Significance of Quality (QMS) in an industry (not specific to particular industry)
This outlines significance of implementation of Total Quality Management
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Outline:
What is Quality
Quality Dimensions & Obstacles
Cost of Quality
Productivity Enhancement
Leadership for Quality
ISO and other Models
Total Quality Management
Benchmarking vs Competitive Analysis
Statistical Process Control
Check Sheet and other tools
Six-Sigma
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3. 3
Quality Today
What is Quality
Quality Dimensions & Obstacles
Cost of Quality
Productivity Enhancement
Leadership for Quality
ISO and other Models
Total Quality Management
Benchmarking vs Competitive Analysis
Statistical Process Control
Check Sheet and other tools
Six-Sigma
Quality Today (TQM) - Kamran Khan – ChromeIS.com/institute
4. 4
ABSTRACT
-- what means ‘quality’ today?
-- what sneaks quality in a product
-- Myths about quality
-- using modern tools to establish quality
discipline
Quality Today (TQM) - Kamran Khan – ChromeIS.com/institute
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INTRODUCTION
Originators of Quality?
Why Quality (Significance)
…
An important determinant of business
profitability
Positively & significantly related to higher
return on investment
Quality Today (TQM) - Kamran Khan – ChromeIS.com/institute
6. 6
An innovation happens to CREATE or SERVE the market NEED
Invention
(never existed)
Imitation
(copying)
Technology Lead
(e.g. Pentium Processors)
Innovation
(something new)
Market Lead
(e.g. Common Utensils)
Why Quality…?
Quality Today (TQM) - Kamran Khan – ChromeIS.com/institute
7. 7
Quality Today
What is Quality
Quality Dimensions & Obstacles
Cost of Quality
Productivity Enhancement
Leadership
ISO and other Models
Total Quality Management
Six-Sigma
Quality Today (TQM) - Kamran Khan – ChromeIS.com/institute
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Definitions
Conformance to Specifications
Conformance to Standards
Freedom from defects
A Degree of Excellence
Fitness for intended Purpose/Use
… Obsolete Definitions
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Definitions
Customer Satisfaction
Quality is the totality of characteristics of an entity
that bears on its ability to satisfy the stated or
implied needs.
… Today’s Definition
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Means many things to many people - it is usually associated with cost.
Fitness for purpose
– J M Duran
Conformance to requirements
Providing customers, both internal and external, with products
and services that fully satisfy their negotiated requirements.
– P B Crosby
The degree of excellence of a thing.
– Concise Oxford Dictionary
Totality of features and characteristics of a product or service
that bears upon its ability to satisfy stated or implied needs.
– International Standards Organisation
What is Quality?
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What is Quality? …cont.
Quality is a predictable degree of uniformity and dependability, at
low cost and suited to the market.
– Dr Edwards Deming
Quality is meeting the (stated) requirements of the customer-
now and in the future.
– Mike Robinson
Conformance quality - conforming to specifications; having a
product or service that meets predetermined standards.
Requirements quality - meeting total customer requirements;
having perceived attributes of a service or product that meet or
exceed customer requirements.
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What is Quality? …cont.
Quality is the total composite product and service characteristics
of marketing, engineering, manufacturing and maintenance
through which the product and service in use will meet the
expectations by the customer
– Armand Feigenbaum
Totality of characteristics of an entity that bear on its ability to
satisfy stated and implied needs
– ISO 8402 : 1994
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Basic Quality & Excitement Quality are both UNSPOKEN
Basic Quality
Excitement Quality
More About Quality
Un-stated Requirements
Stated Requirements
Additional features as pleasant surprises to
delight customer
Performance Quality
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Satisfy the internal as well as external customers
Emphasis on Improvement rather than Maintenance
Encourage Collaboration rather than competition
Recognize Team Effort
Communication Improvement Establish a System
Train & Coach rather than supervise
…and a whole lot more!!
Empower Rather than Controlling subordinates
Strong Commitment to Quality
Prefer Quality over Price
Emphasis: Prevention is better than Detection
Learn from Problems (PDSA)
What to do ?
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Quality Check Theory – Shewhart:1931
58.4
58.6
58.8
59
59.2
59.4
59.6
59.8
60
60.2
1
2
3
4
5
6
7
8
59-60 is within Quality but above trend is threatening
Req. 59-60 ml of medicine to be filled in bottle.
Refer to graph and observe the statistics
Identify 2 possible concerns regarding Quality
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Quality Loss Function – Taguchi: 1950
Customer Requires delivery in 4-6 Days
Actual Delivery Takes: 4 Days in routine
Actual Delivery Took: 5 Days
Customer Requirement is being met
But Quality has been compromised
Quality Today (TQM) - Kamran Khan – ChromeIS.com/institute
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Quality Today
What is Quality
Quality Dimensions & Obstacles
Cost of Quality
Productivity Enhancement
Leadership for Quality
ISO and other Models
Total Quality Management
Six-Sigma
Quality Today (TQM) - Kamran Khan – ChromeIS.com/institute
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Dimensions of Quality – Gravin
Performance
Features
Conformance
Reliability
Durability
Service
Response
Aesthetics
Repute
: Stated Req.
: Additional offering
: To Standards/ISO/CMM
: Consistency in performance
: Life time of product/service
: After sale support/behavior
: Curtsey & Delivery time etc
: Looks & beautifying things
: brand name/advertising
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Meaning of Quality
The meaning of Quality
Consumers PerspectiveProducts Perspective
Quality of Conformance
…………………………
Conformance to
specifications
+ Cost
Quality of design
…………………………
Quality Characteristics
+ Price
Fitness for
consumer use
Production Marketing
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Obstacles to Quality
Different hindrances in achieving Quality
Misconception:
Additional cost
Adherence
Poor Reading habits
Resistance to Change
Poor Writing habits
Inertia in
accepting
Quality
Standardization
is absolute
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Rehabilitation and Cultural Change
The Clues are there!
Official Lifestyle Change (+ve)
Top Management Involvement
Instill the importance of Quality (Quality Circle)
Everyone’s responsibility
Concept of Internal & External customers
Quality at source (Reduced Inspection)
Focus on using Strength rather then weaknesses
Quality consistency (high priority rather than level of output)
Trainings for fresh
“Train the Trainer”
Individual Development
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How Should I…?
Adjusting Perceptions…
Commitment
Continuous Improvement
No Expectation of Quick Reward
Enabling Vs. Restricting
Organized
Team
Synergy
Leadership Outcome
Empowerment Innovation
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Quality Today
What is Quality
Quality Dimensions & Obstacles
Cost of Quality
Productivity Enhancement
Leadership for Quality
ISO and other Models
Total Quality Management
Six-Sigma
Quality Today (TQM) - Kamran Khan – ChromeIS.com/institute
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“Leadership is the ability to inspire people to
make a total, willing and voluntary commitment
to accomplishing or exceeding organizational
goals”
Leadership and Quality Management
Understand Employees Needs
Understand Individuals’ Beliefs
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Leadership Characteristics
Walk the talk
Persuasiveness
Positive Influence
Good Communication
Positive Role Model
Balanced Commitment
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Types of Leadership
Delegating
Assigns responsibilities
Assigns authority
Provides minimal input
Verifies work
Recognizes employees for accepting responsibility
Directing
Engages in unilateral decision making
Expects employees to follow order
Give information about what to do
Gives information about how to do
Gives information about why it should be done
Recognizes employees for following instructions
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Types of Leadership Styles
Participative
Provides guidance
Gets involved when necessary
Accepts works and decisions of employees
Helps others analyze and solve problems
Recognizes employees for seeking support
Consultative
Seeks input, advice and suggestions
Makes final decision
Recognizes employees for their contribution
…
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Misconceptions about Leaders
Leaders Exists at the top
Leaders are born not made
Leaders are Charismatic
Leadership is rare Skill
Leaders don’t need to be learners
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Leadership for Quality
Customer (both internal & External) Focus
Obsession with Quality
They empower rather than control Subordinates
Emphasize collaboration rather than competition
Regular & Continuous education & Training programs
Try to improve communication (continuously)
Looking for Faults in a system not specific Problem
Select suppliers on the basis of quality and not price
Teamwork
Establish organizational system to support quality effort
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Habits of Highly Effective People
Proactive not reactive
There is nothing I can do ::Lets look at our alternatives
I must ::I prefer
She makes me so mad ::I control my own feelings
Begin with the End in Mind
Never compromise with honesty
Keep a sense of humor
Exercise daily (healthy body healthy brain)
Never fear mistakes
Go through leadership articles daily
(regularly read about world leaders)
Put First things First
Think Win-Win
First understand, Then be understood
Synergy
Stop blaming – take responsibility
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Employees & Quality Improvement
Quality circles
Employees’ suggestions
Process improvement teams
Self-managed work teams
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The Quality Circle Process
Organization
8-10 members
same area
moderator
Problem Analysis
Causes & effect
data collection &
analysis
Training
Group processes
Data collection
Problem analysis
Presentation
Implementation
Monitoring
Solution
Problem results
Problem ID
List alternatives
Consensus
Brainstorming
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Customer & Quality Management
Customers can be:
Internal Customers
What is needed from me?
What is use of my output?
Gaps between what is needed & what one gets
External Customers (customer defined values)
Performance
Features
Service
Warranty
Price
Reputation
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Customer value Analysis (CVA)
Customer Value Analysis:
Determine attributes customers value most
Rate the relative importance of Attributes
Assess your organization performance against these attributes
Let customers Compare these attributes with your competitors
Repeat the process periodically
Issues in hand:
Understand your Customer
Identify customers’ needs
Continuous communication with your customer
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Quality Today
What is Quality
Quality Dimensions & Obstacles
Cost of Quality
Productivity Enhancement
Leadership
ISO and other Models
Total Quality Management
Six Sigma
Quality Today (TQM) - Kamran Khan – ChromeIS.com/institute
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The Four Absolutes of Quality
Quality is conformance to requirements
- Do what you said you would do
The system for producing quality is NOT prevention, NOR is it appraisal
- Solve problems permanently
The performance standard is ZERO defects
- Right first time and every time
Quality is measured by the cost of Non-Conformance
- Repair / re-work is paid for out of profits
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Traditional Way of Quality Control
Takes place
During
And at the end of the process
Three Main points where inspection is done
When raw material is purchased
When production is going on
When product ready to be dispatched
Disadvantages:
Does not add value
Is not timely
Done by Quality Control Inspection Team
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ISO 9000 Categories
ISO 9001 – Suppliers and Designers
ISO 9002 – Production
ISO 9003 – Inspection and Test
ISO 9004 – Quality Management
ISO 14000 – Environmental Hazards
ISO 27001 – Security
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Implications of ISO 9000
Adopted by U.S. Navy, DuPont, 3M, AT&T & others
Certification required by many foreign firms
U.S. firms export > $100 billion/yr Europe
Truly international in scope
ISO Accreditation
European registration
3rd
party registrar assesses quality program
European Conformity (CE) mark authorized
United States 3rd
party registrars
American National Standards Institute (ANSI)
American Society of Quality Control (ASQC)
Registrar Accreditation Board (RAB)
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International Organization for Standardization
International standardization began in the electro-
technical field
ISO’s Principal activity is to develop technical Standards
Network of the national standards institutes of 156
countries
ISO is a non-governmental organization
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Members of ISO
Member Bodies
Full members
Each have one vote
Correspondent Members
Pay reduced membership fees
Do not yet have a fully developed national standards
activity
Are entitled to participate in any policy or technical body as
observers
No voting rights
Subscriber Members
Are institutes from countries with very small economies
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The hallmarks of the ISO brand
Equal footing
Each participating member in ISO has one vote
Voluntary
As a non-governmental organization, ISO has no legal authority to enforce their
implementation
Market-driven
ISO develops only those standards for which there is a market requirement
Consensus
ISO incorporate any changes after consent of members
Worldwide
Worldwide operations – worldwide members
Global Industries
Having members from various industries worldwide to make is generic model
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ISO 9000 & ISO 14000
Generic Management System Standards
Generic means that the same standards can be applied
to any organization, large or small
whatever its product - including whether its "product" is actually a service
in any sector of activity
whether it is a business enterprise, a public administration, or a government department
Management system refers to what the organization does to manage its
processes, or activities
ISO 9000 is concerned with “Quality Management”
concerns with: customer's quality requirements
applicable regulatory requirements
aims to: enhance customer satisfaction
achieving continual improvement of its performance in pursuit of these
objectives
ISO 14000 is Primarily concerned with “Environment
Management”
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Quality Management Principles
Customer Focus
Leadership
Involvement of People
Process approach
System approach
Continual improvement
Factual approach to decision making
Mutual beneficial supplier relationship
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Quality Today
What is Quality
Quality Dimensions & Obstacles
Cost of Quality
Productivity Enhancement
ISO and other Models
Total Quality Management
Six Sigma
Quality Today (TQM) - Kamran Khan – ChromeIS.com/institute
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TQM Principles
1. Top management leadership (Long term)
2. Customer Focus
3. Quality as a strategic issue
4. Statistical Quality Control
5. Shared problem solving
6. Continuous Improvement (business and production Process)
7. Training & education for all employees
8. All employees responsible for quality
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Deming’s 14 Points
1. Create and communicate to all employees a statement of the
aims and purposes of the company.
2. Adapt to the new philosophy of the day; industries and
economics are always changing.
3. Build quality into a product throughout production.
4. End the practice of awarding business on the basis of price
tag alone; instead, try a long-term relationship based on
established loyalty and trust.
5. Work to constantly improve quality and productivity.
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Deming’s 14 Points
6. Institute on-the-job training.
7. Teach and institute leadership to improve all job
functions.
8. Drive out fear; create trust.
9. Strive to reduce intradepartmental conflicts.
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Deming’s 14 Points
10. Eliminate exhortations for the work force; instead, focus on
the system and morale.
11. a- Eliminate work standard quotas for production. Substitute
leadership methods for improvement.
b- Eliminate MBO. Avoid numerical goals. Alternatively, learn
the capabilities of processes, and how to improve them.
12. Remove barriers that rob people of pride of workmanship
13. Educate with self-improvement programs.
14. Include everyone in the company to accomplish the
transformation.
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Benchmarking Standard or
point of
reference
“Benchmarking is a systemic method by which
organization can measure themselves against the
best industry Practices”
“Benchmarking is the process of comparing and
measuring an organization’s operations or its
internal processes against those of a best-in-class
performer from inside or outside its industry”
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Benchmarking
Continuous, systematic process that measures products,
services and practices against those of industry leaders.
Basic Steps
Planning
Analysis
Integration
Action
Planning
Determine what to Benchmark
Form a benchmark team
Identify benchmarking partners
Determine the measures of performance
Collect the data
Analysis
Determine the gap between your firm’s
current performance and that of the
benchmark firms
Identify the causes of significant gaps
Integration
Establish goals
Obtain the support of managers who must
provide resources for accomplishing the
goals
Action
Develop action plans and team
assignments
Implement the plans
Monitor progress and recalibrate the
benchmarks as improvement is made
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Types of Benchmarking
Process benchmarking - identifying and observing the best practices from
one or more benchmark firms.
Financial benchmarking - performing a financial analysis and comparing
the results in an effort to assess overall competitiveness and productivity.
Performance benchmarking - allows the initiator firm to assess their
competitive position by comparing products and services with target firms.
Product benchmarking - the process of designing new products or
upgrades to current ones. This process can sometimes involve reverse
engineering which is taking apart competitors products to find strengths and
weaknesses.
Strategic benchmarking - involves observing how others compete. This
type is usually not industry specific, meaning it is best to look at other
industries.
Operational benchmarking - embraces everything from staffing and
productivity to office flow and analysis of procedures performed.
Functional benchmarking - focus single function in order to improve the
operation of that particular function.
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What is our
Performance level?
How do we do it?
What are others
Performance level?
How did they get
there?
Creative
adaptation
Breakthrough Performance
Key Points:
It is a mean of identifying
processes that require major
change
Done between consenting
companies (which may or may
not be competitors)
Compares your process or
practice with target company
to find “secrets of success”
Equally beneficial for large
and small companies
Benchmarking
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Benchmarking vs. Competitive analysis
Competitive analysis involves comparing
competitor’s product against yours.
While Benchmarking involves comparing how
product is engineered, manufactured, distributed
and supported.
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Benchmarking Process
Obtain management commitment
Understand Current Performance
Identify your strong and weak processes and document them
(Baseline your own processes)
Decide what to benchmark (Find out high impact areas i.e. Critical
success factors)
Form benchmarking teams
Research the best-in-class
Collect data
Analyze the data and establish the gap
Plan action to close the gap/surpass
Implement change
Monitor
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Will and Commitment
Vision/Objective link
Goal to become the best (& simply not to improve)
Openness to new ideas
Process Documented
Understanding of existing Processes, Products, Services and
customer needs
Process Analysis skills
Research, Communication and Team building skills
Prerequisites to Benchmarking
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Internal Focus
Unrealistic timetable
Poor team composition
Settling for ordinary-in-class
Insensitivity to Partners
Limited Top Management Support
Obstacles to Benchmarking
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Statistical Process Control
Take periodic samples from process
Plot sample points on control chart
Determine if process is within limits
Prevent quality problems
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Statistical Process Control
Monitors standards, makes measurements and take corrective
actions as the product or service is being produced.
Stats
Collection
Tabulation
Analysis
Presenting
For Decision making
Population and Sample
It is a technical tool
Controls the process
Has the capability to improve it
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SPC: Variation
Common Causes
Variation inherent in a process
Can be eliminated only through improvements in the system
Special Causes
Variation due to identifiable factors
Can be modified through operator or management action
Types of Data Collected:
Attribute data
Product characteristic evaluated with a discrete choice
Good/bad, yes/no
Variable data
Product characteristic that can be measured
Length, size, weight, height, time, velocity
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Development of Control Chart
Based on in-control data
If random causes present discard data
Correct control chart limits
Scale [brackets]
USL & LSL
Defects or variance
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Check Sheets
A Process is in Control if:
No sample points outside limits
Most points near process average
About equal number of points above & below centerline
Points appear randomly distributed
Remember:
Ensures that data is collected carefully and accurately
Creativity is important in designing of Check sheet
…
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Cause and effect Diagram
Also called
Ishikawa diagram after Dr. Kaoru Ishikawa
Fishbone diagram (because of its shape)
C & E are used to find out either the bad
effect or good effect
Team participation
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People Material Work Methods
Govt. Reg.EquipmentEnvironment
Quality
Causes Effects
C&E Diagram: Construction
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House Paint
Peeling
Material Work Method
EnvironmentEquipment
brush
dirty
bad bristles
humidity
Air pollution
Temperature
Acid Rain
C&E Diagram: House Paint Peeling
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C&E Diagram: Procedure
Identify the Effect or Quality Problem
Place it on the right side of a piece of paper
Identify the major causes
Participation by every member
Quantity of ideas rather than quality of ideas
Criticism of idea not allowed
Create a solution oriented atmosphere
Let the ideas incubate for a period of time
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Pareto Diagram: Procedure
Determine the method of classifying the data by
problem, cause, non-conformity etc.
Decide if Rupees, Frequency or both are to be used
to rank the characteristics
Collect data for appropriate time interval or use
historical data
Summarize the data and rank order categories from
largest to smallest
Construct the diagram and construct the vital few
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Pareto Diagram
First used for economic theory by Alfredo
Pareto
“Vital few” and “useful many”
Examples
Few customers account for majority of sale
Few suppliers account for majority of rejected
parts
Few items account for majority of inventory cost
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Process Flow Diagram
Shows flow of product or service as it moves through various
processes
It becomes easy to visualize the entire system
Identifies potential trouble spots
Measure of Dispersion
Range
R= X (highest) - X (lowest)
Standard Deviation
Measure of Central Tendency
Average
Mean
Median
Mode
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Defining Quality
Quantifying…
“Degree to which a set of
inherent characteristics
fulfills requirements”
Q = P/E
Where Q is quality
P is Performance
E is Expectations
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Where to apply QA
Design
Process
Human
Deming’s Philosophy:
“inspection with the aim of finding bad ones and throwing
them out is too late, ineffective and costly. Quality comes
not from inspection but improvement of the process”
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Early 1900’s: Tailorism
The philosophy of job decomposing which separated the tasks of
the craftsman into deskilled isolated operations
The links between Customer/ Design/ Manufacture/ Inspection
were broken
craftsman
inspection
product
product
inspection
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History (cont..)
1920’s: Bell Telephone Labs
A group was formed to develop new theories and methods
of inspection to improve and maintain quality
This is where the term Quality Assurance was first used
Developed
Control Charts
Sampling Techniques
Economics of Quality
1930’s: First book on Quality Control
WW-2: US military adopts a system of statistical sampling and the
imposition of strict standards to be met by suppliers.
- time
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1950’s: Deming and Juran’s introduction to
Japan of Statistical Quality Control
Techniques
juran.com/drjuran.html
History (cont..)
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History (cont..)
Industrial Revolution:
applied to the manufacture of rifles for the US Army
Made high demands on the manufacturing process
Quality Assurance imperative (especially for large buyers)
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1960’s and 70’s : Increasing Japanese
domination of large sectors of world
trade in manufacturing
1972 Institute of Quality Assurance
(IQA) established
History (cont..)
Early 90’s: Japan still increasing its
domination of manufacturing sectors
and services; with one of the fastest
growing economies
The West in recession and focusing
heavily on quality systems
Quality Today (TQM) - Kamran Khan – ChromeIS.com/institute
96. 96
Quality is free - the optimum is zero
Philip Crosby
defects.
W. Edwards
Deming
Deming’s 14 points.
How to use statistics.
Armand
Feigenbaum
Total quality control.
Joseph Juran
Quality as fitness for use, rather than
conformance to specification.
Genichi Taguchi
Loss function.
Minimize variation.
Kaoru Ishikawa
Quality circles and cause and effect
diagrams.
More Quality Gurus
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Problem Solving…
Different Approaches…
Juran’s Trilogy
Planning
Control
Improvement
PDSA (Shewhart’s and Deming)
Kaizen (Japanese approach)
Reengineering
Six Sigma
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Juran’s Trilogy
Plan
Identify customers (internal/external)
Discover the Needs
Develop Product/Service features
Develop Process able to produce product/service features
Control
Determine what to be controlled and their unit of measure
Set goals for the control
Measure actual performance
Compare actual performance to goals
Act on difference
Improvement
Attain levels of performance that are higher than current levels
Establish Quality Council
Adopt Problem Solving Methods
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Act Plan
DoStudy
Identify the
opportunity
Analyze the
Process
Develop the
Optimal Solution
Implement
Study the
results
Standardize
The solution
Plan for future
PDCA / PDSA
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PDCA / PDSA
Identify the Opportunities
Identify the problems
Prioritize the Problems
Form a team
Define the Scope (sphere of problem observed)
Give clear authority, objective, scope, composition and
direction and control to the team
Analyze the Current Process
Establish Process Flow Diagram
Define Target Performance Measures
Analyze the available data
If needed, change data collection tools/techniques
Determine root cause, using different techniques
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PDCA / PDSA
Develop the Optimal Solution
Creativity and Brainstorming needed
One of the following may be adopted
Creating new process
Combine different processes
Modify the existing process
Implement Changes
Preparing the implementation plan
5Ws and How
Obtain Approval
From the Quality Council
From the departments where change will be implemented
Implementing the Process Improvements
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PDCA / PDSA
Study the Results
Monitor the change
Evaluate the Change
Study the effectiveness of the improvement
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Kaizen
5 S…
Seiri : Proper Arrangement
Seiton : Put things in order
Seiso : Clean up
Shiketsu : Personal Cleanliness
Shitsuke : Discipline
Kai: “change”
Zen: “good”
Kaizen Check List…
Personnel
Work techniques
Work Methods
Procedures
Time
Facilities
Equipment
Tools
Material
Plant layout
Paradigms (mind sets)
Kaizen involves:
People
Processes
Products
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Quality Today
What is Quality
Quality Dimensions& Obstacles
Cost of Quality
ISO and other Models
Total Quality Management
Six Sigma
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Quality
Improvement
The Pursuit of
QUALITY
is a JOURNEY
not a DESTINATION!
Where are you; on your
STARTING
blocks?
QUALITY starts here and NOW!
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Six-Sigma – What is it?
Six Sigma is a business management strategy, originally developed by
Motorola, that today enjoys wide-spread products in diversified sectors of
industry.
Six Sigma seeks to identify and remove the causes of defects and errors in
manufacturing and business processes.
It uses a set of quality management methods, including statistical methods, and
creates a special infrastructure of people within the organization ("Black Belts"
etc.) who are experts in these methods.
Each Six Sigma project carried out within an organization follows a defined
sequence of steps and has quantified financial targets (cost reduction or profit
increase)
Innovation Algorithm
DMAIC (Define-Measure-Analyze-Improve-Control)
Design for Six Sigma Algorithm
DMADV (Define-Measure-Analyze-Design-Verify) (DFFS)
Makes Integrative Use of:
Various strategies and tools from Statistics, QMS, Business, Engineering etc
Quality Today (TQM) - Kamran Khan – ChromeIS.com/institute
This file was downloaded from:
http://chromeis.com/TQM
For more training material, visit
http://chromeis.com/institute
Loads of us get intuition from experienced professional and accept obsolete definitions. This presentation intends to highlight what Quality means Today.
This highlights the attributes and dimensions of quality which we need to focus.
This further talks about the areas where we need to focus – to establish true Quality Management System.
A lot of stress is given on Quality in every industry. The orientation comes from Japan by American scientists. Americans shunt out their quality professionals and sent them to Japan on the name of rehabilitation. Japan accepted them as god and now Japan is first name in Quality. Example: Now Japan picks up raw cotton from the Pakistani port and after refining, delivers it back on Pakistan port and the price (cost + profit) charged by Japan is far in comparison to if the whole process is done in Pakistan.
Survival in Competition is the only and absolute reason. If there is no competition, Quality is not NEEDED – Example: Government of any country, WAPDA in Pakistan, PAKTEL monopoly few years back which is broken after other cellular companies. However, nevertheless, an organization may bring in quality if willing.
Inventions:
High cost and high profit – long projects but almost no competition. No Quality needed by virtue of being invention.
Innovations:
Generate easy profit comparing to inventions and imitation
Have existing competition; so Quality is need
Imitation:
Copying attributed or creating a ditto copy.
Market Led: Sensing the market need, building a product and then promoting it
Technology Led: Scientific Invention is done, then the “use” is projected to CREATE the market need, and then the need is highlighted for increased sales.
Quality Definition in ISO 9000:2000: Quality is defined a the degree to which a set of inherent characteristics fulfill requirements.
Other Definitions of quality on the Web:
an essential and distinguishing attribute of something or someone; "the quality of mercy is not strained"--Shakespeare
a degree or grade of excellence or worth; "the quality of students has risen"; "an executive of low caliber"
a characteristic property that defines the apparent individual nature of something; "each town has a quality all its own"; "the radical character of our demands"
timbre: (music) the distinctive property of a complex sound (a voice or noise or musical sound); "the timbre of her soprano was rich and lovely"; "the muffled tones of the broken bell summoned them to meet"
choice: of superior grade; "choice wines"; "prime beef"; "prize carnations"; "quality paper"; "select peaches"
of high social status; "people of quality"; "a quality family" wordnet.princeton.edu/perl/webwn
Quality refers to the inherent or distinctive characteristics or properties of a person, object, process or other thing. Such characteristics or properties may set a person or thing apart from other persons or things, or may denote some degree of achievement or excellence. When used in relation to people, the term may also signify a personal character or trait. en.wikipedia.org/wiki/Quality
The totality of features and characteristics of a product or service that bear on its ability to satisfy stated or implied needs.www.chesapeakebay.net/info/qa_glossary.cfm
In publishing parlance, the word quality in reference to a book category (such as quality fiction) or format (quality paperback) is a term of art - individual works or lines so described are presented as outstanding products.www.brochure-design.com/brochure-design-publishing-terms.html
Subjective term relating to expectations by the customer, printer, and other professionals associated with a printing job and whether the job meets those expectations. Quick printing - Printing using small sheetfed presses, called duplicators, using cut sizes of bond and offset paper. Paper, plastic or rubber plates are made directly from camera-ready copy, as compared to metal plates for commercial printing that require making film first. ...www.marrak.com/resource/glossary.html
consistent performance of a uniform product meeting the customer's needs for economy and function.www.palletone.com/resource/glossary.html
the character of a chord given by its third, fifth, and seventh. The qualities are major, dominant, minor, tonic minor, half-diminished and diminished. In theory augmented major and augmented (dominant) would also be 'qualities' but they are usually just considered alterations.www.humboldt1.com/~jazz/glossary.html
Value which describes the resonance properties of an oscillating system, for example a resonant circuit or a resonant cavity (resonator). The quality of an oscillating system depends on the average energy stored by the system and its power loss. The higher the quality, the steeper the resonance curve and the narrower the bandwidth.www.desy.de/pr-info/desyhome/html/presse/glossary.html
Wiley Publications are known for their quality of content and high standards of production.www.wiley.com/legacy/wileychi/ecc/publish.html
The totality of features or properties of an entity that bear on its ability to satisfy stated and implied needs.www.iese.fhg.de/Publications/book/Guides/glossary/content.html
In the context of GIS data, quality usually refers to how fit the data are for a particular purpose.hds.essex.ac.uk/g2gp/gis/sect101.asp
Meeting expectation and requirements, stated and un-stated, of the customer.www.vmec.org/glossary/
All Acromag products undergo rigid quality control procedures to ensure compliance with our published specifications. Customers are welcome to observe our standard inspection procedures at a nominal charge. Factory inspections requiring special tests, documentation, or procedures not normally part of Acromag's standard procedures, are subject to additional charges.www.acromag.com/aa_terms.cfm
to be at a high degree of excellence; something that is good or well donewww.groundwater.org/kc/kidsvocab.html
Definition: The percentage of data obtained that is "good" (e.g. not affected by clouds) Data Type: integer Possible Values: 0 <= x <= 100 Default: none Origin: WSC Instrument: Source: Rate of change: per sequence Comment: Never used. See the Warning page.bass2000.bagn.obs-mip.fr/New2003/Pages/thesaurus2001.html
The composite of material attributes, including performance features and characteristic, of a product or service to satisfy a given need.www.mmd.admin.state.mn.us/mn06008.htm
The credit rating given to an individual security by a rating agency such as Moody's or Standard & Poor's.www.morganstanley.com/im/glossary/
Status summary. Scale runs from 0 - 10. This value is determined by 'sigma = int(VEL_RES/VEL_RMS)'. If 'sigma' is 3 standard deviations or less, the QUALITY value is '0' and the image is clean and sharp. If 3sigma < VEL_RES <= 4sigma , QUALITY = 3 If 4sigma < VEL_RES <= 5sigma , QUALITY = 4 If 5sigma < VEL_RES <= 6sigma , QUALITY = 5, etc. ...physics.usc.edu/solar/FITS.html
the dual of quantity: quality of the first kind is a combination of the irreducible dimensions of mass, length and time, MLT; quality of the second kind is system performance and consists of a ratio of qualities of the first kind.www.corebooksweb.com/definitions.htm
the filling of time. Reality: sensation in general; points to being (in time). Negation: not-being in time.www.bright.net/~jclarke/kant/princip1.html
covers the implementation of quality programs which attempt to improve the standard or performance of a company, product or industry and the impact of changes made because of quality factor. Includes TQM and Baldridge material.rdsweb2.rdsinc.com/help/bi_ct_expdef.html
The quality of the product is to a high standard, we cannot be held responsible for variances in quality from the manufactures.www.cigarsclub.com/terms.htm
Manufacturing is conducted under the strict requirements of an ISO 9001 quality assurance program.www.ccgicorp.com/systems.helical.piles.php
Conformance to requirements or fitness for use. Quality can be defined through five principal approaches: (1) Transcendent quality is an ideal, a condition of excellence. (2) Product-based quality is based on a product attribute. (3) User-based quality is fitness for use. (4) Manufacturing-based quality is conformance to requirements. (5) Value-based quality is the degree of excellence at an acceptable price. ...scrc.ncsu.edu/public/DEFINITIONS/P%20-%20R.html
means the ability of a set of inherent characteristics of a product, system or process to fulfill requirements of customers and other interested parties (from AS/NZS ISO 9000:2000).www.nswfitc.com.au/a/1855.html
the totality of an entity’s properties which make it capable of satisfying an expressed or hypothetic need, that is, acceptability or suitability for a given purpose;www.unizg.hr/tempusprojects/glossary.htm
The State will be the sole judge in determining “equals” with regard to quality, price and performance. All products delivered shall be newly manufactured and of the manufacturer’s current model, unless otherwise specified.www.cu.edu/psc/purchasing/vendor/po-terms.html
The TOTALITY (each and every attribute with no exception) of characteristics which can contribute to satisfy the user of the product.
ISO 9000:2000 Definition of Quality:
Quality is defined as the degree to which a set of inherent characteristics fulfill requirements.
Anything possible to make him delighted by means of features, performance, service delivery and support. Go an extra mile for customer delight.
Basic Quality: Unstated features which the customer is not aware of. After purchase, customer may sense basic quality and later it may become performance quality. Examples include CFC free gas in air conditioners and readability/write-ability of code of a software.
Performance Quality: Fulfilling all the stated requirements of customer.
Excitement Quality: Pleasant surprises to delight the customer. This may include fringes etc.
Plan Do Study Act
The Quality Loss Function (QLF)
The quality loss function is based on the work of electrical engineer, Genichi Taguchi. This view disagrees with the traditional (goalpost) view. The quality loss function recognizes that products falling between specific limits are not all equal. The four following statements summarize Taguchi’s philosophy.
1. We cannot reduce cost without affecting quality.2. We can improve quality without increasing cost.3. We can reduce cost by improving quality.4. We can reduce cost by reducing variation. When we do so, performance and quality will automatically improve.
Service Quality:
http://www.shsu.edu/~mgt_ves/mgt481/lesson1/index.htm
Time & Timeliness: Customer waiting time, completed on time
Completeness: customer gets all they asked for
Courtesy: treatment by employees
Consistency: same level of service for all customers
Accessibility & Convenience: ease of obtaining service
Accuracy: performed right every time
Responsiveness: reactions to unusual situations
Conformance Quality:
Ensuring product or service produced according to design
Depends ondesign or production process performance of machinery, materials, training.
Consumer: Evaluates value for money he is paying for. Expecting after sale satisfaction
Producer: Highly considerate about:
Production cost
Additional quality cost
Timely product (fearing quality overhead)
Increased cost of product vs. production quantity
Prevention Cost:
Appraisal Cost:
Appraisal Cost is a component of 'Cost of Quality'
This is the cost incurred on Preventing the defects. e.g.
Cost to establish Methods & Procedures
Cost to Plan for Quality
Cost incurred on Training
Internal Failure Cost:
Inspection, QC
External Failure Cost:
Customer Rebuttal, Transportation, bad repute
Appraisal Cost:
The costs that are incurred in assessing that products/services conform to the requirements. It relates to testing, executing, and examination to assess whether specified quality is being maintained.
Some example component items of the total appraisal costs are:
product quality audits,
process control monitoring,
inspection and testing of goods,
and maintenance of test equipment.
Base sales
$810,400 *100/ 1,760,000.00 =46.04
Ref.: http://www.topachievement.com/smart.html
Creating S.M.A.R.T. Goals
Specific
Measurable
Attainable
Realistic
Timely
Specific - A specific goal has a much greater chance of being accomplished than a general goal. To set a specific goal you must answer the six "W" questions:
*Who: Who is involved? *What: What do I want to accomplish? *Where: Identify a location. *When: Establish a time frame. *Which: Identify requirements and constraints. *Why: Specific reasons, purpose or benefits of accomplishing the goal.
EXAMPLE: A general goal would be, "Get in shape." But a specific goal would say, "Join a health club and workout 3 days a week."
Measurable - Establish concrete criteria for measuring progress toward the attainment of each goal you set. When you measure your progress, you stay on track, reach your target dates, and experience the exhilaration of achievement that spurs you on to continued effort required to reach your goal.
To determine if your goal is measurable, ask questions such as......How much? How many? How will I know when it is accomplished?
Attainable - When you identify goals that are most important to you, you begin to figure out ways you can make them come true. You develop the attitudes, abilities, skills, and financial capacity to reach them. You begin seeing previously overlooked opportunities to bring yourself closer to the achievement of your goals.
You can attain most any goal you set when you plan your steps wisely and establish a time frame that allows you to carry out those steps. Goals that may have seemed far away and out of reach eventually move closer and become attainable, not because your goals shrink, but because you grow and expand to match them. When you list your goals you build your self-image. You see yourself as worthy of these goals, and develop the traits and personality that allow you to possess them.
Realistic - To be realistic, a goal must represent an objective toward which you are both willing and able to work. A goal can be both high and realistic; you are the only one who can decide just how high your goal should be. But be sure that every goal represents substantial progress. A high goal is frequently easier to reach than a low one because a low goal exerts low motivational force. Some of the hardest jobs you ever accomplished actually seem easy simply because they were a labor of love.
Your goal is probably realistic if you truly believe that it can be accomplished. Additional ways to know if your goal is realistic is to determine if you have accomplished anything similar in the past or ask yourself what conditions would have to exist to accomplish this goal.
Timely - A goal should be grounded within a time frame. With no time frame tied to it there's no sense of urgency. If you want to lose 10 lbs, when do you want to lose it by? "Someday" won't work. But if you anchor it within a timeframe, "by May 1st", then you've set your unconscious mind into motion to begin working on the goal.
T can also stand for Tangible - A goal is tangible when you can experience it with one of the senses, that is, taste, touch, smell, sight or hearing. When your goal is tangible you have a better chance of making it specific and measurable and thus attainable.
Increase input to increase output in such a proportion that ratio is raised.
Decrease input to decrease output in such a proportion that ratio is raised.
Input remains same, however output is optimized e.g. wastage control and scrap management, training, labor specialization
Output remains the same but input is decreased e.g. BPO
Find out
Find out
Constant improvement is highly desired (TQM)
Don’t look for rewards… these come later
Enabling means to open new doors.
But don’t track to be a dead end. Your project should be extensible. (programmers knows how to make a program extensible)
Do it right the first time… and every time.
The organization's logos in its two official languages, English and French, include the word ISO (pronounced /aɪsoʊ/), and it is usually referred to by this short-form name. ISO is not an acronym for the organization's full name in either official language. Rather, the organization adopted ISO based on the Greek word isos (ἴσος), meaning equal. Recognizing that the organization’s initials would be different in different languages, the organization's founders chose ISO as the universal short form of its name. This, in itself, reflects the aim of the organization: to equalize and standardize across cultures.
Management by Objectives
Identify organizations that are leaders in these areas - Look for the very best in any industry and in any country. Consult customers, suppliers, financial analysts, trade associations, and magazines to determine which companies are worthy of study.
Functional benchmarking - focus single function in order to improve the operation of that particular function. Complex functions such as Human Resources, Finance and Accounting and Information and Communication Technology are unlikely to be directly comparable in cost and efficiency terms and may need to be segregated into processes to make valid comparison.
Nature of defect is different in service
Service Quality Examples:
Hospitals: timeliness, responsiveness, accuracy
Grocery Stores: check-out time, stocking, cleanliness
Airlines: luggage handling, waiting times, courtesy
Fast food restaurants: waiting times, food quality, cleanliness
These tools are also used in Statistical Process Control
Check Sheets:
Simple Data Recording Device
Easy to Design & Implement
Ensures that data is collected carefully and accurately
Creativity is important in designing of Check sheet
You’d be amazed by how many plane crashes are the result of the aircraft running out of fuel — one study has estimated the number at 10 percent since 2000.
“As a former private pilot, I learned the importance of the simple pre-flight checklist. Making sure your plane is airworthy is not a difficult process — it’s about a 15 minute walkaround — but there are many items to confirm: Are the flaps working in coordinated fashion? Are the tires properly inflated? Radio functioning? Electrical system? Navigation system?” - http://blogs.bnet.com/harvard/?p=358&tag=nl.e713
Scatter Diagram:
To identify a relationship of one variable with the other
Tight Band Indicates the relation
Cause and Effect Diagram: (Fishbone, Ishikawa Diagram)
Ishikawa diagram (after the name of Dr. Kaoru Ishikawa
Fishbone diagram (because of its shape)
A tool for analyzing and illustrating a process by showing the main causes and sub causes leading to an effect
Identify the Effect or Quality Problem
Place it on the right side of a piece of paper
Identify the major causes:
Participation by every member
Quantity of ideas rather than quality of ideas
Criticism of idea not allowed
Create a solution oriented atmosphere
Let the ideas incubate for a period of time
Pareto Chart:
A graphical tool for ranking causes from most significant to least significant
First used for economic theory by Alfredo Pareto
“Vital few” and “useful many”
Examples:
Few customers account for majority of sale
Few suppliers account for majority of rejected parts
Few items account for majority of inventory cost
Constructing a Pareto Diagram:
Determine the method of classifying the data by problem, cause, non-conformity etc.
Decide if Rupees, Frequency or both are to be used to rank the characteristics
Collect data for appropriate time interval or use historical data
Summarize the data and rank order categories from largest to smallest
Construct the diagram and construct the vital few
Flow Chart (Process Diagram):
Graphical tools that shows the major steps in a process.
Shows flow of product or service as it moves through various processes
It becomes easy to visualize the entire system
Identifies potential trouble spots
Histogram:
Shows the frequency of Occurrence of a Variable
Means many things to many people - it is usually associated with cost.
Fitness for purpose - J M Duran
Conformance to requirements - P B Crosby
Providing customers, both internal and external, with products and services that fully satisfy their negotiated requirements.
Fitness for purpose and use
Conformance quality - conforming to specifications; having a product or service that meets predetermined standards.Requirements quality - meeting total customer requirements; having perceived attributes of a service or product that meet or exceed customer requirements.
7. "Quality is the total composite product and service characteristics of marketing, engineering, manufacturing and maintenance through which the product and service in use will meet the expectations by the customer."
Armand Feigenbaum
8. "Totality of characteristics of an entity that bear on its ability to satisfy stated and implied needs.“ ISO 8402 : 1994
What Quality means in: JAPAN-Perfection
GERMANY-Conformance to Specification
FRANCE-A Luxury
AMERICA-It Works Doesn't It!
Inspection
Quality Control
Quality Assurance
Service Quality Management
Continuous Quality Improvement
NB After the second world war the British Unit was disbanded and whilst the must larger American unit went on to form the American Society of Quality Control
http://www.deming.org/deminghtml/wedi.html
http://www.deming.org/deminghtml/wedi.html
Deming:
“inspection with the aim of finding bad ones and throwing them out is too late, ineffective and costly. Quality comes not from inspection but improvement of the process”