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Managing for Quality and

Performance Excellence 9th Edition


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CHAPTER 7

Design for Quality and Product Excellence

Teaching Notes

The precise manner in which a person or team approaches product design, solving problems to
achieve product excellence, or developing product reliability is not as critical as doing it in a
systematic fashion. Students have been exposed to process management and improvement in
Chapter 7, but they may still have some difficulty in understanding how measurement (metrology)
and Six Sigma projects can be used at the design stage to make frequent, but gradual changes as
an approach to process improvement.

Key objectives for this chapter should include:

• To explore the typical structured product development process consisting of idea


generation, preliminary concept development, product/process development, full-scale
production, product introduction, and market evaluation.

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Design for Quality and Product Excellence 2

• To learn that concurrent, or simultaneous, engineering is an effective approach for


managing the product development process by using multi-functional teams to help
remove organizational barriers between departments and therefore reduce product
development time. Design reviews help to facility product development by stimulating
discussion, raising questions, and generating new ideas

• To introduce the concept of Design for Six Sigma (DFSS) consisting of a set of tools and
methodologies used in the product development process to ensure that goods and services
meet customer needs and achieve performance objectives, and that the processes used to
make and deliver them achieve Six Sigma capability. DFSS consists of four principal
activities of: Concept development, Design development, Design optimization, and
Design verification. These activities are often incorporated into a variation of the
DMAIC process, known as DMADV, which stands for Define, Measure, Analyze,
Design, and Verify.

• To define concept development as the process of applying scientific, engineering, and


business knowledge to produce a basic functional design that meets both customer needs
and manufacturing or service delivery requirements. This involves developing creative
ideas, evaluating them, and selecting the best concept.

• To appreciate the concepts of innovation and creativity. Innovation involves the


adoption of an idea, process, technology, product, or business model that is either new or
new to its proposed application. Creativity is seeing things in new or novel ways. Many
creativity tools are designed to help change the context in which one views a problem or
opportunity, thereby leading to fresh perspectives.

• To explore Quality Function Deployment (QFD) -- a planning process to guide the


design, manufacturing, and marketing of goods by integrating the voice of the customer
throughout the organization. A set of matrices, often called the House of Quality, is used
to relate the voice of the customer to a product’s technical requirements, component
requirements, process control plans, and manufacturing operations.

• To investigate manufacturing specifications, consisting of nominal dimensions and


tolerances. Nominal refers to the ideal dimension or the target value that manufacturing
seeks to meet; tolerance is the permissible variation, recognizing the difficulty of
meeting a target consistently.

• Tolerance design involves determining the permissible variation in a dimension. A


scientific approach to tolerance design uses the Taguchi loss function. Taguchi assumes
that losses can be approximated by a quadratic function so that larger deviations from
target correspond to increasingly larger losses. For the case in which a specific target
value, T, is determined to produce the optimum performance, and in which quality
deteriorates as the actual value moves away from the target on either side (called
“nominal is best”), the loss function is represented by L(x) = k(x - T)2.
Design for Quality and Product Excellence 3

• To study the dimensions of reliability—the ability of a product to perform as expected


over time. Formally, reliability is defined as the probability that a product, piece of
equipment, or system performs its intended function for a stated period of time under
specified operating conditions. In practice, the number of failures per unit time
determines reliability during the duration under consideration (called the failure rate),
look at functional failure at the start of product life (The early failure period is
sometimes called the infant mortality period), reliability failure after some period of
use.

• To understand why reliability is often modeled using an exponential probability


distribution and use the reliability function, specifying the probability of survival, which
is: R(T) = 1 – e-T.

• To explore systems composed of individual components with known reliabilities,


configured in series, in parallel, or in some mixed combination, and how it ties into
various aspects of design, including optimization, tolerance design, and design
verification.

• To learn that design optimization includes setting proper tolerances to ensure maximum
product performance and making designs robust; a scientific approach to tolerance
design uses the Taguchi loss function. Techniques for design verification include
formal reliability evaluation, using techniques such as accelerated life testing and burn-
in.

• To examine the characteristics of Design Failure Mode And Effects Analysis


(DFMEA) -- a methodology to identify all the ways in which a failure can occur, to
estimate the effect and seriousness of the failure, and to recommend corrective design
actions.

• Fault Tree Analysis (FTA), sometimes called cause and effect tree analysis, is a
method to describe combinations of conditions or events that can lead to a failure. In
effect, it is a way to drill down and identify causes associated with failures and is a good
complement to DFMEA.

• To investigate good product design, which anticipates issues related to cost,


manufacturability, and quality. Improvements in cost and quality often result from
simplifying designs, and employing techniques such as design for manufacturability
(DFM) – the process of designing a product for efficient production at the highest level
of quality.

• To study social responsibilities in the design process including product safety and
environmental concerns, which have made Design for Environment (DfE) and design
for disassembly important features of products, because they permit easy removal of
components for recycling or repair, eliminate other environmental hazards, and makes
repair more affordable.
Design for Quality and Product Excellence 4

• To explore Design for Excellence (DFX), an emerging concept that includes many
design-related initiatives such as concurrent engineering, design for manufacturability
design for assembly, design for environment and other “design for” approaches. DFX
objectives include higher functional performance, physical performance, user
friendliness, reliability and durability, maintainability and serviceability, safety,
compatibility and upgradeability, environmental friendliness, and psychological
characteristics.

• To introduce concept engineering (CE) -- a focused process for discovering customer


requirements and using them to select superior product or service concepts that meet
those requirements.

• To appreciate that the purpose of a design review is to stimulate discussion, raise


questions, and generate new ideas and solutions to help designers anticipate problems
before they occur.

• To understand techniques for design verification including formal reliability evaluation.


These include accelerated life testing, which involves overstressing components to
reduce the time to failure and find weaknesses; and burn-in, or component stress testing,
which involves exposing integrated circuits to elevated temperatures in order to force
latent defects to occur.

• To appreciate that Six Sigma performance depends on reliable measurement systems.


Common types of measuring instruments used in manufacturing today fall into two
categories: “low-technology” and “high-technology.” Low-technology instruments are
primarily manual devices that have been available for many years; high-technology
describes those that depend on modern electronics, microprocessors, lasers, or advanced
optics.

ANSWERS TO QUALITY IN PRACTICE KEY ISSUES

Testing Audio Components at Shure, Inc.

1. The general definition of reliability as: the probability that a product, piece of equipment,
or system performs its intended function for a stated period of time under specified
operating conditions, is thoroughly tested by Shure. Tests are tailored to various market
segments, according to the type of use (or abuse) the equipment is likely to incur. For the
consumer market, Shure uses the cartridge drop and scrape test, which is particularly
important to test for, in the light of how “scratch” DJ’s use the equipment. For
presentation and installation audio systems, they use the microphone drop test and
perspiration test. For mobile communications, the two above tests, temperature, and cable
and cable assembly flex tests are applicable. For the performance audio, the microphone
drop test, perspiration test, sequential shipping, cable and cable assembly flex, and
temperature storage would all be appropriate. The purpose of the tests is to simulate
actual operating conditions so that the products can sustain accidents and rough handling
Design for Quality and Product Excellence 5

and perform effectively over a useful life. Quality characteristics that are studied are
achieved reliability and performance.

2. For the microphone drop test, the measures are probably variable measures of sound and
response levels, within an acceptable range. Thus, standard variables control charts may
be used. For the perspiration test, it may be that a p-chart or u-chart is used for attribute
measures. The cable and cable assembly flex test might use a p-chart to measure the
percentage of cables tested that failed due to rocking motions or twisting motions. The
sequential shipping tests would probably show varying proportions of failures due to
dropping, vibration, and rough handling. These might be sorted out using a Pareto chart.
Then efforts could be made to improve the most frequently occurring causes. The
cartridge drop and scrape test could also use p- or np-charts (see Chapter 13) to show
results per sample of 100 repetitions of the test. The temperature tests would most likely
use standard variables charts to measure whether test performance was within control
limits, or not.

Applying QFD in a Managed Care Organization

1. Although this example of QFD involved the design of a tangible items, it is more difficult
to implement in a service context, as opposed to a pure manufacturing context, because
both customer requirements and technical requirements are harder to quantify and assess
that with tangible products.

2. The detailed calculations in the Importance of the hows row and Percentage of importance
of the hows row used to arrive at these figures can be shown and verified on the spreadsheet
labelled QIP-QFD Healthcare.xlsx. Note that some discrepancies involving incorrect
multiplication, were found in part of the QFD “House of Quality.”
Design for Quality and Product Excellence 6
Design for Quality and Product Excellence 7

Absol
Direction of Rate of Co. Rate of . % Font Use of Gloss. Q&A Tbl. of Lang.
Pla Improv Frindly
Improvement Import. Now n . Wgt. Improve size Update Photos colors Terms Sect. Contnt. .
Ease-use 4.5 3.2 4.5 1.4 6.3 25.2% 3 1 3 3 9 3 9 3
Accuracy 5.0 3.1 4.6 1.5 7.4 29.5% 9 1 3 1
Timeliness 3.2 3.8 3.8 1.0 3.2 12.7% 9 1
Clarity 3.8 2.6 3.9 1.5 5.7 22.7% 1 1 3 1 9 3 1 3
Conciseness 2.5 4.1 4.1 1.0 2.5 9.9% 1 1
Import. of hows 108.1 427.9 153.4 98.2 460.0 244.7 249.1 173.0
% of Import. of hows 5.65% 22.35% 8.01% 5.13% 24.03% 12.78% 13.01% 9.04%

The numbers in the original table were verified by the calculations shown above (some columns of the original table were rearranged for convenience
of calculation). The rates of improvement, absolute weights, and percent improvements, based on the given values for “rate of importance” and
“company now” and “plan” were validated. As in the original table, the “importance of hows” and “percent of importance of hows” turned out to be
accurately calculated. Specific factors shown as the most important were “glossary terms” and “updates.”
Design for Quality and Product Excellence 8

3. The lessons that can be learned and applied to other service organizations that seek to
design or redesign their products and services include the facts that QFD provides for a
systematic approach to linking the “voice of the customer” to operational requirements. By
doing so, operating efficiencies can be realized and customer satisfaction can be enhanced.
In addition, employee satisfaction often can be improved, as well, as found in the case. It
must be recognized that time and effort is involved in gathering, sorting, and analyzing the
characteristics and factors. Also, there is subjectivity in applying ratings and weights to
variables. Hence, the results are not easy to predict and guarantees are limited.

ANSWERS TO REVIEW QUESTIONS

1. Product design and development consists of six steps:


• Idea Generation. New or redesigned product ideas should incorporate customer
needs and expectations.
• Preliminary Concept Development. In this phase, new ideas are studied for
feasibility.
• Product/Process Development. If an idea survives the concept stage, the actual
design process begins by evaluating design alternatives and determining
engineering specifications for all materials, components, and parts. This phase
usually includes prototype testing, design reviews, and development, testing, and
standardization of the manufacturing processes
• Full-Scale Production. If no serious problems are found, the company releases the
product to manufacturing or service delivery teams.
• Market Introduction. The product is distributed to customers.
• Market Evaluation. An ongoing product development process that relies on
market evaluation and customer feedback to initiate continuous improvements.

2. Competitive pressures are forcing companies to reduce time to market, which means that
the time for product development is also squeezed. The problems incurred in speeding up
the process are well known. If done too hastily, the result will be the need to revise or
scrap the design, cost increases or project over-runs, difficulty in manufacturing the
product, early product failure in the field, customer dissatisfaction, and/or lawsuits due to
product liability. One of them most significant impediments to rapid design is poor intra-
organizational coordination. Reducing time to market can only be accomplished by
process simplification, eliminating design changes, and improving product
manufacturability. This requires involvement and cooperation of many functional groups
to identify and solve design problems in order to reduce product development and
introduction time.

3. Concurrent engineering is a process in which all major functions involved with bringing a
product to market are continuously involved with product development from conception
through sales. Such an approach not only helps achieve trouble-free introduction of
products and services, but also results in improved quality, lower costs, and shorter
product development cycles. Concurrent engineering involves multifunctional teams,
usually consisting of 4 to 20 members and including every specialty in the company. The
functions of such teams are to perform and coordinate the activities in the product
Design for Quality and Product Excellence 9

development process simultaneously, rather than sequentially. Companies exploit


concurrent engineering to achieve a competitive advantage. Typical benefits include 30 to
70 percent less development time, 65 to 90 percent fewer engineering changes, 20 to 90
percent less time to market, 200 to 600 percent improvement in quality, 20 to 110 percent
improvement in white collar productivity, and 20 to 120 percent higher return on assets.

4. Design for Six Sigma (DFSS) uses a set of tools and methodologies in the product
development process to ensure that goods and services will meet customer needs and
achieve performance objectives, and that the processes used to make and deliver them
achieve Six Sigma capability. DFSS consists of four principal activities:
• Concept development, in which product functionality is determined based upon
customer requirements, technological capabilities, and economic realities;
• Design development, which focuses on product and process performance issues
necessary to fulfill the product and service requirements in manufacturing or delivery;
• Design optimization, which seeks to minimize the impact of variation in production
and use, creating a “robust” design; and
• Design verification, which ensures that the capability of the production system meets
the appropriate sigma level

5. Concept development is the process of applying scientific, engineering, and business


knowledge to produce a basic functional design that meets both customer needs and
manufacturing or service delivery requirements. Developing new concepts requires
innovation and creativity.

Innovation involves the adoption of an idea, process, technology, product, or business


model that is either new or new to its proposed application. The outcome of innovation is
a discontinuous or breakthrough change and results in new and unique goods and services
that delight customers and create competitive advantage.

Innovations can be classified as:


1. An entirely new category of product; for example the iPod
2. First of its type on the market in a product category already in existence; for
example, the DVD player.
3. A significant improvement in existing technology, such as the blu-ray player
4. A modest improvement to an existing product, such as the latest iPad.
Creativity is seeing things in new or novel ways. In Japanese, the word creativity
has a literal translation as “dangerous opportunity.” Many creativity tools, such as
brainstorming and Brainwriting—a written form of brainstorming, are designed to
help change the context in which one views a problem or opportunity, thereby
leading to fresh perspectives. A creativity tool that finds extensive use in product
design is TRIZ, which is a Russian acronym for the Theory of Inventive Problem
Solving. TRIZ was developed by a Russian patent clerk who recognized that
concepts of inventive problem solving could be taught, in order to foster creative
problem solving.
Design for Quality and Product Excellence 10

Concept development is an important tool for assuring quality because it provides a


systematic process that leaves a strong audit trail back to the voice of the customer. This
makes it difficult to challenge the results of skeptics and convert them. The process also
helps to build consensus and gives design teams confidence in selling their concept to
management. However, it takes a lot of discipline and patience.

6. Conceptual designs must be translated into measurable technical requirements and,


subsequently, into detailed design specifications. Detailed design focuses on establishing
technical requirements and specifications, which represent the transition from a
designer’s concept to a producible design, while also ensuring that it can be produced
economically, efficiently, and with high quality.

7. QFD benefits companies through improved communication and teamwork between all
constituencies in the production process, such as between marketing and design, between
design and manufacturing, and between purchasing and suppliers. Product objectives are
better understood and interpreted during the production process. Use of QFD determines
the causes of customer dissatisfaction, making it a useful tool for competitive analysis of
product quality by top management. Productivity as well as quality improvements
generally follow QFD. QFD reduces the time for new product development. QFD allows
companies to simulate the effects of new design ideas and concepts. Companies can
reduce product development time and bring new products into the market sooner, thus
gaining competitive advantage.

8. In the QFD development process, a set of matrices is used to relate the voice of the
customer to a product’s technical requirements, component requirements, process control
plans, and manufacturing operations. The first matrix, called the House of Quality,
provides the basis for the QFD concept.

Building the House of Quality consists of six basic steps:

* Identify customer requirements.


* Identify technical requirements.
* Relate the customer requirements to the technical requirements.
* Conduct an evaluation of competing products or services
* Evaluate technical requirements and develop targets.
* Determine which technical requirements to deploy in the remainder of the
production/delivery process.
The first House of Quality in the QFD process provides marketing with an important tool
to understand customer needs and gives top management strategic direction. Three other
“houses of quality” are used to deploy the voice of the customer to (in a manufacturing
setting) component parts characteristics, process plans, and quality control. The second
house applies to subsystems and components. At this stage, target values representing the
best values for fit, function, and appearance are determined. In manufacturing, most of the
Design for Quality and Product Excellence 11

QFD activities represented by the first two houses of quality are performed by product
development and engineering functions.

In the last two stages, the planning activities involve supervisors and production line
operators. In the third house, the process plan relates the component characteristics to key
process operations, the transition from planning to execution. Key process operations are
the basis for a control point. A control point forms the basis for a quality control plan
delivering those critical characteristics that are crucial to achieving customer satisfaction.
This is specified in the last house of quality. These are the things that must be measured
and evaluated on a continuous basis to ensure that processes continue to meet the
important customer requirements defined in the first House of Quality.

9. Manufacturing specifications consist of nominal dimensions and tolerances. Nominal


refers to the ideal dimension or the target value that manufacturing seeks to meet;
tolerance is the permissible variation, recognizing the difficulty of meeting a target
consistently. Traditionally, tolerances are set by convention rather than scientifically. A
designer might use the tolerances specified on previous designs or base a design decision
on judgment from past experience. Setting inappropriate tolerances can be costly, since
tolerance settings often fail to account for the impact of variation on product
functionality, manufacturability, or economic consequences. The Taguchi loss function is
a scientific approach to tolerance design. Taguchi assumed that losses can be
approximated by a quadratic function so that larger deviations from target cause
increasingly larger losses.

10. The Taguchi loss function is a useful concept for process design. Taguchi suggests that
there is not strict cut-off point that divides good quality from poor quality. Rather, he
assumed that losses can be approximated by a quadratic function so that larger deviations
from target correspond to increasingly larger losses. For the case in which a specific target
value, T, is determined to produce the optimum performance, and in which quality
deteriorates as the actual value moves away from the target on either side (called “nominal
is best”), the loss function is represented by L(x) = k(x - T)2 where x is any actual value of
the quality characteristic and k is some constant. Thus, (x – T) represents the deviation
from the target, and the loss increases by the square of the deviation.

11. Reliability is the probability that a product, piece of equipment, or system performs its
intended function for a stated period of time under specified operating conditions. There are
four key components of this definition, including probability, time, performance, and
operating conditions. All of these have to be considered in a comprehensive definition of
reliability. Probability allows comparison of different products and systems, time allows us
to measure the length of life of the product, performance relates to the ability of the product
to do what it was designed to do, and operating conditions specify to amount of usage and the
environment in which the product is used.

12. A functional failure is one incurred at the start of the product's life due to defective materials,
components, or work on the product. A reliability failure is one that is incurred after some
period of use. For example, if a new TV set suffers a blown picture tube during the first week,
Design for Quality and Product Excellence 12

it's a functional failure. There was obviously a defect in the manufacture of the tube. If the
vertical hold feature of the set goes out (perhaps 3 days after the 1 year warranty is up), that
is a reliability failure. It should reasonably be expected to last much longer than one year, but
it didn't.

13. Reliability engineers distinguish between inherent reliability, which is the predicted
reliability determined by the design of the product or process, and the achieved
reliability, which is the actual reliability observed during use. Achieved reliability can be
less than the inherent reliability due to the effects of the manufacturing process and the
conditions of use.

14. Failure rate is defined as the number of failures per unit of time during a specified time period
being considered. For example, if 15 MP-3 players were tested for 500 hours and there were
two failures of the units, the failure rate would be: 2 / (15 x 500) = 1 / 3750 or 0.000267.

15. The product life characteristics curve, is the so-called "bath-tub curve" because of its shape.
It is actually the failure rate curve, described above. Such curves can be used to understand
the distinctive failure rate patterns of various designs and products, over time.

16. The reliability function represents the probability that an item will not fail within a certain
period of time, T. It is directly related to the cumulative distribution function: F(T) =
1 - e-T, that yields the probability of failures. Since F(T) is the probability of failure, the
reliability function, R(T) can be defined as the complement, e.g. probability of not failing:

R(T) = 1 - (1 - e-T) = e-T

It can also be expressed using the mean time to failure (MTTF) value  as: R(T) = e-T/

17. The reliability of series, parallel, and series parallel is relatively easy to compute, given the
reliability of components in each system. For the series system, RS = R1R2R3. Thus reliabilities
are multiplicative.

For a parallel system, the relationships are a little more complex, since the units are designed
to use redundant components, so that if one unit fails the system can continue to operate. The
system reliability is computed as:

RS = 1 - [(1 - R1)(1 - R2)(1 - Rn)]

For series-parallel systems, the equivalent reliabilities of each parallel sub-system are
calculated, successively, until there are no more parallel sub-systems. The system is then
reduced to a serially equivalent system in which all component reliabilities can be
multiplied to get the final reliability value.

18. Robust design refers to designing goods and services that are insensitive to variation in
manufacturing processes and when consumers use them. Robust design is facilitated by
design of experiments to identify optimal levels for nominal dimensions and other tools
Design for Quality and Product Excellence 13

to minimize failures, reduce defects during the manufacturing process, facilitate assembly
and disassembly (for both the manufacturer and the customer), and improve reliability.

19. The purpose of Design Failure Mode and Effects Analysis (DFMEA) is to identify all the
ways in which a failure can occur, to estimate the effect and seriousness of the failure,
and to recommend corrective design actions. A DFMEA usually consists of specifying
the following information for each design element or function: Failure modes; effect of
the failure on the customer; severity, likelihood of occurrence, and detection rating;
potential causes of failure, and corrective actions or controls. A simple example of a
DFMEA for an ordinary household light socket is provided in the chapter.

20. Fault Tree Analysis (FTA), sometimes called cause and effect tree analysis, is a method
to describe combinations of conditions or events that can lead to a failure. In effect, it is
a way to drill down and identify causes associated with failures and is a good
complement to DFMEA. It is particularly useful for identifying failures that occur only
as a result of multiple events occurring simultaneously. In other words FTA is a tool for
carrying out the entire DFMEA process.

21. Product design can have a major impact on manufacturability. If careful thought and
planning is not done by the designer (or design team), the end product can end up being
difficult or impossible to build due to placement of components, methods for
attachments, “impossible” tolerances, difficulties in attaching or fastening components
and/or difficulties in getting the whole assembled “system” to work smoothly, even with
the highest quality components. In addition time, materials, and other resources may be
wasted unnecessarily due to a poor manufacturing design.

The concept of Design for Manufacturability (DFM) is the process of designing a product so
that it can be produced efficiently at the highest level of quality. Its goal is to improve quality,
increase productivity, reduce lead time (time to market, as well as manufacturing time) and
maintain flexibility to adapt to future market conditions.

22. Key design practices for high quality in manufacturing and assembly include: 1) analyze all
design requirements to assess proper dimensions and tolerances, 2) determine process , 3)
identify and evaluate possible manufacturing quality problems, 4) select manufacturing
processes that minimize technical risks, and 5) evaluate processes under actual
manufacturing conditions.

23. Social responsibilities in the design process include safety and environmental concerns,
which have made Design for Environment (DFE) and Design for Disassembly important
features of products. Legal and environmental issues are becoming critical in designing
products and services, today. Product safety and its consequences, product liability, should
be of primary concern because of the damage that hazardous designs can do to consumers of
the product. Also, liability lawsuits can do major damage to the financial health of an
organization, as well as its image and reputation in the marketplace. Records and
documentation relating to the design process are the best defense against liability lawsuits.
These would include records on prototype development, testing, and inspection results.
Design for Quality and Product Excellence 14

Environmental issues involve questions of whether “environmentally friendly” designs


(those that minimize damage to the environment in manufacture and product use) are being
developed, what impacts will the design of the product have on the environment when it is
scrapped, and how can consumers be given the most value for their money, while balancing
the other two issues? The above questions can often be addressed by considering it as a
“design for environment” concept (often combined with and “design for disassembly”).
What is the best design for repairability/recylability?

24. Design for Excellence (DFX) is an emerging concept that includes many design-related
initiatives such as concurrent engineering, design for manufacturability design for
assembly, design for environment and other “design for” approaches. DFX objectives
include higher functional performance, physical performance, user friendliness, reliability
and durability, maintainability and serviceability, safety, compatibility and upgradeability,
environmental friendliness, and psychological characteristics. DFX represents a total
approach to product development and design involves the following activities:
• Constantly thinking in terms of how one can design or manufacture products better,
not just solving or preventing problems
• Focusing on “things done right” rather than “things gone wrong”
• Defining customer expectations and going beyond them, not just barely meeting them
or just matching the competition
• Optimizing desirable features or results, not just incorporating them
• Minimizing the overall cost without compromising quality of function

25. The purpose of a design review is to stimulate discussion, raise questions, and generate
new ideas and solutions to help designers anticipate problems before they occur. To
facilitate product development, a design review is generally conducted in three major
stages of the product development process: preliminary, intermediate, and final. The
preliminary design review establishes early communication between marketing,
engineering, manufacturing, and purchasing personnel and provides better coordination
of their activities. It usually involves higher levels of management and concentrates on
strategic issues in design that relate to customer requirements and thus the ultimate
quality of the product. The preliminary design review evaluates such issues as the
function of the product, conformance to customer’s needs, completeness of
specifications, manufacturing costs, and liability issues.

After the design is well established, an intermediate review takes place to study the
design in greater detail to identify potential problems and suggest corrective action.
Personnel at lower levels of the organization are more heavily involved at this stage.
Finally, just before release to production, a final review is held. Materials lists, drawings,
and other detailed design information are studied with the purpose of preventing costly
changes after production setup.

26. Methods of product testing for reliability include: life testing, accelerated life testing,
environmental testing and vibration and shock testing. In life and accelerated life testing the
product is tested until it fails. The latter speeds up the process by overstressing the item to
Design for Quality and Product Excellence 15

hasten its eventual failure. Environmental and shock tests are performed to determine the
product's ability to survive and operate under adverse conditions of heat, cold, or shock.

SOLUTIONS TO PROBLEMS

Note: Data sets for several problems in this chapter are available in the Excel workbook
C07Data on the Student Companion Site for this chapter accompanying this text. Click on the
appropriate worksheet tab as noted in the problem (e.g., Prob. 7-5) to access the data.

1. A hospital developed a design process consisting of the following steps: Plan, Design,
Measure, Assess, and Improve. Below is a list of specific activities that comprise these five
steps in random order. Place the activities in the most appropriate order within the correct
step of the design process.
Pilot or test design
Submit proposal
Define measures to assess design performance
Implement design
Identify potential solutions to reduce out of control conditions
Develop business plan
Disseminate improvements throughout the organization
Monitor process performance
Select the best solution to improve control
Identify out of control conditions
Propose new concept
Create design to meet requirements
Identify new improvement opportunities
Monitor the new process design
Implement the best solution to improve control
Verify proposal alignment with strategic objectives
Establish design team
Identify causes of out of control conditions
Analyze causes
Identify and validate customer requirements
Identify and evaluate best practices

Answer

1. Although the terms might vary slightly, the following model captures the stages of the
design process for the hospital:
Design for Quality and Product Excellence 16

2. Newfonia, Inc., is working on a design for a new smartphone. Marketing staff conducted
extensive surveys and focus groups with potential customers to determine the
characteristics that the customers want and expect in a smartphone. Newfonia’s studies
have identified the most important customer expectations as
• Initial cost
• Reliability
• Ease of use
• Features
• Operating cost
• Compactness

Develop a set of technical requirements to incorporate into the design of a House of


Quality relationship matrix to assess how well your requirements address these
expectations. Refine your design as necessary, based upon the initial assessment.

Answer

2. Analysis of customer responses for Newfonia’s proposed smartphone indicates the likelihood
of several strong relationships between customer requirements and associated technical
requirements of the design, such as value vs. price; features vs. compactness; and ease of use
vs. features. Operating costs may possibly be distantly related to initial cost and features.
Technical characteristics required to translate the “voice of the customer” into operational or
engineering terms might be measures of purchase cost, operating programs (e.g., BranchOS,
or other similar systems), number and type of features, weight, dimensions, battery life, cost
of replacement batteries, and peripherals.
Design for Quality and Product Excellence 17

3. Newfonia, Inc. (Problem 2), faces three major competitors in this market: Oldphonia,
Simphonia, and Colliefonia. It found that potential consumers placed the highest
importance on reliability (measured by such things as freedom from operating system
crashes and battery life), followed by compactness (weight/bulkiness), followed by
flexibility (features, ease of use, and types of program modules available). The operating
cost was only occasionally noted as an important attribute in the surveys. Studies of their
products yielded the information shown in the table in C07Data file for Prob.7-3on the
Student Companion Site for this chapter. Results of the consumer panel ratings for these
competitors are also shown in that spreadsheet. Using this information, modify and
extend your House of Quality from Problem 1 and develop a deployment plan for the
new smartphone. On what attributes should the company focus its marketing efforts?

Answer

3. With the new data given for Newfonia’s potential customers, a partial House of Quality
for the design of the smartphone can be built, as shown below. Note the strong
relationships between customer requirements and associated technical requirements of
the smartphone design.

The inter-relationships of the roof are not shown (limitations of MSWord software), but
these may be sketched in. For example, they would show a strong inter-relationship between
size and weight.

PARTIAL HOUSE OF QUALITY MATRIX


FOR NEWPHONIA’S SMARTPHONE CASE

Cost Size Wt. Featr. Opr.P Bat. Opr. Importan Compet Selling
(in.) (oz.) (num.) rog. Life Cost ce Eval. Pts.
12 3 45 1234
12 3 45 5
Reliable Keeps    • x GS H *
operating
Compact Fits • x GSH
pocket
Not heavy   •  x SG Q

Features Calendar,  •  x GS H *
contact
mgt., etc.
Ease of Intuitive  • • x QS G *
use operations
Value Good •  • x Q SG *
value
Competitive
Evaluation: 3 4 5 4 5 5 5
Oldphonia
Simfonia 5 4 3 2 2 2 3 • = Very strong relationship
Colliefonia 4 4 3 3 4 3 4  = Strong relationship
Design for Quality and Product Excellence 18

Targets $250 5 x 6 oz. 10 Win. 35 Mod  = Weak relationship


3.2 CE .
Deployment * * *

This analysis suggests that Newfonia should try to position itself between Simfonia and
Colliefonia in price and features. It should build on the strength of the customer’s reliability
concern, keeping battery life near 35 hours and use a proven operating program, such as
BranchOS. Enough features (10) should be offered to be competitive. If Newfonia can design
a high-value smartphone and sell it at an attractive price (say, $250 or less), it should be a
very profitable undertaking.

4. Georgio’s Giant Gyros conducted consumer surveys and focus groups concerning a new
giant gyro sandwich design, and the facility to sell it, and identified the most important
customer expectations (not in any order of priority) as
• Tasty, attractive, moderately healthy food
• Speedy service
• An easy-to-read menu board
• Accurate order filling
• Perceived value
Develop only a set of technical requirements to incorporate into the design of the product
and its delivery. Use a House of Quality relationship matrix to assess how well your
requirements address these expectations. Include some technical dimensions that may be
used to measure tasty, attractive, and “healthy” food; speedy service, acceptable menu
boards, order accuracy, or perceived value. Refine your design as necessary based upon
the initial assessment.

Answer

4. Analysis of customer responses for Georgio’s Giant Gyros indicates that there are likely to
be several strong relationships between customer requirements and associated technical
requirements of the product and delivery system that Georgio designs (for example, a giant
gyro product). Some strong relationships may be seen between moistness/flavor and trans-fat;
calories/sodium/t-fat and nutrition; staffing levels and work procedures; kitchen capacity and
facility layout; value and price; etc..

Note the three customer response categories that are unrelated to the design of the gyros --
order accuracy, speedy service, and menu board. These factors will probably require a
separate analysis as part of a facility and process design, thus focusing on the product in one
case, and the service delivery system in the other.
Design for Quality and Product Excellence 19

PARTIAL HOUSE OF QUALITY MATRIX


FOR GEORGIO’S GIANT GYROS
Facility Work Imprtnce Compet. Selling
Eval. Pts.
Price Size Calories Sodium % t-Fat layout procedures 12 3 45 12 3 4 5 12 3 45
Taste Moistness     •  
Flavor     •  
Health Nutritious   • • •  

Visual Visually       
Appealing
Speedy Number of       •
service staff
Kitchen      • •
capacity
Menu Size & font      • 
Order Order check       •
accurac process
y
Value Good Value •      
Competitive Evaluation:

• = Very strong relationship


 = Strong relationship
 = Weak relationship
Design for Quality and Product Excellence
20

5. Georgio’s Giant Gyros (Problem 4) acquired some additional information about product
characteristics. It found that consumers placed the highest importance on taste appeal
(especially flavor) and order accuracy, followed by healthy food (measured by sodium
content and calories), value, and service. The menu board was only casually noted as one
of the least important attributes in the surveys. Georgio faces three major competitors in
this market: Mario’s, Gyroking, and Antonio’s. Studies of their products yielded the
information shown in the worksheet tab Prob.7-4 in the Excel file C07Data on the
Student Companion Site for this chapter. Results of the consumer panel ratings for each
of these competitors can also be found there (a 1–5 scale, with 5 being the best). Using
this information, modify and extend your House of Quality from Problem 2 and develop
a deployment plan for a new gyro. Assume that a separate study will be made on the
physical facilities. On what attributes should the company focus its marketing efforts?

Answer

5. With the new data given in C07Data.xlsx for Prob. 7-05 for Georgio's customers, a partial
House of Quality for the design of the gyros can be built, as shown below. Note that the
relationships between customer requirements (flavor, health, value) and associated
technical requirements (% fat, calories, sodium, price) of the gyro design are strong. Note
also that the focus here is on design of the product, not the service aspects of order
accuracy and service.

The inter-relationships of the roof are not shown, due to the limitations of MS Word®
software. These may be sketched in. For example, they would show strong inter-
relationship between % t-Fat and calories.
Design for Quality and Product Excellence 21

PARTIAL HOUSE OF QUALITY MATRIX


FOR GEORGIO’S GIANT GYROS
Facility Work Imprtnce Compet. Selling
Eval. Pts.
Price Size Calories Sodium % t-Fat layout procedures 12 3 45 12 3 4 5 12 3 45
Taste Moistness     •   A GK GA K

Flavor     •   AKG GKA

Health Nutritious   • • •   AKG K AG *

Visual Visually        AKG AG K


Appealing
Speedy Number of       • AKG KAG
service Staff
Kitchen      • • AKG AGK *
capacity
Menu Size & font      •  AKG A KG

Order Order check       • KAG KAG *


accuracy process
Value Good Value •       KAG K AG *

Competitive Evaluation:
Georgio’s 5 3 5 3 5 4 5
Gyroking 3 5 4 5 2 3 4
Antonio's 4 4 3 3 4 5 3
$0.51/ 5.5 70/oz 110/ oz. 13% Improve Hold gains
Georgio’s Targets oz. oz.
• = Very strong relationship
 = Strong relationship
 = Weak relationship
Design for Quality and Product Excellence
22
ANSWER – CONTINUED

5. The Importance and Competitive Evaluation of customer requirements can be read


from the survey results in the data tables in spreadsheet Prob07-05.xlsx that are provided,
and placed under their respective columns

Georgio’s Giant Gyros technical requirements must be placed on a more equal basis, which
would best be shown as units/ounce, except for the percent fat value. These are shown
below.

Company Price/Oz. Calories/Oz.* Sodium/Oz.* Fat (%) *


Georgio's $0.545 80.0 159.1 13
Kingyro $0.567 85.3 124.0 23
Antonio's $0.542 90.0 158.3 16

* Lower is better

Thus, we can see from the competitive evaluation of technical characteristics and Georgio’s
targets, that if Georgio’s is already low in price per ounce, as well as calories, and percent fat,
its new product is leaner and healthier, as well as being cost effective. This analysis suggests
that Georgio’s might consider increasing its size and flavor, which may indirectly affect its
visual appeal, as well. However, Georgio has not targeted the size for an increase. At the same
time, it should build on the strength of the nutrition trend by keeping the percent fat and
sodium low. Georgio's has targeted sodium for a major reduction, from 159/oz. to 110/oz., and
slightly reducing the number of calories per ounce, from 80 to 70, to be even more
competitive. The facilities need some minor improvements, but their work procedures appear
to be customer-pleasing. They merely need to hold the gains. If Georgio’s can design a
flavorful, healthy, 5.5 oz. gyro and continue to sell it at the current attractive price or $3.00,
it should be a very profitable undertaking.

6. A blueprint specification for the thickness of a refrigerator part at Refrigaria, Inc. is 0.300
± 0.025 centimeters (cm). It costs $25 to scrap a part that is outside the specifications.
Determine the Taguchi loss function for this situation.

Answer

6. The Taguchi Loss Function for refrigerator part at Refrigaria, Inc. is: L(x) = k (x - T)2

$25 = k (0.025)2
k = 40000

 L(x) = k (x - T)2 = 40000 (x - T)2

7. A team was formed to study the refrigerator part at Refrigaria, Inc. described in Problem
6. While continuing to work to find the root cause of scrap, they found a way to reduce the
scrap cost to $15 per part.
a. Determine the Taguchi loss function for this situation.
Design for Quality and Product Excellence
23
b. If the process deviation from target can be reduced to 0.015 cm, what is the Taguchi
loss?

Answer

7. The Taguchi Loss Function is: L(x) = k (x - T)2

a) $15 = k (0.025)2
k = 24000

 L(x) = k (x - T)2 = 24000 (x - T)2

b) L(x) = 24000 (x - T)2

 L(0.015) = 24000 (0.015)2 = $5.40

8. A specification for the length of an auto part at PartsDimensions, Inc. is 5.0 ± 0.10
centimeters (cm). It costs $40 to scrap a part that is outside the specifications. Determine
the Taguchi loss function for this situation.

Answer

8. The Taguchi Loss Function is: L(x) = k (x - T)2

$40 = k (0.10)2
k = 4000

 L(x) = k (x - T)2 = 4000 (x - T)2

9. A team was formed to study the auto part at PartsDimensions described in Problem 8.
While continuing to work to find the root cause of scrap, the team found a way to reduce
the scrap cost to $20 per part.
a. Determine the Taguchi loss function for this situation.
b. If the process deviation from target can be reduced to 0.040 cm, what is the Taguchi
loss?

Answer

9. The Taguchi Loss Function is: L(x) = k (x - T)2

a) $20 = k (0.10)2
k = 2000

 L(x) = k (x - T)2 = 2000 (x - T)2

b) L(x) = 2000 (x - T)2


Design for Quality and Product Excellence
24
 L(0.040) = 2000 (0.040)2 = $ 3.20

10. Ruido Unlimited makes electronic soundboards for car stereos. Output voltage to a certain
component on the board must be 12 ± 0.5 volts. Exceeding the limits results in an estimated
loss of $60. Determine the Taguchi loss function.

Answer

10. The Taguchi Loss Function is: L(x) = k (x - T)2

$60 = k (0.5)2
k = 240

 L(x) = k (x - T)2 = 240 (x - T)2

11. An electronic component at Eltcomp has a specification of 100 ± 0.4 ohms. Scrapping the
component results in a $81 loss.
a. What is the value of k in the Taguchi loss function?
b. If the process is centered on the target specification with a standard deviation of 0.2
ohm, what is the expected loss per unit?

Answer

11. For Eltcomp’s specification of 100 ± 0.4 ohms:

a) L(x) = k (x - T)2
$81 = k (0.4)2
k = 506.25

b) EL(x) = k ( 2 + D2) = 506.25 ( 0.22 + 02 ) = $20.25

12. An automatic cookie machine at AutoCM, Inc., must deposit a specified amount of 25 ±
0.3 grams (g) of dough for each cookie on a conveyor belt. It costs $0.03 to scrap a
defective cookie. A sample of 50 cookies was drawn from the production process, which
has been determined to be approximately normally distributed, and the results, in grams,
can be found in worksheet tab Prob.7-12 in the Excel file C07Data file on the Student
Companion Site for this chapter.
a. What is the value of k in the Taguchi loss function?
b. Determine how much the process varies from the target specification, based on the
mean difference and standard deviation of the sample results. What is the expected loss
per unit?

Answer

12. For a specification of 25 ± 0.3 grams and a $0.03 scrap cost:


Design for Quality and Product Excellence
25
Analysis of the dataset for Prob. 7-12 provides the following statistics:

x = 25.0056; D = 25.0056 - 25.00000 = 0.0056


 = 0.0566

a) L(x) = k (x - T)2
$0.03 = k (0.3)2
k = 0.333

b) For  = 0.0566

EL(x) = k ( 2 + D2) = 0.333 (0.05662 + 0.00562 ) = $0.0011

See spreadsheet Prob07-12.xlsx for details.

13. A computer chip designed by the MicroKeeb Co. has a specification for the distance
between two adjacent pins of 2.000 ± 0.002 mm. The loss due to a defective chip is $4. A
sample of 25 chips was drawn from the production process and the results, in millimeters,
can be found in the worksheet tab Prob. 7-13 in the Excel file C07Data file.
a. Compute the value of k in the Taguchi loss function.
b. What is the expected loss from this process based on the sample data?

Answer

13. For a specification of 2.000 ± .002 mm and a $4 scrap cost:

Analysis of the dataset for problem 7-13 provides the following statistics:

x = 2.00008; D = 2.00008 - 2.00 = 0.00008


 = 0.00104

a) L(x) = k (x - T)2
$4 = k (0.002)2  k = 1,000,000

b) EL(x) = k (2 + D2) = 1,000,000 ( 0.001042 + 0.000082 ) = $1.088

See spreadsheet Prob07-13.xlsx for details.

14. In the production of Raphael Transformers, any output voltage that exceeds 120 ± 10 volts
is unacceptable to the customer. Exceeding these limits results in an estimated loss of $200.
However, the manufacturer can adjust the voltage in the plant by changing a resistor that
costs $2.25.
a. Determine the Taguchi loss function.
b. Suppose the nominal specification is 120 volts. At what tolerance should the transformer
be manufactured, assuming that the amount of loss is represented by the cost of the
resistor?
Design for Quality and Product Excellence
26

Answer

14. a) The Taguchi Loss function is: L(x) = k (x - T)2

200 = k (100)2
k = 0.5

So, L(x) = 0.5 (x-T)2

b) $2.25 = 0.5 (x-120)2

4.50 = (x - 120)2

(x - T)Tolerance = 4.50 = 2.12 volts

2.12 = x - 120

 x = 122.12

15. At Elektroparts Manufacturers’ integrated circuit business, managers gathered data from a
customer focus group and found that any output voltage that exceeds 55 ± 0.5 volts was
unacceptable to the customer. Exceeding these limits results in an estimated loss of $75.
However, the manufacturer can still adjust the voltage in the plant by changing a resistor
that costs $2.00.
a. Determine the Taguchi loss function.
b. Suppose the nominal specification remains at 55 volts. At what tolerance should the
integrated circuit be manufactured, assuming that the amount of loss is represented by the
cost of the resistor?
Answer

15. a) The Taguchi Loss function is: L(x) = k (x - T) 2

75 = k (0.5)2
k = 300

So, L(x) = 300 (x-T)2

b) The Taguchi Loss function is: L(x) = k (x - T) 2

$2.00 = 300 (x-55)2


0.00667 = (x - 55)2

(x - T)Tolerance = 0.00667 = 0.0817 volts

0.0817 = x - 55
Design for Quality and Product Excellence
27

 x = 55.0817

16. Two processes, P and Q, are used by a supplier to produce the same component, Z, which
is a critical part in the engine of the BearingPort 778 airplane. The specification for Z calls
for a dimension of 0.24 mm ± 0.03. The probabilities of achieving the dimensions for each
process based on their inherent variability are shown in the table found in the C07Data file
for Prob.7-16 on the Student Companion Site for this chapter. If k = 60,000, what is the
expected loss for each process? Which would be the best process to use, based on
minimizing the expected loss?

Answer

16. For the BearingPort 778 plane parts (see spreadsheet Prob07-16.xlsx for detailed
calculations):

Specifications are 24 ± 3 mm

L(x) = 60000 (x - T)2

For a typical calculation:

 L(0.21) = 60000 (0.21 - 0.24)2 = $ 54.00

Weighted loss = 0.12 X $54.00 = $ 6.48

BearingPort Airplane Co.

Calculation of Taguchi Loss Values

Process P Weighted Process Q Weighted


Value Loss ($) Probability Loss ($) Probability Loss ($)
0.20 96.00 0 0.00 0.02 1.92
0.21 54.00 0.12 6.48 0.03 1.62
0.22 24.00 0.12 2.88 0.15 3.60
0.23 6.00 0.12 0.72 0.15 0.90
0.24 0.00 0.28 0.00 0.30 0.00
0.25 6.00 0.12 0.72 0.15 0.90
0.26 24.00 0.12 2.88 0.15 3.60
0.27 54.00 0.12 6.48 0.03 1.62
0.28 96.00 0 0.00 0.02 1.92
Expected Loss 20.16 16.08

Therefore, Process Q incurs a smaller loss than Process P, even though some output of Q
falls outside specifications.
Design for Quality and Product Excellence
28

17. The average time to handle a call in a the Call-Nowait call processing center has a
specification of 6 ±1.25 minutes. The loss due to a mishandled call is $12. A sample of 25
calls was drawn from the process and the results, in minutes, can be found in the C07Data
file for Prob.7-17 on the Student Companion Site for this chapter.
a. Compute the value of k in the Taguchi loss function.
b. What is the expected loss from this process based on the sample data?

Answer

17. For a specification of 6  1.25 minutes and a $12 call mishandling cost:

x = 6.016; D = 6.016 - 6.00 = 0.016


 = 0.8957

a) L(x) = k (x - T)2
$12 = k (1.25 )2 ;  k = 7.68

b) E [L(x) = k (2 + D2)] = 7.68 ( 0.89572 + 0.0162 ) = $6.164

(See spreadsheet Prob07-17.xlsx for details).Note this spreadsheet is a slightly adjusted


version of the Ch6BasicStats spreadsheet from Chapter 6.

18. Massive Corporation’s tested five motors in a 900-hour test. Compute the failure rate if,
three failed after 200, 475, and 750 hours and the other two ran for the full 900 hours
each.

Answer

18. Massive Corporation’s motors have a failure rate of:

= 3 = 3 = 0.00093 failures / hour


[(2 x 900) + 200 +475 + 750] 3225

19. The life of a Supercellular phone battery is normally distributed with a mean of 950 days
and standard deviation of 40 days. Using the Excel functions (see Chapter 6), determine
the following:
a. What fraction of batteries is expected to survive beyond 1010 days?
b. What fraction will survive fewer than 900 days?
c. Draw a chart of the reliability function using Excel.
d. What length of warranty is needed so that no more than 10 percent of the batteries will
be expected to fail during the warranty period?

Answer
Design for Quality and Product Excellence
29

19. a) P(x > 1010) = 1 – P(x < 1010)

Using the Excel NORMDIST (1010,950,40,TRUE) = 0.9332

𝑥− 𝑥̅ 1010−950
P(x > 1010) = 1 − 𝑃 (𝑧 < 𝜎 ) = 1 − 𝑃 (𝑧 < ) = 1 − 0.9332 = 0.0668
40
or 6.68% should survive beyond 1010 days.

𝑥− 𝑥̅ 900−950
b) P (x < 900) = 𝑃 (𝑧 < ) = 𝑃 (𝑧 < ) = 0.1057 or 10.57% should survive
𝜎 40
less than 900 days

NORMDIST (900,950,40,TRUE) = 0.1057 can be read directly.

c) The reliability function looks approximately as follows (see spreadsheet Prob07-18.xlsx for
details):

Reliability Curve
1.000
0.900
0.800
0.700
Probability

0.600
0.500
0.400 Reliability
0.300
0.200
0.100
0.000
775 800 825 850 875 900 925 950 975 1000 1025 1050
Battery Life - Hours

c) Let xw be the limit of the warranty period.

𝑥−950
P (x < xw) = 0.10; z = -1.28, for 𝑃 (𝑧 = ) = −1.28 , xw = 898.8 hours for the
40
warranty limit.

Using the Excel NORM.S.INV (0.10) we find z = -1.28. The approximate value can be read
from the tabulated and curve values as being between 898 and 902 on the Z Value Given
Probability tab of spreadsheet Prob07-18.xlsx.
Design for Quality and Product Excellence
30

20. Widetred, Inc. makes automobile tires that have a mean life of 60,000 miles with a
standard deviation of 2,000 miles. Using Excel functions (see Chapter 6), determine the
following:
a. What fraction of tires is expected to survive beyond 63,250 miles?
b. What fraction will survive fewer than 56,600 miles?
c. Draw a chart of the reliability function using Excel.
d. What length of warranty is needed so that no more than 5 percent of the tires will be
expected to fail during the warranty period?

Answer

20. a) P(x > 63250) = 1 – P(x < 63250)

Using the Excel NORMDIST (63250,60000,2000,TRUE) = 0.9479

𝑥− 𝑥̅ 63250−60000
P(x > 63250) = 1 − 𝑃 (𝑧 < 𝜎 ) = 1 − 𝑃 (𝑧 < ) = 1 − 0.9479 = 0.0521
2000
or 5.21% should survive beyond 63,250 miles.

𝑥− 𝑥̅ 56600−60000
b) P (x < 56600) = 𝑃 (𝑧 < 𝜎 ) = 𝑃 (𝑧 < ) = 0.0446 or 4.46% should
2000
survive less than 56,600 days

NORMDIST (56600,60000,2000,TRUE) = 0.0466 can be read directly.

c) The reliability function looks approximately as follows (see spreadsheet Prob07-20.xlsx for
details):
Design for Quality and Product Excellence
31

d) Let xw be the limit of the warranty period.

𝑥−60000
P (x < xw) = 0.05; z = -1.64, for 𝑃 (𝑧 = ) = −1.64 , xw = 56,720 miles for the
2000
warranty limit.

Using the Excel NORM.S.INV (0.05) we find z = -1.64. The approximate value can be read
from the tabulated and curve values as being between 56,600 and 56,800 on the Z Value Given
Probability tab of spreadsheet Prob07-20.xlsx

21. Livelong, Inc.’s computer monitors have a failure rate of 0.00095 units per hour. What is
the reliability function? Assuming an exponential distribution, what is the probability of
failure within 5,000 hours? Calculate your answer using the appropriate mathematical
formula and verify your result using Excel.

Answer

21. The reliability function for Livelong, Inc.’s monitors is R(T) = 1 - F(T) = e-T

 = 0.00095; Use F(T) = P(x < 5000)

F(T) = P(x < 5000) = 1 - e-0.00095 (5000) = 1- 0.008652 = 0.99135 or 99.14% probability that a
monitor will survive less than 5,000 hours

Note that the cumulative exponential distribution in spreadsheet Prob07-21.xlsx shows the
same value for EXP.DIST (5000,0.00095, TRUE) = 0.99135.

22. An electronic component in a satellite radio has failure rate of = .000015. Find the mean
time to failure (MTTF). What is the probability (assuming an exponential probability
distribution) that the component will not have failed after 12,000 hours of operation?
Calculate your answer using the appropriate mathematical formula and verify your result
using Excel.

Answer
1 1
22. The MTTF for the component is 𝜃 = = ; so,  = 66666.67
𝜆 0.000015

R (T) = e- T/ = e- 12000 / 66666.67 = e -0.18 = 0.8352 or 83.52% probability of surviving for at
least 12,000 hours

Note that the cumulative exponential distribution in spreadsheet Prob07-22.xlsx shows the
value for EXP.DIST (12000,0.000015, TRUE) = 0.16473, which is the cumulative probability
of failure. Then, the probability of NOT failing is 1- 0.16473 = 0.8352.

23. The MTBF of an integrated circuit made by Outer Limits, Inc.is 18,000 hours. Calculate
the failure rate.
Design for Quality and Product Excellence
32
Answer
1
23. The failure rate () for integrated circuits is: = = 0.000056 failures / hr.
18000

24. A manufacturer of MP3 players, purchases major electronic components as modules. The
reliabilities of components differ by supplier (see diagram, below). Suppose that the
configuration of the major components is given by:

The components that can be purchased from three different suppliers. The reliabilities of
the components are as follows:
Component Supplier 1 Supplier 2 Supplier 3
A 0.98 0.96 0.95
B 0.95 0.97 0.98
C 0.99 0.96 0.94
Transportation and purchasing considerations require that only one supplier be chosen.
Which one should be selected if the radio is to have the highest possible reliability?

Answer

24. Supplier 1: RaRbc = (0.98) [1 - (1 - 0.95)(1 - 0.99)] = 0.980


Supplier 2: RaRbc = (0.96) [1 - (1 - 0.97)(1 - 0.96)] = 0.959
Supplier 3: RaRbc = (0.95) [1 - (1 - 0.98)(1 - 0.94)] = 0.949

Therefore, choose Supplier 1.

25. An electronic missile guidance system consists of: Components A, B, C, and D which
have reliabilities of 0.98, 0.97, 0.91, and 0.99, respectively (see the following diagram).
What is the reliability of the entire system?

a. What is the reliability of the entire system?


b. Suppose the customer requires a reliability of at least 0.98. Try to find a configuration
that meets this requirement using the minimum number of components.

Answer

25. a) The reliability of the parallel Rcc shown in the diagram from the problem above, is
calculated as:

Rcc = 1 - (1 - 0.91) 2 = 0.99


Design for Quality and Product Excellence
33

RaRbRccRd = (0.98)(0.97) (0.99)(0.99) = 0.932

b) A configuration that meets the 0.98 reliability requirement is difficult, but can be
attained by providing backup components for a. b. and c. In other words a, b, and c must
all be in parallel with a second a, b, and c component.

Rcc = 1 - (1 - 0.98) 2 = 0.9996


Rcc = 1 - (1 - 0.97) 2 = 0.9991
Rcc = 1 - (1 - 0.91) 2 = 0.9919

RaRbRccRd = (0.9996)(0.9991) (0.9919)(0.99) = 0.9807

26. Bestronics has a three-step process for processing customer sales. First, the cashier must
look up the customer’s loyalty card on the company’s information system. Second, the
cashier enters the transaction on the point-of-sale register. Third, the cashier processes
the credit card through a verification system.
a. If the reliability of the information system is 0.998, the reliability of the point-of-sale
register is 0.992 and the reliability of the credit card verification system is 0.978, what is
the overall system reliability?
b. If the store manager wants to ensure at least a 98 percent system reliability, make a
recommendation of how to do this.

Answer

26. a) RaRbRc = (0.998)(0.992)(0.978) = 0.968

b) RaRbc = (0.998) [1 - (1 - 0.992)(1 - 0.9992)] 0.978 = 0.998[0.9999]0.978 = 0.976

If another point of sale register were put into the system in parallel, this will not quite provide
the minimum required system reliability, unless the figure is “rounded up”. The manager must
find another way to improve reliability of either the information system or the credit card
verification system.

27. Manuplex, Inc. has a complex manufacturing process, with three operations that are
performed in series. Because of the nature of the process, machines frequently fall out of
adjustment and must be repaired. To keep the system going, two identical machines are
used at each stage; thus, if one fails, the other can be used while the first is repaired (see
accompanying figure).
Design for Quality and Product Excellence
34
The reliabilities of the machines are as follows:
Machine Reliability
A 0.85
B 0.92
C 0.90

a. Analyze the system reliability, assuming only one machine at each stage (all the backup
machines are out of operation).
b. How much is the reliability improved by having two machines at each stage?

Answer

27. a) RaRbRc = (0.85)(0.92)(0.90) = 0.704

b) RaaRbbRcc = [1 - (1 - 0.85)2] [1 - (1 - 0.92)2] [1 - (1 - 0.90)2] =


(0.9775) (0.9936) (0.99) = 0.962

The improvement is significant, rising 0.258 from 0.704 to 0.962

28. An automated production system at Autoprod, Inc. consists of three operations: turning,
milling, and grinding. Individual parts are transferred from the prior work center to this
production system by a robot. Hence, if the robot fails or one machine goes down, the
process stops.
a. If the reliabilities of the robot, turning center, milling machine, and grinder are 0.994,
0.980, 0.95, and 0.88, respectively, what is the reliability of the system?
b. Suppose that two grinders are available and the system does not stop if one fails. What
is the reliability of the system?

Answer

28. a) RrRtRmRg = (0.994)(0.980)(0.95)(0.88) = 0.814

b) RrRtRmReg = (0.994)(0.980)(0.95)[1 - (1 - 0.88)2] = 0.913

29. CajaGigante, a large department store, has a very successful and profitable package
wrapping department. The department uses two very complex bow-making machines that
work inline to make the bows for the packages. There is one skilled operator who knows
how to operate the machines. She had been very reliable, but recently has had increasing
health problems which caused her to miss work about 10 percent of the time. Bow-
making Machine #1 has a reliability of 97%. Machine #2 has a reliability of 90 percent.
a. What is the current reliability of the system, including the operator?
b. Management is considering either scrapping Machine #2 and replacing it with a new
#2 machine which is 97 percent reliable, at a cost of $5,000, or training another operator
to fill in when the first operator is absent, at a cost of $5,100. The prospective trainee has
an excellent attendance record and has only been absent 4 days out of 250 work days for
the department, last year. Management estimates that profits from the department would
increase by$6,000 per year, if the bow-making line operated at 100 percent of capacity. If
Design for Quality and Product Excellence
35
management wants to pay off its investment in the first year, determine the expected net
profit for each alternative, and recommend which one will be the most profitable to
management.

Answer

29. a) Rm1Rm2RO1 = (0.97)(0.90)(0.90) = 0.786

b) Alternatives

1) Replace machine: (0.97)(0.97)(0.90) = 0.847


Expected net profit: [0.847 X $7,000] – 5,000 = $929

2) Train new operator: Rm1Rm2RaR O12 = (0.97)(0.90)[1 - (1 - 0.90)(1 - 0.984)] =


(0.97)(0.90)(0.9984) = 0.872
Expected net profit: [0.872 X $7,000] – 5,100 = $1004

Although the difference is small, it would be more profitable to train the new operator for an
expected difference in profit of $75.

30. National Partamiento installs and maintains thousands of refrigerators and other
appliances in rental apartments across the country. They have conducted a short study of
failure rates based on following the performance of 25,440 refrigerators that were
installed during one month a year ago. The table found in the worksheet tab Prob.7-30 in
the Excel file C07Data on the Student Companion Site contains the data. The data show
the number of failures of these 25,440 refrigerators each month over the past year.
a. Compute the average failure rate, . Is the failure rate relatively constant each month?
b. Use regression analysis to predict future failures. What is the predicted number of
failures each month for the next two years (that is, through month 36)?
c. If the refrigerators are typically under a 36-month warranty, how many cumulative
failures would be predicted in 36 months? What percentage of the total does this
represent?
d. What are the strengths and limitations of using regression analysis for such reliability
predictions in this setting?

Answer
a. The average failure rate is λ = 199 failures / (1708 + [24241 X 12]) unit operating
months) = 0.000680109 average failures per month

(See spreadsheet Prob07-30.xlsx for details.)

The logic is sometimes a little difficult to explain to students. We can parallel this
problem with Example Problem 7.7 in the body of the text. Suppose that we had 24440
units tested over 12 months. 199 units failed, with 1, 3, 6, …29 units failing after 1, 2, 3,
… 12 months respectively. 24241 units had not failed after 12 months.
Design for Quality and Product Excellence
36

The total unit operating months are


1×1 = 1
3×2 = 6
6×3 = 18

12 × 29 = 348
12 × 24241 = 290892
292600

λ = (199 failures) / ([1+6+18+40+ …348] + [24241 X 12] unit operating hours) =


0.000680109 average failures per hour
The answer is: No, the monthly failure rates are not approximately equal.

Months in Monthly Failure


Service Rate
1 0.00004092
2 0.00012275
3 0.00024554
4 0.00040933
5 0.00045045
6 0.00057356
7 0.00081984
8 0.00086154
9 0.00094440
10 0.00123299
11 0.00127567
12 0.00119489
Design for Quality and Product Excellence
37
The predicted number of failures each month for the next two years (that is, through month 36),
based on the regression formula of: Y = -2.257575 + 2.898601 * (months in service) is as
follows:

Months in Number Number Number Not Cumulative


Service Installed Failed Failed Failures

13 24241 35 24206 234


14 24206 38 24168 272
15 24168 41 24127 313
16 24127 44 24083 357
17 24083 47 24036 404
18 24036 50 23986 454
19 23986 53 23933 507
20 23933 56 23877 563
21 23877 59 23818 622
22 23818 62 23756 684
23 23756 64 23692 748
24 23692 67 23625 815
25 23625 70 23555 885
26 23555 73 23482 958
27 23482 76 23406 1034
28 23406 79 23327 1113
29 23327 82 23245 1195
30 23245 85 23160 1280
31 23160 88 23072 1368
32 23072 90 22982 1458
33 22982 93 22889 1551
34 22889 96 22793 1647
35 22793 99 22694 1746
36 22694 102 22592 1848
Design for Quality and Product Excellence
38
c. The trend that is evident from the data is the increasing number of units which failed.
Thus, we may use regression analysis to forecast the trend, so that percent failure can be
calculated from the results. The regression coefficient is 0.986, which is very strong.

Cumulative Number
Number No. of not failed
installed failures % failures
1st Month 24440 1 24439 0.004092
36th Month 22694 1848 22592 7.56

As we can see, the cumulative number of failures in the 36th month is projected to be
1848, based on the regression equation and shown in the tables for part b and part c. The
cumulative percentage of failure for the 36 months is 7.56%.

d. The danger in using regression to forecast both number installed and the number of
units failed is primarily in assuming that these two trends are linear (straight line). Since
many failure rate curves have the “bathtub” shape, it follows that the percentage of
failures might increase at an increasing rate in the months following the first or second
year.

Months in Service Line Fit Plot


35

30

25
Number Failed

20

15 Number Failed
Predicted Number Failed
10

0
0 2 4 6 8 10 12 14
Months in Service
Design for Quality and Product Excellence
39
SUGGESTIONS FOR PROJECTS, ETC.

1. Customer attributes and technical requirements might be:

Attributes Technical Requirements


a. Book purchase:
Hours Schedule of open hours
Organization By dept./course/professor
Pre-processing availability Reservations on Internet
Ease of payment Cash, check, credit card
Time Speed of checkout
Value Lowest available price
Empathy Understanding/willingness of
personnel to solve problems
b. Registration:
Convenience Time, dates, Internet, phone
Speed Process standards
Costs Fees
Accuracy Error prevention
Empathy Understanding/willingness of
personnel to solve problems
c. Hotel room - business:
Convenience Business location , dates, methods
Speed - check in/out Process standards, system knowledge
Technology FAX, Internet connection
Amenities Restaurant, in-room work areas,
Internet connections, exercise facilities
Costs Fees - related to services
Accuracy Error prevention

d. Hotel room - family:


Convenience Location near recreation, moderate
dining facilities, dates, methods
Speed - check-in Process standards, system knowledge
Amenities Play, family-related facilities
Costs Fees - related to family budget
Accuracy Error prevention

Construction of the matrix is left to the student.

2. Customer requirements would likely include freshness, taste, consistency, appearance of the
product; knowledge, attentiveness, friendliness of customer service personnel; speed and
accuracy of the cooks and order fillers; accuracy and friendliness of the counter personnel.
Technical requirements might be explored to determine what would be required to deliver the
product to in-house versus delivery customers. The former would require wait staff training
in customer service techniques, while the latter would require knowledgeable drivers
substituting (in some ways) for wait staff. Technology for deliver orders would involve
Design for Quality and Product Excellence
40
equipment to receive orders via FAX machines or over the Internet. Regarding cooks and
order fillers (common to both in-house and external product delivery), how much of the
assembly of the pizza should be done by hand (versus machine-made or machine assisted)?
This is merely suggestive of the types of questions concerning customer and technical
requirements that students should consider. Construction of the House of Quality is left to the
student.

3. For a glider the following customer attributes and technical requirements might be:

Attributes Technical Requirements


Ease of assembly "Design for assembly"; Simple instructions
Easy to fly "Launch" mechanism
Flight characteristics Wing, tail, body design
Durability Quality of wood
Value Price/durability ratio

4. The best way to prioritize the voice of the customer would be to have a focus group of typical
customers, such as craftspeople, "do-it-yourselfer's", hobbyists to provide input on how they
used the screwdriver and their priorities. Below is a possible configuration of the matrix, with
priorities for a “serious” craftsperson. Such a person would look for quality and functionality
over price or “extra” features, such as ratchets or interchangeable bits.

HOUSE OF QUALITY MATRIX


FOR A SIMPLE SCREWDRIVER

Interchg Steel Rubber Ratchet Plastic


Price Bits Shaft Grip Capabil. Handle
Easy to use
Does not rust
Durable
Comfortable
Versatile
Inexpensive
Priority 3 1 6 5 2 4

• = Very strong relationship


= Strong relationship
= Weak relationship
Design for Quality and Product Excellence
41
5. Answers will vary, depending on the service processes chosen by the students. The case on
“applying QFD to a University Support System” might be used as a starting point to
determine what types of information to look for to complete this project.

6. Answers will vary, depending on the organization chosen for study.

ANSWERS TO CASE QUESTIONS

Case - The Elevator Dilemma


The wall of bookcases and file cabinets approach is not a feasible solution for the long term!
The engineers need to be taught the basics of concurrent engineering and design for
manufacturability. Concurrent engineering involves multifunctional teams, usually consisting
of 4 to 20 members and including every specialty in the company. The functions of such
teams are to perform and coordinate the activities in the product development process
simultaneously, rather than sequentially. Designers must pay particular attention to cost,
quality, and manufacturability in order to meet price targets that customers are willing to pay.
A Samsung manager noted that 70 to 80 percent of quality, cost, and delivery time is
determined in the initial design stages. This is one reason’s for the company’s obsession with
reducing complexity early in the design cycle.

Three approaches might be tried, in order to break down barriers, literally and figuratively.
First, joint training on quality basics and quality design principles, with both groups in the
same sessions, can often foster better understanding of problems and potential solutions.
Second, it would be helpful if engineers from each group could be temporarily assigned for
3-6 months with the other group. They would receive first-hand experience of the challenges
and advantages of knowing how each other’s decisions impact their “opposite numbers.”
Third, in order to move to the next level, concurrent engineering should be used for the next
design project. Here, the challenge would be for the engineers to work, not only with other
engineers, but also with marketing, finance, and production representatives in order to develop
an optimum design within an optimum time frame.

Case - Applying Quality Function Deployment to a University Support Service

1. The answer to the question of whether students agree or disagree with the relative
importance rankings obtained from the study of the RRC at Tennessee Tech ultimately
depends on students’ opinions. However, a strong case might be made that the relative
importance score would depend on the situation. For small, rush, duplicating jobs, prompt
service would seem to be of greatest importance. For research jobs where specific
information has to be found, knowledge and courtesy of the employees would be highly
desirable, as well as accuracy, which might be a close second in importance. For the
inexperienced user, such as a freshman student, empathy and willingness to help would
possibly be ranked as the two highest criteria.

2. Concentrating on the top four characteristics, the following weighted scores can be
calculated:
Design for Quality and Product Excellence
42
Resources (personnel) 135
Customer handling 68
Information handling 87
Attitudes and morale 68

The three areas on which the analysts focused were document handling, training, and
layout. The above weighted scores would seem to lend little support to the need to deploy
a new document handling process (45 point score), nor to improve the layout (6 point
score), which have very little impact on customer quality criteria. Training may be
required, but the focus on document handling would seem to be unnecessary.

3. Given the high ranking of resources (personnel), it appears that more attention should be
paid to selection and retention issues. Information handling, in second place, also has a
major impact, with customer handling, and attitudes and morale tied for third place.
These categories could be improved by training and by process analysis to determine if
the best processes were being used. As a result, it could be predicted that morale and
customer satisfaction would likely increase.

Case - Black Elk Medical Center

1. The next steps would include gathering data using the checklist form that the committee
designed. The committee might also want to develop process flow charts, while waiting
for the fall data to be gathered and analyzed.

2. The data from the checklist should be put into a format, perhaps in a spreadsheet, where it
could be analyzed. Analysis tools might include Pareto analysis and histograms.
Segmentation should also be used to find out the incidence of falls in likely locations.

3. Improved processes and systems should be developed based on analysis of the checklist
and process charting. The “significant few” causes, based on the Pareto analysis, should
be addressed first, in order to achieve the greatest immediate impact. Analysis of the
process flow chart could reveal places where processes could be simplified, and might
also identify conditions that would contribute to patient falls, so they could be eliminated.

Instructor Reserve Materials

No QIP’s or Cases.

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