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Quality Management

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Dimensions of Quality. Performance -- Primary operating characteristics. ... Started course 'Managing for Quality' American Management Association ... – PowerPoint PPT presentation

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Title: Quality Management


1
Quality Management
  • Henry C. Co
  • Technology and Operations Management,
  • California Polytechnic and State University

2
Dimensions of Quality
  • Performance -- Primary operating characteristics.
  • Features -- Secondary operating characteristics
    added touches.
  • Time --
  • Waiting in line.
  • Concept to production
  • To complete a service.
  • Reliability -- Extent of failure-free operation.
  • Durability -- Amount of use until replacement is
    preferable to repair.

3
  • Conformance -- How well product/service conforms
    to customers expectations.
  • Uniformity -- Low variation among repeated
    outcomes of a process.
  • Consistency -- Match with documentation,
    advertising, deadlines, or industry standards.
  • Service after sale -- Handling of customer
    complaints or checking on customer satisfaction.
  • Aesthetics -- Characteristics that relate to the
    senses.
  • Perceived Quality -- Indirect evaluation of
    quality (e.g. reputation).

4
Quality Costs
  • Quality costs escalate as value is added to
    product or service

Cost of finding and correcting a defective
component
Supplier Inspection
0.003
Incoming Inspection
0.03
Fabrication Inspection
0.30
3
Subproduct Test
Final Product Test
30
300
Field Service
5
Quality Masters
6
W. Edwards Deming
7
  • 1900 to 1993
  • Trained as a physicist
  • Master of Science
  • Taught SQC during World War II
  • Went to Japan in 1946
  • Brought SQC to Japan
  • Enthusiastically adopted by Japanese

8
Joseph M. Juran
9
  • Born 1904
  • Worked for Western Electric 1924 - 1941
  • Started course Managing for Quality
  • American Management Association
  • Taught to more than 100,000 in 40 countries
  • Wrote Quality Control Handbook
  • Focus on management

10
Phillip Crosby
11
  • Started as a line inspector
  • Worked up to VP Quality for ITT
  • Now a management consultant
  • Author of Quality is Free
  • Goal of quality is zero defects
  • Founded the Quality College in Florida

12
Masaaki Imai
13
  • Wrote Kaizen The Key to Japans Competitive
    Success
  • Chairs the Cambridge Corporation, an
    international management consultancy, Tokyo

14
Continuous Improvement
  • KAIZEN management philosophy
  • continuous improvement
  • process view
  • success comes from people
  • constant sense of urgency
  • Basis of Japans quality efforts

15
Dimensions of Service Quality
Table 9.4
16
Total Quality Management
T
Q
M
  • A philosophy that involves everyone in an
    organization in a continual effort to improve
    quality and achieve customer satisfaction.

17
Continuous Improvement
  • Kaizen Japanese word for continuous
    improvement.

18
Six Sigma
  • Statistically
  • Having no more than 3.4 defects per million
  • Conceptually
  • Program designed to reduce defects
  • Requires the use of certain tools and techniques

19
Six Sigma Process
  • Define
  • Measure
  • Analyze
  • Improve
  • Control

DMAIC
20
The PDSA Cycle
21
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22
The Process Improvement Cycle
23
Methods for Generating Ideas
  • Brainstorming
  • Quality circles
  • Interviewing
  • Benchmarking
  • 5W2H

24
Quality Circle
  • Team approach
  • List reduction
  • Balance sheet
  • Paired comparisons

25
Quality Circles
  • A small group of employees (averaging 9 people)
    who volunteer to meet regularly to undertake
    work-related projects designed to advance the
    company, improve working conditions, and spur
    mutual self development, by using quality control
    concepts and techniques (Business Week, July 20,
    1981).

26
Continuous Improvement
27
Continuous Improvement
  • Philosophy that seeks to make never-ending
    improvements to the process of converting inputs
    into outputs.
  • Kaizen Japanese word for continuous improvement.

28
Continuous Improvement Tools
  • Production environments that utilize modern
    quality control methods are dependent upon
    statistical literacy. The tools used therein are
    called the seven quality control tools.

29
Run Chart
  • Step 1 Gathering Data
  • Step 2 Organizing Data
  • Determine what the values for the x (time, day of
    week) and day (data, minutes to work) axis will
    be.

30
Run Chart
  • Step 3 Charting Data
  • Step 4 Interpreting Data
  • Mondays taking most time and Fridays generally
    taking the least amount of time.

31
Pareto Analysis
  • 80 of the problems may be attributed to 20 of
    the causes.

32
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33
Flow Chart
34
Checklist and Histogram
35
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36
Scatter Diagram
37
Cause Effect (Ishikawa) Diagram
38
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39
Control Charts
40
Benchmarking
41
  • Identify those processes needing improvement.
  • Identify a firm that is the world leader in
    performing the process (Library WWW).
  • Contact the managers of that company and make a
    personal visit to interview managers and workers.
  • Analyze data.

42
Quality Awards
43
Quality Awards
Baldrige Award
Deming Prize
44
Malcolm Baldrige National Quality Award
  • Leadership (100 points)
  • Information and Analysis (70 points)
  • Strategic Quality Planning (60 points)
  • Human Resource Utilization (150 points)
  • Quality Assurance of Products and Services (140
    Points)
  • Quality Results (180 points)
  • Customer Satisfaction (300 points)

45
Baldrige Award Categories
  • Manufacturing companies or subsidiaries that
    produce and sell manufactured products or
    manufacturing processes or produce agricultural,
    mining, or construction products.
  • Service companies or subsidiaries that sell
    service.
  • Small businesses.

46
Award Winners
  • The companies formulated a vision of what they
    thought quality was and how they would achieve
    it.
  • Senior management was actively involved.
  • Companies carefully planned and organized their
    quality effort to be sure it would be effectively
    initiated.
  • They vigorously controlled the overall process.

47
Benefits of Baldrige Competition
  • Financial success
  • Winners share their knowledge
  • The process motivates employees
  • The process provides a well-designed quality
    system
  • The process requires obtaining data
  • The process provides feedback

48
Japanese Deming Prize
  • Established 1951
  • Annual prize
  • Awarded for
  • development of quality tools, or
  • quality improvement programs
  • Created by JUSA (Union of Japanese Scientists and
    Engineers

49
Quality Certification
  • ISO 9000
  • Set of international standards on quality
    management and quality assurance, critical to
    international business

50
ISO 9000 Registration Process
  • When an organization feels that its quality
    system is good enough, it may ask an accredited
    registrar or other third party audit team for
    pre-assessment.

51
ISO 9000 Registration Process
  • The final audit begins with a review of the
    company's quality manual, which the accredited
    registrar or third party audit team typically
    uses as its guide. The audit team checks to see
    that the documented quality system meets the
    requirement of ISO 9000 and that the organization
    is practicing what is documented.

52
ISO 9000 Registration Process
  • When the registrar is satisfied with the
    favorable recommendation of the audit team, it
    grants registration and issues a registration
    document to the company.

53
Three Forms of Certification
  • First party A firm audits itself against ISO
    9000 standards.
  • Second party A customer audits its supplier.
  • Third party A "qualified" national or
    international standards or certifying agency
    serves as auditor.

27
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