Chap 1

Dr. Joseph M. Juran--The Father of Quality

Quality Defined
According to Juran, the definition of quality has two aspects from the customers perspective: Quality is... 1. A greater number of features that meet customer needs 2. Fewer defects

The Juran Trilogy

To attain quality you must begin by establishing the vision, policies and goals of the organization. Converting these goals into results is done through three managerial processes called the JURAN TRILOGY.(aka the three universal processes for managing for quality) 1. Quality Planning 2. Quality Control 3. Quality Improvement

 Quality does not happen by accident, it must be planned. 1. Quality Planning: The structured process for designing products and services that meet new breakthrough goals and ensure that customer needs are met.

STEPS in the quality planning process

1. Establish the project 2. Identify the customers 3. Discover the customer needs 4. Develop the product 5. Develop the process 6. Develop the controls and transfer to operations

2. Quality Control: a universal managerial process for conducting operations so as to provide stability--to prevent adverse change and to maintain the status quo Quality control can also be described as a process for meeting the established goals by evaluating and comparing actual performance and planned performance, and taking action on the difference

The Quality Control Process

1. Choose control subject 2. Establish Measurement 3. Establish standards of Performance 4. Measure Actual Performance 5. Compare to Standards (interpret the difference) 6. Take action on the difference

3. Quality Improvement: The process for creating breakthrough levels of performance by eliminating wastes and defects to reduce the cost of poor quality Prove the need for improvement Identify the improvement projects Establish project improvement teams Provide the project teams with resources, training, and motivation to:
diagnose the causes stimulate the remedies establish controls to hold the gains

Fitness for Use

Quality begins with who, how, and why these customers will use it, without this information any improvement will be guesswork In other words, all improvement activities should be customer focused Jurans five attributes for fitness for use: Quality of design Quality of conformance Availability Safety Field use

The quality council

Senior management with the responsibility for designing the overall strategy for quality planning, control, and improvement. The objective of the Quality Council is to establish the quality improvement culture in an organization by: Setting targets Running cost analysis for training and equipment requirements Improving organization-wide communication breaking down interdepartmental or functional boundaries

 The Pareto principle says that in any population that contributes to a common effect, a relative few of the contributors--the vital few--account for the bulk of the effect. This principle is used widely in human affairs. For example, 80% of the the worlds wealth is controlled be 20% of the worlds population; 80% of crimes are caused by 20% of the criminals (these numbers are relative estimates and the principal applies generally a rule of thumb to many situations)

 JURAN applied this principle during the strategic goal deployment process as follows: A relatively few number (roughly 20%) of the projects selected during the quality improvement process will provide the bulk (roughly 80%) of the improvement most of the cost of poor quality can be attributed to a relatively small number of causes--The Vital Few

Ten Steps to Quality Improvement

1. Build Awareness of need and opportunity for improvement 2. Set goals for improvement 3. Organize to reach goals 4. Provide training 5. Carry out projects to solve problems

Strengths
Emphasis on interaction and communications between companies and their current and potential customers Emphasize the strategically planned, step by step process of quality improvement rather than shortcut to quality Rewards based on results

Weaknesses
Difficulties catering to all tastes Quality is not everything

Quality evolution

 The Family humans have always faced problems of quality. Primitive foodgatherers had to learn which fruits were edible and which were poisonous. Primitive hunters had to learn which trees supplied the best wood for making bows or arrows. The nuclear human organizational unit was the family. Isolated families were forced to create self-sufficiencyto meet their own needs for food, clothing, and shelter. There was division of work among family members. The Village: Division of Labor Villages were created to serve other essential human requirements such as mutual defense and social needs. There emerged farmers, hunters, fishermen, and artisans of all sorts weavers, potters, shoemakers. The cycle included selling the product to users and receiving their feedback on product performance.

 The Village Marketplace: Caveat Emptor. As villages grew, the village marketplace appeared, where artisans and buyers met on scheduled market days. the village magistrates tended to avoid being drawn into quality disputes between seller and buyer. This forced buyers to be vigilant so as to protect themselves against poor quality. In effect, the seller was responsible for supplying the goods, but the buyer became responsible for supplying the quality assurance. This arrangement was known as caveat emptor let the buyer beware. Thus buyers learned to beware by use of product inspection and test. Effects of the Growth of Commerce. In due course villages expanded into towns and cities, and improved transport opened the way to trade among regions. Under trade among regions, producer and user could no longer meet face to face in the marketplace. Products were now made by chains of suppliers and processors. Marketing was now done by chains of marketers

 . The buyers direct point of contact was now with some merchant rather than with the producer. All this reduced the quality protections inherent in the village marketplace to a point requiring invention of new forms of quality assurance. One such invention was the quality warranty. Quality Specifications. Sellers need to be able to communicate to buyers the nature of what they have to sell. Buyers need to be able to communicate to sellers the nature of what they want to buy. major invention was the written quality specification. Now quality information could be communicated directly between designer and producer or between seller and buyer no matter how great the distance between them and how complex the nature of the product Then, as conflicts arose because sellers and buyers used different methods of test, it became necessary to establish inspection and test specifications as well. Measurement. The emergence of inspection and test specifications led to the evolution of measuring instruments.

 Artisans and Guilds. The competition became destructive and threatened the benefits derived from craftsmanship. To perpetuate their benefits, the artisans within a trade organized trade unionsguilds. Each guild then petitioned the city authorities to confer on the guild members a monopoly on practicing their trade. Guilds flourished for centuries during the Middle Ages until the Industrial Revolution reduced their influence. The Guild Hierarchy. Each guild maintained a hierarchy of (usually) three categories of workers: the apprentice, the journeyman, and the master Guilds and Quality Planning. Guilds were active in managing for quality, including quality planning. They established specifications for input materials, manufacturing processes, and finished products, as well as for methods of inspection and test. Guilds and Quality Control. Guild involvement in quality control was extensive. They maintained inspections and audits to ensure that artisans followed the quality specifications. They established means of traceability to identify the producer. In addition, some applied their mark to finished products as added assurance to consumers that quality met guild standards.

 Guilds and Quality Improvement: Quality improvement through product or process innovation was not considered to be honest competition. This limitation on quality improvement did indeed help to maintain equality among members, but it also made the guild increasingly vulnerable to competition from other cities that did evolve superior products and processes. Guilds and External Forces. The guilds were able to control internal competition, but external competition was something else. Some external competition came in the form of jurisdictional disputes with other guilds, which consumed endless hours of negotiation.

 As shops grew in size, the function of inspection gave rise to the full-time job of inspector. In due course, inspectors multiplied in numbers to become the basis for inspection departments, which in turn gave birth to modern quality departments. Safety and Health of the Citizens. Early forms of protection of safety and health were after-the fact measures. The Code of Hammurabi (c. 2000 B.C.) prescribed the death penalty for any builder of a house that later collapsed and killed the owner. Continued growth of commerce then created competition among nations, including competition in quality. Consumer Protection. Many states recognized that as to some domestic trade practices, the rule of caveat emptor did not apply. The states designed official standard tools for measuring length, weight, volume, and so on. Use of these tools was then mandated, and inspectors were appointed to ensure compliance.

 The Industrial Revolution. The Industrial Revolution began in Europe during the mid eighteenth century. Its origin was the simultaneous development of power-driven machinery and sources of mechanical power. It gave birth to factories that soon outperformed the artisans and small shops and made them largely obsolete. Quality Control under the Factory System. The factory system required associated changes in the system of quality control. Given the limitations of quality planning, what emerged was an expansion of inspection by departmental supervisors supplemented by full-time inspectors. Quality Improvement. The Industrial Revolution provided a climate favorable for continuous quality improvement through product and process development

 The Taylor System of Scientific Management. A further blow to the craft system came from F. W. Taylors system of scientific management. Taylors system was stunningly successful in raising productivity The Rise of Quality Assurance. The Twentieth Century and Quality. The twentieth century witnessed the emergence of some massive new forces that required responsive action. These forces included an explosive growth in science and technology, threats to human safety and health and to the environment, the rise of the consumerism movement, and intensified international competition in quality Expansion of Government Regulation of Quality. In the field of human health, laws were enacted to ensure the quality of food, pharmaceuticals, and medical devices.

 Intensified International Competition in Quality. further stimulus to competition came from the rise of multinational companies. The most spectacular twentieth-century demonstration of the power of competition in quality came from the Japanese.