Assignments-Mba Sem-Iii: Subject Code: QM0002

ASSIGNMENTS- MBA Sem-III
QM0002 Principles and Philosophies of Quality
ASSIGNMENTS- MBA SEM-III Subject code: QM0002 Subject Name: PRINCIPLES AND PHILOSOPHIES OF QUALITY Set 1& Set 2
Submitted By: Mr. Mithesh Kumar Reg. No. 520930668 948-000-9987 Kumar.mithesh@gmail.com
Mr. Mithesh Kumar
Reg. No. 520930668
Page 1
SET 1 Q1. Describe Philip Crosbys contribution to Quality Management.
Philip Crosby, author of Quality is Free, founded the Quality College in Winter Park, Florida. Crosby emphasized meeting customer requirements by focusing on prevention rather than correction. He claimed that poor quality costs about 20 percent of the revenue; a cost that could be avoided by using good quality practices. He pushed for zero defects. His "absolutes" are: (1) quality is defined as conformance to requirements, not goodness; (2) the system for achieving quality is prevention, not appraisal; (3) the performance standard is zero defects, not that are close enough; and (4) the measure of quality is the price of nonconformance, not indexes. Crosbys method does not dwell on statistical process control and problem solving techniques that the Deming method uses. He stated that quality is free because prevention will always be lower than the costs of detection, correction and failure. Like Deming, Crosby had fourteen points: 1. Manage commitment, that is, top level management must be convinced and committed and communicated to the entire company. 2. Quality improvement team composed of department heads, oversee
improvements. 3. Quality measurements are established for every activity. 4. Cost of quality is estimated to identify areas of improvement. 5. Quality awareness is raised among all employees. 6. Corrective action is taken. 7. Zero defects are planned for. 8. Supervisor training in quality implementation. 9. Zero defects day is scheduled. 10. Goal setting for individuals. 11. Error causes are removed by having employees inform management of problems. 12. Recognition is given, but it is non-financial, to those who meet quality goals. 13. Quality councils meet regularly. 14. Do it all over again (i.e., repeat steps one through thirteen).
Mr. Mithesh Kumar
Reg. No. 520930668
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Q2.
What is meant by Cost of Quality? Differentiate between Internal failure
costs and external failure costs.
The reason quality has gained such prominence is that organizations have gained an understanding of the high cost of poor quality. Quality affects all aspects of the organization and has dramatic cost implications. The most obvious consequence occurs when poor quality creates dissatisfied customers and eventually leads to loss of business. However, quality has many other costs, which can be divided into two categories. The first category consists of costs necessary for achieving high quality, which are called quality control costs. These are of two types: prevention costs and appraisal costs. The second category consists of the cost consequences of poor quality, which are called quality failure costs. These include external failure costs and internal failure costs. These costs of quality are shown in Figure below. The first two costs are incurred in the hope of preventing the second two.
Fig: Cost of Quality
Internal failure costs These are associated with discovering poor product quality before the product reaches the customer site. One type of internal failure cost is rework, which is the cost of correcting the defective item. Sometimes the item is so defective that it cannot be corrected and must be thrown away. This is called scrap, and its costs include
All the material, labor, and machine cost spent in producing the defective product. Other types of internal failure costs include the cost of machine downtime due to failures in the process and the costs of discounting defective items for salvage value.
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External failure costs These are associated with quality problems that occur at the customer site. These costs can be particularly damaging because customer faith and loyalty can be difficult to regain. They include everything from customer complaints, product returns, and repairs, to warranty claims, recalls, and even litigation costs resulting from product liability issues. A final component of this cost is lost sales and lost customers. For example, manufacturers of lunch meats and hot dogs whose products have been recalled due to bacterial contamination have had to struggle to regain consumer confidence. Other examples include auto manufacturers whose products have been recalled due to major malfunctions such as problematic braking systems and airlines that have experienced a crash with many fatalities. External failure can sometimes put a company out of business almost overnight. Companies that consider quality important invest heavily in prevention and appraisal Costs in order to prevent internal and external failure costs. The earlier defects are found, the less costly they are to correct. For example, detecting and correcting defects during product design and product production is considerably less expensive than when the defects are found at the customer site. This is shown in Figure below
Fig: Cost of Defects
External failure costs tend to be particularly high for service organizations. The reason is that with a service the customer spends much time in the service delivery system, and there are fewer opportunities to correct defects than there are in manufacturing. Examples of external failure in services include an airline that has overbooked flights, long delays in airline service, and lost luggage.
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Q3.
Describe the contribution of Genichi Taguchi towards Quality improvement. What is design of experiment? What are its features? Genichi Taguchi, a textile engineer from Japan, started his career in Astronomical
Department of the Navigation Institute of the Japanese Navy. After the war he worked in the Ministry of Public Health and Welfare, where the eminent statistician Matosaburo Masuyama has kindled his interest in the Design of Experiments. He also worked at the Institute of Statistical Mathematics and supported experimental work on the production of penicillin at Morinaga Pharmaceuticals.
He then joined the Electrical Communications Laboratory (ECL), Japan, who were developing Cross bar and Telephone Switching Systems to compete with Bell Labs. The Statistical Quality Control, by then, had become popular in Japan, under the influence of Edwards Deming and the JUSE (Japanese Union of Scientists and Engineers). Taguchi has developed methods for enhancing Quality and Reliability. He was consultant to many industries in Japan, with Toyota an early adopter of his ideas.
He was also a visiting professor at Indian Statistical Institute, where he met Walter Shewhart. His visit to United States and the growing importance of his methodology adopted at leading companies like Bell Labs, Ford Motor, Boeing, Xerox, have all made him a renowned specialist in the field of statistics and quality. While the Design of Experiments was developed in United Kingdom, Dr. Taguchi, in U.S, has added the concept of Loss function to the existing body of knowledge of Statistical Quality Control. This Loss function combines cost, target and variation put together as one matrix and specification of the product as the next. He also developed the concept of Robustness. He asserted that the noise factor, which is an uncontrollable variable, should be considered in the early stages of the design of a product.
He had the following Awards and accolades: 1) Four Deming Awards 2) Willard F. Rockwell Medal by the International Technologies Institute 3) Indigo Ribbon from the Emperor of Japan 4) Honorary member of the Japanese Society of Quality Control
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5) Shewhart Medal of the American Society for Quality 6) Honored as a Quality Guru by British Department of Trade and Industry Features of Taguchis Contributions Taguchi was well known for developing a methodology to improve quality of manufactured goods and to reduce costs. This methodology referred to as Taguchis method is used as a mechanism for evaluating and implementing improvements in the desired characteristics of products. Taguchi methods, encompasses the techniques of both statistical process control (SPC) and the statistical aspects of the procedure, process robustness and the quality improvement methodologies. Most revered concepts and Techniques of Taguchi that have influenced the product quality and productivity are: i. ii. iii. iv. Experimental Design, The Loss function, Robust design Philosophy of Off-line quality control
Taguchi believed in Robust Design. Taguchi argues that it is not sufficient to remove defects in products to improve quality, but they should look at the design stage itself from where the quality begins. Taguchi through the approach of Design of Experiments (DOE), which directly reflects on the products performance, has defined what the product specification means and how it could lead to cost effective production Taguchi approach involves both Engineering and Statistical methods to improve quality and to reduce costs through design optimization and to estimate the cost of quality properly. Taguchi method is also applicable to a wide range of Engineering fields, namely, Manufacturing processes, Sub systems, Fabrication, Computer-Aided-Design, Service sectors, New product development for markets etc Design of Experiments [Doe] Taguchi observed that 80% of defective items are caused because of poor design. The Design of experiment technique is used to resolve these problems at the design stage itself.
Organizations are achieving world class quality and improving productivity by using designed experiments, wherein the changes are intentionally introduced into the process or system and observe their effect on the performance characteristics. A statistical approach is used here for evaluating the changes in the variations/deviations before and after the experiment. Salient Features Of DOE: 1) DOE is the method used for testing and optimizing the performance of a process, product, service or solution. 2) DOE techniques are important engineering approach which is based on developing a robust design: i.e. design of a product which can perform over a wide range of conditions. 3) DOE techniques are Tests of statistical significance, correlation and regression about the behavior of a product or a process under varying conditions. Statistical process control is a very powerful tool for optimization of a process, system, design etc. 4) Experimental design is a systematic manipulation of a set of variables, in which the effects are determined, conclusions drawn and results implemented. 5) Hence the Experimental design is the experimentation that makes the desired changes in the input variables of a process and measures the output response. 6) The Goals of a designed experimentation are to determine the variables and their magnitude, levels of these variables and evolve plan to manipulate these variables for the desired results. 7) It is necessary to reduce the variations in the performance characteristics, check to what extent these variables are having impact on cost and quality and to examine as to how to inject and manipulate these variables for a better design. 8) DOE tool is a very powerful tool that helps you to identify and quantify the effect of the X on the Y, that is, to determine which inputs are significant in affecting the output of a process. 9) DOE is a means of identifying the most influential factors more efficiently through experiments with many factors simultaneously. As the number of factors rise, costs increases exponentially. 10) A typically designed experiment has three factors each set at two levels (maximum and minimum values). Such an experiment would require eight runs and results
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measured for each run. From these values, an empirical model is evolved to predict the process behavior 11) A good experiment must be efficient and a well planned set of experiments is one in which all the parameters of interest are varied over a specified range and collect systematic data until desired results are achieved 12) Every experimenter develops a nominal process/product that has the desired functionality for end user and optimizes the processes/products by varying the control factors, such that the results are reliable and repeatable (i.e. show less variations).
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SET 2
Q1.
Explain the concept of PDCA Cycle.
The PDCA Cycle is a checklist of the four stages applied to get through from `problem-faced to `problem solved. A systematic process is required to develop and implement solutions to any type of problem. Leaders of quality revolution like Deming, Juran and Crossby-have all proposed specific methodologies for quality improvement. To this the PDCA cycle has helped as a simple tool for problem solving and hence quality improvement. Leading manufacturers have adopted such specific methodologies and also developed their own to solve problems. The Deming Cycle, which was originally called as Shewhart Cycle is a methodology for improvement. Shewhart Cycle was then renamed as Deming Cycle by the Japanese in 1950
The Deming Cycle consists of four stages of implementation-Plan, Do, Check and Act, are described below through a diagram: Plan:
The first step in the cycle is to plan carefully what is to be done. i.e. What to identify or accomplish
Plan to improve your operations first by finding out what things are going wrong (that is identify the problems faced), and come up with ideas for solving these problems.
Managers identify a problem by studying the current situation to find out a gap between it and the desired future situation.
Any gap in any of the specific areas of operations will provide significant opportunities for improvement.
During this Plan stage, managers identify and initiate action to bridge the gap and improve upon the situation. This step helps in formulation of a plan for closing the recognized gap.
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The activities involved are: defining the process, its inputs, and outputs, understanding customer expectations, identifying problems and causes for such effects and testing by using theories and developing solutions.
Using the knowledge learned through this trial run and planning, develop an improved plan and repeat the cycle.
Hence PDSA cycle is called as a simple adaptation of the more elaborate problem solving method.
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Do:
Having formulated the plan, managers have to implement the plan. Execute the plan, first on a small scale [Initiate the strategy or plan] It is in order to implement the plan on trial basis say as a pilot project or a pilot production process or with selected group of customers. This minimizes disruption to routine activity while testing whether the changes will work or not. This experiment in implementation is done to evaluate a proposed solution and work out objectives and assess the large-scale feasibility of the total plan
Check:
Check whether the small scale or experimental changes are achieving the desired result or not. Also, continuously check nominated key activities (regardless of any experimentation going on) to ensure that you know what the quality of the output is at all times to identify any new problems when they crop up. o Evaluate feedback to confirm or to adjust the plan. Evaluate the strategy or plan]
This step is also known as Study step. The primary activities involve monitoring and inspecting results. It determine whether the trial plan is working correctly and any intermediate corrections are required to find the proposed solution or the entire action plan has to be scrapped if solution found is inadequate.
New solutions be proposed and evaluated by returning to the Do stage. Two critical questions are answered here: o Whether the anticipated relationship between the manipulated variables and performance is occurring o Whether the implementation is creating any other related problems or improvements
It is the job of the manager to compares the actual results and evaluates the reasons for the gap bridging. Hence the performance measurement becomes critical here as data evolved must accurately reflect real events.
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Act:
Make the plan permanent or study the adjustments and then improve upon [ What have we ascertained] Here the manager reviews information on the check step and take appropriate corrective action. The final plan is implemented and the improvement made in the process are standardized and practiced
This process then leads back to the Plan stage for further diagnosis and improvements. The Deming cycle is never ending as it focuses on continuous improvement.
As can be seen from the above, the Deming cycle is based on the premise that improvement comes from the different applications knowledge engineering, management resolutions, process/ operation management etc, which can contribute to make a job easier, more accurate, faster, less costly, safer or better meet customer needs.
The fundamental questions to be answered here are : What we will accomplish from this exercise and what changes can we bring and extent to which the improvements has happened and bridging the gap that was identified earlier and the improvements achieved in the entire processes.
Act to implement changes on a larger scale if the experiment is successful. This means making the changes a routine part of your activity. Also Act to involve other persons (other departments, suppliers, or customers) affected by the changes and whose cooperation you need to implement them on a larger scale, or those who may simply benefit from what you have learned (you may, of course, already have involved these people in the Do or trial stage).
If the experiment was not successful, skip the Act stage and go back to the Plan stage to come up with some new ideas for solving the problem and go through the cycle again.
Plan-Do-Check-Act describes the overall stages of improvement activity, but how is each stage carried out? Here specific quality management, or continuous improvement, tools and techniques come into play.
Mr. Mithesh Kumar
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Q2.
Write short notes on the following: a. 5S principles 5S is a list of five Japanese words, which, transliterated and translated to English,
start with the letter S and are synonymous names of the methodology for organizing, cleaning, developing, and sustaining a productive work environment and to bring in efficient flow of activities. Industries producing critical items (health care, aerospace) have realized that clean and neat workplaces are essential in achieving low levels of defects and improve customer satisfaction. While the quality levels demanded by Six Sigma approach may have the similar impact as in 5S, but the simplicity of following 5S is to be recognized. These five words are part of a very basic management system that focuses employees attention on 5S movement of the organization. The Japanese words, referred to as 5S process or house keeping steps are: 1) SEIRI (Sorting), 2) SEITON (Straighten), 3) SEISO (Sweep or Spic and span), 4) SEIKETSU (Standardize) and 5) SHITSUKE (Self-discipline). 5S Principles: SEIRI Theme: Sorting, Tidiness [Sorting good and bad, useable and non useable] Sorting simply means to segregate what all to keep or stored at each work station, that is segregating unnecessary items into wanted and unwanted and discards the unnecessary items from the workplace. The golden rule is to remove anything that will not be used within next 30 days from the workplace. These unwanted items may be documents, files, unnecessary tools, defective products, unused machinery etc that are not wanted and going to be used in the next 30 days. An effective visual method called "red tagging" is used to identify unneeded items and deal with them appropriately. A red tag on an item means that it not important for operations or not in the proper location or in quantity. These red tag items are normally moved to a central holding area for subsequent disposal, recycling, or reassignment purposes. This type of Sorting and eliminating items like broken tools,
scrap, obsolete jigs, fixtures, excess material etc, enables reclaiming valuable floor space. SEITON Systematic arrangement for the most efficient and effective retrieval. A good example of Seiton is the tool panel. Effective Seiton can be achieved by painting floors to visualize the dirt, outlining work areas and locations, shadow tool boards. For improving changeover time with SMED or reduce machine downtime throught Total Productive Maintenance (TPM) it is necessary to have tools at hand. So a specific mobile tool cart was designed. An other example of Seiton are "broom carts". As cleaning is a major part of 5S we custom made carts to hold brooms, mops and buckets. Several carts have specific locations and all employees can find them. SEISO Cleaning. After the first thorough cleaning when implementing 5S, daily follow-up cleaning is necessary in order to sustain this improvement. Cleanliness is also helpful to notice damages on equipment such as leaks, breakage and misalignment. These minor damages, if left unattended, could lead to equipment failure and loss of production. Regular cleaning is a type of inspection. Seiso is an important part of basic TPM; Total Productive Maintenance and Safety matter through cleanliness is obvious. Seiketsu Standardizing. Once the first three S have been implemented, it should be set as a standard so to keep these good practice work area. Without it, the situation will deteriorate right back to old habits. Have an easy-to-follow standards and develop a structure to support it. Allow employees to join the development of such standards. The 3 firts S are often executed by order. Seiketsu helps to turn it into natural, standard behaviour. SHITSUKE Finally, to keep first 4 S alive, it is necessary to keep educating people maintaining standards. By setting up a formal system; with display of results, follow-up, the now complete 5S get insured to live, and be expanded beyond their initial limits, in an
ongoing improvement way; the Kaizen way. The effect of continuous improvement leads to less waste, better quality and faster leads times.
b. Poka Yoke
Poke-Yoke Device Or A Fail Safe Procedure: [Mistake Proofing Device A Zero Defect Approach] Poka Yoke requires stopping processes as soon as the defect occurs, and next identifying the source of the defect, and then preventing it from happening again. The entire process can be called as Mistake Proofing and is a component of Poka Yoke, i.e. preventing errors at the source. All three types of inspection mentioned above rely on controls consisting of fail-safe procedures or devices called Poka-Yoke.
Poka-Yoke includes check lists or special tooling that: 1) Prevent the worker from making an error during the process and stop further leads to defective manufacture. 2) Gives rapid feedback of abnormalities in the process to the worker in time to correct them. 3) There is a wide variety of Poka-yoke facilitating devices used for sophisticated detection and controls like electronic signaling devices. 4) Set up Poke-Yoke devices (mistake proofing devices) such as sensors and monitors to identify defects at the point of occurrences. 5) Referred to this system as a Zero Defect approach, because it is the ultimate goal. 6) Mistake proofing can be an extension of FMEA [Finite Mode Element Analysis] or as an extraordinary disciplined way of shredding those defects. Whereas FMEA helps in the prediction and prevention of problems, mistake proofing emphasizes on the direction and correction of mistakes before they become defectives delivered to the customers. 7) Shingos ideas were controversial as inspection becomes integral part of every step in a process, as opposed to being a separate responsibility. The heart of mistake proofing is simply to pay careful attention to every activity in the process and to place checks and problem prevention at each step. It is like an instantaneous feedback data
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transmitted from a cyclist ears to the brain regarding keeping his bike maneuvered on tough terrain.
Q3.
What is meant Quality Circle? What are its objectives and characteristics?
Karou Ishikawa the father of Quality Control (also called Quality Circle) defines Quality Circle as a small group to perform voluntary quality control activities within the same workshop International Association of Quality Circle (IAQC) defines it as a group of factory workers who usually meet for an hour each week to discuss their quality problems. Investigate causes, recommend solutions and take corrective action Objectives of QC: Each organization, depending on the nature of the problems in their product or services and the improvements warranted in quality and productivity, declares a set of objectives to pursue through Quality circle activities. Generally the following objectives encompass the operational processes: To give an opportunity for employees to use their wisdom and creativity, To develop employees individual skills and improve their self confidence and self esteem. To reduce errors in jobs and bring in the attitude of problem prevention To encourage team spirit and promote job involvement and participation cohesive culture. To increase employee motivation. To create and harness problem solving capability To improve communication flow at all levels To promote personal and leadership development To improve internal house keeping To contribute to the improvement and development of the organization
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Significant Characteristics/Features of QC o Small is always cute. Small number of employees forms a Quality Circle. There can be more Q circles, if the members who want to participate are more and the nature of work handled by them is similar. o Source of members of quality circle is from the same work area or doing similar work so that the problem they select will be familiar to all of them. Ideal size is 6 to 7 members and it can vary from as low of three to max of eight o Membership of the QC is voluntary. o Members meet regularly for about an hour each week, identify, analyze and resolve to work on related problems for improvements in their total performance. o Usually the group is able to select the problem to be solved, but sometimes management may steer them especially on sensitive issues o Leaders are usually trained in the entire process of Quality Control. o Team members are trained in communication and problem-solving skills. o Training of every member of QC team with Seven Statistical Quality Control Tools is found absolutely essential. o Solutions are recommended to management and wherever possible the group is given the authority to implement the solutions proposed. o QC enriches the work life of employees
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ASSIGNMENTS- MBA Sem-III

QM0002 Principles and Philosophies of Quality

Mr. Mithesh Kumar

Reg. No. 520930668