

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Concept (contd). Pareto diagram are used to identify the most important problems. Usually,

80% of the total results from 20% of the items. Actually, the most important itemscould be identified by listing them in descending order. However, the graph hasthe advantage of providing a visual impact, showing those vital fewcharacteristics that need attention. Examples of the vital few are:

1. A few customers account for the majority of sales.

2. A few processes account for the bulk of the scrap or rework cost. 3. A few nonconformities account for the majority of customer complaints.

4. A few suppliers account for the majority of rejected parts.

5. A few problems account for the bulk of the process downtime.

6. A few products account for the majority of the profit.

7. A few items account for the bulk of the inventory cost.

Construction of a Pareto diagram is very simple. There are five steps.

1. Determine the method of classifying the data by problem, cause,nonconformity etc.

2. Decide if Rupees (best), frequency orboth are to be used to rank thecharacteristics.

3. Collect data for an appropriate time interval or use historical data.

4. Summarize the data & rank order categories from largest to smallest.

5. Construct the diagram & find the vital few.

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Concept 2. Process flow diagram. For many products & services, it may be useful to

construct a process flow diagram. These diagrams show the flow of the product orservice as it moves through the various processing operations. The diagram makes iteasy to visualize the entire system identify potential trouble spots, & locate controlactivities.

3. Cause-and-effect diagram. A cause & effect diagram (C&E) is a picturecomposed of lines & symbols designated to represent a meaningful relationship

between an effect & its causes. It was developed by Dr. Kaoru Ishikawa in 1943 & issometimes referred as to a Ishikawa diagram or a fish bone diagram because of its

shape.

C&E diagrams are used to investigate either a bad effect and to take action tocorrect the causes or a good effect and to learn those causes that areresponsible. For every effect, there are likely to be numerous causes. The effects willbe on the right of the diagram and causes on the left. The effect is the qualitycharacteristic that needs improvement. Causes are sometimes broken down intothe major causes of work methods, materials, measurement, people, equipment,and the environment. Other major causes could be of service-type problems,depending on the effect.

Each major cause is further subdivided into numerous minor causes. For example,under work methods, we might have training, knowledge, ability, physicalcharacteristics, and so forth. C&E diagrams are means of picturing all these majorand minor causes.

The first step is the construction of a C&E diagram is for the project team to identifythe effect or quality problem. It is placed on the right side of a large piece of paper

by the team leader. Next, the majorcauses are identified and placed on the diagram.

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Concept (Contd) Determining all the minor causes requires brainstorming is an idea generating

technique that is well suited to the C&E diagram. It uses the creative thinking capacity of theteam.

Attention to a few essentials will provide a more accurate & usable result.

1. Participation by every member of the team is facilitated by each member taking a turngiving one idea at a time. If a member cannot think of a minor cause, he or she passes forthat round. Another idea may occur at a later round. By following this procedure, one or twoindividuals do not dominate the brainstorming session.

2. Quantity, rather than quality, of ideas is encouraged. One persons idea will triggersomeone elses idea, and a chain reaction occurs. Frequently, a trivial or dumb idea willlead to the best solution.

3. Criticism of an idea is not allowed. There should be a freewheeling exchange ofinformation that liberates the imagination. All ideas are placed on the diagram. Evaluation ofideas occurs at a later time.

4. Visibility of the diagram is a primary factor of participation. In order to have space for allthe minor causes, a 2 ft. by 3 ft piece of paper is recommended. It should be taped to a

wall for maximum visibility. 5. Create a solution oriented atmosphere and not a gripe session. Focus on solving a

problem rather than discussing how it began. The team leader should ask questions usingthe why, what, where, when, who & how techniques.

6. Let the ideas incubate for a period of time (at least overnight) and then have anotherbrainstorming session. Provide team members with a copy of the ideas after the firstsession. When no more ideas are generated, the brain storming activity is terminated.

Once the C&E diagram is complete, it must be evaluated to determine the most likelyCauses. This activity is accomplished in a separate session.

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Concept (cintd) The procedure is to have each person vote on the minor causes. Team

members may vote on more than one cause. Those causes with the most votesare circled & the 4 or 5 most likely causes of the effect are determined.

Solutions are developed to correct the causes & improve the process. Criteriafor judging the possible solutions include cost, feasibility, resistance to change,consequences, training, & so forth. Once the solutions have been agreed to bythe team, testing & implementation follow.

Diagrams are posted in key locations to stimulate continued reference as similar ornew problems arise. The diagrams are revised as solutions are found &improvements are made.

The cause and-effect diagram has nearly unlimited application in research,manufacturing, marketing, office operations, service & so forth. One of its strongestassets is the participation & contribution by everyone involved in thebrainstorming process. The diagrams are useful to:

1. Analyze actual conditions for the purpose of product or service qualityimprovement, more efficient use of resources, & reduced costs.

2. Eliminate conditions causing nonconformities & customer complaints.

3. Standardizing existing & proposed operations.

4. Educate & train personnel in decision making & corrective action activities.

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Concept (contd) Check Sheets. The main purpose of check sheets is to ensure that the data

are collected carefully & accurately by operating personnel. Data should be collectedin such a manner that they can be quickly & easily used & analyzed. The form of thecheck sheet is individualized for each situation & is designed by the project team.

Whenever possible, check sheets are designed to show location. For example, thecheck sheet for bicycle paint conformities could show an outline of a bicycle , with asmall x indicating the location of the nonconformities. Creativity plays a major role inthe design of a check sheet. It should be user friendly & whenever possible, include

information on time & location. Histogram. The first statistical SPC technique is the histogram. It describes the

variation in the process. The histogram graphically estimates the process capability &if desired, the relationship to the specifications & the nominal (target). It also suggeststhe shape of the population & indicates if there are any gaps in the data.

Frequency distributions are presented in graphical form called histograms whengreatervisual clarity is desired. A histogram consists of a set of rectangles thatrepresent the frequency of the observed values in each category.

Control Charts. Variation. One of the axioms of production is that no two objects are ever made

exactly alike. In fact, the variation concept is a law of nature in that no two naturalitems in any category are the same. The variation may be quite large & easilynoticeable such as the height of human beings, or the variations may be small, suchas the weights of the fiber tipped pens. When variations are very small, it may appearthat items are identical; however, precision instruments will show differences. If twoitems appear to have the same measurement, it is due to the limits of our measuring

instruments.

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Concept (contd) There are 3 categories of variations in piece part production.

1. Within-piece variation is illustrated by the surface roughness of a piece, whereinone portion of the surface is rougher or the width of one end of a keyway varies fromthe other end.

2. Piece-to-piece variation occurs among pieces produced at the same time. Thusthe light intensity of 4 consecutive light bulbs produced from a machine will bedifferent.

3. Time-to-time variation is illustrated by the difference in product produced atdifferent times of the day. Thus product produced in the early morning is differentfrom that produced later in the day, or as a cutting tool wears, the cuttingcharacteristics change.

Variation is present in every process due to a combination of the equipment,materials, environment, & operator. The first source of variation is the equipment.This source includes tool wear, machine vibration, work holding device positioning ,& hydraulic & electrical fluctuations.

The second source of variation is the material. Because variation occurs in thefinished product, it must also occur in the raw material.

A third source of variation is the environment. Temperature, light, radiation,particle size, pressure & humidity can all combine to variation in the product.

A fourth source is the operator. This source ofvariation includes the method bywhich the operator performs the operation. The operators physical & emotional wellbeing also contribute to the variation. A cut finger, a twisted ankle, a personalproblem, or a headache can make an operators quality performance vary.

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Concept (contd) Run Chart. A run chart, is a very simple technique for analyzing the process

in the development stage or for that matter, when other charting techniques are notapplicable. The important point is to draw a picture of the process & let it talk toyou. A picture is worth a thousand words, provided you are listening. Plotting thedata points is a very effective way offinding out about the process. This activityshould be done as the first step in data analysis. Without a run chart, other dataanalysis tools such as the average, sample standard deviation, & histogram

can lead to erroneous conclusions. Control Chart. A danger of using a run chart is the tendency to see every variationin data as being important. In order to indicate when observed variations in qualityare greaterthan could be left to chance, the control chart method of analysis &presentation of data is used. The control chart method forvariables is a means ofvisualizing the variations that occur in the central tendency & dispersion of a setof observations. It is a graphical record of the quality of a particular characteristic..It shows whether or not the process is in a stable state by adding statisticallydetermined control limits to the run chart.

In the run chart, the control limits can be added. They are the two dashed outerlines and are called the upper & lower control limits. These limits are established toassist injudging the significance of the variation in the quality of the product.

Unnatural variation is the result of assignable causes. It usually, but not always,requires corrective action by people close to the process, such as operators,technicians, clerks, maintenance workers, & first line supervisors. Natural variation isthe result of chance causes it requires management intervention to achieve qualityimprovement.

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Concept (Contd) Scatter Diagrams.

It is the simplest way to determine if a cause-and-effect relationship exists betweentwo variables is to plot a scatter diagram. A figure can show the relationshipbetween automotive speed & gas mileage. It may show as the speed increases ,gas mileage decreases. Automotive speed is plotted on the x-axis & is theindependent variable. The independent variable is usually controllable. Gasmileage is on the y-axis and is the dependent, or response, variable.

There are a few simple steps for constructing a scatter diagram. Data are collectedas ordered pairs (x,y). The automotive speed (cause) is controlled & the gasmileage (effect) is measured resulting x,y paired data. The horizontal & verticalscales are constructed with the higher values on the right for the x axis and onthe top for the y axis. After the scales are labeled, the data are plotted.

Once the scatter diagram is complete, the relationship or correlation between thetwo variables can be evaluated. Different pattern will show differentinterpretation. We can have positive correlation between two variables, if x

increases, y also increases. There can be negative correlation, as x decreases, yalso decreases. Also, there can be no correlation at all.

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Concept What is statistical control?

When only chance causes are present in a process, the process is considered to be in astate of statistical control. It is stable & predictable. However, when an assignable cause ofvariation is also present, the variation will be excessive, & the process is classified as out ofcontrol or beyond the expected natural variation of the process.

Benefits of SPC: Major application of SPC are as follows:

1.The application of SPC commences with developing an understanding of the process,identifying the main process parameters and defining the control mechanism. Thistechnique which is widely used during the initial diagnostic phase is failure mode effectanalysis (FMEA) 2. This technique helps to identify what are the critical characteristicsof the process which require further more detailed process analysis. 3. During the 3rd stageof SPC application , an analysis of the initial characteristics is carried out in order todetermine the relationship between the natural variation of the process and the allowablespecification limits. This relationship is known as the process capability. It is used toevaluate whetherthe process variability is acceptable. 4. Many of the organizations find

this relationship fordetermining process capability by using SPC. 5. The ongoingcontrol of the process can be monitored using control charts which represent the finalstage of the SPC application in manufacturing organizations.

In a nutshell, we can say that the control of variation is an important element of qualityimprovement. The implementation of SPC can reduce the overall process cost. SPCapplication involves 4 stages viz. the identification of process failure modes, analyzingprocess data ,evaluating the process capability & finally the charting of the processperformance.

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Statistical Process Control (SPC)

Responsibility forquality in transformation process lies with operators of the process.People must have proper tools & info. 1. Whether the process is capable of meetingthe requirements. 2. Whether the process is meeting requirements at any point oftime. 3. Make correct adjustment to the process or inputs when not meetingrequirements.

To do this identify what the process is & what the inputs & outputs are. Manyprocesses are simple to understand eg drilling, compressing tablets or filling cans.

Some are less identifiable e.g servicing a customer, delivering lecture etc. Extremelydifficult ifthe process cannot be defined e.g. Inputting to computer terminal. Processdefinition is necessary because input & output can vary with the process.

SPC is not only a tool kit, it is a strategy forreducing variability, the cause of mostquality problems, variation in products, in time deliveries, in peoples attitudes,maintenance practices in materials.

SPC is not constrained to measuring conformance. It is intended to lead to action onprocesses to minimize variability.

SPC is not techniques and use of charts. It has implied widerstrategies. The wholecompany must adopt TQM & is never ending improvement.

Simple graphs & charts should become means of communication. In a nutshell, wecan say that the control of variation is an important element of quality improvement.The implementation of SPC can reduce the overall process cost SPC applicationinvolves 4 stages viz. the identification of process failure modes, analyzing processdata ,evaluating the process capability & finally the charting of the processperformance.

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The SPC System Answer the following questions: 1. Are we capable ofdoing the job correctly? 2.

Do we continue to do the job correctly? 3. Have we done the job correctly? 4.Could we do thejob more consistently and on target?

The above questions provide knowledge of the process capability & sources ofnon conforming inputs. This info can be fed back quickly to marketing, design &technology functions. Knowledge of the current state of a process also enables amore balanced judgment of equipment both with regard to task within its capability& its rational utilization.

SPC procedures exist because ofvariation in material, articles, services & people.

Start from output & work backwards.

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The SPC System

Organizations that embrace TQM concepts should recognize the value of SPCtechniques in areas such as sales, purchasing, finance, invoicing, distribution,training & in the service sector. They are outside the traditional areas for SPC use.

Pareto analysis, histogram, flow chart, or a control chart is vehicle forcommunication. Data is data, numbers represent defects, invoice errors,weights, delivery times or info can be machine settings, process variables,prices, quantities, discounts, sales or supply points the technique can be always

used. 1. Pareto analyze errors on invoices & industry injury data. 2. Brainstorm &

cause and effect analyze reasons for late payment & poor purchase invoicematching. 3. Histogram defects in invoice matching & arrival of trucks at certaintimes during the day. 4. Control chart the weekly demand of a product.

Distribution staffhave used control charts to monitor the proportion oflatedeliveries & Pareto analysis & force field analysis to look at complains about thedistribution system..

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Statistical Process Control (SPC)

SPC is a methodology using control charts for assigning operators to monitor theoutput from a process to identify & calculate special causes ofvariation. Advantagesof SPC: 1. Continuously reduces variation in product quality. 2. Prevention 3. Higherquality products 4. Lower cost. 5. To reduce the defective rate 6. Balances the controlcost.

Need for SPC: 1. When to take actions to adjust a process that has fallen out ofcontrol. 2. When to leave process alone 3. Reducing scrap & rework. 4. Increasing

productivity 5. Provide the basis for determining process ability and predicting a yieldfrom a process.

SPC Implementation: 1. Develop a product flow diagram 2. Establish buffermanagement. 3. Identify critical operation. 4.List in order critically based on theirimpact to throughout. 5. Choose the quality characteristics to be charted.. 6.Implement the pilot project. 7. Schedule the remaining charts to be implemented.8. Organize a committee for each chart. 9. Collect close plot-charts & develop Cpkindexes 10. Analyze charts as data become available. 11. Correct assigned causebased on the impact to throughout. 12. A method must be used to determine therelationship between resources. Product flow diagram is used for this purpose. It isa detailed description of the product flow and the resources involved in theproduction operation.

1. Bill of material. 2. Part no. 3. Production levels. 4. Routing 4. Sequence ofoperations. 5. Resource information. 6. Where an operation is to be performed.

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Limitation of SPC

1. Control charts are constructed by inspecting the product. When a process isout of control, defective products have already been produced. 2. Control chartsare based on the assumption of independent data. However, 100% inspectiondata are usually serially correlated. Serial correlation in data results in falsealarms. 3. Internationally making data independent may result in the loss ofinformation which may be quite useful for studying the process and identifyingassignable causes.

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Demings PDSA Cycle Demings PDSA (Plan-Do-Study-Act) cycle is an effective improvement

technique. Shewharts cycle was called PDCA (Plan-Do-Check-Act) cycle. The

basic PDSA was developed by Shewhart & later modified by Deming. P Plan. - Determine what is to be done.

D Do. - Carry out the activities as planned

S Study.- Study the results carefully.

A Act. - Now as the result is known, act on the result & find what worked & whatdid not work as per plan.

Now as it is a cycle, using what has been learnt, try to develop a better plan & repeat

the cycle. PDSA cycle is used for process improvement. Continuous process improvement isthe main objective of PDSA cycle. The PDSA cycle has 7 steps constitutes onePDSA cycle of the process improvement model. The 7 steps are listed.

Step 1. Identify the improvement opportunity.

Step 2. Evaluate the current process.

Step 3. Analyze.

Step 4. Take action.

Step 5. Study results.

Step 6. Standardize solution.

Step 7. Plan for the future.

Process improvement achieves the greatest results when it operates within theframework of the problem solving method. In the initial stages of a program,quick results are frequently obtained because the solutions are obvious or anindividual has a brilliant idea. However, in the long term , a systematic approach

will yield the greatest benefits.

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Process Capability Studies Process capability is the range o

ver which the natural variation of a processoccurs as determined by the system of common or chance causes, that is what the

process can achieve under stable conditions. Process capability only makes sense ifall the special orassignable causes of variation have been eliminated & theprocess is in a state of statistical control. The capability of a process is usuallycompared to design specifications & measured by a proportion of the output that canbe produced within the specifications.

Process capability is important to both product designers & manufacturingengineers. Knowing process capabilities allows one to predict quantitatively how

well a process will meet specifications & to specify equipment requirements &the level of control necessary. Process capability has 3 important components. 1.The design specifications 2. The centering of the natural variation & 3. The rangeorspread of variation. Four possible outcomes can arise when natural processvariability is compared with design specifications.

(a)A. Specifications are looserthan the natural variation & we can expect that theprocess will always produce conforming products as long as it remains in control.

(b) The natural variation & specifications are the same. A small percentage of

nonconforming products might be produced, thus the process should be closelymonitored.

(c) If the range ofnatural variability is largerthan the specification, then the currentprocess cannot meet specifications even when it is under control.

(d) The capability is the same as in (b) but the process average is off center, If nocorrective action is taken, a substantial portion of output will fall outside thespecification limit even though the process has the inherent capability to meetspecifications.

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Process Capability Studies

It is a carefully planned study designed to yield specific information about theperformance of a process under specified operating conditions. Typical questionsthat are asked in a process capability study are : 1. Where is the processcentered? 2. How much variability exists in the process? 3. What proportion ofoutput will be expected to meet specifications? 4. What factors contribute tovariability?

Reasons for conducting a process capability study: 1. Manufacturing may wish

to determine a performance base line for a process. 2. To prioritize projects forquality improvement. 3. To provide statistical evidence of quality for customers.4. To evaluate a new equipment by the purchasing department. 5. To comparedifferent suppliers by the purchasing department. 6. To determine the adequacy ofR&D pilot facilities. 7. To evaluate new processes.

Three types of studies conducted are: 1. A peak performance study whichdetermines how a process performs under ideal conditions. 2. A processcharacterization study which is designed to determine how a process performsunderactual operating conditions. 3. A component variability study whichassesses the relative contribution ofdifferent sources of total variation.

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Process Capability Studies

Six Steps in a process capability study: 1. Choose a representative machine orsegment of the process. 2. Define the process conditions. 3. Select arepresentative operator. 4. Provide materials that are ofstandard grade withsufficient materials for uninterrupted study. 5. Specify the gauging ormeasurement method to be used. 6. Provide for a method ofrecordingmeasurements and conditions, in order, on the units produced.

To obtain useful information, the sample size should be fairly large, generally at

least 100. Two statistical techniques are commonly used to evaluate processcapability. One is the frequency distribution and histogram, the other is the

control chart.

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Quality Control ToolsThe 7 QC tools were developed by Ishikawa.

1. Process flow charts. 2. Check Sheet (Tally Chart). 3. Histogram 4. Pareto analysis. 5.Cause & effect analysis (Fish bone diagram) 6. Scatter diagram. 7. Control charts.

The other tools are:.

A. Kaizen Tools: 1. Waste elimination. 2. Standardization. 3. P-D-C-A 4. Poka- Yoke.

Kaizen. It is a Japanese word for the philosophy that defines managements role incontinuously encouraging & implementing small improvements involving everyone. It is theprocess of continuous improvement in small increments that makes the process more efficient,effective, under control, & adaptable. Improvements are usually accomplished at little or no

expense without sophisticated techniques or expensive equipment. It focuses on simplificationby breaking down complex processes into theirsub processes & then improving them.

B. Benchmarking: Objectives: 1. Improving customer satisfaction. 2. Reducing manufacturingoverhead cost. 3. Reducing new product development cycle time.

C. Benchmarking Cycle: What does benchmark do? 1. Decide areas to be improved.Identify benchmark outputs. 2. We can select product or process. 3. Focus on one singleprocess for every time for benchmarking, will bring best results.

D. Form a team: Select a team leader. Select the process : Benchmark 1. Will the change in

the process be perceived by the customer as a benefit? 2. Does the topic reflect an importantbusiness achievement? 3. Is the topic significant in terms of cost or key non-functionalindicators?

E. Understand your own process in detail. 1.Identification of critical factor. 2.Collectinformation.

F. Identify the best in the business: 1. What is the best in class? 2. Identify bestcompetitor. 3. Choose companies to be benchmarked. 4. Getting companies toparticipate in benchmarking. 5. What to ask? Develop questionnaires. 6. Decide learning

techniques. 7. Code of conduct should be kept in mind.

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Quality Control Tools(contd) The Kaizen improvement focuses on the use of:

1, Value added & non value added work activities.

2. Muda, which refers to the seven classes of waste overproduction, delay,transportation, processing, inventory, wasted motion, & defective parts.

3. Principles ofmotion study.

4. Principles ofmaterial handling.

5. Documentation ofstandard operating procedures.

6. The five Ss for work place organization., which are 5 Japanese words that meanproperarrangement (seiko), orderliness (seiton), personal cleanliness(seiketso), clean up (seiso), & discipline (shitsuke).

7. Visual management by means ofvisual displays that everyone in the plant can usefor better communication.

8. Just-in-time principles to provide only the units in the right quantities, at the right time,& with the right resources.

9. Poka-Yoka to prevent or detect errors.

10. Team dynamics, which include problem solving, communication skills, & conflictresolution.

The following are also Quality Control Tools:1. Determine data collection method, collecting data, sharing information withcompanies.

2. Determine current competitive gap. Establish functional areas.

3, Develop action plan, feasibility study. Project future performance level. . Getapproval of specification from top management.

4, Implement specific actions.

5. Monitor results and report progress.

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Quality Control Tools (contd) Quality Function Deployment (QFD) is a planning tool used to fulfill

customer expectations. This can be defined as a process of incorporation of theVoice of the Customer into the design & development of a certain product &service & subsequently standardization of the process of manufacturing.

The QFD brings the concept of the customer orientation to the shop floorof theorganization. It makes the new product development process & product alteration& modifications. It is a scientific & systematic process aimed towards customersatisfaction & the reduction of manufacturing cost.

QFD is a systematic procedure for translating the Voice of Customer (VOC) into

technical requirements & operational terms, displaying & documenting thetranslated information in matrix form. Here the customer could be the internal orthe external customer.

(A) Assessment of the Voice of Customer (VOC)

The process to identify the customerCTQ is described below. Here CTQ meanscritical to quality. The first step is to identify the potential customers. Theorganization should find out all its potential customers & then filterthe list to createthe targeted customers list. The organization should review the existing VOC

data; decide what data to collect & then select the VOC collection tools to bedeployed & collect the data. The tools to gatherthe VOC are customercomplaints,customer satisfaction index (CSI), listening posts at the market place or at thecustomers end & the competitive comparison. The proactive tools are the one-to-one interviews, visits to customers, customer surveys, data from the focuscritical group & playing the role of a customerin market. After the entire customerdata has been collected, the data should be compared, integrated & synthesizedinto the real customer needs. Now the organization should define the CTQs or thefactors critical to the quality for the fulfillment of the customer needs & prioritize them.

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Quality Control Tools (contd) (B) Conversion Of CustomerNeeds Into Product & Process Development.

QFD focuses on the most important items that need to be improved & provides themechanism to target selected areas where improvement would enhance competitiveadvantages & would therefore help increase market share. The critical information of theVOC is defining the customers needs. What is customers perception on theorganizations process performance? What can be done to improve the organizationsperformance? How is the process performance measured by the customer? What arethe performance levels expected by the customer? The QFD process converts the highlevel voice of customerneeds into the real customer needs, which are again converted

in tangible terms of the project Y output characteristics or the CTQs. QFD aids at converting the customers needs into the internal process measures that

can be controlled & monitored. This results in the development of the quality product &the services that meet he customers requirements. QFD is a tool to convert thecustomers requirements into technical specifications through a series of matrix ortables.

QFD integrates quality assurance into the design process, provides the basis forselecting items for manufacturing control & identifies conflicting design requirement

where optimization is needed to achieve individual target values. It reduces theproduct and/or the service development cycle time. It also develops innovativeproducts forvalue additions as percustomer need & reduces the error & deviationsafter the products introduction.

Depending upon the specific product, the technique ofQFD may be used as analternative for the quality planning process. Product planning translates customerrequirements i.e. VOC into counterpart control characteristics. It provides a means ofconverting general customer requirements drawn from market evaluations,

comparisons with competition, & marketing plans into specified final product controlcharacteristics.

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Quality Control Tools (contd) (C) House of Quality.

QF

D is a mechanism to deploy VOC horizontally through all departments, i.e.product planning, product engineering, manufacturing (controls).

Figure shows the different houses which integrate the different processes. Thecustomer needs are now converted into the internal measures through varioushouses of quality. How at one level becomes the what at the next level.

QFD is formed by the horizontal barwhich represents the customers portion &the vertical column which represents the technical portion . The QFD matrix isformed by the intersection of the customer table & the technical table .

The voice of the customeris the input required to begin. This defines thecustomers needs & wants. The output is the customers competitive evaluations. Theorganization defines the operational goals or targets., i.e, CTQs. A competitivetechnical assessment is carried out. A relationship is ascertained between the VOC,the customers competitive evaluations & the organizations technical capabilities tomeet the CTQs. This is translated in the technical requirement & a co-relationship isestablished among the above factors.

The two dimensions of QFD are the deployment of quality characteristics inproduct development & production needed to achieve objectives & theassignment ofspecific roles to individual job functions in order to achieveobjectives.

QFD is much more than summations & multiplications. A multifunctional groupworks on defining the customers requirements and fill the matrix after good amountof technical & marketing discussion. QFD integrates the marketing & themanufacturing together with the unified objective of customer satisfaction & thereduction of the cost of poor quality. It can handle mutually independent requirements& needs.

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TQM I

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