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TOOLS OF TQM

Check sheets
Scatter Diagrams
Cause-and-Effect Diagram
Pareto Charts
Flow Charts
Histograms
Statistical Process Control (SPC)

Seven Tools for TQM

Tools of TQM

Tools for generating ideas


Check sheet
Scatter diagram
Cause and effect diagram

Tools to organize data


Pareto charts
Process charts (Flow diagrams)

Tools for identifying problems


Histograms
Statistical process control chart

Checklist

Simple data check-off sheet designed to


identify type of quality problems at each work
station; per shift, per machine, per operator

Use check-lists for


testing

Ears
Neck
Feet

Scatter Diagrams

A graph that shows how two variables


are related to each other
Data can be used in a regression analysis
to establish equation for the relationship

X: No. of training pgms for employees


per month

Y: No. of customer
complaints per month

34

19

16

11

Correlation Coefficient

-0.956130577

Maruti free check-up


camps per month

No. of customers for servicing


their cars per month

139

203

376

407

575

605

Correlation Coefficient

0.98308797

Free Desserts to no. of customers


per day per month

No. of Customers per day per


month

48

26

56

22

54

36

Correlation Coefficient

-0.036862159

Cause and Effect


Diagram
Used to find problem sources/solutions
Other names

Fish-bone

diagram, Ishikawa diagram

Steps
Identify

problem to correct
Draw main causes for problem as bones
Ask What could have caused problems in
these areas? Repeat for each sub-area.

Cause and Effect


Diagram Example
Problem
Too
Toomany
many
defects
defects

Cause and Effect


Diagram Example
Method

Manpower
Main Cause
Too
Toomany
many
defects
defects

Material

Machinery
Main Cause

Cause and Effect


Diagram Example
Method
Drill

Manpower
Overtime
Too
Toomany
many
defects
defects

Wood
Steel
Material

Lathe
Machinery
Sub-Cause

Cause and Effect


Diagram Example
Method
Drill
Slow

Manpower
Tired
Overtime
Old

Wood
Steel
Material

Lathe
Machinery

Too
Toomany
many
defects
defects

Fishbone Chart
Problems with Airline
Customer Service

Pareto Analysis

Technique that displays the degree of importance for


each element

Named after the 19th century Italian economist

Often called the 80-20 Rule

Principle is that quality problems are the result of only


a few problems e.g. 80% of the problems caused by
20% of causes

Wine Glass Defects (63


defects)
No. of defects
Nicks

No. of
defects

Cumulative
Percentage

Scratches

42

67

Porosity

10

83

Nicks

90

Contamination

97

Misc.

100

TOTAL

63

Porosity

10

Misc.

Scratches

42

Contamination

Pareto Analysis of
Wine Glass Defects (63
Defects)

Example: (Identification of

Problems)
Following
are the problems of a failing service center :
1.

Phones are only answered after many rings.

2.

Staff seem distracted and under pressure.

3.

Engineers do not appear to be well organized.


They need second visits to bring extra parts.
This means that customers have to take more
holiday to be there a second time.

4.

They do not know what time they will


arrive. This means that customers may
have to be in all day for an engineer to
visit.

5.

Staff members do not always seem to


know what they are doing.

6.

Sometimes when staff members arrive,


the customer finds that the problem
could have been solved over the phone.

Classification of Problems
Lack of staff training: items 5 and 6: (51
complaints)
Too few staff: items 1, 2 and 4: (21 complaints)
Poor organization and preparation: item 3:(2
complaints)

By doing the Pareto analysis above, the


manager can better see that the vast majority
of problems (69%) can be solved by improving
staff skills.

Flowcharts

Used to document the detailed steps in a


process
Often the first step in Process ReEngineering

Histograms

A chart that shows the frequency distribution of


observed values of a variable like service time
at a bank drive-up window

Displays whether the distribution is symmetrical


(normal) or skewed

Control Charts

Important tool used in Statistical Process


Control
The UCL and LCL are calculated limits used
to show when process is in or out of control

Patterns to Look for in Control


Charts

CASE STUDY:
RICOH COMPANY LIMITED
SHORTENING CUSTOMERS
TELEPHONE WAITING TIME

At (1): The operator receives a call but due to


lack of experience or knowledge, does not
know where to connect the call.
At (2): The receiving party cannot answer the
phone quickly, perhaps because he is
unavailable, and there is no substitute.

One partner out of the office topped the list,


occurring a total of 172 times.
Customers who had to wait a long time
averaged 29.2 daily, which accounted for 6% of

Measures and Execution

Taking lunch in three different shifts,


leaving at least two operators on the
job at all times
Also brought in a helper operator from
the clerical section
Asking
all
employees
to
leave
messages when leaving their desks
Compiling a directory listing of the
personnel and their respective jobs

Support different situations by


specific tools