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BU 385
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Agenda
Introduction to Quality
Quality of Goods and Service
Dimensions and Determinants of Quality
Costs of Quality
Different Approaches to Quality
Certification
Requirements for food industry
Awards
Total Quality Management (TQM): Concepts
What is Quality?
Quality of Goods
Quality of Services
Determinants of Quality
Loss of Customers
Productivity Problems
Costs
Costs of Quality
Internal
External
Failure Costs
Failure Costs
Appraisal
Costs
Prevention
Costs
Approaches to Quality
Quality Certification
ISO 9001
Source: www.iso.org/iso/iso_9000_selection_and_use-2009.pdf
ISO 14000
ISO 14000 is a family of standards related to environmental
management
Main steps:
1.
2.
3.
Hazard Analysis
Determination of the Critical Control Points
Creation of the HACCP Plan
Source: http://www.nqi.ca/Certification/PEP/Overview.aspx
Source: http://www.nqi.ca/Certification/PEP/Overview.aspx
Act
Do
Study
Traditional
TQM
Overall mission
Maximize return on
investment
Emphasis on short term
Not always open; at times
inconsistent objectives
Issue orders; enforce
Not highest priority; may
be unclear
Assign blame; punish
Not systematic; individuals
Erratic
Adversarial
Narrow, specialized; much
individual effort
Product-oriented
Continuous
Partners
Broad, more general; much team effort
Objectives
Management
Role of manager
Customer
Requirements
Problems
Problem solving
Improvement
Supplier relations
Jobs
Focus
Process-oriented
Six Sigma
Lower limits
Upper limits
2,700 defects/million
3.4 defects/million
Mean
3
6
100K
(66810 ppm)
10K
Average
Company
1K
Restaurant Bills
Doctor Prescription Writing
Payroll Processing
Order Write-up
Journal Vouchers
Wire Transfers
Air Line Baggage Handling
Purchased Material
Lot Reject Rate
100
(233 ppm)
10
Best in Class
Domestic Airline
4
SIGMA
(0.43 ppm)
A. Check sheets
B. Scatter diagrams
C. Cause-and-effect diagrams
D. Pareto charts
E. Flow charts
F. Histogram
G. Statistical process control charts
H. Run chart
Wrong Account
Wrong Amount
A/R Errors
Wrong Account
Wrong Amount
Monday
Scatter Diagram
A graph of the value of one variable
versus the other which helps you see the
relationship which in turn helps in idea
generation. [Diapers and beer]
Productivity
Absenteeism
Cause-and-Effect Diagram
Methods
Materials
Cause
Cause
Cause
Cause
Cause
Cause
Environment
Effect
Cause
Cause
Cause
Cause
Cause
People
Cause
Equipment
Cause-and-Effect Example
Method
(ball)
(shooting process)
Grain/Feel (grip)
Aiming point
Size of ball
Bend knees
Air pressure
Hand position
Balance
Lopsidedness
Follow-through
Missed
Training
Conditioning
Rim height
Motivation
Rim alignment
Consistency
Concentration
Manpower
(shooter)
free-throws
Rim size
Machine
(hoop &
backboard)
Backboard stability
Pareto Analysis
A pareto chart is a graph to identify and plot problems or
Number of defects
Off
Smeared
Missing
center
label
Loose
Other
Flowchart
7. If unsatisfactory, repeat
8. Patient taken back to room
9. MRI read by radiologist
10. MRI report transferred to physician
11. Patient and physician discuss
8
80%
1
11
9
20%
10
Histogram
Histogram is a chart that shows the
distribution of frequency of occurrence
of a variable
Distribution
Frequency
Control Chart
Statistical Process Control Chart: A chart with time on the
horizontal axis to plot values of a statistic
Game number
Diameter
Run Chart
0.58
0.56
0.54
0.52
0.5
0.48
0.46
0.44
1
10 11 12
Brainstorming
Quality Circles
Benchmarking
Interviewing
Reaching Consensus
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