topic 9-tqm (1)
TRANSCRIPT
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Operat ions
Management
Top ic 9 -Qual i ty Management
(TQM)
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Quality Management
Object ives
be able to understand modern
concepts o f qual ity and dimensions
of qual i ty
be able to discu ss employee
involvement and JIT in Total Qual ity
Managementbe able to descr ibe basic qual ity too ls
Introdu ct ion to ISO
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QUALITYis the ability of aproduct or service to consistently
meet or exceed customer
expectations.
What Does the Term QUALITY
means?
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Traditional vs. Modern Concept of
Quality Control
Tradit ional Modern
One person , smal l
g roup
Include everyone from raw
material, produc tivi ty,
design, process, top
management
Find m istakes after
complet ion, at the end
of l ine
Find where the m istakes
m ight o ccu r, before
complet ion
No speci f ic methods,
based on experience
Use stat ist ical ; contro l
char ts to moni tor
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Dimension of Quality
Performancemain character ist ics
Special Featuresextra character ist ics
Conformancehow wel l corresponds to
expectat ion Reliabi l i tyconsis tency of per formance wi thout
breakdown
Durabi l i tyuseful l i fe t ime
Safetysafe to use as d irected
Aesthet icsnice to look at
Serv ice A fter Salehandl ing of complaints, helpl ines and checking custom er sat isfact ion
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Consequences of Poor Quality
Repu tat ion & image w i ll su f fer
Pay special attent ion to po tent ial l iab i l i ty
due to inju ry, damage or even death
Rework have to be done, s low the process
to accommodate rewo rk , h igh scraps
Inc rease cost o f rewo rk, sc rap, repair &replacement, legal expenses
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Responsibility for Quality
Top management
Design
Procurement
Product ion/operat ions
Quali ty assurance
Packaging and sh ipping
Market ing and sales
Customer service
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Cost of Quality
Internal Cost
Failure cost: results from production of defectiveparts before delivery (rework, scrap, downtime)
Appraisal cost: evaluating products (lab testing,inspector)
Prevention cost: reducing potential for defective(training, awareness program)
External cost occur after delivery (liabilities, warranty, sued by
customer)
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Quality Certification
ISO 9000
Set of international standards on quality managementand quality assurance, critical to internationalbusiness
ISO 14000
A set of international standards for assessing acompanys environmental performance
Must go through process document ing procedures
Then onsite visi t to veri fy, award cert i f icate & series o faudi ts
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Total Quality Management
New att i tude towards qual i ty using Three Phi losophies
Continuous improvement KAIZEN
Involvement of everyone in the organizat ion
Customer sat isfact ion
Expands the tradi t ional view of qual ity beyond looking
on ly at the qual ity of the final prod uct o r service but to
look at quali ty of every aspect o f the process
Not only on prod uct, but also services e.g. banking,
hospi ta l
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Elements of TQM
Uti lizes educat ion & training everyone
Encou rages empowerment of the employees in
the wo rk p lace, team appro ach
Promo te understanding & ful f il ling the needs ofcustomers
Define quali ty in term of customer requirement
Use stat ist ical reason ing w ith data to solve
prob lems & to improve
View qual ity improvement as never end ing
quest to improve the process
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Employee Involvement
In every step of p roduc t ion p rocess,
invo lve direct ly w i th the system
Everyone mus t be responsib le on thei rwork
Bu i ld communicat ion network,
employees w i th superv isor (open
m inded, support ive)
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Relationship between TQM and
Just-In-Time
JIT emphasizes con t inuous improvement
& enforces problem solv ing s ince des ign
to p roduc t ion stage; del iver jus t asneeded
Target less inven to ry, less sc rap, rewo rk ,
reduce costLim i ts po tent ial sources o f error , give
ear ly warning , produce in sm al l batches
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TQM Lead to Lower Production
Cost
Emphasize the qual ity f rom supp l ier &
dist r ibutor
Reduce prevent ion cost ( less po tent ia l
for defect ive parts from employees)
Reduce cost o f inspect ion
Reduce cos t of rewo rk, replacement
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Obstacles to Implementing TQM
Lack o f:
Company-wide defini t ion of qual i ty
Strategic p lan for change
Customer focus
Real emp loyee empowerment
Emphasis on sho rt -term f inancial resu l ts
Time to devote to qual ity in i t iatives
Leadership
View of quality as a quick fix
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The PDSACycle
Plan
Do
Study
Act
PDCA
Check
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The Process Improvement Cycle
Implement the
Improved process
Select a
process
Study/document
Seek ways to
Improve it
Design an
Improved process
Evaluate
Document
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Basic Quality Tools
There are a number of too ls that
can be used for p rob lem solv ing
and process improvement
Tools aid in data co l lect ion and
interpretat ion , and pro vide the
basis for decis ion making
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Basic Quality Tools
1. Flowcharts
2. Check sheets
3. His tog rams
4. Pareto Charts
5. Scatter d iag rams
6. Contro l charts
7. Cause-and-effec t d iagrams
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FLOWCHART
Drive in check price self serve? to pumpshut offengine
walk to paystation
yes
no
check card transmit approved?turn onpump
yes
no
backto car
pumpgas
walk tobooth
wait
employee
totals
charges
check
accuracy
prepare
receipt
sign
copy
copy to
file
copy to
wallet
return to car
on the road
again
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Hour
Defec t 1 2 3 4 5 6 7 8
A
B
C
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(a) Check Sheet: An organized method of
reco rding data
Figure 6.6
CHECK SHEETS
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Histogram
(f ) Histog ram : A distr ibu t ion showing the
frequency of occu rrences of a var iable
Figure 6.6
Distr ibut ion
Repair time (m inu tes)
Frequency
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Scatter Diagram
(b) Scatter Diagram : A graph of the value
of one variable vs . another variable
Absenteeism
P
ro
duc
tiv
ity
Figure 6.6
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CONTROL CHART
970
980
990
1000
1010
1020
0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
UCL
LCL
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CAUSE-AND-EFFECT DIAGRAM
Effect
MaterialsMethods
EquipmentPeople
Environment
Cause
Cause
Cause
Cause
Cause
CauseCause
Cause
CauseCause
Cause
Cause
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Benchmarking Process
Ident i fy a cr i t ical process that needsimprov ing
Iden t i fy an organ izat ion that excels inth is process
Con tact that organizat ion
Analyze the data
Impro ve the cr i t ical process
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Lets Recap!
What are the dimens ions of quali ty?
Whose responsib le for quali ty?
Name some of the basic qual ity too ls.
What are the consequences o f poorqual i ty?
Which qual ity cert i ficate involve w ithenv i ronmental performance?
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Summary
Understand the Concept of TotalQual i ty Management
Sign if icant Impact o f Total Qual i tyManagement in Modern Manu factu r ing
Next c lass , we wi l l have some
calcu lat ion s in Stat ist ical Qual i tyContro l