DR K Kumar PDF

National Workshop on “Enabling MSME
to be Competitive through Quality Tools”
WHAT IS QUALITY …...

WORD OF MOUTH
PERSONAL NEEDS PAST EXPERIENCE
COMMUNICATIONS
EXPECTED
QUALITY
MSIL approach for supplier upgradation
GAP *
through cluster activity
PERCEIVED
- By Dr. K. Kumar QUALITY
CUSTOMER
EXTERNAL
PROVIDER DELIVERED COMMUNICATION
QUALITY TO CUSTOMER
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WHAT IS QUALITY …...
Quality is meeting or exceeding customer’s perceived

needs.
What is Quality ? To some people Quality means that they have met
whole range of internal specifications, rules and
standards.
Any definition of Quality must include the customer,

the voice of authority. The voice above all other voices
must be the voice of customer.
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Kano Model TOTAL QUALITY MANAGEMENT
TQM IS BOTH A PHILOSOPHY AND A SET

OF GUIDING PRINCIPLES THAT FORM THE
FOUNDATION FOR A
CHANGING &
CONTINUOUSLY IMPROVING
ORGANISATION
6
1
ELEMENTS OF CUSTOMER SATISFACTION Principle of total quality

PRODUCT DESIGN
Principle 1
QUALITY CONFORMANCE
• Proactively and systematically understand current and
SERVICE
future customer needs (External and Internal)
ASSURANCE OF QUALITY
• Customer complaints analysis is critical, it can only be
COST EFFECTIVE
WORLD CLASS COST FULL done after the complaint is resolved.
PRICE EFFECTIVE CUSTOMER
QUALITY FOR
CORPORATE SATISFACTION
RIGHT PLACE / DELIGHT
SURVIVAL Proactively Companies must anticipate
DELIVERY RIGHT TIME
customer’s needs.
RIGHT AMOUNT
• Systematically it must be ensured that the process
IN USE used to resolve the complaints is valid, objective
SAFETY
IN PRODUCTION and statistically reliable.
MORALE EVERYONE CARES
10
Living Our CI Values

Principle 2
I Am  Proactively and systematically measure the customer’s
My input Responsible My output perception of how well your organization and your direct
for
My Quality My competitors satisfy these needs.
Supplier Customer
As a As a As a  Robert Galvin, former chairman and CEO of Motorola
Good Customer Good Process Good Supplier cited,
Requirement Owner or User Requirement
And “Only by measuring something it can be truly known.”
And
feedback I will I Will: I Will: feedback
1) Learn and apply 1) Understand my In order to be useful, customer satisfaction measurements
the tools of customer
1) Agree on and quality and requirements and must be both objective and reliable.
To ensure objectivity, a number of companies use a third
document my teach others. agree on and
requirements with 2) Continuously document my
my supplier improve my deliverables
2) Return defective process-reduce
defects, cycle
2) Reduce defects
and variations in
party to assess customer satisfaction.
inputs to my supplier
promptly and
tactfully
time and know
benchmarks 3)
my output
Measure my
Reliability means that for any situation the measurement
3) Feed back input 3) Document and
display my
output quality
from my
process will yield the same, or nearly the same result.
quality data to my
supplier process, defect customer’s
levels, and CI perspective
projects
11
Principle 3
 Focus efforts on improving the processes or methods that
satisfy customer needs. Better financial results such as cost
reduction and higher profits are the outcome of process
improvements.
 Total Quality approach would be to improve the process by
Principles of Quality streamlining it, reducing errors, shortening process, cycle time
and eliminating activities that don’t affect Customer
Satisfaction.
 To improve quality, reduce process variation.
 Variation is present in all activities and processes. Although
they might be made or delivered according to the same design,
there will be differences in parts, products and services. In
many instances, variation is within an acceptable tolerance
band.
9 12
2
Principle 5
Variation
•Develop robust design for products and processes.
•Robust design are not sensitive to variations of
production processes, components, raw materials,
and customer usage.
•The traditional engineering approach is to design a
target (target value, target function, target region)
then reduce variation around the target.
•The new approach developed by Genichi Taguchi,
is to design for robust function, then adjust the
target.
13 16
Principle 4 Taguchi Loss Function

L LSL USL
•Common causes of process variation are Loss ($) A

ever present and vary randomly within some
statistical distribution. Process is stable when L = k (y – T)2
common causes are present. 0 y
T- T T+
•Special causes of variation are those outside Step function
L = Cost Incurred as quality
Deviates from the target
the common causes that are ever present. The L LSL USL
y = Performance Characteristic
variation is due to specific assignable causes
Loss ($)
that are non random occurrences. Special A T = Target
causes are sporadic and not predictable. k = Quality Loss Function

0 y
T- T T+
14 Quadratic function
17
Variation Principle 6
A stable process in control (Natural or common cause)
Upper
process •Use the scientific method for solving problems
Satisfaction
limit
and improving processes.
Customer
Mean
Lower
process
•This means that organizations must manage by
Time
limit
fact and not by assertion. Dr. W. Edwards Deming
has said
An unstable process out of control(Special Cause) “In God we trust, but from all others we demand
Upper
data.”
process
•Managing by fact really means applying the
Satisfaction
limit
Customer
Mean
Lower
scientific process, which is described very clearly
process
limit
by the Plan-Do-Check-Act (PDCA) Cycle
Time
18
3
PDCA Cycle Cont.

Inside & Outside
Data Company
Objective
 Never pass on known or suspected bad quality to
Abroad
Method the next person in the process.
Education  Follow 3-NAI activity
Implementation Consumer  Do not receive
Checking  Do not make
Corrective  Do not send defects to the next process
action
Product
19 22
Principle 7
 When there are problems, and expectations haven’t been
met, look to the system. Don’t blame people.
 Instead of finger pointing, management should focus on Biggest Challenge
the system. Instead of asking “Who did it?” or “Who didn’t do •How to Maintain the Market Share & How many varieties of products are
it.?” Management should ask “What is wrong with the introduced in the Market every Year?
system?” •To improve the Quality of the Products in terms of Quality, Cost &
Delivery.
Paradoxically the whole system is controlled by
management and not by people who work inside the system. For improving Quality what should we do?
Emphasize prevention instead of detection. Inspection does
not add value and it doesn’t improve quality. It only helps to
ensure that what goes to the customers is okay.
20
Principle 8 QC 7 Step Solving approach

 The ultimate way to ensure quality, however, is to
design processes so that regardless of variation of  QC 7 steps Procedure is the basic procedure for solving
process control parameters the output is optimal or nearly problems scientifically, rationally & effectively.
optimal. Such processes are said to be robust designs. A
 It is the fundamental Problem solving strategy which
related concept is the principle of Fool Proofing, or
poka - yoke in Japanese. allows to solve the problems rationally & scientifically.
 If we want to achieve EFFECTIVE improvement we have

 Put Quality ahead of quantity. to know the rules of the game i.e. QC 7 Steps
It means:- Consistent Quality standards Procedure.
 The secret of our problem solving is to know the
21
Procedure & act in accordance with it.
4
QC 7 Step Formulae QC 7 Step Problem Solving Formula
 The conventional method is based on trial & error. Table‐1 Cont.

Step
Basic Steps Action Item
Figure‐1 No.
a. b.
•Grasp Problem 5 Consider & Implement Consider Countermeasures
•Set Target Countermeasures •Propose the ideas for Countermeasures
Expose Problem Expose Problem •Identify gap •Discuss how put Countermeasures into effect.
between existing •Check details of the Countermeasures
situation & Target Implement Countermeasures
•Plan how to implement Counter Measures
•Implement Countermeasures
Experience, Intuition,
Analyze Causes •Investigate Causes 6 Check Results •Check results of Countermeasures
nerve, Inspiration •Compare results with Target
•Identify Tangible & Intangible benefits
•Plan 7 Standardize & Establish Standardize
Countermeasures Control •Establish new standards & revise old ones.
Implement Counter- Implement Counter- •Decide methods of control
Measure Measure •Implement
Establish Control
Countermeasure •Familiarize relevant people with the methods.
Conventional Problem QC Problem Solving •Institutionalize •Educate those responsible.
Solving approach approach •Verify that benefits are being maintained.
Procedure for Problem Solving
Figure‐2 QC Problem Solving approach  In the QC Seven Step Procedure the following points are
important:
1. Understand the situation & set targets: This
Problem Identify its Act against
arises
would mean analyzing data on the existing & past
Causes the Causes situation & then decide the target. Fig. 3 shows the
procedure to calculate the targets
Figure‐3
Symptom Problem
Baseline 117642
Disappears Solved
Entitlement 86013
Difference 31629
70% of Diff. 22140
In case of QC Problem Solving approach, the problem really has been Solved; this Target @70% of 95502
is true Problem Solving Entitlement
QC 7 Step Problem Solving Formula Procedure for Problem Solving
Table‐1
Step 2. Analysis of the causes : Late Dr. Kaoru Ishikawa,

Basic Steps Action Item
No.
the father of Japanese Quality Control, wanted it to
1 Select Topic •Identify Problem
•Decide Topic be renamed as “analyze the process”. But ultimately
2 Understand the Understanding Situation
situation & Select •Collect Data in JUSE 7 step procedure analyze the causes was
Target. •Decide characteristic to attack
•Decide Target retained & is widely used.
3 Plan Activities. •Decide what to do
3. Countermeasures: After the analysis of the Causes,
•Decide Schedule, division of responsibility etc.
4 Analyze Causes •Check present values of Characteristic

the team proceeds to take the countermeasures to
•List Possible Causes
•Analyze Causes
prevent the occurrence of the defects.
•Decide items to tackle.
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5
Procedure for Problem Solving Basic 7 QC Tools
Checksheet Run Chart Pareto Chart

4. Standardize & Establish the Control : In the Past
this step was known as “Apply the Brakes” i.e.
prevent any back sliding & establish the permanent
Countermeasure. Failing to check the effect of Control Chart
Countermeasure is like omitting the touch up after

Histogram
Painting. This would need establishing the new
Fishbone Diagram Scatter Plot
standards or revising the old standards. Familiarize
people with the new standards & verify that the
benefits are being maintained.
Procedure for Problem Solving Why-Why Analysis
5. Target Control: While fixing the targets & the time  Originally developed by Sakichi Toyoda.
limits for the achievements following key points are
important.  Later used within Toyota Motor
 What control Characteristic are to be taken up for Corporation during the evolution of their
study. manufacturing methodologies.
 By When the study will be completed.
 The architect of the Toyota Production
 By How much such as reduce the defect at the
Quality gate by 30%. System, Taiichi Ohno, described the 5
Figure‐4 whys method as "the basis of Toyota's
scientific approach by repeating why five Taiichi Ohno
times, the nature of the problem as well as
its solution becomes clear
Problem Solving: 5 Whys
TOOLS & TECHNIQUES This method of

problem solving
simply involves
USED FOR PROBLEM asking “Why” a
number of times
SOLVING (typically five times
is enough) until the
AT root cause of a
problem is
MACE determined .
36
6
Why -Why Analysis at Toyota Shainin Techniques for Problem

Solving
Why 1? Why there is a puddle of oil on the Shop Floor?
• Because Machine is Leaking Oil Product Process Search Modified Component Search B Vs C
Process Parameter Snorkel Position Disassembly/Asse X-BOB X-WOW 225
mbly
Why the Machine is Leaking oil? Parameter Range 0to 1/2" B 223
Why 2? Initial 113 86
• Because Gasket has deteriorated Bag no.
Ist 115 84 219
1 1/2 B
2 1/2 B IInd 111 85 217
3 1/2 B Median 113 85
4 1/2 B
C 212
Why Gasket has deteriorated? 5 1/2 B Range 4 2
Why 3? 210
• Because we bought the Gasket made of inferior 6 1/4 B D( Diff of Medians = ( 113 -85 ) = 28
7 1/4 B
Material. 8 1/4 B d ( Avg. of = ( 4+2 )/2 = 3
9 0G Ranges )
Why did we buy a Gasket of Inferior Material? 10 0G
Why 4? 11 0G
Component Search
Because we got a Fair deal on those Gaskets 12 0G -50
13 0G -40
14 0G -30
Why we purchased the Material at Fair Price when the 15 0G

-20
Temp
-10
16 0G
Quality of the Gasket was not Good ? End Counts 8+ 8 = 16
0
Why 5?
Sequence
10
a) Because the Purchasing agent gets evaluated on 20
short term Cost Savings

Shainin Techniques for Problem Attributes for World Class

Solving
S.NO. ITEM TARGET

 Dorian Shainin (September 26, 1914 – 1 Safety : Zero Accidents
2 5 S – Score 90% min.
January 7, 2000) was an influential 3 Quality : 3.4 ppm
American quality consultant, aeronautics 4 Supply to Customer 2 hourly basis
engineer, author 5 Customer Line Stops Zero
6 Inventory Turns: Min 50
 Known for his contributions in the fields 7 Change over time < 10 min.
of industrial problem solving, product 8 OEE (Overall Equipment Efficiency) 85 - 90 %
9 VA to Employee cost 5
reliability, and quality engineering, 10 VSM : Value stream mapping 25%
particularly the creation and 11 Cost 50% less
development of the “Red X” concept 12 Absenteeism (Unauthorized) 0%
Dorian Shainin 13 Direct to Indirect manpower 60 : 40
14 Kaizens / employee 24/emp/year
At 50% less time and
New Product Development
15 Cost
16 Training Hours / Emp / Year > 5 % of working hrs
Shainin Techniques for Problem

Solving
Component Search Paired Comparison
Disassembly/Asse X-BOB X-WOW
mbly S.No. Surface Finish Status Of the
Pump
Initial
Ist
IInd
113
115
111
86
84
85
1
2
3
65
64
61
Bad
Bad
Bad
CLUSTER APPROACH
Median 113 85 4 58 Bad
Range
D( Diff of Medians
d ( Avg. of
4
= ( 113 -85 ) = 28
= ( 4+2 )/2 = 3
2 5
6
7
51
48
47
Bad
Bad
Bad
AT
Ranges ) 8 45 Bad
-50
Component Search
9
10
11
32
32
28
Good
Good
Good
MACE
12 24 Good
-40
-30
-20 13 22 Good
Temp
14 22 Good
-10
15 21 Good
Sequence
10
16 19 Good
20
7
•TPM Cluster
•Certified Quality Engineer
MODEL
•Six Sigma Black Belts.
•Benchmarking Visits.
•Horizontal Deployment of Cluster Activity
through Tier-2.
F R
•Complete 5-S Phase 4
•Up-gradation through advance Quality Tools
•Hoshin-Kanri (MFO).
•Autonomous Maintenance; OEE
•Yield Improvement
WORLD CLASS
•Implementation of 8 Pillars Check sheet
•Training on advance tools like DOE, DMAIC &
OEE
•TEI through SSQC activities. Phase 3
•Single Piece Flow using Model Line; identifying
Lean Manufacturing Projects (MPS) based on
Customer Requirements.
•Inventory Turns Ratio Management
•Energy Consumption Management
•Cost of Poor Quality
•Initial Supply Control
•Value added per employee cost (VAPCO)
•Training on SSQC, MPS, EMS, QMS, NPD.
•Capturing Customer Voice PHASE 2
•1-S,2-S and Visualization
•Customer Concern (QCD) through why-why
Analysis.
•Red Bin Analysis using basic QC Tools
•Daily Work Management for Target Monitoring.
•Monthly Performance Review at Gemba &
Collaborative Learning
•5 New Kaizen/month/vendor.
•Training on 5S, VUD, 7 QC tools, CAPA
CLUSTER MEETING IN PROGRESS
PHASE 1
Concept of Cluster EXACTNESS
 A group of 5 to 10 vendors ( non-competing) get together to The first step in the improvement journey is Exactness. This
undergo a common training session and get hand held involves three parameters:
experience.  Exactness of Process: The vendor must ensure that the
 Individual attention is given to all cluster members & all process is being followed exactly as per the standards, as
queries during the session are answered. per written down instructions. To achieve this the vendor
must employ check points in Daily Work management.
Advantages of Cluster EXACTNESS
 Exactness of Measurement:
This image cannot currently be display ed.
 Lower Cost. Any process is as good as its measurement. The vendor

 Group discussions & sharing of ideas. must ensure that there is a control plan for all the
 Competitiveness. instruments & measuring gauges; periodic calibrations
are carried out as per the plan & all instruments /gauges
 Learning from one another.
are kept in good working condition.
 Exposure to best practices.
 Learning in a team.
 Exposure to benchmarking.
 Improved motivation.
8
TEAM ORIENTED PROBLEM SOLVING [ TOPS ]

Practical Problem Solving Process Kaizen Competition at CII – Confederation of Indian
Industries
1. Initial Problem Perception
(Large , Vague, Complicated Problem)
Funnel
2. Clarify the Problem Approach
Grasp the
3. The “ Real “ Problem
Situation
4. POC Basic Cause and Effect

Why ? Direct Cause Investigation
Why ? Cause
5 Why ?- Why ? Cause
Investigation Why ? Cause
Of Root Cause Why ? Cause
Root Cause
5. Countermeasure
7. Standardize
6. Evaluate
Result of Cluster approach

TEAM ORIENTED PROBLEM SOLVING
initiated by MACE
[ TOPS ]
 We encourage Tier – 2 vendors in Quality Circle & Lean Total no. of Tier 2 clusters : 19
Manufacturing activities . Total no. of Tier 2 vendors covered : 150
 Every Year a competition amongst the Tier – 2 vendors is
Measure 2004 - 05 2010 - 11 2011 – 12 Improvement
held at MSIL where each vendors make a presentation
about the QC & Lean Manufacturing activities [ MPS ]. Rejection
10933 2695 1617 85 %
 In order to motivate the vendors, awards are given through

ppm
MSIL, the parent organization .

No. of defects
 We also encourage our Tier – 2 vendors to participate in per month
432 263 159 63 %
National Competitions to understand the best practices.
MPS for Tier-2 vendors

TEAM ORIENTED PROBLEM SOLVING [ TOPS ]
Implementation status
Quality Circle Competition in progress
9
QC Activity for Tier-2 vendors

MACE Quality Circle Convention
QC Projects completed in 2011-12 till Oct’11
As a part of Quality month celebration,Tier-2 Quality circle competition was

organized at MACE on 26th Nov’11.
Each of the cluster member held the competition at their end to select the best QC
Circle at their end for Competition in MACE.
A Total of 12 Quality Circles from 12 Tier-2 Clusters participated in this
competition.
The results of competition were as follow:
Winner : Superfine : Lumax Cluster
1st runner up : Aar Aar Industries : Pricol Cluster
2nd runner up : NRB Bearing : Subros Cluster
MACE Kaizen Meet
MACE conducted Kaizen Meet for MSIL Vendors. Total of 200 Tier-1 & 400 Tier-2
vendors participated in this competition.
The results were as follow:
Tier-1
AWARD VENDOR NAME COUNSELLOR

Winner M/s KML Seat-1 Mr. Prateek Mandal
1st Runner Up M/s Bright Autoplast Mr. Himnashu Sharma
2nd Runner Up M/s Tenneco Mr. Sagar Vashisht
Tier-2
AWARD VENDOR NAME CLUSTER COUNSELLOR
Winner M/s Premier Pin Minda Cluster Mr. Amit
Chauhan
1st Runner Up M/s Bhamra Fabricators Subros Mr. O.P.Uttareja
Cluster
2nd Runner Up M/s Lakhani Sona Cluster Mr. R.P.Bhatti Lumax T-2- Superfine receiving the winner Award of Quality Circle Competition
M/S Bhambra Fabricator receiving the Best Kaizen Award in T-2 Category M/S Precision Pin, Tier-2 of Minda receiving the Zero ppm Certificate
10
M/S Subros receiving the Trophy for Best VSA Score in 2011-12
CII conducts annual Cluster summit in month of September in which various

clusters working with CII, ACMA & MACE are invited to participate by giving
their Kaizens & Case Studies on Problem Solving using 7 QC tools, Why-Why
analysis & Six Sigma.
In year 2011-12, 47 vendors of MSIL participated in this event where the best
Kaizen & the Case studies were adjudged by the Jury consisting of eminent
people from the industry.
A total of 285 Kaizens & 120 Case studies were received by CII for evaluation.
We are happy to inform that the following awards out of the total awards were
bagged by MSIL’s Tier-1 & 2 vendors:
CII Cluster Championship Award Winners

Stream Name of Company
MSME Award Large Award
Manufacturing Auto Décor Pvt. Ltd. 1st Godrej & Boyce Mfg. Co. Ltd. 1st
Excellence Mohali
Horizon Industrial Products 2nd Minda Industries Limited 2nd
Pvt. Ltd.
Shivai Enterprises Pvt. Ltd. 3rd Sona Koyo Stering Systems 3rd
Ltd.
Cost Bhambra Fabricators 1st Godrej & Boyce Mfg. Co. Ltd. 1st
Competitiveness Shirwal
Mahindra & Mahindra 1st
Energy Efficiency USV Ltd. 1st Godrej & Boyce Mfg. Co. Ltd. 1st
Shirwal
Promed Export Pvt. Ltd. 2nd Mahindra & Mahindra 2nd
Tata Motors Ltd. 3rd
Total Employee Eastman Cast & Forge Ltd. 1st Godrej & Boyce Mfg. Co. Ltd. 1st
Involvement Mohali
Rakheja Engineers Pvt. Ltd. 2nd
Vox Populi Godrej & Boyce. Mohali for Manufacturing Excellence
CII Kaizen Award Winners

Award Company
1st Award Suman Auto Parts Ltd.
2nd Award Raunaq Automotive Components Ltd.
3rd Award Krishna Maruti Limited
MSIL Vendors. The Case studies were based on completed MPS Projects.
11

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National Workshop on “Enabling MSME

to be Competitive through Quality Tools”

WHAT IS QUALITY …...

Training Support Consultancy Copyright ©. All rights reserved.

WHAT IS QUALITY …...

Quality is meeting or exceeding customer’s perceived

Any definition of Quality must include the customer,

Kano Model TOTAL QUALITY MANAGEMENT

TQM IS BOTH A PHILOSOPHY AND A SET

ELEMENTS OF CUSTOMER SATISFACTION Principle of total quality

Living Our CI Values

Principle 4 Taguchi Loss Function

•Common causes of process variation are Loss ($) A

that are non random occurrences. Special A T = Target

causes are sporadic and not predictable. k = Quality Loss Function

PDCA Cycle Cont.

Principle 8 QC 7 Step Solving approach

 If we want to achieve EFFECTIVE improvement we have

 The secret of our problem solving is to know the

QC 7 Step Formulae QC 7 Step Problem Solving Formula

 The conventional method is based on trial & error. Table‐1 Cont.

Procedure for Problem Solving

QC 7 Step Problem Solving Formula Procedure for Problem Solving

Step 2. Analysis of the causes : Late Dr. Kaoru Ishikawa,

4 Analyze Causes •Check present values of Characteristic

Procedure for Problem Solving Basic 7 QC Tools

Checksheet Run Chart Pareto Chart

Countermeasure is like omitting the touch up after

Procedure for Problem Solving Why-Why Analysis

Problem Solving: 5 Whys

TOOLS & TECHNIQUES This method of

Why -Why Analysis at Toyota Shainin Techniques for Problem

Because we got a Fair deal on those Gaskets 12 0G -50

Why we purchased the Material at Fair Price when the 15 0G

a) Because the Purchasing agent gets evaluated on 20

short term Cost Savings

Shainin Techniques for Problem Attributes for World Class

S.NO. ITEM TARGET

Shainin Techniques for Problem

Concept of Cluster EXACTNESS

Advantages of Cluster EXACTNESS

 Lower Cost. Any process is as good as its measurement. The vendor

TEAM ORIENTED PROBLEM SOLVING [ TOPS ]

4. POC Basic Cause and Effect

Result of Cluster approach

 In order to motivate the vendors, awards are given through

MSIL, the parent organization .

National Competitions to understand the best practices.

MPS for Tier-2 vendors

QC Activity for Tier-2 vendors

As a part of Quality month celebration,Tier-2 Quality circle competition was

MACE Kaizen Meet

AWARD VENDOR NAME COUNSELLOR

CII conducts annual Cluster summit in month of September in which various

Training Support Consultancy Copyright ©. All rights reserved.

CII Cluster Championship Award Winners

CII Kaizen Award Winners

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