UNIT- 4

WHAT IS QUALITY?????
Quality is the ability of a product or service
to consistently meet or exceed customer
Expectations.

“The degree of excellence of a thing”

(Webster’s Dictionary)
DIMENSIONS OF QUALITY
1. Performance - characteristics of the product or service
2. Aesthetics- appearance, feel, smell, taste
3. Special features - extra characteristics
4. Conformance - customer’s expectations
5. Safety - risk of injury or harm
6. Reliability - consistency of performance
7. Durability - useful life of the product or service
8. Perception - reputation
9. Service after the sale - handling of complaints,
customer satisfaction
THE DETERMINANTS OF QUALITY
 Quality of Design - intention of designers to
include or exclude features in a product or
service designed to meet a customer/client
need/want/requirement.- it represents the
inherent value of the product or service in the
marketplace
 Poor design can result in manufacturing or
service problems
• Customer disapproval
CONT….
 Quality conformance - the degree to which
the goods or services conform to the intent of
the designers
• Requires customer education/awareness as
to the intended use of the product/service (e.g.
Electrical requirements, medication instructions,
attorney advice)
 Ease of use

 Service after delivery

FITNESS FOR CONSUMER USE
BENEFITS OF QUALITY
 Higher customer satisfaction
 Reliable products/services
 Better efficiency of operations
 More productivity & profit
 Better morale of work force
 Less wastage costs
 Less Inspection costs
 Improved process
 More market share
 Spread of happiness & prosperity
 Better quality of life for all.
COSTS OF QUALITY
 When considering the “costs of quality” we must consider:

 Failure costs - costs caused by defective parts, products, or

faulty services
. Internal - failures discovered during production (e.g. rework,
problems, material/product losses, downtime)
. External - failures discovered after delivery (e.g. warranty,
returned goods, liability claims, penalties)
 Appraisal costs - costs of activities designed to ensure quality or
uncover defects (e.g. in-line inspection, final inspection, field
testing, crash test dummies, crumpled cars)
 Prevention costs - costs of preventing defects from occurring
(e.g. training, working with vendors, quality control procedures,
quality improvement programs, extra attention in design and
production)
DEMING’S 14 POINTS
 Create constancy of purpose
 Adopt philosophy of prevention
 Cease dependence on inspection
 Do not award business based on price tag alone
 Constantly improve system and workers
 Institute worker training
 Adopt and institute leadership
CONT…..
 Eliminate fear among employees
 Eliminate barriers between departments
 Eliminate slogans, exhortations, and targets
 Remove numerical quotas
 Enhance worker pride
 Institute vigorous training & education programs
 Take action to accomplish the transformation
THE PDCA CYCLE

Act Plan

Check Do
PDCA CYCLE- SEVEN STEPS OR PHASES
 Identify the opportunity
 Analyze the current process

 Develop the optimal solution (s)

 Implement changes

 Study the results

 Standardize the solution

 Plan for the future.

 CONTINUOUS PROCESS IMPROVEMENT CYCLE

Phase I Identify the Opportunity

Phase 7 Phase 2
Plan for the future Analyze the process
Act Plan

Phase 6 Check Do

Standardise the solution Phase 3

Develop the optimal solution(s)

Phae 5 Study the results Phase 4 Implementation

QUALITY CIRCLE

 Voluntary groups of employees who work on similar

tasks or share an area of responsibility

 They agree to meet on a regular basis to discuss & solve

problems related to work.

 They operate on the principle that employee

participation in decision-making and problem-solving
improves the quality of work
OBJECTIVES OF QC
 Change in Attitude
 Self development

 Development of self spirit

 Improved organizational culture

STRUCTURE OF QUALITY CIRCLE

A steering committee

Co-ordinator

Facilitator

Circle leader

Circle members
THE OPERATION OF QUALITY CIRCLE
1. Problem identification
2. Problem selection
3. Problem Analysis
4. Generate alternative solutions
5. Select the most appropriate solution
6. Prepare plan of action
7. present solution to management for approval.
8. Implementation of solution
BASIC PROBLEM SOLVING TECHNIQUES/
7QC TOOLS
The following techniques are most commonly
used to analyse and solve work related
problems.
o Pareto chart

 Histogram

 Flow diagram

 Check sheet

 Scatter diagram

 Control chart

 Run chart

 Cause and effect diagram

HISTOGRAM
 Histograms are graphical frequency tables that
visually capture and display the variation in a set
of data.

40
35
30
25
20
15
10
5
0 1 2 6 13 10 16 19 17 12 16 20 17 13 5 6 2 1
PARETO CHART

30 28
25

20
16
15
12 12
10
6
5 4 3
0
Loose Stitching Button Material
Threads flaws problems flaws
FLOWCHART
 A flowchart diagrams the steps in a process.
 Flowcharts help problem solvers better
understand the process so they can highlight
quality problems.
FLOWCHART
CHECK SHEET
 A check sheet is a fact-finding tool used to collect
data about quality problems. A typical check
sheet tallies the number of defects by previously
identified categories. The next step is to graph
the defects per category in a histogram.
CHECK SHEET

Shifts

   

 
Defect Type

 

 
CHECK SHEET

COMPONENTS REPLACED BY LAB

TIME PERIOD: 22 Feb to 27 Feb 1998
REPAIR TECHNICIAN: Bob

TV SET MODEL 1013

Integrated Circuits ||||
Capacitors |||| |||| |||| |||| ||||
Resistors ||
Transformers ||||
Commands
CRT |
CAUSE-AND-EFFECT DIAGRAMS
 Show the relationships between a problem and
its possible causes.
CAUSE AND EFFECT “SKELETON”

Materials Procedures

Quality
Problem

People Equipment
SCATTER DIAGRAM
 Scatter diagrams and tightness of points plotted
on the graph gives an indication of the strength
of the relationship. A cluster of points
resembling a straight line indicates the strongest
correlation between the variables. In this graph,
there is a strong positive correlation between x
and y.
SCATTER DIAGRAM

.
NEW SEVEN Q.C. TOOLS
 Affinity Diagrams
 Relations Diagrams
 Tree Diagrams
 Matrix Diagrams
 Arrow Diagrams
 Process Decision Program Charts

 Matrix Data Analysis

AFFINITY DIAGRAMS
 Affinitydiagram is a tool that gather
large amount of language data( ideas,
opinions, issues) and organises them into
grouping based on their natural
relationships.
CONSTRUCTING AN AFFINITY DIAGRAM
GROUP METHOD APPROACH
 Select a topic
 Collect verbal data by brainstorming

 Discuss info collected until everyone

understands it thoroughly
 Write each item on separate data card

 Spread out all cards on table

 Move data cards into groups of similar

themes
CONT…
 Combine statements on data cards to new
Affinity statement
 Make new card with Affinity statement

 Continue to combine until less than 5

groups
RELATIONS DIAGRAMS
 For Finding Solutions Strategies by
Clarifying Relationships with Complex
Interrelated Causes
 Resolves tangled issues by unraveling the
logical connection
 Allows for “Multi-directional” thinking
rather than linear
 Also known as Interrelationship diagrams
CONSTRUCTING A RELATIONS DIAGRAM

 Express the problem in form of “Why isn’t

something happening?”
 Each member lists 5 causes affecting
problem
 Write each item on a card

 Discuss info collected until everyone

understands it thoroughly
 Move cards into similar groups
CONT….
 Asking why, explore the cause-effect
relationships, and divide the cards into primary,
secondary and tertiary causes
 Connect all cards by these relationships
 Further discuss until all possible causes have
been identified
 Review whole diagram looking for relationships
among causes
 Connect all related groups
 COMPLETING A RELATIONS DIAGRAM
Tertiary Tertiary
Cause Secondary Slide 7 0f 7
Cause
Primary Cause Cause

Primary Cause Tertiary

Cause
Secondary
Cause Why doesn’t
X happen? Secondary
Cause

Primary Cause Primary Cause

6th level
Secondary Cause
Cause
Tertiary
Cause Tertiary
Secondary Cause
Cause
4th level
4th level 5th level
Cause
Cause Cause
Source: Nayatani, Y., The Seven New QC Tools (Tokyo, Japan, 3A Corporation, 1984)
 TREE DIAGRAMS
For Systematically Pursuing the Best Strategies
for Attaining an Objective

The tree diagram is an analysis tool for

breaking down a broad or top level goal of
a team into many levels of increasingly
detailed and specific actions that need to
be done in order to achieve the stated
goal.
 TREE DIAGRAMS
Constructing a Tree Diagram
Group Method Approach
 Write Relations Diagram topic
(Objective card)
 Identifyconstraints on how objective
can be achieved
 Discuss means of achieving objective
(primary means, first level strategy)
 Take each primary mean, write ob-
jective for achieving it (secondary means)
 CONT…

 Continue to expand to the fourth level

 Review each system of means in both
directions (from objective to means and means
to objective)

 Connect all levels

 Completing a Tree Diagram
4th means

3rd means 4th means

Secondary means
3rd means 4th means

Primary means 4th means

3rd means
4th means
3rd means
Secondary means
4th means
To
Accomplish 4th means

3rd means 4th means

Secondary means 3rd means 4th means

4th means
Primary means
3rd means 4th means
Constraints
Secondary means 3rd means 4th means
MATRIX DIAGRAM

 The purpose of a matrix diagram is to explore the

existence and the extent of relations between
individual items in two sets of factors or features
or characteristics and express them in a symbolic
form that is easy to understand.
PROCEDURE

 Decide the two sets of factors for which relations

are required to be clarified.
 Call the set of the main factors ‘features’

 The set of factors dependent on it counterpart

‘characteristics’.
 Divide the features into primary, secondary and
tertiary features.
 Divide the characteristics into primary,
secondary and tertiary characteristics

CONT…
 Place the features vertically on the left hand side
of the matrix and characteristics horizontally on
top of the matrix.
 Enter the importance of the features on the
column after that for the tertiary features.
 In the main body of the matrix, place symbols at
the squares denoting the relationship between
the feature and the characteristic meeting at the
intersection.
 The symbols to be used are :
CONT…
 Strong relationship
 Medium relationship

 Weak relationship

 In case there is no relation between the

concerned feature and characteristic, leave the
square blank to indicate ‘no relation’.
MATRIX DATA ANALYSIS DIAGRAM

 The purpose of matrix data analysis diagram is

to present numerical data about two sets of
factors in a matrix form and analyse it to get
numerical output.
PROCEDURE
 Decide the two factors whose relations are to be
analysed.
 Check the number of individual items in the two
factors.
 Prepare a matrix to accommodate all the items of
the two factors.
 Enter numerical data in the matrix.

 Give the diagram a suitable title.

PROCESS DECISION PROGRAMME CHART

 The Process Decision Program Chart (PDPC) is a

very useful and powerful method to overcome a
problem or a goal to be achieved which are not
familiar. With the help of PDPC we can map out
all the conceivable events or contingencies that
can occur in the implementation stage and also
find out feasible counter measures to overcome
these problems.
PROCEDURE

 Prepare a ‘normal’ flowchart of the process with

all expected events as steps in the chart.
 Consider the possibility of the process not going
as per the plan due to any abnormal, though less
probable, occurrences.
 Show these occurrences on the flowchart through
branching at appropriate locations.
CONT…
 Consider how the abnormal occurrence will affect
the process and search for ways and means to
counter the effect.
 Show these countermeasures in rectangles
connecting the corresponding abnormal
occurrence on one side and the process objective
or the goal on the other.
 Give a suitable title to the diagram.
ARROW DIAGRAM
 The diagram provides a clear understanding of
the schedule of various steps in the process which
helps one to monitor the process for ensuring its
completion on time.
PROCEDURE

 From strategies on Tree diagram,

select one (Objective of Arrow Diagram)
 Identify constraints to Objective
 List all activities necessary to
achieving Objective
 Write all essential activities on
separate cards
CONT…

 Organize cards in sequential order of

activities
 Remove any duplicate activities
 Review order of activities, find
sequence with greatest amount of
activities
 Arrange parallel activities
CONT…

 Examine path, number nodes in

sequence from left to right
 Record names and other necessary
information
Next, complete the diagram
 TPM DEFINITION
 A company-wide team-based effort to build
quality into equipment and to improve overall
equipment effectiveness
 Total
 all employees are involved
 it aims to eliminate all accidents, defects and
breakdowns
 Productive
 actions are performed while production goes on
 troubles for production are minimized
 Maintenance
 keep in good condition
 repair, clean, lubricate
1. TPM DEFINITION (2)
 TPM combines the traditionally American
practice of preventive maintenance with Total
Quality Control and Total Employee
Involvement, to create a culture where operators
develop ownership of their equipment, and
become full partners with Maintenance,
Engineering and Management to assure
equipment operates properly everyday.
3. TPM PRINCIPLES
 Increase Overall Equipment Effectiveness (OEE)
 Improve existing planned maintenance systems

 The operator is the best condition monitor

 Provide training to upgrade operations and

maintenance skills
 Involve everyone and utilize cross-functional
teamwork
 WHAT IS SIX SIGMA?

 • Degree of variation;
Sigma is a letter • Level of performance in terms of
in the Greek defects;
Alphabet
• Statistical measurement of process
capability;
• Benchmark for comparison;
• Process improvement methodology;
• It is a Goal;
• Strategy for change;
• A commitment to customers to
achieve an acceptable level of
performance
64
SIX SIGMA DEFINITIONS
• Business Definition
A break through strategy to
significantly improve customer
satisfaction and shareholder value by
reducing variability in every aspect of
business.

65
 SIX SIGMA PROJECT METHODOLOGY
Project Phases

Define Measure Analyze Improve Control

 Identify,  Collect data  Analyze data,  Improvement  Establish

evaluate and on size of the establish and strategy standards to
select projects selected confirm the “  Develop ideas maintain
for problem, vital few “ to remove root process;
improvement  identify key determinants causes  Design the
 Set goals customer of the  Design and controls,
 Form teams. requirements, performance. carry out implement
 Determine  Validate experiments, and monitor.
key product hypothesis  Optimize the  Evaluate
and process process. financial
characteristic.  Final impact of the
solutions project

66
 WHAT IS ISO?
 ISO is the acronym for International Organization for
Standardization located in Geneva, Switzerland.
 It is the specialized international agency for
standardization of system and its certification.
 It is an attempt to bring in uniformity in the quality
standard of different countries.
At present , It comprises the national standard bodies of 91
countries.
OBJECTIVES OF ISO 9000
 To facilitate international trade of goods and
services.

 To obtain competitiveness by obtaining required

quality in a cost effective way.
ISO 9000 CLAUSES
 Clause 1- Scope
(1.1:General,1.2 :Application)
 Clause 2- Normative Reference

 Clause 3- Terms and definition

 Clause 4- Quality Management System

(4.1: General Requirements, 4.2: Documentation Requirements)
 Clause-5 Management Responsibly
(5.1: Management Commitment, 5.2: Customer Focus,
5.3: Quality Policy,
5.4: Planning objectives & system, 5.5: Responsibility,
Authority and Communication, 5.6: Management
Review)

 Clause -6 Resource Management

(6.1: Provision for Resources, 6.2: Human Resources, 6.3:
Infrastructure,
6.4: Work environment)
 Clause-8 Measurement , Analysis and
Improvement
(8.1: General, 8.2: Monitoring and measurement,
8.3: Control of Non-conformity, 8.4: Analysis of
Data, 8.5: Improvement)
 Clause- 7 Product Realizations

(7.1: Planning of Product, 7.2: Customer Related

Process e.g. Determination of requirement,
Review of requirement & Customer
Communication 7.3: Design & Development e.g.
Design planning , inputs , output. Review,
verification, and validation, 7.4: Purchasing, 7.5:
Product and service Provision,7.6: Control of
monitoring and measuring devices ),
ISO 9001:2000
 OBJECTIVE
Introduce the concept of new ISO 9001 Standard

Highlight important areas and changes of the

new standard

Briefly introduce the system requirements of the

new standard
WHAT IS ISO 9001: 2000
2nd revision of Quality Management System Requirement
Standard from International Organization for Standards

Replacement for previous ISO 9001 / 9002 and 9003 standards

of 1994

Introduced considerable conceptual changes

 NEW ISO 9001

Management
Responsibility

General Measurement, General

Resource
analysis &
requirements QMS
management
improvements
requirements

Product
Realization

Continual Improvement cycle

PROS AND CONS
More business oriented. Less procedure oriented

Company wide involvement

Mutual benefit to all interested parties

Customer focus than product focus

Continual improvements

Less emphasis on documentation

Demanding more resources ??

CHALLENGES IN IMPLEMENTING NEW STANDARD
Management Support

Encouragement

New ISO

Communication

Other employee Support

ISO 9001:2000
TRANSITION PROCESS

1st visit 2nd visit 3rd visit 4th visit

Review of Review of Review of Review of

QMS & Measureme Management Resource
Product nt, analysis responsibility management
realization &
improveme
nts

2 years
NUMERICAL
 ABC company produces 2000 TV sets in a year, for
which it needs an equal number of pictured tube.
Each tube cost RS. 10 and the cost to hold a tube in
stock for a year is rupees 2.40 besides the cost of
placing an order is RS 150 which is not related to
its size.
 Now, if an order of 2000 tubes is placed only one
order per annum is required. When 1000 units are
ordered, two orders in a year are need, while if 500
units are ordered to be supplied, then total of 4
orders per annum are required.
 Find out the order size that minimizes the cost
function TQ.
 Number of working days in a year are 250
 Lead time 15 days