Adi Saptari, PhD, Intro To IE

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THE FUNDAMENTAL OF
QUALITY

1.1 WHAT IS QUALITY?

1.2 QUALITY BASIC, TERMS & DEFINITIONS
1.3 QUALITY GURUS
1.4 TOTAL QUALITY MANAGEMENT
1.5 QUALITY AWARDS
1.6 IMPORTANCE QUALITY RELATED ISSUES
 Adi Saptari, PhD, Intro To IE

What is Quality?
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What is Quality?
Quality is NOT a slogan, an art, an opinion, or a feeling. It is a science
with very provable methods. It is a science that must be embraced and
implemented for long-term survival. As time and distance become
irrelevant in today’s global economy, it must be realized that the world is
quickly becoming one marketplace, depending on which product or service
a company produces.

Quality is NOT the transparent world of slogans and buttons that claim
“Quality is Job 1” or “Quality is Our Name”. Quality is NOT “talking
the talk” but failing to “walk the talk”. It is not the establishing of a Total
Quality Management (TQM) label, because some companies that have
“installed” this label have failed, while others have succeeded. In essence, it
is not cute little phrases that many people in today’s society enjoy hearing.
Simply stated, quality is ACTION.
Fryman, Quality & Process Improvement
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What is Quality?
Quality is a SYSTEM, which, when implemented, yields increased market
share and reduced scrap and rework, just to name a few. Quality is the
umbrella of a plethora of process improvement techniques and theories that
starts with a company’s vendors and extends beyond the sales of that
company’s products and services to the consumer. Quality is a system that is
built on these provable process improvement techniques, which serve as
components under the umbrella.
Fryman, Quality & Process Improvement

Q=P/E
Where Q = quality
P = performance
E = expectations
Besterfields, Quality Control
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Basic Terms &

Definitions of
Quality
 Terms Descriptions

1 Quality Assurance : Every planned task and action necessary that demonstrate
that the product or service satisfies that given customer
requirements. It is the assurance that the product or
service meets the criteria of the customer, and is similar to
the auditing aspect that ensures that the financial records
reported in a company's financial statement are correct.

2 Quality control: All operational techniques necessary to satisfy all quality

requirements. Inclusive in quality control is process
monitoring and the elimination of root cause of
unsatisfactory product or service quality performance.
NOTE!: Even though the terms quality assurance and quality control sound
similar (and some companies use them interchangeably), they are not the
same term. Quality control has more to do actions on the production floor to
control the quality level.

3 Internal customer The next person in the company who receives your
product or service.
4 External customer: The end user of the product or service.

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 5 Customer requirement:
Adi Saptari, PhD, Intro To IE Performance standards associated with specific
customer needs.

7 6 Detection: A reactive strategy that attempts to identify and

correct a faulty product or service after it has been
produced.
7 Prevention: A proactive strategy that attempts to identify and
correct a faulty product or service before it has been
produced. For example, identification and correction
during the design phase or development stage, or
production monitoring and controlling of process
parameters that have been proven to strongly
influence output characteristics.
8 Defect: A state or condition of nonconformance to customer
requirements that makes the product / service
unusable.
9 Inspection: The act of measuring, checking, analyzing,
examining, and testing characteristics of an item,
product, or process, and comparing that result to
specified requirements to determine a degree of
conformity.
10 Productivity: A measure of output to input.
11 Specification: Specific and measurable attributes that convey the
customer requirements.
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The Dimension
of Quality
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DIMENSION MEANING AND EXAMPLE

9 1 Performance Primary product characteristics, such as the brightness of the
picture
2 Features Secondary characteristics, added features, such as remote
control
3 Conformance Meeting specifications or industry standards, workmanship
4 Reliability Consistency of performance over time, average time for the unit
to fail

5 Durability Useful life, includes repair

6 Service Resolution of problems and complaints, ease of repair
7 Response Human-to-human interface, such as the courtesy of the dealer
8 Aesthetics Sensory characteristics, such as exterior finish
9 Reputation Past performance and other intangibles, such as being ranked
first.
10 Price ???
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Exercise : In Class
Exercise 1.1:

Choose any product to explain the dimensions of quality.

 Adi Saptari, PhD, Intro To IE
Responsibility for Quality
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Customer

Product Marketing
Services

Quality
Packaging Design
Product
& Storage Engineering

Inspection &
Testing Procurement
Quality is
everyone’s
responsibility !
Production Process Design
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The Quality
Gurus
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GURUS CONTRIBUTIONS
Shewhart Control chart with control limit, PDSA

Deming Deming’s 14 points

Juran Juran trilogy (planning, Control, improvement)

Feiganbaum Mgmt involvement, employee involvement, leadership

Ishikawa SPC, cause and effect diagram, quality cycle concept

crosby Quality is free, doing it right the first time, zero defect

Taguchi Taguchi’s method

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Exercise 1.2:

Philip Crosby, W. Edwards Deming , Feigenbaugm, Garvin, Ishikawa, Joseph

Juran , Taguchi, Shingo, Malcolm Baldrige, Walter A. Shewhart, Yoji Akao etc…
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Total Quality
Management (TQM)
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DEFINITION OF TQM:

An enhancement to the traditional way of doing business.

It is a proven technique to guarantee survival in world-
class competition. Only by changing the actions of
management will the culture and actions of an entire
organization be transformed.

TQM is for the most part common sense. Analyzing the

three words, we have
• Total – made up of the whole
• Quality – degree of excellence a product or service provides
• Management – act, art, or manner of handling, controlling,
directing, etc.
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TQM is defined as both a philosophy and a set of guiding
principles that represent the foundation of a continuously
improving organization. It is the application of quantitative
methods and human resources to improve all the processes
within an organization and exceed customer needs now
and in the future. TQM integrated fundamental
management techniques, existing improvement efforts, and
technical tools under a disciplined approach.
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28 TQM REQUIRED SIX (6) BASIC CONCEPTS:

 A committed and involved management to provide long term

top to bottom organizational support.
 An unwavering focuses on the customer, both internally and
externally.
 Effective involvement and utilization of the entire work force.
 Continuous improvement of the business and production
processes.
 Treating suppliers as partners.
 Establishing performance measures for the processes.
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29 BUSINESS
GROWTH
Continuous
Improvement
Supplier
Partnering

Employee
Involvement Focus On
Process Orientation
Quality

Leadership

Customer
Satisfaction Clear
Vision
Figure 1: The Road To Business Growth
NEW AND OLD CULTURES.

QUALITY PREVIOUS STATE TQM

ELEMENT
Definition: Product-oriented Customer-oriented
Priorities: Second to service and cost First among equals of service and
cost
Decisions: Short-term Long-term
Emphasis: Detection Prevention
Errors: Operations System
Responsibility: Quality control Everyone
Problem Managers Teams
solving:
Procurement: Price Life-cycle costs
Manager’s Plan, assign, control and Delegate, coach, facilitate and
Role: enforce mentor

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Achievement

TQM
QI
ISO 14001
Lean Mfg
5S
EMS TPM
ISO 9000
QA QMS
SMT
QC SPC

Time
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TQM
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Tools and
Principles and Techniques
Practices
Quantitative Non-
Leadership Quantitative

SPC ISO 9000

Customer
satisfaction
Acceptance ISO 14000
Employee sampling
involvement
Reliability Benchmarking
Continuous
improvement
Experimenta TPM
Supplier l design
partnership
FMEA Management
Performance Tools
measures
QFD Concurrent
Engineering
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Shewhart
Deming Benchmarking
33 Juran
Figenbaum
Information technology
QMS
Ishikawa EMS
Crosby QFD
Taguchi Quality by Design
FMEA
Tools Products & Services liability
Gurus
and TPM
Techniques Management Tools
SPC
DOE
Principles Taguchi’s Quality Engineering
Product &
and
service Customer
Practices
Realization

People & Relationship: Approach:

Leadership Continuous process improvement
Customer satisfaction
Employee involvement Measure:
Supplier partnership Performance measures
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Quality Awards
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Standardization Award
ISO 9000 : Quality Management System (QMS)
ISO 14001: Environmental Management System (EMS)
ISO 17025: Laboratory Management System (LMS)
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ISO

UKAS

SIRIM QAS

MS ISO 9001

Reg. No.
CERTIFICATION BODY
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ANY INDUSTRY

AS9100 –
AEROSPACE INDUSTRY QUALITY SYSTEM

ISO/TS 16949 –
QUALITY SYSTEMS AUTOMOTIVE SUPPLIERS

TL 9000 –
TELECOMMUNICATIONS QUALITY SYSTEMS
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Malcolm Baldrige Award
The Malcolm Baldrige Award was established in 1987 and became Public Law 100-
1007. it was named after the late Secretary of Commence Malcolm Baldrige, who
was an advocate of quality. The American Society for Quality administers the
award. ASQ is under contract to the National Institute of Standards and
Technology (NIST), which is responsible for the continuation and management of
the award.
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39 The Malcolm Baldrige Award is basically an ward that promotes the

awareness and importance of quality, and intends to increase U.S.
companies’ competitive position on a worldwide basis. The award contains
criteria and guidelines for improvement in terms of more satisfied
customers, increased sales, profits, and market share, and in essence, long
term survival. Although the Baldrige Award is not as rigorous or as all-
inclusive as the recomended approaches of deming and juran, it still is
consistent with these approaches in the following areas:

 Prevention versus detection

 Meeting customer requirements
 Using statistics for process and product quality
 Process analysis and improvement
 Implementing a systematic approach to improvement
The Malcolm Baldrige Award has seven categories. Each category is
assigned a maximum point value as follows:

1 Leadership: vision, mission, values 90 points

2 Information and analysis 75 points
3 Strategic planning 55 points
4 Human resource development and 140 points
management
5 Process management 140 points
6 Business rule 250 points
7 Customer focus and satisfaction 250 points
TOTAL 1000 points

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42 ENABLER RESULTS

Top Use of quality data &

Management information
Leadership
Human resource
Management of management Quality &
Quality operational /
Customer focus business
& results
Quality assurance of
external suppliers
Corporate
Responsibilities Process management

Award Framework For Prime Minister Quality Award

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43 Quality Management Excellence Award

(QMEA)
Today’s business scenario calls for organizations to take a global perspective in meeting needs
and expectations of markets and customers. This approach requires organizations to enhance
their management practices particularly on strategic leadership, management of information,
customer and human resources, product and process improvement, adoption of best practices
and applications of appropriate technologies.

To assist organizations in addressing these issues, an organizational framework has been

developed. This framework incorporates the necessary elements for attaining excellence and
serves as a guide for organizations to enhance their performance. Through QMEA we develop a
more focused set of priorities for continuous improvement and align our peoples effort towards
excellence.
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Exercise 1.3:

Briefly explain any quality award of how the award influence company
performance of excellencies.
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Importance Quality

Related Issues
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Case Study 1
You are part of a quality team charged with identifying the quality
parameter to be controlled in one selected product in your employer’s
company. You are required to list down the parameters of selected
product that will be able to use by QC operator.
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Thank you