UNIT 1 QM
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Transcript of UNIT 1 QM
Meaning of quality
Excellence of a product or service
Fitness for use - Juran (1974)conformance to requirements or specifications –Crosby (1979)
G dGradeDegree of preference
“The quality of a product or service is the fitness ofthat product or service for meeting or exceeding itsintended use as required by the customer”.
Quality Characteristic
A physical or chemical property/element(s) that are used todefine the nature of the product or service (which contributesto fitness for use) is a quality characteristicto fitness for use) is a quality characteristic.
“Elements that define the intended quality level of a product orservice ”service.”
Can be classified as:
Technological/Structural – length, Weight, Strength, dia.,frequency, etc.q y,
Psychological (Sensory) – taste, odour, beauty etc.Time-oriented – Reliability, maintainability, Warranty etc.Ethical – Honesty Integrity etcEthical – Honesty, Integrity etc.
Quality characteristic
Quality characteristic may beQuality characteristic may be
1. Directly measurable - weight, shear strength,y g , g ,Sp. Gravity, length, dia. Etc.
bl d fl k2. Non-measurable - rejections due to flaws, cracks,breakages etc.
Quality characteristic
Fall in to two broad classes –
Quality characteristic
Fall in to two broad classes
Variables - Measurable, Expressed on a numerical scale, p
and
Attributes - if classified as either conforming or nonconforming to a stipulated specificationnonconforming to a stipulated specification
Nonconformity and Nonconforming UnitNonconformity and Nonconforming Unit
• A nonconformity is a quality characteristic that does notmeet its stipulated specification.
• ExampleExample
• A nonconforming unit has one or more nonconformitiessuch that the unit is unable to meet the intendedstandards and is unable to function as requiredstandards and is unable to function as required.
• Example
Defect and DefectiveDefect and Defective
• Nonconformity - Defect
and
• Nonconforming Unit - Defective
Quality of serviceQuality of service
• Concept of service:
1. Technical aspect - tangible product
2. Behavioral aspect (difficult to quantify, measure, control)
bl- Intangible component
Quality of serviceService Industries• Education
Quality of service
• Retailing & Distribution• Financial services – banking, insurance• Governmental services (Defense municipal services)• Governmental services (Defense, municipal services)• Personal services (Hotels and Motels)• Transportation (Airlines, railroads, buses)
P bli tiliti ( l d l h )• Public utilities (Electricity, gas and telephone services)• Leisure, recreation, entertainment• Professional and business services like accountancy, y
marketing, law, consulting• Healthcare• Software etc.
Continue…
1. Service is intangible - it cannot be easily measured,tested and verified in advance of sales to assurequality
2. Services are perishable (can not be backordered)-time constraint
3. Precise standards like manufacturing can rarely be set
4 It i t d d d i lt l4. It is created and consumed simultaneously or nearsimultaneously.Service Production and Consumption are ofteninseparable i e Customer is in service factoryinseparable i.e. Customer is in service factory.
Continue…
6. Services offered can vary from “Producer to Producer” ye.g. outlet to outlet
7 Outcome of Service is as important as process of7. Outcome of Service is as important as process of delivery. assessment of quality is made during the service delivery process.
8. Service Quality is more difficult for customer, to evaluate, than product qualityp q y
9. Customer cannot retain the actual service. The effect of the service can be retainedof the service can be retained.
Service quality Characteristics and measures
1.Human Factors and behavioral characteristics
Service quality Characteristics and measures
- No. of customer complaints- No. of complimentary responses
2. Timeliness characteristics- waiting time in bank
h k- Time to check in at airport- waiting time before receiving baggage
Time to hear from an insurance company- Time to hear from an insurance company
Service quality Characteristics and measures
3. Service nonconformity characteristic
Service quality Characteristics and measures
y- No. of errors per 1000 transactions in banks- No. of billing errors per1000a/c by utility company
4. Facility related characteristicf l- No. of complaints
a) due to an uncomfortable bed in hotel roomb) due to unavailability of a swimming pool in ab) due to unavailability of a swimming pool in a hotelc)Insufficient leg room in an aircraft) g
Quality of Product/ServiceQuality of Product/Service
Three aspects:
Q lit f D iQuality of Design
Quality of ConformanceQuality of Conformance
Quality of performanceQ y p
Quality of Design
“ The product or service must be designed to meet at leastminimally the needs of the consumer”.y
Design should be simplest and least expensive while stillmeeting the customer’s expectations.
Yield strength (customer requirement) = 100kg/cm2Yield strength (customer requirement) = 100kg/cm2
“Tightness of the specifications for manufacture of theTightness of the specifications for manufacture of the product”
Tolerance : ± 0.001 mm and ± 0.01mm
Quality of DesignQuality of Design
Factors controlling Quality of Design
1. Type of customers in the market (consuming habits, prices, choice of design)
2 Intended life Reliability Importance of continuity of2. Intended life, Reliability, Importance of continuity of service
3. Profit policy of the firmp y4. Environmental conditions5. Special requirements of the product
Quality of Conformance
“ The manufactured product or the service rendered mustmeet the standards selected in the design phase”.
Defect prevention, finding, analysis and rectification
Factors controlling Quality of conformance1. Adequate quality of incoming raw materialq q y g2. Adequate machines, tools and measuring instruments3. Proper selection of process4 W ll t i d i d d ti t d t4. Well trained, experienced and motivated operators5. Proper storage and shipment6. Feedback from internal inspection and customers6. Feedback from internal inspection and customers7. Use of S.Q.C. techniques
Quality of performance
“ How well the manufactured product functions or service
Quality of performance
pperforms when put to use”.
Measures the degree to which the product or servicesatisfies the customer.
Function of
Quality of design Quality of conformance
Three aspects of Quality
.
p y
QualityQuality
Quality of Conformance
Quality of D i
Quality of Design Performance
Quality Assurance
• Everyone involved is responsible for quality• Can create ineffective system
Q y
• Can create ineffective system• A system is needed
• Objective : to have in place a formal systemQuality assurance team audits and assists
ANSI/ASQC defines QA“ All those planned or systematic actions necessary toAll those planned or systematic actions necessary to
provide confidence that a product or service will satisfygiven needs.”
Quality System
Definition as given by ANSI/ASQC:
Quality System
Definition as given by ANSI/ASQC:
“The collective plans activities and events thatThe collective plans, activities, and events thatare provided to ensure that a product, process,or service will satisfy given needs.”y g
Cost of QualityThe cost of carrying out the company’s quality functions
(meeting the quality needs of the customers) areknown as costs of quality.
Four categories: As per ASQC
Cost of Prevention
Cost of Appraisal
C t f I t l f ilCost of Internal failures
Cost of external failuresCost of external failures
Cost of Prevention
Costs incurred in planning, implementing and maintaining aquality system.Includes SalariesIncludes Salaries.Incurred to keep failure and appraisal costs to a minimum.
1 Cost of quality planning market research product1. Cost of quality planning – market research, productdevelopment (product , process and equipment design),inspection plan
2. Cost of documentingg3. Process control cost4. Cost of training5. Costs associated with preventing recurring defects5. Costs associated with preventing recurring defects6. Cost of investigation, analysis and correction of causes of
defects by QC and Engg. Deptt.7. Cost of cost consciousness programmesp g
Cost of Appraisal Costs associated with the measuring, evaluating orauditing products, components and purchasedmaterials to assure conformance with specifiedmaterials to assure conformance with specifiedstandards.
1. Cost of verification- incoming , in-process, after productionproduction
2. Cost of quality audits (appraisal of the quality system)
3. Cost of inspection equipments, maintenance, Calibration
4. Cost of material and products consumed in a pdestructive test
5. Cost of vendor rating
Cost of internal FailuresCosts associated with defective products,components and materials that fail to meet qualityrequirements and result in manufacturing lossesrequirements and result in manufacturing losses.(prior to the transfer of ownership to the customer)
1. Scrap (material, Labour and overheads)1. Scrap (material, Labour and overheads)
2. Rework or rectification (material, Labour and overheads)
3. Re-inspection4. Downgrading5. Waste6. Failure analysis7. Lost production time
Cost of external failures
Costs which are generated because of defectiveproducts being shipped to customers.p g ppWhen product does not perform satisfactory afterownership is transferred
1. Repair and servicing2 Warranty claims2. Warranty claims3. Customer Complaints4. Returns4. Returns5. Loss of goodwill
Value of quality
“ Return direct or indirect gained by the manufacturer due
Value of quality
g yto mission of quality control”.
It is composed of 1. Value inherent in the design2 Value inherent in the conformance to that design2. Value inherent in the conformance to that design
Continue…
Difficult to assess the value of quality.
Factor for assessment:Factor for assessment:
1. Saving due to increased productiong p2. Reduction in scrap and rework cost3. Increased sales of good quality product4 I di t f t h4. Indirect factors such as
a. Reputation of manufacturer and goodwill of thecustomerb. Psychological stability in the enterprise and security of jobs to workers.
Deming’s approach to quality
• W. Edward Deming and Japanese Industry after WW II• Phy. Maths and stats. – Bureau of Census and U.S. war deptt.
(1939).• Logistic problem - coordination• His Revolutionary technique helped win the war____ Quality Control• JUSE invited to address leading industrialists• Japanese Industries moved to the forefront• Was awarded Prestigious second order medal of the sacred treasure
by Emperor Hirohito• In 1951 JUSE instituted Deming Award• Toyota, Nissan, Nippon steel, Hitachi• Texas instruments in 1985
Deming’s Philosophy
• Emphasizes the role of Management• 85% of the problems can be solved by the management• 85% of the problems can be solved by the management• Organization is an integrated entity• Total Quality programTotal Quality program• Quality Improvement cycle• Quality and Productivity• Plan of actions to achieve long term goals• Need for management and workers a common language
(l f t ti ti )(language of statistics)• 14 points for Management
Deming’s Philosophy
• Continuous improvement - System of profound
g p y
Continuous improvement System of profound knowledge
1. Knowledge of the system and the theory of optimizationp2. Knowledge of the theory of variation3. Exposure to the theory of knowledge3. Exposure to the theory of knowledge4. Knowledge of psychology
Deming’s 14 points for management
• Point 1: Create and publish Vision and Demonstrate
Deming s 14 points for management
pCommitment
• Point 2: Learn the new Philosophy
• Point 3: Understand purpose of Inspection
• Point 4: Stop Making Decisions Purely on the Basis of p g yCost
• Point 5: Improve Constantly and Forever the system
• Point 6: Institute Training
• Point 7: Teach and Institute Leadership p
Deming’s 14 points for management• Point 8: Drive Out Fear. Create trust. Create a climate
for innovation
• Point 9: Optimize the Efforts of Teams , Groups and staff areas
i 0 l h f h kf• Point 10: Eliminate Exhortations for the workforce
• Point 11: a) Eliminate Numerical Quotas for the work force
b) Eliminate management by objectives
• Point 12: Remove Barriers to Pride in Work
• Point 13: Encourage Education and Self-Improvement
• Point 14: Take Action to accomplish the transformation.
Act (A)Implement the plan to improve
PDCA cycleplan to improve
customer satisfaction
Plan (P)h k ( ) Plan (P)Recognize the opportunity for improvement
Check (C) Analyze results
of the test phase improvement
Do (D)Test the theoryTest the theory on small scale
Quality Function Deployment
• Planning Tool - Designing quality into a productor serviceor service
• System approach involves cross-functional teams
• Customer driven Customer needs into technical• Customer driven - Customer needs into technicalrequirements
• Evaluates competitors from• Evaluates competitors from
- customer’s perspective
technical perspective- technical perspective
• Reduces product development cycle time
Mi i i id t d i h• Minimize midstream design changes
Quality Function DeploymentQuality Function Deployment
• Can be used toCan be used to
t t i i- create training programs
- select new employeesp y
- establish supplier development criteria
- Improve services
Quality Function Deployment
• Identified by other namesy- House of quality- Matrix product planningMatrix product planning- Customer-driven Engineering- Decision MatrixDecision Matrix
History
• Dr. Shigeru Mizuno and Yoji Akao are credited with theinitial development of QFD in the 1960’s. Their purpose
t d l lit th d th t ldwas to develop a quality assurance method that woulddesign customer satisfaction into a product before it wasmanufactured. Prior quality control methods wereq yprimarily aimed at fixing a problem during or aftermanufacturing.
• First application -- Kobe Shipyards of Mitsubishi HeavyIndustries, Ltd. in Japan (design of an oil tanker-1972), p ( g )
History
• Adopted by Toyota in 1978; and by many other Japanese companies later on.
• First used in the U.S. by Ford in 1983 to counter Toyota’s competition Has been used by many Americancompetition. Has been used by many American companies such as GM, Proctor & Gamble, AT&T, Digital Equipment, etc.
QFD TeamQFD Team
• Significant Amount Of Timeg– Communication
• Two Types Of Teams– New Product– Improve Existing Product
k l d• Marketing, Design, Quality, Finance, Production, Etc.
House of Quality – Credit Card Services
Correlation Matrix of “Hows”
Technical Descriptors or “Hows”
Target Goals of “Hows”
t f
Objective statement
Relationship matrix between the “Hows” and the “Whats”
Assessm
ent
mpe
titors
ce ra
tings of
Wha
ts”Customer
requirements the “Hows” and the “Whats”
Custom
er
of co m
Impo
rtan
c“W
qor “Whats”
Technical competitive assessment of “Hows”
Importance ratings of Customer requirements or “Whats”“Whats”
Customer Requirements (Whats) Importance ratingsCustomer Requirements (Whats) Importance ratings
Low interest rate 2
Error‐free Transactions 5
No annual Fee 1
Extended warranty at no additional cost 3
Customer service 24 hours a day 4
Customer’s advocate in billing disputes 4
Customer Assessment of competitorsp
Customer Requirements (Whats)Competitive assessments ofCompetitive assessments of companies
A B C DA B C D
Low interest rate 3 2 2
Error‐free Transactions 4 3 3
4
5Error free Transactions 4 3 3
No annual Fee 2 3
Extended warranty at no additional cost 2 2 1 4
5
55
Extended warranty at no additional cost 2 2 1 4
Customer service 24 hours a day 2 2 3
Customer’s advocate in billing disputes 2 2 3
4
Customer s advocate in billing disputes 2 2 34
Target Goals of Technical Descriptors“Hows” 1 2 3 4 5 6 7
TargetGoals . .
LegendLegend
Number Technical Descriptors or “Hows”
1 A software to detect billing errors
2 Employee training on data input and customer services
3 Negotiations with manufacturers and retailers (vendors)
4 Expanded scheduling (including flextime) of employees
5 Effective recruiting
6 Legal training
7 Financial management services7 Financial management services
Symbols Target Goal
Maximize or increase attained value
Minimize or decrease attained value
Achieve a target value.
+ + +
How#1 How#2 How#3 How#4 How#5 How#6 How#7
Billing Error software
Employee training
Vendor negotiations
Expanded scheduling
Recruiting Legal training Financial Management
srevices
Legend + + Strong positive relationship
+ positive relationship
(( _ Negative relationship
_ _ Strong Negative relationship
Technical Competitive Assessment of “Hows”
Technical Descriptors (“Hows”)
Company 1 2 3 4 5 6 7Company 1 2 3 4 5 6 7
A 4 3 2 3 4 4 5
B 3 1 1 2 3
C 2 2 2 3 2
5 4
5 5
D 2 2 1 3 3 4
5 5
4
Relationship between “Whats” and “Hows”p
0 – No relationshipp1- Low relationship3- Medium Relationship5- High relationship
Relationship matrix of absolute and relative scores
Customer requirements (“Whats”)
Importance ratings
Technical Descriptors (“Hows”)
1 2 3 4 5 6 7
L i t t t 2 0 (0) 0 (0) 5 (10) 0 (0) 0 (0) 0 (0) 5 (10)Low interest rate 2 0 (0) 0 (0) 5 (10) 0 (0) 0 (0) 0 (0) 5 (10)
Error-free Transactions 5 5 (25) 5 (25) 0 (0) 3 (15) 5 (25) 0 (0) 0 (0)
No annual Fee 1 0 (0) 0 (0) 3 (3) 0 (0) 0 (0) 0 (0) 5 (5)
Extended warranty at no additional cost
3 0 (0) 1 (3) 5 (15) 0 (0) 0 (0) 3 (9) 3 (9)
Customer service 24 hours a day
4 1 (4) 3 (12) 0 (0) 5 (20) 5 (20) 3 (12) 0 (0)hours a day
Customer’s advocate in billing disputes
4 1 (4) 3 (12) 5 (20) 0 (0) 3 (12) 5 (20) 1 (4)
THE PROCESS OF QFD
• The aim of QFD is to transfer the requirements of the
customer into product and process characteristics by
systematically letting the requirements be reflected at
every level of the product development process.
The Four Steps of the QFD process:1. Product Planning (House of Quality)2 Product Design (Parts Deployment)2. Product Design (Parts Deployment)3. Process Design (Process Planning)4. Production Design (Production Planning)g ( g)
THE PROCESS OF QFDQ
1.Product Planning: The requirements of the customer(voice of the customer) are transferred to the properties(voice of the customer) are transferred to the propertiesor characteristics of the product. Information fromcompetitors’ products are also used. This is done byb ilding a “ho se of q alit ”building a “house of quality.”
2 Product Design: The design concept is chosen that2.Product Design: The design concept is chosen thatbest fulfils the given target values in the house ofquality. Parts and components that will be critical for the
d t id tifi d d th th t tiproduct are identified and then the part properties areset.
THE PROCESS OF QFD
3.Process Design: The critical detail properties aretransferred to production operations and their criticaltransferred to production operations and their criticalparameters are identified. Methods for process controland process improvement are decided upon.
4.Production Design: Production instructions aredesigned The operator needs exact descriptions of thedesigned. The operator needs exact descriptions of theparts that have to be measured and the measurementsthat have to be observed. Ends with prototype and
d ti l hproduction launch.
Phases of Use of QFD
Customer requirements
Product Design
Parts characteristics
Process Designq g g
P d iProduction requirements