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ENGINEERING MANAGEMENT (3-0- 0

)

Sub Code : ME0302
Hrs / Week : 03
SEE Hrs : 3 Hrs

CIE : 50 %
SEE : 50 %
Max. Marks: 10 0

Course Instructor:

Dr. Aravindrao M.Yadwad
B.E, M.Tech, Ph.D, PGDHRM., MBA, MASME, MISTE, MCI, MIE, C.Engg.

Associate Professor

Department of Mechanical Engineering
The National Institute of Engineering
MYSORE - 570008, KARNATAKA
Cell:09964470900

Management is efficiency in climbing the ladder
of success

“Treat your password like your toothbrush. Don't
let anybody else use it, and get a new one every
six months.”
Clifford Stoll

Taguchi (quality loss function).Edward Deming (PDCA cycle). Ishikawa and (Companywide quality control). Historical Review. Pareto Diagrams. Control Charts and Scatter Diagrams. 6 Hrs . Check Sheets. Quality function deployment. Contribution of Quality Gurus. Cause and Effect Diagrams. Joseph Juran (Quality trilogy). QC Tools: Flowcharts. Histograms.4 : Quality Management Dimensions of quality. Introduction to TQM. Acceptance Sampling. SLE: TPM.Unit .

Quality Perspectives Everyone defines quality based on their own perspective of it. Typical responses about the definition of quality would include:         Perfection Consistency Eliminating waste Speed of delivery Compliance with policies and procedures Doing it right the first time Delighting or pleasing customers Total customer satisfaction and service .

“Quality is Fitness for use”  The American National Standards Institute [ANSI] and the American Society for Quality [ASQ] define quality as : “The totality of features and characteristics of a product or service that bears on its ability to satisfy given needs.Meaning of Quality  Webster’s Dictionary  degree of excellence of a thing/product Quality is the ability of a product or service to consistently meet or exceed customer expectations. Some definitions that have gained wide acceptance in various organizations: “Quality is customer satisfaction”.” .

” but with different design dimensions  .Meaning of Quality: Consumer’s Perspective  Fitness for use  how well product or service does what it is supposed to  Quality of design designing quality characteristics into a product or service  A Mercedes and a Ford are equally “fit for use.

Dimensions of Quality:
Manufactured Products
 Performance

basic operating characteristics of a product; how
well a car is handled or its gas mileage

 Features

“extra” items added to basic features, such as a
stereo CD or a leather interior in a car

 Reliability

probability that a product will operate properly
within an expected time frame; that is, a TV will
work without repair for about seven years

Dimensions of Quality:
Manufactured Products (cont.)
Conformance


degree to which a product meets pre–established
standards

Durability


how long product lasts before replacement

Serviceability


ease of getting repairs, speed of repairs, courtesy
and competence of repair person

Dimensions of Quality:
Manufactured Products (cont.)
 Aesthetics

how a product looks, feels, sounds, smells, or
tastes

 Safety

assurance that customer will not suffer injury or
harm from a product; an especially important
consideration for automobiles

 Perceptions

subjective perceptions based on brand name,
advertising, and the like

Meaning of Quality: Producer’s Perspective  Quality of Conformance  Making sure a product or service is produced according to design   if new tires do not conform to specifications. the hotel is not functioning according to specifications of its design . they wobble if a hotel room is not clean when a guest checks in.

Meaning of Quality: A Final Perspective  Consumer’s and producer’s perspectives depend on each other  Consumer’s perspective: PRICE  Producer’s perspective: COST  Consumer’s view must dominate .

Meaning of Quality Meaning Meaning of of Quality Quality Producer’s Producer’s Perspective Perspective Quality Quality of of Conformance Conformance Production Production • Conformance to specifications • Cost Consumer’s Consumer’s Perspective Perspective Quality Quality of of Design Design • Quality characteristics • Price Fitness Fitness for for Consumer Consumer Use Use Marketing Marketing .

the reliability requirements for suppliers of components have become more stringent. low price have resulted in a need to reduce the internal cost of poor quality. Having ‘high quality’ reputation is not enough.  Higher levels of customer satisfaction: Higher customers expectations are getting spawned by increasing competition. Changing Customer: The new customer is not only commanding priority based on the volume but is more demanding about the “quality system. high price to high volume.” Changing product mix: The shift from low volume. . Product complexity: As systems have become more complex.Why Quality?     Reasons for quality becoming a cardinal priority most organizations: Competition: Today’s market demand high quality products at low cost.

 Loss of business  Liability Consequences of Poor Quality The Reduced productivity  Increased costs Responsibility for Quality • • • • • • • • Top management Design Procurement Production/operations Quality assurance Packaging and shipping Marketing and sales Customer service .

Quality Levels At Organizational level At Process level At the individual job level .

Historical Review  During Middle Ages => Skilled craftsmanship  After Industrial Revolution => Specialization of labor  After products become more complicated => Rise of inspection and separate quality departments  Statistical methods at Bell System (Shewhart 1924)  Acceptance Sampling  The American Society for Quality (1946)  Deming (1950) Japanese Engineers  Juran (1954) .

Historical Review- Continued  First Quality Control Circles (1960)  1970-1980s -> US managers learn from japanese  Total Quality Management (TQM)  Statistical Process Control (SPC)  Malcolm Baldrige National Quality Award (a measure for TQM)  Taguchi (Design of Experiments= determination of important parameters and their target values)  ISO 9000 (1990s)  Focus shifting to information technology (2000s) .

Edwards Deming  Joseph M. Juran  Armand Feignbaum  Philip B.The Quality Gurus  Walter Shewhart  “Father of statistical quality control”  W. Crosby  Kaoru Ishikawa  Genichi Taguchi  Taiichi Ohno and Shigeo Shingo .

Contributions of Quality Gurus .

2. 4. 3. Create constancy of purpose Adopt philosophy of prevention Cease mass inspection Select a few suppliers based on quality 5. Constantly improve system and workers .Deming’s 14 Points 1.

Eliminate slogans . Eliminate barriers between departments 10. Institute worker training Instill leadership among supervisors 8.Deming’s 14 Points (cont.) 6. 7. Eliminate fear among employees 9.

Remove numerical quotas 12. Institute vigorous training and education programs 14.) 11. Develop a commitment from top management to implement above 13 points .Deming’s 14 Points (cont. Enhance worker pride 13.

Do Assess plan. Plan Identify problem and develop plan for improvement. is it working? Implement plan on a test basis. . Study/Check 2. 1. Act Institutionalize improvement.Deming Wheel: PDCA Cycle 4. continue cycle. 3.

Quality Quality Improvement Improvement Quality Quality Planning Planning Quality Quality Control Control . Juran : Quality Trilogy Three basic processes that are essential for managing to improve quality.Joseph M.

The role of quality planning is to design a process that will be able to meet established goals under operating conditions.. . The role of quality improvement is to devise ways to take the process to unprecedented levels of performance. The role of quality control is to operate and when necessary correct the process so that it performs with optimal effectiveness.Quality Trilogy Conti….

Ishikawa and (Companywide quality control).  CWQC movement as implying that quality does not only mean the quality of product. . quality of management.  The major theoretical contribution of Ishikawa is his emphasis on total involvement of the operating employees in improving quality. but also of after sales service. the company itself and the human being.  Ishikawa is credited for coining the term company-wide quality control (CWQC) in Japan.

 Professor Ishikawa is best known as a pioneer of the Quality Circle movement in Japan in the early 1960s Contin…. cost reduction. Organization 8-10 members Same area Supervisor/moderator Presentation Training Implementation Monitoring Group processes Data collection Problem analysis Solution Problem Identification Problem results Problem Analysis List alternatives Consensus Brainstorming Cause and effect Data collection and analysis The members of the circle have mastered statistical quality control and related methods and all utilise them to achieve significant results in quality improvement. The seven tools of quality control are taught to all employees: .. productivity and safety.Ishikawa and (Companywide quality control).

and provide the basis for decision making     Pareto Analysis Flow Chart Check Sheet Histogram    Scatter Diagram SPC Chart Cause-and-Effect Diagram .Seven Quality Control Tools There are a number of tools that can be used for problem solving and process improvement Tools aid in data collection and interpretation.

Pareto Analysis CAUSE NUMBER OF DEFECTS Poor design Wrong part dimensions Defective parts Incorrect machine calibration Operator errors Defective material Surface abrasions PERCENTAGE 80 16 12 7 4 3 3 64 % 13 10 6 3 2 2 125 100 % .

.70 (64) 60 50 40 30 20 10 0 (13) (10) (6) (3) (2) (2) Po or W ro De ng si gn di m D e f en s ec i tiv ons M e ac pa hi rts ne O cal i pe br ra at i to r e on s De rr or fe ct s iv e Su m at rf ac er ia e ls ab ra si on s Percent from each cause Pareto Chart Causes of poor quality Pareto. is a type of chart that contains both bars and a line graph. where individual values are represented in descending order by bars. and the cumulative total is represented by the line.

workflow or process. . and their order by connecting them with arrows. showing the steps as boxes of various kinds.Flow Chart Start/ Finish Operation Operation Decision Operation Operation Operation Decision Start/ Finish A flowchart is a type of diagram that represents an algorithm.

Check Sheet COMPONENTS REPLACED BY LAB TIME PERIOD: 22 Feb to 27 Feb 2002 REPAIR TECHNICIAN: Bob TV SET MODEL 1013 Integrated Circuits Capacitors Resistors Transformers Commands CRT |||| |||| |||| |||| |||| |||| || || |||| | The check sheet is a form (document) used to collect data in real time at the location where the data is generated. . the check sheet is sometimes called a tally sheet. The data it captures can be quantitative or qualitative. When the information is quantitative.

.Histogram 20 15 10 5 0 1 2 6 13 10 1619 17 12 16 20 17 13 5 6 2 1 A histogram is a graphical representation of the distribution of numerical data. It is an estimate of the probability distribution of a continuous variable (quantitative variable) and was first introduced by Karl Pearson.

is a visualization of the relationship between two variables measured on the same set of individuals. also called a scatter plot or a scatter plot. .Scatter Diagram Y X A scatter diagram.

Control Chart 24 UCL = 23. A control chart always has a central line for the average. .67 18 15 12 9 6 LCL = 1.99 3 2 4 6 8 10 12 Sample number 14 16 The control chart is a graph used to study how a process changes over time. Data are plotted in time order. an upper line for the upper control limit and a lower line for the lower control limit.35 Number of defects 21 c = 12.

It immediately sorts ideas into useful categories. .Cause-and-Effect Diagram Also Called: Ishikawa Diagram The fishbone diagram identifies many possible causes for an effect or problem. Include team members who have personal knowledge of the processes and systems involved in the problem or event to be investigated. It can be used to structure a brainstorming session. A fishbone diagram can be helpful in identifying possible causes for a problem that might not otherwise be considered by directing the team to look at the categories and think of alternative causes.

Cause-and-Effect Diagram Measurement Measurement Faulty testing equipment Inadequate training Environment Environment Old / worn Quality Quality Problem Problem Defective from vendor Not to specifications Dust and Dirt Tooling problems Lack of concentration Improper methods Machines Machines Out of adjustment Poor supervision Incorrect specifications Inaccurate temperature control Human Human Materialhandling problems Materials Materials Poor process design Ineffective quality management Deficiencies in product design Process Process .

GENICHI TAGUCHI  Born in Japan. .  Basic concepts are simple. 1924  Electrical Engineer  Worked during 1950’s to improve Japan’s post-WWII telephone communication system  Father of the “Taguchi Method” and “Robust Engineering”  You can still successfully apply Taguchi Method concepts to your service business.

How long should it bake? -. inputs.  For example.How many egg? -.Taguchi Design of Experiments  Many different factors. you ask: -. or variables need to be considered when making a product.At what temperatures should you set the oven?  However. suppose you wanted to bake a cake. . there is a better way to design an experiment to find out the best combination of variables to make your product.How much flour should you use? -.

It provides a method for quantitatively identifying just the right ingredients that go together to make a high-quality product or service. concept design. and tolerance design.Taguchi Method The Taguchi method is a standardized approach for determining the best combination of inputs to produce a product or service. . This is accomplished through design of experiments (DOE). DOE is an important tool in the arsenal of tools available to the design and process engineer. Taguchi approaches design from four perspectives: robust design. parameter design.

Taguchi Method is Step-byStep: .

. 6)  Employee energy = input  Customer satisfied = output  CUSTOMER SATISFACTION  Design to the highest standards early in the process to eliminate all non-random errors  Quality Loss = Loss to Society quantified through “Quality Loss Function”  Variation (+/-) from optimal measure results in a loss.” (Robust p.Quality Defined  “Any engineered system reaches its ‘ideal function’ when all of its applied energy (input) is transformed efficiently into creating desired output energy.

 This includes costs associated with poor performance.Taguchi’s Loss Function  Taguchi defines Quality Level of a product as the Total Loss incurred by society due to failure of a product to perform as desired when it deviates from the delivered target performance levels. operating costs (which changes as a product ages) and any added expenses due to harmful side effects of the product in use .

it is quantifiable   Larger is Better: Smaller is Better: L( y )  k  1 2  y L( y )  ky 2 L( y )  k  y  m   Nominal is Best: 2 where : m is the target of the process specification .Exploring the Taguchi Method  Considering the Loss Function.

Quality Loss Function L(y) = k(y-m)2 L(y) = Loss k = constant = cost to correct tolerance2 tolerance2 y = reported value m = mean value (average) (Taguchi On Robust Technology p. 22) .

. Management sets an acceptable level at 2 (tolerance). In November they received 15 complaints (y). It costs the company $50 directly per complaint to correct the problems. Determine the loss for the month of November.Example:  A Company received an average of 10 complaints(m) per month last year.

QFD from the Japanese - HIN Quality Features Attributes Qualities SHITSU KI Function Mechanization NO TEN KAI Deployment Diffusion Development Evolution = QFD Quality Function Deployment .“Customer Driven Product / Process Development” .

Definition of Quality Function Deployment : There is no single. this one captures its essential meaning: A system for translating customer requirements into appropriate company requirements at each stage from research and product development to engineering and manufacturing to marketing/sales and distribution . right definition for QFD.

QFD Overview Customer Requirements Converted to Company Measures Converted to Part Characteristics (Design) Converted to Manufacturing Process Converted to Production Requirements (Day to Day Operations) .

Where does QFD fit? • UNEXPECTED. PLEASANT SURPRISES • 3M CALLS THEM CUSTOMER DELIGHTS Spoken Measurable Range of Fulfillment QFD QFD focuses focuses on on Performance Performance Needs Needs and and unmet unmet Basic Basic Needs Needs Unspoken Taken For granted Basic Spoken If Not Met RECOGNIZE: RECOGNIZE: 1) 1)The TheImpact Impactof ofNeeds Needson onthe theCustomer Customer 2) 2)That ThatCustomer CustomerNeeds NeedsChange ChangeWith WithTime Time 3) The impact of Communication of 3) The impact of Communication of Customer Customer Wants Wants Throughout Throughout the theOrganization Organization .

4 Lack of a true customer focus in your product development process.Complex Product Development Initiatives 1.Changing Team 3.Expectations Get Lost 2. . 5 Poor communications between departments or functions. (Over-the -wall product development). problem solving.Lack of Structure or Logic to the Allocation of Development Resources.Lack of Efficient And/or Processes 2.When should QFD be used? 1 Customers are complaining or aren’t satisfied with your product or service.Communications Flow Down Difficult 2.Extended Product Development Times 1.Excessive Redesign 2. 6 Lack of efficient and/or effective teamwork. or fire fighting.Large Complex or Global Teams 1. 3.Problem Solving.New Product Initiatives / Inventions 1. 2 Market share declining.Teamwork Issues Effective 4. or Fire Fighting. 1. has been consistently 3 Extended development time due to excessive redesign.

Total Quality Management .

Evolution of quality Era Evolution TQM TQC &CWQC TQC SQC Inspection Foreman Craftsman Years 1900 1920 1940 1960 1980 1990 2000 .

or manner of handling .  Management – Act . art.Introduction  Total – Made up of the whole(or) Complete. controlling.  Quality – Degree of Excellence a product or service provides to the customer in present and future. directing. etc. TQM is the art of managing the whole to achieve excellence. .

and benefits to all members of the organization and to society. centered on quality. based on the participation of all its members and aiming at long-term success through customer satisfaction.TQM "TQM is a management approach for an organization." .

Communication Profitability & Market Share .Benefits Improved Quality Employee Participation Team Work Internal & External Customer Satisfaction Productivity .

Obstacles Top management commitment Changing Organization Culture Improper planning Continuous Training & Education .

Real Life  TQM has being implemented in  TVS Group  Boeing Aircraft  Reliance  Tata L&T  HMT  ITI .

Baldrige Award  Created in 1987 to stimulate growth of quality management in the United States  Categories         Leadership Information and analysis Strategic planning Human resource Focus Process management Business results Customer and market focus .

Jack Lancaster Medal Edwards Medal Shewart Medal Ishikawa Medal  International awards     European Quality Award Canadian Quality Award Australian Business Excellence Award Deming Prize from Japan . Feigenbaum Medal Deming Medal E.Other Awards for Quality  National individual awards       Armand V.

SLE: TPM. Acceptance Sampling. .

In order for TPM to be effective. the full support of the total workforce is required. equipment. This should result in accomplishing the goal of TPM: "Enhance the volume of the production. and employees that add business value to an organization." . total productive maintenance (TPM) is a system of maintaining and improving the integrity of production and quality systems through the machines.  One of the main objectives of TPM is to increase the productivity of plant and equipment with a modest investment in maintenance. Total quality management (TQM) and total productive maintenance (TPM) are considered as the key operational activities of the quality management system.Total productive maintenance  In industry . processes. employee morale and job satisfaction.

It is usually done as products leave the factory. The lot is accepted if the number of defects falls below where the acceptance number or otherwise the lot is rejected . It has been a common quality control technique used in industry. or in some cases even within the factory.Acceptance sampling  Acceptance sampling uses statistical sampling to determine whether to accept or reject a production lot of material.  Most often a producer supplies a consumer a number of items and a decision to accept or reject the lot is made by determining the number of defective items in a sample from the lot.