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Quality Management Overview Nic
Quality Management Overview Nic
Quality Management Overview Nic
One of the most important issues that businesses have focused on in the last 20-30 years has been quality. As markets have become much more competitive - quality has become widely regarded as a key ingredient for success in business.
Meaning of Quality
Websters Dictionary
What is quality?
Quality is first and foremost about meeting the needs and expectations of customers. It is important to understand that quality is about more than a product simply "working properly".
QUALITY
Quality is the ability of a product or service to consistently meet or exceed customer expectations. Quality is defined as meeting or exceeding customers requirements now and in the future, i.e. the product or service is fit for the customers use.
quality as representing all the features of a product or service that affect its ability to meet customer needs. If the product or service meets all those needs - then it passes the quality test. If it doesn't, then it is sub-standard.
What is Quality?
Fitness for Use Conformance to Specifications Producing the Very Best Products Excellence in Products and Services Total Customer Satisfaction Exceeding Customer Expectations Quality improvement starts with reducing Product VARIABILITY.
1 What is Quality?
Inspection (Detection) Quality Control (Detection using statistics) Quality Assurance (Prevention) Zero Defects e.g. ISO 9001:2000 Total Quality Management e.g. EFQM Excellence Model
Some definitions
The application of statistical techniques to the control of quality (SPC, Acceptance Sampling, etc.) The application of statistical techniques to the control of processes (sometimes considered a subset of SQC)
An all-encompassing approach to quality consistent with Demings 14 points
Definitions from Quality Systems Terminology, American Society for Quality Control, ANSI/ASQC A3-1987
How do we reduce Product Variability? We use Statistical Process Control ! (SPC) Statistical Process Control: The application of statistical techniques to the control and improvement of processes.
how well product or service does what it is supposed to designing quality characteristics into a product or service
Quality of design
A Mercedes and a Ford are equally fit for use, but with different design dimensions
1 Performance
basic operating characteristics of a product; how well a car is handled or its gas mileage
2 Features
extra items added to basic features, such as a stereo CD or a leather interior in a car probability that a product will operate properly within an expected time frame; that is, a TV will work without repair for about seven years
3 Reliability
4 Durability
5 Serviceability
ease of getting repairs, speed of repairs, courtesy and competence of repair person degree to which a product meets pre established standards
6 Conformance
7 Aesthetics
how a product looks, feels, sounds, smells, or tastes subjective perceptions based on brand name, advertising, and the like
9 Safety
assurance that customer will not suffer injury or harm from a product; an especially important consideration for automobiles
How long must a customer wait for service, and is it completed on time? Is an overnight package delivered overnight? Is everything customer asked for provided? Is a mail order from a catalogue company complete when delivered?
2 Completeness:
3 Courtesy:
How are customers treated by employees? Are catalogue phone operators nice and are their voices pleasant? Is the same level of service provided to each customer each time? Is your newspaper delivered on time every morning?
4 Consistency
6 Accuracy
7 Responsiveness
How well does the company react to unusual situations? How well is a telephone operator able to respond to a customers questions?
8 Quality of Conformance
if new tires do not conform to specifications, they wobble if a hotel room is not clean when a guest checks in, the hotel is not functioning according to specifications of its design
Consumers and producers perspectives depend on each other Consumers perspective: PRICE Producers perspective: COST Consumers view must dominate
Meaning of Quality
Meaning of Quality
Producers Perspective
Consumers Perspective
Quality of Conformance
Production Conformance to specifications Cost
Quality of Design
Quality characteristics Price Marketing
Quality Gurus
Walter Shewart
W. Edwards Deming
Joseph M. Juran
Armand V. Feigenbaum
In 1951, introduced concepts of total quality control and continuous quality improvement
In 1979, emphasized that costs of poor quality far outweigh the cost of preventing poor quality In 1984, defined absolutes of quality management conformance to requirements, prevention, and zero defects
Philip Crosby
Kaoru Ishikawa
Promoted use of quality circles Developed fishbone diagram Emphasized importance of internal customer
Gurus!
Walter Shewhart
W. Edwards Deming Joseph M. Juran Armand Feignbaum Philip B. Crosby Kaoru Ishikawa Genichi Taguchi
Taguchi
Japan
Deming
Juran
Feigenbaum
Guru summaries adapted from Prof Tony Bendell Available at: www.cems.uwe.ac.uk/~jmcobby/industrialstats/qualitygurus.pdf and from
http://www.qmtzone.f9.co.uk/html/guru.html
Dr W Edwards Deming
Deming (1900-1994) is arguably the most famous of all the Quality Gurus and is often credited with Japan's rise to industrial dominance. He was born in 1900 and was awarded a doctorate in mathematical physics in 1928 by Yale University. His approach to quality draws heavily on Shewhart's concept of statistical process control.
Dr W Edwards Deming
For many years at the start of his career he worked as a statistician for the US Government Service, specialising in statistical sampling techniques. After the war, in 1946, he went to Japan as an Adviser to the Japanese Census. The Union of Japanese Scientists and Engineers (JUSE) invited him to lecture on quality control techniques to engineers and senior managers. His contribution to rebuilding the Japanese economy was recognized by the Emperor who awarded him the Second Order of the Sacred Treasure (Bendell, 1991).
Dr W Edwards Deming
His main message to the Japanese was that variability is inherent in any process and is due to two types of causes, namely, special causes which are easily assignable, identifiable and solvable by operators themselves, and common causes which are due to design and operation and only management can eliminate. Deming argues that 94 per cent of the quality problems are the responsibility of management
Dr W Edwards Deming
Throughout the 1950s, Deming conducted many lectures in Japan on statistical methods. Included in these lectures were many of the principles now constituting the "company-wide" approach or TQM. Whilst much of Deming's message to the Japanese reflected his statistical background, his work extended far beyond statistical methods.
Dr W Edwards Deming
He encouraged the Japanese to adopt a systematic approach to problem solving, later to become known as the PDCA (Plan, Do, Check, Action) cycle. He also urged senior managers to become more actively involved in quality improvement programmes. It was not until the 1970s that managers in the West began to consider whether Deming's methods could do for their companies what they had done for the Japanese.
Dr W Edwards Deming
CHECK
DO
Dr Joseph Juran
American
Dr Joseph Juran
Manufacturing-based approach
Dr Joseph Juran
Quality trilogy
Holding the gains
Quality Control Quality Planning
Breakthrough
Pareto analysis
Dr Armand Feigenbaum
Quality Control: Principles, Practice and Administration 1951 Total Quality Control: Engineering and Management 1961
best for the customer use at the right selling price (in Kelemen 2005 p29)
Value-based approach
Dr Armand Feigenbaum
Total quality:
Quality is neither a department, nor a technique, nor a philosophy. It is a fundamental way of managing. Central to this is the recognition that, without quality, your customersare simply not going to buy from you.
www.managementfirst.com/quality/interviews/feigenbaum
Dr Armand Feigenbaum
Costing quality:
Prevention costs planning systems and processes to avoid defects before they happen Appraisal costs inspection and quality control Internal failure costs scrap, rework External failure costs warranty costs, complaints
the message
Ishikawa
Taguchi
Shingo
Guru summaries adapted from Prof Tony Bendell Available at: www.cems.uwe.ac.uk/~jmcobby/industrialstats/qualitygurus.pdf and from
http://www.qmtzone.f9.co.uk/html/guru.html
Dr Kaoru Ishikawa
Dr Kaoru Ishikawa
Like many of the Japanese "gurus", Ishikawa was keen to promote the use of statistical techniques in commerce and industry.
In particular, Ishikawa believed that all employees should have a basic training in techniques such as: * * * * Bar Charts and Histograms Pareto Analysis Scatter Diagrams Cause and Effect Analysis
Dr Kaoru Ishikawa
Quality circles:
A voluntary group of some 5-10 workers from the same workshop who meet regularly and are led by a foreman, assistant foreman, work leader or one of the workers. Their aim is to:
contribute to the improvement and development of the enterprise by dealing with problems and looking for ways to improve the quality of the process and product Respect human relations and build a happy workshop offer job satisfaction via the drawing out of each persons capabilities to achieve their potential.
Dr Kaoru Ishikawa
Result
Materials
People
Dr Kaoru Ishikawa
Away from his technical contributions, Ishikawa was a strong advocate of the Company-Wide movement. He saw this approach as implying that: "quality does not only mean the quality of the product, but also of after-sales services, management, the company itself and the human beings who work in it".
Dr Genichi Taguchi
During the Second World War he worked in the Navigation Institute of the Imperial Japanese Navy and then the Institute of Statistical Mathematics at the Ministry of Education.
In 1950 he joined the Nippon Telephone and Telegraph Company and during his 12 year stay developed many of his methods.
Dr Genichi Taguchi
In the early 1970s Taguchi developed the concept of the "Quality Loss Function" and by the end of that decade was highly acclaimed in his own country. It was not until 1980 that Western companies, particularly in the USA began to implement Taguchi's methods. The most notable of these being Xerox, Ford and ITT. Taguchi had made little impact in Europe until the Institute of Statisticians organised a conference in London in 1987 to discuss his methods.
Dr Genichi Taguchi
The UK Taguchi Club, (now the Quality Methods Association) was formed later that year. Taguchi's methodology is geared towards pushing the concepts of quality and reliability back into the design stage, ie, prior to manufacturing. His method provides an efficient technique for designing product tests prior to beginning manufacturing. Taguchi methodology is fundamentally a prototyping technique that enables engineers/designers to produce a robust design which can survive repetitive manufacturing in order to deliver the functionality required by the customer.
Shigeo Shingo
Shigeo Shingo is the least known Japanese quality writer in the West. His approach emphasizes production rather than organizational issues, and it is thus manufacturing-based. He believed that statistical methods detect errors too late in the manufacturing process. Shingo's method emphasizes 'zero defects' through good engineering and process investigation and rectification (Shingo, 1986).
Shigeo Shingo
His method, poka-yoke or zero defects, stops the process whenever a defect occurs, defines the cause and prevents the recurring source of the defect. The method relies on a process of continuously monitoring potential sources of error. The machines used in this process are equipped with feedback instrumentation that identifies errors before they become defects, so remedial action can be taken.
Crosby
Peters
Guru summaries adapted from Prof Tony Bendell Available at: www.cems.uwe.ac.uk/~jmcobby/industrialstats/qualitygurus.pdf and from
http://www.qmtzone.f9.co.uk/html/guru.html
Phil Crosby
Philip Crosby is perhaps the most well marketed and charismatic of the American Quality Gurus. He is a graduate of the Western Reserve University, and after serving with the US Navy in the Korean war, he held a variety of quality control jobs. He spent fourteen years working his way up within ITT, eventually becoming Corporate VP and Director of Quality, with worldwide responsibilities.
Phil Crosby
In 1979 Crosby published his famous "Quality is Free" book, and as a result of that success, left ITT to form his own company, Philip Crosby Associates Inc. Crosby's name is most strongly associated with the "Do it Right First Time" and "Zero Defects" concepts. Crosby believes that most companies spend up to 5% of their operating revenues in correcting mistakes which need not have been made in the first place.
Phil Crosby
Phil Crosby
Crosby defines quality as conformance to requirements which the company itself has established for its products based directly on its customers' needs. Quality is an inherent characteristic of the product, not an added element. Crosby argues that management is to blame for the vast majority of the quality problems within an organization. Moreover, the
most important performance measurement within an organization is the cost of quality and
it is cheaper to get things right first time.
Phil Crosby
1.
2. 3.
4.
Tom Peters
Tom Peters
In a second book, A Passion for Excellence (1985), Peters and Austin identify leadership as central to the quality improvement process. They see management by walking about (MBWA) as the basis of leadership for it enables the leader to keep in touch with the workers, customers and suppliers.
Tom Peters
West. Such ways tend to focus on the enduser as the most important factor in
Quality management
Quality management is concerned with controlling activities with the aim of ensuring that products and services are fit for their purpose and meet the specifications.
Quality assurance
Quality assurance is about how a business can design the way a product of service is produced or delivered to minimize the chances that output will be sub-standard. The focus of quality assurance is, therefore on the product design/development stage.
QUALITY ASSURANCE
Why focus on these stages? The idea is that - if the processes and procedures used to produce a product or service are tightly controlled - then quality will be "built-in". This will make the production process much more reliable, so there will be less need to inspect production output (quality control).
QUALITY ASSURANCE
Quality assurance involves developing close relationships with customers and suppliers. A business will want to make sure that the suppliers to its production process understand exactly what is required - and deliver!
Quality Assurance
Strategic Approach
Proactive, focusing on preventing mistakes from occurring Greater emphasis on customer satisfaction
Dimensions of quality
Performance Conformance Features
Durability
QUALITY
Reliability
Serviceability Response
Aesthetics
Dimensions of Quality
(Product) Automobile
Everything works, fit & finish Ride, handling, grade of materials used Interior design, soft touch
2. Aesthetics
3. Special features Gauge/control placement Location, call when ready Cellular phone, CD Computer diagnostics player
6. Durability
7. Perceived quality
Service Quality
Tangibles Convenience Reliability Responsiveness Time Assurance Courtesy
Examples
Were the facilities clean, personnel neat? Was the service center conveniently located? Was the problem fixed? Were customer service personnel willing and able to answer questions? How long did the customer wait? Did the customer service personnel seem knowledgeable about the repair?
7. Courtesy
Quality of design
Intension of designers to include or exclude features in a product or service The degree to which goods or services conform to the intent of the designers
Quality of conformance
Equipment
Information Management
Occurrence Management
Assessment
Process Improvement
Customer Service
Competitive Advantage
The terminology used in the field of strategic management that might possibly garner the prize for the most overworked and least understood catchphrase is "competitive advantage." The extension of that phrase into "sustainable competitive advantage" is currently an elaboration of ambiguity.
that which one firm can do better than another to satisfy customer requirements.
Some benefit value provided by a product or company, often unique to the organization concerned, that gives it superiority in the market place.
Condition which enables a company to operate in a more efficient otherwise higher-quality manner than the companies it competes with, and which results in benefits accruing to that company.
process by which a company studies the actions of its major competitors in order to determine what specific strategies they are following and how those strategies affect its own; also used by marketers as they try to develop competitive advantages, ...
Order winners
are the criteria that differentiates the products and services of one firm from another
Order qualifiers
are the basic criteria that permit the firms products to be considered as candidates for purchase by customers screening criterion that allows your products to be considered