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Quality Protocals


Rajendran Ananda Krishnan




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• Quality is the ability of a product or service to
  consistently meet or exceed customer expectations
• Degree to which performance of a product or service
  meets or exceeds customer expectation




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Conformance to specifications
Fulfilling Customer Needs
Definition of quality focuses not merely on the manufacturing
process but also on the process of arriving at the specifications. Ness

Fitness to use
Zero defects




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Dimensions of Quality
Performance - main characteristics of the product/service
Aesthetics - appearance, feel, smell, taste
Conformance - how well product/service conforms to customer’s
expectations
Reliability - consistency of performance
Features- Additional attributes to enhance the quality
Durability- How long the product lasts before it requires the replacement
Serviceability- The ease with which the product can be serviced
Safety- Assurance to the customer that there are no hazards



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Examples of Quality Dimensions

Dimension          (Product)                     (Service)
                   Automobile                    Auto Repair
1. Performance     Everything works, fit &       All work done, at agreed
                   finish                        price
                   Ride, handling, grade of      Friendliness, courtesy,
                   materials used                Competency, quickness
2. Aesthetics      Interior design, soft touch   Clean work/waiting area

3. Special features Gauge/control placement Location, call when ready
                    Cellular phone, CD      Computer diagnostics
                    player
Examples of Quality Dimensions (Cont’d)

Dimension (Product)                                 (Service)
          Automobile                                Auto Repair
5. Reliability   Infrequency of breakdowns          Work done correctly,
                                                    ready when promised

6. Durability    Useful life in miles, resistance   Work holds up over
                 to rust & corrosion                time

7. Perceived     Top-rated car                      Award-winning service
   quality                                          department

8. Serviceability Handling of complaints and/or Handling of complaints
                  requests for information
Service Quality
•   Tangibles
•   Convenience
•   Reliability
•   Responsiveness
•   Time
•   Assurance
•   Courtesy


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Examples of Service Quality
Table 9.4

     Dimension           Examples
     1. Tangibles        Were the facilities clean, personnel neat?

     2. Convenience      Was the service center conveniently located?

     3. Responsiveness   Were customer service personnel willing and able
                         to answer questions?
     4. Time             How long did the customer wait?

     5. Assurance        Did the customer service personnel seem
                         knowledgeable about the repair?
     6. Courtesy         Were customer service personnel and the cashier
                         friendly and courteous?
Juran’s Quality trilogy (December 24, 1904 – February 28, 2008)
 Fitness for use
 Juran’s Trilogy
 Quality planning- The process of preparing to meet quality goals
 Quality control- to know when corrective action needed
 Quality improvement- better ways of doing the things
 Justifying the need for improvement
 Identifying specific projects and organizing support for projects
 Diagnosing causes and providing remedies
 Providing control mechanisms




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Costs of Quality

                        Quality Costs




   Control Costs                                               Failure Costs



Prevention         Appraisal                             Internal        External




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Costs of Quality
• Failure Costs - costs incurred by defective parts/products or
  faulty services.
• Internal Failure Costs
   –   Costs incurred to fix problems that are detected before the
       product/service is delivered to the customer.
• External Failure Costs
   –   All costs incurred to fix problems that are detected after the
       product/service is delivered to the customer.



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Costs of Quality (continued)

• Appraisal Costs
  –   Costs of activities designed to ensure quality or
      uncover defects
• Prevention Costs
  –   All TQ training, TQ planning, customer
      assessment, process control, and quality
      improvement costs to prevent defects from
      occurring




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The Cost of Quality: Sources of Costs
                                                      Training
                                                      Verification of Design
   Prevention
                                                      Plant and Equipment
      Preventing Defects from Happening               Maintenance
                                                      Qualifying Suppliers

                                                      Incoming materials Inspection
   Appraisal                                         In-process Inspection
      Evaluating Materials and Performance           Final End-item Inspection
                                                      Maintenance of test Equipment
                                                      Training

   Internal Failures
                                                      Scrap (waste)
       Defects that are Discovered In-House
                                                      Re-work
                                                      Time spent analyzing failures
                                                      Tests and re-tests
     External Failures
                                                             Customer Complaints
      Defects Discovered by the Customer
                                                           Warranty Costs and Field Re-Work
                                                           Damaged Image
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The Cost of Quality Distribution of the Costs



                                                (10.0%)
                                                  Prevention


Internal and External

      failures
                                                    (25.0%)
                 (65.0%)

                                                     Evaluation


Reduce Quality Costs by Increasing Prevention Efforts

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Deming’s 14 Points(October 14, 1900 – December 20, 1993)
Lower price
PDCA Cycle
Process improvement and SPC

 1. Create constancy of purpose
 2. Adopt philosophy of prevention
 3. Cease mass inspection
 4. Select a few suppliers based on quality( avoid price tag)
 5. Constantly improve system and workers
 6. Institute worker training
 7. Instil leadership among supervisors
 8. Eliminate fear among employees
 9. Eliminate barriers between departments, groups, staffs
10. Eliminate slogans or exhortation
11. Remove numerical quotas
12. Enhance worker pride
13. Institute vigorous training & education programs
14. Implement these 13 points https://www.facebook.com/ialwaysthinkpr
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Basic Quality Tools( 7QC’s)
1. Flowcharts
2. Check sheets
3. Histograms
4. Pareto Charts
5. Scatter diagrams
6. Control charts
7. Cause-and-effect diagrams




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Begin
A Flowchart
Catalog Cal                                 Customer places a call
                               Yes

              Call back                               Busy signal
                                  Yes
                    No                                                        No
                                             Specify desired item
               Lost sale
                               No

                      Alternate             No         Available
                      selection
                                                                        Yes
                               No             Confirm order
                          Lost sale

                                           Specify delivery instructions


                                           Indicate of payment method


                                                        End
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Pareto Analysis



80% of the      Frequency
problems may
be attributed                    80
                                 %
to 20% of the
causes.
                            Design            Assy. Purch.          Other
                                              Instruct.    Training
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Cause & Effect Diagram
                        ( Fish Bone Diagram)

It is a line diagram that helps understand the causes of quality
    issues & effect of those causes. It is a simple tool which
    resembles the shape of a fish’s bone & therefore also called the
    fish bone diagram.

It helps in discovering all possible causes for a particular effect.
    The effect examined is some troublesome aspect of product or
    service quality.




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Cause & Effect Diagram
             ( Fish Bone Diagram)

  COMMUNICATION                                           SKILLS




                                                                   Incorrect
                                                                   Deliveries


                                          Procedures
Transport


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Cause & Effect Diagram
                     ( Fish Bone Diagram)
                                                                 SKILLS
             COMMUNICATION
Packing                     Telephone
                                                                          Illiteracy
slip not                    orders not
                                                  Knowledge
legible                     recorded




                                                   Inconsistency in
                                                   manual                          Incorrect
  Incorrect                                                                        Deliveries
  database

                 Lack of
                 vehicles                                Procedures
           Transport


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SCATTER DIAGRAM
• It is figure which helps to visualize the relation
  between two variables. It helps determine the
  correlation between two charateristics. The
  relationship is expressed in terms of scattered
  points. It only helps in establishing the co-
  relation eg: The larger the variable X results in
  lesser Y


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Scatter Diagram

          12
          10
Defects




           8
           6
           4
           2
           0
               0              10                           20   30
                                Hours of Training
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CHECK SHEETS
The check sheets contains a number of cells
  corresponding to different data categories.
  The Data need not be necessarily be in
  numerical form. Check sheets may also
  contain drawings or design to check locations
  of failures.
The check sheet is a very simple tool that
  facilitates the conversion from data to useful
  information.

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Day
Defect   1               2                       3         4
A        III                                     IIIII     I
B        II              I                       II        III
C        IIIII           III                     II        IIII




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Control Charts
1020
                                                                                 UCL
1010
1000
 990
 980
                                                                                 LCL

 970
       0   1   2   3   4    5     6      7      8      9     10 11 12 13 14 15




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HISTOGRAM
Histogram is generally used to chart frequency
  of occurrence. It is a graphic representation of
  variation in a set of data.

A histogram is a graph in which the continuous
  variable is clustered into categories and the
  value of each cluster is plotted to give a series
  of bars.

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Histogram
Frequency




             Data Ranges


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The PDSA Cycle
                                        Plan



Act




                                                   Do


      Study
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The Deming Wheel (or P-D-C-A Cycle)



                            1. Plan
                       Identify problem
                       Develop plan for
                         improvement
      4. Act
                                                                  2. Do
Institutionalize
                                                             Implement plan
 improvement
                                                              on test basis
Continue cycle



                       3. Study / Check
                     Is the plan working

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Quality Circles
A group of employees whose assignment is to identify the
   problems , formulate solutions and present their results to the
   management with suggestions for implementation.
Support structure
Steering Committee
Facilitators
Circle member
Developing a QC Programme
1. Start-up
2. Initial problem solving
3. Approval of initial suggestions
4. Implementation
5. Expansion
Ex- BHEL, BEL,BFW, Kirloskar Electrical Co, L&T,
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Quality Function Deployment (QFD)


It is a method of developing a design quality aimed at satisfying
    the customer and then translating the customer ‘s demand into
    design targets and major quality assurance points to be used
    throughout the production phase
It is tool that helps organizations translate customer requirements
    into design, process planning and manufacturing specifications
    using four stage process


    Links
                 Links Design                Links actions to         Links
 Customer
                 attributes to              Implementation      implementation
 Needs to
                 actions firms                  decisions       to process plans
   design
                   can take
 attributes

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 Customer requirements
Enough space to sit and eat, less time during the peak hours, easy to
  carry home& quick order processing
 Importance
less time during the peak hours
 Product characteristics
Temperature of cooked item, time taken to cook the item
Order processing time, Thickness of packaging material, numbers of
  service counters in peak time, no of tables
 Relationship matrix
 Tradeoffs
++ Strong positive, -- strong negative,
 Benchmarks
 X Own company, A- Competitor, B- Competitor B
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 Technical assessment and target values
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Quality Management Systems
• A QMS can be defined as:
“A set of co-ordinated activities to direct and control an
  organization in order to continually improve the effectiveness
  and efficiency of its performance.”
 The benefits of a QMS
• The customers’ requirements – confidence in the ability of the
  organization to deliver the desired product and service
  consistently meeting their needs and expectations.
• The organization's requirements – both internally and externally,
  and at an optimum cost with efficient use of the available
  resources – materials, human, technology and information.



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Quality Management Systems


              A good QMS will:
•   Set direction and meet customers’ expectations
•   Improve process control
•   Reduce wastage
•   Lower costs
•   Increase market share
•   Facilitate training
•   Involve staff
•   Raise morale
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ISO 9000
• ISO 9000
  – Set of international standards on quality
    management and quality assurance, critical to
    international business




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ISO 9000 Standards

Requirements
• System requirements
• Management
• Resource
• Realization
• Remedial




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ISO 9000 Standards
Eight Quality management principles
1. A customer Focus
2. Leadership
3. Involvement of people
4. A process approach
5. A system approach to management
6. Continuous improvement
7. Use factual approach to decision making
8. Mutually beneficial supplier relationships
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Six Sigma
A business process for improving quality, reducing costs, and
  increasing customer satisfaction.
   – Sigma” is a statistical term which defines the level
     of Error Free Performance in a process related to
     services and or product deliveries, in an absolute
     numbers.
   – The higher the sigma value, a process will produce
     lesser and lesser defects.

• Statistically
   – Having no more than 3.4 defects per million
• Conceptually
   – Program designed to reduce defects
   – Requires the use of certain tools and techniques
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• SIX   SIGMA     MEANS
  PRODUCING,DELIVERING PRODUCT AND
  SERVICES AT A YIELD RATE AND
  CONFIDENCE LEVEL OF 99.9997%, Continuously.




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Defects per            YIELD
SIGMA LEVEL Million Oppotunities CONFIDENCE LEVEL


     6                  3.4                             99.9997%
     5                 233                               99.977%
     4                 6210                              99.379%
     3                66807                               93.32%
     2                308537                               69.2%
     1                690000                                 31%


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Six Sigma Team
•   Top management
•   Program champions
•   Master “black belts”
•   “Black belts”
•   “Green belts”




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Six Sigma Process
• Define
• Measure
• Analyze
• Improve                 DMAIC
• Control
Objectives
Reduce defects, costs, product and process
  variability, delivery time, improve the quality

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Quality Awards



Baldrige Award

  Deming Prize



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Quality Awards
• Instituted to create awareness and interest in
  quality.



• Award given annually to recognize firms that
  have integrated quality management in their
  operations.


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The Deming Prize
• Honoring W. Edwards Deming
• Japan’s highly coveted award
• Main focus on statistical quality control
• Deming prize established by the Japanese and awarded annually
  to firms that distinguishes themselves with quality management
  programs
• Major focus on SQC




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Deming Prize
                Winners from India
•   Five Companies belonging to TVS group
•   Three auto components companies
•   1998:
•   Sundaram Clayton Ltd- Breaks Division




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Baldrige Award
Baldrige Award annual award given by the U.S government to
  recognize quality achievements of US companies
National Institute of Standards and Technology
Purpose of the award to stimulate
 Efforts to improve quality
 To recognize quality achievements
 Publicize successful programs




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Malcolm Baldrige National Quality Award

• 1.0 Leadership (125 points)
• 2.0 Strategic Planning (85 points)
• 3.0 Customer and Market Focus (85 points)
• 4.0 Information and Analysis (85 points)
• 5.0 Human Resource Focus (85 points)
• 6.0 Process Management (85 points)
• 7.0 Business Results (450 points)
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Benefits of Baldrige Competition
•   Financial success
•   Winners share their knowledge
•   The process motivates employees
•   The process provides a well-designed quality system
•   The process requires obtaining data
•   The process provides feedback




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Quality Awards
• Malcom Balridge Award ( Only US companies)

• European quality award( Only European
  companies)

• Deming prize( No geographical restrictions)




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European Quality Award
• Prizes intended to identify role models
  – Leadership
  – Customer focus
  – Corporate social responsibility
  – People development and involvement
  – Results orientation




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Components of Product Quality
               Control
1. Careful consideration of product design
   specification.
2. Adequate inspection procedures for
   manufactured or assembled products.
3. Acceptance procedures for purchased raw
   materials & material parts.
4. Control practices to maintain quality levels in
   the process stage.
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5.Commitment from all levels of management
  towards quality.

6.Formulation of quality assurance procedures




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Objectives of Quality Control
1.   Increase Sales Volume
2.   Increased profits
3.   Improving the company image
4.   Improving the production system
5.   Better procurement of materials
6.   Reduce the cost of inspection & losses


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Quality

  • 1. Quality Protocals Rajendran Ananda Krishnan https://www.facebook.com/ialwaysthinkpr ettythings
  • 2. • Quality is the ability of a product or service to consistently meet or exceed customer expectations • Degree to which performance of a product or service meets or exceeds customer expectation https://www.facebook.com/ialwaysthinkpr ettythings
  • 3. Conformance to specifications Fulfilling Customer Needs Definition of quality focuses not merely on the manufacturing process but also on the process of arriving at the specifications. Ness Fitness to use Zero defects https://www.facebook.com/ialwaysthinkpr ettythings
  • 4. Dimensions of Quality Performance - main characteristics of the product/service Aesthetics - appearance, feel, smell, taste Conformance - how well product/service conforms to customer’s expectations Reliability - consistency of performance Features- Additional attributes to enhance the quality Durability- How long the product lasts before it requires the replacement Serviceability- The ease with which the product can be serviced Safety- Assurance to the customer that there are no hazards https://www.facebook.com/ialwaysthinkpr ettythings
  • 5. Examples of Quality Dimensions Dimension (Product) (Service) Automobile Auto Repair 1. Performance Everything works, fit & All work done, at agreed finish price Ride, handling, grade of Friendliness, courtesy, materials used Competency, quickness 2. Aesthetics Interior design, soft touch Clean work/waiting area 3. Special features Gauge/control placement Location, call when ready Cellular phone, CD Computer diagnostics player
  • 6. Examples of Quality Dimensions (Cont’d) Dimension (Product) (Service) Automobile Auto Repair 5. Reliability Infrequency of breakdowns Work done correctly, ready when promised 6. Durability Useful life in miles, resistance Work holds up over to rust & corrosion time 7. Perceived Top-rated car Award-winning service quality department 8. Serviceability Handling of complaints and/or Handling of complaints requests for information
  • 7. Service Quality • Tangibles • Convenience • Reliability • Responsiveness • Time • Assurance • Courtesy https://www.facebook.com/ialwaysthinkpr ettythings
  • 8. Examples of Service Quality Table 9.4 Dimension Examples 1. Tangibles Were the facilities clean, personnel neat? 2. Convenience Was the service center conveniently located? 3. Responsiveness Were customer service personnel willing and able to answer questions? 4. Time How long did the customer wait? 5. Assurance Did the customer service personnel seem knowledgeable about the repair? 6. Courtesy Were customer service personnel and the cashier friendly and courteous?
  • 9. Juran’s Quality trilogy (December 24, 1904 – February 28, 2008)  Fitness for use  Juran’s Trilogy  Quality planning- The process of preparing to meet quality goals  Quality control- to know when corrective action needed  Quality improvement- better ways of doing the things  Justifying the need for improvement  Identifying specific projects and organizing support for projects  Diagnosing causes and providing remedies  Providing control mechanisms https://www.facebook.com/ialwaysthinkpr ettythings
  • 10. Costs of Quality Quality Costs Control Costs Failure Costs Prevention Appraisal Internal External https://www.facebook.com/ialwaysthinkpr ettythings
  • 11. Costs of Quality • Failure Costs - costs incurred by defective parts/products or faulty services. • Internal Failure Costs – Costs incurred to fix problems that are detected before the product/service is delivered to the customer. • External Failure Costs – All costs incurred to fix problems that are detected after the product/service is delivered to the customer. https://www.facebook.com/ialwaysthinkpr ettythings
  • 12. Costs of Quality (continued) • Appraisal Costs – Costs of activities designed to ensure quality or uncover defects • Prevention Costs – All TQ training, TQ planning, customer assessment, process control, and quality improvement costs to prevent defects from occurring https://www.facebook.com/ialwaysthinkpr ettythings
  • 13. The Cost of Quality: Sources of Costs  Training  Verification of Design  Prevention  Plant and Equipment  Preventing Defects from Happening Maintenance  Qualifying Suppliers  Incoming materials Inspection  Appraisal  In-process Inspection  Evaluating Materials and Performance  Final End-item Inspection  Maintenance of test Equipment  Training  Internal Failures  Scrap (waste)  Defects that are Discovered In-House  Re-work  Time spent analyzing failures  Tests and re-tests External Failures  Customer Complaints  Defects Discovered by the Customer  Warranty Costs and Field Re-Work  Damaged Image https://www.facebook.com/ialwaysthinkpr ettythings
  • 14. The Cost of Quality Distribution of the Costs (10.0%) Prevention Internal and External failures (25.0%) (65.0%) Evaluation Reduce Quality Costs by Increasing Prevention Efforts https://www.facebook.com/ialwaysthinkpr ettythings
  • 15. Deming’s 14 Points(October 14, 1900 – December 20, 1993) Lower price PDCA Cycle Process improvement and SPC 1. Create constancy of purpose 2. Adopt philosophy of prevention 3. Cease mass inspection 4. Select a few suppliers based on quality( avoid price tag) 5. Constantly improve system and workers 6. Institute worker training 7. Instil leadership among supervisors 8. Eliminate fear among employees 9. Eliminate barriers between departments, groups, staffs 10. Eliminate slogans or exhortation 11. Remove numerical quotas 12. Enhance worker pride 13. Institute vigorous training & education programs 14. Implement these 13 points https://www.facebook.com/ialwaysthinkpr ettythings
  • 16. Basic Quality Tools( 7QC’s) 1. Flowcharts 2. Check sheets 3. Histograms 4. Pareto Charts 5. Scatter diagrams 6. Control charts 7. Cause-and-effect diagrams https://www.facebook.com/ialwaysthinkpr ettythings
  • 17. Begin A Flowchart Catalog Cal Customer places a call Yes Call back Busy signal Yes No No Specify desired item Lost sale No Alternate No Available selection Yes No Confirm order Lost sale Specify delivery instructions Indicate of payment method End https://www.facebook.com/ialwaysthinkpr ettythings
  • 18. Pareto Analysis 80% of the Frequency problems may be attributed 80 % to 20% of the causes. Design Assy. Purch. Other Instruct. Training https://www.facebook.com/ialwaysthinkpr ettythings 12
  • 19. Cause & Effect Diagram ( Fish Bone Diagram) It is a line diagram that helps understand the causes of quality issues & effect of those causes. It is a simple tool which resembles the shape of a fish’s bone & therefore also called the fish bone diagram. It helps in discovering all possible causes for a particular effect. The effect examined is some troublesome aspect of product or service quality. https://www.facebook.com/ialwaysthinkpr ettythings
  • 20. Cause & Effect Diagram ( Fish Bone Diagram) COMMUNICATION SKILLS Incorrect Deliveries Procedures Transport https://www.facebook.com/ialwaysthinkpr ettythings
  • 21. Cause & Effect Diagram ( Fish Bone Diagram) SKILLS COMMUNICATION Packing Telephone Illiteracy slip not orders not Knowledge legible recorded Inconsistency in manual Incorrect Incorrect Deliveries database Lack of vehicles Procedures Transport https://www.facebook.com/ialwaysthinkpr ettythings
  • 22. SCATTER DIAGRAM • It is figure which helps to visualize the relation between two variables. It helps determine the correlation between two charateristics. The relationship is expressed in terms of scattered points. It only helps in establishing the co- relation eg: The larger the variable X results in lesser Y https://www.facebook.com/ialwaysthinkpr ettythings
  • 23. Scatter Diagram 12 10 Defects 8 6 4 2 0 0 10 20 30 Hours of Training https://www.facebook.com/ialwaysthinkpr ettythings 15
  • 24. CHECK SHEETS The check sheets contains a number of cells corresponding to different data categories. The Data need not be necessarily be in numerical form. Check sheets may also contain drawings or design to check locations of failures. The check sheet is a very simple tool that facilitates the conversion from data to useful information. https://www.facebook.com/ialwaysthinkpr ettythings
  • 25. Day Defect 1 2 3 4 A III IIIII I B II I II III C IIIII III II IIII https://www.facebook.com/ialwaysthinkpr ettythings
  • 26. Control Charts 1020 UCL 1010 1000 990 980 LCL 970 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 https://www.facebook.com/ialwaysthinkpr ettythings 18
  • 27. HISTOGRAM Histogram is generally used to chart frequency of occurrence. It is a graphic representation of variation in a set of data. A histogram is a graph in which the continuous variable is clustered into categories and the value of each cluster is plotted to give a series of bars. https://www.facebook.com/ialwaysthinkpr ettythings
  • 28. Histogram Frequency Data Ranges https://www.facebook.com/ialwaysthinkpr ettythings 14
  • 29. The PDSA Cycle Plan Act Do Study https://www.facebook.com/ialwaysthinkpr ettythings
  • 30. The Deming Wheel (or P-D-C-A Cycle) 1. Plan Identify problem Develop plan for improvement 4. Act 2. Do Institutionalize Implement plan improvement on test basis Continue cycle 3. Study / Check Is the plan working https://www.facebook.com/ialwaysthinkpr ettythings
  • 31. Quality Circles A group of employees whose assignment is to identify the problems , formulate solutions and present their results to the management with suggestions for implementation. Support structure Steering Committee Facilitators Circle member Developing a QC Programme 1. Start-up 2. Initial problem solving 3. Approval of initial suggestions 4. Implementation 5. Expansion Ex- BHEL, BEL,BFW, Kirloskar Electrical Co, L&T, https://www.facebook.com/ialwaysthinkpr Durgapuar Steel plant ettythings
  • 32. Quality Function Deployment (QFD) It is a method of developing a design quality aimed at satisfying the customer and then translating the customer ‘s demand into design targets and major quality assurance points to be used throughout the production phase It is tool that helps organizations translate customer requirements into design, process planning and manufacturing specifications using four stage process Links Links Design Links actions to Links Customer attributes to Implementation implementation Needs to actions firms decisions to process plans design can take attributes https://www.facebook.com/ialwaysthinkpr ettythings
  • 33.  Customer requirements Enough space to sit and eat, less time during the peak hours, easy to carry home& quick order processing  Importance less time during the peak hours  Product characteristics Temperature of cooked item, time taken to cook the item Order processing time, Thickness of packaging material, numbers of service counters in peak time, no of tables  Relationship matrix  Tradeoffs ++ Strong positive, -- strong negative,  Benchmarks  X Own company, A- Competitor, B- Competitor B https://www.facebook.com/ialwaysthinkpr  Technical assessment and target values ettythings
  • 34. Quality Management Systems • A QMS can be defined as: “A set of co-ordinated activities to direct and control an organization in order to continually improve the effectiveness and efficiency of its performance.” The benefits of a QMS • The customers’ requirements – confidence in the ability of the organization to deliver the desired product and service consistently meeting their needs and expectations. • The organization's requirements – both internally and externally, and at an optimum cost with efficient use of the available resources – materials, human, technology and information. https://www.facebook.com/ialwaysthinkpr ettythings
  • 35. Quality Management Systems A good QMS will: • Set direction and meet customers’ expectations • Improve process control • Reduce wastage • Lower costs • Increase market share • Facilitate training • Involve staff • Raise morale https://www.facebook.com/ialwaysthinkpr ettythings
  • 36. ISO 9000 • ISO 9000 – Set of international standards on quality management and quality assurance, critical to international business https://www.facebook.com/ialwaysthinkpr ettythings
  • 37. ISO 9000 Standards Requirements • System requirements • Management • Resource • Realization • Remedial https://www.facebook.com/ialwaysthinkpr ettythings
  • 38. ISO 9000 Standards Eight Quality management principles 1. A customer Focus 2. Leadership 3. Involvement of people 4. A process approach 5. A system approach to management 6. Continuous improvement 7. Use factual approach to decision making 8. Mutually beneficial supplier relationships https://www.facebook.com/ialwaysthinkpr ettythings
  • 39. Six Sigma A business process for improving quality, reducing costs, and increasing customer satisfaction. – Sigma” is a statistical term which defines the level of Error Free Performance in a process related to services and or product deliveries, in an absolute numbers. – The higher the sigma value, a process will produce lesser and lesser defects. • Statistically – Having no more than 3.4 defects per million • Conceptually – Program designed to reduce defects – Requires the use of certain tools and techniques https://www.facebook.com/ialwaysthinkpr ettythings
  • 40. • SIX SIGMA MEANS PRODUCING,DELIVERING PRODUCT AND SERVICES AT A YIELD RATE AND CONFIDENCE LEVEL OF 99.9997%, Continuously. https://www.facebook.com/ialwaysthinkpr ettythings
  • 41. Defects per YIELD SIGMA LEVEL Million Oppotunities CONFIDENCE LEVEL 6 3.4 99.9997% 5 233 99.977% 4 6210 99.379% 3 66807 93.32% 2 308537 69.2% 1 690000 31% https://www.facebook.com/ialwaysthinkpr ettythings
  • 43. Six Sigma Team • Top management • Program champions • Master “black belts” • “Black belts” • “Green belts” https://www.facebook.com/ialwaysthinkpr ettythings
  • 44. Six Sigma Process • Define • Measure • Analyze • Improve DMAIC • Control Objectives Reduce defects, costs, product and process variability, delivery time, improve the quality https://www.facebook.com/ialwaysthinkpr ettythings
  • 45. Quality Awards Baldrige Award Deming Prize https://www.facebook.com/ialwaysthinkpr ettythings
  • 46. Quality Awards • Instituted to create awareness and interest in quality. • Award given annually to recognize firms that have integrated quality management in their operations. https://www.facebook.com/ialwaysthinkpr ettythings
  • 47. The Deming Prize • Honoring W. Edwards Deming • Japan’s highly coveted award • Main focus on statistical quality control • Deming prize established by the Japanese and awarded annually to firms that distinguishes themselves with quality management programs • Major focus on SQC https://www.facebook.com/ialwaysthinkpr ettythings
  • 48. Deming Prize Winners from India • Five Companies belonging to TVS group • Three auto components companies • 1998: • Sundaram Clayton Ltd- Breaks Division https://www.facebook.com/ialwaysthinkpr ettythings
  • 49. Baldrige Award Baldrige Award annual award given by the U.S government to recognize quality achievements of US companies National Institute of Standards and Technology Purpose of the award to stimulate  Efforts to improve quality  To recognize quality achievements  Publicize successful programs https://www.facebook.com/ialwaysthinkpr ettythings
  • 50. Malcolm Baldrige National Quality Award • 1.0 Leadership (125 points) • 2.0 Strategic Planning (85 points) • 3.0 Customer and Market Focus (85 points) • 4.0 Information and Analysis (85 points) • 5.0 Human Resource Focus (85 points) • 6.0 Process Management (85 points) • 7.0 Business Results (450 points) https://www.facebook.com/ialwaysthinkpr ettythings
  • 51. Benefits of Baldrige Competition • Financial success • Winners share their knowledge • The process motivates employees • The process provides a well-designed quality system • The process requires obtaining data • The process provides feedback https://www.facebook.com/ialwaysthinkpr ettythings
  • 52. Quality Awards • Malcom Balridge Award ( Only US companies) • European quality award( Only European companies) • Deming prize( No geographical restrictions) https://www.facebook.com/ialwaysthinkpr ettythings
  • 53. European Quality Award • Prizes intended to identify role models – Leadership – Customer focus – Corporate social responsibility – People development and involvement – Results orientation https://www.facebook.com/ialwaysthinkpr ettythings
  • 54. Components of Product Quality Control 1. Careful consideration of product design specification. 2. Adequate inspection procedures for manufactured or assembled products. 3. Acceptance procedures for purchased raw materials & material parts. 4. Control practices to maintain quality levels in the process stage. https://www.facebook.com/ialwaysthinkpr ettythings
  • 55. 5.Commitment from all levels of management towards quality. 6.Formulation of quality assurance procedures https://www.facebook.com/ialwaysthinkpr ettythings
  • 56. Objectives of Quality Control 1. Increase Sales Volume 2. Increased profits 3. Improving the company image 4. Improving the production system 5. Better procurement of materials 6. Reduce the cost of inspection & losses https://www.facebook.com/ialwaysthinkpr ettythings