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Quality  Management
Lecture Outline ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
What Is Quality? ,[object Object],[object Object],[object Object],[object Object],[object Object],2-
What Is Quality: Customer’s Perspective ,[object Object],[object Object],[object Object],[object Object],[object Object],2-
Dimensions of Quality: Manufactured Products ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Dimensions of Quality: Manufactured Products ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Dimensions of Quality: Manufactured Products ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Dimensions of Quality: Services ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Dimensions of Quality: Service  ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Dimensions of Quality: Service ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
What Is Quality: Producer’s Perspective ,[object Object],[object Object],[object Object],[object Object],Copyright 2011 John Wiley & Sons, Inc. 2-
Meaning of Quality 2-
What Is Quality: A Final Perspective ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Evolution of Quality Management:  Quality Gurus ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Evolution of Quality Management: Quality Gurus ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Deming’s 14 Points 2- ,[object Object],[object Object],[object Object],[object Object],[object Object]
Deming’s 14 Points ,[object Object],[object Object],[object Object],[object Object],[object Object],2-
Deming’s 14 Points ,[object Object],[object Object],[object Object],[object Object],2-
Deming Wheel: PDCA Cycle 2-
Quality Tools ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Flow Chart ,[object Object],[object Object],2-
Cause-and-Effect Diagram  ,[object Object],[object Object],2-
Cause-and-Effect Matrix ,[object Object],[object Object],2-
Check Sheets and Histograms ,[object Object],[object Object],2-
Pareto Analysis ,[object Object],[object Object],2-
Pareto Chart 2-
Scatter Diagram ,[object Object],[object Object],2-
Control Chart ,[object Object],[object Object],Copyright 2011 John Wiley & Sons, Inc. 2-
TQM and QMS ,[object Object],[object Object],[object Object],[object Object],2-
Focus of Quality Management— Customers ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Quality Management in the  Supply Chain ,[object Object],[object Object],[object Object],[object Object],Copyright 2011 John Wiley & Sons, Inc. 2-
Measuring Customer Satisfaction ,[object Object],[object Object],[object Object],2-
Role of Employees in Quality Improvement ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Quality Circles ,[object Object],2- Presentation Implementation Monitoring Solution Problem results Problem Analysis Cause and effect Data collection and analysis Problem Identification List alternatives Consensus Brainstorming Training Group processes Data collection Problem analysis Organization 8-10 members Same area Supervisor/moderator
Process (Quality) Improvement Teams ,[object Object],[object Object],[object Object],[object Object],2-
Quality in Services ,[object Object],[object Object],[object Object],2-
Quality Attributes in Services ,[object Object],[object Object],[object Object],[object Object],[object Object],2-
Six Sigma ,[object Object],[object Object],[object Object],2-
Six Sigma Process ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Breakthrough Strategy: DMAIC ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Six Sigma Process 2- 3.4 DPMO 67,000 DPMO cost = 25% of sales DEFINE CONTROL IMPROVE ANALYZE MEASURE
Black Belts and Green Belts ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Six Sigma Tools (1-3) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Six Sigma Tools (4-6) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Design for Six Sigma (DFSS) ,[object Object],[object Object],[object Object],[object Object],2-
Lean Six Sigma ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Lean Six Sigma ,[object Object],[object Object],[object Object],[object Object],2-
Profitability ,[object Object],[object Object],[object Object],[object Object],2-
Cost Impact of Six Sigma ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Cost of Quality ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Prevention Costs ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Appraisal Costs ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Internal Failure Costs ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
External Failure Costs ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Measuring and Reporting Quality Costs ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Cost of Quality 2- ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Cost of Quality ,[object Object],[object Object],[object Object],2- Quality Quality Manufacturing Year Sales Index Cost Index 2006 18.58 46.04 2007 18.63 45.18 2008 12.66 34.00 2009 10.49 28.80
Quality–Cost Relationship ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Effect of Quality Management  on Productivity ,[object Object],[object Object],[object Object],[object Object],[object Object],2-
Measuring Product Yield  and Productivity 2- Yield=(total input)(% good units) + (total input)(1-%good units)(% reworked) or Y=(I)(%G)+(I)(1-%G)(%R) where I = initial quantity started in production %G = percentage of good units produced %R = percentage of defective units that are successfully reworked
Computing Product Yield ,[object Object],[object Object],[object Object],[object Object],2- Y =(I)(%G)+(I)(1-%G)(%R) = 100(.80) + 100(1-.80)(.50) =  90 motors Increase quality to 90% good Y =100(.90) + 100(1-.90)(.50) =  95 motors
Computing Product Cost per Unit 2- Product Cost where: K d   = direct manufacturing cost per unit I  = input K r  = rework cost per unit R  = reworked units Y  = yield
Cost per Unit ,[object Object],[object Object],2- Increase quality to 90% good = $30*100 + $12*10 90 motors = $34.67/motor = $30*100 + $12*5 95 motors = $32.21/motor
Computing Product Yield for Multistage Processes 2- Y =  ( I )(% g 1 )(% g 2 ) … (% g n ) where: I  = input of items to the production process that will result in finished products g i  = good-quality, work-in-process products at stage  i
Multistage Yield ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2- = 100 * .93 * .95 * .97 * .92 = 78.8 motors Y =  ( I )(% g 1 )(% g 2 ) … (% g n )
Initial Batch Size For 100 Motors ,[object Object],2- Y   (% g 1 )(% g 2 ) … (% g n ) =  =  126.88    127  100   100 * .93 * .95 * .97 * .92
Quality–Productivity Ratio ,[object Object],[object Object],2- QPR = (good-quality units) (input) (processing cost) + (reworked units) (rework cost) (100)
Quality Productivity Ratio 2- ,[object Object],[object Object],[object Object],QPR = 80 + 10 100 * $30 + 10 * $12 (100) = 2.89 QPR = 160 + 20 200 * $30 + 20   * $12 (100) = 2.89 – NO CHANGE Base Case Case 1: Increase I to 200
Quality Productivity Ratio 2- Case 2: Reduce direct cost to $26 and rework cost to $10  QPR = 80 + 10 100 * $26 + 10 * $10 (100) = 3.33 QPR = 95 + 2.5 100 * $30 + 2.5 * $12 (100) = 3.22 Case 3: Increase %G to 95% QPR = 95 + 2.5 100 * $26 + 2.5 * $10 (100) = 3.71 Case 4: Decrease costs and increase %G
Malcolm Baldrige Award ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
Other Awards for Quality ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
ISO 9000 ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],2-
ISO 9000 ,[object Object],[object Object],[object Object],2-
ISO 9000 Certification, Implications, and Registrars ,[object Object],[object Object],[object Object],[object Object],2-

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Quality management @ ppt DOMS

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  • 19. Deming Wheel: PDCA Cycle 2-
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  • 41. Six Sigma Process 2- 3.4 DPMO 67,000 DPMO cost = 25% of sales DEFINE CONTROL IMPROVE ANALYZE MEASURE
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  • 60. Measuring Product Yield and Productivity 2- Yield=(total input)(% good units) + (total input)(1-%good units)(% reworked) or Y=(I)(%G)+(I)(1-%G)(%R) where I = initial quantity started in production %G = percentage of good units produced %R = percentage of defective units that are successfully reworked
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  • 62. Computing Product Cost per Unit 2- Product Cost where: K d = direct manufacturing cost per unit I = input K r = rework cost per unit R = reworked units Y = yield
  • 63.
  • 64. Computing Product Yield for Multistage Processes 2- Y = ( I )(% g 1 )(% g 2 ) … (% g n ) where: I = input of items to the production process that will result in finished products g i = good-quality, work-in-process products at stage i
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  • 69. Quality Productivity Ratio 2- Case 2: Reduce direct cost to $26 and rework cost to $10 QPR = 80 + 10 100 * $26 + 10 * $10 (100) = 3.33 QPR = 95 + 2.5 100 * $30 + 2.5 * $12 (100) = 3.22 Case 3: Increase %G to 95% QPR = 95 + 2.5 100 * $26 + 2.5 * $10 (100) = 3.71 Case 4: Decrease costs and increase %G
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