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ACKNOWLEDGMENT
All praises to Almighty Allah, the one and only, the Merciful, Beneficent and Compassionate, Billions of Darood-o-Salam upon
Preparing an assignment like this is often the work of a number of people whose names generally never appear on the cover. Yet without their help and assistance, an assignment, like this would never come to fruition. Id like to recognize some special people who gave so unselfishly to making this assignment. First of all, my parents and teacher whose prayers and efforts make this a reality. I also want to thank the persons from organizations who co-operate very well for assignment. Thanks to all.
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ABSTRACT
Quality is defined as Free of contamination and reproducibly delivers the therapeutic benefit promised in the label to the consumer. Quality by Design (QbD) is a concept first outlined by well-known quality expert Joseph M. Juran in various publications, most notably Juran on Quality by Design. Juran believed that quality could be planned, and that most quality crises and problems relate to the way in which quality was planned in the first place Quality by design rationally would be defined as quality should be built into a product with a thorough understanding of the product and process by which it is developed and manufactured along with a knowledge of the risks involved in manufacturing the product and how best to mitigate those risks.
A design rationale is the explicit listing of decisions made during a design process, and the reasons why those decisions were made. Its primary goal is to support designers by providing a means to record and communicate the argumentation and reasoning behind the design process. It should therefore include:
The reasons behind a design decision The justification for it The other alternatives considered The tradeoffs evaluated, and The argumentation that led to the decision
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In this project I have focused on Nestles Pakistan how their designing of canned Milo is fulfilling customer needs, how they are using different techniques for marinating superior quality by design by using different tools in techniques rationally in milk industry. Nestle is the world largest food company and Nestle Milk Pak is Nestls famous UHT milk brand. Milo is added to hot or cold water and/or milk to make a malted chocolate beverage. It does not dissolve readily in cold milk, and so retains the gritty texture of its raw state. Milo can be stirred into steamed milk to make a drink akin to hot chocolate or cocoa. Another possible use is making a normal cup of cold Milo and microwaving it for approximately 4060 seconds. This gives the Milo drink a biscuit cover on top. Is designed to fulfill customer expectations
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TABLE OF CONTENT
SR. NO. NO
1. 2. 3. 4. 5. 6 7. 8. 9. 10. 11. 12.
DESCRIPTION
PAGE
Introduction to the Issue Quality function deployment Main Goals in Implementing QFD Practical Study on Nestle Nestle Introduction Nestle Vision & Strategies Implementations of QBD in Nestle Data Collection Method SWOT Analysis Conclusion Recommendation References
6 7 8 10 11 12 15 20 21 23 24 25
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Design Brief Product Design Specifications Concept Design Testing Detail Design Manufacturing and Further Testing Refinement and Sales
Design Space:
The multidimensional combination and interaction of input variables (e.g. Material attributes) and process parameters that have been demonstrated to provide assurance of quality. The focus of this concept is that quality should be built into a product with a thorough understanding of the product and process by which it is developed and manufactured along with a knowledge of the risks involved in manufacturing the product and how best to mitigate those risks. This is a
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TOTAL QUALITY MANAGEMENT (890) successor to the "quality by QC" (or "quality after design") approach that the companies have taken up until 1990s. In business and engineering, new product development (NPD) is the term used to describe the complete process of bringing a new product to market. A product is a set of benefits offered for exchange and can be tangible (that is, something physical you can touch) or intangible (like a service, experience, or belief). There are two parallel paths involved in the NPD process: one involves the idea generation, product design and detail engineering; the other involves market research and marketing analysis. Companies typically see new product development as the first stage in generating and commercializing new products within the overall strategic process of product life cycle management used to maintain or grow their market share.
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TOTAL QUALITY MANAGEMENT (890) product development. The intent is to employ objective procedures in increasing detail throughout the development of the product.
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TOTAL QUALITY MANAGEMENT (890) 3. Build and deliver a quality product or service by focusing everybody toward customer satisfaction. Since its introduction, Quality Function Deployment has helped to transform the way of many Companies: Plan new products Design product requirements Determine process characteristics Control the manufacturing process Document already existing product specifications QFD uses some principles from Concurrent Engineering in that crossfunctional teams are involved in all phases of product development. Each of the four phases in a QFD process uses a Matrix to translate customer requirements from initial planning stages through production control.
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Milo
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Nestle Introduction
Nestle began in Switzerland in the mid 1860s when founder Henri Nestle created one of the first baby formulas. Nestls first product was called Farine Lacteal (corn flour gruel in French) Henri Nestle. The product was first used on a premature baby who could not tolerate his mothers milk or other alternative products of that time. Doctors gave up on treating the infant. Miraculously the baby tolerated Henris new formula and it provided the nourishment that saved his life. Within a few years the first Nestle product was marketed in Europe In 1980s Nestle had a new Chief Executive Officer. The company focused on improving its financial situation and continuing to expand. In one of the largest takeovers at that time, Nestle bought Carnation for $3 billion and parted with any unprofitable businesses. Nestle is the largest food and beverage company in the world, marketing more than 9000 brands in 85 countries with a global workforce of 250,000. Nestle is a human company and offers tremendous opportunities for career growth and learning at domestic and international levels. The leading in the food industry, Nestle brings in $81 billion in overall sales and has 470 factories around the world. Nestle will continue to grow, introduce new products and renovate existing ones.
Presented By: SALMAN AHMAD KHAN Roll No: W-588058
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Nutrition Company in the world. Nestl Pakistan subscribes fully to this vision. In particular, they envision to: Lead a dynamic motivated and professional workforce proud of
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TOTAL QUALITY MANAGEMENT (890) Meet the nutritional needs of consumers of all age groups from
infancy to old age, from nutrition to pleasure, through an innovative portfolio of branded food and beverage products of the highest quality. Deliver shareholder value through profitable long-term growth,
while continuing to play a significant and responsible role in the social, economic and environmental sectors of the country. Nestle have profitable and diversified high quality food and
beverage product portfolio, delivering 60:40+ advantage to consumers, available across all sales channels. Nestle brands are the preferred choice in their categories.
Consumer insight drives all aspects of our marketing and communication efforts. Their communications to the consumer are relevant, cutting-edge,
and adhere to the highest standards of responsible communication. Nestle is seen as the No. 1 career destination for talented,
motivated and ambitious professionals. Their result-oriented organizational structure ensures effective
communication and empowered self-management. Their milk collection and agriculture services will continue to play
the primary role in development of the dairy sector in rural Pakistan. Their proactive innovation and renovation culture is the key to our
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ensure efficient business processes. Non-strategic activities and products are outsourced or
discontinued.
Nestle Milo
Milo is supposedly high in energy, because the drink has 1,760 kJ in every 100 g of the drink. It is also for this reason, marketed as the "Energy Food Drink". It is also supposed to have a low Glycemic Index (GI), that is, "33 made with whole milk, 36 made with reduced fat milk". This allows the energy in Milo to be released slowly. The Milo website states that the drink is high in calcium, iron and the vitamins B1, B2, B6, B12. It also has Actigen-E that releases the energy stored in a person's body. The contents of the above said products have the following fruitful benefits for health improvement of Human body. Calcium It is important for the growth of strong bones and teeth. Protein It is necessary for cell and tissue growth. Phosphorous It is important for healthy bones and teeth. Vitamin A
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TOTAL QUALITY MANAGEMENT (890) It improves vision and keeps skin and hair healthy
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TOTAL QUALITY MANAGEMENT (890) product measurements, competing product measures, and the technical ability of the organization to meet each customer requirement.
Phase #2
Product Design:
In Nestles Pakistan phase 2 is led by the engineering department. Product design requires creativity and innovative team ideas. Product concepts are created during this phase and part specifications are documented. Parts that are determined to be most important to meeting customer needs are then deployed into process planning, or Phase 3.
Phase #3
Process Planning:
Process planning comes next and is led by manufacturing engineering. During process planning, manufacturing processes are flowcharted and process parameters (or target values) are documented.
Phase#4
Process Control:
And finally, in production planning, performance indicators are created to monitor the production process, maintenance schedules, and skills training for operators. Also, in this phase decisions are made as to which process poses the most risk and controls are put in place to prevent failures. The quality assurance department in concert with manufacturing leads
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TOTAL QUALITY MANAGEMENT (890) have for the product or service. In order to organize and evaluate this data, the team uses simple quality tools like Affinity Diagrams or Tree Diagrams.
Step 2:
Regulatory Requirements
Not all product or service requirements are known to the customer, so the team must Document requirements that are dictated by management or regulatory standards that the Product must adhere to.
Step 3:
On a scale from 1 - 5, customers then rate the importance of each requirement. This number will be used later in the relationship matrix.
Step 4:
Understanding how customers rate the competition can be a tremendous competitive advantage. In this step of the QFD process, it is also a good idea to ask customers how your product or service rates in relation to the competition. There is remodeling that can take place in this part of the House of Quality. Additional rooms that identify sales opportunities, goals for continuous improvement, customer complaints, etc., can be added.
Step 6:
Direction of Improvement
Roll No: W-588058
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TOTAL QUALITY MANAGEMENT (890) As the team defines the technical descriptors, a determination must be made as to the Direction of movement for each descriptor.
Step 7:
Relationship Matrix
The relationship matrix is where the team determines the relationship between customer Needs and the company's ability to meet those needs. Relationships can either be weak, moderate, or strong or carry a numeric value of 1, 3 or 9 used by nestle Pakistan.
Step 8:
Organizational Difficulty
Rate the design attributes in terms of organizational difficulty. It is very possible that some attributes are in direct conflict. Increasing the number of sizes may be in conflict with the companies stock holding policies, for example.
Step 9:
of Competitor
To better understand the competition, engineers then conducts a comparison engineering competitor Products to determine specific values for competitor technical descriptors.
Step 10:
At this stage in the process, the QFD team begins to establish target values for each technical descriptor. Target values represent "how much" for the technical descriptors, and can then act as a base-line to compare against.
Step 11:
Correlation Matrix
This room in the matrix is where the term House of Quality comes from because it makes the matrix look like a house with a roof. The correlation matrix is probably the least used room in the House of Quality; however, this room is a big help to the design engineers in the next phase of a comprehensive QFD project. Team members must examine how each of the
Presented By: SALMAN AHMAD KHAN Roll No: W-588058
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TOTAL QUALITY MANAGEMENT (890) technical descriptors impacts each other. The team should document strong negative relationships between technical descriptors and work to eliminate physical contradictions.
QFD is a systematic mean of ensuring that customer requirements are accurately translated into relevant technical descriptors throughout each stage of product development. Therefore, meeting or exceeding customer demands means more than just maintaining or improving product performance. It means designing and manufacturing products that delight customers and fulfill their unarticulated desires. Companies growing into the 21st century will be enterprises that foster the needed innovation to create new markets.
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SWOT Analysis
Strengths:
Strong Brand image: Nestle has been serving the Pakistani consumers since 1988, and it has built a strong brand image due to its quality products. Quality product: Solid Financial position:
Annual turnover is Rs.30 Billion which provides it a financial edge over its competitors. Strong supply chain network:
Nestle collects Milk directly form the farmers instead of relying on the contractors. And it distribution is also very strong. In this way it has a complete control over its supply chain. Qualified work force Commitment to High Quality Products Focus on research and development
Weaknesses:
Presented By: SALMAN AHMAD KHAN Roll No: W-588058
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TOTAL QUALITY MANAGEMENT (890) The target market of Nestle Milos upper middle and high class because lower middle and poor class cannot afford to buy chocolate milk due to its premium price.
Opportunities:
More people are coming towards processed milk because loose milk is dangerous for health due to a lot of contamination.
Growth of processed milk is increasing with 20% annually so Nestle Milo has
Threats:
Two main competitors Haleeb and Olpers are main threat for Milo especially
the Olpers is growing very fast. Inflation is getting higher and higher so the purchasing power of the people is
decreasing day by day. There is no entry barrier for new entrants as the Olpers has come in the
market.
Very low quality milk is provided by the milkmen to dairy farms which is a very
big threat for the entire market. The shortage of milk providing animals is also a threat for entire
milk industry.
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Conclusion
Nestle is the world largest food company. Milo Energy Drink has been made into a chocolate flavor, called the "Milo that is manufactured by Nestle and sold worldwide. Milo has been available for many years in a malted flavor, marketed in a burgundy can alongside the traditional green tin. Products based on Milo are available, such as cereal, yoghurt and ice cream. In addition to the powdered form, there is a pre-mixed version of Milo that comes in cans or drink boxes. Nestle is using quality by design technique to get maximum consumer satisfaction and through rationale ways its implement very profitable and innovative techniques to get the maximum result from its consumer benefited products.
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Recommendations
Nestle is one of the top companies of the world for the current issue I give following recommendations to the nestle Pakistan: It have to make changes in marketing department techniques that
is the Phase 1 of the quality be design method by widening up its target market, targeting more segments available in the market. It have to bring new innovative ideas in engineering department
by designing Milo in different other ways due to competitors continuous changes. It have to also look ate the quality perspective because one of the
downfall of tetra pack Milo was that in summers the milk became very unhealthy according to different researches conducted.
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References
1.
Through Websides:
http://www.independent.co.uk/environment/green-living/onlineprotest-drives-nestl-to-environmentally-friendly-palm-oil1976443.html.
2.
http://www.authorstream.com/Presentation/robin_vinnu-623276-pharmaceuticalquality-by-design-qbd/
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