TUM School of Management Production and Supply Chain Management Prof Martin Grunow Technische Universitt Mnchen
Quality Engineering & Management
Session 1.1: Defining Quality
Dr. Holly Ott Production and Supply Chain Management
Chair: Prof. Martin Grunow TUM School of Management
Holly Ott Quality Engineering & Management Module 1.1 1
TUM School of Management Production and Supply Chain Management Prof Martin Grunow Technische Universitt Mnchen
Defining Quality
2 Quality Engineering & Management Module 1.1 Holly Ott
Defining Quality Understanding
Customer Expectations
DEFINE
MEASURE
TUM School of Management Production and Supply Chain Management Prof Martin Grunow Technische Universitt Mnchen
Learning Objectives
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Define quality as relative to a set of requirements and in terms of customer expectations.
Compare the concept of quality management today to the past. List major milestones in the development of Quality Management.
TUM School of Management Production and Supply Chain Management Prof Martin Grunow Technische Universitt Mnchen
Defining Quality
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Fitness for use Dr. Juran
Fitness for use and meeting or exceeding customer expectations. The most fundamental truth is that quality is relative: The customer focuses simply on value, seeing it as a ratio of quality over priceOnly when we offer more value than our competitor do we really succeed.
- Professor Godfrey, A. Blanton (2002), "What is Quality?" Quality Digest, January, pp. 12.
2012 from "A First Course in Quality Engineering: Integrating Statistical and Management Methods of Quality" by K.S. Krishnamoorthi. Reproduced by permission of Taylor and Francis Group, LLC, a division of Informa plc.
TUM School of Management Production and Supply Chain Management Prof Martin Grunow Technische Universitt Mnchen
Defining Quality
5 Quality Engineering & Management Module 1.1 Holly Ott
Quality has several dimensions: Performance - Features - Reliability Conformance
Durability - Serviceability - Aesthetics Perceived Quality
Quality must be defined for each product based on what the customer wants in the product through measurable characteristics and their limits of variability
2012 from "A First Course in Quality Engineering: Integrating Statistical and Management Methods of Quality" by K.S. Krishnamoorthi. Reproduced by permission of Taylor and Francis Group, LLC, a division of Informa plc.
TUM School of Management Production and Supply Chain Management Prof Martin Grunow Technische Universitt Mnchen
Defining Quality
6 Quality Engineering & Management Module 1.1 Holly Ott
Quality is always relative to a set of requirements.
Functional (breakdown) Subjective (optical, aesthetic)
Quality meets or exceeds customer expectations.
What is Non-Quality?
2012 from "A First Course in Quality Engineering: Integrating Statistical and Management Methods of Quality" by K.S. Krishnamoorthi. Reproduced by permission of Taylor and Francis Group, LLC, a division of Informa plc.
TUM School of Management Production and Supply Chain Management Prof Martin Grunow Technische Universitt Mnchen
Defining Quality
7 Quality Engineering & Management Module 1.1 Holly Ott
"It takes 20 years to build a reputation and five minutes to ruin it. If you think about that, you'll do things differently. (Warren Buffett)
TUM School of Management Production and Supply Chain Management Prof Martin Grunow Technische Universitt Mnchen
Past View of Quality Management
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Preconception: Quality is
Testing Costly Re-active
TUM School of Management Production and Supply Chain Management Prof Martin Grunow Technische Universitt Mnchen
Historical Overview
9 Quality Engineering & Management Module 1.1 Holly Ott
2012 from "A First Course in Quality Engineering: Integrating Statistical and Management Methods of Quality" by K.S. Krishnamoorthi. Reproduced by permission of Taylor and Francis Group, LLC, a division of Informa plc.
1920s: Bell Laboratories Dr. Walter A. Shewhart: Statistical control charts / Drs. Harold Dodge & Harry Romig: Sampling plans
1920s: Sir Ronald Fisher / 1950s: Dr. Genechi Taguchi: product and process D.O.E. for engineers.
1940s: WWII: Statistical methods used in the production of goods and ammunition for the U.S. military
Post-War 1950s: development of the science of reliability
TUM School of Management Production and Supply Chain Management Prof Martin Grunow Technische Universitt Mnchen
10 Quality Engineering & Management Module 1.1 Holly Ott
2012 from "A First Course in Quality Engineering: Integrating Statistical and Management Methods of Quality" by K.S. Krishnamoorthi. Reproduced by permission of Taylor and Francis Group, LLC, a division of Informa plc.
1950: Edward Deming Toyota Production System (Lean Manufacturing)
1980s: Motorola Six-Sigma Process : systematic, problem-solving approach
1987: Creation of Standards for Quality Assurance by the International Organization for Standardization (ISO 9000)
Today: acceptance of Quality as a strategic parameter for business planning
Consumer awareness of quality
Historical Overview
TUM School of Management Production and Supply Chain Management Prof Martin Grunow Technische Universitt Mnchen
Statistics in Quality Six Sigma
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Example: Assume a car consists of 10,000 parts and production processes. Scenario A: Failure rate per part of 6,210 ppm (4 sigma)
Would be 100% faulty vehicles. Scenario B: Stable processes with 3.4 ppm per part (6 sigma)
Roughly 97% fault-free vehicles.
Source of Graph: Automotive News Europe (Supplement), March 2008
TUM School of Management Production and Supply Chain Management Prof Martin Grunow Technische Universitt Mnchen
Today's View of Quality Management
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Source: Manfred Seika own image (orange icons are examples only)
TUM School of Management Production and Supply Chain Management Prof Martin Grunow Technische Universitt Mnchen
QM is Interdisciplinary
13 Quality Engineering & Management Module 1.1 Holly Ott
Source: Manfred Seika own image (orange icons are examples only)
CSR
Finance
Design
Communication Sociology
Ethics
Business
Organisational
Supply Chain
Statistics
Engineering
Marketing
Law Production
Communication
TUM School of Management Production and Supply Chain Management Prof Martin Grunow Technische Universitt Mnchen
Coming Up
Lecture 1.2 Understanding Customer Expectations
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