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Multi-State Advanced Manufacturing

Consortium

US DOL SPONSORED TAACCCT GRANT: TC23767

RELEASE DATE 12/3/2015

VERSION v 001

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PRIMARY DEVELOPER – Janaina Gasparelo, Henry Ford College

US DEPARTMENT OF LABOR

MULTI-STATE ADVANCED MANUFACTURING

CONSORTIUM

INTEGRATED QUALITYSESSION 1

PROFESSOR JANAINA GASPARELOHENRY FORD COLLEGE

JANUARY, 2015

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• Class Introduction• Define Quality• The History of Quality in the United States • Discuss Shewhart, Deming and Juran• Cost of Quality• Total Quality Management (Broad Concept)• The role of the Quality Professional

AGENDA








CLASS INTRODUCTION








• Quality – The standard of something as measured against other things of a

similar kind; a degree of excellence of something– In manufacturing, a measure of excellence or a state of being free

from defects, deficiencies and significant variations

• Quality Control: – A system of maintaining standards in manufacturing products by

testing a sample of the output against the specification.– An aspect of the quality assurance process that consists of activities

employed in detection and measurement of the variability in the characteristics of output attributable to the production system, and includes corrective responses.

DEFINITION OF QUALITY








• The quality movement can trace its roots back to medieval Europe, where craftsmen began organizing into unions called guilds in the late 13th century.

• Until the early 19th century, manufacturing in the industrialized world tended to follow this craftsmanship model. The factory system, with its emphasis on product inspection, started in Great Britain in the mid-1750s and grew into the Industrial Revolution in the early 1800s.

• In the early 20th century, manufacturers began to include quality processes in quality practices.

HISTORY OF QUALITY: U.S.A.








• After the United States entered World War II, quality became a critical component of the war effort: Bullets manufactured in one state, for example, had to work consistently in rifles made in another

• The armed forces initially inspected virtually every unit of product; then to simplify and speed up this process without compromising safety, the military began to use sampling techniques for inspection, aided by the publication of military-specification standards and training courses in Walter Shewhart’s statistical process control techniques.









• The birth of total quality in the United States came as a direct response to the quality revolution in Japan following World War II.

• The Japanese welcomed the input of Americans Joseph M. Juran and W. Edwards Deming and rather than concentrating on inspection, focused on improving all organizational processes through the people who used them.









• By the 1970s, U.S. industrial sectors such as automobiles and electronics had been broadsided by Japan’s high-quality competition. The U.S. response, emphasizing not only statistics but approaches that embraced the entire organization, became known as total quality management (TQM).









• In the few years since the turn of the century, the quality movement seems to have matured beyond Total Quality. New quality systems have evolved from the foundations of Deming, Juran and the early Japanese practitioners of quality, and quality has moved beyond manufacturing into service, healthcare, education and government sectors.









• Father of statistical quality control – “Shewhart simulated theoretical models by marking

numbers on three different sets of metal-rimmed tags. Then he used an ordinary kitchen bowl – the Shewhart bowl – to hold each set of chips as different sized samples were drawn from his three different populations. There was a bowl, and it played a vital role in the development of ideas and formulation of methods culminating in the Shewhart control charts.”

HISTORY OF QUALITY: WALTER A. SHEWHART

Walter Andrew Shewhart (March 18, 1891 – March 11, 1967)








• A search for universal principles – "It is most important that top management be quality-

minded. In the absence of sincere manifestation of interest at the top, little will happen below.”

HISTORY OF QUALITY: JOSEPH M. JURAN

Joseph Moses Juran(December 24, 1904 – February 28, 2008)








• A mission pursued on two continents– Deming worked from the Shewhart cycle and over time eventually developed

the Plan-Do-Study-Act (PDSA) cycle, which builds deductive and inductive learning into the learning and improvement cycle

– The problems facing manufacturers can be solved through cooperation, despite differences

– Marketing is not sales, it is the science of knowing what repeat customers think of a product, as well as whether, and why, they will buy it again

– Initial stages of design must include market research, applying statistical techniques for planning and inspecting samples.

– The manufacturing process must be perfected

HISTORY OF QUALITY: W. EDWARDS DEMING

W. Edwards Deming(October 14, 1900 – December 20, 1993)








HISTORY OF QUALITY: W. EDWARDS DEMING

• Deming’s Key Principles1. Create constancy of purpose for improving products and services.2. Adopt the new philosophy.3. Cease dependence on inspection to achieve quality.4. End the practice of awarding business on price alone; instead, minimize total cost by working with a

single supplier.5. Improve constantly and forever every process for planning, production and service.6. Institute training on the job.7. Adopt and institute leadership.8. Drive out fear.9. Break down barriers between staff areas.10. Eliminate slogans, exhortations and targets for the workforce.11. Eliminate numerical quotas for the workforce and numerical goals for management.12. Remove barriers that rob people of pride of workmanship, and eliminate the annual rating or merit

system.13. Institute a vigorous program of education and self-improvement for everyone.14. Put everybody in the company to work accomplishing the transformation.








Cost of Quality

Cost of Poor Quality

Internal Failure Costs

costs that are caused by products or services not conforming to

requirements or customer/user needs and are found before

delivery of products and services to external customers

External Failure Costs

Costs that are caused by deficiencies found after delivery

of products and services to external customers, which lead to

customer dissatisfaction.

Cost of Good Quality

Appraisal Costs

costs that occur because of the need to control products and

services to ensure a high quality level in all stages, conformance to

quality standards and performance requirements.

Prevention Costs

costs of all activities that are designed to prevent poor quality

from arising in products or services.

COST OF QUALITY








Cost of Quality








• A core definition of total quality management (TQM) describes a management approach to long–term success through customer satisfaction

• In a TQM effort, all members of an organization participate in improving processes, products, services, and the culture in which they work

TOTAL QUALITY MANAGEMENT








• Total quality management can be summarized as a management system for a customer-focused organization that involves all employees in continual improvement.

• It uses strategy, data, and effective communications to integrate the quality discipline into the culture and activities of the organization.

TOTAL QUALITY MANAGEMENT: PRIMARY ELEMENTS








• Customer-focused– The customer ultimately determines the level of

quality. No matter what an organization does to foster quality improvement—training employees, integrating quality into the design process, upgrading computers or software, or buying new measuring tools—the customer determines whether the efforts were worthwhile.









• Total employee involvement– All employees participate in working toward common

goals. Total employee commitment can only be obtained after fear has been driven from the workplace, when empowerment has occurred, and management has provided the proper environment. High-performance work systems integrate continuous improvement efforts with normal business operations. Self-managed work teams are one form of empowerment.









• Process-centered – A fundamental part of TQM is a focus on process

thinking. A process is a series of steps that take inputs from suppliers (internal or external) and transforms them into outputs that are delivered to customers (again, either internal or external). The steps required to carry out the process are defined, and performance measures are continuously monitored in order to detect unexpected variation.









• Integrated system – Although an organization may consist of many different functional

specialties often organized into vertically structured departments, it is the horizontal processes interconnecting these functions that are the focus of TQM.o Micro-processes add up to larger processes, and all processes aggregate into the

business processes required for defining and implementing strategy. Everyone must understand the vision, mission, and guiding principles as well as the quality policies, objectives, and critical processes of the organization. Business performance must be monitored and communicated continuously.

o An integrated business system may be modeled after the Baldrige National Quality Program criteria and/or incorporate the ISO 9000 standards. Every organization has a unique work culture, and it is virtually impossible to achieve excellence in its products and services unless a good quality culture has been fostered. Thus, an integrated system connects business improvement elements in an attempt to continually improve and exceed the expectations of customers, employees, and other stakeholders.









• Strategic and systematic approach – A critical part of the management of quality is the

strategic and systematic approach to achieving an organization’s vision, mission, and goals. This process, called strategic planning or strategic management, includes the formulation of a strategic plan that integrates quality as a core component.









• Continual improvement– A major thrust of TQM is continual process

improvement. Continual improvement drives an organization to be both analytical and creative in finding ways to become more competitive and more effective at meeting stakeholder expectations.









• Fact-based decision making– In order to know how well an organization is

performing, data on performance measures are necessary. TQM requires that an organization continually collect and analyze data in order to improve decision making accuracy, achieve consensus, and allow prediction based on past history.









• Communications– During times of organizational change, as well as

part of day-to-day operation, effective communications plays a large part in maintaining morale and in motivating employees at all levels. Communications involve strategies, method, and timeliness.









• These elements are considered so essential to TQM that many organizations define them, in some format, as a set of core values and principles on which the organization is to operate.

• Excerpted from The Certified Manager of Quality/Organizational Excellence Handbook, pages 291-292.






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ROLE OF THE QUALITY PROFESSIONAL








• ASQ (American Society of Quality) – Knowledge Center

SOURCES








Multi-State Advanced Manufacturing

Consortium

US DOL SPONSORED TAACCCT GRANT: TC23767

RELEASE DATE 12/3/2015

VERSION v 001

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