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Total Quality Management

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Title: Total Quality Management


1
Total QualityManagement
TQM
  • AKA
  • Business Process Reengineering
  • Six Sigma
  • And much, much more

Article Link The Fit Between Reengineering
Quality Management (.pdf)
2
Related Terminology
  • Balanced Scorecard
  • Baldrige National Quality Award
  • Benchmarking
  • Business Process Reengineering (BPR)
  • Deming
  • Document Control
  • DMADV / New Product Service Introduction
  • DMAIC / Existing Product or Service
  • Financial Analysis / Cost of Quality
  • ISO 9000
  • Lean Manufacturing
  • Management
  • Metrics
  • Plan, Do, Check, Act - PDCA
  • Process Management
  • Project Selection
  • Simulation
  • Six Sigma
  • Taguchi Methods

Click here for more on all of these terms ?
3.4 defects per million opportunities
6? atMSSU
3
ASQ link
4
Link ?
This Stuff Works!
5
What is Quality?
6
Quality Definitions
  • Quality Of Design (External Quality)
  • The feature or grade variations of a product
  • The result of design--purposely incorporated into
    the product product innovation
  • Features that meet customer needs
  • Fitness for use
  • Higher quality enables companies to
  • Increase customer satisfaction Make products
    salable
  • Meet competition Increase market share
  • Provide sales income Secure premium prices
  • Major effect is on sales
  • Usually, higher quality of design costs more
  • Examples
  • Car options (e.g. DVD player, "sport" package)
  • Temperature choices on washing machines
  • 2 yellow pine vs. 3 yellow pine
  • Basic oil change vs. "full service" oil change

7
Quality Definitions (continued)
  • Quality Of Conformance (Internal Quality)
  • The degree to which the product conforms to or
    meets specifications
  • The result of production variation process
    innovation
  • Minimal variation around an ideal value
  • Freedom from deficiencies
  • Higher quality enables companies to
  • Reduce error rates Reduce rework and waste
  • Reduce inspection, tests, field failures,
    warranty charges
  • Increase yields, capacity Reduce customer
    dissatisfaction
  • Major effect is on costs
  • Usually, higher quality of conformance costs less
  • Examples
  • Air conditioning temperature consistency
  • Thickness uniformity of steel plates
  • Number of defective parts
  • Virtually any process measure

8
Quality Improvement
  • Enhancing the features or grades of a product
  • Bringing a chaotic process into statistical
    control
  • Moving a process central tendency closer to its
    ideal value
  • The reduction of variation around an ideal value
    numerical representation of the customers true
    quality characteristic

9
Quality ofConformance
10
Principles of TQM(An Abbreviated List)
  • Continuous Improvement
  • Customer Focus
  • Focus on Systems/Processes
  • Teams Empowerment
  • Leadership Patience
  • Prevention

11
Cost of Correcting a Copier Malfunction
  • After shipped 590,000 (external failure)
  • Before shipped 17,000
  • Before production 368
  • Before procuring parts 177
  • Before making parts list 35 (during design)
  • Cost increasedOver 16,000X? PREVENTION!

12
How TQM Works(A Vast Simplification)
  1. Top Management Commitment Knowledge
  2. Formation of Steering Team
    (AKA Quality Council)
  3. Identification of Major Opportunities
    for Improvement
  4. Commissioning of Project Teams
  5. Provision of Resources/Monitoring
  6. Incremental Improvement thru Natural
    Work/Management Teams

13
Pareto Analysis
  • Identifies the vital few
  • Problems
  • Symptoms
  • Causes
  • Orders phenomena being studied
  • Displays cumulative contributions
  • Keeps project focused
  • Based on 80-20 Principle

14
Pareto Chart
15
The Pareto Principle
  • Most arguments center around the issue of who is
    right.
  • A more appropriate and important first question
    is What is worth working on?
  • The Pareto Principle is always valuable.

16
Process
  • A systematic series of steps
  • You participate in many both individually and as
    a part of organizations.

17
Flowcharts (AKA flow diagrams)
  • Graphic representation of steps in a process
  • Provides a common under-standing of the process
  • Must represent process as it actually is
  • Identifies opportunities for improvement
  • Guides diagnostic journey

18
Flowcharts
19
Cause Effect Diagram
  • AKA Ishikawa, fishbone diagram
  • Shows theories of causes
  • Objective Find the Root Cause (almost always
    requires collection of data)

20
Cause Effect Diagram Late Medications
21
TQM Tool Summary(each is a link to more
information)
  • Traditional Quality Tools
  • Cause and Effect Diagram
  • Check Sheet
  • Common Control Chart Cookbook
  • Histogram
  • Pareto Diagrams
  • Scatter Diagrams
  • Management and Planning Quality Tools
  • Affinity Diagrams
  • Flow Chart
  • Force Field Analysis
  • Matrix Diagrams
  • Nominal Group Technique
  • Relations Diagram (Interrelations Digraph)
  • Systematic Diagrams

TQM Dictionary
Source
22
The Five Ms
The 85-15 Rule At least 85 of problems are in
the system less than 15 are under workers
control
23
A Culture of Blame?

24
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25
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26
Culture of Blame?
27
Whos Really to Blame?
  • Machines
  • Methods
  • Materials
  • Measurements
  • Man

UNLESS YOURETHE MANAGER!
97-3Rule
28
A TQM Manager!
29
Everything Varies
30
Statistical Process Control Summary
  • Two classes of causes of variation common and
    special
  • Common cause ? Random variation
  • ? A collection of cause
    factors
  • ? Management's responsibility to
    study change the process
  • Special cause ? Nonrandom, identifiable
    variation
  • ? Local workforce's responsibility to
    take immediate action to identify and
    correct the special cause
  • Two types of errors in taking action
  • ? Taking action when not needed (tampering)
  • ? Not taking action when needed
  • Management consists of making each type of error
    every once in a while.
  • SPC minimizes the loss from both types of action
    errors by detecting special causes of variation.
  • SPC involves the use of control charts to monitor
    a process. These charts provide for
    interpretation prediction of the process.
  • The prime use of SPC is to bring a process into
    statistical control and maintain it in
    statistical control.
  • Statistical control a process with no
    indication of a special cause of variation--a
    random process--subject only to natural variation

31
An SPC Control Chart Example
32
Capability AnalysisSpecification Limits within
Control Limits
-USL -LSL
Incapable Process Must inspect 100
33
Capability AnalysisSpecification Limits outside
Control Limits
-USL -LSL
Capable Process Inspection unnecessary
34
Advantages of Statistical Control
  • 1. Performance is predictable
  • 2. Costs and quality are predictable
  • 3. Productivity is at a maximum
  • 4. Costs are at a minimum
  • 5. Effects of changes can be measured
  • 6. Provides a sound argument for change

35
Consider Yourselves Warned
  • "Students are not warned in classes nor in books
    that for analytical purposes (such as to improve
    a process), distributions and calculations of
    mean, mode, standard deviation, chi-square,
    t-test, etc. serve no useful purpose for
    improvement of a process unless the data were
    produced in a state of statistical control."
  • W. Edwards Deming

36
Understanding Variation and Statistical Thinking
  • Beware of changes
  • Beware of rankings
  • Always ask yourself Is there a
    statistically significant difference?

37
Measurements from one period to the next
38
Flat-out lies in the media
39
Causation
  1. Cause precedes effect (temporal sequentiality)
  2. Cause and effect vary together (associative
    variation)
  3. No alternative explanation (nonspurious
    association)
  4. Theoretical support

Symptoms vs. the Root Cause
40
Dilbert on Causation
41
State of Self-Control
  1. Worker knows what s/he is supposed to do.
  2. Worker knows how s/he is doing.
  3. Worker has the means to change her/his
    performance.

42
Hes got the knack!
43
Demings 14 Points
  1. Create constancy of purpose toward improvement
    of product and service, with the aim to become
    competitive and to stay in business, and to
    provide jobs.
  2. Adopt the new philosophy. We are in a new
    economic age. Western management must awaken
    to the challenge, must learn their
    responsibilities, and take on leadership for
    change.
  3. Cease dependence on inspection to achieve
    quality. Eliminate the need for inspection on a
    mass basis by building quality into the product
    in the first place.
  4. End the practice of awarding business on the
    basis of price tag. Instead, minimize total cost.
    Move toward a single supplier for any one item,
    on a long-term relationship of loyalty and trust.
  5. Improve constantly and forever the system of
    production and service, to improve quality and
    productivity, and thus constantly decrease costs.
  6. Institute training on the job.
  7. Institute leadership (see Point 12). The aim of
    supervision should be to help people and machines
    and gadgets to do a better job. Supervision of
    management is in need of overhaul as well as
    supervision of production workers.

44
Demings 14 Points (continued)
  1. Drive out fear, so that everyone may work
    effectively for the company.
  2. Break down barriers between departments. People
    in research, design, sales, and production must
    work as a team, to foresee problems of production
    and in use that may be encountered with the
    product or service.
  3. Eliminate slogans, exhortations, and targets for
    the work force asking for zero defects and new
    levels of productivity. Such exhortations only
    create adversarial relationships, as the bulk of
    the causes of low quality and low productivity
    belong to the system and thus lie beyond the
    power of the work force.
  4. Eliminate work standards (quotas) on the factory
    floor. Substitute leadership.Eliminate
    management by objective. Eliminate management by
    numbers, numerical goals. Substitute leadership.
  5. Remove barriers that rob the hourly worker of his
    right to pride of workmanship. The
    responsibility of supervisors must be changed
    from sheer numbers to quality Remove barriers
    that rob people in management and in engineering
    of their right to pride of workmanship. This
    means abolishment of the annual merit rating and
    of management by objective.
  6. Institute a vigorous program of education and
    self-improvement.
  7. Put everybody in the company to work to
    accomplish the transformation. The
    transformation is everybody's job.
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