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UNIT 3 QUALITY PHILOSOPHIES AND PRINCIPLES

UNIT 3 QUALITY PHILOSOPHIES AND PRINCIPLES. Unit Objectives Who are the quality gurus or philosophers that have shaped quality thinking and practices?

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UNIT 3

QUALITY PHILOSOPHIES AND PRINCIPLES

Unit Objectives

Who are the quality gurus or philosophers that have shaped quality thinking and practices?

What are the characteristics of contemporary quality philosophies?

How has the concept of quality changed and evolved over the years?

How quality principles evolve over the years?

The Quality Gurus or Philosophers

The Quality Gurus can be divided into four main periods:

1. The pioneer (Walter Shewhart)2. The early Americans who took messages of quality

to the Japanese in the early 1950s (W Edwards Deming, Joseph M Juran and Armand V Feigenbaum).

3. The Japanese response from the late 1950s onwards (Dr Kaoru Ishikawa, Dr Genichi Taguchi and Shigeo Shingo).

4. The new Western wave concentrating on Quality Awareness from the 1970s onwards (Philip Crosby, Tom Peters and Claus Moller).

The Quality Philosophers/Gurus

Walter Shewhart (1891-1967)

Western Electric & Bell Telephone Engineer

Father of Statistical Quality Control (SQC)

Founder of the Control Chart (e.g. X-bar R chart)

Originator of PDCA cycle

ASQC (American Society for Quality) 1st Honorary Member 1947

William Edwards Deming (1900-1993)

Studied under Shewhart at Bell Laboratories (Awarded a Ph. d in Mathematical Physics in 1928)

Western Electric Statistician Advisor, Author, Teacher &

Consultant ASQC Honorary member in 1970 Invited to Japan; Led the Japanese

Quality Movement Deming introduced the statistical

quality-control element to Japanese industry in the 1950s.

Founder, Third Wave of Industrial Revolution

Bureau of Census Advisor in Population Sampling

Popularized Shewhart PDCA cycle

PDCA CYCLE/DEMING CYCLE

Problem identificationProblem selectionProblem analysis

Cause VerificationTarget Setting

Propose interventionManagement Consent

Problem identificationProblem selectionProblem analysis

Cause VerificationTarget Setting

Propose interventionManagement Consent

TrainingImplement

Counter measures

TrainingImplement

Counter measures

MonitoringComparing Against

TARGET

MonitoringComparing Against

TARGET

StandardizationFuture Plan

StandardizationFuture Plan

Joseph Moses Juran (1904-?)

Joined Western Electric as an Industrial Engineer

Developed the western Electric Statistical Quality Control Handbook

Also well-known for helping improve Japanese quality

Developed the Juran Trilogy for managing quality

Enlightened the world on the concept of the vital few, trivial many which is the foundation of pareto charts

Pareto Charts

Pareto Charts

The Pareto effect even operates in quality improvement: 80% of problems usually stem from 20% of the causes.

Pareto charts are used to display the Pareto principle in action, arranging data so that the few vital factors that are causing most of the problems reveal themselves.

Concentrating improvement efforts on these few will have a greater impact and be more cost-effective than undirected efforts.

Philip B. Crosby (1926-2001)

Vice president, Quality at International Telephone & Telegraph (ITT)

Introduced the four absolutes of quality

Written the book “ Quality is Free” (1979)

Armand Vallin Feigenbaum (??)

President/CEO, General Systems Company

Founder, International Academy for Quality

ASQC President (1961-63) US Army Material Command

Advisor of Quality Assurance Stressed a systems

approach to quality Cost of quality may be

separated into costs for prevention, appraisal, and failures (e.g., scrap, warranty)

Kaoru Ishikawa (1915-1989)

Ph. D in Engineering A university Professor Leader of the Japanese Quality

Movement Developed the Japanese

Quality Strategy Developed concept of true and

substitute quality characteristics Advocate the use of the 7 tools

(e.g., cause-and effect diagram, pareto chart, etc.,)

Advanced the use of QCC (Quality Control Circle)

Developed concept of Japanese Total Quality Control/Company-wide quality control (CWQC)

Genichi Taguchi (1924-?) Worked in Electrical Communication

Laboratory of the Nippon Telephone and Telegraph Co

A visiting Professor at the Indian Statistical Institute & Visiting Research Associate at Prince University

A Professor at Aoyama Gakuin U in Tokyo

Director of the Japanese Academy of Quality

Advisor at the Japanese Standard Association

Introduced quality loss function (deviation from target is a loss to society)

Promoted the use of parameter design

Shigeo Shingo (1909 -1990) Graduated in Mechanical Engineering in

1930 A professional management consultant,

manager, advisor and trainer President of the Institute of Management

Improvement Worked in Toyota Motor Co, Matsushita

Electrical Industrial Co Advocated the replacement of (SPC)

with source inspection (controlling at the source rather than through sampling inspections)

Developed Poka-Yoke devices/system (mistake proofing devices) such as sensors and monitors to identify defects at the point they occur

“Zero defect” approach because zero defects is the ultimate goal

Tom Peters

Educated in engineering & business Worked as a principal at Mckinsey &

Co when he wrote his book “In search of Excellence” (1982) – excellent performance within 43 large American Companies

Identified leadership as being central to quality improvement process

Best known for his customer orientation

Describe 12 attribute or traits of quality revolution

Claus Moller

European – a Danish business economist

Founded Time Manager International (TMI) in 1975

TMI provide management training in the Soviet Union & EEC

TMI also involved with quality management training

His 1st book “Personal quality” was published in 1988

The Shewhart Philosophy

Shewhart was the pioneer and visionary of modern quality control.

Shewhart is most widely recognized for his control chart development and statistical contributions through Bell Laboratories.

Indeed, the Shewhart charts (e.g., X-bar and R charts) have become fundamental tools of quality control; but, of wider impact, Shewhart published, in 1931, Economic Control of Quality of Manufactured Product, a landmark book in modern quality control.

His book was used by the Japanese after World War II, with the aid of visiting consultants, to help shape modern quality practice in Japan.

The Shewhart Philosophy

Shewhart, using a literal definition of quality (Latin qualitas, from qualis, meaning "how constituted"), defined two common aspects of quality:

(1) "objective quality," which deals with the quality of a thing as an "objective reality" (of the thing) independent of the existence of man and

(2) "subjective quality," which deals with the quality of a thing relative to what man thinks, feels, or senses as a result of the "objective reality."

The Shewhart Philosophy

Shewhart linked the subjective quality property with value and concluded "it is impossible to think of a thing as having goodness independent of some human want."

This definition has been expanded by Ishikawa to include "true" (customer-language based) and "substitute" (technical-language-based) quality characteristics which form the basis for modem quality planning and quality function deployment.

The Shewhart Philosophy

It is of great historical interest to point out that the Shewhart postulates (lines of reasoning) and general conclusions published in 1931 laid the foundation for modern quality theory and practice throughout the industrial world.

The Shewhart Philosophy

His general conclusions are stated below:It seems reasonable to believe that there is an objective state

of control, making possible the prediction of quality within limits even though the causes of variability are unknown....It has been pointed out that by securing this state of control, we can secure the following advantages:

1. Reduction in the cost of inspection.2. Reduction in the cost of rejection.3. Attainment of maximum benefits from quantity production.4. Attainment of uniform quality even though the inspection

test is destructive.5. Reduction in tolerance limits where quality measurement

is indirect.

The Deming Quality Philosophy

Deming's 14 points Deming’s seven deadly diseases Deming's Profound Knowledge

system

Deming's 14 points

1. Create constancy of purpose toward improvement of product and service, with the aim to become competitive and to stay in business, and to provide jobs (create vision and commitment).

2. Adopt/learn the new philosophy. We are in a new economic age. Western management must awaken to the challenge must learn their responsibilities, and take on leadership for change.

3. Cease dependence on inspection to achieve quality. Eliminate the need for inspection on a mass basis by building quality into the product in the first place. (worker must take responsibility for their work – understand variation & seek to reduce the common causes)

Deming's 14 points

4. End the practice of awarding business on the basis of price tag. Instead, minimize total cost. Move toward a single supplier for any one item, on a long-term relationship of loyalty and trust.

5. Improve constantly and forever the system of production and service, to improve quality and productivity, and thus constantly decrease costs.

6. Institute training on the job (both management & workers – require proper tools & knowledge).

Deming's 14 points

7. Institute leadership. The job of management is leadership, not supervision – leadership means providing guidance to help employees do their job better with less effort.

8. Drive out fear. Create trust. Create a climate for innovation so that everyone may work effectively for the company.

9. Break down barriers between departments (optimize the efforts of team).

Deming's 14 points

10. Eliminate slogans, exhortations, and targets for the work force asking for zero defects and new levels of productivity (workers become frustrated when they cannot improve or are penalized for defects) – overlook the source the problems – the system.

11. A. Eliminate work standards on the factory floor (Eliminate numerical quotas for production. Instead learn and institute methods for improvement). b. Eliminate management by objective – numbers without a method to achieve them (Instead, learn the capabilities of processes, and how to improve them). – Numbers have no meaning without a method to achieve them.

Deming's 14 points

12. A. Remove barriers that rob the hourly worker of his right to pride of workmanship. b. Remove barriers that rob people in management and in engineering of their right to pride of workmanship (Performance appraisal destroys teamwork by promoting competition).

13. Institute a vigorous program of continuing education and self-improvement.

14. Take action to accomplish the transformation. Put everybody in the company to work to accomplish the transformation. The transformation is everyone's job. – A major cultural change

The seven deadly diseases that obstruct the quest for quality:

1. Lack of constancy of purpose to plan product and service that will have a market and keep the company in business, and provide jobs.

2. Emphasis on short term profits – invest in research & development. 3. Evaluation of performance, merit rating, or annual review (annual

appraisal) – destroy teamwork. 4. Mobility of management; job hopping (personal career advancement is

placed ahead of welfare of the organization). 5. Management by use only of visible figures, with little or no

consideration of figures that are unknown or unknowable. 6. Excessive medical costs – bad for long-term competitiveness. 7. Excessive costs of liability/warranty, fueled by lawyers who work on the

basis of contingency fees. – proliferation of lawsuits and multimillion dollars judgments.

The System of Profound Knowledge

The system of profound knowledge is made up of four areas:

(1) appreciation for a system, (2) knowledge about variation, (3) theory of knowledge, and (4) psychology.

System of Profound Knowledge: Appreciation of a system A system is a set of functions or activities

within an organization that work together for the aim of the organization.

A production system is composed of many smaller, interacting subsystems.

These subsystems are linked together as internal customers and suppliers.

The components of any system must work together if the system is to be effective.

System of Profound Knowledge: Appreciation of a system Management's job is to optimize the system. Sub-optimization results in losses to

everybody in the system. All the people who work within a system can

contribute to improvement, which will enhance their joy in work.

System of Profound Knowledge: knowledge about variation The second part of Profound Knowledge is a

basic understanding of statistical theory and variation.

We see variation everywhere & variation exists in production processes.

Actually, a production process contains many sources of variation

System of Profound Knowledge: Causes of Variation Product manufacturing was measured and

where variations occurred in manufacture the cause was traced back to either (1) special causes or (2) common causes. (1) Special causes are easily identifiable and

solvable at a local level - for example a change in operator, shift of procedure.

(2) A common cause is due to the design or process of the system and is the responsibility of management to solve.

System of Profound Knowledge: Proportion of Variation Common causes of variation generally

account for about 80 to 90 percent of the observed variation in a production process.

The remaining 10 to 20 percent are the result of special causes of variation, often called assignable causes.

System of Profound Knowledge: Theory of knowledge The third part of profound knowledge is the

theory of knowledge, the branch of philosophy concerned with the nature and scope of knowledge, its presupposition and basis, and the general reliability of claims to knowledge

System of Profound Knowledge: Theory of knowledge Deming emphasized that knowledge is not

possible without theory, and experience alone does not establish a theory.

Any rational plan, however simple, requires prediction concerning conditions, behavior, and comparison of performance.

System of Profound Knowledge: Theory of knowledge A statement devoid of prediction or

explanation of past events conveys no knowledge.

Experience only describes-it cannot be tested or validated-and alone is no help in management.

Theory , on the other hand, shows a cause and effect relationship that can be used for prediction.

system of Profound Knowledge: PSYCHOLOGY Psychology helps us understand

people, interactions between people and

circumstances, interactions between leaders and employees,

and any system of management.

system of Profound Knowledge PSYCHOLOGY Much of Deming's philosophy is based on

understanding human behavior and treating people fairly.

People differ from one another. A leader must be aware of these differences and

work toward optimizing everybody's abilities and preferences.

Most managers operate under the assumption that all people are alike.

However, a true leader understands that people learn in different ways and at different speeds, and manages the system accordingly.

Concluding remark on the system of profound knowledge A leader of transformation, and managers

involved, need to learn the psychology of individuals, the psychology of a group, the psychology of society, and the psychology of change.

Some understanding of variation Including appreciation of a stable system, and

some understanding of special causes and common causes of variation, are essential for management of a system, including management of people.

The Juran Philosophy

Juran defined quality as (I) product performance that results in customer satisfaction; (2) freedom from product deficiencies, which avoids customer dissatisfaction-- simply summarized as "fitness for use."

The Juran Philosophy

This definition can be broken down into four categories:

(1) quality of design, (2) quality of conformance, (3) availability and (4) field service.

The Juran Philosophy

Quality of design concentrates on market research, the product concept, and design specifications.

Quality of conformance includes technology, manpower, and management.

Availability focuses on reliability, maintainability, and logistical support.

Field service quality comprises promptness, competence, and integrity.

The Juran Philosophy

The pursuit of quality is viewed on two levels: (l) The mission of the firm as a whole is to

achieve high product quality; and (2) The mission of each department in the

firm is to achieve high production quality.

The Juran Philosophy

Juran's prescriptions focus on three major quality processes, called the Quality Trilogy:

(1) quality planning --the process of preparing to meet quality goals;

(2) quality control-- the process of meeting quality goals during operations; and

(3) quality improvement --the process of breaking through to unprecedented levels of performance.

The Juran Quality Trilogy® Diagram

Quality planning begins with

(1) identifying customers, both external and internal, (2) determining their needs and (3) developing product features that respond to those

needs at a minimum combined cost. (4) the process that can produce the product to

satisfy customers' needs and meet quality goals under operating conditions must be designed.

(5) compares results with previous plans, and meshes the plans with other corporate strategic objectives.

The Quality Planning Process

The Quality Planning Process

IdentifyCustomers

DiscoverCustomer's needs

Translate

Establish measurement

Establishunits of measure

Developproduct

Optimizeproduct design

Developprocess

Optimize: proveprocess capability

Transfer to operation

Existing productand process

List of customers

Customer's needs(in their language)

Customer's needs(in our language)

Units of measure

Customer's needs(in units of measure)

Customer's needs(in units of measure)

Product features

Product goals

Process features

Process readyto transfer

Process readyto produce

Quality control involves

(1) determining what to control, (2) establishing units of measurement to

evaluate data objectively, (3) establishing standards of performance, (4) measuring actual performance, (5) interpreting the difference between actual

performance and the standard and (6)taking action on the difference.

Quality improvement program involves (1) proving the need for improvement, (2) identifying specific projects for

improvement, (3) organizing support for the projects, (4) diagnosing the causes, (5) providing remedies for the causes, (6) proving that the remedies are effective

under operating conditions and (7) providing control to maintain

The Feigenbaum Philosophy

Traditionally (pre-1970s) in the United States, quality assurance was widely associated with establishing and measuring conformance to technical specifications on the shop floor and in inspection departments.

The evolution which has occurred in transforming this narrow, reactive view of quality to its current broad companywide, approach in the United States can be credited to Feigenbaum.

He has had a great impact on this transformation through his total quality control concept and strategies

The Feigenbaum Philosophy

Feigenbaum define total quality control as an effective systemeffective system for integrating the quality-development, quality-maintenance, and quality-improvement efforts of various groups in an organization so as to enable marketing, engineering, production, and service at the most economical levels which allow for full customer satisfaction

Feigenbaum's horizontal scope of total quality control

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The Feigenbaum Philosophy

Feigenbaum stresses a systems approach to quality through the definition of a quality system

The Feigenbaum Philosophy

A quality system is the agreed on, company-wide and plant-wide operating work structure, documented in effective, integrated technical and managerial procedures, for guiding the coordinated actions of the work force, the machines, and the information of the company and plant in the best and most practical ways to assure customer quality satisfaction and economical costs of quality.

The Feigenbaum Philosophy

Feigenbaum's philosophy is summarized in his Three Steps to Quality:

1. Quality Leadership

2. Modern Quality Technology

3. Organizational Commitment

Quality Leadership

A continuous management emphasis is grounded on sound planning rather than reaction to failures. Management must maintain a constant focus and lead the quality effort.

Modern Quality Technology

The traditional quality department cannot resolve 80 to 90 percent of quality problems.

This task requires the integration of office staff as well as engineers and shop- floor workers in the process who continually evaluate and implement new techniques to satisfy customers in the future.

Organizational Commitment

Continuous training and motivation of the entire workforce as well as an integration of quality in business planning indicate the importance of quality and provide the means for including it in all aspects of the firm's activities.

The Japanese latched on to this concept of total quality control as the foundation for their practice called Company- Wide Quality Control (CWQC), which began in the 1960s.

Feigenbaum's ideas also have become important elements of the Malcolm Baldrige National Quality Award Criteria.

Ishikawa Philosophy

Ishikawa provided a great deal of leadership in shaping the Japanese quality movement through his vision and activities associated with the Union of Japanese Scientists and Engineers (JUSE).

By 1967 Japanese quality control could, be distinguished from that practiced in the West

Six characteristics of Japanese Quality Control1. Company-wide quality control; participation

by all members of the organization in quality control.

2. Education and training in quality control.3. Quality control circle activities.4. Quality control audits (for effectiveness).5. Utilization of statistical methods.6. Nationwide quality control promotion

(including training) activities.

Ishikawa's impact on quality control practices has been extensive.

Ishikawa developed the concept of true and of substitute quality characteristics.

“True” VS “Substitute” quality characteristics The "true" quality characteristics are the

customer's view of product performance, expressed in the customer's vocabulary.

"Substitute" quality characteristics are the producer's view of product performance expressed in the producer's technical vocabulary.

The degree of match between true and substitute quality characteristics ultimately determines customer satisfaction.

“True” VS “Substitute” quality characteristicsIshikawa proposes three steps which are the basis of

quality-planning and quality function-deployment techniques.

1. Understand true quality characteristics.2. Determine methods of measuring and testing true

quality characteristics.3. Discover substitute quality characteristics, and

have a correct understanding of the relationship between true quality characteristics and substitute quality characteristics.

Seven Quality Tools

Ishikawa has been associated with the development and advocacy of universal education in the seven "indispensable" or fundamental tools (of quality control):

1. Cause-effect (Ishikawa) diagram.2. Stratification.3. Check sheet.4. Histogram.5. Scatter diagram.6. Pareto chart (vital few, trivial many).7. Graphs and statistical control charts.

Seven Tools of Quality

Some key elements of his philosophy are summarized here 1. Quality begins with education and ends

with education. 2. The first step in quality is to know the

requirements of customers. 3. The ideal state of quality control occurs

when inspection is no longer necessary. 4. Remove the root cause, not the symptoms. 5. Quality control is the responsibility of all

workers and all divisions.

Some key elements of his philosophy are summarized here

6. Do not confuse the means with the objectives. 7. Put quality first and set your sights on long-term

profits. 8. Marketing is the entrance and exit of quality. 9. Top management must not show anger when

facts are presented by subordinates. 10. Ninety-five percent of problems in a company

can be solved with simple tools for analysis and problem solving.

11. Data without dispersion information (i.e., variability) is false data.

Genichi Taguchi

Taguchi emphasizes an engineering approach to quality.

He stresses producing to target goals or requirements with minimal product performance variation in the customer's environment.

Variation is termed noise (interference).

Taguchi identifies three distinct types of noise

1. External noise - variables in the environment or conditions of use that disturb product functions (e.g., temperature, humidity, and dust).

2. Deterioration noise or internal noise - changes that occur as a result of wear or storage.

3. Unit-to-unit noise - differences between individual products that are manufactured to the same specifications.

Taguchi focuses on design for quality by defining three design levels

1. System design (primary) - functional design focused on pertinent technology or architectures.

2. Parameter design (secondary) - a means of both reducing cost and improving performance without removing causes of variation.

3. Tolerance design (tertiary) - a means of reducing variation by controlling causes, but at an increased cost.

Taguchi’s Loss Function

Genichi Taguchi developed a "loss function" based on the idea that loss to society occurs whenever there is a deviation from the most desirable value

Taguchi believes that the customer becomes increasingly dissatisfied as performance departs farther away from the target.

Taguchi Loss Function

He suggests a quadratic curve to represent a customer's dissatisfaction with a product's performance.

The curve is centered on the target value, which provides the best performance in the eyes of the customer.

Identifying the best value is not an easy task.  

Targets are sometimes the designer's best guess.

Taguchi Loss Function

Taguchi Loss Function

Taguchi Loss Function

LCT represents lower consumer tolerance and UCT represents upper consumer tolerance.  

This is a customer- driven design rather than an engineers specification.  

Experts often define the consumer tolerance as the performance level where 50% of the consumers are dissatisfied.  

Your organization's particular circumstance will shape how you define consumer tolerance for a product.

Taguchi’s Loss Function

The larger the deviation from the desired value the greater the loss to society.

These losses occur regardless of whether or not the specifications have been met.

Any reduction in variation will lead to a corresponding reduction in loss.

Shingo Philosophy

A true "zero defects" level of quality is the ultimate level of conformance to specification.

Zero defects (ZD) implies that each and every item built conforms to specification.

Shingo maintains that statistical-based quality control is not conducive to zero defects.

He states that statistical quality control can lower, but not eliminate, defects. Shingo proposes the poka-yoke (mistake-proofing) system to totally eliminate defects.

Shingo Philosophy

The mistake-proofing concept is a human- or machine-sensor-based series of 100 percent

1. source inspections,

2. self-checks, or

3. successive checks to detect abnormalities when or as they

occur and to correct them on the current unit of production as well as system wide.

The Shingo Zero Quality Control System consists of four fundamental principles

1. Use source inspection –the application of control functions at the stages where defects originate.

2. Always use 100 percent source inspections (rather than sampling inspections).

3. Minimize the time to carry out corrective action when abnormalities appear.

4. Set up poka-yoke (mistake-proofing) devices, such as sensors and monitors, according to product and process requirements.

Crosby Philosophy

Crosby, in his classic book Quality Is Free, provides a high level of public visibility for quality issues.

The Crosby "Quality Management Maturity Grid," traces corporate quality awareness and a quality maturation from a level of uncertainty to one of certainty.

His grid addresses quality understanding, organization, problem handling, cost, and improvement.

Crosby's quality management maturity grid

QUALITY MANAGEMENT MATURITY GRIDRater__________________________ Unit_________________________________

Measurement Categories

Stage I: Uncertainty

Stage 11: Awakening

Stage III: Enlightenment

Stage IV: Wisdom

Stage V:Certainty

Management understanding and attitude

No comprehension of quality as a management tool. Tend to blame quality department for "quality problems."

Recognizing that quality management may be of value but not willing to provide money or time to make it all happen.

While going through quality improvement program learn more about quality management; becoming supportive and helpful.

Participating. Understand absolutes of quality management. Recognize their personal role in continuing emphasis.

Consider quality management as essential part of company system.

Quality organization status

Quality is hidden in manufacturing of engineering departments. Inspection probably not part of organization. Emphasis on appraisal and sorting.

A stronger quality leader is appointed but main emphasis is still on appraisal and moving the product. Still part of manufacturing or other.

Quality department reports to top management, all appraisal is incorporated and manager has role in management of company.

Quality manager is an officer of company; effective status reporting and preventive action. Involved with consumer affairs and special assignments.

Quality manager on board of directors. Prevention is main concern. Quality is a thought leader.

Crosby's quality management maturity grid

Measurement Categories

Stage I: Uncertainty

Stage 11: Awakening

Stage III: Enlightenment

Stage IV: Wisdom

Stage V:Certainty

Problem Handling

Problems are fought as they occur; no resolution; inadequate definition; lots of yelling and accusations.

Teams are set up to attack major problems. Long-range solutions are not solicited.

Corrective action communication established. Problems are faced openly and resolved in an orderly way.

Problems are identified early in their development. All functions are open to suggestionand improvement.

Except in the most unusual cases, problems are prevented.

Cost of quality as % of sales

Reported: unknown Actual: 20%

Reported: 3% Actual: 18%

Reported: 8% Actual: 12%

Reported: 6.5% Actual: 8%

Reported: 2.5% Actual: 2.5%

Crosby's quality management maturity grid

Measurement Categories

Stage I: Uncertainty

Stage 11: Awakening

Stage III: Enlightenment

Stage IV: Wisdom

Stage V:Certainty

Quality improvement actions

No organized activities. No understanding of such activities

Trying obvious "motivational" short-range efforts.

Implementation of the 14-step program with thorough understanding and establishment of each step.

Continuing the14-step program and starting Make Certain.

Quality improvement is a normal and continued activity.

Summation of company quality posture

"We don't know why we have problems with quality."

"Is it absolutely necessary to always have problems with quality?"

"Through management commitment and quality improvement we are identifying and resolving ourproblems."

"Defect prevention is a routine part of our operation."

"We know why we do not have problems with quality."

Crosby Philosophy

Crosby is best known for the concepts Do It Right First Time and Zero Defects.

He does not believe workers are responsible for poor quality - you have to get the management straight.

The essence of Crosby's quality philosophy

The essence of Crosby's quality philosophy is embodied in what he calls

(l) the "Absolutes of Quality Management" and

(2) the "Basic Elements of Improvement."

The Crosby four absolutes of Quality Management are

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

2. The system for causing quality is prevention, not appraisal.

3. The performance standard must be Zero Defects, not 'that's close enough'.

4. The measurement of quality is the Price of Non-conformance, not indices.

The fourteen basic elements of Quality Improvement are:

1. Make it clear that management is committed to quality.

2. Form quality improvement teams with senior representatives from each department.

3. Measure processes to determine where current and potential quality problems lie.

4. Evaluate the cost of quality and explain its use as a management tool.

The fourteen basic elements to Quality Improvement are:

5. Raise the quality awareness and personal concern of all employees.

6. Take actions to correct problems identified through previous steps.

7. Establish process monitoring for the improvement process.

8. Train supervisors to actively carry out their part of the quality improvement program.

The fourteen basic elements to Quality Improvement are:

9. Hold a Zero Defect Day to let everyone realize that there has been a change and reaffirm management commitment.

10. Encourage individuals to establish improvement goals for themselves and their groups.

11. Encourage employees to communicate to management the obstacles they face in attaining their improvement goals.

The fourteen basic elements to Quality Improvement are:

12. Recognize and appreciate those who participate.

13. Establish quality councils to communicate on a regular basis.

14. Do it all over again to emphasize that the quality improvement program never ends.

Tom Peters Philosophy

Peters' identified leadership as being central to the Quality Improvement Process.

He considered that 'management' should be discarded in favor of 'leadership' - the new role being that of a cheerleader and facilitator.

According to Tom Peters

Leadership is the centre of Care of Customers Constant Innovation People

The twelve traits of a quality revolution are:

1. Management obsession with quality

2. Passionate systems

3. Measurement of quality

4. Quality is rewarded

5. Everyone is trained for quality

6. Multi-function teams

The twelve traits of a quality revolution are:

7. Small is beautiful

8. Create endless 'Hawthorne' effects

9. Parallel organizational structure devoted to quality improvement

10. Everyone is involved

11. When quality goes up, costs go down

12. Quality improvement is a never-ending journey

Claus Moller Philosophy

Moller sees Personal Quality as the basis of all other types of quality.

It is the people who produce the goods who must be inspired to do their best, and this will only be mastered by improving the personal development of the individual.

This will lead to increased competence in Productivity, Relations and Quality.

The Moller twelve golden philosophies to improve personal quality are

1. Set personal quality goals

2. Establish your own personal quality account

3. Check how satisfied others are with your efforts

4. Regard the next link as a valued customer

5. Avoid errors

6. Perform tasks more efficiently

The Moller twelve golden philosophies to improve personal quality are

7. Utilize resources well

8. Be committed

9. Learn to finish what you start - strengthen your self-discipline

10. Control your stress

11. Be ethical - maintain your integrity

12. Demand quality

Moller two simple techniques for raising personal quality

In addition Moller has developed two simple techniques for raising personal quality

1. To do/check system (continuous self-checking the quality of performance)

2. The quality business card (devise a card which is a personal guarantee of quality of work).

Concerning company quality Moller lists 17 hallmarks of a quality company

1. Focus on quality development

2. Management participation in the quality process

3. Satisfied customers/users

4. Committed employees

5. Long-term quality development

Concerning company quality Moller lists 17 hallmarks of a quality company

6. Clearly-defined quality goals

7. Quality performance rewarded

8. Quality control perceived positively

9. Next person in work process is a valued customer

10. Investments in personnel training and development

11. Prevention/reduction of mistakes

Concerning company quality Moller lists 17 hallmarks of a quality company

12. Appropriate decision level

13. Direct route to end users

14. Emphasis on both technical and human quality

15. Company actions directed towards customer needs

16. Ongoing value analysis

17. Company recognition of its role in society

Evolution of Quality Principles (Summers, 1997, P:8)

MiddleAges

Artisan

IndustrialRevolution

Inspection

1940's

QualityControl

1950's

StatisticalQualityControl

1980's

StatisticalProcessControl

1990's

Total QualityManagement

ERA

QualityPrinciples

FUTURE

2000's

ISO

Artisan

Up until the advent of mass production, artisans completed individual products and inspected the quality of their own work or that of an apprentice before providing the product to the customer.

If the customers experienced any dissatisfaction with the product, he or she dealt directly with the artisan.

Inspection

As the variety of items being mass-produced grew, so did the need for monitoring the quality of the parts produced by these processes.

Industries saw a need to ensure that the customer received a quality product

At 1st, inspection was the primary method of ensuring quality product or services

Inspection

Refers to those activities designed to detect or find nonconformances existing in already completed products and services.

Inspection, the detection of defects, is a regulatory process.

Inspection

It involves the measuring, examining, testing, or gauging of one or more characteristics of a product or service.

This result is compared with established standards to determine whether or not the product or service conforms

Inspection

Inspection occurring only after the part or assembly has been completed can be costly.

If a large number of defective products has been produced and the problem has gone unnoticed, then scarp or rework costs will be high.

Inspection

The same is true in a service environment. If the service has been incorrectly

provided, the customer receiving the service must spend additional time in the system having the problem corrected.

Quality Control (QC)

QC refers to the use of specifications and inspection of completed parts, subassemblies, and products to design, produce, review, sustain, and improve the quality of a product or service.

Quality control goes beyond inspection by

1. Establishing standards for the product or service, based on the customer needs, requirement, and expectations.

2. Ensuring conformance to these standards. Poor quality is evaluated to determine the reasons why the parts or services provided are incorrect.

Quality control goes beyond inspection by

3. Taking action if there is a lack of conformance to the standards. These actions may include sorting the product to find the defectives. In service industries, actions may include contacting the customer and correcting the situation.

4. Implementing plans to prevent future nonconformance. These plans may include design or manufacturing changes; in a service industry they may include procedural changes

Statistical Quality Control (SQC)

Building on the four tenets of QC, statistics were added to map the results of part inspection.

The use of statistical methods of production monitoring and part inspection became known as statistical quality control (SQC), wherein statistical data are collected, analyzed, and interpreted to solve quality problems.

Statistical Quality Control (SQC)

The primary concern of individuals involved in quality is monitoring and control of variation in the product being produced or service being provided.

Statistical Process Control (SPC)

The prevention of defects by applying statistical methods to control the process is known as statistical process control (SPC).

Statistical Quality Control (SQC)

To manufacture products within specifications, the processes producing the parts need to be stable and predictable.

A process is considered to be under control, when the variability from one part to another or from one service to another is stable and predictable.

Predictions Based on Stable and Unstable Processes

Statistical Process Control (SPC)

Statistical process control emphasizes the prevention of defects.

Prevention refers to those activities designed to prevent defects, defectives, and nonconformance in products and services.

Statistical Process Control (SPC)

The most significant difference between prevention and inspection is that with prevention, the process – rather than solely the product- is monitored, controlled, and adjusted to ensure correct performance.

By using key indicators of product performance and statistical methods, those monitoring the process are able to identify changes that affect the quality of the product and adjust the process accordingly.

Statistical Process Control (SPC)

Emphasis shifts away from inspecting quality into a completed product or service toward designing and manufacturing quality into the product or service.

The responsibility for quality moves from the inspectors to the design and manufacturing departments.

Statistical Process Control (SPC)

Statistical process control also seeks to limit the variation present in the item being produced or the service being provided.

While it once was considered acceptable to produce parts that fell somewhere between the specification limits,

statistical process control seeks to produce parts as close to the nominal dimension as possible and to provide services of consistent quality from customer to customer.

Statistical process control can be used to help a company meet the following goals:

To create products and services that will consistently meet customer expectations and product specifications

To reduce the variability between products or services so that the results match the desired design quality

To achieve process stability that allows predictions to be made about future products or services

Statistical process control can be used to help a company meet the following goals:

To allow for experimentation to improve the process and to know the results of changes to the process quickly and reliably

To further the long-term philosophy of continual improvement

To minimize production costs by eliminating the costs associated with scrapping or reworking out-of-specification products

To place the emphasis on problem solving and statistics

Statistical process control can be used to help a company meet the following goals:

To support decisions with statistical information concerning the process

To give those closest to the process immediate feedback concerning current production

To assist with the problem-solving process To increase profits To increase productivity

Positive Results of Statistical Process Control Uniformity of Output Reduced Rework Fewer Defective Products Increased Output Increased Profit Lower Average Cost Fewer Errors

Positive Results of Statistical Process Control Predictable, Consistent Quality Output Less Scrap Less Machine Downtime Less Waste in Production Labor Hours Increased Job Satisfaction Improved Competitive Position

Positive Results of Statistical Process Control More Jobs Factual Information for Decision Making Increased Customer Satisfaction Increased Understanding of the

Process Future Design Improvements

Total Quality Management (TQM)Total Quality Management (TQM)

What is

TQM?

Total quality management (TQM)

TQM is a management approach that places emphasis on continuous process and system improvement as a means of achieving customer satisfaction to ensure long-term company success.

Total quality management (TQM)

TQM utilizes the strengths and expertise of all the employees of a company as well as the statistical problem-solving and charting methods of statistical process control (SPC).

Total quality management (TQM)

TQM is based on and relies on the participation of all members of an organization to continuously improve the processes, products, and services their company provides as well as the culture they work in.

The Objective, and Principles TQM

CONTINUOUSIMPROVEMENT

CustomerFocus

ProcessImprovement

TotalInvolvementPRINCIPLES

OBJECTIVE

Objective of TQM: Continual ImprovementObjective of TQM: Continual Improvement the notion that the performance

standard to reach is perfection or “zero defect” to coin Phillip

Crosby or “picking the last grain of rice” in

Japanese involves incremental improvement &

breakthroughs

Principles of TQM: Customer FocusPrinciples of TQM: Customer Focus

the notion that all work is performed for a “customer” and

it is the customer who determines its value

Principles of TQM: Process Improvement The concept of continuous improvement is

built on the premise that work is a result of a series of interrelated steps and activities that result in an output.

Continuous attention to each of these steps in the work process is necessary to reduce the variability of the output and improve the reliability of the process

Principles of TQM: Process Improvement The 1st goal of continuous improvement is

processes that are reliable – reliable in the sense that they produce the desired output each time with no variation.

If variability has been minimized and the results are still unacceptable, the second goal of process improvement is to redesign the process to produce an output that is better able to meet the customer’s requirement.

Principles of TQM: Total Participation (TP)Principles of TQM: Total Participation (TP) the idea that work has an additional

dimension In traditional organization, the worker

expects to be told what to do and how satisfactory performance will be measured

Principles of TQM: Total Participation (TP)

TP implies that the person closest to the task is most qualified to suggest improved ways of doing the job

He/she suggests ways to make improvements aimed at enhancing productivity & value to the customer

Implication for Managers

Managers need to understand the differences and similarities in the leading quality philosophies and develop a quality management approach tailored to their organization.

THE END

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