INTERNATIONAL

EDITION

INTERNATIONAL
Managing Quality

Managing Quality
Integrating the Supply Chain
FIFTH EDITION

S. Thomas Foster

Integrating the
FIFTH
Pearson published this exclusive edition for the benefit
 Managing Quality: Integrating the Supply
Chain: International Edition
Table of Contents

Cover
Content
Preface
Part 1 Understanding Quality Concepts
Chapter 1 Differing Perspectives On Quality
Recognizing Different Perspectives On Quality
A CLOSER LOOK AT QUALITY 1-1: Whats in an Airport?
What Is Quality?
Product Quality Dimensions
Service Quality Dimensions
Why Does It Matter That Different Definitions of Quality Exist?
Differing Functional Perspectives On Quality
A Supply Chain Perspective
An Engineering Perspective
An Operations Perspective
A Strategic Management Perspective
Quality Highlight 1-1 Quality Strategy At Ge
A Marketing Perspective
A Financial Perspective
The Human Resources Perspective
Is Quality Management Its Own Functional Discipline?
The Three Spheres Of Quality
Quality Highlight 1-2 Federal Express Corporation
Other Perspectives On Quality
The Value-Added Perspective on Quality
Cultural Perspectives on Quality
Arriving At A Common Understanding Of Quality Using A Contingency Perspective Of
Quality
Summary
Key Terms
Discussion Questions
Case 1-1: FedEx: Managing Quality Day and Night
Case 1-2: Granite Rock Company: Achieving Quality through Employees
Chapter 2 Quality Theory
What Is Theory?
Is There a Theory of Quality Management?
A Closer Look At Quality 2-1 Quality And Management Fads
History Of Quality Management
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Leading Contributors To Quality Theory: W. Edwards Deming
Demings 14 Points for Management
Leading Contributors To Quality Theory: Joseph M. Juran
The Juran Trilogy
Control versus Breakthrough
Project-by-Project Improvement
A Closer Look At Quality 2-2 Juran On The Past Century Of Quality
Pareto Analysis
Leading Contributors To Quality Theory: Kaoru Ishikawa
Basic Tools of Quality
Ishikawas Quality Philosophy
Leading Contributors To Quality Theory: Armand Feigenbaum
The 19 Steps of TQC
Leading Contributors To Quality Theory: Philip Crosby
Leading Contributors To Quality Theory: Genichi Taguchi
Definition of Quality
Quality Loss Function
Robust Design
Leading Contributors To Quality Theory: The Rest Of The Pack
Robert C. Camp
Stephen R. Coveys 8 Habits
Tom Peters
Michael Hammer and James Champy
A Closer Look At Quality 2-3 Selling Quality Fads
Viewing Quality Theory From A Contingency Perspective
Resolving The Differences In Quality Approaches: An Integrative View
Leadership
Employee Improvement
Quality Assurance
Customer Focus
Quality Philosophy
Information Analysis
Strategic Planning
Environment or Infrastructure
Team Approach
Focus of the Quality Department
Breakthrough
Theoretical Framework For Quality Management
Summary
Key Terms
Discussion Questions
Case 2-1: Rheaco, Inc.: Making a Quality Turnabout by Asking for Advice
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Case 2-2: Has Disney Developed a Theory of Quality Guest Services Management?
Chapter 3 Global Supply Chain Quality And International Quality Standards
Managing Quality For The Multinational Firm (Mnf)
Quality Highlight 3-1 Supply Chain Quality In The Global Context
Quality Improvement: The American Way
The Baldrige Performance Excellence Program
A Closer Look At Quality 3-1 Who Was Malcolm Baldrige?
The Baldrige Process
Baldrige Scoring
Quality Highlight 3-2 Honeywell Federal Manufacturing & Technologies
Being a Baldrige Examiner
State Awards
Quality Improvement: The Japanese Way
Deming Prize
Other Japanese Contributions to Quality Thought
Lean Production
Quality Highlight 3-3 The Humbling Of Toyota
Japanese Total Quality Control (TQC)
Quality Improvement: The European Way
European Quality Award
ISO 9000:2008
Quality Management Principles Underlying ISO 9000:2008
Selecting a Registrar
The ISO 9000:2008 Process
ISO 14000
Quality Improvement: The Chinese Way
Does Chinese Quality Management Exist?
A Closer Look At Quality 3-2 Outsourcing Woes
Are Quality Approaches Influenced By Culture?
Summary
Key Terms
Discussion Questions
Case 3-1: Denver International Airport Becomes ISO 14001 Certified
Case 3-2: Wainwright Industries: An Entirely New Philosophy of Business Based on
Customer Satisfaction and Quality

Part 2 Designing and Assuring Quality

Chapter 4 Strategic Quality Planning
Strategy Content
The Importance Of Time In Quality Improvement
A Closer Look At Quality 4-1 Problems With Measuring Educational Performance
Leadership For Quality
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Leadership Dimensions
Quality Highlight 4-1 Solectron Corporation
Quality And Ethics
Quality As A Strategy
Costs of Quality
PAF Paradigm
Accounting for Quality-Related Costs
LundvallJuran Quality Cost Model
Differentiation through Quality
Focus through Quality
Order Winners
Quality as a Core Competency
Quality Strategy Process
Forced-Choice Model
Deploying Quality (Hoshin Kanri)
A Closer Look At Quality 4-2 A Mature Strategic Planning Process
Does Quality Lead To Better Business Results?
Quality and Price
Quality and Cost
Quality and Productivity
Quality and Profitability
Quality and Sustainability
Supply Chain Strategy
Summary
Key Terms
Discussion Questions
Problems
Case 4-1: Ames Rubber Corporation: Realizing Multiple Benefits through Improved
Quality
Case 4-2: MidwayUSA
Chapter 5 The Voice Of The Customer
Customer-Driven Quality
A Closer Look At Quality 5-1 Online Review Of Merchandise
The Pitfalls of Reactive Customer-Driven Quality
Customer-Relationship Management
Complaint Resolution
Feedback
Guarantees
Corrective Action
The Gaps Approach To Service Design
Segmenting Customers And Markets
Strategic Supply Chain Alliances Between Customers And Suppliers
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The Role of the Customer in the Supply Chain
Communicating Downstream
Actively Solicited Customer-Feedback Approaches
Telephone Contact
Focus Groups
Customer Service Surveys
A Closer Look At Quality 5-2 Misusing Surveys
Passively Solicited Customer-Feedback Approaches
Customer Research Cards
Customer Response Lines and Web Sites
Managing Customer Retention And Loyalty
Customer-Relationship Management Systems
A Word On Excellent Design
Summary
Key Terms
Discussion Questions
Problems
Case 5-1: Customer Quality Feedback at Apple Computer
Case 5-2: Chaparral Steel: Achieving High Quality through a Commitment to Both
External and Internal Customers
Chapter 6 The Voice Of The Market
What Do We Mean By The Voice Of The Market?
Gaining Insight Through Benchmarking
Process Benchmarking
Financial Benchmarking
Performance Benchmarking
Product Benchmarking
Strategic Benchmarking
Quality Highlight 6-1 PalS Sudden Service
Functional Benchmarking
Purposes Of Benchmarking
Difficulties In Monitoring And Measuring Performance
Commonly Benchmarked Performance Measures
Why Collect All These Measures?
Key Business Factors
Business Process Benchmarking
Robert Camps Business Process Benchmarking Process
Leading And Managing The Benchmarking Effort
A Closer Look At Quality 6-1 Benchmarking At Intuit
Training
A Closer Look At Quality 6-2 The Legal Environment Of Benchmarking
Baselining And Reengineering
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Problems With Benchmarking
Summary
Key Terms
Discussion Questions
Problems
Case 6-1: Amgen Corporation: Using Benchmarking as a Means of Coping with Rapid
Growth
Case 6-2: AT&T Teleholdings: Making Benchmarking a Part of the Process
Improvement Tool Kit
Chapter 7 Quality And Innovation In Product And Process Design
Designing Products For Quality
The Design Process
Quality Highlight 7-1 A Turnaround at Kelloggs Cereals: Driven by Design
Quality Function Deployment (qfd)
Technology In Design
Other Design Methodologies
Organizing the Design Team
The Product Life Cycle
A Closer Look At Quality 7-1 Ski Design
Product Families and the Product Life Cycle
Complementary Products
Designing Products That Work
A Closer Look At Quality 7-2 It Takes A Scientist To Design A Winter Coat
Design for Manufacture Method
Design for Maintainability
Designing For Reliability
Quality Highlight 7-2 Designing Reliable Luxury At Vuitton
Reliability Analysis Tools
Failure Modes and Effects Analysis
How FMEA Works
Fault-Tree Analysis
Failure Modes, Effects, and Criticality Analysis
Product Traceability and Recall Procedures
Environmental Considerations In Design
Summary
Key Terms
Discussion Questions
Problems
Case 7-1 Keeping Apples iPhone Competitive
Case 7-2 Nucor Corporation: Producing Quality Steel by Stressing Sound
Management Practices
Chapter 8 Designing Quality Services
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Differences Between Services And Manufacturing
Internal versus External Services
Voluntary versus Involuntary Services
How Are Service Quality Issues Different from Those of Manufacturing?
A Closer Look At Quality 8-1 Service Warranties: Profitable Or A Rip-OffYou
Decide
How Are Service Quality Issues Similar to Manufacturing?
What Do Services Customers Want?
Quality Highlight 8-1 Ritz-Carlton Hotels
Servqual
Expectations
Perceptions
Gap Analysis
Assessing Differences in Expectations and Perceptions by Using the Differencing
Technique
Designing And Improving The Services Transaction
Services Blueprinting
Moments of Truth
A Closer Look At Quality 8-2 Quality In Health Care
Poka-yoke
The Customer Benefits Package
Service Transaction Analysis
Improving Customer Service In Government
A Closer Look At Quality 8-3 Government Service Quality: A Stop-And-Go Process
Quality In Health Care
Supply Chain Quality In Services
A Theory For Service Quality Management
Summary
Key Terms
Discussion Questions
Problems
Case 8-1 Yahoo! Designs Quality Services with Customers in Mind
Case 8-2 UPS: Delivering the Total Package in Customer Service
Chapter 9 Managing Supplier Quality In The Supply Chain
The Value Chain
The Chain of Customers
Managing the Supply Chain
Supplier Alliances
A Closer Look At Quality 9-1 Supply Chains And Terrorism
Single-Sourcing Examples
Quality Highlight 9-1 A Bumpy Ride At Boeing
Supplier Development
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Quality Highlight 9-2 Integrating Forward Along The Supply Chain: 3M Dental
Products Division
Supplier Awards
Supplier Relationship Management Systems (SRMS)
Applying The Contingency Perspective To Supplier Partnering
A Supplier Development Program: Iso/Ts 16949:2009
ISO/TS 16949
Quality Management System
Management Responsibility
Resource Management
Product Realization
Measurement, Analysis, and Improvement
Acceptance Sampling And Statistical Sampling Techniques
Is Acceptance Sampling Needed?
A Closer Look At Quality 9-2 For Rfid To Take Hold, Reliability Needs To Improve
Building An Understanding Of Supply Chain Quality Management
Summary
Key Terms
Discussion Questions
Case 9-1 AT&T: Setting High Standards for Suppliers and Rewarding Supplier
Performance
Case 9-2 Managing the Supply Chain at Honeywell

Part 3 Implementing Quality

Chapter 10 The Tools Of Quality
Improving The System
IshikawaS Basic Seven Tools Of Quality
Process Maps
A Closer Look At Quality 10-1 Extended Value Stream Mapping Of Supply Chains
Check Sheets
Histograms
Scatter Diagrams
Control Charts
Cause-and-Effect (Ishikawa) Diagrams
Pareto Charts
The Seven New Tools For Improvement
The Affinity Diagram
The Interrelationship Digraph
Tree Diagrams
Prioritization Grid
Matrix Diagram
Process Decision Program Chart
Activity Network Diagram
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Reflections on the Managerial N7 Tools
Other Tools For Performance Measurement
Spider Charts
Balanced Scorecards
Dashboards
Summary
Key Terms
Discussion Questions
Problems
Case 10-1 Corporate Universities: Teaching the Tools of Quality
Case 10-2 Lanier: Achieving Maximum Performance by Supporting Quality Products
with Quality Services
Chapter 11 Statistically Based Quality Improvement For Variables
Statistical Fundamentals
What Is Statistical Thinking?
Quality Highlight 11-1 Statistical Tools In Action
Why Do Statistics Sometimes Fail in the Workplace?
Understanding Process Variation
Process Stability
Sampling Methods
Random Samples
Systematic Samples
Sampling by Rational Subgroups
Planning for Inspection
Control Plans
Process Control Charts
Variables and Attributes Control Charts
A Generalized Procedure for Developing Process Charts
Understanding Process Charts
x_and R Charts
Interpreting Control Charts
Using Excel to Draw x and R Charts
X and Moving Range ( MR ) Charts for Population Data
Using Excel to Draw X and MR Charts
Median Charts
Using Excel to Draw Median Charts
x_and s Charts
Using Excel to Draw s and x Charts
Other Control Charts
Moving Average Chart
Cusum Chart
Some Control Chart Concepts For Variables
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Choosing the Correct Variables Control Chart
Corrective Action
How Do We Use Control Charts to Continuously Improve?
Tampering with the Process
Process Capability For Variables
A Closer Look At Quality 11-1 A Justification For Meeting Standards In Software
Quality
Population versus Sampling Distributions
Capability Studies
Ppk
The Difference between Capability and Stability
Other Statistical Techniques In Quality Management
Summary
Key Terms
Discussion Questions
Problems
Case 11-1 Ore-Ida Fries
Chapter 12 Statistically Based Quality Improvement For Attributes
Generic Process for Developing Attributes Charts
Understanding Attributes Charts
p Charts for Proportion Defective
Using Excel to Draw p Charts
np Charts
Using Excel to Draw np Charts
c and u Charts
Using Excel to Draw c and u Charts
Attributes Charts Summary
Choosing the Right Attributes Chart
Reliability Models
Series Reliability
Parallel Reliability
Measuring Reliability
Mean Time to Failure (MTTF)
A Closer Look At Quality 12-1 Is Quality On The Decline?
System Availability
Summary
Key Terms
Discussion Questions
Problems
Case 12-1 Decision Sciences Institute National Conference
Chapter 13 Six Sigma Management And Lean Tools
What Is Six Sigma?
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Organizing Lean-Six Sigma
Packaging Lean with Six Sigma
Dmaic Overview
A Closer Look At Quality 13-1 Dmaic In Action
Define Phase
Developing the Business Case
Project Evaluation
Pareto Analysis
Problem Definition
Measure Phase
Selecting Process Outcomes
FMEA
Verifying Measurements
Gauge R&R
Using Excel to Perform Gauge R&R Analysis
Analyze Phase
Defining Objectives
Identifying Xs
Analyzing Sources of Variation
Improve Phase
Control Phase
Taguchi Design Of Experiments
Robust Design
Background Of The Taguchi Method
Taguchi Definition of Quality
Quality Loss Function
The Taguchi Process
Using Excel to Solve Taguchi Experiments
Design For Six Sigma
Lean-Six Sigma From A Contingency Perspective
Summary
Key Terms
Discussion Questions
Problems
Case 13-1 The Neiman-Marcus Cookie

Part 4 Forever Improving the Quality System

Chapter 14 Managing Quality Improvement Teams And Projects
Why Employees Enjoy Teams
Leading Teams For Quality Improvement
Employee Empowerment and Involvement
A Closer Look At Quality 14-1 Empowerment In Action
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Flattening Hierarchies for Improved Effectiveness
Team Leader Roles and Responsibilities
Team Roles and Responsibilities
Team Formation and Evolution
Team Rules
Types Of Teams
Process Improvement Teams
Cross-Functional Teams
Tiger Teams
Natural Work Groups
Self-Directed Work Teams
Virtual Teams
A Closer Look At Quality 14-2 Lessons From Effective Teams Outside The Business
World
Implementing Teams
Meeting Management
Conflict Resolution in Teams
Saving Quality Teams from Failure: Diagnosing Problems and Intervening Before It
Is Too Late
Managing And Controlling Projects
Qualifying Projects
Project Charters
Force-Field Analysis
Work Breakdown Structure (WBS)
Identifying Precedence Relationships
Identifying Outcome Measures
Identifying Task Times
Activity Network Diagrams
Arrow Gantt Charts
Managing Multiple Projects
Summary
Key Terms
Discussion Questions
Problems
Case 14-1 Whole Foods Market: Using Teamwork as a Recipe for Success
Chapter 15 Implementing And Validating The Quality System
Building Blocks For The System Of Quality Improvement
People
Organizational Learning and Knowledge
Culture
Closeness to Customers
Information and Finance
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The Three Spheres of Quality
The Integrative Approach
Alignment between the Quality System and Strategy
Quality Highlight 15-1 Back To Basics At Ford
Internal Validation: Documenting And Assessing The Quality System
A Closer Look At Quality 15-1 A Simple Self-Assessment Tool
Quality Audits
Quality Audit Process
Types of Audits
Operational Audits
Performance Audits
A Closer Look At Quality 15-2 Quality Audits In Action
Qualitative and Quantitative Elements in Audits
Validating The Quality System
Summary
Key Terms
Discussion Questions
Problems
Case 15-1 Setting Priorities Using the Baldrige Criteria

Appendix
Glossary
Index
A
B
C
D
E
F
G
H
I
J
K
L
M
N
O
P
Q
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