Managemen o Qua y Management of Quality: mp emen ng Quality mp ovemen Implementing Qua y Improvement & Quality Con o Too s Qua

y Control Tools

Dr Christos Braziotis Christos.Braziotis@nottingham.ac.uk

Centre for Quality in the Global Supply Chain

Agenda
Introduction to: Implementation of Quality Improvement Continuous PDCA Prerequisites and mechanisms of CI Improvement teams 7 Basis Quality Tools 6-sigma and DMAIC

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Breakthrough vs Continuous Improvement?

Breakthrough Improvement (or Innovation): (or innovation-based improvement) assumes that the main vehicle of improvement is major and dramatic change in the way the operation works 3examples: the introduction of a new/efficinet machine, the total redesign of a computer-based system. 3criticism: such major improvements are, in practice, difficult to realise quickly and impossible to realise instantly. Continuous Improvement (CI): 3 n organisation-wide process of focused and sustained incremental a innovation3 Bessant & Francis (1999) Some outcome criteria identified : cost reduction, flexibility, reduced cycle time, inter-firm relations etc. accomplish, NUBS Most, if not all, definitions of CI specify what CI activities seek to rather than the means to achieve and sustain it C Braziotis

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CI = Incremental + Breakthrough + Maintain

Performance

Continuous Improvement = (Incremental Improvement + Radical/ Breakthrough Improvement) + Maintain

Increment al Improvement Maintain Performance
Improving steps (PDCA, etc)

QA

Breakthrough Improvement (DMAIC, etc.)

Declined performance without maintenance Time

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The PDCA cycle

All the Actions necessary for the Improvement take place to close the gap between plans and actual effects Comparison of the Actual Performance with the Objectives and Standards

d.

a.

Act Check
c.

Plan Do
b.

Establish Performance Objectives & Standards

Measure the Actual Performance

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10 KAIZEN Sayings Get rid of all old assumptions Don't look for excuses, look for ways to make things happen Say "NO" to the status quo Don't worry about being perfect - even if you only get it half right "start NOW!" It does not cost money to do KAIZEN If something is wrong "Fix it NOW Good ideas flow when the going gets tough Ask "WHY" five times - get to the root cause Look for wisdom from ten people rather than one Never stop doing KAIZEN!
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Quality Circles or Kaizen Teams

Kaizen: a Japanese philosophy of CI of all the employees in an organisation so that they perform their tasks a little better each day (a never-ending journey)

Emphasis on encouraging everyone to make improvements

The Quality Circle is a group of workers doing similar work who meet: - voluntarily - regularly - in normal working time - under the leadership of their supervisor - to identify, analyse & solve work-related problems - to recommend solutions to management People are asked to join and not told to do so, and work is being carried out using brainstorming and the 7 basic tools.
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Comparative CI approach for Competitive Advantage

High

Level of Commitment on CI

Low Low High

Competitors Level of Commitment on CI

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The Prerequisites for CI Success

Strategy/Targets

Obtain Prerequisites

Leadership (Top Management Commitment)

Support communication channels (incl. technology), and Prudence of Resources (Time and Money) )

No
Empowerment (Employee Commitment) Are the Prerequisites in Place?

Yes

Training

Team Working

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Process & Quality Improvement Teams

Groups of people with the appropriate knowledge, skills & experience who are brought together specifically by management to improve processes and/or tackle & solve a particular problem. They are cross-functional & often multi-disciplinary. Issues to consider: - Team selection & leadership (5-10 members) - Team objectives (clearly stated) - Team meetings (clear agenda) - Team assignments (meetings alone do not solve problems) - Team dynamics (creativity/idea generation) - Team results & reviews (results communicated and acted upon)
* All processes can and should be measured, and all measurements should be recorded. Recording and analysis (by means of the 7 basic tools ) of data without action leads to frustration
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Improving the Process

continuous improvement only makes sense if an organisation knows what is going on in relation to the processes, which are underlying the things which need to be improved.
(van der Weile et al., 1997)

Process: A series of activities that takes an input, adds value to it, and produces an output (application of skills adding value to an input)

Is the process capable of meeting the requirements? [ = process capability] Is it meeting the requirements at any point in time? [ = process control] When it is not meeting the requirements, how do we correct or adjust the process or its inputs? [ = process adjustment] Who is responsible (and has the power to change) the process?

Input

Activities

Output

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Process Mapping - part I

What is to be measured and improved?
Decision step

Stop No
Process step

A schema that helps understand every aspect of every input and output Helps document, understand and analyse the process, maintain control over what has to change, and reduce variations as they arise over time.

Start check

3,000 miles since Yes oil change?

Drain old oil

Remove old oil filter

Install new filter

Pour new oil

No Is Yes Start engine & crankcase circulate oil full?

Done

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Process Mapping - part II

Create a Map of a Process: List every step and every input and output Consult with people close to the process. Break it down into all of its components - operations, decision points, delays, movements, handoffs, rework loops, and controls or inspections. Identify every factor as value-added or non-value-added What activities are essential to transforming inputs into outputs to meet customer requirements? What activities are not essential? For every step, ask two questions Why do we do it?, How do we know we are doing it right? Additional icons: ...etc.
Transport
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Data

Document
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Storage

Inspection
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The Original 7 Quality Tools A set of tools that offer the organisation means of collecting, presenting and analysing (interpreting) most of its data

Pareto Chart Cause and Effect Diagram Stratification Check Sheet (Tally Chart) Histogram Scatter Diagram Graph and Control chart * Designed for use by all the workforce
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As one tool?

As two tools?

The 7 Management & Planning Tools - Provide systems & documentation methods used to achieve success in design by identifying objectives and intermediate steps - To supplement and complement the previous tools

Affinity Diagrams Interrelationship Diagraphs Systematic Diagrams Matrix Diagrams Matrix Data Analysis or Glyphs Process Decision Programme Charts Arrow Diagrams * More complex and may not be suitable for all the workforce
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Cause and effect (fishbone) diagram - part I

A cause-and-effect analysis is a way of identifying the possible causes affecting a problem and of recording these visually. It shows the relationship between a quality characteristic (effect) and the factors which potentially affect the characteristics (root causes) in processes.

People
Staff shortage Training Poor

Machines
Computers

Measurement
Database not current

communication

No communication of back orders

No verification procedure Borrow from other kits

2nd-lvl sub-cause

Stock purge Lost parts 1st-lvl

Effect: Shortage of Parts

sub-causes

Methods

Materials

Potential root cause

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Cause and effect (fishbone) diagram - part II

Create a Cause & Effect Diagram: Define the quality problem Brainstorm all the possible causes in a team situation Asking why 5 times is a good technique Show each problem cause as a branch on the diagram Focus on the problem causes and PLAN the improvements needed Provides a team with a way of modelling a problem situation and understanding the process being investigated. Provides a team with a systematic method of communicating with each other about a problem or situation that needs to be improved, distinguishing between the problem and its possible causes. Encourages the team to identify all possible causes, thereby increasing the likelihood that they wont ignore the real causes.
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Check Sheet (Tally chart) - part I

Logical point to start in most process control or problem-solving efforts, providing records of quality Distinguish between fact and opinion Gather data about how often a problem is occurring Gather data about the type of problem occurring Organise data in a form which makes it easy to use for other purpose; e.g. development of Pareto Diagram, or to identify trends
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Defective Item Product: Inspector: Date: TYPE OF DEFECT

Cracks Surface Scars Wrong Part No. Poor Paint Other Defects

CHECK

TOTAL
5

9 3

12

2 31 1

GRAND TOTAL:

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Check Sheet (Tally chart) - part II

Create a Check Sheet: Clarify the measurement objectives Ask questions such as What is the problem?, Why should data be collected?, Who will use the information being collected?, Who will collect the data? Create a form for collecting data - Determine the specific things to be measured and write this down the left side of the check sheet. - Determine the time or place being measured and write this across the top of the columns. Collect the data for the items being measured Record each occurrence directly on the Check Sheet as it happens. Tally the data by totalling the number of occurrences for each category being measured.
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Pareto Diagram - part I

80% of rejections are caused by 20% of defect types

20% of items have 80% of effect (80:20 rule) Vital Few versus the Trivial Many Focus on the Vital few for best impact on the problem Zone A: This is the top priority zone and in most cases it is found that about 20% of the rejects account for about 80% of the costs. Zone B: This zone contains the next 30% of rejects, which account for about 15% of the costs. Zone C: This is the zone with the remaining 50% of rejects accounting for the remaining 5% of the costs.
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Pareto Diagram - part II

Own Classification
Missing Component

Quantity
7828 5071 5048 4156 4101 4003 3166 3037 2862 2719 2393 1821 1813 1367 1358 722 660 648 647 492 274 260 227 165 123 54961

Percentage
14.24 9.23 9.18 7.56 7.46 7.28 5.76 5.53 5.21 4.95 4.35 3.31 3.30 2.49 2.47 1.31 1.20 1.18 1.18 0.90 0.50 0.47 0.41 0.30 0.22 100

Cum-%
14.24 23.47 32.65 40.22 47.68 54.96 60.72 66.25 71.45 76.40 80.76 84.07 87.37 89.85 92.33 93.64 94.84 96.02 97.20 98.09 98.59 99.06 99.48 99.78 100.00 100.00

Simplifies & clarifies teams understanding of the process to improve by focusing on the areas of most importance. It is easier to reduce the most frequently occurring problem by half than to reduce a rare occurrence to zero. Quick results build team confidence. Enables comparisons between different processes.

Bad Component Misaligned/Reversed Component Raised/Tombstoned Component Damaged Component Short Circuit Insufficient Solder Other Wrong Component No Fault Found Bareboard Component Lifted Leg Component Leg Bent Under Additional Component Unsoldered Joint Repair Damage Contamination Excess Solder Solder Balls/Splashes Dry Joint Scrap Metalwork Awaiting Diagnostics Debris Open Circuit TOTAL

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Histogram - part I
A graphic used to represent data from a frequency table They consist a visual representation of a set of data which can help identify the type of distribution which underlies that data. They can help assess whether a process is likely to be able to produce within the required limits. A graphic used to represent Their shape can highlight problems in a process, if it differs fromfrequency table data from a what might be expected. They consist a visual
Indicates that a process is running normally (only common causes are present)
most frequent measurement

representation of a set of bell-shaped curve data which can help identify the type of distribution which underlies that data.

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They can help assess whether a process is likely Spread of the Process to be able to produce 2011-2012 within the required limits.

Their shape can highlight problems in a process, if it differs from what might be expected.

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Histogram - part II

The process is not capable of meeting the specifications.

More variation in one direction: - Why? - How can it be reduced?

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Indicates human interference (e.g. falsifying records, previous reworks selection )

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Histogram - part III

Two peaks bimodal

Deviations from a normal distribution in a histogram suggest the involvement of additional influences in the process.
May indicate that data from more than one process are mixed together (materials may come from two separate suppliers or samples may have come from two separate machines)
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Scatter Diagram and Stratification - part I

Used to establish the association, if any, between two parameters or factors (based on a simple X-Y plot) It reveals whether or not a positive or negative, strong or weak, correlation exists between the parameters (pattern)
Maximum Thickness Results: Trent 500

P Press

Die

Can you split up the data? Is it naturally stratified? What is the cause?
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Scatter Diagram and Stratification - part II

Separate data so that patterns can be identified.

Performance/Productivity

Machine A Machine B Machine C

...Something is different about Machine C

Time Intervals between Maintenance

Considering all data, initially it seems there is no clear relationship...

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Considering all data, initially it seems there is no clear relationship

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Run and Control Chart - part I

A control chart is a visual representation of process performance based on data collected from the process. It monitors an ongoing process and detects changes in output. It identifies statistically significant variation in the process so that action can be taken. Two types of data: Variable data: measured on a continuous scale e.g. time, length, weight, temperature [X charts: developed from the average of each subgroup data; R charts: developed from the ranges of each subgroup data = max - min]. Attribute data: measured in terms of whether or not a characteristic does or does not meet a given requirement e.g. pass/fail, conforming/non-conforming [p charts: proportion of nonconformities (%); u charts: rate of non-conformities per item (number inspected); NUBS C Braziotis c charts: number of non-conformities per constant sample size]. 2011-201 2

Graph and Control Chart - part II

No indication of out of control condition is observed from the X bar chart

The R chart indicates the process variability is in control

A point out of the control limits indicates a process out of control

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Quality Tools Application

1st Step: Map the Process! Always remember that regarding Quality Control Tools, it is important to understand when, how, which one & why to use.

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When to apply the 7 Basic Tools

Check Sheet to identify the critical-to-quality characteristics: Identify the defects that most significantly affect what matters most to the customer - How often is something done? Cause & Effect Diagram to identify causes & solutions: A systematic way to explore causal relationships - What causes the problems? Pareto Chart to quantify the effects of the causes: Identify the factors that together have the greatest effect, so you can focus on the most important - Which are the big problems? Histogram to go beyond averages: Look for patterns that tell you about the process - What do overall variations look like? Scatter Diagrams & Stratification to identify cause & effect relationships: Identify positive correlation, negative correlation, or no correlation - What are the relationships between factors? Run & Control Charts: Identify if a process is operating in control, i.e. if there is process variation (beyond UCL/LCL) - Which variations to control and how?
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Six-Sigma: Introduction - part I

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Six-Sigma: Introduction - part II

The six-sigma story began in the 1980s at Motorola... Motorola realised huge bottom-line results as a result of its sixsigma efforts, documenting more than $16 billion in savings in 15 years. Allied signal (now Honeywell) saved $500 million in one year, and Honeywell saved $1.8 billion in three years. GE saved $4.4 billion in four years. ...and other companies have achieved impressive savings. Operating at six-sigma creates an almost defect-free environment, allowing only 3.4 defects per one million opportunities: products & services are nearly perfect (99.9997%). Eliminating defects eliminates dissatisfaction.
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The Sigma Scale

A universal measure of how well a critical characteristic performs compared to its requirements
Sigma 1 2 3 4 5 6 7 Percentage Defective 69% 31% 6.7% 0.62% 0.023% 0.00034% 0.0000019% Defects per million 691,462 308,538 66,807 6,210 233 3.4 0.019

e.g. if a critical characteristic is defective 31% of the time (or runs at 69% compliance), this characteristic operates at 2 sigma.

- Which process has more variation? - Which process is more capable?

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Six-Sigma DMAIC
Define
Define & validate the project goals and customer (internal and external) deliverables: financial benefits, communication plan, voice of the customer Measure the process to determine current performance: identify inputs/outputs, validate measurement system, develop data collect plan, determine process capability Analyse & determine the root cause(s) of the defects: confirm root cause effect on outputs and estimate impact, prioritise root causes Improve the process by eliminating defects: develop potential solutions, evaluate & select best solutions, confirm attainment of goals, develop implementation plan

Measure

Analyse

Improve

Control

Control future process performance: Implement mistake proofing, implement process measurement, identify opportunities to apply project lessons
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Tools used in the DMAIC Cycle

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Concluding Remarks
Topics covered: Implementation of Quality Improvement & CI (PDCA) in theory and in practice Prerequisites and mechanisms of CI How to start with CI, how to continue with CI Improvement teams, their role and their characteristics 7 Basic Quality Tools Their role & contribution, as well as their inputs and expected outcomes from using them 6-sigma and DMAIC, its relation to quality improvement and the expected results

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