DOMS NIT TRICHY

New Seven Rules of Quality

Assignment 1
Santhosh P

Submitted by, Santhosh P 215111045

Table of Contents
SIGNIFICANCE OF THE SEVEN NEW QC TOOLS .......................................................................... 3 THE ROLE OF THESE TOOLS IN TOTAL QUALITY MANAGEMENT ........................................ 3 AN OVERVIEW OF THE TOOLS ........................................................................................................ 4 Affinity Diagrams................................................................................................................................. 4 Advantages...................................................................................................................................... 5 Construction of Affinity Diagram ................................................................................................... 5 Interrelationship Diagrams.................................................................................................................. 5 Constructing a Relations Diagram................................................................................................... 5 Tree Diagrams ..................................................................................................................................... 6 Advantages of Tree Diagrams ......................................................................................................... 6 Constructing a Tree Diagram .......................................................................................................... 6 Matrix Diagrams.................................................................................................................................. 6 Advantages of Matrix Diagrams ...................................................................................................... 6 Constructing a Matrix Diagram ....................................................................................................... 7 Arrow Diagrams .................................................................................................................................. 7 Advantages of Arrow Diagrams ...................................................................................................... 8 Constructing an Arrow Diagram...................................................................................................... 8 Process Decisions Program Charts ...................................................................................................... 8 Advantages of Process Decisions Program Charts (PDPCs) ........................................................... 9 Constructing a PDPC ....................................................................................................................... 9 Matrix Data Analysis ......................................................................................................................... 10 Advantages of Principal Component Analysis............................................................................... 10 Constructing a Prioritization Grid ................................................................................................. 10 TIPS FOR SUCCESSFULLY USING THESE TOOLS ...................................................................... 11 UNDERSTAN THE PROBLEM .......................................................................................................... 11 SELECTING THE RIGHT TOOL FOR THE JOB.............................................................................. 12 OBTAINING THE APPROPRIATE VERBAL DATA ....................................................................... 13 INTERPRETING ANALYTICAL RESULTS ..................................................................................... 14 BENEFITS OF THESE TOOLS........................................................................................................... 14 CONCLUSIONS .................................................................................................................................. 14 REFERENCES .......................................................................................................................................... 15

SIGNIFICANCE OF THE SEVEN NEW QC TOOLS The Seven New QC Tools differ from the conventional basic Seven QC Tools, which are used mainly for analyzing numerical data (data based on facts, not fancy). However facts cannot always be adequately expressed by numerical data alone. For example, suppose that a washing machine is being redesigned. Its purchasers are dissatisfied, complaining that it is difficult to use because its control are poorly positioned. The new models designers should incorporate this information in the new design. Users may also have opinions about the machines styling, colour, and other characteristics as well as its convenience of use. Many such customer requirements cannot be expressed numerically, only verbally. Nevertheless, even verbal statements can be expressions of facts, because it represents facts, we ought to use verbal data as well as numerical data in managing quality. The Seven New QC Tools act as a new kind of driving force propelling quality management in fresh directions as we enter the age of total quality. The Seven New Q.C Tools are Affinity diagrams, Relation diagrams, Tree diagrams, Matrix diagrams, Priorities matrix, Arrow diagrams and Process decision program charts. When properly used in various combinations, they can dramatically increase the effectiveness of many TQM activities. They are also compatible with the original seven tools, in fact they complement them. When used together, the two sets of tools can greatly assist the promotion of total quality.

THE ROLE OF THESE TOOLS IN TOTAL QUALITY MANAGEMENT Today quality control is undergoing a major transformation through its evolution into Total Quality Management (TQM); it is involving people in every department and at all levels. Although quality was traditionally the exclusive province of Quality Control Department but it has now became everyones business. The Seven New Q.C Tools or the Seven Management & Planning Tools are exactly what is needed to meet the demands of new total quality era. Human resource development is essential for attaining the goals of TQM, because developing people is the secret of improving a companys internal environment. The aim is to create a culture and organization in which all employees constantly use their heads, generate ideas, and exercise their abilities in the total quality activities. The figure shows the relationship between these keys and the functions of the seven New QC Tools.

AN OVERVIEW OF THE TOOLS The Seven New QC Tools or Management and Planning tools are a) Affinity diagram b) Relation diagram c) Tree diagram d) Matrix diagram e) Matrix Data Analysis f) Arrow diagram g) Process decision program charts

Affinity Diagrams
Affinity diagram is a tool/method that gathers large amounts of intertwined verbal data. It organizes the verbal data into groups based on natural relationship. Such formation of distinct groups help a meaningful picture to emerge, thereby making it feasible for further analysis and to find a solution to the problem.

Advantages

Facilitates breakthrough thinking and stimulate fresh ideas Permits the problem to be pinned down accurately Ensures everyone clearly recognizes the problem Incorporates opinions of entire group Fosters team spirit Raises everyones level of awareness Spurs to the group into action

Construction of Affinity Diagram 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 (natural affinity for each other) Combine statements on data cards to new Affinity statement Make new card with Affinity statement Continue to combine until less than 5 groups Lay the groups outs, keeping the affinity clusters together

Interrelationship 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 Useful at planning stage for obtaining perspective on overall situation Facilitates consensus among team Assists to develop and change peoples thinking Enables priorities to be identified accurately Makes the problem recognizable by clarifying the relationships among causes

Constructing a Relations Diagram

Express the problem in form of Why isnt 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 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

Tree Diagrams
Develops a succession of strategies for achieving objectives Reveals methods to achieve the results. Also known as Systematic diagrams or Dendrograms
Advantages of Tree Diagrams

Systematic and logical approach is less likely that items are omitted Facilitates agreement among team Are extremely convincing with strategies
Constructing a Tree Diagram

Write Relations Diagram topic (Objective card) Identify constraints on how objective can be achieved Discuss means of achieving objective (primary means, first level strategy) Take each primary mean, write objective for achieving it (secondary means) Continue to expand to the fourth level Review each system of means in both directions (from objective to means and means to objective) Add more cards if needed Connect all levels

Matrix Diagrams
For Clarifying Problems by Thinking Multi-dimensionally Consists of a two-dimensional array to determine location and nature of problem Discovers key ideas by relationships represented by the cells in matrix.
Advantages of Matrix Diagrams

Enable data on ideas based on extensive experience Clarifies relationships among different elements Makes overall structure of problem immediately obvious Combined from two to four types of diagrams, location of problem is clearer. 5 types: L-shaped, T-shaped, Y-shaped, X-shaped, and C-shaped

Constructing a Matrix Diagram

Write final-level means from Tree diagram forming vertical axis Write in Evaluation categories (efficacy, practicability, and rank) on horizontal axis. Write in Evaluation categories (efficacy, practicability, and rank) on horizontal axis. Write names along horizontal axis Label group of columns as Responsibilities Label right-hand end of horizontal axis as Remarks Examine each cell and insert the appropriate symbol: o Efficacy: O=good, 5=satisfactory, X=none o Practicability: O=good,5=satisfactory, X=none Determine score for each combination of symbols, record in rank column Examine cells under Responsibility Columns; insert double-circle for Principal and single-circle for Subsidiary Fill out remarks column and record meanings of symbol

Arrow Diagrams
For Working Out Optimal Schedules and Controlling Them Effectively Shows relationships among tasks needed to implement a plan Network technique using nodes for events and arrows for activities Used in PERT (Program Evaluation and Review Technique) and CPM (Critical Path Method)

Advantages of Arrow Diagrams

Allows overall task to viewed and potential snags to be identified before work starts Leads to discovery of possible improvements Makes it easy to monitor progress of work Deals promptly with changes to plan Improves communication among team Promotes understanding and agreement among group

Constructing an Arrow Diagram

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 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 Examine path, number nodes in sequence from left to right Record names and other necessary information

Process Decisions Program Charts

For Producing the Desired Result from Many Possible Outcomes Used to plan various contingencies Used for getting activities back on track Steers events in required direction if unanticipated problems occur Finds feasible counter measures to overcome problems

Advantages of Process Decisions Program Charts (PDPCs)

Facilitates forecasting Uses past to anticipate contingencies Enables problems to pinpointed Illustrates how events will be directed to successful conclusion Enables those involved to understand decision-makers intentions Fosters cooperation and communication in group Easily modified and easily understood

Constructing a PDPC

Select a highly effective, but difficult strategy from the Tree diagram Decide on a goal (most desirable outcome) Identify existing situation (Starting point) Identify constraints of objective List activities to reach goal and potential problems with each activity Review list. Add extra activities or problems not thought of previously Prepare contingency plan for each step and review what action is needed if step is not achieved Examine carefully to check for inconsistencies and all important factors are included Examine to make sure all contingency plans are adequate

Matrix Data Analysis

Principal Component Analysis Technique quantifies and arranges data presented in Matrix Based solely on numerical data Finds indicators that differentiate and attempt to clarify large amount of information

Advantages of Principal Component Analysis

Can be used in various fields (market surveys, new product planning, process analysis) Can be when used when Matrix diagram does not give sufficient information Useful as Prioritization Grid
Constructing a Prioritization Grid

Determine your goal, your alternatives, and criteria for decision Place selection in order of importance Apply percentage weight to each option (all weights should add up to 1) Sum individual ratings to establish overall ranking (Divide by number of options for average ranking) Rank order each option with respect to criterion (Average the rankings and apply a completed ranking) Multiply weight by associated rank in Matrix (in example, 4 is best, 1 is worst) Result is Importance Score Add up Importance Scores for each option Rank order the alternatives according to importance

TIPS FOR SUCCESSFULLY USING THESE TOOLS The mental attitudes required by anyone thinking of using the Seven New QC Tools is to be keenly aware of the problem and extremely eager to solve it. Anyone using the tools must first be highly motivated. Without this, the tools will be of little avail. The following four points are particularly important for the abilities needed to use the tools skill fully.

o Understand problem o Select right tool for job o Obtain appropriate verbal data o Interpret analytical results UNDERSTAN THE PROBLEM When solving a problem using the Seven New QC Tools, it is essential to know exactly which stage of the problem-solving process you have reached. These are three stages to the solution of a problem:

Stage 1 The problem requiring a solution is still unclear. At this stage, various minor events are occurring, but it is still not obvious which constitutes the real problem. The important action at this point is to find out exactly what issue should be addressed. Stage 2 The problem is obvious, but its causes are unknown. The problem to be tackled has taken shape by this stage, but it is still unclear why it has arisen. Various possible causes must be explored and the true ones singled out. Stage 3 The problem and its causes are understood, but the required action is not known. The problem and its causes are clear at this stage, but the specific strategies required to solve the problem have still not been worked out. A concrete plan must be developed SELECTING THE RIGHT TOOL FOR THE JOB Be sure to choose the appropriate tool depending on whether you are at stage1, 2, or 3 of the problem-solving process. When you know which stage you have reached in solving the problem, the goals of your analysis will become clear and you will be able to select the right tool and the correct method of using it. When faced with a stage-1 problem, collect verbal information on whatever is happening and use an affinity diagram to structure it. This will enable you to identify the problem that must be tackled. For a stage-2 problem, choose a tool that will enable you to identify its causes. The relations diagram is more appropriate when complex relationships exist among the many causes of a single result. A matrix diagram is effective when there are many problems or effects and these can be related in a row and column format to a list of causes. For stage-3 problems, some method is needed to list and plan the activities required to solve the problem. Ideas can be elicited by using a tree diagram to develop certain key points and to generate a list of strategies intended to achieve a particular objective. Once the requisite activities for solving the problem have been identified by these methods, it becomes necessary to device a schedule for carrying them out. Use an arrow diagram for this. When it is impossible to determine in advance everything that must be done, or when certain decisions will depend on the outcome of previous activities, use the PDPC method to develop and continually modify an initial plan

OBTAINING THE APPROPRIATE VERBAL DATA

The following are some hints on gathering verbal data by group discussion Ensure a common understanding of the problem-solving Collect all data without bias or distortion Collect data that fits the objectives of the analysis Use the right kind of data for the right purpose. There are three types of verbal data: o Facts. Factual observations expressed directly in words o Opinions. Factual information colored by opinion o Ideas. New concepts created by analyzing and reconstituting facts

INTERPRETING ANALYTICAL RESULTS It is essential to obtain the information needed for accomplishing the objectives, either from the completed diagrams or from the process of completing them. To do this, you must think about the information obtained. Some hints on this follow. Prepare a brief report summarizing the information obtained when using the Seven New QC Tools, never just construct the diagrams and leave it at that. Always make a record of the findings obtained and conclusions drawn from the diagrams and the process of constructing them, even if it is only a list of key points. This is particularly important when using affinity diagrams or relations diagrams. Check whether the necessary data has in fact been obtained Do not forget to check the results of your analysis to ensure that you have actually obtained the data you need. If you have not, it is due either to insufficient data or unskilful use of the tools. Discover the cause and take appropriate action.

BENEFITS OF THESE TOOLS i- Make possible to express verbal data diagrammatically ii- Overall picture and fine details become visible iii- Get more people involved iv- Provide training in thinking and generating ideas v- R a i s e peoples problem-solving ability vi- Increase peoples ability to predict future events vii- Build people self confidence viii-Strengthen creativity and originality ix- Help to organize information x- E l i m i n a t e s errors and omissions xi- Improve cooperation xii- Improve planning

CONCLUSIONS

The Seven New QC Tools are definitely a very useful addition in the quality toolbox. These tools are very useful in organizing the verbal data, solving the complex problems and properly planning the jobs. The organizations using these tools after clearly understanding and practicing it will definitely be benefited. The continuous use of these tools upgrades the personnel characteristics of the people involved. It enhances their ability to think generate ideas,

solve problem and do proper planning. The development of people improves the internal environment of the organization, which plays a major role in the total Quality Culture.

REFERENCES
http://www.iqd.com/pfttools.htm Application of Seven New QC Tools - Muhammad Amjad, International Convention on Quality Improvement October 26-27, 2002 http://asq.org/learn-about-quality/new-management-planning-tools/overview/overview.html New Quality Tools, Dr. Douglas M. Stewart, The Anderson Schools of Management, University of New Mexico