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AMM 3920 Quality Management

The document outlines the principles and dimensions of quality management, including product and service quality, costs of quality, and quality certification standards like ISO 9000. It emphasizes the importance of continuous improvement, process management, and collaboration within the supply chain to achieve quality goals. Additionally, methodologies such as Six Sigma and the PDSA cycle are discussed as tools for enhancing quality and customer satisfaction.

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0% found this document useful (0 votes)
22 views22 pages

AMM 3920 Quality Management

The document outlines the principles and dimensions of quality management, including product and service quality, costs of quality, and quality certification standards like ISO 9000. It emphasizes the importance of continuous improvement, process management, and collaboration within the supply chain to achieve quality goals. Additionally, methodologies such as Six Sigma and the PDSA cycle are discussed as tools for enhancing quality and customer satisfaction.

Uploaded by

serranomeeting
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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AMM 3920

MODULE 8 QUALITY MANAGEMENT


WHAT IS QUALITY?
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QUALITY MANAGEMENT

Quality
◦ qual·i·ty
◦ /ˈkwälədē/
◦ noun
◦ 1.
◦ the standard of something as measured against
other things of a similar kind; the degree of
excellence of something.
◦ "an improvement in product quality"
Dimensions of Product Quality
Conformance – how
Performance – main Aesthetics – Special features –
well the product
characteristics of appearance, feel, extra
conforms to design
the product smell, taste characteristics
specifications

Serviceability –
Reliability – Durability – the Perceived quality –
handling of
consistency of useful life of the indirect evaluation
complaints or
performance product of quality
repairs

Consistency –
quality doesn’t
vary
Dimensions of Service Quality
Convenience – the availability and accessibility of the service

Reliability – ability to perform a service dependably, consistently, and accurately

Responsiveness – willingness to help customers in unusual situations and to


deal with problems

Time – the speed with which the service is delivered

Assurance – knowledge exhibited by personnel and their ability to convey trust


and confidence

Courtesy – the way customers are treated by employees

Tangibles – the physical appearance of facilities, equipment, personnel, and


communication materials

Consistency – the ability to provide the same level of good quality repeatedly

Expectancy – meet (or exceed) customer expectations


Assessing Service Quality
Audit service to identify strengths and weaknesses

In particular, look for discrepancies between:

• Customer expectations and management perceptions of those


expectations
• Management perceptions, customer expectations, and service-quality
specifications
• Service quality and service actually delivered
• Service actually delivered and what is communicated about the
service to customers
• Customers’ expectations of the service provider and their perceptions
of provider delivery
Determinants of Quality
Quality of design
◦ Intention of designers to include or exclude features in a product or service

Quality of conformance
◦ The degree to which goods or services conform to the intent of the designers

Ease-of-use and user instructions (functionality)


◦ Increase the likelihood that a product will be used for its intended purpose and in
such a way that it will continue to function properly and safely
After-the-sale service
◦ Taking care of issues and problems that arise after the sale
COSTS OF QUALITY

Appraisal costs Prevention


Costs of activities designed to ensure costs
All TQ training, TQ planning, customer
quality or uncover defects assessment, process control, and
quality improvement costs to prevent
defects from occurring
COSTS OF QUALITY (CONT.)

Failure costs - costs incurred by defective parts/products


or faulty services
◦ Internal failure costs
◦ Costs incurred to fix problems that are detected before the
product/service is delivered to the customer
◦ External failure costs
◦ All costs incurred to fix problems that are detected after
the product/service is delivered to the customer
QUALITY
CERTIFICATION
International Organization for
Standardization
ISO 9000
◦ Set of international standards on quality
management and quality assurance, critical to
international business

ISO 14000
◦ A set of international standards for assessing
a company’s environmental performance

ISO 24700
◦ Pertains to the quality and performance of
office equipment that contains reused
components
QUALITY CERTIFICATION (CONT.)
ISO 9000 Quality principles

◦ Principle 1 Customer focus


◦ Principle 2 Leadership
◦ Principle 3 Involvement of people
◦ Principle 4 Process approach
◦ Principle 5 System approach to management
◦ Principle 6 Continual improvement
◦ Principle 7 Factual approach to decision making
◦ Principle 8 Mutually beneficial supplier relationships
QUALITY AND THE SUPPLY CHAIN

Business leaders are increasingly recognizing the importance of


their supply chains in achieving their quality goals
◦ Requires:
◦ Measuring customer perceptions of quality
◦ Identifying problem areas
◦ Correcting these problems
◦ Supply chain quality management can benefit from a
collaborative relationship with suppliers
◦ Helping suppliers with quality assurance efforts
◦ Information sharing on quality-related matters
TOTAL QUALITY MANAGEMENT- TQM
1. Continuous improvement
A philosophy that involves 2. Competitive benchmarking
everyone in an organization
3. Employee empowerment
in a continual effort to
improve quality and achieve 4. Team approach
customer satisfaction 5. Decision based on fact, not opinion
6. Knowledge of tools
7. Supplier quality
8. Champion
9. Quality at the source
10. Suppliers are partners in the
process
PDSA CYCLE

Plan-Do-Study-Act (PDSA) cycle


◦ Plan
◦ Begin by studying and documenting
Act Plan
the current process.
◦ Collect data on the process or problem
◦ Analyze the data and develop a plan
for improvement
◦ Specify measures for evaluating the
plan
Study Do
◦ Do
◦ Implement the plan, document any
changes made, collect data for
analysis
PDSA CYCLE
(CONT.)
Plan-Do-Study-Act (PDSA) cycle
◦ Study
◦ Evaluate the data collection during the Act Plan
do phase
◦ Check results against goals formulated
during the plan phase
◦ Act
◦ If the results are successful,
standardize the new method and
communicate it to the relevant
personnel Study Do
◦ Implement training for the new method
◦ If unsuccessful, revise the plan and
repeat the process
PROBLEM SOLVING
PROCESS IMPROVEMENT
Process improvement
◦ A systematic approach to improving a process
◦ Map the process
◦ Collect information about the process and
identify each step in the process
◦ Prepare a flowchart that accurately depicts the
process
◦ Analyze the process
◦ Ask critical questions about the process
◦ Ask specific questions about each step in the
process
◦ Redesign the process
SIX SIGMA
Six Sigma
◦ A business process for improving quality,
reducing costs, and increasing customer
satisfaction
◦ Statistically
◦ Having no more than 3.4 defects per
million
◦ Conceptually
◦ Program designed to reduce defects
◦ Requires the use of certain tools and
techniques
SIX SIGMA (CONT.)

Principles DMAIC
Reduction in variation is an important Define: Set the context and objectives
goal for improvement
The methodology is data driven; it Measure: Determine the baseline
requires data validation performance and capability of the
process
Outputs are determined by inputs
Analyze: Use data and tools to
Only a critical few inputs have a understand the cause-and-effect
significant impact on outputs relationships of the process
Improve: Develop the modifications
that lead to a validated
improvement of the process
Control: Establish plans and procedures
to ensure that improvements are
sustained
QUALITY CIRCLES

Quality circle
◦ Groups of workers who meet to discuss ways of improving products or
processes
◦ Less structured and more informal than teams involved in continuous
improvement
◦ Quality circle teams have historically had relatively little authority to
make any but the most minor changes
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BENCHMARKING
PROCESS
Identify Identify a critical process that needs improvement

Identify Identify an organization that excels in this process

Contact Contact that organization

Analyze Analyze the data

Improve Improve the critical process


Operations Strategy
Quality is a strategic imperative for organizations
◦ Customers are very concerned with the quality of goods and services they receive

Quality is a never-ending journey


◦ It is important that most organizational members understand and buy into this
idea

Quality needs to be incorporated throughout the entire supply chain,


not just the organization itself

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