BASIC CONCEPTS OF QUALITY

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Learning Objectives

• QUALITY • QUALITY CONTROL• QUALITY ASSURANCE• QUALITY MANAGEMNT• TOTAL QUALITY MANAGEMENT• Little q vs Big Q• ISO SYSTEM

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QUALITY

A subjective term for which each person has his or her own definition.

• Characteristics of a product that bears on it’s ability to satisfy the stated or implied needs.( ASQ)

(ASQ)Note:

American Society for Quality ASQ

American Society for Quality Control.(ASQC)

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QUALITY

• Features of products which meet customer needs and thereby provide customer satisfaction.

• In this sense the meaning of quality is oriented to income

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QUALITY

• A product or service free of deficiencies.

Freedom from errors that require doing work over again (rework) or that may results in field of failures, customer dissatisfaction, customer claims and so on.

In this sense quality is oriented to cost and higher quality means “ Costs Less”

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QUALITYProduct features meet customer needs

• Higher quality enables companies to:

• Increase customer satisfaction

• Make products salable

• Meet competition

• Increase market share

• Provide sales income

• Secure premium prices

• The major effect is on sales

• Usually higher quality costs more.

Freedom from deficiences

• Freedom from deficiencies

• Reduce error rates

• Reduce rework, waste

• Reduce failure

• Warranty charges

• Reduce customer dissatisfaction

• Reduce inspection, test

• Shorten time to put new products in the market

• Increase yields, capicity

• Improve delivery performance

• Major effect is on cost• Usually, higher quality

costs less6

What is Quality?

• User-based: “In the eyes of the beholder”

• Manufacturing-based: “Right the first time”

• Product-based: Precise measurement

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Accuracy Vs PrecisionAccuracy

The accuracy of a measurement describes how close it is to the 'real' value.

Precision

The ability of a measurement to be consistently reproduced

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The Dimensions of Quality

Performance: Primary product characteristics, such as the brightness of the picture

Features: Secondary characteristics, added features, such as remote control

Conformance: Meeting specifications or industry standards, workmanship

Reliability: Consistency of performance over time, average time for the unit to fail

Durability: Useful life, includes repair

Service: Resolution of problems and complaints, ease of repair

Response: Human-to-human interface, such as the courtesy of the dealer

Aesthetics: Sensory characteristics, such as exterior finish

Reputation: Past performance and other intangibles, such as being ranked first

Dimension 1: Performance

Does the product or service do what it is supposed to do, within its defined tolerances?

• Performance is often a source of contention(conflict) between customers and suppliers, particularly when deliverables are not adequately defined within specifications.

• The performance of a product often influences profitability or reputation of the end-user. As such, many contracts or specifications include damages related to inadequate performance.

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Dimension 2: Features

• Does the product or services possess all of the features specified, or required for its intended (future planned) purpose?

While this dimension may seem obvious, performance specifications rarely define the features required in a product. Thus, it’s important that suppliers designing product or services from performance specifications are familiar with its intended uses, and maintain close relationships with the end-users.

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Dimension 3: Reliability

• Will the product consistently perform within specifications?

• Reliability may be closely related to performance. For instance, a product specification may define parameters for up-time, or acceptable failure rates.

• Reliability is a major contributor to brand or company image, and is considered a fundamental dimension of quality by most end-users.

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Dimension 4: Conformance

• Does the product or service conform to the specification?

• If it’s developed based on a performance specification, does it perform as specified?

• If it’s developed based on a design specification, does it possess all of the features defined?

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Dimension 5: Durability

• How long will the product perform or last, and under what conditions?

• Durability is closely related to warranty. Requirements for product durability are often included within procurement contracts and specifications.

• For instance, fighter aircraft procured to operate from aircraft carriers include design criteria intended to improve their durability in the demanding naval environment.

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Dimension 6: Serviceability

• Is the product relatively easy to maintain and repair?

• As end users become more focused on Total Cost of Ownership than simple procurement costs, serviceability (as well as reliability) is becoming an increasingly important dimension of quality and criteria for product selection.

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Dimension 7: Aesthetics

• The way a product looks is important to end-users. The aesthetic properties of a product contribute to a company’s or brand’s identity. Faults or defects in a product that diminish its aesthetic properties, even those that do not reduce or alter other dimensions of quality, are often cause for rejection.

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Dimension 8: Perception

• Perception is reality. The product or service may possess adequate or even superior dimensions of quality, but still fall victim to negative customer or public perceptions.

• As an example, a high quality product may get the reputation for being low quality based on poor service by installation or field technicians. If the product is not installed or maintained properly, and fails as a result, the failure is often associated with the product’s quality rather than the quality of the service it receives.

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Dimensions of service Quality

1. Time & Timeliness

–customer waiting time, completed on time

2. Completeness

–customer gets all they asked for

3. Courtesy

–treatment by employees

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Dimensions of service Quality

4. Consistency

–same level of service for all customers

5. Accessibility & Convenience

–ease of obtaining service

6. Accuracy

–performed right every time

7. Responsiveness

–reactions to unusual situations

--reaction time of the service.19

Two Aspects of Quality

Quality of design measures how closely the characteristics of products or services meet the needs and wants of customers.

Conformance quality refers to the performance of a product or service according to design and product specifications.

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GRADE ?

Category or rank given to different quality requirements for products, processes, or systems having the same functional use

( ISO 9001:2000)

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Importance of Quality• Lower costs (less labor, rework, scrap)

• Motivated employees

• Market Share

• Reputation

• International competitiveness

• Revenues generation increased (ultimate goal)

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INSPECTION

• It is the sorting / segregation of Non conforming items from the conforming items

• Means separation of Defective items from the right items

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QUALITY CONTROL

Quality control: The observation, technical techniques and activities that are used to fulfill requirements for quality.

OR• Quality Control (QC) is a system of routine

technical activities, to measure and control the quality of the inventory as it is being developed.

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QUALITY CONTROL

The QC system is designed to:

(i) Provide routine and consistent checks to ensure data integrity, correctness, and completeness;

(ii) Identify and address errors and omissions;

(iii) Document and archive inventory material and record all QC activities.

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QUALITY ASSURANCE

is all systematic and planned actions which are necessary to provide adequate confidence that a product or service will satisfy the given requirement for quality.

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QUALITY MANAGEMENTQUALITY MANAGEMENT

iis a systematic set of operating s a systematic set of operating procedures which is company procedures which is company wide, documented, implemented wide, documented, implemented and maintained while ensuring the and maintained while ensuring the growth of business in a consistent growth of business in a consistent manner manner

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QM Vs QAQM Vs QA

The Prime Focus of

Quality Management Quality Assurance

Achieving results that satisfy the requirements for quality.

Demonstrating that the requirements for quality have been (and can be) achieved.

Motivated by stakeholders internal to the organization, especially the organization’s management

Motivated by stakeholders, especially customers, external to the organization

Goal is to satisfy all stakeholders Goal is to satisfy all customers.

Effective, efficient, and continually improving, overall quality-related performance is the intended result.

Confidence in the organization’s products is the intended result

Scope covers all activities that affect the total quality-related business results of the organization

Scope of demonstration coves activities that directly affect quality-related process and product results

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TOTAL QUALITY TOTAL QUALITY MANAGEMENTMANAGEMENT

►THE LATEST APPROACHTHE LATEST APPROACH►The comprehensive approach towards The comprehensive approach towards

quality management systemquality management system► It is the process of individual & It is the process of individual &

organizational development the organizational development the purpose of which is to increase the purpose of which is to increase the level of satisfaction of all the level of satisfaction of all the stakeholdersstakeholders

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HIERARCHIAL STRUCTUREHIERARCHIAL STRUCTURE

► TOTAL QUALITY MANAGEMENTTOTAL QUALITY MANAGEMENT

QUALITY MANAGEMENTQUALITY MANAGEMENT

QUALITY ASSURANCE QUALITY ASSURANCE

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HIERARCHIAL STRUCTUREHIERARCHIAL STRUCTURE

►QUALITY ASSURQUALITY ASSUR. . (GMP+Original prod. (GMP+Original prod. design & development) design & development)

GOOD MFG. PRACTICEGOOD MFG. PRACTICE

QUALITY CONTROL QUALITY CONTROL

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HISTORICAL BACKGROUNDHISTORICAL BACKGROUND

►THE OLDEST TERM QUALITYTHE OLDEST TERM QUALITY

►QUALITY CONTROLQUALITY CONTROL

►QUALITY ASSURANCE (1970s)QUALITY ASSURANCE (1970s)

►QUALITY MANAGEMENTQUALITY MANAGEMENT

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HISTORICAL BACKGROUNDHISTORICAL BACKGROUND

► TOTAL QUALITY MANAGEMENTTOTAL QUALITY MANAGEMENT

CURRENTLY ENTERPRISES ARE RUSHING TOCURRENTLY ENTERPRISES ARE RUSHING TO

1.1. SIX SIGMASIX SIGMA

2.2. DEMING AWARDDEMING AWARD

3.3. MALCOLM BALDRIDGE NATIONAL QUALITY MALCOLM BALDRIDGE NATIONAL QUALITY AWARD (MBNQA)AWARD (MBNQA)

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Quality StatementsQuality Statements

►There are three types of quality There are three types of quality statements:statements:

1.  Vision statement1.  Vision statement2.  Mission statement2.  Mission statement3.  Quality policy statement3.  Quality policy statement

The utilization of these statements varies from The utilization of these statements varies from organization to organization. Small organization organization to organization. Small organization may use only the quality policy statementmay use only the quality policy statement

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Vision StatementVision Statement

A vision statementA vision statement is sometimes called a is sometimes called a picture of your company in the future but picture of your company in the future but it’s so much more than that. Your vision it’s so much more than that. Your vision statement is your inspiration, the framework statement is your inspiration, the framework for all your strategic planning.for all your strategic planning.

A vision statement may apply to an entire A vision statement may apply to an entire company or to a single division of that company or to a single division of that company. Whether for all or part of an company. Whether for all or part of an organization, organization, the vision statement answers the vision statement answers the question, “Where do we want to go?”the question, “Where do we want to go?”

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ExampleExample

► Institute of Quality & Technology Institute of Quality & Technology Management (IQTM) will be a dynamic Management (IQTM) will be a dynamic contributor of the professionals to the contributor of the professionals to the local, regional, national, and local, regional, national, and international manufacturing and international manufacturing and services organizations in the field of services organizations in the field of Industrial Engineering & Quality Industrial Engineering & Quality Management.Management.

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Mission StatementMission Statement

► A mission statement concerns what an organization is A mission statement concerns what an organization is all about. The statement answers the questions such all about. The statement answers the questions such as: who we are, who are our customers, what do we do as: who we are, who are our customers, what do we do and how do we do it. This statement is usually one and how do we do it. This statement is usually one paragraph or less in length, easy to understand, and paragraph or less in length, easy to understand, and describes the function of the organization. It provides describes the function of the organization. It provides clear statement of purpose for employees, customers, clear statement of purpose for employees, customers, and suppliers. and suppliers.

Mission statements describe the overall Mission statements describe the overall purpose of an organization: what you do, who purpose of an organization: what you do, who you do it for, and how and why you doyou do it for, and how and why you do

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ExampleExample

► The IQTM has 3 fold educational missions:The IQTM has 3 fold educational missions:

1.1. The teaching mission is to provide high quality The teaching mission is to provide high quality undergraduate and postgraduate courses in the field undergraduate and postgraduate courses in the field of Industrial Engineering and quality management. of Industrial Engineering and quality management.

2.2. The research mission is to advance knowledge in the The research mission is to advance knowledge in the area of Industrial Engineering & Quality Management area of Industrial Engineering & Quality Management to strengthen and support manufacturing and service to strengthen and support manufacturing and service sectorssectors

3.3. The service mission is to participate in the faculty The service mission is to participate in the faculty governance, in the broader community of the governance, in the broader community of the engineering profession, and in the mission of the engineering profession, and in the mission of the universityuniversity..

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Difference between a mission Difference between a mission statement and a vision statement and a vision

statementstatement

a mission statement focuses a mission statement focuses on a company’s present state on a company’s present state

while while

a vision statement focuses on a vision statement focuses on a company’s future.a company’s future.

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Quality Policy StatementQuality Policy Statement

►The quality policy is a guide for The quality policy is a guide for everyone in the organization as to how everyone in the organization as to how they should provide products and they should provide products and services to the customers. It should be services to the customers. It should be written by the CEO with feedback from written by the CEO with feedback from the workforce and be approved by the the workforce and be approved by the quality council. A quality policy is a quality council. A quality policy is a requirement of ISO 9000.requirement of ISO 9000.

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QUALITY POLICYQUALITY POLICY

► It It is the mission statement of the is the mission statement of the organization which is consistent with organization which is consistent with other organizational policies, and is other organizational policies, and is understood, implemented, and understood, implemented, and reviewed at all level of the reviewed at all level of the organizations. organizations.

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Quality Policy ExampleQuality Policy Example

► Institute of Quality and Technology Management, Institute of Quality and Technology Management, University of the Punjab is committed to provide University of the Punjab is committed to provide efficient and cost effective education/training in efficient and cost effective education/training in Quality Management for Manufacturing and Service Quality Management for Manufacturing and Service sectors. We are dedicated to provide trained sectors. We are dedicated to provide trained professionals who shall be instrumental in our professionals who shall be instrumental in our continuous quality improvement in manufacturing continuous quality improvement in manufacturing and services sectors of Pakistan. We shall achieve and services sectors of Pakistan. We shall achieve our aims by fulfilling our objectives, training of our our aims by fulfilling our objectives, training of our faculty members and assuring a continual quality faculty members and assuring a continual quality improvement in our working system.improvement in our working system.

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QUALITY OBJECTIVESQUALITY OBJECTIVES

►Quality ObjectivesQuality Objectives are measurable are measurable goals pertaining to quality, fitness for goals pertaining to quality, fitness for use, performance, safety, and use, performance, safety, and dependability which is consistent with dependability which is consistent with the quality policy and which reflect the the quality policy and which reflect the satisfaction of customers satisfaction of customers requirements. requirements.

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QUALITY MANUALQUALITY MANUAL

►The main document used to The main document used to demonstrate or describe a demonstrate or describe a documented quality system.documented quality system.

►A sign-post or map of a quality system.A sign-post or map of a quality system.

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QUALITY PROCEDURESQUALITY PROCEDURES

►Quality ProceduresQuality Procedures are elements, are elements, requirements and descriptions of requirements and descriptions of process adopted by an Organization process adopted by an Organization for its quality system, which are for its quality system, which are documented in an orderly and documented in an orderly and understandable manner. understandable manner.

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QUALITY RECORDSQUALITY RECORDS

►Quality RecordsQuality Records – All evidence in any – All evidence in any form (whether on paper, magnetic form (whether on paper, magnetic disks, software or other form of disks, software or other form of recordings) which demonstrate recordings) which demonstrate conformance to specified conformance to specified requirements, and the effective requirements, and the effective operation of the quality system. operation of the quality system.

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QUALITY COSTSQUALITY COSTS

►Quality CostsQuality Costs – All corrective, – All corrective, preventive, inspecting, and preventive, inspecting, and opportunities lost as a result of not opportunities lost as a result of not meeting customer requirements. meeting customer requirements.

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““BIG Q” Vs “LITTLE q”BIG Q” Vs “LITTLE q”

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““BIG Q” Vs “LITTLE q”BIG Q” Vs “LITTLE q”

Expression that contrasts the Expression that contrasts the difference between striving for difference between striving for quality in all of the in all of the firm's products and and processes (the big 'Q') and striving for processes (the big 'Q') and striving for quality in a quality in a limited or specific area or specific area (the little 'q').(the little 'q').

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GLP -----Goods laboratory practicesGLP -----Goods laboratory practices

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TQM Vs ISO SYSTEM (1)

ISO 9000 TQM

NOT NECESSARILY CUSTOMER FOCUSED

DEFINITELY CUSTOMER FOCUSED

TECHNICAL SYSTEM & PROCEDURES FOCUSED

PHILOSPHY, CONCEPTS, TOOLS &TECHNIQUES FOCUSED

EMPLOYEE INVOLVEMENT NOT NECESSARY

EMPLOYEE INVOLVEMENT NECESSARY

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TQM Vs ISO SYSTEM (2)

ISO 9000 TQM

LESS OR NO FOCUS ON CQI (Continuous Quality Improvement)

CQI &TQM ARE SYNONYM

CAN BE DEPATMENTALLY FOCUSED

ORGANIZATION WIDE

QUALITY DEPARTMENT RESPONSIBLE FOR QUALITY

EVERYONE RESPONSIBLE FOR QUALITY

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