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Quality
Ability of a product or service to meet customerrequirements
Conformance to standards, both stated orimplied at a given time, over a period of timeand at a price the customer can afford to pay or
is willing to pay
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Dimensions of Quality Performance
Reliability
Conformance
Durability
Serviceability Features
Aesthetics
Perceived Quality
Time to serve
Timeliness
Completeness
Consistency
Courtesy Responsiveness
Accuracy
Convenience
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Quality Evolution
Inspection
QualityControl
QualityAssurance
Total QualityManagement
Reactive
Approach
ProactiveApproach
Detection
Finding & Fixingmistakes
Prevention
Stop defects atsource.
Zero defects
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Inspect products
Incorporates QC/QA activities into acompany-wide system aimed atsatisfying the customer.
(involves all organizational functions)
Planned and systematic actions toensure that products or servicesconform to company requirements
Operational techniques to makeinspection more efficient & toreduce the costs of quality.(example: SPC)
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TQM
A quest for quality that involves everybody in theorganization
A philosophy that involves everyone in theorganization in a continual effort to improve
quality and achieve customer satisfaction
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Key Philosophies in TQM
Never ending push to improve (continuousimprovement or Kaizen in Japanese)
Goal of customer satisfaction (meeting orexceeding customer expectations)
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TQM - Definition
Process of integration of all activities,functions and processes within anorganization in order to achieve continuousimprovement in cost, quality, function anddelivery of goods and services for customer
satisfaction
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TQM
Approach Management led
Scope Company wide
Scale Everyone is responsible for quality
Philosophy Prevention and not detection
Standard Right first time
Control- Cost of quality Theme Ongoing improvement
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Infrastructure, Practices and Tools
Infrastructure basic management systemsnecessary to function effectively : CR mgmt, HR mgmt,Leadership, Process mgmt, Info. mgmt
Practices activities that occur within eachelement of infrastructure to achieve high
performance
Tools graphical and statistical methods to planwork activities, data collection and analysis etc.
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Continuous Improvement(through measurement and analysis)
Customer
Focus
Process
Management
Employee Training
& Empowerment
T. Q. M.
Reduce rework activities (Cost reduction)
Shorter development cycle (Cost reduction)
Increased customer satisfaction (Quality improvement)
Pillars of TQM
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Eight Key Elements of TQM For a company to be successful in implementing
TQM they need to concentrate on these eight key
elements. These eight elements include Ethics Integrity Trust
Training Teamwork Leadership Recognition Communication.
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Continuous Improvement versus
Traditional Approach
Market-share focus Individuals Focus on who and
why Short-term focus Status quo focus
Product focus
Innovation
Fire fighting
Customer focus Cross-functional teams Focus on what and how
Long-term focus Continuous improvement
Process improvement focus
Incremental improvements
Problem solving
Traditional Approach Continuous improvement
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QUALITY PHILOSOPHIES
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Quality Gurus
W Edwards Deming
Joseph Juran Philip Crosby
Shigeo Shingo
Kaoru Ishikawa Yoshio Kondo
Taiichi Ohno
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Gurus of TQM
Walter.A.Shewhart -TQC &PDSA
W.Edwards Deming- 14 Points &PDCA
Joseph.M.Juran-Jurans Trilogy
A.Feiganbaum-Customer
requirement,CWQC,EmployeeInvolvement, TQC.
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Gurus of TQM Kaoru Ishikawa-Disciple of Juran &
Feigenbaum. TQC in Japan, SPC,
Cause &Effect Diagram,QC. Philips.B.Crosby. Four Absolutes-
Quality-Req, Prevention of NC,ZeroDefects & Measure of NC.
Taguchi.G-Loss Function.
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TQM MODELS
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Total Quality Models
A tentative plan and system of implementingTQM principles and practices in an organization
for achieving all the known benefits of TQM.
Primary purpose is to assure proper
implementation of TQ practice and provideadequate system of measurement for assessingperformance
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Any quality system model should address the followingcharacteristics of TQM process
Should be a systems approach Must show strong focus on customers
Transparent role of management and leadership Should incorporate systems for employee
participation Provide training and development of employees
Usage of tools for continuous improvement andTQ practice
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The variousTQM models available to industry and businesses arebased on Qlty Award Models like
Malcolm Baldrige National Quality Award(MBNQA), US
Deming Application Prize Award, Japan European Forum for Quality Management
(EFQM) Award Australian Quality Awards
Canadian Awards for Business Excellence
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The simplest model of TQM is shown in thisdiagram
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MBNQA
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The model consists of seven categories
Leadership
Strategic Planning
Customer & Market Focus
Measurement, Analysis & KnowledgeManagement
Workforce Focus
Process Management
Business Results
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EFQM
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The model consists of nine categories Leadership
Policy and Strategy People Partnerships and Resources Processes
Customer Results People Results Society Results Key Performance Results
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100
90
80
90
140
90
200
150
60
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Deming Prize
Dr. Demings teachings had an impact on theJapanese quality movement and, consequently,
the Deming Prize was established in his honourin 1951.
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The prize has two categories: The Deming Prize for Individuals: An annual award is
given to individuals that have made outstanding contributions to thestudy of TQM or statistical methods used for TQM, or to individualsthat have made outstanding contributions in the dissemination ofTQM;
The Deming Application Prize: An annual award is
presented to an organisation that has achieved distinctiveperformance improvements through the application of TQM. Theprize is open to organisations in all sectors - public or private, largeor small, or domestic or overseas. Furthermore, a division of acompany that manages its business autonomously may apply for theprize separately from the company.
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CONTINUOUS IMPROVEMENT
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Main vehicle in a TQM system for achieving highestlevel of performance
May take any one of several forms Enhancing value to the customer through new and
improved products and services Reducing errors, defects, wastes and related costs Increasing productivity and effectiveness in the use of
all resources Improving responsiveness and cycle time performance
for processes like resolving customer complaints, newproduct introduction
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Continuous improvement refers to bothincremental changes and breakthrough changes
Incremental small and gradual
Breakthrough large and rapid
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SIX SIGMA
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Six sigma is a business improvement approach that seeksto find and eliminate causes of defects and errors in
manufacturing and service processes by focusing onoutputs that are critical to customers and results in aclear financial return for the organization.
Six sigma equates to at most 3.4 dpmo
An ultimate stretch goal of all organizations that adoptthis philosophy is to have all critical processes at a sixsigma level of capability- a level of near zero defects.
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Project selection for 6 sigma Conformance problems unsatisfactory
performance by a well specified system
Unstructured performance problems-unsatisfactory performance by a poorly specifiedsystem
Efficiency problems-unsatisfactory performancefrom from stakeholders (other than customer)
standpoint Product design problems- designing new products tobetter satisfy user needs
Process design problems- designing new processesor substantially revising existing processes.
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Six Sigma Methodology DDefine priorities of customer with respect
to quality
MMeasure the processes and the defectsarising in the product due to the process
AAnalyze the process to determine the mostlikely causes of defects
I Improve the performance of the processand remove the causes of defects
CControl performance to ensure that
improvements are maintained over time
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Roles in Six Sigma
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DFSS
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DFSS Represents a set of tools and methodologies
used in the product development process to
ensure that goods and services will meetcustomer needs and achieve performanceobjectives and that the processes used to makeand deliver them achieve six sigma capability.
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The activities of DFSS Concept Development
Design development
Design Optimization
Design verification
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Concept Development:
determining product functionality based on
customer requirements, technological capabilitiesand economic realities
Design Development:
Focuses on product and process performanceissues necessary to fulfill product and servicerequirements in mfg or delivery
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Design optimization:
Minimizing the impact of variation in production
and use, creating a robust design
Design verification:
Ensuring that the production system is capable ofproducing within the specifications
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QFD
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QFD QFD is an approach developed by the Japanese to
meet customers requirements throughout the design
process and also in the design of production systems.
QFD is a planning process to guide the design,manufacturing and marketing of goods by integrating
the voice of the customer throughout the organization.
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House of quality A set of matrixes used to relate voice of
customer to a products technical requirements,
component requirements, process control plansand manufacturing operations
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Voice of
the
customer
Relationships
between
customer and
technical
requirements
Technical
requirements
Interrelationshi
ps
Priorities of
customer
requirement
s
Competitiv
e evaluation
Priorities of technical
requirements
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FMEA
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Design FMEA
Aids in design process by identifying known and
foreseeable failure modes and ranking failuresaccording to relative impact on product
Helps establish priorities based on expected
failures and severity of those failures and helpsfind out misjudgments and errors that may havebeen made.
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Design FMEA Reduces development time and cost of
manufacturing processes by eliminating many
potential failure modes before operation of theprocess
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In FMEA, failures are prioritized according to how serious their consequences are (severity)
how frequently they occur (occurrence) inability to detect them (detection)
o The overall risk of each failure is given by Risk PriorityNumber (RPN) which is the product of Severity (S),
Occurrence (O), and Detection (D)
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COST OF QUALITY
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Cost of quality is the amount of money a businessloses because its product or service was not done right
in the first place.
Cost of quality attempts to measure the costs associatedwith poor quality or lack of fitness for success.
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Prevention costs
Quality planning costs Salaries of individuals associated
Process control costs
Cost of analyzing production process andimplementing process control plans
Information system costs Cost to develop data requirements and measurements
Training and general management costs Cost on internal/external training programs Clerical staff expenses Misc supplies
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Appraisal costs Test and Inspection costs
Incoming materials, work-in-process, finished
goods Equipment costs and salaries
Instrument maintenance cost
Calibration and repair of instruments
Process measurement and control costs
Time spent by workers to gather and analyzequality measurements
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Internal failure costs Scrap and rework costs
Material, labour, overhead
Cost of corrective action Time spent determining causes of failure and
corrections
Downgrading costs
Revenue lost in selling product at lower price Process failures
Unplanned machine downtime Unplanned equipment repair
A compelling story was related by a Wal-Mart customer in a letter toFortune
magazine. He had telephoned Wal-Mart s headquarters to complain aIn the context of this case, explain how a company should treat its customers and customer complaints.
If you are the manager of the store how would you train front-line employees to handle customer complaints?
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External failure costs Cost due to customer complaints and returns
Rework on returned items
Cancelled orders
Product recall costs and warranty claims
Cost of repair or replacement
Associated administrative costs
Product liability costs
Resulting from legal actions and settlements
If you are the manager of the store, how would you train front line employees to handle customer complaints?
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DESIGN OPTIMIZATION
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Taguchi Loss Function Genichi Taguchi states that instead of constantly
directing effort toward controlling a process to
assure consistent quality, design themanufactured good to achieve high qualitydespite the variations that will occur in theproduction line.
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Traditional Goal Post View of Conforming to Specifications
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Taguchis loss function explains the economicvalue of reducing variation in manufacturing.
L(x) = k(xT)2
where
L(x) is the monetary value of the loss associated
with deviating from the target, T;xis the actual value of the dimension;
kis a constant
Nominal Is Best Taguchi Loss Function
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Nominal-Is-Best Taguchi Loss Function
INTRODUCTION
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INTRODUCTION
Taguchi Methods is a statistical methods developedlargely by GENICHI TAGUCHI to improve quality
of manufactured goods.
The philosophy of off-line quality control.
Innovations in the design of experiments.
T hi L F ti D fi iti
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Taguchi Loss Function Definition
Taguchi defines Quality as the loss imparted by theproduct to society from the time the product is
shipped.
LOSS = Cost to operate, Failure to function,maintenance and repair cost, customer satisfaction,
poor design. Product to be produced being within specification
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Taguchis Vs Traditional Approach
Taguchs Traditional
When a product
moves from its Targetwill cause the losseven if the productlies or not within
Limits
There is Good or Bad
Products only as perLimits
T hi Q d ti Q lit L
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Taguchis Quadratic Quality Loss
Function
Quality Loss Occurs when a products deviatesfrom target or nominal value.
Deviation Grows, then Loss increases.
Taguchis U-shaped loss Function Curve.
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Taguchis U-shaped loss Function Curve.
LTL Nominal
Measuredcharacteristic
UTL
Taguchi loss Fn
Scrap or Rework Cost.
Loss
Formula to find Taguchis Loss Fn
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Taguchi uses Quadratic Equation to
determine loss Curve
L (x) = k (x-T)
Where L (x) = Loss Function,
k = C/d = Constant of proportionality, where C
Loss associated with sp limitd - Deviation of specification
from target value
x = Quality Features of selected product,
T = Nominal Value of the product and
(x-T) = Tolerance
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Assume that a certain CTQ has a spec 0.500 +0.020. an analysis of records shows that if the
spec exceeds the target by 0.020 on either side,the cost of repair that needs to be incurred isRs.50.
i.e. 50 = k(0.20)2
K=125,000
The loss fn. is L (x) = 125000 (x-T)
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Japanese plant
variance = 2.78
US plant
variance = 8.33
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Expected Loss EL(x) = k (2 + D2)
2 -variance of quality characteristic
D2 - square of deviation of mean value fromtarget
D2 =(x-T) 2
K=0.16
For San Diego plant, variance was 8.33
For Japanese plant, variance was 2.78
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Loss:
San Diego = 0.16 x 8.33 = USD 1.33
Japanese = 0.16 x 2.78 = USD 0.44
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RELIABILITY PREDICTIONReliability
Ability of a product to perform as expected over time
The probability that a product, equipment orsystem performs its intended function for a
stated period of time under standard operatingconditions
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Four important elements
Probability Time
Performance
Operating conditions
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Reliability measurement
Reliability is measured as the number of failures
per unit time under consideration (failure rate). Failure rate,
= Number of failures/Total unit operating hours
= Number of failures/(Units tested) x (Number ofhours tested)
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Failure Rate
Products follow a pattern of failure. There is no information about the reliability (i.e.
Failure) of the product.
Failure Rate is a constant in known period of failure
can be found out using Exponential DistributionRt = e t Rt = Reliability of survival
Rt = e - t / t = Time for operation without failure
= Failure rate = Mean time to Failure
This function represents the probability that the item will not fail within t unitsof time.
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Debug
High failure rate at the initial stages because of
inappropriate use or flaws in the design andmanufacturing
Chance
Failure of the product due to accidents, poormaintenance or limitations on the design
Wear Out
Classification of failures
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