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    1.0 : Introduction To Quality

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    What are the

    differences?

    1. Price

    2. Quality3. Specification

    4. Comfortable

    Value for money

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    What is Quality ?

    Sales Dept Marketing Dept Design Dept

    Production Dept Production Engineering Customers

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    Cont

    Product

    Services

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    Cont

    Product

    http://www.sonyinsider.com/wp-content/uploads/2010/05/1989_ccdtr55.png
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    Cont

    Services

    http://simfonikasih.net/wp-content/uploads/2010/02/1254252923_top-10-mcdonalds_5.jpg
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    Cont

    According to Summers, Donna C. S. :

    The American Society for Quality defines quality as a subjective term for which

    each person had his or her own definition. In technical usage, quality can have two

    meanings : (a) the characteristics of a product or service that bear on its ability to

    satisfy stated or implied needs; (b) a product or service free of deficiencies.

    Dr. W. Edwards Deming describes quality as nonfaulty systems are error-free

    systems that have ability to provide the consumer with a product or service as

    specified.

    Dr. Joseph M. Juran describes quality as fitness for use.

    Philip Crosby describes quality as conformance to requirements (nonquality as

    nonconformance).

    If You Ask 10 People to Define Quality, You Probably Will Get 10

    DefinitionsFoster (2010)pg 29

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    Cont

    Summers, Donna C. S. (2010) concluded that the above definitions

    stated three types of quality:

    Quality of Designmeans that the product has been designed to successfully fill a

    consumer need, real or perceived.

    Quality of Conformancemeans conformance to requirements, refers to the

    manufacture of the product or the provision of the service that meets the

    specific requirements say by consumer.

    Quality of Performancemeans that the product or service performs its intended

    function as identified by the consumer.

    Summers, Donna C. S. (2010) stressed -- that clearly

    communicating the needs, requirements, and expectations

    of the consumer requires a more complete definition of

    quality.

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    ContBut Summers, Donna C. S. (2010) believes that perhaps most

    complete definition of quality is as defined by Armand Feigenbaum :

    Quality is a customer determination which is based on the customers actual experience with theproduct or service, measured against his or her requirementsstated or unstated, conscious or

    merely sensed, technically operational or entirely subjectiveand always representing a moving target

    in a competitive market.

    a. Customer Determination only a customer can decide if and how well a product or service meets hisor her needs, requirements, and expectations.

    b. Actual Experiencethe customer will judge the quality of a product or service not only at the time of

    purchase but throughout usage of the product or service.

    c. Requirementsnecessary aspects of a product or service called for or demanded by the customer may

    be stated or unstated, conscious or merely sensed.

    d. Technically Operationalaspects of a product or service may be clearly identified in words by the

    consumer.e. Entirely Subjective - aspects of a product or service may only be conjured in a consumers personal

    feelings.

    Some key words stand out from this definition are :

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    1.2. Recognizing Different Perspectives on

    Quality.

    a. Product Quality Dimensions

    b. Service Quality (SQ) Dimensions

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    Cont..

    a. Product Quality Dimensions

    Foster (2010)David Garvin found that most definitions of quality were either (a) transcendent,

    (b) product-based, (c) user-based, (d) manufacturing-based, or (e) value-based.

    TranscendentQuality is something that is intuitively understood but nearly impossible to

    communicate, such as beauty or love.

    Product-basedQuality is found in the components and attributes of a product.

    User-basedIf the customer is satisfied, the product has good quality.

    Manufacturing-basedIf the product conforms to design specifications, it has good quality.

    Value-basedIf the product is perceived as providing good value for the prove, it has good

    quality.

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    GARVINS PRODUCT QUALITY DIMENSIONS

    Performance

    Features

    Reliability

    Conformance

    Durability

    Serviceability

    Aesthetics

    Perceived Quality

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    From these five definitions of quality, Garvin developed a list of eight quality dimensions:

    i. Performancerefers to the efficiency with which a product achieves its

    intended purpose. This might be the return on a mutual fund investment, the

    fuel efficiency of an automobile, or the acoustic range of a pair of stereo

    speakers. Generally, better performance is synonymous with better quality.

    ii. Featuresare attributes of a product that supplement the products

    basic performance. These include many of the bells and whistles contained

    in products. For example Electronic shop / store will reveal some features

    such as HDTC capability, plasma, and size.

    iii. Reliabilityrefers to the propensity for a product to perform

    consistently over its useful design life. A product considered reliable if the

    chance that it will fail during its designed life is long. For example if a

    computer has a 2% chance of failure in useful life of 5 years, we say that it is

    98% reliable.

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    Contiv. Conformancewhen a product is designed, certain numeric dimensions for the products performance

    are established, such as capacity, speed, size, durability, or the like. These numeric product dimensions are

    referred to as specifications. Specifications typically are allowed to vary small amount called a tolerance. If a

    particular dimension of a product is within the allowable range of tolerance of the specification, it conforms.

    For example video camera.

    v. Durabilityis the degree to which a product tolerates or trauma without

    failing. For example car battery.

    vi. Serviceabilitya product is very serviceable if it can be repaired easily

    and cheaply. For example personal computer.

    vii. Aestheticsare subjective sensory characteristics such as taste, feel,sound, look, and smell. In terms of aesthetics, we measure quality as the

    degree to which product attributes are matched to consumer preferences. For

    example cell phone color.

    viii. Perceived Qualityis based on customer opinion. Customer imbue

    products and services with their understanding of their goodness. This is

    perceived quality.

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    SERVICE QUALITY DIMENSIONS

    Parasuraman, Zeithamel, and Berrys Service Quality Dimensions

    Tangibles

    Service

    Reliability

    Responsiveness

    Assurance

    Empathy

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    Cont..

    b. Service Quality (SQ) Dimensions

    Foster (2010), SQ is even more difficult to define than product quality. Althoughservices and production share many attributes, services have more diverse quality

    attributes than products.

    Parasuraman, Zeithaml, and Berry (1985), published a

    widely recognized set of service quality dimensions.

    Reliability : Delivering on Promises:

    is defined as the ability to perform the promised service dependably and

    accurately.

    means that the company delivers on its promisespromises about delivery,service provision, problem solution and pricing.

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    Cont..

    Responsiveness:

    is the willingness to help customers and to provide prompt services.

    emphasizes attentiveness and promptness in dealing with customer requests, questions,complaints, and problems.

    is communicated to customers by the length of time they have to wait for assistance, answers

    to questions or attention to problems.

    also captures the notion of flexibility and ability to customize the service to customer needs .

    to excel the dimension of responsiveness, a company must be certain to view the process of

    delivery and handling request.

    Assurance : Inspiring Trust and Confidence:

    is defined as employees knowledge and courtesy and ability of the firm

    and its employees to inspire trust and confidence.

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    Cont..

    Empathy : Treating Customers as Individual

    is defined as the caring, individualized attention the firm

    provides its customers. essence of empathy is conveying, through personalized or

    customized service, that customers are unique and special.

    Customers want to feel understood by and important to

    firms that provide service to them.

    Tangibles : Representing the Service Physically

    are defined as the appearance of physical facilities,

    equipment, personnel, and communication materials.

    All these provide physical representations or images of the

    service that customers, particularly new customers, will useto evaluate quality.

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    WHY DOES IT MATTER THAT DIFFERENCE

    DEFINITIONS OF QUALITY EXIST?

    Understanding that definitions and dimensions of

    quality exist allows measures to be taken to provide a

    better basis for communication and planning in afirm.

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    1.3. Differing Functional Perspectives on

    Quality.

    One of the important determinants of how weperceive quality is the functional role we fulfill

    organizationally.

    Functional Perspectives include:

    Engineering PerspectiveSupply Chain Perspective

    Operations Perspective

    Strategic Management Perspective

    Marketing Perspective

    Financial PerspectiveHuman Resource Perspective

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    The value chain includes inbound logistics, core

    processes, and outbound logistics, humanresources, information systems, and purchasing.

    A. Supply Chain Perspectives

    Operations, logistics, and marketing are the

    primary participants in supply chain.

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    The major emphasis of engineeringperspective are:

    B. Engineering Perspective

    Product Design Engineering

    Concurrent Engineering

    SPC

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    C

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    ContProduct Design Engineering (PDE)

    The PDE involves

    all those activities associated

    with developing a product from

    concept development to final design and

    and implementation.

    Product design is the key because quality is assured

    at design stage.

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    C

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    Concurrent engineering Concurrent engineering involves the

    formation of cross-functional team.

    This allows engineers and managers

    of differing disciplines to worktogether simultaneously in developingproduct and process designs.

    Concurrent design has been improved

    quality and faster speed to market fornews products.

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    C

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    Cont SPC

    Is concerned with monitoring process capability and processstability.

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    C

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    Cont

    C. Operations Perspective

    Operation management view of quality is rooted in theengineering approach but grown beyond the technicalengineering perspective.

    Uses the Systems View that underlies modern Qualitymanagement thinking.

    Systems view involves the understanding that productquality is the result of the interactions of several variables,such as machines, labors, procedures, planning, andmanagement.

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    C

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    Input Process Output Customer

    Planning Organizing

    Controlling

    Process

    Control

    Feedback

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    Cont

    Operation management uses the system view which is involves theunderstanding that product quality is the result of the interactions of several

    variables, such as machine, labor, procedures, planning, and management.

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    C

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    Cont

    D. Strategic Management PerspectiveStrategic refers to the planning, processes

    used by an organization to achieve a set oflong-term goals.

    This plan must be cohesive and coherent withgoals, policies, plans, and sequence to achieve

    quality improvement.

    The keys are planning processes and a

    long-term orientation

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    External Analysis

    Mission/Vision/Goals

    Internal Analysis

    Strategic Options

    Business-Level Strategy

    Corporate-Level Strategy

    .

    Operational Subplans

    Change Management

    Strategic Alignment

    between Structure

    and Goals

    Organizational Design OrganizationalReward System

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    C

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    Cont

    Traditionally, the term marketing has referred toactivities involves with directing the flows of productsand services from the producer to the consumer.

    E. A Marketing Perspective

    More recently, in a trend known as customerrelationship management, marketing has directedits attention toward satisfying the customer and

    delivering value to the customer.

    The marketers focus on perceived quality(means that quality as the customer views it) ofproduct and services.

    The primary marketing tools for influencingcustomer perceptions of quality are price andadvertising.

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    Marketing also concerned about systems.

    Organization

    Intermediary

    Customer

    Marketing System

    Offering

    Offering

    Offering

    Payment

    Payment

    Payment

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    Cont

    Time of the transaction

    After-sales support

    Another important contribution of the marketingperspective are :

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    C

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    Cont

    Deming: Quality Improvement is linked to

    reduction of defects and improved organizational

    performance.

    Juran: Quality related costs can result in

    lost sales because of a poor reputation for

    reliability.

    F. A Financial Perspective

    The finance function is primarily interested inthe relationships between the risks of

    investments and the potential rewards resulting

    from those investments.

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    Improve Quality

    Cost Decrease (Less

    rework, fewer mistakes,fewer delays, snags,

    better use of machine

    time and materials)

    Productivity Improves

    Capture the Market

    Stay in Business

    Provide Jobs and More

    Jobs

    Deming Value Chain

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    C t

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    Cont

    It is impossible to implement quality without the

    commitment and action of the employees.

    G. Human Resources

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    1 4 Oth P ti Q lit

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    1.4. Other Perspectives on Quality.

    H. Value-Added Perspective on Quality

    A Value-Added Perspective on Qualityinvolves a subjective assessment of the efficacyof every step of the process for the customer.

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    Cont

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    Cont

    I. Cultural Perspective on Quality

    National / International marketers have longnoted differences in taste and preferencesbetween cultures and nations.

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    1 5 Quality Concepts

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    1.5. Quality Concepts.

    The concept derived or inferred from specific instances

    or occurrences or a thought or notion.

    Garvin (1988) quality is an unusually slippery

    concept, easy to visualize and yet exasperatingly

    difficult to define. It remains a source of greatconfusion to manager.

    The concept of Quality is very similar to the conceptof beautiful or good.

    It is very difficult to define and one definition can be

    the opposite of another.

    We must deal with reason and attempt to defineclearly what we are hoping to achieve in the study of

    this topic.

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    C t

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    Cont..

    Sinha and Willborn (1985)--- an abstract explanation ofquality concept as follows :

    Quality is what people think it is, perceive it to be, or

    experience it to be.

    Quality perceived as high, low, or negative, describes its valuein utility and useful.

    Quality is not always what the consumer buys and expects as

    fair and adequate.

    Quality is also understood as excellence, which is better than

    a minimum standard.

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    Cont

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    Cont.. Quality means not just fitness for use but, in more specific

    terms, reliability, safety, maintainability, status etcetera.

    Quality, understood as product and service characteristics

    that are specified, standardized, and contracted, has a

    relationship to quantity, time, and space..

    Quality also is an expression of the people who contribute to

    produce. Attaining quality is thus everybodys responsibility.

    Quality in business is expressed as specified standards against

    which actual performance and conformance can be measured.

    Quality is totality of all attributes and characteristics of a

    product or service as specified, required, and expected.

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    Cont

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    Cont..

    Zero Defects

    Implies that there is no tolerance for errors within thesystem.

    The goal of all processes is to avoid defects in theproduct or service.

    Similar to six sigma: almost zero defects

    Four quality concepts

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    Cont

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    The Customer is the Next Person in the Process

    The internal organization has a system that ensures the product orservice is transferred to the next person in the process in a completeand correct manner.

    The product or service being built is transferred to another internalparty only after it meets all the specifications and all actions at thecurrent work station.

    Avoids incorrectly assembled components and poor workmanship.

    Cont..

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    Cont

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    Do the Right Thing Right the First Time

    Implies that it is easier and less costly to do the work right the firsttime than it is to do it the second time.

    Entails the training of personnel to ensure sufficient skills and tools tocorrectly complete the work.

    Cont..

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    Cont

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    Continuous Improvement Process (CIP)/ Kaizen

    A sustained, gradual change to improve the situation.

    Differs from innovation -- does not make a sudden jump to a plateauwhere it matures over time.

    Focuses on 11 principles: constancy of purpose, commitment to quality,customer focus and involvement, process orientation, continuousimprovement, system-centered management, investment in knowledge,teamwork, conservation of human resources, total involvement, andperpetual commitment.

    Cont..

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    Cont Quality Concepts in Education

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    There are four main issues: Johnson and Golomskiss (1999)

    Incorporation of quality concepts in the curriculum.

    Using quality concepts to improve educational administration.

    Using quality concepts to improve the teaching of any subject Quality concepts in doing research

    Cont..Quality Concepts in Education

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    Garvin, D.A. (1988) in his book Managing Quality : TheStrategic and Competitive Edge. Five principleapproaches to defining quality are (as being discussedearlier):

    Cont..Quality Concepts

    Transcendent (Luar Biasa)

    Product-based

    User-based

    Manufacturing-based

    Value-based

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    Foster (2010)one way to conceptualize the qualitymanagement is known as the three spheres of quality.

    Cont..Quality Concepts

    QM

    QAQC

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    QC QA QM

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    QC QA QM

    Monitoring process capability

    and stability

    FMEA Planning for Quality

    Improvement

    Measuring process

    performance

    Concurrent engineering Creating a quality

    organizational cultureReducing process variability Experimental design Providing leadership and

    support

    Optimizing processes to

    normal measures

    Process improvement Providing training and

    retraining

    Performing acceptancesampling

    Design team formation andmanagement

    Designing an organizationalsystem that reinforce quality

    ides

    Developing and maintaining

    control charts.

    Off-line experimentation Providing employee

    recognition

    Reliability / durability producttesting

    Facilitating organizationalcommunication

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    1.6. Quality and Competitiveness Concepts.

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    Quality MgtProduct &

    Services

    SPC

    Process,

    Technology,and Capacity

    Project Mgt

    Facilities

    Human

    Resources

    Operation Management

    Designing the System

    Quality

    Competitiveness

    G

    lobalOperations

    Sumber : Russell, R.S and Taylor III, B.W. (2006). Operations Management : Quality and

    Competitiveness in a Global Environment.

    1.6. Qualityand Competitiveness Concepts.

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    Cont

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    Cont

    Products and Servicesthe design process converts customer

    requirements into technical product or service characteristics.

    Quality Managementmanagement is a process involving

    certain functions and work activities that managers mustperform to achieve an enterprises goals.

    Processes, Technology, and Capacityonce the product/service has

    been designed, the physical process for producing the

    product/service must be prepared. Process planning involves

    deciding what tasks need to be done, what labor and equipment

    resources are needed, and how they are to be coordinated.

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    Cont

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    Cont

    Human Resourcesa primary component of production

    (product/service) is the work performed by people, alone, together,

    or with machines and equipment.

    Facilitiesto be effective, processes must be physically

    housed in facilities that are laid out in an efficient fashion.

    Project Managementis a technique at breaks down complex

    processes, schedules activities, and ensures that the project is

    completed on time and on budget.

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    Summarizing

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    End

    Summarizing

    What is

    quality

    Recognizing

    Different

    Perspectives

    on Quality

    Differing

    Functional

    Perspectives

    on QualityOtherPerspectives

    on Quality

    Quality

    Concepts

    Quality and

    Competitiveness