1MTSU

Quality Tools

2MTSU

Key Contributors to Quality Management

Contributor

Deming Juran Crosby Ishikawa Taguchi

Known for

14 points; special & common causes of variation Quality is fitness for use; quality trilogy Quality is free; zero defects Cause-and effect diagrams; quality circles Loss function; robust design; design of experiments

Quality

3MTSU

Key Contributors to Quality Management

Contributor

Shewhart Fischer Box Harry

Known for

Operational definitions, SPC, improvement cycle Experimental design Experimental design, evolutionary planning Six Sigma methodology

Quality

4MTSU

Total Quality Management

A philosophy that involves everyone in an organization in a continual effort to improve quality and achieve customer satisfaction

5MTSU

Process Improvement

• A systematic approach to improving a process

• Overview of the approach– process mapping– analyze the process– redesign the process

6MTSU

Plan

Do

Study

Act

The PDSA Cycle

7MTSU

The Process Improvement Cycle

Implement theImproved process

Select aprocess

Study/document

Seek ways toImprove it

Design anImproved process

Evaluate

Document

8MTSU

Process Improvement Tools

• There are a number of tools that can be used for problem solving and process improvement

• Tools aid in data collection and interpretation, and provide the basis for decision making

9MTSU

Seven Basic Quality Tools

• Check sheets• Flowcharts• Scatter diagrams• Histograms• Pareto analysis• Control charts• Cause-and-effect diagrams

10MTSU

Billing Errors

Wrong Account

Wrong Amount

A/R Errors

Wrong Account

Wrong Amount

Monday

Check Sheet

11MTSU

Flowchart

Process OK? Process? OK Process

Process

Identify value added steps, rework loops, flow loops, etc.

12MTSU

Scatter Diagram

Variable A

Variable B

13MTSU

Histogram

frequency

A B C D E

14MTSU

80% of the problems may be attributed to 20% of thecauses.

80% of the problems may be attributed to 20% of thecauses.

Smearedprint

Nu

mb

er o

f d

efec

ts

Offcenter

Missinglabel

Loose Other

Pareto Analysis

15MTSU

970

980

990

1000

1010

1020

0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15

UCL

LCL

Control Chart

16MTSU

Cause-and-Effect Diagram

Effect

MaterialsMethods

EquipmentPeople

Environment

Cause

Cause

Cause

Cause

Cause

CauseCause

Cause

CauseCause

Cause

Cause

17MTSU

Tracking Improvements

UCL

LCL

LCLLCL

UCLUCL

Process not centeredand not stable

Process centeredand stable

Additional improvementsmade to the process

18MTSU

Methods for Generating Ideas

• Brainstorming• Quality circles• Interviewing• Benchmarking• 5W2H

19MTSU

What is Six Sigma?

A. Customer Focus – Focus on what is critical to customers

B. Data Driven – Extensive use of statistical tools

C. Robust Methodology – Tools plus implementation methods to make success more likely

20MTSU

What is Six Sigma?Key Concepts

1. Critical to Quality: What attributes are most important to the customer? (CTQ, CTC, CTD)

2. Defect: Failing to deliver what the customer wants / expects (DPMO)

3. Variation: The level of unpredictability the customer experiences

21MTSU

What is Six Sigma? Key Concepts

5. Process Capability: What your process can deliver – consistently

6. Stable Operations: Stable ops are predictable

7. Design for Six Sigma: Designing to meet customer needs and process capability

22MTSU

DMADV - DMAIC

Define

Design

Verify

Measure

Analyze

Define

Improve

Control

Measure

Analyze

New Processes Existing Processes

23MTSU

Define Phase - Tools

• Project Charter• Stakeholder

Analysis• Affinity Diagram• SIPOC• Voice of the

Customer• CT Tree

• Kano Model• SWOT Analysis• Cause-and-Effect

Diagrams• Supplier

Segmentation • Project

Management

24MTSU

Charter

• Problem statement• Business case• Goals, milestones,

success criteria, & deliverables

• Project scope / boundaries

• Roles & responsibilities

• Stakeholder support / approval needed

25MTSU

Business Case

Potential Improvement

Potential Impact

Improve quality Reduce cost, inventory

Improve OTD Shortages , inventory Select better suppliers Q, $, LT, reduce

inventory

Implement rating system

Improve supply efficiency, better suppliers

Reduce price Reduce cost

26MTSU

Define Phase - Tools

• Project Charter• Stakeholder

Analysis• Affinity Diagram• SIPOC• Voice of the

Customer• CT Tree

• Kano Model• SWOT Analysis• Cause-and-Effect

Diagrams• Supplier

Segmentation • Project

Management

27MTSU

Define Outputs

• Once completed, the Define Phase should answer the following questions:1) Who is the customer?2) What matters?3) What is the scope?4) What defect am I trying to reduce?5) What are the improvement targets?

28MTSU

The Measure Phase

• Purpose– To collect current performance of the

process identified in the Define phase

– This data is used to determine sources of variation and serve as a benchmark to validate improvements

29MTSU

Measure - Key Concepts

• Measurement• Variation

– Exists naturally in any process and is the reason Six Sigma projects are undertaken

• Data• Data Collection Plan• Measurement System Analysis

– Ensures measurement techniques are reproducible and repeatable

30MTSU

Data Collection Plan

• What data will be collected?• Why is it needed?• Who is responsible?• How will it be collected?• When will it be collected?• Where will it be collected?

31MTSU

Measurement System Analysis

• After Data Collection Plan is complete, it needs to be verified before actual data is collected

• MSA is performed on a regular basis

• MSA ends when a high level of confidence is reached that the data collected accurately depicts the variation in the process

32MTSU

Analyze Phase

• The analyze phase allows the Project Team to target improvement opportunities by taking a closer look at the data.

33MTSU

Analyze Phase

• Capability Analysis - establishing current performance level

• Graphical Analysis - a visual indication of performance using graphs

• Root Cause Analysis – developing a hypothesis about the causes of variation

• Root Cause Verification – verifying that the planned action will generate the desired improvement

34MTSU

Elements of Improve Phase

Generate Improvement Alternatives

Create a “Should Be” Process Map Conduct FMEA Perform Cost/Benefit Analysis Pilot Validate Improvement

35MTSU

Control PhaseWhy is it important?

• The Control Phase begins as the project team tries to eliminate errors by “Mistake Proofing” their improvement alternative.

• Mistake Proofing attempts to eliminate the opportunities for error.

36MTSU

Control PhaseWhy is it important?

• Mistake Proofing tries to make it impossible for an operation to be performed incorrectly, and/or correct errors before they are passed to the next worker, where they might become a defect.

37MTSU

Control Phase #2

• During the Control Phase the Project team will:1) Develop a plan to make sure the measurement system will remain relevant over the long term.2) Establish Control Charts the process owner will use to manage the process.3) Create a Reaction Plan to address situations that might cause the process to move out of control.

38MTSU

Control Phase #3

• The Control Phase ends when:1) Standard Operating Procedures have been updated.2) Process Operators, the people who do the job, have been trained for the new process.

• Once completed, the Control Phase should sustain the gains the project made while implementing ongoing process controls.

39MTSU

Control Phase #4

• When is a project complete?1) When other Black Belts can see the ongoing controls work2) When the customer sees the results3) When the business sees the money.

40MTSU

Stakeholder Analysis

People or Groups

Level of Commitment

Buy Mfg Eng

Enthusiastic Support

Help it work

Compliant

Hesitant X

Indifferent

Uncooperative X

Opposed

Hostile X

41MTSU

SIPOC Example

Suppliers Inputs Processes Outputs Customers

Ops Mgt Supplier Perf.

SupplierEvaluation

Survey Ops Mgt

Buyers Complaint

Rating system

Buyers

Engrg. Tech Reqts

Improved Supplier Perform.

Engineering

Mfg. Rating system

Commit. to suppliers

Mfg.

Suppliers Supplier Complaint

Suppliers

42MTSU

SWOT Analysis

Positive Negative

Internal Strengths Weaknesses

External Opportunities

Threats

43MTSU

Baldrige Award

Deming Prize

Quality Awards

44MTSU

Malcolm Baldrige National Quality Award (1 of 2)

• Began in 1987• Recognizes achievements of

excellent organizations and provide examples to others– may give two awards in each category

»manufacturing»small business»service»health care»education

45MTSU

Malcolm Baldrige National Quality Award (2 of 2)

• Establishes criteria for evaluating quality efforts

• Provides guidance for other American companies

46MTSU

2001 MBNQA Categories and Scoring System

1.0 Leadership 1202.0 Strategic Planning 853.0 Customer and Market Focus 854.0 Information and Analysis 905.0 Human Resource Focus 856.0 Process Management 857.0 Business Results 4508.0 Global Market Development and

Competitiveness (optional) 100

47MTSU

Quality CertificationISO 9000

• Set of international standards on quality management and quality assurance, critical to international business

• ISO 9000 series standards, briefly, require firms to document their quality-control systems at every step (incoming raw materials, product design, in-process monitoring and so forth) so that they’ll be able to identify those areas that are causing quality problems and correct them