University B.D.

T College of Engineering DAVANGERE

Topic
MODULE 4:
Continuous Process Improvement
Statistical Process Control
Dr. S.B. MALLUR
Professor
Department of Studies in Mechanical Engineering
University B.D.T College of Engineering DAVANGERE – 577 004
(A Constituent College of V.T.U, Belgaum)
Cell No: 9448069380
E-Mail- sbmallur@rediffmail.com, sbmallur@gmail.com
 UNIT - 4
Continuous process improvement
statistical process control
Module - 4
Continuous Process Improvement: process, the Juran
trilogy, improvement strategies, types of problems,
the PDSA Cycle, problem-solving methods, Kaizen,
reengineering, six sigma, case studies.
Statistical Process Control : Pareto diagram, process
flow diagram, cause and effect diagram, check sheets,
histograms, statistical fundamentals, Control charts,
state of control, out of control process, control charts
for variables, control charts for attributes, scatter
diagrams, case studies
 Introduction
• Quality-based organizations should strive to
achieve perfection by continuously improving the
business and production processes.
• Of course perfection is impossible because the
race is never over; however, we must continually
for its attainment.
• Improvement is made by
Viewing all work as a process, whether it is
associated with production or business
activities.
Making all processes effective, efficient, and
adaptable.
Anticipation changing customer needs.
Controlling in-process performance using
measures such as scrap reduction, cycle time,
control charts, and so forth.
• Improvement is made by
Maintaining constructive dissatisfaction with the
present level of performance.
Eliminating waste and rework wherever it occurs.
Investigating activities that do not add value to the
product or service, with the aim of eliminating
those activities.
Eliminating nonconformities in all phases of
everyone's work, even if the increment of
improvement of improvement is small.
• Improvement is made by
Using benchmarking to improve competitive
advantage.
Innovating to achieve breakthroughs.
Incorporating lessons learned into future activities.
Using technical tools such as statistical process
control (SPC), experimental design, benchmarking,
quality function deployment (QFD), and so forth.
• Continuous process improvement is designed to
utilize the resources of the organization to achieve a
quality-driven culture.
• Individuals must think, act, and speak quality.
• An organization attempts to reach a single-minded
link between quality and work execution by
educating its constituents to “continuously”
analyse and improve their own work, the processes,
and their work group.
• PROCESS
• Process refers to business and production
activities of an organization.
• Business processes such as purchasing,
engineering, accounting, and marketing are
areas where non conformance can represent
an opportunity for substantial improvement.
Figure 5-1 shows a process model.
Figure 4-1 Input/output Process
Model
• Inputs may be materials, money, information, data,
etc. Outputs may be information, data, products,
service, etc.
• The output of one process also can be the input to
another process.
• Outputs usually require performance measures.
They are designed to achieve certain desirable
outcomes such as customer satisfaction.
• Feedback is provided in order to improve the
process.
• The process is the interaction of some
combination of people, materials, equipment,
method, measurement, and the environment
to produce an Outcome such as a product, a
service, or an input to another process.
• In addition to having measurable input and
out-put, a process must have value-added
activities and repeatability.
.
• It must be effective, efficient, under control,
and adaptable. In addition, it must adhere to
certain conditions imposed by policies and
constraints or regulations.
• Examples of such conditions may include
constraints related to union-based job
descriptions of employees, state and federal
regulations related to storage of
environmental waste, or bio-ethical policies
related to patient care.
• It must be effective, efficient, under control,
and adaptable. In addition, it must adhere to
certain conditions imposed by policies and
constraints or regulations.
• Examples of such conditions may include
constraints related to union-based job
descriptions of employees, state and federal
regulations related to storage of
environmental waste, or bio-ethical policies
related to patient care.
• Process definition begins with defining the
internal and/or external customers.
• The customer defines the purpose of the
organization and every process within it.
• Because the organization exists to serve the
customer, process improvements must be
defined in terms of increased customer
satisfaction as a result of higher quality
products and services.
• All processes have at least one owner. In some
cases, the owner is obvious, because here is
only one person performing the activity.
• However, frequently the process will cross
multiple organizational boundaries, and
supporting sub-processes will be owned by
individuals within each of the organizations.
• Thus, ownership should be part of the
process improvement initiatives.
• At this point it is important to define an
improvement. There are five basic ways to improve:
1.reduce resources,
2.reduce errors,
3.meet or exceed expectations of downstream
customers,
4.make the process safer, and
5.make the process more satisfying to the person
doing it.
• First, a process that uses more resources than necessary is
wasteful. Reports that are distributed to more people than
necessary wastes copying and distribution time, material,
users and read time, and, eventually, file space.
• Second, for the most part, errors are a sign of poor
workmanship and require rework. Typing errors that are
detected after the computer printout require opening the
file, making the correction, and printing the revised
document.
• Third, by meeting or exceeding expectations of
downstream customers, the process is improved. For
example, the better the weld, the less grinding required,
making the appearance of finish paint more pleasing.
• The fourth way to improve a process is to increase the
satisfaction of the individual performing the process.
Sometimes, a little change, such as an ergonomically
correct chair, can make a substantial change in a person’s
attitude toward their work.
THE JURAN TRIOLOGY
• About : Joseph M. Juran
1. Born December 24, 1904
2. Graduated from Minneapolis South High School (1920)
3. Bachelor's degree in electrical engineering from the
University of Minnesota (1924)
4. Contribution in the field of management, particularly
quality management
• Founder of the consulting firm of Juran Institute, Inc.
• Quality
1. “Quality” means those features of products which
meet customer needs and thereby provide
customer satisfaction
2.“Quality” means freedom from deficiencies—
freedom from errors that require doing work over
again (rework) or that result in field failures,
customer dissatisfaction, customer claims, and so
on
3. In this sense, the meaning of quality is oriented to
costs, and higher quality usually “costs less
• J.M. Juran’s Trilogy
1.Developed the idea of trilogy
• Quality Planning
• Quality Improvement
• Quality Control
2. Trilogy shows how an organization can improve every
aspect by better understanding of the relationship between
processes that plan, control and improve quality as well as
business results
3. In 1951, the first edition of Juran’s quality control
handbook was published
• How To Manage For Quality: The Juran Trilogy
1. To attain quality, it is well to begin by establishing the
“vision” for the organization, along with policies and goals
2. Managing for quality makes extensive use of three such
managerial processes:
• Quality Planning
• Quality Control
• Quality Improvement
These processes are now known as the “Juran trilogy”
Process improvement involves
planning. One of the best
approaches is the one
developed by Dr. Joseph Juran.
It has three components:
planning, control, and
improvement, and is referred
to as the Juran Trilogy. It is
based loosely on financial
processes such as budgeting
(planning), expense
measurement (control), and
cost reduction (improvement).
• 4.3.1. PLANNING
• The planning component begins with external customers.
Once quality gods are established, marketing determines
the external customers, and all organizational personnel
(managers, members of multifunctional teams, or work
groups) determine the internal customers.
• External customers may be quite numerous, as is the case
of a bank supply organization, where they include tellers,
financial planners, loan officers, auditors, managers, and
the bank's customers.
• Where there are numerous customers, a Pareto diagram
might be useful to determine the vital few.
• 4.3.1. PLANNING
• Once the customers are determined, their needs are
discovered. This activity requires the customers to state
needs in their own words and from their own viewpoint;
however, real needs may differ from stated needs.
• For example, a stated need may be an automobile,
whereas the real need is transportation or a status symbol.
In addition, internal customers may not wish to voice real
needs out of fear of the consequences.
• One might discover these needs by
• (1) Being a user of the product or service,
• (2) Communicating with customers through product or
service satisfaction and dissatisfaction information, or
• (3) Simulation in the laboratory. Because customer needs
are stated from their viewpoint, they should be translated
to requirements that are understandable to the
organization and its suppliers.
• Quality Planning
1. Establish quality goals
2. Identify who the customers are
3. Determine the needs of the customers
4. Develop product features that respond to customer’s needs
5. Develop processes able to produce the product features
6. Establish process controls; transfer the plans to the
operating forces
• 4.3.2. CONTROL
• Control is used by operating forces to help meet the
product, process, and service requirements. It uses the
feedback loop and consists of the following steps:
1. Determine items/subjects to be controlled and their units
of measure.
2. Set goals for the controls and determine what sensors need
to be put in place to measure the product, process, or
service.
3. Measure actual performance.
4. Compare actual performance to goals.
5. Act on the difference.
• Statistical process control is the primary technique for
achieving control. The basic statistical process control (SPC)
tools are Pareto diagrams, causeand-effect diagrams, check
sheets, histograms, control charts, and sea diagrams. In
addition, process capability information such as CP and CPK
are used to determine if the process is capable and is
cantered.
• Quality Control
Evaluate actual performance
Compare actual performance with quality goals
Act on the difference
• 4.3.3. IMPROVEMENT
• The third part of the trilogy aims to attain levels of
performance that are significantly higher than current
levels.
• Process improvements begin with the establishment of effective
infrastructure such as the quality council. Two of the cut the council
are to identify the improvement projects and establish the project
with a project owner.
• In addition, the quality council needs to provide the team the
resources to determine the causes, create solutions, and establish
controls to the gains. The problem-solving method described in a
later section may be applied to improve the process, while the quality
council is the driver that ensures that improvement is continuous and
never ending. Process improvement can be incremental or
breakthrough.
• Above fig. 4.2. Provides an example of how the three
continuous improvement processes interrelated. In the
figure, Juran provides a distinction between sporadic waste
and chronic waste. The sporadic waste can be identified
and corrected through quality control. The chronic waste
requires an improvement process. As a solution is found
through the improvement process, lessons learned are
brought back o the quality planning process so that new
goals for the organisation may be established.
• Quality Improvement
Prove the need Establish the infrastructure
Identify the improvement projects
Establish project teams
Provide the teams with resources, training, and motivation
to:
Diagnose the causes Stimulate remedies
• Establish controls to hold the gains
• Strength of Juran’s Trilogy
1. The methodology searches a continuous improvement of
quality in every aspects of the organization, because if the
implementation of the methodology does not give the
desire results it is possible to start all over again
2. The methodology allows the use different quality tools to
cover the steps of Juran’s Trilogy. It allows a better
understanding of the relationships of every stage of the
company
3. The methodology is well structured and allows the
companies that implement it, an easy understanding and
application.
• Weakness of Juran’s Trilogy
1. To have quality control it is necessary to have a trained
person with knowledge in statistical processes or train
aspecial person to be in charge of quality
2. The program is focus in the company process and not in
labor force
3. Analyzing the requirements of the program we found that
the companies who apply the program have a complex
level of organization
4. This kind of methodologies show results in a long term; this
represents a risk for the company because the
implementation of the quality program can be a waste of
time, money and resources.