CH 2. Quality Management.: ASQ Certified Quality Engineer

ASQ Certified Quality Engineer.
Ch 2. Quality Management.
Edited by Seung Hyun Lee (Ph.D., CRE/CQE)

E-mail : lkangsan@iems.co.kr, bb Homepage : www.IEMS.co.kr
■ Quality Definition.
[CQE Primer p 3]
Definitions.
․ Fitness of use. (Joseph M. Juran)
․ Conformance to requirements. (Philip Crosby)
․ The total composite product and service characteristics of marketing,

engineering, manufacturing and maintenance through which the product
and service in use will meet the expectations of the customer.
(Armand V. Feigenbaum)
․ The totality of features and characteristics of a product that bear on its

ability to satisfy a given need. (The American Society for Quality : ASQ)
- 2 -
■ Quality Definition.
[CQE Primer p 3]
Some of the Determinants of Quality.
Product Service
Performance. Reliability.
Features. Responsiveness.
Reliability. Competence.
Conformance. Access/Courtesy.
Durability. Communication.
Serviceability. Credibility.
Aesthetics. Security/Safety.
Perceived Quality. Knowing the Customer.
- 3 -
■ Quality Philosophies.
[CQE Primer pp7 - pp22]
Philip B. Croshy (1928 - 2001)

․ Quality is conformance to requirements.
․ Four absolutes of quality

1. Quality means conformance to requirements.
2. Quality come from prevention.
3. Quality performance standard is zero defects.
4. Quality measurement is the price of nonconformance.
․ 14 step approach to quality improvement.

1. Management Commitment. 6. Corrective Action. 11. Error Cause Removal.
2. Quality Improvement Team. 7, 9. Zero Defects Planning 12. Recognition.
3. Measurement. and Zero Defect Day. 13. Quality Councils.
4. Cost of Quality. 8. Employee Education. 14. Do it All Over Again.
5. Quality Awareness. 10. Goal Setting.
- 4 -
Dr. W. Edward Deming (1900 - 1993)

․ The PDCA cycle and the concept of 85% management (system) versus
15% operator controllable improvement approach.
․ Deming's Chain Reaction.

Improve quality → Decrease costs (less rework, fewer delays) → Productivity
Improves → Capture the market with better quality and price → Stay in business
→ Provide jobs.
․ Deming's philosophy is one which focuses on individuals as fellow

members of a system, and treats people as partners, as customers, as
neighbors, and as friends. While the Deming philosophy benefits the
individuals in a firm, the company itself should be able to reap benefits
from this new philosophy.
- 5 -
Dr. Armand V. Feigenbaum (1920 - )

․ Statement on Total Quality Control (TQC).
․ Principles for the success of TQC.

- TQC is a company wide process, all functions are involved.
- Quality is what the customer says it is.
- Quality and production costs are in partnership . . . higher quality will equate
with lower costs.
- Both individual and team zeal are required.
- Quality is a way of managing, providing a continuous and relentless emphasis
on quality through leadership.
- Quality and innovation can be work together in product development.
- As an ethic, all of management must be involved in quality, not just the
specialist.
- Requires continuous improvement, the use of new and existing technologies.
- Is the most cost-effective, least capital intensive route to productivity and is
implemented with both customers and suppliers.
- 6 -
Dr. Kaoru Ishikawa (1915 - 1989)

․ Company wide quality control(CWQC), the quality circle and fishbone
diagram.
․ Main characteristics of CWQC.

1. More education and training in quality control.
2. Quality circle are really only 20% of the activities for CWQC.
3. Participation by all members of the company.
4. Having QC audits.
5. Using the seven tools and advanced statistical method.
6. Nationalwide quality control promotion activities.
․ The concept of internal customer : "Next operation as customer".
- 7 -
Dr. Joseph M. Juran (1904 - )

․ Juran Trilogy.
․ Juran's basics of quality success.

- Top management must commit the time and resources for success. CEOs must
serve on the quality council.
- Specific quality improvement goals must be in the business plan and include
: The means to measure quality results against goals.
: A review of result against goals.
: A reward for superior quality performance.
- The responsibility for improvements must be assigned to individuals.
- People must be trained for quality management and implement.
- Workforce must be empowered to participate in the improvement process.
- 8 -

․ Juran Trilogy.
Quality Planning. Quality planning is used to create the process that will enable
one to meet the desired goals.
Quality Control. Quality control is used to monitor and adjust the process. Chronic
losses are normal in a controlled state, while the sporadic spike will cause
investigations.
Quality Improvement. Quality improvement will reduce the chronic losses and
move the process to a better and improved state of control and that's the "last
word".
- 9 -
- 10 -
Dr. Walter A. Shewhart (1891 - 1967)

․ Control chart.
․ Shewhart framed the problem in terms of "assignable-cause" and

"chance-cause" variation and introduced the "control chart" as tool for
distinguishing between the two.
․ Shewhart's charts were adopted by the American Society for Testing and
Materials(ASTM) in 1933. The charts were used to improve production
during World War ll in the form of American War Standards Z1.1, Z1.2
and Z1.3
- 11 -
Dr. Walter A. Shewhart (1891 - 1967)

․ The Shewhart chart.
․ The Shewhart cycle (PDCA) or Deming (PDSA) is a very helpful

procedure to follow for improvement at any stage. This procedure can be
used with or without a special cause being indicated by use of any
statistical tool.
․ This design cycle was adapted as a general problem solving technique

by the Japanese. Deming in turn, modified the Japanese approach to a
continual improvement spiral called PDSA.
- 12 -
Dr. Genichi Taguchi (1924 - )

․ Quality is the financial loss to society after the article is shipped.
․ The evaluation of quality.

Use the loss function and signal-to-noise ratio as ways to evaluate the cost of not
meeting the target value.
․ Improvement of quality and cost factors.

Use statistical methods for system design, parameter design, and tolerance design
of the product. The methods could include quality function deployment, signal to
noise characteristics, and design of experiments
․ Monitoring and maintaining quality.

Reduce the variability of the production line. Insist on consistency from the floor.
- 13 -
■ Professional Quality Skill and Conduct.
Roles of Quality Engineers.

․ Quality managers and engineers make their greatest contributions in the
liaison arena, by making and maintaining good relations with personnel
outside their chain of command.
- 14 -
Required Professional Quality Skills.

․ Motivating subordinates.
․ Development and maintaining peer relationships.
․ Establishing networks for the dissemination of information.
․ Carrying out negotiations.
․ Resolving conflicts.
․ Securing and allocating resources.
․ Making decisions.
․ Making effective use of time.
- 15 -
Required Professional Quality Conduct.

․ Be sensitive to changes in the attitudes and performance of employees.
․ Be willing to delegate authority and to make assignments that are
commensurate with worker abilities, plant facilities, and employee training.
․ Take every possible opportunity to make fair, attainable, and challenging
assignments to all employees.
․ Accept responsibility for personal mistakes and subordinates in taking
corrective action when they make mistakes.
․ Set an example for employees and be consistent in daily activities.
․ Keep subordinates informed about relevant policies and issues.
․ Review subordinates regularly and keep them apprised of performance
and ratings.
․ Exhibit a positive outlook and seek value in achievement.
․ Be responsive to the needs of subordinates.
- 16 -
■ Quality Management Systems.
Quality Vision and Mission Statement.

․ Having a team solve a specific process problem (little Q item)
․ Having teams throughout the company solve problems. (big Q item)
․ To be link-pin for the organization in the area of quality activities.
Quality Departmental Mission Statement : Examples.

․ We will reduce the response time of our departmental laboratory testing
from 5 days to 1 day through better communication, improved equipment,
change of operating shifts and procedures.
․ On quality improvement projects, the quality department will provide

"draft" documents to stakeholders within 48 hours of the request.
- 17 -
Quality Management System Focus.

․ Quality mangers or engineers focus on organizational wide problems as
much as 80% of their activities, such as
- Process operations quality requirements.
- Customer specifications from marketing.
- Purchasing and supplier quality requirements.
- Team building issues.
- Quality cost data.
- Quality information systems.
- Quality planing.
- 18 -
Strategic Planning.
․ Strategic planning is the process of considering the core competency that
the CEO and upper management use to help shape and direct the
organization's future.
․ Strategic planning process should include the following.

- Develop a vision and statement of purpose for the company.
- Gather data on the environment in which it operates.
- Assess corporate strengths and weakness.
- Make assumptions about factors outside company control.
- Establish appropriate goals.
- Develop steps (strategic and tactical) for implementations.
- Evaluate performance to goals.
- Reevaluate the above steps for perpetual use.
- 19 -
Strategic Planning and Quality.

․ At the highest level of the organization, quality planning will provide more
recognition and commitment to the quality effort.
․ Quality planning at the strategic level can be described as strategic

quality management.
․ Different terms describing strategic quality management.

- Total quality (TQ)
- Total quality control (TQC)
- Total quality management (TQM)
- Company wide quality control (CWQC)
- Strategic quality management (SQM)
- 20 -
Strategic Quality Management Process.

․ A quality council.
․ Quality policies.
․ Strategic quality goals.
․ Deployment of quality goals.
․ Resources for control.
․ Measurement of performance.
․ Quality audit.
- 21 -
Quality Council.
․ The first step is familiar to many companies when establishing major
quality projects or programs : establishing a quality council.
․ Quality council is a steering committee for the quality movement. The

quality council has responsibility for the growth, control, and
effectiveness of total quality (TQ), as well as the incorporation of TQ
into the strategic business plan.
․ In many companies, the senior staff will form the membership of the
quality council. In a few companies membership may include respected
external individuals, and individuals from different levels of the company.
- 22 -
Quality Council.
․ Some of the specific tasks of the quality council.
- Develop an educational module.
- Define quality objectives for each section of the organization.
- Refine the improvement strategy.
- Determine and report cost of quality data.
- Develop and maintain an awareness program.
- 23 -
Quality Policies.
․ The quality policy is the formal expression by top management of the
overall intentions and direction of an organization.
․ Quality policies should be concise and policies for the company. A

quality policy usually has statements that indicates a company will meet
or exceed customer expectation.
․ Quality council should play a major role in developing quality policies for
the company.
- 24 -
Strategic Quality Goals.

․ Strategic quality goals may gain priority and emphasis from the quality
council. The goal, determined to be of a strategic nature, become a part
of th e strategic business plan.
․ Quality goals may be liked to product performance, service performance,

customer satisfaction, quality improvement, or cost of quality.
․ Having quality goals placed in the strategic business plan, indicates to all
employees that quality goals have special importance.
- 25 -
Deployment of quality goals.

․ They quality council has the initial task of deploying (spreading out) the
main strategic goals into bit-size pieces for the lower levels of the
organization.
․ As each level of the organization (function or team) receives its goals, it

is expected that they should review their mission, capabilities, and
resources.
※ Hoshin Kanri or Hoshin planning.

As a management tool, Hoshin Kanri translates the company's vision into dramatic
measurable results and strategic breaktrhoughs. The focus of Hoshin Kanri is to
identifying the vital few breakthrough achievement.
- 26 -
Resources for control.

․ Resources, in forms of additional staff help, equipment, or external staff,
are required for a total quality (TQ) effort to succeed.
․ Quality manager has a vital role to play in controlling resources. The

resources, to aid in TQ, may be coordinated directly by him. Thus, he
can provide assistance and guidance. The quality council may depend on
the quality manager to provide this assistance.
- 27 -
Quality Audits.
․ The quality audit is a necessary step in the process to provide
independent and unbiased information to all those who have a need to
know.
․ The scope of an audit will be determined by the guideline set forth by

the quality council.
․ Quality audit can be conducted through internal teams, outside auditors,

upper managers, or by the top president. The audit by the president is
conducted more frequently in Japanese companies. The role of the
president in the audit process shows the company how important quality
is.
- 28 -
Quality Principles and Policies.

․ Quality Principles.
The principles is defined to mean a basic foundation of beliefs, truths, . .
. upon which others are based. The basic sharing of newly gained
knowledge will result in some guiding principles for the company.
- Customer satisfaction is a key.

- Defect must be prevented.
- Manufacturing assumes responsibility for quality assurance.
- The process must be controlled.
- Every one participates in quality.
- Quality is designed into the product.
- TQ is a group activity.
- Respect for humanity.
- Adopt a revolutionary rate of quality improvement.
- 29 -
Quality Principles and Policies.

․ The top management (and quality council) will issue a statement(s) that
indicate the position of the company on quality. These policies will be
transmitted to all levels of the organization
․ The policy statement should be thoroughly researched and understood by

top management. A documented explaining the new quality policy,
responsibilities, rationale, and expected benefits should be explained to
the company personnel.
․ To carry the quality policy down the organization, each individual

department can develop its own quality policy, also.
- 30 -
Benchmarking.
․ One of the growing management tools to improve quality and overall
competitiveness is benchmarking. One excellent source of firms to
benchmark against is past winners and finalists in the MBNQA award.
․ Benchmarking process.
- Identify critical success functions.
- Determine the competitor or leader in the area felt to be deficient.
- Identify the gap between present and the desired performance.
- Align benchmarked goals to overall organizational goals.
- Research the competitive intelligence.
- Develop methods of measuring performance.
- Undertake benchmarked improvement activities.
- Measure performance.
- Continuous improvement or repeat the process in other factor areas.
- 31 -
■ Project Management.
Definitions.
․ A temporary/one-time endeavor with a specific objective to be met within
the prescribed time and dollar limitations and that has been assigned for
definition or execution.
R equired
Perform ance Perform ance
T
Target
arget
D ue D ate C ost
Budget
Lim it
Tim e-Schedule
- 32 -
Project Scheduling : CPM.

․ A network planning technique for the deterministic analysis of a project's
completion time, used for planning and controlling the activities in a
project.
․ Unique features of CPM include :

- The emphasis is on activities.
- The time and cost factors for each activity are considered.
- Only activities on the critical path are contemplated.
- Activities with the lowest crash cost (per incremental time saving) are selected
first.
- As an activity is crashed, it is possible for a new critical path to develop.
- 33 -
Project Scheduling : CPM.
- 34 -
Project Scheduling : PERT.

․ The PERT can be used for estimating completion times. PERT is
basically an extension of CPM, which incorporates variabilities in activity
duration(time estimates) into the network.
․ PERT incorporates the potential uncertainties in activity duration by using

three time estimates and variance for each activity. Three time estimates
are
- The Optimistic, The Pessimistic, Most likely.
- The expect time and the standard deviation t e
t o +4t m+t p
1. t e = 6
t p-t o
2. σ t = 6
- 35 -
Project Scheduling : PERT.
- 36 -
Project Scheduling : Gantt Chart.

․ The earliest and best-known type of planning and control chart, especially
designed to show graphically the relationship between planned
performance and actual performance over time.
․ Roles of Gantt Chart.

- For machine loading.
- For monitoring job progress.
- 37 -
Project Scheduling : Gantt Chart.
- 38 -
■ Quality Information System.
Quality Information System (QIS)

․ Quality information system is an organized method of collecting, storing,
analyzing and reporting information on quality to assist decision makers
at all levels.
․ The purpose of an effective QIS is to achieve timely corrective action.
- 39 -
■ Leadership and Team Building.
Motivation.
․ Employees Involvement.
The concept of using the experience, creative energy, and intelligence of all
employees by treating them with respect, keeping them informed, and including
them and their ideas in decision-making processes appropriate to their areas of
expertise.
- 40 -
Internal Customer.
․ Internal Customer.
Include not only other divisions of a company, but others that are affected, such
as a purchasing department that receives an engineering specification for
procurement.
․ External Customer.
Include not only ultimate users but downstream processors and merchants as well.
Other customer are those who have some connection to product, such as
government regulatory bodies.
- 41 -
Team Approach.
․ Cross-Functional Problem Solving Teams.
Cross-functional problem solving teams involve workers from different departments
who recommend solutions to solve major company-wide problems.
․ Self-Directed Work Teams.

A self-directed work team is generally a small, independent, self-organized, and
self controlling group in which members flexible plan, organize, determine, and
manage their duties and actions, as well as perform many other supportive
functions.
․ Quality Circles.
A quality circle is a small group of people who normally work as a unit and meet
frequently to uncover and solve problems concerning the quality of items
produced, process capability, or process control.
- 42 -
Brainstorming.
․ Brainstorming is an intentionally uninhibited technique for engineering
creative idea when the best solution is not obvious.
Nominal Group Techniques (NGT).

․ This technique bring people together to solve problems but limits initial
interaction among them.
․ This concept is to prevent peer or social pressures from influencing the

generation of idea.
- 43 -
Conflicting Resolution.
Assertive Competing Collaborating
￪ Compromising
Unassertive Avoiding Accommodating
Uncooperative ￫ Cooperative
- 44 -
Conflicting Resolution.
․ Avoiding (You lose, I lose). The individual withdraws from the situation.
․ Accommodating (You win, I lose). The individual yields to the wishes of

others.
․ Competing (You lose, I win). The individual tries to win, even at the
expense of others.
․ Collaborating (You win, I win). The individual want things done their way,
but is willing to explore solutions which satisfy the other person's needs
as well.
․ Compromising (Neither win or lose). The individual is willing to partially

give in to reach a middle position, splitting the differences, and partially
satisfying both parties.
- 45 -
■ Cost of Quality.
Failure Cost.
․ Internal failure costs.
- The cost of correcting problems that occur while the goods are still in the floor.
- Scrap, rework, and spoilage.
․ External failure costs.

- The cost of correcting problems after goods or services have been delivered to
the customer.
- Warranty cost, field servicing of customer goods, and all the other costs
associated with trying to satisfy customer complaints.
- 46 -
Control Cost.
․ Appraisal costs.
- The costs associated with checking and auditing quality in the organization.
- Product inspection, quality audits, testing, and calibration.
․ Prevention costs.
- The costs of avoiding trouble by doing the job right in the first place.
- Training, statistical process control,
machine maintenance, and quality
planning costs.
- 47 -
- 48 -

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ASQ Certified Quality Engineer.

Edited by Seung Hyun Lee (Ph.D., CRE/CQE)

․ Conformance to requirements. (Philip Crosby)

․ The total composite product and service characteristics of marketing,

․ The totality of features and characteristics of a product that bear on its

Some of the Determinants of Quality.

Philip B. Croshy (1928 - 2001)

․ Four absolutes of quality

․ 14 step approach to quality improvement.

Dr. W. Edward Deming (1900 - 1993)

․ Deming's Chain Reaction.

․ Deming's philosophy is one which focuses on individuals as fellow

Dr. Armand V. Feigenbaum (1920 - )

․ Principles for the success of TQC.

Dr. Kaoru Ishikawa (1915 - 1989)

․ Main characteristics of CWQC.

․ The concept of internal customer : "Next operation as customer".

Dr. Joseph M. Juran (1904 - )

․ Juran's basics of quality success.

Dr. Joseph M. Juran (1904 - )

Dr. Joseph M. Juran (1904 - )

Dr. Walter A. Shewhart (1891 - 1967)

․ Shewhart framed the problem in terms of "assignable-cause" and

Dr. Walter A. Shewhart (1891 - 1967)

․ The Shewhart cycle (PDCA) or Deming (PDSA) is a very helpful

․ This design cycle was adapted as a general problem solving technique

Dr. Genichi Taguchi (1924 - )

․ The evaluation of quality.

․ Improvement of quality and cost factors.

․ Monitoring and maintaining quality.

Roles of Quality Engineers.

Required Professional Quality Skills.

Required Professional Quality Conduct.

Quality Vision and Mission Statement.

Quality Departmental Mission Statement : Examples.

․ On quality improvement projects, the quality department will provide

Quality Management System Focus.

․ Strategic planning process should include the following.

Strategic Planning and Quality.

․ Quality planning at the strategic level can be described as strategic

․ Different terms describing strategic quality management.

Strategic Quality Management Process.

․ Quality council is a steering committee for the quality movement. The

․ Quality policies should be concise and policies for the company. A

Strategic Quality Goals.

․ Quality goals may be liked to product performance, service performance,

Deployment of quality goals.

․ As each level of the organization (function or team) receives its goals, it

※ Hoshin Kanri or Hoshin planning.

Resources for control.

․ Quality manager has a vital role to play in controlling resources. The

․ The scope of an audit will be determined by the guideline set forth by

․ Quality audit can be conducted through internal teams, outside auditors,

Quality Principles and Policies.

- Customer satisfaction is a key.

Quality Principles and Policies.

․ The policy statement should be thoroughly researched and understood by

․ To carry the quality policy down the organization, each individual

Project Scheduling : CPM.

․ Unique features of CPM include :

Project Scheduling : CPM.

Project Scheduling : PERT.

․ PERT incorporates the potential uncertainties in activity duration by using