JPM TQM Course Materials-5 MBA T-4 18 Aug 2014

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    # SEVEN TOOLS OF QUALITY CONTROLSeven Tools for identifying Quality problems and their causes for solution &

    improvement :

    1) Check Sheet : A fact finding tool for collectionof in format ion & dataof

    the measure of variationsand count the number of defectivesby type(datasheet may be in the form of SPREAD SHEETSarranging data recorded in matrixform). The purpose :

    i) recordingand keeping track with respect to previous lots

    ii) providing a record of f requencyof quality problem

    iii) showing where quality problem occurred,

    (for quality problem identification and analysis).

    2) Stratification :A technique of arranging the collected observations /meas

    ured data in different groups, based on segregated CAUSES, like

    (i) RAW MATERIALS: a) Supplier-wise

    b) Supply Batch-wise

    (ii) PRODUCTION : a) Machine-wise

    b) Operator-wise

    c) Shift-wise or batch-wise

    (ii) PROCESS : a) Operation-wise (Work-Center wise)

    b) Work Center-wise

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    SEVEN TOOLS OF QUALITY CONTROL

    3) Scatter Diagram :A two variables graph, plotting of measurements ofthe dependable variable of the process (quality characteristic) on Y -axis against

    an independent process variable like MEASUREMENTSof job/item, Cutt ing

    Speed, Depth o f Cut, etc (on X -axis), to establish the nature of variation of thecurve, showing co-relationbetween the two variables. The co-relation may be :

    i) Positive Co-relation:increase of dependable variable (quality characteristic)

    on Y-axis caused by increase of independent variable on X-axis, ie Upward.

    ii) Negative Co-relation:decrease of dependable variable (quality characteristic)

    on Y-axis caused by increase of independent variable on X-axis, ie Downward.iii) Zero Co-relation: No change of dependable variable (quality characteristic)

    on Y-axis caused by any variation of independent variable on X-axis, ie II to

    X-axis. [Independent variable, X : cutting speed, skill, etc]

    .

    .

    . .

    ..

    .

    ..

    .

    ... . . .. .

    ..

    Quality QualityQuality

    X X X

    Positive Co-relation Ne

    gative Co-relation

    Zero Co-relation

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    SEVEN TOOLS OF QUALITY CONTROL

    4) CONTROL CHARTS: Showing sample measurements of various lots with respect toCentral Line (CL), Upper Control Limit (UCL) and Lower Control Limit (LCL), and by UNTL&

    USL and LNTL& LSL, Run Test, Chart Sensitivity Test, Run Sum Test, Cpk, etc.

    5) Histogram :To analyze (i) How wellthe histogram is centered,(ii) How widethe histogram is, and

    (iii) Shape of the histogram : whether NORMAL FREQUENCY

    distributionor not.

    6) Pareto Chart : To determine the most f requent ly occu rr ing problems/ defectsaccording to their Causat ive Impo rtance(Cause of defect / rejection / failure).

    The hierarchy of the Causative factorsfor the Quality failuremakes it easier to tacklethem in same order. So, the most frequent Causative Factor/s are identified and separated

    from the less frequent Causative Factors.

    Pareto Charts are created by plotting the cumulative frequency data of the relat ive

    frequencies arranged in descendin g order.

    1

    23

    5

    4

    6 7

    64%

    5%

    3%

    2%1%

    16%9%

    1,2,3,4,5,6,7 are causative factors or type of failure.

    1 + 2 = 64% + 16% = 80%

    3 + 4 + 5 + 6 +7 = 9% + 5% + 3% + 2% + 1% = 20%

    Type/CAUSE OF REJECTION/defect

    FREQUENCY OF FAILURE

    dimension

    frequency

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    SEVEN TOOLS OF QUALITY CONTROL

    7) CAUSE & EFFECT ANALYSIS :

    Steps :

    i) Define problem,

    ii) Select method of analysis, like

    Ishikawa FISH BONEAnalysis, FTA, FMEA, Brain-Storming(with

    the team of representatives from engineering dept, production dept,inspectiondept,etc. and also Why Why Analysis to find rootcause),

    iii) Draw Fish Bone structurewith prime Arrows,

    iv) Specify major categoriesof possible sources contributing to theproblem, eg Manpower/skill, Material, Machine/equipment, Method

    /process, Measurement, Environment, Culture, etc.,

    v) Identify possible causes, under each category of problem source,

    vi) EstablishCausal Relation sof each cause

    vii) Analyze forfinding Root Causes,

    viii)suggest corrective actionin each category of problem,

    ix) Test the realityin each suggested remedial step and modifythe

    corrective actionif needed.

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    House PaintingPeeling

    Material Method

    Machine /

    EquipmentEnvironment

    Dirtin mix

    Wrong type

    Contaminated

    Cheap quality

    Too thinlayer

    Too thicklayer

    Paint on dirty(un-cleaned) surface

    Wrong methodof paint application

    Unlearned Brush

    Used/oldBrush

    Brush with Bad bristle Air Pollution

    High Temperature

    High Humidity

    Acid RainWrongBrush

    FISH BONEDIAGRAM for House Painting Peeling

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    ASSIGNMENTS :

    Make Cause & Effect Analysis with the help of Ishikawa Fish Bone

    Diagram, for

    1. Non-conformance of Shaft diameter in production shop.

    2. Delayed flight departures.

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    BRAIN STORMINGIt is the systematic process of idea generation, with the objective :

    to uncover (open) the hidden quality issues and

    to help coming up of new innovative and effective ideas,

    (i) for solving quality problems / issues as well as

    (ii) for quality improvement,

    from the participating employees (workers, engineers, supervisors, experts, etc)of the organization.

    In Brainstorming process, an open discussion is taken up among the selectedparticipants / members (say, workers) under the leadership of the

    Supervisor, whose role is as a FACILITATOR.

    Steps & characteristics of Brainstorming process,

    1. At the first step, the quality problemor quality issue is identified.2. Each individual member of the brainstorming group can suggest an

    idea, one by one, relating to solve the quality problemor for qualityimprovement, related to the issue under consideration.

    3. If any member has no new idea, he /she may pass.

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    4. No CRITICISMis permittedand members are encouragedto generate

    new and innovative idea without any fearand hesitation.

    5. The idea must be NEW and UNEXPOSEDso far and not in use in

    existing system.6. WILD IDEASare not neglectedand not discouraged. They are

    recorded, because they may tr igger other good ideas from som ebody

    else.

    7. The Facilitator writes down each and every new ideaonthe BLACK

    BOARDfor discussions on it, so that every one can see it and thinkover it, and discuss on it.

    8. Detail & freediscussions on the proposed idea is encouraged on its

    (i) effectiveness, (ii) implementation procedure, (iii) ability to

    solve the problemunder consideration, (iv) difficulties in

    implementation, (v) all positive & negative features as well asside-effects.

    9. Any modification of the ideafor the bettermentand more effectiveness

    is also encouragedin the discussion.

    10. The PROCESS CONTINUES UNTIL no further new idea is coming up.

    11. The BEST IDEA is recommended for consideration.

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    ROOT CAUSE ANALYSIS

    Long term relief from any quality problem can be achieved by eliminating the

    ROOT CAUSE of the problem and not by eliminating only the symptomsof

    the problem (which is temporary remedy).When any quality problem is located or identified, immediately Root Cause

    Analysis should be taken up to locate the source of the quality failure or quality

    problem, ie the Root Cause leading to the quality failure, so that the Root

    Cause can be rectified to stop / prevent the further occurrence of such quality

    failure.By Root Cause Analysis, locating and eliminating the Root Causes leads to the

    long term relief from generating poor quality can be achieved.

    Various methods / techniques of Root Cause Analysis are

    (i) WhyWhy or 5Why .

    (ii) Ishikawa - Fish Bone Diagram.

    (iii) Failure Mode & Effect Analysis (FMEA)

    (iv) Fault Tree Analysis (FTA)

    5 WHY (Wh Wh ) M th d

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    5WHY (WhyWhy) MethodIt is one of the useful methods of Root Cause Analysis. Proceeding towards root causeby consecutively asking WHY at each stage of occurrence, atleast 5 times.

    In a classic example of this method used in Toyota Motors, a machine repeatedlyfai led because the fuse blew.

    Replacing the fuse would have been one solution obviously, however very temporaryone and in that case the failure might continue to repeat frequently, if the rootcausebehind such fuse blow was not identified and rectified.

    So, Toyota applied the 5 Why technique to solve it and find the permanent solution.

    First WHY: Why did the Fuse blow?

    because the machine shaft got jammedand motor drew morepower and current.

    Second WHY: Why did the machine shaft get jammed?because the BEARINGof the machine shaft did not have

    adequate lubrication.

    ThirdWHY : Why did the bearing have not adequate lubrication?

    because the lubrication pumpwas not working properly.

    FourthWHY : Why the lubrication Pump did not work properly?

    because the axle of the lubrication pump was worn out.FifthWHY : Why was the pump axle worn out?

    because sludge (inlet lubricating oil contaminated withparticulate matter ie solid fines) seeped intothe pump axle.

    THIS WAS THE ROOT CAUSE.

    Toyota attached aFILTER (STRAINER)at theinlet of the lubrication pumpto

    prevent sludge seeping into the pump axle, and obviously the problem of themachine failure was solved instantaneously for long term.

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    Quality

    Management

    System (QMS)&

    Quality Assurance

    Focus : ISO - 9001 ISO

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    ISO : International Standard Organization

    ISO9000 : Standard forQuality Management System & QualityAssurance [First ISO9000 was edited in 1993, next updating & revisionin 2000 followed by versions in 2004 and 2008] It is the standard for theOrganization having the required Quality Management System, but not the

    standard of the Products.[ ISO9000 was equivalent to ANSI / ASQCQ 90 (US version]

    ISO9000 :Guide line for selection and use.

    ISO9001 :Models for Quality Assurance in design & developmentalong with Production, Installation and Services.

    ISO9002 :Models of Quality Management System for QualityAssurance in Production, Installation and Services.

    ISO9003 : Models for Final Inspection, Auditing and Testing forQuality Assurance.

    ISO9004 : Guide line to Managers to build their QMS for effective

    Quality Management.[ From 2000 version, ISO9001 and ISO9002 have been merged tosingle one ISO9001, which is applicable to all industries of Productionincluding manufacturing and services, with or without design anddevelopment.

    Now, the latest versionof ISO-9001 is 2008.ISO 9001 certification is a step to (a tool of) TQM.]

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    [ Being closely related to ASQC(American Society for Quality Control)

    RAB (Registrar Accreditation Board) is the controlling authorities, for theaccreditation (approval) & registration/empanelment of the REGISTRARs forissuing the certification of ISO-9000.]

    First Party : Supplier / producerorganization seeking Certificate for Compliancewith ISO9001, for Quality Assurance and total Customer Satisfaction.

    Second Party : The REGISTRARs who are CERTIFICATE issuing authorities,after conducting appropriate assessment (through Audit by Lead Auditors)of existing Quality Management System of the certification-seekingorganization (supplier / Producer) to assure that its Quality Management

    System is indeed in compliance with appropriate standard (ISO-9001) topositively achieve the specified quality and reliability of their products.

    Third Party : The LEAD AUDITORs, theAuditorsempanelled and registered withRAB who conduct the QMS Audit on behalf of the Registrar.

    Organizations which may require to have ISO9001 certification :

    a) Manufacturing Industries: Automobile, Metal, Minerals, Fabrication &

    Machining, Assembly line, Process (Chemicals, Petro-chemical, Paints,Pharmaceutical, Food, Pharmaceuticals) , Electronic goods, Consumergoods, Leather, Furniture, etc.

    b) Service Industries: Educational Service (Schools and colleges); MedicalUnits (Clinic, Nursing home, Hospital); IT; Accounting & Auditing; FinancialServices; Hotels; Restaurants; 3PL & 4PL; Consultancy; Retail Outlets;Communication Network Service; Postal; Courier; Transport (Roadway;

    Railway; Airlines; Shipping); Construction; Repair & Maintenance, Security,etc.

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    Organizations which may require to have ISO9001 certification :

    a) Manufacturing Industries: Automobile, Metal, Minerals, Fabrication

    & Machining, Assembly line, Process (Chemicals, Petro-chemical,

    Paints, Pharmaceutical, Food, Pharmaceuticals) , Electronic goods,

    Consumer goods, Leather, Furniture, etc.

    a) Service Industries: Educational Service (Schools and colleges);

    Medical Units (Clinic, Nursing home, Hospital); IT; Accounting &

    Auditing; Financial Services; Hotels; Restaurants; 3PL & 4PL;

    Consultancy; Retail Outlets; Communication Network Service;

    Postal; Courier; Transport (Roadway; Railway; Airlines; Shipping);

    Construction; Repair & Maintenance, Security, etc.

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    (Registrar Accreditation Board)

    R A B

    Registrars Certified Lead -Auditors

    Employ (4)

    Accredits & registers/empanels Empanels

    Supplier / Producer

    / service Provider

    Audit/

    Inspection (5)

    Compliance Report(6)Issue ISO-9001

    Certificate(7)

    Consumer /

    Customer

    Quality Assurance of

    the Products

    Cert i f icat ion Relat ionsh ip Diagram

    Applies for Certification (3)

    ISO 9001 Consultant

    Employ(1) Consultancy(2)

    B fit f h i ISO 9001 C tifi ti

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    Benefits of having ISO9001 Certification

    1) Improves business-COMPETITIVENESS in the market.

    2) ImprovestheIMAGE(goodwill) and the CREDIBILITY of the

    Organization in the market by Ass ur ing the Qual i ty of prod uct ion.3) ImprovesCONFIDENCEof the organization through Q M S

    4) Improves PROFITABILITY of the organization by improvingeconomy of production by reducing:

    i) Quality Rejections

    ii) Scraps generation

    iii) Wastes.

    5) Improves PRODUCTIVITY by Eff ic ient Uti l izat ion of inpu t Resources

    (materials, manpower, machines, utilities, infrastructure, etc) .

    6) Easy and PROMPT IDENTIFICATION & RECTIFICATION OF FAULT(ifany) by pin po int ing the respo nsib i l i t ies and accountabi l i t iesof all

    employees at all levels, through systematic and thoroughdocumentation.

    7) COMPLIANCE to Quality target and specification of productis assured.

    St t d tti ISO 9001 C tifi ti

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    Steps towards getting ISO9001 Certification1. Take decisionfor ISO9001 Certification ( decide onwhat business,

    which unit/s orbranch, etc).

    2. Select and employ CONSULTANT for assistance (if required).

    3. Select RAB accredited REGISTRAR(who will issue theCertificate), at the advice of the employed Consultant.

    4. Select MR(Management Representative)for the organization, withconsultation with the employed Consultant.

    5. Conduct extensive Quality Awareness programme and Quality

    Training programmeamong all the employees related in theorganization, particularly in that unit or branch of the company,including the management & executive staff, and employees at alllevels top to bottom.

    6. Select RepresentativesforInternal Audit of Quality

    Management System, for all the branches and departments of theorganization, with consultation with the employed Consultant.

    7. Prepare, establish and maintain the Documentations for QMS.

    8. Train upall the personnel withthe Documentations and maintenanceof the Forms & Formats.

    9. Maintain (with strict discipline) such Quality Management System(QMS).

    10 C d t INTERNAL AUDIT (i l di d t t l dit d

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    10. Conduct INTERNAL AUDIT(including departmental audit andover all audit).

    11. Rectify all defectsand non-conformances / non-compliances.

    12. Apply to the selected REGISTRARfor audit & Certificationandaccordingly INVITE thecertifiedLEAD AUDITORfor audit.

    13. Conducta number of MOCK AUDIT, and each time rectify all thenon-conformances and re-audit, before the Third Party Audit.

    14. Third Party Audit (TPA) is conduc ted by the LEAD AUDITOR.Rectify the non-Compliances found in a Third Party Audit and invitethe Lead Auditor for re-audit.

    Such Third Party audit & re-audit may continue a number of times.

    10. Finally in Third Party Audit, there should n ot be any non -com pl ianceso that the Lead Auditor must be satisfied to recommendto theaccredited REGISTRAR for issuing the Certificate.

    11. The accredited Registrarthen issuesISO-9001 certificate.

    12. The Certificate is VALIDfor some DEFINED PERIOD of time, afterwhich renewal must be applied forand there after the Third PartyAudit is again done in the same way by certified Lead Auditor beforerenewed Certificate is issued.

    13. Accredited Registrar has the right to inspectand RE-AUDITwithout notice at any time in the validity period of the runningCertificate and to cancel the Certificate if non-compliance is found.

    DOCUMENTATIONS

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    DOCUMENTATIONS : for ISO-9001 Certification1. QUALITY MANUAL :Open Documentcontaining : (1) Quality Policy

    and (2) Assured Quality Performance(Quality target), (3) overall

    detailsfor Quality Management System.

    2. PROCEDURES :Confidential Document containing :(1) Details of PROCEDURESof quality maintenance and appraisal &

    (2) GUIDELINESto each individual, each work-unit and each

    department, to maintain Quality System for achieving assured

    quality .

    This is fully document-based.

    The standard specifies that the organization shall issue and maintain

    the following six documented procedures:

    1. Control of Documents (4.2.3)

    2. Control of Records (4.2.4)3. Internal Audits (8.2.2)

    4. Control of Non-conforming Product / Service (8.3)

    5. Corrective Action (8.5.2)

    6. Preventive Action (8.5.3)

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    QUALITY

    B E N C H M A R K I N G

    QUALITY B E N C H M A R K I N G

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    QUALITY B E N C H M A R K I N G# BENCHMARKINGis the cont inuousandsystemat icprocess of

    (a)Measuring / evaluatingthe BEST PRACTICESfor achieving high Quality/performancewrt (i) PRODUCTS, (ii) Business Process, (iii) Working Procedure, ofthe TARGET ORGANIZATIONSwhich are recognized as industry-LEADERS, and

    (b) Identifying the GAPS betweensuchBEST PRACTICES&EXISTINGPRACTICESin the own business,

    (c)(based on that,) Establishingthe rational performance GOALSin ADOPTINGSUCH BEST PRACTICES, in the concerned business.

    for improving the business performanceCONTINUOUSLY by learningf rom the busin ess leaders,

    [ It is the on-going practice of measurementofrelative performance of theself against industry leaders, in thekey process areas.

    It is to search for the best practicesthat will lead to superior performance.]

    # TARGET ORGANIZATIONin Benchmarking, can be any of the

    followings :1. World classBUSINESS LEADERof any industry.

    2. BUSINESS LEADERofany industry in the country.

    3. BUSINESS LEADER in thesame industry.

    4. POTENTIAL COMPETITORS in the same industry.

    5. INTERNALLY (improving with respect to present self performance

    assessment)

    AREAS OF BENCHMARKING

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    AREAS OF BENCHMARKING1. COMPETITIVE BENCHMARK ING on

    i) Products: Pricing, features& Quality(Performance characteristicsand other quality characteristics)

    ii) Process & Technology

    iii) Work-procedure in Production, Packing, Quality Control, Logistics& Supply Chain, Maintenance, etc.

    iv Business Performance

    v) Customer Service

    2. WORKING-PROCESS BENCHMARKING

    It includes best practicesand key business processor workingprocesses like Distribution, Order-entry, Procurement, Order-processing, Training & Development,etc.

    3. STRATEGIC BENCHMARK ING

    It includes the Order Winning Strategy adopted by the successfulcompetitors to have their competitive advantage over the others.

    Benchmarking Steps :

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    Benchmarking Steps :1) Planning: i) IdentifytheNEEDand decide theAREA of benchmarking.

    ii) Identifythe target (best-in-class) organization ie FOCUSorganization.

    iii) Developa PROJECT PLANfor benchmarking and determine

    theSCOPE & OBJECTIVES2) Analysis:iv) DetermineDATA COLLECTION METHOD.

    v) Collect DATAon focus organizationsas well as ownorganization.

    vi) Compare and analyze DATA to determinethe currentPERFORMANCE GAPS, and develop recommendations.

    3) Integration:vii) Project theFUTURE performance level.

    viii) Communicate the BENCHMARK FINDINGStogainACCEPTANCEfrom all relevant departments and fromall levels.

    4) Act ion: ix) Establish FUNCTIONAL GOALS.

    x) DevelopACTION PLANto adopt best practices,procedure and business process to attain the benchmark- level (superior) of performance

    xi) IMPLEMENTthat specific action plan

    xii) MONITOR theprogressand the improvement.

    5)Recalibration:xii) Continuously RECALIBRATE (update) Benchmarking.

    MALCOLM BALDRIGE National Quality Award (MBNQA)

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    MALCOLM BALDRIGE National Quality Award (MBNQA)

    [It is is named after the quality-management champion Malcolm Baldridge(1922-87) who was

    the SECRETARYOF COMMERCE(1981-87) in Ronald Reagan administration.

    It is managed by the National Inst i tu te of Standardsand Technologyand conferred by the

    American Society For Quality.]

    The prestigious quality award Malcolm Baldrige National Quality Award, is being givenannuallyfrom 1987,to one or two Organizations (both private and public), for the best

    performance excellencein the area ofTotal Quality Management, recognizing U.S.

    organizations, for qual i ty in the f ie ld of :1) BUSINESS SECTOR:

    Manufacturing,

    Services, andSmall business [with employee numberless than 500.]

    2) HEALTH CARE SECTOR,

    3) EDUCATION SECTOR, and

    4) NON-PROFIT SECTORS.

    OBJECTIVE OF THE MBN QUALITY AWARD :

    (i) To ENCOURAGE/ STIMULATE business companiesto improve their quality level.(ii) To ESTABLISH USEFUL CRITERIAfor the business companies for evaluating their

    own individual quality improvementeffort.

    (iii) To SETthe Quality BENCHMARK [QUALITY of the successful organization](ideal/example in the industry as Industry Leader), for helpingOTHERorganizations toLEARN how to manage & improve qualityby disseminatinginformation about the Award Winning Program.

    Malcolm Baldrige National Quality Award

    http://www.businessdictionary.com/definition/champion.htmlhttp://www.businessdictionary.com/definition/secretary.htmlhttp://www.businessdictionary.com/definition/commerce.htmlhttp://www.businessdictionary.com/definition/administration.htmlhttp://www.businessdictionary.com/definition/standards.htmlhttp://www.businessdictionary.com/definition/technology.htmlhttp://www.businessdictionary.com/definition/technology.htmlhttp://www.businessdictionary.com/definition/standards.htmlhttp://www.businessdictionary.com/definition/administration.htmlhttp://www.businessdictionary.com/definition/commerce.htmlhttp://www.businessdictionary.com/definition/secretary.htmlhttp://www.businessdictionary.com/definition/champion.html
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    (iv) Award Winner organizationsbecome confident & competentand the MODELorBenchmarkfor other organizations to emulate in establishing their Total Quality Managementprogram. They become the LEADERS OF QUALITY. [eg Motorola, Xerox, Cadillac,Milliken, IBM, Federal Express, etc]

    # as the Baseline formeasuring the PERFORMANCEEXCELLENCEfor TQM :

    (1) Leadership :The organizations leadership systemand senior leaderspersonal leadership

    (2) Strategic Planning:How the organization sets strategic directionsand howit develops the critical strategies and action plans

    (3) Customers and Market Focus: How the company determines the

    requirements and expectationsof customersand markets(4) Human Resources: How the company enables employees to developandutilize their full potential, aligned with the companys objectives

    (5) Information Management, Knowledge Managementand Measurement &Analysis & : The management and effectivenessof use of information anddatato support key company processes and action plans, and the companysperformance management system

    (6) Process Management: How key processesare designed, implemented,managed, and improved

    (7) Business Result: The organizations performanceand improvement in keybusiness areas like :

    (a) Customer sat isfact ion, (b) Produ ct & Services,

    (c) Financ ial & Market Share (d) Organ izational effectiveness,

    (e) Governance & Social respon sibi l i ty .

    SEVEN CRITERIA

    Points allotted for Assessment in MBNQA

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    Points allotted for Assessment in MBNQA

    Criter ia Points

    1. Leadership 100

    2. Information & Analysis 60

    3. Strategic Quality Planning 904. Human Resource Utilization 150

    5. Quality Assurance 150

    6. Quality Performance/Result 150

    7. Customer Satisfaction 300T O T A L 1000

    Who can use MBNQA :

    Whether the organization is,

    1. small orlarge business,

    2. involved in serviceormanufacturing,

    3. governmentor nonprofit makingor private organizations, and

    4. has one officeor multiple offices/sites inside the country or across the

    globe.

    QUALITY CIRCLE

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    QUALITY CIRCLE Quality Circles were first seen in the United States in the 1950s

    Quality Circles were developed by Dr. Kaoru ISHIKAWAin Japan in the 1960s

    Quality Circles were re-exported to the US in the early 1970s

    1980s brought Total Quality Management and a reduction in the use of Quality

    Circles

    Quality Circles can be a very useful tool if implemented successfully.

    What is a Quality Circle?

    QUALITY CIRCLEis the VOLUNTARY group s of employees, who (i) are work ingon simi lar tasks or s har ing the same area of respo nsib i l i ty and (ii) agree tomeet on a regu lar basis with the objective ( purpose) :

    (1) to ident ify & s olve all theQUAL ITY PROBLEMSand ISSUESrelated to the same or related work-area, and

    (2) to take necessary steps fo r cont inuous improvement.

    # Quality Circle operates on the philosophyof :

    (i) employees VOLUNTARY PARTICIPATION with

    (ii) employees EMPOWERMENT in decision-making and problem-solvingwith the objective of improving the quality.

    # Benefits of Quality circle :(1) boosts emplo yee Morale & self esteemandimprove Team Spir i t (2) provides oppor tuni t iesto the employees topro ceed towards the high er levelof the organization through theircontribution (3) improves quality through ident i fy ingand so lv ing thequal i ty prob lem and taking measure for cont inuous im provement.

    QUALITY CIRCLE

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    # Ten Essential Characteristics of Quality Circle :1. Membership is purely VOLUNTARY(without compulsion).

    2. Membership is drawn from wo rkers/employees doin g sim i lar joborworking in same w ork-areaor sharing with same area of respon sibi l i t ies.

    3. The size of qu al i ty circleshould be appropriate (neither large nor small).

    4. Leader of theCircleshould be selected f rom and b y the Membersof theCircle or some times may be the Supervisor, but not top executives.

    5. Managements interest & full support(mental, fund, time, infrastructural,etc) towards the functioning of Quality Circle.

    6. Extensive TRAININGof the operator-members on Quali ty Issu es, Solvingof Quali ty Problems and Cont inuo us improvement

    7. Quality Circles need EMPOWERMENT for decis ion making8. Members need to have the Recogn it ion, appreciat ionand rewardsfrom

    top Management for the functioning & performance of the Quality Circle.

    9. Frequen t / regular meet ing sof Q. Circle Team is required to (i) identifythe Quality Problems, (ii) to take decision on solving the problems (bymaking Consensus of the Quality Circle team), (iii) implementing the

    solutions, (iv) to take action for continuous improvement and (v) allmonitoring & follow-up actions.

    10. Favourable INDUSTRIAL RELATIONin the organization

    # S I Z E of the Quality CircleThe Size of Quality Circle should usually be between 4 to 12members butthey can be upto a maximum of fifteen (15). Ideal size is 8 to 10.

    [Largersize of Quality Circle, tend to lose their DYNAMISM, whileSmaller size of Quality Circle, often lose their CREATIVE CAPACITY.]

    QUALITY CIRCLE

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    #Common Causes of failureof Quality Circle implementation1. Inappropriate SIZE of Quality Circle (4 to 12) (ideally 8, 9 or 10)

    2. Selection of Membersfrom Wrong (other) working areas (not doingsimilar work or not from same work area)

    3. Members are not truly Voluntary, but forced /ordered to be member

    4. Wrong Selection of the Leader of Quality-Circle (if not from andamong the members of the Circle, or if top official / managementperson)

    5. Inadequate Trainingof Members

    6. Lack of Management Interest and support

    7. Not really empoweringQuality Circles to make relevant decisions.

    8. Infrequent(inadequate number of) Quality Circle MEETING (shouldbe atleast once in a month).

    9. Quality Circles functioning & performance not recognized or

    appreciated or rewardedby the management.10. Unfavorable INDUSTRIAL RELATIONwith trade unions.

    TOTAL PRODUCTIVE MAINTENANCE (TPM)

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    TOTAL PRODUCTIVE MAINTENANCE (TPM)Total Productive Maintenance (TPM) is a team-oriented and

    Participation - based Equipment-maintenance program.

    It is a combination of : (1)Preventive & Predictive Maintenance with

    (2) Autonomous (participative) Maintenance.

    It emphasizes on Equipment Maintenance withphilosophy of :

    (i) Operators involvement with Team work,

    (ii) Operators feeling of OWNERSHIPof Equipment & its Performance,

    (iii) Preventive & Predictive Maintenance.

    OBJECTIVE : To improve PRODUCTIVITY by

    1) maintaining improvedproduct QUALITY andproductYIELDthroughimproving WORKING CONDITIONof machine, so thatCOST OFDEFECTIVES comes down;

    2) reducingequipment MAINTENANCE COST through operators selfmaintenance (Auto nomous Maintenance);

    3) increasingPRODUCTION VOLUME through

    (i) decreasing machineBREAKDOWN TIMEie increasingEQUIPMENT AVA ILABILITY and

    (ii)increasingthePROCESSING-SPEEDorreducing the chance of

    reduction of theprocessing-speedof themachine

    Measurement of EFFECTIVENESS of TPM

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    Measurement of EFFECTIVENESS of TPMTPM helps to improve(i)Equipment Availability, (ii)Performance Efficiency

    and (iii) Quality yieldof output.

    THREE MEASURABLESin O E E(OVERALL EQUIPMENT EFFECTIVENESS)

    Equipment Availability(Time availability)

    Equipment Performance(Speed of production)

    Quality Rate(Quality performance)

    which consider FIVE BIG Losses

    1. Equipment DowntimeLoss(Breakdowns)

    2. Quality RejectionsLoss(Scrap Rate)

    3. Reduced equipment-speedLoss4. Set-up timeLoss (Engineering Adjustment)

    5. Start-uploss

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    TPM combines(i) theAmerican practiceof Preventive and Predictive Maintenance(ii) with the Japanese concepts of autonomous Maintenance

    (Total quality control and total employee involvement, promotingoperators maintenance through day-to-day monitoring activities).

    [TPMensures Rapidand Continuous Improvementof Productivityinmanufacturing industries by eliminating the losseslike

    1. Equipment BreakdownLosses(equipment Idle Time),

    2. Manufacturing SpeedLosses(due to inefficiency of equipment), and

    3. Quality DefectivesLosses(due to Poor Quality Output).

    TPMeliminatetheRISK of :

    1. Equipment Breakdowns, creating interruption in production

    2. Quality Defects, generated from faulty / defective equipment

    3. Failure of On-time delivery4. Equipment Related Productivity Losses

    5. Generation of ManufacturingLosses in Wastes, Scraps, etc)]

    EQUIPMENT PERFORMANCE MEASURES

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    EQUIPMENT PERFORMANCE MEASURES

    Overall Equipment Effectiveness(OEE)

    Overall Equipment Effectiveness,

    OEE = Equip. Availability x Performance Efficiency x Quality RateOEE = E A x P E x Q R

    Equipment Availability = Net Equip. Operating Time x 100%

    Total Workable Time

    [ Net Equip. Operating Time = Total Workable TimeTotal Time Loss ]

    Performance Efficiency = Design Cycle Time x Total items Run x 100%

    Net Equip. Operating Time

    [Total items Runis the Total no. of output produced including REJECTS]

    Quality Rate (Quality Yield) = Total items RunTotal Defects x 100%Total items Run

    [ Typical example of very good OEE = 87% x 90% x 96% = 75%]

    Example (OEE)

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    One Metal Processing plant has the present performance data for one weekofoperation, as follow. Analyze the OEE and advise.

    Operating schedule= 120 hrs/week Non-operat ion time= 250 min/week

    Maintenance dow nt ime= 500 min/week

    Changeover dow nt ime= 4140 min/week

    Ideal pro du ct ion rate= 9.2 pieces/min Total output= 15,906 pieces/week Rejected pieces= 558 per week

    OEE =EA x PE x QR

    Design Cycle Time= 1/ IDEAL Prodn rate = (1/9.2) min/piece

    Total Workable time= (120 hrs)(60min/hr) = 7200 min

    Total time loss= (250 + 500 + 4140) minutes = 4890minutesNet Equip. Operating time= 72004890= 2,310 min

    EA = Net Equip. Operating time Total Workable time

    EA= 2310 7200 = 0.32 :: Too low, special attention on considerableimprovement by TPM is recommended

    PE = (Design cycle time x Total output) (Net Equip. Operating time)

    PE= [(1/9.2)min/ piece x (15,906)] (2,310 min)= [(0.109)(15,906)] 2,310 = 0.75 :: Low, improvement is required

    QR= (Total outputrejects) Total output

    = (15,906558) 15,906= 0.96 :: OK, but slight improvement is possible

    OEE= EA x PE x QR= (0.32)x(0.75)x(0.96) = 0.23 = 23% => It is too low.

    Ideal ly OEE sho uld b e 75%

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    RELIABILITY

    BATH-TUB CURVE :

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    BATH TUB CURVE :The PROBABILITY OF FAILURE ie UN-RELIABILITY of a product generally

    follow a typical Hazard-Curve / FAILURE CURVEcalled BATH-TUB

    CURVE. The typical Hazard-Curve showing the variation of Hazard Rateor

    FAILURE RATE(failures per time) of the product with respect to Timevariation, along PRODUCTS LIFE, is a smooth curve in the shape of a Bath-

    Tub, and because of its shape such curve is called Bath- Tub Curve.

    Failure Rate

    Time

    Infant Failure zone Service Failure zoneWear-out

    Failure zone

    Infant Mortality /

    U S E F U L L I F EWear-out Life

    Break-in Period

    Failure Rate is

    minimum and steady

    Failure Rate is max at

    beginning & reduces

    rapidly with time

    Failure Rate increases

    rapidly with time & is

    max at end

    (I) Bath-Tub Curve has three(3)clear Failure Zones (i) Infant FailureZ (ii) S i F il Z d (iii) W t F il Z

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    Zone, (ii) Service Failure Zone, and (iii) Wear-out FailureZone.(II) Bath-Tub Curve indicates that the PRODUCT LIFEis divided into two

    major sectors (i) USEFUL L IFE, and (ii) WEAR-OUT LIFE.

    [Useful Life includes Infant Failure Zone & Service Failure Zone.]

    #Infant FailureZone (Infant Mortality / Break- in Period):is short initialperiod of product life, during which very high Early Failure-rate of the product

    takes place due to the DEFECTSin

    (i) Product Design(Inherent DESIGN-Weaknessof the part / section),

    (iii) Assembly(eg alignment, fitting, etc)

    (iv) Quality of materialof construction,

    (v) Workmanship,(vi) Surface preparation / Lining(eg insulation, surface hardening,surfacefinish, etc), and due to

    (vii) Improper Operation(eg application of EXCESS LOAD; beyondspecified operating condition like dust, temperature, humidity,pressure, etc)

    In this zone, Failure Ratedecreases rapidlywith Time to reach a steady level.#Service FailureZone : Failure Rate or Hazard Rate becomes (i) steady&LOWEST, (ii) failures are veryOCCASIONAL & Random, (iii) fairly EVENLYdistributed, (iv) failure density is STEADY and EXPONENTIALin nature(Failure Rate is constant and parallel to Time-axis) leading to Constant andlow Failure Rate curve.

    # Wear-out FailureZone :The Failure Rateincreases RAPIDLYdue toageing, wear & tear, fatigue and corrosion, etc., (specially after specified LIFE)

    RELIBILITY : of the product is the PROBABILITY that the product will

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    RELIBILITY : of the product is the PROBABILITY that the product willperform as per theSPECIFIED (defi ned ) QUALITY

    - dur ing its SPECIFIED LIFE TIME

    - under SPECIFIED OPERATING & ENVIRONMENTALCONDITION.

    Reliability is the Probabi l ity o f su ccessin performance of the goods /Product .In Reliability testing/ FAILURE TEST :

    1)Reliability, R= Number of survivors at the end of a given time

    Total populationof product at the beginning

    2)Failure Density, fd= Number of failure during given time intervalTotal populationof product at the beginning

    3) Hazard Rate, Z= Number of failure during particular unit interval

    Average populationduring the interval

    4)Failure Rate, :Number of Failureof the product per unit time(say, somany failures per hour).

    5) Mean Time Between Failures (MTBF) : it is the mean of the time

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    5)Mean Time Between Failures(MTBF) : it is the mean of the timegaps between two consecutive failuresof the product under operation.

    MTBF indicates MEAN Time gap between n th. failure and (n+1)th. failure.

    6)Mean Time To Failure,where,N = No. of specimen (sample size),

    ti= Time of failure forith specimen

    where, i = 1 to N

    7)RELIABILITYof an item during the particularoperating period t,

    MTTF = (ti ) N

    MTTF = 1

    Rt= e .t

    For Constant Hazard Rate

    [Euler's constant orNapier's constant,

    e= 2 + 1/2 + 1/(2 3) + 1/(2 3 4) + 1/(2 3 4 5) +

    e= 2.71828182846]

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    Answer-1:

    N = 1000

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    Time

    (t) days

    No. of

    failures (ft)

    Cumulative

    failures (Ft)

    No. of

    Survivors

    St ( =NFt)

    Failure

    Density fd(= ft/ N)

    Hazard

    Rate Zt ( =ft

    /Mean ofSt

    &St-1)

    Reliability

    Rt(= St/N)

    0 0 0 1000 0 0 1.000

    1 210 210 790 0.210 0.235 0.790

    2 143 353 647 0.143 0.199 0.647

    3 117 470 530 0.117 0.199 0.530

    4 96 566 434 0.096 0.199 0.434

    5 77 643 357 0.077 0.199 0.357

    6 65 708 292 0.065 0.200 0.292

    7 90 798 202 0.090 0.364 0.202

    8 135 933 67 0.135 1.0037 0.067

    9 50 983 17 0.050 1.190 0.01710 17 1000 0 0.017 2.000 0.000

    fd1= 210 / 1000 = 0.210 Total : 5.785

    Z1= 210 (1000+790) / 2 = 210/895 = 0.235 Z2= 143 (790+647) / 2 = 0.199

    Rt1= 790 / 1000 = 0.790

    Mean Hazard Rate, h = 5.785 10 = 0.5785= 57.85%

    N = 1000

    Example-2:

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    Determine MTTFfor a mission time of 1000 hours life, if the Test of Failure data on

    a sample of 10such items indicates the time to fail as shown below. Find also

    the Reliability of the item for the specified life of 1000 Hours

    Item No. 1 2 3 4 5 6 7 8 9 10

    Time to

    Fail (Hrs)

    807 820 810 875 900 837 850 790 866 815

    Example-3:

    If the failure rate of an item is 0.003 failures / hour, determine the Mean

    Time To Failureand reliability of the product for 100 hours life.

    Example-3 :

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    Example 3:

    If the failure rate of an item is 0.003 failures /hour, determine the Mean Time To Failureand

    reliability of the product for 100 hours life.

    Example-4:What is the Reliability of a product item for anoperating period of 200 hours, if the Failure

    Test shows a failure rateof 0.4 x 10

    5

    failures/ hour.

    If originally 5000 such items were under thistest, how many items failedin 200 hours ?