Week 7 Designing Quality

Chapter 7, EVANS.
PROCESS MANAGEMENT
Words of wisdo fro !e"as #nstruent$
% &nless you 'hange the pro'ess, why would you e"pe't the result to
'hange. (
The Scope of Process management
)eading 'opanies identify iportant *usiness pro'esses
throughout the +alue 'hain that affe't 'ustoer satisfa'tion. !here
are two 'ategories(
,. Value Creation -ro'ess .soeties 'alled Core
-ro'esses . /ost iportant to %running the *usiness, and
aintaining or a'hie+ing a sustaina*le 'opetiti+e ad+antage.
Dri+e the 'reation of produ't and ser+i'es and has a0or ipa't on
strategi' goals of organi1ation. !he pro'ess in'ludes design,
produ'tion 2 deli+ery and other 'riti'al *usiness pro'esses.
3a4 Design -ro'ess .all a'ti+ities to eet 'ustoer5s
re6uireent. New te'hnology, past learning into
fun'tional spe'ifi'ations.
3*4 -rodu'tion 2 Deli+ery .deli+er a'tual produ't. Dri+en
*y e"ternal 'ustoers.
7. Support -ro'esses .dri+en *y internal 'ustoers.
-ro+ide infrastru'ture for +alue 'reation pro'ess *ut do not add
+alue dire'tly. E"aple$ order entry2dire't ail distri*utor.
Process management consists of three key activities:
Design
Contro! an"
#mprovement$
,
%ea"ing Practices & 'est Practices in Process management:
!he following are 'oon pra'ti'es of 'opanies that are
re'ogni1ed as world leaders in 6uality 2 Custoer Satisfa'tion.
,. !hey "efine an" "oc(ment iportant +alue 'reation and
support pro'esses, and anage the 'arefully. 3 !hey use
#S8 as a *asis of defining and do'uenting key pro'esses4
7. !hey transate c(stomer)s re*(irement into produ't and
ser+i'e design re6uireents early in the design pro'ess
taking into a''ount linkages *etween produ't design
re6uireent and anufa'turing or ser+i'e pro'ess
re6uireents, supplier 'apa*ilities, and legal and
en+ironental issues.
9. !hey ensure that +(aity is ,(it into pro"(ct an" services
and use appropriate engineering and 6uantitati+e tools and
approa'hes during the de+elopent pro'esses.
:. !hey anaged the pro"(ct "eveopment process to enhan'e
'ross fun'tional 'ouni'ation, redu'e produ't de+elopent
tie, and ensure trou*le.free introdu'tion of produ't and
ser+i'es.
;. !hey "efine performance re*(irement for supplies, ensure
that re6uireents are et, and de+elop partnering
relationship with key suppliers and other organi1ations.
<. !hey contro the *(aity an" operationa performance of
key pro'esses, and use systeati' ethods to identify
signifi'ant +ariation in operational perforan'e and output
6uality, deterine root 'auses, ake 'orre'tions, and +erify
results.
7
7. !hey contin(o(sy improve processes to a'hie+e *etter
6uality, 'y'le tie, and o+erall operational perforan'e. 3
.use Q#- =Quality #pro+eent -ro'ess 4.
>. !hey innovate to achieve ,reakthro(gh performance. ..
done through *en'harking and re.engineering.
+-A%#T. #MPRO/EMENT PROCESS 0+#P1 3?ead
EVANS pg. 9774
E2ampe of +#P at 'ranch3Smith Printing:
4$ #"entify the pro,em
5$ Anay6e the ca(se
7$ Seect the so(tion
8$ Pan the impementation
9$ Eva(ate the effectiveness
!he Rit63Carton : mechanisms for ipro+eents of pro'ess,
-rodu't and ser+i'e 6uality$
4$ The Ne; <ote Start3(p #mprovement Process
5$ Comprehensive Performance Eva(ation Process
7$ +(aity Net;ork
8$ Stan"ing Pro,em3Soving Committee
9$ +(aity #mprovement Team
=$ Strategic +(aity Panning
>$ Streamining processes
:$ Process #mprovement
Also read !he ?it1.Carlton @otel Copany$ !he 7 steps of service
process:
4$ The ;arm ;ecome
5$ Anticipation an" compiance
9. ?on" fare;e A-g. 999 EVANS.
9
PROCESS MANAGEMENT ACT#/#T. 4:
Pro"(ct Design processes
< -hases of typi'al -rodu't De+elopent -ro'ess
,. #dea generation
7. -reliinary Con'ept de+elopent
9. -rodu't 2 -ro'ess De+elopent
:. Bull S'ale -rodu'tion
;. /arket #ntrodu'tion
<. /arket E+aluation.
?ead$ Design for /anufa'tura*ility 3DB/4 pg. 97<
Design for En+ironent 3DBE4
Design for Disasse*ly.
PROCESS MANAGEMENT ACT#/#T. 5:
Process Contro
Definition @the activity of ens(ring conformance to the
re*(irements an" taking corrective action ;hen necessary to correct
pro,ems an" maintain sta,e performance$
Components: 4$ has a stan"ar" & goa
5$ a means of meas(ring accompishment
7$ a comparison of act(a res(ts ;ith stan"ar"s!
aong ;ith fee",ack to form the ,asis for
corrective action$
Process Contro is important for 5 reasons:
4$ Process contro metho"s are the ,asis for effective "aiy
management of process$
5$ %ong term improvements cannot ,e ma"e to a process (ness
the process is first ,ro(ght (n"er contro$
:
Process Contro in :
Man(fact(ring sector
3contro is (s(ay appie" to incoming materias! key
processes! an" fina pro"(ct! an" services$
Service Sector
3e2ampe for The Rit63Carton Go" Stan"ar" of Service$
4$ sef contro of in"ivi"(a empoyee
5$ ,asic contro mechanism carrie" o(t ,y every
mem,er
7$ critica s(ccess factor for critica processes$
an" sef3a("its an" o(tsi"e a("its$
PROCESS MANAGEMENT ACT#/#T. 7:
#mprovement
AA#BEN
. A Capanese philosophy of ipro+eent esta*lished *y C#!.
C#T D C(st in Time
= eans 'opany 'ould ake produ'ts effi'iently without defe't.
;
Definition of AA#BEN:
3 means gra"(a an" or"ery contin(o(s improvement$
3 improvement in a areas of ,(siness s(ch as:
3costs
3meeting "eivery sche"(es
3empoyee safety an" ski "eveopment
3 s(ppier reations
3ne; pro"(ct "eveopment & pro"(ctivity
3 serve" to enhance the *(aity of the firm$
'asic Tips of impementing AA#BEN 0The Aai6en #nstit(te1
. dis'ard 'on+entional fi"ed ideas.
. thinking of how to do soething, N8! why it 'annot *e
done.
. not to seek perfe'tion
. not aking e"'uses, *ut 6uestioning 'urrent pra'ti'es
. seeking the %wisdo of ,D peoples rather than the
knowledge of one(
!herefore *y instilling Eai1en into people and training the in
*asi' 6uality ipro+eent tools, workers 'an *uild this philosophy
in their work and 'ontinually seek ipro+eent.
!hree things re6uired for su''essful Eai1en$
. operating pra'ti'es
. total in+ol+eent
. training.
<
'REAAT<RO-G<
Definition$ refers to dis'ontinuous 'hange, as opposed to gradual,
'ontinuous ipro+eent philosophy of Eai1en. Freakthrough
ipro+eent result fro inno+ati+e and 'reati+e thinkingG often
these are oti+ated *y stret'h goals or *reakthrough o*0e'ti+es.
E"aple$ ,DH ipro+eent goal is easy to a'hie+e. @owe+er,
with ,DDDH ipro+eent is not easy and eployee ust think
%outside the *o"(.
.these seeingly ipossi*le, if a'hie+ed will yield draati'
ipro+eent and *oost orale, also and 'an 'ause unreasona*le
stress to eployees or punish failure.
!wo approa'hes for Freakthrough #pro+eent that 'an help
a'hie+e stret'h goals$
,. Fen'h arking . three types$ Copetiti+e, -ro'ess, and
strategi'.
7. ?e.engineering
'ENC<MARA#NG .definition$ %easuring your
perforan'e against that of *est.in.'lass 'opanies, deterining
how the *est.in.'lass a'hie+e those perforan'e le+els, and using
the inforation as a *asis for your own 'opany5s targets,
strategies, and ipleentation(, and
%the sear'h of industry *est pra'ti'es that lead to superior
perforan'e(
'est Practices . approa'hes that produ'e e"'eptional
results, are usually inno+ati+e in ter of use of te'hnology or
huan resour'es, and are re'ogni1ed *y 'ustoers or industry
e"perts.
7
RE3ENG#NEER#NG
Definition: the f(n"amenta re3thinking an" ra"ica re3
"esign of ,(siness processes to achieve "ramatic improvement
in critica! contemporary meas(res of performance! s(ch as
cost! *(aity! service! an" spee"$
Re3engineering invoves asking *(estions a,o(t ,(siness
process:
Ehy "o ;e "o itF
Ehy is it "one this ;ayF
Re*(irement for s(ccessf( Re3engineering:
4$ f(n"amenta (n"erstan"ing of processes
5$ creative thinking to ,reaka;ay from o" tra"itions an"
ass(mptions
7$ effective (se of #T$
8$
3,enchmarking can greaty assist re3engineering effort$
3Re3engineering ;itho(t ,enchmarking ;i pro"(ce 9 D 4GH
improvements$
33'enchmarking can increase 9G D >9 H$
3 ,y st("ying o(tsi"e ,est practices! a company can i"entify
an" import ne; technoogy! skis! str(ct(res! training an"
capa,iities$
Assignments:
Bor ne"t tutorials, read 'ase studies$
,, !he State &ni+ersity e"perien'e, Chapter 7 = EVANS pg 9<9.9<:.
7. Quality in pra'ti'e$ Ser+i'e Quality at !he ?it1.Carlton @otel
Copany, Chapter 7 =EVANS pg 7> = 7I.
>
Ah0saudi 7;D>D;
I

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