Quality management

Outline
1. Overview of Quality management
1.1 Quality management
1.2 Quality standard
1.3 Quality improvement: Total quality management; PDCA; 6sigma; zero defect
1.4 Inspection and product test
1.5 Know-how technics and knowledge

2. Quality management practice at Bufab

Taiwan
3. Bufabs Taiwan Quality management
Strengths highlights
4. Bufabs Taiwan Quality management
Weaknesses and suggestions

1.1 Quality management

Quality definition
Quality management definition and
principles
Total Quality management practices

Quality definition
There are many assumptions about quality, from the simple definitions till the
complicated ones. Some definitions are listed below.
Quality is fitness for use (Juran, 1989).
Quality is conformance to requirements (Crosby, 1996).
Quality should be aimed at the needs of the consumer, present and future
(Deming, 1986).
Quality is the total composite product and service characteristics of marketing,
engineering and maintenance through which the product and service in use will
meet the expectations of the customer (Feigenbaum, 1991). Quality is the
totality of features and characteristics of a product or service that bear on its
ability to satisfy stated or implied needs (ISO 9000).
The American National Standards Institute (ANSI) and the American Society for
Quality Control (ASQC) 1978, define quality as the totality of features and
characteristics of a product or service that bears on its ability to satisfy given
needs.
The European Foundation for Quality Management (EFQM) defines quality as to
meet the needs and expectations of the customers, personnel, financial
stakeholders and society (Geraedts, et al., 2001).

Based on the definitions above, it can be concluded that

quality is focused on customer. Customer focused quality is
driven by customer satisfaction and has become the
principle definition of quality from a managerial

Quality management definition and

principles
Quality managementensures that an
organization, product or service is consistent.
It hasfourmain components: quality
planning, quality control,quality
assuranceand quality improvement. Quality
management is focused not only on product
andservice quality, but also on the means to
achieve it. Quality management, therefore,
uses quality assurance and control of
processes as well as products to achieve more
consistent quality.

Quality management principles

Quality management principles

Quality management principles

Conca et al. (2004) extracted eight key factors: leadership, quality

planning, employee management, supplier management,
customer focus, process management, con- tinuous
improvement and learning.
Leadership: The role of managers in practising leadership is one of the
keys of quality management (Ahire et al., 1996; Tari et al., 2007; Pec
ujlija, Azemovic , Azemovic ,& Cosic , 2011). Management should
ensure a favourable climate for the development and implementation
of quality management, involving all employees.
Quality planning: According to customer requirements and organisation
capabilities, the management should plan, develop and implement
quality management improvements. Besides, organisation
management, along with employees, should define quality objec- tives
on all levels of an organisation and evaluate them (Conca et al., 2004).
Employee management: It turned out that involving teams positively
affects the employees commitment to quality (Ahire et al., 1996). Thus,
organisations should establish a system for monitoring, measuring,
evaluating and rewarding employees for high performance (Ahire et al.,
1996). Rewarding contributors is important because it includes
measuring employees performance, provides feedback from
employees and demonstrates to employees that the organisation

Quality management principles

Learning: Involving employees makes their knowledge and skills

necessary (Tari et al., 2007). The organisation should provide and
support training and exchange of knowl- edge between employees. By
participating in such trainings, managers improve the exchange of
knowledge and reduce gaps, if any, between employees and their
superiors (Ahire et al., 1996).
Supplier management: The quality of purchased products/services
significantly impacts production process effectiveness (Tari et al., 2007)
and the final product quality (Flynn et al., 1994). Therefore,
organisations should have clear specifications for purchase and should
evaluate the suppliers quality. Improving relationships with suppliers
posi- tively affects organisational performance and performance of
suppliers (Tari et al., 2007). Promptness and exibility of suppliers
response to organisations requirements can be critical to an
organisation (Ahire et al., 1996). Therefore, organisations should
provide technical support to suppliers and, if possible, help improve
their performance.
Customer focus: An organisation incorporates customer requirements
into the quality of product and/or service (Conca et al., 2004), because
ignoring these requirements could unfavourably affect business (Ahire
et al., 1996). Thus, an organisation should analyse customer opinions

Quality management principles

Process management: It is crucially important that an

organisation achieves continu- ous performance. For this
reason, organisations should regularly conduct internal
audits. In order to gain effective process management, an
organisation should define performance indicators and
regularly evaluate their values.
Continuous improvement: Process stability is related to
continuous improvements (Tari et al., 2007). Implementing
continuous improvements may prevent the occurrence of
nonconformances. Huang and Lin (2002) showed that
continuous improvements can shorten the production cycle.
This positively affects productivity and organisational performance. Management may implement continuous
improvements through the use of specific organisational
structures (e.g. quality committee) (Conca et al., 2004). In
this case, an organisation should identify areas where
improvements can be implemented.

QUALITY CONTROL DEPARTMENT

FUNCTION OF QUALITY CONTROL

DEP
The quality control function from an organizational standpoint was
considered a staff organization. The quality control manager reported to
some form of general business manager.
The traditional roles of the manager of quality control can be summarized
as follows: department administrator; technical problem-solver;
chief inspector; resource to a general business manager; monitor
product and customer requirements; maintain a system of
processing standards; manage customer problems.
The new TQM roles of the manager of quality control are: quality
leadership for the entire organization; explaining the corporate
quality mission; teaching, facilitating and developing employee
improvement teams; quality training and skill development;
quality planning; providing total employee focus on the quality
mission and goals; employee communication. Clearly, the new role
of the quality control manager can be summarized as quality leadership.

1.2 Quality standard

ISO 9001:2008 & ISO 16949

TheISO 9000family ofquality management systemsstandards is

designed to help organizations ensure that they meet the needs of
customers and other stakeholders while meeting statutory and regulatory
requirements related to a product. ISO 9001 deals with the requirements
that organizations wishing to meet the standard must fulfill.
ISO/TS 16949:2009is an interpretation agreed upon by major
automotive manufacturers (American and European manufacturers); the
latest version is based on ISO 9001:2008. The emphasis on a process
approach is stronger than in ISO 9001:2008. ISO/TS 16949:2009 contains
the full text of ISO 9001:2008 and automotive industry-specific
requirements.
Two major conclusions emerged from this study. First, ISO and non-ISO
organizations do differ in their quality management practices. ISO 9000
registered manufacturing organizations in this study appear to have
formal commitment to quality management. These organizations have a
singular unifying goal of quality. Second, this study does find differences
between ISO and non-ISO organizations in regards to training. Mean scores
indicate that ISO organizations emphasize more on training. Effective
training with employee involvement is the most efficient means of
initiating quality improvement programs (Geisler and Justus, 1998).

1.2 Quality standard

ISO 9001:2008 & ISO 16949
The ISO 9001-certified service SMEs participating in the
present study have followed the worldwide trend with
regard to implementing an international quality
management stan- dard and being certified. They did so,
not recently, but some years ago. So, their ample
experience in implementing and maintaining the ISO 9001
QMS is reected in the degree of achievement of the
standards objectives, in other words in the effectiveness of
ISO 9001. This means that the ISO 9001 certified service
companies participating in the present study improve
quality, prevent nonconformities and focus on satisfying
custo- mers to a high extent. They do so, in spite of the
unprecedented circumstances of the econ- omic downturn
under which they operate.

REFERENCE : QUALITY IMPROVEMENT M

ETHODS
ISO 9004:2008 guidelines for performance improvement.
ISO 15504-4: 2005 information technology process assessment Part 4: Guidance on
use for process improvement and process capability determination.
QFD quality function deployment, also known as the house of quality approach.
Kaizen , Japanese for change for the better; the common English term iscontinuous
improvement.
Zero Defect Program created by NEC Corporation of Japan, based upon
statistical process controland one of the inputs for the inventors of Six Sigma.
Six Sigma 6, Six Sigma combines established methods such as statistical process control,
design of experimentsandfailure mode and effects analysis (FMEA)in an overall framework.
PDCA plan, do, check, act cycle for quality control purposes. (Six Sigma'sDMAICmethod
(define, measure, analyze, improve, control) may be viewed as a particular implementation of
this.)
Quality circle a group (people oriented) approach to improvement.
Taguchi methods statistical oriented methods including quality robustness, quality loss
function, and target specifications.
The Toyota Production System reworked in the west intolean manufacturing.
Kansei Engineering an approach that focuses on capturing customer emotional feedback
about products to drive improvement.
TQMtotal quality managementis a management strategy aimed at embedding awareness
of quality in all organizational processes. First promoted in Japan with the Deming prize which
was adopted and adapted in USA as theMalcolm Baldrige National Quality Awardand in
Europe as theEuropean Foundation for Quality Managementaward (each with their own
variations).
TRIZ meaning "theory of inventive problem solving"
BPRbusiness process reengineering, a management approach aiming at optimizing the
workows and processes within an organisation.

1.3 Quality improvement:

Total quality management - TQM

TQM has been considered as an important mechanism for

promoting the smooth running of companies and attaining
a competitive advantage. (Ehigie & McAndrew, 2005).
According to Flynn, Schroeder, and Sakakibara (1994),
TQM can be defined as an integrated effort to achieve and
maintain high-quality products based on the maintenance
of continuous process improvement and error prevention
at all levels and in all functions of the organisation with
the aim of reaching and even exceeding customer
expectations

Figure 2 is a schematic of an
integrated TQM process known as
optimum product attribute
management. It represents the
steps of designing, implementing
and maintaining a TQM system.
Figure 3 is a cross-functional team
approach to the actual
management of a TQM system. It
also shows that quality
management in TQM systems is not
a departmental but total employee
team effort. Inputs into the
management of the process or
system has no departmental lines,
but rather drives ownership to all
employees.

Zero-defect quality
control
Zero-defect quality control (ZDQC) is a result of the interaction of source
inspection, poka-yoke devices applied as 100% inspection and immediate
corrective action after detecting abnormalities in processing. The aim
(ZDQC) is to ensure that a manufacturing system is able to produce defectfree products consistently through identi cation and control of the causes
(errors) of defects. ZDQC has source inspection as its most important
component. The identi cation and control of causes which generate
defects are the main points of this inspection method. The e ective
utilization of source inspection depends on the acknowledgement of the
existence of a cause-and-e ect relationship between errors and defects,
indenti cation of incidental errors and implementation of suitable
techniques to counteract them. The improvement of the inspection process
is often mistaken for the improvement of quality control and assurance.
the ZDQC performed by some Japanese companies has three common
components:
(1) source inspection; (2) poka-yoke (100% inspection); (3) feedback and
immediate action;

3.2 Wide job scope of Quality control

department
3.2.2 Source Inspection
- Source
inspection
reduce the cost
of defects
(incorporate
with defect
claims
chart/graphs)

Zero-defect quality control

COST OF DEFECTS
Figure 1
indicates the
importance of
defect
detection at
source for cost
reduction. At
Toyota, the
detection is
focused on
errors instead
of defects.
Therefore, the
costs derived
from producing
defective parts
are eliminated.

PDCA
PDCA(plandocheckactorplan
docheckadjust) is an iterative
four-step management method used
in business for the control and
continuous improvement of
processes and products.
Note: Wurth using it

6 Sigma zero defect perfect

service/product to customers
Six Sigma According to Mast (2003), Six Sigma is a fundamental method of
establishing customer- oriented decision-making, stressing a quantitative approach,
with the priority of reducing costs. Pande et al. (2000) proposed the five-step process
of implementing Six Sigma programmes, described as follows: (1) identify the core
process and the key customer; (2) determine customer requirements; (3) measure
current performance; (4) schedule the priority order of improvement projects and
analyse the data to implement; and (5) extend and integrate Six Sigma systems. Smith
et al. (2002) developed the key four steps to implement the strategic Six Sigma
improvement projects, described as follows: (1) define the evaluation model of the key
performance levels and the strategies and issues for the business cores; (2) define
strategic improvement goals (SIGs); (3) define and prior select the concrete
improvement alternative; and (4) assign master black belts or project champions to
lead a Six Sigma improvement team to implement the project. Linderman et al. (2003)
developed scientific knowledge of the Six Sigma improvement projects to understand
the Six Sigma phenomena from a goal-theoretic perspective. Stevenson (2007)
discussed the meanings of the term Six Sigma and the key roles in the Six Sigma
improvement projects such as project champions, master black belts, black belts and
green belts.
Note: FLOS one member of Bufab Taiwan using it.

1.2 Inspection & product

test
Inspection is a process of measuring, examining, testing . . . or
any other comparison between unit [of product] and proper
requirements (ASQC, 1983).
Inspection may be conducted in accord with the following
purposes: discovering defects; reducing defects; eliminating
defects.
judgement inspection is used to discover defects; informative
inspection is used to reduce defects; source inspection is used
to eliminate defects.
the importance of source inspection in the implementation of
ZDQC is established by the following weights (Shingo, 1988):
source inspection, 60%; 100% inspection (poka-yoke), 30%;
immediate action, 10%. It should be noted that the purpose of
ZDQC and source inspection is the same: to prevent and
eliminate any defects.

Product test in fastener

industry
Tensile and proof load testing
Drive and torsional strength
testing
Hardness measurement
Measurement of coating
thickness
Environment simulation test
(corrosion test)
Chemical analysis
Pull-out tests on assembled
fastening elements
Vibration test to assess
securing elements
Dynamic measurements of
thread forming torque,
stripping torque and breaking
torque
Determination of the optimum
tightening torque
Measurement of the resulting

Friction coefficient tests

A2LA compliant quality lab
within our network
Non-contact measurement
utilizing LaserLab, the world's
first three dimensional benchtop laser inspection system
Extensive in-house testing
capabilities
Plating thickness utilizing X-Ray
uorescence
Micro hardness
Hydrogen Embrittlement
Joint analysis
Case depth
Surface finish
Prevailing torque
Torsional strength
Coordinate-measuring machine

1.4 Knowledge created through QM

It is widely believed that the underlying practices in QM are essential for
effective management and help to generate a sustainable competitive
advantage. While QM can improve the performance of existing
organisational processes, dynamic market conditions also require an
organisation to explore and innovate (Owlia, 2010; Yang & Wei, 2010).
Organisations need to simultaneously exploit existing resources and explore
new skills, capabilities, and resources to meet emerging challenges
Organisations use quality management (QM) to improve process
performance. However, further improvements and business excellence
require acquisition and integration of new knowledge organisation-wide.
It is a challenge for managers to design and execute QM practices so that
they create new knowledge as well. This article shows how six QM practices
(continuous improvement, statistical quality control, customer satisfaction
management, process-improvement techniques, individual learning, and
new product development methods) can contribute to the four types of
knowledge-creating processes (socialisation, externalisation, combination,
and internalisation). Such knowledge can be created through multiple
channels and at various organisational levels.

SECI Knowledge creation

QM practices such as CI (continuous improvement), SQC (Stastical quality

control), customer satisfaction management, process management
practices, individual learning, and product/service design methods can
create hetero- geneous knowledge. Knowledge generation takes place
through interactions between tacit and explicit knowledge.
Socialization: Tacit to tacit. Knowledge is passed on through practice,
guidance, imitation, and observation.Externalization: Tacit to explicit. This
is deemed as a particularly difficult and often particularly important
conversion mechanism. Tacit knowledge is codified into documents,
manuals, etc. so that it can spread more easily through the organization.
Since tacit knowledge can be virtually impossible to codify, the extent of
this knowledge conversion mechanism is debatable. The use of metaphor
is cited as an important externalization mechanism.Combination: Explicit
to explicit. This is the simplest form. Codified knowledge sources (e.g.
documents) are combined to create new knowledge.Internalization: Explicit
to tacit. As explicit sources are used and learned, the knowledge is
internalized, modifying the user's existing tacit knowledge.

2. What Bufab Taiwan have?

Quality management
Quality standard: ISO 9001:2008 ; ISO
14001; ISO 16949 ?
Quality improvement: Total quality
management; PDCA; 6sigma, zero defect?
Inspection (supplier audit) and product test
(hardness tests and dimensional test)
Know-how technics and knowledge : written
documents (ERP system and EDICOM
system) and knowledge (know-how)

Quality standard
Bufab companies cary out different quality procedures
and are in the possession of different qualtiy assurence
certificates. The most common certificat for trading
companies that Bufab owns is ISO 9001 - ISO
9001:2008 and for manufacturing facilitiees they
carry out ISO-TS 16949.
Quality control is an important part that takes place in
the manufacturing process and is fully integrated in the
ERP system (www.bufab.com). Whenever a new item is
produced or a new supplier is found, there is usually a
sample sent to Sweden to check the item on quality
before the manufacturer can go ahead to producing
them.

Question for Bufab Taiwan

1. In term of each function of Quality control
department, which part Bufab Taiwan cover?
2. Which part is your strengths that others dont
have?
Quality management
Quality standard: ISO 9001:2008 / ISO 16949???
(anixtex,wurth, hexga, bosca)
Quality improvement: Total quality management;
PDCA which u use?
Inspection (supplier audit) and product test
(hardness tests and dimensional test)
Know-how technics and knowledge : written
documents and knowledge (know-how)

4. REFERENCE FOR OWN

KNOWLEDGE

Compare fastener China and Taiwan

Firstly, the alignment between industrial environment and

performance in China suggests that not only Chinese firms
but also foreign investors in China should be aggressive in
pursuit of emerging market opportunities. Secondly,
organizational capability has a strong impact on
performance in both China and Taiwan, regardless of the
perceived difficulties or ease of environmental factors.
Thirdly, from the environment-strategy- performance
relationship, the findings of this study imply that both
Chinese and Taiwanese fastener firms are not strategy
oriented. Therefore, it is easy for the industry to become
embroiled in price competition. Instead of being involved in
daily operations or administrative detail, managers should
concern themselves with broader issues of strategy.
Fourthly, the performance of the Chinese firms is related to
network capability. This finding might suggest that the
cultural preference for personal rather than contractual
relations, the much discussed guanxi, remains an important

Compare fastener China and Taiwan

The fastener industry of Taiwan is characterized by: (1) the
domination of small and medium-sized enterprises; (2)
complete industrial systems from up, middle to down stream;
(3) high export-orientation and; (4) export market
concentration (Metal Industry Research and Development
Center, 1998)
The development of the Chinese fastener industry has taken
more than 30 years since the establishment of the first
fastener manufacturer in 1953. The industry features (1)
small factories with average 35 workers; (2) standardized
and low value-added products; (3) incomplete up stream and
poor quality materials; and (4) sales divided equally between
national and international markets (Metal Industry Research
and Development Center, 1998).

Full text 01 thesis bout Bufab

Group

The six innovative solutions that were identified are

the implementation of an automated warehouse,
realizing a universal ERP system, employing EDICOM
software,
the concept of a HUB-system,
introducing an Educational Manager
and the introduction of a Global Account Team.
The automated warehouse affects the logistics of the company
by replacing human interaction with automated system to
receive and store products. The ERP system is in internal
software system which gives up-to-date insight in the storage
of every single sister company, whereas the EDICOM enhances
the communication ow and eases the ordering opportunities
with the customers. The HUB is also a logistical improvement
through the implementation of HUBs or central temporary
storage in Shanghai, Taiwan and India. The Educational
Manager is appointed to make everybody in the Bufab Group

QUALITY AND
PROCESS
MANAGEMENT
CPSEQS Enterprise Quality
System
At Wrth Industry of
North America, quality
is at the forefront of
everything we do.
Our CPSEQS
(Enterprise Quality
System) has been
developed based on
the stringent and
varying quality
requirements of our
diverse customer
base.
All part requirements,
print specifications
and inspection records
are kept on file in our
proprietary quality
management software.
All of Wrth Industrys
worldwide and
regional quality labs
are FQA compliant and
ISO certified.
From simple

Wurth Quality managment

Wurth Quality managment

Testing
Some highlights of our extensive testing capabilities:
A2LA compliant quality lab within our network
Non-contact measurement utilizing LaserLab, the world's first
three dimensional bench-top laser inspection system
Extensive in-house testing capabilities
Plating thickness utilizing X-Ray uorescence
Micro hardness
Hydrogen Embrittlement
Joint analysis
Case depth
Surface finish
Prevailing torque
Torsional strength
Coordinate-measuring machine
Our vendor quality program including regular supplier evaluation
and on-site audits complements our inspection program. Wrth
offers lot traceability throughout all of our facilities around the
world.

Anixter
Labs Accreditations: BS EN ISO 9001:2000 BS EN
ISO 14001:2004 OHSAS 18001:1999 UKAS
(Birmingham, UK, facility) TS 16949 (Wood Dale,
IL, facility)
ISO 14001:2004 specifies requirements for an environmental management
system to enable an organization to develop and implement a policy and
objectives which take into account legal requirements and other requirements
to which the organization subscribes, and information about significant
environmental aspects. It applies to those environmental aspects that the
organization identifies as those which it can control and those which it can
influence. It does not itself state specific environmental performance criteria.

Software: Proquis modules, including Audit Management,

Document Control, Customer Care, Supplier Control, Issues &
Actions which links across all the modules and, to some
extent, Personnel Management

Kamax
In terms of technology, KAMAX is the world's leading manufacturer of highstrength fasteners for the automotive industry. With locations in the three leading
automobile regions of Europe, America and Asia, KAMAX is a key supplier for all
major manufacturers and suppliers of the passenger car and commercial vehicles
industry
Market leader
Anixter International, Glenview, IL, $450 million (North America, OEM Supply, incl.
fasteners)
Barnes Distribution, Bristol, PA, $492.9 million BE Aerospace, Wellington, FL, $944
million (fasteners) Bisco Industries, Anaheim, CA, N/A Bossard America, $134.7
million Copper State Nut & Bolt, Phoenix, AZ, N/A EFC International, St. Louis, MO,
N/A Endries International (Wolseley Industrial Group Company), $200 million
Fastenal, Winona, MN, $1.3 billion (fasteners) Grainger, Chicago, IL, $8.1 billion
Kimball Midwest, Columbus, OH, N/A Lawson Products, Chicago, IL, $315 million
McMaster Carr, Chicago, IL, N/A MSC Industrial Supply, Melville, NY, $2 billion The
Hillman Group, Chicago, IL, $279.6 million (fasteners) Wesco Distribution,
Pittsburgh, PA, $2.1 billion (general & industrial supplies including fasteners)
Wurth - North America, Ramsey, NJ, $1.1 billion

Schotte
CAQ-SYSTEM
The CAQ-system is an integral part of our quality management
system. Computer Aided Quality Management
We analyse,document and file all relevant data for quality
management. The results of our measuring,
attributive and visual inspections are statistically analysed.

SAMPLING PROCESS
Our sampling process complies with the requirements of the
automotive industry.
Documentation is done according toVDA or PPAP
standards. Of course we also sample
and document according to your individual requirements.

General Fastener Company

GFCs Quality System is certified to theISO 9001:2008
standard. As a distribution company this certification meets
the requirements set out in the automotive TS 16949
standard.
A hallmark of General Fasteners is our Quality Control. We
maintain one of the most extensive QC departments in the
fastener distribution business. The General Fasteners
Company laboratory in Livonia, MI is accredited by the
American Association for Laboratory Accreditation (A2LA) to
the ISO/IEC 17025-2005 standard for mechanical testing.
Our experienced and trained personnel support a broad
range of testing that includes: dimensional, tensile/proof
load, hardness testing, metallographic evaluation and
chemical analysis.