world class quality Management

7/28/2019 world class quality Management

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WORLD CLASS QUALITYMANAGEMENT


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DEFINITION

Goods,services and processes that are ranked

by customers and industry-experts to be

among the best of the best. This denotes

standard-setting excellence in terms of

design, performance, quality,

customer satisfaction and value when

compared with all similar items fromanywhere in the world.
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IMPORTANCE OF QUALITY

Quality is meeting or exceeding customersatisfaction.

No quality->no sales->No sales->no profit->No profit->no jobs


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QUALITY IN PRODUCTION SYSTEM


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3 Levels of Quality

Organizational level-Seek customer inputs onregular basis and meeting its requirements

Process level-managers try to optimize theactivities of various department under theircontrol

Performer or Job level-Output should be metbased on standards such as accuracy,completeness,innovations,Timeliness andcost along with cutomers requirements


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THE COST OF QUALITY

1)Prevention cost:

Cost of preparing an overall plan

quality manuals

procedures.

2)Appraisal cost:

Incoming raw materials inspection

Process inspection

Final goods inspection

quality laboratories


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THE COST OF QUALITY(cont..)

3)Internal failure cost: Scrap

Rework

downgrading

Retest and downtime

4)External failure cost:

Warranty

returned merchandise

Complaints

Allowance


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Reducing cost of Quality


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QUALITY CONTROL

QC denotes all those activities which aredirected to maintaining and improvingquality.

QC involves,

a)Setting of Quality Targets

b)Appraisal of conformancec)Taking corrective action incase of deviation

d)Planning for improvement in quality


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Objectives of quality control

Minimum scrap,rework and other losses Reduced cost of materials and labour

Uniformity of quality and reliability of productswhich increases sales turnovers

Reduced variability and thereby higher quality ofproducts

Reduced inspection cost

Reduced customer complaints Higher operating efficiency

Better utilization of all resources

Higher productivity and improved profits.


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Quality Assurance

Any action that directed towards providingconsumers with product of appropriatequality


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Activities involved in

quality assurance

Reliability engineering-to ensure that thedesign will have an adequate useful life

Value engineering-to ensure that the productwill perform the necessary function atminimum cost

Evaluation of usability-to see that product wii

be convenient and safe in hands of the users Process control-to ensure that the material,

processes and other inputs to thetransformation process are adequate for the

products


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Activities involved in

quality assurance(cont..)

Service assurance-to see that the customer isadequately trained to use the products andthat service parts and manuals made areavailable

Quality feedback-to provide corrective actionwhen field use indicates inadequate quality


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Quality action cycle


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TOTAL QUALITY MANAGEMENT


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Definition

It is a philosophy that involve everyone in anorganization in a continual effort to improvequality and achieve customer satisfaction.


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Concept of TQM

A committed and involved management toprovide long-term top-to-bottomorganization support

An unwavering focus on the customer, both

internally and externally Effective involvement and utilization of the

entire workforce

Continuous improvement of the business andproduction process

Treating suppliers as partners

Establish performance measure for theprocesses.


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Why TQM Fails?

Lack of commitment from the top management

Focusing on specific technique rather than onthe system

Not obtaining employee buy-in and participation

Program stops with training

Expecting immediate result, not a long term pay-

off Forcing the organization to adopt method that

are not productive or compatible with itsproduction system and personnel

Q li l T l li M


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Quality control Total quality Management

Inspection after the fact andproduction system

Focus on consequence of poor quality

Customer is purchaser

Some number of defects is normal

Responsibility for quality control inassigned to individual or departments

Improving quality increases cost

Design quality into the product

Focus on identifying and eliminatingcauses of poor quality

Customer is user

Goal is zero defects

Quality is the responsibility ofeveryone

Improving quality typically pays foritself


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TQM increases profitability

Improvedquality

throughTQM

Sales gains

Improved responsesHigher pricesImproved reputation

Increasedprofits

Reduced costs

Increased productivityLower rework and scrap costLower warranty costs


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Process Capability

It is the ability of a production process tomeet the design specification for a product orservice (or) to produce products within thedesired expectation of customers

It only make sense if all special causes ofvariation have been eliminated and the

process is in the state ofstatistical control


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Process capability index(Cp)

It assessing the relationship between thenatural variation of a process and the designspecification

Cp=UTL-LTL/6sigma

Where UTL=Upper tolerance limit

LTL=Lower tolerance limit


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SIX SIGMA QUALITY

To be precise, Six Sigma strives for perfectionand allows for only 3.4 defects per millionopportunities for each product or service

transaction i.e,(99.99966%)even if theprocess mean shift by as much as 1.5 SD.

But most companies today function at only 3to 4 sigma and lose 10-15% of their totalrevenue due to defects. At 4 sigma (or 99%perfect), this still means 6,210 defects permillion opportunities.


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With 0.5 sigma off-centering and 5 sigma quality

With 1.0 sigma off-centering and 5.5 sigma quality.

With 1.5 sigma off-centering and 6 sigma quality

Si l Mi t E h f


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Single Minute Exchange of

Dies(SMED)

JIT system concentrate on reducing the cost ofsetting up machines to avoid the negative aspectsof producing small lot sizes.

Set-up times can be reduced by:

i)Locating required inventory and machine toolscloser to the operating area

ii)Standardizing the set-up function of machines

ii)Improving the procedure for tool preparation

iii)Eliminating unnecessary machine adjustment

iv)Synchronizing operator jobs

v)Automating set-up procedure using computer

control if it cost less than manual adjustments.


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THANK YOU


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world class quality Management