CO 3 :

Apply and analyze the quality tools, management tools and statistical
fundamentals to improve quality

1. The Seven Tools of Quality

2. New Seven Management Tools
3. Statistical Fundamentals – Measures of Central Tendency
4. Measures of Central Dispersion
5. Population and Sample
6. Normal Curve
7. Control Charts for Variables
8. Control Charts for Attributes
9. Process Capability - Problems
10. Concept of SIX - Sigma
1. Flow charts
2. Check sheets
3. Histograms
4. Pareto diagrams
5. Cause-and-effect diagrams
6. Scatter diagrams
7. Control charts

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 Process map identifies the sequence of activities .
It provides a picture of the steps needed to accomplish a task.
Helps all employees understand how they fit into the process
and who are their suppliers and customers.
Can also pinpoint places where quality-related measurements
should be taken.

Also called process mapping and analysis.

Very successfully implemented in various organizations.

e.g. Motorola reduced manufacturing time for pagers using flow charts.

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Special types of data collection forms in which the results may
be interpreted on the form directly without additional
processing.
Data sheets use simple columnar or tabular forms to record
data. However, to generate useful information from raw data,
further processing generally is necessary.
Additionally, including information such as specification limits
makes the number of nonconforming items easily observable
and provides an immediate indication of the quality of the
process.
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Based on the 85-15
Pareto distribution.
Helpful in identifying
the quality focus areas.
Popularized by Juran.
It is a histogram of the
data from the largest
frequency to the
smallest.

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Also called fishbone diagrams (because of their shape)
or Ishikawa diagrams.
Helps in identifying root causes of the quality failure.
(Helps in the diagnostic journey.)

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Graphical components of the regression analysis.
Often used to point out relationship between variables.
Statistical correlation analysis used to interpret scatter
diagrams.

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Run chart: Measurement against progression of time.
Control chart: Add Upper Control Limit and Lower
Control Limit to the run chart.

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SEVEN NEW MANAGEMENT TOOLS
1.Affinity diagram
2.Inter – relationship diagram
3.Tree diagram
4.Matrix diagram
5.Matrix data diagram
6.Process Decision Programme Chart
7.Arrow diagram

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 Affinity diagram
• The affinity diagram organizes ideas with following steps:
Record each idea on cards or notes.
Look for ideas that seem to be related.
Sort cards into groups until all cards have been used.
• Once the cards have been sorted into groups the team may sort large clusters into subgroups
for easier management and analysis.
• Once completed, the affinity diagram may be used to create a cause and effect diagram.

• In many cases, the best results

tend to be achieved when the
activity is completed by a
cross-functional team, including
key stakeholders.
• The process requires becoming
deeply immersed in the data,
which has benefits beyond the
tangible deliverables. 11
Inter – relationship diagram

 An interrelationship diagram consists of a set of boxes,

one representing each issue to be considered.

 It is organized in a radial pattern on the page.

Connecting lines between the boxes indicates their

relationship.

Arrows show direct relationships and distinguish causes from

effects.

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Tree diagram

What is a Tree Diagram?

A tree diagram is simply a way of representing a sequence of events. Tree

diagrams are particularly useful in probability since they record all possible outcomes
in a clear and uncomplicated manner.

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Matrix diagram

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Statistical Fundamentals – Measures of Central Tendency

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 Population :
• In statistics, a population is an entire group about which some information is required to be ascertained.
• A statistical population need not consist only of people.
•A population can be defined as including all people or items with the characteristic one wishes to
understand.
•Because there is very rarely enough time or money to gather information from everyone or everything in
a population, the goal becomes finding a representative sample (or subset) of that population.

• A probability sample is a sample in which every unit in the

population has a chance (greater than zero) of being
selected in the sample, and this probability can be
accurately determined.

• The combination of these traits makes it possible to

produce unbiased estimates of population totals, by
weighting sampled units according to their probability of
selection

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Control Charts for Variables

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uses process capability analysis as a means of measuring progress.

The smaller the standard deviation, the lesser the deviation of the
product characteristic from its mean value.

If the process has a normal distribution, the upper and lower

specification limits are +/- 6 sigma from the mean

The non-conformance is 2ppb and the process capability Cp is 2.0

A normal process with mean shifted +/-1.5 sigma from the target value
desired has non-conformance of 3.4ppm and process capability index
Cpk= 1.5.
Business improvement approach that seeks to find and
eliminate causes of defects and errors in processes by
focusing on outputs that are critical to customers.
The term Six Sigma is based on a statistical measure
that equates 3.4 or fewer errors or defects per million
opportunities.
Motorola pioneered the concept of Six Sigma.
The late Bill Smith, a reliability engineer is credited with
conceiving the idea of Six Sigma.
GE (specifically CEO Jack Welch) extensively promoted
it.

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Core philosophy based on key concepts:
Think in terms of key business processes and customer
requirements with focus on strategic objectives.
Focus on corporate sponsors responsible for
championing projects.
Emphasize quantifiable measures such as defects per
million opportunities (dpmo).
Ensure appropriate metrics is identified to maintain
accountability.
Provide extensive training.
Create highly qualified process improvement experts -
“belts”.
Set stretch objectives for improvement.

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LSL USL

-6 sigma -3 sigma Mean +3 sigma +6 sigma