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Total Quality Management •A Great Concept .. .. ..... But What is IT?

Total Quality Management

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Total Quality Management. A Great Concept .... ..... But What is IT ?. Producer Definition Conformance to specifications Reflects priorities on consistent quality and high-performance design. Consumer Definition Value and Fitness of Use Hardware, support and psychological impressions. - PowerPoint PPT Presentation

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Total Quality Management

• A Great Concept ....

• ..... But What is IT?

Two Perspectives

• Producer Definition– Conformance to

specifications

– Reflects priorities on consistent quality and high-performance design

• Consumer Definition– Value and Fitness of

Use

– Hardware, support and psychological impressions

Aspects of Quality* Manufacturing *

• Performance• Features• Reliability• Servicability• Durability• Conformance• Aesthetic Characteristics• Perceived Quality

Aspects of Quality* Services *

• Reliability

• Responsiveness

• Tangibles

• Assurance

• Empathy

The Quality Gurus

• Deming: Management is Responsible

• Crosby: Quality is Free

• Juran: Quality Trilogy– Planning– Control– Improvement

TQMWheel

Customer satisfaction

PlanPlanDemingDemingWheelWheel

PlanPlan

DoDo

DemingDemingWheelWheel

PlanPlan

DoDo

CheckCheck

DemingDemingWheelWheel

PlanPlan

DoDo

CheckCheck

ActAct

DemingDemingWheelWheel

PlanPlan

DoDo

CheckCheck

ActAct

DemingDemingWheelWheel

Deming’s 14 Points• Establish the objective of constant innovation and

improvement

• Adopt a new philosophy, we cannot accept the old mistakes and defects

• Cease dependence on mass inspection, require statistical evidence that quality is built in

• End the practice of awarding busines on the basis of price

• Use statistical methods to find troublespots

• Institute modern methods of training on the job

• Improve supervision - do what is right for the company, don’t just turn out the required quantity

Deming’s 14 Points

• Drive out FEAR ....

• Break down BARRIERS ...

• Eliminate posters and slogans

• Eliminate work standards that prescribe a numerical quota

• Remove barriers between workers and their right to pride in workmanship

• Institute a vigorous retraining program

• Create top management structure that will push EVERY DAY for these points

RIVETHEAD: Tales From The Assembly LineBy Ben Hamper

• A violation of how many of Deming’s points?

ISO 9000• Standards for companies doing business in the

EC• Certification by hearing from qualified

external examiner• Certification does NOT mean anything about

quality of a product ....• Instead, it means that company can provide

documentation supporting their quality claims.

Quality Management CostsAs Quality

Cost Category Increases, Costs:

Prevention Increase

Appraisal Decrease

Internal Failure Decrease

External Failure Decrease

Costs of Detecting a Defect

Cost of Cost of Detection Detection

($)($)

ProcessProcess Final TestingFinal Testing CustomerCustomer

Costs of Detecting a Defect

Cost of Cost of Detection Detection

($)($)

ProcessProcess Final TestingFinal Testing CustomerCustomer

Costs of Detecting a Defect

Cost of Cost of Detection Detection

($)($)

ProcessProcess Final TestingFinal Testing CustomerCustomer

Prevention Prevention CostsCosts

Seven Quality Tools

• Checklists

• Histograms

• Bar Charts

• Pareto Charts

• Scatter Diagrams

• Cause-and-Effect Diagrams

• Graphs

QualityFunctionDeployment

The House of QualityThe House of Quality

Voice of theVoice of theCustomerCustomer

Voice of theVoice of theCustomerCustomer

Easy to close from outside 7

Stays open on a hill 5

Easy to open from outside 3

Doesn’t kick back 3...Doesn’t leak in rain 3

No road noise 2...

Eas

y to

op

enan

d c

lose

do

or

Iso

lati

on

Rel

ativ

e im

po

rtan

ce

Voice of theVoice of theCustomerCustomer

Competitive Competitive AnalysisAnalysis

Competitive Competitive AnalysisAnalysis

Customer perceptions

1 2 3 4 5

Our carA’s carB’s car

Competitive Competitive AnalysisAnalysis

Voice of the Voice of the EngineerEngineer

Voice of the Voice of the EngineerEngineer Open-close

effortSealing-

insulation

- E

ner

gy

to c

lose

do

or

+ C

hec

k fo

rce

on

leve

l gro

un

d

+ C

hec

k fo

rce

on

10º

slo

pe

- E

ner

gy

to o

pen

do

or

- P

eak

clo

sin

g f

orc

e

... ...

+ D

oo

r se

al r

esis

tan

ce

+ A

cou

stic

tra

nsm

issi

on

, win

do

w

+ R

oad

no

ise

red

uct

ion

+ W

ater

res

ista

nce

Voice of the Voice of the EngineerEngineer

CorrelationsCorrelations

CorrelationsCorrelations

X

XRelationships

Strong positive

Medium positive

X Medium negative

X Strong negative

CorrelationsCorrelations

Technical Technical ComparisonComparison

Technical Technical ComparisonComparison

Measurement units ft-lb lb lb ft-lb lb lb/ft - db psi

Our car door 11 12 6 10 18 3 .10 9 70

A’s car door 9 12 6 9 13 2 .10 5 60

B’s car door 9.5 11 7 11 14 2 .10 6 60

Technical difficulty 4 5 1 1 3 1 3 3 5

Imputed importance (%) 10 6 4 9 1 6 2 4 3

Estimated cost (%) 5 2 2 9 5 6 6 9 2

Targets 7.5 9 6 7.5 12 3 .10 9 70

Ob

ject

ive

mea

sure

s

Technical Technical ComparisonComparison

Trade-offsTrade-offs

Trade-offsTrade-offs

X

XX

XXX

X

XX

XRelationships

Strong positive

Medium positive

X Medium negative

X Strong negative

Trade-offsTrade-offs

Cause-and-EffectDiagrams

EffectEffect

PersonnelPersonnelMachinesMachines

ProcessProcessMaterialsMaterials

Checker Board Airlines

Delayed flight departures

Checker Board Airlines

Aircraft late to gate

Mechanical failures

Equipment

Delayed flight departures

Checker Board Airlines

Passenger processing at gate

Late cabin cleaners

Unavailable cockpit crew

Late cabin crew

Personnel

Aircraft late to gate

Mechanical failures

Equipment

Delayed flight departures

Checker Board Airlines

Passenger processing at gate

Late cabin cleaners

Unavailable cockpit crew

Late cabin crew

Personnel

Aircraft late to gate

Mechanical failures

Equipment

Materials

Late food service

Late fuel

Late baggage to aircraft

Delayed flight departures

Checker Board Airlines

Passenger processing at gate

Late cabin cleaners

Unavailable cockpit crew

Late cabin crew

Personnel

Aircraft late to gate

Mechanical failures

Equipment

Materials Procedures

Waiting for late passengers

Weight/balance sheet late

Poor announcement of departures

Delayed check-in procedure

Delayed flight departures

Late food service

Late fuel

Late baggage to aircraft

Checker Board Airlines

Passenger processing at gate

Late cabin cleaners

Unavailable cockpit crew

Late cabin crew

Personnel

Weather

Air traffic delays

Other

Aircraft late to gate

Mechanical failures

Equipment

Materials Procedures

Waiting for late passengers

Weight/balance sheet late

Poor announcement of departures

Delayed check-in procedure

Delayed flight departures

Late food service

Late fuel

Late baggage to aircraft