Quality Gurus

Coverage

Quality dimensions. Quality costs. Quality gurus (Deming, Crosby, Juran, Taguchi, Feigenbaum, Ishikawa). Quality awards (Malcolm Bridge National Qulity Award, The Deming Award, Golden peacock National Quality Award, Rajiv Gandhi National Quality Award, JRD Tata Quality Value Award).
2

7/25/2013

Profile of Performance Improvement

Improvement by optimizing the parts
Performance

Improvement by optimizing the whole process

One of a kind production

Mass production

Flexible production

Product oriented production focus

Process oriented production focus

Agriculture Age
7/25/2013

Machine Age

System Age
3

The Meaning of Quality

1. Market Place Quality ( Customers View)
The quality of a product or service is customers perception of the degree to which the product or service meets his/her expectations.

7/25/2013

The Meaning of Quality

2.

Quality of Conformance
The degree to which a specific product conforms to a design or specification.

7/25/2013

The Meaning of Quality

3.

Consumer Preference
The degree to which a specific product is preferred over competing products of equivalent grade based on comparative tests by consumers.

7/25/2013

The Meaning of Quality

4.

Joseph Juran
Quality is fitness for use.

7/25/2013

The Meaning of Quality

5.

Corporate Strategy
Quality is the performance of the product/service as per the commitment made by the company to the consumer.

----Contd

7/25/2013

Quality Characteristics (Dimensions of Quality) - Garvin

Performance. Features. Reliability. Conformance. Durability. Serviceability. Aesthetics. Safety. Other perceptions.
9

7/25/2013

Cost of Quality

Prevention Cost. Costs associated with reducing the potential for defective parts or services (Training, Quality improvement programmes etc.). Appraisal Cost. Costs related to evaluating products, processes, parts, and services (Testing, Inspectors etc.). Internal Failure. Costs that results from production of defective parts or services before delivery to customers (Scrap, Rework, Downtime etc.). External Cost. Cost that occur after delivery of defective parts or services (Rework, Warranty replacement, Lost goodwill etc)
10

7/25/2013

Cost Of Quality
Costs
TOTAL COST

Unavoidable costs

Avoidable costs 100% defective

7/25/2013

Point of Enough quality

11

1. W Edward Deming
(A professor at New York university. Went to Japan at request of Japanese government after 2nd WW to assist its industries in improving productivity and quality. Considered as the father of the Japanese quality revolution)

Identify common and special causes for getting poor quality. Common causes - relates to operation - Management responsibility. Special causes - relates to operators or machines requires attention to the individual cause. . First eliminate the reasons for special causes. And then, concentrate on the common causes. Use of SPC charts as key method to identify problems. Suggested systematic approach to problem solving PDCA cycle Plan, Do, Check, and Action.
12

7/25/2013

The Deming Cycle or PDCA Cycle

(Originally developed by Walter She wart)

Plan a change to the process. Predict the effect this change will have and plan how the effects will be measured

PLAN

ACT
Adopt the change as a permanent modification to the process, or abandon it.

DO
Implement the change on a small scale and measure the effects

CHECK
Study the results to learn what effect the change had, if any.

7/25/2013

13

Demings Chain Reaction

Improve Quality

Provide jobs and more jobs Stay in business

Cost decreases because of less rework, fewer mistakes, fewer delays, snags, better use of machine time and materials

Productivity improves
Capture the market with better quality and lower price
7/25/2013

14

Demings view of Production as a System

Receipt & test of materials Suppliers, materials & equipment Design & redesign Consumer Research

Production, assembly, inspection

Distribution

Consumers

Test of processes, machines, methods, cost

7/25/2013

15

Demings 14 Points for Managers

1.

2.

3.

Create constancy of purpose toward product quality to achieve organizational goals. Refuse to allow commonly accepted levels of poor quality. Stop depending on inspection to achieve quality.

7/25/2013

16

Demings 14 Points for Managers

4.

5.

6.

Use fewer suppliers, selected based on quality and dependability instead of price. Install programs for continuous improvement of costs, quality, service, and productivity. Train all employees on quality concepts.

7/25/2013

17

Demings 14 Points for Managers

7.

8.

9.

Focus on supervision on helping people to do a better job. Eliminate fear, create trust, and encourage two-way communications between workers & managers. Eliminate barriers between departments and encourage joint problem solving.
18

7/25/2013

Demings 14 Points for Managers

10

11

12

Eliminate the use of numerical goals and slogans to make workers work hard. Use statistical methods for continuous improvement of quality and productivity of numerical quota. Remove barriers to pride of workmanship.

7/25/2013

19

Demings 14 Points for Managers

13.

14.

Encourage education and self improvement for everyone. Define clearly managements permanent commitment to quality and productivity.

7/25/2013

20

2. Philip B Crosbys Philosophy

Written two books on the subject Quality is free & Quality without tears. Believed in top management must take the lead in quality improvement. Viewed quality improvement as a journey, not as a quick fix. ----Continued

7/25/2013

21

Philip B Crosbys Philosophy

Every individual must constantly work to make certain that the job is being done right the first time. Any acceptable level of defect is too high. Advocated Quality is free concept; meaning the cost of poor quality is enormous due to scrap, rework, hidden cost etc. If some amount from this unlimited amount is spent on improving quality leading to zero defect, it will still not be costlier.
22

7/25/2013

Philip B Crosbys Concept

1.

2.

3. 4.

Quality definition :- Conformance to requirement System of quality is prevention, not appraisal. Performance standard is Zero defect. Measurement is price of conformance.

7/25/2013

23

Crosbys 14 Steps for Quality Improvement

1.

2.

3.

Ensure that the management is committed to improve quality. Appoint an inter department management level quality improvement team to direct the effort. Measure the quality status ( errors, rework).

7/25/2013

24

Crosbys 14 Steps for Quality Improvement

4.
5.

6.

Evaluate the cost of quality. Ensure that all personnel have quality awareness in regard to costs, benfits etc. Communicate quality aspects regularly. Take ongoing corrective actions.

7/25/2013

25

Crosbys 14 Steps for Quality Improvement

7.
8.

9.

10.

Plan for zero defect. Starting with management, provide training to all employees. Hold a Zero day to kick off quality program. Set goals for improvement.

7/25/2013

26

Crosbys 14 Steps for Quality Improvement

11.
12.

13.

14.

Remove causes of errors. Award employees for goal achievement and quality improvement. Establish a quality council composed of a team. Chair person. And quality professionals to direct the quality improvement efforts. Repeat the process at the beginning at step 1 & do it all over again.
27

7/25/2013

3. Joseph M Juran
Dr Joseph M Juran was awarded Order of the Sacred Treasure by Emperor Hirohito in 1981. Author of Quality Handbook. Juran institute in Wilton, Connecticut, USA,is known for its quality management programs.

7/25/2013

28

Juran Quality Trilogy

1.

Quality planning.
Quality control. Quality improvement.

2.

3.

7/25/2013

29

1. Quality Planning

Identify the customers. Determine the customers needs. Develop product features. Establish quality goals. Develop a process. Prove process capability.
30

7/25/2013

2. Quality Control
Choose what to control. Choose units of measurement. Establish standards of performance. Measure actual performance. Interpret the difference (actual versus standards). Take action on the difference.

7/25/2013

31

3. Quality Improvement
Identify specific projects for improvement. Organize to guide the projects. Organize for diagnosis - for discovery of causes. Provide remedies. Provide for control to hold gains.

7/25/2013

32

Joseph M Jurans Emphasis

Emphasized for top management commitment to improve product, quality, planning, statistics to identify the discrepancies, and continuous improvements of every aspect of product quality.

7/25/2013

33

4. Genichi Taguchi

Japanese engineering specialist and a quality consultant. A leading exponent of statistical methods.
Consulted leading companies such as Ford and IBM.
34

7/25/2013

Genichi Taguchis Philosophy

Contends that constant adjustment of production machines to achieve consistent product quality is not effective. Statistical process control techniques cant compensate for poor quality of design. Instead, products should be designed so that they are robust enough to function satisfactorily despite variations on the product line or in the field. Improved quality of a product or process represents lower loss to society.
35

7/25/2013

Taguchis Steps
1.

2.

3.

Identify the main function, side effects, and failure modes. Identify noise factors and the testing conditions for evaluating the quality loss. Identify the quality characteristics to be observed and the objective function to be optimized. ----Continued

7/25/2013

36

Taguchis Steps (Continued)

4.
5.

6. 7.

8.

Identify the control factors. Design the matrix, experiment and define the data analysis procedure. Conduct the matrix experiment. Analyze the data, determine the optimum levels for the control factors, and predict the performance. Conduct the verification experiment and plan future actions.
37

7/25/2013

5. Armand V Feigenbaum
Concept of Total Quality Control. Product quality is more important than the production rate. Responsibility for quality rests with the persons who are directly related. Even workers are given the authority to stop production whenever quality problems occur.

7/25/2013

38

6. Kaoru Ishikawa

Credited with concept of Quality Circles. A quality circle (QC) is a small group of employees ( not more than nine), who volunteer to meet regularly to undertake work related projects designed to advance the company, improve working conditions, tool design, safety, maintenance etc. Use of fish bone diagram to trace back customer complaints about quality problems.

7/25/2013

39

Quality Gurus Compared 1. Definition

Crosby Conformance to requirement. Deming Juran A predictable Fitness for use. degree of uniformity and dependability at affordable cost to suit the market.

7/25/2013

40

Quality Gurus Compared 2. Degree of Senior Managements Responsibility

Crosby
Responsible for quality.

Deming

Juran

Responsible for Less than 20% of over 90% of quality problems quality problems. are due to workers.

7/25/2013

41

Quality Gurus Compared 3. Performance Standard

Crosby
Zero defects.

Deming

Juran

Quality has many Avoid campaign scales, use to do perfect statistics to work. measure performance in all areas, critical of zero defects.

7/25/2013

42

Quality Gurus Compared 4. General Approach

Crosby Prevention, not inspection. Deming Reduce variability by continuous improvement, stop mass inspection. Juran General management approach to quality, especially to human elements.

7/25/2013

43

Quality Gurus Compared 5. Structure

Crosby
14 steps for quality improvement.

Deming
14 points for management.

Juran
Juran quality trilogy for quality planning, control, improvement.

7/25/2013

44

Quality Gurus Compared 6. SPC

Crosby
Rejects statistically acceptable levels of quality.

Deming
Statistical methods of quality control must be used.

Juran
Recommended SPC, but warns that it can lead to tool driven approach.

7/25/2013

45

Quality Gurus Compared 7. Improvement Basis

Crosby A process, not a program; set improvement goals. Deming Must be continuous to reduce variations, eliminate goals that are without methods. Juran Project-byproject team approach, set attainable goals.

7/25/2013

46

Quality Gurus Compared 8. Team Work

Crosby By quality improvement teams & quality councils. Deming Juran Employs By team and participation in quality circle decision making, approach. break down barriers between departments.

7/25/2013

47

Quality Gurus Compared 9. Costs of Quality

Crosby
Cost of nonconformance Quality is free.

Deming

Juran

No optimum Quality is not cost. Continuous free. There is an improvement of optimum cost. cost is possible.

7/25/2013

48

Quality Gurus Compared 10. Purchasing & Goods Received

Crosby
Supplier is extension of business. Most faults are due to purchases.

Deming
Inspection is too late, it allows defects to enter system. Statistical evidence and control charts are required.

Juran
Problems are complex. Carry out formal surveys.

7/25/2013

49

Quality Management Awards

Malcolm Baldrige National Quality Award The Deming Award Golden Peacock National Quality Award Rajiv Gandhi National Quality Award JRD TATA Quality Value Award

7/25/2013

50

Malcolm Baldrige National Quality Award

Established in 1987. Named after a former secretary of commerce. Objective :1. To recognize US companies that attain preeminent quality leadership. 2. Encourage other US companies to improve their quality programs. 3. To serve as quality improvement guidelines, & disseminate nonproprietary info about quality strategies. Criteria for Selection:- Leadership, Strategic planning, Customer & market focus, Information & analysis, Human resource focus, Process management, Business results.

7/25/2013

51

The Deming Award

Established in 1951. Awarded by the Union of Japanese Scientists & Engineers. All firms are eligible. Objective:- To recognize, reward, and encourage progress toward improving quality of products & services; and to move toward elevating excellence to the strategic level in organization around the globe. Criteria:- Use of SQC, Quality programs, Top management commitment, Customer satisfaction level, Training activities

7/25/2013

52

Golden Peacock National Quality Award

Named after Indias national bird Peacock. Awarded by IOD at World Congress on Total Quality. Objective is to promote quality awareness in Indian companies. Criteria:- Organizational leadership, Strategic Planning, Human resource management, Information management, Process management, Employees satisfaction, Customer satisfaction, Impact on society, Business results.
53

7/25/2013

Rajiv Gandhi National Quality Award

Instituted by Bureau of Indian Standards in 1991. Named after our late prime minister Rajiv Gandhi. Objective:1. Encouraging Indian industries to make significant improvement in quality for maximizing customer satisfaction & face global competition. 2. Recognizing the achievements so that they become role models for other companies. 3. Establishing guidelines that can be used in evaluating own improvements programs. 4. Make available detailed information of the winning company in Quality Management Approach, so that other companies can use the information. Criteria:- Leadership, Policies, Objective & strategies, HRM, Process, Customer focused results, Impact on environment & society, Business results.

7/25/2013

54

JRD TATA Quality Value Award

Given to TATA Group of companies. Objective:1. Create awareness of the importance of quality & the need for total customer satisfaction. 2. Achieve & sustain continuous excellence and consequently leadership in the market place through perfection and the achievement of quality. Criteria:- Leadership, Planning, HRM & Process Management

7/25/2013

55

Thanks