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Process Management
Demming
Most quality problems have been due to processes and seldom have they been due to men as normally thought
Types of Processes
Value-creation processes those most important to running the business Design processes activities that develop functional product specifications Production/delivery processes those that create or deliver product
Support processes those most important to an organizations value creation processes, employees, and daily operations
Improvement
CONCEPTUALIZATION
CONVERSION
EXECUTION
Key Idea
Product design can significantly affect the cost of manufacturing (direct and indirect labor, materials, and overhead), redesign, warranty, and field repair; the efficiency by which the product can be manufactured, and the quality of the output.
Key Idea
DFM is intended to prevent product designs that simplify assembly operations but require more complex and expensive components, designs that simplify component manufacture while complicating the assembly process, and designs that are simple and inexpensive to produce but difficult or expensive to service or support.
6.
Identify the product or service: What work do I do? Identify the customer: Who is the work for? Identify the supplier: What do I need and from whom do I get it? Identify the process: What steps or tasks are performed? What are the inputs and outputs for each step? Mistake-proof the process: How can I eliminate or simplify tasks? What poka-yoke (i.e., mistake-proofing) devices (see Chapter 13) can I use? Develop measurements and controls, and improvement goals: How do I evaluate the process? How can I improve further?
Support Processes
Basic Understanding of significant ones;
Human Resources Processes Information Technology Processes Finance & Accounts Project Management
Key Idea
Successful project managers have four key skills: a bias toward task completion, technical and administrative credibility, interpersonal and political sensitivity, and leadership ability.
Project Quality Initiation: Define directions, priorities, limitations, and constraints. Project Quality Planning: Create a blueprint for the scope of the project and resources needed to accomplish it. Project Quality Assurance: Use appropriate, qualified processes to meet technical project design specifications.
Project Quality Control: Use appropriate communication and management tools to ensure that managerial performance, process improvements, and customer satisfaction is tracked. Project Quality Closure: Evaluate customer satisfaction with project deliverables and assess success and failures that provide learning for future projects and referrals from satisfied customers.
Supplier Involvement
Product Development From Design to Delivery Service & Spare parts Bench marking on Technology, Materials, Practices & Designs
Guiding Principles
Realization of the strategic importance of suppliers Developing win-win relationship with suppliers Establishing trust through transparency leading to mutual benefits
Supplier Partnerships
Jurans Trend in Supplier Relationships
Element No. of suppliers Duration of suppliers Quality Criteria Emphasis on Surveys Quality Planning Pattern of Partnership Traditional/Adversarial Multiple/Many Annual Contracts Conformance to Specifications Procedures, Data & systems Separate Arms Length Secrecy Mutual Supervision TQM- Teamwork Focus Few/Often Single 3yrs. or more Total Alignment Fit for use Process Capability Joint Certification Mutual Visits Disclosures & Transparency Mutual Assistance
Service Processes
Service Product Design:
Exercise on application of TQM requirement checks On how it can influence the Delivery Process Typical Customer requirement to be converted in product & delivery
Labor intensity
Customization
22
Key Idea
Service process designers must concentrate on doing things right the first time, minimizing process complexities, and making the process immune to inadvertent human errors, particularly during customer interactions.
Process Control
Control the activity of ensuring conformance to requirements and taking corrective action when necessary to correct problems and maintain stable performance
Key Idea
Process control is important for two reasons. First, process control methods are the basis for effective daily management of processes. Second, long-term improvements cannot be made to a process unless the process is first brought under control.
Key Idea
In manufacturing, control is usually applied to incoming materials, key processes, and final products and services.
Key Idea
Improvement should be a proactive task of management and be viewed as an opportunity, not simply as a reaction to problems and competitive threats.
Kaizen
Kaizen a Japanese word that means gradual and orderly continuous improvement Focus on small, gradual, and frequent improvements over the long term with minimum financial investment, and participation by everyone in the organization.
Flexibility
Flexibility the ability to adapt quickly and effectively to changing requirements.
rapid changeover from one product to another, rapid response to changing demands, the ability to produce a wide range of customized services.
Cycle Time
Cycle time the time it takes to accomplish one cycle of a process Reductions in cycle time serve two purposes
First, they speed up work processes so that customer response is improved. Second, reductions in cycle time can only be accomplished by streamlining and simplifying processes to eliminate nonvalue-added steps such as rework.
Breakthrough Improvement
Discontinuous change resulting from innovative and creative thinking, motivated by stretch goals, and facilitated by benchmarking and reengineering
Key Idea
Stretch goals force an organization to think in a radically different way, and to encourage major improvements as well as incremental ones.
Benchmarking
Benchmarking the search of industry best practices that lead to superior performance. Best practices approaches that produce exceptional results, are usually innovative in terms of the use of technology or human resources, and are recognized by customers or industry experts.
Types of Benchmarking
Competitive benchmarking - studying products, processes, or business performance of competitors in the same industry to compare pricing, technical quality, features, and other quality or performance characteristics of products and services. Process benchmarking focus on key work processes Strategic benchmarking focus on how companies compete and strategies that lead to competitive advantage
Reengineering
Reengineering the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical, contemporary measures of performance, such as cost, quality, service, and speed.
Key Idea
Reengineering involves asking basic questions about business processes: Why do we do it? and Why is it done this way?