I.1 - Introduction To Quality

3/16/2011
UNIT I
UNIT I
PRINCIPES OF QUALITY
MSTM 6033 QUALITY SYSTEMS MANAGEMENT
Quality Systems Management
UNIT I
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Defining Quality
“Quality, Means those features of products which meet

customer needs and thereby provide customer satisfaction.
satisfaction
In this sense the meaning of quality is oriented to income.
The purpose of such higher quality is to provide greater
customer satisfaction and one hopes increase income”.
(Juran ,1999:2.1)
“Quality : degree to which a set of inherent characteristics

fulfils requirements”.
American Society for Quality (2000)
Key words of Quality
•Product: The Output of Any process. To may economists, products include both
good and services.
•Product Feature: A property possessed by goods or services that is intended to
meet customers needs.
•Customer Satisfaction: A state of affairs in which customers feel their
expectations have been met by the product features.
Deficiency: Any fault (defect or error) that impairs a product
•Deficiency: Any fault (defect or error) that impairs a product’ss fitness for use.
fitness for use
•Customer Dissatisfaction: A state of affairs in which deficiencies result in
customer annoyance, complaints, claims, etc.
(Juran, 1999:2.12)
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Quality Assurance
...is any planned and systematic activity directed toward

providing customers with goods and services of appropriate
quality, along with the confidence that products meet
consumers’ requirements.
History of Quality Assurance
Primitive Societies
The Family
The Family
The Village: Division of Labor
The Village Marketplace: Caveat Emptor
Artisans and Guilds
The Guild Hierarchy
Guilds and Quality
The Industrial Revolution
Industrial Revolution: rise of inspection and separate quality departments
Early 20th Century: statistical methods at Bell System
(Juran, 1999:2.8)
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History of Quality Assurance
Quality in the Twentieth Century,
Emergence of quality management in service industries, government,
Emergence of quality management in service industries government
health care, and education
Evolution of quality to the broader concept of performance excellence
Growth and adoption of Six Sigma
Current and future challenge: continue to apply the principles of quality
and performance excellence. Quality is “a race without a finish line.”
Leading Practices – Leadership (1 of 2)
 Globalization
 Social responsibility
 New dimensions of quality
 Aging population
 Health care
 Environmental concerns
Environmental concerns
 21st century technology
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Quality Perspective
transcendent &
product based
product-based user-based
user based
needs
Marketing
Customer
value-based Design
products
and manufacturing-
services based
Manufacturing
Distribution
Information flow
(Evans and Lindsay, 2009:16) Product flow
Customer‐Driven Quality
“Meeting or exceeding customer expectations”
(Evans and Lindsay, 2009:17)
 Customers can be...
• Consumers
• External customers
• Internal customers
Internal customers
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Total Quality
 Principles – foundation of the philosophy
 Practices –
Practices activities by which principles are
activities by which principles are
implemented
 Techniques – tools and approaches to make practices
effective
Principles of Total Quality
 Customer and stakeholder focus
 Employee engagement and teamwork
 Process focus supported by continuous improvement
and learning
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Customer and Stakeholder Focus
 Customer is principal judge of quality
 Organizations must first understand customers’ needs and
Organizations must first understand customers needs and
expectations in order to meet and exceed them
 Organizations must build relationships with customers
 Customers include employees and society at large
Employee Engagement and Teamwork
 Employees know their jobs best and therefore, how to
improve them
improve them
 Management must develop the systems and
procedures that foster participation
 Empowerment better serves customers, and creates
trust and motivation
 Teamwork and partnerships must exist both
horizontally and vertically
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Strategic Planning Process
Process: Set of interrelated resources and activities

that transform inputs into outputs (ANSI/ISO/ASQC A8402-
1994, clause 1.2)
Process Versus Function

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Continuous Improvement
Incremental changes as well as larger, rapid improvements.
Examples:
Enhancing value through new products and services
Reducing errors, defects, waste, and costs
Increasing productivity and effectiveness
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Improving responsiveness and cycle time performance
Deming’s View of a Production System
Suppliers of
materials and Design and
equipment Redesign
Consumer
Receipt and test research
of materials
Consumers
A
Production, assembly
B
inspection
C Distribution
D
Tests of processes, machines, methods
INPUTS PROCESSES OUTPUTS

Feedback
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Learning
 The foundation for improvement … Understanding why
changes are successful through feedback between
changes are successful through feedback between
practices and results, which leads to new goals and
approaches
 Learning cycle:
• Planning
• Execution of plans
Execution of plans
• Assessment of progress
• Revision of plans based on assessment findings
Total Quality
Total Quality is a management approach that strives for
the following in any business environment
the following in any business environment:
•Under strong top‐management leadership, establish clear mind‐and‐long‐
term vision and strategies.
•Properly Utilize the concepts , values and scientific methods.
•Regard human resources and information as vital organizational
infrastructure.
• Supported by fundamental organizational powers, such as a core
pp y g p ,
technology, speed and vitality.
(Juran. 1999:14.3)
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Total Quality (Continued)
 Supported by fundamental organizational powers, such as core
technology speed and vitality ensure sound relationship with
technology, speed, and vitality, ensure sound relationship with
customers employees, society, suppliers and stockholders.
 Continuously realize corporate objectives in the form of
achieving an organization’s mission building an organization with
a respectable presence, and continuously securing profits.
TQ Techniques
Statistical methods
•Visual aids for problem solving, such as flowcharts

•Techniques specific to quality assurance activities, such as
control charts, measurement systems analysis, reliability
models, and so on.
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Competitive Advantage
Characteristics of Competitive Advantage
 Is driven by customer wants and needs
 Makes significant contribution to business success
 Matches organization’s unique resources with opportunities
 Is durable and lasting
 Provides basis for further improvement
Provides basis for further improvement
 Provides direction and motivation
Quality supports each of these characteristics

Quality and Profitability
Improved quality of design Improved quality of

conformance
Higher perceived value Higher prices Lower manufacturing and

service costs
Increased market share Increased revenues
Higher profitability
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Quality and Business Results Studies
 General Accounting Office study of Baldrige Award
applicants
 Hendricks and Singhal study of quality award winners
 Performance results of Baldrige Award recipients
Three Levels of Quality
 Organizational level: meeting external customer
requirements
 Process level: linking external and internal customer
requirements
 Performer/job level: meeting internal customer
requirements
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Quality and Personal Values
 Personal initiative has a positive impact on business
success
success
 Quality‐focused individuals often exceed customer
expectations
 Quality begins with personal attitudes
 Attitudes can be changed through awareness and effort
((e.g., personal quality checklists)
g,p q y )
Are you a Quality Management Person?
According to Summers (2009:17), is the day today activities that make a quality
management person. Usually QM persons are the type of people who are
always asking questions. For instance How do you answer them in a scale from 1
to 10?
1. Do you Keep your commitments? (1‐10)
2. Are you on time? (1‐10)
3. Are you more productive than you were 12 months ago? (1‐10)
4. Have you learned from your experiences? (1‐10)
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5. Are you open to change? (1 10)
Are you open to change? (1‐10)
6. Do you like to learn new things? (1‐10)
7. Do you like challenges? (1‐10)
8. Do you constantly strive to improve? (1‐10)
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References
Evans, J. and Lindsay, W. (2009). Managing for Quality and
Performance Excellence Thomson Southwestern OH USA
Performance Excellence. Thomson‐Southwestern. OH, USA.
Juran, J. (1999). Juran’s Quality Handbook. McGraw‐Hill,
NY, USA.
Summers, D. (2009). Quality Management: Creating and
( )
Sustaining Organizational Effectiveness. Pearson, NJ, USA.
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3/16/2011

“Quality, Means those features of products which meet

“Quality : degree to which a set of inherent characteristics

...is any planned and systematic activity directed toward

Leading Practices – Leadership (1 of 2)

Process: Set of interrelated resources and activities

(Evans and Lindsay, 2009:21)

INPUTS PROCESSES OUTPUTS

•Visual aids for problem solving, such as flowcharts

Quality supports each of these characteristics

Improved quality of design Improved quality of

Higher perceived value Higher prices Lower manufacturing and

Increased market share Increased revenues

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