Quality Systems Final

a. Frederick W. Taylor’s concept of “Scientific Management” greatly influenced the nature of quality in manufacturing organizations.

i. Walter Shewhart
1. First to distinguish between common causes and special causes in process variation
2. Learn when a process is in control or out of control
3. 3 standard deviations
4. Father of SPC (Statistical Process Control)
ii. Harold Dodge
iii. George Edwards

a. Theory of Profound knowledge

1. Understand systems
2. Understand variation
3. Understand psychology
4. Understand knowledge

Chain Reaction
i. Improve quality
ii. Cost goes down
iii. Productivity Improves
iv. Capture the market
v. Provide more jobs
vi. Stay in Business

– Top management involvement, team work, focus on employees


a. Juran – big contribution, pg 57

i. Done through leadership of upper management
ii. Learn to speak in a language that management understands, $
iii. Accounting method for quality (P&L)
iv. Cost of non-conformance
1. What does an unhappy cost you
2. Cost of conformance
3. Cost to fix something is greater than customer satisfaction then don’t fix it

b. Crosby, Pg 58

i. Designing the organization to support quality
ii. Big on slogans
1. Do it right the first time
iii. Absolutes of Quality Management and Basic Elements of Improvement
1. Quality means conformance to requirements not elegance
2. There is no such thing as a quality problem
3. There is no such thing as the economics of quality: it is always cheaper to do the job right the first time
4. The only performance measurement is the cost of quality
5. The only performance standard is Zero Defects

c. Demings

i. A product or a service possesses quality if it helps somebody and enjoys a good and sustainable market
ii. The Chain Reaction
iii. Four corner stones
1. Management’s job is to optimize the system. A system is a set of functions or activities within an organization that work together to achieve organizational goals
2. Believes that variation is the chief culprit of poor quality
3. Theory of Knowledge – Management decisions should be driven by facts, data, and justifiable theories and not solely by opinions
4. Psychology – Understanding people

i. All data has two characteristics
1. Location (average)
2. Range

Types of data are:
i. Attribute (yes/no, true,false, binary 1, 0)
Continuous (Variable)

1. Flowchart
2. Cause and Effect Diagram
a. Also know as Fishbone
b. Juran resurrected this chart
3. Forms for collecting Data
a. Pareto Chart
b. Frequency Plot
c. Run chart
d. Scatter Diagram
e. Planned Experimentation
f. Control Chart

a. Effective ways for an organization to break down barriers and accomplish improvement
i. Focus on Processes
ii. Make quality everyone’s job
iii. Put external customers first
iv. Recognize internal customers
v. Create a team-based organization
vi. Reduce hierarchy
vii. Use leadership teams

Tasks

Its all a perspective based on:
--------------------------
Fight | Flight |
Right | Wrong |
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i. Focus on Processes

ii. Make quality everyone’s job

iii. Put external customers first

iv. Recognize internal customers

v. Create a team-based organization

vi. Reduce hierarchy

vii. Use leadership teams

a. Deming’s said,
“Think of an organization as a system which is interconnected processes design to function as a whole and accomplish something

b. The individual process is the smallest block

c. Processes that make up a system are a collection of processes that come together to complete a process

i. Suppliers
ii. Distribution
iii. Consumers
iv. Consumer research
v. Design and redesign

i. The functional Structure Separates employees and Customers

ii. The functional Structure Inhibits Process Improvement

iii. Functional Organizations often have a Separate Function for quality, Called Quality Control or Quality Assurance

a. Elements of a process – a set of causes and conditions which repeatedly come together to transform inputs into outcomes

1. Charter
2. Current Knowledge
3. Improvement Cycle

1. General Description
2. Expected results
3. Boundaries/Scope

How will we know when changes lead to improvement

1. Selection of process/product/service
2. Identify suppliers/customer relationship
3. Quality – characteristics
4. Flowchart of the process
5. Identify measures of performance
6. Develop possible cause factors
7. Construct a general plan

Plan, Act, Do, Study
P
A
D
S

1. Plan

a. Questions & predictions
b. Plan the change or test
c. Plan data collection

2. Do

a. Carry out the change or test
b. Collect the data
c. Begin analysis of the data

3. Study

a. Analyze the data
b. Compare data to predictions
c. Summarize what was learned
d. Update current knowledge

4. Act

a. Is the cause system understood
b. Develop and make change
c. Next cycle?

a. Identify the process
b. Identify the customer
c. Establish requirements
d. Identify Supplier
e. Identify supplier requirements
f. Work on process itself, break down the process for improvement

1) Management commitment
2) Learn the new Philosophy
3) Understand Inspection
4) End price tag decisions
5) Improve constantly
6) Institute training
7) Institute leadership
8) Drive out fear
9) Optimize Team efforts
10) Eliminate Exhortations
11) Eliminate Quotas and management by objective
12) Remove barriers that rob people of pride in workmanship
13) Institute Education
14) Take Action

a. Purpose (Mission, Beliefs, Vision)
b. Linkage of Processes
c. Customer Feedback
d. Planning
e. Teams (Charts)

a. Low Cost – a cost leadership position in the market

b. Differentiation – Unique in its industry in areas that are highly valued by customers

c. People – the one resource that cannot be copied

a. Employee relations
b. Operating procedures
c. Customer satisfaction
d. Financial performance

i. Superior product and service design
ii. Outstanding service
iii. High Agility
iv. Continuous innovation
v. Rapid response

1. Performance – a product’s primary operating characteristics.

2. Features – the “bells and whistles” of a product.

3. Reliability – the probability of a product’s surviving over a specified period of time under stated conditions of use.

4. Conformance – the degree to which physical and performance characteristics of a product match pre-established standards.

5. Durability – the amount of use one gets from a product before it physically deteriorates or until replacement is preferable.

6. Serviceability – the ability to repair a product quickly and easily.

7. Aesthetics – how a product looks, feels, sounds, tastes, or smells.

8. Perceived quality – subjective assessment resulting from image, advertising, or brand names.

HIGHLY EFFECTIVE INDIVIDUALS ***

Peter Drucker

• Expected Quality-satisfier
• Basic Quality-dissatisfier
• Exciting Quality-delighter